Renasant up on higher Q3 profit
Renasant Corp. (Nasdaq: RNST) shares are up after the bank holding company reported a 25% surge in third-quarter profits. After Tuesday’s closing, the Tupelo, Miss.-based firm reported net income of $8.3 million, or $0.39 per share, for the three months ended July 1, above analyst estimates of $0.33 per share and up from $6.6 million, or $0.42 per share, a year earlier.
“We are pleased with our third-quarter performance which included completion of the Capital merger, and full integration is now well underway," CEO E. Robinson McGraw said in a statement. “This is the first quarter that Capital's financial performance was reflected in our earnings results, and we remain excited about our future in the Nashville, Tennessee market.”
The firm’s net income included $0.4 million, or $0.02 per share, in after-tax expenses related to Renasant’s acquisition of Capital, which was completed July 1.
Renasant’s net interest income for the third quarter was $26.7 million, up from $21.7 million in the equivalent period of 2006. The firm’s net interest margin declined to 3.52%, from 4.02% a year earlier. Non-interest income totaled $13.4 million during the quarter, from $11.7 million in the prior-year period. The bank holding company’s provision for loan losses rose to $1.3 million, from $0.9 million a year earlier.
The company’s loans at the end of the third quarter totaled $2.59 billion, up 41.7% from $1.83 billion at Dec. 31.
In afternoon trading, RNST shares are up 2.17%, or $0.48, at $22.60. Over the last 52 weeks, shares have ranged from $18.07 to $32.63.
