BancorpSouth (BXS) in Tupelo, Miss., missed analysts' estimates after its net interest margin compressed.
The $13.4 billion-asset company's earnings rose 27% from a year earlier, to $17 million, but per-share earnings of 18 cents were 6 cents below the average estimate of analysts polled by Bloomberg.
Net interest revenue fell by 6% from a year earlier, to $101 million. The company's net interest margin contracted by 13 basis points from a year earlier, to 3.44%.
The tightening margin was due to asset repricing, Aubrey Patterson, the company's chairman, said in a press release. "Our securities portfolio continues to roll over at lower rates and loan yields are under pressure both prior to and at maturity," he said.
The loan-loss provision fell by 68% from a year earlier, to $6 million. Net chargeoffs fell 54% from a year earlier, to $10.5 million. Nonperforming loans declined 27% from a year earlier, to $233.6 million
Noninterest revenue rose 9% from the fourth quarter of 2011, to $71 million, as mortgage income nearly doubled, to $17 million.
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