BancorpSouth in Tupelo, Miss., reported higher second-quarter profit, as an increase in loan volume offset lower yields on loans and leases.
The $13.6 billion-asset company said net income rose 29% to $39.7 million, or 41 cents per share, from a year earlier. That was six cents higher than the average estimate of analysts polled by Bloomberg.
Net interest income rose 4.1% to $107.3 million. Total loans rose 7.5% to $10 billion. Loan and lease yields decreased 15 basis points to 4.23%. Deposits rose 4.4% to $11.1 billion. The net interest margin narrowed five basis points to 3.54%.
Noninterest income rose 6.4% to $74.3 million, as higher mortgage lending and insurance commissions offset lower deposit service charges.
Noninterest expense rose 0.2% to $128.2 million. The efficiency ratio improved by 324 basis points to 69.52%.