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.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.