Pinnacle Financial Partners Inc. in Nashville, Tenn., reported a massive spike in third-quarter results due to the reversal of a deferred tax asset valuation.
The $4.9 billion-asset company said late Tuesday that it net income for shareholders totaled $24.5 million in the third quarter, compared to $4.8 million in the second quarter and $549,000 a year earlier. The recent quarter's biggest lift came from a $17 million income tax benefit tied to accounting for deferred tax assets. The company also had a net increase of $34 million in its loan portfolio, which totaled $3.2 billion at Sept. 30.
On the credit front, the loan-loss provision fell 24% from a year earlier, to $3.6 million. Nonperforming assets fell 10.7% from the second quarter and 34% from a year earlier, to $100.1 million. It was the company's fifth straight quarter of declining nonperforming assets.