Pinnacle's 2Q results show gains in old and new markets
Pinnacle Financial Partners in Nashville, Tenn., reported stronger quarterly results that reflected growth in old and new markets.
The $21 billion-asset company said in a press release late Tuesday that its second-quarter earnings rose by 40% from a year earlier to $43.1 million, or 80 cents a share. The results were skewed by Pinnacle’s June 16 purchase of BNC Bancorp in High Point, N.C.
Net interest income increased by 42% to $106.6 million. Excluding benefits tied to $6.1 million in deposits and $5.6 million in net loans from BNC, the increase would have been 26%. The net interest margin compressed by 4 basis points to 3.68%.
Pinnacle said it had about $668 million of organic loan growth during the second quarter.
Noninterest income rose by 7.3% to $35.1 million. The increase would have been 2.1% without a $1.7 million contribution from BNC.
The BNC acquisition increased expenses during the quarter. Noninterest expenses rose by 28% to $71.8 million, including $3.2 million in merger-related charges.
Pinnacle’s loan-loss provision increased by 28% to $6.8 million. Nonperforming assets made up just 0.31% of total assets on March 31.