- Mountain Commerce Bancorp (MCBI, Financial) increased its quarterly dividend by 40% to $0.07 per share.
- The company reported a net income of $2,179,000 with diluted earnings per share of $0.35 in Q1 2025.
- Net interest margin improved to 2.31%, with non-performing loans at 0.06% of total loans.
Mountain Commerce Bancorp, Inc. (OTCQX: MCBI) reported its financial results for the first quarter of 2025, highlighting significant improvements in key financial metrics. The company's net interest margin rose to 2.31% from 2.29% in the previous quarter, reflecting enhanced profitability. Additionally, the cost of funds decreased by 18 basis points to 3.30%, further optimizing the bank's financial performance.
The company's net income for the quarter increased to $2,179,000, translating into diluted earnings per share of $0.35, a notable improvement from $0.33 in the fourth quarter of 2024. Reflecting this positive performance, the Board of Directors declared a quarterly cash dividend of $0.07 per share, a 40% increase from the previous quarter.
The bank demonstrates robust asset quality, with non-performing loans accounting for only 0.06% of total loans, and maintains a high provision coverage ratio of over 12 times. The tangible common equity ratio also saw an improvement, rising to 7.60%, while the leverage ratio stood at 9.35%.
Despite the positive outlook, the company experienced a 9 basis point decline in taxable loan yields to 5.78%, and noninterest income decreased from $0.8 million to $0.5 million year-over-year. Nonetheless, Mountain Commerce Bancorp expects continued improvement throughout 2025, contingent on stable macroeconomic conditions.
