Pinnacle bank earnings grow with acquisitions

Pinnacle Bank opened its second office in Chattanooga on Shallowford Road in Chattanooga.
Pinnacle Bank opened its second office in Chattanooga on Shallowford Road in Chattanooga.

Tennessee's second biggest banking company boosted its adjusted earnings last year by 16.3 percent after completing three major bank acquisitions in the past three years.

Pinnacle Financial Partners Inc., the parent of the Nashville-based Pinnacle Bank, said Tuesday it had earnings, adjusted for pretax expenses and costs related to mergers and acquisitions, of 97 cents per share.

The results met Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research also was for earnings of 97 cents per share.

The regional bank operator posted revenue of $244.6 million in the period. Its adjusted revenue was $211.2 million, falling short of Street forecasts. Four analysts surveyed by Zacks expected $223.1 million.

For the year, the company reported profit of $174 million, or $2.70 per share. Revenue was reported as $688.2 million.

Pinnacle Financial shares have increased slightly more than 2 percent since the beginning of the year, although shares in the banking firm fell in after hours trading after the earnings report was released.

Pinnacle acquired the former CapitalMark Bank in Chattanooga and Magna Bank of Memphis in 2015 and bought the Bank of North Carolina last year.

"With asset growth of 98.4 percent, revenue growth of 54.3 percent, adjusted fully-diluted earnings per share growth of 16.3 percent and tangible book value per share growth of 18.2 percent, 2017 was likely our best year yet," said M. Terry Turner, Pinnacle's president and chief executive officer.

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