This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Macatawa Bank Corporation Reports Fourth Quarter And Full Year 2012 Results

Stocks in this article: MCBC

HOLLAND, Mich., Jan. 31, 2013 (GLOBE NEWSWIRE) -- Macatawa Bank Corporation (Nasdaq:MCBC) today announced its results for the fourth quarter and full year of 2012, continuing its trend of improvement in key operating metrics and financial performance.

  • Earnings of $21.2 million in the fourth quarter of 2012 and $35.5 million for the full year of 2012 were significantly higher than for the same periods in the prior year
  • Earnings were positively impacted by reversal of the deferred tax asset valuation allowance of $18.9 million in the fourth quarter of 2012
  • Net loan growth for the fourth quarter, the first quarterly increase in total loans since the fourth quarter of 2008
  • Continued improvement in loan portfolio quality
  • Strong retail banking results – growth in core deposits and high mortgage loan origination volumes
  • Risk-based regulatory capital ratios at their highest levels in the Company's history and comfortably above the minimums to be categorized as "well capitalized" under applicable regulatory capital guidelines
  • Significant reduction in costs associated with nonperforming assets – down 32% from the fourth quarter of 2011 and down 36% for the full year 2012 compared to 2011, although such costs continue to be elevated

Macatawa reported net income available to common shares of $21.2 million, or $0.78 per diluted share, in the fourth quarter of 2012 compared to net income available to common shares of $1.1 million, or $0.04 per diluted share, for the fourth quarter of 2011. For the full year of 2012, the Company reported net income available to common shares of $35.5 million, or $1.31 per diluted share, compared to net income available to common shares of $5.8 million, or $0.26 per diluted share, for the same period in 2011.

"The Company's results for the fourth quarter and the full year of 2012 reflect solid improvement in our core business performance enhanced by favorable one-time events," said Richard L. Postma, Chairman of the Board of the Company. "Large recoveries throughout the year of previously charged-off loans and a large loan prepayment fee led to significant increases in earnings in 2012. The reversal of our deferred tax asset ("DTA") valuation allowance added $18.9 million in earnings in the fourth quarter. The DTA allowance reversal was particularly important as it would not have been possible without the significant improvement in our three-year cumulative earnings results. These one-time events are all very positive and reflect hard work by the Macatawa employees."

1 of 8

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs