Commerce Bancshares, Inc. (NASDAQ: CBSH) reported Q2 EPS of $0.70, $0.02 better than the analyst estimate of $0.68.

In making this announcement, David W. Kemper, Chairman and CEO, said, “This quarter we saw good top line revenue growth when compared to the previous quarter along with solid loan growth. Net loan charge-offs declined and expenses remained well-controlled. Loans outstanding increased $265 million, or 9% annualized, this quarter to $11.5 billion as demand remained solid for commercial and consumer-related loans. Net interest income grew by $7.4 million compared to the previous quarter due to the aforementioned loan growth and higher earnings on the Company’s inflation-protected securities. Our net interest margin grew this quarter to 3.13%. Also, non-interest income grew 6%, or $6.1 million, mainly on growth from bank card, trust and deposit fees. Non-interest expense was mostly unchanged from the previous quarter, and our efficiency ratio declined to 60%.”

Mr. Kemper continued, “Net loan charge-offs for the current quarter totaled $7.6 million, compared to $9.7 million in the previous quarter and $9.4 million in the second quarter of 2013. The decrease in net loan charge-offs compared to the previous quarter is mainly due to an increase in net recoveries on commercial-related loans of $936 thousand coupled with lower consumer net loan charge-offs. During the current quarter, the provision for loan losses totaled $7.6 million and matched net loan charge-offs. The allowance for loan losses amounted to $161.5 million this quarter, or 1.41% of period end loans, and was 3.7 times non-performing loans. Total non-performing assets decreased $2.7 million from the previous quarter to $51.7 million this quarter.”

For earnings history and earnings-related data on Commerce Bancshares, Inc. (CBSH) click here.