Merchants Financial Group, Inc. Announces Earnings of $18.16 Million through Second Quarter of 2021

Greg Evans, President & CEO

Merchants Financial Group, Inc. (MFGI) announced net income of $18,157,527 through the first two quarters of 2021, according to MFGI President & CEO Gregory M. Evans.

Performance was driven by the Bank’s active involvement in the origination of Small Business Administration (SBA) Paycheck Protection Program (PPP) loans for small businesses throughout the region and continued strong origination volume of residential mortgage loans.

“Our strong earnings reflect our commitment to continue showing up in our communities as a trusted advisor and resource. As community bankers, it’s our privilege to serve our communities and do our part to help local economies and neighbors recover from the pandemic,” said Evans.

Net income is $9.7 million ahead of mid-year earnings performance for 2020 when the early onset of COVID dramatically impacted MFGI’s performance results. All four Bank regions, Merchants Bank Equipment Finance and the Secondary Market Mortgage division have exceeded earnings plans for the first six months.

Merchants has originated an additional $80 million of PPP loans during a recent round of SBA funding and approximately 65% of Merchants’ total PPP origination volume of $290 million has been forgiven, providing area small business owners a much needed resource to survive the pandemic. Merchants’ residential mortgage loan volume for the first half of the year has been $484 million, and mid-year performance was also bolstered by reversal of excess Allowance for Loan/Lease Loss Reserves.

“We continue to focus on walking our business customers through the forgiveness process for PPP loans, and those proceeds have been a significant lifeline for owners of family-owned businesses that are the backbone of our communities’ economic viability,” noted Evans. “Our market leadership in mortgage lending has afforded many families to take advantage of low interest rates by purchasing a new home or refinancing their current mortgage.”

Merchants Financial Group, Inc. is a publicly-traded Company. Ownership is made up of its more than 440 employees and mostly individuals and families from the communities the Bank serves.

Merchants Bank is a full-service community bank with 23 bank locations in southeastern Minnesota and west-central Wisconsin and a leasing division, Merchants Bank Equipment Finance, in Edina. Headquartered in Winona, MN, MFGI has more than $2.5 billion in assets. Merchants was founded in 1875.

Merchants Financial Group, Inc. Posts Earnings of Nearly $6 million Through the Second Quarter of 2017

GregEvansPresidentCEOMerchants Financial Group, Inc. (MFGI) announced net income of $5,970,031 through the second quarter of 2017, according to MFGI President & CEO Gregory M. Evans.

“Our core business is performing extremely well,” Evans said. “Our year has been one of significant strategic progress, and our earnings have been solid.”

Evans noted that there has been year-over-year growth in both deposits and loans. He said mortgage volume continues to be strong and well ahead of MFGI’s plan through the first six months of 2017.

Net income is slightly behind MFGI’s plan for two quarters and is behind 2016’s pace, when MFGI celebrated record earnings. Earnings were impacted by $900,000 set aside as addition to loan loss reserves in the second quarter. Merchants made a similar adjustment at the end of the first quarter. The money is a cushion against possible future loan stress. Evans said putting the money aside is consistent with MFGI’s conservative principles, and that actual loan charge-off activity is well below industry averages.

“We believe we are well-positioned for continued strong earnings during the second half of the year,”Evans said. “I am optimistic about the remainder of the year and beyond.”

MFGI owns 21 Merchants Bank locations, including Minnesota locations in Winona, St. Charles, Goodview, Rochester, Rushford, Lanesboro, Caledonia, La Crescent, Spring Grove, Cannon Falls, Red Wing, Hampton, and the southern Twin Cities metropolitan suburbs of Apple Valley, Cottage Grove, Hastings, Lakeville and Rosemount. Merchants has Wisconsin locations in Eau Claire and Onalaska. All banks are FDIC members and equal housing lenders. Additionally, MFGI also owns Twin Cities-based Merchants Bank Equipment Finance, a division of Merchants Bank, N.A.

The ownership of Merchants Financial Group is made up of its 440 employees and its shareholders, mostly individuals and families from southeastern Minnesota and west-central Wisconsin.