MBT Financial Corp. (MBTF) has reported 10.86 percent fall in profit for the quarter ended Dec. 31, 2016. The company has earned $3.58 million, or $0.16 a share in the quarter, compared with $4.01 million, or $0.18 a share for the same period last year.

Revenue during the quarter dropped 5.69 percent to $14.38 million from $15.25 million in the previous year period. Net interest income for the quarter rose 2.64 percent over the prior year period to $9.57 million. Non-interest income for the quarter fell 2.91 percent over the last year period to $3.80 million.

MBT Financial Corp. has made negative provision of $1 million for loan losses during the quarter, compared with a negative provision of $2 million in the same period last year.

Net interest margin improved 3 basis points to 3.14 percent in the quarter from 3.11 percent in the last year period. Efficiency ratio for the quarter improved to 68.18 percent from 72.10 percent in the previous year period. A decline in efficiency ratio indicates a rise in profitability.

H. Douglas Chaffin, president and chief executive officer, commented, "We are pleased with our results in 2016, especially the recent trend of improving net interest margin, the reduction in classified assets, and the non-interest expense reduction. Our loan portfolio grew $34.2 million, or 5.5% during 2016, and we plan to continue our focus on loan growth in 2017. The increase in our quarterly dividend and the payment of another special dividend reflect our efforts to actively manage our capital while we look for the right opportunities to grow throughout our existing branch network and strategic acquisitions. We remain confident in our ability to maintain our position as the premier independent provider of financial services in the communities we serve, despite challenges in our current environment."
 

Noninterest-bearing deposit liabilities were $279 million or 23.26 percent of total deposits on Dec. 31, 2016, compared with $253.80 million or 21.78 percent of total deposits on Dec. 31, 2015.

Investments stood at $528.81 million as on Dec. 31, 2016, down 1.73 percent or $9.33 million from year-ago. Shareholders equity stood at $141.11 million as on Dec. 31, 2016, down 4.23 percent or $6.23 million from year-ago.

Return on average assets moved down 15 basis points to 1.07 percent in the quarter from 1.22 percent in the last year period. At the same time, return on average equity decreased 122 basis points to 9.57 percent in the quarter from 10.79 percent in the last year period.

Nonperforming assets moved down 31.64 percent or $9.47 million to $20.46 million on Dec. 31, 2016 from $29.93 million on Dec. 31, 2015. Meanwhile, nonperforming assets to total assets was 1.51 percent in the quarter, down from 2.23 percent in the last year period.

Average equity to average assets ratio was 11.21 percent for the quarter, down from 11.34 percent for the previous year quarter. Book value per share was $6.20 for the quarter, down 4.02 percent or $0.26 compared to $6.46 for the same period last year.