HOLLAND — Ending the year on a strong note and easily beating earnings expectations, Macatawa Bank recorded net income of $4.4 million, or 50 cents per share, for the fourth quarter of 2004.
The quarterly result compares with net income of $2.9 million, or 34 cents per share, for the fourth quarter of 2003.
Macatawa Bank on Monday afternoon reported annual net income of $12.7 million, or $1.45 per share, up from the $11.7 million, or $1.34 per share, recorded in 2003. Earnings for 2004 included a $2.3 million, or 17 cents per share, charge taken in the third quarter for an impaired commercial loan.
Chairman and CEO Ben Smith said he expects the bank’s strong growth and improved earnings performance to continue in 2005.
“Evidenced by our exceptional fourth quarter results, the value of our business model has begun to directly impact our bottom line,” Smith said. “Our focus on full-service community banking continues to be well received in the markets we serve. During the quarter, each of our major lines of business contributed to improvement in our bottom line.”
Macatawa Bank’s assets finished 2004 at $1.67 billion, up 19 percent from December 2003, and loans grew 21 percent during 2004 to $1.4 billion.
Deposits grew nearly 22 percent to $1.35 billion.
Deposit growth during 2004 vaulted Macatawa Bank to No. 1 in market share in Ottawa County as of June 30, according to the latest FDIC market share report issued in November.
Macatawa Bank has 14 offices in Ottawa County and eight in Kent County, where it plans to open two additional offices in 2005.