Mercantile Bank Corporation Declares Regular Cash Dividend

Rhea-AI Summary

Mercantile Bank (NASDAQ: MBWM) has declared a regular quarterly cash dividend of $0.37 per common share, representing a 5.7% increase compared to the second quarter of 2024. The dividend, which provides an annual yield of approximately 3.6%, will be payable on June 18, 2025, to shareholders of record as of June 6, 2025.

President and CEO Ray Reitsma highlighted the company's sustained financial strength during Q1 2025, enabling the continuation of their regular cash dividend program. Despite uncertain economic conditions, management expressed confidence in maintaining shareholder value while supporting expected asset growth through their sound balance sheet structure.

Positive

• Quarterly dividend increased by 5.7% year-over-year
• Current annual dividend yield of 3.6%
• Strong Q1 2025 financial performance reported
• Sound balance sheet structure maintained

Negative

• Management acknowledges uncertain economic and operating conditions

Board declares $0.37 regular quarterly cash dividend on common stock, resulting in a current annual yield of approximately 3.6 percent 

GRAND RAPIDS, Mich., April 22, 2025 /PRNewswire/ -- Mercantile Bank Corporation (NASDAQ: MBWM) ("Mercantile") announced today that on April 17, 2025, its Board of Directors declared a regular quarterly cash dividend of $0.37 per common share, payable on June 18, 2025, to holders of record as of June 6, 2025.  The $0.37 cash dividend is 5.7 percent higher than the cash dividend paid during the second quarter of 2024.

"We are very pleased that our longstanding strength in financial metrics was sustained during the first quarter of 2025, enabling us to continue our regular cash dividend program and once again provide shareholders with meaningful cash returns on their investments," said Ray Reitsma, President and Chief Executive Officer of Mercantile.  "Although economic and operating conditions remain uncertain, we believe our sound balance sheet structure and expectation of continued strong operating results in forthcoming periods as anticipated should permit us to continue to build shareholder value while providing ample capital support for expected asset growth."

About Mercantile Bank Corporation

Based in Grand Rapids, Michigan, Mercantile Bank Corporation is the bank holding company for Mercantile Bank. Mercantile provides financial products and services in a professional and personalized manner designed to make banking easier for businesses, individuals, and governmental units. Distinguished by exceptional service, knowledgeable staff, and a commitment to the communities it serves, Mercantile is one of the largest Michigan-based banks with assets of approximately $6.1 billion. Mercantile Bank Corporation's common stock is listed on the NASDAQ Global Select Market under the symbol "MBWM."  For more information about Mercantile, visit www.mercbank.com, and follow us on Facebook, Instagram, X (formerly Twitter) @MercBank, and LinkedIn @merc-bank.

Forward-Looking Statements

This news release contains statements or information that may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.  Forward-looking statements can be identified by words such as: "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will," and similar references to future periods.  Any such statements are based on current expectations that involve a number of risks and uncertainties.  Actual results may differ materially from the results expressed in forward-looking statements.  Factors that might cause such a difference include changes in interest rates and interest rate relationships; increasing rates of inflation and slower growth rates or recession; significant declines in the value of commercial real estate; market volatility; demand for products and services; climate impacts; labor markets; the degree of competition by traditional and nontraditional financial services companies; changes in banking regulation or actions by bank regulators; changes in tax laws and other laws and regulations applicable to us; changes in prices, levies, and assessments; the impact of technological advances; potential cyber-attacks, information security breaches and other criminal activities; litigation liabilities; governmental and regulatory policy changes; the outcomes of existing or future contingencies; trends in customer behavior as well as their ability to repay loans; changes in local real estate values; damage to our reputation resulting from adverse publicity, regulatory actions, litigation, operational failures, and the failure to meet client expectations and other facts; changes in the national and local economies; unstable political and economic environments; disease outbreaks, such as the COVID-19 pandemic or similar public health threats, and measures implemented to combat them; and other factors, including those expressed as risk factors, disclosed from time to time in filings made by Mercantile with the Securities and Exchange Commission.  Mercantile undertakes no obligation to update or clarify forward-looking statements, whether as a result of new information, future events or otherwise.  Investors are cautioned not to place undue reliance on any forward-looking statements contained herein.

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SOURCE Mercantile Bank Corporation

FAQ

What is the new quarterly dividend amount for Mercantile Bank (MBWM) stock?

Mercantile Bank declared a quarterly dividend of $0.37 per common share, payable on June 18, 2025.

When is the ex-dividend date for MBWM's Q2 2025 dividend?

Shareholders must be on record by June 6, 2025, to receive the quarterly dividend payment.

How much did Mercantile Bank increase its dividend compared to Q2 2024?

The quarterly dividend increased by 5.7% compared to the second quarter of 2024.

What is the current annual dividend yield for Mercantile Bank stock?

Mercantile Bank's current annual dividend yield is approximately 3.6%.

How does MBWM plan to maintain its dividend program amid economic uncertainty?

The company cites its sound balance sheet structure and expectations of continued strong operating results to support the dividend program while maintaining capital for asset growth.