The wealth management and insurance businesses of Trustmark Corp. added shine to the company’s third-quarter performance, increasing revenue in that category by more than a third over the same period of 2012, the Jackson financial services company announced after the close of the market on Tuesday, Margarida Correia of BankInvestmentConsultant.com reports..
Wealth management services generated $7.5 million in revenue, up nearly $2 million, or 34 percent from $5.6 million in the same quarter last year. Meanwhile insurance commissions rose to $8.2 million, a 9.2 percent increase year-over-year, Correia reported. Revenue from both wealth management and insurance commissions rose 8.4 percent and 2.7 percent, respectively, from the previous quarter, according to Trustmark.
The increase in wealth management income from the previous quarter reflected expanded trust management revenue and brokerage sales, Gerard R. Host, Trustmark’s president & CEO, said during the earnings conference call on Wednesday. He attributed the growth in insurance revenue to expanded customer insurance sales as well as the continued firming of insurance rates, Correia reported.
For the first nine months of 2013, revenue from wealth management services totaled $21.3 million, while insurance commissions totaled $23.5 million, up 26 percent and 10 percent, respectively, from the same period in 2012.
“Trustmark posted another quarter of solid financial results. Total revenue increased to $145.6 million, reflecting the success of our recent merger with BancTrust as well as expanding customer relationships in our legacy banking, wealth management and insurance businesses,” Host said in a statement. Trustmark acquired BancTrust Financial Group, a Mobile-based company, in February.
Overall, Trustmark earned $33 million in profit in the third quarter, an increase of 6.5 percent from the prior quarter as well as from levels one year earlier.