Alerus Financial Set Record Earnings in 2021, Pursues Acquisition Plans – Grand Forks Herald
GRAND FORKS — Alerus Financial Corporation ended 2021 on a high note by posting a record level of revenue.
According to a Jan. 26 release, Alerus reported net income of $52.7 million last year, surpassing the company’s previous record of $44.7 million in 2020. The company saw growth across all its commercial sections, although mortgages did particularly well due to an unexpected increase in people wanting to refinance.
President and CEO Katie Lorenson, who took over the role on January 1, attributed the performance to the members of the bank’s team, as well as the advice-oriented approach and business model. diversified business of the company. The company offers a full range of banking services, as well as pension and benefits, wealth management and mortgage services.
“Alerus continues to be a purpose-driven company, focused on its business model, strategy and culture,” Lorenson said. “The talented members of our Alerus team performed at exceptional levels, resulting in a strong end to the fourth quarter and another record year for Alerus with annual net income of $52.7 million.”
Mortgages in the fourth quarter of 2021 were $356.8 million, down 14.2% from the third quarter. Totals for the year, however, set a new milestone for the company at $1.8 billion.
The second rollout of the Federal Paycheck Protection Program in early January 2021 also gave the company a boost. Alerus has strengthened its lending experience with the US Small Business Administration, through the use of a five-person team based in the Twin Cities. The company has helped clients secure nearly 2,500 PPP loans totaling $474 million. More than 90% of these loans have been canceled by the SBA.
The company is also pursuing its strategy of acquisition and expansion of its presence. In early December, Alerus announced its intention to acquire MPB BHC, Inc. and its wholly owned banking subsidiary, Metro Phoenix Bank. Acquisition work is in progress. In 2020, the company acquired Retirement Planning Services Inc., in Colorado.
“Assuming completion of the transactions, this will be our 25th acquisition since 2000,” Lorenson said.
With Lorenson taking over as president and CEO, the company also announced two promotions to its management team. Alan “Al” Villalon has been named the company’s chief financial officer and executive vice president. The positions were previously held by Lorenson. Additionally, Jerrod Hanson has been named Chief Accounting Officer and Senior Vice President.
Villalon is a strategic finance executive with over 25 years of experience in financial services. He most recently served as Deputy Director of Investor Relations and Senior Vice President at US Bank. Prior to US Bank, he spent most of his career in equity research analyst roles, including as a senior research analyst at Thrivent Asset Management.
Hanson previously served as Controller at Alerus for the past two decades. In his new role, he will be responsible for directing and supervising all corporate accounting functions and personnel, including corporate accounting, Securities and Exchange Commission and other financial reporting. , corporate tax, stock-based compensation and other financial reporting matters.