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00 MERCHANTS BANCORP Exhibit 99.1 PRESS RELEASE Merchants Bancorp Reports Second Quarter 2021 Results For Release July 28 , 2021 • Second quarter 2021 net income of $ 51.4 million increased 25 % compared to the second quarter of 2020 and decreased 17 % compared to the first quarter of 2021 Second quarter 2021 diluted earnings per common share of $ 1.58 increased 21 % compared to the second quarter of 2020 and decreased 22 % compared to the first quarter of 2021 • Assets reached a record level of $ 9.9 billion , increasing 2 % compared to March 31 , 2021 and December 31 , 2020 . • • • Return on average assets was 2.14 % in the second quarter of 2021 compared to 1.89 % in the second quarter of 2020 and 2.49 % in the first quarter of 2021 Credit quality remained strong , as nonperforming loans decreased to 0.05 % of loans receivable compared to 0.08 % at March 31 , 2021 and 0.11 % at December 31 , 2020 All of the outstanding shares of the Company's 8 % preferred stock were redeemed for $ 41.6 million and were replaced with a $ 46.2 million private offering of its 6 % Series C preferred stock for those 8 % preferred shareholders . CARMEL , Indiana - ( PR Newswire ) - Merchants Bancorp ( the “ Company ” or “ Merchants " ) ( Nasdaq : MBIN ) , parent company of Merchants Bank of Indiana , today reported second quarter 2021 net income of $ 51.4 million , or diluted earnings per common share of $ 1.58 . This compared to $ 41.2 million , or diluted earnings per common share of $ 1.31 in the second quarter of 2020 , and compared to $ 62.0 million , or diluted earnings per common share of $ 2.02 in the first quarter of 2021 . The $ 10.3 million , or 25 % , increase in net income for the second quarter 2021 compared to the second quarter of 2020 was driven by a $ 13.2 million , or 26 % , increase in net interest income that reflected a 57 % decrease in the cost of deposits and a 7 % increase in interest income from higher loan balances . The $ 10.6 million , or 17 % , decrease in net income for the second quarter 2021 compared to the first quarter of 2021 was primarily driven by a $ 7.6 million , or 10 % , decrease in net interest income that reflected a 10 % decrease in interest income on loans . The decrease in net income also reflected a $ 6.2 million decrease in loan servicing fees , which included a $ 6.2 million lower fair market value adjustment to mortgage servicing rights . The second quarter of 2021 benefited from a $ 0.7 million positive fair market value adjustment compared to $ 6.9 positive fair market value adjustment in the first quarter of 2021 .