NASDAQ$BUSE

First Busey Corporation · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

First Busey reported third quarter net income and diluted EPS.

First Busey Corporation reported a net income of $35.7 million, or $0.64 per diluted common share, for the third quarter of 2022. Adjusted net income was $36.4 million, or $0.65 per diluted common share. The company experienced strong core loan growth and deposit growth during the quarter, with non-performing assets remaining low.

  • Net income for the third quarter of 2022 was $35.7 million, or $0.64 per diluted common share.
  • Adjusted net income for the third quarter of 2022 was $36.4 million, or $0.65 per diluted common share.
  • Core loan growth was $178.5 million, representing a 9.50% annualized growth rate.
  • Total deposit growth of $204.2 million, representing a 7.8% annualized growth rate.

Headline financials

Total Revenue

$117M

Previous: $104M+12.7%
EPS (adj)

$0.65

Previous: $0.58+12.1%
Net Interest Margin

3.0%

Previous: 2.4%+24.5%
Efficiency Ratio

57.6%

Previous: 67.3%-14.3%
Capital Expenditures

-$4.01M

Previous: -$4.04M+0.9%
Free Cash Flow

$31.7M

Previous: $21.9M+44.5%
Net Income

$35.7M

Previous: $25.9M+37.5%
Operating Income

$89.8M

Previous: $79.6M+12.7%
Gross Profit

$112M

Previous: $101M+10.7%
Cash & Equivalents

$347M

Previous: $884M-60.7%
Total Assets

$12.5B

Previous: $12.9B-3.1%
Stock-Based Comp

$2.48M

Previous: $1.84M+34.8%

Revenue & EPS history

First Busey · Revenue · Quarterly

$117M

Q3 2022+12.7%vs Q3 2021
Beat estimate in 9 of 15 quarters(60%)
ActualEstimate

Revenue by segment

First Busey · $3.76M total across 1 segment · Q3 2022

  • Wealth Mgmt Fees
    $3.76M-20.4%

Forward guidance

First Busey implemented a targeted restructuring and efficiency optimization plan expected to generate annual salary and benefits savings of $4.0 million to $4.4 million. The company expects to incur one-time severance-related costs of $1.1 million to $1.3 million, with most of the savings reinvested to support ongoing growth initiatives.

Tailwinds

  • Expected annual salary and benefits savings of $4.0 million to $4.4 million.
  • Reinvestment of savings to support ongoing growth initiatives.
  • Focus on expense discipline.
  • Strategic investments in FirsTech to enhance future growth.
  • ALCO model predicts a 100 basis point parallel rate shock is expected to increase net interest income by 4.6% over the subsequent twelve-month period.

Headwinds

  • One-time severance-related costs of $1.1 million to $1.3 million.
  • Market competition for deposits has started to increase and deposits betas are likely to increase going forward.
  • The third quarter impact of the Durbin Amendment was a $2.4 million reduction in fee income.
  • Wealth management fees decreased due to declines in market valuations.
  • Decline in tangible book value per common share is primarily attributable to the fair market valuation adjustment of the Company’s securities portfolio as a result of the rapidly rising rate environment as reflected in the accumulated other comprehensive income (loss) (AOCI) component of shareholder’s equity, net of retained earnings and amortization of intangible assets over the same period.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2022

Historical avgQ3 2022

-0.7%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+1.8%

Avg return

30 days after

37%

24 / 65 earnings

Positive

+10.7%

Q1 2020

Best reaction

-8.3%

Q2 2010

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.5%-1.1%+3.2%
Q4 2025-2.5%+1.6%+1.2%
Q3 2025-3.1%-2.3%+1.3%
Q1 2025+3.3%+1.7%+5.0%
Q4 2024+1.9%+1.3%+2.3%
Q3 2024-0.4%-2.4%+8.4%
Q2 2024+0.0%+3.8%-5.2%
Q1 2024+1.0%-0.4%-0.3%
Q4 2023+0.5%+1.0%-4.5%
Q3 2023-2.9%+0.6%+11.4%
Q2 2023-0.7%-2.3%-7.5%
Q1 2023-4.4%-3.7%+1.3%
Q4 2022-6.0%-5.2%+1.9%
Q3 2022+3.0%+6.9%+8.5%
Q2 2022-1.5%-0.7%-3.9%
Q1 2022-4.5%-5.4%-3.0%
Q4 2021-1.2%-2.5%-4.3%
Q3 2021-5.5%-3.2%+7.1%
Q2 2021+1.8%+2.6%+2.1%
Q1 2021-1.3%-1.1%+5.3%
Q4 2020-7.4%-9.6%+2.8%
Q3 2020-5.3%-2.8%+15.1%
Q2 2020+5.4%+1.0%+6.5%
Q1 2020+10.7%+2.3%+6.4%
Q4 2019-2.6%-4.4%-14.8%
Q3 2019+2.8%+2.5%+4.4%
Q2 2019+3.1%+4.5%-4.3%
Q1 2019+3.3%+4.1%+1.1%
Q4 2018-1.8%-2.1%+4.2%
Q3 2018-4.6%-1.9%-0.1%
Q2 2018-2.6%-2.7%-1.4%
Q1 2018+0.0%-1.4%+4.2%
Q4 2017-0.5%+0.1%-4.4%
Q3 2017-0.6%+0.1%-3.2%
Q2 2017+2.2%+1.7%+0.1%
Q1 2017+4.3%-1.2%-4.9%
Q4 2016-1.4%-4.7%+2.1%
Q3 2016+0.9%+0.3%+21.9%
Q2 2016-0.4%-0.3%+4.3%
Q1 2016-0.0%
Q4 2015-2.6%
Q3 2015+4.8%
Q2 2015+0.8%
Q1 2015-1.5%
Q4 2014-4.3%
Q3 2014+0.0%
Q2 2014-0.4%
Q1 2014-1.1%
Q4 2013-2.7%
Q3 2013+1.3%
Q2 2013+1.6%
Q1 2013-2.6%
Q4 2012-2.9%
Q3 2012-1.0%
Q2 2012-0.6%
Q1 2011+0.9%
Q1 2012+3.4%
Q4 2009+2.2%
Q4 2010+2.2%
Q4 2011+2.2%
Q3 2011-3.3%
Q3 2010-3.3%
Q2 2011-8.3%
Q2 2010-8.3%
Q1 2010-6.8%

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