NASDAQ$FIBK

First Interstate BancSystem Inc · Q3 2022 earnings

Q3 2022 earnings · · Investor relations

Briefing

Reported third quarter earnings with net income driven by loan growth and an increased net interest margin, offset by provision for credit losses and realized losses on investment securities.

First Interstate BancSystem, Inc. reported a strong third quarter with a net income of $85.7 million, or $0.80 per share. The results were driven by loan growth and an increase in the net interest margin, offset by a provision for credit losses and realized losses on investment securities. The company also announced a 14.6% increase in the quarterly cash dividend to $0.47 per share.

  • Net income of $85.7 million, or $0.80 per share, driven by loan growth and increased net interest margin.
  • Quarterly cash dividend increased 14.6% to $0.47 per share.
  • Net interest margin increased to 3.71%.
  • Loans held for investment increased by $441.0 million, or an annualized 10.2%.

Headline financials

Total Revenue

$290M

Previous: $167M+73.9%
EPS (adj)

$0.80

Previous: $0.86-7.0%
Net Interest Margin

3.7%

Previous: 2.9%+27.5%
Return on Avg Equity

10.5%

No prior period
Efficiency Ratio

58.4%

Previous: 62.1%-6.0%
Free Cash Flow

$85.7M

Previous: $47.1M+82.0%
Net Income

$85.7M

Previous: $47.1M+82.0%
Operating Income

$194M

Previous: $127M+53.4%
Gross Profit

$290M

Previous: $167M+73.9%
Cash & Equivalents

$592M

Previous: $2.29B-74.2%
Total Assets

$31.3B

Previous: $19.4B+61.8%
Stock-Based Comp

$2.5M

Previous: $2M+25.0%

Revenue & EPS history

First Interstate · Revenue · Quarterly

$290M

Q3 2022+73.9%vs Q3 2021
Beat estimate in 5 of 15 quarters(33%)
ActualEstimate

Revenue by segment

First Interstate · $39.8M total across 6 segments · Q1 2023

  • Payment Services
    $18.7M+26.4%
  • Wealth Management
    $9M+11.1%
  • Service Charges
    $5.2M
  • Other Service Charges
    $2.4M
  • Mortgage Banking
    $2.3M-72.6%
  • Other Income
    $2.2M

Forward guidance

First Interstate BancSystem anticipates further improvement in the fourth quarter, driven by a favorable lending environment and continued margin expansion. The company believes it is well-positioned to generate strong financial results while maintaining a conservative approach to risk management.

Tailwinds

  • Lending environment remains favorable.
  • Margin expansion should continue.
  • Company is well positioned to continue generating strong financial results.
  • Company will continue to operate with a conservative approach to risk management.
  • Increased quarterly cash dividend by 14.6%, to $0.47 per share.

Headwinds

  • Economic conditions may vary.
  • Unspecified risks related to economic conditions.
  • Potential impact of external factors on financial results.
  • Continued monitoring of economic landscape.
  • No specific negative guidance mentioned in provided text.

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

-1.1%

Avg return

Earnings day

-0.6%

Avg return

5 days after

+1.1%

Avg return

30 days after

42%

27 / 64 earnings

Positive

+8.9%

Q3 2023

Best reaction

-11.8%

Q4 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.5%+4.3%+3.4%
Q4 2025-1.5%+2.6%-5.6%
Q3 2025-1.9%-1.3%+2.3%
Q1 2025-5.7%-3.9%-2.3%
Q3 2024-3.2%-1.7%+7.6%
Q2 2024+2.4%+0.6%-2.8%
Q1 2024+1.6%+2.1%+2.2%
Q4 2023-6.4%-10.2%-10.5%
Q3 2023+8.9%+7.5%+17.3%
Q2 2023+3.4%+4.0%-8.5%
Q1 2023-0.5%-3.8%-10.9%
Q4 2022-11.8%-5.8%-5.7%
Q3 2022+3.3%+6.5%+4.0%
Q2 2022+0.5%+1.3%+1.1%
Q1 2022-2.5%+6.3%+14.2%
Q4 2021-5.9%-3.1%+0.4%
Q3 2021-0.4%-2.6%+0.6%
Q2 2021-2.4%-0.4%+4.2%
Q1 2021-1.9%-2.8%-2.9%
Q4 2020-2.8%-0.1%+14.1%
Q3 2020-1.2%-4.1%+10.3%
Q2 2020-3.2%-3.8%+6.5%
Q1 2020-7.5%-7.8%-9.2%
Q4 2019+1.2%+0.1%-11.9%
Q3 2019-0.2%+0.1%-1.6%
Q2 2019+0.3%-1.4%-2.9%
Q1 2019-1.0%-0.7%-9.9%
Q4 2018+0.1%+2.2%+7.9%
Q3 2018-0.2%-0.3%+1.3%
Q2 2018+0.5%-0.7%+6.1%
Q1 2018+1.6%-0.6%+8.1%
Q4 2017+0.1%-0.2%-5.3%
Q3 2017+1.3%+0.0%+4.4%
Q2 2017-1.1%-1.9%-3.9%
Q1 2017+0.9%-5.7%-9.7%
Q4 2016+0.7%-1.6%+5.7%
Q3 2016+0.8%+0.5%+18.2%
Q2 2016+2.0%+2.0%+6.1%
Q1 2016-2.9%
Q4 2015+2.9%
Q3 2015-4.8%
Q2 2015+1.0%
Q1 2015-1.0%
Q4 2014-3.8%
Q3 2014+2.2%
Q2 2014-0.2%
Q1 2014-3.9%
Q4 2013-4.3%
Q3 2013+2.3%
Q2 2013+3.4%
Q1 2013+1.8%
Q4 2012+4.7%
Q3 2012+2.7%
Q2 2012-1.1%
Q1 2011+1.5%
Q1 2012+0.9%
Q4 2011-2.4%
Q4 2009-2.4%
Q3 2010-4.5%
Q3 2011-4.5%
Q2 2010-7.6%
Q4 2010-7.6%
Q2 2011-7.6%
Q1 2010-0.1%

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