NASDAQ$GABC

German American Bancorp Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Reported strong second quarter performance driven by balance sheet growth, improved net interest income, reduced provision for credit losses, increased non-interest income, and disciplined expense control.

German American Bancorp, Inc. reported a strong second quarter with earnings of $23.8 million, or $0.90 per share. This represents a significant increase compared to both the previous quarter and the same period last year, driven by growth in loans and deposits, improved net interest income, and a solid increase in core non-interest income.

  • Second quarter earnings were $23.8 million, or $0.90 per share, a 22% increase from the first quarter and a 67% increase year-over-year.
  • Total assets reached $5.349 billion, a 10% increase compared to both March 31, 2021 and June 30, 2020.
  • Core loan portfolio, excluding PPP loans, increased by 5% on an annualized basis, marking the first quarter of loan growth since the pandemic's onset.
  • A $5.0 million reversal of the provision for credit losses was recorded due to improved loan portfolio quality.

Headline financials

Total Revenue

$53.8M

Previous: $50.9M+5.7%
EPS (adj)

$0.90

Previous: $0.54+66.7%
Net Interest Margin

3.3%

Previous: 3.6%-8.1%
Efficiency Ratio

52.9%

Previous: 54.4%-2.8%
NPAs to Assets

0.3%

Previous: 0.4%-15.0%
NPLs to Loans

0.6%

Previous: 0.6%-3.4%
Loans 30-89 Days PD

0.1%

No prior period
Capital Expenditures

-$1.8M

Previous: -$3.38M+46.9%
Free Cash Flow

$22M

Previous: $10.9M+102.6%
Net Income

$23.8M

Previous: $14.3M+67.1%
Operating Income

$38.3M

Previous: $32M+19.9%
Gross Profit

$48.8M

Previous: $45M+8.4%
Cash & Equivalents

$370M

Previous: $278M+32.9%
Total Assets

$5.35B

Previous: $4.85B+10.3%
Stock-Based Comp

$639K

Previous: $282K+126.6%

Revenue & EPS history

German American · Revenue · Quarterly

$53.8M

Q2 2021+5.7%vs Q2 2020
Beat estimate in 13 of 16 quarters(81%)
ActualEstimate

Revenue by segment

German American · $11.8M total across 5 segments · Q2 2022

  • Interchange Fees
    $4.17M
  • Deposit Service Charges
    $2.87M
  • Wealth Mgmt Fees
    $2.64M
  • Other Op Income
    $1.23M
  • COLI Income
    $894K

Forward guidance

While new developments related to the pandemic continue to cause uncertainty, the company is hopeful that improvements in commercial and social activities will remain steady and looks forward with optimism to continued economic growth in the coming months.

Tailwinds

  • Improvements in commercial activities
  • Improvements in social activities
  • Continued economic growth
  • Solid first quarter earnings
  • Exceptionally strong performance in the second quarter

Headwinds

  • New developments related to the pandemic continue to cause uncertainty
  • Uncertainty for business customers
  • Uncertainty for retail customers
  • Impact of PPP loan activity
  • Economic impacts of the COVID-19 pandemic

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 Q2 2021

Historical avgQ2 2021

+0.2%

Avg return

Earnings day

+0.2%

Avg return

5 days after

+1.8%

Avg return

30 days after

55%

36 / 66 earnings

Positive

+7.3%

Q2 2012

Best reaction

-8.1%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.4%-1.2%-1.2%
Q4 2025+3.6%+3.7%+5.0%
Q3 2025+1.9%+1.1%+1.4%
Q2 2025-1.7%+0.2%+2.2%
Q1 2025+2.1%+2.8%-1.1%
Q4 2024+4.4%+3.5%-0.9%
Q3 2024+2.8%+3.1%+15.4%
Q2 2024-2.4%-10.1%-4.4%
Q1 2024-1.6%-0.3%-2.9%
Q4 2023+3.9%-1.7%-4.8%
Q3 2023+0.9%+5.5%+7.9%
Q2 2023+1.9%+7.0%-2.4%
Q1 2023-8.1%-8.0%-10.4%
Q4 2022+3.7%+9.5%+5.0%
Q3 2022+0.8%+2.1%+1.9%
Q2 2022+7.0%+7.3%+6.7%
Q1 2022-3.6%-5.2%-0.1%
Q4 2021+1.8%+1.6%+1.1%
Q3 2021+0.5%-1.1%+8.1%
Q2 2021+4.0%+5.1%+4.4%
Q1 2021-1.2%-2.0%-8.1%
Q4 2020-0.8%-1.7%+16.3%
Q3 2020-4.7%-4.5%+7.5%
Q2 2020-1.7%-4.0%-2.8%
Q1 2020-2.3%-2.0%+16.9%
Q4 2019+0.8%-2.5%-7.6%
Q3 2019+0.5%+1.9%+3.0%
Q2 2019+2.3%+0.7%-1.2%
Q1 2019+1.2%+2.3%-2.9%
Q4 2018-3.7%-0.8%+2.4%
Q3 2018+3.7%+1.7%+2.7%
Q2 2018-1.2%-1.6%+1.4%
Q1 2018+0.5%+3.9%+5.9%
Q4 2017-1.4%+0.2%-5.1%
Q3 2017-7.1%-7.0%-1.1%
Q2 2017-1.2%-6.5%-8.8%
Q1 2017+6.3%+0.3%-5.5%
Q4 2016-1.2%+0.1%+0.5%
Q3 2016+1.7%+3.2%+22.3%
Q2 2016+1.3%+1.0%+5.4%
Q1 2016-5.5%
Q4 2015-1.8%
Q3 2015-3.5%
Q2 2015-2.1%
Q1 2015+2.9%
Q4 2014-0.2%
Q3 2014+5.5%
Q2 2014+0.1%
Q4 2013+6.5%
Q1 2014-1.0%
Q3 2013-0.3%
Q2 2013+1.3%
Q4 2012+1.3%
Q1 2013-3.5%
Q4 2010-3.6%
Q4 2011-3.6%
Q3 2012+2.9%
Q2 2012+7.3%
Q1 2011+0.1%
Q1 2012+2.9%
Q4 2009+6.2%
Q3 2011-4.2%
Q2 2011-6.8%
Q3 2010-3.4%
Q2 2010+0.5%
Q1 2010-0.2%

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