NASDAQ$IBCP

Independent Bank Corporation · Q1 2024 earnings

Q1 2024 earnings · · Investor relations

Briefing

Reported an increase in net income and diluted earnings per share compared to the first quarter of 2023, along with growth in core deposits and loans.

Independent Bank Corporation reported a strong first quarter in 2024, with net income reaching $16.0 million, or $0.76 per diluted share, marking a significant increase compared to the previous year. The bank experienced growth in both loans and core deposits, alongside net interest margin expansion and well-managed expenses, contributing to positive growth trends.

  • Net income and diluted earnings per share increased by 23.1% and 24.6%, respectively, over the first quarter of 2023.
  • Tangible book value per share increased by $2.50 (15.7%) over the first quarter of 2023.
  • Net growth in core deposits reached $95.7 million, or 9.0% annualized, from December 31, 2023.
  • Net growth in loans amounted to $49.1 million, or 5.3% annualized, from December 31, 2023.

Headline financials

Total Revenue

$52.8M

Previous: $49M+7.7%
EPS

$0.76

Previous: $0.61+24.6%
Net Interest Margin

3.3%

Previous: 3.3%-0.9%
NPA to Total Assets

0.1%

No prior period
Allowance to NPLs

1526.1%

No prior period
Capital Expenditures

-$676K

Previous: -$1.33M+49.0%
Free Cash Flow

$15.3M

Previous: $11.7M+31.3%
Net Income

$16M

Previous: $13M+23.1%
Operating Income

$25.3M

Previous: $32M-21.0%
Gross Profit

$52.8M

Previous: $49M+7.7%
Stock-Based Comp

$591K

Previous: $569K+3.9%

Revenue & EPS history

Independent Bank · Revenue · Quarterly

$52.8M

Q1 2024+7.7%vs Q1 2023
Beat estimate in 11 of 14 quarters(79%)
ActualEstimate

Revenue by segment

Independent Bank · $10.5M total across 2 segments · Q1 2022

  • Mortgage Servicing Net
    $9.64M
  • Net Gains on Mtg Loans
    $835K

Forward guidance

Independent Bank Corporation is optimistic about continuing positive growth trends for the balance of this year and into 2025, based on the past record of their core group of professionals and the ongoing addition of talented bankers to the team.

Tailwinds

  • Driving organic growth on both sides of the balance sheet with loans up 5.3% and core deposits up 9.0%.
  • Generate net interest margin expansion, increasing to 3.30% from 3.26% on a linked quarter basis.
  • Net interest income growth on both a linked quarter basis and on a year over year quarterly basis.
  • Expenses continue to be well managed.
  • Credit metrics continue to be very good, with watch credits and non-performing assets near historic lows.

Headwinds

  • Deterioration in general business and economic conditions could adversely affect revenues.
  • Turbulence in domestic or global financial markets could reduce the availability of funding.
  • Changes in interest rates could adversely affect results.
  • Increases in unemployment rates could adversely affect results.
  • Legal and regulatory developments could adversely affect results.

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 Q1 2024

Historical avgQ1 2024

+1.3%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+2.4%

Avg return

30 days after

55%

36 / 65 earnings

Positive

+13.3%

Q4 2010

Best reaction

-7.8%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.9%+1.6%+0.7%
Q4 2025+1.0%-0.3%+5.5%
Q3 2025-0.7%-5.2%+2.6%
Q2 2025-1.4%-2.2%-1.1%
Q1 2025-1.2%-0.7%+0.5%
Q4 2024+1.3%+4.2%-3.8%
Q3 2024-2.0%-0.1%+15.9%
Q2 2024+3.2%+4.7%+3.2%
Q1 2024-0.5%-1.2%+1.1%
Q4 2023-3.0%+1.3%-9.2%
Q3 2023+3.5%+5.6%+20.0%
Q2 2023+4.8%+4.4%-4.7%
Q1 2023+4.3%-6.7%+0.1%
Q4 2022-5.8%-3.4%-3.1%
Q3 2022+5.8%+11.1%+17.1%
Q2 2022+0.0%+2.5%+4.8%
Q1 2022-4.0%-7.6%-10.0%
Q4 2021-4.7%-4.4%-6.0%
Q3 2021+0.3%+2.5%+8.0%
Q2 2021+1.0%+2.4%+1.8%
Q1 2021+1.3%+2.3%+1.0%
Q4 2020-1.4%+5.4%+11.0%
Q3 2020-1.4%+0.6%+21.8%
Q2 2020+8.4%+6.9%+13.7%
Q1 2020-7.8%-15.2%-15.0%
Q4 2019-0.7%-2.0%-1.8%
Q3 2019+2.8%+2.8%+0.7%
Q2 2019-1.9%-1.8%-12.6%
Q1 2019-2.9%-2.8%-1.3%
Q4 2018-1.0%-0.5%+3.7%
Q3 2018-1.8%+3.3%+3.7%
Q2 2018-0.8%-2.8%-0.2%
Q1 2018+5.4%+2.1%+5.2%
Q4 2017+1.5%+2.9%+0.2%
Q3 2017+4.0%+1.1%-1.6%
Q2 2017-2.8%+0.2%-2.1%
Q1 2017+8.5%+4.7%-2.1%
Q4 2016+0.5%+0.0%+4.7%
Q3 2016+1.3%+1.0%+12.7%
Q2 2016+2.1%+4.0%+9.0%
Q1 2016+0.7%
Q4 2015+2.2%
Q3 2015-3.0%
Q2 2015+1.2%
Q1 2015+1.2%
Q4 2014+1.5%
Q3 2014-2.5%
Q2 2014+6.8%
Q1 2014-5.2%
Q4 2013-0.4%
Q3 2013+0.3%
Q2 2013-3.4%
Q1 2013-3.0%
Q4 2012+0.3%
Q4 2011+0.3%
Q3 2012-0.9%
Q2 2012+10.2%
Q1 2011-4.1%
Q1 2012+3.6%
Q4 2009+4.2%
Q3 2010+10.7%
Q3 2011+10.7%
Q2 2011+13.3%
Q2 2010+13.3%
Q4 2010+13.3%

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