NASDAQ$MSBI

Midland States Bancorp Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Net income of $19.5 million, with diluted earnings per share of $0.86, was reported.

Midland States Bancorp, Inc. reported a net income available to common shareholders of $19.5 million, or $0.86 per diluted share, for Q1 2023. Total assets reached $7.93 billion, and portfolio loans amounted to $6.35 billion.

  • Net income available to common shareholders was $19.5 million, or $0.86 per diluted share.
  • Total loan growth of $47.8 million, or 3.0% annualized from prior quarter.
  • Total deposits increased $60.5 million, or 3.8% annualized from prior quarter, with uninsured deposits of 21%.
  • Tangible book value per share of $21.87, an increase of 4.4% from prior quarter

Headline financials

Total Revenue

$76.3M

Previous: $72.4M+5.3%
EPS (adj)

$0.88

Previous: $0.92-4.3%
Nonperforming Assets to Total Assets

0.7%

No prior period
Efficiency Ratio

57.6%

No prior period
Cost of Deposits

1.7%

No prior period
Allowance for Credit Losses to Total Loans

1.0%

No prior period
Allowance for Credit Losses to Nonperforming Loans

122.4%

No prior period
Capital Expenditures

-$2.79M

Previous: -$414K-573.4%
Free Cash Flow

$19M

Previous: $20.3M-6.6%
Net Income

$21.8M

Previous: $20.7M+4.9%
Operating Income

$28.2M

Previous: $48.4M-41.7%
Gross Profit

$73.1M

Previous: $67.5M+8.2%
Cash & Equivalents

$138M

Previous: $332M-58.4%
Total Assets

$7.93B

Previous: $7.34B+8.1%

Revenue & EPS history

Midland States · Revenue · Quarterly

$76.3M

Q1 2023+5.3%vs Q1 2022
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

Midland States · $8.98M total across 2 segments · Q1 2023

  • Wealth Management Revenue
    $6.41M
  • Service Charges on Deposit Accounts
    $2.57M

Forward guidance

Midland States Bancorp plans to continue prioritizing prudent risk management and conservative loan production to build capital and liquidity.

Tailwinds

  • Continued reductions in the consumer portfolio will be used to add to security portfolio and pay off higher cost funding sources.
  • The net impact is likely to be earnings neutral but capital accretive.
  • The company has a strong balance sheet with healthy asset quality.
  • The company believes it can capitalize on the current environment to add new commercial and retail deposit relationships.
  • Focus on continuing to grow and strengthen the core deposit base to generate long-term profitable growth and enhance the value of the franchise.

Headwinds

  • Uncertain economic conditions necessitate more selective new loan production.
  • Rising interest rates have increased the cost of funding liabilities at a faster rate than the yields on earning assets, declining net interest margin.
  • Losses on sales of investment securities negatively impacted noninterest income.
  • Increased payroll taxes and medical insurance contributed to increased expenses.
  • Seasonal related expenses, including snow removal and utilities expenses, increased occupancy and equipment expenses.

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 2023

Historical avgQ1 2023

-1.6%

Avg return

Earnings day

-0.9%

Avg return

5 days after

+0.8%

Avg return

30 days after

30%

14 / 46 earnings

Positive

+9.1%

Q3 2015

Best reaction

-20.0%

Q4 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.5%+9.5%+18.1%
Q4 2025-4.3%-5.2%-1.9%
Q3 2025-0.2%-0.5%+1.5%
Q2 2025-3.5%-3.5%-0.7%
Q1 2025-0.3%-5.6%-8.3%
Q4 2024-20.0%-21.3%-23.3%
Q3 2024+1.9%+6.2%+18.1%
Q2 2024-5.8%-8.2%-9.6%
Q1 2024-8.1%-10.0%-6.2%
Q4 2023-0.2%+2.4%-10.1%
Q3 2023+0.6%+7.4%+14.5%
Q2 2023+1.8%+0.3%-6.8%
Q1 2023+3.8%-0.6%+4.3%
Q4 2022-9.7%-4.2%-2.0%
Q3 2022+0.9%+4.2%-0.7%
Q2 2022-2.1%-1.9%-1.0%
Q1 2022-1.1%-0.6%-1.2%
Q4 2021-0.4%+4.8%+7.1%
Q3 2021+0.3%-2.7%-5.0%
Q2 2021-6.8%-5.8%-1.8%
Q1 2021-0.8%-0.9%-2.8%
Q4 2020-0.4%+3.0%+32.7%
Q3 2020-1.2%-4.6%-0.5%
Q2 2020+3.1%+1.4%-0.9%
Q1 2020-1.7%+6.2%-3.4%
Q4 2019-2.1%-3.4%-3.4%
Q3 2019-1.4%+1.3%+4.9%
Q2 2019+0.5%+2.6%-4.2%
Q1 2019+2.7%+0.8%-4.0%
Q4 2018-0.6%+3.0%+9.4%
Q3 2018-2.5%+1.7%-3.2%
Q2 2018-2.2%-4.1%-0.5%
Q1 2018-1.3%-1.4%+2.3%
Q4 2017-5.2%-4.6%-7.2%
Q3 2017-8.8%-8.9%-12.1%
Q2 2017-4.0%-4.8%-11.2%
Q1 2016-0.0%+0.1%-1.0%
Q1 2017+1.9%+2.9%+1.3%
Q1 2015-1.4%-2.0%-4.3%
Q4 2014-1.4%-2.0%-4.3%
Q4 2015-1.4%-2.0%-4.3%
Q4 2016-2.1%-2.6%+1.4%
Q3 2015+9.1%+13.1%+29.6%
Q3 2016-2.0%-3.6%+20.8%
Q2 2015+1.2%+2.7%+7.5%
Q2 2016+2.3%+1.7%+9.2%
Q3 2014
Q2 2014
Q1 2014
Q4 2013
Q3 2013
Q2 2013
Q1 2013
Q4 2012
Q1 2011
Q1 2010

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