NASDAQ$MSBI

Midland States Bancorp Inc · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Net income available to common shareholders of $16.2 million, or $0.74 per diluted share.

Midland States Bancorp, Inc. reported net income available to common shareholders of $16.2 million, or $0.74 per diluted share, for the third quarter of 2024. The company saw improvements in capital ratios and tangible book value per share, while managing balance sheet strategies.

  • Net income available to common shareholders was $16.2 million, or $0.74 per diluted share.
  • Adjusted pre-tax, pre-provision earnings were $27.5 million.
  • Tangible book value per share increased to $24.90, compared to $23.36 at June 30, 2024.
  • Common equity tier 1 capital ratio improved to 9.00%, compared to 8.64% at June 30, 2024.

Headline financials

Total Revenue

$74.3M

Previous: $76.8M-3.2%
EPS

$0.74

Previous: $0.78-5.1%
Net Interest Margin

3.3%

Previous: 3.2%+4.4%
Nonperforming Loans to Total Loans

2.0%

No prior period
Net Charge-offs to Average Loans (Annualized)

1.5%

No prior period
Return on Average Assets (Annualized)

1.1%

No prior period
Efficiency Ratio

53.6%

Previous: 55.8%-4.0%
Tangible Book Value Per Share

$22.70

No prior period
Cost of Deposits

2.7%

Previous: 2.3%+15.9%
Capital Expenditures

-$4.19M

Previous: -$7.06M+40.8%
Free Cash Flow

$14.3M

Previous: $11M+30.2%
Net Income

$18.5M

Previous: $18M+2.4%
Operating Income

$176K

Previous: $15.1M-98.8%
Gross Profit

$67.4M

Previous: $70.8M-4.8%
Cash & Equivalents

$122M

Previous: $132M-7.8%
Total Assets

$7.75B

Previous: $7.98B-2.8%

Revenue & EPS history

Midland States · Revenue · Quarterly

$74.3M

Q3 2024-3.2%vs Q3 2023
Beat estimate in 8 of 14 quarters(57%)
ActualEstimate

Revenue by segment

Midland States · $15.1M total across 4 segments · Q3 2023

  • Wealth Management Revenue
    $6.29M
  • Interchange Revenue
    $3.61M
  • Service Charges on Deposit Accounts
    $3.15M
  • Other Income
    $2.04M

Forward guidance

Midland States Bancorp expects positive trends in net interest margin and Wealth Management revenue, while remaining conservative in new loan production due to uncertain economic conditions. They are also making investments in talent and technology to increase market share and generate profitable growth.

Tailwinds

  • Well positioned to benefit from lower interest rates
  • Expect positive trends in net interest margin
  • Expect positive trends in revenue generated from Wealth Management business
  • Making investments in talent and technology that will further enhance ability to increase market share
  • Building a stronger balance sheet with a Total Capital Ratio of approximately 14%

Headwinds

  • Will remain conservative in new loan production while economic conditions remain uncertain
  • Credit quality metrics remained consistent this quarter compared to the second quarter of 2024, albeit, nonperforming loans were still at elevated levels.
  • Substandard loans increased $32.0 million to $167.5 million
  • Costs related to increased staffing levels
  • upgrades to our ATM fleet, and loan collection and OREO expenses drove the increase in noninterest expense in the third quarter of 2024 compared to the prior quarter.

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 2024

Historical avgQ3 2024

-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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