NASDAQ$NWBI

Northwest Bancshares Inc · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Net income decreased compared to the same quarter last year, influenced by the sale of the Northwest insurance line of business in the previous year.

Northwest Bancshares reported a net income of $33.4 million, or $0.26 per diluted share, for the quarter ended June 30, 2022. This represents a decrease of $15.5 million, or 31.7%, compared to the same quarter last year. The results reflect loan growth momentum and an expansion in the net interest margin, offset by the impact of the previous year's gain from the sale of the insurance business.

  • Net income for Q2 2022 was $33.4 million, or $0.26 per diluted share, down from $49.0 million, or $0.38 per diluted share, in the same quarter last year.
  • Organic loan growth was approximately $200.0 million, or almost 2.0%, augmented by the purchase of loan portfolios.
  • Net interest margin expanded by 32bp due to increased market interest rates and deployment of excess liquidity into higher yielding interest-earning assets.
  • Asset quality metrics improved, with nonperforming and classified assets decreasing.

Headline financials

Total Revenue

$131M

Previous: $150M-13.1%
EPS (adj)

$0.26

Previous: $0.23+13.0%
Free Cash Flow

$33.4M

Previous: $48M-30.3%
Net Income

$33.4M

Previous: $49M-31.7%
Operating Income

$121M

Previous: $143M-15.3%
Gross Profit

$130M

Previous: $150M-13.9%
Cash & Equivalents

$505M

Previous: $857M-41.1%
Total Assets

$14.2B

Previous: $14.3B-1.0%
Stock-Based Comp

$1.42M

Previous: $1.72M-17.1%

Revenue & EPS history

Northwest Bancshares · Revenue · Quarterly

$131M

Q2 2022-13.1%vs Q2 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Revenue by segment

Northwest Bancshares · $109M total across 6 segments · Q2 2020

  • Loans receivable
    $103M
  • Mortgage-backed securities
    $4.04M
  • Tax-free investment securities
    $564K
  • Taxable investment securities
    $439K
  • FHLB stock dividends
    $309K
  • Interest-earning deposits
    $185K

Forward guidance

This release may contain forward-looking statements with respect to the financial condition and results of operations of Northwest Bancshares, Inc. including, without limitations, statements relating to the earnings outlook of the Company. These forward-looking statements involve certain risks and uncertainties.

Headwinds

  • changes in the interest rate environment
  • competitive pressure among financial services companies
  • general economic conditions including an increase in non-performing loans
  • changes in legislation or regulatory requirements
  • difficulties in continuing to improve operating efficiencies

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 2022

Historical avgQ2 2022

+0.4%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+1.3%

Avg return

30 days after

50%

34 / 68 earnings

Positive

+6.3%

Q1 2020

Best reaction

-3.7%

Q3 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+5.0%+3.3%+4.4%
Q4 2025+0.7%+1.7%+2.0%
Q3 2025-3.7%-6.4%-3.8%
Q1 2025+5.7%+6.5%+4.2%
Q4 2024+0.1%-1.7%-4.6%
Q3 2024-0.1%-1.3%+9.8%
Q2 2024+3.2%+7.1%-0.8%
Q1 2024-1.2%-2.8%+1.2%
Q4 2023+6.1%+7.0%-4.1%
Q3 2023+5.5%+6.2%+12.5%
Q2 2023+1.5%+5.5%-6.0%
Q1 2023-2.3%+2.0%-6.1%
Q4 2022-0.4%+0.7%+0.5%
Q3 2022+4.7%+8.1%+9.5%
Q2 2022+4.2%+10.0%+10.0%
Q1 2022-3.1%-4.4%-4.4%
Q4 2021+2.2%-1.8%-2.1%
Q3 2021+1.2%-2.1%+0.1%
Q2 2021-3.4%-1.1%-3.0%
Q1 2021+0.4%-0.7%-1.8%
Q4 2020-3.3%-8.0%+4.4%
Q3 2020-0.7%+0.9%+17.0%
Q2 2020-1.9%-0.8%+0.7%
Q1 2020+6.3%-1.1%+3.9%
Q4 2019-2.8%-2.7%-7.9%
Q3 2019+4.9%+2.7%+0.1%
Q2 2019-2.5%-2.0%-7.7%
Q1 2019+0.8%+0.3%+1.0%
Q4 2018-1.5%-2.7%+2.1%
Q3 2018-0.6%-1.7%+6.7%
Q2 2018+1.5%+0.8%+3.2%
Q1 2018+1.2%+2.1%+2.8%
Q4 2017+0.9%-0.1%-1.0%
Q3 2017-0.8%-2.3%-7.1%
Q2 2017+5.0%+3.9%+1.2%
Q1 2017-0.8%-4.7%-9.9%
Q4 2016+0.6%-1.5%+4.5%
Q3 2016+0.3%-0.4%+17.1%
Q2 2016-0.6%-1.1%+1.5%
Q1 2016+0.9%
Q4 2015+2.0%
Q3 2015+0.0%
Q2 2015-1.4%
Q1 2015+3.5%
Q4 2014+0.3%
Q3 2014-0.6%
Q2 2014-3.4%
Q1 2014-1.5%
Q4 2013-0.6%
Q3 2013+3.1%
Q2 2013-1.1%
Q1 2013+1.1%
Q4 2012+1.1%
Q3 2012+1.2%
Q2 2012+2.4%
Q1 2012+1.8%
Q3 2009-1.7%
Q4 2010-1.7%
Q4 2009-1.7%
Q2 2009-1.7%
Q1 2009-1.7%
Q4 2011-1.7%
Q3 2010-2.9%
Q3 2011-2.9%
Q2 2010+0.1%
Q2 2011+0.1%
Q1 2010-0.1%
Q1 2011-0.1%

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro