NASDAQ$PEBO

Peoples Bancorp Inc · Q3 2023 earnings

Q3 2023 earnings · · Investor relations

Briefing

Reported record earnings driven by the Limestone merger and strong organic growth.

Peoples Bancorp reported record earnings for Q3 2023, driven by the Limestone merger and strong organic growth. Net interest income grew by 10%, and fee-based revenue increased by 3% compared to the linked quarter. The company's return on average stockholder equity improved to 12.6%, and diluted earnings per share were $0.90, negatively impacted by one-time costs of $0.15.

  • Net interest income grew 10% compared to the linked quarter.
  • Fee-based revenue increased 3% compared to the linked quarter.
  • Return on average stockholder equity improved to 12.6%.
  • Diluted earnings per share were $0.90, impacted by $0.15 of one-time costs.

Headline financials

Total Revenue

$116M

Previous: $87.4M+33.2%
EPS (adj)

$0.90

Previous: $0.92-2.2%
Efficiency Ratio

58.4%

Previous: 57.2%+2.1%
Net Interest Margin

4.7%

Previous: 4.2%+12.7%
Total Capital Ratio

13.1%

No prior period
Capital Expenditures

-$10.6M

Previous: -$7.01M-51.5%
Free Cash Flow

$21.3M

Previous: $19M+12.1%
Net Income

$31.9M

Previous: $26M+22.7%
Operating Income

$40.7M

Previous: $33.4M+22.0%
Gross Profit

$112M

Previous: $85.6M+31.3%
Cash & Equivalents

$299M

Previous: $145M+106.0%
Total Assets

$8.94B

Previous: $7.01B+27.6%
Stock-Based Comp

-$139K

Previous: -$126K-10.3%

Revenue & EPS history

Peoples Bancorp · Revenue · Quarterly

$116M

Q3 2023+33.2%vs Q3 2022
Beat estimate in 10 of 15 quarters(67%)
ActualEstimate

Forward guidance

Peoples Bancorp provided guidance for the full year 2023 and preliminary guidance for 2024. The company expects net interest income and margin to experience some compression in Q4 2023 but anticipates a full-year range of 4.5% to 4.7%. Annual organic loan growth is projected to be between 6% and 8%, excluding acquired Limestone loans. Fee-based income percentage growth is expected to be in the low to mid-double digits compared to 2022. For 2024, the company anticipates higher net interest income and fee-based income growth in the low double-digit percentages.

Tailwinds

  • Expects higher net interest income in 2024 due to the full-year benefit of the Limestone merger.
  • Projects fee-based income growth in the low double-digit percentages for 2024.
  • Anticipates loan growth between 6% and 8% compared to 2023.
  • Confident in achieving the current core consensus estimate for 2024 diluted EPS of $3.61.
  • Expects to beat the consensus estimate for the full year of 2023, excluding certain expenses.

Headwinds

  • Anticipates some compression in net interest income and margin in Q4 2023.
  • Expects a 22% to 24% increase in total non-interest expenses for 2023, excluding acquisition-related expenses.
  • Assumes Q4 2023 non-interest expense will be between $65 million and $67 million.
  • Anticipates an increase in the provision for credit losses in 2024, excluding the one-time provision recorded for the Limestone merger in 2023.
  • The first quarter of 2024 is expected to have higher non-interest expenses due to annual 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 Q3 2023

Historical avgQ3 2023

+0.1%

Avg return

Earnings day

+1.3%

Avg return

5 days after

+2.0%

Avg return

30 days after

63%

41 / 65 earnings

Positive

+8.4%

Q3 2020

Best reaction

-12.7%

Q3 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.9%-1.8%-0.4%
Q4 2025+1.2%+0.6%+7.7%
Q3 2025+1.6%+4.9%-0.7%
Q2 2025+0.0%-1.6%+1.2%
Q1 2025+2.0%+4.0%+6.9%
Q3 2024+1.6%-0.3%+15.7%
Q2 2024-0.4%+1.8%-9.5%
Q1 2024+5.2%+4.2%+2.6%
Q4 2023-7.3%-3.0%-5.9%
Q3 2023+3.4%+7.0%+15.9%
Q2 2023+2.7%+1.0%-6.2%
Q1 2023+1.1%+1.7%+3.5%
Q4 2022+1.9%+3.7%+9.8%
Q3 2022-6.2%-2.5%-4.6%
Q2 2022+5.5%+8.9%+8.0%
Q1 2022-5.7%-8.4%-6.9%
Q4 2021+0.3%-0.8%-7.2%
Q3 2021-5.7%-3.8%-0.2%
Q2 2021+4.9%+3.5%+10.5%
Q1 2021+0.6%+0.2%-3.8%
Q4 2020-1.7%-2.2%+1.8%
Q3 2020+8.4%+13.4%+19.0%
Q2 2020+4.0%+5.5%+7.4%
Q1 2020-6.6%-5.5%-3.7%
Q4 2019+2.3%+0.7%-5.7%
Q3 2019+1.5%+0.5%+0.3%
Q2 2019+2.1%+2.5%-1.4%
Q1 2019+4.1%+3.6%+1.1%
Q4 2018+4.3%+4.7%+8.4%
Q3 2018-0.6%+0.9%+1.9%
Q2 2018-2.4%-4.8%-9.3%
Q1 2018+1.2%-1.1%+1.2%
Q4 2017+2.0%+5.8%+2.0%
Q3 2017+3.6%+3.4%+0.4%
Q2 2017+7.6%+5.3%-1.1%
Q1 2017+2.5%-0.8%-8.6%
Q4 2016-3.9%-3.4%+2.1%
Q3 2016+0.4%+0.4%+18.0%
Q2 2016+1.3%+1.2%+6.4%
Q1 2016+7.8%
Q4 2015+4.3%
Q3 2015-12.7%
Q2 2015-9.7%
Q1 2015-3.4%
Q4 2014-8.9%
Q3 2014-6.7%
Q2 2014+0.3%
Q1 2014+2.3%
Q4 2013+1.6%
Q3 2013+2.6%
Q2 2013+0.3%
Q1 2013+1.3%
Q4 2011+0.6%
Q4 2010+0.6%
Q4 2009+0.6%
Q4 2012-5.0%
Q3 2012-1.4%
Q2 2012+2.9%
Q1 2012+1.7%
Q3 2010-1.0%
Q3 2011-1.0%
Q2 2011-4.0%
Q2 2010-4.0%
Q1 2011-1.8%
Q1 2010-1.8%

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