NASDAQ$PGC

Peapack-Gladstone Financial Corporation · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Peapack-Gladstone's financial performance decreased in Q4 2020 due to increased operating expenses and provision for loan losses.

Peapack-Gladstone Financial Corporation reported a decrease in net income and EPS for the fourth quarter of 2020, compared to the same period last year. Total revenue decreased slightly, while operating expenses increased significantly. The quarter included increased net interest income and noninterest income, but these were offset by increased operating expenses and a higher provision for loan losses.

  • Total revenue was $46.14 million, a slight decrease from $46.44 million in the same quarter last year.
  • Net income was $3.03 million, a significant decrease from $12.23 million in the same quarter last year.
  • Diluted EPS was $0.16, a decrease from $0.64 in the same quarter last year.
  • The company authorized the repurchase of up to 948,735 shares, or approximately 5% of its outstanding shares, through March 31, 2022.

Headline financials

Total Revenue

$46.1M

Previous: $46.4M-0.6%
EPS (adj)

$0.47

Previous: $0.64-26.6%
Net Interest Margin

2.3%

No prior period
Capital Expenditures

$569K

Previous: $608K-6.4%
Free Cash Flow

$17.4M

Previous: $18.5M-6.1%
Net Income

$3.03M

Previous: $12.2M-75.2%
Operating Income

$4.54M

Previous: $17.8M-74.5%
Gross Profit

$38.7M

Previous: $46.4M-16.6%
Cash & Equivalents

$653M

Previous: $208M+213.8%
Total Assets

$5.89B

Previous: $5.18B+13.7%

Revenue & EPS history

Peapack-Gladstone · Revenue · Quarterly

$46.1M

Q4 2020-0.6%vs Q4 2019
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Peapack-Gladstone · $12.6M total across 2 segments · Q4 2020

  • Wealth Mgmt Fees
    $10.8M+6.6%
  • Capital Markets
    $1.85M

Forward guidance

The Company's near-term priorities include actively deploying/managing capital and liquidity, growing and expanding core wealth management and commercial banking businesses, expanding net interest margin, continuing to assess the economic recovery, investing in digital enhancements, and growing fee income.

Tailwinds

  • Actively deploy/manage capital and liquidity by expanding our lending activities and execution on our recently announced stock repurchase program.
  • Grow and expand our core wealth management and commercial banking businesses, including lift-outs, strategic hires, and acquisition of wealth management firms.
  • Expand our net interest margin.
  • Continue to assess the economic recovery; modify our allowance for credit losses as justified given the economic environment.
  • Invest in digital enhancements to improve the client acquisition and experience.

Headwinds

  • Our inability to successfully grow our business and implement our strategic plan, including an inability to generate revenues to offset the increased personnel and other costs related to the strategic plan.
  • The impact of anticipated higher operating expenses in 2021 and beyond.
  • Our inability to successfully integrate wealth management firm acquisitions.
  • Our inability to manage our growth.
  • Our inability to successfully integrate our expanded employee base.

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 Q4 2020

Historical avgQ4 2020

+0.4%

Avg return

Earnings day

+1.5%

Avg return

5 days after

+4.1%

Avg return

30 days after

55%

36 / 65 earnings

Positive

+9.7%

Q3 2024

Best reaction

-12.3%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.7%+8.9%+8.8%
Q3 2025+1.0%+2.0%+9.8%
Q2 2025-0.9%+1.8%+9.3%
Q1 2025-1.2%-0.8%-5.0%
Q4 2024-1.2%-3.5%-1.1%
Q3 2024+9.7%+10.3%+25.7%
Q2 2024+1.4%+7.6%-1.8%
Q1 2024-6.6%-7.2%-8.2%
Q4 2023+4.0%+4.6%-18.7%
Q3 2023-7.0%-8.0%+5.4%
Q2 2023+2.5%-1.2%-9.0%
Q1 2023-2.2%-2.4%+0.1%
Q4 2022+1.0%+5.0%+6.2%
Q3 2022+4.9%+4.3%+10.0%
Q2 2022+5.1%+6.9%+9.3%
Q1 2022-2.6%+1.3%+4.6%
Q4 2021+6.7%+8.7%+9.2%
Q3 2021+2.4%+2.9%+2.4%
Q2 2021+5.6%+3.8%+9.4%
Q1 2021+2.3%+4.4%+6.2%
Q4 2020+5.6%+8.9%+23.4%
Q3 2020+2.3%+3.1%+36.6%
Q2 2020+1.8%-3.3%+2.5%
Q1 2020-12.3%-1.7%+8.9%
Q4 2019+3.0%+4.0%-4.7%
Q3 2019+3.3%+4.5%+7.4%
Q2 2019+1.3%+2.0%-2.8%
Q1 2019+8.4%+5.1%+2.0%
Q4 2018+1.4%-0.4%+10.6%
Q3 2018-2.4%-3.8%-1.4%
Q2 2018-2.7%-3.4%-2.1%
Q1 2018-2.7%-4.8%+3.8%
Q4 2017+3.8%+1.2%-6.3%
Q3 2017-0.6%+1.2%-4.3%
Q2 2017-3.6%-2.2%-6.1%
Q1 2017+6.4%+3.3%-3.5%
Q4 2016-4.3%-2.2%+1.1%
Q3 2016-2.5%-2.9%+22.2%
Q2 2016+0.0%+0.9%-0.2%
Q1 2016+2.7%
Q4 2015-6.5%
Q3 2015+5.5%
Q2 2015+1.4%
Q1 2015+3.3%
Q4 2014+0.6%
Q3 2014-4.2%
Q2 2014-0.2%
Q1 2014+2.9%
Q4 2013-1.5%
Q3 2013-2.6%
Q2 2013-1.3%
Q1 2013-1.7%
Q4 2009-1.5%
Q1 2010-1.5%
Q4 2012-1.5%
Q3 2012+0.1%
Q2 2012-3.0%
Q1 2011-1.5%
Q1 2012+3.7%
Q4 2011-1.7%
Q3 2011+0.3%
Q3 2010+0.3%
Q2 2010+1.4%
Q2 2011+1.4%
Q4 2010+1.4%

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