NASDAQ$SPFI

South Plains Financial Inc · Q1 2021 earnings

Q1 2021 earnings · · Investor relations

Briefing

South Plains Financial's first quarter 2021 financial results were reported.

South Plains Financial reported a net income of $15.2 million and diluted earnings per share of $0.82 for the first quarter of 2021. The company saw an increase in noninterest income driven by mortgage banking activities, while also managing to decrease the average cost of deposits.

  • Net income for the first quarter of 2021 was $15.2 million.
  • Diluted earnings per share for the first quarter of 2021 was $0.82.
  • Pre-tax, pre-provision income (non-GAAP) for the first quarter of 2021 was $19.0 million.
  • Average cost of deposits for the first quarter of 2021 decreased to 29 basis points.

Headline financials

Total Revenue

$56M

Previous: $49.1M+14.2%
EPS (adj)

$0.82

Previous: $0.38+115.8%
Net Interest Margin

3.5%

No prior period
Return on Average Assets

1.7%

Previous: 0.9%+86.5%
Efficiency Ratio

65.8%

Previous: 69.1%-4.8%
Nonperforming Assets to Total Assets

0.4%

Previous: 0.3%+50.0%
Yield on Loans

5.1%

No prior period
Capital Expenditures

-$90K

Previous: -$1.16M+92.2%
Free Cash Flow

$15.1M

Previous: $5.93M+154.3%
Net Income

$15.2M

Previous: $7.08M+114.0%
Operating Income

$49.8M

Previous: $38.1M+30.7%
Gross Profit

$56M

Previous: $49.1M+14.2%
Cash & Equivalents

$413M

Previous: $136M+203.8%
Total Assets

$3.73B

Previous: $3.22B+16.1%
Stock-Based Comp

$390K

Previous: $310K+25.8%

Revenue & EPS history

South Plains Financial · Revenue · Quarterly

$56M

Q1 2021+14.2%vs Q1 2020
Beat estimate in 11 of 12 quarters(92%)
ActualEstimate

Revenue by segment

South Plains Financial · $20.4M total across 2 segments · Q1 2021

  • Mortgage Banking Activities
    $18.8M+115.0%
  • Service Charges on Deposits
    $1.57M

Forward guidance

South Plains Financial anticipates loan growth to reaccelerate to a low single digit rate through 2021, excluding PPP loans, before returning to mid-single digit growth in 2022.

Tailwinds

  • Local Texas markets continued to recover as the pace of business has started to accelerate.
  • Real estate volumes remained strong.
  • The price of oil continued to rise.
  • Customers' demand for credit has improved.
  • Loan growth is expected to reaccelerate.

Headwinds

  • Potential impacts of the COVID-19 pandemic remain uncertain.
  • Additional provisions for loan losses may be necessary in future periods.
  • Lower loan rates and less purchase discount accretion impacted interest income.
  • Higher health insurance costs increased personnel expenses.
  • Slower loan demand and accelerated repayments experienced during 2020.

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 2021

Historical avgQ1 2021

+0.5%

Avg return

Earnings day

-0.0%

Avg return

5 days after

+1.8%

Avg return

30 days after

55%

18 / 33 earnings

Positive

+5.9%

Q1 2021

Best reaction

-8.6%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.0%-9.0%-7.7%
Q4 2025-2.0%+0.8%+3.4%
Q3 2025+0.8%-5.8%-0.5%
Q2 2025-2.4%-0.4%+0.0%
Q1 2025+1.4%+1.4%+4.7%
Q4 2024+5.4%+3.7%-3.1%
Q3 2024-1.6%+0.6%+14.9%
Q2 2024-0.5%+7.5%+2.7%
Q1 2024-3.0%-3.0%+1.4%
Q4 2023+2.0%-4.7%-8.6%
Q3 2023+2.4%+4.2%+5.2%
Q2 2023+3.0%+5.1%+3.2%
Q1 2023+1.6%-0.4%+9.3%
Q4 2022+1.5%+1.2%-3.3%
Q3 2022-0.8%+2.4%+5.4%
Q2 2022+5.5%+6.3%+10.8%
Q1 2022-4.1%-6.0%-6.0%
Q4 2021+0.3%-1.5%-2.2%
Q3 2021+2.6%+4.2%+8.5%
Q2 2021-0.2%-2.5%-2.8%
Q1 2021+5.9%+7.2%+8.8%
Q4 2020-2.9%-2.2%-1.3%
Q3 2020-0.8%+0.9%+29.7%
Q2 2020+5.4%+2.3%+7.7%
Q1 2020-8.6%-10.4%-5.7%
Q4 2018+4.2%-2.4%-22.6%
Q4 2019+4.2%-2.4%-22.6%
Q3 2018+4.6%+9.5%+13.9%
Q3 2019+3.9%+6.1%+17.9%
Q2 2018-5.4%-3.1%+2.4%
Q2 2019+0.1%-1.4%-9.4%
Q1 2018-2.3%-4.4%+2.2%
Q1 2019-2.3%-4.4%+2.2%

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