NASDAQ$SPFI

South Plains Financial Inc · Q2 2020 earnings

Q2 2020 earnings · · Investor relations

Briefing

Reported second quarter 2020 financial results.

South Plains Financial, Inc. reported net income of $5.6 million and diluted earnings per share of $0.31 for the second quarter of 2020. Pre-tax, pre-provision income (non-GAAP) was $20.1 million. The provision for loan losses was $13.1 million, primarily due to management’s expectations regarding the continued economic downturn related to the ongoing COVID-19 pandemic.

  • Net income for the second quarter of 2020 was $5.6 million, compared to $6.1 million for the second quarter of 2019.
  • Diluted earnings per share for the second quarter of 2020 was $0.31, compared to $0.37 for the second quarter of 2019.
  • Pre-tax, pre-provision income (non-GAAP) for the second quarter of 2020 was $20.1 million, compared to $8.6 million for the second quarter of 2019.
  • Average cost of deposits for the second quarter of 2020 decreased to 39 basis points, compared to 108 basis points for the second quarter of 2019.

Headline financials

Total Revenue

$55.3M

Previous: $38.5M+43.6%
EPS (adj)

$0.31

Previous: $0.37-16.2%
Net Interest Margin

3.8%

No prior period
Return on Average Assets

0.6%

No prior period
Efficiency Ratio

63.3%

No prior period
Nonperforming Assets to Total Assets

0.3%

Previous: 0.4%-10.8%
Capital Expenditures

-$2.4M

Previous: -$2.41M+0.2%
Free Cash Flow

$3.21M

Previous: $3.67M-12.5%
Net Income

$5.62M

Previous: $6.08M-7.6%
Operating Income

$45.5M

Previous: $26.1M+74.5%
Gross Profit

$55.3M

Previous: $38.5M+43.6%
Cash & Equivalents

$256M

Previous: $408M-37.2%
Total Assets

$3.58B

Previous: $2.78B+29.1%
Stock-Based Comp

$31K

Previous: $142K-78.2%

Revenue & EPS history

South Plains Financial · Revenue · Quarterly

$55.3M

Q2 2020+43.6%vs Q2 2019
Beat estimate in 11 of 12 quarters(92%)
ActualEstimate

Revenue by segment

South Plains Financial · $21.7M total across 3 segments · Q2 2020

  • Mortgage Banking Activities
    $18M
  • Bank Card Services and Interchange Fees
    $2.34M
  • Service Charges on Deposits
    $1.44M

Forward guidance

South Plains Financial feels well positioned to take advantage of opportunities that could be created in these difficult times.

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 2020

Historical avgQ2 2020

+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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