NYSE$TMP

Tompkins Financial Corporation · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Tompkins Financial Corporation reported a decrease in earnings for Q2 2023 due to the sale of available-for-sale securities.

Tompkins Financial Corporation reported a decrease in diluted earnings per share to $0.59 for Q2 2023, a 59.3% decrease compared to Q2 2022. Net income for the quarter was $8.5 million, down 59.4% from $20.9 million in the same period last year. The results were negatively impacted by the sale of $80.9 million of available-for-sale securities, resulting in a $7.1 million pre-tax loss.

  • Diluted earnings per share decreased by 59.3% to $0.59 compared to Q2 2022.
  • Net income decreased by 59.4% to $8.5 million compared to Q2 2022.
  • Net interest income decreased to $51.9 million from $58.3 million in Q2 2022.
  • Total loans increased by 3.7% to $5.4 billion compared to June 30, 2022.

Headline financials

Total Revenue

$64.5M

Previous: $77.2M-16.4%
EPS (adj)

$0.59

Previous: $1.45-59.3%
Net interest margin

2.8%

No prior period
Capital Expenditures

-$3.34M

Previous: -$4.77M+30.0%
Free Cash Flow

$5.13M

Previous: $16.1M-68.1%
Net Income

$8.48M

Previous: $20.9M-59.4%
Operating Income

$11.8M

Previous: $42.3M-72.2%
Gross Profit

$62.3M

Previous: $76.4M-18.5%
Cash & Equivalents

$81.6M

Previous: $80.4M+1.5%
Total Assets

$7.63B

Previous: $7.84B-2.8%
Stock-Based Comp

$1.11M

Previous: $1.03M+8.0%

Revenue & EPS history

Tompkins · Revenue · Quarterly

$64.5M

Q2 2023-16.4%vs Q2 2022
Beat estimate in 6 of 15 quarters(40%)
ActualEstimate

Revenue by segment

Tompkins · $60M total across 3 segments · Q1 2021

  • Insurance commissions
    $20M
  • Wealth management
    $20M
  • Card services
    $20M

Forward guidance

The economic environment remains challenging for the banking industry. Despite these challenges, which continue to negatively affect our net interest income, we saw some positive trends during the second quarter and first half of 2023.

Tailwinds

  • Annualized loan growth of 6.0% from the immediate prior quarter
  • Stable noninterest bearing deposit balances when compared to the first quarter this year
  • Year-to-date annualized fee income growth of 1.3% over that same period in 2022
  • Company repurchased 108,219 common shares at an aggregate cost of $6.3 million
  • Board of Directors has authorized a new Stock Repurchase Program to repurchase up to 400,000 shares

Headwinds

  • Economic environment remains challenging for the banking industry
  • Sale of $80.9 million of available-for-sale securities negatively affected current quarter
  • Net interest income decreased from the first quarter of 2023 and the second quarter of 2022
  • Noninterest income of $12.6 million for the second quarter of 2023 was down $6.3 million, or 33.4%, compared to the second quarter of 2022.
  • Noninterest expense was $52.0 million for the second quarter of 2023, which was up $2.8 million, or 5.8%, over the second quarter of 2022.

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 2023

Historical avgQ2 2023

+0.2%

Avg return

Earnings day

-0.5%

Avg return

5 days after

+1.3%

Avg return

30 days after

47%

31 / 66 earnings

Positive

+7.9%

Q3 2024

Best reaction

-6.4%

Q3 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.6%-1.3%+0.8%
Q4 2025+4.4%+8.7%-0.0%
Q3 2025+1.4%-1.1%+5.5%
Q2 2025-1.1%-1.3%+2.8%
Q1 2025-0.7%-0.1%+1.6%
Q4 2024+3.0%+7.1%+2.2%
Q3 2024+7.9%+5.7%+23.1%
Q2 2024-0.2%-1.0%-2.8%
Q1 2024-2.3%-0.3%+1.8%
Q4 2023+0.5%-9.1%-10.2%
Q3 2023+0.2%-0.6%+7.9%
Q2 2023+0.7%+2.8%-9.3%
Q1 2023-1.3%-9.7%-8.1%
Q4 2022-0.5%+0.5%+0.8%
Q3 2022+2.9%+2.2%+4.4%
Q2 2022-0.5%+2.8%+4.4%
Q1 2022-1.5%+0.5%+0.4%
Q4 2021-0.5%+0.3%-0.7%
Q3 2021+2.7%-1.3%+1.6%
Q2 2021-0.6%-0.1%+4.6%
Q1 2021+2.4%+2.2%+3.5%
Q4 2020-2.7%+0.2%+10.0%
Q3 2020-0.8%-5.5%+13.4%
Q2 2020-0.8%+1.9%+2.4%
Q1 2020-2.8%-5.2%-4.7%
Q4 2019+0.5%+2.4%-9.4%
Q3 2019+1.5%+4.8%+6.7%
Q2 2019-1.9%-0.9%-2.6%
Q1 2019+4.0%+4.1%+2.8%
Q4 2018-6.0%-6.4%+2.2%
Q3 2018-6.4%-11.6%+0.1%
Q2 2018+3.0%+0.6%-0.7%
Q1 2018-0.8%-0.2%+9.1%
Q4 2017-1.9%-2.0%-3.9%
Q3 2017-1.4%-1.4%-2.2%
Q2 2017-1.3%+2.0%-6.6%
Q1 2017-3.9%-1.8%-10.2%
Q4 2016-3.5%-4.5%-3.0%
Q3 2016+0.3%-6.6%+9.8%
Q2 2016+4.1%+4.4%+4.0%
Q1 2016+0.6%
Q4 2015+4.7%
Q3 2015-0.6%
Q2 2015+0.6%
Q1 2015+0.1%
Q4 2014+0.5%
Q3 2014+0.3%
Q2 2014-0.2%
Q1 2014-2.1%
Q4 2013-1.4%
Q3 2013+4.8%
Q2 2013-1.5%
Q1 2013-2.5%
Q4 2012+2.4%
Q3 2012+2.3%
Q2 2012-1.0%
Q1 2011+0.6%
Q1 2012+1.6%
Q4 2011+2.3%
Q4 2009+2.3%
Q4 2010+2.3%
Q3 2011-1.7%
Q3 2010-1.7%
Q2 2010-0.3%
Q2 2011-0.3%
Q1 2010+5.2%

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