Midland States Bancorp, Inc. Announces Preliminary 2025 First Quarter Results
Midland States Bancorp reported preliminary Q1 2025 results with net income of $12.6 million ($0.57 per share). The bank is currently completing an evaluation of third-party lending arrangements and potential goodwill impairment, delaying its 2024 Annual Report filing.
Key financial metrics include:
- Net interest margin: 3.48%
- Total loans: $5.02 billion
- Total deposits: $5.94 billion
- Wealth management revenue: $7.4 million
Notable developments include the sale of $330 million in GreenSky loans, representing 89% of their portfolio. Credit quality shows improvement with no significant new substandard loans. Net charge-offs were $16.9 million, with $11.1 million fully reimbursed from third-party programs. The bank maintains strong capital ratios, with the Tier 1 leverage ratio at 9.90% for Midland States Bank and 9.55% for the holding company.
Midland States Bancorp ha comunicato i risultati preliminari del primo trimestre 2025 con un utile netto di 12,6 milioni di dollari (0,57 dollari per azione). La banca sta attualmente completando una valutazione degli accordi di prestito con terze parti e di un potenziale impairment dell'avviamento, ritardando la presentazione del bilancio annuale 2024.
I principali indicatori finanziari includono:
- Margine di interesse netto: 3,48%
- Totale prestiti: 5,02 miliardi di dollari
- Totale depositi: 5,94 miliardi di dollari
- Ricavi dalla gestione patrimoniale: 7,4 milioni di dollari
Tra gli sviluppi rilevanti si segnala la vendita di prestiti GreenSky per 330 milioni di dollari, pari all'89% del loro portafoglio. La qualità del credito mostra miglioramenti senza nuovi prestiti substandard significativi. Le svalutazioni nette sono state di 16,9 milioni di dollari, di cui 11,1 milioni completamente rimborsati da programmi di terze parti. La banca mantiene solidi rapporti patrimoniali, con un rapporto di leva Tier 1 del 9,90% per Midland States Bank e del 9,55% per la holding.
Midland States Bancorp reportó resultados preliminares del primer trimestre de 2025 con un ingreso neto de 12,6 millones de dólares (0,57 dólares por acción). El banco está finalizando una evaluación de acuerdos de préstamos con terceros y una posible deterioración del fondo de comercio, lo que ha retrasado la presentación del informe anual de 2024.
Las métricas financieras clave incluyen:
- Margen neto de interés: 3,48%
- Préstamos totales: 5,02 mil millones de dólares
- Depósitos totales: 5,94 mil millones de dólares
- Ingresos por gestión patrimonial: 7,4 millones de dólares
Entre los desarrollos notables se encuentra la venta de préstamos GreenSky por 330 millones de dólares, que representan el 89% de su cartera. La calidad crediticia muestra mejoras sin nuevos préstamos subestándar significativos. Las cancelaciones netas fueron de 16,9 millones de dólares, con 11,1 millones totalmente reembolsados por programas de terceros. El banco mantiene sólidos índices de capital, con una razón de apalancamiento Tier 1 del 9,90% para Midland States Bank y del 9,55% para la empresa matriz.
Midland States Bancorp는 2025년 1분기 예비 실적으로 순이익 1,260만 달러(주당 0.57달러)를 보고했습니다. 은행은 현재 제3자 대출 계약 및 잠재적 영업권 손상 평가를 완료 중이며, 이로 인해 2024년 연례 보고서 제출이 지연되고 있습니다.
주요 재무 지표는 다음과 같습니다:
- 순이자마진: 3.48%
- 총 대출금: 50억 2천만 달러
- 총 예금: 59억 4천만 달러
- 자산관리 수익: 740만 달러
주요 개발 사항으로는 포트폴리오의 89%에 해당하는 3억 3,000만 달러 규모의 GreenSky 대출 매각이 있습니다. 신용 품질은 개선되어 새로운 중대한 부실 대출은 없습니다. 순 대손상각은 1,690만 달러였으며, 이 중 1,110만 달러는 제3자 프로그램에서 전액 환급받았습니다. 은행은 Midland States Bank의 Tier 1 레버리지 비율 9.90%, 지주회사의 9.55%로 강한 자본 비율을 유지하고 있습니다.
Midland States Bancorp a publié des résultats préliminaires pour le premier trimestre 2025 avec un bénéfice net de 12,6 millions de dollars (0,57 dollar par action). La banque est en train de finaliser une évaluation des accords de prêt avec des tiers et d’une éventuelle dépréciation du goodwill, ce qui retarde le dépôt de son rapport annuel 2024.
Les principaux indicateurs financiers comprennent :
- Marge nette d’intérêt : 3,48%
- Total des prêts : 5,02 milliards de dollars
- Total des dépôts : 5,94 milliards de dollars
- Revenus de la gestion de patrimoine : 7,4 millions de dollars
Parmi les développements notables, la vente de prêts GreenSky pour 330 millions de dollars, représentant 89 % de leur portefeuille. La qualité du crédit s’améliore, sans nouveaux prêts douteux significatifs. Les pertes nettes sur créances se sont élevées à 16,9 millions de dollars, dont 11,1 millions entièrement remboursés par des programmes tiers. La banque maintient des ratios de capital solides, avec un ratio de levier Tier 1 de 9,90 % pour Midland States Bank et de 9,55 % pour la société mère.
Midland States Bancorp meldete vorläufige Ergebnisse für das erste Quartal 2025 mit einem Nettogewinn von 12,6 Millionen US-Dollar (0,57 US-Dollar je Aktie). Die Bank befindet sich derzeit in der abschließenden Bewertung von Drittanbieter-Kreditvereinbarungen und einer möglichen Wertminderung des Firmenwerts, was die Einreichung des Geschäftsberichts 2024 verzögert.
Wichtige Finanzkennzahlen sind:
- Nettozinsmarge: 3,48%
- Gesamtkredite: 5,02 Milliarden US-Dollar
- Gesamteinlagen: 5,94 Milliarden US-Dollar
- Erträge aus Vermögensverwaltung: 7,4 Millionen US-Dollar
Bemerkenswerte Entwicklungen umfassen den Verkauf von GreenSky-Krediten im Wert von 330 Millionen US-Dollar, was 89 % ihres Portfolios ausmacht. Die Kreditqualität verbessert sich, es gibt keine wesentlichen neuen notleidenden Kredite. Nettoabschreibungen betrugen 16,9 Millionen US-Dollar, davon wurden 11,1 Millionen US-Dollar vollständig durch Drittanbieterprogramme erstattet. Die Bank hält solide Kapitalquoten, mit einer Tier-1-Leverage-Ratio von 9,90 % für Midland States Bank und 9,55 % für die Holdinggesellschaft.
- Strong net interest margin of 3.48% with declining funding costs
- Community Bank loans increased by $56.8M (1.8%) with strong pipelines
- Retail deposits grew by $96.8M through marketing strategy
- Wealth Management revenue reached $7.4M with $4.10B assets under administration
- Bank maintains well-capitalized status with 13.10% total capital ratio
- Noninterest-bearing deposits increased by $35.1M
- Delayed filing of 2024 Annual Report due to accounting review
- Net charge-offs of $16.9M, with $4.5M losses in equipment finance portfolio
- High nonperforming loans at $140M (2.79% of total loans)
- Total deposits decreased by $260.8M from December 2024
- Total loans decreased by $149.5M from December 2024
- Potential goodwill impairment under evaluation
- Higher legal fees and collection expenses impacting noninterest expense
Insights
MSBI reports mixed Q1 2025 results amid ongoing accounting review, credit cleanup, and strategic portfolio reduction, while maintaining solid capital ratios.
Midland States Bancorp's preliminary Q1 2025 results reveal a $12.6 million net income ($0.57 per diluted share) while the company works through accounting issues related to third-party lending arrangements that have delayed their 2024 annual report. The bank is maintaining a 3.48% net interest margin, which represents a solid performance in the current rate environment.
Credit quality remains a key focus area with $16.9 million in net charge-offs, though notably $11.1 million of these were fully reimbursed through third-party programs. The bank reported nonperforming loans of $140 million (2.79% of total loans) and an allowance for credit losses of $90.5 million (1.80% of total loans), indicating ongoing credit challenges.
The completion of the $330 million GreenSky loan portfolio sale (representing 89% of their GreenSky exposure) is a significant step in the bank's strategic risk reduction. The intentional $159.3 million decrease in Specialty Finance loans further demonstrates management's commitment to reducing higher-risk exposures.
Total deposits decreased by $260.8 million to $5.94 billion, though management attributes this partly to normal first quarter distributions and seasonal adjustments. On the positive side, noninterest-bearing deposits increased by $35.1 million and retail deposits grew by $96.8 million.
Capital ratios remain well above regulatory requirements, with the bank reporting a total capital to risk-weighted assets ratio of 13.10% and tangible common equity to tangible assets of 6.32%, providing adequate cushion as they navigate through their credit cleanup efforts and accounting review.
MSBI's proactive credit risk management shows mixed results with substantial charge-offs offset by focused portfolio reduction and maintained reserve levels.
Midland States' credit risk profile presents a complex picture in Q1 2025. The $16.9 million in net charge-offs (equating to a 1.35% annualized rate) appears concerning at first glance, but requires deeper analysis. Approximately $11.1 million of these charge-offs came from third-party lending programs with full reimbursement, effectively transferring that risk. The remaining $4.5 million primarily stemmed from the trucking segment of their equipment finance portfolio – a known troubled sector experiencing industry-specific challenges.
The bank's nonperforming loan level of $140 million (2.79% of total loans) remains elevated, though management noted no significant new problem loans were identified during the quarter. The substandard accruing loans of $75.7 million represents another pocket of potential risk, though these also decreased slightly quarter-over-quarter.
The strategic divestiture of $330 million in GreenSky loans (89% of that portfolio) significantly reduces consumer credit exposure. Similarly, the $44.9 million reduction in equipment finance balances coupled with tighter underwriting standards demonstrates a deliberate de-risking approach in that troubled segment.
Reserves appear adequate with an allowance for credit losses at 1.80% of total loans, providing 64.60% coverage of nonperforming loans. The $8.3 million provision this quarter primarily addresses the continuing equipment finance portfolio deterioration.
These credit metrics suggest a bank actively managing through identified problem areas while maintaining sufficient capital buffers, though the elevated nonperforming loan ratio warrants continued monitoring.
EFFINGHAM, Ill., April 30, 2025 (GLOBE NEWSWIRE) -- Midland States Bancorp, Inc. (Nasdaq: MSBI) (the “Company”) reported preliminary results for the first quarter of 2025. As previously disclosed, the Company is completing its evaluation, subject to review by its independent registered public accounting firm, of the accounting and financial reporting of third-party lending and servicing arrangements, including the collection and analysis of third-party documentation, not material to tangible equity. This process is ongoing and must be completed for the Company to file its Annual Report on Form 10-K for the year ended December 31, 2024 (the “2024 Annual Report”), which is expected to include restated financial statements for the applicable periods.
While the Company works diligently to complete this process, the Company is providing preliminary results for the first quarter of 2025. These results reflect the updated accounting methodology for the remaining third party lending and servicing arrangements. The Company’s actual results may differ materially from these preliminary financial results. The Company is also completing an evaluation of whether there is an impairment to its goodwill, including obtaining valuation information from third parties. An impairment, if determined to exist, would not affect the tangible equity or the regulatory capital ratios of the Company. This preliminary financial data has been prepared by and is the responsibility of the Company. The Company’s independent auditor has not reviewed or audited these preliminary financial results. The results should be considered preliminary and are subject to adjustment based on the results of the process, the restatement and other developments that may arise between now and the time the Company’s 2024 audited consolidated financial statements are issued.
As a result of the delays in the filing of the 2024 Annual Report, certain subsequent events have been evaluated and will be recorded in the Company’s audited financial statements for the year ended December 31, 2024. The Company will continue to evaluate subsequent events that occur prior to the date the financial statements for the year ended December 31, 2024 are available to be issued.
Preliminary 2025 First Quarter Results
- Net income available to common shareholders of
$12.6 million , or$0.57 per diluted share, for the first quarter of 2025 - Pre-tax, pre-provision earnings of
$27.0 million , or$1.12 per diluted share, for the first quarter of 2025
Discussion of Outlook; President & Chief Executive Officer, Jeffrey G. Ludwig:
“We are working diligently to resolve the delay in our audited financials, although we want to emphasize that we do not expect a material impact to first quarter tangible equity or regulatory capital levels, and that our unaudited preliminary first quarter results already reflect the previously disclosed accounting methodology changes, for a small third party guaranteed loan portfolio.
“Improving credit quality remains a strategic priority, and during the first quarter we had no significant new substandard or nonperforming loans identified, with two-thirds of net charge-offs in the quarter taking place within third party programs that were fully reimbursed. The previously disclosed sale of
“Our underlying profitability trends were favorable in the first quarter, with a strong net interest margin of
Key Points for First Quarter and Outlook
Continued Credit Clean-up; Tightened Credit Standards
- The Company closed its sale of participation interests of consumer loans originated through the GreenSky program. The sale included approximately
$330 million , or89% , of the Company’s GreenSky portfolio. The remaining portfolio will be retained by the Company under a new servicing agreement. - Substandard accruing loans and nonperforming loans decreased slightly to
$75.7 million and$140.0 million at March 31, 2025, respectively. No significant new substandard or nonperforming loans were identified during the quarter. - Net charge-offs were
$16.9 million for the quarter, including$11.1 million of fully reimbursed charge-offs related to our third party lending programs. Net charge-offs in our equipment finance portfolio were approximately$4.5 million as we continue to see credit issues primarily in the trucking industry. - Provision for credit losses on loans was
$8.3 million for the first quarter of 2025, primarily as a result of continued trends in the equipment finance portfolio. - Allowance for credit losses on loans was
$90.5 million , or1.80% of total loans.
The table below summarizes certain information regarding the Company’s loan portfolio asset quality as of March 31, 2025.
| (in thousands) | As of and for the Three Months Ended March 31, 2025 | |||
| Asset Quality | ||||
| Loans 30-89 days past due | $ | 43,522 | ||
| Nonperforming loans | 140,020 | |||
| Nonperforming assets | 146,080 | |||
| Substandard accruing loans | 75,668 | |||
| Net charge-offs | 16,878 | |||
| Loans 30-89 days past due to total loans | 0.87 | % | ||
| Nonperforming loans to total loans | 2.79 | % | ||
| Nonperforming assets to total assets | 1.96 | % | ||
| Allowance for credit losses to total loans | 1.80 | % | ||
| Allowance for credit losses to nonperforming loans | 64.60 | % | ||
| Net charge-offs to average loans | 1.35 | % | ||
Solid Growth Trends in Community Bank & Wealth Management
- Total loans at March 31, 2025 were
$5.02 billion , a decrease of$149.5 million from December 31, 2024. Key changes in the loan portfolio were as follows:- Loans originated by our Community Bank increased
$56.8 million , or1.8% , from December 31, 2024, pipelines remain strong - We continue to pursue an intentional decrease in our Specialty Finance loan portfolio, as we tighten credit standards. Balances in this loan portfolio decreased
$159.3 million during the quarter. - Equipment finance portfolio balances declined
$44.9 million during the quarter as we continue to reduce the overall balances in this unit and tighten underwriting standards.
- Loans originated by our Community Bank increased
- Total deposits were
$5.94 billion at March 31, 2025, a decrease of$260.8 million from December 31, 2024. The decline in deposits reflects the following:- Noninterest-bearing deposits increased
$35.1 million in the quarter. - Retail deposits increased by
$96.8 million through a growth and marketing strategy implemented late in the first quarter of 2025, along with higher average deposits held by retail customers. - Brokered deposits, including both money market and time deposits decreased by
$115.4 million . - Sweep accounts included in interest bearing checking decreased by
$115.4 million , of which$80 million was related to normal first quarter distributions for one large depositor with the remainder due to seasonal adjustments. - Servicing deposits decreased by
$53.9 million .
- Noninterest-bearing deposits increased
- Wealth Management revenue totaled
$7.4 million in the first quarter of 2025. Assets under administration were$4.10 billion at March 31, 2025. The Company added six new sales positions in the first quarter of 2025 and continues to experience strong pipelines.
Net Interest Margin
- Net interest margin was
3.48% , and we saw a continued decline in the cost of funding. Rate cuts enacted by the Federal Reserve Bank in late 2024 continue to result in a lower cost of deposits for the Company, which fell to2.29% in the first quarter of 2025.
The following table summarizes certain factors affecting the Company’s net interest margin for the first quarter of 2025.
| For the Three Months Ended | |||||||||
| (dollars in thousands) | March 31, 2025 | ||||||||
| Interest-earning assets | Average Balance | Interest & Fees | Yield/Rate | ||||||
| Cash and cash equivalents | $ | 68,671 | $ | 718 | 4.24 | % | |||
| Investment securities(1) | 1,311,887 | 15,517 | 4.80 | ||||||
| Loans(1)(2) | 5,057,394 | 78,014 | 6.26 | ||||||
| Loans held for sale | 326,348 | 4,563 | 5.67 | ||||||
| Nonmarketable equity securities | 35,614 | 647 | 7.37 | ||||||
| Total interest-earning assets | 6,799,914 | 99,459 | 5.93 | ||||||
| Noninterest-earning assets | 687,870 | ||||||||
| Total assets | $ | 7,487,784 | |||||||
| Interest-Bearing Liabilities | |||||||||
| Interest-bearing deposits | $ | 5,074,007 | $ | 34,615 | 2.77 | % | |||
| Short-term borrowings | 73,767 | 700 | 3.85 | ||||||
| FHLB advances & other borrowings | 299,578 | 3,163 | 4.28 | ||||||
| Subordinated debt | 77,752 | 1,387 | 7.23 | ||||||
| Trust preferred debentures | 51,283 | 1,200 | 9.49 | ||||||
| Total interest-bearing liabilities | 5,576,387 | 41,065 | 2.99 | ||||||
| Noninterest-bearing deposits | 1,052,181 | ||||||||
| Other noninterest-bearing liabilities | 124,638 | ||||||||
| Shareholders’ equity | 734,578 | ||||||||
| Total liabilities and shareholder’s equity | $ | 7,487,784 | |||||||
| Net Interest Margin | $ | 58,394 | 3.48 | % | |||||
| Cost of Deposits | 2.29 | % | |||||||
| (1) | Interest income and average rates for tax-exempt loans and investment securities are presented on a tax-equivalent basis, assuming a federal income tax rate of |
| (2) | Average loan balances include nonaccrual loans. Interest income on loans includes amortization of deferred loan fees, net of deferred loan costs. |
Trends in Noninterest Income and Expense
- Noninterest income was
$17.8 million for the first quarter of 2025 and included a loss on limited partnership investments of$0.6 million and credit enhancement losses of$0.6 million , offset by income from death benefits on life insurance policies of$0.3 million . - As of the date of this earnings release, the Company expects noninterest income of approximately
$17.0 million to$17.5 million in the near term quarters after consideration of credit enhancement income or losses. - Noninterest expense was
$48.9 million for the first quarter of 2025 and was impacted by an additional$1.4 million in severance expense and$0.7 million in professional fees. The Company continues to experience higher levels of legal fees and other expenses related to loan collections. - As of the date of this earnings release, the Company expects the near term operating expense run rate to be approximately
$48.0 million to$49.0 million .
First Quarter 2025 Financial Highlights and Key Performance Indicators (KPIs):
| As of and for the Three Months Ended March 31, 2025 | ||||
| Return on average assets | 0.80 | % | ||
| Pre-tax, pre-provision return on average assets(1) | 1.46 | % | ||
| Net interest margin | 3.48 | % | ||
| Efficiency ratio (1) | 64.24 | % | ||
| Noninterest expense to average assets | 2.65 | % | ||
| Net charge-offs to average loans | 1.35 | % | ||
| Tangible book value per share at period end (1) | $ | 21.43 | ||
| Diluted earnings per common share | $ | 0.57 | ||
| Common shares outstanding at period end | 21,503,036 | |||
| (1) | Non-GAAP financial measures. Refer to page 10 for a reconciliation to the comparable GAAP financial measures. |
Capital
At March 31, 2025, Midland States Bank and the Company exceeded all regulatory capital requirements under Basel III, and Midland States Bank met the qualifications to be a ‘‘well-capitalized’’ financial institution, as summarized in the following table:
| As of March 31, 2025 | |||||
| Midland States Bank | Midland States Bancorp, Inc. | Minimum Regulatory Requirements (2) | |||
| Total capital to risk-weighted assets | |||||
| Tier 1 capital to risk-weighted assets | |||||
| Common equity Tier 1 capital to risk-weighted assets | |||||
| Tier 1 leverage ratio | |||||
| Tangible common equity to tangible assets (1) | N/A | N/A | |||
| (1) | A non-GAAP financial measure. Refer to page 10 for a reconciliation to the comparable GAAP financial measure. |
| (2) | Includes the capital conservation buffer of |
About Midland States Bancorp, Inc.
Midland States Bancorp, Inc. is a community-based financial holding company headquartered in Effingham, Illinois, and is the sole shareholder of Midland States Bank. As of March 31, 2025, the Company had total assets of approximately
Non-GAAP Financial Measures
Some of the financial measures included in this press release are not measures of financial performance recognized in accordance with GAAP.
These non-GAAP financial measures include “Pre-tax, pre-provision earnings,” “Pre-tax, pre-provision diluted earnings per share,” “Pre-tax, pre-provision return on average assets,” “Efficiency ratio,” “Tangible common equity to tangible assets,” and “Tangible book value per share.” The Company believes these non-GAAP financial measures provide both management and investors a more complete understanding of the Company’s funding profile and profitability. These non-GAAP financial measures are supplemental and are not a substitute for any analysis based on GAAP financial measures. Not all companies use the same calculation of these measures; therefore, the measures in this press release may not be comparable to other similarly titled measures as presented by other companies.
Forward-Looking Statements
Readers should note that in addition to the historical information contained herein, this press release includes "forward-looking statements" within the meanings of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including but not limited to statements about the Company’s plans, objectives, future performance, goals and future earnings levels, including currently anticipated levels of noninterest income and operating expenses. These statements are subject to many risks and uncertainties, including the expected timing and results of the Company’s audit for the year ended December 31, 2024, and the Company’s ongoing evaluation of whether there is an impairment to its goodwill; the fact that the completion and filing of the 2024 Annual Report has taken, and may continue to take, longer than expected; changes in interest rates and other general economic, business and political conditions; the impact of federal trade policy, inflation, increased deposit volatility and potential regulatory developments; changes in the financial markets; changes in business plans as circumstances warrant; changes to U.S. tax laws, regulations and guidance; and other risks detailed from time to time in filings made by the Company with the Securities and Exchange Commission. Readers should note that the forward-looking statements included in this press release are not a guarantee of future events, and that actual events may differ materially from those made in or suggested by the forward-looking statements. Forward-looking statements generally can be identified by the use of forward-looking terminology such as "will," "propose," "may," "plan," "seek," "expect," "intend," "estimate," "anticipate," "believe," "continue," or similar terminology. Any forward-looking statements presented herein are made only as of the date of this press release, and the Company does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.
CONTACTS:
Jeffrey G. Ludwig, President and CEO, at jludwig@midlandsb.com or (217) 342-7321
Eric T. Lemke, Chief Financial Officer, at elemke@midlandsb.com or (217) 342-7321
| MIDLAND STATES BANCORP, INC. | ||||
| CONSOLIDATED FINANCIAL SUMMARY (unaudited) | ||||
| (dollars in thousands) | As of March 31, 2025 | |||
| Assets | ||||
| Cash and cash equivalents | $ | 102,006 | ||
| Investment securities | 1,368,405 | |||
| Loans | 5,018,053 | |||
| Allowance for credit losses on loans | (90,458 | ) | ||
| Total loans, net | 4,927,595 | |||
| Loans held for sale | 287,821 | |||
| Premises and equipment, net | 86,719 | |||
| Other real estate owned | 4,669 | |||
| Loan servicing rights, at lower of cost or fair value | 17,278 | |||
| Goodwill | 161,904 | |||
| Other intangible assets, net | 11,189 | |||
| Company-owned life insurance | 212,336 | |||
| Credit enhancement asset | 5,614 | |||
| Other assets | 272,217 | |||
| Total assets | $ | 7,457,753 | ||
| Liabilities and Shareholders' Equity | ||||
| Noninterest-bearing demand deposits | $ | 1,090,707 | ||
| Interest-bearing deposits | 4,845,727 | |||
| Total deposits | 5,936,434 | |||
| Short-term borrowings | 40,224 | |||
| FHLB advances and other borrowings | 498,000 | |||
| Subordinated debt | 77,754 | |||
| Trust preferred debentures | 51,358 | |||
| Other liabilities | 109,599 | |||
| Total liabilities | 6,713,369 | |||
| Total shareholders’ equity | 744,384 | |||
| Total liabilities and shareholders’ equity | $ | 7,457,753 | ||
| MIDLAND STATES BANCORP, INC. | ||||
| CONSOLIDATED FINANCIAL SUMMARY (unaudited) (continued) | ||||
| (in thousands, except per share data) | For the Three Months Ended March 31, 2025 | |||
| Net interest income: | ||||
| Interest income | $ | 99,251 | ||
| Interest expense | 41,065 | |||
| Net interest income | 58,186 | |||
| Provision for credit losses on loans | 8,250 | |||
| Net interest income after provision for credit losses | 49,936 | |||
| Noninterest income: | ||||
| Wealth management revenue | 7,350 | |||
| Service charges on deposit accounts | 3,305 | |||
| Interchange revenue | 3,151 | |||
| Residential mortgage banking revenue | 676 | |||
| Income on company-owned life insurance | 2,334 | |||
| Credit enhancement (loss) income | (578 | ) | ||
| Other income | 1,525 | |||
| Total noninterest income | 17,763 | |||
| Noninterest expense: | ||||
| Salaries and employee benefits | 26,416 | |||
| Occupancy and equipment | 4,498 | |||
| Data processing | 6,919 | |||
| Professional services | 2,741 | |||
| Amortization of intangible assets | 911 | |||
| FDIC insurance | 1,463 | |||
| Other expense | 5,977 | |||
| Total noninterest expense | 48,925 | |||
| Income before income taxes | 18,774 | |||
| Income tax expense | 3,975 | |||
| Net income | 14,799 | |||
| Preferred stock dividends | 2,228 | |||
| Net income available to common shareholders | $ | 12,571 | ||
| Basic earnings per common share | $ | 0.57 | ||
| Diluted earnings per common share | $ | 0.57 | ||
| MIDLAND STATES BANCORP, INC. | |||
| CONSOLIDATED FINANCIAL SUMMARY (unaudited)(continued) | |||
| (in thousands) | As of March 31, 2025 | ||
| Loan Portfolio Mix | |||
| Commercial loans | $ | 869,009 | |
| Equipment finance loans | 390,276 | ||
| Equipment finance leases | 373,168 | ||
| Total commercial loans and leases | 1,632,453 | ||
| Commercial real estate | 2,592,325 | ||
| Construction and land development | 264,966 | ||
| Residential real estate | 373,095 | ||
| Consumer | 155,214 | ||
| Total loans | $ | 5,018,053 | |
| Loan Portfolio Segment | |||
| Regions | |||
| Eastern | $ | 897,792 | |
| Northern | 747,028 | ||
| Southern | 711,787 | ||
| St. Louis | 902,743 | ||
| Total Community Bank | 3,259,350 | ||
| Specialty finance | 865,401 | ||
| Equipment finance | 763,444 | ||
| Non-core consumer and other(1) | 129,858 | ||
| Total loans | $ | 5,018,053 | |
| Deposit Portfolio Mix | |||
| Noninterest-bearing demand | $ | 1,090,707 | |
| Interest-bearing: | |||
| Checking | 2,161,282 | ||
| Money market | 1,154,403 | ||
| Savings | 522,663 | ||
| Time | 818,732 | ||
| Brokered time | 188,647 | ||
| Total deposits | $ | 5,936,434 | |
| Deposit Portfolio by Channel | |||
| Retail | $ | 2,846,494 | |
| Commercial | 1,074,837 | ||
| Public Funds | 490,374 | ||
| Wealth & Trust | 301,251 | ||
| Servicing | 842,567 | ||
| Brokered Deposits | 358,063 | ||
| Other | 22,848 | ||
| Total deposits | $ | 5,936,434 | |
| (1) | Non-core consumer loans refers to consumer loan portfolios originated through third parties. |
| MIDLAND STATES BANCORP, INC. | ||||
| RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES (unaudited) | ||||
| Pre-Tax, Pre-Provision Earnings Reconciliation | ||||
| For the Three Months Ended March 31, 2025 | ||||
| Income before income taxes | $ | 18,774 | ||
| Provision for credit losses | 8,250 | |||
| Pre-tax, pre-provision earnings | $ | 27,024 | ||
| Pre-tax, pre-provision earnings per diluted share | $ | 1.12 | ||
| Pre-tax, pre-provision return on average assets | 1.46 | % | ||
| Efficiency Ratio Reconciliation | ||||
| (dollars in thousands) | For the Three Months Ended March 31, 2025 | |||
| Noninterest expense - GAAP | $ | 48,925 | ||
| Net interest income - GAAP | $ | 58,186 | ||
| Effect of tax-exempt income | 208 | |||
| Adjusted net interest income | 58,394 | |||
| Noninterest income - GAAP | 17,763 | |||
| Adjusted total revenue | $ | 76,157 | ||
| Efficiency ratio | 64.24 | % | ||
| Tangible Common Equity to Tangible Assets Ratio and Tangible Book Value Per Share | ||||
| (dollars in thousands, except per share data) | As of March 31, 2025 | |||
| Shareholders' Equity to Tangible Common Equity | ||||
| Total shareholders' equity—GAAP | $ | 744,384 | ||
| Adjustments: | ||||
| Preferred Stock | (110,548 | ) | ||
| Goodwill | (161,904 | ) | ||
| Other intangible assets, net | (11,189 | ) | ||
| Tangible common equity | 460,743 | |||
| Total Assets to Tangible Assets: | ||||
| Total assets—GAAP | $ | 7,457,753 | ||
| Adjustments: | ||||
| Goodwill | (161,904 | ) | ||
| Other intangible assets, net | (11,189 | ) | ||
| Tangible assets | $ | 7,284,660 | ||
| Common Shares Outstanding | 21,503,036 | |||
| Tangible Common Equity to Tangible Assets | 6.32 | % | ||
| Tangible Book Value Per Share | $ | 21.43 | ||
FAQ
What are Midland States Bancorp (MSBI) Q1 2025 earnings per share?
How much did MSBI sell its GreenSky loan portfolio for in April 2025?
What is MSBI's net interest margin for Q1 2025?
What are MSBI's loan quality metrics for Q1 2025?
How much are Midland States Bancorp's total deposits in Q1 2025?
What is MSBI's capital position as of Q1 2025?
