Business
Midland States Bancorp, Inc. Announces 2020 Fourth Quarter Results
Summary Net income of $8.3 million, or $0.36 diluted earnings per shareAdjusted earnings of $12.5 million, or $0.54 diluted earnings per share, primarily
About this update from Midland States Bancorp, Inc.
[{"type":"text","content":"Summary Net income of $8.3 million, or $0.36 diluted earnings per shareAdjusted earnings of $12.5 million, or $0.54 diluted earnings per share, primarily reflecting the exclusion of $4.9 million of charges related to the prepayment of FHLB advancesTotal loans increased $161.9 million, or 3.3%, from September 30, 2020Total deposits increased $72.3 million, or 1.4%, from September 30, 2020Nonperforming loans declined 19.8% from September 30, 2020Allowance for credit losses increased to 1.18% of total loans EFFINGHAM, Ill., Jan. 28, 2021 (GLOBE NEWSWIRE) -- Midland States Bancorp, Inc. (Nasdaq: MSBI) (the “Company”) today reported net income of $8.3 million, or $0.36 diluted earnings per share, for the fourth quarter of 2020, which included $4.9 million of charges related to the prepayment of FHLB advances, a $0.6 million loss on mortgage servicing rights (“MSRs”) held-for-sale, and $0.2 million in integration and acquisition expenses. This compares to net income of $86 thousand, or $0.00 diluted earnings per share, for the third quarter of 2020, which included $13.9 million of charges primarily related to the Company’s branch and facilities optimization plan, and net income of $12.8 million, or $0.51 diluted earnings per share, for the fourth quarter of 2019, which included $3.3 million in integration and acquisition expenses and a $1.8 million loss on the repurchase of subordinated debt. Jeffrey G. Ludwig, President and Chief Executive Officer of the Company, said, “We delivered another strong quarter driven by significant growth in net interest income resulting from continued loan growth and a higher net interest margin. We saw good demand for commercial real estate loans, equipment financing, and warehouse lines to commercial FHA lenders, which drove a 13% annualized increase in our total loan balances. The strong loan growth enabled us to redeploy some of our excess liquidity into higher yielding earning assets. Combined with the continued reduction in our cost of deposits, the favorable shift in earning assets resulted in an increase in our net interest margin. “Although economic conditions remain challenging, we saw notable improvement in our asset quality during the fourth quarter. Our nonperforming loans declined by nearly 20% as we successfully resolved a number of longer-term problem loans, while more borrowers who recei...