Business
Midland States Bancorp, Inc. Announces 2021 Third Quarter Results
Summary Net income of $19.5 million, or $0.86 diluted earnings per shareTotal loans increased 8.2% annualized, excluding commercial FHA lines and PPP
About this update from Midland States Bancorp, Inc.
[{"type":"text","content":"Summary Net income of $19.5 million, or $0.86 diluted earnings per shareTotal loans increased 8.2% annualized, excluding commercial FHA lines and PPP loansNon-performing loans declined 11.0% from end of prior quarterNet interest margin increased 5 bps from prior quarter to 3.34%Efficiency ratio improved to 58.78% from 60.19% in prior quarter Book value and tangible book value per share increased 2.3% and 3.4%, respectively EFFINGHAM, Ill., Oct. 28, 2021 (GLOBE NEWSWIRE) -- Midland States Bancorp, Inc. (Nasdaq: MSBI) (the “Company”) today reported net income of $19.5 million, or $0.86 diluted earnings per share, for the third quarter of 2021, which included a $3.0 million impairment charge on commercial mortgage servicing rights (“MSRs”). This compares to net income of $20.1 million, or $0.88 diluted earnings per share, for the second quarter of 2021, which included a $6.8 million tax benefit related to the settlement of a prior tax issue, $3.6 million in professional fees related to the settlement, and a $3.7 million charge related to the prepayment of a longer-term FHLB advance. This also 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. Jeffrey G. Ludwig, President and Chief Executive Officer of the Company, said, “We delivered another strong quarter driven by positive trends across most areas of our operations. The contribution of new additions to our commercial banking team and increasing demand helped drive another quarter of solid loan growth. We are also seeing improved asset quality, net interest margin expansion as a result of the elimination of higher cost funding sources, and growth in wealth management revenue following our acquisition of ATG Trust Company earlier this year. The higher level of revenue we are generating is driving further improvement in operating leverage and an increase in pre-provision, pre-tax income. “We expect to see a continuation of these positive trends in the fourth quarter. We are benefitting from our efforts to increase our presence in higher growth markets in Northern Illinois and St. Louis, which is resulting in the consistent addition of full banking relationships with new commercial clients. Our loan and deposit pi...