Midland States Bancorp, Inc. · NASDAQ:MSBI
Midland States Bancorp — Q3 2016 Earnings Presentation
17 slides from Midland States Bancorp's earnings presentation, Oct 27, 2016
Slide 1: Midland States Bancorp, Inc. Third Quarter 2016 Earnings Call
Midland States Bancorp, Inc. NASDAQ: MSBI Third Quarter 2016 Earnings Call Midland [=]
Slide 2: Forward-Looking Statements and Use of Non-GAAP Financial Measures
forecasts of future events or long-term goals and, by their iets, ial id the control of Midk B P, Inc. (the “Company’, * “Midland States” or “MSBI’). y i includ Hs the heading “Risk Factors” in the , file with the Securities and Exchange Commission (“SEC’). oe paths statements are not guarantees . d
Slide 3: Third Quarter 2016 Summary
Third Quarter 2016 Summary Strong Earnings ‘Strong Loan Growth residential real estate, ‘Strong Growth in i lized i Multiple Portfolios consumer and equipment leasing portfolios Diverse Revenue Mix Improving Efficiencies sharing sper, ‘amortization "mciency Ratio represents non-neret expenses, as ad
Slide 4: Business Unit Review - Love Funding
Business Unit Review - Love Funding facilities Loan Rate Locks Commercial FHA Revenue Mix nations oom $281 2.5 s22a7 $196 as Mite $23 so ah $20 7 soa | | sa 302015 402015 102016 202016 30.2016 302015 402015 © 1a2016 202016 ain Servicing
Slide 5: Business Unit Review - Residential Mortgage
Business Unit Review - Residential Mortgage Loan Production, Sales and Net Gain Purchase / Refinance Mix amon stet $144 “8 108 23% sd se4 $128 ae 38% 3r% 08 S104 $48 302015 402015 142016 = 202016 © 802016 302015 4a2015 10.2016 2016 = 302016 ‘Purchase Production Refinance Production Net cain on Sale
Slide 6: Business Unit Review - Heartland Business Credit
Business Unit Review - Heartland Business Credit Attractive yield i i lwtheiguart y y 17 3182 sise $128 si s328 $202 #255 e221 s204 16 30.2018 30.2015 40.2015 10.2016 new originations Lease Finance Pototo
Slide 7: Business Unit Review — Wealth Management
Business Unit Review — Wealth Management Financial . terling Administration to $1.6 billion Assets Under Administration Wealth Management Revenue cnmtiens ames) 1,145, $1,181 $1,190 $1,198 $1,295 st94 | | | 302015 402015 12016 = 2a 2016 © 30.2016 302015 402015 12016 © 2a 2016 sa. 2016 [=]:
Slide 8: Net Interest Income/Margin
Net Interest Income/Margin income . a uahebae margin increased by 14 basis points, primarily due to a favorable mix of earnings assets Net Interest Income NIM / NIM Excl. Accretion Income nator ers a $26.5 sam 49% 420% 4.00% 323% — 66% 3.56% 3.55% Laie 30.2015 215 102016 ~=— 202016 © _3a.2016 302015
Slide 9: Non-Interest Income
Non-Interest Income . i i in 3Q1 2Q16 ii identi revenue in commercial FHA (iomtions) $149 $14.5 (a $128 $126 30.2015 10.2015 10.2016 202016 30.2016 Commercial FHA = Residential Mortgage ‘= Wealth Management All other, net [=]:
Slide 10: Non-Interest Expense and Operating Efficiency
Non-Interest Expense and Operating Efficiency + Efficiency Ratio‘ declined to “Noninerest expense in mitlons) 65% in 3Q16 vs. 67% in 2Q16 + Improvement in ay expenses compared to 2Q16 40.2015 1.2016 20.2016 30.2016 smtionsncerest Expense —s—emiclency Ratio rnterest expenses, a auste, died by the sum
Slide 11: Loan Portfolio
Loan Portfolio 2Q16 son ial FHA loans Loan Portfolio Mix uanerend) 3Q2016 202016 3Q2015 Commercial mercial real estate 956 929 866 Construction and land development 164 182 131 Residential real estate 217 179 168 Consumer 248 205 158 Lease financing 183 128 Total $ 2313 § 2,161 $ 1,973 14% in 3Q16 T
Slide 12: Total Deposits
Total Deposits . i 2Q16 and 5% vs. 3Q15 and brokered deposits its is i ‘ial FHA business Deposit Mix Total Depo: (tensa tate) Gomes a of queen) $2,420 302016 2Q2016 302015 $2,390 Non-interest-bearing demand $ 13 $2,368 Now 658 e27 623 Perr Money market 366 375-350 Savings 163 165 155 ca Time 42 431
Slide 13: Asset Quality
Asset Quality i i sed by ili 2016 credit that was modified to a TDR in the quarter Non-performing Loans / Total Loans NCO / Average Loans (FotLcaa aso area) 1.87% 1.23% 1.25% pisit 0.93% 0.85% I | I | ; [ 0.09% 011% 0.04% — = za 302015 402015 1a.2016 © 202016302016 3a2018 402015 1a2016 © 202016.
Slide 14: Outlook
Outlook
Slide 15: APPENDIX
APPENDIX
Slide 16: Reconciliations of Non-GAAP Financial Measures
MIDLAND STATES BANCORP, INC. RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES, ‘September 30, Tune 30, Gin thousant 2016 2016 Aes er Recomeaon income before incame taxes - GAAP s nurs 1a $ 7995S los07 Ss 5379 For the Quarter Ended, Mareh 31, December31, September 30, 2016 2015 2015 Gain on sales ofmve
Slide 17: Reconciliations of Non-GAAP Financial Measures
MIDLAND STATES BANCORP, INC. RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES. Asot ‘Sepeniber 30, Jane 30, March 31, December 31, Sepember 3, (onthnsond except peor dota) 2016 2016 2016 2015, 201s Sharer Eu Tange Commo uy ‘Taal shareoliers eqity-—GAAK SMI —-$ MBS SBSH STARS HS Acpstnents: ‘Nencot ong
Midland States Bancorp — Q3 2016 Earnings Presentation on 6ix