First Busey (BUSE) reported $124.95 million in revenue for the quarter ended March 2025, representing a year-over-year increase of 12.8%. EPS of $0.57 for the same period compares to $0.47 a year ago.The reported revenue represents a surprise of -9.55% over the Zacks Consensus Estimate of $138.14 million. With the consensus EPS estimate being $0.53, the EPS surprise was +7.55%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Str ...

Group 1 - First Busey reported quarterly earnings of $0.57 per share, exceeding the Zacks Consensus Estimate of $0.53 per share, and up from $0.47 per share a year ago, representing an earnings surprise of 7.55% [1] - The company posted revenues of $124.95 million for the quarter ended March 2025, which missed the Zacks Consensus Estimate by 9.55%, compared to year-ago revenues of $110.77 million [2] - First Busey shares have declined approximately 15.6% since the beginning of the year, while the S&P 500 has decreased by 12.3% [3] Group 2 - The current consensus EPS estimate for the upcoming quarter is $0.62 on revenues of $193.68 million, and for the current fiscal year, it is $2.54 on revenues of $730.02 million [7] - The Zacks Industry Rank for Banks - Midwest is in the top 13% of over 250 Zacks industries, indicating a favorable outlook for the industry [8] - Independent Bank, another company in the same industry, is expected to report quarterly earnings of $0.70 per share, reflecting a year-over-year change of -7.9% [9]

Financial Performance - First Busey Corporation reported a net loss of $30.0 million, or $(0.44) per diluted common share, for Q1 2025, compared to net income of $28.1 million, or $0.49 per diluted common share, in Q4 2024[11]. - Adjusted net income for Q1 2025 was $39.9 million, or $0.57 per diluted common share, up from $30.9 million, or $0.53 per diluted common share, in Q4 2024[11]. - Adjusted pre-provision net revenue was $54.7 million for Q1 2025, compared to $42.0 million in Q4 2024[12]. - The effective income tax rate for Q1 2025 was 8.20%, significantly lower than 24.77% in Q4 2024[11]. - Adjusted net income for Q1 2025 was $39,898 thousand, up from $30,872 thousand in Q4 2024 and $25,713 thousand in Q1 2024, showing increases of 29.5% and 55.2% respectively[63]. - The diluted earnings per share (GAAP) for Q1 2025 was $(0.44), compared to $0.49 in Q4 2024 and $0.46 in Q1 2024[63]. Revenue and Income Sources - Net interest income increased to $103.7 million in Q1 2025, compared to $81.6 million in Q4 2024 and $75.9 million in Q1 2024[13]. - The net interest margin improved to 3.16% in Q1 2025, up from 2.95% in Q4 2024 and 2.79% in Q1 2024[14]. - Total noninterest income decreased by 39.7% compared to Q4 2024, primarily due to net securities losses related to a strategic balance sheet repositioning[15]. - Wealth management fees increased by 3.4% quarter-over-quarter and 11.7% year-over-year, with $13.68 billion in assets under care[18]. - Payment technology solutions revenue decreased by 11.1% year-over-year, primarily due to declines in electronic and online payment income[18]. - Customer service fees increased by 15.2% year-over-year, driven by higher analysis charges and ATM fees[18]. Expenses and Efficiency - Total noninterest expense rose by 47.3% quarter-over-quarter and 62.7% year-over-year, largely due to one-time acquisition expenses from the CrossFirst acquisition[19]. - Adjusted noninterest expense was $82.9 million, up from $72.6 million in the previous quarter and $68.6 million a year ago[20]. - Busey's efficiency ratio was 79.3% for Q1 2025, compared to 64.5% in Q4 2024 and 58.1% in Q1 2024[21]. - Total noninterest expense for Q1 2025 was $115,171 thousand, significantly higher than $78,167 thousand in Q4 2024 and $70,769 thousand in Q1 2024, reflecting increases of 47.4% and 62.8% respectively[71]. - The efficiency ratio (Non-GAAP) for Q1 2025 was 79.35%, compared to 64.45% in Q4 2024 and 58.13% in Q1 2024, indicating a decline in efficiency[71]. Assets and Loans - Total assets reached $19.46 billion as of March 31, 2025, up from $12.05 billion at the end of Q4 2024[27]. - Portfolio loans totaled $13.87 billion, an increase from $7.70 billion at the end of Q4 2024[28]. - Average interest-earning assets were $13.36 billion for Q1 2025, compared to $11.05 billion in Q4 2024[27]. - Total assets increased to $19,464,252 thousand as of March 31, 2025, up from $12,046,722 thousand as of December 31, 2024, representing a growth of 61.5%[75]. - Core deposits reached $14,769,899 thousand, a significant increase from $9,634,897 thousand as of December 31, 2024, reflecting a growth of 53.5%[77]. Credit Quality and Losses - Non-performing loans rose to $54.72 million, a $31.5 million increase from December 31, 2024, representing 0.39% of portfolio loans[34]. - Non-performing assets increased to $59.48 million, a $36.2 million increase from December 31, 2024, accounting for 0.31% of total assets[35]. - The allowance for credit losses was $195.2 million, representing 1.41% of total portfolio loans, with a coverage ratio of 3.57 times non-performing loans[37]. - Net charge-offs for the first quarter of 2025 were $31.43 million, an increase of $28.6 million from the previous quarter[38]. Acquisition and Integration - The acquisition of CrossFirst Bankshares, completed on March 1, 2025, is expected to enhance financial performance and create a premier commercial bank across multiple states[6]. - The combined company will operate 78 full-service locations across 10 states, with Busey common stock continuing to trade under the "BUSE" ticker symbol[6]. - The acquisition was accretive to tangible book value, exceeding initial projections of a six-month earn back period[9]. - Busey anticipates $25 million in annual pre-tax expense synergies from the CrossFirst acquisition, with a 50% realization rate expected in 2025[19]. - The company anticipates merging CrossFirst Bank into Busey Bank on June 20, 2025, following the acquisition[51]. - The provision for unfunded commitments included a Day 2 provision expense of $3,139 thousand related to the CrossFirst acquisition[72]. Market Position and Outlook - Busey is actively monitoring economic factors that could impact financial performance, including inflation and competition from non-bank entities[79]. - The acquisition of CrossFirst is expected to enhance Busey's market position, although integration costs may exceed initial estimates[79]. - Forward-looking statements indicate a cautious outlook due to potential economic uncertainties and regulatory changes[78].

LEAWOOD, Kan., April 22, 2025 (GLOBE NEWSWIRE) -- First Busey Corporation (Nasdaq: BUSE) reports first quarter results. Busey completed the transformative acquisition of CrossFirst Bankshares, Inc. on March 1, 2025, significantly impacting first quarter results and resetting the baseline for financial performance for future quarters in a multitude of positive ways. Net Income (Loss)Diluted EPSNet Interest Margin1ROAA1ROATCE1$(30.0) million$(0.44)3.16%(0.82)%(7.99)%$39.9 million (adj)2$0.57 (adj)23.08% (adj) ...

Company Overview - First Busey (BUSE) is based in Champaign and operates in the Finance sector, with a year-to-date share price change of -15.15% [3] - The company currently pays a dividend of $0.25 per share, resulting in a dividend yield of 5%, which is significantly higher than the Banks - Midwest industry's yield of 3.6% and the S&P 500's yield of 1.68% [3] Dividend Analysis - First Busey's current annualized dividend of $1 represents a 4.2% increase from the previous year [4] - Over the past five years, the company has increased its dividend three times, averaging an annual increase of 2.21% [4] - The company's payout ratio stands at 46%, indicating that it distributes 46% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - The Zacks Consensus Estimate for First Busey's earnings in 2025 is projected at $2.54 per share, reflecting a year-over-year earnings growth rate of 22.12% [5] Investment Considerations - First Busey is positioned as a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [7]

Company Overview - First Busey (BUSE) is expected to report quarterly earnings of $0.53 per share, reflecting a year-over-year increase of +12.8% [3] - Revenues are anticipated to reach $138.14 million, which is a 24.7% increase from the same quarter last year [3] Earnings Expectations - The consensus EPS estimate has been revised 0.54% higher in the last 30 days, indicating a positive reassessment by analysts [4] - The Most Accurate Estimate for First Busey matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [10][11] Earnings Surprise History - In the last reported quarter, First Busey exceeded the expected earnings of $0.52 per share by delivering $0.53, resulting in a surprise of +1.92% [12] - Over the past four quarters, the company has beaten consensus EPS estimates three times [13] Industry Comparison - Huntington Bancshares (HBAN), another player in the Zacks Banks - Midwest industry, is expected to report earnings of $0.31 per share, a year-over-year increase of +10.7% [17] - Revenues for Huntington Bancshares are projected to be $1.9 billion, up 7.3% from the previous year [17] - The consensus EPS estimate for Huntington Bancshares has been revised down by 1.8% over the last 30 days, resulting in an Earnings ESP of -2.16% [18]

Company Overview - First Busey (BUSE) shares increased by 5.7% to close at $20.47, following a notable trading volume that exceeded typical levels, contrasting with an 8.9% loss over the past four weeks [1] - The stock surge was influenced by a broader market increase, particularly after President Trump's announcement of a 90-day tariff pause for non-retaliating nations, which positively impacted investor sentiment [2] Earnings Expectations - First Busey is projected to report quarterly earnings of $0.53 per share, reflecting a year-over-year increase of 12.8% [2] - Expected revenues for the upcoming report are $138.14 million, representing a 24.7% increase compared to the same quarter last year [2] Earnings Estimate Revisions - The consensus EPS estimate for First Busey has been revised 0.5% higher in the last 30 days, indicating a positive trend that typically correlates with stock price appreciation [4] - Empirical research suggests that trends in earnings estimate revisions are strongly linked to near-term stock price movements, highlighting the importance of monitoring these revisions [3] Industry Context - First Busey operates within the Zacks Banks - Midwest industry, where Park National (PRK) also resides, having closed 7.4% higher at $153.62, despite a -6% return over the past month [4] - Park National's consensus EPS estimate remains unchanged at $2.20, indicating a year-over-year change of 2.3%, and it currently holds a Zacks Rank of 2 (Buy) [5]

Core Viewpoint - First Busey (BUSE) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system emphasizes the importance of earnings estimate revisions, which are strongly correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling pressure that affects stock prices [4]. Company Performance and Outlook - For the fiscal year ending December 2025, First Busey is projected to earn $2.55 per share, reflecting a 22.6% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for First Busey has risen by 2.9%, indicating a positive trend in earnings expectations [8]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with only the top 20% receiving a 'Strong Buy' or 'Buy' rating, highlighting their potential for market-beating returns [9][10]. - The upgrade of First Busey to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a favorable outlook for the stock's performance in the near term [10].

Core Viewpoint - First Busey Corporation has successfully completed its acquisition of CrossFirst Bankshares, enhancing its market presence and operational scale in the banking sector [1][2]. Transaction Details - The merger was effective on March 1, 2025, with CrossFirst shareholders receiving 0.6675 shares of Busey common stock for each share of CrossFirst [5]. - CrossFirst shareholders will own approximately 36.5% of the combined company on a fully-diluted basis [7]. - The combined entity will operate under the Busey brand, with a total of approximately $20 billion in assets, $17 billion in deposits, and $15 billion in loans [2]. Operational Strategy - Busey will maintain CrossFirst Bank as a separate subsidiary until its merger with Busey Bank, expected in June 2025 [2]. - The merger aims to extend Busey's regional operating model into high-growth metro markets, enhancing commercial banking relationships and wealth management opportunities [3]. Leadership and Governance - The Board of Directors will consist of 13 members, with eight from Busey and five from CrossFirst [5]. - Key leadership includes Van Dukeman as Chairman and CEO, and Mike Maddox as Vice Chairman and President [6]. Financial Position - Busey Bank had total assets of $12.01 billion as of December 31, 2024, while CrossFirst Bank had total assets of $7.7 billion [9]. - The combined company will leverage Busey's strong balance sheet, characterized by exceptional credit quality and diversified revenue streams [4]. Market Recognition - Busey Bank has been recognized among the World's Best Banks for 2024 by Forbes and has received multiple accolades for its workplace culture and community engagement [12].

Company Overview - First Busey Corporation is a financial holding company with total assets of $12.05 billion as of December 31, 2024[17]. - Busey Bank operates 50 banking centers in Illinois, eight in Missouri, three in southwest Florida, and one in Indianapolis, Indiana[18]. - As of December 31, 2024, Busey Bank managed $13.83 billion in assets under care through its Wealth Management business[21]. - Busey has a total of 1,509 full-time equivalents as of December 31, 2024, with the majority (1,202) located in Illinois[41]. Mergers and Acquisitions - The company completed the acquisition of Merchants and Manufacturers Bank Corporation on April 1, 2024, expanding its market presence[23]. - A merger agreement with CrossFirst Bankshares, Inc. is planned for March 1, 2025, which will create a combined entity with approximately $20 billion in assets[24]. - Following the merger, Busey stockholders will own approximately 63.5% of the combined company, while CrossFirst stockholders will own about 36.5%[26]. - Busey incurred one-time pretax acquisition-related expenses of $3.9 million in 2024 related to the CrossFirst merger[28]. - Busey completed the acquisition of Merchants and Manufacturers Bank Corporation on April 1, 2024, enhancing its service offerings and expanding its presence in the suburban Chicago market[29]. Market Position and Competition - As of June 30, 2024, Busey Bank ranked fourth in total deposits among 355 financial institutions in Illinois, with a market share ranking of 1 in Champaign and 2 in Macon and Madison counties[36]. - Busey Bank faces substantial competition for deposits from various financial institutions, influencing its strategies for attracting customers through competitive rates and quality service[35]. - Busey operates in a highly competitive environment, facing challenges from both traditional banks and fintech companies, which could impact its market share and profitability[185][186]. Financial Performance - Net interest income (GAAP) for 2024 was $322,611,000, slightly up from $320,621,000 in 2023[130]. - Total noninterest income (GAAP) increased to $139,682,000 in 2024 from $121,214,000 in 2023, representing a growth of approximately 15.2%[130]. - Adjusted net income (Non-GAAP) for 2024 was $119,805,000, compared to $126,012,000 in 2023, indicating a decrease of about 4.3%[132]. - Average total assets (GAAP) decreased to $12,051,871,000 in 2024 from $12,246,218,000 in 2023[132]. - Return on average assets (GAAP) for 2024 was 0.94%, down from 1.00% in 2023[132]. - Total noninterest expense (GAAP) rose to $300,399,000 in 2024 from $285,532,000 in 2023, an increase of approximately 5.0%[136]. Regulatory Compliance - Busey crossed the $10 billion asset threshold in 2020, which subjects it to additional regulatory requirements under the Dodd-Frank Act[51]. - The Durbin Amendment, applicable to Busey Bank since July 1, 2022, has reduced earnings on covered debit transactions due to maximum permissible interchange fees[51]. - Busey Bank is well-capitalized as of December 31, 2024, exceeding Federal Reserve requirements and meeting Basel III Rule standards[70]. - The Basel III Rule requires a Common Equity Tier 1 Capital ratio of 7% including a capital conservation buffer, with Busey Bank maintaining compliance[65]. - Busey Bank is under the oversight of the CFPB for consumer banking transactions, ensuring compliance with consumer laws[54]. - The Volcker Rule does not materially affect Busey's operations as it does not engage in prohibited activities[53]. Risk Management - The liquidity risk management framework is crucial for Busey Bank, especially in light of recent financial industry stress events[94]. - Busey Bank established a risk committee in 2018 to oversee risk matters in preparation for future growth, despite not being required to do so yet[56]. - The effectiveness of Busey's risk management framework is critical, especially in light of the planned CrossFirst merger, as new risks may emerge during integration[205]. - The company has established rigorous underwriting standards to mitigate credit risks, but elevated interest rates and inflation could lead to increased non-performing loans and higher provisions for credit losses[170][171]. Economic and Market Risks - Economic uncertainties, including inflation and geopolitical tensions, may adversely affect the company's financial condition and growth prospects[156]. - The company anticipates that prolonged elevated interest rates followed by easing cycles could create financial volatility impacting its operations[159]. - Busey is facing heightened regulatory scrutiny due to its growing asset size and complexity, particularly with the planned acquisition of CrossFirst, which may increase compliance burdens[165]. Technological and Operational Challenges - The company must continuously invest in technological innovations to remain competitive and meet evolving customer expectations, or risk losing market share[186][187]. - Ongoing technological investments enhance operational efficiency but also introduce cybersecurity risks, necessitating robust security protocols and incident response plans[207][210]. - Busey has implemented AI-powered tools for fraud detection, enhancing its ability to manage cybersecurity threats proactively[210]. Community and Social Responsibility - The Community Reinvestment Act (CRA) requires Busey Bank to meet the credit needs of the entire community, including low- and moderate-income neighborhoods, with regular assessments impacting its activities[111]. - Busey Bank's CRA ratings can significantly impact its ability to engage in acquisitions and maintain its financial holding company status[111].