Civista Bancshares, Inc. (NASDAQ:CIVB) Q2 2024 Earnings Conference Call July 29, 2024 1:00 PM ET Company Participants Dennis Shaffer - President and Chief Executive Officer Richard Dutton - Senior Vice President and Chief Operating Officer Charles Parcher - Senior Vice President and Chief Lending Officer Michael Mulford - Senior Vice President and Chief Credit Officer Ian Whinnem - Interim Principal Accounting Officer, Senior VP and CFO Conference Call Participants Justin Crowley - Piper Sandler Brendan Nos ...

This quarterly report represents an earnings surprise of 12.50%. A quarter ago, it was expected that this bank holding company would post earnings of $0.47 per share when it actually produced earnings of $0.41, delivering a surprise of -12.77%. Civista Bancshares, which belongs to the Zacks Banks - Midwest industry, posted revenues of $38.29 million for the quarter ended June 2024, surpassing the Zacks Consensus Estimate by 4.71%. This compares to year-ago revenues of $40.49 million. The company has topped ...

Noninterest income | --- | --- | --- | --- | --- | |--------------------------------------------------------------|-------------|-------------------------|---------------------------------|-------------| | (unaudited - dollars in thousands) | 2024 | Three months \n2023 | ended June 30, \n$ change | % change | | Service charges | $ 1,488 | $1,831 | $ (343) | -18.7% | | Net gain/(loss) on equity securities | 74 | (170) | 244 | 143.5% | | Net gain on sale of loans ATM/Interchange fees | 888 1,416 | 615 1,450 | ...

SANDUSKY, Ohio, July 29, 2024 /PRNewswire/ -- Civista Bancshares, Inc. (NASDAQ: CIVB) ("Civista") announced its unaudited financial results for the three- and six-month periods ended June 30, 2024. Earnings per diluted share (EPS) for the quarter were $0.45, higher by $0.04, or 10%, than the prior quarter, and lower by $0.19, or 30%, from the year-ago quarter. Net income of $7.1 million increased $0.7 million, or 11%, from the prior quarter and decreased $3.0 million, or 30%, compared to $10.0 million for t ...

SANDUSKY, Ohio, July 26, 2024 /PRNewswire/ -- Civista Bancshares, Inc. (NASDAQ:CIVB) ("Civista") announced today that the Board of Directors has approved a quarterly dividend of 16 cents per common share to shareholders of record August 6, 2024, payable August 20, 2024. Civista Bancshares, Inc., is a $3.9 billion financial holding company headquartered in Sandusky, Ohio. Its primary subsidiary, Civista Bank, was founded in 1884 and provides full-service banking, commercial lending, mortgage, and wealth mana ...

Mr. Michel completes a 39-year career with Civista, having joined the Company in 1985 as a seasonal teller while attending Bowling Green State University. Upon receiving his Bachelor of Science degree in business in 1988, he joined the Company's accounting department. He was promoted to Vice President and Controller in 1998 and Senior Vice President in 2000. SOURCE Civista Bancshares, Inc. SANDUSKY, Ohio, July 16, 2024 /PRNewswire/ -- Civista Bancshares, Inc. ("Civista") (NASDAQ: CIVB) announced today that ...

Shares of Civista Bancshares rallied for the sixth straight trading session. Encouraging inflation numbers and a rising unemployment rate are giving confidence to the Federal Reserve that prices will eventually come down toward the 2% target. So, market participants are predicting interest rate cuts as early as during the September FOMC meeting. Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings esti ...

Liquidity ITEM 3. Quantitative and Qualitative Disclosures About Market Risk Several techniques may be used by an institution to minimize interest-rate risk. One approach used by the Company is to periodically analyze its assets and liabilities and make future financing and investment decisions based on payment streams, interest rates, contractual maturities, and estimated sensitivity to actual or potential changes in market interest rates. Such activities fall under the broad definition of asset/liability ...

Financial Data and Key Metrics Changes - The company reported net income of $6.4 million or $0.41 per diluted share, a decline of $6.5 million from Q1 2023 and a $3.3 million decline from the linked quarter [6] - Non-interest income decreased by approximately $3.8 million compared to the previous year, primarily due to changes in overdraft processing and the loss of a one-time bonus from a debit brand agreement [7][19] - The efficiency ratio for the quarter was 73.8%, compared to 64.3% for the linked quarter, but adjusted for depreciation expense, it would have been 70% [18] Business Line Data and Key Metrics Changes - Non-interest expense for the quarter was $27.7 million, representing a $2.3 million or 9% increase from the linked quarter, driven by higher compensation-related expenses [21] - The loan and lease portfolios grew at an annualized rate of 5% for the quarter, with significant increases in non-owner-occupied commercial real estate loans and residential real estate loans [16][23] - Non-interest income declined by $319,000 or 3.6% compared to the linked quarter, primarily due to declines in service charges and swap fee income [19] Market Data and Key Metrics Changes - Total deposits were mostly flat, declining just $4.3 million or negative 0.1% since the beginning of the year, but core deposits declined by $29 million or 1% year-to-date [25] - Non-interest-bearing deposits made up 29.5% of total deposits at March 31, with 13.1% of deposits exceeding FDIC limits [26] - The company’s cash and unpledged securities at March 31 were $452 million, covering uninsured deposits [27] Company Strategy and Development Direction - The company is focused on reducing reliance on wholesale and borrowed funding while enhancing core deposit gathering initiatives [11][25] - The Ohio Home Buyers Plus Program is expected to provide up to $100 million in low-cost funds to participating banks, which could help improve funding costs [14] - The company aims to rebuild its tangible common equity (TCE) ratio to between 7% and 7.5% while balancing share repurchases and dividend payments [31] Management's Comments on Operating Environment and Future Outlook - Management acknowledged challenges in the operating environment, including margin compression and the impact of regulatory scrutiny on tax refund processing [6][12] - The company remains optimistic about loan growth in the mid-single-digit range for the remainder of 2024, despite isolated credit issues [16][35] - Management emphasized the importance of maintaining a strong core deposit franchise and disciplined pricing strategies to support future success [104] Other Important Information - The company announced a quarterly dividend of $0.16 per share, representing a 4.16% yield and a dividend payout ratio of 42.11% [18] - The allowance for credit losses increased due to higher reserves required by the CECL model, primarily related to specific credits in hospitality and cellular tower sectors [17][33] Q&A Session Summary Question: Why was the CFO position filled now? - Management indicated that the timing was appropriate as the long-serving CFO is approaching retirement, allowing for a smooth transition [40][42] Question: What are the expectations for the expense base moving forward? - Management expects expenses to remain around $28.4 million for the rest of the year, with merit increases affecting the second quarter [43][44] Question: What is the outlook for net interest margin? - Management noted that while margin contraction is expected, there are positive signs for stabilization due to repricing of loans and funding initiatives [47][48] Question: How is the loan pipeline and growth outlook? - The loan pipeline is strong, particularly in multifamily and metro markets, with confidence in maintaining mid-single-digit growth [57][59] Question: What is the impact of the tax refund processing program on non-interest-bearing funds? - Management indicated that the remaining funds from the tax program would likely be depleted in the second quarter [61] Question: What is the expected trend for service charge revenue? - Management projected that service charge revenue would be lower than the first quarter run rate due to changes in overdraft processing [62]

Civista Bancshares (CIVB) reported $36.88 million in revenue for the quarter ended March 2024, representing a year-over-year decline of 15.6%. EPS of $0.41 for the same period compares to $0.82 a year ago.The reported revenue represents a surprise of -2.98% over the Zacks Consensus Estimate of $38.01 million. With the consensus EPS estimate being $0.47, the EPS surprise was -12.77%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wal ...