Heartland Financial USA, Inc. (NASDAQ:HTLF) Q4 2022 Earnings Conference Call January 30, 2023 5:00 PM ET Company Participants Bruce Lee - President & CEO Bryan McKeag - EVP & CFO Nathan Jones - EVP & Chief Credit Officer Conference Call Participants Terry McEvoy - Stephens Damon DelMonte - KBW Jeff Rulis - D.A. Davidson Andrew Leisch - Piper Sandler David Long - Raymond James Operator Greetings, and welcome to HTLF 2022 Fourth Quarter Conference Call. This afternoon, HTLF announced its fourth quarter earnin ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For quarterly period ended September 30, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For transition period from __________ to __________ Commission File Number: 001-15393 HEARTLAND FINANCIAL USA, INC. (Exact name of Registrant as specified in its charter) Delaware (State or other jurisdi ...

We see Growth. 3rd Quarter 2022 Financials Safe Harbor This investor presentation (including any information incorporated herein by reference) and future oral and written statements of HTLF and its management, may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the business, financial condition, results of operations, plans, objectives and future performance of ...

Financial Data and Key Metrics Changes - The company reported a net income of $54.6 million available to common shareholders, with an EPS of $1.28, exceeding expectations [6][104] - Organic loan growth, excluding PPP, totaled $255 million or 2% from the linked quarter, surpassing guidance of $250 million [7][104] - The efficiency ratio improved to 55.26, a decrease of 512 basis points from a year ago [14][105] - Non-interest income decreased to $29.2 million, down $5.4 million compared to the prior quarter [32] Business Line Data and Key Metrics Changes - Commercial and industrial loans increased by $219 million or 7% from the linked quarter, while construction loans rose significantly by $151 million or 18% [8] - Consumer loan portfolio grew by $31 million or 7% from the linked quarter, with residential mortgages increasing by $8 million or 1% [11] - The commercial pipeline remains strong at over $1.5 billion, with expectations to grow commercial loans by $225 million to $250 million in the fourth quarter [11] Market Data and Key Metrics Changes - Total deposits grew to a record $17.3 billion, an increase of $42 million from the linked quarter, marking the 14th consecutive quarter of deposit growth [12] - Non-time deposits were flat, while time deposits increased by $44 million or 4% from the linked quarter [12] Company Strategy and Development Direction - The company is focused on charter consolidation to create operational efficiencies, with expectations of achieving $20 million in annual savings post-completion [17][41] - Investments in specialized industry verticals and capital markets expertise are ongoing, including loan syndications and foreign exchange [10] - The company is optimizing its branch network, having reduced the number of branches by 15% since the beginning of 2021 [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining momentum despite economic headwinds, with a focus on organic loan growth and customer acquisition [16] - The provision for credit losses is expected to remain in the range of $3 million to $5 million, depending on economic conditions [37] - Core non-interest income is projected to be in the $29 million to $30 million range per quarter, with expectations for continued growth into 2023 [38] Other Important Information - The company declared a quarterly cash dividend of $0.28 per share, a 4% increase from the previous year [103] - The allowance for lending-related credit losses increased to $124.6 million, or 1.14% of total loans [25] Q&A Session Summary Question: Loan growth and pipeline composition - Management indicated that the loan growth is primarily from granular loans rather than larger syndicated loans [45][46] Question: Funding for loan growth - The company plans to utilize cash flows from the investment portfolio to fund loan growth, acknowledging challenges in deposit growth [49][50] Question: Charter consolidation feedback - Employee and customer feedback on charter consolidation has been positive, with no significant disruptions to growth or client acquisition [58][59] Question: Asset quality and expectations for Q4 - Management noted improvements in non-performing loans and delinquencies, with expectations for continued positive results [61][62] Question: Provision for credit losses guidance - The provision is expected to be influenced by loan growth and economic conditions, with current credit quality remaining strong [67][68] Question: Expense guidance amidst inflation - Management expressed confidence in maintaining expenses within the $105 million to $106 million range despite inflationary pressures [69][70] Question: Margin outlook - The company anticipates continued margin expansion as long as the Fed continues to raise rates, with potential limits if deposit betas increase significantly [72][73]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Exact name of Registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organization) 42-1405748 ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For quarterly period ended June 30, 2022 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For transition period from __________ to __________ Commission File Nu ...

Financial Data and Key Metrics Changes - HTLF reported a net income of $49.9 million and EPS of $1.17, with core EPS at $1.15, exceeding expectations [6][19] - Total assets reached a record $19.7 billion, an increase of $428 million or 2% from the linked quarter [7][66] - The efficiency ratio improved significantly to 57.7%, driven by increased revenue and reduced core expenses [12][66] Business Line Data and Key Metrics Changes - Organic loan growth was $552 million or 5% from the linked quarter, significantly exceeding guidance [7][10] - Commercial and industrial loans increased by $245 million or 9%, while consumer loans grew by $37 million or 9% [9][11] - Total deposits grew to a record $17.2 billion, an increase of $559 million from the linked quarter [12][66] Market Data and Key Metrics Changes - Nonperforming assets held steady at 34 basis points of total assets, with delinquencies at historic lows [7][14] - The delinquency ratio was at a historic low of 6 basis points, and nonperforming loans decreased to 59 basis points of total loans [14][24] Company Strategy and Development Direction - The company is consolidating its 11 separate bank charters into a single HTLF Bank charter to create operational efficiencies and support growth [15][16] - The strategy includes optimizing the branch network, with a 15% reduction in branches over the past 18 months [16] - The company aims for organic loan growth, new customer acquisition, and maintaining strong credit quality while controlling expenses [15][66] Management's Comments on Operating Environment and Future Outlook - Management noted headwinds such as inflation and supply chain issues but expressed optimism for the remainder of the year [11] - Future provisions for credit losses are expected to remain near current levels, with net charge-offs anticipated to stay below historic levels [31] - The company expects continued revenue growth, with net interest income projected to grow in the mid-single digits percentage-wise next quarter [30][32] Other Important Information - The company announced a quarterly cash dividend of $0.27 per share, an 8% increase from the previous year [66] - The tangible common equity ratio decreased to 5.56%, but management does not see this as a constraint on loan growth [24][42] Q&A Session Summary Question: Loan growth and opportunities - Management highlighted solid growth across all banks, particularly in Colorado, Arizona, and California, with a focus on commercial and industrial activity [38] Question: Margin expansion and deposit costs - Management indicated that while there may be some lag in deposit pricing, they expect to maintain margin expansion [39][40] Question: Capital and TCE ratio concerns - Management does not view the TCE ratio as a constraint on loan growth, emphasizing strong regulatory capital [42] Question: Loan syndication fees and average loan size - The average loan size added to the portfolio was around $1 million, which is higher than historical averages [44][45] Question: Citywide conversion process - The conversion was successful, with positive customer feedback and lessons learned for future conversions [49][50] Question: Fraud events and procedural changes - Management addressed the fraud events as one-time occurrences and emphasized improvements in credit processes as a result [53][54] Question: Fee income run rate - Core noninterest income is expected to normalize in the range of $32 million to $33 million per quarter, excluding gains and losses [55]

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For transition period from __________ to __________ Commission File Number: 001-15393 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For quarterly period ended March 31, 2022 HEARTLAND FINANCIAL USA, INC. (Exact name of Registrant as specified in its charter) Delaware (State or other jurisdictio ...

HTLF Strength. Insight. Growth. 1st Quarter 2022 Financials Safe Harbor This investor presentation (including any information incorporated herein by reference) contains, and future oral and written statements of HTLF and its management may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the business, financial condition, results of operations, plans, objectives ...

Heartland Financial USA, Inc. (NASDAQ:HTLF) Q1 2022 Earnings Conference Call April 25, 2022 5:00 PM ET Company Participants Bruce Lee - President and CEO Bryan McKeag - Executive Vice President and CFO Nathan Jones - Chief Credit Officer Conference Call Participants Terry McEvoy - Stephens Damon DelMonte - KBW Andrew Liesch - Piper Sandler Jeff Rulis - D.A. Davidson Operator Greetings. And welcome to the HTLF First Quarter 2022 Conference Call. This afternoon, HTLF distributed its first quarter press releas ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K ☑ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from ___________ to ___________ Commission File Number: 001-15393 HEARTLAND FINANCIAL USA, INC. (Exact name of Registrant as specified in its charter) Delaware (State or other jurisd ...