QCR Holdings, Inc. (NASDAQ:QCRH) Q2 2024 Earnings Conference Call July 25, 2024 11:00 AM ET Company Participants Larry Helling - CEO Todd Gipple - President and CFO Conference Call Participants Damon DelMonte - KBW Daniel Tamayo - Raymond James Brian Martin - Janney Jeff Rulis - DA Davidson Nathan Race - Piper Sandler Operator Greetings, and welcome to the QCR Holdings Incorporated Earnings Conference Call for the Second Quarter of 2024. Yesterday, after market closed, the company distributed its second qua ...

This quarterly report represents an earnings surprise of 24.46%. A quarter ago, it was expected that this bank holding company would post earnings of $1.32 per share when it actually produced earnings of $1.59, delivering a surprise of 20.45%. QCR Holdings, which belongs to the Zacks Banks - Midwest industry, posted revenues of $87.05 million for the quarter ended June 2024, surpassing the Zacks Consensus Estimate by 5.90%. This compares to year-ago revenues of $85.73 million. The company has topped consens ...

Financial Performance - Net income for Q2 2024 was $29.1 million, or $1.72 per diluted share, compared to $26.7 million and $1.58 per diluted share in Q1 2024, representing a 9% increase in net income[1][2] - Adjusted net income for Q2 2024 was $29.3 million, with adjusted diluted EPS at $1.73, up from $26.9 million and $1.59 in Q1 2024[2][3] - Net income for Q2 2024 was $29,114 thousand, compared to $28,425 thousand in Q2 2023, reflecting a 2.4% increase[36] - Basic EPS for Q2 2024 was $1.73, an increase from $1.70 in Q2 2023, indicating a growth of 1.8%[36] - The company reported a net income of $29.1 million for Q2 2024, reflecting strong financial performance[51] Income and Revenue - Interest income for Q2 2024 reached $119,746 thousand, up from $98,377 thousand in Q2 2023, representing a 21.7% increase year-over-year[36] - Total noninterest income for Q2 2024 was $30,889 thousand, up from $32,520 thousand in Q2 2023, showing a decrease of 5.0%[36] - Capital markets revenue for Q2 2024 was $17,758 thousand, up from $15,596 thousand in Q2 2023, representing a 13.9% increase[36] - Total income for June 2024 reached $87,052 thousand, compared to $81,557 thousand in March 2024, indicating a 6.1% increase[59] Expenses and Efficiency - Noninterest expenses were well-controlled at $49.9 million, down from $50.7 million in Q1 2024, contributing to a 500 basis point improvement in the efficiency ratio to 57%[9][8] - Total noninterest expense for the six months ended June 30, 2024, was $100,578 thousand, compared to $98,512 thousand in the same period last year, reflecting a 2.1% increase[39] - Efficiency ratio (noninterest expense/total income) improved to 57.31% in June 2024 from 62.15% in March 2024, showing enhanced operational efficiency[59] Loans and Leases - Total loans and leases grew by $206.1 million to $6.9 billion, with year-to-date loan growth at 9.5% annualized, within the target range of 8% to 10%[14][15] - Total loans/leases increased to $6,854,386 thousand, up from $6,648,336 thousand, representing a growth of approximately 3.1%[31] - Net loans/leases reached $6,766,680 thousand, compared to $6,563,866 thousand, indicating an increase of about 3.1%[31] - Total commercial and industrial loans reached $1,825,313 thousand, an increase from $1,796,738 thousand, representing a growth of approximately 1.6%[31] - Multi-family loans, including LIHTC, increased to $1,477,483 thousand from $1,303,566 thousand, indicating a significant growth of about 13.3%[31] Asset Quality - The company's nonperforming assets ratio was 0.39%, with total NPAs at $34.5 million, a slight increase from the prior quarter[17][18] - Total nonperforming assets increased to $34.514 million in Q2 2024 from $31.327 million in Q1 2024, indicating a deterioration in asset quality[48] - The ratio of nonperforming assets to total assets was 0.39% in Q2 2024, up from 0.36% in Q1 2024, highlighting increasing asset quality issues[48] - Total criticized loans decreased to $165.441 million in Q2 2024 from $182.570 million in Q1 2024, showing improvement in credit quality[48] Capital and Ratios - The company's total risk-based capital ratio increased to 14.33%, with the common equity tier 1 ratio at 10.00% as of June 30, 2024[23] - Tangible book value per share increased by $1.72, or 15.3% annualized, during Q2 2024, reflecting strong earnings and a modest dividend[24] - Return on average assets (annualized) increased to 1.34% from 1.25% in the previous quarter[41] - Return on average total equity (annualized) rose to 12.72% from 11.83% in the previous quarter[41] Deposits and Borrowings - Total deposits decreased to $6,764,667 thousand from $6,806,775 thousand, reflecting a decline of approximately 0.6%[33] - Total borrowings increased significantly to $768,671 thousand from $489,633 thousand, representing a rise of approximately 56.9%[33] - Noninterest-bearing demand deposits were $956,445 thousand, slightly up from $955,167 thousand, reflecting a growth of about 0.1%[33] Market Presence and Growth - The company has expanded its banking services across multiple communities, enhancing its market presence in Iowa, Missouri, Wisconsin, and Illinois[47] - The average yield on loans was 6.69%, up from 6.56% in the prior quarter, indicating a positive trend in loan profitability[43]

Second Quarter 2024 Highlights MOLINE, Ill., July 24, 2024 (GLOBE NEWSWIRE) -- QCR Holdings, Inc. (NASDAQ:QCRH) (the "Company") today announced quarterly net income of $29.1 million and diluted earnings per share ("EPS") of $1.72 for the second quarter of 2024, compared to net income of $26.7 million and diluted EPS of $1.58 for the first quarter of 2024. | --- | --- | --- | --- | --- | |---------------------------------------|-----------------------------------------|-------|------------------|------------ ...

Net interest margin ("NIM") was 2.82% and NIM on a tax-equivalent yield ("TEY") basis (non-GAAP) was 3.27% for the second quarter, as compared to 2.82% and 3.25% for the prior quarter, respectively. Adjusted NIM TEY (non-GAAP) of 3.26%, represented an increase of 2 basis points from 3.24% for the first quarter of 2024. Second Quarter 2024 Highlights Total uninsured and uncollateralized deposits remain very low at 18% of total deposits as of the end of the second quarter of 2024, as compared to 20% as of the ...

QCR Holdings, Inc., headquartered in Moline, Illinois, is a relationship-driven, multi-bank holding company serving the Quad Cities, Cedar Rapids, Cedar Valley, Des Moines/Ankeny, and Springfield communities through its wholly owned subsidiary banks. The banks provide full-service commercial and consumer banking and trust and wealth management services. Quad City Bank & Trust Company, based in Bettendorf, Iowa, commenced operations in 1994; Cedar Rapids Bank & Trust Company, based in Cedar Rapids, Iowa, com ...

PRESS CONTACT: Cari Henson VP, Corporate Communications Manager 309.277.2668 | chenson@qcrh.com About Us QCR Holdings, Inc., headquartered in Moline, Illinois, is a relationship-driven, multi-bank holding company serving the Quad Cities, Cedar Rapids, Cedar Valley, Des Moines/Ankeny, and Springfield communities through its wholly owned subsidiary banks. The banks provide full-service commercial and consumer banking and trust and wealth management services. Quad City Bank & Trust Company, based in Bettendorf ...

MOLINE, Ill., May 17, 2024 (GLOBE NEWSWIRE) -- QCR Holdings, Inc. (NASDAQ: QCRH) today announced the election of four Class I directors at the Company's annual meeting of its stockholders. The directors, Mary Kay Bates, John-Paul E. Besong, Todd A. Gipple, and Donna J. Sorenson, were re-elected to three-year terms. Additionally, on May 15, 2024, the Company's Board of Directors declared a cash dividend of $0.06 per share payable on July 3, 2024, to holders of common stock of the Company of record on June 14 ...

MOLINE, Ill., May 17, 2024 (GLOBE NEWSWIRE) -- QCR Holdings, Inc. (NASDAQ: QCRH) today announced the election of four Class I directors at the Company's annual meeting of its stockholders. The directors, Mary Kay Bates, John-Paul E. Besong, Todd A. Gipple, and Donna J. Sorenson, were re-elected to three-year terms. Contact: Todd A. Gipple President Chief Financial Officer (309) 743-7745 tgipple@qcrh.com Additionally, on May 15, 2024, the Company's Board of Directors declared a cash dividend of $0.06 per sha ...

Table of Contents 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 the quarterly period ended March 31, 2024 ☐ 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 0-22208 QCR HOLDINGS, INC. (Exact name of Registrant as specified in its charter) Delaware 42-1397595 (State or ot ...