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Dec 31, 2023

Heartland Financial Q4 2023 Earnings Report

Heartland Financial reported a net loss and adjusted earnings, grew loans and deposits, and improved capital ratios.

Key Takeaways

Heartland Financial USA, Inc. reported a net loss available to common stockholders of ($72.4) million, or ($1.69) per diluted common share, but adjusted earnings available to common stockholders of $45.6 million, or $1.06 per diluted common share. Loan growth was $196.2 million, and average customer deposits grew $270.7 million. The common equity ratio increased to 9.27%, and the net interest margin improved to 3.52%.

Net loss available to common stockholders was ($72.4) million, or ($1.69) per diluted common share.

Adjusted earnings available to common stockholders were $45.6 million, or $1.06 per diluted common share (non-GAAP).

Loan growth was $196.2 million, representing a 2% increase.

Average customer deposits grew $270.7 million, also a 2% increase.

Total Revenue
$184M
Previous year: $195M
-5.6%
EPS
$1.06
Previous year: $1.37
-22.6%
Net Interest Margin
3.47%
Previous year: 3.61%
-3.9%
Efficiency Ratio
293.86%
Tangible Common Equity Ratio
6.53%
Gross Profit
$144M
Previous year: $165M
-12.8%
Cash and Equivalents
$323M
Previous year: $363M
-11.0%
Free Cash Flow
-$118M
Previous year: $72.3M
-263.3%
Total Assets
$19.4B
Previous year: $20.2B
-4.1%

Heartland Financial

Heartland Financial

Forward Guidance

HTLF 3.0 is expected to drive improved efficiency, enhance EPS growth, deliver higher return on assets, and more efficient use of capital.

Positive Outlook

  • Investing in growth through banker expansion and talent acquisition in key markets.
  • Expanding Treasury Management products and capabilities.
  • Creation of consumer and small business digital platforms.
  • Footprint and facilities optimization, with a focus on efficient return on capital.
  • Continue to focus on HTLF 3.0, a set of initiatives that will drive improved efficiency, enhance EPS growth, deliver higher return on assets, and more efficient use of capital