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Sep 30, 2023
Midland States Q3 2023 Earnings Report
Reported strong financial results with deposit stability and disciplined expense control.
Key Takeaways
Midland States Bancorp reported a net income available to common shareholders of $15.8 million, or $0.71 per diluted share, for Q3 2023. The results reflect stability in the deposit base, net interest margin, and asset quality. The company is focusing on new business development and investing in initiatives like Banking-as-a-Service to enhance long-term value.
Net income available to common shareholders was $15.8 million, or $0.71 per diluted share.
Adjusted earnings per diluted share of $0.78 reflected the impact of balance sheet repositioning.
Common equity tier 1 capital ratio improved to 8.16%.
Efficiency ratio was 55.8% compared to 55.0% in the prior quarter.
Midland States
Midland States
Midland States Revenue by Segment
Revenue by Segment
Wealth Management Revenue
CapyFin.com Forward Guidance
The company anticipates the Banking-as-a-Service initiative will begin making a meaningful contribution during 2024, which, along with continued progress on adding new clients in their markets, should support profitable growth in the future, improve their level of returns, and create additional value for their shareholders.
Positive Outlook
- New partnerships launching in the fourth quarter will contribute low-cost deposits.
- New partnerships launching in the fourth quarter will generate fee income.
- Banking-as-a-Service initiative to begin making a meaningful contribution during 2024.
- Continued progress on adding new clients in our markets.
- Expect profitable growth in the future.
Challenges Ahead
- Changes in interest rates and other general economic, business and political conditions
- Impact of inflation
- Continuing effects of the failures of Silicon Valley Bank and Signature Bank
- Increased deposit volatility and potential regulatory developments
- Risks relating to acquisitions