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Dec 31, 2024
QCR Holdings Q4 2024 Earnings Report
Reported quarterly net income and diluted earnings per share, driven by significant growth in net interest income and robust loan growth.
Key Takeaways
QCR Holdings announced a strong fourth quarter with a net income of $30.2 million and diluted EPS of $1.77. The company delivered record full-year results, driven by significant growth in net interest income, margin expansion, and robust loan growth.
Delivered strongest results of the year in the fourth quarter, generating record full year results.
Net interest income increased, driven by margin expansion and robust loan growth.
Capital markets and wealth management revenue remained strong while controlling core operating expenses and maintaining excellent asset quality.
Successfully executed on fourth low-income housing tax credit securitization during the fourth quarter.
QCR Holdings
QCR Holdings
QCR Holdings Revenue by Segment
Revenue by Segment
Wealth Management Revenue
CapyFin.comCapital Markets Revenue
CapyFin.com Forward Guidance
The Company anticipates continued growth in net interest margin in Q1 2025 and expects noninterest expense to increase by 4%. They also project gross loan growth between 8% and 10% for the full year 2025, with net loan growth between 1% and 3% after factoring in loan securitization and the runoff of m2 Equipment Finance loans.
Positive Outlook
- Expects to continue growing its NIM in the first quarter of 2025.
- Anticipate gross loan growth between 8% and 10% for the full year 2025.
- LIHTC lending pipeline and related capital markets revenue remains solid.
- Wealth management business continues to expand, driven by new client acquisitions and growth in assets under management.
- Strong core deposit growth and increased liquidity.
Challenges Ahead
- Expect noninterest expense to be in the range of $52 to $55 million for the first quarter of 2025, an increase of 4%.
- Increase in NPAs was primarily due to three loans in discrete industries.
- Accumulated other comprehensive income decreased $9.6 million during the fourth quarter of 2024 due to a decrease in the value of the Company’s available for sale securities portfolio and certain derivatives resulting from the change in long-term interest rates during the quarter.
- The company is factoring in the loan securitization that we have planned for 2025 and the continuing runoff of m2 Equipment Finance loans
- These changes are reflective of the credit environment normalizing from historically low levels.