QCR Holding, Inc. QCRH

NAS: QCRH | ISIN: US74727A1043   27/03/2024
59,64 USD (+3,38%)
(+3,38%)   27/03/2024

QCR Holdings, Inc. Announces Record Net Income of $18.3 Million for the Fourth Quarter and $60.6 Million for the Full Year 2020

Fourth Quarter and Full Year 2020 Highlights

  • Record net income of $18.3 million, or $1.14 per diluted share
  • Adjusted net income (non-GAAP) of $19.1 million, or $1.20 per diluted share
  • Noninterest income of $32.0 million for the quarter and $113.8 million for the year
  • Adjusted NIM (TEY)(non-GAAP) was up 1 basis point after further adjusting for higher third quarter interest recoveries on previously charged-off loans
  • Annualized core loan and lease growth (non-GAAP) of 9.0% for the quarter and 7.8% for the year, excluding SBA Paycheck Protection Program (“PPP”) loans
  • Core deposits relatively stable for the quarter and up 22.3% for the year
  • Provision expense of $7.1 million for the quarter, increasing ALLL to total loans and leases, excluding PPP loans (non-GAAP), by 7 basis points to 2.12%
  • Nonperforming assets improved by 22% for the quarter and now represent only 0.26% of total assets

MOLINE, Ill., Jan. 27, 2021 (GLOBE NEWSWIRE) -- QCR Holdings, Inc. (NASDAQ: QCRH) (the “Company”) today announced record net income of $18.3 million and diluted earnings per share (“EPS”) of $1.14 for the fourth quarter of 2020, compared to net income of $17.3 million and diluted EPS of $1.09 for the third quarter of 2020. Pre-provision, pre-tax adjusted net income (non-GAAP) was $30.4 million in the fourth quarter of 2020, compared to a record $42.2 million in the third quarter of 2020.

The Company reported adjusted net income (non-GAAP) of $19.1 million and adjusted diluted EPS of $1.20 for the fourth quarter of 2020, compared to adjusted net income (non-GAAP) of $17.7 million and adjusted diluted EPS of $1.11 for the third quarter of 2020. For the fourth quarter of 2019, net income and diluted EPS were $15.9 million and $0.99, respectively, and adjusted net income (non-GAAP) and adjusted diluted EPS were $15.4 million and $0.96, respectively.

 For the Quarter Ended   
 December 31,September 30,December 31,  
$ in millions (except per share data)202020202019  
Net Income$18.3 $17.3 $15.9   
Diluted EPS$1.14 $1.09 $0.99   
Adjusted Net Income (non-GAAP)$19.1 $17.7 $15.4   
Adjusted Diluted EPS (non-GAAP)$1.20 $1.11 $0.96   
Pre-Provision/Pre-Tax Adjusted Income (non-GAAP)$30.4 $42.2 $20.4   
Pre-Provision/Pre-Tax Adjusted ROAA (non-GAAP) 2.08% 2.90% 1.58%  
See GAAP to non-GAAP reconciliations       

“We are very pleased with our financial performance in 2020, highlighted by record net income for the fourth quarter and full year,” said CEO Larry J. Helling. “Our strong results were driven by robust revenue growth, record fee income and increased net interest income. We grew core loans by nearly 8% for the year, while maintaining disciplined underwriting and solid credit quality. Our asset quality and credit metrics improved during the quarter as we improved nonperforming assets by 22%, down to only 0.26% of total assets.”

“Additionally, we continued to see a reduction in loan deferrals at year-end, as most of our clients who received payment relief early in the COVID-19 pandemic have resumed making normal payments,” Helling said. “We believe this speaks to the high quality of our loan portfolio and the resiliency of our local markets, which continue to exhibit improving economic activity.”

______________________________
Adjusted non-GAAP measurements of financial performance exclude non-recurring income and expense items. The Company believes these measurements provide a better comparison for analysis and may provide a better indicator of future performance.

Annualized Loan and Lease Growth of 9.0% for the Quarter and 7.8% for the Year, excluding PPP Loans (non-GAAP)

During the fourth quarter of 2020, the Company’s total loans and leases, excluding PPP loans, increased $87.5 million to a total of $4.0 billion. Loan and lease growth during the quarter was 9.0% on an annualized basis. Continued loan and lease growth was funded by some of the Company’s excess liquidity. Core deposits (excluding brokered deposits) declined by $18.8 million and brokered deposits declined by $54.3 million as the Company allowed certain higher cost brokered deposits to run off the balance sheet. In addition, short-term borrowings decreased by $50.0 million during the quarter. At quarter-end, the percentage of wholesale funds to total assets was 3.2%, which was down from 4.9% in the third quarter of 2020 as the Company’s need for wholesale funding continued to decline. Additionally, at quarter-end, the percentage of gross loans and leases to total assets was 74.8%, up from 72.4% in the third quarter, driven primarily by lower excess liquidity.

“Our solid loan growth for the quarter was driven by strength in our core commercial lending business, as well as our Specialty Finance Group,” added Helling. “However, until we have better visibility on the pandemic recovery, we are targeting organic loan growth for the full year 2021 of between 6% and 8%, slightly lower than our long-term goal of 9%.”  

Net Interest Income of $43.7 million

Net interest income for the fourth quarter of 2020 totaled $43.7 million, compared to $44.6 million for the third quarter of 2020 and $39.9 million for the fourth quarter of 2019. The slight decrease was primarily due to a decline in the yield on earning assets of 8 basis points on a linked quarter basis, primarily due to the higher than normal amount of interest recoveries on previously charged-off loans in the third quarter. Acquisition-related net accretion totaled $1.1 million for the fourth quarter of 2020, up from $833 thousand in the third quarter of 2020 and $931 thousand for the fourth quarter of 2019. Adjusted net interest income (non-GAAP) was $45.3 million for the fourth quarter of 2020, compared to $45.7 million for the third quarter of 2020 and $40.8 million for the fourth quarter of 2019.

Net interest income totaled $167.0 million for the year ended December 31, 2020, compared to $155.6 million for the year ended December 31, 2019.

Excluding the impact of interest recoveries in the prior quarter, which created an 8 basis point reduction in adjusted NIM (non-GAAP) on a linked-quarter basis, adjusted NIM was up 1 basis point. The reported net interest margin was 3.25%. On a tax-equivalent yield basis (non-GAAP), net interest margin was 3.45%, decreasing by 11 and 6 basis points, respectively, from the third quarter of 2020. Net interest margin, excluding acquisition-related net accretion (non-GAAP) was 3.37%, down 7 basis points from the third quarter. The total cost of interest-bearing funds was down 2 basis points for the quarter, as further improvement in our deposit costs was partially offset by the full quarter impact of our $50.0 million subordinated note offering in the third quarter.

 For the Quarter Ended
 December 31,September 30,December 31,
 202020202019
NIM3.25%3.36%3.36%
NIM (TEY)(non-GAAP)3.45%3.51%3.51%
Adjusted NIM (TEY)(non-GAAP)3.37%      3.44% (1)3.43%
See GAAP to non-GAAP reconciliations

   

(1)   Increased by 8 bps due to one-time interest recoveries on previously charged-off loans.

“Our deposit costs decreased significantly over the course of the year as we grew core deposits and significantly reduced our wholesale funding,” stated Todd A. Gipple, President, Chief Operating Officer and Chief Financial Officer. “However, our average loan yields also decreased due to the sharp decline in short-term interest rates. Despite this and the fact that we carried a significant amount of excess liquidity for most of the year, we were able to protect our margins, as adjusted NIM increased by 2 basis points for the full year.”

Noninterest Income of $32.0 million        

Noninterest income for the fourth quarter of 2020 totaled $32.0 million, compared to $38.0 million for the third quarter of 2020. The decrease was primarily due to a $5.3 million reduction in swap fee income from the record third quarter. Wealth management revenue was $3.3 million for the quarter, down $232 thousand from the third quarter, due to the impact of the sale of the Bates Companies in the third quarter. Excluding that impact, wealth management revenue was up $241 thousand on a linked-quarter basis. In addition, securities gains decreased by $1.2 million and gain on sale of loans increased by $316 thousand from the prior quarter. Noninterest income increased $14.5 million, or an increase of 83% compared to the fourth quarter of 2019, excluding the gain on sale of Rockford Bank & Trust (“RB&T”), which was recorded in that quarter.

Noninterest income for the year ended December 31, 2020, totaled $113.8 million, compared to $66.5 million for the year ended December 31, 2019, excluding the gain on the sale of RB&T, an increase of 71%.

“Our noninterest income was again driven by another strong quarter of swap fee income. Swap fee income totaled $74.8 million for the full year 2020 as a result of strong demand for these lending products, where we are making high-quality, long-term variable rate loans and are enabling our clients to lock in attractive fixed long-term rates through the use of swaps. The pipeline of swap loans at our banks and our Specialty Finance Group remains healthy and we believe that this source of fee income remains sustainable for the foreseeable future,” added Gipple. “Our current expectation is that swap fee income will be approximately $14 to $18 million per quarter for 2021.”

Noninterest Expenses of $46.4 million

Noninterest expense for the fourth quarter of 2020 totaled $46.4 million, compared to $40.8 million for the third quarter of 2020 and $46.3 million for the fourth quarter of 2019. The linked-quarter increase was due to several factors, but primarily the result of increased salary and benefits expense of $4.4 million, driven by strong financial results in the second half of the year. In addition, occupancy and equipment expense increased by $1.1 million, and advertising and marketing expense increased by $526 thousand. These increases were partially offset by a linked-quarter decline in losses on liability extinguishment of $417 thousand and loss on the sale of a subsidiary of $452 thousand.

Asset Quality Remains Strong and NPAs Improved
Continued to Build Reserves

Nonperforming assets (“NPAs”) totaled $14.8 million at the end of the fourth quarter, a decrease of $4.1 million from the third quarter of 2020. The decrease was primarily due to a reduction in nonaccrual loans as a number of loans returned to performing status or were either monetized or charged-off during the quarter. The ratio of NPAs to total assets improved to 0.26% on December 31, 2020, compared to 0.32% on September 30, 2020, and 0.27% on December 31, 2019. In addition, the Company’s criticized loans and classified loans to total loans and leases decreased to 3.24% and 1.55%, respectively, from 3.53% and 1.66% as of September 30, 2020.

The Company’s provision for loan and lease losses totaled $7.1 million for the fourth quarter of 2020, down from $20.3 million in the prior quarter. As of December 31, 2020, the Company’s allowance to total loans and leases was 1.98%, which was up from 1.87% on September 30, 2020, and from 0.98% at December 31, 2019. Excluding the $273 million impact of PPP loans that are on the Company’s balance sheet, the ALLL to total loans and leases was 2.12% (non-GAAP).

In accordance with GAAP for acquisition accounting, loans acquired through past acquisitions were recorded at market value; therefore, there was no allowance associated with the acquired loans at the acquisition date. Management continues to evaluate the allowance needed on the acquired loans factoring in the net remaining discount of $3.1 million on December 31, 2020.

Strong Capital Levels

As of December 31, 2020, the Company’s total risk-based capital ratio was 15.13%, the common equity tier 1 ratio was 10.69% and the tangible common equity to tangible assets ratio was 9.08%. By comparison, these respective ratios were 14.93%, 10.44% and 8.42% as of September 30, 2020.

Focus on Three Strategic Long-Term Initiatives

As part of the Company’s ongoing efforts to grow earnings and drive attractive long-term returns for shareholders, it continues to operate under three key strategic long-term initiatives:

  • Organic loan and lease growth of 9% per year, funded by core deposits;
  • Grow fee-based income by at least 6% per year; and
  • Limit our annual operating expense growth to 5% per year.

These initiatives are long-term targets. Due to the impact of the COVID-19 pandemic, among other factors, the Company may not be able to achieve these goals for the full year 2021.

Supplemental Presentation and Where to Find It
In addition to this press release, the Company has included a supplemental presentation that provides further information regarding the Company’s loan exposures and deferrals. Investors, analysts and other interested persons may find this presentation on the Securities and Exchange Commission’s EDGAR filing system at www.sec.gov/edgar.shtml, or on the Company’s website at www.qcrh.com.

Conference Call Details

The Company will host an earnings call/webcast tomorrow, January 28, 2021, at 10:00 a.m. Central Time. Dial-in information for the call is toll-free: 888-346-9286 (international 412-317-5253). Participants should request to join the QCR Holdings, Inc. call. The event will be available for replay through February 11, 2021. The replay access information is 877-344-7529 (international 412-317-0088); access code 10151041. A webcast of the teleconference can be accessed at the Company’s News and Events page at www.qcrh.com. An archived version of the webcast will be available at the same location shortly after the live event has ended.

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, Iowa, commenced operations in 1994, Cedar Rapids Bank & Trust Company, based in Cedar Rapids, Iowa, commenced operations in 2001, Community State Bank, based in Ankeny, Iowa, was acquired by the Company in 2016, and Springfield First Community Bank, based in Springfield, Missouri, was acquired by the Company in 2018. Additionally, the Company serves the Waterloo/Cedar Falls, Iowa community through Community Bank & Trust, a division of Cedar Rapids Bank & Trust Company. Quad City Bank & Trust Company engages in commercial leasing through its wholly-owned subsidiary, m2 Equipment Finance, LLC, based in Milwaukee, Wisconsin, and also provides correspondent banking services. The Company has 24 locations in Iowa, Missouri, Wisconsin and Illinois. As of December 31, 2020, the Company had approximately $5.7 billion in assets, $4.3 billion in loans and $4.6 billion in deposits. For additional information, please visit the Company’s website at www.qcrh.com.

Special Note Concerning Forward-Looking Statements. This document contains, and future oral and written statements of the Company and its management may contain, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations, plans, objectives, future performance and business of the Company. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of the Company’s management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “predict,” “suggest,” “appear,” “plan,” “intend,” “estimate,” ”annualize,” “may,” “will,” “would,” “could,” “should” or other similar expressions. Additionally, all statements in this document, including forward-looking statements, speak only as of the date they are made, and the Company undertakes no obligation to update any statement in light of new information or future events.
        
A number of factors, many of which are beyond the ability of the Company to control or predict, could cause actual results to differ materially from those in its forward-looking statements. These factors include, among others, the following: (i) the strength of the local, state, national and international economies (including the impact of the new presidential administration and the impact of tariffs, a U.S. withdrawal from or significant renegotiation of trade agreements, trade wars and other changes in trade regulations); (ii) the economic impact of any future terrorist threats and attacks, widespread disease or pandemics (including the COVID-19 pandemic in the United States), or other adverse external events that could cause economic deterioration or instability in credit markets, and the response of the local, state and national governments to any such adverse external events; (iii) changes in accounting policies and practices (including the new current expected credit loss (CECL) impairment standards, that will change how the Company estimates credit losses when implemented); (iv) changes in state and federal laws, regulations and governmental policies concerning the Company’s general business; (v) changes in interest rates and prepayment rates of the Company’s assets (including the impact of LIBOR phase-out); (vi) increased competition in the financial services sector and the inability to attract new customers; (vii) changes in technology and the ability to develop and maintain secure and reliable electronic systems; (viii) unexpected results of acquisitions, which may include failure to realize the anticipated benefits of acquisitions and the possibility that transaction costs may be greater than anticipated; (ix) the loss of key executives or employees; (x) changes in consumer spending; and (xi) unexpected outcomes of existing or new litigation involving the Company. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. Additional information concerning the Company and its business, including additional factors that could materially affect the Company’s financial results, is included in the Company’s filings with the Securities and Exchange Commission.

Contacts: 
Todd A. GippleKim K. Garrett
PresidentVice President
Chief Operating OfficerCorporate Communications
Chief Financial OfficerInvestor Relations Manager
(309) 743-7745(319) 743-7006
tgipple@qcrh.comkgarret@qcrh.com


QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
       
 As of 
 December 31,September 30,June 30,March 31,December 31,  
 20202020202020202019 
       
 (dollars in thousands) 
       
CONDENSED BALANCE SHEET      
       
Cash and due from banks$61,329$68,932$88,577$169,827$76,254 
Federal funds sold and interest-bearing deposits 95,676 302,668 142,900 206,708 157,691 
Securities 838,131 782,088 748,883 684,571 611,341 
Net loans/leases 4,166,753 4,168,395 4,079,432 3,662,435 3,654,204 
Intangibles 11,381 11,902 13,872 14,421 14,970 
Goodwill 74,066 74,066 74,248 74,248 74,748 
Derivatives 222,757 236,381 225,164 195,973 87,827 
Other assets 212,704 220,128 220,920 213,134 220,049 
Assets held for sale - - 10,765 10,758 11,966 
Total assets$ 5,682,797$ 5,864,560$ 5,604,761$ 5,232,075$ 4,909,050 
       
Total deposits$4,599,137$4,672,268$4,349,775$4,170,478$3,911,051 
Total borrowings 177,114 226,962 376,250 244,399 278,955 
Derivatives 229,270 244,510 233,589 203,744 88,436 
Other liabilities 83,483 148,207 87,539 71,185 90,254 
Liabilities held for sale - - 1,588 3,130 5,003 
Total stockholders' equity 593,793 572,613 556,020 539,139 535,351 
Total liabilities and stockholders' equity$ 5,682,797$ 5,864,560$ 5,604,761$ 5,232,075$ 4,909,050 
       
ANALYSIS OF LOAN PORTFOLIO      
Loan/lease mix:      
Commercial and industrial loans$1,726,723$1,823,049$1,850,110$1,484,979$1,507,825 
Commercial real estate loans 2,107,629 1,999,715 1,869,162 1,783,086 1,736,396 
Direct financing leases 66,016 73,011 79,105 83,324 87,869 
Residential real estate loans 252,121 245,032 241,069 237,742 239,904 
Installment and other consumer loans 91,302 102,471 99,150 106,728 109,352 
Deferred loan/lease origination costs, net of fees 7,338 4,699 1,663 8,809 8,859 
Total loans/leases$4,251,129$4,247,977$4,140,259$3,704,668$3,690,205 
Less allowance for estimated losses on loans/leases 84,376 79,582 60,827 42,233 36,001 
Net loans/leases$ 4,166,753$ 4,168,395$ 4,079,432$ 3,662,435$ 3,654,204 
       
ANALYSIS OF SECURITIES PORTFOLIO      
Securities mix:      
U.S. government sponsored agency securities$15,336$18,437$17,472$19,457$20,078 
Municipal securities 627,523 569,075 526,192 493,664 447,853 
Residential mortgage-backed and related securities 132,842 134,147 145,672 122,853 120,587 
Asset backed securities 40,683 40,665 39,797 28,499 16,887 
Other securities 21,747 19,764 19,750 20,098 5,936 
Total securities$ 838,131$ 782,088$ 748,883$ 684,571$ 611,341 
       
ANALYSIS OF DEPOSITS      
Deposit mix:      
Noninterest-bearing demand deposits$1,145,378$1,175,085$1,177,482$829,782$777,224 
Interest-bearing demand deposits 2,987,469 2,938,194 2,488,755 2,440,907 2,407,502 
Time deposits 460,659 499,021 560,982 617,979 571,343 
Brokered deposits 5,631 59,968 122,556 281,810 154,982 
Total deposits$ 4,599,137$ 4,672,268$ 4,349,775$ 4,170,478$ 3,911,051 
       
ANALYSIS OF BORROWINGS      
Borrowings mix:      
Term FHLB advances$-$40,000$90,000$55,000$50,000 
Overnight FHLB advances 15,000 - 55,000 40,000 109,300 
FRB borrowings - - 100,000 30,000 - 
Other short-term borrowings 5,430 30,430 24,818 13,067 13,423 
Subordinated notes 118,691 118,577 68,516 68,455 68,394 
Junior subordinated debentures 37,993 37,955 37,916 37,877 37,838 
Total borrowings$ 177,114$ 226,962$ 376,250$ 244,399$ 278,955 
       



QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
         
   For the Quarter Ended 
   December 31,September 30,June 30,March 31,December 31, 
   20202020202020202019 
         
   (dollars in thousands, except per share data) 
         
INCOME STATEMENT       
Interest income $49,851 $50,890 $48,650 $48,982$52,977 
Interest expense  6,144  6,309  7,694  11,276 13,058 
Net interest income  43,707  44,581  40,956  37,706 39,919 
Provision for loan/lease losses  7,080  20,342  19,915  8,367 979 
Net interest income after provision for loan/lease losses $ 36,627 $ 24,239 $ 21,041 $ 29,339$ 38,940 
         
         
Trust department fees $2,388 $2,280 $2,227 $2,312$2,365 
Investment advisory and management fees  926  1,266  1,399  1,727 1,589 
Deposit service fees  1,875  1,403  1,286  1,477 1,787 
Gain on sales of residential real estate loans  1,462  1,370  1,196  652 823 
Gain on sales of government guaranteed portions of loans  224  -  -  - 159 
Swap fee income  21,402  26,688  19,927  6,804 7,409 
Securities gains (losses), net  617  1,802  65  - 26 
Earnings on bank-owned life insurance  461  502  612  329 533 
Debit card fees  923  946  775  758 766 
Correspondent banking fees  270  220  198  215 194 
Gain on sale of assets and liabilities of subsidiary  -  -  -  - 12,286 
Other   1,469  1,482  941  922 1,868 
Total noninterest income $ 32,017 $ 37,959 $ 28,626 $ 15,196$ 29,805 
         
         
Salaries and employee benefits $30,446 $25,999 $21,304 $18,519$24,220 
Occupancy and equipment expense  4,917  3,807  3,748  4,032 4,019 
Professional and data processing fees  3,871  3,758  3,646  3,369 3,570 
Post-acquisition compensation, transition and integration costs  25  (32) 70  151 1,855 
Disposition costs  64  192  (83) 517 3,325 
FDIC insurance, other insurance and regulatory fees  1,272  1,301  908  683 523 
Loan/lease expense  465  403  339  228 349 
Net cost of (income from) and gains/losses on operations of other real estate  (4) 16  (332) 13 232 
Advertising and marketing  1,276  750  552  682 1,670 
Bank service charges  523  488  501  504 516 
Losses on liability extinguishment  1,457  1,874  429  147 288 
Correspondent banking expense  205  205  212  216 216 
Intangibles amortization  521  531  548  549 560 
Goodwill impairment  -  -  -  500 3,000 
Loss on sale of subsidiary  (147) 305  -  - - 
Other   1,473  1,241  1,288  1,313 1,951 
Total noninterest expense $ 46,364 $ 40,838 $ 33,130 $ 31,423$ 46,294 
         
Net income before income taxes $ 22,280 $ 21,360 $ 16,537 $ 13,112$ 22,451 
Federal and state income tax expense  4,009  4,016  2,798  1,884 6,560 
Net income  $ 18,271 $ 17,344 $ 13,739 $ 11,228$ 15,891 
         
Basic EPS  $1.16 $1.10 $0.87 $0.71$1.01 
Diluted EPS $1.14 $1.09 $0.86 $0.70$0.99 
         
         
Weighted average common shares outstanding  15,775,596  15,767,152  15,747,056  15,796,796 15,772,703 
Weighted average common and common equivalent shares outstanding  15,973,054  15,923,578  15,895,336  16,011,456 16,033,043 
         



QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
       
   For the Year Ended 
   December 31,  December 31,  
   2020 2019 
       
   (dollars in thousands, except per share data) 
       
INCOME STATEMENT     
Interest income $198,373  $216,076  
Interest expense  31,423   60,517  
Net interest income  166,950   155,559  
Provision for loan/lease losses  55,704   7,066  
Net interest income after provision for loan/lease losses $ 111,246  $ 148,493  
       
       
Trust department fees $9,207  $9,559  
Investment advisory and management fees  5,318   6,995  
Deposit service fees  6,041   6,812  
Gain on sales of residential real estate loans  4,680   2,571  
Gain on sales of government guaranteed portions of loans  224   748  
Swap fee income  74,821   28,295  
Securities gains (losses), net  2,484   (30) 
Earnings on bank-owned life insurance  1,904   1,973  
Debit card fees  3,402   3,357  
Correspondent banking fees  903   773  
Gain on sale of assets and liabilities of subsidiary  -   12,286  
Other   4,814   5,429  
Total noninterest income $ 113,798  $ 78,768  
       
       
Salaries and employee benefits $96,268  $92,063  
Occupancy and equipment expense  16,504   15,106  
Professional and data processing fees  14,644   13,381  
Post-acquisition compensation, transition and integration costs  214   3,582  
Disposition costs  690   3,325  
FDIC insurance, other insurance and regulatory fees  4,164   2,955  
Loan/lease expense  1,435   1,097  
Net cost of (income from) and gains/losses on operation of other real estate (307)  3,789  
Advertising and marketing  3,260   4,548  
Bank service charges  2,016   2,009  
Losses on liability extinguishment  3,907   436  
Correspondent banking expense  838   836  
Intangibles amortization  2,149   2,266  
Goodwill impairment  500   3,000  
Loss on sale of subsidiary  158   -  
Other   5,315   6,841  
Total noninterest expense $ 151,755  $ 155,234  
       
Net income before taxes $ 73,289  $ 72,027  
Income tax expense  12,707   14,619  
Net income  $ 60,582  $ 57,408  
       
Basic EPS  $3.89  $3.65  
Diluted EPS $3.80  $3.60  
       
Weighted average common shares outstanding  15,571,650   15,730,016  
Weighted average common and common equivalent shares outstanding  15,952,637   15,967,775  
       



QCR Holdings, Inc.
Consolidated Financial Highlights
(Unaudited)
         
 As of and for the Quarter Ended For the Year Ended
 December 31,September 30,June 30,March 31,December 31, December 31,December 31,
 20202020202020202019 20202019
         
 (dollars in thousands, except per share data)
         
COMMON SHARE DATA        
Common shares outstanding 15,805,711  15,792,357  15,790,611  15,773,736  15,828,098    
Book value per common share (1)$37.57 $36.26 $35.21 $34.18 $33.82    
Tangible book value per common share (2)$32.16 $30.82 $29.63 $28.56 $28.15    
Closing stock price$39.59 $27.41 $31.18 $27.07 $43.86    
Market capitalization$625,748 $432,869 $492,351 $426,995 $694,220    
Market price / book value 105.38% 75.60% 88.55% 79.20% 129.69%   
Market price / tangible book value 123.09% 88.95% 105.23% 94.79% 155.76%   
Earnings per common share (basic) LTM (3)$3.84 $3.69 $3.55 $3.54 $3.65    
Price earnings ratio LTM (3) 10.31 x  7.43 x  8.78 x  7.65 x  12.02 x    
TCE / TA (4) 9.08% 8.42% 8.48% 8.76% 9.25%   
         
         
CONDENSED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY    
Beginning balance$572,613 $556,020 $539,139 $535,351 $519,743    
Net income 18,271  17,344  13,739  11,228  15,891    
Other comprehensive income (loss), net of tax 3,157  (614) 3,622  (3,691) (683)   
Common stock cash dividends declared (947) (945) (945) (942) (947)   
Proceeds from issuance of 9,400 shares of common stock as a result of the performance based targets met for Bates Companies -  -  -  -  399    
Repurchase and cancellation of 100,932 shares of common stock as a result of a share repurchase program -  -  -  (3,780) -    
Other (5) 699  808  465  973  948    
Ending balance$ 593,793 $ 572,613 $ 556,020 $ 539,139 $ 535,351    
         
         
REGULATORY CAPITAL RATIOS (6):        
Total risk-based capital ratio 15.13% 14.93% 13.71% 13.54% 13.33%   
Tier 1 risk-based capital ratio 11.49% 11.25% 11.07% 11.16% 11.04%   
Tier 1 leverage capital ratio 9.49% 9.21% 8.91% 10.19% 9.53%   
Common equity tier 1 ratio 10.69% 10.44% 10.25% 10.31% 10.18%   
         
         
KEY PERFORMANCE RATIOS AND OTHER METRICS         
Return on average assets (annualized) 1.25% 1.19% 0.95% 0.91% 1.23%  1.08% 1.09%
Return on average total equity (annualized) 12.43% 12.06% 9.88% 8.23% 11.93%  10.70% 11.09%
Net interest margin 3.25% 3.36% 3.14% 3.40% 3.36%  3.28% 3.29%
Net interest margin (TEY) (Non-GAAP)(7) 3.45% 3.51% 3.27% 3.56% 3.51%  3.44% 3.43%
Efficiency ratio (Non-GAAP) (8) 61.23% 49.48% 47.61% 59.40% 66.40%  54.05% 66.18%
Gross loans and leases / total assets (10) 74.81% 72.43% 74.01% 70.95% 75.36%  74.81% 74.80%
Gross loans and leases / total deposits (10) 92.43% 90.92% 95.18% 88.83% 94.35%  92.43% 94.95%
Effective tax rate 17.99% 18.80% 16.92% 14.37% 29.22%  17.34% 16.26%
Full-time equivalent employees 714  687  712  703  697   714  766 
         
         
AVERAGE BALANCES         
Assets$5,842,299 $5,820,555 $5,800,164 $4,948,311 $5,147,754  $5,604,074 $5,088,055 
Loans/leases 4,250,951  4,185,275  3,999,523  3,686,410  3,868,435   4,031,567  3,853,918 
Deposits 4,742,602  4,726,881  4,732,626  3,954,707  4,227,572   4,540,266  4,228,418 
Total stockholders' equity 588,042  575,061  556,047  545,548  532,624   566,240  507,383 
         
         
         
(1) Includes accumulated other comprehensive income (loss).
(2) Includes accumulated other comprehensive income (loss) and excludes intangible assets.
(3) LTM : Last twelve months.
(4) TCE / TCA : tangible common equity / total tangible assets. See GAAP to non-GAAP reconciliations.
(5) Includes mostly common stock issued for options exercised and the employee stock purchase plan, as well as stock-based compensation.
(6) Ratios for the current quarter are subject to change upon final calculation for regulatory filings due after earnings release.
(7) TEY : Tax equivalent yield. See GAAP to Non-GAAP reconciliations.
(8) See GAAP to Non-GAAP reconciliations.
(9) Growth in full-time equivalents from September 30, 2020 to December 31, 2020 due to the addition of new positions created to build scale.
Decrease from June 30, 2020 to September 30, 2020 due to sale of Bates Companies and interns employed only during the summer.
(10) Excludes assets held for sale as of December 31, 2019, March 31, 2020 and June 30, 2020.
         


QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
              
ANALYSIS OF NET INTEREST INCOME AND MARGIN  
              
  For the Quarter Ended 
  December 31, 2020 September 30, 2020 December 31, 2019 
  Average BalanceInterest Earned or PaidAverage Yield or Cost Average BalanceInterest Earned or PaidAverage Yield or Cost Average BalanceInterest Earned or PaidAverage Yield or Cost 
              
  (dollars in thousands) 
              
Fed funds sold $1,216$10.08% $2,205$10.18% $2,933$121.62% 
Interest-bearing deposits at financial institutions 279,024 820.12%  321,679 920.11%  208,040 8681.66% 
Securities (1)  795,696 7,2073.62%  749,425 6,8363.66%  610,676 5,9133.84% 
Restricted investment securities 18,790 2364.92%  19,714 2494.94%  21,226 2835.29% 
Loans (1)  4,250,951 44,9564.21%  4,185,275 45,6544.34%  3,868,435 47,6844.89% 
Total earning assets (1)$5,345,677$52,4823.91% $5,278,298$52,8323.99% $4,711,310$54,7604.61% 
              
Interest-bearing deposits$3,033,119$2,0600.27% $2,932,988$2,0860.28% $2,520,696$6,5471.03% 
Time deposits  530,813 1,7521.31%  638,031 2,3991.50%  865,392 4,6312.12% 
Short-term borrowings 19,115 30.17%  26,996 110.17%  19,491 871.77% 
Federal Home Loan Bank advances 33,207 800.94%  57,078 2111.45%  87,527 2100.95% 
Subordinated debentures 118,612 1,6785.66%  77,783 1,0315.30%  68,356 1,0045.83% 
Junior subordinated debentures 37,969 5715.88%  37,936 5715.89%  37,813 5796.07% 
Total interest-bearing liabilities$3,772,835$6,1440.64% $3,770,812$6,3090.66% $3,599,275$13,0581.44% 
              
Net interest income (1) $46,338   $46,523   $41,702  
Net interest margin (2)  3.25%   3.36%   3.36% 
Net interest margin (TEY) (Non-GAAP) (1) (2) (3)  3.45%   3.51%   3.51% 
Adjusted net interest margin (TEY) (Non-GAAP) (1) (2) (3)    3.37%   3.44%   3.43% 
              
              
              
  For the Year Ended     
  December 31, 2020 December 31, 2019   
  Average BalanceInterest Earned or PaidAverage Yield or Cost Average BalanceInterest Earned or PaidAverage Yield or Cost     
              
  (dollars in thousands)     
              
Fed funds sold $2,398$190.79% $8,898$2042.29%     
Interest-bearing deposits at financial institutions 315,616 6690.21%  179,635 3,9102.18%     
Securities (1)  715,808 26,7733.74%  635,650 24,1503.80%     
Restricted investment securities 20,270 1,0315.00%  21,559 1,1745.45%     
Loans (1)  4,031,567 178,0974.42%  3,857,547 193,3655.01%     
Total earning assets (1)$5,085,659$206,5894.06% $4,703,289$222,8034.74%     
              
Interest-bearing deposits$2,797,669$11,9800.43% $2,443,989$29,8981.22%     
Time deposits  690,222 11,2891.64%  966,745 20,9772.17%     
Short-term borrowings 22,625 840.37%  16,837 3632.16%     
Federal Home Loan Bank advances 74,167 1,0871.44%  108,536 2,8952.67%     
Other borrowings  - -0.00%  13,563 5123.77%     
Subordinated debentures 83,404 4,6975.63%  60,883 3,5645.85%     
Junior subordinated debentures 37,913 2,2865.93%  37,751 2,3086.11%     
Total interest-bearing liabilities$3,706,000$31,4230.85% $3,648,304$60,5171.66%     
              
Net interest income (1) $175,166   $162,286      
Net interest margin (2)  3.28%   3.31%     
Net interest margin (TEY) (Non-GAAP) (1) (2) (3)  3.44%   3.45%     
Adjusted net interest margin (TEY) (Non-GAAP) (1) (2) (3)    3.38%   3.36%     
              
              
              
(1) Includes nontaxable securities and loans. Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21% tax rate. 
(2) See "Select Financial Data - Subsidiaries" for a breakdown of amortization/accretion included in net interest margin for each period presented. 
(3) TEY : Tax equivalent yield. See GAAP to Non-GAAP reconciliations. 
              



QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
       
 As of 
 December 31,September 30,June 30,March 31,December 31, 
 20202020202020202019 
       
 (dollars in thousands, except per share data) 
       
ROLLFORWARD OF ALLOWANCE FOR LOAN/LEASE LOSSES      
Beginning balance$79,582 $60,827 $42,233 $36,001 $36,116  
Provision charged to expense 7,080  20,342  19,915  8,367  979  
Loans/leases charged off (2,779) (1,819) (1,450) (2,335) (1,182) 
Recoveries on loans/leases previously charged off 493  232  129  200  88  
Ending balance$ 84,376 $ 79,582 $ 60,827 $ 42,233 $ 36,001  
       
       
NONPERFORMING ASSETS       
Nonaccrual loans/leases$13,940 $17,597 $12,099 $11,628 $7,902  
Accruing loans/leases past due 90 days or more 3  86  99  1,419  33  
Troubled debt restructures - accruing 741  1,061  920  545  979  
Total nonperforming loans/leases 14,684  18,744  13,118  13,592  8,914  
Other real estate owned 20  125  157  3,298  4,129  
Other repossessed assets 135  110  25  45  41  
Total nonperforming assets$ 14,839 $ 18,979 $ 13,300 $ 16,935 $ 13,084  
       
       
ASSET QUALITY RATIOS      
Nonperforming assets / total assets (1) 0.26% 0.32% 0.24% 0.32% 0.27% 
Allowance / total loans/leases (2) 1.98% 1.87% 1.47% 1.14% 0.98% 
Allowance / nonperforming loans/leases (2) 574.61% 424.57% 463.69% 310.72% 403.87% 
Net charge-offs as a % of average loans/leases 0.05% 0.04% 0.03% 0.06% 0.03% 
       
       
       
INTERNALLY ASSIGNED RISK RATING (3)      
Special mention (rating 6)$71,482 $79,587 $104,608 $34,738 $19,952  
Substandard (rating 7) 66,081  70,409  39,855  36,612  33,649  
Doubtful (rating 8) -  -  -  -  -  
 $137,563 $149,996 $144,463 $71,350 $53,601  
       
Criticized loans (4)$137,563 $149,996 $144,463 $71,350 $53,601  
Classified loans (5) 66,081  70,409  39,855  36,612  33,649  
       
Criticized loans as a % of total loans/leases 3.24% 3.53% 3.49% 1.93% 1.45% 
Classified loans as a % of total loans/leases 1.55% 1.66% 0.96% 0.99% 0.91% 
       
       
       
(1) Excludes assets held for sale.      
(2) Upon acquisition and per GAAP, acquired loans are recorded at market value which eliminates the allowance and impacts these ratios. 
(3) Amounts exclude the government guaranteed portion, if any. The Company assigns internal risk ratings of Pass (Rating 2) for the government guaranteed portion. 
(4) Criticized loans are defined as C&I and CRE loans with internally assigned risk ratings of 6, 7, or 8, regardless of performance. 
(5) Classified loans are defined as C&I and CRE loans with internally assigned risk ratings of 7 or 8, regardless of performance. 



QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
             
   For the Quarter EndedFor the Year Ended 
   December 31, September 30,December 31,December 31,December 31, 
 SELECT FINANCIAL DATA - SUBSIDIARIES  2020   2020   2019   2020   2019  
     
   (dollars in thousands) 
             
 TOTAL ASSETS           
             
 Quad City Bank and Trust (1) $2,149,469  $2,205,935  $1,682,477      
 m2 Equipment Finance, LLC  243,090   241,452   239,794      
 Cedar Rapids Bank and Trust  1,952,308   2,012,182   1,572,324      
 Community State Bank - Ankeny  1,000,670   937,017   853,834      
 Springfield First Community Bank  779,955   803,478   748,753      
             
 TOTAL DEPOSITS           
             
 Quad City Bank and Trust (1) $1,866,635  $1,955,360  $1,458,587      
 Cedar Rapids Bank and Trust  1,378,108   1,399,267   1,248,598      
 Community State Bank - Ankeny  875,400   822,261   735,089      
 Springfield First Community Bank  569,036   592,528   531,498      
             
 TOTAL LOANS & LEASES           
             
 Quad City Bank and Trust (1) $1,556,762  $1,556,798  $1,329,667      
 m2 Equipment Finance, LLC  244,325   241,783   236,735      
 Cedar Rapids Bank and Trust  1,362,056   1,387,372   1,174,963      
 Community State Bank - Ankeny  707,681   683,086   639,270      
 Springfield First Community Bank  624,629   620,721   546,306      
             
 TOTAL LOANS & LEASES / TOTAL DEPOSITS           
             
 Quad City Bank and Trust (1)  83%  80%  91%     
 Cedar Rapids Bank and Trust  99%  99%  94%     
 Community State Bank - Ankeny  81%  83%  87%     
 Springfield First Community Bank  110%  105%  103%     
             
             
 TOTAL LOANS & LEASES / TOTAL ASSETS           
             
 Quad City Bank and Trust (1)  72%  71%  79%     
 Cedar Rapids Bank and Trust  70%  69%  75%     
 Community State Bank - Ankeny  71%  73%  75%     
 Springfield First Community Bank  80%  77%  73%     
             
 ALLOWANCE AS A PERCENTAGE OF LOANS/LEASES           
             
 Quad City Bank and Trust (1)  1.95%  1.86%  1.03%     
 m2 Equipment Finance, LLC  2.63%  2.53%  1.51%     
 Cedar Rapids Bank and Trust (2)  2.35%  2.22%  1.14%     
 Community State Bank - Ankeny (2)  2.02%  1.92%  1.04%     
 Springfield First Community Bank (2)  1.23%  1.09%  0.41%     
             
 RETURN ON AVERAGE ASSETS            
             
 Quad City Bank and Trust (1)  1.52%  0.56%  1.44%  0.99%  1.30% 
 Cedar Rapids Bank and Trust  0.59%  2.66%  1.82%  1.81%  1.84% 
 Community State Bank - Ankeny  3.25%  0.82%  1.38%  1.25%  1.34% 
 Springfield First Community Bank  3.02%  1.52%  1.44%  1.74%  1.32% 
             
 NET INTEREST MARGIN PERCENTAGE (3)           
             
 Quad City Bank and Trust (1)  3.19%  3.07%  3.55%  3.17%  3.39% 
 Cedar Rapids Bank and Trust (5)  3.51%  3.54%  3.49%  3.47%  3.43% 
 Community State Bank - Ankeny (4)  3.77%  4.12%  4.35%  3.89%  4.33% 
 Springfield First Community Bank (6)  4.03%  3.75%  3.95%  3.87%  3.93% 
             
 ACQUISITION-RELATED AMORTIZATION/ACCRETION INCLUDED IN NET         
 INTEREST MARGIN, NET           
             
 Cedar Rapids Bank and Trust $103  $217  $103  $430  $547  
 Community State Bank - Ankeny  132   56   94   325   877  
 Springfield First Community Bank  880   598   775   2,671   3,088  
 QCR Holdings, Inc. (7)  (38)  (38)  (41)  (155)  (168) 
             
(1)  Quad City Bank and Trust figures include m2 Equipment Finance, LLC, as this entity is wholly-owned and consolidated with the Bank. m2 Equipment Finance, LLC is also presented separately for certain (applicable) measurements. 
(2)  Upon acquisition and per GAAP, acquired loans are recorded at market value, which eliminates the allowance and impacts this ratio.     
(3) Includes nontaxable securities and loans. Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21% tax rate.   
(4)  Community State Bank's net interest margin percentage includes various purchase accounting adjustments. Excluding those adjustments, net interest margin would have been 3.69% for the quarter ended December 31, 2020, 4.06% for the quarter ended September 30, 2020 and 4.27% for the quarter ended December 31, 2019.   
(5) Cedar Rapids Bank and Trust's net interest margin percentage includes various purchase accounting adjustments. Excluding those adjustments, net interest margin would have been 3.47% for the quarter ended December 31, 2020, 3.46% for the quarter ended September 30, 2020 and 3.46% for the quarter ended December 31, 2019. 
(6) Springfield First Community Bank's net interest margin percentage includes various purchase accounting adjustments. Excluding those adjustments, net interest margin would have been 3.59% for the quarter ended December 31, 2020, 4.02% for the quarter ended September 30, 2020 and 3.47% for the quarter ended December 31, 2019. 
(7) Relates to the trust preferred securities acquired as part of the Guaranty Bank acquisition in 2017 and the Community National Bank acquisition in 2013.   
             



QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
            
  As of
  December 31, September 30, June 30, March 31, December 31, 
GAAP TO NON-GAAP RECONCILIATIONS 2020 2020 2020 2020 2019 
   
  (dollars in thousands, except per share data)
TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS RATIO (1)           
            
Stockholders' equity (GAAP) $593,793  $572,613  $556,020  $539,139  $535,351  
Less: Intangible assets  85,447   85,968   88,120   88,669   89,717  
Tangible common equity (non-GAAP) $508,346  $486,645  $467,900  $450,470  $445,634  
            
Total assets (GAAP) $5,682,797  $5,864,560  $5,604,761  $5,232,075  $4,909,050  
Less: Intangible assets  85,447   85,968   88,120   88,669   89,717  
Tangible assets (non-GAAP) $5,597,350  $5,778,592  $5,516,641  $5,143,406  $4,819,333  
            
Tangible common equity to tangible assets ratio (non-GAAP)  9.08%  8.42%  8.48%  8.76%  9.25% 
            
TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS RATIO EXCLUDING PPP LOANS (1)           
            
Stockholder's equity (GAAP) $593,793  $572,613  $556,020  $539,139  $535,351  
Less: PPP loan interest income (post-tax) (2)  7,691   4,934   2,085   -   -  
Less: Intangible assets  85,447   85,968   88,120   88,669   89,717  
Tangible common equity, excluding PPP loan income (non-GAAP) $500,655  $481,711  $465,815  $450,470  $445,634  
            
Total assets (GAAP) $5,682,797  $5,864,560  $5,604,761  $5,232,075  $4,909,050  
Less: PPP loans  273,146   357,506   358,052   -   -  
Less: Intangible assets  85,447   85,968   88,120   88,669   89,717  
Tangible assets, excluding PPP loans (non-GAAP) $5,324,204  $5,421,086  $5,158,589  $5,143,406  $4,819,333  
            
Tangible common equity to tangible assets ratio, excluding PPP loans (non-GAAP)  9.40%  8.89%  9.03%  8.76%  9.25% 
            
            
(1) This ratio is a non-GAAP financial measure. The Company's management believes that this measurement is important to many investors in the marketplace who are interested in changes period-to-period in common equity. In compliance with applicable rules of the SEC, this non-GAAP measure is reconciled to stockholders' equity and total assets, which are the most directly comparable GAAP financial measures. 
(2) PPP interest income (post-tax) is calculated using an estimated effective tax rate of 21%. 
            



QCR Holdings, Inc.  
Consolidated Financial Highlights 
(Unaudited) 
                
GAAP TO NON-GAAP RECONCILIATIONS For the Quarter Ended For the Year Ended 
  December 31, September 30, June 30, March 31, December 31, December 31, December 31,  
ADJUSTED NET INCOME (1) 2020 2020 2020 2020 2019 2020 2019 
    
  (dollars in thousands, except per share data) 
                
Net income (GAAP) $18,271  $17,344  $13,739  $11,228  $15,891  $60,582  $57,408  
                
Less non-core items (post-tax) (2):               
Income:               
Securities gains(losses), net  487   1,424   51   -   21  $1,962  $(22) 
Loss on syndicated loan  (210)  -   -   -    $(210)   
Gain on sale of assets and liabilities of subsidiary  -   -   -   -   8,539   -   8,539  
Total non-core income (non-GAAP) $277  $1,424  $51  $-  $8,560  $1,752  $8,517  
                
Expense:               
Losses on debt extinguishment, net $1,151  $1,480  $339  $116  $228  $3,087  $345  
Goodwill impairment  -   -   -   500   3,000   500   3,000  
Disposition costs  51   152   (66)  408   2,627   545   2,627  
Tax expense on expected liquidation of RB&T BOLI  -   -   -   -   790   -   790  
Post-acquisition compensation, transition and integration costs  20   (25)  55   119   1,465   169   2,828  
Loss on sale of subsidiary  (102)  212   -   -   -   110   -  
Total non-core expense (non-GAAP) $1,119  $1,819  $329  $1,143  $8,110  $4,411  $9,590  
Adjusted net income (non-GAAP) (1) $ 19,113  $ 17,739  $ 14,016  $ 12,372  $ 15,441  $ 63,240  $ 58,480  
                
PRE-PROVISION/PRE-TAX ADJUSTED INCOME (1)               
Net income (GAAP) $18,271  $17,344  $13,739  $11,228  $15,891  $60,582  $57,408  
Less: Non-core income not tax-effected  351   1,802   65   -   12,313   2,218   12,258  
Plus: Non-core expense not tax-effected  1,399   2,339   416   1,315   9,258   5,469   11,132  
Provision expense  7,080   20,342   19,915   8,367   979   55,704   7,066  
Federal and state income tax expense  4,009   4,016   2,798   1,884   6,560   12,707   14,619  
Pre-provision/pre-tax adjusted income (non-GAAP) (1) $ 30,408  $ 42,239  $ 36,803  $ 22,794  $ 20,375  $ 132,244  $ 77,966  
                
PRE-PROVISION/PRE-TAX ADJUSTED RETURN ON AVERAGE ASSETS (NON-GAAP)               
                
Pre-provision/pre-tax adjusted income (non-GAAP) $30,408  $42,239  $36,803  $22,794  $20,375  $132,244  $77,966  
                
Average Assets $5,842,299  $5,820,555  $5,800,164  $4,948,311  $5,147,754  $5,604,074  $5,102,980  
                
Pre-provision/pre-tax adjusted return on average assets (non-GAAP)  2.08%  2.90%  2.54%  1.84%  1.58%  2.36%  2.04% 
                
ADJUSTED EARNINGS PER COMMON SHARE (1)               
                
Adjusted net income (non-GAAP) (from above) $19,113  $17,739  $14,016  $12,372  $15,441  $63,240  $58,480  
                
Weighted average common shares outstanding  15,775,596   15,767,152   15,747,056   15,796,796   15,772,703   15,571,650   15,730,016  
Weighted average common and common equivalent shares outstanding  15,973,054   15,923,578   15,895,336   16,011,456   16,033,043   15,952,637   15,967,775  
                
Adjusted earnings per common share (non-GAAP):               
Basic $ 1.21  $ 1.13  $ 0.89  $ 0.78  $ 0.98  $ 4.06  $ 3.72  
Diluted $ 1.20  $ 1.11  $ 0.88  $ 0.77  $ 0.96  $ 3.96  $ 3.66  
                
ADJUSTED RETURN ON AVERAGE ASSETS (1)               
                
Adjusted net income (non-GAAP) (from above) $19,113  $17,739  $14,016  $12,372  $15,441  $63,240  $58,480  
                
Average Assets $5,842,299  $5,820,555  $5,800,164  $4,948,311  $5,147,754  $5,604,074  $5,102,980  
                
Adjusted return on average assets (annualized) (non-GAAP)  1.31%  1.22%  0.97%  1.00%  1.20%  1.13%  1.15% 
                
NET INTEREST MARGIN (TEY) (4)               
                
Net interest income (GAAP) $43,707  $44,581  $40,948  $37,698  $39,919  $166,950  $155,559  
                
Plus: Tax equivalent adjustment (3)  2,631   1,942   1,728   1,790   1,783   8,216   6,727  
                
Net interest income - tax equivalent (Non-GAAP) $46,338  $46,523  $42,676  $39,488  $41,702  $175,166  $162,286  
                
Less: Acquisition accounting net accretion  1,077   833   736   625   931   3,271   4,344  
                
Adjusted net interest income $45,261  $45,690  $41,940  $38,863  $40,771  $171,895  $157,942  
                
Average earning assets $5,345,677  $5,278,298  $5,252,663  $4,461,018  $4,711,310  $5,085,659  $4,703,289  
                
Net interest margin (GAAP)  3.25%  3.36%  3.14%  3.40%  3.36%  3.28%  3.31% 
Net interest margin (TEY) (Non-GAAP)  3.45%  3.51%  3.27%  3.56%  3.51%  3.44%  3.45% 
Adjusted net interest margin (TEY) (Non-GAAP)  3.37%  3.44%  3.21%  3.50%  3.43%  3.38%  3.36% 
                
EFFICIENCY RATIO (5)               
                
Noninterest expense (GAAP) $46,364  $40,838  $33,122  $31,415  $46,294  $151,755  $155,234  
                
Net interest income (GAAP) $43,707  $44,581  $40,948  $37,698  $39,919  $166,950  $155,559  
Noninterest income (GAAP)  32,017   37,959   28,626   15,196   29,805   113,798   78,768  
Total income $75,724  $82,540  $69,574  $52,894  $69,724  $280,748  $234,327  
                
Efficiency ratio (noninterest expense/total income) (Non-GAAP)  61.23%  49.48%  47.61%  59.39%  66.40%  54.05%  66.25% 
                
ALLOWANCE FOR LOAN AND LEASE LOSSES TO TOTAL LOANS AND LEASES, EXCLUDING PPP LOANS (6)               
                
Allowance for loan and lease losses $84,376  $79,582  $60,827  $42,233  $36,001  $84,376  $36,001  
                
Total loans and leases $4,251,129  $4,247,977  $4,140,259  $3,704,668  $3,690,205  $4,251,129  $3,690,205  
Less: PPP loans  273,146   357,506   358,052   358,052   -   273,146   -  
Total loans and leases, excluding PPP loans $3,977,983  $3,890,471  $3,782,207  $3,346,616  $3,690,205  $3,977,983  $3,690,205  
                
Allowance for loan and lease losses to total loans and leases, excluding PPP loans  2.12%  2.05%  1.61%  1.26%  0.98%  2.12%  0.98% 
                
                
LOAN GROWTH ANNUALIZED, EXCLUDING PPP LOANS               
Total loans and leases $4,251,129  $4,247,977  $4,140,259  $3,704,668  $3,690,205  $4,251,129  $3,690,205  
Less: PPP loans  273,146   357,506   358,052   -   -   273,146   -  
Total loans and leases, excluding PPP loans $3,977,983  $3,890,471  $3,782,207  $3,704,668  $3,690,205  $3,977,983  $3,690,205  
                
Loan growth annualized, excluding PPP loans  9.00%  11.45%  8.37%  1.57%  8.86%  7.80%  -0.07% 
                
                
(1) Adjusted net income, Adjusted net income attributable to QCR Holdings, Inc. common stockholders, Adjusted earnings per common share and Adjusted return on average assets are non-GAAP financial measures. The Company's management believes that these measurements are important to investors as they exclude non-recurring income and expense items, therefore, they provide a more realistic run-rate for future periods. In compliance with applicable rules of the SEC, this non-GAAP measure is reconciled to net income, which is the most directly comparable GAAP financial measure. 
(2) Nonrecurring items (post-tax) are calculated using an estimated effective tax rate of 21% with the exception of goodwill impairment which is not deductible for tax and gain/loss on sale of assets and liabilities of subsidiary has an estimated effective tax rate of 30.5%. 
(3) Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21%. 
(4) Net interest margin (TEY) is a non-GAAP financial measure. The Company's management utilizes this measurement to take into account the tax benefit associated with certain loans and securities. It is also standard industry practice to measure net interest margin using tax-equivalent measures. In compliance with applicable rules of the SEC, this non-GAAP measure is reconciled to net interest income, which is the most directly comparable GAAP financial measure. In addition, the Company calculates net interest margin without the impact of acquisition accounting net accretion as this can fluctuate and it's difficult to provide a more realistic run-rate for future periods. 
(5) Efficiency ratio is a non-GAAP measure. The Company's management utilizes this ratio to compare to industry peers. The ratio is used to calculate overhead as a percentage of revenue. In compliance with the applicable rules of the SEC, this non-GAAP measure is reconciled to noninterest expense, net interest income and noninterest income, which are the most directly comparable GAAP financial measures. 
(6) Allowance for loan and lease losses to total loans and leases, excluding PPP loans is a non-GAAP measure. The Company's management utilizes this ratio to remove from the allowance calculation the impact of PPP loans which are fully guaranteed by the federal government and for which these loans have no allowance for loan and lease loss allocation. 
      



Mijn selecties