MATTOON, Ill., April 30, 2025 (GLOBE NEWSWIRE) -- First Mid Bancshares, Inc. (NASDAQ: FMBH) (the "Company") today announced its financial results for the quarter ended March 31, 2025.
Highlights
- Record high quarterly net income of $22.2 million, or $0.93 diluted EPS, an increase of $0.13
- Adjusted net income (non-GAAP*) of $23.1 million, or $0.96 diluted EPS, an increase of $0.09 for the quarter
- Net interest margin tax equivalent (non-GAAP*) expands to 3.60% helping drive fourth consecutive quarter of growth in net interest income
- Tangible book value per share (non-GAAP*) increased 4.4% during the quarter
- Board of Directors declares regular quarterly dividend of $0.24 per share
"We kicked off 2025 with a record high quarterly net income that reflects our strategic focus on driving a higher return on assets," said Joe Dively, Chairman and Chief Executive Officer. "We delivered growth in both loans and deposits in what is typically a seasonally pressured quarter, and we significantly expanded our net interest margin through both an increase in earning asset yields and a decrease in the average cost of funds. In addition, we successfully completed our retail online system conversion during the quarter providing a better overall product for our customers and an improved platform to grow relationships across business lines."
"Lastly, while we recognize the uncertainty that exists in the macro environment, we are well-prepared with a disciplined credit culture and diversified revenue sources that position us to weather economic disruptions and continue to deliver exceptional service to our customers and communities," Dively concluded.
Net Interest Income
Net interest income for the first quarter of 2025 increased by $0.5 million, or 0.8% compared to the fourth quarter of 2024. The increase was primarily the result of interest expense declining at a faster pace than interest income. Less days in the quarter drove declines in both interest income and expense. The decline in interest income included $0.5 million in lower accretion income, which totaled $2.9 million compared to $3.4 million of accretion income in the fourth quarter.
In comparison to the first quarter of 2024, net interest income increased $3.9 million, or 7.1%. Interest income was lower by $0.1 million, inclusive of a decline in accretion income of $0.7 million compared to the first quarter last year. Interest expense was lower by $4.1 million compared to the same period last year.
Net Interest Margin
Net interest margin, on a tax equivalent basis (non-GAAP), was 3.60% for the first quarter of 2025 representing an increase of 19 basis points over the prior quarter driven by both an increase to earning asset yields and a decrease to funding costs. Excluding the decline in accretion income, the net interest margin increased 23 basis points in the period. Beginning with the first quarter of 2025, the Company changed the methodology utilized for the calculation of net interest margin to be more consistent with what is typically used by peer banks. The calculation now is the annualized net interest income on a tax equivalent basis divided by average interest earning assets. This change added five-basis points to the net interest margin in the first quarter 2025 compared to the fourth quarter of 2024.
In comparison to the first quarter of last year, the net interest margin increased 35 basis points, with an average earning asset increase of 13 basis points, despite a five-basis point reduction to accretion income.
Loan Portfolio
Total loans ended the quarter at $5.70 billion, representing an increase of $26.4 million, or 0.5%, from the prior quarter, despite elevated payoffs during the period. The increase was primarily in construction and land development, multifamily residential properties, and agriculture operating loans. The largest declines were in commercial real estate and commercial and industrial loans. The average loan balance for the quarter declined compared to the fourth quarter, as a majority of the net loan growth occurred in March 2025.
In comparison to the first quarter last year, loan growth increased $199.6 million, or 3.6%. The largest increases were in construction and development, agriculture operating lines, and commercial and industrial loans.
Asset Quality
The first quarter was another solid performance with respect to the Company's asset quality metrics. The allowance for credit losses ("ACL") ended the period at $70.1 million and the ACL to total loans ratio was 1.23%. In addition to the ACL, an unearned discount of $32.6 million remains at quarter end. Provision expense was recorded in the amount of $1.7 million with net charge-offs of $1.8 million in the quarter. Also, at the end of the first quarter, the ratio of non-performing loans to total loans was 0.47%, the ACL to non-performing loans was 263.4%, and the ratio of nonperforming assets to total assets was 0.38%. Nonperforming loans declined by $3.2 million to $26.6 million at quarter end. Special mention loans increased by $16.2 million to $74.0 million and substandard loans decreased $1.6 million to $33.9 million.
Deposits
Total deposits ended the quarter at $6.13 billion, which represented an increase of $73.3 million, or 1.2%, from the prior quarter. Noninterest bearing and time deposits were the primary drivers of the increase with growth of $65.4 million and $75.4 million for the period, respectively. The increase in time deposits was driven by a combination of the Company retaining a vast majority of customers with maturing CD's, gaining new customers with its promotional offerings, and the addition of $52.0 million in brokered deposits as rates declined and the wholesale market became attractive. With the Company's strong liquidity position, it was able to reduce outstanding FHLB borrowings and subordinated debt during the quarter by a combined $55.5 million helping lower overall funding costs.
Noninterest Income
Noninterest income for the first quarter of 2025 was $24.9 million compared to $26.4 million in the fourth quarter of 2024. The decline was primarily driven by a $1.3 million gain on the sale of property in the fourth quarter. The current quarter included losses on securities sales of $0.2 million. Excluding those two items, noninterest income was flat versus the prior period. The decline of $0.5 million in wealth management revenue was as expected given the seasonal nature of farmland sales. Overall Ag Services revenue was $2.6 million in the period. Insurance revenues achieved a record high quarter of revenue, despite a challenging operating environment for the industry. Debit card fee income was down $0.6 million primarily driven by less usage due to a pullback in consumer spending.
In comparison to the first quarter of 2024, noninterest income increased $0.4 million, or 1.6%, with increases in wealth management and insurance as the key drivers. The combined increase for these two business lines was 8.2% year-over-year. Debit card fee income reflected the largest decline from lower consumer spending in the first quarter of 2025.
Noninterest Expenses
Noninterest expense for the first quarter of 2025 totaled $54.5 million compared to $56.3 million in the prior quarter. The current quarter included $1.0 million of nonrecurring expenses primarily related to the Company's technology initiatives, including the successful conversion of its retail online platform during the first quarter, versus $2.2 million in nonrecurring costs in the prior quarter. Excluding these items, noninterest expenses were down $0.6 million with the largest decreases in salaries and benefits and debit card expenses.
In comparison to the first quarter of 2024, noninterest expenses increased $1.1 million. The increase was primarily driven by annual compensation increases and a $0.9 million credit in the first quarter of last year for a debit card fee negotiated settlement agreement with its primary provider.
The Company's efficiency ratio, as adjusted in the non-GAAP reconciliation table herein, for the first quarter 2025 was 58.9% compared to 58.8% in the prior quarter and 59.1% for the same period last year.
Capital Levels and Dividend
The Company's capital levels remained strong and above the "well capitalized" levels. Capital levels ended the period as follows:
| Total capital to risk-weighted assets | 15.59% |
| Tier 1 capital to risk-weighted assets | 13.13% |
| Common equity tier 1 capital to risk-weighted assets | 12.73% |
| Leverage ratio | 10.73% |
Tangible book value per share (non-GAAP) increased $1.07, or 4.4% during the first quarter of 2025. The increase was driven primarily by earnings growth, which accounted for $0.79 of the increase. The remaining increase of $0.28 was the result of improvement in accumulated other comprehensive income from a lower unrealized loss position in the investment portfolio.
The Company's Board of Directors approved a regular quarterly dividend of $0.24 payable on May 30, 2025, for shareholders of record on May 15, 2025.
About First Mid: First Mid Bancshares, Inc. ("First Mid") is the parent company of First Mid Bank & Trust, N.A., First Mid Insurance Group, Inc., and First Mid Wealth Management Co. First Mid is a $7.6 billion community-focused organization that provides a full-suite of financial services including banking, wealth management, brokerage, Ag services, and insurance through a sizeable network of locations throughout Illinois, Missouri, Texas, and Wisconsin and a loan production office in the greater Indianapolis area. Together, our First Mid team takes great pride in providing solutions and services to the customers and communities and has done so over the last 160 years. More information about the Company is available on our website at www.firstmid.com.
*Non-GAAP Measures: In addition to reports presented in accordance with generally accepted accounting principles ("GAAP"), this release contains certain non-GAAP financial measures. The Company believes that such non-GAAP financial measures provide investors with information useful in understanding the Company's financial performance. Readers of this release, however, are urged to review these non-GAAP financial measures in conjunction with the GAAP results as reported. These non-GAAP financial measures are detailed as supplemental tables and include "Adjusted Net Earnings," "Adjusted Diluted EPS," "Efficiency Ratio," "Net Interest Margin, tax equivalent," "Tangible Book Value per Common Share," "Adjusted Tangible Book Value per Common Share," "Adjusted Return on Assets," and "Adjusted Return on Average Common Equity". While the Company believes these non-GAAP financial measures provide investors with a broader understanding of the capital adequacy, funding profile and financial trends of the Company, this information should be considered as supplemental in nature and not as a substitute to the related financial information prepared in accordance with GAAP. These non-GAAP financial measures may also differ from the similar measures presented by other companies.
Forward Looking Statements
This document may contain certain forward-looking statements about First Mid, such as discussions of First Mid's pricing and fee trends, credit quality and outlook, liquidity, new business results, expansion plans, anticipated expenses and planned schedules. First Mid intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies and expectations of First Mid are identified by use of the words "believe," "expect," "intend," "anticipate," "estimate," "project," or similar expressions. Actual results could differ materially from the results indicated by these statements because the realization of those results is subject to many risks and uncertainties, including, among other things, changes in interest rates; general economic conditions and those in the market areas of First Mid; legislative and/or regulatory changes; monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board; the quality or composition of First Mid's loan or investment portfolios and the valuation of those investment portfolios; demand for loan products; deposit flows; competition, demand for financial services in the market areas of First Mid; accounting principles, policies and guidelines; and the impact of pandemics on First Mid's businesses. Additional information concerning First Mid, including additional factors and risks that could materially affect First Mid's financial results, are included in First Mid's filings with the SEC, including its Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. Forward-looking statements speak only as of the date they are made. Except as required under the federal securities laws or the rules and regulations of the SEC, we do not undertake any obligation to update or review any forward-looking information, whether as a result of new information, future events or otherwise.
Investor Contact:
Austin Frank
SVP, Shareholder Relations
217-258-5522
afrank@firstmid.com
Matt Smith
Chief Financial Officer
217-258-1528
msmith@firstmid.com
- Tables Follow -
| FIRST MID BANCSHARES, INC. | |||||||||||
| Condensed Consolidated Balance Sheets | |||||||||||
| (In thousands, unaudited) | |||||||||||
| As of | |||||||||||
| March 31, | December 31, | March 31, | |||||||||
| 2025 | 2024 | 2024 | |||||||||
| Assets | |||||||||||
| Cash and cash equivalents | $ | 201,470 | $ | 121,216 | $ | 355,701 | |||||
| Investment securities | 1,049,003 | 1,073,510 | 1,149,752 | ||||||||
| Loans (including loans held for sale) | 5,698,858 | 5,672,462 | 5,499,295 | ||||||||
| Less allowance for credit losses | (70,051 | ) | (70,182 | ) | (67,936 | ) | |||||
| Net loans | 5,628,807 | 5,602,280 | 5,431,359 | ||||||||
| Premises and equipment, net | 97,446 | 100,234 | 101,666 | ||||||||
| Goodwill and intangibles, net | 258,671 | 261,906 | 260,699 | ||||||||
| Bank Owned Life Insurance | 171,127 | 170,854 | 167,247 | ||||||||
| Other assets | 166,164 | 189,734 | 211,822 | ||||||||
| Total assets | $ | 7,572,688 | $ | 7,519,734 | $ | 7,678,246 | |||||
| Liabilities and Stockholders' Equity | |||||||||||
| Deposits: | |||||||||||
| Non-interest bearing | $ | 1,394,590 | $ | 1,329,155 | $ | 1,448,299 | |||||
| Interest bearing | 4,735,790 | 4,727,941 | 4,794,637 | ||||||||
| Total deposits | 6,130,380 | 6,057,096 | 6,242,936 | ||||||||
| Repurchase agreements with customers | 219,772 | 204,122 | 210,719 | ||||||||
| Other borrowings | 195,000 | 242,520 | 238,761 | ||||||||
| Junior subordinated debentures | 24,335 | 24,280 | 24,113 | ||||||||
| Subordinated debt | 79,535 | 87,472 | 106,862 | ||||||||
| Other liabilities | 52,717 | 57,853 | 56,903 | ||||||||
| Total liabilities | 6,701,739 | 6,673,343 | 6,880,294 | ||||||||
| Total stockholders' equity | 870,949 | 846,391 | 797,952 | ||||||||
| Total liabilities and stockholders' equity | $ | 7,572,688 | $ | 7,519,734 | $ | 7,678,246 | |||||
| FIRST MID BANCSHARES, INC. | |||||||
| Condensed Consolidated Statements of Income | |||||||
| (In thousands, except per share data, unaudited) | |||||||
| Three Months Ended | |||||||
| March 31, | |||||||
| 2025 | 2024 | ||||||
| Interest income: | |||||||
| Interest and fees on loans | $ | 79,918 | $ | 77,823 | |||
| Interest on investment securities | 6,777 | 7,405 | |||||
| Interest on federal funds sold & other deposits | 864 | 2,444 | |||||
| Total interest income | 87,559 | 87,672 | |||||
| Interest expense: | |||||||
| Interest on deposits | 23,722 | 26,096 | |||||
| Interest on securities sold under agreements to repurchase | 1,180 | 2,056 | |||||
| Interest on other borrowings | 1,831 | 2,314 | |||||
| Interest on jr. subordinated debentures | 468 | 542 | |||||
| Interest on subordinated debt | 949 | 1,194 | |||||
| Total interest expense | 28,150 | 32,202 | |||||
| Net interest income | 59,409 | 55,470 | |||||
| Provision for credit losses | 1,652 | (357 | ) | ||||
| Net interest income after provision for credit losses | 57,757 | 55,827 | |||||
| Non-interest income: | |||||||
| Wealth management revenues | 5,800 | 5,322 | |||||
| Insurance commissions | 9,925 | 9,213 | |||||
| Service charges | 2,901 | 2,956 | |||||
| Net securities gains/(losses) | (181 | ) | 0 | ||||
| Mortgage banking revenues | 711 | 706 | |||||
| ATM/debit card revenue | 3,646 | 4,055 | |||||
| Other | 2,062 | 2,226 | |||||
| Total non-interest income | 24,864 | 24,478 | |||||
| Non-interest expense: | |||||||
| Salaries and employee benefits | 31,748 | 30,448 | |||||
| Net occupancy and equipment expense | 8,479 | 7,560 | |||||
| Net other real estate owned (income) expense | 101 | (21 | ) | ||||
| FDIC insurance | 849 | 869 | |||||
| Amortization of intangible assets | 3,231 | 3,497 | |||||
| Stationary and supplies | 431 | 391 | |||||
| Legal and professional expense | 3,076 | 2,449 | |||||
| ATM/debit card expense | 1,831 | 1,191 | |||||
| Marketing and donations | 852 | 862 | |||||
| Other | 3,874 | 6,116 | |||||
| Total non-interest expense | 54,472 | 53,362 | |||||
| Income before income taxes | 28,149 | 26,943 | |||||
| Income taxes | 5,978 | 6,440 | |||||
| Net income | $ | 22,171 | $ | 20,503 | |||
| Per Share Information | |||||||
| Basic earnings per common share | $ | 0.93 | $ | 0.86 | |||
| Diluted earnings per common share | 0.93 | 0.86 | |||||
| Weighted average shares outstanding | 23,858,817 | 23,872,731 | |||||
| Diluted weighted average shares outstanding | 23,959,228 | 23,960,335 | |||||
| FIRST MID BANCSHARES, INC. | |||||||||||||||||||
| Condensed Consolidated Statements of Income | |||||||||||||||||||
| (In thousands, except per share data, unaudited) | |||||||||||||||||||
| For the Quarter Ended | |||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
| 2025 | 2024 | 2024 | 2024 | 2024 | |||||||||||||||
| Interest income: | |||||||||||||||||||
| Interest and fees on loans | $ | 79,918 | $ | 81,288 | $ | 81,775 | $ | 79,560 | $ | 77,823 | |||||||||
| Interest on investment securities | 6,777 | 6,990 | 7,036 | 7,405 | 7,405 | ||||||||||||||
| Interest on federal funds sold & other deposits | 864 | 1,564 | 2,371 | 1,718 | 2,444 | ||||||||||||||
| Total interest income | 87,559 | 89,842 | 91,182 | 88,683 | 87,672 | ||||||||||||||
| Interest expense: | |||||||||||||||||||
| Interest on deposits | 23,722 | 26,144 | 28,341 | 26,338 | 26,096 | ||||||||||||||
| Interest on securities sold under agreements to repurchase | 1,180 | 1,333 | 1,444 | 1,615 | 2,056 | ||||||||||||||
| Interest on other borrowings | 1,831 | 1,917 | 2,195 | 2,248 | 2,314 | ||||||||||||||
| Interest on jr. subordinated debentures | 468 | 510 | 567 | 537 | 542 | ||||||||||||||
| Interest on subordinated debt | 949 | 988 | 1,092 | 1,180 | 1,194 | ||||||||||||||
| Total interest expense | 28,150 | 30,892 | 33,639 | 31,918 | 32,202 | ||||||||||||||
| Net interest income | 59,409 | 58,950 | 57,543 | 56,765 | 55,470 | ||||||||||||||
| Provision for credit losses | 1,652 | 3,643 | 1,266 | 1,083 | (357 | ) | |||||||||||||
| Net interest income after provision for credit losses | 57,757 | 55,307 | 56,277 | 55,682 | 55,827 | ||||||||||||||
| Non-interest income: | |||||||||||||||||||
| Wealth management revenues | 5,800 | 6,275 | 5,816 | 5,405 | 5,322 | ||||||||||||||
| Insurance commissions | 9,925 | 6,805 | 6,003 | 6,531 | 9,213 | ||||||||||||||
| Service charges | 2,901 | 3,058 | 3,121 | 3,227 | 2,956 | ||||||||||||||
| Net securities gains/(losses) | (181 | ) | 0 | (277 | ) | (156 | ) | 0 | |||||||||||
| Mortgage banking revenues | 711 | 1,104 | 1,109 | 1,038 | 706 | ||||||||||||||
| ATM/debit card revenue | 3,646 | 4,204 | 4,267 | 4,281 | 4,055 | ||||||||||||||
| Other | 2,062 | 4,917 | 2,984 | 2,096 | 2,226 | ||||||||||||||
| Total non-interest income | 24,864 | 26,363 | 23,023 | 22,422 | 24,478 | ||||||||||||||
| Non-interest expense: | |||||||||||||||||||
| Salaries and employee benefits | 31,748 | 31,957 | 31,565 | 30,164 | 30,448 | ||||||||||||||
| Net occupancy and equipment expense | 8,479 | 7,285 | 8,055 | 7,507 | 7,560 | ||||||||||||||
| Net other real estate owned (income) expense | 101 | 240 | 107 | 85 | (21 | ) | |||||||||||||
| FDIC insurance | 849 | 863 | 829 | 902 | 869 | ||||||||||||||
| Amortization of intangible assets | 3,231 | 3,314 | 3,405 | 3,340 | 3,497 | ||||||||||||||
| Stationary and supplies | 431 | 642 | 482 | 370 | 391 | ||||||||||||||
| Legal and professional expense | 3,076 | 5,386 | 2,573 | 2,536 | 2,449 | ||||||||||||||
| ATM/debit card expense | 1,831 | 2,043 | 1,869 | 1,281 | 1,191 | ||||||||||||||
| Marketing and donations | 852 | 906 | 836 | 814 | 862 | ||||||||||||||
| Other | 3,874 | 3,661 | 4,212 | 4,392 | 6,116 | ||||||||||||||
| Total non-interest expense | 54,472 | 56,297 | 53,933 | 51,391 | 53,362 | ||||||||||||||
| Income before income taxes | 28,149 | 25,373 | 25,367 | 26,713 | 26,943 | ||||||||||||||
| Income taxes | 5,978 | 6,205 | 5,885 | 6,968 | 6,440 | ||||||||||||||
| Net income | $ | 22,171 | $ | 19,168 | $ | 19,482 | $ | 19,745 | $ | 20,503 | |||||||||
| Per Share Information | |||||||||||||||||||
| Basic earnings per common share | $ | 0.93 | $ | 0.80 | $ | 0.81 | $ | 0.83 | $ | 0.86 | |||||||||
| Diluted earnings per common share | 0.93 | 0.80 | 0.81 | 0.82 | 0.86 | ||||||||||||||
| Weighted average shares outstanding | 23,858,817 | 23,818,806 | 23,905,099 | 23,896,210 | 23,872,731 | ||||||||||||||
| Diluted weighted average shares outstanding | 23,959,228 | 23,908,340 | 24,006,647 | 23,998,152 | 23,960,335 | ||||||||||||||
| FIRST MID BANCSHARES, INC. | ||||||||||||||||||||
| Consolidated Financial Highlights and Ratios | ||||||||||||||||||||
| (Dollars in thousands, except per share data) | ||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||
| As of and for the Quarter Ended | ||||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | ||||||||||||||||
| 2025 | 2024 | 2024 | 2024 | 2024 | ||||||||||||||||
| Loan Portfolio | ||||||||||||||||||||
| Construction and land development | $ | 269,148 | $ | 236,093 | $ | 190,857 | $ | 195,389 | $ | 186,851 | ||||||||||
| Farm real estate loans | 373,413 | 390,760 | 384,620 | 387,015 | 388,941 | |||||||||||||||
| 1-4 Family residential properties | 488,139 | 496,597 | 505,342 | 507,517 | 518,641 | |||||||||||||||
| Multifamily residential properties | 356,858 | 332,644 | 338,167 | 334,446 | 312,758 | |||||||||||||||
| Commercial real estate | 2,397,985 | 2,417,585 | 2,440,120 | 2,406,955 | 2,396,092 | |||||||||||||||
| Loans secured by real estate | 3,885,543 | 3,873,679 | 3,859,106 | 3,831,322 | 3,803,283 | |||||||||||||||
| Agricultural operating loans | 296,811 | 239,671 | 233,414 | 213,997 | 213,217 | |||||||||||||||
| Commercial and industrial loans | 1,303,712 | 1,335,920 | 1,283,631 | 1,268,646 | 1,227,906 | |||||||||||||||
| Consumer loans | 47,220 | 53,960 | 63,222 | 70,841 | 79,569 | |||||||||||||||
| All other loans | 165,572 | 169,232 | 175,218 | 175,811 | 175,320 | |||||||||||||||
| Total loans | 5,698,858 | 5,672,462 | 5,614,591 | 5,560,617 | 5,499,295 | |||||||||||||||
| Deposit Portfolio | ||||||||||||||||||||
| Non-interest bearing demand deposits | $ | 1,394,590 | $ | 1,329,155 | $ | 1,387,290 | $ | 1,393,336 | $ | 1,448,299 | ||||||||||
| Interest bearing demand deposits | 1,814,427 | 1,907,733 | 1,834,123 | 1,909,993 | 1,974,857 | |||||||||||||||
| Savings deposits | 643,289 | 636,427 | 648,582 | 673,381 | 704,777 | |||||||||||||||
| Money Market | 1,215,420 | 1,196,537 | 1,183,594 | 1,127,699 | 1,107,177 | |||||||||||||||
| Time deposits | 1,062,654 | 987,244 | 1,035,245 | 1,011,370 | 1,007,826 | |||||||||||||||
| Total deposits | 6,130,380 | 6,057,096 | 6,088,834 | 6,115,779 | 6,242,936 | |||||||||||||||
| Asset Quality | ||||||||||||||||||||
| Non-performing loans | $ | 26,598 | $ | 29,835 | $ | 18,242 | $ | 19,079 | $ | 20,064 | ||||||||||
| Non-performing assets | 28,703 | 32,030 | 20,076 | 20,557 | 21,471 | |||||||||||||||
| Net charge-offs (recoveries) | 1,783 | 2,235 | 804 | 708 | 381 | |||||||||||||||
| Allowance for credit losses to non-performing loans | 263.36 | % | 235.23 | % | 377.01 | % | 358.05 | % | 338.60 | % | ||||||||||
| Allowance for credit losses to total loans outstanding | 1.23 | % | 1.24 | % | 1.22 | % | 1.23 | % | 1.24 | % | ||||||||||
| Nonperforming loans to total loans | 0.47 | % | 0.53 | % | 0.32 | % | 0.34 | % | 0.36 | % | ||||||||||
| Nonperforming assets to total assets | 0.38 | % | 0.43 | % | 0.27 | % | 0.27 | % | 0.28 | % | ||||||||||
| Special Mention loans | 74,019 | 57,848 | 38,151 | 30,767 | 65,693 | |||||||||||||||
| Substandard and Doubtful loans | 33,884 | 35,516 | 29,037 | 27,594 | 29,296 | |||||||||||||||
| Common Share Data | ||||||||||||||||||||
| Common shares outstanding | 23,981,916 | 23,895,807 | 23,904,051 | 23,895,868 | 23,888,929 | |||||||||||||||
| Book value per common share | $ | 36.32 | $ | 35.42 | $ | 35.91 | $ | 34.05 | $ | 33.40 | ||||||||||
| Tangible book value per common share (1) | 25.53 | 24.46 | 24.82 | 23.28 | 22.49 | |||||||||||||||
| Tangible book value per common share excluding other comprehensive income at period end (1) | 31.21 | 30.42 | 29.70 | 29.43 | 28.67 | |||||||||||||||
| Market price of stock | 34.90 | 36.82 | 38.91 | 32.88 | 32.68 | |||||||||||||||
| Key Performance Ratios and Metrics | ||||||||||||||||||||
| End of period earning assets | $ | 6,844,096 | $ | 6,775,075 | $ | 6,786,458 | $ | 6,812,574 | $ | 6,923,742 | ||||||||||
| Average earning assets | 6,769,858 | 6,884,303 | 6,857,070 | 6,815,932 | 6,884,855 | |||||||||||||||
| Average rate on average earning assets (tax equivalent) | 5.29 | % | 5.24 | % | 5.35 | % | 5.27 | % | 5.16 | % | ||||||||||
| Average rate on cost of funds | 1.74 | % | 1.83 | % | 2.00 | % | 1.91 | % | 1.91 | % | ||||||||||
| Net interest margin (tax equivalent) (1)(2) | 3.60 | % | 3.41 | % | 3.35 | % | 3.36 | % | 3.25 | % | ||||||||||
| Return on average assets | 1.19 | % | 1.01 | % | 1.03 | % | 1.05 | % | 1.07 | % | ||||||||||
| Adjusted return on average assets (1) | 1.23 | % | 1.10 | % | 1.05 | % | 1.07 | % | 1.17 | % | ||||||||||
| Return on average common equity | 10.35 | % | 9.04 | % | 9.40 | % | 9.92 | % | 10.37 | % | ||||||||||
| Adjusted return on average common equity (1) | 10.78 | % | 9.80 | % | 9.58 | % | 10.11 | % | 11.28 | % | ||||||||||
| Efficiency ratio (tax equivalent) (1) | 58.88 | % | 58.76 | % | 61.33 | % | 59.61 | % | 59.09 | % | ||||||||||
| Full-time equivalent employees | 1,194 | 1,198 | 1,207 | 1,185 | 1,188 | |||||||||||||||
| 1 Non-GAAP financial measure. Refer to reconciliation to the comparable GAAP measure. | ||||||||||||||||||||
| 2 During the first quarter 2025, the Company changed the methodology utilized for the calculation of net interest margin to be more consistent with what is typically used by peer banks and research analysts. The calculation now is the annualized net interest income on a tax equivalent basis divided by average interest earning assets. | ||||||||||||||||||||
| FIRST MID BANCSHARES, INC. | |||||||||||
| Net Interest Margin | |||||||||||
| (In thousands, unaudited) | |||||||||||
| For the Quarter Ended March 31, 2025 | |||||||||||
| QTD Average | Average | ||||||||||
| Balance | Interest | Rate | |||||||||
| INTEREST EARNING ASSETS | |||||||||||
| Interest bearing deposits | $ | 70,701 | $ | 827 | 4.74 | % | |||||
| Federal funds sold | 75 | 1 | 5.41 | % | |||||||
| Certificates of deposits investments | 3,162 | 36 | 4.62 | % | |||||||
| Investment Securities | 1,090,099 | 7,254 | 2.66 | % | |||||||
| Loans (net of unearned income) | 5,605,821 | 80,194 | 5.80 | % | |||||||
| Total interest earning assets | 6,769,858 | 88,312 | 5.29 | % | |||||||
| NONEARNING ASSETS | |||||||||||
| Other nonearning assets | 777,177 | ||||||||||
| Allowance for loan losses | (70,620 | ) | |||||||||
| Total assets | $ | 7,476,415 | |||||||||
| INTEREST BEARING LIABILITIES | |||||||||||
| Demand deposits | $ | 3,039,621 | $ | 14,900 | 1.99 | % | |||||
| Savings deposits | 640,687 | 164 | 0.10 | % | |||||||
| Time deposits | 1,022,200 | 8,658 | 3.44 | % | |||||||
| Total interest bearing deposits | 4,702,508 | 23,722 | 2.05 | % | |||||||
| Repurchase agreements | 201,679 | 1,180 | 2.37 | % | |||||||
| FHLB advances | 194,324 | 1,807 | 3.77 | % | |||||||
| Federal funds purchased | - | - | 0.00 | % | |||||||
| Subordinated debt | 82,608 | 949 | 4.66 | % | |||||||
| Jr. subordinated debentures | 24,306 | 468 | 7.81 | % | |||||||
| Other debt | 1,467 | 24 | 6.63 | % | |||||||
| Total borrowings | 504,384 | 4,428 | 3.56 | % | |||||||
| Total interest bearing liabilities | 5,206,892 | 28,150 | 2.19 | % | |||||||
| NONINTEREST BEARING LIABILITIES | |||||||||||
| Demand deposits | 1,370,107 | Average cost of funds | 1.74 | % | |||||||
| Other liabilities | 42,946 | ||||||||||
| Stockholders' equity | 856,470 | ||||||||||
| Total liabilities & stockholders' equity | $ | 7,476,415 | |||||||||
| Net Interest Earnings / Spread | $ | 60,162 | 3.10 | % | |||||||
| Tax effected yield on interest earning assets | 3.60 | % | |||||||||
| Tax equivalent net interest margin is a non-GAAP financial measure. Refer to reconciliation to the comparable GAAP measure. | |||||||||||
| FIRST MID BANCSHARES, INC. | |||||||||||||||||||
| Reconciliation of Non-GAAP Financial Measures | |||||||||||||||||||
| (In thousands, unaudited) | |||||||||||||||||||
| As of and for the Quarter Ended | |||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
| 2025 | 2024 | 2024 | 2024 | 2024 | |||||||||||||||
| Net interest income as reported | $ | 59,409 | $ | 58,950 | $ | 57,543 | $ | 56,765 | $ | 55,470 | |||||||||
| Net interest income, (tax equivalent) | 60,162 | 59,717 | 58,627 | 57,361 | 56,086 | ||||||||||||||
| Average earning assets | 6,769,858 | 6,884,303 | 6,857,070 | 6,815,932 | 6,884,855 | ||||||||||||||
| Net interest margin (tax equivalent) | 3.60 | % | 3.41 | % | 3.35 | % | 3.36 | % | 3.25 | % | |||||||||
| Common stockholder's equity | $ | 870,949 | $ | 846,391 | $ | 858,497 | $ | 813,645 | $ | 797,952 | |||||||||
| Goodwill and intangibles, net | 258,671 | 261,906 | 265,139 | 257,377 | 260,699 | ||||||||||||||
| Common shares outstanding | 23,982 | 23,896 | 23,904 | 23,896 | 23,889 | ||||||||||||||
| Tangible Book Value per common share | $ | 25.53 | $ | 24.46 | $ | 24.82 | $ | 23.28 | $ | 22.49 | |||||||||
| Accumulated other comprehensive loss (AOCI) | (136,097 | ) | (142,383 | ) | (116,692 | ) | (146,998 | ) | (147,667 | ) | |||||||||
| Adjusted tangible book value per common share | $ | 31.21 | $ | 30.42 | $ | 29.70 | $ | 29.43 | $ | 28.67 | |||||||||
| FIRST MID BANCSHARES, INC. | |||||||||||||||||||
| Reconciliation of Non-GAAP Financial Measures | |||||||||||||||||||
| (In thousands, except per share data, unaudited) | |||||||||||||||||||
| As of and for the Quarter Ended | |||||||||||||||||||
| March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
| 2025 | 2024 | 2024 | 2024 | 2024 | |||||||||||||||
| Adjusted earnings Reconciliation | |||||||||||||||||||
| Net Income - GAAP | $ | 22,171 | $ | 19,168 | $ | 19,482 | $ | 19,745 | $ | 20,503 | |||||||||
| Adjustments (post-tax): (1) | |||||||||||||||||||
| Nonrecurring technology project expenses | 728 | 1,710 | - | - | - | ||||||||||||||
| Net (gain)/loss on securities sales | 143 | - | 219 | 123 | - | ||||||||||||||
| Integration and acquisition expenses | 41 | - | 137 | 250 | 1,804 | ||||||||||||||
| Total non-recurring adjustments (non-GAAP) | $ | 912 | $ | 1,710 | $ | 356 | $ | 373 | $ | 1,804 | |||||||||
| Adjusted earnings - non-GAAP | $ | 23,083 | $ | 20,878 | $ | 19,838 | $ | 20,118 | $ | 22,307 | |||||||||
| Adjusted diluted earnings per share (non-GAAP) | $ | 0.96 | $ | 0.87 | $ | 0.83 | $ | 0.84 | $ | 0.93 | |||||||||
| Adjusted return on average assets - non-GAAP | 1.23 | % | 1.10 | % | 1.05 | % | 1.07 | % | 1.17 | % | |||||||||
| Adjusted return on average common equity - non-GAAP | 10.78 | % | 9.80 | % | 9.58 | % | 10.11 | % | 11.28 | % | |||||||||
| Efficiency Ratio Reconciliation | |||||||||||||||||||
| Noninterest expense - GAAP | $ | 54,472 | $ | 56,297 | $ | 53,933 | $ | 51,391 | $ | 53,362 | |||||||||
| Other real estate owned property income (expense) | (101 | ) | (240 | ) | (107 | ) | (85 | ) | 21 | ||||||||||
| Amortization of intangibles | (3,231 | ) | (3,314 | ) | (3,405 | ) | (3,340 | ) | (3,497 | ) | |||||||||
| Nonrecurring technology project expense | (921 | ) | (2,164 | ) | - | - | - | ||||||||||||
| Integration and acquisition expenses | (52 | ) | - | (174 | ) | (316 | ) | (2,283 | ) | ||||||||||
| Adjusted noninterest expense (non-GAAP) | $ | 50,167 | $ | 50,579 | $ | 50,247 | $ | 47,650 | $ | 47,603 | |||||||||
| Net interest income -GAAP | $ | 59,409 | $ | 58,950 | $ | 57,543 | $ | 56,765 | $ | 55,470 | |||||||||
| Effect of tax-exempt income (1) | 753 | 767 | 1,084 | 596 | 616 | ||||||||||||||
| Adjusted net interest income (non-GAAP) | $ | 60,162 | $ | 59,717 | $ | 58,627 | $ | 57,361 | $ | 56,086 | |||||||||
| Noninterest income - GAAP | $ | 24,864 | $ | 26,363 | $ | 23,023 | $ | 22,422 | $ | 24,478 | |||||||||
| Net (gain)/loss on securities sales | 181 | 0 | 277 | 156 | 0 | ||||||||||||||
| Adjusted noninterest income (non-GAAP) | $ | 25,045 | $ | 26,363 | $ | 23,300 | $ | 22,578 | $ | 24,478 | |||||||||
| Adjusted total revenue (non-GAAP) | $ | 85,207 | $ | 86,080 | $ | 81,927 | $ | 79,939 | $ | 80,564 | |||||||||
| Efficiency ratio (non-GAAP) | 58.88 | % | 58.76 | % | 61.33 | % | 59.61 | % | 59.09 | % | |||||||||
| (1) Nonrecurring items (post-tax) and tax-exempt income are calculated using an estimated effective tax rate of 21%. | |||||||||||||||||||
