First Busey Corporation Announces 2024 First Quarter Earnings
- The company reported a modest increase in net income compared to the previous quarter but a decrease from the first quarter of 2023.
- Pre-provision net revenue increased significantly in the first quarter of 2024, primarily due to gains on the sale of mortgage servicing rights and a decrease in noninterest expenses.
- Noninterest income and fee-based businesses contributed significantly to revenue diversification, with wealth management fees and payment technology solutions leading the way.
- The acquisition of Merchants & Manufacturers Bank was successfully completed, adding to Busey's asset base and expanding its presence in the Chicago Metropolitan Statistical Area.
- The two-part balance sheet repositioning strategy resulted in increased net interest income and margin, strengthening Busey's liquidity and capital position.
- While the company has managed noninterest expenses well, it aims to continue prudent expense management throughout 2024.
- Busey's conservative banking strategy and strong balance sheet reflect its focus on maintaining financial stability and capital adequacy.
- The company's core deposit franchise and granular deposit base position it well to manage deposit fluctuations and liquidity needs effectively.
- Net income saw a decline compared to the first quarter of 2023, indicating potential challenges in sustaining profitability.
- The increase in non-performing assets, provision expense for credit losses, and net charge-offs related to a single commercial credit relationship raise concerns about asset quality.
- While the balance sheet remains a source of strength, the decline in portfolio loans and deposits could impact future growth potential.
- The increase in certain expenses, such as salaries and wages, may affect overall operational efficiency and profitability.
- Despite the completion of the acquisition, one-time expenses and the upcoming Bank Merger may pose integration challenges and additional costs.
Insights
CHAMPAIGN, Ill., April 23, 2024 (GLOBE NEWSWIRE) -- First Busey Corporation (Nasdaq: BUSE)
Net Income of
Diluted EPS of
FIRST QUARTER 2024 HIGHLIGHTS
- Adjusted net income1 of
$26.5 million , or$0.47 per diluted common share - Net interest margin1 increased by 5 basis points during the first quarter of 2024 to
2.79% - Executed a two-part balance sheet repositioning expected to be both capital and earnings accretive
- Adjusted noninterest income1 of
$33.9 million , or30.9% of operating revenue2 - Record high revenue for FirsTech during the first quarter of 2024, and second-best quarter in Wealth Management division history
- Received regulatory and shareholder approvals needed to finalize the acquisition of Merchants & Manufacturers Bank Corporation and its wholly owned subsidiary Merchants & Manufacturers Bank, which was completed on April 1, 2024
- Tangible book value per common share1 of
$16.84 at March 31, 2024, compared to$16.62 at December 31, 2023, and$15.14 at March 31, 2023, a year-over-year increase of11.2% - Tangible common equity1 increased to
8.12% of tangible assets at March 31, 2024, compared to7.75% at December 31, 2023, and7.05% at March 31, 2023
For additional information, please refer to the 1Q24 Earnings Investor Presentation
MESSAGE FROM OUR CHAIRMAN & CEO
First Quarter Financial Results
Net income for First Busey Corporation (“Busey,” “Company,” “we,” “us,” or “our”) was
Pre-provision net revenue1 was
Adjusted pre-provision net revenue1 was
Our fee-based businesses continue to add revenue diversification. Total noninterest income was
Busey views certain non-operating items, including acquisition-related and other restructuring charges, as adjustments to net income reported under U.S. generally accepted accounting principles ("GAAP"). Non-operating pretax adjustments for acquisition and other restructuring charges in the first quarter of 2024 were
We have effectively managed our noninterest expense during a time of decades-high inflation and have been purposeful in our efforts to rationalize our expense base given our economic outlook and our view on the future of banking. Noninterest expense was
Acquisition of Merchants and Manufacturers Bank Corporation Completed April 1, 2024
Effective April 1, 2024, Busey completed its previously announced acquisition (the "Merger") of Merchants and Manufacturers Bank Corporation, an Illinois corporation (“M&M”), pursuant to an Agreement and Plan of Merger, dated November 27, 2023, between Busey and M&M (the “Merger Agreement”). Upon completion of the Merger, each share of M&M common stock converted to the right to receive, at the election of each stockholder and subject to proration and adjustment, either (1)
Most of the M&M common stockholders who submitted an election form by the election deadline made the Share Election to receive their Merger consideration solely in the form of shares of Busey common stock. As a result of the elections of M&M common stockholders, and in accordance with the proration and adjustment provisions of the Merger Agreement, the Merger consideration paid to M&M common stockholders was comprised of an aggregate of approximately 1,429,304 shares of Busey common stock and an aggregate of approximately
Busey incurred one-time acquisition-related expenses of
Late in the second quarter of 2024, M&M Bank will be merged with and into Busey Bank (the “Bank Merger”). At the time of the Bank Merger, M&M Bank’s banking centers will become banking centers of Busey Bank, except for M&M’s banking center located at 990 Essington Rd., Joliet, Illinois, which is expected to be closed in connection with the Bank Merger. This partnership adds M&M’s Life Equity Loan® products to Busey’s existing suite of services and expands Busey’s presence in the Chicago Metropolitan Statistical Area.
Busey executed a two-part balance sheet repositioning strategy
During the first quarter of 2024, Busey sold the mortgage servicing rights on approximately
At the time of the sale, the securities sold yielded a weighted average rate of
The increased net interest spread as a result of the two-part repositioning is expected to increase net interest income by approximately
In combination, the gain generated from the sale of mortgage servicing rights and the loss generated from the sale of securities had an immediate positive impact on consolidated stockholders’ equity and book value per share. Risk-based regulatory capital ratios increased modestly as a result of the repositioning proceeds rotating into lower risk-weighted assets. Busey expects the above transactions to be accretive to capital and earnings per share in future periods.
Busey’s Conservative Banking Strategy
Busey’s financial strength is built on a long-term conservative operating approach. That focus will not change now or in the future.
The quality of our core deposit franchise is a critical value driver of our institution. Our granular deposit base continues to position us well and as of March 31, 2024, our estimated uninsured and uncollateralized deposits3 percentage was
Asset quality remains strong by both Busey’s historical and current industry trends. Non-performing assets increased to
The strength of our balance sheet is also reflected in our capital foundation. In the first quarter of 2024, Common Equity Tier 1 and Total Capital to Risk Weighted Assets ratios5 increased to
Community Banking
Busey’s focus has always been—and will always be—on doing the right thing for our Pillars: our associates, customers, communities, and shareholders. This commitment is the defining aspect of our culture, a vision that is brought to life each day by associates throughout our organization who understand the importance of exceeding customer needs and bettering our vibrant communities. The Busey Impact Report features that purposeful action and civic responsibility. To view the latest Busey Impact Report, visit busey.com/impact.
As we build upon Busey’s forward momentum, we are grateful for the opportunities to consistently earn the business of our customers, based on the contributions of our talented associates and the continued support of our loyal shareholders. We are excited to welcome our M&M colleagues into the Busey family and feel confident that the transaction and our continued efforts will lead to attractive financial returns in future periods.
| Van A. Dukeman | ||
| Chairman and Chief Executive Officer | ||
| First Busey Corporation |
| SELECTED FINANCIAL HIGHLIGHTS (unaudited) | |||||||||||
| (dollars in thousands, except per share amounts) | |||||||||||
| Three Months Ended | |||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
| EARNINGS & PER SHARE AMOUNTS | |||||||||||
| Net income | $ | 26,225 | $ | 25,749 | $ | 36,786 | |||||
| Diluted earnings per common share | 0.46 | 0.46 | 0.65 | ||||||||
| Cash dividends paid per share | 0.24 | 0.24 | 0.24 | ||||||||
| Pre-provision net revenue1, 2 | 46,373 | 32,909 | 47,918 | ||||||||
| Operating revenue3 | 109,677 | 107,888 | 118,321 | ||||||||
| Net income by operating segments: | |||||||||||
| Banking | 26,492 | 25,164 | 36,835 | ||||||||
| FirsTech | 86 | 325 | (38 | ) | |||||||
| Wealth Management | 4,998 | 4,233 | 4,858 | ||||||||
| AVERAGE BALANCES | |||||||||||
| Cash and cash equivalents | $ | 594,193 | $ | 608,647 | $ | 223,196 | |||||
| Investment securities | 2,907,144 | 2,995,223 | 3,359,985 | ||||||||
| Loans held for sale | 4,833 | 1,679 | 1,650 | ||||||||
| Portfolio loans | 7,599,316 | 7,736,010 | 7,710,876 | ||||||||
| Interest-earning assets | 10,999,903 | 11,229,326 | 11,180,562 | ||||||||
| Total assets | 12,024,208 | 12,308,491 | 12,263,718 | ||||||||
| Noninterest bearing deposits | 2,708,586 | 2,827,696 | 3,272,745 | ||||||||
| Interest-bearing deposits | 7,330,105 | 7,545,234 | 6,637,405 | ||||||||
| Total deposits | 10,038,691 | 10,372,930 | 9,910,150 | ||||||||
| Securities sold under agreements to repurchase and federal funds purchased | 178,659 | 182,735 | 230,351 | ||||||||
| Interest-bearing liabilities | 7,831,655 | 8,054,663 | 7,614,930 | ||||||||
| Total liabilities | 10,748,484 | 11,106,074 | 11,092,899 | ||||||||
| Stockholders' equity - common | 1,275,724 | 1,202,417 | 1,170,819 | ||||||||
| Tangible common equity2 | 922,710 | 846,948 | 807,465 | ||||||||
| PERFORMANCE RATIOS | |||||||||||
| Pre-provision net revenue to average assets1, 2, 4 | 1.55 | % | 1.06 | % | 1.58 | % | |||||
| Return on average assets4 | 0.88 | % | 0.83 | % | 1.22 | % | |||||
| Return on average common equity4 | 8.27 | % | 8.50 | % | 12.74 | % | |||||
| Return on average tangible common equity2, 4 | 11.43 | % | 12.06 | % | 18.48 | % | |||||
| Net interest margin2, 5 | 2.79 | % | 2.74 | % | 3.13 | % | |||||
| Efficiency ratio2 | 58.13 | % | 66.89 | % | 56.93 | % | |||||
| Adjusted noninterest income2 as a % of operating revenue3 | 30.92 | % | 28.51 | % | 27.44 | % | |||||
| NON-GAAP FINANCIAL INFORMATION | |||||||||||
| Adjusted pre-provision net revenue1, 2 | $ | 38,638 | $ | 40,223 | $ | 49,504 | |||||
| Adjusted net income2 | 26,531 | 29,123 | 36,786 | ||||||||
| Adjusted diluted earnings per share2 | 0.47 | 0.52 | 0.65 | ||||||||
| Adjusted pre-provision net revenue to average assets2, 4 | 1.29 | % | 1.30 | % | 1.64 | % | |||||
| Adjusted return on average assets2, 4 | 0.89 | % | 0.94 | % | 1.22 | % | |||||
| Adjusted return on average tangible common equity2, 4 | 11.56 | % | 13.64 | % | 18.48 | % | |||||
| Adjusted net interest margin2, 5 | 2.78 | % | 2.73 | % | 3.12 | % | |||||
| Adjusted efficiency ratio2 | 61.70 | % | 62.98 | % | 56.93 | % | |||||
___________________________________________
- Net interest income plus noninterest income, excluding securities gains and losses, less noninterest expense.
- See “Non-GAAP Financial Information” for reconciliation.
- Operating revenue consists of net interest income plus noninterest income excluding securities gains and losses and excluding gain on sale of mortgage servicing rights.
- For quarterly periods, measures are annualized.
- On a tax-equivalent basis, assuming a federal income tax rate of
21% .
| CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) | |||||||||||
| (dollars in thousands, except per share amounts) | |||||||||||
| As of | |||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
| ASSETS | |||||||||||
| Cash and cash equivalents | $ | 591,071 | $ | 719,581 | $ | 275,569 | |||||
| Debt securities available for sale | 1,898,072 | 2,087,571 | 2,383,550 | ||||||||
| Debt securities held to maturity | 862,218 | 872,628 | 907,559 | ||||||||
| Equity securities | 9,790 | 9,812 | 10,915 | ||||||||
| Loans held for sale | 6,827 | 2,379 | 2,714 | ||||||||
| Commercial loans | 5,606,241 | 5,635,048 | 5,815,703 | ||||||||
| Retail real estate and retail other loans | 1,981,836 | 2,015,986 | 1,968,105 | ||||||||
| Portfolio loans | 7,588,077 | 7,651,034 | 7,783,808 | ||||||||
| Allowance for credit losses | (91,562 | ) | (91,740 | ) | (91,727 | ) | |||||
| Premises and equipment | 121,506 | 122,594 | 126,515 | ||||||||
| Goodwill and other intangible assets, net | 351,455 | 353,864 | 361,567 | ||||||||
| Right of use asset | 10,590 | 11,027 | 12,291 | ||||||||
| Other assets | 539,414 | 544,665 | 571,794 | ||||||||
| Total assets | $ | 11,887,458 | $ | 12,283,415 | $ | 12,344,555 | |||||
| LIABILITIES & STOCKHOLDERS' EQUITY | |||||||||||
| Liabilities | |||||||||||
| Noninterest bearing deposits | $ | 2,784,338 | $ | 2,834,655 | $ | 3,173,783 | |||||
| Interest checking, savings, and money market deposits | 5,598,675 | 5,637,227 | 5,478,715 | ||||||||
| Time deposits | 1,577,178 | 1,819,274 | 1,148,671 | ||||||||
| Total deposits | 9,960,191 | 10,291,156 | 9,801,169 | ||||||||
| Securities sold under agreements to repurchase | 147,175 | 187,396 | 210,977 | ||||||||
| Short-term borrowings | — | 12,000 | 615,881 | ||||||||
| Long-term debt | 223,100 | 240,882 | 249,245 | ||||||||
| Junior subordinated debt owed to unconsolidated trusts | 72,040 | 71,993 | 71,855 | ||||||||
| Lease liability | 10,896 | 11,308 | 12,515 | ||||||||
| Other liabilities | 191,405 | 196,699 | 184,355 | ||||||||
| Total liabilities | 10,604,807 | 11,011,434 | 11,145,997 | ||||||||
| Stockholders' equity | |||||||||||
| Retained earnings | 248,412 | 237,197 | 191,924 | ||||||||
| Accumulated other comprehensive income (loss) | (222,190 | ) | (218,803 | ) | (245,784 | ) | |||||
| Other1 | 1,256,429 | 1,253,587 | 1,252,418 | ||||||||
| Total stockholders' equity | 1,282,651 | 1,271,981 | 1,198,558 | ||||||||
| Total liabilities & stockholders' equity | $ | 11,887,458 | $ | 12,283,415 | $ | 12,344,555 | |||||
| SHARE AND PER SHARE AMOUNTS | |||||||||||
| Book value per common share | $ | 23.19 | $ | 23.02 | $ | 21.68 | |||||
| Tangible book value per common share2 | $ | 16.84 | $ | 16.62 | $ | 15.14 | |||||
| Ending number of common shares outstanding | 55,300,008 | 55,244,119 | 55,294,455 | ||||||||
___________________________________________
- Net balance of common stock (
$0.00 1 par value), additional paid-in capital, and treasury stock. - See “Non-GAAP Financial Information” for reconciliation.
| CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) | ||||||||||
| (dollars in thousands, except per share amounts) | ||||||||||
| Three Months Ended | ||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||
| INTEREST INCOME | ||||||||||
| Interest and fees on loans | $ | 99,325 | $ | 101,425 | $ | 89,775 | ||||
| Interest on investment securities | 19,937 | 20,634 | 20,342 | |||||||
| Other interest income | 6,471 | 6,641 | 988 | |||||||
| Total interest income | $ | 125,733 | $ | 128,700 | $ | 111,105 | ||||
| INTEREST EXPENSE | ||||||||||
| Interest on deposits | $ | 43,968 | $ | 45,409 | $ | 14,740 | ||||
| Interest on securities sold under agreements to repurchase and federal funds purchased | 1,372 | 1,431 | 1,222 | |||||||
| Interest on short-term borrowings | 232 | 248 | 4,822 | |||||||
| Interest on long-term debt | 3,405 | 3,475 | 3,551 | |||||||
| Junior subordinated debt owed to unconsolidated trusts | 989 | 1,004 | 913 | |||||||
| Total interest expense | $ | 49,966 | $ | 51,567 | $ | 25,248 | ||||
| Net interest income | $ | 75,767 | $ | 77,133 | $ | 85,857 | ||||
| Provision for credit losses | 5,038 | 455 | 953 | |||||||
| Net interest income after provision for credit losses | $ | 70,729 | $ | 76,678 | $ | 84,904 | ||||
| NONINTEREST INCOME | ||||||||||
| Wealth management fees | $ | 15,549 | $ | 13,715 | $ | 14,797 | ||||
| Fees for customer services | 7,056 | 7,484 | 6,819 | |||||||
| Payment technology solutions | 5,709 | 5,420 | 5,315 | |||||||
| Mortgage revenue | 746 | 218 | 288 | |||||||
| Income on bank owned life insurance | 1,419 | 1,019 | 1,652 | |||||||
| Net securities gains (losses) | (6,375 | ) | 761 | (616 | ) | |||||
| Other noninterest income | 10,896 | 2,899 | 3,593 | |||||||
| Total noninterest income | $ | 35,000 | $ | 31,516 | $ | 31,848 | ||||
| NONINTEREST EXPENSE | ||||||||||
| Salaries, wages, and employee benefits | $ | 42,090 | $ | 42,730 | $ | 40,331 | ||||
| Data processing expense | 6,550 | 6,236 | 5,640 | |||||||
| Net occupancy expense | 4,720 | 4,318 | 4,762 | |||||||
| Furniture and equipment expense | 1,813 | 1,694 | 1,746 | |||||||
| Professional fees | 2,253 | 2,574 | 2,058 | |||||||
| Amortization of intangible assets | 2,409 | 2,479 | 2,729 | |||||||
| Interchange expense | 1,611 | 1,355 | 1,853 | |||||||
| FDIC insurance | 1,400 | 1,167 | 1,502 | |||||||
| Other operating expenses | 7,923 | 12,426 | 9,782 | |||||||
| Total noninterest expense | $ | 70,769 | $ | 74,979 | $ | 70,403 | ||||
| Income before income taxes | $ | 34,960 | $ | 33,215 | $ | 46,349 | ||||
| Income taxes | 8,735 | 7,466 | 9,563 | |||||||
| Net income | $ | 26,225 | $ | 25,749 | $ | 36,786 | ||||
| SHARE AND PER SHARE AMOUNTS | ||||||||||
| Basic earnings per common share | $ | 0.47 | $ | 0.46 | $ | 0.66 | ||||
| Diluted earnings per common share | $ | 0.46 | $ | 0.46 | $ | 0.65 | ||||
| Average common shares outstanding | 55,416,589 | 55,403,662 | 55,397,989 | |||||||
| Diluted average common shares outstanding | 56,406,500 | 56,333,033 | 56,179,606 | |||||||
BALANCE SHEET STRENGTH
Our balance sheet remains a source of strength. Total assets were
As has been our practice, we remain steadfast in our conservative approach to underwriting and disciplined approach to pricing, particularly given our outlook for the economy in the coming quarters, and this approach has impacted loan growth as predicted. Portfolio loans totaled
Average portfolio loans were
Total deposits were
During the first quarter of 2024 Busey paid off its term loan, which consisted of both short-term borrowings and long-term debt. Short term borrowings were zero at March 31, 2024, compared to
ASSET QUALITY
Credit quality continues to be strong. Loans 30-89 days past due totaled
Net charge-offs were
Busey maintains a well-diversified loan portfolio and, as a matter of policy and practice, limits concentration exposure in any particular loan segment.
| ASSET QUALITY (unaudited) | |||||||||||
| (dollars in thousands) | |||||||||||
| As of | |||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
| Total assets | $ | 11,887,458 | $ | 12,283,415 | $ | 12,344,555 | |||||
| Portfolio loans | 7,588,077 | 7,651,034 | 7,783,808 | ||||||||
| Loans 30 – 89 days past due | 7,441 | 5,779 | 5,472 | ||||||||
| Non-performing loans: | |||||||||||
| Non-accrual loans | 17,465 | 7,441 | 14,714 | ||||||||
| Loans 90+ days past due and still accruing | 88 | 375 | 500 | ||||||||
| Non-performing loans | $ | 17,553 | $ | 7,816 | $ | 15,214 | |||||
| Non-performing loans, segregated by geography: | |||||||||||
| Illinois / Indiana | $ | 13,553 | $ | 3,715 | $ | 10,416 | |||||
| Missouri | 3,746 | 3,836 | 4,103 | ||||||||
| Florida | 254 | 265 | 695 | ||||||||
| Other non-performing assets | 65 | 125 | 759 | ||||||||
| Non-performing assets | $ | 17,618 | $ | 7,941 | $ | 15,973 | |||||
| Allowance for credit losses | $ | 91,562 | $ | 91,740 | $ | 91,727 | |||||
| RATIOS | |||||||||||
| Non-performing loans to portfolio loans | 0.23 | % | 0.10 | % | 0.20 | % | |||||
| Non-performing assets to total assets | 0.15 | % | 0.06 | % | 0.13 | % | |||||
| Non-performing assets to portfolio loans and other non-performing assets | 0.23 | % | 0.10 | % | 0.21 | % | |||||
| Allowance for credit losses to portfolio loans | 1.21 | % | 1.20 | % | 1.18 | % | |||||
| Allowance for credit losses as a percentage of non-performing loans | 521.63 | % | 1,173.75 | % | 602.91 | % | |||||
| NET CHARGE OFFS (RECOVERIES) AND PROVISION EXPENSE (RELEASE) (unaudited) | |||||||||||
| (dollars in thousands) | |||||||||||
| Three Months Ended | |||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | |||||||||
| Net charge-offs (recoveries) | $ | 5,216 | $ | 425 | $ | 834 | |||||
| Provision expense (release) | 5,038 | 455 | 953 | ||||||||
NET INTEREST MARGIN AND NET INTEREST INCOME
Net interest margin1 was
The FOMC raised rates by a total of 525 basis points since the onset of the current FOMC tightening cycle that began in the first quarter of 2022, with no further increases during the first quarter of 2024. Rising rates initially have a positive impact on net interest margin, as assets, in particular commercial loans, reprice more quickly and to a greater extent than liabilities. As deposit and funding costs increase in response to the tightening rate cycle, and we experience deposit migration into higher cost offerings and funding alternatives, some of the net interest margin expansion is reversed, which we began to experience in the first quarter of 2023. As lower yielding securities and loans continue to mature or renew at higher current market rates, expansion in asset yields has outpaced any remaining lagged pressure on funding costs. Our deposit cost of funds peaked in the beginning of the first quarter of 2024, and we have been able to reduce interest expense by offering lower CD specials as well as applying rate management on higher exception priced non-maturity deposit products. We have also begun to benefit from recent actions taken to proactively bolster our net interest margin, including the targeted repositionings completed in both the fourth quarter of 2023 and the first quarter of 2024, the reversal of the wealth management sweep accounts, and the pay down of our outstanding term debt at the holding company. The collective benefit of these actions on a full run-rate basis will not be realized until the second quarter of 2024. Components of the 5 basis point increase in net interest margin1 during the first quarter of 2024 include:
- Increased loan portfolio yield, offset by lower average balances, contributed +5 basis points
- Increased securities loss trade interest income contributed +3 basis points
- Reduced non-maturity deposit funding costs contributed +2 basis points
- Increased time deposit funding costs contributed -2 basis points
- Reduced cash and securities portfolio yield contributed -2 basis points
- Reduced impact from swaps and decreased purchase accounting contributed -1 basis point
Based on our most recent Asset Liability Management Committee (“ALCO”) model, a +100 basis point parallel rate shock is expected to increase net interest income by
NONINTEREST INCOME
Noninterest income was
Consolidated wealth management fees were
Payment technology solutions revenue was
Revenues from wealth management fees and payment technology solutions activities represented
Fees for customer services were
Net securities losses were
Other noninterest income was
OPERATING EFFICIENCY
Noninterest expense was
Noteworthy components of noninterest expense are as follows:
- Salaries, wages, and employee benefits expenses were
$42.1 million in the first quarter of 2024, compared to$42.7 million in the fourth quarter of 2023 and$40.3 million in the first quarter of 2023. Busey recorded$0.1 million of non-operating salaries, wages, and employee benefit expenses in the first quarter of 2024, compared to$3.8 million in the fourth quarter of 2023 and none in the first quarter of 2023. Our associate-base consisted of 1,464 full-time equivalents as of March 31, 2024, compared to 1,479 as of December 31, 2023, and 1,473 as of March 31, 2023. - Data processing expense was
$6.6 million in the first quarter of 2024, compared to$6.2 million in the fourth quarter of 2023 and$5.6 million in the first quarter of 2023. Busey recorded$0.1 million of non-operating data processing expenses in the first quarter of 2024, compared to none in the fourth and first quarters of 2023. Busey continues to make investments in technology enhancements and continues to experience inflation-driven price increases. - Professional fees were
$2.3 million in the first quarter of 2024, compared to$2.6 million in the fourth quarter of 2023 and$2.1 million in the first quarter of 2023. Busey recorded$0.1 million of non-operating professional fees in the first quarter of 2024, as compared to$0.4 million in the fourth quarter of 2023 and none in the first quarter of 2023. - Amortization of intangible assets was
$2.4 million in the first quarter of 2024, compared to$2.5 million in the fourth quarter of 2023 and$2.7 million in the first quarter of 2023. - FDIC insurance expense was
$1.4 million in the first quarter of 2024, compared to$1.2 million in the fourth quarter of 2023 and$1.5 million in the first quarter of 2023. - Other operating expenses were
$7.9 million for the first quarter of 2024, compared to$12.4 million in the fourth quarter of 2023 and$9.8 million in the first quarter of 2023. In connection with Busey’s adoption of ASU 2023-02 on January 1, 2024, Busey began recording amortization of New Markets Tax Credits as income tax expense instead of other operating expense, which resulted in a decrease to other operating expenses of$2.3 million compared to the fourth quarter of 2023, and$2.2 million compared to the first quarter of 2023. Further changes in other operating expenses are attributable to multiple items, including the provision for unfunded commitments, sales of other real estate owned, marketing, and business development expenses.
Busey's effective tax rate for the first quarter of 2024 was
CAPITAL STRENGTH
Busey's strong capital levels, coupled with its earnings, have allowed the Company to provide a steady return to its stockholders through dividends. On April 26, 2024, Busey will pay a cash dividend of
As of March 31, 2024, Busey continued to exceed the capital adequacy requirements necessary to be considered “well-capitalized” under applicable regulatory guidelines. Busey’s Common Equity Tier 1 ratio is estimated5 to be
Busey’s tangible common equity1 was
1Q24 EARNINGS INVESTOR PRESENTATION
For additional information on Busey’s financial condition and operating results, please refer to the 1Q24 Earnings Investor Presentation furnished via Form 8-K on April 23, 2024, in connection with this earnings release.
CORPORATE PROFILE
As of March 31, 2024, First Busey Corporation (Nasdaq: BUSE) was a
Busey Bank, a wholly-owned bank subsidiary of First Busey Corporation, had total assets of
Through Busey’s Wealth Management division, the Company provides a full range of asset management, investment, brokerage, fiduciary, philanthropic advisory, tax preparation, and farm management services to individuals, businesses, and foundations. Assets under care totaled
Busey Bank’s wholly-owned subsidiary, FirsTech, specializes in the evolving financial technology needs of small and medium-sized businesses, highly regulated enterprise industries, and financial institutions. FirsTech provides comprehensive and innovative payment technology solutions, including online, mobile, and voice-recognition bill payments; money and data movement; merchant services; direct debit services; lockbox remittance processing for payments made by mail; and walk-in payments at retail agents. Additionally, FirsTech simplifies client workflows through integrations enabling support with billing, reconciliation, bill reminders, and treasury services. More information about FirsTech can be found at firstechpayments.com.
For the first time, Busey was named among the World’s Best Banks for 2024 by Forbes, earning a spot on the list among 68 U.S. banks and 403 worldwide. Additionally, Busey Bank was honored to be named among America’s Best Banks by Forbes magazine for the third consecutive year. Ranked 40th overall in 2024, Busey was the second-ranked bank headquartered in Illinois of the six that made this year’s list and the highest-ranked of those with more than
For more information about us, visit busey.com.
Category: Financial
Source: First Busey Corporation
Contacts:
Jeffrey D. Jones, Chief Financial Officer
217-365-4130
NON-GAAP FINANCIAL INFORMATION
This earnings release contains certain financial information determined by methods other than GAAP. Management uses these non-GAAP measures, together with the related GAAP measures, in analysis of Busey’s performance and in making business decisions, as well as for comparison to Busey’s peers. Busey believes the adjusted measures are useful for investors and management to understand the effects of certain non-core and non-recurring noninterest items and provide additional perspective on Busey’s performance over time.
Below is a reconciliation to what management believes to be the most directly comparable GAAP financial measures—specifically, net interest income, total noninterest income, net security gains and losses, and total noninterest expense in the case of pre-provision net revenue, adjusted pre-provision net revenue, pre-provision net revenue to average assets, and adjusted pre-provision net revenue to average assets; net income in the case of adjusted net income, adjusted diluted earnings per share, adjusted return on average assets, average tangible common equity, return on average tangible common equity, adjusted return on average tangible common equity; net income and net security gains and losses in the case of further adjusted net income and further adjusted diluted earnings per share; net interest income in the case of adjusted net interest income and adjusted net interest margin; net interest income, total noninterest income, and total noninterest expense in the case of adjusted noninterest income, adjusted noninterest expense, noninterest expense excluding non-operating adjustments, adjusted core expense, efficiency ratio, adjusted efficiency ratio, and adjusted core efficiency ratio; total assets and goodwill and other intangible assets in the case of tangible assets; total stockholders’ equity in the case of tangible book value per common share; total assets and total stockholders’ equity in the case of tangible common equity and tangible common equity to tangible assets; and total deposits in the case of core deposits and core deposits to total deposits.
These non-GAAP disclosures have inherent limitations and are not audited. They should not be considered in isolation or as a substitute for operating results reported in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Tax effected numbers included in these non-GAAP disclosures are based on estimated statutory rates or effective rates as appropriate.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) Pre-Provision Net Revenue, Adjusted Pre-Provision Net Revenue, Pre-Provision Net Revenue to Average Assets, and Adjusted Pre-Provision Net Revenue to Average Assets | ||||||||||||
| (dollars in thousands) | ||||||||||||
| Three Months Ended | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| PRE-PROVISION NET REVENUE | ||||||||||||
| Net interest income | $ | 75,767 | $ | 77,133 | $ | 85,857 | ||||||
| Total noninterest income | 35,000 | 31,516 | 31,848 | |||||||||
| Net security (gains) losses | 6,375 | (761 | ) | 616 | ||||||||
| Total noninterest expense | (70,769 | ) | (74,979 | ) | (70,403 | ) | ||||||
| Pre-provision net revenue | 46,373 | 32,909 | 47,918 | |||||||||
| Non-GAAP adjustments: | ||||||||||||
| Acquisition and other restructuring expenses | 408 | 4,237 | — | |||||||||
| Provision for unfunded commitments | (678 | ) | 818 | (635 | ) | |||||||
| Amortization of New Markets Tax Credits | — | 2,259 | 2,221 | |||||||||
| Gain on sale of mortgage service rights | (7,465 | ) | — | — | ||||||||
| Adjusted pre-provision net revenue | $ | 38,638 | $ | 40,223 | $ | 49,504 | ||||||
| Pre-provision net revenue, annualized | [a] | $ | 186,511 | $ | 130,563 | $ | 194,334 | |||||
| Adjusted pre-provision net revenue, annualized | [b] | 155,401 | 159,580 | 200,766 | ||||||||
| Average total assets | [c] | 12,024,208 | 12,308,491 | 12,263,718 | ||||||||
| Reported: Pre-provision net revenue to average assets1 | [a÷c] | 1.55 | % | 1.06 | % | 1.58 | % | |||||
| Adjusted: Pre-provision net revenue to average assets1 | [b÷c] | 1.29 | % | 1.30 | % | 1.64 | % | |||||
___________________________________________
- Annualized measure.
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) Adjusted Net Income, Adjusted Diluted Earnings Per Share, Adjusted Return on Average Assets, Average Tangible Common Equity, Return on Average Tangible Common Equity, and Adjusted Return on Average Tangible Common Equity | ||||||||||||
| (dollars in thousands, except per share amounts) | ||||||||||||
| Three Months Ended | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| NET INCOME ADJUSTED FOR NON-OPERATING ITEMS | ||||||||||||
| Net income | [a] | $ | 26,225 | $ | 25,749 | $ | 36,786 | |||||
| Non-GAAP adjustments: | ||||||||||||
| Acquisition expenses: | ||||||||||||
| Data processing | 100 | — | — | |||||||||
| Professional fees, occupancy, furniture and fixtures, and other | 185 | 266 | — | |||||||||
| Other restructuring expenses: | ||||||||||||
| Salaries, wages, and employee benefits | 123 | 3,760 | — | |||||||||
| Professional fees, occupancy, furniture and fixtures, and other | — | 211 | — | |||||||||
| Related tax benefit1 | (102 | ) | (863 | ) | — | |||||||
| Adjusted net income | [b] | $ | 26,531 | $ | 29,123 | $ | 36,786 | |||||
| DILUTED EARNINGS PER SHARE | ||||||||||||
| Diluted average common shares outstanding | [c] | 56,406,500 | 56,333,033 | 56,179,606 | ||||||||
| Reported: Diluted earnings per share | [a÷c] | $ | 0.46 | $ | 0.46 | $ | 0.65 | |||||
| Adjusted: Diluted earnings per share | [b÷c] | $ | 0.47 | $ | 0.52 | $ | 0.65 | |||||
| RETURN ON AVERAGE ASSETS | ||||||||||||
| Net income, annualized | [d] | $ | 105,476 | $ | 102,156 | $ | 149,188 | |||||
| Adjusted net income, annualized | [e] | 106,707 | 115,542 | 149,188 | ||||||||
| Average total assets | [f] | 12,024,208 | 12,308,491 | 12,263,718 | ||||||||
| Reported: Return on average assets2 | [d÷f] | 0.88 | % | 0.83 | % | 1.22 | % | |||||
| Adjusted: Return on average assets2 | [e÷f] | 0.89 | % | 0.94 | % | 1.22 | % | |||||
| RETURN ON AVERAGE TANGIBLE COMMON EQUITY | ||||||||||||
| Average common equity | $ | 1,275,724 | $ | 1,202,417 | $ | 1,170,819 | ||||||
| Average goodwill and other intangible assets, net | (353,014 | ) | (355,469 | ) | (363,354 | ) | ||||||
| Average tangible common equity | [g] | $ | 922,710 | $ | 846,948 | $ | 807,465 | |||||
| Reported: Return on average tangible common equity2 | [d÷g] | 11.43 | % | 12.06 | % | 18.48 | % | |||||
| Adjusted: Return on average tangible common equity2 | [e÷g] | 11.56 | % | 13.64 | % | 18.48 | % | |||||
___________________________________________
- Tax benefits were calculated by multiplying acquisition expenses and other restructuring expenses by the effective tax rate for each period. Effective tax rates used in this calculation were
25.0% for the three months ended March 31, 2024,20.4% for the three months ended December 31, 2023, and20.6% for the three months ended March 31, 2023. - Annualized measure.
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) Further Adjusted Net Income and Further Adjusted Diluted Earnings Per Share | ||||||||||||
| (dollars in thousands, except per share amounts) | ||||||||||||
| Three Months Ended | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| Adjusted net income1 | [a] | $ | 26,531 | $ | 29,123 | $ | 36,786 | |||||
| Further non-GAAP adjustments: | ||||||||||||
| Net securities (gains) losses | 6,375 | (761 | ) | 616 | ||||||||
| Gain on sale of mortgage servicing rights | (7,465 | ) | — | — | ||||||||
| Tax effect for further non-GAAP adjustments2 | 272 | 171 | (127 | ) | ||||||||
| Tax effected further non-GAAP adjustments3 | (818 | ) | (590 | ) | 489 | |||||||
| Further adjusted net income3 | [b] | $ | 25,713 | $ | 28,533 | $ | 37,275 | |||||
| Diluted average common shares outstanding | [c] | 56,406,500 | 56,333,033 | 56,179,606 | ||||||||
| Adjusted: Diluted earnings per share | [a÷c] | $ | 0.47 | $ | 0.52 | $ | 0.65 | |||||
| Further Adjusted: Diluted earnings per share3 | [b÷c] | $ | 0.46 | $ | 0.51 | $ | 0.66 | |||||
___________________________________________
- Adjusted net income is a non-GAAP measure. See the table on the previous page for a reconciliation to the nearest GAAP measure.
- Tax effects for further non-GAAP adjustments were calculated by multiplying further non-GAAP adjustments by the effective income tax rates for the periods indicated. Effective tax rates were
25.0% ,22.5% , and20.6% for the three months ended March 31, 2024, December 31, 2023, and March 31, 2023, respectively. - Tax-effected measure.
| Adjusted Net Interest Income and Adjusted Net Interest Margin | ||||||||||||
| (dollars in thousands) | ||||||||||||
| Three Months Ended | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| Net interest income | $ | 75,767 | $ | 77,133 | $ | 85,857 | ||||||
| Non-GAAP adjustments: | ||||||||||||
| Tax-equivalent adjustment1 | 449 | 501 | 558 | |||||||||
| Tax-equivalent net interest income | 76,216 | 77,634 | 86,415 | |||||||||
| Purchase accounting accretion related to business combinations | (204 | ) | (384 | ) | (403 | ) | ||||||
| Adjusted net interest income | $ | 76,012 | $ | 77,250 | $ | 86,012 | ||||||
| Tax-equivalent net interest income, annualized | [a] | $ | 306,539 | $ | 308,004 | $ | 350,461 | |||||
| Adjusted net interest income, annualized | [b] | 305,719 | 306,481 | 348,826 | ||||||||
| Average interest-earning assets | [c] | 10,999,903 | 11,229,326 | 11,180,562 | ||||||||
| Reported: Net interest margin2 | [a÷c] | 2.79 | % | 2.74 | % | 3.13 | % | |||||
| Adjusted: Net interest margin2 | [b÷c] | 2.78 | % | 2.73 | % | 3.12 | % | |||||
___________________________________________
- Tax-equivalent adjustments were calculated using an estimated federal income tax rate of
21% , applied to non-taxable interest income on investments and loans. - Annualized measure.
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) Noninterest Expense Excluding Amortization of Intangible Assets, Adjusted Noninterest Expense, Adjusted Core Expense, Noninterest Expense Excluding Non-operating Adjustments, Efficiency Ratio, Adjusted Efficiency Ratio, and Adjusted Core Efficiency Ratio | ||||||||||||
| (dollars in thousands) | ||||||||||||
| Three Months Ended | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| Net interest income | $ | 75,767 | $ | 77,133 | $ | 85,857 | ||||||
| Non-GAAP adjustments: | ||||||||||||
| Tax-equivalent adjustment1 | 449 | 501 | 558 | |||||||||
| Tax-equivalent net interest income | [a] | 76,216 | 77,634 | 86,415 | ||||||||
| Total noninterest income | 35,000 | 31,516 | 31,848 | |||||||||
| Non-GAAP adjustments: | ||||||||||||
| Net security (gains) losses | 6,375 | (761 | ) | 616 | ||||||||
| Noninterest income excluding net securities gains and losses | [b] | 41,375 | 30,755 | 32,464 | ||||||||
| Further adjustments: | ||||||||||||
| Gain on sale of mortgage servicing rights | (7,465 | ) | — | — | ||||||||
| Adjusted noninterest income | [c] | $ | 33,910 | $ | 30,755 | $ | 32,464 | |||||
| Tax-equivalent revenue | [d = a+b] | $ | 117,591 | $ | 108,389 | $ | 118,879 | |||||
| Adjusted Tax-equivalent revenue | [e = a+c] | $ | 110,126 | $ | 108,389 | $ | 118,879 | |||||
| Total noninterest expense | $ | 70,769 | $ | 74,979 | $ | 70,403 | ||||||
| Non-GAAP adjustments: | ||||||||||||
| Amortization of intangible assets | [f] | (2,409 | ) | (2,479 | ) | (2,729 | ) | |||||
| Noninterest expense excluding amortization of intangible assets | [g] | 68,360 | 72,500 | 67,674 | ||||||||
| Non-operating adjustments: | ||||||||||||
| Salaries, wages, and employee benefits | (123 | ) | (3,760 | ) | — | |||||||
| Data processing | (100 | ) | — | — | ||||||||
| Professional fees, occupancy, furniture and fixtures, and other | (185 | ) | (477 | ) | — | |||||||
| Adjusted noninterest expense | [h] | 67,952 | 68,263 | 67,674 | ||||||||
| Provision for unfunded commitments | 678 | (818 | ) | 635 | ||||||||
| Amortization of New Markets Tax Credits | — | (2,259 | ) | (2,221 | ) | |||||||
| Adjusted core expense | [i] | $ | 68,630 | $ | 65,186 | $ | 66,088 | |||||
| Noninterest expense, excluding non-operating adjustments | [h-f] | $ | 70,361 | $ | 70,742 | $ | 70,403 | |||||
| Reported: Efficiency ratio | [g÷d] | 58.13 | % | 66.89 | % | 56.93 | % | |||||
| Adjusted: Efficiency ratio | [h÷e] | 61.70 | % | 62.98 | % | 56.93 | % | |||||
| Adjusted: Core efficiency ratio | [i÷e] | 62.32 | % | 60.14 | % | 55.59 | % | |||||
___________________________________________
- Tax-equivalent adjustments were calculated using an estimated federal income tax rate of
21% , applied to non-taxable interest income on investments and loans.
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) Tangible Book Value and Tangible Book Value Per Common Share | ||||||||||||
| (dollars in thousands, except per share amounts) | ||||||||||||
| As of | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| Total stockholders' equity | $ | 1,282,651 | $ | 1,271,981 | $ | 1,198,558 | ||||||
| Non-GAAP adjustments: | ||||||||||||
| Goodwill and other intangible assets, net | (351,455 | ) | (353,864 | ) | (361,567 | ) | ||||||
| Tangible book value | [a] | $ | 931,196 | $ | 918,117 | $ | 836,991 | |||||
| Ending number of common shares outstanding | [b] | 55,300,008 | 55,244,119 | 55,294,455 | ||||||||
| Tangible book value per common share | [a÷b] | $ | 16.84 | $ | 16.62 | $ | 15.14 | |||||
Tangible Assets, Tangible Common Equity, and Tangible Common Equity to Tangible Assets | ||||||||||||
| (dollars in thousands) | ||||||||||||
| As of | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| Total assets | $ | 11,887,458 | $ | 12,283,415 | $ | 12,344,555 | ||||||
| Non-GAAP adjustments: | ||||||||||||
| Goodwill and other intangible assets, net | (351,455 | ) | (353,864 | ) | (361,567 | ) | ||||||
| Tax effect of other intangible assets1 | 6,434 | 6,888 | 8,335 | |||||||||
| Tangible assets2 | [a] | $ | 11,542,437 | $ | 11,936,439 | $ | 11,991,323 | |||||
| Total stockholders' equity | $ | 1,282,651 | $ | 1,271,981 | $ | 1,198,558 | ||||||
| Non-GAAP adjustments: | ||||||||||||
| Goodwill and other intangible assets, net | (351,455 | ) | (353,864 | ) | (361,567 | ) | ||||||
| Tax effect of other intangible assets1 | 6,434 | 6,888 | 8,335 | |||||||||
| Tangible common equity2 | [b] | $ | 937,630 | $ | 925,005 | $ | 845,326 | |||||
| Tangible common equity to tangible assets2 | [b÷a] | 8.12 | % | 7.75 | % | 7.05 | % | |||||
___________________________________________
- Net of estimated deferred tax liability, calculated using the estimated statutory tax rate of
28% . - Tax-effected measure.
| RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Unaudited) Core Deposits, Core Deposits to Total Deposits, and Portfolio Loans to Core Deposits | ||||||||||||
| (dollars in thousands) | ||||||||||||
| As of | ||||||||||||
| March 31, 2024 | December 31, 2023 | March 31, 2023 | ||||||||||
| Portfolio loans | [a] | $ | 7,588,077 | $ | 7,651,034 | $ | 7,783,808 | |||||
| Total deposits | [b] | $ | 9,960,191 | $ | 10,291,156 | $ | 9,801,169 | |||||
| Non-GAAP adjustments: | ||||||||||||
| Brokered transaction accounts | (6,001 | ) | (6,001 | ) | (6,005 | ) | ||||||
| Time deposits of | (326,795 | ) | (386,286 | ) | (200,898 | ) | ||||||
| Core deposits | [c] | $ | 9,627,395 | $ | 9,898,869 | $ | 9,594,266 | |||||
| RATIOS | ||||||||||||
| Core deposits to total deposits | [c÷b] | 96.66 | % | 96.19 | % | 97.89 | % | |||||
| Portfolio loans to core deposits | [a÷c] | 78.82 | % | 77.29 | % | 81.13 | % | |||||
SPECIAL NOTE CONCERNING FORWARD-LOOKING STATEMENTS
This document may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to Busey’s financial condition, results of operations, plans, objectives, future performance, and business. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of Busey’s management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “plan,” “intend,” “estimate,” “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 Busey undertakes no obligation to update any statement in light of new information or future events. A number of factors, many of which are beyond Busey’s ability to control or predict, could cause actual results to differ materially from those in any forward-looking statements. These factors include, among others, the following: (1) the strength of the local, state, national, and international economy (including effects of inflationary pressures and supply chain constraints); (2) the economic impact of any future terrorist threats or attacks, widespread disease or pandemics, or other adverse external events that could cause economic deterioration or instability in credit markets (including Russia’s invasion of Ukraine and the Israeli-Palestinian conflict); (3) changes in state and federal laws, regulations, and governmental policies concerning Busey's general business (including changes in response to the failures of other banks or as a result of the upcoming 2024 presidential election); (4) changes in accounting policies and practices; (5) changes in interest rates and prepayment rates of Busey’s assets (including the impact of the significant rate increases by the Federal Reserve since 2022); (6) increased competition in the financial services sector (including from non-bank competitors such as credit unions and fintech companies) and the inability to attract new customers; (7) changes in technology and the ability to develop and maintain secure and reliable electronic systems; (8) the loss of key executives or associates; (9) changes in consumer spending; (10) unexpected results of acquisitions (including the acquisition of Merchants and Manufacturers Bank Corporation); (11) unexpected outcomes of existing or new litigation, investigations, or inquiries involving Busey (including with respect to Busey’s Illinois franchise taxes); (12) fluctuations in the value of securities held in Busey’s securities portfolio; (13) concentrations within Busey’s loan portfolio, large loans to certain borrowers, and large deposits from certain clients; (14) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits and may withdraw deposits to diversify their exposure; (15) the level of non-performing assets on Busey’s balance sheets; (16) interruptions involving information technology and communications systems or third-party servicers; (17) breaches or failures of information security controls or cybersecurity-related incidents; and (18) the economic impact of exceptional weather occurrences such as tornadoes, hurricanes, floods, blizzards, and droughts. 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 Busey and its business, including additional factors that could materially affect Busey’s financial results, is included in Busey’s filings with the Securities and Exchange Commission.
END NOTES
| 1 | See "Non-GAAP Financial Information" for a reconciliation. |
| 2 | Operating revenue consists of net interest income plus noninterest income excluding net securities gains and losses and excluding gain on sale of mortgage servicing rights. |
| 3 | Estimated uninsured and uncollateralized deposits consist of account balances in excess of the |
| 4 | Central Business District areas within Busey’s footprint include downtown St. Louis, downtown Indianapolis, and downtown Chicago. |
| 5 | Capital ratios for the first quarter of 2024 are not yet finalized, and are subject to change. |
| 6 | On- and off-balance sheet liquidity is comprised of cash and cash equivalents, debt securities excluding those pledged as collateral, brokered deposits, and Busey’s borrowing capacity through its revolving credit facility, the FHLB, the Federal Reserve Bank, and federal funds purchased lines. |
| 7 | The blended benchmark consists of |
First Busey Corporation
100 W. University Ave., Champaign, IL 61820
NASDAQ: BUSE
Busey 2024 | All Rights Reserved
FAQ
What was First Busey 's net income for the first quarter of 2024?
What was the adjusted net income for the same period?
What was the tangible book value per common share at the end of March 2024?
What strategic move did Busey execute during the first quarter of 2024?
When was the acquisition of Merchants & Manufacturers Bank completed?
