German American Bancorp, Inc. (GABC) Posts Strong Second Quarter Performance
German American Bancorp (GABC) reported robust Q2 2021 earnings of $23.8 million ($0.90 per share), marking a 67% increase year-over-year. Key drivers included a 10% asset growth to $5.349 billion and a 5% increase in core loans, excluding PPP loans. Net interest income rose by $948,000 from Q1 2021, aided by higher earnings assets. The bank's non-interest expenses decreased by $2.2 million, reflecting earlier optimization plans. A quarterly dividend of $0.21 per share was declared, payable on August 20, 2021, showcasing confidence in financial stability amidst the ongoing pandemic.
- Quarterly earnings reached $23.8 million, up 67% from Q2 2020.
- Total assets increased by $128.7 million, or 10% annualized, reaching $5.349 billion.
- Core loan portfolio grew by 5%, marking the first growth since the pandemic onset.
- Net interest income rose $948,000 from Q1 2021, due to higher earning assets.
- Non-interest expenses declined by $2.2 million compared to Q1 2021.
- Total loans declined by $46.5 million, or 6% annualized, compared to Q1 2021.
- Non-interest income fell by $1.135 million or 8% from Q1 2021.
JASPER, Ind., July 26, 2021 (GLOBE NEWSWIRE) -- German American Bancorp, Inc. (Nasdaq: GABC) reported another quarter of strong operating performance, resulting in quarterly earnings of
The second quarter 2021 earnings growth was driven by a number of factors including strong balance sheet growth, within both the core loan portfolio and deposit base, improved net interest income, and a reduced provision for credit losses, coupled with a solid increase in core non-interest income and disciplined control over non-interest expenses.
As of June 30, 2021, the Company’s total assets were
Net interest income during the second quarter of 2021 increased
While certain seasonality factors impacted the level of non-interest income in the second quarter compared to the first quarter of 2021, an additional factor contributing to the second quarter of 2021 net income improvement was a year-over-year increase in non-interest income. Year-over-year combined net revenue improvements of approximately
The Company’s non-interest expenses declined by
Mark A. Schroeder, German American’s Chairman & CEO, stated, “We were very pleased with our ability to build upon the momentum of our solid first quarter earnings with exceptionally strong performance in the second quarter. We were particularly encouraged by the level of core, organic loan growth, exclusive of the impact of PPP loan activity, and the improvement we’ve seen in general economic conditions throughout our footprint during the current quarter. While new developments related to the pandemic continue to cause uncertainty for both our business and retail customers, we are hopeful that improvements in commercial and social activities will remain steady and look forward with optimism to continued economic growth in the coming months.”
The Company also announced its Board of Directors has declared a regular quarterly cash dividend of
COVID-19 Pandemic Loan Information
The Company continued its participation in the Paycheck Protection Program (“PPP”) for loans provided through the Small Business Administration (“SBA”), as established under the Coronavirus Aid, Relief and Economic Security Act (the "CARES Act"), lending funds primarily to its existing loan and/or deposit customers. The PPP loans carry an interest rate of
Under the first round of the PPP, which concluded in 2020, the Company originated loans totaling approximately
The Company also participated in the second round of the program, which began in January 2021 and gave applicants until May 31, 2021 to apply for a PPP loan and the SBA until June 30, 2021 to process applications. The Company originated loans totaling approximately
In response to requests from borrowers who have experienced pandemic-related business or personal cash flow interruptions, and in accordance with regulatory guidance, the Company has made short-term loan modifications involving both partial and full payment deferrals. The table below shows the payment modifications that were still in effect as of June 30, 2021, with all of these credit relationships making full interest payments.
| % of Loan Category (Excludes PPP Loans) | |||||||||||||
| Type of Loans (dollars in thousands) | Number of Loans | Outstanding Balance | As of 6/30/2021 | As of 3/31/2021 | |||||||||
| Commercial & Industrial Loans | 1 | $ | 266 | 0.1 | % | 0.9 | % | ||||||
| Commercial Real Estate Loans | 5 | 12,267 | 0.8 | % | 2.4 | % | |||||||
| Agricultural Loans | — | — | — | % | — | % | |||||||
| Consumer Loans | 1 | 7 | n/m (1) | n/m (1) | |||||||||
| Residential Mortgage Loans | 1 | 14 | n/m (1) | 0.1 | % | ||||||||
| Total | 8 | $ | 12,554 | 0.4 | % | 1.4 | % | ||||||
(1) n/m = not meaningful
The Company tracks lending exposure by industry classification to determine potential risk associated with industry concentrations, if any, that could lead to additional credit loss exposure. As a result of the COVID-19 pandemic, the Company initially identified loan segments that could represent a potentially higher level of credit risk, as many of these customers may have incurred a significant negative impact to their businesses as a result of governmental stay-at-home orders and travel restrictions. At June 30, 2021, the Company had the following exposure to these potentially sensitive COVID-19 identified loan segments:
| Industry Segment (dollars in thousands) | Number of Loans | Outstanding Balance | % of Total Loans (excludes PPP Loans) | % of Industry Segment Under Deferral | ||||||||
| Lodging / Hotels | 44 | $ | 130,630 | 4.5 | % | 7.9 | % | |||||
| Retail Shopping / Strip Centers | 62 | 96,831 | 3.3 | % | — | % | ||||||
| Restaurants | 172 | 52,286 | 1.8 | % | 4.1 | % | ||||||
During the second quarter of 2021, the Company re-assessed its exposure to the student housing industry segment, which was formerly included as a COVID-19 pandemic-related stressed sector. With the return of universities in its market areas to in-person classes for the 2021/2022 school year and occupancy levels for the upcoming school year that are similar to historical levels, the Company removed the student housing segment from the COVID-19 pandemic-related stressed sectors.
Balance Sheet Highlights
Total assets for the Company totaled
Securities available for sale increased
June 30, 2021 total loans declined
Excluding PPP loans, total loans increased
| End of Period Loan Balances | 6/30/2021 | 3/31/2021 | 6/30/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Commercial & Industrial Loans | $ | 647,918 | $ | 728,014 | $ | 852,416 | ||||||
| Commercial Real Estate Loans | 1,517,172 | 1,492,617 | 1,473,234 | |||||||||
| Agricultural Loans | 344,450 | 347,231 | 373,483 | |||||||||
| Consumer Loans | 290,890 | 285,485 | 291,555 | |||||||||
| Residential Mortgage Loans | 274,093 | 267,634 | 280,246 | |||||||||
| $ | 3,074,523 | $ | 3,120,981 | $ | 3,270,934 | |||||||
| Net PPP Loans (included in Commercial & Industrial Loans above) | $ | 149,372 | $ | 234,229 | $ | 338,673 | ||||||
The Company’s allowance for credit losses totaled
The Company adopted ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326) ("CECL") on January 1, 2020. Under the CECL model, certain acquired loans continue to carry a fair value discount as well as an allowance for credit losses. As of June 30, 2021, the Company held net discounts on acquired loans of
The allowance for credit losses declined during the quarter ended June 30, 2021 as a result of the Company recording a negative
Non-performing assets totaled
| Non-performing Assets | |||||||||||
| (dollars in thousands) | |||||||||||
| 6/30/2021 | 3/31/2021 | 6/30/2020 | |||||||||
| Non-Accrual Loans | $ | 17,386 | $ | 20,994 | $ | 16,183 | |||||
| Past Due Loans (90 days or more) | — | — | 2,948 | ||||||||
| Total Non-Performing Loans | 17,386 | 20,994 | 19,131 | ||||||||
| Other Real Estate | 925 | 325 | 425 | ||||||||
| Total Non-Performing Assets | $ | 18,311 | $ | 21,319 | $ | 19,556 | |||||
| Restructured Loans | $ | 108 | $ | 109 | $ | 114 | |||||
June 30, 2021 total deposits increased
| End of Period Deposit Balances | 6/30/2021 | 3/31/2021 | 6/30/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Non-interest-bearing Demand Deposits | $ | 1,350,399 | $ | 1,383,888 | $ | 1,139,928 | ||||||
| IB Demand, Savings, and MMDA Accounts | 2,688,611 | 2,548,015 | 2,267,092 | |||||||||
| Time Deposits < | 226,970 | 239,911 | 293,059 | |||||||||
| Time Deposits > | 183,765 | 206,859 | 279,354 | |||||||||
| $ | 4,449,745 | $ | 4,378,673 | $ | 3,979,433 | |||||||
Results of Operations Highlights – Quarter ended June 30, 2021
Net income for the quarter ended June 30, 2021 totaled
| Summary Average Balance Sheet | |||||||||||||||||||||||||||||||||
| (Tax-equivalent basis / dollars in thousands) | |||||||||||||||||||||||||||||||||
| Quarter Ended | Quarter Ended | Quarter Ended | |||||||||||||||||||||||||||||||
| June 30, 2021 | March 31, 2021 | June 30, 2020 | |||||||||||||||||||||||||||||||
| Principal Balance | Income/ Expense | Yield/ Rate | Principal Balance | Income/ Expense | Yield/ Rate | Principal Balance | Income/ Expense | Yield/ Rate | |||||||||||||||||||||||||
| Assets | |||||||||||||||||||||||||||||||||
| Federal Funds Sold and Other | |||||||||||||||||||||||||||||||||
| Short-term Investments | $ | 386,144 | $ | 103 | 0.11 | % | $ | 337,981 | $ | 85 | 0.10 | % | $ | 239,164 | $ | 84 | 0.14 | % | |||||||||||||||
| Securities | 1,480,532 | 8,794 | 2.38 | % | 1,295,630 | 7,327 | 2.26 | % | 897,193 | 6,087 | 2.71 | % | |||||||||||||||||||||
| Loans and Leases | 3,119,385 | 34,561 | 4.44 | % | 3,107,902 | 35,164 | 4.58 | % | 3,253,169 | 38,154 | 4.71 | % | |||||||||||||||||||||
| Total Interest Earning Assets | $ | 4,986,061 | $ | 43,458 | 3.49 | % | $ | 4,741,513 | $ | 42,576 | 3.63 | % | $ | 4,389,526 | $ | 44,325 | 4.06 | % | |||||||||||||||
| Liabilities | |||||||||||||||||||||||||||||||||
| Demand Deposit Accounts | $ | 1,377,754 | $ | 1,268,409 | $ | 1,074,739 | |||||||||||||||||||||||||||
| IB Demand, Savings, and | |||||||||||||||||||||||||||||||||
| MMDA Accounts | $ | 2,704,765 | $ | 672 | 0.10 | % | $ | 2,490,953 | $ | 637 | 0.10 | % | $ | 2,220,549 | $ | 1,535 | 0.28 | % | |||||||||||||||
| Time Deposits | 425,972 | 597 | 0.56 | % | 467,310 | 805 | 0.70 | % | 586,179 | 2,208 | 1.51 | % | |||||||||||||||||||||
| FHLB Advances and Other Borrowings | 179,698 | 1,145 | 2.56 | % | 183,376 | 1,151 | 2.55 | % | 227,562 | 1,339 | 2.37 | % | |||||||||||||||||||||
| Total Interest-Bearing Liabilities | $ | 3,310,435 | $ | 2,414 | 0.29 | % | $ | 3,141,639 | $ | 2,593 | 0.33 | % | $ | 3,034,290 | $ | 5,082 | 0.67 | % | |||||||||||||||
| Cost of Funds | 0.19 | % | 0.22 | % | 0.47 | % | |||||||||||||||||||||||||||
| Net Interest Income | $ | 41,044 | $ | 39,983 | $ | 39,243 | |||||||||||||||||||||||||||
| Net Interest Margin | 3.30 | % | 3.41 | % | 3.59 | % | |||||||||||||||||||||||||||
During the second quarter of 2021, net interest income, on a non tax-equivalent basis, totaled
The increase in net interest income during the second quarter of 2021 compared with the first quarter of 2021 was primarily attributable to an increase in average earning assets. The increase in net interest income in the second quarter of 2021 compared with the second quarter of 2020 was largely attributable to an increase in average earning assets and a higher level of fees recognized related to PPP loans.
The tax equivalent net interest margin for the quarter ended June 30, 2021 was
Fees recognized on PPP loans through net interest income during the second quarter of 2021 totaled
Historically low market interest rates continue to impact the Company's net interest margin. Lower market interest rates continue to negatively impact earning asset yields, with these declines being partially mitigated by a lower cost of funds. The Company has also continued to carry excess liquidity on the balance sheet that resulted from significant deposit growth during 2020, which has continued in the first half of 2021, forgiveness of PPP loans, and continued somewhat muted loan growth.
During the quarter ended June 30, 2021, the Company recorded a negative provision for credit losses of
Net charge-offs totaled
During the quarter ended June 30, 2021, non-interest income totaled
| Quarter Ended | Quarter Ended | Quarter Ended | ||||||||||
| Non-interest Income | 6/30/2021 | 3/31/2021 | 6/30/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Trust and Investment Product Fees | $ | 2,620 | $ | 2,358 | $ | 1,867 | ||||||
| Service Charges on Deposit Accounts | 1,735 | 1,678 | 1,365 | |||||||||
| Insurance Revenues | 2,020 | 3,292 | 1,830 | |||||||||
| Company Owned Life Insurance | 385 | 352 | 356 | |||||||||
| Interchange Fee Income | 3,482 | 2,830 | 2,476 | |||||||||
| Other Operating Income | 1,342 | 1,350 | 882 | |||||||||
| Subtotal | 11,584 | 11,860 | 8,776 | |||||||||
| Net Gains on Loans | 2,018 | 2,202 | 2,654 | |||||||||
| Net Gains on Securities | 300 | 975 | 993 | |||||||||
| Total Non-interest Income | $ | 13,902 | $ | 15,037 | $ | 12,423 | ||||||
Trust and investment product fees increased
Service charges on deposit accounts increased
Insurance revenues declined
Interchange fee income increased
Net gains on sales of loans declined
The Company realized
During the quarter ended June 30, 2021, non-interest expense totaled
| Quarter Ended | Quarter Ended | Quarter Ended | ||||||||||
| Non-interest Expense | 6/30/2021 | 3/31/2021 | 6/30/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Salaries and Employee Benefits | $ | 16,375 | $ | 17,805 | $ | 15,882 | ||||||
| Occupancy, Furniture and Equipment Expense | 3,830 | 4,348 | 3,481 | |||||||||
| FDIC Premiums | 329 | 334 | 123 | |||||||||
| Data Processing Fees | 1,779 | 1,743 | 1,763 | |||||||||
| Professional Fees | 1,513 | 1,160 | 1,082 | |||||||||
| Advertising and Promotion | 705 | 782 | 882 | |||||||||
| Intangible Amortization | 711 | 760 | 909 | |||||||||
| Other Operating Expenses | 3,795 | 4,327 | 3,966 | |||||||||
| Total Non-interest Expense | $ | 29,037 | $ | 31,259 | $ | 28,088 | ||||||
Salaries and benefits declined
Occupancy, furniture and equipment expense declined
Professional fees increased
Other operating expenses declined
About German American
German American Bancorp, Inc. is a Nasdaq-traded (symbol: GABC) financial holding company based in Jasper, Indiana. German American, through its banking subsidiary German American Bank, operates 68 banking offices in 19 contiguous southern Indiana counties and eight counties in Kentucky. The Company also owns an investment brokerage subsidiary (German American Investment Services, Inc.) and a full line property and casualty insurance agency (German American Insurance, Inc.).
Cautionary Note Regarding Forward-Looking Statements
Certain statements in this press release may be deemed “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Readers are cautioned that, by their nature, forward-looking statements are based on assumptions and are subject to risks, uncertainties, and other factors. Actual results and experience could differ materially from the anticipated results or other expectations expressed or implied by these forward-looking statements as a result of a number of factors, including but not limited to, those discussed in this press release. Factors that could cause actual experience to differ from the expectations expressed or implied in this press release include the unknown future direction of interest rates and the timing and magnitude of any changes in interest rates; changes in competitive conditions; the introduction, withdrawal, success and timing of asset/liability management strategies or of mergers and acquisitions and other business initiatives and strategies; changes in customer borrowing, repayment, investment and deposit practices; changes in fiscal, monetary and tax policies; changes in financial and capital markets; potential deterioration in general economic conditions, either nationally or locally, resulting in, among other things, credit quality deterioration; the severity and duration of the COVID-19 pandemic and its impact on general economic and financial market conditions and our business, results of operations and financial condition; our participation in the Paycheck Protection Program administered by the Small Business Administration; capital management activities, including possible future sales of new securities, or possible repurchases or redemptions by the Company of outstanding debt or equity securities; risks of expansion through acquisitions and mergers, such as unexpected credit quality problems of the acquired loans or other assets, unexpected attrition of the customer base of the acquired institution or branches, and difficulties in integration of the acquired operations; factors driving impairment charges on investments; the impact, extent and timing of technological changes; potential cyber-attacks, information security breaches and other criminal activities; litigation liabilities, including related costs, expenses, settlements and judgments, or the outcome of matters before regulatory agencies, whether pending or commencing in the future; actions of the Federal Reserve Board; changes in accounting principles and interpretations; potential increases of federal deposit insurance premium expense, and possible future special assessments of FDIC premiums, either industry wide or specific to the Company’s banking subsidiary; actions of the regulatory authorities under the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Dodd-Frank Act") and the Federal Deposit Insurance Act and other possible legislative and regulatory actions and reforms; impacts resulting from possible amendments or revisions to the Dodd-Frank Act and the regulations promulgated thereunder, or to Consumer Financial Protection Bureau rules and regulations; the continued availability of earnings and excess capital sufficient for the lawful and prudent declaration and payment of cash dividends; and other risk factors expressly identified in the Company’s filings with the United States Securities and Exchange Commission. Such statements reflect our views with respect to future events and are subject to these and other risks, uncertainties and assumptions relating to the operations, results of operations, growth strategy and liquidity of the Company. Readers are cautioned not to place undue reliance on these forward-looking statements. It is intended that these forward-looking statements speak only as of the date they are made. We do not undertake any obligation to release publicly any revisions to these forward-looking statements to reflect future events or circumstances or to reflect the occurrence of unanticipated events.
| GERMAN AMERICAN BANCORP, INC. | |||||||||||
| (unaudited, dollars in thousands except per share data) | |||||||||||
| Consolidated Balance Sheets | |||||||||||
| June 30, 2021 | March 31, 2021 | June 30, 2020 | |||||||||
| ASSETS | |||||||||||
| Cash and Due from Banks | $ | 55,491 | $ | 102,758 | $ | 53,081 | |||||
| Short-term Investments | 315,585 | 291,727 | 227,275 | ||||||||
| Investment Securities | 1,585,701 | 1,386,226 | 962,623 | ||||||||
| Loans Held-for-Sale | 17,459 | 18,493 | 21,756 | ||||||||
| Loans, Net of Unearned Income | 3,070,690 | 3,117,203 | 3,266,347 | ||||||||
| Allowance for Credit Losses | (39,995 | ) | (45,099 | ) | (42,431 | ) | |||||
| Net Loans | 3,030,695 | 3,072,104 | 3,223,916 | ||||||||
| Stock in FHLB and Other Restricted Stock | 13,048 | 13,048 | 13,368 | ||||||||
| Premises and Equipment | 90,113 | 92,044 | 96,748 | ||||||||
| Goodwill and Other Intangible Assets | 129,305 | 130,086 | 132,676 | ||||||||
| Other Assets | 111,172 | 113,348 | 119,608 | ||||||||
| TOTAL ASSETS | $ | 5,348,569 | $ | 5,219,834 | $ | 4,851,051 | |||||
| LIABILITIES | |||||||||||
| Non-interest-bearing Demand Deposits | $ | 1,350,399 | $ | 1,383,888 | $ | 1,139,928 | |||||
| Interest-bearing Demand, Savings, and Money Market Accounts | 2,688,611 | 2,548,015 | 2,267,092 | ||||||||
| Time Deposits | 410,735 | 446,770 | 572,413 | ||||||||
| Total Deposits | 4,449,745 | 4,378,673 | 3,979,433 | ||||||||
| Borrowings | 205,506 | 173,547 | 219,700 | ||||||||
| Other Liabilities | 44,321 | 50,401 | 57,244 | ||||||||
| TOTAL LIABILITIES | 4,699,572 | 4,602,621 | 4,256,377 | ||||||||
| SHAREHOLDERS' EQUITY | |||||||||||
| Common Stock and Surplus | 301,855 | 301,216 | 300,514 | ||||||||
| Retained Earnings | 320,717 | 302,450 | 263,011 | ||||||||
| Accumulated Other Comprehensive Income | 26,425 | 13,547 | 31,149 | ||||||||
| SHAREHOLDERS' EQUITY | 648,997 | 617,213 | 594,674 | ||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 5,348,569 | $ | 5,219,834 | $ | 4,851,051 | |||||
| END OF PERIOD SHARES OUTSTANDING | 26,545,704 | 26,546,280 | 26,497,291 | ||||||||
| TANGIBLE BOOK VALUE PER SHARE (1) | $ | 19.58 | $ | 18.35 | $ | 17.44 | |||||
| (1) Tangible Book Value per Share is defined as Total Shareholders' Equity less Goodwill and Other Intangible Assets divided by End of Period Shares Outstanding. | |||||||||||
| GERMAN AMERICAN BANCORP, INC. | ||||||||||||||||||||
| (unaudited, dollars in thousands except per share data) | ||||||||||||||||||||
| Consolidated Statements of Income | ||||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||
| June 30, 2021 | March 31, 2021 | June 30, 2020 | June 30, 2021 | June 30, 2020 | ||||||||||||||||
| INTEREST INCOME | ||||||||||||||||||||
| Interest and Fees on Loans | $ | 34,504 | $ | 35,104 | $ | 38,080 | $ | 69,608 | $ | 75,938 | ||||||||||
| Interest on Short-term Investments | 103 | 85 | 84 | 188 | 242 | |||||||||||||||
| Interest and Dividends on Investment Securities | 7,687 | 6,336 | 5,377 | 14,023 | 10,932 | |||||||||||||||
| TOTAL INTEREST INCOME | 42,294 | 41,525 | 43,541 | 83,819 | 87,112 | |||||||||||||||
| INTEREST EXPENSE | ||||||||||||||||||||
| Interest on Deposits | 1,269 | 1,442 | 3,743 | 2,711 | 9,400 | |||||||||||||||
| Interest on Borrowings | 1,145 | 1,151 | 1,339 | 2,296 | 2,997 | |||||||||||||||
| TOTAL INTEREST EXPENSE | 2,414 | 2,593 | 5,082 | 5,007 | 12,397 | |||||||||||||||
| NET INTEREST INCOME | 39,880 | 38,932 | 38,459 | 78,812 | 74,715 | |||||||||||||||
| Provision for Credit Losses | (5,000 | ) | (1,500 | ) | 5,900 | (6,500 | ) | 11,050 | ||||||||||||
| NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES | 44,880 | 40,432 | 32,559 | 85,312 | 63,665 | |||||||||||||||
| NON-INTEREST INCOME | ||||||||||||||||||||
| Net Gain on Sales of Loans | 2,018 | 2,202 | 2,654 | 4,220 | 4,517 | |||||||||||||||
| Net Gain on Securities | 300 | 975 | 993 | 1,275 | 1,583 | |||||||||||||||
| Other Non-interest Income | 11,584 | 11,860 | 8,776 | 23,444 | 20,404 | |||||||||||||||
| TOTAL NON-INTEREST INCOME | 13,902 | 15,037 | 12,423 | 28,939 | 26,504 | |||||||||||||||
| NON-INTEREST EXPENSE | ||||||||||||||||||||
| Salaries and Benefits | 16,375 | 17,805 | 15,882 | 34,180 | 33,282 | |||||||||||||||
| Other Non-interest Expenses | 12,662 | 13,454 | 12,206 | 26,116 | 25,134 | |||||||||||||||
| TOTAL NON-INTEREST EXPENSE | 29,037 | 31,259 | 28,088 | 60,296 | 58,416 | |||||||||||||||
| Income before Income Taxes | 29,745 | 24,210 | 16,894 | 53,955 | 31,753 | |||||||||||||||
| Income Tax Expense | 5,923 | 4,653 | 2,639 | 10,576 | 5,026 | |||||||||||||||
| NET INCOME | $ | 23,822 | $ | 19,557 | $ | 14,255 | $ | 43,379 | $ | 26,727 | ||||||||||
| BASIC EARNINGS PER SHARE | $ | 0.90 | $ | 0.74 | $ | 0.54 | $ | 1.64 | $ | 1.01 | ||||||||||
| DILUTED EARNINGS PER SHARE | $ | 0.90 | $ | 0.74 | $ | 0.54 | $ | 1.64 | $ | 1.01 | ||||||||||
| WEIGHTED AVERAGE SHARES OUTSTANDING | 26,545,869 | 26,510,001 | 26,502,731 | 26,528,034 | 26,583,167 | |||||||||||||||
| DILUTED WEIGHTED AVERAGE SHARES OUTSTANDING | 26,545,869 | 26,510,001 | 26,502,731 | 26,528,034 | 26,583,167 | |||||||||||||||
| GERMAN AMERICAN BANCORP, INC. | ||||||||||||||||||||||
| (unaudited, dollars in thousands except per share data) | ||||||||||||||||||||||
| Three Months Ended | Six Months Ended | |||||||||||||||||||||
| June 30, | March 31, | June 30, | June 30, | June 30, | ||||||||||||||||||
| 2021 | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||||
| EARNINGS PERFORMANCE RATIOS | ||||||||||||||||||||||
| Annualized Return on Average Assets | 1.78 | % | 1.54 | % | 1.20 | % | 1.66 | % | 1.18 | % | ||||||||||||
| Annualized Return on Average Equity | 15.09 | % | 12.47 | % | 9.71 | % | 13.78 | % | 9.19 | % | ||||||||||||
| Annualized Return on Average Tangible Equity (1) | 18.99 | % | 15.75 | % | 12.53 | % | 17.38 | % | 11.91 | % | ||||||||||||
| Net Interest Margin | 3.30 | % | 3.41 | % | 3.59 | % | 3.35 | % | 3.66 | % | ||||||||||||
| Efficiency Ratio (2) | 52.85 | % | 56.81 | % | 54.36 | % | 54.83 | % | 56.86 | % | ||||||||||||
| Net Overhead Expense to Average Earning Assets (3) | 1.21 | % | 1.37 | % | 1.43 | % | 1.29 | % | 1.53 | % | ||||||||||||
| ASSET QUALITY RATIOS | ||||||||||||||||||||||
| Annualized Net Charge-offs to Average Loans | 0.01 | % | 0.03 | % | 0.01 | % | 0.02 | % | 0.03 | % | ||||||||||||
| Allowance for Credit Losses to Period End Loans | 1.30 | % | 1.45 | % | 1.30 | % | ||||||||||||||||
| Non-performing Assets to Period End Assets | 0.34 | % | 0.41 | % | 0.40 | % | ||||||||||||||||
| Non-performing Loans to Period End Loans | 0.57 | % | 0.67 | % | 0.59 | % | ||||||||||||||||
| Loans 30-89 Days Past Due to Period End Loans | 0.12 | % | 0.15 | % | 0.23 | % | ||||||||||||||||
| SELECTED BALANCE SHEET & OTHER FINANCIAL DATA | ||||||||||||||||||||||
| Average Assets | $ | 5,359,387 | $ | 5,090,369 | $ | 4,751,772 | $ | 5,225,621 | $ | 4,543,804 | ||||||||||||
| Average Earning Assets | $ | 4,986,061 | $ | 4,741,513 | $ | 4,389,526 | $ | 4,864,463 | $ | 4,182,290 | ||||||||||||
| Average Total Loans | $ | 3,119,385 | $ | 3,107,902 | $ | 3,253,169 | $ | 3,113,675 | $ | 3,156,284 | ||||||||||||
| Average Demand Deposits | $ | 1,377,754 | $ | 1,268,409 | $ | 1,074,739 | $ | 1,323,384 | $ | 961,315 | ||||||||||||
| Average Interest Bearing Liabilities | $ | 3,310,435 | $ | 3,141,639 | $ | 3,034,290 | $ | 3,226,503 | $ | 2,951,035 | ||||||||||||
| Average Equity | $ | 631,603 | $ | 627,268 | $ | 587,472 | $ | 629,448 | $ | 581,733 | ||||||||||||
| Period End Non-performing Assets (4) | $ | 18,311 | $ | 21,319 | $ | 19,556 | ||||||||||||||||
| Period End Non-performing Loans (5) | $ | 17,386 | $ | 20,994 | $ | 19,131 | ||||||||||||||||
| Period End Loans 30-89 Days Past Due (6) | $ | 3,681 | $ | 4,791 | $ | 7,554 | ||||||||||||||||
| Tax Equivalent Net Interest Income | $ | 41,044 | $ | 39,983 | $ | 39,243 | $ | 81,027 | $ | 76,227 | ||||||||||||
| Net Charge-offs during Period | $ | 104 | $ | 260 | $ | 110 | $ | 364 | $ | 550 | ||||||||||||
| (1 | ) | Average Tangible Equity is defined as Average Equity less Average Goodwill and Other Intangibles. | ||||||||||||||||||||
| (2 | ) | Efficiency Ratio is defined as Non-interest Expense divided by the sum of Net Interest Income, on a tax equivalent basis, and Non-interest Income. | ||||||||||||||||||||
| (3 | ) | Net Overhead Expense is defined as Total Non-interest Expense less Total Non-interest Income. | ||||||||||||||||||||
| (4 | ) | Non-performing assets are defined as Non-accrual Loans, Loans Past Due 90 days or more, and Other Real Estate Owned. | ||||||||||||||||||||
| (5 | ) | Non-performing loans are defined as Non-accrual Loans and Loans Past Due 90 days or more. | ||||||||||||||||||||
| (6 | ) | Loans 30-89 days past due and still accruing. | ||||||||||||||||||||
For additional information, contact:
Mark A Schroeder, Chairman and Chief Executive Officer
D. Neil Dauby, President and Chief Operating Officer
Bradley M Rust, Senior Executive Vice President and Chief Financial Officer
(812) 482-1314
FAQ
What were German American Bancorp's earnings for Q2 2021?
How much did total assets increase for German American Bancorp in Q2 2021?
What was the dividend declared by German American Bancorp in Q2 2021?
Did German American Bancorp see growth in its loan portfolio in Q2 2021?
How did German American Bancorp's net interest income perform in Q2 2021?
