German American Bancorp, Inc. (GABC) Reports First Quarter 2021 Earnings
German American Bancorp (NASDAQ: GABC) announced first quarter 2021 earnings of $19.6 million, or $0.74 per share, a 57% increase from $12.5 million in Q1 2020. This growth was fueled by improved net interest income, lower credit loss provisions, and increased non-interest revenue. Despite a 3.41% net interest margin decline, total deposits rose 26%, totaling $4.38 billion. The company also declared a $0.21 dividend per share. However, loan growth remained muted, with total loans excluding PPP loans declining 4% year-over-year.
- Net income increased by $7.1 million or 57% year-over-year.
- Total deposits rose by $900 million or 26% compared to March 31, 2020.
- Non-interest income grew by $956,000 or 7% year-over-year.
- Net interest margin decreased from 3.74% in 2020 to 3.41% in 2021.
- Total loans excluding PPP loans declined by 4% year-over-year.
JASPER, Ind., April 26, 2021 (GLOBE NEWSWIRE) -- German American Bancorp, Inc. (NASDAQ: GABC) reported first quarter 2021 earnings of
The first quarter 2021 earnings growth was driven by a number of factors including improved net interest income, lower provision for credit losses and increased non-interest revenue which was partially offset by a modestly higher level of non-interest expense.
Net interest income increased
During the first quarter of 2021, the provision for credit losses declined by
An additional factor contributing to the first quarter of 2021 net-income improvement was a
Mark A. Schroeder, German American’s Chairman & CEO, stated, “After an extremely challenging 2020 due to a myriad of issues associated with the pandemic, we are very pleased to have been able to start off 2021 with extremely solid and strong first quarter performance. While the environment of historically low interest rates and net interest margins are likely to continue to be a challenge in 2021 and the coming years, we are hopeful that the worst of the economic impact of the pandemic is behind us.”
Schroeder continued, “Our ability to increase the level of net interest income due to our materially larger balance sheet will hopefully allow us to mitigate the impact of the low interest rate environment. Additionally, while we’ve not seen growth during the pandemic within our loan portfolio, exclusive of PPP loans, we are encouraged by the level of interest we’re seeing from customers in terms of potential future loan demand. We are also hopeful that our customers’ utilization of their existing lines of credit will again begin to increase in the coming months as they experience the need for additional operating funds in response to an elevated level of economic growth and expansion as the impact of the pandemic wanes. We look forward to the balance of 2021 and our ability to build upon our first quarter results with a cautious optimism.”
The Company also announced its Board of Directors has declared a regular quarterly cash dividend of
COVID-19 Pandemic Loan Information
The Company continues 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"). Having previously participated in the first round of the program during 2020, the Company is also participating in the second round of the PPP that commenced in January 2021. Under the second round of the program, the Company can make new PPP loans to borrowers that did not receive PPP funds in 2020 in addition to “second draw” loans targeted at businesses that have exhausted their initial PPP proceeds. Under the PPP, the Company has lent and is lending funds primarily to its existing loan and/or deposit customers, based on a pre-determined SBA-developed formula, intended to incentivize small business owners to retain their employees. These loans carry a customer interest rate of
The Company originated loans totaling approximately
The Company is also participating in the second round of the program which gives applicants until May 31, 2021 to apply for a first or second draw PPP loan and gives the SBA until June 30, 2021 to process loan applications. Through March 31, 2021, the Company has 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 March 31, 2021, with the majority 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 3/31/2021 | As of 12/31/2020 | |||||||||
| Commercial & Industrial Loans | 4 | $ | 4,413 | 0.9 | % | 0.8 | % | ||||||
| Commercial Real Estate Loans | 15 | 36,137 | 2.4 | % | 3.0 | % | |||||||
| Agricultural Loans | — | — | — | % | — | % | |||||||
| Consumer Loans | 2 | 40 | n/m (1) | n/m (1) | |||||||||
| Residential Mortgage Loans | 2 | 173 | 0.1 | % | 0.1 | % | |||||||
| Total | 23 | $ | 40,763 | 1.4 | % | 1.7 | % | ||||||
(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 March 31, 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 | $ | 130,599 | 4.5 | % | 22.8 | % | |||||
| Student Housing | 104 | 86,430 | 3.0 | % | — | % | ||||||
| Retail Shopping / Strip Centers | 66 | 87,928 | 3.0 | % | — | % | ||||||
| Restaurants | 169 | 44,862 | 1.6 | % | 12.8 | % | ||||||
Balance Sheet Highlights
Total assets for the Company totaled
Federal funds sold and other short-term investments increased
Securities available for sale increased
March 31, 2021 total loans increased
Excluding PPP loans, total loans declined
Excluding PPP loans, total loans declined
As previously discussed, lower levels of commercial, agricultural and home equity lines of credit balances resulting in lower line utilization rates during the first quarter of 2021 compared to both year-end 2020 and March 31, 2020 was the primary driver to overall loan portfolio declines excluding PPP loans. Outstanding commercial lines of credit balances totaled
| End of Period Loan Balances | 3/31/2021 | 12/31/2020 | 3/31/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Commercial & Industrial Loans | $ | 728,014 | $ | 694,437 | $ | 565,780 | ||||||
| Commercial Real Estate Loans | 1,492,617 | 1,467,397 | 1,489,353 | |||||||||
| Agricultural Loans | 347,231 | 376,186 | 366,286 | |||||||||
| Consumer Loans | 285,485 | 297,702 | 303,447 | |||||||||
| Residential Mortgage Loans | 267,634 | 256,276 | 293,550 | |||||||||
| $ | 3,120,981 | $ | 3,091,998 | $ | 3,018,416 | |||||||
| Net PPP Loans (included in Commercial & Industrial Loans above) | $ | 234,229 | $ | 181,984 | $ | — | ||||||
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 March 31, 2021, the Company held net discounts on acquired loans of
The allowance for credit losses declined during the quarter ended March 31, 2021, as a result of the Company recording a negative
Non-performing assets totaled
| Non-performing Assets | |||||||||||
| (dollars in thousands) | |||||||||||
| 3/31/2021 | 12/31/2020 | 3/31/2020 | |||||||||
| Non-Accrual Loans | $ | 20,994 | $ | 21,507 | $ | 18,099 | |||||
| Past Due Loans (90 days or more) | — | — | 355 | ||||||||
| Total Non-Performing Loans | 20,994 | 21,507 | 18,454 | ||||||||
| Other Real Estate | 325 | 325 | 625 | ||||||||
| Total Non-Performing Assets | $ | 21,319 | $ | 21,832 | $ | 19,079 | |||||
| Restructured Loans | $ | 109 | $ | 111 | $ | 116 | |||||
March 31, 2021 total deposits increased
| End of Period Deposit Balances | 3/31/2021 | 12/31/2020 | 3/31/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Non-interest-bearing Demand Deposits | $ | 1,383,888 | $ | 1,183,442 | $ | 869,847 | ||||||
| IB Demand, Savings, and MMDA Accounts | 2,548,015 | 2,428,636 | 2,008,757 | |||||||||
| Time Deposits < | 239,911 | 255,941 | 303,519 | |||||||||
| Time Deposits > | 206,859 | 238,511 | 296,391 | |||||||||
| $ | 4,378,673 | $ | 4,106,530 | $ | 3,478,514 | |||||||
Results of Operations Highlights – Quarter ended March 31, 2021
Net income for the quarter ended March 31, 2021 totaled
| Summary Average Balance Sheet | |||||||||||||||||||||||||||||||||
| (Tax-equivalent basis / dollars in thousands) | |||||||||||||||||||||||||||||||||
| Quarter Ended | Quarter Ended | Quarter Ended | |||||||||||||||||||||||||||||||
| March 31, 2021 | December 31, 2020 | March 31, 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 | $ | 337,981 | $ | 85 | 0.10 | % | $ | 352,548 | $ | 95 | 0.11 | % | $ | 45,687 | $ | 158 | 1.39 | % | |||||||||||||||
| Securities | 1,295,630 | 7,327 | 2.26 | % | 1,114,732 | 6,826 | 2.45 | % | 869,969 | 6,205 | 2.85 | % | |||||||||||||||||||||
| Loans and Leases | 3,107,902 | 35,164 | 4.58 | % | 3,168,529 | 39,244 | 4.93 | % | 3,059,398 | 37,936 | 4.98 | % | |||||||||||||||||||||
| Total Interest Earning Assets | $ | 4,741,513 | $ | 42,576 | 3.63 | % | $ | 4,635,809 | $ | 46,165 | 3.97 | % | $ | 3,975,054 | $ | 44,299 | 4.48 | % | |||||||||||||||
| Liabilities | |||||||||||||||||||||||||||||||||
| Demand Deposit Accounts | $ | 1,268,409 | $ | 1,211,452 | $ | 847,891 | |||||||||||||||||||||||||||
| IB Demand, Savings, and | |||||||||||||||||||||||||||||||||
| MMDA Accounts | $ | 2,490,953 | $ | 637 | 0.10 | % | $ | 2,392,981 | $ | 670 | 0.11 | % | $ | 1,993,171 | $ | 2,956 | 0.60 | % | |||||||||||||||
| Time Deposits | 467,310 | 805 | 0.70 | % | 507,805 | 1,134 | 0.89 | % | 638,460 | 2,701 | 1.70 | % | |||||||||||||||||||||
| FHLB Advances and Other Borrowings | 183,376 | 1,151 | 2.55 | % | 210,978 | 1,200 | 2.26 | % | 236,148 | 1,658 | 2.82 | % | |||||||||||||||||||||
| Total Interest-Bearing Liabilities | $ | 3,141,639 | $ | 2,593 | 0.33 | % | $ | 3,111,764 | $ | 3,004 | 0.38 | % | $ | 2,867,779 | $ | 7,315 | 1.03 | % | |||||||||||||||
| Cost of Funds | 0.22 | % | 0.26 | % | 0.74 | % | |||||||||||||||||||||||||||
| Net Interest Income | $ | 39,983 | $ | 43,161 | $ | 36,984 | |||||||||||||||||||||||||||
| Net Interest Margin | 3.41 | % | 3.71 | % | 3.74 | % | |||||||||||||||||||||||||||
During the first quarter of 2021, net interest income totaled
The decline in net interest income during the first quarter of 2021 compared with the fourth quarter of 2020 and the increase in net interest income compared with the first quarter of 2020 was largely attributable to fee recognition related to PPP loans. Fees recognized on PPP loans through net interest income during the first quarter of 2021 totaled
The tax equivalent net interest margin for the quarter ended March 31, 2021 was
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 quarter of 2021, and continued somewhat muted loan growth.
During the quarter ended March 31, 2021, the Company recorded a negative provision for credit losses of
Net charge-offs totaled
During the quarter ended March 31, 2021, non-interest income totaled
| Quarter Ended | Quarter Ended | Quarter Ended | ||||||||||
| Non-interest Income | 3/31/2021 | 12/31/2020 | 3/31/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Trust and Investment Product Fees | $ | 2,358 | $ | 2,150 | $ | 2,031 | ||||||
| Service Charges on Deposit Accounts | 1,678 | 1,959 | 2,237 | |||||||||
| Insurance Revenues | 3,292 | 1,874 | 3,229 | |||||||||
| Company Owned Life Insurance | 352 | 374 | 1,222 | |||||||||
| Interchange Fee Income | 2,830 | 2,776 | 2,482 | |||||||||
| Other Operating Income | 1,350 | 1,137 | 427 | |||||||||
| Subtotal | 11,860 | 10,270 | 11,628 | |||||||||
| Net Gains on Loans | 2,202 | 2,530 | 1,863 | |||||||||
| Net Gains on Securities | 975 | 1,891 | 590 | |||||||||
| Total Non-interest Income | $ | 15,037 | $ | 14,691 | $ | 14,081 | ||||||
Trust and investment product fees increased
Service charges on deposit accounts declined
Insurance revenues increased
Company owned life insurance revenue remained relatively stable during the first quarter of 2021 compared with the fourth quarter of 2020 and declined
Interchange fee income increased
Other operating income increased
Net gains on sales of loans declined
The Company realized
During the quarter ended March 31, 2021, non-interest expense totaled
| Quarter Ended | Quarter Ended | Quarter Ended | ||||||||||
| Non-interest Expense | 3/31/2021 | 12/31/2020 | 3/31/2020 | |||||||||
| (dollars in thousands) | ||||||||||||
| Salaries and Employee Benefits | $ | 17,805 | $ | 17,421 | $ | 17,400 | ||||||
| Occupancy, Furniture and Equipment Expense | 4,348 | 3,600 | 3,581 | |||||||||
| FDIC Premiums | 334 | 291 | — | |||||||||
| Data Processing Fees | 1,743 | 1,747 | 1,686 | |||||||||
| Professional Fees | 1,160 | 957 | 1,084 | |||||||||
| Advertising and Promotion | 782 | 928 | 1,071 | |||||||||
| Intangible Amortization | 760 | 810 | 960 | |||||||||
| Other Operating Expenses | 4,327 | 3,533 | 4,546 | |||||||||
| Total Non-interest Expense | $ | 31,259 | $ | 29,287 | $ | 30,328 | ||||||
Salaries and benefits increased
Occupancy, furniture and equipment expense increased
FDIC premiums increased
Professional fees increased
Advertising and promotion expense declined
Other operating expenses increased
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 73 banking offices in 20 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 | ||||||||||||||
| March 31, 2021 | December 31, 2020 | March 31, 2020 | ||||||||||||
| ASSETS | ||||||||||||||
| Cash and Due from Banks | $ | 102,758 | $ | 57,972 | $ | 48,293 | ||||||||
| Short-term Investments | 291,727 | 289,017 | 43,832 | |||||||||||
| Investment Securities | 1,386,226 | 1,218,205 | 876,140 | |||||||||||
| Loans Held-for-Sale | 18,493 | 16,904 | 15,561 | |||||||||||
| Loans, Net of Unearned Income | 3,117,203 | 3,088,072 | 3,013,733 | |||||||||||
| Allowance for Credit Losses | (45,099 | ) | (46,859 | ) | (36,641 | ) | ||||||||
| Net Loans | 3,072,104 | 3,041,213 | 2,977,092 | |||||||||||
| Stock in FHLB and Other Restricted Stock | 13,048 | 13,168 | 13,968 | |||||||||||
| Premises and Equipment | 92,044 | 96,593 | 96,383 | |||||||||||
| Goodwill and Other Intangible Assets | 130,086 | 130,940 | 132,968 | |||||||||||
| Other Assets | 113,348 | 113,565 | 119,616 | |||||||||||
| TOTAL ASSETS | $ | 5,219,834 | $ | 4,977,577 | $ | 4,323,853 | ||||||||
| LIABILITIES | ||||||||||||||
| Non-interest-bearing Demand Deposits | $ | 1,383,888 | $ | 1,183,442 | $ | 869,847 | ||||||||
| Interest-bearing Demand, Savings, and Money Market Accounts | 2,548,015 | 2,428,636 | 2,008,757 | |||||||||||
| Time Deposits | 446,770 | 494,452 | 599,910 | |||||||||||
| Total Deposits | 4,378,673 | 4,106,530 | 3,478,514 | |||||||||||
| Borrowings | 173,547 | 194,529 | 207,965 | |||||||||||
| Other Liabilities | 50,401 | 51,809 | 53,834 | |||||||||||
| TOTAL LIABILITIES | 4,602,621 | 4,352,868 | 3,740,313 | |||||||||||
| SHAREHOLDERS' EQUITY | ||||||||||||||
| Common Stock and Surplus | 301,216 | 300,887 | 301,400 | |||||||||||
| Retained Earnings | 302,450 | 288,447 | 253,780 | |||||||||||
| Accumulated Other Comprehensive Income | 13,547 | 35,375 | 28,360 | |||||||||||
| SHAREHOLDERS' EQUITY | 617,213 | 624,709 | 583,540 | |||||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 5,219,834 | $ | 4,977,577 | $ | 4,323,853 | ||||||||
| END OF PERIOD SHARES OUTSTANDING | 26,546,280 | 26,502,157 | 26,540,031 | |||||||||||
| TANGIBLE BOOK VALUE PER SHARE (1) | $ | 18.35 | $ | 18.63 | $ | 16.98 | ||||||||
| (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 | |||||||||||||
| March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||||
| INTEREST INCOME | |||||||||||||
| Interest and Fees on Loans | $ | 35,104 | $ | 39,177 | $ | 37,858 | |||||||
| Interest on Short-term Investments | 85 | 95 | 158 | ||||||||||
| Interest and Dividends on Investment Securities | 6,336 | 5,872 | 5,555 | ||||||||||
| TOTAL INTEREST INCOME | 41,525 | 45,144 | 43,571 | ||||||||||
| INTEREST EXPENSE | |||||||||||||
| Interest on Deposits | 1,442 | 1,804 | 5,657 | ||||||||||
| Interest on Borrowings | 1,151 | 1,200 | 1,658 | ||||||||||
| TOTAL INTEREST EXPENSE | 2,593 | 3,004 | 7,315 | ||||||||||
| NET INTEREST INCOME | 38,932 | 42,140 | 36,256 | ||||||||||
| Provision for Credit Losses | (1,500 | ) | 2,000 | 5,150 | |||||||||
| NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES | 40,432 | 40,140 | 31,106 | ||||||||||
| NON-INTEREST INCOME | |||||||||||||
| Net Gain on Sales of Loans | 2,202 | 2,530 | 1,863 | ||||||||||
| Net Gain on Securities | 975 | 1,891 | 590 | ||||||||||
| Other Non-interest Income | 11,860 | 10,270 | 11,628 | ||||||||||
| TOTAL NON-INTEREST INCOME | 15,037 | 14,691 | 14,081 | ||||||||||
| NON-INTEREST EXPENSE | |||||||||||||
| Salaries and Benefits | 17,805 | 17,421 | 17,400 | ||||||||||
| Other Non-interest Expenses | 13,454 | 11,866 | 12,928 | ||||||||||
| TOTAL NON-INTEREST EXPENSE | 31,259 | 29,287 | 30,328 | ||||||||||
| Income before Income Taxes | 24,210 | 25,544 | 14,859 | ||||||||||
| Income Tax Expense | 4,653 | 4,654 | 2,387 | ||||||||||
| NET INCOME | $ | 19,557 | $ | 20,890 | $ | 12,472 | |||||||
| BASIC EARNINGS PER SHARE | $ | 0.74 | $ | 0.79 | $ | 0.47 | |||||||
| DILUTED EARNINGS PER SHARE | $ | 0.74 | $ | 0.79 | $ | 0.47 | |||||||
| WEIGHTED AVERAGE SHARES OUTSTANDING | 26,510,001 | 26,493,323 | 26,663,604 | ||||||||||
| DILUTED WEIGHTED AVERAGE SHARES OUTSTANDING | 26,510,001 | 26,493,323 | 26,663,604 | ||||||||||
| GERMAN AMERICAN BANCORP, INC. | ||||||||||||||
| (unaudited, dollars in thousands except per share data) | ||||||||||||||
| Three Months Ended | ||||||||||||||
| March 31, | December 31, | March 31, | ||||||||||||
| 2021 | 2020 | 2020 | ||||||||||||
| EARNINGS PERFORMANCE RATIOS | ||||||||||||||
| Annualized Return on Average Assets | 1.54 | % | 1.67 | % | 1.15 | % | ||||||||
| Annualized Return on Average Equity | 12.47 | % | 13.65 | % | 8.66 | % | ||||||||
| Annualized Return on Average Tangible Equity (1) | 15.75 | % | 17.38 | % | 11.27 | % | ||||||||
| Net Interest Margin | 3.41 | % | 3.71 | % | 3.74 | % | ||||||||
| Efficiency Ratio (2) | 56.81 | % | 50.62 | % | 59.39 | % | ||||||||
| Net Overhead Expense to Average Earning Assets (3) | 1.37 | % | 1.26 | % | 1.63 | % | ||||||||
| ASSET QUALITY RATIOS | ||||||||||||||
| Annualized Net Charge-offs to Average Loans | 0.03 | % | 0.24 | % | 0.06 | % | ||||||||
| Allowance for Credit Losses to Period End Loans | 1.45 | % | 1.52 | % | 1.22 | % | ||||||||
| Non-performing Assets to Period End Assets | 0.41 | % | 0.44 | % | 0.44 | % | ||||||||
| Non-performing Loans to Period End Loans | 0.67 | % | 0.70 | % | 0.61 | % | ||||||||
| Loans 30-89 Days Past Due to Period End Loans | 0.15 | % | 0.24 | % | 0.71 | % | ||||||||
| SELECTED BALANCE SHEET & OTHER FINANCIAL DATA | ||||||||||||||
| Average Assets | $ | 5,090,369 | $ | 4,989,433 | $ | 4,335,841 | ||||||||
| Average Earning Assets | $ | 4,741,513 | $ | 4,635,809 | $ | 3,975,054 | ||||||||
| Average Total Loans | $ | 3,107,902 | $ | 3,168,529 | $ | 3,059,398 | ||||||||
| Average Demand Deposits | $ | 1,268,409 | $ | 1,211,452 | $ | 847,891 | ||||||||
| Average Interest Bearing Liabilities | $ | 3,141,639 | $ | 3,111,764 | $ | 2,867,779 | ||||||||
| Average Equity | $ | 627,268 | $ | 612,220 | $ | 575,995 | ||||||||
| Period End Non-performing Assets (4) | $ | 21,319 | $ | 21,832 | $ | 19,079 | ||||||||
| Period End Non-performing Loans (5) | $ | 20,994 | $ | 21,507 | $ | 18,454 | ||||||||
| Period End Loans 30-89 Days Past Due (6) | $ | 4,791 | $ | 7,413 | $ | 21,500 | ||||||||
| Tax Equivalent Net Interest Income | $ | 39,983 | $ | 43,161 | $ | 36,984 | ||||||||
| Net Charge-offs during Period | $ | 260 | $ | 1,909 | $ | 440 | ||||||||
| (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 & 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
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