EXHIBIT 99.1
MOLINE, Ill., July 23, 2012 (GLOBE NEWSWIRE) -- QCR Holdings, Inc. (Nasdaq:QCRH) today announced net income attributable to QCR Holdings, Inc. ("net income") of $3.1 million for the quarter ended June 30, 2012, or diluted earnings per common share of $0.44 after preferred stock dividends of $936 thousand. By comparison, for the quarter ended March 31, 2012, the Company reported net income of $3.2 million, or diluted earnings per common share of $0.48 after preferred stock dividends of $939 thousand. For the second quarter of 2011, the Company reported net income of $2.7 million, or diluted earnings per common share of $0.34 after preferred stock dividends of $1.0 million. For the first half of 2012, the Company reported net income of $6.3 million, or diluted earnings per common share of $0.91 after preferred stock dividends of $1.9 million. This is an increase of $1.5 million, or 31%, over the same period of 2011.
"We are pleased with our strong earnings for the second quarter," stated Douglas M. Hultquist, President and Chief Executive Officer. "While we fell just short of first quarter and another record quarter, our overall earnings trend is favorable. Additionally, we believe our performance has been well received by the market as our stock price and market capitalization continued to climb with both increasing more than 7% this quarter. During the first six months of 2012, our stock price and market capitalization are up 44% and 47%, respectively."
Net Interest Income Grew 4% Compared to Second Quarter of 2011
The Company's net interest income for the current quarter totaled $14.5 million, which is a 2% increase over the prior quarter, and an increase of 4% over the second quarter of 2011. Net interest margin was 3.16% for the quarter ended June 30, 2012, which is up from 3.09% for the prior quarter. For the first half of 2012, the Company's net interest income totaled $28.7 million, which is an increase of 10% over the same period of 2011.
Mr. Hultquist added, "Our talented teams of bankers have worked hard to continue the upward trend in net interest income. Part of this growth has been the result of continued diversification of our securities portfolio. As loan and lease growth continues to be modest, we've increased our portfolio of agency-sponsored mortgage-backed securities and municipal securities. Of the latter, the large majority are located in or near our existing markets with strong underwriting conducted before investment. We have extended duration, but only modestly considering the increased yield. On the funding side, our mix of deposits and borrowings was relatively flat from the prior quarter, but we were able to further drive down the cost of funds by 4 basis points. It remains our intention to reduce our reliance on wholesale funding, which tends to be higher cost, and replace it with lower cost core deposits. Over the past several years, we've had significant success with this shift in mix."
Nonperforming Assets Decline 6% from Prior Quarter
Nonperforming assets at June 30, 2012 were $36.5 million, down $2.4 million, or 6%, from the prior quarter, and down $1.4 million, or 4%, from June 30, 2011. Similarly, the ratio of nonperforming assets-to-total assets was 1.78% at June 30, 2012, which was down from 1.95% at March 31, 2012, and down from 2.02% at June 30, 2011. Generally, the large majority of the Company's nonperforming assets consist of nonaccrual loans/leases, accruing troubled debt restructurings ("TDRs"), and other real estate owned. Most of the decline from the prior quarter was the result of charge-offs ($1.7 million) and write-downs of other real estate owned ($389 thousand), while the rest of the decline was due to improved performance on several smaller loans.
Provision for loan/lease losses totaled $1.0 million for the second quarter of 2012, an increase of $268 thousand over the prior quarter, and a decrease of $624 thousand from the second quarter of 2011. With net charge-offs totaling $1.3 million more than offsetting the provision for loan/lease losses of $1.0 million, the Company's allowance for loan/lease losses to total loans/leases declined slightly to 1.54% at June 30, 2012, from 1.57% at March 31, 2012. The Company's allowance for loan/lease losses to total nonperforming loans/leases increased from 62% at March 31, 2012 to 69% at June 30, 2012.
"We are pleased with the declining trend in our nonperforming assets," stated Mr. Hultquist. "Additionally, we continue to see declining trends in our criticized loan portfolio as our criticized loans fell an additional 10% in the current quarter. Trends in our criticized loans typically are leading indicators for the activity in our nonperforming loan portfolio. In recent years, this has held true as our criticized loans have steadily declined and the additions to nonperforming loans have slowed considerably."
Total Assets Exceed $2 Billion
During the second quarter of 2012, the Company's total assets increased $50.4 million, or 3%, to a total of $2.04 billion. This marks the first quarter end in the Company's history that it has exceeded $2.0 billion in total assets. In light of continued weak loan/lease demand, the Company continued to grow its securities portfolio with an increase of $22.4 million, or 4%. The Company's liquid assets (cash, interest-bearing deposits, and federal funds sold) grew $18.9 million, or 30%. Loans/leases grew slightly. This asset growth was funded primarily by federal funds purchased and continued growth of core deposits.
"Although the net loan/lease growth during the second quarter was modest, this marks the fifth consecutive quarter of net loan/lease growth," stated Todd A. Gipple, Executive Vice President, Chief Operating Officer and Chief Financial Officer. "Growth in leases and residential real estate loans outpaced modest declines in our commercial loan portfolio. Our commercial line utilization continues to be at historic lows. And, we are still experiencing higher than average paydowns as the credit appetite for our commercial customers has yet to fully return to pre-recession levels. We continue to place a strong emphasis on growing commercial loans without sacrificing our high standards for quality."
Partial Redemption of SBLF Capital
On June 29, 2012, the Company redeemed $10.2 million of the $40.1 million in preferred stock the Company had previously issued to the United States Department of the Treasury under the Small Business Lending Fund ("SBLF"). Assuming a 5% dividend rate, the redemption will result in a reduction in SBLF preferred dividends of $511 thousand annually, thereby increasing diluted earnings per share by approximately $0.11 on an annual basis. The Company originally received this preferred capital in September of 2011 and only 43% of all banks that made application for SBLF capital received approval for participation in the SBLF Program.
Subsequent to the partial redemption, the Company and its subsidiary banks continue to maintain capital at levels well above the minimum requirements administered by the federal regulatory agencies.
"This initial partial redemption of the SBLF preferred capital is a significant step in our previously stated long-term capital plan," stated Mr. Gipple. "Our plan is to increase our tangible common equity through improved earnings and the future conversion of our Series E Preferred Stock to common equity, while self-generating the excess capital required to fully redeem the SBLF capital in future years without the need for a dilutive common equity raise."
"With a slight decline in overall commercial lending in the second quarter, our qualified small business lending remains short of the baseline; therefore the dividend rate on the remaining SBLF preferred stock remains at 5%," added Mr. Gipple. "Despite the net deficit position and the partial redemption, we are fully committed to continue to support the small businesses in our communities. By leveraging our experienced small business bankers, including our significant participation in the SBA and USDA lending programs, our focus on small business lending remains at the forefront of our relationship-based business model."
Financial highlights for the Company's primary subsidiaries were as follows:
QCR Holdings, Inc., headquartered in Moline, Illinois, is a relationship-driven, multi-bank holding company, which serves the Quad City, Cedar Rapids, and Rockford communities through its wholly owned subsidiary banks. Quad City Bank & Trust Company, which is based in Bettendorf, Iowa, and commenced operations in 1994, Cedar Rapids Bank & Trust Company, which is based in Cedar Rapids, Iowa, and commenced operations in 2001, and Rockford Bank & Trust Company, which is based in Rockford, Illinois, and commenced operations in 2005, provide full-service commercial and consumer banking and trust and asset management services. Quad City Bank & Trust Company also engages in commercial leasing through its 80% owned subsidiary, m2 Lease Funds, LLC, based in Milwaukee, Wisconsin.
Special Note Concerning Forward-Looking Statements. This document contains, and future oral and written statements of the Company and its management may contain, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations, plans, objectives, future performance and business of the Company. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of the Company's management and on information currently available to management, are generally identifiable by the use of words such as "believe," "expect," "anticipate," "predict," "suggest," "appear," "plan," "intend," "estimate," "annualize," "may," "will," "would," "could," "should" or other similar expressions. Additionally, all statements in this document, including forward-looking statements, speak only as of the date they are made, and the Company undertakes no obligation to update any statement in light of new information or future events.
A number of factors, many of which are beyond the ability of the Company to control or predict, could cause actual results to differ materially from those in its forward-looking statements. These factors include, among others, the following: (i) the strength of the local and national economy; (ii) the economic impact of any future terrorist threats and attacks, and the response of the United States to any such threats and attacks; (iii) changes in state and federal laws, regulations and governmental policies concerning the Company's general business, including the Dodd-Frank Wall Street Reform and Consumer Protection Act and the regulations to be issued thereunder; (iv) changes in interest rates and prepayment rates of the Company's assets; (v) increased competition in the financial services sector and the inability to attract new customers; (vi) changes in technology and the ability to develop and maintain secure and reliable electronic systems; (vii) the loss of key executives or employees; (viii) changes in consumer spending; (ix) unexpected outcomes of existing or new litigation involving the Company; and (x) changes in accounting policies and practices. These risks and uncertainties should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. Additional information concerning the Company and its business, including additional factors that could materially affect the Company's financial results, is included in the Company's filings with the Securities and Exchange Commission.
| QCR HOLDINGS, INC. CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited) | ||||||||||||||||
| As of | ||||||||||||||||
| June 30, | March 31, | December 31, | June 30, | |||||||||||||
| 2012 | 2012 | 2011 | 2011 | |||||||||||||
| (dollars in thousands, except share data) | ||||||||||||||||
| CONDENSED BALANCE SHEET | Amount | % | Amount | % | Amount | % | Amount | % | ||||||||
| Cash, federal funds sold, and interest-bearing deposits | $ 83,717 | 4% | $ 64,728 | 3% | $ 100,673 | 5% | $ 80,374 | 4% | ||||||||
| Securities | 638,838 | 31% | 616,391 | 31% | 565,229 | 29% | 513,905 | 27% | ||||||||
| Net loans/leases | 1,194,579 | 58% | 1,192,723 | 60% | 1,181,956 | 60% | 1,164,091 | 62% | ||||||||
| Other assets | 126,292 | 7% | 119,156 | 6% | 118,752 | 6% | 120,118 | 7% | ||||||||
| Total assets | $ 2,043,426 | 100% | $ 1,992,998 | 100% | $ 1,966,610 | 100% | $ 1,878,488 | 100% | ||||||||
| Total deposits | $ 1,315,470 | 64% | $ 1,296,749 | 65% | $ 1,205,458 | 61% | $ 1,214,314 | 65% | ||||||||
| Total borrowings | 563,470 | 28% | 525,970 | 26% | 590,603 | 30% | 504,146 | 27% | ||||||||
| Other liabilities | 25,164 | 1% | 24,512 | 1% | 26,116 | 1% | 22,703 | 1% | ||||||||
| Total stockholders' equity | 139,322 | 7% | 145,767 | 8% | 144,433 | 8% | 137,325 | 7% | ||||||||
| Total liabilities and stockholders' equity | $ 2,043,426 | 100% | $ 1,992,998 | 100% | $ 1,966,610 | 100% | $ 1,878,488 | 100% | ||||||||
| SELECTED INFORMATION FOR COMMON STOCKHOLDERS' EQUITY | ||||||||||||||||
| Common stockholders' equity * | $ 86,158 | $ 82,381 | $ 81,047 | $ 73,025 | ||||||||||||
| Common shares outstanding | 4,847,061 | 4,823,426 | 4,758,189 | 4,734,259 | ||||||||||||
| Book value per common share ** | $ 17.28 | $ 16.62 | $ 16.60 | $ 15.03 | ||||||||||||
| Tangible book value per common share ** | $ 16.60 | $ 15.94 | $ 15.92 | $ 14.34 | ||||||||||||
| Closing stock price | $ 13.10 | $ 12.20 | $ 9.10 | $ 8.92 | ||||||||||||
| Market capitalization | $ 63,496 | $ 58,846 | $ 43,300 | $ 42,230 | ||||||||||||
| Market price / book value | 75.82% | 73.41% | 54.81% | 59.33% | ||||||||||||
| Market price / tangible book value | 78.89% | 76.52% | 57.18% | 62.19% | ||||||||||||
| Tangible common equity *** / total tangible assets | 3.94% | 3.86% | 3.85% | 3.62% | ||||||||||||
| REGULATORY CAPITAL RATIOS: | ||||||||||||||||
| Total risk-based capital ratio | 13.00% | **** | 13.87% | 13.84% | 13.87% | |||||||||||
| Tier 1 risk-based capital ratio | 11.40% | **** | 12.27% | 12.24% | 12.28% | |||||||||||
| Tier 1 leverage capital ratio | 8.20% | **** | 8.60% | 8.70% | 8.80% | |||||||||||
| * Includes noncontrolling interests and accumulated other comprehensive income | ||||||||||||||||
| **Includes accumulated other comprehensive income and excludes noncontrolling interests | ||||||||||||||||
| ***Tangible common equity is defined as total common stockholders' equity excluding equity of noncontrolling interests and excluding goodwill and other intangibles. | ||||||||||||||||
| This ratio is a non-GAAP financial measure. | ||||||||||||||||
| ****Subject to change upon final calculation for regulatory filings due after earnings release | ||||||||||||||||
| QCR HOLDINGS, INC. CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited) | ||||||||
| As of | ||||||||
| June 30, | March 31, | December 31, | June 30, | |||||
| 2012 | 2012 | 2011 | 2011 | |||||
| (dollars in thousands) | ||||||||
| ANALYSIS OF LOAN DATA | Amount | % | Amount | % | Amount | % | Amount | % |
| Nonaccrual loans/leases | $ 16,247 | 45% | $ 19,013 | 49% | $ 18,995 | 47% | $ 23,295 | 62% |
| Accruing loans/leases past due 90 days or more | 1,152 | 3% | 721 | 2% | 1,111 | 3% | 358 | 1% |
| Troubled debt restructures - accruing | 9,897 | 27% | 10,868 | 28% | 11,904 | 29% | 3,592 | 9% |
| Other real estate owned | 9,136 | 25% | 8,172 | 21% | 8,386 | 21% | 10,430 | 27% |
| Other repossessed assets | 25 | 0% | 125 | 0% | 109 | 0% | 194 | 1% |
| Total nonperforming assets | $ 36,457 | 100% | $ 38,899 | 100% | $ 40,505 | 100% | $ 37,869 | 100% |
| Net charge-offs (calendar year-to-date) | $ 1,894 | $ 563 | $ 8,192 | $ 3,302 | ||||
| Loan/lease mix: | ||||||||
| Commercial and industrial loans | $ 350,780 | 29% | $ 352,749 | 29% | $ 350,794 | 29% | $ 368,565 | 31% |
| Commercial real estate loans | 576,287 | 47% | 580,946 | 48% | 577,804 | 48% | 559,777 | 47% |
| Direct financing leases | 98,568 | 8% | 96,314 | 8% | 93,212 | 8% | 85,564 | 7% |
| Residential real estate loans | 107,450 | 9% | 103,528 | 9% | 98,107 | 8% | 86,059 | 8% |
| Installment and other consumer loans | 77,417 | 7% | 75,546 | 6% | 78,223 | 7% | 81,858 | 7% |
| Deferred loan/lease origination costs, net of fees | 2,802 | 0% | 2,647 | 0% | 2,605 | 0% | 2,071 | 0% |
| Total loans/leases | $ 1,213,304 | 100% | $ 1,211,730 | 100% | $ 1,200,745 | 100% | $ 1,183,894 | 100% |
| Less allowance for estimated losses on loans/leases | 18,725 | 19,007 | 18,789 | 19,803 | ||||
| Net loans/leases | $ 1,194,579 | $ 1,192,723 | $ 1,181,956 | $ 1,164,091 | ||||
| ANALYSIS OF SECURITIES DATA | ||||||||
| Securities mix: | ||||||||
| U.S. government sponsored agency securities | $ 389,600 | 61% | $ 432,169 | 70% | $ 428,955 | 76% | $ 403,766 | 79% |
| Residential mortgage-backed and related securities | 165,827 | 26% | 128,533 | 21% | 108,854 | 19% | 82,038 | 16% |
| Municipal securities | 81,072 | 13% | 53,813 | 9% | 25,689 | 5% | 26,200 | 5% |
| Other securities, including held-to-maturity | 2,339 | 0% | 1,876 | 0% | 1,731 | 0% | 1,901 | 0% |
| Total securities | $ 638,838 | 100% | $ 616,391 | 100% | $ 565,229 | 100% | $ 513,905 | 100% |
| ANALYSIS OF DEPOSIT DATA | ||||||||
| Deposit mix: | ||||||||
| Noninterest-bearing demand deposits | $ 390,762 | 30% | $ 385,806 | 30% | $ 357,184 | 30% | $ 297,197 | 24% |
| Interest-bearing demand deposits | 555,804 | 42% | 561,048 | 43% | 510,788 | 42% | 538,869 | 44% |
| Time deposits | 316,445 | 24% | 297,737 | 23% | 292,575 | 24% | 322,466 | 27% |
| Brokered time deposits | 52,459 | 4% | 52,157 | 4% | 44,911 | 4% | 55,782 | 5% |
| Total deposits | $ 1,315,470 | 100% | $ 1,296,748 | 100% | $ 1,205,458 | 100% | $ 1,214,314 | 100% |
| ANALYSIS OF BORROWINGS DATA | ||||||||
| Borrowings mix: | ||||||||
| FHLB advances | $ 203,750 | 37% | $ 203,750 | 39% | $ 204,750 | 35% | $ 204,750 | 41% |
| Wholesale structured repurchase agreements | 130,000 | 23% | 130,000 | 25% | 130,000 | 22% | 135,000 | 27% |
| Customer repurchase agreements | 105,249 | 19% | 107,910 | 20% | 110,236 | 19% | 93,065 | 18% |
| Federal funds purchased | 80,150 | 14% | 41,990 | 8% | 103,300 | 17% | 29,330 | 6% |
| Junior subordinated debentures | 36,085 | 6% | 36,085 | 7% | 36,085 | 6% | 36,085 | 7% |
| Other | 8,236 | 1% | 6,235 | 1% | 6,232 | 1% | 5,916 | 1% |
| Total borrowings | $ 563,470 | 100% | $ 525,970 | 100% | $ 590,603 | 100% | $ 504,146 | 100% |
| QCR HOLDINGS, INC. CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited) | ||||||||||||
| For the Quarter Ended | For the Six Months Ended | |||||||||||
| June 30, | March 31, | June 30, | June 30, | June 30, | ||||||||
| 2012 | 2012 | 2011 | 2012 | 2011 | ||||||||
| (dollars in thousands, except per share data) | ||||||||||||
| CONDENSED INCOME STATEMENT | ||||||||||||
| Interest income | $ 19,534 | $ 19,373 | $ 19,862 | $ 38,908 | $ 38,513 | |||||||
| Interest expense | 5,019 | 5,170 | 5,911 | 10,189 | 12,353 | |||||||
| Net interest income | 14,515 | 14,203 | 13,951 | 28,719 | 26,160 | |||||||
| Provision for loan/lease losses | 1,048 | 780 | 1,672 | 1,829 | 2,740 | |||||||
| Net interest income after provision for loan/lease losses | 13,467 | 13,423 | 12,279 | 26,890 | 23,420 | |||||||
| Noninterest income | 4,067 | 3,957 | 4,173 | 8,024 | 9,230 | |||||||
| Noninterest expense | 13,109 | 12,738 | 12,556 | 25,847 | 25,568 | |||||||
| Net income before taxes | 4,425 | 4,642 | 3,896 | 9,067 | 7,082 | |||||||
| Income tax expense | 1,152 | 1,239 | 1,123 | 2,391 | 2,078 | |||||||
| Net income | $ 3,273 | $ 3,403 | $ 2,773 | $ 6,676 | $ 5,004 | |||||||
| Less: Net income attributable to noncontrolling interests | 201 | 166 | 98 | 367 | 204 | |||||||
| Net income attributable to QCR Holdings, Inc. | $ 3,072 | $ 3,237 | $ 2,675 | $ 6,309 | $ 4,800 | |||||||
| Less: Preferred stock dividends | 936 | 939 | 1,036 | 1,874 | 2,068 | |||||||
| Net income attributable to QCR Holdings, Inc. common stockholders | $ 2,136 | $ 2,298 | $ 1,639 | $ 4,435 | $ 2,732 | |||||||
| Earnings per share attributable to QCR Holdings, Inc.: | ||||||||||||
| Basic | $ 0.44 | $ 0.48 | $ 0.34 | $ 0.92 | $ 0.57 | |||||||
| Diluted | $ 0.44 | $ 0.48 | $ 0.34 | $ 0.91 | $ 0.57 | |||||||
| Earnings per common share (basic) attributable to QCR Holdings, Inc. LTM * | $ 1.28 | $ 1.18 | $ 0.90 | |||||||||
| Weighted average common shares outstanding | 4,835,773 | 4,800,407 | 4,847,740 | 4,818,090 | 4,759,728 | |||||||
| Weighted average common and common equivalent shares outstanding | 4,901,853 | 4,833,399 | 4,873,978 | 4,867,628 | 4,778,848 | |||||||
| AVERAGE BALANCES | ||||||||||||
| Assets | $ 2,005,624 | $ 2,004,742 | $ 1,882,252 | $ 2,005,183 | $ 1,887,053 | |||||||
| Loans/leases | $ 1,211,595 | $ 1,198,047 | $ 1,204,865 | $ 1,204,821 | $ 1,189,390 | |||||||
| Deposits | $ 1,278,478 | $ 1,277,057 | $ 1,170,682 | $ 1,277,041 | $ 1,161,839 | |||||||
| Total stockholders' equity | $ 143,941 | $ 143,823 | $ 134,543 | $ 143,882 | $ 132,920 | |||||||
| Common stockholders' equity | $ 84,270 | $ 81,714 | $ 71,827 | $ 83,603 | $ 71,691 | |||||||
| KEY PERFORMANCE RATIOS | ||||||||||||
| Return on average assets (annualized) | 0.61% | 0.65% | 0.57% | 0.63% | 0.51% | |||||||
| Return on average common equity (annualized) ** | 10.14% | 11.25% | 9.13% | 10.61% | 7.62% | |||||||
| Price earnings ratio LTM * | 10.23 | x | 10.34 | x | 9.91 | x | 10.23 | x | 9.91 | x | ||
| Net interest margin (TEY) | 3.16% | 3.09% | 3.21% | 3.13% | 2.99% | |||||||
| Nonperforming assets / total assets | 1.78% | 1.95% | 2.02% | 1.78% | 2.02% | |||||||
| Net charge-offs / average loans/leases | 0.11% | 0.05% | 0.22% | 0.16% | 0.28% | |||||||
| Allowance / total loans/leases | 1.54% | 1.57% | 1.67% | 1.54% | 1.67% | |||||||
| Efficiency ratio | 70.55% | 70.14% | 69.28% | 70.35% | 72.25% | |||||||
| Full-time equivalent employees *** | 359 | 349 | 352 | 359 | 352 | |||||||
| * | LTM: Last twelve months | |||||||||||
| ** | The numerator for this ratio is "Net income attributable to QCR Holdings, Inc. common stockholders" | |||||||||||
| *** | During the second quarter of 2012, the Company added 7 summer interns. These positions have defined terms that are typically less than 6 months. | |||||||||||
| QCR HOLDINGS, INC. CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited) | ||||||||||
| ANALYSIS OF NET INTEREST INCOME AND MARGIN | ||||||||||
| For the Quarter Ended | ||||||||||
| June 30, 2012 | March 31, 2012 | June 30, 2011 | ||||||||
| Average Balance | Interest Earned or Paid | Average Yield or Cost | Average Balance | Interest Earned or Paid | Average Yield or Cost | Average Balance | Interest Earned or Paid | Average Yield or Cost | ||
| (dollars in thousands) | ||||||||||
| Securities * | $ 615,089 | $ 3,569 | 2.33% | $ 576,530 | $ 3,391 | 2.37% | $ 503,583 | $ 3,209 | 2.55% | |
| Loans | 1,211,595 | 15,973 | 5.30% | 1,198,047 | 15,971 | 5.36% | 1,170,682 | 16,516 | 5.64% | |
| Other | 51,760 | 257 | 2.00% | 99,647 | 201 | 0.81% | 80,383 | 265 | 1.32% | |
| Total earning assets | $ 1,878,444 | $ 19,799 | 4.24% | $ 1,874,224 | $ 19,563 | 4.20% | $ 1,754,648 | $ 19,990 | 4.56% | |
| Deposits | $ 887,003 | $ 1,630 | 0.74% | $ 887,036 | $ 1,716 | 0.78% | $ 903,710 | $ 2,322 | 1.03% | |
| Borrowings | 557,874 | 3,389 | 2.44% | 557,101 | 3,454 | 2.49% | 518,713 | 3,589 | 2.77% | |
| Total interest-bearing liabilities | $ 1,444,877 | 5,019 | 1.40% | $ 1,444,137 | 5,170 | 1.44% | $ 1,422,423 | 5,911 | 1.66% | |
| Net interest income / spread | $ 14,780 | 2.84% | $ 14,393 | 2.76% | $ 14,079 | 2.90% | ||||
| Net interest margin | 3.16% | 3.09% | 3.21% | |||||||
| For the Six Months Ended | ||||||||||
| June 30, 2012 | June 30, 2011 | |||||||||
| Average Balance | Interest Earned or Paid | Average Yield or Cost | Average Balance | Interest Earned or Paid | Average Yield or Cost | |||||
| (dollars in thousands) | ||||||||||
| Securities * | $ 595,810 | $ 6,959 | 2.35% | $ 475,467 | $ 5,903 | 2.48% | ||||
| Loans | 1,204,821 | 31,944 | 5.33% | 1,161,839 | 32,251 | 5.55% | ||||
| Other | 75,704 | 459 | 1.22% | 128,227 | 605 | 0.94% | ||||
| Total earning assets | $ 1,876,335 | $ 39,362 | 4.22% | $ 1,765,533 | $ 38,759 | 4.39% | ||||
| Deposits | $ 887,020 | $ 3,345 | 0.76% | $ 892,170 | $ 4,747 | 1.06% | ||||
| Borrowings | 557,488 | 6,844 | 2.47% | 536,910 | 7,606 | 2.83% | ||||
| Total interest-bearing liabilities | $ 1,444,508 | 10,189 | 1.42% | $ 1,429,080 | 12,353 | 1.73% | ||||
| Net interest income / spread | $ 29,173 | 2.80% | $ 26,406 | 2.66% | ||||||
| Net interest margin | 3.13% | 2.99% | ||||||||
| * Includes nontaxable securities. Interest earned and yields on nontaxable securities are determined on a tax equivalent basis using 34% tax rate for each period presented. | ||||||||||
| QCR HOLDINGS, INC. CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited) | |||||
| For the Quarter Ended | For the Six Months Ended | ||||
| ANALYSIS OF NONINTEREST INCOME | June 30, 2012 | March 31, 2012 | June 30, 2011 | June 30, 2012 | June 30, 2011 |
| (dollars in thousands) | |||||
| Trust department fees | $ 852 | $ 884 | $ 895 | $ 1,736 | $ 1,846 |
| Investment advisory and management fees | 679 | 521 | 550 | 1,201 | 1,081 |
| Deposit service fees | 733 | 814 | 857 | 1,637 | 1,730 |
| Gain on sales of loans, net | 882 | 399 | 755 | 1,281 | 1,515 |
| Securities gains | 105 | -- | 149 | 105 | 1,029 |
| Losses on sales of other real estate owned, net | (389) | (189) | (108) | (579) | (133) |
| Earnings on cash surrender value of life insurance | 359 | 438 | 357 | 797 | 701 |
| Credit card fees, net of processing costs | 142 | 127 | 77 | 269 | 218 |
| Other | 704 | 963 | 641 | 1,577 | 1,243 |
| Total noninterest income | $ 4,067 | $ 3,957 | $ 4,173 | $ 8,024 | $ 9,230 |
| ANALYSIS OF NONINTEREST EXPENSE | |||||
| Salaries and employee benefits | $ 8,256 | $ 8,125 | $ 7,356 | $ 16,381 | $ 14,830 |
| Occupancy and equipment expense | 1,365 | 1,352 | 1,368 | 2,717 | 2,657 |
| Professional and data processing fees | 1,127 | 1,150 | 1,137 | 2,277 | 2,262 |
| FDIC and other insurance | 576 | 581 | 688 | 1,157 | 1,571 |
| Loan/lease expense | 263 | 219 | 656 | 482 | 932 |
| Advertising and marketing | 344 | 276 | 334 | 620 | 558 |
| Postage and telephone | 237 | 288 | 232 | 525 | 462 |
| Stationery and supplies | 135 | 143 | 124 | 278 | 259 |
| Bank service charges | 199 | 200 | 177 | 399 | 338 |
| Prepayment fees on Federal Home Loan Bank advances | -- | -- | -- | -- | 832 |
| Other-than-temporary-impairment losses on securities | 62 | -- | 119 | 62 | 119 |
| Other | 545 | 404 | 365 | 949 | 748 |
| Total noninterest expense | $ 13,109 | $ 12,738 | $ 12,556 | $ 25,847 | $ 25,568 |
CONTACT: Todd A. Gipple
Executive Vice President
Chief Operating Officer
Chief Financial Officer
(309) 743-7745