EXHIBIT 99.1
MOLINE, Ill., Jan. 28, 2013 (GLOBE NEWSWIRE) -- QCR Holdings, Inc. (Nasdaq:QCRH) today announced net income attributable to QCR Holdings, Inc. ("net income") of $3.3 million for the quarter ended December 31, 2012, or diluted earnings per common share of $0.49 after preferred stock dividends of $811 thousand. By comparison, for the quarter ended September 30, 2012, the Company reported net income of $3.1 million, or diluted earnings per common share of $0.44 after preferred stock dividends of $811 thousand. For the fourth quarter of 2011, the Company reported net income of $2.7 million, or diluted earnings per common share of $0.35 after preferred stock dividends of $1.0 million.
Annual Earnings Up 30%, and Diluted Earnings Per Share Doubled
For the year ended December 31, 2012, the Company reported net income of $12.6 million, or diluted earnings per common share of $1.85 after preferred stock dividends of $3.5 million. For the same period in 2011, the Company reported net income of $9.7 million, or diluted earnings per common share of $0.92 after preferred stock dividends of $5.3 million. The 2011 dividends included a one-time deemed dividend of $1.2 million as a result of the Company's repurchase of all of the preferred shares issued to the U.S. Treasury under the Troubled Asset Relief Program ("TARP").
"We are pleased with our record earnings for the fourth quarter and the year," stated Douglas M. Hultquist, President and Chief Executive Officer. "This marks two consecutive years of record earnings which is commendable considering the challenging economic and regulatory environment. The favorable earnings trends clearly indicate that our relationship-based banking model continues to be successful."
Net Interest Income Grew 6% in 2012
The Company's net interest income for 2012 totaled $57.6 million, which is an increase of $3.5 million, or 6%, over 2011. Net interest margin expanded to 3.10% for 2012 from 3.08% for 2011. For the fourth quarter of 2012, net interest income totaled $14.3 million, which is a 2% decline from the prior quarter, and an increase of 1% over the fourth quarter of 2011. Net interest margin was 3.02% for the quarter ended December 31, 2012, which fell from the prior quarter (3.16%) and from the fourth quarter of 2011 (3.18%). The margin compression in the fourth quarter is the result of declining yields on new and renewed loans and securities reinvested more than offsetting the declining trend in funding costs. In addition, the Company carried elevated levels of liquidity in anticipation of loan growth which occurred towards the end of the quarter.
Mr. Hultquist added, "The margin compression in the current quarter is the direct result of the sustained historically low interest rate environment and its impact on our loan and securities portfolios. We continue to diversify our securities portfolio, but the effect of declining yields more than offset the effect of our change in mix in the fourth quarter. Further, the increased competition on pricing of new and renewed loans has driven yields lower. We have also increased our portfolio of variable rate loans, partly through execution of interest rate swaps whereby the customer pays a fixed interest rate and we receive a variable interest rate as well as an upfront fee. We believe the increased portfolio of variable rate loans helps position us more favorably for rising rate environments."
"We fully recognize the importance of net interest income and margin and the challenge facing the industry with the current economic and competitive landscape. We will continue to focus on diversifying our securities portfolio and shifting the mix of our funding from higher cost wholesale borrowings to lower cost core deposits, while growing quality loans and leases. It is more important than ever to focus on our relationship-based banking model and ensure that success continues to translate over to the pricing of loans and deposits."
Nonperforming Assets Grew Slightly with Favorable Shift in Mix
Nonperforming assets at December 31, 2012 were $29.6 million, up $496 thousand, or 2%, from the prior quarter, and down $10.9 million, or 27%, from December 31, 2011. In addition, the ratio of nonperforming assets-to-total assets was 1.41% at December 31, 2012, which was down from 1.44% at September 30, 2012, and down from 2.06% at December 31, 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 ("OREO"). Accruing TDRs grew $1.3 million, or 21%, during the fourth quarter of 2012 as several problem loans were restructured. Partially offsetting the increase in accruing TDRs, OREO declined $1.0 million, or 21%, as the Company sold several properties.
Provision for loan/lease losses totaled $1.0 million for the fourth quarter of 2012, a decline of $450 thousand over the prior quarter, and a decline of $373 thousand from the fourth quarter of 2011. With the provision of $1.0 million more than offsetting the net charge-offs totaling $537 thousand, the Company's allowance for loan/lease losses grew to $19.9 million at December 31, 2012. With loan/lease growth of $43.1 million during the fourth quarter of 2012, the Company's allowance for loans/lease losses to total loans/leases was relatively flat at 1.55%. Further, the Company's allowance for loan/lease losses to total nonperforming loans/leases was 78% at December 31, 2012 which is down from 81% at September 30, 2012 and up from 61% at December 31, 2011.
"Although we experienced a slight increase in nonperforming assets during the current quarter, the shift in mix from OREO to accruing TDRs is favorable as the latter are performing on the restructured terms and accruing interest income," stated Mr. Hultquist. "Overall, we are pleased with the declining trend in nonperforming assets over the past several years. Our strong commitment to improving our asset quality continues to drive these results."
Loans/Leases Grew $43.1 Million, or 3%, during Current Quarter
Noninterest-Bearing Deposits Grew $33.4 Million, or 8%, during Current Quarter
During the fourth quarter of 2012, the Company's total assets grew $69.8 million, or 3%, to a total of $2.09 billion. Loans/leases grew $43.1 million, or 3%, during the current quarter, which was funded primarily by deposit growth ($30.9 million) and federal funds purchased ($39.5 million). The majority of the deposit growth continues to be noninterest-bearing deposits which now comprise 33% of the Company's total deposits.
"We are pleased with our continued growth in loans and leases during the fourth quarter," stated Todd A. Gipple, Executive Vice President, Chief Operating Officer, and Chief Financial Officer. "Importantly, we've grown loans/leases by $74.1 million, or 6%, over the second half of 2012 with most of this growth in commercial and industrial loans. Our talented commercial bankers understand the importance of quality loan growth and are committed to continue this growth and support of the businesses within our communities."
"On the funding side, we are pleased with our significant growth in deposits over the past several years," stated Mr. Gipple. "And, we are also pleased with the shift in mix within our deposit portfolio. Specifically, since the end of 2010, we have grown our noninterest-bearing deposits $173.8 million, or 63%, while our reliance on brokered and other time deposits fell $41.1 million, or 11%. Further, we remain committed to reducing our reliance on wholesale funding. We continually evaluate potential opportunities to prepay these liabilities, as we have executed successfully in the past."
Capital Levels Remain Strong
As of December 31, 2012, the Company and subsidiary banks continued to maintain capital at levels well above the minimum requirements administered by the federal regulatory agencies.
"We are committed to maintaining our strong regulatory capital positions," stated Mr. Gipple. "Even with the significant loan and deposit growth during the second half of 2012, our regulatory capital ratios are still well in excess of those levels required to be considered 'well-capitalized'. Additionally, we remain strongly committed to our long-term capital plan of self-generating the capital necessary to grow tangible common equity and to redeem the remaining Small Business Lending Fund ("SBLF") preferred capital without a dilutive common equity raise. We successfully executed on this plan in 2012. Specifically, our record earnings in 2011 and 2012 led to the partial redemption of $10.2 million of the SBLF preferred stock in the second quarter of 2012 and has positioned us for future redemptions. In addition, our tangible common equity has grown from 3.56% of total tangible assets at December 31, 2010 to 3.85% at December 31, 2011 and to 4.02% at December 31, 2012. With the future conversion of the Series E Preferred Stock to common stock, which is possible after June 30, 2013, and assuming we achieve the requirements to force conversion, our tangible common equity would increase to 5.25% of total tangible assets on a proforma basis."
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 wholly 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 | ||||||
| December 31, 2012 | September 30, 2012 | December 31, 2011 | ||||
| (dollars in thousands, except share data) | ||||||
| CONDENSED BALANCE SHEET | Amount | % | Amount | % | Amount | % |
| Cash, federal funds sold, and interest-bearing deposits | $ 110,488 | 5% | $ 95,727 | 5% | $ 100,673 | 5% |
| Securities | 602,239 | 29% | 591,351 | 29% | 565,229 | 29% |
| Net loans/leases | 1,267,462 | 61% | 1,224,875 | 61% | 1,181,956 | 60% |
| Goodwill | 3,223 | 0% | 3,223 | 0% | 3,223 | 0% |
| Other assets | 110,318 | 5% | 108,770 | 5% | 115,529 | 6% |
| Total assets | $ 2,093,730 | 100% | $ 2,023,946 | 100% | $ 1,966,610 | 100% |
| Total deposits | $ 1,374,114 | 66% | $ 1,343,235 | 66% | $ 1,205,458 | 61% |
| Total borrowings | 547,758 | 26% | 511,561 | 25% | 590,603 | 30% |
| Other liabilities | 31,424 | 1% | 30,029 | 2% | 26,116 | 1% |
| Total stockholders' equity | 140,434 | 7% | 139,121 | 7% | 144,433 | 8% |
| Total liabilities and stockholders' equity | $ 2,093,730 | 100% | $ 2,023,946 | 100% | $ 1,966,610 | 100% |
| SELECTED INFORMATION FOR COMMON STOCKHOLDERS' EQUITY | ||||||
| Common stockholders' equity * | $ 87,271 | $ 85,958 | $ 81,047 | |||
| Common shares outstanding | 4,918,202 | 4,862,778 | 4,758,189 | |||
| Book value per common share ** | $ 17.74 | $ 17.65 | $ 16.60 | |||
| Tangible book value per common share ** | $ 17.08 | $ 16.98 | $ 15.92 | |||
| Closing stock price | $ 13.22 | $ 14.98 | $ 9.10 | |||
| Market capitalization | $ 65,019 | $ 72,844 | $ 43,300 | |||
| Market price / book value | 74.50% | 84.89% | 54.81% | |||
| Market price / tangible book value | 77.39% | 88.24% | 57.18% | |||
| Tangible common equity *** / total tangible assets | 4.02% | 4.09% | 3.85% | |||
| REGULATORY CAPITAL RATIOS: | ||||||
| Total risk-based capital ratio | 12.66% | **** | 12.98% | 13.84% | ||
| Tier 1 risk-based capital ratio | 11.16% | **** | 11.52% | 12.24% | ||
| Tier 1 leverage capital ratio | 8.13% | **** | 8.12% | 8.70% | ||
| * 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. The Company's management believes that this measure is important to many investors in the marketplace who are interested in changes period to period in common equity exclusive of changes in intangible assets. | ||||||
| ****Subject to change upon final calculation for regulatory filings due after earnings release | ||||||
| QCR HOLDINGS, INC. | ||||||
| CONSOLIDATED FINANCIAL HIGHLIGHTS | ||||||
| (Unaudited) | ||||||
| As of | ||||||
| December 31, 2012 | September 30, 2012 | December 31, 2011 | ||||
| (dollars in thousands) | ||||||
| ANALYSIS OF LOAN DATA | Amount | % | Amount | % | Amount | % |
| Nonaccrual loans/leases | $ 17,932 | 60% | $ 17,731 | 61% | $ 18,995 | 47% |
| Accruing loans/leases past due 90 days or more | 159 | 1% | 203 | 1% | 1,111 | 3% |
| Troubled debt restructures - accruing | 7,300 | 25% | 6,009 | 21% | 11,904 | 29% |
| Other real estate owned | 3,955 | 13% | 5,003 | 17% | 8,386 | 21% |
| Other repossessed assets | 212 | 1% | 116 | 0% | 109 | 0% |
| Total nonperforming assets | $ 29,558 | 100% | $ 29,062 | 100% | $ 40,505 | 100% |
| Net charge-offs (calendar year-to-date) | $ 3,235 | $ 2,698 | $ 8,192 | |||
| Loan/lease mix: | ||||||
| Commercial and industrial loans | $ 394,244 | 31% | $ 355,004 | 29% | $ 350,794 | 29% |
| Commercial real estate loans | 593,979 | 46% | 594,904 | 48% | 577,804 | 48% |
| Direct financing leases | 103,686 | 8% | 102,039 | 8% | 93,212 | 8% |
| Residential real estate loans | 115,582 | 9% | 112,492 | 9% | 98,107 | 8% |
| Installment and other consumer loans | 76,720 | 6% | 76,838 | 6% | 78,223 | 7% |
| Deferred loan/lease origination costs, net of fees | 3,176 | 0% | 3,015 | 0% | 2,605 | 0% |
| Total loans/leases | $ 1,287,387 | 100% | $ 1,244,292 | 100% | $ 1,200,745 | 100% |
| Less allowance for estimated losses on loans/leases | 19,925 | 19,417 | 18,789 | |||
| Net loans/leases | $ 1,267,462 | $ 1,224,875 | $ 1,181,956 | |||
| ANALYSIS OF SECURITIES DATA | ||||||
| Securities mix: | ||||||
| U.S. government sponsored agency securities | $ 338,609 | 57% | $ 343,244 | 59% | $ 428,955 | 76% |
| Residential mortgage-backed and related securities | 163,601 | 27% | 155,691 | 26% | 108,854 | 19% |
| Municipal securities | 97,615 | 16% | 90,032 | 15% | 25,689 | 5% |
| Other securities, including held-to-maturity | 2,414 | 0% | 2,384 | 0% | 1,731 | 0% |
| Total securities | $ 602,239 | 100% | $ 591,351 | 100% | $ 565,229 | 100% |
| ANALYSIS OF DEPOSIT DATA | ||||||
| Deposit mix: | ||||||
| Noninterest-bearing demand deposits | $ 450,660 | 33% | $ 417,284 | 31% | $ 357,184 | 30% |
| Interest-bearing demand deposits | 587,201 | 43% | 567,578 | 42% | 510,788 | 42% |
| Time deposits | 290,933 | 21% | 308,083 | 23% | 292,575 | 24% |
| Brokered time deposits | 45,320 | 3% | 50,290 | 4% | 44,911 | 4% |
| Total deposits | $ 1,374,114 | 100% | $ 1,343,235 | 100% | $ 1,205,458 | 100% |
| ANALYSIS OF BORROWINGS DATA | ||||||
| Borrowings mix: | ||||||
| FHLB advances | $ 202,350 | 37% | $ 196,350 | 38% | $ 204,750 | 35% |
| Wholesale structured repurchase agreements | 130,000 | 24% | 130,000 | 25% | 130,000 | 22% |
| Customer repurchase agreements | 104,943 | 19% | 114,248 | 22% | 110,236 | 19% |
| Federal funds purchased | 66,140 | 12% | 26,640 | 6% | 103,300 | 17% |
| Junior subordinated debentures | 36,085 | 7% | 36,085 | 7% | 36,085 | 6% |
| Other | 8,240 | 1% | 8,238 | 2% | 6,232 | 1% |
| Total borrowings | $ 547,758 | 100% | $ 511,561 | 100% | $ 590,603 | 100% |
| QCR HOLDINGS, INC. | |||||
| CONSOLIDATED FINANCIAL HIGHLIGHTS | |||||
| (Unaudited) | |||||
| For the Quarter Ended | For the Year Ended | ||||
| December 31, 2012 | September 30, 2012 | December 31, 2011 | December 31, 2012 | December 31, 2011 | |
| (dollars in thousands, except per share data) | |||||
| CONDENSED INCOME STATEMENT | |||||
| Interest income | $ 18,980 | $ 19,487 | $ 19,640 | $ 77,376 | $ 77,723 |
| Interest expense | 4,679 | 4,858 | 5,484 | 19,727 | 23,578 |
| Net interest income | 14,301 | 14,629 | 14,156 | 57,649 | 54,145 |
| Provision for loan/lease losses | 1,046 | 1,496 | 1,419 | 4,371 | 6,616 |
| Net interest income after provision for loan/lease losses | 13,255 | 13,133 | 12,737 | 53,278 | 47,529 |
| Noninterest income | 4,480 | 4,117 | 3,896 | 16,621 | 17,462 |
| Noninterest expense | 13,380 | 13,031 | 12,651 | 52,259 | 50,993 |
| Net income before taxes | 4,355 | 4,219 | 3,982 | 17,640 | 13,998 |
| Income tax expense | 1,109 | 1,035 | 1,123 | 4,534 | 3,868 |
| Net income | $ 3,246 | $ 3,184 | $ 2,859 | $ 13,106 | $ 10,130 |
| Less: Net income attributable to noncontrolling interests | (6) | 127 | 130 | 488 | 438 |
| Net income attributable to QCR Holdings, Inc. | $ 3,252 | $ 3,057 | $ 2,729 | $ 12,618 | $ 9,692 |
| Less: Preferred stock dividends **** | 811 | 811 | 1,028 | 3,496 | 5,284 |
| Net income attributable to QCR Holdings, Inc. common stockholders | $ 2,441 | $ 2,246 | $ 1,701 | $ 9,122 | $ 4,408 |
| Earnings per share attributable to QCR Holdings, Inc.: | |||||
| Basic | $ 0.50 | $ 0.45 | $ 0.36 | $ 1.88 | $ 0.93 |
| Diluted | $ 0.49 | $ 0.44 | $ 0.35 | $ 1.85 | $ 0.92 |
| Earnings per common share (basic) attributable to QCR Holdings, Inc. LTM * | $ 1.87 | $ 1.73 | $ 0.93 | ||
| Weighted average common shares outstanding | 4,885,470 | 4,978,699 | 4,755,471 | 4,844,776 | 4,724,781 |
| Weighted average common and common equivalent shares outstanding | 4,983,939 | 5,080,288 | 4,856,296 | 4,919,559 | 4,789,026 |
| AVERAGE BALANCES | |||||
| Assets | $ 2,062,188 | $ 2,030,209 | $ 1,949,690 | $ 2,025,691 | $ 1,907,038 |
| Loans/leases | $ 1,241,522 | $ 1,227,326 | $ 1,196,827 | $ 1,219,623 | $ 1,177,105 |
| Deposits | $ 1,364,355 | $ 1,321,547 | $ 1,248,249 | $ 1,310,360 | $ 1,209,787 |
| Total stockholders' equity | $ 140,187 | $ 139,222 | $ 141,955 | $ 141,793 | $ 136,700 |
| Common stockholders' equity | $ 86,615 | $ 86,058 | $ 79,288 | $ 84,159 | $ 75,702 |
| KEY PERFORMANCE RATIOS | |||||
| Return on average assets (annualized) *** | 0.63% | 0.60% | 0.56% | 0.62% | 0.51% |
| Return on average common equity (annualized) ** | 11.27% | 10.44% | 8.58% | 10.84% | 5.82% |
| Return on average total equity (annualized) *** | 9.28% | 8.78% | 7.69% | 8.90% | 7.09% |
| Price earnings ratio LTM * | 7.07x | 8.66x | 9.78x | 7.07x | 9.78x |
| Net interest margin (TEY) | 3.02% | 3.16% | 3.18% | 3.10% | 3.08% |
| Nonperforming assets / total assets | 1.41% | 1.44% | 2.06% | 1.41% | 2.06% |
| Net charge-offs / average loans/leases | 0.04% | 0.07% | 0.18% | 0.27% | 0.70% |
| Allowance / total loans/leases | 1.55% | 1.56% | 1.56% | 1.55% | 1.56% |
| Allowance / nonperforming loans | 78.47% | 81.10% | 61.16% | 78.47% | 61.16% |
| Efficiency ratio | 71.24% | 69.51% | 70.08% | 70.36% | 71.21% |
| Full-time equivalent employees | 356 | 355 | 355 | 356 | 355 |
| * LTM: Last twelve months | |||||
| ** The numerator for this ratio is "Net income attributable to QCR Holdings, Inc. common stockholders" | |||||
| *** The numerator for this ratio is "Net income attributable to QCR Holdings, Inc." | |||||
| **** During the third quarter of 2011, the preferred stock dividends include a one-time deemed dividend of $1.25 million resulting from the Company's repurchase of preferred shares from the U.S. Treasury. | |||||
| QCR HOLDINGS, INC. | |||||||||
| CONSOLIDATED FINANCIAL HIGHLIGHTS | |||||||||
| (Unaudited) | |||||||||
| ANALYSIS OF NET INTEREST INCOME AND MARGIN | |||||||||
| For the Quarter Ended | |||||||||
| December 31, 2012 | September 30, 2012 | December 31, 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 * | $ 603,001 | $ 3,495 | 2.31% | $ 619,650 | $ 3,930 | 2.52% | $ 538,329 | $ 3,200 | 2.36% |
| Loans | 1,241,522 | 15,615 | 5.00% | 1,227,326 | 15,804 | 5.12% | 1,196,827 | 16,341 | 5.42% |
| Other | 85,561 | 222 | 1.03% | 55,064 | 211 | 1.52% | 62,215 | 217 | 1.38% |
| Total earning assets | $ 1,930,084 | $ 19,332 | 3.98% | $ 1,902,040 | $ 19,945 | 4.17% | $ 1,797,371 | $ 19,758 | 4.36% |
| Deposits | $ 904,294 | $ 1,385 | 0.61% | $ 914,950 | $ 1,489 | 0.65% | $ 889,295 | $ 1,991 | 0.89% |
| Borrowings | 525,051 | 3,294 | 2.50% | 540,293 | 3,369 | 2.48% | 535,235 | 3,493 | 2.59% |
| Total interest-bearing liabilities | $ 1,429,345 | 4,679 | 1.30% | $ 1,455,243 | 4,858 | 1.33% | $ 1,424,530 | 5,484 | 1.53% |
| Net interest income / spread | $ 14,653 | 2.68% | $ 15,087 | 2.84% | $ 14,274 | 2.83% | |||
| Net interest margin | 3.02% | 3.16% | 3.15% | ||||||
| For the Year Ended | |||||||||
| December 31, 2012 | December 31, 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 * | $ 603,568 | $ 14,268 | 2.36% | $ 501,470 | $ 12,344 | 2.46% | |||
| Loans | 1,219,623 | 63,364 | 5.20% | 1,177,705 | 64,808 | 5.50% | |||
| Other | 73,007 | 891 | 1.22% | 94,774 | 1,055 | 1.11% | |||
| Total earning assets | $ 1,896,198 | $ 78,523 | 4.14% | $ 1,773,949 | $ 78,207 | 4.41% | |||
| Deposits | $ 898,321 | $ 6,219 | 0.69% | $ 893,677 | $ 8,939 | 1.00% | |||
| Borrowings | 545,079 | 13,508 | 2.48% | 533,994 | 14,639 | 2.74% | |||
| Total interest-bearing liabilities | $ 1,443,400 | 19,727 | 1.37% | $ 1,427,671 | 23,578 | 1.65% | |||
| Net interest income / spread | $ 58,796 | 2.77% | $ 54,629 | 2.76% | |||||
| Net interest margin | 3.10% | 3.08% | |||||||
| * 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 Year Ended | ||||
| ANALYSIS OF NONINTEREST INCOME | December 31, 2012 | September 30, 2012 | December 31, 2011 | December 31, 2012 | December 31, 2011 |
| (dollars in thousands) | |||||
| Trust department fees | $ 982 | $ 915 | $ 761 | $ 3,632 | $ 3,369 |
| Investment advisory and management fees | 585 | 576 | 478 | 2,361 | 2,109 |
| Deposit service fees | 859 | 847 | 870 | 3,486 | 3,493 |
| Gain on sales of loans, net | 492 | 685 | 642 | 2,458 | 2,565 |
| Securities gains | -- | -- | -- | 105 | 1,473 |
| Losses on sales of other real estate owned, net | (9) | (746) | (284) | (1,333) | (375) |
| Earnings on cash surrender value of life insurance | 412 | 400 | 413 | 1,609 | 1,446 |
| Credit card fees, net of processing costs | 190 | 140 | 103 | 599 | 500 |
| Other * | 969 | 1,300 | 913 | 3,704 | 2,882 |
| Total noninterest income | $ 4,480 | $ 4,117 | $ 3,896 | $ 16,621 | $ 17,462 |
| ANALYSIS OF NONINTEREST EXPENSE | |||||
| Salaries and employee benefits | $ 8,693 | $ 8,201 | $ 7,884 | $ 33,275 | $ 30,365 |
| Occupancy and equipment expense | 1,458 | 1,460 | 1,281 | 5,635 | 5,298 |
| Professional and data processing fees | 975 | 1,066 | 1,122 | 4,318 | 4,461 |
| FDIC and other insurance | 574 | 599 | 549 | 2,331 | 2,698 |
| Loan/lease expense | 287 | 273 | 388 | 1,042 | 2,161 |
| Advertising and marketing | 388 | 437 | 452 | 1,445 | 1,289 |
| Postage and telephone | 244 | 191 | 234 | 960 | 938 |
| Stationery and supplies | 123 | 140 | 136 | 541 | 517 |
| Bank service charges | 244 | 211 | 201 | 854 | 726 |
| Prepayment fees on Federal Home Loan Bank advances | -- | -- | -- | -- | 832 |
| Other-than-temporary-impairment losses on securities | -- | -- | -- | 62 | 119 |
| Other | 394 | 453 | 404 | 1,796 | 1,589 |
| Total noninterest expense | $ 13,380 | $ 13,031 | $ 12,651 | $ 52,259 | $ 50,993 |
| * Includes pre-tax gain of $580 thousand on sale of 2.25% equity interest in company providing data processing services to merchant credit card acquiring businesses. | |||||
CONTACT: Todd A. Gipple
Executive Vice President
Chief Operating Officer
Chief Financial Officer
(309) 743-7745