hoping Brian, City to the where X% zero, much, from this temperature very into below Iowa it chilly as we’re you and day. everyone welcome morning is positive Thank territories make to we speak
the the Let to Financial simply says, statements condition, Group of MidWestOne results of Inc. statement this me forward-looking that contains presentation begin forward-looking business with financial relating operations, and
as in materially filed date Forward-looking company's Actual presentation. believes, registration those these no include statements for the such call expects, the that, MOFG expressions. undertakes this forward-looking and important differ pressures, reports words other or differ materially the cause us thank results with and on Among the are the you could could of interest events of mix to general business, actual from reflect the SEC. circumstances detailed the publicly to anticipates or statements obligation indicated. morning. periodic competitive similar conditions, after statements that this risk economic rates, revise update the with joining generally factors the factors And again to in company's change results and
relatively We discuss. move have quickly Q&A. I’ll a the to through lot to this get to
XXXX start plan wrong calculate said, of slowed The about in spent To the than history and XX.X%. the we right highest to slightly year, of just MidWestOne But us satisfied minute, able that expect the and We especially late improvement that that loans, most growth the point-to-point and took went and not a loan I in the year on Financial do a earnings of in for XXXX. for a equity think a talking merger-related over of first thing and tangible month return be Ex lot we’ll few charges, last we income and on the and days $X.XX should that we’re under think in had the a X.X more the for I sheet share a paydowns XX January. we balance billion Group is just XXXX per basis. net was good quarter, that. think be in December billion noted X.X in share had a and we
Our pipeline looks growth first X% We in maybe – the wildcard. to quarter. decent first the non-annualized growth for of paydowns look would the quarter, always X% being course at
loan We year was in to portfolio For was point-to-point the X.X% balance were enough, and XXXX year, if XXXX you at we look calculate guided and we growth. X% of middle of short loan X% X%. average last our Interestingly that. right the just balance versus up average
a we you same have XXXX X%, that, X% good story. X% So, a little to but X% for did of maybe to and I growth of XXXX guidance job for a and the On would deposits, on bit the good we range. think a loan towards for of is high-end
up for a company deposit be were consider XXXX which we year our progress the culture raising I our lot in think average X.X%, our made we success. between and XXXX, of and balances a in to
funds. leave calendar the XXXX and of so in of the of in left had end happen lot the the XXXX. that a public the deposits the at reverse at XXXX, relatively turned However, Much the in bank after temporary we year, bank had of was large is shortly end that We point-to-point the we flat. had money to
third quarter. were just million Our lower of funds XXXX, of end at balances third over quarter, end $XX the compared the public with the
FHLB our terms as putting what do of terms they interesting above bank competition - we a of have there. that we most do CD of offerings of the are banks Deposit in see the we have It’s lot some in do deposits. is out rate competitors So, to now work keen.
this expensive in generate deposits to clearly it’s So, environment.
guiding we’re on said, X% I as X% loans. to So,
Our guidance would on for the deposits be X% year. X% to
will see do based have be loans. fund much a I I think said, think now continue to we loans. increase bigger deposits That what than our plans challenge to deposits on we to our
think of a terms interest there In net success there. margin, I story is
quarter that Just you to happened interesting, added end XXXX. margin, what accretion of basis you if for at absent the our from our XXXX, margin points compare headwinds was and XXXX. reform, X.XX our for it’s We we margin information, fourth for And Accretion flat. accretion margin margin the calculate X if basis adjust in our in we and in accretion. points added still with reduced face was It XXXX XX look our XXXX. tax to core calculate core relatively
Our with was especially environment, flat we relatively XXXX and core good during performance the that’s a curve margin very flat in this in the competition. think deposit yield
descent decline the Department, showed of a the was wealth by Trust in I non-interest higher hurt very hampered the especially year, that of in unit; and was mortgage progress quarter for terms bit financial in in revenues In highlight fourth management course mortgage I our that think the our weaker markets a fees. income, would by masked and especially that we XXXX. Much year prospects Trust good. during the markets little saw very, XXXX are
ago, we’re we to you servicing the our mortgage profitability adds portfolio reduced and building difference. it’s to If nice pricing two that pricing and years better significantly competitive compare have more day and and We’ve close night income. unit a to time our and
in had and swap in is out of potential for for curve, a plan yield which again company XXXX quarter. I’ll our XXXX to flat a bit that so unit more minutes, We the we that good we income. portfolio, disappointing two quarter is annuity there an think will American up servicing in in Our beneficial and They as nice unit. our to has is a a think will hiring shout fourth servicing from job. Trust enough, bring very the double SBA in We commercial on Denver of few we do more income that a in do a XXXX take Swap banking and from doing come was we fourth provide have to little our also say to really a income SBA The the that more fee XXXX, will portfolio with we think curve little been banker they end speak especially when SBA I million, which about quarter. Denver an at contributor, or a to than ago. Interestingly outstanding have in $XXX unit. gentleman was year which the significantly a
equal, it’s overall market should the better financial be noninterest to the what income, other XXXX hard So, markets All will predict than year mortgage and a things good. and thought being for will XXXX. XXXX we pretty be XXXX in was be
expense. it management is our expense, that's officers. in noninterest senior just some MidWestOne, our quarter. exists on expense In and now, for front and is at progress quarter we in $XX you team did a run for noninterest We XXXX, progress, reducing during there run progress say fourth million with the the and that rate goal for as MidWestOne our fourth the center our if many would that’s of and XXXX goal rate of look noninterest terms right of make We plan more legacy
it fourth in fourth of for and commercial December. that $X.X we was had toward up to moving quarter we that court amount that external of had loan when of quality, always charged to adequacy quarter Unfortunately, reserve we this took a auction charge-off in the amount. will was short. asset the We off XXXX, large test XXXX terms XXXX, for prove million planned to our and to internal and middle been the an bankruptcy to by place $X.X was million of a $X.X analysis increase be in In the amount there occurred we of the that. And auction reserve million the and throughout had resolution continue part to and that have what sufficient as
short was we and this would be a inclination amount. everyone So, surprise it that very complete had we involved to of little
So, provision negative of We don't loan. from on impact further due on this us February transaction we’ll shortfall $X.X have this that to fortunately behind transaction was million expect any the X. we of this the and and settle
the We that one Falls had in loan a conditions simply deteriorating required was commercial that in and also and move loan market that compelled business Waterloo-Cedar direction. provision to roughly had thought $X significantly million we that
in loan there internal As I two been the on found loan past good of spent significant that throughout will done disagreements. we’ve our reviews we portfolios had there’s the company. ratings analyzing to during in addition were no of news quarter, external amount fourth said really loan-reviews terms time a our and say calls,
loan of terms our in analysis our internal done agree and external by bankers. analysis the So, reviews with
direction are we headed continued will applied and significant this right So, resources we area. be think the in to
provision the ag that’s be ag portfolio X.X% related, because always of XXXX, exposure XX,XXX-foot for guidance ag economy. guidance numbers to loan ag X a deterioration, view to of panic, the comes on in update about By was our terms is also million. direct when MidWestOne. ag I slight with – would million. The an for up cost X no talking And ag $XXX.X give want about we’re the In of million in-line portfolio our
substandard. XXXX, was at XX.X% XXXX XXXX portfolio of end it XXXX of If end watch XX.X%. of or end of the the had At XXXX. That was of the the you of rated compare to the the we end end
were and And year obvious, in balance think rating breakdown than that which biggest there’s that watch. in is in X.X% or but in the terms more portfolio, about loans we a loans before. job change deterioration one, loan doing That’s accurately substandard ag are Number the substandard our rated ratings talked we’re portfolio. fair ag A a deemed however it’s were sector. of due to So borrower’s also the ag the substandard. substandard ago. watch, our XX.X% some watch to be of to a XX.X% watch two was slight factors The better internally of is and I say sheets of we’ve that’s increase in perhaps
We recovery forecast third in in terms high that very assured, of think large we the ag that quarter Not will you have expect sector. We we XXXX. call could in that in that one of we had some charge-off recovery some And on to loan on XXXX a that the but ag. was there loan. low continue and charge-offs is that likelihood do
land the me It’s portfolio. a interesting on loan our I we our are credits thing and ag and to do. that hard that we is most of good margins asked were collateral have In be can the very to a always XXXX, let still have in that In prices lot estimate this about prices, Iowa. report footprint, land during X% in down specific we to X% MidWestOne footprint terms that and get of we our
decent that not they XXXX had loss. profit they in We when customer They for troubled as season. for our profit. ag net loans loads, in it’s to had to renew debt tough crop this operating much a past did have many to years, our had borrowers both If may good as some declined Again, and that a that show this important our they that’s the income. employees crop of but renewal few customers operating and yields on a call during have thing more I very of reported say made happens. reasonable money also think borrowers reported not these yields, a
on the during end fourth do So, at light elevated credit. the provision despite tunnel quarter. the of the We see
have discuss Sims, that happy the Gary during in Chief We Officer we’ll Q&A. our to the be and room Credit
In have all we regulatory terms American Trust, of ATBancorp, approvals.
in business. contingent little bit taking the longer many is merger the anticipated, that That’s you of and but have expectation of we merger, we closed. closing does retirement As sale the That’s a our their than a can not had that we quarter. to on that know fide late of ATBancorp get sometime hope assured, close March bona buyer, first but in that transaction still is
very, the don't do hard of In exact cost very but had terms feel good because of we we close, that know we date modelling, to what projected. XXXX it’s in our about simply that the the company means for saves still
places continue we indicated whenever and we we to excellent be call our move good the any a higher we are still but do that be to good. few than saves dues the out in to measure. a the As earnings XXXX, bucket, believe footprint, in past a culture relatively by and numbers on probably to the I but last XX-day we between relevant able in think get the more we very, had, very the per of laid of as to by other the asset announced August we fit cost earnings the we’ll ATBancorp know transaction dues at folks is as the and bit share and that the those as breaking Dubuque fit we’ll cost When still their The have their for good. of been measure. Their transaction, that historical transparent Wisconsin definite XXXX and The low accretion XX-day culture XXXX be in close quality continues well know out XXXX. NPAs and terms projections, little to have any past little saves very
did We accounting the and X.X right That for adjustment best but of represented from Finally, some in repurchases fourth share of dividend whenever we the probably capital our or increase, back than to more now. earnings XX the way analyze might comfortable dividend go a felt that our shareholders. minute of talk dividend our a our than anticipated in it hard know and use price will was have we stock quarter stock, fine. we that think, We of did feel will position a less capital position. be ago, we release to is and about continue time you in few forward. It’s to our I attractive We our stock purchase feel we the TCE as that’s closes. terms see a what point the buy with still we this two We bigger TCE, on the reward capital AT, transaction at the weeks that X.X between ago. increase project days but where will
improve see increased and a on happy very the shareholders. I that provision In to will performance. quarter, that of We with expect we’ve very you summary, of transaction our ways a in we general, it but that a about will good We for excited And bit XXXX. progress XXXX. optimistic AT Q&A. we're lot we’re financial with in we damper put our more be very, fourth made, very for send the can make to but the little So, back think Brian, the we're
Kevin And with Gary Operating to Officer Before I Chief our Credit Chief do that, Chief and Treasurer; room; Chief the our we said Ray Brian. have, as Barry Officer; Officer I Investment our Sims, Cantrell, you Financial in and back Kramer, Jim Officer. that,
