Midland States Bancorp Q3 EPS beats estimates on loan growth, improved credit

Overview

• U.S. community bank's Q3 adjusted EPS rose, beating analyst expectations

• Net interest margin improved to 4.03%, aided by $1.6 mln interest recovery

• Company repurchased $10.6 mln in stock YTD under $45 mln buyback program

Outlook

• Company expects effective tax rate to be about 23% for full yr 2026

• Company remains focused on profitable relationship growth and continued credit normalization

Result Drivers

• INTEREST RECOVERY - Net interest margin benefited from a $1.6 mln interest recovery on the payoff of a nonaccrual loan

• COMMUNITY BANK LOAN GROWTH - Community Bank loan balances grew by $23.7 mln, or 2.8% annualized, during the qtr

• CREDIT QUALITY IMPROVEMENT - Nonperforming assets and past-due loans declined, and net charge-offs moderated from the prior qtr

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy."

• Wall Street's median 12-month price target for Midland States Bancorp Inc is $33.50, about 2.8% above its October 21 closing price of $32.59

Reuters Recommended Reads

• Oct 22 - Huntington Bancshares Q3 EPS unchanged, net interest income up

• Oct 20 - KeyCorp Q3 revenue rises 8% to record, profit up 24%

• Oct 21 - Pinnacle Financial Partners Q3 adjusted profit beats estimates on loan, fee income growth

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)