Midland States Bancorp Pref Share MSBIP 7.75 Perp 09/30/27 | 8-K: FY2025 Q4 Revenue: USD 85.57 M

Revenue: As of FY2025 Q4, the actual value is USD 85.57 M.EPS: As of FY2025 Q4, the actual value is USD -0.24.EBIT: As of FY2025 Q4, the actual value is USD -50.33 M.Net Income and Adjusted EarningsNet loss available to common shareholders was - $5.1 million, or - $0.24 per diluted share, for the fourth quarter of 2025, compared to net income available to common shareholders of $5.3 million, or $0.24 per diluted share, for the third quarter of 2025, and a net loss of - $33.0 million, or - $1.52 per diluted share, for the fourth quarter of 2024. Adjusted earnings available to common shareholders were $11.9 million, or $0.53 per diluted share, for the fourth quarter of 2025, excluding the loss on sale of the equipment finance portfolio and a consumer loan portfolio. Adjusted pre-provision net revenue was $31.4 million, or $1.44 per diluted share, for the fourth quarter of 2025, compared to $31.3 million, or $1.43 per diluted share, for the third quarter of 2025. Adjusted pre-provision net revenue (PPNR) was $31.4 million, or 1.85% on average assets for Q4 2025. Income (Loss) before Taxes was - $3.2 million for Q4 2025, a decrease from $11.3 million in Q3 2025. Net Income (Loss) was - $2.9 million for Q4 2025, down from $7.6 million in Q3 2025. Revenue and CostsNet interest income was $58,702 thousand for the fourth quarter of 2025. Net interest income for Q4 2025 was $58.7 million, benefiting from a -17 basis points quarter-over-quarter reduction in deposit costs. Net interest margin was 3.74% for the fourth quarter of 2025, a decrease of 5 basis points from 3.79% in the prior quarter. Excluding interest recoveries, the net interest margin increased by 5 basis points in the fourth quarter of 2025. Noninterest income was $26.9 million for the fourth quarter of 2025, up from $20.0 million for the third quarter of 2025, including $6.6 million of additional credit enhancement income. Total Noninterest Income was $26.9 million in Q4 2025, up from $20.0 million in Q3 2025, largely due to an additional $6.6 million in credit enhancement income reflecting contractual changes in third-party lending and servicing arrangements. Total Revenue for Q4 2025 was $85.6 million, compared to $81.1 million in Q3 2025. Noninterest expense was $77.2 million for the fourth quarter of 2025, compared to $49.8 million for the third quarter of 2025. This includes $23.0 million in losses on the sale of loans ($21.4 million related to the equipment finance portfolio sale) and $1.7 million in additional FDIC assessments. Total Noninterest Expenses were $77.2 million in Q4 2025, significantly higher than $49.8 million in Q3 2025, including a $23.0 million loss on the sale of loans, $2.5 million in additional FDIC assessments and professional expenses, $0.9 million in year-end charitable contributions and marketing costs, and $0.6 million for impairment of repossessed assets. Loss on sale of equipment finance portfolio was $21.4 million. Loss on sale of a small consumer loan portfolio was $1.6 million. Income tax benefit was - $0.4 million for the fourth quarter of 2025, with an effective tax rate of 11.1%. Cost of deposits decreased by 17 basis points to 1.95% in the fourth quarter of 2025. The Efficiency Ratio was 63.1% in Q4 2025, compared to 61.3% in Q3 2025. Loan Portfolio and Asset QualityTotal loans were $4.35 billion at December 31, 2025, a decrease of $515.6 million from September 30, 2025. Gross Loans Receivable (excluding HFS) decreased by $515.6 million from Q3 2025 to $4,352.0 million in Q4 2025, mainly due to the sale of Equipment Finance loans and leases. Community Bank loans increased $53.7 million, or 1.6%, from September 30, 2025, with $180 million of new originations. Equipment finance balances declined $578.1 million due to the sale of substantially all of the portfolio. Non-core loans decreased $17.2 million to $295.8 million. Provision for credit losses on loans was $11.8 million for the fourth quarter of 2025, compared to $20.5 million for the third quarter of 2025. The provision for credit losses was $11.6 million in Q4 2025, an $8.4 million decrease from Q3 2025. Net charge-offs were $43,492 thousand for Q4 2025. Excluding the $29.8 million allowance for credit losses from the equipment finance portfolio sale, net charge-offs were $13.7 million for the fourth quarter of 2025. Nonperforming loans decreased to $65.5 million at December 31, 2025. Non-performing loans (NPLs) were $65.483 million in Q4 2025, down from $68.703 million in Q3 2025. Loans 30-89 days past due decreased to $17.1 million at December 31, 2025. Ratio of nonperforming assets to total assets was 1.02% at December 31, 2025. Non-performing assets (NPAs) to total assets stood at 1.02% in Q4 2025, consistent with Q3 2025. NPAs were $66.089 million in Q4 2025, down from $70.369 million in Q3 2025. Allowance for credit losses on loans was $69.2 million, or 1.59% of total loans, at December 31, 2025, down from $100.9 million, or 2.07% of total loans, at September 30, 2025. Allowance for Credit Losses on Loans & Leases was - $69.2 million in Q4 2025, compared to - $100.9 million in Q3 2025. The ACL as a percentage of total loans was 1.59% in Q4 2025, down from 2.07% in Q3 2025. The remaining third-party loan program is $59.3 million, carrying full credit indemnification. Deposits and Wealth ManagementTotal deposits were $5.42 billion at December 31, 2025, a decrease of $180.4 million from September 30, 2025. Total Deposits decreased by $180.4 million from Q3 2025 to $5,424.4 million in Q4 2025, primarily due to seasonal reduction in checking of $141.2 million and a $55.8 million reduction in high-cost time deposits, partially offset by a $24.5 million increase in noninterest-bearing demand. Community Bank deposits decreased $154.9 million. Brokered deposits decreased $24.0 million. High-cost public funds and brokered deposits declined by $156.1 million compared to the prior quarter. Commercial deposits increased by $54 million in the last quarter. Wealth Management revenue was $8.3 million in the fourth quarter of 2025. Assets under administration were $4.48 billion at December 31, 2025, an increase from $4.36 billion at September 30, 2025. Wealth Management assets under administration reached a record $4.5 billion in Q4 2025, up from $4.363.8 billion in Q3 2025. Capital PositionTotal capital to risk-weighted assets was 15.16%. Common equity Tier 1 capital was 9.89%. The Consolidated CET1 ratio was 9.89%, and the Total Capital ratio was 15.16% in Q4 2025, with almost all capital ratios increasing from the prior quarter. Tier 1 leverage ratio was 9.90% for Midland States Bancorp, Inc. Tangible common equity to tangible assets was 6.75%. Share repurchases amounted to $9.6 million of common stock (457,222 shares at a weighted average price of $20.96) during the fourth quarter of 2025, with approximately $15 million in repurchase authority remaining. Total Shareholders’ Equity was $565.5 million in Q4 2025, compared to $584.0 million in Q3 2025. Tangible Book Value Per Share was $20.70 in Q4 2025, compared to $21.16 in Q3 2025. Other Financial MetricsTotal Assets were $6,511.1 million at the end of Q4 2025, down from $6,911.5 million in Q3 2025. Total Liabilities were $5,945.6 million at the end of Q4 2025, down from $6,327.5 million in Q3 2025. The loan to deposit ratio declined to 80.2%, reflecting increased liquidity. The investment portfolio, classified as Available for Sale, had a fair value of $1,521 million as of December 31, 2025, with an average tax-equivalent yield of 4.57% for Q4 2025. Operational MetricsMidland States Bank has 53 branch/office locations in Illinois and Missouri. The company completed the sale of substantially all of its equipment finance portfolio in Q4 2025. Total loans in the Community Bank segment increased by $53.7 million, or 6.5% annualized, to $3.33 billion. Outlook / GuidanceMidland States Bancorp, Inc. prioritized improving credit quality in 2025, taking steps to reduce loan portfolio risk and strengthen the balance sheet, including enhancing credit talent, culture, and underwriting standards. The company anticipates lower credit costs in 2026 and aims to grow its Community Bank segment, while continuing to build regulatory capital and maintaining an ongoing focus on efficiency. Noninterest income is expected to be $19.0 million to $20.0 million per quarter in the near-term, with credit enhancement income projected at $1.5 million to $2.0 million per quarter, and near-term operating expenses are expected to run approximately $50.0 million to $51.0 million per quarter, with additional expenses of $1.5 million to $2.0 million per quarter related to changes in third-party lending agreements.