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QCR Holdings, Inc. Announces Fourth Quarter Results and Record Net Income of $113.9 Million for the Full Year 2024

1. QCRH reported Q4 net income of $30.2 million, rising from $27.8 million. 2. Annual net income reached a record of $113.9 million in 2024. 3. Net interest income surged to $61.2 million, enhancing profitability. 4. Loan growth showed a healthy 10% increase, boosting overall performance. 5. Capital ratios improved, signaling strong financial health for QCRH.

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Why Bullish?

QCRH's record profits and strong loan growth will attract investor confidence. Past reports suggest higher profits often lead to increased stock prices.

How important is it?

The article outlines QCRH's solid financial performance, pivotal for investor decisions. Strong earnings often correlate with positive market activities.

Why Short Term?

Immediate growth in net income and interest income typically affects stock prices quickly, as seen in similar earnings reports.

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QCRH
Fourth Quarter Highlights Net income of $30.2 million, or $1.77 per diluted shareAdjusted net income of $32.8 million, or $1.93 per diluted share (non-GAAP) Record quarterly net interest income of $61.2 million Expanded NIM by 5 basis points and adjusted NIM (TEY) (non-GAAP) by 6 basis points to 3.40%Significant capital markets revenue of $20.6 million, including a $1.4 million gain on fourth securitizationTangible book value per share (non-GAAP) grew $1.21, or 10% annualizedTCE/TA ratio (non-GAAP) improved by 31 basis points to 9.55% Full Year Highlights Record annual net income of $113.9 million, or $6.71 per diluted shareRecord adjusted net income (non-GAAP) of $119.3 million, or $7.03 per diluted share (non-GAAP)Significant capital markets revenue of $71.1 millionRobust loan growth of 10% prior to loan securitizations and strong deposit growth of 8%Tangible book value per share (non-GAAP) increased $6.40, or 15%TCE/TA ratio (non-GAAP) improved by 80 basis points to 9.55% MOLINE, Ill., Jan. 22, 2025 (GLOBE NEWSWIRE) -- QCR Holdings, Inc. (NASDAQ: QCRH) (the “Company”) today announced quarterly net income of $30.2 million and diluted earnings per share (“EPS”) of $1.77 for the fourth quarter of 2024, compared to net income of $27.8 million and diluted EPS of $1.64 for the third quarter of 2024. For the full year, the Company reported record net income of $113.9 million, or $6.71 per diluted share. Adjusted net income (non-GAAP) and adjusted diluted EPS (non-GAAP) for the fourth quarter of 2024 were $32.8 million and $1.93, respectively. For the third quarter of 2024, adjusted net income (non-GAAP) was $30.3 million and adjusted diluted EPS (non-GAAP) was $1.78. For the fourth quarter of 2023, net income and diluted EPS were $32.9 million and $1.95, respectively, and adjusted net income (non-GAAP) and adjusted diluted EPS (non-GAAP) were $33.3 million and $1.97, respectively. Adjusted net income (non-GAAP) and adjusted diluted EPS (non-GAAP) for the full year of 2024 were $119.3 million and $7.03, respectively.         For the Quarter Ended December 31,September 30,December 31,$ in millions (except per share data)202420242023Net Income$30.2 $27.8 $32.9 Diluted EPS$1.77 $1.64 $1.95 Adjusted Net Income (non-GAAP)*$32.8 $30.3 $33.3 Adjusted Diluted EPS (non-GAAP)*$1.93 $1.78 $1.97         *Adjusted non-GAAP measurements of financial performance exclude non-core and/or nonrecurring income and expense items that management believes are not reflective of the anticipated future operation of the Company’s business. The Company believes these measurements provide a better comparison for analysis and may provide a better indicator of future performance. See GAAP to non-GAAP reconciliations. “We delivered our strongest results of the year in the fourth quarter, generating record full year results. Our exceptional performance was highlighted by significant growth in net interest income, driven by margin expansion, and robust loan growth,” said Larry J. Helling, Chief Executive Officer. “Additionally, we produced another strong year of capital markets and wealth management revenue while controlling our core operating expenses and maintaining excellent asset quality. We also successfully executed on our fourth low-income housing tax credit securitization during the fourth quarter.” “We begin 2025 with a solid pipeline of loans and deposits, strong credit quality, and well-managed expenses. Our focus remains on growing our franchise through relationship-driven banking and executing on our unique business model which delivers exceptional operational performance for our shareholders,” said Mr. Helling. Record Net Interest Income and Continued NIM Expansion Net interest income for the fourth quarter of 2024 totaled $61.2 million, an increase of $1.5 million from the third quarter of 2024. Acquisition-related net accretion totaled $471 thousand for the fourth quarter of 2024, compared to $463 thousand in the third quarter of 2024. Net interest income was $55.7 million for the fourth quarter of 2023. In the fourth quarter of 2024, net interest margin (“NIM”) was 2.95% and NIM on a tax-equivalent yield (“TEY”) basis (non-GAAP) was 3.43%, up from 2.90% and 3.37% in the prior quarter, respectively. Adjusted NIM TEY (non-GAAP) of 3.40% was also up from 3.34% in the third quarter of 2024. “Our adjusted NIM on a tax equivalent yield basis improved by 6 basis points to 3.40% in the fourth quarter near the top end of our guidance range,” said Todd A. Gipple, President and Chief Financial Officer. “We were successful in significantly reducing our cost of interest-bearing deposits in the fourth quarter by 33 basis points, contributing to a significant decrease in our funding costs. Our ability to aggressively react to the recent Fed interest rate cuts has contributed meaningfully to our NIM expansion.” Looking forward, the Company expects to continue growing its NIM in the first quarter of 2025. “We project our adjusted NIM on a tax equivalent yield basis for the first quarter of 2025 to be in the range from static to an increase of 5 basis points,” said Mr. Gipple. Significant Capital Markets and Wealth Management Revenue Noninterest income for the fourth quarter of 2024 totaled $30.6 million, up from $27.2 million for the third quarter of 2024. The Company generated strong capital markets revenue of $20.6 million up from $16.3 million in the prior quarter. Capital markets revenue in the fourth quarter included a $1.4 million gain from the Company’s fourth low-income housing tax credit (“LIHTC”) securitization, compared to a $473 thousand loss in the third quarter of 2024. Wealth management revenues also increased during the fourth quarter with $4.8 million in revenue, up from $4.5 million in the prior quarter, or 25% annualized. “Our capital markets business delivered strong results, fueled by swap fees generated through our LIHTC lending program. The strong demand for affordable housing continues to support the sustainability of our LIHTC lending initiatives," said Mr. Gipple. "Our LIHTC lending pipeline and related capital markets revenue remains solid. As a result, we expect our capital markets revenue from swap fees for the next twelve months to be in a range of $50 to $60 million. Furthermore, our wealth management business continues to expand, driven by new client acquisitions and growth in assets under management.” Noninterest Expenses Impacted by Higher Incentive Compensation but Efficiency Ratio Improves Noninterest expense for the fourth quarter of 2024 totaled $53.5 million which was consistent with the prior quarter, and lower than $60.9 million in the fourth quarter of 2023. The fourth quarter included higher incentive-based compensation related to strong fourth quarter and record full year performance as well as investments in the digital transformation of the Company’s core systems. “Our core expenses, while impacted by higher incentive compensation and system conversion expenses during the fourth quarter, remained well-controlled for the full year, decreasing $5.1 million, or 2% from the prior year,” said Mr. Gipple. The Company’s efficiency ratio (non-GAAP) improved to 58.26% and the adjusted efficiency ratio (non-GAAP) improved to 56.25% in the fourth quarter of 2024. For the first quarter of 2025 we expect noninterest expense to be in the range of $52 to $55 million, an increase of 4% which aligns with the Company’s 9/6/5 strategic model. Continued Strong Loan Growth During the fourth quarter of 2024, loans and leases held for investment grew $120.5 million, or 7% annualized from the prior quarter to a total of $6.8 billion. For the full year, prior to loan securitizations of $387 million, the Company’s total loans and leases grew $628 million, or 10% from the prior year. “Our solid performance reflects the strength of our unique, relationship-driven community banking model and the economic resilience within our markets”, added Mr. Helling. “With our current pipeline and the continued strength of our markets, we anticipate gross loan growth between 8% and 10% for the full year 2025. When factoring in the loan securitization that we have planned for 2025 and the continuing runoff of m2 Equipment Finance loans, we are targeting net loan growth between 1% and 3% for the year.” Asset Quality Remains Excellent Nonperforming assets (“NPAs”) totaled $45.6 million at the end of the fourth quarter of 2024, an increase of $9.9 million from $35.7 million at the end of the third quarter of 2024. The increase in NPAs was primarily due to three loans in discrete industries. These changes are reflective of the credit environment normalizing from historically low levels. The ratio of NPAs to total assets was 0.50% on December 31, 2024, compared to 0.39% on September 30, 2024. In addition, the Company’s criticized loans and classified loans to total loans and leases on December 31, 2024, were 2.34% and 1.25% compared to 2.20% and 1.03%, respectively, as of September 30, 2024. At December 31, 2024, approximately 43% of the Company’s total NPAs are comprised of just four relationships. The Company’s largest NPA of $9.7 million was fully paid off in mid-January of 2025. This successful outcome reduced total NPAs down to $35.9 million, or 0.40% of total assets on a proforma basis, consistent with December 31, 2023. The Company recorded a total provision for credit losses of $5.2 million during the fourth quarter of 2024, representing a $1.7 million increase from the prior quarter driven by strong loan growth and an increase in criticized loan balances. As of December 31, 2024, the allowance for credit losses to total loans/leases held for investment was 1.32%, an increase of 2 basis points from the prior quarter. Strong Core Deposit Growth and Increased Liquidity During the fourth quarter of 2024, core deposits, which exclude brokered deposits, increased $75.6 million or 5% annualized. For the full year total core deposits grew $474 million or 8% from the prior year, outpacing net loan growth and increasing immediate liquidity. Total uninsured and uncollateralized deposits remain quite low at $1.3 billion, or 19% of total deposits as of the end of the fourth quarter of 2024, compared to 21% as of the end of the third quarter of 2024. Total available liquidity as of quarter end was approximately $4 billion, which included $1.7 billion in instantly accessible liquidity. Capital Levels Increased As of December 31, 2024, the Company’s total risk-based capital ratio was 14.10%, its common equity tier 1 ratio was 10.03% and its tangible common equity to tangible assets ratio (“TCE”) (non-GAAP) was 9.55%. By comparison, these ratios were 13.87%, 9.79% and 9.24%, respectively, as of September 30, 2024. We remain focused on growing capital and targeting TCE in the top quartile of the Company’s peer group. The Company’s tangible book value per share (non-GAAP) increased by $1.21, or 10% annualized during the fourth quarter, of 2024. For the full year the tangible book value per share (non-GAAP) increased by $6.40, or 15% from the prior year. The combination of strong earnings and a modest dividend contributed to the improvement in tangible book value per share (non-GAAP). Accumulated other comprehensive income (“AOCI”) decreased $9.6 million during the fourth quarter of 2024 due to a decrease in the value of the Company’s available for sale securities portfolio and certain derivatives resulting from the change in long-term interest rates during the quarter. Conference Call Details The Company will host an earnings call/webcast tomorrow, January 23, 2025, at 10:00 a.m. Central Time. Dial-in information for the call is toll-free: 888-346-9286 (international 412-317-5253). Participants should request to join the QCR Holdings, Inc. call. The event will be available for replay through January 30, 2025. The replay access information is 877-344-7529 (international 412-317-0088); access code 8346661. A webcast of the teleconference can be accessed on the Company’s News and Events page at www.qcrh.com. An archived version of the webcast will be available at the same location shortly after the live event has ended. About Us QCR Holdings, Inc., headquartered in Moline, Illinois, is a relationship-driven, multi-bank holding company serving the Quad Cities, Cedar Rapids, Cedar Valley, Des Moines/Ankeny and Springfield communities through its four wholly owned subsidiary banks. The banks provide full-service commercial and consumer banking and trust and wealth management services. Quad City Bank & Trust Company, based in Bettendorf, Iowa, commenced operations in 1994; Cedar Rapids Bank & Trust Company, based in Cedar Rapids, Iowa, commenced operations in 2001; Community State Bank, based in Ankeny, Iowa, was acquired by the Company in 2016; and Guaranty Bank (formerly known as Springfield Fist Community Bank), based in Springfield, Missouri, was acquired by the Company in 2018. Additionally, the Company serves the Waterloo/Cedar Falls, Iowa community through Community Bank & Trust, a division of Cedar Rapids Bank & Trust Company. The Company has 36 locations in Iowa, Missouri, Wisconsin and Illinois. As of December 31, 2024, the Company had $9.0 billion in assets, $6.8 billion in loans and $7.1 billion in deposits. For additional information, please visit the Company’s website at www.qcrh.com. 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,” “bode”, “predict,” “suggest,” “project”, “appear,” “plan,” “intend,” “estimate,” ”annualize,” “may,” “will,” “would,” “could,” “should,” “likely,” “might,” “potential,” “continue,” “annualized,” “target,” “outlook,” as well as the negative forms of those words, 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, but are not limited to: (i) the strength of the local, state, national and international economies and financial markets (including effects of inflationary pressures and supply chain constraints); (ii) effects on the U.S. economy resulting from the implementation of policies proposed by the new presidential administration, including tariffs, mass deportations and tax regulations; (iii) the economic impact of any future terrorist threats and attacks, widespread disease or pandemics, acts of war or threats thereof (including the Russian invasion of Ukraine and ongoing conflicts in the Middle East), or other adverse events that could cause economic deterioration or instability in credit markets, and the response of the local, state and national governments to any such adverse external events; (iv) new or revised accounting policies and practices, as may be adopted by state and federal regulatory agencies, the FASB, the Securities and Exchange Commission (the “SEC”) or the PCAOB; (v) changes in local, state and federal laws, regulations and governmental policies concerning the Company’s general business and any changes in response to the bank failures in 2023; (vi) the imposition of tariffs or other governmental policies impacting the value of products produced by the Company’s commercial borrowers; (vii) increased competition in the financial services sector, including from non-bank competitors such as credit unions and fintech companies, and the inability to attract new customers; (viii) changes in technology and the ability to develop and maintain secure and reliable electronic systems; (ix) unexpected results of acquisitions which may include failure to realize the anticipated benefits of the acquisitions and the possibility that transaction costs may be greater than anticipated; (x) the loss of key executives and employees, talent shortages and employee turnover; (xi) changes in consumer spending; (xii) unexpected outcomes and costs of existing or new litigation or other legal proceedings and regulatory actions involving the Company; (xiii) the economic impact on the Company and its customers of climate change, natural disasters and exceptional weather occurrences such as tornadoes, floods and blizzards; (xiv) fluctuations in the value of securities held in our securities portfolio, including as a result of changes in interest rates; (xv) credit risk and risks from concentrations (by type of borrower, geographic area, collateral and industry) within our loan portfolio and large loans to certain borrowers (including CRE loans); (xvi) the overall health of the local and national real estate market; (xvii) the ability to maintain an adequate level of allowance for credit losses on loans; (xviii) the concentration of large deposits from certain clients who have balances above current FDIC insurance limits and who may withdraw deposits to diversify their exposure; (xix) the ability to successfully manage liquidity risk, which may increase dependence on non-core funding sources such as brokered deposits, and may negatively impact the Company’s cost of funds; (xx) the level of non-performing assets on our balance sheets; (xxi) interruptions involving our information technology and communications systems or third-party servicers; (xxii) the occurrence of fraudulent activity, breaches or failures of our third-party vendors’ information security controls or cybersecurity-related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools or as a result of insider fraud; (xxiii) changes in the interest rates and repayment rates of the Company’s assets; (xxiv) the effectiveness of the Company’s risk management framework, and (xxv) the ability of the Company to manage the risks associated with the foregoing as well as anticipated. 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 SEC. Contact: Todd A. Gipple                                 President                                 Chief Financial Officer                         (309) 743-7745                                 tgipple@qcrh.com  QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)        As of December 31,September 30,June 30,March 31,December 31, 20242024202420242023       (dollars in thousands)      CONDENSED BALANCE SHEET           Cash and due from banks$91,732 $103,840 $92,173 $80,988 $97,123 Federal funds sold and interest-bearing deposits 170,592  159,159  102,262  77,020  140,369 Securities, net of allowance for credit losses 1,200,435  1,146,046  1,033,199  1,031,861  1,005,528 Loans receivable held for sale (1) 2,143  167,047  246,124  275,344  2,594 Loans/leases receivable held for investment 6,782,261  6,661,755  6,608,262  6,372,992  6,540,822 Allowance for credit losses (89,841) (86,321) (87,706) (84,470) (87,200)Intangibles 11,061  11,751  12,441  13,131  13,821 Goodwill 138,596  138,596  139,027  139,027  139,027 Derivatives 186,781  261,913  194,354  183,888  188,978 Other assets 532,270  524,779  531,855  509,768  497,832 Total assets$ 9,026,030 $ 9,088,565 $ 8,871,991 $ 8,599,549 $ 8,538,894       Total deposits$7,061,187 $6,984,633 $6,764,667 $6,806,775 $6,514,005 Total borrowings 569,532  660,344  768,671  489,633  718,295 Derivatives 214,823  285,769  221,798  211,677  214,098 Other liabilities 183,101  181,199  180,536  184,122  205,900 Total stockholders' equity 997,387  976,620  936,319  907,342  886,596 Total liabilities and stockholders' equity$ 9,026,030 $ 9,088,565 $ 8,871,991 $ 8,599,549 $ 8,538,894       ANALYSIS OF LOAN PORTFOLIO     Loan/lease mix: (2)     Commercial and industrial - revolving$387,991 $387,409 $362,115 $326,129 $325,243 Commercial and industrial - other 1,295,961  1,321,053  1,370,561  1,374,333  1,390,068 Commercial and industrial - other - LIHTC 218,971  89,028  92,637  96,276  91,710 Total commercial and industrial 1,902,923  1,797,490  1,825,313  1,796,738  1,807,021 Commercial real estate, owner occupied 605,993  622,072  633,596  621,069  607,365 Commercial real estate, non-owner occupied 1,077,852  1,103,694  1,082,457  1,055,089  1,008,892 Construction and land development 395,557  342,335  331,454  410,918  477,424 Construction and land development - LIHTC 917,986  913,841  750,894  738,609  943,101 Multi-family 303,662  324,090  329,239  296,245  284,721 Multi-family - LIHTC 828,448  973,682  1,148,244  1,007,321  711,422 Direct financing leases 17,076  19,241  25,808  28,089  31,164 1-4 family real estate 588,179  587,512  583,542  563,358  544,971 Consumer 146,728  144,845  143,839  130,900  127,335 Total loans/leases$6,784,404 $6,828,802 $6,854,386 $6,648,336 $6,543,416 Less allowance for credit losses 89,841  86,321  87,706  84,470  87,200 Net loans/leases$ 6,694,563 $ 6,742,481 $ 6,766,680 $ 6,563,866 $ 6,456,216             ANALYSIS OF SECURITIES PORTFOLIO     Securities mix:     U.S. government sponsored agency securities$20,591 $18,621 $20,101 $14,442 $14,973 Municipal securities 971,567  965,810  885,046  884,469  853,645 Residential mortgage-backed and related securities 50,042  53,488  54,708  56,071  59,196 Asset backed securities 9,224  10,455  12,721  14,285  15,423 Other securities 65,745  39,190  38,464  40,539  41,115 Trading securities (3) 83,529  58,685  22,362  22,258  22,368 Total securities$1,200,698 $1,146,249 $1,033,402 $1,032,064 $1,006,720 Less allowance for credit losses 263  203  203  203  1,192 Net securities$ 1,200,435 $ 1,146,046 $ 1,033,199 $ 1,031,861 $ 1,005,528       ANALYSIS OF DEPOSITS     Deposit mix:     Noninterest-bearing demand deposits$921,160 $969,348 $956,445 $955,167 $1,038,689 Interest-bearing demand deposits 4,828,216  4,715,087  4,644,918  4,714,555  4,338,390 Time deposits 953,496  942,847  859,593  875,491  851,950 Brokered deposits 358,315  357,351  303,711  261,562  284,976 Total deposits$ 7,061,187 $ 6,984,633 $ 6,764,667 $ 6,806,775 $ 6,514,005       ANALYSIS OF BORROWINGS     Borrowings mix:     Term FHLB advances$145,383 $145,383 $135,000 $135,000 $135,000 Overnight FHLB advances 140,000  230,000  350,000  70,000  300,000 Other short-term borrowings 1,800  2,750  1,600  2,700  1,500 Subordinated notes 233,489  233,383  233,276  233,170  233,064 Junior subordinated debentures 48,860  48,828  48,795  48,763  48,731 Total borrowings$ 569,532 $ 660,344 $ 768,671 $ 489,633 $ 718,295  (1)Loans with a fair value of $0 million, $165.9 million, $243.2 million, $274.8 million and $0 million have been identified for securitization and are included in LHFS at December 31, 2024, September 30, 2024, June 30, 2024, March 31, 2024 and December 31, 2023, respectively.(2)Loan categories with significant LIHTC loan balances have been broken out separately. Total LIHTC balances within the loan/lease portfolio were $2.0 billion at December 31, 2024.(3)Trading securities consisted of retained beneficial interests acquired in conjunction with Freddie Mac securitizations completed by the Company.   QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)                    For the Quarter Ended  December 31,September 30,June 30,March 31,December 31,  20242024202420242023  (dollars in thousands, except per share data)                 INCOME STATEMENT                Interest income $121,642 $125,420 $119,746 $115,049 $112,248 Interest expense  60,438  65,698  63,583  60,350  56,512 Net interest income  61,204  59,722  56,163  54,699  55,736 Provision for credit losses  5,149  3,484  5,496  2,969  5,199 Net interest income after provision for credit losses $ 56,055 $ 56,238 $ 50,667 $ 51,730 $ 50,537                                   Trust fees $3,456 $3,270 $3,103 $3,199 $3,084 Investment advisory and management fees  1,320  1,229  1,214  1,101  1,052 Deposit service fees  2,228  2,294  1,986  2,022  2,008 Gains on sales of residential real estate loans, net  734  385  540  382  323 Gains on sales of government guaranteed portions of loans, net  49  -  12  24  24 Capital markets revenue  20,552  16,290  17,758  16,457  36,956 Earnings on bank-owned life insurance  797  814  2,964  868  832 Debit card fees  1,555  1,575  1,571  1,466  1,561 Correspondent banking fees  560  507  510  512  465 Loan related fee income  950  949  962  836  845 Fair value gain (loss) on derivatives and trading securities  (1,781) (886) 51  (163) (582)Other  205  730  218  154  1,161 Total noninterest income $ 30,625 $ 27,157 $ 30,889 $ 26,858 $ 47,729                                   Salaries and employee benefits $33,610 $31,637 $31,079 $31,860 $41,059 Occupancy and equipment expense  6,354  6,168  6,377  6,514  6,789 Professional and data processing fees  5,480  4,457  4,823  4,613  4,223 Restructuring expense  -  1,954  -  -  - FDIC insurance, other insurance and regulatory fees  1,934  1,711  1,854  1,945  2,115 Loan/lease expense  513  587  151  378  834 Net cost of (income from) and gains/losses on operations of other real estate  23  (42) 28  (30) 38 Advertising and marketing  1,886  2,124  1,565  1,483  1,641 Communication and data connectivity  345  333  318  401  449 Supplies  252  278  259  275  333 Bank service charges  635  603  622  568  761 Correspondent banking expense  328  325  363  305  300 Intangibles amortization  691  690  690  690  716 Goodwill impairment  -  431  -  -  - Payment card processing  516  785  706  646  836 Trust expense  381  395  379  425  413 Other  551  1,129  674  617  431 Total noninterest expense $ 53,499 $ 53,565 $ 49,888 $ 50,690 $ 60,938                  Net income before income taxes $ 33,181 $ 29,830 $ 31,668 $ 27,898 $ 37,328 Federal and state income tax expense  2,956  2,045  2,554  1,172  4,473 Net income $ 30,225 $ 27,785 $ 29,114 $ 26,726 $ 32,855                  Basic EPS $1.80 $1.65 $1.73 $1.59 $1.96 Diluted EPS $1.77 $1.64 $1.72 $1.58 $1.95                                   Weighted average common shares outstanding  16,871,652  16,846,200  16,814,814  16,783,348  16,734,080 Weighted average common and common equivalent shares outstanding  17,024,481  16,982,400  16,921,854  16,910,675  16,875,952                   QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)           For the Year Ended  December 31, December 31,  2024 2023           (dollars in thousands, except per share data)         INCOME STATEMENT        Interest income $481,857  $413,410 Interest expense  250,069   192,404 Net interest income  231,788   221,006 Provision for credit losses  17,098   16,539 Net interest income after provision for credit losses $ 214,690  $ 204,467                   Trust fees $13,028  $11,697 Investment advisory and management fees  4,864   3,864 Deposit service fees  8,530   8,177 Gains on sales of residential real estate loans, net  2,041   1,611 Gains on sales of government guaranteed portions of loans, net  85   54 Capital markets revenue  71,057   92,065 Securities losses, net  -   (451)Earnings on bank-owned life insurance  5,443   4,184 Debit card fees  6,167   6,200 Correspondent banking fees  2,089   1,662 Loan related fee income  3,697   3,066 Fair value loss on derivatives and trading securities  (2,779)  (1,262)Other  1,307   1,817 Total noninterest income $ 115,529  $ 132,684                   Salaries and employee benefits $128,186  $136,619 Occupancy and equipment expense  25,413   25,031 Professional and data processing fees  19,373   16,271 Post-acquisition compensation, transition and integration costs  -   207 Restructuring expense  1,954   - FDIC insurance, other insurance and regulatory fees  7,444   7,137 Loan/lease expense  1,629   2,868 Net cost of (income from) and gains/losses on operations of other real estate  (21)  (26)Advertising and marketing  7,058   6,042 Communication and data connectivity  1,397   2,063 Supplies  1,064   1,254 Bank service charges  2,428   2,592 Correspondent banking expense  1,321   963 Intangibles amortization  2,761   2,938 Goodwill impairment  431   - Payment card processing  2,653   2,656 Trust expense  1,580   1,396 Other  2,971   2,520 Total noninterest expense $ 207,642  $ 210,531          Net income before income taxes $ 122,577  $ 126,620 Federal and state income tax expense  8,727   13,062 Net income $ 113,850  $ 113,558          Basic EPS $6.77  $6.79 Diluted EPS $6.71  $6.73                   Weighted average common shares outstanding  16,829,004   16,732,406 Weighted average common and common equivalent shares outstanding  16,959,853   16,866,391           QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)                        As of and for the Quarter Ended For the Year Ended December 31,September 30,June 30,March 31,December 31, December 31,December 31, 20242024202420242023 20242023                        (dollars in thousands, except per share data)                       COMMON SHARE DATA                      Common shares outstanding 16,882,045  16,861,108  16,824,985  16,807,056  16,749,254        Book value per common share (1)$59.08 $57.92 $55.65 $53.99 $52.93        Tangible book value per common share (Non-GAAP) (2)$50.21 $49.00 $46.65 $44.93 $43.81        Closing stock price$80.64 $74.03 $60.00 $60.74 $58.39        Market capitalization$1,361,368 $1,248,228 $1,009,499 $1,020,861 $977,989        Market price / book value 136.49% 127.81% 107.82% 112.51% 100.31%       Market price / tangible book value 160.59% 151.07% 128.62% 135.18% 133.29%       Earnings per common share (basic) LTM (3)$6.77 $6.93 $6.78 $6.75 $6.78        Price earnings ratio LTM (3) 11.91 x  10.68 x  8.85 x  9.00 x  8.61 x        TCE / TA (Non-GAAP) (4) 9.55% 9.24% 9.00% 8.94% 8.75%                                                     CONDENSED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY                      Beginning balance$976,620 $936,319 $907,342 $886,596 $828,383        Net income 30,225  27,785  29,114  26,726  32,855        Other comprehensive income (loss), net of tax (9,628) 12,057  (368) (5,373) 25,363        Common stock cash dividends declared (1,013) (1,012) (1,008) (1,008) (1,004)       Other (5) 1,183  1,471  1,239  401  999        Ending balance$ 997,387 $ 976,620 $ 936,319 $ 907,342 $ 886,596                                                      REGULATORY CAPITAL RATIOS (6):                      Total risk-based capital ratio 14.10% 13.87% 14.21% 14.30% 14.29%       Tier 1 risk-based capital ratio 10.57% 10.33% 10.49% 10.50% 10.27%       Tier 1 leverage capital ratio 10.73% 10.50% 10.40% 10.33% 10.03%       Common equity tier 1 ratio 10.03% 9.79% 9.92% 9.91% 9.67%                                                     KEY PERFORMANCE RATIOS AND OTHER METRICS                       Return on average assets (annualized) 1.34% 1.24% 1.33% 1.25% 1.54%  1.29% 1.39%Return on average total equity (annualized) 12.15% 11.55% 12.63% 11.83% 15.42%  12.04% 13.78%Net interest margin 2.95% 2.90% 2.82% 2.82% 2.90%  2.88% 2.97%Net interest margin (TEY) (Non-GAAP)(7) 3.43% 3.37% 3.27% 3.25% 3.32%  3.33% 3.35%Efficiency ratio (Non-GAAP) (8) 58.26% 61.65% 57.31% 62.15% 58.90%  59.78% 59.52%Gross loans/leases held for investment / total assets 75.14% 73.30% 74.48% 74.11% 76.60%  75.14% 76.63%Gross loans/leases held for investment / total deposits 96.05% 95.38% 97.69% 93.63% 100.41%  96.05% 100.45%Effective tax rate 8.91% 6.86% 8.06% 4.20% 11.98%  7.12% 10.32%Full-time equivalent employees 980  976  988  986  996   980  996                                               AVERAGE BALANCES                       Assets$9,050,280 $8,968,653 $8,776,002 $8,550,855 $8,535,732  $8,837,393 $8,165,805 Loans/leases 6,839,153  6,840,527  6,779,075  6,598,614  6,483,572   6,764,754  6,337,551 Deposits 7,109,567  6,858,196  6,687,188  6,595,453  6,485,154   6,813,620  6,325,790 Total stockholders' equity 995,012  962,302  921,986  903,371  852,163   945,848  825,557  (1)Includes accumulated other comprehensive income (loss).(2)Includes accumulated other comprehensive income (loss) and excludes intangible assets. See GAAP to Non-GAAP reconciliations.(3)LTM : Last twelve months.(4)TCE / TCA : tangible common equity / total tangible assets. See GAAP to non-GAAP reconciliations.(5)Includes mostly common stock issued for options exercised and the employee stock purchase plan, as well as stock-based compensation.(6)Ratios for the current quarter are subject to change upon final calculation for regulatory filings due after earnings release.(7)TEY : Tax equivalent yield. See GAAP to Non-GAAP reconciliations.(8)See GAAP to Non-GAAP reconciliations.   QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)                         ANALYSIS OF NET INTEREST INCOME AND MARGIN                       For the Quarter Ended December 31, 2024 September 30, 2024 December 31, 2023 Average BalanceInterest Earned or PaidAverage Yield or Cost Average BalanceInterest Earned or PaidAverage Yield or Cost Average BalanceInterest Earned or PaidAverage Yield or Cost             (dollars in thousands)            Fed funds sold$5,617 $67  4.68% $12,596 $173  5.37% $18,644 $257  5.47%Interest-bearing deposits at financial institutions 158,151  1,823  4.59%  145,597  1,915  5.23%  72,439  986  5.40%Investment securities - taxable 375,552  4,230  4.49%  381,285  4,439  4.64%  365,686  4,080  4.45%Investment securities - nontaxable (1) 829,544  12,286  5.92%  760,645  10,744  5.65%  650,069  8,380  5.15%Restricted investment securities 33,173  608  7.17%  42,546  840  7.73%  40,625  670  6.45%Loans (1) 6,839,153  112,325  6.53%  6,840,527  116,854  6.80%  6,483,572  105,830  6.48%Total earning assets (1)$8,241,190 $131,339  6.34% $8,183,196 $134,965  6.56% $7,631,035 $120,203  6.26%            Interest-bearing deposits$4,881,914 $39,408  3.21% $4,739,757 $42,180  3.54% $4,465,279 $37,082  3.29%Time deposits 1,248,412  13,868  4.42%  1,164,560  13,206  4.51%  982,356  10,559  4.26%Short-term borrowings 1,862  22  4.67%  2,485  32  5.07%  1,101  15  5.18%Federal Home Loan Bank advances 236,525  2,802  4.64%  445,632  5,972  5.24%  360,000  4,841  5.26%Subordinated debentures 233,419  3,636  6.23%  233,313  3,616  6.20%  232,994  3,308  5.68%Junior subordinated debentures 48,839  701  5.62%  48,806  693  5.56%  48,710  708  5.68%Total interest-bearing liabilities$6,650,971 $60,437  3.61% $6,634,553 $65,699  3.93% $6,090,440 $56,513  3.68%            Net interest income (1) $70,902    $69,266    $63,690  Net interest margin (2)   2.95%    2.90%    2.90%Net interest margin (TEY) (Non-GAAP) (1) (2) (3)   3.43%    3.37%    3.32%Adjusted net interest margin (TEY) (Non-GAAP) (1) (2) (3)   3.40%    3.34%    3.29%                         For the Year Ended     December 31, 2024 December 31, 2023   Average BalanceInterest Earned or PaidAverage Yield or Cost Average BalanceInterest Earned or PaidAverage Yield or Cost                 (dollars in thousands)                Fed funds sold$12,788 $692  5.33% $19,110 $998  5.22%    Interest-bearing deposits at financial institutions 119,255  6,077  5.10%  80,924  4,137  5.11%    Investment securities - taxable 377,039  17,216  4.55%  346,579  14,927  4.30%    Investment securities - nontaxable (1) 745,502  41,843  5.61%  611,924  28,272  4.62%    Restricted investment securities 39,293  2,991  7.49%  39,273  2,346  5.89%    Loans (1) 6,764,754  449,570  6.65%  6,337,551  390,967  6.17%    Total earning assets (1)$8,058,631 $518,389  6.43% $7,435,361 $441,647  5.94%                Interest-bearing deposits$4,700,762 $161,584  3.44% $4,191,913 $121,662  2.90%    Time deposits 1,153,407  51,547  4.47%  1,010,827  37,784  3.74%    Short-term borrowings 1,850  98  5.24%  2,781  152  6.44%    Federal Home Loan Bank advances 375,214  19,751  5.18%  323,904  16,740  5.10%    Subordinated debentures 233,260  14,314  6.14%  232,837  13,230  5.68%    Junior subordinated debentures 48,791  2,775  5.59%  48,662  2,836  5.75%    Total interest-bearing liabilities$6,513,284 $250,069  3.83% $5,810,924 $192,404  3.31%                Net interest income (1) $268,320    $249,243      Net interest margin (2)   2.88%    2.97%    Net interest margin (TEY) (Non-GAAP) (1) (2) (3)   3.33%    3.35%    Adjusted net interest margin (TEY) (Non-GAAP) (1) (2) (3)   3.31%    3.32%     (1)Includes nontaxable securities and loans. Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21% effective federal tax rate.(2)See "Select Financial Data - Subsidiaries" for a breakdown of amortization/accretion included in net interest margin for each period presented.(3)TEY : Tax equivalent yield. See GAAP to Non-GAAP reconciliations.   QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)              As of December 31,September 30,June 30,March 31,December 31, 20242024202420242023       (dollars in thousands, except per share data)      ROLLFORWARD OF ALLOWANCE FOR CREDIT LOSSES ON LOANS/LEASES     Beginning balance$86,321 $87,706 $84,470 $87,200 $87,669 Change in ACL for transfer of loans to LHFS 93  (1,812) 498  (3,377) 266 Credit loss expense 6,832  3,828  4,343  3,736  2,519 Loans/leases charged off (4,787) (3,871) (1,751) (3,560) (3,354)Recoveries on loans/leases previously charged off 1,382  470  146  471  100 Ending balance$ 89,841 $ 86,321 $ 87,706 $ 84,470 $ 87,200             NONPERFORMING ASSETS      Nonaccrual loans/leases$40,080 $33,480 $33,546 $29,439 $32,753 Accruing loans/leases past due 90 days or more 4,270  1,298  87  142  86 Total nonperforming loans/leases 44,350  34,778  33,633  29,581  32,839 Other real estate owned 661  369  369  784  1,347 Other repossessed assets 543  542  512  962  - Total nonperforming assets$ 45,554 $ 35,689 $ 34,514 $ 31,327 $ 34,186             ASSET QUALITY RATIOS     Nonperforming assets / total assets 0.50% 0.39% 0.39% 0.36% 0.40%ACL for loans and leases / total loans/leases held for investment 1.32% 1.30% 1.33% 1.33% 1.33%ACL for loans and leases / nonperforming loans/leases 202.57% 248.21% 260.77% 285.55% 265.54%Net charge-offs as a % of average loans/leases 0.05% 0.05% 0.02% 0.05% 0.05%                  INTERNALLY ASSIGNED RISK RATING (1) (2)     Special mention$73,636 $80,121 $85,096 $111,729 $125,308 Substandard (3) 84,930  70,022  80,345  70,841  70,425 Doubtful (3) -  -  -  -  - Total Criticized loans (4)$158,566 $150,143 $165,441 $182,570 $195,733       Classified loans as a % of total loans/leases (3) 1.25% 1.03% 1.17% 1.07% 1.08%Total Criticized loans as a % of total loans/leases (4) 2.34% 2.20% 2.41% 2.75% 2.99% (1)During the first quarter of 2024, the Company revised the risk rating scale used for credit quality monitoring.(2)Amounts exclude the government guaranteed portion, if any. The Company assigns internal risk ratings of Pass for the government guaranteed portion.(3)Classified loans are defined as loans with internally assigned risk ratings of 10 or 11 (7 or 8 prior to January 1, 2024), regardless of performance, and include loans identified as Substandard or Doubtful.(4)Total Criticized loans are defined as loans with internally assigned risk ratings of 9, 10, or 11 (6, 7, or 8 prior to January 1, 2024), regardless of performance, and include loans identified as Special Mention, Substandard, or Doubtful.   QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)                         For the Quarter EndedFor the Year Ended  December 31, September 30, December 31, December 31, December 31,SELECT FINANCIAL DATA - SUBSIDIARIES 2024 2024 2023 2024 2023  (dollars in thousands)           TOTAL ASSETS          Quad City Bank and Trust (1) $2,588,587  $2,552,962  $2,448,957     m2 Equipment Finance, LLC  310,915   349,166   345,682     Cedar Rapids Bank and Trust  2,614,570   2,625,943   2,419,146     Community State Bank  1,531,559   1,519,585   1,426,202     Guaranty Bank  2,342,958   2,360,301   2,281,296                TOTAL DEPOSITS          Quad City Bank and Trust (1) $2,126,566  $2,205,465  $1,878,375     Cedar Rapids Bank and Trust  1,882,487   1,765,964   1,748,516     Community State Bank  1,256,938   1,269,147   1,169,921     Guaranty Bank  1,824,139   1,778,453   1,771,371                TOTAL LOANS & LEASES          Quad City Bank and Trust (1) $2,048,926  $2,090,856  $1,983,679     m2 Equipment Finance, LLC  320,237   353,259   350,641     Cedar Rapids Bank and Trust  1,761,467   1,743,809   1,698,447     Community State Bank  1,159,389   1,161,805   1,099,262     Guaranty Bank  1,814,622   1,832,331   1,762,027                TOTAL LOANS & LEASES / TOTAL DEPOSITS          Quad City Bank and Trust (1)  96%  95%  106%    Cedar Rapids Bank and Trust  94%  99%  97%    Community State Bank  92%  92%  94%    Guaranty Bank  99%  103%  99%                          TOTAL LOANS & LEASES / TOTAL ASSETS          Quad City Bank and Trust (1)  79%  82%  81%    Cedar Rapids Bank and Trust  67%  66%  70%    Community State Bank  76%  76%  77%    Guaranty Bank  77%  78%  77%               ACL ON LOANS/LEASES HELD FOR INVESTMENT AS A PERCENTAGE OF LOANS/LEASES HELD FOR INVESTMENT          Quad City Bank and Trust (1)  1.49%  1.49%  1.48%    m2 Equipment Finance, LLC  4.22%  4.11%  3.80%    Cedar Rapids Bank and Trust  1.44%  1.38%  1.39%    Community State Bank  0.98%  1.06%  1.23%    Guaranty Bank  1.25%  1.14%  1.18%               RETURN ON AVERAGE ASSETS           Quad City Bank and Trust (1)  1.09%  0.76%  0.67%  0.88%  0.92%Cedar Rapids Bank and Trust  3.12%  2.52%  3.78%  2.92%  3.17%Community State Bank  1.30%  1.46%  1.11%  1.32%  1.34%Guaranty Bank  0.91%  1.28%  1.41%  1.12%  1.16%           NET INTEREST MARGIN PERCENTAGE (2)          Quad City Bank and Trust (1)  3.53%  3.50%  3.41%  3.43%  3.37%Cedar Rapids Bank and Trust  3.95%  3.88%  3.84%  3.84%  3.83%Community State Bank  3.77%  3.76%  3.74%  3.75%  3.87%Guaranty Bank (3)  3.18%  3.12%  3.07%  3.07%  3.18%           ACQUISITION-RELATED AMORTIZATION/ACCRETION INCLUDED IN NET        INTEREST MARGIN, NET          Cedar Rapids Bank and Trust $-  $-  $-  $-  $(8)Community State Bank  (1)  (1)  (1)  (4)  67 Guaranty Bank  504   496   706   1,698   2,243 QCR Holdings, Inc. (4)  (32)  (32)  (32)  (129)  (129) (1)Quad City Bank and Trust amounts include m2 Equipment Finance, LLC, as this entity is wholly-owned and consolidated with the Bank. m2 Equipment Finance, LLC is also presented separately for certain (applicable) measurements.(2)Includes nontaxable securities and loans. Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21% effective federal tax rate.(3)Guaranty Bank's net interest margin percentage includes various purchase accounting adjustments. Excluding those adjustments, net interest margin (Non-GAAP) would have been 2.97% for the quarter ended December 31, 2024, 2.94% for the quarter ended September 30, 2024 and 2.95% for the quarter ended December 30, 2023.(4)Relates to the trust preferred securities acquired as part of the Guaranty Bank acquisition in 2017 and the Community National Bank acquisition in 2013.   QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)              As of  December 31, September 30, June 30,  March 31,  December 31,GAAP TO NON-GAAP RECONCILIATIONS 2024 2024 2024 2024 2023  (dollars in thousands, except per share data)TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS RATIO (1)                     Stockholders' equity (GAAP) $997,387  $976,620  $936,319  $907,342  $886,596 Less: Intangible assets  149,657   150,347   151,468   152,158   152,848 Tangible common equity (non-GAAP) $847,730  $826,273  $784,851  $755,184  $733,748            Total assets (GAAP) $9,026,030  $9,088,565  $8,871,991  $8,599,549  $8,538,894 Less: Intangible assets  149,657   150,347   151,468   152,158   152,848 Tangible assets (non-GAAP) $8,876,373  $8,938,218  $8,720,523  $8,447,391  $8,386,046            Tangible common equity to tangible assets ratio (non-GAAP)  9.55%  9.24%  9.00%  8.94%  8.75% (1)This ratio is a non-GAAP financial measure. The Company's management believes that this measurement is important to many investors in the marketplace who are interested in changes period-to-period in common equity. In compliance with applicable rules of the SEC, this non-GAAP measure is reconciled to stockholders' equity and total assets, which are the most directly comparable GAAP financial measures.   QCR Holding, Inc.Consolidated Financial Highlights(Unaudited)                GAAP TO NON-GAAP RECONCILIATIONS For the Quarter Ended For the Year Ended  December 31, September 30, June 30, March 31, December 31, December 31, December 31,ADJUSTED NET INCOME (1) 2024 2024 2024 2024 2023 2024 2023  (dollars in thousands, except per share data)               Net income (GAAP) $30,225  $27,785  $29,114  $26,726  $32,855  $113,850  $113,558                Less non-core items (post-tax) (2):              Income:              Securities gains (losses), net  -   -   -   -   -   -   (356)Fair value gain (loss) on derivatives, net  (2,594)  (542)  (145)  (144)  (460)  (3,425)  (997)Total non-core income (non-GAAP) $(2,594) $(542) $(145) $(144) $(460) $(3,425) $(1,353)               Expense:              Goodwill impairment  -   431   -   -   -   431   - Post-acquisition compensation, transition and integration costs  -   -   -   -   -   -   164 Restructuring expense  -   1,544   -   -   -   1,544   - Total non-core expense (non-GAAP) $-  $1,975  $-  $-  $-  $1,975  $164                Adjusted net income (non-GAAP) (1) $ 32,819  $ 30,302  $ 29,259  $ 26,870  $ 33,315  $ 119,250  $ 115,075                ADJUSTED EARNINGS PER COMMON SHARE (1)                             Adjusted net income (non-GAAP) (from above) $32,819  $30,302  $29,259  $26,870  $33,315  $119,250  $115,075                Weighted average common shares outstanding  16,871,652   16,846,200   16,814,814   16,783,348   16,734,080   16,829,004   16,732,406 Weighted average common and common equivalent shares outstanding  17,024,481   16,982,400   16,921,854   16,910,675   16,875,952   16,959,853   16,866,391                Adjusted earnings per common share (non-GAAP):              Basic $ 1.95  $ 1.80  $ 1.74  $ 1.60  $ 1.99  $ 7.09  $ 6.88 Diluted $ 1.93  $ 1.78  $ 1.73  $ 1.59  $ 1.97  $ 7.03  $ 6.82                ADJUSTED RETURN ON AVERAGE ASSETS AND AVERAGE EQUITY (1)                             Adjusted net income (non-GAAP) (from above) $32,819  $30,302  $29,259  $26,870  $33,315  $119,250  $115,075                Average Assets $9,050,280  $8,968,653  $8,776,002  $8,550,855  $8,535,732  $8,837,393  $8,165,805                Adjusted return on average assets (annualized) (non-GAAP)  1.45%  1.35%  1.33%  1.26%  1.56%  1.35%  1.41%Adjusted return on average equity (annualized) (non-GAAP)  13.19%  12.60%  12.69%  11.90%  15.64%  12.61%  13.94%               NET INTEREST MARGIN (TEY) (3)                             Net interest income (GAAP) $61,204  $59,722  $56,163  $54,699  $55,736  $231,788  $221,006 Plus: Tax equivalent adjustment (4)  9,698   9,544   8,914   8,377   7,954   36,532   28,237 Net interest income - tax equivalent (Non-GAAP) $70,902  $69,266  $65,077  $63,076  $63,690  $268,320  $249,243 Less: Acquisition accounting net accretion  471   463   268   363   673   1,565   2,173 Adjusted net interest income $70,431  $68,803  $64,809  $62,713  $63,017  $266,755  $247,070                Average earning assets $8,241,190  $8,183,196  $7,999,044  $7,807,720  $7,631,035  $8,058,631  $7,435,361                Net interest margin (GAAP)  2.95%  2.90%  2.82%  2.82%  2.90%  2.88%  2.97%Net interest margin (TEY) (Non-GAAP)  3.43%  3.37%  3.27%  3.25%  3.32%  3.33%  3.35%Adjusted net interest margin (TEY) (Non-GAAP)  3.40%  3.34%  3.26%  3.24%  3.29%  3.31%  3.32%               EFFICIENCY RATIO (5)                             Noninterest expense (GAAP) $53,499  $53,565  $49,888  $50,690  $60,938  $207,642  $210,531                Net interest income (GAAP) $61,204  $59,722  $56,163  $54,699  $55,736  $231,788  $221,006 Noninterest income (GAAP)  30,625   27,157   30,889   26,858   47,729   115,529   132,684 Total income $91,829  $86,879  $87,052  $81,557  $103,465  $347,317  $353,690                Efficiency ratio (noninterest expense/total income) (Non-GAAP)  58.26%  61.65%  57.31%  62.15%  58.90%  59.78%  59.52%Adjusted efficiency ratio (core noninterest expense/core total income) (Non-GAAP)  56.25%  58.45%  57.19%  62.01%  58.57%  58.37%  59.18% (1)Adjusted net income, adjusted earnings per common share, adjusted return on average assets and average equity are non-GAAP financial measures. The Company's management believes that these measurements are important to investors as they exclude non-core or non-recurring income and expense items, therefore, they provide a more realistic run-rate for future periods. In compliance with applicable rules of the SEC, these non-GAAP measures are reconciled to net income, which is the most directly comparable GAAP financial measure.(2)Non-core or non-recurring items (post-tax) are calculated using an estimated effective federal tax rate of 21% with the exception of goodwill impairment which is not deductible for tax.(3)Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21% effective federal tax rate.(4)Net interest margin (TEY) is a non-GAAP financial measure. The Company's management utilizes this measurement to take into account the tax benefit associated with certain loans and securities. It is also standard industry practice to measure net interest margin using tax-equivalent measures. In compliance with applicable rules of the SEC, this non-GAAP measure is reconciled to net interest income, which is the most directly comparable GAAP financial measure. In addition, the Company calculates net interest margin without the impact of acquisition accounting net accretion as this can fluctuate and it's difficult to provide a more realistic run-rate for future periods.(5)Efficiency ratio is a non-GAAP measure. The Company's management utilizes this ratio to compare to industry peers. The ratio is used to calculate overhead as a percentage of revenue. In compliance with the applicable rules of the SEC, this non-GAAP measure is reconciled to noninterest expense, net interest income and noninterest income, which are the most directly comparable GAAP financial measures.  

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