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    Nicolet Bankshares, Inc. Announces Third Quarter 2021 Earnings

    10/19/21 4:02:00 PM ET
    $ICBK
    $NCBS
    Major Banks
    Finance
    Major Banks
    Finance
    Get the next $ICBK alert in real time by email

    GREEN BAY, Wis., Oct. 19, 2021 /PRNewswire/ -- Nicolet Bankshares, Inc. (NASDAQ:NCBS) ("Nicolet") announced third quarter 2021 net income of $7.8 million and earnings per diluted common share of $0.73, compared to $18.3 million and $1.77 for second quarter 2021, and $18.1 million and $1.72 for third quarter 2020, respectively.  Annualized quarterly return on average assets was 0.59%, 1.62% and 1.55%, for third quarter 2021, second quarter 2021 and third quarter 2020, respectively.

    Nicolet Bankshares, Inc. Logo (PRNewsFoto/Nicolet Bankshares, Inc.)

    Net income for the nine months ended September 30, 2021 was $44.3 million and earnings per diluted common share was $4.22, compared to net income of $42.1 million and earnings per diluted common share of $3.97 for the first nine months of 2020.  Annualized return on average assets was 1.24% and 1.35% for the first nine months of 2021 and 2020, respectively.

    On September 3, 2021, Nicolet completed its merger with Mackinac Financial Corporation ("Mackinac"), pursuant to the terms of the definitive merger agreement dated April 12, 2021, at which time Mackinac merged with and into Nicolet, expanding Nicolet prominently into Northern Michigan and the Upper Peninsula of Michigan, and adding to Nicolet's presence in upper northeastern Wisconsin.  Mackinac shareholders received fixed consideration of 0.22 shares of Nicolet common stock and $4.64 in cash for each share of Mackinac common stock owned, resulting in the issuance of 2.3 million shares of Nicolet common stock for stock consideration of $180 million and cash consideration of $49 million, or a total purchase price of $229 million.  Upon consummation, Mackinac added total assets of $1.5 billion, loans of $0.9 billion, deposits of $1.4 billion and preliminary goodwill of $92 million. 

    "We fully expected this to be a noisy quarter from a financial perspective with the closing of the Mackinac acquisition, and the financial results certainly proved that to be true.  However, we view our acquisitions as long-term investments in the Nicolet franchise, which helps dampen some of the noise. Our integration team delivered another solid performance of combining two banks.  We are especially pleased with the core performance of the bank this quarter.  Our people did a great job of serving our customers without being distracted by the Mackinac integration.  We remain focused on introducing our brand to new communities, introducing our culture to new employees, and operating an outstanding community bank," said Mike Daniels, President and CEO of Nicolet.

    "Our organic loan growth is pacing at 7.5% annualized, and continues to stay ahead of our PPP forgiveness activity.  Our credit metrics, including the addition of Mackinac, remain pristine and reflective of our strong credit culture," Daniels said.  "We continue to focus on capital management, and although we were out of the market for about half of the quarter due to our M&A activity and related shareholder meetings, we repurchased $17.1 million or 233,594 of our shares through our repurchase program."

    "The merger, while an exciting part of our business model, created some disruption in our reported earnings performance; however, internally we continue to measure and monitor these results to make sure we are remaining true to our commitment to provide superior shareholder return," commented Bob Atwell, Executive Chairman of Nicolet. 

    Balance Sheet Review

    At September 30, 2021, period end assets were $6.4 billion, an increase of $1.8 billion (40%) from June 30, 2021, largely due to the acquisition of Mackinac, which added $1.5 billion of assets at acquisition.  Total loans increased $0.7 billion from June 30, 2021, with Mackinac adding loans of $0.9 billion at acquisition, partly offset by the transfer of $0.2 billion of loans to other assets held for sale in anticipation of the previously announced sale of the Birmingham, Michigan branch.  Total deposits of $5.4 billion at September 30, 2021, increased $1.5 billion (38%) from June 30, 2021, largely due to the acquisition of Mackinac.  Total capital was $729 million at September 30, 2021, an increase of $170 million since June 30, 2021, mostly due to the acquisition of Mackinac. For the quarter ended September 30, 2021, Nicolet repurchased 233,594 shares at a total cost of $17.1 million, or an average per share cost of $73.31.

    During 2020, we originated 2,725 PPP loans totaling $351 million, bearing a 1% contractual rate, and earned a $12.3 million fee. During 2021, under the latest round of the SBA's program, Nicolet originated 2,205 PPP loans totaling $160 million and earned a $9.3 million fee. Of the total fees, $5.7 million was accreted into interest in 2020 and $9.8 million was accreted in the first nine months of 2021.  At September 30, 2021, the net carrying value of all remaining PPP loans was $72 million (2% of total loans), a $78 million decrease from June 30, 2021, with the $28 million added from the Mackinac acquisition more than offset by continued loan forgiveness.      

    Asset Quality

    Nonperforming assets were $21 million at September 30, consisting of $17 million of nonaccrual loans and $4 million of other real estate owned (primarily closed bank branch properties yet to be sold), and representing 0.33% of total assets, compared to $10 million or 0.21% at June 30, 2021, and $12 million or 0.25% at September 30, 2020.  Since the prior quarter, the allowance for credit losses-loans increased $6 million to $38 million, mostly due to the Day 2 allowance increase from the acquisition of Mackinac.  At September 30, 2021, the allowance represented 1.09% of total loans.

    Income Statement Review

    Net income for third quarter 2021 was $7.8 million, compared to net income of $18.3 million for second quarter 2021 and net income of $18.1 million for third quarter 2020.

    Net interest income was $35.2 million for third quarter 2021, $0.4 million (1%) lower than $35.6 million for second quarter 2021, comprised of $0.4 million higher interest income more than offset by $0.8 million higher interest expense.  Between the sequential quarters, the lower net interest income included favorable volume variances (up $1.8 million) and one additional earning day (up $0.3 million), offset by unfavorable rate changes (down $2.5 million).   

    Average interest-earning assets of $4.7 billion were up $625 million from second quarter 2021, with higher average loans (up $207 million, mostly timing of the Mackinac acquisition) and continued growth in other interest-earning assets (up $344 million, mostly cash), resulting in a shift in the mix of average interest-earning assets to lower yielding assets.  Other interest-earning assets increased to 22% of total interest-earning assets for third quarter 2021 (compared to 17% for second quarter 2021), while the percentage of loans declined to represent 65% of total interest-earning assets for third quarter 2021 (compared to 70% in the prior quarter).  Average interest-bearing liabilities of $3.1 billion increased $408 million from second quarter 2021, with higher average interest-bearing deposits (up $308 million, mostly timing of the Mackinac acquisition) and an increase in other interest-bearing liabilities (up $100 million due to the subordinated notes issuance in July). 

    The net interest margin for third quarter 2021 was 2.94%, down 51bps from 3.45% for second quarter 2021. The yield on interest-earning assets decreased 48bps (to 3.24%), mostly due to the change in mix of interest-earnings assets, including a higher proportion of lower yielding cash assets, continued PPP loan forgiveness, and lower yield on all other loans (down 13bps from the prior quarter, pressured by new or renewed loans in the low rate environment).  The cost of funds increased 5bps (to 0.46%) for third quarter 2021, attributable mainly to the $100 million subordinated notes issued in July.

    Noninterest income was $14.0 million for third quarter 2021, down $6.2 million (31%) compared to second quarter 2021. Excluding net asset gains (losses), noninterest income was $15.2 million, down $0.8 million (5%) from second quarter 2021.  Net mortgage income of $4.8 million remains strong, though continues to slow from the record levels experienced in 2020. Trust services fee income and brokerage fee income combined increased $0.3 million (6%) over second quarter 2021.  Net asset losses were $1.2 million (comprised primarily of market losses on an equity investment), compared to net asset gains of $4.2 million in second quarter 2021 (comprised primarily of market gains on the same equity investment's initial public offering during the quarter). All remaining noninterest income categories combined decreased $0.3 million from second quarter 2021 largely due to the favorable resolution of an early lease termination in the prior quarter. 

    Noninterest expense of $33.1 million increased $2.3 million (8%) from second quarter 2021. Personnel expense decreased $0.2 million (1%) from second quarter 2021, while all non-personnel expenses combined increased $2.5 million (18%) over second quarter 2021.  The increase in non-personnel expenses was largely due to higher merger-related expense, a $0.9 million impairment charge for the previously announced closure of five legacy Nicolet branches, and a larger operating base, partly offset by a $2 million contract termination charge incurred in second quarter. 

    On June 22, 2021, we entered into a definitive merger agreement with County Bancorp, Inc. ("County" (NASDAQ: ICBK)) pursuant to which County will merge with and into Nicolet, to become the premier agriculture lender throughout Wisconsin.  Pursuant to the terms and subject to the conditions set forth in the Merger Agreement, County shareholders will have the right to receive for each share of County common stock, at the election of each holder and subject to proration, either $37.18 in cash or 0.48 shares of Nicolet common stock.  County shareholder elections will be prorated to ensure the total consideration will consist of approximately 20% cash and approximately 80% common stock.  At June 30, 2021, County had total assets of $1.5 billion, loans of $1.0 billion, deposits of $1.1 billion and equity of $175 million.  As of September 7, 2021, Nicolet had received all regulatory approvals for the County merger.  On October 5, 2021, the shareholders of both County and Nicolet approved the merger at special meetings of their respective shareholders held on that date. Nicolet expects to close the merger on December 3, 2021, subject to customary closing conditions.

    About Nicolet Bankshares, Inc.

    Nicolet Bankshares, Inc. is the bank holding company of Nicolet National Bank, a growing, full-service, community bank providing services ranging from commercial and consumer banking to wealth management and retirement plan services.  Founded in Green Bay in 2000, Nicolet National Bank operates branches in Northeast and Central Wisconsin, Northern Michigan and the upper peninsula of Michigan.  More information can be found at www.nicoletbank.com.

    Forward Looking Statements "Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995

    Certain statements contained in this communication, which are not statements of historical fact, constitute forward-looking statements within the meaning of the federal securities law. Such statements include, but are not limited to, statements about Nicolet's business plans, objectives, expectations and intentions, including without limitation our continuing organic loan growth, as well as certain plans, expectations, goals, projections and benefits relating to the September 2021 merger of Mackinac into Nicolet and the proposed merger between Nicolet and County, all of which are subject to numerous assumptions, risks and uncertainties. Words or phrases such as "anticipate," "believe," "aim," "can," "conclude," "continue," "could," "estimate," "expect," "foresee," "goal," "intend," "may," "might," "outlook," "possible," "plan," "predict," "project," "potential," "seek," "should," "target," "will," "will likely," "would," or the negative of these terms or other comparable terminology, as well as similar expressions, are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.

    Forward-looking statements are not historical facts but instead express only management's beliefs regarding future results or events, many of which, by their nature, are inherently uncertain and outside of management's control. It is possible that actual results and outcomes may differ, possibly materially, from the anticipated results or outcomes indicated in these forward-looking statements. In addition to factors disclosed in reports filed by Nicolet with the SEC, risks and uncertainties, including but not limited to risks and uncertainties for Nicolet with respect to its completed merger with Mackinac and its proposed merger with County, that may cause actual results or outcomes to differ materially from those anticipated include, but are not limited to: (1) the possibility that any of the anticipated benefits of either or both of the mergers will not be realized or will not be realized within the expected time period; (2) the risk that integration of Mackinac's operations and/or County's operations with those of Nicolet will be materially delayed or will be more costly or difficult than expected; (3) the inability of Nicolet and/or County to meet expectations regarding the timing of their proposed merger; (4) changes to tax legislation and their potential effects on the accounting for the mergers; (5) the failure of Nicolet and/or County to satisfy any remaining conditions to completion of their proposed merger; (6) the failure of the proposed merger with County to close for any other reason; (7) diversion of management's attention from ongoing business operations and opportunities due to the completed merger with Mackinac and the proposed merger with County; (8) the challenges of integrating and retaining key employees of Nicolet, including those who joined Nicolet from Mackinac, as well as key employees of County; (9) the effect of the announcements and completion of the mergers on Nicolet's, Mackinac's, County's, and/or the combined companies' respective customer and employee relationships and operating results; (10) the possibility that the Mackinac integration, as well as the proposed merger with and integration of County, may be more expensive and time-consuming to complete than anticipated, including as a result of unexpected factors or events; (11) dilution caused by Nicolet's issuance of additional shares of Nicolet common stock in connection with the completed merger with Mackinac and the proposed merger with County; (12) the magnitude and duration of the COVID pandemic and its impact on the global economy and financial market conditions and the business, results of operations and financial condition of Nicolet, County, and the combined company; (13) changes in consumer demand for financial services; and (14) general competitive, economic, political and market conditions and fluctuations.  Please refer to each of Nicolet's, Mackinac's, and County's Annual Report on Form 10-K for the year ended December 31, 2020, as well as their other filings with the SEC, for a more detailed discussion of risks, uncertainties and factors that could cause actual results to differ from those discussed in the forward-looking statements.

    The COVID pandemic is adversely affecting us, our customers, counterparties, employees, and third-party service providers, and the ultimate extent of the impacts on our business, financial position, results of operations, liquidity, and prospects is uncertain. Continued deterioration in general business and economic conditions or turbulence in domestic financial markets could adversely affect Nicolet's revenues and the values of its assets and liabilities, lead to a tightening of credit, and increase stock price volatility. In addition, the COVID pandemic may result in changes to statutes, regulations, or regulatory policies or practices that could affect Nicolet in substantial and unpredictable ways.

    All forward-looking statements included in this communication are made as of the date hereof and are based on information available to management at that time. Except as required by law, Nicolet does not assume any obligation to update any forward-looking statement to reflect events or circumstances that occur after the date the forward-looking statements were made.

    Important Information for Investors

    This communication relates to the proposed merger transaction involving Nicolet and County. In connection with the proposed merger, Nicolet has filed a joint proxy statement-prospectus on Form S-4 and other relevant documents concerning the merger with the Securities and Exchange Commission (the "SEC"). BEFORE MAKING ANY INVESTMENT DECISION, INVESTORS ARE URGED TO READ THE JOINT PROXY STATEMENT-PROSPECTUS AND ANY OTHER DOCUMENTS FILED OR TO BE FILED WITH THE SEC IN CONNECTION WITH THE PROPOSED MERGER OR INCORPORATED BY REFERENCE IN THE JOINT PROXY STATEMENT-PROSPECTUS BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT NICOLET, COUNTY, AND THE PROPOSED MERGER. Investors may obtain copies of the joint proxy statement-prospectus and other relevant documents free of charge at the SEC's website (www.sec.gov). Copies of the documents filed with the SEC by Nicolet are available free of charge on Nicolet's website at www.nicoletbank.com. Copies of the documents filed with the SEC by County are available free of charge on County's website at Investors.ICBK.com/documents.

    No Offer or Solicitation

    This communication shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation, or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.

    Nicolet Bankshares, Inc.





















    Consolidated Balance Sheets (Unaudited)

















    At or for the Three Months Ended





    09/30/2021



    06/30/2021



    03/31/2021



    12/31/2020



    09/30/2020

    (In thousands, except share data)





















    Assets:





















    Cash and due from banks



    $

    217,608





    $

    77,634





    $

    61,295





    $

    88,460





    $

    67,922



    Interest-earning deposits



    1,132,997





    714,772





    674,559





    714,399





    785,642



    Cash and cash equivalents



    1,350,605





    792,406





    735,854





    802,859





    853,564



    Certificates of deposit in other banks



    24,079





    23,387





    27,296





    29,521





    32,969



    Securities available for sale, at fair value



    715,942





    562,028





    558,229





    539,337





    535,351



    Securities held to maturity, at amortized cost



    49,063





    —





    —





    —





    —



    Other investments



    38,602





    33,440





    28,248





    27,619





    26,636



    Loans held for sale



    16,784





    11,235





    16,883





    21,450





    8,384



    Other assets held for sale



    177,627





    —





    —





    —





    —



    Loans



    3,533,198





    2,820,331





    2,846,351





    2,789,101





    2,908,793



    Allowance for credit losses - loans



    (38,399)





    (32,561)





    (32,626)





    (32,173)





    (31,388)



    Loans, net



    3,494,799





    2,787,770





    2,813,725





    2,756,928





    2,877,405



    Premises and equipment, net



    83,513





    61,618





    59,413





    59,944





    64,184



    Bank owned life insurance ("BOLI")



    100,690





    84,347





    83,788





    83,262





    82,905



    Goodwill and other intangibles, net



    269,954





    173,711





    174,501





    175,353





    176,213



    Accrued interest receivable and other assets



    86,162





    57,405





    45,867





    55,516





    48,764



    Total assets



    $

    6,407,820





    $

    4,587,347





    $

    4,543,804





    $

    4,551,789





    $

    4,706,375

























    Liabilities and Stockholders' Equity





















    Liabilities:





















    Noninterest-bearing demand deposits



    $

    1,852,119





    $

    1,324,994





    $

    1,216,477





    $

    1,212,787





    $

    1,135,384



    Interest-bearing deposits



    3,576,655





    2,614,028





    2,684,117





    2,697,612





    2,577,424



    Total deposits



    5,428,774





    3,939,022





    3,900,594





    3,910,399





    3,712,808



    Short-term borrowings



    —





    —





    —





    —





    —



    Long-term borrowings



    144,233





    45,108





    43,988





    53,869





    405,826



    Other liabilities held for sale



    47,496





    —





    —





    —





    —



    Accrued interest payable and other liabilities



    58,039





    43,822





    49,176





    48,332





    48,872



    Total liabilities



    5,678,542





    4,027,952





    3,993,758





    4,012,600





    4,167,506



    Stockholders' Equity:





















    Common stock



    120





    98





    100





    100





    102



    Additional paid-in capital



    425,367





    261,096





    271,388





    273,390





    289,536



    Retained earnings



    297,299





    289,475





    271,191





    252,952





    234,965



    Accumulated other comprehensive income (loss)



    6,492





    8,726





    7,367





    12,747





    13,465



    Total Nicolet stockholders' equity



    729,278





    559,395





    550,046





    539,189





    538,068



    Noncontrolling interest



    —





    —





    —





    —





    801



    Total liabilities, noncontrolling interest, and  stockholders' equity



    $

    6,407,820





    $

    4,587,347





    $

    4,543,804





    $

    4,551,789





    $

    4,706,375

























    Common shares outstanding



    11,952,438





    9,843,141





    9,987,897





    10,011,342





    10,196,228































































    Nicolet Bankshares, Inc.





























    Consolidated Statements of Income (Unaudited)

























    At or for the Three Months Ended



    At or for the Nine Months Ended





    09/30/2021



    06/30/2021



    03/31/2021



    12/31/2020



    09/30/2020



    9/30/2021



    9/30/2020

    (In thousands, except per share data)





























    Interest income:





























    Loans, including loan fees



    $

    35,294





    $

    35,111





    $

    33,862





    $

    34,781





    $

    34,047





    $

    104,267





    $

    101,591



    Taxable investment securities



    2,061





    2,060





    1,814





    2,003





    2,001





    5,935





    6,115



    Tax-exempt investment securities



    517





    520





    545





    559





    542





    1,582





    1,542



    Other interest income



    869





    616





    655





    694





    680





    2,140





    1,917



    Total interest income



    38,741





    38,307





    36,876





    38,037





    37,270





    113,924





    111,165



    Interest expense:





























    Deposits



    2,444





    2,433





    2,922





    3,445





    3,784





    7,799





    13,196



    Short-term borrowings



    —





    —





    —





    1





    —





    —





    65



    Long-term borrowings



    1,113





    303





    313





    573





    926





    1,729





    2,584



    Total interest expense



    3,557





    2,736





    3,235





    4,019





    4,710





    9,528





    15,845



    Net interest income



    35,184





    35,571





    33,641





    34,018





    32,560





    104,396





    95,320



    Provision for credit losses



    6,000





    —





    500





    1,300





    3,000





    6,500





    9,000



    Net interest income after provision for credit losses



    29,184





    35,571





    33,141





    32,718





    29,560





    97,896





    86,320



    Noninterest income:





























    Trust services fee income



    2,043





    1,906





    1,775





    1,746





    1,628





    5,724





    4,717



    Brokerage fee income



    3,154





    2,991





    2,793





    2,673





    2,489





    8,938





    7,080



    Mortgage income, net



    4,808





    5,599





    7,230





    7,842





    9,675





    17,637





    21,965



    Service charges on deposit accounts



    1,314





    1,136





    1,091





    1,133





    1,037





    3,541





    3,075



    Card interchange income



    2,299





    2,266





    1,927





    1,922





    1,877





    6,492





    5,076



    BOLI income



    572





    559





    527





    936





    531





    1,658





    1,774



    Asset gains (losses), net



    (1,187)





    4,192





    711





    (620)





    217





    3,716





    (1,185)



    Other noninterest income



    993





    1,529





    1,072





    1,247





    1,237





    3,594





    3,245



    Total noninterest income



    13,996





    20,178





    17,126





    16,879





    18,691





    51,300





    45,747



    Noninterest expense:





























    Personnel expense



    16,927





    17,084





    15,116





    15,244





    14,072





    49,127





    41,877



    Occupancy, equipment and office



    5,749





    4,053





    4,137





    4,102





    4,051





    13,939





    12,616



    Business development and marketing



    1,654





    1,210





    989





    713





    810





    3,853





    4,683



    Data processing



    2,939





    2,811





    2,658





    2,921





    2,612





    8,408





    7,574



    Intangibles amortization



    758





    790





    852





    860





    834





    2,400





    2,707



    FDIC assessments



    480





    480





    595





    360





    347





    1,555





    347



    Merger-related expense



    2,793





    656





    —





    167





    151





    3,449





    853



    Other noninterest expense



    1,761





    3,663





    1,734





    1,000





    808





    7,158





    4,695



    Total noninterest expense



    33,061





    30,747





    26,081





    25,367





    23,685





    89,889





    75,352



    Income before income tax expense



    10,119





    25,002





    24,186





    24,230





    24,566





    59,307





    56,715



    Income tax expense



    2,295





    6,718





    5,947





    6,145





    6,434





    14,960





    14,331



    Net income



    7,824





    18,284





    18,239





    18,085





    18,132





    44,347





    42,384



    Net income attributable to noncontrolling interest



    —





    —





    —





    98





    30





    —





    249



    Net income attributable to Nicolet



    $

    7,824





    $

    18,284





    $

    18,239





    $

    17,987





    $

    18,102





    $

    44,347





    $

    42,135



    Earnings per common share:





























    Basic



    $

    0.75





    $

    1.85





    $

    1.82





    $

    1.79





    $

    1.75





    $

    4.39





    $

    4.04



    Diluted



    $

    0.73





    $

    1.77





    $

    1.75





    $

    1.74





    $

    1.72





    $

    4.22





    $

    3.97



    Common shares outstanding:





























    Basic weighted average



    10,392





    9,902





    9,998





    10,074





    10,349





    10,098





    10,426



    Diluted weighted average



    10,776





    10,326





    10,403





    10,350





    10,499





    10,503





    10,605































































    Nicolet Bankshares, Inc.





























    Consolidated Financial Summary (Unaudited)

























    At or for the Three Months Ended



    At or for the Nine Months Ended





    09/30/2021



    6/30/2021



    3/31/2021



    12/31/2020



    9/30/2020



    9/30/2021



    9/30/2020

    (In thousands, except share & per share data)





























    Selected Average Balances:





























    Loans



    $

    3,076,422





    $

    2,869,105





    $

    2,825,664





    $

    2,868,827





    $

    2,871,256





    $

    2,924,648





    $

    2,760,309



    Investment securities



    611,870





    537,632





    528,342





    520,867





    496,153





    559,588





    479,916



    Interest-earning assets



    4,734,768





    4,109,394





    4,089,603





    4,091,460





    4,216,106





    4,313,618





    3,768,676



    Cash and cash equivalents



    1,100,153





    716,873





    750,075





    714,031





    864,295





    856,983





    540,552



    Goodwill and other intangibles, net



    201,748





    174,026





    174,825





    175,678





    169,353





    183,632





    166,493



    Total assets



    5,246,193





    4,527,839





    4,514,927





    4,515,226





    4,633,359





    4,765,665





    4,167,902



    Deposits



    4,448,468





    3,897,797





    3,875,205





    3,793,430





    3,636,260





    4,075,923





    3,320,994



    Interest-bearing liabilities



    3,093,031





    2,684,871





    2,764,232





    2,744,578





    2,933,737





    2,848,583





    2,632,280



    Stockholders' equity (common)



    608,946





    550,974





    544,541





    537,920





    537,826





    568,390





    523,904



    Selected Ratios: (1)





























    Book value per common share



    $

    61.01





    $

    56.83





    $

    55.07





    $

    53.86





    $

    52.77





    $

    61.01





    $

    52.77



    Tangible book value per common share (2)



    $

    38.43





    $

    39.18





    $

    37.60





    $

    36.34





    $

    35.49





    $

    38.43





    $

    35.49



    Return on average assets



    0.59

    %



    1.62

    %



    1.64

    %



    1.58

    %



    1.55

    %



    1.24

    %



    1.35

    %

    Return on average common equity



    5.10





    13.31





    13.58





    13.30





    13.39





    10.43





    10.74



    Return on average tangible common equity (2)



    7.62





    19.46





    20.01





    19.75





    19.54





    15.41





    15.75



    Average equity to average assets



    11.61





    12.17





    12.06





    11.91





    11.61





    11.93





    12.57



    Stockholders' equity to assets



    11.38





    12.19





    12.11





    11.85





    11.43





    11.38





    11.43



    Tangible common equity to tangible assets (2)



    7.48





    8.74





    8.60





    8.31





    7.99





    7.48





    7.99



    Net interest margin



    2.94





    3.45





    3.31





    3.29





    3.06





    3.22





    3.35



    Efficiency ratio



    65.32





    59.37





    51.84





    48.99





    46.18





    58.86





    52.71



    Effective tax rate



    22.68





    26.87





    24.59





    25.36





    26.19





    25.22





    25.27



    Selected Asset Quality Information:





























    Nonaccrual loans



    $

    16,715





    $

    6,932





    $

    8,965





    $

    9,455





    $

    10,997





    $

    16,715





    $

    10,997



    Other real estate owned



    4,469





    2,895





    3,797





    3,608





    1,000





    4,469





    1,000



    Nonperforming assets



    $

    21,184





    $

    9,827





    $

    12,762





    $

    13,063





    $

    11,997





    $

    21,184





    $

    11,997



    Net loan charge-offs (recoveries)



    $

    58





    $

    65





    $

    47





    $

    515





    $

    743





    $

    170





    $

    869



    Allowance for credit losses-loans to loans



    1.09

    %



    1.15

    %



    1.15

    %



    1.15

    %



    1.08

    %



    1.09

    %



    1.08

    %

    Net loan charge-offs to average loans (1)



    0.01





    0.01





    0.01





    0.07





    0.10





    0.01





    0.04



    Nonperforming loans to total loans



    0.47





    0.25





    0.31





    0.34





    0.38





    0.47





    0.38



    Nonperforming assets to total assets



    0.33





    0.21





    0.28





    0.29





    0.25





    0.33





    0.25



    Stock Repurchase Information:





























    Common stock repurchased (dollars) (3)



    $

    17,125





    $

    12,453





    $

    4,102





    $

    12,909





    $

    13,732





    $

    33,680





    $

    27,635



    Common stock repurchased (full shares) (3)



    233,594





    157,418





    56,886





    205,001





    234.914





    447,898





    441,747



    Non-GAAP Financial Measures: (2)





























    Total assets



    $

    6,407,820





    $

    4,587,347





    $

    4,543,804





    $

    4,551,789





    $

    4,706,375











    Goodwill and other intangibles, net



    269,954





    173,711





    174,501





    175,353





    176,213











    Tangible assets



    $

    6,137,866





    $

    4,413,636





    $

    4,369,303





    $

    4,376,436





    $

    4,530,162











    Stockholders' equity



    $

    729,278





    $

    559,395





    $

    550,046





    $

    539,189





    $

    538,068











    Goodwill and other intangibles, net



    269,954





    173,711





    174,501





    175,353





    176,213











    Tangible common equity



    $

    459,324





    $

    385,684





    $

    375,545





    $

    363,836





    $

    361,855











    Average stockholders' equity (common)



    $

    608,946





    $

    550,974





    $

    544,541





    $

    537,920





    $

    537,826





    $

    568,390





    $

    523,904



    Average goodwill and other intangibles, net



    201,748





    174,026





    174,825





    175,678





    169,353





    183,632





    166,493



    Average tangible common equity



    $

    407,198





    $

    376,948





    $

    369,716





    $

    362,242





    $

    368,473





    $

    384,758





    $

    357,411







    1

    Income statement-related ratios for partial-year periods are annualized.

    2

    The ratios of tangible book value per common share, return on average tangible common equity, and tangible common equity to tangible assets exclude goodwill and other intangibles, net.  These financial ratios have been included as they are considered to be critical metrics with which to analyze and evaluate financial condition and capital strength. See section Non-GAAP Financial Measures for a reconciliation of these financial measures.

    3

    Reflects common stock repurchased under board of director authorizations for the common stock repurchase program.

     

    Nicolet Bankshares, Inc.























    Net Interest Income and Net Interest Margin Analysis (Unaudited)



































































    At or for the Three Months Ended







    September 30, 2021



    June 30, 2021



    September 30, 2020







    Average







    Average



    Average







    Average



    Average







    Average







    Balance



    Interest



    Rate



    Balance



    Interest



    Rate



    Balance



    Interest



    Rate



    (In thousands)







































    ASSETS







































    PPP loans



    $

    109,318





    $

    2,310





    8.27

    %



    $

    205,639





    $

    4,862





    9.35

    %



    $

    332,816





    $

    2,477





    2.91

    %



    Total loans ex PPP



    2,967,104





    33,001





    4.37

    %



    2,663,466





    30,267





    4.50

    %



    2,538,440





    31,598





    4.89

    %



    Total loans (1) (2)



    3,076,422





    35,311





    4.51

    %



    2,869,105





    35,129





    4.85

    %



    2,871,256





    34,075





    4.66

    %



    Investment securities (2)



    611,870





    2,805





    1.83

    %



    537,632





    2,794





    2.08

    %



    496,153





    2,764





    2.23

    %



    Other interest-earning assets



    1,046,476





    869





    0.33

    %



    702,657





    616





    0.35

    %



    848,697





    680





    0.32

    %



    Total interest-earning assets



    4,734,768





    $

    38,985





    3.24

    %



    4,109,394





    $

    38,539





    3.72

    %



    4,216,106





    $

    37,519





    3.50

    %



    Other assets, net



    511,425













    418,445













    417,253













    Total assets



    $

    5,246,193













    $

    4,527,839













    $

    4,633,359













    LIABILITIES AND STOCKHOLDERS' EQUITY



























    Interest-bearing core deposits



    $

    2,665,252





    $

    1,550





    0.23

    %



    $

    2,387,730





    $

    1,523





    0.26

    %



    $

    2,180,575





    $

    2,541





    0.46

    %



    Brokered deposits



    284,164





    894





    1.25

    %



    253,816





    910





    1.44

    %



    336,026





    1,243





    1.47

    %



    Total interest-bearing deposits



    2,949,416





    2,444





    0.33

    %



    2,641,546





    2,433





    0.37

    %



    2,516,601





    3,784





    0.60

    %



    PPPLF



    —





    —





    0.00

    %



    —





    —





    0.00

    %



    335,865





    297





    0.35

    %



    Other interest-bearing liabilities



    143,615





    1,113





    3.08

    %



    43,325





    303





    2.76

    %



    81,271





    629





    3.05

    %



    Total interest-bearing liabilities



    3,093,031





    $

    3,557





    0.46

    %



    2,684,871





    $

    2,736





    0.41

    %



    2,933,737





    $

    4,710





    0.64

    %



    Noninterest-bearing demand deposits



    1,499,052













    1,256,251













    1,119,659













    Other liabilities



    45,164













    35,743













    42,137













    Stockholders' equity



    608,946













    550,974













    537,826













    Total liabilities and stockholders' equity



    $

    5,246,193













    $

    4,527,839













    $

    4,633,359













    Net interest income and rate spread







    $

    35,428





    2.78

    %







    $

    35,803





    3.31

    %







    $

    32,809





    2.86

    %



    Net interest margin











    2.94

    %











    3.45

    %











    3.06

    %















































    At or for the Nine Months Ended



















    September 30, 2021



    September 30, 2020



















    Average







    Average



    Average







    Average



















    Balance



    Interest



    Rate



    Balance



    Interest



    Rate















    (In thousands)







































    ASSETS







































    PPP loans



    $

    173,463





    $

    11,123





    8.46

    %



    $

    199,662





    $

    4,263





    2.80

    %















    Total loans ex PPP



    2,751,185





    93,202





    4.48

    %



    2,560,647





    97,414





    5.01

    %















    Total loans (1) (2)



    2,924,648





    104,325





    4.71

    %



    2,760,309





    101,677





    4.85

    %















    Investment securities (2)



    559,588





    8,187





    1.95

    %



    479,916





    8,280





    2.30

    %















    Other interest-earning assets



    829,382





    2,140





    0.34

    %



    528,451





    1,917





    0.48

    %















    Total interest-earning assets



    4,313,618





    $

    114,652





    3.51

    %



    3,768,676





    $

    111,874





    3.91

    %















    Other assets, net



    452,047













    399,226

























    Total assets



    $

    4,765,665













    $

    4,167,902

























    LIABILITIES AND STOCKHOLDERS' EQUITY



























    Interest-bearing core deposits



    $

    2,483,963





    $

    4,914





    0.26

    %



    $

    2,070,500





    $

    9,894





    0.64

    %















    Brokered deposits



    284,738





    2,885





    1.35

    %



    279,165





    3,302





    1.58

    %















    Total interest-bearing deposits



    2,768,701





    7,799





    0.38

    %



    2,349,665





    13,196





    0.75

    %















    PPPLF



    —





    —





    0.00

    %



    191,535





    507





    0.35

    %















    Other interest-bearing liabilities



    79,882





    1,729





    2.87

    %



    91,080





    2,142





    3.10

    %















    Total interest-bearing liabilities



    2,848,583





    $

    9,528





    0.45

    %



    2,632,280





    $

    15,845





    0.80

    %















    Noninterest-bearing demand deposits



    1,307,222













    971,329

























    Other liabilities



    41,470













    40,389

























    Stockholders' equity



    568,390













    523,904

























    Total liabilities and stockholders' equity



    $

    4,765,665













    $

    4,167,902

























    Net interest income and rate spread







    $

    105,124





    3.06

    %







    $

    96,029





    3.11

    %















    Net interest margin











    3.22

    %











    3.35

    %



















    (1)

    Nonaccrual loans and loans held for sale are included in the daily average loan balances outstanding.

    (2)

    The yield on tax-exempt loans and tax-exempt investment securities is computed on a tax-equivalent basis using a federal tax rate of 21%, and adjusted for the disallowance of interest expense.

     

     

    Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/nicolet-bankshares-inc-announces-third-quarter-2021-earnings-301403857.html

    SOURCE Nicolet Bankshares, Inc.

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      MANITOWOC, Wis., Oct. 20, 2021 (GLOBE NEWSWIRE) -- County Bancorp, Inc. (NASDAQ:ICBK), the parent company for Investors Community Bank, announced today that on October 19, 2021, its Board of Directors declared a quarterly cash dividend of $0.10 per share. The dividend will be payable on November 19, 2021 to shareholders of record as of November 5, 2021. About County Bancorp, Inc. County Bancorp, Inc., a Wisconsin corporation and registered bank holding company founded in May 1996, and our wholly-owned subsidiary Investors Community Bank, a Wisconsin-chartered bank, are headquartered in Manitowoc, Wisconsin. The state of Wisconsin is often referred to as "America's Dairyland," and one of

      10/20/21 4:01:00 PM ET
      $ICBK
      Major Banks
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    • County Bancorp, Inc. Declares Dividend

      MANITOWOC, Wis., Aug. 18, 2021 (GLOBE NEWSWIRE) -- County Bancorp, Inc. (NASDAQ:ICBK), the parent company for Investors Community Bank, announced today that on August 17, 2021, its Board of Directors declared a quarterly cash dividend of $0.10 per share. The dividend will be payable on September 17, 2021 to shareholders of record as of September 3, 2021. "The momentum we generated at the beginning of the year continued through the second quarter, and we are pleased to announce our third quarter dividend payment," said Tim Schneider, President of County Bancorp, Inc. About County Bancorp, Inc. County Bancorp, Inc., a Wisconsin corporation and registered bank holding company founded in Ma

      8/18/21 4:01:00 PM ET
      $ICBK
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    • Nicolet Bankshares, Inc. Appoints Héctor Colón to Board of Directors

      GREEN BAY, Wis., July 20, 2021 /PRNewswire/ -- Nicolet Bankshares, Inc. (NASDAQ:NCBS) ("Nicolet"), the holding company for Nicolet National Bank, today announced the appointment of Héctor Colón to Nicolet's Board of Directors.  Mr. Colón is the President and CEO of Lutheran Social Services of Wisconsin and Upper Michigan. "Héctor is a great addition to our board," said Bob Atwell, Executive Chairman of Nicolet.  "He brings a strong track record of organizational leadership in the governmental, educational and not-for-profit sectors. He is a dedicated servant leader who has led

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    • SEC Form 4: Weyers Robert J was granted 81 shares

      4 - NICOLET BANKSHARES INC (0001174850) (Issuer)

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    • SEC Form 4: Mcclone Dustin James was granted 47 shares

      4 - NICOLET BANKSHARES INC (0001174850) (Issuer)

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    • SEC Form 4: Long Donald J Jr was granted 74 shares

      4 - NICOLET BANKSHARES INC (0001174850) (Issuer)

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    • SEC Form SC 13G/A filed

      SC 13G/A - County Bancorp, Inc. (0001470205) (Subject)

      2/12/21 1:25:54 PM ET
      $ICBK
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    • SEC Form SC 13G/A filed

      SC 13G/A - County Bancorp, Inc. (0001470205) (Subject)

      2/12/21 1:20:51 PM ET
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    • SEC Form SC 13G/A filed

      SC 13G/A - County Bancorp, Inc. (0001470205) (Subject)

      2/12/21 1:14:58 PM ET
      $ICBK
      Major Banks
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