Southern Indiana Business Report
EVANSVILLE — Old National Bancorp reported a first quarter net loss applicable to common shares of $29.6 million, diluted EPS of $(0.13), and adjusted net income applicable to common shares of $91.6 million, or $0.40 per diluted common share. Company officials noted the results are reflective of the CECL Day 1 provision expense and merger related expenses and are as expected.
“Old National’s first quarter results were driven by several factors, including robust commercial loan growth and strong credit metrics and most importantly, the completion of our transformative merger with First Midwest,” said CEO Jim Ryan. “We are positioned well for continued growth and investments that will benefit our clients, team members, communities and shareholders.”
Merger transaction
On Feb. 15, Old National Bancorp completed its merger with First Midwest Bancorp Inc. The merger added approximately $22 billion of assets, $14 billion of loans, and $17 billion of deposits. The combined company ranks among the top 35 banking companies based in the United States and creates the sixth largest commercial bank headquartered in the Midwest based on assets, with approximately $46 billion of combined assets, $31 billion of assets under management, strong commercial banking capabilities, a robust retail footprint, and a significant wealth platform.
Results of operations
Old National reported first quarter 2022 net loss applicable to common shares of $29.6 million, or $(0.13) per diluted share.
Included in the first quarter were pre-tax charges of $96.3 million of CECL Day 1 non-PCD provision expense related to the allowance established on acquired non-PCD loans and $52.3 million of expenses related to the merger with First Midwest, including $11.0 million attributable to the provision for unfunded commitments. Excluding these charges and debt securities gains from the current quarter, adjusted net income was $91.6 million, or $0.40 per diluted share.
About Old National
With approximately $46 billion of assets and $31 billion of assets under management, Old National ranks among the top 35 banking companies based in the U.S. and has been recognized as a World’s Most Ethical Company by the Ethisphere Institute for eleven consecutive years. Since its founding in 1834, Old National Bank has grown to offer comprehensive wealth management, investment, and capital market services. For more information and financial data, visit Investor Relations at oldnational.com.