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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) January 22, 2025
MidWestOne Financial Group, Inc.
(Exact name of registrant as specified in its charter)
Commission file number 001-35968
 
Iowa 42-1206172
(State or other jurisdiction
of incorporation)
 
(I.R.S. Employer
Identification Number)
102 South Clinton Street
Iowa City, Iowa 52240
(Address of principal executive offices, including zip code)
(319) 356-5800
(Registrant’s telephone number, including area code)
N/A
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2 below):
 
☐Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
☐Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
☐Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
☐Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common stock, $1.00 par valueMOFGThe Nasdaq Stock Market LLC
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b-2 of the Securities Exchange Act of 1934.
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  ☐


Item 2.02.     Results of Operations and Financial Condition.
On January 23, 2025, MidWestOne Financial Group, Inc. (the “Company”) issued a press release announcing its earnings for the three months and year ended December 31, 2024. The press release is furnished herewith as Exhibit 99.1. In addition, the Company is providing a financial supplement furnished as Exhibit 99.2 to this Current Report on Form 8-K.
The information in this item and the attached press release and financial supplement shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in any such filing.
Item 8.01.    Other Events.
The Board of Directors of the Company declared a cash dividend of $0.2425 per common share on January 22, 2025. The dividend is payable March 17, 2025, to shareholders of record at the close of business on March 3, 2025.
Item 9.01.    Financial Statements and Exhibits.
(d)    Exhibits.
MidWestOne Financial Group, Inc. press release dated January 23, 2025
MidWestOne Financial Group, Inc. financial supplement dated January 23, 2025
104Cover Page Interactive Data File (embedded within the Inline XBRL document)



SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

MIDWESTONE FINANCIAL GROUP, INC.
Dated:January 23, 2025By:
/s/ BARRY S. RAY
Barry S. Ray
Chief Financial Officer




mofglogoa01.jpg
FOR IMMEDIATE RELEASEJanuary 23, 2025

MIDWESTONE FINANCIAL GROUP, INC.
REPORTS FINANCIAL RESULTS FOR THE
FOURTH QUARTER AND FULL YEAR OF 2024

Iowa City, Iowa - MidWestOne Financial Group, Inc. (Nasdaq: MOFG) (“we”, “our”, or the "Company”) today reported results for the fourth quarter and full year of 2024.
Fourth Quarter 2024 Summary1
•Net income of $16.3 million, or $0.78 per diluted common share.
◦Return on average assets of 1.03%.
◦Net interest margin (tax equivalent) was 3.43%;2 Core net interest margin expanded 85 bps to 3.26%.2
◦Efficiency ratio improved to 59.06%2 from 70.32%2 in the linked quarter.
•Noninterest bearing deposits and core deposits increased 3.7% and 2.3%, respectively.
•Classified loan ratio improved 54 bps to 2.57%; nonperforming assets ratio remained stable at 0.40%; net charge-off ratio was 0.06%.
•Common equity tier 1 ("CET1") ratio improved 82 bps to 10.73%.

Full Year 2024 Summary1
•Noninterest bearing deposits and core deposits increased 6.1% and 3.9%, respectively.
•Investment services and trust activities revenue increased 15.9% to $14.2 million.
•CET1 ratio improved 114 bps to 10.73%.
•Classified loan ratio improved 150 bps to 2.57%; nonperforming assets ratio improved 7 bps to 0.40%; net charge-off ratio was 0.07%.
•Completed a common equity capital raise, resulting in net proceeds to the Company of $118.6 million to facilitate a balance sheet repositioning.

CEO Commentary
Charles (Chip) Reeves, Chief Executive Officer of the Company, commented, “We are pleased with our fourth quarter results which highlight the successful execution of our balance sheet repositioning, as well as the continued momentum of our strategic initiatives. Return on average assets eclipsed the 1.0% threshold, driven by significant expansion of our net interest margin, thus net interest income. Our core deposit franchise expanded, with noninterest bearing deposits increasing for the second consecutive quarter, reflecting our Treasury Management initiatives and strong branch network. Our Wealth Management focus, including our Investment Services and Private Wealth teams, continues to bear fruit as revenue increased 16% year-over-year. In addition, asset quality metrics improved from the third quarter, as the classified loans ratio improved 54 bps and the charge-off ratio was only 0.06%."
Mr. Reeves continued, "2024 was an outstanding year of transformation and execution for MidWestOne. As we enter 2025, we are well positioned to become a consistent, high performing organization for the benefit of our stakeholders.”

1 Fourth Quarter Summary compares to the third quarter of 2024 (the "linked quarter") unless noted. Full Year 2024 Summary compares to the full year 2023 unless noted.
2 Non-GAAP measure. See the separate Non-GAAP Measures section for a reconciliation to the most directly comparable GAAP measure.
                                    

As of or for the quarter endedYear Ended
(Dollars in thousands, except per share amounts and as noted)December 31,September 30,December 31,December 31,December 31,
20242024202320242023
Financial Results
Revenue$59,775 $(92,867)$36,421 $69,290 $162,595 
Credit loss expense 1,291 1,535 1,768 8,782 5,849 
Noninterest expense37,372 35,798 32,131 144,496 131,913 
Net income (loss)16,330 (95,707)2,730 (60,289)20,859 
Adjusted earnings(3)
16,112 9,141 7,265 37,954 35,311 
Per Common Share
Diluted earnings (loss) per share$0.78 $(6.05)$0.17 $(3.54)$1.33 
Adjusted earnings per share(3)
0.77 0.58 0.46 2.23 2.25 
Book value26.94 27.06 33.41 26.94 33.41 
Tangible book value(3)
22.37 22.43 27.90 22.37 27.90 
Balance Sheet & Credit Quality
Loans In millions
$4,315.6 $4,328.8 $4,126.9 $4,315.6 $4,126.9 
Investment securities In millions
1,328.4 1,623.1 1,870.3 1,328.4 1,870.3 
Deposits In millions
5,478.0 5,368.7 5,395.7 5,478.0 5,395.7 
Net loan charge-offs In millions
0.7 1.7 2.1 3.1 3.7 
Allowance for credit losses ratio1.28 %1.25 %1.25 %1.28 %1.25 %
Selected Ratios
Return on average assets1.03 %(5.78)%0.17 %(0.92)%0.32 %
Net interest margin, tax equivalent(3)
3.43 %2.51 %2.22 %2.66 %2.46 %
Return on average equity11.53 %(69.05)%2.12 %(11.08)%4.12 %
Return on average tangible equity(3)
14.80 %(82.78)%3.57 %(12.45)%6.14 %
Efficiency ratio(3)
59.06 %70.32 %70.16 %63.44 %67.28 %
REVENUE REVIEW

RevenueChangeChange
4Q24 vs4Q24 vs
(Dollars in thousands)4Q243Q244Q233Q244Q23
Net interest income$48,938 $37,521 $32,559 30 %50 %
Noninterest income (loss) 10,837 (130,388)3,862 n/m181 %
Total revenue, net of interest expense$59,775 $(92,867)$36,421 n/m64 %
(n/m) - Not meaningful
Total revenue for the fourth quarter of 2024 increased $152.6 million from the third quarter of 2024 and increased $23.4 million compared to the fourth quarter of 2023, due to higher net interest income and higher noninterest income. Excluding the pre-tax securities loss of $140.4 million that was recorded in the third quarter of 2024 in connection with balance sheet repositioning efforts, total revenue increased $12.3 million from the linked quarter.
Net interest income of $48.9 million for the fourth quarter of 2024 increased $11.4 million from the third quarter of 2024, due to higher earning asset yields and lower funding volumes and costs, partially offset by lower earning asset volumes. When compared to the fourth quarter of 2023, net interest income increased $16.4 million, due to higher earning asset yields and lower funding volumes and costs, partially offset by lower earning asset volumes.
The Company's tax equivalent net interest margin was 3.43%3 in the fourth quarter of 2024, compared to 2.51%3 in the third quarter of 2024, driven by higher earning asset yields and lower funding costs. Total earning assets yield during the fourth quarter of 2024 increased 60 bps from the third quarter of 2024 due primarily to an increase of 171 bps in total investment securities yields. Funding costs during the fourth quarter of 2024 decreased 35 bps to 2.52%, due to reductions of 43 bps, 23 bps and 17 bps in long-term debt, short-term borrowings and interest bearing deposit costs, to 6.48%, 4.53% and 2.41%, respectively, from the third quarter of 2024.
The Company's tax equivalent net interest margin was 3.43%3 in the fourth quarter of 2024, compared to 2.22%3 in the fourth quarter of 2023, driven by higher earning asset yields and lower funding costs. Total earning assets yield increased 106 bps from the fourth quarter of 2023, primarily due to increases of 172 bps and 52 bps in total investment securities and loan yields, respectively. Funding costs decreased 13 bps to 2.52%, due to short-term
3 Non-GAAP measure. See the separate Non-GAAP Measures section for a reconciliation to the most directly comparable GAAP measure.


2

borrowing costs of 4.53% and long-term debt costs of 6.48%, which decreased 38 bps and 31 bps, respectively, from the fourth quarter of 2023.
Noninterest Income (Loss)ChangeChange
4Q24 vs4Q24 vs
(In thousands)4Q243Q244Q233Q244Q23
Investment services and trust activities$3,779 $3,410 $3,193 11 %18 %
Service charges and fees2,159 2,170 2,148 (1)%1 %
Card revenue1,833 1,935 1,802 (5)%2 %
Loan revenue1,841 760 909 142 %103 %
Bank-owned life insurance719 879 656 (18)%10 %
Investment securities gains (losses), net161 (140,182)(5,696)n/mn/m
Other345 640 850 (46)%(59)%
Total noninterest income (loss)$10,837 $(130,388)$3,862 n/m181 %
MSR adjustment (included above in Loan revenue)$164 $(1,026)$(105)(116)%(256)%
(n/m) - Not meaningful
Noninterest income for the fourth quarter of 2024 increased $141.2 million from the linked quarter, due primarily to the securities impairment of $140.4 million recognized in the linked quarter related to the Company's balance sheet repositioning, and increases of $1.1 million and $0.4 million in loan revenue and investment services and trust activities revenue, respectively. The increase in loan revenue stemmed from a favorable quarter-over-quarter change in the fair value of our mortgage servicing rights. The increase in investment services and trust activities revenue was driven by growth in assets under administration and transaction fees. Partially offsetting these increases in noninterest income was a decrease of $0.3 million in other revenue.
Noninterest income for the fourth quarter of 2024 increased $7.0 million from the fourth quarter of 2023, primarily due to an increases of $5.9 million, $0.9 million and $0.6 million in investment securities gains (losses), net, loan revenue, and investment services and trust activities revenue, respectively. The increase in investment securities gains (losses), net stemmed primarily from a balance sheet repositioning loss recognized in the fourth quarter of 2023. The increase in loan revenue was driven by an increase of $0.6 million in SBA gain on sale, coupled with a favorable year-over-year change in the fair value of our mortgage servicing rights. The increase in investment services and trust activities revenue was driven by growth in assets under administration and transaction fees. Partially offsetting these increases in noninterest income was a decrease of $0.5 million in other revenue, due primarily to a $0.3 million decline in swap origination fee income.
EXPENSE REVIEW
Noninterest ExpenseChangeChange
4Q24 vs4Q24 vs
(In thousands)4Q243Q244Q233Q244Q23
Compensation and employee benefits$20,684 $19,943 $17,859 4 %16 %
Occupancy expense of premises, net2,772 2,443 2,309 13 %20 %
Equipment2,688 2,486 2,466 8 %9 %
Legal and professional2,534 2,261 2,269 12 %12 %
Data processing1,719 1,580 1,411 9 %22 %
Marketing793 619 700 28 %13 %
Amortization of intangibles1,449 1,470 1,441 (1)%1 %
FDIC insurance980 923 900 6 %9 %
Communications154 159 183 (3)%(16)%
Foreclosed assets, net56 330 45 (83)%24 %
Other3,543 3,584 2,548 (1)%39 %
     Total noninterest expense $37,372 $35,798 $32,131 4 %16 %


3

Merger-related Expenses
(In thousands)4Q243Q244Q23
Equipment$21 $— $— 
Legal and professional— 127 180 
Data processing10 — — 
Marketing— — 38 
Other— 6 27 
Total merger-related expenses$31 $133 $245 
Noninterest expense for the fourth quarter of 2024 increased $1.6 million from the linked quarter, primarily due to increases in compensation and employee benefits and occupancy expense of premises, net, which increased $0.7 million and $0.3 million, respectively. The increase in compensation and employee benefits was primarily due to a $0.6 million increase in medical benefit expense compared to the linked quarter, as well as an increase in incentives and commissions. The increase in occupancy expense of premises, net was primarily driven by elevated property tax expense and building maintenance expense.
Noninterest expense for the fourth quarter of 2024 increased $5.2 million from the fourth quarter of 2023. The largest contributors to the increase in noninterest expense were compensation and employee benefits, other expense, and occupancy expense of premises, net, which increased $2.8 million, $1.0 million, and $0.5 million, respectively. The increase in compensation and employee benefits expense was primarily driven by an increase in headcount, annual compensation adjustments, incentive expense due to improved performance, and medical benefit expense. The increase in other expense was driven by an increase of $1.0 million in customer deposit expense. The increase in occupancy expense of premises, net was primarily driven by higher property tax expense, partially offset by a reduction in building rental expense, which stemmed from the sale of our Florida banking operations and the consolidation of our legacy Denver branch.
The Company's effective tax rate was 22.7% in the fourth quarter of 2024, compared to 26.5% in the linked quarter. The decrease in the effective tax rate reflected the impact of the investment security impairments that were recorded in the third quarter of 2024 related to the balance sheet repositioning. The effective income tax rate for the full year 2025 is expected to be 22-24%.
BALANCE SHEET REVIEW
Total assets were $6.24 billion at December 31, 2024, compared to $6.55 billion at September 30, 2024 and $6.43 billion at December 31, 2023. The decrease from September 30, 2024 was primarily driven by lower securities balances due to the sale of securities, with the proceeds from the sale being used to pay-off Bank Term Funding Program ("BTFP") borrowings and purchase higher yielding securities, as part of balance sheet repositioning efforts. Compared to December 31, 2023, the decrease was primarily driven by the sale of assets associated with our Florida banking operations and lower securities balances due to balance sheet repositioning transactions, partially offset by the assets acquired in the Denver Bankshares, Inc ("DNVB") acquisition, as well as higher cash and loan balances.




4

Loans Held for InvestmentDecember 31, 2024September 30, 2024December 31, 2023
Balance% of TotalBalance% of TotalBalance% of Total
(Dollars in thousands)
Commercial and industrial$1,126,813 26.1 %$1,149,758 26.6 %$1,075,003 26.0 %
Agricultural119,051 2.8 112,696 2.6 118,414 2.9 
Commercial real estate
Construction and development324,896 7.5 386,920 8.9 323,195 7.8 
Farmland182,460 4.2 182,164 4.2 184,955 4.5 
Multifamily423,157 9.8 409,544 9.5 383,178 9.3 
Other1,414,168 32.7 1,353,513 31.2 1,333,982 32.4 
Total commercial real estate2,344,681 54.2 2,332,141 53.8 2,225,310 54.0 
Residential real estate
One-to-four family first liens477,150 11.1 485,210 11.2 459,798 11.1 
One-to-four family junior liens179,232 4.2 176,827 4.1 180,639 4.4 
Total residential real estate656,382 15.3 662,037 15.3 640,437 15.5 
Consumer68,700 1.6 72,124 1.7 67,783 1.6 
Loans held for investment, net of unearned income$4,315,627 100.0 %$4,328,756 100.0 %$4,126,947 100.0 %
Total commitments to extend credit$1,080,737 $1,149,815 $1,210,796 
Loans held for investment, net of unearned income, remained stable, reflecting a slight decrease of $13.1 million, or 0.3%, to $4.32 billion from $4.33 billion at September 30, 2024, primarily due to payoffs during the quarter.
Loans held for investment, net of unearned income, increased $188.7 million, or 4.6%, to $4.32 billion from $4.13 billion at December 31, 2023. The increase from the fourth quarter of 2023 was driven primarily by loans acquired in the DNVB transaction, organic loan growth, and higher line of credit usage. Partially offsetting these identified increases was a decline stemming from the sale of loans associated with our Florida banking operations.
Investment SecuritiesDecember 31, 2024September 30, 2024December 31, 2023
(Dollars in thousands)Balance% of TotalBalance% of TotalBalance% of Total
Available for sale$1,328,433 100.0 %$1,623,104 100.0 %$795,134 42.5 %
Held to maturity— — %— — %1,075,190 57.5 %
Total investment securities$1,328,433 $1,623,104 $1,870,324 
Investment securities at December 31, 2024 were $1.33 billion, decreasing $294.7 million from September 30, 2024 and $541.9 million from December 31, 2023. The decrease from each prior period stemmed primarily from the sale of debt securities as part of the balance sheet repositioning, as well as principal cash flows received from scheduled payments, calls, and maturities.
DepositsDecember 31, 2024September 30, 2024December 31, 2023
(Dollars in thousands)Balance% of TotalBalance% of TotalBalance% of Total
Noninterest bearing deposits$951,423 17.4 %$917,715 17.1 %$897,053 16.6 %
Interest checking deposits1,258,191 22.9 1,230,605 23.0 1,320,435 24.5 
Money market deposits1,053,988 19.2 1,038,575 19.3 1,105,493 20.5 
Savings deposits820,549 15.0 768,298 14.3 650,655 12.1 
Time deposits of $250 and under826,793 15.1 844,298 15.7 752,214 13.9 
Total core deposits4,910,944 89.6 4,799,491 89.4 4,725,850 87.6 
Brokered time deposits200,000 3.7 200,000 3.7 221,039 4.1 
Time deposits over $250 367,038 6.7 369,236 6.9 448,784 8.3 
Total deposits$5,477,982 100.0 %$5,368,727 100.0 %$5,395,673 100.0 %
Total deposits increased $109.3 million, or 2.0%, to $5.48 billion, from $5.37 billion at September 30, 2024. Core deposits increased $111.5 million, while noninterest bearing deposits increased $33.7 million from September 30, 2024. Total deposits increased $82.3 million, or 1.5%, from $5.40 billion at December 31, 2023, primarily due to $224.2 million of deposits assumed in the DNVB acquisition, partially offset by $133.3 million of deposits divested as part of the sale of our Florida banking operations and a decline of $21.0 million in brokered deposits.



5

Borrowed FundsDecember 31, 2024September 30, 2024December 31, 2023
(Dollars in thousands)Balance% of TotalBalance% of TotalBalance% of Total
Short-term borrowings$3,186 2.7 %$410,630 78.1 %$300,264 70.9 %
Long-term debt113,376 97.3 %115,051 21.9 %123,296 29.1 %
Total borrowed funds$116,562 $525,681 $423,560 

Borrowed funds were $116.6 million at December 31, 2024, a decrease of $409.1 million from September 30, 2024 and a decrease of $307.0 million from December 31, 2023. The decrease compared to the linked quarter was primarily due to the payoff of BTFP borrowings. The decrease compared to December 31, 2023 was primarily due to the pay-off of BTFP borrowings, coupled with lower overnight borrowings from the Federal Home Loan Bank and scheduled payments on long-term debt.
CapitalDecember 31,September 30,December 31,
(Dollars in thousands)
2024 (1)
20242023
Total shareholders' equity$559,696 $562,238 $524,378 
Accumulated other comprehensive loss(72,762)(58,842)(64,899)
MidWestOne Financial Group, Inc. Consolidated
Tier 1 leverage to average assets ratio9.15 %8.78 %8.58 %
Common equity tier 1 capital to risk-weighted assets ratio10.73 %9.91 %9.59 %
Tier 1 capital to risk-weighted assets ratio11.59 %10.70 %10.38 %
Total capital to risk-weighted assets ratio14.07 %12.96 %12.53 %
MidWestOne Bank
Tier 1 leverage to average assets ratio10.12 %9.69 %9.39 %
Common equity tier 1 capital to risk-weighted assets ratio12.86 %11.83 %11.54 %
Tier 1 capital to risk-weighted assets ratio12.86 %11.83 %11.54 %
Total capital to risk-weighted assets ratio14.02 %12.88 %12.49 %
(1) Regulatory capital ratios for December 31, 2024 are preliminary
Total shareholders' equity at December 31, 2024 decreased $2.5 million from September 30, 2024, driven primarily by an increase in accumulated other comprehensive loss, partially offset by an increase in retained earnings. Total shareholders' equity at December 31, 2024 increased $35.3 million from December 31, 2023, primarily due to increases in common stock and additional paid-in-capital stemming from the common equity capital raise in the third quarter of 2024, partially offset by a decrease in retained earnings and an increase in accumulated other comprehensive loss.
On January 22, 2025, the Board of Directors of the Company declared a cash dividend of $0.2425 per common share. The dividend is payable March 17, 2025, to shareholders of record at the close of business on March 3, 2025.
No common shares were repurchased by the Company during the period September 30, 2024 through December 31, 2024 or for the subsequent period through January 23, 2025. The current share repurchase program allows for the repurchase of up to $15.0 million of the Company's common shares. As of December 31, 2024, $15.0 million remained available under this program.


6

CREDIT QUALITY REVIEW

Credit QualityAs of or For the Three Months Ended
December 31,September 30,December 31,
(Dollars in thousands)202420242023
Credit loss expense related to loans$1,891 $1,835 $1,968 
Net charge-offs691 1,735 2,068 
Allowance for credit losses55,200 54,000 51,500 
Pass$4,056,361 $4,016,683 $3,846,012 
Special Mention148,462 177,241 113,029 
Classified110,804 134,832 167,906 
Loans greater than 30 days past due and accruing$9,378 $11,940 $10,778 
Nonperforming loans$21,847 $21,954 $26,359 
Nonperforming assets25,184 25,537 30,288 
Net charge-off ratio(1)
0.06 %0.16 %0.20 %
Classified loans ratio(2)
2.57 %3.11 %4.07 %
Nonperforming loans ratio(3)
0.51 %0.51 %0.64 %
Nonperforming assets ratio(4)
0.40 %0.39 %0.47 %
Allowance for credit losses ratio(5)
1.28 %1.25 %1.25 %
Allowance for credit losses to nonaccrual loans ratio(6)
254.32 %260.84 %198.91 %
(1) Net charge-off ratio is calculated as annualized net charge-offs divided by the sum of average loans held for investment, net of unearned income and average loans held for sale, during the period.
(2) Classified loans ratio is calculated as classified loans divided by loans held for investment, net of unearned income, at the end of the period.
(3) Nonperforming loans ratio is calculated as nonperforming loans divided by loans held for investment, net of unearned income, at the end of the period.
(4) Nonperforming assets ratio is calculated as nonperforming assets divided by total assets at the end of the period.
(5) Allowance for credit losses ratio is calculated as allowance for credit losses divided by loans held for investment, net of unearned income, at the end of the period.
(6)Allowance for credit losses to nonaccrual loans ratio is calculated as allowance for credit losses divided by nonaccrual loans at the end of the period.
Nonperforming loans and nonperforming assets ratios remained stable at 0.51% and 0.40%, respectively, compared to the linked quarter, while the classified loans ratio improved 54 bps to 2.57%. In addition, special mention loan balances decreased $28.8 million, or 16%. When compared to the same period of the prior year, the nonperforming loans and nonperforming asset ratios decreased 13 bps and 7 bps, respectively, while the classified loan ratio improved 150 bps. Special mention loan balances increased $35.4 million, or 31%. The net charge-off ratio decreased 10 bps from the linked quarter and 14 bps from the same period in the prior year.
As of December 31, 2024, the allowance for credit losses was $55.2 million and the allowance for credit losses ratio was 1.28%, compared with $54.0 million and 1.25%, respectively, at September 30, 2024. Credit loss expense of $1.3 million in the fourth quarter of 2024 reflected additional reserve primarily related to additions to nonperforming loans, offset by a reduction of $0.6 million in the reserve for unfunded loan commitments.
Nonperforming Loans Roll ForwardNonaccrual90+ Days Past Due & Still AccruingTotal
(Dollars in thousands)
Balance at September 30, 2024
$20,702 $1,252 $21,954 
Loans placed on nonaccrual or 90+ days past due & still accruing9,824 312 10,136 
Proceeds related to repayment or sale(7,802)(65)(7,867)
Charge-offs(1,003)(273)(1,276)
Transfers to foreclosed assets(16)— (16)
Transfer to nonaccrual— (1,084)(1,084)
Balance at December 31, 2024
$21,705 $142 $21,847 


7

CONFERENCE CALL DETAILS
The Company will host a conference call for investors at 11:00 a.m. CT on Friday, January 24, 2025. To participate, you may pre-register for this call utilizing the following link: https://www.netroadshow.com/events/login?show=edad992a&confId=75837. After pre-registering for this event you will receive your access details via email. On the day of the call, you are also able to dial 1-833-470-1428 using an access code of 135335 at least fifteen minutes before the call start time. If you are unable to participate on the call, a replay will be available until April 24, 2025 by calling 1-866-813-9403 and using the replay access code of 395859. A transcript of the call will also be available on the Company’s web site (www.midwestonefinancial.com) within three business days of the call.

ABOUT MIDWESTONE FINANCIAL GROUP, INC.
MidWestOne Financial Group, Inc. is a financial holding company headquartered in Iowa City, Iowa. MidWestOne is the parent company of MidWestOne Bank, which operates banking offices in Iowa, Minnesota, Wisconsin, and Colorado. MidWestOne provides electronic delivery of financial services through its website, MidWestOne.bank. MidWestOne Financial Group, Inc. trades on the Nasdaq Global Select Market under the symbol “MOFG”.


8

Cautionary Note Regarding Forward-Looking Statements
This release contains certain “forward-looking statements” within the meaning of such term in the Private Securities Litigation Reform Act of 1995. We and our representatives may, from time to time, make written or oral statements that are “forward-looking” and provide information other than historical information. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These factors include, among other things, the factors listed below. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of our management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “should,” “could,” “would,” “plans,” “goals,” “intend,” “project,” “estimate,” “forecast,” “may” or similar expressions. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, these statements. Readers are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Additionally, we undertake no obligation to update any statement in light of new information or future events, except as required under federal securities law.
Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors that could have an impact on our ability to achieve operating results, growth plan goals and future prospects include, but are not limited to, the following: (1) the risks of mergers or branch sales (including the sale of our Florida banking operations and the acquisition of DNVB), including, without limitation, the related time and costs of implementing such transactions, integrating operations as part of these transactions and possible failures to achieve expected gains, revenue growth and/or expense savings from such transactions; (2) credit quality deterioration, pronounced and sustained reduction in real estate market values, or other uncertainties, including the impact of changing inflationary pressures on economic conditions and our business, resulting in an increase in the allowance for credit losses, an increase in the credit loss expense, and a reduction in net earnings; (3) the effects of changes in interest rates, including on our net income and the value of our securities portfolio; (4) changes in the economic environment, competition, or other factors that may affect our ability to acquire loans or influence the anticipated growth rate of loans and deposits and the quality of the loan portfolio and loan and deposit pricing; (5) fluctuations in the value of our investment securities; (6) governmental monetary and fiscal policies; (7) the economic impacts on the Company and its customers of climate change, natural disasters and exceptional weather occurrences, such as: tornadoes, floods and blizzards; (8) legislative and regulatory changes, including changes in banking, securities, trade, and tax laws and regulations and their application by our regulators, including changes in interpretation or prioritization, and any changes in response to the failures of other banks; (9) the ability to attract and retain key executives and employees experienced in banking and financial services; (10) the sufficiency of the allowance for credit losses to absorb the amount of actual losses inherent in our existing loan portfolio; (11) our ability to adapt successfully to technological changes to compete effectively in the marketplace; (12) credit risks and risks from concentrations (by type of borrower, collateral, geographic area and by industry) within our loan portfolio; (13) the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, securities brokerage firms, insurance companies, money market and other mutual funds, financial technology companies, and other financial institutions operating in our markets or elsewhere or providing similar services; (14) the failure of assumptions underlying the establishment of allowances for credit losses and estimation of values of collateral and various financial assets and liabilities; (15) volatility of rate-sensitive deposits; (16) operational risks, including data processing system failures or fraud; (17) asset/liability matching risks and liquidity risks; (18) the costs, effects and outcomes of existing or future litigation or other legal proceedings and regulatory actions; (19) changes in general economic, political, or industry conditions, nationally, internationally or in the communities in which we conduct business, including the risk of a recession; (20) new or revised accounting policies and practices, as may be adopted by state and federal regulatory agencies and the Financial Accounting Standards Board; (21) war or terrorist activities, including ongoing conflicts in the Middle East and the Russian invasion of Ukraine, widespread disease or pandemic, or other adverse external events, which may cause deterioration in the economy or cause instability in credit markets; (22) the occurrence of fraudulent activity, breaches, or failures of our or our third-party vendors' information security controls or cyber-security related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools or as a result of insider fraud; (23) the imposition of tariffs or other domestic or international governmental policies impacting the value of products produced by our borrowers; (24) 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; (25) the concentration of large deposits from certain clients, including those who have balances above current FDIC insurance limits; (26) changes in the business and economic conditions generally and in the financial services industry, and the effects of developments and events in the financial services industry, including the large-scale deposit withdrawals over a short period of time that resulted in prior bank failures; and (27) other risk factors detailed from time to time in Securities and Exchange Commission filings made by the Company.


9

MIDWESTONE FINANCIAL GROUP, INC.
FIVE QUARTER CONSOLIDATED BALANCE SHEETS
 December 31,September 30,June 30,March 31,December 31,
(In thousands)20242024202420242023
ASSETS
Cash and due from banks$71,803 $72,173 $66,228 $68,430 $76,237 
Interest earning deposits in banks133,092 129,695 35,340 29,328 5,479 
Federal funds sold— — — 4 11 
Total cash and cash equivalents204,895 201,868 101,568 97,762 81,727 
Debt securities available for sale at fair value1,328,433 1,623,104 771,034 797,230 795,134 
Held to maturity securities at amortized cost— — 1,053,080 1,064,939 1,075,190 
Total securities1,328,433 1,623,104 1,824,114 1,862,169 1,870,324 
Loans held for sale749 3,283 2,850 2,329 1,045 
Gross loans held for investment4,328,413 4,344,559 4,304,619 4,433,258 4,138,352 
Unearned income, net(12,786)(15,803)(17,387)(18,612)(11,405)
Loans held for investment, net of unearned income4,315,627 4,328,756 4,287,232 4,414,646 4,126,947 
Allowance for credit losses(55,200)(54,000)(53,900)(55,900)(51,500)
Total loans held for investment, net4,260,427 4,274,756 4,233,332 4,358,746 4,075,447 
Premises and equipment, net90,851 90,750 91,793 95,986 85,742 
Goodwill69,788 69,788 69,388 71,118 62,477 
Other intangible assets, net25,019 26,469 27,939 29,531 24,069 
Foreclosed assets, net3,337 3,583 6,053 3,897 3,929 
Other assets252,830 258,881 224,621 226,477 222,780 
Total assets$6,236,329 $6,552,482 $6,581,658 $6,748,015 $6,427,540 
LIABILITIES          
Noninterest bearing deposits$951,423 $917,715 $882,472 $920,764 $897,053 
Interest bearing deposits4,526,559 4,451,012 4,529,947 4,664,472 4,498,620 
Total deposits5,477,982 5,368,727 5,412,419 5,585,236 5,395,673 
Short-term borrowings3,186 410,630 414,684 422,988 300,264 
Long-term debt113,376 115,051 114,839 122,066 123,296 
Other liabilities82,089 95,836 96,430 89,685 83,929 
Total liabilities5,676,633 5,990,244 6,038,372 6,219,975 5,903,162 
SHAREHOLDERS' EQUITY          
Common stock21,580 21,580 16,581 16,581 16,581 
Additional paid-in capital414,987 414,965 300,831 300,845 302,157 
Retained earnings217,776 206,490 306,030 294,066 294,784 
Treasury stock(21,885)(21,955)(22,021)(22,648)(24,245)
Accumulated other comprehensive loss(72,762)(58,842)(58,135)(60,804)(64,899)
Total shareholders' equity559,696 562,238 543,286 528,040 524,378 
Total liabilities and shareholders' equity$6,236,329 $6,552,482 $6,581,658 $6,748,015 $6,427,540 




10

MIDWESTONE FINANCIAL GROUP, INC.
FIVE QUARTER CONSOLIDATED STATEMENTS OF INCOME
 Three Months EndedYear Ended
December 31,September 30,June 30,March 31,December 31,December 31,December 31,
(In thousands, except per share data)202420242024202420232024 2023
Interest income
Loans, including fees$62,458 $62,521 $61,643 $57,947 $54,093 $244,569 $202,179 
Taxable investment securities11,320 8,779 9,228 9,460 9,274 38,787 38,978 
Tax-exempt investment securities728 1,611 1,663 1,710 1,789 5,712 7,540 
Other3,761 785 242 418 230 5,206 916 
Total interest income78,267 73,696 72,776 69,535 65,386 294,274 249,613 
Interest expense
Deposits27,324 29,117 28,942 27,726 27,200 113,109 85,764 
Short-term borrowings115 5,043 5,409 4,975 3,496 15,542 11,119 
Long-term debt1,890 2,015 2,078 2,103 2,131 8,086 8,558 
Total interest expense29,329 36,175 36,429 34,804 32,827 136,737 105,441 
Net interest income48,938 37,521 36,347 34,731 32,559 157,537 144,172 
Credit loss expense 1,291 1,535 1,267 4,689 1,768 8,782 5,849 
Net interest income after credit loss expense47,647 35,986 35,080 30,042 30,791 148,755 138,323 
Noninterest income
Investment services and trust activities3,779 3,410 3,504 3,503 3,193 14,196 12,249 
Service charges and fees2,159 2,170 2,156 2,144 2,148 8,629 8,349 
Card revenue1,833 1,935 1,907 1,943 1,802 7,618 7,214 
Loan revenue1,841 760 1,525 856 909 4,982 4,700 
Bank-owned life insurance719 879 668 660 656 2,926 2,500 
Investment securities gains (losses), net161 (140,182)33 36 (5,696)(139,952)(18,789)
Other345 640 11,761 608 850 13,354 2,200 
Total noninterest income (loss)10,837 (130,388)21,554 9,750 3,862 (88,247)18,423 
Noninterest expense
Compensation and employee benefits20,684 19,943 20,985 20,930 17,859 82,542 76,410 
Occupancy expense of premises, net2,772 2,443 2,435 2,813 2,309 10,463 10,034 
Equipment2,688 2,486 2,530 2,600 2,466 10,304 9,195 
Legal and professional2,534 2,261 2,253 2,059 2,269 9,107 7,365 
Data processing1,719 1,580 1,645 1,360 1,411 6,304 5,799 
Marketing793 619 636 598 700 2,646 3,610 
Amortization of intangibles1,449 1,470 1,593 1,637 1,441 6,149 6,247 
FDIC insurance980 923 1,051 942 900 3,896 3,294 
Communications154 159 191 196 183 700 910 
Foreclosed assets, net56 330 138 358 45 882 13 
Other3,543 3,584 2,304 2,072 2,548 11,503 9,036 
Total noninterest expense37,372 35,798 35,761 35,565 32,131 144,496 131,913 
Income (loss) before income tax expense21,112 (130,200)20,873 4,227 2,522 (83,988)24,833 
Income tax expense (benefit) 4,782 (34,493)5,054 958 (208)(23,699)3,974 
Net income (loss)$16,330 $(95,707)$15,819 $3,269 $2,730 $(60,289)$20,859 
Earnings (loss) per common share
Basic$0.79 $(6.05)$1.00 $0.21 $0.17 $(3.54)$1.33 
Diluted$0.78 $(6.05)$1.00 $0.21 $0.17 $(3.54)$1.33 
Weighted average basic common shares outstanding20,776 15,829 15,763 15,723 15,693 17,030 15,678 
Weighted average diluted common shares outstanding20,851 15,829 15,781 15,774 15,756 17,030 15,725 
Dividends paid per common share$0.2425 $0.2425 $0.2425 $0.2425 $0.2425 $0.9700 $0.9700 




11

MIDWESTONE FINANCIAL GROUP, INC.
FINANCIAL STATISTICS
As of or for the Three Months EndedAs of or for the Year Ended
December 31,September 30,December 31,December 31,December 31,
(Dollars in thousands, except per share amounts)20242024202320242023
Earnings:
Net interest income$48,938 $37,521 $32,559 $157,537 $144,172 
Noninterest income (loss)10,837 (130,388)3,862 (88,247)18,423 
     Total revenue, net of interest expense59,775 (92,867)36,421 69,290 162,595 
Credit loss expense1,291 1,535 1,768 8,782 5,849 
Noninterest expense37,372 35,798 32,131 144,496 131,913 
     Income (loss) before income tax expense 21,112 (130,200)2,522 (83,988)24,833 
Income tax expense (benefit)4,782 (34,493)(208)(23,699)3,974 
     Net income (loss)$16,330 $(95,707)$2,730 $(60,289)$20,859 
Adjusted earnings(1)
$16,112 $9,141 $7,265 $37,954 $35,311 
Per Share Data:
Diluted earnings (loss) $0.78 $(6.05)$0.17 $(3.54)$1.33 
Adjusted earnings(1)
0.77 0.58 0.46 2.23 2.25 
Book value26.94 27.06 33.41 26.94 33.41 
Tangible book value(1)
22.37 22.43 27.90 22.37 27.90 
Ending Balance Sheet:
Total assets$6,236,329 $6,552,482 $6,427,540 $6,236,329 $6,427,540 
Loans held for investment, net of unearned income4,315,627 4,328,756 4,126,947 4,315,627 4,126,947 
Total securities1,328,433 1,623,104 1,870,324 1,328,433 1,870,324 
Total deposits5,477,982 5,368,727 5,395,673 5,477,982 5,395,673 
Short-term borrowings3,186 410,630 300,264 3,186 300,264 
Long-term debt113,376 115,051 123,296 113,376 123,296 
Total shareholders' equity559,696 562,238 524,378 559,696 524,378 
Average Balance Sheet:
Average total assets$6,279,975 $6,583,404 $6,459,705 $6,552,420 $6,475,360 
Average total loans4,307,583 4,311,693 4,080,243 4,334,163 3,993,389 
Average total deposits5,464,900 5,402,634 5,443,323 5,465,718 5,455,609 
Financial Ratios:
Return on average assets1.03 %(5.78)%0.17 %(0.92)%0.32 %
Return on average equity11.53 %(69.05)%2.12 %(11.08)%4.12 %
Return on average tangible equity(1)
14.80 %(82.78)%3.57 %(12.45)%6.14 %
Efficiency ratio(1)
59.06 %70.32 %70.16 %63.44 %67.28 %
Net interest margin, tax equivalent(1)
3.43 %2.51 %2.22 %2.66 %2.46 %
Loans to deposits ratio78.78 %80.63 %76.49 %78.78 %76.49 %
CET1 Ratio10.73 %9.91 %9.59 %10.73 %9.59 %
Common equity ratio8.97 %8.58 %8.16 %8.97 %8.16 %
Tangible common equity ratio(1)
7.57 %7.22 %6.90 %7.57 %6.90 %
Credit Risk Profile:
Total nonperforming loans$21,847 $21,954 $26,359 $21,847 $26,359 
Nonperforming loans ratio0.51 %0.51 %0.64 %0.51 %0.64 %
Total nonperforming assets$25,184 $25,537 $30,288 $25,184 $30,288 
Nonperforming assets ratio0.40 %0.39 %0.47 %0.40 %0.47 %
Net charge-offs$691 $1,735 $2,068 $3,139 $3,749 
Net charge-off ratio0.06 %0.16 %0.20 %0.07 %0.09 %
Allowance for credit losses$55,200 $54,000 $51,500 $55,200 $51,500 
Allowance for credit losses ratio1.28 %1.25 %1.25 %1.28 %1.25 %
Allowance for credit losses to nonaccrual ratio254.32 %260.84 %198.91 %254.32 %198.91 %
(1) Non-GAAP measure. See the Non-GAAP Measures section for a reconciliation to the most directly comparable GAAP measure.




12

MIDWESTONE FINANCIAL GROUP, INC.
AVERAGE BALANCE SHEET AND YIELD ANALYSIS
 Three Months Ended
 December 31, 2024September 30, 2024December 31, 2023
(Dollars in thousands)Average
Balance		Interest
Income/
Expense		 Average
Yield/
Cost		 
Average
Balance
Interest
Income/
Expense
 Average
Yield/
Cost		Average BalanceInterest
Income/
Expense		 Average
Yield/
Cost
ASSETS   
Loans, including fees (1)(2)(3)
$4,307,583 $63,443  5.86 % $4,311,693 $63,472 5.86 %$4,080,243 $54,939  5.34 %
Taxable investment securities1,080,716 11,320  4.17 % 1,489,843 8,779 2.34 %1,593,699 9,274  2.31 %
Tax-exempt investment securities (2)(4)
109,183 896  3.26 % 313,935 1,976 2.50 %338,243 2,217  2.60 %
Total securities held for investment(2)
1,189,899 12,216 4.08 %1,803,778 10,755 2.37 %1,931,942 11,491 2.36 %
Other309,904 3,761  4.83 % 52,054 785 6.00 %22,937 230  3.98 %
Total interest earning assets(2)
$5,807,386 $79,420  5.44 % $6,167,525 $75,012 4.84 %$6,035,122 $66,660  4.38 %
Other assets472,589   415,879 424,583  
Total assets$6,279,975   $6,583,404 $6,459,705  
LIABILITIES AND SHAREHOLDERS’ EQUITY   
Interest checking deposits$1,252,481 $2,205 0.70 %$1,243,327 $3,041 0.97 %$1,305,759 $2,991 0.91 %
Money market deposits1,046,571 7,197 2.74 %1,047,081 7,758 2.95 %1,103,637 7,954 2.86 %
Savings deposits799,931 3,158  1.57 % 761,922 3,128 1.63 %639,766 1,493  0.93 %
Time deposits1,410,542 14,764  4.16 % 1,430,723 15,190 4.22 %1,463,498 14,762  4.00 %
Total interest bearing deposits4,509,525 27,324  2.41 % 4,483,053 29,117 2.58 %4,512,660 27,200  2.39 %
Securities sold under agreements to repurchase3,640 8 0.87 %5,812 12 0.82 %8,661 17 0.78 %
Other short-term borrowings6,465 107 6.58 %415,961 5,031 4.81 %273,963 3,479 5.04 %
Total short-term borrowings10,105 115  4.53 % 421,773 5,043 4.76 %282,624 3,496  4.91 %
Long-term debt116,018 1,890  6.48 % 116,032 2,015 6.91 %124,495 2,131  6.79 %
Total borrowed funds126,123 2,005 6.32 %537,805 7,058 5.22 %407,119 5,627 5.48 %
Total interest bearing liabilities$4,635,648 $29,329  2.52 % $5,020,858 $36,175 2.87 %$4,919,779 $32,827  2.65 %
Noninterest bearing deposits955,375   919,581 930,663  
Other liabilities125,536   91,551 98,027  
Shareholders’ equity563,416 551,414 511,236 
Total liabilities and shareholders’ equity$6,279,975   $6,583,404 $6,459,705  
Net interest income(2)
$50,091 $38,837 $33,833 
Net interest spread(2)
 2.92 %  1.97 % 1.73 %
Net interest margin(2)
3.43 %2.51 %2.22 %
Total deposits(5)
$5,464,900 $27,324 1.99 %$5,402,634 $29,117 2.14 %$5,443,323 $27,200 1.98 %
Cost of funds(6)
2.09 %2.42 %2.23 %
(1) Average balance includes nonaccrual loans.
(2) Tax equivalent. The federal statutory tax rate utilized was 21%.
(3) Interest income includes net loan fees, loan purchase discount accretion and tax equivalent adjustments. Net loan fees were $456 thousand, $378 thousand, and $207 thousand for the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, respectively. Loan purchase discount accretion was $2.5 million, $1.4 million, and $0.8 million for the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, respectively. Tax equivalent adjustments were $985 thousand, $951 thousand, and $846 thousand for the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, respectively. The federal statutory tax rate utilized was 21%.
(4) Interest income includes tax equivalent adjustments of $168 thousand, $365 thousand, and $428 thousand for the three months ended December 31, 2024, September 30, 2024, and December 31, 2023, respectively. The federal statutory tax rate utilized was 21%.
(5) Total deposits is the sum of total interest-bearing deposits and noninterest bearing deposits. The cost of total deposits is calculated as annualized interest expense on deposits divided by average total deposits.
(6) Cost of funds is calculated as annualized total interest expense divided by the sum of average total deposits and borrowed funds.









13

MIDWESTONE FINANCIAL GROUP, INC.
AVERAGE BALANCE SHEET AND YIELD ANALYSIS
 Year Ended
 December 31, 2024December 31, 2023
(Dollars in thousands)
Average
Balance
Interest
Income/
Expense
 
Average
Yield/
Cost
 
Average
Balance
Interest
Income/
Expense
 
Average
Yield/
Cost
ASSETS  
Loans, including fees (1)(2)(3)
$4,334,163 $248,409 5.73 %$3,993,389 $205,189 5.14 %
Taxable investment securities1,411,411 38,787 2.75 %1,684,360 38,978 2.31 %
Tax-exempt investment securities (2)(4)
268,175 7,028 2.62 %355,454 9,353 2.63 %
Total securities held for investment(2)
1,679,586 45,815 2.73 %2,039,814 48,331 2.37 %
Other103,679 5,206  5.02 % 22,791 916 4.02 %
Total interest earning assets(2)
$6,117,428 $299,430  4.89 % $6,055,994 $254,436 4.20 %
Other assets434,992   419,366 
Total assets$6,552,420   $6,475,360 
LIABILITIES AND SHAREHOLDERS’ EQUITY
  
Interest checking deposits$1,273,518 $11,281 0.89 %$1,398,538 $8,990 0.64 %
Money market deposits1,067,109 30,841 2.89 %1,037,123 23,924 2.31 %
Savings deposits748,868 11,006 1.47 %624,990 2,802 0.45 %
Time deposits1,439,697 59,981 4.17 %1,443,770 50,048 3.47 %
Total interest bearing deposits4,529,192 113,109  2.50 % 4,504,421 85,764 1.90 %
Securities sold under agreements to repurchase5,019 41 0.82 %94,563 975 1.03 %
Other short-term borrowings318,037 15,501 4.87 %199,530 10,144 5.08 %
Total short-term borrowings323,056 15,542  4.81 % 294,093 11,119 3.78 %
Long-term debt118,877 8,086  6.80 % 131,137 8,558 6.53 %
Total borrowed funds441,933 23,628 5.35 %425,230 19,677 4.63 %
Total interest bearing liabilities$4,971,125 $136,737  2.75 % $4,929,651 $105,441 2.14 %
Noninterest bearing deposits936,526   951,188 
Other liabilities100,607   88,770 
Shareholders’ equity544,162 505,751 
Total liabilities and shareholders’ equity$6,552,420   $6,475,360 
Net interest income(2)
$162,693 $148,995 
Net interest spread(2)
 2.14 %  2.06 %
Net interest margin(2)
2.66 %2.46 %
Total deposits(5)
$5,465,718 $113,109 2.07 %$5,455,609 $85,764 1.57 %
Cost of funds(6)
2.31 %1.79 %
(1) Average balance includes nonaccrual loans.
(2) Tax equivalent. The federal statutory tax rate utilized was 21%.
(3) Interest income includes net loan fees, loan purchase discount accretion and tax equivalent adjustments. Net loan fees were $1.4 million and $522 thousand for the year ended December 31, 2024 and December 31, 2023, respectively. Loan purchase discount accretion was $6.3 million and $3.7 million for the year ended December 31, 2024 and December 31, 2023, respectively. Tax equivalent adjustments were $3.8 million and $3.0 million for the year ended December 31, 2024 and December 31, 2023, respectively. The federal statutory tax rate utilized was 21%.
(4) Interest income includes tax equivalent adjustments of $1.3 million and $1.8 million for the year ended December 31, 2024 and December 31, 2023, respectively. The federal statutory tax rate utilized was 21%.
(5) Total deposits is the sum of total interest-bearing deposits and noninterest bearing deposits. The cost of total deposits is calculated as annualized interest expense on deposits divided by average total deposits.
(6) Cost of funds is calculated as annualized total interest expense divided by the sum of average total deposits and borrowed funds.


14

Non-GAAP Measures
This earnings release contains non-GAAP measures for tangible common equity, tangible book value per share, tangible common equity ratio, return on average tangible equity, net interest margin (tax equivalent), core net interest margin, loan yield (tax equivalent), core yield on loans, efficiency ratio, adjusted earnings and adjusted earnings per share. Management believes these measures provide investors with useful information regarding the Company’s profitability, financial condition and capital adequacy, consistent with how management evaluates the Company’s financial performance. The following tables provide a reconciliation of each non-GAAP measure to the most comparable GAAP measure.
Tangible Common Equity/Tangible Book Value
per Share/Tangible Common Equity RatioDecember 31,September 30,June 30,March 31,December 31,
(Dollars in thousands, except per share data)20242024202420242023
Total shareholders’ equity$559,696 $562,238 $543,286 $528,040 $524,378 
Intangible assets, net
(94,807)(96,257)(97,327)(100,649)(86,546)
Tangible common equity$464,889 $465,981 $445,959 $427,391 $437,832 
Total assets$6,236,329 $6,552,482 $6,581,658 $6,748,015 $6,427,540 
Intangible assets, net
(94,807)(96,257)(97,327)(100,649)(86,546)
Tangible assets$6,141,522 $6,456,225 $6,484,331 $6,647,366 $6,340,994 
Book value per share$26.94 $27.06 $34.44 $33.53 $33.41 
Tangible book value per share(1)
$22.37 $22.43 $28.27 $27.14 $27.90 
Shares outstanding20,777,485 20,774,919 15,773,468 15,750,471 15,694,306 
Common equity ratio8.97 %8.58 %8.25 %7.83 %8.16 %
Tangible common equity ratio(2)
7.57 %7.22 %6.88 %6.43 %6.90 %
(1) Tangible common equity divided by shares outstanding.
(2) Tangible common equity divided by tangible assets.
Three Months EndedYear Ended
Return on Average Tangible EquityDecember 31,September 30,December 31,December 31,December 31,
(Dollars in thousands)20242024202320242023
Net income (loss) $16,330 $(95,707)$2,730 $(60,289)$20,859 
Intangible amortization, net of tax(1)
1,075 1,090 1,081 4,561 4,685 
Tangible net income (loss)$17,405 $(94,617)$3,811 $(55,728)$25,544 
Average shareholders’ equity$563,416 $551,414 $511,236 $544,162 $505,751 
Average intangible assets, net
(95,498)(96,706)(87,258)(96,699)(89,539)
Average tangible equity$467,918 $454,708 $423,978 $447,463 $416,212 
Return on average equity
11.53 %(69.05)%2.12 %(11.08)%4.12 %
Return on average tangible equity(2)
14.80 %(82.78)%3.57 %(12.45)%6.14 %
(1) The income tax rate utilized was the blended marginal tax rate.
(2) Annualized tangible net income divided by average tangible equity.


15

Net Interest Margin, Tax Equivalent/
Core Net Interest Margin		Three Months EndedYear Ended
December 31,September 30,December 31,December 31,December 31,
(Dollars in thousands)20242024202320242023
Net interest income$48,938 $37,521 $32,559 $157,537 $144,172 
Tax equivalent adjustments:
Loans(1)
985 951 846 3,840 3,010 
Securities(1)
168 365 428 1,316 1,813 
Net interest income, tax equivalent$50,091 $38,837 $33,833 $162,693 $148,995 
Loan purchase discount accretion(2,496)(1,426)(765)(6,335)(3,729)
Core net interest income$47,595 $37,411 $33,068 $156,358 $145,266 
Net interest margin3.35 %2.42 %2.14 %2.58 %2.38 %
Net interest margin, tax equivalent(2)
3.43 %2.51 %2.22 %2.66 %2.46 %
Core net interest margin(3)
3.26 %2.41 %2.17 %2.56 %2.40 %
Average interest earning assets$5,807,386 $6,167,525 $6,035,122 $6,117,428 $6,055,994 
(1) The federal statutory tax rate utilized was 21%.
(2) Annualized tax equivalent net interest income divided by average interest earning assets.
(3) Annualized core net interest income divided by average interest earning assets.
Three Months EndedYear Ended
Loan Yield, Tax Equivalent / Core Yield on LoansDecember 31,September 30,December 31,December 31,December 31,
(Dollars in thousands)20242024202320242023
Loan interest income, including fees$62,458 $62,521 $54,093 $244,569 $202,179 
Tax equivalent adjustment(1)
985 951 846 3,840 3,010 
Tax equivalent loan interest income$63,443 $63,472 $54,939 $248,409 $205,189 
Loan purchase discount accretion(2,496)(1,426)(765)(6,335)(3,729)
Core loan interest income$60,947 $62,046 $54,174 $242,074 $201,460 
Yield on loans5.77 %5.77 %5.26 %5.64 %5.06 %
Yield on loans, tax equivalent(2)
5.86 %5.86 %5.34 %5.73 %5.14 %
Core yield on loans(3)
5.63 %5.72 %5.27 %5.59 %5.04 %
Average loans$4,307,583 $4,311,693 $4,080,243 $4,334,163 $3,993,389 
(1) The federal statutory tax rate utilized was 21%.
(2) Annualized tax equivalent loan interest income divided by average loans.
(3) Annualized core loan interest income divided by average loans.
Three Months EndedYear Ended
Efficiency RatioDecember 31,September 30,December 31,December 31,December 31,
(Dollars in thousands)20242024202320242023
Total noninterest expense$37,372 $35,798 $32,131 $144,496 $131,913 
Amortization of intangibles(1,449)(1,470)(1,441)(6,149)(6,247)
Merger-related expenses(31)(133)(245)(2,332)(392)
Noninterest expense used for efficiency ratio$35,892 $34,195 $30,445 $136,015 $125,274 
Net interest income, tax equivalent(1)
$50,091 $38,837 $33,833 $162,693 $148,995 
Plus: Noninterest income (loss)10,837 (130,388)3,862 (88,247)18,423 
Less: Investment securities gains (losses), net161 (140,182)(5,696)(139,952)(18,789)
Net revenues used for efficiency ratio$60,767 $48,631 $43,391 $214,398 $186,207 
Efficiency ratio (2)
59.06 %70.32 %70.16 %63.44 %67.28 %
(1) The federal statutory tax rate utilized was 21%.
(2) Noninterest expense adjusted for amortization of intangibles and merger-related expenses divided by the sum of tax equivalent net interest income, noninterest income and net investment securities gains.



16

Three Months EndedYear Ended
Adjusted Earnings December 31,September 30,December 31,December 31,December 31,
(Dollars in thousands, except per share data)20242024202320242023
Net income (loss)$16,330 $(95,707)$2,730 $(60,289)$20,859 
Less: Investment securities gains (losses), net of tax(1)
119 (103,988)(4,272)(103,818)(14,092)
Less: Mortgage servicing rights gain (loss), net of tax(1)
122 (761)(79)(817)(66)
Plus: Merger-related expenses, net of tax(1)
23 99 184 1,730 294 
Less: Gain on branch sale, net of tax(1)
— — — 8,122 — 
Adjusted earnings$16,112 $9,141 $7,265 $37,954 $35,311 
Weighted average diluted common shares outstanding20,851 15,829 15,756 17,030 15,725 
Earnings (loss) per common share - diluted$0.78 $(6.05)$0.17 $(3.54)$1.33 
Adjusted earnings per common share(2)
$0.77 $0.58 $0.46 $2.23 $2.25 
(1) The income tax rate utilized was the blended marginal tax rate.
(2) Adjusted earnings divided by weighted average diluted common shares outstanding.


Contact:
Charles N. ReevesBarry S. Ray
Chief Executive OfficerChief Financial Officer
319.356.5800319.356.5800


17
Fourth Quarter 2024 Earnings Conference Call January 24, 2025

 
2 Forward Looking Statements & Non-GAAP Measures This presentation contains certain “forward-looking statements” within the meaning of such term in the Private Securities Litigation Reform Act of 1995. We and our representatives may, from time to time, make written or oral statements that are “forward-looking” and provide information other than historical information. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement. These factors include, among other things, the factors listed below. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of our management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “should,” “could,” “would,” “plans,” “goals,” “intend,” “project,” “estimate,” “forecast,” “may” or similar expressions. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, these statements. Readers are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date made. Additionally, we undertake no obligation to update any statement in light of new information or future events, except as required under federal securities law. Our ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors that could have an impact on our ability to achieve operating results, growth plan goals and future prospects include, but are not limited to, the following: (1) the risks of mergers or branch sales (including the sale of our Florida banking operations and the acquisition of Denver Bankshares, Inc.), including, without limitation, the related time and costs of implementing such transactions, integrating operations as part of these transactions and possible failures to achieve expected gains, revenue growth and/or expense savings from such transactions; (2) credit quality deterioration, pronounced and sustained reduction in real estate market values, or other uncertainties, including the changing impact of inflationary pressures on economic conditions and our business, resulting in an increase in the allowance for credit losses, an increase in the credit loss expense, and a reduction in net earnings; (3) the effects of changes in interest rates, including on our net income and the value of our securities portfolio; (4) changes in the economic environment, competition, or other factors that may affect our ability to acquire loans or influence the anticipated growth rate of loans and deposits and the quality of the loan portfolio and loan and deposit pricing; (5) fluctuations in the value of our investment securities; (6) governmental monetary and fiscal policies; (7) the economic impacts on the Company and its customers of climate change, natural disasters and exceptional weather occurrences, such as tornadoes, floods and blizzards; (8) legislative and regulatory changes, including changes in banking, securities, trade, and tax laws and regulations and their application by our regulators, including changes in interpretation or prioritization, and any changes in response to the failures of other banks; (9) the ability to attract and retain key executives and employees experienced in banking and financial services; (10) the sufficiency of the allowance for credit losses to absorb the amount of actual losses inherent in our existing loan portfolio; (11) our ability to adapt successfully to technological changes to compete effectively in the marketplace; (12) credit risks and risks from concentrations (by type of borrower, collateral, geographic area and by industry) within our loan portfolio; (13) the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, securities brokerage firms, insurance companies, money market and other mutual funds, financial technology companies, and other financial institutions operating in our markets or elsewhere or providing similar services; (14) the failure of assumptions underlying the establishment of allowances for credit losses and estimation of values of collateral and various financial assets and liabilities; (15) volatility of rate-sensitive deposits; (16) operational risks, including data processing system failures or fraud; (17) asset/liability matching risks and liquidity risks; (18) the costs, effects and outcomes of existing or future litigation or other legal proceedings and regulatory actions; (19) changes in general economic, political, or industry conditions, nationally, internationally or in the communities in which we conduct business, including the risk of a recession; (20) new or revised accounting policies and practices, as may be adopted by state and federal regulatory agencies and the Financial Accounting Standards Board; (21) war or terrorist activities, including ongoing conflicts in the Middle East and the Russian invasion of Ukraine, widespread disease or pandemic, or other adverse external events, which may cause deterioration in the economy or cause instability in credit markets; (22) the occurrence of fraudulent activity, breaches, or failures of our or our third-party vendors' information security controls or cyber-security related incidents, including as a result of sophisticated attacks using artificial intelligence and similar tools, or as a result of insider fraud; (23) the imposition of tariffs or other domestic or international governmental policies impacting the value of the products produced by our borrowers; (24) 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; (25) the concentration of large deposits from certain clients, including those who have balances above current FDIC insurance limits; (26) changes in business and economic conditions generally and in the financial services industry, and the effects of developments and events in the financial services industry, including the large-scale deposit withdrawals over a short period of time that resulted in prior bank failures; and (27) other risk factors detailed from time to time in Securities and Exchange Commission filings made by the Company. Non-GAAP Measures This presentation contains non-GAAP measures for tangible common equity, tangible book value per share, tangible common equity ratio, loan yield, tax equivalent, efficiency ratio, pre-tax, pre-provision earnings, return on average tangible equity, net interest margin, tax equivalent, adjusted earnings, and adjusted earnings per share. Management believes these measures provide investors with useful information regarding the Company’s profitability, financial condition and capital adequacy, consistent with how management evaluates the Company’s financial performance. A reconciliation of each non-GAAP measure to the most comparable GAAP measure is included, as necessary, in the Non-GAAP Financial Measures section.

 
3 Financial Highlights Total assets $ 6,236.3 (4.8) % (3.0) % Total loans held for investment, net 4,315.6 (0.3) 4.6 Total deposits 5,478.0 2.0 1.5 Balance Sheet Equity to assets ratio 8.97 % 39 bps 81 bps Tangible common equity ratio(1) 7.57 35 67 CET1 risk-based capital ratio 10.73 82 114 Total risk-based capital ratio 14.07 111 154 Loans to deposits ratio 78.78 (185) 229 Capital and Liquidity Net interest margin, tax equivalent(1) 3.43 % 92 bps 121 bps Cost of total deposits 1.99 (15) 1 Return on average assets 1.03 681 86 Efficiency ratio(1) 59.06 (1,126) (1,110) Diluted EPS $ 0.78 100 % 359 % Adjusted EPS(1) 0.77 33 67 Profitability Nonperforming loans ratio 0.51 % 0 bps (13) bps Nonperforming assets ratio 0.40 1 (7) Net charge-off ratio 0.06 (10) (14) Allowance for credit losses ratio 1.28 3 3 Credit Risk Profile 4Q24 Financial Highlights(2) (1) Non-GAAP financial measure. See the "Non-GAAP Financial measures" section. (2) Note: Financial metrics as of or for the quarter ended December 31, 2024. Change vs. Dollars in millions, except per share amounts 4Q24 3Q24 4Q23

 
4 Company Focus MOFG's Five Strategic Pillars to Deliver Improved Results Exceptional Customer and Employee Engagement Strong Core Local Banking Model Sophisticated Commercial Banking and Wealth Management Specialty Business Lines Improving Operational Effectiveness and Efficiency • Top WorkplaceTM award-winning culture since 2013(1) • Sharpened results focus with voice of customer and financial metrics driving employee reward and recognition. • Larger bank offerings delivered via local bank personalization • Established distribution network generates reach and stability with strong retention ◦ 79% loan-to-deposit ratio and $29K average account size • Focused on recruiting exceptional talent including team lift outs • Segmentation model targeting high-single-digit loan growth and double- digit wealth fee income growth • Talent and technology expansion of Treasury Management platform • Expertise powered vehicles: C&I, CRE, Public Finance, SBA and Agri- Business • Targeted recruitment for vertical expansion including deposit and capital finance • Benchmark-driven expense discipline • Technology roadmap including expanded digital capabilities, operational efficiency through automation and sophisticated data use cases (1)Source: https://topworkplaces.com

 
5 2024 Significant Accomplishments Strategic Plan Updates Geographic Realignment Sale of Florida branches (7.5% deposit premium) and acquisition of Bank of Denver in first half of 2024 Talent Transformation Robust talent acquisition strategy installing senior leaders, product management, IT resources and revenue producers across target markets ☑ Operational Efficiency Completed a common equity raise during the third quarter of 2024, with proceeds used to support a balance sheet repositioning executed early in the fourth quarter of 2024. ☑ Commercial Banking & Wealth Commercial loan growth of 5% for the full year of 2024 Continued momentum in Wealth Management, with year-over-year revenue growth of 16% ☑ Strong Core Local Banking Model & Specialty Business Lines Momentum in noninterest bearing deposits, with growth for the second consecutive quarter (as of Q4.24) SBA gain on sale year-over-year revenue growth of 400% ☑☑

 
6 Diversified and Granular Loan Portfolio Loans Held for Investment Agricultural, 3% C&I, 26% Construction & Development, 7% Farmland, 4% Multifamily, 10% CRE-Other, 33% Residential Real Estate, 15% Consumer, 2% $4.32 billion 5.86% Yield(4) <$795K Avg. Commercial Loan Size(1) Financial Information as of December 31, 2024. (1)Average net nonaccrual active principal balance of the commercial loan portfolio. (2) Commercial loan net active principal balances reported in millions ($). (3) Excludes $184 million net active principal balance as of December 31, 2024 for the commercial loans acquired in Denver Bankshares, Inc. acquisition. (4) Non-GAAP Measure. See the Non-GAAP measures section for a reconciliation of the most directly comparable GAAP measure. $1,132 $1,155 $658 Iowa Metro Twin Cities Denver LTM Commercial Loan Growth in Targeted Regions(2) +11% +$109 million +8% +$83 million +11% +$47 million(3)

 
7 Credit Risk Profile $ m ill io ns Nonperforming Assets $30.3 $33.2 $31.2 $25.5 $25.2 12/31/2023 3/31/2024 6/30/2024 9/30/2024 12/31/2024 $ m ill io ns Net Charge-Offs $2.1 $0.2 $0.5 $1.7 $0.7 4Q23 1Q24 2Q24 3Q24 4Q24 Credit Quality Metrics $ millions 4Q23 1Q24 2Q24 3Q24 4Q24 Nonperforming assets ratio 0.47 % 0.49 % 0.47 % 0.39 % 0.40 % Classified loans ratio 4.07 % 3.71 % 3.48 % 3.11 % 2.57 % Net charge-off ratio 0.20 % 0.02 % 0.05 % 0.16 % 0.06 % Loans greater than 30 days past due and accruing $ 10.8 $ 8.8 $ 9.4 $ 11.9 $ 9.4 Allowance for credit losses ratio 1.25 % 1.27 % 1.26 % 1.25 % 1.28 %

 
8 Commercial Real Estate 3.3% 96.7% NOO CRE Office All Other Loans Non-Owner Occupied CRE Office December 31, 2024 $ millions 4Q24 3Q24 Construction & Development $ 324.9 $ 386.9 Farmland 182.5 182.2 Multifamily 423.2 409.5 CRE Other: NOO CRE Office 144.6 154.7 OO CRE Office 74.2 84.6 Industrial and Warehouse 424.5 403.5 Retail 289.1 282.4 Hotel 131.2 111.7 Other 350.5 316.6 Total Commercial Real Estate $ 2,344.7 $ 2,332.1 Commercial Real Estate Portfolio(2) December 31, 2024 Portfolio Highlights December 31, 2024 Average NOO CRE Office outstanding principal ($ millions) $ 1.4 CRE Concentration (% of Total Capital): 4Q24 3Q24 Regulatory Threshold Construction, land development and other land 46 % 56 % 100 % Total CRE loans(1) 224 % 232 % 300 % (1)Total CRE loans includes construction, land development and other land, in addition to multifamily and NOO CRE. (2) Represents the amortized cost of the CRE portfolio.

 
9 Focusing on Growth in Wealth Management $2.44 $2.74 $2.73 $3.01 $3.15 2020 2021 2022 2023 2024 $— $1.00 $2.00 $3.00 $4.00 Investment Services and Private Wealth Revenue • Asset amounts presented are in billions of dollars • Revenue amounts presented are in millions of dollars $9.6 $11.7 $11.2 $12.2 $14.2 $3.2 $4.2 $3.9 $3.8 $4.7 $6.4 $7.5 $7.3 $8.4 $9.5 Investment Services Private Wealth 2020 2021 2022 2023 2024 $5.0 $10.0 $15.0 Wealth Management Assets Under Administration Private Banking • Right-size book of business with consistent eligibility • Launched new concierge support • Built a sophisticated product set • Added a new Senior Private Banker in Des Moines and Denver during 2024 Private Wealth • Enhance planning with a single platform across Private Wealth and Investment Services • Reviewing platform options to dramatically enhance investment offering in the first quarter of 2025 • Increase focus on thought leadership • Enhance fee opportunities with fiduciary services and proprietary investments Investment Services • Added an advisor in Twin Cities during 2024, adding an advisor in Denver in 2025 • Focus on building recurring revenue through fee-based business • Focused on growth in advisory assets, which increased $12.5 million in 2024

 
10 Financial Performance

 
11 Balance Sheet 4Q24 vs. 3Q24 4Q24 vs. 4Q23 Period end balances, $ millions 4Q24 $ Change % Change $ Change % Change Loans $4,315.6 $(13.1) — % $188.7 5 % Investment securities $1,328.4 $(294.7) (18) % $(541.9) (29) % Interest earning deposits in banks $133.1 $3.4 3 % $127.6 n/m Deposits $5,478.0 $109.3 2 % $82.3 2 % Borrowed funds $116.6 $(409.1) (78) % $(307.0) (72) % Shareholders' equity $559.7 $(2.5) — % $35.3 7 % 4Q24 4Q24 Period end 4Q24 3Q24 vs. 3Q24 4Q23 vs. 4Q23 Tangible book value per share(1) $22.37 $22.43 — % $27.90 (20) % Common equity Tier 1 capital ratio 10.73 % 9.91 % 82 bps 9.59 % 114 bps AOCI $(72.8) $(58.8) (24) % $(64.9) (12) % Return on average tangible equity(1) 14.80 % (82.78) % n/m 3.57 % n/m (n/m) - Not meaningful (1) Non-GAAP financial measure. See the "Non-GAAP Financial Measures" section.

 
12 Balance Sheet - Debt Securities Portfolio Total Securities Yield 4.0 Year Duration 4.08% Yield (Q4.24) Municipals, 11% MBS, 25% CLO, 4% CMO, 51% Corporate, 9% $1.33 billion 2.36% 2.46% 2.46% 2.37% 4.08% 4Q23 1Q24 2Q24 3Q24 4Q24 Portfolio Mix

 
13 Income Statement % Change 4Q24 vs. $ millions 4Q24 3Q24 4Q23 3Q24 4Q23 Net interest income $48.9 $37.5 $32.6 30 % 50 % Noninterest income 10.8 (130.4) 3.9 (108) % 177 % Total revenue 59.7 (92.9) 36.5 (164) % 64 % Noninterest expense 37.4 35.8 32.1 4 % 17 % Pre-tax pre-provision net revenue(1) $22.3 $(128.7) $4.4 (117) % 407 % Credit loss expense $1.3 $1.5 $1.8 (13) % (28) % Income tax expense (benefit) $4.8 $(34.5) $(0.2) (114) % n/m Net income (loss) $16.3 $(95.7) $2.7 (117) % 504 % Adjusted earnings(1) $16.1 $9.1 $7.3 77 % 121 % 4Q24 3Q24 4Q23 vs. 3Q24 vs. 4Q23 Net interest margin(1) 3.43 % 2.51 % 2.22 % 92 bps 121 bps Efficiency ratio(1) 59.06 % 70.32 % 70.16 % n/m n/m Diluted EPS $0.78 $(6.05) $0.17 (113) % 359 % Adjusted EPS(1) $0.77 $0.58 $0.46 33 % 67 % (n/m) - Not meaningful (1) Non-GAAP Measure. See the "Non-GAAP Financial Measures" section.

 
14 Non-GAAP Financial Measures

 
15 Non-GAAP Financial Measures Tangible Common Equity / Tangible Book Value per Share / Tangible Common Equity Ratio December 31, 2023 September 30, 2024 December 31, 2024 dollars in thousands Total shareholders' equity $ 524,378 $ 562,238 $ 559,696 Intangible assets, net (86,546) (96,257) (94,807) Tangible common equity $ 437,832 $ 465,981 $ 464,889 Total assets $ 6,427,540 $ 6,552,482 $ 6,236,329 Intangible assets, net (86,546) (96,257) (94,807) Tangible assets $ 6,340,994 $ 6,456,225 $ 6,141,522 Book value per share $ 33.41 $ 27.06 $ 26.94 Tangible book value per share (1) $ 27.90 $ 22.43 $ 22.37 Shares outstanding 15,694,306 20,774,919 20,777,485 Tangible common equity ratio (2) 6.90 % 7.22 % 7.57 % (1) Tangible common equity divided by shares outstanding. (2) Tangible common equity divided by tangible assets. Loan Yield, Tax Equivalent For the Three Months Ended December 31, 2023 September 30, 2024 December 31, 2024 dollars in thousands Loan interest income, including fees $ 54,093 $ 62,521 $ 62,458 Tax equivalent adjustment (1) 846 951 985 Tax equivalent loan interest income $ 54,939 $ 63,472 $ 63,443 Yield on loans, tax equivalent (2) 5.34 % 5.86 % 5.86 % Average Loans $ 4,080,243 $ 4,311,693 $ 4,307,583 (1) The federal statutory tax rate utilized was 21%. (2) Annualized tax equivalent loan interest income divided by average loans.

 
16 Non-GAAP Financial Measures Efficiency Ratio For the Three Months Ended December 31, 2023 September 30, 2024 December 31, 2024 dollars in thousands Total noninterest expense $ 32,131 $ 35,798 $ 37,372 Amortization of intangibles (1,441) (1,470) (1,449) Merger-related expenses (245) (133) (31) Noninterest expense used for efficiency ratio $ 30,445 $ 34,195 $ 35,892 Net interest income, tax equivalent (1) $ 33,833 $ 38,837 $ 50,091 Noninterest income (loss) 3,862 (130,388) 10,837 Investment securities gains (losses), net (5,696) (140,182) 161 Net revenues used for efficiency ratio $ 43,391 $ 48,631 $ 60,767 Efficiency ratio 70.16 % 70.32 % 59.06 % (1) The federal statutory tax rate utilized was 21%. (2) Noninterest expense adjusted for amortization of intangibles and merger-related expenses divided by the sum of tax equivalent net interest income, noninterest income and net investment securities (losses) gains. Pre-tax Pre-provision Net Revenue For the Three Months Ended December 31, 2023 September 30, 2024 December 31, 2024 dollars in thousands Net interest income $ 32,559 $ 37,521 $ 48,938 Noninterest income (loss) 3,862 (130,388) 10,837 Noninterest expense (32,131) (35,798) (37,372) Pre-tax Pre-provision Net Revenue $ 4,290 $ (128,665) $ 22,403

 
17 Non-GAAP Financial Measures Return on Average Tangible Equity For the Three Months Ended December 31, 2023 September 30, 2024 December 31, 2024 dollars in thousands Net income (loss) $ 2,730 $ (95,707) $ 16,330 Intangible amortization, net of tax (1) 1,081 1,090 1,075 Tangible net income (loss) $ 3,811 $ (94,617) $ 17,405 Average shareholders' equity $ 511,236 $ 551,414 $ 563,416 Average intangible assets, net (87,258) (96,706) (95,498) Average tangible equity $ 423,978 $ 454,708 $ 467,918 Return on average equity 2.12 % (69.05) % 11.53 % Return on average tangible equity (2) 3.57 % (82.78) % 14.80 % (1) The income tax rate utilized was the blended marginal tax rate. (2) Annualized tangible net income (loss) divided by average tangible equity. Net Interest Margin, Tax Equivalent For the Three Months Ended December 31, 2023 September 30, 2024 December 31, 2024 dollars in thousands Net interest Income $ 32,559 $ 37,521 $ 48,938 Tax equivalent adjustments: Loans (1) 846 951 985 Securities (1) 428 365 168 Net Interest Income, tax equivalent $ 33,833 $ 38,837 $ 50,091 Average interest earning assets $ 6,035,122 $ 6,167,525 $ 5,807,386 Net interest margin, tax equivalent (2) 2.22 % 2.51 % 3.43 % (1) The federal statutory tax rate utilized was 21%. (2) Annualized tax equivalent net interest income divided by average interest earning assets.

 
18 Non-GAAP Financial Measures Adjusted Earnings / Adjusted Earnings Per Share For the Three Months Ended December 31, 2023 September 30, 2024 December 31, 2024 dollars in thousands Net income (loss) $ 2,730 $ (95,707) $ 16,330 Less: Investment securities gains (losses), net of tax(1) (4,272) (103,988) 119 Less: Mortgage servicing rights gain (loss), net of tax(1) (79) (761) 122 Plus: Merger-related expenses, net of tax(1) 184 99 23 Adjusted earnings $ 7,265 $ 9,141 $ 16,112 Weighted average diluted common shares outstanding 15,756,082 15,829,032 20,851,094 Earnings (loss) per common share - diluted $0.17 $(6.05) $0.78 Adjusted earnings per common share(2) $0.46 $0.58 $0.77 (1) The income tax rate utilized was the blended marginal tax rate. (2) Adjusted earnings divided by weighted average diluted common shares outstanding.

 
v3.24.4
Cover Page
Jan. 22, 2025
Cover [Abstract]  
Document Type 8-K
Document Period End Date Jan. 22, 2025
Entity Registrant Name MidWestOne Financial Group, Inc.
Entity File Number 001-35968
Entity Incorporation, State or Country Code IA
Entity Tax Identification Number 42-1206172
Entity Address, Address Line One 102 South Clinton Street
Entity Address, City or Town Iowa City
Entity Address, State or Province IA
Entity Address, Postal Zip Code 52240
City Area Code 319
Local Phone Number 356-5800
Written Communications false
Soliciting Material false
Pre-commencement Tender Offer false
Pre-commencement Issuer Tender Offer false
Title of 12(b) Security Common stock, $1.00 par value
Trading Symbol MOFG
Security Exchange Name NASDAQ
Entity Emerging Growth Company false
Amendment Flag false
Entity Central Index Key 0001412665
MidWestOne Financial (NASDAQ:MOFG)
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