Old National Bancorp Q2 2024 10-Q Filing

TL;DR

**ONB files Q2 10-Q: Financials for period ending 6/30/24 are in.**

AI Summary

Old National Bancorp filed its 10-Q for the period ending June 30, 2024. The filing details financial performance and position for the second quarter of 2024. Key financial data and disclosures are presented as required by regulatory standards.

Why It Matters

This filing provides investors and analysts with a detailed look at Old National Bancorp's financial health and operational performance during the second quarter of 2024.

Risk Assessment

Risk Level: medium — As a financial institution, Old National Bancorp is subject to various market, credit, and regulatory risks inherent in the banking industry.

Key Numbers

• 0.8 — Allowance for Credit Losses (Excluding Accrued Interest) (Represents the provision for potential loan losses.)
• 0.6 — Allowance for Credit Losses (Excluding Accrued Interest) (Represents the provision for potential loan losses.)
• 0.9 — Allowance for Credit Losses (Excluding Accrued Interest) (Represents the provision for potential loan losses.)
• 0.5 — Allowance for Credit Losses (Excluding Accrued Interest) (Represents the provision for potential loan losses.)

Key Players & Entities

• OLD NATIONAL BANCORP /IN/ (company) — Filer
• 20240630 (date) — Period of Report
• 20240731 (date) — Filed as of Date
• ONE MAIN ST (address) — Business and Mail Address
• EVANSVILLE (city) — Business and Mail City
• IN (state) — Business and Mail State
• 47708 (zip_code) — Business and Mail Zip
• 8124641434 (phone_number) — Business Phone

FAQ

Filing Documents

• onb-20240630.htm (10-Q) — 5082KB
• onb_exhibit3112q24.htm (EX-31.1) — 13KB
• onb_exhibit3122q24.htm (EX-31.2) — 13KB
• onb_exhibit3212q24.htm (EX-32.1) — 8KB
• onb_exhibit3222q24.htm (EX-32.2) — 8KB
• 0000707179-24-000013.txt ( ) — 23893KB
• onb-20240630.xsd (EX-101.SCH) — 90KB
• onb-20240630_cal.xml (EX-101.CAL) — 188KB
• onb-20240630_def.xml (EX-101.DEF) — 544KB
• onb-20240630_lab.xml (EX-101.LAB) — 1122KB
• onb-20240630_pre.xml (EX-101.PRE) — 885KB
• onb-20240630_htm.xml (XML) — 6095KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements Consolidated Balance Sheets (unaudited) 4 Consolidated Statements of Income (unaudited) 5 Consolidated Statements of Comprehensive Income (Loss) (unaudited) 6 Consolidated Statements of Changes in Shareholders' Equity (unaudited) 7 Consolidated Statements of Cash Flows (unaudited) 8

Notes to Consolidated Financial Statements (unaudited)

Notes to Consolidated Financial Statements (unaudited) 10 Note 1. Basis of Presentation 10 Note 2. Recent Accounting Pronouncements 10 Note 3. Acquisition and Divestiture Activity 11 Note 4. Net Income Per Common Share 13 Note 5. Investment Securities 14 Note 6. Loans and Allowance for Credit Losses 17 Note 7. Leases 28 Note 8. Goodwill and Other Intangible Assets 30 Note 9. Qualified Affordable Housing Projects and Other Tax Credit Investments 31 Note 10. Securities Sold Under Agreements to Repurchase 33 Note 11. Federal Home Loan Bank Advances 33 Note 12. Other Borrowings 34 Note 13. Accumulated Other Comprehensive Income (Loss) 36 Note 14. Income Taxes 38 Note 15. Derivative Financial Instruments 39 Note 16. Commitments, Contingencies, and Financial Guarantees 43 Note 17. Fair Value 44

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 50

Forward-Looking Statements

Forward-Looking Statements 50 Financial Highlights 51 Non-GAAP Financial Measures 53 Executive Summary 56 Results of Operations 57 Financial Condition 63 Risk Management 67 Critical Accounting Estimates 73

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 73

Controls and Procedures

Item 4. Controls and Procedures 74

OTHER INFORMATION

PART II. OTHER INFORMATION 75

Risk Factors

Item 1A. Risk Factors 75

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 75

Other Information

Item 5. Other Information 75

Exhibits

Item 6. Exhibits 76 SIGNATURE 77 2 GLOSSARY OF ABBREVIATIONS AND ACRONYMS As used in this report, references to "Old National," "the Company," "we," "our," "us," and similar terms refer to the consolidated entity consisting of Old National Bancorp and its wholly-owned subsidiaries. Old National Bancorp refers solely to the parent holding company, and Old National Bank refers to Old National Bancorp's wholly-owned bank subsidiary. The acronyms and abbreviations identified below are used throughout this report, including the Notes to Consolidated Financial Statements (Unaudited). You may find it helpful to refer to this page as you read this report. AOCI: accumulated other comprehensive income (loss) AQR: asset quality rating ASC: Accounting Standards Codification ASU: Accounting Standards Update ATM: automated teller machine BBCC: business banking credit center (small business) CapStar: CapStar Financial Holdings, Inc. CECL: current expected credit loss Common Stock: Old National Bancorp common stock, no par value DTI: debt-to-income FASB: Financial Accounting Standards Board FDIC: Federal Deposit Insurance Corporation FHLB: Federal Home Loan Bank FHTC: Federal Historic Tax Credit FICO: Fair Isaac Corporation GAAP: U.S. generally accepted accounting principles LGD: loss given default LIBOR: London Interbank Offered Rate LIHTC: Low Income Housing Tax Credit LTV: loan-to-value N/A: not applicable N/M: not meaningful NASDAQ: NASDAQ Global Select Market NMTC: New Markets Tax Credit NOW: negotiable order of withdrawal OCC: Office of the Comptroller of the Currency PCD: purchased credit deteriorated PD: probability of default Renewable Energy: investment tax credits for solar projects SEC: U.S. Securities and Exchange Commission SOFR: Secured Overnight Financing Rate 3 OLD NATIONAL BANCORP CONSOLIDATED BALANCE SHEETS (dollars and shares in thousands, except per share data) June 30, 2024 December 31, 2023 (unaudited) Assets

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited) NOTE 1 – BASIS OF PRESENTATION The accompanying unaudited consolidated financial statements include the accounts of Old National Bancorp and its wholly-owned subsidiaries (hereinafter collectively referred to as "Old National") and have been prepared in conformity with accounting principles generally accepted in the United States of America and prevailing practices within the banking industry. Such principles require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and the disclosures of contingent assets and liabilities at the date of the financial statements and amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. In the opinion of management, the consolidated financial statements contain all the normal and recurring adjustments necessary for a fair statement of the financial position of Old National as of June 30, 2024 and December 31, 2023, and the results of its operations for the three and six months ended June 30, 2024 and 2023. Interim results do not necessarily represent annual results. Certain information and disclosures normally included in notes to consolidated annual financial statements prepared in accordance with GAAP have been condensed or omitted in this Quarterly Report on Form 10-Q pursuant to SEC rules and regulations. These financial statements should be read in conjunction with Old National's Annual Report on Form 10-K for the year ended December 31, 2023. All intercompany transactions and balances have been eliminated. Certain prior year amounts have been reclassified to conform to the current presentation. Such reclassifications had no effect on prior period net income or shareholders' equity and were insignificant amounts. NOTE 2 – RECENT ACCOUNTING PRONOUNCEMENTS Accounting Guidance Adopted in 2024 FASB ASC 820 – In June 2022, the FASB issued ASU 2022-03, Fair Value Me

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View this 10-Q filing on SEC EDGAR