Overview

* First Internet Bancorp ( INBK ) Q3 adjusted revenue grows 30% yr/yr to $43.5 mln

* Adjusted EPS for Q3 misses analyst expectations

* Company reports Q3 net loss of $41.6 mln due to loan sale loss

Outlook

* Company expects improved performance due to cleaner credit profile and reduced delinquencies

* First Internet Bancorp ( INBK ) aims to achieve a ROAA of 1%

* Company sees robust loan pipelines supporting future earnings growth

Result Drivers

* REVENUE GROWTH - Adjusted revenue increased 30% yr/yr due to higher yields on earning assets and reduced funding costs

* CREDIT MANAGEMENT - Decisive actions in credit management improved asset quality and reduced delinquencies

* LOAN SALE - Completed major loan sale to enhance regulatory capital ratios and balance sheet flexibility

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Miss -$1.43 $0.72 (4

Adjusted Analysts

EPS )

Q3 EPS -$4.76

Q3 Net -$41.59

Income mln

Q3 Net $30.4

Interest mln

Income

Q3 CET1 9.24%

Capital

Ratio

Analyst Coverage

* The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the banks peer group is "buy."

* Wall Street's median 12-month price target for First Internet Bancorp ( INBK ) is $27.00, about 19.8% above its October 21 closing price of $21.66

* The stock recently traded at 5 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)