Operating Segments and Related Information

3 Months Ended

Mar. 31, 2022

Operating Segments and Related Information

Operating Segments and Related Information

Note 14:  Operating Segments and Related Information

The Company has three reportable operating segments:  Banking, FirsTech, and Wealth Management.  The Company’s three operating segments are strategic business units that are separately managed as they offer different products and services and have different marketing strategies.  The Banking operating segment provides a full range of banking services to individual and corporate customers through its banking center network in Illinois; the St. Louis, Missouri metropolitan area; southwest Florida; and Indianapolis, Indiana.  The FirsTech operating segment provides solutions for online, mobile, and voice-recognition bill payments; lockbox; and walk-in payments.  The Wealth Management operating segment provides a full range of asset management, investment, brokerage, fiduciary, philanthropic advisory, tax preparation, and farm management services to individuals, businesses, and foundations.

The segment financial information provided below has been derived from information used by management to monitor and manage the financial performance of the Company.  The accounting policies of the three segments are the same as those described in the summary of significant accounting policies in “Note 1.  Significant Accounting Policies” in the Company’s 2021 Annual Report.  The Company accounts for intersegment revenue and transfers at current market value.

Following is a summary of selected financial information for the Company’s operating segments.  The “other” category included in the tables below consists of the parent company, First Busey Risk Management, and the elimination of intercompany transactions (dollars in thousands):

	Goodwill				Total Assets
	As of				As of
	March 31,		December 31,		March 31,		December 31,
	2022		2021		2022		2021
Operating segment
Banking	$	294,773	$	294,773	$	12,450,999	$	12,746,833
FirsTech		8,992		8,992		46,900		47,481
Wealth Management		14,108		14,108		71,364		65,587
Other		—		—		(1,754)		(212)
Consolidated total	$	317,873	$	317,873	$	12,567,509	$	12,859,689

	Three Months Ended March 31,
	2022		2021
Net interest income
Banking	$	73,832	$	68,455
FirsTech		18		20
Other		(3,794)		(3,582)
Total net interest income	$	70,056	$	64,893
Noninterest income
Banking	$	15,286	$	12,884
FirsTech		5,419		4,861
Wealth Management		15,776		12,587
Other		(709)		1,113
Total noninterest income	$	35,772	$	31,445
Noninterest expense
Banking	$	55,567	$	42,091
FirsTech		4,683		4,290
Wealth Management		8,265		6,565
Other		1,861		1,553
Total noninterest expense	$	70,376	$	54,499
Income before income taxes
Banking	$	33,804	$	46,044
FirsTech		754		591
Wealth Management		7,511		6,022
Other		(6,364)		(4,022)
Total income before income taxes	$	35,705	$	48,635
Net income
Banking	$	26,451	$	35,528
FirsTech		550		429
Wealth Management		5,840		4,682
Other		(4,402)		(2,823)
Total net income	$	28,439	$	37,816