Associated Banc-Corp (ASB) Q1 2024 Earnings: Transforming and Thriving in a Challenging Environment

Associated Banc-Corp (ASB) Reports First Quarter Earnings

Associated Banc-Corp (NYSE: ASB) today announced its first quarter 2024 financial results, highlighting the progress made on its strategic plan to acquire customers, deepen relationships, and enhance returns. The company reported positive household, loan, and core customer deposit growth, while also maintaining expense discipline. Additionally, the company appointed Mike Lemons to the commercial team in Minnesota, reflecting its expansion efforts.

Financial Highlights

Net interest income and margin increased, while non-interest income slightly decreased. The company's conservative credit approach and commercial real estate loans in the Midwest have positioned it well amidst uncertain macroeconomic conditions. Associated Banc-Corp remains focused on loan diversification and decreasing reliance on low-yielding assets.

Company Outlook

The full impact of growth initiatives is anticipated to materialize in H2 2024 and into 2025. The company continues to focus on customer acquisition and relationship deepening while enhancing returns. The CET1 ratio remains within the target range, indicating financial stability.

Bearish Highlights

Non-interest income decreased slightly, with an expectation of 0-2% compression in 2024. There was a net decrease in CET1 due to higher long-term rates, although it rebounded in Q1.

Bullish Highlights

Strong growth in the mass affluent and private wealth segments. The auto loan portfolio is growing promisingly, with a yield above 7%. There is a positive outlook for commercial loan demand and investment appetite among customers.


Loan balances decreased by $583 million on a quarterly average basis.

Q&A Highlights

The company expects deposit growth primarily from consumer accounts, focusing on non-interest-bearing deposits. Marketing and technology expenses, as well as hiring, will lead to a slight increase in expenses in the coming quarters. Associated Banc-Corp's exposure to the trucking and transportation industry is minimal and considered low risk.

Associated Banc-Corp is confident in its strategic plan and disciplined execution, optimistic about the impact of growth initiatives in late 2024 and into 2025. The company is poised for continued growth and remains resilient in its local markets.

For more information and detailed financial statements, please see the Associated Banc-Corp website.

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