First Mid Illinois Bancshares Inc (FMBH)

History and Background

First Mid Illinois Bancshares, Inc. was founded in 1865 as Paris National Bank. Over the years, it expanded through organic growth and acquisitions, becoming a regional financial services company.

Core Business Areas

• Commercial Banking: Offers a range of commercial lending products, treasury management services, and deposit accounts for businesses of all sizes.
• Retail Banking: Provides personal banking services including checking and savings accounts, mortgages, and consumer loans.
• Wealth Management: Offers wealth management, trust, and investment services to individuals and institutions.
• Insurance Services: Offers insurance solutions including property and casualty insurance, employee benefits, and risk management services.

Leadership and Structure

The company is led by a board of directors and a senior management team. The organizational structure includes various departments responsible for different business lines and support functions.

Key Offerings

• Commercial Loans: Provide businesses with funding for operations, expansion, and other capital needs. The commercial loan market is highly competitive. Major competitors include regional and national banks like BOKF (BOKF) and JPMorgan Chase (JPM). Market share for each individual lender varies by region.
• Mortgages: Offers a variety of mortgage products including fixed-rate and adjustable-rate mortgages. Competitors include other banks, credit unions, and mortgage companies such as Wells Fargo (WFC) and Rocket Mortgage (RKT). Market share is heavily influenced by interest rates and local housing market conditions.
• Wealth Management Services: Includes investment advice, financial planning, and trust services. Competitors include large brokerage firms like Morgan Stanley (MS) and independent RIAs. The wealth management market is fragmented.

Industry Overview

The banking industry is currently facing challenges from rising interest rates, increased regulatory scrutiny, and competition from fintech companies. Regional banks are focusing on building strong customer relationships and providing personalized services.

Positioning

First Mid Illinois Bancshares Inc. positions itself as a community-focused bank with a strong commitment to customer service and local market expertise. They focus on building relationships with businesses and individuals in their service areas.

Total Addressable Market (TAM)

The TAM includes all potential banking customers within First Mid's geographical footprint. The value of this TAM is in the billions of dollars, encompassing loan originations, deposit accounts, and wealth management fees. First Mid is positioned to capture a significant share of this market through its community focus and local expertise.

Key Competitors

• BOKF
• CMA
• HBAN
• KEY
• RF

Competitive Landscape

First Mid Illinois Bancshares Inc. faces competition from larger regional banks and smaller community banks. Its advantages include strong community relationships and local market expertise. Disadvantages are smaller reach.

Lincoln Land Bancorp

• Year: 2016
• Acquisition Price (USD millions): 79.1
• Strategic Rationale: Expanded First Mid's presence in central Illinois, enhancing its market share and customer base.

Brown County State Bank

• Year: 2019
• Acquisition Price (USD millions): 21.6
• Strategic Rationale: Expanded First Mid's presence in Western Illinois and broadened its service offerings.

Historical Growth: Historical growth trends have been steady, driven by organic growth and acquisitions. Growth patterns are dependent on macroeconomic climate.

Future Projections: Future growth projections vary based on analyst estimates and economic conditions.

Recent Initiatives: Recent initiatives include investments in digital banking technology and expansion into new markets.

First Mid Illinois Bancshares Inc. is a regional bank with solid community ties. Strengths include diverse business lines and a strong capital position. The company needs to look out for competition from larger banks and potential economic downturns. Investing in technology and strategic acquisitions can drive future growth.

Data Sources:

• Company filings
• Industry reports
• Analyst estimates

Disclaimers:

The information provided is for informational purposes only and should not be considered financial advice. Market share data is approximate and may vary by region. Financial data is based on estimates.