Hills Bancorp (Hills Bancorp) Financial Strength : 2 (As of Dec. 2023)

View and export this data going back to . Start your Free Trial

What is Hills Bancorp Financial Strength?

Hills Bancorp has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Warning Sign:

Hills Bancorp displays poor financial strength. Usually, this is caused by too much debt for the company.

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors:

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.

GuruFocus does not calculate Hills Bancorp's interest coverage with the available data. Hills Bancorp's debt to revenue ratio for the quarter that ended in Dec. 2023 was 3.67. Altman Z-Score does not apply to banks and insurance companies.

Hills Bancorp Financial Strength Calculation

GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is based on these factors

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.

Note: If both Interest Expense and Interest Income are empty, while Net Interest Income is negative, then use Net Interest Income as Interest Expense.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:

Hills Bancorp's Interest Expense for the months ended in Dec. 2023 was $-18.7 Mil. Its Operating Income for the months ended in Dec. 2023 was $0.0 Mil. And its Long-Term Debt & Capital Lease Obligation for the quarter that ended in Dec. 2023 was $515.6 Mil.

Hills Bancorp's Interest Coverage for the quarter that ended in Dec. 2023 is

The higher the ratio, the stronger the company's financial strength is.

2. Debt to revenue ratio. The lower, the better.

Hills Bancorp's Debt to Revenue Ratio for the quarter that ended in Dec. 2023 is

Debt to Revenue Ratio	=	Total Debt (Q: Dec. 2023 )			/	Revenue
	=	(Short-Term Debt & Capital Lease Obligation	+	Long-Term Debt & Capital Lease Obligation)	/	Revenue
	=	(0	+	515.648)	/	140.328
	=	3.67

3. Altman Z-Score.

Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.

The zones of discrimination were as such:

When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.

Altman Z-Score does not apply to banks and insurance companies.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Hills Bancorp (OTCPK:HBIA) Financial Strength Explanation

The maximum rank is 10. Companies with rank 7 or higher will be unlikely to fall into distressed situations. Companies with rank of 3 or less are likely in financial distress.

Hills Bancorp has the Financial Strength Rank of 2. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.

Hills Bancorp Financial Strength Related Terms

Thank you for viewing the detailed overview of Hills Bancorp's Financial Strength provided by GuruFocus.com. Please click on the following links to see related term pages.

Hills Bancorp (Hills Bancorp) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » Hills Bancorp (OTCPK:HBIA) » Definitions » Financial Strength

Comparable Companies

Traded in Other Exchanges

N/A

Address

131 E. Main Street, PO Box 160, Hills, IA, USA, 52235

Website

https://www.hillsbank.com

Hills Bancorp is a holding company engaged in the business of commercial banking serving individuals, businesses, governmental units and institutional customers in the United States. It offers services including acceptance of demand, savings and time deposits, providing commercial, real estate, agricultural and consumer loans, maintaining night and safe deposit facilities, and performing collection, exchange, and other banking services. Also, it administers estates, personal trusts, and pension plans and provides farm management, investment advisory and custodial services for individuals, corporations, and nonprofit organizations. The company also provides mortgage loans and commercial and financial loans. Most of the company's revenue comes from interest income.

Executives

Anthony V Roetlin	officer: SVP Chief Financial Officer	131 E. MAIN ST. PO BOX 160, HILLS IA 52235
Joseph Andrew Schueller	officer: SVP, CFO, Treasurer	131 E. MAIN ST., HILLS IA 52235
Lisa A Shileny	officer: Sr VP, Dr of Administration	131 E MAIN ST, P.O. BOX 160, HILLS IA 52235
Shari J Demaris	officer: Treasurer	1560 MCKINLEY PL, IOWA CITY IA 52246
Steven R Ropp	officer: SR VP, Director Comm'l Banking	131 MAIN STREET, PO BOX 160, HILLS IA 52235
James C Schmitt	director	131 E MAIN STREET, PO BOX 160, HILLS IA 52235
Thomas R Wiele	director	1306 217TH ST., NICHOLS IA 52766
Michael S Donovan	director	131 MAIN STREET, HILLS IA 52235
John W Phelan	director	131 MAIN STREET, HILLS IA 52235
Casey L Peck	director	131 E MAIN STREET, PO BOX 160, HILLS IA 52235
Kirsten H Frey	director	131 E MAIN STREET, PO BOX 160, HILLS IA 52235
Bradford C Zuber	officer: SRVP, Director Trust Services	131 MAIN STREET, PO BOX 160, HILLS IA 52235
Michael Hodge	director	15 LINDOER VALLEY CIRCLE, IOWA CITY IA 52240
Theodore H Pacha	director	PO BOX 1405, IOWA CITY IA 52240
James A Nowak	director	131 MAIN STREET, HILLS IA 52235