QCR Holdings, Inc. (QCRH): History, Ownership, Mission, How It Works & Makes Money

When you look at regional banks, how does QCR Holdings, Inc. (QCRH) manage to consistently deliver record performance in a tightening financial market?

This multi-bank holding company is far from a quiet community player, reporting a record quarterly net income of $36.7 million for the third quarter of 2025, driven by a massive 141% linked-quarter surge in capital markets revenue, all while maintaining over $9.6 billion in total assets.

Its mission is to make financial dreams a reality, but the real story is in how its relationship-driven model-spanning commercial banking, wealth management, and leasing-translates into a diluted earnings per share (EPS) of $2.16, a figure that demands a closer look at its history, ownership, and revenue engine.

We'll break down the business model, so you can see defintely where this growth is coming from and what it means for your investment thesis.

QCR Holdings, Inc. (QCRH) History

Given Company's Founding Timeline

QCR Holdings, Inc. (QCRH) wasn't born from a massive Wall Street IPO; it started with a clear, local focus. The founders saw a need for a community-centric banking model that empowered local decision-makers, a stark contrast to the large, centralized regional banks of the time.

Year established

The company was established in 1993.

Original location

QCR Holdings, Inc. was originally headquartered in Moline, Illinois, in the heart of the Quad Cities metropolitan area.

Founding team members

The core founding team that launched the company included:

• Douglas M. Hultquist
• John F. Lartz
• Gregory K. Derrick

Initial capital/funding

The initial capital raised to form QCR Holdings was approximately $14 million. That capital was the seed for what is now a multi-billion dollar enterprise.

Given Company's Evolution Milestones

The company's growth story is a masterclass in strategic, relationship-driven expansion, primarily through acquiring and integrating community banks that fit its decentralized model. They buy local, but they centralize the back office for efficiency. Here's the quick math on how they built their footprint:

Given Company's Transformative Moments

The company's trajectory has been shaped by a few critical, repeating decisions. The most important one is their commitment to the 'relationship-driven' multi-bank holding company structure, which gives local banks autonomy while centralizing back-office functions for efficiency. This is defintely a key differentiator.

A major shift in recent years has been the acceleration of their digital transformation. Management has flagged this as a crucial, ongoing project, and while it presents a risk relative to faster-moving fintech peers, its success is vital for future growth and operational efficiency. This is where the rubber meets the road on scalability.

Looking at the 2025 fiscal year, the financial results underscore the success of their model in a challenging rate environment. As of September 30, 2025, the company reported total assets of approximately $9.6 billion, with loans totaling $7.2 billion and deposits at $7.4 billion. The trailing twelve-month revenue as of the same date was approximately $344.536 million. This shows the scale they've achieved by sticking to their core strategy.

Key transformative actions that define the company's current position:

• Strategic Geographic Expansion: Moving beyond the Quad Cities into key regional markets like Cedar Rapids, Des Moines, and Springfield, Missouri, through targeted acquisitions.
• Capital Markets Focus: The third quarter of 2025 saw a massive 141% linked-quarter increase in capital markets revenue, hitting $23.8 million, which signals a successful pivot to more diversified revenue streams.
• Commitment to Shareholder Returns: In October 2025, the Board approved a new share repurchase program for up to 1.7 million shares, a strong signal of confidence in their valuation and future cash flow.

QCR Holdings, Inc. (QCRH) Ownership Structure

The ownership structure of QCR Holdings, Inc. is heavily weighted toward institutional investors, which is typical for a publicly traded bank holding company of its size. This means major financial firms control the majority of the shares and thus, the company's strategic direction.

Given Company's Current Status

QCR Holdings, Inc. (QCRH) is a publicly traded multi-bank holding company, listed on the NASDAQ stock exchange. As of November 2025, the company commands a market capitalization of approximately $1.32 billion, reflecting its standing as a regional financial player. The company's total assets stood at $9.6 billion as of September 30, 2025, with a loan portfolio of $7.2 billion and deposits totaling $7.4 billion. The company operates a relationship-driven model across Iowa, Missouri, and Illinois through its wholly owned subsidiary banks.

Given Company's Ownership Breakdown

Institutional investors-like BlackRock, Inc. and Vanguard Group Inc.-are the dominant force in QCR Holdings, Inc.'s shareholder base, holding over three-quarters of the outstanding stock. This level of institutional control implies that decisions about major corporate actions, like mergers or capital allocation, are defintely influenced by a small group of large money managers. Insider ownership is small, but it aligns management's interests with shareholder returns.

BlackRock, Inc. remains one of the largest single institutional holders, owning approximately 1.38 million shares as of June 2025. You can see the impact of this ownership on performance by Breaking Down QCR Holdings, Inc. (QCRH) Financial Health: Key Insights for Investors.

Given Company's Leadership

The leadership team steering QCR Holdings, Inc. underwent a key transition in May 2025, promoting long-time executives to the top roles. This move ensures continuity while bringing fresh perspectives to the executive suite.

• Todd A. Gipple: President and Chief Executive Officer (CEO). He assumed this role in May 2025, succeeding Larry J. Helling, who retired. Gipple was previously the President and Chief Financial Officer.
• Nick W. Anderson: Chief Financial Officer (CFO). He was appointed CFO in May 2025, stepping up from his prior role as Senior Vice President and Chief Accounting Officer.
• Brittany N. Whitfield: Chief Accounting Officer. She was appointed to this role in May 2025, completing the executive finance transition.

This team is focused on leveraging the company's regional bank structure, which delivered a Q3 2025 earnings per share (EPS) of $2.17. The board's decision to promote from within-Gipple joined in 2000 and Anderson has 20 years with the company-shows a clear priority on maintaining the company's established culture and relationship-driven strategy.

QCR Holdings, Inc. (QCRH) Mission and Values

QCR Holdings, Inc.'s core purpose extends beyond its strong financial performance-like the record $36.7 million net income reported in the third quarter of 2025-to focus on empowering clients and communities. This relationship-driven approach is codified in a mission to turn financial goals into reality, backed by a clear set of six core values.

QCR Holdings, Inc.'s Core Purpose

The company's cultural DNA is rooted in a commitment to local service, which is a key differentiator in the multi-bank holding company (MBHC) structure. They aim to deliver top-tier results for all stakeholders, not just shareholders. Here's the quick math: with $9.6 billion in assets and $7.2 billion in loans as of September 30, 2025, the mission must scale across multiple markets.

Official mission statement

The mission statement is direct and client-centric, focusing on the ultimate outcome of their financial services. It's simple: they don't just process transactions; they aim to facilitate life-changing financial milestones.

• We make financial dreams a reality.

This is defintely a high-bar goal for a regional bank. You want your bank to be a partner, not just a vault.

Vision statement

The vision statement maps the mission to a concrete action plan, emphasizing the quality of their team and the breadth of their impact across three critical groups: clients, shareholders, and communities. This is where the rubber meets the road on their relationship-driven model.

• Exceptional people providing extraordinary performance for our clients, shareholders, and communities.

The company aligns its operations, which generated $345 million in trailing 12-month revenue through September 30, 2025, to this triple-focus vision. You can see this dedication in their core values: Mission Statement, Vision, & Core Values of QCR Holdings, Inc. (QCRH).

QCR Holdings, Inc. Core Values

The six core values serve as the operating principles for the company's 1,039 employees across its 36 locations in Iowa, Missouri, and Illinois. These values are the non-negotiables for how the team executes on its mission and vision, especially as they manage $7.4 billion in deposits.

• Passion: Drive with energy and commitment.
• Achievement: Focus on results and excellence.
• Accountability: Own your decisions and outcomes.
• Collaboration: Work together across the multi-bank structure.
• Innovation: Seek better ways to serve clients.
• Inclusion: Value diverse perspectives and people.

QCR Holdings, Inc. slogan/tagline

While not a traditional advertising slogan, the company uses a clear positioning statement to articulate its unique structure to investors and clients. This highlights the balance between local presence and centralized strength, which is a key competitive advantage in the regional banking space.

• 4 Banks, 6 Communities, 37 Branches, 1,039 Employees...ONE Company.

QCR Holdings, Inc. (QCRH) How It Works

QCR Holdings, Inc. (QCRH) operates as a relationship-driven, multi-bank holding company that delivers tailored financial services-banking, wealth management, and capital markets-to commercial clients and high-net-worth individuals in the Midwest. The company makes money primarily by generating interest income from its loan portfolio, which stood at $7.2 billion as of September 30, 2025, and through non-interest income from fee-based services like wealth management and capital markets activities.

Given Company's Product/Service Portfolio

QCR Holdings' value proposition rests on three core segments: Commercial Banking, Wealth Management, and Capital Markets, all delivered through its subsidiary banks like Quad City Bank & Trust Company and Guaranty Bank. The Commercial Banking segment is the largest revenue generator, fueled by interest income.

Given Company's Operational Framework

The company employs a unique operating model that balances local autonomy with centralized efficiency, which is defintely a smart way to scale a regional bank. It's a 'house of brands' approach, where four subsidiary banks-Quad City Bank & Trust Company, Cedar Rapids Bank & Trust Company, Community State Bank, and Guaranty Bank-maintain their local identity and client relationships across 36 locations in Iowa, Missouri, and Illinois.

Here's the quick math on how the model works:

• Local Relationship Focus: Bank presidents and commercial lenders are empowered to make localized decisions, fostering deep, long-term client relationships.
• Centralized Operations: Key functions like technology, compliance, treasury, and risk management are handled centrally at the holding company level, which cuts down on redundant costs.
• Digital Transformation: An ongoing digital transformation initiative, including a core operating system conversion, is expected to drive future productivity and cost improvements, even with associated near-term expense growth.
• Funding Strategy: The primary source of funds is a strong base of core deposits, which showed a 20% annualized growth in Q1 2025, providing a stable, lower-cost funding base for the loan portfolio.

You can see more on the ownership structure and key investors here: Exploring QCR Holdings, Inc. (QCRH) Investor Profile: Who's Buying and Why?

Given Company's Strategic Advantages

QCR Holdings' success stems from its ability to excel in specialized, high-growth areas while maintaining a strong regional banking foundation. This dual focus provides both stability and high-margin opportunities.

• Specialized Capital Markets Expertise: The deep involvement in the LIHTC market provides a significant source of non-interest income and is a key driver of capital markets revenue, which saw a 141% increase on a linked-quarter basis in Q3 2025.
• Strong Organic Loan Growth: The company consistently achieves robust loan growth, driven by its relationship-based model and a focus on small-to-mid-sized businesses, with a guidance for gross annualized loan growth of 10% to 15% for the next quarter.
• Net Interest Margin (NIM) Expansion: Effective balance sheet management has led to consistent NIM expansion, reaching a Tax Equivalent Yield (TEY) of 3.51% in Q3 2025.
• Decentralized-Centralized Model: The multi-bank structure allows the company to feel like a community bank to its customers but benefit from the scale and sophistication of a larger, centralized organization.

QCR Holdings, Inc. (QCRH) How It Makes Money

QCR Holdings, Inc. makes money primarily through two channels: the traditional banking model of earning interest on loans and investments, and a significant, high-growth stream from specialized fee-based services, especially capital markets activities like Low-Income Housing Tax Credit (LIHTC) syndication.

You're looking for a clear picture of where the cash comes from, and for a bank holding company, it's a mix of old-school lending and modern fee generation. The core of the business is the spread-the difference between the interest it earns on its assets, like loans, and the interest it pays on its liabilities, like deposits.

Given Company's Revenue Breakdown

As of the third quarter of 2025, the revenue mix shows a strong reliance on net interest income, but noninterest income is growing fast and provides crucial diversification. Here's the quick math for Q3 2025, which totaled $101.45 million in revenue:

Business Economics

The economic engine of QCR Holdings is a two-stroke system. The first stroke is the traditional bank spread, and the second is the high-margin, cyclical fee business.

• Net Interest Income (NII) Foundation: The $64.8 million in NII for Q3 2025 is driven by strong loan growth, which was up 15% annualized in the quarter. The Net Interest Margin (NIM) on a tax-equivalent yield (TEY) basis was 3.51% for Q3 2025, an expansion of five basis points from the prior quarter. This expansion is defintely a key indicator of pricing power and effective asset-liability management in a fluctuating interest rate environment.
• Capital Markets Revenue Spike: Noninterest income, totaling $36.7 million in Q3 2025, saw a massive surge, largely due to Capital Markets revenue hitting $23.8 million. This revenue comes mainly from syndicating Low-Income Housing Tax Credits (LIHTC), a specialized, cyclical activity that can be lumpy but provides high-impact fee income. The 141% linked-quarter growth in this segment shows the volatility but also the significant profit potential when the market is hot.
• Wealth Management Stability: The Wealth Management business provides a more stable, recurring fee base, generating $5.0 million in revenue in Q3 2025. This revenue stream is less sensitive to interest rate changes and provides a consistent counter-balance to the cyclical nature of the capital markets business. You can learn more about their long-term focus in their Mission Statement, Vision, & Core Values of QCR Holdings, Inc. (QCRH).

What this estimate hides is the variable compensation cost tied to that Capital Markets success; noninterest expense rose by $7.0 million linked-quarter, mostly from higher variable compensation. High fees mean high payouts, so you have to watch the efficiency ratio.

Given Company's Financial Performance

QCR Holdings delivered a record-setting third quarter in 2025, showing that their strategy of combining traditional banking with specialized fee income is working. The numbers speak for themselves.

• Net Income and EPS: Record quarterly net income reached $36.7 million for Q3 2025, translating to diluted earnings per share (EPS) of $2.16. This is a substantial 26% growth in EPS compared to the second quarter of 2025.
• Return on Assets (ROAA): The annualized Return on Average Assets (ROAA) stood at 1.57%. This is a strong profitability metric, showing effective use of the company's assets to generate profit.
• Efficiency Ratio: The Non-GAAP Efficiency Ratio was 55.8% in Q3 2025. This metric shows that for every dollar of revenue, the company spent about $0.56 to generate it, which is a competitive level for a bank of this size, though management is targeting further improvements through digital transformation.
• Asset Quality: Credit quality remains strong, with net charge-offs as a percentage of average loans/leases at just 0.1% in Q3 2025. Keeping losses low is always the first job of a bank.
• Capital Strength: The Tangible Common Equity to Tangible Assets ratio (TCE) improved to 9.97% as of September 30, 2025. This is a key measure of a bank's ability to absorb losses, and the increase demonstrates capital accretion from strong earnings, even with high loan growth and share repurchases.

QCR Holdings, Inc. (QCRH) Market Position & Future Outlook

QCR Holdings, Inc. is a high-performing regional bank holding company, demonstrating strong momentum with record third-quarter 2025 net income of $36.7 million and a clear strategy to drive future growth through digital efficiency and specialized lending. The company is positioned as a market leader in its core Midwest communities, but it must defintely navigate the execution risk of its ongoing digital transformation and broader sector concerns over credit quality.

Competitive Landscape

QCR Holdings, Inc. operates as a local market leader in its primary geographic areas, which is a key differentiator from large national banks. While its overall national market share is small due to its regional focus, its subsidiary banks command significant deposit market share (a key measure of local banking strength) in their respective communities as of June 30, 2025. This highly local focus is their core competitive advantage.

Opportunities & Challenges

You should think of QCR Holdings, Inc.'s outlook as a balance between strong internal growth drivers and external sector-wide risks. The management team is clearly focused on high-margin business lines, but still has to manage the macro environment. Here's the quick math: their anticipated loan growth of 10% to 15% is aggressive for a regional bank, so execution is everything.

Industry Position

QCR Holdings, Inc. is a high-performing regional bank, punching above its weight class in terms of profitability metrics compared to many peers. As of September 30, 2025, the company reported total assets of $9.6 billion. This size places them firmly in the upper tier of mid-sized regional banks, but still well below the money-center giants.

Their financial strength is evident in the Q3 2025 results:

• Record net income of $36.7 million.
• Annualized tangible book value per share (TBVPS) growth of 19%.
• Return on Average Assets (ROAA) of 1.57% annualized. This is a strong profitability metric for the sector.

The market recognizes this performance; analysts maintain a consensus 'Buy' rating, with a significant majority-75% of analysts-recommending a purchase [cite: 14 from step 1]. The stock trades at a slight premium to the peer P/E average, which suggests the market is already pricing in some of that future growth from their strategic initiatives, like the digital core conversion. To be fair, maintaining this premium requires flawless execution on the growth and efficiency targets. You can read more about their core philosophy in the Mission Statement, Vision, & Core Values of QCR Holdings, Inc. (QCRH).