• | Reported ROA of 1.02%, up 7 bps quarter over quarter; |
• | Reported efficiency ratio of 56.6%; down 365 bps quarter over quarter; |
• | Sustained only temporary disruption in our branch network associated with Hurricane Irma and reopened all but two offices within a matter of days; |
• | Shareholders voted to approve merger with First Horizon National Corporation; and |
• | Declared quarterly dividend of $0.12 per common share. |
Sep 30, 2017 | Jun 30, 2017 | Dec 31, 2016 | |||||||
Commercial real estate | 26 | % | 26 | % | 23 | % | |||
C&I | 36 | % | 36 | % | 38 | % | |||
Consumer | 35 | % | 35 | % | 36 | % | |||
Other | 3 | % | 3 | % | 3 | % | |||
Total | 100 | % | 100 | % | 100 | % |
Three Months Ended | |||||||||||||||||||
Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||||||||
Interest and dividend income | $ | 99,711 | $ | 97,286 | $ | 92,937 | $ | 87,746 | $ | 70,929 | |||||||||
Interest expense | 13,795 | 12,044 | 10,821 | 9,927 | 8,302 | ||||||||||||||
Net interest income | 85,916 | 85,242 | 82,116 | 77,819 | 62,627 | ||||||||||||||
Provision for loan and lease losses | 3,042 | 2,303 | 3,392 | 1,980 | 586 | ||||||||||||||
Net interest income after provision for loan and lease losses | 82,874 | 82,939 | 78,724 | 75,839 | 62,041 | ||||||||||||||
Non-interest income | |||||||||||||||||||
Service charges on deposit accounts | 5,311 | 5,237 | 5,375 | 5,949 | 4,777 | ||||||||||||||
Debit card income | 4,822 | 5,051 | 4,765 | 4,211 | 3,389 | ||||||||||||||
Fees on mortgage loans originated and sold | 931 | 1,150 | 1,248 | 1,402 | 1,334 | ||||||||||||||
Investment advisory and trust fees | 537 | 596 | 641 | 591 | 290 | ||||||||||||||
Investment securities gains, net | 98 | 70 | 67 | 1,894 | 71 | ||||||||||||||
Other income | 3,074 | 3,896 | 3,756 | 2,969 | 2,509 | ||||||||||||||
Total non-interest income | 14,773 | 16,000 | 15,852 | 17,016 | 12,370 | ||||||||||||||
Non-interest expense | |||||||||||||||||||
Salaries and employee benefits | 26,708 | 27,662 | 29,166 | 26,134 | 20,935 | ||||||||||||||
Stock-based compensation expense | 1,441 | 964 | 900 | 531 | 790 | ||||||||||||||
Net occupancy and equipment expense | 8,894 | 8,826 | 8,992 | 8,374 | 7,340 | ||||||||||||||
Computer services | 3,794 | 4,280 | 3,873 | 4,364 | 3,153 | ||||||||||||||
Software expense | 2,524 | 2,573 | 2,662 | 2,391 | 1,948 | ||||||||||||||
Telecommunication expense | 1,968 | 1,939 | 2,424 | 2,147 | 1,790 | ||||||||||||||
OREO valuation expense | 249 | 262 | 247 | 677 | 742 | ||||||||||||||
Net losses (gains) on sales of OREO | 1 | (204 | ) | (308 | ) | (150 | ) | (159 | ) | ||||||||||
Foreclosed asset related expense | 487 | 376 | 364 | 513 | 397 | ||||||||||||||
Loan workout expense | 281 | 281 | 201 | 327 | 206 | ||||||||||||||
Conversion and merger related expense, net | 591 | 981 | 3,037 | 18,525 | 394 | ||||||||||||||
Professional fees | 2,071 | 1,800 | 2,096 | 1,761 | 1,642 | ||||||||||||||
Restructuring charges, net | 595 | 2,978 | 1,912 | 4 | (113 | ) | |||||||||||||
Legal settlement expense | — | 45 | — | 1,361 | 1,500 | ||||||||||||||
Regulatory assessments | 1,020 | 1,145 | 719 | 1,092 | 841 | ||||||||||||||
Other expense | 6,360 | 7,077 | 6,418 | 5,943 | 6,124 | ||||||||||||||
Total non-interest expense | 56,984 | 60,985 | 62,703 | 73,994 | 47,530 | ||||||||||||||
Income before income taxes | 40,663 | 37,954 | 31,873 | 18,861 | 26,881 | ||||||||||||||
Income tax expense (1) | 14,905 | 14,148 | 10,990 | 6,509 | 8,370 | ||||||||||||||
Net income (1) | $ | 25,758 | $ | 23,806 | $ | 20,883 | $ | 12,352 | $ | 18,511 | |||||||||
Earnings per share: | |||||||||||||||||||
Basic (1) | $ | 0.50 | $ | 0.46 | $ | 0.40 | $ | 0.25 | $ | 0.43 | |||||||||
Diluted (1) | $ | 0.48 | $ | 0.45 | $ | 0.39 | $ | 0.24 | $ | 0.42 | |||||||||
Weighted average shares outstanding: | |||||||||||||||||||
Basic | 51,705 | 51,683 | 51,634 | 49,334 | 43,028 | ||||||||||||||
Diluted (1) | 53,226 | 53,226 | 53,127 | 50,722 | 44,118 |
(1) | We elected to early adopt ASU 2016-09 in the fourth quarter of 2016. The impacts of adoption have been reflected in our consolidated statements of income for the three months ended December 31, 2016 and September 30, 2016, and did not have a material effect. Accordingly, adjustments were made using the modified prospective approach and resulted in, among other items, a $0.1 million decrease to net income for the three months ended December 31, 2016, and a $0.0 million increase to net |
Sep 30, 2017 | Jun 30, 2017 | Dec 31, 2016 | |||||||||
Assets | |||||||||||
Cash and due from banks | $ | 97,147 | $ | 106,164 | $ | 107,707 | |||||
Interest-bearing deposits in other banks | 86,982 | 49,247 | 201,348 | ||||||||
Total cash and cash equivalents | 184,129 | 155,411 | 309,055 | ||||||||
Trading securities | 4,458 | 4,290 | 3,791 | ||||||||
Investment securities available-for-sale at fair value (amortized cost $1,161,024, $1,152,613, and $927,266, respectively) | 1,155,694 | 1,145,712 | 912,250 | ||||||||
Investment securities held-to-maturity at amortized cost (fair value $415,238, $431,269, and $460,911, respectively) | 412,051 | 430,411 | 463,959 | ||||||||
Loans held for sale | 3,060 | 3,533 | 12,874 | ||||||||
Loans, net of deferred loan costs and fees | 7,609,540 | 7,566,581 | 7,393,318 | ||||||||
Less: Allowance for loan and lease losses | 45,428 | 44,638 | 43,065 | ||||||||
Loans, net | 7,564,112 | 7,521,943 | 7,350,253 | ||||||||
Other real estate owned | 44,416 | 41,364 | 53,482 | ||||||||
Premises and equipment held for sale | 17,378 | 18,494 | 2,599 | ||||||||
Premises and equipment, net | 183,734 | 184,939 | 205,425 | ||||||||
Goodwill | 231,292 | 234,158 | 235,500 | ||||||||
Intangible assets, net | 27,938 | 29,750 | 33,370 | ||||||||
Deferred income tax asset, net | 113,073 | 134,452 | 150,272 | ||||||||
Bank owned life insurance | 100,611 | 100,672 | 99,702 | ||||||||
Other assets | 98,039 | 88,572 | 98,125 | ||||||||
Total Assets | $ | 10,139,985 | $ | 10,093,701 | $ | 9,930,657 | |||||
Liabilities and Shareholders’ Equity | |||||||||||
Liabilities | |||||||||||
Deposits: | |||||||||||
Non-interest bearing demand | $ | 1,631,526 | $ | 1,662,416 | $ | 1,590,164 | |||||
Interest bearing demand | 1,846,172 | 1,884,674 | 1,930,143 | ||||||||
Money market | 1,885,180 | 1,828,889 | 1,725,838 | ||||||||
Savings | 471,931 | 480,590 | 497,171 | ||||||||
Time deposits | 2,286,815 | 2,218,444 | 2,137,312 | ||||||||
Total deposits | 8,121,624 | 8,075,013 | 7,880,628 | ||||||||
Federal Home Loan Bank advances | 440,549 | 470,600 | 545,701 | ||||||||
Short-term borrowings | 34,802 | 32,637 | 19,157 | ||||||||
Long-term borrowings | 118,929 | 118,096 | 116,456 | ||||||||
Accrued expenses and other liabilities | 69,462 | 65,271 | 76,668 | ||||||||
Total liabilities | $ | 8,785,366 | $ | 8,761,617 | $ | 8,638,610 | |||||
Shareholders’ equity | |||||||||||
Preferred stock $0.01 par value: 50,000 shares authorized, 0 shares issued | — | — | — | ||||||||
Common stock-Class A $0.01 par value: 200,000 shares authorized, 50,632 issued and 39,365 outstanding, 46,624 issued 35,357 outstanding, and 46,178 issued and 34,911 outstanding, respectively. | 506 | 466 | 462 | ||||||||
Common stock-Class B $0.01 par value: 200,000 shares authorized, 14,435 issued and 12,661 outstanding, 18,407 issued and 16,634 outstanding, and 18,627 issued and 16,854 outstanding, respectively. | 144 | 184 | 186 | ||||||||
Additional paid in capital | 1,373,227 | 1,371,224 | 1,368,459 | ||||||||
Retained earnings | 299,432 | 279,914 | 247,758 | ||||||||
Accumulated other comprehensive loss | (6,306 | ) | (7,320 | ) | (12,434 | ) | |||||
Treasury stock, at cost, 13,040, 13,040, and 13,040 shares, respectively | (312,384 | ) | (312,384 | ) | (312,384 | ) | |||||
Total shareholders’ equity | 1,354,619 | 1,332,084 | 1,292,047 | ||||||||
Total Liabilities and Shareholders’ Equity | $ | 10,139,985 | $ | 10,093,701 | $ | 9,930,657 |
Three Months Ended | |||||||||||||||||||
Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||||||||
Performance Ratios | |||||||||||||||||||
Interest rate spread (1) | 3.53 | % | 3.59 | % | 3.58 | % | 3.53 | % | 3.43 | % | |||||||||
Net interest margin (1) | 3.71 | % | 3.75 | % | 3.73 | % | 3.67 | % | 3.58 | % | |||||||||
Return on average assets (2) | 1.02 | % | 0.95 | % | 0.84 | % | 0.53 | % | 0.98 | % | |||||||||
Return on average shareholders’ equity (2) | 7.66 | % | 7.20 | % | 6.43 | % | 4.03 | % | 7.25 | % | |||||||||
Efficiency ratio | 56.59 | % | 60.24 | % | 64.00 | % | 78.02 | % | 63.38 | % | |||||||||
Average interest-earning assets to average interest-bearing liabilities | 131.12 | % | 130.70 | % | 129.53 | % | 130.22 | % | 131.43 | % | |||||||||
Average loans receivable to average deposits | 93.46 | % | 93.97 | % | 93.41 | % | 94.57 | % | 98.46 | % | |||||||||
Yield on interest-earning assets (1) | 4.31 | % | 4.27 | % | 4.21 | % | 4.13 | % | 4.05 | % | |||||||||
Cost of interest-bearing liabilities | 0.78 | % | 0.69 | % | 0.63 | % | 0.61 | % | 0.62 | % | |||||||||
Asset and Credit Quality Ratios-Total Loans | |||||||||||||||||||
Non-accrual loans | $ | 18,126 | $ | 13,821 | $ | 13,608 | $ | 11,449 | $ | 11,873 | |||||||||
Nonperforming purchase credit impaired loans | $ | 45,674 | $ | 54,399 | $ | 57,969 | $ | 63,668 | $ | 48,477 | |||||||||
Nonperforming loans to loans receivable | 0.84 | % | 0.90 | % | 0.95 | % | 1.01 | % | 1.02 | % | |||||||||
Nonperforming assets to total assets | 1.07 | % | 1.09 | % | 1.22 | % | 1.30 | % | 1.37 | % | |||||||||
ALLL to nonperforming assets | 41.85 | % | 40.64 | % | 35.73 | % | 33.45 | % | 41.29 | % | |||||||||
ALLL to loans held for investment | 0.60 | % | 0.59 | % | 0.58 | % | 0.58 | % | 0.75 | % | |||||||||
Annualized net charge-offs/average loans | 0.12 | % | 0.08 | % | 0.14 | % | 0.17 | % | 0.10 | % |
(1) | Presented on a fully tax equivalent basis. |
(2) | We elected to early adopt ASU 2016-09 in the fourth quarter of 2016. The impacts of adoption have been reflected in our consolidated statements of income for the three months ended December 31, 2016 and September 30, 2016, and did not have a material effect. Accordingly, adjustments were made using the modified prospective approach and resulted in, among other items, a one basis point increase to return on average assets for the three months ended September 30, 2016. Additionally, there were changes to return on average shareholders’ equity consisting of a two basis point decrease for the three months ended December 31, 2016, and a one basis point increase for the three months ended September 30, 2016. See "Adoption of New Accounting Guidance" above for additional information. |
Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||||||||
Loans | |||||||||||||||||||
Non-owner occupied commercial real estate | $ | 1,293,647 | $ | 1,265,576 | $ | 1,187,344 | $ | 1,130,883 | $ | 920,521 | |||||||||
Other commercial construction and land | 402,250 | 384,581 | 350,401 | 327,622 | 222,794 | ||||||||||||||
Multifamily commercial real estate | 148,192 | 147,365 | 115,996 | 117,515 | 76,296 | ||||||||||||||
1-4 family residential construction and land | 143,807 | 153,761 | 157,920 | 140,030 | 111,954 | ||||||||||||||
Total commercial real estate | 1,987,896 | 1,951,283 | 1,811,661 | 1,716,050 | 1,331,565 | ||||||||||||||
Owner occupied commercial real estate | 1,226,211 | 1,287,811 | 1,313,086 | 1,321,405 | 1,072,586 | ||||||||||||||
Commercial and industrial | 1,502,939 | 1,424,862 | 1,443,828 | 1,468,874 | 1,458,523 | ||||||||||||||
Lease financing | — | — | — | — | 525 | ||||||||||||||
Total commercial | 2,729,150 | 2,712,673 | 2,756,914 | 2,790,279 | 2,531,634 | ||||||||||||||
1-4 family residential | 1,787,690 | 1,782,799 | 1,787,097 | 1,714,702 | 1,168,468 | ||||||||||||||
Home equity loans | 481,696 | 489,497 | 502,099 | 507,759 | 364,117 | ||||||||||||||
Indirect auto loans | 155,371 | 174,861 | 199,951 | 226,717 | 254,736 | ||||||||||||||
Other consumer loans | 229,357 | 220,946 | 222,824 | 222,255 | 94,277 | ||||||||||||||
Total consumer | 2,654,114 | 2,668,103 | 2,711,971 | 2,671,433 | 1,881,598 | ||||||||||||||
Other | 241,440 | 238,055 | 231,409 | 228,430 | 191,136 | ||||||||||||||
Total loans | $ | 7,612,600 | $ | 7,570,114 | $ | 7,511,955 | $ | 7,406,192 | $ | 5,935,933 | |||||||||
Deposits | |||||||||||||||||||
Non-interest bearing demand | $ | 1,631,526 | $ | 1,662,416 | $ | 1,680,243 | $ | 1,590,164 | $ | 1,207,800 | |||||||||
Interest bearing demand | 1,846,172 | 1,884,674 | 1,960,187 | 1,930,143 | 1,463,520 | ||||||||||||||
Money market | 1,735,107 | 1,678,842 | 1,746,444 | 1,651,023 | 1,166,918 | ||||||||||||||
Savings | 471,931 | 480,590 | 496,230 | 497,171 | 401,205 | ||||||||||||||
Total core deposits | 5,684,736 | 5,706,522 | 5,883,104 | 5,668,501 | 4,239,443 | ||||||||||||||
Wholesale money market | 150,073 | 150,047 | 75,030 | 74,815 | 125,030 | ||||||||||||||
Time deposits | 2,286,815 | 2,218,444 | 2,134,473 | 2,137,312 | 1,668,784 | ||||||||||||||
Total deposits | $ | 8,121,624 | $ | 8,075,013 | $ | 8,092,607 | $ | 7,880,628 | $ | 6,033,257 |
Three Months Ended September 30, 2017 | Three Months Ended June 30, 2017 | |||||||||||||||||||||
Average Balances | Interest | Yield / Rate | Average Balances | Interest | Yield / Rate | |||||||||||||||||
Interest earning assets | ||||||||||||||||||||||
Loans (1) | $ | 7,557,263 | $ | 90,064 | 4.73 | % | $ | 7,515,169 | $ | 86,405 | 4.61 | % | ||||||||||
Investment securities (1) | 1,589,185 | 9,704 | 2.42 | % | 1,596,382 | 11,005 | 2.77 | % | ||||||||||||||
Interest bearing deposits in other banks | 68,435 | 198 | 1.15 | % | 42,140 | 93 | 0.89 | % | ||||||||||||||
Other earning assets (2) | 28,249 | 367 | 5.15 | % | 32,074 | 388 | 4.85 | % | ||||||||||||||
Total interest earning assets (1) | 9,243,132 | $ | 100,333 | 4.31 | % | 9,185,765 | $ | 97,891 | 4.27 | % | ||||||||||||
Non-interest earning assets | 857,224 | 884,900 | ||||||||||||||||||||
Total assets | $ | 10,100,356 | $ | 10,070,665 | ||||||||||||||||||
Interest bearing liabilities | ||||||||||||||||||||||
Time deposits | $ | 2,274,258 | $ | 5,896 | 1.03 | % | $ | 2,152,086 | $ | 4,789 | 0.89 | % | ||||||||||
Money market | 1,858,223 | 2,451 | 0.52 | % | 1,787,200 | 1,963 | 0.44 | % | ||||||||||||||
Interest bearing demand | 1,839,844 | 1,296 | 0.28 | % | 1,914,622 | 1,255 | 0.26 | % | ||||||||||||||
Savings | 477,530 | 219 | 0.18 | % | 488,123 | 220 | 0.18 | % | ||||||||||||||
Total interest bearing deposits | 6,449,855 | 9,862 | 0.61 | % | 6,342,031 | 8,227 | 0.52 | % | ||||||||||||||
Short-term borrowings and FHLB advances | 480,830 | 1,457 | 1.20 | % | 568,575 | 1,433 | 1.01 | % | ||||||||||||||
Long-term borrowings | 118,423 | 2,476 | 8.30 | % | 117,576 | 2,384 | 8.13 | % | ||||||||||||||
Total interest bearing liabilities | 7,049,108 | 13,795 | 0.78 | % | 7,028,182 | 12,044 | 0.69 | % | ||||||||||||||
Non-interest bearing demand | 1,636,625 | 1,655,233 | ||||||||||||||||||||
Other liabilities | 70,245 | 64,318 | ||||||||||||||||||||
Shareholders’ equity | 1,344,378 | 1,322,932 | ||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 10,100,356 | $ | 10,070,665 | ||||||||||||||||||
Net interest income and spread (1) | $ | 86,538 | 3.53 | % | $ | 85,847 | 3.59 | % | ||||||||||||||
Net interest margin (1) | 3.71 | % | 3.75 | % | ||||||||||||||||||
Net interest income (FTE) (1) | $ | 86,538 | $ | 85,847 | ||||||||||||||||||
Tax equivalent adjustment | (622 | ) | (605 | ) | ||||||||||||||||||
Net interest income | $ | 85,916 | $ | 85,242 |
(1) | Presented on a fully tax equivalent basis. |
(2) | Includes Federal Home Loan Bank stocks. |
Three Months Ended September 30, 2017 | Three Months Ended September 30, 2016 | |||||||||||||||||||||
Average Balances | Interest | Yield / Rate | Average Balances | Interest | Yield / Rate | |||||||||||||||||
Interest earning assets | ||||||||||||||||||||||
Loans (1) | $ | 7,557,263 | $ | 90,064 | 4.73 | % | $ | 5,786,171 | $ | 64,055 | 4.40 | % | ||||||||||
Investment securities (1) | 1,589,185 | 9,704 | 2.42 | % | 1,133,031 | 6,924 | 2.43 | % | ||||||||||||||
Interest bearing deposits in other banks | 68,435 | 198 | 1.15 | % | 60,373 | 69 | 0.45 | % | ||||||||||||||
Other earning assets (2) | 28,249 | 367 | 5.15 | % | 29,788 | 337 | 4.50 | % | ||||||||||||||
Total interest earning assets (1) | 9,243,132 | $ | 100,333 | 4.31 | % | 7,009,363 | $ | 71,385 | 4.05 | % | ||||||||||||
Non-interest earning assets | 857,224 | 583,413 | ||||||||||||||||||||
Total assets | $ | 10,100,356 | $ | 7,592,776 | ||||||||||||||||||
Interest bearing liabilities | ||||||||||||||||||||||
Time deposits | $ | 2,274,258 | $ | 5,896 | 1.03 | % | $ | 1,613,502 | $ | 3,992 | 0.98 | % | ||||||||||
Money market | 1,858,223 | 2,451 | 0.52 | % | 1,225,743 | 1,132 | 0.37 | % | ||||||||||||||
Interest bearing demand | 1,839,844 | 1,296 | 0.28 | % | 1,444,305 | 752 | 0.21 | % | ||||||||||||||
Savings | 477,530 | 219 | 0.18 | % | 404,187 | 205 | 0.20 | % | ||||||||||||||
Total interest bearing deposits | 6,449,855 | 9,862 | 0.61 | % | 4,687,737 | 6,081 | 0.52 | % | ||||||||||||||
Short-term borrowings and FHLB advances | 480,830 | 1,457 | 1.20 | % | 558,313 | 635 | 0.45 | % | ||||||||||||||
Long-term borrowings | 118,423 | 2,476 | 8.30 | % | 87,095 | 1,586 | 7.24 | % | ||||||||||||||
Total interest bearing liabilities | 7,049,108 | 13,795 | 0.78 | % | 5,333,145 | 8,302 | 0.62 | % | ||||||||||||||
Non-interest bearing demand | 1,636,625 | 1,188,771 | ||||||||||||||||||||
Other liabilities | 70,245 | 48,997 | ||||||||||||||||||||
Shareholders’ equity | 1,344,378 | 1,021,863 | ||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 10,100,356 | $ | 7,592,776 | ||||||||||||||||||
Net interest income and spread (1) | $ | 86,538 | 3.53 | % | $ | 63,083 | 3.43 | % | ||||||||||||||
Net interest margin (1) | 3.71 | % | 3.58 | % | ||||||||||||||||||
Net interest income (FTE) (1) | $ | 86,538 | $ | 63,083 | ||||||||||||||||||
Tax equivalent adjustment | (622 | ) | (456 | ) | ||||||||||||||||||
Net interest income | $ | 85,916 | $ | 62,627 |
(1) | Presented on a fully tax equivalent basis. |
(2) | Includes Federal Home Loan Bank stocks. |
Nine Months Ended September 30, 2017 | Nine Months Ended September 30, 2016 | |||||||||||||||||||||
Average Balances | Interest | Yield / Rate | Average Balances | Interest | Yield / Rate | |||||||||||||||||
Interest earning assets | ||||||||||||||||||||||
Loans (1) | $ | 7,494,448 | $ | 260,222 | 4.64 | % | $ | 5,684,143 | $ | 190,063 | 4.47 | % | ||||||||||
Investment securities (1) | 1,562,781 | 30,022 | 2.57 | % | 1,129,129 | 20,020 | 2.37 | % | ||||||||||||||
Interest bearing deposits in other banks | 56,319 | 388 | 0.92 | % | 66,100 | 227 | 0.46 | % | ||||||||||||||
Other earning assets (2) | 29,789 | 1,113 | 4.99 | % | 27,216 | 981 | 4.81 | % | ||||||||||||||
Total interest earning assets (1) | 9,143,337 | $ | 291,745 | 4.27 | % | 6,906,588 | $ | 211,291 | 4.09 | % | ||||||||||||
Non-interest earning assets | 883,562 | 602,904 | ||||||||||||||||||||
Total assets | $ | 10,026,899 | $ | 7,509,492 | ||||||||||||||||||
Interest bearing liabilities | ||||||||||||||||||||||
Time deposits | $ | 2,189,869 | $ | 15,224 | 0.93 | % | $ | 1,640,959 | $ | 12,130 | 0.99 | % | ||||||||||
Money market | 1,807,885 | 6,171 | 0.46 | % | 1,219,227 | 3,227 | 0.35 | % | ||||||||||||||
Interest bearing demand | 1,892,081 | 3,689 | 0.26 | % | 1,422,389 | 2,149 | 0.20 | % | ||||||||||||||
Savings | 486,668 | 659 | 0.18 | % | 411,729 | 640 | 0.21 | % | ||||||||||||||
Total interest bearing deposits | 6,376,503 | 25,743 | 0.54 | % | 4,694,304 | 18,146 | 0.52 | % | ||||||||||||||
Short-term borrowings and FHLB advances | 514,303 | 3,777 | 0.98 | % | 501,892 | 1,680 | 0.45 | % | ||||||||||||||
Long-term borrowings | 117,587 | 7,140 | 8.12 | % | 86,860 | 4,644 | 7.14 | % | ||||||||||||||
Total interest bearing liabilities | 7,008,393 | 36,660 | 0.70 | % | 5,283,056 | 24,470 | 0.62 | % | ||||||||||||||
Non-interest bearing demand | 1,629,334 | 1,171,599 | ||||||||||||||||||||
Other liabilities | 66,787 | 44,593 | ||||||||||||||||||||
Shareholders’ equity | 1,322,385 | 1,010,244 | ||||||||||||||||||||
Total liabilities and shareholders’ equity | $ | 10,026,899 | $ | 7,509,492 | ||||||||||||||||||
Net interest income and spread (1) | $ | 255,085 | 3.57 | % | $ | 186,821 | 3.47 | % | ||||||||||||||
Net interest margin (1) | 3.73 | % | 3.61 | % | ||||||||||||||||||
Net interest income (FTE) (1) | $ | 255,085 | $ | 186,821 | ||||||||||||||||||
Tax equivalent adjustment | (1,811 | ) | (1,312 | ) | ||||||||||||||||||
Net interest income | $ | 253,274 | $ | 185,509 |
(1) | Presented on a fully tax equivalent basis. |
(2) | Includes Federal Home Loan Bank stocks. |
CORE NET INCOME | Three Months Ended | |||||||||||||||||||||||
Sep 30, 2017 | Jun 30, 2017 | Dec 31, 2016 | ||||||||||||||||||||||
Net Income (1) | $ | 25,758 | $ | 25,758 | $ | 23,806 | $ | 23,806 | $ | 12,352 | $ | 12,352 | ||||||||||||
Pre-Tax | After-Tax | Pre-Tax | After-Tax | Pre-Tax | After-Tax | |||||||||||||||||||
Adjustments | ||||||||||||||||||||||||
Non-interest income | ||||||||||||||||||||||||
Less: Securities gains, net (2) | (98 | ) | (61 | ) | (70 | ) | (43 | ) | (1,894 | ) | (1,170 | ) | ||||||||||||
Non-interest expense | ||||||||||||||||||||||||
Conversion and merger related expense tax deductible, net (2) | 589 | 364 | (237 | ) | (146 | ) | 18,245 | 11,270 | ||||||||||||||||
Conversion and merger related expense non-tax deductible | 2 | 2 | 1,218 | 1,218 | 280 | 280 | ||||||||||||||||||
Restructuring expense (2) | 595 | 367 | 2,978 | 1,840 | 4 | 3 | ||||||||||||||||||
Legal Settlement (2) | — | — | 45 | 28 | 1,361 | 841 | ||||||||||||||||||
Tax Adjustment | — | — | — | — | (1,350 | ) | (1,350 | ) | ||||||||||||||||
Severance expense (2) | 33 | 21 | — | — | 7 | 4 | ||||||||||||||||||
Tax effect of adjustments (2) | (428 | ) | N/A | (1,037 | ) | N/A | (6,775 | ) | N/A | |||||||||||||||
Core Net Income (1) | $ | 26,451 | $ | 26,451 | $ | 26,703 | $ | 26,703 | $ | 22,230 | $ | 22,230 | ||||||||||||
Diluted shares (1) | 53,226 | 53,226 | 50,722 | |||||||||||||||||||||
Core Net Income per share (1) | $ | 0.50 | $ | 0.50 | $ | 0.44 | ||||||||||||||||||
Average Assets | 10,100,356 | 10,070,665 | 9,329,334 | |||||||||||||||||||||
ROA (1) (3) | 1.02 | % | 0.95 | % | 0.53 | % | ||||||||||||||||||
Core ROA (1) (4) | 1.05 | % | 1.06 | % | 0.95 | % |
(1) | We elected to early adopt ASU 2016-09 in the fourth quarter of 2016. The impacts of adoption have been reflected in our consolidated statements of income for the three months ended December 31, 2016, and did not have a material effect. Accordingly, adjustments were made using the modified prospective approach and resulted in, among other items, a $0.1 million decrease to net income and core net income as well as a one basis point decrease to core ROA for the three months ended December 31, 2016. See "Adoption of New Accounting Guidance" above for additional information. |
(2) | Tax effected at a blended income tax rate of 38%. |
(3) | ROA: Annualized net income / Average assets. |
(4) | Core ROA: Annualized core net income / Average assets. |
CORE EFFICIENCY RATIO | Three Months Ended | ||||||||||||||||||
Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | |||||||||||||||
Net interest income | $ | 85,916 | $ | 85,242 | $ | 82,116 | $ | 77,819 | $ | 62,627 | |||||||||
Reported non-interest income | 14,773 | 16,000 | 15,852 | 17,016 | 12,370 | ||||||||||||||
Less: Securities gains, net | 98 | 70 | 67 | 1,894 | 71 | ||||||||||||||
Core non-interest income | $ | 14,675 | $ | 15,930 | $ | 15,785 | $ | 15,122 | $ | 12,299 | |||||||||
Reported non-interest expense | $ | 56,984 | $ | 60,985 | $ | 62,703 | $ | 73,994 | $ | 47,530 | |||||||||
Less: Conversion and merger related expense tax deductible, net | 589 | (237 | ) | 3,037 | 18,245 | 331 | |||||||||||||
Conversion and merger related expense non-tax deductible | 2 | 1,218 | — | 280 | 61 | ||||||||||||||
Restructuring expense, net | 595 | 2,978 | 1,912 | 4 | (113 | ) | |||||||||||||
Legal settlement | — | 45 | — | 1,361 | 1,500 | ||||||||||||||
Severance expense | 33 | — | — | 7 | — | ||||||||||||||
Core non-interest expense | $ | 55,765 | $ | 56,981 | $ | 57,754 | $ | 54,097 | $ | 45,751 | |||||||||
Efficiency ratio (1) | 56.59 | % | 60.24 | % | 64.00 | % | 78.02 | % | 63.38 | % | |||||||||
Core efficiency ratio (2) | 55.44 | % | 56.32 | % | 58.99 | % | 58.21 | % | 61.06 | % |
(1) | Efficiency Ratio: Non-interest expense / (Non-interest income + Net interest income). |
(2) | Core Efficiency Ratio: Core non-interest expense / (Core non-interest income + Net interest income). |
TANGIBLE BOOK VALUE | Three Months Ended | |||||||||||||||||||
Sep 30, 2017 | Jun 30, 2017 | Mar 31, 2017 | Dec 31, 2016 | Sep 30, 2016 | ||||||||||||||||
Total shareholders’ equity | $ | 1,354,619 | $ | 1,332,084 | $ | 1,307,931 | $ | 1,292,047 | $ | 1,029,841 | ||||||||||
Less: goodwill | (231,292 | ) | (234,158 | ) | (234,158 | ) | (235,500 | ) | (134,522 | ) | ||||||||||
Less: intangibles | (27,938 | ) | (29,750 | ) | (31,553 | ) | (33,370 | ) | (12,288 | ) | ||||||||||
Tax effect on intangible assets (1) | 10,480 | 11,159 | 12,003 | 12,694 | 4,669 | |||||||||||||||
Tangible book value (2) | $ | 1,105,869 | $ | 1,079,335 | $ | 1,054,223 | $ | 1,035,871 | $ | 887,700 | ||||||||||
Common shares outstanding | 52,027 | 51,991 | 51,966 | 51,765 | 43,235 | |||||||||||||||
Book Value per share | $ | 26.04 | $ | 25.62 | $ | 25.17 | $ | 24.96 | $ | 23.82 | ||||||||||
Tangible book value per share | $ | 21.26 | $ | 20.76 | $ | 20.29 | $ | 20.01 | $ | 20.53 |
(1) | Tax effected at a blended income tax rate of 38%. |
(2) | Tangible book value is equal to shareholders’ equity less goodwill and intangibles net of taxes. |