Income Statement Highlights | ||||||||||
Three Months Ended | ||||||||||
June 30, 2022 |
March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | ||||||
(Dollars in millions, except per share data) | ||||||||||
Net interest income | $ | 193 | $ | 165 | $ | 181 | $ | 195 | $ | 183 |
Benefit for credit losses | (9) | (4) | (17) | (23) | (44) | |||||
Noninterest income | 131 | 160 | 202 | 266 | 252 | |||||
Noninterest expense | 256 | 261 | 291 | 286 | 289 | |||||
Income before income taxes | 77 | 68 | 109 | 198 | 190 | |||||
Provision for income taxes | 17 | 15 | 24 | 46 | 43 | |||||
Net income | $ | 60 | $ | 53 | $ | 85 | $ | 152 | $ | 147 |
Income per share: | ||||||||||
Basic | $ | 1.13 | $ | 0.99 | $ | 1.62 | $ | 2.87 | $ | 2.78 |
Diluted | $ | 1.12 | $ | 0.99 | $ | 1.60 | $ | 2.83 | $ | 2.74 |
Adjusted Income Statement Highlights (Non-GAAP)(1)
| ||||||||||
Three Months Ended | ||||||||||
June 30, 2022 |
March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | ||||||
(Dollars in millions, except per share data) | ||||||||||
Net interest income | $ | 193 | $ | 165 | $ | 181 | $ | 195 | $ | 183 |
Benefit for credit losses | (9) | (4) | (17) | (23) | (44) | |||||
Noninterest income | 131 | 160 | 202 | 266 | 252 | |||||
Noninterest expense | 253 | 258 | 285 | 281 | 290 | |||||
Income before income taxes | 80 | 71 | 115 | 203 | 189 | |||||
Provision for income taxes | 17 | 16 | 25 | 47 | 43 | |||||
Net income | $ | 63 | $ | 55 | $ | 90 | $ | 156 | $ | 146 |
Income per share: | ||||||||||
Basic | $ | 1.18 | $ | 1.03 | $ | 1.71 | $ | 2.94 | $ | 2.78 |
Diluted | $ | 1.17 | $ | 1.02 | $ | 1.69 | $ | 2.90 | $ | 2.74 |
Key Ratios | ||||||||||
Three Months Ended | ||||||||||
June 30, 2022 |
March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | ||||||
Net interest margin | 3.69 | % | 3.11 | % | 2.96 | % | 3.00 | % | 2.90 | % |
Return on average assets | 1.0 | % | 0.9 | % | 1.3 | % | 2.2 | % | 2.1 | % |
Return on average common equity | 8.7 | % | 7.9 | % | 12.7 | % | 23.4 | % | 24.0 | % |
Efficiency ratio | 79.1 | % | 80.4 | % | 75.9 | % | 62.2 | % | 66.6 | % |
HFI loan-to-deposit ratio | 76.3 | % | 68.5 | % | 67.2 | % | 68.8 | % | 71.8 | % |
Adjusted HFI loan-to-deposit ratio (1) | 71.9 | % | 64.1 | % | 60.5 | % | 60.3 | % | 64.3 | % |
Average Balance Sheet Highlights | ||||||||||||||
Three Months Ended | % Change | |||||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 |
June 30, 2021 |
June 30, 2021 | Seq | Yr/Yr | ||||||||
(Dollars in millions) | ||||||||||||||
Average interest-earning assets | $ | 20,958 | $ | 21,569 | $ | 24,291 | $ | 25,656 | $ | 25,269 | (3) | % | (17) | % |
Average loans held-for-sale (LHFS) | 3,571 | 4,833 | 6,384 | 7,839 | 6,902 | (26) | % | (48) | % | |||||
Average loans held-for-investment (LHFI) | 13,339 | 12,384 | 13,314 | 13,540 | 13,688 | 8 | % | (3) | % | |||||
Average total deposits | 17,488 | 18,089 | 19,816 | 19,686 | 19,070 | (3) | % | (8) | % |
Mortgage Metrics | ||||||||||||
As of/Three Months Ended | Change (% / bps) | |||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | Seq | Yr/Yr | ||||||
(Dollars in millions) | ||||||||||||
Mortgage rate lock commitments (fallout-adjusted) (1) (2) | $ | 7,100 | $ | 7,700 | $ | 8,900 | $ | 11,300 | $ | 12,400 | (9)% | (43)% |
Mortgage loans closed (1) | $ | 7,700 | $ | 8,200 | $ | 10,700 | $ | 12,500 | $ | 12,800 | (6)% | (40)% |
Net margin on mortgage rate lock commitments (fallout-adjusted) (2) | 0.39 | % | 0.58 | % | 1.02 | % | 1.50 | % | 1.35 | % | (19) | (96) |
Net gain on loan sales | $ | 27 | $ | 45 | $ | 91 | $ | 169 | $ | 168 | (40)% | (84)% |
Net return (loss) on mortgage servicing rights (MSR) | $ | 22 | $ | 29 | $ | 19 | $ | 9 | $ | (5) | N/M | N/M |
Gain on loan sales + net return on the MSR | $ | 49 | $ | 74 | $ | 110 | $ | 178 | $ | 163 | (34)% | (70)% |
Loans serviced (number of accounts - 000's) (3) | 1,383 | 1,256 | 1,234 | 1,203 | 1,182 | 10% | 17% | |||||
Capitalized value of MSRs | 1.50 | % | 1.31 | % | 1.12 | % | 1.08 | % | 1.00 | % | 19 | 50 |
N/M - Not meaningful | ||||||||||||
(1) Rounded to the nearest hundred million | ||||||||||||
(2) Fallout-adjusted mortgage rate lock commitments are adjusted by a percentage of mortgage loans in the pipeline that are not expected to close based on previous historical experience and the level of interest rates. | ||||||||||||
(3) Includes loans serviced for Flagstar's own loan portfolio, serviced for others, and subserviced for others. |
Credit Quality Ratios | ||||||||||||
As of/Three Months Ended | Change (% / bps) | |||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | Seq | Yr/Yr | ||||||
(Dollars in millions) | ||||||||||||
Allowance for credit losses (1) | $ | 135 | $ | 145 | $ | 170 | $ | 190 | $ | 220 | (7)% | (39)% |
Credit reserves to LHFI | 0.92 | % | 1.10 | % | 1.27 | % | 1.33 | % | 1.57 | % | (18) | -65 |
Credit reserves to LHFI excluding warehouse | 1.27 | % | 1.64 | % | 1.96 | % | 2.29 | % | 2.63 | % | (37) | (136) |
Net charge-offs | $ | 1 | $ | 21 | $ | 3 | $ | 6 | $ | 1 | (95)% | -% |
Total nonperforming LHFI and TDRs | $ | 99 | $ | 107 | $ | 94 | $ | 96 | $ | 75 | (7)% | 32% |
Net charge-offs to LHFI ratio (annualized) | 0.03 | % | 0.69 | % | 0.08 | % | 0.19 | % | 0.01 | % | (66) | 2 |
Ratio of nonperforming LHFI and TDRs to LHFI | 0.68 | % | 0.80 | % | 0.70 | % | 0.66 | % | 0.53 | % | (12) | 15 |
Net charge-offs/(recoveries) to LHFI ratio (annualized) by loan type (2): | ||||||||||||
Residential first mortgage | 0.12 | % | 0.31 | % | 0.04 | % | - | % | 0.16 | % | (19) | (4) |
Home equity and other consumer | 0.09 | % | 0.07 | % | 0.14 | % | 0.01 | % | 0.15 | % | 2 | (6) |
Commercial real estate | - | % | - | % | - | % | 0.03 | % | - | % | - | - |
Commercial and industrial | 0.02 | % | 4.31 | % | 0.53 | % | 1.87 | % | 0.04 | % | (429) | (2) |
N/M - Not meaningful |
Capital Ratios (Bancorp) | Change (% / bps) | |||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | Seq | Yr/Yr | ||||||
Tier 1 leverage (to adj. avg. total assets) | 12.17 | % | 11.83 | % | 10.54 | % | 9.72 | % | 9.21 | % | 34 | 296 |
Tier 1 common equity (to RWA) | 13.22 | % | 13.89 | % | 13.19 | % | 11.95 | % | 11.38 | % | (67) | 184 |
Tier 1 capital (to RWA) | 14.41 | % | 15.17 | % | 14.43 | % | 13.11 | % | 12.56 | % | (76) | 185 |
Total capital (to RWA) | 15.68 | % | 16.59 | % | 15.88 | % | 14.55 | % | 14.13 | % | (91) | 155 |
Tangible common equity to asset ratio (1) | 10.25 | % | 11.13 | % | 10.09 | % | 9.23 | % | 8.67 | % | (88) | 158 |
Tangible book value per share (1) | $ | 47.83 | $ | 48.61 | $ | 48.33 | $ | 47.21 | $ | 44.38 | (2)% | 8% |
June 30, 2022 | March 31, 2022 |
December 31, 2021 |
June 30, 2021 | |||||
Assets | ||||||||
Cash | $ | 198 | $ | 174 | $ | 277 | $ | 168 |
Interest-earning deposits | 237 | 231 | 774 | 177 | ||||
Total cash and cash equivalents | 435 | 405 | 1,051 | 345 | ||||
Investment securities available-for-sale | 2,346 | 2,010 | 1,804 | 1,823 | ||||
Investment securities held-to-maturity | 173 | 190 | 205 | 270 | ||||
Loans held-for-sale | 3,482 | 3,475 | 5,054 | 6,138 | ||||
Loans held-for-investment | 14,655 | 13,236 | 13,408 | 14,052 | ||||
Loans with government guarantees | 1,144 | 1,256 | 1,650 | 2,226 | ||||
Less: allowance for loan losses | (122) | (131) | (154) | (202) | ||||
Total loans held-for-investment and loans with government guarantees, net | 15,677 | 14,361 | 14,904 | 16,076 | ||||
Mortgage servicing rights | 622 | 523 | 392 | 342 | ||||
Federal Home Loan Bank stock | 329 | 329 | 377 | 377 | ||||
Premises and equipment, net | 354 | 354 | 360 | 374 | ||||
Goodwill and intangible assets | 142 | 145 | 147 | 152 | ||||
Bank-owned life insurance | 370 | 367 | 365 | 361 | ||||
Other assets | 969 | 1,085 | 824 | 807 | ||||
Total assets | $ | 24,899 | $ | 23,244 | $ | 25,483 | $ | 27,065 |
Liabilities and Stockholders' Equity | ||||||||
Noninterest-bearing deposits | $ | 6,664 | $ | 6,827 | $ | 7,088 | $ | 7,986 |
Interest-bearing deposits | 9,984 | 10,521 | 10,921 | 10,675 | ||||
Total deposits | 16,648 | 17,348 | 18,009 | 18,661 | ||||
Short-term Federal Home Loan Bank advances and other | 3,301 | 200 | 1,880 | 2,095 | ||||
Long-term Federal Home Loan Bank advances | 700 | 1,200 | 1,400 | 1,200 | ||||
Other long-term debt | 394 | 396 | 396 | 396 | ||||
Loan with government guarantees repurchase liability | 101 | 63 | 200 | 989 | ||||
Other liabilities | 1,062 | 1,304 | 880 | 1,226 | ||||
Total liabilities | 22,206 | 20,511 | 22,765 | 24,567 | ||||
Stockholders' Equity | ||||||||
Common stock | 1 | 1 | 1 | 1 | ||||
Additional paid in capital | 1,358 | 1,357 | 1,355 | 1,356 | ||||
Accumulated other comprehensive income | (99) | (2) | 35 | 45 | ||||
Retained earnings | 1,433 | 1,377 | 1,327 | 1,096 | ||||
Total stockholders' equity | 2,693 | 2,733 | 2,718 | 2,498 | ||||
Total liabilities and stockholders' equity | $ | 24,899 | $ | 23,244 | $ | 25,483 | $ | 27,065 |
Change compared to: | ||||||||||||||||||
Three Months Ended | 1Q22 | 2Q21 | ||||||||||||||||
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | Amount | Percent | Amount | Percent | ||||||||||
Interest Income | ||||||||||||||||||
Total interest income | $ | 209 | $ | 177 | $ | 196 | $ | 209 | $ | 198 | $ | 32 | 18 | % | $ | 11 | 6 | % |
Total interest expense | 16 | 12 | 15 | 14 | 15 | 4 | 33 | % | 1 | 7 | % | |||||||
Net interest income | 193 | 165 | 181 | 195 | 183 | 28 | 17 | % | 10 | 5 | % | |||||||
(Benefit) provision for credit losses | (9) | (4) | (17) | (23) | (44) | (5) | N/M | 35 | (80) | % | ||||||||
Net interest income after provision for credit losses | 202 | 169 | 198 | 218 | 227 | 33 | 20 | % | (25) | (11) | % | |||||||
Noninterest Income | ||||||||||||||||||
Net gain on loan sales | 27 | 45 | 91 | 169 | 168 | (18) | (40) | % | (141) | (84) | % | |||||||
Loan fees and charges | 29 | 27 | 29 | 33 | 37 | 2 | 7 | % | (8) | (22) | % | |||||||
Net return (loss) on the mortgage servicing rights | 22 | 29 | 19 | 9 | (5) | (7) | (24) | % | 27 | N/M | ||||||||
Loan administration income | 33 | 33 | 36 | 31 | 28 | - | - | % | 5 | 18 | % | |||||||
Deposit fees and charges | 9 | 9 | 8 | 9 | 8 | - | - | % | 1 | 13 | % | |||||||
Other noninterest income | 11 | 17 | 19 | 15 | 16 | (6) | (35) | % | (5) | (31) | % | |||||||
Total noninterest income | 131 | 160 | 202 | 266 | 252 | (29) | (18) | % | (121) | (48) | % | |||||||
Noninterest Expense | ||||||||||||||||||
Compensation and benefits | 122 | 127 | 137 | 130 | 122 | (5) | (4) | % | - | - | % | |||||||
Occupancy and equipment | 46 | 45 | 47 | 46 | 50 | 1 | 2 | % | (4) | (8) | % | |||||||
Commissions | 22 | 26 | 38 | 44 | 51 | (4) | (15) | % | (29) | (57) | % | |||||||
Loan processing expense | 23 | 21 | 21 | 22 | 22 | 2 | 10 | % | 1 | 5 | % | |||||||
Legal and professional expense | 10 | 11 | 13 | 12 | 11 | (1) | (9) | % | (1) | (9) | % | |||||||
Federal insurance premiums | 4 | 4 | 4 | 6 | 4 | - | - | % | - | - | % | |||||||
Intangible asset amortization | 3 | 2 | 3 | 3 | 3 | 1 | 50 | % | - | - | % | |||||||
Other noninterest expense | 26 | 25 | 28 | 23 | 26 | 1 | 4 | % | - | - | % | |||||||
Total noninterest expense | 256 | 261 | 291 | 286 | 289 | (5) | (2) | % | (33) | (11) | % | |||||||
Income before income taxes | 77 | 68 | 109 | 198 | 190 | 9 | 13 | % | (113) | (59) | % | |||||||
Provision for income taxes | 17 | 15 | 24 | 46 | 43 | 2 | 13 | % | (26) | (60) | % | |||||||
Net income | $ | 60 | $ | 53 | $ | 85 | $ | 152 | $ | 147 | $ | 7 | 13 | % | $ | (87) | (59) | % |
Income per share | ||||||||||||||||||
Basic | $ | 1.13 | $ | 0.99 | $ | 1.62 | $ | 2.87 | $ | 2.78 | $ | 0.14 | 14 | % | $ | (1.65) | (59) | % |
Diluted | $ | 1.12 | $ | 0.99 | $ | 1.60 | $ | 2.83 | $ | 2.74 | $ | 0.13 | 13 | % | $ | (1.62) | (59) | % |
Cash dividends declared | $ | 0.06 | $ | 0.06 | $ | 0.06 | $ | 0.06 | $ | 0.06 | $ | - | - | % | $ | - | - | % |
N/M - Not meaningful |
Six Months Ended | Change | |||||||
June 30, 2022 |
June 30, 2021 | Amount | Percent | |||||
Interest Income | ||||||||
Total interest income | $ | 386 | $ | 405 | $ | (19) | (5) | % |
Total interest expense | 28 | 34 | (6) | (18) | % | |||
Net interest income | 358 | 371 | (13) | (4) | % | |||
(Benefit) provision for credit losses | (13) | (72) | 59 | N/M | ||||
Net interest income after provision for credit losses | 371 | 443 | (72) | (16) | % | |||
Noninterest Income | ||||||||
Net gain on loan sales | 72 | 395 | (323) | (82) | % | |||
Loan fees and charges | 56 | 79 | (23) | (29) | % | |||
Net return (loss) on the mortgage servicing rights | 51 | (5) | 56 | (1,120) | % | |||
Loan administration income | 66 | 54 | 12 | 22 | % | |||
Deposit fees and charges | 18 | 17 | 1 | 6 | % | |||
Other noninterest income | 28 | 36 | (8) | (22) | % | |||
Total noninterest income | 291 | 576 | (285) | (49) | % | |||
Noninterest Expense | ||||||||
Compensation and benefits | 249 | 266 | (17) | (6) | % | |||
Occupancy and equipment | 91 | 95 | (4) | (4) | % | |||
Commissions | 48 | 112 | (64) | (57) | % | |||
Loan processing expense | 44 | 43 | 1 | 2 | % | |||
Legal and professional expense | 21 | 20 | 1 | 5 | % | |||
Federal insurance premiums | 8 | 10 | (2) | (20) | % | |||
Intangible asset amortization | 5 | 5 | - | - | % | |||
Other noninterest expense | 51 | 85 | (34) | (40) | % | |||
Total noninterest expense | 517 | 636 | (119) | (19) | % | |||
Income before income taxes | 145 | 383 | (238) | (62) | % | |||
Provision for income taxes | 32 | 87 | (55) | (63) | % | |||
Net income | $ | 113 | $ | 296 | $ | (183) | (62) | % |
Income per share | ||||||||
Basic | $ | 2.12 | $ | 5.61 | $ | (3.49) | (62) | % |
Diluted | $ | 2.11 | $ | 5.54 | $ | (3.43) | (62) | % |
Cash dividends declared | $ | 0.12 | $ | 0.12 | $ | - | - | % |
N/M - Not meaningful |
Three Months Ended | Six Months Ended | |||||||||
June 30, 2022 | March 31, 2022 |
June 30, 2021 |
June 30, 2022 |
June 30, 2021 | ||||||
Selected Mortgage Statistics (1): | ||||||||||
Mortgage rate lock commitments (fallout-adjusted) (2) | $ | 7,100 | $ | 7,700 | $ | 12,400 | $ | 14,800 | $ | 24,800 |
Mortgage loans closed | $ | 7,700 | $ | 8,200 | $ | 12,800 | $ | 15,900 | $ | 26,600 |
Mortgage loans sold and securitized | $ | 6,900 | $ | 9,900 | $ | 14,000 | $ | 16,800 | $ | 27,600 |
Selected Ratios: | ||||||||||
Interest rate spread (3) | 3.47 | % | 2.91 | % | 2.70 | % | 3.19 | % | 2.62 | % |
Net interest margin | 3.69 | % | 3.11 | % | 2.90 | % | 3.40 | % | 2.86 | % |
Net margin on loans sold and securitized | 0.39 | % | 0.45 | % | 1.20 | % | 0.43 | % | 1.42 | % |
Return on average assets | 1.01 | % | 0.87 | % | 2.09 | % | 0.94 | % | 2.04 | % |
Adjusted return on average assets (4) | 1.05 | % | 0.92 | % | 2.08 | % | 0.98 | % | 2.22 | % |
Return on average common equity | 8.74 | % | 7.87 | % | 23.97 | % | 8.31 | % | 24.82 | % |
Return on average tangible common equity (5) | 9.49 | % | 8.61 | % | 25.92 | % | 9.05 | % | 26.92 | % |
Adjusted return on average tangible common equity (4) (5) | 10.09 | % | 9.10 | % | 25.67 | % | 9.60 | % | 30.66 | % |
Efficiency ratio | 79.1 | % | 80.4 | % | 66.6 | % | 79.7 | % | 67.2 | % |
Adjusted efficiency ratio (4) | 78.1 | % | 79.6 | % | 66.8 | % | 78.9 | % | 63.6 | % |
Common equity-to-assets ratio (average for the period) | 11.54 | % | 11.12 | % | 8.74 | % | 11.33 | % | 8.21 | % |
Average Balances: | ||||||||||
Average interest-earning assets | $ | 20,958 | $ | 21,569 | $ | 25,269 | $ | 21,261 | $ | 26,218 |
Average interest-bearing liabilities | $ | 12,889 | $ | 12,959 | $ | 14,641 | $ | 12,923 | $ | 14,825 |
Average stockholders' equity | $ | 2,754 | $ | 2,687 | $ | 2,448 | $ | 2,721 | $ | 2,384 |
June 30, 2022 |
March 31, 2022 | December 31, 2021 |
June 30, 2021 | |||||
Selected Statistics: | ||||||||
Book value per common share | $ | 50.50 | $ | 51.33 | $ | 51.09 | $ | 47.26 |
Tangible book value per share (1)
| $ | 47.83 | $ | 48.61 | $ | 48.33 | $ | 44.38 |
Number of common shares outstanding | 53,329,993 | 53,236,067 | 53,197,650 | 52,862,264 | ||||
Number of FTE employees | 5,036 | 5,341 | 5,395 | 5,503 | ||||
Number of bank branches | 158 | 158 | 158 | 158 | ||||
Ratio of nonperforming assets to total assets (2)
| 0.42 | % | 0.48 | % | 0.39 | % | 0.30 | % |
Common equity-to-assets ratio | 10.82 | % | 11.75 | % | 10.67 | % | 9.23 | % |
MSR Key Statistics and Ratios: | ||||||||
Weighted average service fee (basis points) | 31.7 | 31.2 | 31.5 | 32.6 | ||||
Capitalized value of mortgage servicing rights | 1.50 | % | 1.31 | % | 1.12 | % | 1.00 | % |
Three Months Ended | |||||||||||||||
June 30, 2022 | March 31, 2022 | June 30, 2021 | |||||||||||||
Average Balance | Interest |
Annualized Yield/Rate | Average Balance | Interest |
Annualized Yield/Rate | Average Balance | Interest |
Annualized Yield/Rate | |||||||
Interest-Earning Assets | |||||||||||||||
Loans held-for-sale | $ | 3,571 | $ | 36 | 4.10% | $ | 4,833 | $ | 40 | 3.31% | $ | 6,902 | $ | 53 | 3.05% |
Loans held-for-investment | |||||||||||||||
Residential first mortgage | 1,789 | 16 | 3.68% | 1,500 | 13 | 3.35% | 1,887 | 15 | 3.27% | ||||||
Home equity | 614 | 7 | 4.74% | 598 | 6 | 4.05% | 748 | 7 | 3.64% | ||||||
Other | 1,302 | 16 | 4.80% | 1,253 | 15 | 4.86% | 1,101 | 13 | 4.80% | ||||||
Total consumer loans | 3,705 | 39 | 4.25% | 3,351 | 34 | 4.04% | 3,736 | 35 | 3.79% | ||||||
Commercial real estate | 3,366 | 41 | 4.78% | 3,226 | 29 | 3.60% | 3,093 | 26 | 3.37% | ||||||
Commercial and industrial | 2,169 | 26 | 4.65% | 1,834 | 16 | 3.52% | 1,449 | 14 | 3.72% | ||||||
Warehouse lending | 4,099 | 34 | 3.27% | 3,973 | 32 | 3.25% | 5,410 | 53 | 3.95% | ||||||
Total commercial loans | 9,634 | 101 | 4.11% | 9,033 | 77 | 3.43% | 9,952 | 93 | 3.74% | ||||||
Total loans held-for-investment | 13,339 | 140 | 4.15% | 12,384 | 111 | 3.59% | 13,688 | 128 | 3.75% | ||||||
Loans with government guarantees | 1,161 | 15 | 5.13% | 1,402 | 15 | 4.40% | 2,344 | 5 | 0.79% | ||||||
Investment securities | 2,310 | 17 | 2.89% | 2,021 | 11 | 2.19% | 2,123 | 12 | 2.19% | ||||||
Interest-earning deposits | 577 | 1 | 0.64% | 929 | - | 0.16% | 212 | - | 0.13% | ||||||
Total interest-earning assets | 20,958 | $ | 209 | 3.96% | 21,569 | $ | 177 | 3.30% | 25,269 | $ | 198 | 3.12% | |||
Other assets | 2,909 | 2,592 | 2,742 | ||||||||||||
Total assets | $ | 23,867 | $ | 24,161 | $ | 28,011 | |||||||||
Interest-Bearing Liabilities | |||||||||||||||
Retail deposits | |||||||||||||||
Demand deposits | $ | 1,725 | $ | 1 | 0.10% | $ | 1,626 | $ | - | 0.09% | $ | 1,686 | $ | - | 0.06% |
Savings deposits | 4,251 | 2 | 0.16% | 4,253 | 2 | 0.14% | 4,084 | 1 | 0.14% | ||||||
Money market deposits | 926 | - | 0.16% | 887 | - | 0.09% | 762 | - | 0.07% | ||||||
Certificates of deposit | 851 | 1 | 0.35% | 929 | 1 | 0.35% | 1,126 | 2 | 0.62% | ||||||
Total retail deposits | 7,753 | 4 | 0.17% | 7,695 | 3 | 0.15% | 7,658 | 3 | 0.18% | ||||||
Government deposits | 1,699 | 1 | 0.32% | 1,879 | 1 | 0.17% | 1,795 | 1 | 0.19% | ||||||
Wholesale deposits and other | 935 | 2 | 0.98% | 1,071 | 2 | 0.89% | 1,170 | 4 | 1.33% | ||||||
Total interest-bearing deposits | 10,387 | 7 | 0.26% | 10,645 | 6 | 0.23% | 10,623 | 8 | 0.31% | ||||||
Short-term FHLB advances and other | 1,124 | 3 | 1.05% | 658 | - | 0.22% | 2,422 | 1 | 0.17% | ||||||
Long-term FHLB advances | 982 | 3 | 1.15% | 1,260 | 3 | 0.98% | 1,200 | 3 | 1.03% | ||||||
Other long-term debt | 396 | 3 | 3.07% | 396 | 3 | 3.23% | 396 | 3 | 3.19% | ||||||
Total interest-bearing liabilities | 12,889 | $ | 16 | 0.48% | 12,959 | $ | 12 | 0.39% | 14,641 | 15 | 0.43% | ||||
Noninterest-bearing deposits | |||||||||||||||
Retail deposits and other | 2,460 | 2,474 | 2,259 | ||||||||||||
Custodial deposits (1) | 4,641 | 4,970 | 6,188 | ||||||||||||
Total noninterest-bearing deposits | 7,101 | 7,444 | 8,447 | ||||||||||||
Other liabilities | 1,123 | 1,071 | 2,476 | ||||||||||||
Stockholders' equity | 2,754 | 2,687 | 2,448 | ||||||||||||
Total liabilities and stockholders' equity | $ | 23,867 | $ | 24,161 | $ | 28,012 | |||||||||
Net interest-earning assets | $ | 8,069 | $ | 8,610 | $ | 10,628 | |||||||||
Net interest income | $ | 193 | $ | 165 | $ | 183 | |||||||||
Interest rate spread (2) | 3.47% | 2.91% | 2.70% | ||||||||||||
Net interest margin (3) | 3.69% | 3.11% | 2.90% | ||||||||||||
Ratio of average interest-earning assets to interest-bearing liabilities | 162.6 | % | 166.4 | % | 172.6 | % | |||||||||
Total average deposits | $ | 17,488 | $ | 18,089 | $ | 19,070 |
Six Months Ended | ||||||||||
June 30, 2022 | June 30, 2021 | |||||||||
Average Balance | Interest |
Annualized Yield/Rate | Average Balance | Interest |
Annualized Yield/Rate | |||||
Interest-Earning Assets | ||||||||||
Loans held-for-sale | $ | 4,199 | $ | 77 | 3.65% | $ | 7,181 | $ | 105 | 2.94% |
Loans held-for-investment | ||||||||||
Residential first mortgage | 1,645 | 29 | 3.53% | 2,009 | 32 | 3.23% | ||||
Home equity | 606 | 13 | 4.40% | 784 | 14 | 3.56% | ||||
Other | 1,278 | 30 | 4.83% | 1,071 | 25 | 4.80% | ||||
Total consumer loans | 3,529 | 72 | 4.15% | 3,864 | 71 | 3.73% | ||||
Commercial real estate | 3,296 | 70 | 4.21% | 3,068 | 52 | 3.36% | ||||
Commercial and industrial | 2,002 | 42 | 4.14% | 1,467 | 27 | 3.62% | ||||
Warehouse lending | 4,036 | 66 | 3.26% | 5,900 | 118 | 3.98% | ||||
Total commercial loans | 9,334 | 178 | 3.78% | 10,435 | 197 | 3.75% | ||||
Total loans held-for-investment | 12,863 | 250 | 3.88% | 14,299 | 268 | 3.74% | ||||
Loans with government guarantees | 1,281 | 30 | 4.73% | 2,422 | 8 | 0.67% | ||||
Investment securities | 2,166 | 28 | 2.56% | 2,166 | 24 | 2.20% | ||||
Interest-earning deposits | 752 | 1 | 0.35% | 150 | - | 0.14% | ||||
Total interest-earning assets | 21,261 | $ | 386 | 3.63% | 26,218 | $ | 405 | 3.09% | ||
Other assets | 2,752 | 2,814 | ||||||||
Total assets | $ | 24,013 | $ | 29,032 | ||||||
Interest-Bearing Liabilities | ||||||||||
Retail deposits | ||||||||||
Demand deposits | $ | 1,676 | $ | 1 | 0.10% | $ | 1,768 | $ | - | 0.07% |
Savings deposits | 4,252 | 3 | 0.15% | 4,015 | 3 | 0.14% | ||||
Money market deposits | 907 | 1 | 0.12% | 724 | - | 0.06% | ||||
Certificates of deposit | 890 | 1 | 0.35% | 1,209 | 5 | 0.80% | ||||
Total retail deposits | 7,725 | 6 | 0.16% | 7,716 | 8 | 0.22% | ||||
Government deposits | 1,788 | 2 | 0.24% | 1,784 | 2 | 0.21% | ||||
Wholesale deposits and other | 1,002 | 5 | 0.93% | 1,101 | 8 | 1.47% | ||||
Total interest-bearing deposits | 10,515 | 13 | 0.25% | 10,601 | 18 | 0.35% | ||||
Short-term FHLB advances and other | 892 | 3 | 0.74% | 2,600 | 2 | 0.17% | ||||
Long-term FHLB advances | 1,120 | 6 | 1.05% | 1,200 | 6 | 1.03% | ||||
Other long-term debt | 396 | 6 | 3.13% | 424 | 8 | 3.68% | ||||
Total interest-bearing liabilities | 12,923 | $ | 28 | 0.44% | 14,825 | $ | 34 | 0.47% | ||
Noninterest-bearing deposits | ||||||||||
Retail deposits and other | 2,467 | 2,264 | ||||||||
Custodial deposits (1) | 4,805 | 6,688 | ||||||||
Total noninterest-bearing deposits | 7,272 | 8,952 | ||||||||
Other liabilities | 1,098 | 2,871 | ||||||||
Stockholders' equity | 2,721 | 2,384 | ||||||||
Total liabilities and stockholders' equity | $ | 24,014 | $ | 29,032 | ||||||
Net interest-earning assets | $ | 8,338 | $ | 11,393 | ||||||
Net interest income | $ | 358 | $ | 371 | ||||||
Interest rate spread (2) | 3.19% | 2.62% | ||||||||
Net interest margin (3) | 3.40% | 2.86% | ||||||||
Ratio of average interest-earning assets to interest-bearing liabilities | 164.5 | % | 176.9 | % | ||||||
Total average deposits | $ | 17,787 | $ | 19,554 |
Three Months Ended | Six Months Ended | |||||||||
June 30, 2022 |
March 31, 2022 |
June 30, 2021 |
June 30, 2022 |
June 30, 2021 | ||||||
Net income | $ | 60 | $ | 53 | $ | 147 | $ | 113 | $ | 296 |
Weighted average common shares outstanding | 53,269,631 | 53,219,866 | 52,763,868 | 53,244,886 | 52,719,959 | |||||
Stock-based awards | 265,817 | 358,135 | 772,801 | 311,721 | 697,937 | |||||
Weighted average diluted common shares | 53,535,448 | 53,578,001 | 53,536,669 | 53,556,607 | 53,417,896 | |||||
Basic earnings per common share | $ | 1.13 | $ | 0.99 | $ | 2.78 | $ | 2.12 | $ | 5.61 |
Stock-based awards | (0.01) | - | (0.04) | (0.01) | (0.07) | |||||
Diluted earnings per common share | $ | 1.12 | $ | 0.99 | $ | 2.74 | $ | 2.11 | $ | 5.54 |
June 30, 2022 | March 31, 2022 | December 31, 2021 | June 30, 2021 | |||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||
Tier 1 leverage (to adjusted avg. total assets) | $ | 2,900 | 12.17 | % | $ | 2,843 | 11.83 | % | $ | 2,798 | 10.54 | % | $ | 2,562 | 9.21 | % |
Total adjusted avg. total asset base | $ | 23,835 | $ | 24,026 | $ | 26,545 | $ | 27,828 | ||||||||
Tier 1 common equity (to risk weighted assets) | $ | 2,660 | 13.22 | % | $ | 2,603 | 13.89 | % | $ | 2,558 | 13.19 | % | $ | 2,322 | 11.38 | % |
Tier 1 capital (to risk weighted assets) | $ | 2,900 | 14.41 | % | $ | 2,843 | 15.17 | % | $ | 2,798 | 14.43 | % | $ | 2,562 | 12.56 | % |
Total capital (to risk weighted assets) | $ | 3,155 | 15.68 | % | $ | 3,110 | 16.59 | % | $ | 3,080 | 15.88 | % | $ | 2,882 | 14.13 | % |
Risk-weighted asset base | $ | 20,130 | $ | 18,741 | $ | 19,397 | $ | 20,399 |
June 30, 2022 | March 31, 2022 | December 31, 2021 | June 30, 2021 | |||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||
Tier 1 leverage (to adjusted avg. total assets) | $ | 2,824 | 11.87 | % | $ | 2,758 | 11.50 | % | $ | 2,706 | 10.21 | % | $ | 2,464 | 8.88 | % |
Total adjusted avg. total asset base | $ | 23,786 | $ | 23,984 | $ | 26,502 | $ | 27,767 | ||||||||
Tier 1 common equity (to risk weighted assets) | $ | 2,824 | 14.04 | % | $ | 2,758 | 14.73 | % | $ | 2,706 | 13.96 | % | $ | 2,464 | 12.08 | % |
Tier 1 capital (to risk weighted assets) | $ | 2,824 | 14.04 | % | $ | 2,758 | 14.73 | % | $ | 2,706 | 13.96 | % | $ | 2,464 | 12.08 | % |
Total capital (to risk weighted assets) | $ | 2,931 | 14.57 | % | $ | 2,875 | 15.35 | % | $ | 2,839 | 14.65 | % | $ | 2,634 | 12.92 | % |
Risk-weighted asset base | $ | 20,113 | $ | 18,725 | $ | 19,383 | $ | 20,395 |
June 30, 2022 | March 31, 2022 | December 31, 2021 | June 30, 2021 | |||||||||
Unpaid Principal Balance (1) | Number of accounts | Unpaid Principal Balance (1) | Number of accounts | Unpaid Principal Balance (1) | Number of accounts | Unpaid Principal Balance (1) | Number of accounts | |||||
Subserviced for others (2) | $ | 293,808 | 1,160,087 | $ | 253,013 | 1,041,251 | $ | 246,858 | 1,032,923 | $ | 211,775 | 975,467 |
Serviced for others (3) | 41,557 | 160,387 | 40,065 | 154,404 | 35,074 | 137,243 | 34,263 | 139,029 | ||||
Serviced for own loan portfolio (4) | 7,959 | 62,217 | 7,215 | 60,167 | 8,793 | 63,426 | 9,685 | 67,988 | ||||
Total loans serviced | $ | 343,324 | 1,382,691 | $ | 300,293 | 1,255,822 | $ | 290,725 | 1,233,592 | $ | 255,723 | 1,182,484 |
June 30, 2022 | March 31, 2022 | December 31, 2021 | June 30, 2021 | |||||||||||||
Consumer loans | ||||||||||||||||
Residential first mortgage | $ | 2,205 | 15.0 | % | $ | 1,499 | 11.3 | % | $ | 1,536 | 11.5 | % | $ | 1,794 | 12.8 | % |
Home equity | 645 | 4.4 | % | 596 | 4.5 | % | 613 | 4.6 | % | 717 | 5.1 | % | ||||
Other | 1,331 | 9.1 | % | 1,267 | 9.6 | % | 1,236 | 9.2 | % | 1,133 | 8.0 | % | ||||
Total consumer loans | 4,181 | 28.5 | % | 3,362 | 25.4 | % | 3,385 | 25.3 | % | 3,644 | 25.9 | % | ||||
Commercial loans | ||||||||||||||||
Commercial real estate | 3,387 | 23.1 | % | 3,254 | 24.5 | % | 3,223 | 24.0 | % | 3,169 | 22.6 | % | ||||
Commercial and industrial | 2,653 | 18.1 | % | 1,979 | 15.0 | % | 1,826 | 13.6 | % | 1,376 | 9.8 | % | ||||
Warehouse lending | 4,434 | 30.3 | % | 4,641 | 35.1 | % | 4,974 | 37.1 | % | 5,863 | 41.7 | % | ||||
Total commercial loans | 10,474 | 71.5 | % | 9,874 | 74.6 | % | 10,023 | 74.7 | % | 10,408 | 74.1 | % | ||||
Total loans held-for-investment | $ | 14,655 | 100.0 | % | $ | 13,236 | 100.0 | % | $ | 13,408 | 100.0 | % | $ | 14,052 | 100.0 | % |
June 30, 2022 | March 31, 2022 | December 31, 2021 | June 30, 2021 | |||||||||||||
Indirect lending | $ | 972 | 73.0 | % | $ | 935 | 73.8 | % | $ | 926 | 74.8 | % | $ | 866 | 76.4 | % |
Point of sale | 300 | 22.5 | % | 295 | 23.3 | % | 272 | 22.0 | % | 225 | 19.9 | % | ||||
Other | 59 | 4.4 | % | 37 | 2.9 | % | 38 | 3.2 | % | 42 | 3.7 | % | ||||
Total other consumer loans | $ | 1,331 | 100.0 | % | $ | 1,267 | 100.0 | % | $ | 1,236 | 100.0 | % | $ | 1,133 | 100.0 | % |
June 30, 2022 | March 31, 2022 | June 30, 2021 | ||||
Residential first mortgage | $ | 33 | $ | 43 | $ | 48 |
Home equity | 21 | 16 | 17 | |||
Other | 31 | 34 | 38 | |||
Total consumer loans | 85 | 93 | 103 | |||
Commercial real estate | 22 | 22 | 58 | |||
Commercial and industrial | 11 | 13 | 38 | |||
Warehouse lending | 4 | 3 | 3 | |||
Total commercial loans | 37 | 38 | 99 | |||
Allowance for loan losses | 122 | 131 | 202 | |||
Reserve for unfunded commitments | 13 | 14 | 18 | |||
Allowance for credit losses | $ | 135 | $ | 145 | $ | 220 |
Three Months Ended June 30, 2022 | ||||||||||||||||
Residential First Mortgage | Home Equity | Other Consumer | Commercial Real Estate | Commercial and Industrial | Warehouse Lending | Total LHFI Portfolio (1) | Unfunded Commitments | |||||||||
Beginning balance | $ | 43 | $ | 16 | $ | 34 | $ | 22 | $ | 13 | $ | 3 | $ | 131 | $ | 14 |
Provision (benefit) for credit losses: | ||||||||||||||||
Loan volume | 4 | 1 | 2 | 1 | 4 | - | 12 | (1) | ||||||||
Economic forecast (2) | 2 | 1 | (4) | - | (1) | - | (2) | - | ||||||||
Credit (3) | (16) | 3 | (1) | (1) | (5) | 1 | (19) | - | ||||||||
Qualitative factor adjustments | - | - | - | - | - | - | - | - | ||||||||
Charge-offs | - | - | (3) | - | - | - | (3) | - | ||||||||
Recoveries | - | - | 2 | - | - | - | 2 | - | ||||||||
Provision for net charge-offs | - | - | 1 | - | - | - | 1 | - | ||||||||
Ending allowance balance | $ | 33 | $ | 21 | $ | 31 | $ | 22 | $ | 11 | $ | 4 | $ | 122 | $ | 13 |
Six Months Ended June 30, 2022 | ||||||||||||||||
Residential First Mortgage | Home Equity | Other Consumer | Commercial Real Estate | Commercial and Industrial | Warehouse Lending | Total LHFI Portfolio (1) | Unfunded Commitments | |||||||||
Beginning balance | $ | 40 | $ | 14 | $ | 36 | $ | 28 | $ | 32 | $ | 4 | $ | 154 | $ | 16 |
Provision (benefit) for credit losses: | ||||||||||||||||
Loan volume | 4 | 1 | 3 | 1 | 7 | - | 16 | (3) | ||||||||
Economic forecast (2) | 3 | 3 | (4) | 1 | (3) | - | - | - | ||||||||
Credit (3) | (14) | 3 | (4) | (7) | (3) | - | (25) | - | ||||||||
Qualitative factor adjustments | - | - | - | (1) | (4) | - | (5) | - | ||||||||
Charge-offs | (1) | - | (5) | - | (20) | - | (26) | - | ||||||||
Recoveries | - | 1 | 3 | - | - | - | 4 | - | ||||||||
Provision for net charge-offs | 1 | (1) | 2 | - | 2 | - | 4 | - | ||||||||
Ending allowance balance | $ | 33 | $ | 21 | $ | 31 | $ | 22 | $ | 11 | $ | 4 | $ | 122 | $ | 13 |
June 30, 2022 | March 31, 2022 | December 31, 2021 |
June 30, 2021 | |||||
Nonperforming LHFI | $ | 79 | $ | 95 | $ | 81 | $ | 63 |
Nonperforming TDRs | 6 | 7 | 8 | 6 | ||||
Nonperforming TDRs at inception but performing for less than six months | 14 | 5 | 5 | 7 | ||||
Total nonperforming LHFI and TDRs (1) | 99 | 107 | 94 | 76 | ||||
Other nonperforming assets, net | 5 | 4 | 6 | 6 | ||||
LHFS | 20 | 24 | 17 | 9 | ||||
Total nonperforming assets | $ | 124 | $ | 135 | $ | 117 | $ | 91 |
Ratio of nonperforming assets to total assets (2) | 0.42 | % | 0.48 | % | 0.39 | % | 0.30 | % |
Ratio of nonperforming LHFI and TDRs to LHFI | 0.68 | % | 0.80 | % | 0.70 | % | 0.53 | % |
Ratio of nonperforming assets to LHFI and repossessed assets (2) | 0.71 | % | 0.84 | % | 0.74 | % | 0.57 | % |
30-59 Days Past Due | 60-89 Days Past Due | Greater than 90 days | Total Past Due | Total LHFI | ||||||
June 30, 2022 | ||||||||||
Consumer loans | $ | 15 | $ | 7 | $ | 99 | $ | 121 | $ | 4,181 |
Commercial loans | - | - | - | - | 10,474 | |||||
Total loans | $ | 15 | $ | 7 | $ | 99 | $ | 121 | $ | 14,655 |
March 31, 2022 | ||||||||||
Consumer loans (1) | $ | 12 | $ | 10 | $ | 98 | $ | 120 | $ | 3,362 |
Commercial loans | - | - | - | - | 9,874 | |||||
Total loans | $ | 12 | $ | 10 | $ | 98 | $ | 120 | $ | 13,236 |
December 31, 2021 | ||||||||||
Consumer loans | $ | 26 | $ | 36 | $ | 62 | $ | 124 | $ | 3,385 |
Commercial loans | - | - | 32 | 32 | 10,023 | |||||
Total loans | $ | 26 | $ | 36 | $ | 94 | $ | 156 | $ | 13,408 |
June 30, 2021 | ||||||||||
Consumer loans | $ | 8 | $ | 4 | $ | 55 | $ | 67 | $ | 3,644 |
Commercial loans | - | - | 20 | 20 | 10,408 | |||||
Total loans | $ | 8 | $ | 4 | $ | 75 | $ | 87 | $ | 14,052 |
TDRs | ||||||
Performing | Nonperforming | Total | ||||
June 30, 2022 | ||||||
Consumer loans | $ | 22 | $ | 20 | $ | 42 |
Commercial loans | - | - | - | |||
Total TDR loans | $ | 22 | $ | 20 | $ | 42 |
March 31, 2022 | ||||||
Consumer loans | $ | 23 | $ | 12 | $ | 35 |
Commercial loans | - | - | - | |||
Total TDR loans | $ | 23 | $ | 12 | $ | 35 |
December 31, 2021 | ||||||
Consumer loans | $ | 22 | $ | 13 | $ | 35 |
Commercial loans | 2 | - | 2 | |||
Total TDR loans | $ | 24 | $ | 13 | $ | 37 |
June 30, 2021 | ||||||
Consumer loans | $ | 31 | $ | 11 | $ | 42 |
Commercial loans | - | 2 | 2 | |||
Total TDR loans | $ | 31 | $ | 13 | $ | 44 |
June 30, 2022 |
March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | ||||||
(Dollars in millions, except share data) | ||||||||||
Total stockholders' equity | $ | 2,693 | $ | 2,733 | $ | 2,718 | $ | 2,645 | $ | 2,498 |
Less: Goodwill and intangible assets | 142 | 145 | 147 | 149 | 152 | |||||
Tangible book value | $ | 2,551 | $ | 2,588 | $ | 2,571 | $ | 2,496 | $ | 2,346 |
Number of common shares outstanding | 53,329,993 | 53,236,067 | 53,197,650 | 52,862,383 | 52,862,264 | |||||
Tangible book value per share | $ | 47.83 | $ | 48.61 | $ | 48.33 | $ | 47.21 | $ | 44.38 |
Total assets | $ | 24,899 | $ | 23,244 | $ | 25,483 | $ | 27,042 | $ | 27,065 |
Tangible common equity to assets ratio | 10.25 | % | 11.13 | % | 10.09 | % | 9.23 | % | 8.67 | % |
Three Months Ended | Six Months Ended | |||||||||
June 30, 2022 | March 31, 2022 |
June 30, 2021 |
June 30, 2022 |
June 30, 2021 | ||||||
(Dollars in millions) | ||||||||||
Net income | $ | 60 | $ | 53 | $ | 147 | $ | 113 | $ | 296 |
Add: Intangible asset amortization, net of tax | 3 | 1 | 2 | 4 | 4 | |||||
Tangible net income | $ | 63 | $ | 54 | $ | 149 | $ | 117 | $ | 300 |
Total average equity | $ | 2,754 | $ | 2,687 | $ | 2,448 | $ | 2,721 | $ | 2,384 |
Less: Average goodwill and intangible assets | 144 | 146 | 153 | 145 | 155 | |||||
Total tangible average equity | $ | 2,610 | $ | 2,541 | $ | 2,295 | $ | 2,576 | $ | 2,229 |
Return on average tangible common equity | 9.49 | % | 8.61 | % | 25.92 | % | 9.05 | % | 26.92 | % |
Adjustment to remove DOJ settlement expense | - | % | - | % | - | % | - | % | 3.86 | % |
Adjustment for former CEO SERP agreement | - | % | - | % | (2.14) | % | - | % | (1.09) | % |
Adjustment for merger costs | 0.60 | % | 0.49 | % | 1.89 | % | 0.55 | % | 0.97 | % |
Adjusted return on average tangible common equity | 10.09 | % | 9.10 | % | 25.67 | % | 9.60 | % | 30.66 | % |
Return on average assets | 1.01 | % | 0.89 | % | 2.09 | % | 0.94 | % | 2.04 | % |
Adjustment to remove DOJ settlement expense | - | % | - | % | - | % | - | % | 0.18 | % |
Adjustment for former CEO SERP settlement agreement | - | % | - | % | (0.11) | % | - | % | (0.05) | % |
Adjustment for merger costs | 0.04 | % | 0.03 | % | 0.10 | % | 0.04 | % | 0.05 | % |
Adjusted return on average assets | 1.05 | % | 0.92 | % | 2.08 | % | 0.98 | % | 2.22 | % |
June 30, 2022 | March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | ||||||
(Dollars in millions) | ||||||||||
Average LHFI | $ | 13,339 | $ | 12,384 | $ | 13,314 | $ | 13,540 | $ | 13,688 |
Less: Average warehouse loans | 4,099 | 3,973 | 5,148 | 5,392 | 5,410 | |||||
Adjusted average LHFI | $ | 9,240 | $ | 8,411 | $ | 8,166 | $ | 8,148 | $ | 8,278 |
Average deposits | $ | 17,488 | $ | 18,089 | $ | 19,816 | $ | 19,686 | $ | 19,070 |
Less: Average custodial deposits | 4,641 | 4,970 | 6,309 | 6,180 | 6,188 | |||||
Adjusted average deposits | $ | 12,847 | $ | 13,119 | $ | 13,507 | $ | 13,506 | $ | 12,882 |
HFI loan-to-deposit ratio | 76.3 | % | 68.5 | % | 67.2 | % | 68.8 | % | 71.8 | % |
Adjusted HFI loan-to-deposit ratio | 71.9 | % | 64.1 | % | 60.5 | % | 60.3 | % | 64.3 | % |
Three Months Ended | ||||||||||
June 30, 2022 |
March 31, 2022 | December 31, 2021 | September 30, 2021 |
June 30, 2021 | ||||||
(Dollar in millions) | ||||||||||
Noninterest expense | $ | 256 | $ | 261 | $ | 291 | $ | 286 | $ | 289 |
Adjustment for former CEO SERP agreement | - | - | - | - | (10) | |||||
Adjustment for merger costs | 3 | 3 | 6 | 5 | 9 | |||||
Adjusted noninterest expense | $ | 253 | $ | 258 | $ | 285 | $ | 281 | $ | 290 |
Income before income taxes | $ | 77 | $ | 68 | $ | 109 | $ | 198 | $ | 190 |
Adjustment for former CEO SERP agreement | - | - | - | - | (10) | |||||
Adjustment for merger costs | 3 | 3 | 6 | 5 | 9 | |||||
Adjusted income before income taxes | $ | 80 | $ | 71 | $ | 115 | $ | 203 | $ | 189 |
Provision for income taxes | $ | 17 | $ | 15 | $ | 24 | $ | 46 | $ | 43 |
Adjustment for former CEO SERP agreement | - | - | - | - | 2 | |||||
Adjustment for merger costs | - | (1) | (1) | (1) | (2) | |||||
Adjusted provision for income taxes | $ | 17 | $ | 16 | $ | 25 | $ | 47 | $ | 43 |
Net income | $ | 60 | $ | 53 | $ | 85 | $ | 152 | $ | 147 |
Adjusted net income | $ | 63 | $ | 55 | $ | 90 | $ | 156 | $ | 146 |
Weighted average common shares outstanding | 53,269,631 | 53,219,866 | 52,867,138 | 52,862,288 | 52,763,868 | |||||
Weighted average diluted common shares | 53,535,448 | 53,578,001 | 53,577,832 | 53,659,422 | 53,536,669 | |||||
Adjusted basic earnings per share | $ | 1.18 | $ | 1.03 | $ | 1.71 | $ | 2.94 | $ | 2.78 |
Adjusted diluted earnings per share | $ | 1.17 | $ | 1.02 | $ | 1.69 | $ | 2.90 | $ | 2.74 |
Efficiency ratio | 79.1 | % | 80.4 | % | 75.9 | % | 62.2 | % | 66.6 | % |
Adjustment for former CEO SERP agreement | - | % | - | % | - | % | - | % | 1.6 | % |
Adjustment for merger costs | (1.0) | % | (0.8) | % | (1.5) | % | (1.1) | % | (1.4) | % |
Adjusted efficiency ratio | 78.1 | % | 79.6 | % | 74.4 | % | 61.1 | % | 66.8 | % |
Six Months Ended | ||||
June 30, 2022 |
June 30, 2021 | |||
Efficiency ratio | 79.7 | % | 67.2 | % |
Adjustment to remove DOJ settlement expense | - | % | (2.6) | % |
Adjustment for former CEO SERP agreement | - | % | 1.1 | % |
Adjustment for merger costs | (0.9) | % | (0.9) | % |
Adjusted efficiency ratio | 78.8 | % | 64.8 | % |
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Flagstar Bancorp Inc. published this content on 27 July 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 July 2022 10:43:11 UTC.