Fourth Quarter and Full Year 2021 Highlights
- Record annual net income of
$98.9 million , or$6.20 per diluted share - Quarterly net income of
$27.0 million , or$1.71 per diluted share - Adjusted quarterly net income (non-GAAP) of
$27.4 million , or$1.73 per diluted share - Record adjusted quarterly net interest income (non-GAAP) of
$49.2 million , a 6.1% annualized increase compared to the third quarter of 2021 - Net Interest Margin (“NIM”) of 3.29% and Adjusted
NIM (TEY) (non-GAAP) of 3.49% for the quarter - Loan and lease growth of 12.0% (annualized) for the quarter and 16.9% for the full year, excluding SBA Paycheck Protection Program (“PPP”) loans (non-GAAP)
- Annualized core deposit growth of 4.3% for the quarter and 7.2% for the full year
- Nonperforming assets improved by 60% for the quarter and 80% for the full year and now represent only 0.05% of total assets
- Allowance for credit losses (“ACL”) to total loans/leases of 1.69%, excluding PPP loans (non-GAAP)
The Company reported adjusted net income (non-GAAP) of
For the Quarter Ended | ||||||
$ in millions (except per share data) | 2021 | 2021 | 2020 | |||
Net Income | $ | 27.0 | $ | 31.6 | $ | 18.3 |
Diluted EPS | $ | 1.71 | $ | 1.99 | $ | 1.14 |
Adjusted Net Income (non-GAAP) | $ | 27.4 | $ | 31.6 | $ | 19.1 |
Adjusted Diluted EPS (non-GAAP) | $ | 1.73 | $ | 1.99 | $ | 1.20 |
Adjusted non-GAAP measurements of financial performance exclude non-recurring income and expense items that management believes are not reflective of the anticipated future operation of the Company’s business. The Company believes these measurements provide a better comparison for analysis and may provide a better indicator of future performance. See GAAP to non-GAAP reconciliations.
“We are very pleased with our 2021 financial performance, highlighted by record net income and earnings per share,” said
“In November, we were excited to announce the anticipated acquisition of Guaranty Federal Bancshares, Inc. which will enhance our market share in the vibrant
Annualized Loan and Lease Growth of 12.0% for the Quarter and 16.9% for the Year, excluding PPP Loans (non-GAAP)
During the fourth quarter of 2021, the Company’s loans and leases, excluding PPP loans (non-GAAP), increased
“Our continued robust loan growth was driven by strength in both our traditional commercial lending and leasing business and our
Record Net Interest Income of
Net interest income for the fourth quarter of 2021 totaled a record
In the fourth quarter, reported NIM was 3.29% and tax-equivalent yield basis (non-GAAP) NIM was 3.50%, compared to 3.36% and 3.56% in the prior quarter, respectively. Adjusted NIM (non-GAAP), which excludes acquisition-related net accretion, was 3.49%, compared to 3.53% in the third quarter. The slight decrease in Adjusted NIM (non-GAAP) during the quarter was primarily due to a 4 basis point decrease in the yield on earning assets (adjusted for acquisition-related net accretion, non-GAAP) driven by slightly lower loan and securities yields and some elevated excess liquidity. However, adjusted NIM benefited from a 1 basis point decline in the total cost of interest-bearing funds, mainly due to mix.
For the Quarter Ended | ||||||
2021 | 2021 | 2020 | ||||
NIM | 3.29 | % | 3.36 | % | 3.25 | % |
3.50 | % | 3.56 | % | 3.45 | % | |
Adjusted | 3.49 | % | 3.53 | % | 3.37 | % |
* See GAAP to non-GAAP reconciliations | ||||||
“We grew net interest income to record levels in the quarter, driven by our continued strong loan growth and our ability to protect and actually expand NIM in this challenging interest rate environment,” said
Noninterest Income of
Noninterest income for the fourth quarter of 2021 totaled
“Capital markets revenue from swap fees totaled
Noninterest Expenses of
Noninterest expense for the fourth quarter of 2021 totaled
Asset Quality Remains Strong and NPAs Improved
Nonperforming assets (“NPAs”) totaled
The Company recorded a
Continued Strong Capital Levels
As of
Focus on Three Strategic Long-Term Initiatives
As part of the Company’s ongoing efforts to grow earnings and drive attractive long-term returns for shareholders, it continues to operate under three key strategic long-term initiatives:
- Generate organic loan and lease growth of 9% per year, funded by core deposits;
- Grow fee-based income by at least 6% per year; and
- Limit our annual operating expense growth to 5% per year.
Conference Call Details
The Company will host an earnings call/webcast tomorrow,
About Us
Special Note Concerning Forward-Looking Statements. This document contains, and future oral and written statements of the Company and its management may contain, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 with respect to the financial condition, results of operations, plans, objectives, future performance and business of the Company. Forward-looking statements, which may be based upon beliefs, expectations and assumptions of the Company’s management and on information currently available to management, are generally identifiable by the use of words such as “believe,” “expect,” “anticipate,” “predict,” “suggest,” “appear,” “plan,” “intend,” “estimate,” ”annualize,” “may,” “will,” “would,” “could,” “should” or other similar expressions. Additionally, all statements in this document, including forward-looking statements, speak only as of the date they are made, and the Company undertakes no obligation to update any statement in light of new information or future events.
A number of factors, many of which are beyond the ability of the Company to control or predict, could cause actual results to differ materially from those in its forward-looking statements. These factors include, among others, the following: (i) the strength of the local, state, national and international economies; (ii) the economic impact of any future terrorist threats and attacks, widespread disease or pandemics (including the COVID-19 pandemic in
Contacts: | ||
President Chief Operating Officer Chief Financial Officer (309) 743-7745 tgipple@qcrh.com | Vice President Corporate Communications Investor Relations Manager (319) 743-7006 kgarrett@qcrh.com | |
Consolidated Financial Highlights
(Unaudited)
As of | ||||||||||
2021 | 2021 | 2021 | 2021 | 2020 | ||||||
(dollars in thousands) | ||||||||||
CONDENSED BALANCE SHEET | ||||||||||
Cash and due from banks | $ | 37,490 | $ | 57,310 | $ | 55,598 | $ | 78,814 | $ | 61,329 |
Federal funds sold and interest-bearing deposits | 87,662 | 70,826 | 88,780 | 55,056 | 95,676 | |||||
Securities, net of allowance for credit losses | 810,215 | 828,719 | 810,445 | 799,825 | 838,131 | |||||
Net loans/leases | 4,601,411 | 4,519,060 | 4,338,811 | 4,279,220 | 4,166,753 | |||||
Intangibles | 9,349 | 9,857 | 10,365 | 10,873 | 11,381 | |||||
74,066 | 74,066 | 74,066 | 74,066 | 74,066 | ||||||
Derivatives | 222,220 | 198,393 | 193,395 | 122,668 | 222,757 | |||||
Other assets | 253,719 | 256,277 | 255,952 | 246,872 | 234,950 | |||||
Total assets | $ | 6,096,132 | $ | 6,014,508 | $ | 5,827,412 | $ | 5,667,394 | $ | 5,705,043 |
Total deposits | $ | 4,922,772 | $ | 4,871,828 | $ | 4,688,935 | $ | 4,631,782 | $ | 4,599,137 |
Total borrowings | 170,805 | 183,514 | 198,908 | 188,601 | 177,114 | |||||
Derivatives | 225,135 | 201,450 | 196,092 | 125,863 | 229,270 | |||||
Other liabilities | 100,410 | 107,902 | 113,001 | 112,429 | 105,729 | |||||
Total stockholders' equity | 677,010 | 649,814 | 630,476 | 608,719 | 593,793 | |||||
Total liabilities and stockholders' equity | $ | 6,096,132 | $ | 6,014,508 | $ | 5,827,412 | $ | 5,667,394 | $ | 5,705,043 |
ANALYSIS OF LOAN PORTFOLIO | ||||||||||
Loan/lease mix: (1) | ||||||||||
Commercial and industrial - revolving | $ | 248,483 | $ | 175,155 | $ | 182,882 | $ | 168,842 | ||
Commercial and industrial - other | 1,346,602 | 1,465,580 | 1,505,384 | 1,616,144 | ||||||
Commercial real estate, owner occupied | 421,701 | 434,014 | 427,734 | 461,272 | ||||||
Commercial real estate, non-owner occupied | 646,500 | 644,850 | 618,879 | 610,582 | ||||||
Construction and land development | 918,571 | 852,418 | 708,289 | 607,798 | ||||||
Multi-family | 600,412 | 529,727 | 466,804 | 396,272 | ||||||
Direct financing leases | 45,191 | 50,237 | 56,153 | 60,134 | ||||||
1-4 family real estate | 377,361 | 376,067 | 382,142 | 368,927 | ||||||
Consumer | 75,311 | 71,682 | 69,438 | 71,080 | ||||||
Total loans/leases | $ | 4,680,132 | $ | 4,599,730 | $ | 4,417,705 | $ | 4,361,051 | ||
Less allowance for credit losses (2) | 78,721 | 80,670 | 78,894 | 81,831 | ||||||
Net loans/leases | $ | 4,601,411 | $ | 4,519,060 | $ | 4,338,811 | $ | 4,279,220 | ||
Loan/lease mix: (1) | ||||||||||
Commercial and industrial loans | $ | 1,584,922 | $ | 1,634,047 | $ | 1,680,853 | $ | 1,779,062 | $ | 1,726,723 |
Commercial real estate loans | 2,675,103 | 2,550,160 | 2,319,423 | 2,174,897 | 2,107,629 | |||||
Direct financing leases | 44,623 | 49,585 | 55,371 | 59,229 | 66,016 | |||||
Residential real estate loans | 275,552 | 270,522 | 268,193 | 254,900 | 252,121 | |||||
Installment and other consumer loans | 86,311 | 85,363 | 86,925 | 87,053 | 91,302 | |||||
Deferred loan/lease origination costs, net of fees | 13,621 | 10,053 | 6,940 | 5,910 | 7,338 | |||||
Total loans/leases | $ | 4,680,132 | $ | 4,599,730 | $ | 4,417,705 | $ | 4,361,051 | $ | 4,251,129 |
Less allowance for credit losses (2) | 78,721 | 80,670 | 78,894 | 81,831 | 84,376 | |||||
Net loans/leases | $ | 4,601,411 | $ | 4,519,060 | $ | 4,338,811 | $ | 4,279,220 | $ | 4,166,753 |
ANALYSIS OF SECURITIES PORTFOLIO | ||||||||||
Securities mix: | ||||||||||
$ | 23,328 | $ | 23,689 | $ | 14,670 | $ | 14,581 | $ | 15,336 | |
Municipal securities | 639,799 | 649,486 | 641,603 | 614,649 | 627,523 | |||||
Residential mortgage-backed and related securities | 94,323 | 100,744 | 106,139 | 118,051 | 132,842 | |||||
Asset backed securities | 27,124 | 30,607 | 31,778 | 39,815 | 40,683 | |||||
Other securities | 25,839 | 24,367 | 16,429 | 12,903 | 21,747 | |||||
Total securities | $ | 810,413 | $ | 828,893 | $ | 810,619 | $ | 799,999 | $ | 838,131 |
Less allowance for credit losses (2) | 198 | 174 | 174 | 174 | - | |||||
Net securities | $ | 810,215 | $ | 828,719 | $ | 810,445 | $ | 799,825 | $ | 838,131 |
ANALYSIS OF DEPOSITS | ||||||||||
Deposit mix: | ||||||||||
Noninterest-bearing demand deposits | $ | 1,268,788 | $ | 1,342,273 | $ | 1,258,885 | $ | 1,269,578 | $ | 1,145,378 |
Interest-bearing demand deposits | 3,232,633 | 3,086,711 | 2,976,696 | 2,916,054 | 2,987,469 | |||||
Time deposits | 421,348 | 441,743 | 452,171 | 445,067 | 460,659 | |||||
Brokered deposits | 3 | 1,101 | 1,183 | 1,084 | 5,631 | |||||
Total deposits | $ | 4,922,772 | $ | 4,871,828 | $ | 4,688,935 | $ | 4,631,782 | $ | 4,599,137 |
ANALYSIS OF BORROWINGS | ||||||||||
Borrowings mix: | ||||||||||
Term FHLB advances | $ | - | $ | - | $ | - | $ | - | $ | - |
Overnight FHLB advances (3) | 15,000 | 30,000 | 40,000 | 25,000 | 15,000 | |||||
FRB borrowings | - | - | - | - | - | |||||
Other short-term borrowings | 3,800 | 1,600 | 7,070 | 6,840 | 5,430 | |||||
Subordinated notes | 113,850 | 113,811 | 113,771 | 118,731 | 118,691 | |||||
Junior subordinated debentures | 38,155 | 38,103 | 38,067 | 38,030 | 37,993 | |||||
Total borrowings | $ | 170,805 | $ | 183,514 | $ | 198,908 | $ | 188,601 | $ | 177,114 |
(1) The Company adopted ASU 2016-13 "CECL", effective | ||||||||||
(2) The Company adopted ASU 2016-13 "CECL", effective | ||||||||||
(3) At the most recent quarter-end, the weighted-average rate of these overnight borrowings was 0.31%. | ||||||||||
Consolidated Financial Highlights
(Unaudited)
For the Quarter Ended | |||||||||||||||
2021 | 2021 | 2021 | 2021 | 2020 | |||||||||||
(dollars in thousands, except per share data) | |||||||||||||||
INCOME STATEMENT | |||||||||||||||
Interest income | $ | 52,020 | $ | 51,667 | $ | 48,903 | $ | 47,565 | $ | 49,851 | |||||
Interest expense | 5,507 | 5,438 | 5,387 | 5,590 | 6,144 | ||||||||||
Net interest income | 46,513 | 46,229 | 43,516 | 41,975 | 43,707 | ||||||||||
Provision for credit losses (1) | (3,227 | ) | - | - | 6,713 | 7,080 | |||||||||
Net interest income after provision for loan/lease losses | $ | 49,740 | $ | 46,229 | $ | 43,516 | $ | 35,262 | $ | 36,627 | |||||
Trust department fees | $ | 2,843 | $ | 2,714 | $ | 2,848 | $ | 2,801 | $ | 2,388 | |||||
Investment advisory and management fees | 1,047 | 1,054 | 1,039 | 940 | 926 | ||||||||||
Deposit service fees | 1,644 | 1,588 | 1,492 | 1,408 | 1,875 | ||||||||||
Gain on sales of residential real estate loans | 922 | 954 | 1,184 | 1,337 | 1,462 | ||||||||||
Gain on sales of government guaranteed portions of loans | 227 | - | - | - | 224 | ||||||||||
Swap fee income/capital markets revenue | 12,982 | 24,885 | 9,568 | 13,557 | 21,402 | ||||||||||
Securities gains (losses), net | - | - | (88 | ) | - | 617 | |||||||||
Earnings on bank-owned life insurance | 470 | 446 | 451 | 471 | 461 | ||||||||||
Debit card fees | 1,072 | 1,085 | 1,084 | 975 | 923 | ||||||||||
Correspondent banking fees | 266 | 265 | 269 | 314 | 270 | ||||||||||
Other | 1,512 | 1,661 | 1,449 | 1,686 | 1,469 | ||||||||||
Total noninterest income | $ | 22,985 | $ | 34,652 | $ | 19,296 | $ | 23,489 | $ | 32,017 | |||||
Salaries and employee benefits | $ | 24,809 | $ | 28,207 | $ | 23,044 | $ | 24,847 | $ | 30,446 | |||||
Occupancy and equipment expense | 3,723 | 4,122 | 3,965 | 4,108 | 4,917 | ||||||||||
Professional and data processing fees | 3,866 | 3,568 | 3,702 | 3,443 | 3,871 | ||||||||||
Acquisition costs | 624 | - | - | - | - | ||||||||||
Post-acquisition compensation, transition and integration costs | - | - | - | - | 25 | ||||||||||
Disposition costs | 5 | - | - | 8 | 64 | ||||||||||
1,316 | 1,108 | 986 | 1,065 | 1,272 | |||||||||||
Loan/lease expense | 606 | 308 | 457 | 300 | 465 | ||||||||||
Net cost of (income from) and gains/losses on operations of other real estate | - | (1,346 | ) | (113 | ) | 39 | (4 | ) | |||||||
Advertising and marketing | 1,679 | 1,095 | 853 | 627 | 1,276 | ||||||||||
Bank service charges | 553 | 525 | 572 | 523 | 523 | ||||||||||
Losses on liability extinguishment | - | - | - | - | 1,457 | ||||||||||
Correspondent banking expense | 200 | 201 | 198 | 200 | 205 | ||||||||||
Intangibles amortization | 508 | 508 | 508 | 508 | 521 | ||||||||||
Loss (gain) on sale of subsidiary | - | - | - | - | (147 | ) | |||||||||
Other | 1,523 | 3,091 | 1,503 | 1,560 | 1,473 | ||||||||||
Total noninterest expense | $ | 39,412 | $ | 41,387 | $ | 35,675 | $ | 37,228 | $ | 46,364 | |||||
Net income before income taxes | $ | 33,313 | $ | 39,494 | $ | 27,137 | $ | 21,523 | $ | 22,280 | |||||
Federal and state income tax expense | 6,304 | 7,929 | 4,788 | 3,541 | 4,009 | ||||||||||
Net income | $ | 27,009 | $ | 31,565 | $ | 22,349 | $ | 17,982 | $ | 18,271 | |||||
Basic EPS | $ | 1.73 | $ | 2.02 | $ | 1.41 | $ | 1.14 | $ | 1.16 | |||||
Diluted EPS | $ | 1.71 | $ | 1.99 | $ | 1.39 | $ | 1.12 | $ | 1.14 | |||||
Weighted average common shares outstanding | 15,582,276 | 15,635,123 | 15,813,932 | 15,803,643 | 15,775,596 | ||||||||||
Weighted average common and common equivalent shares outstanding | 15,838,246 | 15,869,798 | 16,045,239 | 16,025,548 | 15,973,054 | ||||||||||
(1) Provision for credit losses only included provision for loans/leases for years prior to 2021. | |||||||||||||||
Consolidated Financial Highlights
(Unaudited)
For Year Ended | ||||||||
2021 | 2020 | |||||||
(dollars in thousands, except per share data) | ||||||||
INCOME STATEMENT | ||||||||
Interest income | $ | 200,155 | $ | 198,373 | ||||
Interest expense | 21,922 | 31,423 | ||||||
Net interest income | 178,233 | 166,950 | ||||||
Provision for credit losses (1) | 3,486 | 55,704 | ||||||
Net interest income after provision for loan/lease losses | $ | 174,747 | $ | 111,246 | ||||
Trust department fees | $ | 11,206 | $ | 9,207 | ||||
Investment advisory and management fees | 4,080 | 5,318 | ||||||
Deposit service fees | 6,132 | 6,041 | ||||||
Gain on sales of residential real estate loans | 4,397 | 4,680 | ||||||
Gain on sales of government guaranteed portions of loans | 227 | 224 | ||||||
Swap fee income/capital markets revenue | 60,992 | 74,821 | ||||||
Securities gains (losses), net | (88 | ) | 2,484 | |||||
Earnings on bank-owned life insurance | 1,838 | 1,904 | ||||||
Debit card fees | 4,216 | 3,402 | ||||||
Correspondent banking fees | 1,114 | 903 | ||||||
Other | 6,308 | 4,814 | ||||||
Total noninterest income | $ | 100,422 | $ | 113,798 | ||||
Salaries and employee benefits | $ | 100,907 | $ | 96,268 | ||||
Occupancy and equipment expense | 15,918 | 16,504 | ||||||
Professional and data processing fees | 14,579 | 14,644 | ||||||
Acquisition costs | 624 | - | ||||||
Post-acquisition compensation, transition and integration costs | - | 214 | ||||||
Disposition costs | 13 | 690 | ||||||
4,475 | 4,164 | |||||||
Loan/lease expense | 1,671 | 1,435 | ||||||
Net cost of (income from) and gains/losses on operations of other real estate | (1,420 | ) | (307 | ) | ||||
Advertising and marketing | 4,254 | 3,260 | ||||||
Bank service charges | 2,173 | 2,016 | ||||||
Losses on liability extinguishment | - | 3,907 | ||||||
Correspondent banking expense | 799 | 838 | ||||||
Intangibles amortization | 2,032 | 2,149 | ||||||
- | 500 | |||||||
Loss on sale of subsidiary | - | 158 | ||||||
Other | 7,677 | 5,315 | ||||||
Total noninterest expense | $ | 153,702 | $ | 151,755 | ||||
Net income before income taxes | $ | 121,467 | $ | 73,289 | ||||
Federal and state income tax expense | 22,562 | 12,707 | ||||||
Net income | $ | 98,905 | $ | 60,582 | ||||
Basic EPS | $ | 6.30 | $ | 3.84 | ||||
Diluted EPS | $ | 6.20 | $ | 3.80 | ||||
Weighted average common shares outstanding | 15,708,744 | 15,771,650 | ||||||
Weighted average common and common equivalent shares outstanding | 15,944,708 | 15,952,637 | ||||||
(1) Provision for credit losses only included provision for loans/leases for years prior to 2021. | ||||||||
Consolidated Financial Highlights
(Unaudited)
As of and for the Quarter Ended | For the Year Ended | |||||||||||||||||||||
2021 | 2021 | 2021 | 2021 | 2020 | 2021 | 2020 | ||||||||||||||||
(dollars in thousands, except per share data) | ||||||||||||||||||||||
COMMON SHARE DATA | ||||||||||||||||||||||
Common shares outstanding | 15,613,460 | 15,590,428 | 15,763,522 | 15,843,732 | 15,805,711 | |||||||||||||||||
Book value per common share (1) | $ | 43.36 | $ | 41.68 | $ | 40.00 | $ | 38.42 | $ | 37.57 | ||||||||||||
Tangible book value per common share (Non-GAAP) (2) | $ | 38.02 | $ | 36.30 | $ | 34.64 | $ | 33.06 | $ | 32.16 | ||||||||||||
Closing stock price | $ | 56.00 | $ | 51.44 | $ | 48.09 | $ | 47.22 | $ | 39.59 | ||||||||||||
Market capitalization | $ | 874,354 | $ | 801,972 | $ | 758,068 | $ | 748,141 | $ | 625,748 | ||||||||||||
Market price / book value | 129.15 | % | 123.42 | % | 120.24 | % | 122.90 | % | 105.38 | % | ||||||||||||
Market price / tangible book value | 147.30 | % | 141.72 | % | 138.83 | % | 142.83 | % | 123.09 | % | ||||||||||||
Earnings per common share (basic) LTM (3) | $ | 6.30 | $ | 5.73 | $ | 4.81 | $ | 4.27 | $ | 3.84 | ||||||||||||
Price earnings ratio LTM (3) | 8.88 x | 8.98 x | 10.00 x | 11.06 x | 10.31 x | |||||||||||||||||
TCE / TA (Non-GAAP) (4) | 9.87 | % | 9.54 | % | 9.51 | % | 9.38 | % | 9.05 | % | ||||||||||||
CONDENSED STATEMENT OF CHANGES IN STOCKHOLDERS' EQUITY | ||||||||||||||||||||||
Beginning balance | $ | 649,814 | $ | 630,476 | $ | 608,719 | $ | 593,793 | $ | 572,613 | ||||||||||||
Cumulative effect from the adoption of ASU 2016-13 "CECL" | - | - | - | (937 | ) | - | ||||||||||||||||
Net income | 27,009 | 31,565 | 22,349 | 17,982 | 18,271 | |||||||||||||||||
Other comprehensive income (loss), net of tax | 295 | (2,546 | ) | 4,179 | (1,751 | ) | 3,157 | |||||||||||||||
Common stock cash dividends declared | (935 | ) | (946 | ) | (951 | ) | (949 | ) | (947 | ) | ||||||||||||
Repurchase and cancellation of shares of common stock as a result of a share repurchase program | - | (9,367 | ) | (4,800 | ) | - | - | |||||||||||||||
Other (5) | 827 | 632 | 980 | 581 | 699 | |||||||||||||||||
Ending balance | $ | 677,010 | $ | 649,814 | $ | 630,476 | $ | 608,719 | $ | 593,793 | ||||||||||||
REGULATORY CAPITAL RATIOS (6): | ||||||||||||||||||||||
Total risk-based capital ratio | 14.92 | % | 14.64 | % | 14.72 | % | 14.85 | % | 14.95 | % | ||||||||||||
Tier 1 risk-based capital ratio | 11.58 | % | 11.26 | % | 11.26 | % | 11.31 | % | 11.34 | % | ||||||||||||
Tier 1 leverage capital ratio | 10.46 | % | 10.28 | % | 10.29 | % | 10.10 | % | 9.49 | % | ||||||||||||
Common equity tier 1 ratio | 10.88 | % | 10.55 | % | 10.52 | % | 10.55 | % | 10.55 | % | ||||||||||||
KEY PERFORMANCE RATIOS AND OTHER METRICS | ||||||||||||||||||||||
Return on average assets (annualized) | 1.76 | % | 2.11 | % | 1.56 | % | 1.27 | % | 1.25 | % | 1.68 | % | 1.08 | % | ||||||||
Return on average total equity (annualized) | 16.23 | % | 19.30 | % | 14.33 | % | 11.91 | % | 12.43 | % | 15.52 | % | 10.70 | % | ||||||||
Net interest margin | 3.29 | % | 3.36 | % | 3.28 | % | 3.26 | % | 3.25 | % | 3.30 | % | 3.28 | % | ||||||||
Net interest margin (TEY) (Non-GAAP)(7) | 3.50 | % | 3.56 | % | 3.46 | % | 3.43 | % | 3.45 | % | 3.49 | % | 3.44 | % | ||||||||
Efficiency ratio (Non-GAAP) (8) | 56.71 | % | 51.17 | % | 56.80 | % | 56.87 | % | 61.23 | % | 55.16 | % | 54.05 | % | ||||||||
Gross loans and leases / total assets | 76.77 | % | 76.48 | % | 75.81 | % | 76.95 | % | 74.52 | % | 76.77 | % | 74.81 | % | ||||||||
Gross loans and leases / total deposits | 95.07 | % | 94.41 | % | 94.22 | % | 94.15 | % | 92.43 | % | 95.07 | % | 92.43 | % | ||||||||
Effective tax rate | 18.92 | % | 20.08 | % | 17.64 | % | 16.45 | % | 17.99 | % | 18.57 | % | 17.34 | % | ||||||||
Full-time equivalent employees | 726 | 724 | 725 | 720 | 714 | 726 | 714 | |||||||||||||||
AVERAGE BALANCES | ||||||||||||||||||||||
Assets | $ | 6,121,446 | $ | 5,982,583 | $ | 5,761,314 | $ | 5,691,097 | $ | 5,842,299 | $ | 5,890,042 | $ | 5,604,074 | ||||||||
Loans/leases | 4,608,111 | 4,529,136 | 4,412,322 | 4,271,782 | 4,250,951 | 4,456,461 | 4,031,567 | |||||||||||||||
Deposits | 4,983,869 | 4,779,876 | 4,709,732 | 4,628,889 | 4,742,602 | 4,776,575 | 4,540,266 | |||||||||||||||
Total stockholders' equity | 665,698 | 654,186 | 624,000 | 604,012 | 588,042 | 637,190 | 566,240 | |||||||||||||||
(1) Includes accumulated other comprehensive income (loss). | ||||||||||||||||||||||
(2) Includes accumulated other comprehensive income (loss) and excludes intangible assets (Non-GAAP). | ||||||||||||||||||||||
(3) LTM : Last twelve months. | ||||||||||||||||||||||
(4) TCE / TCA : tangible common equity / total tangible assets. See GAAP to non-GAAP reconciliations. | ||||||||||||||||||||||
(5) Includes mostly common stock issued for options exercised and the employee stock purchase plan, as well as stock-based compensation. | ||||||||||||||||||||||
(6) Ratios for the current quarter are subject to change upon final calculation for regulatory filings due after earnings release. | ||||||||||||||||||||||
(7) TEY : Tax equivalent yield. See GAAP to Non-GAAP reconciliations. | ||||||||||||||||||||||
(8) See GAAP to Non-GAAP reconciliations. | ||||||||||||||||||||||
Consolidated Financial Highlights
(Unaudited)
ANALYSIS OF NET INTEREST INCOME AND MARGIN | ||||||||||||||||||||
For the Quarter Ended | ||||||||||||||||||||
Average Balance | Interest Earned or Paid | Average Yield or Cost | Average Balance | Interest Earned or Paid | Average Yield or Cost | Average Balance | Interest Earned or Paid | Average Yield or Cost | ||||||||||||
(dollars in thousands) | ||||||||||||||||||||
Fed funds sold | $ | 3,334 | $ | 1 | 0.09 | % | $ | 3,030 | $ | 1 | 0.10 | % | $ | 1,216 | $ | 1 | 0.08 | % | ||
Interest-bearing deposits at financial institutions | 161,514 | 63 | 0.15 | % | 99,024 | 39 | 0.16 | % | 279,024 | 82 | 0.12 | % | ||||||||
Securities (1) | 810,334 | 7,514 | 3.70 | % | 799,471 | 7,646 | 3.82 | % | 795,696 | 7,207 | 3.62 | % | ||||||||
Restricted investment securities | 18,929 | 231 | 4.78 | % | 20,910 | 262 | 4.97 | % | 18,790 | 236 | 4.92 | % | ||||||||
Loans (1) | 4,608,111 | 47,010 | 4.05 | % | 4,529,136 | 46,427 | 4.07 | % | 4,250,951 | 44,956 | 4.21 | % | ||||||||
Total earning assets (1) | $ | 5,602,222 | $ | 54,819 | 3.89 | % | $ | 5,451,571 | $ | 54,375 | 3.96 | % | $ | 5,345,677 | $ | 52,482 | 3.91 | % | ||
Interest-bearing deposits | $ | 3,231,477 | $ | 2,401 | 0.29 | % | $ | 3,041,941 | $ | 2,183 | 0.28 | % | $ | 3,033,119 | $ | 2,060 | 0.27 | % | ||
Time deposits | 442,835 | 963 | 0.86 | % | 461,210 | 1,090 | 0.94 | % | 530,813 | 1,752 | 1.31 | % | ||||||||
Short-term borrowings | 2,484 | 1 | 0.12 | % | 6,858 | 1 | 0.10 | % | 19,115 | 3 | 0.17 | % | ||||||||
4,141 | 3 | 0.31 | % | 54,293 | 41 | 0.30 | % | 33,207 | 80 | 0.94 | % | |||||||||
Subordinated debentures | 113,829 | 1,554 | 5.46 | % | 113,789 | 1,554 | 5.46 | % | 118,612 | 1,678 | 5.66 | % | ||||||||
Junior subordinated debentures | 38,132 | 584 | 5.99 | % | 38,084 | 569 | 5.84 | % | 37,969 | 571 | 5.88 | % | ||||||||
Total interest-bearing liabilities | $ | 3,832,898 | $ | 5,506 | 0.57 | % | $ | 3,716,175 | $ | 5,438 | 0.58 | % | $ | 3,772,835 | $ | 6,144 | 0.64 | % | ||
Net interest income (1) | $ | 49,313 | $ | 48,937 | $ | 46,338 | ||||||||||||||
Net interest margin (2) | 3.29 | % | 3.36 | % | 3.25 | % | ||||||||||||||
Net interest margin (TEY) (Non-GAAP) (1) (2) (3) | 3.50 | % | 3.56 | % | 3.45 | % | ||||||||||||||
Adjusted net interest margin (TEY) (Non-GAAP) (1) (2) (3) | 3.49 | % | 3.53 | % | 3.37 | % | ||||||||||||||
For the Year Ended | ||||||||||||||||||||
Average Balance | Interest Earned or Paid | Average Yield or Cost | Average Balance | Interest Earned or Paid | Average Yield or Cost | |||||||||||||||
(dollars in thousands) | ||||||||||||||||||||
Fed funds sold | $ | 1,964 | $ | 2 | 0.10 | % | $ | 2,398 | $ | 19 | 0.79 | % | ||||||||
Interest-bearing deposits at financial institutions | 116,421 | 173 | 0.15 | % | 315,616 | 669 | 0.21 | % | ||||||||||||
Securities (1) | 804,636 | 29,504 | 3.66 | % | 715,808 | 26,773 | 3.74 | % | ||||||||||||
Restricted investment securities | 19,386 | 950 | 4.83 | % | 20,270 | 1,031 | 5.00 | % | ||||||||||||
Loans (1) | 4,456,461 | 179,738 | 4.03 | % | 4,031,567 | 178,097 | 4.42 | % | ||||||||||||
Total earning assets (1) | $ | 5,398,868 | $ | 210,367 | 3.90 | % | $ | 5,085,659 | $ | 206,589 | 4.06 | % | ||||||||
Interest-bearing deposits | $ | 3,058,917 | $ | 8,621 | 0.28 | % | $ | 2,797,669 | $ | 11,980 | 0.43 | % | ||||||||
Time deposits | 448,191 | 4,679 | 1.04 | % | 690,222 | 11,289 | 1.64 | % | ||||||||||||
Short-term borrowings | 6,281 | 5 | 0.08 | % | 22,625 | 84 | 0.37 | % | ||||||||||||
23,389 | 70 | 0.30 | % | 74,167 | 1,087 | 1.44 | % | |||||||||||||
Subordinated debentures | 115,398 | 6,272 | 5.44 | % | 83,404 | 4,697 | 5.63 | % | ||||||||||||
Junior subordinated debentures | 38,067 | 2,276 | 5.90 | % | 37,913 | 2,286 | 5.93 | % | ||||||||||||
Total interest-bearing liabilities | $ | 3,690,243 | $ | 21,923 | 0.59 | % | $ | 3,706,000 | $ | 31,423 | 0.85 | % | ||||||||
Net interest income (1) | $ | 188,444 | $ | 175,166 | ||||||||||||||||
Net interest margin (2) | 3.30 | % | 3.28 | % | ||||||||||||||||
Net interest margin (TEY) (Non-GAAP) (1) (2) (3) | 3.49 | % | 3.44 | % | ||||||||||||||||
Adjusted net interest margin (TEY) (Non-GAAP) (1) (2) (3) | 3.47 | % | 3.38 | % | ||||||||||||||||
(1) Includes nontaxable securities and loans. Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21% tax rate. | ||||||||||||||||||||
(2) See "Select Financial Data - Subsidiaries" for a breakdown of amortization/accretion included in net interest margin for each period presented. | ||||||||||||||||||||
(3) TEY : Tax equivalent yield. See GAAP to Non-GAAP reconciliations. | ||||||||||||||||||||
Consolidated Financial Highlights
(Unaudited)
As of | |||||||||||||||
2021 | 2021 | 2021 | 2021 | 2020 | |||||||||||
(dollars in thousands, except per share data) | |||||||||||||||
ROLLFORWARD OF ALLOWANCE FOR CREDIT LOSSES ON LOANS/LEASES | |||||||||||||||
Beginning balance | $ | 80,670 | $ | 78,894 | $ | 81,831 | $ | 84,376 | $ | 79,582 | |||||
Adoption of ASU 2016-13 "CECL" - Day 1 adjustment | - | - | - | (8,102 | ) | - | |||||||||
Provision charged to expense | (2,045 | ) | 1,895 | (141 | ) | 5,993 | 7,080 | ||||||||
Loans/leases charged off | (375 | ) | (287 | ) | (3,163 | ) | (713 | ) | (2,779 | ) | |||||
Recoveries on loans/leases previously charged off | 471 | 168 | 367 | 277 | 493 | ||||||||||
Ending balance | $ | 78,721 | $ | 80,670 | $ | 78,894 | $ | 81,831 | $ | 84,376 | |||||
NONPERFORMING ASSETS | |||||||||||||||
Nonaccrual loans/leases | $ | 2,759 | $ | 6,818 | $ | 8,230 | $ | 13,863 | $ | 13,940 | |||||
Accruing loans/leases past due 90 days or more | 1 | 14 | 57 | - | 3 | ||||||||||
Total nonperforming loans/leases | 2,760 | 6,832 | 8,287 | 13,863 | 13,943 | ||||||||||
Other real estate owned | - | - | 1,820 | 173 | 20 | ||||||||||
Other repossessed assets | - | - | - | 50 | 135 | ||||||||||
Total nonperforming assets | $ | 2,760 | $ | 6,832 | $ | 10,107 | $ | 14,086 | $ | 14,098 | |||||
ASSET QUALITY RATIOS | |||||||||||||||
Nonperforming assets / total assets | 0.05 | % | 0.11 | % | 0.17 | % | 0.25 | % | 0.25 | % | |||||
ACL for loans and leases / total loans/leases (1) | 1.68 | % | 1.75 | % | 1.79 | % | 1.88 | % | 1.98 | % | |||||
ACL for loans and leases / nonperforming loans/leases (1) | 2852.21 | % | 1180.77 | % | 952.02 | % | 590.28 | % | 605.15 | % | |||||
Net charge-offs as a % of average loans/leases | 0.00 | % | 0.00 | % | 0.06 | % | 0.01 | % | 0.05 | % | |||||
INTERNALLY ASSIGNED RISK RATING (2) | |||||||||||||||
Special mention (rating 6) | $ | 62,510 | $ | 58,634 | $ | 51,613 | $ | 53,466 | $ | 71,482 | |||||
Substandard (rating 7) | 53,159 | 59,402 | 79,719 | 84,982 | 66,081 | ||||||||||
Doubtful (rating 8) | - | - | - | - | - | ||||||||||
$ | 115,669 | $ | 118,036 | $ | 131,332 | $ | 138,448 | $ | 137,563 | ||||||
Criticized loans (3) | $ | 115,669 | $ | 118,036 | $ | 131,332 | $ | 138,448 | $ | 137,563 | |||||
Classified loans (4) | 53,159 | 59,402 | 79,719 | 84,982 | 66,081 | ||||||||||
Criticized loans as a % of total loans/leases | 2.47 | % | 2.57 | % | 2.97 | % | 3.17 | % | 3.24 | % | |||||
Classified loans as a % of total loans/leases | 1.14 | % | 1.29 | % | 1.80 | % | 1.95 | % | 1.55 | % | |||||
(1) Prior to adoption of ASU 2016-13 "CECL", upon acquisition and per GAAP, acquired loans were recorded at market value, which eliminates the allowance and impacts this ratio. There have been no acquisitions since adopting ASU 2016-13 "CECL", which requires an allowance to be established on acquired loans. | |||||||||||||||
(2) Amounts exclude the government guaranteed portion, if any. The Company assigns internal risk ratings of Pass (Rating 2) for the government guaranteed portion. | |||||||||||||||
(3) Criticized loans are defined as C&I and CRE loans with internally assigned risk ratings of 6, 7, or 8, regardless of performance. | |||||||||||||||
(4) Classified loans are defined as C&I and CRE loans with internally assigned risk ratings of 7 or 8, regardless of performance. | |||||||||||||||
Consolidated Financial Highlights
(Unaudited)
For the Quarter Ended | For the Year Ended | |||||||||||||||||||
SELECT FINANCIAL DATA - SUBSIDIARIES | 2021 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||
(dollars in thousands) | ||||||||||||||||||||
TOTAL ASSETS | ||||||||||||||||||||
$ | 2,142,345 | $ | 2,106,631 | $ | 2,153,773 | |||||||||||||||
m2 | 266,588 | 259,543 | 243,090 | |||||||||||||||||
2,030,279 | 2,019,018 | 1,957,695 | ||||||||||||||||||
1,168,606 | 1,140,933 | 1,004,183 | ||||||||||||||||||
882,885 | 880,143 | 779,955 | ||||||||||||||||||
TOTAL DEPOSITS | ||||||||||||||||||||
$ | 1,849,313 | $ | 1,797,969 | $ | 1,866,635 | |||||||||||||||
1,504,992 | 1,526,144 | 1,378,108 | ||||||||||||||||||
1,020,548 | 994,042 | 875,400 | ||||||||||||||||||
590,164 | 605,947 | 569,036 | ||||||||||||||||||
TOTAL LOANS & LEASES | ||||||||||||||||||||
$ | 1,650,234 | $ | 1,636,170 | $ | 1,556,762 | |||||||||||||||
m2 | 270,274 | 262,962 | 244,325 | |||||||||||||||||
1,437,808 | 1,410,160 | 1,362,056 | ||||||||||||||||||
866,952 | 834,533 | 707,681 | ||||||||||||||||||
725,139 | 718,867 | 624,629 | ||||||||||||||||||
TOTAL LOANS & LEASES / TOTAL DEPOSITS | ||||||||||||||||||||
89 | % | 91 | % | 83 | % | |||||||||||||||
96 | % | 92 | % | 99 | % | |||||||||||||||
85 | % | 84 | % | 81 | % | |||||||||||||||
123 | % | 119 | % | 110 | % | |||||||||||||||
TOTAL LOANS & LEASES / TOTAL ASSETS | ||||||||||||||||||||
77 | % | 78 | % | 72 | % | |||||||||||||||
71 | % | 70 | % | 70 | % | |||||||||||||||
74 | % | 73 | % | 70 | % | |||||||||||||||
82 | % | 82 | % | 80 | % | |||||||||||||||
ACL ON LOANS/LEASES AS A PERCENTAGE OF LOANS/LEASES | ||||||||||||||||||||
1.82 | % | 1.88 | % | 1.95 | % | |||||||||||||||
m2 | 3.55 | % | 3.78 | % | 2.63 | % | ||||||||||||||
1.73 | % | 1.85 | % | 2.35 | % | |||||||||||||||
1.69 | % | 1.73 | % | 2.02 | % | |||||||||||||||
1.27 | % | 1.30 | % | 1.23 | % | |||||||||||||||
RETURN ON AVERAGE ASSETS | ||||||||||||||||||||
1.86 | % | 1.66 | % | 1.52 | % | 1.63 | % | 0.99 | % | |||||||||||
2.56 | % | 3.93 | % | 0.59 | % | 2.85 | % | 1.81 | % | |||||||||||
1.50 | % | 1.17 | % | 3.25 | % | 1.17 | % | 1.25 | % | |||||||||||
1.82 | % | 2.09 | % | 3.02 | % | 1.73 | % | 1.74 | % | |||||||||||
NET INTEREST MARGIN PERCENTAGE (3) | ||||||||||||||||||||
3.48 | % | 3.47 | % | 3.19 | % | 3.36 | % | 3.17 | % | |||||||||||
3.66 | % | 3.68 | % | 3.51 | % | 3.62 | % | 3.47 | % | |||||||||||
3.52 | % | 3.78 | % | 3.77 | % | 3.66 | % | 3.89 | % | |||||||||||
3.49 | % | 3.67 | % | 4.03 | % | 3.56 | % | 3.87 | % | |||||||||||
ACQUISITION-RELATED AMORTIZATION/ACCRETION INCLUDED IN NET | ||||||||||||||||||||
INTEREST MARGIN, NET | ||||||||||||||||||||
$ | 21 | $ | 64 | $ | 103 | $ | 190 | $ | 430 | |||||||||||
30 | 52 | 132 | 468 | 325 | ||||||||||||||||
89 | 376 | 880 | 844 | 2,671 | ||||||||||||||||
(52 | ) | (36 | ) | (38 | ) | (162 | ) | (155 | ) | |||||||||||
(1) | ||||||||||||||||||||
(2) Prior to adoption of ASU 2016-13 "CECL", upon acquisition and per GAAP, acquired loans were recorded at market value, which eliminates the allowance and impacts this ratio. There have been no acquisitions since adopting ASU 2016-13 "CECL", which requires an allowance to be established on acquired loans. | ||||||||||||||||||||
(3) Includes nontaxable securities and loans. Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21% tax rate. | ||||||||||||||||||||
(4) | ||||||||||||||||||||
(5) | ||||||||||||||||||||
(6) | ||||||||||||||||||||
(7) Relates to the trust preferred securities acquired as part of the | ||||||||||||||||||||
Consolidated Financial Highlights
(Unaudited)
As of | ||||||||||||||||||||
GAAP TO NON-GAAP RECONCILIATIONS | 2021 | 2021 | 2021 | 2021 | 2020 | |||||||||||||||
(dollars in thousands, except per share data) | ||||||||||||||||||||
TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS RATIO (1) | ||||||||||||||||||||
Stockholders' equity (GAAP) | $ | 677,010 | $ | 649,814 | $ | 630,476 | $ | 608,719 | $ | 593,793 | ||||||||||
Less: Intangible assets | 83,415 | 83,923 | 84,431 | 84,939 | 85,447 | |||||||||||||||
Tangible common equity (non-GAAP) | $ | 593,595 | $ | 565,891 | $ | 546,045 | $ | 523,780 | $ | 508,346 | ||||||||||
Total assets (GAAP) | $ | 6,096,132 | $ | 6,014,508 | $ | 5,827,412 | $ | 5,667,394 | $ | 5,705,043 | ||||||||||
Less: Intangible assets | 83,415 | 83,923 | 84,431 | 84,939 | 85,447 | |||||||||||||||
Tangible assets (non-GAAP) | $ | 6,012,717 | $ | 5,930,585 | $ | 5,742,981 | $ | 5,582,455 | $ | 5,619,596 | ||||||||||
Tangible common equity to tangible assets ratio (non-GAAP) | 9.87 | % | 9.54 | % | 9.51 | % | 9.38 | % | 9.05 | % | ||||||||||
(1) This ratio is a non-GAAP financial measure. The Company's management believes that this measurement is important to many investors in the marketplace who are interested in changes period-to-period in common equity. In compliance with applicable rules of the | ||||||||||||||||||||
Consolidated Financial Highlights
(Unaudited)
GAAP TO NON-GAAP RECONCILIATIONS | For the Quarter Ended | For the Year Ended | ||||||||||||||||||||||||||
ADJUSTED NET INCOME (1) | 2021 | 2021 | 2021 | 2021 | 2020 | 2021 | 2020 | |||||||||||||||||||||
(dollars in thousands, except per share data) | ||||||||||||||||||||||||||||
Net income (GAAP) | $ | 27,009 | $ | 31,565 | $ | 22,349 | $ | 17,982 | $ | 18,271 | $ | 98,905 | $ | 60,582 | ||||||||||||||
Less non-core items (post-tax) (2): | ||||||||||||||||||||||||||||
Income: | ||||||||||||||||||||||||||||
Securities gains(losses), net | - | - | (69 | ) | - | 487 | $ | (69 | ) | $ | 1,962 | |||||||||||||||||
Mark to Market gains (losses) on derivatives, net | 77 | (13 | ) | (58 | ) | 129 | - | 135 | $ | - | ||||||||||||||||||
Gain on sale of loan | - | 28 | - | - | - | 28 | ||||||||||||||||||||||
Loss on syndicated loan | - | - | - | - | (210 | ) | - | $ | (210 | ) | ||||||||||||||||||
Total non-core income (non-GAAP) | $ | 77 | $ | 15 | $ | (127 | ) | $ | 129 | $ | 277 | $ | 94 | $ | 1,752 | |||||||||||||
Expense: | ||||||||||||||||||||||||||||
Losses on debt extinguishment, net | $ | - | $ | - | $ | - | $ | - | $ | 1,151 | $ | - | $ | 3,087 | ||||||||||||||
- | - | - | - | - | - | 500 | ||||||||||||||||||||||
Disposition costs | 3 | - | - | 7 | 51 | 10 | 545 | |||||||||||||||||||||
Acquisition costs (4) | 493 | - | - | - | - | 493 | - | |||||||||||||||||||||
Separation agreement | - | - | - | 734 | - | 734 | - | |||||||||||||||||||||
Post-acquisition compensation, transition and integration costs | - | - | - | - | 20 | - | 169 | |||||||||||||||||||||
Loss on sale of subsidiary | - | - | - | - | (102 | ) | - | 110 | ||||||||||||||||||||
Total non-core expense (non-GAAP) | $ | 496 | $ | - | $ | - | $ | 741 | $ | 1,119 | $ | 1,237 | $ | 4,411 | ||||||||||||||
Adjusted net income (non-GAAP) (1) | $ | 27,428 | $ | 31,550 | $ | 22,476 | $ | 18,594 | $ | 19,113 | $ | 100,048 | $ | 63,241 | ||||||||||||||
ADJUSTED EARNINGS PER COMMON SHARE (1) | ||||||||||||||||||||||||||||
Adjusted net income (non-GAAP) (from above) | $ | 27,428 | $ | 31,550 | $ | 22,476 | $ | 18,594 | $ | 19,113 | $ | 100,048 | $ | 63,241 | ||||||||||||||
Weighted average common shares outstanding | 15,582,276 | 15,635,123 | 15,813,932 | 15,803,643 | 15,775,596 | 15,708,744 | 15,771,650 | |||||||||||||||||||||
Weighted average common and common equivalent shares outstanding | 15,838,246 | 15,869,798 | 16,045,239 | 16,025,548 | 15,973,054 | 15,944,708 | 15,952,637 | |||||||||||||||||||||
Adjusted earnings per common share (non-GAAP): | ||||||||||||||||||||||||||||
Basic | $ | 1.76 | $ | 2.02 | $ | 1.42 | $ | 1.18 | $ | 1.21 | $ | 6.37 | $ | 4.01 | ||||||||||||||
Diluted | $ | 1.73 | $ | 1.99 | $ | 1.40 | $ | 1.16 | $ | 1.20 | $ | 6.27 | $ | 3.96 | ||||||||||||||
ADJUSTED RETURN ON AVERAGE ASSETS (1) | ||||||||||||||||||||||||||||
Adjusted net income (non-GAAP) (from above) | $ | 27,428 | $ | 31,550 | $ | 22,476 | $ | 18,594 | $ | 19,113 | $ | 100,048 | $ | 63,241 | ||||||||||||||
Average Assets | $ | 6,121,446 | $ | 5,982,583 | $ | 5,761,314 | $ | 5,691,097 | $ | 5,842,299 | $ | 5,890,042 | $ | 5,604,074 | ||||||||||||||
Adjusted return on average assets (annualized) (non-GAAP) | 1.79 | % | 2.11 | % | 1.56 | % | 1.31 | % | 1.31 | % | 1.70 | % | 1.13 | % | ||||||||||||||
NET INTEREST MARGIN (TEY) (4) | ||||||||||||||||||||||||||||
Net interest income (GAAP) | $ | 46,513 | $ | 46,229 | $ | 43,516 | $ | 41,975 | $ | 43,707 | $ | 178,233 | $ | 166,950 | ||||||||||||||
Plus: Tax equivalent adjustment (3) | 2,800 | 2,708 | 2,444 | 2,267 | 2,631 | 10,211 | 8,216 | |||||||||||||||||||||
Net interest income - tax equivalent (Non-GAAP) | $ | 49,313 | $ | 48,937 | $ | 45,960 | $ | 44,242 | $ | 46,338 | $ | 188,444 | $ | 175,166 | ||||||||||||||
Less: Acquisition accounting net accretion | 88 | 456 | 291 | 504 | 1,077 | 1,340 | 3,271 | |||||||||||||||||||||
Adjusted net interest income | $ | 49,225 | $ | 48,481 | $ | 45,669 | $ | 43,738 | $ | 45,261 | $ | 187,104 | $ | 171,895 | ||||||||||||||
Average earning assets | $ | 5,602,222 | $ | 5,451,571 | $ | 5,320,881 | $ | 5,218,198 | $ | 5,345,677 | $ | 5,398,868 | $ | 5,085,659 | ||||||||||||||
Net interest margin (GAAP) | 3.29 | % | 3.36 | % | 3.28 | % | 3.26 | % | 3.25 | % | 3.30 | % | 3.28 | % | ||||||||||||||
Net interest margin (TEY) (Non-GAAP) | 3.50 | % | 3.56 | % | 3.46 | % | 3.43 | % | 3.45 | % | 3.49 | % | 3.44 | % | ||||||||||||||
Adjusted net interest margin (TEY) (Non-GAAP) | 3.49 | % | 3.53 | % | 3.44 | % | 3.40 | % | 3.37 | % | 3.47 | % | 3.38 | % | ||||||||||||||
EFFICIENCY RATIO (5) | ||||||||||||||||||||||||||||
Noninterest expense (GAAP) | $ | 39,412 | $ | 41,387 | $ | 35,675 | $ | 37,228 | $ | 46,364 | $ | 153,702 | $ | 151,755 | ||||||||||||||
Net interest income (GAAP) | $ | 46,513 | $ | 46,229 | $ | 43,516 | $ | 41,975 | $ | 43,707 | $ | 178,233 | $ | 166,950 | ||||||||||||||
Noninterest income (GAAP) | 22,985 | 34,652 | 19,296 | 23,489 | 32,017 | 100,422 | 113,798 | |||||||||||||||||||||
Total income | $ | 69,498 | $ | 80,881 | $ | 62,812 | $ | 65,464 | $ | 75,724 | $ | 278,655 | $ | 280,748 | ||||||||||||||
Efficiency ratio (noninterest expense/total income) (Non-GAAP) | 56.71 | % | 51.17 | % | 56.80 | % | 56.87 | % | 61.23 | % | 55.16 | % | 54.05 | % | ||||||||||||||
ALLOWANCE FOR CREDIT LOSSES ON LOANS/LEASES TO TOTAL LOANS/LEASES, EXCLUDING PPP LOANS (6) | ||||||||||||||||||||||||||||
Allowance for credit losses on loans and leases | $ | 78,721 | $ | 80,670 | $ | 78,894 | $ | 81,831 | $ | 84,376 | $ | 78,721 | $ | 84,376 | ||||||||||||||
Total loans and leases | $ | 4,680,132 | $ | 4,599,730 | $ | 4,417,705 | $ | 4,361,051 | $ | 4,251,129 | $ | 4,680,132 | $ | 4,251,129 | ||||||||||||||
Less: PPP loans | 28,181 | 83,575 | 147,506 | 243,860 | 273,146 | 28,181 | 273,146 | |||||||||||||||||||||
Total loans and leases, excluding PPP loans | $ | 4,651,951 | $ | 4,516,155 | $ | 4,270,199 | $ | 4,117,191 | $ | 3,977,983 | $ | 4,651,951 | $ | 3,977,983 | ||||||||||||||
Allowance for credit losses on loans and leases to total loans and leases, excluding PPP loans | 1.69 | % | 1.79 | % | 1.85 | % | 1.99 | % | 2.12 | % | 1.69 | % | 2.12 | % | ||||||||||||||
LOAN GROWTH ANNUALIZED, EXCLUDING PPP LOANS | ||||||||||||||||||||||||||||
Total loans and leases | $ | 4,680,132 | $ | 4,599,730 | $ | 4,417,705 | $ | 4,361,051 | $ | 4,251,129 | $ | 4,680,132 | $ | 4,251,129 | ||||||||||||||
Less: PPP loans | 28,181 | 83,575 | 147,506 | 243,860 | 273,146 | 28,181 | 273,146 | |||||||||||||||||||||
Total loans and leases, excluding PPP loans | $ | 4,651,951 | $ | 4,516,155 | $ | 4,270,199 | $ | 4,117,191 | $ | 3,977,983 | $ | 4,651,951 | $ | 3,977,983 | ||||||||||||||
Loan growth annualized, excluding PPP loans | 12.03 | % | 23.04 | % | 14.87 | % | 14.00 | % | 9.00 | % | 16.94 | % | 7.80 | % | ||||||||||||||
(1) Adjusted net income, Adjusted net income attributable to | ||||||||||||||||||||||||||||
(2) Nonrecurring items (post-tax) are calculated using an estimated effective tax rate of 21% with the exception of goodwill impairment which is not deductible for tax and gain/loss on sale of assets and liabilities of subsidiary has an estimated effective tax rate of 30.5%. | ||||||||||||||||||||||||||||
(3) Interest earned and yields on nontaxable securities and loans are determined on a tax equivalent basis using a 21%. | ||||||||||||||||||||||||||||
(4) Net interest margin (TEY) is a non-GAAP financial measure. The Company's management utilizes this measurement to take into account the tax benefit associated with certain loans and securities. It is also standard industry practice to measure net interest margin using tax-equivalent measures. In compliance with applicable rules of the | ||||||||||||||||||||||||||||
(5) Efficiency ratio is a non-GAAP measure. The Company's management utilizes this ratio to compare to industry peers. The ratio is used to calculate overhead as a percentage of revenue. In compliance with the applicable rules of the | ||||||||||||||||||||||||||||
(6) Allowance for credit losses on loans and leases to total loans and leases, excluding PPP loans is a non-GAAP measure. The Company's management utilizes this ratio to remove from the allowance calculation the impact of PPP loans which are fully guaranteed by the federal government and for which these loans have no allowance for loan and lease loss allocation. | ||||||||||||||||||||||||||||
Source:
2022 GlobeNewswire, Inc., source