Fulton Financial Reports Second Quarter Earnings of $40 Million, or $0.23 per Share
/EINPresswire.com/ -- LANCASTER, PA -- (Marketwired) -- 07/19/16 -- Fulton Financial Corporation (NASDAQ: FULT)
- Diluted earnings per share for the second quarter of 2016 were 23 cents, a 4.5 percent increase from first quarter of 2016 and a 9.5 percent increase from the second quarter of 2015. Pre-provision net revenue of $53.3 million was 4.9 percent higher than the first quarter of 2016 and 9.7 percent higher than the second quarter of 2015.
- Net interest income for the second quarter of 2016 was flat compared to the first quarter of 2016 and increased $6.0 million, or 4.9 percent, compared to the second quarter of 2015.
- Net interest margin decreased three basis points to 3.20 percent compared to the first quarter of 2016, and was unchanged compared to the second quarter of 2015.
- Loans at June 30, 2016 increased $284.5 million, or 2.1 percent, compared to March 31, 2016 and $910.9 million, or 6.9 percent, compared to June 30, 2015. Average loans for the second quarter of 2016 increased 0.8 percent and 5.9 percent compared to the first quarter of 2016 and the second quarter of 2015, respectively.
- Deposits at June 30, 2016 decreased $111.7 million, or 0.8 percent, compared to March 31, 2016 and increased $786.9 million, or 5.8 percent, compared to June 30, 2015. Average deposits for the second quarter of 2016 increased 1.1 percent compared to the first quarter of 2016, and increased 6.5 percent, compared to the second quarter of 2015.
- The provision for credit losses in the second quarter of 2016 was $2.5 million, compared to a $1.5 million provision in the first quarter of 2016 and $2.2 million provision in the second quarter of 2015.
- Non-interest income, excluding investment securities gains, increased $3.9 million, or 9.2 percent, in comparison to the first quarter of 2016, and increased $2.0 million, or 4.5 percent, in comparison to the second quarter of 2015.
- Non-interest expense increased $1.2 million, or 1.0 percent, compared to the first quarter of 2016 and $3.3 million, or 2.8 percent, compared to the second quarter of 2015.
Fulton Financial Corporation (NASDAQ: FULT) reported net income of $39.8 million, or 23 cents per diluted share, for the second quarter of 2016.
"We were pleased with the second quarter results as we were able to grow earnings per share by 4.5 percent linked quarter and 9.5 percent year over year," said E. Philip Wenger, Chairman, President and CEO. "After a good first quarter, we saw meaningful loan growth in the second quarter, with favorable credit conditions, combined with strong noninterest income growth and prudent expense management."
Net Interest Income and Margin
Net interest income for the second quarter of 2016 decreased $138,000, or 0.1 percent, from the first quarter of 2016. Net interest margin decreased three basis points, or 0.9 percent, to 3.20 percent in the second quarter of 2016, from 3.23 percent in the first quarter of 2016. The average yield on interest-earning assets decreased three basis points, while the average cost of interest-bearing liabilities remained unchanged, during the second quarter of 2016 in comparison to the first quarter of 2016.
Average Balance Sheet
Total average assets for the second quarter of 2016 were $18.2 billion, an increase of $179.3 million from the first quarter of 2016. Average loans, net of unearned income, increased $112.6 million, or 0.8 percent, in comparison to the first quarter of 2016. Average loans and yields, by type, for the second quarter of 2016 in comparison to the first quarter of 2016, are summarized in the following table:
Increase
Three Months Ended (decrease)
----------------------------------------
June 30, 2016 March 31, 2016 in Balance
------------------- ------------------- ---------------
Yield Yield
Balance (1) Balance (1) $ %
----------- ------- ----------- ------- -------- -----
(dollars in thousands)
Average Loans,
net of unearned
income, by
type:
Real estate -
commercial
mortgage $ 5,557,680 4.00% $ 5,487,421 4.03% $ 70,259 1.3%
Commercial -
industrial,
financial and
agricultural 4,080,524 3.81% 4,095,268 3.79% (14,744) (0.4%)
Real estate -
home equity 1,656,140 4.10% 1,674,032 4.10% (17,892) (1.1%)
Real estate -
residential
mortgage 1,399,851 3.78% 1,381,409 3.78% 18,442 1.3%
Real estate -
construction 820,881 3.81% 792,014 3.82% 28,867 3.6%
Consumer 272,293 5.37% 263,295 5.53% 8,998 3.4%
Leasing and
other 178,655 6.22% 159,981 7.46% 18,674 11.7%
----------- ------- ----------- ------- -------- -----
Total Average
Loans, net of
unearned
income $13,966,024 3.98% $13,853,420 4.00% $112,604 0.8%
=========== ======= =========== ======= ======== =====
(1) Presented on a fully-taxable equivalent basis using a 35% Federal tax
rate and statutory interest expense disallowances.
Total average liabilities increased $148.2 million, or 0.9 percent, from the first quarter of 2016, while average deposits increased $159.4 million, or 1.1 percent. Average deposits and interest rates, by type, for the second quarter of 2016 in comparison to the first quarter of 2016, are summarized in the following table:
Increase
Three Months Ended (decrease)
----------------------------------------
June 30, 2016 March 31, 2016 in Balance
------------------- ------------------- ---------------
Balance Rate Balance Rate $ %
----------- ------- ----------- ------- -------- -----
(dollars in thousands)
Average
Deposits, by
type:
Noninterest-
bearing
demand $ 4,077,642 -% $ 3,967,887 -% $109,755 2.8%
Interest-
bearing
demand 3,454,031 0.18% 3,438,355 0.17% 15,676 0.5%
Savings
deposits 3,989,988 0.19% 3,932,824 0.18% 57,164 1.5%
----------- ------- ----------- ------- -------- -----
Total average
demand and
savings 11,521,661 0.12% 11,339,066 0.12% 182,595 1.6%
Time deposits 2,844,434 1.06% 2,867,651 1.04% (23,217) (0.8%)
----------- ------- ----------- ------- -------- -----
Total Average
Deposits $14,366,095 0.30% $14,206,717 0.30% $159,378 1.1%
=========== ======= =========== ======= ======== =====
Asset Quality
Non-performing assets were $139.7 million, or 0.76 percent of total assets, at June 30, 2016, compared to $148.1 million, or 0.82 percent of total assets, at March 31, 2016 and $162.3 million, or 0.93 percent of total assets, at June 30, 2015.
Annualized net charge-offs for the quarter ended June 30, 2016 were 0.10 percent of total average loans, compared to 0.20 percent for the quarter ended March 31, 2016 and 0.38 percent for the quarter ended June 30, 2015. The allowance for credit losses as a percentage of non-performing loans was 129.3 percent at June 30, 2016, as compared to 121.1 percent at March 31, 2016 and 113.3 percent at June 30, 2015.
During the second quarter of 2016, the Corporation recorded a $2.5 million provision for credit losses, compared to a $1.5 million provision for credit losses in the first quarter of 2016 and a $2.2 million provision in the second quarter of 2015.
Non-interest Income
Non-interest income, excluding investment securities gains, increased $3.9 million, or 9.2 percent, in comparison to the first quarter of 2016. Other service charges and fees increased $2.2 million, or 20.8 percent, due to increases in commercial loan interest rate swap fees, merchant fees and debit card income. Service charges on deposits increased $338,000, or 2.7 percent, due to increases in cash management and overdraft fee income. Mortgage banking income decreased $133,000, or 3.3 percent, reflecting the net effect of a $1.8 million increase in gains on sale of mortgages being offset by a $1.9 million decrease in servicing income. The decrease in mortgage servicing income was a result of a $1.7 million mortgage servicing rights impairment charge, while the increase in gain on sales of loans was a result of an increase in pricing spreads and the volume of new loan commitments.
Compared to the second quarter of 2015, non-interest income, excluding investment securities gains, increased $2.0 million, or 4.5 percent, due to increases in commercial loan interest rate swap fees, other service charges and fees, investment management and trust services income, and merchant fees, partially offset by a decrease in mortgage banking income.
Gains on sales of investment securities decreased $871,000 in comparison to the first quarter of 2016, and decreased $2.3 million from the second quarter of 2015.
Non-interest Expense
Non-interest expense increased $1.2 million, or 1.0 percent, in the second quarter of 2016, compared to the first quarter of 2016. Professional fees increased $1.0 million, or 43.7% in the second quarter. Salaries and employee benefits increased $657,000, or 0.9 percent, driven by an increase in variable compensation expense, partially offset by a decrease in payroll taxes. Offsetting these increases were net decreases in multiple expense categories.
Compared to the second quarter of 2015, non-interest expense increased $3.3 million, or 2.8 percent, reflecting increases in salaries and employee benefits and professional fees, partially offset by lower expenses for outside services.
About Fulton Financial
Fulton Financial Corporation is a Lancaster, Pennsylvania-based financial holding company that has banking offices in Pennsylvania, Maryland, Delaware, New Jersey and Virginia through the following affiliates, headquartered as indicated: Fulton Bank, N.A., Lancaster, PA; Swineford National Bank, Middleburg, PA; Lafayette Ambassador Bank, Bethlehem, PA; FNB Bank, N.A., Danville, PA; Fulton Bank of New Jersey, Mt. Laurel, NJ; and The Columbia Bank, Columbia, MD.
The Corporation's investment management and trust services are offered at all banks through Fulton Financial Advisors, a division of Fulton Bank, N.A. Residential mortgage lending is offered by all banks under the Fulton Mortgage Company brand.
Additional information on Fulton Financial Corporation is available on the Internet at www.fult.com.
Safe Harbor Statement
This news release may contain forward-looking statements with respect to the Corporation's financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends" and similar expressions which are intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties, some of which are beyond the Corporation's control and ability to predict, that could cause actual results to differ materially from those expressed in the forward-looking statements.
A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation's actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Corporation's Annual Report on Form 10-K for the year ended December 31, 2015 and Quarterly Report on Form 10-Q for the quarter ended March 31, 2016, which have been filed with the Securities and Exchange Commission and are available in the Investor Relations section of the Corporation's website (www.fult.com) and on the Securities and Exchange Commission's website (www.sec.gov). The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Non-GAAP Financial Measures
The Corporation uses certain non-GAAP financial measures in this earnings release. These non-GAAP financial measures are reconciled to the most comparable GAAP measures in tables at the end of this release.
FULTON FINANCIAL CORPORATION CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED) dollars in thousands
September
June 30 March 31 December 31 30
2016 2016 2015 2015
----------- ----------- ----------- -----------
ASSETS
Cash and due from
banks $ 84,647 $ 83,479 $ 101,120 $ 93,803
Other interest-earning
assets 408,086 408,060 292,516 579,920
Loans held for sale 34,330 19,719 16,886 26,937
Investment securities 2,529,724 2,516,205 2,484,773 2,436,337
Loans, net of unearned
income 14,155,159 13,870,701 13,838,602 13,536,361
Allowance for loan
losses (162,546) (163,841) (169,054) (167,136)
----------- ----------- ----------- -----------
Net loans 13,992,613 13,706,860 13,669,548 13,369,225
Premises and equipment 228,861 228,057 225,535 225,705
Accrued interest
receivable 43,316 44,379 42,767 42,846
Goodwill and
intangible assets 531,556 531,556 531,556 531,562
Other assets 626,902 583,939 550,017 531,724
----------- ----------- ----------- -----------
Total Assets $18,480,035 $18,122,254 $17,914,718 $17,838,059
=========== =========== =========== ===========
LIABILITIES AND
SHAREHOLDERS' EQUITY
Deposits $14,292,564 $14,404,280 $14,132,317 $14,084,394
Short-term borrowings 722,214 352,883 497,663 431,631
Other liabilities 392,708 326,128 293,302 316,697
FHLB advances and
long-term debt 965,552 965,654 949,542 979,433
----------- ----------- ----------- -----------
Total Liabilities 16,373,038 16,048,945 15,872,824 15,812,155
Shareholders' equity 2,106,997 2,073,309 2,041,894 2,025,904
----------- ----------- ----------- -----------
Total Liabilities
and Shareholders'
Equity $18,480,035 $18,122,254 $17,914,718 $17,838,059
=========== =========== =========== ===========
LOANS, DEPOSITS AND
SHORT-TERM BORROWINGS
DETAIL:
Loans, by type:
Real estate -
commercial mortgage $ 5,635,347 $ 5,558,108 $ 5,462,330 $ 5,339,928
Commercial -
industrial, financial
and agricultural 4,099,177 4,035,333 4,088,962 3,929,908
Real estate - home
equity 1,647,319 1,659,481 1,684,439 1,693,649
Real estate -
residential mortgage 1,447,292 1,377,459 1,376,160 1,382,085
Real estate -
construction 853,699 810,872 799,988 769,565
Consumer 278,071 263,221 268,588 271,696
Leasing and other 194,254 166,227 158,135 149,530
----------- ----------- ----------- -----------
Total Loans, net of
unearned income $14,155,159 $13,870,701 $13,838,602 $13,536,361
=========== =========== =========== ===========
Deposits, by type:
Noninterest-bearing
demand $ 4,125,375 $ 4,134,861 $ 3,948,114 $ 3,906,228
Interest-bearing
demand 3,358,536 3,430,206 3,451,207 3,362,336
Savings deposits 3,986,008 3,972,199 3,868,046 3,880,103
Time deposits 2,822,645 2,867,014 2,864,950 2,935,727
----------- ----------- ----------- -----------
Total Deposits $14,292,564 $14,404,280 $14,132,317 $14,084,394
=========== =========== =========== ===========
Short-term borrowings,
by type:
Customer repurchase
agreements $ 168,521 $ 162,431 $ 111,496 $ 145,225
Customer short-term
promissory notes 69,509 76,807 78,932 80,879
Short-term FHLB
advances 35,000 81,000 110,000 200,000
Federal funds
purchased 449,184 32,645 197,235 5,527
----------- ----------- ----------- -----------
Total Short-term
Borrowings $ 722,214 $ 352,883 $ 497,663 $ 431,631
=========== =========== =========== ===========
% Change from
----------------------
June 30 March 31 June 30
2015 2016 2015
----------- ---------- ----------
ASSETS
Cash and due from
banks $ 100,455 1.4% -15.7%
Other interest-earning
assets 387,324 0.0% 5.4%
Loans held for sale 33,980 74.1% 1.0%
Investment securities 2,440,492 0.5% 3.7%
Loans, net of unearned
income 13,244,230 2.1% 6.9%
Allowance for loan
losses (167,485) -0.8% -2.9%
-----------
Net loans 13,076,745 2.1% 7.0%
Premises and equipment 226,794 0.4% 0.9%
Accrued interest
receivable 41,193 -2.4% 5.2%
Goodwill and
intangible assets 531,567 0.0% 0.0%
Other assets 526,923 7.4% 19.0%
-----------
Total Assets $17,365,473 2.0% 6.4%
===========
LIABILITIES AND
SHAREHOLDERS' EQUITY
Deposits $13,505,709 -0.8% 5.8%
Short-term borrowings 409,035 104.7% 76.6%
Other liabilities 293,271 20.4% 33.9%
FHLB advances and
long-term debt 1,132,641 0.0% -14.8%
-----------
Total Liabilities 15,340,656 2.0% 6.7%
Shareholders' equity 2,024,817 1.6% 4.1%
-----------
Total Liabilities
and Shareholders'
Equity $17,365,473 2.0% 6.4%
===========
LOANS, DEPOSITS AND
SHORT-TERM BORROWINGS
DETAIL:
Loans, by type:
Real estate -
commercial mortgage $ 5,237,800 1.4% 7.6%
Commercial -
industrial, financial
and agricultural 3,806,699 1.6% 7.7%
Real estate - home
equity 1,689,688 -0.7% -2.5%
Real estate -
residential mortgage 1,369,103 5.1% 5.7%
Real estate -
construction 731,925 5.3% 16.6%
Consumer 272,494 5.6% 2.0%
Leasing and other 136,521 16.9% 42.3%
-----------
Total Loans, net of
unearned income $13,244,230 2.1% 6.9%
===========
Deposits, by type:
Noninterest-bearing
demand $ 3,805,165 -0.2% 8.4%
Interest-bearing
demand 3,129,903 -2.1% 7.3%
Savings deposits 3,566,888 0.3% 11.8%
Time deposits 3,003,753 -1.5% -6.0%
-----------
Total Deposits $13,505,709 -0.8% 5.8%
===========
Short-term borrowings,
by type:
Customer repurchase
agreements $ 169,918 3.7% -0.8%
Customer short-term
promissory notes 74,059 -9.5% -6.1%
Short-term FHLB
advances 160,000 -56.8% -78.1%
Federal funds
purchased 5,058 N/M N/M
-----------
Total Short-term
Borrowings $ 409,035 104.7% 76.6%
===========
N/M - Not meaningful
N/M - Not meaningful
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
in thousands, except per-share data and percentages
-------------------------------------------------
Three Months Ended
-------------------------------------------------
Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
2016 2016 2015 2015 2015
-------- -------- -------- -------- --------
Interest Income:
Interest income $149,309 $149,311 $147,560 $146,228 $144,229
Interest expense 20,393 20,257 19,761 20,534 21,309
-------- -------- -------- -------- --------
Net Interest
Income 128,916 129,054 127,799 125,694 122,920
Provision for credit
losses 2,511 1,530 2,750 1,000 2,200
-------- -------- -------- -------- --------
Net Interest
Income after
Provision 126,405 127,524 125,049 124,694 120,720
Non-Interest Income:
Other service
charges and fees 12,983 10,750 12,676 10,965 10,988
Service charges on
deposit accounts 12,896 12,558 12,909 12,982 12,637
Investment
management and
trust services 11,247 10,988 10,919 11,237 11,011
Mortgage banking
income 3,897 4,030 4,317 3,864 5,339
Other 5,038 3,864 4,242 3,996 4,099
-------- -------- -------- -------- --------
Non-Interest
Income before
Investment
Securities Gains 46,061 42,190 45,063 43,044 44,074
Investment
securities gains 76 947 776 1,730 2,415
-------- -------- -------- -------- --------
Total Non-Interest
Income 46,137 43,137 45,839 44,774 46,489
Non-Interest Expense:
Salaries and
employee benefits 70,029 69,372 65,467 65,308 65,067
Net occupancy
expense 11,811 12,220 11,566 10,710 11,809
Other outside
services 5,508 6,056 6,537 7,373 8,125
Data processing 5,476 5,400 5,127 5,105 4,894
Software 3,953 3,921 4,068 3,984 3,376
Professional fees 3,353 2,333 2,814 2,828 2,731
FDIC insurance
expense 2,960 2,949 2,896 2,867 2,885
Equipment expense 2,872 3,371 3,626 3,595 3,335
Marketing 1,916 1,624 1,754 2,102 2,235
Operating risk loss 986 540 987 1,136 674
Other real estate
owned and
repossession
expense 365 638 1,123 1,016 129
Intangible
amortization - - 6 5 106
Loss on redemption
of trust preferred
securities - - - 5,626 -
Other 12,408 11,989 12,468 13,234 12,988
-------- -------- -------- -------- --------
Total Non-Interest
Expense 121,637 120,413 118,439 124,889 118,354
-------- -------- -------- -------- --------
Income before
Income Taxes 50,905 50,248 52,449 44,579 48,855
Income tax expense 11,155 11,991 13,914 10,328 12,175
-------- -------- -------- -------- --------
Net Income $ 39,750 $ 38,257 $ 38,535 $ 34,251 $ 36,680
======== ======== ======== ======== ========
PER SHARE:
Net income:
Basic $ 0.23 $ 0.22 $ 0.22 $ 0.20 $ 0.21
Diluted 0.23 0.22 0.22 0.20 0.21
Cash dividends $ 0.10 $ 0.09 $ 0.11 $ 0.09 $ 0.09
Shareholders' equity 12.17 11.96 11.72 11.66 11.50
Shareholders' equity
(tangible) 9.10 8.89 8.67 8.60 8.48
Weighted average
shares (basic) 173,394 173,331 173,709 174,338 176,433
Weighted average
shares (diluted) 174,318 174,416 174,833 175,342 177,531
Shares outstanding,
end of period 173,139 173,393 174,176 173,771 176,019
SELECTED FINANCIAL
RATIOS:
Return on average
assets 0.88% 0.86% 0.86% 0.78% 0.86%
Return on average
shareholders'
equity 7.65% 7.47% 7.51% 6.72% 7.24%
Return on average
shareholders'
equity (tangible) 10.26% 10.07% 10.16% 9.11% 9.83%
Net interest margin 3.20% 3.23% 3.19% 3.18% 3.20%
Efficiency ratio 67.59% 68.33% 66.63% 68.82% 68.94%
-------------------------------------------------
---------------- -------------------------------------
% Change from Six Months Ended
----------------
Mar Jun
31 30 Jun 30
------------------
$ %
2016 2015 2016 2015 Change Change
----- ----- -------- -------- ------- ------
Interest Income:
Interest income (0.0%) 3.5% $298,620 $290,001 8,619 3.0%
Interest expense 0.7% (4.3%) 40,650 43,500 (2,850) (6.6%)
-------- -------- -------
Net Interest
Income (0.1%) 4.9% 257,970 246,501 11,469 4.7%
Provision for credit
losses 64.1% 14.1% 4,041 (1,500) 5,541 N/M
-------- -------- -------
Net Interest
Income after
Provision (0.9%) 4.7% 253,929 248,001 5,928 2.4%
Non-Interest Income:
Other service
charges and fees 20.8% 18.2% 23,733 20,351 3,382 16.6%
Service charges on
deposit accounts 2.7% 2.0% 25,454 24,206 1,248 5.2%
Investment
management and
trust services 2.4% 2.1% 22,235 21,900 335 1.5%
Mortgage banking
income (3.3%) (27.0%) 7,927 10,027 (2,100) (20.9%)
Other 30.4% 22.9% 8,902 8,182 720 8.8%
-------- -------- -------
Non-Interest
Income before
Investment
Securities Gains 9.2% 4.5% 88,251 84,666 3,585 4.2%
Investment
securities gains (92.0%) (96.9%) 1,023 6,560 (5,537) (84.4%)
-------- -------- -------
Total Non-Interest
Income 7.0% (0.8%) 89,274 91,226 (1,952) (2.1%)
Non-Interest Expense:
Salaries and
employee benefits 0.9% 7.6% 139,401 130,057 9,344 7.2%
Net occupancy
expense (3.3%) 0.0% 24,031 25,501 (1,470) (5.8%)
Other outside
services (9.0%) (32.2%) 11,564 13,875 (2,311) (16.7%)
Data processing 1.4% 11.9% 10,876 9,662 1,214 12.6%
Software 0.8% 17.1% 7,874 6,694 1,180 17.6%
Professional fees 43.7% 22.8% 5,686 5,602 84 1.5%
FDIC insurance
expense 0.4% 2.6% 5,909 5,707 202 3.5%
Equipment expense (14.8%) (13.9%) 6,243 7,293 (1,050) (14.4%)
Marketing 18.0% (14.3%) 3,540 3,468 72 2.1%
Operating risk loss 82.6% 46.3% 1,526 1,501 25 1.7%
Other real estate
owned and
repossession
expense (42.8%) 182.9% 1,003 1,491 (488) (32.7%)
Intangible
amortization - N/M - 236 (236) (100.0%)
Loss on redemption
of trust preferred
securities - - - - - -
Other 3.5% (4.5%) 24,397 25,745 (1,348) (5.2%)
-------- -------- -------
Total Non-Interest
Expense 1.0% 2.8% 242,050 236,832 5,218 2.2%
-------- -------- -------
Income before
Income Taxes 1.3% 4.2% 101,153 102,395 (1,242) (1.2%)
Income tax expense (7.0%) (8.4%) 23,146 25,679 (2,533) (9.9%)
-------- -------- -------
Net Income 3.9% 8.4% $ 78,007 $ 76,716 $ 1,291 1.7%
======== ======== =======
PER SHARE:
Net income:
Basic 4.5% 9.5% $ 0.45 $ 0.43 $ 0.02 4.7%
Diluted 4.5% 9.5% 0.45 0.43 0.02 4.7%
Cash dividends 11.1% 11.1% $ 0.19 $ 0.18 $ 0.01 5.6%
Shareholders' equity 1.8% 5.8% 12.17 11.50 0.67 5.8%
Shareholders' equity
(tangible) 2.4% 7.3% 9.10 8.48 0.62 7.3%
Weighted average
shares (basic) 0.0% (1.7%) 173,363 177,446 (4,083) (2.3%)
Weighted average
shares (diluted) (0.1%) (1.8%) 174,367 178,488 (4,121) (2.3%)
Shares outstanding,
end of period (0.1%) (1.6%) 173,139 176,019 (2,880) (1.6%)
SELECTED FINANCIAL
RATIOS:
Return on average
assets 0.87% 0.90%
Return on average
shareholders'
equity 7.56% 7.64%
Return on average
shareholders'
equity (tangible) 10.17% 10.39%
Net interest margin 3.22% 3.24%
Efficiency ratio 67.96% 69.55%
---------------- -------------------------------------
N/M - Not meaningful
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
Three Months Ended
-----------------------------------------------------------
June 30, 2016 March 31, 2016
---------------------------- ----------------------------
Average Interest Yield Average Interest Yield
Balance (1) /Rate Balance (1) /Rate
----------- -------- ----- ----------- -------- -----
ASSETS
Interest-earning
assets:
Loans, net of
unearned
income $13,966,024 $138,317 3.98% $13,853,420 $137,895 4.00%
Taxable
investment
securities 2,127,780 11,159 2.10% 2,180,593 12,003 2.20%
Tax-exempt
investment
securities 314,851 3,570 4.54% 259,396 3,138 4.84%
Equity
securities 14,220 185 5.23% 14,386 218 6.10%
----------- -------- ----- ----------- -------- -----
Total
Investment
Securities 2,456,851 14,914 2.43% 2,454,375 15,359 2.50%
Loans held for
sale 19,449 188 3.87% 12,252 131 4.28%
Other
interest-
earning
assets 357,211 864 0.96% 358,562 898 1.00%
----------- -------- ----- ----------- -------- -----
Total
Interest-
earning
Assets 16,799,535 154,283 3.69% 16,678,609 154,283 3.72%
Noninterest-
earning assets:
Cash and due
from banks 100,860 98,449
Premises and
equipment 227,517 226,284
Other assets 1,189,226 1,137,292
Less:
allowance for
loan losses (164,573) (167,372)
----------- -----------
Total Assets $18,152,565 $17,973,262
=========== ===========
LIABILITIES AND
SHAREHOLDERS'
EQUITY
Interest-bearing
liabilities:
Demand
deposits $ 3,454,031 $ 1,527 0.18% $ 3,438,355 $ 1,494 0.17%
Savings
deposits 3,989,988 1,886 0.19% 3,932,824 1,804 0.18%
Time deposits 2,844,434 7,474 1.06% 2,867,651 7,429 1.04%
----------- -------- ----- ----------- -------- -----
Total
Interest-
bearing
Deposits 10,288,453 10,887 0.43% 10,238,830 10,727 0.42%
Short-term
borrowings 403,669 217 0.21% 445,402 268 0.24%
FHLB advances
and long-term
debt 965,526 9,289 3.86% 958,213 9,262 3.88%
----------- -------- ----- ----------- -------- -----
Total
Interest-
bearing
Liabilities 11,657,648 20,393 0.70% 11,642,445 20,257 0.70%
Noninterest-
bearing
liabilities:
Demand
deposits 4,077,642 3,967,887
Other 327,360 304,131
----------- -----------
Total
Liabilities 16,062,650 15,914,463
Shareholders'
equity 2,089,915 2,058,799
----------- -----------
Total
Liabilities
and
Shareholders'
Equity $18,152,565 $17,973,262
=========== ===========
Net interest
income/net
interest
margin (fully
taxable
equivalent) 133,890 3.20% 134,026 3.23%
===== =====
Tax equivalent
adjustment (4,974) (4,972)
-------- --------
Net interest
income $128,916 $129,054
======== ========
Three Months Ended
-----------------------------
June 30, 2015
----------------------------
Average Interest Yield
Balance (1) /Rate
----------- -------- -----
ASSETS
Interest-earning
assets:
Loans, net of
unearned
income $13,192,600 $133,339 4.05%
Taxable
investment
securities 2,048,558 10,944 2.14%
Tax-exempt
investment
securities 216,355 2,894 5.35%
Equity
securities 27,618 379 5.50%
----------- -------- -----
Total
Investment
Securities 2,292,531 14,217 2.48%
Loans held for
sale 26,335 265 4.03%
Other
interest-
earning
assets 439,425 933 0.85%
----------- -------- -----
Total
Interest-
earning
Assets 15,950,891 148,754 3.74%
Noninterest-
earning assets:
Cash and due
from banks 104,723
Premises and
equipment 226,569
Other assets 1,094,071
Less:
allowance for
loan losses (176,085)
-----------
Total Assets $17,200,169
===========
LIABILITIES AND
SHAREHOLDERS'
EQUITY
Interest-bearing
liabilities:
Demand
deposits $ 3,152,697 $ 987 0.13%
Savings
deposits 3,568,579 1,247 0.14%
Time deposits 3,027,520 7,819 1.04%
----------- -------- -----
Total
Interest-
bearing
Deposits 9,748,796 10,053 0.41%
Short-term
borrowings 379,988 103 0.11%
FHLB advances
and long-term
debt 1,026,987 11,153 4.35%
----------- -------- -----
Total
Interest-
bearing
Liabilities 11,155,771 21,309 0.77%
Noninterest-
bearing
liabilities:
Demand
deposits 3,734,880
Other 277,730
-----------
Total
Liabilities 15,168,381
Shareholders'
equity 2,031,788
-----------
Total
Liabilities
and
Shareholders'
Equity $17,200,169
===========
Net interest
income/net
interest
margin (fully
taxable
equivalent) 127,445 3.20%
=====
Tax equivalent
adjustment (4,525)
--------
Net interest
income $122,920
========
(1) Presented on a tax-equivalent basis using a 35% Federal tax rate and
statutory interest expense disallowances.
AVERAGE LOANS, DEPOSITS AND
SHORT-TERM BORROWINGS
DETAIL:
Three Months Ended
-----------------------------------------------------------
September
June 30 March 31 December 31 30 June 30
2016 2016 2015 2015 2015
----------- ----------- ----------- ----------- -----------
Loans, by type:
Real estate -
commercial
mortgage $ 5,557,680 $ 5,487,421 $ 5,365,640 $ 5,242,021 $ 5,210,540
Commercial -
industrial,
financial
and
agricultural 4,080,524 4,095,268 4,035,287 3,887,161 3,836,397
Real estate -
home equity 1,656,140 1,674,032 1,694,455 1,692,860 1,695,171
Real estate -
residential
mortgage 1,399,851 1,381,409 1,377,116 1,381,141 1,356,464
Real estate -
construction 820,881 792,014 765,555 753,584 698,685
Consumer 272,293 263,295 267,726 270,391 265,354
Leasing and
other 178,655 159,981 153,487 142,716 129,989
----------- ----------- ----------- ----------- -----------
Total Loans,
net of
unearned
income $13,966,024 $13,853,420 $13,659,266 $13,369,874 $13,192,600
=========== =========== =========== =========== ===========
Deposits, by
type:
Noninterest-
bearing
demand $ 4,077,642 $ 3,967,887 $ 3,999,118 $ 3,904,176 $ 3,734,880
Interest-
bearing
demand 3,454,031 3,438,355 3,411,904 3,316,532 3,152,697
Savings
deposits 3,989,988 3,932,824 3,903,741 3,714,282 3,568,579
Time deposits 2,844,434 2,867,651 2,903,715 2,963,774 3,027,520
----------- ----------- ----------- ----------- -----------
Total
Deposits $14,366,095 $14,206,717 $14,218,478 $13,898,764 $13,483,676
=========== =========== =========== =========== ===========
Short-term
borrowings, by
type:
Customer
repurchase
agreements $ 180,595 $ 171,408 $ 142,004 $ 149,415 $ 179,804
Customer
short-term
promissory
notes 77,535 74,013 80,568 79,308 80,073
Federal funds
purchased 138,012 183,970 44,468 85,092 108,078
Short-term
FHLB
advances and
other
borrowings 7,527 16,011 14,457 10,870 12,033
----------- ----------- ----------- ----------- -----------
Total Short-
term
Borrowings $ 403,669 $ 445,402 $ 281,497 $ 324,685 $ 379,988
=========== =========== =========== =========== ===========
AVERAGE LOANS,
DEPOSITS AND
SHORT-TERM
BORROWINGS
DETAIL:
% Change from
-------------------
March 31 June 30
2016 2015
-------- --------
Loans, by type:
Real estate -
commercial
mortgage 1.3% 6.7%
Commercial -
industrial,
financial
and
agricultural (0.4%) 6.4%
Real estate -
home equity (1.1%) (2.3%)
Real estate -
residential
mortgage 1.3% 3.2%
Real estate -
construction 3.6% 17.5%
Consumer 3.4% 2.6%
Leasing and
other 11.7% 37.4%
Total Loans,
net of
unearned
income 0.8% 5.9%
Deposits, by
type:
Noninterest-
bearing
demand 2.8% 9.2%
Interest-
bearing
demand 0.5% 9.6%
Savings
deposits 1.5% 11.8%
Time deposits (0.8%) (6.0%)
Total
Deposits 1.1% 6.5%
Short-term
borrowings, by
type:
Customer
repurchase
agreements 5.4% 0.4%
Customer
short-term
promissory
notes 4.8% (3.2%)
Federal funds
purchased (25.0%) 27.7%
Short-term
FHLB
advances and
other
borrowings (53.0%) (37.4%)
Total Short-
term
Borrowings (9.4%) 6.2%
FULTON FINANCIAL CORPORATION
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)
dollars in thousands
Six Months Ended June 30
----------------------------------------------------------
2016 2015
---------------------------- ----------------------------
Average Interest Yield Average Interest Yield
Balance (1) /Rate Balance (1) /Rate
----------- -------- ----- ----------- -------- -----
ASSETS
Interest-earning
assets:
Loans, net of
unearned
income $13,909,722 $276,212 3.99% $13,144,332 $266,394 4.08%
Taxable
investment
securities 2,154,187 23,162 2.15% 2,027,170 22,226 2.19%
Tax-exempt
investment
securities 287,123 6,708 4.67% 222,684 6,106 5.48%
Equity
securities 14,303 403 5.67% 29,901 829 5.58%
----------- -------- ----- ----------- -------- -----
Total
Investment
Securities 2,455,613 30,273 2.47% 2,279,755 29,161 2.56%
Loans held for
sale 15,850 319 4.03% 21,694 438 4.04%
Other
interest-
earning
assets 357,887 1,762 0.98% 456,633 3,038 1.33%
----------- -------- ----- ----------- -------- -----
Total
Interest-
earning
Assets 16,739,072 308,566 3.70% 15,902,414 299,031 3.79%
Noninterest-
earning assets:
Cash and due
from banks 99,654 104,996
Premises and
equipment 226,901 226,480
Other assets 1,163,259 1,104,019
Less:
allowance for
loan losses (165,972) (179,985)
----------- -----------
Total Assets $18,062,914 $17,157,924
=========== ===========
LIABILITIES AND
SHAREHOLDERS'
EQUITY
Interest-bearing
liabilities:
Demand
deposits $ 3,446,193 $ 3,021 0.18% $ 3,144,358 $ 1,970 0.13%
Savings
deposits 3,961,405 3,690 0.19% 3,542,960 2,366 0.13%
Time deposits 2,856,044 14,903 1.05% 3,044,463 15,540 1.03%
----------- -------- ----- ----------- -------- -----
Total
Interest-
bearing
Deposits 10,263,642 21,614 0.42% 9,731,781 19,876 0.41%
Short-term
borrowings 424,535 485 0.23% 344,797 180 0.10%
FHLB advances
and long-term
debt 961,870 18,551 3.87% 1,075,262 23,444 4.38%
----------- -------- ----- ----------- -------- -----
Total
Interest-
bearing
Liabilities 11,650,047 40,650 0.70% 11,151,840 43,500 0.78%
Noninterest-
bearing
liabilities:
Demand
deposits 4,022,764 3,698,661
Other 315,746 283,504
----------- -----------
Total
Liabilities 15,988,557 15,134,005
Shareholders'
equity 2,074,357 2,023,919
----------- -----------
Total
Liabilities
and
Shareholders'
Equity $18,062,914 $17,157,924
=========== ===========
Net interest
income/net
interest
margin (fully
taxable
equivalent) 267,916 3.22% 255,531 3.24%
===== =====
Tax equivalent
adjustment (9,946) (9,030)
-------- --------
Net interest
income $257,970 $246,501
======== ========
(1) Presented on a tax-equivalent basis using a 35% Federal tax rate and
statutory interest expense disallowances.
AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS
DETAIL:
Six Months Ended
June 30
-----------------------
%
2016 2015 Change
----------- ----------- -------
Loans, by type:
Real estate - commercial mortgage $ 5,522,550 $ 5,187,322 6.5%
Commercial - industrial, financial and
agricultural 4,087,897 3,803,475 7.5%
Real estate - home equity 1,665,086 1,708,163 (2.5%)
Real estate - residential mortgage 1,390,631 1,363,382 2.0%
Real estate - construction 806,448 693,715 16.3%
Consumer 267,794 262,265 2.1%
Leasing and other 169,316 126,010 34.4%
----------- -----------
Total Loans, net of unearned income $13,909,722 $13,144,332 5.8%
=========== ===========
Deposits, by type:
Noninterest-bearing demand $ 4,022,764 $ 3,698,661 8.8%
Interest-bearing demand 3,446,193 3,144,358 9.6%
Savings deposits 3,961,405 3,542,960 11.8%
Time deposits 2,856,044 3,044,463 (6.2%)
----------- -----------
Total Deposits $14,286,406 $13,430,442 6.4%
=========== ===========
Short-term borrowings, by type:
Customer repurchase agreements $ 176,001 $ 176,732 (0.4%)
Customer short-term promissory notes 75,774 83,148 (8.9%)
Federal funds purchased 160,991 66,795 141.0%
Short-term FHLB advances and other
borrowings 11,769 18,122 (35.1%)
----------- -----------
Total Short-term Borrowings $ 424,535 $ 344,797 23.1%
=========== ===========
FULTON FINANCIAL CORPORATION
ASSET QUALITY INFORMATION (UNAUDITED)
dollars in thousands
Three Months Ended
------------------------------------------------
Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
2016 2016 2015 2015 2015
-------- -------- -------- -------- --------
ALLOWANCE FOR CREDIT
LOSSES:
Balance at beginning of
period $166,065 $171,412 $169,395 $169,453 $179,658
Loans charged off:
Commercial -
industrial,
financial and
agricultural (4,625) (6,188) (970) (1,640) (11,166)
Consumer and home
equity (1,614) (2,548) (1,466) (1,590) (1,227)
Real estate -
residential mortgage (340) (1,068) (513) (1,035) (783)
Real estate -
commercial mortgage (1,474) (582) (1,207) (660) (1,642)
Real estate -
construction (742) (326) - (114) (87)
Leasing and other (1,951) (443) (1,304) (522) (467)
-------- -------- -------- -------- --------
Total loans charged
off (10,746) (11,155) (5,460) (5,561) (15,372)
Recoveries of loans
previously charged
off:
Commercial -
industrial,
financial and
agricultural 2,931 2,319 1,409 1,598 1,471
Consumer and home
equity 889 534 825 618 557
Real estate -
residential mortgage 420 136 775 201 187
Real estate -
commercial mortgage 1,367 825 1,072 842 451
Real estate -
construction 1,563 383 548 898 231
Leasing and other 108 81 98 346 70
-------- -------- -------- -------- --------
Recoveries of loans
previously charged
off 7,278 4,278 4,727 4,503 2,967
-------- -------- -------- -------- --------
Net loans charged off (3,468) (6,877) (733) (1,058) (12,405)
Provision for credit
losses 2,511 1,530 2,750 1,000 2,200
Balance at end of
period $165,108 $166,065 $171,412 $169,395 $169,453
======== ======== ======== ======== ========
Net charge-offs to
average loans
(annualized) 0.10% 0.20% 0.02% 0.03% 0.38%
======== ======== ======== ======== ========
NON-PERFORMING ASSETS:
Non-accrual loans $111,742 $122,170 $129,523 $132,154 $129,152
Loans 90 days past due
and accruing 15,992 15,013 15,291 12,867 20,353
-------- -------- -------- -------- --------
Total non-performing
loans 127,734 137,183 144,814 145,021 149,505
Other real estate owned 11,918 10,946 11,099 10,561 12,763
-------- -------- -------- -------- --------
Total non-performing
assets $139,652 $148,129 $155,913 $155,582 $162,268
======== ======== ======== ======== ========
NON-PERFORMING LOANS, BY
TYPE:
Commercial -
industrial, financial
and agricultural $ 38,902 $ 39,140 $ 44,071 $ 38,032 $ 35,839
Real estate -
commercial mortgage 35,704 43,132 41,170 49,021 49,932
Real estate -
residential mortgage 25,030 25,182 28,484 27,707 31,562
Consumer and home
equity 16,061 16,210 17,123 15,186 17,215
Real estate -
construction 11,879 12,005 12,460 14,989 14,884
Leasing 158 1,514 1,506 86 73
-------- -------- -------- -------- --------
Total non-performing
loans $127,734 $137,183 $144,814 $145,021 $149,505
======== ======== ======== ======== ========
TROUBLED DEBT
RESTRUCTURINGS (TDRs),
BY TYPE:
Real-estate -
residential mortgage $ 27,324 $ 27,565 $ 28,511 $ 29,330 $ 31,584
Real-estate -
commercial mortgage 17,808 17,427 17,563 17,282 17,482
Consumer and home
equity 7,191 6,562 4,589 3,983 3,330
Commercial -
industrial, financial
and agricultural 5,756 5,650 5,953 7,399 6,591
Real estate -
construction 3,086 3,092 3,942 4,363 4,482
-------- -------- -------- -------- --------
Total accruing TDRs 61,165 60,296 60,558 62,357 63,469
Non-accrual TDRs (1) 24,887 27,277 31,035 27,618 27,230
-------- -------- -------- -------- --------
Total TDRs $ 86,052 $ 87,573 $ 91,593 $ 89,975 $ 90,699
======== ======== ======== ======== ========
Six Months Ended
------------------
Jun 30 Jun 30
2016 2015
-------- --------
ALLOWANCE FOR CREDIT
LOSSES:
Balance at beginning of
period $171,412 $185,931
Loans charged off:
Commercial -
industrial,
financial and
agricultural (10,813) (13,029)
Consumer and home
equity (4,162) (2,775)
Real estate -
residential mortgage (1,408) (2,064)
Real estate -
commercial mortgage (2,056) (2,351)
Real estate -
construction (1,068) (87)
Leasing and other (2,394) (830)
-------- --------
Total loans charged
off (21,901) (21,136)
Recoveries of loans
previously charged
off:
Commercial -
industrial,
financial and
agricultural 5,250 2,257
Consumer and home
equity 1,423 1,049
Real estate -
residential mortgage 556 346
Real estate -
commercial mortgage 2,192 887
Real estate -
construction 1,946 1,378
Leasing and other 189 241
-------- --------
Recoveries of loans
previously charged
off 11,556 6,158
-------- --------
Net loans charged off (10,345) (14,978)
Provision for credit
losses 4,041 (1,500)
Balance at end of
period $165,108 $169,453
======== ========
Net charge-offs to
average loans
(annualized) 0.15% 0.23%
======== ========
NON-PERFORMING ASSETS:
Non-accrual loans
Loans 90 days past due
and accruing
Total non-performing
loans
Other real estate owned
Total non-performing
assets
NON-PERFORMING LOANS, BY
TYPE:
Commercial -
industrial, financial
and agricultural
Real estate -
commercial mortgage
Real estate -
residential mortgage
Consumer and home
equity
Real estate -
construction
Leasing
Total non-performing
loans
TROUBLED DEBT
RESTRUCTURINGS (TDRs),
BY TYPE:
Real-estate -
residential mortgage
Real-estate -
commercial mortgage
Consumer and home
equity
Commercial -
industrial, financial
and agricultural
Real estate -
construction
Total accruing TDRs
Non-accrual TDRs (1)
Total TDRs
(1) Included within non-accrual loans above.
Total Delinquency %
-------------------------------------------
DELINQUENCY RATES, BY TYPE: Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
2016 2016 2015 2015 2015
------- ------- ------- ------- -------
Real estate - commercial
mortgage 0.81% 0.93% 0.91% 1.08% 1.30%
Commercial - industrial,
financial and agricultural 1.25% 1.46% 1.27% 1.32% 1.16%
Real estate - construction 1.93% 2.00% 1.87% 2.25% 2.05%
Real estate - residential
mortgage 2.70% 3.10% 3.40% 3.27% 3.83%
Consumer, home equity,
leasing and other 1.47% 1.48% 1.58% 1.41% 1.52%
------- ------- ------- ------- -------
Total 1.30% 1.44% 1.41% 1.49% 1.60%
======= ======= ======= ======= =======
(2) Includes non-accrual loans
ASSET QUALITY RATIOS:
-------------------------------------------
Jun 30 Mar 31 Dec 31 Sep 30 Jun 30
2016 2016 2015 2015 2015
------- ------- ------- ------- -------
Non-accrual loans to total
loans 0.79% 0.88% 0.94% 0.98% 0.98%
Non-performing loans to total
loans 0.90% 0.99% 1.05% 1.07% 1.13%
Non-performing assets to
total loans and OREO 0.99% 1.07% 1.13% 1.15% 1.22%
Non-performing assets to
total assets 0.76% 0.82% 0.87% 0.87% 0.93%
Allowance for credit losses
to loans outstanding 1.17% 1.20% 1.24% 1.25% 1.28%
Allowance for credit losses
to non-performing loans 129.26% 121.05% 118.37% 116.81% 113.34%
Non-performing assets to
tangible common
shareholders' equity and
allowance for credit losses 8.02% 8.67% 9.27% 9.35% 9.76%
FULTON FINANCIAL CORPORATION
RECONCILIATION OF GAAP TO NON-GAAP MEASURES (UNAUDITED)
in thousands, except per share data and percentages
Explanatory This press release contains supplemental financial
note: information, as detailed below, which has been derived by
methods other than Generally Accepted Accounting Principles
("GAAP"). The Corporation has presented these non-GAAP
financial measures because it believes that these measures
provide useful and comparative information to assess trends
in the Corporation's results of operations. Presentation of
these non-GAAP financial measures is consistent with how the
Corporation evaluates its performance internally and these
non-GAAP financial measures are frequently used by
securities analysts, investors and other interested parties
in the evaluation of companies in the Corporation's
industry. Management believes that these non-GAAP financial
measures, in addition to GAAP measures, are also useful to
investors to evaluate the Corporation's results. Investors
should recognize that the Corporation's presentation of
these non-GAAP financial measures might not be comparable to
similarly-titled measures of other companies. These non-GAAP
financial measures should not be considered a substitute for
GAAP basis measures, and the Corporation strongly encourages
a review of its condensed consolidated financial statements
in their entirety. Reconciliations of these non-GAAP
financial measures to the most directly comparable GAAP
measure follow:
Three Months Ended
----------------------------------------------------------
December September
June 30 March 31 31 30 June 30
2016 2016 2015 2015 2015
---------- ---------- ---------- ---------- ----------
Shareholders'
equity
(tangible), per
share
Shareholders'
equity $2,106,997 $2,073,309 $2,041,894 $2,025,904 $2,024,817
Less: Goodwill
and intangible
assets (531,556) (531,556) (531,556) (531,562) (531,567)
---------- ---------- ---------- ---------- ----------
Tangible
shareholders'
equity
(numerator) $1,575,441 $1,541,753 $1,510,338 $1,494,342 $1,493,250
========== ========== ========== ========== ==========
Shares
outstanding,
end of period
(denominator) 173,139 173,393 174,176 173,771 176,019
========== ========== ========== ========== ==========
Shareholders'
equity
(tangible),
per share $ 9.10 $ 8.89 $ 8.67 $ 8.60 $ 8.48
========== ========== ========== ========== ==========
Return on
average common
shareholders'
equity
(tangible)
Net income $ 39,750 $ 38,257 $ 38,535 $ 34,251 $ 36,680
Plus: Intangible
amortization,
net of tax - - 4 3 69
---------- ---------- ---------- ---------- ----------
Numerator $ 39,750 $ 38,257 $ 38,539 $ 34,254 $ 36,749
========== ========== ========== ========== ==========
Average
shareholders'
equity $2,089,915 $2,058,799 $2,036,769 $2,022,829 $2,031,788
Less: Average
goodwill and
intangible
assets (531,556) (531,556) (531,559) (531,564) (531,618)
---------- ---------- ---------- ---------- ----------
Average tangible
shareholders'
equity
(denominator) $1,558,359 $1,527,243 $1,505,210 $1,491,265 $1,500,170
========== ========== ========== ========== ==========
Return on
average
common
shareholders'
equity
(tangible),
annualized 10.26% 10.07% 10.16% 9.11% 9.83%
========== ========== ========== ========== ==========
Efficiency ratio
Non-interest
expense $ 121,637 $ 120,413 $ 118,439 $ 124,889 $ 118,354
Less: Intangible
amortization - - (6) (5) (106)
Less: Loss on
redemption of
trust preferred
securities - - - (5,626) -
---------- ---------- ---------- ---------- ----------
Numerator $ 121,637 $ 120,413 $ 118,433 $ 119,258 $ 118,248
========== ========== ========== ========== ==========
Net interest
income (fully
taxable
equivalent) $ 133,890 $ 134,026 $ 132,683 $ 130,250 $ 127,445
Plus: Total Non-
interest income 46,137 43,137 45,839 44,774 46,489
Less: Investment
securities
gains (76) (947) (776) (1,730) (2,415)
---------- ---------- ---------- ---------- ----------
Denominator $ 179,951 $ 176,216 $ 177,746 $ 173,294 $ 171,519
========== ========== ========== ========== ==========
Efficiency
ratio 67.59% 68.33% 66.63% 68.82% 68.94%
========== ========== ========== ========== ==========
Non-performing
assets to
tangible common
shareholders'
equity and
allowance for
credit losses
Non-performing
assets
(numerator) $ 139,652 $ 148,129 $ 155,913 $ 155,582 $ 162,268
========== ========== ========== ========== ==========
Tangible
shareholders'
equity $1,575,441 $1,541,753 $1,510,338 $1,494,342 $1,493,250
Plus: Allowance
for credit
losses 165,108 166,065 171,412 169,395 169,453
---------- ---------- ---------- ---------- ----------
Tangible
shareholders'
equity and
allowance for
credit losses
(denominator) $1,740,549 $1,707,818 $1,681,750 $1,663,737 $1,662,703
========== ========== ========== ========== ==========
Non-performing
assets to
tangible
common
shareholders'
equity and
allowance for
credit losses 8.02% 8.67% 9.27% 9.35% 9.76%
========== ========== ========== ========== ==========
Pre-provision
net revenue
Net interest
income $ 128,916 $ 129,054 $ 127,799 $ 125,694 $ 122,920
Non-interest
income 46,137 43,137 45,839 44,774 46,489
Less: Investment
securities
gains (76) (947) (776) (1,730) (2,415)
---------- ---------- ---------- ---------- ----------
Total revenue $ 174,977 $ 171,244 $ 172,862 $ 168,738 $ 166,994
========== ========== ========== ========== ==========
Non-interest
expense $ 121,637 $ 120,413 $ 118,439 $ 124,889 $ 118,354
Less: Loss on
redemption of
TruPS - - - (5,626) -
---------- ---------- ---------- ---------- ----------
Total Non-
interest
expense, as
adjusted $ 121,637 $ 120,413 $ 118,439 $ 119,263 $ 118,354
========== ========== ========== ========== ==========
Pre-provision
net revenue $ 53,340 $ 50,831 $ 54,423 $ 49,475 $ 48,640
========== ========== ========== ========== ==========
Year Ended
----------------------
June 30 June 30
2016 2015
---------- ----------
Shareholders'
equity
(tangible), per
share
Shareholders'
equity
Less: Goodwill
and intangible
assets
Tangible
shareholders'
equity
(numerator)
Shares
outstanding,
end of period
(denominator)
Shareholders'
equity
(tangible),
per share
Return on
average common
shareholders'
equity
(tangible)
Net income $ 78,007 $ 76,716
Plus: Intangible
amortization,
net of tax - 153
---------- ----------
Numerator $ 78,007 $ 76,869
========== ==========
Average
shareholders'
equity $2,074,357 $2,023,919
Less: Average
goodwill and
intangible
assets (531,556) (531,675)
---------- ----------
Average tangible
shareholders'
equity
(denominator) $1,542,801 $1,492,244
========== ==========
Return on
average
common
shareholders'
equity
(tangible),
annualized 10.17% 10.39%
========== ==========
Efficiency ratio
Non-interest
expense $ 242,050 $ 236,832
Less: Intangible
amortization - (236)
Less: Loss on
redemption of
trust preferred
securities - -
---------- ----------
Numerator $ 242,050 $ 236,596
========== ==========
Net interest
income (fully
taxable
equivalent) $ 267,916 $ 255,531
Plus: Total Non-
interest income 89,274 91,226
Less: Investment
securities
gains (1,023) (6,560)
---------- ----------
Denominator $ 356,167 $ 340,197
========== ==========
Efficiency
ratio 67.96% 69.55%
========== ==========
Non-performing
assets to
tangible common
shareholders'
equity and
allowance for
credit losses
Non-performing
assets
(numerator)
Tangible
shareholders'
equity
Plus: Allowance
for credit
losses
Tangible
shareholders'
equity and
allowance for
credit losses
(denominator)
Non-performing
assets to
tangible
common
shareholders'
equity and
allowance for
credit losses
Pre-provision
net revenue
Net interest
income
Non-interest
income
Less: Investment
securities
gains
Total revenue
Non-interest
expense
Less: Loss on
redemption of
TruPS
Total Non-
interest
expense, as
adjusted
Pre-provision
net revenue
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