SouthState Corporation Reports First Quarter 2024 Results, Declares Quarterly Cash Dividend
"In the midst of a transition year for the US economy,
Highlights of the first quarter of 2024 include:
Returns
- Reported Diluted Earnings per Share ("EPS") of
$1.50 ; Adjusted Diluted EPS (Non-GAAP) of$1.58 - Net Income of
$115.1 million ; Adjusted Net Income (Non-GAAP) of$121.3 million - Return on Average Common Equity of 8.4%; Return on Average Tangible Common Equity (Non-GAAP) of 13.6% and Adjusted Return on Average Tangible Common Equity (Non-GAAP) of 14.4%*
- Return on Average Assets ("ROAA") of 1.03% and Adjusted ROAA (Non-GAAP) of 1.08%*
- Pre-Provision Net Revenue ("PPNR") per Weighted Average Diluted Share (Non-GAAP) of
$2.28 - Book Value per Share of
$72.82 ; Tangible Book Value ("TBV") per Share (Non-GAAP) of$46.48
∗ Annualized percentages
Performance
- Net Interest Income of
$344 million ; Core Net Interest Income (excluding loan accretion) (Non-GAAP) of$340 million - Net Interest Margin ("NIM"), non-tax equivalent of 3.40% and tax equivalent (Non-GAAP) of 3.41%
- Net charge-offs of
$2.7 million , or 0.03% annualized;$12.7 million Provision for Credit Losses ("PCL"), including release for unfunded commitments; total allowance for credit losses ("ACL") plus reserve for unfunded commitments of 1.60% - Noninterest Income of
$72 million ; Noninterest Income represented 0.64% of average assets for the first quarter of 2024 - Recorded
FDIC special assessment expense of$3.9 million - Efficiency Ratio of 58% and Adjusted Efficiency Ratio (Non-GAAP) of 56%
Balance Sheet
- Loans increased
$279 million , or 3% annualized, led by consumer real estate; ending loan to deposit ratio of 88% - Deposits increased
$130 million , or 1% annualized - Total deposit cost of 1.74%, up 0.14% from prior quarter, resulting in a 33% cycle-to-date beta
- Repurchased a total of 100,000 shares during 1Q 2024 at a weighted average price of
$79.85 - Strong capital position with Tangible Common Equity,
Total Risk-Based Capital , Tier 1 Leverage, and Tier 1 Common Equity ratios of 8.2%, 14.4%, 9.6%, and 11.9%, respectively†
† Preliminary
Subsequent Events
- The Board of Directors of the Company declared a quarterly cash dividend on its common stock of
$0.52 per share, payable onMay 17, 2024 to shareholders of record as ofMay 10, 2024
Financial Performance
|
|
Three Months Ended |
|
|||||||||||||
(Dollars in thousands, except per share data) |
|
|
|
|
|
|
|
|
|
|
|
|||||
INCOME STATEMENT |
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|||||
Interest Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans, including fees (1) |
|
$ |
463,688 |
|
$ |
459,880 |
|
$ |
443,805 |
|
$ |
419,355 |
|
$ |
393,366 |
|
Investment securities, trading securities, federal funds sold and securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
purchased under agreements to resell |
|
|
53,567 |
|
|
55,555 |
|
|
56,704 |
|
|
58,698 |
|
|
57,043 |
|
Total interest income |
|
|
517,255 |
|
|
515,435 |
|
|
500,509 |
|
|
478,053 |
|
|
450,409 |
|
Interest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
160,162 |
|
|
149,584 |
|
|
133,944 |
|
|
100,787 |
|
|
55,942 |
|
Federal funds purchased, securities sold under agreements |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
to repurchase, and other borrowings |
|
|
13,157 |
|
|
11,620 |
|
|
11,194 |
|
|
15,523 |
|
|
13,204 |
|
Total interest expense |
|
|
173,319 |
|
|
161,204 |
|
|
145,138 |
|
|
116,310 |
|
|
69,146 |
|
Net Interest Income |
|
|
343,936 |
|
|
354,231 |
|
|
355,371 |
|
|
361,743 |
|
|
381,263 |
|
Provision for credit losses |
|
|
12,686 |
|
|
9,893 |
|
|
32,709 |
|
|
38,389 |
|
|
33,091 |
|
Net Interest Income after Provision for Credit Losses |
|
|
331,250 |
|
|
344,338 |
|
|
322,662 |
|
|
323,354 |
|
|
348,172 |
|
Noninterest Income |
|
|
71,558 |
|
|
65,489 |
|
|
72,848 |
|
|
77,214 |
|
|
71,355 |
|
Noninterest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expense |
|
|
240,923 |
|
|
245,774 |
|
|
238,042 |
|
|
240,818 |
|
|
231,093 |
|
Merger, branch consolidation, severance related and other expense (8) |
|
|
4,513 |
|
|
1,778 |
|
|
164 |
|
|
1,808 |
|
|
9,412 |
|
|
|
|
3,854 |
|
|
25,691 |
|
|
— |
|
|
— |
|
|
— |
|
Total noninterest expense |
|
|
249,290 |
|
|
273,243 |
|
|
238,206 |
|
|
242,626 |
|
|
240,505 |
|
Income before Income Taxes Provision |
|
|
153,518 |
|
|
136,584 |
|
|
157,304 |
|
|
157,942 |
|
|
179,022 |
|
Income taxes provision |
|
|
38,462 |
|
|
29,793 |
|
|
33,160 |
|
|
34,495 |
|
|
39,096 |
|
Net Income |
|
$ |
115,056 |
|
$ |
106,791 |
|
$ |
124,144 |
|
$ |
123,447 |
|
$ |
139,926 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income (non-GAAP) (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income (GAAP) |
|
$ |
115,056 |
|
$ |
106,791 |
|
$ |
124,144 |
|
$ |
123,447 |
|
$ |
139,926 |
|
Securities losses (gains), net of tax |
|
|
— |
|
|
2 |
|
|
— |
|
|
— |
|
|
(35) |
|
Merger, branch consolidation, severance related and other expense, net of tax (8) |
|
|
3,382 |
|
|
1,391 |
|
|
130 |
|
|
1,414 |
|
|
7,356 |
|
|
|
|
2,888 |
|
|
20,087 |
|
|
— |
|
|
— |
|
|
— |
|
Adjusted Net Income (non-GAAP) |
|
$ |
121,326 |
|
$ |
128,271 |
|
$ |
124,274 |
|
$ |
124,861 |
|
$ |
147,247 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per common share |
|
$ |
1.51 |
|
$ |
1.40 |
|
$ |
1.63 |
|
$ |
1.62 |
|
$ |
1.84 |
|
Diluted earnings per common share |
|
$ |
1.50 |
|
$ |
1.39 |
|
$ |
1.62 |
|
$ |
1.62 |
|
$ |
1.83 |
|
Adjusted net income per common share - Basic (non-GAAP) (2) |
|
$ |
1.59 |
|
$ |
1.69 |
|
$ |
1.63 |
|
$ |
1.64 |
|
$ |
1.94 |
|
Adjusted net income per common share - Diluted (non-GAAP) (2) |
|
$ |
1.58 |
|
$ |
1.67 |
|
$ |
1.62 |
|
$ |
1.63 |
|
$ |
1.93 |
|
Dividends per common share |
|
$ |
0.52 |
|
$ |
0.52 |
|
$ |
0.52 |
|
$ |
0.50 |
|
$ |
0.50 |
|
Basic weighted-average common shares outstanding |
|
|
76,301,411 |
|
|
76,100,187 |
|
|
76,139,170 |
|
|
76,057,977 |
|
|
75,902,440 |
|
Diluted weighted-average common shares outstanding |
|
|
76,660,081 |
|
|
76,634,100 |
|
|
76,571,430 |
|
|
76,417,537 |
|
|
76,388,954 |
|
Effective tax rate |
|
|
25.05 % |
|
|
21.81 % |
|
|
21.08 % |
|
|
21.84 % |
|
|
21.84 % |
|
Performance and Capital Ratios
|
|
Three Months Ended |
|
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|
|||||
PERFORMANCE RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets (annualized) |
|
|
1.03 |
% |
|
0.94 |
% |
|
1.10 |
% |
|
1.11 |
% |
|
1.29 |
% |
|
Adjusted return on average assets (annualized) (non-GAAP) (2) |
|
|
1.08 |
% |
|
1.13 |
% |
|
1.10 |
% |
|
1.12 |
% |
|
1.35 |
% |
|
Return on average common equity (annualized) |
|
|
8.36 |
% |
|
7.99 |
% |
|
9.24 |
% |
|
9.34 |
% |
|
10.96 |
% |
|
Adjusted return on average common equity (annualized) (non-GAAP) (2) |
|
|
8.81 |
% |
|
9.60 |
% |
|
9.25 |
% |
|
9.45 |
% |
|
11.53 |
% |
|
Return on average tangible common equity (annualized) (non-GAAP) (3) |
|
|
13.63 |
% |
|
13.53 |
% |
|
15.52 |
% |
|
15.81 |
% |
|
18.81 |
% |
|
Adjusted return on average tangible common equity (annualized) (non-GAAP) (2) (3) |
|
|
14.35 |
% |
|
16.12 |
% |
|
15.54 |
% |
|
15.98 |
% |
|
19.75 |
% |
|
Efficiency ratio (tax equivalent) |
|
|
58.48 |
% |
|
63.43 |
% |
|
54.00 |
% |
|
53.59 |
% |
|
51.41 |
% |
|
Adjusted efficiency ratio (non-GAAP) (4) |
|
|
56.47 |
% |
|
56.89 |
% |
|
53.96 |
% |
|
53.18 |
% |
|
49.34 |
% |
|
Dividend payout ratio (5) |
|
|
34.42 |
% |
|
37.01 |
% |
|
31.84 |
% |
|
30.75 |
% |
|
27.09 |
% |
|
Book value per common share |
|
$ |
72.82 |
|
$ |
72.78 |
|
$ |
68.81 |
|
$ |
69.61 |
|
$ |
69.19 |
|
|
Tangible book value per common share (non-GAAP) (3) |
|
$ |
46.48 |
|
$ |
46.32 |
|
$ |
42.26 |
|
$ |
42.96 |
|
$ |
42.40 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CAPITAL RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity-to-assets |
|
|
12.3 |
% |
|
12.3 |
% |
|
11.6 |
% |
|
11.8 |
% |
|
11.7 |
% |
|
Tangible equity-to-tangible assets (non-GAAP) (3) |
|
|
8.2 |
% |
|
8.2 |
% |
|
7.5 |
% |
|
7.6 |
% |
|
7.5 |
% |
|
Tier 1 leverage (6) |
|
|
9.6 |
% |
|
9.4 |
% |
|
9.3 |
% |
|
9.2 |
% |
|
9.1 |
% |
|
Tier 1 common equity (6) |
|
|
11.9 |
% |
|
11.8 |
% |
|
11.5 |
% |
|
11.3 |
% |
|
11.1 |
% |
|
Tier 1 risk-based capital (6) |
|
|
11.9 |
% |
|
11.8 |
% |
|
11.5 |
% |
|
11.3 |
% |
|
11.1 |
% |
|
Total risk-based capital (6) |
|
|
14.4 |
% |
|
14.1 |
% |
|
13.8 |
% |
|
13.5 |
% |
|
13.3 |
% |
|
Balance Sheet
|
|
Ending Balance |
|
|||||||||||||
(Dollars in thousands, except per share and share data) |
|
|
|
|
|
|
|
|
|
|
|
|||||
BALANCE SHEET |
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
478,271 |
|
$ |
510,922 |
|
$ |
514,917 |
|
$ |
552,900 |
|
$ |
558,158 |
|
Federal funds sold and interest-earning deposits with banks |
|
|
731,186 |
|
|
487,955 |
|
|
814,220 |
|
|
960,849 |
|
|
1,438,504 |
|
Cash and cash equivalents |
|
|
1,209,457 |
|
|
998,877 |
|
|
1,329,137 |
|
|
1,513,749 |
|
|
1,996,662 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trading securities, at fair value |
|
|
66,188 |
|
|
31,321 |
|
|
114,154 |
|
|
56,580 |
|
|
16,039 |
|
Investment securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Securities held to maturity |
|
|
2,446,589 |
|
|
2,487,440 |
|
|
2,533,713 |
|
|
2,585,155 |
|
|
2,636,673 |
|
Securities available for sale, at fair value |
|
|
4,598,400 |
|
|
4,784,388 |
|
|
4,623,618 |
|
|
4,949,334 |
|
|
5,159,999 |
|
Other investments |
|
|
187,285 |
|
|
192,043 |
|
|
187,152 |
|
|
196,728 |
|
|
217,991 |
|
Total investment securities |
|
|
7,232,274 |
|
|
7,463,871 |
|
|
7,344,483 |
|
|
7,731,217 |
|
|
8,014,663 |
|
Loans held for sale |
|
|
56,553 |
|
|
50,888 |
|
|
27,443 |
|
|
42,951 |
|
|
27,289 |
|
Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchased credit deteriorated |
|
|
1,031,283 |
|
|
1,108,813 |
|
|
1,171,543 |
|
|
1,269,983 |
|
|
1,325,400 |
|
Purchased non-credit deteriorated |
|
|
4,534,583 |
|
|
4,796,913 |
|
|
5,064,254 |
|
|
5,275,913 |
|
|
5,620,290 |
|
Non-acquired |
|
|
27,101,444 |
|
|
26,482,763 |
|
|
25,780,875 |
|
|
24,990,889 |
|
|
23,750,452 |
|
Less allowance for credit losses |
|
|
(469,654) |
|
|
(456,573) |
|
|
(447,956) |
|
|
(427,392) |
|
|
(370,645) |
|
Loans, net |
|
|
32,197,656 |
|
|
31,931,916 |
|
|
31,568,716 |
|
|
31,109,393 |
|
|
30,325,497 |
|
Premises and equipment, net |
|
|
512,635 |
|
|
519,197 |
|
|
516,583 |
|
|
518,353 |
|
|
517,146 |
|
Bank owned life insurance |
|
|
997,562 |
|
|
991,454 |
|
|
984,881 |
|
|
979,494 |
|
|
967,750 |
|
Mortgage servicing rights |
|
|
87,970 |
|
|
85,164 |
|
|
89,476 |
|
|
87,539 |
|
|
85,406 |
|
Core deposit and other intangibles |
|
|
83,193 |
|
|
88,776 |
|
|
95,094 |
|
|
102,256 |
|
|
109,603 |
|
|
|
|
1,923,106 |
|
|
1,923,106 |
|
|
1,923,106 |
|
|
1,923,106 |
|
|
1,923,106 |
|
Other assets |
|
|
778,244 |
|
|
817,454 |
|
|
996,055 |
|
|
875,694 |
|
|
940,666 |
|
Total assets |
|
$ |
45,144,838 |
|
$ |
44,902,024 |
|
$ |
44,989,128 |
|
$ |
44,940,332 |
|
$ |
44,923,827 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Shareholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing |
|
$ |
10,546,410 |
|
$ |
10,649,274 |
|
$ |
11,158,431 |
|
$ |
11,489,483 |
|
$ |
12,422,583 |
|
Interest-bearing |
|
|
26,632,024 |
|
|
26,399,635 |
|
|
25,776,767 |
|
|
25,252,395 |
|
|
23,979,009 |
|
Total deposits |
|
|
37,178,434 |
|
|
37,048,909 |
|
|
36,935,198 |
|
|
36,741,878 |
|
|
36,401,592 |
|
Federal funds purchased and securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
sold under agreements to repurchase |
|
|
554,691 |
|
|
489,185 |
|
|
513,304 |
|
|
581,446 |
|
|
544,108 |
|
Other borrowings |
|
|
391,812 |
|
|
491,904 |
|
|
391,997 |
|
|
792,090 |
|
|
1,292,182 |
|
Reserve for unfunded commitments |
|
|
53,229 |
|
|
56,303 |
|
|
62,347 |
|
|
63,399 |
|
|
85,068 |
|
Other liabilities |
|
|
1,419,663 |
|
|
1,282,625 |
|
|
1,855,295 |
|
|
1,471,509 |
|
|
1,351,873 |
|
Total liabilities |
|
|
39,597,829 |
|
|
39,368,926 |
|
|
39,758,141 |
|
|
39,650,322 |
|
|
39,674,823 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shareholders' equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common stock - |
|
|
190,443 |
|
|
190,055 |
|
|
190,043 |
|
|
189,990 |
|
|
189,649 |
|
Surplus |
|
|
4,230,345 |
|
|
4,240,413 |
|
|
4,238,753 |
|
|
4,228,910 |
|
|
4,224,503 |
|
Retained earnings |
|
|
1,749,215 |
|
|
1,685,166 |
|
|
1,618,080 |
|
|
1,533,508 |
|
|
1,448,636 |
|
Accumulated other comprehensive loss |
|
|
(622,994) |
|
|
(582,536) |
|
|
(815,889) |
|
|
(662,398) |
|
|
(613,784) |
|
Total shareholders' equity |
|
|
5,547,009 |
|
|
5,533,098 |
|
|
5,230,987 |
|
|
5,290,010 |
|
|
5,249,004 |
|
Total liabilities and shareholders' equity |
|
$ |
45,144,838 |
|
$ |
44,902,024 |
|
$ |
44,989,128 |
|
$ |
44,940,332 |
|
$ |
44,923,827 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares issued and outstanding |
|
|
76,177,163 |
|
|
76,022,039 |
|
|
76,017,366 |
|
|
75,995,979 |
|
|
75,859,665 |
|
Net Interest Income and Margin
|
|
Three Months Ended |
|
||||||||||||||||||||||
|
|
|
|
|
|
|
|
||||||||||||||||||
(Dollars in thousands) |
|
Average |
|
Income/ |
|
Yield/ |
|
Average |
|
Income/ |
|
Yield/ |
|
Average |
|
Income/ |
|
Yield/ |
|
||||||
YIELD ANALYSIS |
|
Balance |
|
Expense |
|
Rate |
|
Balance |
|
Expense |
|
Rate |
|
Balance |
|
Expense |
|
Rate |
|
||||||
Interest-Earning Assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold and interest-earning deposits with banks |
|
$ |
668,349 |
|
$ |
8,254 |
|
4.97 % |
|
$ |
814,244 |
|
$ |
10,029 |
|
4.89 % |
|
$ |
759,239 |
|
$ |
8,921 |
|
4.77 % |
|
Investment securities |
|
|
7,465,735 |
|
|
45,313 |
|
2.44 % |
|
|
7,382,800 |
|
|
45,526 |
|
2.45 % |
|
|
8,232,582 |
|
|
48,122 |
|
2.37 % |
|
Loans held for sale |
|
|
42,872 |
|
|
681 |
|
6.39 % |
|
|
28,878 |
|
|
552 |
|
7.58 % |
|
|
23,123 |
|
|
402 |
|
7.05 % |
|
Total loans held for investment |
|
|
32,480,220 |
|
|
463,007 |
|
5.73 % |
|
|
32,239,455 |
|
|
459,328 |
|
5.65 % |
|
|
30,394,396 |
|
|
392,964 |
|
5.24 % |
|
Total interest-earning assets |
|
|
40,657,176 |
|
|
517,255 |
|
5.12 % |
|
|
40,465,377 |
|
|
515,435 |
|
5.05 % |
|
|
39,409,340 |
|
|
450,409 |
|
4.64 % |
|
Noninterest-earning assets |
|
|
4,353,987 |
|
|
|
|
|
|
|
4,572,255 |
|
|
|
|
|
|
|
4,695,138 |
|
|
|
|
|
|
Total Assets |
|
$ |
45,011,163 |
|
|
|
|
|
|
$ |
45,037,632 |
|
|
|
|
|
|
$ |
44,104,478 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing Liabilities ("IBL"): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction and money market accounts |
|
$ |
19,544,019 |
|
$ |
117,292 |
|
2.41 % |
|
$ |
18,957,647 |
|
$ |
107,994 |
|
2.26 % |
|
$ |
16,874,909 |
|
$ |
40,516 |
|
0.97 % |
|
Savings deposits |
|
|
2,589,251 |
|
|
1,818 |
|
0.28 % |
|
|
2,680,065 |
|
|
1,888 |
|
0.28 % |
|
|
3,298,221 |
|
|
1,756 |
|
0.22 % |
|
Certificates and other time deposits |
|
|
4,282,749 |
|
|
41,052 |
|
3.86 % |
|
|
4,294,555 |
|
|
39,702 |
|
3.67 % |
|
|
3,114,354 |
|
|
13,670 |
|
1.78 % |
|
Federal funds purchased |
|
|
256,506 |
|
|
3,369 |
|
5.28 % |
|
|
256,672 |
|
|
3,453 |
|
5.34 % |
|
|
193,259 |
|
|
2,187 |
|
4.59 % |
|
Repurchase agreements |
|
|
280,674 |
|
|
1,358 |
|
1.95 % |
|
|
265,839 |
|
|
1,458 |
|
2.18 % |
|
|
373,563 |
|
|
666 |
|
0.72 % |
|
Other borrowings |
|
|
563,848 |
|
|
8,430 |
|
6.01 % |
|
|
438,701 |
|
|
6,709 |
|
6.07 % |
|
|
785,571 |
|
|
10,351 |
|
5.34 % |
|
Total interest-bearing liabilities |
|
|
27,517,047 |
|
|
173,319 |
|
2.53 % |
|
|
26,893,479 |
|
|
161,204 |
|
2.38 % |
|
|
24,639,877 |
|
|
69,146 |
|
1.14 % |
|
Noninterest-bearing liabilities ("Non-IBL") |
|
|
11,957,565 |
|
|
|
|
|
|
|
12,844,262 |
|
|
|
|
|
|
|
14,287,553 |
|
|
|
|
|
|
Shareholders' equity |
|
|
5,536,551 |
|
|
|
|
|
|
|
5,299,891 |
|
|
|
|
|
|
|
5,177,048 |
|
|
|
|
|
|
Total Non-IBL and shareholders' equity |
|
|
17,494,116 |
|
|
|
|
|
|
|
18,144,153 |
|
|
|
|
|
|
|
19,464,601 |
|
|
|
|
|
|
Total Liabilities and Shareholders' Equity |
|
$ |
45,011,163 |
|
|
|
|
|
|
$ |
45,037,632 |
|
|
|
|
|
|
$ |
44,104,478 |
|
|
|
|
|
|
Net Interest Income and Margin (Non-Tax Equivalent) |
|
|
|
|
$ |
343,936 |
|
3.40 % |
|
|
|
|
$ |
354,231 |
|
3.47 % |
|
|
|
|
$ |
381,263 |
|
3.92 % |
|
Net Interest Margin (Tax Equivalent) (non-GAAP) |
|
|
|
|
|
|
|
3.41 % |
|
|
|
|
|
|
|
3.48 % |
|
|
|
|
|
|
|
3.93 % |
|
Total Deposit Cost (without Debt and Other Borrowings) |
|
|
|
|
|
|
|
1.74 % |
|
|
|
|
|
|
|
1.60 % |
|
|
|
|
|
|
|
0.63 % |
|
Overall Cost of Funds (including Demand Deposits) |
|
|
|
|
|
|
|
1.83 % |
|
|
|
|
|
|
|
1.69 % |
|
|
|
|
|
|
|
0.75 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Accretion on Acquired Loans (1) |
|
|
|
|
$ |
4,287 |
|
|
|
|
|
|
$ |
3,870 |
|
|
|
|
|
|
$ |
7,398 |
|
|
|
Tax Equivalent ("TE") Adjustment |
|
|
|
|
$ |
528 |
|
|
|
|
|
|
$ |
659 |
|
|
|
|
|
|
$ |
1,020 |
|
|
|
|
|
• |
The remaining loan discount on acquired loans to be accreted into loan interest income totals |
Noninterest Income and Expense
|
|
Three Months Ended |
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
(Dollars in thousands) |
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|||||
Noninterest Income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fees on deposit accounts |
|
$ |
33,145 |
|
$ |
33,225 |
|
$ |
32,830 |
|
$ |
33,101 |
|
$ |
29,859 |
|
Mortgage banking income |
|
|
6,169 |
|
|
2,191 |
|
|
2,478 |
|
|
4,354 |
|
|
4,332 |
|
Trust and investment services income |
|
|
10,391 |
|
|
10,131 |
|
|
9,556 |
|
|
9,823 |
|
|
9,937 |
|
Securities (losses) gains, net |
|
|
— |
|
|
(2) |
|
|
— |
|
|
— |
|
|
45 |
|
Correspondent banking and capital markets income |
|
|
14,591 |
|
|
16,081 |
|
|
24,808 |
|
|
27,734 |
|
|
21,956 |
|
Expense on centrally-cleared variation margin |
|
|
(10,280) |
|
|
(12,677) |
|
|
(11,892) |
|
|
(8,547) |
|
|
(8,362) |
|
Total correspondent banking and capital markets income |
|
|
4,311 |
|
|
3,404 |
|
|
12,916 |
|
|
19,187 |
|
|
13,594 |
|
Bank owned life insurance income |
|
|
6,892 |
|
|
6,567 |
|
|
7,039 |
|
|
6,271 |
|
|
6,813 |
|
Other |
|
|
10,650 |
|
|
9,973 |
|
|
8,029 |
|
|
4,478 |
|
|
6,775 |
|
Total Noninterest Income |
|
$ |
71,558 |
|
$ |
65,489 |
|
$ |
72,848 |
|
$ |
77,214 |
|
$ |
71,355 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest Expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
$ |
150,453 |
|
$ |
145,850 |
|
$ |
146,146 |
|
$ |
147,342 |
|
$ |
144,060 |
|
Occupancy expense |
|
|
22,577 |
|
|
22,715 |
|
|
22,251 |
|
|
22,196 |
|
|
21,533 |
|
Information services expense |
|
|
22,353 |
|
|
22,000 |
|
|
21,428 |
|
|
21,119 |
|
|
19,925 |
|
OREO and loan related expense (income) |
|
|
606 |
|
|
948 |
|
|
613 |
|
|
(14) |
|
|
169 |
|
Business development and staff related |
|
|
5,799 |
|
|
7,492 |
|
|
5,995 |
|
|
6,672 |
|
|
5,957 |
|
Amortization of intangibles |
|
|
5,998 |
|
|
6,615 |
|
|
6,616 |
|
|
7,028 |
|
|
7,299 |
|
Professional fees |
|
|
3,115 |
|
|
7,025 |
|
|
3,456 |
|
|
4,364 |
|
|
3,702 |
|
Supplies and printing expense |
|
|
2,540 |
|
|
2,761 |
|
|
2,623 |
|
|
2,554 |
|
|
2,640 |
|
|
|
|
8,534 |
|
|
8,325 |
|
|
8,632 |
|
|
9,819 |
|
|
6,294 |
|
Advertising and marketing |
|
|
1,984 |
|
|
2,826 |
|
|
3,009 |
|
|
1,521 |
|
|
2,118 |
|
Other operating expenses |
|
|
16,964 |
|
|
19,217 |
|
|
17,273 |
|
|
18,217 |
|
|
17,396 |
|
Merger, branch consolidation, severance related and other expense (8) |
|
|
4,513 |
|
|
1,778 |
|
|
164 |
|
|
1,808 |
|
|
9,412 |
|
|
|
|
3,854 |
|
|
25,691 |
|
|
— |
|
|
— |
|
|
— |
|
Total Noninterest Expense |
|
$ |
249,290 |
|
$ |
273,243 |
|
$ |
238,206 |
|
$ |
242,626 |
|
$ |
240,505 |
|
Loans and Deposits
The following table presents a summary of the loan portfolio by type:
|
|
Ending Balance |
|
|||||||||||||
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|||||
LOAN PORTFOLIO (7) |
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|||||
Construction and land development * † |
|
$ |
2,437,343 |
|
$ |
2,923,514 |
|
$ |
2,776,241 |
|
$ |
2,817,125 |
|
$ |
2,749,290 |
|
Investor commercial real estate* |
|
|
9,752,529 |
|
|
9,227,968 |
|
|
9,372,683 |
|
|
9,187,948 |
|
|
8,957,507 |
|
Commercial owner occupied real estate |
|
|
5,511,855 |
|
|
5,497,671 |
|
|
5,539,097 |
|
|
5,585,951 |
|
|
5,522,514 |
|
Commercial and industrial |
|
|
5,544,131 |
|
|
5,504,539 |
|
|
5,458,229 |
|
|
5,378,294 |
|
|
5,321,306 |
|
Consumer real estate * |
|
|
8,223,066 |
|
|
7,993,450 |
|
|
7,608,145 |
|
|
7,275,495 |
|
|
6,860,831 |
|
Consumer/other |
|
|
1,198,386 |
|
|
1,241,347 |
|
|
1,262,277 |
|
|
1,291,972 |
|
|
1,284,694 |
|
Total Loans |
|
$ |
32,667,310 |
|
$ |
32,388,489 |
|
$ |
32,016,672 |
|
$ |
31,536,785 |
|
$ |
30,696,142 |
|
|
|
* |
Single family home construction-to-permanent loans originated by the Company's mortgage banking division are included in construction and land development category until completion. Investor commercial real estate loans include commercial non-owner occupied real estate and other income producing property. Consumer real estate includes consumer owner occupied real estate and home equity loans. |
|
|
† |
Includes single family home construction-to-permanent loans of |
|
|
|
|
Ending Balance |
|
|||||||||||||
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|||||
DEPOSITS |
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|||||
Noninterest-bearing checking |
|
$ |
10,546,410 |
|
$ |
10,649,274 |
|
$ |
11,158,431 |
|
$ |
11,489,483 |
|
$ |
12,422,583 |
|
Interest-bearing checking |
|
|
7,898,835 |
|
|
7,978,799 |
|
|
7,806,243 |
|
|
8,185,609 |
|
|
8,316,023 |
|
Savings |
|
|
2,557,203 |
|
|
2,632,212 |
|
|
2,760,166 |
|
|
2,931,320 |
|
|
3,156,214 |
|
Money market |
|
|
11,895,385 |
|
|
11,538,671 |
|
|
10,756,431 |
|
|
9,710,032 |
|
|
8,388,275 |
|
Time deposits |
|
|
4,280,601 |
|
|
4,249,953 |
|
|
4,453,927 |
|
|
4,425,434 |
|
|
4,118,497 |
|
Total Deposits |
|
$ |
37,178,434 |
|
$ |
37,048,909 |
|
$ |
36,935,198 |
|
$ |
36,741,878 |
|
$ |
36,401,592 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Core Deposits (excludes Time Deposits) |
|
$ |
32,897,833 |
|
$ |
32,798,956 |
|
$ |
32,481,271 |
|
$ |
32,316,444 |
|
$ |
32,283,095 |
|
Asset Quality
|
|
Ending Balance |
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
(Dollars in thousands) |
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|||||
NONPERFORMING ASSETS: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-acquired |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-acquired nonaccrual loans and restructured loans on nonaccrual |
|
$ |
106,189 |
|
$ |
110,467 |
|
$ |
105,856 |
|
$ |
104,772 |
|
$ |
68,176 |
|
Accruing loans past due 90 days or more |
|
|
2,497 |
|
|
11,305 |
|
|
783 |
|
|
3,620 |
|
|
2,667 |
|
Non-acquired OREO and other nonperforming assets |
|
|
1,589 |
|
|
711 |
|
|
449 |
|
|
227 |
|
|
186 |
|
Total non-acquired nonperforming assets |
|
|
110,275 |
|
|
122,483 |
|
|
107,088 |
|
|
108,619 |
|
|
71,029 |
|
Acquired |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acquired nonaccrual loans and restructured loans on nonaccrual |
|
|
63,451 |
|
|
59,755 |
|
|
57,464 |
|
|
60,734 |
|
|
52,795 |
|
Accruing loans past due 90 days or more |
|
|
135 |
|
|
1,174 |
|
|
1,821 |
|
|
571 |
|
|
983 |
|
Acquired OREO and other nonperforming assets |
|
|
655 |
|
|
712 |
|
|
378 |
|
|
981 |
|
|
3,446 |
|
Total acquired nonperforming assets |
|
|
64,241 |
|
|
61,641 |
|
|
59,663 |
|
|
62,286 |
|
|
57,224 |
|
Total nonperforming assets |
|
$ |
174,516 |
|
$ |
184,124 |
|
$ |
166,751 |
|
$ |
170,905 |
|
$ |
128,253 |
|
|
|
Three Months Ended |
|
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
2024 |
|
2023 |
|
2023 |
|
2023 |
|
2023 |
|
|||||
ASSET QUALITY RATIOS (7): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses as a percentage of loans |
|
|
1.44 % |
|
|
1.41 % |
|
|
1.40 % |
|
|
1.36 % |
|
|
1.21 % |
|
Allowance for credit losses, including reserve for unfunded commitments, as a percentage of loans |
|
|
1.60 % |
|
|
1.58 % |
|
|
1.59 % |
|
|
1.56 % |
|
|
1.48 % |
|
Allowance for credit losses as a percentage of nonperforming loans |
|
|
272.62 % |
|
|
249.90 % |
|
|
269.98 % |
|
|
251.86 % |
|
|
297.42 % |
|
Net charge-offs as a percentage of average loans (annualized) |
|
|
0.03 % |
|
|
0.09 % |
|
|
0.16 % |
|
|
0.04 % |
|
|
0.01 % |
|
Total nonperforming assets as a percentage of total assets |
|
|
0.39 % |
|
|
0.41 % |
|
|
0.37 % |
|
|
0.38 % |
|
|
0.29 % |
|
Nonperforming loans as a percentage of period end loans |
|
|
0.53 % |
|
|
0.56 % |
|
|
0.52 % |
|
|
0.54 % |
|
|
0.41 % |
|
Current Expected Credit Losses ("CECL")
Below is a table showing the roll forward of the ACL and UFC for the first quarter of 2024:
|
|
Allowance for Credit Losses ("ACL and UFC") |
|
||||||||||
(Dollars in thousands) |
|
NonPCD ACL |
|
PCD ACL |
|
Total ACL |
|
UFC |
|
||||
Ending balance |
|
$ |
423,876 |
|
$ |
32,697 |
|
$ |
456,573 |
|
$ |
56,303 |
|
Charge offs |
|
|
(4,829) |
|
|
— |
|
|
(4,829) |
|
|
— |
|
Acquired charge offs |
|
|
(2,889) |
|
|
(222) |
|
|
(3,111) |
|
|
— |
|
Recoveries |
|
|
2,703 |
|
|
— |
|
|
2,703 |
|
|
— |
|
Acquired recoveries |
|
|
272 |
|
|
2,286 |
|
|
2,558 |
|
|
— |
|
Provision (recovery) for credit losses |
|
|
20,055 |
|
|
(4,295) |
|
|
15,760 |
|
|
(3,074) |
|
Ending balance |
|
$ |
439,188 |
|
$ |
30,466 |
|
$ |
469,654 |
|
$ |
53,229 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period end loans |
|
$ |
31,636,027 |
|
$ |
1,031,283 |
|
$ |
32,667,310 |
|
|
N/A |
|
Allowance for Credit Losses to Loans |
|
|
1.39 % |
|
|
2.95 % |
|
|
1.44 % |
|
|
N/A |
|
Unfunded commitments (off balance sheet) * |
|
|
|
|
|
|
|
|
|
|
$ |
8,160,594 |
|
Reserve to unfunded commitments (off balance sheet) |
|
|
|
|
|
|
|
|
|
|
|
0.65 % |
|
|
|
* |
Unfunded commitments exclude unconditionally cancelable commitments and letters of credit. |
Conference Call
The Company will host a conference call to discuss its first quarter results at
SouthState Corporation is a financial services company headquartered in
Non-GAAP Measures
Statements included in this press release include non-GAAP measures and should be read along with the accompanying tables that provide a reconciliation of non-GAAP measures to GAAP measures. Although other companies may use calculation methods that differ from those used by
(Dollars and shares in thousands, except per share data) |
|
Three Months Ended |
|
|||||||||||||||||
PRE-PROVISION NET REVENUE ("PPNR") (NON-GAAP) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net income (GAAP) |
|
$ |
115,056 |
|
|
$ |
106,791 |
|
|
$ |
124,144 |
|
|
$ |
123,447 |
|
|
$ |
139,926 |
|
Provision for credit losses |
|
|
12,686 |
|
|
|
9,893 |
|
|
|
32,709 |
|
|
|
38,389 |
|
|
|
33,091 |
|
Tax provision |
|
|
38,462 |
|
|
|
29,793 |
|
|
|
33,160 |
|
|
|
34,495 |
|
|
|
39,096 |
|
Merger, branch consolidation, severance related and other expense (8) |
|
|
4,513 |
|
|
|
1,778 |
|
|
|
164 |
|
|
|
1,808 |
|
|
|
9,412 |
|
|
|
|
3,854 |
|
|
|
25,691 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Securities losses (gains) |
|
|
— |
|
|
|
2 |
|
|
|
— |
|
|
|
— |
|
|
|
(45) |
|
Pre-provision net revenue (PPNR) (Non-GAAP) |
|
$ |
174,571 |
|
|
$ |
173,948 |
|
|
$ |
190,177 |
|
|
$ |
198,139 |
|
|
$ |
221,480 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average asset balance (GAAP) |
|
$ |
45,011,163 |
|
|
$ |
45,037,632 |
|
|
$ |
44,841,319 |
|
|
$ |
44,628,124 |
|
|
$ |
44,104,478 |
|
PPNR ROAA |
|
|
1.56 |
% |
|
|
1.53 |
% |
|
|
1.68 |
% |
|
|
1.78 |
% |
|
|
2.04 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted weighted-average common shares outstanding |
|
|
76,660 |
|
|
|
76,634 |
|
|
|
76,571 |
|
|
|
76,418 |
|
|
|
76,389 |
|
PPNR per weighted-average common shares outstanding |
|
$ |
2.28 |
|
|
$ |
2.27 |
|
|
$ |
2.48 |
|
|
$ |
2.59 |
|
|
$ |
2.90 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Dollars in thousands) |
|
Three Months Ended |
|
|||||||||||||||||
CORE NET INTEREST INCOME (NON-GAAP) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Net interest income (GAAP) |
|
$ |
343,936 |
|
|
$ |
354,231 |
|
|
$ |
355,371 |
|
|
$ |
361,743 |
|
|
$ |
381,263 |
|
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total accretion on acquired loans |
|
|
4,287 |
|
|
|
3,870 |
|
|
|
4,053 |
|
|
|
5,481 |
|
|
|
7,398 |
|
Core net interest income (Non-GAAP) |
|
$ |
339,649 |
|
|
$ |
350,361 |
|
|
$ |
351,318 |
|
|
$ |
356,262 |
|
|
$ |
373,865 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET INTEREST MARGIN ("NIM"), TE (NON-GAAP) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income (GAAP) |
|
$ |
343,936 |
|
|
$ |
354,231 |
|
|
$ |
355,371 |
|
|
$ |
361,743 |
|
|
$ |
381,263 |
|
Total average interest-earning assets |
|
|
40,657,176 |
|
|
|
40,465,377 |
|
|
|
40,376,380 |
|
|
|
40,127,836 |
|
|
|
39,409,340 |
|
NIM, non-tax equivalent |
|
|
3.40 |
% |
|
|
3.47 |
% |
|
|
3.49 |
% |
|
|
3.62 |
% |
|
|
3.92 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tax equivalent adjustment (included in NIM, TE) |
|
|
528 |
|
|
|
659 |
|
|
|
646 |
|
|
|
698 |
|
|
|
1,020 |
|
Net interest income, tax equivalent (Non-GAAP) |
|
$ |
344,464 |
|
|
$ |
354,890 |
|
|
$ |
356,017 |
|
|
$ |
362,441 |
|
|
$ |
382,283 |
|
NIM, TE (Non-GAAP) |
|
|
3.41 |
% |
|
|
3.48 |
% |
|
|
3.50 |
% |
|
|
3.62 |
% |
|
|
3.93 |
% |
|
|
Three Months Ended |
|
|||||||||||||||||
(Dollars in thousands, except per share data) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
RECONCILIATION OF GAAP TO NON-GAAP |
|
2024 |
|
|
2023 |
|
|
2023 |
|
|
2023 |
|
|
2023 |
|
|||||
Adjusted Net Income (non-GAAP) (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income (GAAP) |
|
$ |
115,056 |
|
|
$ |
106,791 |
|
|
$ |
124,144 |
|
|
$ |
123,447 |
|
|
$ |
139,926 |
|
Securities losses (gains), net of tax |
|
|
— |
|
|
|
2 |
|
|
|
— |
|
|
|
— |
|
|
|
(35) |
|
Merger, branch consolidation, severance related and other expense, net of tax (8) |
|
|
3,382 |
|
|
|
1,391 |
|
|
|
130 |
|
|
|
1,414 |
|
|
|
7,356 |
|
|
|
|
2,888 |
|
|
|
20,087 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted net income (non-GAAP) |
|
$ |
121,326 |
|
|
$ |
128,271 |
|
|
$ |
124,274 |
|
|
$ |
124,861 |
|
|
$ |
147,247 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income per Common Share - Basic (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share - Basic (GAAP) |
|
$ |
1.51 |
|
|
$ |
1.40 |
|
|
$ |
1.63 |
|
|
$ |
1.62 |
|
|
$ |
1.84 |
|
Effect to adjust for securities losses (gains), net of tax |
|
|
— |
|
|
|
0.00 |
|
|
|
— |
|
|
|
— |
|
|
|
(0.00) |
|
Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8) |
|
|
0.04 |
|
|
|
0.03 |
|
|
|
0.00 |
|
|
|
0.02 |
|
|
|
0.10 |
|
Effect to adjust for |
|
|
0.04 |
|
|
|
0.26 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted net income per common share - Basic (non-GAAP) |
|
$ |
1.59 |
|
|
$ |
1.69 |
|
|
$ |
1.63 |
|
|
$ |
1.64 |
|
|
$ |
1.94 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income per Common Share - Diluted (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per common share - Diluted (GAAP) |
|
$ |
1.50 |
|
|
$ |
1.39 |
|
|
$ |
1.62 |
|
|
$ |
1.62 |
|
|
$ |
1.83 |
|
Effect to adjust for securities losses (gains), net of tax |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(0.00) |
|
Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8) |
|
|
0.04 |
|
|
|
0.02 |
|
|
|
0.00 |
|
|
|
0.01 |
|
|
|
0.10 |
|
Effect to adjust for |
|
|
0.04 |
|
|
|
0.26 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Adjusted net income per common share - Diluted (non-GAAP) |
|
$ |
1.58 |
|
|
$ |
1.67 |
|
|
$ |
1.62 |
|
|
$ |
1.63 |
|
|
$ |
1.93 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Return on Average Assets (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets (GAAP) |
|
|
1.03 |
% |
|
|
0.94 |
% |
|
|
1.10 |
% |
|
|
1.11 |
% |
|
|
1.29 |
% |
Effect to adjust for securities losses (gains), net of tax |
|
|
— |
% |
|
|
0.00 |
% |
|
|
— |
% |
|
|
— |
% |
|
|
(0.00) |
% |
Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8) |
|
|
0.02 |
% |
|
|
0.01 |
% |
|
|
— |
% |
|
|
0.01 |
% |
|
|
0.06 |
% |
Effect to adjust for |
|
|
0.03 |
% |
|
|
0.18 |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
Adjusted return on average assets (non-GAAP) |
|
|
1.08 |
% |
|
|
1.13 |
% |
|
|
1.10 |
% |
|
|
1.12 |
% |
|
|
1.35 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Return on Average Common Equity (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average common equity (GAAP) |
|
|
8.36 |
% |
|
|
7.99 |
% |
|
|
9.24 |
% |
|
|
9.34 |
% |
|
|
10.96 |
% |
Effect to adjust for securities losses (gains), net of tax |
|
|
— |
% |
|
|
0.00 |
% |
|
|
— |
% |
|
|
— |
% |
|
|
(0.00) |
% |
Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8) |
|
|
0.24 |
% |
|
|
0.11 |
% |
|
|
0.01 |
% |
|
|
0.11 |
% |
|
|
0.57 |
% |
Effect to adjust for |
|
|
0.21 |
% |
|
|
1.50 |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
Adjusted return on average common equity (non-GAAP) |
|
|
8.81 |
% |
|
|
9.60 |
% |
|
|
9.25 |
% |
|
|
9.45 |
% |
|
|
11.53 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on Average Common Tangible Equity (3) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average common equity (GAAP) |
|
|
8.36 |
% |
|
|
7.99 |
% |
|
|
9.24 |
% |
|
|
9.34 |
% |
|
|
10.96 |
% |
Effect to adjust for intangible assets |
|
|
5.27 |
% |
|
|
5.54 |
% |
|
|
6.28 |
% |
|
|
6.47 |
% |
|
|
7.85 |
% |
Return on average tangible equity (non-GAAP) |
|
|
13.63 |
% |
|
|
13.53 |
% |
|
|
15.52 |
% |
|
|
15.81 |
% |
|
|
18.81 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Return on Average Common Tangible Equity (2) (3) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average common equity (GAAP) |
|
|
8.36 |
% |
|
|
7.99 |
% |
|
|
9.24 |
% |
|
|
9.34 |
% |
|
|
10.96 |
% |
Effect to adjust for securities losses (gains), net of tax |
|
|
— |
% |
|
|
0.00 |
% |
|
|
— |
% |
|
|
— |
% |
|
|
(0.00) |
% |
Effect to adjust for merger, branch consolidation, severance related and other expense, net of tax (8) |
|
|
0.25 |
% |
|
|
0.10 |
% |
|
|
0.01 |
% |
|
|
0.11 |
% |
|
|
0.58 |
% |
Effect to adjust for |
|
|
0.21 |
% |
|
|
1.50 |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
Effect to adjust for intangible assets, net of tax |
|
|
5.53 |
% |
|
|
6.53 |
% |
|
|
6.29 |
% |
|
|
6.53 |
% |
|
|
8.21 |
% |
Adjusted return on average common tangible equity (non-GAAP) |
|
|
14.35 |
% |
|
|
16.12 |
% |
|
|
15.54 |
% |
|
|
15.98 |
% |
|
|
19.75 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Efficiency Ratio (4) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio |
|
|
58.48 |
% |
|
|
63.43 |
% |
|
|
54.00 |
% |
|
|
53.59 |
% |
|
|
51.41 |
% |
Effect to adjust for merger, branch consolidation, severance related and other expense (8) |
|
|
(1.08) |
% |
|
|
(0.43) |
% |
|
|
(0.04) |
% |
|
|
(0.41) |
% |
|
|
(2.07) |
% |
Effect to adjust for |
|
|
(0.93) |
% |
|
|
(6.11) |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
Adjusted efficiency ratio |
|
|
56.47 |
% |
|
|
56.89 |
% |
|
|
53.96 |
% |
|
|
53.18 |
% |
|
|
49.34 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible Book Value Per Common Share (3) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per common share (GAAP) |
|
$ |
72.82 |
|
|
$ |
72.78 |
|
|
$ |
68.81 |
|
|
$ |
69.61 |
|
|
$ |
69.19 |
|
Effect to adjust for intangible assets |
|
|
(26.34) |
|
|
|
(26.46) |
|
|
|
(26.55) |
|
|
|
(26.65) |
|
|
|
(26.79) |
|
Tangible book value per common share (non-GAAP) |
|
$ |
46.48 |
|
|
$ |
46.32 |
|
|
$ |
42.26 |
|
|
$ |
42.96 |
|
|
$ |
42.40 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible Equity-to-Tangible Assets (3) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity-to-assets (GAAP) |
|
|
12.29 |
% |
|
|
12.32 |
% |
|
|
11.63 |
% |
|
|
11.77 |
% |
|
|
11.68 |
% |
Effect to adjust for intangible assets |
|
|
(4.08) |
% |
|
|
(4.11) |
% |
|
|
(4.15) |
% |
|
|
(4.16) |
% |
|
|
(4.18) |
% |
Tangible equity-to-tangible assets (non-GAAP) |
|
|
8.21 |
% |
|
|
8.21 |
% |
|
|
7.48 |
% |
|
|
7.61 |
% |
|
|
7.50 |
% |
Footnotes to tables: |
|
(1) |
Includes loan accretion (interest) income related to the discount on acquired loans of |
(2) |
Adjusted earnings, adjusted return on average assets, adjusted EPS, and adjusted return on average equity are non-GAAP measures and exclude the gains or losses on sales of securities, merger, branch consolidation, severance related and other expense, and |
(3) |
The tangible measures are non-GAAP measures and exclude the effect of period end or average balance of intangible assets. The tangible returns on equity and common equity measures also add back the after-tax amortization of intangibles to GAAP basis net income. Management believes that these non-GAAP tangible measures provide additional useful information, particularly since these measures are widely used by industry analysts for companies with prior merger and acquisition activities. Non-GAAP measures should not be considered as an alternative to any measure of performance or financial condition as promulgated under GAAP, and investors should consider the Company's performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Non-GAAP measures have limitations as analytical tools, and investors should not consider them in isolation or as a substitute for analysis of the Company's results or financial condition as reported under GAAP. The sections titled "Reconciliation of GAAP to Non-GAAP" provide tables that reconcile GAAP measures to non-GAAP. |
(4) |
Adjusted efficiency ratio is calculated by taking the noninterest expense excluding merger, branch consolidation, severance related and other expense, |
(5) |
The dividend payout ratio is calculated by dividing total dividends paid during the period by the total net income for the same period. |
(6) |
|
(7) |
Loan data excludes mortgage loans held for sale. |
(8) |
Includes pre-tax cyber incident costs of |
Cautionary Statement Regarding Forward Looking Statements
Statements included in this communication, which are not historical in nature are intended to be, and are hereby identified as, forward-looking statements for purposes of the safe harbor provided by Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements are based on, among other things, management's beliefs, assumptions, current expectations, estimates and projections about the financial services industry, the economy and
All forward-looking statements speak only as of the date they are made and are based on information available at that time.
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