Dollars in millions, except per share data | ||||||||||||||||||||
Three Months Ended | Year Ended December 31, | |||||||||||||||||||
Summary Financial Data & Key Metrics | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | |||||||||||||||
Results of Operations: | ||||||||||||||||||||
Net interest income | $ | 1,709 | $ | 1,796 | $ | 1,911 | $ | 7,143 | $ | 6,712 | ||||||||||
Provision for credit losses | 155 | 117 | 249 | 431 | 1,375 | |||||||||||||||
Net interest income after provision for credit losses | 1,554 | 1,679 | 1,662 | 6,712 | 5,337 | |||||||||||||||
Noninterest income | 699 | 650 | 543 | 2,615 | 12,075 | |||||||||||||||
Noninterest expense | 1,517 | 1,456 | 1,492 | 5,735 | 5,335 | |||||||||||||||
Income before income taxes | 736 | 873 | 713 | 3,592 | 12,077 | |||||||||||||||
Income tax expense | 36 | 234 | 199 | 815 | 611 | |||||||||||||||
Net income | 700 | 639 | 514 | 2,777 | 11,466 | |||||||||||||||
Preferred stock dividends | 15 | 15 | 15 | 61 | 59 | |||||||||||||||
Net income available to common stockholders | $ | 685 | $ | 624 | $ | 499 | $ | 2,716 | $ | 11,407 | ||||||||||
Adjusted net income available to common stockholders(1) | $ | 628 | $ | 660 | $ | 678 | $ | 2,796 | $ | 2,548 | ||||||||||
Pre-tax, pre-provision net revenue (PPNR)(1) | $ | 891 | $ | 990 | $ | 962 | $ | 4,023 | $ | 13,452 | ||||||||||
Per Share Information: | ||||||||||||||||||||
Diluted earnings per common share (EPS) | $ | 49.21 | $ | 43.42 | $ | 34.33 | $ | 189.41 | $ | 784.51 | ||||||||||
Adjusted diluted EPS(1) | 45.10 | 45.87 | 46.58 | 194.96 | 175.22 | |||||||||||||||
Book value per common share at period end | 1,556.16 | 1,547.81 | 1,403.12 | |||||||||||||||||
Tangible book value per common share (TBV)(1) at period end | 1,512.77 | 1,504.75 | 1,357.77 | |||||||||||||||||
Key Performance Metrics: | ||||||||||||||||||||
Return on average assets (ROA) | 1.25 | % | 1.15 | % | 0.95 | % | 1.26 | % | 5.90 | % | ||||||||||
Adjusted ROA(1) | 1.14 | 1.22 | 1.28 | 1.30 | 1.34 | |||||||||||||||
PPNR ROA(1) | 1.58 | 1.79 | 1.78 | 1.83 | 6.92 | |||||||||||||||
Adjusted PPNR ROA(1) | 1.70 | 1.88 | 2.27 | 1.94 | 2.19 | |||||||||||||||
Return on average common equity (ROE) | 12.56 | 11.30 | 9.97 | 12.68 | 66.88 | |||||||||||||||
Adjusted ROE(1) | 11.51 | 11.94 | 13.53 | 13.06 | 14.94 | |||||||||||||||
Return on average tangible common equity (ROTCE)(1) | 12.92 | 11.63 | 10.32 | 13.07 | 69.50 | |||||||||||||||
Adjusted ROTCE(1) | 11.84 | 12.29 | 14.00 | 13.45 | 15.52 | |||||||||||||||
Efficiency ratio | 63.01 | 59.49 | 60.80 | 58.77 | 28.40 | |||||||||||||||
Adjusted efficiency ratio(1) | 56.98 | 54.15 | 48.00 | 53.01 | 49.33 | |||||||||||||||
Net interest margin (NIM)(2) | 3.32 | 3.53 | 3.86 | 3.54 | 3.92 | |||||||||||||||
NIM, excluding purchase accounting accretion (PAA)(1), (2) | 3.16 | 3.33 | 3.47 | 3.30 | 3.50 | |||||||||||||||
Select Balance Sheet Items at Period End: | ||||||||||||||||||||
Total investment securities | $ | 44,090 | $ | 38,663 | $ | 29,999 | ||||||||||||||
Total loans and leases | 140,221 | 138,695 | 133,302 | |||||||||||||||||
Total operating lease equipment, net | 9,323 | 9,186 | 8,746 | |||||||||||||||||
Total deposits | 155,229 | 151,574 | 145,854 | |||||||||||||||||
Total borrowings | 37,051 | 37,161 | 37,654 | |||||||||||||||||
Loan to deposit ratio | 90.33 | % | 91.50 | % | 91.39 | % | ||||||||||||||
Noninterest-bearing deposits to total deposits | 24.89 | 25.99 | 27.29 | |||||||||||||||||
Capital Ratios at Period End: (3) | ||||||||||||||||||||
Total risk-based capital ratio | 15.04 | % | 15.36 | % | 15.75 | % | ||||||||||||||
Tier 1 risk-based capital ratio | 13.53 | 13.78 | 13.94 | |||||||||||||||||
Common equity Tier 1 ratio | 12.99 | 13.24 | 13.36 | |||||||||||||||||
Tier 1 leverage capital ratio | 9.90 | 10.17 | 9.83 | |||||||||||||||||
Asset Quality at Period End: | ||||||||||||||||||||
Nonaccrual loans to total loans and leases | 0.84 | % | 0.90 | % | 0.73 | % | ||||||||||||||
Allowance for loan and lease losses (ALLL) to loans and leases | 1.20 | 1.21 | 1.31 | |||||||||||||||||
Net charge-off ratio for the period | 0.46 | 0.42 | 0.53 | 0.39 | 0.47 | |||||||||||||||
(1) Denotes a non-GAAP measure. Refer to the non-GAAP reconciliation tables included at the end of this financial supplement for a reconciliation to the most directly comparable GAAP measure. “Adjusted” items exclude the impacts of Notable Items. | ||||||||||||||||||||
(2) Calculated net of average credit balances and deposits of factoring clients. | ||||||||||||||||||||
(3) Capital ratios as of the current quarter-end are preliminary pending completion of quarterly regulatory filings. |
Dollars in millions, except share and per share data | ||||||||||||||||||||
Three Months Ended | Year Ended December 31, | |||||||||||||||||||
Income Statement (unaudited) | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | |||||||||||||||
Interest income | ||||||||||||||||||||
Interest and fees on loans | $ | 2,322 | $ | 2,430 | $ | 2,391 | $ | 9,528 | $ | 8,187 | ||||||||||
Interest on investment securities | 377 | 358 | 241 | 1,347 | 648 | |||||||||||||||
Interest on deposits at banks | 302 | 350 | 485 | 1,478 | 1,556 | |||||||||||||||
Total interest income | 3,001 | 3,138 | 3,117 | 12,353 | 10,391 | |||||||||||||||
Interest expense | ||||||||||||||||||||
Deposits | 957 | 1,004 | 865 | 3,864 | 2,497 | |||||||||||||||
Borrowings | 335 | 338 | 341 | 1,346 | 1,182 | |||||||||||||||
Total interest expense | 1,292 | 1,342 | 1,206 | 5,210 | 3,679 | |||||||||||||||
Net interest income | 1,709 | 1,796 | 1,911 | 7,143 | 6,712 | |||||||||||||||
Provision for credit losses | 155 | 117 | 249 | 431 | 1,375 | |||||||||||||||
Net interest income after provision for credit losses | 1,554 | 1,679 | 1,662 | 6,712 | 5,337 | |||||||||||||||
Noninterest income | ||||||||||||||||||||
Rental income on operating lease equipment | 272 | 262 | 252 | 1,048 | 971 | |||||||||||||||
Lending-related fees | 68 | 67 | 67 | 257 | 218 | |||||||||||||||
Deposit fees and service charges | 58 | 57 | 55 | 230 | 200 | |||||||||||||||
Client investment fees | 54 | 55 | 51 | 213 | 157 | |||||||||||||||
Wealth management services | 54 | 54 | 48 | 211 | 188 | |||||||||||||||
International fees | 33 | 29 | 29 | 119 | 91 | |||||||||||||||
Factoring commissions | 20 | 19 | 22 | 75 | 82 | |||||||||||||||
Cardholder services, net | 41 | 42 | 36 | 163 | 139 | |||||||||||||||
Merchant services, net | 13 | 12 | 12 | 49 | 48 | |||||||||||||||
Insurance commissions | 13 | 14 | 14 | 55 | 54 | |||||||||||||||
Realized gain (loss) on sale of investment securities, net | 2 | 4 | — | 6 | (26) | |||||||||||||||
Fair value adjustment on marketable equity securities, net | 10 | 9 | 9 | 13 | (11) | |||||||||||||||
Gain on sale of leasing equipment, net | 11 | 5 | 2 | 30 | 20 | |||||||||||||||
Gain on acquisition | — | — | (83) | — | 9,808 | |||||||||||||||
Loss on extinguishment of debt | — | — | — | (2) | — | |||||||||||||||
Other noninterest income | 50 | 21 | 29 | 148 | 136 | |||||||||||||||
Total noninterest income | 699 | 650 | 543 | 2,615 | 12,075 | |||||||||||||||
Noninterest expense | ||||||||||||||||||||
Depreciation on operating lease equipment | 101 | 99 | 96 | 394 | 371 | |||||||||||||||
Maintenance and other operating lease expenses | 55 | 59 | 59 | 219 | 222 | |||||||||||||||
Personnel cost | 801 | 788 | 714 | 3,078 | 2,636 | |||||||||||||||
Net occupancy expense | 60 | 62 | 65 | 242 | 244 | |||||||||||||||
Equipment expense | 136 | 128 | 114 | 504 | 422 | |||||||||||||||
Professional fees | 30 | 42 | 28 | 121 | 71 | |||||||||||||||
Third-party processing fees | 57 | 55 | 66 | 230 | 205 | |||||||||||||||
FDIC insurance expense | 33 | 31 | 82 | 138 | 158 | |||||||||||||||
Marketing expense | 24 | 20 | 24 | 76 | 102 | |||||||||||||||
Acquisition-related expenses | 62 | 46 | 116 | 210 | 470 | |||||||||||||||
Intangible asset amortization | 16 | 15 | 17 | 63 | 57 | |||||||||||||||
Other noninterest expense | 142 | 111 | 111 | 460 | 377 | |||||||||||||||
Total noninterest expense | 1,517 | 1,456 | 1,492 | 5,735 | 5,335 | |||||||||||||||
Income before income taxes | 736 | 873 | 713 | 3,592 | 12,077 | |||||||||||||||
Income tax expense | 36 | 234 | 199 | 815 | 611 | |||||||||||||||
Net income | $ | 700 | $ | 639 | $ | 514 | $ | 2,777 | $ | 11,466 | ||||||||||
Preferred stock dividends | 15 | 15 | 15 | 61 | 59 | |||||||||||||||
Net income available to common stockholders | $ | 685 | $ | 624 | $ | 499 | $ | 2,716 | $ | 11,407 | ||||||||||
Basic earnings per common share | $ | 49.21 | $ | 43.42 | $ | 34.36 | $ | 189.42 | $ | 785.14 | ||||||||||
Diluted earnings per common share | $ | 49.21 | $ | 43.42 | $ | 34.33 | $ | 189.41 | $ | 784.51 | ||||||||||
Weighted average common shares outstanding (basic) | 13,927,887 | 14,375,974 | 14,528,447 | 14,341,872 | 14,527,902 | |||||||||||||||
Weighted average common shares outstanding (diluted) | 13,927,887 | 14,375,974 | 14,539,838 | 14,342,655 | 14,539,613 | |||||||||||||||
Dollars in millions, except share data | |||||||||||
Balance Sheet (unaudited) | December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||||
Assets | |||||||||||
Cash and due from banks | $ | 814 | $ | 862 | $ | 908 | |||||
Interest-earning deposits at banks | 21,364 | 25,640 | 33,609 | ||||||||
Securities purchased under agreements to resell | 158 | 455 | 473 | ||||||||
Investment in marketable equity securities | 101 | 82 | 84 | ||||||||
Investment securities available for sale | 33,750 | 28,190 | 19,936 | ||||||||
Investment securities held to maturity | 10,239 | 10,391 | 9,979 | ||||||||
Assets held for sale | 85 | 68 | 76 | ||||||||
Loans and leases | 140,221 | 138,695 | 133,302 | ||||||||
Allowance for loan and lease losses | (1,676) | (1,678) | (1,747) | ||||||||
Loans and leases, net of allowance for loan and lease losses | 138,545 | 137,017 | 131,555 | ||||||||
Operating lease equipment, net | 9,323 | 9,186 | 8,746 | ||||||||
Premises and equipment, net | 2,006 | 1,974 | 1,877 | ||||||||
Goodwill | 346 | 346 | 346 | ||||||||
Other intangible assets, net | 249 | 265 | 312 | ||||||||
Other assets | 6,740 | 6,091 | 5,857 | ||||||||
Total assets | $ | 223,720 | $ | 220,567 | $ | 213,758 | |||||
Liabilities | |||||||||||
Deposits: | |||||||||||
Noninterest-bearing | $ | 38,633 | $ | 39,396 | $ | 39,799 | |||||
Interest-bearing | 116,596 | 112,178 | 106,055 | ||||||||
Total deposits | 155,229 | 151,574 | 145,854 | ||||||||
Credit balances of factoring clients | 1,016 | 1,250 | 1,089 | ||||||||
Borrowings: | |||||||||||
Short-term borrowings | 367 | 391 | 485 | ||||||||
Long-term borrowings | 36,684 | 36,770 | 37,169 | ||||||||
Total borrowings | 37,051 | 37,161 | 37,654 | ||||||||
Other liabilities | 8,196 | 7,754 | 7,906 | ||||||||
Total liabilities | $ | 201,492 | $ | 197,739 | $ | 192,503 | |||||
Stockholders’ equity | |||||||||||
Preferred stock | 881 | 881 | 881 | ||||||||
Common stock: | |||||||||||
Class A - $1 par value | 13 | 13 | 14 | ||||||||
Class B - $1 par value | 1 | 1 | 1 | ||||||||
Additional paid in capital | 2,417 | 3,389 | 4,108 | ||||||||
Retained earnings | 19,361 | 18,703 | 16,742 | ||||||||
Accumulated other comprehensive loss | (445) | (159) | (491) | ||||||||
Total stockholders’ equity | 22,228 | 22,828 | 21,255 | ||||||||
Total liabilities and stockholders’ equity | $ | 223,720 | $ | 220,567 | $ | 213,758 | |||||
Dollars in millions, except share per share data | ||||||||||||||||||||
Notable Items (1) | Three Months Ended | Year Ended December 31, | ||||||||||||||||||
December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | ||||||||||||||||
Noninterest income | ||||||||||||||||||||
Rental income on operating lease equipment (2) (7) | $ | (152) | $ | (158) | $ | (155) | $ | (609) | $ | (593) | ||||||||||
Realized (gain) loss on sale of investment securities, net | (2) | (4) | — | (6) | 26 | |||||||||||||||
Fair value adjustment on marketable equity securities, net | (10) | (9) | (9) | (13) | 11 | |||||||||||||||
Gain on sale of leasing equipment, net | (11) | (5) | (2) | (30) | (20) | |||||||||||||||
Gain on acquisition | — | — | 83 | — | (9,808) | |||||||||||||||
Loss on extinguishment of debt | — | — | — | 2 | — | |||||||||||||||
Other noninterest income (3) | (8) | — | (5) | (12) | 3 | |||||||||||||||
Impact of notable items on adjusted noninterest income | $ | (183) | $ | (176) | $ | (88) | $ | (668) | $ | (10,381) | ||||||||||
Noninterest expense | ||||||||||||||||||||
Depreciation on operating lease equipment (2) (7) | (101) | (99) | (96) | (394) | (371) | |||||||||||||||
Maintenance and other operating lease equipment expense (2) | (55) | (59) | (59) | (219) | (222) | |||||||||||||||
Professional fees (4) | — | — | (5) | (4) | (5) | |||||||||||||||
FDIC insurance special assessment | — | — | (64) | (11) | (64) | |||||||||||||||
Acquisition-related expenses | (62) | (46) | (116) | (210) | (470) | |||||||||||||||
Intangible asset amortization | (16) | (15) | (17) | (63) | (57) | |||||||||||||||
Other noninterest expense (5) | (15) | (8) | — | (15) | — | |||||||||||||||
Impact of notable items on adjusted noninterest expense | $ | (249) | $ | (227) | $ | (357) | $ | (916) | $ | (1,189) | ||||||||||
Day 2 provisions for loan and lease losses and off-balance sheet credit exposure | $ | — | $ | — | $ | — | $ | — | $ | (716) | ||||||||||
Impact of notable items on adjusted provision for credit losses | $ | — | $ | — | $ | — | $ | — | $ | (716) | ||||||||||
Impact of notable items on adjusted pre-tax income | $ | 66 | $ | 51 | $ | 269 | $ | 248 | $ | (8,476) | ||||||||||
Income tax impact (6) | 123 | 15 | 90 | 168 | 383 | |||||||||||||||
Impact of notable items on adjusted net income | $ | (57) | $ | 36 | $ | 179 | $ | 80 | $ | (8,859) | ||||||||||
Impact of notable items on adjusted diluted EPS | $ | (4.11) | $ | 2.45 | $ | 12.25 | $ | 5.55 | $ | (609.29) | ||||||||||
Dollars in millions, except share and per share data | ||||||||||||||||||||
Condensed Income Statements (unaudited) - Adjusted for Notable Items (1) | Three Months Ended | Year Ended December 31, | ||||||||||||||||||
December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | ||||||||||||||||
Interest income | $ | 3,001 | $ | 3,138 | $ | 3,117 | $ | 12,353 | $ | 10,391 | ||||||||||
Interest expense | 1,292 | 1,342 | 1,206 | 5,210 | 3,679 | |||||||||||||||
Net interest income | 1,709 | 1,796 | 1,911 | 7,143 | 6,712 | |||||||||||||||
Provision for credit losses | 155 | 117 | 249 | 431 | 659 | |||||||||||||||
Net interest income after provision for credit losses | 1,554 | 1,679 | 1,662 | 6,712 | 6,053 | |||||||||||||||
Noninterest income | 516 | 474 | 455 | 1,947 | 1,694 | |||||||||||||||
Noninterest expense | 1,268 | 1,229 | 1,135 | 4,819 | 4,146 | |||||||||||||||
Income before income taxes | 802 | 924 | 982 | 3,840 | 3,601 | |||||||||||||||
Income tax expense | 159 | 249 | 289 | 983 | 994 | |||||||||||||||
Net income | $ | 643 | $ | 675 | $ | 693 | $ | 2,857 | $ | 2,607 | ||||||||||
Preferred stock dividends | 15 | 15 | 15 | 61 | 59 | |||||||||||||||
Net income available to common stockholders | $ | 628 | $ | 660 | $ | 678 | $ | 2,796 | $ | 2,548 | ||||||||||
Basic earnings per common share | $ | 45.10 | $ | 45.87 | $ | 46.62 | $ | 194.97 | $ | 175.37 | ||||||||||
Diluted earnings per common share | 45.10 | 45.87 | 46.58 | 194.96 | 175.22 | |||||||||||||||
Weighted average common shares outstanding (basic) | 13,927,887 | 14,375,974 | 14,528,447 | 14,341,872 | 14,527,902 | |||||||||||||||
Weighted average common shares outstanding (diluted) | 13,927,887 | 14,375,974 | 14,539,838 | 14,342,655 | 14,539,613 |
Dollars in millions | |||||||||||
Loans and Leases by Class (end of period) | December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||||
Commercial | |||||||||||
Commercial construction | $ | 5,109 | $ | 4,924 | $ | 3,918 | |||||
Owner occupied commercial mortgages | 16,842 | 16,372 | 15,471 | ||||||||
Non-owner occupied commercial mortgages | 16,194 | 16,078 | 14,995 | ||||||||
Commercial and industrial | 31,640 | 30,867 | 29,794 | ||||||||
Leases | 2,014 | 2,020 | 2,054 | ||||||||
Total commercial | $ | 71,799 | $ | 70,261 | $ | 66,232 | |||||
Consumer | |||||||||||
Residential mortgage | $ | 23,152 | $ | 23,237 | $ | 22,776 | |||||
Revolving mortgage | 2,567 | 2,455 | 2,165 | ||||||||
Consumer auto | 1,523 | 1,543 | 1,442 | ||||||||
Consumer other | 986 | 1,347 | 1,176 | ||||||||
Total consumer | $ | 28,228 | $ | 28,582 | $ | 27,559 | |||||
SVB | |||||||||||
Global fund banking | $ | 27,904 | $ | 27,114 | $ | 25,553 | |||||
Investor dependent - early stage | 997 | 1,128 | 1,403 | ||||||||
Investor dependent - growth stage | 2,196 | 2,434 | 2,897 | ||||||||
Innovation C&I and cash flow dependent | 9,097 | 9,176 | 9,658 | ||||||||
Total SVB | $ | 40,194 | $ | 39,852 | $ | 39,511 | |||||
Total loans and leases | $ | 140,221 | $ | 138,695 | $ | 133,302 | |||||
Less: allowance for loan and lease losses | (1,676) | (1,678) | (1,747) | ||||||||
Total loans and leases, net of allowance for loan and lease losses | $ | 138,545 | $ | 137,017 | $ | 131,555 | |||||
Deposits by Type (end of period) | December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||||
Noninterest-bearing demand | $ | 38,633 | $ | 39,396 | $ | 39,799 | |||||
Checking with interest | 25,343 | 23,216 | 23,754 | ||||||||
Money market | 35,722 | 34,574 | 30,625 | ||||||||
Savings | 42,278 | 40,259 | 35,244 | ||||||||
Time | 13,253 | 14,129 | 16,432 | ||||||||
Total deposits | $ | 155,229 | $ | 151,574 | $ | 145,854 | |||||
Dollars in millions | ||||||||||||||||||||
Three Months Ended | Year Ended December 31, | |||||||||||||||||||
Credit Quality and Allowance for Loan and Lease Losses (ALLL) | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | |||||||||||||||
Nonaccrual loans at period end | $ | 1,184 | $ | 1,244 | $ | 969 | ||||||||||||||
Ratio of nonaccrual loans to total loans at period end | 0.84 | % | 0.90 | % | 0.73 | % | ||||||||||||||
Charge-offs | $ | (193) | $ | (177) | $ | (201) | $ | (657) | $ | (638) | ||||||||||
Recoveries | 33 | 32 | 24 | 117 | 78 | |||||||||||||||
Net charge-offs | $ | (160) | $ | (145) | $ | (177) | $ | (540) | $ | (560) | ||||||||||
Net charge-off ratio | 0.46 | % | 0.42 | % | 0.53 | % | 0.39 | % | 0.47 | % | ||||||||||
ALLL to loans ratio at period end | 1.20 | % | 1.21 | % | 1.31 | % | ||||||||||||||
ALLL at beginning of period | $ | 1,678 | $ | 1,700 | $ | 1,673 | $ | 1,747 | $ | 922 | ||||||||||
Initial PCD ALLL | — | — | — | — | 220 | |||||||||||||||
Day 2 provision for loan and lease losses | — | — | — | — | 462 | |||||||||||||||
Provision for loan and lease losses | 158 | 123 | 251 | 469 | 703 | |||||||||||||||
Net charge-offs | (160) | (145) | (177) | (540) | (560) | |||||||||||||||
ALLL at end of period | $ | 1,676 | $ | 1,678 | $ | 1,747 | $ | 1,676 | $ | 1,747 | ||||||||||
Dollars in millions | Three Months Ended | ||||||||||||||||||||||||||||
Average Balance Sheets, Yields and Rates | December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||||||||||||||||||||||
Average Balance | Income/Expense | Yield/Rate | Average Balance | Income/Expense | Yield/Rate | Average Balance | Income/Expense | Yield/Rate | |||||||||||||||||||||
Loans and leases (1)(2) | $ | 138,186 | $ | 2,322 | 6.69 | % | $ | 137,602 | $ | 2,430 | 7.03 | % | $ | 131,594 | $ | 2,391 | 7.21 | % | |||||||||||
Investment securities | 40,779 | 374 | 3.66 | 38,189 | 354 | 3.70 | 28,722 | 239 | 3.30 | ||||||||||||||||||||
Securities purchased under agreements to resell | 266 | 3 | 4.67 | 241 | 4 | 5.34 | 225 | 2 | 5.36 | ||||||||||||||||||||
Interest-earning deposits at banks | 25,548 | 302 | 4.70 | 26,167 | 350 | 5.33 | 35,712 | 485 | 5.39 | ||||||||||||||||||||
Total interest-earning assets (2) | $ | 204,779 | $ | 3,001 | 5.83 | % | $ | 202,199 | $ | 3,138 | 6.18 | % | $ | 196,253 | $ | 3,117 | 6.30 | % | |||||||||||
Operating lease equipment, net | $ | 9,288 | $ | 9,028 | $ | 8,715 | |||||||||||||||||||||||
Cash and due from banks | 756 | 717 | 846 | ||||||||||||||||||||||||||
Allowance for loan and lease losses | (1,710) | (1,725) | (1,717) | ||||||||||||||||||||||||||
All other noninterest-earning assets | 10,593 | 10,247 | 10,515 | ||||||||||||||||||||||||||
Total assets | $ | 223,706 | $ | 220,466 | $ | 214,612 | |||||||||||||||||||||||
Interest-bearing deposits | |||||||||||||||||||||||||||||
Checking with interest | $ | 24,460 | $ | 125 | 2.04 | % | $ | 23,946 | $ | 134 | 2.23 | % | $ | 23,820 | $ | 128 | 2.14 | % | |||||||||||
Money market | 35,319 | 271 | 3.05 | 34,132 | 278 | 3.24 | 30,188 | 211 | 2.77 | ||||||||||||||||||||
Savings | 41,103 | 421 | 4.07 | 39,939 | 436 | 4.34 | 34,151 | 362 | 4.20 | ||||||||||||||||||||
Time deposits | 13,683 | 140 | 4.07 | 14,429 | 156 | 4.29 | 16,558 | 164 | 3.94 | ||||||||||||||||||||
Total interest-bearing deposits | 114,565 | 957 | 3.32 | 112,446 | 1,004 | 3.55 | 104,717 | 865 | 3.28 | ||||||||||||||||||||
Borrowings: | |||||||||||||||||||||||||||||
Securities sold under customer repurchase agreements | 370 | 1 | 0.57 | 384 | — | 0.55 | 455 | 1 | 0.44 | ||||||||||||||||||||
Senior unsecured borrowings | 59 | 1 | 4.44 | 361 | 2 | 2.59 | 377 | 3 | 2.46 | ||||||||||||||||||||
Subordinated debt | 845 | 6 | 2.75 | 900 | 8 | 3.34 | 1,038 | 10 | 3.82 | ||||||||||||||||||||
Other borrowings | 35,818 | 327 | 3.66 | 35,803 | 328 | 3.66 | 35,845 | 327 | 3.65 | ||||||||||||||||||||
Long-term borrowings | 36,722 | 334 | 3.64 | 37,064 | 338 | 3.64 | 37,260 | 340 | 3.65 | ||||||||||||||||||||
Total borrowings | 37,092 | 335 | 3.61 | 37,448 | 338 | 3.61 | 37,715 | 341 | 3.61 | ||||||||||||||||||||
Total interest-bearing liabilities | $ | 151,657 | $ | 1,292 | 3.39 | % | $ | 149,894 | $ | 1,342 | 3.57 | % | $ | 142,432 | $ | 1,206 | 3.37 | % | |||||||||||
Noninterest-bearing deposits | $ | 39,969 | $ | 39,026 | $ | 41,599 | |||||||||||||||||||||||
Credit balances of factoring clients | 1,232 | 1,195 | 1,275 | ||||||||||||||||||||||||||
Other noninterest-bearing liabilities | 8,250 | 7,500 | 8,566 | ||||||||||||||||||||||||||
Stockholders' equity | 22,598 | 22,851 | 20,740 | ||||||||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 223,706 | $ | 220,466 | $ | 214,612 | |||||||||||||||||||||||
Net interest income | $ | 1,709 | $ | 1,796 | $ | 1,911 | |||||||||||||||||||||||
Net interest spread (2) | 2.44 | % | 2.61 | % | 2.93 | % | |||||||||||||||||||||||
Net interest margin (2) | 3.32 | % | 3.53 | % | 3.86 | % | |||||||||||||||||||||||
(1) Loans and leases include nonaccrual loans and loans held for sale. Interest income on loans and leases includes loan PAA income and loan fees. | |||||||||||||||||||||||||||||
(2) The balance and rate presented are calculated net of average credit balances and deposits of factoring clients. | |||||||||||||||||||||||||||||
Note: Certain items above do not precisely recalculate as presented due to rounding. |
Dollars in millions | Twelve Months Ended | |||||||||||||||||||
Average Balance Sheets, Yields and Rates | December 31, 2024 | December 31, 2023 | ||||||||||||||||||
Average Balance | Income/Expense | Yield/Rate | Average Balance | Income/Expense | Yield/Rate | |||||||||||||||
Loans and leases (1)(2) | $ | 136,026 | $ | 9,528 | 7.00 | % | $ | 117,708 | $ | 8,187 | 6.95 | % | ||||||||
Investment securities | 37,029 | 1,334 | 3.60 | 23,112 | 640 | 2.77 | ||||||||||||||
Securities purchased under agreements to resell | 247 | 13 | 5.18 | 161 | 8 | 5.20 | ||||||||||||||
Interest-earning deposits at banks | 28,276 | 1,478 | 5.23 | 29,790 | 1,556 | 5.22 | ||||||||||||||
Total interest-earning assets (2) | $ | 201,578 | $ | 12,353 | 6.12 | % | $ | 170,771 | $ | 10,391 | 6.08 | % | ||||||||
Operating lease equipment, net | $ | 9,003 | $ | 8,495 | ||||||||||||||||
Cash and due from banks | 753 | 879 | ||||||||||||||||||
Allowance for loan and lease losses | (1,748) | (1,495) | ||||||||||||||||||
All other noninterest-earning assets | 10,214 | 15,631 | ||||||||||||||||||
Total assets | $ | 219,800 | $ | 194,281 | ||||||||||||||||
Interest-bearing deposits | ||||||||||||||||||||
Checking with interest | $ | 24,199 | $ | 526 | 2.17 | % | $ | 22,296 | $ | 402 | 1.80 | % | ||||||||
Money market | 33,107 | 1,031 | 3.11 | 27,583 | 618 | 2.24 | ||||||||||||||
Savings | 38,997 | 1,663 | 4.26 | 26,104 | 963 | 3.69 | ||||||||||||||
Time deposits | 15,202 | 644 | 4.23 | 14,947 | 514 | 3.44 | ||||||||||||||
Total interest-bearing deposits | 111,505 | 3,864 | 3.47 | 90,930 | 2,497 | 2.75 | ||||||||||||||
Borrowings: | ||||||||||||||||||||
Securities sold under customer repurchase agreements | 392 | 2 | 0.51 | 455 | 2 | 0.35 | ||||||||||||||
Short-term FHLB borrowings | — | — | — | 108 | 5 | 4.79 | ||||||||||||||
Short-term borrowings | 392 | 2 | 0.51 | 563 | 7 | 1.20 | ||||||||||||||
Federal Home Loan Bank borrowings | — | — | — | 2,307 | 120 | 5.22 | ||||||||||||||
Senior unsecured borrowings | 292 | 8 | 2.63 | 608 | 14 | 2.21 | ||||||||||||||
Subordinated debt | 889 | 29 | 3.18 | 1,043 | 39 | 3.65 | ||||||||||||||
Other borrowings | 35,826 | 1,307 | 3.65 | 27,322 | 1,002 | 3.67 | ||||||||||||||
Long-term borrowings | 37,007 | 1,344 | 3.63 | 31,280 | 1,175 | 3.75 | ||||||||||||||
Total borrowings | 37,399 | 1,346 | 3.60 | 31,843 | 1,182 | 3.71 | ||||||||||||||
Total interest-bearing liabilities | $ | 148,904 | $ | 5,210 | 3.50 | % | $ | 122,773 | $ | 3,679 | 3.00 | % | ||||||||
Noninterest-bearing deposits | $ | 39,499 | $ | 39,660 | ||||||||||||||||
Credit balances of factoring clients | 1,192 | 1,166 | ||||||||||||||||||
Other noninterest-bearing liabilities | 7,908 | 12,745 | ||||||||||||||||||
Stockholders' equity | 22,297 | 17,937 | ||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 219,800 | $ | 194,281 | ||||||||||||||||
Net interest income | $ | 7,143 | $ | 6,712 | ||||||||||||||||
Net interest spread (2) | 2.62 | % | 3.08 | % | ||||||||||||||||
Net interest margin (2) | 3.54 | % | 3.92 | % | ||||||||||||||||
(1) Loans and leases include nonaccrual loans and loans held for sale. Interest income on loans and leases includes loan PAA income and loan fees. | ||||||||||||||||||||
(2) The balance and rate presented are calculated net of average credit balances and deposits of factoring clients. | ||||||||||||||||||||
Note: Certain items above do not precisely recalculate as presented due to rounding. |
Dollars in millions, except share and per share data | |||||||||||||||||||||||
Three Months Ended | Year Ended December 31, | ||||||||||||||||||||||
Non-GAAP Reconciliations | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | ||||||||||||||||||
Net income and EPS | |||||||||||||||||||||||
Net income (GAAP) | a | $ | 700 | $ | 639 | $ | 514 | $ | 2,777 | $ | 11,466 | ||||||||||||
Preferred stock dividends | 15 | 15 | 15 | 61 | 59 | ||||||||||||||||||
Net income available to common stockholders (GAAP) | b | $ | 685 | $ | 624 | $ | 499 | $ | 2,716 | $ | 11,407 | ||||||||||||
Total notable items, after income tax | c | (57) | 36 | 179 | 80 | (8,859) | |||||||||||||||||
Adjusted net income (non-GAAP) | d = (a+c) | 643 | 675 | 693 | 2,857 | 2,607 | |||||||||||||||||
Adjusted net income available to common stockholders (non-GAAP) | e = (b+c) | $ | 628 | $ | 660 | $ | 678 | $ | 2,796 | $ | 2,548 | ||||||||||||
Weighted average common shares outstanding | |||||||||||||||||||||||
Basic | f | 13,927,887 | 14,375,974 | 14,528,447 | 14,341,872 | 14,527,902 | |||||||||||||||||
Diluted | g | 13,927,887 | 14,375,974 | 14,539,838 | 14,342,655 | 14,539,613 | |||||||||||||||||
EPS (GAAP) | |||||||||||||||||||||||
Basic | b/f | $ | 49.21 | $ | 43.42 | $ | 34.36 | $ | 189.42 | $ | 785.14 | ||||||||||||
Diluted | b/g | 49.21 | 43.42 | 34.33 | 189.41 | 784.51 | |||||||||||||||||
Adjusted EPS (non-GAAP) | |||||||||||||||||||||||
Basic | e/f | $ | 45.10 | $ | 45.87 | $ | 46.62 | $ | 194.97 | $ | 175.37 | ||||||||||||
Diluted | e/g | 45.10 | 45.87 | 46.58 | 194.96 | 175.22 | |||||||||||||||||
Noninterest income and expense | |||||||||||||||||||||||
Noninterest income (GAAP) | h | $ | 699 | $ | 650 | $ | 543 | $ | 2,615 | $ | 12,075 | ||||||||||||
Impact of notable items, before income tax | (183) | (176) | (88) | (668) | (10,381) | ||||||||||||||||||
Adjusted noninterest income (non-GAAP) | i | $ | 516 | $ | 474 | $ | 455 | $ | 1,947 | $ | 1,694 | ||||||||||||
Noninterest expense (GAAP) | j | $ | 1,517 | $ | 1,456 | $ | 1,492 | $ | 5,735 | $ | 5,335 | ||||||||||||
Impact of notable items, before income tax | (249) | (227) | (357) | (916) | (1,189) | ||||||||||||||||||
Adjusted noninterest expense (non-GAAP) | k | $ | 1,268 | $ | 1,229 | $ | 1,135 | $ | 4,819 | $ | 4,146 | ||||||||||||
Provision for credit losses | |||||||||||||||||||||||
Provision for credit losses (GAAP) | $ | 155 | $ | 117 | $ | 249 | $ | 431 | $ | 1,375 | |||||||||||||
Less: day 2 provision for loan and lease losses and off-balance sheet exposure | — | — | — | — | 716 | ||||||||||||||||||
Less: provision (benefit) for credit losses on investment securities available for sale | — | — | — | — | — | ||||||||||||||||||
Adjusted provision for credit losses (non-GAAP) | $ | 155 | $ | 117 | $ | 249 | $ | 431 | $ | 659 | |||||||||||||
PPNR | |||||||||||||||||||||||
Net income (GAAP) | a | $ | 700 | $ | 639 | $ | 514 | $ | 2,777 | $ | 11,466 | ||||||||||||
Plus: | |||||||||||||||||||||||
Provision for credit losses | 155 | 117 | 249 | 431 | 1,375 | ||||||||||||||||||
Income tax expense | 36 | 234 | 199 | 815 | 611 | ||||||||||||||||||
PPNR (non-GAAP) | l | $ | 891 | $ | 990 | $ | 962 | $ | 4,023 | $ | 13,452 | ||||||||||||
Impact of notable items (1) | 66 | 51 | 269 | 248 | (9,192) | ||||||||||||||||||
Adjusted PPNR (non-GAAP) | m | $ | 957 | $ | 1,041 | $ | 1,231 | $ | 4,271 | $ | 4,260 | ||||||||||||
(1) Excludes the notable items for the provision for credit losses and income taxes as these items are excluded from PPNR as presented in the table above. | |||||||||||||||||||||||
Note: Certain items above do not precisely recalculate as presented due to rounding. | |||||||||||||||||||||||
Dollars in millions | |||||||||||||||||||||||
Three Months Ended | Year Ended December 31, | ||||||||||||||||||||||
Non-GAAP Reconciliations (continued) | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | ||||||||||||||||||
ROA | |||||||||||||||||||||||
Net income (GAAP) | a | $ | 700 | $ | 639 | $ | 514 | $ | 2,777 | $ | 11,466 | ||||||||||||
Annualized net income | n = a annualized | 2,786 | 2,544 | 2,041 | 2,777 | 11,466 | |||||||||||||||||
Adjusted net income (non-GAAP) | d | 643 | 675 | 693 | 2,857 | 2,607 | |||||||||||||||||
Annualized adjusted net income | p = d annualized | 2,558 | 2,684 | 2,748 | 2,857 | 2,607 | |||||||||||||||||
Average assets | o | 223,706 | 220,466 | 214,612 | 219,800 | 194,281 | |||||||||||||||||
ROA | n/o | 1.25 | % | 1.15 | % | 0.95 | % | 1.26 | % | 5.90 | % | ||||||||||||
Adjusted ROA (non-GAAP) | p/o | 1.14 | 1.22 | 1.28 | 1.30 | 1.34 | |||||||||||||||||
PPNR ROA | |||||||||||||||||||||||
PPNR (non-GAAP) | l | $ | 891 | $ | 990 | $ | 962 | $ | 4,023 | $ | 13,452 | ||||||||||||
Annualized PPNR | q = l annualized | 3,545 | 3,942 | 3,818 | 4,023 | 13,452 | |||||||||||||||||
Adjusted PPNR (non-GAAP) | m | 957 | 1,041 | 1,231 | 4,271 | 4,260 | |||||||||||||||||
Annualized adjusted PPNR | r = m annualized | 3,809 | 4,141 | 4,882 | 4,271 | 4,260 | |||||||||||||||||
PPNR ROA (non-GAAP) | q/o | 1.58 | % | 1.79 | % | 1.78 | % | 1.83 | % | 6.92 | % | ||||||||||||
Adjusted PPNR ROA (non-GAAP) | r/o | 1.70 | 1.88 | 2.27 | 1.94 | 2.19 | |||||||||||||||||
ROE and ROTCE | |||||||||||||||||||||||
Annualized net income available to common stockholders | s = b annualized | $ | 2,727 | $ | 2,483 | $ | 1,980 | $ | 2,716 | $ | 11,407 | ||||||||||||
Annualized adjusted net income available to common stockholders | t = e annualized | $ | 2,499 | $ | 2,623 | $ | 2,687 | $ | 2,796 | $ | 2,548 | ||||||||||||
Average stockholders' equity (GAAP) | $ | 22,598 | $ | 22,851 | $ | 20,740 | $ | 22,297 | $ | 17,937 | |||||||||||||
Less: average preferred stock | 881 | 881 | 881 | 881 | 881 | ||||||||||||||||||
Average common stockholders' equity | u | $ | 21,717 | $ | 21,970 | $ | 19,859 | $ | 21,416 | $ | 17,056 | ||||||||||||
Less: average goodwill | 346 | 346 | 346 | 346 | 346 | ||||||||||||||||||
Less: average other intangible assets | 259 | 275 | 322 | 283 | 298 | ||||||||||||||||||
Average tangible common equity (non-GAAP) | v | $ | 21,112 | $ | 21,349 | $ | 19,191 | $ | 20,787 | $ | 16,412 | ||||||||||||
ROE | s/u | 12.56 | % | 11.30 | % | 9.97 | % | 12.68 | % | 66.88 | % | ||||||||||||
Adjusted ROE (non-GAAP) | t/u | 11.51 | 11.94 | 13.53 | 13.06 | 14.94 | |||||||||||||||||
ROTCE (non-GAAP) | s/v | 12.92 | 11.63 | 10.32 | 13.07 | 69.50 | |||||||||||||||||
Adjusted ROTCE (non-GAAP) | t/v | 11.84 | 12.29 | 14.00 | 13.45 | 15.52 | |||||||||||||||||
Tangible common equity to tangible assets at period end | |||||||||||||||||||||||
Stockholders' equity (GAAP) | w | $ | 22,228 | $ | 22,828 | $ | 21,255 | ||||||||||||||||
Less: preferred stock | 881 | 881 | 881 | ||||||||||||||||||||
Common equity | x | $ | 21,347 | $ | 21,947 | $ | 20,374 | ||||||||||||||||
Less: goodwill | 346 | 346 | 346 | ||||||||||||||||||||
Less: other intangible assets | 249 | 265 | 312 | ||||||||||||||||||||
Tangible common equity (non-GAAP) | y | $ | 20,752 | $ | 21,336 | $ | 19,716 | ||||||||||||||||
Total assets (GAAP) | z | 223,720 | 220,567 | 213,758 | |||||||||||||||||||
Tangible assets (non-GAAP) | aa | 223,125 | 219,956 | 213,100 | |||||||||||||||||||
Total equity to total assets (GAAP) | w/z | 9.94 | % | 10.35 | % | 9.94 | % | ||||||||||||||||
Tangible common equity to tangible assets (non-GAAP) | y/aa | 9.30 | 9.70 | 9.25 | |||||||||||||||||||
Note: Certain items above do not precisely recalculate as presented due to rounding. |
Dollars in millions, except share and per share data | |||||||||||||||||||||||
Three Months Ended | Year Ended December 31, | ||||||||||||||||||||||
Non-GAAP Reconciliations (continued) | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 | 2023 | ||||||||||||||||||
Book value and tangible book value per common share at period end | |||||||||||||||||||||||
Common shares outstanding at period end | bb | 13,717,621 | 14,179,208 | 14,520,118 | |||||||||||||||||||
Book value per share | x/bb | $ | 1,556.16 | $ | 1,547.81 | $ | 1,403.12 | ||||||||||||||||
Tangible book value per common share (non-GAAP) | y/bb | 1,512.77 | 1,504.75 | 1,357.77 | |||||||||||||||||||
Efficiency ratio | |||||||||||||||||||||||
Net interest income | cc | $ | 1,709 | $ | 1,796 | $ | 1,911 | $ | 7,143 | $ | 6,712 | ||||||||||||
Efficiency ratio (GAAP) | j / (h + cc) | 63.01 | % | 59.49 | % | 60.80 | % | 58.77 | % | 28.40 | % | ||||||||||||
Adjusted efficiency ratio (non-GAAP) | k / (i + cc) | 56.98 | 54.15 | 48.00 | 53.01 | % | 49.33 | % | |||||||||||||||
Rental income on operating lease equipment | |||||||||||||||||||||||
Rental income on operating lease equipment (GAAP) | $ | 272 | $ | 262 | $ | 252 | $ | 1,048 | $ | 971 | |||||||||||||
Less: depreciation on operating lease equipment | 101 | 99 | 96 | 394 | 371 | ||||||||||||||||||
Less: maintenance and other operating lease expenses | 55 | 59 | 59 | 219 | 222 | ||||||||||||||||||
Plus: Depreciation on impaired operating lease equipment | 4 | — | — | 4 | — | ||||||||||||||||||
Adjusted rental income on operating lease equipment (non-GAAP) | $ | 120 | $ | 104 | $ | 97 | $ | 439 | $ | 378 | |||||||||||||
Net interest income & Net interest margin | |||||||||||||||||||||||
Net interest income (GAAP) | cc | $ | 1,709 | $ | 1,796 | $ | 1,911 | $ | 7,143 | $ | 6,712 | ||||||||||||
Loan PAA | dd | 90 | 107 | 198 | 505 | 733 | |||||||||||||||||
Other PAA | ee | (8) | (6) | (4) | (24) | 7 | |||||||||||||||||
PAA | ff = (dd + ee) | $ | 82 | $ | 101 | $ | 194 | $ | 481 | $ | 740 | ||||||||||||
Net interest income, excluding PAA (non-GAAP) | gg = (cc - ff) | $ | 1,627 | $ | 1,695 | $ | 1,717 | $ | 6,662 | $ | 5,972 | ||||||||||||
Annualized net interest income | hh = cc annualized | $ | 6,798 | $ | 7,147 | $ | 7,584 | $ | 7,143 | $ | 6,712 | ||||||||||||
Annualized net interest income, excluding PAA | ii = gg annualized | 6,472 | 6,746 | 6,813 | 6,662 | 5,972 | |||||||||||||||||
Average interest-earning assets | jj | 204,779 | 202,199 | 196,253 | 201,578 | 170,771 | |||||||||||||||||
NIM (GAAP) | hh/jj | 3.32 | % | 3.53 | % | 3.86 | % | 3.54 | % | 3.92 | % | ||||||||||||
NIM, excluding PAA (non-GAAP) | ii/jj | 3.16 | 3.33 | 3.47 | 3.30 | 3.50 | |||||||||||||||||
Interest income on loans (GAAP) | $ | 2,322 | $ | 2,430 | $ | 2,391 | $ | 9,528 | $ | 8,187 | |||||||||||||
Less: loan PAA | dd | 90 | 107 | 198 | 505 | 733 | |||||||||||||||||
Interest income on loans, excluding loan PAA (non-GAAP) | $ | 2,232 | $ | 2,323 | $ | 2,193 | $ | 9,023 | $ | 7,454 | |||||||||||||
Income tax expense | |||||||||||||||||||||||
Income tax expense | $ | 36 | $ | 234 | $ | 199 | $ | 815 | $ | 611 | |||||||||||||
Impact of notable items (1) | 123 | 15 | 90 | 168 | 383 | ||||||||||||||||||
Adjusted income tax expense (non-GAAP) | $ | 159 | $ | 249 | $ | 289 | $ | 983 | $ | 994 | |||||||||||||
Effective tax rate | |||||||||||||||||||||||
Effective tax rate (GAAP) | 4.88 | % | 26.76 | % | 27.93 | % | 22.67 | % | 5.06 | % | |||||||||||||
Impact of notable items (1) | 15.01 | % | 0.17 | % | 1.54 | % | 2.93 | % | 22.54 | % | |||||||||||||
Adjusted effective tax rate (non-GAAP) | 19.89 | % | 26.93 | % | 29.47 | % | 25.60 | % | 27.60 | % | |||||||||||||
(1) 4Q24 and YTD 2024 includes the impact of a change in our estimated state income tax rates after filing our first income tax returns that included the SVBB Acquisition. | |||||||||||||||||||||||
Note: Certain items above do not precisely recalculate as presented due to rounding. |