Segment Information

9 Months Ended

Sep. 30, 2022

Segment Reporting [Abstract]

Segment Information

Segment Information 

The Company reports two segments: Core Banking and Mortgage Banking. The Core Banking segment includes all lines of business, except Mortgage Banking, including commercial, retail, and private banking, as well as the operations, technology, and administrative functions of the Bank and Holding Company. The Mortgage Banking segment includes the revenue earned from the production and sale of residential real estate loans, the servicing income from the serviced loan portfolio, the quarterly changes to the MSR, the quarterly changes in the MSR hedge, and the specific expenses that are related to mortgage banking activities including variable commission expenses. Revenue and related expenses related to residential real estate loans held for investment are included in the Core Banking segment as portfolio loans are primarily originated through the Bank's retail consumer (store) and wealth channels. Management periodically updates the allocation methods and assumptions within the current segment structure.

Summarized financial information concerning the Company's reportable segments and the reconciliation to the consolidated financial results is shown in the following tables:

		Three Months Ended September 30, 2022						Three Months Ended September 30, 2021
(in thousands)		Core Banking		Mortgage Banking		Consolidated		Core Banking		Mortgage Banking		Consolidated
Net interest income		$	286,532	$	1,072	$	287,604	$	232,348	$	2,726	$	235,074
Provision (recapture) for credit losses		27,572		—		27,572		(18,919)		—		(18,919)
Non-interest income
	Residential mortgage banking revenue:
	Origination and sale	—		10,515		10,515		—		30,293		30,293
	Servicing	—		9,529		9,529		—		9,172		9,172
	Change in fair value of MSR asset:
	Changes due to collection/realization of expected cash flows over time	—		(4,978)		(4,978)		—		(4,681)		(4,681)
	Changes due to valuation inputs or assumptions	—		16,403		16,403		—		(634)		(634)
	MSR hedge loss	—		(14,128)		(14,128)		—		—		—
	Loss on equity securities, net	(2,647)		—		(2,647)		(343)		—		(343)
	Gain on swap derivatives, net	4,194		—		4,194		1,429		—		1,429
	Change in fair value of certain loans held for investment	(26,397)		—		(26,397)		3,432		—		3,432
	Non-interest income (excluding above items)	36,769		185		36,954		34,849		188		35,037
	Total non-interest income	11,919		17,526		29,445		39,367		34,338		73,705
Non-interest expense
	Merger related expenses	769		—		769		—		—		—
	Exit and disposal costs	1,364		—		1,364		3,813		—		3,813
	Non-interest expense (excluding above items)	154,320		21,511		175,831		146,931		33,009		179,940
	Allocated expenses, net (1)	(39)		39		—		3,680		(3,680)		—
	Total non-interest expense	156,414		21,550		177,964		154,424		29,329		183,753
Income (loss) before income taxes		114,465		(2,952)		111,513		136,210		7,735		143,945
Provision (benefit) for income taxes		28,212		(739)		27,473		33,945		1,934		35,879
Net income (loss)		$	86,253	$	(2,213)	$	84,040	$	102,265	$	5,801	$	108,066
(1) Represents the internal charges for centrally provided support services and other corporate overhead to the Mortgage Banking segment, net of allocations from the Mortgage Banking segment to Core Banking for new portfolio loan originations and portfolio servicing costs.

		Nine Months Ended September 30, 2022						Nine Months Ended September 30, 2021
(in thousands)		Core Banking		Mortgage Banking		Consolidated		Core Banking		Mortgage Banking		Consolidated
Net interest income		$	760,628	$	3,909	$	764,537	$	676,837	$	9,431	$	686,268
Provision (recapture) for credit losses		51,068		—		51,068		(41,915)		—		(41,915)
Non-interest income
	Residential mortgage banking revenue:
	Origination and sale	—		42,460		42,460		—		134,165		134,165
	Servicing	—		28,174		28,174		—		27,379		27,379
	Changes due to collection/realization of expected cash flows over time	—		(15,286)		(15,286)		—		(13,592)		(13,592)
	Changes due to valuation inputs or assumptions	—		67,451		67,451		—		(4,326)		(4,326)
	MSR hedge loss	—		(14,128)		(14,128)		—		—		—
	Gain on sale of debt securities, net	2		—		2		4		—		4
	Loss on equity securities, net	(7,383)		—		(7,383)		(1,045)		—		(1,045)
	Gain on swap derivatives, net	18,578		—		18,578		8,698		—		8,698
	Change in fair value of certain loans held for investment	(62,656)		—		(62,656)		5,704		—		5,704
	Non-interest income (excluding above items)	106,880		557		107,437		115,913		680		116,593
	Total non-interest income	55,421		109,228		164,649		129,274		144,306		273,580
Non-interest expense
	Merger related expenses	5,719		—		5,719		—		—		—
	Exit and disposal costs	4,839		—		4,839		9,741		—		9,741
	Non-interest expense (excluding above items)	451,689		77,721		529,410		438,969		112,035		551,004
	Allocated expenses, net (1)	7,398		(7,398)		—		3,860		(3,860)		—
	Total non-interest expense	469,645		70,323		539,968		452,570		108,175		560,745
Income before income taxes		295,336		42,814		338,150		395,456		45,562		441,018
Provision for income taxes		73,659		10,703		84,362		97,681		11,391		109,072
Net income		$	221,677	$	32,111	$	253,788	$	297,775	$	34,171	$	331,946
(1) Represents the internal charges for centrally provided support services and other corporate overhead to the Mortgage Banking segment, net of allocations from the Mortgage Banking segment to Core Banking for new portfolio loan originations and portfolio servicing costs.

	September 30, 2022						December 31, 2021
(in thousands)	Core Banking		Mortgage Banking		Consolidated		Core Banking		Mortgage Banking		Consolidated
Total assets	$	31,100,700	$	371,260	$	31,471,960	$	30,155,058	$	485,878	$	30,640,936
Loans held for sale	$	—	$	148,275	$	148,275	$	—	$	353,105	$	353,105
Total loans and leases	$	25,507,951	$	—	$	25,507,951	$	22,553,180	$	—	$	22,553,180
Total deposits	$	26,588,217	$	228,890	$	26,817,107	$	26,370,568	$	224,117	$	26,594,685