0001502749-15-000014.txt : 20150429 0001502749-15-000014.hdr.sgml : 20150429 20150429060325 ACCESSION NUMBER: 0001502749-15-000014 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20150429 ITEM INFORMATION: Results of Operations and Financial Condition ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Other Events ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20150429 DATE AS OF CHANGE: 20150429 FILER: COMPANY DATA: COMPANY CONFORMED NAME: EverBank Financial Corp CENTRAL INDEX KEY: 0001502749 STANDARD INDUSTRIAL CLASSIFICATION: SAVINGS INSTITUTION, FEDERALLY CHARTERED [6035] IRS NUMBER: 900615674 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-35533 FILM NUMBER: 15809926 BUSINESS ADDRESS: STREET 1: 501 RIVERSIDE AVENUE, 12TH FLOOR CITY: JACKSONVILLE STATE: FL ZIP: 32202 BUSINESS PHONE: (904) 281-6000 MAIL ADDRESS: STREET 1: 501 RIVERSIDE AVENUE, 12TH FLOOR CITY: JACKSONVILLE STATE: FL ZIP: 32202 8-K 1 a8-kearningsrelease33115.htm 8-K 8-K Earnings Release 3.31.15


 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K
CURRENT REPORT
 
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
 
 
 
Date of Report (Date of Earliest Event Reported):
 
April 29, 2015
 
EverBank Financial Corp
 
(Exact name of registrant as specified in its charter)
 

 
 
 
 
 
Delaware
 
001-35533
 
52-2024090
(State or other jurisdiction of incorporation)
 
(Commission File Number)
 
(I.R.S. Employer Identification No.)
 
 
 
 
 
501 Riverside Ave., Jacksonville, FL
 
 
 
32202
(Address of principal executive offices)
 
 
 
(Zip Code)
 
 
 
904-281-6000
(Registrant’s telephone number, including area code)


Not Applicable
 (Former name or former address, if changed since last report)
 
 


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))







 




Item 2.02. Results of Operations and Financial Condition
On April 29, 2015, EverBank Financial Corp (the “Company”) issued a press release announcing its financial results for the quarter ended March 31, 2015, which press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
The information contained in this Item 2.02, as well as the exhibit referenced herein, is being “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended (the “Securities Act”).
Item 7.01. Regulation FD Disclosure
On April 29, 2015, the Company distributed and made available to investors, and posted on its website, the financial tables reflecting its performance for the quarter ended March 31, 2015, attached hereto as Exhibit 99.2.
The information contained in this Item 7.01, as well as the exhibit referenced herein, is being “furnished” and shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, nor shall it be deemed incorporated by reference in any filing under the Securities Act.
Item 8.01. Other Events

On April 29, 2015, the Company announced that it had entered into two separate transactions to sell mortgage servicing rights ("MSR") to Green Tree Servicing LLC ("GTS"), a subsidiary of Walter Investment Management Corp., and to Nationstar Mortgage LLC ("NSM"). The purchase and sale agreement with GTS was entered into on April 27, 2015 and includes the sale of approximately $5.7 billion unpaid principal balance ("UPB") of Ginnie Mae ("GNMA") and early buyout ("EBO") MSR to GTS and the termination of the Company's existing subservicing agreement with GTS. The sale to GTS is subject to GNMA approval. The purchase and sale agreement with NSM was entered into on April 27, 2015 and includes the sale of approximately $6.7 billion UPB of Fannie Mae, Freddie Mac, and investor MSR to NSM. The sale to NSM is subject to Fannie Mae, Freddie Mac, and other investor approvals.
    

Item 9.01. Financial Statements and Exhibits
(d) Exhibits
Exhibit No.
  Description.
 
 
99.1
Press release, dated April 29, 2015, by the Company announcing its financial results for the quarter ended March 31, 2015.
 
 
99.2
Financial tables distributed and made available to investors, and posted on the Company’s website, on April 29, 2015.
 
 




SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.
 
EverBank Financial Corp
 
(Registrant)
 
 
 
 
By:
 
/s/ Steven J. Fischer
 
 
 
Name:
 
Steven J. Fischer
 
 
 
Title:
 
Executive Vice President and Chief Financial Officer
 
Dated: April 29, 2015




EXHIBIT LIST
 
 
 
Exhibit No.
  Description
 
 
99.1
Press release, dated April 29, 2015, by the Company announcing its financial results for the quarter ended March 31, 2015.
 
 
99.2
Financial tables distributed and made available to investors, and posted on the Company’s website, on April 29, 2015.
 
 




 EX-99.1 2 ex991pressrelease33115.htm EXHIBIT 99.1 Ex 99.1 Press Release 3.31.15
                                                




EverBank Financial Corp Announces First Quarter 2015 Financial Results and Sale of Non-Core MSRs

JACKSONVILLE, FL, April 29, 2015 - EverBank Financial Corp (NYSE: EVER) announced today its financial results for the first quarter ended March 31, 2015.
"The core fundamental performance of our franchise was strong in the quarter, with robust loan and deposit growth driving higher levels of net interest income and an adjusted ROE of 9.7%," said Robert M. Clements, chairman and chief executive officer. "In addition, we announced today two strategic servicing transactions that we expect will be accretive to future earnings, enhance our capital position, improve efficiency and reduce risk."
Adjusted net income available to common shareholders was $39.1 million for the first quarter 2015, compared to $37.6 million for the fourth quarter 2014 and $27.6 million for the first quarter 2014. Adjusted diluted earnings per common share in the first quarter 2015 were $0.31 compared to $0.30 in the fourth quarter 2014 and $0.22 in the first quarter 2014.1 We recorded a $43 million valuation allowance at March 31, 2015 resulting from a temporary valuation allowance on our core remaining mortgage servicing rights (MSR) due to low interest rates as well as a valuation allowance on the non-core MSR portfolio that we have committed to sell. As a result, GAAP net income available to common shareholders was $11.7 million for the first quarter 2015, compared to $35.5 million for the fourth quarter 2014 and $29.2 million for the first quarter 2014. GAAP diluted earnings per share in the first quarter 2015 were $0.09 compared to $0.28 in the fourth quarter 2014 and $0.23 in the first quarter 2014.
"Organic lending volumes were strong across our consumer and commercial businesses and we continued to execute on our commercial deposit growth strategy in the quarter", said W. Blake Wilson, president and chief operating officer. "Our strategy of selling longer duration jumbo loans to accommodate shorter duration government-insured loans generated attractive risk-adjusted returns in the quarter."
First Quarter 2015 Key Highlights
•
Total assets of $23.3 billion, an increase of 8% compared to the prior quarter.
•
Portfolio loans held for investment (HFI) of $18.5 billion, an increase of 4% compared to the prior quarter.
•
Total originations of $3.1 billion, an increase of 2% compared to the prior quarter and 52% year over year.
•
Total deposits of $16.1 billion, an increase of 4% compared to the prior quarter. Commercial deposits increased 9% compared to the prior quarter to $3.2 billion.
•
Net interest margin (NIM) of 3.09%, an increase of 9 basis points compared to the prior quarter.
•
Adjusted return on average equity (ROE)1 was 9.7% for the quarter and GAAP ROE was 2.9%.
•
Tangible common equity per common share increased 7% year over year to $12.55 at March 31, 2015.
•
Adjusted non-performing assets to total assets1 improved to 0.40% at March 31, 2015 from 0.46% at December 31, 2014. Annualized net charge-offs to average total loans and leases held for investment were 0.16% for the quarter.
•
Consolidated common equity Tier 1 capital ratio of 10.6% and bank Tier 1 leverage ratio of 8.1% as of March 31, 2015.
Strategic Business Activities
The Company also announced today two separate transactions designed to further optimize its mortgage servicing business by agreeing to sell substantially all of its remaining non-core MSR not included in the 2014 default servicing platform sale.
We expect these sales to improve our Tier 1 capital by $10-15 million, $45-50 million and $90-95 million in 2015, 2016 and 2017, respectively. We also expect pre-tax income accretion of $2-5 million in 2015, $8-12 million in 2016 and $29-35 million in 2017 driven by improved operational efficiency and our ability to deploy the tier 1 capital created as a result of these transactions.        

1 

A reconciliation of Non-GAAP financial measures can be found in the financial tables attached hereto.


                                                



These transactions were entered into on April 27, 2015 and include the following:
•
Sale of MSR related to approximately $5.7 billion of unpaid principal balance (UPB) of Ginnie Mae (GNMA) MSR to Green Tree Servicing LLC (GTS), a subsidiary of Walter Investment Management Corp., and termination of our existing subservicing agreement with GTS.
•
Sale of MSR related to approximately $6.7 billion of UPB consisting of collateral owned or insured by Fannie Mae, Freddie Mac, and private investors to Nationstar Mortgage LLC.
The Company expects total non-recurring costs of approximately $40 million pre-tax, including approximately $27 million that was incurred in the first quarter 2015 and $13 million it expects to incur in the second quarter 2015.    
Balance Sheet
Strong Asset Growth
Total assets were $23.3 billion at March 31, 2015, an increase of $1.7 billion, or 8%, compared to the prior quarter and an increase of $5.7 billion, or 32%, year over year. The strong sequential increase was driven by a $773 million, or 4%, increase in portfolio loans HFI to $18.5 billion and an $888 million, or 91%, increase in loans held for sale (HFS) to $1.9 billion.
Loans HFI for the first quarter of 2015, as compared to the fourth quarter of 2014 and first quarter of 2014, were comprised of:
($ in millions)
Mar 31, 2015
 
Dec 31,
2014
 
Mar 31,
2014
 
% Change (Q/Q)
 
% Change (Y/Y)
Consumer Banking:
 
 
 
 
 
 
 
 
 
Residential loans
$
6,265

 
$
6,325

 
$
5,688

 
(1
)%
 
10
%
Government insured pool buyouts
3,514

 
3,595

 
1,912

 
(2
)%
 
84
%
Total residential mortgages
9,779

 
9,920

 
7,600

 
(1
)%
 
29
%
Home equity & other
175

 
162

 
153

 
8
 %
 
15
%
Total Consumer Banking
9,955

 
10,082

 
7,752

 
(1
)%
 
28
%
 
 
 
 
 
 
 
 
 
 
Commercial Banking:
 
 
 
 
 
 
 
 

Commercial real estate & other commercial
3,550

 
3,528

 
3,244

 
1
 %
 
9
%
Mortgage warehouse finance
2,103

 
1,357

 
911

 
55
 %
 
131
%
Lender finance
852

 
762

 
664

 
12
 %
 
28
%
Commercial and commercial real estate
6,505

 
5,647

 
4,819

 
15
 %
 
35
%
Equipment financing receivables
2,074

 
2,032

 
1,293

 
2
 %
 
60
%
Total Commercial Banking
8,579

 
7,678

 
6,112

 
12
 %
 
40
%
 
 
 
 
 
 
 
 
 
 
Total Loans HFI
$
18,534

 
$
17,760

 
$
13,864

 
4
 %
 
34
%

Total consumer banking loans HFI decreased $127 million, or 1%, compared to the prior quarter and increased $2.2 billion, or 28%, year over year, to $10.0 billion. Total residential mortgages decreased $141 million, or 1%, in the quarter driven by jumbo loan portfolio sales activities. During the quarter, the Company transferred $770 million of jumbo ARMs committed to be sold in the second quarter to loans HFS. Consumer banking loans represented 54% of total loans and leases HFI, compared to 57% in the prior quarter.
Total commercial banking loans and leases HFI increased $901 million, or 12%, compared to the prior quarter and $2.5 billion, or 40%, year over year to $8.6 billion. Mortgage warehouse finance outstanding balances increased $746 million, or 55%, compared to the prior quarter, to $2.1 billion, lender finance increased $89 million, or 12%, to $852 million, equipment financing receivables increased $42 million, or 2%, to $2.1 billion and commercial real estate and other commercial loans increased $23 million, or 1%, to $3.6 billion. Commercial banking loans and leases represented 46% of total loans and leases HFI, compared to 43% in the prior quarter.    


                                                



Loan Origination Activities
The following table presents total organic loan and lease origination information by product type:
($ in millions)
Mar 31, 2015
 
Dec 31,
2014
 
Mar 31,
2014
 
% Change (Q/Q)
 
% Change (Y/Y)
Consumer originations


 


 
 
 
 
 
 
Conventional loans
$
1,065

 
$
994

 
$
892

 
7
 %
 
19
%
Prime jumbo loans
1,301

 
1,184

 
808

 
10
 %
 
61
%
 
2,366

 
2,178

 
1,700

 
9
 %
 
39
%
Commercial originations
 
 
 
 
 
 

 

Commercial & commercial real estate
480

 
484

 
158

 
(1
)%
 
204
%
Equipment financing receivables
223

 
358

 
167

 
(38
)%
 
33
%
 
704

 
842

 
326

 
(16
)%
 
116
%
Total organic originations
$
3,070

 
$
3,019

 
$
2,026

 
2
 %
 
52
%

Total originations were $3.1 billion for the first quarter of 2015, an increase of 2% compared to the prior quarter and 52% year over year. Retained originations were $1.7 billion for the first quarter 2015, a 3% decrease compared to the prior quarter and a 56% increase year over year.
Commercial originations were $704 million for the first quarter, a decrease of 16% compared to the prior quarter and an increase of 116% year over year. Consumer originations were $2.4 billion for the first quarter of 2015, an increase of 9% compared to the prior quarter and an increase of 39% year over year. Prime jumbo origination volume was $1.3 billion in the first quarter, an increase of 10% compared to the prior quarter and an increase of 61% year over year. Loans sold during the quarter totaled $1.4 billion, a decrease of 17% compared to the prior quarter and an increase of 13% year over year. The mix of purchase transactions for the first quarter was 41% of total originations and 51% of retail channel originations.
Deposits
At March 31, 2015, as compared to the fourth quarter of 2014 and first quarter of 2014, our deposits were comprised of the following:
($ in millions)
Mar 31, 2015
 
Dec 31,
2014
 
Mar 31,
2014
 
% Change (Q/Q)
 
% Change (Y/Y)
Noninterest-bearing demand
$
1,213

 
$
985

 
$
1,055

 
23
 %
 
15
 %
Interest-bearing demand
3,675

 
3,540

 
2,962

 
4
 %
 
24
 %
Savings and money market accounts, excluding market-based
5,137

 
5,136

 
5,024

 
—
 %
 
2
 %
Global market-based accounts
779

 
841

 
997

 
(7
)%
 
(22
)%
Time, excluding market-based
5,272

 
5,007

 
3,251

 
5
 %
 
62
 %
Total deposits
$
16,077

 
$
15,509

 
$
13,288

 
4
 %
 
21
 %
 
 
 
 
 
 
 

 

Consumer deposits
$
12,865

 
$
12,555

 
$
11,523

 
2
 %
 
12
 %
Commercial deposits
3,211

 
2,954

 
1,766

 
9
 %
 
82
 %
Total deposits
$
16,077

 
$
15,509

 
$
13,288

 
4
 %
 
21
 %

Total deposits were $16.1 billion at March 31, 2015, an increase of $568 million, or 4% compared to the prior quarter and an increase of $2.8 billion, or 21%, year over year. Commercial deposits were $3.2 billion, an increase of $257 million, or 9%, compared to the prior quarter and $1.4 billion, or 82%, year over year. Commercial deposits represented 20% of total deposits at quarter end, compared to 19% in the prior quarter and 13% a year ago.


                                                



Total other borrowings were $5.2 billion at March 31, 2015, compared to $4.0 billion in the prior quarter and $2.4 billion at March 31, 2014, driven by increased Federal Home Loan Bank borrowings resulting from increased loans HFS and mortgage warehouse finance balances.
Capital Strength
Total shareholders' equity was $1.8 billion at March 31, 2015, an increase of 1% quarter over quarter and 7% year over year. Our consolidated common equity Tier 1 capital ratio was 10.6% at March 31, 2015. The bank’s Tier 1 leverage and total risk-based capital ratios were 8.1% and 12.3%, respectively, at March 31, 2015. As a result, the bank is considered "well-capitalized" under all applicable regulatory guidelines. Our estimate of the fully phased-in Basel III common equity Tier 1 capital ratio was between 10.00% and 10.25%.
Credit Quality
Adjusted non-performing assets were 0.40% of total assets at March 31, 2015, compared to 0.46% for the prior quarter and 0.62% at March 31, 2014. Net charge-offs during the first quarter of 2015 were $7 million, an increase of $2 million compared to the prior quarter. On an annualized basis, net charge-offs were 0.16% of total average loans and leases held for investment, compared to 0.12% for the prior quarter and 0.12% for the first quarter of 2014.
Income Statement Highlights
Revenue
Revenue for the first quarter of 2015 was $188 million, a decrease of $35 million, or 16%, from $223 million in the fourth quarter of 2014. The decrease for the quarter was driven by a $43 million valuation allowance associated with the fair market value of our MSR. Excluding the valuation allowance impact in the quarter, revenue would have been $231 million, an increase of 4% compared to the prior quarter.
Net Interest Income
For the first quarter of 2015, net interest income was $155 million, an increase of $8 million, or 5%, compared to the prior quarter. This increase resulted from an $862 million, or 4%, increase in average interest-earning assets compared to the prior quarter, driven by higher average commercial loans and leases HFI in addition to higher average residential mortgage loans HFI and average loans HFS, partially offset by higher average interest-bearing liabilities.
Net interest margin increased to 3.09% for the first quarter of 2015 from 3.00% in the fourth quarter of 2014, driven by a 0.02% increase in the average interest-earning asset yield to 3.99% and a 0.01% decrease in the average cost of total interest-bearing liabilities to 1.03%.
Noninterest Income
Noninterest income for the first quarter of 2015 was $33 million, a decrease of $43 million, or 57%, compared to the prior quarter. Net loan servicing income declined $45 million compared to the prior quarter driven by a $43 million valuation allowance associated with the fair market value of our MSR. Excluding the impact of the valuation allowance, net loan servicing income for the first quarter would have been $14 million, a decrease of $2 million, or 11%, compared to the prior quarter. Gain on sale of loans was $43 million, an increase of $8 million, or 25%, compared to the prior quarter, driven by higher lending volumes and higher gain on sale margins.
Noninterest Expense
Noninterest expense for the first quarter of 2015 was $156 million, an increase of $3 million, or 2%, compared to the prior quarter. Salaries, commissions and employee benefits were $92 million, an increase of $5 million, or 6%, compared to the prior quarter driven by normal seasonal increases in benefits and payroll tax expenses. General and administrative expense was $42 million, flat compared to the prior quarter.
EverBank's efficiency ratio was 83%, compared to 69% in the prior quarter. Excluding the impact of the $43 million MSR valuation allowance and other non-recurring items, EverBank's efficiency ratio would have been 66% for the first quarter.
Income Tax Expense
Our effective tax rate for the first quarter of 2015 was 38%, which was the same for the prior quarter and for the first quarter of 2014.


                                                



Segment Analysis for the First Quarter of 2015     
•
Consumer Banking pre-tax income was $7 million, an 85% decrease compared to pre-tax income of $44 million in the prior quarter. Excluding the $43 million valuation allowance and other non-recurring items, pre-tax income increased 13% compared to the prior quarter.
•
Commercial Banking pre-tax income was $47 million, a 3% increase compared to $46 million in the prior quarter, driven by a 6% increase in net interest income after provision and a 14% increase in noninterest income, offset by a 15% increase in noninterest expense.
•
Corporate Services had a pre-tax loss of $31 million, an 8% increase compared to a pre-tax loss of $29 million in the prior quarter driven by a 9% increase in noninterest expense.
Dividends
On April 23, 2015, the Company's Board of Directors declared a quarterly cash dividend of $0.04 per common share, payable on May 20, 2015, to stockholders of record as of May 12, 2015. Also on April 23, 2015, the Company's Board of Directors declared a quarterly cash dividend of $421.875, payable on July 6, 2015, for each share of 6.75% Series A Non-Cumulative Perpetual Preferred Stock held as of June 19, 2015.
Conference Call and Webcast
The Company will host a conference call at 8:30 a.m. Eastern Time on Wednesday, April 29, 2015 to discuss its first quarter 2015 results. The dial-in number for the conference call is 1-855-209-8214 and the international dial-in number is 1-412-542-4103. A replay will be available following completion of the call and can be accessed by dialing 1-877-344-7529, or for international callers, 1-412-317-0088. The passcode for the replay is 10063519. The replay will be available through May 6, 2015. A live webcast of the conference call will also be available on the investor relations page of the Company's website at https://about.everbank/investors.
About EverBank Financial Corp
EverBank Financial Corp, through its wholly-owned subsidiary EverBank, provides a diverse range of financial products and services directly to clients nationwide through multiple business channels. Headquartered in Jacksonville, Florida, EverBank has $23.3 billion in assets and $16.1 billion in deposits as of March 31, 2015. With an emphasis on value, innovation and service, EverBank offers a broad selection of banking, lending and investing products to consumers and businesses nationwide. EverBank provides services to clients through the internet, over the phone, through the mail, at its Florida-based financial centers and at other business offices throughout the country. More information on EverBank can be found at https://about.everbank/investors.     
Investor Relations
 
Media
Scott Verlander
 
Michael Cosgrove
904.623.8455
 
904.623.2029
Scott.Verlander@EverBank.com
 
Michael.Cosgrove@EverBank.com



                                                



Forward Looking Statements
This news release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are intended to be covered by the safe harbor provided by the same. These statements may address issues that involve significant risks, uncertainties, estimates and assumptions made by management. Words such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “could,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of those words or other comparable words are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about the Company’s asset growth and earnings, industry, management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond the Company’s control. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to: deterioration of general business and economic conditions, including the real estate and financial markets, in the United States and in the geographic regions and communities we serve; risks related to liquidity; our capital and liquidity requirements (including under regulatory capital standards, such as Basel III capital standards) and our ability to generate or raise capital; changes in interest rates that affect the pricing of our financial products, the demand for our financial services and the valuation of our financial assets and liabilities, mortgage servicing rights and mortgages held for sale; risk of higher loan and lease charge-offs; legislative or regulatory actions affecting or concerning mortgage loan modification and refinancing and foreclosure; our ability to comply with any supervisory actions to which we are or become subject as a result of examination by our regulators; concentration of our commercial real estate loan portfolio; higher than normal delinquency and default rates; limited ability to rely on brokered deposits as a part of our funding strategy; our ability to comply with the amended consent order and the terms and conditions of our settlement of the Independent Foreclosure Review; concentration of mass-affluent clients and jumbo mortgages; hedging strategies; the effectiveness of our derivatives to manage interest rate risk; delinquencies on our equipment leases and reductions in the resale value of leased equipment; increases in loan repurchase requests and our reserves for loan repurchases; changes in currency exchange rates or other political or economic changes in certain foreign countries; loss of key personnel; fraudulent and negligent acts by loan applicants, mortgage brokers, other vendors and our employees; changes in and compliance with laws and regulations that govern our operations; failure to establish and maintain effective internal controls and procedures; effects of changes in existing U.S. government or government-sponsored mortgage programs; changes in laws and regulations that may restrict our ability to originate or increase our risk of liability with respect to certain mortgage loans; risks related to the approval and consummation of anticipated acquisitions and dispositions; risks related to the continuing integration of acquired businesses and any future acquisitions; environmental liabilities with respect to properties that we take title to upon foreclosure; and the inability of our banking subsidiary to pay dividends.
For additional factors that could materially affect our financial results, please refer to EverBank Financial Corp’s filings with the Securities and Exchange Commission, including but not limited to, the risks described under the headings “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” The Company undertakes no obligation to revise these statements following the date of this news release, except as required by law.



                                                



EverBank Financial Corp and Subsidiaries
Condensed Consolidated Balance Sheets (unaudited)
(Dollars in thousands, except per share data)
 
 
March 31, 2015
 
December 31, 2014
Assets
 
 
 
 
Cash and due from banks
 
$
63,094

 
$
49,436

Interest-bearing deposits in banks
 
488,954

 
317,228

Total cash and cash equivalents
 
552,048

 
366,664

Investment securities:
 
 
 
 
Available for sale, at fair value
 
719,645

 
776,311

Held to maturity (fair value of $119,824 and $118,230 as of March 31, 2015 and December 31, 2014, respectively)
 
115,631

 
115,084

Other investments
 
236,494

 
196,609

Total investment securities
 
1,071,770

 
1,088,004

Loans held for sale (includes $1,074,975 and $728,378 carried at fair value as of March 31, 2015 and December 31, 2014, respectively)
 
1,861,306

 
973,507

Loans and leases held for investment:
 
 
 
 
Loans and leases held for investment, net of unearned income
 
18,533,637

 
17,760,253

Allowance for loan and lease losses
 
(62,846
)
 
(60,846
)
Total loans and leases held for investment, net
 
18,470,791

 
17,699,407

Mortgage servicing rights (MSR), net
 
383,763

 
435,619

Premises and equipment, net
 
54,283

 
56,457

Other assets
 
953,258

 
998,130

Total Assets
 
$
23,347,219

 
$
21,617,788

Liabilities
 
 
 
 
Deposits:
 
 
 
 
Noninterest-bearing
 
$
1,213,266

 
$
984,703

Interest-bearing
 
14,863,421

 
14,523,994

Total deposits
 
16,076,687

 
15,508,697

Other borrowings
 
5,178,000

 
4,004,000

Trust preferred securities
 
103,750

 
103,750

Accounts payable and accrued liabilities
 
230,970

 
253,747

Total Liabilities
 
21,589,407

 
19,870,194

Commitments and Contingencies
 
 
 
 
Shareholders’ Equity
 
 
 
 
 6.75% Series A Non-Cumulative Perpetual Preferred Stock, $0.01 par value (liquidation preference of $25,000 per share; 10,000,000 shares authorized; 6,000 issued and outstanding at March 31, 2015 and December 31, 2014)
 
150,000

 
150,000

Common Stock, $0.01 par value (500,000,000 shares authorized; 124,133,375 and 123,679,049 issued and outstanding at March 31, 2015 and December 31, 2014, respectively)
 
1,241

 
1,237

Additional paid-in capital
 
858,925

 
851,158

Retained earnings
 
817,539

 
810,796

Accumulated other comprehensive income (loss) (AOCI)
 
(69,893
)
 
(65,597
)
Total Shareholders’ Equity
 
1,757,812

 
1,747,594

Total Liabilities and Shareholders’ Equity
 
$
23,347,219

 
$
21,617,788




                                                



EverBank Financial Corp and Subsidiaries
Condensed Consolidated Statements of Income (unaudited)
(Dollars in thousands, except per share data)
 
 
Three Months Ended
March 31,
 
 
2015
 
2014
Interest Income
 
 
 
 
Interest and fees on loans and leases
 
$
194,849

 
$
158,470

Interest and dividends on investment securities
 
8,022

 
9,831

Other interest income
 
160

 
162

Total Interest Income
 
203,031

 
168,463

Interest Expense
 
 
 
 
Deposits
 
29,764

 
22,607

Other borrowings
 
17,829

 
15,012

Total Interest Expense
 
47,593

 
37,619

Net Interest Income
 
155,438

 
130,844

Provision for Loan and Lease Losses
 
9,000

 
3,071

Net Interest Income after Provision for Loan and Lease Losses
 
146,438

 
127,773

Noninterest Income
 
 
 
 
Loan servicing fee income
 
34,132

 
46,617

Amortization of mortgage servicing rights
 
(20,299
)
 
(20,572
)
Recovery (impairment) of mortgage servicing rights
 
(43,352
)
 
4,941

Net loan servicing income (loss)
 
(29,519
)
 
30,986

Gain on sale of loans
 
42,623

 
33,851

Loan production revenue
 
5,387

 
4,579

Deposit fee income
 
4,050

 
3,335

Other lease income
 
4,080

 
4,905

Other
 
5,900

 
6,928

Total Noninterest Income
 
32,521

 
84,584

Noninterest Expense
 
 
 
 
Salaries, commissions and other employee benefits expense
 
91,986

 
97,694

Equipment expense
 
16,045

 
18,648

Occupancy expense
 
5,856

 
8,072

General and administrative expense
 
42,155

 
36,798

Total Noninterest Expense
 
156,042

 
161,212

Income before Provision for Income Taxes
 
22,917

 
51,145

Provision for Income Taxes
 
8,687

 
19,385

Net Income
 
$
14,230

 
$
31,760

Less: Net Income Allocated to Preferred Stock
 
(2,531
)
 
(2,531
)
Net Income Allocated to Common Shareholders
 
$
11,699

 
$
29,229

Basic Earnings Per Common Share
 
$
0.09

 
$
0.24

Diluted Earnings Per Common Share
 
$
0.09

 
$
0.23

Dividends Declared Per Common Share
 
$
0.04

 
$
0.03





                                                



Non-GAAP Financial Measures
This press release contains financial information and performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America (“GAAP”). Adjusted Net Income, Adjusted Earnings Per Share, Adjusted Return on Equity, Tangible Shareholders’ Equity, Tangible Common Shareholders' Equity, Tangible Assets, Adjusted Non-Performing Asset Ratio and Segment Adjusted Income (Loss) Before Income Tax are non-GAAP financial measures. The Company’s management uses these measures to evaluate the underlying performance and efficiency of its operations. The Company’s management believes these non-GAAP measures provide meaningful additional information about the operating performance of the Company’s business and facilitate a meaningful comparison of our results in the current period to those in prior periods and future periods because these non-GAAP measures exclude certain items that may not be indicative of our core operating results and business outlook. In addition, the Company’s management believes that certain of these non-GAAP measures represent a consistent benchmark against which to evaluate the Company’s growth, profitability and capital position. These non-GAAP measures are provided to enhance investors’ overall understanding of our current financial performance, and not as a substitute for, the Company’s reported results. Moreover, the manner in which we calculate these measures may differ from that of other companies reporting non-GAAP measures with similar names.
In the tables below, we have provided a reconciliation of, where applicable, the most comparable GAAP financial measures and ratios to the non-GAAP financial measures and ratios used in this press release, or a reconciliation of the non-GAAP calculation of the financial measure for the periods indicated:

EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
 
 
 
 
Adjusted Net Income
 
 
 
 
 
 
 
 
 
 
 
 
 
Three Months Ended
(dollars in thousands, except per share data)
 
March 31, 2015
 
December 31, 2014
 
September 30, 2014
 
June 30, 2014
 
March 31, 2014
Net income
 
$
14,230

 
$
38,021

 
$
43,519

 
$
34,782

 
$
31,760

Transaction expense and non-recurring regulatory related expense, net of tax
 
1,498

 
2,502

 
2,201

 
1,294

 
465

Increase (decrease) in Bank of Florida non-accretable discount, net of tax
 
(967
)
 
(205
)
 
198

 
423

 
311

MSR impairment (recovery), net of tax
 
26,879

 
—

 
(1,904
)
 
—

 
(3,063
)
Restructuring cost, net of tax
 
—

 
(164
)
 
—

 
—

 
630

OTTI losses on investment securities (Volcker Rule), net of tax
 
—

 
—

 
—

 
425

 
—

Adjusted net income
 
$
41,640

 
$
40,154

 
$
44,014

 
$
36,924

 
$
30,103

Adjusted net income allocated to preferred stock
 
2,531

 
2,531

 
2,532

 
2,531

 
2,531

Adjusted net income allocated to common shareholders
 
$
39,109

 
$
37,623

 
$
41,482

 
$
34,393

 
$
27,572

Adjusted net earnings per common share, basic
 
$
0.32

 
$
0.31

 
$
0.34

 
$
0.28

 
$
0.22

Adjusted net earnings per common share, diluted
 
$
0.31

 
$
0.30

 
$
0.33

 
$
0.27

 
$
0.22

Weighted average common shares outstanding:
 
 
 
 
 
 
 
 
 
 
   (units in thousands)
 
 
 
 
 
 
 
 
 
 
   Basic
 
123,939

 
123,278

 
122,950

 
122,840

 
122,684

   Diluted
 
126,037

 
125,646

 
125,473

 
125,389

 
125,038

 
 
 
 
 
 
 
 
 
 
 
 
Tangible Equity, Tangible Common Equity and Tangible Assets
(dollars in thousands)
 
March 31, 2015
 
December 31, 2014
 
September 30, 2014
 
June 30, 2014
 
March 31, 2014
Shareholders’ equity
 
$
1,757,812

 
$
1,747,594

 
$
1,721,023

 
$
1,679,448

 
$
1,647,639

Less:
 
 
 
 
 
 
 
 
 
 
Goodwill
 
46,859

 
46,859

 
46,859

 
46,859

 
46,859

Intangible assets
 
3,178

 
3,705

 
4,232

 
4,759

 
5,286

Tangible equity
 
1,707,775

 
1,697,030

 
1,669,932

 
1,627,830

 
1,595,494

Less:
 
 
 
 
 
 
 
 
 
 
Perpetual preferred stock
 
150,000

 
150,000

 
150,000

 
150,000

 
150,000

Tangible common equity
 
$
1,557,775

 
$
1,547,030

 
$
1,519,932

 
$
1,477,830

 
$
1,445,494

 
 
 
 
 
 
 
 
 
 
 
Total assets
 
$
23,347,219

 
$
21,617,788

 
$
20,510,342

 
$
19,753,820

 
$
17,630,948

Less:
 
 
 
 
 
 
 
 
 
 
Goodwill
 
46,859

 
46,859

 
46,859

 
46,859

 
46,859

Intangible assets
 
3,178

 
3,705

 
4,232

 
4,759

 
5,286

Tangible assets
 
$
23,297,182

 
$
21,567,224

 
$
20,459,251

 
$
19,702,202

 
$
17,578,803



                                                



EverBank Financial Corp and Subsidiaries
 
Regulatory Capital(1) (bank level)
 
 
 
 
 
 
 
 
 
 
(dollars in thousands)
 
March 31, 2015
 
December 31, 2014
 
September 30, 2014
 
June 30, 2014
 
March 31, 2014
Shareholders’ equity
 
$
1,793,270

 
$
1,789,398

 
$
1,769,205

 
$
1,714,454

 
$
1,686,414

Less:
Goodwill and other intangibles
 
(47,442
)
 
(49,589
)
 
(49,957
)
 
(50,328
)
 
(50,700
)
 
Disallowed servicing asset
 
(46,302
)
 
(32,054
)
 
(23,524
)
 
(29,028
)
 
(26,419
)
 
Disallowed deferred tax asset
 
(659
)
 
—

 
—

 
(61,737
)
 
(62,682
)
Add:
Accumulated losses on securities and cash flow hedges
 
68,225

 
64,002

 
49,516

 
52,121

 
51,507

Tier 1 capital
(A)
1,767,092

 
1,771,757

 
1,745,240

 
1,625,482

 
1,598,120

Add:
Allowance for loan and lease losses
 
62,846

 
60,846

 
57,245

 
56,728

 
62,969

Total regulatory capital
(B)
$
1,829,938

 
$
1,832,603

 
$
1,802,485

 
$
1,682,210

 
$
1,661,089

 
 
 
 
 
 
 
 
 
 
 
Adjusted total assets
(C)
$
21,732,119

 
$
21,592,849

 
$
20,480,723

 
$
19,660,793

 
$
17,539,708

Risk-weighted assets
(D)
14,822,821

 
13,658,685

 
12,869,352

 
12,579,476

 
11,597,320

 
 
 
 
 
 
 
 
 
 
 
Tier 1 leverage ratio
(A)/(C)
8.1
%
 
8.2
%
 
8.5
%
 
8.3
%
 
9.1
%
Tier 1 risk-based capital ratio
(A)/(D)
11.9
%
 
13.0
%
 
13.6
%
 
12.9
%
 
13.8
%
Total risk-based capital ratio
(B)/(D)
12.3
%
 
13.4
%
 
14.0
%
 
13.4
%
 
14.3
%
 
(1) Calculated under Basel III for periods beginning March 31, 2015. Calculated under Basel I for periods through December 31, 2014.
 
 
 
 
 
 
 
 
 
 
 
Regulatory Capital(1) (EFC consolidated)
 
 
 
 
 
 
 
 
 
 
(dollars in thousands)
 
Mar 31,
2015
 
Dec 31,
2014
 
Sep 30,
2014
 
Jun 30,
2014
 
Mar 31,
2014
Shareholders’ equity
 
$
1,757,812

 
$
1,747,594

 
$
1,721,023

 
$
1,679,448

 
$
1,647,639

Less:
Preferred stock
 
(150,000
)
 
(150,000
)
 
(150,000
)
 
(150,000
)
 
(150,000
)
 
Goodwill and other intangibles
 
(47,310
)
 
(49,589
)
 
(49,957
)
 
(50,328
)
 
(50,700
)
 
Disallowed servicing asset
 
(53,648
)
 
(32,054
)
 
(23,524
)
 
(29,028
)
 
(26,419
)
 
Disallowed deferred tax asset
 
(634
)
 
—

 
—

 
(61,737
)
 
(62,682
)
Add:
Accumulated losses on securities and cash flow hedges
 
69,893

 
65,597

 
51,108

 
53,936

 
53,647

Common tier 1 capital
(E)
1,576,113

 
1,581,548

 
1,548,650

 
1,442,291

 
1,411,485

Add:
Preferred stock
 
150,000

 
150,000

 
150,000

 
150,000

 
150,000

Add:
Additional tier 1 capital (trust preferred securities)
 
103,750

 
103,750

 
103,750

 
103,750

 
103,750

Tier 1 capital
(F)
1,829,863

 
1,835,298

 
1,802,400

 
1,696,041

 
1,665,235

Add:
Allowance for loan and lease losses
 
62,846

 
60,846

 
57,245

 
56,728

 
62,969

Total regulatory capital
(G)
$
1,892,709

 
$
1,896,144

 
$
1,859,645

 
$
1,752,769

 
$
1,728,204

 
 
 
 
 
 
 
 
 
 
 
Adjusted total assets
(H)
$
21,738,727

 
$
21,601,742

 
$
20,487,969

 
$
19,666,663

 
$
17,554,830

Risk-weighted assets
(I)
14,819,123

 
13,665,981

 
12,875,007

 
12,583,537

 
11,600,258

 
 
 
 
 
 
 
 
 
 
 
 
Common equity tier 1 ratio
(E)/(I)
10.6
%
 
11.6
%
 
12.0
%
 
11.5
%
 
12.2
%
Tier 1 leverage ratio
(F)/(H)
8.4
%
 
8.5
%
 
8.8
%
 
8.6
%
 
9.5
%
Tier 1 risk-based capital ratio
(F)/(I)
12.3
%
 
13.4
%
 
14.0
%
 
13.5
%
 
14.4
%
Total risk-based capital ratio
(G)/(I)
12.8
%
 
13.9
%
 
14.4
%
 
13.9
%
 
14.9
%
 
 
 
 
 
 
 
 
 
 
 
 
(1) Calculated under Basel III for periods beginning March 31, 2015. Calculated under Basel I for periods through December 31, 2014.
 
 
 
 
 
 
 
 
 
 
 
 




                                                



EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
 
 
 
 
Non-Performing Assets(1)
 
 
 
 
 
 
 
 
 
 
(dollars in thousands)
 
March 31, 2015
 
December 31, 2014
 
September 30, 2014
 
June 30, 2014
 
March 31, 2014
Non-accrual loans and leases:
 
 
 
 
 
 
 
 
 
 
Consumer Banking:
 
 
 
 
 
 
 
 
 
 
Residential mortgages
 
$
24,840

 
$
24,576

 
$
23,067

 
$
22,212

 
$
47,835

Home equity lines
 
2,191

 
2,363

 
2,152

 
1,903

 
3,462

Other consumer and credit card
 
29

 
38

 
31

 
20

 
33

Commercial Banking:
 
 
 
 
 
 
 
 
 
 
Commercial and commercial real estate
 
37,025

 
41,140

 
46,819

 
44,172

 
23,884

Equipment financing receivables
 
10,775

 
8,866

 
6,803

 
6,475

 
5,446

Total non-accrual loans and leases
 
74,860

 
76,983

 
78,872

 
74,782

 
80,660

Accruing loans 90 days or more past due
 
—

 
—

 
—

 
—

 
—

Total non-performing loans (NPL)
 
74,860

 
76,983

 
78,872

 
74,782

 
80,660

Other real estate owned (OREO)
 
17,588

 
22,509

 
24,501

 
25,530

 
29,333

Total non-performing assets (NPA)
 
92,448

 
99,492

 
103,373

 
100,312

 
109,993

Troubled debt restructurings (TDR) less than 90 days past due
 
15,251

 
13,634

 
16,547

 
16,687

 
73,455

Total NPA and TDR(1)
 
$
107,699

 
$
113,126

 
$
119,920

 
$
116,999

 
$
183,448

 
 
 
 
 
 
 
 
 
 
 
Total NPA and TDR
 
$
107,699

 
$
113,126

 
$
119,920

 
$
116,999

 
$
183,448

Government insured 90 days or more past due still accruing
 
2,662,619

 
2,646,415

 
2,632,744

 
2,424,166

 
1,021,276

Loans accounted for under ASC 310-30:
 
 
 
 
 
 
 
 
 
 
90 days or more past due
 
5,165

 
8,448

 
10,519

 
23,159

 
9,915

Total regulatory NPA and TDR
 
$
2,775,483

 
$
2,767,989

 
$
2,763,183

 
$
2,564,324

 
$
1,214,639

Adjusted credit quality ratios excluding government insured loans and loans accounted for under ASC 310-30: (1)
 
 
 
 
 
 
 
 
 
 
NPL to total loans
 
0.37
%
 
0.41
%
 
0.45
%
 
0.44
%
 
0.56
%
NPA to total assets
 
0.40
%
 
0.46
%
 
0.50
%
 
0.51
%
 
0.62
%
NPA and TDR to total assets
 
0.46
%
 
0.52
%
 
0.58
%
 
0.59
%
 
1.04
%
Credit quality ratios including government insured loans and loans accounted for under ASC 310-30:
 
 
 
 
 
 
 
 
 
 
NPL to total loans
 
13.49
%
 
14.63
%
 
15.65
%
 
14.89
%
 
7.72
%
NPA to total assets
 
11.82
%
 
12.74
%
 
13.39
%
 
12.90
%
 
6.47
%
NPA and TDR to total assets
 
11.89
%
 
12.80
%
 
13.47
%
 
12.98
%
 
6.89
%
 
(1) 
We define non-performing assets, or NPA, as non-accrual loans, accruing loans past due 90 days or more and foreclosed property. Our NPA calculation excludes government insured pool buyout loans for which payment is insured by the government. We also exclude loans and foreclosed property accounted for under ASC 310-30 because we expect to fully collect the carrying value of such loans and foreclosed property.


                                                



EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
 
 
 
 
Business Segments Selected Financial Information
 
 
 
 
 
 
 
 
 
 
(dollars in thousands)
 
Consumer Banking
 
Commercial Banking
 
Corporate
Services
 
Eliminations
 
Consolidated
Three Months Ended March 31, 2015
 
 
 
 
 
 
 
 
 
 
Net interest income
 
$
84,657

 
$
72,336

 
$
(1,555
)
 
$
—

 
$
155,438

Provision for loan and lease losses
 
1,393

 
7,607

 
—

 
—

 
9,000

Net interest income after provision for loan and lease losses
 
83,264

 
64,729

 
(1,555
)
 
—

 
146,438

Noninterest income
 
22,000

 
10,373

 
148

 
—

 
32,521

Noninterest expense
 
98,599

 
27,811

 
29,632

 
—

 
156,042

Income (loss) before income tax
 
6,665

 
47,291

 
(31,039
)
 
—

 
22,917

Adjustment items (pre-tax):
 
 
 
 
 
 
 
 
 
 
Transaction expense and non-recurring regulatory related expense
 
2,324

 
—

 
93

 
—

 
2,417

Increase (decrease) in Bank of Florida non-accretable discount
 
—

 
(1,560
)
 
—

 
—

 
(1,560
)
MSR impairment (recovery)
 
43,352

 
—

 
—

 
—

 
43,352

Adjusted income (loss) before income tax
 
$
52,341

 
$
45,731

 
$
(30,946
)
 
$
—

 
$
67,126

Total assets as of March 31, 2015
 
$
14,665,509

 
$
8,760,963

 
$
211,067

 
$
(290,320
)
 
$
23,347,219

Total deposits as of March 31, 2015
 
12,865,348

 
3,211,339

 
—

 
—

 
16,076,687

 
 
 
 
 
 
 
 
 
 
 
Three Months Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
Net interest income
 
$
83,054

 
$
65,971

 
$
(1,589
)
 
$
—

 
$
147,436

Provision for loan and lease losses
 
3,789

 
4,815

 
—

 
—

 
8,604

Net interest income after provision for loan and lease losses
 
79,265

 
61,156

 
(1,589
)
 
—

 
138,832

Noninterest income
 
66,197

 
9,134

 
(158
)
 
—

 
75,173

Noninterest expense
 
101,396

 
24,164

 
27,097

 
—

 
152,657

Income (loss) before income tax
 
44,066

 
46,126

 
(28,844
)
 
—

 
61,348

Adjustment items (pre-tax):
 
 
 
 
 
 
 
 
 
 
Transaction expense and non-recurring regulatory related expense
 
2,676

 
—

 
1,359

 
—

 
4,035

Increase (decrease) in Bank of Florida non-accretable discount
 
—

 
(330
)
 
—

 
—

 
(330
)
Restructuring cost
 
(265
)
 
—

 
—

 
—

 
(265
)
Adjusted income (loss) before income tax
 
$
46,477

 
$
45,796

 
$
(27,485
)
 
$
—

 
$
64,788

Total assets as of December 31, 2014
 
$
13,825,052

 
$
7,892,974

 
$
215,095

 
$
(315,333
)
 
$
21,617,788

Total deposits as of December 31, 2014
 
12,554,702

 
2,953,995

 
—

 
—

 
15,508,697

 
 
 
 
 
 
 
 
 
 
 
Three Months Ended March 31, 2014
 
 
 
 
 
 
 
 
 
 
Net interest income
 
$
72,124

 
$
60,304

 
$
(1,584
)
 
$
—

 
$
130,844

Provision for loan and lease losses
 
1,752

 
1,319

 
—

 
—

 
3,071

Net interest income after provision for loan and lease losses
 
70,372

 
58,985

 
(1,584
)
 
—

 
127,773

Noninterest income
 
74,331

 
10,116

 
137

 
—

 
84,584

Noninterest expense
 
111,677

 
23,964

 
25,571

 
—

 
161,212

Income (loss) before income tax
 
33,026

 
45,137

 
(27,018
)
 
—

 
51,145

Adjustment items (pre-tax):
 
 
 
 
 
 
 
 
 
 
Transaction expense and non-recurring regulatory related expense
 
750

 
—

 
—

 
—

 
750

Increase (decrease) in Bank of Florida non-accretable discount
 
—

 
501

 
—

 
—

 
501

MSR impairment (recovery)
 
(4,941
)
 
—

 
—

 
—

 
(4,941
)
Restructuring cost
 
1,017

 
—

 
—

 
—

 
1,017

Adjusted income (loss) before income tax
 
$
29,852

 
$
45,638

 
$
(27,018
)
 
$
—

 
$
48,472

Total assets as of March 31, 2014
 
$
11,310,398

 
$
6,349,549

 
$
228,086

 
$
(257,085
)
 
$
17,630,948

Total deposits as of March 31, 2014
 
11,522,607

 
1,765,804

 
—

 
—

 
13,288,411





 EX-99.2 3 ex992quarterlyfinancialtab.htm EXHIBIT 99.2 Ex 99.2 Quarterly Financial Tables 3.31.15


Exhibit 99.2


EverBank Financial Corp and Subsidiaries
Quarterly Financial Tables
March 31, 2015




Table of Contents
 
 
Table 1
Financial Highlights
 
 
 
 
Table 2
Consolidated Statements of Income
 
 
 
 
Table 3
Consolidated Balance Sheets
 
 
 
 
Table 4
Business Segments Selected Financial Information
 
 
 
 
Table 5
Average Balances and Interest Rates
 
 
 
 
Table 6a
Loans and Leases Held for Investment
 
 
 
 
Table 6b
Deposits
 
 
 
 
Table 7
General and Administrative Expense
 
 
 
 
Table 8
Non-Performing Assets
 
 
 
 
Table 9
Credit Reserves
 
 
 
 
 
 
Table 9a
Allowance for Loan and Lease Losses Activity
 
 
Table 9b
Allowance for Loan and Lease Losses Ratio
 
 
Table 9c
Reserves for Repurchase Obligations for Loans Sold or Securitized
 
 
Table 9d
Reserves for Repurchase Obligations for Loans Serviced
 
 
 
 
Table 10
Reconciliation of Non-GAAP Measures
 
 
 
 
 
 
Table 10a
Adjusted Net Income
 
 
Table 10b
Tangible Equity, Tangible Common Equity and Tangible Assets
 
 
Table 10c
Regulatory Capital (bank level)
 
 
Table 10d
Regulatory Capital (EFC consolidated)
 
 
 
 
 
Table 11
Residential Mortgage Lending and Servicing




EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
Financial Highlights
 
 
 
 
 
Table 1

 
 
As of and for the
 Three Months Ended
(dollars in thousands, except per share amounts)
 
Mar 31,
2015
 
Dec 31,
2014
 
Mar 31,
2014
Operating Results:
 
 
 
 
 
 
Total revenue(1)
 
$
187,959

 
$
222,609

 
$
215,428

Net interest income
 
155,438

 
147,436

 
130,844

Provision for loan and lease losses
 
9,000

 
8,604

 
3,071

Noninterest income
 
32,521

 
75,173

 
84,584

Noninterest expense
 
156,042

 
152,657

 
161,212

Net income
 
14,230

 
38,021

 
31,760

Net earnings per common share, basic
 
0.09

 
0.29

 
0.24

Net earnings per common share, diluted
 
0.09

 
0.28

 
0.23

Performance Metrics:
 
 
 
 
 
 
Adjusted net earnings per common share, diluted(2)
 
$
0.31

 
$
0.30

 
$
0.22

Yield on interest-earning assets
 
3.99
%
 
3.97
%
 
4.33
%
Cost of interest-bearing liabilities
 
1.03
%
 
1.04
%
 
1.08
%
Net interest margin
 
3.09
%
 
3.00
%
 
3.41
%
Return on average assets
 
0.26
%
 
0.73
%
 
0.75
%
Return on average risk-weighted assets(3) (8)
 
0.40
%
 
1.15
%
 
1.10
%
Return on average equity(4)
 
2.9
%
 
9.0
%
 
7.9
%
Adjusted return on average equity(5)
 
9.7
%
 
9.5
%
 
7.5
%
Efficiency ratio(6) 
 
83
%
 
69
%
 
75
%
Loans and leases held for investment as a percentage of deposits
 
115
%
 
115
%
 
104
%
Loans and leases held for investment excluding government insured pool buyouts as a percentage of deposits
 
93
%
 
91
%
 
90
%
Credit Quality Ratios:
 
 
 
 
 
 
Adjusted non-performing assets as a percentage of total assets(7)
 
0.40
%
 
0.46
%
 
0.62
%
Net charge-offs to average loans and leases held for investment
 
0.16
%
 
0.12
%
 
0.12
%
ALLL as a percentage of loans and leases held for investment
 
0.34
%
 
0.34
%
 
0.45
%
Government insured pool buyouts as a percentage of loans and leases held for investment
 
19
%
 
20
%
 
14
%
Capital:
 
 
 
 
 
 
Common equity tier 1 ratio (EFC consolidated; see Table 10d)(8)
 
10.6
%
 
11.6
%
 
12.2
%
Tier 1 leverage ratio (bank level; see Table 10c)(8)
 
8.1
%
 
8.2
%
 
9.1
%
Total risk-based capital ratio (bank level; see Table 10c)(8)
 
12.3
%
 
13.4
%
 
14.3
%
Tangible common equity per common share(9)
 
$
12.55

 
$
12.51

 
$
11.78

Consumer Banking Metrics:
 
 
 
 
 
 
Unpaid principal balance of loans originated
 
$
2,365,962

 
$
2,177,636

 
$
1,700,496

Jumbo residential mortgage loans originated
 
1,300,746

 
1,183,702

 
808,138

Unpaid principal balance of loans sold
 
1,369,503

 
1,647,399

 
1,209,755

Unpaid principal balance of loans serviced for the Company and others
 
50,481,475

 
50,746,457

 
60,677,571

Consumer Banking loans as a percentage of loans and leases held for investment
 
54
%
 
57
%
 
56
%
Consumer deposits
 
$
12,865,348

 
$
12,554,702

 
$
11,522,607

Commercial Banking Metrics:
 
 
 
 
 
 
Loan and lease originations:
 
 
 
 
 
 
Commercial and commercial real estate
 
$
480,217

 
$
483,967

 
$
158,013

Equipment financing receivables
 
223,339

 
357,870

 
167,490

Commercial Banking loans as a percentage of loans and leases held for investment
 
46
%
 
43
%
 
44
%
Commercial deposits
 
$
3,211,339

 
$
2,953,995

 
$
1,765,804

Market Price Per Share of Common Stock:
 
 
 
 
 
 
Closing
 
$
18.03

 
$
19.06

 
$
19.73

High
 
19.16

 
19.56

 
20.00

Low
 
17.24

 
17.33

 
16.40

Period End Balance Sheet Data:
 
 
 
 
 
 
Loans and leases held for investment, net
 
$
18,470,791

 
$
17,699,407

 
$
13,801,140

Total assets
 
23,347,219

 
21,617,788

 
17,630,948

Deposits
 
16,076,687

 
15,508,697

 
13,288,411

Total liabilities
 
21,589,407

 
19,870,194

 
15,983,309

Total shareholders’ equity
 
1,757,812

 
1,747,594

 
1,647,639

See Notes to Financial Highlights





EverBank Financial Corp and Subsidiaries
Financial Highlights - Notes
(Dollars in thousands)
 
(1)
Total revenue is defined as net interest income before provision for loan and lease losses and total noninterest income.
(2)
Adjusted net earnings per common share, diluted is calculated using a numerator based on adjusted net income. Adjusted net earnings per common share, diluted is a non-GAAP financial measure and its most directly comparable GAAP measure is net earnings per common share, diluted. Adjusted net income includes adjustments to our net income for certain significant items that we believe are not reflective of our ongoing business or operating performance. For a reconciliation of adjusted net income to net income, which is the most directly comparable GAAP measure, see Table 10a.
(3)
Return on average risk-weighted assets equals net income divided by average risk-weighted assets. Under the regulatory guidelines for risk-based capital, on-balance sheet assets and credit equivalent amounts of derivatives and off-balance sheet items are assigned to one of several broad risk categories according to the obligor or, if relevant, the guarantor or the nature of any collateral. The aggregate dollar amount in each risk category is then multiplied by the risk weight associated with that category. The resulting weighted values from each of the risk categories are aggregated for determining total risk-weighted assets. For detailed information regarding regulatory capital (EFC consolidated), see Table 10d.
(4)
Return on average equity is calculated as net income less dividends declared on the Series A 6.75% Non-Cumulative Perpetual Preferred Stock divided by average common shareholders' equity (average shareholders' equity less average Series A 6.75% Non-Cumulative Perpetual Preferred Stock).
(5)
Adjusted return on average equity is calculated as adjusted net income less dividends declared on the Series A 6.75% Non-Cumulative Perpetual Preferred Stock divided by average common shareholders' equity. Adjusted net income is a non-GAAP measure of our financial performance and its most directly comparable GAAP measure is net income. For a reconciliation of net income to adjusted net income, see Table 10a.
(6)
The efficiency ratio represents noninterest expense as a percentage of total revenues. We use the efficiency ratio to measure noninterest costs expended to generate a dollar of revenue.
(7)
We define non-performing assets, or NPA, as non-accrual loans, accruing loans past due 90 days or more and foreclosed property. Our NPA calculation excludes government insured pool buyout loans for which payment is insured by the government. We also exclude loans and foreclosed property accounted for under ASC 310-30 because we expect to fully collect the carrying value of such loans and foreclosed property. For more detailed information on NPA, see Table 8.
(8)
Risk-weighted assets and regulatory capital ratios calculated under Basel III for periods beginning March 31, 2015. Risk-weighted assets and regulatory capital ratios calculated under Basel I for periods through December 31, 2014.
(9)
Calculated as tangible common shareholders' equity divided by shares of common stock. Tangible common shareholders' equity equals shareholders' equity less goodwill, other intangible assets and perpetual preferred stock (see Table 10b). Tangible common equity per common share is calculated using a denominator that includes actual period end common shares outstanding. Tangible common equity per common share is a non-GAAP financial measure, and its most directly comparable GAAP financial measure is book value per common share.







EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
Consolidated Statements of Income
 
 
 
 
 
Table 2

 
 
Three Months Ended
(dollars in thousands, except per share data)
 
Mar 31,
2015
 
Dec 31,
2014
 
Mar 31,
2014
Interest Income
 
 
 
 
 
 
Interest and fees on loans and leases
 
$
194,849

 
$
184,880

 
$
158,470

Interest and dividends on investment securities
 
8,022

 
9,336

 
9,831

Other interest income
 
160

 
179

 
162

Total interest income
 
203,031

 
194,395

 
168,463

Interest Expense
 
 
 
 
 
 
Deposits
 
29,764

 
29,108

 
22,607

Other borrowings
 
17,829

 
17,851

 
15,012

Total interest expense
 
47,593

 
46,959

 
37,619

Net Interest Income
 
155,438

 
147,436

 
130,844

Provision for loan and lease losses
 
9,000

 
8,604

 
3,071

Net Interest Income after Provision for Loan and Lease Losses
 
146,438

 
138,832

 
127,773

Noninterest Income
 
 
 
 
 
 
Loan servicing fee income
 
34,132

 
35,529

 
46,617

Amortization of mortgage servicing rights
 
(20,299
)
 
(20,064
)
 
(20,572
)
Recovery (impairment) of mortgage servicing rights
 
(43,352
)
 
—

 
4,941

Net loan servicing income (loss)
 
(29,519
)
 
15,465

 
30,986

Gain on sale of loans
 
42,623

 
34,170

 
33,851

Loan production revenue
 
5,387

 
5,243

 
4,579

Deposit fee income
 
4,050

 
3,087

 
3,335

Other lease income
 
4,080

 
4,376

 
4,905

Other
 
5,900

 
12,832

 
6,928

Total noninterest income
 
32,521

 
75,173

 
84,584

Noninterest Expense
 
 
 
 
 
 
Salaries, commissions and other employee benefits expense
 
91,986

 
86,736

 
97,694

Equipment expense
 
16,045

 
16,716

 
18,648

Occupancy expense
 
5,856

 
7,481

 
8,072

General and administrative expense
 
42,155

 
41,724

 
36,798

Total noninterest expense
 
156,042

 
152,657

 
161,212

Income before Income Taxes
 
22,917

 
61,348

 
51,145

Provision for Income Taxes
 
8,687

 
23,327

 
19,385

Net Income
 
$
14,230

 
$
38,021

 
$
31,760

Net Income Allocated to Preferred Stock
 
2,531

 
2,531

 
2,531

Net Income Allocated to Common Shareholders
 
$
11,699

 
$
35,490

 
$
29,229

Net Earnings per Common Share, Basic
 
$
0.09

 
$
0.29

 
$
0.24

Net Earnings per Common Share, Diluted
 
$
0.09

 
$
0.28

 
$
0.23

Dividends Declared per Common Share
 
$
0.04

 
$
0.04

 
$
0.03

Dividend payout ratio(1)
 
44.44
%
 
13.79
%
 
12.50
%
Weighted Average Common Shares Outstanding
 
 
 
 
 
 
(units in thousands)
 
 
 
 
 
 
Basic
 
123,939

 
123,278

 
122,684

Diluted
 
126,037

 
125,646

 
125,038


(1)
Dividend payout ratio is calculated as dividends declared per common share divided by basic earnings per common share.





EverBank Financial Corp and Subsidiaries
Consolidated Balance Sheets
 
 
 
 
 
 
 
 
 
Table 3

(dollars in thousands)
 
Mar 31,
2015
 
Dec 31,
2014
 
Sep 30,
2014
 
Jun 30,
2014
 
Mar 31,
2014
Assets
 
 
 
 
 
 
 
 
 
 
Cash and due from banks
 
$
63,094

 
$
49,436

 
$
57,835

 
$
65,433

 
$
60,587

Interest-bearing deposits in banks
 
488,954

 
317,228

 
306,265

 
104,563

 
439,242

Total cash and cash equivalents
 
552,048

 
366,664

 
364,100

 
169,996

 
499,829

Investment securities:
 
 
 
 
 
 
 
 
 
 
Available for sale, at fair value
 
719,645

 
776,311

 
987,345

 
1,029,667

 
1,118,646

Held to maturity
 
115,631

 
115,084

 
113,751

 
118,614

 
116,984

Other investments
 
236,494

 
196,609

 
194,314

 
186,818

 
122,918

Total investment securities
 
1,071,770

 
1,088,004

 
1,295,410

 
1,335,099

 
1,358,548

Loans held for sale
 
1,861,306

 
973,507

 
871,736

 
1,704,406

 
596,729

Loans and leases held for investment:
 
 
 
 
 
 
 
 
 
 
Loans and leases held for investment, net of unearned income
 
18,533,637

 
17,760,253

 
16,579,951

 
15,294,644

 
13,864,109

Allowance for loan and lease losses
 
(62,846
)
 
(60,846
)
 
(57,245
)
 
(56,728
)
 
(62,969
)
Total loans and leases held for investment, net
 
18,470,791

 
17,699,407

 
16,522,706

 
15,237,916

 
13,801,140

Mortgage servicing rights (MSR), net
 
383,763

 
435,619

 
441,243

 
437,595

 
446,493

Deferred income taxes, net
 
—

 
—

 
3,162

 
54,351

 
42,140

Premises and equipment, net
 
54,283

 
56,457

 
55,500

 
54,844

 
60,654

Other assets
 
953,258

 
998,130

 
956,485

 
759,613

 
825,415

Total Assets
 
$
23,347,219

 
$
21,617,788

 
$
20,510,342

 
$
19,753,820

 
$
17,630,948

Liabilities
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
Noninterest-bearing
 
$
1,213,266

 
$
984,703

 
$
1,084,400

 
$
1,055,556

 
$
1,054,796

Interest-bearing
 
14,863,421

 
14,523,994

 
13,389,105

 
12,819,119

 
12,233,615

Total deposits
 
16,076,687

 
15,508,697

 
14,473,505

 
13,874,675

 
13,288,411

Other borrowings
 
5,178,000

 
4,004,000

 
3,977,000

 
3,797,000

 
2,377,000

Trust preferred securities
 
103,750

 
103,750

 
103,750

 
103,750

 
103,750

Accounts payable and accrued liabilities
 
230,970

 
253,747

 
235,064

 
298,947

 
214,148

Total Liabilities
 
21,589,407

 
19,870,194

 
18,789,319

 
18,074,372

 
15,983,309

Shareholders’ Equity
 
 
 
 
 
 
 
 
 
 
Series A 6.75% Non-Cumulative Perpetual Preferred Stock
 
150,000

 
150,000

 
150,000

 
150,000

 
150,000

Common Stock
 
1,241

 
1,237

 
1,230

 
1,229

 
1,227

Additional paid-in capital
 
858,925

 
851,158

 
840,667

 
837,991

 
834,460

Retained earnings
 
817,539

 
810,796

 
780,234

 
744,164

 
715,599

Accumulated other comprehensive loss
 
(69,893
)
 
(65,597
)
 
(51,108
)
 
(53,936
)
 
(53,647
)
Total Shareholders’ Equity
 
1,757,812

 
1,747,594

 
1,721,023

 
1,679,448

 
1,647,639

Total Liabilities and Shareholders’ Equity
 
$
23,347,219

 
$
21,617,788

 
$
20,510,342

 
$
19,753,820

 
$
17,630,948





EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
 
 
 
Business Segments Selected Financial Information
 
 
 
 
 
 
 
 
 
Table 4

(dollars in thousands)
 
Consumer Banking
 
Commercial Banking
 
Corporate
Services
 
Eliminations
 
Consolidated
Three Months Ended March 31, 2015
 
 
 
 
 
 
 
 
 
 
Net interest income
 
$
84,657

 
$
72,336

 
$
(1,555
)
 
$
—

 
$
155,438

Provision for loan and lease losses
 
1,393

 
7,607

 
—

 
—

 
9,000

Net interest income after provision for loan and lease losses
 
83,264

 
64,729

 
(1,555
)
 
—

 
146,438

Noninterest income
 
22,000

 
10,373

 
148

 
—

 
32,521

Noninterest expense
 
98,599

 
27,811

 
29,632

 
—

 
156,042

Income (loss) before income tax
 
6,665

 
47,291

 
(31,039
)
 
—

 
22,917

Adjustment items (pre-tax):
 
 
 
 
 
 
 
 
 
 
Transaction expense and non-recurring regulatory related expense
 
2,324

 
—

 
93

 
—

 
2,417

Increase (decrease) in Bank of Florida non-accretable discount
 
—

 
(1,560
)
 
—

 
—

 
(1,560
)
MSR impairment (recovery)
 
43,352

 
—

 
—

 
—

 
43,352

Adjusted income (loss) before income tax
 
$
52,341

 
$
45,731

 
$
(30,946
)
 
$
—

 
$
67,126

Total assets as of March 31, 2015
 
$
14,665,509

 
$
8,760,963

 
$
211,067

 
$
(290,320
)
 
$
23,347,219

Total deposits as of March 31, 2015
 
12,865,348

 
3,211,339

 
—

 
—

 
16,076,687

 
 
 
 
 
 
 
 
 
 
 
Three Months Ended December 31, 2014
 
 
 
 
 
 
 
 
 
 
Net interest income
 
$
83,054

 
$
65,971

 
$
(1,589
)
 
$
—

 
$
147,436

Provision for loan and lease losses
 
3,789

 
4,815

 
—

 
—

 
8,604

Net interest income after provision for loan and lease losses
 
79,265

 
61,156

 
(1,589
)
 
—

 
138,832

Noninterest income
 
66,197

 
9,134

 
(158
)
 
—

 
75,173

Noninterest expense
 
101,396

 
24,164

 
27,097

 
—

 
152,657

Income (loss) before income tax
 
44,066

 
46,126

 
(28,844
)
 
—

 
61,348

Adjustment items (pre-tax):
 
 
 
 
 
 
 
 
 
 
Transaction expense and non-recurring regulatory related expense
 
2,676

 
—

 
1,359

 
—

 
4,035

Increase (decrease) in Bank of Florida non-accretable discount
 
—

 
(330
)
 
—

 
—

 
(330
)
Restructuring cost
 
(265
)
 
—

 
—

 
—

 
(265
)
Adjusted income (loss) before income tax
 
$
46,477

 
$
45,796

 
$
(27,485
)
 
$
—

 
$
64,788

Total assets as of December 31, 2014
 
$
13,825,052

 
$
7,892,974

 
$
215,095

 
$
(315,333
)
 
$
21,617,788

Total deposits as of December 31, 2014
 
12,554,702

 
2,953,995

 
—

 
—

 
15,508,697

 
 
 
 
 
 
 
 
 
 
 
Three Months Ended March 31, 2014
 
 
 
 
 
 
 
 
 
 
Net interest income
 
$
72,124

 
$
60,304

 
$
(1,584
)
 
$
—

 
$
130,844

Provision for loan and lease losses
 
1,752

 
1,319

 
—

 
—

 
3,071

Net interest income after provision for loan and lease losses
 
70,372

 
58,985

 
(1,584
)
 
—

 
127,773

Noninterest income
 
74,331

 
10,116

 
137

 
—

 
84,584

Noninterest expense
 
111,677

 
23,964

 
25,571

 
—

 
161,212

Income (loss) before income tax
 
$
33,026

 
$
45,137

 
$
(27,018
)
 
$
—

 
$
51,145

Adjustment items (pre-tax):
 
 
 
 
 
 
 
 
 
 
Transaction expense and non-recurring regulatory related expense
 
750

 
—

 
—

 
—

 
750

Increase (decrease) in Bank of Florida non-accretable discount
 
—

 
501

 
—

 
—

 
501

MSR impairment (recovery)
 
(4,941
)
 
—

 
—

 
—

 
(4,941
)
Restructuring cost
 
1,017

 
—

 
—

 
—

 
1,017

Adjusted income (loss) before income tax
 
$
29,852

 
$
45,638

 
$
(27,018
)
 
$
—

 
$
48,472

Total assets as of March 31, 2014
 
$
11,310,398

 
$
6,349,549

 
$
228,086

 
$
(257,085
)
 
$
17,630,948

Total deposits as of March 31, 2014
 
11,522,607

 
1,765,804

 
—

 
—

 
13,288,411






EverBank Financial Corp and Subsidiaries
 
 
Average Balances and Interest Rates(1) (2) (3)
 
 
 
 
 
 
 
 
 
 
 
Table 5
 
 
 
Three Months Ended March 31, 2015
 
Three Months Ended December 31, 2014
 
Three Months Ended March 31, 2014
(dollars in thousands)
 
Average
Balance
 
Interest
 
Yield/
Rate
 
Average
Balance
 
Interest
 
Yield/
Rate
 
Average
Balance
 
Interest
 
Yield/
Rate
Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-earning assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$
255,816

 
$
160

 
0.25
%
 
$
278,651

 
$
179

 
0.25
%
 
$
260,265

 
$
162

 
0.25
%
Investments
 
1,067,104

 
8,022

 
3.02
%
 
1,250,638

 
9,336

 
2.98
%
 
1,346,037

 
9,831

 
2.93
%
Loans held for sale
 
1,523,484

 
12,516

 
3.29
%
 
1,223,558

 
10,834

 
3.54
%
 
911,273

 
8,593

 
3.77
%
Loans and leases held for investment:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Consumer Banking:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Residential mortgages:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Residential
 
6,219,788

 
52,187

 
3.36
%
 
6,020,278

 
52,173

 
3.47
%
 
5,213,521

 
44,573

 
3.42
%
Government insured pool buyouts
 
3,568,879

 
38,710

 
4.34
%
 
3,481,562

 
35,212

 
4.05
%
 
1,847,529

 
27,953

 
6.05
%
Residential mortgages
 
9,788,667

 
90,897

 
3.71
%
 
9,501,840

 
87,385

 
3.68
%
 
7,061,050

 
72,526

 
4.11
%
Home equity lines
 
154,267

 
1,801

 
4.73
%
 
140,016

 
1,488

 
4.22
%
 
149,733

 
1,054

 
2.85
%
Other consumer and credit card
 
4,629

 
132

 
11.54
%
 
4,957

 
88

 
6.94
%
 
5,511

 
306

 
22.52
%
Commercial Banking:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial and commercial real estate:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Commercial real estate and other commercial
 
3,547,906

 
49,079

 
5.53
%
 
3,383,031

 
47,270

 
5.55
%
 
3,268,299

 
46,866

 
5.74
%
Mortgage warehouse finance
 
1,233,928

 
8,604

 
2.79
%
 
1,125,568

 
8,250

 
2.87
%
 
705,835

 
5,181

 
2.94
%
Lender finance
 
774,608

 
6,970

 
3.60
%
 
733,810

 
6,426

 
3.43
%
 
626,410

 
5,790

 
3.70
%
Commercial and commercial real estate
 
5,556,442

 
64,653

 
4.65
%
 
5,242,409

 
61,946

 
4.68
%
 
4,600,544

 
57,837

 
5.03
%
Equipment financing receivables
 
2,031,071

 
24,850

 
4.89
%
 
1,877,061

 
23,139

 
4.93
%
 
1,246,386

 
18,154

 
5.83
%
Total loans and leases held for investment
 
17,535,076

 
182,333

 
4.16
%
 
16,766,283

 
174,046

 
4.14
%
 
13,063,224

 
149,877

 
4.59
%
Total interest-earning assets
 
20,381,480

 
$
203,031

 
3.99
%
 
19,519,130

 
$
194,395

 
3.97
%
 
15,580,799

 
$
168,463

 
4.33
%
Noninterest-earning assets
 
1,388,038

 
 
 
 
 
1,401,990

 
 
 
 
 
1,430,854

 
 
 
 
Total assets
 
$
21,769,518

 
 
 
 
 
$
20,921,120

 
 
 
 
 
$
17,011,653

 
 
 
 
Liabilities and Shareholders’ Equity:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Deposits:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest-bearing demand
 
$
3,662,559

 
$
6,096

 
0.68
%
 
$
3,380,877

 
$
5,777

 
0.68
%
 
$
2,975,863

 
$
4,366

 
0.60
%
Market-based money market accounts
 
362,498

 
528

 
0.59
%
 
391,923

 
602

 
0.61
%
 
411,610

 
619

 
0.61
%
Savings and money market accounts, excluding market-based
 
5,133,320

 
8,190

 
0.65
%
 
5,187,257

 
8,488

 
0.65
%
 
5,101,516

 
7,661

 
0.61
%
Market-based time
 
443,962

 
760

 
0.69
%
 
492,848

 
901

 
0.73
%
 
586,588

 
1,083

 
0.75
%
Time, excluding market-based
 
4,936,035

 
14,190

 
1.16
%
 
4,373,830

 
13,340

 
1.21
%
 
2,876,480

 
8,878

 
1.25
%
Total deposits
 
14,538,374

 
29,764

 
0.83
%
 
13,826,735

 
29,108

 
0.84
%
 
11,952,057

 
22,607

 
0.77
%
Borrowings:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Trust preferred securities
 
103,750

 
1,640

 
6.41
%
 
103,750

 
1,649

 
6.31
%
 
103,750

 
1,644

 
6.43
%
FHLB advances
 
4,050,089

 
16,189

 
1.60
%
 
3,882,446

 
16,202

 
1.63
%
 
1,958,449

 
13,368

 
2.73
%
Other
 
—

 
—

 
0.00
%
 
23,739

 
—

 
0.00
%
 
24,001

 
—

 
0.00
%
Total borrowings
 
4,153,839

 
17,829

 
1.72
%
 
4,009,935

 
17,851

 
1.74
%
 
2,086,200

 
15,012

 
2.88
%
Total interest-bearing liabilities
 
18,692,213

 
47,593

 
1.03
%
 
17,836,670

 
46,959

 
1.04
%
 
14,038,257

 
37,619

 
1.08
%
Noninterest-bearing demand deposits
 
1,104,966

 
 
 
 
 
1,154,254

 
 
 
 
 
1,081,435

 
 
 
 
Other noninterest-bearing liabilities
 
216,777

 
 
 
 
 
198,364

 
 
 
 
 
263,745

 
 
 
 
Total liabilities
 
20,013,956

 
 
 
 
 
19,189,288

 
 
 
 
 
15,383,437

 
 
 
 
Total shareholders’ equity
 
1,755,562

 
 
 
 
 
1,731,832

 
 
 
 
 
1,628,216

 
 
 
 
Total liabilities and shareholders’ equity
 
$
21,769,518

 
 
 
 
 
$
20,921,120

 
 
 
 
 
$
17,011,653

 
 
 
 
Net interest income/spread
 
 
 
$
155,438

 
2.96
%
 
 
 
$
147,436

 
2.93
%
 
 
 
$
130,844

 
3.25
%
Net interest margin
 
 
 
 
 
3.09
%
 
 
 
 
 
3.00
%
 
 
 
 
 
3.41
%
Memo: Total deposits including noninterest-bearing
 
$
15,643,340

 
$
29,764

 
0.77
%
 
$
14,980,989

 
$
29,108

 
0.77
%
 
$
13,033,492

 
$
22,607

 
0.71
%

(1)
The average balances are principally daily averages, and, for loans, include both performing and non-performing balances.
(2)
Interest income on loans includes the effects of discount accretion and net deferred loan origination costs accounted for as yield adjustments.
(3)
All interest income was fully taxable for all periods presented.






EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
 
 
 
 
Loans and Leases Held for Investment
 
 
 
 
 
 
 
 
 
Table 6a    

(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
Consumer Banking:
 
 
 
 
 
 
 
 
 
 
Residential mortgages:
 
 
 
 
 
 
 
 
 
 
Residential
 
$
6,265,322

 
$
6,324,965

 
$
6,006,987

 
$
5,205,043

 
$
5,688,053

Government insured pool buyouts
 
3,513,916

 
3,595,105

 
3,395,095

 
3,197,348

 
1,911,773

Residential mortgages
 
9,779,238

 
9,920,070

 
9,402,082

 
8,402,391

 
7,599,826

Home equity lines
 
170,998

 
156,869

 
139,589

 
138,886

 
147,086

Other consumer and credit card
 
4,472

 
5,054

 
5,894

 
5,473

 
5,427

Total Consumer Banking
 
9,954,708

 
10,081,993

 
9,547,565

 
8,546,750

 
7,752,339

Commercial Banking:
 
 
 
 
 
 
 
 
 
 
Commercial and commercial real estate:
 
 
 
 
 
 
 
 
 
 
Commercial real estate and other commercial
 
3,550,489

 
3,527,586

 
3,328,979

 
3,234,423

 
3,243,654

Mortgage warehouse finance
 
2,103,098

 
1,356,651

 
1,185,591

 
1,310,611

 
911,223

Lender finance
 
851,759

 
762,453

 
678,400

 
625,335

 
664,143

Commercial and commercial real estate
 
6,505,346

 
5,646,690

 
5,192,970

 
5,170,369

 
4,819,020

Equipment financing receivables
 
2,073,583

 
2,031,570

 
1,839,416

 
1,577,525

 
1,292,750

Total Commercial Banking
 
8,578,929

 
7,678,260

 
7,032,386

 
6,747,894

 
6,111,770

Loans and leases held for investment, net of unearned income
 
18,533,637

 
17,760,253

 
16,579,951

 
15,294,644

 
13,864,109

Allowance for loan and lease losses
 
(62,846
)
 
(60,846
)
 
(57,245
)
 
(56,728
)
 
(62,969
)
Total loans and leases held for investment, net
 
$
18,470,791

 
$
17,699,407

 
$
16,522,706

 
$
15,237,916

 
$
13,801,140

The balances presented above include:
 
 
 
 
 
 
 
 
 
 
Net purchased loan and lease discounts
 
$
50,053

 
$
47,108

 
$
54,510

 
$
53,134

 
$
79,905

Net deferred loan and lease origination costs
 
$
98,757

 
$
94,778

 
$
84,832

 
$
69,849

 
$
64,688

 
 
 
 
 
 
 
 
 
 
 
Deposits
 
 
 
 
 
 
 
 
 
Table 6b    

(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
Noninterest-bearing demand
 
$
1,213,266

 
$
984,703

 
$
1,084,400

 
$
1,055,556

 
$
1,054,796

Interest-bearing demand
 
3,674,565

 
3,540,027

 
2,941,171

 
2,801,811

 
2,961,831

Market-based money market accounts
 
352,865

 
374,856

 
397,617

 
411,633

 
413,017

Savings and money market accounts, excluding market-based
 
5,137,429

 
5,136,031

 
5,159,642

 
4,864,459

 
5,023,585

Market-based time
 
426,431

 
466,514

 
511,923

 
577,247

 
583,740

Time, excluding market-based
 
5,272,131

 
5,006,566

 
4,378,752

 
4,163,969

 
3,251,442

Total deposits
 
$
16,076,687

 
$
15,508,697

 
$
14,473,505

 
$
13,874,675

 
$
13,288,411

 
 
 
 
 
 
 
 
 
 
 
General and Administrative Expense
 
 
 
 
 
 
 
Table 7

 
 
Three Months Ended
(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
Legal and professional fees, excluding consent order expense
 
$
5,928

 
$
9,903

 
$
7,061

 
$
7,475

 
$
7,116

Credit-related expenses
 
2,698

 
4,995

 
6,356

 
8,765

 
7,607

FDIC premium assessment and other agency fees
 
6,414

 
6,025

 
6,684

 
7,199

 
(443
)
Advertising and marketing expense
 
6,664

 
5,899

 
6,175

 
4,932

 
4,431

Subservicing expense
 
3,791

 
3,716

 
3,673

 
2,482

 
—

Consent order expense
 
2,741

 
108

 
1,634

 
2,099

 
756

Other
 
13,919

 
11,078

 
11,557

 
13,879

 
17,331

Total general and administrative expense
 
$
42,155

 
$
41,724

 
$
43,140

 
$
46,831

 
$
36,798





EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
 
 
 
Non-Performing Assets(1)
 
 
 
 
 
 
 
 
 
Table 8

(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
Non-accrual loans and leases:
 
 
 
 
 
 
 
 
 
 
Consumer Banking:
 
 
 
 
 
 
 
 
 
 
Residential mortgages
 
$
24,840

 
$
24,576

 
$
23,067

 
$
22,212

 
$
47,835

Home equity lines
 
2,191

 
2,363

 
2,152

 
1,903

 
3,462

Other consumer and credit card
 
29

 
38

 
31

 
20

 
33

Commercial Banking:
 
 
 
 
 
 
 
 
 
 
Commercial and commercial real estate
 
37,025

 
41,140

 
46,819

 
44,172

 
23,884

Equipment financing receivables
 
10,775

 
8,866

 
6,803

 
6,475

 
5,446

Total non-accrual loans and leases
 
74,860

 
76,983

 
78,872

 
74,782

 
80,660

Accruing loans 90 days or more past due
 
—

 
—

 
—

 
—

 
—

Total non-performing loans (NPL)
 
74,860

 
76,983

 
78,872

 
74,782

 
80,660

Other real estate owned (OREO)
 
17,588

 
22,509

 
24,501

 
25,530

 
29,333

Total non-performing assets (NPA)
 
92,448

 
99,492

 
103,373

 
100,312

 
109,993

Troubled debt restructurings (TDR) less than 90 days past due
 
15,251

 
13,634

 
16,547

 
16,687

 
73,455

Total NPA and TDR(1)
 
$
107,699

 
$
113,126

 
$
119,920

 
$
116,999

 
$
183,448

 
 
 
 
 
 
 
 
 
 
 
Total NPA and TDR
 
$
107,699

 
$
113,126

 
$
119,920

 
$
116,999

 
$
183,448

Government insured 90 days or more past due still accruing
 
2,662,619

 
2,646,415

 
2,632,744

 
2,424,166

 
1,021,276

Loans accounted for under ASC 310-30:
 
 
 
 
 
 
 
 
 
 
90 days or more past due
 
5,165

 
8,448

 
10,519

 
23,159

 
9,915

Total regulatory NPA and TDR
 
$
2,775,483

 
$
2,767,989

 
$
2,763,183

 
$
2,564,324

 
$
1,214,639

Adjusted credit quality ratios excluding government insured loans and loans accounted for under ASC 310-30:(1)
 
 
 
 
 
 
 
 
 
 
NPL to total loans
 
0.37
%
 
0.41
%
 
0.45
%
 
0.44
%
 
0.56
%
NPA to total assets
 
0.40
%
 
0.46
%
 
0.50
%
 
0.51
%
 
0.62
%
NPA and TDR to total assets
 
0.46
%
 
0.52
%
 
0.58
%
 
0.59
%
 
1.04
%
Credit quality ratios including government insured loans and loans accounted for under ASC 310-30:
 
 
 
 
 
 
 
 
 
 
NPL to total loans
 
13.49
%
 
14.63
%
 
15.65
%
 
14.89
%
 
7.72
%
NPA to total assets
 
11.82
%
 
12.74
%
 
13.39
%
 
12.90
%
 
6.47
%
NPA and TDR to total assets
 
11.89
%
 
12.80
%
 
13.47
%
 
12.98
%
 
6.89
%
 
(1)
We define non-performing assets, or NPA, as non-accrual loans, accruing loans past due 90 days or more and foreclosed property. Our NPA calculation excludes government insured pool buyout loans for which payment is insured by the government. We also exclude loans and foreclosed property accounted for under ASC 310-30 because we expect to fully collect the carrying value of such loans and foreclosed property.




EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Allowance for Loan and Lease Losses Activity
 
 
 
 
 
 
 
 
 
Table 9a

 
 
Three Months Ended
(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
ALLL, beginning of period
 
$
60,846

 
$
57,245

 
$
56,728

 
$
62,969

 
$
63,690

Charge-offs:
 
 
 
 
 
 
 
 
 
 
Consumer Banking:
 
 
 
 
 
 
 
 
 
 
Residential mortgages
 
2,539

 
1,368

 
2,023

 
1,810

 
3,165

Home equity lines
 
288

 
383

 
171

 
163

 
316

Other consumer and credit card
 
33

 
28

 
28

 
20

 
15

Commercial Banking:
 
 
 
 
 
 
 
 
 
 
Commercial and commercial real estate
 
2,018

 
1,626

 
568

 
4,714

 
5

Equipment financing receivables
 
2,631

 
2,122

 
1,548

 
938

 
1,189

Total charge-offs
 
7,509

 
5,527

 
4,338

 
7,645

 
4,690

Recoveries:
 
 
 
 
 
 
 
 
 
 
Consumer Banking:
 
 
 
 
 
 
 
 
 
 
Residential mortgages
 
58

 
152

 
127

 
251

 
566

Home equity lines
 
83

 
48

 
289

 
74

 
141

Other consumer and credit card
 
—

 
—

 
—

 
—

 
—

Commercial Banking:
 
 
 
 
 
 
 
 
 
 
Commercial and commercial real estate
 
2

 
2

 
6

 
—

 
1

Equipment financing receivables
 
366

 
322

 
180

 
196

 
190

Total recoveries
 
509

 
524

 
602

 
521

 
898

Net charge-offs
 
7,000

 
5,003

 
3,736

 
7,124

 
3,792

Provision for loan and lease losses
 
9,000

 
8,604

 
6,735

 
6,123

 
3,071

Transfers to loans held for sale
 
—

 
—

 
(2,482
)
 
(5,240
)
 
—

ALLL, end of period
 
$
62,846

 
$
60,846

 
$
57,245

 
$
56,728

 
$
62,969

Net charge-offs to average loans and leases held for investment
 
0.16
%
 
0.12
%
 
0.09
%
 
0.19
%
 
0.12
%
 
 
 
 
 
 
 
 
 
 
 
Allowance for Loan and Lease Losses Ratio
 
Table 9b    

(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
ALLL
 
$
62,846

 
$
60,846

 
$
57,245

 
$
56,728

 
$
62,969

Loans and leases held for investment, net of unearned income
 
18,533,637

 
17,760,253

 
16,579,951

 
15,294,644

 
13,864,109

ALLL as a percentage of loans and leases held for investment
 
0.34
%
 
0.34
%
 
0.35
%
 
0.37
%
 
0.45
%
Government insured pool buyouts as a percentage of loans and leases held for investment
 
19
%
 
20
%
 
20
%
 
21
%
 
14
%
 
 
 
 
 
 
 
 
 
 
 
Reserves for Repurchase Obligations for Loans Sold or Securitized
 
  
 
  
 
Table 9c

 
 
Three Months Ended
(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
Loan origination repurchase reserves, beginning of period
 
$
25,940

 
$
24,712

 
$
26,373

 
$
24,428

 
$
20,225

Provision for new sales/securitizations
 
442

 
548

 
627

 
595

 
429

Provision (release of provision) for changes in estimate of existing reserves
 
(531
)
 
1,500

 
—

 
3,400

 
4,000

Net realized losses on repurchases
 
(266
)
 
(820
)
 
(2,288
)
 
(2,050
)
 
(226
)
Loan origination repurchase reserves, end of period
 
$
25,585

 
$
25,940

 
$
24,712

 
$
26,373

 
$
24,428

 
 
 
 
 
 
 
 
 
 
 
Reserves for Repurchase Obligations for Loans Serviced
 
Table 9d    

 
 
Three Months Ended
(dollars in thousands)
 
March 31,
2015
 
December 31,
2014
 
September 30,
2014
 
June 30,
2014
 
March 31,
2014
Loan servicing repurchase reserves, beginning of period
 
$
2,947

 
$
4,075

 
$
5,802

 
$
10,796

 
$
23,668

Provision (release of provision) for change in estimate of existing reserves
 
(173
)
 
(757
)
 
(626
)
 
(1,303
)
 
(5,037
)
Net realized losses on repurchases
 
(267
)
 
(371
)
 
(1,101
)
 
(3,691
)
 
(7,835
)
Loan servicing repurchase reserves, end of period
 
$
2,507

 
$
2,947

 
$
4,075

 
$
5,802

 
$
10,796






EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
Reconciliation of Non-GAAP Measures
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Adjusted Net Income
 
 
 
 
 
 
 
 
Table 10a

 
Three Months Ended
(dollars in thousands, except per share data)
Mar 31,
2015
 
Dec 31,
2014
 
Sep 30,
2014
 
Jun 30,
2014
 
Mar 31,
2014
Net income
$
14,230

 
$
38,021

 
$
43,519

 
$
34,782

 
$
31,760

Transaction expense and non-recurring regulatory related expense, net of tax
1,498

 
2,502

 
2,201

 
1,294

 
465

Increase (decrease) in Bank of Florida non-accretable discount, net of tax
(967
)
 
(205
)
 
198

 
423

 
311

MSR impairment (recovery), net of tax
26,879

 
—

 
(1,904
)
 
—

 
(3,063
)
Restructuring cost, net of tax
—

 
(164
)
 
—

 
—

 
630

OTTI losses on investment securities (Volcker Rule), net of tax
—

 
—

 
—

 
425

 
—

Adjusted net income
$
41,640

 
$
40,154

 
$
44,014

 
$
36,924

 
$
30,103

Adjusted net income allocated to preferred stock
2,531

 
2,531

 
2,532

 
2,531

 
2,531

Adjusted net income allocated to common shareholders
$
39,109

 
$
37,623

 
$
41,482

 
$
34,393

 
$
27,572

Adjusted net earnings per common share, basic
$
0.32

 
$
0.31

 
$
0.34

 
$
0.28

 
$
0.22

Adjusted net earnings per common share, diluted
$
0.31

 
$
0.30

 
$
0.33

 
$
0.27

 
$
0.22

Weighted average common shares outstanding:
 
 
 
 
 
 
 
 
 
(units in thousands)
 
 
 
 
 
 
 
 
 
Basic
123,939

 
123,278

 
122,950

 
122,840

 
122,684

Diluted
126,037

 
125,646

 
125,473

 
125,389

 
125,038

 
 
 
 
 
Tangible Equity, Tangible Common Equity and Tangible Assets
 
 
 
Table 10b

(dollars in thousands)
Mar 31,
2015
 
Dec 31,
2014
 
Sep 30,
2014
 
Jun 30,
2014
 
Mar 31,
2014
Shareholders’ equity
$
1,757,812

 
$
1,747,594

 
$
1,721,023

 
$
1,679,448

 
$
1,647,639

Less:
 
 
 
 
 
 
 
 
 
Goodwill
46,859

 
46,859

 
46,859

 
46,859

 
46,859

Intangible assets
3,178

 
3,705

 
4,232

 
4,759

 
5,286

Tangible equity
1,707,775

 
1,697,030

 
1,669,932

 
1,627,830

 
1,595,494

Less:
 
 
 
 
 
 
 
 
 
Perpetual preferred stock
150,000

 
150,000

 
150,000

 
150,000

 
150,000

Tangible common equity
$
1,557,775

 
$
1,547,030

 
$
1,519,932

 
$
1,477,830

 
$
1,445,494

 
 
 
 
 
 
 
 
 
 
Total assets
$
23,347,219

 
$
21,617,788

 
$
20,510,342

 
$
19,753,820

 
$
17,630,948

Less:
 
 
 
 
 
 
 
 
 
Goodwill
46,859

 
46,859

 
46,859

 
46,859

 
46,859

Intangible assets
3,178

 
3,705

 
4,232

 
4,759

 
5,286

Tangible assets
$
23,297,182

 
$
21,567,224

 
$
20,459,251

 
$
19,702,202

 
$
17,578,803






EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 

Reconciliation of Non-GAAP Measures (continued)
 
 
 
 
 
 
 

 
 
 
 
 
Regulatory Capital(1) (bank level)
 
 
 
Table 10c

(dollars in thousands)
 
Mar 31,
2015
 
Dec 31,
2014
 
Sep 30,
2014
 
Jun 30,
2014
 
Mar 31,
2014
Shareholders’ equity
 
$
1,793,270

 
$
1,789,398

 
$
1,769,205

 
$
1,714,454

 
$
1,686,414

Less:
Goodwill and other intangibles
 
(47,442
)
 
(49,589
)
 
(49,957
)
 
(50,328
)
 
(50,700
)
 
Disallowed servicing asset
 
(46,302
)
 
(32,054
)
 
(23,524
)
 
(29,028
)
 
(26,419
)
 
Disallowed deferred tax asset
 
(659
)
 
—

 
—

 
(61,737
)
 
(62,682
)
Add:
Accumulated losses on securities and cash flow hedges
 
68,225

 
64,002

 
49,516

 
52,121

 
51,507

Tier 1 capital
(A)
1,767,092

 
1,771,757

 
1,745,240

 
1,625,482

 
1,598,120

Add:
Allowance for loan and lease losses
 
62,846

 
60,846

 
57,245

 
56,728

 
62,969

Total regulatory capital
(B)
$
1,829,938

 
$
1,832,603

 
$
1,802,485

 
$
1,682,210

 
$
1,661,089

 
 
 
 
 
 
 
 
 
 
 
Adjusted total assets
(C)
$
21,732,119

 
$
21,592,849

 
$
20,480,723

 
$
19,660,793

 
$
17,539,708

Risk-weighted assets
(D)
14,822,821

 
13,658,685

 
12,869,352

 
12,579,476

 
11,597,320

 
 
 
 
 
 
 
 
 
 
 
 
Tier 1 leverage ratio
(A)/(C)
8.1
%
 
8.2
%
 
8.5
%
 
8.3
%
 
9.1
%
Tier 1 risk-based capital ratio
(A)/(D)
11.9
%
 
13.0
%
 
13.6
%
 
12.9
%
 
13.8
%
Total risk-based capital ratio
(B)/(D)
12.3
%
 
13.4
%
 
14.0
%
 
13.4
%
 
14.3
%
 
 
 
 
 
 
 
 
 
 
 
 
(1) Calculated under Basel III for periods beginning March 31, 2015. Calculated under Basel I for periods through December 31, 2014.
 
 
 
 
 
 
 
 
 
 
 
 
Regulatory Capital(1) (EFC consolidated)
 
 
 
Table 10d

(dollars in thousands)
 
Mar 31,
2015
 
Dec 31,
2014
 
Sep 30,
2014
 
Jun 30,
2014
 
Mar 31,
2014
Shareholders’ equity
 
$
1,757,812

 
$
1,747,594

 
$
1,721,023

 
$
1,679,448

 
$
1,647,639

Less:
Preferred stock
 
(150,000
)
 
(150,000
)
 
(150,000
)
 
(150,000
)
 
(150,000
)
 
Goodwill and other intangibles
 
(47,310
)
 
(49,589
)
 
(49,957
)
 
(50,328
)
 
(50,700
)
 
Disallowed servicing asset
 
(53,648
)
 
(32,054
)
 
(23,524
)
 
(29,028
)
 
(26,419
)
 
Disallowed deferred tax asset
 
(634
)
 
—

 
—

 
(61,737
)
 
(62,682
)
Add:
Accumulated losses on securities and cash flow hedges
 
69,893

 
65,597

 
51,108

 
53,936

 
53,647

Common tier 1 capital
(E)
1,576,113

 
1,581,548

 
1,548,650

 
1,442,291

 
1,411,485

Add:
Preferred stock
 
150,000

 
150,000

 
150,000

 
150,000

 
150,000

Add:
Additional tier 1 capital (trust preferred securities)
 
103,750

 
103,750

 
103,750

 
103,750

 
103,750

Tier 1 capital
(F)
1,829,863

 
1,835,298

 
1,802,400

 
1,696,041

 
1,665,235

Add:
Allowance for loan and lease losses
 
62,846

 
60,846

 
57,245

 
56,728

 
62,969

Total regulatory capital
(G)
$
1,892,709

 
$
1,896,144

 
$
1,859,645

 
$
1,752,769

 
$
1,728,204

 
 
 
 
 
 
 
 
 
 
 
Adjusted total assets
(H)
$
21,738,727

 
$
21,601,742

 
$
20,487,969

 
$
19,666,663

 
$
17,554,830

Risk-weighted assets
(I)
14,819,123

 
13,665,981

 
12,875,007

 
12,583,537

 
11,600,258

 
 
 
 
 
 
 
 
 
 
 
 
Common equity tier 1 ratio
(E)/(I)
10.6
%
 
11.6
%
 
12.0
%
 
11.5
%
 
12.2
%
Tier 1 leverage ratio
(F)/(H)
8.4
%
 
8.5
%
 
8.8
%
 
8.6
%
 
9.5
%
Tier 1 risk-based capital ratio
(F)/(I)
12.3
%
 
13.4
%
 
14.0
%
 
13.5
%
 
14.4
%
Total risk-based capital ratio
(G)/(I)
12.8
%
 
13.9
%
 
14.4
%
 
13.9
%
 
14.9
%
 
 
 
 
 
 
 
 
 
 
 
 
(1) Calculated under Basel III for periods beginning March 31, 2015. Calculated under Basel I for periods through December 31, 2014.






EverBank Financial Corp and Subsidiaries
 
 
 
 
 
 
 
Residential Mortgage Lending and Servicing
 
 
 
Table 11

 
Three Months Ended
(dollars in thousands)
Mar 31,
2015
 
Dec 31,
2014
 
Sep 30,
2014
 
Jun 30,
2014
 
Mar 31,
2014
Key Metrics:
 
 
 
 
 
 
 
 
 
Mortgage lending volume:
 
 
 
 
 
 
 
 
 
Agency
$
1,043,500

 
$
971,774

 
$
1,108,917

 
$
1,124,684

 
$
892,358

Jumbo
1,300,746

 
1,183,702

 
1,187,161

 
1,108,188

 
808,138

Other
21,716

 
22,160

 
6,004

 
—

 
—

Mortgage lending volume
$
2,365,962

 
$
2,177,636

 
$
2,302,082

 
$
2,232,872

 
$
1,700,496

Mortgage loans sold:
 
 
 
 
 
 
 
 
 
   Agency
$
802,329

 
$
878,209

 
$
1,111,504

 
$
804,015

 
$
897,234

   Jumbo
189,965

 
385,564

 
691,431

 
447,408

 
54,210

   GNMA
373,761

 
379,223

 
365,547

 
176,734

 
255,021

   Other
3,448

 
4,403

 
4,163

 
103,556

 
3,290

Mortgage loans sold
$
1,369,503

 
$
1,647,399

 
$
2,172,645

 
$
1,531,713

 
$
1,209,755

Unpaid principal balance of loans serviced for the Company and others
$
50,481,475

 
$
50,746,457

 
$
50,830,585

 
$
50,790,378

 
$
60,677,571

Average contractual servicing fee
0.29
%
 
0.29
%
 
0.29
%
 
0.29
%
 
0.29
%
Applications
$
1,658,070

 
$
1,335,506

 
$
1,279,945

 
$
1,656,807

 
$
1,534,751

Rate locks
1,564,567

 
1,251,366

 
1,236,764

 
1,664,388

 
1,461,488

Mortgage Lending Volume by Channel:
 
 
 
 
 
 
 
 
 
Retail
$
1,301,488

 
$
1,218,614

 
$
1,259,019

 
$
1,225,568

 
$
781,241

Consumer Direct
441,155

 
385,588

 
454,449

 
461,115

 
414,726

Correspondent
623,319

 
573,433

 
588,614

 
546,189

 
504,529

Purchase Activity (%):
 
 
 
 
 
 
 
 
 
Retail
51
%
 
62
%
 
72
%
 
80
%
 
70
%
Consumer Direct
6
%
 
4
%
 
12
%
 
13
%
 
5
%
Correspondent
43
%
 
51
%
 
66
%
 
60
%
 
44
%
Total
41
%
 
49
%
 
59
%
 
61
%
 
46
%