EX-99.2 3 snv_06302023xex992xfilingx.htm EX-99.2 Document

SynovusExhibit 99.2
INCOME STATEMENT DATA
(Unaudited)
(Dollars in thousands, except per share data)Six Months Ended June 30,
2023202223 vs '22
% Change
Interest income$1,476,022 $869,834 70 %
Interest expense539,739 52,199 934 
Net interest income936,283 817,635 15 
Provision for (reversal of) credit losses71,035 24,088 195 
Net interest income after provision for credit losses865,248 793,547 
Non-interest revenue:
Service charges on deposit accounts46,451 46,030 
Fiduciary and asset management fees39,723 40,377 (2)
Card fees32,884 30,846 
Brokerage revenue43,466 29,898 45 
Mortgage banking income8,467 9,857 (14)
Capital markets income20,700 12,864 61 
Income from bank-owned life insurance14,140 15,722 (10)
Investment securities gains (losses), net1,030 — nm
Recovery of NPA13,126 — nm
Other non-interest revenue25,415 17,006 49 
Total non-interest revenue245,402 202,600 21 
Non-interest expense:
Salaries and other personnel expense371,926 325,747 14 
Net occupancy, equipment, and software expense85,645 86,076 (1)
Third-party processing and other services43,493 42,947 
Professional fees18,560 19,338 (4)
FDIC insurance and other regulatory fees21,429 13,144 63 
Restructuring charges (reversals)(843)(8,274)nm
Loss on other loans held for sale19,110 — nm
Other operating expenses69,714 75,523 (8)
Total non-interest expense629,034 554,501 13 
Income before income taxes481,616 441,646 
Income tax expense105,513 92,558 14 
Net income376,103 349,088 
Less: Net income attributable to noncontrolling interest(166)— nm
Net income attributable to Synovus Financial Corp.376,269 349,088 
Less: Preferred stock dividends16,581 16,581 — 
Net income available to common shareholders$359,688 $332,507 %
Net income per common share, basic$2.46 $2.29 %
Net income per common share, diluted2.45 2.27 
Cash dividends declared per common share0.76 0.68 12 
Return on average assets *1.26 %1.24 % bps
Return on average common equity *17.28 15.28 200 
Weighted average common shares outstanding, basic145,957 145,301 — %
Weighted average common shares outstanding, diluted146,644 146,489 — 
nm - not meaningful
bps - basis points
* - ratios are annualized
Amounts may not total due to rounding




Synovus
INCOME STATEMENT DATA
(Unaudited)
(Dollars in thousands, except per share data)20232022Second Quarter
Second QuarterFirst QuarterFourth QuarterThird QuarterSecond Quarter '23 vs '22
% Change
Interest income$759,143 716,879 654,654 551,299 453,772 67 %
Interest expense303,612 236,128 153,308 73,380 28,384 970 
Net interest income455,531 480,751 501,346 477,919 425,388 
Provision for (reversal of) credit losses38,881 32,154 34,884 25,581 12,688 206 
Net interest income after provision for credit losses416,650 448,597 466,462 452,338 412,700 
Non-interest revenue:
Service charges on deposit accounts23,477 22,974 23,639 23,398 23,491 — 
Fiduciary and asset management fees20,027 19,696 18,836 19,201 20,100 — 
Card fees17,059 15,824 15,887 15,101 16,089 
Brokerage revenue20,908 22,558 19,996 17,140 15,243 37 
Mortgage banking income4,609 3,858 2,554 5,065 3,904 18 
Capital markets income 6,975 13,725 6,998 6,839 7,393 (6)
Income from bank-owned life insurance6,878 7,262 7,206 6,792 9,165 (25)
Investment securities gains (losses), net 1,030 — — — nm
Recovery of NPA 13,126 — — — nm
Other non-interest revenue12,343 13,073 7,323 10,762 1,881 556 
Total non-interest revenue112,276 133,126 102,439 104,298 97,266 15 
Non-interest expense:
Salaries and other personnel expense183,001 188,924 182,629 173,334 161,063 14 
Net occupancy, equipment, and software expense42,785 42,860 45,192 43,462 43,199 (1)
Third-party processing and other services21,659 21,833 23,130 22,539 21,952 (1)
Professional fees9,597 8,963 11,096 6,755 10,865 (12)
FDIC insurance and other regulatory fees11,162 10,268 8,232 7,707 6,894 62 
Restructuring charges (reversals)(110)(733)(2,372)956 (1,850)(94)
Loss on other loans held for sale2,360 16,750 — — — nm
Other operating expenses36,727 32,987 41,089 39,257 39,928 (8)
Total non-interest expense307,181 321,852 308,996 294,010 282,051 
Income before income taxes221,745 259,871 259,905 262,626 227,915 (3)
Income tax expense47,801 57,712 54,135 59,582 49,863 (4)
Net income173,944 202,159 205,770 203,044 178,052 (2)
Less: Net income attributable to noncontrolling interest(166)— — — — nm
Net income attributable to Synovus Financial Corp.174,110 202,159 205,770 203,044 178,052 (2)
Less: Preferred stock dividends8,291 8,291 8,291 8,291 8,291 — 
Net income available to common shareholders$165,819 193,868 197,479 194,753 169,761 (2)%
Net income per common share, basic$1.13 1.33 1.36 1.34 1.17 (3)%
Net income per common share, diluted1.13 1.32 1.35 1.33 1.16 (3)
Cash dividends declared per common share0.38 0.38 0.34 0.34 0.34 12 
Return on average assets *1.15 %1.36 1.38 1.39 1.26 (11) bps
Return on average common equity *15.45 19.23 20.93 18.66 16.48 (103)
Weighted average common shares outstanding, basic146,113 145,799 145,467 145,386 145,328 %
Weighted average common shares outstanding, diluted146,550 146,727 146,528 146,418 146,315 — 
 nm - not meaningful
 bps - basis points
* - ratios are annualized
Amounts may not total due to rounding






Synovus
BALANCE SHEET DATAJune 30, 2023December 31, 2022June 30, 2022
(Unaudited)
(In thousands, except share data)
ASSETS
Cash and due from banks$576,148 $624,097 $583,323 
Interest-bearing funds with Federal Reserve Bank1,391,961 1,280,684 1,023,030 
Interest earning deposits with banks50,254 34,632 29,139 
Federal funds sold and securities purchased under resale agreements35,788 38,367 29,568 
Cash, cash equivalents, and restricted cash2,054,151 1,977,780 1,665,060 
Investment securities available for sale, at fair value9,621,175 9,678,103 9,889,850 
Loans held for sale (includes $62,616, $51,136 and $76,864 measured at fair value, respectively)514,450 391,502 917,679 
Loans, net of deferred fees and costs44,353,537 43,716,353 41,204,780 
Allowance for loan losses(471,238)(443,424)(407,837)
Loans, net43,882,299 43,272,929 40,796,943 
Cash surrender value of bank-owned life insurance1,100,114 1,089,280 1,078,703 
Premises, equipment, and software, net365,443 370,632 383,060 
Goodwill475,573 452,390 452,390 
Other intangible assets, net61,538 27,124 31,360 
Other assets2,580,848 2,471,638 2,167,700 
Total assets$60,655,591 $59,731,378 $57,382,745 
LIABILITIES AND EQUITY
Liabilities:
Deposits:
Non-interest-bearing deposits$13,565,602 $15,639,899 $16,876,710 
Interest-bearing deposits36,514,790 33,231,660 32,157,990 
Total deposits50,080,392 48,871,559 49,034,700 
Federal funds purchased and securities sold under repurchase agreements83,384 146,588 345,242 
Other short-term borrowings1,461 603,384 255,018 
Long-term debt4,021,411 4,109,597 1,804,104 
Other liabilities1,661,175 1,524,449 1,359,243 
Total liabilities55,847,823 55,255,577 52,798,307 
Equity:
Shareholders' equity:
Preferred stock - no par value. Authorized 100,000,000 shares; issued 22,000,000537,145 537,145 537,145 
Common stock - $1.00 par value. Authorized 342,857,143 shares; issued 170,808,134, 170,141,492 and 170,012,527 respectively; outstanding 146,153,276, 145,486,634 and 145,357,669 respectively170,808 170,141 170,013 
Additional paid-in capital3,933,548 3,920,346 3,908,118 
Treasury stock, at cost; 24,654,858 shares(944,484)(944,484)(944,484)
Accumulated other comprehensive income (loss), net(1,395,175)(1,442,117)(1,026,705)
Retained earnings2,480,686 2,234,770 1,940,351 
Total Synovus Financial Corp. shareholders’ equity4,782,528 4,475,801 4,584,438 
Noncontrolling interest in subsidiary25,240 — — 
Total equity4,807,768 4,475,801 4,584,438 
Total liabilities and equity$60,655,591 $59,731,378 $57,382,745 





Synovus
AVERAGE BALANCES, INTEREST, AND YIELDS/RATES
(Unaudited)
Second Quarter 2023First Quarter 2023Second Quarter 2022
(dollars in thousands)
Average BalanceInterest  Yield/
   Rate
Average BalanceInterest  Yield/
   Rate
Average BalanceInterest  Yield/
   Rate
Assets
Interest earning assets:
Commercial loans (1) (2) (3)
$35,628,637 $566,823 6.38 %$35,030,809 $526,529 6.10 %$31,870,387 $308,442 3.88 %
Consumer loans (1) (2)
8,470,478 104,545 4.94 8,762,631 104,147 4.78 8,720,488 83,826 3.86 
Less: Allowance for loan losses
(466,700)  (445,192)— — (415,372)— — 
Loans, net
43,632,415 671,368 6.17 43,348,248 630,676 5.89 40,175,503 392,268 3.92 
Investment securities available for sale
11,200,717 60,421 2.16 11,293,958 61,054 2.16 11,153,091 50,312 1.81 
Trading account assets
21,328 309 5.80 11,338 124 4.39 11,987 732.44 
Other earning assets(4)
1,446,425 18,081 4.95 1,513,800 17,212 4.55 813,028 1,660 0.81 
FHLB and Federal Reserve Bank stock    
280,248 4,301 6.14 306,935 3,355 4.37 179,837 1,820 4.05 
Mortgage loans held for sale
54,603 852 6.24 36,497 566 6.20 85,299 921 4.32 
Other loans held for sale546,224 4,949 3.58 443,690 5,011 4.52 725,762 7,678 4.19 
Total interest earning assets
57,181,960 $760,281 5.33 %56,954,466 $717,998 5.11 %53,144,507 $454,732 3.43 %
Cash and due from banks
646,066 643,502 538,647 
Premises and equipment
369,039 370,275 385,457 
Other real estate
 — 11,439 
Cash surrender value of bank-owned life insurance
1,095,866 1,091,080 1,077,231 
Other assets(5)    
1,222,146 1,074,238 1,379,659 
Total assets
$60,515,077 $60,133,561 $56,536,940 
Liabilities and Equity
Interest-bearing liabilities:
Interest-bearing demand deposits    
$9,891,375 $41,803 1.70 %$9,091,166 $23,221 1.04 %$9,513,334 $3,598 0.15 %
Money market accounts
13,468,210 85,397 2.54 14,395,050 72,615 2.05 15,328,395 6,850 0.18 
Savings deposits
1,276,040 281 0.09 1,370,173 211 0.06 1,506,195 72 0.02 
Time deposits
4,866,221 39,551 3.26 3,601,288 21,496 2.42 2,829,684 1,688 0.24 
Brokered deposits6,342,751 74,748 4.73 5,553,970 56,392 4.12 2,878,536 6,293 0.88 
Federal funds purchased and securities sold under repurchase agreements    
88,591 351 1.57 133,360 670 2.01 246,737 219 0.35 
Other short-term borrowings
455,050 5,566 4.84 1,677,519 18,994 4.53 480,999 896 0.74 
Long-term debt
3,821,126 55,915 5.82 3,148,062 42,529 5.41 878,413 8,768 3.99 
Total interest-bearing liabilities
40,209,364 $303,612 3.03 %38,970,588 $236,128 2.46 %33,662,293 $28,384 0.33 %
Non-interest-bearing demand deposits
13,874,482 15,014,224 16,959,850 
Other liabilities
1,556,863 1,522,827 1,245,116 
Total equity4,874,368 4,625,922 4,669,681 
Total liabilities and equity
$60,515,077 $60,133,561 $56,536,940 
Net interest income and net interest margin, taxable equivalent (6)
$456,669 3.20 %$481,870 3.43 %$426,348 3.22 %
Less: taxable-equivalent adjustment
1,138 1,119 960 
Net interest income
$455,531 $480,751 $425,388 
(1)Average loans are shown net of deferred fees and costs. NPLs are included.
(2)Interest income includes net loan fees as follows: Second Quarter 2023 — $11.3 million, First Quarter 2023 — $11.5 million, and Second Quarter 2022 — $13.0 million.
(3)Reflects taxable-equivalent adjustments, using the statutory federal tax rate of 21%, in adjusting interest on tax-exempt loans to a taxable-equivalent basis.
(4)Includes interest-bearing funds with Federal Reserve Bank, interest earning deposits with banks, and federal funds sold and securities purchased under resale agreements.
(5)Includes average net unrealized gains/(losses) on investment securities available for sale of $(1.46) billion, $(1.52) billion, and $(923.1) million for the Second Quarter 2023, First Quarter 2023, and Second Quarter 2022, respectively.
(6)The net interest margin is calculated by dividing annualized net interest income-taxable equivalent by average total interest earning assets.




Synovus
AVERAGE BALANCES, INTEREST, AND YIELDS/RATES
(Unaudited)
Six Months Ended June 30,
20232022
(dollars in thousands)
Average BalanceInterest  Yield/
   Rate
Average BalanceInterest  Yield/
   Rate
Assets
Interest earning assets:
Commercial loans (1) (2) (3)
$35,331,375 $1,093,352 6.24 %$31,316,646 $589,029 3.79 %
Consumer loans (1) (2)
8,615,748 208,693 4.87 8,657,598 165,194 3.83 
Less: Allowance for loan losses
(456,005)(419,639)
Loans, net
43,491,118 1,302,045 6.03 39,554,605 754,223 3.84 
Investment securities available for sale
11,247,080 121,475 2.16 11,206,150 97,562 1.74 
Trading account assets
16,360 434 5.30 10,540 112 2.13 
Other earning assets(4)
1,479,926 35,292 4.74 1,363,223 2,475 0.36 
FHLB and Federal Reserve Bank stock    
293,518 7,656 5.22 170,006 2,505 2.95 
Mortgage loans held for sale
45,600 1,418 6.22 94,542 1,803 3.81 
Other loans held for sale495,240 9,960 4.00 661,768 12,978 3.90 
Total interest earning assets
57,068,842 $1,478,280 5.22 %53,060,834 $871,658 3.31 %
Cash and due from banks
644,791 543,638 
Premises and equipment
369,654 392,079 
Other real estate
 11,598 
Cash surrender value of bank-owned life insurance
1,093,486 1,074,076 
Other assets(5)    
1,148,600 1,613,313 
Total assets
$60,325,373 $56,695,538 
Liabilities and Equity
Interest-bearing liabilities:
Interest-bearing demand deposits    
$9,493,481 $65,024 1.38 %$9,531,330 $5,970 0.13 %
Money market accounts
13,929,069 158,012 2.29 15,685,030 12,199 0.16 
Savings deposits
1,322,846 491 0.07 1,483,547 139 0.02 
Time deposits
4,237,249 61,047 2.91 2,919,242 3,826 0.26 
Brokered deposits5,950,539 131,141 4.44 2,833,580 10,026 0.71 
Federal funds purchased and securities sold under repurchase agreements    
110,852 1,021 1.83 220,689 230 0.21 
Other short-term borrowings
1,062,908 24,559 4.60 244,202 896 0.73 
Long-term debt
3,486,453 98,444 5.63 930,131 18,913 4.07 
Total interest-bearing liabilities
39,593,397 $539,739 2.75 %33,847,751 $52,199 0.31 %
Non-interest-bearing demand deposits
14,441,205 16,727,040 
Other liabilities
1,539,939 1,195,043 
Total equity4,750,832 4,925,704 
Total liabilities and equity
$60,325,373 $56,695,538 
Net interest income, taxable equivalent net interest margin (6)
$938,541 3.32 %$819,459 3.11 %
Less: taxable-equivalent adjustment
2,258 1,824 
Net interest income
$936,283 $817,635 
(1)Average loans are shown net of deferred fees and costs. NPLs are included.
(2)Interest income includes net loan fees as follows: 2023 — $22.8 million and 2022 — $33.7 million.
(3)Reflects taxable-equivalent adjustments, using the statutory federal tax rate of 21%, in adjusting interest on tax-exempt loans to a taxable-equivalent basis.
(4)Includes interest-bearing funds with Federal Reserve Bank, interest earning deposits with banks, and federal funds sold and securities purchased under resale agreements.
(5)Includes average net unrealized gains/(losses) on investment securities available for sale of $(1.49) billion and $(587.1) million for the six months ended June 30, 2023 and 2022, respectively.
(6)The net interest margin is calculated by dividing annualized net interest income-taxable equivalent by average total interest earning assets.





Synovus
LOANS OUTSTANDING BY TYPE
(Unaudited)Total LoansTotal LoansLinked QuarterTotal LoansYear/Year
(Dollars in thousands)
Loan TypeJune 30, 2023March 31, 2023% Change June 30, 2022% Change
Commercial, Financial, and Agricultural$14,166,890 $14,201,398 — %$13,018,089 %
Owner-Occupied8,364,342 8,398,778 — 7,760,236 
Total Commercial & Industrial22,531,232 22,600,176 — 20,778,325 
Multi-Family3,597,497 3,374,129 2,547,706 41 
Hotels1,771,381 1,737,163 1,597,930 11 
Office Buildings3,031,806 3,071,236 (1)2,680,399 13 
Shopping Centers1,329,492 1,332,078 — 1,458,902 (9)
Warehouses1,068,734 1,020,921 811,738 32 
Other Investment Property1,471,356 1,441,303 1,311,373 12 
Total Investment Properties12,270,266 11,976,830 10,408,048 18 
1-4 Family Construction205,459 201,896 234,379 (12)
1-4 Family Investment Mortgage410,267 394,754 407,476 
Total 1-4 Family Properties615,726 596,650 641,855 (4)
Commercial Development60,910 63,004 (3)109,764 (45)
Residential Development98,229 106,872 (8)156,816 (37)
Land Acquisition248,767 253,399 (2)186,934 33 
Land and Development407,906 423,275 (4)453,514 (10)
Total Commercial Real Estate13,293,898 12,996,755 11,503,417 16 
Consumer Mortgages5,379,284 5,246,640 5,124,523 
Home Equity 1,773,987 1,757,250 1,579,218 12 
Credit Cards187,677 184,595 194,290 (3)
Other Consumer Loans1,187,459 1,259,523 (6)2,025,007 (41)
Total Consumer8,528,407 8,448,008 8,923,038 (4)
Total$44,353,537 $44,044,939 %$41,204,780 %
NON-PERFORMING LOANS COMPOSITION
(Unaudited)Total
Non-performing Loans
Total
Non-performing Loans
Linked QuarterTotal
Non-performing Loans
Year/Year
(Dollars in thousands)
Loan TypeJune 30, 2023March 31, 2023% ChangeJune 30, 2022% Change
Commercial, Financial, and Agricultural$144,415 $94,196 53 %$48,601 197 %
Owner-Occupied22,197 25,591 (13)11,398 95 
Total Commercial & Industrial166,612 119,787 39 59,999 178 
Multi-Family1,748 1,806 (3)2,598 (33)
Office Buildings28,024 190 nm1,796 nm
Shopping Centers699 727 (4)750 (7)
Warehouses218 222 (2)924 (76)
Other Investment Property664 668 (1)1,302 (49)
Total Investment Properties31,353 3,613 768 7,370 325 
1-4 Family Construction632 — nm55 nm
1-4 Family Investment Mortgage3,525 3,515 — 3,063 15 
Total 1-4 Family Properties4,157 3,515 18 3,118 33 
Commercial Development — nm432 (100)
Residential Development267 267 — 399 (33)
Land Acquisition871 886 (2)1,093 (20)
Land and Development1,138 1,153 (1)1,924 (41)
Total Commercial Real Estate36,648 8,281 343 12,412 195 
Consumer Mortgages41,877 39,536 22,857 83 
Home Equity 9,936 7,967 25 8,100 23 
Other Consumer Loans6,433 6,889 (7)5,656 14 
Total Consumer58,246 54,392 36,613 59 
Total$261,506 $182,460 43 %$109,024 140 %




Synovus
CREDIT QUALITY DATA
(Unaudited)
(Dollars in thousands)20232022Second Quarter
SecondFirstFourthThirdSecond '23 vs '22
QuarterQuarterQuarterQuarterQuarter% Change
Non-performing Loans (NPLs)$261,506 182,460 128,061 122,094 109,024 140 %
Impaired Loans Held for Sale — — 447 — nm
Other Real Estate and Other Assets — 15,320 15,320 26,759 (100)
Non-performing Assets (NPAs)261,506 182,460 143,381 137,861 135,783 93 
Allowance for Loan Losses (ALL)471,238 457,010 443,424 421,359 407,837 16 
Reserve for Unfunded Commitments55,729 57,473 57,455 57,936 50,559 10 
Allowance for Credit Losses (ACL)
526,967 514,483 500,879 479,295 458,396 15 
Net Charge-Offs - Quarter26,396 18,550 13,300 4,682 16,565 
Net Charge-Offs - YTD44,947 18,550 53,156 39,856 35,174 
Net Charge-Offs / Average Loans - Quarter (1)
0.24 %0.17 0.12 0.04 0.16 
Net Charge-Offs / Average Loans - YTD (1)
0.20 0.17 0.13 0.13 0.18 
NPLs / Loans0.59 0.41 0.29 0.29 0.26 
NPAs / Loans, ORE and specific other assets0.59 0.41 0.33 0.32 0.33 
ACL/Loans1.19 1.17 1.15 1.13 1.11 
ALL/Loans1.06 1.04 1.01 0.99 0.99 
ACL/NPLs201.51 281.97 391.13 392.56 420.45 
ALL/NPLs180.20 250.47 346.26 345.11 374.08 
Past Due Loans over 90 days and Still Accruing$3,643 3,529 3,373 3,443 2,251 62 
As a Percentage of Loans Outstanding0.01 %0.01 0.01 0.01 0.01 
Total Past Due Loans and Still Accruing$84,946 55,053 65,568 63,545 56,160 51 
As a Percentage of Loans Outstanding0.19 %0.12 0.15 0.15 0.14 
(1) Ratio is annualized.
SELECTED CAPITAL INFORMATION (1)
(Unaudited)
(Dollars in thousands)
June 30, 2023December 31, 2022June 30, 2022
Common Equity Tier 1 Capital Ratio9.85 %9.63 9.46 
Tier 1 Capital Ratio10.88 10.68 10.56 
Total Risk-Based Capital Ratio12.79 12.54 12.43 
Tier 1 Leverage Ratio9.23 9.07 9.03 
Total Synovus Financial Corp. shareholders' equity as a Percentage of Total Assets 7.88 7.49 7.99 
Tangible Common Equity Ratio (2) (4)
6.17 5.84 6.26 
Book Value Per Common Share (3)
$29.05 27.07 27.84 
Tangible Book Value Per Common Share (2)
25.37 23.78 24.52 
(1) Current quarter regulatory capital information is preliminary.
(2) Excludes the carrying value of goodwill and other intangible assets from common equity and total assets.
(3) Book Value Per Common Share consists of Total Synovus Financial Corp. shareholders’ equity less Preferred stock divided by total common shares outstanding.
(4) See "Non-GAAP Financial Measures" for applicable reconciliation.