SEGMENT REPORTING

6 Months Ended

Jun. 30, 2019

Segment Reporting [Abstract]

SEGMENT REPORTING

NOTE 15 – SEGMENT REPORTING

The Company has the following five reportable segments: Banking Division, Retail Mortgage Division, Warehouse Lending Division, SBA Division and Premium Finance Division. The Banking Division derives its revenues from the delivery of full-service financial services, including commercial loans, consumer loans and deposit accounts. The Retail Mortgage Division derives its revenues from the origination, sales and servicing of one-to-four family residential mortgage loans. The Warehouse Lending Division derives its revenues from the origination and servicing of warehouse lines to other businesses that are secured by underlying one-to-four family residential mortgage loans. The SBA Division derives its revenues from the origination, sales and servicing of SBA loans. The Premium Finance Division derives its revenues from the origination and servicing of commercial insurance premium finance loans.

The Banking, Retail Mortgage, Warehouse Lending, SBA and Premium Finance Divisions are managed as separate business units because of the different products and services they provide. The Company evaluates performance and allocates resources based on profit or loss from operations. There are no material intersegment sales or transfers.

The following tables present selected financial information with respect to the Company’s reportable business segments for the three months ended June 30, 2019 and 2018:

	Three Months Ended June 30, 2019
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	98,892	$	13,633	$	5,550	$	2,287	$	8,666	$	129,028
Interest expense	14,137		6,066		2,563		1,105		3,506		27,377
Net interest income	84,755		7,567		2,987		1,182		5,160		101,651
Provision for loan losses	2,306		609		—		178		1,575		4,668
Noninterest income	14,830		18,070		450		1,883		3		35,236
Noninterest expense
Salaries and employee benefits	24,228		11,886		162		845		1,320		38,441
Equipment and occupancy expenses	7,034		670		1		65		64		7,834
Data processing and telecommunications expenses	7,635		394		38		3		318		8,388
Other expenses	22,728		2,385		75		249		1,151		26,588
Total noninterest expense	61,625		15,335		276		1,162		2,853		81,251
Income before income tax expense	35,654		9,693		3,161		1,725		735		50,968
Income tax expense	8,691		2,170		664		362		177		12,064
Net income	$	26,963	$	7,523	$	2,497	$	1,363	$	558	$	38,904
Total assets	$	9,208,685	$	1,306,063	$	462,780	$	211,433	$	700,375	$	11,889,336
Goodwill	436,642		—		—		—		64,498		501,140
Other intangible assets, net	33,086		—		—		—		19,351		52,437

	Three Months Ended June 30, 2018
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division			Total
Interest income	$	68,398	$	7,973	$	3,641	$	1,907	$	8,027		$	89,946
Interest expense	6,639		2,927		1,315		587		2,479			13,947
Net interest income	61,759		5,046		2,326		1,320		5,548			75,999
Provision for loan losses	766		246		—		447		7,651			9,110
Noninterest income	13,287		13,889		735		1,349		2,047			31,307
Noninterest expense
Salaries and employee benefits	26,646		10,864		128		736		1,402			39,776
Equipment and occupancy expenses	5,684		545		—		55		106			6,390
Data processing and telecommunications expenses	5,611		383		30		9		406			6,439
Other expenses	29,937		1,778		55		290		1,721			33,781
Total noninterest expense	67,878		13,570		213		1,090		3,635			86,386
Income before income tax expense	6,402		5,119		2,848		1,132		(3,691		)	11,810
Income tax expense	1,716		1,075		598		238		(1,204		)	2,423
Net income	$	4,686	$	4,044	$	2,250	$	894	$	(2,487	)	$	9,387
Total assets	$	9,380,969	$	727,639	$	324,706	$	142,116	$	615,267		$	11,190,697
Goodwill	437,605		—		—		—		67,159			504,764
Other intangible assets, net	33,507		—		—		—		20,054			53,561

 

	Six Months Ended June 30, 2019
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division		Total
Interest income	$	196,766	$	26,145	$	10,354	$	4,461	$	16,231	$	253,957
Interest expense	26,972		12,825		4,677		2,193		6,244		52,911
Net interest income	169,794		13,320		5,677		2,268		9,987		201,046
Provision for loan losses	4,364		745		—		409		2,558		8,076
Noninterest income	29,200		32,360		829		3,613		5		66,007
Noninterest expense
Salaries and employee benefits	52,160		20,093		323		1,610		2,625		76,811
Equipment and occupancy expenses	14,315		1,436		2		124		161		16,038
Data processing and telecommunications expenses	15,227		724		68		5		755		16,779
Other expenses	39,684		4,499		143		598		2,124		47,048
Total noninterest expense	121,386		26,752		536		2,337		5,665		156,676
Income before income tax expense	73,244		18,183		5,970		3,135		1,769		102,301
Income tax expense	17,466		3,783		1,254		658		331		23,492
Net income	$	55,778	$	14,400	$	4,716	$	2,477	$	1,438	$	78,809

	Six Months Ended June 30, 2018
(dollars in thousands)	Banking Division		Retail Mortgage Division		Warehouse Lending Division		SBA Division		Premium  Finance  Division			Total
Interest income	$	129,294	$	14,795	$	6,393	$	3,338	$	15,638		$	169,458
Interest expense	12,176		4,752		2,212		1,094		4,424			24,658
Net interest income	117,118		10,043		4,181		2,244		11,214			144,800
Provision for loan losses	1,654		463		—		984		7,810			10,911
Noninterest income	26,386		25,474		1,132		2,719		2,060			57,771
Noninterest expense
Salaries and employee benefits	48,714		18,606		266		1,476		2,803			71,865
Equipment and occupancy expenses	11,161		1,138		—		113		176			12,588
Data processing and telecommunications expenses	11,915		772		63		18		806			13,574
Other expenses	41,017		3,509		107		526		2,298			47,457
Total noninterest expense	112,807		24,025		436		2,133		6,083			145,484
Income before income tax expense	29,043		11,029		4,877		1,846		(619		)	46,176
Income tax expense	6,958		2,319		1,024		388		(560		)	10,129
Net income	$	22,085	$	8,710	$	3,853	$	1,458	$	(59	)	$	36,047