Business Segments

3 Months Ended

Mar. 31, 2022

Segment Reporting [Abstract]

Business Segments

Business Segments

The Corporation manages its operations through two reportable business segments, consisting of Commercial Banking and Wealth Management Services.

Management uses an allocation methodology to allocate income and expenses to the business lines. Direct activities are assigned to the appropriate business segment to which the activity relates. Indirect activities, such as corporate, technology and other support functions, are allocated to business segments primarily based upon full-time equivalent employee computations.

Commercial Banking

The Commercial Banking segment includes commercial, residential and consumer lending activities; mortgage banking activities; deposit generation; cash management activities; banking activities, including customer support and the operation of ATMs, telephone banking, internet banking and mobile banking services; as well as investment portfolio and wholesale funding activities.

Wealth Management Services

The Wealth Management Services segment includes investment management; holistic financial planning services; personal trust and estate services, including services as trustee, personal representative, custodian and guardian; settlement of decedents’ estates; and institutional trust services, including custody and fiduciary services.

The following table presents the statement of operations and total assets for Washington Trust’s reportable segments:

(Dollars in thousands)	Commercial Banking		Wealth Management Services		Consolidated Total
Three months ended March 31,	2022	2021	2022	2021	2022	2021
Net interest income (expense)	$35,108	$32,885	($17)	($14)	$35,091	$32,871
Provision for credit losses	100	(2,000)	—	—	100	(2,000)
Net interest income (expense) after provision for credit losses	35,008	34,885	(17)	(14)	34,991	34,871
Noninterest income	6,512	14,990	10,647	10,984	17,159	25,974
Noninterest expenses:
Depreciation and amortization expense	711	677	344	377	1,055	1,054
Other noninterest expenses	22,611	26,564	7,553	7,095	30,164	33,659
Total noninterest expenses	23,322	27,241	7,897	7,472	31,219	34,713
Income before income taxes	18,198	22,634	2,733	3,498	20,931	26,132
Income tax expense	3,797	4,835	651	826	4,448	5,661
Net income	$14,401	$17,799	$2,082	$2,672	$16,483	$20,471
Total assets at period end	$5,773,796	$5,646,209	$74,203	$73,180	$5,847,999	$5,719,389
Expenditures for long-lived assets	730	835	104	76	834	911