Washington | 0-20288 | 91-1422237 | ||
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) | ||
1301 A Street Tacoma, WA | 98402 | |||
(Address of principal executive offices) | (Zip Code) |
☐ | 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)) |
COLUMBIA BANKING SYSTEM, INC. | |||||
Date: | April 25, 2019 | /s/ HADLEY S. ROBBINS | |||
Hadley S. Robbins | |||||
President and Chief Executive Officer |
• | Record first quarter net income of $45.9 million and diluted earnings per share of $0.63 |
• | Net loans increased $129.3 million, or 6.2% on an annualized basis from record first quarter loan production of $365.8 million |
• | Net interest margin of 4.32%, a decrease of 4 basis points from the fourth quarter of 2018; operating net interest margin(1) remained stable at 4.33% |
• | Nonperforming assets to period end assets ratio improved to 0.45% |
• | Regular cash dividend and the special cash dividend declared were $0.28 and $0.14, respectively, with the ability to repurchase up to 2.9 million shares, or approximately 4% of outstanding shares |
Three Months Ended | ||||||||||||||||||||
March 31, | December 31, | September 30, | June 30, | March 31, | ||||||||||||||||
2019 | 2018 | 2018 | 2018 | 2018 | ||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||
Incremental accretion income due to: | ||||||||||||||||||||
FDIC purchased credit impaired loans | $ | 288 | $ | 395 | $ | 585 | $ | 326 | $ | 329 | ||||||||||
Other acquired loans | 1,747 | 2,218 | 2,643 | 2,690 | 3,370 | |||||||||||||||
Incremental accretion income | $ | 2,035 | $ | 2,613 | $ | 3,228 | $ | 3,016 | $ | 3,699 | ||||||||||
Net interest margin (tax equivalent) (1) | 4.32 | % | 4.36 | % | 4.37 | % | 4.30 | % | 4.28 | % | ||||||||||
Operating net interest margin (tax equivalent) (1)(2) | 4.33 | % | 4.34 | % | 4.34 | % | 4.28 | % | 4.24 | % |
March 31, 2019 | December 31, 2018 | |||||||
(in thousands) | ||||||||
Nonaccrual loans: | ||||||||
Commercial business | $ | 35,577 | $ | 35,513 | ||||
Real estate: | ||||||||
One-to-four family residential | 923 | 1,158 | ||||||
Commercial and multifamily residential | 13,301 | 14,904 | ||||||
Total real estate | 14,224 | 16,062 | ||||||
Real estate construction: | ||||||||
One-to-four family residential | — | 318 | ||||||
Total real estate construction | — | 318 | ||||||
Consumer | 2,814 | 2,949 | ||||||
Total nonaccrual loans | 52,615 | 54,842 | ||||||
Other real estate owned and other personal property owned | 6,075 | 6,049 | ||||||
Total nonperforming assets | $ | 58,690 | $ | 60,891 |
Three Months Ended | ||||||||||||
March 31, 2019 | December 31, 2018 | March 31, 2018 | ||||||||||
(in thousands) | ||||||||||||
Beginning balance, loans excluding PCI loans | $ | 79,758 | $ | 79,770 | $ | 68,739 | ||||||
Beginning balance, PCI loans | 3,611 | 4,017 | 6,907 | |||||||||
Beginning balance | 83,369 | 83,787 | 75,646 | |||||||||
Charge-offs: | ||||||||||||
Commercial business | (1,249 | ) | (2,861 | ) | (2,477 | ) | ||||||
One-to-four family residential real estate | (2 | ) | — | — | ||||||||
Commercial and multifamily residential real estate | — | (557 | ) | (223 | ) | |||||||
One-to-four family residential real estate construction | (170 | ) | — | — | ||||||||
Consumer | (478 | ) | (421 | ) | (264 | ) | ||||||
Purchased credit impaired | (1,089 | ) | (1,076 | ) | (1,343 | ) | ||||||
Total charge-offs | (2,988 | ) | (4,915 | ) | (4,307 | ) | ||||||
Recoveries: | ||||||||||||
Commercial business | 480 | 535 | 802 | |||||||||
One-to-four family residential real estate | 17 | 19 | 172 | |||||||||
Commercial and multifamily residential real estate | 31 | 19 | 159 | |||||||||
One-to-four family residential real estate construction | 60 | 1,000 | 19 | |||||||||
Consumer | 238 | 384 | 260 | |||||||||
Purchased credit impaired | 705 | 751 | 1,224 | |||||||||
Total recoveries | 1,531 | 2,708 | 2,636 | |||||||||
Net charge-offs | (1,457 | ) | (2,207 | ) | (1,671 | ) | ||||||
Provision for loan and lease losses, excluding PCI loans | 1,344 | 1,870 | 6,975 | |||||||||
Provision (recapture) for loan and lease losses, PCI loans | 18 | (81 | ) | (1,123 | ) | |||||||
Provision for loan and lease losses | 1,362 | 1,789 | 5,852 | |||||||||
Ending balance, loans excluding PCI loans | 80,029 | 79,758 | 74,162 | |||||||||
Ending balance, PCI loans | 3,245 | 3,611 | 5,665 | |||||||||
Ending balance | $ | 83,274 | $ | 83,369 | $ | 79,827 |
Contacts: | Hadley S. Robbins, |
President and | |
Chief Executive Officer | |
Gregory A. Sigrist, | |
Executive Vice President and | |
Chief Financial Officer | |
Investor Relations | |
InvestorRelations@columbiabank.com | |
253-305-1921 |
CONSOLIDATED BALANCE SHEETS | |||||||||||||
Columbia Banking System, Inc. | |||||||||||||
Unaudited | March 31, | December 31, | |||||||||||
2019 | 2018 | ||||||||||||
(in thousands) | |||||||||||||
ASSETS | |||||||||||||
Cash and due from banks | $ | 178,591 | $ | 260,180 | |||||||||
Interest-earning deposits with banks | 33,482 | 17,407 | |||||||||||
Total cash and cash equivalents | 212,073 | 277,587 | |||||||||||
Debt securities available for sale at fair value | 3,027,270 | 3,167,448 | |||||||||||
Federal Home Loan Bank (“FHLB”) stock at cost | 25,600 | 25,960 | |||||||||||
Loans held for sale | 4,017 | 3,849 | |||||||||||
Loans, net of unearned income | 8,520,798 | 8,391,511 | |||||||||||
Less: allowance for loan and lease losses | 83,274 | 83,369 | |||||||||||
Loans, net | 8,437,524 | 8,308,142 | |||||||||||
Interest receivable | 46,835 | 45,323 | |||||||||||
Premises and equipment, net | 168,139 | 168,788 | |||||||||||
Other real estate owned | 6,075 | 6,019 | |||||||||||
Goodwill | 765,842 | 765,842 | |||||||||||
Other intangible assets, net | 43,189 | 45,937 | |||||||||||
Other assets | 327,872 | 280,250 | |||||||||||
Total assets | $ | 13,064,436 | $ | 13,095,145 | |||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||||||||||
Deposits: | |||||||||||||
Noninterest-bearing | $ | 5,106,568 | $ | 5,227,216 | |||||||||
Interest-bearing | 5,262,441 | 5,230,910 | |||||||||||
Total deposits | 10,369,009 | 10,458,126 | |||||||||||
FHLB advances | 390,510 | 399,523 | |||||||||||
Securities sold under agreements to repurchase | 23,018 | 61,094 | |||||||||||
Subordinated debentures | 35,416 | 35,462 | |||||||||||
Other liabilities | 157,863 | 107,291 | |||||||||||
Total liabilities | 10,975,816 | 11,061,496 | |||||||||||
Commitments and contingent liabilities | |||||||||||||
March 31, | December 31, | ||||||||||||
2019 | 2018 | ||||||||||||
(in thousands) | |||||||||||||
Preferred stock (no par value) | |||||||||||||
Authorized shares | 2,000 | 2,000 | |||||||||||
Common stock (no par value) | |||||||||||||
Authorized shares | 115,000 | 115,000 | |||||||||||
Issued and outstanding | 73,565 | 73,249 | 1,642,977 | 1,642,246 | |||||||||
Retained earnings | 442,597 | 426,708 | |||||||||||
Accumulated other comprehensive income (loss) | 3,046 | (35,305 | ) | ||||||||||
Total shareholders’ equity | 2,088,620 | 2,033,649 | |||||||||||
Total liabilities and shareholders’ equity | $ | 13,064,436 | $ | 13,095,145 |
CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||
Columbia Banking System, Inc. | Three Months Ended | |||||||||||
Unaudited | March 31, | December 31, | March 31, | |||||||||
2019 | 2018 | 2018 | ||||||||||
Interest Income | (in thousands except per share amounts) | |||||||||||
Loans | $ | 108,416 | $ | 110,010 | $ | 103,027 | ||||||
Taxable securities | 17,415 | 16,684 | 12,708 | |||||||||
Tax-exempt securities | 2,969 | 3,005 | 3,064 | |||||||||
Deposits in banks | 88 | 102 | 345 | |||||||||
Total interest income | 128,888 | 129,801 | 119,144 | |||||||||
Interest Expense | ||||||||||||
Deposits | 4,498 | 3,831 | 2,509 | |||||||||
FHLB advances | 2,685 | 1,399 | 570 | |||||||||
Subordinated debentures | 468 | 467 | 468 | |||||||||
Other borrowings | 215 | 216 | 116 | |||||||||
Total interest expense | 7,866 | 5,913 | 3,663 | |||||||||
Net Interest Income | 121,022 | 123,888 | 115,481 | |||||||||
Provision for loan and lease losses | 1,362 | 1,789 | 5,852 | |||||||||
Net interest income after provision for loan and lease losses | 119,660 | 122,099 | 109,629 | |||||||||
Noninterest Income | ||||||||||||
Deposit account and treasury management fees | 8,980 | 9,383 | 8,740 | |||||||||
Card revenue | 3,662 | 3,576 | 5,813 | |||||||||
Financial services and trust revenue | 2,957 | 3,211 | 2,730 | |||||||||
Loan revenue | 2,389 | 2,344 | 3,186 | |||||||||
Bank owned life insurance | 1,519 | 1,467 | 1,426 | |||||||||
Investment securities gains (losses), net | 1,847 | (16 | ) | 22 | ||||||||
Other | 342 | 437 | 1,226 | |||||||||
Total noninterest income | 21,696 | 20,402 | 23,143 | |||||||||
Noninterest Expense | ||||||||||||
Compensation and employee benefits | 52,085 | 51,261 | 50,570 | |||||||||
Occupancy | 8,809 | 8,858 | 10,121 | |||||||||
Data processing | 4,669 | 5,278 | 5,270 | |||||||||
Legal and professional fees | 4,573 | 5,941 | 3,237 | |||||||||
Amortization of intangibles | 2,748 | 2,890 | 3,188 | |||||||||
Business and Occupation ("B&O") taxes (1) | 1,876 | 1,410 | 1,317 | |||||||||
Advertising and promotion | 974 | 1,061 | 1,429 | |||||||||
Regulatory premiums | 984 | 932 | 937 | |||||||||
Net cost (benefit) of operation of other real estate owned | 113 | (26 | ) | 1 | ||||||||
Other (1) | 7,869 | 9,414 | 9,917 | |||||||||
Total noninterest expense | 84,700 | 87,019 | 85,987 | |||||||||
Income before income taxes | 56,656 | 55,482 | 46,785 | |||||||||
Provision for income taxes | 10,785 | 10,734 | 6,815 | |||||||||
Net Income | $ | 45,871 | $ | 44,748 | $ | 39,970 | ||||||
Earnings per common share | ||||||||||||
Basic | $ | 0.63 | $ | 0.61 | $ | 0.55 | ||||||
Diluted | $ | 0.63 | $ | 0.61 | $ | 0.55 | ||||||
Dividends declared per common share - regular | $ | 0.28 | $ | 0.26 | $ | 0.22 | ||||||
Dividends declared per common share - special | 0.14 | 0.14 | — | |||||||||
Dividends declared per common share - total | $ | 0.42 | $ | 0.40 | $ | 0.22 | ||||||
Weighted average number of common shares outstanding | 72,521 | 72,434 | 72,300 | |||||||||
Weighted average number of diluted common shares outstanding | 72,524 | 72,438 | 72,305 |
FINANCIAL STATISTICS | ||||||||||||
Columbia Banking System, Inc. | Three Months Ended | |||||||||||
Unaudited | March 31, | December 31, | March 31, | |||||||||
2019 | 2018 | 2018 | ||||||||||
Earnings | (dollars in thousands except per share amounts) | |||||||||||
Net interest income | $ | 121,022 | $ | 123,888 | $ | 115,481 | ||||||
Provision for loan and lease losses | $ | 1,362 | $ | 1,789 | $ | 5,852 | ||||||
Noninterest income | $ | 21,696 | $ | 20,402 | $ | 23,143 | ||||||
Noninterest expense | $ | 84,700 | $ | 87,019 | $ | 85,987 | ||||||
Acquisition-related expense (included in noninterest expense) | $ | — | $ | 493 | $ | 4,265 | ||||||
Net income | $ | 45,871 | $ | 44,748 | $ | 39,970 | ||||||
Per Common Share | ||||||||||||
Earnings (basic) | $ | 0.63 | $ | 0.61 | $ | 0.55 | ||||||
Earnings (diluted) | $ | 0.63 | $ | 0.61 | $ | 0.55 | ||||||
Book value | $ | 28.39 | $ | 27.76 | $ | 26.60 | ||||||
Tangible book value per common share (1) | $ | 17.39 | $ | 16.68 | $ | 15.39 | ||||||
Averages | ||||||||||||
Total assets | $ | 13,048,041 | $ | 12,957,754 | $ | 12,603,144 | ||||||
Interest-earning assets | $ | 11,561,627 | $ | 11,458,470 | $ | 11,122,753 | ||||||
Loans | $ | 8,406,664 | $ | 8,441,354 | $ | 8,348,740 | ||||||
Securities, including equity securities and FHLB stock | $ | 3,140,201 | $ | 2,998,638 | $ | 2,682,250 | ||||||
Deposits | $ | 10,271,016 | $ | 10,560,280 | $ | 10,334,480 | ||||||
Interest-bearing deposits | $ | 5,226,396 | $ | 5,298,590 | $ | 5,405,730 | ||||||
Interest-bearing liabilities | $ | 5,802,965 | $ | 5,599,646 | $ | 5,627,853 | ||||||
Noninterest-bearing deposits | $ | 5,044,620 | $ | 5,261,690 | $ | 4,928,750 | ||||||
Shareholders’ equity | $ | 2,044,832 | $ | 1,988,981 | $ | 1,949,275 | ||||||
Financial Ratios | ||||||||||||
Return on average assets | 1.41 | % | 1.38 | % | 1.27 | % | ||||||
Return on average common equity | 8.97 | % | 9.00 | % | 8.20 | % | ||||||
Return on average tangible common equity (1) | 15.57 | % | 16.00 | % | 15.08 | % | ||||||
Average equity to average assets | 15.67 | % | 15.35 | % | 15.47 | % | ||||||
Shareholders equity to total assets | 15.99 | % | 15.53 | % | 15.55 | % | ||||||
Tangible common shareholders’ equity to tangible assets (1) | 10.44 | % | 9.95 | % | 9.63 | % | ||||||
Net interest margin (tax equivalent) (2) | 4.32 | % | 4.36 | % | 4.28 | % | ||||||
Efficiency ratio (tax equivalent) (3) | 58.33 | % | 59.31 | % | 61.04 | % | ||||||
Operating efficiency ratio (tax equivalent) (1) | 57.54 | % | 58.10 | % | 57.59 | % | ||||||
Noninterest expense ratio | 2.60 | % | 2.69 | % | 2.73 | % | ||||||
Core noninterest expense ratio (1) | 2.60 | % | 2.67 | % | 2.59 | % | ||||||
March 31, | December 31, | |||||||||||
Period end | 2019 | 2018 | ||||||||||
Total assets | $ | 13,064,436 | $ | 13,095,145 | ||||||||
Loans, net of unearned income | $ | 8,520,798 | $ | 8,391,511 | ||||||||
Allowance for loan and lease losses | $ | 83,274 | $ | 83,369 | ||||||||
Securities, including equity securities and FHLB stock | $ | 3,052,870 | $ | 3,193,408 | ||||||||
Deposits | $ | 10,369,009 | $ | 10,458,126 | ||||||||
Core deposits | $ | 9,898,982 | $ | 9,973,840 | ||||||||
Shareholders’ equity | $ | 2,088,620 | $ | 2,033,649 | ||||||||
Nonperforming assets | ||||||||||||
Nonaccrual loans | $ | 52,615 | $ | 54,842 | ||||||||
Other real estate owned (“OREO”) and other personal property owned (“OPPO”) | 6,075 | 6,049 | ||||||||||
Total nonperforming assets | $ | 58,690 | $ | 60,891 | ||||||||
Nonperforming loans to period-end loans | 0.62 | % | 0.65 | % | ||||||||
Nonperforming assets to period-end assets | 0.45 | % | 0.46 | % | ||||||||
Allowance for loan and lease losses to period-end loans | 0.98 | % | 0.99 | % | ||||||||
Net loan charge-offs (for the three months ended) | $ | 1,457 | $ | 2,207 |
QUARTERLY FINANCIAL STATISTICS | ||||||||||||||||||||
Columbia Banking System, Inc. | Three Months Ended | |||||||||||||||||||
Unaudited | March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
2019 | 2018 | 2018 | 2018 | 2018 | ||||||||||||||||
Earnings | (dollars in thousands except per share amounts) | |||||||||||||||||||
Net interest income | $ | 121,022 | $ | 123,888 | $ | 122,796 | $ | 116,674 | $ | 115,481 | ||||||||||
Provision for loan and lease losses | $ | 1,362 | $ | 1,789 | $ | 3,153 | $ | 3,975 | $ | 5,852 | ||||||||||
Noninterest income | $ | 21,696 | $ | 20,402 | $ | 21,019 | $ | 23,692 | $ | 23,143 | ||||||||||
Noninterest expense | $ | 84,700 | $ | 87,019 | $ | 82,841 | $ | 84,643 | $ | 85,987 | ||||||||||
Acquisition-related expense (included in noninterest expense) | $ | — | $ | 493 | $ | 1,081 | $ | 2,822 | $ | 4,265 | ||||||||||
Net income | $ | 45,871 | $ | 44,748 | $ | 46,415 | $ | 41,749 | $ | 39,970 | ||||||||||
Per Common Share | ||||||||||||||||||||
Earnings (basic) | $ | 0.63 | $ | 0.61 | $ | 0.63 | $ | 0.57 | $ | 0.55 | ||||||||||
Earnings (diluted) | $ | 0.63 | $ | 0.61 | $ | 0.63 | $ | 0.57 | $ | 0.55 | ||||||||||
Book value | $ | 28.39 | $ | 27.76 | $ | 27.05 | $ | 26.83 | $ | 26.60 | ||||||||||
Averages | ||||||||||||||||||||
Total assets | $ | 13,048,041 | $ | 12,957,754 | $ | 12,805,131 | $ | 12,529,540 | $ | 12,603,144 | ||||||||||
Interest-earning assets | $ | 11,561,627 | $ | 11,458,470 | $ | 11,326,629 | $ | 11,052,807 | $ | 11,122,753 | ||||||||||
Loans | $ | 8,406,664 | $ | 8,441,354 | $ | 8,456,632 | $ | 8,389,230 | $ | 8,348,740 | ||||||||||
Securities, including equity securities and FHLB stock | $ | 3,140,201 | $ | 2,998,638 | $ | 2,849,495 | $ | 2,628,292 | $ | 2,682,250 | ||||||||||
Deposits | $ | 10,271,016 | $ | 10,560,280 | $ | 10,478,800 | $ | 10,264,822 | $ | 10,334,480 | ||||||||||
Interest-bearing deposits | $ | 5,226,396 | $ | 5,298,590 | $ | 5,376,300 | $ | 5,390,869 | $ | 5,405,730 | ||||||||||
Interest-bearing liabilities | $ | 5,802,965 | $ | 5,599,646 | $ | 5,620,997 | $ | 5,611,055 | $ | 5,627,853 | ||||||||||
Noninterest-bearing deposits | $ | 5,044,620 | $ | 5,261,690 | $ | 5,102,500 | $ | 4,873,953 | $ | 4,928,750 | ||||||||||
Shareholders’ equity | $ | 2,044,832 | $ | 1,988,981 | $ | 1,983,317 | $ | 1,954,552 | $ | 1,949,275 | ||||||||||
Financial Ratios | ||||||||||||||||||||
Return on average assets | 1.41 | % | 1.38 | % | 1.45 | % | 1.33 | % | 1.27 | % | ||||||||||
Return on average common equity | 8.97 | % | 9.00 | % | 9.36 | % | 8.54 | % | 8.20 | % | ||||||||||
Average equity to average assets | 15.67 | % | 15.35 | % | 15.49 | % | 15.60 | % | 15.47 | % | ||||||||||
Shareholders’ equity to total assets | 15.99 | % | 15.53 | % | 15.29 | % | 15.56 | % | 15.55 | % | ||||||||||
Net interest margin (tax equivalent) (1) | 4.32 | % | 4.36 | % | 4.37 | % | 4.30 | % | 4.28 | % | ||||||||||
Period end | ||||||||||||||||||||
Total assets | $ | 13,064,436 | $ | 13,095,145 | $ | 12,956,596 | $ | 12,628,586 | $ | 12,530,636 | ||||||||||
Loans, net of unearned income | $ | 8,520,798 | $ | 8,391,511 | $ | 8,514,317 | $ | 8,454,107 | $ | 8,339,631 | ||||||||||
Allowance for loan and lease losses | $ | 83,274 | $ | 83,369 | $ | 83,787 | $ | 80,150 | $ | 79,827 | ||||||||||
Securities, including equity securities and FHLB stock | $ | 3,052,870 | $ | 3,193,408 | $ | 2,942,655 | $ | 2,665,131 | $ | 2,640,685 | ||||||||||
Deposits | $ | 10,369,009 | $ | 10,458,126 | $ | 10,603,957 | $ | 10,384,004 | $ | 10,395,523 | ||||||||||
Core deposits | $ | 9,898,982 | $ | 9,973,840 | $ | 10,084,687 | $ | 9,888,696 | $ | 9,897,185 | ||||||||||
Shareholders’ equity | $ | 2,088,620 | $ | 2,033,649 | $ | 1,981,395 | $ | 1,964,881 | $ | 1,947,923 | ||||||||||
Goodwill | $ | 765,842 | $ | 765,842 | $ | 765,842 | $ | 765,842 | $ | 765,842 | ||||||||||
Other intangible assets, net | $ | 43,189 | $ | 45,937 | $ | 48,827 | $ | 51,897 | $ | 54,985 | ||||||||||
Nonperforming assets | ||||||||||||||||||||
Nonaccrual loans | $ | 52,615 | $ | 54,842 | $ | 60,332 | $ | 69,504 | $ | 78,464 | ||||||||||
OREO and OPPO | 6,075 | 6,049 | 7,415 | 7,080 | 11,507 | |||||||||||||||
Total nonperforming assets | $ | 58,690 | $ | 60,891 | $ | 67,747 | $ | 76,584 | $ | 89,971 | ||||||||||
Nonperforming loans to period-end loans | 0.62 | % | 0.65 | % | 0.71 | % | 0.82 | % | 0.94 | % | ||||||||||
Nonperforming assets to period-end assets | 0.45 | % | 0.46 | % | 0.52 | % | 0.61 | % | 0.72 | % | ||||||||||
Allowance for loan and lease losses to period-end loans | 0.98 | % | 0.99 | % | 0.98 | % | 0.95 | % | 0.96 | % | ||||||||||
Net loan charge-offs (recoveries) | $ | 1,457 | $ | 2,207 | $ | (484 | ) | $ | 3,652 | $ | 1,671 |
LOAN PORTFOLIO COMPOSITION | ||||||||||||||||||||
Columbia Banking System, Inc. | ||||||||||||||||||||
Unaudited | March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||||||
2019 | 2018 | 2018 | 2018 | 2018 | ||||||||||||||||
Loan Portfolio Composition - Dollars | (dollars in thousands) | |||||||||||||||||||
Commercial business | $ | 3,509,472 | $ | 3,438,422 | $ | 3,554,147 | $ | 3,538,492 | $ | 3,402,162 | ||||||||||
Real estate: | ||||||||||||||||||||
One-to-four family residential | 282,673 | 238,367 | 232,924 | 180,522 | 182,302 | |||||||||||||||
Commercial and multifamily residential | 3,917,833 | 3,846,027 | 3,786,615 | 3,758,207 | 3,776,709 | |||||||||||||||
Total real estate | 4,200,506 | 4,084,394 | 4,019,539 | 3,938,729 | 3,959,011 | |||||||||||||||
Real estate construction: | ||||||||||||||||||||
One-to-four family residential | 207,900 | 217,790 | 211,629 | 206,181 | 208,441 | |||||||||||||||
Commercial and multifamily residential | 240,458 | 284,394 | 349,328 | 387,951 | 385,339 | |||||||||||||||
Total real estate construction | 448,358 | 502,184 | 560,957 | 594,132 | 593,780 | |||||||||||||||
Consumer | 312,886 | 318,945 | 327,863 | 326,402 | 323,631 | |||||||||||||||
Purchased credit impaired | 88,257 | 89,760 | 95,936 | 101,782 | 109,299 | |||||||||||||||
Subtotal loans | 8,559,479 | 8,433,705 | 8,558,442 | 8,499,537 | 8,387,883 | |||||||||||||||
Less: Net unearned income | (38,681 | ) | (42,194 | ) | (44,125 | ) | (45,430 | ) | (48,252 | ) | ||||||||||
Loans, net of unearned income | 8,520,798 | 8,391,511 | 8,514,317 | 8,454,107 | 8,339,631 | |||||||||||||||
Less: Allowance for loan and lease losses | (83,274 | ) | (83,369 | ) | (83,787 | ) | (80,150 | ) | (79,827 | ) | ||||||||||
Total loans, net | 8,437,524 | 8,308,142 | 8,430,530 | 8,373,957 | 8,259,804 | |||||||||||||||
Loans held for sale | $ | 4,017 | $ | 3,849 | $ | 5,275 | $ | 6,773 | $ | 4,312 |
March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||
Loan Portfolio Composition - Percentages | 2019 | 2018 | 2018 | 2018 | 2018 | ||||||||||
Commercial business | 41.2 | % | 41.0 | % | 41.7 | % | 41.9 | % | 40.8 | % | |||||
Real estate: | |||||||||||||||
One-to-four family residential | 3.3 | % | 2.8 | % | 2.7 | % | 2.1 | % | 2.2 | % | |||||
Commercial and multifamily residential | 46.1 | % | 45.8 | % | 44.5 | % | 44.4 | % | 45.3 | % | |||||
Total real estate | 49.4 | % | 48.6 | % | 47.2 | % | 46.5 | % | 47.5 | % | |||||
Real estate construction: | |||||||||||||||
One-to-four family residential | 2.4 | % | 2.6 | % | 2.5 | % | 2.4 | % | 2.5 | % | |||||
Commercial and multifamily residential | 2.8 | % | 3.4 | % | 4.1 | % | 4.6 | % | 4.6 | % | |||||
Total real estate construction | 5.2 | % | 6.0 | % | 6.6 | % | 7.0 | % | 7.1 | % | |||||
Consumer | 3.7 | % | 3.8 | % | 3.9 | % | 3.9 | % | 3.9 | % | |||||
Purchased credit impaired | 1.0 | % | 1.1 | % | 1.1 | % | 1.2 | % | 1.3 | % | |||||
Subtotal loans | 100.5 | % | 100.5 | % | 100.5 | % | 100.5 | % | 100.6 | % | |||||
Less: Net unearned income | (0.5 | )% | (0.5 | )% | (0.5 | )% | (0.5 | )% | (0.6 | )% | |||||
Loans, net of unearned income | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
DEPOSIT COMPOSITION | ||||||||||||||||||||
Columbia Banking System, Inc. | ||||||||||||||||||||
Unaudited | ||||||||||||||||||||
March 31, | December 31, | September 30, | June 30, | March 31, | ||||||||||||||||
2019 | 2018 | 2018 | 2018 | 2018 | ||||||||||||||||
Deposit Composition - Dollars | (dollars in thousands) | |||||||||||||||||||
Core deposits: | ||||||||||||||||||||
Demand and other noninterest-bearing | $ | 5,106,568 | $ | 5,227,216 | $ | 5,250,222 | $ | 4,953,993 | $ | 4,927,226 | ||||||||||
Interest-bearing demand | 1,270,047 | 1,244,254 | 1,260,543 | 1,278,686 | 1,328,756 | |||||||||||||||
Money market | 2,389,024 | 2,367,964 | 2,413,185 | 2,513,648 | 2,477,487 | |||||||||||||||
Savings | 897,329 | 890,557 | 908,945 | 875,707 | 886,171 | |||||||||||||||
Certificates of deposit, less than $250,000 | 236,014 | 243,849 | 251,792 | 266,662 | 277,545 | |||||||||||||||
Total core deposits | 9,898,982 | 9,973,840 | 10,084,687 | 9,888,696 | 9,897,185 | |||||||||||||||
Certificates of deposit, $250,000 or more | 101,965 | 89,473 | 90,387 | 91,578 | 96,333 | |||||||||||||||
Certificates of deposit insured by CDARS® | 22,890 | 23,580 | 23,841 | 23,492 | 23,191 | |||||||||||||||
Brokered certificates of deposit | 51,375 | 57,930 | 65,476 | 68,870 | 76,931 | |||||||||||||||
Reciprocal money market accounts | 294,096 | 313,692 | 340,044 | 311,935 | 302,544 | |||||||||||||||
Subtotal | 10,369,308 | 10,458,515 | 10,604,435 | 10,384,571 | 10,396,184 | |||||||||||||||
Valuation adjustment resulting from acquisition accounting | (299 | ) | (389 | ) | (478 | ) | (567 | ) | (661 | ) | ||||||||||
Total deposits | $ | 10,369,009 | $ | 10,458,126 | $ | 10,603,957 | $ | 10,384,004 | $ | 10,395,523 |
March 31, | December 31, | September 30, | June 30, | March 31, | |||||||||||
Deposit Composition - Percentages | 2019 | 2018 | 2018 | 2018 | 2018 | ||||||||||
Core deposits: | |||||||||||||||
Demand and other noninterest-bearing | 49.2 | % | 50.0 | % | 49.5 | % | 47.7 | % | 47.4 | % | |||||
Interest-bearing demand | 12.2 | % | 11.9 | % | 11.9 | % | 12.3 | % | 12.8 | % | |||||
Money market | 23.0 | % | 22.6 | % | 22.8 | % | 24.2 | % | 23.8 | % | |||||
Savings | 8.7 | % | 8.5 | % | 8.6 | % | 8.4 | % | 8.5 | % | |||||
Certificates of deposit, less than $250,000 | 2.3 | % | 2.3 | % | 2.4 | % | 2.6 | % | 2.7 | % | |||||
Total core deposits | 95.4 | % | 95.3 | % | 95.2 | % | 95.2 | % | 95.2 | % | |||||
Certificates of deposit, $250,000 or more | 1.0 | % | 0.9 | % | 0.9 | % | 0.9 | % | 0.9 | % | |||||
Certificates of deposit insured by CDARS® | 0.2 | % | 0.2 | % | 0.2 | % | 0.2 | % | 0.2 | % | |||||
Brokered certificates of deposit | 0.5 | % | 0.6 | % | 0.6 | % | 0.7 | % | 0.7 | % | |||||
Reciprocal money market accounts | 2.9 | % | 3.0 | % | 3.1 | % | 3.0 | % | 3.0 | % | |||||
Total | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
AVERAGE BALANCES AND RATES | ||||||||||||||||||||||
Columbia Banking System, Inc. | ||||||||||||||||||||||
Unaudited | ||||||||||||||||||||||
Three Months Ended | Three Months Ended | |||||||||||||||||||||
March 31, 2019 | March 31, 2018 | |||||||||||||||||||||
Average Balances | Interest Earned / Paid | Average Rate (3) | Average Balances | Interest Earned / Paid | Average Rate (3) | |||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||
Loans, net (1)(2) | $ | 8,406,664 | $ | 109,715 | 5.29 | % | $ | 8,348,740 | $ | 104,091 | 5.06 | % | ||||||||||
Taxable securities | 2,637,436 | 17,415 | 2.68 | % | 2,158,039 | 12,708 | 2.39 | % | ||||||||||||||
Tax exempt securities (2) | 502,765 | 3,758 | 3.03 | % | 524,211 | 3,878 | 3.00 | % | ||||||||||||||
Interest-earning deposits with banks | 14,762 | 88 | 2.42 | % | 91,763 | 345 | 1.52 | % | ||||||||||||||
Total interest-earning assets | 11,561,627 | 130,976 | 4.59 | % | 11,122,753 | 121,022 | 4.41 | % | ||||||||||||||
Other earning assets | 232,077 | 218,126 | ||||||||||||||||||||
Noninterest-earning assets | 1,254,337 | 1,262,265 | ||||||||||||||||||||
Total assets | $ | 13,048,041 | $ | 12,603,144 | ||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||
Certificates of deposit | $ | 406,539 | $ | 576 | 0.57 | % | $ | 479,729 | $ | 526 | 0.44 | % | ||||||||||
Savings accounts | 897,335 | 44 | 0.02 | % | 878,170 | 41 | 0.02 | % | ||||||||||||||
Interest-bearing demand | 1,258,054 | 953 | 0.31 | % | 1,252,823 | 535 | 0.17 | % | ||||||||||||||
Money market accounts | 2,664,468 | 2,925 | 0.45 | % | 2,795,008 | 1,407 | 0.20 | % | ||||||||||||||
Total interest-bearing deposits | 5,226,396 | 4,498 | 0.35 | % | 5,405,730 | 2,509 | 0.19 | % | ||||||||||||||
FHLB advances | 499,428 | 2,685 | 2.18 | % | 125,660 | 570 | 1.84 | % | ||||||||||||||
Subordinated debentures | 35,438 | 468 | 5.36 | % | 35,623 | 468 | 5.33 | % | ||||||||||||||
Other borrowings | 41,703 | 215 | 2.09 | % | 60,840 | 116 | 0.77 | % | ||||||||||||||
Total interest-bearing liabilities | 5,802,965 | 7,866 | 0.55 | % | 5,627,853 | 3,663 | 0.26 | % | ||||||||||||||
Noninterest-bearing deposits | 5,044,620 | 4,928,750 | ||||||||||||||||||||
Other noninterest-bearing liabilities | 155,624 | 97,266 | ||||||||||||||||||||
Shareholders’ equity | 2,044,832 | 1,949,275 | ||||||||||||||||||||
Total liabilities & shareholders’ equity | $ | 13,048,041 | $ | 12,603,144 | ||||||||||||||||||
Net interest income (tax equivalent) | $ | 123,110 | $ | 117,359 | ||||||||||||||||||
Net interest margin (tax equivalent) | 4.32 | % | 4.28 | % |
(1) | Nonaccrual loans have been included in the tables as loans carrying a zero yield. Amortized net deferred loan fees and net unearned discounts on acquired loans were included in the interest income calculations. The amortization of net deferred loan fees was $2.2 million for the three months ended March 31, 2019 and 2018. The incremental accretion on acquired loans was $2.0 million and $3.7 million for the three months ended March 31, 2019 and 2018, respectively. |
(2) | Tax-exempt income is calculated on a tax equivalent basis. The tax equivalent yield adjustment to interest earned on loans was $1.3 million and $1.1 million for the three months ended March 31, 2019 and 2018, respectively. The tax equivalent yield adjustment to interest earned on tax exempt securities was $789 thousand and $814 thousand for the three months ended March 31, 2019 and 2018, respectively. |
(3) | Beginning January 2019, average rates were calculated using the actual number of days and on an Actual/Actual basis. This change was done to provide more meaningful trend information, on a quarterly basis, for our net interest margin regardless of the number of days in the quarter. Prior periods, which were previously reported on a 30/360 basis, have been restated to conform to the current basis. |
AVERAGE BALANCES AND RATES | ||||||||||||||||||||||
Columbia Banking System, Inc. | ||||||||||||||||||||||
Unaudited | ||||||||||||||||||||||
Three Months Ended | Three Months Ended | |||||||||||||||||||||
March 31, 2019 | December 31, 2018 | |||||||||||||||||||||
Average Balances | Interest Earned / Paid | Average Rate (3) | Average Balances | Interest Earned / Paid | Average Rate (3) | |||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||||
ASSETS | ||||||||||||||||||||||
Loans, net (1)(2) | $ | 8,406,664 | $ | 109,715 | 5.29 | % | $ | 8,441,354 | $ | 111,239 | 5.23 | % | ||||||||||
Taxable securities | 2,637,436 | 17,415 | 2.68 | % | 2,493,683 | 16,684 | 2.65 | % | ||||||||||||||
Tax exempt securities (2) | 502,765 | 3,758 | 3.03 | % | 504,955 | 3,805 | 2.99 | % | ||||||||||||||
Interest-earning deposits with banks | 14,762 | 88 | 2.42 | % | 18,478 | 102 | 2.19 | % | ||||||||||||||
Total interest-earning assets | 11,561,627 | 130,976 | 4.59 | % | 11,458,470 | 131,830 | 4.56 | % | ||||||||||||||
Other earning assets | 232,077 | 230,601 | ||||||||||||||||||||
Noninterest-earning assets | 1,254,337 | 1,268,683 | ||||||||||||||||||||
Total assets | $ | 13,048,041 | $ | 12,957,754 | ||||||||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||
Certificates of deposit | $ | 406,539 | $ | 576 | 0.57 | % | $ | 427,592 | $ | 587 | 0.54 | % | ||||||||||
Savings accounts | 897,335 | 44 | 0.02 | % | 897,976 | 36 | 0.02 | % | ||||||||||||||
Interest-bearing demand | 1,258,054 | 953 | 0.31 | % | 1,230,351 | 730 | 0.24 | % | ||||||||||||||
Money market accounts | 2,664,468 | 2,925 | 0.45 | % | 2,742,671 | 2,478 | 0.36 | % | ||||||||||||||
Total interest-bearing deposits | 5,226,396 | 4,498 | 0.35 | % | 5,298,590 | 3,831 | 0.29 | % | ||||||||||||||
FHLB advances | 499,428 | 2,685 | 2.18 | % | 215,606 | 1,399 | 2.57 | % | ||||||||||||||
Subordinated debentures | 35,438 | 468 | 5.36 | % | 35,484 | 467 | 5.22 | % | ||||||||||||||
Other borrowings | 41,703 | 215 | 2.09 | % | 49,966 | 216 | 1.72 | % | ||||||||||||||
Total interest-bearing liabilities | 5,802,965 | 7,866 | 0.55 | % | 5,599,646 | 5,913 | 0.42 | % | ||||||||||||||
Noninterest-bearing deposits | 5,044,620 | 5,261,690 | ||||||||||||||||||||
Other noninterest-bearing liabilities | 155,624 | 107,437 | ||||||||||||||||||||
Shareholders’ equity | 2,044,832 | 1,988,981 | ||||||||||||||||||||
Total liabilities & shareholders’ equity | $ | 13,048,041 | $ | 12,957,754 | ||||||||||||||||||
Net interest income (tax equivalent) | $ | 123,110 | $ | 125,917 | ||||||||||||||||||
Net interest margin (tax equivalent) | 4.32 | % | 4.36 | % |
(1) | Nonaccrual loans have been included in the tables as loans carrying a zero yield. Amortized net deferred loan fees and net unearned discounts on acquired loans were included in the interest income calculations. The amortization of net deferred loan fees was $2.2 million and $2.5 million for the three months ended March 31, 2019 and December 31, 2018, respectively. The incremental accretion on acquired loans was $2.0 million and $2.6 million for the three months ended March 31, 2019 and December 31, 2018, respectively. |
(2) | Tax-exempt income is calculated on a tax equivalent basis. The tax equivalent yield adjustment to interest earned on loans was $1.3 million and $1.2 million for the three months ended March 31, 2019 and December 31, 2018, respectively. The tax equivalent yield adjustment to interest earned on tax exempt securities was $789 thousand and $800 thousand for the three months ended March 31, 2019 and December 31, 2018, respectively. |
(3) | Beginning January 2019, average rates were calculated using the actual number of days and on an Actual/Actual basis. This change was done to provide more meaningful trend information, on a quarterly basis, for our net interest margin regardless of the number of days in the quarter. Prior periods, which were previously reported on a 30/360 basis, have been restated to conform to the current basis. |
Three Months Ended | ||||||||||||
March 31, | December 31, | March 31, | ||||||||||
2019 | 2018 | 2018 | ||||||||||
Operating net interest margin non-GAAP reconciliation: | (dollars in thousands) | |||||||||||
Net interest income (tax equivalent) (1) | $ | 123,110 | $ | 125,917 | $ | 117,359 | ||||||
Adjustments to arrive at operating net interest income (tax equivalent): | ||||||||||||
Incremental accretion income on FDIC purchased credit impaired loans | (288 | ) | (395 | ) | (329 | ) | ||||||
Incremental accretion income on other acquired loans | (1,747 | ) | (2,218 | ) | (3,370 | ) | ||||||
Premium amortization on acquired securities | 1,779 | 1,671 | 2,075 | |||||||||
Interest reversals on nonaccrual loans | 626 | 417 | 417 | |||||||||
Operating net interest income (tax equivalent) (1) | $ | 123,480 | $ | 125,392 | $ | 116,152 | ||||||
Average interest earning assets | $ | 11,561,627 | $ | 11,458,470 | $ | 11,122,753 | ||||||
Net interest margin (tax equivalent) (1)(2) | 4.32 | % | 4.36 | % | 4.28 | % | ||||||
Operating net interest margin (tax equivalent) (1)(2) | 4.33 | % | 4.34 | % | 4.24 | % |
Three Months Ended | ||||||||||||
March 31, | December 31, | March 31, | ||||||||||
2019 | 2018 | 2018 | ||||||||||
Operating efficiency ratio non-GAAP reconciliation: | (dollars in thousands) | |||||||||||
Noninterest expense (numerator A) | $ | 84,700 | $ | 87,019 | $ | 85,987 | ||||||
Adjustments to arrive at operating noninterest expense: | ||||||||||||
Acquisition-related expenses | — | (493 | ) | (4,265 | ) | |||||||
Net benefit (cost) of operation of OREO and OPPO | (114 | ) | (23 | ) | 4 | |||||||
Loss on asset disposals | — | (166 | ) | — | ||||||||
Business and Occupation (“B&O”) taxes | (1,876 | ) | (1,410 | ) | (1,317 | ) | ||||||
Operating noninterest expense (numerator B) | $ | 82,710 | $ | 84,927 | $ | 80,409 | ||||||
Net interest income (tax equivalent) (1) | $ | 123,110 | $ | 125,917 | $ | 117,359 | ||||||
Noninterest income | 21,696 | 20,402 | 23,143 | |||||||||
Bank owned life insurance tax equivalent adjustment | 404 | 390 | 379 | |||||||||
Total revenue (tax equivalent) (denominator A) | $ | 145,210 | $ | 146,709 | $ | 140,881 | ||||||
Operating net interest income (tax equivalent) (1) | $ | 123,480 | $ | 125,392 | $ | 116,152 | ||||||
Adjustments to arrive at operating noninterest income (tax equivalent): | ||||||||||||
Investment securities loss (gain), net | (1,847 | ) | 16 | (22 | ) | |||||||
Gain on asset disposals | — | (30 | ) | (35 | ) | |||||||
Operating noninterest income (tax equivalent) | 20,253 | 20,778 | 23,465 | |||||||||
Total operating revenue (tax equivalent) (denominator B) | $ | 143,733 | $ | 146,170 | $ | 139,617 | ||||||
Efficiency ratio (tax equivalent) (numerator A/denominator A) | 58.33 | % | 59.31 | % | 61.04 | % | ||||||
Operating efficiency ratio (tax equivalent) (numerator B/denominator B) | 57.54 | % | 58.10 | % | 57.59 | % |
Three Months Ended | ||||||||||||
March 31, | December 31, | March 31, | ||||||||||
2019 | 2018 | 2018 | ||||||||||
Core noninterest expense ratio non-GAAP reconciliation: | (dollars in thousands) | |||||||||||
Noninterest expense (numerator A) | $ | 84,700 | $ | 87,019 | $ | 85,987 | ||||||
Adjustments to arrive at core noninterest expense: | ||||||||||||
Acquisition-related expenses | — | (493 | ) | (4,265 | ) | |||||||
Core noninterest expense (numerator B) | $ | 84,700 | $ | 86,526 | $ | 81,722 | ||||||
Average assets (denominator) | $ | 13,048,041 | $ | 12,957,754 | $ | 12,603,144 | ||||||
Noninterest expense ratio (numerator A/denominator) (1) | 2.60 | % | 2.69 | % | 2.73 | % | ||||||
Core noninterest expense ratio (numerator B/denominator) (2) | 2.60 | % | 2.67 | % | 2.59 | % |
March 31, | December 31, | March 31, | ||||||||||
2019 | 2018 | 2018 | ||||||||||
Tangible common equity ratio and tangible book value per common share non-GAAP reconciliation: | (dollars in thousands except per share amounts) | |||||||||||
Shareholders’ equity (numerator A) | $ | 2,088,620 | $ | 2,033,649 | $ | 1,947,923 | ||||||
Adjustments to arrive at tangible common equity: | ||||||||||||
Goodwill | (765,842 | ) | (765,842 | ) | (765,842 | ) | ||||||
Other intangible assets, net | (43,189 | ) | (45,937 | ) | (54,985 | ) | ||||||
Tangible common equity (numerator B) | $ | 1,279,589 | $ | 1,221,870 | $ | 1,127,096 | ||||||
Total assets (denominator A) | $ | 13,064,436 | $ | 13,095,145 | $ | 12,530,636 | ||||||
Adjustments to arrive at tangible assets: | ||||||||||||
Goodwill | (765,842 | ) | (765,842 | ) | (765,842 | ) | ||||||
Other intangible assets, net | (43,189 | ) | (45,937 | ) | (54,985 | ) | ||||||
Tangible assets (denominator B) | $ | 12,255,405 | $ | 12,283,366 | $ | 11,709,809 | ||||||
Shareholders’ equity to total assets (numerator A/denominator A) | 15.99 | % | 15.53 | % | 15.55 | % | ||||||
Tangible common shareholders’ equity to tangible assets (numerator B/denominator B) | 10.44 | % | 9.95 | % | 9.63 | % | ||||||
Common shares outstanding (denominator C) | 73,565 | 73,249 | 73,240 | |||||||||
Book value per common share (numerator A/denominator C) | $ | 28.39 | $ | 27.76 | $ | 26.60 | ||||||
Tangible book value per common share (numerator B/denominator C) | $ | 17.39 | $ | 16.68 | $ | 15.39 |
Three Months Ended | ||||||||||||
March 31, | December 31, | March 31, | ||||||||||
2019 | 2018 | 2018 | ||||||||||
Return on average tangible common equity non-GAAP reconciliation: | (dollars in thousands) | |||||||||||
Net income (numerator A) | $ | 45,871 | $ | 44,748 | $ | 39,970 | ||||||
Adjustments to arrive at tangible income applicable to common shareholders: | ||||||||||||
Amortization of intangibles | 2,748 | 2,890 | 3,188 | |||||||||
Tax effect on intangible amortization | (577 | ) | (607 | ) | (669 | ) | ||||||
Tangible income applicable to common shareholders (numerator B) | $ | 48,042 | $ | 47,031 | $ | 42,489 | ||||||
Average shareholders’ equity (denominator A) | $ | 2,044,832 | $ | 1,988,981 | $ | 1,949,275 | ||||||
Adjustments to arrive at average tangible common equity: | ||||||||||||
Average intangibles | (810,376 | ) | (813,145 | ) | (822,376 | ) | ||||||
Average tangible common equity (denominator B) | $ | 1,234,456 | $ | 1,175,836 | $ | 1,126,899 | ||||||
Return on average common equity (numerator A/denominator A) (1) | 8.97 | % | 9.00 | % | 8.20 | % | ||||||
Return on average tangible common equity (numerator B/denominator B) (2) | 15.57 | % | 16.00 | % | 15.08 | % |
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