Business Segments

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

Business Segments

BUSINESS SEGMENTS

Each of the Company’s reportable operating segments serves the specific needs of the Company’s customers based on the products and services it offers. The reportable segments are based upon those revenue-producing components for which separate financial information is produced internally and primarily reflect the manner in which resources are allocated and performance is assessed. Further, the reportable operating segments are also determined based on the quantitative thresholds prescribed within ASC Topic 280, Segment Reporting, and consideration of the usefulness of the information to the users of the consolidated financial statements.

The Company reports the results of its operations through three reportable segments: IBERIABANK, IMC, and LTC. The IBERIABANK segment represents the Company’s commercial and retail banking functions, including its lending, investment, and deposit activities. IBERIABANK also includes the Company’s wealth management, capital markets, and other corporate functions. The IMC segment represents the Company’s origination, funding, and subsequent sale of one-to-four family residential mortgage loans. The LTC segment represents the Company’s title insurance and loan closing services.

Certain expenses not directly attributable to a specific reportable segment are allocated to segments based on pre-determined methods that reflect utilization. Also, within IBERIABANK are certain reconciling items that translate reportable segment results into consolidated results. The following tables present certain information regarding our operations by reportable segment, including a reconciliation of segment results to reported consolidated results for the periods presented. Reconciling items between segment results and reported results include:

• Elimination of interest income and interest expense representing interest earned by IBERIABANK on interest-bearing checking accounts held by related companies, as well as the elimination of the related deposit balances at the IBERIABANK segment;

• Elimination of investment in subsidiary balances on certain operating segments included in total and average segment assets; and

• Elimination of intercompany due to and due from balances on certain operating segments that are included in total and average segment assets.

	Three Months Ended June 30, 2016
(Dollars in thousands)	IBERIABANK			IMC		LTC		Consolidated
Interest and dividend income	$	176,564		$	2,130	$	—	$	178,694
Interest expense	14,782			1,159		—		15,941
Net interest income	161,782			971		—		162,753
Provision for loan losses	11,866			—		—		11,866
Mortgage income	7			25,984		—		25,991
Service charges on deposit accounts	10,940			—		—		10,940
Title revenue	—			—		6,135		6,135
Other non-interest income	21,843			8		—		21,851
Allocated expenses	(3,885		)	2,947		938		—
Non-interest expense	120,268			14,820		4,416		139,504
Income before income tax expense	66,323			9,196		781		76,300
Income tax expense	21,558			3,625		307		25,490
Net income	$	44,765		$	5,571	$	474	$	50,810
Total loans and loans held for sale, net of unearned income	$	14,702,843		$	249,371	$	—	$	14,952,214
Total assets	19,807,507			326,397		26,951		20,160,855
Total deposits	15,855,908			6,119		—		15,862,027
Average assets	19,668,456			308,647		26,814		20,003,917

	Three Months Ended June 30, 2015
(Dollars in thousands)	IBERIABANK			IMC			LTC			Consolidated
Interest and dividend income	$	158,940		$	1,605		$	—		$	160,545
Interest expense	14,011			857			—			14,868
Net interest income	144,929			748			—			145,677
Provision for loan losses	8,790			—			—			8,790
Mortgage income	568			24,678			—			25,246
Service charges on deposit accounts	10,162			—			—			10,162
Title revenue	—			—			6,146			6,146
Other non-interest income	19,965			(1		)	(5		)	19,959
Allocated expenses	(3,238		)	2,464			774			—
Non-interest expense	133,034			15,738			4,437			153,209
Income before income tax expense	37,038			7,223			930			45,191
Income tax expense	11,129			2,858			368			14,355
Net income	$	25,909		$	4,365		$	562		$	30,836
Total loans and loans held for sale, net of unearned income	$	13,928,039		$	243,289		$	—		$	14,171,328
Total assets	18,924,178			289,450			25,300			19,238,928
Total deposits	16,112,387			7,154			—			16,119,541
Average assets	18,168,782			251,475			25,029			18,445,286

	Six Months Ended June 30, 2016
(Dollars in thousands)	IBERIABANK			IMC		LTC		Consolidated
Interest and dividend income	$	351,888		$	3,741	$	1	$	355,630
Interest expense	29,436			2,038		—		31,474
Net interest income	322,452			1,703		1		324,156
Provision for loan losses	26,771			—		—		26,771
Mortgage income	6			45,925		—		45,931
Service charges on deposit accounts	21,891			—		—		21,891
Title revenue	—			—		10,880		10,880
Other non-interest income	42,053			7		—		42,060
Allocated expenses	(6,554		)	4,997		1,557		—
Non-interest expense	240,295			28,018		8,643		276,956
Income before income tax expense	125,890			14,620		681		141,191
Income tax expense	41,559			5,778		275		47,612
Net income	$	84,331		$	8,842	$	406	$	93,579
Total loans and loans held for sale, net of unearned income	$	14,702,843		$	249,371	$	—	$	14,952,214
Total assets	19,807,507			326,397		26,951		20,160,855
Total deposits	15,855,908			6,119		—		15,862,027
Average assets	19,525,087			280,464		27,063		19,832,614

	Six Months Ended June 30, 2015
(Dollars in thousands)	IBERIABANK			IMC			LTC			Consolidated
Interest and dividend income	$	295,770		$	3,359		$	1		$	299,130
Interest expense	26,301			1,348			—			27,649
Net interest income	269,469			2,011			1			271,481
Provision for loan losses	14,135			—			—			14,135
Mortgage income	567			42,702			—			43,269
Service charges on deposit accounts	19,424			—			—			19,424
Title revenue	—			—			10,775			10,775
Other non-interest income	36,954			(3		)	(7		)	36,944
Allocated expenses	(8,085		)	5,992			2,093			—
Non-interest expense	249,039			28,654			8,669			286,362
Income before income tax expense	71,325			10,064			7			81,396
Income tax expense	21,442			3,980			12			25,434
Net income	$	49,883		$	6,084		$	(5	)	$	55,962
Total loans and loans held for sale, net of unearned income	$	13,928,039		$	243,289		$	—		$	14,171,328
Total assets	18,924,178			289,450			25,300			19,238,928
Total deposits	16,112,387			7,154			—			16,119,541
Average assets	16,966,529			216,900			24,892			17,208,321