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, Mortgage, 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 Mortgage 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 March 31, 2018
(Dollars in thousands)	IBERIABANK			Mortgage			LTC			Consolidated
Interest and dividend income	$	268,775		$	1,767		$	1		$	270,543
Interest expense	37,654			—			—			37,654
Net interest income	231,121			1,767			1			232,889
Provision for/(reversal of) loan and lease losses	7,991			(5		)	—			7,986
Mortgage income	—			9,595			—			9,595
Title revenue	—			—			5,027			5,027
Other non-interest income	29,906			38			—			29,944
Allocated expenses	(1,479		)	1,166			313			—
Non-interest expense	171,816			11,916			4,564			188,296
Income/(loss) before income tax expense	82,699			(1,677		)	151			81,173
Income tax expense/(benefit)	18,540			(410		)	(578		)	17,552
Net income/(loss)	$	64,159		$	(1,267	)	$	729		$	63,621
Total loans, leases, and loans held for sale, net of unearned income	$	21,652,223		$	164,215		$	—		$	21,816,438
Total assets	29,243,983			205,497			23,157			29,472,637
Total deposits	22,959,061			12,131			—			22,971,192
Average assets	27,924,587			185,742			21,890			28,132,219



	Three Months Ended March 31, 2017
(Dollars in thousands)	IBERIABANK			Mortgage			LTC			Consolidated
Interest and dividend income	$	190,823		$	1,709		$	1		$	192,533
Interest expense	19,715			—			—			19,715
Net interest income	171,108			1,709			1			172,818
Provision for/(reversal of) loan and lease losses	6,158			(4		)	—			6,154
Mortgage income	—			14,115			—			14,115
Title revenue	—			—			4,741			4,741
Other non-interest income	26,284			(10		)	(6		)	26,268
Allocated expenses	(2,174		)	1,656			518			—
Non-interest expense	119,429			15,167			4,200			138,796
Income/(loss) before income tax expense	73,979			(1,005		)	18			72,992
Income tax expense/(benefit)	22,829			(322		)	12			22,519
Net income/(loss)	$	51,150		$	(683	)	$	6		$	50,473
Total loans, leases, and loans held for sale, net of unearned income	$	15,072,661		$	181,874		$	—		$	15,254,535
Total assets	21,774,586			209,911			23,982			22,008,479
Total deposits	17,306,328			5,937			—			17,312,265
Average assets	21,550,930			286,694			23,877			21,861,501