For the three months ended | |||||||||||||
GAAP | Non-GAAP Core | ||||||||||||
1Q20 | 4Q19 | 1Q20 | 4Q19 | ||||||||||
Diluted Earnings Per Common Share | $ | 0.62 | $ | 1.48 | $ | 0.67 | $ | 1.59 | |||||
Return on Average Assets | 0.46 | % | 1.03 | % | 0.49 | % | 1.10 | % | |||||
Return on Average Common Equity | 3.21 | % | 7.58 | % | 3.47 | % | 8.13 | % | |||||
Return on Average Tangible Common Equity | N/A | N/A | 5.53 | % | 12.39 | % | |||||||
Efficiency Ratio | 60.1 | % | 61.8 | % | 59.1 | % | 58.0 | % | |||||
Tangible Efficiency Ratio (TE) | N/A | N/A | 57.4 | % | 56.2 | % |
• | Total loan growth was $520.1 million, or 9% annualized, on a linked quarter basis. Commercial and consumer line utilization was 52.4% and 64.0%, respectively, only slightly higher than at year-end 2019. |
• | Total deposits increased $306.9 million compared to the prior quarter, or 5% annualized. Non-interest bearing deposits increased $309.1 million, or 5%, in the quarter, to 26% of total deposits. |
• | Non-interest income increased $5.3 million, or 9%, on a linked quarter basis to $64.7 million, a record quarter on a core basis for the Company, primarily the result of a $7.9 million increase in mortgage income. |
◦ | As of April 13, 2020, the Company's locked mortgage pipeline was $662.2 million, up 209% from $214.4 million at January 21, 2020. |
• | Non-interest expense decreased $4.3 million, or 2%, on a linked quarter basis, primarily as a result of decreases in salaries and benefits and professional services expense, partially offset by a $7.3 million increase in credit valuation adjustments on derivatives and a $2.4 million increase in impairment related to mortgage servicing rights. |
◦ | Non-interest expense included $3.0 million in merger-related expense and other non-core items, a decrease of $8.3 million from the fourth quarter of 2019. Excluding these non-core items, core non-interest expense increased $4.0 million, or 2%, on a linked quarter basis. |
• | The Company's reported and cash net interest margins were down 4 and 2 basis points from the prior quarter at 3.17% and 3.06%, respectively. The lower net interest margin was primarily the result of a 20 basis point decrease in loan yield somewhat offset by a 13 basis point decline in the cost of interest-bearing liabilities. |
• | Effective January 1, 2020, the Company adopted the current expected credit loss (CECL) methodology for estimating its credit losses, which resulted in an $82.3 million increase in the allowance for expected credit losses, increasing the allowance coverage of total loans and leases from 0.68% to 1.02% upon adoption. As of March 31, 2020, the allowance for expected credit losses totaled $305.0 million, or 1.24% of total loans and leases, and covered 172% of non-performing loans. |
• | The provision for expected credit losses, using the baseline scenario published by a nationally recognized service dated March 27, 2020 (adjusted for alternative scenarios), totaled $69.0 million compared to $8.2 million in the prior quarter. The provision for expected credit losses was impacted by both the CECL methodology and the expected impact of the COVID-19 pandemic on future losses. |
• | Net charge-offs to average loans on an annualized basis increased 5 basis points to 0.16% compared to the prior quarter. Non-performing assets to total assets were 0.60% compared to 0.54% in the prior quarter. |
• | Capital ratios remain strong. There were no share repurchases in the first quarter of 2020 due to the pending merger with First Horizon National Corporation. |
• | The Company took early action by executing its proven business continuity plan to protect the health and welfare of its associates and to mitigate disruption. |
• | The Company is operating 181 branches today, with only seven closed. There are approximately 2,000 associates working remotely, which is almost 60% of our total workforce. |
• | We have modified our health care benefits plans to provide additional assistance during the COVID-19 pandemic. Additionally, we are offering pandemic benefits and bonus pay to eligible associates. |
• | The Bank has established client assistance programs, including a payment forbearance plan that is available to assist consumer and commercial clients impacted by COVID-19, upon request. The Company is also waiving and reversing certain fees for impacted clients. |
• | The Company is participating in the Coronavirus Aid, Relief and Economic Security Act ("CARES”) Act. As of April 16, 2020, the Company had processed nearly 9,000 loan applications for the SBA Paycheck Protection Program, representing a total of $1.86 billion. The Company has secured funding for 92% of the funds applied for, funding payroll for more than 200,000 people. The Company remains ready to continue to fund eligible client requests if Congress appropriates additional funds. |
Table A - Summary Financial Results | ||||||||||||||||||
(Dollars in thousands, except per share data) | ||||||||||||||||||
For the Three Months Ended | ||||||||||||||||||
3/31/2020 | 12/31/2019 | % Change | 3/31/2019 | % Change | ||||||||||||||
GAAP BASIS: | ||||||||||||||||||
Income available to common shareholders | $ | 32,827 | $ | 78,120 | (58.0 | ) | $ | 96,533 | (66.0 | ) | ||||||||
Earnings per common share - diluted | 0.62 | 1.48 | (58.1 | ) | 1.75 | (64.6 | ) | |||||||||||
Average loans and leases, net of unearned income | $ | 24,153,182 | $ | 23,830,962 | 1.4 | $ | 22,599,686 | 6.9 | ||||||||||
Average total deposits | 25,454,630 | 25,227,462 | 0.9 | 23,678,400 | 7.5 | |||||||||||||
Net interest margin (TE) (1) | 3.17 | % | 3.21 | % | 3.59 | % | ||||||||||||
Total revenues | $ | 294,998 | $ | 293,842 | 0.4 | $ | 302,993 | (2.6 | ) | |||||||||
Total non-interest expense | 177,427 | 181,723 | (2.4 | ) | 158,753 | 11.8 | ||||||||||||
Efficiency ratio | 60.1 | % | 61.8 | % | 52.4 | % | ||||||||||||
Return on average assets | 0.46 | 1.03 | 1.32 | |||||||||||||||
Return on average common equity | 3.21 | 7.58 | 9.85 | |||||||||||||||
NON-GAAP BASIS (2): | ||||||||||||||||||
Core revenues | $ | 294,998 | $ | 293,828 | 0.4 | $ | 302,993 | (2.6 | ) | |||||||||
Core non-interest expense | 174,416 | 170,380 | 2.4 | 161,230 | 8.2 | |||||||||||||
Core earnings per common share - diluted | 0.67 | 1.59 | (57.9 | ) | 1.72 | (61.0 | ) | |||||||||||
Core tangible efficiency ratio (TE) (1) (3) | 57.4 | % | 56.2 | % | 51.3 | % | ||||||||||||
Core return on average assets | 0.49 | 1.10 | 1.29 | |||||||||||||||
Core return on average common equity | 3.47 | 8.13 | 9.66 | |||||||||||||||
Core return on average tangible common equity | 5.53 | 12.39 | 15.03 | |||||||||||||||
Net interest margin (TE) - cash basis (1) | 3.06 | 3.08 | 3.42 | |||||||||||||||
(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 21%. | ||||||||||||||||||
(2) See Table 7 and Table 8 for GAAP to Non-GAAP reconciliations. | ||||||||||||||||||
(3) Tangible calculations eliminate the effect of goodwill and acquisition-related intangible assets and the corresponding amortization expense on a tax-effected basis where applicable. |
Table B - Summary Financial Condition Results | |||||||||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||||||||
As of and For the Three Months Ended | |||||||||||||||||||||
3/31/2020 | 12/31/2019 | % Change | 3/31/2019 | % Change | |||||||||||||||||
PERIOD-END BALANCES: | |||||||||||||||||||||
Total loans and leases, net of unearned income | $ | 24,541,632 | $ | 24,021,499 | 2.2 | $ | 22,968,295 | 6.9 | |||||||||||||
Total deposits | 25,526,237 | 25,219,349 | 1.2 | 24,092,062 | 6.0 | ||||||||||||||||
ASSET QUALITY RATIOS: | |||||||||||||||||||||
Loans 30-89 days past due and still accruing as a percentage of total loans and leases (1) | 0.33 | % | 0.28 | % | 0.20 | % | |||||||||||||||
Loans 90 days or more past due and still accruing as a percentage of total loans and leases (1) | 0.04 | 0.01 | 0.02 | ||||||||||||||||||
Non-performing assets to total assets (1)(2) | 0.60 | 0.54 | 0.58 | ||||||||||||||||||
Classified assets to total assets (3) | 0.94 | 0.84 | 1.01 | ||||||||||||||||||
CAPITAL RATIOS: | |||||||||||||||||||||
Tangible common equity ratio (Non-GAAP) (4) (5) | 9.13 | % | 9.24 | % | 9.01 | % | |||||||||||||||
Tier 1 leverage ratio (6) | 9.93 | 9.90 | 9.67 | ||||||||||||||||||
Total risk-based capital ratio (6) | 12.48 | 12.43 | 12.33 | ||||||||||||||||||
PER COMMON SHARE DATA: | |||||||||||||||||||||
Book value | $ | 78.27 | $ | 78.37 | (0.1 | ) | $ | 73.50 | 6.5 | ||||||||||||
Tangible book value (Non-GAAP) (4) (5) | 53.70 | 53.63 | 0.1 | 49.48 | 8.5 | ||||||||||||||||
Closing stock price | 36.16 | 74.83 | (51.7 | ) | 71.71 | (49.6 | ) | ||||||||||||||
Cash dividends | 0.47 | 0.45 | 4.4 | 0.43 | 9.3 | ||||||||||||||||
(1) | For purposes of this table, for periods prior to the three months ended March 31, 2020, past due and non-accrual loan amounts exclude purchased credit deteriorated (PCD) loans (formerly purchased credit impaired loans), even if contractually past due or if the Company did not expect to receive payment in full, as the Company was accreting interest income over the expected life of the loans. For the three months ended March 31, 2020, NPAs included $16.4 million in PCD loans, of which $14.7 million were non-accrual, and loans 30-89 days past due included $4.0 million in PCD loans. | ||||||||||||||||||||
(2) | Non-performing assets consist of non-accruing loans, accruing loans 90 days or more past due and other real estate owned, including repossessed assets. Refer to Table 4 for further detail. | ||||||||||||||||||||
(3) | Classified assets include loans rated substandard or worse, non-performing mortgage and consumer loans, and OREO and foreclosed property and include PCD loans. Classified assets were $302.6 million, $265.2 million and $314.6 million at March 31, 2020, December 31, 2019, and March 31, 2019, respectively. | ||||||||||||||||||||
(4) | See Table 7 and Table 8 for GAAP to Non-GAAP reconciliations. | ||||||||||||||||||||
(5) | Tangible calculations eliminate the effect of goodwill and acquisition-related intangible assets and the corresponding amortization expense on a tax-effected basis where applicable. | ||||||||||||||||||||
(6) | Regulatory capital ratios as of March 31, 2020 are preliminary. |
Table C - Period-End Loans and Leases | |||||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||||
As of and For the Three Months Ended | |||||||||||||||||||||||||||||
Linked Qtr Change | Year/Year Change | Mix | |||||||||||||||||||||||||||
3/31/2020 | 12/31/2019 | 3/31/2019 | $ | % | Annualized | $ | % | 3/31/2020 | 12/31/2019 | ||||||||||||||||||||
Commercial loans and leases | $ | 17,140,864 | $ | 16,611,633 | $ | 15,628,158 | 529,231 | 3.2 | 12.8 | % | 1,512,706 | 9.7 | 69.8 | % | 69.2 | % | |||||||||||||
Residential mortgage loans | 4,849,119 | 4,739,075 | 4,415,267 | 110,044 | 2.3 | 9.3 | % | 433,852 | 9.8 | 19.8 | % | 19.7 | % | ||||||||||||||||
Consumer and other loans | 2,551,649 | 2,670,791 | 2,924,870 | (119,142 | ) | (4.5 | ) | (17.9 | )% | (373,221 | ) | (12.8 | ) | 10.4 | % | 11.1 | % | ||||||||||||
Total loans and leases | $ | 24,541,632 | $ | 24,021,499 | $ | 22,968,295 | 520,133 | 2.2 | 8.7 | % | 1,573,337 | 6.9 | 100.0 | % | 100.0 | % |
Table D - Period-End Deposits | ||||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||||
Linked Qtr Change | Year/Year Change | Mix | ||||||||||||||||||||||||||
3/31/2020 | 12/31/2019 | 3/31/2019 | $ | % | Annualized | $ | % | 3/31/2020 | 12/31/2019 | |||||||||||||||||||
Non-interest-bearing deposits | $ | 6,628,901 | $ | 6,319,806 | $ | 6,448,613 | 309,095 | 4.9 | 19.7 | % | 180,288 | 2.8 | 26.0 | % | 25.1 | % | ||||||||||||
Interest-bearing demand deposits | 5,046,434 | 4,821,252 | 4,452,966 | 225,182 | 4.7 | 18.8 | % | 593,468 | 13.3 | 19.8 | % | 19.1 | % | |||||||||||||||
Money market accounts | 9,305,923 | 9,121,283 | 8,348,509 | 184,640 | 2.0 | 8.1 | % | 957,414 | 11.5 | 36.4 | % | 36.2 | % | |||||||||||||||
Savings accounts | 703,862 | 683,366 | 770,754 | 20,496 | 3.0 | 12.1 | % | (66,892 | ) | (8.7 | ) | 2.8 | % | 2.7 | % | |||||||||||||
Time deposits | 3,841,117 | 4,273,642 | 4,071,220 | (432,525 | ) | (10.1 | ) | (40.7 | )% | (230,103 | ) | (5.7 | ) | 15.0 | % | 16.9 | % | |||||||||||
Total deposits | $ | 25,526,237 | $ | 25,219,349 | $ | 24,092,062 | 306,888 | 1.2 | 4.9 | % | 1,434,175 | 6.0 | 100.0 | % | 100.0 | % |
• | Bank of America Merrill Lynch |
• | Janney Montgomery Scott, LLC |
• | Hovde Group, LLC |
• | Jefferies & Co., Inc. |
• | Keefe, Bruyette & Woods, Inc. |
• | Raymond James & Associates, Inc. |
• | Piper Sandler |
• | Stephens, Inc. |
• | SunTrust Robinson-Humphrey |
Table 1 - IBERIABANK CORPORATION | |||||||||||||||||||||
FINANCIAL HIGHLIGHTS | |||||||||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||||||||
As of and For the Three Months Ended | |||||||||||||||||||||
INCOME DATA: | 3/31/2020 | 12/31/2019 | % Change | 3/31/2019 | % Change | ||||||||||||||||
Net interest income | $ | 230,342 | $ | 234,490 | (1.8 | ) | $ | 250,484 | (8.0 | ) | |||||||||||
Net interest income (TE) (1) | 231,653 | 235,858 | (1.8 | ) | 251,833 | (8.0 | ) | ||||||||||||||
Total revenues | 294,998 | 293,842 | 0.4 | 302,993 | (2.6 | ) | |||||||||||||||
Provision for expected credit losses | 68,971 | 8,153 | 746.0 | 13,763 | 401.1 | ||||||||||||||||
Non-interest expense | 177,427 | 181,723 | (2.4 | ) | 158,753 | 11.8 | |||||||||||||||
Net income available to common shareholders | 32,827 | 78,120 | (58.0 | ) | 96,533 | (66.0 | ) | ||||||||||||||
PER COMMON SHARE DATA: | |||||||||||||||||||||
Earnings available to common shareholders - basic | $ | 0.62 | $ | 1.49 | (58.4 | ) | $ | 1.76 | (64.8 | ) | |||||||||||
Earnings available to common shareholders - diluted | 0.62 | 1.48 | (58.1 | ) | 1.75 | (64.6 | ) | ||||||||||||||
Core earnings (Non-GAAP) (2) | 0.67 | 1.59 | (57.9 | ) | 1.72 | (61.0 | ) | ||||||||||||||
Book value | 78.27 | 78.37 | (0.1 | ) | 73.50 | 6.5 | |||||||||||||||
Tangible book value (Non-GAAP) (2) (3) | 53.70 | 53.63 | 0.1 | 49.48 | 8.5 | ||||||||||||||||
Closing stock price | 36.16 | 74.83 | (51.7 | ) | 71.71 | (49.6 | ) | ||||||||||||||
Cash dividends | 0.47 | 0.45 | 4.4 | 0.43 | 9.3 | ||||||||||||||||
KEY RATIOS AND OTHER DATA (6): | |||||||||||||||||||||
Net interest margin (TE) (1) | 3.17 | % | 3.21 | % | 3.59 | % | |||||||||||||||
Efficiency ratio | 60.1 | 61.8 | 52.4 | ||||||||||||||||||
Core tangible efficiency ratio (TE) (Non-GAAP) (1) (2) (3) | 57.4 | 56.2 | 51.3 | ||||||||||||||||||
Return on average assets | 0.46 | 1.03 | 1.32 | ||||||||||||||||||
Return on average common equity | 3.21 | 7.58 | 9.85 | ||||||||||||||||||
Core return on average tangible common equity (Non-GAAP) (2)(3) | 5.53 | 12.39 | 15.03 | ||||||||||||||||||
Effective tax rate | 25.1 | 20.6 | 23.3 | ||||||||||||||||||
Full-time equivalent employees | 3,399 | 3,401 | 3,384 | ||||||||||||||||||
CAPITAL RATIOS: | |||||||||||||||||||||
Tangible common equity ratio (Non-GAAP) (2) (3) | 9.13 | % | 9.24 | % | 9.01 | % | |||||||||||||||
Tangible common equity to risk-weighted assets (3) | 10.44 | 10.59 | 10.60 | ||||||||||||||||||
Tier 1 leverage ratio (4) | 9.93 | 9.90 | 9.67 | ||||||||||||||||||
Common equity Tier 1 (CET 1) ratio (4) | 10.43 | 10.52 | 10.73 | ||||||||||||||||||
Tier 1 capital ratio (4) | 11.28 | 11.38 | 11.25 | ||||||||||||||||||
Total risk-based capital ratio (4) | 12.48 | 12.43 | 12.33 | ||||||||||||||||||
Common stock dividend payout ratio | 75.3 | 30.2 | 24.3 | ||||||||||||||||||
Classified assets to Tier 1 capital (7) | 9.9 | 8.8 | 11.2 | ||||||||||||||||||
ASSET QUALITY RATIOS: | |||||||||||||||||||||
Non-performing assets to total assets (5) | 0.60 | % | 0.54 | % | 0.58 | % | |||||||||||||||
Allowance for expected credit losses to total loans and leases | 1.17 | 0.61 | 0.62 | ||||||||||||||||||
Net charge-offs to average loans (annualized) | 0.16 | 0.11 | 0.13 | ||||||||||||||||||
Non-performing assets to total loans and OREO (5) | 0.79 | 0.71 | 0.79 | ||||||||||||||||||
(1) | Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 21%. | ||||||||||||||||||||
(2) | See Table 7 and Table 8 for GAAP to Non-GAAP reconciliations. | ||||||||||||||||||||
(3) | Tangible calculations eliminate the effect of goodwill and acquisition-related intangible assets and the corresponding amortization expense on a tax-effected basis where applicable. | ||||||||||||||||||||
(4) | Regulatory capital ratios as of March 31, 2020 are preliminary. | ||||||||||||||||||||
(5) | Non-performing assets consist of non-accruing loans, accruing loans 90 days or more past due and other real estate owned, including repossessed assets. The Company's adoption of CECL on January 1, 2020 resulted in a change in the accounting for purchased credit impaired loans, which are considered purchased credit deteriorated (PCD) loans under CECL. Prior to January 1, 2020, past due and non-accrual loan amounts excluded purchased credit impaired loans, even if contractually past due or if the Company did not expect to receive payment in full, as the Company was accreting interest income over the expected life of the loans. For the three months ended March 31, 2020, NPAs included $16.4 million in PCD loans, of which $14.7 million were non-accrual, and loans 30-89 days past due included $4.0 million in PCD loans. | ||||||||||||||||||||
(6) | All ratios are calculated on an annualized basis for the periods indicated. | ||||||||||||||||||||
(7) | Classified assets include loans rated substandard or worse, non-performing mortgage and consumer loans, and OREO and foreclosed property and include PCD loans. |
Table 2 - IBERIABANK CORPORATION | |||||||||||||||||||||||||||||
CONDENSED CONSOLIDATED INCOME STATEMENTS | |||||||||||||||||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||||||
Linked Qtr Change | Year/Year Change | ||||||||||||||||||||||||||||
3/31/2020 | 12/31/2019 | $ | % | 9/30/2019 | 6/30/2019 | 3/31/2019 | $ | % | |||||||||||||||||||||
Interest income | $ | 302,929 | $ | 314,779 | (11,850 | ) | (3.8 | ) | $ | 333,178 | $ | 335,967 | $ | 326,084 | (23,155 | ) | (7.1 | ) | |||||||||||
Interest expense | 72,587 | 80,289 | (7,702 | ) | (9.6 | ) | 83,845 | 80,628 | 75,600 | (3,013 | ) | (4.0 | ) | ||||||||||||||||
Net interest income | 230,342 | 234,490 | (4,148 | ) | (1.8 | ) | 249,333 | 255,339 | 250,484 | (20,142 | ) | (8.0 | ) | ||||||||||||||||
Provision for expected credit losses | 68,971 | 8,153 | 60,818 | 746.0 | 8,986 | 10,755 | 13,763 | 55,208 | 401.1 | ||||||||||||||||||||
Net interest income after provision for expected credit losses | 161,371 | 226,337 | (64,966 | ) | (28.7 | ) | 240,347 | 244,584 | 236,721 | (75,350 | ) | (31.8 | ) | ||||||||||||||||
Mortgage income | 23,245 | 15,305 | 7,940 | 51.9 | 17,432 | 18,444 | 11,849 | 11,396 | 96.2 | ||||||||||||||||||||
Service charges on deposit accounts | 12,525 | 12,970 | (445 | ) | (3.4 | ) | 13,209 | 12,847 | 12,810 | (285 | ) | (2.2 | ) | ||||||||||||||||
Title revenue | 5,936 | 6,638 | (702 | ) | (10.6 | ) | 7,170 | 6,895 | 5,225 | 711 | 13.6 | ||||||||||||||||||
Broker commissions | 2,127 | 2,483 | (356 | ) | (14.3 | ) | 1,800 | 2,044 | 1,953 | 174 | 8.9 | ||||||||||||||||||
ATM/debit card fee income | 2,838 | 3,309 | (471 | ) | (14.2 | ) | 2,948 | 3,032 | 2,582 | 256 | 9.9 | ||||||||||||||||||
Income from bank owned life insurance | 1,822 | 1,887 | (65 | ) | (3.4 | ) | 1,760 | 1,750 | 1,797 | 25 | 1.4 | ||||||||||||||||||
Gain (loss) on sale of available-for-sale securities | — | 8 | (8 | ) | (100.0 | ) | 27 | (1,014 | ) | — | — | — | |||||||||||||||||
Trust department income | 4,226 | 4,222 | 4 | 0.1 | 4,281 | 4,388 | 4,167 | 59 | 1.4 | ||||||||||||||||||||
Other non-interest income | 11,937 | 12,530 | (593 | ) | (4.7 | ) | 15,047 | 10,439 | 12,126 | (189 | ) | (1.6 | ) | ||||||||||||||||
Total non-interest income | 64,656 | 59,352 | 5,304 | 8.9 | 63,674 | 58,825 | 52,509 | 12,147 | 23.1 | ||||||||||||||||||||
Salaries and employee benefits | 102,545 | 106,941 | (4,396 | ) | (4.1 | ) | 103,257 | 103,375 | 98,296 | 4,249 | 4.3 | ||||||||||||||||||
Occupancy and equipment | 19,984 | 20,894 | (910 | ) | (4.4 | ) | 21,316 | 18,999 | 18,564 | 1,420 | 7.6 | ||||||||||||||||||
Amortization of acquisition intangibles | 4,187 | 4,259 | (72 | ) | (1.7 | ) | 4,410 | 4,786 | 5,009 | (822 | ) | (16.4 | ) | ||||||||||||||||
Computer services expense | 10,167 | 9,930 | 237 | 2.4 | 9,638 | 9,383 | 9,157 | 1,010 | 11.0 | ||||||||||||||||||||
Professional services | 5,322 | 16,267 | (10,945 | ) | (67.3 | ) | 6,323 | 6,244 | 4,450 | 872 | 19.6 | ||||||||||||||||||
Credit and other loan-related expense | 3,643 | 2,916 | 727 | 24.9 | 4,532 | 4,141 | 2,859 | 784 | 27.4 | ||||||||||||||||||||
Other non-interest expense | 31,579 | 20,516 | 11,063 | 53.9 | 23,186 | 22,690 | 20,418 | 11,161 | 54.7 | ||||||||||||||||||||
Total non-interest expense | 177,427 | 181,723 | (4,296 | ) | (2.4 | ) | 172,662 | 169,618 | 158,753 | 18,674 | 11.8 | ||||||||||||||||||
Income before income taxes | 48,600 | 103,966 | (55,366 | ) | (53.3 | ) | 131,359 | 133,791 | 130,477 | (81,877 | ) | (62.8 | ) | ||||||||||||||||
Income tax expense | 12,175 | 21,390 | (9,215 | ) | (43.1 | ) | 31,509 | 32,193 | 30,346 | (18,171 | ) | (59.9 | ) | ||||||||||||||||
Net income | 36,425 | 82,576 | (46,151 | ) | (55.9 | ) | 99,850 | 101,598 | 100,131 | (63,706 | ) | (63.6 | ) | ||||||||||||||||
Less: Preferred stock dividends | 3,598 | 4,456 | (858 | ) | (19.3 | ) | 3,599 | 949 | 3,598 | — | — | ||||||||||||||||||
Net income available to common shareholders | $ | 32,827 | $ | 78,120 | (45,293 | ) | (58.0 | ) | $ | 96,251 | $ | 100,649 | $ | 96,533 | (63,706 | ) | (66.0 | ) | |||||||||||
Income available to common shareholders - basic | $ | 32,827 | $ | 78,120 | (45,293 | ) | (58.0 | ) | $ | 96,251 | $ | 100,649 | $ | 96,533 | (63,706 | ) | (66.0 | ) | |||||||||||
Less: Earnings allocated to unvested restricted stock | 367 | 752 | (385 | ) | (51.2 | ) | 874 | 999 | 933 | (566 | ) | (60.7 | ) | ||||||||||||||||
Earnings allocated to common shareholders | $ | 32,460 | $ | 77,368 | (44,908 | ) | (58.0 | ) | $ | 95,377 | $ | 99,650 | $ | 95,600 | (63,140 | ) | (66.0 | ) | |||||||||||
Earnings per common share - basic | $ | 0.62 | $ | 1.49 | (0.87 | ) | (58.4 | ) | $ | 1.83 | $ | 1.87 | $ | 1.76 | (1.14 | ) | (64.8 | ) | |||||||||||
Earnings per common share - diluted | 0.62 | 1.48 | (0.86 | ) | (58.1 | ) | 1.82 | 1.86 | 1.75 | (1.13 | ) | (64.6 | ) | ||||||||||||||||
Impact of non-core items (Non-GAAP) (1) | 0.05 | 0.11 | (0.06 | ) | 100.0 | — | 0.01 | (0.03 | ) | 0.08 | 266.7 | ||||||||||||||||||
Earnings per share - diluted, excluding non-core items (Non-GAAP)(1) | $ | 0.67 | $ | 1.59 | (0.92 | ) | (57.9 | ) | $ | 1.82 | $ | 1.87 | $ | 1.72 | (1.05 | ) | (61.0 | ) | |||||||||||
NUMBER OF COMMON SHARES OUTSTANDING (in thousands) | |||||||||||||||||||||||||||||
Weighted average common shares outstanding - basic | 51,979 | 51,835 | 144 | 0.3 | 51,984 | 53,345 | 54,177 | (2,198 | ) | (4.1 | ) | ||||||||||||||||||
Weighted average common shares outstanding - diluted | 52,196 | 52,142 | 54 | 0.1 | 52,292 | 53,674 | 54,539 | (2,343 | ) | (4.3 | ) | ||||||||||||||||||
Book value shares (period end) | 52,618 | 52,420 | 198 | 0.4 | 52,266 | 52,805 | 54,551 | (1,933 | ) | (3.5 | ) | ||||||||||||||||||
(1) See Table 7 and Table 8 for GAAP to Non-GAAP reconciliations. | |||||||||||||||||||||||||||||
TABLE 3 - IBERIABANK CORPORATION | |||||||||||||||||||||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||||||
PERIOD-END BALANCES | Linked Qtr Change | Year/Year Change | |||||||||||||||||||||||||||||
ASSETS | 3/31/2020 | 12/31/2019 | $ | % | 9/30/2019 | 6/30/2019 | 3/31/2019 | $ | % | ||||||||||||||||||||||
Cash and due from banks | $ | 279,388 | $ | 289,794 | (10,406 | ) | (3.6 | ) | $ | 353,346 | $ | 289,502 | $ | 280,680 | (1,292 | ) | (0.5 | ) | |||||||||||||
Interest-bearing deposits in other banks | 665,674 | 604,929 | 60,745 | 10.0 | 577,587 | 499,813 | 391,217 | 274,457 | 70.2 | ||||||||||||||||||||||
Total cash and cash equivalents | 945,062 | 894,723 | 50,339 | 5.6 | 930,933 | 789,315 | 671,897 | 273,165 | 40.7 | ||||||||||||||||||||||
Investment securities available for sale | 3,914,960 | 3,933,360 | (18,400 | ) | (0.5 | ) | 4,238,082 | 4,455,308 | 4,873,778 | (958,818 | ) | (19.7 | ) | ||||||||||||||||||
Investment securities held to maturity | 177,960 | 182,961 | (5,001 | ) | (2.7 | ) | 185,007 | 192,917 | 198,958 | (20,998 | ) | (10.6 | ) | ||||||||||||||||||
Total investment securities | 4,092,920 | 4,116,321 | (23,401 | ) | (0.6 | ) | 4,423,089 | 4,648,225 | 5,072,736 | (979,816 | ) | (19.3 | ) | ||||||||||||||||||
Mortgage loans held for sale | 207,845 | 213,357 | (5,512 | ) | (2.6 | ) | 255,276 | 187,987 | 128,451 | 79,394 | 61.8 | ||||||||||||||||||||
Loans and leases, net of unearned income | 24,541,632 | 24,021,499 | 520,133 | 2.2 | 23,676,537 | 23,355,311 | 22,968,295 | 1,573,337 | 6.9 | ||||||||||||||||||||||
Allowance for loan and lease losses | (286,685 | ) | (146,588 | ) | 140,097 | 95.6 | (146,235 | ) | (146,386 | ) | (142,966 | ) | 143,719 | 100.5 | |||||||||||||||||
Loans and leases, net | 24,254,947 | 23,874,911 | 380,036 | 1.6 | 23,530,302 | 23,208,925 | 22,825,329 | 1,429,618 | 6.3 | ||||||||||||||||||||||
Premises and equipment, net | 297,551 | 296,688 | 863 | 0.3 | 298,309 | 295,897 | 297,342 | 209 | 0.1 | ||||||||||||||||||||||
Goodwill and other intangible assets | 1,307,673 | 1,312,701 | (5,028 | ) | (0.4 | ) | 1,314,676 | 1,317,151 | 1,319,992 | (12,319 | ) | (0.9 | ) | ||||||||||||||||||
Other assets | 1,133,985 | 1,004,749 | 129,236 | 12.9 | 982,013 | 999,032 | 944,442 | 189,543 | 20.1 | ||||||||||||||||||||||
Total assets | $ | 32,239,983 | $ | 31,713,450 | 526,533 | 1.7 | $ | 31,734,598 | $ | 31,446,532 | $ | 31,260,189 | 979,794 | 3.1 | |||||||||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||||||||||||||||
Non-interest-bearing deposits | $ | 6,628,901 | $ | 6,319,806 | 309,095 | 4.9 | $ | 6,518,783 | $ | 6,474,394 | $ | 6,448,613 | 180,288 | 2.8 | |||||||||||||||||
Interest-bearing demand deposits | 5,046,434 | 4,821,252 | 225,182 | 4.7 | 4,503,353 | 4,610,577 | 4,452,966 | 593,468 | 13.3 | ||||||||||||||||||||||
Savings and money market accounts | 10,009,785 | 9,804,649 | 205,136 | 2.1 | 9,325,761 | 8,895,463 | 9,119,263 | 890,522 | 9.8 | ||||||||||||||||||||||
Time deposits | 3,841,117 | 4,273,642 | (432,525 | ) | (10.1 | ) | 4,629,388 | 4,314,897 | 4,071,220 | (230,103 | ) | (5.7 | ) | ||||||||||||||||||
Total deposits | 25,526,237 | 25,219,349 | 306,888 | 1.2 | 24,977,285 | 24,295,331 | 24,092,062 | 1,434,175 | 6.0 | ||||||||||||||||||||||
Short-term borrowings | 218,000 | — | 218,000 | 100.0 | 275,000 | 813,000 | 845,000 | (627,000 | ) | (74.2 | ) | ||||||||||||||||||||
Securities sold under agreements to repurchase | 172,747 | 204,208 | (31,461 | ) | (15.4 | ) | 223,049 | 184,507 | 261,131 | (88,384 | ) | (33.8 | ) | ||||||||||||||||||
Trust preferred securities | 120,110 | 120,110 | — | — | 120,110 | 120,110 | 120,110 | — | — | ||||||||||||||||||||||
Other long-term debt | 1,168,062 | 1,223,577 | (55,515 | ) | (4.5 | ) | 1,274,092 | 1,254,649 | 1,355,345 | (187,283 | ) | (13.8 | ) | ||||||||||||||||||
Other liabilities | 687,720 | 609,472 | 78,248 | 12.8 | 581,762 | 540,935 | 444,710 | 243,010 | 54.6 | ||||||||||||||||||||||
Total liabilities | 27,892,876 | 27,376,716 | 516,160 | 1.9 | 27,451,298 | 27,208,532 | 27,118,358 | 774,518 | 2.9 | ||||||||||||||||||||||
Total shareholders' equity | 4,347,107 | 4,336,734 | 10,373 | 0.2 | 4,283,300 | 4,238,000 | 4,141,831 | 205,276 | 5.0 | ||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 32,239,983 | $ | 31,713,450 | 526,533 | 1.7 | $ | 31,734,598 | $ | 31,446,532 | $ | 31,260,189 | 979,794 | 3.1 |
TABLE 3 Continued - IBERIABANK CORPORATION | |||||||||||||||||||||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||||||
AVERAGE BALANCES | Linked Qtr Change | Year/Year Change | |||||||||||||||||||||||||||||
ASSETS | 3/31/2020 | 12/31/2019 | $ | % | 9/30/2019 | 6/30/2019 | 3/31/2019 | $ | % | ||||||||||||||||||||||
Cash and due from banks | $ | 304,733 | $ | 294,487 | 10,246 | 3.5 | $ | 272,273 | $ | 275,917 | $ | 291,659 | 13,074 | 4.5 | |||||||||||||||||
Interest-bearing deposits in other banks | 796,980 | 756,223 | 40,757 | 5.4 | 531,665 | 436,948 | 332,638 | 464,342 | 139.6 | ||||||||||||||||||||||
Total cash and cash equivalents | 1,101,713 | 1,050,710 | 51,003 | 4.9 | 803,938 | 712,865 | 624,297 | 477,416 | 76.5 | ||||||||||||||||||||||
Investment securities available for sale | 3,949,555 | 4,095,950 | (146,395 | ) | (3.6 | ) | 4,365,558 | 4,650,757 | 4,816,855 | (867,300 | ) | (18.0 | ) | ||||||||||||||||||
Investment securities held to maturity | 180,689 | 184,272 | (3,583 | ) | (1.9 | ) | 189,400 | 195,639 | 202,601 | (21,912 | ) | (10.8 | ) | ||||||||||||||||||
Total investment securities | 4,130,244 | 4,280,222 | (149,978 | ) | (3.5 | ) | 4,554,958 | 4,846,396 | 5,019,456 | (889,212 | ) | (17.7 | ) | ||||||||||||||||||
Mortgage loans held for sale | 189,597 | 239,346 | (49,749 | ) | (20.8 | ) | 209,778 | 159,931 | 95,588 | 94,009 | 98.3 | ||||||||||||||||||||
Loans and leases, net of unearned income | 24,153,182 | 23,830,962 | 322,220 | 1.4 | 23,522,892 | 23,120,689 | 22,599,686 | 1,553,496 | 6.9 | ||||||||||||||||||||||
Allowance for loan and lease losses | (231,914 | ) | (147,641 | ) | (84,273 | ) | 57.1 | (148,203 | ) | (145,854 | ) | (140,915 | ) | (90,999 | ) | 64.6 | |||||||||||||||
Loans and leases, net | 23,921,268 | 23,683,321 | 237,947 | 1.0 | 23,374,689 | 22,974,835 | 22,458,771 | 1,462,497 | 6.5 | ||||||||||||||||||||||
Premises and equipment, net | 299,096 | 299,607 | (511 | ) | (0.2 | ) | 298,055 | 298,119 | 299,741 | (645 | ) | (0.2 | ) | ||||||||||||||||||
Goodwill and other intangible assets | 1,310,237 | 1,313,169 | (2,932 | ) | (0.2 | ) | 1,315,359 | 1,318,182 | 1,322,288 | (12,051 | ) | (0.9 | ) | ||||||||||||||||||
Other assets | 1,033,984 | 971,873 | 62,111 | 6.4 | 997,514 | 961,494 | 1,013,359 | 20,625 | 2.0 | ||||||||||||||||||||||
Total assets | $ | 31,986,139 | $ | 31,838,248 | 147,891 | 0.5 | $ | 31,554,291 | $ | 31,271,822 | $ | 30,833,500 | 1,152,639 | 3.7 | |||||||||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||||||||||||||||
Non-interest-bearing deposits | $ | 6,540,532 | $ | 6,501,529 | 39,003 | 0.6 | $ | 6,425,026 | $ | 6,442,217 | $ | 6,271,313 | 269,219 | 4.3 | |||||||||||||||||
Interest-bearing demand deposits | 4,834,171 | 4,526,694 | 307,477 | 6.8 | 4,451,579 | 4,488,691 | 4,458,634 | 375,537 | 8.4 | ||||||||||||||||||||||
Savings and money market accounts | 9,930,353 | 9,708,541 | 221,812 | 2.3 | 9,188,186 | 9,014,822 | 9,089,099 | 841,254 | 9.3 | ||||||||||||||||||||||
Time deposits | 4,149,574 | 4,490,698 | (341,124 | ) | (7.6 | ) | 4,523,555 | 4,156,974 | 3,859,354 | 290,220 | 7.5 | ||||||||||||||||||||
Total deposits | 25,454,630 | 25,227,462 | 227,168 | 0.9 | 24,588,346 | 24,102,704 | 23,678,400 | 1,776,230 | 7.5 | ||||||||||||||||||||||
Short-term borrowings | 19,626 | 118,557 | (98,931 | ) | (83.4 | ) | 606,739 | 782,516 | 859,576 | (839,950 | ) | (97.7 | ) | ||||||||||||||||||
Securities sold under agreements to repurchase | 207,039 | 207,478 | (439 | ) | (0.2 | ) | 187,305 | 214,090 | 291,643 | (84,604 | ) | (29.0 | ) | ||||||||||||||||||
Trust preferred securities | 120,110 | 120,110 | — | — | 120,110 | 120,110 | 120,110 | — | — | ||||||||||||||||||||||
Other long-term debt | 1,221,833 | 1,265,077 | (43,244 | ) | (3.4 | ) | 1,240,382 | 1,345,575 | 1,343,752 | (121,919 | ) | (9.1 | ) | ||||||||||||||||||
Other liabilities | 623,868 | 582,643 | 41,225 | 7.1 | 545,838 | 463,803 | 434,516 | 189,352 | 43.6 | ||||||||||||||||||||||
Total liabilities | 27,647,106 | 27,521,327 | 125,779 | 0.5 | 27,288,720 | 27,028,798 | 26,727,997 | 919,109 | 3.4 | ||||||||||||||||||||||
Total shareholders' equity | 4,339,033 | 4,316,921 | 22,112 | 0.5 | 4,265,571 | 4,243,024 | 4,105,503 | 233,530 | 5.7 | ||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 31,986,139 | $ | 31,838,248 | 147,891 | 0.5 | $ | 31,554,291 | $ | 31,271,822 | $ | 30,833,500 | 1,152,639 | 3.7 |
Table 4 - IBERIABANK CORPORATION | |||||||||||||||||||||||||||||||
LOANS AND ASSET QUALITY DATA | |||||||||||||||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||||||||||||
Linked Qtr Change | Year/Year Change | ||||||||||||||||||||||||||||||
LOANS | 3/31/2020 | 12/31/2019 | $ | % | 9/30/2019 | 6/30/2019 | 3/31/2019 | $ | % | ||||||||||||||||||||||
Commercial loans and leases: | |||||||||||||||||||||||||||||||
Real estate- construction | $ | 1,322,627 | $ | 1,321,663 | 964 | 0.1 | $ | 1,330,014 | $ | 1,342,984 | $ | 1,219,647 | 102,980 | 8.4 | |||||||||||||||||
Real estate- owner-occupied (1) | 2,424,139 | 2,475,326 | (51,187 | ) | (2.1 | ) | 2,468,061 | 2,373,143 | 2,408,079 | 16,060 | 0.7 | ||||||||||||||||||||
Real estate- non-owner occupied | 6,484,257 | 6,267,106 | 217,151 | 3.5 | 6,011,681 | 6,102,143 | 6,147,864 | 336,393 | 5.5 | ||||||||||||||||||||||
Commercial and industrial (6) | 6,909,841 | 6,547,538 | 362,303 | 5.5 | 6,490,125 | 6,161,759 | 5,852,568 | 1,057,273 | 18.1 | ||||||||||||||||||||||
Total commercial loans and leases | 17,140,864 | 16,611,633 | 529,231 | 3.2 | 16,299,881 | 15,980,029 | 15,628,158 | 1,512,706 | 9.7 | ||||||||||||||||||||||
Residential mortgage loans | 4,849,119 | 4,739,075 | 110,044 | 2.3 | 4,649,745 | 4,538,194 | 4,415,267 | 433,852 | 9.8 | ||||||||||||||||||||||
Consumer and other loans: | |||||||||||||||||||||||||||||||
Home equity | 1,926,753 | 1,987,336 | (60,583 | ) | (3.0 | ) | 2,053,588 | 2,147,897 | 2,220,648 | (293,895 | ) | (13.2 | ) | ||||||||||||||||||
Other | 624,896 | 683,455 | (58,559 | ) | (8.6 | ) | 673,323 | 689,191 | 704,222 | (79,326 | ) | (11.3 | ) | ||||||||||||||||||
Total consumer and other loans | 2,551,649 | 2,670,791 | (119,142 | ) | (4.5 | ) | 2,726,911 | 2,837,088 | 2,924,870 | (373,221 | ) | (12.8 | ) | ||||||||||||||||||
Total loans and leases | $ | 24,541,632 | $ | 24,021,499 | 520,133 | 2.2 | $ | 23,676,537 | $ | 23,355,311 | $ | 22,968,295 | 1,573,337 | 6.9 | |||||||||||||||||
Allowance for loan and lease losses | $ | (286,685 | ) | $ | (146,588 | ) | 140,097 | 95.6 | $ | (146,235 | ) | $ | (146,386 | ) | $ | (142,966 | ) | 143,719 | 100.5 | ||||||||||||
Loans and leases, net | 24,254,947 | 23,874,911 | 380,036 | 1.6 | 23,530,302 | 23,208,925 | 22,825,329 | 1,429,618 | 6.3 | ||||||||||||||||||||||
Reserve for unfunded commitments | (18,302 | ) | (16,637 | ) | 1,665 | 10.0 | (16,144 | ) | (15,281 | ) | (15,981 | ) | 2,321 | 14.5 | |||||||||||||||||
Allowance for expected credit losses (2) | (304,987 | ) | (163,225 | ) | 141,762 | 86.9 | (162,379 | ) | (161,667 | ) | (158,947 | ) | 146,040 | 91.9 | |||||||||||||||||
ASSET QUALITY DATA | |||||||||||||||||||||||||||||||
Non-accrual loans (3) | $ | 166,563 | $ | 138,905 | 27,658 | 19.9 | $ | 153,113 | $ | 158,992 | $ | 148,056 | 18,507 | 12.5 | |||||||||||||||||
Other real estate owned and foreclosed assets | 15,893 | 27,985 | (12,092 | ) | (43.2 | ) | 27,075 | 28,106 | 30,606 | (14,713 | ) | (48.1 | ) | ||||||||||||||||||
Accruing loans more than 90 days past due (3) | 10,963 | 3,257 | 7,706 | 236.6 | 4,790 | 851 | 4,111 | 6,852 | 166.7 | ||||||||||||||||||||||
Total non-performing assets (3)(4) | $ | 193,419 | $ | 170,147 | 23,272 | 13.7 | $ | 184,978 | $ | 187,949 | $ | 182,773 | 10,646 | 5.8 | |||||||||||||||||
Loans 30-89 days past due (3) | $ | 80,702 | $ | 68,204 | 12,498 | 18.3 | $ | 54,618 | $ | 43,021 | $ | 45,334 | 35,368 | 78.0 | |||||||||||||||||
Non-performing assets to total assets (3)(4) | 0.60 | % | 0.54 | % | 0.58 | % | 0.60 | % | 0.58 | % | |||||||||||||||||||||
Non-performing assets to total loans and OREO (3)(4) | 0.79 | 0.71 | 0.78 | 0.80 | 0.79 | ||||||||||||||||||||||||||
ALLL to non-performing loans (3)(5) | 161.5 | 103.1 | 92.6 | 91.6 | 94.0 | ||||||||||||||||||||||||||
ALLL to non-performing assets (3)(4) | 148.2 | 86.2 | 79.1 | 77.9 | 78.2 | ||||||||||||||||||||||||||
ALLL to total loans and leases | 1.17 | 0.61 | 0.62 | 0.63 | 0.62 | ||||||||||||||||||||||||||
Quarter-to-date charge-offs | $ | 12,119 | $ | 8,398 | 3,721 | 44.3 | $ | 10,777 | $ | 10,275 | $ | 8,918 | 3,201 | 35.9 | |||||||||||||||||
Quarter-to-date recoveries | (2,591 | ) | (1,683 | ) | 908 | 54.0 | (2,336 | ) | (2,218 | ) | (1,586 | ) | 1,005 | 63.4 | |||||||||||||||||
Quarter-to-date net charge-offs | $ | 9,528 | $ | 6,715 | 2,813 | 41.9 | $ | 8,441 | $ | 8,057 | $ | 7,332 | 2,196 | 30.0 | |||||||||||||||||
Net charge-offs to average loans (annualized) | 0.16 | % | 0.11 | % | 0.14 | % | 0.14 | % | 0.13 | % | |||||||||||||||||||||
(1) Real estate- owner-occupied is defined as loans with a "1E1" call report code (loans secured by owner-occupied non-farm non-residential properties). | |||||||||||||||||||||||||||||||
(2) Effective January 1, 2020, the Company adopted the CECL accounting guidance, which resulted in an $82.3 million increase in the allowance upon adoption. | |||||||||||||||||||||||||||||||
(3) Amounts are not comparative due to the Company's adoption of CECL on January 1, 2020. The adoption resulted in a change in the accounting for purchased credit impaired loans, which are considered purchased credit deteriorated (PCD) loans under CECL. Prior to January 1, 2020, past due and non-accrual loan amounts excluded purchased credit impaired loans, even if contractually past due or if the Company did not expect to receive payment in full, as the Company was accreting interest income over the expected life of the loans. For the three months ended March 31, 2020, NPAs included $16.4 million in PCD loans, of which $14.7 million were non-accrual, and loans 30-89 days past due included $4.0 million in PCD loans. | |||||||||||||||||||||||||||||||
(4) Non-performing assets consist of non-accruing loans, accruing loans 90 days or more past due and other real estate owned, including repossessed assets. | |||||||||||||||||||||||||||||||
(5) Non-performing loans consist of non-accruing loans and accruing loans 90 days or more past due. | |||||||||||||||||||||||||||||||
(6) Includes equipment financing leases. |
TABLE 5 - IBERIABANK CORPORATION | |||||||||||||||||||
QUARTERLY AVERAGE BALANCES, NET INTEREST INCOME AND YIELDS/RATES | |||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||
3/31/2020 | 12/31/2019 | Basis Point Change | |||||||||||||||||
ASSETS | Average Balance | Interest Income/Expense | Yield/Rate (TE)(1) | Average Balance | Interest Income/Expense | Yield/Rate (TE)(1) | Yield/Rate (TE)(1) | ||||||||||||
Earning assets: | |||||||||||||||||||
Commercial loans and leases | $ | 16,791,766 | $ | 188,063 | 4.52 | % | $ | 16,441,658 | $ | 195,487 | 4.74 | % | (22) | ||||||
Residential mortgage loans | 4,800,131 | 50,457 | 4.20 | 4,706,745 | 50,879 | 4.32 | (12) | ||||||||||||
Consumer and other loans | 2,561,285 | 33,226 | 5.22 | 2,682,559 | 36,198 | 5.35 | (13) | ||||||||||||
Total loans and leases | 24,153,182 | 271,746 | 4.53 | 23,830,962 | 282,564 | 4.73 | (20) | ||||||||||||
Mortgage loans held for sale | 189,597 | 1,678 | 3.54 | 239,346 | 2,132 | 3.56 | (2) | ||||||||||||
Investment securities (2) | 4,035,469 | 25,403 | 2.56 | 4,218,720 | 25,926 | 2.51 | 5 | ||||||||||||
Other earning assets | 960,762 | 4,102 | 1.72 | 937,076 | 4,157 | 1.76 | (4) | ||||||||||||
Total earning assets | 29,339,010 | 302,929 | 4.17 | 29,226,104 | 314,779 | 4.30 | (13) | ||||||||||||
Allowance for loan and lease losses | (231,914 | ) | (147,641) | ||||||||||||||||
Non-earning assets | 2,879,043 | 2,759,785 | |||||||||||||||||
Total assets | $ | 31,986,139 | $ | 31,838,248 | |||||||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||||
Interest-bearing liabilities: | |||||||||||||||||||
Interest-bearing demand deposits | $ | 4,834,171 | $ | 9,962 | 0.83 | % | $ | 4,526,694 | $ | 10,091 | 0.88 | % | (5) | ||||||
Savings and money market accounts | 9,930,353 | 31,244 | 1.27 | 9,708,541 | 34,422 | 1.41 | (14) | ||||||||||||
Time deposits | 4,149,574 | 22,470 | 2.18 | 4,490,698 | 25,860 | 2.28 | (10) | ||||||||||||
Total interest-bearing deposits (3) | 18,914,098 | 63,676 | 1.35 | 18,725,933 | 70,373 | 1.49 | (14) | ||||||||||||
Short-term borrowings | 226,665 | 266 | 0.47 | 326,035 | 946 | 1.15 | (68) | ||||||||||||
Long-term debt | 1,341,943 | 8,645 | 2.59 | 1,385,187 | 8,970 | 2.57 | 2 | ||||||||||||
Total interest-bearing liabilities | 20,482,706 | 72,587 | 1.43 | 20,437,155 | 80,289 | 1.56 | (13) | ||||||||||||
Non-interest-bearing deposits | 6,540,532 | 6,501,529 | |||||||||||||||||
Non-interest-bearing liabilities | 623,868 | 582,643 | |||||||||||||||||
Total liabilities | 27,647,106 | 27,521,327 | |||||||||||||||||
Total shareholders' equity | 4,339,033 | 4,316,921 | |||||||||||||||||
Total liabilities and shareholders' equity | $ | 31,986,139 | $ | 31,838,248 | |||||||||||||||
Net interest income/Net interest spread | $ | 230,342 | 2.74 | % | $ | 234,490 | 2.74 | % | — | ||||||||||
Taxable equivalent benefit | 1,311 | 0.02 | % | 1,368 | 0.02 | — | |||||||||||||
Net interest income (TE)/Net interest margin (TE) (1) | $ | 231,653 | 3.17 | % | $ | 235,858 | 3.21 | % | (4) | ||||||||||
(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 21%. | |||||||||||||||||||
(2) Balances exclude unrealized gain or loss on securities available for sale and the impact of trade date accounting. | |||||||||||||||||||
(3) Total deposit costs for the three months ended March 31, 2020 and December 31, 2019 were 1.01% and 1.11%, respectively. |
TABLE 5 Continued - IBERIABANK CORPORATION | ||||||||||||||||||||||||||
QUARTERLY AVERAGE BALANCES, NET INTEREST INCOME AND YIELDS/RATES | ||||||||||||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||||||||
For the Three Months Ended | ||||||||||||||||||||||||||
9/30/2019 | 6/30/2019 | 3/31/2019 | ||||||||||||||||||||||||
ASSETS | Average Balance | Interest Income/Expense | Yield/Rate (TE)(1) | Average Balance | Interest Income/Expense | Yield/Rate (TE)(1) | Average Balance | Interest Income/Expense | Yield/Rate (TE)(1) | |||||||||||||||||
Earning assets: | ||||||||||||||||||||||||||
Commercial loans and leases | $ | 16,155,962 | $ | 205,350 | 5.06 | % | $ | 15,766,423 | $ | 205,093 | 5.24 | % | $ | 15,253,655 | $ | 194,510 | 5.19 | % | ||||||||
Residential mortgage loans | 4,588,549 | 50,939 | 4.44 | 4,482,150 | 49,388 | 4.41 | 4,385,634 | 47,829 | 4.36 | |||||||||||||||||
Consumer and other loans | 2,778,381 | 40,501 | 5.78 | 2,872,116 | 42,205 | 5.89 | 2,960,397 | 42,540 | 5.83 | |||||||||||||||||
Total loans and leases | 23,522,892 | 296,790 | 5.03 | 23,120,689 | 296,686 | 5.16 | 22,599,686 | 284,879 | 5.11 | |||||||||||||||||
Mortgage loans held for sale | 209,778 | 1,936 | 3.69 | 159,931 | 1,588 | 3.97 | 95,588 | 1,054 | 4.41 | |||||||||||||||||
Investment securities (2) | 4,493,789 | 29,932 | 2.71 | 4,853,858 | 33,803 | 2.83 | 5,052,922 | 36,125 | 2.90 | |||||||||||||||||
Other earning assets | 733,305 | 4,520 | 2.44 | 639,232 | 3,890 | 2.44 | 533,745 | 4,026 | 3.06 | |||||||||||||||||
Total earning assets | 28,959,764 | 333,178 | 4.59 | 28,773,710 | 335,967 | 4.70 | 28,281,941 | 326,084 | 4.68 | |||||||||||||||||
Allowance for loan and lease losses | (148,203) | (145,854) | (140,915) | |||||||||||||||||||||||
Non-earning assets | 2,742,730 | 2,643,966 | 2,692,474 | |||||||||||||||||||||||
Total assets | $ | 31,554,291 | $ | 31,271,822 | $ | 30,833,500 | ||||||||||||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||||||||||||||
Interest-bearing liabilities: | ||||||||||||||||||||||||||
Interest-bearing demand deposits | $ | 4,451,579 | $ | 11,305 | 1.01 | % | $ | 4,488,691 | $ | 11,623 | 1.04 | % | $ | 4,458,634 | $ | 11,396 | 1.04 | % | ||||||||
Savings and money market accounts | 9,188,186 | 32,959 | 1.42 | 9,014,822 | 30,845 | 1.37 | 9,089,099 | 28,762 | 1.28 | |||||||||||||||||
Time deposits | 4,523,555 | 26,489 | 2.32 | 4,156,974 | 23,398 | 2.26 | 3,859,354 | 20,077 | 2.11 | |||||||||||||||||
Total interest-bearing deposits (3) | 18,163,320 | 70,753 | 1.55 | 17,660,487 | 65,866 | 1.50 | 17,407,087 | 60,235 | 1.40 | |||||||||||||||||
Short-term borrowings | 794,044 | 3,880 | 1.94 | 996,606 | 5,197 | 2.09 | 1,151,219 | 5,716 | 2.01 | |||||||||||||||||
Long-term debt | 1,360,492 | 9,212 | 2.69 | 1,465,685 | 9,565 | 2.62 | 1,463,862 | 9,649 | 2.67 | |||||||||||||||||
Total interest-bearing liabilities | 20,317,856 | 83,845 | 1.64 | 20,122,778 | 80,628 | 1.61 | 20,022,168 | 75,600 | 1.53 | |||||||||||||||||
Non-interest-bearing deposits | 6,425,026 | 6,442,217 | 6,271,313 | |||||||||||||||||||||||
Non-interest-bearing liabilities | 545,838 | 463,803 | 434,516 | |||||||||||||||||||||||
Total liabilities | 27,288,720 | 27,028,798 | 26,727,997 | |||||||||||||||||||||||
Total shareholders' equity | 4,265,571 | 4,243,024 | 4,105,503 | |||||||||||||||||||||||
Total liabilities and shareholders' equity | $ | 31,554,291 | $ | 31,271,822 | $ | 30,833,500 | ||||||||||||||||||||
Net interest income/Net interest spread | $ | 249,333 | 2.95 | % | $ | 255,339 | 3.09 | % | $ | 250,484 | 3.15 | % | ||||||||||||||
Taxable equivalent benefit | 1,320 | 0.02 | 1,338 | 0.02 | 1,349 | 0.02 | ||||||||||||||||||||
Net interest income (TE)/Net interest margin (TE) (1) | $ | 250,653 | 3.44 | % | $ | 256,677 | 3.57 | % | $ | 251,833 | 3.59 | % | ||||||||||||||
(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 21%. | ||||||||||||||||||||||||||
(2) Balances exclude unrealized gain or loss on securities available for sale and the impact of trade date accounting. | ||||||||||||||||||||||||||
(3) Total deposit costs for the three months ended September 30, 2019, June 30, 2019, and March 31, 2019 were 1.14%, 1.10% and 1.03%, respectively. |
Table 6 - IBERIABANK CORPORATION | ||||||||||||||||||||||||||||||||||||||||||||
LEGACY AND ACQUIRED LOAN PORTFOLIO VOLUMES AND YIELDS | ||||||||||||||||||||||||||||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||||||||||||||||||||||
For the Three Months Ended | ||||||||||||||||||||||||||||||||||||||||||||
3/31/2020 | 12/31/2019 | 9/30/2019 | 6/30/2019 | 3/31/2019 | ||||||||||||||||||||||||||||||||||||||||
AS REPORTED (US GAAP) | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | |||||||||||||||||||||||||||||
Legacy loans and leases, net | $ | 220 | $ | 19,936 | 4.43 | % | $ | 225 | $ | 19,374 | 4.60 | % | $ | 229 | $ | 18,721 | 4.86 | % | $ | 225 | $ | 17,984 | 5.00 | % | $ | 213 | $ | 17,192 | 5.02 | % | ||||||||||||||
Acquired loans | 52 | 4,217 | 4.94 | 58 | 4,457 | 5.18 | 68 | 4,802 | 5.62 | 72 | 5,137 | 5.64 | 72 | 5,408 | 5.35 | |||||||||||||||||||||||||||||
Total loans and leases | $ | 272 | $ | 24,153 | 4.52 | % | $ | 283 | $ | 23,831 | 4.71 | % | $ | 297 | $ | 23,523 | 5.01 | % | $ | 297 | $ | 23,121 | 5.14 | % | $ | 285 | $ | 22,600 | 5.10 | % | ||||||||||||||
3/31/2020 | 12/31/2019 | 9/30/2019 | 6/30/2019 | 3/31/2019 | ||||||||||||||||||||||||||||||||||||||||
ADJUSTMENTS | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | |||||||||||||||||||||||||||||
Legacy loans and leases, net | $ | — | $ | — | — | % | $ | — | $ | — | — | % | $ | — | $ | — | — | % | $ | — | $ | — | — | % | $ | — | $ | — | — | % | ||||||||||||||
Acquired loans | (8 | ) | 95 | (0.79 | ) | (9 | ) | 97 | (0.90 | ) | (14 | ) | 111 | (1.24 | ) | (14 | ) | 124 | (1.15 | ) | (11 | ) | 136 | (0.92 | ) | |||||||||||||||||||
Total loans and leases | $ | (8 | ) | $ | 95 | (0.14 | )% | $ | (9 | ) | $ | 97 | (0.17 | )% | $ | (14 | ) | $ | 111 | (0.25 | )% | $ | (14 | ) | $ | 124 | (0.25 | )% | $ | (11 | ) | $ | 136 | (0.22 | )% | |||||||||
3/31/2020 | 12/31/2019 | 9/30/2019 | 6/30/2019 | 3/31/2019 | ||||||||||||||||||||||||||||||||||||||||
AS ADJUSTED (CASH YIELD, NON-GAAP) | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | Income | Average Balance | Yield | |||||||||||||||||||||||||||||
Legacy loans and leases, net | $ | 220 | $ | 19,936 | 4.43 | % | $ | 225 | $ | 19,374 | 4.60 | % | $ | 229 | $ | 18,721 | 4.86 | % | $ | 225 | $ | 17,984 | 5.00 | % | $ | 213 | $ | 17,192 | 5.02 | % | ||||||||||||||
Acquired loans | 44 | 4,312 | 4.15 | 49 | 4,554 | 4.28 | 54 | 4,913 | 4.38 | 58 | 5,261 | 4.49 | 61 | 5,544 | 4.43 | |||||||||||||||||||||||||||||
Total loans and leases | $ | 264 | $ | 24,248 | 4.38 | % | $ | 274 | $ | 23,928 | 4.54 | % | $ | 283 | $ | 23,634 | 4.76 | % | $ | 283 | $ | 23,245 | 4.89 | % | $ | 274 | $ | 22,736 | 4.88 | % |
Table 7 - IBERIABANK CORPORATION | |||||||||||||||||||||||||||||||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES | |||||||||||||||||||||||||||||||||||
(Dollars in thousands, except per share amounts) | |||||||||||||||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||||||||||||
3/31/2020 | 12/31/2019 | 9/30/2019 | |||||||||||||||||||||||||||||||||
Pre-tax | After-tax | Per share(2) | Pre-tax | After-tax | Per share(2) | Pre-tax | After-tax | Per share(2) | |||||||||||||||||||||||||||
Net income | $ | 48,600 | $ | 36,425 | $ | 0.69 | $ | 103,966 | $ | 82,576 | $ | 1.57 | $ | 131,359 | $ | 99,850 | $ | 1.89 | |||||||||||||||||
Less: Preferred stock dividends | — | 3,598 | 0.07 | — | 4,456 | 0.09 | — | 3,599 | 0.07 | ||||||||||||||||||||||||||
Income available to common shareholders (GAAP) | $ | 48,600 | $ | 32,827 | $ | 0.62 | $ | 103,966 | $ | 78,120 | $ | 1.48 | $ | 131,359 | $ | 96,251 | $ | 1.82 | |||||||||||||||||
Non-interest income adjustments (1)(3): | |||||||||||||||||||||||||||||||||||
(Gain) loss on sale of investments | — | — | — | (14 | ) | (11 | ) | — | — | — | — | ||||||||||||||||||||||||
Non-interest expense adjustments (1)(3): | |||||||||||||||||||||||||||||||||||
Merger-related expense | 2,734 | 2,157 | 0.04 | 11,321 | 10,828 | 0.21 | — | — | — | ||||||||||||||||||||||||||
Hazard-related expense | 281 | 213 | — | — | — | — | — | — | — | ||||||||||||||||||||||||||
Impairment of long-lived assets, net of (gain) loss on sale | (4 | ) | (3 | ) | — | 30 | 23 | — | — | — | — | ||||||||||||||||||||||||
Other non-core non-interest expense | — | — | — | (8 | ) | (6 | ) | — | — | — | — | ||||||||||||||||||||||||
Total non-interest expense adjustments | 3,011 | 2,367 | 0.04 | 11,343 | 10,845 | 0.21 | — | — | — | ||||||||||||||||||||||||||
Income tax expense (benefit) - other | — | 241 | 0.01 | — | (5,209 | ) | (0.10 | ) | — | — | — | ||||||||||||||||||||||||
Core earnings (Non-GAAP) | 51,611 | 35,435 | 0.67 | 115,295 | 83,745 | 1.59 | 131,359 | 96,251 | 1.82 | ||||||||||||||||||||||||||
Provision for expected credit losses(1) | 68,971 | 52,418 | 8,153 | 6,196 | 8,986 | 6,829 | |||||||||||||||||||||||||||||
Pre-provision earnings, as adjusted (Non-GAAP) (3) | $ | 120,582 | $ | 87,853 | $ | 123,448 | $ | 89,941 | $ | 140,345 | $ | 103,080 | |||||||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||||||||||||||||||
6/30/2019 | 3/31/2019 | ||||||||||||||||||||||||||||||||||
Pre-tax | After-tax | Per share(2) | Pre-tax | After-tax | Per share(2) | ||||||||||||||||||||||||||||||
Net income | $ | 133,791 | $ | 101,598 | $ | 1.88 | $ | 130,477 | $ | 100,131 | $ | 1.82 | |||||||||||||||||||||||
Less: Preferred stock dividends | — | 949 | 0.02 | — | 3,598 | 0.07 | |||||||||||||||||||||||||||||
Income available to common shareholders (GAAP) | $ | 133,791 | $ | 100,649 | $ | 1.86 | $ | 130,477 | $ | 96,533 | $ | 1.75 | |||||||||||||||||||||||
Non-interest income adjustments (1)(3): | |||||||||||||||||||||||||||||||||||
Loss on sale of investments | 1,012 | 769 | 0.01 | — | — | — | |||||||||||||||||||||||||||||
Non-interest expense adjustments (1)(3): | |||||||||||||||||||||||||||||||||||
Merger-related expense | (10 | ) | (7 | ) | — | (334 | ) | (254 | ) | — | |||||||||||||||||||||||||
Compensation-related expense | — | — | — | (9 | ) | (7 | ) | — | |||||||||||||||||||||||||||
Impairment of long-lived assets, net of (gain) loss on sale | (22 | ) | (17 | ) | — | 986 | 749 | 0.01 | |||||||||||||||||||||||||||
Other non-core non-interest expense | 107 | 81 | — | (3,129 | ) | (2,378 | ) | (0.04 | ) |
Total non-interest expense adjustments | 75 | 57 | — | (2,486 | ) | (1,890 | ) | (0.03 | ) | ||||||||||||||||||||||||||
Core earnings (Non-GAAP) | 134,878 | 101,475 | 1.87 | 127,991 | 94,643 | 1.72 | |||||||||||||||||||||||||||||
Provision for credit losses (1) | 10,755 | 8,174 | 13,763 | 10,460 | |||||||||||||||||||||||||||||||
Pre-provision earnings, as adjusted (Non-GAAP) (3) | $ | 145,633 | $ | 109,649 | $ | 141,754 | $ | 105,103 | |||||||||||||||||||||||||||
(1) Excluding preferred stock dividends and merger-related expense, after-tax amounts are calculated using a tax rate of 24%, which approximates the marginal tax rate. | |||||||||||||||||||||||||||||||||||
(2) Diluted per share amounts may not appear to foot due to rounding. | |||||||||||||||||||||||||||||||||||
(3) Adjustments to GAAP results include certain significant activities or transactions that, in management's opinion, can distort period-to-period comparisons of the Company's performance. These adjustments include, but are not limited to, realized gains or losses on the sale of investment securities, merger-related expenses, hazard-related expenses, including those incurred as a result of the Company's response to the COVID-19 pandemic, realized or unrealized gains or losses on former bank-owned real estate, and gains, losses, and impairment charges on long-lived assets. |
Table 8 - IBERIABANK CORPORATION | |||||||||||||||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES | |||||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||
For the Three Months Ended | |||||||||||||||||||
3/31/2020 | 12/31/2019 | 9/30/2019 | 6/30/2019 | 3/31/2019 | |||||||||||||||
Net interest income (GAAP) | $ | 230,342 | $ | 234,490 | $ | 249,333 | $ | 255,339 | $ | 250,484 | |||||||||
Taxable equivalent benefit | 1,311 | 1,368 | 1,320 | 1,338 | 1,349 | ||||||||||||||
Net interest income (TE) (Non-GAAP) (1) | 231,653 | 235,858 | 250,653 | 256,677 | 251,833 | ||||||||||||||
Non-interest income (GAAP) | 64,656 | 59,352 | 63,674 | 58,825 | 52,509 | ||||||||||||||
Taxable equivalent benefit | 484 | 502 | 468 | 465 | 478 | ||||||||||||||
Non-interest income (TE) (Non-GAAP) (1) | 65,140 | 59,854 | 64,142 | 59,290 | 52,987 | ||||||||||||||
Taxable equivalent revenues (Non-GAAP) (1) | 296,793 | 295,712 | 314,795 | 315,967 | 304,820 | ||||||||||||||
Securities (gains) losses and other non-interest income | — | (14 | ) | — | 1,012 | — | |||||||||||||
Core taxable equivalent revenues (Non-GAAP) (1) | $ | 296,793 | $ | 295,698 | $ | 314,795 | $ | 316,979 | $ | 304,820 | |||||||||
Total non-interest expense (GAAP) | $ | 177,427 | $ | 181,723 | $ | 172,662 | $ | 169,618 | $ | 158,753 | |||||||||
Less: Intangible amortization expense | 4,187 | 4,259 | 4,410 | 4,786 | 5,009 | ||||||||||||||
Tangible non-interest expense (Non-GAAP) (2) | 173,240 | 177,464 | 168,252 | 164,832 | 153,744 | ||||||||||||||
Less: Merger-related expense | 2,734 | 11,321 | — | (10 | ) | (334 | ) | ||||||||||||
Hazard-related expense | 281 | — | — | — | — | ||||||||||||||
Compensation-related expense | — | — | — | — | (9 | ) | |||||||||||||
Impairment of long-lived assets, net of (gain) loss on sale | (4 | ) | 30 | — | (22 | ) | 986 | ||||||||||||
Other non-core non-interest expense | — | (8 | ) | — | 107 | (3,129 | ) | ||||||||||||
Core tangible non-interest expense (Non-GAAP) (2) | $ | 170,229 | $ | 166,121 | $ | 168,252 | $ | 164,757 | $ | 156,230 | |||||||||
Return on average assets (GAAP) | 0.46 | % | 1.03 | % | 1.26 | % | 1.30 | % | 1.32 | % | |||||||||
Effect of non-core revenues and expenses | 0.03 | 0.07 | — | 0.01 | (0.03 | ) | |||||||||||||
Core return on average assets (Non-GAAP) | 0.49 | % | 1.10 | % | 1.26 | % | 1.31 | % | 1.29 | % | |||||||||
Efficiency ratio (GAAP) | 60.1 | % | 61.8 | % | 55.2 | % | 54.0 | % | 52.4 | % | |||||||||
Effect of tax benefit related to tax-exempt income | (0.3 | ) | (0.3 | ) | (0.3 | ) | (0.3 | ) | (0.3 | ) | |||||||||
Efficiency ratio (TE) (Non-GAAP) (1) | 59.8 | % | 61.5 | % | 54.9 | % | 53.7 | % | 52.1 | % | |||||||||
Effect of amortization of intangibles | (1.3 | ) | (1.5 | ) | (1.5 | ) | (1.5 | ) | (1.6 | ) | |||||||||
Effect of non-core items | (1.1 | ) | (3.8 | ) | — | (0.2 | ) | 0.8 | |||||||||||
Core tangible efficiency ratio (TE) (Non-GAAP) (1) (2) | 57.4 | % | 56.2 | % | 53.4 | % | 52.0 | % | 51.3 | % | |||||||||
Return on average common equity (GAAP) | 3.21 | % | 7.58 | % | 9.46 | % | 10.05 | % | 9.85 | % | |||||||||
Effect of non-core revenues and expenses | 0.26 | 0.55 | — | 0.08 | (0.19 | ) | |||||||||||||
Core return on average common equity (Non-GAAP) | 3.47 | % | 8.13 | % | 9.46 | % | 10.13 | % | 9.66 | % | |||||||||
Effect of intangibles (2) | 2.06 | 4.26 | 5.02 | 5.45 | 5.37 | ||||||||||||||
Core return on average tangible common equity (Non-GAAP)(2) | 5.53 | % | 12.39 | % | 14.48 | % | 15.58 | % | 15.03 | % | |||||||||
Total shareholders' equity (GAAP) | $ | 4,347,107 | $ | 4,336,734 | $ | 4,283,300 | $ | 4,238,000 | $ | 4,141,831 | |||||||||
Less: Goodwill and other intangibles | 1,292,910 | 1,297,095 | 1,301,348 | 1,305,752 | 1,310,458 | ||||||||||||||
Preferred stock | 228,485 | 228,485 | 228,485 | 228,485 | 132,097 | ||||||||||||||
Tangible common equity (Non-GAAP) (2) | $ | 2,825,712 | $ | 2,811,154 | $ | 2,753,467 | $ | 2,703,763 | $ | 2,699,276 | |||||||||
Total assets (GAAP) | $ | 32,239,983 | $ | 31,713,450 | $ | 31,734,598 | $ | 31,446,532 | $ | 31,260,189 | |||||||||
Less: Goodwill and other intangibles | 1,292,910 | 1,297,095 | 1,301,348 | 1,305,752 | 1,310,458 | ||||||||||||||
Tangible assets (Non-GAAP) (2) | $ | 30,947,073 | $ | 30,416,355 | $ | 30,433,250 | $ | 30,140,780 | $ | 29,949,731 | |||||||||
Tangible common equity ratio (Non-GAAP) (2) | 9.13 | % | 9.24 | % | 9.05 | % | 8.97 | % | 9.01 | % | |||||||||
(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 21%. | |||||||||||||||||||
(2) Tangible calculations eliminate the effect of goodwill and acquisition-related intangibles and the corresponding amortization expense on a tax-effected basis where applicable. |