First Hawaiian, Inc. (NASDAQ:FHB), (“First Hawaiian” or the
“Company”) today reported financial results for its quarter ended
June 30, 2022.
“I’m pleased to report that we had a very strong second quarter
as the bank continued to perform well,” said Bob Harrison,
Chairman, President and CEO. “We had good loan and deposit growth,
credit quality remained excellent, and we successfully converted to
our new core operating system.”
On July 27, 2022, the Company’s Board of Directors declared a
quarterly cash dividend of $0.26 per share. The dividend will be
payable on September 2, 2022, to stockholders of record at the
close of business on August 22, 2022.
Second Quarter 2022 Highlights:
- Net income of $59.4 million, or $0.46
per diluted share
- Total loans and leases increased $371.0
million versus prior quarter.
- Total deposits increased $331.0 million
versus prior quarter
- Net interest margin increased 18 basis
points to 2.60%
- Recorded a $1.0 million provision for
credit losses
- Board of Directors declared a quarterly
dividend of $0.26 per share
Balance Sheet
Total assets were $25.4 billion as of June 30, 2022, compared to
$25.0 billion as of March 31, 2022.
Gross loans and leases were $13.3 billion as of June 30, 2022,
an increase of $371.0 million, or 2.9%, from $12.9 billion as of
March 31, 2022.
Total deposits were $22.6 billion as of June 30, 2022, an
increase of $331.0 million, or 1.5%, from $22.3 billion as of March
31, 2022.
Net Interest Income
Net interest income for the second quarter of 2022 was $145.1
million, an increase of $11.3 million, or 8.4%, compared to $133.9
million for the prior quarter.
The net interest margin was 2.60% in the second quarter of 2022,
an increase of 18 basis points compared to 2.42% in the prior
quarter.
Provision Expense
During the quarter ended June 30, 2022, we recorded a $1.0
million provision for credit losses. In the quarter ended March 31,
2022, we recorded a $5.7 million negative provision for credit
losses.
Noninterest Income
Noninterest income was $44.1 million in the second quarter of
2022, an increase of $2.7 million compared to noninterest income of
$41.4 million in the prior quarter.
Noninterest Expense
Noninterest expense was $109.2 million in the second quarter of
2022, an increase of $5.1 million compared to noninterest expense
of $104.0 million in the prior quarter.
The efficiency ratio was 57.3% and 59.0% for the quarters ended
June 30, 2022 and March 31, 2022, respectively.
Taxes
The effective tax rate was 25.0% for the quarters ended June 30,
2022 and March 31, 2022.
Asset Quality
The allowance for credit losses was $148.9 million, or 1.12% of
total loans and leases, as of June 30, 2022, compared to $150.3
million, or 1.17% of total loans and leases, as of March 31, 2022.
The reserve for unfunded commitments was $29.0 million as of June
30, 2022 and March 31, 2022. Net charge-offs were $2.3 million, or
0.07% of average loans and leases on an annualized basis, for the
quarter ended June 30, 2022, compared to net charge-offs of $2.6
million, or 0.08% of average loans and leases on an annualized
basis, for the quarter ended March 31, 2022. Total non-performing
assets were $7.9 million, or 0.06% of total loans and leases and
other real estate owned, on June 30, 2022, compared to total
non-performing assets of $8.6 million, or 0.07% of total loans and
leases and other real estate owned, on March 31, 2022.
Capital
Total stockholders' equity was $2.3 billion on June 30, 2022 and
March 31, 2022.
The tier 1 leverage, common equity tier 1 and total capital
ratios were 7.54%, 11.98%, and 13.14%, respectively, on June 30,
2022, compared with 7.50%, 12.27% and 13.48%, respectively, on
March 31, 2022.
The Company repurchased 0.3 million shares of common stock at a
total cost of $7.0 million under the stock repurchase
program in the second quarter. The average cost was $24.09 per
share repurchased. Remaining buyback authority under the stock
repurchase program was $68.0 million on June 30,
2022.
First Hawaiian, Inc.
First Hawaiian, Inc. (NASDAQ:FHB) is a bank holding company
headquartered in Honolulu, Hawaii. Its principal subsidiary,
First Hawaiian Bank, founded in 1858 under the name Bishop &
Company, is Hawaii’s oldest and largest financial institution with
branch locations throughout Hawaii, Guam and Saipan. The
company offers a comprehensive suite of banking services to
consumer and commercial customers including deposit products,
loans, wealth management, insurance, trust, retirement planning,
credit card and merchant processing services. Customers may also
access their accounts through ATMs, online and mobile banking
channels. For more information about First Hawaiian, Inc., visit
the Company’s website, www.fhb.com.
Conference Call Information
First Hawaiian will host a conference call to discuss the
Company’s results today at 1:00 p.m. Eastern Time, 7:00 a.m. Hawaii
Time.
Please note that the process for accessing the conference call
has changed. Participants will need to click on the registration
link provided below, register for the conference call, and then you
will receive the dial-in number and a personalized PIN code.
To access the call by phone, please register via the following
link:
https://register.vevent.com/register/BI2ebfe69a17064bc89a14e15354a8e329,
and you will be provided with dial in details. To avoid delays, we
encourage participants to dial into the conference call fifteen
minutes ahead of the scheduled start time.
A live webcast of the conference call, including a slide
presentation, will be available at the following link:
www.fhb.com/earnings. The archive of the webcast will be available
at the same location.
Forward-Looking StatementsThis press release
contains forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. These
forward-looking statements reflect our current views with respect
to, among other things, future events and our financial
performance. These statements are often, but not always, made
through the use of words or phrases such as “may”, “might”,
“should”, “could”, “predict”, “potential”, “believe”, “expect”,
“continue”, “will”, “anticipate”, “seek”, “estimate”, “intend”,
“plan”, “projection”, “would”, “annualized” and “outlook”, or the
negative version of those words or other comparable words or
phrases of a future or forward-looking nature. These
forward-looking statements are not historical facts, and are based
on current expectations, estimates and projections about our
industry, management's beliefs and certain assumptions made by
management, many of which, by their nature, are inherently
uncertain and beyond our control. Accordingly, we caution you that
any such forward-looking statements are not guarantees of future
performance and are subject to risks, assumptions, estimates and
uncertainties that are difficult to predict. Further, statements
about the potential effects of the COVID-19 pandemic on our
businesses and financial results and conditions may constitute
forward-looking statements and are subject to the risk that the
actual effects may differ, possibly materially, from what is
reflected in those forward-looking statements due to factors and
future developments that are uncertain, unpredictable and in many
cases beyond our control, including the scope and duration of the
pandemic, actions taken by governmental authorities in response to
the pandemic, and the direct and indirect impact of the pandemic on
our customers, third parties and us. Although we believe that the
expectations reflected in these forward-looking statements are
reasonable as of the date made, there can be no assurance that
actual results will not prove to be materially different from the
results expressed or implied by the forward-looking statements. A
number of important factors could cause actual results or
performance to differ materially from the forward-looking
statements, including (without limitation) the risks and
uncertainties associated with the ongoing impacts of COVID-19, the
domestic and global economic environment and capital market
conditions and other risk factors. For a discussion of some of
these risks and important factors that could affect our future
results and financial condition, see our U.S. Securities and
Exchange Commission (“SEC”) filings, including, but not limited to,
our Annual Report on Form 10-K for the year ended December 31, 2021
and our Quarterly Report on Form 10-Q for the quarter ended March
31, 2022.
Use of Non-GAAP Financial MeasuresReturn on
average tangible assets, return on average tangible stockholders’
equity, tangible book value per share and tangible stockholders’
equity to tangible assets are non-GAAP financial measures. We
believe that these measurements are useful for investors,
regulators, management and others to evaluate financial performance
and capital adequacy relative to other financial institutions.
Although these non-GAAP financial measures are frequently used by
stakeholders in the evaluation of a company, they have limitations
as analytical tools and should not be considered in isolation or as
a substitute for analysis of our results or financial condition as
reported under GAAP. Investors should consider our performance and
capital adequacy as reported under GAAP and all other relevant
information when assessing our performance and capital
adequacy.
Table 14 at the end of this document provides a reconciliation
of these non-GAAP financial measures with their most directly
comparable GAAP measures.
Investor Relations
Contact: Kevin Haseyama, CFA(808)
525-6268khaseyama@fhb.com |
Media
Contact:Lindsay Chambers(808)
525-6254lchambers@fhb.com |
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Financial Highlights |
|
Table 1 |
|
|
For the Three Months Ended |
|
For the Six Months Ended |
|
|
|
June 30, |
|
March 31, |
|
June 30, |
|
June 30, |
|
(dollars in thousands, except per share data) |
|
2022 |
|
2022 |
|
2021 |
|
2022 |
|
2021 |
|
Operating
Results: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
$ |
145,147 |
|
$ |
133,872 |
|
|
$ |
131,481 |
|
|
$ |
279,019 |
|
|
$ |
260,639 |
|
|
Provision for credit losses |
|
|
1,000 |
|
|
(5,747 |
) |
|
|
(35,000 |
) |
|
|
(4,747 |
) |
|
|
(35,000 |
) |
|
Noninterest income |
|
|
44,137 |
|
|
41,380 |
|
|
|
49,371 |
|
|
|
85,517 |
|
|
|
93,239 |
|
|
Noninterest expense |
|
|
109,175 |
|
|
104,042 |
|
|
|
99,388 |
|
|
|
213,217 |
|
|
|
195,694 |
|
|
Net income |
|
|
59,360 |
|
|
57,719 |
|
|
|
86,741 |
|
|
|
117,079 |
|
|
|
144,434 |
|
|
Basic earnings per share |
|
|
0.46 |
|
|
0.45 |
|
|
|
0.67 |
|
|
|
0.92 |
|
|
|
1.11 |
|
|
Diluted earnings per share |
|
|
0.46 |
|
|
0.45 |
|
|
|
0.67 |
|
|
|
0.91 |
|
|
|
1.11 |
|
|
Dividends declared per share |
|
|
0.26 |
|
|
0.26 |
|
|
|
0.26 |
|
|
|
0.52 |
|
|
|
0.52 |
|
|
Dividend payout ratio |
|
|
56.52 |
% |
|
57.78 |
|
% |
|
38.81 |
|
% |
|
57.14 |
|
% |
|
46.85 |
|
% |
Performance
Ratios(1): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest margin |
|
|
2.60 |
% |
|
2.42 |
|
% |
|
2.46 |
|
% |
|
2.51 |
|
% |
|
2.50 |
|
% |
Efficiency ratio |
|
|
57.33 |
% |
|
59.04 |
|
% |
|
54.74 |
|
% |
|
58.15 |
|
% |
|
55.12 |
|
% |
Return on average total assets |
|
|
0.94 |
% |
|
0.93 |
|
% |
|
1.45 |
|
% |
|
0.94 |
|
% |
|
1.24 |
|
% |
Return on average tangible assets (non-GAAP)(2) |
|
|
0.98 |
% |
|
0.97 |
|
% |
|
1.51 |
|
% |
|
0.98 |
|
% |
|
1.30 |
|
% |
Return on average total stockholders' equity |
|
|
10.52 |
% |
|
9.19 |
|
% |
|
12.92 |
|
% |
|
9.82 |
|
% |
|
10.75 |
|
% |
Return on average tangible stockholders' equity (non-GAAP)(2) |
|
|
18.79 |
% |
|
15.08 |
|
% |
|
20.51 |
|
% |
|
16.76 |
|
% |
|
16.99 |
|
% |
Average
Balances: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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Average loans and leases |
|
$ |
13,058,558 |
|
$ |
12,819,612 |
|
|
$ |
13,205,086 |
|
|
$ |
12,939,745 |
|
|
$ |
13,223,575 |
|
|
Average earning assets |
|
|
22,520,605 |
|
|
22,463,209 |
|
|
|
21,539,264 |
|
|
|
22,492,066 |
|
|
|
21,010,643 |
|
|
Average assets |
|
|
25,250,176 |
|
|
25,080,453 |
|
|
|
24,015,065 |
|
|
|
25,165,783 |
|
|
|
23,482,839 |
|
|
Average deposits |
|
|
22,401,558 |
|
|
21,960,819 |
|
|
|
20,638,015 |
|
|
|
22,182,406 |
|
|
|
20,073,676 |
|
|
Average stockholders' equity |
|
|
2,262,654 |
|
|
2,547,865 |
|
|
|
2,691,966 |
|
|
|
2,404,471 |
|
|
|
2,709,735 |
|
|
Market Value Per
Share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Closing |
|
|
22.80 |
|
|
27.89 |
|
|
|
28.34 |
|
|
|
22.80 |
|
|
|
28.34 |
|
|
High |
|
|
28.44 |
|
|
31.16 |
|
|
|
29.85 |
|
|
|
31.16 |
|
|
|
30.80 |
|
|
Low |
|
|
21.49 |
|
|
26.93 |
|
|
|
24.75 |
|
|
|
21.49 |
|
|
|
23.14 |
|
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As of |
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As of |
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As of |
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As of |
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|
|
June 30, |
|
March 31, |
|
December 31, |
|
June 30, |
|
(dollars in thousands, except per share data) |
|
2022 |
|
2022 |
|
2021 |
|
2021 |
|
Balance Sheet
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
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Loans and leases |
|
$ |
13,262,781 |
|
$ |
12,891,743 |
|
$ |
12,961,999 |
|
$ |
13,103,785 |
|
Total assets |
|
|
25,377,533 |
|
|
25,042,720 |
|
|
24,992,410 |
|
|
24,246,328 |
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Total deposits |
|
|
22,601,454 |
|
|
22,270,430 |
|
|
21,816,146 |
|
|
20,835,115 |
|
Long-term borrowings |
|
|
— |
|
|
— |
|
|
— |
|
|
200,000 |
|
Total stockholders' equity |
|
|
2,252,611 |
|
|
2,285,149 |
|
|
2,656,912 |
|
|
2,731,341 |
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Per Share of Common
Stock: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value |
|
$ |
17.67 |
|
$ |
17.90 |
|
$ |
20.84 |
|
$ |
21.17 |
|
Tangible book value (non-GAAP)(2) |
|
|
9.86 |
|
|
10.10 |
|
|
13.03 |
|
|
13.45 |
|
|
|
|
|
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|
|
|
|
|
|
|
|
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Asset Quality
Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-accrual loans and leases / total loans and leases |
|
|
0.06 |
% |
|
0.07 |
% |
|
0.05 |
% |
|
0.07 |
% |
Allowance for credit losses for loans and leases / total loans and
leases |
|
|
1.12 |
% |
|
1.17 |
% |
|
1.21 |
% |
|
1.29 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital
Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Common Equity Tier 1 Capital Ratio |
|
|
11.98 |
% |
|
12.27 |
% |
|
12.24 |
% |
|
12.76 |
% |
Tier 1 Capital Ratio |
|
|
11.98 |
% |
|
12.27 |
% |
|
12.24 |
% |
|
12.76 |
% |
Total Capital Ratio |
|
|
13.14 |
% |
|
13.48 |
% |
|
13.49 |
% |
|
14.01 |
% |
Tier 1 Leverage Ratio |
|
|
7.54 |
% |
|
7.50 |
% |
|
7.24 |
% |
|
7.68 |
% |
Total stockholders' equity to total assets |
|
|
8.88 |
% |
|
9.13 |
% |
|
10.63 |
% |
|
11.26 |
% |
Tangible stockholders' equity to tangible assets (non-GAAP)(2) |
|
|
5.16 |
% |
|
5.36 |
% |
|
6.92 |
% |
|
7.47 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-Financial
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Number of branches |
|
|
51 |
|
|
51 |
|
|
54 |
|
|
54 |
|
Number of ATMs |
|
|
297 |
|
|
298 |
|
|
299 |
|
|
294 |
|
Number of Full-Time Equivalent Employees |
|
|
2,021 |
|
|
2,022 |
|
|
2,036 |
|
|
2,087 |
|
(1) |
|
Except for the
efficiency ratio, amounts are annualized for the three and six
months ended June 30, 2022 and 2021 and the three months
ended March 31, 2022. |
|
|
|
(2) |
|
Return on average tangible assets, return on average tangible
stockholders’ equity, tangible book value per share and tangible
stockholders’ equity to tangible assets are non-GAAP financial
measures. We compute our return on average tangible assets as the
ratio of net income to average tangible assets, which is calculated
by subtracting (and thereby effectively excluding) amounts related
to the effect of goodwill from our average total assets. We compute
our return on average tangible stockholders’ equity as the ratio of
net income to average tangible stockholders’ equity, which is
calculated by subtracting (and thereby effectively excluding)
amounts related to the effect of goodwill from our average total
stockholders’ equity. We compute our tangible book value per share
as the ratio of tangible stockholders’ equity to outstanding
shares. Tangible stockholders’ equity is calculated by subtracting
(and thereby effectively excluding) amounts related to the effect
of goodwill from our total stockholders’ equity. We compute our
tangible stockholders’ equity to tangible assets as the ratio of
tangible stockholders’ equity to tangible assets, each of which we
calculate by subtracting (and thereby effectively excluding) the
value of our goodwill. For a reconciliation to the most directly
comparable GAAP financial measure, see Table 14, GAAP to Non-GAAP
Reconciliation. |
|
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|
|
|
|
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|
Consolidated Statements of Income |
|
Table 2 |
|
|
For the Three Months Ended |
|
For the Six Months Ended |
|
|
June 30, |
|
March 31, |
|
June 30, |
|
June 30, |
(dollars in thousands, except per share amounts) |
|
2022 |
|
2022 |
|
2021 |
|
2022 |
|
2021 |
Interest
income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and lease financing |
|
$ |
111,916 |
|
|
$ |
103,732 |
|
|
$ |
110,919 |
|
|
$ |
215,648 |
|
|
$ |
221,858 |
|
Available-for-sale investment
securities |
|
|
16,643 |
|
|
|
32,107 |
|
|
|
24,637 |
|
|
|
48,750 |
|
|
|
47,783 |
|
Held-to-maturity investment
securities |
|
|
18,289 |
|
|
|
— |
|
|
|
— |
|
|
|
18,289 |
|
|
|
— |
|
Other |
|
|
2,896 |
|
|
|
782 |
|
|
|
666 |
|
|
|
3,678 |
|
|
|
1,157 |
|
Total interest income |
|
|
149,744 |
|
|
|
136,621 |
|
|
|
136,222 |
|
|
|
286,365 |
|
|
|
270,798 |
|
Interest
expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
4,597 |
|
|
|
2,749 |
|
|
|
3,363 |
|
|
|
7,346 |
|
|
|
7,419 |
|
Short-term and long-term
borrowings |
|
|
— |
|
|
|
— |
|
|
|
1,378 |
|
|
|
— |
|
|
|
2,740 |
|
Total interest expense |
|
|
4,597 |
|
|
|
2,749 |
|
|
|
4,741 |
|
|
|
7,346 |
|
|
|
10,159 |
|
Net interest income |
|
|
145,147 |
|
|
|
133,872 |
|
|
|
131,481 |
|
|
|
279,019 |
|
|
|
260,639 |
|
Provision for credit
losses |
|
|
1,000 |
|
|
|
(5,747 |
) |
|
|
(35,000 |
) |
|
|
(4,747 |
) |
|
|
(35,000 |
) |
Net interest income after provision for credit losses |
|
|
144,147 |
|
|
|
139,619 |
|
|
|
166,481 |
|
|
|
283,766 |
|
|
|
295,639 |
|
Noninterest
income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service charges on deposit
accounts |
|
|
6,843 |
|
|
|
7,501 |
|
|
|
6,632 |
|
|
|
14,344 |
|
|
|
13,350 |
|
Credit and debit card
fees |
|
|
17,056 |
|
|
|
14,850 |
|
|
|
16,746 |
|
|
|
31,906 |
|
|
|
31,297 |
|
Other service charges and
fees |
|
|
9,018 |
|
|
|
9,654 |
|
|
|
10,303 |
|
|
|
18,672 |
|
|
|
19,149 |
|
Trust and investment services
income |
|
|
8,759 |
|
|
|
8,883 |
|
|
|
8,707 |
|
|
|
17,642 |
|
|
|
17,199 |
|
Bank-owned life insurance |
|
|
(859 |
) |
|
|
(417 |
) |
|
|
3,104 |
|
|
|
(1,276 |
) |
|
|
5,493 |
|
Investment securities (losses)
gains, net |
|
|
— |
|
|
|
— |
|
|
|
102 |
|
|
|
— |
|
|
|
102 |
|
Other |
|
|
3,320 |
|
|
|
909 |
|
|
|
3,777 |
|
|
|
4,229 |
|
|
|
6,649 |
|
Total noninterest income |
|
|
44,137 |
|
|
|
41,380 |
|
|
|
49,371 |
|
|
|
85,517 |
|
|
|
93,239 |
|
Noninterest
expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits |
|
|
49,902 |
|
|
|
48,226 |
|
|
|
45,982 |
|
|
|
98,128 |
|
|
|
89,918 |
|
Contracted services and
professional fees |
|
|
18,617 |
|
|
|
17,147 |
|
|
|
16,516 |
|
|
|
35,764 |
|
|
|
33,704 |
|
Occupancy |
|
|
7,334 |
|
|
|
7,410 |
|
|
|
7,314 |
|
|
|
14,744 |
|
|
|
14,484 |
|
Equipment |
|
|
7,754 |
|
|
|
5,977 |
|
|
|
6,362 |
|
|
|
13,731 |
|
|
|
11,853 |
|
Regulatory assessment and
fees |
|
|
2,301 |
|
|
|
2,224 |
|
|
|
1,826 |
|
|
|
4,525 |
|
|
|
3,860 |
|
Advertising and marketing |
|
|
1,994 |
|
|
|
2,028 |
|
|
|
1,469 |
|
|
|
4,022 |
|
|
|
3,060 |
|
Card rewards program |
|
|
7,285 |
|
|
|
6,883 |
|
|
|
6,262 |
|
|
|
14,168 |
|
|
|
11,097 |
|
Other |
|
|
13,988 |
|
|
|
14,147 |
|
|
|
13,657 |
|
|
|
28,135 |
|
|
|
27,718 |
|
Total noninterest expense |
|
|
109,175 |
|
|
|
104,042 |
|
|
|
99,388 |
|
|
|
213,217 |
|
|
|
195,694 |
|
Income before provision for income taxes |
|
|
79,109 |
|
|
|
76,957 |
|
|
|
116,464 |
|
|
|
156,066 |
|
|
|
193,184 |
|
Provision for income
taxes |
|
|
19,749 |
|
|
|
19,238 |
|
|
|
29,723 |
|
|
|
38,987 |
|
|
|
48,750 |
|
Net income |
|
$ |
59,360 |
|
|
$ |
57,719 |
|
|
$ |
86,741 |
|
|
$ |
117,079 |
|
|
$ |
144,434 |
|
Basic earnings per share |
|
$ |
0.46 |
|
|
$ |
0.45 |
|
|
$ |
0.67 |
|
|
$ |
0.92 |
|
|
$ |
1.11 |
|
Diluted earnings per
share |
|
$ |
0.46 |
|
|
$ |
0.45 |
|
|
$ |
0.67 |
|
|
$ |
0.91 |
|
|
$ |
1.11 |
|
Basic weighted-average
outstanding shares |
|
|
127,672,244 |
|
|
|
127,556,242 |
|
|
|
129,392,339 |
|
|
|
127,614,564 |
|
|
|
129,661,228 |
|
Diluted weighted-average
outstanding shares |
|
|
128,014,777 |
|
|
|
128,121,126 |
|
|
|
129,828,847 |
|
|
|
128,108,630 |
|
|
|
130,164,762 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated Balance Sheets |
|
Table 3 |
|
|
June 30, |
|
March 31, |
|
December 31, |
|
June 30, |
(dollars in thousands) |
|
2022 |
|
|
2022 |
|
|
2021 |
|
|
2021 |
|
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
279,629 |
|
|
$ |
274,022 |
|
|
$ |
246,716 |
|
|
$ |
347,861 |
|
Interest-bearing deposits in
other banks |
|
|
1,254,047 |
|
|
|
1,352,138 |
|
|
|
1,011,753 |
|
|
|
1,558,437 |
|
Investment securities: |
|
|
|
|
|
|
|
|
|
|
|
|
Available-for-sale, at fair value (amortized cost: $4,267,809 as of
June 30, 2022, $8,733,170 as of March 31, 2022,
$8,560,733 as of December 31, 2021 and $6,951,153 as of
June 30, 2021) |
|
|
3,967,746 |
|
|
|
8,062,384 |
|
|
|
8,428,032 |
|
|
|
6,953,930 |
|
Held-to-maturity, at amortized cost (fair value: $3,910,780 as of
June 30, 2022 and nil as of March 31, 2022,
December 31, 2021 and June 30, 2021) |
|
|
4,093,215 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Loans held for sale |
|
|
180 |
|
|
|
— |
|
|
|
538 |
|
|
|
1,241 |
|
Loans and leases |
|
|
13,262,781 |
|
|
|
12,891,743 |
|
|
|
12,961,999 |
|
|
|
13,103,785 |
|
Less: allowance for credit
losses |
|
|
148,942 |
|
|
|
150,280 |
|
|
|
157,262 |
|
|
|
169,148 |
|
Net loans and leases |
|
|
13,113,839 |
|
|
|
12,741,463 |
|
|
|
12,804,737 |
|
|
|
12,934,637 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Premises and equipment,
net |
|
|
310,047 |
|
|
|
315,766 |
|
|
|
318,448 |
|
|
|
319,452 |
|
Other real estate owned and
repossessed personal property |
|
|
— |
|
|
|
— |
|
|
|
175 |
|
|
|
— |
|
Accrued interest
receivable |
|
|
63,240 |
|
|
|
61,561 |
|
|
|
63,158 |
|
|
|
66,734 |
|
Bank-owned life insurance |
|
|
470,542 |
|
|
|
471,401 |
|
|
|
471,819 |
|
|
|
466,402 |
|
Goodwill |
|
|
995,492 |
|
|
|
995,492 |
|
|
|
995,492 |
|
|
|
995,492 |
|
Mortgage servicing rights |
|
|
7,152 |
|
|
|
7,650 |
|
|
|
8,302 |
|
|
|
10,007 |
|
Other assets |
|
|
822,404 |
|
|
|
760,843 |
|
|
|
643,240 |
|
|
|
592,135 |
|
Total assets |
|
$ |
25,377,533 |
|
|
$ |
25,042,720 |
|
|
$ |
24,992,410 |
|
|
$ |
24,246,328 |
|
Liabilities and
Stockholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing |
|
$ |
12,990,571 |
|
|
$ |
12,504,821 |
|
|
$ |
12,422,283 |
|
|
$ |
12,245,193 |
|
Noninterest-bearing |
|
|
9,610,883 |
|
|
|
9,765,609 |
|
|
|
9,393,863 |
|
|
|
8,589,922 |
|
Total deposits |
|
|
22,601,454 |
|
|
|
22,270,430 |
|
|
|
21,816,146 |
|
|
|
20,835,115 |
|
Long-term borrowings |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
200,000 |
|
Retirement benefits
payable |
|
|
134,151 |
|
|
|
134,323 |
|
|
|
134,491 |
|
|
|
144,101 |
|
Other liabilities |
|
|
389,317 |
|
|
|
352,818 |
|
|
|
384,861 |
|
|
|
335,771 |
|
Total liabilities |
|
|
23,124,922 |
|
|
|
22,757,571 |
|
|
|
22,335,498 |
|
|
|
21,514,987 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity |
|
|
|
|
|
|
|
|
|
|
|
|
Common stock ($0.01 par value; authorized 300,000,000 shares;
issued/outstanding: 140,943,908 / 127,451,087 shares as of
June 30, 2022, issued/outstanding: 140,875,595 /
127,686,307 shares as of March 31, 2022,
issued/outstanding: 140,581,715 / 127,502,472 shares as of
December 31, 2021 and issued/outstanding: 140,542,398 /
129,019,871 shares as of June 30, 2021) |
|
|
1,409 |
|
|
|
1,409 |
|
|
|
1,406 |
|
|
|
1,405 |
|
Additional paid-in capital |
|
|
2,533,407 |
|
|
|
2,530,795 |
|
|
|
2,527,663 |
|
|
|
2,520,790 |
|
Retained earnings |
|
|
654,777 |
|
|
|
628,642 |
|
|
|
604,534 |
|
|
|
550,511 |
|
Accumulated other comprehensive loss, net |
|
|
(571,457 |
) |
|
|
(517,502 |
) |
|
|
(121,693 |
) |
|
|
(29,702 |
) |
Treasury stock (13,492,821 shares as of June 30, 2022,
13,189,288 shares as of March 31, 2022, 13,079,243 shares
as of December 31, 2021 and 11,522,527 shares as of
June 30, 2021) |
|
|
(365,525 |
) |
|
|
(358,195 |
) |
|
|
(354,998 |
) |
|
|
(311,663 |
) |
Total stockholders' equity |
|
|
2,252,611 |
|
|
|
2,285,149 |
|
|
|
2,656,912 |
|
|
|
2,731,341 |
|
Total liabilities and stockholders' equity |
|
$ |
25,377,533 |
|
|
$ |
25,042,720 |
|
|
$ |
24,992,410 |
|
|
$ |
24,246,328 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Balances and Interest Rates |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 4 |
|
|
Three Months Ended |
|
Three Months Ended |
|
Three Months Ended |
|
|
|
June 30, 2022 |
|
March 31, 2022 |
|
June 30, 2021 |
|
|
|
Average |
|
Income/ |
|
Yield/ |
|
Average |
|
Income/ |
|
Yield/ |
|
Average |
|
Income/ |
|
Yield/ |
|
(dollars in millions) |
|
Balance |
|
Expense |
|
Rate |
|
Balance |
|
Expense |
|
Rate |
|
Balance |
|
Expense |
|
Rate |
|
Earning
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits in
Other Banks |
|
$ |
1,297.3 |
|
$ |
2.8 |
|
0.85 |
% |
$ |
1,138.3 |
|
$ |
0.6 |
|
0.20 |
% |
$ |
1,503.0 |
|
$ |
0.4 |
|
0.10 |
% |
Available-for-Sale Investment
Securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
|
3,946.4 |
|
|
16.6 |
|
1.68 |
|
|
7,800.3 |
|
|
29.2 |
|
1.50 |
|
|
6,298.3 |
|
|
22.5 |
|
1.43 |
|
Non-Taxable |
|
|
8.4 |
|
|
0.1 |
|
5.26 |
|
|
636.7 |
|
|
3.6 |
|
2.32 |
|
|
468.4 |
|
|
2.7 |
|
2.30 |
|
Held-to-Maturity Investment
Securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
|
3,533.6 |
|
|
15.0 |
|
1.70 |
|
|
— |
|
|
— |
|
— |
|
|
— |
|
|
— |
|
— |
|
Non-Taxable |
|
|
607.0 |
|
|
4.1 |
|
2.71 |
|
|
— |
|
|
— |
|
— |
|
|
— |
|
|
— |
|
— |
|
Total Investment
Securities |
|
|
8,095.4 |
|
|
35.8 |
|
1.77 |
|
|
8,437.0 |
|
|
32.8 |
|
1.56 |
|
|
6,766.7 |
|
|
25.2 |
|
1.49 |
|
Loans Held for Sale |
|
|
0.3 |
|
|
— |
|
5.06 |
|
|
1.2 |
|
|
— |
|
2.02 |
|
|
2.0 |
|
|
— |
|
1.44 |
|
Loans and Leases(1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
|
1,951.3 |
|
|
15.0 |
|
3.09 |
|
|
1,973.1 |
|
|
14.6 |
|
3.01 |
|
|
2,882.1 |
|
|
21.1 |
|
2.94 |
|
Commercial real estate |
|
|
3,808.9 |
|
|
30.7 |
|
3.23 |
|
|
3,632.2 |
|
|
25.8 |
|
2.88 |
|
|
3,419.7 |
|
|
25.3 |
|
2.97 |
|
Construction |
|
|
711.3 |
|
|
6.3 |
|
3.57 |
|
|
766.9 |
|
|
5.7 |
|
3.03 |
|
|
800.9 |
|
|
6.3 |
|
3.15 |
|
Residential: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
4,183.0 |
|
|
36.7 |
|
3.51 |
|
|
4,111.0 |
|
|
34.8 |
|
3.38 |
|
|
3,765.4 |
|
|
34.0 |
|
3.62 |
|
Home equity line |
|
|
945.7 |
|
|
5.9 |
|
2.49 |
|
|
891.6 |
|
|
5.5 |
|
2.48 |
|
|
812.6 |
|
|
5.5 |
|
2.72 |
|
Consumer |
|
|
1,218.0 |
|
|
15.5 |
|
5.09 |
|
|
1,218.6 |
|
|
15.6 |
|
5.19 |
|
|
1,277.9 |
|
|
16.9 |
|
5.32 |
|
Lease financing |
|
|
240.4 |
|
|
2.1 |
|
3.53 |
|
|
226.2 |
|
|
1.9 |
|
3.42 |
|
|
246.5 |
|
|
1.9 |
|
3.06 |
|
Total Loans and Leases |
|
|
13,058.6 |
|
|
112.2 |
|
3.44 |
|
|
12,819.6 |
|
|
103.9 |
|
3.27 |
|
|
13,205.1 |
|
|
111.0 |
|
3.37 |
|
Other Earning Assets |
|
|
69.0 |
|
|
0.1 |
|
0.79 |
|
|
67.1 |
|
|
0.2 |
|
1.31 |
|
|
62.5 |
|
|
0.3 |
|
1.91 |
|
Total Earning Assets(2) |
|
|
22,520.6 |
|
|
150.9 |
|
2.68 |
|
|
22,463.2 |
|
|
137.5 |
|
2.47 |
|
|
21,539.3 |
|
|
136.9 |
|
2.55 |
|
Cash and Due from Banks |
|
|
300.8 |
|
|
|
|
|
|
|
292.1 |
|
|
|
|
|
|
|
290.7 |
|
|
|
|
|
|
Other Assets |
|
|
2,428.8 |
|
|
|
|
|
|
|
2,325.2 |
|
|
|
|
|
|
|
2,185.1 |
|
|
|
|
|
|
Total
Assets |
|
$ |
25,250.2 |
|
|
|
|
|
|
$ |
25,080.5 |
|
|
|
|
|
|
$ |
24,015.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings |
|
$ |
6,971.3 |
|
$ |
1.7 |
|
0.10 |
% |
$ |
6,668.4 |
|
$ |
0.5 |
|
0.03 |
% |
|
6,361.8 |
|
$ |
0.5 |
|
0.03 |
% |
Money Market |
|
|
4,127.4 |
|
|
1.4 |
|
0.14 |
|
|
4,048.9 |
|
|
0.5 |
|
0.05 |
|
|
3,783.1 |
|
|
0.5 |
|
0.06 |
|
Time |
|
|
1,671.4 |
|
|
1.5 |
|
0.36 |
|
|
1,748.5 |
|
|
1.7 |
|
0.39 |
|
|
2,034.5 |
|
|
2.3 |
|
0.45 |
|
Total Interest-Bearing
Deposits |
|
|
12,770.1 |
|
|
4.6 |
|
0.14 |
|
|
12,465.8 |
|
|
2.7 |
|
0.09 |
|
|
12,179.4 |
|
|
3.3 |
|
0.11 |
|
Long-Term Borrowings |
|
|
— |
|
|
— |
|
— |
|
|
— |
|
|
— |
|
— |
|
|
200.0 |
|
|
1.4 |
|
2.76 |
|
Total Interest-Bearing
Liabilities |
|
|
12,770.1 |
|
|
4.6 |
|
0.14 |
|
|
12,465.8 |
|
|
2.7 |
|
0.09 |
|
|
12,379.4 |
|
|
4.7 |
|
0.15 |
|
Net Interest
Income |
|
|
|
|
$ |
146.3 |
|
|
|
|
|
|
$ |
134.8 |
|
|
|
|
|
|
$ |
132.2 |
|
|
|
Interest Rate Spread |
|
|
|
|
|
|
|
2.54 |
% |
|
|
|
|
|
|
2.38 |
% |
|
|
|
|
|
|
2.40 |
% |
Net Interest Margin |
|
|
|
|
|
|
|
2.60 |
% |
|
|
|
|
|
|
2.42 |
% |
|
|
|
|
|
|
2.46 |
% |
Noninterest-Bearing Demand
Deposits |
|
|
9,631.4 |
|
|
|
|
|
|
|
9,495.0 |
|
|
|
|
|
|
|
8,458.6 |
|
|
|
|
|
|
Other Liabilities |
|
|
586.0 |
|
|
|
|
|
|
|
571.8 |
|
|
|
|
|
|
|
485.1 |
|
|
|
|
|
|
Stockholders' Equity |
|
|
2,262.7 |
|
|
|
|
|
|
|
2,547.9 |
|
|
|
|
|
|
|
2,692.0 |
|
|
|
|
|
|
Total Liabilities and
Stockholders' Equity |
|
$ |
25,250.2 |
|
|
|
|
|
|
$ |
25,080.5 |
|
|
|
|
|
|
$ |
24,015.1 |
|
|
|
|
|
|
(1) |
|
Non-performing
loans and leases are included in the respective average loan and
lease balances. Income, if any, on such loans and leases is
recognized on a cash basis. |
|
|
|
(2) |
|
Interest income includes taxable-equivalent basis adjustments
of $1.2 million, $1.0 million and $0.7 million for the three months
ended June 30, 2022, March 31, 2022, and June 30, 2021,
respectively. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Balances and Interest Rates |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 5 |
|
|
Six Months Ended |
|
Six Months Ended |
|
|
|
June 30, 2022 |
|
June 30, 2021 |
|
|
|
Average |
|
Income/ |
|
Yield/ |
|
Average |
|
Income/ |
|
Yield/ |
|
(dollars in millions) |
|
Balance |
|
Expense |
|
Rate |
|
Balance |
|
Expense |
|
Rate |
|
Earning
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits in
Other Banks |
|
$ |
1,218.3 |
|
$ |
3.3 |
|
0.55 |
% |
$ |
1,222.4 |
|
$ |
0.6 |
|
0.10 |
% |
Available-for-Sale Investment
Securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
|
5,862.7 |
|
|
45.7 |
|
1.56 |
|
|
6,125.1 |
|
|
44.6 |
|
1.46 |
|
Non-Taxable |
|
|
320.8 |
|
|
3.9 |
|
2.41 |
|
|
373.7 |
|
|
4.0 |
|
2.11 |
|
Held-to-Maturity Investment
Securities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
|
1,776.6 |
|
|
15.0 |
|
1.69 |
|
|
— |
|
|
— |
|
— |
|
Non-Taxable |
|
|
305.2 |
|
|
4.1 |
|
2.71 |
|
|
— |
|
|
— |
|
— |
|
Total Investment
Securities |
|
|
8,265.3 |
|
|
68.7 |
|
1.66 |
|
|
6,498.8 |
|
|
48.6 |
|
1.49 |
|
Loans Held for Sale |
|
|
0.8 |
|
|
— |
|
2.60 |
|
|
5.6 |
|
|
0.1 |
|
2.28 |
|
Loans and Leases(1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
|
1,962.1 |
|
|
29.7 |
|
3.05 |
|
|
2,954.0 |
|
|
41.5 |
|
2.84 |
|
Commercial real estate |
|
|
3,721.0 |
|
|
56.4 |
|
3.06 |
|
|
3,402.6 |
|
|
50.2 |
|
2.98 |
|
Construction |
|
|
738.9 |
|
|
12.1 |
|
3.30 |
|
|
774.0 |
|
|
12.1 |
|
3.16 |
|
Residential: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
4,147.2 |
|
|
71.5 |
|
3.45 |
|
|
3,730.9 |
|
|
68.7 |
|
3.68 |
|
Home equity line |
|
|
918.8 |
|
|
11.3 |
|
2.48 |
|
|
817.3 |
|
|
11.2 |
|
2.76 |
|
Consumer |
|
|
1,218.3 |
|
|
31.1 |
|
5.14 |
|
|
1,300.7 |
|
|
34.7 |
|
5.37 |
|
Lease financing |
|
|
233.4 |
|
|
4.0 |
|
3.48 |
|
|
244.1 |
|
|
3.7 |
|
3.04 |
|
Total Loans and Leases |
|
|
12,939.7 |
|
|
216.1 |
|
3.36 |
|
|
13,223.6 |
|
|
222.1 |
|
3.38 |
|
Other Earning Assets |
|
|
68.0 |
|
|
0.4 |
|
1.05 |
|
|
60.2 |
|
|
0.5 |
|
1.85 |
|
Total Earning Assets(2) |
|
|
22,492.1 |
|
|
288.5 |
|
2.58 |
|
|
21,010.6 |
|
|
271.9 |
|
2.60 |
|
Cash and Due from Banks |
|
|
296.5 |
|
|
|
|
|
|
|
292.3 |
|
|
|
|
|
|
Other Assets |
|
|
2,377.2 |
|
|
|
|
|
|
|
2,179.9 |
|
|
|
|
|
|
Total
Assets |
|
$ |
25,165.8 |
|
|
|
|
|
|
$ |
23,482.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Savings |
|
$ |
6,820.7 |
|
$ |
2.2 |
|
0.07 |
% |
$ |
6,169.5 |
|
$ |
1.1 |
|
0.04 |
% |
Money Market |
|
|
4,088.3 |
|
|
2.0 |
|
0.09 |
|
|
3,657.3 |
|
|
1.0 |
|
0.05 |
|
Time |
|
|
1,709.8 |
|
|
3.2 |
|
0.38 |
|
|
2,160.8 |
|
|
5.3 |
|
0.49 |
|
Total Interest-Bearing
Deposits |
|
|
12,618.8 |
|
|
7.4 |
|
0.12 |
|
|
11,987.6 |
|
|
7.4 |
|
0.12 |
|
Long-Term Borrowings |
|
|
— |
|
|
— |
|
— |
|
|
200.0 |
|
|
2.7 |
|
2.76 |
|
Total Interest-Bearing
Liabilities |
|
|
12,618.8 |
|
|
7.4 |
|
0.12 |
|
|
12,187.6 |
|
|
10.1 |
|
0.17 |
|
Net Interest
Income |
|
|
|
|
$ |
281.1 |
|
|
|
|
|
|
$ |
261.8 |
|
|
|
Interest Rate Spread |
|
|
|
|
|
|
|
2.46 |
% |
|
|
|
|
|
|
2.43 |
% |
Net Interest Margin |
|
|
|
|
|
|
|
2.51 |
% |
|
|
|
|
|
|
2.50 |
% |
Noninterest-Bearing Demand
Deposits |
|
|
9,563.6 |
|
|
|
|
|
|
|
8,086.1 |
|
|
|
|
|
|
Other Liabilities |
|
|
578.9 |
|
|
|
|
|
|
|
499.4 |
|
|
|
|
|
|
Stockholders' Equity |
|
|
2,404.5 |
|
|
|
|
|
|
|
2,709.7 |
|
|
|
|
|
|
Total Liabilities and
Stockholders' Equity |
|
$ |
25,165.8 |
|
|
|
|
|
|
$ |
23,482.8 |
|
|
|
|
|
|
(1) |
|
Non-performing loans and leases are included in the respective
average loan and lease balances. Income, if any, on such loans and
leases is recognized on a cash basis. |
|
|
|
(2) |
|
Interest income includes
taxable-equivalent basis adjustments of $2.1 million and $1.1
million for the six months ended June 30, 2022 and 2021,
respectively. |
|
|
|
|
|
|
|
|
|
|
Analysis of Change in Net Interest Income |
|
|
|
|
|
|
|
|
Table 6 |
|
|
Three Months Ended June 30, 2022 |
|
|
Compared to March 31, 2022 |
(dollars in millions) |
|
Volume |
|
Rate |
|
Total |
Change in Interest
Income: |
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits in Other Banks |
|
$ |
0.1 |
|
|
$ |
2.1 |
|
|
$ |
2.2 |
|
Available-for-Sale Investment
Securities |
|
|
|
|
|
|
|
|
|
Taxable |
|
|
(15.8 |
) |
|
|
3.2 |
|
|
|
(12.6 |
) |
Non-Taxable |
|
|
(5.6 |
) |
|
|
2.1 |
|
|
|
(3.5 |
) |
Held-to-Maturity Investment
Securities |
|
|
|
|
|
|
|
|
|
Taxable |
|
|
15.0 |
|
|
|
— |
|
|
|
15.0 |
|
Non-Taxable |
|
|
4.1 |
|
|
|
— |
|
|
|
4.1 |
|
Total Investment
Securities |
|
|
(2.3 |
) |
|
|
5.3 |
|
|
|
3.0 |
|
Loans and Leases |
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
|
(0.1 |
) |
|
|
0.5 |
|
|
|
0.4 |
|
Commercial real estate |
|
|
1.4 |
|
|
|
3.5 |
|
|
|
4.9 |
|
Construction |
|
|
(0.4 |
) |
|
|
1.0 |
|
|
|
0.6 |
|
Residential: |
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
0.6 |
|
|
|
1.3 |
|
|
|
1.9 |
|
Home equity line |
|
|
0.4 |
|
|
|
— |
|
|
|
0.4 |
|
Consumer |
|
|
— |
|
|
|
(0.1 |
) |
|
|
(0.1 |
) |
Lease financing |
|
|
0.1 |
|
|
|
0.1 |
|
|
|
0.2 |
|
Total Loans and Leases |
|
|
2.0 |
|
|
|
6.3 |
|
|
|
8.3 |
|
Other Earning Assets |
|
|
— |
|
|
|
(0.1 |
) |
|
|
(0.1 |
) |
Total Change in
Interest Income |
|
|
(0.2 |
) |
|
|
13.6 |
|
|
|
13.4 |
|
|
|
|
|
|
|
|
|
|
|
Change in Interest
Expense: |
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits |
|
|
|
|
|
|
|
|
|
Savings |
|
|
0.1 |
|
|
|
1.1 |
|
|
|
1.2 |
|
Money Market |
|
|
— |
|
|
|
0.9 |
|
|
|
0.9 |
|
Time |
|
|
(0.1 |
) |
|
|
(0.1 |
) |
|
|
(0.2 |
) |
Total Interest-Bearing
Deposits |
|
|
— |
|
|
|
1.9 |
|
|
|
1.9 |
|
Total Change in
Interest Expense |
|
|
— |
|
|
|
1.9 |
|
|
|
1.9 |
|
Change in Net Interest
Income |
|
$ |
(0.2 |
) |
|
$ |
11.7 |
|
|
$ |
11.5 |
|
|
|
|
|
|
|
|
|
|
|
Analysis of Change in Net Interest Income |
|
|
|
|
|
|
|
|
Table 7 |
|
|
Three Months Ended June 30, 2022 |
|
|
Compared to June 30, 2021 |
(dollars in millions) |
|
Volume |
|
Rate |
|
Total |
Change in Interest
Income: |
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits in Other Banks |
|
$ |
— |
|
|
$ |
2.4 |
|
|
$ |
2.4 |
|
Available-for-Sale Investment
Securities |
|
|
|
|
|
|
|
|
|
Taxable |
|
|
(9.4 |
) |
|
|
3.5 |
|
|
|
(5.9 |
) |
Non-Taxable |
|
|
(4.1 |
) |
|
|
1.5 |
|
|
|
(2.6 |
) |
Held-to-Maturity Investment
Securities |
|
|
|
|
|
|
|
|
|
Taxable |
|
|
15.0 |
|
|
|
— |
|
|
|
15.0 |
|
Non-Taxable |
|
|
4.1 |
|
|
|
— |
|
|
|
4.1 |
|
Total Investment
Securities |
|
|
5.6 |
|
|
|
5.0 |
|
|
|
10.6 |
|
Loans and Leases |
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
|
(7.1 |
) |
|
|
1.0 |
|
|
|
(6.1 |
) |
Commercial real estate |
|
|
3.0 |
|
|
|
2.4 |
|
|
|
5.4 |
|
Construction |
|
|
(0.8 |
) |
|
|
0.8 |
|
|
|
— |
|
Residential: |
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
3.7 |
|
|
|
(1.0 |
) |
|
|
2.7 |
|
Home equity line |
|
|
0.9 |
|
|
|
(0.5 |
) |
|
|
0.4 |
|
Consumer |
|
|
(0.7 |
) |
|
|
(0.7 |
) |
|
|
(1.4 |
) |
Lease financing |
|
|
(0.1 |
) |
|
|
0.3 |
|
|
|
0.2 |
|
Total Loans and Leases |
|
|
(1.1 |
) |
|
|
2.3 |
|
|
|
1.2 |
|
Other Earning Assets |
|
|
— |
|
|
|
(0.2 |
) |
|
|
(0.2 |
) |
Total Change in
Interest Income |
|
|
4.5 |
|
|
|
9.5 |
|
|
|
14.0 |
|
|
|
|
|
|
|
|
|
|
|
Change in Interest
Expense: |
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits |
|
|
|
|
|
|
|
|
|
Savings |
|
|
0.1 |
|
|
|
1.1 |
|
|
|
1.2 |
|
Money Market |
|
|
0.1 |
|
|
|
0.8 |
|
|
|
0.9 |
|
Time |
|
|
(0.4 |
) |
|
|
(0.4 |
) |
|
|
(0.8 |
) |
Total Interest-Bearing
Deposits |
|
|
(0.2 |
) |
|
|
1.5 |
|
|
|
1.3 |
|
Long-Term Borrowings |
|
|
(0.7 |
) |
|
|
(0.7 |
) |
|
|
(1.4 |
) |
Total Change in
Interest Expense |
|
|
(0.9 |
) |
|
|
0.8 |
|
|
|
(0.1 |
) |
Change in Net Interest
Income |
|
$ |
5.4 |
|
|
$ |
8.7 |
|
|
$ |
14.1 |
|
|
|
|
|
|
|
|
|
|
|
Analysis of Change in Net Interest Income |
|
|
|
|
|
|
|
|
Table 8 |
|
|
Six Months Ended June 30, 2022 |
|
|
Compared to June 30, 2021 |
(dollars in millions) |
|
Volume |
|
Rate |
|
Total |
Change in Interest
Income: |
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits in Other Banks |
|
$ |
— |
|
|
$ |
2.7 |
|
|
$ |
2.7 |
|
Available-for-Sale Investment
Securities |
|
|
|
|
|
|
|
|
|
Taxable |
|
|
(1.9 |
) |
|
|
3.0 |
|
|
|
1.1 |
|
Non-Taxable |
|
|
(0.6 |
) |
|
|
0.5 |
|
|
|
(0.1 |
) |
Held-to-Maturity Investment
Securities |
|
|
|
|
|
|
|
|
|
Taxable |
|
|
15.0 |
|
|
|
— |
|
|
|
15.0 |
|
Non-Taxable |
|
|
4.1 |
|
|
|
— |
|
|
|
4.1 |
|
Total Investment
Securities |
|
|
16.6 |
|
|
|
3.5 |
|
|
|
20.1 |
|
Loans Held for Sale |
|
|
(0.1 |
) |
|
|
— |
|
|
|
(0.1 |
) |
Loans and Leases |
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
|
(14.7 |
) |
|
|
2.9 |
|
|
|
(11.8 |
) |
Commercial real estate |
|
|
4.8 |
|
|
|
1.4 |
|
|
|
6.2 |
|
Construction |
|
|
(0.5 |
) |
|
|
0.5 |
|
|
|
— |
|
Residential: |
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
7.2 |
|
|
|
(4.4 |
) |
|
|
2.8 |
|
Home equity line |
|
|
1.3 |
|
|
|
(1.2 |
) |
|
|
0.1 |
|
Consumer |
|
|
(2.1 |
) |
|
|
(1.5 |
) |
|
|
(3.6 |
) |
Lease financing |
|
|
(0.2 |
) |
|
|
0.5 |
|
|
|
0.3 |
|
Total Loans and Leases |
|
|
(4.2 |
) |
|
|
(1.8 |
) |
|
|
(6.0 |
) |
Other Earning Assets |
|
|
0.1 |
|
|
|
(0.2 |
) |
|
|
(0.1 |
) |
Total Change in
Interest Income |
|
|
12.4 |
|
|
|
4.2 |
|
|
|
16.6 |
|
|
|
|
|
|
|
|
|
|
|
Change in Interest
Expense: |
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits |
|
|
|
|
|
|
|
|
|
Savings |
|
|
0.1 |
|
|
|
1.0 |
|
|
|
1.1 |
|
Money Market |
|
|
0.2 |
|
|
|
0.8 |
|
|
|
1.0 |
|
Time |
|
|
(1.0 |
) |
|
|
(1.1 |
) |
|
|
(2.1 |
) |
Total Interest-Bearing
Deposits |
|
|
(0.7 |
) |
|
|
0.7 |
|
|
|
— |
|
Long-Term Borrowings |
|
|
(1.4 |
) |
|
|
(1.3 |
) |
|
|
(2.7 |
) |
Total Change in
Interest Expense |
|
|
(2.1 |
) |
|
|
(0.6 |
) |
|
|
(2.7 |
) |
Change in Net Interest
Income |
|
$ |
14.5 |
|
|
$ |
4.8 |
|
|
$ |
19.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and Leases |
|
|
|
|
|
|
|
|
|
|
|
Table 9 |
|
|
June 30, |
|
March 31, |
|
December 31, |
|
June 30, |
(dollars in thousands) |
|
2022 |
|
2022 |
|
2021 |
|
2021 |
Commercial and
industrial: |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial excluding Paycheck Protection Program
loans |
|
$ |
1,898,899 |
|
$ |
1,817,346 |
|
$ |
1,870,657 |
|
$ |
1,753,444 |
Paycheck Protection Program loans |
|
|
43,233 |
|
|
106,188 |
|
|
216,442 |
|
|
811,103 |
Total commercial and
industrial |
|
|
1,942,132 |
|
|
1,923,534 |
|
|
2,087,099 |
|
|
2,564,547 |
Commercial real estate |
|
|
3,956,828 |
|
|
3,759,980 |
|
|
3,639,623 |
|
|
3,528,068 |
Construction |
|
|
727,771 |
|
|
708,300 |
|
|
813,969 |
|
|
853,865 |
Residential: |
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
4,212,768 |
|
|
4,153,824 |
|
|
4,083,367 |
|
|
3,821,407 |
Home equity line |
|
|
971,569 |
|
|
918,101 |
|
|
876,608 |
|
|
825,368 |
Total residential |
|
|
5,184,337 |
|
|
5,071,925 |
|
|
4,959,975 |
|
|
4,646,775 |
Consumer |
|
|
1,207,051 |
|
|
1,204,834 |
|
|
1,229,939 |
|
|
1,267,559 |
Lease financing |
|
|
244,662 |
|
|
223,170 |
|
|
231,394 |
|
|
242,971 |
Total loans and leases |
|
$ |
13,262,781 |
|
$ |
12,891,743 |
|
$ |
12,961,999 |
|
$ |
13,103,785 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
|
|
|
|
|
|
|
|
Table 10 |
|
|
June 30, |
|
March 31, |
|
December 31, |
|
June 30, |
(dollars in thousands) |
|
2022 |
|
2022 |
|
2021 |
|
2021 |
Demand |
|
$ |
9,610,883 |
|
$ |
9,765,609 |
|
$ |
9,393,863 |
|
$ |
8,589,922 |
Savings |
|
|
7,243,185 |
|
|
6,812,758 |
|
|
6,612,775 |
|
|
6,421,053 |
Money Market |
|
|
4,079,706 |
|
|
3,990,225 |
|
|
4,033,070 |
|
|
3,920,477 |
Time |
|
|
1,667,680 |
|
|
1,701,838 |
|
|
1,776,438 |
|
|
1,903,663 |
Total Deposits |
|
$ |
22,601,454 |
|
$ |
22,270,430 |
|
$ |
21,816,146 |
|
$ |
20,835,115 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-Performing Assets and Accruing Loans and Leases Past
Due 90 Days or More |
|
|
|
|
|
|
|
|
|
|
|
Table 11 |
|
|
June 30, |
|
March 31, |
|
December 31, |
|
June 30, |
(dollars in thousands) |
|
2022 |
|
2022 |
|
2021 |
|
2021 |
Non-Performing
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Non-Accrual Loans and
Leases |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
$ |
682 |
|
$ |
707 |
|
$ |
718 |
|
$ |
828 |
Commercial real estate |
|
|
727 |
|
|
727 |
|
|
727 |
|
|
937 |
Lease financing |
|
|
— |
|
|
75 |
|
|
— |
|
|
— |
Total Commercial Loans |
|
|
1,409 |
|
|
1,509 |
|
|
1,445 |
|
|
1,765 |
Residential Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
6,450 |
|
|
7,092 |
|
|
5,637 |
|
|
7,140 |
Total Residential Loans |
|
|
6,450 |
|
|
7,092 |
|
|
5,637 |
|
|
7,140 |
Total Non-Accrual Loans and
Leases |
|
|
7,859 |
|
|
8,601 |
|
|
7,082 |
|
|
8,905 |
Other Real Estate Owned |
|
|
— |
|
|
— |
|
|
175 |
|
|
— |
Total Non-Performing
Assets |
|
$ |
7,859 |
|
$ |
8,601 |
|
$ |
7,257 |
|
$ |
8,905 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Accruing Loans and
Leases Past Due 90 Days or More |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
$ |
2,230 |
|
$ |
591 |
|
$ |
740 |
|
$ |
494 |
Commercial real estate |
|
|
176 |
|
|
— |
|
|
— |
|
|
— |
Construction |
|
|
352 |
|
|
— |
|
|
— |
|
|
60 |
Total Commercial Loans |
|
|
2,758 |
|
|
591 |
|
|
740 |
|
|
554 |
Residential Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
750 |
|
|
13 |
|
|
987 |
|
|
— |
Home equity line |
|
|
1,039 |
|
|
2,252 |
|
|
3,681 |
|
|
4,680 |
Total Residential Loans |
|
|
1,789 |
|
|
2,265 |
|
|
4,668 |
|
|
4,680 |
Consumer |
|
|
1,218 |
|
|
1,588 |
|
|
1,800 |
|
|
1,134 |
Total Accruing Loans
and Leases Past Due 90 Days or More |
|
$ |
5,765 |
|
$ |
4,444 |
|
$ |
7,208 |
|
$ |
6,368 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Restructured Loans on
Accrual Status and Not Past Due 90 Days or More |
|
$ |
29,440 |
|
$ |
32,590 |
|
$ |
34,893 |
|
$ |
36,668 |
Total Loans and
Leases |
|
$ |
13,262,781 |
|
$ |
12,891,743 |
|
$ |
12,961,999 |
|
$ |
13,103,785 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for Credit Losses and Reserve for
Unfunded Commitments |
|
Table 12 |
|
|
For the Three Months Ended |
|
For the Six Months Ended |
|
|
|
June 30, |
|
March 31, |
|
June 30, |
|
June 30, |
|
June 30, |
|
(dollars in thousands) |
|
2022 |
|
2022 |
|
2021 |
|
2022 |
|
2021 |
|
Balance at Beginning of Period |
|
$ |
179,238 |
|
|
$ |
187,584 |
|
|
$ |
234,469 |
|
|
|
187,584 |
|
|
|
239,057 |
|
|
Loans and Leases
Charged-Off |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
|
(243 |
) |
|
|
(706 |
) |
|
|
(330 |
) |
|
|
(949 |
) |
|
|
(1,293 |
) |
|
Commercial real estate |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(66 |
) |
|
Total Commercial Loans |
|
|
(243 |
) |
|
|
(706 |
) |
|
|
(330 |
) |
|
|
(949 |
) |
|
|
(1,359 |
) |
|
Residential Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(98 |
) |
|
Home equity line |
|
|
(1,120 |
) |
|
|
(43 |
) |
|
|
— |
|
|
|
(1,163 |
) |
|
|
— |
|
|
Total Residential Loans |
|
|
(1,120 |
) |
|
|
(43 |
) |
|
|
— |
|
|
|
(1,163 |
) |
|
|
(98 |
) |
|
Consumer |
|
|
(3,659 |
) |
|
|
(4,109 |
) |
|
|
(3,917 |
) |
|
|
(7,768 |
) |
|
|
(10,458 |
) |
|
Total Loans and Leases
Charged-Off |
|
|
(5,022 |
) |
|
|
(4,858 |
) |
|
|
(4,247 |
) |
|
|
(9,880 |
) |
|
|
(11,915 |
) |
|
Recoveries on Loans and Leases
Previously Charged-Off |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
|
301 |
|
|
|
53 |
|
|
|
287 |
|
|
|
354 |
|
|
|
502 |
|
|
Commercial real estate |
|
|
— |
|
|
|
14 |
|
|
|
12 |
|
|
|
14 |
|
|
|
15 |
|
|
Construction |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
166 |
|
|
Lease financing |
|
|
60 |
|
|
|
— |
|
|
|
— |
|
|
|
60 |
|
|
|
— |
|
|
Total Commercial Loans |
|
|
361 |
|
|
|
67 |
|
|
|
299 |
|
|
|
428 |
|
|
|
683 |
|
|
Residential Loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage |
|
|
192 |
|
|
|
16 |
|
|
|
14 |
|
|
|
208 |
|
|
|
31 |
|
|
Home equity line |
|
|
191 |
|
|
|
28 |
|
|
|
38 |
|
|
|
219 |
|
|
|
62 |
|
|
Total Residential Loans |
|
|
383 |
|
|
|
44 |
|
|
|
52 |
|
|
|
427 |
|
|
|
93 |
|
|
Consumer |
|
|
1,940 |
|
|
|
2,148 |
|
|
|
2,797 |
|
|
|
4,088 |
|
|
|
5,452 |
|
|
Total Recoveries on
Loans and Leases Previously Charged-Off |
|
|
2,684 |
|
|
|
2,259 |
|
|
|
3,148 |
|
|
|
4,943 |
|
|
|
6,228 |
|
|
Net Loans and Leases
Charged-Off |
|
|
(2,338 |
) |
|
|
(2,599 |
) |
|
|
(1,099 |
) |
|
|
(4,937 |
) |
|
|
(5,687 |
) |
|
Provision for Credit
Losses |
|
|
1,000 |
|
|
|
(5,747 |
) |
|
|
(35,000 |
) |
|
|
(4,747 |
) |
|
|
(35,000 |
) |
|
Balance at End of
Period |
|
$ |
177,900 |
|
|
$ |
179,238 |
|
|
$ |
198,370 |
|
|
$ |
177,900 |
|
|
$ |
198,370 |
|
|
Components: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for Credit Losses |
|
$ |
148,942 |
|
|
$ |
150,280 |
|
|
$ |
169,148 |
|
|
$ |
148,942 |
|
|
$ |
169,148 |
|
|
Reserve for Unfunded Commitments |
|
|
28,958 |
|
|
|
28,958 |
|
|
|
29,222 |
|
|
|
28,958 |
|
|
|
29,222 |
|
|
Total Allowance for Credit
Losses and Reserve for Unfunded Commitments |
|
$ |
177,900 |
|
|
$ |
179,238 |
|
|
$ |
198,370 |
|
|
$ |
177,900 |
|
|
$ |
198,370 |
|
|
Average Loans and Leases
Outstanding |
|
$ |
13,058,558 |
|
|
$ |
12,819,612 |
|
|
$ |
13,205,086 |
|
|
$ |
12,939,745 |
|
|
$ |
13,223,575 |
|
|
Ratio of Net Loans and Leases
Charged-Off to Average Loans and Leases Outstanding(1) |
|
|
0.07 |
|
% |
|
0.08 |
|
% |
|
0.03 |
|
% |
|
0.08 |
|
% |
|
0.09 |
|
% |
Ratio of Allowance for Credit
Losses for Loans and Leases to Loans and Leases Outstanding |
|
|
1.12 |
|
% |
|
1.17 |
|
% |
|
1.29 |
|
% |
|
1.12 |
|
% |
|
1.29 |
|
% |
Ratio of Allowance for Credit
Losses for Loans and Leases to Non-accrual Loans and Leases |
|
|
18.95x |
|
|
17.47x |
|
|
18.99x |
|
|
18.95x |
|
|
18.99x |
|
(1) |
|
Annualized for
the three and six months ended June 30, 2022 and 2021,
and three months ended March 31, 2022. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans and Leases by Year of Origination and Credit Quality
Indicator |
|
|
Table 13 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revolving |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Converted |
|
|
|
|
|
Term Loans |
|
Revolving |
|
to Term |
|
|
|
|
|
Amortized Cost Basis by Origination Year |
|
Loans |
|
Loans |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortized |
|
Amortized |
|
|
|
(dollars in thousands) |
|
2022 |
|
2021 |
|
2020 |
|
2019 |
|
2018 |
|
Prior |
|
Cost Basis |
|
Cost Basis |
|
Total |
Commercial
Lending |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and Industrial |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Risk rating: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pass |
|
$ |
216,303 |
|
$ |
421,981 |
|
$ |
66,601 |
|
$ |
182,175 |
|
$ |
60,586 |
|
$ |
156,647 |
|
$ |
697,256 |
|
$ |
19,128 |
|
$ |
1,820,677 |
Special Mention |
|
|
2,816 |
|
|
316 |
|
|
1,628 |
|
|
2,822 |
|
|
748 |
|
|
5,295 |
|
|
1,073 |
|
|
841 |
|
|
15,539 |
Substandard |
|
|
— |
|
|
320 |
|
|
1,103 |
|
|
1,605 |
|
|
1,019 |
|
|
879 |
|
|
16,214 |
|
|
114 |
|
|
21,254 |
Other (1) |
|
|
12,807 |
|
|
9,613 |
|
|
11,531 |
|
|
5,366 |
|
|
3,075 |
|
|
1,576 |
|
|
40,694 |
|
|
— |
|
|
84,662 |
Total Commercial and Industrial |
|
|
231,926 |
|
|
432,230 |
|
|
80,863 |
|
|
191,968 |
|
|
65,428 |
|
|
164,397 |
|
|
755,237 |
|
|
20,083 |
|
|
1,942,132 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial Real Estate |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Risk rating: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pass |
|
|
516,062 |
|
|
695,446 |
|
|
338,391 |
|
|
516,210 |
|
|
459,372 |
|
|
1,270,438 |
|
|
84,174 |
|
|
— |
|
|
3,880,093 |
Special Mention |
|
|
— |
|
|
— |
|
|
562 |
|
|
47,781 |
|
|
— |
|
|
11,140 |
|
|
695 |
|
|
— |
|
|
60,178 |
Substandard |
|
|
— |
|
|
— |
|
|
180 |
|
|
— |
|
|
1,742 |
|
|
14,476 |
|
|
3 |
|
|
— |
|
|
16,401 |
Other (1) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
156 |
|
|
— |
|
|
— |
|
|
156 |
Total Commercial Real Estate |
|
|
516,062 |
|
|
695,446 |
|
|
339,133 |
|
|
563,991 |
|
|
461,114 |
|
|
1,296,210 |
|
|
84,872 |
|
|
— |
|
|
3,956,828 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Construction |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Risk rating: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pass |
|
|
39,575 |
|
|
193,588 |
|
|
127,677 |
|
|
85,471 |
|
|
115,881 |
|
|
88,509 |
|
|
14,965 |
|
|
— |
|
|
665,666 |
Special Mention |
|
|
— |
|
|
— |
|
|
— |
|
|
236 |
|
|
— |
|
|
350 |
|
|
— |
|
|
— |
|
|
586 |
Substandard |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
351 |
|
|
498 |
|
|
— |
|
|
— |
|
|
849 |
Other (1) |
|
|
13,228 |
|
|
29,529 |
|
|
6,049 |
|
|
2,849 |
|
|
3,913 |
|
|
4,151 |
|
|
951 |
|
|
— |
|
|
60,670 |
Total Construction |
|
|
52,803 |
|
|
223,117 |
|
|
133,726 |
|
|
88,556 |
|
|
120,145 |
|
|
93,508 |
|
|
15,916 |
|
|
— |
|
|
727,771 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Lease Financing |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Risk rating: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pass |
|
|
41,656 |
|
|
26,813 |
|
|
49,889 |
|
|
43,989 |
|
|
7,801 |
|
|
68,457 |
|
|
— |
|
|
— |
|
|
238,605 |
Special Mention |
|
|
— |
|
|
457 |
|
|
2,642 |
|
|
1,358 |
|
|
11 |
|
|
17 |
|
|
— |
|
|
— |
|
|
4,485 |
Substandard |
|
|
— |
|
|
— |
|
|
195 |
|
|
16 |
|
|
14 |
|
|
1,347 |
|
|
— |
|
|
— |
|
|
1,572 |
Total Lease Financing |
|
|
41,656 |
|
|
27,270 |
|
|
52,726 |
|
|
45,363 |
|
|
7,826 |
|
|
69,821 |
|
|
— |
|
|
— |
|
|
244,662 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Commercial Lending |
|
$ |
842,447 |
|
$ |
1,378,063 |
|
$ |
606,448 |
|
$ |
889,878 |
|
$ |
654,513 |
|
$ |
1,623,936 |
|
$ |
856,025 |
|
$ |
20,083 |
|
$ |
6,871,393 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revolving |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Converted |
|
|
|
|
|
Term Loans |
|
Revolving |
|
to Term |
|
|
|
|
|
Amortized Cost Basis by Origination Year |
|
Loans |
|
Loans |
|
|
|
(continued) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortized |
|
Amortized |
|
|
|
(dollars in thousands) |
|
2022 |
|
2021 |
|
2020 |
|
2019 |
|
2018 |
|
Prior |
|
Cost Basis |
|
Cost Basis |
|
Total |
Residential
Lending |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential Mortgage |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FICO: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
740 and greater |
|
$ |
352,342 |
|
$ |
1,069,214 |
|
$ |
587,478 |
|
$ |
252,428 |
|
$ |
178,752 |
|
$ |
974,057 |
|
$ |
— |
|
$ |
— |
|
$ |
3,414,271 |
680 - 739 |
|
|
46,224 |
|
|
124,306 |
|
|
79,422 |
|
|
45,117 |
|
|
21,882 |
|
|
144,226 |
|
|
— |
|
|
— |
|
|
461,177 |
620 - 679 |
|
|
5,305 |
|
|
19,143 |
|
|
14,291 |
|
|
5,405 |
|
|
3,892 |
|
|
38,470 |
|
|
— |
|
|
— |
|
|
86,506 |
550 - 619 |
|
|
169 |
|
|
1,943 |
|
|
294 |
|
|
226 |
|
|
2,073 |
|
|
8,017 |
|
|
— |
|
|
— |
|
|
12,722 |
Less than 550 |
|
|
2,085 |
|
|
1,242 |
|
|
60 |
|
|
— |
|
|
340 |
|
|
4,656 |
|
|
— |
|
|
— |
|
|
8,383 |
No Score (3) |
|
|
10,652 |
|
|
14,868 |
|
|
7,544 |
|
|
13,471 |
|
|
16,488 |
|
|
54,373 |
|
|
— |
|
|
— |
|
|
117,396 |
Other (2) |
|
|
20,365 |
|
|
19,445 |
|
|
15,580 |
|
|
9,552 |
|
|
9,757 |
|
|
31,304 |
|
|
4,999 |
|
|
1,311 |
|
|
112,313 |
Total Residential Mortgage |
|
|
437,142 |
|
|
1,250,161 |
|
|
704,669 |
|
|
326,199 |
|
|
233,184 |
|
|
1,255,103 |
|
|
4,999 |
|
|
1,311 |
|
|
4,212,768 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Home Equity Line |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FICO: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
740 and greater |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
748,148 |
|
|
2,227 |
|
|
750,375 |
680 - 739 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
157,042 |
|
|
3,106 |
|
|
160,148 |
620 - 679 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
40,070 |
|
|
2,454 |
|
|
42,524 |
550 - 619 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
9,202 |
|
|
1,601 |
|
|
10,803 |
Less than 550 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
1,159 |
|
|
491 |
|
|
1,650 |
No Score (3) |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
6,069 |
|
|
— |
|
|
6,069 |
Total Home Equity Line |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
961,690 |
|
|
9,879 |
|
|
971,569 |
Total Residential Lending |
|
|
437,142 |
|
|
1,250,161 |
|
|
704,669 |
|
|
326,199 |
|
|
233,184 |
|
|
1,255,103 |
|
|
966,689 |
|
|
11,190 |
|
|
5,184,337 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consumer
Lending |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
FICO: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
740 and greater |
|
|
115,911 |
|
|
132,565 |
|
|
66,828 |
|
|
59,155 |
|
|
38,001 |
|
|
17,426 |
|
|
117,266 |
|
|
203 |
|
|
547,355 |
680 - 739 |
|
|
53,590 |
|
|
80,240 |
|
|
45,783 |
|
|
41,393 |
|
|
23,562 |
|
|
13,947 |
|
|
67,636 |
|
|
566 |
|
|
326,717 |
620 - 679 |
|
|
11,760 |
|
|
35,430 |
|
|
17,746 |
|
|
22,180 |
|
|
13,928 |
|
|
11,374 |
|
|
30,079 |
|
|
1,018 |
|
|
143,515 |
550 - 619 |
|
|
1,000 |
|
|
6,548 |
|
|
6,576 |
|
|
10,400 |
|
|
7,652 |
|
|
6,801 |
|
|
10,044 |
|
|
1,026 |
|
|
50,047 |
Less than 550 |
|
|
379 |
|
|
1,758 |
|
|
2,973 |
|
|
5,022 |
|
|
2,547 |
|
|
2,525 |
|
|
3,047 |
|
|
483 |
|
|
18,734 |
No Score (3) |
|
|
1,087 |
|
|
402 |
|
|
9 |
|
|
52 |
|
|
31 |
|
|
45 |
|
|
37,536 |
|
|
303 |
|
|
39,465 |
Other (2) |
|
|
1,675 |
|
|
4,218 |
|
|
358 |
|
|
1,674 |
|
|
— |
|
|
2,152 |
|
|
71,141 |
|
|
— |
|
|
81,218 |
Total Consumer Lending |
|
|
185,402 |
|
|
261,161 |
|
|
140,273 |
|
|
139,876 |
|
|
85,721 |
|
|
54,270 |
|
|
336,749 |
|
|
3,599 |
|
|
1,207,051 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Loans and
Leases |
|
$ |
1,464,991 |
|
$ |
2,889,385 |
|
$ |
1,451,390 |
|
$ |
1,355,953 |
|
$ |
973,418 |
|
$ |
2,933,309 |
|
$ |
2,159,463 |
|
$ |
34,872 |
|
$ |
13,262,781 |
(1) |
|
Other credit
quality indicators used for monitoring purposes are primarily FICO
scores. The majority of the loans in this population were
originated to borrowers with a prime FICO score. |
|
|
|
(2) |
|
Other credit quality indicators used for monitoring purposes
are primarily internal risk ratings. The majority of the loans in
this population were graded with a “Pass” rating. |
|
|
|
(3) |
|
No FICO scores are primarily related to loans and leases
extended to non-residents. Loans and leases of this nature are
primarily secured by collateral and/or are closely monitored for
performance. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP to Non-GAAP Reconciliation |
|
Table 14 |
|
|
For the Three Months Ended |
|
For the Six Months Ended |
|
|
|
June 30, |
|
March 31, |
|
June 30, |
|
June 30, |
|
(dollars in thousands, except per share amounts) |
|
2022 |
|
2022 |
|
2021 |
|
2022 |
|
2021 |
|
Income Statement
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
59,360 |
|
$ |
57,719 |
|
$ |
86,741 |
|
$ |
117,079 |
|
$ |
144,434 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total stockholders'
equity |
|
$ |
2,262,654 |
|
$ |
2,547,865 |
|
$ |
2,691,966 |
|
$ |
2,404,471 |
|
$ |
2,709,735 |
|
Less: average goodwill |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
Average tangible stockholders'
equity |
|
$ |
1,267,162 |
|
$ |
1,552,373 |
|
$ |
1,696,474 |
|
$ |
1,408,979 |
|
$ |
1,714,243 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total assets |
|
$ |
25,250,176 |
|
$ |
25,080,453 |
|
$ |
24,015,065 |
|
$ |
25,165,783 |
|
$ |
23,482,839 |
|
Less: average goodwill |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
Average tangible assets |
|
$ |
24,254,684 |
|
$ |
24,084,961 |
|
$ |
23,019,573 |
|
$ |
24,170,291 |
|
$ |
22,487,347 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average total
stockholders' equity(1) |
|
|
10.52 |
% |
|
9.19 |
% |
|
12.92 |
% |
|
9.82 |
% |
|
10.75 |
% |
Return on average tangible
stockholders' equity (non-GAAP)(1) |
|
|
18.79 |
% |
|
15.08 |
% |
|
20.51 |
% |
|
16.76 |
% |
|
16.99 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average total
assets(1) |
|
|
0.94 |
% |
|
0.93 |
% |
|
1.45 |
% |
|
0.94 |
% |
|
1.24 |
% |
Return on average tangible
assets (non-GAAP)(1) |
|
|
0.98 |
% |
|
0.97 |
% |
|
1.51 |
% |
|
0.98 |
% |
|
1.30 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As of |
|
As of |
|
As of |
|
As of |
|
|
|
June 30, |
|
March 31, |
|
December 31, |
|
June 30, |
|
(dollars in thousands, except per share amounts) |
|
2022 |
|
2022 |
|
2021 |
|
2021 |
|
Balance Sheet
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total stockholders'
equity |
|
$ |
2,252,611 |
|
$ |
2,285,149 |
|
$ |
2,656,912 |
|
$ |
2,731,341 |
|
Less: goodwill |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
Tangible stockholders'
equity |
|
$ |
1,257,119 |
|
$ |
1,289,657 |
|
$ |
1,661,420 |
|
$ |
1,735,849 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
$ |
25,377,533 |
|
$ |
25,042,720 |
|
$ |
24,992,410 |
|
$ |
24,246,328 |
|
Less: goodwill |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
|
995,492 |
|
Tangible assets |
|
$ |
24,382,041 |
|
$ |
24,047,228 |
|
$ |
23,996,918 |
|
$ |
23,250,836 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares outstanding |
|
|
127,451,087 |
|
|
127,686,307 |
|
|
127,502,472 |
|
|
129,019,871 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total stockholders' equity to
total assets |
|
|
8.88 |
% |
|
9.13 |
% |
|
10.63 |
% |
|
11.26 |
% |
Tangible stockholders' equity
to tangible assets (non-GAAP) |
|
|
5.16 |
% |
|
5.36 |
% |
|
6.92 |
% |
|
7.47 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per share |
|
$ |
17.67 |
|
$ |
17.90 |
|
$ |
20.84 |
|
$ |
21.17 |
|
Tangible book value per share
(non-GAAP) |
|
$ |
9.86 |
|
$ |
10.10 |
|
$ |
13.03 |
|
$ |
13.45 |
|
(1) |
|
Annualized for the three and six months ended
June 30, 2022 and 2021, and three months ended March 31,
2022. |
First Hawaiian (NASDAQ:FHB)
過去 株価チャート
から 7 2024 まで 8 2024
First Hawaiian (NASDAQ:FHB)
過去 株価チャート
から 8 2023 まで 8 2024