Segment Information

3 Months Ended

Mar. 31, 2015

Segment Reporting [Abstract]

Segment Information

Segment Information

The Company’s operations consist of three primary segments: community banking, specialty finance and wealth management.

The three reportable segments are strategic business units that are separately managed as they offer different products and services and have different marketing strategies. In addition, each segment’s customer base has varying characteristics and each segment has a different regulatory environment. While the Company’s management monitors each of the fifteen bank subsidiaries’ operations and profitability separately, these subsidiaries have been aggregated into one reportable operating segment due to the similarities in products and services, customer base, operations, profitability measures, and economic characteristics.

For purposes of internal segment profitability, management allocates certain intersegment and parent company balances. Management allocates a portion of revenues to the specialty finance segment related to loans originated by the specialty finance segment and sold to the community banking segment. Similarly, for purposes of analyzing the contribution from the wealth management segment, management allocates a portion of the net interest income earned by the community banking segment on deposit balances of customers of the wealth management segment to the wealth management segment. See Note 9 — Deposits, for more information on these deposits. Finally, expenses incurred at the Wintrust parent company are allocated to each segment based on each segment's risk-weighted assets.

The segment financial information provided in the following tables has been derived from the internal profitability reporting system used by management to monitor and manage the financial performance of the Company. The accounting policies of the segments are substantially similar to as those described in “Summary of Significant Accounting Policies” in Note 1 of the Company’s 2014 Form 10-K. The Company evaluates segment performance based on after-tax profit or loss and other appropriate profitability measures common to each segment.

The following is a summary of certain operating information for reportable segments:

	Three months ended						$ Change in Contribution			% Change  in Contribution
(Dollars in thousands)	March 31, 2015			March 31, 2014
Net interest income:
Community Banking	$	122,681		$	116,755		$	5,926		5	%
Specialty Finance	21,046			19,212			1,834			10
Wealth Management	4,189			4,099			90			2
Total Operating Segments	147,916			140,066			7,850			6
Intersegment Eliminations	3,975			3,940			35			1
Consolidated net interest income	$	151,891		$	144,006		$	7,885		5	%
Non-interest income:
Community Banking	$	44,912		$	27,319		$	17,593		64	%
Specialty Finance	7,871			7,881			(10		)	—
Wealth Management	18,728			16,941			1,787			11
Total Operating Segments	71,511			52,141			19,370			37
Intersegment Eliminations	(6,970		)	(6,612		)	(358		)	(5	)
Consolidated non-interest income	$	64,541		$	45,529		$	19,012		42	%
Net revenue:
Community Banking	$	167,593		$	144,074		$	23,519		16	%
Specialty Finance	28,917			27,093			1,824			7
Wealth Management	22,917			21,040			1,877			9
Total Operating Segments	219,427			192,207			27,220			14
Intersegment Eliminations	(2,995		)	(2,672		)	(323		)	(12	)
Consolidated net revenue	$	216,432		$	189,535		$	26,897		14	%
Segment profit:
Community Banking	$	24,965		$	22,581		$	2,384		11	%
Specialty Finance	10,952			8,982			1,970			22
Wealth Management	3,135			2,937			198			7
Consolidated net income	$	39,052		$	34,500		$	4,552		13	%
Segment assets:
Community Banking	$	17,050,262		$	15,160,507		$	1,889,755		12	%
Specialty Finance	2,784,069			2,532,362			251,707			10
Wealth Management	547,940			528,294			19,646			4
Consolidated total assets	$	20,382,271		$	18,221,163		$	2,161,108		12	%