10-Q 1 pb-10q_20180630.htm 10-Q pb-10q_20180630.htm

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

 

FORM 10-Q

 

(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2018

OR

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM              TO             

COMMISSION FILE NUMBER: 001-35388

 

PROSPERITY BANCSHARES, INC.®  

(Exact name of registrant as specified in its charter)

 

 

TEXAS

74-2331986

(State or other jurisdiction

of incorporation or organization)

(I.R.S. Employer

Identification No.)

 

Prosperity Bank Plaza

 

4295 San Felipe, Houston, Texas

77027

(Address of principal executive offices)

(Zip Code)

 

(281) 269-7199

(Registrant’s telephone number, including area code)

 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes      No  

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes      No  

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company or an emerging growth company. See definitions of “accelerated filer”, “large accelerated filer”, “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act:

 

Large Accelerated Filer

 

Accelerated Filer

 

 

 

 

 

Non-accelerated Filer

(Do not check if a smaller reporting company)

Smaller Reporting Company

 

 

 

 

 

 

 

 

Emerging Growth Company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.    

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes      No  

As of August 2, 2018, there were 69,838,336 outstanding shares of the registrant’s Common Stock, par value $1.00 per share.  

 

 


PROSPERITY BANCSHARES, INC.® AND SUBSIDIARIES

INDEX TO FORM 10-Q

 

PART I—FINANCIAL INFORMATION

 

 

 

 

Item 1.

Financial Statements

3

 

Consolidated Balance Sheets as of June 30, 2018 and December 31, 2017 (unaudited)

3

 

Consolidated Statements of Income for the Three and Six Months Ended June 30, 2018 and 2017 (unaudited)

4

 

Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2018 and 2017 (unaudited)

5

 

Consolidated Statements of Changes in Shareholders’ Equity for the Six Months Ended June 30, 2018 and 2017 (unaudited)

6

 

Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2018 and 2017 (unaudited)

7

 

Notes to Consolidated Financial Statements (unaudited)

8

Item 2.

Management’s Discussion and Analysis of Financial Condition and Results of Operations

33

Item 3.

Quantitative and Qualitative Disclosures about Market Risk

54

Item 4.

Controls and Procedures

54

 

 

PART II—OTHER INFORMATION

 

 

 

 

Item 1.

Legal Proceedings

55

Item 1A.

Risk Factors

55

Item 2.

Unregistered Sales of Equity Securities and Use of Proceeds

55

Item 3.

Defaults Upon Senior Securities

55

Item 4.

Mine Safety Disclosures

55

Item 5.

Other Information

55

Item 6.

Exhibits

56

Signatures

57

 

 

 

2


PART I—FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

PROSPERITY BANCSHARES, INC.® AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(UNAUDITED)

 

 

June 30,

 

 

December 31,

 

 

 

2018

 

 

2017

 

 

 

(Dollars in thousands, except par value)

 

ASSETS

 

 

 

 

 

 

 

 

Cash and due from banks

 

$

274,902

 

 

$

391,616

 

Federal funds sold

 

 

577

 

 

 

697

 

Total cash and cash equivalents

 

 

275,479

 

 

 

392,313

 

Available for sale securities, at fair value

 

 

104,789

 

 

 

217,870

 

Held to maturity securities, at cost (fair value of $9,218,577 and $9,323,482 respectively)

 

 

9,515,825

 

 

 

9,454,246

 

Total securities

 

 

9,620,614

 

 

 

9,672,116

 

Loans held for sale

 

 

27,767

 

 

 

31,389

 

Loans held for investment

 

 

10,118,798

 

 

 

9,989,384

 

Total loans

 

 

10,146,565

 

 

 

10,020,773

 

Less: allowance for credit losses

 

 

(84,964

)

 

 

(84,041

)

Loans, net

 

 

10,061,601

 

 

 

9,936,732

 

Accrued interest receivable

 

 

56,790

 

 

 

56,368

 

Goodwill

 

 

1,900,845

 

 

 

1,900,845

 

Core deposit intangibles, net

 

 

35,773

 

 

 

38,842

 

Bank premises and equipment, net

 

 

255,465

 

 

 

257,065

 

Other real estate owned

 

 

10,316

 

 

 

11,152

 

Bank owned life insurance (BOLI)

 

 

257,986

 

 

 

255,132

 

Federal Home Loan Bank of Dallas stock

 

 

75,915

 

 

 

49,764

 

Other assets

 

 

19,956

 

 

 

16,963

 

TOTAL ASSETS

 

$

22,570,740

 

 

$

22,587,292

 

LIABILITIES AND SHAREHOLDERS’ EQUITY

 

 

 

 

 

 

 

 

LIABILITIES:

 

 

 

 

 

 

 

 

Deposits:

 

 

 

 

 

 

 

 

Noninterest-bearing

 

$

5,657,589

 

 

$

5,623,322

 

Interest-bearing

 

 

11,321,015

 

 

 

12,198,138

 

Total deposits

 

 

16,978,604

 

 

 

17,821,460

 

Other borrowings

 

 

1,254,849

 

 

 

505,223

 

Securities sold under repurchase agreements

 

 

293,039

 

 

 

324,154

 

Accrued interest payable

 

 

3,548

 

 

 

2,945

 

Other liabilities

 

 

105,248

 

 

 

109,356

 

Total liabilities

 

 

18,635,288

 

 

 

18,763,138

 

COMMITMENTS AND CONTINGENCIES

 

 

 

 

 

 

SHAREHOLDERS’ EQUITY:

 

 

 

 

 

 

 

 

Preferred stock, $1 par value; 20,000,000 shares authorized; none issued or outstanding

 

 

 

 

 

 

Common stock, $1 par value; 200,000,000 shares authorized; 69,838,186 shares issued and outstanding at June 30, 2018; 69,490,910 shares issued and  outstanding at December 31, 2017

 

 

69,838

 

 

 

69,491

 

Capital surplus

 

 

2,040,032

 

 

 

2,035,219

 

Retained earnings

 

 

1,825,237

 

 

 

1,719,557

 

Accumulated other comprehensive income (loss)—net unrealized gain (loss) on available for sale securities, net of tax expense (benefit) of $92 and ($30), respectively

 

 

345

 

 

 

(113

)

Total shareholders’ equity

 

 

3,935,452

 

 

 

3,824,154

 

TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY

 

$

22,570,740

 

 

$

22,587,292

 

 

 

See notes to consolidated financial statements.

 

3


PROSPERITY BANCSHARES, INC.® AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

(UNAUDITED)

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30,

 

 

June 30,

 

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

 

 

(Dollars in thousands, except per share data)

 

INTEREST INCOME:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, including fees

 

$

128,445

 

 

$

114,975

 

 

$

244,691

 

 

$

226,685

 

Securities

 

 

55,577

 

 

 

52,912

 

 

 

110,034

 

 

 

106,069

 

Federal funds sold and other earning assets

 

 

299

 

 

 

160

 

 

 

614

 

 

 

343

 

Total interest income

 

 

184,321

 

 

 

168,047

 

 

 

355,339

 

 

 

333,097

 

INTEREST EXPENSE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

 

16,061

 

 

 

11,441

 

 

 

30,533

 

 

 

21,349

 

Other borrowings

 

 

6,046

 

 

 

4,040

 

 

 

9,019

 

 

 

6,516

 

Securities sold under repurchase agreements

 

 

411

 

 

 

335

 

 

 

761

 

 

 

566

 

Total interest expense

 

 

22,518

 

 

 

15,816

 

 

 

40,313

 

 

 

28,431

 

NET INTEREST INCOME

 

 

161,803

 

 

 

152,231

 

 

 

315,026

 

 

 

304,666

 

PROVISION FOR CREDIT LOSSES

 

 

4,000

 

 

 

2,750

 

 

 

13,000

 

 

 

5,425

 

NET INTEREST INCOME AFTER PROVISION FOR CREDIT LOSSES

 

 

157,803

 

 

 

149,481

 

 

 

302,026

 

 

 

299,241

 

NONINTEREST INCOME:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Nonsufficient funds (NSF) fees

 

 

7,828

 

 

 

7,805

 

 

 

15,655

 

 

 

15,894

 

Credit card, debit card and ATM card income

 

 

6,335

 

 

 

6,186

 

 

 

12,296

 

 

 

12,139

 

Service charges on deposit accounts

 

 

5,150

 

 

 

5,405

 

 

 

10,425

 

 

 

10,826

 

Trust income

 

 

2,251

 

 

 

2,271

 

 

 

4,979

 

 

 

4,426

 

Mortgage income

 

 

1,109

 

 

 

1,107

 

 

 

1,872

 

 

 

2,373

 

Brokerage income

 

 

687

 

 

 

427

 

 

 

1,312

 

 

 

915

 

Net loss on sale of assets

 

 

(44

)

 

 

(3,783

)

 

 

(44

)

 

 

(2,024

)

Net (loss) gain on sale of securities

 

 

(13

)

 

 

3,270

 

 

 

(13

)

 

 

3,270

 

Other

 

 

5,068

 

 

 

5,092

 

 

 

9,827

 

 

 

10,785

 

Total noninterest income

 

 

28,371

 

 

 

27,780

 

 

 

56,309

 

 

 

58,604

 

NONINTEREST EXPENSE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

53,360

 

 

 

47,343

 

 

 

103,759

 

 

 

95,787

 

Net occupancy and equipment

 

 

5,692

 

 

 

5,460

 

 

 

11,301

 

 

 

10,963

 

Credit and debit card, data processing and software amortization

 

 

4,356

 

 

 

4,216

 

 

 

8,804

 

 

 

8,301

 

Regulatory assessments and FDIC insurance

 

 

3,575

 

 

 

3,548

 

 

 

7,150

 

 

 

7,097

 

Core deposit intangibles amortization

 

 

1,501

 

 

 

1,719

 

 

 

3,069

 

 

 

3,634

 

Depreciation

 

 

3,054

 

 

 

3,051

 

 

 

6,087

 

 

 

6,154

 

Communications

 

 

2,606

 

 

 

2,664

 

 

 

5,186

 

 

 

5,366

 

Other real estate expense

 

 

93

 

 

 

57

 

 

 

304

 

 

 

142

 

Other

 

 

9,365

 

 

 

8,384

 

 

 

17,996

 

 

 

17,060

 

Total noninterest expense

 

 

83,602

 

 

 

76,442

 

 

 

163,656

 

 

 

154,504

 

INCOME BEFORE INCOME TAXES

 

 

102,572

 

 

 

100,819

 

 

 

194,679

 

 

 

203,341

 

PROVISION FOR INCOME TAXES

 

 

20,975

 

 

 

32,265

 

 

 

38,721

 

 

 

66,222

 

NET INCOME

 

$

81,597

 

 

$

68,554

 

 

$

155,958

 

 

$

137,119

 

EARNINGS PER SHARE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

1.17

 

 

$

0.99

 

 

$

2.23

 

 

$

1.97

 

Diluted

 

$

1.17

 

 

$

0.99

 

 

$

2.23

 

 

$

1.97

 

 

See notes to consolidated financial statements.

 

4


PROSPERITY BANCSHARES, INC.® AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(UNAUDITED)

 

 

 

Three Months Ended

 

 

Six Months Ended

 

 

 

June 30,

 

 

June 30,

 

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

 

 

(Dollars in thousands)

 

Net income

 

$

81,597

 

 

$

68,554

 

 

$

155,958

 

 

$

137,119

 

Other comprehensive income, before tax:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Securities available for sale:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Change in unrealized gain during period

 

 

380

 

 

 

671

 

 

 

580

 

 

 

700

 

Total other comprehensive income

 

 

380

 

 

 

671

 

 

 

580

 

 

 

700

 

Deferred taxes related to other comprehensive income

 

 

(80

)

 

 

(235

)

 

 

(122

)

 

 

(245

)

Other comprehensive income, net of tax

 

 

300

 

 

 

436

 

 

 

458

 

 

 

455

 

Comprehensive income

 

$

81,897

 

 

$

68,990

 

 

$

156,416

 

 

$

137,574

 

 

See notes to consolidated financial statements.

 

 

5


PROSPERITY BANCSHARES, INC.® AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

(UNAUDITED)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accumulated

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other

 

 

Total

 

 

 

Common Stock

 

 

Capital

 

 

Retained

 

 

Comprehensive

 

 

Shareholders’

 

 

 

Shares

 

 

Amount

 

 

Surplus

 

 

Earnings

 

 

Income

 

 

Equity

 

 

 

(In thousands, except share and per share data)

 

BALANCE AT DECEMBER 31, 2016

 

 

69,491,012

 

 

$

69,491

 

 

$

2,028,129

 

 

$

1,543,280

 

 

$

1,411

 

 

$

3,642,311

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

137,119

 

 

 

 

 

 

 

137,119

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

455

 

 

 

455

 

Common stock issued in connection with the exercise of stock options and restricted stock awards, net

 

 

(3,000

)

 

 

(3

)

 

 

151

 

 

 

 

 

 

 

 

 

 

 

148

 

Stock based compensation expense

 

 

 

 

 

 

 

 

 

 

3,404

 

 

 

 

 

 

 

 

 

 

 

3,404

 

Cash dividends declared, $0.68 per share

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(47,249

)

 

 

 

 

 

 

(47,249

)

BALANCE AT JUNE 30, 2017

 

 

69,488,012

 

 

$

69,488

 

 

$

2,031,684

 

 

$

1,633,150

 

 

$

1,866

 

 

$

3,736,188

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

BALANCE AT DECEMBER 31, 2017

 

 

69,490,910

 

 

$

69,491

 

 

$

2,035,219

 

 

$

1,719,557

 

 

$

(113

)

 

$

3,824,154

 

Net income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

155,958

 

 

 

 

 

 

 

155,958

 

Other comprehensive income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

458

 

 

 

458

 

Common stock issued in connection with the exercise of stock options and restricted stock awards, net

 

 

347,276

 

 

 

347

 

 

 

(347

)

 

 

 

 

 

 

 

 

 

 

 

Stock based compensation expense

 

 

 

 

 

 

 

 

 

 

5,160

 

 

 

 

 

 

 

 

 

 

 

5,160

 

Cash dividends declared, $0.72 per share

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(50,278

)

 

 

 

 

 

 

(50,278

)

BALANCE AT JUNE 30, 2018

 

 

69,838,186

 

 

$

69,838

 

 

$

2,040,032

 

 

$

1,825,237

 

 

$

345

 

 

$

3,935,452

 

 

See notes to consolidated financial statements.

 

 

6


PROSPERITY BANCSHARES, INC.® AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)

 

 

 

 

Six Months Ended

 

 

 

June 30,

 

 

 

2018

 

 

2017

 

 

 

(Dollars in thousands)

 

CASH FLOWS FROM OPERATING ACTIVITIES:

 

 

 

 

 

 

 

 

Net income

 

$

155,958

 

 

$

137,119

 

Adjustments to reconcile net income to net cash provided by operating activities:

 

 

 

 

 

 

 

 

Depreciation and core deposit intangibles amortization

 

 

9,156

 

 

 

9,788

 

Provision for credit losses

 

 

13,000

 

 

 

5,425

 

Net amortization of premium on investments

 

 

16,203

 

 

 

19,286

 

Net loss (gain) on sale of other real estate

 

 

132

 

 

 

(81

)

Net loss (gain) on sale of investment securities

 

 

13

 

 

 

(3,270

)

Net loss on sale of assets

 

 

44

 

 

 

2,024

 

Net accretion of discount on loans

 

 

(7,549

)

 

 

(9,224

)

Net amortization of premium on deposits

 

 

(106

)

 

 

(138

)

Gain on sale of loans

 

 

(1,761

)

 

 

(2,180

)

Proceeds from sale of loans held for sale

 

 

100,620

 

 

 

110,953

 

Originations of loans held for sale

 

 

(95,237

)

 

 

(108,374

)

Stock based compensation expense

 

 

5,160

 

 

 

3,404

 

(Increase) decrease in accrued interest receivable and other assets

 

 

(32,554

)

 

 

5,410

 

(Decrease) increase in accrued interest payable and other liabilities

 

 

(5,206

)

 

 

37,747

 

Net cash provided by operating activities

 

 

157,873

 

 

 

207,889

 

 

 

 

 

 

 

 

 

 

CASH FLOWS FROM INVESTING ACTIVITIES:

 

 

 

 

 

 

 

 

Proceeds from maturities and principal paydowns of held to maturity securities

 

 

862,987

 

 

 

921,196

 

Purchase of held to maturity securities

 

 

(940,595

)

 

 

(761,188

)

Proceeds from maturities and principal paydowns of available for sale securities

 

 

8,113,160

 

 

 

7,221,960

 

Purchase of available for sale securities

 

 

(7,999,686

)

 

 

(7,253,393

)

Net increase in loans held for investment

 

 

(134,124

)

 

 

(241,520

)

Purchase of bank premises and equipment

 

 

(6,280

)

 

 

(3,490

)

Proceeds from sale of bank premises, equipment and other real estate

 

 

2,647

 

 

 

6,996

 

Proceeds from insurance claims

 

 

1,701

 

 

 

 

Net cash used in investing activities

 

 

(100,190

)

 

 

(109,439

)

 

 

 

 

 

 

 

 

 

CASH FLOWS FROM FINANCING ACTIVITIES:

 

 

 

 

 

 

 

 

Net increase in noninterest-bearing deposits

 

 

34,267

 

 

 

206,320

 

Net decrease in interest-bearing deposits

 

 

(877,017

)

 

 

(442,954

)

Net proceeds from other short-term borrowings

 

 

750,000

 

 

 

45,000

 

Repayments of other long-term borrowings

 

 

(374

)

 

 

(275

)

Net (decrease) increase in securities sold under repurchase agreements

 

 

(31,115

)

 

 

25,894

 

Proceeds from stock option exercises

 

 

 

 

 

148

 

Payments of cash dividends

 

 

(50,278

)

 

 

(47,249

)

Net cash used in financing activities

 

 

(174,517

)

 

 

(213,116

)

NET DECREASE IN CASH AND CASH EQUIVALENTS

 

 

(116,834

)

 

 

(114,666

)

CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD

 

 

392,313

 

 

 

437,381

 

CASH AND CASH EQUIVALENTS, END OF PERIOD

 

$

275,479

 

 

$

322,715

 

 

 

 

 

 

 

 

 

 

NONCASH ACTIVITIES:

 

 

 

 

 

 

 

 

Acquisition of real estate through foreclosure of collateral

 

$

153

 

 

$

1,371

 

 

 

 

 

 

 

 

 

 

SUPPLEMENTAL INFORMATION:

 

 

 

 

 

 

 

 

Income taxes paid

 

$

94,610

 

 

$

63,785

 

Interest paid

 

 

39,710

 

 

 

27,917

 

 

 

 

 

 

 

 

 

 

See notes to consolidated financial statements.

 

7


PROSPERITY BANCSHARES, INC.® AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

JUNE 30, 2018

(UNAUDITED)

 

1. BASIS OF PRESENTATION

The consolidated financial statements include the accounts of Prosperity Bancshares, Inc.® (“Bancshares”) and its wholly-owned subsidiary, Prosperity Bank® (the “Bank,” and together with Bancshares, the “Company”). All intercompany transactions and balances have been eliminated.

The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for financial information and with the rules and regulations of the Securities and Exchange Commission. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements. In the opinion of management, the statements reflect all adjustments necessary for a fair presentation of the financial position, results of operations and cash flows of the Company on a consolidated basis; and all such adjustments are of a normal recurring nature. These financial statements and the notes thereto should be read in conjunction with the Company’s Annual Report on Form 10-K for the year ended December 31, 2017. Operating results for the six-month period ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ending December 31, 2018 or any other period.

 

 

2. INCOME PER COMMON SHARE

Outstanding stock options issued by the Company represent the only dilutive effect reflected in diluted weighted average shares. As of June 30, 2018, all stock options have been exercised and there are no remaining options outstanding.  

The following table illustrates the computation of basic and diluted earnings per share:

 

 

 

Three Months Ended June 30,

 

 

Six Months Ended June 30,

 

 

 

2018

 

 

2017

 

 

2018

 

 

2017

 

 

 

Amount

 

 

Per Share Amount

 

 

Amount

 

 

Per Share Amount

 

 

Amount

 

 

Per Share Amount

 

 

Amount

 

 

Per Share Amount

 

 

 

(Amounts in thousands, except per share data)

 

Net income

 

$

81,597

 

 

 

 

 

 

$

68,554

 

 

 

 

 

 

$

155,958

 

 

 

 

 

 

$

137,119

 

 

 

 

 

Basic:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding

 

 

69,839

 

 

$

1.17

 

 

 

69,487

 

 

$

0.99

 

 

 

69,803

 

 

$

2.23

 

 

 

69,483

 

 

$

1.97

 

Diluted:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Add incremental shares for:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Effect of dilutive securities - options

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1

 

 

 

 

 

Total

 

 

69,839

 

 

$

1.17

 

 

 

69,487

 

 

$

0.99

 

 

 

69,803

 

 

$

2.23

 

 

 

69,484

 

 

$

1.97

 

 

There were no stock options exercisable during the three and six months ended June 30, 2018 or 2017 that would have had an anti-dilutive effect on the above computation.

 

 

8


PROSPERITY BANCSHARES, IN