Pennsylvania | 001-35542 | 27-2290659 |
(State or other jurisdiction of incorporation or organization) | (Commission File number) | (IRS Employer Identification No.) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2). Emerging growth company o |
Exhibit | Description | |
Press Release dated October 25, 2017 |
CUSTOMERS BANCORP, INC. | |
By: /s/ Robert E. Wahlman | |
Name: Robert E. Wahlman | |
Title: Executive Vice President and Chief Financial Officer |
Exhibit No. | Description | |
Press Release dated October 25, 2017 |
• | Total loans outstanding, including commercial loans held for sale, increased $0.8 billion, or 9.0%, to $9.2 billion as of September 30, 2017 compared to total loans of $8.4 billion as of September 30, 2016. |
• | Commercial and industrial loans, excluding commercial loans to mortgage companies, increased $302 million to $1.6 billion, up 24.2% over September 30, 2016, multi-family loans increased $594 million to $3.8 billion, up 18.7 percent over September 30, 2016, commercial non-owner-occupied real estate loans increased only $87 million to $1.2 billion, consumer loans increased $193 million to $0.5 billion, and commercial loans to mortgage companies decreased $407 million to $2.0 billion. |
• | Total deposits increased by $208 million, or 2.8%, to $7.6 billion as of September 30, 2017 compared to total deposits of $7.4 billion as of September 30, 2016. Non-interest bearing demand deposit accounts increased $346 million to $1.4 billion, interest bearing demand deposit accounts increased $161 million to $362 million, money market deposit accounts increased $329 million to $3.5 billion, and certificates of deposit accounts decreased $629 million to $2.3 billion. |
• | Q3 2017 net interest income of $68.0 million increased $3.4 million, or 5.3%, from net interest income for Q3 2016 as average interest earning assets increased $1.2 billion. The Q3 2017 net interest margin narrowed by 21 basis points from Q3 2016 to 262 basis points. The net interest margin compression largely resulted from a nearly $1.5 million reduction in prepayment penalties in the multi-family portfolio. Net interest margin was also impacted by Customers Bancorp's issuance of 3.95% senior notes on June 30, 2017 and a one-time interest expense adjustment of approximately $0.3 million. |
• | Customers’ Q3 2017 provision for loan losses totaled $2.4 million compared to a provision expense of $0.1 million in Q3 2016. The Q3 2017 provision expense included $1.4 million for loan portfolio net growth and a $0.8 million increase for specifically identified loans. There were no significant changes in Customers' methodology for estimating the allowance for loan losses in Q3 2017. |
• | Non-interest income decreased $9.5 million in Q3 2017 to $18.0 million, a 34.4% decrease over Q3 2016. Included in Q3 2017 non-interest income was an $8.3 million impairment charge related to Religare and a $5.3 million gain on sale of investment securities, while Q3 2016 had a one-time benefit of $2.2 million arising from a recovery of a previously recorded loss. |
• | Non-interest expenses totaled $61.0 million, an increase of $4.8 million from Q3 2016, or 8.6%. Salaries and employee benefits increased $2.1 million, and the $4.2 million in catch-up depreciation and amortization adjustment was recorded in Q3 2017 for BankMobile assets that were previously classified as held for sale. These increases were partially offset by decreases in other real estate owned valuation adjustments and in deposit insurance assessments, non-income taxes and regulatory fees, of $0.7 million and $0.3 million, respectively. |
• | During Q3 2017, Customers reversed $4.6 million in expected tax benefits from previously recorded other-than-temporary impairment losses on Religare securities. Customers no longer believes that those tax benefits will be realizable as a result of the change in strategy regarding the disposition of BankMobile. Q3 2017 income tax expense of $14.9 million on pre-tax income of $22.7 million, excluding the impact of the tax benefit reversal, represents an effective tax rate of 45.4% compared to Q3 2016 income tax expense of $14.6 million on pre-tax income of $35.8 million for an effective tax rate of 40.7%. It is expected that Customers' effective tax rate will be approximately 37.25% for the remainder of 2017. |
• | BankMobile, previously presented as discontinued operations in the financial statements due to Customers' stated intent to sell the business, was reclassified as held and used at September 30, 2017. During Q3 2017, Customers decided that the best strategy for its shareholders for divesting BankMobile was to spin-off BankMobile to Customers’ shareholders through a spin-off/merger |
• | The increase in BankMobile's non-interest expense of $7.7 million to $27.1 million in Q3 2017 as compared to $19.4 million in Q3 2016 was mainly due to the $4.2 million catch-up depreciation and amortization for BankMobile assets for the period the assets were classified as held for sale, increases in core processing system costs including system conversion expenses totaling $1.7 million, and increases in non-capitalizable software development costs of $1.4 million. |
• | Customers' return on average assets was 0.29% in Q3 2017 compared to 0.89% in Q3 2016, and its return on average common equity was 2.33% in Q3 2017 compared to 13.21% in Q3 2016. The adjusted return on average assets, which excludes the notable items described above (a non-GAAP measure) was 0.86% in Q3 2017 and the adjusted return on average common equity, which excludes the notable items described above (a non-GAAP measure) was 11.11% in Q3 2017. |
• | The Q3 2017 efficiency ratio was 68.6% compared to the Q3 2016 efficiency of 61.1%. The Q3 2017 efficiency ratio for the Community Business Banking segment was 46.9% compared to the Q3 2016 efficiency ratio of 49.6% for the segment. |
• | The book value and tangible book value (a non-GAAP measure) per common share increased to $22.51 and $21.98 per share, respectively, at September 30, 2017, both reflecting a CAGR of 12% over the past five years. |
• | Based on Customers Bancorp, Inc.'s September 30, 2017 closing stock price of $32.62, Customers was trading at approximately 1.5 times tangible book value per common share. |
• | The $0.6 million decrease in net interest income in Q3 2017 was principally attributable to lower prepayment penalties and other adjustments of approximately $1.7 million in Q3 2017 when compared to Q2 2017. |
• | The $1.8 million increase in provision for loan losses in Q3 2017 compared to Q2 2017 resulted principally from higher provisions for loan portfolio growth of $1.4 million and a $0.8 million increase for specifically identified loans. There were no significant changes in Customers' methodology for estimating the allowance for loan losses in Q3 2017. |
• | Non-interest income, excluding the $5.3 million and $3.2 million gains realized from the sale of investment securities in Q3 2017 and Q2 2017, respectively, and the impairment charges of $8.3 and $2.9 million recognized on Religare in Q3 2017 and Q2 2017, respectively, increased by $2.9 million in Q3 2017 to $21.0 million, compared to $18.1 million in Q2 2017. The Q3 2017 increase resulted primarily from increases in interchange and card revenue of $0.9 million, gains |
• | The $10.6 million increase in non-interest expenses in Q3 2017 compared to Q2 2017 resulted primarily from the $4.2 million charge in Q3 2017 relating to the catch-up amount of depreciation and amortization expense resulting from the reclassification of BankMobile assets from held for sale to held and used. Salaries and employee benefits and professional services increased by a combined $2.3 million while core processing system costs increased by $1.9 million and non-capitalizable costs related to BankMobile software development increased by $0.8 million. |
• | The $2.6 million increase in income tax expense in Q3 2017 compared to Q2 2017 was primarily due to the reversal of $4.6 million in expected tax benefits from previously recorded other-than-temporary impairment losses on Religare securities and the Q3 2017 other-than-temporary impairment on the same securities which no tax benefit was recorded because of the change in the disposition strategy for BankMobile as previously described. |
• | BankMobile, which was reclassified from held for sale to held and used in Q3 2017, had a pre-tax loss of $13.7 million, before considering funds transfer pricing, an increase of 62% from Q2 2017 as a result of lower deposit balances in student accounts and the recapture of $4.2 million of depreciation and amortization charges deferred while the business was classified as held for sale. Segment reporting results, which consider income taxes and a transfer of interest income from the Community Business Banking segment to the BankMobile segment of $2.7 million in the third quarter for the use of low/no cost deposits, indicates a Q3 2017 BankMobile after-tax segment loss of $6.9 million. |
• | The increase in BankMobile's non-interest expense of $7.2 million to $27.1 million in Q3 2017 as compared to $19.8 million in Q2 2017 was mainly due to the $4.2 million catch-up depreciation and amortization for BankMobile assets for the period the assets were classified as held for sale, increases in core processing system costs including system conversion expenses totaling $1.0 million, increases in non-capitalizable software development costs of $0.8 million, as well as increases in legal fees and external professional services of $1.2 million. |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||||||
EARNINGS SUMMARY - UNAUDITED | |||||||||||||||
(Dollars in thousands, except per-share data) | |||||||||||||||
Q3 | Q2 | Q1 | Q4 | Q3 | |||||||||||
2017 | 2017 | 2017 | 2016 | 2016 | |||||||||||
Net income available to common shareholders | $ | 4,139 | $ | 20,107 | $ | 22,132 | $ | 16,213 | $ | 18,655 | |||||
Basic earnings per common share ("EPS") | $ | 0.13 | $ | 0.66 | $ | 0.73 | $ | 0.56 | $ | 0.68 | |||||
Diluted EPS | $ | 0.13 | $ | 0.62 | $ | 0.67 | $ | 0.51 | $ | 0.63 | |||||
Average common shares outstanding - basic | 30,739,671 | 30,641,554 | 30,407,060 | 28,978,115 | 27,367,551 | ||||||||||
Average common shares outstanding - diluted | 32,512,692 | 32,569,652 | 32,789,160 | 31,581,811 | 29,697,207 | ||||||||||
Shares outstanding period end | 30,787,632 | 30,730,784 | 30,636,327 | 30,289,917 | 27,544,217 | ||||||||||
Return on average assets | 0.29 | % | 0.93 | % | 1.09 | % | 0.84 | % | 0.89 | % | |||||
Return on average common equity | 2.33 | % | 11.84 | % | 13.80 | % | 10.45 | % | 13.21 | % | |||||
Return on average assets - pre-tax and pre-provision (1) | 0.92 | % | 1.43 | % | 1.51 | % | 1.25 | % | 1.51 | % | |||||
Return on average common equity - pre-tax and pre-provision (2) | 12.04 | % | 19.42 | % | 20.07 | % | 16.58 | % | 23.59 | % | |||||
Net interest margin, tax equivalent (3) | 2.62 | % | 2.78 | % | 2.73 | % | 2.84 | % | 2.83 | % | |||||
Efficiency ratio | 68.55 | % | 58.15 | % | 56.82 | % | 57.70 | % | 61.06 | % | |||||
Non-performing loans (NPLs) to total loans (including held-for-sale loans) | 0.33 | % | 0.21 | % | 0.33 | % | 0.22 | % | 0.16 | % | |||||
Reserves to non-performing loans | 130.83 | % | 204.59 | % | 149.85 | % | 215.31 | % | 287.88 | % | |||||
Net charge-offs | $ | 2,495 | $ | 1,960 | $ | 482 | $ | 770 | $ | 288 | |||||
Tier 1 capital to average assets (leverage ratio) | 8.35 | % | 8.66 | % | 9.04 | % | 9.07 | % | 8.18 | % | |||||
Common equity Tier 1 capital to risk-weighted assets (4) | 8.28 | % | 8.28 | % | 8.51 | % | 8.49 | % | 7.12 | % | |||||
Tier 1 capital to risk-weighted assets (4) | 10.94 | % | 10.96 | % | 11.35 | % | 11.41 | % | 9.90 | % | |||||
Total capital to risk-weighted assets (4) | 12.39 | % | 12.43 | % | 12.99 | % | 13.05 | % | 11.63 | % | |||||
Tangible common equity to tangible assets (5) | 6.47 | % | 6.21 | % | 6.52 | % | 6.63 | % | 5.79 | % | |||||
Book value per common share | $ | 22.51 | $ | 22.54 | $ | 21.62 | $ | 21.08 | $ | 20.78 | |||||
Tangible book value per common share (period end) (6) | $ | 21.98 | $ | 21.97 | $ | 21.04 | $ | 20.49 | $ | 20.16 | |||||
Period end stock price | $ | 32.62 | $ | 28.28 | $ | 31.53 | $ | 35.82 | $ | 25.16 | |||||
(1) Non-GAAP measure calculated as GAAP net income, plus provision for loan losses and income tax expense divided by average total assets. | |||||||||||||||
(2) Non-GAAP measure calculated as GAAP net income available to common shareholders, plus provision for loan losses and income tax expense divided by average common equity. | |||||||||||||||
(3) Non-GAAP measure calculated as GAAP net interest income, plus tax equivalent interest using a 35% statutory rate divided by average interest earning assets. | |||||||||||||||
(4) Risk based regulatory capital ratios are estimated for Q3 2017. | |||||||||||||||
(5) Non-GAAP measure calculated as GAAP total shareholders' equity less preferred stock and goodwill and other intangibles divided by total assets less goodwill and other intangibles. | |||||||||||||||
(6) Non-GAAP measure calculated as GAAP total shareholders' equity less preferred stock and goodwill and other intangibles divided by common shares outstanding at period end. |
• | Principally concentrated in New York City and principally to high net worth families; |
• | Average loan size is $6.8 million; |
• | Median annual debt service coverage ratio is 137%; |
• | Median loan-to-value is 67.75%; |
• | All loans are individually stressed with an increase of 1% and 2% to the cap rate and an increase of 1.5% and 3% in loan interest rates; |
• | All properties are inspected prior to a loan being granted and monitored thereafter on an annual basis by dedicated portfolio managers; and |
• | Credit approval process is independent of customer sales and portfolio management process. |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE THREE MONTHS ENDED - UNAUDITED | |||||||||||
(Dollars in thousands, except per share data) | |||||||||||
Q3 | Q2 | Q3 | |||||||||
2017 | 2017 | 2016 | |||||||||
Interest income: | |||||||||||
Loans receivable, including fees | $ | 67,107 | $ | 67,037 | $ | 60,362 | |||||
Loans held for sale | 21,633 | 17,524 | 18,737 | ||||||||
Investment securities | 7,307 | 7,823 | 3,528 | ||||||||
Other | 2,238 | 1,469 | 1,585 | ||||||||
Total interest income | 98,285 | 93,853 | 84,212 | ||||||||
Interest expense: | |||||||||||
Deposits | 18,381 | 16,229 | 13,009 | ||||||||
Other borrowings | 3,168 | 1,993 | 1,642 | ||||||||
FHLB advances | 7,032 | 5,340 | 3,291 | ||||||||
Subordinated debt | 1,685 | 1,685 | 1,685 | ||||||||
Total interest expense | 30,266 | 25,247 | 19,627 | ||||||||
Net interest income | 68,019 | 68,606 | 64,585 | ||||||||
Provision for loan losses | 2,352 | 535 | 88 | ||||||||
Net interest income after provision for loan losses | 65,667 | 68,071 | 64,497 | ||||||||
Non-interest income: | |||||||||||
Interchange and card revenue | 9,570 | 8,648 | 11,547 | ||||||||
Gains (losses) on investment securities | 5,349 | 3,183 | (1 | ) | |||||||
Deposit fees | 2,659 | 2,133 | 4,218 | ||||||||
Mortgage warehouse transactional fees | 2,396 | 2,523 | 3,080 | ||||||||
Bank-owned life insurance | 1,672 | 2,258 | 1,386 | ||||||||
Gain on sale of SBA and other loans | 1,144 | 573 | 1,206 | ||||||||
Mortgage banking income | 257 | 291 | 287 | ||||||||
Impairment loss on investment securities | (8,349 | ) | (2,882 | ) | — | ||||||
Other | 3,328 | 1,664 | 5,763 | ||||||||
Total non-interest income | 18,026 | 18,391 | 27,486 | ||||||||
Non-interest expense: | |||||||||||
Salaries and employee benefits | 24,807 | 23,651 | 22,681 | ||||||||
Technology, communication and bank operations | 14,401 | 8,910 | 12,525 | ||||||||
Professional services | 7,403 | 6,227 | 7,006 | ||||||||
Occupancy | 2,857 | 2,657 | 2,450 | ||||||||
FDIC assessments, taxes, and regulatory fees | 2,475 | 2,416 | 2,726 | ||||||||
Loan workout | 915 | 408 | 592 | ||||||||
Other real estate owned | 445 | 160 | 1,192 | ||||||||
Advertising and promotion | 404 | 378 | 591 | ||||||||
Acquisition related expenses | — | — | 144 | ||||||||
Other | 7,333 | 5,605 | 6,311 | ||||||||
Total non-interest expense | 61,040 | 50,412 | 56,218 | ||||||||
Income before income tax expense | 22,653 | 36,050 | 35,765 | ||||||||
Income tax expense | 14,899 | 12,328 | 14,558 | ||||||||
Net income | 7,754 | 23,722 | 21,207 | ||||||||
Preferred stock dividends | 3,615 | 3,615 | 2,552 | ||||||||
Net income available to common shareholders | $ | 4,139 | $ | 20,107 | $ | 18,655 | |||||
Basic earnings per common share | $ | 0.13 | $ | 0.66 | $ | 0.68 | |||||
Diluted earnings per common share | $ | 0.13 | $ | 0.62 | $ | 0.63 |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||
CONSOLIDATED STATEMENTS OF OPERATIONS FOR THE NINE MONTHS ENDED - UNAUDITED | |||||||
(Dollars in thousands, except per share data) | |||||||
September 30, | September 30, | ||||||
2017 | 2016 | ||||||
Interest income: | |||||||
Loans receivable, including fees | $ | 195,605 | $ | 173,847 | |||
Loans held for sale | 53,103 | 50,272 | |||||
Investment securities | 21,017 | 10,875 | |||||
Other | 5,507 | 3,937 | |||||
Total interest income | 275,232 | 238,931 | |||||
Interest expense: | |||||||
Deposits | 48,934 | 34,365 | |||||
Other borrowings | 6,767 | 4,867 | |||||
FHLB advances | 15,433 | 9,274 | |||||
Subordinated debt | 5,055 | 5,055 | |||||
Total interest expense | 76,189 | 53,561 | |||||
Net interest income | 199,043 | 185,370 | |||||
Provision for loan losses | 5,937 | 2,854 | |||||
Net interest income after provision for loan losses | 193,106 | 182,516 | |||||
Non-interest income: | |||||||
Interchange and card revenue | 31,729 | 13,806 | |||||
Gains on investment securities | 8,532 | 25 | |||||
Deposit fees | 7,918 | 5,260 | |||||
Mortgage warehouse transactional fees | 7,139 | 8,702 | |||||
Bank-owned life insurance | 5,297 | 3,629 | |||||
Gain on sale of SBA and other loans | 3,045 | 2,135 | |||||
Mortgage banking income | 703 | 737 | |||||
Impairment loss on investment securities | (12,934 | ) | — | ||||
Other | 7,741 | 6,943 | |||||
Total non-interest income | 59,170 | 41,237 | |||||
Non-interest expense: | |||||||
Salaries and employee benefits | 69,569 | 58,051 | |||||
Technology, communication and bank operations | 33,227 | 19,021 | |||||
Professional services | 21,142 | 13,213 | |||||
Occupancy | 8,228 | 7,248 | |||||
FDIC assessments, taxes, and regulatory fees | 6,615 | 11,191 | |||||
Loan workout | 1,844 | 1,497 | |||||
Advertising and promotion | 1,108 | 1,178 | |||||
Other real estate owned | 550 | 1,663 | |||||
Acquisition related expenses | — | 1,195 | |||||
Other | 18,535 | 14,049 | |||||
Total non-interest expense | 160,818 | 128,306 | |||||
Income before income tax expense | 91,458 | 95,447 | |||||
Income tax expense | 34,236 | 36,572 | |||||
Net income | 57,222 | 58,875 | |||||
Preferred stock dividends | 10,844 | 5,900 | |||||
Net income available to common shareholders | $ | 46,378 | $ | 52,975 | |||
Basic earnings per common share | $ | 1.52 | $ | 1.95 | |||
Diluted earnings per common share | $ | 1.42 | $ | 1.80 |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||
CONSOLIDATED BALANCE SHEET - UNAUDITED | |||||||||||
(Dollars in thousands) | |||||||||||
September 30, | December 31, | September 30, | |||||||||
2017 | 2016 | 2016 | |||||||||
ASSETS | |||||||||||
Cash and due from banks | $ | 13,318 | $ | 37,485 | $ | 39,742 | |||||
Interest-earning deposits | 206,162 | 227,224 | 225,846 | ||||||||
Cash and cash equivalents | 219,480 | 264,709 | 265,588 | ||||||||
Investment securities available for sale, at fair value | 584,823 | 493,474 | 530,896 | ||||||||
Loans held for sale | 2,113,293 | 2,117,510 | 2,402,708 | ||||||||
Loans receivable | 7,061,338 | 6,154,637 | 6,016,995 | ||||||||
Allowance for loan losses | (38,314 | ) | (37,315 | ) | (37,897 | ) | |||||
Total loans receivable, net of allowance for loan losses | 7,023,024 | 6,117,322 | 5,979,098 | ||||||||
FHLB, Federal Reserve Bank, and other restricted stock | 98,611 | 68,408 | 71,621 | ||||||||
Accrued interest receivable | 27,135 | 23,690 | 22,100 | ||||||||
Bank premises and equipment, net | 12,369 | 12,769 | 12,428 | ||||||||
Bank-owned life insurance | 255,683 | 161,494 | 160,357 | ||||||||
Other real estate owned | 1,059 | 3,108 | 3,897 | ||||||||
Goodwill and other intangibles | 16,604 | 17,621 | 16,924 | ||||||||
Other assets | 119,748 | 102,631 | 136,993 | ||||||||
Total assets | $ | 10,471,829 | $ | 9,382,736 | $ | 9,602,610 | |||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||
Demand, non-interest bearing deposits | $ | 1,427,304 | $ | 966,058 | $ | 1,080,970 | |||||
Interest-bearing deposits | 6,169,772 | 6,337,717 | 6,308,000 | ||||||||
Total deposits | 7,597,076 | 7,303,775 | 7,388,970 | ||||||||
Federal funds purchased | 147,000 | 83,000 | 52,000 | ||||||||
FHLB advances | 1,462,343 | 868,800 | 1,036,700 | ||||||||
Other borrowings | 186,258 | 87,123 | 86,957 | ||||||||
Subordinated debt | 108,856 | 108,783 | 108,758 | ||||||||
Accrued interest payable and other liabilities | 59,654 | 75,383 | 139,414 | ||||||||
Total liabilities | 9,561,187 | 8,526,864 | 8,812,799 | ||||||||
Preferred stock | 217,471 | 217,471 | 217,549 | ||||||||
Common stock | 31,318 | 30,820 | 28,074 | ||||||||
Additional paid in capital | 429,633 | 427,008 | 374,161 | ||||||||
Retained earnings | 240,076 | 193,698 | 177,486 | ||||||||
Accumulated other comprehensive income (loss) | 377 | (4,892 | ) | 774 | |||||||
Treasury stock, at cost | (8,233 | ) | (8,233 | ) | (8,233 | ) | |||||
Total shareholders' equity | 910,642 | 855,872 | 789,811 | ||||||||
Total liabilities & shareholders' equity | $ | 10,471,829 | $ | 9,382,736 | $ | 9,602,610 |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||||||
AVERAGE BALANCE SHEET / NET INTEREST MARGIN (UNAUDITED) | |||||||||||||||
(Dollars in thousands) | |||||||||||||||
Three months ended | |||||||||||||||
September 30, | June 30, | September 30, | |||||||||||||
2017 | 2017 | 2016 | |||||||||||||
Average Balance | Average yield or cost (%) | Average Balance | Average yield or cost (%) | Average Balance | Average yield or cost (%) | ||||||||||
Assets | |||||||||||||||
Interest earning deposits | $ | 280,845 | 1.30% | $ | 203,460 | 1.08% | $ | 237,753 | 0.55% | ||||||
Investment securities | 1,017,065 | 2.87% | 1,066,277 | 2.93% | 534,333 | 2.64% | |||||||||
Loans: | |||||||||||||||
Commercial loans to mortgage companies | 1,956,587 | 4.28% | 1,762,469 | 4.14% | 2,142,986 | 3.53% | |||||||||
Multifamily loans | 3,639,566 | 3.63% | 3,508,634 | 3.75% | 3,283,007 | 3.80% | |||||||||
Commercial and industrial | 1,476,083 | 4.24% | 1,393,438 | 4.24% | 1,193,906 | 3.96% | |||||||||
Non-owner occupied commercial real estate | 1,294,996 | 3.89% | 1,299,809 | 4.00% | 1,236,054 | 3.96% | |||||||||
All other loans | 561,911 | 4.12% | 553,790 | 4.27% | 385,511 | 4.70% | |||||||||
Total loans | 8,929,143 | 3.94% | 8,518,140 | 3.98% | 8,241,464 | 3.82% | |||||||||
Other interest-earning assets | 125,341 | 4.16% | 105,908 | 3.48% | 90,010 | 5.56% | |||||||||
Total interest earning assets | 10,352,394 | 3.77% | 9,893,785 | 3.80% | 9,103,560 | 3.68% | |||||||||
Non-interest earning assets | 389,797 | 371,548 | 336,013 | ||||||||||||
Total assets | $ | 10,742,191 | $ | 10,265,333 | $ | 9,439,573 | |||||||||
Liabilities | |||||||||||||||
Total interest bearing deposits (1) | $ | 6,180,483 | 1.18% | $ | 6,258,309 | 1.04% | $ | 6,150,265 | 0.84% | ||||||
Borrowings | 2,414,086 | 1.96% | 1,951,282 | 1.85% | 1,586,262 | 1.66% | |||||||||
Total interest bearing liabilities | 8,594,569 | 1.40% | 8,209,591 | 1.23% | 7,736,527 | 1.01% | |||||||||
Non-interest bearing deposits (1) | 1,158,911 | 1,082,800 | 863,435 | ||||||||||||
Total deposits & borrowings | 9,753,480 | 1.23% | 9,292,391 | 1.09% | 8,599,962 | 0.91% | |||||||||
Other non-interest bearing liabilities | 66,220 | 74,429 | 129,208 | ||||||||||||
Total liabilities | 9,819,700 | 9,366,820 | 8,729,170 | ||||||||||||
Shareholders' equity | 922,491 | 898,513 | 710,403 | ||||||||||||
Total liabilities and shareholders' equity | $ | 10,742,191 | $ | 10,265,333 | $ | 9,439,573 | |||||||||
Net interest margin | 2.61% | 2.78% | 2.82% | ||||||||||||
Net interest margin tax equivalent | 2.62% | 2.78% | 2.83% | ||||||||||||
(1) Total costs of deposits (including interest bearing and non-interest bearing) were 0.99%, 0.89% and 0.74% for the three months ended September 30, 2017, June 30, 2017 and September 30, 2016, respectively. | |||||||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | ||||||||||
AVERAGE BALANCE SHEET / NET INTEREST MARGIN (UNAUDITED) | ||||||||||
(Dollars in thousands) | ||||||||||
Nine months ended | ||||||||||
September 30, | September 30, | |||||||||
2017 | 2016 | |||||||||
Average Balance | Average yield or cost (%) | Average Balance | Average yield or cost (%) | |||||||
Assets | ||||||||||
Interest earning deposits | $ | 327,154 | 1.00% | $ | 211,971 | 0.53% | ||||
Investment securities | 971,710 | 2.88% | 548,921 | 2.64% | ||||||
Loans: | ||||||||||
Commercial loans to mortgage companies | 1,734,874 | 4.15% | 1,931,892 | 3.51% | ||||||
Multifamily loans | 3,496,276 | 3.69% | 3,235,689 | 3.78% | ||||||
Commercial and industrial | 1,402,650 | 4.20% | 1,127,622 | 3.98% | ||||||
Non-owner occupied commercial real estate | 1,290,762 | 3.90% | 1,170,996 | 3.85% | ||||||
All other loans | 515,567 | 4.30% | 399,202 | 4.80% | ||||||
Total loans | 8,440,129 | 3.94% | 7,865,401 | 3.81% | ||||||
Other interest-earning assets | 102,590 | 3.99% | 90,911 | 4.54% | ||||||
Total interest earning assets | 9,841,583 | 3.74% | 8,717,204 | 3.66% | ||||||
Non-interest earning assets | 367,595 | 305,326 | ||||||||
Total assets | $ | 10,209,178 | $ | 9,022,530 | ||||||
Liabilities | ||||||||||
Total interest bearing deposits (1) | $ | 6,218,307 | 1.05% | $ | 5,801,231 | 0.79% | ||||
Borrowings | 1,836,654 | 1.98% | 1,693,455 | 1.51% | ||||||
Total interest-bearing liabilities | 8,054,961 | 1.26% | 7,494,686 | 0.95% | ||||||
Non-interest-bearing deposits (1) | 1,185,062 | 800,358 | ||||||||
Total deposits & borrowings | 9,240,023 | 1.10% | 8,295,044 | 0.86% | ||||||
Other non-interest bearing liabilities | 72,622 | 76,774 | ||||||||
Total liabilities | 9,312,645 | 8,371,818 | ||||||||
Shareholders' equity | 896,533 | 650,712 | ||||||||
Total liabilities and shareholders' equity | $ | 10,209,178 | $ | 9,022,530 | ||||||
Net interest margin | 2.70% | 2.84% | ||||||||
Net interest margin tax equivalent | 2.71% | 2.84% | ||||||||
(1) Total costs of deposits (including interest bearing and non-interest bearing) were 0.88% and 0.70% for the nine months ended September 30, 2017 and 2016, respectively. | ||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||
PERIOD END LOAN COMPOSITION (UNAUDITED) | |||||||||||
(Dollars in thousands) | |||||||||||
September 30, | December 31, | September 30, | |||||||||
2017 | 2016 | 2016 | |||||||||
Commercial: | |||||||||||
Multi-family | $ | 3,769,206 | $ | 3,214,999 | $ | 3,175,561 | |||||
Commercial & industrial (1) | 3,564,865 | 3,499,854 | 3,670,598 | ||||||||
Commercial real estate- non-owner occupied | 1,237,849 | 1,193,715 | 1,151,099 | ||||||||
Construction | 73,203 | 64,789 | 83,835 | ||||||||
Total commercial loans | 8,645,123 | 7,973,357 | 8,081,093 | ||||||||
Consumer: | |||||||||||
Residential | 435,188 | 193,502 | 230,690 | ||||||||
Manufactured housing | 92,938 | 101,730 | 104,404 | ||||||||
Other consumer | 3,819 | 3,482 | 3,420 | ||||||||
Total consumer loans | 531,945 | 298,714 | 338,514 | ||||||||
Deferred (fees)/costs and unamortized (discounts)/premiums, net | (2,437 | ) | 76 | 96 | |||||||
Total loans | $ | 9,174,631 | $ | 8,272,147 | $ | 8,419,703 | |||||
(1) Commercial & industrial loans, including mortgage warehouse and owner occupied commercial real estate loans. | |||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||||||||
ASSET QUALITY - UNAUDITED | |||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | As of September 30, 2017 | As of December 31, 2016 | As of September 30, 2016 | ||||||||||||||||||||||||||||||||||||
Total Loans | Non Accrual /NPLs | Total Credit Reserves | NPLs / Total Loans | Total Reserves to Total NPLs | Total Loans | Non Accrual /NPLs | Total Credit Reserves | NPLs / Total Loans | Total Reserves to Total NPLs | Total Loans | Non Accrual /NPLs | Total Credit Reserves | NPLs / Total Loans | Total Reserves to Total NPLs | |||||||||||||||||||||||||
Loan Type | |||||||||||||||||||||||||||||||||||||||
Originated Loans | |||||||||||||||||||||||||||||||||||||||
Multi-Family | $ | 3,616,313 | $ | — | $ | 12,696 | — | % | —% | $ | 3,211,516 | $ | — | $ | 11,602 | —% | —% | $ | 3,146,121 | $ | — | $ | 11,673 | — | % | — | % | ||||||||||||
Commercial & Industrial (1) | 1,507,395 | 22,995 | 13,084 | 1.53 | % | 56.90 | % | 1,282,727 | 10,185 | 12,560 | 0.79 | % | 123.32 | % | 1,192,720 | 6,326 | 12,129 | 0.53 | % | 191.73 | % | ||||||||||||||||||
Commercial Real Estate- Non-Owner Occupied | 1,215,099 | — | 4,665 | — | % | — | % | 1,158,531 | — | 4,569 | — | % | — | % | 1,113,620 | — | 4,417 | — | % | — | % | ||||||||||||||||||
Residential | 108,786 | 581 | 2,130 | 0.53 | % | 366.61 | % | 114,510 | 341 | 2,270 | 0.30 | % | 665.69 | % | 118,167 | 32 | 2,232 | 0.03 | % | 6,975.00 | % | ||||||||||||||||||
Construction | 73,203 | — | 847 | — | % | —% | 64,789 | — | 772 | — | % | —% | 83,835 | — | 1,049 | — | % | — | % | ||||||||||||||||||||
Other Consumer (2) | 1,450 | — | 59 | — | % | —% | 947 | — | 12 | — | % | —% | 816 | — | 10 | — | % | — | % | ||||||||||||||||||||
Total Originated Loans | 6,522,246 | 23,576 | 33,481 | 0.36 | % | 142.01 | % | 5,833,020 | 10,526 | 31,785 | 0.18 | % | 301.97 | % | 5,655,279 | 6,358 | 31,510 | 0.11 | % | 495.60 | % | ||||||||||||||||||
Loans Acquired | |||||||||||||||||||||||||||||||||||||||
Bank Acquisitions | 153,772 | 4,307 | 4,642 | 2.80 | % | 107.78 | % | 167,946 | 5,030 | 5,244 | 3.00 | % | 104.25 | % | 177,085 | 5,046 | 5,965 | 2.85 | % | 118.21 | % | ||||||||||||||||||
Loan Purchases | 387,757 | 1,959 | 919 | 0.51 | % | 46.91 | % | 153,595 | 2,236 | 1,279 | 1.46 | % | 57.20 | % | 184,535 | 1,992 | 1,089 | 1.08 | % | 54.67 | % | ||||||||||||||||||
Total Acquired Loans | 541,529 | 6,266 | 5,561 | 1.16 | % | 88.75 | % | 321,541 | 7,266 | 6,523 | 2.26 | % | 89.77 | % | 361,620 | 7,038 | 7,054 | 1.95 | % | 100.23 | % | ||||||||||||||||||
Deferred (fees) costs and unamortized (discounts) premiums, net | (2,437 | ) | — | — | — | % | —% | 76 | — | — | —% | —% | 96 | — | — | — | % | — | % | ||||||||||||||||||||
Total Loans Held for Investment | 7,061,338 | 29,842 | 39,042 | 0.42 | % | 130.83 | % | 6,154,637 | 17,792 | 38,308 | 0.29 | % | 215.31 | % | 6,016,995 | 13,396 | 38,564 | 0.22 | % | 287.88 | % | ||||||||||||||||||
Total Loans Held for Sale | 2,113,293 | — | — | — | % | —% | 2,117,510 | — | — | —% | — | % | 2,402,708 | — | — | — | % | — | % | ||||||||||||||||||||
Total Portfolio | $ | 9,174,631 | $ | 29,842 | $ | 39,042 | 0.33 | % | 130.83 | % | $ | 8,272,147 | $ | 17,792 | $ | 38,308 | 0.22 | % | 215.31 | % | $ | 8,419,703 | $ | 13,396 | $ | 38,564 | 0.16 | % | 287.88 | % | |||||||||
(1) Commercial & industrial loans, including owner occupied commercial real estate. | |||||||||||||||||||||||||||||||||||||||
(2) Includes activity for BankMobile related loans, primarily overdrawn deposit accounts. |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||
NET CHARGE-OFFS/(RECOVERIES) - UNAUDITED | |||||||||||
(Dollars in thousands) | |||||||||||
For the Quarter Ended | |||||||||||
Q3 | Q2 | Q3 | |||||||||
2017 | 2017 | 2016 | |||||||||
Originated Loans | |||||||||||
Commercial & Industrial (1) | $ | 2,025 | $ | 1,840 | $ | 49 | |||||
Commercial Real Estate- Non-Owner Occupied | 77 | — | — | ||||||||
Residential | 125 | 69 | 43 | ||||||||
Other Consumer (2) | 348 | 172 | 245 | ||||||||
Total Net Charge-offs (Recoveries) from Originated Loans | 2,575 | 2,081 | 337 | ||||||||
Loans Acquired | |||||||||||
Bank Acquisitions | (80 | ) | (121 | ) | (49 | ) | |||||
Total Net Charge-offs (Recoveries) from Acquired Loans | (80 | ) | (121 | ) | (49 | ) | |||||
Total Net Charge-offs from Loans Held for Investment | $ | 2,495 | $ | 1,960 | $ | 288 | |||||
(1) Commercial & industrial loans, including owner occupied commercial real estate. | |||||||||||
(2) Includes activity for BankMobile related loans, primarily overdrawn deposit accounts. | |||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||
SEGMENT REPORTING - UNAUDITED |
Three months ended September 30, 2017 | |||||||||||
Community Business Banking | BankMobile | Consolidated | |||||||||
Interest income (1) | $ | 95,585 | $ | 2,700 | $ | 98,285 | |||||
Interest expense | 30,250 | 16 | 30,266 | ||||||||
Net interest income | 65,335 | 2,684 | 68,019 | ||||||||
Provision for loan losses | 1,874 | 478 | 2,352 | ||||||||
Non-interest income | 4,190 | 13,836 | 18,026 | ||||||||
Non-interest expense | 33,990 | 27,050 | 61,040 | ||||||||
Income (loss) before income tax expense (benefit) | 33,661 | (11,008 | ) | 22,653 | |||||||
Income tax expense (benefit) | 18,999 | (4,100 | ) | 14,899 | |||||||
Net income (loss) | 14,662 | (6,908 | ) | 7,754 | |||||||
Preferred stock dividends | 3,615 | — | 3,615 | ||||||||
Net income (loss) available to common shareholders | $ | 11,047 | $ | (6,908 | ) | $ | 4,139 | ||||
Nine months ended September 30, 2017 | |||||||||||
Community Business Banking | BankMobile | Consolidated | |||||||||
Interest income (1) | $ | 265,524 | $ | 9,708 | $ | 275,232 | |||||
Interest expense | 76,134 | 55 | 76,189 | ||||||||
Net interest income | 189,390 | 9,653 | 199,043 | ||||||||
Provision for loan losses | 5,459 | 478 | 5,937 | ||||||||
Non-interest income | 16,587 | 42,583 | 59,170 | ||||||||
Non-interest expense | 94,704 | 66,114 | 160,818 | ||||||||
Income (loss) before income tax expense (benefit) | 105,814 | (14,356 | ) | 91,458 | |||||||
Income tax expense (benefit) | 39,584 | (5,348 | ) | 34,236 | |||||||
Net income (loss) | 66,230 | (9,008 | ) | 57,222 | |||||||
Preferred stock dividends | 10,844 | — | 10,844 | ||||||||
Net income (loss) available to common shareholders | $ | 55,386 | $ | (9,008 | ) | $ | 46,378 | ||||
As of September 30, 2017 | |||||||||||
Goodwill and other intangibles | $ | 3,632 | $ | 12,972 | $ | 16,604 | |||||
Total assets | $ | 10,405,452 | $ | 66,377 | $ | 10,471,829 | |||||
Total deposits | $ | 6,815,994 | $ | 781,082 | $ | 7,597,076 |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED |
Adjusted Net Income to Common Shareholders | Nine months ended September 30, 2017 | ||||||||||||
Q3 2017 | |||||||||||||
USD | Per share | USD | Per share | ||||||||||
GAAP net income to common shareholders | $ | 46,378 | $ | 1.42 | $ | 4,139 | $ | 0.13 | |||||
Reconciling items (after tax): | |||||||||||||
Adjustments for change in BankMobile strategy: | |||||||||||||
Catch-up depreciation/amortization on BankMobile assets | 2,648 | 0.08 | 2,648 | 0.08 | |||||||||
Loss of deferred tax asset for Religare impairment - periods prior to Q3 2017 | 4,613 | 0.14 | 4,613 | 0.14 | |||||||||
Loss of deferred tax asset for Religare impairment for Q3 2017 | 3,110 | 0.10 | 3,110 | 0.10 | |||||||||
Sub-total | 10,371 | 0.32 | 10,371 | 0.32 | |||||||||
Religare impairment - excluding loss of deferred tax asset considered above | $ | 8,036 | $ | 0.25 | $ | 5,239 | $ | 0.16 | |||||
Adjusted net income to common shareholders | $ | 64,785 | $ | 1.99 | $ | 19,749 | $ | 0.61 |
Adjusted Net Income to Common Shareholders - Community Business Banking Segment Only | ||||||
Q3 2017 | ||||||
USD | Per share | |||||
GAAP net income to common shareholders | $ | 11,047 | $ | 0.34 | ||
Reconciling Items (after tax): | ||||||
Adjustments for change in BankMobile strategy: | ||||||
Loss of deferred tax asset for Religare impairment - prior periods | 4,613 | 0.14 | ||||
Loss of deferred tax asset for Religare impairment - current period | 3,110 | 0.10 | ||||
Sub-total | 7,723 | 0.24 | ||||
Religare impairment - current period (excluding loss of deferred tax asset considered above) | $ | 5,239 | $ | 0.16 | ||
Adjusted net income to common shareholders | $ | 24,009 | $ | 0.74 | ||
Less: Gains on investment securities | $ | (3,263 | ) | $ | (0.10 | ) |
Adjusted net income to common shareholders excluding gains on investment securities | $ | 20,746 | $ | 0.64 |
Adjusted Return on Average Assets | |||||||
Q3 2017 | Q3 2016 | ||||||
GAAP Net Income | $ | 7,754 | $ | 21,207 | |||
Reconciling Items (after tax): | |||||||
Adjustments for change in BankMobile strategy: | |||||||
Catch-up depreciation/amortization on BankMobile assets | 2,648 | — | |||||
Loss of deferred tax asset for Religare impairment - prior periods | 4,613 | — | |||||
Loss of deferred tax asset for Religare impairment - current period | 3,110 | — | |||||
Sub-total | 10,371 | — | |||||
Religare impairment - current period (excluding loss of deferred tax asset considered above) | $ | 5,239 | $ | — | |||
Adjusted Net Income | $ | 23,364 | $ | 21,207 | |||
Average Total Assets | $ | 10,742,191 | $ | 9,439,573 | |||
Adjusted Return on Average Assets | 0.86 | % | 0.89 | % |
Adjusted Return on Average Common Equity | |||||||
Q3 2017 | Q3 2016 | ||||||
GAAP Net Income to Common Shareholders | $ | 4,139 | $ | 18,655 | |||
Reconciling Items (after tax): | |||||||
Adjustments for change in BankMobile strategy: | |||||||
Catch-up depreciation/amortization on BankMobile assets | 2,648 | — | |||||
Loss of deferred tax asset for Religare impairment - prior periods | 4,613 | — | |||||
Loss of deferred tax asset for Religare impairment - current period | 3,110 | — | |||||
Sub-total | 10,371 | — | |||||
Religare impairment - current period (excluding loss of deferred tax asset considered above) | $ | 5,239 | $ | — | |||
Adjusted Net Income to Common Shareholders | $ | 19,749 | $ | 18,655 | |||
Average Total Common Shareholders' Equity | $ | 705,020 | $ | 561,714 | |||
Adjusted Return on Average Common Equity | 11.11 | % | 13.21 | % |
Pre-tax Pre-provision Return on Average Assets | |||||||||||||||||||
Q3 2017 | Q2 2017 | Q1 2017 | Q4 2016 | Q3 2016 | |||||||||||||||
GAAP Net Income | $ | 7,754 | $ | 23,722 | $ | 25,747 | $ | 19,828 | $ | 21,207 | |||||||||
Reconciling Items: | |||||||||||||||||||
Provision for loan losses | 2,352 | 535 | 3,050 | 187 | 88 | ||||||||||||||
Income tax expense | 14,899 | 12,327 | 7,009 | 9,320 | 14,558 | ||||||||||||||
Pre-Tax Pre-provision Net Income | $ | 25,005 | $ | 36,584 | $ | 35,806 | $ | 29,335 | $ | 35,853 | |||||||||
Average Total Assets | $ | 10,742,191 | $ | 10,265,333 | $ | 9,607,541 | $ | 9,339,158 | $ | 9,439,573 | |||||||||
Pre-tax Pre-provision Return on Average Assets | 0.92 | % | 1.43 | % | 1.51 | % | 1.25 | % | 1.51 | % |
Pre-tax Pre-provision Return on Average Common Equity | |||||||||||||||||||
Q3 2017 | Q2 2017 | Q1 2017 | Q4 2016 | Q3 2016 | |||||||||||||||
GAAP Net Income Available to Common Shareholders | $ | 4,139 | $ | 20,107 | $ | 22,132 | $ | 16,213 | $ | 18,655 | |||||||||
Reconciling Items: | |||||||||||||||||||
Provision for loan losses | 2,352 | 535 | 3,050 | 187 | 88 | ||||||||||||||
Income tax expense | 14,899 | 12,327 | 7,009 | 9,320 | 14,558 | ||||||||||||||
Pre-tax Pre-provision Net Income Available to Common Shareholders | $ | 21,390 | $ | 32,969 | $ | 32,191 | $ | 25,720 | $ | 33,301 | |||||||||
Average Total Shareholders' Equity | $ | 922,491 | $ | 898,513 | $ | 867,994 | $ | 834,480 | $ | 710,403 | |||||||||
Reconciling Item: | |||||||||||||||||||
Average Preferred Stock | (217,471 | ) | (217,471 | ) | (217,471 | ) | (217,493 | ) | (148,690 | ) | |||||||||
Average Common Equity | $ | 705,020 | $ | 681,042 | $ | 650,523 | $ | 616,987 | $ | 561,713 | |||||||||
Pre-tax Pre-provision Return on Average Common Equity | 12.04 | % | 19.42 | % | 20.07 | % | 16.58 | % | 23.59 | % |
Net Interest Margin, tax equivalent | Nine months ended September 30, | ||||||||||||||||||||||||||
2017 | 2016 | Q3 2017 | Q2 2017 | Q1 2017 | Q4 2016 | Q3 2016 | |||||||||||||||||||||
GAAP Net interest income | $ | 199,043 | $ | 185,370 | $ | 68,019 | $ | 68,607 | $ | 62,418 | $ | 64,127 | $ | 64,585 | |||||||||||||
Tax-equivalent adjustment | 399 | 298 | 203 | 104 | 93 | 92 | 96 | ||||||||||||||||||||
Net interest income tax equivalent | $ | 199,442 | $ | 185,668 | $ | 68,222 | $ | 68,711 | $ | 62,511 | $ | 64,219 | $ | 64,681 | |||||||||||||
Average total interest earning assets | $ | 9,841,583 | $ | 8,717,204 | $ | 10,352,394 | $ | 9,893,785 | $ | 9,266,638 | $ | 9,011,995 | $ | 9,103,560 | |||||||||||||
Net interest margin, tax equivalent | 2.71 | % | 2.84 | % | 2.62 | % | 2.78 | % | 2.73 | % | 2.84 | % | 2.83 | % | |||||||||||||
Tangible Common Equity to Tangible Assets | |||||||||||||||||||
Q3 2017 | Q2 2017 | Q1 2017 | Q4 2016 | Q3 2016 | |||||||||||||||
GAAP - Total Shareholders' Equity | $ | 910,642 | $ | 910,289 | $ | 879,817 | $ | 855,872 | $ | 789,811 | |||||||||
Reconciling Items: | |||||||||||||||||||
Preferred Stock | (217,471 | ) | (217,471 | ) | (217,471 | ) | (217,471 | ) | (217,549 | ) | |||||||||
Goodwill and Other Intangibles | (16,604 | ) | (17,615 | ) | (17,618 | ) | (17,621 | ) | (16,924 | ) | |||||||||
Tangible Common Equity | $ | 676,567 | $ | 675,203 | $ | 644,728 | $ | 620,780 | $ | 555,338 | |||||||||
Total Assets | $ | 10,471,829 | $ | 10,883,548 | $ | 9,906,636 | $ | 9,382,736 | $ | 9,602,610 | |||||||||
Reconciling Items: | |||||||||||||||||||
Goodwill and Other Intangibles | (16,604 | ) | (17,615 | ) | (17,618 | ) | (17,621 | ) | (16,924 | ) | |||||||||
Tangible Assets | $ | 10,455,225 | $ | 10,865,933 | $ | 9,889,018 | $ | 9,365,115 | $ | 9,585,686 | |||||||||
Tangible Common Equity to Tangible Assets | 6.47 | % | 6.21 | % | 6.52 | % | 6.63 | % | 5.79 | % |
Tangible Book Value per Common Share | |||||||||||||||||||
Q3 2017 | Q2 2017 | Q1 2017 | Q4 2016 | Q3 2016 | |||||||||||||||
GAAP - Total Shareholders' Equity | $ | 910,642 | $ | 910,289 | $ | 879,817 | $ | 855,872 | $ | 789,811 | |||||||||
Reconciling Items: | |||||||||||||||||||
Preferred Stock | (217,471 | ) | (217,471 | ) | (217,471 | ) | (217,471 | ) | (217,549 | ) | |||||||||
Goodwill and Other Intangibles | (16,604 | ) | (17,615 | ) | (17,618 | ) | (17,621 | ) | (16,924 | ) | |||||||||
Tangible Common Equity | $ | 676,567 | $ | 675,203 | $ | 644,728 | $ | 620,780 | $ | 555,338 | |||||||||
Common shares outstanding | 30,787,632 | 30,730,784 | 30,636,327 | 30,289,917 | 27,544,217 | ||||||||||||||
Tangible Book Value per Common Share | $ | 21.98 | $ | 21.97 | $ | 21.04 | $ | 20.49 | $ | 20.16 | |||||||||
Tangible Book Value per Common Share - CAGR | |||||||||||||||||||||||||||
Q3 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||||
GAAP - Total Shareholders' Equity | $ | 910,642 | $ | 855,872 | $ | 553,902 | $ | 443,145 | $ | 386,623 | $ | 269,475 | $ | 147,748 | |||||||||||||
Reconciling Items: | |||||||||||||||||||||||||||
Preferred Stock | (217,471 | ) | (217,471 | ) | (55,569 | ) | — | — | — | — | |||||||||||||||||
Goodwill and Other Intangibles | (16,604 | ) | (17,621 | ) | (3,651 | ) | (3,664 | ) | (3,676 | ) | (3,689 | ) | (3,705 | ) | |||||||||||||
Tangible Common Equity | $ | 676,567 | $ | 620,780 | $ | 494,682 | $ | 439,481 | $ | 382,947 | $ | 265,786 | $ | 144,043 | |||||||||||||
Common shares outstanding | 30,787,632 | 30,289,917 | 26,901,801 | 26,745,529 | 26,646,566 | 20,305,452 | 12,482,451 | ||||||||||||||||||||
Tangible Book Value per Common Share | $ | 21.98 | $ | 20.49 | $ | 18.39 | $ | 16.43 | $ | 14.37 | $ | 13.09 | $ | 11.54 | |||||||||||||
CAGR | 12 | % |
?R;LJS-UE:YQ1P#75JH5VLU@+!D!*P35SG$"JE1;2)*O7W2#6+*
MZ,.X('^I,7R !-OJWM@]K=K8MZ:K+[DXFL*9K0SL2VC29!<6"52\1MZ'2*M7
MSW)USM ;5NX
MTV["] C+8I1\42<7>P (YH81QG$0LO/S+Y>8BKXY)%%^_5:=GP3!
MVH9Y*E%9N],4Q4UU#"8HE'T@S .8K=@>:7%5,TM6%5U4I00D!*FAN\CB$=-$
MZ%'< &<3+G'%%7FF(T#50ZE.6T=.D%Q7F#B@F:T%7437JE78]01$*TQUH]X
M6;:?1>*^2E99/"E#<1K:#1M&0V*U!BF1%")M%E5&/NR,\A7T@$S=)5(11 !
M/;TVG!GE#@BQ5S^76M*?SVH2K<4,GU2>\I^5!6?J(.O>(IL4$I3).JW$Z;'!-+3",LNU@RVWWZVUK
M=)6,53/HO/()#>Y4BH=?5; W.$2*A+:1*.IIC&&-(9J:UU7I(S3,8UL\0B_K
M=EFLC9!:O7T'*M2+LIF,&(2$S1\FBN15NH "*9O$3%^(:J*Z%T[BVD4#N],T
MDDB4YR(D2>\X^LCEVO20;5>N5;.\79;D(I*93+J=%H 4J1U$B3,*2>AC\BK.
MNN1G4V1
PLD).)@HM5TFO\ ;HB)8*)>!$O$3JF,
MO'71:V^#DX=RYAU6BHC[
MSE%N3;S -0I@-[-KO)HUA*F*ULM>8[=KA,FW L:I4D]%#74Q,^66M-QMR*E*
ME)F?+ZB02H;5S "P20 =)'J(C?ZM.U[EA@;D51>!7,V(G
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M4>1F<.9V-\,\;X3CNAJ\FLK]
MC;98N%U?-,L 2"E I(=4E/604=Q UD.\>#@C/:UC'+LU>5NOT5L:]=!)F0F2
M@6PI7B4C:"=)GH(YMQCR"[;NY+)^2%L'9D1PAB6D+JK/&$=*I5"L52$F2N/M
M4/)/(]D]G[3-KQ90%<1'VMMS;$#TULMVQWB#A.TTR+_0JN%[?3I,>HMQ29;E
M *4$-IW=._;6,%:[]RKS!=7S9*M-!9V%=E;$("B0 2D%:S(:SF.\A&I>A2&E
M*SVUJUF8D49*8KU7SS!34FR5]YG+2D0A(,9!\@L)0]YJ\?-S+$-L43 (#Z?#
M6;]P3[-5P^FJIT[6''*1:4GJE*MI"3\0#(]8P7!+#])RHY2U"PM]L5*%*'12
MDA0*N@ZD3'PCZ[:.CY;\B)TQE6+228K
W3S6I2C-4E*E(J).L
M1K5<;\VY#1-62[5)%K3M3M6]Y E,@)A,YA(&@D8GUX4].>.N,G#3-G'FXS;.
M]9$Y(U21A\KW5!NX:Q*:IXUVWJ\9!,E#F73BZF_=?4$.8?<<+^1Q $ "OF=
MI#B\;B=P5PU0I-L@A<+-#DR1>%$T2)JGL=U0;RAV[A4"E57,P8&11W/N
M8HE$-5EY>RM.79[6W%HG[-I?HM#^PT2D'PU,SI%AN+\<_A?"Z.@6/\TXCU7/
M]-P _/02&OA$8O?+UU\J^;F28BG3%)
M)-RDH9
M5VQ3.,\GRP$)%TC)+=K$J3;LXGVCZ_,).5&$L_V+N"7\4 F82$J)S_*B()F4#\NX]-8C,^#,[PVD5 H$Y17^Y'V7!]AS+<;7QEK%KQ]B1\_;RU,J5L=MW4]5ET
MDR++-2OF2RY#((OB=[<0.8Z9=@W$0WU8O%Z7(*:PLT65NLU-X2DI<<;!"7!T
M!D0-2-%::Q7O)JRPU&0KJ\6:>IK8M0*$+(*DSE, @D2';4Q>*S_=