UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instructions A.2. below):
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Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
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Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
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Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
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Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
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Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
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. ☐
Item 2.02 Results of Operations and Financial Condition
Wesbanco, Inc. issued a press release today announcing earnings for the three and six months ended June 30, 2020. The press release is attached as Exhibit 99.1 to this report.
Wesbanco, Inc. will host a conference call to discuss the Company's financial results for the second quarter of 2020 on Thursday, July 23, 2020 at 10:00 a.m. ET.
Interested parties can access the live webcast of the conference call through the Investor Relations section of the Company's website, www.wesbanco.com. Participants can also listen to the conference call by dialing 888-347-6607, 855-669-9657 for Canadian callers, or 412-902-4290 for international callers, and asking to be joined into the WesBanco call. Please log in or dial in at least 10 minutes prior to the start time to ensure a connection.
A replay of the conference call will be available by dialing 877-344-7529, 855-669-9658 for Canadian callers, or 412-317-0088 for international callers, and providing the access code of 10136713. The replay will begin at approximately 12:00 p.m. ET on July 23, and end at 12 a.m. ET on August 6. An archive of the webcast will be available for one year on the Investor Relations section of the Company’s website (www.wesbanco.com).
Item 9.01 Financial Statements and Exhibits
(d) Exhibits:
99.2 – Second quarter 2020 earnings conference call presentation.
104 - Cover Page Interactive Data File (embedded within the Inline XBRL document).
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
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Wesbanco, Inc. |
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(Registrant) |
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Date: July 22, 2020 |
/s/ Robert H. Young |
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Robert H. Young |
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Senior Executive Vice President and |
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Chief Financial Officer |
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Exhibit 99.1
WesBanco Announces Second Quarter 2020 Financial Results
Wheeling, WV, July 22, 2020 – WesBanco, Inc. (“WesBanco”) (Nasdaq: WSBC), a diversified, multi-state bank holding company, today announced net income and related earnings per share for the three and six months ended June 30, 2020. Reflecting the impact from the 2020 adoption of the new Current Expected Credit Losses (“CECL”) accounting standard, net income for the three months ended June 30, 2020 was $4.5 million, with diluted earnings per share of $0.07, compared to $44.8 million and $0.82 per diluted share, respectively, for the second quarter of 2019. For the six months ended June 30, 2020, net income was $27.9 million, or $0.41 per diluted share, compared to $85.2 million, or $1.56 per diluted share, for the 2019 period. Net income excluding after-tax merger-related expenses for the three months ended June 30, 2020, was $4.9 million, or $0.07 per diluted share, as compared to $44.9 million and $0.82 per diluted share, respectively, in the prior year quarter (non-GAAP measures). On the same basis, net income for the six months ended June 30, 2020 was $32.3 million, or $0.48 per diluted share, as compared to $1.60 per diluted share in the prior year period (non-GAAP measures).
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For the Three Months Ended June 30, |
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For the Six Months Ended June 30, |
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2020 |
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2019 |
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2020 |
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2019 |
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(unaudited, dollars in thousands, except per share amounts) |
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Net Income |
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Diluted Earnings Per Share |
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Net Income |
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Diluted Earnings Per Share |
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Net Income |
Diluted Earnings Per Share |
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Net Income |
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Diluted Earnings Per Share |
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Net income (Non-GAAP)(1) |
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$ |
4,858 |
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$ |
0.07 |
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$ |
44,878 |
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$ |
0.82 |
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$ |
32,334 |
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$ |
0.48 |
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$ |
87,670 |
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$ |
1.60 |
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Less: After tax merger-related expenses |
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(370 |
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(0.00) |
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(64 |
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(0.00) |
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(4,450 |
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(0.07 |
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(2,519 |
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(0.04 |
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Net income (GAAP) |
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$ |
4,488 |
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$ |
0.07 |
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$ |
44,814 |
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$ |
0.82 |
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$ |
27,884 |
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$ |
0.41 |
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$ |
85,151 |
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$ |
1.56 |
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(1) |
See non-GAAP financial measures for additional information relating to the calculation of these items. |
On November 22, 2019, WesBanco consummated the merger with Old Line Bancshares, Inc. (“OLBK”), a bank holding company headquartered in Bowie, MD with approximately $3.0 billion in assets, excluding goodwill. Financial results for OLBK have been included in WesBanco’s results from the merger consummation date.
WesBanco believes that pre-tax, pre-provision income (non-GAAP measure) provides a more comparable year-over-year measure as it removes the impact of the new CECL accounting standard implemented earlier this year. For the three months ended June 30, 2020, pre-tax, pre-provision income, excluding merger-related expenses, increased 15.7% year-over-year to $66.8 million. On the same basis, pre-tax, pre-provision income, for the six months ended June 30, 2020, increased 14.5% year-over-year to $128.8 million. WesBanco believes that these non-GAAP financial measures are useful to investors as they enhance investors’ understanding of the company’s business and performance.
Financial and operational highlights during the quarter ended June 30, 2020:
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WesBanco is a well-capitalized financial institution with solid liquidity and a strong balance sheet |
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Organic loan growth was 11.3% year-over-year, driven by WesBanco’s support of communities impacted by the pandemic, as well as the commercial and residential real estate loan categories |
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Loan growth includes approximately $837 million of loans funded through the Small Business Administration’s Paycheck Protection Program (“SBA PPP”), as established by the CARES Act |
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Commercial and residential real estate loans increased organically 3.9% and 1.6% year-over-year, respectively |
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Organic deposit growth, excluding certificates of deposit, was 20.3% year-over-year, driven by growth in demand deposits |
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Mortgage banking income increased 365.5% year-over-year to a record $7.5 million due to strong originations and organic growth in the current low interest rate environment |
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Continued expense management demonstrated by a year-to-date efficiency ratio of 56.62% (non-GAAP measure) |
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Non-interest expenses, excluding merger-related costs, decreased $1.1 million from the first quarter driven by lower salaries and wages |
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Key credit quality metrics such as non-performing assets, past due loans, criticized & classified loans, and net loan charge-offs, as percentages of total portfolio loans, has remained at low levels and favorable to peer bank averages, those with total assets between $10 billion and $25 billion, for the four quarters prior to the current earnings period |
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The utilization of updated June macroeconomic forecasts, which have deteriorated since the end of the first quarter, resulted in increases in allowance for credit losses and provision for credit losses on both a year-over-year and quarter-over-quarter basis |
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“WesBanco’s underlying performance during the second quarter was evidenced by the strong year-over-year growth of 15.7% in our pre-tax, pre-provision income,” said Todd F. Clossin, President and Chief Executive Officer of WesBanco. “While continuing to make important technology investments, we have maintained our diligent focus on expense management in order to deliver a year-to-date efficiency ratio of 56.6%. Furthermore, we believe we are well-positioned for the current operating environment due to our well-defined strategies, strong legacy of credit and risk management, solid liquidity, and sound capital position.”
Mr. Clossin added, “I am proud of our entire organization as it has worked tirelessly to serve our customers and communities. Recently, WesBanco Bank was named, for the second year in a row, a World’s Best Bank by Forbes magazine. This ranking is based on customer satisfaction and consumer feedback, and we received very high scores for customer services, financial advice, satisfaction, and digital services. The efforts of our employees are a true testimonial to our being a community bank.”
Pandemic Responses
As a responsible, community-based financial institution, we have endeavored to assist and help protect our communities, customers, and employees. Thus, on March 18th, we were one of the first banks to launch a number of initiatives and precautionary measures intended to mitigate the impact of the COVID-19 virus outbreak by mainly offering 90-day payment relief options to affected borrowers, as well as participating in the SBA PPP. Since that early initiation date, we have seen a reduction in the amount of loans receiving payment relief as the significant majority of customers coming off deferral status are not requesting a second deferral. Thus, as of June 30, 2020, loans receiving relief now total 17% of total loans, as we have assisted our residential mortgage customers with 470 loan modifications totaling $119 million, consumer and home equity loan customers with 620 loan modifications totaling $24 million, and commercial and business customers with 2,180 loan modifications totaling $1.8 billion. Furthermore, through the first two rounds of the SBA PPP, as of June 30, 2020, we have funded roughly 6,800 loans totaling approximately $837 million. In response to the success of our employees working remotely and the increased utilization of our digital channels by our customers, we anticipate accelerating our branch optimization strategy during the second half of 2020.
Balance Sheet
Portfolio loans of $11.1 billion as of June 30, 2020 increased 43.1% when compared to the prior year period due to the OLBK acquisition and participation in the SBA PPP. Total organic loan growth was 11.3% year-over-year, driven by the SBA PPP, commercial real estate, and residential real estate loans. When excluding SBA PPP loans, total organic growth increased 0.5% year-over-year, reflecting the impact of shuttered state economies due to the pandemic. Total deposits increased 40.2% year-over-year to $12.2 billion due primarily to the OLBK acquisition, CARES Act stimulus, and increased personal savings due to the current recession. Total deposits, excluding the OLBK acquisition, increased $1.1 billion, or 12.3%, year-over-year due to CARES Act stimulus and increased personal savings, which more than offset a $417.1 million reduction in certificates of deposit, as higher cost CDs were allowed to runoff.
Credit Quality
Overall, we believe our credit quality ratios remained strong as we balanced disciplined loan origination in the current environment with prudent lending standards. The granting of loan deferrals has resulted in continued relatively benign asset quality metrics, as nonperforming and delinquency amounts do not reflect loans that have been modified as a result of the COVID-19 pandemic. As of June 30, 2020, both non-performing loans and non-performing assets as percentages of the portfolio and total assets have remained relatively low and consistent throughout the last five quarters. Criticized and classified loan balances increased slightly to 2.23% of total portfolio loans, comparable to the last four quarters. Reflecting weakened macroeconomic factors, the provision for credit losses increased to $61.8 million, approximately double from the first quarter of 2020. Annualized net loan charge-offs to average loans remained low for the quarter and year-to-date periods at seven and 13 basis points, respectively.
On January 1, 2020, WesBanco adopted the CECL accounting standard, resulting in adjustments to retained earnings and the allowance for credit losses; prior to this date, the allowance for credit losses was calculated under the incurred loss method. The allowance for credit losses specific to total portfolio loans at June 30, 2020 was $168.5 million, or 1.52% of total loans; or, when excluding SBA PPP loans, 1.65% of total portfolio loans. Excluded from the allowance for credit losses and related coverage ratio are fair market value adjustments on previously acquired loans representing 0.43% of total loans. The increase in the allowance and related provision for credit losses was related to the continued deterioration in the macroeconomic forecast during the second quarter of 2020, primarily driven by the negative forecasted economic impacts of COVID-19. The forecast, based upon a blend of two nationally-recognized published economic data through June 30, 2020, is primarily driven by national unemployment and interest rate spreads.
Net Interest Margin and Income
The net interest margin of 3.32% for the second quarter of 2020 decreased 35 basis points year-over-year, primarily due to the lower interest rate environment from the five decreases in the Federal Reserve Board’s target federal funds rate, totaling 225 basis points, from July 2019 through March 2020, as well as a flattening of the yield curve. Reflecting the significantly lower interest rate environment, we aggressively reduced our deposit rates beginning in late March, which helped to lower deposit funding costs 40 basis points year-over-year to 30 basis points for the second quarter of 2020. In addition, we shortened the maturities and experienced lower rates in our second quarter FHLB borrowings as compared to the prior year, which helped to lower the cost of borrowings 38 basis points year-over-year. Accretion from acquisitions benefited the second quarter net interest margin by 19 basis points, as compared to 18 basis points in the prior year period and 22 basis points during the first quarter of 2020. Lastly, while the SBA PPP loans will positively impact the
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net interest margin as the loans are forgiven during the next several quarters, the funding of these loans negatively impacted the second quarter of 2020 net interest margin by a net two basis points.
Net interest income increased $20.5 million, or 20.9%, during the second quarter of 2020, as compared to the same quarter of 2019, due to a 33.7% increase in average total earning assets, primarily driven by the OLBK acquisition and related accretion from purchase accounting, partially offset by the lower loan yields, reflecting repricing of existing loans and lower new offered rates in the current market environment. For the six months ended June 30, 2020, net interest income increased $42.4 million, or 21.5%, due to higher average total earning assets and an overall higher net interest margin, as discussed for the three-month period comparison.
Non-Interest Income
For the second quarter of 2020, non-interest income of $32.9 million increased $1.7 million, or 5.5%, from the second quarter of 2019, driven primarily by mortgage banking income and higher commercial customer loan swap-related income, which were partially offset by the limitation on interchange fees for debit card processing and lower service charges on deposits. Reflecting the low interest rate environment and organic growth, mortgage banking fees increased $5.9 million, or 365.5%, compared to the prior year period, due to growth of roughly 125% in residential mortgage origination dollar volume and the associated sale of one-half of those originations into the secondary market. Loan swap-related income increased $2.4 million, or 477.2%, to $2.9 million, inclusive of $0.5 million in fair value adjustments, due to commercial loan customer demand in the current rate environment. The limitation on interchange fees is due to the Durbin amendment in the 2010 Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank Act”), which took effect for WesBanco during the third quarter of 2019, negatively impacted fee income by approximately $2.7 million. Service charges on deposits were lower due to higher consumer deposits associated with CARES Act stimulus and lower general consumer spending, resulting in fewer eligible account fees. Primarily reflecting the items discussed above, non-interest income, for the six months ended June 30, 2020, increased $1.9 million, or 3.3%.
Non-Interest Expense
Total operating expenses continued to be well-controlled during the six-month period ending June 30, 2020, as demonstrated by an efficiency ratio of 56.62%. Excluding merger-related expenses, non-interest expense for the three months ended June 30, 2020 increased $13.2 million, or 18.3%, to $85.0 million compared to the prior year period, primarily reflecting additional staffing and financial center locations from the OLBK acquisition. In addition, FDIC insurance expense increased $1.2 million, or 107.4%, due to a higher assessment rate associated with our larger asset level. On a similar basis, non-interest expense during the first half of 2020 increased $28.0 million, or 19.6%, compared to the prior year period, primarily reflecting the OLBK acquisition and the mid-2019 annual salary increases.
Capital
WesBanco continues to maintain what we believe are strong regulatory capital ratios as both consolidated and bank-level regulatory capital ratios are well above the applicable “well-capitalized” standards promulgated by bank regulators and the BASEL III capital standards. At June 30, 2020, Tier I leverage was 9.09%, Tier I risk-based capital and common equity Tier 1 capital ratio (“CET 1”) were 12.59%, and total risk-based capital was 15.33%. As compared to the prior year period, Tier 1 leverage and Tier 1 risk-based capital ratios were adversely impacted by the movement of $136.5 million of trust preferred securities, during the fourth quarter of 2019, from Tier 1 to Tier 2 risk-based capital, as required by the Dodd-Frank Act for financial institutions with total assets greater than $15 billion.
Conference Call and Webcast
WesBanco will host a conference call to discuss the Company's financial results for the second quarter of 2020 at 10:00 a.m. ET on Thursday, July 23, 2020. Interested parties can access the live webcast of the conference call through the Investor Relations section of the Company's website, www.wesbanco.com. Participants can also listen to the conference call by dialing 888-347-6607, 855-669-9657 for Canadian callers, or 412-902-4290 for international callers, and asking to be joined into the WesBanco call. Please log in or dial in at least 10 minutes prior to the start time to ensure a connection.
A replay of the conference call will be available by dialing 877-344-7529, 855-669-9658 for Canadian callers, or 412-317-0088 for international callers, and providing the access code of 10136713. The replay will begin at approximately 12:00 p.m. ET on July 23, and end at 12 a.m. ET on August 6. An archive of the webcast will be available for one year on the Investor Relations section of the Company’s website (www.wesbanco.com).
Forward-Looking Statements
Forward-looking statements in this report relating to WesBanco’s plans, strategies, objectives, expectations, intentions and adequacy of resources, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The information contained in this report should be read in conjunction with WesBanco’s Form 10-K for the year ended December 31, 2019 and documents subsequently filed by WesBanco with the Securities and Exchange Commission (“SEC”), including WesBanco’s Form 10-Q for the quarter ended March 31, 2020, which are available at the SEC’s website, www.sec.gov or at WesBanco’s website, www.WesBanco.com. Investors are cautioned that forward-looking statements, which are not historical fact, involve risks and uncertainties, including those detailed in WesBanco’s most recent Annual Report on Form 10-K filed with the SEC under “Risk Factors” in Part I, Item 1A and under
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“Risk Factors” in Part II, Item 1A of WesBanco’s March 31, 2020 Quarterly Report on Form 10-Q. Such statements are subject to important factors that could cause actual results to differ materially from those contemplated by such statements, including, without limitation, the effects of changing regional and national economic conditions including the effects of the COVID-19 pandemic; changes in interest rates, spreads on earning assets and interest-bearing liabilities, and associated interest rate sensitivity; sources of liquidity available to WesBanco and its related subsidiary operations; potential future credit losses and the credit risk of commercial, real estate, and consumer loan customers and their borrowing activities; actions of the Federal Reserve Board, the Federal Deposit Insurance Corporation, the SEC, the Financial Institution Regulatory Authority, the Municipal Securities Rulemaking Board, the Securities Investors Protection Corporation, and other regulatory bodies; potential legislative and federal and state regulatory actions and reform, including, without limitation, the impact of the implementation of the Dodd-Frank Act; adverse decisions of federal and state courts; fraud, scams and schemes of third parties; cyber-security breaches; competitive conditions in the financial services industry; rapidly changing technology affecting financial services; marketability of debt instruments and corresponding impact on fair value adjustments; and/or other external developments materially impacting WesBanco’s operational and financial performance. WesBanco does not assume any duty to update forward-looking statements.
About WesBanco, Inc.
Founded in 1870, WesBanco, Inc. (www.wesbanco.com) is a diversified and balanced financial services company that delivers large bank capabilities with a community bank feel. Our distinct long-term growth strategies are built upon unique sustainable advantages permitting us to span six states with meaningful market share. Built upon our ‘Better Banking Pledge’, our customer-centric service culture is focused on growing long-term relationships by pledging to serve all personal and business customer needs efficiently and effectively. In addition to a full range of online and mobile banking options and a full-suite of commercial products and services, WesBanco provides trust, wealth management, securities brokerage, and private banking services through our century-old Trust and Investment Services department, with approximately $4.5 billion of assets under management (as of June 30, 2020). WesBanco's banking subsidiary, WesBanco Bank, Inc., operates 236 financial centers in the states of Indiana, Kentucky, Maryland, Ohio, Pennsylvania, and West Virginia. Additionally, WesBanco operates an insurance agency, WesBanco Insurance Services, Inc., and a full service broker/dealer, WesBanco Securities, Inc.
SOURCE: WesBanco, Inc.
WesBanco Company Contact:
John H. Iannone
Senior Vice President, Investor and Public Relations
304-905-7021
WESBANCO, INC. |
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Consolidated Selected Financial Highlights |
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(unaudited, dollars in thousands) |
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For the Three Months Ended |
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For the Six Months Ended |
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STATEMENT OF INCOME |
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June 30, |
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June 30, |
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2020 |
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2019 |
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% Change |
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2020 |
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2019 |
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% Change |
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Interest and dividend income |
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Loans, including fees |
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$ |
115,068 |
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$ |
96,415 |
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19.3 |
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$ |
234,571 |
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$ |
191,917 |
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22.2 |
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Interest and dividends on securities: |
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Taxable |
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14,047 |
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16,444 |
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(14.6 |
) |
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31,034 |
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33,175 |
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(6.5 |
) |
Tax-exempt |
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4,302 |
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5,142 |
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(16.3 |
) |
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8,758 |
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10,684 |
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(18.0 |
) |
Total interest and dividends on securities |
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18,349 |
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21,586 |
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(15.0 |
) |
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39,792 |
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43,859 |
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(9.3 |
) |
Other interest income |
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1,277 |
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1,542 |
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(17.2 |
) |
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2,779 |
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2,820 |
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(1.5 |
) |
Total interest and dividend income |
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134,694 |
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119,543 |
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12.7 |
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277,142 |
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238,596 |
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16.2 |
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Interest expense |
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Interest bearing demand deposits |
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1,350 |
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4,314 |
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(68.7 |
) |
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4,745 |
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8,259 |
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(42.5 |
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Money market deposits |
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879 |
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2,009 |
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(56.2 |
) |
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3,231 |
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3,908 |
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(17.3 |
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Savings deposits |
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297 |
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678 |
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(56.2 |
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1,220 |
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1,200 |
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1.7 |
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Certificates of deposit |
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3,514 |
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4,098 |
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(14.3 |
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7,568 |
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8,001 |
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(5.4 |
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Total interest expense on deposits |
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6,040 |
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11,099 |
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(45.6 |
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16,764 |
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21,368 |
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(21.5 |
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Federal Home Loan Bank borrowings |
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7,293 |
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6,287 |
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16.0 |
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15,525 |
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12,624 |
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23.0 |
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Other short-term borrowings |
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279 |
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1,483 |
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(81.2 |
) |
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1,149 |
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3,039 |
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(62.2 |
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Subordinated debt and junior subordinated debt |
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2,069 |
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2,214 |
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(6.5 |
) |
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4,530 |
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4,743 |
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(4.5 |
) |
Total interest expense |
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15,681 |
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21,083 |
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(25.6 |
) |
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37,968 |
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41,774 |
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(9.1 |
) |
Net interest income |
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119,013 |
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98,460 |
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20.9 |
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239,174 |
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|
|
196,822 |
|
|
|
21.5 |
|
Provision for credit losses |
|
|
61,841 |
|
|
|
2,747 |
|
|
NM |
|
|
|
91,661 |
|
|
|
5,254 |
|
|
NM |
|
||
Net interest income after provision for credit losses |
|
|
57,172 |
|
|
|
95,713 |
|
|
|
(40.3 |
) |
|
|
147,513 |
|
|
|
191,568 |
|
|
|
(23.0 |
) |
Non-interest income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trust fees |
|
|
6,202 |
|
|
|
6,339 |
|
|
|
(2.2 |
) |
|
|
13,154 |
|
|
|
13,454 |
|
|
|
(2.2 |
) |
Service charges on deposits |
|
|
4,323 |
|
|
|
6,197 |
|
|
|
(30.2 |
) |
|
|
10,940 |
|
|
|
12,747 |
|
|
|
(14.2 |
) |
Electronic banking fees |
|
|
4,066 |
|
|
|
7,154 |
|
|
|
(43.2 |
) |
|
|
8,320 |
|
|
|
13,046 |
|
|
|
(36.2 |
) |
Net securities brokerage revenue |
|
|
1,384 |
|
|
|
1,973 |
|
|
|
(29.9 |
) |
|
|
3,063 |
|
|
|
3,833 |
|
|
|
(20.1 |
) |
Bank-owned life insurance |
|
|
1,752 |
|
|
|
1,340 |
|
|
|
30.7 |
|
|
|
3,521 |
|
|
|
2,659 |
|
|
|
32.4 |
|
Mortgage banking income |
|
|
7,531 |
|
|
|
1,618 |
|
|
|
365.5 |
|
|
|
8,807 |
|
|
|
2,674 |
|
|
|
229.4 |
|
Net securities gains |
|
|
1,299 |
|
|
|
2,909 |
|
|
|
(55.3 |
) |
|
|
2,790 |
|
|
|
3,566 |
|
|
|
(21.8 |
) |
Net (loss) gain on other real estate owned and other assets |
|
|
(66 |
) |
|
|
376 |
|
|
|
(117.6 |
) |
|
|
103 |
|
|
|
512 |
|
|
|
(79.9 |
) |
Other income |
|
|
6,369 |
|
|
|
3,250 |
|
|
|
96.0 |
|
|
|
10,171 |
|
|
|
6,438 |
|
|
|
58.0 |
|
Total non-interest income |
|
|
32,860 |
|
|
|
31,156 |
|
|
|
5.5 |
|
|
|
60,869 |
|
|
|
58,929 |
|
|
|
3.3 |
|
Non-interest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and wages |
|
|
36,773 |
|
|
|
31,646 |
|
|
|
16.2 |
|
|
|
75,683 |
|
|
|
62,585 |
|
|
|
20.9 |
|
Employee benefits |
|
|
10,138 |
|
|
|
9,705 |
|
|
|
4.5 |
|
|
|
20,511 |
|
|
|
19,694 |
|
|
|
4.1 |
|
Net occupancy |
|
|
6,634 |
|
|
|
5,385 |
|
|
|
23.2 |
|
|
|
13,717 |
|
|
|
10,951 |
|
|
|
25.3 |
|
Equipment |
|
|
5,722 |
|
|
|
4,818 |
|
|
|
18.8 |
|
|
|
11,761 |
|
|
|
9,651 |
|
|
|
21.9 |
|
Marketing |
|
|
1,567 |
|
|
|
1,254 |
|
|
|
25.0 |
|
|
|
2,705 |
|
|
|
2,497 |
|
|
|
8.3 |
|
FDIC insurance |
|
|
2,395 |
|
|
|
1,155 |
|
|
|
107.4 |
|
|
|
4,508 |
|
|
|
2,508 |
|
|
|
79.7 |
|
Amortization of intangible assets |
|
|
3,365 |
|
|
|
2,465 |
|
|
|
36.5 |
|
|
|
6,739 |
|
|
|
4,978 |
|
|
|
35.4 |
|
Restructuring and merger-related expense |
|
|
468 |
|
|
|
81 |
|
|
|
477.8 |
|
|
|
5,633 |
|
|
|
3,188 |
|
|
|
76.7 |
|
Other operating expenses |
|
|
18,440 |
|
|
|
15,443 |
|
|
|
19.4 |
|
|
|
35,578 |
|
|
|
30,333 |
|
|
|
17.3 |
|
Total non-interest expense |
|
|
85,502 |
|
|
|
71,952 |
|
|
|
18.8 |
|
|
|
176,835 |
|
|
|
146,385 |
|
|
|
20.8 |
|
Income before provision for income taxes |
|
|
4,530 |
|
|
|
54,917 |
|
|
|
(91.8 |
) |
|
|
31,547 |
|
|
|
104,112 |
|
|
|
(69.7 |
) |
Provision for income taxes |
|
|
42 |
|
|
|
10,103 |
|
|
|
(99.6 |
) |
|
|
3,663 |
|
|
|
18,961 |
|
|
|
(80.7 |
) |
Net Income |
|
$ |
4,488 |
|
|
$ |
44,814 |
|
|
|
(90.0 |
) |
|
$ |
27,884 |
|
|
$ |
85,151 |
|
|
|
(67.3 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable equivalent net interest income |
|
$ |
120,156 |
|
|
$ |
99,827 |
|
|
|
20.4 |
|
|
$ |
241,502 |
|
|
$ |
199,662 |
|
|
|
21.0 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per common share data |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per common share - basic |
|
$ |
0.07 |
|
|
$ |
0.82 |
|
|
|
(91.5 |
) |
|
$ |
0.41 |
|
|
$ |
1.56 |
|
|
|
(73.7 |
) |
Net income per common share - diluted |
|
|
0.07 |
|
|
|
0.82 |
|
|
|
(91.5 |
) |
|
|
0.41 |
|
|
|
1.56 |
|
|
|
(73.7 |
) |
Net income per common share - diluted, excluding certain items (1)(2) |
|
|
0.07 |
|
|
|
0.82 |
|
|
|
(91.5 |
) |
|
|
0.48 |
|
|
|
1.60 |
|
|
|
(70.0 |
) |
Dividends declared |
|
|
0.32 |
|
|
|
0.31 |
|
|
|
3.2 |
|
|
|
0.64 |
|
|
|
0.62 |
|
|
|
3.2 |
|
Book value (period end) |
|
|
38.23 |
|
|
|
37.92 |
|
|
|
0.8 |
|
|
|
38.23 |
|
|
|
37.92 |
|
|
|
0.8 |
|
Tangible book value (period end) (1) |
|
|
21.10 |
|
|
|
21.40 |
|
|
|
(1.4 |
) |
|
|
21.10 |
|
|
|
21.40 |
|
|
|
(1.4 |
) |
Average common shares outstanding - basic |
|
|
67,104,628 |
|
|
|
54,628,029 |
|
|
|
22.8 |
|
|
|
67,295,589 |
|
|
|
54,613,346 |
|
|
|
23.2 |
|
Average common shares outstanding - diluted |
|
|
67,181,755 |
|
|
|
54,773,521 |
|
|
|
22.7 |
|
|
|
67,410,460 |
|
|
|
54,724,209 |
|
|
|
23.2 |
|
Period end common shares outstanding |
|
|
67,211,192 |
|
|
|
54,697,199 |
|
|
|
22.9 |
|
|
|
67,211,192 |
|
|
|
54,697,199 |
|
|
|
22.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See non-GAAP financial measures for additional information relating to the calculation of this item. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
6 |
(unaudited, dollars in thousands) |
|
(2) Certain items excluded from the calculation consist of after-tax merger-related expenses. |
|
|
|
|
|
|
|
|
|
|||||||||||||||
NM -Not Meaningful |
|
|
|
|
|
|
|
|
|
Selected ratios
|
|
For the Six Months Ended |
|
|
|||||||||
|
|
June 30, |
|
|
|||||||||
|
|
2020 |
|
|
2019 |
|
|
% Change |
|
|
|||
Return on average assets |
|
|
0.35 |
|
% |
|
1.37 |
|
% |
|
(74.45 |
) |
% |
Return on average assets, excluding |
|
|
|
|
|
|
|
|
|
|
|
|
|
after-tax merger-related expenses (1) |
|
|
0.40 |
|
|
|
1.41 |
|
|
|
(71.63 |
) |
|
Return on average equity |
|
|
2.16 |
|
|
|
8.47 |
|
|
|
(74.50 |
) |
|
Return on average equity, excluding |
|
|
|
|
|
|
|
|
|
|
|
|
|
after-tax merger-related expenses (1) |
|
|
2.50 |
|
|
|
8.72 |
|
|
|
(71.33 |
) |
|
Return on average tangible equity (1) |
|
|
4.56 |
|
|
|
16.01 |
|
|
|
(71.52 |
) |
|
Return on average tangible equity, excluding |
|
|
|
|
|
|
|
|
|
|
|
|
|
after-tax merger-related expenses (1) |
|
|
5.17 |
|
|
|
16.46 |
|
|
|
(68.59 |
) |
|
Yield on earning assets (2) |
|
|
3.96 |
|
|
|
4.45 |
|
|
|
(11.01 |
) |
|
Cost of interest bearing liabilities |
|
|
0.77 |
|
|
|
1.07 |
|
|
|
(28.04 |
) |
|
Net interest spread (2) |
|
|
3.19 |
|
|
|
3.38 |
|
|
|
(5.62 |
) |
|
Net interest margin (2) |
|
|
3.42 |
|
|
|
3.68 |
|
|
|
(7.07 |
) |
|
Efficiency (1) (2) |
|
|
56.62 |
|
|
|
55.38 |
|
|
|
2.24 |
|
|
Average loans to average deposits |
|
|
93.18 |
|
|
|
87.18 |
|
|
|
6.88 |
|
|
Annualized net loan charge-offs/average loans |
|
|
0.13 |
|
|
|
0.06 |
|
|
|
116.67 |
|
|
Effective income tax rate |
|
|
11.61 |
|
|
|
18.21 |
|
|
|
(36.24 |
) |
|
|
|
For the Quarter Ended |
|
|
|||||||||||||||||
|
|
June 30, |
|
|
Mar. 31, |
|
|
Dec. 31, |
|
|
Sept. 30, |
|
|
June 30, |
|
|
|||||
|
|
2020 |
|
|
2020 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
|||||
Return on average assets |
|
|
0.11 |
|
% |
|
0.60 |
|
% |
|
1.04 |
|
% |
|
1.19 |
|
% |
|
1.44 |
|
% |
Return on average assets, excluding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
after-tax merger-related expenses (1) |
|
|
0.12 |
|
|
|
0.70 |
|
|
|
1.30 |
|
|
|
1.23 |
|
|
|
1.44 |
|
|
Return on average equity |
|
|
0.69 |
|
|
|
3.63 |
|
|
|
6.20 |
|
|
|
7.06 |
|
|
|
8.77 |
|
|
Return on average equity, excluding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
after-tax merger-related expenses (1) |
|
|
0.75 |
|
|
|
4.26 |
|
|
|
7.75 |
|
|
|
7.32 |
|
|
|
8.78 |
|
|
Return on average tangible equity (1) |
|
|
1.98 |
|
|
|
7.07 |
|
|
|
11.53 |
|
|
|
13.06 |
|
|
|
16.35 |
|
|
Return on average tangible equity, excluding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
after-tax merger-related expenses (1) |
|
|
2.08 |
|
|
|
8.18 |
|
|
|
14.24 |
|
|
|
13.50 |
|
|
|
16.38 |
|
|
Yield on earning assets (2) |
|
|
3.75 |
|
|
|
4.19 |
|
|
|
4.25 |
|
|
|
4.34 |
|
|
|
4.45 |
|
|
Cost of interest bearing liabilities |
|
|
0.63 |
|
|
|
0.91 |
|
|
|
0.99 |
|
|
|
1.09 |
|
|
|
1.08 |
|
|
Net interest spread (2) |
|
|
3.12 |
|
|
|
3.28 |
|
|
|
3.26 |
|
|
|
3.25 |
|
|
|
3.37 |
|
|
Net interest margin (2) |
|
|
3.32 |
|
|
|
3.54 |
|
|
|
3.55 |
|
|
|
3.56 |
|
|
|
3.67 |
|
|
Efficiency (1) (2) |
|
|
55.57 |
|
|
|
57.69 |
|
|
|
58.29 |
|
|
|
57.57 |
|
|
|
54.87 |
|
|
Average loans to average deposits |
|
|
91.87 |
|
|
|
94.61 |
|
|
|
90.78 |
|
|
|
88.96 |
|
|
|
87.35 |
|
|
Annualized net loan charge-offs /average loans |
|
|
0.07 |
|
|
|
0.18 |
|
|
|
0.20 |
|
|
|
0.04 |
|
|
|
0.05 |
|
|
Effective income tax rate |
|
|
0.93 |
|
|
|
13.40 |
|
|
|
16.23 |
|
|
|
18.24 |
|
|
|
18.40 |
|
|
Trust assets, market value at period end |
|
$ |
4,487,042 |
|
|
$ |
4,082,141 |
|
|
$ |
4,719,966 |
|
|
$ |
4,443,430 |
|
|
$ |
4,544,103 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See non-GAAP financial measures for additional information relating to the calculation of this item. |
|||||||||||||||||||||
(2) The yield on earning assets, net interest margin, net interest spread and efficiency ratios are presented on a fully taxable-equivalent (FTE) and annualized basis. The FTE basis adjusts for the tax benefit of income on certain tax-exempt loans and investments. WesBanco believes this measure to be the preferred industry measurement of net interest income and provides a relevant comparison between taxable and non-taxable amounts. |
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands, except shares) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% Change |
|
|
|
|
June 30, |
|
|
|
|
|
December 31, |
|
December 31, 2019 |
|
|||||||
Balance sheets |
|
2020 |
|
|
2019 |
|
|
% Change |
|
2019 |
|
to June 30, 2020 |
|
|||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
219,022 |
|
|
$ |
157,965 |
|
|
|
38.7 |
|
$ |
182,905 |
|
|
19.7 |
|
Due from banks - interest bearing |
|
|
671,312 |
|
|
|
36,390 |
|
|
NM |
|
|
51,891 |
|
NM |
|
||
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity securities, at fair value |
|
|
12,277 |
|
|
|
11,817 |
|
|
|
3.9 |
|
|
12,343 |
|
|
(0.5 |
) |
Available-for-sale debt securities, at fair value |
|
|
2,073,949 |
|
|
|
2,129,284 |
|
|
|
(2.6 |
) |
|
2,393,558 |
|
|
(13.4 |
) |
Held-to-maturity debt securities (fair values of $802,666; $921,534 and $874,523, respectively) |
|
|
766,416 |
|
|
|
900,605 |
|
|
|
(14.9 |
) |
|
851,753 |
|
|
(10.0 |
) |
Allowance for credit losses, held-to-maturity debt securities |
|
|
(817 |
) |
|
|
- |
|
|
|
(100.0 |
) |
|
- |
|
|
(100.0 |
) |
Net held-to-maturity debt securities |
|
|
765,599 |
|
|
|
900,605 |
|
|
|
(15.0 |
) |
|
851,753 |
|
|
(10.1 |
) |
Total securities |
|
|
2,851,825 |
|
|
|
3,041,706 |
|
|
|
(6.2 |
) |
|
3,257,654 |
|
|
(12.5 |
) |
Loans held for sale |
|
|
53,324 |
|
|
|
18,649 |
|
|
|
185.9 |
|
|
43,013 |
|
|
24.0 |
|
Portfolio loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate |
|
|
5,694,457 |
|
|
|
3,877,633 |
|
|
|
46.9 |
|
|
5,725,008 |
|
|
(0.5 |
) |
Commercial and industrial |
|
|
2,496,096 |
|
|
|
1,300,577 |
|
|
|
91.9 |
|
|
1,644,699 |
|
|
51.8 |
|
Residential real estate |
|
|
1,893,544 |
|
|
|
1,633,613 |
|
|
|
15.9 |
|
|
1,873,647 |
|
|
1.1 |
|
Home equity |
|
|
646,323 |
|
|
|
590,303 |
|
|
|
9.5 |
|
|
649,678 |
|
|
(0.5 |
) |
Consumer |
|
|
343,723 |
|
|
|
335,728 |
|
|
|
2.4 |
|
|
374,953 |
|
|
(8.3 |
) |
Total portfolio loans, net of unearned income |
|
|
11,074,143 |
|
|
|
7,737,854 |
|
|
|
43.1 |
|
|
10,267,985 |
|
|
7.9 |
|
Allowance for credit losses - loans (1) |
|
|
(168,475 |
) |
|
|
(50,859 |
) |
|
|
(231.3 |
) |
|
(52,429 |
) |
|
(221.3 |
) |
Net portfolio loans |
|
|
10,905,668 |
|
|
|
7,686,995 |
|
|
|
41.9 |
|
|
10,215,556 |
|
|
6.8 |
|
Premises and equipment, net |
|
|
255,306 |
|
|
|
179,866 |
|
|
|
41.9 |
|
|
261,014 |
|
|
(2.2 |
) |
Accrued interest receivable |
|
|
59,151 |
|
|
|
38,450 |
|
|
|
53.8 |
|
|
43,648 |
|
|
35.5 |
|
Goodwill and other intangible assets, net |
|
|
1,166,853 |
|
|
|
914,678 |
|
|
|
27.6 |
|
|
1,149,153 |
|
|
1.5 |
|
Bank-owned life insurance |
|
|
303,022 |
|
|
|
227,976 |
|
|
|
32.9 |
|
|
299,516 |
|
|
1.2 |
|
Other assets |
|
|
269,912 |
|
|
|
191,978 |
|
|
|
40.6 |
|
|
215,762 |
|
|
25.1 |
|
Total Assets |
|
$ |
16,755,395 |
|
|
$ |
12,494,653 |
|
|
|
34.1 |
|
$ |
15,720,112 |
|
|
6.6 |
|
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest bearing demand |
|
$ |
4,067,903 |
|
|
$ |
2,481,065 |
|
|
|
64.0 |
|
$ |
3,178,270 |
|
|
28.0 |
|
Interest bearing demand |
|
|
2,596,132 |
|
|
|
2,079,795 |
|
|
|
24.8 |
|
|
2,316,855 |
|
|
12.1 |
|
Money market |
|
|
1,610,248 |
|
|
|
1,098,917 |
|
|
|
46.5 |
|
|
1,518,314 |
|
|
6.1 |
|
Savings deposits |
|
|
2,103,154 |
|
|
|
1,670,035 |
|
|
|
25.9 |
|
|
1,934,647 |
|
|
8.7 |
|
Certificates of deposit |
|
|
1,809,016 |
|
|
|
1,365,116 |
|
|
|
32.5 |
|
|
2,055,920 |
|
|
(12.0 |
) |
Total deposits |
|
|
12,186,453 |
|
|
|
8,694,928 |
|
|
|
40.2 |
|
|
11,004,006 |
|
|
10.7 |
|
Federal Home Loan Bank borrowings |
|
|
1,129,631 |
|
|
|
1,121,283 |
|
|
|
0.7 |
|
|
1,415,615 |
|
|
(20.2 |
) |
Other short-term borrowings |
|
|
390,777 |
|
|
|
296,148 |
|
|
|
32.0 |
|
|
282,362 |
|
|
38.4 |
|
Subordinated debt and junior subordinated debt |
|
|
192,080 |
|
|
|
156,534 |
|
|
|
22.7 |
|
|
199,869 |
|
|
(3.9 |
) |
Total borrowings |
|
|
1,712,488 |
|
|
|
1,573,965 |
|
|
|
8.8 |
|
|
1,897,846 |
|
|
(9.8 |
) |
Accrued interest payable |
|
|
6,040 |
|
|
|
6,559 |
|
|
|
(7.9 |
) |
|
8,077 |
|
|
(25.2 |
) |
Other liabilities |
|
|
280,893 |
|
|
|
145,085 |
|
|
|
93.6 |
|
|
216,262 |
|
|
29.9 |
|
Total Liabilities |
|
|
14,185,874 |
|
|
|
10,420,537 |
|
|
|
36.1 |
|
|
13,126,191 |
|
|
8.1 |
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock, no par value; 1,000,000 shares authorized; none outstanding |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
- |
|
|
- |
|
Common stock, $2.0833 par value; 100,000,000 shares authorized in 2020 and 2019, respectively; 68,078,116, 54,697,251 and 68,078,116 shares issued, respectively; 67,211,192, 54,697,199 and 67,824,428 shares outstanding, respectively |
|
|
141,827 |
|
|
|
113,952 |
|
|
|
24.5 |
|
|
141,827 |
|
|
- |
|
Capital surplus |
|
|
1,633,079 |
|
|
|
1,168,212 |
|
|
|
39.8 |
|
|
1,636,966 |
|
|
(0.2 |
) |
Retained earnings |
|
|
782,990 |
|
|
|
788,900 |
|
|
|
(0.7 |
) |
|
824,694 |
|
|
(5.1 |
) |
Treasury stock (866,924, 52 and 253,688 shares - at cost, respectively) |
|
|
(27,518 |
) |
|
|
(2 |
) |
|
NM |
|
|
(9,463 |
) |
|
(190.8 |
) |
|
Accumulated other comprehensive income |
|
|
40,516 |
|
|
|
4,113 |
|
|
|
885.1 |
|
|
1,201 |
|
NM |
|
|
Deferred benefits for directors |
|
|
(1,373 |
) |
|
|
(1,059 |
) |
|
|
(29.7 |
) |
|
(1,304 |
) |
|
(5.3 |
) |
Total Shareholders' Equity |
|
|
2,569,521 |
|
|
|
2,074,116 |
|
|
|
23.9 |
|
|
2,593,921 |
|
|
(0.9 |
) |
Total Liabilities and Shareholders' Equity |
|
$ |
16,755,395 |
|
|
$ |
12,494,653 |
|
|
|
34.1 |
|
$ |
15,720,112 |
|
|
6.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Allowance for credit losses - loans as of June 30, 2020 and March 31, 2020 includes a day 1 adjustment of $41.4 million due to the adoption of ASU 2016-13. |
|
|||||||||||||||||
NM - Not Meaningful |
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands, except shares) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30, |
|
|
March 31, |
|
|
|
|
|
||
Balance sheets |
|
2020 |
|
|
2020 |
|
|
% Change |
|
|||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Cash and due from banks |
|
$ |
219,022 |
|
|
$ |
183,138 |
|
|
|
19.6 |
|
Due from banks - interest bearing |
|
|
671,312 |
|
|
|
410,734 |
|
|
|
63.4 |
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
Equity securities, at fair value |
|
|
12,277 |
|
|
|
11,230 |
|
|
|
9.3 |
|
Available-for-sale debt securities, at fair value |
|
|
2,073,949 |
|
|
|
2,262,082 |
|
|
|
(8.3 |
) |
Held-to-maturity debt securities (fair values of $802,666 and $841,120, respectively) |
|
|
766,416 |
|
|
|
814,414 |
|
|
|
(5.9 |
) |
Allowance for credit losses, held-to-maturity debt securities |
|
|
(817 |
) |
|
|
(236 |
) |
|
|
(246.2 |
) |
Net held-to-maturity debt securities |
|
|
765,599 |
|
|
|
814,178 |
|
|
|
(6.0 |
) |
Total securities |
|
|
2,851,825 |
|
|
|
3,087,490 |
|
|
|
(7.6 |
) |
Loans held for sale |
|
|
53,324 |
|
|
|
48,021 |
|
|
|
11.0 |
|
Portfolio loans: |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate |
|
|
5,694,457 |
|
|
|
5,604,405 |
|
|
|
1.6 |
|
Commercial and industrial |
|
|
2,496,096 |
|
|
|
1,801,751 |
|
|
|
38.5 |
|
Residential real estate |
|
|
1,893,544 |
|
|
|
1,929,590 |
|
|
|
(1.9 |
) |
Home equity |
|
|
646,323 |
|
|
|
650,754 |
|
|
|
(0.7 |
) |
Consumer |
|
|
343,723 |
|
|
|
363,096 |
|
|
|
(5.3 |
) |
Total portfolio loans, net of unearned income |
|
|
11,074,143 |
|
|
|
10,349,596 |
|
|
|
7.0 |
|
Allowance for credit losses - loans (1) |
|
|
(168,475 |
) |
|
|
(114,272 |
) |
|
|
(47.4 |
) |
Net portfolio loans |
|
|
10,905,668 |
|
|
|
10,235,324 |
|
|
|
6.5 |
|
Premises and equipment, net |
|
|
255,306 |
|
|
|
258,200 |
|
|
|
(1.1 |
) |
Accrued interest receivable |
|
|
59,151 |
|
|
|
43,960 |
|
|
|
34.6 |
|
Goodwill and other intangible assets, net |
|
|
1,166,853 |
|
|
|
1,170,070 |
|
|
|
(0.3 |
) |
Bank-owned life insurance |
|
|
303,022 |
|
|
|
301,270 |
|
|
|
0.6 |
|
Other assets |
|
|
269,912 |
|
|
|
257,365 |
|
|
|
4.9 |
|
Total Assets |
|
$ |
16,755,395 |
|
|
$ |
15,995,572 |
|
|
|
4.8 |
|
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest bearing demand |
|
$ |
4,067,903 |
|
|
$ |
3,191,713 |
|
|
|
27.5 |
|
Interest bearing demand |
|
|
2,596,132 |
|
|
|
2,388,406 |
|
|
|
8.7 |
|
Money market |
|
|
1,610,248 |
|
|
|
1,539,835 |
|
|
|
4.6 |
|
Savings deposits |
|
|
2,103,154 |
|
|
|
1,984,057 |
|
|
|
6.0 |
|
Certificates of deposit |
|
|
1,809,016 |
|
|
|
1,939,321 |
|
|
|
(6.7 |
) |
Total deposits |
|
|
12,186,453 |
|
|
|
11,043,332 |
|
|
|
10.4 |
|
Federal Home Loan Bank borrowings |
|
|
1,129,631 |
|
|
|
1,585,608 |
|
|
|
(28.8 |
) |
Other short-term borrowings |
|
|
390,777 |
|
|
|
333,966 |
|
|
|
17.0 |
|
Subordinated debt and junior subordinated debt |
|
|
192,080 |
|
|
|
192,008 |
|
|
|
0.0 |
|
Total borrowings |
|
|
1,712,488 |
|
|
|
2,111,582 |
|
|
|
(18.9 |
) |
Accrued interest payable |
|
|
6,040 |
|
|
|
7,667 |
|
|
|
(21.2 |
) |
Other liabilities |
|
|
280,893 |
|
|
|
246,931 |
|
|
|
13.8 |
|
Total Liabilities |
|
|
14,185,874 |
|
|
|
13,409,512 |
|
|
|
5.8 |
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
Preferred stock, no par value; 1,000,000 shares authorized; none outstanding |
|
|
- |
|
|
|
- |
|
|
|
- |
|
Common stock, $2.0833 par value; 100,000,000 shares authorized in 2020 and 2019, respectively; 68,078,116, 54,697,251 and 68,078,116 shares issued, respectively; 67,211,192, 54,697,199 and 67,824,428 shares outstanding, respectively |
|
|
141,827 |
|
|
|
141,827 |
|
|
|
- |
|
Capital surplus |
|
|
1,633,079 |
|
|
|
1,638,122 |
|
|
|
(0.3 |
) |
Retained earnings |
|
|
782,990 |
|
|
|
800,064 |
|
|
|
(2.1 |
) |
Treasury stock (866,924, 52 and 253,688 shares - at cost, respectively) |
|
|
(27,518 |
) |
|
|
(33,714 |
) |
|
|
18.4 |
|
Accumulated other comprehensive income |
|
|
40,516 |
|
|
|
41,141 |
|
|
|
(1.5 |
) |
Deferred benefits for directors |
|
|
(1,373 |
) |
|
|
(1,380 |
) |
|
|
0.5 |
|
Total Shareholders' Equity |
|
|
2,569,521 |
|
|
|
2,586,060 |
|
|
|
(0.6 |
) |
Total Liabilities and Shareholders' Equity |
|
$ |
16,755,395 |
|
|
$ |
15,995,572 |
|
|
|
4.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Allowance for credit losses - loans includes a day 1 adjustment of $41.4 million due to the adoption of ASU 2016-13. |
|
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
NM - Not Meaningful |
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands) |
|
|
|
For the Three Months Ended June 30, |
|
|
|
For the Six Months Ended June 30, |
|
|
||||||||||||||||||||||||
|
|
2020 |
|
|
|
2019 |
|
|
|
2020 |
|
|
|
2019 |
|
|
||||||||||||||||
Average balance sheet and net interest margin |
|
Average |
|
Average |
|
|
|
Average |
|
Average |
|
|
|
Average |
|
Average |
|
|
|
Average |
|
Average |
|
|
||||||||
analysis |
|
Balance |
|
Rate |
|
|
|
Balance |
|
Rate |
|
|
|
Balance |
|
Rate |
|
|
|
Balance |
|
Rate |
|
|
||||||||
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Due from banks - interest bearing |
|
$ |
637,979 |
|
|
0.17 |
|
% |
|
$ |
72,563 |
|
|
3.46 |
|
% |
|
$ |
385,755 |
|
|
0.35 |
|
% |
|
$ |
74,774 |
|
|
2.55 |
|
% |
Loans, net of unearned income (1) |
|
|
10,955,694 |
|
|
4.22 |
|
|
|
|
7,700,355 |
|
|
5.02 |
|
|
|
|
10,665,441 |
|
|
4.42 |
|
|
|
|
7,680,062 |
|
|
5.04 |
|
|
Securities: (2) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
|
2,288,409 |
|
|
2.47 |
|
|
|
|
2,336,099 |
|
|
2.82 |
|
|
|
|
2,432,539 |
|
|
2.57 |
|
|
|
|
2,344,929 |
|
|
2.83 |
|
|
Tax-exempt (3) |
|
|
622,637 |
|
|
3.52 |
|
|
|
|
741,371 |
|
|
3.51 |
|
|
|
|
634,612 |
|
|
3.51 |
|
|
|
|
775,845 |
|
|
3.49 |
|
|
Total securities |
|
|
2,911,046 |
|
|
2.69 |
|
|
|
|
3,077,470 |
|
|
2.98 |
|
|
|
|
3,067,151 |
|
|
2.76 |
|
|
|
|
3,120,774 |
|
|
2.99 |
|
|
Other earning assets |
|
|
71,493 |
|
|
5.68 |
|
|
|
|
50,555 |
|
|
7.26 |
|
|
|
|
70,537 |
|
|
6.02 |
|
|
|
|
51,330 |
|
|
7.28 |
|
|
Total earning assets (3) |
|
|
14,576,212 |
|
|
3.75 |
|
% |
|
|
10,900,943 |
|
|
4.45 |
|
% |
|
|
14,188,884 |
|
|
3.96 |
|
% |
|
|
10,926,940 |
|
|
4.45 |
|
% |
Other assets |
|
|
2,138,999 |
|
|
|
|
|
|
|
1,588,720 |
|
|
|
|
|
|
|
2,061,191 |
|
|
|
|
|
|
|
1,572,988 |
|
|
|
|
|
Total Assets |
|
$ |
16,715,211 |
|
|
|
|
|
|
$ |
12,489,663 |
|
|
|
|
|
|
$ |
16,250,075 |
|
|
|
|
|
|
$ |
12,499,928 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Shareholders' Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest bearing demand deposits |
|
$ |
2,558,768 |
|
|
0.21 |
|
% |
|
$ |
2,139,372 |
|
|
0.81 |
|
% |
|
$ |
2,450,605 |
|
|
0.39 |
|
% |
|
$ |
2,134,514 |
|
|
0.78 |
|
% |
Money market accounts |
|
|
1,603,395 |
|
|
0.22 |
|
|
|
|
1,116,124 |
|
|
0.72 |
|
|
|
|
1,573,579 |
|
|
0.41 |
|
|
|
|
1,135,237 |
|
|
0.69 |
|
|
Savings deposits |
|
|
2,060,392 |
|
|
0.06 |
|
|
|
|
1,676,477 |
|
|
0.16 |
|
|
|
|
2,006,940 |
|
|
0.12 |
|
|
|
|
1,668,160 |
|
|
0.15 |
|
|
Certificates of deposit |
|
|
1,846,929 |
|
|
0.77 |
|
|
|
|
1,397,167 |
|
|
1.18 |
|
|
|
|
1,918,189 |
|
|
0.79 |
|
|
|
|
1,417,703 |
|
|
1.14 |
|
|
Total interest bearing deposits |
|
|
8,069,484 |
|
|
0.30 |
|
|
|
|
6,329,140 |
|
|
0.70 |
|
|
|
|
7,949,313 |
|
|
0.42 |
|
|
|
|
6,355,614 |
|
|
0.68 |
|
|
Federal Home Loan Bank borrowings |
|
|
1,381,093 |
|
|
2.12 |
|
|
|
|
1,008,027 |
|
|
2.50 |
|
|
|
|
1,426,134 |
|
|
2.19 |
|
|
|
|
1,030,396 |
|
|
2.47 |
|
|
Other borrowings |
|
|
365,793 |
|
|
0.31 |
|
|
|
|
320,269 |
|
|
1.86 |
|
|
|
|
350,917 |
|
|
0.66 |
|
|
|
|
324,033 |
|
|
1.89 |
|
|
Subordinated debt and junior subordinated debt |
|
|
192,021 |
|
|
4.33 |
|
|
|
|
164,108 |
|
|
5.41 |
|
|
|
|
195,257 |
|
|
4.67 |
|
|
|
|
176,746 |
|
|
5.41 |
|
|
Total interest bearing liabilities |
|
|
10,008,391 |
|
|
0.63 |
|
% |
|
|
7,821,544 |
|
|
1.08 |
|
% |
|
|
9,921,621 |
|
|
0.77 |
|
% |
|
|
7,886,789 |
|
|
1.07 |
|
% |
Non-interest bearing demand deposits |
|
|
3,856,291 |
|
|
|
|
|
|
|
2,486,710 |
|
|
|
|
|
|
|
3,496,784 |
|
|
|
|
|
|
|
2,453,770 |
|
|
|
|
|
Other liabilities |
|
|
247,591 |
|
|
|
|
|
|
|
131,219 |
|
|
|
|
|
|
|
233,166 |
|
|
|
|
|
|
|
132,657 |
|
|
|
|
|
Shareholders' equity |
|
|
2,602,938 |
|
|
|
|
|
|
|
2,050,190 |
|
|
|
|
|
|
|
2,598,504 |
|
|
|
|
|
|
|
2,026,712 |
|
|
|
|
|
Total Liabilities and Shareholders' Equity |
|
$ |
16,715,211 |
|
|
|
|
|
|
$ |
12,489,663 |
|
|
|
|
|
|
$ |
16,250,075 |
|
|
|
|
|
|
$ |
12,499,928 |
|
|
|
|
|
Taxable equivalent net interest spread |
|
|
|
|
|
3.12 |
|
% |
|
|
|
|
|
3.37 |
|
% |
|
|
|
|
|
3.19 |
|
% |
|
|
|
|
|
3.38 |
|
% |
Taxable equivalent net interest margin |
|
|
|
|
|
3.32 |
|
% |
|
|
|
|
|
3.67 |
|
% |
|
|
|
|
|
3.42 |
|
% |
|
|
|
|
|
3.68 |
|
% |
(1) |
Gross of allowance for loan losses and net of unearned income. Includes non-accrual and loans held for sale. Includes non-accrual and loans held for sale. Loan fees included in interest income on loans are $2.6 million and $0.4 million for the three months ended June 30, 2020 and 2019, respectively, and are $3.3 million and $0.9 million for the six months ended June 30, 2020 and 2019, respectively. As part of loan fees for both the three and six month ended June 30, 2020, is $2.1 million of PPP loan fees. Additionally, loan accretion included in interest income on loans acquired from prior acquisitions was $4.1 million and $4.7 million for the three months ended June 30, 2020 and 2019, respectively, and are $8.2 million and $9.6 million for the six months ended June 30, 2020 and 2019, respectively. Accretion on interest bearing liabilities acquired from the prior acquisitions was $2.6 million and $0.3 million for the three months ended June 30, 2020 and 2019, respectively, and are $6.0 million and $0.7 million for the six months ended June 30, 2020 and 2019, respectively. |
(2) |
Average yields on available-for-sale securities are calculated based on amortized cost. |
(3) |
Taxable equivalent basis is calculated on tax-exempt securities using a rate of 21% for each period presented. |
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands, except shares and per share amounts) |
|
|
|
Quarter Ended |
|
|||||||||||||||||
|
|
June 30, |
|
|
Mar. 31, |
|
|
Dec. 31, |
|
|
Sept. 30, |
|
|
June 30, |
|
|||||
Statement of Income |
|
2020 |
|
|
2020 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|||||
Interest and dividend income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans, including fees |
|
$ |
115,068 |
|
|
$ |
119,503 |
|
|
$ |
105,879 |
|
|
$ |
95,369 |
|
|
$ |
96,415 |
|
Interest and dividends on securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
|
14,047 |
|
|
|
16,986 |
|
|
|
16,586 |
|
|
|
15,887 |
|
|
|
16,444 |
|
Tax-exempt |
|
|
4,302 |
|
|
|
4,456 |
|
|
|
4,563 |
|
|
|
4,759 |
|
|
|
5,142 |
|
Total interest and dividends on securities |
|
|
18,349 |
|
|
|
21,442 |
|
|
|
21,149 |
|
|
|
20,646 |
|
|
|
21,586 |
|
Other interest income |
|
|
1,277 |
|
|
|
1,503 |
|
|
|
1,281 |
|
|
|
1,333 |
|
|
|
1,542 |
|
Total interest and dividend income |
|
|
134,694 |
|
|
|
142,448 |
|
|
|
128,309 |
|
|
|
117,348 |
|
|
|
119,543 |
|
Interest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest bearing demand deposits |
|
|
1,350 |
|
|
|
3,393 |
|
|
|
4,054 |
|
|
|
4,489 |
|
|
|
4,314 |
|
Money market deposits |
|
|
879 |
|
|
|
2,352 |
|
|
|
2,143 |
|
|
|
1,973 |
|
|
|
2,009 |
|
Savings deposits |
|
|
297 |
|
|
|
923 |
|
|
|
935 |
|
|
|
861 |
|
|
|
678 |
|
Certificates of deposit |
|
|
3,514 |
|
|
|
4,054 |
|
|
|
3,800 |
|
|
|
3,830 |
|
|
|
4,098 |
|
Total interest expense on deposits |
|
|
6,040 |
|
|
|
10,723 |
|
|
|
10,932 |
|
|
|
11,153 |
|
|
|
11,099 |
|
Federal Home Loan Bank borrowings |
|
|
7,293 |
|
|
|
8,232 |
|
|
|
7,279 |
|
|
|
6,645 |
|
|
|
6,287 |
|
Other short-term borrowings |
|
|
279 |
|
|
|
870 |
|
|
|
1,009 |
|
|
|
1,353 |
|
|
|
1,483 |
|
Subordinated debt and junior subordinated debt |
|
|
2,069 |
|
|
|
2,461 |
|
|
|
2,125 |
|
|
|
2,077 |
|
|
|
2,214 |
|
Total interest expense |
|
|
15,681 |
|
|
|
22,286 |
|
|
|
21,345 |
|
|
|
21,228 |
|
|
|
21,083 |
|
Net interest income |
|
|
119,013 |
|
|
|
120,162 |
|
|
|
106,964 |
|
|
|
96,120 |
|
|
|
98,460 |
|
Provision for credit losses |
|
|
61,841 |
|
|
|
29,821 |
|
|
|
1,824 |
|
|
|
4,121 |
|
|
|
2,747 |
|
Net interest income after provision for credit losses |
|
|
57,172 |
|
|
|
90,341 |
|
|
|
105,140 |
|
|
|
91,999 |
|
|
|
95,713 |
|
Non-interest income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trust fees |
|
|
6,202 |
|
|
|
6,952 |
|
|
|
6,699 |
|
|
|
6,425 |
|
|
|
6,339 |
|
Service charges on deposits |
|
|
4,323 |
|
|
|
6,617 |
|
|
|
7,171 |
|
|
|
7,056 |
|
|
|
6,197 |
|
Electronic banking fees |
|
|
4,066 |
|
|
|
4,254 |
|
|
|
4,336 |
|
|
|
5,253 |
|
|
|
7,154 |
|
Net securities brokerage revenue |
|
|
1,384 |
|
|
|
1,679 |
|
|
|
1,393 |
|
|
|
1,765 |
|
|
|
1,973 |
|
Bank-owned life insurance |
|
|
1,752 |
|
|
|
1,769 |
|
|
|
1,882 |
|
|
|
1,373 |
|
|
|
1,340 |
|
Mortgage banking income |
|
|
7,531 |
|
|
|
1,276 |
|
|
|
2,957 |
|
|
|
2,588 |
|
|
|
1,618 |
|
Net securities gains |
|
|
1,299 |
|
|
|
1,491 |
|
|
|
520 |
|
|
|
235 |
|
|
|
2,909 |
|
Net (loss) / gain on other real estate owned and other assets |
|
|
(66 |
) |
|
|
169 |
|
|
|
61 |
|
|
|
158 |
|
|
|
376 |
|
Other income |
|
|
6,369 |
|
|
|
3,802 |
|
|
|
5,819 |
|
|
|
2,097 |
|
|
|
3,250 |
|
Total non-interest income |
|
|
32,860 |
|
|
|
28,009 |
|
|
|
30,838 |
|
|
|
26,950 |
|
|
|
31,156 |
|
Non-interest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and wages |
|
|
36,773 |
|
|
|
38,910 |
|
|
|
36,984 |
|
|
|
32,915 |
|
|
|
31,646 |
|
Employee benefits |
|
|
10,138 |
|
|
|
10,373 |
|
|
|
9,894 |
|
|
|
9,726 |
|
|
|
9,705 |
|
Net occupancy |
|
|
6,634 |
|
|
|
7,084 |
|
|
|
6,162 |
|
|
|
5,392 |
|
|
|
5,385 |
|
Equipment |
|
|
5,722 |
|
|
|
6,039 |
|
|
|
5,570 |
|
|
|
5,273 |
|
|
|
4,818 |
|
Marketing |
|
|
1,567 |
|
|
|
1,138 |
|
|
|
2,059 |
|
|
|
1,505 |
|
|
|
1,254 |
|
FDIC insurance |
|
|
2,395 |
|
|
|
2,113 |
|
|
|
668 |
|
|
|
(1,221 |
) |
|
|
1,155 |
|
Amortization of intangible assets |
|
|
3,365 |
|
|
|
3,374 |
|
|
|
2,916 |
|
|
|
2,446 |
|
|
|
2,465 |
|
Restructuring and merger-related expense |
|
|
468 |
|
|
|
5,164 |
|
|
|
11,522 |
|
|
|
1,688 |
|
|
|
81 |
|
Other operating expenses |
|
|
18,440 |
|
|
|
17,138 |
|
|
|
16,781 |
|
|
|
15,544 |
|
|
|
15,443 |
|
Total non-interest expense |
|
|
85,502 |
|
|
|
91,333 |
|
|
|
92,556 |
|
|
|
73,268 |
|
|
|
71,952 |
|
Income before provision for income taxes |
|
|
4,530 |
|
|
|
27,017 |
|
|
|
43,422 |
|
|
|
45,681 |
|
|
|
54,917 |
|
Provision for income taxes |
|
|
42 |
|
|
|
3,621 |
|
|
|
7,046 |
|
|
|
8,334 |
|
|
|
10,103 |
|
Net Income |
|
$ |
4,488 |
|
|
$ |
23,396 |
|
|
$ |
36,376 |
|
|
$ |
37,347 |
|
|
$ |
44,814 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable equivalent net interest income |
|
$ |
120,156 |
|
|
$ |
121,346 |
|
|
$ |
108,177 |
|
|
$ |
97,385 |
|
|
$ |
99,827 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Per common share data |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per common share - basic |
|
|
0.07 |
|
|
|
0.34 |
|
|
|
0.60 |
|
|
|
0.68 |
|
|
|
0.82 |
|
Net income per common share - diluted |
|
|
0.07 |
|
|
|
0.34 |
|
|
|
0.60 |
|
|
|
0.68 |
|
|
|
0.82 |
|
Net income per common share - diluted, excluding certain items (1)(2) |
|
|
0.07 |
|
|
|
0.40 |
|
|
|
0.75 |
|
|
|
0.71 |
|
|
|
0.82 |
|
Dividends declared |
|
|
0.32 |
|
|
|
0.32 |
|
|
|
0.31 |
|
|
|
0.31 |
|
|
|
0.31 |
|
Book value (period end) |
|
|
38.23 |
|
|
|
38.56 |
|
|
|
38.24 |
|
|
|
38.42 |
|
|
|
37.92 |
|
Tangible book value (period end) (1) |
|
|
21.10 |
|
|
|
21.36 |
|
|
|
21.55 |
|
|
|
21.89 |
|
|
|
21.40 |
|
Average common shares outstanding - basic |
|
|
67,104,628 |
|
|
|
67,486,550 |
|
|
|
60,461,325 |
|
|
|
54,695,578 |
|
|
|
54,628,029 |
|
Average common shares outstanding - diluted |
|
|
67,181,755 |
|
|
|
67,587,446 |
|
|
|
60,562,366 |
|
|
|
54,751,344 |
|
|
|
54,773,521 |
|
Period end common shares outstanding |
|
|
67,211,192 |
|
|
|
67,058,155 |
|
|
|
67,824,428 |
|
|
|
54,691,225 |
|
|
|
54,697,199 |
|
Full time equivalent employees |
|
|
2,676 |
|
|
|
2,703 |
|
|
|
2,705 |
|
|
|
2,330 |
|
|
|
2,353 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) See non-GAAP financial measures for additional information relating to the calculation of this item. |
|
|||||||||||||||||||
(2) Certain items excluded from the calculation consist of after-tax merger-related expenses. |
|
|||||||||||||||||||
|
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands) |
|
|
|
Quarter Ended |
|
|
|||||||||||||||||
|
|
June 30, |
|
|
Mar. 31, |
|
|
Dec. 31, |
|
|
Sept. 30, |
|
|
June 30, |
|
|
|||||
Asset quality data |
|
2020 |
|
|
2020 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
|||||
Non-performing assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Troubled debt restructurings - accruing |
|
$ |
5,105 |
|
|
$ |
5,434 |
|
|
$ |
5,431 |
|
|
$ |
5,840 |
|
|
$ |
5,487 |
|
|
Non-accrual loans: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Troubled debt restructurings |
|
|
1,339 |
|
|
|
1,571 |
|
|
|
1,422 |
|
|
|
1,345 |
|
|
|
1,924 |
|
|
Other non-accrual loans (1) |
|
|
34,119 |
|
|
|
32,796 |
|
|
|
43,491 |
|
|
|
33,456 |
|
|
|
30,974 |
|
|
Total non-accrual loans |
|
|
35,458 |
|
|
|
34,367 |
|
|
|
44,913 |
|
|
|
34,801 |
|
|
|
32,898 |
|
|
Total non-performing loans |
|
|
40,563 |
|
|
|
39,801 |
|
|
|
50,344 |
|
|
|
40,641 |
|
|
|
38,385 |
|
|
Other real estate and repossessed assets |
|
|
1,212 |
|
|
|
1,083 |
|
|
|
4,178 |
|
|
|
3,678 |
|
|
|
4,973 |
|
|
Total non-performing assets |
|
$ |
41,775 |
|
|
$ |
40,884 |
|
|
$ |
54,522 |
|
|
$ |
44,319 |
|
|
$ |
43,358 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Past due loans (1): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans past due 30-89 days |
|
$ |
30,595 |
|
|
$ |
32,805 |
|
|
$ |
36,330 |
|
|
$ |
17,906 |
|
|
$ |
15,446 |
|
|
Loans past due 90 days or more |
|
|
36,903 |
|
|
|
14,287 |
|
|
|
11,613 |
|
|
|
5,425 |
|
|
|
2,634 |
|
|
Total past due loans |
|
$ |
67,498 |
|
|
$ |
47,092 |
|
|
$ |
47,943 |
|
|
$ |
23,331 |
|
|
$ |
18,080 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Criticized and classified loans (2): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Criticized loans |
|
$ |
148,580 |
|
|
$ |
120,801 |
|
|
$ |
118,959 |
|
|
$ |
78,880 |
|
|
$ |
73,236 |
|
|
Classified loans |
|
|
98,127 |
|
|
|
95,162 |
|
|
|
103,519 |
|
|
|
95,071 |
|
|
|
41,004 |
|
|
Total criticized and classified loans |
|
$ |
246,707 |
|
|
$ |
215,963 |
|
|
$ |
222,478 |
|
|
$ |
173,951 |
|
|
$ |
114,240 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans past due 30-89 days / total portfolio loans (3) |
|
|
0.28 |
|
% |
|
0.32 |
|
% |
|
0.35 |
|
% |
|
0.23 |
|
% |
|
0.20 |
|
% |
Loans past due 90 days or more / total portfolio loans |
|
|
0.33 |
|
|
|
0.14 |
|
|
|
0.11 |
|
|
|
0.07 |
|
|
|
0.03 |
|
|
Non-performing loans / total portfolio loans |
|
|
0.37 |
|
|
|
0.38 |
|
|
|
0.49 |
|
|
|
0.52 |
|
|
|
0.50 |
|
|
Non-performing assets/total portfolio loans, other real estate and repossessed assets |
|
|
0.38 |
|
|
|
0.39 |
|
|
|
0.53 |
|
|
|
0.57 |
|
|
|
0.56 |
|
|
Non-performing assets / total assets |
|
|
0.25 |
|
|
|
0.26 |
|
|
|
0.35 |
|
|
|
0.35 |
|
|
|
0.35 |
|
|
Criticized and classified loans / total portfolio loans |
|
|
2.23 |
|
|
|
2.09 |
|
|
|
2.17 |
|
|
|
2.24 |
|
|
|
1.48 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses - loans (4) |
|
$ |
168,475 |
|
|
$ |
114,272 |
|
|
$ |
52,429 |
|
|
$ |
54,317 |
|
|
$ |
50,859 |
|
|
Provision for credit losses (4) |
|
|
61,841 |
|
|
|
29,821 |
|
|
|
1,824 |
|
|
|
4,121 |
|
|
|
2,747 |
|
|
Net loan and deposit account overdraft charge-offs |
|
|
1,942 |
|
|
|
4,716 |
|
|
|
4,476 |
|
|
|
791 |
|
|
|
947 |
|
|
Annualized net loan charge-offs /average loans |
|
|
0.07 |
|
% |
|
0.18 |
|
% |
|
0.20 |
|
% |
|
0.04 |
|
% |
|
0.05 |
|
% |
Allowance for loan losses / total portfolio loans |
|
|
1.52 |
|
% |
|
1.10 |
|
% |
|
0.51 |
|
% |
|
0.70 |
|
% |
|
0.66 |
|
% |
Allowance for credit losses - loans / total portfolio loans excluding PPP loans |
|
|
1.65 |
|
% |
|
1.10 |
|
% |
|
0.51 |
|
% |
|
0.70 |
|
% |
|
0.66 |
|
% |
Allowance for loan losses / non-performing loans |
|
|
4.15 |
|
x |
|
2.87 |
|
x |
|
1.04 |
|
x |
|
1.34 |
|
x |
|
1.32 |
|
x |
Allowance for loan losses / non-performing loans and loans past due |
|
|
1.56 |
|
x |
|
1.32 |
|
x |
|
0.53 |
|
x |
|
0.85 |
|
x |
|
0.90 |
|
x |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarter Ended |
|
|
|||||||||||||||||
|
|
June 30, |
|
|
Mar. 31, |
|
|
Dec. 31, |
|
|
Sept. 30, |
|
|
June 30, |
|
|
|||||
|
|
2020 |
|
|
2020 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
|||||
Capital ratios |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tier I leverage capital |
|
|
9.09 |
|
% |
|
9.64 |
|
% |
|
11.30 |
|
% |
|
11.30 |
|
% |
|
11.09 |
|
% |
Tier I risk-based capital |
|
|
12.59 |
|
|
|
12.51 |
|
|
|
12.89 |
|
|
|
15.40 |
|
|
|
15.39 |
|
|
Total risk-based capital |
|
|
15.33 |
|
|
|
14.83 |
|
|
|
15.12 |
|
|
|
16.36 |
|
|
|
16.32 |
|
|
Common equity tier 1 capital ratio (CET 1) |
|
|
12.59 |
|
|
|
12.51 |
|
|
|
12.89 |
|
|
|
13.87 |
|
|
|
13.83 |
|
|
Average shareholders' equity to average assets |
|
|
15.57 |
|
|
|
16.43 |
|
|
|
16.73 |
|
|
|
16.80 |
|
|
|
16.42 |
|
|
Tangible equity to tangible assets (5) |
|
|
9.09 |
|
|
|
9.65 |
|
|
|
10.02 |
|
|
|
10.24 |
|
|
|
10.10 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Excludes non-performing loans. |
|
|
|||||||||||||||||||
(2) Criticized and classified commercial loans may include loans that are also reported as non-performing or past due. |
|
|
|||||||||||||||||||
(3) Total portfolio loans includes $836.8 million of PPP loans as of June 30, 2020. |
|
|
|||||||||||||||||||
(4) The provision for credit losses includes $5.1 million and $1.7 million for loan commitments for the three months ended June 30, 2020 and March 31, 2020, respectively. |
|
|
(5) See non-GAAP financial measures for additional information relating to the calculation of this ratio.l;)
NON-GAAP FINANCIAL MEASURES |
|
|
|
|
|
|
|
||||||||||||||||||||||
The following non-GAAP financial measures used by WesBanco provide information useful to investors in understanding WesBanco’s operating performance and trends, and facilitate comparisons with the performance of WesBanco’s peers. The following tables summarize the non-GAAP financial measures derived from amounts reported in WesBanco’s financial statements. |
|
||||||||||||||||||||||||||||
|
|
|
|
Three Months Ended |
|
|
Year to Date |
|
|||||||||||||||||||||
|
|
|
|
June 30, |
|
|
Mar. 31, |
|
|
Dec. 31, |
|
|
Sept. 30, |
|
|
June 30, |
|
|
June 30, |
|
|||||||||
|
|
(unaudited, dollars in thousands, except shares and per share amounts) |
|
2020 |
|
|
2020 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
2020 |
|
2019 |
|
|||||||
|
|
Return on average assets, excluding after-tax merger-related expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
4,488 |
|
|
$ |
23,396 |
|
|
$ |
36,376 |
|
|
$ |
37,347 |
|
|
$ |
44,814 |
|
|
$ |
27,884 |
|
$ |
85,151 |
|
|
|
Plus: after-tax merger-related expenses (1) |
|
|
370 |
|
|
|
4,080 |
|
|
|
9,102 |
|
|
|
1,334 |
|
|
|
64 |
|
|
|
4,450 |
|
|
2,519 |
|
|
|
Net income excluding after-tax merger-related expenses |
|
|
4,858 |
|
|
|
27,476 |
|
|
|
45,478 |
|
|
|
38,681 |
|
|
|
44,878 |
|
|
|
32,334 |
|
|
87,670 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total assets |
|
$ |
16,715,211 |
|
|
$ |
15,784,939 |
|
|
$ |
13,919,430 |
|
|
$ |
12,488,153 |
|
|
$ |
12,489,663 |
|
|
$ |
16,250,075 |
|
$ |
12,499,928 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible assets, excluding after-tax merger-related expenses (annualized) (2) |
|
|
0.12 |
% |
|
|
0.70 |
% |
|
|
1.30 |
% |
|
|
1.23 |
% |
|
|
1.44 |
% |
|
|
0.40 |
% |
|
1.41 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average equity, excluding after-tax merger-related expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
4,488 |
|
|
$ |
23,396 |
|
|
$ |
36,376 |
|
|
$ |
37,347 |
|
|
$ |
44,814 |
|
|
$ |
27,884 |
|
$ |
85,151 |
|
|
|
Plus: after-tax merger-related expenses (1) |
|
|
370 |
|
|
|
4,080 |
|
|
|
9,102 |
|
|
|
1,334 |
|
|
|
64 |
|
|
|
4,450 |
|
|
2,519 |
|
|
|
Net income excluding after-tax merger-related expenses |
|
|
4,858 |
|
|
|
27,476 |
|
|
|
45,478 |
|
|
|
38,681 |
|
|
|
44,878 |
|
|
|
32,334 |
|
|
87,670 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total shareholders' equity |
|
|
2,602,938 |
|
|
|
2,594,069 |
|
|
|
2,329,121 |
|
|
|
2,097,534 |
|
|
|
2,050,190 |
|
|
|
2,598,504 |
|
|
2,026,712 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible equity, excluding after-tax merger-related expenses (annualized) (2) |
|
|
0.75 |
% |
|
|
4.26 |
% |
|
|
7.75 |
% |
|
|
7.32 |
% |
|
|
8.78 |
% |
|
|
2.50 |
% |
|
8.72 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
4,488 |
|
|
$ |
23,396 |
|
|
$ |
36,376 |
|
|
$ |
37,347 |
|
|
$ |
44,814 |
|
|
$ |
27,884 |
|
$ |
85,151 |
|
|
|
Plus: amortization of intangibles (1) |
|
|
2,658 |
|
|
|
2,665 |
|
|
|
2,304 |
|
|
|
1,932 |
|
|
|
1,947 |
|
|
|
5,324 |
|
|
3,933 |
|
|
|
Net income before amortization of intangibles |
|
|
7,146 |
|
|
|
26,061 |
|
|
|
38,680 |
|
|
|
39,279 |
|
|
|
46,761 |
|
|
|
33,208 |
|
|
89,084 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total shareholders' equity |
|
|
2,602,938 |
|
|
|
2,594,069 |
|
|
|
2,329,121 |
|
|
|
2,097,534 |
|
|
|
2,050,190 |
|
|
|
2,598,504 |
|
|
2,026,712 |
|
|
|
Less: average goodwill and other intangibles, net of def. tax liability |
|
|
(1,152,856 |
) |
|
|
(1,112,327 |
) |
|
|
(997,658 |
) |
|
|
(904,204 |
) |
|
|
(903,243 |
) |
|
|
(1,132,591 |
) |
|
(904,634 |
) |
|
|
Average tangible equity |
|
$ |
1,450,082 |
|
|
$ |
1,481,742 |
|
|
$ |
1,331,463 |
|
|
$ |
1,193,330 |
|
|
$ |
1,146,947 |
|
|
$ |
1,465,913 |
|
$ |
1,122,078 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible equity (annualized) (2) |
|
|
1.98 |
% |
|
|
7.07 |
% |
|
|
11.53 |
% |
|
|
13.06 |
% |
|
|
16.35 |
% |
|
|
4.56 |
% |
|
16.01 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands) |
|
|
Return on average tangible equity, excluding after-tax merger-related expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
4,488 |
|
|
$ |
23,396 |
|
|
$ |
36,376 |
|
|
$ |
37,347 |
|
|
$ |
44,814 |
|
|
$ |
27,884 |
|
$ |
85,151 |
|
|
|
Plus: after-tax merger-related expenses (1) |
|
|
370 |
|
|
|
4,080 |
|
|
|
9,102 |
|
|
|
1,334 |
|
|
|
64 |
|
|
|
4,450 |
|
|
2,519 |
|
|
|
Plus: amortization of intangibles (1) |
|
|
2,658 |
|
|
|
2,665 |
|
|
|
2,304 |
|
|
|
1,932 |
|
|
|
1,947 |
|
|
|
5,324 |
|
|
3,933 |
|
|
|
Net income before amortization of intangibles and excluding after-tax merger-related expenses |
|
|
7,516 |
|
|
|
30,141 |
|
|
|
47,782 |
|
|
|
40,613 |
|
|
|
46,825 |
|
|
|
37,659 |
|
|
91,603 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total shareholders' equity |
|
|
2,602,938 |
|
|
|
2,594,069 |
|
|
|
2,329,121 |
|
|
|
2,097,534 |
|
|
|
2,050,190 |
|
|
|
2,598,504 |
|
|
2,026,712 |
|
|
|
Less: average goodwill and other intangibles, net of def. tax liability |
|
|
(1,152,856 |
) |
|
|
(1,112,327 |
) |
|
|
(997,658 |
) |
|
|
(904,204 |
) |
|
|
(903,243 |
) |
|
|
(1,132,591 |
) |
|
(904,634 |
) |
|
|
Average tangible equity |
|
$ |
1,450,082 |
|
|
$ |
1,481,742 |
|
|
$ |
1,331,463 |
|
|
$ |
1,193,330 |
|
|
$ |
1,146,947 |
|
|
$ |
1,465,913 |
|
$ |
1,122,078 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible equity, excluding after-tax merger-related expenses (annualized) (2) |
|
|
2.08 |
% |
|
|
8.18 |
% |
|
|
14.24 |
% |
|
|
13.50 |
% |
|
|
16.38 |
% |
|
|
5.17 |
% |
|
16.46 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest expense |
|
$ |
85,502 |
|
|
$ |
91,333 |
|
|
$ |
92,556 |
|
|
$ |
73,268 |
|
|
$ |
71,952 |
|
|
$ |
176,835 |
|
$ |
146,385 |
|
|
|
Less: restructuring and merger-related expense |
|
|
(468 |
) |
|
|
(5,164 |
) |
|
|
(11,522 |
) |
|
|
(1,688 |
) |
|
|
(81 |
) |
|
|
(5,633 |
) |
|
(3,188 |
) |
|
|
Non-interest expense excluding restructuring and merger-related expense |
|
|
85,034 |
|
|
|
86,169 |
|
|
|
81,034 |
|
|
|
71,580 |
|
|
|
71,871 |
|
|
|
171,202 |
|
|
143,197 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income on a fully taxable equivalent basis |
|
|
120,156 |
|
|
|
121,346 |
|
|
|
108,177 |
|
|
|
97,385 |
|
|
|
99,827 |
|
|
|
241,502 |
|
|
199,662 |
|
|
|
Non-interest income |
|
|
32,860 |
|
|
|
28,009 |
|
|
|
30,838 |
|
|
|
26,950 |
|
|
|
31,156 |
|
|
|
60,869 |
|
|
58,929 |
|
|
|
Net interest income on a fully taxable equivalent basis plus non-interest income |
|
$ |
153,016 |
|
|
$ |
149,355 |
|
|
$ |
139,015 |
|
|
$ |
124,335 |
|
|
$ |
130,983 |
|
|
$ |
302,371 |
|
$ |
258,591 |
|
|
|
Efficiency Ratio |
|
|
55.57 |
% |
|
|
57.69 |
% |
|
|
58.29 |
% |
|
|
57.57 |
% |
|
|
54.87 |
% |
|
|
56.62 |
% |
|
55.38 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income, excluding after-tax merger-related expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
4,488 |
|
|
$ |
23,396 |
|
|
$ |
36,376 |
|
|
$ |
37,347 |
|
|
$ |
44,814 |
|
|
$ |
27,884 |
|
$ |
85,151 |
|
|
|
Add: After-tax merger-related expenses (1) |
|
|
370 |
|
|
|
4,080 |
|
|
|
9,102 |
|
|
|
1,334 |
|
|
|
64 |
|
|
|
4,450 |
|
|
2,519 |
|
|
|
Net income, excluding after-tax merger-related expenses |
|
$ |
4,858 |
|
|
$ |
27,476 |
|
|
$ |
45,478 |
|
|
$ |
38,681 |
|
|
$ |
44,878 |
|
|
$ |
32,334 |
|
$ |
87,670 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income, excluding after-tax merger-related expenses per diluted share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per diluted share |
|
$ |
0.07 |
|
|
$ |
0.35 |
|
|
$ |
0.60 |
|
|
$ |
0.68 |
|
|
$ |
0.82 |
|
|
$ |
0.41 |
|
$ |
1.56 |
|
|
|
Add: After-tax merger-related expenses per diluted share (1) |
|
|
(0.00 |
) |
|
|
0.06 |
|
|
|
0.15 |
|
|
|
0.03 |
|
|
|
0.00 |
|
|
|
0.07 |
|
|
0.04 |
|
|
|
Net income, excluding after-tax merger-related expenses per diluted share |
|
$ |
0.07 |
|
|
$ |
0.41 |
|
|
$ |
0.75 |
|
|
$ |
0.71 |
|
|
$ |
0.82 |
|
|
$ |
0.48 |
|
$ |
1.60 |
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands) |
|
|
|
Period End |
|
|
|
|
|||||||||||||||||
|
|
June 30, |
|
|
Mar. 31, |
|
|
Dec. 31, |
|
|
Sept. 30, |
|
|
June 30, |
|
|
|
|
|||||
|
|
2020 |
|
|
2020 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
|
|
|||||
Tangible book value per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total shareholders' equity |
|
$ |
2,569,521 |
|
|
$ |
2,586,060 |
|
|
$ |
2,593,921 |
|
|
$ |
2,101,269 |
|
|
$ |
2,074,116 |
|
|
|
|
Less: goodwill and other intangible assets, net of def. tax liability |
|
|
(1,151,523 |
) |
|
|
(1,154,033 |
) |
|
|
(1,132,262 |
) |
|
|
(904,256 |
) |
|
|
(903,729 |
) |
|
|
|
Tangible equity |
|
|
1,417,998 |
|
|
|
1,432,027 |
|
|
|
1,461,659 |
|
|
|
1,197,013 |
|
|
|
1,170,387 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding |
|
|
67,211,192 |
|
|
|
67,058,155 |
|
|
|
67,824,428 |
|
|
|
54,691,225 |
|
|
|
54,697,199 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible book value per share |
|
$ |
21.10 |
|
|
$ |
21.36 |
|
|
$ |
21.55 |
|
|
$ |
21.89 |
|
|
$ |
21.40 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible equity to tangible assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total shareholders' equity |
|
$ |
2,569,521 |
|
|
$ |
2,586,060 |
|
|
$ |
2,593,921 |
|
|
$ |
2,101,269 |
|
|
$ |
2,074,116 |
|
|
|
|
Less: goodwill and other intangible assets, net of def. tax liability |
|
|
(1,151,523 |
) |
|
|
(1,154,033 |
) |
|
|
(1,132,262 |
) |
|
|
(904,256 |
) |
|
|
(903,729 |
) |
|
|
|
Tangible equity |
|
|
1,417,998 |
|
|
|
1,432,027 |
|
|
|
1,461,659 |
|
|
|
1,197,013 |
|
|
|
1,170,387 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
|
|
16,755,395 |
|
|
|
15,995,572 |
|
|
|
15,720,112 |
|
|
|
12,593,887 |
|
|
|
12,494,653 |
|
|
|
|
Less: goodwill and other intangible assets, net of def. tax liability |
|
|
(1,151,523 |
) |
|
|
(1,154,033 |
) |
|
|
(1,132,262 |
) |
|
|
(904,256 |
) |
|
|
(903,729 |
) |
|
|
|
Tangible assets |
|
$ |
15,603,872 |
|
|
$ |
14,841,539 |
|
|
$ |
14,587,850 |
|
|
$ |
11,689,631 |
|
|
$ |
11,590,924 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible equity to tangible assets |
|
|
9.09 |
% |
|
|
9.65 |
% |
|
|
10.02 |
% |
|
|
10.24 |
% |
|
|
10.10 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Tax effected at 21% for all periods presented. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) The ratios are annualized by utilizing actual number of days in the quarter versus the year. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands) |
|
ADDITIONAL NON-GAAP FINANCIAL MEASURES |
|
The following non-GAAP financial measures used by WesBanco provide information useful to investors in understanding WesBanco’s operating performance and trends, and facilitate comparisons with the performance of WesBanco’s peers. The following tables summarize the non-GAAP financial measures derived from amounts reported in WesBanco’s financial statements. |
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands) |
|
|
|
|
|
Three Months Ended |
|
|
Year to Date |
|
|||||||||||||||||||||
|
|
|
|
June 30, |
|
|
Mar. 31, |
|
|
Dec. 31, |
|
|
Sept. 30, |
|
|
June 30, |
|
|
June 30, |
|
|||||||||
(unaudited, dollars in thousands, except shares and per share amounts) |
2020 |
|
|
2020 |
|
|
2019 |
|
|
2019 |
|
|
2019 |
|
|
2020 |
|
2019 |
|
||||||||||
Pre-tax, pre-provision income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Income before provision for income taxes |
$ |
4,530 |
|
|
$ |
27,017 |
|
|
$ |
43,422 |
|
|
$ |
45,681 |
|
|
$ |
54,917 |
|
|
$ |
31,547 |
|
$ |
104,112 |
|
||
|
Add: provision for credit losses |
|
61,841 |
|
|
|
29,821 |
|
|
|
1,824 |
|
|
|
4,121 |
|
|
|
2,747 |
|
|
|
91,661 |
|
|
5,254 |
|
||
Pre-tax, pre-provision income |
$ |
66,371 |
|
|
$ |
56,838 |
|
|
$ |
45,246 |
|
|
$ |
49,802 |
|
|
$ |
57,664 |
|
|
$ |
123,208 |
|
$ |
109,366 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pre-tax, pre-provision income, excluding merger-related expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Income before provision for income taxes |
$ |
4,530 |
|
|
$ |
27,017 |
|
|
$ |
43,422 |
|
|
$ |
45,681 |
|
|
$ |
54,917 |
|
|
$ |
31,547 |
|
$ |
104,112 |
|
||
|
Add: provision for credit losses |
|
61,841 |
|
|
|
29,821 |
|
|
|
1,824 |
|
|
|
4,121 |
|
|
|
2,747 |
|
|
|
91,661 |
|
|
5,254 |
|
||
|
Add: merger-related expenses |
|
468 |
|
|
|
5,164 |
|
|
|
11,522 |
|
|
|
1,688 |
|
|
|
81 |
|
|
|
5,633 |
|
|
3,188 |
|
||
Pre-tax, pre-provision income, excluding merger-related expenses |
$ |
66,839 |
|
|
$ |
62,002 |
|
|
$ |
56,768 |
|
|
$ |
51,490 |
|
|
$ |
57,745 |
|
|
$ |
128,841 |
|
$ |
112,554 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets, excluding provision items: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Income before provision for income taxes |
$ |
4,530 |
|
|
$ |
27,017 |
|
|
$ |
43,422 |
|
|
$ |
45,681 |
|
|
$ |
54,917 |
|
|
$ |
31,547 |
|
$ |
104,112 |
|
||
|
Add: provision for credit losses |
|
61,841 |
|
|
|
29,821 |
|
|
|
1,824 |
|
|
|
4,121 |
|
|
|
2,747 |
|
|
|
91,661 |
|
|
5,254 |
|
||
Pre-tax, pre-provision income |
|
66,371 |
|
|
|
56,838 |
|
|
|
45,246 |
|
|
|
49,802 |
|
|
|
57,664 |
|
|
|
123,208 |
|
|
109,366 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total assets |
$ |
16,715,211 |
|
|
$ |
15,784,939 |
|
|
$ |
13,919,430 |
|
|
$ |
12,488,153 |
|
|
$ |
12,489,663 |
|
|
$ |
16,250,075 |
|
$ |
12,499,928 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets, excluding provision items (annualized) (1) (2) |
|
1.60 |
% |
|
|
1.45 |
% |
|
|
1.29 |
% |
|
|
1.58 |
% |
|
|
1.85 |
% |
|
|
1.52 |
% |
|
1.76 |
% |
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average equity, excluding provision items: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Income before provision for income taxes |
$ |
4,530 |
|
|
$ |
27,017 |
|
|
$ |
43,422 |
|
|
$ |
45,681 |
|
|
$ |
54,917 |
|
|
$ |
31,547 |
|
$ |
104,112 |
|
||
|
Add: provision for credit losses |
|
61,841 |
|
|
|
29,821 |
|
|
|
1,824 |
|
|
|
4,121 |
|
|
|
2,747 |
|
|
|
91,661 |
|
|
5,254 |
|
||
Pre-tax, pre-provision income |
|
66,371 |
|
|
|
56,838 |
|
|
|
45,246 |
|
|
|
49,802 |
|
|
|
57,664 |
|
|
|
123,208 |
|
|
109,366 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total shareholders' equity |
|
2,602,938 |
|
|
|
2,594,069 |
|
|
|
2,329,121 |
|
|
|
2,097,534 |
|
|
|
2,050,190 |
|
|
|
2,598,504 |
|
|
2,026,712 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average equity, excluding provision items (annualized) (1) (2) |
|
10.26 |
% |
|
|
8.81 |
% |
|
|
7.71 |
% |
|
|
9.42 |
% |
|
|
11.28 |
% |
|
|
9.54 |
% |
|
10.88 |
% |
|||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average tangible equity, excluding provision items: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||
|
Income before provision for income taxes |
$ |
4,530 |
|
|
$ |
27,017 |
|
|
$ |
43,422 |
|
|
$ |
45,681 |
|
|
$ |
54,917 |
|
|
$ |
31,547 |
|
$ |
104,112 |
|
||
|
Add: provision for credit losses |
|
61,841 |
|
|
|
29,821 |
|
|
|
1,824 |
|
|
|
4,121 |
|
|
|
2,747 |
|
|
|
91,661 |
|
|
5,254 |
|
||
|
Add: amortization of intangibles |
|
3,365 |
|
|
|
3,374 |
|
|
|
2,916 |
|
|
|
2,446 |
|
|
|
2,465 |
|
|
|
6,739 |
|
|
4,978 |
|
||
|
Income before provision and amortization of intangibles |
|
69,736 |
|
|
|
60,212 |
|
|
|
48,162 |
|
|
|
52,248 |
|
|
|
60,129 |
|
|
|
129,947 |
|
|
114,344 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total shareholders' equity |
|
2,602,938 |
|
|
|
2,594,069 |
|
|
|
2,329,121 |
|
|
|
2,097,534 |
|
|
|
2,050,190 |
|
|
|
2,598,504 |
|
|
2,026,712 |
|
||
|
Less: average goodwill and other intangibles, net of def. tax liability |
|
(1,152,856 |
) |
|
|
(1,112,327 |
) |
|
|
(997,658 |
) |
|
|
(904,204 |
) |
|
|
(903,243 |
) |
|
|
(1,132,591 |
) |
|
(904,634 |
) |
||
|
Average tangible equity |
$ |
1,450,082 |
|
|
$ |
1,481,742 |
|
|
$ |
1,331,463 |
|
|
$ |
1,193,330 |
|
|
$ |
1,146,947 |
|
|
$ |
1,465,913 |
|
$ |
1,122,078 |
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WESBANCO, INC. |
|
Consolidated Selected Financial Highlights |
|
(unaudited, dollars in thousands) |
|
22 July 2020 Second Quarter 2020 Earnings Call Presentation
Forward-Looking Statements and Non-GAAP Financial Measures Forward-looking statements in this report relating to WesBanco’s plans, strategies, objectives, expectations, intentions and adequacy of resources, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The information contained in this report should be read in conjunction with WesBanco’s Form 10-K for the year ended December 31, 2019 and documents subsequently filed by WesBanco with the Securities and Exchange Commission (“SEC”), including WesBanco’s Form 10-Q for the quarter ended March 31, 2020, which are available at the SEC’s website, www.sec.gov or at WesBanco’s website, www.WesBanco.com. Investors are cautioned that forward-looking statements, which are not historical fact, involve risks and uncertainties, including those detailed in WesBanco’s most recent Annual Report on Form 10-K filed with the SEC under “Risk Factors” in Part I, Item 1A and under “Risk Factors” in Part II, Item 1A of WesBanco’s March 31, 2020 Quarterly Report on Form 10-Q. Such statements are subject to important factors that could cause actual results to differ materially from those contemplated by such statements, including, without limitation, the effects of changing regional and national economic conditions including the effects of the COVID-19 pandemic; changes in interest rates, spreads on earning assets and interest-bearing liabilities, and associated interest rate sensitivity; sources of liquidity available to WesBanco and its related subsidiary operations; potential future credit losses and the credit risk of commercial, real estate, and consumer loan customers and their borrowing activities; actions of the Federal Reserve Board, the Federal Deposit Insurance Corporation, the SEC, the Financial Institution Regulatory Authority, the Municipal Securities Rulemaking Board, the Securities Investors Protection Corporation, and other regulatory bodies; potential legislative and federal and state regulatory actions and reform, including, without limitation, the impact of the implementation of the Dodd-Frank Act; adverse decisions of federal and state courts; fraud, scams and schemes of third parties; cyber-security breaches; competitive conditions in the financial services industry; rapidly changing technology affecting financial services; marketability of debt instruments and corresponding impact on fair value adjustments; and/or other external developments materially impacting WesBanco’s operational and financial performance. WesBanco does not assume any duty to update forward-looking statements. In addition to the results of operations presented in accordance with Generally Accepted Accounting Principles (GAAP), WesBanco's management uses, and this presentation contains or references, certain non-GAAP financial measures, such as tangible common equity/tangible assets; net income excluding after-tax merger-related expenses; efficiency ratio; return on average assets; and return on average tangible equity. WesBanco believes these financial measures provide information useful to investors in understanding our operational performance and business and performance trends which facilitate comparisons with the performance of others in the financial services industry. Although WesBanco believes that these non-GAAP financial measures enhance investors' understanding of WesBanco's business and performance, these non-GAAP financial measures should not be considered an alternative to GAAP. The non-GAAP financial measures contained therein should be read in conjunction with the audited financial statements and analysis as presented in the Annual Report on Form 10-K as well as the unaudited financial statements and analyses as presented in the Quarterly Reports on Forms 10-Q for WesBanco and its subsidiaries, as well as other filings that the company has made with the SEC.
Q2 2020 Financial and Operational Highlights Note: financial and operational highlights during the quarter ended June 30, 2020; loan growth includes approximately $836.8 million of loans funded through the Small Business Administration’s Paycheck Protection Program (“SBA PPP”), as established by the CARES Act; Old Line Bancshares, Inc. (“OLBK”) financial results included in WSBC results since merger consummation date of 11/22/2019 (1) Non-GAAP measure – please see reconciliation in appendix WesBanco is well-capitalized with solid liquidity and a strong balance sheet Tier 1 leverage ratio 9.09% Total risk-based capital ratio 15.33% Strong growth in pre-tax, pre-provision income Continued emphasis on expense management Mortgage banking income increased to a record level due to strong originations Strong organic growth in both loans and deposits Key credit quality metrics remained at low levels and favorable to peer bank averages Changes in the June macroeconomic unemployment forecast resulted in increases in both the provision for credit losses and allowance for credit losses Allowance for credit losses to total loans 1.52%, or 1.65% when excluding SBA PPP loans Pre-Tax, Pre-Provision Income(1) $66.8 million, +15.7% YoY Net Income and Diluted EPS(1) $4.5 million; $0.07/diluted share Efficiency Ratio(1) 55.57% Mortgage Banking Income $7.5 million, +365.5% YoY Organic Loan Growth +11.3% YoY Organic Deposit Growth (x-CDs) +20.3% YoY
Q2 2020 Key Metrics Note: PTPP = pre-tax, pre-provision; Old Line Bancshares, Inc. (“OLBK”) financial results included in WSBC results since merger consummation date of 11/22/2019 (1) Non-GAAP measure – please see reconciliation in appendix
Q2 2020 Total Portfolio Loans ($MM) Note: Small Business Administration’s Paycheck Protection Program (“SBA PPP”), as established by the CARES Act; Old Line Bancshares, Inc. (“OLBK”) financial results included in WSBC results since merger consummation date of 11/22/2019 Funded more than 6,800 SBA PPP loans totaling ~$837MM (as of 6/30/2020)(recorded in C&I loan category) Residential real estate grew organically 1.6% YoY due to strong 1-to-4 family mortgage originations (up 125% YoY), of which 50% was kept on the balance sheet, primarily jumbo and private banking loans CRE loans grew 3.9% YoY and 1.6% QoQ (un-annualized)
Q2 2020 Loan Portfolio Diversification Note: loan data as of quarter ending 6/30/2020; SBA PPP loans totaled $836.8MM and are reflected in the C&I (left chart) and All Other Loans (right chart) categories Focus on balanced loan distribution across 6-state footprint and strategic loan growth and diversification, based upon prudent credit standards Strong legacy of credit and risk management $11.1 Billion Loan Portfolio Loan Categories Disrupted by Pandemic
Q2 2020 Hotel Portfolio Note: loan balances as of 6/30/2020 and excludes SBA PPP loans ~210 loans with $729MM total loan balance Average loan-to-value = 56.0% Average debt service coverage ratio = 1.60x Most hotels in suburban markets, and near major highways and office parks 17% in shale gas markets No resort or destination-type properties Service type (loan balance distribution): 70% limited service/boutique/economy 26% extended stay 4% full service
Selected Commercial Loan Portfolio Details Retail Portfolio Restaurant Portfolio Direct Energy Portfolio 1,394 retail loans with $904MM total loan balance Loan balance distribution as % of total loans (x-PPP) R/E – shopping center: 2.9% R/E – other retail: 2.6% Retail sales / other: 1.4% Gasoline/convenience: 1.1% Automobile dealers: 0.8% Loan size Average loan ~$648,000 83% less than $1MM 15% between $1-5MM 2% between $5-10MM 1% greater than $10MM Largest loan $29MM [R/E] 617 restaurant loans with $171MM total loan balance Loan balance distribution as % of total loans (x-PPP) Limited service: 0.9% Full service: 0.6% Bar/tavern/other: 0.2% Limited service franchise loan balance distribution: McDonalds: 18% Burger King: 15% White Castle: 10% KFC: 7% Loan size Average loan ~$276,000 91% less than $1MM 9% between $1-5MM Largest loan $5MM 131 oil, gas, and mining loans with $42MM total loan balance, representing 0.4% of total loans (x-PPP) Minimal exposure to the energy industry in general, and to shale gas industry in particular The energy industry is a minimal component of the economies in our footprint Loan size Average loan ~$324,000 90% less than $1MM 9% between $1-5MM 1% between $5-10MM Largest loan $9MM Note: loan balances as of 6/30/2020 and excludes SBA PPP loans; ‘Retail Portfolio’ excludes ‘Restaurant Portfolio’ (shown separately) and does not include mixed use properties
Customer Support Efforts During Pandemic Note: deferral data as of 7/20/2020 and reflects approved loan deferrals that were accepted and closed by customers ‘% Category’ calculations based on 6/30/2020 balances and excludes ~6,800 SBA PPP loans totaling $836.8MM (as of 6/30/2020) from the category totals Payment-relief programs offered are mainly 90-day deferral options Second deferral requests, which have been limited, are handled on a case-by-case basis, with normal credit review
SBA’s Paycheck Protection Program Note: data as of 6/30/2020 Participating in Round 3 – no material requests in queue “Thank you so much for your help in processing my PPP loan. It has taken a load off of my mind. I really appreciate how quickly and efficiently you were able to process everything.” – KY-based customer
Q2 2020 Net Interest Margin (NIM) NIM negatively impacted by the low interest rate environment and flattening of the yield curve The Federal Reserve Board’s target federal funds rate was reduced 225bp from July 2019 through March 2020 Aggressively reduced deposit rates beginning in late-March, which helped to lower deposit funding costs Shortened maturities and experienced lower rates in FHLB borrowings Funding of SBA PPP loans negatively impacted NIM by a net 2bp Note: Old Line Bancshares, Inc. (“OLBK”) financial results included in WSBC results since merger consummation date of 11/22/2019
Q2 2020 Non-Interest Income Mortgage banking fees increased due to a 70% QoQ (and 125% YoY) increase in 1-to-4 family residential mortgage origination dollar volume, and the associated sale of ~50% of those originations into the secondary market New commercial loan swaps (“other income”) increased 30% QoQ (and 174% YoY) to $3.5MM Electronic banking fees were negatively impacted by ~$2.7MM due to the limitation on interchange fees due to the Durbin amendment in the 2010 Dodd-Frank Act Service charges on deposits were lower due to higher consumer deposits associated with CARES Act stimulus and lower general consumer spending Note: OREO = other real estate owned; Old Line Bancshares, Inc. (“OLBK”) financial results included in WSBC results since merger consummation date of 11/22/2019
Q2 2020 Non-Interest Expense Total operating expenses remained well-controlled Salaries and wages reflects the OLBK merger-related staff cuts implemented during late-Q1, after the signage and system conversion Other operating expenses increased due to pandemic-relief and other donations of $0.8MM Total non-interest expense increased YoY due to the additional staffing (~340) and 37 financial center locations from the OLBK acquisition Note: Old Line Bancshares, Inc. (“OLBK”) financial results included in WSBC results since merger consummation date of 11/22/2019
Non-Performing Assets as % of Total Assets Net Charge-Offs as % of Average Loans (Annualized) (annualized) Allowance for Credit Losses as % of Total Loans Criticized & Classified Loans as % of Total Loans Favorable asset quality measures compared to all U.S. banks with total assets from $10B to 25B Strong Legacy of Credit Quality Note: financial data as of quarter ending for dates specified; Current Expected Credit Losses (“CECL”) accounting standard adopted January 1, 2020 by WSBC; Old Line Bancshares, Inc. (“OLBK”) financial results included in WSBC results since merger consummation date of 11/22/2019; peer bank group includes all U.S. banks with total assets of $10B to $25B; peer data from S&P Global Market Intelligence (as of 7/16/2020) and represent simple averages
The increase in the allowance and related provision for credit losses was related to the continued deterioration in the macroeconomic forecast during Q2 2020, primarily driven by the negative forecasted economic impacts of the pandemic The forecast, based upon a blend of two nationally-recognized published economic data through June 30th, is mainly driven by national unemployment and interest rate spreads Allowance coverage ratio of 1.52%, or, excluding SBA PPP loans, 1.65% Excludes fair market value adjustments on previously acquired loans representing 0.43% of total portfolio loans Q2 2020 Current Expected Credit Loss (CECL) Note: ACL at 6/30/2020 excludes off-balance sheet credit exposures of $10.7 million; on January 1, 2020, WSBC adopted the CECL accounting standard (prior to this date, the allowance for credit losses was calculated under the incurred method) Economic Factors Portfolio Changes / Other Pandemic Qualitative Factors Changes to macroeconomic variables Includes changes in both quantitative and qualitative economic factors Changes in prepayment speeds Changes in portfolio mix Changes in credit quality Aging of existing portfolio ($000s) Qualitative adjustments for both Q2 loan modification volumes and loans by industry classifications
Appendix
Reconciliation: Pre-Tax, Pre-Provision Income (PTPP) and Ratios Note: Old Line Bancshares merger closed November 2019
Reconciliation: Net Income, EPS (Diluted), Tangible Book Value per Share Note: Old Line Bancshares merger closed November 2019
Reconciliation: Efficiency Ratio Note: “efficiency ratio” is non-interest expense excluding restructuring and merger-related expense divided by total income; FTE represents fully taxable equivalent; Old Line Bancshares merger closed November 2019
Reconciliation: Returns on Average Assets and Average Equity Note: Old Line Bancshares merger closed November 2019 (1) three-, six-, and nine-month (as applicable) figures are annualized
Reconciliation: Return on Average Tangible Equity Note: Old Line Bancshares merger closed November 2019 (1) three-, six-, and nine-month (as applicable) figures are annualized
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