UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): | January 25, 2019 |
Ameris Bancorp |
(Exact Name of Registrant as Specified in Charter) |
Georgia | 001-13901 | 58-1456434 |
(State or Other | (Commission File Number) | (IRS Employer |
Jurisdiction of | Identification No.) | |
Incorporation) |
310 First Street, S.E., Moultrie, Georgia | 31768 |
(Address of Principal Executive Offices) | (Zip Code) |
Registrant’s telephone number, including area code: | (229) 890-1111 |
(Former Name or Former Address, if Changed Since Last Report)
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 Instruction A.2. below):
x | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§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. |
On January 25, 2019, Ameris Bancorp (the “Company”) issued a press release announcing its unaudited financial results for the quarter and fiscal year ended December 31, 2018. A copy of that press release is attached to this Current Report on Form 8-K (this “Report”) as Exhibit 99.1.
The information contained in this Item 2.02 and in Exhibit 99.1 attached to this Report is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of such section. Furthermore, such information shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.
Item 7.01 | Regulation FD Disclosure. |
A copy of the investor presentation material that the Company will present regarding its earnings during the teleconference beginning at 10:00 a.m. Eastern time on January 25, 2019 is attached to this Report as Exhibit 99.2. The investor presentation material is also available on the “Investor Relations” page of the Company’s website (http://www.amerisbank.com).
The information contained in this Item 7.01 and in Exhibit 99.2 attached to this Report is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of such section. Furthermore, such information shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.
Item 9.01 | Financial Statements and Exhibits. |
(d) | Exhibits. |
99.1 | Press release dated January 25, 2019. |
99.2 | Investor presentation dated January 25, 2019. |
Cautionary Statements Regarding Forward-Looking Information
This Report contains forward-looking statements, as defined by federal securities laws, including, among other forward-looking statements, certain plans, expectations and goals, and including statements about the benefits of the proposed merger between the Company and Fidelity Southern Corporation (“Fidelity”). Words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “estimate,” “predict,” “continue” and “potential” or the negative of these terms or other comparable terminology, as well as similar expressions, are meant to identify forward-looking statements. The forward-looking statements in this Report are based on current expectations and are provided to assist in the understanding of potential future performance. Such forward-looking statements involve numerous assumptions, risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements, including, without limitation, the following: general competitive, economic, political and market conditions and fluctuations, including, without limitation, movements in interest rates; competitive pressures on product pricing and services; the ability of the Company and Fidelity to consummate the proposed merger or satisfy the conditions to the completion of the proposed merger, including, without limitation, the receipt of required shareholder and regulatory approvals, on the terms expected or on the anticipated schedule; the parties’ ability to meet expectations regarding the timing, completion and accounting and tax treatments of the proposed merger; the businesses of the Company and Fidelity may not be integrated successfully or such integration may take longer to accomplish than expected; the expected cost savings and any revenue synergies from the proposed merger may not be fully realized within the expected timeframes; disruption from the proposed merger may make it more difficult to maintain relationships with customers, employees or others; diversion of management time to merger-related issues; dilution caused by the Company’s issuance of additional shares of its common stock in connection with the proposed merger; and the success and timing of other business strategies. For a discussion of some of the other risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to the Company’s and Fidelity’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2017 and its subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, and Fidelity’s Annual Report on Form 10-K for the year ended December 31, 2017 and its subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Forward-looking statements speak only as of the date they are made, and neither the Company nor Fidelity undertakes any obligation to update or revise forward-looking statements.
-2-
Additional Information and Where to Find It
The Company intends to file a registration statement on Form S-4 with the Securities and Exchange Commission to register the shares of the Company’s common stock that will be issued to Fidelity’s shareholders in connection with the proposed merger transaction. The registration statement will include a joint proxy statement/prospectus and other relevant materials in connection with the transaction. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS REGARDING THE MERGER AND ANY OTHER RELEVANT DOCUMENTS CAREFULLY IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE MERGER. Investors and security holders may obtain free copies of these documents and other documents filed with the Securities and Exchange Commission on its website at http://www.sec.gov. Investors and security holders may also obtain free copies of the documents filed with the Securities and Exchange Commission by the Company on its website at http://www.AmerisBank.com and by Fidelity on its website at www.FidelitySouthern.com.
This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. Before making any voting or investment decision, investors and security holders of the Company and Fidelity are urged to read carefully the entire registration statement and joint proxy statement/prospectus when they become available, including any amendments thereto, because they will contain important information about the proposed merger transaction. Free copies of these documents may be obtained as described above.
Participants in the Merger Solicitation
The Company and Fidelity, and certain of their respective directors, executive officers and other members of management and employees, may be deemed to be participants in the solicitation of proxies from the Company’s shareholders and Fidelity’s shareholders in respect of the proposed merger transaction. Information regarding the directors and executive officers of the Company and Fidelity and other persons who may be deemed participants in the solicitation of the Company’s shareholders and Fidelity’s shareholders will be included in the joint proxy statement/prospectus for the Company’s meeting of shareholders and Fidelity’s meeting of shareholders, which will be filed by the Company with the Securities and Exchange Commission. Information about the Company’s directors and executive officers and their ownership of the Company’s common stock can also be found in the Company’s definitive proxy statement in connection with its 2018 annual meeting of shareholders, as filed with the Securities and Exchange Commission on April 2, 2018, and other documents subsequently filed by the Company with the Securities and Exchange Commission. Information about Fidelity’s directors and executive officers and their ownership of Fidelity common stock can also be found in Fidelity’s definitive proxy statement in connection with its 2018 annual meeting of shareholders, as filed with the Securities and Exchange Commission on April 3, 2018, and other documents subsequently filed by Fidelity with the Securities and Exchange Commission. Additional information regarding the interests of such participants will be included in the joint proxy statement/prospectus and other relevant documents regarding the proposed merger transaction filed with the Securities and Exchange Commission when they become available.
-3-
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.
AMERIS BANCORP | ||
By: | /s/ Nicole S. Stokes | |
Nicole S. Stokes | ||
Executive Vice President and Chief Financial Officer |
Date: January 25, 2019
-4-
Exhibit 99.1
Ameris Bancorp Announces 2018 Financial Results
JACKSONVILLE, Fla., Jan. 25, 2019 /PRNewswire/ -- Ameris Bancorp (Nasdaq: ABCB) (the "Company") today reported net income of $121.0 million, or $2.80 per diluted share, for the year ended December 31, 2018, compared with $73.5 million, or $1.98 per diluted share, for 2017. For the quarter ending December 31, 2018, reported results include net income of $43.5 million, or $0.91 per diluted share, compared with $9.2 million, or $0.24 per diluted share, for the same period in 2017.
The Company reported adjusted net income of $146.2 million, or $3.38 per diluted share, for the year ended December 31, 2018, compared with $92.3 million, or $2.48 per diluted share, for 2017. Adjusted net income for the fourth quarter of 2018 was $45.9 million, or $0.96 per diluted share, compared with $23.6 million, or $0.63 per diluted share, for the same quarter of 2017. Adjusted net income for the 2018 fourth quarter and full year periods excludes after-tax merger and conversion charges, executive retirement benefits, restructuring charges related to recently announced branch consolidations, expenses related to Hurricane Michael, loss on the sale of bank premises and state tax credit related to the Company's 2017 income tax returns. In addition, the 2017 financial results included expenses related to compliance resolution, accelerated premium amortization on sold loans and a charge of $13.4 million to income tax expense, related to the valuation of the Company's deferred tax asset, due to recent tax legislation that reduced the Company's future corporate income tax rate.
Commenting on the Company's earnings, Dennis J. Zember Jr., the Company's President and Chief Executive Officer, said, "I am delighted with how we finished 2018 and the momentum we have going into 2019. We succeeded on the expense side, pushing our adjusted efficiency ratio down to 54% in the fourth quarter of 2018 and knowing we have more savings in the works. Despite the flat yield curve and enormous pressure on the margin, we reported the same margin, net of accretion, in 2018 that we did in 2017, notable especially given a 46% growth in total assets. Lastly, we closed and fully integrated two bank acquisitions, in addition to finalizing the purchase of US Premium Finance, and closed out the year with an announcement regarding a merger with Fidelity Bank that, once closed, will make Ameris the largest non-super regional bank in the Atlanta MSA."
Highlights of the Company's results for the fourth quarter of 2018 include the following:
Highlights of the Company's results for 2018 include the following:
Following is a summary of the adjustments between reported net income and adjusted net income:
Adjusted Net Income Reconciliation |
|
|
|
|
|
|
| |||||
| Three Months Ended |
| Year Ended | |||||||||
| December 31, |
| December 31, | |||||||||
(dollars in thousands except per share data) | 2018 |
| 2017 |
| 2018 |
| 2017 | |||||
Net income available to common shareholders | $ | 43,536 |
| $ | 9,150 |
| $ | 121,027 |
| $ | 73,548 | |
|
|
|
|
|
|
|
| |||||
Adjustment items: |
|
|
|
|
|
|
| |||||
Merger and conversion charges | 997 |
| 421 |
| 20,499 |
| 915 | |||||
Executive retirement benefits | 2,005 |
| — |
| 8,424 |
| — | |||||
Restructuring charge | 754 |
| — |
| 983 |
| — | |||||
Certain compliance resolution expenses | — |
| 434 |
| — |
| 5,163 | |||||
Accelerated premium amortization on
loans sold from purchased
| — |
| 456 |
| — |
| 456 | |||||
Financial impact of hurricanes | 882 |
| — |
| 882 |
| 410 | |||||
Loss on sale of premises | 250 |
| 308 |
| 1,033 |
| 1,264 | |||||
Tax effect of adjustment items | (810) |
| (567) |
| (4,923) |
| (2,873) | |||||
After-tax adjustment items | 4,078 |
| 1,052 |
| 26,898 |
| 5,335 | |||||
Tax expense attributable to remeasurement of deferred tax assets and
| — |
| 13,388 |
| — |
| 13,388 | |||||
Reduction in state tax expense accrued in prior year, net of federal
| (1,717) |
| — |
| (1,717) |
| — | |||||
Adjusted net income | $ | 45,897 |
| $ | 23,590 |
| $ | 146,208 |
| $ | 92,271 | |
|
|
|
|
|
|
|
| |||||
Reported net income per diluted share | $ | 0.91 |
| $ | 0.24 |
| $ | 2.80 |
| $ | 1.98 | |
Adjusted net income per diluted share | $ | 0.96 |
| $ | 0.63 |
| $ | 3.38 |
| $ | 2.48 | |
|
|
|
|
|
|
|
| |||||
Reported return on average assets | 1.53% |
| 0.47% |
| 1.24% |
| 1.00% | |||||
Adjusted return on average assets | 1.61% |
| 1.20% |
| 1.50% |
| 1.26% | |||||
|
|
|
|
|
|
|
| |||||
Reported return on average common equity | 12.09% |
| 4.47% |
| 10.27% |
| 9.55% | |||||
Adjusted return on average tangible common equity | 20.95% |
| 13.91% |
| 19.18% |
| 14.66% |
Increase in Net Interest Income
Net interest income on a tax-equivalent basis increased 30.1% in 2018 to $347.5 million, up from $267.1 million for 2017. Growth in earning assets from the Company's two acquisitions in 2018, as well as internal sources, contributed to the increase. Average earning assets increased 31.1% in 2018 to $8.86 billion, compared with $6.76 billion for 2017. Although the Company's net interest income increased, net interest margin for 2018, including accretion, declined only slightly to 3.92%, compared with 3.95% for 2017. Yields on earning assets in 2018 were 4.71%, compared with 4.46% in 2017.
Accretion income for 2018 increased to $11.8 million, or 2.6% of total revenue, compared with $10.6 million, or 2.9%, respectively, for 2017. Excluding the effect of accretion, the Company's margin was stable at 3.79% for both 2018 and 2017. Management believes this is particularly notable given the material increase in average earning assets and intense pressure on deposit costs. Yields on all loans, excluding the effect of accretion, increased to 4.89% in 2018, compared with 4.63% in 2017.
The Company's net interest margin was 3.91% for the fourth quarter of 2018, down slightly from 3.92% reported for the third quarter of 2018 and 3.94% reported for the fourth quarter of 2017. Accretion income for the fourth quarter of 2018 increased to $4.1 million, compared with $3.7 million for the third quarter of 2018, and up from $2.2 million reported for the fourth quarter of 2017. Excluding the effect of accretion, the Company's margin for the fourth quarter of 2018 was 3.75%, a slight decrease compared with 3.77% for the third quarter of 2018 and 3.82% for the fourth quarter of 2017.
Yields on all loans, excluding the effect of accretion, increased to 5.00% during the fourth quarter of 2018, compared with 4.95% in the third quarter of 2018 and 4.70% during the fourth quarter of 2017. Loan production in the banking division during the fourth quarter of 2018 totaled $604.9 million, with weighted average yields of 5.74%, compared with $467.5 million and 5.51%, respectively, in the third quarter of 2018 and $419.8 million and 4.89%, respectively, in the fourth quarter of 2017. Loan production in the lines of business (to include retail mortgage, warehouse lending, SBA and premium finance) amounted to an additional $1.8 billion during the fourth quarter of 2018, compared with $1.5 billion during the fourth quarter of 2017.
Total interest expense for 2018 was $69.9 million, compared with $34.2 million for 2017. Deposit costs increased during 2018 to 0.62%, compared with 0.34% for 2017. Noninterest-bearing deposits represented 27.5% of the total average deposits for 2018, compared with 28.6% for 2017. The Company has been successful in aggressive sales efforts that led strong growth in deposits while managing a flat margin through each rate increase. Management believes that current deposit pricing at the end of the year has reached a level that better supports management's growth goals and that slower increases in costs in 2019 will not reduce the impressive momentum in deposit growth rates that the Company is experiencing.
Interest expense during the fourth quarter of 2018 moved higher to $23.2 million, compared with $22.1 million in the third quarter of 2018 and $10.0 million in the fourth quarter of 2017. The Company's total cost of funds moved 4 basis points higher to 0.94% in the fourth quarter of 2018 as compared with the third quarter of 2018. Deposit costs increased 10 basis points during the fourth quarter of 2018 to 0.79%, compared with 0.69% in the third quarter of 2018. Costs of interest-bearing deposits increased during the quarter from 0.93% in the third quarter of 2018 to 1.09% in the fourth quarter, with the material portion of the increase relating to NOW and MMDA accounts.
Non-interest Income
Non-interest income increased 13.4% in 2018 to $118.4 million, compared with $104.5 million for 2017, as a result of increased service charges and mortgage banking activity during 2018. Service charge revenue increased $4.1 million, or 9.7%, during 2018 due to the Company's increased number of deposit accounts from organic growth and the acquisitions completed in 2018.
Revenue in the retail mortgage group totaled $71.7 million in 2018, an increase of 18.5%, compared with $60.5 million in 2017. Total production in 2018 for the retail mortgage group amounted to $1.77 billion (87% purchase and 13% refinance), compared with $1.50 billion in 2017 (70% purchase and 30% refinance). Gain on sale spreads continued to improve in the fourth quarter of 2018, moving to 3.06% from 3.00% in the third quarter. Revenue and profitability, which traditionally slow in the fourth quarter each year, increased during the fourth quarter of 2018 due to recent recruiting efforts. Net income for the Company's retail mortgage division was $4.0 million for the fourth quarter of 2018, compared with $3.7 million in the third quarter of 2018 and $2.2 million for the fourth quarter of 2017.
Profitability in the Company's warehouse lending group continued to increase, as revenues from the division increased 45.9% during the year, from $7.6 million for 2017 to $11.1 million in 2018. Net income for the division increased 86.8% from $4.3 million in 2017 to $8.1 million in 2018. Loan production increased from $3.44 billion in 2017 to $4.52 billion in the current year. Net income for the Company's warehouse lending division was $2.0 million for the fourth quarter of 2018, compared with $2.2 million for the third quarter of 2018 and $1.4 million for the fourth quarter of 2017. The Company experienced zero losses in this division during 2017 or 2018.
Non-interest Expense
Non-interest expense increased $61.7 million, or 26.6%, to $293.6 million for the year ended December 31, 2018, compared with $231.9 million for 2017. During 2018, the Company recorded $31.8 million of charges to earnings, the majority of which were related to merger and conversion activity and executive retirement, compared to $7.8 million in 2017 that were mostly merger and compliance oriented. Excluding these charges, adjusted expenses increased approximately $37.6 million, or 16.8%, to $261.8 million in 2018, up from $224.2 million in 2017. Growth in operating expenses in 2018 amounted to 1.57% of growth in average assets, materially lower than the Company's gross overhead ratio for 2017 at 3.06%. Intense efforts to leverage administrative expenses alongside 2018's merger activity provided the Company with the opportunity to notably improve its operating
efficiency ratio. The following table shows the detail of these charges and analysis:
Non-interest Expense Analysis |
|
|
|
|
| |||||
| Year Ended |
|
| |||||||
| December 31, |
|
|
|
| |||||
(dollars in thousands) | 2018 |
| 2017 |
| $ Change |
| % Change | |||
Total non-interest expense | $ | 293,647 |
| $ | 231,936 |
| $ | 61,711 |
| 26.6% |
Less: |
|
|
|
|
|
|
| |||
Merger and conversion charges | 20,499 |
| 915 |
| 19,584 |
| 2,140.3% | |||
Executive retirement benefits | 8,424 |
| — |
| 8,424 |
| NM | |||
Restructuring charge | 983 |
| — |
| 983 |
| NM | |||
Certain compliance resolution expenses | — |
| 5,163 |
| (5,163) |
| (100.0)% | |||
Financial impact of hurricanes | 882 |
| 410 |
| 472 |
| 115.1% | |||
Loss on sale of premises | 1,033 |
| 1,264 |
| (231) |
| (18.3)% | |||
Subtotal | 261,826 |
| 224,184 |
| 37,642 |
| 16.8% | |||
Less: |
|
|
|
|
|
|
| |||
Retail mortgage division non-interest expense | 50,332 |
| 41,084 |
| 9,248 |
| 22.5% | |||
Operating expenses of branches acquired in Hamilton acquisition | 13,344 |
| — |
| 13,344 |
| NM | |||
Comparative bank non-interest expense | $ | 198,150 |
| $ | 183,100 |
| $ | 15,050 |
| 8.2% |
NM denotes not meaningful |
|
|
|
|
|
|
|
The Company continues to focus on improving its operating efficiency ratio. The Company's adjusted efficiency ratio declined from 60.27% in 2017 to 56.19% in 2018. During the fourth quarter of 2018, the Company's adjusted efficiency ratio declined to 54.10%, compared with 54.42% in the third quarter of 2018 and 60.88% in the fourth quarter of 2017. Management expects to continue improving efficiency in future quarters as a result of the Company's acquisitions completed in 2018 and its announced cost savings strategies and branch consolidation plan. Atlantic Coast Bank and Hamilton State Bank were fully integrated by the end of the fourth quarter of 2018, and full cost savings benefits have been realized. The Company's additional branch consolidation and cost saving initiatives will take effect the first quarter of 2019.
Income Tax Expense
The Company's effective tax rate for the fourth quarter of 2018 was 13.9%, compared with 24.3% in the third quarter of 2018. The reduced rate in the fourth quarter is a result of a large return to provision adjustment when the Company filed its 2017 income tax returns in the fourth quarter of 2018. These factors, determined in the fourth quarter, impacted the overall expected tax rate for the year and the full impact was realized in the fourth quarter. Excluding this benefit, which was removed in the adjusted net income amounts discussed above, the Company's tax rate for the fourth quarter of 21.4% was more in line with the year-to-date tax rate of 20.1%. This is significantly lower than the 2017 effective tax rate of 40.8% because of the Tax Cuts and Jobs Act that was enacted in the fourth quarter of 2017.
Balance Sheet Trends
Total assets increased $3.59 billion, or 45.7%, during 2018. Total loans, including loans held for sale, purchased loans and purchased loan pools, were $8.62 billion at the end of 2018, compared with $6.24 billion at the end of 2017. Excluding the effects of recent acquisitions, growth in core loans (including legacy and purchased non-covered loans) totaled $482.6 million, or 8.5%, during 2018, compared with $941.0 million, or 20.3%, in 2017. As management expected, loan growth rates in the fourth quarter of 2018 slowed due to the negative impact of early paydowns. Production remained strong in the fourth quarter of 2018, increasing by 29.4% from the third quarter of 2018 and by 44.1% from the fourth quarter of 2017.
At December 31, 2018, total deposits amounted to $9.65 billion, or 97.4% of total funding, compared with $6.63 billion and 94.8%, respectively, at December 31, 2017. Excluding the Company's recently completed acquisitions and brokered funds, deposits increased $549.7 million, or 8.6%. At December 31, 2018, noninterest-bearing deposit accounts were $2.52 billion, or 26.1% of total deposits, compared with $1.78 billion, or 26.8% of total deposits, at December 31, 2017. Non-rate sensitive deposits (including non-interest bearing, NOW and savings) totaled $4.60 billion at December 31, 2018, compared with $3.52 billion at the end of 2017. These funds represented 47.6% of the Company's total deposits at the end of 2018, compared with 53.1% at the end of 2017.
Stockholders' equity at December 31, 2018 totaled $1.46 billion, an increase of $651.9 million, or 81.0%, from December 31, 2017. The increase in stockholders' equity was the result of the issuance of new shares of common stock in the Company's recent acquisitions, plus earnings of $121.0 million during 2018. Tangible book value per share was $18.83 at the end of 2018, up from $17.78 at September 30, 2018 and $17.86 at the end of 2017. Tangible common equity as a percentage of tangible assets was 8.22% at the end of 2018, compared with 7.77% at the end of the third quarter of 2017 and 8.62% at the end of 2017.
Credit Quality
During the fourth quarter of 2018, the Company recorded provision for loan loss expense of $3.7 million, compared with $2.1 million in the third quarter of 2018. The increase in provision expense is mostly attributable to increased general reserves on consumer and premium finance loans based on loss history and agricultural loans affected by Hurricane Michael. Nonperforming assets as a percentage of total assets decreased five basis points to 0.55% during the quarter. As management expected, the net charge-off ratio for non-purchased loans decreased, by 23 basis points, as the elevated charge offs in the prior quarter resulting from the premium finance division, which were provided for and discussed in the second quarter of 2018.
Conference Call
The Company will host a teleconference at 10:00 a.m. Eastern time today (January 25, 2019) to discuss the Company's results and answer appropriate questions. The conference call can be accessed by dialing 1-877-504-1190 (or 1-855-669-9657 for participants in Canada and 1-412-902-6630 for other international participants). The conference ID name is Ameris Bancorp ABCB. A replay of the call will be available one hour after the end of the conference call until February 8, 2019. To listen to the replay, dial 1-877-344-7529 (or 1-855-669-9658 for participants in Canada and 1-412-317-0088 for other international participants). The conference replay access code is 10127703. The conference call replay and the financial information discussed will also be available on the Investor Relations page of the Ameris Bank website at www.amerisbank.com.
About
Ameris Bancorp
Ameris Bancorp is a bank holding company headquartered in Moultrie, Georgia. The Company's banking subsidiary, Ameris Bank, had 125 locations in Georgia, Alabama, northern Florida and South Carolina at the end of the most recent quarter.
This news release contains certain performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Management of Ameris Bancorp (the "Company") uses these non-GAAP measures in its analysis of the Company's performance. These measures are useful when evaluating the underlying performance and efficiency of the Company's operations and balance sheet. The Company's management believes that these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant gains and charges in the current period. The Company's management believes that investors may use these non-GAAP financial measures to evaluate the Company's financial performance without the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
This news release contains forward-looking statements, as defined by federal securities laws, including, among other forward-looking statements, certain plans, expectations and goals, and including statements about the benefits of the proposed merger between the Company and Fidelity Southern Corporation ("Fidelity"). Words such as "may," "believe," "expect," "anticipate," "intend," "will," "should," "plan," "estimate," "predict," "continue" and "potential" or the negative of these terms or other comparable terminology, as well as similar expressions, are meant to identify forward-looking statements. The forward-looking statements in this news release are based on current expectations and are provided to assist in the understanding of potential future performance. Such forward-looking statements involve numerous assumptions, risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements, including, without limitation, the following: general competitive, economic, political and market conditions and fluctuations, including, without limitation, movements in interest rates; competitive pressures on product pricing and services; the ability of the Company and Fidelity to consummate the proposed merger or satisfy the conditions to the completion of the proposed merger, including, without limitation, the receipt of required shareholder and regulatory approvals, on the terms expected or on the anticipated schedule; the parties' ability to meet expectations regarding the timing, completion and accounting and tax treatments of the proposed merger; the businesses of the Company and Fidelity may not be integrated successfully or such integration may take longer to accomplish than expected; the expected cost savings and any revenue synergies from the proposed merger may not be fully realized within the expected timeframes; disruption from the proposed merger may make it more difficult to maintain relationships with customers, employees or others; diversion of management time to merger-related issues; dilution caused by the Company's issuance of additional shares of its common stock in connection with the proposed merger; and the success and timing of other business strategies. For a discussion of some of the other risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to the Company's and Fidelity's filings with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the year ended December 31, 2017 and its subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, and Fidelity's Annual Report on Form 10-K for the year ended December 31, 2017 and its subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Forward-looking statements speak only as of the date they are made, and neither the Company nor Fidelity undertakes any obligation to update or revise forward-looking statements.
Additional Information and Where to Find It
The Company intends to file a registration statement on Form S-4 with the Securities and Exchange Commission to register the shares of the Company's common stock that will be issued to Fidelity's shareholders in connection with the proposed merger transaction. The registration statement will include a joint proxy statement/prospectus and other relevant materials in connection with the transaction. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS REGARDING THE MERGER AND ANY OTHER RELEVANT DOCUMENTS CAREFULLY IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE MERGER. Investors and security holders may obtain free copies of these documents and other documents filed with the Securities and Exchange Commission on its website at http://www.sec.gov. Investors and security holders may also obtain free copies of the documents filed with the Securities and Exchange Commission by the Company on its website at http://www.AmerisBank.com and by Fidelity on its website at www.FidelitySouthern.com.
This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. Before making any voting or investment decision, investors and security holders of the Company and Fidelity are urged to read carefully the entire registration statement and joint proxy statement/prospectus when they become available, including any amendments thereto, because they will contain important information about the proposed merger transaction. Free copies of these documents may be obtained as described above.
Participants in the Merger Solicitation
The Company and Fidelity, and certain of their respective directors, executive officers and other members of management and employees, may be deemed to be participants in the solicitation of proxies from the Company's shareholders and Fidelity's shareholders in respect of the proposed merger transaction. Information regarding the directors and executive officers of the Company and Fidelity and other persons who may be deemed participants in the solicitation of the Company's shareholders and Fidelity's shareholders will be included in the joint proxy statement/prospectus for the Company's meeting of shareholders and Fidelity's meeting of shareholders, which will be filed by the Company with the Securities and Exchange Commission. Information about the Company's directors and executive officers and their ownership of the Company's common stock can also be found in the Company's definitive proxy statement in connection with its 2018 annual meeting of shareholders, as filed with the Securities and Exchange Commission on April 2, 2018, and other documents subsequently filed by the Company with the Securities and Exchange Commission. Information about Fidelity's directors and executive officers and their ownership of Fidelity common stock can also be found in Fidelity's definitive proxy statement in connection with its 2018 annual meeting of shareholders, as filed with the Securities and Exchange Commission on April 3, 2018, and other documents subsequently filed by Fidelity with the Securities and Exchange Commission. Additional information regarding the interests of such participants will be included in the joint proxy statement/prospectus and other relevant documents regarding the proposed merger transaction filed with the Securities and Exchange Commission when they become available.
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Financial Highlights |
|
| Table 1 | ||||||||||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands except per share data) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
EARNINGS |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net income | $ | 43,536 |
|
| $ | 41,444 |
|
| $ | 9,387 |
|
| $ | 26,660 |
|
| $ | 9,150 |
|
| $ | 121,027 |
|
| $ | 73,548 |
|
Adjusted net income | $ | 45,897 |
|
| $ | 43,292 |
|
| $ | 29,239 |
|
| $ | 27,780 |
|
| $ | 23,590 |
|
| $ | 146,208 |
|
| $ | 92,271 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
COMMON SHARE DATA |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Earnings per share available to common
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Basic | $ | 0.92 |
|
| $ | 0.87 |
|
| $ | 0.24 |
|
| $ | 0.70 |
|
| $ | 0.25 |
|
| $ | 2.81 |
|
| $ | 2.00 |
|
Diluted | $ | 0.91 |
|
| $ | 0.87 |
|
| $ | 0.24 |
|
| $ | 0.70 |
|
| $ | 0.24 |
|
| $ | 2.80 |
|
| $ | 1.98 |
|
Adjusted diluted EPS | $ | 0.96 |
|
| $ | 0.91 |
|
| $ | 0.74 |
|
| $ | 0.73 |
|
| $ | 0.63 |
|
| $ | 3.38 |
|
| $ | 2.48 |
|
Cash dividends per share | $ | 0.10 |
|
| $ | 0.10 |
|
| $ | 0.10 |
|
| $ | 0.10 |
|
| $ | 0.10 |
|
| $ | 0.40 |
|
| $ | 0.40 |
|
Book value per share (period end) | $ | 30.66 |
|
| $ | 29.58 |
|
| $ | 28.87 |
|
| $ | 22.67 |
|
| $ | 21.59 |
|
| $ | 30.66 |
|
| $ | 21.59 |
|
Tangible book value per share (period end) | $ | 18.83 |
|
| $ | 17.78 |
|
| $ | 17.12 |
|
| $ | 16.90 |
|
| $ | 17.86 |
|
| $ | 18.83 |
|
| $ | 17.86 |
|
Weighted average number of shares |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Basic | 47,501,150 |
|
| 47,514,653 |
|
| 39,432,021 |
|
| 37,966,781 |
|
| 37,238,564 |
|
| 43,141,859 |
|
| 36,828,219 |
| |||||||
Diluted | 47,593,252 |
|
| 47,685,334 |
|
| 39,709,503 |
|
| 38,250,122 |
|
| 37,556,335 |
|
| 43,247,796 |
|
| 37,144,139 |
| |||||||
Period end number of shares | 47,499,941 |
|
| 47,496,966 |
|
| 47,518,662 |
|
| 38,327,081 |
|
| 37,260,012 |
|
| 47,499,941 |
|
| 37,260,012 |
| |||||||
Market data |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
High intraday price | $ | 47.25 |
|
| $ | 54.35 |
|
| $ | 58.10 |
|
| $ | 59.05 |
|
| $ | 51.30 |
|
| $ | 59.05 |
|
| $ | 51.30 |
|
Low intraday price | $ | 29.97 |
|
| $ | 45.15 |
|
| $ | 50.20 |
|
| $ | 47.90 |
|
| $ | 44.75 |
|
| $ | 29.97 |
|
| $ | 41.05 |
|
Period end closing price | $ | 31.67 |
|
| $ | 45.70 |
|
| $ | 53.35 |
|
| $ | 52.90 |
|
| $ | 48.20 |
|
| $ | 31.67 |
|
| $ | 48.20 |
|
Average daily volume | 375,773 |
|
| 382,622 |
|
| 253,413 |
|
| 235,964 |
|
| 206,178 |
|
| 312,388 |
|
| 196,717 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
PERFORMANCE RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Return on average assets | 1.53 | % |
| 1.47 | % |
| 0.44 | % |
| 1.38 | % |
| 0.47 | % |
| 1.24 | % |
| 1.00 | % | |||||||
Adjusted return on average assets | 1.61 | % |
| 1.53 | % |
| 1.38 | % |
| 1.44 | % |
| 1.20 | % |
| 1.50 | % |
| 1.26 | % | |||||||
Return on average common equity | 12.09 | % |
| 11.78 | % |
| 3.86 | % |
| 12.73 | % |
| 4.47 | % |
| 10.27 | % |
| 9.55 | % | |||||||
Adjusted return on average tangible common
| 20.95 | % |
| 20.50 | % |
| 17.26 | % |
| 17.09 | % |
| 13.91 | % |
| 19.18 | % |
| 14.66 | % | |||||||
Earning asset yield (TE) | 4.81 | % |
| 4.78 | % |
| 4.66 | % |
| 4.52 | % |
| 4.49 | % |
| 4.71 | % |
| 4.46 | % | |||||||
Total cost of funds | 0.94 | % |
| 0.90 | % |
| 0.75 | % |
| 0.63 | % |
| 0.57 | % |
| 0.82 | % |
| 0.52 | % | |||||||
Net interest margin (TE) | 3.91 | % |
| 3.92 | % |
| 3.95 | % |
| 3.92 | % |
| 3.94 | % |
| 3.92 | % |
| 3.95 | % | |||||||
Noninterest income excluding securities
| 19.75 | % |
| 19.77 | % |
| 25.72 | % |
| 24.71 | % |
| 22.41 | % |
| 22.11 | % |
| 25.73 | % | |||||||
Efficiency ratio | 58.30 | % |
| 56.00 | % |
| 80.50 | % |
| 62.04 | % |
| 63.74 | % |
| 63.59 | % |
| 63.62 | % | |||||||
Adjusted efficiency ratio (TE) | 54.10 | % |
| 54.42 | % |
| 57.53 | % |
| 59.95 | % |
| 60.88 | % |
| 56.19 | % |
| 60.27 | % | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
CAPITAL ADEQUACY (period end) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Shareholders' equity to assets | 12.73 | % |
| 12.29 | % |
| 12.26 | % |
| 10.83 | % |
| 10.24 | % |
| 12.73 | % |
| 10.24 | % | |||||||
Tangible common equity to tangible assets | 8.22 | % |
| 7.77 | % |
| 7.65 | % |
| 8.30 | % |
| 8.62 | % |
| 8.22 | % |
| 8.62 | % | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
EQUITY TO ASSETS RECONCILIATION |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Tangible common equity to tangible assets | 8.22 | % |
| 7.77 | % |
| 7.65 | % |
| 8.30 | % |
| 8.62 | % |
| 8.22 | % |
| 8.62 | % | |||||||
Effect of goodwill and other intangibles | 4.51 | % |
| 4.52 | % |
| 4.61 | % |
| 2.53 | % |
| 1.62 | % |
| 4.51 | % |
| 1.62 | % | |||||||
Equity to assets (GAAP) | 12.73 | % |
| 12.29 | % |
| 12.26 | % |
| 10.83 | % |
| 10.24 | % |
| 12.73 | % |
| 10.24 | % | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
OTHER DATA (period end) |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Full time equivalent employees |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Banking Division | 1,370 |
|
| 1,432 |
|
| 1,477 |
|
| 1,072 |
|
| 1,085 |
|
| 1,370 |
|
| 1,085 |
| |||||||
Retail Mortgage Division | 332 |
|
| 317 |
|
| 308 |
|
| 290 |
|
| 279 |
|
| 332 |
|
| 279 |
| |||||||
Warehouse Lending Division | 8 |
|
| 8 |
|
| 7 |
|
| 7 |
|
| 8 |
|
| 8 |
|
| 8 |
| |||||||
SBA Division | 22 |
|
| 23 |
|
| 22 |
|
| 21 |
|
| 20 |
|
| 22 |
|
| 20 |
| |||||||
Premium Finance Division | 72 |
|
| 67 |
|
| 68 |
|
| 67 |
|
| 68 |
|
| 72 |
|
| 68 |
| |||||||
Total Ameris Bancorp FTE headcount | 1,804 |
|
| 1,847 |
|
| 1,882 |
|
| 1,457 |
|
| 1,460 |
|
| 1,804 |
|
| 1,460 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Assets per Banking Division FTE | $ | 8,353 |
|
| $ | 7,981 |
|
| $ | 7,577 |
|
| $ | 7,484 |
|
| $ | 7,241 |
|
| $ | 8,353 |
|
| $ | 7,241 |
|
Branch locations | 125 |
|
| 125 |
|
| 126 |
|
| 97 |
|
| 97 |
|
| 125 |
|
| 97 |
| |||||||
Deposits per branch location | $ | 77,195 |
|
| $ | 73,451 |
|
| $ | 69,536 |
|
| $ | 66,455 |
|
| $ | 68,308 |
|
| $ | 77,195 |
|
| $ | 68,308 |
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Income Statement |
|
| Table 2 | ||||||||||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands except per share data) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Interest income |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Interest and fees on loans | $ | 111,749 |
|
| $ | 110,470 |
|
| $ | 82,723 |
|
| $ | 73,267 |
|
| $ | 73,440 |
|
| $ | 378,209 |
|
| $ | 270,887 |
|
Interest on taxable securities | 8,686 |
|
| 8,792 |
|
| 6,321 |
|
| 5,207 |
|
| 5,097 |
|
| 29,006 |
|
| 20,154 |
| |||||||
Interest on nontaxable securities | 195 |
|
| 204 |
|
| 179 |
|
| 322 |
|
| 372 |
|
| 900 |
|
| 1,581 |
| |||||||
Interest on deposits in other banks | 1,964 |
|
| 1,581 |
|
| 723 |
|
| 716 |
|
| 655 |
|
| 4,984 |
|
| 1,725 |
| |||||||
Interest on federal funds sold | 155 |
|
| 72 |
|
| — |
|
| — |
|
| — |
|
| 227 |
|
| — |
| |||||||
Total interest income | 122,749 |
|
| 121,119 |
|
| 89,946 |
|
| 79,512 |
|
| 79,564 |
|
| 413,326 |
|
| 294,347 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Interest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Interest on deposits | 18,858 |
|
| 15,630 |
|
| 7,794 |
|
| 6,772 |
|
| 6,398 |
|
| 49,054 |
|
| 19,877 |
| |||||||
Interest on other borrowings | 4,337 |
|
| 6,451 |
|
| 6,153 |
|
| 3,939 |
|
| 3,643 |
|
| 20,880 |
|
| 14,345 |
| |||||||
Total interest expense | 23,195 |
|
| 22,081 |
|
| 13,947 |
|
| 10,711 |
|
| 10,041 |
|
| 69,934 |
|
| 34,222 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | 99,554 |
|
| 99,038 |
|
| 75,999 |
|
| 68,801 |
|
| 69,523 |
|
| 343,392 |
|
| 260,125 |
| |||||||
Provision for loan losses | 3,661 |
|
| 2,095 |
|
| 9,110 |
|
| 1,801 |
|
| 2,536 |
|
| 16,667 |
|
| 8,364 |
| |||||||
Net interest income after provision for loan losses | 95,893 |
|
| 96,943 |
|
| 66,889 |
|
| 67,000 |
|
| 66,987 |
|
| 326,725 |
|
| 251,761 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Noninterest income |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Service charges on deposits accounts | 12,597 |
|
| 12,690 |
|
| 10,613 |
|
| 10,228 |
|
| 10,340 |
|
| 46,128 |
|
| 42,054 |
| |||||||
Mortgage banking activity | 11,089 |
|
| 13,413 |
|
| 14,890 |
|
| 11,900 |
|
| 10,037 |
|
| 51,292 |
|
| 48,535 |
| |||||||
Other service charges, commissions and fees | 810 |
|
| 777 |
|
| 697 |
|
| 719 |
|
| 735 |
|
| 3,003 |
|
| 2,872 |
| |||||||
Gain (loss) on securities | 1 |
|
| 48 |
|
| (123) |
|
| 37 |
|
| — |
|
| (37) |
|
| 37 |
| |||||||
Other noninterest income | 5,973 |
|
| 3,243 |
|
| 5,230 |
|
| 3,580 |
|
| 2,451 |
|
| 18,026 |
|
| 10,959 |
| |||||||
Total noninterest income | 30,470 |
|
| 30,171 |
|
| 31,307 |
|
| 26,464 |
|
| 23,563 |
|
| 118,412 |
|
| 104,457 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Salaries and employee benefits | 38,982 |
|
| 38,446 |
|
| 39,776 |
|
| 32,089 |
|
| 30,507 |
|
| 149,293 |
|
| 120,016 |
| |||||||
Occupancy and equipment expenses | 7,945 |
|
| 8,598 |
|
| 6,390 |
|
| 6,198 |
|
| 6,010 |
|
| 29,131 |
|
| 24,069 |
| |||||||
Data processing and telecommunications expenses | 8,293 |
|
| 8,518 |
|
| 6,439 |
|
| 7,135 |
|
| 7,219 |
|
| 30,385 |
|
| 27,869 |
| |||||||
Credit resolution related expenses(1) | 1,174 |
|
| 1,248 |
|
| 1,045 |
|
| 549 |
|
| 614 |
|
| 4,016 |
|
| 3,493 |
| |||||||
Advertising and marketing expenses | 1,633 |
|
| 1,453 |
|
| 1,256 |
|
| 1,229 |
|
| 1,519 |
|
| 5,571 |
|
| 5,131 |
| |||||||
Amortization of intangible assets | 3,650 |
|
| 2,676 |
|
| 2,252 |
|
| 934 |
|
| 942 |
|
| 9,512 |
|
| 3,932 |
| |||||||
Merger and conversion charges | 997 |
|
| 276 |
|
| 18,391 |
|
| 835 |
|
| 421 |
|
| 20,499 |
|
| 915 |
| |||||||
Other noninterest expenses | 13,136 |
|
| 11,138 |
|
| 10,837 |
|
| 10,129 |
|
| 12,105 |
|
| 45,240 |
|
| 46,511 |
| |||||||
Total noninterest expense | 75,810 |
|
| 72,353 |
|
| 86,386 |
|
| 59,098 |
|
| 59,337 |
|
| 293,647 |
|
| 231,936 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Income before income tax expense | 50,553 |
|
| 54,761 |
|
| 11,810 |
|
| 34,366 |
|
| 31,213 |
|
| 151,490 |
|
| 124,282 |
| |||||||
Income tax expense | 7,017 |
|
| 13,317 |
|
| 2,423 |
|
| 7,706 |
|
| 22,063 |
|
| 30,463 |
|
| 50,734 |
| |||||||
Net income | $ | 43,536 |
|
| $ | 41,444 |
|
| $ | 9,387 |
|
| $ | 26,660 |
|
| $ | 9,150 |
|
| $ | 121,027 |
|
| $ | 73,548 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Diluted earnings per common share | $ | 0.91 |
|
| $ | 0.87 |
|
| $ | 0.24 |
|
| $ | 0.70 |
|
| $ | 0.24 |
|
| $ | 2.80 |
|
| $ | 1.98 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
(1) Includes expenses associated with problem loans and OREO, as well as OREO losses and writedowns. |
|
|
|
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||
| |||||||||||||||||||
Period End Balance Sheet | Table 3 | ||||||||||||||||||
| Three Months Ended | ||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec | ||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 | ||||||||||
|
|
|
|
|
|
|
|
|
| ||||||||||
Assets |
|
|
|
|
|
|
|
|
| ||||||||||
Cash and due from banks | $ | 172,036 |
|
| $ | 158,453 |
|
| $ | 151,539 |
|
| $ | 123,945 |
|
| $ | 139,313 |
|
Federal funds sold and interest-bearing deposits in banks | 507,491 |
|
| 470,804 |
|
| 273,170 |
|
| 210,930 |
|
| 191,345 |
| |||||
Time deposits in other banks | 10,812 |
|
| 11,558 |
|
| 11,558 |
|
| — |
|
| — |
| |||||
Investment securities available for sale, at fair value | 1,192,423 |
|
| 1,162,570 |
|
| 1,153,703 |
|
| 848,585 |
|
| 810,873 |
| |||||
Other investments | 14,455 |
|
| 35,929 |
|
| 44,769 |
|
| 32,227 |
|
| 42,270 |
| |||||
Loans held for sale, at fair value | 111,298 |
|
| 130,179 |
|
| 137,249 |
|
| 111,135 |
|
| 197,442 |
| |||||
|
|
|
|
|
|
|
|
|
| ||||||||||
Loans | 5,660,457 |
|
| 5,543,306 |
|
| 5,380,515 |
|
| 5,051,986 |
|
| 4,856,514 |
| |||||
Purchased loans | 2,588,832 |
|
| 2,711,460 |
|
| 2,812,510 |
|
| 818,587 |
|
| 861,595 |
| |||||
Purchased loan pools | 262,625 |
|
| 274,752 |
|
| 297,509 |
|
| 319,598 |
|
| 328,246 |
| |||||
Loans, net of unearned income | 8,511,914 |
|
| 8,529,518 |
|
| 8,490,534 |
|
| 6,190,171 |
|
| 6,046,355 |
| |||||
Allowance for loan losses | (28,819) |
|
| (28,116) |
|
| (31,532) |
|
| (26,200) |
|
| (25,791) |
| |||||
Loans, net | 8,483,095 |
|
| 8,501,402 |
|
| 8,459,002 |
|
| 6,163,971 |
|
| 6,020,564 |
| |||||
|
|
|
|
|
|
|
|
|
| ||||||||||
Other real estate owned | 7,218 |
|
| 9,375 |
|
| 8,003 |
|
| 9,171 |
|
| 8,464 |
| |||||
Purchased other real estate owned | 9,535 |
|
| 7,692 |
|
| 7,272 |
|
| 6,723 |
|
| 9,011 |
| |||||
Total other real estate owned | 16,753 |
|
| 17,067 |
|
| 15,275 |
|
| 15,894 |
|
| 17,475 |
| |||||
|
|
|
|
|
|
|
|
|
| ||||||||||
Premises and equipment, net | 145,410 |
|
| 145,885 |
|
| 144,484 |
|
| 116,381 |
|
| 117,738 |
| |||||
Goodwill | 503,434 |
|
| 505,604 |
|
| 504,764 |
|
| 208,513 |
|
| 125,532 |
| |||||
Other intangible assets, net | 58,689 |
|
| 54,729 |
|
| 53,561 |
|
| 12,562 |
|
| 13,496 |
| |||||
Deferred income taxes, net | 35,126 |
|
| 38,217 |
|
| 40,240 |
|
| 28,677 |
|
| 28,320 |
| |||||
Cash value of bank owned life insurance | 104,096 |
|
| 103,588 |
|
| 103,059 |
|
| 80,007 |
|
| 79,641 |
| |||||
Other assets | 88,397 |
|
| 93,009 |
|
| 98,324 |
|
| 70,001 |
|
| 72,194 |
| |||||
Total assets | $ | 11,443,515 |
|
| $ | 11,428,994 |
|
| $ | 11,190,697 |
|
| $ | 8,022,828 |
|
| $ | 7,856,203 |
|
|
|
|
|
|
|
|
|
|
| ||||||||||
Liabilities |
|
|
|
|
|
|
|
|
| ||||||||||
Deposits |
|
|
|
|
|
|
|
|
| ||||||||||
Noninterest-bearing | $ | 2,520,016 |
|
| $ | 2,333,992 |
|
| $ | 2,356,420 |
|
| $ | 1,867,900 |
|
| $ | 1,777,141 |
|
Interest-bearing | 7,129,297 |
|
| 6,847,371 |
|
| 6,405,173 |
|
| 4,578,265 |
|
| 4,848,704 |
| |||||
Total deposits | 9,649,313 |
|
| 9,181,363 |
|
| 8,761,593 |
|
| 6,446,165 |
|
| 6,625,845 |
| |||||
Federal funds purchased and securities sold under agreements to repurchase | 20,384 |
|
| 14,071 |
|
| 11,002 |
|
| 23,270 |
|
| 30,638 |
| |||||
Other borrowings | 151,774 |
|
| 656,831 |
|
| 862,136 |
|
| 555,535 |
|
| 250,554 |
| |||||
Subordinated deferrable interest debentures | 89,187 |
|
| 88,986 |
|
| 88,646 |
|
| 85,881 |
|
| 85,550 |
| |||||
FDIC loss-share payable, net | 19,487 |
|
| 18,740 |
|
| 18,716 |
|
| 9,255 |
|
| 8,803 |
| |||||
Other liabilities | 57,023 |
|
| 64,026 |
|
| 76,708 |
|
| 33,778 |
|
| 50,334 |
| |||||
Total liabilities | 9,987,168 |
|
| 10,024,017 |
|
| 9,818,801 |
|
| 7,153,884 |
|
| 7,051,724 |
| |||||
|
|
|
|
|
|
|
|
|
| ||||||||||
Shareholders' Equity |
|
|
|
|
|
|
|
|
| ||||||||||
Preferred stock | — |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||
Common stock | 49,015 |
|
| 49,012 |
|
| 49,012 |
|
| 39,820 |
|
| 38,735 |
| |||||
Capital stock | 1,051,584 |
|
| 1,050,752 |
|
| 1,049,283 |
|
| 559,040 |
|
| 508,404 |
| |||||
Retained earnings | 377,135 |
|
| 338,350 |
|
| 301,656 |
|
| 296,366 |
|
| 273,119 |
| |||||
Accumulated other comprehensive income (loss), net of tax | (4,826) |
|
| (16,576) |
|
| (12,571) |
|
| (10,823) |
|
| (1,280) |
| |||||
Treasury stock | (16,561) |
|
| (16,561) |
|
| (15,484) |
|
| (15,459) |
|
| (14,499) |
| |||||
Total shareholders' equity | 1,456,347 |
|
| 1,404,977 |
|
| 1,371,896 |
|
| 868,944 |
|
| 804,479 |
| |||||
Total liabilities and shareholders' equity | $ | 11,443,515 |
|
| $ | 11,428,994 |
|
| $ | 11,190,697 |
|
| $ | 8,022,828 |
|
| $ | 7,856,203 |
|
|
|
|
|
|
|
|
|
|
| ||||||||||
Other Data |
|
|
|
|
|
|
|
|
| ||||||||||
Earning assets | $ | 10,348,393 |
|
| $ | 10,340,558 |
|
| $ | 10,110,983 |
|
| $ | 7,393,048 |
|
| $ | 7,288,285 |
|
Intangible assets | 562,123 |
|
| 560,333 |
|
| 558,325 |
|
| 221,075 |
|
| 139,028 |
| |||||
Interest-bearing liabilities | 7,390,642 |
|
| 7,607,259 |
|
| 7,366,957 |
|
| 5,242,951 |
|
| 5,215,446 |
| |||||
Average assets | 11,307,980 |
|
| 11,204,504 |
|
| 8,529,035 |
|
| 7,823,451 |
|
| 7,777,996 |
| |||||
Average common shareholders' equity | 1,428,341 |
|
| 1,395,479 |
|
| 974,494 |
|
| 849,346 |
|
| 812,264 |
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Asset Quality Information |
|
| Table 4 | ||||||||||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Allowance for Loan Losses |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Balance at beginning of period | $ | 28,116 |
|
| $ | 31,532 |
|
| $ | 26,200 |
|
| $ | 25,791 |
|
| $ | 25,966 |
|
| $ | 25,791 |
|
| $ | 23,920 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Provision for loan losses | 3,661 |
|
| 2,095 |
|
| 9,110 |
|
| 1,801 |
|
| 2,536 |
|
| 16,667 |
|
| 8,364 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Charge-offs | 4,430 |
|
| 8,112 |
|
| 5,717 |
|
| 2,872 |
|
| 3,638 |
|
| 21,131 |
|
| 10,467 |
| |||||||
Recoveries | 1,472 |
|
| 2,601 |
|
| 1,939 |
|
| 1,480 |
|
| 927 |
|
| 7,492 |
|
| 3,974 |
| |||||||
Net charge-offs (recoveries) | 2,958 |
|
| 5,511 |
|
| 3,778 |
|
| 1,392 |
|
| 2,711 |
|
| 13,639 |
|
| 6,493 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Ending balance | $ | 28,819 |
|
| $ | 28,116 |
|
| $ | 31,532 |
|
| $ | 26,200 |
|
| $ | 25,791 |
|
| $ | 28,819 |
|
| $ | 25,791 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net Charge-off Information |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Charge-offs |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Commercial, financial and agricultural | $ | 2,489 |
|
| $ | 6,121 |
|
| $ | 3,744 |
|
| $ | 1,449 |
|
| $ | 954 |
|
| $ | 13,803 |
|
| $ | 2,850 |
|
Real estate - construction and development | 7 |
|
| 265 |
|
| 20 |
|
| — |
|
| — |
|
| 292 |
|
| 95 |
| |||||||
Real estate - commercial and farmland | 169 |
|
| 27 |
|
| — |
|
| 142 |
|
| 440 |
|
| 338 |
|
| 853 |
| |||||||
Real estate - residential | 76 |
|
| 293 |
|
| 204 |
|
| 198 |
|
| 120 |
|
| 771 |
|
| 2,151 |
| |||||||
Consumer installment | 1,465 |
|
| 923 |
|
| 839 |
|
| 962 |
|
| 696 |
|
| 4,189 |
|
| 1,618 |
| |||||||
Purchased loans | 224 |
|
| 483 |
|
| 910 |
|
| 121 |
|
| 1,428 |
|
| 1,738 |
|
| 2,900 |
| |||||||
Purchased loan pools | — |
|
| — |
|
| — |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||||
Total charge-offs | 4,430 |
|
| 8,112 |
|
| 5,717 |
|
| 2,872 |
|
| 3,638 |
|
| 21,131 |
|
| 10,467 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Recoveries |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Commercial, financial and agricultural | 927 |
|
| 939 |
|
| 1,247 |
|
| 656 |
|
| 571 |
|
| 3,769 |
|
| 1,270 |
| |||||||
Real estate - construction and development | 3 |
|
| 1 |
|
| 2 |
|
| 114 |
|
| 2 |
|
| 120 |
|
| 246 |
| |||||||
Real estate - commercial and farmland | 7 |
|
| 134 |
|
| 11 |
|
| 24 |
|
| 28 |
|
| 176 |
|
| 184 |
| |||||||
Real estate - residential | 91 |
|
| 44 |
|
| 29 |
|
| 182 |
|
| 47 |
|
| 346 |
|
| 237 |
| |||||||
Consumer installment | 137 |
|
| 178 |
|
| 117 |
|
| 67 |
|
| 38 |
|
| 499 |
|
| 116 |
| |||||||
Purchased loans | 307 |
|
| 1,305 |
|
| 533 |
|
| 437 |
|
| 241 |
|
| 2,582 |
|
| 1,921 |
| |||||||
Purchased loan pools | — |
|
| — |
|
| — |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||||
Total recoveries | 1,472 |
|
| 2,601 |
|
| 1,939 |
|
| 1,480 |
|
| 927 |
|
| 7,492 |
|
| 3,974 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net charge-offs (recoveries) | $ | 2,958 |
|
| $ | 5,511 |
|
| $ | 3,778 |
|
| $ | 1,392 |
|
| $ | 2,711 |
|
| $ | 13,639 |
|
| $ | 6,493 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Non-Performing Assets |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Nonaccrual loans (excluding purchased loans) | $ | 17,952 |
|
| $ | 15,986 |
|
| $ | 16,813 |
|
| $ | 14,420 |
|
| $ | 14,202 |
|
| $ | 17,952 |
|
| $ | 14,202 |
|
Nonaccrual purchased loans | 24,107 |
|
| 27,764 |
|
| 33,557 |
|
| 15,940 |
|
| 15,428 |
|
| 24,107 |
|
| 15,428 |
| |||||||
Nonaccrual purchased loan pools | — |
|
| 4,696 |
|
| 2,197 |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||||
Other real estate owned | 7,218 |
|
| 9,375 |
|
| 8,003 |
|
| 9,171 |
|
| 8,464 |
|
| 7,218 |
|
| 8,464 |
| |||||||
Purchased other real estate owned | 9,535 |
|
| 7,692 |
|
| 7,272 |
|
| 6,723 |
|
| 9,011 |
|
| 9,535 |
|
| 9,011 |
| |||||||
Accruing loans delinquent 90 days or more (excluding purchased loans) | 4,222 |
|
| 2,863 |
|
| 7,421 |
|
| 2,497 |
|
| 5,991 |
|
| 4,222 |
|
| 5,991 |
| |||||||
Accruing purchased loans delinquent 90 days or more | — |
|
| — |
|
| — |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||||
Total non-performing assets | $ | 63,034 |
|
| $ | 68,376 |
|
| $ | 75,263 |
|
| $ | 48,751 |
|
| $ | 53,096 |
|
| $ | 63,034 |
|
| $ | 53,096 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Asset Quality Ratios |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Non-performing assets as a percent of total assets | 0.55 | % |
| 0.60 | % |
| 0.67 | % |
| 0.61 | % |
| 0.68 | % |
| 0.55 | % |
| 0.68 | % | |||||||
Net charge-offs as a percent of average loans (annualized) | 0.14 | % |
| 0.26 | % |
| 0.23 | % |
| 0.09 | % |
| 0.18 | % |
| 0.18 | % |
| 0.12 | % | |||||||
Net charge-offs, excluding purchased loans as a
| 0.21 | % |
| 0.44 | % |
| 0.26 | % |
| 0.14 | % |
| 0.13 | % |
| 0.27 | % |
| 0.13 | % |
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||
| |||||||||||||||||||
Loan Information | Table 5 | ||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec | ||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 | ||||||||||
|
|
|
|
|
|
|
|
|
| ||||||||||
Loans by Type |
|
|
|
|
|
|
|
|
| ||||||||||
Legacy loans |
|
|
|
|
|
|
|
|
| ||||||||||
Commercial, financial and agricultural | $ | 1,316,359 |
|
| $ | 1,422,152 |
|
| $ | 1,446,857 |
|
| $ | 1,387,437 |
|
| $ | 1,362,508 |
|
Real estate - construction and development | 671,198 |
|
| 641,830 |
|
| 672,155 |
|
| 631,504 |
|
| 624,595 |
| |||||
Real estate - commercial and farmland | 1,814,529 |
|
| 1,804,265 |
|
| 1,640,411 |
|
| 1,636,654 |
|
| 1,535,439 |
| |||||
Real estate - residential | 1,403,000 |
|
| 1,275,201 |
|
| 1,245,370 |
|
| 1,080,028 |
|
| 1,009,461 |
| |||||
Consumer installment | 455,371 |
|
| 399,858 |
|
| 375,722 |
|
| 316,363 |
|
| 324,511 |
| |||||
Total legacy loans | $ | 5,660,457 |
|
| $ | 5,543,306 |
|
| $ | 5,380,515 |
|
| $ | 5,051,986 |
|
| $ | 4,856,514 |
|
Purchased loans |
|
|
|
|
|
|
|
|
| ||||||||||
Commercial, financial and agricultural | $ | 372,686 |
|
| $ | 413,365 |
|
| $ | 397,517 |
|
| $ | 64,612 |
|
| $ | 74,378 |
|
Real estate - construction and development | 227,900 |
|
| 219,882 |
|
| 268,443 |
|
| 48,940 |
|
| 65,513 |
| |||||
Real estate - commercial and farmland | 1,337,859 |
|
| 1,399,174 |
|
| 1,428,490 |
|
| 465,870 |
|
| 468,246 |
| |||||
Real estate - residential | 623,199 |
|
| 649,352 |
|
| 679,205 |
|
| 236,453 |
|
| 250,539 |
| |||||
Consumer installment | 27,188 |
|
| 29,687 |
|
| 38,855 |
|
| 2,712 |
|
| 2,919 |
| |||||
Total purchased loans | $ | 2,588,832 |
|
| $ | 2,711,460 |
|
| $ | 2,812,510 |
|
| $ | 818,587 |
|
| $ | 861,595 |
|
Purchased loan pools |
|
|
|
|
|
|
|
|
| ||||||||||
Real estate - residential | $ | 262,625 |
|
| $ | 274,752 |
|
| $ | 297,509 |
|
| $ | 319,598 |
|
| $ | 328,246 |
|
Total purchased loan pools | $ | 262,625 |
|
| $ | 274,752 |
|
| $ | 297,509 |
|
| $ | 319,598 |
|
| $ | 328,246 |
|
Total loan portfolio |
|
|
|
|
|
|
|
|
| ||||||||||
Commercial, financial and agricultural | $ | 1,689,045 |
|
| $ | 1,835,517 |
|
| $ | 1,844,374 |
|
| $ | 1,452,049 |
|
| $ | 1,436,886 |
|
Real estate - construction and development | 899,098 |
|
| 861,712 |
|
| 940,598 |
|
| 680,444 |
|
| 690,108 |
| |||||
Real estate - commercial and farmland | 3,152,388 |
|
| 3,203,439 |
|
| 3,068,901 |
|
| 2,102,524 |
|
| 2,003,685 |
| |||||
Real estate - residential | 2,288,824 |
|
| 2,199,305 |
|
| 2,222,084 |
|
| 1,636,079 |
|
| 1,588,246 |
| |||||
Consumer installment | 482,559 |
|
| 429,545 |
|
| 414,577 |
|
| 319,075 |
|
| 327,430 |
| |||||
Total loans | $ | 8,511,914 |
|
| $ | 8,529,518 |
|
| $ | 8,490,534 |
|
| $ | 6,190,171 |
|
| $ | 6,046,355 |
|
|
|
|
|
|
|
|
|
|
| ||||||||||
Troubled Debt Restructurings (excluding purchased loans) |
|
|
|
|
|
|
|
|
| ||||||||||
Accruing troubled debt restructurings |
|
|
|
|
|
|
|
|
| ||||||||||
Commercial, financial and agricultural | $ | 256 |
|
| $ | 180 |
|
| $ | 38 |
|
| $ | 39 |
|
| $ | 41 |
|
Real estate - construction and development | 145 |
|
| 384 |
|
| 150 |
|
| 176 |
|
| 417 |
| |||||
Real estate - commercial and farmland | 2,863 |
|
| 3,817 |
|
| 4,531 |
|
| 4,606 |
|
| 4,680 |
| |||||
Real estate - residential | 6,043 |
|
| 6,558 |
|
| 6,299 |
|
| 6,547 |
|
| 6,199 |
| |||||
Consumer installment | 16 |
|
| 4 |
|
| 5 |
|
| 7 |
|
| 5 |
| |||||
Total accruing troubled debt restructurings | $ | 9,323 |
|
| $ | 10,943 |
|
| $ | 11,023 |
|
| $ | 11,375 |
|
| $ | 11,342 |
|
Nonaccrual troubled debt restructurings |
|
|
|
|
|
|
|
|
| ||||||||||
Commercial, financial and agricultural | $ | 138 |
|
| $ | 208 |
|
| $ | 330 |
|
| $ | 224 |
|
| $ | 120 |
|
Real estate - construction and development | 2 |
|
| 6 |
|
| 30 |
|
| 7 |
|
| 34 |
| |||||
Real estate - commercial and farmland | 426 |
|
| 306 |
|
| 196 |
|
| 2,127 |
|
| 204 |
| |||||
Real estate - residential | 1,119 |
|
| 742 |
|
| 709 |
|
| 838 |
|
| 1,508 |
| |||||
Consumer installment | 69 |
|
| 92 |
|
| 102 |
|
| 93 |
|
| 98 |
| |||||
Total nonaccrual troubled debt restructurings | $ | 1,754 |
|
| $ | 1,354 |
|
| $ | 1,367 |
|
| $ | 3,289 |
|
| $ | 1,964 |
|
Total troubled debt restructurings (excluding purchased loans) | $ | 11,077 |
|
| $ | 12,297 |
|
| $ | 12,390 |
|
| $ | 14,664 |
|
| $ | 13,306 |
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||
| |||||||||||||||||||
Loan Information (continued) | Table 5 | ||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec | ||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 | ||||||||||
|
|
|
|
|
|
|
|
|
| ||||||||||
Loans by Risk Grade |
|
|
|
|
|
|
|
|
| ||||||||||
Legacy loans |
|
|
|
|
|
|
|
|
| ||||||||||
Grade 1 - Prime credit | $ | 542,164 |
|
| $ | 550,020 |
|
| $ | 545,902 |
|
| $ | 557,625 |
|
| $ | 554,979 |
|
Grade 2 - Strong credit | 523,101 |
|
| 645,612 |
|
| 660,495 |
|
| 673,591 |
|
| 688,481 |
| |||||
Grade 3 - Good credit | 2,408,128 |
|
| 2,289,584 |
|
| 2,211,703 |
|
| 2,050,717 |
|
| 2,033,979 |
| |||||
Grade 4 - Satisfactory credit | 2,047,688 |
|
| 1,939,518 |
|
| 1,820,884 |
|
| 1,676,308 |
|
| 1,487,781 |
| |||||
Grade 5 - Fair credit | 59,054 |
|
| 40,041 |
|
| 52,069 |
|
| 17,499 |
|
| 16,996 |
| |||||
Grade 6 - Other assets especially mentioned | 35,118 |
|
| 41,125 |
|
| 38,150 |
|
| 39,795 |
|
| 30,075 |
| |||||
Grade 7 - Substandard | 45,204 |
|
| 37,406 |
|
| 51,305 |
|
| 36,444 |
|
| 44,216 |
| |||||
Grade 8 - Doubtful | — |
|
| — |
|
| 7 |
|
| 7 |
|
| 7 |
| |||||
Grade 9 - Loss | — |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||
Total legacy loans | $ | 5,660,457 |
|
| $ | 5,543,306 |
|
| $ | 5,380,515 |
|
| $ | 5,051,986 |
|
| $ | 4,856,514 |
|
Purchased loans |
|
|
|
|
|
|
|
|
| ||||||||||
Grade 1 - Prime credit | $ | 90,775 |
|
| $ | 54,840 |
|
| $ | 55,183 |
|
| $ | 3,808 |
|
| $ | 3,964 |
|
Grade 2 - Strong credit | 84,617 |
|
| 132,454 |
|
| 139,683 |
|
| 97,448 |
|
| 101,098 |
| |||||
Grade 3 - Good credit | 656,289 |
|
| 463,307 |
|
| 449,317 |
|
| 243,730 |
|
| 259,872 |
| |||||
Grade 4 - Satisfactory credit | 1,586,377 |
|
| 1,828,090 |
|
| 1,908,143 |
|
| 367,997 |
|
| 385,080 |
| |||||
Grade 5 - Fair credit | 63,613 |
|
| 133,653 |
|
| 135,281 |
|
| 20,012 |
|
| 19,736 |
| |||||
Grade 6 - Other assets especially mentioned | 30,448 |
|
| 35,676 |
|
| 45,095 |
|
| 33,705 |
|
| 37,121 |
| |||||
Grade 7 - Substandard | 76,713 |
|
| 63,440 |
|
| 79,808 |
|
| 51,887 |
|
| 54,724 |
| |||||
Grade 8 - Doubtful | — |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||
Grade 9 - Loss | — |
|
| — |
|
| — |
|
| — |
|
| — |
| |||||
Total purchased loans | $ | 2,588,832 |
|
| $ | 2,711,460 |
|
| $ | 2,812,510 |
|
| $ | 818,587 |
|
| $ | 861,595 |
|
Purchased loan pools |
|
|
|
|
|
|
|
|
| ||||||||||
Grade 3 - Good credit | $ | 262,625 |
|
| $ | 270,056 |
|
| $ | 295,312 |
|
| $ | 318,696 |
|
| $ | 327,342 |
|
Grade 7 - Substandard | — |
|
| 4,696 |
|
| 2,197 |
|
| 902 |
|
| 904 |
| |||||
Total purchased loan pools | $ | 262,625 |
|
| $ | 274,752 |
|
| $ | 297,509 |
|
| $ | 319,598 |
|
| $ | 328,246 |
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Average Balances |
|
| Table 6 | ||||||||||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Earning Assets |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Federal funds sold | $ | 28,755 |
|
| $ | 15,074 |
|
| $ | 203 |
|
| $ | 9 |
|
| $ | 3 |
|
| $ | 11,100 |
|
| $ | 1 |
|
Interest-bearing deposits in banks | 373,068 |
|
| 283,604 |
|
| 151,332 |
|
| 147,481 |
|
| 184,287 |
|
| 240,740 |
|
| 140,702 |
| |||||||
Time deposits in other banks | 10,961 |
|
| 11,557 |
|
| 254 |
|
| — |
|
| — |
|
| 5,739 |
|
| — |
| |||||||
Investment securities - taxable | 1,138,981 |
|
| 1,117,517 |
|
| 839,772 |
|
| 777,310 |
|
| 759,253 |
|
| 969,825 |
|
| 761,593 |
| |||||||
Investment securities - nontaxable | 29,962 |
|
| 31,641 |
|
| 26,626 |
|
| 48,455 |
|
| 58,858 |
|
| 34,113 |
|
| 62,055 |
| |||||||
Other investments | 18,494 |
|
| 36,067 |
|
| 42,384 |
|
| 34,654 |
|
| 32,706 |
|
| 32,884 |
|
| 37,541 |
| |||||||
Loans held for sale | 129,664 |
|
| 151,396 |
|
| 141,875 |
|
| 138,129 |
|
| 138,468 |
|
| 140,273 |
|
| 113,657 |
| |||||||
Loans | 5,819,684 |
|
| 5,703,921 |
|
| 5,198,301 |
|
| 4,902,082 |
|
| 4,692,997 |
|
| 5,415,757 |
|
| 4,188,378 |
| |||||||
Purchased loans | 2,402,610 |
|
| 2,499,393 |
|
| 1,107,184 |
|
| 842,509 |
|
| 888,854 |
|
| 1,712,924 |
|
| 958,738 |
| |||||||
Purchased loan pools | 268,568 |
|
| 287,859 |
|
| 310,594 |
|
| 325,113 |
|
| 446,677 |
|
| 297,850 |
|
| 496,844 |
| |||||||
Total Earning Assets | $ | 10,220,747 |
|
| $ | 10,138,029 |
|
| $ | 7,818,525 |
|
| $ | 7,215,742 |
|
| $ | 7,202,103 |
|
| $ | 8,861,205 |
|
| $ | 6,759,509 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Noninterest-bearing deposits | $ | 2,570,783 |
|
| $ | 2,320,851 |
|
| $ | 1,973,910 |
|
| $ | 1,780,738 |
|
| $ | 1,805,996 |
|
| $ | 2,164,171 |
|
| $ | 1,670,499 |
|
NOW accounts | 1,546,939 |
|
| 1,567,111 |
|
| 1,311,952 |
|
| 1,337,718 |
|
| 1,301,628 |
|
| 1,441,849 |
|
| 1,207,024 |
| |||||||
MMDA | 2,590,194 |
|
| 2,440,086 |
|
| 1,950,601 |
|
| 1,970,571 |
|
| 1,964,437 |
|
| 2,240,115 |
|
| 1,690,091 |
| |||||||
Savings accounts | 401,836 |
|
| 423,449 |
|
| 295,326 |
|
| 278,080 |
|
| 273,979 |
|
| 350,214 |
|
| 275,119 |
| |||||||
Retail CDs < $100,000 | 776,556 |
|
| 744,145 |
|
| 475,965 |
|
| 422,771 |
|
| 433,303 |
|
| 606,210 |
|
| 439,140 |
| |||||||
Retail CDs $100,000 and over | 1,055,973 |
|
| 978,842 |
|
| 585,632 |
|
| 593,635 |
|
| 592,916 |
|
| 805,267 |
|
| 563,557 |
| |||||||
Brokered CDs | 510,663 |
|
| 487,686 |
|
| 14,132 |
|
| — |
|
| — |
|
| 255,162 |
|
| — |
| |||||||
Total Deposits | 9,452,944 |
|
| 8,962,170 |
|
| 6,607,518 |
|
| 6,383,513 |
|
| 6,372,259 |
|
| 7,862,988 |
|
| 5,845,430 |
| |||||||
Non-Deposit Funding |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Federal funds purchased and securities sold
| 14,670 |
|
| 12,529 |
|
| 14,762 |
|
| 20,909 |
|
| 25,970 |
|
| 15,692 |
|
| 28,694 |
| |||||||
FHLB advances | 101,337 |
|
| 513,460 |
|
| 703,177 |
|
| 371,556 |
|
| 369,076 |
|
| 421,891 |
|
| 496,541 |
| |||||||
Other borrowings | 145,494 |
|
| 145,513 |
|
| 86,302 |
|
| 75,553 |
|
| 75,571 |
|
| 113,496 |
|
| 68,726 |
| |||||||
Subordinated deferrable interest debentures | 89,135 |
|
| 88,801 |
|
| 86,085 |
|
| 85,701 |
|
| 85,372 |
|
| 87,444 |
|
| 84,878 |
| |||||||
Total Non-Deposit Funding | 350,636 |
|
| 760,303 |
|
| 890,326 |
|
| 553,719 |
|
| 555,989 |
|
| 638,523 |
|
| 678,839 |
| |||||||
Total Funding | $ | 9,803,580 |
|
| $ | 9,722,473 |
|
| $ | 7,497,844 |
|
| $ | 6,937,232 |
|
| $ | 6,928,248 |
|
| $ | 8,501,511 |
|
| $ | 6,524,269 |
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Interest Income and Interest Expense (TE) |
|
|
|
|
|
|
|
|
|
|
|
| Table 7 | ||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Interest Income |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Federal funds sold | $ | 155 |
|
| $ | 72 |
|
| $ | — |
|
| $ | — |
|
| $ | — |
|
| $ | 227 |
|
| $ | — |
|
Interest-bearing deposits in banks | 1,906 |
|
| 1,520 |
|
| 723 |
|
| 716 |
|
| 655 |
|
| 4,865 |
|
| 1,725 |
| |||||||
Time deposits in other banks | 58 |
|
| 61 |
|
| — |
|
| — |
|
| — |
|
| 119 |
|
| — |
| |||||||
Investment securities - taxable | 8,686 |
|
| 8,792 |
|
| 6,321 |
|
| 5,207 |
|
| 5,097 |
|
| 29,006 |
|
| 20,154 |
| |||||||
Investment securities - nontaxable (TE) | 247 |
|
| 258 |
|
| 226 |
|
| 408 |
|
| 572 |
|
| 1,139 |
|
| 2,432 |
| |||||||
Loans held for sale | 1,618 |
|
| 1,566 |
|
| 1,315 |
|
| 1,210 |
|
| 1,380 |
|
| 5,709 |
|
| 4,222 |
| |||||||
Loans (TE) | 73,594 |
|
| 73,178 |
|
| 63,908 |
|
| 58,771 |
|
| 57,193 |
|
| 269,451 |
|
| 200,999 |
| |||||||
Purchased loans | 35,413 |
|
| 34,692 |
|
| 16,130 |
|
| 11,762 |
|
| 13,150 |
|
| 97,997 |
|
| 57,136 |
| |||||||
Purchased loan pools | 2,151 |
|
| 2,059 |
|
| 2,267 |
|
| 2,424 |
|
| 3,531 |
|
| 8,901 |
|
| 14,640 |
| |||||||
Total Earning Assets | $ | 123,828 |
|
| $ | 122,198 |
|
| $ | 90,890 |
|
| $ | 80,498 |
|
| $ | 81,578 |
|
| $ | 417,414 |
|
| $ | 301,308 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Accretion income (included above) | $ | 4,077 |
|
| $ | 3,656 |
|
| $ | 2,652 |
|
| $ | 1,444 |
|
| $ | 2,183 |
|
| $ | 11,829 |
|
| $ | 10,614 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Interest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Noninterest-bearing deposits | $ | — |
|
| $ | — |
|
| $ | — |
|
| $ | — |
|
| $ | — |
|
| $ | — |
|
| $ | — |
|
NOW accounts | 1,736 |
|
| 1,142 |
|
| 1,142 |
|
| 953 |
|
| 811 |
|
| 4,973 |
|
| 2,428 |
| |||||||
MMDA | 7,991 |
|
| 5,885 |
|
| 3,953 |
|
| 3,526 |
|
| 3,288 |
|
| 21,355 |
|
| 9,150 |
| |||||||
Savings accounts | 83 |
|
| 82 |
|
| 54 |
|
| 47 |
|
| 46 |
|
| 266 |
|
| 181 |
| |||||||
Retail CDs < $100,000 | 1,880 |
|
| 1,827 |
|
| 907 |
|
| 668 |
|
| 702 |
|
| 5,282 |
|
| 2,584 |
| |||||||
Retail CDs $100,000 and over | 3,978 |
|
| 3,643 |
|
| 1,670 |
|
| 1,578 |
|
| 1,551 |
|
| 10,869 |
|
| 5,534 |
| |||||||
Brokered CDs | 3,190 |
|
| 3,051 |
|
| 68 |
|
| — |
|
| — |
|
| 6,309 |
|
| — |
| |||||||
Total Deposits | 18,858 |
|
| 15,630 |
|
| 7,794 |
|
| 6,772 |
|
| 6,398 |
|
| 49,054 |
|
| 19,877 |
| |||||||
Non-Deposit Funding |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Federal funds purchased and securities sold
| 5 |
|
| 4 |
|
| 5 |
|
| 9 |
|
| 12 |
|
| 23 |
|
| 56 |
| |||||||
FHLB advances | 568 |
|
| 2,745 |
|
| 3,383 |
|
| 1,457 |
|
| 1,180 |
|
| 8,153 |
|
| 5,174 |
| |||||||
Other borrowings | 2,222 |
|
| 2,180 |
|
| 1,320 |
|
| 1,134 |
|
| 1,144 |
|
| 6,856 |
|
| 4,044 |
| |||||||
Subordinated deferrable interest debentures | 1,542 |
|
| 1,522 |
|
| 1,445 |
|
| 1,339 |
|
| 1,307 |
|
| 5,848 |
|
| 5,071 |
| |||||||
Total Non-Deposit Funding | 4,337 |
|
| 6,451 |
|
| 6,153 |
|
| 3,939 |
|
| 3,643 |
|
| 20,880 |
|
| 14,345 |
| |||||||
Total Funding | $ | 23,195 |
|
| $ | 22,081 |
|
| $ | 13,947 |
|
| $ | 10,711 |
|
| $ | 10,041 |
|
| $ | 69,934 |
|
| $ | 34,222 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net Interest Income (TE) | $ | 100,633 |
|
| $ | 100,117 |
|
| $ | 76,943 |
|
| $ | 69,787 |
|
| $ | 71,537 |
|
| $ | 347,480 |
|
| $ | 267,086 |
|
AMERIS BANCORP AND SUBSIDIARIES | ||||||||||||||||||||
FINANCIAL TABLES | ||||||||||||||||||||
| ||||||||||||||||||||
Yields(1) |
|
|
|
|
|
|
|
|
|
|
|
| Table 8 | |||||||
| Three Months Ended |
| Year Ended | |||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | |||||||
| 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Earning Assets |
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Federal funds sold | 2.14 | % |
| 1.89 | % |
| 0.00 | % |
| 0.00 | % |
| 0.00 | % |
| 2.05 | % |
| 0.00 | % |
Interest-bearing deposits in banks | 2.03 | % |
| 2.13 | % |
| 1.92 | % |
| 1.97 | % |
| 1.41 | % |
| 2.02 | % |
| 1.23 | % |
Time deposits in other banks | 2.10 | % |
| 2.09 | % |
| 0.00 | % |
| 0.00 | % |
| 0.00 | % |
| 2.07 | % |
| 0.00 | % |
Investment securities - taxable | 3.03 | % |
| 3.12 | % |
| 3.02 | % |
| 2.72 | % |
| 2.66 | % |
| 2.99 | % |
| 2.65 | % |
Investment securities - nontaxable (TE) | 3.27 | % |
| 3.24 | % |
| 3.40 | % |
| 3.41 | % |
| 3.86 | % |
| 3.34 | % |
| 3.92 | % |
Loans held for sale | 4.95 | % |
| 4.10 | % |
| 3.72 | % |
| 3.55 | % |
| 3.95 | % |
| 4.07 | % |
| 3.71 | % |
Loans (TE) | 5.02 | % |
| 5.09 | % |
| 4.93 | % |
| 4.86 | % |
| 4.84 | % |
| 4.98 | % |
| 4.80 | % |
Purchased loans | 5.85 | % |
| 5.51 | % |
| 5.84 | % |
| 5.66 | % |
| 5.87 | % |
| 5.72 | % |
| 5.96 | % |
Purchased loan pools | 3.18 | % |
| 2.84 | % |
| 2.93 | % |
| 3.02 | % |
| 3.14 | % |
| 2.99 | % |
| 2.95 | % |
Total Earning Assets | 4.81 | % |
| 4.78 | % |
| 4.66 | % |
| 4.52 | % |
| 4.49 | % |
| 4.71 | % |
| 4.46 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Noninterest-bearing deposits | 0.00 | % |
| 0.00 | % |
| 0.00 | % |
| 0.00 | % |
| 0.00 | % |
| 0.00 | % |
| 0.00 | % |
NOW accounts | 0.45 | % |
| 0.29 | % |
| 0.35 | % |
| 0.29 | % |
| 0.25 | % |
| 0.34 | % |
| 0.20 | % |
MMDA | 1.22 | % |
| 0.96 | % |
| 0.81 | % |
| 0.73 | % |
| 0.66 | % |
| 0.95 | % |
| 0.54 | % |
Savings accounts | 0.08 | % |
| 0.08 | % |
| 0.07 | % |
| 0.07 | % |
| 0.07 | % |
| 0.08 | % |
| 0.07 | % |
Retail CDs < $100,000 | 0.96 | % |
| 0.97 | % |
| 0.76 | % |
| 0.64 | % |
| 0.64 | % |
| 0.87 | % |
| 0.59 | % |
Retail CDs $100,000 and over | 1.49 | % |
| 1.48 | % |
| 1.14 | % |
| 1.08 | % |
| 1.04 | % |
| 1.35 | % |
| 0.98 | % |
Brokered CDs | 2.48 | % |
| 2.48 | % |
| 1.93 | % |
| 0.00 | % |
| 0.00 | % |
| 2.47 | % |
| 0.00 | % |
Total Deposits | 0.79 | % |
| 0.69 | % |
| 0.47 | % |
| 0.43 | % |
| 0.40 | % |
| 0.62 | % |
| 0.34 | % |
Non-Deposit Funding |
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Federal funds purchased and securities sold under agreements to
| 0.14 | % |
| 0.13 | % |
| 0.14 | % |
| 0.17 | % |
| 0.18 | % |
| 0.15 | % |
| 0.20 | % |
FHLB advances | 2.22 | % |
| 2.12 | % |
| 1.93 | % |
| 1.59 | % |
| 1.27 | % |
| 1.93 | % |
| 1.04 | % |
Other borrowings | 6.06 | % |
| 5.94 | % |
| 6.13 | % |
| 6.09 | % |
| 6.01 | % |
| 6.04 | % |
| 5.88 | % |
Subordinated deferrable interest debentures | 6.86 | % |
| 6.80 | % |
| 6.73 | % |
| 6.34 | % |
| 6.07 | % |
| 6.69 | % |
| 5.97 | % |
Total Non-Deposit Funding | 4.91 | % |
| 3.37 | % |
| 2.77 | % |
| 2.89 | % |
| 2.60 | % |
| 3.27 | % |
| 2.11 | % |
Total Funding(2) | 0.94 | % |
| 0.90 | % |
| 0.75 | % |
| 0.63 | % |
| 0.57 | % |
| 0.82 | % |
| 0.52 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Net Interest Spread | 3.87 | % |
| 3.88 | % |
| 3.91 | % |
| 3.89 | % |
| 3.92 | % |
| 3.89 | % |
| 3.94 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
Net Interest Margin(3) | 3.91 | % |
| 3.92 | % |
| 3.95 | % |
| 3.92 | % |
| 3.94 | % |
| 3.92 | % |
| 3.95 | % |
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||
(1) Interest and average rates are calculated on a tax-equivalent basis using an effective tax rate of 21% for 2018 and 35% for 2017. |
|
|
|
| ||||||||||||||||
(2) Rate calculated based on total average funding including noninterest-bearing deposits. |
|
|
|
| ||||||||||||||||
(3) Rate calculated based on average earning assets. |
|
|
|
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Non-GAAP Reconciliations |
|
| |||||||||||||||||||||||||
|
|
| |||||||||||||||||||||||||
Adjusted Net Income |
|
|
|
|
|
|
|
|
|
| Table 9A | ||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands except per share data) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
Net income available to common shareholders | $ | 43,536 |
|
| $ | 41,444 |
|
| $ | 9,387 |
|
| $ | 26,660 |
|
| $ | 9,150 |
|
| $ | 121,027 |
|
| $ | 73,548 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Adjustment items: |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Merger and conversion charges | 997 |
|
| 276 |
|
| 18,391 |
|
| 835 |
|
| 421 |
|
| 20,499 |
|
| 915 |
| |||||||
Executive retirement benefits | 2,005 |
|
| 962 |
|
| 5,457 |
|
| — |
|
| — |
|
| 8,424 |
|
| — |
| |||||||
Restructuring charge | 754 |
|
| 229 |
|
| — |
|
| — |
|
| — |
|
| 983 |
|
| — |
| |||||||
Certain compliance resolution expenses | — |
|
| — |
|
| — |
|
| — |
|
| 434 |
|
| — |
|
| 5,163 |
| |||||||
Accelerated premium amortization on loans sold
| — |
|
| — |
|
| — |
|
| — |
|
| 456 |
|
| — |
|
| 456 |
| |||||||
Financial impact of hurricanes | 882 |
|
| — |
|
| — |
|
| — |
|
| — |
|
| 882 |
|
| 410 |
| |||||||
Loss on sale of premises | 250 |
|
| 4 |
|
| 196 |
|
| 583 |
|
| 308 |
|
| 1,033 |
|
| 1,264 |
| |||||||
Tax effect of adjustment items (Note 1) | (810) |
|
| 377 |
|
| (4,192) |
|
| (298) |
|
| (567) |
|
| (4,923) |
|
| (2,873) |
| |||||||
After tax adjustment items | 4,078 |
|
| 1,848 |
|
| 19,852 |
|
| 1,120 |
|
| 1,052 |
|
| 26,898 |
|
| 5,335 |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Tax expense attributable to remeasurement of
| — |
|
| — |
|
| — |
|
| — |
|
| 13,388 |
|
| — |
|
| 13,388 |
| |||||||
Reduction in state tax expense accrued in prior
| (1,717) |
|
| — |
|
| — |
|
| — |
|
| — |
|
| (1,717) |
|
| — |
| |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Adjusted net income | $ | 45,897 |
|
| $ | 43,292 |
|
| $ | 29,239 |
|
| $ | 27,780 |
|
| $ | 23,590 |
|
| $ | 146,208 |
|
| $ | 92,271 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Weighted average number of shares - diluted | 47,593,252 |
|
| 47,685,334 |
|
| 39,709,503 |
|
| 38,250,122 |
|
| 37,556,335 |
|
| 43,247,796 |
|
| 37,144,139 |
| |||||||
Net income per diluted share | $ | 0.91 |
|
| $ | 0.87 |
|
| $ | 0.24 |
|
| $ | 0.70 |
|
| $ | 0.24 |
|
| $ | 2.80 |
|
| $ | 1.98 |
|
Adjusted net income per diluted share | $ | 0.96 |
|
| $ | 0.91 |
|
| $ | 0.74 |
|
| $ | 0.73 |
|
| $ | 0.63 |
|
| $ | 3.38 |
|
| $ | 2.48 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Average assets | $ | 11,307,980 |
|
| $ | 11,204,504 |
|
| $ | 8,529,035 |
|
| $ | 7,823,451 |
|
| $ | 7,777,996 |
|
| $ | 9,744,001 |
|
| $ | 7,330,974 |
|
Return on average assets | 1.53 | % |
| 1.47 | % |
| 0.44 | % |
| 1.38 | % |
| 0.47 | % |
| 1.24 | % |
| 1.00 | % | |||||||
Adjusted return on average assets | 1.61 | % |
| 1.53 | % |
| 1.38 | % |
| 1.44 | % |
| 1.20 | % |
| 1.50 | % |
| 1.26 | % | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Average common equity | $ | 1,428,341 |
|
| $ | 1,395,479 |
|
| $ | 974,494 |
|
| $ | 849,346 |
|
| $ | 812,264 |
|
| $ | 1,178,275 |
|
| $ | 770,296 |
|
Average tangible common equity | $ | 869,201 |
|
| $ | 837,914 |
|
| $ | 679,559 |
|
| $ | 659,096 |
|
| $ | 672,728 |
|
| $ | 762,274 |
|
| $ | 629,312 |
|
Return on average common equity | 12.09 | % |
| 11.78 | % |
| 3.86 | % |
| 12.73 | % |
| 4.47 | % |
| 10.27 | % |
| 9.55 | % | |||||||
Adjusted return on average tangible common equity | 20.95 | % |
| 20.50 | % |
| 17.26 | % |
| 17.09 | % |
| 13.91 | % |
| 19.18 | % |
| 14.66 | % | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Note 1: A portion of the 2Q18, 3Q18 and 4Q18 merger and conversion charges and the 2Q18 executive retirement benefits are nondeductible for tax purposes. | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net Interest Margin Excluding Accretion and
|
|
|
|
|
|
|
|
|
|
| Table 9B | ||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
Total interest income (TE) | $ | 123,828 |
|
| $ | 122,198 |
|
| $ | 90,890 |
|
| $ | 80,498 |
|
| $ | 81,578 |
|
| $ | 417,414 |
|
| $ | 301,308 |
|
Accretion income | 4,077 |
|
| 3,656 |
|
| 2,652 |
|
| 1,444 |
|
| 2,183 |
|
| 11,829 |
|
| 10,614 |
| |||||||
Total interest income (TE) excluding accretion | 119,751 |
|
| 118,542 |
|
| 88,238 |
|
| 79,054 |
|
| 79,395 |
|
| 405,585 |
|
| 290,694 |
| |||||||
Interest expense | 23,195 |
|
| 22,081 |
|
| 13,947 |
|
| 10,711 |
|
| 10,041 |
|
| 69,934 |
|
| 34,222 |
| |||||||
Net interest income (TE) excluding accretion | $ | 96,556 |
|
| $ | 96,461 |
|
| $ | 74,291 |
|
| $ | 68,343 |
|
| $ | 69,354 |
|
| $ | 335,651 |
|
| $ | 256,472 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Yield on total loans (TE) excluding accretion | 5.00 | % |
| 4.95 | % |
| 4.81 | % |
| 4.75 | % |
| 4.70 | % |
| 4.89 | % |
| 4.63 | % | |||||||
Net interest margin (TE) excluding accretion | 3.75 | % |
| 3.77 | % |
| 3.81 | % |
| 3.84 | % |
| 3.82 | % |
| 3.79 | % |
| 3.79 | % |
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Non-GAAP Reconciliations (continued) |
|
| |||||||||||||||||||||||||
|
|
| |||||||||||||||||||||||||
Adjusted Efficiency Ratio (TE) |
|
|
|
|
|
|
|
|
|
| Table 9C | ||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
Adjusted Noninterest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Total noninterest expense | $ | 75,810 |
|
| $ | 72,353 |
|
| $ | 86,386 |
|
| $ | 59,098 |
|
| $ | 59,337 |
|
| $ | 293,647 |
|
| $ | 231,936 |
|
Adjustment items: |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Merger and conversion charges | (997) |
|
| (276) |
|
| (18,391) |
|
| (835) |
|
| (421) |
|
| (20,499) |
|
| (915) |
| |||||||
Executive retirement benefits | (2,005) |
|
| (962) |
|
| (5,457) |
|
| — |
|
| — |
|
| (8,424) |
|
| — |
| |||||||
Restructuring charge | (754) |
|
| (229) |
|
| — |
|
| — |
|
| — |
|
| (983) |
|
| — |
| |||||||
Certain compliance resolution expenses | — |
|
| — |
|
| — |
|
| — |
|
| (434) |
|
| — |
|
| (5,163) |
| |||||||
Financial impact of hurricanes | (882) |
|
| — |
|
| — |
|
| — |
|
| — |
|
| (882) |
|
| (410) |
| |||||||
Loss on sale of premises | (250) |
|
| (4) |
|
| (196) |
|
| (583) |
|
| (308) |
|
| (1,033) |
|
| (1,264) |
| |||||||
Adjusted noninterest expense | $ | 70,922 |
|
| $ | 70,882 |
|
| $ | 62,342 |
|
| $ | 57,680 |
|
| $ | 58,174 |
|
| $ | 261,826 |
|
| $ | 224,184 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Total Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | $ | 99,554 |
|
| $ | 99,038 |
|
| $ | 75,999 |
|
| $ | 68,801 |
|
| $ | 69,523 |
|
| $ | 343,392 |
|
| $ | 260,125 |
|
Noninterest income | 30,470 |
|
| 30,171 |
|
| 31,307 |
|
| 26,464 |
|
| 23,563 |
|
| 118,412 |
|
| 104,457 |
| |||||||
Total revenue | $ | 130,024 |
|
| $ | 129,209 |
|
| $ | 107,306 |
|
| $ | 95,265 |
|
| $ | 93,086 |
|
| $ | 461,804 |
|
| $ | 364,582 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Adjusted Total Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income (TE) | $ | 100,633 |
|
| $ | 100,117 |
|
| $ | 76,943 |
|
| $ | 69,787 |
|
| $ | 71,537 |
|
| $ | 347,480 |
|
| $ | 267,086 |
|
Noninterest income | 30,470 |
|
| 30,171 |
|
| 31,307 |
|
| 26,464 |
|
| 23,563 |
|
| 118,412 |
|
| 104,457 |
| |||||||
Total revenue (TE) | 131,103 |
|
| 130,288 |
|
| 108,250 |
|
| 96,251 |
|
| 95,100 |
|
| 465,892 |
|
| 371,543 |
| |||||||
Adjustment items: |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Loss (gain) on securities | (1) |
|
| (48) |
|
| 123 |
|
| (37) |
|
| — |
|
| 37 |
|
| (37) |
| |||||||
Accelerated premium amortization on loans sold from purchased loan pools | — |
|
| — |
|
| — |
|
| — |
|
| 456 |
|
| — |
|
| 456 |
| |||||||
Adjusted total revenue (TE) | $ | 131,102 |
|
| $ | 130,240 |
|
| $ | 108,373 |
|
| $ | 96,214 |
|
| $ | 95,556 |
|
| $ | 465,929 |
|
| $ | 371,962 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Efficiency ratio | 58.30 | % |
| 56.00 | % |
| 80.50 | % |
| 62.04 | % |
| 63.74 | % |
| 63.59 | % |
| 63.62 | % | |||||||
Adjusted efficiency ratio (TE) | 54.10 | % |
| 54.42 | % |
| 57.53 | % |
| 59.95 | % |
| 60.88 | % |
| 56.19 | % |
| 60.27 | % | |||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Tangible Book Value Per Share |
|
|
|
|
|
|
|
|
|
| Table 9D | ||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands except per share data) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
Total shareholders' equity | $ | 1,456,347 |
|
| $ | 1,404,977 |
|
| $ | 1,371,896 |
|
| $ | 868,944 |
|
| $ | 804,479 |
|
| $ | 1,456,347 |
|
| $ | 804,479 |
|
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Goodwill | 503,434 |
|
| 505,604 |
|
| 504,764 |
|
| 208,513 |
|
| 125,532 |
|
| 503,434 |
|
| 125,532 |
| |||||||
Other intangibles, net | 58,689 |
|
| 54,729 |
|
| 53,561 |
|
| 12,562 |
|
| 13,496 |
|
| 58,689 |
|
| 13,496 |
| |||||||
Total tangible shareholders' equity | $ | 894,224 |
|
| $ | 844,644 |
|
| $ | 813,571 |
|
| $ | 647,869 |
|
| $ | 665,451 |
|
| $ | 894,224 |
|
| $ | 665,451 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Period end number of shares | 47,499,941 |
|
| 47,496,966 |
|
| 47,518,662 |
|
| 38,327,081 |
|
| 37,260,012 |
|
| 47,499,941 |
|
| 37,260,012 |
| |||||||
Book value per share (period end) | $ | 30.66 |
|
| $ | 29.58 |
|
| $ | 28.87 |
|
| $ | 22.67 |
|
| $ | 21.59 |
|
| $ | 30.66 |
|
| $ | 21.59 |
|
Tangible book value per share (period end) | $ | 18.83 |
|
| $ | 17.78 |
|
| $ | 17.12 |
|
| $ | 16.90 |
|
| $ | 17.86 |
|
| $ | 18.83 |
|
| $ | 17.86 |
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Segment Reporting |
|
|
|
|
|
|
|
|
|
| Table 10 | ||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Banking Division |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | $ | 84,399 |
|
| $ | 84,041 |
|
| $ | 61,759 |
|
| $ | 55,359 |
|
| $ | 55,193 |
|
| $ | 285,558 |
|
| $ | 210,719 |
|
Provision for loan losses | 1,603 |
|
| 1,229 |
|
| 766 |
|
| 888 |
|
| 2,277 |
|
| 4,486 |
|
| 6,787 |
| |||||||
Noninterest income | 15,784 |
|
| 16,524 |
|
| 13,287 |
|
| 13,099 |
|
| 12,442 |
|
| 58,694 |
|
| 51,416 |
| |||||||
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Salaries and employee benefits | 25,882 |
|
| 26,120 |
|
| 26,646 |
|
| 22,068 |
|
| 20,100 |
|
| 100,716 |
|
| 78,857 |
| |||||||
Occupancy and equipment expenses | 7,080 |
|
| 7,871 |
|
| 5,684 |
|
| 5,477 |
|
| 5,368 |
|
| 26,112 |
|
| 21,436 |
| |||||||
Data processing and telecommunications expenses | 7,522 |
|
| 7,589 |
|
| 5,611 |
|
| 6,304 |
|
| 6,399 |
|
| 27,026 |
|
| 25,177 |
| |||||||
Other noninterest expenses | 17,310 |
|
| 13,461 |
|
| 29,937 |
|
| 11,080 |
|
| 11,837 |
|
| 71,788 |
|
| 46,192 |
| |||||||
Total noninterest expense | 57,794 |
|
| 55,041 |
|
| 67,878 |
|
| 44,929 |
|
| 43,704 |
|
| 225,642 |
|
| 171,662 |
| |||||||
Income before income tax expense | 40,786 |
|
| 44,295 |
|
| 6,402 |
|
| 22,641 |
|
| 21,654 |
|
| 114,124 |
|
| 83,686 |
| |||||||
Income tax expense | 5,493 |
|
| 11,156 |
|
| 1,716 |
|
| 5,242 |
|
| 18,717 |
|
| 23,607 |
|
| 36,518 |
| |||||||
Net income | $ | 35,293 |
|
| $ | 33,139 |
|
| $ | 4,686 |
|
| $ | 17,399 |
|
| $ | 2,937 |
|
| $ | 90,517 |
|
| $ | 47,168 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Retail Mortgage Division |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | $ | 7,873 |
|
| $ | 5,544 |
|
| $ | 5,046 |
|
| $ | 4,997 |
|
| $ | 4,876 |
|
| $ | 23,460 |
|
| $ | 15,587 |
|
Provision for loan losses | (1) |
|
| 122 |
|
| 246 |
|
| 217 |
|
| 154 |
|
| 584 |
|
| 771 |
| |||||||
Noninterest income | 10,689 |
|
| 12,097 |
|
| 13,889 |
|
| 11,585 |
|
| 9,090 |
|
| 48,260 |
|
| 44,913 |
| |||||||
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Salaries and employee benefits | 10,802 |
|
| 10,061 |
|
| 10,864 |
|
| 7,742 |
|
| 8,225 |
|
| 39,469 |
|
| 32,996 |
| |||||||
Occupancy and equipment expenses | 684 |
|
| 618 |
|
| 545 |
|
| 593 |
|
| 533 |
|
| 2,440 |
|
| 2,217 |
| |||||||
Data processing and telecommunications expenses | 306 |
|
| 347 |
|
| 383 |
|
| 389 |
|
| 429 |
|
| 1,425 |
|
| 1,611 |
| |||||||
Other noninterest expenses | 1,661 |
|
| 1,828 |
|
| 1,778 |
|
| 1,731 |
|
| 1,230 |
|
| 6,998 |
|
| 4,260 |
| |||||||
Total noninterest expense | 13,453 |
|
| 12,854 |
|
| 13,570 |
|
| 10,455 |
|
| 10,417 |
|
| 50,332 |
|
| 41,084 |
| |||||||
Income before income tax expense | 5,110 |
|
| 4,665 |
|
| 5,119 |
|
| 5,910 |
|
| 3,395 |
|
| 20,804 |
|
| 18,645 |
| |||||||
Income tax expense | 1,073 |
|
| 943 |
|
| 1,075 |
|
| 1,244 |
|
| 1,189 |
|
| 4,335 |
|
| 6,526 |
| |||||||
Net income | $ | 4,037 |
|
| $ | 3,722 |
|
| $ | 4,044 |
|
| $ | 4,666 |
|
| $ | 2,206 |
|
| $ | 16,469 |
|
| $ | 12,119 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Warehouse Lending Division |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | $ | 2,438 |
|
| $ | 2,469 |
|
| $ | 2,326 |
|
| $ | 1,855 |
|
| $ | 1,983 |
|
| $ | 9,088 |
|
| $ | 5,877 |
|
Provision for loan losses | — |
|
| — |
|
| — |
|
| — |
|
| 27 |
|
| — |
|
| 186 |
| |||||||
Noninterest income | 386 |
|
| 503 |
|
| 735 |
|
| 397 |
|
| 399 |
|
| 2,021 |
|
| 1,739 |
| |||||||
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Salaries and employee benefits | 145 |
|
| 136 |
|
| 128 |
|
| 138 |
|
| 127 |
|
| 547 |
|
| 530 |
| |||||||
Occupancy and equipment expenses | — |
|
| 2 |
|
| — |
|
| — |
|
| 1 |
|
| 2 |
|
| 4 |
| |||||||
Data processing and telecommunications expenses | 29 |
|
| 30 |
|
| 30 |
|
| 33 |
|
| 18 |
|
| 122 |
|
| 98 |
| |||||||
Other noninterest expenses | 62 |
|
| 69 |
|
| 55 |
|
| 52 |
|
| 26 |
|
| 238 |
|
| 163 |
| |||||||
Total noninterest expense | 236 |
|
| 237 |
|
| 213 |
|
| 223 |
|
| 172 |
|
| 909 |
|
| 795 |
| |||||||
Income before income tax expense | 2,588 |
|
| 2,735 |
|
| 2,848 |
|
| 2,029 |
|
| 2,183 |
|
| 10,200 |
|
| 6,635 |
| |||||||
Income tax expense | 544 |
|
| 574 |
|
| 598 |
|
| 426 |
|
| 763 |
|
| 2,142 |
|
| 2,322 |
| |||||||
Net income | $ | 2,044 |
|
| $ | 2,161 |
|
| $ | 2,250 |
|
| $ | 1,603 |
|
| $ | 1,420 |
|
| $ | 8,058 |
|
| $ | 4,313 |
|
AMERIS BANCORP AND SUBSIDIARIES | |||||||||||||||||||||||||||
FINANCIAL TABLES | |||||||||||||||||||||||||||
| |||||||||||||||||||||||||||
Segment Reporting (continued) |
|
|
|
|
|
|
|
|
|
| Table 10 | ||||||||||||||||
| Three Months Ended |
| Year Ended | ||||||||||||||||||||||||
| Dec |
| Sep |
| Jun |
| Mar |
| Dec |
| Dec |
| Dec | ||||||||||||||
(dollars in thousands) | 2018 |
| 2018 |
| 2018 |
| 2018 |
| 2017 |
| 2018 |
| 2017 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
SBA Division |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | $ | 1,352 |
|
| $ | 1,459 |
|
| $ | 1,320 |
|
| $ | 924 |
|
| $ | 971 |
|
| $ | 5,055 |
|
| $ | 3,744 |
|
Provision for loan losses | 112 |
|
| 41 |
|
| 447 |
|
| 537 |
|
| (209) |
|
| 1,137 |
|
| (111) |
| |||||||
Noninterest income | 1,094 |
|
| 1,045 |
|
| 1,349 |
|
| 1,370 |
|
| 1,614 |
|
| 4,858 |
|
| 6,277 |
| |||||||
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Salaries and employee benefits | 712 |
|
| 682 |
|
| 736 |
|
| 740 |
|
| 787 |
|
| 2,870 |
|
| 3,126 |
| |||||||
Occupancy and equipment expenses | 63 |
|
| 58 |
|
| 55 |
|
| 58 |
|
| 56 |
|
| 234 |
|
| 215 |
| |||||||
Data processing and telecommunications expenses | — |
|
| 1 |
|
| 9 |
|
| 9 |
|
| 9 |
|
| 19 |
|
| 21 |
| |||||||
Other noninterest expenses | 401 |
|
| 210 |
|
| 290 |
|
| 236 |
|
| 205 |
|
| 1,137 |
|
| 738 |
| |||||||
Total noninterest expense | 1,176 |
|
| 951 |
|
| 1,090 |
|
| 1,043 |
|
| 1,057 |
|
| 4,260 |
|
| 4,100 |
| |||||||
Income before income tax expense | 1,158 |
|
| 1,512 |
|
| 1,132 |
|
| 714 |
|
| 1,737 |
|
| 4,516 |
|
| 6,032 |
| |||||||
Income tax expense | 243 |
|
| 317 |
|
| 238 |
|
| 150 |
|
| 608 |
|
| 948 |
|
| 2,111 |
| |||||||
Net income | $ | 915 |
|
| $ | 1,195 |
|
| $ | 894 |
|
| $ | 564 |
|
| $ | 1,129 |
|
| $ | 3,568 |
|
| $ | 3,921 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Premium Finance Division |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | $ | 3,492 |
|
| $ | 5,525 |
|
| $ | 5,548 |
|
| $ | 5,666 |
|
| $ | 6,500 |
|
| $ | 20,231 |
|
| $ | 24,198 |
|
Provision for loan losses | 1,947 |
|
| 703 |
|
| 7,651 |
|
| 159 |
|
| 287 |
|
| 10,460 |
|
| 731 |
| |||||||
Noninterest income | 2,517 |
|
| 2 |
|
| 2,047 |
|
| 13 |
|
| 18 |
|
| 4,579 |
|
| 112 |
| |||||||
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Salaries and employee benefits | 1,441 |
|
| 1,447 |
|
| 1,402 |
|
| 1,401 |
|
| 1,268 |
|
| 5,691 |
|
| 4,507 |
| |||||||
Occupancy and equipment expenses | 118 |
|
| 49 |
|
| 106 |
|
| 70 |
|
| 52 |
|
| 343 |
|
| 197 |
| |||||||
Data processing and telecommunications expenses | 436 |
|
| 551 |
|
| 406 |
|
| 400 |
|
| 364 |
|
| 1,793 |
|
| 962 |
| |||||||
Other noninterest expenses | 1,156 |
|
| 1,223 |
|
| 1,721 |
|
| 577 |
|
| 2,303 |
|
| 4,677 |
|
| 8,629 |
| |||||||
Total noninterest expense | 3,151 |
|
| 3,270 |
|
| 3,635 |
|
| 2,448 |
|
| 3,987 |
|
| 12,504 |
|
| 14,295 |
| |||||||
Income before income tax expense | 911 |
|
| 1,554 |
|
| (3,691) |
|
| 3,072 |
|
| 2,244 |
|
| 1,846 |
|
| 9,284 |
| |||||||
Income tax expense | (336) |
|
| 327 |
|
| (1,204) |
|
| 644 |
|
| 786 |
|
| (569) |
|
| 3,257 |
| |||||||
Net income | $ | 1,247 |
|
| $ | 1,227 |
|
| $ | (2,487) |
|
| $ | 2,428 |
|
| $ | 1,458 |
|
| $ | 2,415 |
|
| $ | 6,027 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Total Consolidated |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Net interest income | $ | 99,554 |
|
| $ | 99,038 |
|
| $ | 75,999 |
|
| $ | 68,801 |
|
| $ | 69,523 |
|
| $ | 343,392 |
|
| $ | 260,125 |
|
Provision for loan losses | 3,661 |
|
| 2,095 |
|
| 9,110 |
|
| 1,801 |
|
| 2,536 |
|
| 16,667 |
|
| 8,364 |
| |||||||
Noninterest income | 30,470 |
|
| 30,171 |
|
| 31,307 |
|
| 26,464 |
|
| 23,563 |
|
| 118,412 |
|
| 104,457 |
| |||||||
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||||||||||
Salaries and employee benefits | 38,982 |
|
| 38,446 |
|
| 39,776 |
|
| 32,089 |
|
| 30,507 |
|
| 149,293 |
|
| 120,016 |
| |||||||
Occupancy and equipment expenses | 7,945 |
|
| 8,598 |
|
| 6,390 |
|
| 6,198 |
|
| 6,010 |
|
| 29,131 |
|
| 24,069 |
| |||||||
Data processing and telecommunications expenses | 8,293 |
|
| 8,518 |
|
| 6,439 |
|
| 7,135 |
|
| 7,219 |
|
| 30,385 |
|
| 27,869 |
| |||||||
Other noninterest expenses | 20,590 |
|
| 16,791 |
|
| 33,781 |
|
| 13,676 |
|
| 15,601 |
|
| 84,838 |
|
| 59,982 |
| |||||||
Total noninterest expense | 75,810 |
|
| 72,353 |
|
| 86,386 |
|
| 59,098 |
|
| 59,337 |
|
| 293,647 |
|
| 231,936 |
| |||||||
Income before income tax expense | 50,553 |
|
| 54,761 |
|
| 11,810 |
|
| 34,366 |
|
| 31,213 |
|
| 151,490 |
|
| 124,282 |
| |||||||
Income tax expense | 7,017 |
|
| 13,317 |
|
| 2,423 |
|
| 7,706 |
|
| 22,063 |
|
| 30,463 |
|
| 50,734 |
| |||||||
Net income | $ | 43,536 |
|
| $ | 41,444 |
|
| $ | 9,387 |
|
| $ | 26,660 |
|
| $ | 9,150 |
|
| $ | 121,027 |
|
| $ | 73,548 |
|
CONTACT: Nicole S. Stokes, Executive Vice President and CFO, (904) 486-7214
Exhibit 99.2
Ameris Bancorp 4 th Quarter 2018 Results Investor Presentation
This presentation contains forward - looking statements, as defined by federal securities laws, including, among other forward - looking statements, certain plans, expectations and goals, and including statements about the benefits of the proposed merger between Ameris Bancorp (“Ameris”) and Fidelity Southern Corporation (“Fidelity”). Words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “estimate,” “predict,” “continue” and “potential” or the negative of these terms or other comparable terminology, as well as similar expressions, are meant to identify forward - looking statements. The forward - looking statements in this presentation are based on current expectations and are provided to assist in the understanding of potential future performance. Such forward - looking statements involve numerous assumptions, risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements. Factors that could cause or contribute to such differences include, without limitation, the following: the parties’ ability to consummate the proposed merger or satisfy the conditions to the completion of the proposed merger, including, without limitation, the receipt of required shareholder and regulatory approvals, on the terms expected or on the anticipated schedule; the parties’ ability to meet expectations regarding the timing, completion and accounting and tax treatments of the proposed merger; the businesses of Ameris and Fidelity may not be integrated successfully or such integration may take longer to accomplish than expected; the expected cost savings and any revenue synergies from the proposed merger may not be fully realized within the expected timeframes; disruption from the proposed merger may make it more difficult to maintain relationships with customers, employees or others; diversion of management time to merger - related issues; dilution caused by Ameris’s issuance of additional shares of its common stock in connection with the proposed merger; general competitive, economic, political and market conditions and fluctuations, including, without limitation, movements in interest rates; competitive pressures on product pricing and services; and success and timing of other business strategies. For a discussion of some of the other risks and other factors that may cause such forward - looking statements to differ materially from actual results, please refer to Ameris’s and Fidelity’s filings with the Securities and Exchange Commission (the “SEC”), including Ameris’s Annual Report on Form 10 - K for the year ended December 31, 2017 and its subsequently filed Quarterly Reports on Form 10 - Q and Current Reports on Form 8 - K, and Fidelity’s Annual Report on Form 10 - K for the year ended December 31, 2017 and its subsequently filed Quarterly Reports on Form 10 - Q and Current Reports on Form 8 - K. Forward - looking statements speak only as of the date they are made, and neither Ameris nor Fidelity undertakes any obligation to update or revise forward - looking statements. Cautionary Statements 1
Additional Information and Where to Find It Ameris intends to file a registration statement on Form S - 4 with the SEC to register the shares of Ameris common stock that will be issued to Fidelity’s shareholders in connection with the proposed merger transaction. The registration statement will include a joint proxy statement/prospectus and other relevant materials in connection with the transaction. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE JOINT PROXY STATEMENT/PROSPECTUS REGARDING THE MERGER AND ANY OTHER RELEVANT DOCUMENTS CAREFULLY IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE MERGER. Investors and security holders may obtain free copies of these documents and other documents filed with the SEC on its website at http://www.sec.gov. Investors and security holders may also obtain free copies of the documents filed with the SEC by Ameris on its website at http://www.AmerisBank.com and by Fidelity on its website at www.FidelitySouthern.com. This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities or a solicitation of any vote or approval. Before making any voting or investment decision, investors and security holders of Ameris and Fidelity are urged to read carefully the entire registration statement and joint proxy statement/prospectus when they become available, including any amendments thereto, because they will contain important information about the proposed merger transaction. Free copies of these documents may be obtained as described above. Participants in the Merger Solicitation Ameris and Fidelity, and certain of their respective directors, executive officers and other members of management and employees, may be deemed to be participants in the solicitation of proxies from Ameris’s shareholders and Fidelity’s shareholders in respect of the proposed merger transaction. Information regarding the directors and executive officers of Ameris and Fidelity and other persons who may be deemed participants in the solicitation of Ameris’s shareholders and Fidelity’s shareholders will be included in the joint proxy statement/prospectus for Ameris’s meeting of shareholders and Fidelity’s meeting of shareholders, which will be filed by Ameris with the SEC. Information about Ameris’s directors and executive officers and their ownership of Ameris common stock can also be found in Ameris’s definitive proxy statement in connection with its 2018 annual meeting of shareholders, as filed with the SEC on April 2, 2018, and other documents subsequently filed by Ameris with the SEC. Information about Fidelity’s directors and executive officers and their ownership of Fidelity common stock can also be found in Fidelity’s definitive proxy statement in connection with its 2018 annual meeting of shareholders, as filed with the SEC on April 3, 2018, and other documents subsequently filed by Fidelity with the SEC. Additional information regarding the interests of such participants will be included in the joint proxy statement/prospectus and other relevant documents regarding the proposed merger transaction filed with the SEC when they become available. Additional Information 2
• Focused management team on producing top quartile results ( 1 . 61 % Adjusted ROA + 20 . 95 % Adjusted ROTCE in 4 Q 2018 ) • Managed zero rate sensitivity in 2018 vs . 2017 despite 46 % growth in total assets and intense pressure on deposit costs • Strong, attractive Southeastern markets and attractive LOBs give us the ability to safely grow at a rapid pace • Multiple earnings catalysts announced and implemented for 2019 earnings goals • Growth prospects for TBV and Capital levels are very attractive . Consensus TBV at Dec 2019 is $ 22 . 52 per share, an increase of 20 % • CRE concentrations are moderate and forecasted to decline . Favorable ratios give the company room to grow in 2019 The Ameris Bancorp Story Top of Class Operating Results Leader in M&A in the Southeast • Recently announced acquisition of Fidelity Southern Corporation (LION), which will increase assets by $ 4 . 7 billion • Safe M&A strategy for our investors - Willing to pass on deals that do not fit our proven financial equation, to include meaningful EPS accretion, simple and reliable strategies that deliver promised economics to our top of class operating results • Successfully integrating acquisitions, including 3 deals in 2018 with $ 3 . 3 billion in new assets 3
Clear Path to Future Increase in EPS Confidence in 2019 financial expectations: • Maintain margin through funding expertise, capacity and better mix • Double - digit balance sheet growth in strong economic times; able to dial back if necessary in downturns to protect credit and balance sheet • Reliable and profitable growth in all segments of loan production • $20 million of operating efficiencies announced (to include data processing, branch realignment, etc.) • Growing pipelines in Orlando and Atlanta as 2018 acquisitions should provide additional growth 4
Investment Rationale Organic Growth Opportunities • Top quartile return on assets (> 1 . 60 % in 4 Q 18 ) • Strong ROTCE’s that support organic and M&A growth (over 20 % in 4 Q 18 ) • Efficiency ratio below 55 % with catalysts that are expected to drive us to 50 % over next 12 months Operating Performance Valuation • Material discount on earnings relative to Southeastern peer group suggests material upside and rare buying opportunity : – Current Price of $ 35 . 54 ( 1 ) is 8 . 5 x consensus estimates – Price to TBV of 1 . 89 x ; Price to consensus EOY 2019 TBV of 1 . 59 x – Expansion in multiples is likely as 2019 financial results and earnings are realized ( 1 ) Most recent closing price on January 22 , 2019 • Organic diversified growth opportunities while protecting credit in an economic downturn • Recently merged teams have settled into the Ameris culture and are gaining momentum • Competition for deposits is brisk ; however, we have out - paced our peer group while preserving our margin and managing deposit betas 5
2018 Financial Results
Earnings Summary – Adjusted Basis 6 Quarter to Date Results Year To Date Results 4Q 18 4Q 17 Change 2018 2017 Change Adjusted Earnings $ 45,897 $ 23,590 95% $ 146,208 $ 92,271 58% Adjusted Earnings Per Share $ 0.96 $ 0.63 52% $ 3.38 $ 2.48 36% Adjusted Return on Assets 1.61% 1.20% 34% 1.50% 1.26% 19% Adjusted Return on TCE 20.95% 13.91% 51% 19.18% 14.66% 31% NIM (net of accretion) 3.75% 3.82% - 2% 3.79% 3.79% - % Adjusted Efficiency Ratio 54.10% 60.88% - 11% 56.19% 60.27% - 7% Adjusted Net Overhead Ratio 1.42% 1.77% - 20% 1.47% 1.63% - 10%
4Q 2018 Operating Highlights • Growth in adjusted net earnings of 94.6% compared with 4Q 2017 • Adjusted efficiency ratio of 54.10% compared with 54.42% in 3Q18 and 60.88% in 4Q17 • Adjusted ROA of 1.61%, compared with 1.53% in 3Q18 and 1.20% in 4Q17 • Adjusted ROTCE of 20.95%, compared with 20.50% in 3Q18 and 13.91% in 4Q17 • Net Interest Margin (excluding accretion) of 3.75%, compared with 3.77% in 3Q18 • Total revenue of $130.0 million, growth of 39.7% compared with 4Q 2017 • Increase in TBV of $1.05 per share to $18.83 per share compared with $17.78 at the end of 3Q 2018 (Includes dividends and OCI impact) 7
2018 YTD Operating Highlights • Growth in adjusted net earnings of 58.5% compared with 2017 • Adjusted efficiency ratio of 56.19% during 2018, compared with 60.27% in 2017 • Year - over - year organic growth in noninterest bearing deposits of $183.5 million, or 10.3% • Adjusted ROA and ROTCE of 1.50% and 19.18%, compared with 1.26% and 14.66%, respectively, in 2017 • Stable net interest margin (excluding accretion) of 3.79% • Total revenue of $461.8 million, growth of 26.7% compared with 2017 • Legacy non - performing assets declined to 0.26% of total assets, compared with 0.36% at December 31, 2017 8
Operating Highlights (1) Asset growth is materially impacted in 2Q18 by the acquisitions of Atlantic Coast Bank and Hamilton State Bank (2) Core operating expenses exclude merger related charges, Executive retirement costs, restructuring charges, compliance resolution costs, financial impact of hurricanes and loss on sale of premises (3) Operating efficiency ratio is Core Operating Expenses divided by Net Interest Income (TE) and Non - Interest Income, excluding gain/loss on securities 9 For the quarter For the year to date period 4Q18 4Q17 2018 2017 Asset Growth (1) 14,521 206,383 3,587,312 964,172 Asset Growth Rate 0.51% 10.79% 45.66% 13.99% Organic Loan Growth (7,711) 138,216 482,613 940,971 Organic Loan Growth Rate - 0.38% 10.13% 8.48% 20.29% Total Revenue 130,024 93,086 461,804 364,582 Total Revenue Growth 39.68% 14.14% 26.67% 12.12% Core Operating Expenses (2) 70,922 58,174 261,826 224,184 Core OPEX Growth 21.91% 20.00% 16.79% 10.59% Operating Efficiency (3) 54.10% 60.88% 56.19% 60.27% Legacy NPAs / Assets 0.26% 0.36% Credit Related Costs 4,835 3,150 20,683 11,857
Total Revenue Spread Revenues • $2.10 billion, or 31.1%, growth in average year - to - date earning assets over 2017 • Stable margin despite strong growth and competitive rate environment. Margin (excluding accretion) of 3.79% in 2018 and 2017 Non - Interest Income • Mortgage revenue – increased $2.8 million, or 5.7%, in 2018 compared with 2017. Production increased 17.9% and offset the reduced gain on sale margins • Service charges – increased $4.1 million, or 9.7%, in 2018, compared with 2017, due to recent acquisitions and competitive service charge routines • SBA revenues – decreased 1.1% over 2017 due to decreased premium on sale. Production increased 19.2% to offset the reduced gain on sale and some loans were placed in portfolio until gain on sale margins improve 10
Net Interest Margin Spread Income and Margin supported by: • Growth in year - to - date average earning assets of $2.10 billion, or 31.1%, compared with 2017 • Margin (excluding accretion) lower by 2bps in the fourth quarter due to higher deposit costs. – Loan yields (excluding accretion) improved by 5bps – Deposit costs increased by 10bps Accretion income a small part of our revenues: • 2.6% of revenue in YTD 2018 • 2.9% of revenue in YTD 2017 • 4.3% of revenue in YTD 2016 Stable margins over the entire rate cycle. Loan Production Details Period Fixed Rate Variable Rate Total 4Q18 234.5 5.40% 370.3 5.96% 604.9 5.74% 3Q18 201.2 5.37% 266.3 5.62% 467.5 5.51% 2Q18 218.7 5.38% 220.6 5.55% 439.3 5.46% $56.0 $59.3 $61.9 $65.9 $69.4 $68.3 $74.3 $96.5 $96.6 3.73% 3.79% 3.77% 3.80% 3.82% 3.84% 3.81% 3.77% 3.75% 3.00% 3.50% 4.00% 4.50% 5.00% $20.0 $30.0 $40.0 $50.0 $60.0 $70.0 $80.0 $90.0 $100.0 4Q 16 1Q 17 2Q 17 3Q 17 4Q17 1Q18 2Q18 3Q18 4Q18 Net Interest Income (TE) before Accretion (in millions) 11
Expenses – 4Q18 • As expected, decline in 4 Q 18 core operating expenses at the Bank due to final realization of cost savings from Hamilton acquisition • Slight increase in 4 Q 18 core operating expenses in the lines of business as we hired additional mortgage bankers in our retail mortgage division • Continue to drive expense control behaviors throughout the Company and look for efficiencies in our administrative functions • Substantially all the increase in adjusted operating expenses during 2018 is related to compensation and occupancy costs from increased branch locations from recent acquisitions : – $ 13 . 3 million operating expenses related to Hamilton acquisition – $ 5 . 6 million increase in intangible amortization due to acquisitions 1 – Adjusted operating expenses exclude merger and conversion costs, executive retirement benefits, restructuring charges related to branch consolidation plan, compliance resolution expenses, financial impact of hurricanes and loss on sale of premises. OPEX Highlights: Steady, Adjusted Operating Expenses (1) 12 $14.4 $16.6 $15.6 $14.2 $18.5 $17.3 $18.0 $40.8 $41.9 $42.5 $43.5 $43.8 $53.6 $52.9 0.0 25.0 50.0 75.0 100.0 2Q 17 3Q 17 4Q 17 1Q 18 2Q 18 3Q 18 4Q18 Core Operating Expenses (in millions) LOBs Bank
Capital and TBV – 4Q18 • Historically, consistent growth in TBV • TBV increased $1.05 in 4Q18 Consistent Growth in TBV • TCE / TA at quarter end of 8.22%, up from 7.77% at end of 3Q18 • Excluding OCI changes, expect 20bps of TCE growth per quarter • 4Q 2018 Adjusted ROTCE of 20.95% • Normalized ROTCE in the range of 17% - 19% for 2019 Steady Capital Levels Support Growth Rate 13 $16.60 $17.24 $17.78 $17.86 $16.90 $17.12 $17.78 $18.83 $22.52 $10.0 $12.5 $15.0 $17.5 $20.0 $22.5 $25.0 1Q 17 2Q 17 3Q 17 4Q 17 1Q 18 2Q18 3Q18 4Q18 Proj 4Q19 Tangible Book Value Projected TBV uses consensus estimates less $0.40 per year of common dividends.
Credit Quality and Loan Diversification
Diversified Loan Portfolio YE2018 Loan Portfolio • Largest category of loans < 23% of total – well diversified Mortgage loans & HELOCs • Participations purchased < 1% of total loans • Average loan size = $81,000 (all loan types) • Only 10.4% of total loans in Construction or A&D • CRE and C&D concentrations are 250% and 78%, respectively at YE18 • Credit Admin Management consists of CCO, SCO and six Regional Credit Officers. Collectively, they have 70 years with Ameris and 256 years of banking experience • Additional credit support teams specifically for RRE construction management, CRE underwriting, agriculture lending and municipal loans. 14 Agriculture 2.4% C&I 16.8% Municipal 7.0% Consumer 5.6% Investor CRE 18.7% Owner Occupied CRE 12.2% AC&D 10.4% Multi - Family 4.5% Residential 22.6%
Portfolio Changes Since 2008 Loan Portfolio - 2008 Loan Portfolio - 2018 • New SFR Mortgage loans primarily retail production from Mortgage Division, which underwrites to Secondary Market standards • Greater diversification in C&I, Municipal and Consumer loans • Concentration of AC&D loans approximately one - half of YE08 level • Ratio of land/lots vs construction improved from 51/49 at YE08 to 22/78 in YE18 15 Agriculture 9.1% C&I 8.3% Municipal 0.7% Consumer 3.1% Investor CRE 17.5% Owner Occupied CRE 15.8% AC&D 20.2% Multi - Family 2.2% SFR Mortgage 23.3% Agriculture 2.4% C&I 16.8% Municipal 7.0% Consumer 5.6% Investor CRE 18.7% Owner Occupied CRE 12.2% AC&D 10.4% Multi - Family 4.5% SFR Mortgage 22.6%
Diversified Loan Portfolio 16 Relationship Groupings Total Committed Exposure (MM's) % of Total Portfolio Top 25 Relationships 819.6 $ 13.7% Top 50 Relationships 1,351.6 $ 22.6% Top 100 Relationships 2,076.6 $ 34.7% Top 250 Relationships 3,242.7 $ 54.1% Top 300 Relationships 3,493.0 $ 58.3% Individual Groupings Total Committed Exposure (MM's) Largest Relationship 49.4 $ 10th Largest 34.0 $ 50th Largest 18.3 $ 100th Largest 11.9 $ 200th Largest 6.5 $ 300th Largest 4.6 $ $49.4 $18.3 $11.9 $8.7 $6.5 $5.4 $4.6 $ - $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 1 50 100 150 200 250 300 Relative Size of our Top 300 Relationships (MM’s)
Non - Performing Asset Trend • Non - Performing Assets have decreased from $87.6 million at YE14 to $63.0 million at YE18 (28% reduction) • Ameris has completed five acquisitions since YE14, resulting in an increase in Total Assets from $4.0B to $11.4B • As a % of Total Assets, NPAs declined from 2.17% at YE14 to 0.55% at YE18 17 2.00% 2.17% 1.09% 0.85% 0.68% 0.55% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% $ - $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 $70.0 $80.0 $90.0 $100.0 2013 2014 2015 2016 2017 2018 NPL - Legacy NPL - Purchased NPL - 90+ DPD OREO - Legacy OREO - Purchased NPA / Total Assets
Investor CRE Loans • 60% of CRE assets are concentrated in Atlanta, Jacksonville, Orlando, Tampa, Tallahassee, Columbia, Savannah and Charleston MSAs • At YE18, Past Due and Nonaccrual loans totaled 8 bps and 31 bps, respectively. 18 Investor CRE 18.7% AC&D 10.4% Multi - Family 4.5% Loan Type Outstanding Balance (in millions) % Nonaccruing Loans % PD (>30 DPD Accruing) Avg Loan Size (in thousands) Office $ 519.4 0.06% 0.01% $ 1,105.1 Multi - Family $ 382.9 0.09% 0.00% $ 1,772.7 Retail (inc Single - Tenant) $ 349.0 0.20% 0.06% $ 782.5 Warehouse / Industrial $ 289.4 0.06% 0.03% $ 890.3 Hotels / Motels $ 248.5 0.10% 0.00% $ 2,053.8 Strip Center, Non - Anchored $ 204.5 0.00% 0.00% $ 1,649.5 Strip Center, Anchored $ 204.0 0.00% 0.00% $ 3,290.6 RRE Construction - Spec $ 176.6 0.00% 0.02% $ 204.9 RRE Construction - Pre - Sold $ 142.4 0.00% 0.49% $ 204.3 Misc CRE (ALF, Church, etc) $ 135.4 0.00% 0.19% $ 1,611.7 All Other Types $ 206.4 3.42% 0.45% $ 159.1 $ 2,858.5 0.31% 0.08% $ 607.7
• Largest segment is US Premium Finance at $420.9 million • 2018 production = $1.0 billion • Weighted avg down payment = 19.6% • Weighted avg # installments = 9.7 • Remaining agency loans = $13.2 million • Mortgage Warehouse Division funded $4.5 billion of loans in 2018 – 29% increase over 2017 • Total approved guidance lines = $709.0 million • Average days on line = 17 days • No losses in 2017 or 2018 • Corporate Finance Group total commitments = $143.6 million • Provides LOCs to Auto - and Consumer - Finance Companies C & I Loans Lending Division Balance (in millions) % Portfolio % Nonaccruing Average Loan Size (in thousands) US Premium Finance $420.9 29.5% 0.88% $14.8 Mortgage Warehouse / MSR $369.9 25.9% 0.00% $368.0 Ameris Equipment Finance $145.5 10.2% 0.00% $400.0 Corporate Finance Group $117.9 8.3% 0.00% $3,461.3 Other C&I Loans $373.7 26.2% 0.56% $104.0 Totals $1,427.9 0.35% 19 C&I Loans 16.8%
Mortgage Loans • Portfolio Loans consist of: • Legacy - $812.3 million • Mortgage division - $685.4 million • Purchase mortgage pools - $262.6 million • Home Equity LOCs - $172.3 million • Mortgage division production is underwritten to secondary market standards. Originations in second half of 2018 are as follows: • Total net charge - offs in mortgage division in 2018 was $222,000, or 3 basis points. • There have been no charge - offs on any purchased pool. 3Q18 4Q18 Net Production $44.4MM $94.1MM Avg DTI 35.9% 36.1% Avg LTV 81.1% 81.1% Avg FICO 726 725 Overall Past Due 2.71% 2.07% Overall Non - Performing 1.10% 0.41% 20 SFR Mortgage 22.6%
Update on Acquisition of Fidelity Southern Corporation
2018 Acquisitions Update • Fidelity Southern Corporation – Announced pending merger on December 17, 2018 – Expected to close in the 2 nd Quarter of 2019, pending regulatory and shareholder approvals • Atlantic Coast Financial Corporation (“Atlantic”) – Forecasted $14.1 million of cost saves; Identified and realized $15.7 million – Merger and data conversion completed in 2Q18 – Customer base is stable and employees are focused on growing customer relationships in Jacksonville, Tampa and Orlando – Added $873.9 million in total assets, $755.7 million in loans and $585.2 million in total deposits – Issued 2,631,520 shares of Ameris common stock at a value on the closing date of $147.8 million • Hamilton State Bancshares, Inc. (“Hamilton”) – Forecasted $14.5 million of cost saves; Identified and realized $15.3 million – Merger completed in 2Q18; Data conversion completed 4Q18 – Added $1.8 billion in total assets, $1.3 billion in loans and $1.6 billion in total deposits – Issued 6,548,385 shares of Ameris common stock at a value on the closing date of $349.4 million 21
Combined Leadership Strength The acquisition of Fidelity Southern Corporation strengthens our leadership: • Combined bank will be led by Dennis Zember and Palmer Proctor – Dennis J. Zember Jr. – Vice Chairman and CEO, Ameris Bancorp – H. Palmer Proctor Jr. – President, Ameris Bancorp / CEO, Ameris Bank – Lawton E. Bassett, III – President, Ameris Bank – Nicole S. Stokes – CFO, Ameris Bancorp / Ameris Bank – Remaining executive team of ABCB stays the same • Combined board will have 14 members – 9ABCB / 5 LION – James B. Miller Jr. – Executive Chairman – Daniel B. Jeter – Lead Independent Director • Headquarters – Executive Offices in Jacksonville, Florida – Ameris Bank Charter in Atlanta, Georgia 22
Transaction Rationale of Fidelity Merger • Strategic Rationale – Extremely valuable low - cost core deposit base, 25% less expensive than Ameris Bank’s – Reinforces our position as the premier banking franchise in the Southeast with one of the most recognizable brands – Further de - risks our balance sheet with core funding and a loan portfolio that outperformed in past down cycles • Financially Attractive – Mid single digit accretion with fully phased in cost saves – Less than 3% dilution to tangible book value per share earned back within approximately 2.5 years – Pro forma capital ratios remain “well - capitalized” – Revenue synergies identified but not included • Low Risk – Thorough due diligence process – Significant work already underway on integration planning – Management collaboration and continuity helps to lower execution risk – Economics achieved through balance sheet restructure and cost savings, both areas where we have had success 23
Proforma Company with Fidelity 24 Pro Forma Footprint Pro Forma Financial Highlights Pro Forma Deposits by Region Atlanta MSA 36% Florida 27% Other 37% 75 85 85 75 20 16 95 10 75 4 95 Note: Data as of or for the three months ended September 30, 2018. (1) Excludes purchase accounting adjustments. (2) Calculated using ABCB closing stock price of $34.02 as of December 14, 2018. Source: S&P Global Market Intelligence. ABCB Branches (125) LION Branches (70) Assets $16.2 B Loans 12.7 Deposits 13.2 Branches 195 Market Cap $2.5 B
Proforma Loan Portfolio with Fidelity Ameris Bank Fidelity Bank Combined Bank 25 Agriculture 0.1% C&I 5.6% Municipal , 0.0% Consumer 42.7% Investor CRE 10.8% Owner Occupied CRE 10.9% AC&D 8.8% Multi - Family 1.0% SFR Mortgage 20.1% Agriculture 1.7% C&I 13.4% Municipal 4.9% Consumer 16.8% Investor CRE 17.1% Owner Occupied CRE 11.8% AC&D 9.9% Multi - Family 2.6% SFR Mortgage 21.9% Agriculture 2.4% C&I 16.8% Municipal 7.0% Consumer 5.6% Investor CRE 18.7% Owner Occupied CRE 12.2% AC&D 10.4% Multi - Family 4.5% SPF Mortgage 22.6%
Future Benefits of Fidelity Merger • Strongest community bank in our home markets • Concentrated deposits in top Atlanta market • Well diversified loan portfolio with lower CRE concentrations • Substantial mortgage opportunity and #1 provider of RRE construction loans in Atlanta MSA • Restructure of balance sheet expected to generate additional capital • Combined, we will have the most recognizable community banking franchise in the Southeast • Combined balance sheet will be better positioned for the future than either on a standalone basis 26
Ameris Bancorp Press Release & Financial Highlights December 31, 2018
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