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Parent Company Only Condensed Financial Information
 12 Months Ended
Dec. 31, 2019
Condensed Financial Information Disclosure [Abstract]  
Parent Company Only Condensed Financial Information
Parent Company Only Condensed Financial Information
The condensed balance sheets of SVB Financial at December 31, 2019 and 2018, and the related condensed statements of income, comprehensive income and cash flows for 2019, 2018 and 2017, are presented below:
Condensed Balance Sheets
 
 
December 31,
(Dollars in thousands)
 
2019
 
2018
Assets:
 
 
 
 
Cash and cash equivalents
 
$
800,926

 
$
553,049

Investment securities
 
474,842

 
510,836

Loans, net of unearned income
 
15,245

 
—

Lease right-of-use assets
 
71,847

 
—

Other assets
 
214,167

 
204,301

Investment in subsidiaries:
 
 
 
 
   Bank subsidiary
 
5,034,095

 
4,554,813

   Nonbank subsidiaries
 
432,073

 
116,968

Total assets
 
$
7,043,195

 
$
5,939,967

 
 
 
 
 
Liabilities and SVBFG stockholders’ equity:
 
 
 
 
3.50% Senior Notes
 
$
347,987

 
$
347,639

5.375% Senior Notes
 
—

 
348,826

Lease liabilities
 
87,999

 
—

Other liabilities
 
136,903

 
127,293

Total liabilities
 
$
572,889

 
$
823,758

SVBFG stockholders’ equity
 
6,470,306

 
5,116,209

Total liabilities and SVBFG stockholders’ equity
 
$
7,043,195

 
$
5,939,967


Condensed Statements of Income
 
 
Year ended December 31,
(Dollars in thousands)
 
2019

2018

2017
Interest income
 
$
4,473

 
$
3,307

 
$
2,077

Interest expense
 
(31,666
)
 
(32,037
)
 
(34,932
)
Dividend income from bank subsidiary
 
733,000

 
140,000

 
90,000

Gains on equity warrant assets, net
 
138,078

 
89,142

 
54,555

Gains on investment securities, net
 
45,345

 
13,546

 
37,132

Fund management fees and other noninterest income
 
21,567

 
26,388

 
24,613

General and administrative expenses
 
(94,712
)
 
(70,976
)
 
(63,077
)
Income tax (expense) benefit
 
(40,218
)
 
(14,383
)
 
10,367

Income before net income of subsidiaries
 
775,867

 
154,987

 
120,735

Equity in undistributed net income of bank subsidiary
 
303,618

 
793,641

 
356,769

Equity in undistributed net income of nonbank subsidiaries
 
57,371

 
25,212

 
13,002

Net income available to common stockholders
 
$
1,136,856

 
$
973,840

 
$
490,506



Condensed Statements of Comprehensive Income
 
 
Year ended December 31,
(Dollars in thousands)
 
2019
 
2018
 
2017
Net income available to common stockholders
 
$
1,136,856

 
$
973,840

 
$
490,506

Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
Foreign currency translation gains (losses)
 
2,319

 
(4,107
)
 
3,769

Changes in fair value on cash flow hedges
 
(2,130
)
 
—

 
—

Changes in unrealized holding gains and losses on AFS securities
 
2,310

 
120

 
22,285

Equity in other comprehensive income (loss) of bank and nonbank subsidiaries
 
136,066

 
(19,171
)
 
(50,956
)
Reclassifications to retained earnings for the adoption of new accounting guidance
 
—

 
(29,490
)
 
—

Other comprehensive income (loss), net of tax
 
138,565

 
(52,648
)
 
(24,902
)
Total comprehensive income
 
$
1,275,421

 
$
921,192

 
$
465,604




Condensed Statements of Cash Flows
 
 
Year ended December 31,
(Dollars in thousands)
 
2019
 
2018
 
2017
Cash flows from operating activities:
 
 
 
 
 
 
Net income available to common stockholders
 
$
1,136,856

 
$
973,840

 
$
490,506

Adjustments to reconcile net income to net cash provided by operating activities:
 
 
 
 
 
 
Gains on equity warrant assets, net
 
(138,078
)
 
(89,142
)
 
(54,555
)
Gains on investment securities, net
 
(45,345
)
 
(13,546
)
 
(17,060
)
Distributions of earnings from investment securities
 
49,776

 
47,596

 
14,015

Net income of bank subsidiary
 
(1,036,618
)
 
(933,641
)
 
(446,769
)
Net income on nonbank subsidiaries
 
(57,371
)
 
(25,212
)
 
(13,002
)
Cash dividends from bank subsidiary
 
733,000

 
140,000

 
90,000

Amortization of share-based compensation
 
66,815

 
45,675

 
36,900

Decrease in other assets
 
27,205

 
51,169

 
12,959

Increase in other liabilities
 
21,391

 
21,619

 
11,774

Other, net
 
8,084

 
(31,024
)
 
316

Net cash provided by operating activities
 
765,715

 
187,334

 
125,084

 
 
 
 
 
 
 
Cash flows from investing activities:
 
 
 
 
 
 
Net decrease (increase) in investment securities from purchases, sales and maturities
 
128,635

 
73,742

 
(152,015
)
Net (increase) decrease in loans
 
(15,245
)
 
—

 
13,337

Increase in investment in bank subsidiary
 
(42,952
)
 
(31,292
)
 
(38,927
)
Decrease (increase) in investment in nonbank subsidiaries
 
23,275

 
(5,323
)
 
34,374

Acquisition of SVB Leerink

 
(265,601
)
 
—

 
—

Net cash (used for) provided by investing activities
 
(171,888
)
 
37,127

 
(143,231
)
 
 
 
 
 
 
 
Cash flows from financing activities:
 
 
 
 
 
 
Principal payments of long-term debt
 
(358,395
)
 
—

 
(51,546
)
Proceeds from issuance of common stock, ESPP and ESOP
 
24,818

 
18,387

 
27,003

Net proceeds from the issuance of preferred stock

 
340,138

 
—

 
—

Common stock repurchase
 
(352,511
)
 
(147,123
)
 
—

Net cash (used for) by financing activities
 
(345,950
)
 
(128,736
)
 
(24,543
)
Net increase (decrease) in cash and cash equivalents
 
247,877

 
95,725

 
(42,690
)
Cash and cash equivalents at beginning of period
 
553,049

 
457,324

 
500,014

Cash and cash equivalents at end of period
 
$
800,926

 
$
553,049

 
$
457,324