Business Segments

3 Months Ended

Mar. 31, 2017

Segment Reporting [Abstract]

Business Segments

BUSINESS SEGMENTS

Each of the Company’s reportable operating segments serves the specific needs of the Company’s customers based on the products and services it offers. The reportable segments are based upon those revenue-producing components for which separate financial information is produced internally and primarily reflect the manner in which resources are allocated and performance is assessed. Further, the reportable operating segments are also determined based on the quantitative thresholds prescribed within ASC Topic 280, Segment Reporting, and consideration of the usefulness of the information to the users of the consolidated financial statements.

The Company reports the results of its operations through three reportable segments: IBERIABANK, IMC, and LTC. The IBERIABANK segment represents the Company’s commercial and retail banking functions, including its lending, investment, and deposit activities. IBERIABANK also includes the Company’s wealth management, capital markets, and other corporate functions. The IMC segment represents the Company’s origination, funding, and subsequent sale of one-to-four family residential mortgage loans. The LTC segment represents the Company’s title insurance and loan closing services.

Certain expenses not directly attributable to a specific reportable segment are allocated to segments based on pre-determined methods that reflect utilization. Also within IBERIABANK are certain reconciling items that translate reportable segment results into consolidated results. The following tables present certain information regarding our operations by reportable segment, including a reconciliation of segment results to reported consolidated results for the periods presented. Reconciling items between segment results and reported results include:

• Elimination of interest income and interest expense representing interest earned by IBERIABANK on interest-bearing checking accounts held by related companies, as well as the elimination of the related deposit balances at the IBERIABANK segment;

• Elimination of investment in subsidiary balances on certain operating segments included in total and average segment assets; and

• Elimination of intercompany due to and due from balances on certain operating segments that are included in total and average segment assets.

	Three Months Ended March 31, 2017
(Dollars in thousands)	IBERIABANK			IMC			LTC			Consolidated
Interest and dividend income	$	190,823		$	1,709		$	1		$	192,533
Interest expense	19,715			—			—			19,715
Net interest income	171,108			1,709			1			172,818
Provision for/ reversal of loan losses	6,158			(4		)	—			6,154
Mortgage income	—			14,115			—			14,115
Service charges on deposit accounts	11,153			—			—			11,153
Title revenue	—			—			4,741			4,741
Other non-interest income	17,353			(10		)	(6		)	17,337
Allocated expenses	(2,174		)	1,656			518			—
Non-interest expense	121,651			15,167			4,200			141,018
Income/(loss) before income tax expense	73,979			(1,005		)	18			72,992
Income tax expense/(benefit)	22,829			(322		)	12			22,519
Net income/(loss)	$	51,150		$	(683	)	$	6		$	50,473
Total loans and loans held for sale, net of unearned income	$	15,072,661		$	181,874		$	—		$	15,254,535
Total assets	21,774,586			209,911			23,982			22,008,479
Total deposits	17,306,328			5,937			—			17,312,265
Average assets	21,550,930			286,694			23,877			21,861,501

	Three Months Ended March 31, 2016
(Dollars in thousands)	IBERIABANK			IMC			LTC			Consolidated
Interest and dividend income	$	175,324		$	1,611		$	1		$	176,936
Interest expense	14,654			879			—			15,533
Net interest income	160,670			732			1			161,403
Provision for loan losses	14,905			—			—			14,905
Mortgage income	—			19,940			—			19,940
Service charges on deposit accounts	10,951			—			—			10,951
Title revenue	—			—			4,745			4,745
Other non-interest income	20,210			(1		)	—			20,209
Allocated expenses	(2,669		)	2,050			619			—
Non-interest expense	120,027			13,198			4,227			137,452
Income/(loss) before income tax expense	59,568			5,423			(100		)	64,891
Income tax expense/(benefit)	20,001			2,153			(32		)	22,122
Net income/(loss)	$	39,567		$	3,270		$	(68	)	$	42,769
Total loans and loans held for sale, net of unearned income	$	14,428,613		$	215,176		$	—		$	14,643,789
Total assets	19,774,092			291,893			26,578			20,092,563
Total deposits	16,256,147			4,419			—			16,260,566
Average assets	19,381,718			252,281			27,312			19,661,311