Sign In  |  Register  |  About Walnut Creek Guide  |  Contact Us

Walnut Creek, CA
September 01, 2020 1:43pm
7-Day Forecast | Traffic
  • Search Hotels in Walnut Creek Guide

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Fulton Financial Announces Fourth Quarter and 2021 Results

Fulton Financial Corporation (NASDAQ:FULT) (“Fulton” or the “Corporation”) reported net income available to common shareholders of $59.3 million, or $0.37 per diluted share, for the fourth quarter of 2021 and $265.2 million, or $1.62 per diluted share, for the year ended December 31, 2021.

This press release features multimedia. View the full release here: https://www.businesswire.com/news/home/20220118006016/en/

"2021 was a very good year for Fulton — a result of our continued successful execution of our relationship banking strategy," said E. Philip Wenger, Chairman and CEO of Fulton Financial Corporation. "Despite a difficult operating environment, the Fulton team did an outstanding job in helping our customers through some very challenging times. Our employees served as trusted financial advisors and delivered a wide variety of financial products and services. These activities, coupled with our success in keeping credit costs down and maintaining expenses, translated into record earnings per share for 2021. We are encouraged by many of the core business trends we saw during the year, particularly in the second half of 2021, and believe we are well-positioned to continue to advance our strategic priorities and deliver shareholder value in 2022."

Net Interest Income and Balance Sheet

Net interest income for the fourth quarter of 2021 was $165.6 million, $5.7 million lower than the third quarter of 2021. Net interest margin for the fourth quarter of 2021 decreased 5 basis points, to 2.77%, from 2.82% in the third quarter of 2021. The quarter-over-quarter decreases in net interest income and net interest margin were primarily due to a decrease in loan fees related to Paycheck Protection Program ("PPP") loans, which were $10.0 million in the fourth quarter of 2021 compared to $17.7 million in the third quarter of 2021, partially offset by a lower cost of deposits. The PPP loan balance as of December 31, 2021 was $301.3 million.

For the year ended December 31, 2021, net interest income was $663.7 million, an increase of $34.5 million in comparison to the year ended December 31, 2020. Net interest income for 2021 included $59.0 million in PPP loan fees. The yield on average interest-earning assets and the rate on average interest-bearing liabilities both declined 34 basis points in 2021 in comparison to 2020. The net interest margin in 2021 was 2.78% compared to 2.86% in 2020.

Total average interest-earning assets for the fourth quarter of 2021 were $24.3 billion, a decrease of $0.3 billion from the third quarter of 2021, driven by decreases in PPP loans of $0.4 billion and deposits with other banks reflected in other interest-earning assets of $0.2 billion, partially offset by increases in residential mortgage loans of $0.1 billion and tax-exempt investment securities of $0.1 billion.

Total average interest-earning assets for the year ended December 31, 2021 were $24.4 billion, an increase of $1.9 billion from 2020. Average loans, net of unearned income, were $18.6 billion, an increase of $0.4 billion from 2020. Included in average loans were PPP loans that had an average balance of $1.1 billion, a decrease of $0.1 billion from 2020. The increase in average loans was mainly driven by a $0.6 billion increase in the residential mortgage loan portfolio.

Total average interest-bearing liabilities decreased $0.3 billion, to $15.5 billion, in the fourth quarter of 2021 compared to the third quarter of 2021, driven by decreases of $0.2 billion in wholesale deposits reflected in demand deposits and $0.1 billion in time deposits. Average noninterest-bearing deposits increased $0.1 billion in the fourth quarter of 2021.

Total average interest-bearing deposits for the year ended December 31, 2021 increased $0.8 billion from 2020, driven by increases in demand and savings deposits. Average noninterest-bearing deposits increased $1.5 billion for the year ended December 31, 2021.

The Corporation repurchased 1.1 million shares and 2.8 million shares of Fulton common stock during the fourth quarter of 2021 and for the year ended December 31, 2021, respectively, at a cost of $17.8 million and $43.9 million, respectively. As of December 31, 2021, up to an additional $31.1 million of Fulton's common stock may be repurchased through March 31, 2022 under the $75 million share repurchase program originally announced in February 2021.

Asset Quality

In the fourth quarter of 2021, a negative provision for credit losses of $5.0 million was recognized, as compared to a negative provision for credit losses of $0.6 million recognized in the third quarter of 2021. The negative provision for credit losses for the fourth quarter of 2021 was recorded to adjust the allowance for credit losses as a result of improved economic conditions. For the year ended December 31, 2021, the negative provision for credit losses was $14.6 million compared to a provision for credit losses of $76.9 million in 2020. A $6.2 million provision for credit losses was recognized in the fourth quarter of 2020.

Non-performing assets were $153.9 million, or 0.60% of total assets, at December 31, 2021, compared to $152.1 million, or 0.58% of total assets, and $151.3 million, or 0.58% of total assets, at September 30, 2021 and December 31, 2020, respectively.

Annualized net charge-offs (recoveries) for the quarter ended December 31, 2021, were 0.07% of total average loans, compared to (0.05)% and (0.07)% for the quarters ended September 30, 2021 and December 31, 2020, respectively.

Non-interest Income

Non-interest income in the fourth quarter of 2021 was $63.9 million, an increase of $1.3 million, or 2.1%, from the third quarter of 2021. The increase in non-interest income was primarily due to a $1.6 million increase in income from equity method investments reflected in other income.

Compared to the fourth quarter of 2020, non-interest income in the fourth quarter of 2021 increased $8.3 million, or 14.9%, from $55.6 million, primarily due to an increase of $3.9 million in income from equity method investments, a $2.6 million increase in wealth management income due to growth in managed assets, and increases of $1.7 million and $1.3 million in commercial banking income and consumer banking income, respectively. These increases were partially offset with a $2.1 million decrease in mortgage banking income, primarily due to a decline in income from loan sales for the period.

For the year ended December 31, 2021, non-interest income, excluding investment securities gains, was $240.2 million, an increase of $13.9 million, or 6.1%, from 2020. The increase was primarily due to increases of $12.7 million in wealth management, $7.1 million in income from equity method investments and $3.9 million in consumer banking income, offset by declines of $8.7 million in mortgage banking income, due to a $29.2 million decline in income from loan sales, offset by a net favorable pre-tax income change attributable to the mortgage servicing rights valuation allowance as compared to 2020 of $20.4 million. Specifically, Fulton increased the mortgage servicing valuation allowance by $10.5 million in 2020. The Corporation reduced the valuation allowance by $9.9 million in 2021. As of December 31, 2021, the mortgage servicing rights valuation allowance remaining was $0.6 million.

During both 2021 and 2020, Fulton completed balance sheet restructurings involving sales of investment securities and corresponding prepayments of FHLB advances. During 2021, the balance sheet restructuring involved gains on sales of Visa, Inc. Class B restricted shares of $34.0 million that were offset in non-interest expense by debt extinguishment of costs of $33.2 million.

Non-interest Expense

Non-interest expense was $154.0 million in the fourth quarter of 2021, an increase of $9.4 million, or 6.5%, compared to the third quarter of 2021. The increase was primarily due to increases in salaries and employee benefits of $2.8 million during the fourth quarter of 2021 as a result of higher incentive compensation and bonuses, charitable contributions of $2.5 million, reflected in other expense, and other outside services expense of $1.7 million, driven by technology-related services.

Compared to the fourth quarter of 2020, non-interest expense decreased $0.7 million, or 0.5%, in the fourth quarter of 2021, primarily due to a write-off in the prior year period of $4.8 million for fixed assets and $5.8 million of lease termination charges, partially offset by increases of $2.7 million in data processing and software and $1.3 million in other outside services. In addition, salaries and employee benefits increased $1.6 million, primarily due to an increase of $6.8 million for incentive compensation and bonuses, partially offset by a $4.4 million decrease in employee severance expense. During the fourth quarter of 2021, the Corporation made a $1.0 million contribution to the Fulton Forward Foundation.

Total non-interest expense increased $38.4 million to $617.8 million, or 6.6%, in 2021 in comparison to 2020. Non-interest expense, excluding debt extinguishment costs of $33.2 million, was $584.6 million, an increase of $21.3 million, or 3.8%, compared to non-interest expenses of $563.2 million in 2020, which excludes expenses associated with cost savings initiatives of $16.2 million. Excluding the net decrease in severance costs of $5.9 million, the increase in non-interest expense over 2020 was primarily due to increases in salaries and employee benefits of $10.6 million, attributable to a $12.7 million increase in incentive compensation and bonuses. Also contributing to the increase in non-interest expense were $8.4 million in data processing and software and $2.8 million in other outside services expense, partially offset by a $3.2 million decrease in professional fees.

Income Tax Expense

For the year ended December 31, 2021, the effective tax rate was 17.6% compared to 12.0% in 2020. The increase was a result of higher income before income taxes.

Additional information on Fulton is available on the Internet at www.fultonbank.com.

Safe Harbor Statement

This news release may contain forward-looking statements with respect to the Corporation’s financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of words such as "may," "should," "will," "could," "estimates," "predicts," "potential," "continue," "anticipates," "believes," "plans," "expects," "future," "intends," “projects,” the negative of these terms and other comparable terminology. These forward-looking statements may include projections of, or guidance on, the Corporation’s future financial performance, expected levels of future expenses, including future credit losses, anticipated growth strategies, descriptions of new business initiatives and anticipated trends in the Corporation’s business or financial results.

Forward-looking statements are neither historical facts, nor assurance of future performance. Instead, the statements are based on current beliefs, expectations and assumptions regarding the future of the Corporation’s business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of the Corporation’s control, and actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not unduly rely on any of these forward-looking statements. Any forward-looking statement is based only on information currently available and speaks only as of the date when made. The Corporation undertakes no obligation, other than as required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

A discussion of certain risks and uncertainties affecting the Corporation, and some of the factors that could cause the Corporation's actual results to differ materially from those described in the forward-looking statements, can be found in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2020, Quarterly Reports on Form 10-Q for the quarters ended March 31, 2021, June 30, 2021 and September 30, 2021, and other current and periodic reports, which have been or will be filed with the Securities and Exchange Commission and are or will be available in the Investor Relations section of the Corporation's website (www.fultonbank.com) and on the Securities and Exchange Commission's website (www.sec.gov).

Non-GAAP Financial Measures

The Corporation uses certain non-GAAP financial measures in this earnings release. These non-GAAP financial measures are reconciled to the most comparable GAAP measures in tables at the end of this release.

 

FULTON FINANCIAL CORPORATION

 

 

 

 

 

 

SUMMARY CONSOLIDATED FINANCIAL INFORMATION (UNAUDITED)

 

 

 

 

 

 

in thousands, except per-share data and percentages

 

 

 

 

 

 

 

Three months ended

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

Ending Balances

 

 

 

 

 

 

 

 

 

Investments

$

4,167,774

 

 

$

4,000,760

 

 

$

3,921,658

 

 

$

3,612,010

 

 

$

3,340,424

 

Net loans

 

18,325,350

 

 

 

18,269,407

 

 

 

18,586,756

 

 

 

18,990,986

 

 

 

18,900,820

 

Total assets

 

25,796,398

 

 

 

26,390,832

 

 

 

26,079,774

 

 

 

25,892,990

 

 

 

25,906,733

 

Deposits

 

21,573,499

 

 

 

22,074,041

 

 

 

21,724,312

 

 

 

21,633,838

 

 

 

20,839,207

 

Shareholders' equity

 

2,712,680

 

 

 

2,699,818

 

 

 

2,692,958

 

 

 

2,629,655

 

 

 

2,616,828

 

 

 

 

 

 

 

 

 

 

 

Average Balances

 

 

 

 

 

 

 

 

 

Investments

$

3,980,045

 

 

$

3,914,627

 

 

$

3,670,333

 

 

$

3,448,166

 

 

$

3,221,289

 

Net loans

 

18,220,550

 

 

 

18,414,153

 

 

 

18,906,556

 

 

 

18,980,586

 

 

 

18,994,514

 

Total assets

 

26,136,536

 

 

 

26,440,876

 

 

 

26,017,542

 

 

 

26,082,816

 

 

 

25,749,405

 

Deposits

 

21,876,938

 

 

 

22,123,480

 

 

 

21,765,601

 

 

 

21,117,024

 

 

 

20,791,522

 

Shareholders' equity

 

2,713,198

 

 

 

2,722,833

 

 

 

2,669,413

 

 

 

2,637,098

 

 

 

2,544,866

 

 

 

 

 

 

 

 

 

 

 

Income Statement

 

 

 

 

 

 

 

 

 

Net interest income

$

165,613

 

 

$

171,270

 

 

$

162,399

 

 

$

164,448

 

 

$

161,591

 

Provision for credit losses

 

(5,000

)

 

 

(600

)

 

 

(3,500

)

 

 

(5,500

)

 

 

6,240

 

Non-interest income

 

63,881

 

 

 

62,577

 

 

 

51,890

 

 

 

95,397

 

 

 

55,574

 

Non-interest expense

 

154,019

 

 

 

144,596

 

 

 

140,831

 

 

 

178,384

 

 

 

154,738

 

Income before taxes

 

80,475

 

 

 

89,851

 

 

 

76,958

 

 

 

86,961

 

 

 

56,187

 

Net income available to common shareholders

 

59,325

 

 

 

73,021

 

 

 

62,402

 

 

 

70,472

 

 

 

48,690

 

Pre-provision net revenue(1)

 

77,837

 

 

 

90,947

 

 

 

75,575

 

 

 

81,795

 

 

 

64,092

 

 

 

 

 

 

 

 

 

 

 

Per Share

 

 

 

 

 

 

 

 

 

Net income available to common shareholders (basic)

$

0.37

 

 

$

0.45

 

 

$

0.38

 

 

$

0.43

 

 

$

0.30

 

Net income available to common shareholders (diluted)

$

0.37

 

 

$

0.45

 

 

$

0.38

 

 

$

0.43

 

 

$

0.30

 

Cash dividends

$

0.22

 

 

$

0.14

 

 

$

0.14

 

 

$

0.14

 

 

$

0.17

 

Common shareholders' equity

$

15.70

 

 

$

15.53

 

 

$

15.34

 

 

$

14.99

 

 

$

14.93

 

Common shareholders' equity (tangible)(1)

$

12.35

 

 

$

12.21

 

 

$

12.05

 

 

$

11.69

 

 

$

11.62

 

Weighted average shares (basic)

 

161,210

 

 

 

162,506

 

 

 

162,785

 

 

 

162,441

 

 

 

162,242

 

Weighted average shares (diluted)

 

162,355

 

 

 

163,456

 

 

 

163,858

 

 

 

163,737

 

 

 

163,071

 

 

 

 

 

 

 

 

 

 

 

(1) Non-GAAP financial measure. Refer to the calculation on the page titled “Reconciliation of Non-GAAP Measures” at the end of this document.

 

 

 

 

 

 

 

 

 

 

 

Three months ended

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

Asset Quality

 

 

 

 

 

 

 

 

 

Net charge-offs (recoveries) to average loans (annualized)

 

0.07

%

 

 

(0.05

)%

 

 

0.15

%

 

 

0.13

%

 

 

(0.07

)%

Non-performing loans to total loans

 

0.83

%

 

 

0.82

%

 

 

0.83

%

 

 

0.80

%

 

 

0.78

%

Non-performing assets to total assets

 

0.60

%

 

 

0.58

%

 

 

0.60

%

 

 

0.60

%

 

 

0.58

%

ACL - loans(2) to total loans

 

1.36

%

 

 

1.41

%

 

 

1.37

%

 

 

1.40

%

 

 

1.47

%

ACL - loans(2) to non-performing loans

 

164

%

 

 

171

%

 

 

166

%

 

 

174

%

 

 

189

%

 

 

 

 

 

 

 

 

 

 

Asset Quality, excluding PPP(1)(3)

 

 

 

 

 

 

 

 

 

Net charge-offs (recoveries) to adjusted average loans (annualized)

 

0.07

%

 

 

(0.05

)%

 

 

0.16

%

 

 

0.14

%

 

 

(0.08

)%

Non-performing loans to total adjusted loans

 

0.84

%

 

 

0.85

%

 

 

0.88

%

 

 

0.88

%

 

 

0.85

%

ACL - loans(2) to total adjusted loans

 

1.38

%

 

 

1.45

%

 

 

1.46

%

 

 

1.54

%

 

 

1.60

%

 

 

 

 

 

 

 

 

 

 

Profitability

 

 

 

 

 

 

 

 

 

Return on average assets

 

0.94

%

 

 

1.13

%

 

 

1.00

%

 

 

1.14

%

 

 

0.79

%

Return on average common shareholders' equity

 

9.34

%

 

 

11.45

%

 

 

10.01

%

 

 

11.73

%

 

 

8.21

%

Return on average common shareholders' equity (tangible)(1)

 

11.89

%

 

 

14.56

%

 

 

12.93

%

 

 

15.00

%

 

 

10.32

%

Net interest margin

 

2.77

%

 

 

2.82

%

 

 

2.73

%

 

 

2.79

%

 

 

2.75

%

Efficiency ratio(1)

 

65.2

%

 

 

60.3

%

 

 

63.8

%

 

 

63.0

%

 

 

62.5

%

Non-interest expenses to total average assets(1)

 

2.30

%

 

 

2.14

%

 

 

2.14

%

 

 

2.25

%

 

 

2.13

%

 

 

 

 

 

 

 

 

 

 

Capital Ratios

 

 

 

 

 

 

 

 

 

Tangible common equity ratio(1)

 

7.8

%

 

 

7.6

%

 

 

7.7

%

 

 

7.5

%

 

 

7.4

%

Tier 1 leverage ratio(4)

 

8.5

%

 

 

8.4

%

 

 

8.5

%

 

 

8.3

%

 

 

8.2

%

Common equity Tier 1 capital ratio(4)

 

10.0

%

 

 

10.1

%

 

 

10.0

%

 

 

9.8

%

 

 

9.5

%

Tier 1 risk-based capital ratio(4)

 

11.0

%

 

 

11.1

%

 

 

11.0

%

 

 

10.8

%

 

 

10.5

%

Total risk-based capital ratio(4)

 

14.3

%

 

 

14.4

%

 

 

14.5

%

 

 

14.2

%

 

 

14.4

%

 

 

 

 

 

 

 

 

 

 

(1) Non-GAAP financial measure. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this document.

(2) "ACL - loans" relates to the allowance for credit losses ("ACL") specifically on "Net Loans" and does not include the ACL related to off-balance-sheet ("OBS") credit exposures.

(3) Asset quality information excluding Paycheck Protection Program ("PPP") loans. Refer to the calculation on the page titled "Reconciliation of Non-GAAP Measures" at the end of this document.

(4) Regulatory capital ratios as of December 31, 2021 are preliminary and prior periods are actual.

 

FULTON FINANCIAL CORPORATION

 

 

 

 

 

 

CONDENSED CONSOLIDATED ENDING BALANCE SHEETS (UNAUDITED)

 

 

 

 

 

 

dollars in thousands

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

% Change from

 

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

Sep 30

 

Dec 31

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

 

2021

 

2020

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

$

172,276

 

 

$

260,564

 

 

$

143,002

 

 

$

102,570

 

 

$

120,462

 

 

(33.9

)%

 

43.0

%

 

Other interest-earning assets

 

1,523,973

 

 

 

2,271,738

 

 

 

1,823,688

 

 

 

1,625,515

 

 

 

1,819,499

 

 

(32.9

)%

 

(16.2

)%

 

Loans held for sale

 

35,768

 

 

 

43,123

 

 

 

41,924

 

 

 

34,092

 

 

 

83,886

 

 

(17.1

)%

 

(57.4

)%

 

Investment securities

 

4,167,774

 

 

 

4,000,760

 

 

 

3,921,658

 

 

 

3,612,010

 

 

 

3,340,424

 

 

4.2

%

 

24.8

%

 

Net loans

 

18,325,350

 

 

 

18,269,407

 

 

 

18,586,756

 

 

 

18,990,986

 

 

 

18,900,820

 

 

0.3

%

 

(3.0

)%

 

Less: ACL - loans(1)

 

(249,001

)

 

 

(256,727

)

 

 

(255,032

)

 

 

(265,986

)

 

 

(277,567

)

 

(3.0

)%

 

(10.3

)%

 

Loans, net

 

18,076,349

 

 

 

18,012,680

 

 

 

18,331,724

 

 

 

18,725,000

 

 

 

18,623,253

 

 

0.4

%

 

(2.9

)%

 

Net, premises and equipment

 

220,357

 

 

 

228,179

 

 

 

228,353

 

 

 

229,035

 

 

 

231,480

 

 

(3.4

)%

 

(4.8

)%

 

Accrued interest receivable

 

57,451

 

 

 

57,902

 

 

 

63,232

 

 

 

65,649

 

 

 

72,942

 

 

(0.8

)%

 

(21.2

)%

 

Goodwill and intangible assets

 

538,053

 

 

 

536,697

 

 

 

536,847

 

 

 

536,544

 

 

 

536,659

 

 

0.3

%

 

0.3

%

 

Other assets

 

1,004,397

 

 

 

979,189

 

 

 

989,346

 

 

 

962,575

 

 

 

1,078,128

 

 

2.6

%

 

(6.8

)%

 

Total Assets

$

25,796,398

 

 

$

26,390,832

 

 

$

26,079,774

 

 

$

25,892,990

 

 

$

25,906,733

 

 

(2.3

)%

 

(0.4

)%

LIABILITIES AND SHAREHOLDERS' EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

$

21,573,499

 

 

$

22,074,041

 

 

$

21,724,312

 

 

$

21,633,838

 

 

$

20,839,207

 

 

(2.3

)%

 

3.5

%

 

Short-term borrowings

 

416,764

 

 

 

468,967

 

 

 

533,749

 

 

 

520,989

 

 

 

630,066

 

 

(11.1

)%

 

(33.9

)%

 

Other liabilities

 

472,110

 

 

 

520,620

 

 

 

501,542

 

 

 

482,101

 

 

 

524,369

 

 

(9.3

)%

 

(10.0

)%

 

Long-term borrowings

 

621,345

 

 

 

627,386

 

 

 

627,213

 

 

 

626,407

 

 

 

1,296,263

 

 

(1.0

)%

 

(52.1

)%

 

Total Liabilities

 

23,083,718

 

 

 

23,691,014

 

 

 

23,386,816

 

 

 

23,263,335

 

 

 

23,289,905

 

 

(2.6

)%

 

(0.9

)%

 

Shareholders' equity

 

2,712,680

 

 

 

2,699,818

 

 

 

2,692,958

 

 

 

2,629,655

 

 

 

2,616,828

 

 

0.5

%

 

3.7

%

 

Total Liabilities and Shareholders' Equity

$

25,796,398

 

 

$

26,390,832

 

 

$

26,079,774

 

 

$

25,892,990

 

 

$

25,906,733

 

 

(2.3

)%

 

(0.4

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL:

 

 

 

 

 

 

 

 

 

 

Loans, by type:

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate - commercial mortgage

$

7,279,080

 

 

$

7,145,115

 

 

$

7,152,932

 

 

$

7,142,137

 

 

$

7,105,092

 

 

1.9

%

 

2.4

%

 

Commercial and industrial

 

3,906,791

 

 

 

3,863,154

 

 

 

3,870,462

 

 

 

3,986,858

 

 

 

4,088,561

 

 

1.1

%

 

(4.4

)%

 

Real estate - residential mortgage

 

3,846,750

 

 

 

3,719,684

 

 

 

3,555,897

 

 

 

3,254,058

 

 

 

3,141,915

 

 

3.4

%

 

22.4

%

 

Real estate - home equity

 

1,118,248

 

 

 

1,126,628

 

 

 

1,136,128

 

 

 

1,149,958

 

 

 

1,202,913

 

 

(0.7

)%

 

(7.0

)%

 

Real estate - construction

 

1,139,779

 

 

 

1,111,487

 

 

 

1,070,755

 

 

 

1,083,494

 

 

 

1,047,218

 

 

2.5

%

 

8.8

%

 

Consumer

 

464,657

 

 

 

458,595

 

 

 

448,433

 

 

 

451,857

 

 

 

466,772

 

 

1.3

%

 

(0.5

)%

 

Equipment lease financing

 

236,344

 

 

 

242,967

 

 

 

252,158

 

 

 

260,907

 

 

 

279,118

 

 

(2.7

)%

 

(15.3

)%

 

Other(2)

 

32,448

 

 

 

11,330

 

 

 

(14,410

)

 

 

(26,677

)

 

 

(12,481

)

 

N/M

 

 

N/M

 

 

Net loans before PPP

 

18,024,097

 

 

 

17,678,960

 

 

 

17,472,355

 

 

 

17,302,592

 

 

 

17,319,108

 

 

2.0

%

 

4.1

%

 

PPP

 

301,253

 

 

 

590,447

 

 

 

1,114,401

 

 

 

1,688,394

 

 

 

1,581,712

 

 

(49.0

)%

 

(81.0

)%

 

Total Net Loans

$

18,325,350

 

 

$

18,269,407

 

 

$

18,586,756

 

 

$

18,990,986

 

 

$

18,900,820

 

 

0.3

%

 

(3.0

)%

Deposits, by type:

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-bearing demand

$

7,370,963

 

 

$

7,434,155

 

 

$

7,442,132

 

 

$

7,046,116

 

 

$

6,531,002

 

 

(0.9

)%

 

12.9

%

 

Interest-bearing demand

 

5,819,539

 

 

 

6,187,096

 

 

 

5,795,404

 

 

 

5,959,909

 

 

 

5,818,564

 

 

(5.9

)%

 

%

 

Savings

 

6,403,995

 

 

 

6,401,619

 

 

 

6,276,554

 

 

 

6,244,513

 

 

 

5,929,792

 

 

%

 

8.0

%

 

Total demand and savings

 

19,594,497

 

 

 

20,022,870

 

 

 

19,514,090

 

 

 

19,250,538

 

 

 

18,279,358

 

 

(2.1

)%

 

7.2

%

 

Brokered

 

251,526

 

 

 

262,617

 

 

 

277,444

 

 

 

309,873

 

 

 

335,185

 

 

(4.2

)%

 

(25.0

)%

 

Time

 

1,727,476

 

 

 

1,788,554

 

 

 

1,932,778

 

 

 

2,073,427

 

 

 

2,224,664

 

 

(3.4

)%

 

(22.3

)%

 

Total Deposits

$

21,573,499

 

 

$

22,074,041

 

 

$

21,724,312

 

 

$

21,633,838

 

 

$

20,839,207

 

 

(2.3

)%

 

3.5

%

Short-term borrowings, by type:

 

 

 

 

 

 

 

 

 

 

 

 

 

Customer funding

$

416,764

 

 

$

468,967

 

 

$

533,749

 

 

$

520,989

 

 

$

630,066

 

 

(11.1

)%

 

(33.9

)%

 

Total Short-Term Borrowings

$

416,764

 

 

$

468,967

 

 

$

533,749

 

 

$

520,989

 

 

$

630,066

 

 

(11.1

)%

 

(33.9

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

(2) Consists of overdrafts and net origination fees and costs.

 

FULTON FINANCIAL CORPORATION

 

 

 

 

 

 

 

 

 

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

 

 

 

 

 

 

 

 

 

dollars in thousands

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

 

% Change from

 

 

 

Year Ended

 

 

 

 

 

 

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

Sep 30

 

Dec 31

 

 

 

Dec 31

 

 

 

 

 

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

 

2021

 

2020

 

 

 

 

2021

 

 

 

2020

 

 

% Change

 

Interest Income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

$

177,724

 

 

$

184,079

 

 

$

176,673

 

 

$

184,936

 

 

$

183,645

 

 

(3.5

)%

 

(3.2

)%

 

 

 

$

723,412

 

 

$

742,878

 

 

(2.6

)%

 

 

Interest expense

 

 

 

12,111

 

 

 

12,809

 

 

 

14,274

 

 

 

20,488

 

 

 

22,054

 

 

(5.4

)%

 

(45.1

)%

 

 

 

 

59,682

 

 

 

113,671

 

 

(47.5

)%

 

 

Net Interest Income

 

 

 

165,613

 

 

 

171,270

 

 

 

162,399

 

 

 

164,448

 

 

 

161,591

 

 

(3.3

)%

 

2.5

%

 

 

 

 

663,730

 

 

 

629,207

 

 

5.5

%

 

 

Provision for credit losses

 

 

 

(5,000

)

 

 

(600

)

 

 

(3,500

)

 

 

(5,500

)

 

 

6,240

 

 

N/M

 

 

N/M

 

 

 

 

 

(14,600

)

 

 

76,920

 

 

(119.0

)%

 

 

Net Interest Income after Provision

 

 

 

170,613

 

 

 

171,870

 

 

 

165,899

 

 

 

169,948

 

 

 

155,351

 

 

(0.7

)%

 

9.8

%

 

 

 

 

678,330

 

 

 

552,287

 

 

22.8

%

 

Non-Interest Income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial banking:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Merchant and card

 

 

 

6,588

 

 

 

6,979

 

 

 

6,786

 

 

 

5,768

 

 

 

5,953

 

 

(5.6

)%

 

10.7

%

 

 

 

 

26,121

 

 

 

23,139

 

 

12.9

%

 

 

Cash management

 

 

 

5,318

 

 

 

5,285

 

 

 

5,341

 

 

 

4,921

 

 

 

4,737

 

 

0.6

%

 

12.3

%

 

 

 

 

20,865

 

 

 

18,725

 

 

11.4

%

 

 

Capital markets

 

 

 

2,982

 

 

 

2,063

 

 

 

1,536

 

 

 

2,800

 

 

 

3,513

 

 

44.5

%

 

(15.1

)%

 

 

 

 

9,381

 

 

 

18,288

 

 

(48.7

)%

 

 

Other commercial banking

 

 

 

3,592

 

 

 

2,411

 

 

 

3,466

 

 

 

2,853

 

 

 

2,606

 

 

49.0

%

 

37.8

%

 

 

 

 

12,322

 

 

 

10,134

 

 

21.6

%

 

 

Total commercial banking

 

 

 

18,480

 

 

 

16,738

 

 

 

17,129

 

 

 

16,342

 

 

 

16,809

 

 

10.4

%

 

9.9

%

 

 

 

 

68,689

 

 

 

70,286

 

 

(2.3

)%

 

 

Consumer banking:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Card

 

 

 

5,953

 

 

 

5,941

 

 

 

5,733

 

 

 

5,878

 

 

 

5,123

 

 

0.2

%

 

16.2

%

 

 

 

 

23,505

 

 

 

19,777

 

 

18.9

%

 

 

Overdraft

 

 

 

3,896

 

 

 

3,474

 

 

 

2,750

 

 

 

2,724

 

 

 

3,376

 

 

12.1

%

 

15.4

%

 

 

 

 

12,844

 

 

 

12,556

 

 

2.3

%

 

 

Other consumer banking

 

 

 

2,280

 

 

 

2,386

 

 

 

2,377

 

 

 

2,152

 

 

 

2,298

 

 

(4.4

)%

 

(0.8

)%

 

 

 

 

9,195

 

 

 

9,265

 

 

(0.8

)%

 

 

Total consumer banking

 

 

 

12,129

 

 

 

11,801

 

 

 

10,860

 

 

 

10,754

 

 

 

10,797

 

 

2.8

%

 

12.3

%

 

 

 

 

45,544

 

 

 

41,598

 

 

9.5

%

 

 

Wealth management

 

 

 

18,285

 

 

 

18,532

 

 

 

17,634

 

 

 

17,347

 

 

 

15,653

 

 

(1.3

)%

 

16.8

%

 

 

 

 

71,798

 

 

 

59,058

 

 

21.6

%

 

 

Mortgage banking

 

 

 

7,243

 

 

 

9,535

 

 

 

2,838

 

 

 

13,960

 

 

 

9,311

 

 

(24.0

)%

 

(22.2

)%

 

 

 

 

33,576

 

 

 

42,309

 

 

(20.6

)%

 

 

Other

 

 

 

7,739

 

 

 

5,971

 

 

 

3,393

 

 

 

3,519

 

 

 

3,004

 

 

29.6

%

 

N/M

 

 

 

 

 

20,622

 

 

 

13,084

 

 

57.6

%

 

 

Non-interest income before

investment securities gains

 

 

 

63,876

 

 

 

62,577

 

 

 

51,854

 

 

 

61,922

 

 

 

55,574

 

 

2.1

%

 

14.9

%

 

 

 

 

240,229

 

 

 

226,335

 

 

6.1

%

 

 

Investment securities gains, net

 

 

 

5

 

 

 

 

 

 

36

 

 

 

33,475

 

 

 

 

 

N/M

 

 

N/M

 

 

 

 

 

33,516

 

 

 

3,053

 

 

N/M

 

 

 

Total Non-Interest Income

 

 

 

63,881

 

 

 

62,577

 

 

 

51,890

 

 

 

95,397

 

 

 

55,574

 

 

2.1

%

 

14.9

%

 

 

 

 

273,745

 

 

 

229,388

 

 

19.3

%

 

Non-Interest Expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and employee benefits

 

 

 

85,506

 

 

 

82,679

 

 

 

78,367

 

 

 

82,586

 

 

 

83,929

 

 

3.4

%

 

1.9

%

 

 

 

 

329,138

 

 

 

324,395

 

 

1.5

%

 

 

Data processing and software

 

 

 

14,612

 

 

 

14,335

 

 

 

13,932

 

 

 

13,561

 

 

 

11,951

 

 

1.9

%

 

22.3

%

 

 

 

 

56,440

 

 

 

48,073

 

 

17.4

%

 

 

Net occupancy

 

 

 

14,366

 

 

 

12,957

 

 

 

12,494

 

 

 

13,982

 

 

 

13,161

 

 

10.9

%

 

9.2

%

 

 

 

 

53,799

 

 

 

53,013

 

 

1.5

%

 

 

Other outside services

 

 

 

9,637

 

 

 

7,889

 

 

 

8,178

 

 

 

8,490

 

 

 

8,334

 

 

22.2

%

 

15.6

%

 

 

 

 

34,194

 

 

 

31,432

 

 

8.8

%

 

 

Equipment

 

 

 

3,539

 

 

 

3,416

 

 

 

3,424

 

 

 

3,428

 

 

 

3,563

 

 

3.6

%

 

(0.7

)%

 

 

 

 

13,807

 

 

 

13,885

 

 

(0.6

)%

 

 

FDIC insurance

 

 

 

3,032

 

 

 

2,727

 

 

 

2,282

 

 

 

2,624

 

 

 

2,346

 

 

11.2

%

 

29.2

%

 

 

 

 

10,665

 

 

 

8,865

 

 

20.3

%

 

 

Professional fees

 

 

 

1,946

 

 

 

2,271

 

 

 

2,651

 

 

 

2,779

 

 

 

2,424

 

 

(14.3

)%

 

(19.7

)%

 

 

 

 

9,647

 

 

 

12,835

 

 

(24.8

)%

 

 

Amortization of tax credit investments

 

 

 

1,547

 

 

 

1,546

 

 

 

1,563

 

 

 

1,531

 

 

 

1,532

 

 

0.1

%

 

1.0

%

 

 

 

 

6,187

 

 

 

6,126

 

 

1.0

%

 

 

Marketing

 

 

 

1,477

 

 

 

1,448

 

 

 

1,348

 

 

 

1,002

 

 

 

1,098

 

 

2.0

%

 

34.5

%

 

 

 

 

5,275

 

 

 

5,127

 

 

2.9

%

 

 

Intangible amortization

 

 

 

146

 

 

 

150

 

 

 

178

 

 

 

115

 

 

 

132

 

 

(2.7

)%

 

10.6

%

 

 

 

 

589

 

 

 

529

 

 

11.3

%

 

 

Debt extinguishment

 

 

 

674

 

 

 

 

 

 

412

 

 

 

32,163

 

 

 

 

 

N/M

 

 

N/M

 

 

 

 

 

33,249

 

 

 

2,878

 

 

N/M

 

 

 

Other

 

 

 

17,537

 

 

 

15,178

 

 

 

16,002

 

 

 

16,123

 

 

 

26,268

 

 

15.5

%

 

(33.2

)%

 

 

 

 

64,840

 

 

 

72,282

 

 

(10.3

)%

 

 

Total Non-Interest Expense

 

 

 

154,019

 

 

 

144,596

 

 

 

140,831

 

 

 

178,384

 

 

 

154,738

 

 

6.5

%

 

(0.5

)%

 

 

 

 

617,830

 

 

 

579,440

 

 

6.6

%

 

 

Income Before Income Taxes

 

 

 

80,475

 

 

 

89,851

 

 

 

76,958

 

 

 

86,961

 

 

 

56,187

 

 

(10.4

)%

 

43.2

%

 

 

 

 

334,245

 

 

 

202,235

 

 

65.3

%

 

 

Income tax expense

 

 

 

18,588

 

 

 

14,268

 

 

 

11,994

 

 

 

13,898

 

 

 

5,362

 

 

30.3

%

 

N/M

 

 

 

 

 

58,748

 

 

 

24,195

 

 

142.8

%

 

 

Net Income

 

 

 

61,887

 

 

 

75,583

 

 

 

64,964

 

 

 

73,063

 

 

 

50,825

 

 

(18.1

)%

 

21.8

%

 

 

 

 

275,497

 

 

 

178,040

 

 

54.7

%

 

 

Preferred stock dividends

 

 

 

(2,562

)

 

 

(2,562

)

 

 

(2,562

)

 

 

(2,591

)

 

 

(2,135

)

 

%

 

20.0

%

 

 

 

 

(10,277

)

 

 

(2,135

)

 

N/M

 

 

 

Net Income Available to Common

Shareholders

 

 

$

59,325

 

 

$

73,021

 

 

$

62,402

 

 

$

70,472

 

 

$

48,690

 

 

(18.8

)%

 

21.8

%

 

 

 

$

265,220

 

 

$

175,905

 

 

50.8

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

PER SHARE:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

$

0.37

 

 

$

0.45

 

 

$

0.38

 

 

$

0.43

 

 

$

0.30

 

 

(17.8

)%

 

23.3

%

 

 

 

$

1.63

 

 

$

1.08

 

 

50.9

%

 

 

Diluted

 

 

$

0.37

 

 

$

0.45

 

 

$

0.38

 

 

$

0.43

 

 

$

0.30

 

 

(17.8

)%

 

23.3

%

 

 

 

$

1.62

 

 

$

1.08

 

 

50.0

%

 

 

Cash dividends

 

 

$

0.22

 

 

$

0.14

 

 

$

0.14

 

 

$

0.14

 

 

$

0.17

 

 

57.1

%

 

29.4

%

 

 

 

$

0.64

 

 

$

0.56

 

 

14.3

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares (basic)

 

 

 

161,210

 

 

 

162,506

 

 

 

162,785

 

 

 

162,441

 

 

 

162,242

 

 

(0.8

)%

 

(0.6

)%

 

 

 

 

162,233

 

 

 

162,372

 

 

(0.1

)%

 

 

Weighted average shares (diluted)

 

 

 

162,355

 

 

 

163,456

 

 

 

163,858

 

 

 

163,737

 

 

 

163,071

 

 

(0.7

)%

 

(0.4

)%

 

 

 

 

163,307

 

 

 

163,090

 

 

0.1

%

 

 

N/M - Not meaningful

 

FULTON FINANCIAL CORPORATION

 

 

 

 

 

 

CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)

 

 

 

 

 

dollars in thousands

 

 

 

 

 

 

 

 

Three months ended

 

 

December 31, 2021

 

September 30, 2021

 

December 31, 2020

 

 

Average

 

Interest

 

Yield/

 

Average

 

Interest

 

Yield/

 

Average

 

Interest

 

Yield/

 

 

Balance

 

(1)

 

Rate

 

Balance

 

(1)

 

Rate

 

Balance

 

(1)

 

Rate

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-earning assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loans

$

18,220,550

 

 

$

159,057

 

 

3.47

%

 

$

18,414,153

 

 

$

163,343

 

 

3.53

%

 

$

18,994,514

 

 

$

164,329

 

 

3.45

%

 

Taxable investment securities

 

2,801,934

 

 

 

14,006

 

 

1.75

%

 

 

2,785,828

 

 

 

13,757

 

 

1.80

%

 

 

2,233,730

 

 

 

13,559

 

 

2.43

%

 

Tax-exempt investment securities

 

1,120,263

 

 

 

8,418

 

 

3.00

%

 

 

1,035,685

 

 

 

7,906

 

 

3.05

%

 

 

886,329

 

 

 

7,044

 

 

3.17

%

 

Total Investment Securities

 

3,922,197

 

 

 

22,424

 

 

2.29

%

 

 

3,821,513

 

 

 

21,663

 

 

2.27

%

 

 

3,120,059

 

 

 

20,603

 

 

2.64

%

 

Loans held for sale

 

35,235

 

 

 

333

 

 

3.77

%

 

 

36,427

 

 

 

299

 

 

3.28

%

 

 

76,871

 

 

 

521

 

 

2.71

%

 

Other interest-earning assets

 

2,100,392

 

 

 

(905

)

 

0.19

%

 

 

2,301,326

 

 

 

1,888

 

 

0.18

%

 

 

1,668,454

 

 

 

1,179

 

 

0.28

%

 

Total Interest-Earning Assets

 

24,278,374

 

 

 

180,909

 

 

2.96

%

 

 

24,573,419

 

 

 

187,193

 

 

3.03

%

 

 

23,859,898

 

 

 

186,632

 

 

3.12

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-Earning assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

 

211,958

 

 

 

 

 

 

 

200,315

 

 

 

 

 

 

 

126,190

 

 

 

 

 

 

Premises and equipment

 

226,319

 

 

 

 

 

 

 

228,861

 

 

 

 

 

 

 

236,265

 

 

 

 

 

 

Other assets

 

1,677,028

 

 

 

 

 

 

 

1,695,767

 

 

 

 

 

 

 

1,799,381

 

 

 

 

 

 

Less: ACL - loans(2)

 

(257,143

)

 

 

 

 

 

 

(257,486

)

 

 

 

 

 

 

(272,329

)

 

 

 

 

 

Total Assets

$

26,136,536

 

 

 

 

 

 

$

26,440,876

 

 

 

 

 

 

$

25,749,405

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS' EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-Bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Demand deposits

$

5,933,780

 

 

$

756

 

 

0.05

%

 

$

6,168,908

 

 

$

814

 

 

0.05

%

 

$

5,762,150

 

 

$

1,457

 

 

0.10

%

 

Savings deposits

 

6,413,638

 

 

 

992

 

 

0.06

%

 

 

6,392,537

 

 

 

1,054

 

 

0.07

%

 

 

5,905,137

 

 

 

1,866

 

 

0.13

%

 

Brokered deposits

 

256,192

 

 

 

220

 

 

0.34

%

 

 

270,168

 

 

 

229

 

 

0.34

%

 

 

340,451

 

 

 

451

 

 

0.53

%

 

Time deposits

 

1,756,672

 

 

 

3,928

 

 

0.89

%

 

 

1,852,223

 

 

 

4,428

 

 

0.95

%

 

 

2,306,556

 

 

 

8,082

 

 

1.39

%

 

Total Interest-Bearing Deposits

 

14,360,282

 

 

 

5,896

 

 

0.16

%

 

 

14,683,836

 

 

 

6,525

 

 

0.18

%

 

 

14,314,294

 

 

 

11,856

 

 

0.33

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-term borrowings

 

474,022

 

 

 

128

 

 

0.11

%

 

 

494,811

 

 

 

131

 

 

0.11

%

 

 

622,623

 

 

 

268

 

 

0.17

%

 

Long-term borrowings

 

623,073

 

 

 

6,088

 

 

3.91

%

 

 

627,300

 

 

 

6,153

 

 

3.92

%

 

 

1,296,139

 

 

 

9,930

 

 

3.06

%

 

Total Interest-Bearing Liabilities

 

15,457,377

 

 

 

12,112

 

 

0.31

%

 

 

15,805,947

 

 

 

12,809

 

 

0.32

%

 

 

16,233,056

 

 

 

22,054

 

 

0.54

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-Bearing liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Demand deposits

 

7,516,656

 

 

 

 

 

 

 

7,439,644

 

 

 

 

 

 

 

6,477,228

 

 

 

 

 

 

Other

 

449,305

 

 

 

 

 

 

 

472,452

 

 

 

 

 

 

 

494,255

 

 

 

 

 

 

Total Liabilities

 

23,423,338

 

 

 

 

 

 

 

23,718,043

 

 

 

 

 

 

 

23,204,539

 

 

 

 

 

 

Total Deposits/Cost of Deposits

 

21,876,938

 

 

 

 

0.11

%

 

 

22,123,480

 

 

 

 

0.12

%

 

 

20,791,522

 

 

 

 

0.23

%

 

Total interest-bearing liabilities and non-interest bearing deposits ("Cost of Funds")

 

22,974,033

 

 

 

 

0.21

%

 

 

23,245,591

 

 

 

 

0.22

%

 

 

22,710,284

 

 

 

 

0.39

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shareholders' equity

 

2,713,198

 

 

 

 

 

 

 

2,722,833

 

 

 

 

 

 

 

2,544,866

 

 

 

 

 

 

Total Liabilities and Shareholders' Equity

$

26,136,536

 

 

 

 

 

 

$

26,440,876

 

 

 

 

 

 

$

25,749,405

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income/net interest margin (fully taxable equivalent)

 

 

 

168,797

 

 

2.77

%

 

 

 

 

174,384

 

 

2.82

%

 

 

 

 

164,578

 

 

2.75

%

 

Tax equivalent adjustment

 

 

 

(3,184

)

 

 

 

 

 

 

(3,114

)

 

 

 

 

 

 

(2,987

)

 

 

 

Net Interest Income

 

 

$

165,613

 

 

 

 

 

 

$

171,270

 

 

 

 

 

 

$

161,591

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.

 

(2) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

FULTON FINANCIAL CORPORATION

AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL (UNAUDITED):

dollars in thousands

 

 

Three months ended

 

% Change from

 

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

Sep 30

 

Dec 31

 

 

 

2021

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

 

2021

 

2020

Loans, by type:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Real estate - commercial mortgage

$

7,157,906

 

$

7,134,177

 

 

$

7,177,622

 

 

$

7,128,997

 

 

$

7,101,363

 

 

0.3

%

 

0.8

%

 

Commercial and industrial

 

3,898,559

 

 

3,878,767

 

 

 

3,920,771

 

 

 

4,033,367

 

 

 

4,024,879

 

 

0.5

%

 

(3.1

)%

 

Real estate - residential mortgage

 

3,773,156

 

 

3,642,822

 

 

 

3,396,690

 

 

 

3,183,585

 

 

 

3,087,529

 

 

3.6

%

 

22.2

%

 

Real estate - home equity

 

1,122,042

 

 

1,128,076

 

 

 

1,139,558

 

 

 

1,175,218

 

 

 

1,212,113

 

 

(0.5

)%

 

(7.4

)%

 

Real estate - construction

 

1,117,592

 

 

1,085,846

 

 

 

1,054,469

 

 

 

1,054,718

 

 

 

1,009,284

 

 

2.9

%

 

10.7

%

 

Consumer

 

462,346

 

 

452,844

 

 

 

451,486

 

 

 

459,038

 

 

 

468,678

 

 

2.1

%

 

(1.4

)%

 

Equipment lease financing

 

238,349

 

 

247,776

 

 

 

256,248

 

 

 

266,405

 

 

 

279,059

 

 

(3.8

)%

 

(14.6

)%

 

Other(1)

 

15,558

 

 

(6,773

)

 

 

(14,677

)

 

 

(9,455

)

 

 

(18,817

)

 

N/M

 

 

N/M

 

 

Net loans before PPP

 

17,785,508

 

 

17,563,535

 

 

 

17,382,167

 

 

 

17,291,873

 

 

 

17,164,088

 

 

1.3

%

 

3.6

%

 

PPP

 

435,042

 

 

850,618

 

 

 

1,524,389

 

 

 

1,688,713

 

 

 

1,830,426

 

 

(48.9

) %

 

(76.2

)%

 

Total Net Loans

$

18,220,550

 

$

18,414,153

 

 

$

18,906,556

 

 

$

18,980,586

 

 

$

18,994,514

 

 

(1.1

) %

 

(4.1

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits, by type:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-bearing demand

$

7,516,656

 

$

7,439,644

 

 

$

7,203,696

 

 

$

6,672,832

 

 

$

6,477,228

 

 

1.0

%

 

16.0

%

 

Interest-bearing demand

 

5,933,780

 

 

6,168,908

 

 

 

5,979,855

 

 

 

5,832,174

 

 

 

5,762,150

 

 

(3.8

)%

 

3.0

%

 

Savings

 

6,413,638

 

 

6,392,537

 

 

 

6,280,629

 

 

 

6,137,084

 

 

 

5,905,137

 

 

0.3

%

 

8.6

%

 

Total demand and savings

 

19,864,074

 

 

20,001,089

 

 

 

19,464,180

 

 

 

18,642,090

 

 

 

18,144,515

 

 

(0.7

)%

 

9.5

%

 

Brokered

 

256,192

 

 

270,168

 

 

 

297,815

 

 

 

324,364

 

 

 

340,451

 

 

(5.2

)%

 

(24.7

)%

 

Time

 

1,756,672

 

 

1,852,223

 

 

 

2,003,606

 

 

 

2,150,570

 

 

 

2,306,556

 

 

(5.2

)%

 

(23.8

)%

 

Total Deposits

$

21,876,938

 

$

22,123,480

 

 

$

21,765,601

 

 

$

21,117,024

 

 

$

20,791,522

 

 

(1.1

)%

 

5.2

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-term borrowings, by type:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Customer funding

$

474,022

 

$

494,811

 

 

$

514,025

 

 

$

570,775

 

 

$

622,623

 

 

(4.2

)%

 

(23.9

)%

 

Total Short-Term borrowings

$

474,022

 

$

494,811

 

 

$

514,025

 

 

$

570,775

 

 

$

622,623

 

 

(4.2

)%

 

(23.9

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Consists of overdrafts and net origination fees and costs.

 

 

 

 

 

FULTON FINANCIAL CORPORATION

 

 

 

 

 

 

CONDENSED CONSOLIDATED AVERAGE BALANCE SHEET ANALYSIS (UNAUDITED)

 

 

 

 

 

 

dollars in thousands

 

 

 

 

 

 

 

 

 

Year ended December 31

 

 

 

2021

 

2020

 

 

 

Average

 

Interest

 

Yield/

 

Average

 

Interest

 

Yield/

 

 

 

Balance

 

(1)

 

Rate

 

Balance

 

(1)

 

Rate

ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-earning assets:

 

 

 

 

 

 

 

Net loans

 

$

18,627,787

 

 

$

644,387

 

 

3.46

%

 

$

18,270,390

 

 

$

662,785

 

 

3.63

%

 

Taxable investment securities

 

 

2,665,416

 

 

 

55,351

 

 

1.88

%

 

 

2,182,410

 

 

 

58,173

 

 

2.66

%

 

Tax-exempt investment securities

 

 

1,007,834

 

 

 

30,974

 

 

3.07

%

 

 

825,057

 

 

 

26,641

 

 

3.22

%

 

Total Investment Securities

 

 

3,673,250

 

 

 

86,325

 

 

2.35

%

 

 

3,007,467

 

 

 

84,814

 

 

2.82

%

 

Loans held for sale

 

 

39,211

 

 

 

1,302

 

 

3.32

%

 

 

60,015

 

 

 

2,077

 

 

3.46

%

 

Other interest-earning assets

 

 

2,014,954

 

 

 

3,694

 

 

0.18

%

 

 

1,120,727

 

 

 

5,504

 

 

0.49

%

 

Total Interest-Earning Assets

 

 

24,355,202

 

 

 

735,708

 

 

3.02

%

 

 

22,458,599

 

 

 

755,180

 

 

3.36

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-Earning assets:

 

 

 

 

 

 

 

Cash and due from banks

 

 

165,942

 

 

 

 

 

 

 

139,146

 

 

 

 

 

 

Premises and equipment

 

 

228,708

 

 

 

 

 

 

 

238,864

 

 

 

 

 

 

Other assets

 

 

1,686,053

 

 

 

 

 

 

 

1,746,956

 

 

 

 

 

 

Less: ACL - loans(2)

 

 

(265,572

)

 

 

 

 

 

 

(249,848

)

 

 

 

 

 

Total Assets

 

$

26,170,333

 

 

 

 

 

 

$

24,333,717

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND SHAREHOLDERS' EQUITY

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest-Bearing liabilities:

 

 

 

 

 

 

 

Demand deposits

 

$

5,979,479

 

 

$

3,662

 

 

0.06

%

 

$

5,278,941

 

 

$

11,390

 

 

0.22

%

 

Savings deposits

 

 

6,306,967

 

 

 

4,936

 

 

0.08

%

 

 

5,550,234

 

 

 

14,654

 

 

0.26

%

 

Brokered deposits

 

 

286,901

 

 

 

1,096

 

 

0.38

%

 

 

310,763

 

 

 

2,387

 

 

0.77

%

 

Time deposits

 

 

1,939,446

 

 

 

20,311

 

 

1.05

%

 

 

2,546,305

 

 

 

41,615

 

 

1.63

%

 

Total Interest-Bearing Deposits

 

 

14,512,793

 

 

 

30,005

 

 

0.21

%

 

 

13,686,243

 

 

 

70,046

 

 

0.51

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Short-term borrowings

 

 

513,092

 

 

 

583

 

 

0.11

%

 

 

810,583

 

 

 

5,227

 

 

0.64

%

 

Long-term borrowings

 

 

784,871

 

 

 

29,094

 

 

3.71

%

 

 

1,254,300

 

 

 

38,398

 

 

3.06

%

 

Total Interest-Bearing Liabilities

 

 

15,810,756

 

 

 

59,682

 

 

0.38

%

 

 

15,751,126

 

 

 

113,671

 

 

0.72

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest-Bearing liabilities:

 

 

 

 

 

 

 

Demand deposits

 

 

7,211,153

 

 

 

 

 

 

 

5,714,803

 

 

 

 

 

 

Other

 

 

462,478

 

 

 

 

 

 

 

476,139

 

 

 

 

 

 

Total Liabilities

 

 

23,484,387

 

 

 

 

 

 

 

21,942,068

 

 

 

 

 

 

Total Deposits/Cost of Deposits

 

 

21,723,946

 

 

 

 

0.14

%

 

 

19,401,046

 

 

 

 

0.36

%

 

Total interest-bearing liabilities and non-interest bearing deposits ("Cost of Funds")

 

 

23,021,909

 

 

 

 

0.26

%

 

 

21,465,929

 

 

 

 

0.53

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Shareholders' equity

 

 

2,685,946

 

 

 

 

 

 

 

2,391,649

 

 

 

 

 

 

Total Liabilities and Shareholders' Equity

 

$

26,170,333

 

 

 

 

 

 

$

24,333,717

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income/net interest margin (fully taxable equivalent)

 

 

 

 

676,026

 

 

2.78

%

 

 

 

 

641,509

 

 

2.86

%

 

Tax equivalent adjustment

 

 

 

 

(12,296

)

 

 

 

 

 

 

(12,302

)

 

 

 

Net Interest Income

 

 

 

$

663,730

 

 

 

 

 

 

$

629,207

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Presented on a fully taxable-equivalent basis using a 21% federal tax rate and statutory interest expense disallowances.

 

(2) "ACL - loans" relates to the ACL specifically on "Net Loans" and does not include the ACL related to OBS credit exposures.

FULTON FINANCIAL CORPORATION

AVERAGE LOANS, DEPOSITS AND SHORT-TERM BORROWINGS DETAIL (UNAUDITED):

dollars in thousands

 

 

 

 

 

 

 

 

 

 

 

Year ended December 31

 

 

 

 

 

 

2021

 

 

 

2020

 

 

% Change

Loans, by type:

 

 

 

 

 

 

 

Real estate - commercial mortgage

 

$

7,149,712

 

 

$

6,928,269

 

 

3.2

%

 

Commercial and industrial

 

 

3,932,351

 

 

 

4,237,252

 

 

(7.2

)%

 

Real estate - residential mortgage

 

 

3,501,072

 

 

 

2,876,538

 

 

21.7

%

 

Real estate - home equity

 

 

1,141,042

 

 

 

1,255,094

 

 

(9.1

)%

 

Real estate - construction

 

 

1,078,350

 

 

 

965,534

 

 

11.7

%

 

Consumer

 

 

456,427

 

 

 

466,419

 

 

(2.1

)%

 

Equipment lease financing

 

 

252,104

 

 

 

281,859

 

 

(10.6

)%

 

Other(1)

 

 

(3,776

)

 

 

(4,640

)

 

18.6

%

 

Net loans before PPP

 

 

17,507,282

 

 

 

17,006,325

 

 

2.9

%

 

PPP

 

 

1,120,505

 

 

 

1,264,065

 

 

(11.4

)%

 

Total Net Loans

 

$

18,627,787

 

 

$

18,270,390

 

 

2.0

%

 

 

 

 

 

 

 

 

Deposits, by type:

 

 

 

 

 

 

 

Noninterest-bearing demand

 

$

7,211,153

 

 

$

5,714,803

 

 

26.2

%

 

Interest-bearing demand

 

 

5,979,479

 

 

 

5,278,941

 

 

13.3

%

 

Savings

 

 

6,306,967

 

 

 

5,550,234

 

 

13.6

%

 

Total demand and savings

 

 

19,497,599

 

 

 

16,543,978

 

 

17.9

%

 

Brokered

 

 

286,901

 

 

 

310,763

 

 

(7.7

)%

 

Time

 

 

1,939,446

 

 

 

2,546,305

 

 

(23.8

)%

 

Total Deposits

 

$

21,723,946

 

 

$

19,401,046

 

 

12.0

%

 

 

 

 

 

 

 

 

Short-term borrowings, by type:

 

 

 

 

 

 

 

Customer funding

 

 

513,092

 

 

 

553,033

 

 

(7.2

)%

 

Federal funds purchased

 

 

 

 

 

64,918

 

 

N/M

 

 

Short-term FHLB advances and other borrowings

 

 

 

 

 

192,632

 

 

N/M

 

 

Total Short-Term Borrowings

 

$

513,092

 

 

$

810,583

 

 

(36.7

)%

 

 

 

 

 

 

 

 

N/M - Not meaningful

 

 

 

 

 

 

(1) Consists of overdrafts and net origination fees and costs.

 

 

 

FULTON FINANCIAL CORPORATION

 

 

 

 

 

 

 

 

ASSET QUALITY INFORMATION (UNAUDITED)

 

 

 

 

 

 

 

 

dollars in thousands

 

 

 

 

 

 

 

 

 

 

Three months ended

 

Year Ended December

 

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

Dec 31

 

Dec 31

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

 

 

2021

 

 

 

2020

 

Allowance for credit losses related to net loans:

 

 

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

$

256,727

 

 

$

255,032

 

 

$

265,986

 

 

$

277,567

 

 

$

266,825

 

 

$

277,567

 

 

$

163,621

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Impact of adopting CECL

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

45,723

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans charged off:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

(9,417

)

 

 

(647

)

 

 

(954

)

 

 

(4,319

)

 

 

(1,567

)

 

 

(15,337

)

 

 

(18,915

)

 

Real estate - commercial mortgage

 

(369

)

 

 

(14

)

 

 

(6,506

)

 

 

(1,837

)

 

 

(300

)

 

 

(8,726

)

 

 

(4,225

)

 

Consumer and home equity

 

(828

)

 

 

(504

)

 

 

(1,130

)

 

 

(847

)

 

 

(668

)

 

 

(3,309

)

 

 

(4,593

)

 

Real estate - residential mortgage

 

 

 

 

(602

)

 

 

(496

)

 

 

(192

)

 

 

 

 

 

(1,290

)

 

 

(620

)

 

Real estate - construction

 

 

 

 

 

 

 

 

 

 

(39

)

 

 

 

 

 

(39

)

 

 

(17

)

 

Equipment lease financing and other

 

(380

)

 

 

(467

)

 

 

(436

)

 

 

(968

)

 

 

(483

)

 

 

(2,251

)

 

 

(2,187

)

 

Total loans charged off

 

(10,994

)

 

 

(2,234

)

 

 

(9,522

)

 

 

(8,202

)

 

 

(3,018

)

 

 

(30,952

)

 

 

(30,557

)

Recoveries of loans previously charged off:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

 

5,795

 

 

 

2,330

 

 

 

693

 

 

 

769

 

 

 

4,581

 

 

 

9,587

 

 

 

11,396

 

 

Real estate - commercial mortgage

 

1,007

 

 

 

564

 

 

 

729

 

 

 

174

 

 

 

588

 

 

 

2,474

 

 

 

1,027

 

 

Consumer and home equity

 

767

 

 

 

504

 

 

 

634

 

 

 

440

 

 

 

594

 

 

 

2,345

 

 

 

2,380

 

 

Real estate - residential mortgage

 

89

 

 

 

86

 

 

 

105

 

 

 

95

 

 

 

199

 

 

 

375

 

 

 

491

 

 

Real estate - construction

 

77

 

 

 

697

 

 

 

254

 

 

 

384

 

 

 

179

 

 

 

1,412

 

 

 

5,122

 

 

Equipment lease financing and other

 

283

 

 

 

358

 

 

 

153

 

 

 

159

 

 

 

219

 

 

 

953

 

 

 

604

 

 

Recoveries of loans previously charged off

 

8,018

 

 

 

4,539

 

 

 

2,568

 

 

 

2,021

 

 

 

6,360

 

 

 

17,146

 

 

 

21,020

 

Net loans (charged off) recovered

 

(2,976

)

 

 

2,305

 

 

 

(6,954

)

 

 

(6,181

)

 

 

3,342

 

 

 

(13,806

)

 

 

(9,537

)

Provision for credit losses

 

(4,750

)

 

 

(610

)

 

 

(4,000

)

 

 

(5,400

)

 

 

7,400

 

 

 

(14,760

)

 

 

77,760

 

Balance at end of period

$

249,001

 

 

$

256,727

 

 

$

255,032

 

 

$

265,986

 

 

$

277,567

 

 

$

249,001

 

 

$

277,567

 

Net charge-offs (recoveries) to average loans (annualized)

 

0.07

%

 

 

(0.05

) %

 

 

0.15

%

 

 

0.13

%

 

 

(0.07

) %

 

 

0.07

%

 

 

0.05

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance credit losses related to OBS Credit Exposures(1)

 

 

 

 

 

 

 

 

 

 

Balance at beginning of period

$

14,783

 

 

$

14,773

 

 

$

14,273

 

 

$

14,373

 

 

$

15,533

 

 

 

 

 

 

Provision for credit losses

 

(250

)

 

 

10

 

 

 

500

 

 

 

(100

)

 

 

(1,160

)

 

 

 

 

 

Balance at end of period

$

14,533

 

 

$

14,783

 

 

$

14,773

 

 

$

14,273

 

 

$

14,373

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NON-PERFORMING ASSETS:

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-accrual loans

$

143,666

 

 

$

138,833

 

 

$

147,864

 

 

$

143,889

 

 

$

137,198

 

 

 

 

 

 

Loans 90 days past due and accruing

 

8,453

 

 

 

11,389

 

 

 

5,865

 

 

 

8,559

 

 

 

9,929

 

 

 

 

 

 

Total non-performing loans

 

152,119

 

 

 

150,222

 

 

 

153,729

 

 

 

152,448

 

 

 

147,127

 

 

 

 

 

 

Other real estate owned

 

1,817

 

 

 

1,896

 

 

 

2,779

 

 

 

3,664

 

 

 

4,178

 

 

 

 

 

 

Total non-performing assets

$

153,936

 

 

$

152,118

 

 

$

156,508

 

 

$

156,112

 

 

$

151,305

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NON-PERFORMING LOANS, BY TYPE:

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial and industrial

$

30,629

 

 

$

32,697

 

 

$

33,522

 

 

$

31,871

 

 

$

32,610

 

 

 

 

 

 

Real estate - commercial mortgage

 

54,044

 

 

 

52,100

 

 

 

53,693

 

 

 

54,164

 

 

 

52,647

 

 

 

 

 

 

Real estate - residential mortgage

 

39,399

 

 

 

37,077

 

 

 

38,185

 

 

 

36,152

 

 

 

30,793

 

 

 

 

 

 

Consumer and home equity

 

11,505

 

 

 

11,509

 

 

 

11,408

 

 

 

13,072

 

 

 

13,090

 

 

 

 

 

 

Real estate - construction

 

901

 

 

 

965

 

 

 

1,016

 

 

 

1,440

 

 

 

1,550

 

 

 

 

 

 

Equipment lease financing and other

 

15,641

 

 

 

15,874

 

 

 

15,905

 

 

 

15,749

 

 

 

16,437

 

 

 

 

 

 

Total non-performing loans

$

152,119

 

 

$

150,222

 

 

$

153,729

 

 

$

152,448

 

 

$

147,127

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) The allowance for credit losses related to OBS Credit Exposures is presented in "other liabilities" on the consolidated balance sheets.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FULTON FINANCIAL CORPORATION

RECONCILIATION OF NON-GAAP MEASURES (UNAUDITED)

in thousands, except per share data and percentages

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Explanatory note:

This press release contains supplemental financial information, as detailed below, which has been derived by methods other than Generally Accepted Accounting Principles ("GAAP"). The Corporation has presented these non-GAAP financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations. Presentation of these non-GAAP financial measures is consistent with how the Corporation evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Corporation's industry. Management believes that these non-GAAP financial measures, in addition to GAAP measures, are also useful to investors to evaluate the Corporation's results. Investors should recognize that the Corporation's presentation of these non-GAAP financial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures, and the Corporation strongly encourages a review of its condensed consolidated financial statements in their entirety. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measure follow:

 

 

 

 

 

 

 

Three months ended

 

 

 

 

 

 

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

 

 

 

 

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

Common shareholders' equity (tangible), per share

 

 

 

 

 

 

 

 

 

 

 

Shareholders' equity

 

 

$

2,712,680

 

 

$

2,699,818

 

 

$

2,692,958

 

 

$

2,629,655

 

 

$

2,616,828

 

Less: Preferred stock

 

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

Less: Goodwill and intangible assets

 

 

 

(538,053

)

 

 

(536,697

)

 

 

(536,847

)

 

 

(536,544

)

 

 

(536,659

)

Tangible common shareholders' equity (numerator)

 

 

$

1,981,749

 

 

$

1,970,243

 

 

$

1,963,233

 

 

$

1,900,233

 

 

$

1,887,291

 

 

 

 

 

 

 

 

 

 

 

 

 

Shares outstanding, end of period (denominator)

 

 

 

160,490

 

 

 

161,429

 

 

 

162,988

 

 

 

162,518

 

 

 

162,350

 

 

 

 

 

 

 

 

 

 

 

 

 

Common shareholders' equity (tangible), per share

 

 

$

12.35

 

 

$

12.21

 

 

$

12.05

 

 

$

11.69

 

 

$

11.62

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average common shareholders' equity (tangible)

 

 

 

 

 

 

Net income available to common shareholders

 

 

$

59,325

 

 

$

73,021

 

 

$

62,402

 

 

$

70,472

 

 

$

48,690

 

Plus: Intangible amortization, net of tax

 

 

 

114

 

 

 

118

 

 

 

140

 

 

 

90

 

 

 

104

 

Net income available to common shareholder's (numerator)

 

$

59,439

 

 

$

73,139

 

 

$

62,542

 

 

$

70,562

 

 

$

48,794

 

 

 

 

 

 

 

 

 

 

 

 

 

Average shareholders' equity

 

 

$

2,713,198

 

 

$

2,722,833

 

 

$

2,669,413

 

 

$

2,637,098

 

 

$

2,544,866

 

Less: Average preferred stock

 

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

 

 

(127,639

)

Less: Average goodwill and intangible assets

 

 

 

(536,638

)

 

 

(536,772

)

 

 

(536,470

)

 

 

(536,601

)

 

 

(535,474

)

Average tangible common shareholders' equity (denominator)

 

$

1,983,682

 

 

$

1,993,183

 

 

$

1,940,065

 

 

$

1,907,619

 

 

$

1,881,753

 

 

 

 

 

 

 

 

 

 

 

 

Return on average common shareholders' equity (tangible), annualized

 

 

11.89

%

 

 

14.56

%

 

 

12.93

%

 

 

15.00

%

 

 

10.32

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible common equity to tangible assets (TCE Ratio)

 

 

 

 

 

 

 

 

 

 

 

Shareholders' equity

 

 

$

2,712,680

 

 

$

2,699,818

 

 

$

2,692,958

 

 

$

2,629,655

 

 

$

2,616,828

 

Less: Preferred stock

 

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

 

 

(192,878

)

Less: Goodwill and intangible assets

 

 

 

(538,053

)

 

 

(536,697

)

 

 

(536,847

)

 

 

(536,544

)

 

 

(536,659

)

Tangible common shareholders' equity (numerator)

 

 

$

1,981,749

 

 

$

1,970,243

 

 

$

1,963,233

 

 

$

1,900,233

 

 

$

1,887,291

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

 

 

 

 

 

$

25,796,398

 

 

$

26,390,832

 

 

$

26,079,774

 

 

$

25,892,990

 

 

$

25,906,733

 

Less: Goodwill and intangible assets

 

 

 

(538,053

)

 

 

(536,697

)

 

 

(536,847

)

 

 

(536,544

)

 

 

(536,659

)

Total tangible assets (denominator)

 

 

$

25,258,345

 

 

$

25,854,135

 

 

$

25,542,927

 

 

$

25,356,446

 

 

$

25,370,074

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible common equity to tangible assets

 

 

 

7.85

%

 

 

7.62

%

 

 

7.69

%

 

 

7.49

%

 

 

7.44

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Efficiency ratio

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expense

 

 

$

154,019

 

 

$

144,596

 

 

$

140,831

 

 

$

178,384

 

 

$

154,738

 

Less: Amortization of tax credit investments

 

 

 

(1,547

)

 

 

(1,546

)

 

 

(1,563

)

 

 

(1,531

)

 

 

(1,532

)

Less: Intangible amortization

 

 

 

(146

)

 

 

(150

)

 

 

(178

)

 

 

(115

)

 

 

(132

)

Less: 2020 cost savings initiatives

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(15,400

)

Less: Debt extinguishment costs

 

 

 

(674

)

 

 

 

 

 

(412

)

 

 

(32,163

)

 

 

 

Non-interest expense (numerator)

 

 

$

151,652

 

 

$

142,900

 

 

$

138,678

 

 

$

144,575

 

 

$

137,674

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

$

165,613

 

 

$

171,270

 

 

$

162,399

 

 

$

164,449

 

 

$

161,591

 

Tax equivalent adjustment

 

 

 

3,184

 

 

 

3,114

 

 

 

3,018

 

 

 

2,979

 

 

 

2,987

 

Plus: Total non-interest income

 

 

 

63,881

 

 

 

62,577

 

 

 

51,890

 

 

 

95,397

 

 

 

55,574

 

Less: Investment securities gains, net

 

 

 

(5

)

 

 

 

 

 

(36

)

 

 

(33,475

)

 

 

 

Total revenue (denominator)

 

 

$

232,673

 

 

$

236,961

 

 

$

217,271

 

 

$

229,350

 

 

$

220,152

 

 

 

 

 

 

 

 

 

 

 

 

 

Efficiency ratio

 

 

 

65.2

%

 

 

60.3

%

 

 

63.8

%

 

 

63.0

%

 

 

62.5

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three months ended

 

 

 

 

 

 

 

Dec 31

 

Sep 30

 

Jun 30

 

Mar 31

 

Dec 31

 

 

 

 

 

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2021

 

 

 

2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expenses to total average assets (annualized)

 

 

 

 

 

 

 

 

 

 

 

Non-interest expense

 

 

$

154,019

 

 

$

144,596

 

 

$

140,831

 

 

$

178,384

 

 

$

154,738

 

Less: Amortization of tax credit investments

 

 

 

(1,547

)

 

 

(1,546

)

 

 

(1,563

)

 

 

(1,531

)

 

 

(1,532

)

Less: Intangible amortization

 

 

 

(146

)

 

 

(150

)

 

 

(178

)

 

 

(115

)

 

 

(132

)

Less: 2020 cost savings initiatives

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(15,400

)

Less: Debt extinguishment costs

 

 

 

(674

)

 

 

 

 

 

(412

)

 

 

(32,163

)

 

 

 

Non-interest expense (numerator)

 

 

$

151,652

 

 

$

142,900

 

 

$

138,678

 

 

$

144,575

 

 

$

137,674

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total average assets (denominator)

 

 

$

26,136,536

 

 

$

26,440,876

 

 

$

26,017,542

 

 

$

26,082,816

 

 

$

25,749,405

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expenses to total average assets, (annualized)

 

 

 

2.30

%

 

 

2.14

%

 

 

2.14

%

 

 

2.25

%

 

 

2.13

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Asset Quality, excluding PPP

 

 

 

 

 

 

 

 

 

 

 

Net loans recovered (charged-off) (numerator)

 

 

$

(2,976

)

 

$

2,305

 

 

$

(6,954

)

 

$

(6,181

)

 

$

3,342

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average net loans

 

 

$

18,220,550

 

 

$

18,414,153

 

 

$

18,906,556

 

 

$

18,980,586

 

 

$

18,994,514

 

Less: Average PPP loans

 

 

 

(435,042

)

 

 

(850,618

)

 

 

(1,524,389

)

 

 

(1,688,713

)

 

 

(1,830,426

)

Total adjusted average loans (denominator)

 

 

$

17,785,508

 

 

$

17,563,535

 

 

$

17,382,167

 

 

$

17,291,873

 

 

$

17,164,088

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net charge-offs (recoveries) to adjusted average loans (annualized)

 

 

 

0.07

%

 

 

(0.05

)%

 

 

0.16

%

 

 

0.14

%

 

 

(0.08

)%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-performing loans (numerator)

 

 

$

152,119

 

 

$

150,222

 

 

$

153,729

 

 

$

152,448

 

 

$

147,127

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loans

 

 

$

18,325,350

 

 

$

18,269,407

 

 

$

18,586,756

 

 

$

18,990,986

 

 

$

18,900,820

 

Less: PPP loans

 

 

 

(301,253

)

 

 

(590,447

)

 

 

(1,114,401

)

 

 

(1,688,394

)

 

 

(1,581,712

)

Total adjusted loans (denominator)

 

 

$

18,024,097

 

 

$

17,678,960

 

 

$

17,472,355

 

 

$

17,302,592

 

 

$

17,319,108

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-performing loans to total adjusted loans

 

 

 

0.84

%

 

 

0.85

%

 

 

0.88

%

 

 

0.88

%

 

 

0.85

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ACL - loans (numerator)

 

 

$

249,001

 

 

$

256,727

 

 

$

255,032

 

 

$

265,986

 

 

$

277,567

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loans

 

 

$

18,325,350

 

 

$

18,269,407

 

 

$

18,586,756

 

 

$

18,990,986

 

 

$

18,900,820

 

Less: PPP loans

 

 

 

(301,253

)

 

 

(590,447

)

 

 

(1,114,401

)

 

 

(1,688,394

)

 

 

(1,581,712

)

Total adjusted loans (denominator)

 

 

$

18,024,097

 

 

$

17,678,960

 

 

$

17,472,355

 

 

$

17,302,592

 

 

$

17,319,108

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ACL - loans to total adjusted loans

 

 

 

1.38

%

 

 

1.45

%

 

 

1.46

%

 

 

1.54

%

 

 

1.60

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pre-provision net revenue

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

 

 

$

165,613

 

 

$

171,270

 

 

$

162,399

 

 

$

164,448

 

 

$

161,591

 

Non-interest income

 

 

 

 

 

63,881

 

 

 

62,577

 

 

 

51,890

 

 

 

95,397

 

 

 

55,574

 

Less: Investment securities gains, net

 

 

 

 

 

(5

)

 

 

 

 

 

(36

)

 

 

(33,475

)

 

 

 

Total revenue

 

 

 

 

$

229,489

 

 

$

233,847

 

 

$

214,253

 

 

$

226,370

 

 

$

217,165

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expense

 

 

 

 

$

154,019

 

 

$

144,596

 

 

$

140,831

 

 

$

178,384

 

 

$

154,738

 

Less: Debt extinguishment

 

 

 

 

 

(674

)

 

 

 

 

 

(412

)

 

 

(32,163

)

 

 

 

Less: Amortization on tax credit investments

 

 

 

 

 

(1,547

)

 

 

(1,546

)

 

 

(1,563

)

 

 

(1,531

)

 

 

(1,532

)

Less: Intangible amortization

 

 

 

 

 

(146

)

 

 

(150

)

 

 

(178

)

 

 

(115

)

 

 

(132

)

Total non-interest expense

 

 

 

 

$

151,652

 

 

$

142,900

 

 

$

138,678

 

 

$

144,575

 

 

$

153,074

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pre-provision net revenue

 

 

 

 

$

77,837

 

 

$

90,947

 

 

$

75,575

 

 

$

81,795

 

 

$

64,091

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Note: numbers may not sum due to rounding.

 

Contacts

Media Contact: Laura Wakeley (717) 291-2616

Investor Contact: Matt Jozwiak (717) 327-2657

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 WalnutCreekGuide.com & California Media Partners, LLC. All rights reserved.