FirstSun Capital Bancorp (“FirstSun”) (NASDAQ: FSUN) reported net income of $23.6 million for the first quarter of 2025 compared to net income of $12.3 million for the first quarter of 2024. Earnings per diluted share were $0.83 for the first quarter of 2025 compared to $0.45 for the first quarter of 2024. Adjusted net income, a non-GAAP financial measure, was $14.6 million or $0.53 per diluted share for the first quarter of 2024. Net income, for the first quarter of 2024, was negatively impacted by a provision for credit loss on a specific customer in our commercial and industrial (C&I) loan portfolio of $10.6 million, net of tax, or $0.39 per diluted share.
Neal Arnold, FirstSun’s Chief Executive Officer and President, commented, “We are pleased to deliver another strong quarter as our focus on growing our C&I and consumer relationships across all of our southwestern and western markets continues to yield favorable results. Among the highlights this quarter were a net interest margin of 4.07%, and strong growth in both deposits and loans. We believe our performance amidst this challenging banking environment continues to position us uniquely amongst our peers. While the economic outlook and interest rate environment may remain uncertain, our focus is on what we directly control and executing across all of our diverse businesses to grow our franchise and deliver strong financial results.
“We are also pleased to announce that we have officially opened our new branch locations in San Diego and in Los Angeles. We are excited with our growth in Southern California and we look forward to continuing to grow our clients and business relationships in these large and diverse markets.”
First Quarter 2025 Results
Net income totaled $23.6 million, or $0.83 per diluted share, for the first quarter of 2025, compared to $16.4 million, or $0.58 per diluted share, for the prior quarter. Adjusted net income, a non-GAAP financial measure, was $24.3 million or $0.86 per diluted share for the fourth quarter of 2024.
The return on average total assets was 1.20% for the first quarter of 2025, compared to 0.81% for the prior quarter, and the return on average stockholders’ equity was 9.03% for the first quarter of 2025, compared to 6.22% for the prior quarter. Fourth quarter of 2024 non-recurring expenses, net of tax, negatively impacted return on average total assets by 0.39% and return on average stockholders’ equity by 3.02%.
Net Interest Income and Net Interest Margin
Net interest income totaled $74.5 million for the first quarter of 2025, a decrease of $2.6 million compared to the prior quarter. Our net interest margin decreased two basis points to 4.07% compared to the prior quarter. Results for the first quarter of 2025, compared to the prior quarter, were primarily driven by a decrease of 13 basis points in the yield on earning assets, largely offset by a decrease of 16 basis points in the cost of interest-bearing liabilities.
Average loans, including loans held-for-sale, decreased by $61.0 million in the first quarter of 2025, compared to the prior quarter. Loan yield decreased by 15 basis points to 6.36% in the first quarter of 2025, compared to the prior quarter, primarily due to the declining interest rate environment and its impact on variable rate loans in the portfolio. Average interest-bearing deposits increased $65.0 million in the first quarter of 2025, compared to the prior quarter. Total cost of interest-bearing deposits decreased by 12 basis points to 2.73% in the first quarter of 2025, compared to the prior quarter, primarily due to rate decreases for certificates of deposit and money market deposits. Average FHLB borrowings decreased $92.5 million in the first quarter of 2025, compared to the prior quarter. The cost of FHLB borrowings decreased by 42 basis points to 4.60% in the first quarter of 2025, compared to the prior quarter.
Asset Quality and Provision for Credit Losses
The provision for credit losses totaled $3.8 million for the first quarter of 2025 impacted by deterioration on a specific customer relationship and factors related to increasing economic uncertainty, partially offset by impacts from net portfolio upgrades and increasing prepayment experience.
Net charge-offs for the first quarter of 2025 were $0.6 million resulting in an annualized ratio of net charge-offs to average loans of 0.04%, compared to net charge-offs (recoveries) of $(0.5) million, or an annualized ratio of net-charge offs (recoveries) to average loans of (0.03)% for the prior quarter.
The allowance for credit losses as a percentage of total loans was 1.42% at March 31, 2025, an increase of four basis points from the prior quarter. The ratio of nonperforming assets to total assets was 1.02% at March 31, 2025, compared to 0.92% at December 31, 2024.
Noninterest Income
Noninterest income totaled $21.7 million for the first quarter of 2025, an increase of $0.1 million from the prior quarter. Mortgage banking income decreased $0.6 million for the first quarter of 2025, primarily due to a decrease in MSR capitalization and in the change in fair value of our MSR asset, net of hedging activity, partially offset by an improvement in gain on sale margin.
Other noninterest income increased $0.8 million for the first quarter of 2025, primarily due to an increase in loan syndication and swap service fees. Noninterest income as a percentage of total revenue1 was 22.6%, an increase of 0.7% from the prior quarter.
Noninterest Expense
Noninterest expense totaled $62.7 million for the first quarter of 2025, a decrease of $11.0 million from the prior quarter. Adjusted noninterest expense, a non-GAAP financial measure, totaled $62.8 million for the fourth quarter of 2024. Adjusted noninterest expense, a non-GAAP financial measure, decreased $0.1 million from the prior quarter as the seasonal increase in salary and employee benefits due to payroll taxes was offset by decreases in legal, travel and entertainment, marketing, and collection and appraisal expenses.
The efficiency ratio for the first quarter of 2025 was 65.19% compared to 74.66% for the prior quarter. The adjusted efficiency ratio, a non-GAAP financial measure, for the first quarter of 2025 was 65.19% compared to 63.63% for the prior quarter.
Tax Rate
The effective tax rate was 20.6% for the first quarter of 2025, compared to 18.9% for the prior quarter.
Loans
Loans were $6.5 billion at March 31, 2025 compared to $6.4 billion at December 31, 2024, an increase of $107.7 million in the first quarter of 2025, or 6.8% on an annualized basis primarily due to an increase of $137.3 million of commercial and industrial loans partially offset by a decrease of $28.3 million in commercial real estate.
Deposits
Deposits were $6.9 billion at March 31, 2025 compared to $6.7 billion at December 31, 2024, an increase of $202.0 million in the first quarter of 2025, or 12.3% on an annualized basis primarily due to growth of $140.7 million in savings and money market accounts, $33.6 million in noninterest-bearing demand deposit accounts, and $22.9 million in interest-bearing demand accounts. Noninterest-bearing deposit accounts represented 22.9% of total deposits at March 31, 2025 and the loan-to-deposit ratio was 94.3% at March 31, 2025.
Capital
Capital ratios remain strong and above “well-capitalized” thresholds. As of March 31, 2025, our common equity tier 1 risk-based capital ratio was 13.26%, total risk-based capital ratio was 15.52% and tier 1 leverage ratio was 12.47%. Book value per share was $38.49 at March 31, 2025, an increase of $0.91 from December 31, 2024. Tangible book value per share, a non-GAAP financial measure, was $34.88 at March 31, 2025, an increase of $0.94 from December 31, 2024.
Non-GAAP Financial Measures
This press release contains financial measures determined by methods other than in accordance with principles generally accepted in the United States (“GAAP”). FirstSun management uses these non-GAAP financial measures in their analysis of FirstSun’s performance and the efficiency of its operations. Management believes these non-GAAP measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant items in the current period. FirstSun believes a meaningful analysis of its financial performance requires an understanding of the factors underlying that performance. FirstSun management believes investors may find these non-GAAP financial measures useful. These non-GAAP financial measures, however, 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. Below is a listing of the non-GAAP measures used in this press release:
- Tangible stockholders’ equity to tangible assets;
- Tangible stockholders’ equity to tangible assets, reflecting net unrealized losses on HTM securities, net of tax;
- Tangible book value per share;
- Adjusted net income;
- Adjusted diluted earnings per share;
- Adjusted return on average total assets;
- Adjusted return on average stockholders’ equity;
- Return on average tangible stockholders’ equity;
- Adjusted return on average tangible stockholders’ equity;
- Adjusted total noninterest expense;
- Adjusted efficiency ratio; and
- Fully tax equivalent (“FTE”) net interest income and net interest margin.
The tables within the “Non-GAAP Financial Measures and Reconciliations” section provide a reconciliation of each non-GAAP financial measure contained in this press release to the most comparable GAAP equivalent.
About FirstSun Capital Bancorp
FirstSun Capital Bancorp, headquartered in Denver, Colorado, is the financial holding company for Sunflower Bank, N.A., which operates as Sunflower Bank, First National 1870 and Guardian Mortgage, which we are in the process of rebranding as Sunflower Bank Mortgage Lending. Sunflower Bank provides a full range of relationship-focused services to meet personal, business and wealth management financial objectives, with customers in seven states and mortgage capabilities in 43 states. FirstSun had total consolidated assets of $8.2 billion as of March 31, 2025.
First National 1870 and Guardian Mortgage are divisions of Sunflower Bank, N.A. To learn more, visit ir.firstsuncb.com, SunflowerBank.com, FirstNational1870.com or GuardianMortgageOnline.com.
Day-Count Convention
Annualized ratios are presented utilizing the Actual/Actual day-count convention. Prior period annualized ratios have been recalculated to conform to the current presentation.
1 | Total revenue is net interest income plus noninterest income. |
Summary Data: | |||||||||||||||||||
As of and for the three months ended | |||||||||||||||||||
($ in thousands, except per share amounts) | March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| ||||||||||||||
Net interest income | $ | 74,478 | $ | 77,047 | $ | 76,158 | $ | 72,899 | $ | 70,806 | |||||||||
Provision for credit losses | 3,800 | 4,850 | 5,000 | 1,200 | 16,500 | ||||||||||||||
Noninterest income | 21,729 | 21,635 | 22,075 | 23,274 | 22,808 | ||||||||||||||
Noninterest expense | 62,722 | 73,673 | 64,664 | 63,875 | 61,828 | ||||||||||||||
Income before income taxes | 29,685 | 20,159 | 28,569 | 31,098 | 15,286 | ||||||||||||||
Provision for income taxes | 6,116 | 3,809 | 6,147 | 6,538 | 2,990 | ||||||||||||||
Net income | 23,569 | 16,350 | 22,422 | 24,560 | 12,296 | ||||||||||||||
Adjusted net income1 | 23,569 | 24,316 | 23,655 | 25,181 | 14,592 | ||||||||||||||
Weighted average common shares outstanding, basic | 27,721,760 | 27,668,470 | 27,612,538 | 27,430,761 | 27,019,625 | ||||||||||||||
Weighted average common shares outstanding, diluted | 28,293,912 | 28,290,474 | 28,212,809 | 28,031,956 | 27,628,941 | ||||||||||||||
Diluted earnings per share | $ | 0.83 | $ | 0.58 | $ | 0.79 | $ | 0.88 | $ | 0.45 | |||||||||
Adjusted diluted earnings per share1 | $ | 0.83 | $ | 0.86 | $ | 0.84 | $ | 0.90 | $ | 0.53 | |||||||||
Return on average total assets | 1.20 | % | 0.81 | % | 1.12 | % | 1.27 | % | 0.65 | % | |||||||||
Adjusted return on average total assets1 | 1.20 | % | 1.20 | % | 1.18 | % | 1.30 | % | 0.77 | % | |||||||||
Return on average stockholders' equity | 9.03 | % | 6.22 | % | 8.74 | % | 10.08 | % | 5.18 | % | |||||||||
Adjusted return on average stockholders' equity1 | 9.03 | % | 9.24 | % | 9.22 | % | 10.34 | % | 6.14 | % | |||||||||
Return on average tangible stockholders' equity1 | 10.18 | % | 7.36 | % | 9.94 | % | 11.51 | % | 6.11 | % | |||||||||
Adjusted return on average tangible stockholders' equity1 | 10.18 | % | 10.72 | % | 10.48 | % | 11.79 | % | 7.20 | % | |||||||||
Net interest margin | 4.07 | % | 4.09 | % | 4.08 | % | 4.04 | % | 4.01 | % | |||||||||
Net interest margin (FTE basis)1 | 4.13 | % | 4.15 | % | 4.13 | % | 4.10 | % | 4.08 | % | |||||||||
Efficiency ratio | 65.19 | % | 74.66 | % | 65.83 | % | 66.42 | % | 66.05 | % | |||||||||
Adjusted efficiency ratio1 | 65.19 | % | 63.63 | % | 64.16 | % | 65.33 | % | 63.39 | % | |||||||||
Noninterest income to total revenue2 | 22.6 | % | 21.9 | % | 22.5 | % | 24.2 | % | 24.4 | % | |||||||||
Total assets | $ | 8,216,458 | $ | 8,097,387 | $ | 8,138,487 | $ | 7,999,295 | $ | 7,781,601 | |||||||||
Total loans held-for-sale | 65,603 | 61,825 | 72,247 | 66,571 | 56,813 | ||||||||||||||
Total loans held-for-investment | 6,484,008 | 6,376,357 | 6,443,756 | 6,337,162 | 6,284,868 | ||||||||||||||
Total deposits | 6,874,239 | 6,672,260 | 6,649,880 | 6,619,525 | 6,445,388 | ||||||||||||||
Total stockholders' equity | 1,068,295 | 1,041,366 | 1,034,085 | 996,599 | 964,662 | ||||||||||||||
Loan to deposit ratio | 94.3 | % | 95.6 | % | 96.9 | % | 95.7 | % | 97.5 | % | |||||||||
Period end common shares outstanding | 27,753,918 | 27,709,679 | 27,665,918 | 27,443,246 | 27,442,943 | ||||||||||||||
Book value per share | $ | 38.49 | $ | 37.58 | $ | 37.38 | $ | 36.31 | $ | 35.15 | |||||||||
Tangible book value per share1 | $ | 34.88 | $ | 33.94 | $ | 33.68 | $ | 32.56 | $ | 31.37 | |||||||||
1 | Represents a non-GAAP financial measure. See the tables within the “Non-GAAP Financial Measures and Reconciliations” section for a reconciliation of each non-GAAP measure to the most comparable GAAP equivalent. | |
2 | Total revenue is net interest income plus noninterest income. |
Condensed Consolidated Statements of Income (Unaudited): | |||||
For the three months ended | |||||
($ in thousands, except per share amounts) | March 31,
| March 31,
| |||
Total interest income | $ | 110,447 | $ | 110,040 | |
Total interest expense | 35,969 | 39,234 | |||
Net interest income | 74,478 | 70,806 | |||
Provision for credit losses | 3,800 | 16,500 | |||
Net interest income after provision for credit losses | 70,678 | 54,306 | |||
Noninterest income: | |||||
Service charges on deposits | 2,027 | 2,344 | |||
Treasury management service fees | 4,194 | 3,468 | |||
Credit and debit card fees | 2,586 | 2,759 | |||
Trust and investment advisory fees | 1,421 | 1,463 | |||
Mortgage banking income, net | 9,055 | 9,502 | |||
Other noninterest income | 2,446 | 3,272 | |||
Total noninterest income | 21,729 | 22,808 | |||
Noninterest expense: | |||||
Salaries and benefits | 39,561 | 37,353 | |||
Occupancy and equipment | 9,536 | 8,595 | |||
Amortization of intangible assets | 628 | 815 | |||
Terminated merger related expenses | — | 2,489 | |||
Other noninterest expenses | 12,997 | 12,576 | |||
Total noninterest expense | 62,722 | 61,828 | |||
Income before income taxes | 29,685 | 15,286 | |||
Provision for income taxes | 6,116 | 2,990 | |||
Net income | $ | 23,569 | $ | 12,296 | |
Earnings per share - basic | $ | 0.85 | $ | 0.46 | |
Earnings per share - diluted | $ | 0.83 | $ | 0.45 | |
For the three months ended | ||||||||||||||
($ in thousands, except per share amounts) | March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| |||||||||
Total interest income | $ | 110,447 | $ | 116,039 | $ | 118,932 | $ | 114,529 | $ | 110,040 | ||||
Total interest expense | 35,969 | 38,992 | 42,774 | 41,630 | 39,234 | |||||||||
Net interest income | 74,478 | 77,047 | 76,158 | 72,899 | 70,806 | |||||||||
Provision for credit losses | 3,800 | 4,850 | 5,000 | 1,200 | 16,500 | |||||||||
Net interest income after provision for credit losses | 70,678 | 72,197 | 71,158 | 71,699 | 54,306 | |||||||||
Noninterest income: | ||||||||||||||
Service charges on deposits | 2,027 | 2,219 | 2,560 | 2,372 | 2,344 | |||||||||
Treasury management service fees | 4,194 | 3,982 | 3,748 | 3,631 | 3,468 | |||||||||
Credit and debit card fees | 2,586 | 2,706 | 2,738 | 2,950 | 2,759 | |||||||||
Trust and investment advisory fees | 1,421 | 1,436 | 1,395 | 1,493 | 1,463 | |||||||||
Mortgage banking income, net | 9,055 | 9,631 | 8,838 | 11,043 | 9,502 | |||||||||
Other noninterest income | 2,446 | 1,661 | 2,796 | 1,785 | 3,272 | |||||||||
Total noninterest income | 21,729 | 21,635 | 22,075 | 23,274 | 22,808 | |||||||||
Noninterest expense: | ||||||||||||||
Salaries and benefits | 39,561 | 38,498 | 39,306 | 39,828 | 37,353 | |||||||||
Occupancy and equipment | 9,536 | 9,865 | 9,121 | 8,701 | 8,595 | |||||||||
Amortization of intangible assets | 628 | 1,431 | 651 | 652 | 815 | |||||||||
Terminated merger related expenses | — | 8,010 | 1,633 | 1,046 | 2,489 | |||||||||
Other noninterest expenses | 12,997 | 15,869 | 13,953 | 13,648 | 12,576 | |||||||||
Total noninterest expense | 62,722 | 73,673 | 64,664 | 63,875 | 61,828 | |||||||||
Income before income taxes | 29,685 | 20,159 | 28,569 | 31,098 | 15,286 | |||||||||
Provision for income taxes | 6,116 | 3,809 | 6,147 | 6,538 | 2,990 | |||||||||
Net income | $ | 23,569 | $ | 16,350 | $ | 22,422 | $ | 24,560 | $ | 12,296 | ||||
Earnings per share - basic | $ | 0.85 | $ | 0.59 | $ | 0.81 | $ | 0.90 | $ | 0.46 | ||||
Earnings per share - diluted | $ | 0.83 | $ | 0.58 | $ | 0.79 | $ | 0.88 | $ | 0.45 | ||||
Condensed Consolidated Balance Sheets as of (Unaudited): | |||||||||||||||||||
($ in thousands) | March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| ||||||||||||||
Assets | |||||||||||||||||||
Cash and cash equivalents | $ | 621,377 | $ | 615,917 | $ | 573,674 | $ | 535,766 | $ | 383,605 | |||||||||
Securities available-for-sale, at fair value | 480,615 | 469,076 | 496,811 | 491,649 | 499,078 | ||||||||||||||
Securities held-to-maturity | 34,914 | 35,242 | 35,885 | 36,310 | 36,640 | ||||||||||||||
Loans held-for-sale, at fair value | 65,603 | 61,825 | 72,247 | 66,571 | 56,813 | ||||||||||||||
Loans | 6,484,008 | 6,376,357 | 6,443,756 | 6,337,162 | 6,284,868 | ||||||||||||||
Allowance for credit losses | (91,790 | ) | (88,221 | ) | (83,159 | ) | (78,960 | ) | (79,829 | ) | |||||||||
Loans, net | 6,392,218 | 6,288,136 | 6,360,597 | 6,258,202 | 6,205,039 | ||||||||||||||
Mortgage servicing rights, at fair value | 82,927 | 84,258 | 78,799 | 80,744 | 78,416 | ||||||||||||||
Premises and equipment, net | 82,333 | 82,483 | 82,532 | 83,320 | 84,063 | ||||||||||||||
Other real estate owned and foreclosed assets, net | 4,914 | 5,138 | 4,478 | 4,497 | 4,414 | ||||||||||||||
Goodwill | 93,483 | 93,483 | 93,483 | 93,483 | 93,483 | ||||||||||||||
Intangible assets, net | 6,806 | 7,434 | 8,866 | 9,517 | 10,168 | ||||||||||||||
All other assets | 351,268 | 354,395 | 331,115 | 339,236 | 329,882 | ||||||||||||||
Total assets | $ | 8,216,458 | $ | 8,097,387 | $ | 8,138,487 | $ | 7,999,295 | $ | 7,781,601 | |||||||||
Liabilities and Stockholders' Equity | |||||||||||||||||||
Liabilities: | |||||||||||||||||||
Deposits: | |||||||||||||||||||
Noninterest-bearing demand deposit accounts | $ | 1,574,736 | $ | 1,541,158 | $ | 1,554,762 | $ | 1,562,308 | $ | 1,517,315 | |||||||||
Interest-bearing deposit accounts: | |||||||||||||||||||
Interest-bearing demand accounts | 708,783 | 685,865 | 645,647 | 538,232 | 542,184 | ||||||||||||||
Savings and money market accounts | 2,974,774 | 2,834,123 | 2,608,808 | 2,505,439 | 2,473,255 | ||||||||||||||
NOW accounts | 39,806 | 45,539 | 41,234 | 42,687 | 39,181 | ||||||||||||||
Certificate of deposit accounts | 1,576,140 | 1,565,575 | 1,799,429 | 1,970,859 | 1,873,453 | ||||||||||||||
Total deposits | 6,874,239 | 6,672,260 | 6,649,880 | 6,619,525 | 6,445,388 | ||||||||||||||
Securities sold under agreements to repurchase | 8,515 | 14,699 | 10,913 | 20,408 | 20,423 | ||||||||||||||
Federal Home Loan Bank advances | 35,000 | 135,000 | 215,000 | 145,000 | 144,810 | ||||||||||||||
Other borrowings | 75,969 | 75,841 | 75,709 | 75,577 | 75,445 | ||||||||||||||
Other liabilities | 154,440 | 158,221 | 152,900 | 142,186 | 130,873 | ||||||||||||||
Total liabilities | 7,148,163 | 7,056,021 | 7,104,402 | 7,002,696 | 6,816,939 | ||||||||||||||
Stockholders' equity: | |||||||||||||||||||
Preferred stock | — | — | — | — | — | ||||||||||||||
Common stock | 3 | 3 | 3 | 3 | 3 | ||||||||||||||
Additional paid-in capital | 547,484 | 547,325 | 547,271 | 543,339 | 542,582 | ||||||||||||||
Retained earnings | 556,719 | 533,150 | 516,800 | 494,378 | 469,818 | ||||||||||||||
Accumulated other comprehensive loss, net | (35,911 | ) | (39,112 | ) | (29,989 | ) | (41,121 | ) | (47,741 | ) | |||||||||
Total stockholders' equity | 1,068,295 | 1,041,366 | 1,034,085 | 996,599 | 964,662 | ||||||||||||||
Total liabilities and stockholders' equity | $ | 8,216,458 | $ | 8,097,387 | $ | 8,138,487 | $ | 7,999,295 | $ | 7,781,601 | |||||||||
Consolidated Capital Ratios as of: | ||||||||||||||
March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| ||||||||||
Stockholders' equity to total assets | 13.00 | % | 12.86 | % | 12.71 | % | 12.46 | % | 12.40 | % | ||||
Tangible stockholders' equity to tangible assets1 | 11.93 | % | 11.76 | % | 11.59 | % | 11.32 | % | 11.21 | % | ||||
Tangible stockholders' equity to tangible assets reflecting net unrealized losses on HTM securities, net of tax1, 2 | 11.89 | % | 11.71 | % | 11.56 | % | 11.27 | % | 11.17 | % | ||||
Tier 1 leverage ratio | 12.47 | % | 12.11 | % | 11.96 | % | 11.83 | % | 11.73 | % | ||||
Common equity tier 1 risk-based capital ratio | 13.26 | % | 13.18 | % | 13.06 | % | 12.80 | % | 12.54 | % | ||||
Tier 1 risk-based capital ratio | 13.26 | % | 13.18 | % | 13.06 | % | 12.80 | % | 12.54 | % | ||||
Total risk-based capital ratio | 15.52 | % | 15.42 | % | 15.25 | % | 14.95 | % | 14.73 | % | ||||
1 | Represents a non-GAAP financial measure. See the tables within the “Non-GAAP Financial Measures and Reconciliations” section for a reconciliation of each non-GAAP measure to the most comparable GAAP equivalent. | |
2 | Tangible stockholders’ equity and tangible assets have been adjusted to reflect net unrealized losses on held-to-maturity securities, net of tax. |
Summary of Net Interest Margin: | |||||||||||
For the three months ended | |||||||||||
March 31, 2025 | March 31, 2024 | ||||||||||
(In thousands) | Average
| Average
| Average
| Average
| |||||||
Interest Earning Assets | |||||||||||
Loans1 | 6,420,710 | 6.36 | % | 6,313,855 | 6.51 | % | |||||
Investment securities | 501,809 | 3.53 | % | 546,960 | 3.30 | % | |||||
Interest-bearing cash and other assets | 500,857 | 4.37 | % | 239,508 | 5.52 | % | |||||
Total earning assets | 7,423,376 | 6.03 | % | 7,100,323 | 6.23 | % | |||||
Other assets | 548,976 | 548,642 | |||||||||
Total assets | $ | 7,972,352 | $ | 7,648,965 | |||||||
Interest-bearing liabilities | |||||||||||
Demand and NOW deposits | $ | 720,700 | 3.21 | % | $ | 549,491 | 3.56 | % | |||
Savings deposits | 400,801 | 0.58 | % | 421,882 | 0.69 | % | |||||
Money market deposits | 2,441,737 | 2.19 | % | 2,063,321 | 1.94 | % | |||||
Certificates of deposits | 1,547,634 | 3.91 | % | 1,814,629 | 4.62 | % | |||||
Total deposits | 5,110,872 | 2.73 | % | 4,849,323 | 3.02 | % | |||||
Repurchase agreements | 9,615 | 1.57 | % | 21,254 | 1.07 | % | |||||
Total deposits and repurchase agreements | 5,120,487 | 2.73 | % | 4,870,577 | 3.01 | % | |||||
FHLB borrowings | 29,489 | 4.60 | % | 110,777 | 5.59 | % | |||||
Other long-term borrowings | 75,907 | 6.43 | % | 75,389 | 6.65 | % | |||||
Total interest-bearing liabilities | 5,225,883 | 2.79 | % | 5,056,743 | 3.12 | % | |||||
Noninterest-bearing deposits | 1,532,150 | 1,502,707 | |||||||||
Other liabilities | 155,337 | 134,370 | |||||||||
Stockholders' equity | 1,058,982 | 955,145 | |||||||||
Total liabilities and stockholders' equity | $ | 7,972,352 | $ | 7,648,965 | |||||||
Net interest spread | 3.24 | % | 3.11 | % | |||||||
Net interest margin | 4.07 | % | 4.01 | % | |||||||
Net interest margin (on FTE basis)2 | 4.13 | % | 4.08 | % | |||||||
1 | Includes loans held-for-investment, including nonaccrual loans, and loans held-for-sale. | |
2 | Represents a non-GAAP financial measure. See the tables within the “Non-GAAP Financial Measures and Reconciliations” section for a reconciliation of each non-GAAP measure to the most comparable GAAP equivalent. |
For the three months ended | |||||||||||||||||||||||||||||
March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||||||||||||||||||||||
(In thousands) | Average
| Average
| Average
| Average
| Average
| Average
| Average
| Average
| Average
| Average
| |||||||||||||||||||
Interest Earning Assets | |||||||||||||||||||||||||||||
Loans1 | 6,420,710 | 6.36 | % | 6,481,701 | 6.51 | % | 6,460,484 | 6.68 | % | 6,384,709 | 6.63 | % | 6,313,855 | 6.51 | % | ||||||||||||||
Investment securities | 501,809 | 3.53 | % | 519,221 | 3.40 | % | 527,241 | 3.60 | % | 523,545 | 3.67 | % | 546,960 | 3.30 | % | ||||||||||||||
Interest-bearing cash and other assets | 500,857 | 4.37 | % | 491,326 | 4.48 | % | 442,632 | 5.14 | % | 348,509 | 5.28 | % | 239,508 | 5.52 | % | ||||||||||||||
Total earning assets | 7,423,376 | 6.03 | % | 7,492,248 | 6.16 | % | 7,430,357 | 6.37 | % | 7,256,763 | 6.35 | % | 7,100,323 | 6.23 | % | ||||||||||||||
Other assets | 548,976 | 542,862 | 534,740 | 548,465 | 548,642 | ||||||||||||||||||||||||
Total assets | $ | 7,972,352 | $ | 8,035,110 | $ | 7,965,097 | $ | 7,805,228 | $ | 7,648,965 | |||||||||||||||||||
Interest-bearing liabilities | |||||||||||||||||||||||||||||
Demand and NOW deposits | $ | 720,700 | 3.21 | % | $ | 703,087 | 3.45 | % | $ | 657,537 | 3.73 | % | $ | 621,343 | 3.82 | % | $ | 549,491 | 3.56 | % | |||||||||
Savings deposits | 400,801 | 0.58 | % | 404,762 | 0.64 | % | 411,526 | 0.71 | % | 413,699 | 0.70 | % | 421,882 | 0.69 | % | ||||||||||||||
Money market deposits | 2,441,737 | 2.19 | % | 2,348,328 | 2.23 | % | 2,140,552 | 2.24 | % | 2,092,449 | 2.02 | % | 2,063,321 | 1.94 | % | ||||||||||||||
Certificates of deposits | 1,547,634 | 3.91 | % | 1,589,721 | 4.08 | % | 1,800,502 | 4.56 | % | 1,823,522 | 4.71 | % | 1,814,629 | 4.62 | % | ||||||||||||||
Total deposits | 5,110,872 | 2.73 | % | 5,045,898 | 2.85 | % | 5,010,117 | 3.14 | % | 4,951,013 | 3.13 | % | 4,849,323 | 3.02 | % | ||||||||||||||
Repurchase agreements | 9,615 | 1.57 | % | 10,964 | 1.45 | % | 13,528 | 1.29 | % | 16,553 | 1.16 | % | 21,254 | 1.07 | % | ||||||||||||||
Total deposits and repurchase agreements | 5,120,487 | 2.73 | % | 5,056,862 | 2.85 | % | 5,023,645 | 3.14 | % | 4,967,566 | 3.12 | % | 4,870,577 | 3.01 | % | ||||||||||||||
FHLB borrowings | 29,489 | 4.60 | % | 121,957 | 5.02 | % | 135,641 | 5.58 | % | 130,871 | 5.70 | % | 110,777 | 5.59 | % | ||||||||||||||
Other long-term borrowings | 75,907 | 6.43 | % | 75,778 | 6.41 | % | 75,654 | 6.54 | % | 75,522 | 6.62 | % | 75,389 | 6.65 | % | ||||||||||||||
Total interest-bearing liabilities | 5,225,883 | 2.79 | % | 5,254,597 | 2.95 | % | 5,234,940 | 3.25 | % | 5,173,959 | 3.24 | % | 5,056,743 | 3.12 | % | ||||||||||||||
Noninterest-bearing deposits | 1,532,150 | 1,581,571 | 1,568,685 | 1,517,560 | 1,502,707 | ||||||||||||||||||||||||
Other liabilities | 155,337 | 152,552 | 141,206 | 133,845 | 134,370 | ||||||||||||||||||||||||
Stockholders' equity | 1,058,982 | 1,046,390 | 1,020,266 | 979,864 | 955,145 | ||||||||||||||||||||||||
Total liabilities and stockholders' equity | $ | 7,972,352 | $ | 8,035,110 | $ | 7,965,097 | $ | 7,805,228 | $ | 7,648,965 | |||||||||||||||||||
Net interest spread | 3.24 | % | 3.21 | % | 3.12 | % | 3.11 | % | 3.11 | % | |||||||||||||||||||
Net interest margin | 4.07 | % | 4.09 | % | 4.08 | % | 4.04 | % | 4.01 | % | |||||||||||||||||||
Net interest margin (on FTE basis)2 | 4.13 | % | 4.15 | % | 4.13 | % | 4.10 | % | 4.08 | % | |||||||||||||||||||
1 | Includes loans held-for-investment, including nonaccrual loans, and loans held-for-sale. | |
2 | Represents a non-GAAP financial measure. See the tables within the “Non-GAAP Financial Measures and Reconciliations” section for a reconciliation of each non-GAAP measure to the most comparable GAAP equivalent. |
Deposits as of: | ||||||||||||||
($ in thousands) | March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| |||||||||
Consumer | ||||||||||||||
Noninterest bearing deposit accounts | $ | 412,734 | $ | 410,303 | $ | 397,880 | $ | 414,795 | $ | 356,732 | ||||
Interest-bearing deposit accounts: | ||||||||||||||
Demand and NOW deposits | 93,675 | 61,987 | 61,929 | 42,903 | 38,625 | |||||||||
Savings deposits | 330,489 | 326,916 | 331,811 | 334,741 | 340,086 | |||||||||
Money market deposits | 1,600,413 | 1,516,577 | 1,333,486 | 1,243,355 | 1,229,239 | |||||||||
Certificates of deposits | 1,065,839 | 1,069,704 | 1,247,348 | 1,438,792 | 1,437,590 | |||||||||
Total interest-bearing deposit accounts | 3,090,416 | 2,975,184 | 2,974,574 | 3,059,791 | 3,045,540 | |||||||||
Total consumer deposits | $ | 3,503,150 | $ | 3,385,487 | $ | 3,372,454 | $ | 3,474,586 | $ | 3,402,272 | ||||
Business | ||||||||||||||
Noninterest bearing deposit accounts | $ | 1,162,002 | $ | 1,130,855 | $ | 1,156,882 | $ | 1,147,513 | $ | 1,160,583 | ||||
Interest-bearing deposit accounts: | ||||||||||||||
Demand and NOW deposits | 654,914 | 669,417 | 624,952 | 538,016 | 502,726 | |||||||||
Savings deposits | 75,132 | 75,422 | 77,744 | 77,931 | 80,226 | |||||||||
Money market deposits | 968,740 | 915,208 | 865,767 | 849,412 | 823,704 | |||||||||
Certificates of deposits | 65,420 | 51,131 | 62,187 | 90,189 | 97,854 | |||||||||
Total interest-bearing deposit accounts | 1,764,206 | 1,711,178 | 1,630,650 | 1,555,548 | 1,504,510 | |||||||||
Total business deposits | $ | 2,926,208 | $ | 2,842,033 | $ | 2,787,532 | $ | 2,703,061 | $ | 2,665,093 | ||||
Wholesale deposits1 | $ | 444,881 | $ | 444,740 | $ | 489,894 | $ | 441,878 | $ | 378,023 | ||||
Total deposits | $ | 6,874,239 | $ | 6,672,260 | $ | 6,649,880 | $ | 6,619,525 | $ | 6,445,388 | ||||
1 | Wholesale deposits primarily consist of brokered deposits included in our condensed consolidated balance sheets within certificates of deposits. |
Balance Sheet Ratios as of: | ||||||||||||||
March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| ||||||||||
Cash to total assets1 | 7.50 | % | 7.50 | % | 6.90 | % | 6.60 | % | 4.80 | % | ||||
Loan to deposit ratio | 94.3 | % | 95.6 | % | 96.9 | % | 95.7 | % | 97.5 | % | ||||
Uninsured deposits to total deposits2 | 35.2 | % | 34.8 | % | 32.7 | % | 32.1 | % | 32.0 | % | ||||
Uninsured and uncollateralized deposits to total deposits2 | 26.4 | % | 25.2 | % | 26.8 | % | 25.5 | % | 25.2 | % | ||||
Wholesale deposits and borrowings to total liabilities3 | 6.7 | % | 8.2 | % | 9.9 | % | 8.4 | % | 7.7 | % | ||||
1 | Cash consists of cash and amounts due from banks and interest-bearing deposits with other financial institutions. | |
2 | Uninsured deposits and uninsured and uncollateralized deposits are reported for our wholly-owned subsidiary Sunflower Bank, N.A. and are estimated. | |
3 | Wholesale deposits primarily consist of brokered deposits included in our condensed consolidated balance sheets within certificates of deposits. Wholesale borrowings consist of FHLB overnight and term advances. |
Loan Portfolio as of: | ||||||||||||||
($ in thousands) | March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| |||||||||
Commercial and industrial | $ | 2,635,028 | $ | 2,497,772 | $ | 2,527,636 | $ | 2,431,110 | $ | 2,480,078 | ||||
Commercial real estate: | ||||||||||||||
Non-owner occupied | 733,949 | 752,861 | 821,670 | 866,999 | 836,515 | |||||||||
Owner occupied | 679,137 | 702,773 | 700,325 | 660,511 | 642,930 | |||||||||
Construction and land | 386,056 | 362,677 | 333,457 | 350,878 | 326,447 | |||||||||
Multifamily | 85,239 | 94,355 | 95,125 | 94,220 | 94,898 | |||||||||
Total commercial real estate | 1,884,381 | 1,912,666 | 1,950,577 | 1,972,608 | 1,900,790 | |||||||||
Residential real estate | 1,195,714 | 1,180,610 | 1,172,459 | 1,146,989 | 1,109,676 | |||||||||
Public Finance | 551,252 | 554,784 | 536,776 | 537,872 | 579,991 | |||||||||
Consumer | 39,096 | 41,345 | 45,267 | 42,129 | 40,317 | |||||||||
Other | 178,537 | 189,180 | 211,041 | 206,454 | 174,016 | |||||||||
Total loans, net of deferred costs, fees, premiums, and discounts | $ | 6,484,008 | $ | 6,376,357 | $ | 6,443,756 | $ | 6,337,162 | $ | 6,284,868 | ||||
Asset Quality: | |||||||||||||||||||
As of and for the three months ended | |||||||||||||||||||
($ in thousands) | March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| ||||||||||||||
Net charge-offs (recoveries) | $ | 631 | $ | (462 | ) | $ | 1,401 | $ | 2,009 | $ | 17,429 | ||||||||
Allowance for credit losses | $ | 91,790 | $ | 88,221 | $ | 83,159 | $ | 78,960 | $ | 79,829 | |||||||||
Nonperforming loans, including nonaccrual loans, and accrual loans greater than 90 days past due | $ | 78,590 | $ | 69,050 | $ | 65,824 | $ | 62,558 | $ | 57,599 | |||||||||
Nonperforming assets | $ | 83,504 | $ | 74,188 | $ | 70,302 | $ | 67,055 | $ | 62,013 | |||||||||
Ratio of net charge-offs (recoveries) to average loans outstanding | 0.04 | % | (0.03 | )% | 0.09 | % | 0.13 | % | 1.12 | % | |||||||||
Allowance for credit losses to total loans outstanding | 1.42 | % | 1.38 | % | 1.29 | % | 1.25 | % | 1.27 | % | |||||||||
Allowance for credit losses to total nonperforming loans | 116.80 | % | 127.76 | % | 126.34 | % | 126.22 | % | 138.59 | % | |||||||||
Nonperforming loans to total loans | 1.21 | % | 1.08 | % | 1.02 | % | 0.99 | % | 0.92 | % | |||||||||
Nonperforming assets to total assets | 1.02 | % | 0.92 | % | 0.86 | % | 0.84 | % | 0.80 | % | |||||||||
Non-GAAP Financial Measures and Reconciliations: | |||||||||||||||||||
As of and for the three months ended | |||||||||||||||||||
($ in thousands, except share and per share amounts) | March 31,
| December 31,
| September 30,
| June 30,
| March 31,
| ||||||||||||||
Tangible stockholders’ equity to tangible assets: | |||||||||||||||||||
Total stockholders' equity (GAAP) | $ | 1,068,295 | $ | 1,041,366 | $ | 1,034,085 | $ | 996,599 | $ | 964,662 | |||||||||
Less: Goodwill and other intangible assets | |||||||||||||||||||
Goodwill | (93,483 | ) | (93,483 | ) | (93,483 | ) | (93,483 | ) | (93,483 | ) | |||||||||
Other intangible assets | (6,806 | ) | (7,434 | ) | (8,866 | ) | (9,517 | ) | (10,168 | ) | |||||||||
Tangible stockholders' equity (non-GAAP) | $ | 968,006 | $ | 940,449 | $ | 931,736 | $ | 893,599 | $ | 861,011 | |||||||||
Total assets (GAAP) | $ | 8,216,458 | $ | 8,097,387 | $ | 8,138,487 | $ | 7,999,295 | $ | 7,781,601 | |||||||||
Less: Goodwill and other intangible assets | |||||||||||||||||||
Goodwill | (93,483 | ) | (93,483 | ) | (93,483 | ) | (93,483 | ) | (93,483 | ) | |||||||||
Other intangible assets | (6,806 | ) | (7,434 | ) | (8,866 | ) | (9,517 | ) | (10,168 | ) | |||||||||
Tangible assets (non-GAAP) | $ | 8,116,169 | $ | 7,996,470 | $ | 8,036,138 | $ | 7,896,295 | $ | 7,677,950 | |||||||||
Total stockholders' equity to total assets (GAAP) | 13.00 | % | 12.86 | % | 12.71 | % | 12.46 | % | 12.40 | % | |||||||||
Less: Impact of goodwill and other intangible assets | (1.07 | )% | (1.10 | )% | (1.12 | )% | (1.14 | )% | (1.19 | )% | |||||||||
Tangible stockholders' equity to tangible assets (non-GAAP) | 11.93 | % | 11.76 | % | 11.59 | % | 11.32 | % | 11.21 | % | |||||||||
Tangible stockholders’ equity to tangible assets, reflecting net unrealized losses on HTM securities, net of tax: | |||||||||||||||||||
Tangible stockholders' equity (non-GAAP) | $ | 968,006 | $ | 940,449 | $ | 931,736 | $ | 893,599 | $ | 861,011 | |||||||||
Less: Net unrealized losses on HTM securities, net of tax | (3,803 | ) | (4,292 | ) | (2,852 | ) | (3,949 | ) | (4,236 | ) | |||||||||
Tangible stockholders’ equity less net unrealized losses on HTM securities, net of tax (non-GAAP) | $ | 964,203 | $ | 936,157 | $ | 928,884 | $ | 889,650 | $ | 856,775 | |||||||||
Tangible assets (non-GAAP) | $ | 8,116,169 | $ | 7,996,470 | $ | 8,036,138 | $ | 7,896,295 | $ | 7,677,950 | |||||||||
Less: Net unrealized losses on HTM securities, net of tax | (3,803 | ) | (4,292 | ) | (2,852 | ) | (3,949 | ) | (4,236 | ) | |||||||||
Tangible assets less net unrealized losses on HTM securities, net of tax (non-GAAP) | $ | 8,112,366 | $ | 7,992,178 | $ | 8,033,286 | $ | 7,892,346 | $ | 7,673,714 | |||||||||
Tangible stockholders’ equity to tangible assets (non-GAAP) | 11.93 | % | 11.76 | % | 11.59 | % | 11.32 | % | 11.21 | % | |||||||||
Less: Net unrealized losses on HTM securities, net of tax | (0.04 | )% | (0.05 | )% | (0.03 | )% | (0.05 | )% | (0.04 | )% | |||||||||
Tangible stockholders’ equity to tangible assets reflecting net unrealized losses on HTM securities, net of tax (non-GAAP) | 11.89 | % | 11.71 | % | 11.56 | % | 11.27 | % | 11.17 | % | |||||||||
Tangible book value per share: | |||||||||||||||||||
Total stockholders' equity (GAAP) | $ | 1,068,295 | $ | 1,041,366 | $ | 1,034,085 | $ | 996,599 | $ | 964,662 | |||||||||
Tangible stockholders' equity (non-GAAP) | $ | 968,006 | $ | 940,449 | $ | 931,736 | $ | 893,599 | $ | 861,011 | |||||||||
Total shares outstanding | 27,753,918 | 27,709,679 | 27,665,918 | 27,443,246 | 27,442,943 | ||||||||||||||
Book value per share (GAAP) | $ | 38.49 | $ | 37.58 | $ | 37.38 | $ | 36.31 | $ | 35.15 | |||||||||
Tangible book value per share (non-GAAP) | $ | 34.88 | $ | 33.94 | $ | 33.68 | $ | 32.56 | $ | 31.37 | |||||||||
Adjusted net income: | |||||||||||||||||||
Net income (GAAP) | $ | 23,569 | $ | 16,350 | $ | 22,422 | $ | 24,560 | $ | 12,296 | |||||||||
Add: Non-recurring adjustments: | |||||||||||||||||||
Terminated merger related expenses, net of tax | — | 5,799 | 1,233 | 621 | 2,296 | ||||||||||||||
Write-off of Guardian Mortgage tradename, net of tax | — | 625 | — | — | — | ||||||||||||||
Disposal of ATMs, net of tax | — | 1,542 | — | — | — | ||||||||||||||
Total adjustments, net of tax | — | 7,966 | 1,233 | 621 | 2,296 | ||||||||||||||
Adjusted net income (non-GAAP) | $ | 23,569 | $ | 24,316 | $ | 23,655 | $ | 25,181 | $ | 14,592 | |||||||||
Adjusted diluted earnings per share: | |||||||||||||||||||
Diluted earnings per share (GAAP) | $ | 0.83 | $ | 0.58 | $ | 0.79 | $ | 0.88 | $ | 0.45 | |||||||||
Add: Impact of non-recurring adjustments: | |||||||||||||||||||
Terminated merger related expenses, net of tax | — | 0.21 | 0.05 | 0.02 | 0.08 | ||||||||||||||
Write-off of Guardian Mortgage tradename, net of tax | — | 0.02 | — | — | — | ||||||||||||||
Disposal of ATMs, net of tax | — | 0.05 | — | — | — | ||||||||||||||
Adjusted diluted earnings per share (non-GAAP) | $ | 0.83 | $ | 0.86 | $ | 0.84 | $ | 0.90 | $ | 0.53 | |||||||||
Adjusted return on average total assets: | |||||||||||||||||||
Return on average total assets (ROAA) (GAAP) | 1.20 | % | 0.81 | % | 1.12 | % | 1.27 | % | 0.65 | % | |||||||||
Add: Impact of non-recurring adjustments: | |||||||||||||||||||
Terminated merger related expenses, net of tax | — | % | 0.28 | % | 0.06 | % | 0.03 | % | 0.12 | % | |||||||||
Write-off of Guardian Mortgage tradename, net of tax | — | % | 0.03 | % | — | % | — | % | — | % | |||||||||
Disposal of ATMs, net of tax | — | % | 0.08 | % | — | % | — | % | — | % | |||||||||
Adjusted ROAA (non-GAAP) | 1.20 | % | 1.20 | % | 1.18 | % | 1.30 | % | 0.77 | % | |||||||||
Adjusted return on average stockholders’ equity: | |||||||||||||||||||
Return on average stockholders' equity (ROACE) (GAAP) | 9.03 | % | 6.22 | % | 8.74 | % | 10.08 | % | 5.18 | % | |||||||||
Add: Impact of non-recurring adjustments: | |||||||||||||||||||
Terminated merger related expenses, net of tax | — | % | 2.19 | % | 0.48 | % | 0.26 | % | 0.96 | % | |||||||||
Write-off of Guardian Mortgage tradename, net of tax | — | % | 0.24 | % | — | % | — | % | — | % | |||||||||
Disposal of ATMs, net of tax | — | % | 0.59 | % | — | % | — | % | — | % | |||||||||
Adjusted ROACE (non-GAAP) | 9.03 | % | 9.24 | % | 9.22 | % | 10.34 | % | 6.14 | % | |||||||||
Return on average tangible stockholders’ equity | |||||||||||||||||||
Return on average stockholders’ equity (ROACE) (GAAP) | 9.03 | % | 6.22 | % | 8.74 | % | 10.08 | % | 5.18 | % | |||||||||
Add: Impact from goodwill and other intangible assets: | |||||||||||||||||||
Goodwill | 0.94 | % | 0.67 | % | 0.98 | % | 1.19 | % | 0.63 | % | |||||||||
Other intangible assets | 0.21 | % | 0.47 | % | 0.22 | % | 0.24 | % | 0.30 | % | |||||||||
Return on average tangible stockholders’ equity (ROATCE) (non-GAAP) | 10.18 | % | 7.36 | % | 9.94 | % | 11.51 | % | 6.11 | % | |||||||||
Adjusted return on average tangible stockholders’ equity: | |||||||||||||||||||
Return on average tangible stockholders' equity (ROATCE) (non-GAAP) | 10.18 | % | 7.36 | % | 9.94 | % | 11.51 | % | 6.11 | % | |||||||||
Add: Impact of non-recurring adjustments: | |||||||||||||||||||
Terminated merger related expenses, net of tax | — | % | 2.45 | % | 0.54 | % | 0.28 | % | 1.09 | % | |||||||||
Write-off of Guardian Mortgage tradename, net of tax | — | % | 0.26 | % | — | % | — | % | — | % | |||||||||
Disposal of ATMs, net of tax | — | % | 0.65 | % | — | % | — | % | — | % | |||||||||
Adjusted ROATCE (non-GAAP) | 10.18 | % | 10.72 | % | 10.48 | % | 11.79 | % | 7.20 | % | |||||||||
Adjusted total noninterest expense: | |||||||||||||||||||
Total noninterest expense (GAAP) | $ | 62,722 | $ | 73,673 | $ | 64,664 | $ | 63,875 | $ | 61,828 | |||||||||
Less: Non-recurring adjustments: | |||||||||||||||||||
Terminated merger related expenses | — | (8,010 | ) | (1,633 | ) | (1,046 | ) | (2,489 | ) | ||||||||||
Write-off of Guardian Mortgage trade name | — | (828 | ) | — | — | — | |||||||||||||
Disposal of ATMs | — | (2,042 | ) | — | — | — | |||||||||||||
Total adjustments | — | (10,880 | ) | (1,633 | ) | (1,046 | ) | (2,489 | ) | ||||||||||
Adjusted total noninterest expense (non-GAAP) | $ | 62,722 | $ | 62,793 | $ | 63,031 | $ | 62,829 | $ | 59,339 | |||||||||
Adjusted efficiency ratio: | |||||||||||||||||||
Efficiency ratio (GAAP) | 65.19 | % | 74.66 | % | 65.83 | % | 66.42 | % | 66.05 | % | |||||||||
Less: Impact of non-recurring adjustments: | |||||||||||||||||||
Terminated merger related expenses | — | % | (8.12 | )% | (1.67 | )% | (1.09 | )% | (2.66 | )% | |||||||||
Write-off of Guardian Mortgage tradename | — | % | (0.84 | )% | — | % | — | % | — | % | |||||||||
Disposal of ATMs | — | % | (2.07 | )% | — | % | — | % | — | % | |||||||||
Adjusted efficiency ratio (non-GAAP) | 65.19 | % | 63.63 | % | 64.16 | % | 65.33 | % | 63.39 | % | |||||||||
Fully tax equivalent (“FTE”) net interest income and net interest margin: | |||||||||||||||||||
Net interest income (GAAP) | $ | 74,478 | $ | 77,047 | $ | 76,158 | $ | 72,899 | $ | 70,806 | |||||||||
Gross income effect of tax exempt income | 1,192 | 1,161 | 1,132 | 1,156 | 1,318 | ||||||||||||||
FTE net interest income (non-GAAP) | $ | 75,670 | $ | 78,208 | $ | 77,290 | $ | 74,055 | $ | 72,124 | |||||||||
Average earning assets | $ | 7,423,376 | $ | 7,492,248 | $ | 7,430,357 | $ | 7,256,763 | $ | 7,100,323 | |||||||||
Net interest margin | 4.07 | % | 4.09 | % | 4.08 | % | 4.04 | % | 4.01 | % | |||||||||
Net interest margin on FTE basis (non-GAAP) | 4.13 | % | 4.15 | % | 4.13 | % | 4.10 | % | 4.08 | % | |||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20250425252618/en/
