07/20/2022 | Press release | Distributed by Public on 07/20/2022 14:17
BETHESDA, Md., July 20, 2022 (GLOBE NEWSWIRE) -- Eagle Bancorp, Inc. (the "Company") (NASDAQ: EGBN), the parent company of EagleBank (the "Bank"), today announced net income of $25.2 million for the second quarter 2022, compared to net income of $45.7 million for the prior quarter and $48.0 million for the year-ago quarter. Net income was $0.79 per share (basic) and $0.78 per share (diluted) for the second quarter 2022, compared to $1.43 per share (basic) and $1.42 per share (diluted) for the prior quarter and $1.50 per share (basic and diluted) for the year-ago quarter.
The decrease in earnings of $20.5 million from the first quarter of 2022 (the "prior quarter") was primarily driven by an increase in noninterest expense accruals related to the previously disclosed agreement in principle with the Securities and Exchange Commission ("SEC") staff to pay a civil money penalty and disgorgement, plus prejudgment interest, for an aggregate expense of $13.4 million1 to resolve the SEC's investigation with respect to the Company, while the prior quarter included a reduction in noninterest expense accruals related to share-based compensation awards and deferred compensation to our former CEO and Chairman of $5.0 million.
Second Quarter 2022 Highlights
(Dollars in thousands, except per share) | As Of or For the Three Months Ended | Percent Change | |||||||||||||||
June 30, | March 31, | June 30, | Q2-22 | Q2-22 | |||||||||||||
2022 | 2022 | 2021 | vs. Q1-22 | vs. Q2 21 | |||||||||||||
Income Statement | |||||||||||||||||
Net income | $ | 25,220 | $ | 45,744 | $ | 47,993 | (44.9 | )% | (47.5 | )% | |||||||
Net income per diluted share | $ | 0.78 | $ | 1.42 | $ | 1.50 | (45.1 | )% | (48.0 | )% | |||||||
Dividend per common share | $ | 0.45 | $ | 0.40 | $ | 0.35 | 12.5 | % | 28.6 | % | |||||||
Selected Ratios | |||||||||||||||||
Return on Average Assets | 0.86 | % | 1.46 | % | 1.68 | % | |||||||||||
Return on Average Common Equity | 7.89 | % | 13.83 | % | 14.92 | % | |||||||||||
Return on Average Tangible Common Equity3 | 8.59 | % | 14.99 | % | 16.25 | % | |||||||||||
Net interest margin | 2.94 | % | 2.65 | % | 3.04 | % | |||||||||||
Efficiency Ratio1 | 55.87 | % | 35.28 | % | 37.14 | % | |||||||||||
Balance Sheet | |||||||||||||||||
Assets | $ | 10,936,448 | $ | 11,227,223 | $ | 10,960,718 | (2.6 | )% | (0.2 | )% | |||||||
Loans | $ | 7,154,686 | $ | 7,113,807 | $ | 7,259,558 | 0.6 | % | (1.4 | )% | |||||||
Loans (excluding PPP loans)4 | $ | 7,145,709 | $ | 7,078,063 | $ | 7,021,517 | 1.0 | % | 1.8 | % | |||||||
Deposits | $ | 9,171,618 | $ | 9,586,259 | $ | 9,019,047 | (4.3 | )% | 1.7 | % | |||||||
Total Capital (to risk weighted assets) | 15.81 | % | 15.86 | % | 17.98 | % | |||||||||||
Per Share | |||||||||||||||||
Book value per share | $ | 39.35 | $ | 39.89 | $ | 40.87 | (1.4 | )% | (3.7 | )% | |||||||
Tangible book value per share | $ | 36.10 | $ | 36.64 | $ | 37.58 | (1.5 | )% | (3.9 | )% | |||||||
Asset quality | |||||||||||||||||
Allowance for credit losses to total loans | 1.02 | % | 1.01 | % | 1.28 | % | |||||||||||
Nonperforming assets ("NPAs") to total assets | 0.19 | % | 0.23 | % | 0.50 | % | |||||||||||
Net (recovery) charge-off ratio to avg. loans (annualized) | (0.04 | )% | 0.03 | % | 0.30 | % |
CEO Commentary
Susan G. Riel, President and Chief Executive Officer of Eagle Bancorp, Inc. commented, "The results for the second quarter are encouraging as loan balances increased for a third consecutive quarter and asset quality metrics continue to improve."
"Additionally, our CRE and C&I pipelines remain strong as our lending teams continue to be active in their calling efforts. And on construction lending, even with the successful completion of projects, our unfunded commitments were up slightly to $2.3 billion at quarter-end. As more opportunities arise, our total risk-based capital of 15.81%, gives us ample room to continue to grow the loan portfolio."
"For our shareholders, we remain focused on increasing value and returning cash through dividends. At the end of the quarter, our board declared a dividend of $0.45 per share, which is an increase of $0.05 per share from the prior quarter."
"We once again thank all of our employees for their commitment in serving the needs of our clients and communities. Additionally, we remain committed to a culture of respect, diversity and inclusion in both the workplace and the communities we serve."
Income Statement
(Dollars in thousands) | Three Months Ended | Percent Change | |||||||||||||||
June 30, | March 31, | June 30, | Q2-22 | Q2-22 | |||||||||||||
2022 | 2022 | 2021 | vs. Q1-22 | vs. Q2 21 | |||||||||||||
Net interest income | $ | 82,918 | $ | 80,452 | $ | 84,632 | 3.1 | % | (2.0 | )% | |||||||
Noninterest income | 5,564 | 7,453 | 10,925 | (25.3 | )% | (49.1 | )% | ||||||||||
Less: Noninterest expense | (49,438 | ) | (31,012 | ) | (35,494 | ) | 59.4 | % | 39.3 | % | |||||||
PPNR | $ | 39,044 | $ | 56,893 | $ | 60,063 | (31.4 | )% | (35.0 | )% | |||||||
Average Assets | $ | 11,701,622 | $ | 12,701,152 | $ | 11,453,080 | (7.9 | )% | 2.2 | % | |||||||
PPNR to Avg. Assets (non-GAAP) | 1.33 | % | 1.79 | % | 2.10 | % |
Balance Sheet
Percent Change | |||||||||||||||||
(Dollars in thousands) | June 30, | March 31, | June 30, | Q1-22 | Q1-22 | ||||||||||||
2022 | 2022 | 2021 | vs. Q4 21 | vs. Q1 21 | |||||||||||||
Total loans, excluding loans held for sale (GAAP) | $ | 7,154,686 | $ | 7,113,807 | $ | 7,259,558 | 0.6 | % | (1.4 | )% | |||||||
Less: PPP loans (non-GAAP) | (8,977 | ) | (35,744 | ) | (238,041 | ) | |||||||||||
Total loans, excluding loans held for sale and PPP loans (non-GAAP) | $ | 7,145,709 | $ | 7,078,063 | $ | 7,021,517 | 1.0 | % | 1.8 | % |
For the Company | |||||||||||
Well | |||||||||||
June 30, | March 31, | June 30, | Capitalized | ||||||||
20229 |
2022 |
2021 |
Minimum | ||||||||
Regulatory Ratios | |||||||||||
Total Capital (to risk weighted assets) | 15.81 | % | 15.86 | % | 17.98 | % | 10.00 | % | |||
Tier 1 Capital (to risk weighted assets) | 14.68 | % | 14.74 | % | 14.67 | % | 8.00 | % | |||
Common Equity Tier 1 (to risk weighted assets) | 14.68 | % | 14.74 | % | 14.67 | % | 6.50 | % | |||
Tier 1 Capital (to average assets) | 10.76 | % | 9.93 | % | 10.65 | % | 5.00 | % | |||
Common Capital Ratios | |||||||||||
Common Equity Ratio | 11.54 | % | 11.40 | % | 11.92 | % | - | % | |||
Tangible Common Equity Ratio | 10.69 | % | 10.57 | % | 11.07 | % | - | % |
Legal Update
Additional financial information: The financial information that follows provides more detail on the Company's financial performance for the three months ended June 30, 2022 as compared to the three months ended March 31, 2022 and June 30, 2021 as well as eight quarters of trend data. Persons wishing additional information should refer to the Company's annual report on Form 10-K for the year ended December 31, 2021, quarterly report on Form 10-Q for the quarter ended March 31, 2022 and other reports filed with the SEC.
About Eagle Bancorp: The Company is the holding company for EagleBank, which commenced operations in 1998. The Bank is headquartered in Bethesda, Maryland, and operates through seventeen banking offices and five lending offices, located in Suburban Maryland, Washington, D.C. and Northern Virginia. The Company focuses on building relationships with businesses, professionals and individuals in its marketplace, and is committed to a culture of respect, diversity, equity and inclusion in both its workplace and the communities in which it operates.
Conference call: Eagle Bancorp will host a conference call to discuss its second quarter 2022 financial results on Thursday, July 21, 2022 at 10:00 a.m. eastern time. The public is invited to listen to this registering at the link https://register.vevent.com/register/BIbfb78eb2f18a476f86d056e181426905, or by accessing the call on the Company's website, www.EagleBankCorp.com. A replay of the conference call will be available on the Company's website through August 5, 2022.
Forward-looking statements: This press release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by use of words such as "may," "will," "can," "anticipates," "believes," "expects," "plans," "estimates," "potential," "continue," "should," "could," "strive," "feel" and similar words or phrases. These statements are based upon current and anticipated economic conditions, nationally and in the Company's market (including ongoing challenges and uncertainties relating to the evolution and continuation of the COVID-19 pandemic, including on our credit quality, asset and loan growth and broader business operations), volatility in interest rates and interest rate policy, the current high inflationary environment competitive factors, and other conditions which by their nature, are not susceptible to accurate forecast and are subject to significant uncertainty. Because of these uncertainties and the assumptions on which this discussion and the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein. For details on factors that could affect these expectations, see the risk factors and other cautionary language included in the Company's Annual Report on Form 10-K for the year ended December 31, 2021 and in other periodic and current reports filed with the SEC. Readers are cautioned against placing undue reliance on any such forward-looking statements. The Company's past results are not necessarily indicative of future performance, and nothing contained herein is meant to or should be considered and treated as earnings guidance of future quarters' performance projections. All information is as of the date of this press release. Any forward-looking statements made by or on behalf of the Company speak only as to the date they are made. Except to the extent required by applicable law or regulation, the Company undertakes no obligation to revise or update publicly any forward-looking statement for any reason.
____________________________________
1 Aggregate is comprised of $10.0 million civil penalty, $2.6 million disgorgement and $750,493 prejudgment interest.
2 A reconciliation between this non-GAAP financial measure and the nearest GAAP measure is provided in the tables that accompany this document
3 A reconciliation between this non-GAAP financial measure and the nearest GAAP measure is provided in the tables that accompany this document.
4 A reconciliation between this non-GAAP financial measure and the nearest GAAP measure is provided in the table under the subsection, "Total Loans."
5 A reconciliation between this non-GAAP financial measure and the nearest GAAP measure is provided in the table below. An explanation of the reconciliations and the reasons why the Company believes this non-GAAP financial measure to be important for investors is included with the reconciliation tables accompanying this document.
6 A reconciliation between this non-GAAP financial measure and the nearest GAAP measure is provided in the tables that accompany this document.
7 A reconciliation between this non-GAAP financial measure and the nearest GAAP measure is provided in the table below. An explanation of the reconciliations and the reasons why the Company believes this non-GAAP financial measure to be important for investors is included with the reconciliation tables accompanying this document.
8 A reconciliation of non-GAAP financial measures to the nearest GAAP measure is provided in the tables that accompany this document.
9 Capital ratios for June 30, 2022 are subject to final filings with the Federal Reserve.
Eagle Bancorp, Inc. | |||||||||||
Consolidated Financial Highlights (Unaudited) | |||||||||||
(Dollars in thousands, except per share data) | |||||||||||
Three Months Ended | |||||||||||
June 30, | March 31, | June 30, | |||||||||
2022 | 2022 | 2021 | |||||||||
Income Statements: | |||||||||||
Total interest income | $ | 95,635 | $ | 88,321 | $ | 94,920 | |||||
Total interest expense | 12,717 | 7,869 | 10,288 | ||||||||
Net interest income | 82,918 | 80,452 | 84,632 | ||||||||
Provision (reversal) for credit losses | 495 | (2,787 | ) | (3,856 | ) | ||||||
Provision (reversal) for unfunded commitments | 553 | (11 | ) | (761 | ) | ||||||
Net interest income after provision for credit losses | 81,870 | 83,250 | 89,249 | ||||||||
Noninterest income (before investment gain) | 5,715 | 7,478 | 10,607 | ||||||||
Gain (loss) on sale of investment securities | (151 | ) | (25 | ) | 318 | ||||||
Total noninterest income | 5,564 | 7,453 | 10,925 | ||||||||
Total noninterest expense | 49,438 | 31,012 | 35,494 | ||||||||
Income before income tax expense | 37,996 | 59,691 | 64,680 | ||||||||
Income tax expense | 12,776 | 13,947 | 16,687 | ||||||||
Net income | $ | 25,220 | $ | 45,744 | $ | 47,993 | |||||
Per Share Data: | |||||||||||
Earnings per weighted average common share, basic | $ | 0.79 | $ | 1.43 | $ | 1.50 | |||||
Earnings per weighted average common share, diluted | $ | 0.78 | $ | 1.42 | $ | 1.50 | |||||
Weighted average common shares outstanding, basic | 32,080,657 | 32,033,280 | 31,962,819 | ||||||||
Weighted average common shares outstanding, diluted | 32,142,427 | 32,110,099 | 32,025,110 | ||||||||
Actual shares outstanding at period end | 32,081,241 | 32,079,474 | 31,961,573 | ||||||||
Book value per common share at period end | $ | 39.35 | $ | 39.89 | $ | 40.87 | |||||
Tangible book value per common share at period end(1) | $ | 36.10 | $ | 36.64 | $ | 37.58 | |||||
Dividend per common share | $ | 0.45 | $ | 0.40 | $ | 0.35 | |||||
Performance Ratios (annualized): | |||||||||||
Return on average assets | 0.86 | % | 1.46 | % | 1.68 | % | |||||
Return on average common equity | 7.89 | % | 13.83 | % | 14.92 | % | |||||
Return on average tangible common equity(1) | 8.59 | % | 14.99 | % | 16.25 | % | |||||
Net interest margin | 2.94 | % | 2.65 | % | 3.04 | % | |||||
Efficiency ratio(2) | 55.9 | % | 35.3 | % | 37.1 | % | |||||
Other Ratios: | |||||||||||
Allowance for credit losses to total loans(3) | 1.02 | % | 1.01 | % | 1.28 | % | |||||
Allowance for credit losses to total nonperforming loans | 386 | % | 301 | % | 187 | % | |||||
Nonperforming loans to total loans(3) | 0.26 | % | 0.33 | % | 0.68 | % | |||||
Nonperforming assets to total assets | 0.19 | % | 0.23 | % | 0.50 | % | |||||
Net (recovery) charge-off (annualized) to average total loans(3) | (0.04 | )% | 0.03 | % | 0.30 | % | |||||
Average noninterest bearing deposits to average deposits | 37.9 | % | 36.1 | % | 33.3 | % | |||||
Yield on loans(3) | 4.51 | % | 4.35 | % | 4.79 | % | |||||
Cost of funds | 0.45 | % | 0.26 | % | 0.37 | % |
Eagle Bancorp, Inc. | |||||||||||
Consolidated Financial Highlights (Continued) (Unaudited) | |||||||||||
(Dollars in thousands) | |||||||||||
Three Months Ended | |||||||||||
June 30, | March 31, | June 30, | |||||||||
2022 | 2022 | 2021 | |||||||||
Capital Ratios | |||||||||||
Common equity to total assets | 11.54 | % | 11.40 | % | 11.92 | % | |||||
Tier 1 capital (to average assets) | 10.76 | % | 9.93 | % | 10.65 | % | |||||
Total capital (to risk weighted assets) | 15.81 | % | 15.86 | % | 17.98 | % | |||||
Common equity tier 1 capital (to risk weighted assets) | 14.68 | % | 14.74 | % | 14.67 | % | |||||
Tangible common equity ratio(1) | 10.69 | % | 10.57 | % | 11.07 | % | |||||
Loan Balances - Period End: | |||||||||||
Commercial and Industrial | $ | 1,394,835 | $ | 1,377,615 | $ | 1,359,157 | |||||
PPP loans | $ | 8,977 | $ | 35,744 | $ | 238,041 | |||||
Commercial real estate - income producing | $ | 3,606,506 | $ | 3,543,795 | $ | 3,534,057 | |||||
Commercial real estate - owner occupied | $ | 1,080,249 | $ | 1,104,982 | $ | 991,936 | |||||
1-4 Family mortgage | $ | 72,793 | $ | 72,238 | $ | 77,131 | |||||
Construction - commercial and residential | $ | 804,170 | $ | 783,101 | $ | 835,733 | |||||
Construction - C&I (owner occupied) | $ | 129,717 | $ | 140,282 | $ | 161,187 | |||||
Home equity | $ | 53,193 | $ | 54,804 | $ | 60,559 | |||||
Other consumer | $ | 4,246 | $ | 1,246 | $ | 1,757 | |||||
Average Balances: | |||||||||||
Total assets | $ | 11,701,622 | $ | 12,701,152 | $ | 11,453,080 | |||||
Total earning assets | $ | 11,300,267 | $ | 12,326,473 | $ | 11,153,012 | |||||
Total loans(3) | $ | 7,104,727 | $ | 7,053,701 | $ | 7,382,238 | |||||
Total deposits | $ | 10,184,886 | $ | 10,874,976 | $ | 9,530,909 | |||||
Total borrowings | $ | 152,583 | $ | 371,987 | $ | 536,926 | |||||
Total shareholders' equity | $ | 1,281,847 | $ | 1,341,785 | $ | 1,290,029 | |||||
Asset Quality: | |||||||||||
Net (recovery) charge-off | $ | (674 | ) | $ | 459 | $ | 5,586 | ||||
Nonperforming loans | $ | 18,844 | $ | 23,750 | $ | 49,479 | |||||
Other real estate owned | $ | 1,487 | $ | 1,635 | $ | 4,987 | |||||
Nonperforming assets | $ | 20,331 | $ | 25,386 | $ | 54,466 |
(1) A reconciliation of non-GAAP financial measures to the nearest non-GAAP measure is provided in the tables that accompany this document.
(2) Computed by dividing noninterest expense by the sum of net interest income and noninterest income. The efficiency ratio measures a bank's overhead as a percentage of its revenue.
(3) Excludes loans held for sale.
GAAP Reconciliation (unaudited) | |||||||||||
(dollars in thousands, except per share data) | |||||||||||
June 30, | March 31, | June 30, | |||||||||
2022 | 2022 | 2021 | |||||||||
Common shareholders' equity | $ | 1,262,243 | $ | 1,279,554 | $ | 1,306,336 | |||||
Less: Intangible assets | (104,257 | ) | (104,241 | ) | (105,148 | ) | |||||
Tangible common equity | $ | 1,157,986 | $ | 1,175,313 | $ | 1,201,188 | |||||
Book value per common share | $ | 39.35 | $ | 39.89 | $ | 40.87 | |||||
Less: Intangible book value per common share | (3.25 | ) | (3.25 | ) | (3.29 | ) | |||||
Tangible book value per common share | $ | 36.10 | $ | 36.64 | $ | 37.58 | |||||
Total assets | $ | 10,936,448 | $ | 11,227,223 | $ | 10,960,718 | |||||
Less: Intangible assets | (104,257 | ) | (104,241 | ) | (105,148 | ) | |||||
Tangible assets | $ | 10,832,191 | $ | 11,122,982 | $ | 10,855,570 | |||||
Tangible common equity ratio | 10.69 | % | 10.57 | % | 11.07 | % | |||||
Allowance for credit losses | $ | (72,665 | ) | $ | (71,505 | ) | $ | (92,560 | ) | ||
Total loans, excluding loans held for sale | $ | 7,154,686 | $ | 7,113,807 | $ | 7,259,558 | |||||
Less: PPP loans (non-GAAP) | (8,977 | ) | (35,744 | ) | (238,041 | ) | |||||
Total loans excluding PPP loans (non-GAAP) | $ | 7,145,709 | $ | 7,078,063 | $ | 7,021,517 | |||||
Allowance for credit losses: | |||||||||||
As a % of total loans (GAAP) | 1.02 | % | 1.01 | % | 1.28 | % | |||||
As a % of total loans excl. PPP loans (non-GAAP) | 1.02 | % | 1.01 | % | 1.32 | % | |||||
Three Months Ended | |||||||||||
June 30, | March 31, | June 30, | |||||||||
2022 | 2022 | 2021 | |||||||||
Average common shareholders' equity | $ | 1,281,847 | $ | 1,341,785 | $ | 1,290,029 | |||||
Less: Average intangible assets | (104,257 | ) | (104,246 | ) | (105,165 | ) | |||||
Average tangible common equity | $ | 1,177,590 | $ | 1,237,539 | $ | 1,184,864 | |||||
Net Income | $ | 25,220 | $ | 45,744 | $ | 47,993 | |||||
Return on average tangible common equity(1) | 8.59 | % | 14.99 | % | 16.25 | % | |||||
Net interest income | $ | 82,918 | $ | 80,452 | $ | 84,632 | |||||
Noninterest income | 5,564 | 7,453 | 10,925 | ||||||||
Operating revenue | $ | 88,482 | $ | 87,905 | $ | 95,557 | |||||
Noninterest expense | $ | 49,438 | $ | 31,012 | $ | 35,494 | |||||
Efficiency ratio | 55.9 | % | 35.3 | % | 37.1 | % | |||||
Salaries and employee benefits | $ | - | $ | 17,019 | $ | - | |||||
Accrual reduction for former CEO and Chairman | - | 5,018 | - | ||||||||
Adj. Salaries and employee benefits (non-GAAP) | $ | - | $ | 22,037 | $ | - | |||||
(1) Periods of less than a year are annualized. |
GAAP Reconciliation (unaudited) | ||
(dollars in thousands, except per share data) | ||
Three Months | ||
Ended | ||
June 30, | ||
2022 | ||
Net income | $ | 25,220 |
Reversal: Penalty & disgorgement | 13,350 | |
Adjusted net income | $ | 38,570 |
Earnings per share (diluted) | $ | 0.78 |
Reversal: Penalty, disgorgement & prejudgment interest | 0.42 | |
Adjusted earnings per share (diluted) | $ | 1.20 |
Weighted average common shares outstanding, diluted | 32,142,427 | |
GAAP Reconciliation (unaudited) - Continued
Tangible common equity to tangible assets (the "tangible common equity ratio"), tangible book value per common share, and the return on average tangible common equity are non-GAAP financial measures derived from GAAP based amounts. The Company calculates the tangible common equity ratio by excluding the balance of intangible assets from common shareholders' equity and dividing by tangible assets. The Company calculates tangible book value per common share by dividing tangible common equity by common shares outstanding, as compared to book value per common share, which the Company calculates by dividing common shareholders' equity by common shares outstanding. The Company calculates the annualized return on average tangible common equity ratio by dividing net income available to common shareholders by average tangible common equity which is calculated by excluding the average balance of intangible assets from the average common shareholders' equity. The Company considers this information important to shareholders as tangible equity is a measure that is consistent with the calculation of capital for bank regulatory purposes, which excludes intangible assets from the calculation of risk based ratios and as such is useful for investors, regulators, management and others to evaluate capital adequacy and to compare against other financial institutions. The above table provides reconciliation of these financial measures defined by GAAP with non-GAAP financial measures.
Pre-provision net revenue is a non-GAAP financial measure derived from GAAP based amounts. The Company calculates PPNR by subtracting noninterest expenses from the sum of net interest income and noninterest income. PPNR to Average Assets is calculated by dividing the PPNR amount by average assets to obtain a percentage. The Company considers this information important to shareholders because it illustrates revenue excluding the impact of provisions and reversals to the allowance for credit losses on loans. The table in the "Income Statement" section of this earnings release provides a reconciliation of PPNR and PPNR to Average Assets to the nearest GAAP measure.
Total loans excluding PPP loans is a non-GAAP financial measure derived from GAAP based amounts. The Company calculates Total loans excluding PPP loans by subtracting the total amount of outstanding PPP loans from the amount of total loans, excluding loans held for sale. The Company considers this information important to shareholders because it allows investors to see changes in the Company's loan growth without the impact of the PPP loans, which were loan products specific to relief efforts in response to the COVID-19 pandemic. Excluding the impact of PPP loans also allows investors to better compare the Company's loan growth to historical periods prior to the pandemic. The table in the "Balance Sheet" section of this earnings release and the table above provides a reconciliation of total loans excluding PPP loans to the nearest GAAP measure.
Efficiency ratio is a non-GAAP measure calculated by dividing GAAP non-interest expense by the sum of GAAP net interest income and GAAP non-interest (loss) income. Management believes that reporting the non-GAAP efficiency ratio more closely measures its effectiveness of controlling operational activities. The table above shows the calculation of the efficiency ratio from these GAAP measures.
Adjusted salaries and employee benefits is a non-GAAP financial measure derived from GAAP based amounts. The Company calculates adjusted salaries and employee benefits by subtracting from total salaries and employee benefits the one-time accrual reduction of $5.0 million related to share-based compensation awards and deferred compensation for the Company's former CEO and Chairman in the first quarter of 2022. The Company considers this information important to shareholders because the accrual reduction was a one-time event that occurred during the first quarter of 2022. The Adjusted Salaries and Employee Benefits non-GAAP measure provides investors insight into how salaries and employee benefits changed exclusive of the one-time accrual reduction, and allows investors to better compare the Company's performance against historical periods. The table above provides a reconciliation of adjusted salaries and employee benefits to the nearest GAAP measure.
Adjusted net income and adjusted earnings per share (diluted) are non-GAAP financial measures derived from GAAP based amounts. The Company calculates adjusted net income by excluding from net income the $13.4 million accrual of non-tax deductible expenses during the quarter to cover the Company's civil money penalty and disgorgement, plus prejudgment interest, in connection with the Company's agreement in principle with the SEC to resolve the previously disclosed investigation with respect to the Company. The Company calculates adjusted earnings per share (diluted) by dividing the same $13.4 million accrual by the weighted average shares outstanding (diluted) in the second quarter of 2022. The Company considers this information important to shareholders because adjusted net income and adjusted earnings per share (diluted) provides investors insight into how Company earnings changed exclusive of the costs related to the agreement in principle with the SEC, and allow investors to better compare the Company's performance against historical periods. The table above provides a reconciliation of adjusted net income and adjusted earnings per share (diluted) to the nearest GAAP measure.
Eagle Bancorp, Inc. | |||||||||||
Consolidated Balance Sheets (Unaudited) | |||||||||||
(Dollars in thousands, except per share data) | |||||||||||
June 30, | March 31, | June 30, | |||||||||
Assets | 2022 | 2022 | 2021 | ||||||||
Cash and due from banks | $ | 13,132 | $ | 12,140 | $ | 9,290 | |||||
Federal funds sold | 42,697 | 27,359 | 20,346 | ||||||||
Interest bearing deposits with banks and other short-term investments | 369,337 | 682,883 | 1,566,586 | ||||||||
Investment securities available for sale at fair value (amortized cost of $1,897,967 , $1,873,491, and $1,674,264, net of allowance for credit losses of $18, $18 and $132 as of June 30, 2022, March 31, 2022 and June 30, 2021, respectively) |
1,755,254 | 1,775,633 | 1,681,031 | ||||||||
Investment securities held to maturity (fair value of $1,083,880, $1,144,505 and $0, net of allowance for credit losses of $826, $817 and $0, as of June 30, 2022, March 31, 2022 and June 30, 2021, respectively) |
1,143,632 | 1,153,399 | - | ||||||||
Federal Reserve and Federal Home Loan Bank stock | 33,990 | 29,026 | 34,033 | ||||||||
Loans held for sale | 13,814 | 25,504 | 55,949 | ||||||||
Loans | 7,154,686 | 7,113,807 | 7,259,558 | ||||||||
Less allowance for credit losses | (72,665 | ) | (71,505 | ) | (92,560 | ) | |||||
Loans, net | 7,082,021 | 7,042,302 | 7,166,998 | ||||||||
Premises and equipment, net | 13,643 | 14,014 | 15,941 | ||||||||
Operating lease right-of-use assets | 27,548 | 28,969 | 29,066 | ||||||||
Deferred income taxes | 92,167 | 81,087 | 42,369 | ||||||||
Bank owned life insurance | 110,047 | 109,415 | 107,516 | ||||||||
Intangible assets, net | 104,257 | 104,241 | 105,148 | ||||||||
Other real estate owned | 1,487 | 1,635 | 4,987 | ||||||||
Other assets | 133,422 | 139,616 | 121,458 | ||||||||
Total assets | $ | 10,936,448 | $ | 11,227,223 | $ | 10,960,718 | |||||
Liabilities and Shareholders' Equity | |||||||||||
Deposits: | |||||||||||
Noninterest bearing demand | $ | 2,831,934 | $ | 2,951,594 | $ | 2,641,636 | |||||
Interest bearing transaction | 985,431 | 888,598 | 946,228 | ||||||||
Savings and money market | 4,741,180 | 5,047,548 | 4,653,161 | ||||||||
Time deposits | 613,073 | 698,519 | 778,022 | ||||||||
Total deposits | 9,171,618 | 9,586,259 | 9,019,047 | ||||||||
Customer repurchase agreements | 26,539 | 28,293 | 19,651 | ||||||||
Other short-term borrowings | 280,000 | 150,000 | 300,000 | ||||||||
Long-term borrowings | 69,732 | 69,701 | 218,273 | ||||||||
Operating lease liabilities | 32,414 | 33,935 | 31,662 | ||||||||
Reserve for unfunded commitments | 4,921 | 4,369 | 4,295 | ||||||||
Other liabilities | 88,981 | 75,112 | 61,454 | ||||||||
Total liabilities | 9,674,205 | 9,947,669 | 9,654,382 | ||||||||
Shareholders' Equity | |||||||||||
Common stock, par value $.01 per share; shares authorized 100,000,000, shares issued and outstanding 32,081,241, 32,079,474, and 31,961,573 respectively |
318 | 318 | 316 | ||||||||
Additional paid in capital | 440,418 | 437,820 | 431,103 | ||||||||
Retained earnings | 973,876 | 963,140 | 870,397 | ||||||||
Accumulated other comprehensive income (loss) | (152,369 | ) | (121,724 | ) | 4,520 | ||||||
Total Shareholders' Equity | 1,262,243 | 1,279,554 | 1,306,336 | ||||||||
Total Liabilities and Shareholders' Equity | $ | 10,936,448 | $ | 11,227,223 | $ | 10,960,718 |
Eagle Bancorp, Inc. | |||||||||||||||||||
Consolidated Statements of Income (Unaudited) | |||||||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||||||
Three Months Ended | Six Months Ended | ||||||||||||||||||
June 30, | March 31, | June 30, | June 30, | June 30, | |||||||||||||||
2022 | 2022 | 2021 | 2022 | 2021 | |||||||||||||||
Interest Income | |||||||||||||||||||
Interest and fees on loans | $ | 80,142 | $ | 75,830 | $ | 88,704 | $ | 155,972 | $ | 177,942 | |||||||||
Interest and dividends on investment securities | 12,997 | 11,430 | 5,606 | 24,427 | 10,001 | ||||||||||||||
Interest on balances with other banks and short-term invest. | 2,451 | 1,057 | 603 | 3,508 | 1,156 | ||||||||||||||
Interest on federal funds sold | 45 | 4 | 7 | 49 | 15 | ||||||||||||||
Total interest income | 95,635 | 88,321 | 94,920 | 183,956 | 189,114 | ||||||||||||||
Interest Expense | |||||||||||||||||||
Interest on deposits | 11,538 | 6,359 | 6,799 | 17,897 | 14,698 | ||||||||||||||
Interest on customer repurchase agreements | 22 | 13 | 9 | 35 | 20 | ||||||||||||||
Interest on other short-term borrowings | 120 | 460 | 501 | 580 | 996 | ||||||||||||||
Interest on long-term borrowings | 1,037 | 1,037 | 2,979 | 2,074 | 6,117 | ||||||||||||||
Total interest expense | 12,717 | 7,869 | 10,288 | 20,586 | 21,831 | ||||||||||||||
Net Interest Income | 82,918 | 80,452 | 84,632 | 163,370 | 167,283 | ||||||||||||||
Provision / (Reversal) for Credit Losses | 495 | (2,787 | ) | (3,856 | ) | (2,292 | ) | (6,206 | ) | ||||||||||
Provision / (Reversal) for Unfunded Commitments | 553 | (11 | ) | (761 | ) | 542 | (1,203 | ) | |||||||||||
Net Interest Income After Provision For Credit Losses | 81,870 | 83,250 | 89,249 | 165,120 | 174,692 | ||||||||||||||
Noninterest Income | |||||||||||||||||||
Service charges on deposits | 1,345 | 1,286 | 1,122 | 2,631 | 2,099 | ||||||||||||||
Gain on sale of loans | 855 | 1,492 | 3,478 | 2,347 | 8,656 | ||||||||||||||
Gain (loss) on sale of investment securities | (151 | ) | (25 | ) | 318 | (176 | ) | 539 | |||||||||||
Incr. in the cash surrender value of bank owned life insurance | 632 | 626 | 398 | 1,258 | 787 | ||||||||||||||
Other income | 2,883 | 4,074 | 5,609 | 6,957 | 9,431 | ||||||||||||||
Total noninterest income | 5,564 | 7,453 | 10,925 | 13,017 | 21,512 | ||||||||||||||
Noninterest Expense | |||||||||||||||||||
Salaries and employee benefits | 21,805 | 17,019 | 19,876 | 38,824 | 41,645 | ||||||||||||||
Premises and equipment expenses | 3,523 | 3,128 | 3,644 | 6,651 | 7,262 | ||||||||||||||
Marketing and advertising | 1,186 | 1,064 | 980 | 2,250 | 1,866 | ||||||||||||||
Data processing | 2,729 | 2,880 | 2,751 | 5,609 | 5,565 | ||||||||||||||
Legal, accounting and professional fees | 2,137 | 1,561 | 3,503 | 3,698 | 6,502 | ||||||||||||||
FDIC insurance | 906 | 1,058 | 1,609 | 1,964 | 4,037 | ||||||||||||||
Other expense | 17,152 | 4,302 | 3,131 | 21,454 | 6,604 | ||||||||||||||
Total noninterest expense | 49,438 | 31,012 | 35,494 | 80,450 | 73,481 | ||||||||||||||
Income Before Income Tax Expense | 37,996 | 59,691 | 64,680 | 97,687 | 122,723 | ||||||||||||||
Income Tax Expense | 12,776 | 13,947 | 16,687 | 26,723 | 31,261 | ||||||||||||||
Net Income | $ | 25,220 | $ | 45,744 | $ | 47,993 | $ | 70,964 | $ | 91,462 | |||||||||
Earnings Per Common Share | |||||||||||||||||||
Basic | $ | 0.79 | $ | 1.43 | $ | 1.50 | $ | 2.21 | $ | 2.87 | |||||||||
Diluted | $ | 0.78 | $ | 1.42 | $ | 1.50 | $ | 2.21 | $ | 2.86 |
Eagle Bancorp, Inc. | |||||||||||||||||
Consolidated Average Balances, Interest Yields And Rates vs. Prior Quarter (Unaudited) | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Three Months Ended | |||||||||||||||||
June 30, 2022 | March 31, 2022 | ||||||||||||||||
Average Balance |
Interest |
Average Yield/Rate |
Average Balance |
Interest |
Average Yield/Rate |
||||||||||||
ASSETS | |||||||||||||||||
Interest earning assets: | |||||||||||||||||
Interest bearing deposits with other banks and other short-term investments | $ | 1,193,253 | $ | 2,451 | 0.82 | % | $ | 2,403,017 | $ | 1,057 | 0.18 | % | |||||
Loans held for sale(1) | 16,342 | 179 | 4.38 | % | 26,887 | 219 | 3.26 | % | |||||||||
Loans(1) (2) | 7,104,727 | 79,963 | 4.51 | % | 7,053,701 | 75,611 | 4.35 | % | |||||||||
Investment securities available for sale(2) | 1,793,047 | 7,022 | 1.57 | % | 2,794,681 | 11,280 | 1.64 | % | |||||||||
Investment securities held to maturity(2) | 1,157,308 | 5,975 | 2.07 | % | 24,011 | 150 | 2.53 | % | |||||||||
Federal funds sold | 35,590 | 45 | 0.51 | % | 24,176 | 4 | 0.07 | % | |||||||||
Total interest earning assets | 11,300,267 | $ | 95,635 | 3.39 | % | 12,326,473 | $ | 88,321 | 2.91 | % | |||||||
Total noninterest earning assets | 474,279 | 449,784 | |||||||||||||||
Less: allowance for credit losses | 72,924 | 75,105 | |||||||||||||||
Total noninterest earning assets | 401,355 | 374,679 | |||||||||||||||
TOTAL ASSETS | $ | 11,701,622 | $ | 12,701,152 | |||||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||
Interest bearing liabilities: | |||||||||||||||||
Interest bearing transaction | $ | 856,388 | $ | 630 | 0.30 | % | $ | 754,833 | $ | 322 | 0.17 | % | |||||
Savings and money market | 4,810,047 | 8,772 | 0.73 | % | 5,476,721 | 3,723 | 0.28 | % | |||||||||
Time deposits | 657,220 | 2,136 | 1.30 | % | 722,646 | 2,314 | 1.30 | % | |||||||||
Total interest bearing deposits | 6,323,655 | 11,538 | 0.73 | % | 6,954,200 | 6,359 | 0.37 | % | |||||||||
Customer repurchase agreements | 25,112 | 22 | 0.35 | % | 25,628 | 13 | 0.21 | % | |||||||||
Other short-term borrowings | 57,750 | 120 | 0.83 | % | 276,669 | 460 | 0.67 | % | |||||||||
Long-term borrowings | 69,721 | 1,037 | 5.95 | % | 69,690 | 1,037 | 5.95 | % | |||||||||
Total interest bearing liabilities | 6,476,238 | $ | 12,717 | 0.79 | % | 7,326,187 | $ | 7,869 | 0.44 | % | |||||||
Noninterest bearing liabilities: | |||||||||||||||||
Noninterest bearing demand | 3,861,231 | 3,920,776 | |||||||||||||||
Other liabilities | 82,306 | 112,404 | |||||||||||||||
Total noninterest bearing liabilities | 3,943,537 | 4,033,180 | |||||||||||||||
Shareholders' equity | 1,281,847 | 1,341,785 | |||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 11,701,622 | $ | 12,701,152 | |||||||||||||
Net interest income | $ | 82,918 | $ | 80,452 | |||||||||||||
Net interest spread | 2.60 | % | 2.47 | % | |||||||||||||
Net interest margin | 2.94 | % | 2.65 | % | |||||||||||||
Cost of funds | 0.45 | % | 0.26 | % |
(1) Loans placed on nonaccrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled $4.3 million and $3.7 million for the three months ended June 30, 2022 and March 31, 2022, respectively.
(2) Interest and fees on loans and investments exclude tax equivalent adjustments.
Eagle Bancorp, Inc. | |||||||||||||||||
Consolidated Average Balances, Interest Yields And Rates vs. Year Ago Quarter (Unaudited) | |||||||||||||||||
(Dollars in thousands) | |||||||||||||||||
Three Months Ended June 30, | |||||||||||||||||
2022 | 2021 | ||||||||||||||||
Average Balance |
Interest |
Average Yield/Rate |
Average Balance |
Interest |
Average Yield/Rate |
||||||||||||
ASSETS | |||||||||||||||||
Interest earning assets: | |||||||||||||||||
Interest bearing deposits with other banks and other short-term investments | $ | 1,193,253 | $ | 2,451 | 0.82 | % | $ | 2,087,831 | $ | 603 | 0.12 | % | |||||
Loans held for sale(1) | 16,342 | 179 | 4.38 | % | 76,668 | 557 | 2.87 | % | |||||||||
Loans(1) (2) | 7,104,727 | 79,963 | 4.51 | % | 7,382,238 | 88,149 | 4.79 | % | |||||||||
Investment securities available for sale(2) | 1,793,047 | 7,022 | 1.57 | % | 1,576,977 | 5,604 | 1.43 | % | |||||||||
Investment securities held to maturity(2) | 1,157,308 | 5,975 | 2.07 | % | - | - | - | % | |||||||||
Federal funds sold | 35,590 | 45 | 0.51 | % | 29,298 | 7 | 0.10 | % | |||||||||
Total interest earning assets | 11,300,267 | $ | 95,635 | 3.39 | % | 11,153,012 | $ | 94,920 | 3.41 | % | |||||||
Total noninterest earning assets | 474,279 | 400,978 | |||||||||||||||
Less: allowance for credit losses | 72,924 | 100,910 | |||||||||||||||
Total noninterest earning assets | 401,355 | 300,068 | |||||||||||||||
TOTAL ASSETS | $ | 11,701,622 | $ | 11,453,080 | |||||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||
Interest bearing liabilities: | |||||||||||||||||
Interest bearing transaction | $ | 856,388 | $ | 630 | 0.30 | % | $ | 842,914 | $ | 388 | 0.18 | % | |||||
Savings and money market | 4,810,047 | 8,772 | 0.73 | % | 4,715,193 | 3,699 | 0.31 | % | |||||||||
Time deposits | 657,220 | 2,136 | 1.30 | % | 797,383 | 2,712 | 1.36 | % | |||||||||
Total interest bearing deposits | 6,323,655 | 11,538 | 0.73 | % | 6,355,490 | 6,799 | 0.43 | % | |||||||||
Customer repurchase agreements | 25,112 | 22 | 0.35 | % | 18,683 | 9 | 0.19 | % | |||||||||
Other short-term borrowings | 57,750 | 120 | 0.83 | % | 300,003 | 501 | 0.66 | % | |||||||||
Long-term borrowings | 69,721 | 1,037 | 5.95 | % | 218,240 | 2,979 | 5.40 | % | |||||||||
Total interest bearing liabilities | 6,476,238 | $ | 12,717 | 0.79 | % | 6,892,416 | $ | 10,288 | 0.60 | % | |||||||
Noninterest bearing liabilities: | |||||||||||||||||
Noninterest bearing demand | 3,861,231 | 3,175,419 | |||||||||||||||
Other liabilities | 82,306 | 95,216 | |||||||||||||||
Total noninterest bearing liabilities | 3,943,537 | 3,270,635 | |||||||||||||||
Shareholders' equity | 1,281,847 | 1,290,029 | |||||||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 11,701,622 | $ | 11,453,080 | |||||||||||||
Net interest income | $ | 82,918 | $ | 84,632 | |||||||||||||
Net interest spread | 2.60 | % | 2.81 | % | |||||||||||||
Net interest margin | 2.94 | % | 3.04 | % | |||||||||||||
Cost of funds | 0.45 | % | 0.37 | % |
(1) Loans placed on nonaccrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled $4.3 million and $13.4 million for the three months ended June 30, 2022 and June 30, 2021, respectively.
(2) Interest and fees on loans and investments exclude tax equivalent adjustments.
Eagle Bancorp, Inc. | |||||||||||||||||||||||||||||||
Statements of Income and Highlights Quarterly Trends (Unaudited) | |||||||||||||||||||||||||||||||
(Dollars in thousands, except per share data) | |||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||
June 30, | March 31, | December 31, | September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||
Income Statements: | 2022 | 2022 | 2021 | 2021 | 2021 | 2021 | 2020 | 2020 | |||||||||||||||||||||||
Total interest income | $ | 95,635 | $ | 88,321 | $ | 86,230 | $ | 89,152 | $ | 94,920 | $ | 94,194 | $ | 94,680 | $ | 93,833 | |||||||||||||||
Total interest expense | 12,717 | 7,869 | 8,044 | 10,107 | 10,288 | 11,543 | 13,262 | 14,795 | |||||||||||||||||||||||
Net interest income | 82,918 | 80,452 | 78,186 | 79,045 | 84,632 | 82,651 | 81,418 | 79,038 | |||||||||||||||||||||||
Provision (reversal) for credit losses | 495 | (2,787 | ) | (6,412 | ) | (8,203 | ) | (3,856 | ) | (2,350 | ) | 4,917 | 6,607 | ||||||||||||||||||
Provision (reversal) for unfunded commitments | 553 | (11 | ) | (632 | ) | 716 | (761 | ) | (442 | ) | 406 | (2,078 | ) | ||||||||||||||||||
Net interest income after provision for credit losses | 81,870 | 83,250 | 85,230 | 86,532 | 89,249 | 85,443 | 76,095 | 74,509 | |||||||||||||||||||||||
Noninterest income before investment gain (loss) | 5,715 | 7,478 | 9,668 | 6,780 | 10,607 | 10,366 | 9,722 | 17,729 | |||||||||||||||||||||||
Gain (loss) on sale of investment securities | (151 | ) | (25 | ) | 906 | 1,519 | 318 | 221 | 165 | 115 | |||||||||||||||||||||
Total noninterest income | 5,564 | 7,453 | 10,574 | 8,299 | 10,925 | 10,587 | 9,887 | 17,844 | |||||||||||||||||||||||
Salaries and employee benefits | 21,805 | 17,019 | 24,608 | 22,145 | 19,876 | 21,769 | 20,151 | 19,388 | |||||||||||||||||||||||
Premises and equipment | 3,523 | 3,128 | 3,755 | 3,859 | 3,644 | 3,618 | 3,301 | 5,125 | |||||||||||||||||||||||
Marketing and advertising | 1,186 | 1,064 | 1,286 | 1,013 | 980 | 886 | 1,161 | 928 | |||||||||||||||||||||||
Other expenses | 22,924 | 9,801 | 9,660 | 9,358 | 10,994 | 11,714 | 10,396 | 11,474 | |||||||||||||||||||||||
Total noninterest expense | 49,438 | 31,012 | 39,309 | 36,375 | 35,494 | 37,987 | 35,009 | 36,915 | |||||||||||||||||||||||
Income before income tax expense | 37,996 | 59,691 | 56,495 | 58,456 | 64,680 | 58,043 | 50,973 | 55,438 | |||||||||||||||||||||||
Income tax expense | 12,776 | 13,947 | 14,875 | 14,847 | 16,687 | 14,574 | 12,081 | 14,092 | |||||||||||||||||||||||
Net income | $ | 25,220 | $ | 45,744 | $ | 41,620 | $ | 43,609 | $ | 47,993 | $ | 43,469 | $ | 38,892 | $ | 41,346 | |||||||||||||||
Per Share Data: | |||||||||||||||||||||||||||||||
Earnings per weighted average common share, basic | $ | 0.79 | $ | 1.43 | $ | 1.30 | $ | 1.36 | $ | 1.50 | $ | 1.36 | $ | 1.21 | $ | 1.28 | |||||||||||||||
Earnings per weighted average common share, diluted | $ | 0.78 | $ | 1.42 | $ | 1.30 | $ | 1.36 | $ | 1.50 | $ | 1.36 | $ | 1.21 | $ | 1.28 | |||||||||||||||
Weighted average common shares outstanding, basic | 32,080,657 | 32,033,280 | 31,950,320 | 31,959,357 | 31,962,819 | 31,869,655 | 32,037,099 | 32,229,322 | |||||||||||||||||||||||
Weighted average common shares outstanding, diluted | 32,142,427 | 32,110,099 | 32,030,998 | 32,030,527 | 32,025,110 | 31,922,940 | 32,075,175 | 32,250,885 | |||||||||||||||||||||||
Actual shares outstanding at period end | 32,081,241 | 32,079,474 | 31,950,092 | 31,947,458 | 31,961,573 | 31,960,379 | 31,779,663 | 32,228,636 | |||||||||||||||||||||||
Book value per common share at period end | $ | 39.35 | $ | 39.89 | $ | 42.28 | $ | 41.68 | $ | 40.87 | $ | 39.45 | $ | 39.05 | $ | 37.96 | |||||||||||||||
Tangible book value per common share at period end(1) | $ | 36.10 | $ | 36.64 | $ | 38.97 | $ | 38.39 | $ | 37.58 | $ | 36.16 | $ | 35.74 | $ | 34.70 | |||||||||||||||
Dividend per common share | $ | 0.45 | $ | 0.40 | $ | 0.40 | $ | 0.40 | $ | 0.35 | $ | 0.25 | $ | 0.22 | $ | 0.22 | |||||||||||||||
Performance Ratios (annualized): | |||||||||||||||||||||||||||||||
Return on average assets | 0.86 | % | 1.46 | % | 1.32 | % | 1.46 | % | 1.68 | % | 1.53 | % | 1.39 | % | 1.57 | % | |||||||||||||||
Return on average common equity | 7.89 | % | 13.83 | % | 12.30 | % | 13.00 | % | 14.92 | % | 14.05 | % | 12.53 | % | 14.46 | % | |||||||||||||||
Return on average tangible common equity(1) | 8.59 | % | 14.99 | % | 13.35 | % | 14.11 | % | 16.25 | % | 15.33 | % | 13.69 | % | 15.93 | % | |||||||||||||||
Net interest margin | 2.94 | % | 2.65 | % | 2.55 | % | 2.73 | % | 3.04 | % | 2.98 | % | 2.98 | % | 3.08 | % | |||||||||||||||
Efficiency ratio(2) | 55.87 | % | 35.3 | % | 44.3 | % | 41.7 | % | 37.1 | % | 40.7 | % | 38.3 | % | 38.1 | % | |||||||||||||||
Other Ratios: | |||||||||||||||||||||||||||||||
Allowance for credit losses to total loans(3) | 1.02 | % | 1.01 | % | 1.06 | % | 1.21 | % | 1.28 | % | 1.36 | % | 1.41 | % | 1.40 | % | |||||||||||||||
Allowance for credit losses to total nonperforming loans | 386 | % | 301 | % | 257 | % | 265 | % | 187 | % | 195 | % | 180 | % | 190 | % | |||||||||||||||
Nonperforming loans to total loans(3) | 0.26 | % | 0.33 | % | 0.41 | % | 0.46 | % | 0.68 | % | 0.69 | % | 0.79 | % | 0.74 | % | |||||||||||||||
Nonperforming assets to total assets | 0.19 | % | 0.23 | % | 0.26 | % | 0.31 | % | 0.50 | % | 0.51 | % | 0.59 | % | 0.62 | % | |||||||||||||||
Net (recovery) charge-off (annualized) to average total loans(3) | (0.04 | )% | 0.03 | % | 0.07 | % | 0.08 | % | 0.30 | % | 0.27 | % | 0.28 | % | 0.26 | % | |||||||||||||||
Tier 1 capital (to average assets) | 10.76 | % | 9.93 | % | 10.19 | % | 10.58 | % | 10.65 | % | 10.28 | % | 10.31 | % | 10.82 | % | |||||||||||||||
Total capital (to risk weighted assets) | 15.81 | % | 15.86 | % | 16.15 | % | 16.59 | % | 17.98 | % | 17.86 | % | 17.04 | % | 16.72 | % | |||||||||||||||
Common equity tier 1 capital (to risk weighted assets) | 14.68 | % | 14.74 | % | 15.02 | % | 15.33 | % | 14.67 | % | 14.42 | % | 13.49 | % | 13.19 | % | |||||||||||||||
Tangible common equity ratio(1) | 10.69 | % | 10.57 | % | 10.60 | % | 10.68 | % | 11.07 | % | 10.48 | % | 10.31 | % | 11.18 | % | |||||||||||||||
Average Balances (in thousands): | |||||||||||||||||||||||||||||||
Total assets | $ | 11,701,622 | $ | 12,701,152 | $ | 12,538,596 | $ | 11,826,326 | $ | 11,453,080 | $ | 11,517,836 | $ | 11,141,826 | $ | 10,473,595 | |||||||||||||||
Total earning assets | $ | 11,300,267 | $ | 12,326,473 | $ | 12,180,872 | $ | 11,486,280 | $ | 11,152,933 | $ | 11,236,440 | $ | 10,872,259 | $ | 10,205,939 | |||||||||||||||
Total loans(3) | $ | 7,104,727 | $ | 7,053,701 | $ | 6,890,414 | $ | 7,055,621 | $ | 7,382,238 | $ | 7,726,716 | $ | 7,896,324 | $ | 7,910,260 | |||||||||||||||
Total deposits | $ | 10,184,886 | $ | 10,874,976 | $ | 10,670,206 | $ | 9,948,114 | $ | 9,530,909 | $ | 9,601,249 | $ | 9,227,733 | $ | 8,591,912 | |||||||||||||||
Total borrowings | $ | 152,583 | $ | 371,987 | $ | 402,393 | $ | 448,697 | $ | 536,926 | $ | 573,750 | $ | 596,307 | $ | 596,472 | |||||||||||||||
Total shareholders' equity | $ | 1,281,847 | $ | 1,341,785 | $ | 1,342,525 | $ | 1,331,022 | $ | 1,290,029 | $ | 1,254,780 | $ | 1,235,174 | $ | 1,211,145 |
(1) See footnote (1) for Consolidated Financial Highlights.
(2) Computed by dividing noninterest expense by the sum of net interest income and noninterest income.
(3) Excludes loans held for sale.
EAGLE BANCORP, INC.
CONTACT:
David G. Danielson
240.552.9534