IBERIABANK Corporation Reports Third Quarter Results

LAFAYETTE, La., Oct. 26, 2016 /PRNewswire/ -- IBERIABANK Corporation (NASDAQ: IBKC), holding company of the 129-year-old IBERIABANK (www.iberiabank.com), reported financial results for the third quarter ended September 30, 2016.  For the quarter, the Company reported income available to common shareholders of $44.5 million, or $1.08 fully diluted earnings per common share ("EPS").  On a non-GAAP basis, EPS excluding non-core revenues and non-core expenses ("Core EPS") in the third quarter of 2016 was also $1.08 per common share (refer to press release supplemental tables for a reconciliation of GAAP to non-GAAP metrics).

Daryl G. Byrd, President and Chief Executive Officer, commented, "We continue to make great strides toward identifying and reducing our risk exposures and resolving our energy-related matters. The resolution process has generally progressed as we expected; however, the 'conveyor belt' on which these matters get resolved accelerated during the third quarter. That acceleration caused us to report higher levels of energy-related non-performing assets, interest accrual reversals, and net charge-offs than in prior quarters.  While these energy-related items and other notable expenses suppressed our financial results in the third quarter of 2016, we believe some of these items may diminish or reverse in future periods. We also believe this accelerated process has brought us to the point at which our energy concerns have crested."

Byrd continued, "Our top-line revenues in the third quarter benefited from good loan growth and exceptional deposit growth, while margin compression and lower mortgage income partially offset the benefits of favorable client growth.  The loan loss provision has likely crested as a result of the accelerated timing of energy-related asset resolution. Our stable tangible core efficiency ratio of 60% confirms our continued focus on cost control. We remain optimistic regarding our relative growth prospects, favorable risk position, and the competitive dynamics within the banking industry."

Highlights for the third quarter of 2016 and at September 30, 2016:

  • The Company continued to reduce energy-related exposures as energy-related loans ("energy loans") decreased $62 million, or 9%, between June 30, 2016 and September 30, 2016, and at September 30, 2016, equated to 4.0% of total loans. At September 30, 2016, the Company had approximately $29 million in reserves for energy loans and unfunded commitments (which equated to 4.9% of energy loans outstanding). Energy-related non-performing assets increased $93 million, or 153%, between quarter-ends as the problem asset resolution process continued.
  • The Company's reported and cash net interest margins declined eight and 10 basis points, respectively, on a linked quarter basis. The declines in the reported and cash margins were primarily the result of interest accrual reversals for loans moved to non-accrual status during the third quarter of 2016, accelerated bond premium amortization, and additional balance sheet liquidity.
  • On a linked quarter basis, the Company's revenues decreased $4.4 million, or 2%, and non-GAAP core revenues decreased $2.7 million, or 1%. Over the same period, GAAP expenses decreased $1.4 million, or 1%, and non-GAAP core expenses decreased $1.3 million, or 1%. The efficiency ratio increased from 61.3% to 61.9%, while the non-GAAP core tangible efficiency ratio increased from 60.0% to 60.1% on a linked quarter basis.
  • Total loan growth was $202 million, or 1%, between June 30, 2016 and September 30, 2016. Legacy loan growth, which excludes all assets covered under FDIC loss share agreements and other non-covered acquired assets (collectively, "Acquired Assets"), increased $429 million, or 4% (14% annualized rate), on a period-end basis and $446 million, or 4% (15% annualized rate), on an average balance basis.
  • Total deposits increased $660 million, or 4%, between quarter-ends, and increased $97 million, or 1%, on an average balance basis. Non-interest-bearing deposits increased $248 million, or 5%, between quarter-ends and increased $142 million, or 3%, on an average balance basis.

 

Table A - Summary Financial Results

(Dollars in thousands, except per share data)

                     
 

For the Three Months Ended

 

9/30/2016

   

6/30/2016

 

% Change

 

9/30/2015

 

% Change

GAAP BASIS:

                   

Net income available to common shareholders

$        44,478

   

$        49,956

 

(11.0)

 

$        42,475

 

4.7

Earnings per common share - diluted

1.08

   

1.21

 

(10.7)

 

1.03

 

4.9

                     

Average gross loans and leases

$ 14,802,199

   

$ 14,570,945

 

1.6

 

$ 14,009,601

 

5.7

Average total deposits

16,076,742

   

15,979,391

 

0.6

 

16,369,564

 

(1.8)

Net interest margin (TE)(1)

3.53

%

 

3.61

%

   

3.50

%

 
                     

Total revenues

$      223,238

   

$      227,670

 

(1.9)

 

$      212,595

 

5.0

Total non-interest expense

138,139

   

139,504

 

(1.0)

 

144,968

 

(4.7)

Efficiency ratio

61.9

%

 

61.3

%

   

68.2

%

 

Return on average assets

0.94

   

1.02

     

0.86

   

Return on average common equity

7.00

   

8.05

     

7.09

   
                     

NON-GAAP BASIS (2):

                   

Core revenues

$      223,226

   

$      225,881

 

(1.2)

 

$      210,374

 

6.1

Core non-interest expense

138,139

   

139,443

 

(0.9)

 

140,497

 

(1.7)

Core earnings per common share - diluted

1.08

   

1.18

 

(8.5)

 

1.07

 

0.9

Core tangible efficiency ratio (TE) (1) (4)

60.1

%

 

60.0

%

   

64.8

%

 

Core return on average assets

0.94

   

1.00

     

0.89

   

Core return on average tangible common equity(4)

10.30

   

11.64

     

11.18

   

Net interest margin (TE) - cash basis(1)(3)

3.31

   

3.41

     

3.31

   
                     

(1)  Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 35%, which approximates the marginal tax rate.

(2)  See Table 12 and Table 13 for GAAP to Non-GAAP reconciliations.

(3)  See Table 11 for adjustments related to purchase discounts on acquired loans and related accretion and the impact of the FDIC indemnification asset.

(4)  Tangible calculations eliminate the effect of goodwill and acquisition related intangible assets and the corresponding amortization expense on a tax-effected basis where applicable.

Operating Results

On a linked quarter basis, average loan volume (including the FDIC loss share receivable) increased $227 million, or 2%, and the associated tax-equivalent yield decreased four basis points.  Over that period, average legacy loans increased $446 million, or 4%, with a decrease in yield of three basis points, and average Acquired Assets (including the FDIC loss share receivable) decreased $219 million, or 8%, and the yield increased nine basis points.  All other average earning assets, including investment securities, mortgage loans held for sale, and interest-bearing deposits in other institutions, increased a net of $139 million, or 4%.

On a linked quarter basis, average earning assets increased $366 million, or 2%, and the average earning asset yield decreased eight basis points.  Average interest-bearing liabilities increased $153 million, or 1%, and the cost of interest-bearing liabilities increased three basis points.  As a result, the net interest spread declined 11 basis points and the net interest margin declined eight basis points.  On a linked quarter basis, tax-equivalent net interest income increased $0.7 million, or less than 1%.

In the third quarter of 2016, non-interest income decreased $5.1 million, or 8%, compared to the second quarter of 2016.  As a result of gains on the sale of investment securities in the second quarter of 2016, core non-interest income decreased $3.3 million, or 5%, on a linked quarter basis.  The primary changes in core non-interest income on a linked quarter basis included:

  • Decreased mortgage income of $4.2 million, or 16% (which included a $1.1 million negative fair value adjustment to move certain mortgage loans to held for investment); and
  • Decreased title revenues of $0.1 million, or 2%; partially offset by
  • Increased credit card income of $0.8 million; and
  • Increased treasury management income of $0.3 million.

In the third quarter of 2016, the Company originated $699 million in residential mortgage loans, down $10 million, or 1%, on a linked quarter basis.  Client loan refinancing opportunities accounted for approximately 26% of mortgage loan applications in the third quarter of 2016, compared to 16% on a linked quarter basis.  The Company sold $706 million in mortgage loans during the third quarter of 2016, up $33 million, or 5%, on a linked quarter basis.  Loans held for sale decreased from $230 million at June 30, 2016, to $211 million at September 30, 2016.  The mortgage origination locked pipeline was $282 million at September 30, 2016, down $63 million, or 18%, between quarter-ends, and was down slightly compared to one year ago.  At October 21, 2016, the locked pipeline was $283 million, up slightly compared to September 30, 2016.

Non-interest expense decreased $1.4 million, or 1%, on a linked quarter basis, while core expense decreased $1.3 million, or 1%.  Core expense changes included the following on a linked-quarter basis:

  • Increased health care costs of $1.3 million;
  • Increased professional services expense of $1.2 million;
  • Increased franchise and share tax of $0.7 million; and
  • Increased FDIC insurance premiums of $0.4 million; partially offset by
  • Decreased annual incentives expense of $1.7 million;
  • Decreased credit and loan-related expenses of $1.0 million;
  • Decreased payroll taxes of $1.0 million;
  • Decreased OREO expense of $0.8 million; and
  • Decreased mortgage commission expenses of $0.4 million.

The Company's core tangible efficiency ratio in the third quarter of 2016 was 60.1%, up slightly from 60.0% in the second quarter of 2016.  The Company continues to focus on expense containment and revenue enhancement strategies intended to further improve its targeted core tangible efficiency ratio.

The Company anticipates it will record a reduced income tax expense of approximately $6 million upon filing its 2015 tax return in the fourth quarter of 2016. The after-tax non-core EPS benefit of this lower tax expense is estimated to be approximately 15 cents per common share in the fourth quarter of 2016. 

Table B - Summary Financial Condition Results

(Dollars in thousands, except per share data)

                           
   

As of and For the Three Months Ended

   

9/30/2016

   

6/30/2016

   

% Change

 

9/30/2015

   

% Change

PERIOD-END BALANCES:

                       
 

Total loans and leases

$ 14,924,499

   

$ 14,722,561

   

1.4

 

$ 14,117,019

   

5.7

 

Legacy loans and leases

12,413,370

   

11,984,849

   

3.6

 

10,779,258

   

15.2

 

Total deposits

16,522,517

   

15,862,027

   

4.2

 

16,303,065

   

1.3

                           

ASSET QUALITY RATIOS (LEGACY):

                       
 

Past due loans to total loans (1)

2.20

%

 

1.18

%

     

0.64

%

   
 

Non-performing assets to total assets (2)

1.33

   

0.63

       

0.43

     
 

Classified assets to total assets (3)

2.18

   

2.09

       

0.83

     
                           

CAPITAL RATIOS:

                       
 

Tangible common equity ratio (Non-GAAP) (4) (5)

8.87

%

 

9.00

%

     

8.75

%

   
 

Tier 1 leverage ratio

9.70

   

9.70

       

9.33

     
 

Total risk-based capital ratio

12.47

   

12.46

       

12.15

     
                           

PER COMMON SHARE DATA:

                       
 

Book value

$          61.71

   

$          61.05

   

1.1

 

$          58.49

   

5.5

 

Tangible book value (Non-GAAP) (4) (5)

43.26

   

42.53

   

1.7

 

39.95

   

8.3

 

Closing stock price

67.12

   

59.73

   

12.4

 

58.21

   

15.3

 

Cash dividends

0.36

   

0.34

   

5.9

 

0.34

   

5.9

                           

(1)

Past due loans include non-accruing loans.

(2)

Non-performing assets consist of non-accruing loans, accruing loans 90 days or more past due and other real estate owned, including repossessed assets.

(3)

Classified assets consist of $398 million, $364 million and $133 million at September 30, 2016, June 30, 2016, and September 30, 2015, respectively.

(4)

See Table 12 and Table 13 for GAAP to Non-GAAP reconciliations.

(5)

Tangible calculations eliminate the effect of goodwill and acquisition related intangible assets and the corresponding amortization expense on a tax-effected basis where applicable.

Loans

Total loans increased $202 million, or 1%, between June 30, 2016, and September 30, 2016.  Over that period, Acquired Assets decreased $227 million, or 8%, and legacy loans increased $429 million, or 4% (14% annualized rate), including a decrease in total energy loans of $62 million, or 9%, and a decline in indirect automobile loans of $28 million, or 16%.  During the third quarter of 2016, legacy commercial loans increased $344 million, or 4% (which included $42 million in small business loan growth, up 4%, or 14% annualized rate), legacy consumer loans increased $49 million, or 2%, and legacy mortgage loans increased $45 million, or 6%.  Period-end loan growth during the third quarter of 2016 was strongest in the Atlanta, Birmingham, and Tampa markets.  Funded loan origination and renewal mix in the third quarter of 2016 was 35% fixed rate and 65% floating rate, and total loans outstanding (excluding non-accruals) were 44% fixed and 56% floating.   Commitments originated and/or renewed during the third quarter of 2016 were $1.4 billion (down 18% on a linked quarter basis).  Loans originated and/or renewed during the third quarter of 2016 totaled $1.0 billion (down 1% on a linked quarter basis).  At September 30, 2016, the Company's commercial loan pipeline was approximately $630 million.

Table C - Period-End Loans

(Dollars in thousands, except per share data)

                                 
 

As of and For the Three Months Ended

             

Linked Qtr Change

 

Year/Year Change

 

Mix

 

9/30/2016

 

6/30/2016

 

9/30/2015

 

$

%

 

Annualized

 

$

%

 

9/30/2016

6/30/2016

Legacy loans:

                               

Commercial

$   9,119,234

 

$   8,784,789

 

$   7,815,161

 

334,445

3.8

 

15.2 %

 

1,304,073

16.7

 

73.4 %

73.3 %

Residential mortgage

840,082

 

794,701

 

660,543

 

45,381

5.7

 

22.8 %

 

179,539

27.2

 

6.8 %

6.6 %

Consumer

2,454,054

 

2,405,359

 

2,303,554

 

48,695

2.0

 

8.0 %

 

150,500

6.5

 

19.8 %

20.1 %

Total legacy loans

12,413,370

 

11,984,849

 

10,779,258

 

428,521

3.6

 

14.3 %

 

1,634,112

15.2

 

100.0 %

100.0 %

                                 

Acquired loans:

                               

Balance at beginning of period

2,737,712

 

2,922,547

 

3,555,010

 

(184,835)

(6.3)

     

(817,298)

(23.0)

     

Loans acquired during the period

 

 

 

     

     

Net paydown activity

(226,583)

 

(184,835)

 

(217,249)

 

(41,748)

22.6

     

(9,334)

4.3

     

Total acquired loans

2,511,129

 

2,737,712

 

3,337,761

 

(226,583)

(8.3)

     

(826,632)

(24.8)

     

Total loans

$ 14,924,499

 

$ 14,722,561

 

$ 14,117,019

 

201,938

1.4

     

807,480

5.7

     

Energy loans outstanding totaled $600 million at September 30, 2016, down $62 million, or 9%, compared to June 30, 2016, and equated to approximately 4.0% of total loans (down from 4.5% at June 30, 2016).  Energy-related commitments totaled $1.0 billion at September 30, 2016, down $64 million, or 6%, compared to June 30, 2016. Loans to exploration and production companies accounted for 50% of energy loans outstanding and 54% of energy loan commitments at September 30, 2016.  Midstream companies accounted for 19% of energy loans and 20% of energy loan commitments, and service companies accounted for 31% of energy loans and 26% of energy loan commitments.  At September 30, 2016, $154 million in energy loans were on non-accrual status (compared to $61 million at June 30, 2016), and no energy loans (excluding non-accruing loans) were past due greater than 30 days at quarter-end.  At September 30, 2016,  approximately 42% of energy loans were classified and 53% were criticized, compared to 37% and 47%, respectively at June 30, 2016.  To date, the Company has experienced $15 million in energy-related charge-offs.  Additional information regarding the Company's energy loan and commitment exposure is provided in Table 8 of this press release and in the supplemental investor presentation.

At September 30, 2016, the Company's indirect automobile lending business had approximately $154 million in loans outstanding, down $28 million, or 16%, compared to June 30, 2016 (1.0% of total loans outstanding compared to 1.2% at June 30, 2016).

Deposits

Total deposits increased $660 million, or 4%, between June 30, 2016 and September 30, 2016.  Over that period, non-interest-bearing deposits increased $248 million, or 5%, and equated to 29% of total deposits at September 30, 2016.  NOW accounts decreased $80 million, or 3%, savings deposits edged up $2 million, or less than 1%, and time deposits increased $34 million, or 2%. Between June 30, 2016 and September 30, 2016, money market accounts increased $457 million, or 8%. Deposit growth during the third quarter of 2016 was strongest in the Houston, Orlando, Tampa, New Orleans, and Mobile markets.

Table D - Period-End Deposits

(Dollars in thousands)

             

Linked Qtr Change

 

Year/Year Change

 

Mix

 

9/30/2016

 

6/30/2016

 

9/30/2015

 

$

%

Annualized

 

$

%

 

9/30/2016

6/30/2016

Non-interest-bearing

$   4,787,485

 

$   4,539,254

 

$   4,392,808

 

248,231

5.5

21.9 %

 

394,677

9.0

 

29.0 %

28.6 %

NOW accounts

2,904,835

 

2,985,284

 

2,635,021

 

(80,449)

(2.7)

(10.8)%

 

269,814

10.2

 

17.6 %

18.8 %

Money market accounts

5,847,913

 

5,391,390

 

6,274,428

 

456,523

8.5

33.9 %

 

(426,515)

(6.8)

 

35.4 %

34.0 %

Savings accounts

798,781

 

796,855

 

725,435

 

1,926

0.2

1.0 %

 

73,346

10.1

 

4.8 %

5.0 %

Time deposits

2,183,503

 

2,149,244

 

2,275,373

 

34,259

1.6

6.4 %

 

(91,870)

(4.0)

 

13.2 %

13.6 %

Total deposits

$ 16,522,517

 

$ 15,862,027

 

$ 16,303,065

 

660,490

4.2

16.7 %

 

219,452

1.3

 

100.0 %

100.0 %

On an average balance and linked quarter basis, non-interest-bearing deposits increased $142 million, or 3%, and interest-bearing deposits decreased $44 million, or less than 1%.  The rate on average interest-bearing deposits in the third quarter of 2016 was 0.44%, up two basis points on a linked quarter basis.

Other Assets And Funding

On an average balance and linked quarter basis, the investment portfolio decreased $26 million, or 1%, to $2.8 billion in the third quarter of 2016.  On a period-end basis, the investment portfolio equated to $3.0 billion, or 14% of total assets at September 30, 2016, up $107 million, or 4%, compared to June 30, 2016.  The investment portfolio had an effective duration of 3.0 years at September 30, 2016, compared to 2.7 years at June 30, 2016.  The investment portfolio had a $42 million unrealized gain at September 30, 2016, down from $52 million at June 30, 2016.  The average yield on investment securities decreased nine basis points on a linked quarter basis, to 2.09% in the third quarter of 2016.  Accelerated bond premium amortization totaled approximately $0.7 million and caused a five-basis point decline in the investment portfolio yield. The Company holds in its investment portfolio primarily government agency securities.  Municipal securities comprised 10% of total investments at September 30, 2016.  The Company holds for investment no sovereign debt, equity securities, trust preferred securities, or derivative exposure to foreign counterparties.

On a linked quarter basis, average short-term borrowings (including repurchase agreements) increased $108 million, or 17%, and the cost of short-term borrowings decreased two basis points.  At September 30, 2016, short-term borrowings (including repurchase agreements) decreased $52 million, or 7%, compared to June 30, 2016.  On a linked quarter basis, average long-term debt increased $89 million, or 15%, and the cost of long-term debt decreased 18 basis points to 2.06%.  The cost of average interest-bearing liabilities was 0.53% in the third quarter of 2016, up three basis points on a linked quarter basis.

Asset Quality

Net charge-offs totaled $10.2 million in the third quarter of 2016, down $1.7 million, or 14%, compared to the second quarter of 2016.  Annualized net charge-offs equated to 0.27% of average loans in the third quarter of 2016, a six-basis point improvement on a linked quarter basis. Energy loans accounted for approximately 68% of the net charge-offs incurred during the third quarter of 2016. The Company's provision for loan losses increased $0.6 million, or 5%, on a linked quarter basis to $12.5 million. The provision for loan losses covered net charge-offs in the third quarter of 2016 by 122% compared to 100% in the second quarter of 2016. The Company's reserve for unfunded commitments, which is included in credit and loan related expense in non-interest expense, declined $1.8 million during the third quarter of 2016 to $12.0 million at September 30, 2016 ($1.0 million of which were energy-related).

Aggregate loans past due 30 to 89 days decreased $9 million, or 15%, and equated to 0.34% of total loans at September 30, 2016, compared to 0.40% at June 30, 2016.

Primarily as a result of an acceleration in the resolution of troubled energy loans, non-performing assets ("NPAs") increased $126 million, or 62%, to $328 million at September 30, 2016. Acquired NPAs declined $7 million, or 8%, while legacy NPAs, which include energy and non-energy loans, increased $134 million, or 122%, and equated to 1.33% of total assets. Energy-related NPAs (which are included in legacy loans) increased by $93 million, or 153%, and accounted for 74% of the increase in the Company's total NPAs during the third quarter of 2016.  At September 30, 2016, non-energy-related legacy NPAs increased $41 million, or 83%, and equated to 0.51% of total assets, up from 0.29% at June 30, 2016.

Capital Position

At September 30, 2016, the Company reported a non-GAAP tangible common equity ratio of 8.87%, down 13 basis points compared to June 30, 2016, and the preliminary Tier 1 leverage ratio was 9.70%, unchanged compared to June 30, 2016. The Company's preliminary calculation of its total risk-based capital ratio at September 30, 2016, was 12.47%, up one basis point compared to June 30, 2016.

At September 30, 2016, book value per common share was $61.71, up $0.66 per share, or 1%, compared to June 30, 2016. Tangible book value per common share was $43.26, up $0.73 per share, or 2%, compared to June 30, 2016.  Based on the closing stock price of the Company's common stock of $69.95 per share on October 26, 2016, this price equated to 1.13 times September 30, 2016 book value per common share and 1.62 times September 30, 2016 tangible book value per common share.

Cash Dividends On Common Stock.  On September 12, 2016, the Company declared a quarterly cash dividend of $0.36 per common share, a 6% increase on a linked quarter basis. This common dividend level equated to an annualized dividend rate of $1.44 per common share.  Based on the Company's closing common stock price on October 26, 2016, the indicated dividend yield was 2.06% per common share. The payment of dividends is at the discretion of the Board of Directors.

Series B Preferred Stock.  On August 5, 2015, the Company sold 3.2 million depositary shares, each representing a 1/400th interest in a share of non-cumulative perpetual preferred stock. The Series B preferred stock has an initial coupon equal to 6.625% for a period of 10 years, and thereafter floats at a rate of LIBOR plus 426.2 basis points. The Company raised approximately $80 million in gross proceeds from the transaction.  On July 5, 2016, the Company declared a semi-annual cash dividend of $0.828 per depositary share that was payable on August 1, 2016.

Series C Preferred Stock.  On May 9, 2016, the Company sold 2.3 million depositary shares, each representing a 1/400th interest in a share of non-cumulative perpetual preferred stock. The Series C preferred stock has an initial coupon equal to 6.60% for a period of 10 years, and thereafter floats at a rate of LIBOR plus 492 basis points. The Company raised approximately $57.5 million in gross proceeds from the transaction.  On September 12, 2016, the Company declared a quarterly cash dividend of $0.41 per depositary share that is payable on November 1, 2016.

Common Stock Repurchase Program.  On May 4, 2016, the Board of Directors of the Company authorized the repurchase of up to 950,000 shares of the Company's common stock. The Company did not repurchase common shares under the authorized program during the third quarter of 2016.

IBERIABANK Corporation

IBERIABANK Corporation is a financial holding company with 304 combined offices, including 199 bank branch offices and three loan production offices in Louisiana, Arkansas, Tennessee, Alabama, Texas, Florida, and Georgia, 24 title insurance offices in Arkansas and Louisiana, and mortgage representatives in 69 locations in 10 states.  The Company has eight locations with representatives of IBERIA Wealth Advisors in four states, and one IBERIA Capital Partners L.L.C. office in New Orleans.

The Company's common stock trades on the NASDAQ Global Select Market under the symbol "IBKC". The Company's Series B Preferred Stock and Series C Preferred Stock trade on the NASDAQ Global Select Market under the symbols "IBKCP" and "IBKCO", respectively.  The Company's common stock market capitalization was approximately $2.9 billion, based on the NASDAQ Global Select Market closing stock price on October 26, 2016.

The following 12 investment firms currently provide equity research coverage on the Company:

  • Bank of America Merrill Lynch
  • FBR & Co.
  • FIG Partners, LLC
  • Hovde Group, LLC
  • Jefferies & Co., Inc.
  • Keefe, Bruyette & Woods, Inc.
  • Piper Jaffray & Co.
  • Raymond James & Associates, Inc.
  • Robert W. Baird & Company
  • Sandler O'Neill + Partners, L.P.
  • Stephens, Inc.
  • SunTrust Robinson-Humphrey

Conference Call

In association with this earnings release, the Company will host a live conference call to discuss the financial results for the quarter just completed. The telephone conference call will be held on Thursday, October 27, 2016, beginning at 8:30 a.m. Central Time by dialing 1-888-317-6003. The confirmation code for the call is 9650180.  A replay of the call will be available until midnight Central Time on November 3, 2016 by dialing 1-877-344-7529. The confirmation code for the replay is 10093373.  The Company has prepared a PowerPoint presentation that supplements information contained in this press release.  The PowerPoint presentation may be accessed on the Company's web site, www.iberiabank.com, under "Investor Relations" and then "Financial Information" and "Presentations."

Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with GAAP. The Company's management uses these non-GAAP financial measures in their analysis of the Company's performance.  Non-GAAP measures in this press release include, but are not limited to, descriptions such as core, tangible, and pre-tax pre-provision.  These measures typically adjust GAAP performance measures to exclude the effects of the amortization of intangibles and include the tax benefit associated with revenue items that are tax-exempt, as well as adjust income available to common shareholders for certain significant activities or transactions that in management's opinion can distort period-to-period comparisons of the Company's performance. Transactions that are typically excluded from non-GAAP performance measures include realized and unrealized gains/losses on former bank owned real estate, realized gains/losses on securities, income tax gains/losses, merger related charges and recoveries, litigation charges and recoveries, and debt repayment penalties. Management believes presentations of these non-GAAP financial measures provide useful supplemental information that is essential to a proper understanding of the operating results of the Company's core businesses. These non-GAAP disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.  Reconciliations of GAAP to non-GAAP disclosures are presented in the supplemental tables at the end of this release.  Please refer to the supplemental tables for these reconciliations.

Caution About Forward-Looking Statements

This press release contains "forward-looking statements," which may include forecasts of our financial results and condition, expectations for our operations and businesses, and our assumptions for those forecasts and expectations. Do not place undue reliance on forward-looking statements. Due to various factors, actual results may differ materially from our forward-looking statements. Factors that could cause our actual results to differ materially from our forward-looking statements are described under "Management's Discussion and Analysis of Financial Condition and Results of Operations," "Risk Factors" and "Regulation and Supervision" in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2015, and in other documents subsequently filed by the Company with the Securities and Exchange Commission, available at the SEC's website, http://www.sec.gov, and the Company's website, http://www.iberiabank.com. To the extent that statements in this press release relate to future plans, objectives, financial results or performance by the Company, these statements are deemed to be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are generally identified by use of words such as "may," "believe," "expect," "anticipate," "intend," "will," "should," "plan," "estimate," "predict," "continue" and "potential" or the negative of these terms or other comparable terminology.

 Forward-looking statements represent management's beliefs, based upon information available at the time the statements are made, with regard to the matters addressed; they are not guarantees of future performance.  Forward-looking statements are subject to numerous assumptions, risks and uncertainties that change over time and could cause actual results or financial condition to differ materially from those expressed in or implied by such statements.  Factors that could cause or contribute to such differences include, but are not limited to: the level of market volatility, our ability to execute our growth strategy, including the availability of future bank acquisition opportunities, our ability to execute on our revenue and efficiency improvement initiatives, unanticipated losses related to the completion and integration of mergers and acquisitions, refinements to purchase accounting adjustments for acquired businesses and assets and assumed liabilities in these transactions, adjustments of fair values of acquired assets and assumed liabilities and of deferred taxes in acquisitions, actual results deviating from the Company's current estimates and assumptions of timing and amounts of cash flows, utilization of non-GAAP financial measures, credit risk of our customers, resolution of assets subject to loss share agreements with the FDIC within the coverage periods, effects of the on-going correction in residential real estate prices and  levels of home sales, our ability to satisfy new capital and liquidity standards such as those imposed by the Dodd-Frank Wall Street Reform and Consumer Protection Act and those adopted by the Basel Committee on Banking Supervision and federal banking regulators, sufficiency of our allowance for loan losses, changes in interest rates, access to funding sources, reliance on the services of executive management, competition for loans, deposits and investment dollars, competition from competitors with greater financial resources than the Company, reputational risk and social factors, compliance with laws and regulations, increases in FDIC insurance assessments, geographic concentration of our markets, economic and business conditions in our markets or nationally, including the impact of volatility of oil and gas prices, rapid changes in the financial services industry, significant litigation, cyber-security risks including dependence on our operational, technological, and organizational systems and infrastructure and those of third party providers of those services, hurricanes and other adverse weather events, and valuation of intangible assets. All information is as of the date of this press release. 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.

Table 1 - IBERIABANK CORPORATION

FINANCIAL HIGHLIGHTS

(Dollars in thousands, except per share data)

                           
   

As of and For the Three Months Ended

INCOME DATA:

9/30/2016

   

6/30/2016

   

% Change

 

9/30/2015

   

% Change

 

Net interest income

$  163,417

   

$  162,753

   

0.4

 

$ 155,117

   

5.4

 

Net interest income (TE) (1)

165,795

   

165,085

   

0.4

 

157,302

   

5.4

 

Total revenues

223,238

   

227,670

   

(1.9)

 

212,595

   

5.0

 

Provision for loan losses

12,484

   

11,866

   

5.2

 

5,062

   

146.6

 

Non-interest expense

138,139

   

139,504

   

(1.0)

 

144,968

   

(4.7)

 

Net income available to common shareholders

44,478

   

49,956

   

(11.0)

 

42,475

   

4.7

                           

PER COMMON SHARE DATA:

                     
 

Earnings available to common shareholders - basic

$        1.08

   

$        1.21

   

(10.7)

 

$       1.04

   

3.8

 

Earnings available to common shareholders - diluted

1.08

   

1.21

   

(10.7)

 

1.03

   

4.9

 

Core earnings (Non-GAAP) (2)

1.08

   

1.18

   

(8.5)

 

1.07

   

0.9

 

Book value

61.71

   

61.05

   

1.1

 

58.49

   

5.5

 

Tangible book value (Non-GAAP)(2) (3)

43.26

   

42.53

   

1.7

 

39.95

   

8.3

 

Closing stock price

67.12

   

59.73

   

12.4

 

58.21

   

15.3

 

Cash dividends

0.36

   

0.34

   

5.9

 

0.34

   

5.9

                           

KEY RATIOS AND OTHER DATA (6):

                       
 

Net interest margin (TE) (1)

3.53

%

 

3.61

%

     

3.50

%

   
 

Efficiency ratio

61.9

   

61.3

       

68.2

     
 

Core tangible efficiency ratio (TE) (Non-GAAP) (1) (2) (3)

60.1

   

60.0

       

64.8

     
 

Return on average assets

0.94

   

1.02

       

0.86

     
 

Return on average common equity

7.00

   

8.05

       

7.09

     
 

Core return on average tangible common equity (Non-GAAP) (2)(3)

10.30

   

11.64

       

11.18

     
 

Effective tax rate

33.8

   

33.4

       

32.1

     
 

Full-time equivalent employees

3,129

   

3,122

       

3,214

     
                           

CAPITAL RATIOS:

                       
 

Tangible common equity ratio (Non-GAAP)(2) (3)

8.87

%

 

9.00

%

     

8.75

%

   
 

Tangible common equity to risk-weighted assets (3)

10.17

   

10.14

       

10.02

     
 

Tier 1 leverage ratio (4)

9.70

   

9.70

       

9.33

     
 

Common equity Tier 1 (CET 1) (transitional) (4)

10.13

   

10.07

       

10.08

     
 

Common equity Tier 1 (CET 1) (fully phased-in) (4)

10.07

   

9.99

       

9.92

     
 

Tier 1 capital (transitional) (4)

10.89

   

10.84

       

10.73

     
 

Total risk-based capital ratio(4)

12.47

   

12.46

       

12.15

     
 

Common stock dividend payout ratio

33.3

   

28.0

       

32.9

     
 

Classified assets to Tier 1 capital

26.1

   

25.1

       

17.5

     
                           

ASSET QUALITY RATIOS (LEGACY):

                       
 

Non-performing assets to total assets (5)

1.33

%

 

0.63

%

     

0.43

%

   
 

Allowance for loan losses to loans

0.88

   

0.89

       

0.80

     
 

Net charge-offs to average loans (annualized)

0.33

   

0.38

       

0.09

     
 

Non-performing assets to total loans and OREO (5)

1.96

   

0.92

       

0.65

     
                           

(1)

Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 35%, which approximates the marginal tax rate.

(2)

See Table 12 and Table 13 for GAAP to Non-GAAP reconciliations.

(3)

Tangible calculations eliminate the effect of goodwill and acquisition related intangible assets and the corresponding amortization expense on a tax-effected basis where applicable.

(4)

Capital ratios as of September 30, 2016 are estimated.

(5)

Non-performing assets consist of non-accruing loans, accruing loans 90 days or more past due and other real estate owned, including repossessed assets.

(6)

All ratios are calculated on an annualized basis for the periods indicated.

 

Table 2 - IBERIABANK CORPORATION

CONDENSED CONSOLIDATED INCOME STATEMENTS

(Dollars in thousands, except per share data)

                               
 

For the Three Months Ended

         

Linked Qtr Change

             

Year/Year Change

 

9/30/2016

 

6/30/2016

 

$

%

 

3/31/2016

 

12/31/2015

 

9/30/2015

 

$

%

Interest income

$ 180,504

 

$ 178,694

 

1,810

1.0

 

$ 176,936

 

$ 176,651

 

$ 171,077

 

9,427

5.5

Interest expense

17,087

 

15,941

 

1,146

7.2

 

15,533

 

15,491

 

15,960

 

1,127

7.1

  Net interest income

163,417

 

162,753

 

664

0.4

 

161,403

 

161,160

 

155,117

 

8,300

5.4

Provision for loan losses

12,484

 

11,866

 

618

5.2

 

14,905

 

11,711

 

5,062

 

7,422

146.6

  Net interest income after provision for
  loan losses

150,933

 

150,887

 

46

 

146,498

 

149,449

 

150,055

 

878

0.6

Mortgage income

21,807

 

25,991

 

(4,184)

(16.1)

 

19,940

 

16,765

 

20,628

 

1,179

5.7

Service charges on deposit accounts

11,066

 

10,940

 

126

1.2

 

10,951

 

11,431

 

11,342

 

(276)

(2.4)

Title revenue

6,001

 

6,135

 

(134)

(2.2)

 

4,745

 

5,435

 

6,627

 

(626)

(9.4)

Broker commissions

3,797

 

3,712

 

85

2.3

 

3,823

 

4,130

 

3,839

 

(42)

(1.1)

ATM/debit card fee income

3,483

 

3,650

 

(167)

(4.6)

 

3,503

 

3,569

 

3,562

 

(79)

(2.2)

Income from bank owned life insurance

1,305

 

1,411

 

(106)

(7.5)

 

1,202

 

1,096

 

1,093

 

212

19.4

Gain on sale of available-for-sale securities

12

 

1,789

 

(1,777)

(99.3)

 

196

 

6

 

280

 

(268)

(95.7)

Other non-interest income

12,350

 

11,289

 

1,061

9.4

 

11,485

 

10,071

 

10,107

 

2,243

22.2

  Total non-interest income

59,821

 

64,917

 

(5,096)

(7.9)

 

55,845

 

52,503

 

57,478

 

2,343

4.1

Salaries and employee benefits

85,028

 

85,105

 

(77)

(0.1)

 

80,742

 

83,455

 

82,416

 

2,612

3.2

Occupancy and equipment

16,526

 

16,813

 

(287)

(1.7)

 

16,907

 

16,928

 

17,987

 

(1,461)

(8.1)

Amortization of acquisition intangibles

2,106

 

2,109

 

(3)

(0.1)

 

2,113

 

1,795

 

2,338

 

(232)

(9.9)

Other non-interest expense

34,479

 

35,477

 

(998)

(2.8)

 

37,690

 

36,797

 

42,227

 

(7,748)

(18.3)

  Total non-interest expense

138,139

 

139,504

 

(1,365)

(1.0)

 

137,452

 

138,975

 

144,968

 

(6,829)

(4.7)

Income before income taxes

72,615

 

76,300

 

(3,685)

(4.8)

 

64,891

 

62,977

 

62,565

 

10,050

16.1

Income tax expense

24,547

 

25,490

 

(943)

(3.7)

 

22,122

 

18,570

 

20,090

 

4,457

22.2

  Net income

48,068

 

50,810

 

(2,742)

(5.4)

 

42,769

 

44,407

 

42,475

 

5,593

13.2

Preferred stock dividends

(3,590)

 

(854)

 

(2,736)

(320.4)

 

(2,576)

 

 

 

(3,590)

N/M

Net income available to common shareholders

$   44,478

 

$   49,956

 

(5,478)

(11.0)

 

$   40,193

 

$   44,407

 

$   42,475

 

2,003

4.7

                               

Income available to common shareholders - basic

$   44,478

 

$   49,956

 

(5,478)

(11.0)

 

$   40,193

 

$   44,407

 

$   42,475

 

2,003

4.7

Earnings allocated to unvested restricted stock

(462)

 

(540)

 

78

(14.4)

 

(460)

 

(505)

 

(492)

 

30

(6.1)

Income allocated to common shareholders

$   44,016

 

$   49,416

 

(5,400)

(10.9)

 

$   39,733

 

$   43,902

 

$   41,983

 

2,033

4.8

                               

Earnings per common share - basic

$       1.08

 

$       1.21

 

(0.13)

(10.7)

 

$       0.98

 

$       1.08

 

$       1.04

 

0.04

3.8

                               

Earnings per common share - diluted

1.08

 

1.21

 

(0.13)

(10.7)

 

0.97

 

1.08

 

1.03

 

0.05

4.9

Impact of non-core items (Non-GAAP) (1)

 

(0.03)

 

0.03

(100.0)

 

0.04

 

0.03

 

0.04

 

(0.04)

(100.0)

Earnings per share - diluted, excluding non-core items (Non-GAAP) (1)

$       1.08

 

$       1.18

 

(0.10)

(8.5)

 

$       1.01

 

$       1.11

 

$       1.07

 

0.01

0.9

                               

NUMBER OF COMMON SHARES OUTSTANDING (in thousands)

                             

Weighted average common shares outstanding - basic

41,052

 

41,232

 

(180)

(0.4)

 

41,186

 

40,996

 

40,995

 

57

0.1

Weighted average common shares outstanding - diluted

40,811

 

40,908

 

(97)

(0.2)

 

40,765

 

40,597

 

40,614

 

197

0.5

Book value shares (period end) 

41,082

 

41,039

 

43

0.1

 

41,232

 

41,140

 

41,129

 

(47)

(0.1)

                               

(1)  See Table 12 and Table 13 for GAAP to Non-GAAP reconciliations.

                               

N/M = not meaningful

                           

 

Table 3 - IBERIABANK CORPORATION

CONDENSED CONSOLIDATED INCOME STATEMENTS

(Dollars in thousands, except per share data)

             
 

For the Nine Months Ended

 

9/30/2016

 

9/30/2015

 

$ Change

% Change

Interest income

$ 536,134

 

$ 470,207

 

65,927

14.0

Interest expense

48,561

 

43,609

 

4,952

11.4

  Net interest income

487,573

 

426,598

 

60,975

14.3

Provision for loan losses

39,255

 

19,197

 

20,058

104.5

  Net interest income after provision for loan losses

448,318

 

407,401

 

40,917

10.0

Mortgage income

67,738

 

63,897

 

3,841

6.0

Service charges on deposit accounts

32,957

 

30,766

 

2,191

7.1

Title revenue

16,881

 

17,402

 

(521)

(3.0)

Broker commissions

11,332

 

13,462

 

(2,130)

(15.8)

ATM/debit card fee income

10,636

 

10,420

 

216

2.1

Income from bank owned life insurance

3,918

 

3,260

 

658

20.2

Gain on sale of available-for-sale securities

1,997

 

1,569

 

428

27.3

Other non-interest income

35,124

 

27,114

 

8,010

29.5

Total non-interest income

180,583

 

167,890

 

12,693

7.6

Salaries and employee benefits

250,875

 

239,131

 

11,744

4.9

Occupancy and equipment

50,246

 

51,613

 

(1,367)

(2.6)

Amortization of acquisition intangibles

6,328

 

6,016

 

312

5.2

Other non-interest expense

107,646

 

134,570

 

(26,924)

(20.0)

Total non-interest expense

415,095

 

431,330

 

(16,235)

(3.8)

Income before income taxes

213,806

 

143,961

 

69,845

48.5

Income tax expense

72,159

 

45,524

 

26,635

58.5

Net income

141,647

 

98,437

 

43,210

43.9

Preferred stock dividends

(7,020)

 

 

(7,020)

N/M

Net income available to common shareholders

$ 134,627

 

$   98,437

 

36,190

36.8

             

Income available to common shareholders - basic

$ 134,627

 

$   98,437

 

36,190

36.8

Earnings allocated to unvested restricted stock

(1,464)

 

(1,171)

 

(293)

25.0

Income allocated to common shareholders

$ 133,163

 

$   97,266

 

35,897

36.9

             

Earnings per common share - basic

$       3.27

 

$       2.60

 

0.67

25.8

             

Earnings per common share - diluted

3.26

 

2.59

 

0.67

25.9

Impact of non-core items (Non-GAAP) (1)

0.01

 

0.48

 

(0.47)

(97.9)

Earnings per share - diluted, excluding non-core items (Non-GAAP) (1)

$       3.27

 

$       3.07

 

0.20

6.5

             

NUMBER OF COMMON SHARES OUTSTANDING (in thousands)

           

Weighted average common shares outstanding - basic

41,156

 

37,917

 

3,239

8.5

Weighted average common shares outstanding - diluted

40,818

 

37,532

 

3,286

8.8

Book value shares (period end) 

41,082

 

41,129

 

(47)

(0.1)

             

(1)  See Table 12 and Table 13 for GAAP to Non-GAAP reconciliations.

             

N/M = not meaningful

           

 

TABLE 4 - IBERIABANK CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)

                                   

PERIOD-END BALANCES

       

Linked Qtr Change

             

Year/Year Change

ASSETS

9/30/2016

 

6/30/2016

 

$

 

%

 

3/31/2016

 

12/31/2015

 

9/30/2015

 

$

 

%

Cash and due from banks

$      327,799

 

$      288,141

 

39,658

 

13.8

 

$      300,207

 

$      241,650

 

$      370,657

 

(42,858)

 

(11.6)

Interest-bearing deposits in other banks

773,454

 

417,157

 

356,297

 

85.4

 

696,448

 

268,617

 

311,615

 

461,839

 

148.2

Total cash and cash equivalents

1,101,253

 

705,298

 

395,955

 

56.1

 

996,655

 

510,267

 

682,272

 

418,981

 

61.4

Investment securities available for sale

2,885,413

 

2,776,015

 

109,398

 

3.9

 

2,755,425

 

2,800,286

 

2,827,805

 

57,608

 

2.0

Investment securities held to maturity

90,653

 

92,904

 

(2,251)

 

(2.4)

 

96,117

 

98,928

 

98,330

 

(7,677)

 

(7.8)

Total investment securities

2,976,066

 

2,868,919

 

107,147

 

3.7

 

2,851,542

 

2,899,214

 

2,926,135

 

49,931

 

1.7

Mortgage loans held for sale

210,866

 

229,653

 

(18,787)

 

(8.2)

 

192,545

 

166,247

 

202,168

 

8,698

 

4.3

Loans, net of unearned income

14,924,499

 

14,722,561

 

201,938

 

1.4

 

14,451,244

 

14,327,428

 

14,117,019

 

807,480

 

5.7

Allowance for loan losses

(148,193)

 

(147,452)

 

(741)

 

0.5

 

(146,557)

 

(138,378)

 

(130,254)

 

(17,939)

 

13.8

Loans, net

14,776,306

 

14,575,109

 

201,197

 

1.4

 

14,304,687

 

14,189,050

 

13,986,765

 

789,541

 

5.6

Loss share receivable

24,406

 

29,224

 

(4,818)

 

(16.5)

 

33,564

 

39,878

 

43,443

 

(19,037)

 

(43.8)

Premises and equipment

308,932

 

311,173

 

(2,241)

 

(0.7)

 

314,615

 

323,902

 

333,273

 

(24,341)

 

(7.3)

Goodwill and other intangibles

761,206

 

763,387

 

(2,181)

 

(0.3)

 

768,235

 

765,655

 

766,589

 

(5,383)

 

(0.7)

Other assets

629,531

 

678,092

 

(48,561)

 

(7.2)

 

630,720

 

609,855

 

593,580

 

35,951

 

6.1

Total assets

$ 20,788,566

 

$ 20,160,855

 

627,711

 

3.1

 

$ 20,092,563

 

$ 19,504,068

 

$ 19,534,225

 

1,254,341

 

6.4

                                   

LIABILITIES AND SHAREHOLDERS' EQUITY

                           

Non-interest-bearing deposits

$   4,787,485

 

$   4,539,254

 

248,231

 

5.5

 

$   4,484,024

 

$   4,352,229

 

$   4,392,808

 

394,677

 

9.0

NOW accounts

2,904,835

 

2,985,284

 

(80,449)

 

(2.7)

 

2,960,562

 

2,974,176

 

2,635,021

 

269,814

 

10.2

Savings and money market accounts

6,646,694

 

6,188,245

 

458,449

 

7.4

 

6,736,146

 

6,727,720

 

6,999,863

 

(353,169)

 

(5.0)

Certificates of deposit

2,183,503

 

2,149,244

 

34,259

 

1.6

 

2,079,834

 

2,124,623

 

2,275,373

 

(91,870)

 

(4.0)

Total deposits

16,522,517

 

15,862,027

 

660,490

 

4.2

 

16,260,566

 

16,178,748

 

16,303,065

 

219,452

 

1.3

Short-term borrowings

360,000

 

477,620

 

(117,620)

 

(24.6)

 

195,000

 

110,000

 

10,000

 

350,000

 

3,500.0

Securities sold under agreements to repurchase

353,272

 

288,017

 

65,255

 

22.7

 

303,238

 

216,617

 

212,460

 

140,812

 

66.3

Trust preferred securities

120,110

 

120,110

 

 

 

120,110

 

120,110

 

120,110

 

 

Other long-term debt

552,328

 

567,326

 

(14,998)

 

(2.6)

 

478,814

 

220,337

 

221,863

 

330,465

 

149.0

Other liabilities

213,229

 

208,158

 

5,071

 

2.4

 

186,926

 

159,421

 

183,526

 

29,703

 

16.2

Total liabilities

18,121,456

 

17,523,258

 

598,198

 

3.4

 

17,544,654

 

17,005,233

 

17,051,024

 

1,070,432

 

6.3

Total shareholders' equity

2,667,110

 

2,637,597

 

29,513

 

1.1

 

2,547,909

 

2,498,835

 

2,483,201

 

183,909

 

7.4

Total liabilities and shareholders' equity

$ 20,788,566

 

$ 20,160,855

 

627,711

 

3.1

 

$ 20,092,563

 

$ 19,504,068

 

$ 19,534,225

 

1,254,341

 

6.4

 

TABLE 4 Continued - IBERIABANK CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)

                                   

AVERAGE BALANCES

       

Linked Qtr Change

             

Year/Year Change

ASSETS

9/30/2016

 

6/30/2016

 

$

 

%

 

3/31/2016

 

12/31/2015

 

9/30/2015

 

$

 

%

Cash and due from banks

$      299,445

 

$      304,304

 

(4,859)

 

(1.6)

 

$      292,476

 

$      352,854

 

$      327,370

 

(27,925)

 

(8.5)

Interest-bearing deposits in other banks

536,741

 

386,139

 

150,602

 

39.0

 

365,709

 

319,302

 

682,764

 

(146,023)

 

(21.4)

Total cash and cash equivalents

836,186

 

690,443

 

145,743

 

21.1

 

658,185

 

672,156

 

1,010,134

 

(173,948)

 

(17.2)

Investment securities available for sale

2,825,030

 

2,823,292

 

1,738

 

0.1

 

2,797,320

 

2,829,825

 

2,660,423

 

164,607

 

6.2

Investment securities held to maturity

92,006

 

94,609

 

(2,603)

 

(2.8)

 

97,391

 

100,113

 

99,864

 

(7,858)

 

(7.9)

Total investment securities

2,917,036

 

2,917,901

 

(865)

 

0.0

 

2,894,711

 

2,929,938

 

2,760,287

 

156,749

 

5.7

Mortgage loans held for sale

219,369

 

211,468

 

7,901

 

3.7

 

160,873

 

169,616

 

200,895

 

18,474

 

9.2

Loans, net of unearned income

14,802,199

 

14,570,945

 

231,254

 

1.6

 

14,354,410

 

14,185,150

 

14,009,601

 

792,598

 

5.7

Allowance for loan losses

(149,101)

 

(149,037)

 

(64)

 

0.0

 

(141,393)

 

(135,209)

 

(130,367)

 

(18,734)

 

14.4

Loans, net

14,653,098

 

14,421,908

 

231,190

 

1.6

 

14,213,017

 

14,049,941

 

13,879,234

 

773,864

 

5.6

Loss share receivable

27,694

 

32,189

 

(4,495)

 

(14.0)

 

37,360

 

41,205

 

47,190

 

(19,496)

 

(41.3)

Premises and equipment

310,592

 

313,862

 

(3,270)

 

(1.0)

 

322,086

 

329,604

 

339,860

 

(29,268)

 

(8.6)

Goodwill and other intangibles

762,196

 

764,818

 

(2,622)

 

(0.3)

 

765,898

 

766,664

 

766,712

 

(4,516)

 

(0.6)

Other assets

666,657

 

651,328

 

15,329

 

2.4

 

609,181

 

592,042

 

599,758

 

66,899

 

11.2

Total assets

$ 20,392,828

 

$ 20,003,917

 

388,911

 

1.9

 

$ 19,661,311

 

$ 19,551,166

 

$ 19,604,070

 

788,758

 

4.0

                                   

LIABILITIES AND SHAREHOLDERS' EQUITY

                           

Non-interest-bearing deposits

$   4,605,447

 

$   4,463,928

 

141,519

 

3.2

 

$   4,388,259

 

$   4,459,980

 

$   4,265,912

 

339,535

 

8.0

NOW accounts

2,936,130

 

2,911,510

 

24,620

 

0.8

 

2,859,940

 

2,720,128

 

2,655,069

 

281,061

 

10.6

Savings and money market accounts

6,359,006

 

6,486,242

 

(127,236)

 

(2.0)

 

6,598,838

 

6,899,090

 

7,104,789

 

(745,783)

 

(10.5)

Certificates of deposit

2,176,159

 

2,117,711

 

58,448

 

2.8

 

2,098,032

 

2,213,557

 

2,343,794

 

(167,635)

 

(7.2)

Total deposits

16,076,742

 

15,979,391

 

97,351

 

0.6

 

15,945,069

 

16,292,755

 

16,369,564

 

(292,822)

 

(1.8)

Short-term borrowings

430,332

 

358,837

 

71,495

 

19.9

 

277,374

 

16,109

 

41,033

 

389,299

 

948.7

Securities sold under agreements to repurchase

302,119

 

265,465

 

36,654

 

13.8

 

217,296

 

224,255

 

221,217

 

80,902

 

36.6

Trust preferred securities

120,110

 

120,110

 

 

 

120,110

 

120,110

 

120,110

 

 

Other long-term debt

562,598

 

473,195

 

89,403

 

18.9

 

403,393

 

220,913

 

222,906

 

339,692

 

152.4

Other liabilities

239,911

 

203,050

 

36,861

 

18.2

 

167,810

 

186,382

 

206,030

 

33,881

 

16.4

Total liabilities

17,731,812

 

17,400,048

 

331,764

 

1.9

 

17,131,052

 

17,060,524

 

17,180,860

 

550,952

 

3.2

Total shareholders' equity

2,661,016

 

2,603,869

 

57,147

 

2.2

 

2,530,259

 

2,490,642

 

2,423,210

 

237,806

 

9.8

Total liabilities and shareholders' equity

$ 20,392,828

 

$ 20,003,917

 

388,911

 

1.9

 

$ 19,661,311

 

$ 19,551,166

 

$ 19,604,070

 

788,758

 

4.0

 

Table 5 - IBERIABANK CORPORATION

TOTAL LOANS AND ASSET QUALITY DATA

(Dollars in thousands)

                                   
         

Linked Qtr Change

             

Year/Year Change

LOANS

9/30/2016

 

6/30/2016

 

$

 

%

 

3/31/2016

 

12/31/2015

 

9/30/2015

 

$

 

%

Commercial loans:

                                 

  Real estate

$   6,681,215

 

$   6,472,001

 

209,214

 

3.2

 

$   6,230,628

 

$   6,073,511

 

$   5,979,751

 

701,464

 

11.7

  Commercial and Industrial

3,462,997

 

3,435,809

 

27,188

 

0.8

 

3,374,382

 

3,444,578

 

3,302,971

 

160,026

 

4.8

  Energy-related (Real Estate and Commercial and Industrial) (1)

599,641

 

662,034

 

(62,393)

 

(9.4)

 

731,662

 

680,766

 

719,456

 

(119,815)

 

(16.7)

      Total commercial loans

10,743,853

 

10,569,844

 

174,009

 

1.6

 

10,336,672

 

10,198,855

 

10,002,178

 

741,675

 

7.4

                                   

Residential mortgage loans

1,270,530

 

1,249,062

 

21,468

 

1.7

 

1,208,391

 

1,195,319

 

1,189,941

 

80,589

 

6.8

                                   

Consumer loans:

                                 

  Home equity

2,151,130

 

2,129,812

 

21,318

 

1.0

 

2,091,514

 

2,066,167

 

2,015,687

 

135,443

 

6.7

  Indirect automobile

153,913

 

182,223

 

(28,310)

 

(15.5)

 

213,179

 

246,298

 

281,649

 

(127,736)

 

(45.4)

  Automobile

152,972

 

156,597

 

(3,625)

 

(2.3)

 

164,868

 

169,571

 

172,947

 

(19,975)

 

(11.5)

  Credit card

80,959

 

78,552

 

2,407

 

3.1

 

76,756

 

77,843

 

77,284

 

3,675

 

4.8

  Other

371,142

 

356,471

 

14,671

 

4.1

 

359,864

 

373,375

 

377,333

 

(6,191)

 

(1.6)

      Total consumer loans

2,910,116

 

2,903,655

 

6,461

 

0.2

 

2,906,181

 

2,933,254

 

2,924,900

 

(14,784)

 

(0.5)

      Total loans

$ 14,924,499

 

$ 14,722,561

 

201,938

 

1.4

 

$ 14,451,244

 

$ 14,327,428

 

$ 14,117,019

 

807,480

 

5.7

                                   

Allowance for loan losses

$    (148,193)

 

$    (147,452)

 

(741)

 

0.5

 

$    (146,557)

 

$    (138,378)

 

$    (130,254)

 

(17,939)

 

13.8

  Loans, net

14,776,306

 

14,575,109

 

201,197

 

1.4

 

14,304,687

 

14,189,050

 

13,986,765

 

789,541

 

5.6

                                   

Reserve for unfunded commitments

(11,990)

 

(13,826)

 

1,836

 

(13.3)

 

(14,033)

 

(14,145)

 

(14,525)

 

2,535

 

(17.5)

Allowance for credit losses

(160,183)

 

(161,278)

 

1,095

 

(0.7)

 

(160,590)

 

(152,523)

 

(144,779)

 

(15,404)

 

10.6

                                   

ASSET QUALITY DATA (2)

                               

Non-accrual loans (3)

$      300,978

 

$      173,312

 

127,666

 

73.7

 

$      182,757

 

$      154,425

 

$      165,022

 

135,956

 

82.4

Other real estate owned and foreclosed assets

22,085

 

27,220

 

(5,135)

 

(18.9)

 

31,411

 

34,131

 

40,450

 

(18,365)

 

(45.4)

Accruing loans more than 90 days past due

5,233

 

1,580

 

3,653

 

231.2

 

1,068

 

1,970

 

2,994

 

2,239

 

74.8

Total non-performing assets

$      328,296

 

$      202,112

 

126,184

 

62.4

 

$      215,236

 

$      190,526

 

$      208,466

 

119,830

 

57.5

                                   
                                   

Loans 30-89 days past due

$        50,181

 

$        58,852

 

(8,671)

 

(14.7)

 

$        59,074

 

$        35,579

 

$        25,306

 

24,875

 

98.3

                                   

Non-performing assets to total assets

1.58 %

 

1.00 %

         

1.07 %

 

0.98 %

 

1.07 %

       

Non-performing assets to total loans and OREO

2.20

 

1.37

         

1.49

 

1.33

 

1.47

       

Allowance for loan losses to non-performing loans (4)

48.4

 

84.3

         

79.7

 

88.5

 

77.5

       

Allowance for loan losses to non-performing assets

45.1

 

73.0

         

68.1

 

72.6

 

62.5

       

Allowance for loan losses to total loans

0.99

 

1.00

         

1.01

 

0.97

 

0.92

       
                                   

Quarter-to-date charge-offs

$       11,500

 

$       12,994

 

(1,494)

 

(11.5)

 

$         5,560

 

$         4,277

 

$         5,245

 

6,255

 

119.3

Quarter-to-date recoveries

(1,277)

 

(1,071)

 

(206)

 

19.2

 

(1,551)

 

(1,358)

 

(2,790)

 

1,513

 

(54.2)

Quarter-to-date net charge-offs

$        10,223

 

$        11,923

 

(1,700)

 

(14.3)

 

$          4,009

 

$          2,919

 

$          2,455

 

7,768

 

316.4

                                   

Net charge-offs to average loans (annualized)

0.27 %

 

0.33 %

         

0.11 %

 

0.08 %

 

0.07 %

       
                                   

(1) For purposes of this table, energy-related loans generally include loans with specific NAICS codes that relate to the Oil and Gas E&P, Services or Midstream industries.

(2) For purposes of this table, non-performing assets include all loans meeting non-performing asset criteria, including assets acquired in FDIC-assisted transactions.

(3) For purposes of this table, non-accrual loans may include acquired loans accounted for under ASC 310-30 that are currently accruing income.

(4) Non-performing loans consist of non-accruing loans and accruing loans 90 days or more past due.

 

Table 6 - IBERIABANK CORPORATION

LEGACY LOANS AND LEGACY ASSET QUALITY DATA

(Dollars in thousands)

                                   
         

Linked Qtr Change

             

Year/Year Change

LEGACY LOANS

9/30/2016

 

6/30/2016

 

$

 

%

 

3/31/2016

 

12/31/2015

 

9/30/2015

 

$

 

%

Commercial loans:

                                 

  Real estate

$   5,419,483

 

$   5,097,689

 

321,794

 

6.3

 

$   4,771,690

 

$   4,504,062

 

$   4,321,723

 

1,097,760

 

25.4

  Commercial and Industrial

3,101,472

 

3,027,590

 

73,882

 

2.4

 

2,926,686

 

2,952,102

 

2,779,503

 

321,969

 

11.6

  Energy-related (Real Estate and Commercial and Industrial) (1)

598,279

 

659,510

 

(61,231)

 

(9.3)

 

728,778

 

677,177

 

713,935

 

(115,656)

 

(16.2)

      Total commercial loans

9,119,234

 

8,784,789

 

334,445

 

3.8

 

8,427,154

 

8,133,341

 

7,815,161

 

1,304,073

 

16.7

                                   

Residential mortgage loans

840,082

 

794,701

 

45,381

 

5.7

 

730,621

 

694,023

 

660,543

 

179,539

 

27.2

                                   

Consumer loans:

                                 

  Home equity

1,755,295

 

1,695,113

 

60,182

 

3.6

 

1,625,812

 

1,575,643

 

1,488,796

 

266,499

 

17.9

  Indirect automobile

153,904

 

182,199

 

(28,295)

 

(15.5)

 

213,141

 

246,214

 

281,522

 

(127,618)

 

(45.3)

  Automobile

143,355

 

146,394

 

(3,039)

 

(2.1)

 

153,732

 

157,579

 

159,928

 

(16,573)

 

(10.4)

  Credit card

80,452

 

78,044

 

2,408

 

3.1

 

76,247

 

77,261

 

76,716

 

3,736

 

4.9

  Other

321,048

 

303,609

 

17,439

 

5.7

 

301,990

 

306,459

 

296,592

 

24,456

 

8.2

      Total consumer loans

2,454,054

 

2,405,359

 

48,695

 

2.0

 

2,370,922

 

2,363,156

 

2,303,554

 

150,500

 

6.5

      Total loans

$ 12,413,370

 

$ 11,984,849

 

428,521

 

3.6

 

$ 11,528,697

 

$ 11,190,520

 

$ 10,779,258

 

1,634,112

 

15.2

                                   

Allowance for loan losses

$    (108,889)

 

$    (106,861)

 

(2,028)

 

1.9

 

$    (105,574)

 

$      (93,808)

 

$      (86,400)

 

(22,489)

 

26.0

  Loans, net

12,304,481

 

11,877,988

 

426,493

 

3.6

 

11,423,123

 

11,096,712

 

10,692,858

 

1,611,623

 

15.1

                                   

Reserve for unfunded commitments

(11,990)

 

(13,826)

 

1,836

 

(13.3)

 

(14,033)

 

(14,145)

 

(14,525)

 

2,535

 

(17.5)

Allowance for credit losses

(120,879)

 

(120,687)

 

(192)

 

0.2

 

(119,607)

 

(107,953)

 

(100,925)

 

(19,954)

 

19.8

                                   

ASSET QUALITY DATA (2)

                               

Non-accrual loans

$      227,122

 

$        95,096

 

132,026

 

138.8

 

$        93,429

 

$        50,928

 

$        51,274

 

175,848

 

343.0

Other real estate owned and foreclosed assets

11,538

 

14,478

 

(2,940)

 

(20.3)

 

17,662

 

16,491

 

17,062

 

(5,524)

 

(32.4)

Accruing loans more than 90 days past due

4,936

 

353

 

4,583

 

1,298.3

 

125

 

624

 

1,521

 

3,415

 

224.5

Total non-performing assets

$      243,596

 

$      109,927

 

133,669

 

121.6

 

$      111,216

 

$        68,043

 

$        69,857

 

173,739

 

248.7

                                   

Loans 30-89 days past due

$        41,157

 

$        45,906

 

(4,749)

 

(10.3)

 

$        42,454

 

$        20,109

 

$        15,718

 

25,439

 

161.8

                                   

Non-performing assets to total assets

1.33 %

 

0.63 %

         

0.65 %

 

0.42 %

 

0.43 %

       

Non-performing assets to total loans and OREO

1.96

 

0.92

         

0.96

 

0.61

 

0.65

       

Allowance for loan losses to non-performing loans (3)

46.9

 

112.0

         

112.9

 

182.0

 

163.7

       

Allowance for loan losses to non-performing assets

44.7

 

97.2

         

94.9

 

137.9

 

123.7

       

Allowance for loan losses to total loans

0.88

 

0.89

         

0.92

 

0.84

 

0.80

       
                                   

Quarter-to-date charge-offs

$        11,201

 

$        11,969

 

(768)

 

(6.4)

 

$          5,389

 

$          3,705

 

$          4,958

 

6,243

 

125.9

Quarter-to-date recoveries

(1,102)

 

(775)

 

(327)

 

42.2

 

(1,247)

 

(1,145)

 

(2,524)

 

1,422

 

(56.3)

Quarter-to-date net charge-offs

$        10,099

 

$        11,194

 

(1,095)

 

(9.8)

 

$          4,142

 

$          2,560

 

$          2,434

 

7,665

 

314.9

Net charge-offs to average loans (annualized)

0.33 %

 

0.38 %

         

0.15 %

 

0.09 %

 

0.09 %

       
                                   

(1) For purposes of this table, energy-related loans generally include loans with specific NAICS codes that relate to the Oil and Gas E&P, Services or Midstream industries.

(2) For purposes of this table, non-performing assets include all loans meeting non-performing asset criteria.

(3) Non-performing loans consist of non-accruing loans and accruing loans 90 days or more past due.

 

Table 7 - IBERIABANK CORPORATION

ACQUIRED LOANS AND ACQUIRED ASSET QUALITY DATA

(Dollars in thousands)

                                   
         

Linked Qtr Change

             

Year/Year Change

ACQUIRED LOANS(1)

9/30/2016

 

6/30/2016

 

$

 

%

 

3/31/2016

 

12/31/2015

 

9/30/2015

 

$

 

%

Commercial loans:

                                 

  Real estate

$ 1,261,732

 

$ 1,374,312

 

(112,580)

 

(8.2)

 

$ 1,458,938

 

$ 1,569,449

 

$ 1,658,028

 

(396,296)

 

(23.9)

  Commercial and Industrial

361,525

 

408,219

 

(46,694)

 

(11.4)

 

447,696

 

492,476

 

523,468

 

(161,943)

 

(30.9)

  Energy-related (Real Estate and Commercial and Industrial)(2)

1,362

 

2,524

 

(1,162)

 

(46.0)

 

2,884

 

3,589

 

5,521

 

(4,159)

 

(75.3)

      Total commercial loans

1,624,619

 

1,785,055

 

(160,436)

 

(9.0)

 

1,909,518

 

2,065,514

 

2,187,017

 

(562,398)

 

(25.7)

                                   

Residential mortgage loans

430,448

 

454,361

 

(23,913)

 

(5.3)

 

477,770

 

501,296

 

529,398

 

(98,950)

 

(18.7)

                                   

Consumer loans:

                                 

  Home equity

395,835

 

434,699

 

(38,864)

 

(8.9)

 

465,702

 

490,524

 

526,891

 

(131,056)

 

(24.9)

  Indirect automobile

9

 

24

 

(15)

 

(62.5)

 

38

 

84

 

127

 

(118)

 

(92.9)

  Automobile

9,617

 

10,203

 

(586)

 

(5.7)

 

11,136

 

11,992

 

13,019

 

(3,402)

 

(26.1)

  Credit card

507

 

508

 

(1)

 

(0.2)

 

509

 

582

 

568

 

(61)

 

(10.7)

  Other

50,094

 

52,862

 

(2,768)

 

(5.2)

 

57,874

 

66,916

 

80,741

 

(30,647)

 

(38.0)

      Total consumer loans

456,062

 

498,296

 

(42,234)

 

(8.5)

 

535,259

 

570,098

 

621,346

 

(165,284)

 

(26.6)

      Total loans

$ 2,511,129

 

$ 2,737,712

 

(226,583)

 

(8.3)

 

$ 2,922,547

 

$ 3,136,908

 

$ 3,337,761

 

(826,632)

 

(24.8)

                                   

Allowance for loan losses

$    (39,304)

 

$    (40,591)

 

1,287

 

(3.2)

 

$    (40,983)

 

$    (44,570)

 

$    (43,854)

 

4,550

 

(10.4)

  Loans, net

2,471,825

 

2,697,121

 

(225,296)

 

(8.4)

 

2,881,564

 

3,092,338

 

3,293,907

 

(822,082)

 

(25.0)

                                   

ACQUIRED ASSET QUALITY DATA (1) (3)

                             

Non-accrual loans (4)

$      73,856

 

$      78,216

 

(4,360)

 

(5.6)

 

$      89,328

 

$    103,497

 

$    113,748

 

(39,892)

 

(35.1)

Other real estate owned and foreclosed assets

10,547

 

12,742

 

(2,195)

 

(17.2)

 

13,749

 

17,640

 

23,388

 

(12,841)

 

(54.9)

Accruing loans more than 90 days past due

297

 

1,227

 

(930)

 

(75.8)

 

943

 

1,346

 

1,473

 

(1,176)

 

(79.8)

Total non-performing assets

$      84,700

 

$      92,185

 

(7,485)

 

(8.1)

 

$    104,020

 

$    122,483

 

$    138,609

 

(53,909)

 

(38.9)

                                   

Loans 30-89 days past due

$        9,024

 

$      12,946

 

(3,922)

 

(30.3)

 

$      16,620

 

$      15,470

 

$        9,588

 

(564)

 

(5.9)

                                   

Non-performing assets to total assets

3.36 %

 

3.35 %

         

3.50 %

 

3.84 %

 

4.07 %

       

Non-performing assets to total loans and OREO

3.36

 

3.35

         

3.54

 

3.88

 

4.12

       

Allowance for loan losses to non-performing loans

53.0

 

51.1

         

45.4

 

42.5

 

38.1

       

Allowance for loan losses to non-performing assets

46.4

 

44.0

         

39.4

 

36.4

 

31.6

       

Allowance for loan losses to total loans

1.57

 

1.48

         

1.40

 

1.42

 

1.31

       
                                   

Quarter-to-date charge-offs

$           299

 

$        1,025

 

(726)

 

(70.8)

 

$           171

 

$           572

 

$           287

 

12

 

4.2

Quarter-to-date recoveries

(175)

 

(296)

 

121

 

(40.9)

 

(304)

 

(213)

 

(266)

 

91

 

(34.2)

Quarter-to-date net charge-offs/(recoveries)

$           124

 

$           729

 

(605)

 

(83.0)

 

$         (133)

 

$           359

 

$             21

 

103

 

490.5

                                   

Net charge-offs/(recoveries) to average loans

0.02 %

 

0.10 %

         

(0.02)%

 

0.04 %

 

0.00%

       
                                   

(1) For purposes of this table, acquired loans and acquired non-performing assets are presented only. Non-performing assets include all loans meeting non-performing asset criteria.

(2) For purposes of this table, energy-related loans generally include loans with specific NAICS codes that relate to the Oil and Gas E&P, Services or Midstream industries.

(3) For purposes of this table, non-performing assets include all loans meeting non-performing asset criteria, including assets acquired in FDIC-assisted transactions.

(4) For purposes of this table, non-accrual loans may include acquired loans accounted for under ASC 310-30 that are currently accruing income.

 

Table 8 - IBERIABANK CORPORATION

ENERGY-RELATED LOANS AND ASSET QUALITY DATA

(Dollars in thousands)

                                   
                                   

ENERGY-RELATED

       

Linked Qtr Change

             

Year/Year Change

LOANS (1)

9/30/2016

 

6/30/2016

 

$

 

%

 

3/31/2016

 

12/31/2015

 

9/30/2015

 

$

 

%

E&P

$      301,223

 

$      328,066

 

(26,843)

 

(8.2)

 

$      369,725

 

$      314,381

 

$      335,837

 

(34,614)

 

(10.3)

Midstream

110,821

 

123,687

 

(12,866)

 

(10.4)

 

130,556

 

116,623

 

122,863

 

(12,042)

 

(9.8)

Service

187,597

 

210,281

 

(22,684)

 

(10.8)

 

231,381

 

249,762

 

260,756

 

(73,159)

 

(28.1)

Total energy-related loans

$      599,641

 

$      662,034

 

(62,393)

 

(9.4)

 

$      731,662

 

$      680,766

 

$      719,456

 

(119,815)

 

(16.7)

                                   

E&P

$      545,383

 

$      572,267

 

(26,884)

 

(4.7)

 

$      677,258

 

$      717,109

 

$      753,505

 

(208,122)

 

(27.6)

Midstream

198,618

 

201,555

 

(2,937)

 

(1.5)

 

206,504

 

204,326

 

200,893

 

(2,275)

 

(1.1)

Service

261,450

 

295,591

 

(34,141)

 

(11.6)

 

329,282

 

369,751

 

422,324

 

(160,874)

 

(38.1)

Total energy-related commitments

$   1,005,451

 

$   1,069,413

 

(63,962)

 

(6.0)

 

$   1,213,044

 

$   1,291,186

 

$   1,376,722

 

(371,271)

 

(27.0)

                                   

Total loans

$ 14,924,499

 

$ 14,722,561

 

201,938

 

1.4

 

$ 14,451,244

 

$ 14,327,428

 

$ 14,117,019

 

807,480

 

5.7

Energy outstandings as a % of total loans

4.0 %

 

4.5 %

         

5.1 %

 

4.8 %

 

5.1 %

       

Energy commitments as a % of total commitments

5.1 %

 

5.4 %

         

6.3 %

 

6.8 %

 

7.4 %

       
                                   

Allowance for loan losses

$      (28,215)

 

$      (33,040)

 

4,825

 

(14.6)

 

$      (38,495)

 

$      (23,987)

 

$      (15,335)

 

(12,880)

 

84.0

Reserve for unfunded commitments

(953)

 

(2,223)

 

1,270

 

(57.1)

 

(903)

 

(2,666)

 

$        (3,633)

 

2,680

 

(73.8)

Allowance for credit losses

(29,168)

 

(35,263)

 

6,095

 

(17.3)

 

(39,398)

 

(26,653)

 

(18,968)

 

(10,200)

 

53.8

                                   

 ASSET QUALITY DATA (2)

                               

Non-accrual loans

$      153,620

 

$        60,814

 

92,806

 

152.6

 

$        46,223

 

$          8,449

 

$          4,870

 

148,750

 

3,054.4

Other real estate owned and foreclosed assets

 

 

 

 

 

 

 

 

Accruing loans more than 90 days past due

 

 

 

 

 

 

 

 

Total non-performing assets

$      153,620

 

$        60,814

 

92,806

 

152.6

 

$        46,223

 

$          8,449

 

$          4,870

 

148,750

 

3,054.4

                                   

Loans 30-89 days past due

$               —

 

$          3,055

 

(3,055)

 

100.0

 

$               —

 

$               15

 

$             477

 

(477)

 

100.0

                                   

Non-performing assets to total energy-related loans and OREO

25.62 %

 

9.19 %

         

6.32 %

 

1.24 %

 

0.68 %

       

Allowance for loan losses to non-performing loans (3)

18.4

 

54.3

         

83.3

 

283.9

 

314.9

       

Allowance for loan losses to non-performing assets

18.4

 

54.3

         

83.3

 

283.9

 

314.9

       

Allowance for loan losses to total energy-related loans

4.71

 

4.99

         

5.26

 

3.52

 

2.13

       
                                   

Quarter-to-date charge-offs

$          6,957

 

$          7,715

         

$               —

 

$               —

 

$               —

       

Quarter-to-date recoveries

 

         

 

 

       

Quarter-to-date net charge-offs

$          6,957

 

$          7,715

         

$               —

 

$               —

 

$               —

       

Net charge-offs to average loans (annualized)

4.39 %

 

4.44 %

         

0.00%

 

0.00%

 

0.00%

       
                                   

(1) For purposes of this table, energy-related loans generally include loans with specific NAICS codes.

   

(2) For purposes of this table, non-performing assets include all loans meeting non-performing asset criteria.

(3) Non-performing loans consist of non-accruing loans and accruing loans 90 days or more past due.

 

TABLE 9 - IBERIABANK CORPORATION

QUARTERLY AVERAGE BALANCES, NET INTEREST INCOME AND YIELDS/RATES

(Dollars in thousands)

                   
 

For the Three Months Ended

 

9/30/2016

 

6/30/2016

 

Basis Point Change

ASSETS

Average Balance

Interest Income/Expense

Yield/Rate

 

Average Balance

Interest Income/Expense

Yield/Rate

 

Yield/Rate

Earning assets:

                 

  Commercial loans

$ 10,646,874

$           116,653

4.34 %

 

$ 10,458,822

$           114,588

4.39 %

 

(5)

  Residential mortgage loans

1,254,665

13,718

4.37

 

1,221,254

13,781

4.51

 

(14)

  Consumer loans

2,900,660

37,413

5.13

 

2,890,869

37,200

5.18

 

(5)

      Total loans

14,802,199

167,784

4.50

 

14,570,945

165,569

4.55

 

(5)

  Loss share receivable

27,694

(3,935)

(55.61)

 

32,189

(4,163)

(51.16)

 

(445)

      Total loans and loss share receivable

14,829,893

163,849

4.39

 

14,603,134

161,406

4.43

 

(4)

Mortgage loans held for sale

219,369

1,774

3.24

 

211,468

1,850

3.50

 

(26)

Investment securities (2)

2,830,892

13,815

2.09

 

2,856,805

14,663

2.18

 

(9)

Other earning assets

641,080

1,066

0.66

 

483,597

775

0.64

 

2

  Total earning assets

18,521,234

180,504

3.89

 

18,155,004

178,694

3.97

 

(8)

Allowance for loan losses

(149,101)

     

(149,037)

       

Non-earning assets

2,020,695

     

1,997,950

       

      Total assets

$ 20,392,828

     

$ 20,003,917

       
                   

LIABILITIES AND SHAREHOLDERS' EQUITY

               

Interest-bearing liabilities:

                 

  NOW accounts

$   2,936,130

2,313

0.31

 

$   2,911,510

2,080

0.29

 

2

  Savings and money market accounts

6,359,006

5,826

0.36

 

6,486,242

5,527

0.34

 

2

  Certificates of deposit

2,176,159

4,592

0.84

 

2,117,711

4,309

0.82

 

2

  Total interest-bearing deposits (3)

11,471,295

12,731

0.44

 

11,515,463

11,916

0.42

 

2

  Short-term borrowings

732,451

753

0.40

 

624,302

662

0.42

 

(2)

  Long-term debt

682,708

3,603

2.06

 

593,305

3,363

2.24

 

(18)

      Total interest-bearing liabilities

12,886,454

17,087

0.53

 

12,733,070

15,941

0.50

 

3

Non-interest-bearing deposits

4,605,447

     

4,463,928

       

Non-interest-bearing liabilities

239,911

     

203,050

       

  Total liabilities

17,731,812

     

17,400,048

       

Total shareholders' equity

2,661,016

     

2,603,869

       

  Total liabilities and shareholders' equity

$ 20,392,828

     

$ 20,003,917

       
                   

Net interest income/Net interest spread

 

$           163,417

3.36 %

   

$           162,753

3.47 %

 

(11)

Tax-equivalent benefit

 

2,378

0.05

   

2,332

0.05

 

Net interest income (TE)/Net interest margin (TE) (1)

 

$           165,795

3.53 %

   

$           165,085

3.61 %

 

(8)

                   

(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 35%, which approximates the marginal tax rate.

(2) Balances exclude unrealized gain or loss on securities available for sale and the impact of trade date accounting.

(3) Total deposit costs for the three months ended September 30, 2016 and June 30, 2016 total 0.32% and 0.30%, respectively.

 

TABLE 9 Continued - IBERIABANK CORPORATION

QUARTERLY AVERAGE BALANCES, NET INTEREST INCOME AND YIELDS/RATES

(Dollars in thousands)

                       
 

For the Three Months Ended

 

3/31/2016

 

12/31/2015

 

9/30/2015

ASSETS

Average Balance

Interest Income/Expense

Yield/Rate

 

Average Balance

Interest Income/Expense

Yield/Rate

 

Average Balance

Interest Income/Expense

Yield/Rate

Earning assets:

                     

  Commercial loans

$ 10,250,555

$             113,417

4.43 %

 

$ 10,062,680

$             114,153

4.50 %

 

$   9,915,593

$             110,282

4.41 %

  Residential mortgage loans

1,202,692

13,429

4.47

 

1,193,488

12,819

4.30

 

1,180,725

13,156

4.46

  Consumer loans

2,901,163

37,145

5.15

 

2,928,982

36,553

4.95

 

2,913,283

36,477

4.97

    Total loans

14,354,410

163,991

4.58

 

14,185,150

163,525

4.57

 

14,009,601

159,915

4.53

  Loss share receivable

37,360

(4,386)

(46.44)

 

41,205

(4,490)

(42.63)

 

47,190

(5,600)

(46.43)

    Total loans and loss share receivable

14,391,770

159,605

4.45

 

14,226,355

159,035

4.44

 

14,056,791

154,315

4.36

Mortgage loans held for sale

160,873

1,401

3.48

 

169,616

1,422

3.35

 

200,895

1,847

3.68

Investment securities (2)

2,866,974

15,212

2.25

 

2,901,388

15,149

2.21

 

2,697,617

13,730

2.16

Other earning assets

453,737

718

0.64

 

390,571

1,045

1.06

 

756,277

1,185

0.62

  Total earning assets

17,873,354

176,936

3.99

 

17,687,930

176,651

3.99

 

17,711,580

171,077

3.86

Allowance for loan losses

(141,393)

     

(135,209)

     

(130,367)

   

Non-earning assets

1,929,350

     

1,998,445

     

2,022,857

   

    Total assets

$ 19,661,311

     

$ 19,551,166

     

$ 19,604,070

   
                       

LIABILITIES AND SHAREHOLDERS' EQUITY

                   

Interest-bearing liabilities:

                     

  NOW accounts

$   2,859,940

1,940

0.27

 

$   2,720,128

1,861

0.27

 

$   2,655,069

1,725

0.26

  Savings and money market accounts

6,598,838

5,640

0.34

 

6,899,090

6,172

0.35

 

7,104,789

6,460

0.36

  Certificates of deposit

2,098,032

4,354

0.83

 

2,213,557

4,727

0.85

 

2,343,794

5,039

0.85

  Total interest-bearing deposits (3)

11,556,810

11,934

0.42

 

11,832,775

12,760

0.43

 

12,103,652

13,224

0.43

  Short-term borrowings

494,670

485

0.39

 

240,365

98

0.16

 

262,250

116

0.17

  Long-term debt

523,503

3,114

2.35

 

341,022

2,633

3.02

 

343,016

2,620

2.99

      Total interest-bearing liabilities

12,574,983

15,533

0.49

 

12,414,162

15,491

0.49

 

12,708,918

15,960

0.50

Non-interest-bearing deposits

4,388,259

     

4,459,980

     

4,265,912

   

Non-interest-bearing liabilities

167,810

     

186,382

     

206,030

   

  Total liabilities

17,131,052

     

17,060,524

     

17,180,860

   

Total shareholders' equity

2,530,259

     

2,490,642

     

2,423,210

   

  Total liabilities and shareholders' equity

$ 19,661,311

     

$ 19,551,166

     

$ 19,604,070

   
                       

Net interest income/Net interest spread

 

$             161,403

3.50 %

   

$             161,160

3.50 %

   

$             155,117

3.36 %

Tax-equivalent benefit

 

2,361

0.05

   

2,384

0.05

   

2,185

0.05

Net interest income (TE)/Net interest margin (TE) (1)

 

$             163,764

3.64 %

   

$             163,544

3.64 %

   

$             157,302

3.50 %

                       

(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 35%, which approximates the marginal tax rate.

(2) Balances exclude unrealized gain or loss on securities available for sale and the impact of trade date accounting.

(3) Total deposit costs for the three months ended March 31, 2016, December 31, 2015 and September 30, 2015 total 0.30%, 0.31% and 0.32%, respectively.

 

TABLE 10 - IBERIABANK CORPORATION

YEAR-TO-DATE AVERAGE BALANCES, NET INTEREST INCOME AND YIELDS/RATES

(Dollars in thousands)

                   
 

For the Nine Months Ended

 

9/30/2016

 

9/30/2015

 

Basis Point Change

ASSETS

Average Balance

Interest Income/Expense

Yield/Rate

 

Average Balance

Interest Income/Expense

Yield/Rate

 

Yield/Rate

Earning assets:

                 

Commercial loans

$ 10,452,794

$           344,658

4.39 %

 

$   9,032,618

$           297,199

4.40 %

 

(1)

Residential mortgage loans

1,226,307

40,928

4.45

 

1,156,101

41,129

4.74

 

(29)

Consumer loans

2,897,576

111,758

5.15

 

2,777,330

105,113

5.06

 

9

  Total loans

14,576,677

497,344

4.54

 

12,966,049

443,441

4.57

 

(3)

Loss share receivable

32,398

(12,484)

(50.63)

 

56,299

(19,011)

(44.53)

 

(610)

  Total loans and loss share receivable

14,609,075

484,860

4.42

 

13,022,348

424,430

4.36

 

6

Mortgage loans held for sale

197,317

5,025

3.40

 

179,211

4,742

3.53

 

(13)

Investment securities (2)

2,851,482

43,691

2.17

 

2,492,826

38,017

2.15

 

2

Other earning assets

526,557

2,558

0.65

 

608,578

3,018

0.66

 

(1)

  Total earning assets

18,184,431

536,134

3.95

 

16,302,963

470,207

3.87

 

8

Allowance for loan losses

(146,520)

     

(129,325)

       

Non-earning assets

1,982,804

     

1,842,042

       

Total assets

$ 20,020,715

     

$ 18,015,680

       
                   

LIABILITIES AND SHAREHOLDERS' EQUITY

             

Interest-bearing liabilities:

                 

NOW accounts

$   2,902,649

6,334

0.29

 

$   2,587,020

5,042

0.26

 

3

Savings and money market accounts

6,480,916

16,992

0.35

 

6,064,012

14,892

0.33

 

2

Certificates of deposit

2,130,800

13,255

0.83

 

2,275,968

14,410

0.85

 

(2)

Total interest-bearing deposits (3)

11,514,365

36,581

0.42

 

10,927,000

34,344

0.42

 

Short-term borrowings

617,562

1,900

0.40

 

488,574

699

0.19

 

21

Long-term debt

600,141

10,080

2.21

 

404,125

8,566

2.80

 

(59)

  Total interest-bearing liabilities

12,732,068

48,561

0.51

 

11,819,699

43,609

0.49

 

2

Non-interest-bearing deposits

4,486,314

     

3,840,738

       

Non-interest-bearing liabilities

203,723

     

171,585

       

  Total liabilities

17,422,105

     

15,832,022

       

Total shareholders' equity

2,598,610

     

2,183,658

       

Total liabilities and shareholders' equity

$ 20,020,715

     

$ 18,015,680

       
                   

Net interest income/Net interest spread

 

$           487,573

3.44 %

   

$           426,598

3.38 %

 

6

Tax-equivalent benefit

 

7,071

0.05

   

6,221

0.05

 

Net interest income (TE)/Net interest margin (TE) (1)

 

$           494,644

3.59 %

   

$           432,819

3.52 %

 

7

                   

(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 35%, which approximates the marginal tax rate.

(2) Balances exclude unrealized gain or loss on securities available for sale and the impact of trade date accounting.

(3) Total deposit costs for the nine months ended September 30, 2016 and 2015 total 0.30% and 0.31%, respectively .

 

Table 11 - IBERIABANK CORPORATION

LEGACY AND ACQUIRED LOAN PORTFOLIO VOLUMES AND YIELDS

(Dollars in millions)

                                       
 

For the Three Months Ended

 

9/30/2016

 

6/30/2016

 

3/31/2016

 

12/31/2015

 

9/30/2015

AS REPORTED (US GAAP)

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

Legacy loans, net

$   123

$ 12,183

3.97 %

 

$   118

$ 11,737

4.00 %

 

$   115

$ 11,319

4.02 %

 

$   109

$ 10,949

3.92 %

 

$   105

$ 10,571

3.90 %

Acquired loans (1)

41

2,647

6.10

 

43

2,866

6.01

 

45

3,073

5.84

 

50

3,277

5.97

 

49

3,486

5.59

Total loans

$   164

$ 14,830

4.40 %

 

$   161

$ 14,603

4.45 %

 

$   160

$ 14,392

4.46 %

 

$   159

$ 14,226

4.44 %

 

$   154

$ 14,057

4.36 %

                                       
 

9/30/2016

 

6/30/2016

 

3/31/2016

 

12/31/2015

 

9/30/2015

ADJUSTMENTS

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

Legacy loans, net

$     —

$        —

0.00%

 

$     —

$        —

0.00%

 

$     —

$        —

0.00%

 

$     —

$        —

0.00%

 

$     —

$        —

0.00%

Acquired loans (1)

(9)

76

1.49

 

(9)

84

(1.33)

 

(7)

86

(1.04)

 

(11)

87

(1.41)

 

(8)

92

(0.9)

Total loans

$     (9)

$        76

(0.27)%

 

$     (9)

$        84

(0.26)%

 

$     (7)

$        86

(0.21)%

 

$   (11)

$        87

(0.33)%

 

$     (8)

$        92

(0.24)%

                                       
 

9/30/2016

 

6/30/2016

 

3/31/2016

 

12/31/2015

 

9/30/2015

AS ADJUSTED (CASH YIELD, NON-GAAP)

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

 

Income

Average Balance

Yield

Legacy loans, net

$   123

$ 12,183

3.97 %

 

$   118

$ 11,737

4.00 %

 

$   115

$ 11,319

4.02 %

 

$   109

$ 10,949

3.92 %

 

$   105

$ 10,571

3.90 %

Acquired loans (1)

32

2,723

4.61

 

34

2,950

4.68

 

38

3,159

4.80

 

39

3,364

4.56

 

41

3,578

4.69

Total loans

$   155

$ 14,906

4.13 %

 

$   152

$ 14,687

4.19 %

 

$   153

$ 14,478

4.25 %

 

$   148

$ 14,313

4.11 %

 

$   146

$ 14,149

4.12 %

                                       

(1) Acquired loans include the impact of the FDIC Indemnification Asset.

 

Table 12 - IBERIABANK CORPORATION

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

(Dollars in thousands)

                                   
 

For the Three Months Ended

 

9/30/2016

 

6/30/2016

 

3/31/2016

 

Pre-tax

 

After-tax(1)

 

Per share(2)

 

Pre-tax

 

After-tax(1)

 

Per share(2)

 

Pre-tax

 

After-tax(1)

 

Per share(2)

Net income available to common shareholders (GAAP)

$   72,615

 

$      44,478

 

$            1.08

 

$   76,300

 

$      49,956

 

$            1.21

 

$ 64,891

 

$      40,193

 

$            0.97

                                   

Non-interest income adjustments:

                                 

Gain on sale of investments and other non-interest income

(12)

 

(8)

 

 

(1,789)

 

(1,163)

 

(0.03)

 

(196)

 

(127)

 

                                   

Non-interest expense adjustments:

                                 

Merger-related expense

 

 

 

 

 

 

3

 

2

 

Severance expense

 

 

 

140

 

91

 

 

454

 

295

 

0.01

Impairment of long-lived assets, net of (gain) loss on sale

 

 

 

(1,256)

 

(816)

 

(0.02)

 

1,044

 

679

 

0.01

Other non-core non-interest expense

 

 

 

1,177

 

765

 

0.02

 

1,091

 

709

 

0.02

Total non-interest expense adjustments

 

 

 

61

 

40

 

 

2,592

 

1,685

 

0.04

Income tax benefits

 

 

 

 

 

 

 

 

Core earnings (Non-GAAP)

72,603

 

44,470

 

1.08

 

74,572

 

48,833

 

1.18

 

67,287

 

41,751

 

1.01

Provision for loan losses

12,484

 

8,115

 

0.20

 

11,866

 

7,712

 

0.19

 

14,905

 

9,688

 

0.24

Core pre-provision earnings (Non-GAAP)

$   85,087

 

$      52,585

 

$            1.28

 

$   86,438

 

$      56,545

 

$            1.37

 

$ 82,192

 

$      51,439

 

$            1.25

                                   
 

For the Three Months Ended

           
 

12/31/2015

 

9/30/2015

           
 

Pre-tax

 

After-tax(1)

 

Per share(2)

 

Pre-tax

 

After-tax(1)

 

Per share(2)

           

Net income available to common shareholders (GAAP)

$   62,977

 

$      44,407

 

$            1.08

 

$   62,565

 

$      42,475

 

$            1.03

           
                                   

Non-interest income adjustments:

                                 

Gain on sale of investments and other non-interest income

(157)

 

(102)

 

 

(2,221)

 

(1,444)

 

(0.04)

           
                                   

Non-interest expense adjustments:

                                 

Merger-related expense

(166)

 

(108)

 

 

2,212

 

1,438

 

0.04

           

Severance expense

1,842

 

1,197

 

0.03

 

304

 

198

 

           

Impairment of long-lived assets, net of (gain) loss on sale

3,396

 

2,207

 

0.05

 

1,713

 

1,113

 

0.03

           

Other non-core non-interest expense

(208)

 

(135)

 

 

242

 

157

 

           

Total non-interest expense adjustments

4,864

 

3,161

 

0.08

 

4,471

 

2,906

 

0.07

           

Income tax benefits

 

(2,041)

 

(0.05)

 

 

 

           

Core earnings (Non-GAAP)

67,684

 

45,425

 

1.11

 

64,815

 

43,937

 

1.07

           

Provision for loan losses

11,711

 

7,612

 

0.19

 

5,062

 

3,291

 

0.08

           

Core pre-provision earnings (Non-GAAP)

$   79,395

 

$      53,037

 

$            1.30

 

$   69,877

 

$      47,228

 

$            1.15

           
                                   

(1) After-tax amounts calculated using a tax rate of 35%, which approximates the marginal tax rate.

(2) Diluted per share amounts may not appear to foot due to rounding.

 
                                   
 

For the Nine Months Ended

           
 

9/30/2016

 

9/30/2015

           
 

Pre-tax

 

After-tax(1)

 

Per share(2)

 

Pre-tax

 

After-tax(1)

 

Per share(2)

           

Net income available to common shareholders (GAAP)

$ 213,806

 

$    134,627

 

$            3.26

 

$ 143,961

 

$      98,437

 

$            2.59

           
                                   

Non-interest income adjustments:

                                 

Gain on sale of investments and other non-interest income

(1,997)

 

(1,298)

 

(0.03)

 

(3,876)

 

(2,519)

 

(0.07)

           
                                   

Non-interest expense adjustments:

                                 

Merger-related expense

3

 

2

 

 

24,240

 

15,969

 

0.42

           

Severance expense

594

 

386

 

0.01

 

751

 

489

 

0.01

           

Impairment of long-lived assets, net of (gain) loss on sale

(212)

 

(137)

 

(0.01)

 

3,863

 

2,510

 

0.07

           

Other non-core non-interest expense

2,268

 

1,474

 

0.04

 

2,742

 

1,782

 

0.05

           

Total non-interest expense adjustments

2,653

 

1,725

 

0.04

 

31,596

 

20,750

 

0.55

           

Income tax benefits

 

 

 

 

 

           

Core earnings (Non-GAAP)

214,462

 

135,054

 

3.27

 

171,681

 

116,668

 

3.07

           

Provision for loan losses

39,255

 

25,516

 

0.63

 

19,197

 

12,479

 

0.33

           

Core pre-provision earnings (Non-GAAP)

$ 253,717

 

$    160,570

 

$            3.90

 

$ 190,878

 

$    129,147

 

$            3.40

           
                                   

(1) After-tax amounts calculated using a tax rate of 35%, which approximates the marginal tax rate.

(2) Diluted per share amounts may not appear to foot due to rounding.

 

Table 13 - IBERIABANK CORPORATION

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

(Dollars in thousands)

                   
 

For the Three Months Ended

 

9/30/2016

 

6/30/2016

 

3/31/2016

 

12/31/2015

 

9/30/2015

Net interest income (GAAP)

$      163,417

 

$      162,753

 

$      161,403

 

$      161,160

 

$      155,117

Add: Effect of tax benefit on interest income

2,378

 

2,332

 

2,361

 

2,384

 

2,185

Net interest income (TE) (Non-GAAP) (1)

165,795

 

165,085

 

163,764

 

163,544

 

157,302

                   

Non-interest income (GAAP)

59,821

 

64,917

 

55,845

 

52,503

 

57,478

Add: Effect of tax benefit on non-interest income

703

 

760

 

647

 

590

 

589

Non-interest income (TE) (Non-GAAP) (1)

60,524

 

65,677

 

56,492

 

53,093

 

58,067

Taxable equivalent revenues (Non-GAAP) (1)

226,319

 

230,762

 

220,256

 

216,637

 

215,369

Securities gains and other non-interest income

(12)

 

(1,789)

 

(196)

 

(157)

 

(2,221)

Core taxable equivalent revenues (Non-GAAP)(1)

$      226,307

 

$      228,973

 

$      220,060

 

$      216,480

 

$      213,148

                   

Total non-interest expense (GAAP)

$      138,139

 

$      139,504

 

$      137,452

 

$      138,975

 

$      144,968

Less: Intangible amortization expense

2,106

 

2,109

 

2,113

 

1,795

 

2,338

Tangible non-interest expense (Non-GAAP) (2)

136,033

 

137,395

 

135,339

 

137,180

 

142,630

Less: Merger-related expense

 

 

3

 

(166)

 

2,212

Severance expense

 

140

 

454

 

1,842

 

304

(Gain) Loss on sale of long-lived assets, net of impairment

 

(1,256)

 

1,044

 

3,396

 

1,713

Other non-core non-interest expense

 

1,177

 

1,091

 

(208)

 

242

Core tangible non-interest expense (Non-GAAP) (2)

$      136,033

 

$      137,334

 

$      132,747

 

$      132,316

 

$      138,159

                   

Return on average assets (GAAP)

0.94 %

 

1.02 %

 

0.87 %

 

0.90 %

 

0.86 %

Effect of non-core revenues and expenses

0.00

 

(0.02)

 

0.03

 

0.02

 

0.03

Core return on average assets (Non-GAAP)

0.94 %

 

1.00 %

 

0.90 %

 

0.92 %

 

0.89 %

                   

Efficiency ratio (GAAP)

61.9 %

 

61.3 %

 

63.3 %

 

65.0 %

 

68.2 %

Effect of tax benefit related to tax-exempt income

(0.9)

 

(0.8)

 

(0.9)

 

(0.8)

 

(0.9)

Efficiency ratio (TE) (Non-GAAP) (1)

61.0 %

 

60.5 %

 

62.4 %

 

64.2 %

 

67.3 %

Effect of amortization of intangibles

(0.9)

 

(0.9)

 

(1.0)

 

(0.8)

 

(1.1)

Effect of non-core items

0.0

 

0.4

 

(1.1)

 

(2.3)

 

(1.4)

Core tangible efficiency ratio (TE) (Non-GAAP) (1) (2)

60.1 %

 

60.0 %

 

60.3 %

 

61.1 %

 

64.8 %

                   

Return on average common equity (GAAP)

7.00 %

 

8.05 %

 

6.59 %

 

7.30 %

 

7.09 %

Effect of intangibles (2)

3.30

 

3.85

 

3.30

 

3.65

 

3.73

Effect of non-core revenues and expenses

0.00

 

(0.26)

 

0.37

 

0.25

 

0.36

Core return on average tangible common equity (Non-GAAP) (2)

10.30 %

 

11.64 %

 

10.26 %

 

11.20 %

 

11.18 %

                   

Total shareholders' equity (GAAP)

$   2,667,110

 

$   2,637,597

 

$   2,547,909

 

$   2,498,835

 

$   2,483,201

Less:  Goodwill and other intangibles

757,856

 

759,966

 

764,730

 

761,871

 

762,500

Preferred stock

132,097

 

132,098

 

76,812

 

76,812

 

77,463

Tangible common equity (Non-GAAP) (2)

$   1,777,157

 

$   1,745,533

 

$   1,706,367

 

$   1,660,152

 

$   1,643,238

                   

Total assets (GAAP)

$ 20,788,566

 

$ 20,160,855

 

$ 20,092,563

 

$ 19,504,068

 

$ 19,534,225

Less:  Goodwill and other intangibles

757,856

 

759,966

 

764,730

 

761,871

 

762,500

Tangible assets (Non-GAAP) (2)

$ 20,030,710

 

$ 19,400,889

 

$ 19,327,833

 

$ 18,742,197

 

$ 18,771,725

Tangible common equity ratio (Non-GAAP) (2)

8.87 %

 

9.00 %

 

8.83 %

 

8.86 %

 

8.75 %

                   

(1) Fully taxable equivalent (TE) calculations include the tax benefit associated with related income sources that are tax-exempt using a rate of 35%, which approximates the marginal tax rate.

(2) Tangible calculations eliminate the effect of goodwill and acquisition-related intangibles and the corresponding amortization expense on a tax-effected basis where applicable.

 

SOURCE IBERIABANK Corporation

For further information: Daryl G. Byrd, President and CEO (337) 521-4003; Or John R. Davis, Senior Executive Vice President (337) 521-4005