OAK RIDGE, N.J., Jan. 25, 2024 (GLOBE NEWSWIRE) -- Lakeland Bancorp, Inc. (NASDAQ: LBAI) (the "Company"), the parent company of Lakeland Bank ("Lakeland"), reported net income of $20.1 million and earnings per diluted share ("EPS") of $0.30 for the three months ended December 31, 2023, compared to net income of $33.6 million and diluted EPS of $0.51 for the fourth quarter of 2022. For the fourth quarter of 2023, annualized return on average assets was 0.73%, annualized return on average common equity was 6.97% and annualized return on average tangible common equity was 9.23%.
For the year ended December 31, 2023, the Company reported net income of $84.7 million, a 21% decrease compared to $107.4 million for 2022, resulting in return on average assets of 0.78%, return on average common equity of 7.48%, and return on average tangible common equity of 9.94% for 2023. For 2023, the Company reported diluted EPS of $1.29 compared to diluted EPS of $1.63 for 2022.
The current year results include a $30.9 million decrease in net interest income, a decrease in noninterest income of $3.0 million, and an increase in provision for credit losses of $4.5 million offset in part by a decrease in non-interest expenses of $5.2 million. Fourth quarter 2023 results were negatively impacted by a $16.3 million, or 20%, decrease in net interest income and a $4.7 million increase in the provision for credit losses partially offset by a $2.4 million decrease in non-interest expenses compared to the fourth quarter of 2022.
Thomas Shara, Lakeland Bancorp's President and CEO commented on the yearly financial results: "Despite a challenging economic environment in 2023, we are very pleased with our continued loan growth of 6% and our continued stellar asset quality as loan charge-offs for the year were negligible. Our deposit base was resilient throughout the banking crisis which speaks to our core deposit customer focus. I want to thank all of the Lakeland associates for their incredible contributions and unwavering customer support during this uncertain period."
Regarding the announced merger with Provident Financial Services, Inc. ("Provident Financial"), Mr. Shara continued, "We are actively engaged in discussions with our regulators concerning the merger. Both Provident Financial and Lakeland have agreed to extend the merger deadline to March 31, 2024, to allow additional time to obtain the necessary regulatory approvals. We look forward to closing the transaction as soon as possible following the receipt of the approvals."
Full Year 2023 Highlights
- Loans grew $477.8 million or 6% during the year with commercial real estate loans increasing $263.0 million, or 5%, and residential mortgages increasing $220.2 million, or 29%.
- Net interest margin for 2023 decreased 47 basis points to 2.77% compared to 2022 due primarily to the increase in the market rate environment and the resulting movement of customers from lower rate interest-bearing transaction accounts to higher rate time deposits.
- The provision for credit losses of $13.1 million for the year ended December 31, 2023 increased $4.5 million from $8.5 million for 2022. The Company recorded a charge-off of $6.6 million for subordinated debt securities issued by Signature Bank which failed in first quarter of 2023.
Net Interest Margin and Net Interest Income
Net interest margin for the three months and year ended December 31, 2023 declined from previous periods as a result of an increase in the cost of interest-bearing liabilities partially offset by an increase in the yields of interest-earning assets driven by the increase in market interest rates. The increasing rate environment also has resulted in a change to customers' banking behaviors causing them to move funds from lower yielding interest-bearing transaction accounts to higher yielding time deposits.
Net interest income for the fourth quarter of 2023 of $65.3 million decreased $16.3 million compared to the fourth quarter of 2022. Net interest income of $281.7 million for the year ended December 31, 2023 decreased from $312.6 million for 2022, a decline of $30.9 million, or 10%.
Net interest margin for the fourth quarter of 2023 of 2.52% decreased 76 basis points compared to the fourth quarter of 2022 and declined 16 basis points compared to the third quarter of 2023. Net interest margin for the full year of 2023 of 2.77% decreased 47 basis points compared to 3.24% for 2022.
The yield on interest-earning assets for the fourth quarter of 2023 was 4.93% compared to 4.31% for the fourth quarter of 2022 and 4.86% for the third quarter of 2023. The yield on interest-earning assets for 2023 was 4.77% compared to 3.77% for 2022 resulting primarily from an increase in the yields on interest-earning assets.
The cost of interest-bearing liabilities increased in the fourth quarter of 2023 to 3.25% compared to 1.50% for the fourth quarter of 2022 and 2.96% for the third quarter of 2023. The cost of interest-bearing liabilities for the year ended December 31, 2023 was 2.74% compared to 0.80% during the same period in 2022.
Noninterest Income
Noninterest income decreased $237,000 to $6.8 million for the fourth quarter of 2023 from $7.0 million for the fourth quarter of 2022. Commissions and fees in the fourth quarter of 2023 decreased $537,000 compared to the same period in 2022 due primarily to decreases in investment commission income. Gain on sales of loans in the fourth quarter of 2023 increased $236,000. Gain on equity securities increased from $11,000 in fourth quarter 2022 to $391,000 in fourth quarter 2023.
For the year ended December 31, 2023, noninterest income decreased $3.0 million to $25.1 million compared to 2022. Gains on sales of loans decreased from $2.8 million in 2022 to $1.5 million in 2023 resulting from lower sale volume of residential mortgages. Service charges on deposit accounts decreased $646,000 compared to 2022 due primarily to decreases in interchange income as a result of the provisions of the Durbin amendment which became effective for Lakeland in the third quarter of 2023. Commissions and fees in 2023 decreased $1.9 million compared to 2022 due to decreases in investment commission income and commercial loan fees. Income on bank owned life insurance decreased $530,000 due primarily to death benefits received during 2022. Offsetting these decreases in noninterest income was an increase in gain (loss) on equity securities which increased to a gain of $110,000 in 2023 from a loss of $1.3 million in 2022.
Noninterest Expense
Noninterest expense totaled $43.0 million for the fourth quarter of 2023, a decrease of $2.4 million compared to the fourth quarter of 2022. Compensation and employee benefit expense in the fourth quarter of 2023 decreased $1.8 million, or 7%, compared to the fourth quarter of 2022 as a result of a decline in headcount related to the anticipated merger with Provident Financial. Data processing expense increased $486,000 due primarily to credits received from service providers in the fourth quarter of 2022. FDIC insurance costs increased $660,000 in the fourth quarter of 2023 from $690,000 in the fourth quarter of 2022 relating to Lakeland's asset size exceeding $10 billion. In the fourth quarter of 2023, merger-related costs included $129,000 for the proposed merger with Provident Financial, compared to $533,000 in the fourth quarter of 2022.
For the year ended December 31, 2023, noninterest expense decreased $5.2 million to $183.0 million compared to $188.2 million for 2022 due primarily to merger-related expenses of $864,000 for 2023 compared to $8.6 million in 2022. Merger-related expenses in 2022 included $4.6 million related to the Company's acquisition of 1st Constitution Bancorp, as well as $4.0 million related to the anticipated transaction with Provident Financial. Data processing expense increased from $6.2 million to $7.6 million for the same reason noted in the quarterly comparison.
Income Tax Expense
The effective tax rate for the fourth quarter of 2023 was 26.1% compared to 27.1% for the fourth quarter of 2022. The effective tax rate for 2023 and 2022 was 23.5% and 25.4%, respectively. The effective tax rate declined from 2022 to 2023 as a result in a decline in pretax income and the resulting increase of tax advantaged items as a percent of pretax income.
Financial Condition
At December 31, 2023, total assets were $11.14 billion, an increase of $354.7 million, or 3%, compared to December 31, 2022. For the year ended December 31, 2023, total loans increased $477.8 million to $8.34 billion, while investment securities decreased $184.5 million to $1.85 billion. On the funding side, total deposits increased $13.8 million, while borrowings increased $285.8 million to $1.23 billion for the year ended December 31, 2023. At December 31, 2023, total loans as a percent of total deposits was 97.2%.
Asset Quality
At December 31, 2023, non-performing assets increased to $26.0 million, 0.23% of total assets, compared to $17.4 million, 0.16% of total assets, at December 31, 2022. Non-performing assets increased $12.5 million from the linked quarter as a result of one construction loan totaling $12.7 million being placed in non-accrual late in fourth quarter. Non-accrual loans as a percent of total loans increased to 0.31% at December 31, 2023 compared to 0.22% at December 31, 2022. At December 31, 2023, the allowance for credit losses was $77.2 million, 0.92% of total loans compared to $70.3 million, 0.89% of total loans, at December 31, 2022. In the fourth quarter of 2023, the Company had net charge-offs of $242,000, or 0.01% of average loans, annualized, compared to net charge-offs of $79,000, or 0.00% of average loans, annualized, for the same period in 2022. Provision for credit losses on loans for the fourth quarter of 2023 was a provision of $2.2 million compared to a provision of $1.5 million in the fourth quarter of 2022. There was no provision for credit losses on investments for the fourth quarter of 2023 compared to a benefit of $3.9 million for the same period in 2022.
Capital
At December 31, 2023, stockholders' equity increased 5% to $1.2 billion as compared to $1.1 billion at December 31, 2022. Lakeland Bancorp remains above regulatory "well capitalized" standards, with a Tier 1 leverage ratio of 9.27% at December 31, 2023. Book value per common share and tangible book value per common share were $17.98 and $13.69, respectively, compared to $17.09 and $12.76 at December 31, 2022 (see "Supplemental Information - Non-GAAP Financial Measures" for a reconciliation of non-GAAP financial measures, including tangible book value). On January 23, 2024, the Company declared a quarterly cash dividend of $0.145 per share to be paid on February 15, 2024, to shareholders of record as of February 5, 2024.
Forward-Looking Statements
The information disclosed in this document includes various forward-looking statements that are made in reliance upon the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The words "anticipates," "projects," "intends," "estimates," "expects," "believes," "plans," "may," "will," "should," "could," and other similar expressions are intended to identify such forward-looking statements. The Company cautions that these forward-looking statements are necessarily speculative and speak only as of the date made, and are subject to numerous assumptions, risks and uncertainties, all of which may change over time. Actual results could differ materially from such forward-looking statements. Accordingly, you should not place undue reliance on forward-looking statements. In addition to the specific risk factors disclosed in the Company's Annual Report on Form 10-K for the year ended December 31, 2022, as updated by our subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K, the following factors, among others, could cause actual results to differ materially and adversely from such forward-looking statements: changes in the financial services industry and the U.S. and global capital markets; inflation and other changes in economic conditions nationally, regionally and in the Company's markets; the nature and timing of actions of the Federal Reserve Board and other regulators; the nature and timing of legislation and regulation affecting the financial services industry; government intervention in the U.S. financial system; changes in federal and state tax laws; changes in levels of market interest rates, which may affect demand for our products and the value of our financial instruments; pricing pressures on loan and deposit products; credit risks of the Company's lending and leasing activities; successful implementation, deployment and upgrades of new and existing technology, systems, services and products; customers' acceptance of the Company's products and services; competition; failure to realize anticipated efficiencies and synergies from the merger of 1st Constitution Bancorp into Lakeland Bancorp and the merger of 1st Constitution Bank into Lakeland Bank; and expenses related to our proposed merger with Provident Financial, unexpected delays related to the merger, inability to obtain regulatory approvals or satisfy other closing conditions required to complete the merger, and failure to realize anticipated efficiencies and synergies from the merger. Further, given its ongoing and dynamic nature, it is difficult to predict the continuing effects that the COVID-19 pandemic will have on our business and results of operations. Any statements made by the Company that are not historical facts should be considered to be forward-looking statements. The Company is not obligated to update and does not undertake to update any of its forward-looking statements made herein.
Explanation of Non-GAAP Financial Measures
Reported amounts are presented in accordance with U.S. generally accepted accounting principles ("GAAP"). This press release also contains certain supplemental non-GAAP information that the Company's management uses in its analysis of the Company's financial results.
The Company also provides measurements and ratios based on tangible equity and tangible assets. These measures are utilized by regulators and market analysts to evaluate a company's financial condition and, therefore, the Company's management believes that such information is useful to investors.
Specifically, the Company also uses an efficiency ratio that is a non-GAAP financial measure. The ratio that the Company uses excludes amortization of core deposit intangibles, and, where applicable, long-term debt prepayment fees and merger-related expenses. Income for the non-GAAP ratio is increased by the favorable effect of tax-exempt income and excludes gains and losses from the sale of investment securities, which can vary from period to period. The Company uses this ratio because it believes the ratio provides a relevant measure to compare the operating performance period to period.
These disclosures should not be viewed as a substitute for financial results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures which may be presented by other companies. See accompanying "Supplemental Information - Non-GAAP Financial Measures" and "Supplemental Information – Reconciliation of Net Income" for a reconciliation of non-GAAP financial measures.
About Lakeland
Lakeland Bank is the wholly-owned subsidiary of Lakeland Bancorp, Inc. (NASDAQ:LBAI), which had $11.14 billion in total assets at December 31, 2023. With an extensive branch network and commercial lending centers throughout New Jersey and Highland Mills, N.Y., the Bank offers business and retail banking products and services. Business services include commercial loans and lines of credit, commercial real estate loans, loans for healthcare services, asset-based lending, equipment financing, small business loans and lines and cash management services. Consumer services include online and mobile banking, home equity loans and lines, mortgage options and wealth management solutions. Lakeland is proud to be recognized as one of New Jersey's Best-In State Banks by Forbes and Statista, rated a 5-Star Bank by Bauer Financial and named one of New Jersey's 50 Fastest Growing Companies by NJBIZ. Visit LakelandBank.com or 973-697-6140 for more information.
Thomas J. Shara | Thomas F. Splaine |
President & CEO | EVP & CFO |
Lakeland Bancorp, Inc. Financial Highlights (Unaudited) | |||||||||||||||
Three Months Ended December 31, | Years Ended December 31, | ||||||||||||||
(dollars in thousands, except per share amounts) | 2023 | 2022 | 2023 | 2022 | |||||||||||
Income Statement | |||||||||||||||
Net interest income | $ | 65,308 | $ | 81,640 | $ | 281,681 | $ | 312,615 | |||||||
(Provision) benefit for credit losses | (1,950 | ) | 2,760 | (13,052 | ) | (8,514 | ) | ||||||||
Gain on sales of loans | 505 | 269 | 1,513 | 2,765 | |||||||||||
Gain (loss) on equity securities | 391 | 11 | 110 | (1,302 | ) | ||||||||||
Other noninterest income | 5,890 | 6,743 | 23,515 | 26,636 | |||||||||||
Merger-related expenses | (129 | ) | (533 | ) | (864 | ) | (8,606 | ) | |||||||
Other noninterest expense | (42,864 | ) | (44,837 | ) | (182,110 | ) | (179,602 | ) | |||||||
Pretax income | 27,151 | 46,053 | 110,793 | 143,992 | |||||||||||
Provision for income taxes | (7,083 | ) | (12,476 | ) | (26,053 | ) | (36,623 | ) | |||||||
Net income | $ | 20,068 | $ | 33,577 | $ | 84,740 | $ | 107,369 | |||||||
Basic earnings per common share | $ | 0.31 | $ | 0.51 | $ | 1.29 | $ | 1.64 | |||||||
Diluted earnings per common share | $ | 0.30 | $ | 0.51 | $ | 1.29 | $ | 1.63 | |||||||
Dividends paid per common share | $ | 0.145 | $ | 0.145 | $ | 0.580 | $ | 0.570 | |||||||
Weighted average shares - basic | 65,064 | 64,854 | 65,039 | 64,624 | |||||||||||
Weighted average shares - diluted | 65,258 | 65,222 | 65,217 | 64,918 | |||||||||||
Selected Operating Ratios | |||||||||||||||
Annualized return on average assets | 0.73 | % | 1.26 | % | 0.78 | % | 1.04 | % | |||||||
Annualized return on average common equity | 6.97 | % | 12.19 | % | 7.48 | % | 9.80 | % | |||||||
Annualized return on average tangible common equity (1) | 9.23 | % | 16.42 | % | 9.94 | % | 13.17 | % | |||||||
Annualized yield on interest-earning assets | 4.93 | % | 4.31 | % | 4.77 | % | 3.77 | % | |||||||
Annualized cost of interest-bearing liabilities | 3.25 | % | 1.50 | % | 2.74 | % | 0.80 | % | |||||||
Annualized net interest spread | 1.68 | % | 2.81 | % | 2.03 | % | 2.97 | % | |||||||
Annualized net interest margin | 2.52 | % | 3.28 | % | 2.77 | % | 3.24 | % | |||||||
Efficiency ratio (1) | 58.45 | % | 49.67 | % | 58.38 | % | 51.79 | % | |||||||
Stockholders' equity to total assets | 10.50 | % | 10.28 | % | |||||||||||
Book value per common share | $ | 17.98 | $ | 17.09 | |||||||||||
Tangible book value per common share (1) | $ | 13.69 | $ | 12.76 | |||||||||||
Tangible common equity to tangible assets (1) | 8.20 | % | 7.88 | % | |||||||||||
Asset Quality Ratios | December 31, 2023 | December 31, 2022 | |||||||||||||
Ratio of allowance for credit losses on loans to total loans | 0.92 | % | 0.89 | % | |||||||||||
Non-performing loans to total loans | 0.31 | % | 0.22 | % | |||||||||||
Non-performing assets to total assets | 0.23 | % | 0.16 | % | |||||||||||
Net charge-offs to average loans | — | % | 0.10 | % | |||||||||||
(1) See Supplemental Information - Non-GAAP Financial Measures | |||||||||||||||
Selected Balance Sheet Data at Period End | 2023 | 2022 | |||||||||||||
Loans | $ | 8,343,861 | $ | 7,866,050 | |||||||||||
Allowance for credit losses on loans | 77,163 | 70,264 | |||||||||||||
Investment securities | 1,852,873 | 2,037,386 | |||||||||||||
Total assets | 11,138,567 | 10,783,840 | |||||||||||||
Total deposits | 8,581,238 | 8,567,471 | |||||||||||||
Short-term borrowings | 714,152 | 728,797 | |||||||||||||
Other borrowings | 519,705 | 219,264 | |||||||||||||
Stockholders' equity | 1,169,369 | 1,108,587 |
Lakeland Bancorp, Inc. Financial Highlights (Unaudited) | |||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||
2023 | 2022 | 2023 | 2022 | ||||||||
Selected Average Balance Sheet Data | |||||||||||
Loans | $ | 8,304,747 | $ | 7,729,510 | $ | 8,094,267 | $ | 7,376,839 | |||
Investment securities | 1,955,407 | 2,145,252 | 2,037,915 | 2,128,870 | |||||||
Interest-earning assets | 10,354,079 | 9,923,173 | 10,234,821 | 9,694,234 | |||||||
Total assets | 10,963,641 | 10,534,884 | 10,837,396 | 10,307,245 | |||||||
Noninterest-bearing demand deposits | 1,829,996 | 2,240,197 | 1,918,633 | 2,267,867 | |||||||
Savings deposits | 699,199 | 1,001,870 | 803,762 | 1,094,399 | |||||||
Interest-bearing transaction accounts | 4,229,019 | 4,389,672 | 4,140,942 | 4,373,830 | |||||||
Time deposits | 1,926,436 | 1,100,911 | 1,724,672 | 922,935 | |||||||
Total deposits | 8,684,650 | 8,732,650 | 8,588,009 | 8,659,031 | |||||||
Short-term borrowings | 423,629 | 311,875 | 649,551 | 197,557 | |||||||
Other borrowings | 519,635 | 219,202 | 298,379 | 218,811 | |||||||
Total interest-bearing liabilities | 7,797,918 | 7,023,530 | 7,617,306 | 6,807,532 | |||||||
Stockholders' equity | 1,142,031 | 1,092,720 | 1,132,656 | 1,095,861 |
Lakeland Bancorp, Inc. Consolidated Statements of Income (Unaudited) | |||||||||||||||
Three Months Ended December 31, | Year Ended December 31, | ||||||||||||||
(in thousands, except per share amounts) | 2023 | 2022 | 2023 | 2022 | |||||||||||
Interest Income | |||||||||||||||
Loans and fees | $ | 114,678 | $ | 95,295 | $ | 432,038 | $ | 325,001 | |||||||
Federal funds sold and interest-bearing deposits with banks | 1,293 | 449 | 5,309 | 1,295 | |||||||||||
Taxable investment securities and other | 11,905 | 10,769 | 47,476 | 35,352 | |||||||||||
Tax exempt investment securities | 1,450 | 1,666 | 6,215 | 5,895 | |||||||||||
Total Interest Income | 129,326 | 108,179 | 491,038 | 367,543 | |||||||||||
Interest Expense | |||||||||||||||
Deposits | 52,175 | 21,767 | 163,095 | 44,253 | |||||||||||
Federal funds purchased and securities sold under agreements to repurchase | 5,791 | 2,771 | 33,564 | 3,658 | |||||||||||
Other borrowings | 6,052 | 2,001 | 12,698 | 7,017 | |||||||||||
Total Interest Expense | 64,018 | 26,539 | 209,357 | 54,928 | |||||||||||
Net Interest Income | 65,308 | 81,640 | 281,681 | 312,615 | |||||||||||
Provision (benefit) for credit losses | 1,950 | (2,760 | ) | 13,052 | 8,514 | ||||||||||
Net Interest Income after Provision (Benefit) for Credit Losses | 63,358 | 84,400 | 268,629 | 304,101 | |||||||||||
Noninterest Income | |||||||||||||||
Service charges on deposit accounts | 2,710 | 2,840 | 10,339 | 10,985 | |||||||||||
Commissions and fees | 1,706 | 2,243 | 7,225 | 9,116 | |||||||||||
Income on bank owned life insurance | 837 | 862 | 3,450 | 3,980 | |||||||||||
Gain (loss) on equity securities | 391 | 11 | 110 | (1,302 | ) | ||||||||||
Gain on sales of loans | 505 | 269 | 1,513 | 2,765 | |||||||||||
Swap income | 482 | 466 | 1,596 | 1,576 | |||||||||||
Other income | 155 | 332 | 905 | 979 | |||||||||||
Total Noninterest Income | 6,786 | 7,023 | 25,138 | 28,099 | |||||||||||
Noninterest Expense | |||||||||||||||
Compensation and employee benefits | 25,137 | 26,914 | 108,874 | 108,167 | |||||||||||
Premises and equipment | 7,447 | 7,657 | 31,304 | 30,882 | |||||||||||
FDIC insurance | 1,350 | 690 | 5,294 | 2,724 | |||||||||||
Data processing | 1,744 | 1,258 | 7,563 | 6,238 | |||||||||||
Merger-related expenses | 129 | 533 | 864 | 8,606 | |||||||||||
Other operating expenses | 7,186 | 8,318 | 29,075 | 31,591 | |||||||||||
Total Noninterest Expense | 42,993 | 45,370 | 182,974 | 188,208 | |||||||||||
Income before provision for income taxes | 27,151 | 46,053 | 110,793 | 143,992 | |||||||||||
Provision for income taxes | 7,083 | 12,476 | 26,053 | 36,623 | |||||||||||
Net Income | $ | 20,068 | $ | 33,577 | $ | 84,740 | $ | 107,369 | |||||||
Per Share of Common Stock | |||||||||||||||
Basic earnings | $ | 0.31 | $ | 0.51 | $ | 1.29 | $ | 1.64 | |||||||
Diluted earnings | $ | 0.30 | $ | 0.51 | $ | 1.29 | $ | 1.63 | |||||||
Dividends | $ | 0.145 | $ | 0.145 | $ | 0.580 | $ | 0.570 |
Lakeland Bancorp, Inc. Consolidated Balance Sheets | ||||||||
(dollars in thousands) | December 31, 2023 | December 31, 2022 | ||||||
(Unaudited) | ||||||||
Assets | ||||||||
Cash | $ | 293,366 | $ | 223,299 | ||||
Interest-bearing deposits due from banks | 27,289 | 12,651 | ||||||
Total cash and cash equivalents | 320,655 | 235,950 | ||||||
Investment securities available for sale, at estimated fair value (allowance for credit losses of $0 at December 31, 2023 and $310 at December 31, 2022) | 946,282 | 1,054,312 | ||||||
Investment securities held to maturity (estimated fair value of $702,563 at December 31, 2023 and $760,455 at December 31, 2022, allowance for credit losses of $146 at December 31, 2023 and $107 at December 31, 2022) | 836,377 | 923,308 | ||||||
Equity securities, at fair value | 17,697 | 17,283 | ||||||
Federal Home Loan Bank and other membership stocks, at cost | 52,517 | 42,483 | ||||||
Loans held for sale | 664 | 536 | ||||||
Loans, net of deferred fees | 8,343,861 | 7,866,050 | ||||||
Less: Allowance for credit losses | 77,163 | 70,264 | ||||||
Net loans | 8,266,698 | 7,795,786 | ||||||
Premises and equipment, net | 52,846 | 55,429 | ||||||
Operating lease right-of-use assets | 16,008 | 20,052 | ||||||
Accrued interest receivable | 37,508 | 33,374 | ||||||
Goodwill | 271,829 | 271,829 | ||||||
Other identifiable intangible assets | 7,058 | 9,088 | ||||||
Bank owned life insurance | 159,862 | 156,985 | ||||||
Other assets | 152,566 | 167,425 | ||||||
Total Assets | $ | 11,138,567 | $ | 10,783,840 | ||||
Liabilities and Stockholders' Equity | ||||||||
Liabilities | ||||||||
Deposits: | ||||||||
Noninterest-bearing | $ | 1,781,619 | $ | 2,113,289 | ||||
Savings and interest-bearing transaction accounts | 4,832,171 | 5,246,005 | ||||||
Time deposits $250 thousand and under | 1,458,640 | 901,505 | ||||||
Time deposits over $250 thousand | 508,808 | 306,672 | ||||||
Total deposits | 8,581,238 | 8,567,471 | ||||||
Federal funds purchased and securities sold under agreements to repurchase | 714,152 | 728,797 | ||||||
Other borrowings | 325,000 | 25,000 | ||||||
Subordinated debentures | 194,705 | 194,264 | ||||||
Operating lease liabilities | 16,891 | 21,449 | ||||||
Other liabilities | 137,212 | 138,272 | ||||||
Total Liabilities | 9,969,198 | 9,675,253 | ||||||
Stockholders' Equity | ||||||||
Common stock, no par value; authorized 100,000,000 shares; issued 65,161,310 shares and outstanding 65,030,275 shares at December 31, 2023 and issued 65,002,738 shares and outstanding 64,871,703 shares at December 31, 2022 | 858,857 | 855,425 | ||||||
Retained earnings | 376,044 | 329,375 | ||||||
Treasury shares, at cost, 131,035 shares at December 31, 2023 and December 31, 2022 | (1,452 | ) | (1,452 | ) | ||||
Accumulated other comprehensive (loss) income | (64,080 | ) | (74,761 | ) | ||||
Total Stockholders' Equity | 1,169,369 | 1,108,587 | ||||||
Total Liabilities and Stockholders' Equity | $ | 11,138,567 | $ | 10,783,840 |
Lakeland Bancorp, Inc. Financial Highlights (Unaudited) | ||||||||||||||||||||
For the Quarter Ended | ||||||||||||||||||||
(dollars in thousands, except per share data) | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | December 31, 2022 | |||||||||||||||
Income Statement | ||||||||||||||||||||
Net interest income | $ | 65,308 | $ | 68,906 | $ | 71,542 | $ | 75,925 | $ | 81,640 | ||||||||||
(Provision) benefit for credit losses | (1,950 | ) | (1,262 | ) | (1,947 | ) | (7,893 | ) | 2,760 | |||||||||||
Gain on sales of loans | 505 | 349 | 229 | 430 | 269 | |||||||||||||||
Gain (loss) on equity securities | 391 | (294 | ) | (135 | ) | 148 | 11 | |||||||||||||
Other noninterest income | 5,890 | 5,363 | 6,575 | 5,687 | 6,743 | |||||||||||||||
Merger-related expenses | (129 | ) | (198 | ) | (242 | ) | (295 | ) | (533 | ) | ||||||||||
Other noninterest expense | (42,864 | ) | (44,170 | ) | (46,766 | ) | (48,310 | ) | (44,837 | ) | ||||||||||
Pretax income | 27,151 | 28,694 | 29,256 | 25,692 | 46,053 | |||||||||||||||
Provision for income taxes | (7,083 | ) | (6,455 | ) | (6,628 | ) | (5,887 | ) | (12,476 | ) | ||||||||||
Net income | $ | 20,068 | $ | 22,239 | $ | 22,628 | $ | 19,805 | $ | 33,577 | ||||||||||
Basic earnings per common share | $ | 0.31 | $ | 0.34 | $ | 0.34 | $ | 0.30 | $ | 0.51 | ||||||||||
Diluted earnings per common share | $ | 0.30 | $ | 0.34 | $ | 0.34 | $ | 0.30 | $ | 0.51 | ||||||||||
Dividends paid per common share | $ | 0.145 | $ | 0.145 | $ | 0.145 | $ | 0.145 | $ | 0.145 | ||||||||||
Dividends paid | $ | 9,521 | $ | 9,521 | $ | 9,529 | $ | 9,500 | $ | 9,505 | ||||||||||
Weighted average shares - basic | 65,064 | 65,064 | 65,059 | 64,966 | 64,854 | |||||||||||||||
Weighted average shares - diluted | 65,258 | 65,222 | 65,173 | 65,228 | 65,222 | |||||||||||||||
Selected Operating Ratios | ||||||||||||||||||||
Annualized return on average assets | 0.73 | % | 0.81 | % | 0.84 | % | 0.75 | % | 1.26 | % | ||||||||||
Annualized return on average common equity | 6.97 | % | 7.76 | % | 8.03 | % | 7.17 | % | 12.19 | % | ||||||||||
Annualized return on average tangible common equity (1) | 9.23 | % | 10.29 | % | 10.67 | % | 9.57 | % | 16.42 | % | ||||||||||
Annualized net interest margin | 2.52 | % | 2.68 | % | 2.83 | % | 3.07 | % | 3.28 | % | ||||||||||
Efficiency ratio (1) | 58.45 | % | 58.43 | % | 58.82 | % | 57.84 | % | 49.67 | % | ||||||||||
Common stockholders' equity to total assets | 10.50 | % | 10.16 | % | 10.38 | % | 10.40 | % | 10.28 | % | ||||||||||
Tangible common equity to tangible assets (1) | 8.20 | % | 7.86 | % | 8.02 | % | 8.02 | % | 7.88 | % | ||||||||||
Tier 1 risk-based ratio | 11.51 | % | 11.31 | % | 11.43 | % | 11.33 | % | 11.24 | % | ||||||||||
Total risk-based ratio | 14.11 | % | 13.87 | % | 14.03 | % | 13.93 | % | 13.83 | % | ||||||||||
Tier 1 leverage ratio | 9.27 | % | 9.24 | % | 9.17 | % | 9.13 | % | 9.16 | % | ||||||||||
Common equity tier 1 capital ratio | 11.00 | % | 10.80 | % | 10.90 | % | 10.81 | % | 10.71 | % | ||||||||||
Book value per common share | $ | 17.98 | $ | 17.46 | $ | 17.40 | $ | 17.33 | $ | 17.09 | ||||||||||
Tangible book value per common share (1) | $ | 13.69 | $ | 13.17 | $ | 13.10 | $ | 13.01 | $ | 12.76 |
(1) See Supplemental Information - Non-GAAP Financial Measures
Lakeland Bancorp, Inc. Financial Highlights (Unaudited) | ||||||||||||||||||||
For the Quarter Ended | ||||||||||||||||||||
(dollars in thousands) | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | December 31, 2022 | |||||||||||||||
Selected Balance Sheet Data at Period End | ||||||||||||||||||||
Loans | $ | 8,343,861 | $ | 8,294,057 | $ | 8,101,287 | $ | 7,952,553 | $ | 7,866,050 | ||||||||||
Allowance for credit losses on loans | 77,163 | 75,159 | 73,965 | 71,403 | 70,264 | |||||||||||||||
Investment securities | 1,852,873 | 1,860,996 | 1,938,611 | 1,994,927 | 2,037,386 | |||||||||||||||
Total assets | 11,138,567 | 11,176,809 | 10,897,966 | 10,837,241 | 10,783,840 | |||||||||||||||
Total deposits | 8,581,238 | 8,602,503 | 8,444,681 | 8,536,943 | 8,567,471 | |||||||||||||||
Short-term borrowings | 714,152 | 728,769 | 938,718 | 813,328 | 728,797 | |||||||||||||||
Other borrowings | 519,705 | 519,596 | 219,486 | 219,376 | 219,264 | |||||||||||||||
Stockholders' equity | 1,169,369 | 1,135,627 | 1,131,702 | 1,126,580 | 1,108,587 | |||||||||||||||
Loans | ||||||||||||||||||||
Non owner occupied commercial | $ | 2,987,959 | $ | 2,980,811 | $ | 2,991,124 | $ | 2,943,897 | $ | 2,906,014 | ||||||||||
Owner occupied commercial | 1,283,221 | 1,299,977 | 1,201,049 | 1,205,635 | 1,246,189 | |||||||||||||||
Multifamily | 1,408,905 | 1,361,628 | 1,314,255 | 1,275,771 | 1,260,814 | |||||||||||||||
Non owner occupied residential | 213,986 | 208,560 | 205,818 | 210,203 | 218,026 | |||||||||||||||
Commercial, industrial and other | 638,507 | 632,531 | 594,401 | 562,287 | 606,276 | |||||||||||||||
Paycheck Protection Program | 387 | 388 | 389 | 390 | 435 | |||||||||||||||
Construction | 302,745 | 333,998 | 354,918 | 404,994 | 380,100 | |||||||||||||||
Equipment finance | 179,171 | 174,946 | 173,469 | 161,889 | 151,575 | |||||||||||||||
Residential mortgages | 985,768 | 956,535 | 922,109 | 857,427 | 765,552 | |||||||||||||||
Consumer and home equity | 343,212 | 344,683 | 343,755 | 330,060 | 331,069 | |||||||||||||||
Total loans | $ | 8,343,861 | $ | 8,294,057 | $ | 8,101,287 | $ | 7,952,553 | $ | 7,866,050 | ||||||||||
Deposits | ||||||||||||||||||||
Noninterest-bearing | $ | 1,781,619 | $ | 1,857,324 | $ | 1,866,252 | $ | 1,998,590 | $ | 2,113,289 | ||||||||||
Savings and interest-bearing transaction accounts | 4,832,171 | 4,862,246 | 4,775,184 | 4,918,041 | 5,246,005 | |||||||||||||||
Time deposits | 1,967,448 | 1,882,933 | 1,803,245 | 1,620,312 | 1,208,177 | |||||||||||||||
Total deposits | $ | 8,581,238 | $ | 8,602,503 | $ | 8,444,681 | $ | 8,536,943 | $ | 8,567,471 | ||||||||||
Total loans to total deposits ratio | 97.2 | % | 96.4 | % | 95.9 | % | 93.2 | % | 91.8 | % | ||||||||||
Selected Average Balance Sheet Data | ||||||||||||||||||||
Loans | $ | 8,304,747 | $ | 8,167,362 | $ | 7,999,285 | $ | 7,900,426 | $ | 7,729,510 | ||||||||||
Investment securities | 1,955,407 | 2,013,153 | 2,068,073 | 2,117,076 | 2,145,252 | |||||||||||||||
Interest-earning assets | 10,354,079 | 10,276,375 | 10,214,142 | 10,091,341 | 9,923,173 | |||||||||||||||
Total assets | 10,963,641 | 10,875,553 | 10,808,261 | 10,698,807 | 10,534,884 | |||||||||||||||
Noninterest-bearing demand deposits | 1,829,996 | 1,871,516 | 1,935,776 | 2,040,070 | 2,240,197 | |||||||||||||||
Savings deposits | 699,199 | 759,232 | 830,836 | 928,796 | 1,001,870 | |||||||||||||||
Interest-bearing transaction accounts | 4,229,019 | 4,103,217 | 4,007,867 | 4,224,024 | 4,389,672 | |||||||||||||||
Time deposits | 1,926,436 | 1,856,266 | 1,722,935 | 1,385,661 | 1,100,911 | |||||||||||||||
Total deposits | 8,684,650 | 8,590,231 | 8,497,414 | 8,578,551 | 8,732,650 | |||||||||||||||
Short-term borrowings | 423,629 | 744,582 | 813,471 | 617,611 | 311,875 | |||||||||||||||
Other borrowings | 519,635 | 232,573 | 219,425 | 219,308 | 219,202 | |||||||||||||||
Total interest-bearing liabilities | 7,797,918 | 7,695,870 | 7,594,534 | 7,375,400 | 7,023,530 | |||||||||||||||
Stockholders' equity | 1,142,031 | 1,137,387 | 1,130,563 | 1,120,356 | 1,092,720 |
Lakeland Bancorp, Inc. Financial Highlights (Unaudited) | ||||||||||||||||||||
For the Quarter Ended | ||||||||||||||||||||
(dollars in thousands) | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | December 31, 2022 | |||||||||||||||
Average Annualized Yields (Taxable Equivalent Basis) and Costs | ||||||||||||||||||||
Assets | ||||||||||||||||||||
Loans | 5.48 | % | 5.42 | % | 5.22 | % | 5.10 | % | 4.84 | % | ||||||||||
Taxable investment securities and other | 2.87 | % | 2.84 | % | 2.74 | % | 2.61 | % | 2.41 | % | ||||||||||
Tax-exempt securities | 2.49 | % | 2.49 | % | 2.45 | % | 2.41 | % | 2.36 | % | ||||||||||
Federal funds sold and interest-bearing cash accounts | 5.46 | % | 5.41 | % | 5.41 | % | 4.00 | % | 3.68 | % | ||||||||||
Total interest-earning assets | 4.93 | % | 4.86 | % | 4.71 | % | 4.56 | % | 4.31 | % | ||||||||||
Liabilities | ||||||||||||||||||||
Savings accounts | 0.20 | % | 0.24 | % | 0.26 | % | 0.28 | % | 0.29 | % | ||||||||||
Interest-bearing transaction accounts | 2.89 | % | 2.60 | % | 2.16 | % | 1.85 | % | 1.46 | % | ||||||||||
Time deposits | 4.34 | % | 3.78 | % | 3.39 | % | 2.71 | % | 1.77 | % | ||||||||||
Borrowings | 4.91 | % | 5.04 | % | 4.80 | % | 4.46 | % | 3.52 | % | ||||||||||
Total interest-bearing liabilities | 3.25 | % | 2.96 | % | 2.59 | % | 2.11 | % | 1.50 | % | ||||||||||
Net interest spread (taxable equivalent basis) | 1.68 | % | 1.90 | % | 2.12 | % | 2.45 | % | 2.81 | % | ||||||||||
Annualized net interest margin (taxable equivalent basis) | 2.52 | % | 2.68 | % | 2.83 | % | 3.07 | % | 3.28 | % | ||||||||||
Annualized cost of deposits | 2.38 | % | 2.08 | % | 1.73 | % | 1.38 | % | 0.99 | % | ||||||||||
Asset Quality Data | ||||||||||||||||||||
Allowance for Credit Losses on Loans | ||||||||||||||||||||
Balance at beginning of period | $ | 75,159 | $ | 73,965 | $ | 71,403 | $ | 70,264 | $ | 68,879 | ||||||||||
Provision for credit losses on loans | 2,246 | 1,327 | 2,422 | 1,213 | 1,464 | |||||||||||||||
Charge-offs | (265 | ) | (217 | ) | (148 | ) | (139 | ) | (138 | ) | ||||||||||
Recoveries | 23 | 84 | 288 | 65 | 59 | |||||||||||||||
Balance at end of period | $ | 77,163 | $ | 75,159 | $ | 73,965 | $ | 71,403 | $ | 70,264 | ||||||||||
Net Loan Charge-Offs (Recoveries) | ||||||||||||||||||||
Non owner occupied commercial | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||
Owner occupied commercial | — | — | (6 | ) | — | — | ||||||||||||||
Multifamily | — | — | — | — | — | |||||||||||||||
Non owner occupied residential | — | — | — | — | — | |||||||||||||||
Commercial, industrial and other | (7 | ) | — | (163 | ) | (35 | ) | (24 | ) | |||||||||||
Construction | — | — | 13 | — | — | |||||||||||||||
Equipment finance | 83 | 136 | 12 | 46 | 51 | |||||||||||||||
Residential mortgages | 128 | — | — | — | — | |||||||||||||||
Consumer and home equity | 38 | (3 | ) | 4 | 63 | 52 | ||||||||||||||
Net (recoveries) charge-offs | $ | 242 | $ | 133 | $ | (140 | ) | $ | 74 | $ | 79 |
Lakeland Bancorp, Inc. Financial Highlights (Unaudited) | ||||||||||||||||||||
For the Quarter Ended | ||||||||||||||||||||
(dollars in thousands) | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | December 31, 2022 | |||||||||||||||
Non-Performing Assets | ||||||||||||||||||||
Non owner occupied commercial | $ | 769 | $ | 798 | $ | 864 | $ | 908 | $ | 618 | ||||||||||
Owner occupied commercial | 6,849 | 7,026 | 8,076 | 8,757 | 9,439 | |||||||||||||||
Multifamily | 1,096 | 1,106 | 266 | 584 | — | |||||||||||||||
Non owner occupied residential | — | — | 41 | — | 441 | |||||||||||||||
Commercial, industrial and other | 401 | 217 | 1,737 | 2,221 | 2,978 | |||||||||||||||
Construction | 12,698 | — | — | 980 | 980 | |||||||||||||||
Equipment financing | 518 | 626 | 644 | 379 | 114 | |||||||||||||||
Residential mortgages | 2,400 | 2,319 | 1,954 | 1,918 | 2,011 | |||||||||||||||
Consumer and home equity | 1,232 | 1,331 | 2,486 | 1,131 | 781 | |||||||||||||||
Total non-accrual loans | 25,963 | 13,423 | 16,068 | 16,878 | 17,362 | |||||||||||||||
Total non-performing assets | $ | 25,963 | $ | 13,423 | $ | 16,068 | $ | 16,878 | $ | 17,362 | ||||||||||
Loans past due 90 days or more and still accruing | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||
Loans restructured and still accruing | — | — | — | — | 2,640 | |||||||||||||||
Ratio of allowance for credit losses on loans to total loans | 0.92 | % | 0.91 | % | 0.91 | % | 0.90 | % | 0.89 | % | ||||||||||
Total non-accrual loans to total loans | 0.31 | % | 0.16 | % | 0.20 | % | 0.21 | % | 0.22 | % | ||||||||||
Total non-performing assets to total assets | 0.23 | % | 0.12 | % | 0.15 | % | 0.16 | % | 0.16 | % | ||||||||||
Annualized net (recoveries) charge-offs to average loans | 0.01 | % | 0.01 | % | (0.01) | % | — | % | — | % |
Lakeland Bancorp, Inc. Supplemental Information - Non-GAAP Financial Measures (Unaudited) | ||||||||||||||||||||
At or for the Quarter Ended | ||||||||||||||||||||
(dollars in thousands, except per share amounts) | December 31, 2023 | September 30, 2023 | June 30, 2023 | March 31, 2023 | December 31, 2022 | |||||||||||||||
Calculation of Tangible Book Value Per Common Share | ||||||||||||||||||||
Total common stockholders' equity at end of period - GAAP | $ | 1,169,369 | $ | 1,135,627 | $ | 1,131,702 | $ | 1,126,580 | $ | 1,108,587 | ||||||||||
Less: Goodwill | 271,829 | 271,829 | 271,829 | 271,829 | 271,829 | |||||||||||||||
Less: Other identifiable intangible assets | 7,058 | 7,559 | 8,060 | 8,572 | 9,088 | |||||||||||||||
Total tangible common stockholders' equity at end of period - Non-GAAP | $ | 890,482 | $ | 856,239 | $ | 851,813 | $ | 846,179 | $ | 827,670 | ||||||||||
Shares outstanding at end of period | 65,030 | 65,030 | 65,028 | 65,017 | 64,872 | |||||||||||||||
Book value per share - GAAP | $ | 17.98 | $ | 17.46 | $ | 17.40 | $ | 17.33 | $ | 17.09 | ||||||||||
Tangible book value per share - Non-GAAP | $ | 13.69 | $ | 13.17 | $ | 13.10 | $ | 13.01 | $ | 12.76 | ||||||||||
Calculation of Tangible Common Equity to Tangible Assets | ||||||||||||||||||||
Total tangible common stockholders' equity at end of period - Non-GAAP | $ | 890,482 | $ | 856,239 | $ | 851,813 | $ | 846,179 | $ | 827,670 | ||||||||||
Total assets at end of period - GAAP | $ | 11,138,567 | $ | 11,176,809 | $ | 10,897,966 | $ | 10,837,241 | $ | 10,783,840 | ||||||||||
Less: Goodwill | 271,829 | 271,829 | 271,829 | 271,829 | 271,829 | |||||||||||||||
Less: Other identifiable intangible assets | 7,058 | 7,559 | 8,060 | 8,572 | 9,088 | |||||||||||||||
Total tangible assets at end of period - Non-GAAP | $ | 10,859,680 | $ | 10,897,421 | $ | 10,618,077 | $ | 10,556,840 | $ | 10,502,923 | ||||||||||
Common equity to assets - GAAP | 10.50 | % | 10.16 | % | 10.38 | % | 10.40 | % | 10.28 | % | ||||||||||
Tangible common equity to tangible assets - Non-GAAP | 8.20 | % | 7.86 | % | 8.02 | % | 8.02 | % | 7.88 | % | ||||||||||
Calculation of Return on Average Tangible Common Equity | ||||||||||||||||||||
Net income - GAAP | $ | 20,068 | $ | 22,239 | $ | 22,628 | $ | 19,805 | $ | 33,577 | ||||||||||
Total average common stockholders' equity - GAAP | $ | 1,142,031 | $ | 1,137,387 | $ | 1,130,563 | $ | 1,120,356 | $ | 1,092,720 | ||||||||||
Less: Average goodwill | 271,829 | 271,829 | 271,829 | 271,829 | 271,829 | |||||||||||||||
Less: Average other identifiable intangible assets | 7,383 | 7,887 | 8,353 | 8,904 | 9,386 | |||||||||||||||
Total average tangible common stockholders' equity - Non-GAAP | $ | 862,819 | $ | 857,671 | $ | 850,381 | $ | 839,623 | $ | 811,505 | ||||||||||
Return on average common stockholders' equity - GAAP | 6.97 | % | 7.76 | % | 8.03 | % | 7.17 | % | 12.19 | % | ||||||||||
Return on average tangible common stockholders' equity - Non-GAAP | 9.23 | % | 10.29 | % | 10.67 | % | 9.57 | % | 16.42 | % | ||||||||||
Calculation of Efficiency Ratio | ||||||||||||||||||||
Total noninterest expense | $ | 42,993 | $ | 44,368 | $ | 47,008 | $ | 48,605 | $ | 45,370 | ||||||||||
Less: | ||||||||||||||||||||
Amortization of core deposit intangibles | 500 | 501 | 512 | 516 | 581 | |||||||||||||||
Merger-related expenses | 129 | 198 | 242 | 295 | 533 | |||||||||||||||
Noninterest expense, as adjusted | $ | 42,364 | $ | 43,669 | $ | 46,254 | $ | 47,794 | $ | 44,256 | ||||||||||
Net interest income | $ | 65,308 | $ | 68,906 | $ | 71,542 | $ | 75,925 | $ | 81,640 | ||||||||||
Total noninterest income | 6,786 | 5,418 | 6,669 | 6,265 | 7,023 | |||||||||||||||
Total revenue | $ | 72,094 | $ | 74,324 | $ | 78,211 | $ | 82,190 | $ | 88,663 | ||||||||||
Tax-equivalent adjustment on municipal securities | 385 | 408 | 422 | 436 | 443 | |||||||||||||||
Total revenue, as adjusted | $ | 72,479 | $ | 74,732 | $ | 78,633 | $ | 82,626 | $ | 89,106 | ||||||||||
Efficiency ratio - Non-GAAP | 58.45 | % | 58.43 | % | 58.82 | % | 57.84 | % | 49.67 | % |
Lakeland Bancorp, Inc. Supplemental Information - Non-GAAP Financial Measures (Unaudited) | ||||||||
For the Twelve Months Ended December 31, | ||||||||
(dollars in thousands) | 2023 | 2022 | ||||||
Calculation of Return on Average Tangible Common Equity | ||||||||
Net income - GAAP | $ | 84,740 | $ | 107,369 | ||||
Total average common stockholders' equity - GAAP | $ | 1,132,656 | $ | 1,095,861 | ||||
Less: Average goodwill | 271,829 | 270,246 | ||||||
Less: Average other identifiable intangible assets | 8,127 | 10,192 | ||||||
Total average tangible common stockholders' equity - Non-GAAP | $ | 852,700 | $ | 815,423 | ||||
Return on average common stockholders' equity - GAAP | 7.48 | % | 9.80 | % | ||||
Return on average tangible common stockholders' equity - Non-GAAP | 9.94 | % | 13.17 | % | ||||
Calculation of Efficiency Ratio | ||||||||
Total noninterest expense | $ | 182,974 | $ | 188,208 | ||||
Less: | ||||||||
Amortization of core deposit intangibles | 2,029 | 2,351 | ||||||
Merger-related expenses | 864 | 8,606 | ||||||
Noninterest expense, as adjusted | $ | 180,081 | $ | 177,251 | ||||
Net interest income | $ | 281,681 | $ | 312,615 | ||||
Noninterest income | 25,138 | 28,099 | ||||||
Total revenue | $ | 306,819 | $ | 340,714 | ||||
Tax-equivalent adjustment on municipal securities | 1,652 | 1,567 | ||||||
Total revenue, as adjusted | $ | 308,471 | $ | 342,281 | ||||
Efficiency ratio - Non-GAAP | 58.38 | % | 51.79 | % |