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HOMB on Track for $400 Million Year
Source: Nasdaq GlobeNewswire / 19 Oct 2023 07:15:01 America/Chicago
CONWAY, Ark., Oct. 19, 2023 (GLOBE NEWSWIRE) -- Home BancShares, Inc. (NYSE: HOMB) (“Home” or the “Company”), parent company of Centennial Bank, released quarterly earnings today.
Highlights of the Third Quarter of 2023:
Metric Q3 2023 Q2 2023 Q1 2023 Q4 2022 Q3 2022 Net income $98.5 million $105.3 million $103.0 million $115.7 million $108.7 million Total revenue (net) $245.4 million $257.2 million $248.8 million $272.3 million $256.3 million Income before income taxes $129.3 million $136.9 million $132.9 million $148.4 million $142.0 million Pre-tax, pre-provision, net income (PPNR) (non-GAAP)(1) $130.6 million $140.9 million $134.1 million $153.4 million $142.0 million Pre-tax net income to total revenue (net) 52.70% 53.23% 53.43% 54.50% 55.39% P5NR (Pre-tax, pre-provision, profit percentage) (PPNR to total revenue (net)) (non-GAAP)(1) 53.23% 54.78% 53.91% 56.34% 55.39% ROA 1.78% 1.90% 1.84% 1.98% 1.81% NIM 4.19% 4.28% 4.37% 4.21% 4.05% Purchase accounting accretion $2.4 million $2.7 million $3.2 million $3.5 million $4.6 million ROE 10.65% 11.63% 11.70% 13.29% 12.25% ROTCE (non-GAAP)(1) 17.62% 19.39% 19.75% 22.96% 20.93% Diluted earnings per share $0.49 $0.52 $0.51 $0.57 $0.53 Non-performing assets to total assets 0.42% 0.28% 0.33% 0.27% 0.27% Common equity tier 1 capital 14.0% 13.6% 13.2% 12.9% 13.0% Leverage 12.4% 11.9% 11.4% 10.9% 10.4% Tier 1 capital 14.0% 13.6% 13.2% 12.9% 13.0% Total risk-based capital 17.6% 17.3% 16.8% 16.5% 16.7% Allowance for credit losses to total loans 2.00% 2.01% 2.00% 2.01% 2.09% Book value per share $18.06 $18.04 $17.87 $17.33 $16.94 Tangible book value per share (non-GAAP)(1) 10.90 10.87 10.71 10.17 9.82 (1) Calculation of this metric and the reconciliation to GAAP are included in the schedules accompanying this release.
“In the past 12 months, we have paid out $143.3 million in dividends, have repurchased 2,250,900 shares of stock for $51.0 million and have taken an additional mark to the available-for-sale portfolio of $43.1 million and were still able to grow tangible book value(1) by 11.1% from $9.82 per share to $10.90 per share. This feat deserves a shout out to all our people for an outstanding job during a tough economy,” said John Allison, Chairman and CEO of HOMB.
“We are continuing to build on our fortress balance sheet with both peer leading reserves and capital,” said Tracy French, President and CEO of Centennial Bank.
Liquidity and Funding Sources
At September 30, 2023, the Company held $1.78 billion in net available internal liquidity. This balance consisted of $1.38 billion in unpledged investment securities which could be used for additional secured borrowing capacity, $228.1 million in cash with the Federal Reserve Bank (FRB) and $172.7 million in other liquid cash accounts.
Consistent with the Company’s practice of maintaining access to significant external liquidity, the Company had $4.33 billion in net available external liquidity as of September 30, 2023. This included $5.09 billion in available liquidity with the Federal Home Loan Bank (FHLB), of which $2.00 billion has been drawn upon in the ordinary course of business, resulting in $3.09 billion in net available liquidity with the FHLB as of September 30, 2023. The $2.00 billion consisted of $750.0 million in outstanding FHLB advances and $1.25 billion used for pledging purposes. The Company also had access to approximately $1.39 billion in liquidity with the FRB as of September 30, 2023, of which $250.0 million has been drawn upon in the ordinary course of business, resulting in $1.14 billion in net available liquidity with the FRB as of September 30, 2023. The $1.14 billion consisted of $80.9 million available from the Discount Window and $1.06 billion available through the Bank Term Funding Program (BTFP). As of September 30, 2023, the Company also had access to $55.0 million from First National Bankers’ Bank (FNBB) and $45.0 million from other various external sources.
Overall, the Company had $6.12 billion net available liquidity as of September 30, 2023, which consisted of $1.78 billion of net available internal liquidity and $4.33 billion in net available external liquidity. Details on the Company’s available liquidity as of September 30, 2023 is available below.
(in thousands) Total Available Amount Used Net Availability Internal Sources Unpledged investment securities (market value) $ 1,382,775 $ — $ 1,382,775 Cash at FRB 228,114 — 228,114 Other liquid cash accounts 172,708 — 172,708 Total Internal Liquidity 1,783,597 — 1,783,597 External Sources FHLB 5,089,340 1,995,990 3,093,350 FRB Discount Window 80,919 — 80,919 BTFP (par value) 1,309,205 250,000 1,059,205 FNBB 55,000 — 55,000 Other 45,000 — 45,000 Total External Liquidity 6,579,464 2,245,990 4,333,474 Total Available Liquidity $ 8,363,061 $ 2,245,990 $ 6,117,071 The Company has continued to limit its exposure to uninsured deposits and has been actively monitoring this in light of the current banking environment. As of September 30, 2023, the Company held approximately $7.95 billion in uninsured deposits of which $568.5 million were intercompany subsidiary deposit balances and $2.65 billion were collateralized deposits, for a net position of $4.73 billion. This represents approximately 28.7% of total deposits. In addition, net available liquidity exceeded uninsured and uncollateralized deposits by $1.38 billion.
(in thousands) As of
September 30, 2023Uninsured Deposits $ 7,952,922 Intercompany Subsidiary and Affiliate Balances 568,511 Collateralized Deposits 2,650,369 Net Uninsured Position $ 4,734,042 Total Available Liquidity $ 6,117,071 Net Uninsured Position 4,734,042 Net Available Liquidity in Excess of Uninsured Deposits $ 1,383,029 In the event the Company’s $4.73 billion net position of uninsured deposits had been called by depositors on the first day of the third quarter of 2023 and the Company utilized available BTFP funding, which remained outstanding during the entire quarter, the Company estimates that interest expense would have increased by approximately $65.5 million for the period ended September 30, 2023. The outflow of deposits could have been funded through available sources of liquidity without selling our investment securities. In this event, because of the high profitability levels of HOMB, the Company estimates that it would still have achieved return on average assets (ROA) of 1.20% for the period ended September 30, 2023.
Operating Highlights
Net income for the three-month period ended September 30, 2023 was $98.5 million, or $0.49 diluted earnings per share. When adjusting for non-fundamental items, net income and diluted earnings per share on an as-adjusted basis (non-GAAP), were $94.7 million(1), and $0.47 per share(1), respectively, for the three months ended September 30, 2023.
Our net interest margin was 4.19% for the three-month period ended September 30, 2023, compared to 4.28% for the three-month period ended June 30, 2023. The yield on loans was 6.98% and 6.84% for the three months ended September 30, 2023 and June 30, 2023, respectively, as average loans decreased from $14.26 billion to $14.19 billion. Additionally, the rate on interest bearing deposits increased to 2.55% as of September 30, 2023, from 2.27% as of June 30, 2023, while average interest-bearing balances decreased from $12.42 billion to $12.24 billion.
During the third quarter of 2023, there was $521,000 of event interest expense compared to event interest income of $1.3 million for the second quarter of 2023.
Purchase accounting accretion on acquired loans was $2.4 million and $2.7 million and average purchase accounting loan discounts were $29.9 million and $32.5 million for the three-month periods ended September 30, 2023 and June 30, 2023, respectively.
Net interest income on a fully taxable equivalent basis was $203.2 million for the three-month period ended September 30, 2023, and $209.1 million for the three-month period ended June 30, 2023. This reduction in net interest income for the three-month period ended September 30, 2023, was the result of a $10.3 million increase in interest expense, partially offset by a $4.4 million increase in interest income. The $10.3 million increase in interest expense was due to an $8.6 million increase in interest expense on deposits, a $1.6 million increase in interest expense on FHLB and other borrowed funds and a $223,000 increase in interest expense on securities sold under agreement to repurchase. The increase in interest expense is a result of the current high interest rate environment. The $4.4 million increase in interest income was primarily the result of a $6.3 million increase in loan interest income, partially offset by a $1.4 million decrease in income from interest-bearing balances due from banks and a $529,000 decrease in investment income. The increase in interest income is also a result of the current high interest rate environment.
The Company reported $43.4 million of non-interest income for the third quarter of 2023. The most important components of third quarter non-interest income were $10.1 million from other service charges and fees, $10.1 million from service charges on deposit accounts, $6.2 million from other income, $4.7 million from trust fees, $4.5 million from the fair value adjustment for marketable securities, $3.1 million in mortgage lending income, $2.9 million from dividends from FHLB, FRB, FNBB and other and $1.2 million from the increase in cash value of life insurance. The $6.2 million in other income includes $338,000 in non-taxable bank owned life insurance “BOLI” death benefit income.
Non-interest expense for the third quarter of 2023 was $114.8 million. The most important components of non-interest expense were $64.5 million from salaries and employee benefits, $25.7 million in other operating expense, $15.5 million in occupancy and equipment expenses and $9.1 million in data processing expenses. For the third quarter of 2023, our efficiency ratio was 45.53%, and our efficiency ratio, as adjusted (non-GAAP), was 46.44%(1).
Financial Condition
Total loans receivable were $14.27 billion at September 30, 2023, compared to $14.18 billion at June 30, 2023. Total deposits were $16.52 billion at September 30, 2023, compared to $17.00 billion at June 30, 2023. Total assets were $21.95 billion at September 30, 2023, compared to $22.13 billion at June 30, 2023.
During the third quarter of 2023, the Company experienced approximately $90.9 million in loan growth. Centennial CFG experienced $145.3 million of organic loan growth and had loans of $2.01 billion at September 30, 2023. Our remaining markets experienced $54.4 million in organic loan decline during the quarter.
Non-performing loans to total loans was 0.64% and 0.43% at September 30, 2023 and June 30, 2023, respectively. Non-performing assets to total assets was 0.42% and 0.28% at September 30, 2023 and June 30, 2023, respectively. Net charge-offs were $2.9 million and $3.8 million for the three months ended September 30, 2023 and June 30, 2023, respectively.
Non-performing loans at September 30, 2023 were $12.6 million, $17.3 million, $27.2 million, $372,000, $3.0 million and $30.4 million in the Arkansas, Florida, Texas, Alabama, Shore Premier Finance and Centennial CFG markets, respectively, for a total of $90.9 million. Non-performing assets at September 30, 2023 were $12.8 million, $17.5 million, $27.5 million, $372,000, $3.0 million and $30.4 million in the Arkansas, Florida, Texas, Alabama, Shore Premier Finance and Centennial CFG markets, respectively, for a total of $91.6 million.
The Company’s allowance for credit losses on loans was $285.6 million at September 30, 2023, or 2.00% of total loans, compared to the allowance for credit losses on loans of $285.7 million, or 2.01% of total loans, at June 30, 2023. As of September 30, 2023 and June 30, 2023, the Company’s allowance for credit losses on loans was 314.29% and 472.23% of its total non-performing loans, respectively.
Stockholders’ equity was $3.65 billion at September 30, 2023, compared to $3.65 billion at June 30, 2023, an increase of approximately $0.8 million. The increase in stockholders’ equity is primarily associated with the $62.0 million increase in retained earnings, partially offset by the $57.9 million increase in accumulated other comprehensive loss and $5.7 million in stock repurchases. Book value per common share was $18.06 at September 30, 2023, compared to $18.04 at June 30, 2023. Tangible book value per common share (non-GAAP) was $10.90(1) at September 30, 2023, compared to $10.87(1) at June 30, 2023.
Branches
The Company currently has 76 branches in Arkansas, 78 branches in Florida, 63 branches in Texas, 5 branches in Alabama and one branch in New York City.
Conference Call
Management will conduct a conference call to review this information at 1:00 p.m. CT (2:00 p.m. ET) on Thursday, October 19, 2023. We strongly encourage all participants to pre-register for the conference call webcast or the live call using one of the following links. First, participants can pre-register for the conference call webcast using the following link: https://events.q4inc.com/attendee/682811524. Participants who pre-register will be given a unique webcast link to gain immediate access to the conference call webcast. Second, participants can pre-register for the live call using the following link: https://www.netroadshow.com/events/login?show=353e41be&confId=55500. Participants who pre-register will be given the phone number and unique access codes to gain immediate access to the live call. Participants may pre-register now, or at any time prior to the call, and will immediately receive simple instructions via email. The Home BancShares conference call will also be scheduled as an event in your Outlook calendar.
Those without internet access or unable to pre-register may dial in and listen to the live call by calling 1-833-470-1428, Passcode: 488667. A replay of the call will be available by calling 1-866-813-9403, Passcode: 746951, which will be available until October 26, 2023, at 10:59 p.m. CT (11:59 p.m. ET). Internet access to the call will be available live or in recorded version on the Company's website at www.homebancshares.com.
About Home BancShares
Home BancShares, Inc. is a bank holding company, headquartered in Conway, Arkansas. Its wholly-owned subsidiary, Centennial Bank, provides a broad range of commercial and retail banking plus related financial services to businesses, real estate developers, investors, individuals and municipalities. Centennial Bank has branch locations in Arkansas, Florida, Texas, South Alabama and New York City. The Company’s common stock is traded through the New York Stock Exchange under the symbol “HOMB.” The Company was founded in 1998. Visit www.homebancshares.com or www.my100bank.com for more information.
(1) Calculation of this metric and the reconciliation to GAAP are included in the schedules accompanying this release.
Non-GAAP Financial Measures
This press release contains financial information determined by methods other than in accordance with generally accepted accounting principles (GAAP). The Company’s management uses these non-GAAP financial measures--including net income (earnings), as adjusted; pre-tax, pre-provision, net income (PPNR); PPNR, as adjusted; pre-tax net income, as adjusted, to total revenue (net); pre-tax, pre-provision, profit percentage; pre-tax, pre-provision, profit percentage, as adjusted; diluted earnings per common share, as adjusted; return on average assets, as adjusted; return on average assets excluding intangible amortization; return on average assets, as adjusted, excluding intangible amortization; return on average common equity, as adjusted; return on average tangible common equity; return on average tangible common equity, as adjusted; return on average tangible common equity excluding intangible amortization; return on average tangible common equity, as adjusted, excluding intangible amortization; efficiency ratio, as adjusted; tangible book value per common share and tangible common equity to tangible assets--to provide meaningful supplemental information regarding our performance. These measures typically adjust GAAP performance measures to include the tax benefit associated with revenue items that are tax-exempt, as well as adjust income available to common shareholders for certain significant items or transactions that management believes are not indicative of the Company’s primary business operating results. Since the presentation of these GAAP performance measures and their impact differ between companies, 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 business. 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. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in the tables of this release.
General
This release contains forward-looking statements regarding the Company’s plans, expectations, goals and outlook for the future, including future financial results. Statements in this press release that are not historical facts should be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not guarantees of future events, performance or results. When we use words or phrases like “may,” “plan,” “propose,” “contemplate,” “anticipate,” “believe,” “intend,” “continue,” “expect,” “project,” “predict,” “estimate,” “could,” “should,” “would,” “on track” and similar expressions, you should consider them as identifying forward-looking statements, although we may use other phrasing. Forward-looking statements of this type speak only as of the date of this news release. By nature, forward-looking statements involve inherent risks and uncertainties. Various factors could cause actual results to differ materially from those contemplated by the forward-looking statements. These factors include, but are not limited to, the following: economic conditions, credit quality, interest rates, loan demand, real estate values and unemployment, including the ongoing impacts of inflation; disruptions, uncertainties and related effects on our business and operations that may result from any future outbreaks of the COVID-19 pandemic, including the impact on, among other things, credit quality and liquidity; the ability to identify, complete and successfully integrate new acquisitions; the risk that expected cost savings and other benefits from acquisitions may not be fully realized or may take longer to realize than expected; diversion of management time on acquisition-related issues; the availability of and access to capital and liquidity on terms acceptable to us; legislative and regulatory changes and risks and expenses associated with current and future legislation and regulations; technological changes and cybersecurity risks and incidents; the effects of changes in accounting policies and practices; changes in governmental monetary and fiscal policies; political instability, military conflicts and other major domestic or international events; adverse weather events, including hurricanes, and other natural disasters; competition from other financial institutions; potential claims, expenses and other adverse effects related to current or future litigation, regulatory examinations or other government actions; potential increases in deposit insurance assessments, increased regulatory scrutiny or market disruptions resulting from financial challenges in the banking industry; changes in the assumptions used in making the forward-looking statements; and other factors described in reports we file with the Securities and Exchange Commission (the “SEC”), including those factors set forth in our Annual Report on Form 10-K for the year ended December 31, 2022, filed with the SEC on February 24, 2023.
FOR MORE INFORMATION CONTACT:
Donna Townsell
Director of Investor Relations
Home BancShares, Inc.
(501) 328-4625
Home BancShares, Inc. Consolidated End of Period Balance Sheets (Unaudited) (In thousands) Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 ASSETS Cash and due from banks $ 229,474 $ 275,656 $ 250,841 $ 263,893 $ 268,929 Interest-bearing deposits with other banks 258,605 335,535 437,213 460,897 1,311,492 Cash and cash equivalents 488,079 611,191 688,054 724,790 1,580,421 Federal funds sold 3,925 1,550 — — 2,700 Investment securities - available-for-sale, net of allowance for credit losses 3,472,173 3,645,013 3,772,138 4,041,590 4,085,102 Investment securities - held-to-maturity, net of allowance for credit losses 1,283,475 1,285,150 1,286,373 1,287,705 1,251,007 Total investment securities 4,755,648 4,930,163 5,058,511 5,329,295 5,336,109 Loans receivable 14,271,833 14,180,972 14,386,634 14,409,480 13,829,311 Allowance for credit losses (285,562 ) (285,683 ) (287,169 ) (289,669 ) (289,203 ) Loans receivable, net 13,986,271 13,895,289 14,099,465 14,119,811 13,540,108 Bank premises and equipment, net 397,093 397,315 402,094 405,073 411,479 Foreclosed assets held for sale 691 725 425 546 365 Cash value of life insurance 213,351 213,090 214,792 213,693 212,619 Accrued interest receivable 110,946 101,066 102,740 103,199 88,671 Deferred tax asset, net 222,741 206,430 193,334 209,321 228,979 Goodwill 1,398,253 1,398,253 1,398,253 1,398,253 1,394,353 Core deposit intangible 51,023 53,500 55,978 58,455 60,932 Other assets 322,617 317,857 304,609 321,152 300,634 Total assets $ 21,950,638 $ 22,126,429 $ 22,518,255 $ 22,883,588 $ 23,157,370 LIABILITIES AND STOCKHOLDERS' EQUITY Liabilities Deposits: Demand and non-interest-bearing $ 4,280,429 $ 4,598,593 $ 4,945,729 $ 5,164,997 $ 5,540,539 Savings and interest-bearing transaction accounts 10,786,087 11,169,940 11,392,566 11,730,552 11,968,519 Time deposits 1,452,229 1,228,358 1,107,171 1,043,234 1,033,266 Total deposits 16,518,745 16,996,891 17,445,466 17,938,783 18,542,324 Securities sold under agreements to repurchase 160,120 160,349 138,742 131,146 121,555 FHLB and other borrowed funds 1,001,550 701,550 650,000 650,000 400,000 Accrued interest payable and other liabilities 175,367 173,426 212,887 196,877 192,908 Subordinated debentures 439,982 440,129 440,275 440,420 440,568 Total liabilities 18,295,764 18,472,345 18,887,370 19,357,226 19,697,355 Stockholders' equity Common stock 2,023 2,026 2,032 2,034 2,042 Capital surplus 2,363,210 2,366,560 2,375,754 2,386,699 2,404,388 Retained earnings 1,640,171 1,578,176 1,509,400 1,443,087 1,361,040 Accumulated other comprehensive loss (350,530 ) (292,678 ) (256,301 ) (305,458 ) (307,455 ) Total stockholders' equity 3,654,874 3,654,084 3,630,885 3,526,362 3,460,015 Total liabilities and stockholders' equity $ 21,950,638 $ 22,126,429 $ 22,518,255 $ 22,883,588 $ 23,157,370
Home BancShares, Inc. Consolidated Statements of Income (Unaudited) Quarter Ended Nine Months Ended (In thousands) Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 Sep. 30, 2023 Sep. 30, 2022 Interest income: Loans $ 249,464 $ 243,152 $ 236,997 $ 221,280 $ 195,841 $ 729,613 $ 507,062 Investment securities Taxable 34,520 34,751 35,288 33,639 28,273 104,559 58,294 Tax-exempt 7,868 7,932 7,963 7,855 8,069 23,763 20,501 Deposits - other banks 2,328 3,729 4,685 10,109 10,763 10,742 19,001 Federal funds sold 82 68 6 12 9 156 13 Total interest income 294,262 289,632 284,939 272,895 242,955 868,833 604,871 Interest expense: Interest on deposits 78,698 70,147 59,162 47,019 23,347 208,007 38,970 Federal funds purchased 1 2 — — — 3 2 FHLB and other borrowed funds 8,161 6,596 6,190 5,388 1,917 20,947 5,688 Securities sold under agreements to repurchase 1,344 1,121 868 701 434 3,333 729 Subordinated debentures 4,121 4,123 4,124 4,121 4,153 12,368 16,472 Total interest expense 92,325 81,989 70,344 57,229 29,851 244,658 61,861 Net interest income 201,937 207,643 214,595 215,666 213,104 624,175 543,010 Provision for credit losses on loans 2,800 2,300 1,200 5,000 — 6,300 45,170 (Recovery of) provision for credit losses on unfunded commitments (1,500 ) — — — — (1,500 ) 11,410 Provision for credit losses on investment securities — 1,683 — — — 1,683 2,005 Total credit loss expense 1,300 3,983 1,200 5,000 — 6,483 58,585 Net interest income after credit loss expense 200,637 203,660 213,395 210,666 213,104 617,692 484,425 Non-interest income: Service charges on deposit accounts 10,062 9,231 9,842 10,134 10,756 29,135 26,980 Other service charges and fees 10,128 11,763 11,875 10,363 13,951 33,766 34,225 Trust fees 4,660 4,052 4,864 3,981 3,980 13,576 8,874 Mortgage lending income 3,132 2,650 2,571 3,566 4,179 8,353 14,091 Insurance commissions 562 518 526 453 601 1,606 1,739 Increase in cash value of life insurance 1,170 1,211 1,104 1,079 1,089 3,485 2,721 Dividends from FHLB, FRB, FNBB & other 2,916 2,922 2,794 2,814 1,741 8,632 6,384 Gain on SBA loans 97 — 139 30 58 236 153 Gain (loss) on branches, equipment and other assets, net — 917 7 10 (13 ) 924 5 Gain on OREO, net — 319 — 13 — 319 487 Fair value adjustment for marketable securities 4,507 783 (11,408 ) 1,032 (2,628 ) (6,118 ) (2,304 ) Other income 6,179 15,143 11,850 23,185 9,487 33,172 25,096 Total non-interest income 43,413 49,509 34,164 56,660 43,201 127,086 118,451 Non-interest expense: Salaries and employee benefits 64,512 64,534 64,490 64,249 65,290 193,536 174,636 Occupancy and equipment 15,463 14,923 14,952 14,884 15,133 45,338 38,533 Data processing expense 9,103 9,151 8,968 9,062 8,747 27,222 25,880 Merger and acquisition expenses — — — — — — 49,594 Other operating expenses 25,684 27,674 26,234 30,708 25,176 79,592 68,081 Total non-interest expense 114,762 116,282 114,644 118,903 114,346 345,688 356,724 Income before income taxes 129,288 136,887 132,915 148,423 141,959 399,090 246,152 Income tax expense 30,835 31,616 29,953 32,736 33,254 92,404 56,577 Net income $ 98,453 $ 105,271 $ 102,962 $ 115,687 $ 108,705 $ 306,686 $ 189,575
Home BancShares, Inc. Selected Financial Information (Unaudited) Quarter Ended Nine Months Ended (Dollars and shares in thousands, except per share data) Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 Sep. 30, 2023 Sep. 30, 2022 PER SHARE DATA Diluted earnings per common share $ 0.49 $ 0.52 $ 0.51 $ 0.57 $ 0.53 $ 1.51 $ 0.99 Diluted earnings per common share, as adjusted (non-GAAP)(1) 0.47 0.51 0.54 0.53 0.54 1.51 1.40 Basic earnings per common share 0.49 0.52 0.51 0.57 0.53 1.51 0.99 Dividends per share - common 0.18 0.18 0.18 0.165 0.165 0.54 0.495 Book value per common share 18.06 18.04 17.87 17.33 16.94 18.06 16.94 Tangible book value per common share (non-GAAP)(1) 10.90 10.87 10.71 10.17 9.82 10.90 9.82 STOCK INFORMATION Average common shares outstanding 202,526 202,793 203,456 203,924 204,829 202,921 191,584 Average diluted shares outstanding 202,650 202,923 203,625 204,179 205,135 203,068 191,941 End of period common shares outstanding 202,323 202,573 203,168 203,434 204,219 202,323 204,219 ANNUALIZED PERFORMANCE METRICS Return on average assets (ROA) 1.78 % 1.90 % 1.84 % 1.98 % 1.81 % 1.84 % 1.13 % Return on average assets, as adjusted: (ROA, as adjusted) (non-GAAP)(1) 1.72 % 1.85 % 1.95 % 1.84 % 1.83 % 1.84 % 1.61 % Return on average assets excluding intangible amortization (non-GAAP)(1) 1.95 % 2.07 % 2.00 % 2.15 % 1.97 % 2.01 % 1.23 % Return on average assets, as adjusted, excluding intangible amortization (non-GAAP)(1) 1.87 % 2.02 % 2.12 % 2.00 % 1.99 % 2.00 % 1.74 % Return on average common equity (ROE) 10.65 % 11.63 % 11.70 % 13.29 % 12.25 % 11.32 % 7.71 % Return on average common equity, as adjusted: (ROE, as adjusted) (non-GAAP)(1) 10.25 % 11.33 % 12.38 % 12.35 % 12.39 % 11.30 % 10.91 % Return on average tangible common equity (ROTCE) (non-GAAP)(1) 17.62 % 19.39 % 19.75 % 22.96 % 20.93 % 18.90 % 12.71 % Return on average tangible common equity, as adjusted: (ROTCE, as adjusted) (non-GAAP)(1) 16.95 % 18.90 % 20.90 % 21.33 % 21.16 % 18.87 % 18.00 % Return on average tangible common equity excluding intangible amortization (non-GAAP)(1) 17.95 % 19.74 % 20.11 % 23.33 % 21.29 % 19.24 % 13.03 % Return on average tangible common equity, as adjusted, excluding intangible amortization (non-GAAP)(1) 17.29 % 19.24 % 21.26 % 21.70 % 21.52 % 19.22 % 18.32 % (1) Calculation of this metric and the reconciliation to GAAP are included in the schedules accompanying this release.
Home BancShares, Inc. Selected Financial Information (Unaudited) Quarter Ended Nine Months Ended (Dollars in thousands) Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 Sep. 30, 2023 Sep. 30, 2022 Efficiency ratio 45.53 % 44.00 % 44.80 % 42.44 % 43.24 % 44.76 % 52.44 % Efficiency ratio, as adjusted (non-GAAP)(1) 46.44 % 44.83 % 43.42 % 43.07 % 42.97 % 44.86 % 45.13 % Net interest margin - FTE (NIM) 4.19 % 4.28 % 4.37 % 4.21 % 4.05 % 4.28 % 3.67 % Fully taxable equivalent adjustment $ 1,293 $ 1,494 $ 1,628 $ 2,017 $ 2,437 $ 4,415 $ 6,646 Total revenue (net) 245,350 257,152 248,759 272,326 256,305 751,261 661,461 Pre-tax, pre-provision, net income (PPNR) (non-GAAP)(1) 130,588 140,870 134,115 153,423 141,959 405,573 304,737 PPNR, as adjusted (non-GAAP)(1) 125,743 137,308 142,062 142,567 143,522 405,113 350,576 Pre-tax net income to total revenue (net) 52.70 % 53.23 % 53.43 % 54.50 % 55.39 % 53.12 % 37.21 % Pre-tax net income, as adjusted, to total revenue (net) (non-GAAP)(1) 50.72 % 51.85 % 56.63 % 50.52 % 56.00 % 53.06 % 53.00 % P5NR(Pre-tax, pre-provision, profit percentage) (PPNR to total revenue (net) (non-GAAP)(1) 53.23 % 54.78 % 53.91 % 56.34 % 55.39 % 53.99 % 46.07 % P5NR, as adjusted (non-GAAP)(1) 51.25 % 53.40 % 57.11 % 52.35 % 56.00 % 53.92 % 53.00 % Total purchase accounting accretion $ 2,431 $ 2,660 $ 3,172 $ 3,497 $ 4,578 $ 8,263 $ 12,844 Average purchase accounting loan discounts 29,915 32,546 35,482 38,552 42,050 32,656 37,889 OTHER OPERATING EXPENSES Hurricane expense $ — $ — $ — $ 176 $ — $ — $ — Advertising 2,295 2,098 2,231 2,567 2,024 6,624 5,407 Amortization of intangibles 2,477 2,478 2,477 2,478 2,477 7,432 6,376 Electronic banking expense 3,709 3,675 3,330 3,914 3,828 10,714 9,718 Directors' fees 417 538 460 358 354 1,415 1,133 Due from bank service charges 282 286 273 273 316 841 982 FDIC and state assessment 2,794 3,220 3,500 2,224 2,146 9,514 6,204 Insurance 878 927 889 1,003 959 2,694 2,702 Legal and accounting 1,514 1,436 1,088 5,962 1,581 4,038 3,439 Other professional fees 2,117 2,774 2,284 2,552 2,466 7,175 6,329 Operating supplies 860 763 738 690 681 2,361 2,430 Postage 491 586 501 602 614 1,578 1,476 Telephone 544 573 528 576 593 1,645 1,314 Other expense 7,306 8,320 7,935 7,333 7,137 23,561 20,571 Total other operating expenses $ 25,684 $ 27,674 $ 26,234 $ 30,708 $ 25,176 $ 79,592 $ 68,081 (1) Calculation of this metric and the reconciliation to GAAP are included in the schedules accompanying this release.
Home BancShares, Inc. Selected Financial Information (Unaudited) (Dollars in thousands) Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 BALANCE SHEET RATIOS Total loans to total deposits 86.40 % 83.43 % 82.47 % 80.33 % 74.58 % Common equity to assets 16.65 % 16.51 % 16.12 % 15.41 % 14.94 % Tangible common equity to tangible assets (non-GAAP)(1) 10.76 % 10.65 % 10.33 % 9.66 % 9.24 % LOANS RECEIVABLE Real estate Commercial real estate loans Non-farm/non-residential $ 5,614,259 $ 5,480,738 $ 5,524,125 $ 5,632,063 $ 5,156,438 Construction/land development 2,154,030 2,201,514 2,160,514 2,135,266 2,232,906 Agricultural 336,160 340,067 342,814 346,811 330,748 Residential real estate loans Residential 1-4 family 1,808,248 1,790,218 1,748,231 1,748,551 1,704,850 Multifamily residential 444,239 455,754 637,633 578,052 525,110 Total real estate 10,356,936 10,268,291 10,413,317 10,440,743 9,950,052 Consumer 1,153,461 1,156,273 1,173,325 1,149,896 1,120,250 Commercial and industrial 2,195,678 2,288,646 2,368,428 2,349,263 2,268,750 Agricultural 332,608 297,743 250,851 285,235 313,693 Other 233,150 170,019 180,713 184,343 176,566 Loans receivable $ 14,271,833 $ 14,180,972 $ 14,386,634 $ 14,409,480 $ 13,829,311 ALLOWANCE FOR CREDIT LOSSES Balance, beginning of period $ 285,683 $ 287,169 $ 289,669 $ 289,203 $ 294,267 Loans charged off 3,449 4,726 4,288 5,379 6,313 Recoveries of loans previously charged off 528 940 588 845 1,249 Net loans charged off 2,921 3,786 3,700 4,534 5,064 Provision for credit losses - loans 2,800 2,300 1,200 5,000 — Balance, end of period $ 285,562 $ 285,683 $ 287,169 $ 289,669 $ 289,203 Net charge-offs to average total loans 0.08 % 0.11 % 0.10 % 0.13 % 0.15 % Allowance for credit losses to total loans 2.00 % 2.01 % 2.00 % 2.01 % 2.09 % NON-PERFORMING ASSETS Non-performing loans Non-accrual loans $ 84,184 $ 49,627 $ 65,401 $ 51,011 $ 56,796 Loans past due 90 days or more 6,674 10,869 8,567 9,845 4,898 Total non-performing loans 90,858 60,496 73,968 60,856 61,694 Other non-performing assets Foreclosed assets held for sale, net 691 725 425 546 365 Other non-performing assets 64 64 74 74 104 Total other non-performing assets 755 789 499 620 469 Total non-performing assets $ 91,613 $ 61,285 $ 74,467 $ 61,476 $ 62,163 Allowance for credit losses for loans to non-performing loans 314.29 % 472.23 % 388.23 % 475.99 % 468.77 % Non-performing loans to total loans 0.64 % 0.43 % 0.51 % 0.42 % 0.45 % Non-performing assets to total assets 0.42 % 0.28 % 0.33 % 0.27 % 0.27 % (1) Calculation of this metric and the reconciliation to GAAP are included in the schedules accompanying this release.
Home BancShares, Inc. Consolidated Net Interest Margin (Unaudited) Three Months Ended September 30, 2023 June 30, 2023 (Dollars in thousands) Average Balance Income/ Expense Yield/ Rate Average Balance Income/ Expense Yield/ Rate ASSETS Earning assets Interest-bearing balances due from banks $ 197,336 $ 2,328 4.68 % $ 320,039 $ 3,729 4.67 % Federal funds sold 4,859 82 6.70 % 5,350 68 5.10 % Investment securities - taxable 3,598,513 34,520 3.81 % 3,718,320 34,751 3.75 % Investment securities - non-taxable - FTE 1,272,680 9,034 2.82 % 1,280,781 9,332 2.92 % Loans receivable - FTE 14,191,461 249,591 6.98 % 14,259,647 243,246 6.84 % Total interest-earning assets 19,264,849 295,555 6.09 % 19,584,137 291,126 5.96 % Non-earning assets 2,637,585 2,643,267 Total assets $ 21,902,434 $ 22,227,404 LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Interest-bearing liabilities Savings and interest-bearing transaction accounts $ 10,923,936 $ 68,067 2.47 % $ 11,242,988 $ 62,637 2.23 % Time deposits 1,319,126 10,631 3.20 % 1,174,925 7,510 2.56 % Total interest-bearing deposits 12,243,062 78,698 2.55 % 12,417,913 70,147 2.27 % Federal funds purchased 54 1 7.35 % 123 2 6.52 % Securities sold under agreement to repurchase 154,687 1,344 3.45 % 143,969 1,121 3.12 % FHLB borrowed funds 773,345 8,161 4.19 % 679,445 6,596 3.89 % Subordinated debentures 440,054 4,121 3.72 % 440,201 4,123 3.76 % Total interest-bearing liabilities 13,611,202 92,325 2.69 % 13,681,651 81,989 2.40 % Non-interest bearing liabilities Non-interest bearing deposits 4,434,394 4,717,623 Other liabilities 189,499 197,936 Total liabilities 18,235,095 18,597,210 Shareholders' equity 3,667,339 3,630,194 Total liabilities and shareholders' equity $ 21,902,434 $ 22,227,404 Net interest spread 3.40 % 3.56 % Net interest income and margin - FTE $ 203,230 4.19 % $ 209,137 4.28 %
Home BancShares, Inc. Consolidated Net Interest Margin (Unaudited) Nine Months Ended September 30, 2023 September 30, 2022 (Dollars in thousands) Average Balance Income/ Expense Yield/ Rate Average Balance Income/ Expense Yield/ Rate ASSETS Earning assets Interest-bearing balances due from banks $ 313,637 $ 10,742 4.58 % $ 2,899,620 $ 19,001 0.88 % Federal funds sold 3,577 156 5.83 % 1,593 13 1.09 % Investment securities - taxable 3,726,710 104,559 3.75 % 3,442,854 58,294 2.26 % Investment securities - non-taxable - FTE 1,280,947 27,848 2.91 % 1,139,628 26,709 3.13 % Loans receivable - FTE 14,307,358 729,943 6.82 % 12,547,275 507,500 5.41 % Total interest-earning assets 19,632,229 873,248 5.95 % 20,030,970 611,517 4.08 % Non-earning assets 2,640,096 2,308,827 Total assets $ 22,272,325 $ 22,339,797 LIABILITIES AND SHAREHOLDERS' EQUITY Liabilities Interest-bearing liabilities Savings and interest-bearing transaction accounts $ 11,246,350 $ 185,560 2.21 % $ 11,420,566 $ 36,031 0.42 % Time deposits 1,189,620 22,447 2.52 % 1,035,340 2,939 0.38 % Total interest-bearing deposits 12,435,970 208,007 2.24 % 12,455,906 38,970 0.42 % Federal funds purchased 59 3 6.80 % 294 2 0.91 % Securities sold under agreement to repurchase 144,603 3,333 3.08 % 129,076 729 0.76 % FHLB borrowed funds 701,748 20,947 3.99 % 400,004 5,688 1.90 % Subordinated debentures 440,199 12,368 3.76 % 540,175 16,472 4.08 % Total interest-bearing liabilities 13,722,579 244,658 2.38 % 13,525,455 61,861 0.61 % Non-interest bearing liabilities Non-interest bearing deposits 4,729,515 5,363,770 Other liabilities 197,498 161,402 Total liabilities 18,649,592 19,050,627 Shareholders' equity 3,622,733 3,289,170 Total liabilities and shareholders' equity $ 22,272,325 $ 22,339,797 Net interest spread 3.57 % 3.47 % Net interest income and margin - FTE $ 628,590 4.28 % $ 549,656 3.67 %
Home BancShares, Inc. Non-GAAP Reconciliations (Unaudited) Quarter Ended Nine Months Ended (Dollars and shares in thousands, except per share data) Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 Sep. 30, 2023 Sep. 30, 2022 EARNINGS, AS ADJUSTED GAAP net income available to common shareholders (A) $ 98,453 $ 105,271 $ 102,962 $ 115,687 $ 108,705 $ 306,686 $ 189,575 Pre-tax adjustments BOLI death benefits (338 ) (2,779 ) — — — (3,117 ) — Merger and acquisition expenses — — — — — — 49,594 Initial provision for credit losses - acquisition — — — — — — 58,585 Fair value adjustment for marketable securities (4,507 ) (783 ) 11,408 (1,032 ) 2,628 6,118 2,304 Special dividend from equity investment — — — — — — (1,434 ) TRUPS redemption fees — — — — — — 2,081 Special lawsuit settlement, net of expense — — — (10,000 ) — — — Recoveries on historic losses — — (3,461 ) — (1,065 ) (3,461 ) (6,706 ) Hurricane expense — — — 176 — — — Total pre-tax adjustments (4,845 ) (3,562 ) 7,947 (10,856 ) 1,563 (460 ) 104,424 Tax-effect of adjustments (1,112 ) (879 ) 1,961 (2,679 ) 393 (30 ) 25,569 Total adjustments after-tax (B) (3,733 ) (2,683 ) 5,986 (8,177 ) 1,170 (430 ) 78,855 Earnings, as adjusted (C) $ 94,720 $ 102,588 $ 108,948 $ 107,510 $ 109,875 $ 306,256 $ 268,430 Average diluted shares outstanding (D) 202,650 202,923 203,625 204,179 205,135 203,068 191,941 GAAP diluted earnings per share: (A/D) $ 0.49 $ 0.52 $ 0.51 $ 0.57 $ 0.53 $ 1.51 $ 0.99 Adjustments after-tax: (B/D) (0.02 ) (0.01 ) 0.03 (0.04 ) 0.01 0.00 0.41 Diluted earnings per common share, as adjusted: (C/D) $ 0.47 $ 0.51 $ 0.54 $ 0.53 $ 0.54 $ 1.51 $ 1.40 ANNUALIZED RETURN ON AVERAGE ASSETS Return on average assets: (A/E) 1.78 % 1.90 % 1.84 % 1.98 % 1.81 % 1.84 % 1.13 % Return on average assets, as adjusted: (ROA, as adjusted) ((A+D)/E) 1.72 % 1.85 % 1.95 % 1.84 % 1.83 % 1.84 % 1.61 % Return on average assets excluding intangible amortization: ((A+C)/(E-F)) 1.95 % 2.07 % 2.00 % 2.15 % 1.97 % 2.01 % 1.23 % Return on average assets, as adjusted, excluding intangible amortization: ((A+C+D)/(E-F)) 1.87 % 2.02 % 2.12 % 2.00 % 1.99 % 2.00 % 1.74 % Return on average assets excluding excess liquidity: (A/(E-G)) 1.78 % 1.98 % 1.99 % 2.28 % 2.10 % 1.87 % 1.29 % Return on average assets, as adjusted, excluding excess liquidity: ((A+D)/(E-G)) 1.71 % 1.93 % 2.11 % 2.12 % 2.13 % 1.86 % 1.83 % GAAP net income available to common shareholders (A) $ 98,453 $ 105,271 $ 102,962 $ 115,687 $ 108,705 $ 306,686 $ 189,575 Amortization of intangibles (B) 2,477 2,478 2,477 2,478 2,477 7,432 6,376 Amortization of intangibles after-tax (C) 1,866 1,866 1,866 1,866 1,854 5,598 4,757 Adjustments after-tax (D) (3,733 ) (2,683 ) 5,986 (8,177 ) 1,170 (430 ) 78,855 Average assets (E) 21,902,434 22,227,404 22,695,855 23,187,005 23,778,769 22,272,325 22,339,797 Average goodwill & core deposit intangible (F) 1,450,478 1,452,951 1,455,423 1,454,639 1,459,034 1,452,933 1,294,971
Home BancShares, Inc. Non-GAAP Reconciliations (Unaudited) Quarter Ended Nine Months Ended (Dollars in thousands) Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 Sep. 30, 2023 Sep. 30, 2022 ANNUALIZED RETURN ON AVERAGE COMMON EQUITY Return on average common equity: (A/D) 10.65 % 11.63 % 11.70 % 13.29 % 12.25 % 11.32 % 7.71 % Return on average common equity, as adjusted: (ROE, as adjusted) ((A+C)/D) 10.25 % 11.33 % 12.38 % 12.35 % 12.39 % 11.30 % 10.91 % Return on average tangible common equity: (A/(D-E)) 17.62 % 19.39 % 19.75 % 22.96 % 20.93 % 18.90 % 12.71 % Return on average tangible common equity, as adjusted: (ROTCE, as adjusted) ((A+C)/(D-E)) 16.95 % 18.90 % 20.90 % 21.33 % 21.16 % 18.87 % 18.00 % Return on average tangible common equity excluding intangible amortization: (B/(D-E)) 17.95 % 19.74 % 20.11 % 23.33 % 21.29 % 19.24 % 13.03 % Return on average tangible common equity, as adjusted, excluding intangible amortization: ((B+C)/(D-E)) 17.29 % 19.24 % 21.26 % 21.70 % 21.52 % 19.22 % 18.32 % GAAP net income available to common shareholders (A) $ 98,453 $ 105,271 $ 102,962 $ 115,687 $ 108,705 $ 306,686 $ 189,575 Earnings excluding intangible amortization (B) 100,319 107,137 104,828 117,553 110,559 312,284 194,332 Adjustments after-tax (C) (3,733 ) (2,683 ) 5,986 (8,177 ) 1,170 (430 ) 78,855 Average common equity (D) 3,667,339 3,630,194 3,569,592 3,454,005 3,519,296 3,622,733 3,289,170 Average goodwill & core deposits intangible (E) 1,450,478 1,452,951 1,455,423 1,454,639 1,459,034 1,452,933 1,294,971 EFFICIENCY RATIO & P5NR Efficiency ratio: ((D-H)/(B+C+E)) 45.53 % 44.00 % 44.80 % 42.44 % 43.24 % 44.76 % 52.44 % Efficiency ratio, as adjusted: ((D-H-J)/(B+C+E-I)) 46.44 % 44.83 % 43.42 % 43.07 % 42.97 % 44.86 % 45.13 % Pre-tax net income to total revenue (net) (A/(B+C)) 52.70 % 53.23 % 53.43 % 54.50 % 55.39 % 53.12 % 37.21 % Pre-tax net income, as adjusted, to total revenue (net) ((A+F)/(B+C)) 50.72 % 51.85 % 56.63 % 50.52 % 56.00 % 53.06 % 53.00 % Pre-tax, pre-provision, net income (PPNR) (B+C-D) $ 130,588 $ 140,870 $ 134,115 $ 153,423 $ 141,959 $ 405,573 $ 304,737 Pre-tax, pre-provision, net income, as adjusted (B+C-D+F-G) $ 125,743 $ 137,308 $ 142,062 $ 142,567 $ 143,522 $ 405,113 $ 350,576 P5NR(Pre-tax, pre-provision, profit percentage) PPNR to total revenue (net)) (B+C-D)/(B+C) 53.23 % 54.78 % 53.91 % 56.34 % 55.39 % 53.99 % 46.07 % P5NR, as adjusted (B+C-D+F-G)/(B+C) 51.25 % 53.40 % 57.11 % 52.35 % 56.00 % 53.92 % 53.00 % Pre-tax net income (A) $ 129,288 $ 136,887 $ 132,915 $ 148,423 $ 141,959 $ 399,090 $ 246,152 Net interest income (B) 201,937 207,643 214,595 215,666 213,104 624,175 543,010 Non-interest income (C) 43,413 49,509 34,164 56,660 43,201 127,086 118,451 Non-interest expense (D) 114,762 116,282 114,644 118,903 114,346 345,688 356,724 Fully taxable equivalent adjustment (E) 1,293 1,494 1,628 2,017 2,437 4,415 6,646 Total pre-tax adjustments (F) (4,845 ) (3,562 ) 7,947 (10,856 ) 1,563 (460 ) 104,424 Initial provision for credit losses - acquisition (G) — — — — — — 58,585 Amortization of intangibles (H) 2,477 2,478 2,477 2,478 2,477 7,432 6,376 Adjustments: Non-interest income: Fair value adjustment for marketable securities $ 4,507 $ 783 $ (11,408 ) $ 1,032 $ (2,628 ) $ (6,118 ) $ (2,304 ) Gain on OREO — 319 — 13 — 319 487 Gain (loss) on branches, equipment and other assets, net — 917 7 10 (13 ) 924 5 Special dividend from equity investment — — — — — — 1,434 BOLI death benefits 338 2,779 — — — 3,117 — Lawsuit settlement - special lawsuit — — — 15,000 — — — Recoveries on historic losses — — 3,461 — 1,065 3,461 6,706 Total non-interest income adjustments (I) $ 4,845 $ 4,798 $ (7,940 ) $ 16,055 $ (1,576 ) $ 1,703 $ 6,328 Non-interest expense: Merger and acquisition expenses — — — — — — 49,594 Hurricane expense — — — 176 — — — Legal expense - special lawsuit — — — 5,000 — — — TRUPS redemption fees — — — — — — 2,081 Total non-interest expense adjustments (J) $ — $ — $ — $ 5,176 $ — $ — $ 51,675
Home BancShares, Inc. Non-GAAP Reconciliations (Unaudited) Quarter Ended Sep. 30, 2023 Jun. 30, 2023 Mar. 31, 2023 Dec. 31, 2022 Sep. 30, 2022 TANGIBLE BOOK VALUE PER COMMON SHARE Book value per common share: (A/B) $ 18.06 $ 18.04 $ 17.87 $ 17.33 $ 16.94 Tangible book value per common share: ((A-C-D)/B) 10.90 10.87 10.71 10.17 9.82 Total stockholders' equity (A) $ 3,654,874 $ 3,654,084 $ 3,630,885 $ 3,526,362 $ 3,460,015 End of period common shares outstanding (B) 202,323 202,573 203,168 203,434 204,219 Goodwill (C) 1,398,253 1,398,253 1,398,253 1,398,253 1,394,353 Core deposit and other intangibles (D) 51,023 53,500 55,978 58,455 60,932 TANGIBLE COMMON EQUITY TO TANGIBLE ASSETS Equity to assets: (B/A) 16.65 % 16.51 % 16.12 % 15.41 % 14.94 % Tangible common equity to tangible assets: ((B-C-D)/(A-C-D)) 10.76 % 10.65 % 10.33 % 9.66 % 9.24 % Total assets (A) $ 21,950,638 $ 22,126,429 $ 22,518,255 $ 22,883,588 $ 23,157,370 Total stockholders' equity (B) 3,654,874 3,654,084 3,630,885 3,526,362 3,460,015 Goodwill (C) 1,398,253 1,398,253 1,398,253 1,398,253 1,394,353 Core deposit and other intangibles (D) 51,023 53,500 55,978 58,455 60,932 
