BancorpSouth Announces Second Quarter 2021 Results
07/21/2021 - 04:30 PM
TUPELO, Miss. , July 21, 2021 /PRNewswire/ -- BancorpSouth Bank (NYSE: BXS) (the "Company") today announced financial results for the quarter ended June 30, 2021 .
Highlights for the second quarter of 2021 included:
Achieved quarterly net income available to common shareholders of $73.2 million $0.69 $90.6 million $0.86 Generated $119.9 million Credit quality indicators continued to improve as evidenced by a decline of $8.9 million $11.5 million Generated organic total deposit and customer repo growth of $224.4 million $65.0 million Sold 12,289 Paycheck Protection Program (PPP) loans totaling $725.4 million $21.6 million $347.1 million Maintained strong regulatory capital metrics; estimated total risk-based capital of 14.57 percent at June 30, 2021 compared to 14.65 percent at March 31, 2021 . Completed transactions with National United Bancshares, Inc., the parent company of National United, and FNS Bancshares, Inc., the parent company of FNB Bank, effective May 1, 2021 , which add approximately $1.6 billion Announced the signing of a merger agreement with Cadence Bancorporation, the parent company of Cadence Bank N.A ., which creates a $46 billion th largest bank headquartered in the Company's nine-state footprint. "While we aren't immune to the balance sheet and margin dynamics impacting the industry, we continue to report strong financial results," remarked Dan Rollins , Chairman and Chief Executive Officer. "Second quarter was another record quarter from an operating earnings standpoint. Consistent with the last several quarters, we reported meaningful organic deposit growth, improvement in our credit quality indicators, and a stable core expense base. We generated net organic loan growth for the first time since the second quarter of 2019. In addition, our insurance brokerage team had a great quarter from a revenue growth perspective."
"As we look at other highlights for the quarter, we sold $725.4 million $21.6 million $347.1 million $170 million
Earnings Summary
The Company reported net income available to common shareholders of $73.2 million $0.69 $58.8 million $0.57 $79.2 million $0.77 $90.6 million $0.86 $60.9 million $0.59 $74.8 million $0.73
The Company reported PPNR of $119.9 million $102.1 million $99.1 million
Net Interest Revenue
Net interest revenue was $180.2 million $170.6 million $172.8 million
PPP loans had an adverse impact of approximately four basis points on the yield on net loans and leases, excluding accretable yield, for the second quarter of 2021. Net interest income for the second quarter of 2021 included approximately $3.7 million
Balance Sheet Activity
Loans and leases, net of unearned income, decreased $34.8 million $1.7 billion $725.4 million $21.6 million $347.1 million $877.9 million $1.5 billion $65.0 million March 31, 2021 , while deposits and customer repos increased approximately $225.0 million
Provision for Credit Losses and Allowance for Credit Losses
Earnings for the second quarter of 2021 reflect a provision for credit losses of $11.5 million $20.0 million $11.5 million $1.8 million $1.2 million $3.3 million $265.7 million June 30, 2021 , compared with $237.0 million June 30, 2020 , and $241.1 million March 31 , 2021. The allowance for credit losses coverage, excluding the impact of PPP loans, was 1.79 percent of net loans and leases at June 30, 2021 , compared with 1.67 percent at June 30, 2020 and 1.74 percent at March 31 , 2021.
Total non-performing assets were $101.8 million June 30, 2021 , compared with $155.4 million June 30, 2020 , and $110.7 million March 31 , 2021. Other real estate owned was $17.3 million June 30, 2021 , compared with $7.2 million June 30, 2020 and $9.4 million March 31, 2021 .
Noninterest Revenue
Noninterest revenue was $101.9 million $91.3 million $87.9 million $1.9 million $2.4 million $7.4 million
Mortgage production and servicing revenue was $11.0 million $31.9 million $17.9 million $906.4 million $989.0 million $789.8 million $615.2 million $522.6 million $379.4 million $344.1 million $251.7 million $149.0 million
Credit card, debit card, and merchant fee revenue was $11.6 million $9.1 million $9.7 million $8.8 million $7.6 million $8.5 million $7.5 million $6.4 million $8.5 million $36.1 million $33.1 million $30.7 million $7.1 million $5.4 million $5.3 million $21.6 million
Noninterest Expense
Noninterest expense for the second quarter of 2021 was $174.0 million $162.5 million $155.8 million $108.2 million $108.1 million $101.1 million $13.2 million $12.9 million $12.8 million $46.0 million $34.8 million $35.9 million $10.0 million $0.5 million $1.6 million $3.0 million
Capital Management
The Company's ratio of shareholders' equity to assets was 11.12 percent at June 30, 2021 , compared with 11.76 percent at June 30, 2020 and 10.95 percent at March 31 , 2021. The ratio of tangible common shareholders' equity to tangible assets was 7.11 percent at June 30, 2021 , compared with 7.44 percent at June 30, 2020 and 7.04 percent at March 31 , 2021.
During the second quarter of 2021, the Company did not repurchase any shares of its common stock pursuant to its share repurchase program. The Company has 6.0 million shares remaining on its current share repurchase authorization which will expire on December 31 , 2021.
Estimated regulatory capital ratios at June 30, 2021 were calculated in accordance with the Basel III capital framework as well as the interagency final rule published on September 30, 2020 entitled "Revised Transition of the Current Expected Credit Losses Methodology for Allowances". The Company is a "well capitalized" bank, as defined by federal regulations, at June 30, 2021 , with Tier 1 risk-based capital of 11.85 percent and total risk-based capital of 14.57 percent, compared with required minimum levels of 8 percent and 10 percent, respectively, in order to qualify for "well capitalized" classification.
Summary
Rollins concluded, "Despite the current industry headwinds, our board and management team are excited about the pathway ahead for our Company. We are in a strong position from a credit quality and capital perspective. Our noninterest product lines, including mortgage and insurance, are performing quite well in this environment. While we continue to exercise caution, our relationship managers are pleased to be back out in person calling on customers and prospects. Finally, we continue to work diligently toward the completion of our merger with Cadence. Our operational and back office teams are making progress daily on our conversion and integration planning and we remain optimistic that we are on track for a fourth quarter 2021 transaction closing."
TRANSACTIONS
Cadence Bancorporation (NYSE: CADE)
On April 12, 2021 , the Company announced the signing of a definitive merger agreement (the Cadence Merger Agreement) with Cadence Bancorporation, the parent company of Cadence Bank N.A ., (collectively referred to as Cadence), pursuant to which Cadence will be merged with and into the Company (the Cadence Merger). Cadence operates 98 full-service banking offices in the southeast. As of March 31, 2021 , Cadence collectively reported total assets of $18.8 billion $12.4 billion $16.1 billion $1.25 April 12 , 2021. The Cadence Merger Agreement has been unanimously approved by the Boards of Directors of the Company and Cadence. Subject to the satisfaction of all closing conditions, including the receipt of all required regulatory and shareholder approvals, the Cadence Merger is expected to be completed during the fourth quarter of 2021, although the Company can provide no assurance that the Cadence Merger will close during this time period or at all.
FNS Bancshares, Inc.
On May 1, 2021 , the Company completed the merger with FNS Bancshares, Inc., the parent company of FNB Bank, (collectively referred to as FNS), pursuant to which FNS was merged with and into the Company. FNS operated 17 full-service banking offices in Alabama , Georgia and Tennessee. The merger expanded the Company's presence in Jackson , DeKalb and Marshall counties in Alabama and the Chattanooga, Tennessee -Georgia and Nashville -Davidson -Murfreesboro -Franklin, Tennessee metropolitan statistical areas. As of May 1, 2021 , FNS collectively reported total assets of $826.6 million $464.7 million $720.7 million $18.0 million May 3 , 2021. The purchase accounting for this transaction is considered provisional as management continues to identify and assess information regarding the nature of the acquired assets and liabilities and reviews the associated valuation assumptions and methodologies.
National United Bancshares, Inc.
On May 1, 2021 , the Company completed the merger with National United Bancshares, Inc., the parent company of National United, (collectively referred to as National United), pursuant to which National United was merged with and into the Company. National United operated 6 full-service banking offices in the Killeen -Temple, Texas ; Waco, Texas ; and Austin -Round Rock -Georgetown, Texas metropolitan statistical areas. As of May 1, 2021 , National United collectively reported total assets of $817.3 million $434.6 million $742.9 million $33.25 million May 3 , 2021. The purchase accounting for this transaction is considered provisional as management continues to identify and assess information regarding the nature of the acquired assets and liabilities and reviews the associated valuation assumptions and methodologies.
Non-GAAP Measures and Ratios
This news release presents certain financial measures and ratios that are not calculated in accordance with U.S. generally accepted accounting principles (GAAP). A discussion regarding these non-GAAP measures and ratios, including reconciliations of non-GAAP measures to the most directly comparable GAAP measures and definitions for non-GAAP ratios, appears under the caption "Reconciliation of Non-GAAP Measures and Other Non-GAAP Ratio Definitions" beginning on page 24 of this news release.
Statement Regarding Impact of COVID-19 Pandemic
The Company prioritizes the health and safety of its teammates and customers, and it will continue to do so throughout the duration of the COVID-19 pandemic. At the same time, the Company remains focused on improving shareholder value, managing credit exposure, challenging expenses, enhancing the customer experience and supporting the communities it serves. Lastly, as a SBA Preferred Lender, the Company participated in the SBA's PPP for the betterment of its customers and the communities that it serves.
In the presentation that accompanies this news release and in its earnings conference call, the Company has sought and will seek to describe the historical and future impact of the COVID-19 pandemic on the Company's assets, business, cash flows, financial condition, liquidity, prospects and results of operations, including the information and discussions regarding negative pressure on its net interest margin and loan demand. Although the Company believes that the statements that pertain to future events, results and trends and their impact on the Company's business are reasonable at the present time, those statements are not historical facts and are based upon current assumptions, expectations, estimates and projections, many of which, by their nature, are beyond the Company's control. Accordingly, all discussions regarding future events, results and trends and their impact on the Company's business, even in the near term, are necessarily uncertain given the fluid and evolving nature of the pandemic.
If the health, logistical or economic effects of the pandemic worsen, or if the assumptions, expectations, estimates or projections that underlie the Company's statements regarding future effects or trends prove to be incorrect, then the Company's actual assets, business, cash flows, financial condition, liquidity, prospects and results of operations and the trading prices of its capital stock may be materially and adversely impacted in ways that the Company cannot reasonably forecast.
Accordingly, when reading this news release and the accompanying presentation and when listening to the earnings conference call, undue reliance should not be placed upon any statement pertaining to future events, results and trends and their impact on the Company's business in future periods.
Conference Call and Webcast
The Company will conduct a conference call to discuss its second quarter 2021 financial results on July 22, 2021 , at 10:00 a.m. (Central Time) . This conference call will be an interactive session between management and analysts. Interested parties may listen to this live conference call via Internet webcast by accessing www.bancorpsouth.investorroom.com/webcasts . The webcast will also be available in archived format at the same address.
About BancorpSouth Bank
BancorpSouth Bank (NYSE: BXS) is headquartered in Tupelo, Mississippi , with approximately $28 billion Alabama , Arkansas , Florida , Georgia , Louisiana , Mississippi , Missouri , Tennessee and Texas , including an insurance location in Illinois. BancorpSouth is committed to a culture of respect, diversity, and inclusion in both its workplace and communities. To learn more, visit our Community Commitment page at www.bancorpsouth.com . Like us on Facebook; follow us on Twitter and Instagram: @MyBXS; or connect with us through LinkedIn.
Forward-Looking Statements
Certain statements made in this news release are not statements of historical fact and constitute "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and are subject to the safe harbor created thereby under the Private Securities Litigation Reform Act of 1995. These statements are often, but not always, made through the use of words or phrases such as "anticipate," "aspire," "assume," "believe," "budget," "contemplate," "continue," "could," "estimate," "expect," "forecast," "foresee," "goal," "hope," "indicate," "intend," "may," "might," "outlook," "plan," "project," "projection," "predict," "prospect," "potential," "roadmap," "seek," "should," "target," "will," and "would," or the negative versions of those words or other comparable words of a future or forward-looking nature. These forward-looking statements include, without limitation, discussions regarding general economic, interest rate, real estate market, competitive, employment, and credit market conditions, including the impact of the COVID-19 pandemic on the Company's business; the Company's: assets; business; cash flows; financial condition; liquidity; prospects; results of operations; deposit and customer repo growth; interest and fee-based revenue; capital resources; capital metrics; efficiency ratio; valuation of mortgage servicing rights; net income; net interest revenue; non-interest revenue; net interest margin; interest expense; non-interest expense; earnings per share; interest rate sensitivity; interest rate risk; balance sheet and liquidity management; off-balance sheet arrangements; fair value determinations; asset quality; credit quality; credit losses; provision and allowance for credit losses, impairments, charge-offs, recoveries and changes in loan volumes; investment securities portfolio yields and values; ability to manage the impact of pandemics, natural disasters and other force majeure events; adoption and use of critical accounting policies; adoption and implementation of new accounting standards and their effect on the Company's financial results and the Company's financial reporting; utilization of non-GAAP financial metrics; declaration and payment of dividends; ability to pay dividends or coupons on the Company's 5.5% Series A Non-Cumulative Perpetual Preferred Stock, par value $0.01 4.125% Fixed-to-Floating Rate Subordinated Notes due November 20, 2029 ; mortgage origination volume; mortgage servicing and production revenue; insurance commission revenue; implementation and execution of cost savings initiatives; ability to successfully litigate, resolve or otherwise dispense with threatened, pending, ongoing and future litigation and governmental, administrative and investigatory matters; ability to successfully complete pending or future acquisitions, dispositions and other strategic growth opportunities and initiatives; ability to successfully obtain regulatory approval for acquisitions and other growth initiatives; ability to successfully integrate and manage acquisitions; opportunities and efforts to grow market share; reputation; ability to compete with other financial institutions; ability to recruit and retain key employees and personnel; access to capital markets; availability of capital; investments in the securities of other financial institutions; and ability to operate the Company's regulatory compliance programs in accordance with applicable law.
Forward-looking statements are based upon management's expectations as well as certain assumptions and estimates made by, and information available to, the Company's management at the time such statements were made. Forward-looking statements are not historical facts, are not guarantees of future results or performance and are subject to certain known and unknown risks, uncertainties and other factors that are beyond the Company's control and that may cause actual results to differ materially from those expressed in, or implied by, such forward-looking statements. These risks, uncertainties and other factors include, without limitation, potential delays or other problems in implementing and executing the Company's growth, expansion and acquisition strategies, including delays in obtaining regulatory or other necessary approvals or the failure to realize any anticipated benefits or synergies from any acquisitions or growth strategies; the risks of changes in interest rates and their effects on the level and composition of deposits, loan demand and the values of loan collateral, securities and interest sensitive assets and liabilities; the failure of assumptions underlying the establishment of reserves for possible credit losses, fair value for loans and other real estate owned; changes in real estate values; the availability of and access to capital; possible downgrades in the Company's credit ratings or outlook which could increase the costs or availability of funding from capital markets; the ability to attract new or retain existing deposits or to retain or grow loans; the ability to grow additional interest and fee income or to control noninterest expense; the potential impact of the proposed phase-out of the London Interbank Offered Rate ("LIBOR") or other changes involving LIBOR; competitive factors and pricing pressures, including their effect on the Company's net interest margin; general economic, unemployment, credit market and real estate market conditions, and the effect of such conditions on the creditworthiness of borrowers, collateral values, the value of investment securities and asset recovery values; changes in legal, financial and/or regulatory requirements; recently enacted and potential legislation and regulatory actions and the costs and expenses to comply with new and/or existing legislation and regulatory actions, including those actions in response to the COVID-19 pandemic such as the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act"), the Economic Aid to Hard-Hit Small Businesses, Nonprofits, and Venues Act (the "Economic Aid Act") and any related rules and regulations; changes in U.S. Government monetary and fiscal policy; FDIC special assessments or changes to regular assessments; the enforcement efforts of federal and state bank regulators; possible adverse rulings, judgments, settlements and other outcomes of pending, ongoing and future litigation and governmental, administrative and investigatory matters (including litigation or actions arising from the Company's participation in and administration of programs related to the COVID-19 pandemic (including, among other things, the PPP loan programs authorized by the CARES Act and the Economic Aid Act); the ability to keep pace with technological changes, including changes regarding maintaining cybersecurity; the impact of failure in, or breach of, the Company's operational or security systems or infrastructure, or those of third parties with whom the Company does business, including as a result of cyber-attacks or an increase in the incidence or severity of fraud, illegal payments, security breaches or other illegal acts impacting the Company or the Company's customers; natural disasters or acts of war or terrorism; the adverse effects of the ongoing global COVID-19 pandemic, including the magnitude and duration of the pandemic, and the effect of actions taken to mitigate the impact of the COVID-19 pandemic on the Company, the Company's employees, the Company's customers, the global economy and the financial markets; international or political instability; impairment of the Company's goodwill or other intangible assets; losses of key employees and personnel; adoption of new accounting standards, including the effects from the adoption of the current expected credit loss methodology on January 1, 2020 , or changes in existing standards; the occurrence of any event, change or other circumstances that could give rise to the right of one or both of the parties to terminate the Cadence Merger Agreement; the outcome of any legal proceedings that have been or may be instituted against the Company or Cadence in respect of the Cadence Merger; the possibility that the Cadence Merger will not close when expected or at all because required regulatory, shareholder or other approvals are not received or other conditions to the closing are not satisfied on a timely basis or at all, or are obtained subject to conditions that are not anticipated; the ability of the Company and Cadence to meet expectations regarding the timing, completion and accounting and tax treatments of the Cadence Merger; the risk that any announcements relating to the Cadence Merger could have adverse effects on the market price of the common stock of either or both parties to the Cadence Merger; the possibility that the anticipated benefits of the Cadence Merger will not be realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of the two companies or as a result of the strength of the economy and competitive factors in the areas where the Company and Cadence do business; certain restrictions during the pendency of the Cadence Merger that may impact the parties' ability to pursue certain business opportunities or strategic transactions; the possibility that the Cadence Merger may be more expensive to complete than anticipated, including as a result of unexpected factors or events; diversion of management's attention from ongoing business operations and opportunities; the possibility that the parties may be unable to achieve expected synergies and operating efficiencies in the Cadence Merger within the expected timeframes or at all and to successfully integrate Cadence's operations and those of the Company; such integration may be more difficult, time consuming or costly than expected; revenues following the Cadence Merger may be lower than expected; potential adverse reactions or changes to business or employee relationships, including those resulting from the announcement or completion of the Cadence Merger; the Company and Cadence's success in executing their respective business plans and strategies and managing the risks involved in the foregoing; the dilution caused by the Company's issuance of additional shares of its capital stock in connection with the Cadence Merger and other factors as detailed from time to time in the Company's press and news releases, periodic and current reports and other filings the Company files with the FDIC.
The foregoing factors should not be construed as exhaustive and should be read in conjunction with those factors that are set forth from time to time in the Company's periodic and current reports filed with the FDIC, including those factors included in the Company's Annual Report on Form 10-K for the year ended December 31, 2020 under the heading "Item 1A. Risk Factors," in the Company's Quarterly Reports on Form 10-Q under the heading "Part II-Item 1A. Risk Factors" and in the Company's Current Reports on Form 8-K.
Although the Company believes that the expectations reflected in these forward-looking statements are reasonable as of the date of this news release, if one or more events related to these or other risks or uncertainties materialize, or if the Company's underlying assumptions prove to be incorrect, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements. Accordingly, undue reliance should not be placed on any forward-looking statements. The forward-looking statements speak only as of the date of this news release, and the Company does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise, except as required by applicable law. New risks and uncertainties may emerge from time to time, and it is not possible for the Company to predict their occurrence or how they will affect the Company. All written or oral forward-looking statements attributable to the Company are expressly qualified in their entirety by this section.
BancorpSouth Bank
Selected Financial Information
(Dollars in thousands, except per share data)
(Unaudited)
Quarter Ended
Quarter Ended
Quarter Ended
Quarter Ended
Quarter Ended
Year to Date
Year to Date
6/30/2021
3/31/2021
12/31/2020
9/30/2020
6/30/2020
6/30/2021
6/30/2020
Earnings Summary:
Interest revenue
$ 199,129
$ 192,783
$ 199,287
$ 200,670
$ 197,472
$ 391,912
$ 399,536
Interest expense
18,947
19,994
22,351
24,739
26,902
38,941
61,436
Net interest revenue
180,182
172,789
176,936
175,931
170,570
352,971
338,100
Provision for credit losses
11,500
-
5,794
16,000
20,000
11,500
67,250
Net interest revenue, after provision
for credit losses
168,682
172,789
171,142
159,931
150,570
341,471
270,850
Noninterest revenue
101,943
87,936
78,826
89,924
91,258
189,879
167,754
Noninterest expense
173,984
155,823
167,117
154,505
162,504
329,807
329,260
Income before income taxes
96,641
104,902
82,851
95,350
79,324
201,543
109,344
Income tax expense
21,102
23,347
14,046
21,525
18,164
44,449
23,923
Net income
$ 75,539
$ 81,555
$ 68,805
$ 73,825
$ 61,160
$ 157,094
$ 85,421
Less: Preferred dividends
2,372
2,372
2,372
2,372
2,372
4,744
4,744
Net income available to common shareholders
$ 73,167
$ 79,183
$ 66,433
$ 71,453
$ 58,788
$ 152,350
$ 80,677
Balance Sheet - Period End Balances
Total assets
$ 27,612,365
$ 25,802,497
$ 24,081,194
$ 23,555,422
$ 23,236,176
$ 27,612,365
$ 23,236,176
Total earning assets
25,129,873
23,542,657
21,792,725
21,340,371
21,119,073
25,129,873
21,119,073
Total securities
9,084,111
7,640,268
6,231,006
5,659,785
4,973,171
9,084,111
4,973,171
Loans and leases, net of unearned income
15,004,039
15,038,808
15,022,479
15,327,735
15,427,421
15,004,039
15,427,421
Allowance for credit losses
265,720
241,117
244,422
250,624
237,025
265,720
237,025
Net book value of acquired loans (included in loans and leases above)
1,646,031
1,023,252
1,160,267
1,320,671
1,510,008
1,646,031
1,510,008
Paycheck protection program (PPP) loans (included in loans and leases above)
167,144
1,146,000
975,421
1,212,246
1,192,715
167,144
1,192,715
Remaining loan mark on acquired loans
13,037
10,069
13,886
16,198
19,977
13,037
19,977
Total deposits
22,838,486
21,173,186
19,846,441
19,412,979
19,179,486
22,838,486
19,179,486
Total deposits and securities sold under agreement to repurchase
23,521,621
21,833,671
20,484,156
20,024,434
19,849,502
23,521,621
19,849,502
Long-term debt
4,189
4,295
4,402
4,508
4,615
4,189
4,615
Junior subordinated debt securities
307,601
297,425
297,250
297,074
296,898
307,601
296,898
Total shareholders' equity
3,069,574
2,825,198
2,822,477
2,782,539
2,732,687
3,069,574
2,732,687
Common shareholders' equity
2,902,581
2,658,205
2,655,484
2,615,546
2,565,694
2,902,581
2,565,694
Balance Sheet - Average Balances
Total assets
$ 26,666,296
$ 24,545,560
$ 23,660,503
$ 23,318,877
$ 22,707,686
$ 25,611,786
$ 21,948,661
Total earning assets
24,211,759
22,346,075
21,497,938
21,241,896
20,594,889
23,284,071
19,854,169
Total securities
8,067,109
6,606,027
5,820,425
5,309,982
4,437,614
7,340,604
4,449,456
Loans and leases, net of unearned income
15,470,539
15,029,076
15,219,402
15,369,684
15,114,732
15,251,027
14,670,759
PPP loans (included in loans and leases above)
973,036
1,062,423
1,139,959
1,207,097
975,029
1,017,483
487,515
Total deposits
22,385,883
20,472,080
19,600,863
19,258,930
18,454,472
21,434,268
17,679,851
Total deposits and securities sold under agreement to repurchase
23,092,969
21,123,774
20,272,881
19,940,330
19,098,599
22,113,811
18,272,768
Long-term debt
4,714
4,378
4,488
4,592
4,699
4,547
4,750
Junior subordinated debt securities
304,056
297,318
297,145
296,969
296,793
300,706
296,705
Total shareholders' equity
2,954,834
2,813,001
2,774,589
2,729,870
2,738,434
2,884,309
2,698,567
Common shareholders' equity
2,787,841
2,646,008
2,607,596
2,562,877
2,571,441
2,717,316
2,531,560
Nonperforming Assets:
Non-accrual loans and leases
$ 61,664
$ 73,142
$ 96,378
$ 122,108
$ 126,753
$ 61,664
$ 126,753
Loans and leases 90+ days past due, still accruing
15,386
21,208
14,320
17,641
9,877
15,386
9,877
Restructured loans and leases, still accruing
7,368
6,971
10,475
11,154
11,575
7,368
11,575
Non-performing loans (NPLs)
84,418
101,321
121,173
150,903
148,205
84,418
148,205
Other real estate owned
17,333
9,351
11,395
6,397
7,164
17,333
7,164
Non-performing assets (NPAs)
$ 101,751
$ 110,672
$ 132,568
$ 157,300
$ 155,369
$ 101,751
$ 155,369
Financial Ratios and Other Data:
Return on average assets
1.14%
1.35%
1.16%
1.26%
1.08%
1.24%
0.78%
Operating return on average assets-excluding MSR*
1.40%
1.28%
1.23%
1.26%
1.12%
1.34%
0.92%
Return on average shareholders' equity
10.25%
11.76%
9.87%
10.76%
8.98%
10.98%
6.37%
Operating return on average shareholders' equity-excluding MSR*
12.62%
11.13%
10.49%
10.72%
9.29%
11.90%
7.46%
Return on average common shareholders' equity
10.53%
12.14%
10.14%
11.09%
9.19%
11.31%
6.41%
Operating return on average common shareholders' equity-excluding MSR*
13.04%
11.47%
10.80%
11.05%
9.53%
12.28%
7.57%
Return on average tangible equity*
15.21%
17.35%
14.66%
16.08%
13.43%
16.25%
9.58%
Operating return on average tangible equity-excluding MSR*
18.73%
16.42%
15.58%
16.03%
13.89%
17.61%
11.22%
Return on average tangible common equity*
16.08%
18.46%
15.54%
17.13%
14.20%
17.24%
9.97%
Operating return on average tangible common equity-excluding MSR*
19.92%
17.44%
16.56%
17.08%
14.71%
18.72%
11.78%
Pre-tax pre-provision net revenue to total average assets*
1.80%
1.64%
1.59%
1.89%
1.81%
1.72%
1.79%
Noninterest income to average assets
1.53%
1.45%
1.33%
1.53%
1.62%
1.50%
1.54%
Noninterest expense to average assets
2.62%
2.57%
2.81%
2.64%
2.88%
2.60%
3.02%
Net interest margin-fully taxable equivalent
2.99%
3.15%
3.29%
3.31%
3.35%
3.07%
3.44%
Net interest margin-fully taxable equivalent, excluding net accretion
on acquired loans and leases
2.94%
3.08%
3.24%
3.23%
3.30%
3.01%
3.38%
Net interest rate spread
2.83%
2.97%
3.07%
3.06%
3.08%
2.90%
3.15%
Efficiency ratio (tax equivalent)*
61.55%
59.64%
65.16%
57.98%
61.89%
60.63%
64.91%
Operating efficiency ratio-excluding MSR (tax equivalent)*
57.66%
60.74%
62.87%
58.03%
61.16%
59.11%
62.26%
Loan/deposit ratio
65.70%
71.03%
75.69%
78.96%
80.44%
65.70%
80.44%
Price to earnings multiple (close)
10.08
12.07
12.88
9.18
11.15
10.08
11.15
Market value to common book value
106.01%
125.39%
105.98%
75.99%
90.91%
106.01%
90.91%
Market value to common book value (avg)
113.49%
119.10%
97.56%
83.75%
84.79%
114.43%
95.14%
Market value to common tangible book value
162.77%
190.14%
161.00%
116.01%
140.44%
162.77%
140.44%
Market value to common tangible book value (avg)
174.26%
180.60%
148.21%
127.86%
130.99%
175.70%
146.99%
Employee FTE
4,835
4,546
4,596
4,691
4,742
4,835
4,742
*Denotes non-GAAP financial measure. Refer to related disclosure and reconciliation on pages 24 and 25.
BancorpSouth Bank
Consolidated Balance Sheets
(Unaudited)
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
(Dollars in thousands)
Assets
Cash and due from banks
$ 331,873
$ 263,289
$ 284,095
$ 306,164
$ 240,354
Interest bearing deposits with other banks
and Federal funds sold
629,390
336,253
133,273
39,782
318,615
Available-for-sale securities, at fair value
9,084,111
7,640,268
6,231,006
5,659,785
4,973,171
Loans and leases*
15,023,228
15,056,559
15,039,239
15,344,006
15,444,794
Less: Unearned income
19,189
17,751
16,760
16,271
17,373
Allowance for credit losses
265,720
241,117
244,422
250,624
237,025
Net loans and leases
14,738,319
14,797,691
14,778,057
15,077,111
15,190,396
Loans held for sale
403,046
518,352
397,076
304,215
391,051
Premises and equipment, net
533,276
508,508
508,147
508,149
504,748
Accrued interest receivable
98,575
106,355
106,318
110,185
101,321
Goodwill
957,474
851,612
851,612
847,531
847,984
Other identifiable intangibles
54,659
53,581
55,899
54,757
56,989
Bank owned life insurance
355,660
335,707
333,264
331,799
329,167
Other real estate owned
17,333
9,351
11,395
6,397
7,164
Other assets
408,649
381,530
391,052
309,547
275,216
Total Assets
$ 27,612,365
$ 25,802,497
$ 24,081,194
$ 23,555,422
$ 23,236,176
Liabilities
Deposits:
Demand: Noninterest bearing
$ 7,619,308
$ 6,990,880
$ 6,341,457
$ 6,336,792
$ 6,385,370
Interest bearing
9,671,662
9,067,373
8,524,010
8,170,402
7,907,637
Savings
2,939,958
2,678,276
2,452,059
2,325,980
2,234,853
Other time
2,607,558
2,436,657
2,528,915
2,579,805
2,651,626
Total deposits
22,838,486
21,173,186
19,846,441
19,412,979
19,179,486
Securities sold under agreement to repurchase
683,135
660,485
637,715
611,455
670,016
Federal funds purchased
and other short-term borrowing
-
-
-
95,217
220
Accrued interest payable
8,718
11,879
10,885
15,286
13,476
Junior subordinated debt securities
307,601
297,425
297,250
297,074
296,898
Long-term debt
4,189
4,295
4,402
4,508
4,615
Other liabilities
700,662
830,029
462,024
336,364
338,778
Total Liabilities
24,542,791
22,977,299
21,258,717
20,772,883
20,503,489
Shareholders' Equity
Preferred stock
166,993
166,993
166,993
166,993
166,993
Common stock
271,536
256,562
256,404
256,396
256,416
Capital surplus
730,294
563,481
565,187
565,635
561,541
Accumulated other comprehensive (loss) income
(34,575)
(43,459)
11,923
18,490
25,191
Retained earnings
1,935,326
1,881,621
1,821,970
1,775,025
1,722,546
Total Shareholders' Equity
3,069,574
2,825,198
2,822,477
2,782,539
2,732,687
Total Liabilities & Shareholders' Equity
$ 27,612,365
$ 25,802,497
$ 24,081,194
$ 23,555,422
$ 23,236,176
*Includes $167.1 million , $1.14 6 billion, $975.4 million , $1.21 2 billion and $1.19 3 billion in PPP loans at June 30, 2021, March 31, 2021, December 31, 2020, September 30, 2020 and June 30, 2020, respectively.
BancorpSouth Bank
Consolidated Average Balance Sheets
(Unaudited)
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
(Dollars in thousands)
Assets
Cash and due from banks
$ 365,647
$ 261,519
$ 247,799
$ 232,421
$ 229,334
Interest bearing deposits with other banks
and Federal funds sold
302,845
412,313
171,650
257,057
760,789
Available-for-sale securities, at fair value
8,067,109
6,606,027
5,820,425
5,309,982
4,437,614
Loans and leases*
15,488,980
15,045,837
15,235,827
15,386,721
15,132,600
Less: Unearned income
18,441
16,761
16,425
17,037
17,868
Allowance for credit losses
245,095
242,935
247,049
236,536
217,508
Net loans and leases
15,225,444
14,786,141
14,972,353
15,133,148
14,897,224
Loans held for sale
361,999
289,755
277,600
296,352
261,377
Premises and equipment, net
526,960
508,551
508,053
507,190
499,767
Accrued interest receivable
100,357
102,190
105,513
104,435
137,456
Goodwill
910,448
851,612
852,472
847,744
848,160
Other identifiable intangibles
52,564
54,876
54,858
56,045
58,280
Bank owned life insurance
348,378
333,837
332,543
330,642
328,037
Other real estate owned
12,293
11,043
14,872
7,754
8,410
Other assets
392,252
327,696
302,365
236,107
241,238
Total Assets
$ 26,666,296
$ 24,545,560
$ 23,660,503
$ 23,318,877
$ 22,707,686
Liabilities
Deposits:
Demand: Noninterest bearing
$ 7,367,832
$ 6,484,703
$ 6,391,006
$ 6,340,942
$ 5,942,570
Interest bearing
9,598,550
8,956,420
8,268,528
8,022,755
7,674,479
Savings
2,851,113
2,550,095
2,386,034
2,280,860
2,152,092
Other time
2,568,388
2,480,862
2,555,295
2,614,373
2,685,331
Total deposits
22,385,883
20,472,080
19,600,863
19,258,930
18,454,472
Securities sold under agreement to repurchase
707,086
651,694
672,018
681,400
644,127
Federal funds purchased
and other short-term borrowing
3,901
1,500
3,893
36,696
269,121
Accrued interest payable
11,169
11,607
14,175
15,589
16,268
Junior subordinated debt securities
304,056
297,318
297,145
296,969
296,793
Long-term debt
4,714
4,378
4,488
4,592
4,699
Other liabilities
294,653
293,982
293,332
294,831
283,772
Total Liabilities
23,711,462
21,732,559
20,885,914
20,589,007
19,969,252
Shareholders' Equity
Preferred stock
166,993
166,993
166,993
166,993
166,993
Common stock
266,676
256,536
256,422
256,412
256,515
Capital surplus
674,949
563,529
568,343
563,267
559,737
Accumulated other comprehensive (loss) income
(30,614)
(5,090)
12,432
24,758
23,016
Retained earnings
1,876,830
1,831,033
1,770,399
1,718,440
1,732,173
Total Shareholders' Equity
2,954,834
2,813,001
2,774,589
2,729,870
2,738,434
Total Liabilities & Shareholders' Equity
$ 26,666,296
$ 24,545,560
$ 23,660,503
$ 23,318,877
$ 22,707,686
*Includes $973.0 million , $1.06 2 billion, $1.14 0 billion, $1.20 7 billion and $975.0 million in PPP loans for the quarter ended June 30, 2021, March 31, 2021, December 31, 2020, September 30, 2020 and June 30, 2020, respectively.
BancorpSouth Bank
Consolidated Condensed Statements of Income
(Dollars in thousands, except per share data)
(Unaudited)
Quarter Ended
Year to Date
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
Jun-21
Jun-20
INTEREST REVENUE:
Loans and leases
$ 171,305
$ 169,195
$ 174,072
$ 175,810
$ 173,164
$ 340,500
$ 350,183
Deposits with other banks
97
108
50
74
207
205
946
Federal funds sold, securities purchased
under agreement to resell, FHLB and
other equity investments
28
6
6
52
178
34
493
Available-for-sale securities:
Taxable
23,983
21,192
21,895
21,280
20,783
45,175
42,291
Tax-exempt
676
687
760
986
1,178
1,363
2,238
Loans held for sale
3,040
1,595
2,504
2,468
1,962
4,635
3,385
Total interest revenue
199,129
192,783
199,287
200,670
197,472
391,912
399,536
INTEREST EXPENSE:
Interest bearing demand
8,247
8,796
9,766
10,773
11,631
17,043
27,153
Savings
626
700
872
1,012
943
1,326
2,233
Other time
6,428
6,966
8,189
9,287
10,296
13,394
21,464
Federal funds purchased and securities sold
under agreement to repurchase
206
203
276
279
291
409
1,727
Short-term and long-term debt
44
45
47
49
477
89
2,334
Junior subordinated debt
3,387
3,269
3,201
3,338
3,263
6,656
6,524
Other
9
15
-
1
1
24
1
Total interest expense
18,947
19,994
22,351
24,739
26,902
38,941
61,436
Net interest revenue
180,182
172,789
176,936
175,931
170,570
352,971
338,100
Provision for credit losses
11,500
-
5,794
16,000
20,000
11,500
67,250
Net interest revenue, after provision for
credit losses
168,682
172,789
171,142
159,931
150,570
341,471
270,850
NONINTEREST REVENUE:
Mortgage banking
9,105
25,310
20,129
27,097
29,557
34,415
39,027
Credit card, debit card and merchant fees
11,589
9,659
10,053
9,938
9,080
21,248
18,256
Deposit service charges
8,849
8,477
9,708
8,892
7,647
17,326
19,329
Security gains(losses), net
96
82
63
18
62
178
(23)
Insurance commissions
36,106
30,667
29,815
32,750
33,118
66,773
62,721
Wealth management
7,543
8,465
6,751
6,471
6,421
16,008
12,991
Gain on sale of PPP loans
21,572
-
-
-
-
21,572
-
Other
7,083
5,276
2,307
4,758
5,373
12,359
15,453
Total noninterest revenue
101,943
87,936
78,826
89,924
91,258
189,879
167,754
NONINTEREST EXPENSE:
Salaries and employee benefits
108,188
101,060
97,215
104,219
108,103
209,248
216,375
Occupancy, net of rental income
13,187
12,814
13,004
13,053
12,890
26,001
25,598
Equipment
4,967
4,564
4,756
4,519
4,762
9,531
9,411
Deposit insurance assessments
1,638
1,455
1,696
1,522
1,962
3,093
3,508
Pension settlement expense
-
-
5,846
-
-
-
-
Other
46,004
35,930
44,600
31,192
34,787
81,934
74,368
Total noninterest expense
173,984
155,823
167,117
154,505
162,504
329,807
329,260
Income before income taxes
96,641
104,902
82,851
95,350
79,324
201,543
109,344
Income tax expense
21,102
23,347
14,046
21,525
18,164
44,449
23,923
Net income
$ 75,539
$ 81,555
$ 68,805
$ 73,825
$ 61,160
$ 157,094
$ 85,421
Less: Preferred dividends
2,372
2,372
2,372
2,372
2,372
4,744
4,744
Net income available to common shareholders
$ 73,167
$ 79,183
$ 66,433
$ 71,453
$ 58,788
$ 152,350
$ 80,677
Net income per common share: Basic
$ 0.69
$ 0.77
$ 0.65
$ 0.70
$ 0.57
$ 1.46
$ 0.78
Diluted
$ 0.69
$ 0.77
$ 0.65
$ 0.69
$ 0.57
$ 1.46
$ 0.78
BancorpSouth Bank
Selected Loan Data
(Dollars in thousands)
(Unaudited)
Quarter Ended
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
LOAN AND LEASE PORTFOLIO:
Commercial and industrial
Commercial and industrial-non real estate
2,056,034
2,865,706
2,673,429
2,937,608
3,038,957
Commercial and industrial-owner occupied
2,273,433
2,260,456
2,281,127
2,297,008
2,296,287
Total commercial and industrial
4,329,467
5,126,162
4,954,556
5,234,616
5,335,244
Commercial real estate
Agricultural
350,067
337,710
317,994
333,839
333,615
Construction, acquisition and development
1,926,421
1,707,800
1,728,682
1,700,030
1,658,678
Commercial real estate
3,323,883
3,127,510
3,211,434
3,229,959
3,323,744
Total commercial real estate
5,600,371
5,173,020
5,258,110
5,263,828
5,316,037
Consumer
Consumer mortgages
3,991,790
3,700,076
3,726,241
3,704,490
3,646,168
Home equity
625,365
608,924
630,097
658,708
655,543
Credit cards
84,699
81,499
89,077
85,760
86,592
Total consumer
4,701,854
4,390,499
4,445,415
4,448,958
4,388,303
All other
372,347
349,127
364,398
380,333
387,837
Total loans
$ 15,004,039
$ 15,038,808
$ 15,022,479
$ 15,327,735
$ 15,427,421
ALLOWANCE FOR CREDIT LOSSES:
Balance, beginning of period
$ 241,117
$ 244,422
$ 250,624
$ 237,025
$ 218,199
Loans and leases charged-off:
Commercial and industrial
Commercial and industrial-non real estate
(1,411)
(2,269)
(4,343)
(560)
(1,506)
Commercial and industrial-owner occupied
(471)
(677)
(1,168)
(441)
(13)
Total commercial and industrial
(1,882)
(2,946)
(5,511)
(1,001)
(1,519)
Commercial real estate
Agricultural
-
(98)
(155)
-
(21)
Construction, acquisition and development
(125)
(807)
(1,773)
-
(9)
Commercial real estate
(498)
(478)
(3,134)
(738)
-
Total commercial real estate
(623)
(1,383)
(5,062)
(738)
(30)
Consumer
Consumer mortgages
(421)
(293)
(731)
(81)
(124)
Home equity
(64)
(50)
(395)
(41)
(162)
Credit cards
(476)
(733)
(458)
(682)
(703)
Total consumer
(961)
(1,076)
(1,584)
(804)
(989)
All other
(396)
(501)
(875)
(599)
(396)
Total loans charged-off
(3,862)
(5,906)
(13,032)
(3,142)
(2,934)
Recoveries:
Commercial and industrial
Commercial and industrial-non real estate
2,318
1,031
779
294
277
Commercial and industrial-owner occupied
735
62
37
163
136
Total commercial and industrial
3,053
1,093
816
457
413
Commercial real estate
Agricultural
8
86
24
3
6
Construction, acquisition and development
1,265
53
73
55
172
Commercial real estate
26
56
45
209
50
Total commercial real estate
1,299
195
142
267
228
Consumer
Consumer mortgages
510
403
230
352
345
Home equity
201
220
151
132
259
Credit cards
254
297
211
270
195
Total consumer
965
920
592
754
799
All other
345
393
280
263
320
Total recoveries
5,662
2,601
1,830
1,741
1,760
Net recoveries(charge-offs)
1,800
(3,305)
(11,202)
(1,401)
(1,174)
Initial allowance on loans purchased with credit deterioration
12,803
-
-
-
-
Provision:
Initial provision for loans acquired during the quarter
11,500
-
-
-
-
Provision for credit losses related to loans and leases
(1,500)
-
5,000
15,000
20,000
Total provision for loans and leases
10,000
-
5,000
15,000
20,000
Balance, end of period
$ 265,720
$ 241,117
$ 244,422
$ 250,624
$ 237,025
Average loans for period
$ 15,470,539
$ 15,029,076
$ 15,219,402
$ 15,369,684
$ 15,114,732
Ratio:
Net (recoveries)charge-offs to average loans (annualized)
(0.05% )
0.09%
0.29%
0.04%
0.03%
RESERVE FOR UNFUNDED COMMITMENTS*
Balance, beginning of period
$ 7,044
$ 7,044
$ 6,250
$ 5,250
$ 5,250
Provision for credit losses for unfunded commitments
1,500
-
794
1,000
-
Balance, end of period
$ 8,544
$ 7,044
$ 7,044
$ 6,250
$ 5,250
*The Reserve for Unfunded Commitments is classified in other liabilities on the balance sheet.
BancorpSouth Bank
Selected Loan Data
(Dollars in thousands)
(Unaudited)
Quarter Ended
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
BXS ORIGINATED LOANS AND LEASES:
Loans and leases charged off:
Commercial and industrial
Commercial and industrial-non real estate
$ (1,108)
$ (1,971)
$ (1,991)
$ (490)
$ (420)
Commercial and industrial-owner occupied
(471)
(187)
(303)
(434)
(13)
Total commercial and industrial
(1,579)
(2,158)
(2,294)
(924)
(433)
Commercial real estate
Agricultural
-
(94)
(124)
-
-
Construction, acquisition and development
(113)
(344)
(1,709)
-
-
Commercial real estate
(110)
(27)
(1,704)
(155)
-
Total real estate
(223)
(465)
(3,537)
(155)
-
Consumer
Consumer mortgages
(398)
(181)
(537)
(70)
(113)
Home equity
(64)
(50)
(395)
(41)
(162)
Credit cards
(476)
(733)
(458)
(682)
(703)
Total consumer
(938)
(964)
(1,390)
(793)
(978)
All other
(315)
(399)
(698)
(459)
(288)
Total loans charged off
(3,055)
(3,986)
(7,919)
(2,331)
(1,699)
Recoveries:
Commercial and industrial
Commercial and industrial-non real estate
1,014
387
645
231
210
Commercial and industrial-owner occupied
325
61
27
163
136
Total commercial and industrial
1,339
448
672
394
346
Commercial real estate
Agricultural
(65)
5
23
3
5
Construction, acquisition and development
1,184
51
73
55
170
Commercial real estate
(403)
36
45
208
50
Total real estate
716
92
141
266
225
Consumer
Consumer mortgages
359
392
221
350
343
Home equity
199
219
149
130
258
Credit cards
254
297
211
270
195
Total consumer
812
908
581
750
796
All other
287
325
249
235
275
Total recoveries
3,154
1,773
1,643
1,645
1,642
Net recoveries/(charge-offs)
$ 99
$ (2,213)
$ (6,276)
$ (686)
$ (57)
BancorpSouth Bank
Selected Loan Data
(Dollars in thousands)
(Unaudited)
Quarter Ended
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
ACQUIRED LOANS AND LEASES:
Loans and leases charged off:
Commercial and industrial
Commercial and industrial-non real estate
$ (303)
$ (298)
$ (2,352)
$ (70)
$ (1,086)
Commercial and industrial-owner occupied
-
(490)
(865)
(7)
-
Total commercial and industrial
(303)
(788)
(3,217)
(77)
(1,086)
Commercial real estate
Agricultural
-
(4)
(31)
-
(21)
Construction, acquisition and development
(12)
(463)
(64)
-
(9)
Commercial real estate
(388)
(451)
(1,430)
(583)
-
Total real estate
(400)
(918)
(1,525)
(583)
(30)
Consumer
Consumer mortgages
(23)
(112)
(194)
(11)
(11)
Home equity
-
-
-
-
-
Credit cards
-
-
-
-
-
Total consumer
(23)
(112)
(194)
(11)
(11)
All other
(81)
(102)
(177)
(140)
(108)
Total loans charged off
(807)
(1,920)
(5,113)
(811)
(1,235)
Recoveries:
Commercial and industrial
Commercial and industrial-non real estate
1,304
644
134
63
67
Commercial and industrial-owner occupied
410
1
10
-
-
Total commercial and industrial
1,714
645
144
63
67
Commercial real estate
Agricultural
73
81
1
-
1
Construction, acquisition and development
81
2
-
-
2
Commercial real estate
429
20
-
1
-
Total real estate
583
103
1
1
3
Consumer
Consumer mortgages
151
11
9
2
2
Home equity
2
1
2
2
1
Credit cards
-
-
-
-
-
Total consumer
153
12
11
4
3
All other
58
68
31
28
45
Total recoveries
2,508
828
187
96
118
Net recoveries/(charge-offs)
$ 1,701
$ (1,092)
$ (4,926)
$ (715)
$ (1,117)
BancorpSouth Bank
Selected Loan Data
(Dollars in thousands)
(Unaudited)
Quarter Ended
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
NON-PERFORMING ASSETS
NON-PERFORMING LOANS AND LEASES:
Nonaccrual Loans and Leases
Commercial and industrial
Commercial and industrial-non real estate
$ 10,485
$ 9,703
$ 12,768
$ 17,936
$ 16,124
Commercial and industrial-owner occupied
11,872
15,019
15,783
18,343
16,745
Total commercial and industrial
22,357
24,722
28,551
36,279
32,869
Commercial real estate
Agricultural
1,284
2,293
5,013
5,907
5,244
Construction, acquisition and development
2,582
8,494
9,738
10,434
9,715
Commercial real estate
13,483
12,838
16,249
32,554
45,047
Total commercial real estate
17,349
23,625
31,000
48,895
60,006
Consumer
Consumer mortgages
20,532
23,535
32,951
32,872
30,672
Home equity
686
847
2,657
3,325
2,584
Credit cards
122
131
173
144
90
Total consumer
21,340
24,513
35,781
36,341
33,346
All other
618
282
1,046
593
532
Total nonaccrual loans and leases
$ 61,664
$ 73,142
$ 96,378
$ 122,108
$ 126,753
Loans and Leases 90+ Days Past Due, Still Accruing:
15,386
21,208
14,320
17,641
9,877
Restructured Loans and Leases, Still Accruing
7,368
6,971
10,475
11,154
11,575
Total non-performing loans and leases
$ 84,418
$ 101,321
$ 121,173
$ 150,903
$ 148,205
OTHER REAL ESTATE OWNED:
17,333
9,351
11,395
6,397
7,164
Total Non-performing Assets
$ 101,751
$ 110,672
$ 132,568
$ 157,300
$ 155,369
BXS originated assets
$ 81,039
$ 85,266
$ 97,025
$ 109,418
$ 94,155
Acquired assets
20,712
25,406
35,543
47,882
61,214
Total Non-performing Assets
$ 101,751
$ 110,672
$ 132,568
$ 157,300
$ 155,369
Additions to Nonaccrual Loans and Leases During the Quarter
$ 16,005
$ 10,029
$ 11,087
$ 19,973
$ 36,619
Loans and Leases 30-89 Days Past Due, Still Accruing:
BXS originated loans
$ 36,748
$ 34,929
$ 40,424
$ 42,978
$ 35,002
Acquired loans
10,701
2,798
6,048
5,694
10,450
Total Loans and Leases 30-89 days past due, still accruing
$ 47,449
$ 37,727
$ 46,472
$ 48,672
$ 45,452
BancorpSouth Bank
Selected Loan Data
(Dollars in thousands)
(Unaudited)
June 30, 2021
Purchased
Special
Credit
Pass
Mention
Substandard
Doubtful
Loss
Impaired
Deteriorated (Loss)
Total
LOAN PORTFOLIO BY INTERNALLY ASSIGNED GRADE:
Commercial and industrial
Commercial and industrial-non real estate
$ 2,005,765
$ -
$ 40,286
$ 171
$ -
$ 1,885
$ 7,927
$ 2,056,034
Commercial and industrial-owner occupied
2,193,141
4,000
63,638
-
-
7,452
5,202
2,273,433
Total commercial and industrial
4,198,906
4,000
103,924
171
-
9,337
13,129
4,329,467
Commercial real estate
Agricultural
341,430
-
6,326
-
-
-
2,311
350,067
Construction, acquisition and development
1,879,040
-
40,498
-
-
714
6,169
1,926,421
Commercial real estate
3,150,789
-
159,066
-
-
9,316
4,712
3,323,883
Total commercial real estate
5,371,259
-
205,890
-
-
10,030
13,192
5,600,371
Consumer
Consumer mortgages
3,926,705
-
63,645
-
-
1,256
184
3,991,790
Home equity
619,269
-
6,096
-
-
-
-
625,365
Credit cards
84,699
-
-
-
-
-
-
84,699
Total consumer
4,630,673
-
69,741
-
-
1,256
184
4,701,854
All other
362,556
-
9,726
-
-
-
65
372,347
Total loans
$ 14,563,394
$ 4,000
$ 389,281
$ 171
$ -
$ 20,623
$ 26,570
$ 15,004,039
BXS originated loans
$ 13,007,886
$ 4,000
$ 219,242
$ 171
$ -
$ 13,989
$ -
$ 13,245,288
Acquired loans*
1,555,508
-
170,039
-
-
6,634
26,570
1,758,751
Total Loans
$ 14,563,394
$ 4,000
$ 389,281
$ 171
$ -
$ 20,623
$ 26,570
$ 15,004,039
March 31, 2021
Purchased
Special
Credit
Pass
Mention
Substandard
Doubtful
Loss
Impaired
Deteriorated (Loss)
Total
LOAN PORTFOLIO BY INTERNALLY ASSIGNED GRADE:
Commercial and industrial
Commercial and industrial-non real estate
$ 2,825,297
$ -
$ 30,526
$ 171
$ -
$ 1,909
$ 7,803
$ 2,865,706
Commercial and industrial-owner occupied
2,184,516
3,471
58,754
-
-
11,086
2,629
2,260,456
Total commercial and industrial
5,009,813
3,471
89,280
171
-
12,995
10,432
5,126,162
Commercial real estate
Agricultural
331,802
-
2,877
-
-
705
2,326
337,710
Construction, acquisition and development
1,659,787
1,534
38,665
-
-
2,448
5,366
1,707,800
Commercial real estate
2,987,075
-
127,147
-
-
9,642
3,646
3,127,510
Total commercial real estate
4,978,664
1,534
168,689
-
-
12,795
11,338
5,173,020
Consumer
Consumer mortgages
3,629,182
-
67,881
-
-
2,825
188
3,700,076
Home equity
603,768
-
5,156
-
-
-
-
608,924
Credit cards
81,499
-
-
-
-
-
-
81,499
Total consumer
4,314,449
-
73,037
-
-
2,825
188
4,390,499
All other
343,656
-
5,404
-
-
-
67
349,127
Total loans
$ 14,646,582
$ 5,005
$ 336,410
$ 171
$ -
$ 28,615
$ 22,025
$ 15,038,808
BXS originated loans
$ 13,635,053
$ 5,005
$ 252,140
$ 171
$ -
$ 18,188
$ -
$ 13,910,557
Acquired loans*
1,011,529
-
84,270
-
-
10,427
22,025
1,128,251
Total Loans
$ 14,646,582
$ 5,005
$ 336,410
$ 171
$ -
$ 28,615
$ 22,025
$ 15,038,808
*Includes certain loans that are no longer included in the "Net book value of acquired loans" on page 10 as a result of maturity, refinance, or other triggering event.
BancorpSouth Bank
Selected Loan Data
(Dollars in thousands)
(Unaudited)
Quarter Ended
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
LOAN PORTFOLIO BY INTERNALLY ASSIGNED GRADE:
Pass
$ 14,563,394
$ 14,646,582
$ 14,602,079
$ 14,877,943
$ 14,985,673
Special Mention
4,000
5,005
8,736
-
4,264
Substandard
389,281
336,410
358,988
372,483
350,264
Doubtful
171
171
172
178
179
Loss
-
-
-
-
-
Impaired
20,623
28,615
29,545
49,818
57,406
Purchased Credit Deteriorated (Loss)
26,570
22,025
22,959
27,313
29,635
Total
$ 15,004,039
$ 15,038,808
$ 15,022,479
$ 15,327,735
$ 15,427,421
BXS ORIGINATED LOAN PORTFOLIO BY INTERNALLY
ASSIGNED GRADE:
Pass
$ 13,007,886
$ 13,635,053
$ 13,459,529
$ 13,592,460
$ 13,516,292
Special Mention
4,000
5,005
8,736
-
2,741
Substandard
219,242
252,140
259,682
252,875
231,687
Doubtful
171
171
172
178
179
Loss
-
-
-
-
-
Impaired
13,989
18,188
17,520
30,909
28,288
Purchased Credit Deteriorated (Loss)
-
-
-
-
-
Total
$ 13,245,288
$ 13,910,557
$ 13,745,639
$ 13,876,422
$ 13,779,187
ACQUIRED LOAN PORTFOLIO BY INTERNALLY
ASSIGNED GRADE:
Pass
$ 1,555,508
$ 1,011,529
$ 1,142,550
$ 1,285,483
$ 1,469,381
Special Mention
-
-
-
-
1,523
Substandard
170,039
84,270
99,306
119,608
118,577
Doubtful
-
-
-
-
-
Loss
-
-
-
-
-
Impaired
6,634
10,427
12,025
18,909
29,118
Purchased Credit Deteriorated (Loss)
26,570
22,025
22,959
27,313
29,635
Total
$ 1,758,751
$ 1,128,251
$ 1,276,840
$ 1,451,313
$ 1,648,234
BancorpSouth Bank
Geographical Information
(Dollars in thousands)
(Unaudited)
June 30, 2021
Alabama
Tennessee
and Florida
and
Panhandle
Arkansas
Louisiana
Mississippi
Missouri
Georgia
Texas
Other
Total
LOAN AND LEASE PORTFOLIO:
Commercial and industrial
Commercial and industrial-non real estate
$ 200,136
$ 140,703
$ 189,328
$ 438,063
$ 70,107
$ 124,418
$ 886,927
$ 6,352
$ 2,056,034
Commercial and industrial-owner occupied
304,416
160,747
217,698
579,772
63,502
119,129
827,525
644
2,273,433
Total commercial and industrial
504,552
301,450
407,026
1,017,835
133,609
243,547
1,714,452
6,996
4,329,467
Commercial real estate
Agricultural
32,020
68,507
22,108
66,530
6,920
12,187
140,762
1,033
350,067
Construction, acquisition and development
241,404
56,528
70,949
359,989
20,030
92,610
1,084,692
219
1,926,421
Commercial real estate
476,140
313,530
236,752
632,114
202,824
230,910
1,229,165
2,448
3,323,883
Total commercial real estate
749,564
438,565
329,809
1,058,633
229,774
335,707
2,454,619
3,700
5,600,371
Consumer
Consumer mortgages
703,186
322,580
343,656
815,369
109,712
356,234
1,305,445
35,608
3,991,790
Home equity
128,529
43,435
70,696
201,327
16,118
126,052
39,208
-
625,365
Credit cards
-
-
-
-
-
-
-
84,699
84,699
Total consumer
831,715
366,015
414,352
1,016,696
125,830
482,286
1,344,653
120,307
4,701,854
All other
64,976
31,056
32,756
122,687
1,750
20,578
98,232
312
372,347
Total loans
$ 2,150,807
$ 1,137,086
$ 1,183,943
$ 3,215,851
$ 490,963
$ 1,082,118
$ 5,611,956
$ 131,315
$ 15,004,039
Loan growth, excluding loans acquired during
the quarter (annualized)
5.29%
(30.14% )
(48.57% )
(28.97% )
(11.70% )
(39.49% )
(16.63% )
(69.02% )
(22.86% )
Loan growth, excluding PPP loans (annualized)
101.71%
(6.60% )
(5.03% )
(5.16% )
5.60%
25.94%
36.65%
(13.45% )
25.18%
NON-PERFORMING LOANS AND LEASES:
Commercial and industrial
Commercial and industrial-non real estate
$ 525
$ 689
$ 1,369
$ 973
$ 936
$ 314
$ 6,178
$ -
$ 10,984
Commercial and industrial-owner occupied
571
827
1,067
1,076
163
-
10,758
-
14,462
Total commercial and industrial
1,096
1,516
2,436
2,049
1,099
314
16,936
-
25,446
Commercial real estate
Agricultural
63
219
-
964
-
-
98
-
1,344
Construction, acquisition and development
119
630
72
25
-
191
1,676
-
2,713
Commercial real estate
2,756
171
1,741
872
-
-
8,762
-
14,302
Total commercial real estate
2,938
1,020
1,813
1,861
-
191
10,536
-
18,359
Consumer
Consumer mortgages
9,012
3,438
3,764
9,050
1,454
3,167
6,649
1,184
37,718
Home equity
244
50
298
270
87
233
132
-
1,314
Credit cards
-
-
-
-
-
-
-
771
771
Total consumer
9,256
3,488
4,062
9,320
1,541
3,400
6,781
1,955
39,803
All other
121
2
45
190
-
48
404
-
810
Total loans
$ 13,411
$ 6,026
$ 8,356
$ 13,420
$ 2,640
$ 3,953
$ 34,657
$ 1,955
$ 84,418
NON-PERFORMING LOANS AND LEASES
AS A PERCENTAGE OF OUTSTANDING:
Commercial and industrial
Commercial and industrial-non real estate
0.26%
0.49%
0.72%
0.22%
1.34%
0.25%
0.70%
0.00%
0.53%
Commercial and industrial-owner occupied
0.19%
0.51%
0.49%
0.19%
0.26%
0.00%
1.30%
0.00%
0.64%
Total commercial and industrial
0.22%
0.50%
0.60%
0.20%
0.82%
0.13%
0.99%
0.00%
0.59%
Commercial real estate
Agricultural
0.20%
0.32%
0.00%
1.45%
0.00%
0.00%
0.07%
0.00%
0.38%
Construction, acquisition and development
0.05%
1.11%
0.10%
0.01%
0.00%
0.21%
0.15%
0.00%
0.14%
Commercial real estate
0.58%
0.05%
0.74%
0.14%
0.00%
0.00%
0.71%
0.00%
0.43%
Total commercial real estate
0.39%
0.23%
0.55%
0.18%
0.00%
0.06%
0.43%
0.00%
0.33%
Consumer
Consumer mortgages
1.28%
1.07%
1.10%
1.11%
1.33%
0.89%
0.51%
3.33%
0.94%
Home equity
0.19%
0.12%
0.42%
0.13%
0.54%
0.18%
0.34%
N/A
0.21%
Credit cards
N/A
N/A
N/A
N/A
N/A
N/A
N/A
0.91%
0.91%
Total consumer
1.11%
0.95%
0.98%
0.92%
1.22%
0.70%
0.50%
1.63%
0.85%
All other
0.19%
0.01%
0.14%
0.15%
0.00%
0.23%
0.41%
0.00%
0.22%
Total loans
0.62%
0.53%
0.71%
0.42%
0.54%
0.37%
0.62%
1.49%
0.56%
BancorpSouth Bank
Noninterest Revenue and Expense
(Dollars in thousands)
(Unaudited)
Quarter Ended
Year to Date
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
Jun-21
Jun-20
NONINTEREST REVENUE:
Mortgage banking excl. MSR and MSR Hedge market value adj
$ 11,013
$ 17,929
$ 19,917
$ 26,667
$ 31,930
$ 28,942
$ 52,483
MSR and MSR Hedge market value adjustment
(1,908)
7,381
212
430
(2,373)
5,473
(13,456)
Credit card, debit card and merchant fees
11,589
9,659
10,053
9,938
9,080
21,248
18,256
Deposit service charges
8,849
8,477
9,708
8,892
7,647
17,326
19,329
Securities gains (losses), net
96
82
63
18
62
178
(23)
Insurance commissions
36,106
30,667
29,815
32,750
33,118
66,773
62,721
Trust income
4,434
5,129
4,046
3,902
4,064
9,563
8,077
Annuity fees
50
51
53
53
54
101
109
Brokerage commissions and fees
3,059
3,285
2,652
2,516
2,303
6,344
4,805
Gain on sale of PPP loans
21,572
-
-
-
-
21,572
-
Bank-owned life insurance
1,845
2,020
2,425
1,902
1,855
3,865
3,854
Other miscellaneous income
5,238
3,256
(118)
2,856
3,518
8,494
11,599
Total noninterest revenue
$ 101,943
$ 87,936
$ 78,826
$ 89,924
$ 91,258
$ 189,879
$ 167,754
NONINTEREST EXPENSE:
Salaries and employee benefits
$ 108,188
$ 101,060
$ 97,215
$ 104,219
$ 108,103
$ 209,248
$ 216,375
Occupancy, net of rental income
13,187
12,814
13,004
13,053
12,890
26,001
25,598
Equipment
4,967
4,564
4,756
4,519
4,762
9,531
9,411
Deposit insurance assessments
1,638
1,455
1,696
1,522
1,962
3,093
3,508
Pension settlement expense
-
-
5,846
-
-
-
-
Advertising
783
1,004
899
826
918
1,787
2,017
Foreclosed property expense
649
1,021
2,122
(278)
1,306
1,670
2,230
Telecommunications
1,517
1,398
1,448
1,462
1,512
2,915
2,973
Public relations
1,012
741
897
1,130
459
1,753
1,139
Data processing
11,024
10,424
9,980
9,477
9,693
21,448
19,339
Computer software
4,887
5,113
5,301
4,779
4,979
10,000
9,294
Amortization of intangibles
2,401
2,318
2,499
2,357
2,355
4,719
4,749
Legal
774
1,166
1,474
(316)
1,375
1,940
2,273
Merger expense
9,962
1,649
212
129
510
11,611
5,004
Postage and shipping
1,317
1,547
1,418
1,199
1,198
2,864
2,639
Other miscellaneous expense
11,678
9,549
18,350
10,427
10,482
21,227
22,711
Total noninterest expense
$ 173,984
$ 155,823
$ 167,117
$ 154,505
$ 162,504
$ 329,807
$ 329,260
INSURANCE COMMISSIONS:
Property and casualty commissions
$ 26,040
$ 21,949
$ 21,304
$ 24,060
$ 23,644
$ 47,989
$ 44,890
Life and health commissions
7,130
6,494
5,915
6,072
6,771
13,624
12,946
Risk management income
611
613
829
609
540
1,224
1,072
Other
2,325
1,611
1,767
2,009
2,163
3,936
3,813
Total insurance commissions
$ 36,106
$ 30,667
$ 29,815
$ 32,750
$ 33,118
$ 66,773
$ 62,721
BancorpSouth Bank
Selected Additional Information
(Dollars in thousands)
(Unaudited)
Quarter Ended
Jun-21
Mar-21
Dec-20
Sep-20
Jun-20
MORTGAGE SERVICING RIGHTS:
Fair value, beginning of period
$ 60,332
$ 47,571
$ 44,944
$ 40,821
$ 42,243
Additions to mortgage servicing rights:
Originations of servicing assets
6,833
5,588
6,608
7,041
4,297
Changes in fair value:
Due to payoffs/paydowns
(2,946)
(3,273)
(3,898)
(3,198)
(3,144)
Due to change in valuation inputs or
assumptions used in the valuation model
(3,604)
10,446
(83)
280
(2,575)
Other changes in fair value
-
-
-
-
-
Fair value, end of period
$ 60,615
$ 60,332
$ 47,571
$ 44,944
$ 40,821
MORTGAGE BANKING REVENUE:
Production revenue:
Origination
$ 8,646
$ 15,955
$ 18,561
$ 23,632
$ 30,194
Servicing
5,313
5,247
5,254
6,233
4,880
Payoffs/Paydowns
(2,946)
(3,273)
(3,898)
(3,198)
(3,144)
Total production revenue
11,013
17,929
19,917
26,667
31,930
Market value adjustment on MSR
(3,604)
10,446
(83)
280
(2,575)
Market value adjustment on MSR Hedge
1,696
(3,065)
295
150
202
Total mortgage banking revenue
$ 9,105
$ 25,310
$ 20,129
$ 27,097
$ 29,557
Mortgage loans serviced
$ 7,407,690
$ 7,259,808
$ 7,330,293
$ 7,218,090
$ 7,000,425
MSR/mtg loans serviced
0.82%
0.83%
0.65%
0.62%
0.58%
AVAILABLE-FOR-SALE SECURITIES, at fair value
U.S. Government agencies
2,758,412
2,642,646
2,871,408
$ 3,116,458
$ 3,348,206
U.S. Government agency issued residential
mortgage-back securities
4,709,540
3,438,246
2,421,409
1,625,325
699,864
U.S. Government agency issued commercial
mortgage-back securities
1,478,058
1,414,345
806,206
758,116
759,980
Obligations of states and political subdivisions
117,248
126,589
113,953
141,896
163,121
Corporate bonds
20,853
18,442
18,030
17,990
2,000
Total available-for-sale securities
$ 9,084,111
$ 7,640,268
$ 6,231,006
$ 5,659,785
$ 4,973,171
BancorpSouth Bank
Reconciliation of Non-GAAP Measures and Other Non-GAAP Ratio Definitions
(Dollars in thousands, except per share amounts)
(Unaudited)
Management evaluates the Company's capital position and operating performance by utilizing certain financial measures not calculated in accordance with U.S. Generally Accepted Accounting Principles (GAAP), including net operating income, net operating income available to common shareholders, net operating income-excluding MSR, net operating income available to common shareholders-excluding MSR, pre-tax pre-provision net revenue, total operating expense, tangible shareholders' equity to tangible assets, tangible shareholders' equity to tangible assets-excluding PPP loans, tangible common shareholders' equity to tangible assets, tangible common shareholders' equity to tangible assets-excluding PPP loans, return on average tangible equity, return on average tangible common equity, operating return on average tangible equity-excluding MSR, operating return on average tangible common equity-excluding MSR, operating return on average assets-excluding MSR, operating return on average shareholders' equity-excluding MSR, operating return on average common shareholders' equity-excluding MSR, pre-tax pre-provision net revenue to total average assets, average tangible book value per common share, operating earnings per common share, operating earnings per common share-excluding MSR, efficiency ratio (tax equivalent) and operating efficiency ratio-excluding MSR (tax equivalent). The Company has included these non-GAAP financial measures in this news release for the applicable periods presented. Management believes that the presentation of these non-GAAP financial measures (i) provides important supplemental information that contributes to a proper understanding of the Company's capital position and operating performance, (ii) enables a more complete understanding of factors and trends affecting the Company's business and (iii) allows investors to evaluate the Company's performance in a manner similar to management, the financial services industry, bank stock analysts and bank regulators. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are presented in the tables below. These non-GAAP financial measures should not be considered as substitutes for GAAP financial measures, and the Company strongly encourages investors to review the GAAP financial measures included in this news release and not to place undue reliance upon any single financial measure. In addition, because non-GAAP financial measures are not standardized, it may not be possible to compare the non-GAAP financial measures presented in this news release with other companies' non-GAAP financial measures having the same or similar names.
Reconciliation of Net Operating Income, Net Operating Income Available to Common Shareholders, Net Operating Income-Excluding MSR, and Net Operating Income Available to Common Shareholders-excluding MSR to Net Income:
Quarter ended
Year to Date
6/30/2021
3/31/2021
12/31/2020
9/30/2020
6/30/2020
6/30/2021
6/30/2020
Net income
$ 75,539
$ 81,555
$ 68,805
$ 73,825
$ 61,160
$ 157,094
$ 85,421
Plus:
Merger expense, net of tax
7,476
1,238
159
97
383
8,714
3,755
Initial provision for acquired loans,
net of tax
8,631
-
-
-
-
8,631
751
Pension settlement expense, net of tax
-
-
4,388
-
-
-
-
Less:
Security gains(losses), net of tax
72
62
48
13
47
134
(17)
Net operating income
$ 91,574
$ 82,731
$ 73,304
$ 73,909
$ 61,496
$ 174,305
$ 89,944
Less:
Preferred dividends
2,372
2,372
2,372
2,372
2,372
4,744
4,744
Net operating income available to
common shareholders
$ 89,202
$ 80,359
$ 70,932
$ 71,537
$ 59,124
$ 169,561
$ 85,200
Net operating income
$ 91,574
$ 82,731
$ 73,304
$ 73,909
$ 61,496
$ 174,305
$ 89,944
Less:
MSR market value adjustment, net of tax
(1,432)
5,539
159
323
(1,781)
4,107
(10,099)
Net operating income-excluding MSR
$ 93,006
$ 77,192
$ 73,145
$ 73,586
$ 63,277
$ 170,198
$ 100,043
Less:
Preferred dividends
2,372
2,372
2,372
2,372
2,372
4,744
4,744
Net operating income available to common
shareholders-excluding MSR
$ 90,634
$ 74,820
$ 70,773
$ 71,214
$ 60,905
$ 165,454
$ 95,299
Reconciliation of Net Income to Pre-Tax Pre-Provision Net Revenue
Net income
$ 75,539
$ 81,555
$ 68,805
$ 73,825
$ 61,160
$ 157,094
$ 85,421
Plus:
Provision for credit losses
11,500
-
5,794
16,000
20,000
11,500
67,250
Merger expense
9,962
1,649
212
129
510
11,611
5,004
Pension settlement expense
-
-
5,846
-
-
-
-
Income tax expense
21,102
23,347
14,046
21,525
18,164
44,449
23,923
Less:
Security gains(losses)
96
82
63
18
62
178
(23)
MSR market value adjustment
(1,908)
7,381
212
430
(2,373)
5,473
(13,456)
Pre-tax pre-provision net revenue
$ 119,915
$ 99,088
$ 94,428
$ 111,031
$ 102,145
$ 219,003
$ 195,077
Reconciliation of Total Operating Expense to Total Noninterest Expense:
Total noninterest expense
$ 173,984
$ 155,823
$ 167,911
$ 155,505
$ 162,504
$ 329,807
$ 329,260
Less:
Merger expense
9,962
1,649
212
129
510
11,611
5,004
Pension settlement expense
-
-
5,846
-
-
-
-
Total operating expense
$ 164,022
$ 154,174
$ 161,853
$ 155,376
$ 161,994
$ 318,196
$ 324,256
BancorpSouth Bank
Reconciliation of Non-GAAP Measures and Other Non-GAAP Ratio Definitions
(Dollars in thousands, except per share amounts)
(Unaudited)
Reconciliation of Tangible Assets and Tangible Shareholders' Equity to
Total Assets and Total Shareholders' Equity:
Quarter ended
Year to Date
6/30/2021
3/31/2021
12/31/2020
9/30/2020
6/30/2020
6/30/2021
6/30/2020
Tangible assets
Total assets
$ 27,612,365
$ 25,802,497
$ 24,081,194
$ 23,555,422
$ 23,236,176
$ 27,612,365
$ 23,236,176
Less:
Goodwill
957,474
851,612
851,612
847,531
847,984
957,474
847,984
Other identifiable intangible assets
54,659
53,581
55,899
54,757
56,989
54,659
56,989
Total tangible assets
$ 26,600,232
$ 24,897,304
$ 23,173,683
$ 22,653,134
$ 22,331,203
$ 26,600,232
$ 22,331,203
Less:
PPP loans
167,144
1,146,000
975,421
1,212,246
1,192,715
167,144
1,192,715
Total tangible assets-excluding PPP loans
$ 26,433,088
$ 23,751,304
$ 22,198,262
$ 21,440,888
$ 21,138,488
$ 26,433,088
$ 21,138,488
PERIOD END BALANCES:
Tangible shareholders' equity
Total shareholders' equity
$ 3,069,574
$ 2,825,198
$ 2,822,477
$ 2,782,539
$ 2,732,687
$ 3,069,574
$ 2,732,687
Less:
Goodwill
957,474
851,612
851,612
847,531
847,984
957,474
847,984
Other identifiable intangible assets
54,659
53,581
55,899
54,757
56,989
54,659
56,989
Total tangible shareholders' equity
$ 2,057,441
$ 1,920,005
$ 1,914,966
$ 1,880,251
$ 1,827,714
$ 2,057,441
$ 1,827,714
Less:
Preferred stock
166,993
166,993
166,993
166,993
166,993
166,993
166,993
Total tangible common shareholders' equity
$ 1,890,448
$ 1,753,012
$ 1,747,973
$ 1,713,258
$ 1,660,721
$ 1,890,448
$ 1,660,721
AVERAGE BALANCES:
Tangible shareholders' equity
Total shareholders' equity
$ 2,954,834
$ 2,813,001
$ 2,774,589
$ 2,729,870
$ 2,738,434
$ 2,884,309
$ 2,698,567
Less:
Goodwill
910,448
851,612
852,472
847,744
848,160
881,192
846,398
Other identifiable intangible assets
52,564
54,876
54,858
56,045
58,280
53,714
58,542
Total tangible shareholders' equity
$ 1,991,822
$ 1,906,513
$ 1,867,259
$ 1,826,081
$ 1,831,994
$ 1,949,403
$ 1,793,627
Less:
Preferred stock
166,993
166,993
166,993
166,993
166,993
166,993
167,007
Total tangible common shareholders' equity
$ 1,824,829
$ 1,739,520
$ 1,700,266
$ 1,659,088
$ 1,665,001
$ 1,782,410
$ 1,626,620
Total average assets
$ 26,666,296
$ 24,545,560
$ 23,660,503
$ 23,318,877
$ 22,707,686
$ 25,611,786
$ 21,948,661
Total shares of common stock outstanding
108,614,595
102,624,818
102,561,480
102,558,459
102,566,301
108,614,595
102,566,301
Average shares outstanding-diluted
105,838,056
102,711,584
102,817,409
102,839,749
102,827,225
104,274,819
103,780,561
Tangible shareholders' equity to tangible assets (1)
7.73%
7.71%
8.26%
8.30%
8.18%
7.73%
8.18%
Tangible shareholders' equity to tangible assets-excluding PPP loans (2)
7.78%
8.08%
8.63%
8.77%
8.65%
7.78%
8.65%
Tangible common shareholders' equity to tangible assets (3)
7.11%
7.04%
7.54%
7.56%
7.44%
7.11%
7.44%
Tangible common shareholders' equity to tangible assets-excluding PPP loans (4)
7.15%
7.38%
7.87%
7.99%
7.86%
7.15%
7.86%
Return on average tangible equity (5)
15.21%
17.35%
14.66%
16.08%
13.43%
16.25%
9.58%
Return on average tangible common equity (6)
16.08%
18.46%
15.54%
17.13%
14.20%
17.24%
9.97%
Operating return on average tangible equity-excluding MSR (7)
18.73%
16.42%
15.58%
16.03%
13.89%
17.61%
11.22%
Operating return on average tangible common equity-excluding MSR (8)
19.92%
17.44%
16.56%
17.08%
14.71%
18.72%
11.78%
Operating return on average assets-excluding MSR (9)
1.40%
1.28%
1.23%
1.26%
1.12%
1.34%
0.92%
Operating return on average shareholders' equity-excluding MSR (10)
12.62%
11.13%
10.49%
10.72%
9.29%
11.90%
7.46%
Operating return on average common shareholders' equity-excluding MSR (11)
13.04%
11.47%
10.80%
11.05%
9.53%
12.28%
7.57%
Pre-tax pre-provision net revenue to total average assets (12)
1.80%
1.64%
1.59%
1.89%
1.81%
1.72%
1.79%
Tangible book value per common share (13)
$ 17.41
$ 17.08
$ 17.04
$ 16.71
$ 16.19
$ 17.41
$ 16.19
Operating earnings per common share (14)
$ 0.84
$ 0.78
$ 0.69
$ 0.70
$ 0.57
$ 1.63
$ 0.82
Operating earnings per common share-excluding MSR (15)
$ 0.86
$ 0.73
$ 0.69
$ 0.69
$ 0.59
$ 1.59
$ 0.92
(1)
Tangible shareholders' equity to tangible assets is defined by the Company as total shareholders' equity less goodwill and other identifiable intangible assets, divided by the difference of total assets less goodwill and other identifiable intangible assets.
(2)
Tangible shareholders' equity to tangible assets-excluding PPP loans is defined by the Company as total shareholders' equity less goodwill and other identifiable intangible assets, divided by the difference of total assets less goodwill, other identifiable intangible assets, and PPP loans.
(3)
Tangible common shareholders' equity to tangible assets is defined by the Company as total shareholders' equity less preferred stock, goodwill and other identifiable intangible assets, divided by the difference of total assets less goodwill and other identifiable intangible assets.
(4)
Tangible common shareholders' equity to tangible assets-excluding PPP loans is defined by the Company as total shareholders' equity less preferred stock, goodwill and other identifiable intangible assets, divided by the difference of total assets less goodwill, other identifiable intangible assets, and PPP loans.
(5)
Return on average tangible equity is defined by the Company as annualized net income divided by average tangible shareholders' equity.
(6)
Return on average tangible common equity is defined by the Company as annualized net income available to common shareholders divided by average tangible common shareholders' equity.
(7)
Operating return on average tangible equity-excluding MSR is defined by the Company as annualized net operating income-excluding MSR divided by average tangible hareholders' equity.
(8)
Operating return on average tangible common equity-excluding MSR is defined by the Company as annualized net operating income available to common shareholders-excluding MSR divided by average tangible common shareholders' equity.
(9)
Operating return on average assets-excluding MSR is defined by the Company as annualized net operating income-excluding MSR divided by total average assets.
(10)
Operating return on average shareholders' equity-excluding MSR is defined by the Company as annualized net operating income-excluding MSR divided by average shareholders' equity.
(11)
Operating return on average common shareholders' equity-excluding MSR is defined by the Company as annualized net operating income available to common shareholders-excluding MSR divided by average common shareholders' equity.
(12)
Pre-tax pre-provision net revenue to total average assets is defined by the Company as annualized pre-tax pre-provision net revenue divided by total average assets adjusted for other non-operating items included in the definition and calculation of net operating income-excluding MSR.
(13)
Tangible book value per common share is defined by the Company as tangible common shareholders' equity divided by total shares of common stock outstanding.
(14)
Operating earnings per common share is defined by the Company as net operating income available to common shareholders divided by average common shares outstanding-diluted.
(15)
Operating earnings per common share-excluding MSR is defined by the Company as net operating income available to common shareholders-excluding MSR divided by average common shares outstanding-diluted.
Efficiency Ratio (tax equivalent) and Operating Efficiency Ratio-excluding MSR (tax equivalent) Definitions
The efficiency ratio (tax equivalent) and the operating efficiency ratio-excluding MSR (tax equivalent) are supplemental financial measures utilized in management's internal evaluation of the Company's use of resources and are not defined under GAAP. The efficiency ratio (tax equivalent) is calculated by dividing total noninterest expense by total revenue, which includes net interest income plus noninterest income plus the tax equivalent adjustment. The operating efficiency ratio-excluding MSR (tax equivalent) excludes expense items otherwise disclosed as non-operating from total noninterest expense. In addition, the MSR valuation adjustment as well as securities gains and losses are excluded from total revenue.
https://www.prnewswire.com/news-releases/bancorpsouth-announces-second-quarter-2021-results-301338860.html
SOURCE BancorpSouth Bank
