Bryn Mawr Bank Corporation Reports Record Quarterly Earnings of $21.3 Million, Declares $0.28 Dividend

Rhea-AI Summary

Bryn Mawr Bank Corporation (NASDAQ: BMTC) reported a record net income of $21.3 million or $1.06 diluted EPS for Q2 2021, up from $17.1 million or $0.85 EPS in Q1 2021, and $15.0 million or $0.75 EPS in Q2 2020. Core net income, excluding merger-related expenses, was $21.6 million or $1.08 EPS. The corporation declared a $0.28 quarterly dividend, payable on September 1, 2021. Notable increases include noninterest income rising by $1.1 million and a $6.6 million recovery in credit losses.

Positive

• Record net income of $21.3 million for Q2 2021.
• Core net income increased to $21.6 million, reflecting strong performance.
• Noninterest income rose by $1.1 million compared to the previous quarter.
• Reduction in noninterest expense by $2.2 million from Q1 2021.

Negative

• Average interest-bearing deposits decreased by $92.7 million quarter-over-quarter.
• Tax-equivalent yield on average loans decreased by 4 basis points.

BRYN MAWR, Pa., July 22, 2021 (GLOBE NEWSWIRE) -- Bryn Mawr Bank Corporation (NASDAQ: BMTC) (the “Corporation”), parent of The Bryn Mawr Trust Company (the “Bank”), today reported net income of $21.3 million, or $1.06 diluted earnings per share, for the three months ended June 30, 2021, as compared to $17.1 million, or $0.85 diluted earnings per share, for the three months ended March 31, 2021, and $15.0 million, or $0.75 diluted earnings per share, for the three months ended June 30, 2020.

On a non-GAAP basis, core net income, which excludes due diligence and merger-related expenses related to the pending merger with WSFS Financial Corporation (“WSFS”) and other non-core income and expense items, as detailed in the appendix to this earnings release, was $21.6 million, or $1.08 diluted earnings per share, for the three months ended June 30, 2021 as compared to $18.7 million, or $0.93 diluted earnings per share, for the three months ended March 31, 2021. There were no meaningful non-core income or expense items for the three months ended June 30, 2020. Management believes the core net income measure is important in evaluating the Corporation’s performance on a more comparable basis between periods. A reconciliation of this and other non-GAAP to GAAP performance measures is included in the appendix to this earnings release.

“We are excited to report record results, with second quarter net income exceeding $20 million for the first time in the Corporation’s history,” commented Frank Leto, President and Chief Executive Officer, continuing, “The hard work and dedication of our employees combined with an improving economy are reflected in our results. Preparation for the pending merger with WSFS are ongoing as management and staff are working diligently to ensure a smooth transition as we await regulatory approval.” In addition to regulatory approval, the merger with WSFS is subject to certain closing conditions.

On July 22, 2021, the Board of Directors of the Corporation declared a quarterly dividend of $0.28 per share, payable September 1, 2021 to shareholders of record as of August 2, 2021.

SIGNIFICANT ITEMS OF NOTE

Results of Operations – Second Quarter 2021 Compared to First Quarter 2021

• Net income for the three months ended June 30, 2021 was $21.3 million, or $1.06 diluted earnings per share, as compared to $17.1 million, or $0.85 diluted earnings per share, for the three months ended March 31, 2021. Net interest income for the three months ended June 30, 2021 was $35.2 million, a $458 thousand increase as compared to the linked quarter. The provision for credit losses (the “Provision”), which includes the provision for credit losses on loans and leases, off-balance sheet credit exposures, and accrued interest receivable on COVID-19 deferrals, for the three months ended June 30, 2021 was a recovery of $6.6 million, as compared to a recovery of $5.2 million for the three months ended March 31, 2021. Total noninterest income increased $1.1 million, total noninterest expense decreased $2.2 million, and income tax expense increased $906 thousand for the three months ended June 30, 2021, as compared to the three months ended March 31, 2021.
  
  
• Net interest income for the three months ended June 30, 2021 was $35.2 million, a $458 thousand increase as compared to the linked quarter. Tax-equivalent net interest income for the three months ended June 30, 2021 was $35.3 million, a $454 thousand increase as compared to the linked quarter. Tax-equivalent net interest income for the second quarter of 2021 was positively impacted by the accretion of purchase accounting fair value marks of $882 thousand, an increase of $367 thousand as compared to $515 thousand for the linked quarter. Excluding the effects of these purchase accounting fair value marks, the adjusted tax-equivalent net interest income for the three months ended June 30, 2021 was $34.5 million, an increase of $87 thousand over the linked quarter. A reconciliation of this and other non-GAAP to GAAP performance measures is included in the appendix to this earnings release.
  
  The tax-equivalent net interest margin was 3.17% for the three months ended June 30, 2021 as compared to 3.16% for the linked quarter. Adjusting for the impact of the accretion of purchase accounting fair value marks, the adjusted tax-equivalent net interest margin was 3.09% for the three months ended June 30, 2021 as compared to 3.11% for the linked quarter. A reconciliation of this and other non-GAAP to GAAP performance measures is included in the appendix to this earnings release.
  
  The increase in tax-equivalent net interest income adjusted for purchase accounting was driven by a decrease of $474 thousand in interest expense on deposits partially offset by a decrease of $355 thousand in tax-equivalent interest and fees earned on loans and leases for the three months ended June 30, 2021 as compared to the linked quarter.
  
  Interest expense on deposits for the three months ended June 30, 2021 decreased $466 thousand as compared to the linked quarter. The rate paid on average interest-bearing deposits for the three months ended June 30, 2021 was 0.15%, a 7 basis point decrease as compared to the linked quarter. Average interest-bearing deposits for the three months ended June 30, 2021 decreased $92.7 million as compared to the linked quarter.
  
  Tax-equivalent interest and fees earned on loans and leases for the three months ended June 30, 2021 decreased $56 thousand as compared to the linked quarter. The tax-equivalent yield on average loans and leases for the three months ended June 30, 2021 was 3.86%, a decrease of 4 basis points as compared to the linked quarter. Average loans and leases increased $4.3 million for the three months ended June 30, 2021 as compared to the linked quarter.

• Noninterest income of $21.0 million for the three months ended June 30, 2021 increased $1.1 million as compared to the linked quarter. The increase was primarily driven by increases of $1.2 million and $275 thousand in fees for wealth management services and net gain on sale of loans, respectively, partially offset by decreases of $306 thousand and $215 thousand in capital markets revenue and insurance commissions, respectively.
  
  
• Noninterest expense of $35.5 million for the three months ended June 30, 2021 decreased $2.2 million as compared to the linked quarter. The decrease was primarily driven by a decrease of $1.4 million in due diligence and merger-related expenses related to the pending merger with WSFS coupled with decreases of $463 thousand, $385 thousand, and $263 thousand in employee benefits, other operating expenses, and occupancy and bank premises expense, respectively.
  
  
• A recovery of Provision of $6.6 million was recorded for the three months ended June 30, 2021 as compared to a recovery of Provision of $5.2 million for the three months ended March 31, 2021. The recovery of Provision of $6.6 million for the three months ended June 30, 2021 was primarily comprised of a $6.0 million recovery of provision for credit losses on loans and leases and a $570 thousand recovery of provision for credit losses on off-balance sheet credit exposures. The difference in Provision between the two periods was driven by changes in current and forward-looking economic assumptions included in the estimation of expected credit losses on loans and leases as of June 30, 2021 as compared to March 31, 2021. Net loan and lease charge-offs for the second quarter of 2021 totaled $2.4 million, an increase of $1.7 million as compared to $642 thousand for the first quarter of 2021.
  
  
• The effective tax rate for the second quarter of 2021 decreased to 21.92% as compared to 22.93% for the first quarter of 2021. The decrease in effective tax rate was primarily due to $323 thousand in discrete tax items related to non-deductible merger-related expenses recognized in the first quarter of 2021 as compared to $47 thousand recognized in the second quarter of 2021.
  

Results of Operations – Second Quarter 2021 Compared to Second Quarter 2020

• Net income for the three months ended June 30, 2021 was $21.3 million, or $1.06 diluted earnings per share, as compared to $15.0 million, or $0.75 diluted earnings per share, for the three months ended June 30, 2020. Net interest income for the three months ended June 30, 2021 was $35.2 million, a decrease of $2.1 million as compared to the same period in 2020. A recovery of Provision of $6.6 million was recorded for the three months ended June 30, 2021 as compared to a Provision of $3.4 million for the three months ended June 30, 2020, a difference of $10.0 million. The difference in Provision between the two periods was driven by the current and forward-looking economic impacts of the COVID-19 pandemic included in the estimation of expected credit losses on loans and leases as of June 30, 2021 as compared to June 30, 2020. Total noninterest income increased $400 thousand, total noninterest expense decreased $36 thousand, and income tax expense increased $2.0 million for the three months ended June 30, 2021 as compared to the three months ended June 30, 2020.
  
  
• Net interest income for the three months ended June 30, 2021 was $35.2 million, a decrease of $2.1 million as compared to the same period in 2020. Tax-equivalent net interest income for the three months ended June 30, 2021 was $35.3 million, a decrease of $2.1 million as compared to the same period in 2020. Tax-equivalent net interest income for the second quarter of 2021 was positively impacted by the accretion of purchase accounting fair value marks of $882 thousand as compared to $1.0 million for the same period in 2020. Excluding the effects of these purchase accounting fair value marks, the adjusted tax-equivalent net interest income for the three months ended June 30, 2021 was $34.5 million, a decrease of $2.0 million as compared to the same period in 2020. A reconciliation of this and other non-GAAP to GAAP performance measures is included in the appendix to this earnings release.
  
  The tax-equivalent net interest margin was 3.17% for the three months ended June 30, 2021 as compared to 3.22% for the same period in 2020. Adjusting for the impacts of the accretion of purchase accounting fair value marks, the adjusted tax-equivalent net interest margin was 3.09% for the three months ended June 30, 2021 as compared to 3.13% for the same period in 2020. A reconciliation of this and other non-GAAP to GAAP performance measures is included in the appendix to this earnings release.
  
  The decrease in tax-equivalent net interest income adjusted for purchase accounting was driven by a decrease of $6.0 million in tax-equivalent interest and fees earned on loans and leases, partially offset by decreases of $3.6 million and $227 thousand in interest paid on deposits and interest expense on short-term borrowings, respectively, and an increase of $128 thousand in tax-equivalent interest income on available for sale investment securities for the three months ended June 30, 2021 as compared to the same period in 2020.
  
  Tax-equivalent interest and fees earned on loans and leases for the three months ended June 30, 2021 decreased $6.0 million as compared to the same period in 2020. The tax-equivalent yield on average loans and leases for the three months ended June 30, 2021 was 3.86%, a 30 basis point decrease as compared to the same period in 2020. Average loans and leases decreased $328.6 million for the three months ended June 30, 2021 as compared to the same period in 2020.
  
  Interest expense on deposits for the three months ended June 30, 2021 decreased $3.5 million as compared to the same period in 2020. The rate paid on average interest-bearing deposits for the three months ended June 30, 2021 was 0.15%, a 46 basis point decrease as compared to the same period in 2020. Average interest-bearing deposits for the three months ended June 30, 2021 decreased $448.8 million as compared to the same period in 2020.
  
  Interest expense on short-term borrowings for the three months ended June 30, 2021 decreased $227 thousand as compared to the same period in 2020. The decrease was primarily due to a $116.9 million decrease in average short-term borrowings for the three months ended June 30, 2021 as compared to the same period in 2020, coupled with a 58 basis point decrease in the rate paid for the three months ended June 30, 2021 as compared to the same period in 2020.
  
  Tax-equivalent interest income on available for sale investment securities for the three months ended June 30, 2021 increased $128 thousand as compared to the same period in 2020. The tax-equivalent yield on average available for sale investment securities for the three months ended June 30, 2021 was 1.58%, a 58 basis point decrease as compared to the same period in 2020. Average available for sale investment securities increased $223.0 million for the three months ended June 30, 2021 as compared to the same period in 2020.

• Noninterest income of $21.0 million for the three months ended June 30, 2021 increased $400 thousand as compared to the same period in 2020. The increase was driven by a $5.0 million increase in fees for wealth management services partially offset by decreases of $2.6 million and $1.7 million in net gain on sale of loans and capital markets revenue, respectively. The increase in fees for wealth management services was driven by the lack of non-recurring costs associated with the wind-down of BMT Investment Advisers, which had a $2.2 million impact on fees for wealth management services in the second quarter of 2020, as well as the $3.62 billion increase in wealth assets under management, administration, supervision and brokerage (“wealth assets”) between June 30, 2021 and June 30, 2020. The decrease in net gain on sale of loans was driven by a $2.4 million gain on the sale of approximately $292.1 million of PPP loans in the second quarter of 2020.
  
  
• Noninterest expense of $35.5 million for the three months ended June 30, 2021 decreased $36 thousand as compared to the same period in 2020. Decreases of $506 thousand, $404 thousand, and $226 thousand in other operating expenses, occupancy and bank premises expense, and salaries and wages, respectively, were partially offset by increases of $602 thousand, $266 thousand, and $217 thousand in Pennsylvania bank shares tax expense, merger-related expenses, and advertising expenses, respectively.
  
  
• A recovery of Provision of $6.6 million was recorded for the three months ended June 30, 2021 as compared to a Provision of $3.4 million for the three months ended June 30, 2020, a decrease of $10.0 million. The difference in Provision between the two periods was driven by changes in the current and forward-looking economic impacts of the COVID-19 pandemic included in the estimation of expected credit losses on loans and leases as of June 30, 2021 as compared to June 30, 2020. Net loan and lease charge-offs for the second quarter of 2021 totaled $2.4 million, a decrease of $1.0 million as compared to $3.4 million for the second quarter in 2020.
  
  
• The effective tax rate for the second quarter of 2021 increased to 21.92% as compared to 21.09% for the second quarter of 2020.
  

Financial Condition – June 30, 2021 Compared to December 31, 2020

• Total assets as of June 30, 2021 were $4.96 billion, a decrease of $473.3 million from December 31, 2020. The decrease was primarily driven by a $446.2 million decrease in available for sale investment securities.
  
  
• Available for sale investment securities as of June 30, 2021 totaled $728.7 million, a decrease of $446.2 million from December 31, 2020. The decrease was primarily due to the maturing, in January 2021, of $500.0 million of short-term U.S. Treasury securities included on the balance sheet as of December 31, 2020, partially offset by increases of $28.7 million and $23.6 million of mortgage-backed securities and U.S. Government and agency securities, respectively.
  
  
• Total portfolio loans and leases of $3.62 billion as of June 30, 2021 decreased $11.0 million as compared to December 31, 2020. Increases of $51.7 million and $43.1 million in commercial and industrial loans and construction loans, respectively, were partially offset by decreases of $41.8 million, $25.0 million, $17.6 million and $15.9 million in residential mortgage 1st liens, owner-occupied commercial mortgages, home equity lines of credit, and nonowner-occupied commercial mortgages, respectively.
  
  As of the date of this earnings release, 9 consumer loans and leases in the amount of $1.2 million and 19 commercial loans in the amount of $31.1 million are within a deferral period under the Bank's COVID-19 related modification programs. Of those commercial loans within a deferral period, $29.2 million, or 94.0% of deferred commercial loans, continue to make interest-only payments.

• The ACL on loans and leases was $39.2 million as of June 30, 2021 as compared to an ACL on loans and leases of $53.7 million as of December 31, 2020, a decrease of $14.5 million. The difference in ACL on loans and leases between the two periods was driven by the current and forward-looking economic impacts of the COVID-19 pandemic, as well as projected prepayments, included in the estimation of expected credit losses on loans and leases as of June 30, 2021 as compared to December 31, 2020.
  
  
• Deposits of $3.96 billion as of June 30, 2021 decreased $416.5 million from December 31, 2020. The decrease was primarily driven by decreases of $217.1 million, $202.0 million, $60.6 million, and $29.9 million in interest-bearing demand accounts, wholesale non-maturity deposits, retail time deposits, and wholesale time deposits, respectively, offset by increases of $66.8 million, $19.6 million, and $6.7 million in noninterest-bearing deposits, money market accounts, and savings accounts, respectively. The decrease in wholesale non-maturity deposits was primarily due to a decrease of approximately $200.0 million of wholesale deposits in the first quarter of 2021, which was used to partially fund the purchase of $500.0 million of short-term U.S. Treasury securities included on the balance sheet as of December 31, 2020. The decrease in interest-bearing demand deposits was primarily driven by management's active management of excess liquidity in this current interest rate environment.
  
  
• Borrowings of $182.5 million as of June 30, 2021, which include short-term borrowings, long-term FHLB advances, subordinated notes and junior subordinated debentures, decreased $50.4 million from December 31, 2020, primarily due to a decrease of $50.6 million in short-term borrowings.
  
  
• Wealth assets totaled $20.63 billion as of June 30, 2021, an increase of $1.65 billion from December 31, 2020. As of June 30, 2021, wealth assets consisted of $13.02 billion of wealth assets where fees are set at fixed amounts, an increase of $1.16 billion from December 31, 2020, and $7.61 billion of wealth assets where fees are predominantly determined based on the market value of the assets held in their accounts, an increase of $492.7 million from December 31, 2020.
  
  
• The capital ratios for the Bank and the Corporation, as of June 30, 2021, as shown in the attached tables, indicate regulatory capital levels in excess of the regulatory minimums and the levels necessary for the Bank to be considered “well capitalized.” In September 2020, the U.S. banking agencies issued a final rule that provides banking organizations with an alternative option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period. This final rule is consistent with the interim final rule issued by the U.S. banking agencies in March 2020. The current and prior quarter ratios reflect the Corporation's election of the five-year transition provision.
  

FORWARD LOOKING STATEMENTS AND SAFE HARBOR

This communication contains statements which, to the extent that they are not recitations of historical fact, may constitute forward-looking statements for purposes of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended. Such forward-looking statements may include financial and other projections as well as statements regarding the Corporation’s future plans, objectives, performance, revenues, growth, profits, operating expenses or the Corporation’s underlying assumptions. The words “believe,” “intend,” “expect,” “anticipate,” “strategy,” “plan,” “estimate,” “approximately,” “target,” “project,” “propose,” “possible,” “potential,” “should” and similar expressions, among others, generally identify forward-looking statements. Such forward-looking statements are based on various assumptions (many of which are beyond the control of the Corporation) and are subject to risks and uncertainties (which change over time) and other factors which could cause actual results to differ materially from those currently anticipated. Such risks and uncertainties include, but are not limited to, the possibility that the proposed transaction with WSFS does not close when expected or at all because required regulatory or other approvals and other conditions to closing are not received or satisfied on a timely basis or at all; the delay in or failure to close for any other reason; the outcome of any legal proceedings that may be instituted against the Corporation; the occurrence of any event, change or other circumstance that could give rise to the right of one or both parties to terminate the merger agreement providing for the merger; the risk that the businesses of WSFS and the Corporation will not be integrated successfully; the possibility that the cost savings and any synergies or other anticipated benefits from the proposed transaction may not be fully realized or may take longer to realize than expected; disruption from the proposed transaction making it more difficult to maintain relationships with employees, customers or other parties with whom the Corporation has business relationships; diversion of management time on merger-related issues; the reaction to the proposed transaction of our customers, employees and counterparties; uncertainty as to the extent of the duration, scope, and impacts of the COVID-19 pandemic; and other factors, many of which are beyond the control of the Corporation. We refer you to the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of the Corporation's Annual Report on Form 10-K for the year ended December 31, 2020 and any updates to those risk factors set forth in the Corporation’s Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other filings, which have been filed by the Corporation with the SEC and are available on the SEC’s website at www.sec.gov. All forward-looking statements, expressed or implied, included herein are expressly qualified in their entirety by the cautionary statements contained or referred to herein. The actual results or developments anticipated may not be realized or, even if substantially realized, they may not have the expected consequences to or effects on the Corporation or its businesses or operations. We caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date on which they are made. The Corporation undertakes no obligation, and specifically declines any obligation, to revise or update any forward-looking statements, whether as a result of new information, future developments or otherwise, except as specifically required by law.

FOR MORE INFORMATION CONTACT:		Frank Leto, President, CEO 610-581-4730 Mike Harrington, CFO 610-526-2466

Bryn Mawr Bank Corporation
Summary Financial Information (unaudited)
(dollars in thousands, except per share data)
	As of or For the Three Months Ended																				For the Six Months Ended
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020				June 30, 2020				June 30, 2021				June 30, 2020
Consolidated Balance Sheet (selected items)
Interest-bearing deposits with banks	$	103,070			$	37,089			$	85,026			$	241,763			$	448,113
Investment securities		749,536				761,877				1,198,346				584,529				550,974
Loans held for sale		653				3,210				6,000				4,574				4,116
Portfolio loans and leases		3,617,411				3,633,235				3,628,411				3,676,684				3,722,165
Allowance for credit losses ("ACL") on loans and leases		(39,163	)			(47,562	)			(53,709	)			(56,428	)			(54,974	)
Goodwill and other intangible assets		197,903				198,738				199,576				200,445				201,315
Total assets		4,958,700				4,914,508				5,432,022				5,046,939				5,271,311
Deposits - interest-bearing		2,491,102				2,537,534				2,974,411				2,783,188				3,026,152
Deposits - non-interest-bearing		1,468,643				1,364,716				1,401,843				1,230,391				1,217,496
Short-term borrowings		21,553				60,027				72,161				23,456				28,891
Long-term FHLB advances		39,976				39,941				39,906				44,872				44,837
Subordinated notes		98,973				98,928				98,883				98,839				98,794
Jr. subordinated debentures		22,030				21,983				21,935				21,889				21,843
Total liabilities		4,314,688				4,291,412				4,809,700				4,434,322				4,667,637
Total shareholders' equity		644,012				623,096				622,322				612,617				603,674
Average Balance Sheet (selected items)
Interest-bearing deposits with banks	$	86,383			$	110,972			$	245,904			$	336,225			$	195,966			$	98,610			$	123,148
Investment securities		766,574				760,625				701,258				574,094				542,321				763,616				542,598
Loans held for sale		1,008				1,203				2,836				4,393				3,805				1,105				3,062
Portfolio loans and leases		3,610,471				3,606,011				3,654,736				3,697,102				3,936,227				3,608,253				3,836,146
Total interest-earning assets		4,464,436				4,478,811				4,604,734				4,611,814				4,678,319				4,471,584				4,504,954
Goodwill and intangible assets		198,356				199,208				200,060				200,931				201,823				198,780				202,292
Total assets		4,937,707				4,968,542				5,124,702				5,157,588				5,226,074				4,953,039				5,035,495
Deposits - interest-bearing		2,520,270				2,613,004				2,765,941				2,891,652				2,969,113				2,566,381				2,911,412
Short-term borrowings		19,935				32,020				29,130				29,913				136,816				25,944				138,700
Long-term FHLB advances		39,956				39,921				43,634				44,849				46,161				39,938				46,748
Subordinated notes		98,949				98,904				98,860				98,815				98,770				98,926				98,748
Jr. subordinated debentures		22,002				21,955				21,905				21,859				21,814				21,979				21,791
Total interest-bearing liabilities		2,701,112				2,805,804				2,959,470				3,087,088				3,272,674				2,753,168				3,217,399
Total liabilities		4,305,637				4,343,552				4,507,444				4,548,395				4,625,511				4,324,489				4,427,708
Total shareholders' equity		632,070				624,990				617,258				609,193				600,563				628,550				607,787
Income Statement
Net interest income	$	35,239			$	34,781			$	35,037			$	35,032			$	37,385			$	70,020			$	73,718
(Recovery of) provision for credit losses		(6,581	)			(5,246	)			(1,209	)			4,101				3,435				(11,827	)			38,785
Noninterest income		20,966				19,841				22,006				21,099				20,566				40,807				38,866
Noninterest expense		35,467				37,703				38,624				35,197				35,503				73,170				68,906
Income tax expense		5,988				5,082				4,094				3,709				4,010				11,070				1,053
Net income		21,331				17,083				15,534				13,124				15,003				38,414				3,840
Net loss attributable to noncontrolling interest		(11	)			-				(3	)			(40	)			(32	)			(11	)			(32	)
Net income attributable to Bryn Mawr Bank Corporation		21,342				17,083				15,537				13,164				15,035				38,425				3,872
Basic earnings per share		1.07				0.86				0.78				0.66				0.75				1.93				0.19
Diluted earnings per share		1.06				0.85				0.78				0.66				0.75				1.92				0.19
Net income (core) (1)		21,599				18,707				15,518				13,164				15,399				40,306				4,236
Basic earnings per share (core) (1)		1.09				0.94				0.78				0.66				0.77				2.03				0.21
Diluted earnings per share (core) (1)		1.08				0.93				0.77				0.66				0.77				2.01				0.21
Dividends paid or accrued per share		0.27				0.27				0.27				0.27				0.26				0.54				0.52
Profitability Indicators
Return on average assets		1.73	%			1.39	%			1.21	%			1.02	%			1.16	%			1.56	%			0.15	%
Return on average equity		13.54	%			11.09	%			10.01	%			8.60	%			10.07	%			12.33	%			1.28	%
Return on tangible equity(1)		20.31	%			16.87	%			15.44	%			13.47	%			15.86	%			18.62	%			2.63	%
Return on tangible equity (core)(1)		20.55	%			18.42	%			15.42	%			13.47	%			16.23	%			19.50	%			2.81	%
Return on average assets (core)(1)		1.75	%			1.53	%			1.20	%			1.02	%			1.19	%			1.64	%			0.17	%
Return on average equity (core)(1)		13.71	%			12.14	%			10.00	%			8.60	%			10.31	%			12.93	%			1.40	%
Tax-equivalent net interest margin		3.17	%			3.16	%			3.04	%			3.03	%			3.22	%			3.17	%			3.30	%
Efficiency ratio(1)		61.14	%			64.48	%			64.81	%			61.16	%			58.75	%			62.79	%			59.10	%
Share Data
Closing share price	$	42.19			$	45.51			$	30.60			$	24.87			$	27.66
Book value per common share	$	32.40			$	31.34			$	31.18			$	30.70			$	30.29
Tangible book value per common share(1)	$	22.48			$	21.39			$	21.22			$	20.69			$	20.23
Price / book value		130.22	%			145.21	%			98.14	%			81.01	%			91.32	%
Price / tangible book value(1)		187.68	%			212.76	%			144.20	%			120.20	%			136.73	%
Weighted average diluted shares outstanding		20,050,819				20,050,736				20,027,658				20,021,617				20,008,219				20,047,156				20,077,159
Shares outstanding, end of period		19,877,892				19,878,993				19,960,294				19,958,186				19,927,893
Wealth Management Information:
Wealth assets under mgmt, administration, supervision and brokerage (2)	$	20,630,068			$	20,059,371			$	18,976,544			$	17,244,307			$	17,012,903
Fees for wealth management services	$	14,031			$	12,836			$	12,588			$	11,707			$	9,069
Capital Ratios(3)
Bryn Mawr Trust Company ("BMTC")
Tier I capital to risk weighted assets ("RWA")		12.50	%			12.01	%			11.53	%			12.02	%			11.68	%
Total capital to RWA		13.41	%			13.11	%			12.75	%			13.27	%			12.93	%
Tier I leverage ratio		9.96	%			9.47	%			8.79	%			9.16	%			8.75	%
Tangible equity ratio (1)		9.89	%			9.41	%			8.27	%			9.36	%			8.67	%
Common equity Tier I capital to RWA		12.50	%			12.01	%			11.53	%			12.02	%			11.68	%
Bryn Mawr Bank Corporation ("BMBC")
Tier I capital to RWA		12.42	%			12.08	%			11.86	%			11.48	%			11.27	%
Total capital to RWA		15.79	%			15.65	%			15.55	%			15.19	%			15.14	%
Tier I leverage ratio		9.89	%			9.53	%			9.04	%			8.75	%			8.44	%
Tangible equity ratio (1)		9.39	%			9.02	%			8.09	%			8.52	%			7.95	%
Common equity Tier I capital to RWA		11.86	%			11.52	%			11.29	%			10.92	%			10.71	%
Asset Quality Indicators
Net loan and lease charge-offs ("NCO"s)	$	2,391			$	642			$	2,340			$	2,187			$	3,398			$	3,033			$	7,471
Loans and leases risk-rated Special Mention	$	83,009			$	74,595			$	68,892			$	48,267			$	55,171
Total classified loans and leases		90,153				129,120				153,011				175,501				154,687
Total criticized loans and leases	$	173,162			$	203,715			$	221,903			$	223,768			$	209,858
Nonperforming loans and leases ("NPL"s)	$	10,665			$	5,197			$	5,306			$	8,597			$	8,418
Other real estate owned ("OREO")		-				-				-				-				-
Total nonperforming assets ("NPA"s)	$	10,665			$	5,197			$	5,306			$	8,597			$	8,418
Nonperforming loans and leases 30 or more days past due	$	3,041			$	1,903			$	2,001			$	4,153			$	3,223
Performing loans and leases 30 to 89 days past due		3,168				5,396				10,847				9,351				10,022
Performing loans and leases 90 or more days past due		-				-				-				-				-
Total delinquent loans and leases	$	6,209			$	7,299			$	12,848			$	13,504			$	13,245
Delinquent loans and leases to total loans and leases		0.17	%			0.20	%			0.35	%			0.37	%			0.36	%
Delinquent performing loans and leases to total loans and leases		0.09	%			0.15	%			0.30	%			0.25	%			0.27	%
NCOs / average loans and leases (annualized)		0.27	%			0.07	%			0.25	%			0.24	%			0.35	%			0.17	%			0.39	%
NPLs / total portfolio loans and leases		0.29	%			0.14	%			0.15	%			0.23	%			0.23	%
NPAs / total loans and leases and OREO		0.29	%			0.14	%			0.15	%			0.23	%			0.23	%
NPAs / total assets		0.22	%			0.11	%			0.10	%			0.17	%			0.16	%
ACL on loans and leases / NPLs		367.21	%			915.18	%			1012.23	%			656.37	%			653.05	%
ACL / classified loans and leases		43.44	%			36.84	%			35.10	%			32.15	%			35.54	%
ACL / criticized loans and leases		22.62	%			23.35	%			24.20	%			25.22	%			26.20	%
ACL on loans and leases / portfolio loans		1.08	%			1.31	%			1.48	%			1.53	%			1.48	%
ACL on loans and leases for originated loans and leases / Originated loans and leases (1)		1.10	%			1.33	%			1.50	%			1.56	%			1.51	%
(Total ACL on loans and leases + Loan mark) / Total Gross portfolio loans and leases (1)		1.21	%			1.46	%			1.65	%			1.73	%			1.69	%
Troubled debt restructurings ("TDR"s) included in NPLs	$	893			$	1,480			$	1,737			$	1,393			$	1,792
TDRs in compliance with modified terms		5,629				6,967				7,046				8,590				10,013
Total TDRs	$	6,522			$	8,447			$	8,783			$	9,983			$	11,805
(1) Non-GAAP measure - see Appendix for Non-GAAP to GAAP reconciliation.
(2) Brokerage assets represent assets held at a registered broker dealer under a clearing agreement.
(3) Capital Ratios for the current quarter are to be considered preliminary until the Call Reports are filed. Beginning with the March 31, 2020 call report, the capital ratios reflect the Corporation’s election of a five-year transition provision to delay for two years the full impact of CECL on regulatory capital, followed by a three-year transition period.

Bryn Mawr Bank Corporation
Detailed Balance Sheets (unaudited)
(dollars in thousands)
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020				June 30, 2020
Assets
Cash and due from banks	$	10,829			$	10,311			$	11,287			$	15,670			$	16,408
Interest-bearing deposits with banks		103,070				37,089				85,026				241,763				448,113
Cash and cash equivalents		113,899				47,400				96,313				257,433				464,521
Investment securities, available for sale		728,738				738,974				1,174,964				564,774				530,581
Investment securities, held to maturity		12,532				14,126				14,759				11,725				12,592
Investment securities, trading		8,266				8,777				8,623				8,030				7,801
Loans held for sale		653				3,210				6,000				4,574				4,116
Portfolio loans and leases, originated		3,414,256				3,405,128				3,380,727				3,396,068				3,422,890
Portfolio loans and leases, acquired		203,155				228,107				247,684				280,616				299,275
Total portfolio loans and leases		3,617,411				3,633,235				3,628,411				3,676,684				3,722,165
Less: Allowance for credit losses on originated loan and leases		(37,590	)			(45,285	)			(50,783	)			(52,968	)			(51,659	)
Less: Allowance for credit losses on acquired loan and leases		(1,573	)			(2,277	)			(2,926	)			(3,460	)			(3,315	)
Total allowance for credit losses on loans and leases		(39,163	)			(47,562	)			(53,709	)			(56,428	)			(54,974	)
Net portfolio loans and leases		3,578,248				3,585,673				3,574,702				3,620,256				3,667,191
Premises and equipment		54,178				55,510				56,662				60,369				61,778
Operating lease right-of-use assets		33,759				33,848				34,601				38,536				39,348
Accrued interest receivable		13,519				15,058				15,440				16,609				15,577
Mortgage servicing rights		2,173				2,493				2,626				2,881				3,440
Bank owned life insurance		60,993				60,721				60,393				60,072				59,728
Federal Home Loan Bank ("FHLB") stock		4,332				5,986				12,666				4,506				4,506
Goodwill		184,012				184,012				184,012				184,012				184,012
Intangible assets		13,891				14,726				15,564				16,433				17,303
Other investments		18,206				17,811				17,742				17,129				17,055
Other assets		131,301				126,183				156,955				179,600				181,762
Total assets	$	4,958,700			$	4,914,508			$	5,432,022			$	5,046,939			$	5,271,311
Liabilities
Deposits
Noninterest-bearing	$	1,468,643			$	1,364,716			$	1,401,843			$	1,230,391			$	1,217,496
Interest-bearing		2,491,102				2,537,534				2,974,411				2,783,188				3,026,152
Total deposits		3,959,745				3,902,250				4,376,254				4,013,579				4,243,648
Short-term borrowings		21,553				60,027				72,161				23,456				28,891
Long-term FHLB advances		39,976				39,941				39,906				44,872				44,837
Subordinated notes		98,973				98,928				98,883				98,839				98,794
Jr. subordinated debentures		22,030				21,983				21,935				21,889				21,843
Operating lease liabilities		39,400				39,543				40,284				42,895				43,693
Accrued interest payable		5,393				6,358				6,277				7,984				7,907
Other liabilities		127,618				122,382				154,000				180,808				178,024
Total liabilities		4,314,688				4,291,412				4,809,700				4,434,322				4,667,637
Shareholders' equity
Common stock		24,715				24,715				24,714				24,710				24,662
Paid-in capital in excess of par value		382,655				382,202				381,653				380,770				380,167
Less: common stock held in treasury, at cost		(91,825	)			(91,774	)			(89,164	)			(89,100	)			(88,612	)
Accumulated other comprehensive income, net of tax		4,798				154				8,948				10,139				9,019
Retained earnings		324,450				308,569				296,941				286,865				279,165
Total Bryn Mawr Bank Corporation shareholders' equity		644,793				623,866				623,092				613,384				604,401
Noncontrolling interest		(781	)			(770	)			(770	)			(767	)			(727	)
Total shareholders' equity		644,012				623,096				622,322				612,617				603,674
Total liabilities and shareholders' equity	$	4,958,700			$	4,914,508			$	5,432,022			$	5,046,939			$	5,271,311

Bryn Mawr Bank Corporation
Supplemental Balance Sheet Information (unaudited)
(dollars in thousands)
	Portfolio Loans and Leases as of
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020				June 30, 2020
Commercial real estate - nonowner-occupied	$	1,419,626			$	1,408,240			$	1,435,575			$	1,382,757			$	1,375,904
Commercial real estate - owner-occupied		553,464				578,747				578,509				568,219				542,688
Home equity lines of credit		151,692				157,418				169,337				179,125				194,767
Residential mortgage - 1st liens		579,657				602,584				621,369				660,923				695,270
Residential mortgage - junior liens		25,534				27,400				23,795				26,150				33,644
Construction		204,358				187,472				161,308				186,415				212,374
Total real estate loans		2,934,331				2,961,861				2,989,893				3,003,589				3,054,647
Commercial & Industrial		498,097				486,824				446,438				465,315				457,529
Consumer		44,814				39,226				39,683				47,043				43,762
Leases		140,169				145,324				152,397				160,737				166,227
Total non-real estate loans and leases		683,080				671,374				638,518				673,095				667,518
Total portfolio loans and leases	$	3,617,411			$	3,633,235			$	3,628,411			$	3,676,684			$	3,722,165
	Nonperforming Loans and Leases as of
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020				June 30, 2020
Commercial real estate - nonowner-occupied	$	396			$	56			$	57			$	849			$	245
Commercial real estate - owner-occupied		1,057				1,355				1,659				3,597				4,046
Home equity lines of credit		945				532				729				890				915
Residential mortgage - 1st liens		4,072				645				99				862				912
Residential mortgage - junior liens		181				184				85				50				72
Construction		216				-				-				-				-
Total nonperforming real estate loans		6,867				2,772				2,629				6,248				6,190
Commercial & Industrial		3,049				1,490				1,775				1,784				1,973
Consumer		24				40				30				31				36
Leases		725				895				872				534				219
Total nonperforming non-real estate loans and leases		3,798				2,425				2,677				2,349				2,228
Total nonperforming portfolio loans and leases	$	10,665			$	5,197			$	5,306			$	8,597			$	8,418
	Net Loan and Lease Charge-Offs (Recoveries) for the Three Months Ended
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020				June 30, 2020
Commercial real estate - nonowner-occupied	$	-			$	-			$	240			$	(2	)		$	(4	)
Commercial real estate - owner-occupied		(470	)			189				382				494				1,234
Home equity lines of credit		46				-				-				-				(4	)
Residential mortgage - 1st liens		23				1				-				(13	)			420
Residential mortgage - junior liens		-				-				-				-				-
Construction		115				(1	)			(1	)			(1	)			(1	)
Total net charge-offs of real estate loans		(286	)			189				621				478				1,645
Commercial & Industrial		2,323				(54	)			897				1,522				499
Consumer		145				107				409				134				238
Leases		209				400				413				53				1,016
Total net charge-offs of non-real estate loans and leases		2,677				453				1,719				1,709				1,753
Total net charge-offs	$	2,391			$	642			$	2,340			$	2,187			$	3,398

Bryn Mawr Bank Corporation
Supplemental Balance Sheet Information (unaudited)
(dollars in thousands)
	Investment Securities Available for Sale, at Fair Value
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020			June 30, 2020
U.S. Treasury securities	$	100			$	100			$	500,100			$	100		$	100
Obligations of the U.S. Government and agencies		116,701				110,413				93,098				90,928			114,149
State & political subdivisions - tax-free		2,168				2,168				2,171				3,178			4,583
Mortgage-backed securities		482,585				497,328				453,857				431,822			377,204
Collateralized mortgage obligations		15,145				17,073				19,263				22,253			25,873
Collateralized loan obligations		99,635				99,666				94,404				6,500			-
Corporate bonds		11,754				11,576				11,421				9,343			8,022
Other debt securities		650				650				650				650			650
Total investment securities available for sale, at fair value	$	728,738			$	738,974			$	1,174,964			$	564,774		$	530,581
	Unrealized Gain (Loss) on Investment Securities Available for Sale
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020			June 30, 2020
U.S. Treasury securities	$	-			$	-			$	5			$	-		$	-
Obligations of the U.S. Government and agencies		(842	)			(2,597	)			649				995			1,103
State & political subdivisions - tax-free		12				16				22				27			30
Mortgage-backed securities		8,432				8,957				12,282				12,901			11,683
Collateralized mortgage obligations		458				522				583				662			702
Collateralized loan obligations		120				151				(96	)			-			-
Corporate bonds		754				576				421				343			22
Total unrealized gains on investment securities available for sale	$	8,934			$	7,625			$	13,866			$	14,928		$	13,540
	Deposits
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020			June 30, 2020
Interest-bearing deposits:
Interest-bearing demand	$	668,664			$	671,854			$	885,802			$	815,561		$	910,441
Money market		1,183,252				1,201,115				1,163,620				1,199,429			1,239,523
Savings		289,108				286,124				282,406				245,167			249,636
Retail time deposits		270,926				301,702				331,527				366,245			400,186
Wholesale non-maturity deposits		73,011				70,605				275,011				77,356			146,463
Wholesale time deposits		6,141				6,134				36,045				79,430			79,903
Total interest-bearing deposits		2,491,102				2,537,534				2,974,411				2,783,188			3,026,152
Noninterest-bearing deposits		1,468,643				1,364,716				1,401,843				1,230,391			1,217,496
Total deposits	$	3,959,745			$	3,902,250			$	4,376,254			$	4,013,579		$	4,243,648

Bryn Mawr Bank Corporation
Detailed Income Statements (unaudited)
(dollars in thousands, except per share data)
	For the Three Months Ended																				For the Six Months Ended
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020				June 30, 2020				June 30, 2021				June 30, 2020
Interest income:
Interest and fees on loans and leases	$	34,638			$	34,578			$	35,632			$	36,799			$	40,690			$	69,216			$	83,485
Interest on cash and cash equivalents		16				22				62				85				37				38				148
Interest on investment securities		2,996				3,050				2,717				2,658				2,894				6,046				6,095
Total interest income		37,650				37,650				38,411				39,542				43,621				75,300				89,728
Interest expense:
Interest on deposits		958				1,424				1,891				2,967				4,476				2,382				12,113
Interest on short-term borrowings		5				10				9				8				232				15				685
Interest on FHLB advances		205				203				226				234				155				408				399
Interest on jr. subordinated debentures		199				198				205				207				229				397				524
Interest on subordinated notes		1,044				1,034				1,043				1,094				1,144				2,078				2,289
Total interest expense		2,411				2,869				3,374				4,510				6,236				5,280				16,010
Net interest income		35,239				34,781				35,037				35,032				37,385				70,020				73,718
(Recovery of) provision for credit losses ("PCL")		(6,581	)			(5,246	)			(1,209	)			4,101				3,435				(11,827	)			38,785
Net interest income after PCL		41,820				40,027				36,246				30,931				33,950				81,847				34,933
Noninterest income:
Fees for wealth management services		14,031				12,836				12,588				11,707				9,069				26,867				20,237
Insurance commissions		1,249				1,464				1,393				1,682				1,303				2,713				2,836
Capital markets revenue		1,290				1,596				841				3,314				2,975				2,886				5,336
Service charges on deposits		733				696				756				663				603				1,429				1,449
Loan servicing and other fees		397				304				360				373				452				701				913
Net gain on sale of loans		525				250				842				1,021				3,134				775				3,916
Net gain on sale of long-lived assets		-				6				2,297				-				-				6				-
Net gain (loss) on sale of other real estate owned		-				-				-				-				-				-				148
Dividends on FHLB and FRB stocks		239				222				337				127				243				461				687
Other operating income		2,502				2,467				2,592				2,212				2,787				4,969				3,344
Total noninterest income		20,966				19,841				22,006				21,099				20,566				40,807				38,866
Noninterest expense:
Salaries and wages		16,700				16,830				17,730				17,201				16,926				33,530				33,915
Employee benefits		3,224				3,687				2,858				3,026				3,221				6,911				6,721
Occupancy and bank premises		2,629				2,892				3,624				3,055				3,033				5,521				6,048
Furniture, fixtures and equipment		2,188				2,242				2,400				2,481				2,120				4,430				4,551
Impairment of long-lived assets		-				-				1,605				-				-				-				-
Advertising		413				176				554				458				196				589				597
Amortization of intangible assets		835				838				869				870				910				1,673				1,828
Due diligence, merger-related and merger integration expenses		266				1,646				-				-				-				1,912				-
Professional fees		1,629				1,433				1,767				1,718				1,575				3,062				2,943
Pennsylvania bank shares tax		718				749				(339	)			115				116				1,467				232
Data processing		1,444				1,404				1,501				1,403				1,479				2,848				2,873
Other operating expenses		5,421				5,806				6,055				4,870				5,927				11,227				9,198
Total noninterest expense		35,467				37,703				38,624				35,197				35,503				73,170				68,906
Income before income taxes		27,319				22,165				19,628				16,833				19,013				49,484				4,893
Income tax expense		5,988				5,082				4,094				3,709				4,010				11,070				1,053
Net income	$	21,331			$	17,083			$	15,534			$	13,124			$	15,003			$	38,414			$	3,840
Net (loss) attributable to noncontrolling interest		(11	)			-				(3	)			(40	)			(32	)			(11	)			(32	)
Net income attributable to Bryn Mawr Bank Corporation	$	21,342			$	17,083			$	15,537			$	13,164			$	15,035			$	38,425			$	3,872
Per share data:
Weighted average shares outstanding		19,878,981				19,907,873				19,958,567				19,945,634				19,926,737				19,893,347				19,989,948
Dilutive common shares		171,838				142,863				69,091				75,983				81,482				153,809				87,211
Weighted average diluted shares		20,050,819				20,050,736				20,027,658				20,021,617				20,008,219				20,047,156				20,077,159
Basic earnings per common share	$	1.07			$	0.86			$	0.78			$	0.66			$	0.75			$	1.93			$	0.19
Diluted earnings per common share	$	1.06			$	0.85			$	0.78			$	0.66			$	0.75			$	1.92			$	0.19
Dividends paid or accrued per common share	$	0.27			$	0.27			$	0.27			$	0.27			$	0.26			$	0.54			$	0.52
Effective tax rate		21.92	%			22.93	%			20.86	%			22.03	%			21.09	%			22.37	%			21.52	%

Bryn Mawr Bank Corporation
Tax-Equivalent Net Interest Margin (unaudited)
(dollars in thousands)
	For the Three Months Ended																For the Six Months Ended
	June 30, 2021			March 31, 2021			December 31, 2020			September 30, 2020			June 30, 2020				June 30, 2021			June 30, 2020
	Average Balance	Interest Income/ Expense	Average Rates Earned/ Paid	Average Balance	Interest Income/ Expense	Average Rates Earned/ Paid	Average Balance	Interest Income/ Expense	Average Rates Earned/ Paid	Average Balance	Interest Income/ Expense	Average Rates Earned/ Paid	Average Balance	Interest Income/ Expense	Average Rates Earned/ Paid		Average Balance	Interest Income/ Expense	Average Rates Earned/ Paid	Average Balance	Interest Income/ Expense	Average Rates Earned/ Paid
Assets:
Interest-bearing deposits with other banks	$86,383	$16	0.07%	$110,972	$22	0.08%	$245,904	$62	0.10%	$336,225	$85	0.10%	$195,966	$37	0.08%		$98,610	$38	0.08%	$123,148	$148	0.24%
Investment securities - available for sale:
Taxable	742,212	2,915	1.58%	735,508	2,947	1.62%	675,642	2,561	1.51%	550,199	2,562	1.85%	516,823	2,775	2.16%		738,879	5,861	1.60%	516,534	5,840	2.27%
Tax-exempt	2,168	14	2.59%	2,170	14	2.62%	2,490	16	2.56%	3,690	23	2.48%	4,572	26	2.29%		2,169	28	2.60%	4,740	54	2.29%
Total investment securities - available for sale	744,380	2,929	1.58%	737,678	2,961	1.63%	678,132	2,577	1.51%	553,889	2,585	1.86%	521,395	2,801	2.16%		741,048	5,889	1.60%	521,274	5,894	2.27%
Investment securities - held to maturity	13,414	49	1.47%	14,329	73	2.07%	15,093	57	1.50%	12,248	57	1.85%	13,126	73	2.24%		13,869	123	1.79%	13,160	160	2.44%
Investment securities - trading	8,780	21	0.96%	8,618	19	0.89%	8,033	86	4.26%	7,957	21	1.05%	7,800	24	1.24%		8,699	40	0.93%	8,164	49	1.21%
Loans and leases *	3,611,479	34,730	3.86%	3,607,214	34,674	3.90%	3,657,572	35,734	3.89%	3,701,495	36,901	3.97%	3,940,032	40,779	4.16%		3,609,358	69,404	3.88%	3,839,208	83,677	4.38%
Total interest-earning assets	4,464,436	37,745	3.39%	4,478,811	37,749	3.42%	4,604,734	38,516	3.33%	4,611,814	39,649	3.42%	4,678,319	43,714	3.76%		4,471,584	75,494	3.40%	4,504,954	89,928	4.01%
Cash and due from banks	9,741			10,824			13,192			16,557			16,263				10,279			14,371
Less: allowance for credit losses on loans and leases	(47,192)			(53,582)			(55,634)			(55,285)			(54,113)				(50,369)			(39,950)
Other assets	510,722			532,489			562,410			584,502			585,605				521,545			556,120
Total assets	$4,937,707			$4,968,542			$5,124,702			$5,157,588			$5,226,074				$4,953,039			$5,035,495
Liabilities:
Interest-bearing deposits:
Savings, NOW and market rate deposits	$2,154,206	$274	0.05%	$2,178,730	$374	0.07%	$2,285,807	$495	0.09%	$2,282,591	$1,042	0.18%	$2,313,150	$2,341	0.41%		$2,166,401	$648	0.06%	$2,255,215	$7,322	0.65%
Wholesale deposits	78,936	76	0.39%	117,710	257	0.89%	130,660	293	0.89%	223,527	465	0.83%	245,052	486	0.80%		98,215	333	0.68%	249,186	1,463	1.18%
Retail time deposits	287,128	608	0.85%	316,564	793	1.02%	349,474	1,103	1.26%	385,534	1,460	1.51%	410,911	1,649	1.61%		301,765	1,401	0.94%	407,011	3,328	1.64%
Total interest-bearing deposits	2,520,270	958	0.15%	2,613,004	1,424	0.22%	2,765,941	1,891	0.27%	2,891,652	2,967	0.41%	2,969,113	4,476	0.61%		2,566,381	2,382	0.19%	2,911,412	12,113	0.84%
Borrowings:
Short-term borrowings	19,935	5	0.10%	32,020	10	0.13%	29,130	9	0.12%	29,913	8	0.11%	136,816	232	0.68%		25,944	15	0.12%	138,700	685	0.99%
Long-term FHLB advances	39,956	205	2.06%	39,921	203	2.06%	43,634	226	2.06%	44,849	234	2.08%	46,161	155	1.35%		39,938	408	2.06%	46,748	399	1.72%
Subordinated notes	98,949	1,044	4.23%	98,904	1,034	4.24%	98,860	1,043	4.20%	98,815	1,094	4.40%	98,770	1,144	4.66%		98,926	2,078	4.24%	98,748	2,289	4.66%
Jr. subordinated debt	22,002	199	3.63%	21,955	198	3.66%	21,905	205	3.72%	21,859	207	3.77%	21,814	229	4.22%		21,979	397	3.64%	21,791	524	4.84%
Total borrowings	180,842	1,453	3.22%	192,800	1,445	3.04%	193,529	1,483	3.05%	195,436	1,543	3.14%	303,561	1,760	2.33%		186,787	2,898	3.13%	305,987	3,897	2.56%
Total interest-bearing liabilities	2,701,112	2,411	0.36%	2,805,804	2,869	0.41%	2,959,470	3,374	0.45%	3,087,088	4,510	0.58%	3,272,674	6,236	0.77%		2,753,168	5,280	0.39%	3,217,399	16,010	1.00%
Noninterest-bearing deposits	1,437,442			1,345,253			1,267,795			1,220,570			1,126,139				1,391,602			1,010,202
Other liabilities	167,083			192,495			280,179			240,737			226,698				179,719			200,107
Total noninterest-bearing liabilities	1,604,525			1,537,748			1,547,974			1,461,307			1,352,837				1,571,321			1,210,309
Total liabilities	4,305,637			4,343,552			4,507,444			4,548,395			4,625,511				4,324,489			4,427,708
Shareholders' equity	632,070			624,990			617,258			609,193			600,563				628,550			607,787
Total liabilities and shareholders' equity	$4,937,707			$4,968,542			$5,124,702			$5,157,588			$5,226,074				$4,953,039			$5,035,495
Net interest spread			3.03%			3.01%			2.88%			2.84%			2.99%				3.01%			3.01%
Effect of noninterest-bearing sources			0.14%			0.15%			0.16%			0.19%			0.23%				0.16%			0.29%
Tax-equivalent net interest margin		$35,334	3.17%		$34,880	3.16%		$35,142	3.04%		$35,139	3.03%		$37,478	3.22%			$70,214	3.17%		$73,918	3.30%
Tax-equivalent adjustment		$95	0.01%		$99	0.01%		$105	0.01%		$107	0.01%		$93	0.01%			$194	0.01%		$200	0.01%
Supplemental Information Regarding Accretion of Fair Value Marks
	Interest	Increase (Decrease)	Effect on Yield or Rate		Increase (Decrease)	Effect on Yield or Rate		Increase (Decrease)	Effect on Yield or Rate		Increase (Decrease)	Effect on Yield or Rate		Increase (Decrease)	Effect on Yield or Rate			Increase (Decrease)	Effect on Yield or Rate		Increase (Decrease)	Effect on Yield or Rate
Loans and leases	Income	$950	0.11%		$539	0.06%		$921	0.10%		$784	0.08%		$1,017	0.10%			$1,489	0.08%		$1,927	0.10%
Retail time deposits	Expense	$(50)	-0.07		$(58)	-0.07		$(78)	-0.09		$(96)	-0.10		$(103)	-0.10			(108)	-0.07		(221)	-0.11
Long-term FHLB advances	Expense	$70	0.70%		$35	0.36%		$35	0.32%		$34	0.30%		$35	0.30%			70	0.35%		69	0.30%
Jr. subordinated debt	Expense	$48	0.88%		$47	0.87%		$46	0.84%		$46	0.84%		$45	0.83%			95	0.87%		90	0.83%
Net interest income from fair value marks		$882			$515			$918			$800			$1,040				$1,432			$ 1,989
Purchase accounting effect on tax-equivalent margin			0.08%			0.05%			0.08%			0.07%			0.09%				0.06%			0.09%
* Average loans and leases include portfolio loans and leases, and loans held for sale. Non-accrual loans are also included in the average loan and leases balances.

Bryn Mawr Bank Corporation
Appendix - Non-GAAP to GAAP Reconciliations and Calculation of Non-GAAP Performance Measures (unaudited)
(dollars in thousands, except per share data)
Statement on Non-GAAP Measures: The Corporation believes the presentation of the following non-GAAP financial measures provides useful supplemental information that is essential to an investor’s proper understanding of the results of operations and financial condition of the Corporation. Management uses non-GAAP financial measures in its analysis of the Corporation’s performance. These non-GAAP measures should not be viewed as substitutes for the financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
	As of or For the Three Months Ended																				As of or For the Six Months Ended
	June 30, 2021				March 31, 2021				December 31, 2020				September 30, 2020				June 30, 2020				June 30, 2021				June 30, 2020
Reconciliation of Net Income to Net Income (core):
Net income attributable to BMBC (a GAAP measure)	$	21,342			$	17,083			$	15,537			$	13,164			$	15,035			$	38,425			$	3,872
Less: Tax-effected non-core noninterest income:
Gain on sale of PPP loans		-				-				-				-				(1,905	)			-				(1,905	)
BMT Investment Advisers wind-down costs		-				-				-				-				1,744				-				1,744
Gain on sale of building		-				-				(1,813	)			-				-				-				-
Add: Tax-effected non-core noninterest expense items:
Due diligence, merger-related and merger integration expenses		257				1,624				-				-				-				1,881				-
BMT Investment Advisers wind-down costs		-				-				-				-				100				-				100
Severance associated with staff reduction		-				-				-				-				425				-				425
Gain on early lease termination		-				-				(107	)			-				-				-				-
Impairment of long-lived assets		-				-				1,268				-				-				-				-
Disposal expense of premises and equipment		-				-				633				-				-				-				-
Net income (core) (a non-GAAP measure)	$	21,599			$	18,707			$	15,518			$	13,164			$	15,399			$	40,306			$	4,236
Calculation of Basic and Diluted Earnings per Common Share (core):
Weighted average common shares outstanding		19,878,981				19,907,873				19,958,567				19,945,634				19,926,737				19,893,347				19,989,948
Dilutive common shares		171,838				142,863				69,091				75,983				81,482				153,809				87,211
Weighted average diluted shares		20,050,819				20,050,736				20,027,658				20,021,617				20,008,219				20,047,156				20,077,159
Basic earnings per common share (core) (a non-GAAP measure)	$	1.09			$	0.94			$	0.78			$	0.66			$	0.77			$	2.03			$	0.21
Diluted earnings per common share (core) (a non-GAAP measure)	$	1.08			$	0.93			$	0.77			$	0.66			$	0.77			$	2.01			$	0.21
Calculation of Return on Average Tangible Equity:
Net income attributable to BMBC (a GAAP measure)	$	21,342			$	17,083			$	15,537			$	13,164			$	15,035			$	38,425			$	3,872
Add: Tax-effected amortization and impairment of intangible assets		660				662				687				687				719				1,322				1,444
Net tangible income (numerator)	$	22,002			$	17,745			$	16,224			$	13,851			$	15,754			$	39,747			$	5,316
Average shareholders' equity	$	632,070			$	624,990			$	617,258			$	609,193			$	600,563			$	628,550			$	607,787
Less: Average Noncontrolling interest		777				770				769				739				696				774				695
Less: Average goodwill and intangible assets		(198,356	)			(199,208	)			(200,060	)			(200,931	)			(201,823	)			(198,780	)			(202,292	)
Net average tangible equity (denominator)	$	434,491			$	426,552			$	417,967			$	409,001			$	399,436			$	430,544			$	406,190
Return on tangible equity (a non-GAAP measure)		20.31	%			16.87	%			15.44	%			13.47	%			15.86	%			18.62	%			2.63	%
Calculation of Return on Average Tangible Equity (core):
Net income (core) (a non-GAAP measure)	$	21,599			$	18,707			$	15,518			$	13,164			$	15,399			$	40,306			$	4,236
Add: Tax-effected amortization and impairment of intangible assets		660				662				687				687				719				1,322				1,444
Net tangible income (core) (numerator)	$	22,259			$	19,369			$	16,205			$	13,851			$	16,118			$	41,628			$	5,680
Average shareholders' equity	$	632,070			$	624,990			$	617,258			$	609,193			$	600,563			$	628,550			$	607,787
Less: Average Noncontrolling interest		777				770				769				739				696				774				695
Less: Average goodwill and intangible assets		(198,356	)			(199,208	)			(200,060	)			(200,931	)			(201,823	)			(198,780	)			(202,292	)
Net average tangible equity (denominator)	$	434,491			$	426,552			$	417,967			$	409,001			$	399,436			$	430,544			$	406,190
Return on tangible equity (core) (a non-GAAP measure)		20.55	%			18.42	%			15.42	%			13.47	%			16.23	%			19.50	%			2.81	%
Calculation of Tangible Equity Ratio (BMBC):
Total shareholders' equity	$	644,012			$	623,096			$	622,322			$	612,617			$	603,674
Less: Noncontrolling interest		781				770				770				767				727
Less: Goodwill and intangible assets		(197,903	)			(198,738	)			(199,576	)			(200,445	)			(201,315	)
Net tangible equity (numerator)	$	446,890			$	425,128			$	423,516			$	412,939			$	403,086
Total assets	$	4,958,700			$	4,914,508			$	5,432,022			$	5,046,939			$	5,271,311
Less: Goodwill and intangible assets		(197,903	)			(198,738	)			(199,576	)			(200,445	)			(201,315	)
Tangible assets (denominator)	$	4,760,797			$	4,715,770			$	5,232,446			$	4,846,494			$	5,069,996
Tangible equity ratio (BMBC)(1)		9.39	%			9.02	%			8.09	%			8.52	%			7.95	%
Calculation of Tangible Equity Ratio (BMTC):
Total shareholders' equity	$	667,405			$	641,034			$	630,880			$	653,317			$	639,711
Less: Noncontrolling interest		781				770				770				767				727
Less: Goodwill and intangible assets		(197,657	)			(198,492	)			(199,330	)			(200,200	)			(201,069	)
Net tangible equity (numerator)	$	470,529			$	443,312			$	432,320			$	453,499			$	439,369
Total assets	$	4,954,878			$	4,911,259			$	5,428,909			$	5,043,099			$	5,267,536
Less: Goodwill and intangible assets		(197,657	)			(198,492	)			(199,330	)			(200,200	)			(201,069	)
Tangible assets (denominator)	$	4,757,221			$	4,712,767			$	5,229,579			$	4,842,899			$	5,066,467
Tangible equity ratio (BMTC)(1)		9.89	%			9.41	%			8.27	%			9.36	%			8.67	%
Calculation of tangible book value per common share:
Total shareholders' equity	$	644,012			$	623,096			$	622,322			$	612,617			$	603,674
Less: Noncontrolling interest		781				770				770				767				727
Less: Goodwill and intangible assets		(197,903	)			(198,738	)			(199,576	)			(200,445	)			(201,315	)
Net tangible equity (numerator)	$	446,890			$	425,128			$	423,516			$	412,939			$	403,086
Shares outstanding, end of period (denominator)		19,877,892				19,878,993				19,960,294				19,958,186				19,927,893
Tangible book value per common share (a non-GAAP measure)	$	22.48			$	21.39			$	21.22			$	20.69			$	20.23
Calculation of price / tangible book value:
Closing share price	$	42.19			$	45.51			$	30.60			$	24.87			$	27.66
Tangible book value per common share	$	22.48			$	21.39			$	21.22			$	20.69			$	20.23
Price / tangible book value (a non-GAAP measure)		187.68	%			212.76	%			144.20	%			120.20	%			136.73	%
(1)Capital Ratios for the current quarter are to be considered preliminary until the Call Reports are filed. Beginning with the March 31, 2020 call report, the capital ratios reflect the Corporation’s election of a five-year transition provision to delay for two years the full impact of CECL on regulatory capital, followed by a three-year transition period.
Calculation of Return on Average Assets (core)
Return on average assets (GAAP)		1.73	%			1.39	%			1.21	%			1.02	%			1.16	%			1.56	%			0.15	%
Effect of adjustment to GAAP net income to core net income		0.02	%			0.14	%			-0.01	%			0.00	%			0.03	%			0.08	%			0.02	%
Return on average assets (core)		1.75	%			1.53	%			1.20	%			1.02	%			1.19	%			1.64	%			0.17	%
Calculation of Return on Average Equity (core)
Return on average equity (GAAP)		13.54	%			11.09	%			10.01	%			8.60	%			10.07	%			12.33	%			1.28	%
Effect of adjustment to GAAP net income to core net income		0.17	%			1.05	%			-0.01	%			0.00	%			0.24	%			0.60	%			0.12	%
Return on average equity (core)		13.71	%			12.14	%			10.00	%			8.60	%			10.31	%			12.93	%			1.40	%
Calculation of Tax-equivalent net interest margin adjusting for the impact of purchase accounting:
Tax-equivalent net interest margin		3.17	%			3.16	%			3.04	%			3.03	%			3.22	%			3.17	%			3.30	%
Effect of fair value marks		0.08	%			0.05	%			0.08	%			0.07	%			0.09	%			0.06	%			0.09	%
Tax-equivalent net interest margin adjusting for the impact of purchase accounting		3.09	%			3.11	%			2.96	%			2.96	%			3.13	%			3.11	%			3.21	%
Calculation of Tax-equivalent net interest income adjusting for the impact of purchase accounting:
Tax-equivalent net interest income	$	35,334			$	34,880			$	35,142			$	35,139			$	37,478			$	70,214			$	73,918
Effect of fair value marks		882				515				918				800				1,040				1,432				1,989
Tax-equivalent net interest income adjusting for the impact of purchase accounting	$	34,452			$	34,365			$	34,224			$	34,339			$	36,438			$	68,782			$	71,929
Calculation of Efficiency Ratio*:
Noninterest expense	$	35,467			$	37,703			$	38,624			$	35,197			$	35,503			$	73,170			$	68,906
Less: certain noninterest expense items:
Amortization of intangibles		(835	)			(838	)			(869	)			(870	)			(910	)			(1,673	)			(1,828	)
Due diligence, merger-related and merger integration expenses		(266	)			(1,646	)			-				-				-				(1,912	)			-
BMT Investment Advisers, Inc. wind-down costs		-				-				-				-				(127	)			-				(127	)
Severance associated with staff reduction		-				-				-				-				(538	)			-				(538	)
Gain on early lease termination		-				-				135				-				-				-				-
Impairment of long-lived assets		-				-				(1,605	)			-				-				-				-
Disposal expense of premises and equipment		-				-				(801	)			-				-				-				-
Noninterest expense (adjusted) (numerator)	$	34,366			$	35,219			$	35,484			$	34,327			$	33,928			$	69,585			$	66,413
Noninterest income	$	20,966			$	19,841			$	22,006			$	21,099			$	20,566			$	40,807			$	38,866
Less: non-core noninterest income items:
Gain on sale of PPP loans		-				-				-				-				(2,411	)			-				(2,411	)
BMT Investment Advisers, Inc. wind-down costs		-				-				-				-				2,207				-				2,207
Gain on sale of building		-				-				(2,295	)			-				-				-				-
Noninterest income (core)	$	20,966			$	19,841			$	19,711			$	21,099			$	20,362			$	40,807			$	38,662
Net interest income		35,239				34,781				35,037				35,032				37,385				70,020				73,718
Noninterest income (core) and net interest income (denominator)	$	56,205			$	54,622			$	54,748			$	56,131			$	57,747			$	110,827			$	112,380
Efficiency ratio		61.14	%			64.48	%			64.81	%			61.16	%			58.75	%			62.79	%			59.10	%
* In calculating the Corporation's efficiency ratio, which is used by Management to identify the cost of generating each dollar of core revenue, certain non-core income and expense items as well as the amortization of intangible assets, are excluded.
Supplemental Loan and ACL on Loans and Leases Information Used to Calculate Non-GAAP Measures
Total ACL on loans and leases	$	39,163			$	47,562			$	53,709			$	56,428			$	54,974
Less: ACL on acquired loans and leases		1,573				2,277				2,926				3,460				3,315
ACL on originated loans and leases	$	37,590			$	45,285			$	50,783			$	52,968			$	51,659
Total ACL on loans and leases	$	39,163			$	47,562			$	53,709			$	56,428			$	54,974
Loan mark on acquired loans and leases		4,779				5,736				6,288				7,235				8,037
Total ACL on loans and leases + Loan mark	$	43,942			$	53,298			$	59,997			$	63,663			$	63,011
Total Portfolio loans and leases	$	3,617,411			$	3,633,235			$	3,628,411			$	3,676,684			$	3,722,165
Less: Originated loans and leases		3,414,256				3,405,128				3,380,727				3,396,068				3,422,890
Net acquired loans	$	203,155			$	228,107			$	247,684			$	280,616			$	299,275
Add: Loan mark on acquired loans		4,779				5,736				6,288				7,235				8,037
Gross acquired loans (excludes loan mark)	$	207,934			$	233,843			$	253,972			$	287,851			$	307,312
Originated loans and leases		3,414,256				3,405,128				3,380,727				3,396,068				3,422,890
Total Gross portfolio loans and leases	$	3,622,190			$	3,638,971			$	3,634,699			$	3,683,919			$	3,730,202

FAQ

What was Bryn Mawr Bank Corporation's net income for Q2 2021?

Bryn Mawr Bank Corporation reported a net income of $21.3 million for Q2 2021.

What is the diluted earnings per share for BMTC in Q2 2021?

The diluted earnings per share for BMTC in Q2 2021 was $1.06.

What is the core net income for BMTC excluding merger-related expenses?

The core net income for BMTC, excluding merger-related expenses, was $21.6 million.

When will the quarterly dividend for BMTC be paid?

The quarterly dividend of $0.28 per share will be paid on September 1, 2021.

How much did noninterest income increase in Q2 2021 for BMTC?

Noninterest income increased by $1.1 million in Q2 2021.