Central Pacific Financial Reports Fourth Quarter and Full Year 2024 Earnings
Highlights include:
-
Net income of
, or$11.3 million per diluted share for the fourth quarter of 2024 and$0.42 , or$53.4 million per diluted share for the full year 2024$1.97 -
Completed investment securities portfolio repositioning which resulted in a pre-tax loss of
in the fourth quarter of 2024, and is estimated to improve annual net interest income by$9.9 million beginning in 2025$2.7 million -
Adjusted net income (non-GAAP) of
, or$19.0 million per diluted share for the fourth quarter of 2024 and$0.70 and$63.4 million per diluted share for the full year 2024, which excludes pre-tax items totaling$2.34 and$9.9 million in the fourth quarter and full year 2024, respectively$13.0 million -
Net interest margin of
3.17% increased by 10 bps from3.07% in the previous quarter -
Total risk-based capital and common equity tier 1 ratios of
15.4% and12.3% , respectively -
CPF Board of Directors approved an increase in the quarterly cash dividend by
3.8% to per share and authorized a new share repurchase program of up to$0.27 for 2025$30.0 million - Central Pacific Bank became a member of the Federal Reserve System
Results for the fourth quarter of 2024 were impacted by a pre-tax loss related to an investment portfolio repositioning of
"2024 was a solid year for Central Pacific Bank and we would like to send a sincere thank you to our valued customers and all the communities we serve. Key contributors to our success in 2024 included strong NIM expansion and core deposit growth, along with very healthy levels of liquidity, asset quality and capital," said Arnold Martines, Chairman, President and Chief Executive Officer. "We are proud to be recognized once again as one of America’s Best Regional Banks by Newsweek, one of the Best in State Banks by Forbes, and the Best Bank in
Earnings Highlights
Net interest income was
During the fourth quarter of 2024, the Company completed an investment portfolio repositioning related to its available-for-sale investment securities portfolio. The Company sold lower-yielding available-for-sale debt securities with a book value of
The Company recorded a provision for credit losses of
Other operating income totaled
Other operating expense totaled
The efficiency ratio was
The effective tax rate was
Balance Sheet Highlights
Total assets of
Total loans, net of deferred fees and costs, of
Total deposits of
Asset Quality
Nonperforming assets totaled
Net charge-offs totaled
The allowance for credit losses, as a percentage of total loans was
Capital
Total shareholders' equity was
The Company's leverage, common equity tier 1, tier 1 risk-based capital, and total risk-based capital ratios were
On January 28, 2025, the Company's Board of Directors declared a quarterly cash dividend of
On January 28, 2025, the Company's Board of Directors also authorized the repurchase of up to
Regulatory
On January 10, 2025, the Bank received final approval from the Federal Reserve to become a member of the Federal Reserve System (the “Fed Membership”). Accordingly, upon the effective date, the Bank’s primary federal supervisor will be the Board of Governors of the Federal Reserve System, acting through authority delegated to the Federal Reserve Bank of
As a bank holding company, the Company is already supervised by the Federal Reserve Bank of
Conference Call
The Company's management will host a conference call today at 1:00 p.m. Eastern Time (8:00 a.m. Hawaii Time) to discuss the quarterly results. Individuals are encouraged to listen to the live webcast of the presentation by visiting the investor relations page of the Company's website at http://ir.cpb.bank. Alternatively, investors may participate in the live call by dialing 1-800-715-9871 (conference ID: 6299769). A playback of the call will be available through February 28, 2025 by dialing 1-800-770-2030 (playback ID: 6299769) and on the Company's website. Information which may be discussed in the conference call is provided in an earnings supplement presentation on the Company's website at http://ir.cpb.bank.
About Central Pacific Financial Corp.
Central Pacific Financial Corp. is a
Equal Housing Lender
Member FDIC
CPF Listed NYSE
Forward-Looking Statements
This document may contain forward-looking statements ("FLS") concerning: projections of revenues, expenses, income or loss, earnings or loss per share, capital expenditures, payment or nonpayment of dividends, net interest income, capital position, credit losses, net interest margin or other financial items; statements of plans, objectives and expectations of Central Pacific Financial Corp. (the "Company") or its management or Board of Directors, including those relating to business plans, use of capital resources, products or services and regulatory developments and regulatory actions; statements of future economic performance including anticipated performance results from our business initiatives; or any statements of the assumptions underlying or relating to any of the foregoing. Words such as "believe," "plan," "anticipate," "seek," "expect," "intend," "forecast," "hope," "target," "continue," "remain," "estimate," "will," "should," "may" and other similar expressions are intended to identify FLS but are not the exclusive means of identifying such statements.
While we believe that our FLS and the assumptions underlying them are reasonably based, such statements and assumptions are by their nature subject to risks and uncertainties, thus could later prove to be inaccurate or incorrect. Accordingly, actual results could differ materially from those statements or projections for a variety of reasons, including, but not limited to: the effects of inflation and interest rate fluctuations; the adverse effects of bank failures and the potential impact of such developments on customer confidence, deposit behavior, liquidity and regulatory responses thereto; the adverse effects of the COVID-19 pandemic virus (and its variants) and other pandemic viruses on local, national and international economies, including, but not limited to, the adverse impact on tourism and construction in the
For further information with respect to factors that could cause actual results to materially differ from the expectations or projections stated in the FLS, please see the Company's publicly available SEC filings, including the Company's Form 10-K for the last fiscal year and, in particular, the discussion of "Risk Factors" set forth therein. We urge investors to consider all of these factors carefully in evaluating the FLS contained in this document. FLS speak only as of the date on which such statements are made. We undertake no obligation to update any FLS to reflect events or circumstances after the date on which such statements are made, or to reflect the occurrence of unanticipated events except as required by law.
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Financial Highlights |
|
(Unaudited) |
TABLE 1 |
|
|
Three Months Ended |
|
Year Ended |
||||||||||||||||||||||||
(Dollars in thousands, |
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Dec 31, |
||||||||||||||||
except for per share amounts) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
CONDENSED INCOME STATEMENT |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Net interest income |
|
$ |
55,774 |
|
|
$ |
53,851 |
|
|
$ |
51,921 |
|
|
$ |
50,187 |
|
|
$ |
51,142 |
|
|
$ |
211,733 |
|
|
$ |
210,000 |
|
Provision for credit losses |
|
|
818 |
|
|
|
2,833 |
|
|
|
2,239 |
|
|
|
3,936 |
|
|
|
4,653 |
|
|
|
9,826 |
|
|
|
15,698 |
|
Total other operating income |
|
|
2,624 |
|
|
|
12,734 |
|
|
|
12,121 |
|
|
|
11,244 |
|
|
|
15,172 |
|
|
|
38,723 |
|
|
|
46,663 |
|
Total other operating expense |
|
|
44,177 |
|
|
|
46,687 |
|
|
|
41,151 |
|
|
|
40,576 |
|
|
|
42,522 |
|
|
|
172,591 |
|
|
|
164,143 |
|
Income tax expense |
|
|
2,058 |
|
|
|
3,760 |
|
|
|
4,835 |
|
|
|
3,974 |
|
|
|
4,273 |
|
|
|
14,627 |
|
|
|
18,153 |
|
Net income |
|
|
11,345 |
|
|
|
13,305 |
|
|
|
15,817 |
|
|
|
12,945 |
|
|
|
14,866 |
|
|
|
53,412 |
|
|
|
58,669 |
|
Basic earnings per share |
|
$ |
0.42 |
|
|
$ |
0.49 |
|
|
$ |
0.58 |
|
|
$ |
0.48 |
|
|
$ |
0.55 |
|
|
$ |
1.97 |
|
|
$ |
2.17 |
|
Diluted earnings per share |
|
|
0.42 |
|
|
|
0.49 |
|
|
|
0.58 |
|
|
|
0.48 |
|
|
|
0.55 |
|
|
|
1.97 |
|
|
|
2.17 |
|
Dividends declared per share |
|
|
0.26 |
|
|
|
0.26 |
|
|
|
0.26 |
|
|
|
0.26 |
|
|
|
0.26 |
|
|
|
1.04 |
|
|
|
1.04 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
PERFORMANCE RATIOS |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Return on average assets (ROA) [1] |
|
|
0.62 |
% |
|
|
0.72 |
% |
|
|
0.86 |
% |
|
|
0.70 |
% |
|
|
0.79 |
% |
|
|
0.72 |
% |
|
|
0.78 |
% |
Return on average shareholders’ equity (ROE) [1] |
|
|
8.37 |
|
|
|
10.02 |
|
|
|
12.42 |
|
|
|
10.33 |
|
|
|
12.55 |
|
|
|
10.25 |
|
|
|
12.38 |
|
Average shareholders’ equity to average assets |
|
|
7.35 |
|
|
|
7.23 |
|
|
|
6.94 |
|
|
|
6.73 |
|
|
|
6.32 |
|
|
|
7.06 |
|
|
|
6.34 |
|
Efficiency ratio [2] |
|
|
75.65 |
|
|
|
70.12 |
|
|
|
64.26 |
|
|
|
66.05 |
|
|
|
64.12 |
|
|
|
68.91 |
|
|
|
63.95 |
|
Net interest margin (NIM) [1] |
|
|
3.17 |
|
|
|
3.07 |
|
|
|
2.97 |
|
|
|
2.83 |
|
|
|
2.84 |
|
|
|
3.01 |
|
|
|
2.94 |
|
Dividend payout ratio [3] |
|
|
61.90 |
|
|
|
53.06 |
|
|
|
44.83 |
|
|
|
54.17 |
|
|
|
47.27 |
|
|
|
52.79 |
|
|
|
47.93 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
SELECTED AVERAGE BALANCES |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Average loans, including loans held for sale |
|
$ |
5,315,802 |
|
|
$ |
5,330,810 |
|
|
$ |
5,385,829 |
|
|
$ |
5,400,558 |
|
|
$ |
5,458,245 |
|
|
$ |
5,358,059 |
|
|
$ |
5,508,530 |
|
Average interest-earning assets |
|
|
7,052,296 |
|
|
|
7,022,910 |
|
|
|
7,032,515 |
|
|
|
7,140,264 |
|
|
|
7,208,613 |
|
|
|
7,061,864 |
|
|
|
7,169,463 |
|
Average assets |
|
|
7,377,398 |
|
|
|
7,347,403 |
|
|
|
7,338,714 |
|
|
|
7,449,661 |
|
|
|
7,498,097 |
|
|
|
7,378,207 |
|
|
|
7,479,243 |
|
Average deposits |
|
|
6,546,616 |
|
|
|
6,535,422 |
|
|
|
6,542,767 |
|
|
|
6,659,812 |
|
|
|
6,730,883 |
|
|
|
6,570,990 |
|
|
|
6,700,127 |
|
Average interest-bearing liabilities |
|
|
4,906,623 |
|
|
|
4,904,460 |
|
|
|
4,910,998 |
|
|
|
5,009,542 |
|
|
|
5,023,321 |
|
|
|
4,932,757 |
|
|
|
4,938,705 |
|
Average shareholders’ equity |
|
|
542,135 |
|
|
|
530,928 |
|
|
|
509,507 |
|
|
|
501,120 |
|
|
|
473,708 |
|
|
|
521,008 |
|
|
|
473,819 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
[1] ROA and ROE are annualized based on a 30/360 day convention. Annualized net interest income and expense in the NIM calculation are based on the day count interest payment conventions at the interest-earning asset or interest-bearing liability level (i.e. 30/360, actual/actual). |
||||||||||||||||||||||||||||
[2] Efficiency ratio is defined as total other operating expense divided by total revenue (net interest income and total other operating income). |
||||||||||||||||||||||||||||
[3] Dividend payout ratio is defined as dividends declared per share divided by diluted earnings per share. |
||||||||||||||||||||||||||||
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Financial Highlights |
|
(Unaudited) |
TABLE 1 (CONTINUED) |
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
||||||||||
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
REGULATORY CAPITAL RATIOS |
|
|
||||||||||||||||||
Central Pacific Financial Corp. |
|
|
|
|
|
|
|
|
|
|
||||||||||
Leverage ratio |
|
|
9.3 |
% |
|
|
9.5 |
% |
|
|
9.3 |
% |
|
|
9.0 |
% |
|
|
8.8 |
% |
Common equity tier 1 capital ratio |
|
|
12.3 |
|
|
|
12.1 |
|
|
|
11.9 |
|
|
|
11.6 |
|
|
|
11.4 |
|
Tier 1 risk-based capital ratio |
|
|
13.2 |
|
|
|
13.1 |
|
|
|
12.8 |
|
|
|
12.6 |
|
|
|
12.4 |
|
Total risk-based capital ratio |
|
|
15.4 |
|
|
|
15.3 |
|
|
|
15.1 |
|
|
|
14.8 |
|
|
|
14.6 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Central Pacific Bank |
|
|
|
|
|
|
|
|
|
|
||||||||||
Leverage ratio |
|
|
9.7 |
|
|
|
9.8 |
|
|
|
9.6 |
|
|
|
9.4 |
|
|
|
9.2 |
|
Common equity tier 1 capital ratio |
|
|
13.8 |
|
|
|
13.6 |
|
|
|
13.3 |
|
|
|
13.1 |
|
|
|
12.9 |
|
Tier 1 risk-based capital ratio |
|
|
13.8 |
|
|
|
13.6 |
|
|
|
13.3 |
|
|
|
13.1 |
|
|
|
12.9 |
|
Total risk-based capital ratio |
|
|
14.9 |
|
|
|
14.8 |
|
|
|
14.5 |
|
|
|
14.3 |
|
|
|
14.1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
||||||||||
(dollars in thousands, except for per share amounts) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
BALANCE SHEET |
|
|
|
|
|
|
|
|
|
|
||||||||||
Total loans, net of deferred fees and costs |
|
$ |
5,332,852 |
|
|
$ |
5,342,609 |
|
|
$ |
5,383,644 |
|
|
$ |
5,401,417 |
|
|
$ |
5,438,982 |
|
Total assets |
|
|
7,472,096 |
|
|
|
7,415,430 |
|
|
|
7,386,952 |
|
|
|
7,409,999 |
|
|
|
7,642,796 |
|
Total deposits |
|
|
6,644,011 |
|
|
|
6,583,013 |
|
|
|
6,582,455 |
|
|
|
6,618,854 |
|
|
|
6,847,592 |
|
Long-term debt |
|
|
156,345 |
|
|
|
156,284 |
|
|
|
156,223 |
|
|
|
156,163 |
|
|
|
156,102 |
|
Total shareholders’ equity |
|
|
538,385 |
|
|
|
543,725 |
|
|
|
518,647 |
|
|
|
507,203 |
|
|
|
503,815 |
|
Total shareholders’ equity to total assets |
|
|
7.21 |
% |
|
|
7.33 |
% |
|
|
7.02 |
% |
|
|
6.84 |
% |
|
|
6.59 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
ASSET QUALITY |
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for credit losses (ACL) |
|
$ |
59,182 |
|
|
$ |
61,647 |
|
|
$ |
62,225 |
|
|
$ |
63,532 |
|
|
$ |
63,934 |
|
Nonaccrual loans |
|
|
11,018 |
|
|
|
11,597 |
|
|
|
10,257 |
|
|
|
10,132 |
|
|
|
7,008 |
|
Non-performing assets (NPA) |
|
|
11,018 |
|
|
|
11,597 |
|
|
|
10,257 |
|
|
|
10,132 |
|
|
|
7,008 |
|
Ratio of ACL to total loans |
|
|
1.11 |
% |
|
|
1.15 |
% |
|
|
1.16 |
% |
|
|
1.18 |
% |
|
|
1.18 |
% |
Ratio of NPA to total assets |
|
|
0.15 |
% |
|
|
0.16 |
% |
|
|
0.14 |
% |
|
|
0.14 |
% |
|
|
0.09 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
PER SHARE OF COMMON STOCK OUTSTANDING |
|
|
|
|
|
|
|
|
|
|
||||||||||
Book value per common share |
|
$ |
19.89 |
|
|
$ |
20.09 |
|
|
$ |
19.16 |
|
|
$ |
18.76 |
|
|
$ |
18.63 |
|
Closing market price per common share |
|
|
29.05 |
|
|
|
29.51 |
|
|
|
21.20 |
|
|
|
19.75 |
|
|
|
19.68 |
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Consolidated Balance Sheets |
|
(Unaudited) |
TABLE 2 |
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
||||||||||
(Dollars in thousands, except share data) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
ASSETS |
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and due from financial institutions |
|
$ |
77,774 |
|
|
$ |
100,064 |
|
|
$ |
103,829 |
|
|
$ |
98,410 |
|
|
$ |
116,181 |
|
Interest-bearing deposits in other financial institutions |
|
|
303,167 |
|
|
|
226,505 |
|
|
|
195,062 |
|
|
|
214,472 |
|
|
|
406,256 |
|
Investment securities: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Available-for-sale debt securities, at fair value |
|
|
737,658 |
|
|
|
723,453 |
|
|
|
676,719 |
|
|
|
660,833 |
|
|
|
647,210 |
|
Held-to-maturity debt securities, at amortized cost; fair value of: |
|
|
596,930 |
|
|
|
606,117 |
|
|
|
615,867 |
|
|
|
624,948 |
|
|
|
632,338 |
|
Total investment securities |
|
|
1,334,588 |
|
|
|
1,329,570 |
|
|
|
1,292,586 |
|
|
|
1,285,781 |
|
|
|
1,279,548 |
|
Loans held for sale |
|
|
5,662 |
|
|
|
1,609 |
|
|
|
3,950 |
|
|
|
755 |
|
|
|
1,778 |
|
Loans, net of deferred fees and costs |
|
|
5,332,852 |
|
|
|
5,342,609 |
|
|
|
5,383,644 |
|
|
|
5,401,417 |
|
|
|
5,438,982 |
|
Less: allowance for credit losses |
|
|
(59,182 |
) |
|
|
(61,647 |
) |
|
|
(62,225 |
) |
|
|
(63,532 |
) |
|
|
(63,934 |
) |
Loans, net of allowance for credit losses |
|
|
5,273,670 |
|
|
|
5,280,962 |
|
|
|
5,321,419 |
|
|
|
5,337,885 |
|
|
|
5,375,048 |
|
Premises and equipment, net |
|
|
104,342 |
|
|
|
104,575 |
|
|
|
100,646 |
|
|
|
97,688 |
|
|
|
96,184 |
|
Accrued interest receivable |
|
|
23,378 |
|
|
|
23,942 |
|
|
|
23,184 |
|
|
|
21,957 |
|
|
|
21,511 |
|
Investment in unconsolidated entities |
|
|
52,417 |
|
|
|
54,836 |
|
|
|
40,155 |
|
|
|
40,780 |
|
|
|
41,546 |
|
Mortgage servicing rights |
|
|
8,473 |
|
|
|
8,513 |
|
|
|
8,636 |
|
|
|
8,599 |
|
|
|
8,696 |
|
Bank-owned life insurance |
|
|
176,216 |
|
|
|
175,914 |
|
|
|
173,716 |
|
|
|
172,228 |
|
|
|
170,706 |
|
Federal Home Loan Bank of |
|
|
6,929 |
|
|
|
6,929 |
|
|
|
6,925 |
|
|
|
6,921 |
|
|
|
6,793 |
|
Right-of-use lease assets |
|
|
30,824 |
|
|
|
32,192 |
|
|
|
32,081 |
|
|
|
32,079 |
|
|
|
29,720 |
|
Other assets |
|
|
74,656 |
|
|
|
69,819 |
|
|
|
84,763 |
|
|
|
92,444 |
|
|
|
88,829 |
|
Total assets |
|
$ |
7,472,096 |
|
|
$ |
7,415,430 |
|
|
$ |
7,386,952 |
|
|
$ |
7,409,999 |
|
|
$ |
7,642,796 |
|
LIABILITIES |
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Noninterest-bearing demand |
|
$ |
1,888,937 |
|
|
$ |
1,838,009 |
|
|
$ |
1,847,173 |
|
|
$ |
1,848,554 |
|
|
$ |
1,913,379 |
|
Interest-bearing demand |
|
|
1,338,719 |
|
|
|
1,255,382 |
|
|
|
1,283,669 |
|
|
|
1,290,321 |
|
|
|
1,329,189 |
|
Savings and money market |
|
|
2,329,170 |
|
|
|
2,336,323 |
|
|
|
2,234,111 |
|
|
|
2,211,966 |
|
|
|
2,209,733 |
|
Time |
|
|
1,087,185 |
|
|
|
1,153,299 |
|
|
|
1,217,502 |
|
|
|
1,268,013 |
|
|
|
1,395,291 |
|
Total deposits |
|
|
6,644,011 |
|
|
|
6,583,013 |
|
|
|
6,582,455 |
|
|
|
6,618,854 |
|
|
|
6,847,592 |
|
Long-term debt, net of unamortized debt issuance costs of: |
|
|
156,345 |
|
|
|
156,284 |
|
|
|
156,223 |
|
|
|
156,163 |
|
|
|
156,102 |
|
Lease liabilities |
|
|
32,025 |
|
|
|
33,807 |
|
|
|
33,422 |
|
|
|
33,169 |
|
|
|
30,634 |
|
Accrued interest payable |
|
|
10,051 |
|
|
|
12,980 |
|
|
|
14,998 |
|
|
|
16,654 |
|
|
|
18,948 |
|
Other liabilities |
|
|
91,279 |
|
|
|
85,621 |
|
|
|
81,207 |
|
|
|
77,956 |
|
|
|
85,705 |
|
Total liabilities |
|
|
6,933,711 |
|
|
|
6,871,705 |
|
|
|
6,868,305 |
|
|
|
6,902,796 |
|
|
|
7,138,981 |
|
SHAREHOLDERS' EQUITY |
|
|
|
|
|
|
|
|
|
|
||||||||||
Shareholders' equity: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Preferred stock, no par value, authorized 1,000,000 shares; issued and outstanding: none at December 31, 2024, September 30, 2024, June 30, 2024, March 31, 2024, and December 31, 2023 |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Common stock, no par value, authorized 185,000,000 shares; issued and outstanding: 27,065,570 at December 31, 2024, 27,064,501 at September 30, 2024, 27,063,644 at June 30, 2024, 27,042,326 at March 31, 2024, and 27,045,033 at December 31, 2023 |
|
|
404,494 |
|
|
|
404,494 |
|
|
|
404,494 |
|
|
|
404,494 |
|
|
|
405,439 |
|
Additional paid-in capital |
|
|
105,054 |
|
|
|
104,794 |
|
|
|
104,161 |
|
|
|
103,130 |
|
|
|
102,982 |
|
Retained earnings |
|
|
143,259 |
|
|
|
138,951 |
|
|
|
132,683 |
|
|
|
123,902 |
|
|
|
117,990 |
|
Accumulated other comprehensive loss |
|
|
(114,422 |
) |
|
|
(104,514 |
) |
|
|
(122,691 |
) |
|
|
(124,323 |
) |
|
|
(122,596 |
) |
Total shareholders' equity |
|
|
538,385 |
|
|
|
543,725 |
|
|
|
518,647 |
|
|
|
507,203 |
|
|
|
503,815 |
|
Total liabilities and shareholders' equity |
|
$ |
7,472,096 |
|
|
$ |
7,415,430 |
|
|
$ |
7,386,952 |
|
|
$ |
7,409,999 |
|
|
$ |
7,642,796 |
|
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Consolidated Statements of Income |
|
(Unaudited) |
TABLE 3 |
|
|
Three Months Ended |
|
Year Ended |
||||||||||||||||||||||||
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Dec 31, |
||||||||||||||||
(Dollars in thousands, except per share data) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Interest and fees on loans |
|
$ |
65,482 |
|
$ |
65,469 |
|
$ |
64,422 |
|
$ |
62,819 |
|
$ |
62,429 |
|
$ |
258,192 |
|
$ |
243,315 |
|||||||
Interest and dividends on investment securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Taxable investment securities |
|
|
8,626 |
|
|
|
8,975 |
|
|
|
8,466 |
|
|
|
7,211 |
|
|
|
7,292 |
|
|
|
33,278 |
|
|
|
28,789 |
|
Tax-exempt investment securities |
|
|
723 |
|
|
|
551 |
|
|
|
598 |
|
|
|
655 |
|
|
|
686 |
|
|
|
2,527 |
|
|
|
2,912 |
|
Interest on deposits in other financial institutions |
|
|
3,004 |
|
|
|
2,775 |
|
|
|
2,203 |
|
|
|
3,611 |
|
|
|
3,597 |
|
|
|
11,593 |
|
|
|
7,163 |
|
Dividend income on FHLB stock |
|
|
125 |
|
|
|
127 |
|
|
|
151 |
|
|
|
106 |
|
|
|
109 |
|
|
|
509 |
|
|
|
478 |
|
Total interest income |
|
|
77,960 |
|
|
|
77,897 |
|
|
|
75,840 |
|
|
|
74,402 |
|
|
|
74,113 |
|
|
|
306,099 |
|
|
|
282,657 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Interest on deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Interest-bearing demand |
|
|
686 |
|
|
|
484 |
|
|
|
490 |
|
|
|
499 |
|
|
|
467 |
|
|
|
2,159 |
|
|
|
1,701 |
|
Savings and money market |
|
|
9,388 |
|
|
|
10,235 |
|
|
|
8,977 |
|
|
|
8,443 |
|
|
|
7,459 |
|
|
|
37,043 |
|
|
|
21,979 |
|
Time |
|
|
9,881 |
|
|
|
11,040 |
|
|
|
12,173 |
|
|
|
12,990 |
|
|
|
12,741 |
|
|
|
46,084 |
|
|
|
39,205 |
|
Interest on short-term borrowings |
|
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
— |
|
|
|
— |
|
|
|
1 |
|
|
|
1,139 |
|
Interest on long-term debt |
|
|
2,231 |
|
|
|
2,287 |
|
|
|
2,278 |
|
|
|
2,283 |
|
|
|
2,304 |
|
|
|
9,079 |
|
|
|
8,633 |
|
Total interest expense |
|
|
22,186 |
|
|
|
24,046 |
|
|
|
23,919 |
|
|
|
24,215 |
|
|
|
22,971 |
|
|
|
94,366 |
|
|
|
72,657 |
|
Net interest income |
|
|
55,774 |
|
|
|
53,851 |
|
|
|
51,921 |
|
|
|
50,187 |
|
|
|
51,142 |
|
|
|
211,733 |
|
|
|
210,000 |
|
Provision for credit losses |
|
|
818 |
|
|
|
2,833 |
|
|
|
2,239 |
|
|
|
3,936 |
|
|
|
4,653 |
|
|
|
9,826 |
|
|
|
15,698 |
|
Net interest income after provision for credit losses |
|
|
54,956 |
|
|
|
51,018 |
|
|
|
49,682 |
|
|
|
46,251 |
|
|
|
46,489 |
|
|
|
201,907 |
|
|
|
194,302 |
|
Other operating income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Mortgage banking income |
|
|
913 |
|
|
|
822 |
|
|
|
1,040 |
|
|
|
613 |
|
|
|
611 |
|
|
|
3,388 |
|
|
|
2,592 |
|
Service charges on deposit accounts |
|
|
2,251 |
|
|
|
2,167 |
|
|
|
2,135 |
|
|
|
2,103 |
|
|
|
2,312 |
|
|
|
8,656 |
|
|
|
8,753 |
|
Other service charges and fees |
|
|
5,476 |
|
|
|
5,947 |
|
|
|
5,869 |
|
|
|
5,261 |
|
|
|
5,349 |
|
|
|
22,553 |
|
|
|
20,531 |
|
Income from fiduciary activities |
|
|
1,430 |
|
|
|
1,447 |
|
|
|
1,449 |
|
|
|
1,435 |
|
|
|
1,272 |
|
|
|
5,761 |
|
|
|
4,895 |
|
Income from bank-owned life insurance |
|
|
1,966 |
|
|
|
1,897 |
|
|
|
1,234 |
|
|
|
1,522 |
|
|
|
2,015 |
|
|
|
6,619 |
|
|
|
4,870 |
|
Net loss on sales of investment securities |
|
|
(9,934 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(1,939 |
) |
|
|
(9,934 |
) |
|
|
(2,074 |
) |
Other |
|
|
522 |
|
|
|
454 |
|
|
|
394 |
|
|
|
310 |
|
|
|
5,552 |
|
|
|
1,680 |
|
|
|
7,096 |
|
Total other operating income |
|
|
2,624 |
|
|
|
12,734 |
|
|
|
12,121 |
|
|
|
11,244 |
|
|
|
15,172 |
|
|
|
38,723 |
|
|
|
46,663 |
|
Other operating expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Salaries and employee benefits |
|
|
21,661 |
|
|
|
22,299 |
|
|
|
21,246 |
|
|
|
20,735 |
|
|
|
20,164 |
|
|
|
85,941 |
|
|
|
82,050 |
|
Net occupancy |
|
|
4,192 |
|
|
|
4,612 |
|
|
|
4,597 |
|
|
|
4,600 |
|
|
|
4,676 |
|
|
|
18,001 |
|
|
|
18,185 |
|
Computer software |
|
|
4,757 |
|
|
|
4,590 |
|
|
|
4,381 |
|
|
|
4,287 |
|
|
|
4,026 |
|
|
|
18,015 |
|
|
|
17,726 |
|
Legal and professional services |
|
|
2,504 |
|
|
|
2,460 |
|
|
|
2,506 |
|
|
|
2,320 |
|
|
|
2,245 |
|
|
|
9,790 |
|
|
|
9,959 |
|
Equipment |
|
|
904 |
|
|
|
972 |
|
|
|
995 |
|
|
|
1,010 |
|
|
|
968 |
|
|
|
3,881 |
|
|
|
3,958 |
|
Advertising |
|
|
911 |
|
|
|
889 |
|
|
|
901 |
|
|
|
914 |
|
|
|
1,045 |
|
|
|
3,615 |
|
|
|
3,888 |
|
Communication |
|
|
943 |
|
|
|
740 |
|
|
|
657 |
|
|
|
837 |
|
|
|
632 |
|
|
|
3,177 |
|
|
|
3,010 |
|
Other |
|
|
8,305 |
|
|
|
10,125 |
|
|
|
5,868 |
|
|
|
5,873 |
|
|
|
8,766 |
|
|
|
30,171 |
|
|
|
25,367 |
|
Total other operating expense |
|
|
44,177 |
|
|
|
46,687 |
|
|
|
41,151 |
|
|
|
40,576 |
|
|
|
42,522 |
|
|
|
172,591 |
|
|
|
164,143 |
|
Income before income taxes |
|
|
13,403 |
|
|
|
17,065 |
|
|
|
20,652 |
|
|
|
16,919 |
|
|
|
19,139 |
|
|
|
68,039 |
|
|
|
76,822 |
|
Income tax expense |
|
|
2,058 |
|
|
|
3,760 |
|
|
|
4,835 |
|
|
|
3,974 |
|
|
|
4,273 |
|
|
|
14,627 |
|
|
|
18,153 |
|
Net income |
|
$ |
11,345 |
|
|
$ |
13,305 |
|
|
$ |
15,817 |
|
|
$ |
12,945 |
|
|
$ |
14,866 |
|
|
$ |
53,412 |
|
|
$ |
58,669 |
|
Per common share data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Basic earnings per share |
|
$ |
0.42 |
|
|
$ |
0.49 |
|
|
$ |
0.58 |
|
|
$ |
0.48 |
|
|
$ |
0.55 |
|
|
$ |
1.97 |
|
|
$ |
2.17 |
|
Diluted earnings per share |
|
|
0.42 |
|
|
|
0.49 |
|
|
|
0.58 |
|
|
|
0.48 |
|
|
|
0.55 |
|
|
|
1.97 |
|
|
|
2.17 |
|
Cash dividends declared |
|
|
0.26 |
|
|
|
0.26 |
|
|
|
0.26 |
|
|
|
0.26 |
|
|
|
0.26 |
|
|
|
1.04 |
|
|
|
1.04 |
|
Basic weighted average shares outstanding |
|
|
27,065,047 |
|
|
|
27,064,035 |
|
|
|
27,053,549 |
|
|
|
27,046,525 |
|
|
|
27,044,121 |
|
|
|
27,057,329 |
|
|
|
27,027,681 |
|
Diluted weighted average shares outstanding |
|
|
27,221,121 |
|
|
|
27,194,625 |
|
|
|
27,116,349 |
|
|
|
27,099,101 |
|
|
|
27,097,285 |
|
|
|
27,157,120 |
|
|
|
27,080,518 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Average Balances, Interest Income & Expense, Yields and Rates (Taxable Equivalent) |
|
(Unaudited) |
TABLE 4 |
|
|
Three Months Ended |
|
Three Months Ended |
|
Three Months Ended |
|||||||||||||||||||||||||||
|
|
December 31, 2024 |
|
September 30, 2024 |
|
December 31, 2023 |
|||||||||||||||||||||||||||
|
|
Average |
|
Average |
|
|
|
Average |
|
Average |
|
|
|
Average |
|
Average |
|
|
|||||||||||||||
(Dollars in thousands) |
|
Balance |
|
Yield/Rate |
|
Interest |
|
Balance |
|
Yield/Rate |
|
Interest |
|
Balance |
|
Yield/Rate |
|
Interest |
|||||||||||||||
ASSETS |
|||||||||||||||||||||||||||||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing deposits in other financial institutions |
|
$ |
250,493 |
|
4.77 |
% |
|
$ |
3,004 |
|
$ |
203,657 |
|
5.42 |
% |
|
$ |
2,775 |
|
$ |
261,594 |
|
5.45 |
% |
|
$ |
3,597 |
||||||
Investment securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Taxable |
|
|
1,338,569 |
|
|
2.58 |
|
|
|
8,626 |
|
|
|
1,340,347 |
|
|
2.68 |
|
|
|
8,975 |
|
|
|
1,331,752 |
|
|
2.19 |
|
|
|
7,292 |
|
Tax-exempt [1] |
|
|
140,503 |
|
|
2.60 |
|
|
|
915 |
|
|
|
141,168 |
|
|
1.98 |
|
|
|
697 |
|
|
|
146,803 |
|
|
2.36 |
|
|
|
868 |
|
Total investment securities |
|
|
1,479,072 |
|
|
2.58 |
|
|
|
9,541 |
|
|
|
1,481,515 |
|
|
2.61 |
|
|
|
9,672 |
|
|
|
1,478,555 |
|
|
2.21 |
|
|
|
8,160 |
|
Loans, including loans held for sale |
|
|
5,315,802 |
|
|
4.91 |
|
|
|
65,482 |
|
|
|
5,330,810 |
|
|
4.89 |
|
|
|
65,469 |
|
|
|
5,458,245 |
|
|
4.55 |
|
|
|
62,429 |
|
FHLB stock |
|
|
6,929 |
|
|
7.23 |
|
|
|
125 |
|
|
|
6,928 |
|
|
7.31 |
|
|
|
127 |
|
|
|
10,219 |
|
|
4.30 |
|
|
|
109 |
|
Total interest-earning assets |
|
|
7,052,296 |
|
|
4.42 |
|
|
|
78,152 |
|
|
|
7,022,910 |
|
|
4.43 |
|
|
|
78,043 |
|
|
|
7,208,613 |
|
|
4.10 |
|
|
|
74,295 |
|
Noninterest-earning assets |
|
|
325,102 |
|
|
|
|
|
|
|
324,493 |
|
|
|
|
|
|
|
289,484 |
|
|
|
|
|
|||||||||
Total assets |
|
$ |
7,377,398 |
|
|
|
|
|
|
$ |
7,347,403 |
|
|
|
|
|
|
$ |
7,498,097 |
|
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY |
|||||||||||||||||||||||||||||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest-bearing demand deposits |
|
$ |
1,312,561 |
|
|
0.21 |
% |
|
$ |
686 |
|
|
$ |
1,267,135 |
|
|
0.15 |
% |
|
$ |
484 |
|
|
$ |
1,315,943 |
|
|
0.14 |
% |
|
$ |
467 |
|
Savings and money market deposits |
|
|
2,313,293 |
|
|
1.61 |
|
|
|
9,388 |
|
|
|
2,298,853 |
|
|
1.77 |
|
|
|
10,235 |
|
|
|
2,217,065 |
|
|
1.33 |
|
|
|
7,459 |
|
Time deposits up to |
|
|
518,540 |
|
|
2.99 |
|
|
|
3,900 |
|
|
|
534,497 |
|
|
3.15 |
|
|
|
4,238 |
|
|
|
478,085 |
|
|
2.80 |
|
|
|
3,373 |
|
Time deposits over |
|
|
605,920 |
|
|
3.93 |
|
|
|
5,981 |
|
|
|
647,728 |
|
|
4.18 |
|
|
|
6,802 |
|
|
|
856,159 |
|
|
4.34 |
|
|
|
9,368 |
|
Total interest-bearing deposits |
|
|
4,750,314 |
|
|
1.67 |
|
|
|
19,955 |
|
|
|
4,748,213 |
|
|
1.82 |
|
|
|
21,759 |
|
|
|
4,867,252 |
|
|
1.68 |
|
|
|
20,667 |
|
Federal funds purchased and securities sold |
|
|
2 |
|
|
5.57 |
|
|
|
— |
|
|
|
— |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
— |
|
|
|
— |
|
FHLB advances and other short-term borrowings |
|
|
2 |
|
|
5.04 |
|
|
|
— |
|
|
|
— |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
— |
|
|
|
— |
|
Long-term debt |
|
|
156,305 |
|
|
5.68 |
|
|
|
2,231 |
|
|
|
156,247 |
|
|
5.82 |
|
|
|
2,287 |
|
|
|
156,069 |
|
|
5.86 |
|
|
|
2,304 |
|
Total interest-bearing liabilities |
|
|
4,906,623 |
|
|
1.80 |
|
|
|
22,186 |
|
|
|
4,904,460 |
|
|
1.95 |
|
|
|
24,046 |
|
|
|
5,023,321 |
|
|
1.81 |
|
|
|
22,971 |
|
Noninterest-bearing deposits |
|
|
1,796,302 |
|
|
|
|
|
|
|
1,787,209 |
|
|
|
|
|
|
|
1,863,631 |
|
|
|
|
|
|||||||||
Other liabilities |
|
|
132,338 |
|
|
|
|
|
|
|
124,806 |
|
|
|
|
|
|
|
137,437 |
|
|
|
|
|
|||||||||
Total liabilities |
|
|
6,835,263 |
|
|
|
|
|
|
|
6,816,475 |
|
|
|
|
|
|
|
7,024,389 |
|
|
|
|
|
|||||||||
Total shareholders' equity |
|
|
542,135 |
|
|
|
|
|
|
|
530,928 |
|
|
|
|
|
|
|
473,708 |
|
|
|
|
|
|||||||||
Total liabilities and shareholders' equity |
|
$ |
7,377,398 |
|
|
|
|
|
|
$ |
7,347,403 |
|
|
|
|
|
|
$ |
7,498,097 |
|
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net interest income |
|
|
|
|
|
$ |
55,966 |
|
|
|
|
|
|
$ |
53,997 |
|
|
|
|
|
|
$ |
51,324 |
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest rate spread |
|
|
|
2.62 |
% |
|
|
|
|
|
2.48 |
% |
|
|
|
|
|
2.29 |
% |
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Net interest margin |
|
|
|
3.17 |
% |
|
|
|
|
|
3.07 |
% |
|
|
|
|
|
2.84 |
% |
|
|
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
[1] Interest income and resultant yield information for tax-exempt investment securities is expressed on a taxable-equivalent basis using a federal statutory tax rate of |
|||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Average Balances, Interest Income & Expense, Yields and Rates (Taxable Equivalent) |
|
(Unaudited) |
TABLE 5 |
|
|
Year Ended |
|
Year Ended |
||||||||||||||||||
|
|
December 31, 2024 |
|
December 31, 2023 |
||||||||||||||||||
|
|
Average |
|
Average |
|
|
|
Average |
|
Average |
|
|
||||||||||
(Dollars in thousands) |
|
Balance |
|
Yield/Rate |
|
Interest |
|
Balance |
|
Yield/Rate |
|
Interest |
||||||||||
ASSETS |
||||||||||||||||||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest-bearing deposits in other financial institutions |
|
$ |
220,526 |
|
5.26 |
% |
|
$ |
11,593 |
|
$ |
134,150 |
|
5.34 |
% |
|
$ |
7,163 |
||||
Investment securities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Taxable |
|
|
1,334,695 |
|
|
2.49 |
|
|
|
33,278 |
|
|
|
1,365,067 |
|
|
2.11 |
|
|
|
28,789 |
|
Tax-exempt [1] |
|
|
141,688 |
|
|
2.26 |
|
|
|
3,199 |
|
|
|
150,399 |
|
|
2.45 |
|
|
|
3,686 |
|
Total investment securities |
|
|
1,476,383 |
|
|
2.47 |
|
|
|
36,477 |
|
|
|
1,515,466 |
|
|
2.14 |
|
|
|
32,475 |
|
Loans, including loans held for sale |
|
|
5,358,059 |
|
|
4.82 |
|
|
|
258,192 |
|
|
|
5,508,530 |
|
|
4.42 |
|
|
|
243,315 |
|
FHLB stock |
|
|
6,896 |
|
|
7.38 |
|
|
|
509 |
|
|
|
11,317 |
|
|
4.23 |
|
|
|
478 |
|
Total interest-earning assets |
|
|
7,061,864 |
|
|
4.34 |
|
|
|
306,771 |
|
|
|
7,169,463 |
|
|
3.95 |
|
|
|
283,431 |
|
Noninterest-earning assets |
|
|
316,343 |
|
|
|
|
|
|
|
309,780 |
|
|
|
|
|
||||||
Total assets |
|
$ |
7,378,207 |
|
|
|
|
|
|
$ |
7,479,243 |
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY |
||||||||||||||||||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest-bearing demand deposits |
|
$ |
1,287,628 |
|
|
0.17 |
% |
|
$ |
2,159 |
|
|
$ |
1,359,240 |
|
|
0.13 |
% |
|
$ |
1,701 |
|
Savings and money market deposits |
|
|
2,263,273 |
|
|
1.64 |
|
|
|
37,043 |
|
|
|
2,195,763 |
|
|
1.00 |
|
|
|
21,979 |
|
Time deposits up to |
|
|
538,216 |
|
|
3.16 |
|
|
|
17,025 |
|
|
|
415,541 |
|
|
2.15 |
|
|
|
8,917 |
|
Time deposits over |
|
|
687,404 |
|
|
4.23 |
|
|
|
29,059 |
|
|
|
795,917 |
|
|
3.81 |
|
|
|
30,288 |
|
Total interest-bearing deposits |
|
|
4,776,521 |
|
|
1.79 |
|
|
|
85,286 |
|
|
|
4,766,461 |
|
|
1.32 |
|
|
|
62,885 |
|
Federal funds purchased and securities sold |
|
|
1 |
|
|
5.57 |
|
|
|
— |
|
|
|
— |
|
|
— |
|
|
|
— |
|
FHLB advances and other short-term borrowings |
|
|
17 |
|
|
5.58 |
|
|
|
1 |
|
|
|
23,322 |
|
|
4.88 |
|
|
|
1,139 |
|
Long-term debt |
|
|
156,218 |
|
|
5.81 |
|
|
|
9,079 |
|
|
|
148,922 |
|
|
5.80 |
|
|
|
8,633 |
|
Total interest-bearing liabilities |
|
|
4,932,757 |
|
|
1.91 |
|
|
|
94,366 |
|
|
|
4,938,705 |
|
|
1.47 |
|
|
|
72,657 |
|
Noninterest-bearing deposits |
|
|
1,794,469 |
|
|
|
|
|
|
|
1,933,666 |
|
|
|
|
|
||||||
Other liabilities |
|
|
129,973 |
|
|
|
|
|
|
|
133,053 |
|
|
|
|
|
||||||
Total liabilities |
|
|
6,857,199 |
|
|
|
|
|
|
|
7,005,424 |
|
|
|
|
|
||||||
Total shareholders' equity |
|
|
521,008 |
|
|
|
|
|
|
|
473,819 |
|
|
|
|
|
||||||
Total liabilities and shareholders' equity |
|
$ |
7,378,207 |
|
|
|
|
|
|
$ |
7,479,243 |
|
|
|
|
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net interest income |
|
|
|
|
|
$ |
212,405 |
|
|
|
|
|
|
$ |
210,774 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest rate spread |
|
|
|
2.43 |
% |
|
|
|
|
|
2.48 |
% |
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net interest margin |
|
|
|
3.01 |
% |
|
|
|
|
|
2.94 |
% |
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
[1] Interest income and resultant yield information for tax-exempt investment securities is expressed on a taxable-equivalent basis using a federal statutory tax rate of |
||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Loans by Geographic Distribution |
|
(Unaudited) |
TABLE 6 |
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
||||||||||
(Dollars in thousands) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
$ |
430,167 |
|
|
$ |
411,209 |
|
|
$ |
415,538 |
|
|
$ |
420,009 |
|
|
$ |
421,736 |
|
Real estate: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction |
|
|
145,182 |
|
|
|
134,043 |
|
|
|
147,657 |
|
|
|
145,213 |
|
|
|
163,337 |
|
Residential mortgage |
|
|
1,892,520 |
|
|
|
1,897,919 |
|
|
|
1,913,177 |
|
|
|
1,924,889 |
|
|
|
1,927,789 |
|
Home equity |
|
|
676,982 |
|
|
|
697,123 |
|
|
|
706,811 |
|
|
|
729,210 |
|
|
|
736,524 |
|
Commercial mortgage |
|
|
1,165,060 |
|
|
|
1,157,625 |
|
|
|
1,150,703 |
|
|
|
1,103,174 |
|
|
|
1,063,969 |
|
Consumer |
|
|
274,712 |
|
|
|
277,849 |
|
|
|
287,295 |
|
|
|
306,563 |
|
|
|
322,346 |
|
Total loans, net of deferred fees and costs |
|
|
4,584,623 |
|
|
|
4,575,768 |
|
|
|
4,621,181 |
|
|
|
4,629,058 |
|
|
|
4,635,701 |
|
Less: Allowance for credit losses |
|
|
(45,967 |
) |
|
|
(47,789 |
) |
|
|
(47,902 |
) |
|
|
(48,739 |
) |
|
|
(48,189 |
) |
Loans, net of allowance for credit losses |
|
$ |
4,538,656 |
|
|
$ |
4,527,979 |
|
|
$ |
4,573,279 |
|
|
$ |
4,580,319 |
|
|
$ |
4,587,512 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
$ |
176,769 |
|
|
$ |
188,238 |
|
|
$ |
169,318 |
|
|
$ |
156,087 |
|
|
$ |
153,971 |
|
Real estate: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction |
|
|
29 |
|
|
|
24,083 |
|
|
|
23,865 |
|
|
|
23,356 |
|
|
|
22,182 |
|
Commercial mortgage |
|
|
335,620 |
|
|
|
312,685 |
|
|
|
314,667 |
|
|
|
319,088 |
|
|
|
318,933 |
|
Consumer |
|
|
235,811 |
|
|
|
241,835 |
|
|
|
254,613 |
|
|
|
273,828 |
|
|
|
308,195 |
|
Total loans, net of deferred fees and costs |
|
|
748,229 |
|
|
|
766,841 |
|
|
|
762,463 |
|
|
|
772,359 |
|
|
|
803,281 |
|
Less: Allowance for credit losses |
|
|
(13,215 |
) |
|
|
(13,858 |
) |
|
|
(14,323 |
) |
|
|
(14,793 |
) |
|
|
(15,745 |
) |
Loans, net of allowance for credit losses |
|
$ |
735,014 |
|
|
$ |
752,983 |
|
|
$ |
748,140 |
|
|
$ |
757,566 |
|
|
$ |
787,536 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
TOTAL: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
$ |
606,936 |
|
|
$ |
599,447 |
|
|
$ |
584,856 |
|
|
$ |
576,096 |
|
|
$ |
575,707 |
|
Real estate: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction |
|
|
145,211 |
|
|
|
158,126 |
|
|
|
171,522 |
|
|
|
168,569 |
|
|
|
185,519 |
|
Residential mortgage |
|
|
1,892,520 |
|
|
|
1,897,919 |
|
|
|
1,913,177 |
|
|
|
1,924,889 |
|
|
|
1,927,789 |
|
Home equity |
|
|
676,982 |
|
|
|
697,123 |
|
|
|
706,811 |
|
|
|
729,210 |
|
|
|
736,524 |
|
Commercial mortgage |
|
|
1,500,680 |
|
|
|
1,470,310 |
|
|
|
1,465,370 |
|
|
|
1,422,262 |
|
|
|
1,382,902 |
|
Consumer |
|
|
510,523 |
|
|
|
519,684 |
|
|
|
541,908 |
|
|
|
580,391 |
|
|
|
630,541 |
|
Total loans, net of deferred fees and costs |
|
|
5,332,852 |
|
|
|
5,342,609 |
|
|
|
5,383,644 |
|
|
|
5,401,417 |
|
|
|
5,438,982 |
|
Less: Allowance for credit losses |
|
|
(59,182 |
) |
|
|
(61,647 |
) |
|
|
(62,225 |
) |
|
|
(63,532 |
) |
|
|
(63,934 |
) |
Loans, net of allowance for credit losses |
|
$ |
5,273,670 |
|
|
$ |
5,280,962 |
|
|
$ |
5,321,419 |
|
|
$ |
5,337,885 |
|
|
$ |
5,375,048 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
[1] |
||||||||||||||||||||
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Deposits |
|
(Unaudited) |
TABLE 7 |
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
||||||||||
(Dollars in thousands) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
Noninterest-bearing demand |
|
$ |
1,888,937 |
|
$ |
1,838,009 |
|
$ |
1,847,173 |
|
$ |
1,848,554 |
|
$ |
1,913,379 |
|||||
Interest-bearing demand |
|
|
1,338,719 |
|
|
|
1,255,382 |
|
|
|
1,283,669 |
|
|
|
1,290,321 |
|
|
|
1,329,189 |
|
Savings and money market |
|
|
2,329,170 |
|
|
|
2,336,323 |
|
|
|
2,234,111 |
|
|
|
2,211,966 |
|
|
|
2,209,733 |
|
Time deposits up to |
|
|
483,378 |
|
|
|
536,316 |
|
|
|
547,212 |
|
|
|
544,600 |
|
|
|
533,898 |
|
Core deposits |
|
|
6,040,204 |
|
|
|
5,966,030 |
|
|
|
5,912,165 |
|
|
|
5,895,441 |
|
|
|
5,986,199 |
|
Other time deposits greater than |
|
|
500,693 |
|
|
|
492,221 |
|
|
|
476,457 |
|
|
|
487,950 |
|
|
|
486,812 |
|
Government time deposits |
|
|
103,114 |
|
|
|
124,762 |
|
|
|
193,833 |
|
|
|
235,463 |
|
|
|
374,581 |
|
Total time deposits greater than |
|
|
603,807 |
|
|
|
616,983 |
|
|
|
670,290 |
|
|
|
723,413 |
|
|
|
861,393 |
|
Total deposits |
|
$ |
6,644,011 |
|
|
$ |
6,583,013 |
|
|
$ |
6,582,455 |
|
|
$ |
6,618,854 |
|
|
$ |
6,847,592 |
|
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Nonperforming Assets and Accruing Loans 90+ Days Past Due |
|
(Unaudited) |
TABLE 8 |
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
||||||||||
(Dollars in thousands) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
Nonaccrual loans: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
$ |
414 |
|
|
$ |
376 |
|
|
$ |
355 |
|
|
$ |
357 |
|
|
$ |
432 |
|
Real estate: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Residential mortgage |
|
|
9,044 |
|
|
|
9,680 |
|
|
|
7,991 |
|
|
|
7,979 |
|
|
|
4,962 |
|
Home equity |
|
|
952 |
|
|
|
915 |
|
|
|
1,247 |
|
|
|
929 |
|
|
|
834 |
|
Commercial mortgage |
|
|
— |
|
|
|
— |
|
|
|
77 |
|
|
|
77 |
|
|
|
77 |
|
Consumer |
|
|
608 |
|
|
|
626 |
|
|
|
587 |
|
|
|
790 |
|
|
|
703 |
|
Total nonaccrual loans |
|
|
11,018 |
|
|
|
11,597 |
|
|
|
10,257 |
|
|
|
10,132 |
|
|
|
7,008 |
|
Other real estate owned ("OREO") |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total nonperforming assets ("NPAs") |
|
|
11,018 |
|
|
|
11,597 |
|
|
|
10,257 |
|
|
|
10,132 |
|
|
|
7,008 |
|
Accruing loans 90+ days past due: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Real estate: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Construction |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
588 |
|
|
|
— |
|
Residential mortgage |
|
|
323 |
|
|
|
13 |
|
|
|
1,273 |
|
|
|
386 |
|
|
|
— |
|
Home equity |
|
|
78 |
|
|
|
135 |
|
|
|
135 |
|
|
|
560 |
|
|
|
229 |
|
Consumer |
|
|
373 |
|
|
|
481 |
|
|
|
896 |
|
|
|
924 |
|
|
|
1,083 |
|
Total accruing loans 90+ days past due |
|
|
774 |
|
|
|
629 |
|
|
|
2,304 |
|
|
|
2,458 |
|
|
|
1,312 |
|
Total NPAs and accruing loans 90+ days past due |
|
$ |
11,792 |
|
|
$ |
12,226 |
|
|
$ |
12,561 |
|
|
$ |
12,590 |
|
|
$ |
8,320 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Ratio of total nonaccrual loans to total loans |
|
|
0.21 |
% |
|
|
0.22 |
% |
|
|
0.19 |
% |
|
|
0.19 |
% |
|
|
0.13 |
% |
Ratio of total NPAs to total assets |
|
|
0.15 |
|
|
|
0.16 |
|
|
|
0.14 |
|
|
|
0.14 |
|
|
|
0.09 |
|
Ratio of total NPAs to total loans and OREO |
|
|
0.21 |
|
|
|
0.22 |
|
|
|
0.19 |
|
|
|
0.19 |
|
|
|
0.13 |
|
Ratio of total NPAs and accruing loans 90+ days past due to total loans and OREO |
|
|
0.22 |
|
|
|
0.23 |
|
|
|
0.23 |
|
|
|
0.23 |
|
|
|
0.15 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Quarter-to-quarter changes in NPAs: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance at beginning of quarter |
|
$ |
11,597 |
|
|
$ |
10,257 |
|
|
$ |
10,132 |
|
|
$ |
7,008 |
|
|
$ |
6,652 |
|
Additions |
|
|
1,436 |
|
|
|
3,484 |
|
|
|
1,920 |
|
|
|
4,792 |
|
|
|
1,836 |
|
Reductions: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Payments |
|
|
(763 |
) |
|
|
(602 |
) |
|
|
(363 |
) |
|
|
(263 |
) |
|
|
(268 |
) |
Return to accrual status |
|
|
(71 |
) |
|
|
(354 |
) |
|
|
(27 |
) |
|
|
(198 |
) |
|
|
(137 |
) |
Charge-offs, valuation and other adjustments |
|
|
(1,181 |
) |
|
|
(1,188 |
) |
|
|
(1,405 |
) |
|
|
(1,207 |
) |
|
|
(1,075 |
) |
Total reductions |
|
|
(2,015 |
) |
|
|
(2,144 |
) |
|
|
(1,795 |
) |
|
|
(1,668 |
) |
|
|
(1,480 |
) |
Balance at end of quarter |
|
$ |
11,018 |
|
|
$ |
11,597 |
|
|
$ |
10,257 |
|
|
$ |
10,132 |
|
|
$ |
7,008 |
|
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Allowance for Credit Losses on Loans |
|
(Unaudited) |
TABLE 9 |
|
|
Three Months Ended |
|
Year Ended |
||||||||||||||||||||||||
|
|
Dec 31, |
|
Sep 30, |
|
Jun 30, |
|
Mar 31, |
|
Dec 31, |
|
Dec 31, |
||||||||||||||||
(Dollars in thousands) |
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2024 |
|
|
|
2023 |
|
|
|
2024 |
|
|
|
2023 |
|
Allowance for credit losses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Balance at beginning of period |
|
$ |
61,647 |
|
|
$ |
62,225 |
|
|
$ |
63,532 |
|
|
$ |
63,934 |
|
|
$ |
64,517 |
|
|
$ |
63,934 |
|
|
$ |
63,738 |
|
Provision for credit losses on loans |
|
|
1,353 |
|
|
|
3,040 |
|
|
|
2,448 |
|
|
|
4,121 |
|
|
|
4,959 |
|
|
|
10,962 |
|
|
|
15,235 |
|
Charge-offs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial |
|
|
(1,113 |
) |
|
|
(663 |
) |
|
|
(519 |
) |
|
|
(682 |
) |
|
|
(419 |
) |
|
|
(2,977 |
) |
|
|
(1,962 |
) |
Real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Residential mortgage |
|
|
— |
|
|
|
(99 |
) |
|
|
(284 |
) |
|
|
— |
|
|
|
— |
|
|
|
(383 |
) |
|
|
— |
|
Consumer. |
|
|
(3,727 |
) |
|
|
(3,956 |
) |
|
|
(4,345 |
) |
|
|
(4,838 |
) |
|
|
(5,976 |
) |
|
|
(16,866 |
) |
|
|
(17,245 |
) |
Total charge-offs |
|
|
(4,840 |
) |
|
|
(4,718 |
) |
|
|
(5,148 |
) |
|
|
(5,520 |
) |
|
|
(6,395 |
) |
|
|
(20,226 |
) |
|
|
(19,207 |
) |
Recoveries: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Commercial and industrial |
|
|
158 |
|
|
|
158 |
|
|
|
130 |
|
|
|
90 |
|
|
|
84 |
|
|
|
536 |
|
|
|
720 |
|
Real estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Construction |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1 |
|
Residential mortgage |
|
|
11 |
|
|
|
8 |
|
|
|
9 |
|
|
|
8 |
|
|
|
7 |
|
|
|
36 |
|
|
|
77 |
|
Home equity |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6 |
|
|
|
42 |
|
|
|
6 |
|
|
|
57 |
|
Consumer |
|
|
853 |
|
|
|
934 |
|
|
|
1,254 |
|
|
|
893 |
|
|
|
720 |
|
|
|
3,934 |
|
|
|
3,313 |
|
Total recoveries |
|
|
1,022 |
|
|
|
1,100 |
|
|
|
1,393 |
|
|
|
997 |
|
|
|
853 |
|
|
|
4,512 |
|
|
|
4,168 |
|
Net charge-offs |
|
|
(3,818 |
) |
|
|
(3,618 |
) |
|
|
(3,755 |
) |
|
|
(4,523 |
) |
|
|
(5,542 |
) |
|
|
(15,714 |
) |
|
|
(15,039 |
) |
Balance at end of period |
|
$ |
59,182 |
|
|
$ |
61,647 |
|
|
$ |
62,225 |
|
|
$ |
63,532 |
|
|
$ |
63,934 |
|
|
$ |
59,182 |
|
|
$ |
63,934 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Average loans, net of deferred fees and costs |
|
$ |
5,315,802 |
|
|
$ |
5,330,810 |
|
|
$ |
5,385,829 |
|
|
$ |
5,400,558 |
|
|
$ |
5,458,245 |
|
|
$ |
5,358,059 |
|
|
$ |
5,508,530 |
|
Ratio of annualized net charge-offs to average loans |
|
|
0.29 |
% |
|
|
0.27 |
% |
|
|
0.28 |
% |
|
|
0.34 |
% |
|
|
0.41 |
% |
|
|
0.29 |
% |
|
|
0.27 |
% |
Ratio of ACL to total loans |
|
|
1.11 |
|
|
|
1.15 |
|
|
|
1.16 |
|
|
|
1.18 |
|
|
|
1.18 |
|
|
|
1.11 |
% |
|
|
1.18 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Reconciliation of Non-GAAP Financial Measures |
|
(Unaudited) |
TABLE 10 |
To supplement our consolidated financial information, the Company uses certain non-GAAP financial measures, which are not meant to be considered in isolation or as a substitute for comparable GAAP. The Company believes these non-GAAP financial measures provide useful information to investors and others, which excludes transactions that are not meaningful in comparison to our past operating performance or not reflective of ongoing financial results. The Company believes that these measures offer a supplemental measure for period-to-period comparisons and can be used to evaluate our historical and prospective financial performance. These non-GAAP financial measures may not be comparable to similarly entitled measures reported by other companies.
The following reconciling adjustments from GAAP or reported financial measures to non-GAAP adjusted financial measures are limited to: (i) pre-tax loss on sales of investment securities related to an investment portfolio repositioning of
|
|
Three Months Ended December 31, 2024 |
|
Three Months Ended September 30, 2024 |
|
Three Months Ended December 31, 2023 |
||||||||||||||||||
(dollars in thousands, |
|
|
|
Non-GAAP |
|
|
|
Non-GAAP |
|
|
|
Non-GAAP |
||||||||||||
except per share data) |
|
Reported |
|
Adjusted |
|
Reported |
|
Adjusted |
|
Reported |
|
Adjusted |
||||||||||||
Financial measures: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Net income |
|
$ |
11,345 |
|
|
$ |
18,994 |
|
|
$ |
13,305 |
|
|
$ |
15,667 |
|
|
$ |
14,866 |
|
|
$ |
14,161 |
|
Diluted earnings per share ("EPS") |
|
$ |
0.42 |
|
|
$ |
0.70 |
|
|
$ |
0.49 |
|
|
$ |
0.58 |
|
|
$ |
0.55 |
|
|
$ |
0.52 |
|
Pre-provision net revenue (non-GAAP) |
|
$ |
14,221 |
|
|
$ |
24,155 |
|
|
$ |
19,898 |
|
|
$ |
22,966 |
|
|
$ |
23,792 |
|
|
$ |
22,877 |
|
Efficiency ratio (non-GAAP) |
|
|
75.65 |
% |
|
|
64.65 |
% |
|
|
70.12 |
% |
|
|
65.51 |
% |
|
|
64.12 |
% |
|
|
63.76 |
% |
Return on average assets ("ROA") |
|
|
0.62 |
% |
|
|
1.03 |
% |
|
|
0.72 |
% |
|
|
0.85 |
% |
|
|
0.79 |
% |
|
|
0.76 |
% |
Return on average shareholders' equity ("ROE") |
|
|
8.37 |
% |
|
|
13.82 |
% |
|
|
10.02 |
% |
|
|
11.75 |
% |
|
|
12.55 |
% |
|
|
11.98 |
% |
As of December 31, 2024, September 30, 2024 and December 31, 2023: |
||||||||||||||||||||||||
Tangible common equity ("TCE") ratio (non-GAAP) |
|
|
7.21 |
% |
|
|
7.33 |
% |
|
|
7.31 |
% |
|
|
7.34 |
% |
|
|
6.57 |
% |
|
|
6.57 |
% |
|
|
Year Ended December 31, 2024 |
|
Year Ended December 31, 2023 |
||||||||||||
(dollars in thousands, |
|
|
|
Non-GAAP |
|
|
|
Non-GAAP |
||||||||
except per share data) |
|
Reported |
|
Adjusted |
|
Reported |
|
Adjusted |
||||||||
Financial measures: |
|
|
|
|
|
|
|
|
||||||||
Net income |
|
$ |
53,412 |
|
|
$ |
63,423 |
|
|
$ |
58,669 |
|
|
$ |
57,964 |
|
Diluted earnings per share ("EPS") |
|
$ |
1.97 |
|
|
$ |
2.34 |
|
|
$ |
2.17 |
|
|
$ |
2.14 |
|
Pre-provision net revenue (non-GAAP) |
|
$ |
77,865 |
|
|
$ |
90,867 |
|
|
$ |
92,520 |
|
|
$ |
91,605 |
|
Efficiency ratio (non-GAAP) |
|
|
68.91 |
% |
|
|
65.10 |
% |
|
|
63.95 |
% |
|
|
63.86 |
% |
Return on average assets ("ROA") |
|
|
0.72 |
% |
|
|
0.86 |
% |
|
|
0.78 |
% |
|
|
0.78 |
% |
Return on average shareholders' equity ("ROE") |
|
10.25 |
% |
|
12.10 |
% |
12.38 |
% |
|
12.24 |
% |
|||||
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Reconciliation of Non-GAAP Financial Measures |
|
(Unaudited) |
TABLE 10 (CONTINUED) |
The following table presents a recalculation of the non-GAAP core earnings and non-GAAP EPS presented above.
|
|
Three Months Ended |
|
Year Ended |
||||||||||||||||
(dollars in thousands, except per share data) |
|
Dec 31, 2024 |
|
Sep 30, 2024 |
|
Dec 31, 2023 |
|
Dec 31, 2024 |
|
Dec 31, 2023 |
||||||||||
GAAP net income |
|
$ |
11,345 |
|
|
$ |
13,305 |
|
|
$ |
14,866 |
|
|
$ |
53,412 |
|
|
$ |
58,669 |
|
Add: Pre-tax net loss related to an investment portfolio repositioning |
|
|
9,934 |
|
|
|
— |
|
|
|
1,939 |
|
|
|
9,934 |
|
|
|
1,939 |
|
Less: Pre-tax net gain on sale of a real estate property |
|
|
— |
|
|
|
— |
|
|
|
(5,128 |
) |
|
|
— |
|
|
|
(5,128 |
) |
Add: Pre-tax expenses related to a strategic opportunity |
|
|
— |
|
|
|
3,068 |
|
|
|
— |
|
|
|
3,068 |
|
|
|
— |
|
Add: Pre-tax branch lease termination expense |
|
|
— |
|
|
|
— |
|
|
|
2,274 |
|
|
|
— |
|
|
|
2,274 |
|
Total pre-tax adjustments (non-GAAP) |
|
|
9,934 |
|
|
|
3,068 |
|
|
|
(915 |
) |
|
|
13,002 |
|
|
|
(915 |
) |
Less: Income tax effect (assumes |
|
|
(2,285 |
) |
|
|
(706 |
) |
|
|
210 |
|
|
|
(2,991 |
) |
|
|
210 |
|
Total adjustments, net of tax (non-GAAP) |
|
|
7,649 |
|
|
|
2,362 |
|
|
|
(705 |
) |
|
|
10,011 |
|
|
|
(705 |
) |
Adjusted net income (non-GAAP) |
|
$ |
18,994 |
|
|
$ |
15,667 |
|
|
$ |
14,161 |
|
|
$ |
63,423 |
|
|
$ |
57,964 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted weighted average shares outstanding |
|
|
27,221,121 |
|
|
|
27,194,625 |
|
|
|
27,097,285 |
|
|
|
27,157,120 |
|
|
|
27,080,518 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
GAAP EPS |
|
$ |
0.42 |
|
|
$ |
0.49 |
|
|
$ |
0.55 |
|
|
$ |
1.97 |
|
|
$ |
2.17 |
|
Add: Total adjustments, net of tax (non-GAAP) |
|
|
0.28 |
|
|
|
0.09 |
|
|
|
(0.03 |
) |
|
|
0.37 |
|
|
|
(0.03 |
) |
Adjusted EPS (non-GAAP) |
|
$ |
0.70 |
|
|
$ |
0.58 |
|
|
$ |
0.52 |
|
|
$ |
2.34 |
|
|
$ |
2.14 |
|
|
|
|
|
|
|
|
|
|
|
|
The following table presents a recalculation of the non-GAAP adjusted pre-provision net revenue ("PPNR") presented above.
|
|
Three Months Ended |
|
Year Ended |
||||||||||||||||
(dollars in thousands) |
|
Dec 31, 2024 |
|
Sep 30, 2024 |
|
Dec 31, 2023 |
|
Dec 31, 2024 |
|
Dec 31, 2023 |
||||||||||
GAAP net income |
|
$ |
11,345 |
|
$ |
13,305 |
|
$ |
14,866 |
|
$ |
53,412 |
|
$ |
58,669 |
|||||
Add: Income tax expense |
|
|
2,058 |
|
|
|
3,760 |
|
|
|
4,273 |
|
|
|
14,627 |
|
|
|
18,153 |
|
GAAP pre-tax income |
|
|
13,403 |
|
|
|
17,065 |
|
|
|
19,139 |
|
|
|
68,039 |
|
|
|
76,822 |
|
Add: Provision for credit losses |
|
|
818 |
|
|
|
2,833 |
|
|
|
4,653 |
|
|
|
9,826 |
|
|
|
15,698 |
|
Pre-provision net revenue ("PPNR") (non-GAAP) |
|
|
14,221 |
|
|
|
19,898 |
|
|
|
23,792 |
|
|
|
77,865 |
|
|
|
92,520 |
|
Add: Total pre-tax adjustments (non-GAAP) |
|
|
9,934 |
|
|
|
3,068 |
|
|
|
(915 |
) |
|
|
13,002 |
|
|
|
(915 |
) |
Adjusted PPNR (non-GAAP) |
|
$ |
24,155 |
|
|
$ |
22,966 |
|
|
$ |
22,877 |
|
|
$ |
90,867 |
|
|
$ |
91,605 |
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Reconciliation of Non-GAAP Financial Measures |
|
(Unaudited) |
TABLE 10 (CONTINUED) |
The following table presents a recalculation of the non-GAAP adjusted efficiency ratio presented above.
|
|
Three Months Ended |
|
Year Ended |
||||||||||||||||
(dollars in thousands) |
|
Dec 31, 2024 |
|
Sep 30, 2024 |
|
Dec 31, 2023 |
|
Dec 31, 2024 |
|
Dec 31, 2023 |
||||||||||
Total other operating expense |
|
$ |
44,177 |
|
|
$ |
46,687 |
|
|
$ |
42,522 |
|
|
$ |
172,591 |
|
|
$ |
164,143 |
|
Less: Expenses related to a strategic opportunity |
|
|
— |
|
|
|
(3,068 |
) |
|
|
— |
|
|
|
(3,068 |
) |
|
|
— |
|
Less: Branch lease termination expense |
|
|
— |
|
|
|
— |
|
|
|
(2,274 |
) |
|
|
— |
|
|
|
(2,274 |
) |
Total other operating expense adjustments (non-GAAP) |
|
|
— |
|
|
|
(3,068 |
) |
|
|
(2,274 |
) |
|
|
(3,068 |
) |
|
|
(2,274 |
) |
Adjusted total other operating expense (non-GAAP) |
|
$ |
44,177 |
|
|
$ |
43,619 |
|
|
$ |
40,248 |
|
|
$ |
169,523 |
|
|
$ |
161,869 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net interest income |
|
$ |
55,774 |
|
|
$ |
53,851 |
|
|
$ |
51,142 |
|
|
$ |
211,733 |
|
|
$ |
210,000 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total other operating income |
|
|
2,624 |
|
|
|
12,734 |
|
|
|
15,172 |
|
|
|
38,723 |
|
|
|
46,663 |
|
Add: Net loss related to an investment portfolio repositioning |
|
|
9,934 |
|
|
|
— |
|
|
|
1,939 |
|
|
|
9,934 |
|
|
|
1,939 |
|
Less: Net gain on sale of a real estate property |
|
|
— |
|
|
|
— |
|
|
|
(5,128 |
) |
|
|
— |
|
|
|
(5,128 |
) |
Total other operating income adjustments (non-GAAP) |
|
|
9,934 |
|
|
|
— |
|
|
|
(3,189 |
) |
|
|
9,934 |
|
|
|
(3,189 |
) |
Adjusted total other operating income (non-GAAP) |
|
|
12,558 |
|
|
|
12,734 |
|
|
|
11,983 |
|
|
|
48,657 |
|
|
|
43,474 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total revenue |
|
$ |
58,398 |
|
|
$ |
66,585 |
|
|
$ |
66,314 |
|
|
$ |
250,456 |
|
|
$ |
256,663 |
|
Adjusted total revenue (non-GAAP) |
|
$ |
68,332 |
|
|
$ |
66,585 |
|
|
$ |
63,125 |
|
|
$ |
260,390 |
|
|
$ |
253,474 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Efficiency ratio (non-GAAP) |
|
|
75.65 |
% |
|
|
70.12 |
% |
|
|
64.12 |
% |
|
|
68.91 |
% |
|
|
63.95 |
% |
Less: Total pre-tax adjustments (non-GAAP) |
|
|
(11.00 |
)% |
|
|
(4.61 |
)% |
|
|
(0.36 |
)% |
|
|
(3.81 |
)% |
|
|
(0.09 |
)% |
Adjusted efficiency ratio (non-GAAP) |
|
|
64.65 |
% |
|
|
65.51 |
% |
|
|
63.76 |
% |
|
|
65.10 |
% |
|
|
63.86 |
% |
|
|
|
|
|
|
|
|
|
|
|
CENTRAL PACIFIC FINANCIAL CORP. AND SUBSIDIARIES |
|
Reconciliation of Non-GAAP Financial Measures |
|
(Unaudited) |
TABLE 10 (CONTINUED) |
The following table presents a recalculation of the non-GAAP adjusted ROA and adjusted ROE presented above.
|
|
Three Months Ended |
|
Year Ended |
||||||||||||||||
(dollars in thousands) |
|
Dec 31, 2024 |
|
Sep 30, 2024 |
|
Dec 31, 2023 |
|
Dec 31, 2024 |
|
Dec 31, 2023 |
||||||||||
Average assets |
|
$ |
7,377,398 |
|
|
$ |
7,347,403 |
|
|
$ |
7,498,097 |
|
|
$ |
7,378,207 |
|
|
$ |
7,479,243 |
|
Add: Total adjustments, net of tax (non-GAAP) |
|
|
7,649 |
|
|
|
2,362 |
|
|
|
(705 |
) |
|
|
3,093 |
|
|
|
(176 |
) |
Adjusted average assets (non-GAAP) |
|
$ |
7,385,047 |
|
|
$ |
7,349,765 |
|
|
$ |
7,497,392 |
|
|
$ |
7,381,300 |
|
|
$ |
7,479,067 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
ROA (GAAP net income to average assets) |
|
|
0.62 |
% |
|
|
0.72 |
% |
|
|
0.79 |
% |
|
|
0.72 |
% |
|
|
0.78 |
% |
Add: Total adjustments, net of tax (non-GAAP) |
|
|
0.41 |
|
|
|
0.13 |
|
|
|
(0.03 |
) |
|
|
0.14 |
|
|
|
— |
|
Adjusted ROA (non-GAAP) |
|
|
1.03 |
% |
|
|
0.85 |
% |
|
|
0.76 |
% |
|
|
0.86 |
% |
|
|
0.78 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Average shareholders' equity |
|
$ |
542,135 |
|
|
$ |
530,928 |
|
|
$ |
473,708 |
|
|
$ |
521,008 |
|
|
$ |
473,819 |
|
Add: Total adjustments, net of tax (non-GAAP) |
|
|
7,649 |
|
|
|
2,362 |
|
|
|
(705 |
) |
|
|
3,093 |
|
|
|
(176 |
) |
Adjusted average shareholders' equity (non-GAAP) |
|
$ |
549,784 |
|
|
$ |
533,290 |
|
|
$ |
473,003 |
|
|
$ |
524,101 |
|
|
$ |
473,643 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
ROE (GAAP net income to average shareholders' equity) |
|
|
8.37 |
% |
|
|
10.02 |
% |
|
|
12.55 |
% |
|
|
10.25 |
% |
|
|
12.38 |
% |
Add: Total adjustments, net of tax (non-GAAP) |
|
|
5.45 |
|
|
|
1.73 |
|
|
|
(0.57 |
) |
|
|
1.85 |
|
|
|
(0.14 |
) |
Adjusted ROE (non-GAAP) |
|
|
13.82 |
% |
|
|
11.75 |
% |
|
|
11.98 |
% |
|
|
12.10 |
% |
|
|
12.24 |
% |
|
|
|
|
|
|
|
|
|
|
|
The following table presents a recalculation of the non-GAAP tangible common equity ("TCE") ratio presented above.
(dollars in thousands) |
|
December 31, 2024 |
|
September 30, 2024 |
|
December 31, 2023 |
||||||
Total shareholders' equity |
|
$ |
538,385 |
|
|
$ |
543,725 |
|
|
$ |
503,815 |
|
Less: Intangible assets |
|
|
— |
|
|
|
(1,390 |
) |
|
|
(1,461 |
) |
TCE |
|
|
538,385 |
|
|
|
542,335 |
|
|
|
502,354 |
|
Add: Total adjustments, net of tax (non-GAAP) |
|
|
10,011 |
|
|
|
2,362 |
|
|
|
(705 |
) |
Adjusted TCE (non-GAAP) |
|
$ |
548,396 |
|
|
$ |
544,697 |
|
|
$ |
501,649 |
|
|
|
|
|
|
|
|
||||||
Total assets |
|
$ |
7,472,096 |
|
|
$ |
7,415,430 |
|
|
$ |
7,642,796 |
|
Less: Intangible assets |
|
|
— |
|
|
|
(1,390 |
) |
|
|
(1,461 |
) |
Tangible assets |
|
|
7,472,096 |
|
|
|
7,414,040 |
|
|
|
7,641,335 |
|
Add: Total adjustments, net of tax (non-GAAP) |
|
|
10,011 |
|
|
|
2,362 |
|
|
|
(705 |
) |
Adjusted tangible assets (non-GAAP) |
|
$ |
7,482,107 |
|
|
$ |
7,416,402 |
|
|
$ |
7,640,630 |
|
|
|
|
|
|
|
|
||||||
TCE ratio (non-GAAP) (TCE to tangible assets) |
|
|
7.21 |
% |
|
|
7.31 |
% |
|
|
6.57 |
% |
Add: Total adjustments, net of tax (non-GAAP) |
|
|
0.12 |
|
|
|
0.03 |
|
|
|
— |
|
Adjusted TCE ratio (non-GAAP) |
|
|
7.33 |
% |
|
|
7.34 |
% |
|
|
6.57 |
% |
|
|
|
|
|
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20250129812623/en/
Investor Contact:
Ian Tanaka
SVP, Treasury Manager
(808) 544-3646
ian.tanaka@cpb.bank
Media Contact:
Tim Sakahara
AVP, Corporate Communications Manager
(808) 544-5125
tim.sakahara@cpb.bank
Source: Central Pacific Financial Corp.