Eastern Bankshares, Inc. Reports Second Quarter 2021 Financial Results and Declares Quarterly Dividend
Eastern Bankshares (NASDAQ: EBC) reported its Q2 2021 results, highlighting a net income of $34.8 million ($0.20 per share), a decline from $47.7 million ($0.28 per share) in Q1 2021. The results included $3.5 million in merger expenses related to the Century Bancorp acquisition and $3.3 million for litigation settlements. Excluding these, operating net income was $37.1 million ($0.22 per share). Total loans decreased by 3% to $9.6 billion, but non-PPP loan growth was 5%. A quarterly cash dividend of $0.08 per share was declared, payable on September 15, 2021.
- Operating net income of $37.1 million ($0.22 per share), excluding merger and litigation expenses.
- Loan growth (excluding PPP) reached $117 million, or 5% annualized, indicating business confidence.
- Increase in net interest income by $4.5 million to $104.6 million, driven by higher loan income.
- Net income dropped 27% from Q1 2021, impacting earnings per share.
- Total loans fell by 3%, reflecting a significant decline in PPP loan balances.
- Noninterest income decreased by $9.5 million from the prior quarter, mainly due to lower insurance revenue.
Eastern Bankshares, Inc. (the “Company,” or together with its affiliates and subsidiaries, “Eastern”) (NASDAQ Global Select Market: EBC), the stock holding company of Eastern Bank, today announced its 2021 second quarter financial results and the declaration of a quarterly cash dividend of
Financial results for the second quarter of 2021 include
“Our second quarter financial results continue to demonstrate our organic growth, strong fee income generation, sound asset quality, and focus on our long-term profitability,” said Bob Rivers, Chief Executive Officer and Chair of the Board of Eastern Bankshares, Inc. and Eastern Bank. “COVID-19 vaccination rates in our core markets are among the highest in the country, and we’re seeing significant progress in our local economy as businesses were able to reopen their doors and look to the future. Excluding PPP loans, we saw loan growth of
HIGHLIGHTS FOR THE SECOND QUARTER OF 2021
-
Total loans excluding Small Business Administration (“SBA”) Paycheck Protection Program (“PPP”) loans grew
$116.9 million , or5% on an annualized basis from the prior quarter. Residential and commercial loans excluding PPP loans grew15% and5% , respectively, on an annualized basis from the prior quarter. -
Net interest income increased
$4.5 million from the prior quarter due to growth in the Company’s securities portfolio and higher loan income, primarily attributable to higher PPP fee recognition. -
An improving economic outlook coupled with strong asset quality led to a
$3.3 million release of loan loss reserves. Nonperforming loans were$41.6 million , or0.43% of total loans at the end of the second quarter. -
The second quarter saw solid fee generation with insurance, wealth management and debit card revenues up
4% ,17% and36% , respectively, from the prior year quarter.
BALANCE SHEET
Total assets were
-
Available for sale securities increased
$862.5 million , or22% , on a consecutive quarter basis, to$4.8 billion , as excess liquidity was deployed into U.S. Agency securities. Cash and equivalents declined$296.1 million to$1.6 billion . -
Total loans were
$9.6 billion , representing a decrease of$295.4 million , or3% , from the prior quarter as the pace of forgiveness of PPP loans accelerated in the second quarter. Excluding PPP loans, total loans grew$116.9 million , or1% , from the prior quarter, driven by growth in commercial loans excluding PPP loans of$80.7 million and residential loans of$51.0 million . -
Deposits totaled
$13.3 billion , representing an increase of$269.6 million , or2% , from March 31, 2021. -
Shareholders’ equity was
$3.4 billion , representing an increase of$43.6 million , or1% , from the prior quarter. The increase is driven by higher retained earnings of$21.0 million as well as an increase in the after-tax market value of the available for sale investment portfolio, which drove the increase in accumulated other comprehensive income of$19.9 million . -
At June 30, 2021, book value per share was
$18.37 and tangible book value per share* was$16.33 .
NET INTEREST INCOME
Net interest income was
-
Included in net interest income was
$9.3 million and$8.3 million of SBA PPP fee accretion net of deferred cost amortization in the second quarter and prior quarter, respectively. Between March 31, 2021 and June 30, 2021,$502.9 million in PPP loans were forgiven through the SBA or otherwise paid down compared to$240.7 million in the prior quarter. In the second quarter, PPP loan forgiveness was concentrated in higher balance loans where the Company received a lower percentage loan processing fee from the SBA relative to the prior quarter. Loans forgiven in the second quarter had lower unaccreted fee income at the time of forgiveness relative to the first quarter. -
Interest income on available for sale securities increased
$2.3 million to$14.3 million in the second quarter as excess cash continues to be deployed into securities. Investment securities averaged$4.3 billion for the second quarter compared to$3.6 billion for the prior quarter, an increase of$713.2 million . -
The net interest margin on a fully tax equivalent (“FTE”) basis* was
2.69% for the second quarter, representing a 2 basis points decrease from the prior quarter. The net interest margin continues to be pressured by the low interest rate environment and excess liquidity. The core net interest margin* in Appendix E demonstrates the impact of excess cash and the PPP program.
NONINTEREST INCOME
Noninterest income was
-
Insurance commissions decreased
$4.5 million to$23.7 million in the second quarter, compared to$28.1 million in the prior quarter, driven by seasonality. Compared to the prior year quarter, insurance commissions increased$1.0 million , or4% . -
Trust and investment advisory fees increased
$0.4 million on a consecutive quarter basis to$6.1 million primarily due to higher equity values. -
Loan-level interest rate swap losses were
$1.2 million in the second quarter, compared to$5.4 million in revenue in the prior quarter, representing a decrease of$6.6 million that was primarily driven by a$6.4 million decrease in the fair value of such interest rate swap transactions due to lower market interest rates. -
Income on securities held in rabbi trust accounts was
$4.2 million in the second quarter compared to$1.8 million in the prior quarter, representing an increase of$2.4 million primarily due to higher equity market gains in the second quarter of 2021 as compared to the prior quarter. -
Mortgage origination activity was lower in the second quarter as compared to the prior quarter with the gain on sale of loans held for sale totaling
$0.8 million , down$0.6 million from the prior quarter.
Please refer to Appendix B for a reconciliation of operating revenues and expenses*.
NONINTEREST EXPENSE
Noninterest expense was
-
Salaries and employee benefits expense was
$69.3 million in the second quarter, representing an increase of$5.2 million from the prior quarter. The increase was primarily driven by higher incentive compensation expense of$3.4 million and an increase in the defined contribution supplemental executive retirement plan (“DC SERP”) expense of$1.1 million associated with the increase in the market value of investments held in rabbi trust accounts. -
Data processing expense was
$13.6 million in the second quarter, an increase of$1.4 million from the prior quarter. Professional services expense was$6.4 million , an increase of$2.3 million from the prior quarter. These increases can be primarily attributed to costs associated with the pending acquisition of Century. -
Marketing expenses were
$3.5 million in the second quarter, representing an increase of$1.8 million from the prior quarter. -
Other noninterest expense increased
$2.5 million in the second quarter to$3.0 million . In the second quarter, the Company recorded expenses of$3.3 million related to the anticipated settlement of overdraft fee and nonsufficient fund fee suits brought against the Company that were the subject of mediation during the quarter. Partially offsetting this increased expense in the second quarter was the reversal of an impairment charge on tax credit investments of$1.4 million .
Please refer to Appendix B for a reconciliation of operating revenues and expenses*.
ASSET QUALITY
The allowance for loan losses was
Non-performing loans totaled
At June 30, 2021, approximately
Please refer to Appendix F for a detailed breakout on COVID-19 related loan modifications.
CONFERENCE CALL INFORMATION
A conference call and webcast covering Eastern’s second quarter 2021 earnings will be held on Friday, July 30, 2021 at 9:00 a.m. Eastern Time. To join by telephone, participants can call the toll-free dial-in number (833) 233-4460 from within the U.S. or (647) 689-4543 if outside the U.S. and reference conference ID 7899073. The conference call will be simultaneously webcast. Participants may join the webcast on the Company’s Investor Relations website at investor.easternbank.com. A replay of the webcast will be made available on demand on this site.
Following the webcast, Eastern will post its general investor presentation incorporating the second quarter results on its website at investor.easternbank.com under the “Events & Presentations” section.
DIVIDEND DECLARED
The Company’s Board of Directors declared a quarterly cash dividend of
ABOUT EASTERN BANKSHARES, INC.
Eastern Bankshares, Inc. is the stock holding company for Eastern Bank. Founded in 1818, Boston-based Eastern Bank has more than 110 locations serving communities in eastern Massachusetts, southern and coastal New Hampshire, and Rhode Island. As of June 30, 2021, Eastern Bank had approximately
NON-GAAP FINANCIAL MEASURES
*Denotes a non-GAAP financial measure used in this press release.
A non-GAAP financial measure is defined as a numerical measure of the Company’s historical or future financial performance, financial position or cash flows that excludes (or includes) amounts, or is subject to adjustments that have the effect of excluding (or including) amounts that are included in the most directly comparable measure calculated and presented in accordance with accounting principles generally accepted in the United States (“GAAP”) in the Company’s statement of income, balance sheet or statement of cash flows (or equivalent statements).
The Company presents non-GAAP financial measures, which management uses to evaluate the Company’s performance, and which exclude the effects of certain transactions that management believes are unrelated to its core business and are therefore not necessarily indicative of its current performance or financial position. Management believes excluding these items facilitates greater visibility for investors into the Company’s core businesses as well as underlying trends that may, to some extent, be obscured by inclusion of such items in the corresponding GAAP financial measures.
There are items in the Company’s financial statements that impact its financial results, but which management believes are unrelated to the Company’s core business. Accordingly, the Company presents noninterest income on an operating basis, total operating revenue, noninterest expense on an operating basis, operating net income, operating earnings per share, operating return on average assets, operating return on average shareholders’ equity, the operating efficiency ratio, and the ratio of noninterest income to total revenue on an operating basis. Each of these figures excludes the impact of such applicable items because management believes such exclusion can provide greater visibility into the Company’s core business and underlying trends. Such items that management does not consider to be core to the Company’s business include (i) income and expenses from investments held in rabbi trusts, (ii) gains and losses on sales of securities available for sale, net, (iii) gains and losses on the sale of other assets, (iv) rabbi trust employee benefits, (v) impairment charges on tax credit investments and associated tax credit benefits, (vi) expenses indirectly associated with the Company’s initial public offering (“IPO”), (vii) other real estate owned (“OREO”) gains, (viii) merger and acquisition expenses, (ix) the stock donation to the Eastern Bank Foundation (“EBF”, formerly known as the Eastern Bank Charitable Foundation) in connection with the Company’s mutual-to-stock conversion and IPO, and (x) settlement of putative consumer class action litigation matters related to overdraft and non-sufficient funds fees, and associated settlement expenses. The Company does not provide an outlook for its total noninterest expense because it contains expense components, such as expense associated with rabbi trust accounts, which is market-driven, over which the Company cannot exercise control. Accordingly, a reconciliation of the Company’s outlook for its noninterest expense on an operating basis to an outlook for total noninterest expense cannot be made available without unreasonable effort.
Management also presents the Company’s core net interest margin which excludes the impact of items management determines as being one-time in nature or not indicative of its core operating results. Such items include the impact of excess liquidity in the form of excess cash volume, PPP loans originated in response to the COVID-19 pandemic, and material purchase accounting adjustments. Similarly, management presents certain asset quality metrics excluding PPP loans which it does not consider to be part of the Company’s core portfolios. These metrics include the ratio of total nonperforming loans to total loans excluding PPP loans, the ratio of the allowance for loan losses to total loans excluding PPP loans, and the ratio of annualized net charge-offs to average total loans excluding PPP loans. The Company anticipates that the vast majority of its PPP loans outstanding at June 30, 2021 will be forgiven, and to the extent not forgiven, a PPP loan is intended to be
Management also presents tangible assets, tangible shareholders’ equity, tangible book value per share, and the ratio of tangible shareholders’ equity to tangible assets, each of which excludes the impact of goodwill and other intangible assets, as management believes these financial measures provide investors with the ability to further assess the Company’s performance, identify trends in its core business and provide a comparison of its capital adequacy to other companies. The Company included the tangible ratios because management believes that investors may find it useful to have access to the same analytical tools used by management to assess performance and identify trends.
These non-GAAP financial measures presented in this press release should not be considered an alternative or substitute for financial results or measures determined in accordance with GAAP or as an indication of the Company’s cash flows from operating activities, a measure of its liquidity position or an indication of funds available for its cash needs. An item which management considers to be non-core and excludes when computing these non-GAAP measures can be of substantial importance to the Company’s results for any particular period. In addition, management’s methodology for calculating non-GAAP financial measures may differ from the methodologies employed by other banking companies to calculate the same or similar performance measures, and accordingly, the Company’s reported non-GAAP financial measures may not be comparable to the same or similar performance measures reported by other banking companies. Please refer to Appendices A-E for reconciliations of the Company's GAAP financial measures to the non-GAAP financial measures in this press release.
FORWARD-LOOKING STATEMENTS
This press release contains “forward-looking statements” within the meaning of section 27A of the Securities Act of 1933, as amended, and section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. You can identify these statements from the use of the words “may,” “will,” “should,” “could,” “would,” “plan,” “potential,” “estimate,” “project,” “believe,” “intend,” “anticipate,” “expect,” “target” and similar expressions. Forward-looking statements, by their nature, are subject to risks and uncertainties. There are many factors that could cause actual results to differ materially from expected results described in the forward-looking statements.
Certain factors that could cause actual results to differ materially from expected results include developments in the Company’s market relating to the COVID-19 pandemic, including the severity and duration of the associated economic slowdown, adverse developments in the level and direction of loan delinquencies and charge-offs and changes in estimates of the adequacy of the allowance for loan losses, increased competitive pressures, changes in the interest rate environment, risks associated with its proposed merger with Century, including the possibility that revenue or expense synergies or the other expected benefits of the transaction may not materialize for the Company in the timeframe expected or at all, or may be more costly to achieve; that the transaction may not be timely completed, if at all; that prior to the completion of the transaction or thereafter, the Company’s or Century’s businesses may not perform as expected due to transaction-related uncertainty or other factors; that the Company is unable to successfully implement integration strategies; that required regulatory or other approvals are not obtained or other closing conditions are not satisfied in a timely manner or at all; that the timing of completion of the proposed merger is dependent on various factors that cannot be predicted with precision at this point; reputational risks and the reaction of the companies’ customers to the transaction; the inability to implement onboarding plans and other consequences associated with mergers; and diversion of management time on merger-related issues, as well as general economic conditions or conditions within the securities markets, and legislative and regulatory changes that could adversely affect the business in which the Company and its subsidiary Eastern Bank are engaged, including inflation, interest rates, interest rate sensitivity and liquidity, including the effect of, and changes in, monetary and fiscal policies and laws, such as the interest rate policies of the Board of Governors of the Federal Reserve System; market and monetary fluctuations, including fluctuations due to actual or anticipated changes to federal tax laws; and credit quality, including adverse developments in local or regional real estate markets that decrease collateral values associated with existing loans. For further discussion of such factors, please see the Company’s most recent Annual Report on Form 10-K and subsequent filings with the U.S. Securities and Exchange Commission (the “SEC”), which are available on the SEC’s website at www.sec.gov.
Further, given the ongoing and dynamic nature of the COVID-19 pandemic, it is difficult to predict what continued effects the COVID-19 pandemic will have on the Company's business and results of operations. The COVID-19 pandemic and the related local and national economic disruption may result in a continued decline in demand for the Company's products and services; increased levels of loan delinquencies, problem assets and foreclosures; an increase in the Company's allowance for loan losses; a decline in the value of loan collateral, including real estate; a greater decline in the yield on the Company's interest-earning assets than the decline in the cost of the Company's interest-bearing liabilities; and increased cybersecurity risks, as employees continue to work remotely. You should not place undue reliance on forward-looking statements, which reflect the Company's expectations only as of the date of this press release. The Company does not undertake any obligation to update forward-looking statements.
EASTERN BANKSHARES, INC. AND SUBSIDIARIES |
||||||||||||||||||||
SELECTED FINANCIAL HIGHLIGHTS |
||||||||||||||||||||
|
||||||||||||||||||||
Certain information in this press release is presented as reviewed by the Company’s management and includes information derived from the Company’s Consolidated Statements of Income, non-GAAP financial measures, and operational and performance metrics. For information on non-GAAP financial measures, please see the section titled "Non-GAAP Financial Measures." |
||||||||||||||||||||
|
As of and for the three months ended |
|||||||||||||||||||
(Unaudited, dollars in thousands, except per share amounts) |
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
|
|
|
|
|
|
|||||||||||||||
Earnings data |
|
|
|
|
|
|||||||||||||||
Net interest income |
$ |
104,608 |
|
$ |
100,091 |
|
$ |
103,608 |
|
$ |
98,742 |
|
$ |
98,755 |
|
|||||
Noninterest income |
|
45,733 |
|
|
55,212 |
|
|
49,638 |
|
|
47,709 |
|
|
47,657 |
|
|||||
Total revenue |
|
150,341 |
|
|
155,303 |
|
|
153,246 |
|
|
146,451 |
|
|
146,412 |
|
|||||
Noninterest expense |
|
107,335 |
|
|
94,049 |
|
|
199,169 |
|
|
109,817 |
|
|
100,765 |
|
|||||
Pre-tax, pre-provision income (loss) |
|
43,006 |
|
|
61,254 |
|
|
(45,923 |
) |
|
36,634 |
|
|
45,647 |
|
|||||
(Release of) provision for allowance for loan losses |
|
(3,300 |
) |
|
(580 |
) |
|
900 |
|
|
700 |
|
|
8,600 |
|
|||||
Pre-tax income (loss) |
|
46,306 |
|
|
61,834 |
|
|
(46,823 |
) |
|
35,934 |
|
|
37,047 |
|
|||||
Net income (loss) |
|
34,809 |
|
|
47,663 |
|
|
(44,062 |
) |
|
28,505 |
|
|
29,850 |
|
|||||
Operating net income (non-GAAP) |
|
37,097 |
|
|
46,537 |
|
|
31,612 |
|
|
32,322 |
|
|
27,301 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Per-share data |
|
|
|
|
|
|||||||||||||||
Earnings (loss) per share |
$ |
0.20 |
|
$ |
0.28 |
|
$ |
(0.26 |
) |
|
n.a. |
|
|
|
n.a. |
|||||
Operating earnings per share (non-GAAP) |
$ |
0.22 |
|
$ |
0.27 |
|
$ |
0.18 |
|
n.a. |
|
|
|
n.a. |
||||||
Book value per share |
$ |
18.37 |
|
$ |
18.14 |
|
$ |
18.36 |
|
n.a. |
|
|
|
n.a. |
||||||
Tangible book value per share (non-GAAP) |
$ |
16.33 |
|
$ |
16.12 |
|
$ |
16.34 |
|
n.a. |
|
|
|
n.a. |
||||||
|
|
|
|
|
|
|||||||||||||||
Profitability |
|
|
|
|
|
|||||||||||||||
Return on average assets (1) |
|
0.83 |
% |
|
1.19 |
% |
|
(1.11 |
)% |
|
0.80 |
% |
|
0.88 |
% |
|||||
Operating return on average assets (non-GAAP) (1) |
|
0.89 |
% |
|
1.15 |
% |
|
0.79 |
% |
|
0.90 |
% |
|
0.81 |
% |
|||||
Return on average shareholders' equity (1) |
|
4.10 |
% |
|
5.66 |
% |
|
(5.61 |
)% |
|
6.65 |
% |
|
7.11 |
% |
|||||
Operating return on average shareholders' equity (non-GAAP) (1) |
|
4.36 |
% |
|
5.53 |
% |
|
4.02 |
% |
|
7.54 |
% |
|
6.51 |
% |
|||||
Net interest margin (FTE) (1) |
|
2.69 |
% |
|
2.71 |
% |
|
2.84 |
% |
|
3.04 |
% |
|
3.23 |
% |
|||||
Cost of deposits (1) |
|
0.03 |
% |
|
0.03 |
% |
|
0.03 |
% |
|
0.06 |
% |
|
0.11 |
% |
|||||
Fee income ratio |
|
30.42 |
% |
|
35.55 |
% |
|
32.39 |
% |
|
32.58 |
% |
|
32.55 |
% |
|||||
Efficiency ratio |
|
71.39 |
% |
|
60.56 |
% |
|
129.97 |
% |
|
74.99 |
% |
|
68.82 |
% |
|||||
Operating efficiency ratio (non-GAAP) |
|
67.78 |
% |
|
60.22 |
% |
|
68.33 |
% |
|
69.95 |
% |
|
68.90 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
Balance Sheet (end of period) |
|
|
|
|
|
|||||||||||||||
Total assets |
$ |
17,047,453 |
|
$ |
16,726,795 |
|
$ |
15,964,190 |
|
$ |
15,460,594 |
|
$ |
13,996,523 |
|
|||||
Total loans |
|
9,621,075 |
|
|
9,916,475 |
|
|
9,730,525 |
|
|
9,944,241 |
|
|
10,014,338 |
|
|||||
Total deposits |
|
13,250,433 |
|
|
12,980,875 |
|
|
12,155,784 |
|
|
13,332,585 |
|
|
11,846,765 |
|
|||||
Total loans / total deposits |
|
73 |
% |
|
76 |
% |
|
80 |
% |
|
75 |
% |
|
85 |
% |
|||||
PPP loans |
$ |
825,784 |
|
$ |
1,238,053 |
|
$ |
1,026,117 |
|
$ |
1,123,493 |
|
$ |
1,100,181 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Asset quality |
|
|
|
|
|
|||||||||||||||
Allowance for loan losses ("ALLL") |
$ |
105,637 |
|
$ |
111,080 |
|
$ |
113,031 |
|
$ |
115,432 |
|
$ |
116,636 |
|
|||||
ALLL / total nonperforming loans ("NPLs") |
|
253.74 |
% |
|
252.72 |
% |
|
261.33 |
% |
|
257.47 |
% |
|
210.55 |
% |
|||||
Total NPLs / total loans |
|
0.43 |
% |
|
0.44 |
% |
|
0.45 |
% |
|
0.45 |
% |
|
0.56 |
% |
|||||
Total NPLs / total loans (excl. PPP loans) (non-GAAP) |
|
0.47 |
% |
|
0.51 |
% |
|
0.50 |
% |
|
0.51 |
% |
|
0.62 |
% |
|||||
Net charge-offs (NCOs) / average total loans (1) |
|
0.09 |
% |
|
0.06 |
% |
|
0.13 |
% |
|
0.08 |
% |
|
0.04 |
% |
|||||
NCOs / average total loans (excl. PPP loans) (non-GAAP) (1) |
|
0.10 |
% |
|
0.06 |
% |
|
0.15 |
% |
|
0.09 |
% |
|
0.05 |
% |
|||||
Remaining COVID-19 loan modifications (2) |
$ |
149,805 |
|
$ |
178,430 |
|
$ |
332,682 |
|
$ |
701,227 |
|
$ |
945,995 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Capital adequacy |
|
|
|
|
|
|||||||||||||||
Shareholders' equity / assets |
|
20.12 |
% |
|
20.25 |
% |
|
21.47 |
% |
|
11.08 |
% |
|
12.10 |
% |
|||||
Tangible shareholders' equity / tangible assets (non-GAAP) |
|
18.30 |
% |
|
18.42 |
% |
|
19.58 |
% |
|
8.87 |
% |
|
9.67 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
(1) Presented on an annualized basis. |
||||||||||||||||||||
(2) See Appendix F: COVID-19 Related Loan Modifications |
||||||||||||||||||||
EASTERN BANKSHARES, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS |
||||||||||||||||||||||||
|
As of |
Jun 30, 2021 change from |
||||||||||||||||||||||
(Unaudited, dollars in thousands) |
Jun 30, 2021 |
Mar 31, 2021 |
Jun 30, 2020 |
Mar 31, 2021 |
Jun 30, 2020 |
|||||||||||||||||||
ASSETS |
|
|
|
△ $ |
△ % |
△ $ |
△ % |
|||||||||||||||||
Cash and due from banks |
$ |
58,490 |
|
$ |
79,497 |
|
$ |
67,264 |
|
(21,007 |
) |
(26 |
)% |
(8,774 |
) |
(13 |
)% |
|||||||
Short-term investments |
|
1,505,757 |
|
|
1,780,835 |
|
|
1,365,297 |
|
(275,078 |
) |
(15 |
)% |
140,460 |
|
10 |
% |
|||||||
Cash and cash equivalents |
|
1,564,247 |
|
|
1,860,332 |
|
|
1,432,561 |
|
(296,085 |
) |
(16 |
)% |
131,686 |
|
9 |
% |
|||||||
Available for sale securities |
|
4,848,781 |
|
|
3,986,253 |
|
|
1,600,354 |
|
862,528 |
|
22 |
% |
3,248,427 |
|
203 |
% |
|||||||
Total securities |
|
4,848,781 |
|
|
3,986,253 |
|
|
1,600,354 |
|
862,528 |
|
22 |
% |
3,248,427 |
|
203 |
% |
|||||||
Loans held for sale |
|
2,734 |
|
|
2,022 |
|
|
2,972 |
|
712 |
|
35 |
% |
(238 |
) |
(8 |
)% |
|||||||
Loans: |
|
|
|
|
|
|
|
|||||||||||||||||
Commercial and industrial |
|
1,740,679 |
|
|
1,986,366 |
|
|
2,271,700 |
|
(245,687 |
) |
(12 |
)% |
(531,021 |
) |
(23 |
)% |
|||||||
Commercial real estate |
|
3,775,771 |
|
|
3,676,941 |
|
|
3,584,358 |
|
98,830 |
|
3 |
% |
191,413 |
|
5 |
% |
|||||||
Commercial construction |
|
237,927 |
|
|
249,416 |
|
|
282,246 |
|
(11,489 |
) |
(5 |
)% |
(44,319 |
) |
(16 |
)% |
|||||||
Business banking |
|
1,339,852 |
|
|
1,513,051 |
|
|
1,234,961 |
|
(173,199 |
) |
(11 |
)% |
104,891 |
|
8 |
% |
|||||||
Total commercial loans |
|
7,094,229 |
|
|
7,425,774 |
|
|
7,373,265 |
|
(331,545 |
) |
(4 |
)% |
(279,036 |
) |
(4 |
)% |
|||||||
Residential real estate |
|
1,457,498 |
|
|
1,406,510 |
|
|
1,400,855 |
|
50,988 |
|
4 |
% |
56,643 |
|
4 |
% |
|||||||
Consumer home equity |
|
834,938 |
|
|
832,466 |
|
|
905,484 |
|
2,472 |
|
— |
% |
(70,546 |
) |
(8 |
)% |
|||||||
Other consumer |
|
234,410 |
|
|
251,725 |
|
|
334,734 |
|
(17,315 |
) |
(7 |
)% |
(100,324 |
) |
(30 |
)% |
|||||||
Total loans |
|
9,621,075 |
|
|
9,916,475 |
|
|
10,014,338 |
|
(295,400 |
) |
(3 |
)% |
(393,263 |
) |
(4 |
)% |
|||||||
Allowance for loan losses |
|
(105,637 |
) |
|
(111,080 |
) |
|
(116,636 |
) |
5,443 |
|
(5 |
)% |
10,999 |
|
(9 |
)% |
|||||||
Unamortized prem./disc. and def. fees |
|
(29,739 |
) |
|
(32,673 |
) |
|
(34,722 |
) |
2,934 |
|
(9 |
)% |
4,983 |
|
(14 |
)% |
|||||||
Net loans |
|
9,485,699 |
|
|
9,772,722 |
|
|
9,862,980 |
|
(287,023 |
) |
(3 |
)% |
(377,281 |
) |
(4 |
)% |
|||||||
Federal Home Loan Bank stock, at cost |
|
10,601 |
|
|
8,805 |
|
|
8,805 |
|
1,796 |
|
20 |
% |
1,796 |
|
20 |
% |
|||||||
Premises and equipment |
|
44,733 |
|
|
46,619 |
|
|
52,475 |
|
(1,886 |
) |
(4 |
)% |
(7,742 |
) |
(15 |
)% |
|||||||
Bank-owned life insurance |
|
79,634 |
|
|
79,110 |
|
|
77,528 |
|
524 |
|
1 |
% |
2,106 |
|
3 |
% |
|||||||
Goodwill and other intangibles, net |
|
380,402 |
|
|
376,002 |
|
|
376,331 |
|
4,400 |
|
1 |
% |
4,071 |
|
1 |
% |
|||||||
Deferred income taxes, net |
|
26,161 |
|
|
31,508 |
|
|
7,663 |
|
(5,347 |
) |
(17 |
)% |
18,498 |
|
241 |
% |
|||||||
Prepaid expenses |
|
145,941 |
|
|
150,453 |
|
|
92,517 |
|
(4,512 |
) |
(3 |
)% |
53,424 |
|
58 |
% |
|||||||
Other assets |
|
458,520 |
|
|
412,969 |
|
|
482,337 |
|
45,551 |
|
11 |
% |
(23,817 |
) |
(5 |
)% |
|||||||
Total assets |
|
17,047,453 |
|
|
16,726,795 |
|
|
13,996,523 |
|
320,658 |
|
2 |
% |
3,050,930 |
|
22 |
% |
|||||||
LIABILITIES AND SHAREHOLDERS' EQUITY |
|
|
|
|
|
|
||||||||||||||||||
Deposits: |
|
|
|
|
|
|
|
|||||||||||||||||
Demand |
|
5,399,297 |
|
|
5,369,164 |
|
|
4,740,125 |
|
30,133 |
|
1 |
% |
659,172 |
|
14 |
% |
|||||||
Interest checking accounts |
|
2,656,610 |
|
|
2,482,731 |
|
|
2,385,912 |
|
173,879 |
|
7 |
% |
270,698 |
|
11 |
% |
|||||||
Savings accounts |
|
1,403,472 |
|
|
1,362,463 |
|
|
1,157,606 |
|
41,009 |
|
3 |
% |
245,866 |
|
21 |
% |
|||||||
Money market investment |
|
3,544,897 |
|
|
3,522,990 |
|
|
3,254,202 |
|
21,907 |
|
1 |
% |
290,695 |
|
9 |
% |
|||||||
Certificates of deposit |
|
246,157 |
|
|
243,527 |
|
|
308,920 |
|
2,630 |
|
1 |
% |
(62,763 |
) |
(20 |
)% |
|||||||
Total deposits |
|
13,250,433 |
|
|
12,980,875 |
|
|
11,846,765 |
|
269,558 |
|
2 |
% |
1,403,668 |
|
12 |
% |
|||||||
Borrowed funds: |
|
|
|
|
|
|
|
|||||||||||||||||
Federal Home Loan Bank advances |
|
14,323 |
|
|
14,473 |
|
|
14,922 |
|
(150 |
) |
(1 |
)% |
(599 |
) |
(4 |
)% |
|||||||
Escrow deposits of borrowers |
|
14,119 |
|
|
14,878 |
|
|
14,233 |
|
(759 |
) |
(5 |
)% |
(114 |
) |
(1 |
)% |
|||||||
Total borrowed funds |
|
28,442 |
|
|
29,351 |
|
|
29,155 |
|
(909 |
) |
(3 |
)% |
(713 |
) |
(2 |
)% |
|||||||
Other liabilities |
|
337,956 |
|
|
329,524 |
|
|
426,973 |
|
8,432 |
|
3 |
% |
(89,017 |
) |
(21 |
)% |
|||||||
Total liabilities |
|
13,616,831 |
|
|
13,339,750 |
|
|
12,302,893 |
|
277,081 |
|
2 |
% |
1,313,938 |
|
11 |
% |
|||||||
Shareholders' equity: |
|
|
|
|
|
|
|
|||||||||||||||||
Common shares |
|
1,868 |
|
|
1,868 |
|
|
— |
|
— |
|
— |
% |
1,868 |
|
— |
% |
|||||||
Additional paid-in capital |
|
1,856,241 |
|
|
1,854,895 |
|
|
— |
|
1,346 |
|
— |
% |
1,856,241 |
|
— |
% |
|||||||
Unallocated common shares held by the employee stock ownership plan ("ESOP") |
|
(145,219 |
) |
|
(146,472 |
) |
|
— |
|
1,253 |
|
(1 |
)% |
(145,219 |
) |
— |
% |
|||||||
Retained earnings |
|
1,723,979 |
|
|
1,702,946 |
|
|
1,681,164 |
|
21,033 |
|
1 |
% |
42,815 |
|
3 |
% |
|||||||
Accumulated other comprehensive income ("AOCI"), net of tax |
|
(6,247 |
) |
|
(26,192 |
) |
|
12,466 |
|
19,945 |
|
(76 |
)% |
(18,713 |
) |
(150 |
)% |
|||||||
Total shareholders' equity |
|
3,430,622 |
|
|
3,387,045 |
|
|
1,693,630 |
|
43,577 |
|
1 |
% |
1,736,992 |
|
103 |
% |
|||||||
Total liabilities and shareholders' equity |
|
17,047,453 |
|
|
16,726,795 |
|
|
13,996,523 |
|
320,658 |
|
2 |
% |
3,050,930 |
|
22 |
% |
|||||||
EASTERN BANKSHARES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME |
||||||||||||||||||||||||
|
Three months ended |
|
Three months ended Jun 30, 2021 change from three months ended |
|||||||||||||||||||||
(Unaudited, dollars in thousands, except share data) |
Jun 30, 2021 |
Mar 31, 2021 |
Jun 30, 2020 |
|
Mar 31, 2021 |
|
Jun 30, 2020 |
|||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest and dividend income: |
|
|
|
|
△ $ |
△ % |
|
△ $ |
△ % |
|||||||||||||||
Interest and fees on loans |
$ |
90,936 |
|
$ |
88,639 |
|
$ |
92,143 |
|
|
2,297 |
|
3 |
% |
|
(1,207 |
) |
(1 |
)% |
|||||
Taxable interest and dividends on available for sale securities |
|
12,457 |
|
|
10,206 |
|
|
7,600 |
|
|
2,251 |
|
22 |
% |
|
4,857 |
|
64 |
% |
|||||
Non-taxable interest and dividends on available for sale securities |
|
1,857 |
|
|
1,856 |
|
|
1,905 |
|
|
1 |
|
— |
% |
|
(48 |
) |
(3 |
)% |
|||||
Interest on federal funds sold and other short-term investments |
|
431 |
|
|
432 |
|
|
284 |
|
|
(1 |
) |
— |
% |
|
147 |
|
52 |
% |
|||||
Interest and dividends on trading securities |
|
— |
|
|
— |
|
|
1 |
|
|
— |
|
— |
% |
|
(1 |
) |
(100 |
)% |
|||||
Total interest and dividend income |
|
105,681 |
|
|
101,133 |
|
|
101,933 |
|
|
4,548 |
|
4 |
% |
|
3,748 |
|
4 |
% |
|||||
Interest expense: |
|
|
|
|
|
|
|
|
|
|||||||||||||||
Interest on deposits |
|
1,031 |
|
|
1,002 |
|
|
3,104 |
|
|
29 |
|
3 |
% |
|
(2,073 |
) |
(67 |
)% |
|||||
Interest on borrowings |
|
42 |
|
|
40 |
|
|
74 |
|
|
2 |
|
5 |
% |
|
(32 |
) |
(43 |
)% |
|||||
Total interest expense |
|
1,073 |
|
|
1,042 |
|
|
3,178 |
|
|
31 |
|
3 |
% |
|
(2,105 |
) |
(66 |
)% |
|||||
Net interest income |
|
104,608 |
|
|
100,091 |
|
|
98,755 |
|
|
4,517 |
|
5 |
% |
|
5,853 |
|
6 |
% |
|||||
(Release of) provision for allowance for loan losses |
|
(3,300 |
) |
|
(580 |
) |
|
8,600 |
|
|
(2,720 |
) |
469 |
% |
|
(11,900 |
) |
(138 |
)% |
|||||
Net interest income after provision for loan losses |
|
107,908 |
|
|
100,671 |
|
|
90,155 |
|
|
7,237 |
|
7 |
% |
|
17,753 |
|
20 |
% |
|||||
Noninterest income: |
|
|
|
|
|
|
|
|
|
|||||||||||||||
Insurance commissions |
|
23,664 |
|
|
28,147 |
|
|
22,697 |
|
|
(4,483 |
) |
(16 |
)% |
|
967 |
|
4 |
% |
|||||
Service charges on deposit accounts |
|
5,708 |
|
|
5,367 |
|
|
4,364 |
|
|
341 |
|
6 |
% |
|
1,344 |
|
31 |
% |
|||||
Trust and investment advisory fees |
|
6,074 |
|
|
5,663 |
|
|
5,194 |
|
|
411 |
|
7 |
% |
|
880 |
|
17 |
% |
|||||
Debit card processing fees |
|
3,170 |
|
|
2,749 |
|
|
2,337 |
|
|
421 |
|
15 |
% |
|
833 |
|
36 |
% |
|||||
Interest rate swap (losses) income |
|
(1,164 |
) |
|
5,405 |
|
|
771 |
|
|
(6,569 |
) |
(122 |
)% |
|
(1,935 |
) |
(251 |
)% |
|||||
Income from investments held in rabbi trusts |
|
4,216 |
|
|
1,846 |
|
|
7,745 |
|
|
2,370 |
|
128 |
% |
|
(3,529 |
) |
(46 |
)% |
|||||
Losses on trading securities, net |
|
— |
|
|
— |
|
|
(1 |
) |
|
— |
|
— |
% |
|
1 |
|
(100 |
)% |
|||||
Gains on sales of mortgage loans held for sale, net |
|
848 |
|
|
1,479 |
|
|
1,420 |
|
|
(631 |
) |
(43 |
)% |
|
(572 |
) |
(40 |
)% |
|||||
Gains on sales of securities available for sale, net |
|
1 |
|
|
1,164 |
|
|
163 |
|
|
(1,163 |
) |
(100 |
)% |
|
(162 |
) |
(99 |
)% |
|||||
Other |
|
3,216 |
|
|
3,392 |
|
|
2,967 |
|
|
(176 |
) |
(5 |
)% |
|
249 |
|
8 |
% |
|||||
Total noninterest income |
|
45,733 |
|
|
55,212 |
|
|
47,657 |
|
|
(9,479 |
) |
(17 |
)% |
|
(1,924 |
) |
(4 |
)% |
|||||
Noninterest expense: |
|
|
|
|
|
|
|
|
|
|||||||||||||||
Salaries and employee benefits |
|
69,276 |
|
|
64,040 |
|
|
63,335 |
|
|
5,236 |
|
8 |
% |
|
5,941 |
|
9 |
% |
|||||
Office occupancy and equipment |
|
8,094 |
|
|
8,217 |
|
|
8,615 |
|
|
(123 |
) |
(1 |
)% |
|
(521 |
) |
(6 |
)% |
|||||
Data processing |
|
13,572 |
|
|
12,129 |
|
|
12,180 |
|
|
1,443 |
|
12 |
% |
|
1,392 |
|
11 |
% |
|||||
Professional services |
|
6,439 |
|
|
4,148 |
|
|
4,396 |
|
|
2,291 |
|
55 |
% |
|
2,043 |
|
46 |
% |
|||||
Charitable contributions |
|
— |
|
|
— |
|
|
2,797 |
|
|
— |
|
— |
% |
|
(2,797 |
) |
(100 |
)% |
|||||
Marketing |
|
3,497 |
|
|
1,691 |
|
|
1,645 |
|
|
1,806 |
|
107 |
% |
|
1,852 |
|
113 |
% |
|||||
Loan expenses |
|
1,854 |
|
|
1,847 |
|
|
2,036 |
|
|
7 |
|
— |
% |
|
(182 |
) |
(9 |
)% |
|||||
Federal Deposit Insurance Corporation ("FDIC") insurance |
|
985 |
|
|
948 |
|
|
944 |
|
|
37 |
|
4 |
% |
|
41 |
|
4 |
% |
|||||
Amortization of intangible assets |
|
625 |
|
|
532 |
|
|
701 |
|
|
93 |
|
17 |
% |
|
(76 |
) |
(11 |
)% |
|||||
Other |
|
2,993 |
|
|
497 |
|
|
4,116 |
|
|
2,496 |
|
502 |
% |
|
(1,123 |
) |
(27 |
)% |
|||||
Total noninterest expense |
|
107,335 |
|
|
94,049 |
|
|
100,765 |
|
|
13,286 |
|
14 |
% |
|
6,570 |
|
7 |
% |
|||||
Income before income tax expense |
|
46,306 |
|
|
61,834 |
|
|
37,047 |
|
|
(15,528 |
) |
(25 |
)% |
|
9,259 |
|
25 |
% |
|||||
Income tax expense |
|
11,497 |
|
|
14,171 |
|
|
7,197 |
|
|
(2,674 |
) |
(19 |
)% |
|
4,300 |
|
60 |
% |
|||||
Net income |
|
34,809 |
|
|
47,663 |
|
|
29,850 |
|
|
(12,854 |
) |
(27 |
)% |
|
4,959 |
|
17 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Share data: |
|
|
|
|
|
|
|
|
|
|||||||||||||||
Weighted average common shares outstanding (1) |
|
172,173,707 |
|
|
172,049,044 |
|
|
n.a. |
|
|
|
|
|
|
||||||||||
Earnings per share |
$ |
0.20 |
|
$ |
0.28 |
|
|
n.a. |
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
(1) Shares held by the Company’s Employee Stock Ownership Plan (“ESOP”) that have not been allocated to employees in accordance with the terms of the ESOP are not deemed outstanding for earnings per share calculations. |
||||||||||||||||||||||||
EASTERN BANKSHARES, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME |
||||||||||||||
|
Six months ended |
|
|
|||||||||||
(Unaudited, dollars in thousands, except share data) |
Jun 30, 2021 |
Jun 30, 2020 |
|
Change |
||||||||||
|
|
|
|
|
|
|||||||||
Interest and dividend income: |
|
|
|
△ $ |
△ % |
|||||||||
Interest and fees on loans |
$ |
179,575 |
|
$ |
187,681 |
|
|
(8,106 |
) |
(4 |
)% |
|||
Taxable interest and dividends on available for sale securities |
|
22,663 |
|
|
15,778 |
|
|
6,885 |
|
44 |
% |
|||
Non-taxable interest and dividends on available for sale securities |
|
3,713 |
|
|
3,826 |
|
|
(113 |
) |
(3 |
)% |
|||
Interest on federal funds sold and other short-term investments |
|
863 |
|
|
801 |
|
|
62 |
|
8 |
% |
|||
Interest and dividends on trading securities |
|
— |
|
|
6 |
|
|
(6 |
) |
(100 |
)% |
|||
Total interest and dividend income |
|
206,814 |
|
|
208,092 |
|
|
(1,278 |
) |
(1 |
)% |
|||
Interest expense: |
|
|
|
|
|
|||||||||
Interest on deposits |
|
2,033 |
|
|
8,518 |
|
|
(6,485 |
) |
(76 |
)% |
|||
Interest on borrowings |
|
82 |
|
|
673 |
|
|
(591 |
) |
(88 |
)% |
|||
Total interest expense |
|
2,115 |
|
|
9,191 |
|
|
(7,076 |
) |
(77 |
)% |
|||
Net interest income |
|
204,699 |
|
|
198,901 |
|
|
5,798 |
|
3 |
% |
|||
(Release of) provision for allowance for loan losses |
|
(3,880 |
) |
|
37,200 |
|
|
(41,080 |
) |
(110 |
)% |
|||
Net interest income after provision for loan losses |
|
208,579 |
|
|
161,701 |
|
|
46,878 |
|
29 |
% |
|||
Noninterest income: |
|
|
|
|
|
|||||||||
Insurance commissions |
|
51,811 |
|
|
50,174 |
|
|
1,637 |
|
3 |
% |
|||
Service charges on deposit accounts |
|
11,075 |
|
|
10,462 |
|
|
613 |
|
6 |
% |
|||
Trust and investment advisory fees |
|
11,737 |
|
|
10,289 |
|
|
1,448 |
|
14 |
% |
|||
Debit card processing fees |
|
5,919 |
|
|
4,807 |
|
|
1,112 |
|
23 |
% |
|||
Interest rate swap income (losses) |
|
4,241 |
|
|
(5,238 |
) |
|
9,479 |
|
(181 |
)% |
|||
Income from investments held in rabbi trusts |
|
6,062 |
|
|
1,002 |
|
|
5,060 |
|
505 |
% |
|||
Losses on trading securities, net |
|
— |
|
|
(3 |
) |
|
3 |
|
(100 |
)% |
|||
Gains on sales of mortgage loans held for sale, net |
|
2,327 |
|
|
1,513 |
|
|
814 |
|
54 |
% |
|||
Gains on sales of securities available for sale, net |
|
1,165 |
|
|
285 |
|
|
880 |
|
309 |
% |
|||
Other |
|
6,608 |
|
|
7,735 |
|
|
(1,127 |
) |
(15 |
)% |
|||
Total noninterest income |
|
100,945 |
|
|
81,026 |
|
|
19,919 |
|
25 |
% |
|||
Noninterest expense: |
|
|
|
|
|
|||||||||
Salaries and employee benefits |
|
133,316 |
|
|
124,924 |
|
|
8,392 |
|
7 |
% |
|||
Office occupancy and equipment |
|
16,311 |
|
|
17,304 |
|
|
(993 |
) |
(6 |
)% |
|||
Data processing |
|
25,701 |
|
|
22,184 |
|
|
3,517 |
|
16 |
% |
|||
Professional services |
|
10,587 |
|
|
8,085 |
|
|
2,502 |
|
31 |
% |
|||
Charitable contributions |
|
— |
|
|
3,984 |
|
|
(3,984 |
) |
(100 |
)% |
|||
Marketing |
|
5,188 |
|
|
4,113 |
|
|
1,075 |
|
26 |
% |
|||
Loan expenses |
|
3,701 |
|
|
3,148 |
|
|
553 |
|
18 |
% |
|||
FDIC insurance |
|
1,933 |
|
|
1,850 |
|
|
83 |
|
4 |
% |
|||
Amortization of intangible assets |
|
1,157 |
|
|
1,403 |
|
|
(246 |
) |
(18 |
)% |
|||
Other |
|
3,490 |
|
|
8,942 |
|
|
(5,452 |
) |
(61 |
)% |
|||
Total noninterest expense |
|
201,384 |
|
|
195,937 |
|
|
5,447 |
|
3 |
% |
|||
Income before income tax expense |
|
108,140 |
|
|
46,790 |
|
|
61,350 |
|
131 |
% |
|||
Income tax expense |
|
25,668 |
|
|
8,495 |
|
|
17,173 |
|
202 |
% |
|||
Net income |
|
82,472 |
|
|
38,295 |
|
|
44,177 |
|
115 |
% |
|||
|
|
|
|
|
|
|||||||||
Share data: |
|
|
|
|
|
|||||||||
Weighted average common shares outstanding (1) |
|
172,111,372 |
|
|
n.a. |
|
|
|
||||||
Earnings per share |
$ |
0.48 |
|
|
n.a. |
|
|
|
||||||
|
|
|
|
|
|
|||||||||
(1) Shares held by the Company’s Employee Stock Ownership Plan (“ESOP”) that have not been allocated to employees in accordance with the terms of the ESOP are not deemed outstanding for earnings per share calculations. |
||||||||||||||
EASTERN BANKSHARES, INC. AND SUBSIDIARIES AVERAGE BALANCES, INTEREST, YIELDS AND RATES, AND NET INTEREST MARGIN |
|||||||||||||||||||||||||||
|
As of and for the three months ended |
||||||||||||||||||||||||||
|
Jun 30, 2021 |
|
Mar 31, 2021 |
|
Jun 30, 2020 |
||||||||||||||||||||||
(Unaudited, dollars in thousands) |
Avg. Balance |
|
Interest |
|
Yield / Cost (5) |
|
Avg. Balance |
|
Interest |
|
Yield / Cost (5) |
|
Avg. Balance |
|
Interest |
|
Yield / Cost (5) |
||||||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans (1): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial |
$ |
7,301,745 |
|
$ |
71,747 |
|
3.94 |
% |
|
$ |
7,317,951 |
|
$ |
69,210 |
|
3.84 |
% |
|
$ |
7,195,093 |
|
$ |
69,779 |
|
3.90 |
% |
|
Residential |
|
1,433,056 |
|
|
11,397 |
|
3.19 |
% |
|
|
1,393,139 |
|
|
11,274 |
|
3.28 |
% |
|
|
1,416,326 |
|
|
12,555 |
|
3.57 |
% |
|
Consumer |
|
1,061,900 |
|
|
8,597 |
|
3.25 |
% |
|
|
1,105,698 |
|
|
8,937 |
|
3.28 |
% |
|
|
1,263,691 |
|
|
10,610 |
|
3.38 |
% |
|
Total loans |
|
9,796,701 |
|
|
91,741 |
|
3.76 |
% |
|
|
9,816,788 |
|
|
89,421 |
|
3.69 |
% |
|
|
9,875,110 |
|
|
92,944 |
|
3.79 |
% |
|
Investment securities |
|
4,344,690 |
|
|
14,778 |
|
1.36 |
% |
|
|
3,631,530 |
|
|
12,577 |
|
1.40 |
% |
|
|
1,455,901 |
|
|
10,083 |
|
2.79 |
% |
|
Federal funds sold and other short-term investments |
|
1,617,741 |
|
|
431 |
|
0.11 |
% |
|
|
1,740,561 |
|
|
432 |
|
0.10 |
% |
|
|
1,148,332 |
|
|
284 |
|
0.10 |
% |
|
Total interest-earning assets |
|
15,759,132 |
|
|
106,950 |
|
2.72 |
% |
|
|
15,188,879 |
|
|
102,430 |
|
2.73 |
% |
|
|
12,479,343 |
|
|
103,311 |
|
3.33 |
% |
|
Non-interest-earning assets |
|
1,061,121 |
|
|
|
|
|
|
1,120,603 |
|
|
|
|
|
|
1,106,217 |
|
|
|
|
|||||||
Total assets |
$ |
16,820,253 |
|
|
|
|
|
$ |
16,309,482 |
|
|
|
|
|
$ |
13,585,560 |
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Savings |
$ |
1,385,735 |
|
$ |
69 |
|
0.02 |
% |
|
$ |
1,300,057 |
|
$ |
64 |
|
0.02 |
% |
|
$ |
1,095,806 |
|
$ |
64 |
|
0.02 |
% |
|
Interest checking |
|
2,541,862 |
|
|
253 |
|
0.04 |
% |
|
|
2,391,025 |
|
|
234 |
|
0.04 |
% |
|
|
2,414,356 |
|
|
649 |
|
0.11 |
% |
|
Money market |
|
3,523,330 |
|
|
605 |
|
0.07 |
% |
|
|
3,440,214 |
|
|
587 |
|
0.07 |
% |
|
|
3,192,669 |
|
|
1,929 |
|
0.24 |
% |
|
Time deposits |
|
246,801 |
|
|
104 |
|
0.17 |
% |
|
|
251,115 |
|
|
117 |
|
0.19 |
% |
|
|
313,410 |
|
|
462 |
|
0.59 |
% |
|
Total interest-bearing deposits |
|
7,697,728 |
|
|
1,031 |
|
0.05 |
% |
|
|
7,382,411 |
|
|
1,002 |
|
0.06 |
% |
|
|
7,016,241 |
|
|
3,104 |
|
0.18 |
% |
|
Borrowings |
|
25,042 |
|
|
42 |
|
0.67 |
% |
|
|
25,625 |
|
|
40 |
|
0.63 |
% |
|
|
74,960 |
|
|
74 |
|
0.40 |
% |
|
Total interest-bearing liabilities |
|
7,722,770 |
|
|
1,073 |
|
0.06 |
% |
|
|
7,408,036 |
|
|
1,042 |
|
0.06 |
% |
|
|
7,091,201 |
|
|
3,178 |
|
0.18 |
% |
|
Demand deposit accounts |
|
5,355,170 |
|
|
|
|
|
|
5,125,831 |
|
|
|
|
|
|
4,448,756 |
|
|
|
|
|||||||
Other noninterest-bearing liabilities |
|
335,816 |
|
|
|
|
|
|
358,087 |
|
|
|
|
|
|
356,700 |
|
|
|
|
|||||||
Total liabilities |
|
13,413,756 |
|
|
|
|
|
|
12,891,954 |
|
|
|
|
|
|
11,896,657 |
|
|
|
|
|||||||
Shareholders' equity |
|
3,406,497 |
|
|
|
|
|
|
3,417,528 |
|
|
|
|
|
|
1,688,903 |
|
|
|
|
|||||||
Total liabilities and shareholders' equity |
$ |
16,820,253 |
|
|
|
|
|
$ |
16,309,482 |
|
|
|
|
|
$ |
13,585,560 |
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net interest income - FTE |
|
|
$ |
105,877 |
|
|
|
|
|
$ |
101,388 |
|
|
|
|
|
$ |
100,133 |
|
|
|||||||
Net interest rate spread (2) |
|
|
|
|
2.66 |
% |
|
|
|
|
|
2.67 |
% |
|
|
|
|
|
3.15 |
% |
|||||||
Net interest-earning assets (3) |
$ |
8,036,362 |
|
|
|
|
|
$ |
7,780,843 |
|
|
|
|
|
$ |
5,388,142 |
|
|
|
|
|||||||
Net interest margin - FTE (4) |
|
|
|
|
2.69 |
% |
|
|
|
|
|
2.71 |
% |
|
|
|
|
|
3.23 |
% |
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
(1) Includes non-accrual loans. |
|||||||||||||||||||||||||||
(2) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. |
|||||||||||||||||||||||||||
(3) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities. |
|||||||||||||||||||||||||||
(4) Net interest margin represents net interest income divided by average total interest-earning assets. |
|||||||||||||||||||||||||||
(5) Presented on an annualized basis. |
|||||||||||||||||||||||||||
EASTERN BANKSHARES, INC. AND SUBSIDIARIES AVERAGE BALANCES, INTEREST, YIELDS AND RATES, AND NET INTEREST MARGIN |
||||||||||||||||||
|
As of and for the six months ended |
|||||||||||||||||
|
Jun 30, 2021 |
|
Jun 30, 2020 |
|||||||||||||||
(Unaudited, dollars in thousands) |
Avg. Balance |
|
Interest |
|
Yield / Cost (5) |
|
Avg. Balance |
|
Interest |
|
Yield / Cost (5) |
|||||||
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|||||||
Loans (1): |
|
|
|
|
|
|
|
|
|
|
|
|||||||
Commercial |
$ |
7,309,803 |
|
$ |
140,952 |
|
3.89 |
% |
|
$ |
6,735,075 |
|
$ |
139,394 |
|
4.16 |
% |
|
Residential |
|
1,413,208 |
|
|
22,671 |
|
3.24 |
% |
|
|
1,423,161 |
|
|
25,858 |
|
3.65 |
% |
|
Consumer |
|
1,083,677 |
|
|
17,534 |
|
3.26 |
% |
|
|
1,287,430 |
|
|
24,017 |
|
3.75 |
% |
|
Total loans |
|
9,806,688 |
|
|
181,157 |
|
3.73 |
% |
|
|
9,445,666 |
|
|
189,269 |
|
4.03 |
% |
|
Investment securities |
|
3,990,080 |
|
|
27,360 |
|
1.38 |
% |
|
|
1,478,156 |
|
|
20,768 |
|
2.83 |
% |
|
Federal funds sold and other short-term investments |
|
1,678,812 |
|
|
863 |
|
0.10 |
% |
|
|
694,386 |
|
|
801 |
|
0.23 |
% |
|
Total interest earning assets |
|
15,475,580 |
|
|
209,380 |
|
2.73 |
% |
|
|
11,618,208 |
|
|
210,838 |
|
3.65 |
% |
|
Non-interest-earning assets |
|
1,089,585 |
|
|
|
|
|
|
1,064,218 |
|
|
|
|
|||||
Total assets |
$ |
16,565,165 |
|
|
|
|
|
$ |
12,682,426 |
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|||||||
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|||||||
Savings |
$ |
1,343,133 |
|
$ |
133 |
|
0.02 |
% |
|
$ |
1,036,344 |
|
$ |
118 |
|
0.02 |
% |
|
Interest checking |
|
2,466,860 |
|
|
487 |
|
0.04 |
% |
|
|
2,158,242 |
|
|
1,467 |
|
0.14 |
% |
|
Money market |
|
3,482,002 |
|
|
1,193 |
|
0.07 |
% |
|
|
3,087,048 |
|
|
5,833 |
|
0.38 |
% |
|
Time deposits |
|
248,946 |
|
|
220 |
|
0.18 |
% |
|
|
320,277 |
|
|
1,100 |
|
0.69 |
% |
|
Total interest-bearing deposits |
|
7,540,941 |
|
|
2,033 |
|
0.05 |
% |
|
|
6,601,911 |
|
|
8,518 |
|
0.26 |
% |
|
Borrowings |
|
25,332 |
|
|
82 |
|
0.65 |
% |
|
|
119,211 |
|
|
673 |
|
1.14 |
% |
|
Total interest-bearing liabilities |
|
7,566,273 |
|
|
2,115 |
|
0.06 |
% |
|
|
6,721,122 |
|
|
9,191 |
|
0.27 |
% |
|
Demand deposit accounts |
|
5,241,134 |
|
|
|
|
|
|
3,963,066 |
|
|
|
|
|||||
Other noninterest-bearing liabilities |
|
345,776 |
|
|
|
|
|
|
337,679 |
|
|
|
|
|||||
Total liabilities |
|
13,153,183 |
|
|
|
|
|
|
11,021,867 |
|
|
|
|
|||||
Shareholders' equity |
|
3,411,982 |
|
|
|
|
|
|
1,660,559 |
|
|
|
|
|||||
Total liabilities and shareholders' equity |
$ |
16,565,165 |
|
|
|
|
|
$ |
12,682,426 |
|
|
|
|
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
Net interest income - FTE |
|
|
$ |
207,265 |
|
|
|
|
|
$ |
201,647 |
|
|
|||||
Net interest rate spread (2) |
|
|
|
|
2.67 |
% |
|
|
|
|
|
3.38 |
% |
|||||
Net interest-earning assets (3) |
$ |
7,909,307 |
|
|
|
|
|
$ |
4,897,086 |
|
|
|
|
|||||
Net interest margin - FTE (4) |
|
|
|
|
2.70 |
% |
|
|
|
|
|
3.49 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||
(1) Includes non-accrual loans. |
||||||||||||||||||
(2) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average cost of interest-bearing liabilities. |
||||||||||||||||||
(3) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities. |
||||||||||||||||||
(4) Net interest margin represents net interest income divided by average total interest-earning assets. |
||||||||||||||||||
(5) Presented on an annualized basis. |
|
|
|
|
|
|
|
|
|
|
|
|||||||
EASTERN BANKSHARES, INC. AND SUBSIDIARIES ASSET QUALITY - NON-PERFORMING ASSETS (1) |
||||||||||||||||||||
|
As of |
|||||||||||||||||||
|
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
(Unaudited, dollars in thousands) |
|
|
|
|
|
|||||||||||||||
Non-accrual loans: |
|
|
|
|
|
|||||||||||||||
Commercial |
$ |
29,356 |
|
$ |
30,275 |
|
$ |
30,059 |
|
$ |
28,968 |
|
$ |
31,273 |
|
|||||
Residential |
|
6,445 |
|
|
8,127 |
|
|
6,815 |
|
|
7,419 |
|
|
11,693 |
|
|||||
Consumer |
|
4,106 |
|
|
3,873 |
|
|
4,131 |
|
|
4,727 |
|
|
9,374 |
|
|||||
Total non-accrual loans |
|
39,907 |
|
|
42,275 |
|
|
41,005 |
|
|
41,114 |
|
|
52,340 |
|
|||||
Accruing loans past due 90 days or more: |
|
|
|
|
|
|||||||||||||||
Commercial |
|
1,439 |
|
|
1,390 |
|
|
1,959 |
|
|
3,384 |
|
|
2,802 |
|
|||||
Residential |
|
277 |
|
|
280 |
|
|
279 |
|
|
326 |
|
|
244 |
|
|||||
Consumer |
|
9 |
|
|
9 |
|
|
9 |
|
|
9 |
|
|
9 |
|
|||||
Total accruing loans past due 90 days or more |
|
1,725 |
|
|
1,679 |
|
|
2,247 |
|
|
3,719 |
|
|
3,055 |
|
|||||
Total non-performing loans |
|
41,632 |
|
|
43,954 |
|
|
43,252 |
|
|
44,833 |
|
|
55,395 |
|
|||||
Other real estate owned |
|
38 |
|
|
— |
|
|
— |
|
|
40 |
|
|
40 |
|
|||||
Other non-performing assets: |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||
Total non-performing assets |
$ |
41,670 |
|
$ |
43,954 |
|
$ |
43,252 |
|
$ |
44,873 |
|
$ |
55,435 |
|
|||||
Total accruing troubled debt restructured loans |
$ |
38,316 |
|
$ |
39,367 |
|
$ |
41,095 |
|
$ |
39,881 |
|
$ |
40,691 |
|
|||||
Total non-performing loans to total loans |
|
0.43 |
% |
|
0.44 |
% |
|
0.45 |
% |
|
0.45 |
% |
|
0.56 |
% |
|||||
Total non-performing assets to total assets |
|
0.24 |
% |
|
0.26 |
% |
|
0.27 |
% |
|
0.29 |
% |
|
0.40 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
(1) Non-performing assets are comprised of NPLs, OREO, and non-performing securities. NPLs consist of non-accrual loans and loans that are more than 90 days past due but still accruing interest. OREO consists of real estate properties, which primarily serve as collateral to secure the Company’s loans, that it controls due to foreclosure. |
||||||||||||||||||||
EASTERN BANKSHARES, INC. AND SUBSIDIARIES ASSET QUALITY - PROVISION, ALLOWANCE, AND NET CHARGE OFFS |
||||||||||||||||||||
|
Three months ended |
|||||||||||||||||||
|
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
(Unaudited, dollars in thousands) |
|
|
|
|
|
|||||||||||||||
Average total loans |
$ |
9,796,701 |
|
$ |
9,816,788 |
|
$ |
9,796,697 |
|
$ |
9,914,731 |
|
$ |
9,875,110 |
|
|||||
Allowance for loan losses, beginning of the period |
$ |
111,080 |
|
$ |
113,031 |
|
$ |
115,432 |
|
$ |
116,636 |
|
$ |
109,138 |
|
|||||
Charged-off loans: |
|
|
|
|
|
|||||||||||||||
Commercial and industrial |
|
550 |
|
|
— |
|
|
1,603 |
|
|
140 |
|
|
27 |
|
|||||
Commercial real estate |
|
— |
|
|
234 |
|
|
— |
|
|
— |
|
|
24 |
|
|||||
Commercial construction |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||
Business banking |
|
1,838 |
|
|
1,384 |
|
|
1,433 |
|
|
1,179 |
|
|
1,198 |
|
|||||
Residential real estate |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||
Consumer home equity |
|
— |
|
|
— |
|
|
79 |
|
|
22 |
|
|
— |
|
|||||
Other consumer |
|
275 |
|
|
364 |
|
|
713 |
|
|
1,077 |
|
|
15 |
|
|||||
Total charged-off loans |
|
2,663 |
|
|
1,982 |
|
|
3,828 |
|
|
2,418 |
|
|
1,264 |
|
|||||
Recoveries on loans previously charged-off: |
|
|
|
|
|
|||||||||||||||
Commercial and industrial |
|
13 |
|
|
9 |
|
|
92 |
|
|
306 |
|
|
58 |
|
|||||
Commercial real estate |
|
4 |
|
|
— |
|
|
220 |
|
|
4 |
|
|
5 |
|
|||||
Commercial construction |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||
Business banking |
|
291 |
|
|
365 |
|
|
47 |
|
|
91 |
|
|
27 |
|
|||||
Residential real estate |
|
17 |
|
|
10 |
|
|
9 |
|
|
43 |
|
|
13 |
|
|||||
Consumer home equity |
|
3 |
|
|
71 |
|
|
100 |
|
|
31 |
|
|
8 |
|
|||||
Other consumer |
|
192 |
|
|
156 |
|
|
59 |
|
|
39 |
|
|
51 |
|
|||||
Total recoveries |
|
520 |
|
|
611 |
|
|
527 |
|
|
514 |
|
|
162 |
|
|||||
Net loans charged-off (recoveries): |
|
|
|
|
|
|||||||||||||||
Commercial and industrial |
|
537 |
|
|
(9 |
) |
|
1,511 |
|
|
(166 |
) |
|
(31 |
) |
|||||
Commercial real estate |
|
(4 |
) |
|
234 |
|
|
(220 |
) |
|
(4 |
) |
|
19 |
|
|||||
Commercial construction |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||
Business banking |
|
1,547 |
|
|
1,019 |
|
|
1,386 |
|
|
1,088 |
|
|
1,171 |
|
|||||
Residential real estate |
|
(17 |
) |
|
(10 |
) |
|
(9 |
) |
|
(43 |
) |
|
(13 |
) |
|||||
Consumer home equity |
|
(3 |
) |
|
(71 |
) |
|
(21 |
) |
|
(9 |
) |
|
(8 |
) |
|||||
Other consumer |
|
83 |
|
|
208 |
|
|
654 |
|
|
1,038 |
|
|
(36 |
) |
|||||
Total net loans charged-off |
|
2,143 |
|
|
1,371 |
|
|
3,301 |
|
|
1,904 |
|
|
1,102 |
|
|||||
(Release of) provision for loan losses |
|
(3,300 |
) |
|
(580 |
) |
|
900 |
|
|
700 |
|
|
8,600 |
|
|||||
Total allowance for loan losses, end of period |
$ |
105,637 |
|
$ |
111,080 |
|
$ |
113,031 |
|
$ |
115,432 |
|
$ |
116,636 |
|
|||||
Net charge-offs to average total loans outstanding during this period (1) |
|
0.09 |
% |
|
0.06 |
% |
|
0.13 |
% |
|
0.08 |
% |
|
0.04 |
% |
|||||
Allowance for loan losses as a percent of total loans |
|
1.10 |
% |
|
1.12 |
% |
|
1.16 |
% |
|
1.16 |
% |
|
1.17 |
% |
|||||
Allowance for loan losses as a percent of nonperforming loans |
|
253.74 |
% |
|
252.72 |
% |
|
261.33 |
% |
|
257.47 |
% |
|
210.55 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
(1) Presented on an annualized basis. |
||||||||||||||||||||
APPENDIX A: Reconciliation of Non-GAAP Earnings Metrics
For information on non-GAAP financial measures, please see the section titled "Non-GAAP Financial Measures." |
||||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||
(Unaudited, dollars in thousands, except share data) |
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
|
|
|
|
|
|
|||||||||||||||
Net income (GAAP) |
$ |
34,809 |
|
$ |
47,663 |
|
$ |
(44,062 |
) |
$ |
28,505 |
|
$ |
29,850 |
|
|||||
Add: |
|
|
|
|
|
|||||||||||||||
Noninterest income components: |
|
|
|
|
|
|||||||||||||||
(Income) from investments held in rabbi trusts |
|
(4,216 |
) |
|
(1,846 |
) |
|
(5,535 |
) |
|
(3,800 |
) |
|
(7,745 |
) |
|||||
(Gain) on sales of securities available for sale, net |
|
(1 |
) |
|
(1,164 |
) |
|
(3 |
) |
|
— |
|
|
(163 |
) |
|||||
(Gain) loss on sale of other assets |
|
(29 |
) |
|
(18 |
) |
|
(49 |
) |
|
71 |
|
|
27 |
|
|||||
Noninterest expense components: |
|
|
|
|
|
|||||||||||||||
Rabbi trust employee benefit expense |
|
2,063 |
|
|
986 |
|
|
2,838 |
|
|
1,445 |
|
|
3,985 |
|
|||||
(Reversal) impairment charge on tax credit investments |
|
(1,419 |
) |
|
— |
|
|
3,189 |
|
|
7,590 |
|
|
— |
|
|||||
Indirect IPO costs (1) |
|
— |
|
|
— |
|
|
— |
|
|
549 |
|
|
380 |
|
|||||
(Gain) on sale of OREO |
|
— |
|
|
— |
|
|
(61 |
) |
|
(546 |
) |
|
— |
|
|||||
Merger and acquisition expenses |
|
3,479 |
|
|
589 |
|
|
90 |
|
|
— |
|
|
— |
|
|||||
Settlement and expenses for putative consumer class action matters |
|
3,325 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||
Stock donation to the EBF |
|
— |
|
|
— |
|
|
91,287 |
|
|
— |
|
|
— |
|
|||||
Total impact of non-GAAP adjustments |
|
3,202 |
|
|
(1,453 |
) |
|
91,756 |
|
|
5,309 |
|
|
(3,516 |
) |
|||||
Less net tax benefit (expense) associated with non-GAAP adjustments (2) |
|
914 |
|
|
(327 |
) |
|
16,082 |
|
|
1,492 |
|
|
(967 |
) |
|||||
Non-GAAP adjustments, net of tax |
$ |
2,288 |
|
$ |
(1,126 |
) |
$ |
75,674 |
|
$ |
3,817 |
|
$ |
(2,549 |
) |
|||||
Operating net income (non-GAAP) |
$ |
37,097 |
|
$ |
46,537 |
|
$ |
31,612 |
|
$ |
32,322 |
|
$ |
27,301 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Weighted average common shares outstanding during the period (3): |
|
|
|
|
|
|||||||||||||||
Basic |
|
172,173,707 |
|
|
172,049,044 |
|
|
171,812,535 |
|
|
— |
|
|
— |
|
|||||
Diluted |
|
172,173,707 |
|
|
172,049,044 |
|
|
171,812,535 |
|
|
— |
|
|
— |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Earnings (loss) per share, basic |
$ |
0.20 |
|
$ |
0.28 |
|
$ |
(0.26 |
) |
|
n.a. |
|
|
n.a. |
||||||
Earnings (loss) per share, diluted |
$ |
0.20 |
|
$ |
0.28 |
|
$ |
(0.26 |
) |
n.a. |
|
|
n.a. |
|||||||
|
|
|
|
|
|
|
|
|
||||||||||||
Operating earnings per share, basic (non-GAAP) |
$ |
0.22 |
|
$ |
0.27 |
|
$ |
0.18 |
|
n.a. |
|
|
n.a. |
|||||||
Operating earnings per share, diluted (non-GAAP) |
$ |
0.22 |
|
$ |
0.27 |
|
$ |
0.18 |
|
n.a. |
|
|
n.a. |
|||||||
|
|
|
|
|
|
|||||||||||||||
Return on average assets (4) |
|
0.83 |
% |
|
1.19 |
% |
|
(1.11 |
)% |
|
0.80 |
% |
|
0.88 |
% |
|||||
Add: |
|
|
|
|
|
|||||||||||||||
(Income) from investments held in rabbi trusts (4) |
|
(0.10 |
)% |
|
(0.05 |
)% |
|
(0.14 |
)% |
|
(0.11 |
)% |
|
(0.23 |
)% |
|||||
(Gain) on sales of securities available for sale, net (4) |
|
— |
% |
|
(0.03 |
)% |
|
— |
% |
|
— |
% |
|
— |
% |
|||||
(Gain) loss on sale of other assets (4) |
|
— |
% |
|
— |
% |
|
— |
% |
|
— |
% |
|
— |
% |
|||||
Rabbi trust employee benefit expense (4) |
|
0.05 |
% |
|
0.02 |
% |
|
0.07 |
% |
|
0.04 |
% |
|
0.12 |
% |
|||||
(Reversal) impairment charge on tax credit investments (4) |
|
(0.03 |
)% |
|
— |
% |
|
0.08 |
% |
|
0.21 |
% |
|
— |
% |
|||||
Indirect IPO costs (1) (4) |
|
— |
% |
|
— |
% |
|
— |
% |
|
0.02 |
% |
|
0.01 |
% |
|||||
(Gain) on sale of OREO (4) |
|
— |
% |
|
— |
% |
|
— |
% |
|
(0.02 |
)% |
|
— |
% |
|||||
Merger and acquisition expenses (4) |
|
0.08 |
% |
|
0.01 |
% |
|
— |
% |
|
— |
% |
|
— |
% |
|||||
Settlement and expenses for putative consumer class action matters (4) |
|
0.08 |
% |
|
— |
% |
|
— |
% |
|
— |
% |
|
— |
% |
|||||
Stock donation to the EBF (4) |
|
— |
% |
|
— |
% |
|
2.29 |
% |
|
— |
% |
|
— |
% |
|||||
Less net tax benefit (expense) associated with non-GAAP adjustments (2) (4) |
|
0.02 |
% |
|
(0.01 |
)% |
|
0.40 |
% |
|
0.04 |
% |
|
(0.03 |
)% |
|||||
Operating return on average assets (non-GAAP) (4) |
|
0.89 |
% |
|
1.15 |
% |
|
0.79 |
% |
|
0.90 |
% |
|
0.81 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
Return on average shareholders' equity (4) |
|
4.10 |
% |
|
5.66 |
% |
|
(5.61 |
)% |
|
6.65 |
% |
|
7.11 |
% |
|||||
Add: |
|
|
|
|
|
|||||||||||||||
(Income) from investments held in rabbi trusts (4) |
|
(0.50 |
)% |
|
(0.22 |
)% |
|
(0.70 |
)% |
|
(0.89 |
)% |
|
(1.84 |
)% |
|||||
(Gain) on sales of securities available for sale, net (4) |
|
— |
% |
|
(0.14 |
)% |
|
— |
% |
|
— |
% |
|
(0.04 |
)% |
|||||
(Gain) loss on sale of other assets (4) |
|
— |
% |
|
— |
% |
|
(0.01 |
)% |
|
0.02 |
% |
|
0.01 |
% |
|||||
Rabbi trust employee benefit expense (4) |
|
0.24 |
% |
|
0.12 |
% |
|
0.36 |
% |
|
0.34 |
% |
|
0.95 |
% |
|||||
(Reversal) impairment charge on tax credit investments (4) |
|
(0.17 |
)% |
|
— |
% |
|
0.41 |
% |
|
1.77 |
% |
|
— |
% |
|||||
Indirect IPO costs (1) (4) |
|
— |
% |
|
— |
% |
|
— |
% |
|
0.13 |
% |
|
0.09 |
% |
|||||
(Gain) on sale of OREO (4) |
|
— |
% |
|
— |
% |
|
(0.01 |
)% |
|
(0.13 |
)% |
|
— |
% |
|||||
Merger and acquisition expenses (4) |
|
0.41 |
% |
|
0.07 |
% |
|
0.01 |
% |
|
— |
% |
|
— |
% |
|||||
Settlement and expenses for putative consumer class action matters (4) |
|
0.39 |
% |
|
— |
% |
|
— |
% |
|
— |
% |
|
— |
% |
|||||
Stock donation to the EBF (4) |
|
— |
% |
|
— |
% |
|
11.62 |
% |
|
— |
% |
|
— |
% |
|||||
Less net tax benefit (expense) associated with non-GAAP adjustments (2) (4) |
|
0.11 |
% |
|
(0.04 |
)% |
|
2.05 |
% |
|
0.35 |
% |
|
(0.23 |
)% |
|||||
Operating return on average shareholders' equity (non-GAAP) (4) |
|
4.36 |
% |
|
5.53 |
% |
|
4.02 |
% |
|
7.54 |
% |
|
6.51 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
(1) Reflects costs associated with the Company's IPO that are indirectly related to the offering and were not recorded as a reduction of capital. |
||||||||||||||||||||
(2) The net tax benefit (expense) associated with these items is determined by assessing whether each item is included or excluded from net taxable income and applying the Company's combined statutory tax rate only to those items included in net taxable income. Additionally, the net tax benefit (expense) for the impairment charge of tax credit investment includes associated tax credit benefits. |
||||||||||||||||||||
(3) Shares held by the Company’s Employee Stock Ownership Plan (“ESOP”) that have not been allocated to employees in accordance with the terms of the ESOP are not deemed outstanding for earnings per share calculations. |
||||||||||||||||||||
(4) Presented on an annualized basis. |
||||||||||||||||||||
APPENDIX B: Reconciliation of Non-GAAP Operating Revenues and Expenses
For information on non-GAAP financial measures, please see the section titled "Non-GAAP Financial Measures." |
||||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||
|
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
(Unaudited, dollars in thousands) |
|
|
|
|
|
|||||||||||||||
Net interest income (GAAP) |
$ |
104,608 |
|
$ |
100,091 |
|
$ |
103,608 |
|
$ |
98,742 |
|
$ |
98,755 |
|
|||||
Add: |
|
|
|
|
|
|||||||||||||||
Tax-equivalent adjustment (non-GAAP) |
|
1,269 |
|
|
1,297 |
|
|
1,357 |
|
|
1,353 |
|
|
1,378 |
|
|||||
Fully-taxable equivalent net interest income (non-GAAP) |
$ |
105,877 |
|
$ |
101,388 |
|
$ |
104,965 |
|
$ |
100,095 |
|
$ |
100,133 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Noninterest income (GAAP) |
$ |
45,733 |
|
$ |
55,212 |
|
$ |
49,638 |
|
$ |
47,709 |
|
$ |
47,657 |
|
|||||
Less: |
|
|
|
|
|
|||||||||||||||
Income from investments held in rabbi trusts |
|
4,216 |
|
|
1,846 |
|
|
5,535 |
|
|
3,800 |
|
|
7,745 |
|
|||||
Gain on sales of securities available for sale, net |
|
1 |
|
|
1,164 |
|
|
3 |
|
|
— |
|
|
163 |
|
|||||
Gain (loss) on sale of other assets |
|
29 |
|
|
18 |
|
|
49 |
|
|
(71 |
) |
|
(27 |
) |
|||||
Noninterest income on an operating basis (non-GAAP) |
$ |
41,487 |
|
$ |
52,184 |
|
$ |
44,051 |
|
$ |
43,980 |
|
$ |
39,776 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Noninterest expense (GAAP) |
$ |
107,335 |
|
$ |
94,049 |
|
$ |
199,169 |
|
$ |
109,817 |
|
$ |
100,765 |
|
|||||
Less: |
|
|
|
|
|
|||||||||||||||
Rabbi trust employee benefit expense |
|
2,063 |
|
|
986 |
|
|
2,838 |
|
|
1,445 |
|
|
3,985 |
|
|||||
(Reversal) impairment charge on tax credit investments |
|
(1,419 |
) |
|
— |
|
|
3,189 |
|
|
7,590 |
|
|
— |
|
|||||
Indirect IPO costs (1) |
|
— |
|
|
— |
|
|
— |
|
|
549 |
|
|
380 |
|
|||||
(Gain) on sale of OREO |
|
— |
|
|
— |
|
|
(61 |
) |
|
(546 |
) |
|
— |
|
|||||
Merger and acquisition expenses |
|
3,479 |
|
|
589 |
|
|
90 |
|
|
— |
|
|
— |
|
|||||
Settlement and expenses for putative consumer class action matters |
|
3,325 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|||||
Stock donation to the EBF |
|
— |
|
|
— |
|
|
91,287 |
|
|
— |
|
|
— |
|
|||||
Noninterest expense on an operating basis (non-GAAP) |
$ |
99,887 |
|
$ |
92,474 |
|
$ |
101,826 |
|
$ |
100,779 |
|
$ |
96,400 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Total revenue (GAAP) |
$ |
150,341 |
|
$ |
155,303 |
|
$ |
153,246 |
|
$ |
146,451 |
|
$ |
146,412 |
|
|||||
Total operating revenue (non-GAAP) |
$ |
147,364 |
|
$ |
153,572 |
|
$ |
149,016 |
|
$ |
144,075 |
|
$ |
139,909 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Efficiency ratio (GAAP) |
|
71.39 |
% |
|
60.56 |
% |
|
129.97 |
% |
|
74.99 |
% |
|
68.82 |
% |
|||||
Operating efficiency ratio (non-GAAP) |
|
67.78 |
% |
|
60.22 |
% |
|
68.33 |
% |
|
69.95 |
% |
|
68.90 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
Noninterest income / total revenue (GAAP) |
|
30.42 |
% |
|
35.55 |
% |
|
32.39 |
% |
|
32.58 |
% |
|
32.55 |
% |
|||||
Noninterest income / total revenue on an operating basis (non-GAAP) |
|
28.15 |
% |
|
33.98 |
% |
|
29.56 |
% |
|
30.53 |
% |
|
28.43 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
(1) Reflects costs associated with the Company's IPO that are indirectly related to the offering and were not recorded as a reduction of capital. |
||||||||||||||||||||
APPENDIX C: Reconciliation of Non-GAAP Capital Metrics
For information on non-GAAP financial measures, please see the section titled "Non-GAAP Financial Measures." |
||||||||||||||||||||
|
As of |
|||||||||||||||||||
|
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
(Unaudited, dollars in thousands, except share data) |
|
|
|
|
|
|||||||||||||||
Tangible shareholders' equity: |
|
|
|
|
|
|||||||||||||||
Total shareholders' equity (GAAP) |
$ |
3,430,622 |
|
$ |
3,387,045 |
|
$ |
3,428,052 |
|
$ |
1,713,372 |
|
$ |
1,693,630 |
|
|||||
Less: Goodwill and other intangibles |
|
380,402 |
|
|
376,002 |
|
|
376,534 |
|
|
375,632 |
|
|
376,331 |
|
|||||
Tangible shareholders' equity (non-GAAP) |
|
3,050,220 |
|
|
3,011,043 |
|
|
3,051,518 |
|
|
1,337,740 |
|
|
1,317,299 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Tangible assets: |
|
|
|
|
|
|||||||||||||||
Total assets (GAAP) |
|
17,047,453 |
|
|
16,726,795 |
|
|
15,964,190 |
|
|
15,460,594 |
|
|
13,996,523 |
|
|||||
Less: Goodwill and other intangibles |
|
380,402 |
|
|
376,002 |
|
|
376,534 |
|
|
375,632 |
|
|
376,331 |
|
|||||
Tangible assets (non-GAAP) |
$ |
16,667,051 |
|
$ |
16,350,793 |
|
$ |
15,587,656 |
|
$ |
15,084,962 |
|
$ |
13,620,192 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Shareholders' equity to assets ratio (GAAP) |
|
20.12 |
% |
|
20.25 |
% |
|
21.47 |
% |
|
11.08 |
% |
|
12.10 |
% |
|||||
Tangible shareholders' equity to tangible assets ratio (non-GAAP) |
|
18.30 |
% |
|
18.42 |
% |
|
19.58 |
% |
|
8.87 |
% |
|
9.67 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
Common shares outstanding |
|
186,758,154 |
|
|
186,758,154 |
|
|
186,758,154 |
|
|
— |
|
|
— |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Book value per share (GAAP) |
$ |
18.37 |
|
$ |
18.14 |
|
$ |
18.36 |
|
|
n.a. |
|
n.a. |
|||||||
Tangible book value per share (non-GAAP) |
$ |
16.33 |
|
$ |
16.12 |
|
$ |
16.34 |
|
|
n.a. |
|
n.a. |
|||||||
APPENDIX D: Reconciliation of Non-GAAP Credit Metrics
For information on non-GAAP financial measures, please see the section titled "Non-GAAP Financial Measures." |
||||||||||||||||||||
|
As of |
|||||||||||||||||||
(Unaudited, dollars in thousands) |
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
|
|
|
|
|
|
|||||||||||||||
Total loans excluding PPP loans: |
|
|
|
|
|
|||||||||||||||
Total loans (GAAP) (1) |
$ |
9,591,336 |
|
$ |
9,883,802 |
|
$ |
9,706,989 |
|
$ |
9,911,494 |
|
$ |
9,979,616 |
|
|||||
Less: PPP loans (1) |
|
799,964 |
|
|
1,210,598 |
|
|
1,007,487 |
|
|
1,098,883 |
|
|
1,072,312 |
|
|||||
Total loans excluding PPP loans (non-GAAP) |
$ |
8,791,372 |
|
$ |
8,673,204 |
|
$ |
8,699,502 |
|
$ |
8,812,611 |
|
$ |
8,907,304 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Total nonperforming loans (NPLs) (GAAP) |
$ |
41,632 |
|
$ |
43,954 |
|
$ |
43,252 |
|
$ |
44,833 |
|
$ |
55,395 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Total NPLs / total loans (GAAP) |
|
0.43 |
% |
|
0.44 |
% |
|
0.45 |
% |
|
0.45 |
% |
|
0.56 |
% |
|||||
Total NPLs / total loans (excl. PPP loans) (non-GAAP) |
|
0.47 |
% |
|
0.51 |
% |
|
0.50 |
% |
|
0.51 |
% |
|
0.62 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
Allowance for loan losses (ALLL) (GAAP) |
$ |
105,637 |
|
$ |
111,080 |
|
$ |
113,031 |
|
$ |
115,432 |
|
$ |
116,636 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
ALLL / total loans (GAAP) |
|
1.10 |
% |
|
1.12 |
% |
|
1.16 |
% |
|
1.16 |
% |
|
1.17 |
% |
|||||
ALLL / total loans (excl. PPP loans) (non-GAAP) |
|
1.20 |
% |
|
1.28 |
% |
|
1.30 |
% |
|
1.31 |
% |
|
1.31 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
|
As of and for the three months ended |
|||||||||||||||||||
(Unaudited, dollars in thousands) |
Jun 30, 2021 |
Mar 31, 2021 |
Dec 31, 2020 |
Sep 30, 2020 |
Jun 30, 2020 |
|||||||||||||||
|
|
|
|
|
|
|||||||||||||||
Average total loans excluding PPP Loans: |
|
|
|
|
|
|||||||||||||||
Average total loans (GAAP) |
$ |
9,796,701 |
|
$ |
9,816,788 |
|
$ |
9,796,697 |
|
$ |
9,914,731 |
|
$ |
9,875,110 |
|
|||||
Less: Average PPP loans |
|
1,073,688 |
|
|
1,131,516 |
|
|
1,076,155 |
|
|
1,091,464 |
|
|
818,665 |
|
|||||
Average total loans excluding PPP loans (non-GAAP) |
$ |
8,723,013 |
|
$ |
8,685,272 |
|
$ |
8,720,542 |
|
$ |
8,823,267 |
|
$ |
9,056,445 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
Total net loans charged-off (NCOs) (GAAP) |
$ |
2,143 |
|
$ |
1,371 |
|
$ |
3,301 |
|
$ |
1,904 |
|
$ |
1,102 |
|
|||||
|
|
|
|
|
|
|||||||||||||||
NCOs / Average total loans (GAAP) (2) |
|
0.09 |
% |
|
0.06 |
% |
|
0.13 |
% |
|
0.08 |
% |
|
0.04 |
% |
|||||
NCOs / Average total loans (excl. PPP loans) (non-GAAP) (2) |
|
0.10 |
% |
|
0.06 |
% |
|
0.15 |
% |
|
0.09 |
% |
|
0.05 |
% |
|||||
|
|
|
|
|
|
|||||||||||||||
(1) Includes unamortized premiums, net of unearned discounts and deferred fees. |
||||||||||||||||||||
(2) Presented on an annualized basis. |
||||||||||||||||||||
Appendix E: Reconciliation of Non-GAAP Core Margin
For information on non-GAAP financial measures, please see the section titled "Non-GAAP Financial Measures." |
||||||||||||||||||||||
|
As of and for the three months ended |
|||||||||||||||||||||
|
Jun 30, 2021 |
Mar 31, 2021 |
||||||||||||||||||||
(Unaudited, dollars in thousands) |
Volume |
Interest |
Margin Impact (1) |
Volume |
Interest |
Margin Impact (1) |
||||||||||||||||
|
|
|
|
|
|
|
||||||||||||||||
Reported total average interest-earning assets, net interest income, and net interest margin (2) |
$ |
15,759,132 |
|
$ |
105,877 |
|
2.69 |
% |
$ |
15,188,879 |
|
$ |
101,388 |
|
2.71 |
% |
||||||
Non-GAAP adjustments: |
|
|
|
|
|
|
||||||||||||||||
PPP loan volume earning |
|
(1,073,688 |
) |
|
(2,742 |
) |
0.12 |
% |
|
(1,131,516 |
) |
|
(2,887 |
) |
0.13 |
% |
||||||
SBA PPP loan fee accretion, net of deferred origination cost amortization |
|
— |
|
|
(9,258 |
) |
(0.24 |
)% |
|
— |
|
|
(8,339 |
) |
(0.22 |
)% |
||||||
Excess cash (3) |
|
(1,302,558 |
) |
|
(357 |
) |
0.23 |
% |
|
(1,436,783 |
) |
|
(354 |
) |
0.27 |
% |
||||||
Deferred loan fee income adjustment |
|
— |
|
|
— |
|
— |
% |
|
— |
|
|
— |
|
— |
% |
||||||
Core margin (Non-GAAP) (4) |
$ |
13,382,886 |
|
$ |
93,520 |
|
2.80 |
% |
$ |
12,620,580 |
|
$ |
89,808 |
|
2.89 |
% |
||||||
|
|
|
|
|
|
|
||||||||||||||||
Core margin change from prior quarter |
|
|
(0.09 |
)% |
|
|
(0.25 |
)% |
||||||||||||||
|
|
|
|
|
|
|
||||||||||||||||
|
Dec 31, 2020 |
Sep 30, 2020 |
||||||||||||||||||||
|
Volume |
Interest |
Margin Impact (1) |
Volume |
Interest |
Margin Impact (1) |
||||||||||||||||
|
|
|
|
|
|
|
||||||||||||||||
Reported total average interest-earning assets, net interest income, and net interest margin (2) |
$ |
14,715,494 |
|
$ |
104,965 |
|
2.84 |
% |
$ |
13,089,839 |
|
$ |
100,095 |
|
3.04 |
% |
||||||
Non-GAAP adjustments: |
|
|
|
|
|
|
||||||||||||||||
PPP loan volume earning |
|
(1,076,155 |
) |
|
(2,741 |
) |
0.14 |
% |
|
(1,091,464 |
) |
|
(2,795 |
) |
0.18 |
% |
||||||
SBA PPP loan fee accretion, net of deferred origination cost amortization |
|
— |
|
|
(6,102 |
) |
(0.16 |
)% |
|
— |
|
|
(4,125 |
) |
(0.13 |
)% |
||||||
Excess cash (3) |
|
(1,996,808 |
) |
|
(502 |
) |
0.43 |
% |
|
(1,200,250 |
) |
|
(302 |
) |
0.30 |
% |
||||||
Deferred loan fee income adjustment |
|
— |
|
|
(3,774 |
) |
(0.10 |
)% |
|
— |
|
|
— |
|
— |
% |
||||||
Core margin (Non-GAAP) (4) |
$ |
11,642,531 |
|
$ |
91,846 |
|
3.14 |
% |
$ |
10,798,125 |
|
$ |
92,873 |
|
3.42 |
% |
||||||
|
|
|
|
|
|
|
||||||||||||||||
Core margin change from prior quarter |
|
|
(0.28 |
)% |
|
|
|
|||||||||||||||
|
|
|
|
|
|
|
||||||||||||||||
(1) Presented on an annualized basis. |
||||||||||||||||||||||
(2) Presented on a fully taxable equivalent basis. |
||||||||||||||||||||||
(3) Consists of cash above |
||||||||||||||||||||||
(4) Core margin is the margin that results from the combined volume and interest adjustments taken together. |
||||||||||||||||||||||
APPENDIX F: COVID-19 Related Loan Modifications |
||||||||||||||||||
|
|
Remaining COVID-19 Modifications as of December 31, 2020 (1) |
|
Remaining COVID-19 Modifications as of March 31, 2021 (1) |
|
Remaining COVID-19 Modifications as of June 30, 2021 (1) |
||||||||||||
(Dollars in thousands) |
|
Remaining Modifications |
% of Total Loan Balance |
|
Remaining Modifications |
% of Total Loan Balance |
|
Remaining Modifications |
% of Total Loan Balance |
|||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||
Portfolio |
|
|
|
|
|
|
|
|
|
|||||||||
Commercial and industrial |
|
$ |
34,076 |
1.7 |
% |
|
$ |
22,776 |
1.1 |
% |
|
$ |
18,850 |
1.1 |
% |
|||
Commercial real estate |
|
|
231,794 |
6.5 |
% |
|
|
127,683 |
3.5 |
% |
|
|
113,301 |
3.0 |
% |
|||
Commercial construction |
|
|
10,987 |
3.6 |
% |
|
|
— |
— |
% |
|
|
— |
— |
% |
|||
Business banking |
|
|
23,434 |
1.8 |
% |
|
|
11,681 |
0.8 |
% |
|
|
2,102 |
0.2 |
% |
|||
Residential real estate |
|
|
26,772 |
2.0 |
% |
|
|
13,754 |
1.0 |
% |
|
|
13,428 |
0.9 |
% |
|||
Consumer home equity |
|
|
3,432 |
0.4 |
% |
|
|
1,274 |
0.2 |
% |
|
|
1,124 |
0.1 |
% |
|||
Other consumer |
|
|
2,187 |
0.8 |
% |
|
|
1,262 |
0.5 |
% |
|
|
999 |
0.4 |
% |
|||
Total |
|
$ |
332,682 |
3.4 |
% |
|
$ |
178,430 |
1.8 |
% |
|
$ |
149,805 |
1.6 |
% |
|||
|
|
|
|
|
|
|
|
|
|
|||||||||
(1) Remaining COVID-19 modifications reflect those loans which underwent a modification and have not yet resumed payment. The Company defines a modified loan to have resumed payment if it is one month past the modification end date and not more than 30 days past due. These modifications with active deferrals met the criteria of either Section 4013 of the CARES Act or the Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus (Revised) and therefore are not deemed troubled debt restructurings. |
||||||||||||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20210729006145/en/
FAQ
What were the earnings results for Eastern Bankshares in Q2 2021?
What is the dividend declared by Eastern Bankshares for Q2 2021?
How did Eastern Bankshares' loan growth perform in Q2 2021?
What factors impacted Eastern Bankshares' financial results in Q2 2021?
