Update: Eagle Bancorp, Inc. Announces Third Quarter 2024 Results
Eagle Bancorp reported Q3 2024 net income of $21.8 million ($0.72 per share), compared to Q2's net loss of $83.8 million which included a $104.2 million goodwill impairment charge. Key highlights include a pre-provision net revenue of $35.2 million, net interest income increase of $490,000 to $71.8 million, and total deposits growth of $273.5 million to $8.5 billion. The company recalibrated its dividend to $0.165 from $0.45 per share, aiming to retain $32 million in capital annually. Asset quality metrics showed an increase in nonperforming assets to $137.1 million (1.22% of total assets), while maintaining strong capital ratios with Common Equity Tier 1 at 14.54%.
Eagle Bancorp ha riportato un utile netto per il terzo trimestre del 2024 di 21,8 milioni di dollari (0,72 dollari per azione), rispetto a una perdita netta di 83,8 milioni di dollari nel secondo trimestre, che includeva una rettifica per impairment di avviamento di 104,2 milioni di dollari. Tra i punti salienti ci sono un utile netto pre-provision di 35,2 milioni di dollari, un incremento del reddito da interessi netti di 490.000 dollari a 71,8 milioni di dollari e una crescita dei depositi totali di 273,5 milioni di dollari, portandoli a 8,5 miliardi di dollari. L'azienda ha riaggiustato il proprio dividendo a 0,165 dollari da 0,45 dollari per azione, con l'obiettivo di trattenere annualmente 32 milioni di dollari di capitale. Le metriche sulla qualità degli attivi hanno mostrato un aumento degli attivi non performanti a 137,1 milioni di dollari (1,22% del totale degli attivi), mantenendo al contempo solidi rapporti patrimoniali, con un Common Equity Tier 1 al 14,54%.
Eagle Bancorp reportó un ingreso neto del tercer trimestre de 2024 de 21.8 millones de dólares (0.72 dólares por acción), en comparación con una pérdida neta de 83.8 millones de dólares en el segundo trimestre, que incluía un cargo por deterioro de la buena voluntad de 104.2 millones de dólares. Los aspectos destacados incluyen un ingreso neto antes de provisiones de 35.2 millones de dólares, un aumento en los ingresos por intereses netos de 490,000 dólares a 71.8 millones de dólares, y un crecimiento total de depósitos de 273.5 millones de dólares, alcanzando un total de 8.5 mil millones de dólares. La compañía recalibró su dividendo a 0.165 dólares desde 0.45 dólares por acción, con el objetivo de retener 32 millones de dólares en capital anualmente. Las métricas de calidad de activos mostraron un aumento en los activos no rentables a 137.1 millones de dólares (1.22% del total de activos), manteniendo al mismo tiempo sólidos ratios patrimoniales con un Common Equity Tier 1 del 14.54%.
이글 뱅콥은 2024년 3분기 순이익이 2,180만 달러(주당 0.72달러)라고 발표했으며, 이는 2분기의 8,380만 달러의 순손실에 비해 개선된 수치입니다. 2분기 손실에는 1억 420만 달러의 영업권 손상 차감이 포함되었습니다. 주요 하이라이트로는 3,520만 달러의 대출 전 순수익, 71,800만 달러로 49만 달러 증가한 순이자 수익, 전체 예금이 85억 달러로 2억 7300만 달러 증가한 것이 있습니다. 회사는 주당 0.45달러에서 0.165달러로 배당금을 재조정하여 연간 3,200만 달러의 자본을 유보할 계획입니다. 자산 품질 지표는 비수익 자산이 1억 3,710만 달러(총 자산의 1.22%)로 증가했으며, Common Equity Tier 1 비율은 14.54%로 강한 자본 비율을 유지하고 있습니다.
Eagle Bancorp a annoncé un bénéfice net de 21,8 millions de dollars pour le troisième trimestre 2024 (0,72 dollar par action), comparé à une perte nette de 83,8 millions de dollars au deuxième trimestre, incluant une charge de dépréciation du goodwill de 104,2 millions de dollars. Parmi les points forts, on retrouve un revenu net avant provisions de 35,2 millions de dollars, une augmentation des revenus d'intérêts nets de 490 000 dollars à 71,8 millions de dollars, et une croissance des dépôts totaux de 273,5 millions de dollars atteignant 8,5 milliards de dollars. L'entreprise a recalibré son dividende à 0,165 dollar contre 0,45 dollar par action, visant à conserver 32 millions de dollars de capital chaque année. Les indicateurs de qualité des actifs ont montré une augmentation des actifs non performants à 137,1 millions de dollars (1,22 % des actifs totaux), tout en maintenant des ratios de capital solides avec un Common Equity Tier 1 à 14,54 %.
Eagle Bancorp berichtete für das dritte Quartal 2024 einen Nettogewinn von 21,8 Millionen Dollar (0,72 Dollar pro Aktie), verglichen mit einem Nettoverlust von 83,8 Millionen Dollar im zweiten Quartal, der eine Wertminderung des Geschäfts- oder Firmenwerts von 104,2 Millionen Dollar beinhaltete. Zu den wichtigsten Punkten gehören ein Nettoumsatz vor Rückstellungen von 35,2 Millionen Dollar, ein Anstieg der Nettozinserträge um 490.000 Dollar auf 71,8 Millionen Dollar und ein Anstieg der Gesamteinlagen um 273,5 Millionen Dollar auf 8,5 Milliarden Dollar. Das Unternehmen hat die Dividende von 0,45 Dollar auf 0,165 Dollar pro Aktie neu kalibriert, um jährlich 32 Millionen Dollar an Kapital zurückzubehalten. Die Vermögensqualitätskennzahlen zeigten einen Anstieg der notleidenden Vermögenswerte auf 137,1 Millionen Dollar (1,22 % der Gesamtvermögen), während die Kapitalquoten mit einem Common Equity Tier 1 von 14,54 % stark bleiben.
- Net income improved to $21.8 million from previous quarter's loss
- Net interest income increased by $490,000 to $71.8 million
- Total deposits grew by $273.5 million (3.3%) quarter-over-quarter
- Common Equity Tier 1 Capital ratio strong at 14.54%
- Book value per share increased by $1.86
- Nonperforming assets increased by $38.2 million to $137.1 million
- Net charge-offs increased to 0.26% from 0.11% in Q2
- Dividend reduced by 63% from $0.45 to $0.165 per share
- Net interest margin declined to 2.37% from 2.40%
- Total loans decreased by 0.4% from previous quarter
Insights
The Q3 2024 results show mixed signals. While net income improved to
- Rising nonperforming assets to
$137.1 million (1.22% of total assets), up significantly from Q2 - Increased loan loss provisions to
$10.1 million - Dividend cut to
$0.165 from$0.45 per share to preserve capital
Positive aspects include stable capital ratios with CET1 at
The credit quality metrics reveal deteriorating trends. The increase in nonperforming assets was driven by
Eagle grows book value per share by
BETHESDA, Md., Oct. 23, 2024 (GLOBE NEWSWIRE) -- Eagle Bancorp, Inc. ("Eagle", the "Company") (NASDAQ: EGBN), the Bethesda-based holding company for EagleBank, one of the largest community banks in the Washington D.C. area, reported its unaudited results for the third quarter ended September 30, 2024.
Eagle reported net income of
The
"We continue to strategically position the Company for future growth as evidenced by actions taken during the quarter with the refinancing of our maturing subordinated debt and the recalibration of our common dividend strategy," said Susan G. Riel, President and Chief Executive Officer of the Company. "We announced the addition of Evelyn Lee to our senior leadership as our Chief Lending Officer for our commercial lending team. As a 25 year banker in the Washington D.C. market, I am excited about accomplishing our strategic goal of continuing to build out our commercial banker group and pursuing diversification of the loan portfolio and growing our relationship deposits," added Ms. Riel.
Eric R. Newell, Chief Financial Officer of the Company said, "Raising senior debt in the third quarter demonstrates the confidence debt investors have in our vision and the future of the Company. Operating performance was stable from last quarter evidenced by operating net income1 increasing
Ms. Riel added, "I thank all of our employees for their hard work and their commitment to a culture of respect, diversity and inclusion in both the workplace and the communities we serve."
Third Quarter 2024 Highlights
- The Company repaid
$70 million of maturing subordinated debt and issued$77.7 million of10% unsecured senior debt maturing September 30, 2029. - During the quarter, the Company announced a recalibration of the common stock dividend to
$0.16 5 per share from$0.45 per share in the second quarter an action estimated to retain an additional$32 million of capital annually to meet growth and investment objectives. - The ACL as a percentage of total loans held for investment was
1.40% at quarter-end; up from1.33% at the prior quarter-end. Performing office coverage2 was4.55% at quarter-end; as compared to4.05% at the prior quarter-end. - Nonperforming assets increased
$38.2 million to$137.1 million as of September 30, 2024 and were1.22% of total assets compared to0.88% as of June 30, 2024. Inflows to non-performing loans in the quarter totaled$45.5 million offset by$9 million of outflows, of which$5 million was the loan held for sale at June 30, 2024 and an increase of other real estate owned of$2.0 million . The inflows were predominantly associated with$27.3 million in mixed use land loans and$17.9 million in an assisted living facility loan. - Substandard loans declined
$17.0 million to$391.3 million and special mention loans increased$57.1 million to$365.0 million at September 30, 2024. - Net charge-offs for the third quarter were
0.26% compared to0.11% for the second quarter 2024. Of the total$5.3 million of net charge offs in the quarter,$3.8 million is associated with a senior living property that has not stabilized. - The net interest margin ("NIM") decreased slightly to
2.37% for the third quarter 2024, compared to2.40% for the prior quarter, primarily due to continued decline in average non-interest bearing deposits. Net interest income increased$490 thousand from the second quarter to$71.8 million in the third quarter. - At quarter-end, the common equity ratio, tangible common equity ratio1, and common equity tier 1 capital (to risk-weighted assets) ratio were
10.86% ,10.86% , and14.54% , respectively. - Total estimated insured deposits at quarter-end were
$6.4 billion , or74.5% of deposits, stable from the second quarter total of72.5% of deposits. - Total on-balance sheet liquidity and available capacity was
$4.6 billion at quarter-end compared to$4.0 billion at June 30, 2024.
Income Statement
- Net interest income was
$71.8 million for the third quarter 2024, compared to$71.4 million for the prior quarter. The increase in net interest income was primarily driven by an increase in the average balances of deposits held with other banks and average loans partially offset by higher average interest-bearing deposits and higher rates paid on those deposits in the third quarter from the prior quarter. - Provision for credit losses was
$10.1 million for the third quarter 2024, compared to$9.0 million for the prior quarter. The increase in the provision quarter over quarter reflects higher net charge-offs in the third quarter from the prior quarter. Reserve for unfunded commitments was a reversal of$1.6 million due to lower unfunded commitments in our construction portfolio. This compared to a reserve for unfunded commitments in the prior quarter of$0.6 million . - Noninterest income was
$6.95 million for the third quarter 2024, compared to$5.33 million for the prior quarter. The primary driver for the increase was higher swap fee income. - Noninterest expense was
$43.6 million for the third quarter 2024, compared to$146.5 million for the prior quarter. The decrease over the comparative quarters was primarily due to a goodwill impairment charge of$104.2 million in the second quarter 2024. When excluding the goodwill impairment charge, the increase quarter over quarter was associated with increased FDIC insurance expense.
Loans and Funding
- Total loans were
$8.0 billion at September 30, 2024, down0.4% from the prior quarter-end. The decrease in total loans was driven by a reduction in commercial loans and income producing commercial real estate loans from the prior quarter-end, partially offset by increased fundings of ongoing construction projects for commercial and residential properties.
At September 30, 2024, income-producing commercial real estate loans secured by office properties other than owner-occupied properties were10.8% of the total loan portfolio, down from11.3% at the prior quarter-end.
- Total deposits at quarter-end were
$8.5 billion , up$273.5 million , or3.3% , from the prior quarter-end. The increase was primarily attributable to an increase in time deposits from the company's digital acquisition channel. Period end deposits have increased$165 million when compared to prior year comparable period end of September 30, 2023. - Other short-term borrowings were
$1.2 billion at September 30, 2024, down25.3% from the prior quarter-end as maturing FHLB borrowings were paid down with increased cash from deposits.
Asset Quality
- Allowance for credit losses was
1.40% of total loans held for investment at September 30, 2024, compared to1.33% at the prior quarter-end. Performing office coverage was4.55% at quarter-end; as compared to4.05% at the prior quarter-end. - Net charge-offs were
$5.3 million for the quarter compared to$2.3 million in the second quarter of 2024. - Nonperforming assets were
$137.1 million at September 30, 2024.- NPAs as a percentage of assets were
1.22% at September 30, 2024, compared to0.88% at the prior quarter-end. At September 30, 2024, other real estate owned consisted of four properties with an aggregate carrying value of$2.7 million . The increase in NPAs was predominantly associated with$27.3 million in mixed use land loans and$17.9 million in an assisted living facility loan. - Loans 30-89 days past due were
$56.3 million at September 30, 2024, compared to$8.4 million at the prior quarter-end. Of the total increase,$25 million was brought current subsequent to quarter-end.
- NPAs as a percentage of assets were
Capital
- Total shareholders' equity was
$1.2 billion at September 30, 2024, up4.8% from the prior quarter-end. The increase in shareholders' equity of$56.0 million was primarily due to increased valuations of available-for-sale securities and an increase in retained earnings. - Book value per share and Tangible book value per share3 was
$40.61 , up$1.86 from the prior quarter-end.
Additional financial information: The financial information that follows provides more detail on the Company's financial performance for the three months ended September 30, 2024 as compared to the three months ended June 30, 2024 and September 30, 2023, as well as eight quarters of trend data. Persons wishing additional information should refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2023, and other reports filed with the SEC.
About Eagle Bancorp: The Company is the holding company for EagleBank, which commenced operations in 1998. The Bank is headquartered in Bethesda, Maryland, and operates through twelve banking offices and four lending offices located in Suburban Maryland, Washington, D.C. and Northern Virginia. The Company focuses on building relationships with businesses, professionals and individuals in its marketplace, and is committed to a culture of respect, diversity, equity and inclusion in both its workplace and the communities in which it operates.
Conference call: Eagle Bancorp will host a conference call to discuss its third quarter 2024 financial results on Thursday, October 24, 2024 at 10:00 a.m. Eastern Time.
The listen-only webcast can be accessed at:
- https://edge.media-server.com/mmc/p/79xpxyi2
- For analysts who wish to participate in the conference call, please register at the following URL:
https://register.vevent.com/register/BI6cdce3c45a9f49219ea94a6f7c9fa083
- A replay of the conference call will be available on the Company's website through November 7, 2024: https://www.eaglebankcorp.com/
Forward-looking statements: This press release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by use of words such as "may," "will," "can," "anticipates," "believes," "expects," "plans," "estimates," "potential," "continue," "should," "could," "strive," "feel" and similar words or phrases. These statements are based upon current and anticipated economic conditions, nationally and in the Company's market (including volatility in interest rates and interest rate policy; the current inflationary environment; competitive factors) and other conditions (such as the impact of bank failures or adverse developments at other banks and related negative press about the banking industry in general on investor and depositor sentiment regarding the stability and liquidity of banks), which by their nature are not susceptible to accurate forecast and are subject to significant uncertainty. Because of these uncertainties and the assumptions on which this discussion and the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein. For details on factors that could affect these expectations, see the risk factors and other cautionary language included in the Company's Annual Report on Form 10-K for the year ended December 31, 2023 and in other periodic and current reports filed with the SEC. Readers are cautioned against placing undue reliance on any such forward-looking statements. The Company's past results are not necessarily indicative of future performance, and nothing contained herein is meant to or should be considered and treated as earnings guidance of future quarters' performance projections. All information is as of the date of this press release. Any forward-looking statements made by or on behalf of the Company speak only as to the date they are made. Except to the extent required by applicable law or regulation, the Company undertakes no obligation to revise or update publicly any forward-looking statement for any reason.
| Eagle Bancorp, Inc. | |||||||||||
| Consolidated Statements of Operations (Unaudited) | |||||||||||
| (Dollars in thousands, except per share data) | |||||||||||
| Three Months Ended | |||||||||||
| September 30, | June 30, | September 30, | |||||||||
| 2024 | 2024 | 2023 | |||||||||
| Interest Income | |||||||||||
| Interest and fees on loans | $ | 139,836 | $ | 137,616 | $ | 132,273 | |||||
| Interest and dividends on investment securities | 12,578 | 12,405 | 13,732 | ||||||||
| Interest on balances with other banks and short-term investments | 21,296 | 19,568 | 15,067 | ||||||||
| Interest on federal funds sold | 103 | 142 | 77 | ||||||||
| Total interest income | 173,813 | 169,731 | 161,149 | ||||||||
| Interest Expense | |||||||||||
| Interest on deposits | 81,190 | 76,846 | 70,929 | ||||||||
| Interest on customer repurchase agreements | 332 | 330 | 311 | ||||||||
| Interest on other short-term borrowings | 20,448 | 21,202 | 18,152 | ||||||||
| Interest on long-term borrowings | $ | — | — | 1,038 | |||||||
| Total interest expense | 101,970 | 98,378 | 90,430 | ||||||||
| Net Interest Income | 71,843 | 71,353 | 70,719 | ||||||||
| Provision for Credit Losses | 10,094 | 8,959 | 5,644 | ||||||||
| Provision (Reversal) for Credit Losses for Unfunded Commitments | (1,593 | ) | 608 | (839 | ) | ||||||
| Net Interest Income After Provision for Credit Losses | 63,342 | 61,786 | 65,914 | ||||||||
| Noninterest Income | |||||||||||
| Service charges on deposits | 1,747 | 1,653 | 1,631 | ||||||||
| Gain on sale of loans | 20 | 37 | (5 | ) | |||||||
| Net gain on sale of investment securities | 3 | 3 | 5 | ||||||||
| Increase in cash surrender value of bank-owned life insurance | 731 | 709 | 669 | ||||||||
| Other income | 4,450 | 2,930 | 4,047 | ||||||||
| Total noninterest income | 6,951 | 5,332 | 6,347 | ||||||||
| Noninterest Expense | |||||||||||
| Salaries and employee benefits | 21,675 | 21,770 | 21,549 | ||||||||
| Premises and equipment expenses | 2,794 | 2,894 | 3,095 | ||||||||
| Marketing and advertising | 1,588 | 1,662 | 768 | ||||||||
| Data processing | 3,435 | 3,495 | 3,194 | ||||||||
| Legal, accounting and professional fees | 3,433 | 2,705 | 2,162 | ||||||||
| FDIC insurance | 7,399 | 5,917 | 3,342 | ||||||||
| Goodwill impairment | — | 104,168 | — | ||||||||
| Other expenses | 3,290 | 3,880 | 3,523 | ||||||||
| Total noninterest expense | 43,614 | 146,491 | 37,633 | ||||||||
| (Loss) Income Before Income Tax Expense | 26,679 | (79,373 | ) | 34,628 | |||||||
| Income Tax Expense | 4,864 | 4,429 | 7,245 | ||||||||
| Net (Loss) Income | $ | 21,815 | $ | (83,802 | ) | $ | 27,383 | ||||
| (Loss) Earnings Per Common Share | |||||||||||
| Basic | $ | 0.72 | $ | (2.78 | ) | $ | 0.91 | ||||
| Diluted | $ | 0.72 | $ | (2.78 | ) | $ | 0.91 | ||||
| Eagle Bancorp, Inc. | |||||||||||
| Consolidated Balance Sheets (Unaudited) | |||||||||||
| (Dollars in thousands, except per share data) | |||||||||||
| September 30, | June 30, | September 30, | |||||||||
| 2024 | 2024 | 2023 | |||||||||
| Assets | |||||||||||
| Cash and due from banks | $ | 16,383 | $ | 10,803 | $ | 8,625 | |||||
| Federal funds sold | 9,610 | 5,802 | 13,611 | ||||||||
| Interest-bearing deposits with banks and other short-term investments | 584,491 | 526,228 | 235,819 | ||||||||
| Investment securities available-for-sale at fair value (amortized cost of | 1,433,006 | 1,584,435 | 1,474,945 | ||||||||
| Investment securities held-to-maturity at amortized cost, net of allowance for credit losses of | 961,925 | 982,955 | 1,032,485 | ||||||||
| Federal Reserve and Federal Home Loan Bank stock | 37,728 | 54,274 | 25,689 | ||||||||
| Loans held for sale | — | 5,000 | — | ||||||||
| Loans | 7,970,269 | 8,001,739 | 7,916,391 | ||||||||
| Less: allowance for credit losses | (111,867 | ) | (106,301 | ) | (83,332 | ) | |||||
| Loans, net | 7,858,402 | 7,895,438 | 7,833,059 | ||||||||
| Premises and equipment, net | 8,291 | 8,788 | 11,216 | ||||||||
| Operating lease right-of-use assets | 15,167 | 16,250 | 20,151 | ||||||||
| Deferred income taxes | 74,381 | 86,236 | 98,987 | ||||||||
| Bank-owned life insurance | 115,064 | 114,333 | 112,234 | ||||||||
| Goodwill and intangible assets, net | 21 | 129 | 105,239 | ||||||||
| Other real estate owned | 2,743 | 773 | 1,487 | ||||||||
| Other assets | 167,840 | 174,396 | 190,667 | ||||||||
| Total Assets | $ | 11,285,052 | $ | 11,465,840 | $ | 11,164,214 | |||||
| Liabilities and Shareholders' Equity | |||||||||||
| Liabilities | |||||||||||
| Deposits: | |||||||||||
| Noninterest-bearing demand | $ | 1,609,823 | $ | 1,693,955 | $ | 2,072,665 | |||||
| Interest-bearing transaction | 903,300 | 1,123,980 | 932,779 | ||||||||
| Savings and money market | 3,316,819 | 3,165,314 | 3,129,773 | ||||||||
| Time deposits | 2,710,908 | 2,284,099 | 2,241,089 | ||||||||
| Total deposits | 8,540,850 | 8,267,348 | 8,376,306 | ||||||||
| Customer repurchase agreements | 32,040 | 39,220 | 25,689 | ||||||||
| Other short-term borrowings | 1,240,000 | 1,659,979 | 1,300,001 | ||||||||
| Long-term borrowings | 75,812 | — | 69,887 | ||||||||
| Operating lease liabilities | 18,755 | 20,016 | 24,422 | ||||||||
| Reserve for unfunded commitments | 5,060 | 6,653 | 6,183 | ||||||||
| Other liabilities | 147,111 | 139,348 | 145,842 | ||||||||
| Total Liabilities | 10,059,628 | 10,132,564 | 9,948,330 | ||||||||
| Shareholders' Equity | |||||||||||
| Common stock, par value | 298 | 297 | 296 | ||||||||
| Additional paid-in capital | 382,284 | 380,142 | 372,394 | ||||||||
| Retained earnings | 967,019 | 949,863 | 1,054,699 | ||||||||
| Accumulated other comprehensive loss | (124,177 | ) | (160,843 | ) | (211,505 | ) | |||||
| Total Shareholders' Equity | 1,225,424 | 1,169,459 | 1,215,884 | ||||||||
| Total Liabilities and Shareholders' Equity | $ | 11,285,052 | $ | 11,302,023 | $ | 11,164,214 | |||||
| Loan Mix and Asset Quality (Dollars in thousands) | ||||||||||||||||||||
| September 30, | June 30, | September 30, | ||||||||||||||||||
| 2024 | 2024 | 2023 | ||||||||||||||||||
| Amount | % | Amount | % | Amount | % | |||||||||||||||
| Loan Balances - Period End: | ||||||||||||||||||||
| Commercial | $ | 1,154,349 | 14 | % | $ | 1,238,261 | 15 | % | $ | 1,418,760 | 18 | % | ||||||||
| PPP loans | 348 | — | % | 407 | — | % | 588 | — | % | |||||||||||
| Income producing - commercial real estate | 4,155,120 | 52 | % | 4,217,525 | 53 | % | 4,147,301 | 52 | % | |||||||||||
| Owner occupied - commercial real estate | 1,276,240 | 16 | % | 1,263,714 | 16 | % | 1,182,959 | 15 | % | |||||||||||
| Real estate mortgage - residential | 57,223 | 1 | % | 61,338 | 1 | % | 76,511 | 1 | % | |||||||||||
| Construction - commercial and residential | 1,174,591 | 15 | % | 1,063,764 | 13 | % | 904,282 | 11 | % | |||||||||||
| Construction - C&I (owner occupied) | 100,662 | 1 | % | 99,526 | 1 | % | 129,616 | 2 | % | |||||||||||
| Home equity | 51,567 | 1 | % | 52,773 | 1 | % | 53,917 | 1 | % | |||||||||||
| Other consumer | 169 | — | % | 4,431 | — | % | 2,457 | — | % | |||||||||||
| Total loans | $ | 7,970,269 | 100 | % | $ | 8,001,739 | 100 | % | $ | 7,916,391 | 100 | % | ||||||||
| Three Months Ended or As Of | |||||||||||
| September 30, | June 30, | September 30, | |||||||||
| 2024 | 2024 | 2023 | |||||||||
| Asset Quality: | |||||||||||
| Net charge-offs | $ | 5,303 | $ | 2,285 | $ | 340 | |||||
| Nonperforming loans | $ | 134,371 | $ | 98,169 | $ | 70,148 | |||||
| Other real estate owned | $ | 2,743 | $ | 773 | $ | 1,757 | |||||
| Nonperforming assets | $ | 137,114 | $ | 98,942 | $ | 71,905 | |||||
| Special mention | $ | 364,983 | $ | 307,906 | $ | 158,182 | |||||
| Substandard | $ | 391,301 | $ | 408,311 | $ | 219,001 | |||||
| Eagle Bancorp, Inc. | |||||||||||||||||||||||
| Consolidated Average Balances, Interest Yields And Rates vs. Prior Quarter (Unaudited) | |||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||||
| September 30, 2024 | June 30, 2024 | ||||||||||||||||||||||
| Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate | ||||||||||||||||||
| ASSETS | |||||||||||||||||||||||
| Interest earning assets: | |||||||||||||||||||||||
| Interest-bearing deposits with other banks and other short-term investments | $ | 1,577,464 | $ | 21,296 | 5.37 | % | $ | 1,455,007 | $ | 19,568 | 5.41 | % | |||||||||||
| Loans held for sale (1) | 4,936 | 1 | 0.08 | % | 8,045 | 100 | 5.00 | % | |||||||||||||||
| Loans (1) (2) | $ | 8,026,524 | 139,835 | 6.93 | % | 8,003,206 | 137,516 | 6.91 | % | ||||||||||||||
| Investment securities available-for-sale (2) | 1,479,598 | 7,336 | 1.97 | % | 1,478,856 | 7,048 | 1.92 | % | |||||||||||||||
| Investment securities held-to-maturity (2) | 974,366 | 5,242 | 2.14 | % | 995,274 | 5,357 | 2.16 | % | |||||||||||||||
| Federal funds sold | 10,003 | 103 | 4.10 | % | 13,058 | 142 | 4.37 | % | |||||||||||||||
| Total interest earning assets | 12,072,891 | $ | 173,813 | 5.73 | % | 11,953,446 | $ | 169,731 | 5.71 | % | |||||||||||||
| Total noninterest earning assets | 397,006 | 510,725 | |||||||||||||||||||||
| Less: allowance for credit losses | (108,998 | ) | (102,671 | ) | |||||||||||||||||||
| Total noninterest earning assets | 288,008 | 408,054 | |||||||||||||||||||||
| TOTAL ASSETS | $ | 12,360,899 | $ | 12,361,500 | |||||||||||||||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||||||||
| Interest bearing liabilities: | |||||||||||||||||||||||
| Interest-bearing transaction | $ | 1,656,676 | $ | 14,596 | 3.51 | % | $ | 1,636,795 | $ | 16,100 | 3.96 | % | |||||||||||
| Savings and money market | 3,254,128 | 34,896 | 4.27 | % | 3,321,001 | 33,451 | 4.05 | % | |||||||||||||||
| Time deposits | 2,517,944 | 31,698 | 5.01 | % | 2,215,693 | 27,295 | 4.95 | % | |||||||||||||||
| Total interest bearing deposits | 7,428,748 | 81,190 | 4.35 | % | 7,173,489 | 76,846 | 4.31 | % | |||||||||||||||
| Customer repurchase agreements | 38,045 | 332 | 3.47 | % | 38,599 | 330 | 3.44 | % | |||||||||||||||
| Other short-term borrowings | 1,615,867 | 20,448 | 5.03 | % | 1,682,684 | 21,202 | 5.07 | % | |||||||||||||||
| Long-term borrowings | 824 | — | — | % | — | — | — | % | |||||||||||||||
| Total interest bearing liabilities | 9,083,484 | $ | 101,970 | 4.47 | % | 8,894,772 | $ | 98,378 | 4.45 | % | |||||||||||||
| Noninterest bearing liabilities: | |||||||||||||||||||||||
| Noninterest bearing demand | 1,915,666 | 2,051,777 | |||||||||||||||||||||
| Other liabilities | 160,272 | 151,324 | |||||||||||||||||||||
| Total noninterest bearing liabilities | 2,075,938 | 2,203,101 | |||||||||||||||||||||
| Shareholders' equity | 1,201,477 | 1,263,627 | |||||||||||||||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 12,360,899 | $ | 12,361,500 | |||||||||||||||||||
| Net interest income | $ | 71,843 | $ | 71,353 | |||||||||||||||||||
| Net interest spread | 1.26 | % | 1.26 | % | |||||||||||||||||||
| Net interest margin | 2.37 | % | 2.40 | % | |||||||||||||||||||
| Cost of funds | 3.69 | % | 3.61 | % | |||||||||||||||||||
(1) Loans placed on nonaccrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled
(2) Interest and fees on loans and investments exclude tax equivalent adjustments.
| Eagle Bancorp, Inc. | |||||||||||||||||||||||
| Consolidated Average Balances, Interest Yields And Rates vs. Year Ago Quarter (Unaudited) | |||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||
| Three Months Ended September 30, | |||||||||||||||||||||||
| 2024 | 2023 | ||||||||||||||||||||||
| Average Balance | Interest | Average Yield/Rate | Average Balance | Interest | Average Yield/Rate | ||||||||||||||||||
| ASSETS | |||||||||||||||||||||||
| Interest earning assets: | |||||||||||||||||||||||
| Interest bearing deposits with other banks and other short-term investments | $ | 1,577,464 | $ | 21,296 | 5.37 | % | $ | 1,127,451 | $ | 15,067 | 5.30 | % | |||||||||||
| Loans held for sale (1) | 4,936 | 1 | 0.08 | % | — | — | — | % | |||||||||||||||
| Loans (1) (2) | 8,026,524 | 139,835 | 6.93 | % | 7,795,144 | 132,273 | 6.73 | % | |||||||||||||||
| Investment securities available-for-sale (2) | 1,479,598 | 7,336 | 1.97 | % | 1,554,348 | 8,126 | 2.07 | % | |||||||||||||||
| Investment securities held-to-maturity (2) | 974,366 | 5,242 | 2.14 | % | 1,047,515 | 5,606 | 2.12 | % | |||||||||||||||
| Federal funds sold | 10,003 | 103 | 4.10 | % | 7,728 | 77 | 3.95 | % | |||||||||||||||
| Total interest earning assets | 12,072,891 | $ | 173,813 | 5.73 | % | 11,532,186 | $ | 161,149 | 5.54 | % | |||||||||||||
| Total noninterest earning assets | 397,006 | 489,683 | |||||||||||||||||||||
| Less: allowance for credit losses | (108,998 | ) | (78,964 | ) | |||||||||||||||||||
| Total noninterest earning assets | 288,008 | 410,719 | |||||||||||||||||||||
| TOTAL ASSETS | $ | 12,360,899 | $ | 11,942,905 | |||||||||||||||||||
| LIABILITIES AND SHAREHOLDERS' EQUITY | |||||||||||||||||||||||
| Interest bearing liabilities: | |||||||||||||||||||||||
| Interest bearing transaction | $ | 1,656,676 | $ | 14,596 | 3.51 | % | $ | 1,421,522 | $ | 12,785 | 3.57 | % | |||||||||||
| Savings and money market | 3,254,128 | 34,896 | 4.27 | % | 3,113,755 | 32,855 | 4.19 | % | |||||||||||||||
| Time deposits | 2,517,944 | 31,698 | 5.01 | % | 2,162,582 | 25,289 | 4.64 | % | |||||||||||||||
| Total interest bearing deposits | 7,428,748 | 81,190 | 4.35 | % | 6,697,859 | 70,929 | 4.20 | % | |||||||||||||||
| Customer repurchase agreements | 38,045 | 332 | 3.47 | % | 36,082 | 311 | 3.42 | % | |||||||||||||||
| Other short-term borrowings | 1,615,867 | 20,448 | 5.03 | % | 1,610,097 | 19,190 | 4.73 | % | |||||||||||||||
| Long-term borrowings | 824 | — | — | % | — | — | — | % | |||||||||||||||
| Total interest bearing liabilities | 9,083,484 | $ | 101,970 | 4.47 | % | 8,344,038 | $ | 90,430 | 4.30 | % | |||||||||||||
| Noninterest bearing liabilities: | |||||||||||||||||||||||
| Noninterest bearing demand | 1,915,666 | 2,248,782 | |||||||||||||||||||||
| Other liabilities | 160,272 | 114,923 | |||||||||||||||||||||
| Total noninterest bearing liabilities | 2,075,938 | 2,363,705 | |||||||||||||||||||||
| Shareholders' equity | 1,201,477 | 1,235,162 | |||||||||||||||||||||
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | $ | 12,360,899 | $ | 11,942,905 | |||||||||||||||||||
| Net interest income | $ | 71,843 | $ | 70,719 | |||||||||||||||||||
| Net interest spread | 1.26 | % | 1.24 | % | |||||||||||||||||||
| Net interest margin | 2.37 | % | 2.43 | % | |||||||||||||||||||
| Cost of funds | 3.69 | % | 3.39 | % | |||||||||||||||||||
(1) Loans placed on nonaccrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled
(2) Interest and fees on loans and investments exclude tax equivalent adjustments.
| Eagle Bancorp, Inc. | |||||||||||||||||||||||||||||||
| Statements of Operations and Highlights Quarterly Trends (Unaudited) | |||||||||||||||||||||||||||||||
| (Dollars in thousands, except per share data) | |||||||||||||||||||||||||||||||
| Three Months Ended | |||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | June 30, | March 31, | December 31, | ||||||||||||||||||||||||
| Income Statements: | 2024 | 2024 | 2024 | 2023 | 2023 | 2023 | 2023 | 2022 | |||||||||||||||||||||||
| Total interest income | $ | 173,813 | $ | 169,731 | $ | 175,602 | $ | 167,421 | $ | 161,149 | $ | 156,510 | $ | 140,247 | $ | 129,130 | |||||||||||||||
| Total interest expense | 101,970 | 98,378 | 100,904 | 94,429 | 90,430 | 84,699 | 65,223 | 43,530 | |||||||||||||||||||||||
| Net interest income | 71,843 | 71,353 | 74,698 | 72,992 | 70,719 | 71,811 | 75,024 | 85,600 | |||||||||||||||||||||||
| Provision (reversal) for credit losses | 10,094 | 8,959 | 35,175 | 14,490 | 5,644 | 5,238 | 6,164 | (464 | ) | ||||||||||||||||||||||
| Provision (reversal) for credit losses for unfunded commitments | (1,593 | ) | 608 | 456 | (594 | ) | (839 | ) | 318 | 848 | 161 | ||||||||||||||||||||
| Net interest income after provision for (reversal of) credit losses | 63,342 | 61,786 | 39,067 | 59,096 | 65,914 | 66,255 | 68,012 | 85,903 | |||||||||||||||||||||||
| Noninterest income before investment gain (loss) | 6,948 | 5,329 | 3,585 | 2,891 | 6,342 | 8,593 | 3,721 | 5,326 | |||||||||||||||||||||||
| Net gain (loss) on sale of investment securities | 3 | 3 | 4 | 3 | 5 | 2 | (21 | ) | 3 | ||||||||||||||||||||||
| Total noninterest income | 6,951 | 5,332 | 3,589 | 2,894 | 6,347 | 8,595 | 3,700 | 5,329 | |||||||||||||||||||||||
| Salaries and employee benefits | 21,675 | 21,770 | 21,726 | 18,416 | 21,549 | 21,957 | 24,174 | 23,691 | |||||||||||||||||||||||
| Premises and equipment expenses | 2,794 | 2,894 | 3,059 | 2,967 | 3,095 | 3,227 | 3,317 | 3,292 | |||||||||||||||||||||||
| Marketing and advertising | 1,588 | 1,662 | 859 | 1,071 | 768 | 884 | 636 | 1,290 | |||||||||||||||||||||||
| Goodwill impairment | — | 104,168 | — | — | — | — | — | — | |||||||||||||||||||||||
| Other expenses | 17,557 | 15,997 | 14,353 | 14,644 | 12,221 | 11,910 | 12,457 | 10,645 | |||||||||||||||||||||||
| Total noninterest expense | 43,614 | 146,491 | 39,997 | 37,098 | 37,633 | 37,978 | 40,584 | 38,918 | |||||||||||||||||||||||
| (Loss) income before income tax expense | 26,679 | (79,373 | ) | 2,659 | 24,892 | 34,628 | 36,872 | 31,128 | 52,314 | ||||||||||||||||||||||
| Income tax expense | 4,864 | 4,429 | 2,997 | 4,667 | 7,245 | 8,180 | 6,894 | 10,121 | |||||||||||||||||||||||
| Net (loss) income | $ | 21,815 | $ | (83,802 | ) | $ | (338 | ) | $ | 20,225 | $ | 27,383 | $ | 28,692 | $ | 24,234 | $ | 42,193 | |||||||||||||
| Per Share Data: | |||||||||||||||||||||||||||||||
| (Loss) earnings per weighted average common share, basic | $ | 0.72 | $ | (2.78 | ) | $ | (0.01 | ) | $ | 0.68 | $ | 0.91 | $ | 0.94 | $ | 0.78 | $ | 1.32 | |||||||||||||
| (Loss) earnings per weighted average common share, diluted | $ | 0.72 | $ | (2.78 | ) | $ | (0.01 | ) | $ | 0.67 | $ | 0.91 | $ | 0.94 | $ | 0.78 | $ | 1.32 | |||||||||||||
| Weighted average common shares outstanding, basic | 30,173,852 | 30,185,609 | 30,068,173 | 29,925,557 | 29,910,218 | 30,454,766 | 31,109,267 | 31,819,631 | |||||||||||||||||||||||
| Weighted average common shares outstanding, diluted | 30,241,699 | 30,185,609 | 30,068,173 | 29,966,962 | 29,944,692 | 30,505,468 | 31,180,346 | 31,898,619 | |||||||||||||||||||||||
| Actual shares outstanding at period end | 30,173,200 | 30,180,482 | 30,185,732 | 29,925,612 | 29,917,982 | 29,912,082 | 31,111,647 | 31,346,903 | |||||||||||||||||||||||
| Book value per common share at period end | $ | 40.61 | $ | 38.75 | $ | 41.72 | $ | 42.58 | $ | 40.64 | $ | 40.78 | $ | 39.92 | $ | 39.18 | |||||||||||||||
| Tangible book value per common share at period end (1) | $ | 40.61 | $ | 38.74 | $ | 38.26 | $ | 39.08 | $ | 37.12 | $ | 37.29 | $ | 36.57 | $ | 35.86 | |||||||||||||||
| Dividend per common share | $ | 0.165 | $ | 0.45 | $ | 0.45 | $ | 0.45 | $ | 0.45 | $ | 0.45 | $ | 0.45 | $ | 0.45 | |||||||||||||||
| Performance Ratios (annualized): | |||||||||||||||||||||||||||||||
| Return on average assets | 0.70 | % | (2.73 | )% | (0.01 | )% | 0.65 | % | 0.91 | % | 0.96 | % | 0.86 | % | 1.49 | % | |||||||||||||||
| Return on average common equity | 7.22 | % | (26.67 | )% | (0.11 | )% | 6.48 | % | 8.80 | % | 9.24 | % | 7.92 | % | 13.57 | % | |||||||||||||||
| Return on average tangible common equity (1) | 7.22 | % | (28.96 | )% | (0.11 | )% | 7.08 | % | 9.61 | % | 10.08 | % | 8.65 | % | 14.82 | % | |||||||||||||||
| Net interest margin | 2.37 | % | 2.40 | % | 2.43 | % | 2.45 | % | 2.43 | % | 2.49 | % | 2.77 | % | 3.14 | % | |||||||||||||||
| Efficiency ratio (2) | 55.4 | % | 191.0 | % | 51.1 | % | 48.9 | % | 48.8 | % | 47.2 | % | 51.6 | % | 42.8 | % | |||||||||||||||
| Other Ratios: | |||||||||||||||||||||||||||||||
| Allowance for credit losses to total loans (3) | 1.40 | % | 1.33 | % | 1.25 | % | 1.08 | % | 1.05 | % | 1.00 | % | 1.01 | % | 0.97 | % | |||||||||||||||
| Allowance for credit losses to total nonperforming loans | 83 | % | 110 | % | 109 | % | 131 | % | 119 | % | 268 | % | 1,160 | % | 1,151 | % | |||||||||||||||
| Nonperforming assets to total assets | 1.22 | % | 0.88 | % | 0.79 | % | 0.57 | % | 0.64 | % | 0.28 | % | 0.08 | % | 0.08 | % | |||||||||||||||
| Net charge-offs (recoveries) (annualized) to average total loans (3) | 0.26 | % | 0.11 | % | 1.07 | % | 0.60 | % | 0.02 | % | 0.29 | % | 0.05 | % | 0.05 | % | |||||||||||||||
| Tier 1 capital (to average assets) | 10.94 | % | 10.58 | % | 10.26 | % | 10.73 | % | 10.96 | % | 10.84 | % | 11.42 | % | 11.63 | % | |||||||||||||||
| Total capital (to risk weighted assets) | 15.74 | % | 15.07 | % | 14.87 | % | 14.79 | % | 14.54 | % | 14.51 | % | 14.74 | % | 14.94 | % | |||||||||||||||
| Common equity tier 1 capital (to risk weighted assets) | 14.54 | % | 13.92 | % | 13.80 | % | 13.90 | % | 13.68 | % | 13.55 | % | 13.75 | % | 14.03 | % | |||||||||||||||
| Tangible common equity ratio (1) | 10.86 | % | 10.35 | % | 10.03 | % | 10.12 | % | 10.04 | % | 10.21 | % | 10.36 | % | 10.18 | % | |||||||||||||||
| Average Balances (in thousands): | |||||||||||||||||||||||||||||||
| Total assets | $ | 12,360,899 | $ | 12,361,500 | $ | 12,784,470 | $ | 12,283,303 | $ | 11,942,905 | $ | 11,960,111 | $ | 11,426,056 | $ | 11,255,956 | |||||||||||||||
| Total earning assets | $ | 12,072,891 | $ | 11,953,446 | $ | 12,365,497 | $ | 11,837,722 | $ | 11,532,186 | $ | 11,546,050 | $ | 11,004,817 | $ | 10,829,703 | |||||||||||||||
| Total loans (3) | $ | 8,026,524 | $ | 8,003,206 | $ | 7,988,941 | $ | 7,963,074 | $ | 7,795,144 | $ | 7,790,555 | $ | 7,712,023 | $ | 7,379,198 | |||||||||||||||
| Total deposits | $ | 9,344,414 | $ | 9,225,266 | $ | 9,501,661 | $ | 9,471,369 | $ | 8,946,641 | $ | 8,514,938 | $ | 8,734,125 | $ | 9,524,139 | |||||||||||||||
| Total borrowings | $ | 1,654,736 | $ | 1,721,283 | $ | 1,832,947 | $ | 1,401,917 | $ | 1,646,179 | $ | 2,102,507 | $ | 1,359,463 | $ | 411,060 | |||||||||||||||
| Total shareholders' equity | $ | 1,201,477 | $ | 1,263,627 | $ | 1,289,656 | $ | 1,238,763 | $ | 1,235,162 | $ | 1,245,647 | $ | 1,240,978 | $ | 1,233,705 | |||||||||||||||
(1) A reconciliation of non-GAAP financial measures to the nearest GAAP measure is provided in the tables that accompany this document.
(2) Computed by dividing noninterest expense by the sum of net interest income and noninterest income.
(3) Excludes loans held for sale.
| GAAP Reconciliation to Non-GAAP Financial Measures (unaudited) | |||||||||||
| (dollars in thousands, except per share data) | |||||||||||
| September 30, | June 30, | September 30, | |||||||||
| 2024 | 2024 | 2023 | |||||||||
| Tangible common equity | |||||||||||
| Common shareholders' equity | $ | 1,225,424 | $ | 1,169,459 | $ | 1,215,884 | |||||
| Less: Intangible assets | (21 | ) | (129 | ) | (105,239 | ) | |||||
| Tangible common equity | $ | 1,225,403 | $ | 1,169,330 | $ | 1,110,645 | |||||
| Tangible common equity ratio | |||||||||||
| Total assets | $ | 11,285,052 | $ | 11,302,023 | $ | 11,164,214 | |||||
| Less: Intangible assets | (21 | ) | (129 | ) | (105,239 | ) | |||||
| Tangible assets | $ | 11,285,031 | $ | 11,301,894 | $ | 11,058,975 | |||||
| Tangible common equity ratio | 10.86 | % | 10.35 | % | 10.04 | % | |||||
| Per share calculations | |||||||||||
| Book value per common share | $ | 40.61 | $ | 38.75 | $ | 40.64 | |||||
| Less: Intangible book value per common share | — | (0.01 | ) | (3.52 | ) | ||||||
| Tangible book value per common share | $ | 40.61 | $ | 38.74 | $ | 37.12 | |||||
| Shares outstanding at period end | 30,173,200 | 30,180,482 | 29,917,982 | ||||||||
| Three Months Ended | ||||||||||||
| September 30, | June 30, | September 30, | ||||||||||
| 2024 | 2024 | 2023 | ||||||||||
| Average tangible common equity | ||||||||||||
| Average common shareholders' equity | $ | 1,201,477 | $ | 1,263,627 | $ | 1,235,162 | ||||||
| Less: Average intangible assets | (24 | ) | (99,827 | ) | (104,639 | ) | ||||||
| Average tangible common equity | $ | 1,201,453 | $ | 1,163,800 | $ | 1,130,523 | ||||||
| Return on average tangible common equity | ||||||||||||
| Net (loss) income | $ | 21,815 | $ | (83,802 | ) | $ | 27,383 | |||||
| Return on average tangible common equity | 7.22 | % | (28.96)% | 9.61 | % | |||||||
| Net (loss) income | $ | 21,815 | $ | (83,802 | ) | $ | 27,383 | |||||
| Add back of goodwill impairment | $ | — | 104,168 | — | ||||||||
| Operating net (loss) income (Non-GAAP) | 21,815 | 20,366 | 27,383 | |||||||||
| Operating Return on average tangible common equity (Non-GAAP) | 7.22 | % | 7.04 | % | 9.61 | % | ||||||
| Efficiency ratio | ||||||||||||
| Net interest income | $ | 71,843 | $ | 71,353 | $ | 70,719 | ||||||
| Noninterest income | 6,951 | 5,332 | 6,347 | |||||||||
| Operating revenue | $ | 78,794 | $ | 76,685 | $ | 77,066 | ||||||
| Noninterest expense | $ | 43,614 | $ | 146,491 | $ | 37,633 | ||||||
| Add back of goodwill impairment | — | (104,168 | ) | — | ||||||||
| Operating Noninterest expense (Non-GAAP) | 43,614 | 42,323 | 37,633 | |||||||||
| Efficiency ratio | 55.35 | % | 191.03 | % | 48.83 | % | ||||||
| Operating Efficiency ratio (Non-GAAP) | 55.35 | % | 55.19 | % | 48.83 | % | ||||||
| Pre-provision net revenue | ||||||||||||
| Net interest income | $ | 71,843 | $ | 71,353 | $ | 70,719 | ||||||
| Noninterest income | 6,951 | 5,332 | 6,347 | |||||||||
| Less: Noninterest expense | (43,614 | ) | (146,491 | ) | (37,633 | ) | ||||||
| Pre-provision net revenue | $ | 35,180 | $ | (69,806 | ) | $ | 39,433 | |||||
| Pre-provision net revenue | $ | 35,180 | $ | (69,806 | ) | $ | 39,433 | |||||
| Add back of goodwill impairment | $ | — | $ | 104,168 | $ | — | ||||||
| Operating Pre-provision net revenue (Non-GAAP) | $ | 35,180 | $ | 34,362 | $ | 39,433 | ||||||
Tangible common equity, tangible common equity to tangible assets (the "tangible common equity ratio"), tangible book value per common share, average tangible common equity, annualized return on average tangible common equity, and the operating annualized return on average tangible common equity are non-GAAP financial measures derived from GAAP based amounts. The Company calculates the tangible common equity ratio by excluding the balance of intangible assets from common shareholders' equity, or tangible common equity, and dividing by tangible assets. The Company calculates tangible book value per common share by dividing tangible common equity by common shares outstanding, as compared to book value per common share, which the Company calculates by dividing common shareholders' equity by common shares outstanding. The Company calculates the annualized return on average tangible common equity ratio by dividing net income available to common shareholders by average tangible common equity, which is calculated by excluding the average balance of intangible assets from the average common shareholders' equity. The Company calculates the operating annualized return on average tangible common equity ratio by dividing operating net income available to common shareholders, which adds back the goodwill impairment, by average tangible common equity, which is calculated by excluding the average balance of intangible assets from the average common shareholders' equity. The Company considers this information important to shareholders as the significant impact of the goodwill impairment is a one-time event that obscures the operating performance of the company. Further related to other measures, tangible equity is a measure that is consistent with the calculation of capital for bank regulatory purposes, which excludes intangible assets from the calculation of risk based ratios, and as such is useful for investors, regulators, management and others to evaluate capital adequacy and to compare against other financial institutions.
The efficiency ratio is a non-GAAP measure calculated by dividing GAAP noninterest expense by the sum of GAAP net interest income and GAAP noninterest income. The efficiency ratio measures a bank's overhead as a percentage of its revenue. The Company believes that reporting the non-GAAP efficiency ratio more closely measures its effectiveness of controlling operational activities. Further, the operating efficiency ratio is measured by dividing non-GAAP noninterest expense, which excludes the goodwill impairment, by the sum of GAAP net interest income and GAAP noninterest income. The Company considers this information important to shareholders as the significant impact of the goodwill impairment is a one-time event that obscures the operating performance of the company.
Pre-provision net revenue is a non-GAAP financial measure calculated by subtracting noninterest expenses from the sum of net interest income and noninterest income. The Company considers this information important to shareholders because it illustrates revenue excluding the impact of provisions and reversals to the allowance for credit losses on loans. Operating pre-provision net revenue is a non-GAAP financial measure calculated by subtracting noninterest expenses with the impact of the goodwill impairment added back from the sum of net interest income and noninterest income. The Company considers this information important to shareholders as the significant impact of the goodwill impairment is a one-time event that obscures the operating performance of the company.
| Three Months Ended | ||||||||||||
| September 30, | June 30, | September 30, | ||||||||||
| 2024 | 2024 | 2023 | ||||||||||
| Net (loss) income | $ | 21,815 | $ | (83,802 | ) | $ | 27,383 | |||||
| Add back of goodwill impairment | — | 104,168 | — | |||||||||
| Operating Net (loss) income (Non-GAAP) | $ | 21,815 | $ | 20,366 | $ | 27,383 | ||||||
| (Loss) earnings per share (diluted)4 | $ | 0.72 | $ | (2.78 | ) | $ | 0.91 | |||||
| Add back of goodwill impairment per share (diluted) | — | 3.45 | — | |||||||||
| Operating earnings (loss) per share (diluted) (Non-GAAP) | $ | 0.72 | $ | 0.67 | $ | 0.91 | ||||||
Operating net (loss) income and operating (loss) earnings per share (diluted) are non-GAAP financial measures derived from GAAP based amounts. The Company calculates operating net (loss) income by excluding from net (loss) income the one-time goodwill impairment of
_______________
1 A reconciliation of non-GAAP financial measures and the nearest GAAP measures is provided in the GAAP Reconciliation to Non-GAAP Financial Measure that accompany this document.
2 Calculated as the ACL attributable to loans collateralized by performing office properties as a percentage of total loans.
3 A reconciliation of non-GAAP financial measures and the nearest GAAP measures is provided in the GAAP Reconciliation to Non-GAAP Financial Measure that accompany this document.
4 For periods ended with a net loss, anti-dilutive financial instruments have been excluded from the calculation of GAAP diluted EPS. Operating diluted EPS calculations include the impact of outstanding equity-based awards for all periods.
EAGLE BANCORP, INC.
CONTACT:
Eric R. Newell
240.497.1796
For the September 30, 2024 Earnings Presentation, click http://ml.globenewswire.com/Resource/Download/d55e221f-6ef9-45bd-8784-011bf19dce58
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