KBRA Releases Third-Quarter 2023 U.S. Bank Compendium and 2024 Outlook

Rhea-AI Summary

KBRA releases its third-quarter 2023 U.S. Bank Compendium and 2024 Outlook, providing the latest view of the U.S. banking industry. The report discusses earnings generation, NIM stabilization, funding costs, credit trends, and core capital measures. It also includes a regulatory recap and features WSFS Financial Corporation. The Compendium provides 3Q23 summaries on all publicly traded U.S. banks in KBRA’s rated universe, along with key performance and credit metrics. It also includes the top 10 lowest cost deposit franchises, highest reserves to loans, and largest sequential changes in financial ratios.

NEW YORK--(BUSINESS WIRE)-- KBRA releases its third-quarter 2023 U.S. Bank Compendium and 2024 Outlook, providing the latest view of the U.S. banking industry and analysis of 3Q23 results for U.S. banks with KBRA long-term ratings.

KBRA’s Outlook for the banking industry is Stable, amid overall sound fundamentals, providing banks with solid footing to navigate an uncertain terrain in 2024. KBRA remains confident that the vast majority of our rated names will perform adequately in this uncertain economic environment with their ratings unchanged. That said, we have taken rating actions and will continue to take rating actions on banks that significantly underperform rating expectations. In this edition, we discuss earnings generation and potential NIM stabilization, funding costs and mixes, credit trends, and core capital measures. The report also examines other key topics and trends relevant to the banking sector. In addition, the Compendium includes our quarterly environmental, social, and governance (ESG) bulletin, which provides a regulatory recap and, this quarter, features WSFS Financial Corporation (NASDAQ: WSFS; KBRA Senior BHC Rating: A-/Stable Outlook).

The Compendium includes 3Q23 summaries on all publicly traded U.S. banks in KBRA’s rated universe, focusing on key performance and credit metrics, along with medians of key ratios. The Compendium also includes the top 10 lowest cost deposit franchises, highest reserves to loans, and largest sequential changes in return on assets, net interest margin, net charge-offs, and nonperforming asset ratios. Further, we provide a supplement with 147 debt issues—along with rating, amount issued, coupon, and maturity—among KBRA-rated banks.

Click here to view the report.

Related Publications

• Third-Quarter 2023 U.S. Bank Compendium Ratio Spreadsheet
• Third-Quarter 2023 U.S. Bank Compendium Bank Debt Worksheet

About KBRA

KBRA is a full-service credit rating agency registered in the U.S., the EU, and the UK, and is designated to provide structured finance ratings in Canada. KBRA’s ratings can be used by investors for regulatory capital purposes in multiple jurisdictions.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231120227297/en/

Analytical Contacts

Leah Hallfors, Senior Director

+1 301-969-3242

leah.hallfors@kbra.com

Jason Szelc, Senior Director

+1 301-969-3174

jason.szelc@kbra.com

Bryan So, Director

+1 301-969-3246

bryan.so@kbra.com

Brian Ropp, Managing Director

+1 301-969-3244

brian.ropp@kbra.com

Shannon Servaes, CFA, CPA, Managing Director

+1 301-969-3247

shannon.servaes@kbra.com

Ian Jaffe, Senior Managing Director

+1 646-731-3302

ian.jaffe@kbra.com

Joe Scott, Senior Managing Director

+1 646-731-2438

joe.scott@kbra.com

Business Development Contact

Justin Fuller, Senior Director

+1 312-680-4163

justin.fuller@kbra.com

Source: KBRA

FAQ

What does the KBRA report cover?

The report covers the latest view of the U.S. banking industry, including earnings generation, NIM stabilization, funding costs, credit trends, and core capital measures. It also features a regulatory recap and includes 3Q23 summaries on publicly traded U.S. banks, along with key performance and credit metrics.

Which company is featured in the report?

WSFS Financial Corporation (NASDAQ: WSFS; KBRA Senior BHC Rating: A-/Stable Outlook) is featured in the report.

What financial metrics are included in the Compendium?

The Compendium includes the top 10 lowest cost deposit franchises, highest reserves to loans, and largest sequential changes in return on assets, net interest margin, net charge-offs, and nonperforming asset ratios.