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Wintrust Financial Corporation Reports Record First Quarter 2024 Net Income

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Wintrust Financial reported record first-quarter 2024 net income of $187.3 million, with diluted earnings per share up by 55% compared to the previous quarter. Total loans and deposits increased by approximately $1.1 billion each, while total assets increased by $1.3 billion. Net interest margin decreased slightly to 3.57%, with net interest income at $464.2 million. Non-interest income was impacted by gains from the sale of the Retirement Benefits Advisors division and favorable net valuation adjustments. However, non-interest expenses were affected by an accrual for FDIC special assessments. Provision for credit losses decreased, and credit metrics remained steady. Overall, Wintrust Financial had a strong quarter with positive momentum and a focus on long-term value.
Wintrust Financial ha riportato un utile netto record per il primo trimestre del 2024 di 187,3 milioni di dollari, con un aumento del 55% degli utili diluiti per azione rispetto al trimestre precedente. I prestiti totali e i depositi sono aumentati di circa 1,1 miliardi di dollari ciascuno, mentre gli asset totali sono cresciuti di 1,3 miliardi di dollari. Il margine di interesse netto è leggermente diminuito al 3,57%, con un reddito di interesse netto di 464,2 milioni di dollari. I ricavi non derivanti dagli interessi sono stati influenzati dai guadagni dalla vendita della divisione Retirement Benefits Advisors e dagli aggiustamenti favorevoli della valutazione netta. Tuttavia, le spese non interessate sono state impattate da un'accantonamento per le valutazioni speciali della FDIC. La provvista per le perdite su crediti è diminuita e i parametri di credito sono rimasti stabili. Nel complesso, Wintrust Financial ha registrato un trimestre forte con un impulso positivo e un focus sul valore a lungo termine.
Wintrust Financial reportó un ingreso neto récord para el primer trimestre de 2024 de $187.3 millones, con ganancias diluidas por acción aumentadas en un 55% en comparación con el trimestre anterior. Los préstamos totales y los depósitos aumentaron aproximadamente en $1.1 mil millones cada uno, mientras que los activos totales aumentaron en $1.3 mil millones. El margen de interés neto disminuyó ligeramente a 3.57%, con ingresos por intereses netos de $464.2 millones. Los ingresos no derivados de intereses fueron impactados por las ganancias de la venta de la división de Asesores de Beneficios de Jubilación y ajustes de valoración netos favorables. Sin embargo, los gastos no interesantes se vieron afectados por una provisión para evaluaciones especiales de la FDIC. La provisión para pérdidas crediticias disminuyó y las métricas de crédito permanecieron estables. En general, Wintrust Financial tuvo un trimestre fuerte con un momentum positivo y un enfoque en el valor a largo plazo.
윈트러스트 파이낸셜이 2024년 첫 분기에 1억 8730만 달러의 사상 최대 순이익을 기록했으며, 전 분기 대비 주당 수익이 55% 증가했습니다. 총 대출과 예금은 각각 약 11억 달러 증가했고, 총 자산은 13억 달러 증가했습니다. 순이자 마진은 소폭 감소하여 3.57%를 기록했으며, 순이자 수익은 4억 6420만 달러였습니다. 비이자 수익은 은퇴 혜택 고문 부문의 매각 이익과 유리한 순평가 조정에 영향을 받았습니다. 그러나 비이자 비용은 FDIC 특별 평가에 대한 충당금으로 인해 영향을 받았습니다. 신용 손실 충당금은 감소했으며 신용 지표는 안정적으로 유지되었습니다. 전반적으로 윈트러스트 파이낸셜은 긍정적인 모멘텀과 장기 가치에 중점을 둔 강력한 분기를 보냈습니다.
Wintrust Financial a rapporté un bénéfice net record pour le premier trimestre de 2024 de 187,3 millions de dollars, avec des bénéfices dilués par action en hausse de 55 % par rapport au trimestre précédent. Les prêts totaux et les dépôts ont augmenté d'environ 1,1 milliard de dollars chacun, tandis que les actifs totaux ont augmenté de 1,3 milliard de dollars. La marge d'intérêt nette a légèrement diminué à 3,57 %, avec des revenus d'intérêts nets de 464,2 millions de dollars. Les revenus non liés aux intérêts ont été impactés par les gains de la vente de la division Retirement Benefits Advisors et par des ajustements de valorisation nets favorables. Cependant, les dépenses non liées aux intérêts ont été affectées par une provision pour des évaluations spéciales de la FDIC. La provision pour pertes sur crédits a diminué et les indicateurs de crédit sont restés stables. Dans l'ensemble, Wintrust Financial a connu un trimestre solide avec un élan positif et un accent sur la valeur à long terme.
Wintrust Financial meldete für das erste Quartal 2024 einen Rekordnettogewinn von 187,3 Millionen Dollar, mit einem Anstieg der verwässerten Gewinn je Aktie um 55% im Vergleich zum Vorquartal. Die Gesamtkredite und Einlagen stiegen jeweils um etwa 1,1 Milliarden Dollar, während die Gesamtaktiva um 1,3 Milliarden Dollar zunahmen. Die Nettozinsmarge sank leicht auf 3,57%, mit einem Nettozinsertrag von 464,2 Millionen Dollar. Das nichtzinsabhängige Einkommen wurde durch Gewinne aus dem Verkauf der Retirement Benefits Advisors Division und günstige Netto-Bewertungsanpassungen beeinflusst. Allerdings wurden die nichtzinsabhängigen Ausgaben durch eine Rückstellung für besondere FDIC-Bewertungen beeinträchtigt. Die Vorsorge für Kreditverluste sank und die Kreditkennzahlen blieben stabil. Insgesamt hatte Wintrust Financial ein starkes Quartal mit positivem Schwung und einem Fokus auf langfristigen Wert.
Positive
  • Record first-quarter 2024 net income of $187.3 million
  • Diluted earnings per share increased by 55% compared to the previous quarter
  • Total loans and deposits increased by approximately $1.1 billion each
  • Total assets increased by $1.3 billion
  • Net interest margin decreased slightly to 3.57%
  • Net interest income at $464.2 million
  • Non-interest income impacted by gains from the sale of Retirement Benefits Advisors division and favorable net valuation adjustments
  • Non-interest expenses affected by an accrual for FDIC special assessments
  • Provision for credit losses decreased
  • Credit metrics remained steady
  • Strong quarter with positive momentum and focus on long-term value
Negative
  • None.

Insights

Wintrust Financial Corporation's Q1 report highlights a robust performance with a substantial 55% increase in diluted earnings per share over the previous quarter, signifying a strong upward trajectory for the firm. This level of earnings growth is noteworthy and likely to attract investor attention. The reported 10% annualized loan growth indicates aggressive expansion in lending activities, which could signal a bullish outlook for future revenue streams if such growth is sustainable and not accompanied by a proportional increase in default rates.

Despite favorable growth metrics, investors should note the decline in net interest margin and net interest income, a key revenue source for banks. This contraction, although slight, could be indicative of narrowing profitability in the core business of interest-based earnings, potentially due to competitive pressures or shifts in deposit accounts. Furthermore, the provision for credit losses has significantly decreased from the last quarter, which could suggest either an improved credit environment or a conservative approach to potential losses. However, the increase in net charge-offs warrants scrutiny, as it could impact future provisions and capital requirements.

Wintrust's strategic focus on maintaining consistent credit standards while managing expenses suggests proactive governance amidst a challenging banking environment marked by recent bank failures. The increase in total assets by 9% solidifies the company's market position. A noteworthy aspect is the sale of the Retirement Benefits Advisors division, which led to non-interest income gains. This divestiture could be a strategic move to streamline operations and reallocate resources towards more profitable avenues.

Wintrust's emphasis on franchise value and diversified revenue sources, such as mortgage banking and wealth management, demonstrates a multifaceted approach to revenue generation. However, the impact of the FDIC special assessment signals broader industry headwinds that investors should monitor, as regulatory costs can materially affect future earnings. Keeping an eye on non-performing loans, which have seen a slight uptick, will be essential for evaluating the health of the loan portfolio and judging the adequacy of reserves against potential losses.

ROSEMONT, Ill., April 17, 2024 (GLOBE NEWSWIRE) -- Wintrust Financial Corporation (“Wintrust”, “the Company”, “we” or “our”) (Nasdaq: WTFC) announced record quarterly net income of $187.3 million or $2.89 per diluted common share for the first quarter of 2024, an increase in diluted earnings per common share of 55% compared to the fourth quarter of 2023. Pre-tax, pre-provision income (non-GAAP) totaled a record $271.6 million, up 30% as compared to $208.2 million in the fourth quarter of 2023.

Timothy S. Crane, President and Chief Executive Officer, commented, “Following record net income in 2023, we continued our momentum with strong results to start 2024. We leveraged our balanced, multi-faceted business model and position as Chicago’s and Wisconsin’s bank to grow deposits and loans while maintaining our consistent credit standards coupled with expense management.”

Additionally, Mr. Crane noted, “The first quarter exhibited funding strong loan growth with competitively-priced deposits in accordance with the increased loan demand. Increasing our long-term franchise value and net interest income remains our focus as we consider opportunities in the markets we serve.”

Highlights of the first quarter of 2024:
Comparative information to the fourth quarter of 2023, unless otherwise noted

  • Total loans increased by approximately $1.1 billion, or 10% annualized.
  • Total deposits increased by approximately $1.1 billion, or 9% annualized.
  • Total assets increased by $1.3 billion, or 9% annualized.
  • Net interest margin decreased by five basis points to 3.57% (3.59% on a fully taxable-equivalent basis, non-GAAP) during the first quarter of 2024.
    • Net interest income decreased to $464.2 million in the first quarter of 2024 compared to $470.0 million in the fourth quarter of 2023, primarily due to one less day in the first quarter of 2024.
  • Non-interest income was impacted by the following:
    • Gains of approximately $20.0 million from the sale of the Company’s Retirement Benefits Advisors (“RBA”) division. This gain was partially offset by additional commissions and incentive compensation totaling $701,000 related to the sale transaction.
    • Favorable net valuation adjustments related to certain mortgage assets totaled $2.3 million in the first quarter of 2024 compared to unfavorable net valuation adjustments of $9.7 million in the fourth quarter of 2023.
  • Non-interest expense was negatively impacted by an accrual of $5.2 million for estimated amounts owed as a result of the FDIC special assessment on uninsured deposits in response to certain bank failures occurring in 2023. This is in addition to the related $34.4 million accrued in the fourth quarter of 2023 for the estimate of such FDIC special assessments.
  • Provision for credit losses totaled $21.7 million in the first quarter of 2024 as compared to a provision for credit losses of $42.9 million in the fourth quarter of 2023.
  • Net charge-offs totaled $21.8 million, or 21 basis points of average total loans on an annualized basis, in the first quarter of 2024 as compared to $14.9 million, or 14 basis points of average total loans on an annualized basis in the fourth quarter of 2023.

Mr. Crane noted, “Our net interest margin for the first quarter stayed within our expected range, decreasing by five basis points compared to the fourth quarter of 2023. The decrease in net interest margin was due primarily to certain seasonal declines in non-interest bearing deposit balances, deposit migration to interest-bearing products and competitive deposit pricing to fund quality loan growth. Loan growth during the first quarter totaled $1.1 billion, or 10% on an annualized basis. We are pleased with our diversified loan growth in the first quarter with strong loan origination activity in commercial and residential real estate portfolios, as well as growth in commercial real estate driven primarily by draws on existing loan facilities. Deposit growth in the first quarter of 2024 was utilized to fund our robust loan growth as deposits increased by approximately $1.1 billion, or 9% on an annualized basis. We continue to leverage our customer relationships and market positioning to generate deposits and build long term franchise value. Non-interest bearing deposits decreased due to seasonality during the first quarter while also experiencing some migration to interest-bearing products. Despite the slightly lower net interest income during the current period, we generated record quarterly net revenue through our diversified sources of revenue, including our mortgage banking and wealth management businesses.”

Commenting on credit quality, Mr. Crane stated, “Credit metrics have remained steady, aligning with historical averages. Net charge-offs totaled $21.8 million, or 21 basis points of average total loans on an annualized basis, in the first quarter of 2024 as compared to $14.9 million, or 14 basis points of average total loans on an annualized basis, in the fourth quarter of 2023. Approximately $11.9 million of charge-offs in the current quarter were previously reserved for in the fourth quarter of 2023 Non-performing loans totaled $148.4 million, or 0.34% of total loans, at the end of the first quarter of 2024 compared to $139.0 million, or 0.33% of total loans, at the end of the fourth quarter of 2023. We continue to conservatively and proactively review credit and maintain our consistently strong credit standards. The allowance for credit losses on our core loan portfolio as of March 31, 2024 was approximately 1.51% of the outstanding balance (see Table 11 for additional information). We believe that the Company’s reserves remain appropriate and we remain diligent in our review of credit.”

Mr. Crane added, “Late loan growth in the first quarter creates positive revenue momentum moving forward as period-end loan balances exceeded averages. We continue to see good opportunities in the markets we serve and feel well positioned to grow deposit and loan relationships in future quarters. Our focus remains on winning business and maximizing long term franchise value.”

In summary, Mr. Crane noted, “The quarter was strong, momentum remains good and we are excited about the agreement reached to acquire Macatawa Bank Corporation in Michigan (announced April 15, 2024). The ability to expand with a high quality bank with a strong low-cost core deposit base, excess liquidity, exceptional asset quality and a committed management team is a terrific fit for Wintrust.”

The graphs below illustrate certain financial highlights of the first quarter of 2024 as well as historical financial performance. See “Supplemental Non-GAAP Financial Measures/Ratios” at Table 16 for additional information with respect to non-GAAP financial measures/ratios, including the reconciliations to the corresponding GAAP financial measures/ratios.

Graphs available at the following link: http://ml.globenewswire.com/Resource/Download/813fc027-da7e-4253-a341-e3d12f08e2d6

SUMMARY OF RESULTS:

BALANCE SHEET

Total assets increased $1.3 billion in the first quarter of 2024 as compared to the fourth quarter of 2023. Total loans increased by $1.1 billion as compared to the fourth quarter of 2023. The increase in loans was the result of diversified loan growth primarily across the commercial and residential real estate portfolios coupled with draws on existing commercial real-estate loan facilities.

Total liabilities increased by $1.3 billion in the first quarter of 2024 as compared to the fourth quarter of 2023 primarily due to a $1.1 billion increase in total deposits. Non-interest bearing deposits as a percentage of total deposits was 21% at March 31, 2024 compared to 23% at December 31, 2023. The Company's loans to deposits ratio ended the quarter at 93.1%.

For more information regarding changes in the Company’s balance sheet, see Consolidated Statements of Condition and Table 1 through Table 3 in this report.

NET INTEREST INCOME

For the first quarter of 2024, net interest income totaled $464.2 million, a decrease of $5.8 million as compared to the fourth quarter of 2023. The $5.8 million decrease in net interest income in the first quarter of 2024 compared to the fourth quarter of 2023 was primarily due to one less day during the period as well as a five basis point decrease in the net interest margin, partially offset by a $755.8 million increase in average earning assets.

Net interest margin was 3.57% (3.59% on a fully taxable-equivalent basis, non-GAAP) during the first quarter of 2024 compared to 3.62% (3.64% on a fully taxable-equivalent basis, non-GAAP) during the fourth quarter of 2023. The net interest margin decrease as compared to the fourth quarter of 2023 was primarily due to a 15 basis point increase in the rate paid on interest-bearing liabilities. This decrease was partially offset by a nine basis point increase in yield on earning assets and a one basis point increase in the net free funds contribution. The 15 basis point increase on the rate paid on interest-bearing liabilities in the first quarter of 2024 as compared to the fourth quarter of 2023 was primarily due to a 16 basis point increase in the rate paid on interest-bearing deposits. The nine basis point increase in the yield on earning assets in the first quarter of 2024 as compared to the fourth quarter of 2023 was primarily due to an 11 basis point expansion on loan yields.

For more information regarding net interest income, see Table 4 through Table 7 in this report.

ASSET QUALITY

The allowance for credit losses totaled $427.5 million as of March 31, 2024, relatively unchanged compared to $427.6 million as of December 31, 2023. A provision for credit losses totaling $21.7 million was recorded for the first quarter of 2024 as compared to $42.9 million recorded in the fourth quarter of 2023. For more information regarding the allowance for credit losses and provision for credit losses, see Table 10 in this report.

Management believes the allowance for credit losses is appropriate to account for expected credit losses. The Current Expected Credit Losses accounting standard requires the Company to estimate expected credit losses over the life of the Company’s financial assets as of the reporting date. There can be no assurances, however, that future losses will not significantly exceed the amounts provided for, thereby affecting future results of operations. A summary of the allowance for credit losses calculated for the loan components in each portfolio as of March 31, 2024, December 31, 2023, and September 30, 2023 is shown on Table 11 of this report.

Net charge-offs totaled $21.8 million in the first quarter of 2024, as compared to $14.9 million of net charge-offs in the fourth quarter of 2023. The increase in net charge-offs during the first quarter of 2024 was primarily the result of increased net charge-offs within the commercial portfolio. Net charge-offs as a percentage of average total loans were 21 basis points in the first quarter of 2024 on an annualized basis compared to 14 basis points on an annualized basis in the fourth quarter of 2023. For more information regarding net charge-offs, see Table 9 in this report.

The Company’s delinquency rates remain low and manageable. For more information regarding past due loans, see Table 12 in this report.

Non-performing assets totaled $162.9 million and comprised 0.28% of total assets as of March 31, 2024, as compared to $152.3 million as of December 31, 2023. Non-performing loans totaled $148.4 million, or 0.34% of total loans, at March 31, 2024. The increase in the first quarter of 2024 was primarily due to an increase in certain credits within the commercial real estate portfolio becoming nonaccrual as well as increases within the property and casualty insurance premium finance receivables portfolio, partially offset by a decrease within the commercial portfolio. For more information regarding non-performing assets, see Table 13 in this report.

Though these credit metrics increased during the period, net charge-offs as a percentage of average total loans and non-performing loans as a percentage of total loans remained at historically low levels in the first quarter of 2024.

NON-INTEREST INCOME

Wealth management revenue increased by $1.5 million in the first quarter of 2024 as compared to the fourth quarter of 2023 primarily due to increased asset management fees from higher assets under management during the period. Wealth management revenue is comprised of the trust and asset management revenue of The Chicago Trust Company and Great Lakes Advisors, the brokerage commissions, managed money fees and insurance product commissions at Wintrust Investments and fees from tax-deferred like-kind exchange services provided by the Chicago Deferred Exchange Company.

Mortgage banking revenue increased by $20.2 million in the first quarter of 2024 as compared to the fourth quarter of 2023 primarily due to a $5.0 million favorable valuation adjustment to the fair value of mortgage servicing rights, net of servicing hedge, in the first quarter of 2024 compared to a $16.1 million unfavorable adjustment in the fourth quarter of 2023, as well as $6.6 million higher in production revenue. This was partially offset by an unfavorable adjustment to the Company’s held-for-sale portfolio of early buy-out exercised loans guaranteed by U.S. government agencies, which are held at fair value, of $2.2 million in the first quarter of 2024 compared to a $4.9 million favorable adjustment in the fourth quarter of 2023. The Company monitors the relationship of these assets and seeks to minimize the earnings impact of fair value changes.

The Company recognized $1.3 million in net gains on investment securities in the first quarter of 2024 as compared to $2.5 million in net gains in the fourth quarter of 2023. The change from period to period was primarily the result of lower unrealized gains on the Company’s equity investment securities with a readily determinable fair value, partially offset by higher realized gains from the liquidation of an equity investment security without a readily determinable fair value in the first quarter of 2024.

Fluctuations in trading gains and losses in the first quarter of 2024 compared to the fourth quarter of 2023 were primarily the result of fair value adjustments related to interest rate derivatives not designated as hedges.

Other income increased by $17.6 million in the first quarter of 2024 compared to the fourth quarter of 2023 primarily due to a $20.0 million gain recognized related to the sale of the Company’s RBA division within its wealth management business. This was partially offset by an unfavorable adjustment to the Company’s held-for-investment portfolio of early buy-out exercised loans guaranteed by U.S. government agencies, which are held at fair value, of $2.1 million when compared to the fourth quarter of 2023, as well as lower interest rate swap fees and unfavorable foreign currency remeasurement adjustments.

For more information regarding non-interest income, see Table 14 in this report.

NON-INTEREST EXPENSE

Salaries and employee benefits expense increased by $1.2 million in the first quarter of 2024 as compared to the fourth quarter of 2023. The $1.2 million increase is primarily related to higher commissions from increased mortgage production as well as commissions related to the sale of the Company’s RBA division within its wealth management business in the first quarter of 2024. This was partially offset by lower employee benefits as employee insurance decreased in the first quarter of 2024.

Advertising and marketing expenses in the first quarter of 2024 totaled $13.0 million, which is a $4.1 million decrease as compared to the fourth quarter of 2023 primarily due to a decrease in digital advertising and sponsorships.

FDIC insurance, including amounts accrued for estimated special assessments, decreased $29.1 million in the first quarter of 2024 as compared to the fourth quarter of 2023. This was primarily the result of a lower accrual recognized in the first quarter of 2024 for estimated amounts owed as a result of the FDIC special assessment on uninsured deposits in response to certain bank failures occurring in 2023. The Company recognized $5.2 million in the first quarter of 2024 for such special assessment compared to $34.4 million in the fourth quarter of 2023.

The Company recorded OREO expense of $392,000 in the first quarter of 2024, compared to net OREO income of $1.6 million in the fourth quarter of 2023 related to realized gains on sales of OREO.

For more information regarding non-interest expense, see Table 15 in this report.

INCOME TAXES

The Company recorded income tax expense of $62.7 million in the first quarter of 2024 compared to $41.8 million in the fourth quarter of 2023. The effective tax rates were 25.07% in the first quarter of 2024 compared to 25.27% in the fourth quarter of 2023. The effective tax rates were partially impacted by the tax effects related to share-based compensation which fluctuate based on the Company’s stock price and timing of employee stock option exercises and vesting of other share-based awards. The Company recorded net excess tax benefits of $4.4 million in the first quarter of 2024, compared to net excess tax benefits of $53,000 in the fourth quarter of 2023 related to share-based compensation. The effective tax rates were also partially impacted due to an overall lower level of pre-tax net income in the comparable periods, primarily due to the accrual for the estimated amount owed as a result of the FDIC special assessment on uninsured deposits. The Company recorded an estimated FDIC special assessment accrual of $5.2 million in the first quarter of 2024, compared to a $34.4 million accrual in the fourth quarter of 2023.

BUSINESS UNIT SUMMARY

Community Banking

Through its community banking unit, the Company provides banking and financial services primarily to individuals, small to mid-sized businesses, local governmental units and institutional clients residing primarily in the local areas the Company services. In the first quarter of 2024, the community banking unit expanded its commercial, commercial real estate and residential real estate loan portfolios.

Mortgage banking revenue was $27.7 million for the first quarter of 2024, an increase of $20.2 million as compared to the fourth quarter of 2023, primarily due to a $5.0 million favorable valuation adjustment to the fair value of mortgage servicing rights, net of servicing hedge, in the first quarter of 2024 compared to a $16.1 million unfavorable adjustment in the fourth quarter of 2023, as well as $6.6 million higher in production revenue. This was partially offset by an unfavorable adjustment to the Company’s held-for-sale portfolio of early buy-out exercised loans guaranteed by U.S. government agencies, which are held at fair value, of $2.2 million in the first quarter of 2024 compared to a $4.9 million favorable adjustment in the fourth quarter of 2023. Service charges on deposit accounts totaled $14.8 million in the first quarter of 2024, which was relatively stable compared to the fourth quarter of 2023. The Company’s gross commercial and commercial real estate loan pipelines remained solid as of March 31, 2024 indicating momentum for expected continued loan growth in the second quarter of 2024.

Specialty Finance

Through its specialty finance unit, the Company offers financing of insurance premiums for businesses and individuals, equipment financing through structured loans and lease products to customers in a variety of industries, accounts receivable financing and value-added, out-sourced administrative services and other services. Originations within the insurance premium financing receivables portfolios were $4.6 billion during the first quarter of 2024 and average balances increased by $12.5 million as compared to the fourth quarter of 2023. The Company’s leasing portfolio balance increased in the first quarter of 2024, with its portfolio of assets, including capital leases, loans and equipment on operating leases, totaling $3.6 billion as of March 31, 2024 as compared to $3.4 billion as of December 31, 2023. Revenues from the Company’s out-sourced administrative services business were $1.2 million in the first quarter of 2024, which was relatively stable compared to the fourth quarter of 2023.

Wealth Management

Through four separate subsidiaries within its wealth management unit, the Company offers a full range of wealth management services, including trust and investment services, tax-deferred like-kind exchange services, asset management, and securities brokerage services. See “Items Impacting Comparative Results,” regarding the sale of the RBA division during the first quarter of 2024. Wealth management revenue totaled $34.8 million in the first quarter of 2024, increasing $1.5 million in the first quarter of 2024 as compared to the fourth quarter of 2023 primarily due to increased asset management fees from higher assets under management during the period. At March 31, 2024, the Company’s wealth management subsidiaries had approximately $48.7 billion of assets under administration, which included $8.8 billion of assets owned by the Company and its subsidiary banks, representing an increase from the $47.1 billion of assets under administration at December 31, 2023.

ITEMS IMPACTING COMPARATIVE FINANCIAL RESULTS

Division Sale

In the first quarter of 2024, the Company sold its RBA division and recorded a gain of approximately $20.0 million in other non-interest income from the sale.

Business Combination

On April 3, 2023, the Company completed its acquisition of Rothschild & Co Asset Management US Inc. and Rothschild & Co Risk Based Investments LLC from Rothschild & Co North America Inc. As the transaction was determined to be a business combination, the Company recorded goodwill of approximately $2.6 million on the purchase.

WINTRUST FINANCIAL CORPORATION

Key Operating Measures

Wintrust’s key operating measures and growth rates for the first quarter of 2024, as compared to the fourth quarter of 2023 (sequential quarter) and first quarter of 2023 (linked quarter), are shown in the table below:

       % or (1)
basis point (bp) change from
4th Quarter
2023		 % or
basis point (bp) change from
1st Quarter
2023
  Three Months Ended 
(Dollars in thousands, except per share data) Mar 31, 2024 Dec 31, 2023 Mar 31, 2023 
Net income $187,294  $123,480  $180,198 52 % 4 %
Pre-tax income, excluding provision for credit losses (non-GAAP) (2)  271,629   208,151   266,595 30   2  
Net income per common share – Diluted  2.89   1.87   2.80 55   3  
Cash dividends declared per common share  0.45   0.40   0.40 13   13  
Net revenue (3)  604,774   570,803   565,764 6   7  
Net interest income  464,194   469,974   457,995 (1)  1  
Net interest margin  3.57%  3.62%  3.81%(5)bps (24)bps
Net interest margin – fully taxable-equivalent (non-GAAP) (2)  3.59   3.64   3.83 (5)  (24) 
Net overhead ratio (4)  1.39   1.89   1.49 (50)  (10) 
Return on average assets  1.35   0.89   1.40 46   (5) 
Return on average common equity  14.42   9.93   15.67 449   (125) 
Return on average tangible common equity (non-GAAP) (2)  16.75   11.73   18.55 502   (180) 
At end of period           
Total assets $57,576,933  $56,259,934  $52,873,511 9 % 9 %
Total loans (5)  43,230,706   42,131,831   39,565,471 10   9  
Total deposits  46,448,858   45,397,170   42,718,211 9   9  
Total shareholders’ equity  5,436,400   5,399,526   5,015,506 3   8  

(1) Period-end balance sheet percentage changes are annualized.

(2) See Table 16: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.
(3) Net revenue is net interest income plus non-interest income.
(4) The net overhead ratio is calculated by netting total non-interest expense and total non-interest income, annualizing this amount, and dividing by that period’s average total assets. A lower ratio indicates a higher degree of efficiency.
(5) Excludes mortgage loans held-for-sale.

Certain returns, yields, performance ratios, or quarterly growth rates are “annualized” in this presentation to represent an annual time period. This is done for analytical purposes to better discern, for decision-making purposes, underlying performance trends when compared to full-year or year-over-year amounts. For example, a 5% growth rate for a quarter would represent an annualized 20% growth rate. Additional supplemental financial information showing quarterly trends can be found on the Company’s website at www.wintrust.com by choosing “Financial Reports” under the “Investor Relations” heading, and then choosing “Financial Highlights.”

WINTRUST FINANCIAL CORPORATION
Selected Financial Highlights

  Three Months Ended
(Dollars in thousands, except per share data) Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023
Selected Financial Condition Data (at end of period):
Total assets $57,576,933  $56,259,934  $55,555,246  $54,286,176  $52,873,511 
Total loans (1)  43,230,706   42,131,831   41,446,032   41,023,408   39,565,471 
Total deposits  46,448,858   45,397,170   44,992,686   44,038,707   42,718,211 
Total shareholders’ equity  5,436,400   5,399,526   5,015,613   5,041,912   5,015,506 
Selected Statements of Income Data:          
Net interest income $464,194  $469,974  $462,358  $447,537  $457,995 
Net revenue (2)  604,774   570,803   574,836   560,567   565,764 
Net income  187,294   123,480   164,198   154,750   180,198 
Pre-tax income, excluding provision for credit losses (non-GAAP) (3)  271,629   208,151   244,781   239,944   266,595 
Net income per common share – Basic  2.93   1.90   2.57   2.41   2.84 
Net income per common share – Diluted  2.89   1.87   2.53   2.38   2.80 
Cash dividends declared per common share  0.45   0.40   0.40   0.40   0.40 
Selected Financial Ratios and Other Data:          
Performance Ratios:          
Net interest margin  3.57%  3.62%  3.60%  3.64%  3.81%
Net interest margin – fully taxable-equivalent (non-GAAP) (3)  3.59   3.64   3.62   3.66   3.83 
Non-interest income to average assets  1.02   0.73   0.82   0.86   0.84 
Non-interest expense to average assets  2.41   2.62   2.41   2.44   2.33 
Net overhead ratio (4)  1.39   1.89   1.59   1.58   1.49 
Return on average assets  1.35   0.89   1.20   1.18   1.40 
Return on average common equity  14.42   9.93   13.35   12.79   15.67 
Return on average tangible common equity (non-GAAP) (3)  16.75   11.73   15.73   15.12   18.55 
Average total assets $55,602,695  $55,017,075  $54,381,981  $52,601,953  $52,075,318 
Average total shareholders’ equity  5,440,457   5,066,196   5,083,883   5,044,718   4,895,271 
Average loans to average deposits ratio  94.5%  92.9%  92.4%  94.3%  93.0%
Period-end loans to deposits ratio  93.1   92.8   92.1   93.2   92.6 
Common Share Data at end of period:          
Market price per common share $104.39  $92.75  $75.50  $72.62  $72.95 
Book value per common share  81.38   81.43   75.19   75.65   75.24 
Tangible book value per common share (non-GAAP) (3)  70.40   70.33   64.07   64.50   64.22 
Common shares outstanding  61,736,715   61,243,626   61,222,058   61,197,676   61,176,415 
Other Data at end of period:          
Common equity to assets ratio  8.7%  8.9%  8.3%  8.5%  8.7%
Tangible common equity ratio (non-GAAP) (3)  7.6   7.7   7.1   7.4   7.5 
Tier 1 leverage ratio (5)  9.5   9.3   9.2   9.3   9.1 
Risk-based capital ratios:          
Tier 1 capital ratio (5)  10.3   10.3   10.2   10.1   10.1 
Common equity tier 1 capital ratio (5)  9.5   9.4   9.3   9.3   9.2 
Total capital ratio (5)  12.2   12.1   12.0   12.0   12.1 
Allowance for credit losses (6) $427,504  $427,612  $399,531  $387,786  $376,261 
Allowance for loan and unfunded lending-related commitment losses to total loans  0.99%  1.01%  0.96%  0.94%  0.95%
Number of:          
Bank subsidiaries  15   15   15   15   15 
Banking offices  176   174   174   175   174 

(1) Excludes mortgage loans held-for-sale.
(2) Net revenue is net interest income plus non-interest income.
(3) See Table 16: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.
(4) The net overhead ratio is calculated by netting total non-interest expense and total non-interest income, annualizing this amount, and dividing by that period’s average total assets. A lower ratio indicates a higher degree of efficiency.
(5) Capital ratios for current quarter-end are estimated.
(6) The allowance for credit losses includes the allowance for loan losses, the allowance for unfunded lending-related commitments and the allowance for held-to-maturity securities losses.

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CONDITION

  (Unaudited)   (Unaudited) (Unaudited) (Unaudited)
  Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(In thousands)  2024   2023   2023   2023   2023 
Assets          
Cash and due from banks $379,825  $423,404  $418,088  $513,858  $445,928 
Federal funds sold and securities purchased under resale agreements  61   60   60   59   58 
Interest-bearing deposits with banks  2,131,077   2,084,323   2,448,570   2,163,708   1,563,578 
Available-for-sale securities, at fair value  4,387,598   3,502,915   3,611,835   3,492,481   3,259,845 
Held-to-maturity securities, at amortized cost  3,810,015   3,856,916   3,909,150   3,564,473   3,606,391 
Trading account securities  2,184   4,707   1,663   3,027   102 
Equity securities with readily determinable fair value  119,777   139,268   134,310   116,275   111,943 
Federal Home Loan Bank and Federal Reserve Bank stock  224,657   205,003   204,040   195,117   244,957 
Brokerage customer receivables  13,382   10,592   14,042   15,722   16,042 
Mortgage loans held-for-sale, at fair value  339,884   292,722   304,808   338,728   302,493 
Loans, net of unearned income  43,230,706   42,131,831   41,446,032   41,023,408   39,565,471 
Allowance for loan losses  (348,612)  (344,235)  (315,039)  (302,499)  (287,972)
Net loans  42,882,094   41,787,596   41,130,993   40,720,909   39,277,499 
Premises, software and equipment, net  744,769   748,966   747,501   749,393   760,283 
Lease investments, net  283,557   281,280   275,152   274,351   256,301 
Accrued interest receivable and other assets  1,580,142   1,551,899   1,674,681   1,455,748   1,413,795 
Trade date securities receivable  —   690,722   —   —   939,758 
Goodwill  656,181   656,672   656,109   656,674   653,587 
Other acquisition-related intangible assets  21,730   22,889   24,244   25,653   20,951 
Total assets $57,576,933  $56,259,934  $55,555,246  $54,286,176  $52,873,511 
Liabilities and Shareholders’ Equity          
Deposits:          
Non-interest-bearing $9,908,183  $10,420,401  $10,347,006  $10,604,915  $11,236,083 
Interest-bearing  36,540,675   34,976,769   34,645,680   33,433,792   31,482,128 
Total deposits  46,448,858   45,397,170   44,992,686   44,038,707   42,718,211 
Federal Home Loan Bank advances  2,676,751   2,326,071   2,326,071   2,026,071   2,316,071 
Other borrowings  575,408   645,813   643,999   665,219   583,548 
Subordinated notes  437,965   437,866   437,731   437,628   437,493 
Junior subordinated debentures  253,566   253,566   253,566   253,566   253,566 
Accrued interest payable and other liabilities  1,747,985   1,799,922   1,885,580   1,823,073   1,549,116 
Total liabilities  52,140,533   50,860,408   50,539,633   49,244,264   47,858,005 
Shareholders’ Equity:          
Preferred stock  412,500   412,500   412,500   412,500   412,500 
Common stock  61,798   61,269   61,244   61,219   61,198 
Surplus  1,954,532   1,943,806   1,933,226   1,923,623   1,913,947 
Treasury stock  (5,757)  (2,217)  (1,966)  (1,966)  (1,966)
Retained earnings  3,498,475   3,345,399   3,253,332   3,120,626   2,997,263 
Accumulated other comprehensive loss  (485,148)  (361,231)  (642,723)  (474,090)  (367,436)
Total shareholders’ equity  5,436,400   5,399,526   5,015,613   5,041,912   5,015,506 
Total liabilities and shareholders’ equity $57,576,933  $56,259,934  $55,555,246  $54,286,176  $52,873,511 

 

WINTRUST FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

 Three Months Ended
(Dollars in thousands, except per share data)Mar 31,
2024		 Dec 31,
2023		 Sep 30,
2023		 Jun 30,
2023		 Mar 31,
2023
Interest income         
Interest and fees on loans$710,341  $694,943  $666,260  $621,057  $558,692 
Mortgage loans held-for-sale 4,146   4,318   4,767   4,178   3,528 
Interest-bearing deposits with banks 16,658   21,762   26,866   16,882   13,468 
Federal funds sold and securities purchased under resale agreements 19   578   1,157   1   70 
Investment securities 69,678   68,237   59,164   51,243   59,943 
Trading account securities 18   15   6   6   14 
Federal Home Loan Bank and Federal Reserve Bank stock 4,478   3,792   3,896   3,544   3,680 
Brokerage customer receivables 175   203   284   265   295 
Total interest income 805,513   793,848   762,400   697,176   639,690 
Interest expense         
Interest on deposits 299,532   285,390   262,783   213,495   144,802 
Interest on Federal Home Loan Bank advances 22,048   18,316   17,436   17,399   19,135 
Interest on other borrowings 9,248   9,557   9,384   8,485   7,854 
Interest on subordinated notes 5,487   5,522   5,491   5,523   5,488 
Interest on junior subordinated debentures 5,004   5,089   4,948   4,737   4,416 
Total interest expense 341,319   323,874   300,042   249,639   181,695 
Net interest income 464,194   469,974   462,358   447,537   457,995 
Provision for credit losses 21,673   42,908   19,923   28,514   23,045 
Net interest income after provision for credit losses 442,521   427,066   442,435   419,023   434,950 
Non-interest income         
Wealth management 34,815   33,275   33,529   33,858   29,945 
Mortgage banking 27,663   7,433   27,395   29,981   18,264 
Service charges on deposit accounts 14,811   14,522   14,217   13,608   12,903 
Gains (losses) on investment securities, net 1,326   2,484   (2,357)  0   1,398 
Fees from covered call options 4,847   4,679   4,215   2,578   10,391 
Trading gains (losses), net 677   (505)  728   106   813 
Operating lease income, net 14,110   14,162   13,863   12,227   13,046 
Other 42,331   24,779   20,888   20,672   21,009 
Total non-interest income 140,580   100,829   112,478   113,030   107,769 
Non-interest expense         
Salaries and employee benefits 195,173   193,971   192,338   184,923   176,781 
Software and equipment 27,731   27,779   25,951   26,205   24,697 
Operating lease equipment 10,683   10,694   12,020   9,816   9,833 
Occupancy, net 19,086   18,102   21,304   19,176   18,486 
Data processing 9,292   8,892   10,773   9,726   9,409 
Advertising and marketing 13,040   17,166   18,169   17,794   11,946 
Professional fees 9,553   8,768   8,887   8,940   8,163 
Amortization of other acquisition-related intangible assets 1,158   1,356   1,408   1,499   1,235 
FDIC insurance 14,537   43,677   9,748   9,008   8,669 
OREO expenses, net 392   (1,559)  120   118   (207)
Other 32,500   33,806   29,337   33,418   30,157 
Total non-interest expense 333,145   362,652   330,055   320,623   299,169 
Income before taxes 249,956   165,243   224,858   211,430   243,550 
Income tax expense 62,662   41,763   60,660   56,680   63,352 
Net income$187,294  $123,480  $164,198  $154,750  $180,198 
Preferred stock dividends 6,991   6,991   6,991   6,991   6,991 
Net income applicable to common shares$180,303  $116,489  $157,207  $147,759  $173,207 
Net income per common share - Basic$2.93  $1.90  $2.57  $2.41  $2.84 
Net income per common share - Diluted$2.89  $1.87  $2.53  $2.38  $2.80 
Cash dividends declared per common share$0.45  $0.40  $0.40  $0.40  $0.40 
Weighted average common shares outstanding 61,481   61,236   61,213   61,192   60,950 
Dilutive potential common shares 928   1,166   964   902   873 
Average common shares and dilutive common shares 62,409   62,402   62,177   62,094   61,823 

 

TABLE 1: LOAN PORTFOLIO MIX AND GROWTH RATES

          % Growth From
(Dollars in thousands)Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30,
2023		 Mar 31, 2023Dec 31, 2023 (1) Mar 31, 2023
Balance:            
Mortgage loans held-for-sale, excluding early buy-out exercised loans guaranteed by U.S. government agencies$193,064 $155,529 $190,511 $235,570 $155,68797% 24%
Mortgage loans held-for-sale, early buy-out exercised loans guaranteed by U.S. government agencies 146,820  137,193  114,297  103,158  146,80628  0 
Total mortgage loans held-for-sale$339,884 $292,722 $304,808 $338,728 $302,49365% 12%
             
Core loans:            
Commercial            
Commercial and industrial$6,105,968 $5,804,629 $5,894,732 $5,737,633 $5,855,03521% 4%
Asset-based lending 1,355,255  1,433,250  1,396,591  1,465,848  1,482,071(22) (9)
Municipal 721,526  677,143  676,915  653,117  655,30126  10 
Leases 2,344,295  2,208,368  2,109,628  1,925,767  1,904,13725  23 
PPP loans 11,036  11,533  13,744  15,337  17,195(17) (36)
Commercial real estate            
Residential construction 57,558  58,642  51,550  51,689  69,998(7) (18)
Commercial construction 1,748,607  1,729,937  1,547,322  1,409,751  1,234,7624  42 
Land 344,149  295,462  294,901  298,996  292,29366  18 
Office 1,566,748  1,455,417  1,422,748  1,404,422  1,392,04031  13 
Industrial 2,190,200  2,135,876  2,057,957  2,002,740  1,858,08810  18 
Retail 1,366,415  1,337,517  1,341,451  1,304,083  1,309,6809  4 
Multi-family 2,922,432  2,815,911  2,710,829  2,696,478  2,635,41115  11 
Mixed use and other 1,437,328  1,515,402  1,519,422  1,440,652  1,446,806(21) (1)
Home equity 340,349  343,976  343,258  336,974  337,016(4) 1 
Residential real estate            
Residential real estate loans for investment 2,746,916  2,619,083  2,538,630  2,455,392  2,309,39320  19 
Residential mortgage loans, early buy-out eligible loans guaranteed by U.S. government agencies 90,911  92,780  97,911  117,024  119,301(8) (24)
Residential mortgage loans, early buy-out exercised loans guaranteed by U.S. government agencies 52,439  57,803  71,062  70,824  76,851(37) (32)
Total core loans$25,402,132 $24,592,729 $24,088,651 $23,386,727 $22,995,37813% 10%
             
Niche loans:            
Commercial            
Franchise$1,122,302 $1,092,532 $1,074,162 $1,091,164 $1,131,91311% (1)%
Mortgage warehouse lines of credit 403,245  230,211  245,450  381,043  235,684302  71 
Community Advantage - homeowners association 475,832  452,734  424,054  405,042  389,92221  22 
Insurance agency lending 964,022  921,653  890,197  925,520  905,72718  6 
Premium Finance receivables            
U.S. property & casualty insurance 6,113,993  5,983,103  5,815,346  5,900,228  5,043,4869  21 
Canada property & casualty insurance 826,026  920,426  907,401  862,470  695,394(41) 19 
Life insurance 7,872,033  7,877,943  7,931,808  8,039,273  8,125,8020  (3)
Consumer and other 51,121  60,500  68,963  31,941  42,165(62) 21 
Total niche loans$17,828,574 $17,539,102 $17,357,381 $17,636,681 $16,570,0937% 8%
             
Total loans, net of unearned income$43,230,706 $42,131,831 $41,446,032 $41,023,408 $39,565,47110% 9%

(1) Annualized.

TABLE 2: DEPOSIT PORTFOLIO MIX AND GROWTH RATES

          % Growth From
(Dollars in thousands)Mar 31,
2024		 Dec 31,
2023		 Sep 30,
2023		 Jun 30,
2023		 Mar 31,
2023		Dec 31,
2023 (1)		 Mar 31, 2023
Balance:            
Non-interest-bearing$9,908,183  $10,420,401  $10,347,006  $10,604,915  $11,236,083 (20)% (12)%
NOW and interest-bearing demand deposits 5,720,947   5,797,649   6,006,114   5,814,836   5,576,558 (5) 3 
Wealth management deposits (2) 1,347,817   1,614,499   1,788,099   1,417,984   1,809,933 (66) (26)
Money market 15,617,717   15,149,215   14,478,504   14,523,124   13,552,277 12  15 
Savings 5,959,774   5,790,334   5,584,294   5,321,578   5,192,108 12  15 
Time certificates of deposit 7,894,420   6,625,072   6,788,669   6,356,270   5,351,252 77  48 
Total deposits$46,448,858  $45,397,170  $44,992,686  $44,038,707  $42,718,211 9% 9%
Mix:            
Non-interest-bearing 21%  23%  23%  24%  26%   
NOW and interest-bearing demand deposits 12   13   13   13   13    
Wealth management deposits (2) 3   4   4   3   4    
Money market 34   33   32   33   32    
Savings 13   13   13   12   12    
Time certificates of deposit 17   14   15   15   13    
Total deposits 100%  100%  100%  100%  100%   

(1) Annualized.

(2) Represents deposit balances of the Company’s subsidiary banks from brokerage customers of Wintrust Investments, Chicago Deferred Exchange Company, LLC (“CDEC”), and trust and asset management customers of the Company.

TABLE 3: TIME CERTIFICATES OF DEPOSIT MATURITY/RE-PRICING ANALYSIS
As of March 31, 2024

(Dollars in thousands) Total Time
Certificates of
Deposit		 Weighted-Average
Rate of Maturing
Time Certificates
of Deposit
1-3 months $2,250,084  4.53%
4-6 months  2,431,414  4.76 
7-9 months  1,658,270  4.32 
10-12 months  991,137  4.06 
13-18 months  438,441  3.71 
19-24 months  55,853  2.50 
24+ months  69,221  1.78 
Total $7,894,420  4.42%

 

TABLE 4: QUARTERLY AVERAGE BALANCES

  Average Balance for three months ended,
  Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(In thousands)  2024   2023   2023   2023   2023 
Interest-bearing deposits with banks, securities purchased under resale agreements and cash equivalents (1) $1,254,332  $1,682,176  $2,053,568  $1,454,057  $1,235,748 
Investment securities (2)  8,349,796   7,971,068   7,706,285   7,252,582   7,956,722 
FHLB and FRB stock  230,648   204,593   201,252   223,813   233,615 
Liquidity management assets (3)  9,834,776   9,857,837   9,961,105   8,930,452   9,426,085 
Other earning assets (3)(4)  15,081   14,821   17,879   17,401   18,445 
Mortgage loans held-for-sale  290,275   279,569   319,099   307,683   270,966 
Loans, net of unearned income (3)(5)  42,129,893   41,361,952   40,707,042   40,106,393   39,093,368 
Total earning assets (3)  52,270,025   51,514,179   51,005,125   49,361,929   48,808,864 
Allowance for loan and investment security losses  (361,734)  (329,441)  (319,491)  (302,627)  (282,704)
Cash and due from banks  450,267   443,989   459,819   481,510   488,457 
Other assets  3,244,137   3,388,348   3,236,528   3,061,141   3,060,701 
Total assets $55,602,695  $55,017,075  $54,381,981  $52,601,953  $52,075,318 
           
NOW and interest-bearing demand deposits $5,680,265  $5,868,976  $5,815,155  $5,540,597  $5,271,740 
Wealth management deposits  1,510,203   1,704,099   1,512,765   1,545,626   2,167,081 
Money market accounts  14,474,492   14,212,320   14,155,446   13,735,924   12,533,468 
Savings accounts  5,792,118   5,676,155   5,472,535   5,206,609   4,830,322 
Time deposits  7,148,456   6,645,980   6,495,906   5,603,024   5,041,638 
Interest-bearing deposits  34,605,534   34,107,530   33,451,807   31,631,780   29,844,249 
Federal Home Loan Bank advances  2,728,849   2,326,073   2,241,292   2,227,106   2,474,882 
Other borrowings  627,711   633,673   657,454   625,757   602,937 
Subordinated notes  437,893   437,785   437,658   437,545   437,422 
Junior subordinated debentures  253,566   253,566   253,566   253,566   253,566 
Total interest-bearing liabilities  38,653,553   37,758,627   37,041,777   35,175,754   33,613,056 
Non-interest-bearing deposits  9,972,646   10,406,585   10,612,009   10,908,022   12,171,631 
Other liabilities  1,536,039   1,785,667   1,644,312   1,473,459   1,395,360 
Equity  5,440,457   5,066,196   5,083,883   5,044,718   4,895,271 
Total liabilities and shareholders’ equity $55,602,695  $55,017,075  $54,381,981  $52,601,953  $52,075,318 
           
Net free funds/contribution (6) $13,616,472  $13,755,552  $13,963,348  $14,186,175  $15,195,808 

(1) Includes interest-bearing deposits from banks and securities purchased under resale agreements with original maturities of greater than three months. Cash equivalents include federal funds sold and securities purchased under resale agreements with original maturities of three months or less.
(2) Investment securities includes investment securities classified as available-for-sale and held-to-maturity, and equity securities with readily determinable fair values. Equity securities without readily determinable fair values are included within other assets.
(3) See Table 16: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.
(4) Other earning assets include brokerage customer receivables and trading account securities.
(5) Loans, net of unearned income, include non-accrual loans.
(6) Net free funds are the difference between total average earning assets and total average interest-bearing liabilities. The estimated contribution to net interest margin from net free funds is calculated using the rate paid for total interest-bearing liabilities.

TABLE 5: QUARTERLY NET INTEREST INCOME

  Net Interest Income for three months ended,
  Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(In thousands)  2024   2023   2023   2023   2023 
Interest income:          
Interest-bearing deposits with banks, securities purchased under resale agreements and cash equivalents $16,677  $22,340  $28,022  $16,882  $13,538 
Investment securities  70,228   68,812   59,737   51,795   60,494 
FHLB and FRB stock  4,478   3,792   3,896   3,544   3,680 
Liquidity management assets (1)  91,383   94,944   91,655   72,221   77,712 
Other earning assets (1)  198   222   291   272   313 
Mortgage loans held-for-sale  4,146   4,318   4,767   4,178   3,528 
Loans, net of unearned income (1)  712,587   697,093   668,183   622,939   560,564 
Total interest income $808,314  $796,577  $764,896  $699,610  $642,117 
           
Interest expense:          
NOW and interest-bearing demand deposits $34,896  $38,124  $36,001  $29,178  $18,772 
Wealth management deposits  10,461   12,076   9,350   9,097   12,258 
Money market accounts  137,984   130,252   124,742   106,630   68,276 
Savings accounts  39,071   36,463   31,784   25,603   15,816 
Time deposits  77,120   68,475   60,906   42,987   29,680 
Interest-bearing deposits  299,532   285,390   262,783   213,495   144,802 
Federal Home Loan Bank advances  22,048   18,316   17,436   17,399   19,135 
Other borrowings  9,248   9,557   9,384   8,485   7,854 
Subordinated notes  5,487   5,522   5,491   5,523   5,488 
Junior subordinated debentures  5,004   5,089   4,948   4,737   4,416 
Total interest expense $341,319  $323,874  $300,042  $249,639  $181,695 
           
Less: Fully taxable-equivalent adjustment  (2,801)  (2,729)  (2,496)  (2,434)  (2,427)
Net interest income (GAAP) (2)   464,194   469,974   462,358   447,537   457,995 
Fully taxable-equivalent adjustment  2,801   2,729   2,496   2,434   2,427 
Net interest income, fully taxable-equivalent (non-GAAP) (2)  $466,995  $472,703  $464,854  $449,971  $460,422 

(1) Interest income on tax-advantaged loans, trading securities and investment securities reflects a taxable-equivalent adjustment based on the marginal federal corporate tax rate in effect as of the applicable period.
(2) See Table 16: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.

TABLE 6: QUARTERLY NET INTEREST MARGIN

  Net Interest Margin for three months ended,
  Mar 31, 2024 Dec 31, 2023 Sep 30,
2023		 Jun 30, 2023 Mar 31,
2023
Yield earned on:          
Interest-bearing deposits with banks, securities purchased under resale agreements and cash equivalents 5.35% 5.27% 5.41% 4.66% 4.44%
Investment securities 3.38  3.42  3.08  2.86  3.08 
FHLB and FRB stock 7.81  7.35  7.68  6.35  6.39 
Liquidity management assets 3.74  3.82  3.65  3.24  3.34 
Other earning assets 5.25  5.92  6.47  6.27  6.87 
Mortgage loans held-for-sale 5.74  6.13  5.93  5.45  5.28 
Loans, net of unearned income 6.80  6.69  6.51  6.23  5.82 
Total earning assets 6.22% 6.13% 5.95% 5.68% 5.34%
           
Rate paid on:          
NOW and interest-bearing demand deposits 2.47% 2.58% 2.46% 2.11% 1.44%
Wealth management deposits 2.79  2.81  2.45  2.36  2.29 
Money market accounts 3.83  3.64  3.50  3.11  2.21 
Savings accounts 2.71  2.55  2.30  1.97  1.33 
Time deposits 4.34  4.09  3.72  3.08  2.39 
Interest-bearing deposits 3.48  3.32  3.12  2.71  1.97 
Federal Home Loan Bank advances 3.25  3.12  3.09  3.13  3.14 
Other borrowings 5.92  5.98  5.66  5.44  5.28 
Subordinated notes 5.04  5.00  4.98  5.06  5.02 
Junior subordinated debentures 7.94  7.96  7.74  7.49  6.97 
Total interest-bearing liabilities 3.55% 3.40% 3.21% 2.85% 2.19%
           
Interest rate spread (1)(2) 2.67% 2.73% 2.74% 2.83% 3.15%
Less: Fully taxable-equivalent adjustment (0.02) (0.02) (0.02) (0.02) (0.02)
Net free funds/contribution (3) 0.92  0.91  0.88  0.83  0.68 
Net interest margin (GAAP) (2) 3.57% 3.62% 3.60% 3.64% 3.81%
Fully taxable-equivalent adjustment 0.02  0.02  0.02  0.02  0.02 
Net interest margin, fully taxable-equivalent (non-GAAP) (2) 3.59% 3.64% 3.62% 3.66% 3.83%

(1) Interest rate spread is the difference between the yield earned on earning assets and the rate paid on interest-bearing liabilities.
(2) See Table 16: Supplemental Non-GAAP Financial Measures/Ratios for additional information on this performance measure/ratio.
(3) Net free funds are the difference between total average earning assets and total average interest-bearing liabilities. The estimated contribution to net interest margin from net free funds is calculated using the rate paid for total interest-bearing liabilities.

TABLE 7: INTEREST RATE SENSITIVITY

As an ongoing part of its financial strategy, the Company attempts to manage the impact of fluctuations in market interest rates on net interest income. Management measures its exposure to changes in interest rates by modeling many different interest rate scenarios.

The following interest rate scenarios display the percentage change in net interest income over a one-year time horizon assuming increases and decreases of 100 and 200 basis points. The Static Shock Scenario results incorporate actual cash flows and repricing characteristics for balance sheet instruments following an instantaneous, parallel change in market rates based upon a static (i.e. no growth or constant) balance sheet. Conversely, the Ramp Scenario results incorporate management’s projections of future volume and pricing of each of the product lines following a gradual, parallel change in market rates over twelve months. Actual results may differ from these simulated results due to timing, magnitude, and frequency of interest rate changes as well as changes in market conditions and management strategies. The interest rate sensitivity for both the Static Shock and Ramp Scenario is as follows:

Static Shock Scenario +200 Basis Points +100 Basis Points -100 Basis Points -200 Basis Points
Mar 31, 2024 1.9% 1.4% 1.5% 1.6%
Dec 31, 2023 2.6  1.8  0.4  (0.7)
Sep 30, 2023 3.3  1.9  (2.0) (5.2)
Jun 30, 2023 5.7  2.9  (2.9) (7.9)
Mar 31, 2023 4.2  2.4  (2.4) (7.3)

 

Ramp Scenario+200 Basis Points +100 Basis Points -100 Basis Points -200 Basis Points
Mar 31, 20240.8% 0.6% 1.3% 2.0%
Dec 31, 20231.6  1.2  (0.3) (1.5)
Sep 30, 20231.7  1.2  (0.5) (2.4)
Jun 30, 20232.9  1.8  (0.9) (3.4)
Mar 31, 20233.0  1.7  (1.3) (3.4)

As shown above, the magnitude of potential changes in net interest income in various interest rate scenarios has continued to diminish. Given the recent unprecedented rise in interest rates, the Company has made a conscious effort to reposition its exposure to changing interest rates given the uncertainty of the future interest rate environment. To this end, management has executed various derivative instruments including collars and receive fixed swaps to hedge variable rate loan exposures and originated a higher percentage of its loan originations in longer term fixed rate loans. The Company will continue to monitor current and projected interest rates and may execute additional derivatives to mitigate potential fluctuations in the net interest margin in future years.

TABLE 8: MATURITIES AND SENSITIVITIES TO CHANGES IN INTEREST RATES

 Loans repricing or contractual maturity period
As of March 31, 2024One year or
less		 From one to
five years		 From five to fifteen years After fifteen years Total
(In thousands)    
Commercial         
Fixed rate$446,377  $3,035,619  $1,778,737  $38,598  $5,299,331 
Variable rate 8,202,814   1,336   —   —   8,204,150 
Total commercial$8,649,191  $3,036,955  $1,778,737  $38,598  $13,503,481 
Commercial real estate         
Fixed rate 507,960   2,472,599   364,499   53,492   3,398,550 
Variable rate 8,218,443   16,406   38   —   8,234,887 
Total commercial real estate$8,726,403  $2,489,005  $364,537  $53,492  $11,633,437 
Home equity         
Fixed rate 9,684   3,551   —   26   13,261 
Variable rate 327,088   —   —   —   327,088 
Total home equity$336,772  $3,551  $—  $26  $340,349 
Residential real estate         
Fixed rate 19,856   3,515   30,517   1,045,088   1,098,976 
Variable rate 79,739   315,526   1,396,025   —   1,791,290 
Total residential real estate$99,595  $319,041  $1,426,542  $1,045,088  $2,890,266 
Premium finance receivables - property & casualty         
Fixed rate 6,827,182   112,837   —   —   6,940,019 
Variable rate —   —   —   —   — 
Total premium finance receivables - property & casualty$6,827,182  $112,837  $—  $—  $6,940,019 
Premium finance receivables - life insurance         
Fixed rate 4,452   594,634   4,000   6,991   610,077 
Variable rate 7,261,956   —   —   —   7,261,956 
Total premium finance receivables - life insurance$7,266,408  $594,634  $4,000  $6,991  $7,872,033 
Consumer and other         
Fixed rate 4,139   5,683   9   460   10,291 
Variable rate 40,830   —   —   —   40,830 
Total consumer and other$44,969  $5,683  $9  $460  $51,121 
          
Total per category         
Fixed rate 7,819,650   6,228,438   2,177,762   1,144,655   17,370,505 
Variable rate 24,130,870   333,268   1,396,063   —   25,860,201 
Total loans, net of unearned income$31,950,520  $6,561,706  $3,573,825  $1,144,655  $43,230,706 
          
Variable Rate Loan Pricing by Index:         
SOFR tenors        $14,880,310 
One- year CMT         6,112,917 
Prime         3,341,033 
Fed Funds         1,039,799 
Ameribor tenors         284,141 
Other U.S. Treasury tenors         124,941 
Other         77,060 
Total variable rate        $25,860,201 

SOFR - Secured Overnight Financing Rate.
CMT - Constant Maturity Treasury Rate.
Ameribor - American Interbank Offered Rate.

Graph available at the following link:
http://ml.globenewswire.com/Resource/Download/d1a58f1e-d3c0-4ab2-ba56-53947fd2c22b

Source: Bloomberg

As noted in the table on the previous page, the majority of the Company’s portfolio is tied to SOFR and CMT indices which, as shown in the table above, do not mirror the same changes as the Prime rate which has historically moved when the Federal Reserve raises or lowers interest rates. Specifically, the Company has variable rate loans of $11.6 billion tied to one-month SOFR and $6.1 billion tied to one-year CMT. The above chart shows:

  Basis Point (bp) Change in
  1-month
SOFR		 One- year CMT Prime 
First Quarter 2024 (2)bps24 bps0bps
Fourth Quarter 2023 3  (67) 0 
Third Quarter 2023 18  6  25 
Second Quarter 2023 34  76  25 
First Quarter 2023 44  (9) 50 

 

TABLE 9: ALLOWANCE FOR CREDIT LOSSES

  Three Months Ended
  Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(Dollars in thousands)  2024   2023   2023   2023   2023 
Allowance for credit losses at beginning of period $427,612  $399,531  $387,786  $376,261  $357,936 
Cumulative effect adjustment from the adoption of ASU 2022-02  —   —   —   —   741 
Provision for credit losses  21,673   42,908   19,923   28,514   23,045 
Other adjustments  (31)  62   (60)  41   4 
Charge-offs:          
Commercial  11,215   5,114   2,427   5,629   2,543 
Commercial real estate  5,469   5,386   1,713   8,124   5 
Home equity  74   —   227   —   — 
Residential real estate  38   114   78   —   — 
Premium finance receivables - property & casualty  6,938   6,706   5,830   4,519   4,629 
Premium finance receivables - life insurance  —   —   18   134   21 
Consumer and other  107   148   184   110   153 
Total charge-offs  23,841   17,468   10,477   18,516   7,351 
Recoveries:          
Commercial  479   592   1,162   505   392 
Commercial real estate  31   92   243   25   100 
Home equity  29   34   33   37   35 
Residential real estate  2   10   1   6   4 
Premium finance receivables - property & casualty  1,519   1,820   906   890   1,314 
Premium finance receivables - life insurance  8   7   —   —   9 
Consumer and other  23   24   14   23   32 
Total recoveries  2,091   2,579   2,359   1,486   1,886 
Net charge-offs  (21,750)  (14,889)  (8,118)  (17,030)  (5,465)
Allowance for credit losses at period end $427,504  $427,612  $399,531  $387,786  $376,261 
           
Annualized net charge-offs (recoveries) by category as a percentage of its own respective category’s average:
Commercial  0.33%  0.14%  0.04%  0.16%  0.07%
Commercial real estate  0.19   0.19   0.05   0.31   0.00 
Home equity  0.05   (0.04)  0.23   (0.04)  (0.04)
Residential real estate  0.01   0.02   0.01   0.00   0.00 
Premium finance receivables - property & casualty  0.32   0.29   0.29   0.24   0.23 
Premium finance receivables - life insurance  (0.00)  (0.00)  0.00   0.01   0.00 
Consumer and other  0.42   0.58   0.65   0.45   0.74 
Total loans, net of unearned income  0.21%  0.14%  0.08%  0.17%  0.06%
           
Loans at period end $43,230,706  $42,131,831  $41,446,032  $41,023,408  $39,565,471 
Allowance for loan losses as a percentage of loans at period end  0.81%  0.82%  0.76%  0.74%  0.73%
Allowance for loan and unfunded lending-related commitment losses as a percentage of loans at period end  0.99   1.01   0.96   0.94   0.95 

 

TABLE 10: ALLOWANCE AND PROVISION FOR CREDIT LOSSES BY COMPONENT

  Three Months Ended
  Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(In thousands)  2024   2023   2023   2023   2023 
Provision for loan losses $26,159  $44,023  $20,717  $31,516  $22,520 
Provision for unfunded lending-related commitments losses  (4,468)  (1,081)  (769)  (2,945)  550 
Provision for held-to-maturity securities losses  (18)  (34)  (25)  (57)  (25)
Provision for credit losses $21,673  $42,908  $19,923  $28,514  $23,045 
           
Allowance for loan losses $348,612  $344,235  $315,039  $302,499  $287,972 
Allowance for unfunded lending-related commitments losses  78,563   83,030   84,111   84,881   87,826 
Allowance for loan losses and unfunded lending-related commitments losses  427,175   427,265   399,150   387,380   375,798 
Allowance for held-to-maturity securities losses  329   347   381   406   463 
Allowance for credit losses $427,504  $427,612  $399,531  $387,786  $376,261 

 

TABLE 11: ALLOWANCE BY LOAN PORTFOLIO

The table below summarizes the calculation of allowance for loan losses and allowance for unfunded lending-related commitments losses for the Company’s loan portfolios as well as core and niche portfolios, as of March 31, 2024, December 31, 2023 and September 30, 2023.

 As of Mar 31, 2024As of Dec 31, 2023As of Sep 30, 2023
(Dollars in thousands)Recorded
Investment		 Calculated
Allowance		 % of its
category’s balance		Recorded
Investment		 Calculated
Allowance		 % of its
category’s balance		Recorded
Investment		 Calculated
Allowance		 % of its
category’s balance
Commercial:               
Commercial, industrial and other$13,503,481 $166,518 1.23%$12,832,053 $169,604 1.32%$12,725,473 $151,488 1.19%
Commercial real estate:               
Construction and development 2,150,314  96,052 4.47  2,084,041  94,081 4.51  1,893,773  90,622 4.79 
Non-construction 9,483,123  130,000 1.37  9,260,123  129,772 1.40  9,052,407  125,096 1.38 
Home equity 340,349  7,191 2.11  343,976  7,116 2.07  343,258  7,080 2.06 
Residential real estate 2,890,266  13,701 0.47  2,769,666  13,133 0.47  2,707,603  12,659 0.47 
Premium finance receivables               
Property and casualty insurance 6,940,019  12,645 0.18  6,903,529  12,384 0.18  6,722,747  11,132 0.17 
Life insurance 7,872,033  685 0.01  7,877,943  685 0.01  7,931,808  688 0.01 
Consumer and other 51,121  383 0.75  60,500  490 0.81  68,963  385 0.56 
Total loans, net of unearned income$43,230,706 $427,175 0.99%$42,131,831 $427,265 1.01%$41,446,032 $399,150 0.96%
                
Total core loans (1)$25,402,132 $382,372 1.51%$24,592,729 $380,847 1.55%$24,088,651 $363,873 1.51%
Total niche loans (1) 17,828,574  44,803 0.25  17,539,102  46,418 0.26  17,357,381  35,277 0.20 
                

(1) See Table 1 for additional detail on core and niche loans.

TABLE 12: LOAN PORTFOLIO AGING

(In thousands) Mar 31, 2024 Dec 31, 2023 Sep 30, 2023 Jun 30, 2023 Mar 31, 2023
Loan Balances:          
Commercial          
Nonaccrual $31,740  $38,940  $43,569  $40,460  $47,950 
90+ days and still accruing  27   98   200   573   — 
60-89 days past due  30,248   19,488   22,889   22,808   10,755 
30-59 days past due  77,715   85,743   35,681   48,970   95,593 
Current  13,363,751   12,687,784   12,623,134   12,487,660   12,422,687 
Total commercial $13,503,481  $12,832,053  $12,725,473  $12,600,471  $12,576,985 
Commercial real estate          
Nonaccrual $39,262  $35,459  $17,043  $18,483  $11,196 
90+ days and still accruing  —   —   1,092   —   — 
60-89 days past due  16,713   8,515   7,395   1,054   20,539 
30-59 days past due  32,998   20,634   60,984   14,218   72,680 
Current  11,544,464   11,279,556   10,859,666   10,575,056   10,134,663 
Total commercial real estate $11,633,437  $11,344,164  $10,946,180  $10,608,811  $10,239,078 
Home equity          
Nonaccrual $838  $1,341  $1,363  $1,361  $1,190 
90+ days and still accruing  —   —   —   110   — 
60-89 days past due  212   62   219   316   116 
30-59 days past due  1,617   2,263   1,668   601   1,118 
Current  337,682   340,310   340,008   334,586   334,592 
Total home equity $340,349  $343,976  $343,258  $336,974  $337,016 
Residential real estate          
Early buy-out loans guaranteed by U.S. government agencies (1) $143,350  $150,583  $168,973  $187,848  $196,152 
Nonaccrual  17,901   15,391   16,103   13,652   11,333 
90+ days and still accruing  —   —   —   —   104 
60-89 days past due  —   2,325   1,145   7,243   74 
30-59 days past due  24,523   22,942   904   872   19,183 
Current  2,704,492   2,578,425   2,520,478   2,433,625   2,278,699 
Total residential real estate $2,890,266  $2,769,666  $2,707,603  $2,643,240  $2,505,545 
Premium finance receivables - property & casualty          
Nonaccrual $32,648  $27,590  $26,756  $19,583  $18,543 
90+ days and still accruing  25,877   20,135   16,253   12,785   9,215 
60-89 days past due  15,274   23,236   16,552   22,670   14,287 
30-59 days past due  59,729   50,437   31,919   32,751   32,545 
Current  6,806,491   6,782,131   6,631,267   6,674,909   5,664,290 
Total Premium finance receivables - property & casualty $6,940,019  $6,903,529  $6,722,747  $6,762,698  $5,738,880 
Premium finance receivables - life insurance          
Nonaccrual $—  $—  $—  $6  $— 
90+ days and still accruing  —   —   10,679   1,667   1,066 
60-89 days past due  32,482   16,206   41,894   3,729   21,552 
30-59 days past due  100,137   45,464   14,972   90,117   52,975 
Current  7,739,414   7,816,273   7,864,263   7,943,754   8,050,209 
Total Premium finance receivables - life insurance $7,872,033  $7,877,943  $7,931,808  $8,039,273  $8,125,802 
Consumer and other          
Nonaccrual $19  $22  $16  $4  $6 
90+ days and still accruing  47   54   27   28   87 
60-89 days past due  16   25   196   51   10 
30-59 days past due  210   165   519   146   379 
Current  50,829   60,234   68,205   31,712   41,683 
Total consumer and other $51,121  $60,500  $68,963  $31,941  $42,165 
Total loans, net of unearned income          
Early buy-out loans guaranteed by U.S. government agencies (1) $143,350  $150,583  $168,973  $187,848  $196,152 
Nonaccrual  122,408   118,743   104,850   93,549   90,218 
90+ days and still accruing  25,951   20,287   28,251   15,163   10,472 
60-89 days past due  94,945   69,857   90,290   57,871   67,333 
30-59 days past due  296,929   227,648   146,647   187,675   274,473 
Current  42,547,123   41,544,713   40,907,021   40,481,302   38,926,823 
Total loans, net of unearned income $43,230,706  $42,131,831  $41,446,032  $41,023,408  $39,565,471 

(1) Early buy-out loans are insured or guaranteed by the Federal Housing Administration or the U.S. Department of Veterans Affairs, subject to indemnifications and insurance limits for certain loans.

TABLE 13: NON-PERFORMING ASSETS(1)

 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(Dollars in thousands) 2024   2023   2023   2023   2023 
Loans past due greater than 90 days and still accruing:         
Commercial$27  $98  $200  $573  $— 
Commercial real estate —   —   1,092   —   — 
Home equity —   —   —   110   — 
Residential real estate —   —   —   —   104 
Premium finance receivables - property & casualty 25,877   20,135   16,253   12,785   9,215 
Premium finance receivables - life insurance —   —   10,679   1,667   1,066 
Consumer and other 47   54   27   28   87 
Total loans past due greater than 90 days and still accruing 25,951   20,287   28,251   15,163   10,472 
Non-accrual loans:         
Commercial 31,740   38,940   43,569   40,460   47,950 
Commercial real estate 39,262   35,459   17,043   18,483   11,196 
Home equity 838   1,341   1,363   1,361   1,190 
Residential real estate 17,901   15,391   16,103   13,652   11,333 
Premium finance receivables - property & casualty 32,648   27,590   26,756   19,583   18,543 
Premium finance receivables - life insurance —   —   —   6   — 
Consumer and other 19   22   16   4   6 
Total non-accrual loans 122,408   118,743   104,850   93,549   90,218 
Total non-performing loans:         
Commercial 31,767   39,038   43,769   41,033   47,950 
Commercial real estate 39,262   35,459   18,135   18,483   11,196 
Home equity 838   1,341   1,363   1,471   1,190 
Residential real estate 17,901   15,391   16,103   13,652   11,437 
Premium finance receivables - property & casualty 58,525   47,725   43,009   32,368   27,758 
Premium finance receivables - life insurance —   —   10,679   1,673   1,066 
Consumer and other 66   76   43   32   93 
Total non-performing loans$148,359  $139,030  $133,101  $108,712  $100,690 
Other real estate owned 14,538   13,309   14,060   11,586   9,361 
Total non-performing assets$162,897  $152,339  $147,161  $120,298  $110,051 
Total non-performing loans by category as a percent of its own respective category’s period-end balance:         
Commercial 0.24%  0.30%  0.34%  0.33%  0.38%
Commercial real estate 0.34   0.31   0.17   0.17   0.11 
Home equity 0.25   0.39   0.40   0.44   0.35 
Residential real estate 0.62   0.56   0.59   0.52   0.46 
Premium finance receivables - property & casualty 0.84   0.69   0.64   0.48   0.48 
Premium finance receivables - life insurance —   —   0.13   0.02   0.01 
Consumer and other 0.13   0.13   0.06   0.10   0.22 
Total loans, net of unearned income 0.34%  0.33%  0.32%  0.26%  0.25%
Total non-performing assets as a percentage of total assets 0.28%  0.27%  0.26%  0.22%  0.21%
Allowance for loan losses and unfunded lending-related commitments losses as a percentage of non-accrual loans 348.98%  359.82%  380.69%  414.09%  416.54%
          

(1) Excludes early buy-out loans guaranteed by U.S. government agencies. Early buy-out loans are insured or guaranteed by the Federal Housing Administration or the U.S. Department of Veterans Affairs, subject to indemnifications and insurance limits for certain loans.

Non-performing Loans Rollforward, excluding early buy-out loans guaranteed by U.S. government agencies

 Three Months Ended
 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(In thousands) 2024   2023   2023   2023   2023 
          
Balance at beginning of period$139,030  $133,101  $108,712  $100,690  $100,697 
Additions from becoming non-performing in the respective period 23,142   59,010   18,666   21,246   24,455 
Return to performing status (490)  (24,469)  (1,702)  (360)  (480)
Payments received (8,336)  (10,000)  (6,488)  (12,314)  (5,261)
Transfer to OREO and other repossessed assets (1,381)  (2,623)  (2,671)  (2,958)  — 
Charge-offs, net (14,810)  (9,480)  (3,011)  (2,696)  (1,159)
Net change for niche loans (1) 11,204   (6,509)  19,595   5,104   (17,562)
Balance at end of period$148,359  $139,030  $133,101  $108,712  $100,690 

(1) Includes activity for premium finance receivables and indirect consumer loans.

Other Real Estate Owned

 Three Months Ended
 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(In thousands) 2024   2023   2023   2023   2023 
Balance at beginning of period$13,309  $14,060  $11,586  $9,361  $9,900 
Disposals/resolved —   (3,416)  (467)  (733)  (435)
Transfers in at fair value, less costs to sell 1,436   2,665   2,941   2,958   — 
Fair value adjustments (207)  —   —   —   (104)
Balance at end of period$14,538  $13,309  $14,060  $11,586  $9,361 
          
 Period End
 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
Balance by Property Type: 2024   2023   2023   2023   2023 
Residential real estate$720  $720  $441  $318  $1,051 
Residential real estate development 426   —   —   —   — 
Commercial real estate 13,392   12,589   13,619   11,268   8,310 
Total$14,538  $13,309  $14,060  $11,586  $9,361 

 

TABLE 14: NON-INTEREST INCOME

 Three Months Ended Q1 2024 compared to
Q4 2023		 Q1 2024 compared to
Q1 2023
 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,  
(Dollars in thousands) 2024   2023   2023   2023  2023  $ Change % Change $ Change % Change
Brokerage$5,556  $5,349  $4,359  $4,404 $4,533  $207  4% $1,023  23%
Trust and asset management 29,259   27,926   29,170   29,454  25,412   1,333  5   3,847  15 
Total wealth management 34,815   33,275   33,529   33,858  29,945   1,540  5   4,870  16 
Mortgage banking 27,663   7,433   27,395   29,981  18,264   20,230  NM  9,399  51 
Service charges on deposit accounts 14,811   14,522   14,217   13,608  12,903   289  2   1,908  15 
Gains (losses) on investment securities, net 1,326   2,484   (2,357)  0  1,398   (1,158) (47)  (72) (5)
Fees from covered call options 4,847   4,679   4,215   2,578  10,391   168  4   (5,544) (53)
Trading gains (losses), net 677   (505)  728   106  813   1,182  NM  (136) (17)
Operating lease income, net 14,110   14,162   13,863   12,227  13,046   (52) 0   1,064  8 
Other:                 
Interest rate swap fees 2,828   4,021   2,913   2,711  2,606   (1,193) (30)  222  9 
BOLI 1,651   1,747   729   1,322  1,351   (96) (5)  300  22 
Administrative services 1,217   1,329   1,336   1,319  1,615   (112) (8)  (398) (25)
Foreign currency remeasurement (losses) gains (1,171)  1,150   (446)  543  (188)  (2,321) NM  (983) NM
Early pay-offs of capital leases 430   157   461   201  365   273  NM  65  18 
Miscellaneous 37,376   16,375   15,895   14,576  15,260   21,001  NM  22,116  NM
Total Other 42,331   24,779   20,888   20,672  21,009   17,552  71   21,322  NM
Total Non-Interest Income$140,580  $100,829  $112,478  $113,030 $107,769  $39,751  39% $32,811  30%

NM - Not meaningful.
BOLI - Bank-owned life insurance.

TABLE 15: NON-INTEREST EXPENSE

 Three Months Ended Q1 2024 compared to
Q4 2023		 Q1 2024 compared to
Q1 2023
 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,  
(Dollars in thousands) 2024  2023   2023  2023  2023  $ Change % Change $ Change % Change
Salaries and employee benefits:                 
Salaries$112,172 $111,484  $111,303 $107,671 $108,354  $688  1% $3,818  4%
Commissions and incentive compensation 51,001  48,974   48,817  44,511  39,799   2,027  4   11,202  28 
Benefits 32,000  33,513   32,218  32,741  28,628   (1,513) (5)  3,372  12 
Total salaries and employee benefits 195,173  193,971   192,338  184,923  176,781   1,202  1   18,392  10 
Software and equipment 27,731  27,779   25,951  26,205  24,697   (48) 0   3,034  12 
Operating lease equipment 10,683  10,694   12,020  9,816  9,833   (11) 0   850  9 
Occupancy, net 19,086  18,102   21,304  19,176  18,486   984  5   600  3 
Data processing 9,292  8,892   10,773  9,726  9,409   400  4   (117) (1)
Advertising and marketing 13,040  17,166   18,169  17,794  11,946   (4,126) (24)  1,094  9 
Professional fees 9,553  8,768   8,887  8,940  8,163   785  9   1,390  17 
Amortization of other acquisition-related intangible assets 1,158  1,356   1,408  1,499  1,235   (198) (15)  (77) (6)
FDIC insurance 9,381  9,303   9,748  9,008  8,669   78  1   712  8 
FDIC insurance - special assessment 5,156  34,374   —  —  —   (29,218) (85)  5,156  NM
OREO expense, net 392  (1,559)  120  118  (207)  1,951  NM  599  NM
Other:                 
Lending expenses, net of deferred origination costs 5,078  5,330   4,777  7,890  3,099   (252) (5)  1,979  64 
Travel and entertainment 4,597  5,754   5,449  5,401  4,590   (1,157) (20)  7  0 
Miscellaneous 22,825  22,722   19,111  20,127  22,468   103  0   357  2 
Total other 32,500  33,806   29,337  33,418  30,157   (1,306) (4)  2,343  8 
Total Non-Interest Expense$333,145 $362,652  $330,055 $320,623 $299,169  $(29,507) (8)% $33,976  11%

NM - Not meaningful.

TABLE 16: SUPPLEMENTAL NON-GAAP FINANCIAL MEASURES/RATIOS

The accounting and reporting policies of Wintrust conform to generally accepted accounting principles (“GAAP”) in the United States and prevailing practices in the banking industry. However, certain non-GAAP performance measures and ratios are used by management to evaluate and measure the Company’s performance. These include taxable-equivalent net interest income (including its individual components), taxable-equivalent net interest margin (including its individual components), the taxable-equivalent efficiency ratio, tangible common equity ratio, tangible book value per common share, return on average tangible common equity, and pre-tax income, excluding provision for credit losses. Management believes that these measures and ratios provide users of the Company’s financial information a more meaningful view of the performance of the Company’s interest-earning assets and interest-bearing liabilities and of the Company’s operating efficiency. Other financial holding companies may define or calculate these measures and ratios differently.

Management reviews yields on certain asset categories and the net interest margin of the Company and its banking subsidiaries on a fully taxable-equivalent basis. In this non-GAAP presentation, net interest income is adjusted to reflect tax-exempt interest income on an equivalent before-tax basis using tax rates effective as of the end of the period. This measure ensures comparability of net interest income arising from both taxable and tax-exempt sources. Net interest income on a fully taxable-equivalent basis is also used in the calculation of the Company’s efficiency ratio. The efficiency ratio, which is calculated by dividing non-interest expense by total taxable-equivalent net revenue (less securities gains or losses), measures how much it costs to produce one dollar of revenue. Securities gains or losses are excluded from this calculation to better match revenue from daily operations to operational expenses. Management considers the tangible common equity ratio and tangible book value per common share as useful measurements of the Company’s equity. The Company references the return on average tangible common equity as a measurement of profitability. Management considers pre-tax income, excluding provision for credit losses, as a useful measurement of the Company’s core net income.

 Three Months Ended
 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(Dollars and shares in thousands) 2024   2023   2023   2023   2023 
Reconciliation of Non-GAAP Net Interest Margin and Efficiency Ratio:
(A) Interest Income (GAAP)$805,513  $793,848  $762,400  $697,176  $639,690 
Taxable-equivalent adjustment:         
- Loans 2,246   2,150   1,923   1,882   1,872 
- Liquidity Management Assets 550   575   572   551   551 
- Other Earning Assets 5   4   1   1   4 
(B) Interest Income (non-GAAP)$808,314  $796,577  $764,896  $699,610  $642,117 
(C) Interest Expense (GAAP) 341,319   323,874   300,042   249,639   181,695 
(D) Net Interest Income (GAAP) (A minus C)$464,194  $469,974  $462,358  $447,537  $457,995 
(E) Net Interest Income (non-GAAP) (B minus C)$466,995  $472,703  $464,854  $449,971  $460,422 
Net interest margin (GAAP) 3.57%  3.62%  3.60%  3.64%  3.81%
Net interest margin, fully taxable-equivalent (non-GAAP) 3.59   3.64   3.62   3.66   3.83 
(F) Non-interest income$140,580  $100,829  $112,478  $113,030  $107,769 
(G) (Losses) gains on investment securities, net 1,326   2,484   (2,357)  0   1,398 
(H) Non-interest expense 333,145   362,652   330,055   320,623   299,169 
Efficiency ratio (H/(D+F-G)) 55.21%  63.81%  57.18%  57.20%  53.01%
Efficiency ratio (non-GAAP) (H/(E+F-G)) 54.95   63.51   56.94   56.95   52.78 
 Three Months Ended
 Mar 31, Dec 31, Sep 30, Jun 30, Mar 31,
(Dollars and shares in thousands) 2024   2023   2023   2023   2023 
Reconciliation of Non-GAAP Tangible Common Equity Ratio:
Total shareholders’ equity (GAAP)$5,436,400  $5,399,526  $5,015,613  $5,041,912  $5,015,506 
Less: Non-convertible preferred stock (GAAP) (412,500)  (412,500)  (412,500)  (412,500)  (412,500)
Less: Intangible assets (GAAP) (677,911)  (679,561)  (680,353)  (682,327)  (674,538)
(I) Total tangible common shareholders’ equity (non-GAAP)$4,345,989  $4,307,465  $3,922,760  $3,947,085  $3,928,468 
(J) Total assets (GAAP)$57,576,933  $56,259,934  $55,555,246  $54,286,176  $52,873,511 
Less: Intangible assets (GAAP) (677,911)  (679,561)  (680,353)  (682,327)  (674,538)
(K) Total tangible assets (non-GAAP)$56,899,022  $55,580,373  $54,874,893  $53,603,849  $52,198,973 
Common equity to assets ratio (GAAP) (L/J) 8.7%  8.9%  8.3%  8.5%  8.7%
Tangible common equity ratio (non-GAAP) (I/K) 7.6   7.7   7.1   7.4   7.5 

 

Reconciliation of Non-GAAP Tangible Book Value per Common Share:
Total shareholders’ equity$5,436,400  $5,399,526  $5,015,613  $5,041,912  $5,015,506 
Less: Preferred stock (412,500)  (412,500)  (412,500)  (412,500)  (412,500)
(L) Total common equity$5,023,900  $4,987,026  $4,603,113  $4,629,412  $4,603,006 
(M) Actual common shares outstanding 61,737   61,244   61,222   61,198   61,176 
Book value per common share (L/M)$81.38  $81.43  $75.19  $75.65  $75.24 
Tangible book value per common share (non-GAAP) (I/M) 70.40   70.33   64.07   64.50   64.22 
          
Reconciliation of Non-GAAP Return on Average Tangible Common Equity:
(N) Net income applicable to common shares$180,303  $116,489  $157,207  $147,759  $173,207 
Add: Intangible asset amortization 1,158   1,356   1,408   1,499   1,235 
Less: Tax effect of intangible asset amortization (291)  (343)  (380)  (402)  (321)
After-tax intangible asset amortization$867  $1,013  $1,028  $1,097  $914 
(O) Tangible net income applicable to common shares (non-GAAP)$181,170  $117,502  $158,235  $148,856  $174,121 
Total average shareholders’ equity$5,440,457  $5,066,196  $5,083,883  $5,044,718  $4,895,271 
Less: Average preferred stock (412,500)  (412,500)  (412,500)  (412,500)  (412,500)
(P) Total average common shareholders’ equity$5,027,957  $4,653,696  $4,671,383  $4,632,218  $4,482,771 
Less: Average intangible assets (678,731)  (679,812)  (681,520)  (682,561)  (675,247)
(Q) Total average tangible common shareholders’ equity (non-GAAP)$4,349,226  $3,973,884  $3,989,863  $3,949,657  $3,807,524 
Return on average common equity, annualized (N/P) 14.42%  9.93%  13.35%  12.79%  15.67%
Return on average tangible common equity, annualized (non-GAAP) (O/Q) 16.75   11.73   15.73   15.12   18.55 
          
Reconciliation of Non-GAAP Pre-Tax, Pre-Provision Income:  
Income before taxes$249,956  $165,243  $224,858  $211,430  $243,550 
Add: Provision for credit losses 21,673   42,908   19,923   28,514   23,045 
Pre-tax income, excluding provision for credit losses (non-GAAP)$271,629  $208,151  $244,781  $239,944  $266,595 

 

WINTRUST SUBSIDIARIES AND LOCATIONS

Wintrust is a financial holding company whose common stock is traded on the Nasdaq Global Select Market (Nasdaq: WTFC). Its 15 community bank subsidiaries are: Lake Forest Bank & Trust Company, N.A., Hinsdale Bank & Trust Company, N.A., Wintrust Bank, N.A., in Chicago, Libertyville Bank & Trust Company, N.A., Barrington Bank & Trust Company, N.A., Crystal Lake Bank & Trust Company, N.A., Northbrook Bank & Trust Company, N.A., Schaumburg Bank & Trust Company, N.A., Village Bank & Trust, N.A., in Arlington Heights, Beverly Bank & Trust Company, N.A. in Chicago, Wheaton Bank & Trust Company, N.A., State Bank of The Lakes, N.A., in Antioch, Old Plank Trail Community Bank, N.A., in New Lenox, St. Charles Bank & Trust Company, N.A. and Town Bank, N.A., in Hartland, Wisconsin.

In addition to the locations noted above, the banks also operate facilities in Illinois in Addison, Algonquin, Aurora, Bloomingdale, Bolingbrook, Buffalo Grove, Burbank, Cary, Clarendon Hills, Countryside, Crete, Darien, Deerfield, Des Plaines, Downers Grove, Elgin, Elk Grove Village, Elmhurst, Evanston, Evergreen Park, Frankfort, Geneva, Glen Ellyn, Glencoe, Glenview, Grayslake, Gurnee, Hanover Park, Hawthorn Woods, Highland Park, Highwood, Hoffman Estates, Homer Glen, Itasca, Joliet, Lake Bluff, Lake Villa, Lansing, Lemont, Lindenhurst, Lombard, Lynwood, Markham, Maywood, McHenry, Mokena, Mount Prospect, Mundelein, Naperville, Norridge, Northfield, Oak Lawn, Oak Park, Orland Park, Palatine, Park Ridge, Prospect Heights, Riverside, Rockford, Rolling Meadows, Round Lake Beach, Shorewood, Skokie, Spring Grove, Steger, Stone Park, Vernon Hills, Wauconda, Waukegan, Western Springs, Willowbrook, Wilmette, Winnetka and Wood Dale, and in Wisconsin in Burlington, Clinton, Delafield, Delavan, Elm Grove, Genoa City, Kenosha, Lake Geneva, Madison, Menomonee Falls, Milwaukee, Pewaukee, Racine, Wales, Walworth, Whitefish Bay and Wind Lake, and in Florida in Bonita Springs and Naples, and in Indiana in Crown Point and Dyer.

Additionally, the Company operates various non-bank business units:

  • FIRST Insurance Funding and Wintrust Life Finance, each a division of Lake Forest Bank & Trust Company, N.A., serve commercial and life insurance loan customers, respectively, throughout the United States.
  • First Insurance Funding of Canada serves commercial insurance loan customers throughout Canada.
  • Tricom, Inc. of Milwaukee provides high-yielding, short-term accounts receivable financing and value-added out-sourced administrative services, such as data processing of payrolls, billing and cash management services, to temporary staffing service clients located throughout the United States.
  • Wintrust Mortgage, a division of Barrington Bank & Trust Company, N.A., engages primarily in the origination and purchase of residential mortgages for sale into the secondary market through origination offices located throughout the United States. Loans are also originated nationwide through relationships with wholesale and correspondent offices.
  • Wintrust Investments, LLC is a broker-dealer providing a full range of private client and brokerage services to clients and correspondent banks located primarily in the Midwest.
  • Great Lakes Advisors LLC provides money management services and advisory services to individual accounts.
  • The Chicago Trust Company, N.A., a trust subsidiary, allows Wintrust to service customers’ trust and investment needs at each banking location.
  • Wintrust Asset Finance offers direct leasing opportunities.
  • CDEC provides Qualified Intermediary services (as defined by U.S. Treasury regulations) for taxpayers seeking to structure tax-deferred like-kind exchanges under Internal Revenue Code Section 1031.

FORWARD-LOOKING STATEMENTS

This document contains forward-looking statements within the meaning of federal securities laws. Forward-looking information can be identified through the use of words such as “intend,” “plan,” “project,” “expect,” “anticipate,” “believe,” “estimate,” “contemplate,” “possible,” “will,” “may,” “should,” “would” and “could.” Forward-looking statements and information are not historical facts, are premised on many factors and assumptions, and represent only management’s expectations, estimates and projections regarding future events. Similarly, these statements are not guarantees of future performance and involve certain risks and uncertainties that are difficult to predict, and which may include, but are not limited to, those listed below and the Risk Factors discussed under Item 1A of the Company’s 2023 Annual Report on Form 10-K and in any of the Company’s subsequent SEC filings. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995, and is including this statement for purposes of invoking these safe harbor provisions. Such forward-looking statements may be deemed to include, among other things, statements relating to the Company’s future financial performance, the performance of its loan portfolio, the expected amount of future credit reserves and charge-offs, delinquency trends, growth plans, regulatory developments, securities that the Company may offer from time to time, plans to form additional de novo banks or branch offices, and management’s long-term performance goals, as well as statements relating to the anticipated effects on the Company’s financial condition and results of operations from expected developments or events, the Company’s business and growth strategies, including future acquisitions of banks, specialty finance or wealth management businesses, internal growth and plans to form additional de novo banks or branch offices. Actual results could differ materially from those addressed in the forward-looking statements as a result of numerous factors, including the following:

  • economic conditions and events that affect the economy, housing prices, the job market and other factors that may adversely affect the Company’s liquidity and the performance of its loan portfolios, including an actual or threatened U.S. government debt default or rating downgrade, particularly in the markets in which it operates;
  • negative effects suffered by us or our customers resulting from changes in U.S. trade policies;
  • the extent of defaults and losses on the Company’s loan portfolio, which may require further increases in its allowance for credit losses;
  • estimates of fair value of certain of the Company’s assets and liabilities, which could change in value significantly from period to period;
  • the financial success and economic viability of the borrowers of our commercial loans;
  • commercial real estate market conditions in the Chicago metropolitan area and southern Wisconsin;
  • the extent of commercial and consumer delinquencies and declines in real estate values, which may require further increases in the Company’s allowance for credit losses;
  • inaccurate assumptions in our analytical and forecasting models used to manage our loan portfolio;
  • changes in the level and volatility of interest rates, the capital markets and other market indices that may affect, among other things, the Company’s liquidity and the value of its assets and liabilities;
  • the interest rate environment, including a prolonged period of low interest rates or rising interest rates, either broadly or for some types of instruments, which may affect the Company’s net interest income and net interest margin, and which could materially adversely affect the Company’s profitability;
  • competitive pressures in the financial services business which may affect the pricing of the Company’s loan and deposit products as well as its services (including wealth management services), which may result in loss of market share and reduced income from deposits, loans, advisory fees and income from other products;
  • failure to identify and complete favorable acquisitions in the future or unexpected losses, difficulties or developments related to the Company’s recent or future acquisitions;
  • unexpected difficulties and losses related to FDIC-assisted acquisitions;
  • harm to the Company’s reputation;
  • any negative perception of the Company’s financial strength;
  • ability of the Company to raise additional capital on acceptable terms when needed;
  • disruption in capital markets, which may lower fair values for the Company’s investment portfolio;
  • ability of the Company to use technology to provide products and services that will satisfy customer demands and create efficiencies in operations and to manage risks associated therewith;
  • failure or breaches of our security systems or infrastructure, or those of third parties;
  • security breaches, including denial of service attacks, hacking, social engineering attacks, malware intrusion and similar events or data corruption attempts and identity theft;
  • adverse effects on our information technology systems, or those of third parties, resulting from failures, human error or cyberattacks (including ransomware);
  • adverse effects of failures by our vendors to provide agreed upon services in the manner and at the cost agreed, particularly our information technology vendors;
  • increased costs as a result of protecting our customers from the impact of stolen debit card information;
  • accuracy and completeness of information the Company receives about customers and counterparties to make credit decisions;
  • ability of the Company to attract and retain senior management experienced in the banking and financial services industries, and ability of the Company to effectively manage the transition of the chief executive officer role;
  • environmental liability risk associated with lending activities;
  • the impact of any claims or legal actions to which the Company is subject, including any effect on our reputation;
  • losses incurred in connection with repurchases and indemnification payments related to mortgages and increases in reserves associated therewith;
  • the loss of customers as a result of technological changes allowing consumers to complete their financial transactions without the use of a bank;
  • the soundness of other financial institutions and the impact of recent failures of financial institutions, including broader financial institution liquidity risk and concerns;
  • the expenses and delayed returns inherent in opening new branches and de novo banks;
  • liabilities, potential customer loss or reputational harm related to closings of existing branches;
  • examinations and challenges by tax authorities, and any unanticipated impact of the Tax Act;
  • changes in accounting standards, rules and interpretations, and the impact on the Company’s financial statements;
  • the ability of the Company to receive dividends from its subsidiaries;
  • the impact of the Company’s transition from LIBOR to an alternative benchmark rate for current and future transactions;
  • a decrease in the Company’s capital ratios, including as a result of declines in the value of its loan portfolios, or otherwise;
  • legislative or regulatory changes, particularly changes in regulation of financial services companies and/or the products and services offered by financial services companies;
  • changes in laws, regulations, rules, standards and contractual obligations regarding data privacy and cybersecurity;
  • a lowering of our credit rating;
  • changes in U.S. monetary policy and changes to the Federal Reserve’s balance sheet, including changes in response to persistent inflation or otherwise;
  • regulatory restrictions upon our ability to market our products to consumers and limitations on our ability to profitably operate our mortgage business;
  • increased costs of compliance, heightened regulatory capital requirements and other risks associated with changes in regulation and the regulatory environment;
  • the impact of heightened capital requirements;
  • increases in the Company’s FDIC insurance premiums, or the collection of special assessments by the FDIC;
  • delinquencies or fraud with respect to the Company’s premium finance business;
  • credit downgrades among commercial and life insurance providers that could negatively affect the value of collateral securing the Company’s premium finance loans;
  • the Company’s ability to comply with covenants under its credit facility;
  • fluctuations in the stock market, which may have an adverse impact on the Company’s wealth management business and brokerage operation;
  • widespread outages of operational, communication, or other systems, whether internal or provided by third parties, natural or other disasters (including acts of terrorism, armed hostilities and pandemics), and the effects of climate change could have an adverse effect on the Company’s financial condition and results of operations, lead to material disruption of the Company’s operations or the ability or willingness of clients to access the Company’s products and services; and
  • the severity, magnitude and duration of the COVID-19 pandemic, including the continued emergence of variant strains, and the direct and indirect impact of such pandemic, as well as responses to the pandemic by the government, businesses and consumers, on the economy, our financial results, operations and personnel, commercial activity and demand across our business and our customers’ businesses.

Therefore, there can be no assurances that future actual results will correspond to these forward-looking statements. The reader is cautioned not to place undue reliance on any forward-looking statement made by the Company. Any such statement speaks only as of the date the statement was made or as of such date that may be referenced within the statement. The Company undertakes no obligation to update any forward-looking statement to reflect the impact of circumstances or events after the date of the press release. Persons are advised, however, to consult further disclosures management makes on related subjects in its reports filed with the Securities and Exchange Commission and in its press releases.

CONFERENCE CALL, WEBCAST AND REPLAY

The Company will hold a conference call on Thursday, April 18, 2024 at 10:00 a.m. (CDT) regarding first quarter 2024 earnings results. Individuals interested in participating in the call by addressing questions to management should register for the call to receive the dial-in numbers and unique PIN at the Conference Call Link included within the Company’s press release dated March 28, 2024 available at the Investor Relations, Investor News and Events, Press Releases link on its website at https://www.wintrust.com. A separate simultaneous audio-only webcast link is included within the press release referenced above. Registration for and a replay of the audio-only webcast with an accompanying slide presentation will be available at https://www.wintrust.com, Investor Relations, Investor News and Events, Presentations & Conference Calls. The text of the first quarter 2024 earnings press release will also be available on the home page of the Company’s website at https://www.wintrust.com and at the Investor Relations, Investor News and Events, Press Releases link on its website.

FOR MORE INFORMATION CONTACT:
Timothy S. Crane, President & Chief Executive Officer
David A. Dykstra, Vice Chairman & Chief Operating Officer
(847) 939-9000
Web site address: www.wintrust.com


FAQ

What was Wintrust Financial 's net income for the first quarter of 2024?

Wintrust Financial reported a record net income of $187.3 million for the first quarter of 2024.

By how much did diluted earnings per share increase compared to the fourth quarter of 2023?

Diluted earnings per share increased by 55% compared to the fourth quarter of 2023.

How much did total loans and deposits increase by in the first quarter of 2024?

Total loans and deposits increased by approximately $1.1 billion each in the first quarter of 2024.

What was the total increase in assets for Wintrust Financial in the first quarter of 2024?

Total assets increased by $1.3 billion for Wintrust Financial in the first quarter of 2024.

What was the net interest margin for Wintrust Financial in the first quarter of 2024?

The net interest margin for Wintrust Financial in the first quarter of 2024 was 3.57%.

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Wintrust Financial Corp

NASDAQ:WTFC

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WTFC Latest News

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Aug 1, 2024
Wintrust Financial Corporation Completes Its Merger With Macatawa Bank Corporation

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