- Second quarter net income of $9.9 million or $0.52 per
fully diluted share
- Core deposits increase 32% over prior
year
- Commercial & Industrial loans grow 12% over linked
quarter and 26% over prior year period
- Nonperforming assets decrease 19% from one year
ago
- Completed $35.0 million public common stock offering,
increasing Tangible Common Equity ratio to 6.77%
St. Louis, July 28, 2011. Enterprise Financial Services Corp
(Nasdaq:EFSC) (the "Company") reported record net income of $9.9
million for the quarter ended June 30, 2011 compared to net income
of $737,000 for the prior year period. After deducting dividends on
preferred stock, the Company reported net income of $0.52 per fully
diluted share for the second quarter of 2011 compared to net income
of $0.01 per fully diluted share for the second quarter of 2010.
Peter Benoist, President and CEO, commented, "Second quarter net
income rose 40% over the first quarter and our earnings per share
were 24% higher, taking into account the additional shares issued
for our successful common equity raise in May. This continues
the trend of consecutive quarterly increases in earnings per share
for the Company." "While improving asset quality and
moderating provision expense are contributing to increased
earnings," continued Benoist, "the Company's underlying earning
power also continues to climb. Pre-tax, pre-provision
operating earnings for the second quarter were more than double the
comparable figure from a year ago, fueled by a combination of
strong returns on our Arizona covered loan portfolio and
substantial organic growth in commercial and industrial
loans. Additionally, we've been systematically reducing
funding costs by lowering deposit rates and increasing non
interest-bearing demand deposits, which have now grown to 20% of
total deposits." Benoist added, "The strong growth in
commercial loan fundings and commercial demand deposits result from
our continued focus on privately held businesses and success in
recruiting accomplished commercial bankers to the Enterprise
platform in all three of our markets."
On a pre-tax, pre-provision basis, the Company's operating
income was $21.2 million in the second quarter of 2011, a 50%
increase from the linked quarter and a 119% increase from the prior
year period.
Pre-tax, pre-provision income, which is a non-GAAP (Generally
Accepted Accounting Principles) financial measure, is presented
because the Company believes adjusting its results to exclude loan
loss provision expense, sales and fair value writedowns of other
real estate, and sales of securities provides shareholders with a
more comparable basis for evaluating period-to-period operating
results. A schedule reconciling GAAP pre-tax income (loss) to
pre-tax, pre-provision income is provided in the attached tables.
Banking Segment Deposits
Total deposits at June 30, 2011 were $2.4 billion,
flat with March 31, 2011 and $589.5 million, or 32%, higher than
June 30, 2010. Core deposits, which exclude brokered
certificates of deposit and include reciprocal CDARS deposits,
represented 94% of total deposits at June 30, 2011,
unchanged from the linked and prior year period. Core deposits
decreased $9.1 million, or 0.40%, in the second quarter of 2011
compared to the first quarter of 2011. The Company continued
to improve its core deposit mix with a $25.7 million increase in
demand deposits, and a $21.6 million increase in money market
accounts and other interest-bearing deposit accounts. The
Company lowered its reliance on certificates of deposit by reducing
non-CDARS certificates by $16.9 million and reciprocal CDARS
certificates by $39.5 million. Reciprocal CDARS certificates
were $35.3 million at June 30, 2011 compared to $74.8
million at March 31, 2011 and $157.5 million at
June 30, 2010.
Noninterest-bearing demand deposits rose $180.1 million, or 61%,
compared to June 30, 2010 and increased to 20% of total
deposits at June 30, 2011 from 18% at March 31, 2011 and
16% at June 30, 2010. Year-over-year growth
in noninterest-bearing demand deposits was bolstered by three
client relationships totaling $72.6 million. Absent those
relationships, demand deposits increased 37% from June 30, 2010 to
June 30, 2011. Demand deposit growth is attributable to
intensified sales efforts and continuing emphasis on liquidity and
safety among commercial clients.
Loans
Portfolio loans totaled $2.0 billion at June 30, 2011,
including $180.3 million of loans covered under FDIC loss share
agreements. Portfolio loans covered under FDIC loss
share agreements decreased $11.2 million, or 6%, in the second
quarter, primarily as a result of loan payoffs and transfers to
Other Real Estate. Excluding the loans covered under
loss share, total portfolio loans increased $65.2 million, or 4%,
in the second quarter of 2011.
Commercial & Industrial loans increased $75.4 million, or
12%, during the quarter and represent one-third of the Company's
loan portfolio at June 30, 2011. This growth
represents the fourth consecutive quarter of increases in
Commercial and Industrial loans as the Company continues to
experience strong new business activity in this sector.
Construction and Residential Real Estate decreased $15.7 million as
the Company continued to reduce its exposure to these
sectors.
On a year over year basis, total portfolio loans increased
$234.2 million, or 13%. Excluding the loans covered under loss
share, portfolio loans increased $65.8 million, or
4%. Commercial and Industrial loans have increased $143.2
million, or 26%, since June 30, 2010, while Construction
and Residential Real Estate loans have decreased $68.7 million, or
17% over the same time frame.
We continue to expect low to mid single digit loan growth for
2011.
Asset quality
Nonperforming loans, including troubled debt restructurings of
$11.4 million, were $43.1 million at June 30, 2011,
compared to $43.5 million at March 31, 2011 and down from
$46.6 million at June 30, 2010. During the quarter
ended June 30, 2011, there were $9.5 million of additions
to nonperforming loans, $5.7 million of charge-offs, $4.0 million
of other principal reductions, and $159,000 of assets transferred
to other real estate. The $9.5 million represents the lowest
level of new nonperforming loan inflows in over two years. Six
construction real estate loans representing three relationships
comprised over $5.1 million, or 54% of the total new nonperforming
loans, while three commercial real estate loans representing two
relationships comprised $1.6 million, or 17% of the
total.
Nonperforming loans represented 2.15% of total loans at
June 30, 2011 versus 2.23% of total loans at
March 31, 2011 and 2.63% at
June 30, 2010.
Nonperforming loans by portfolio class at
June 30, 2011 were as follows (in millions):
|
Total portfolio |
Nonperforming |
% NPL |
Construction, Real Estate/Land |
|
|
|
Acquisition &
Development |
$158.1 |
$17.8 |
11.29% |
Commercial Real Estate - investor owned |
455.4 |
9.0 |
1.98% |
Commercial Real Estate - owner occupied |
334.1 |
1.9 |
0.57% |
Residential Real Estate |
176.8 |
9.3 |
5.25% |
Commercial & Industrial |
688.4 |
5.1 |
0.74% |
Consumer & Other |
13.4 |
— |
—% |
Portfolio loans covered under FDIC loss
share |
180.3 |
— |
—% |
Total |
$2,006.5 |
$43.1 |
2.15% |
Excluding non-accrual loans and portfolio loans covered
under FDIC loss share agreements, portfolio loans that were
30-89 days delinquent at June 30, 2011 remained at very
low levels, representing 0.21% of the portfolio compared to 0.12%
at March 31, 2011 and 0.86% of June 30,
2010.
Other real estate at June 30, 2011 was $42.8 million,
compared to $51.3 million at March 31, 2011 and $25.9 million at
June 30, 2010. Approximately 51% of total other real
estate, or $21.8 million, is covered by one of three FDIC loss
share agreements.
Other real estate not covered by an FDIC loss share agreement
totaled $21.0 million at June 30, 2011, a decrease of
$7.5 million from March 31, 2011. At June 30, 2010
other real estate not covered by FDIC loss share agreements totaled
$23.6 million.
During the second quarter of 2011, the Company sold $9.0 million
of other real estate, recording a gain of
$99,000. Year-to-date, the Company has sold $13.1 million of
other real estate at a net gain of $522,000.
Excluding assets covered under FDIC loss share, nonperforming
assets as a percentage of total assets declined to 2.18% at
June 30, 2011 from 2.48% at March 31, 2011 and
3.12% at June 30, 2010.
Net charge-offs in the second quarter of 2011 were $5.2 million,
representing an annual rate of 1.07% of average loans, compared
to net charge-offs of $3.5 million, an annualized rate of
0.73%% of average loans, in the linked first quarter and $7.8
million, an annualized rate of 1.76% of average loans, in the
second quarter of 2010.
Provision for loan losses was $4.6 million in the second quarter
of 2011, compared to $3.6 million in the first quarter of 2011 and
significantly less than the $9.0 million recorded in the second
quarter of 2010. The increase in the provision for loan
losses in the second quarter of 2011 was due to slightly higher
levels of loan risk rating downgrades and loan growth in the
quarter.
The Company's allowance for loan losses was 2.10% of total loans
at June 30, 2011, representing 98% of nonperforming
loans. The loan loss allowance was 2.19% at
March 31, 2011 representing 98% of nonperforming loans
and 2.55% at June 30, 2010 representing 97% of
nonperforming loans.
Net Interest Income
Net interest income for the banking segment increased $5.7
million, or 20%, in the second quarter of 2011 compared to the
linked first quarter. On a year over year basis, net interest
income increased $13.7 million, or 68%. Including the effect
of parent company debt, the net interest rate margin was 4.95% for
the second quarter of 2011, compared to 4.19% for the first quarter
of 2011 and 3.46% in the second quarter of 2010. In the
second quarter of 2011, the loans covered under FDIC loss share
yielded 27.05% primarily due to cash flows on paid off covered
loans that exceeded expectations. Absent the FDIC loss share
loans, the net interest rate margin was 3.45% for the second
quarter of 2011 compared to 3.34% for the first quarter of
2011. The increase in the net interest rate margin,
excluding the effect of loans covered under FDIC loss share and the
related funding costs, was primarily due to a more favorable
earning asset mix and lower cost of funds. The
Company's liquidity position remains strong with cash and cash
equivalents representing approximately 7% of the total assets at
June 30, 2011.
Wealth Management Segment
Fee income from the Wealth Management segment includes Wealth
Management revenue and income from state tax credit brokerage
activities. Wealth Management revenue was $1.7 million
in the second quarter of 2011, flat with the linked first quarter
and an increase of $356,000, or 27%, compared to
June 30, 2010.
Trust assets under administration were $1.6 billion at
June 30, 2011, compared to $1.6 billion at March 31, 2011
and $1.2 billion at June 30, 2010.
State tax credit brokerage activities, net of fair value marks
on tax credit assets and related interest rate hedges, was $1.0
million for the second quarter of 2011 compared to $155,000 for the
linked quarter of 2011, and $851,000 in the second quarter of
2010. Tax credit sales increased in the second quarter as
customers deferred their purchases from the normal first quarter
timing.
On June 1, 2011, Joe Gazzoli joined the Company as the Chief
Executive Officer of Enterprise Trust. Gazzoli is
an experienced and highly regarded executive in the the wealth
management industry, having held senior management roles at several
leading firms. His breadth of experience with large and
successful wealth management firms will add considerable strength
to the Enterprise Wealth Management team.
Other Business Results
In May, the Company completed a $35.0 million public offering of
common equity. The net proceeds to the Company, after
deducting underwriting discounts and commissions and offering
expenses were approximately $32.6 million. The net
proceeds from the offering will be used for general corporate
purposes, which may include capital to support growth and
acquisition opportunities. Total capital to risk-weighted
assets was 15.98% at June 30, 2011 compared to 14.34% at
March 31, 2011 and 14.41% at
June 30, 2010. The tangible common equity ratio was
6.77% at June 30, 2011 versus 5.22% at
March 31, 2011 and 6.22% at
June 30, 2010. The Company's Tier 1
common equity ratio was 9.30% at June 30, 2011 compared
to 7.51% at March 31, 2011 and 7.22% at
June 30, 2010. The Company believes
that the tangible common equity and the Tier 1 common equity ratios
are important financial measures of capital strength even though
they are considered to be non-GAAP measures and are not part of the
regulatory capital requirements to which the Company is
subject. The attached tables contain a reconciliation
of these ratios to U.S. GAAP.
Other income during the quarter ended June 30, 2011
includes $1.5 million of reduced accretion on the indemnification
asset related to a large Covered Loan payoff.
Noninterest expenses were $18.0 million for the quarter ended
June 30, 2011 compared to $17.5 million for the quarter
ended March 31, 2011 and $14.1 million for the
quarter ended June 30, 2010. The
increase over the prior year period is primarily due to $1.2
million of increases in salaries and benefits to support our
Arizona acquisitions along with $1.6 million of higher loan legal
and other real estate expenses.
The Company's efficiency ratio was 47.9% for the quarter ended
June 30, 2011 compared to 55.1% for quarter ended
March 31, 2011 and 59.8% for the prior year
period.
The Company will host a conference call at 2:30 p.m. CDT on
Thursday, July 28, 2011. The call will be accessible
on Enterprise Financial Services Corp's home page, at
www.enterprisebank.com under "Investor Relations" and by telephone
at 1-888-285-8004 (Conference ID #76933087.) Recorded replays
of the conference call will be available on the website beginning
two hours after the call's completion. The replay will be
available for approximately two weeks following the conference
call.
Enterprise Financial Services Corp operates commercial banking
and wealth management businesses in metropolitan St. Louis, Kansas
City, and Phoenix. The Company is primarily focused on serving
the needs of privately held businesses, their owner families,
executives and professionals.
Readers should note that in addition to the historical
information contained herein, this press release contains
forward-looking statements, which are inherently subject to risks
and uncertainties that could cause actual results to differ
materially from those contemplated from such statements. We
use the words "expect" and "intend" and variations of such words
and similar expressions in this communication to identify such
forward-looking statements. Factors that could cause or
contribute to such differences include, but are not limited to,
burdens imposed by federal and state regulations of banks, credit
risk, changes in the appraised valuation of real estate securing
impaired loans, outcomes of litigation and other contingencies,
exposure to local and national economic conditions, risks
associated with rapid increase or decrease in prevailing interest
rates, effects of mergers and acquisitions, effects of critical
accounting policies and judgments, legal and regulatory
developments and competition from banks and other financial
institutions, as well as other risk factors described in the
Company's 2010 Annual Report on Form 10-K. Forward-looking
statements speak only as of the date they are made, and the Company
undertakes no obligation to update them in light of new information
or future events unless required under the federal securities
laws.
|
ENTERPRISE FINANCIAL SERVICES
CORP |
CONSOLIDATED FINANCIAL SUMMARY
(unaudited) |
|
|
|
|
|
|
For the Quarter
ended |
For the Six Months
ended |
|
Jun 30, |
Jun 30, |
Jun 30, |
Jun 30, |
(in thousands, except per share
data) |
2011 |
2010 |
2011 |
2010 |
INCOME STATEMENTS |
|
|
|
|
NET INTEREST INCOME |
|
|
|
|
Total interest income |
$40,028 |
$26,710 |
$74,591 |
$53,985 |
Total interest expense |
7,555 |
8,108 |
15,380 |
16,760 |
Net interest income |
32,473 |
18,602 |
59,211 |
37,225 |
Provision for loan losses |
4,575 |
8,960 |
8,175 |
22,760 |
Net interest income after provision for loan
losses |
27,898 |
9,642 |
51,036 |
14,465 |
|
|
|
|
|
NONINTEREST INCOME |
|
|
|
|
Wealth Management revenue |
1,658 |
1,302 |
3,341 |
2,599 |
Deposit service charges |
1,194 |
1,212 |
2,331 |
2,386 |
Gain on sale of other real estate |
99 |
302 |
522 |
290 |
State tax credit activity, net |
987 |
851 |
1,142 |
1,369 |
Gain on sale of investment securities |
506 |
525 |
680 |
1,082 |
Other income |
682 |
849 |
2,073 |
1,371 |
Total noninterest income |
5,126 |
5,041 |
10,089 |
9,097 |
|
|
|
|
|
NONINTEREST EXPENSE |
|
|
|
|
Employee compensation and benefits |
8,265 |
7,035 |
16,953 |
13,633 |
Occupancy |
1,141 |
1,097 |
2,280 |
2,270 |
Furniture and equipment |
431 |
325 |
785 |
694 |
Other |
8,187 |
5,689 |
15,471 |
11,204 |
Total noninterest expenses |
18,024 |
14,146 |
35,489 |
27,801 |
|
|
|
|
|
Income (loss) before income tax expense
(benefit) |
15,000 |
537 |
25,636 |
(4,239) |
Income tax expense (benefit) |
5,118 |
(200) |
8,675 |
(1,962) |
Net income (loss) |
9,882 |
737 |
16,961 |
(2,277) |
Dividends on preferred stock |
(630) |
(615) |
(1,256) |
(1,227) |
Net income (loss) available to common
shareholders |
$ 9,252 |
$ 122 |
$ 15,705 |
$ (3,504) |
|
|
|
|
|
Basic earnings (loss) per share |
$ 0.54 |
$ 0.01 |
$ 1.01 |
$ (0.24) |
Diluted earnings (loss) per share |
$ 0.52 |
$ 0.01 |
$ 0.96 |
$ (0.24) |
Return on average assets |
1.27% |
0.02% |
1.09% |
-0.30% |
Return on average common equity |
20.88% |
0.34% |
19.00% |
-4.90% |
Efficiency ratio |
47.94% |
59.84% |
51.21% |
60.02% |
Noninterest expenses to average assets |
2.47% |
2.42% |
2.46% |
2.40% |
|
|
|
|
|
YIELDS (fully tax equivalent) |
|
|
|
|
Loans not covered under FDIC loss share |
5.44% |
5.56% |
5.47% |
5.57% |
Loans covered under FDIC loss share |
27.05% |
14.46% |
21.86% |
15.74% |
Total portfolio loans |
7.45% |
5.62% |
7.03% |
5.65% |
Securities |
2.85% |
2.85% |
2.78% |
2.80% |
Federal funds sold |
0.25% |
0.31% |
0.26% |
0.33% |
Yield on interest-earning assets |
6.09% |
4.95% |
5.75% |
5.00% |
Interest-bearing deposits |
1.12% |
1.44% |
1.14% |
1.50% |
Subordinated debt |
5.31% |
5.84% |
5.33% |
5.85% |
Borrowed funds |
1.99% |
2.55% |
1.94% |
2.64% |
Cost of paying liabilities |
1.36% |
1.75% |
1.37% |
1.81% |
Net interest spread |
4.73% |
3.20% |
4.38% |
3.19% |
Net interest rate margin |
4.95% |
3.46% |
4.58% |
3.46% |
|
|
ENTERPRISE FINANCIAL SERVICES
CORP |
CONSOLIDATED FINANCIAL SUMMARY
(unaudited) (continued) |
|
|
|
|
|
|
|
At the Quarter ended |
|
Jun 30, |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
(in thousands, except per share
data) |
2011 |
2011 |
2010 |
2010 |
2010 |
BALANCE SHEETS |
|
|
|
|
|
|
|
|
|
|
|
ASSETS |
|
|
|
|
|
Cash and due from banks |
$ 22,806 |
$ 18,542 |
$ 23,413 |
$ 21,125 |
$ 13,711 |
Federal funds sold |
1,321 |
1,464 |
3,153 |
1,599 |
30 |
Interest-bearing deposits |
175,676 |
187,556 |
268,853 |
35,588 |
66,347 |
Debt and equity investments |
486,990 |
496,419 |
373,824 |
274,855 |
273,021 |
Loans held for sale |
1,688 |
3,142 |
5,640 |
5,910 |
2,518 |
|
|
|
|
|
|
Portfolio loans not covered under FDIC loss
share |
1,826,228 |
1,761,034 |
1,766,351 |
1,796,637 |
1,760,461 |
Portfolio loans covered under FDIC loss
share |
180,253 |
191,447 |
126,711 |
134,207 |
11,776 |
Total portfolio loans |
2,006,481 |
1,952,481 |
1,893,062 |
1,930,844 |
1,772,237 |
Less allowance for loan losses |
42,157 |
42,822 |
42,759 |
46,999 |
45,258 |
Net loans |
1,964,324 |
1,909,659 |
1,850,303 |
1,883,845 |
1,726,979 |
|
|
|
|
|
|
Other real estate not covered under FDIC loss
share |
20,978 |
28,443 |
25,373 |
26,937 |
23,606 |
Other real estate covered under FDIC loss
share |
21,812 |
22,862 |
10,835 |
7,748 |
2,279 |
Premises and equipment, net |
19,488 |
20,035 |
20,499 |
21,024 |
21,169 |
State tax credits, held for sale |
57,058 |
59,928 |
61,148 |
61,007 |
60,134 |
FDIC loss share receivable |
92,511 |
103,529 |
88,292 |
88,676 |
5,922 |
Goodwill |
3,879 |
3,879 |
2,064 |
2,064 |
2,064 |
Core deposit intangible |
1,791 |
1,921 |
1,223 |
1,322 |
1,423 |
Other assets |
65,110 |
67,937 |
71,220 |
72,544 |
73,526 |
Total assets |
$ 2,935,432 |
$ 2,925,316 |
$ 2,805,840 |
$ 2,504,244 |
$ 2,272,729 |
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS'
EQUITY |
|
|
|
|
Noninterest-bearing deposits |
$ 473,688 |
$ 448,012 |
$ 366,086 |
$ 304,221 |
$ 293,619 |
Interest-bearing deposits |
1,937,589 |
1,982,418 |
1,931,635 |
1,735,649 |
1,528,204 |
Total deposits |
2,411,277 |
2,430,430 |
2,297,721 |
2,039,870 |
1,821,823 |
Subordinated debentures |
85,081 |
85,081 |
85,081 |
85,081 |
85,081 |
FHLB advances |
102,000 |
107,300 |
107,300 |
122,300 |
123,100 |
Federal funds purchased |
— |
— |
— |
5,000 |
— |
Other borrowings |
87,774 |
97,898 |
119,333 |
58,196 |
56,681 |
Other liabilities |
12,316 |
13,592 |
13,057 |
13,217 |
9,172 |
Total liabilities |
2,698,448 |
2,734,301 |
2,622,492 |
2,323,664 |
2,095,857 |
Shareholders' equity |
236,984 |
191,015 |
183,348 |
180,580 |
176,872 |
Total liabilities and shareholders'
equity |
$ 2,935,432 |
$ 2,925,316 |
$ 2,805,840 |
$ 2,504,244 |
$ 2,272,729 |
|
|
ENTERPRISE FINANCIAL SERVICES
CORP |
CONSOLIDATED FINANCIAL SUMMARY
(unaudited) (continued) |
|
|
|
|
|
|
|
For the
Quarter ended |
|
Jun 30, |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
(in thousands, except per share
data) |
2011 |
2011 |
2010 |
2010 |
2010 |
EARNINGS SUMMARY |
|
|
|
|
|
Net interest income |
$ 32,473 |
$ 26,738 |
$ 28,109 |
$ 24,290 |
$ 18,602 |
Provision for loan losses |
4,575 |
3,600 |
3,325 |
7,650 |
8,960 |
Wealth Management revenue |
1,658 |
1,683 |
2,489 |
1,326 |
1,302 |
Noninterest income |
3,468 |
3,280 |
723 |
4,725 |
3,739 |
Noninterest expense |
18,024 |
17,465 |
19,649 |
15,458 |
14,146 |
Income before income tax expense
(benefit) |
15,000 |
10,636 |
8,347 |
7,233 |
537 |
Net income |
9,882 |
7,079 |
6,426 |
4,971 |
737 |
Net income available to common
shareholders |
9,252 |
6,453 |
5,804 |
4,353 |
122 |
Diluted earnings per share |
$ 0.52 |
$ 0.42 |
$ 0.38 |
$ 0.29 |
$ 0.01 |
Return on average common equity |
20.88% |
16.82% |
14.95% |
11.61% |
0.34% |
Net interest rate margin (fully tax
equivalent) |
4.95% |
4.19% |
4.70% |
4.31% |
3.46% |
Efficiency ratio |
47.94% |
55.09% |
62.74% |
50.95% |
59.84% |
|
|
|
|
|
|
MARKET DATA |
|
|
|
|
|
Book value per common share |
$ 11.51 |
$ 10.60 |
$ 10.13 |
$ 9.98 |
$ 9.74 |
Tangible book value per common share |
$ 11.19 |
$ 10.21 |
$ 9.91 |
$ 9.75 |
$ 9.51 |
Market value per share |
$ 13.53 |
$ 14.07 |
$ 10.46 |
$ 9.30 |
$ 9.64 |
Period end common shares outstanding |
17,739 |
14,941 |
14,889 |
14,854 |
14,854 |
Average basic common shares |
17,140 |
14,920 |
14,856 |
14,854 |
14,854 |
Average diluted common shares |
18,602 |
16,375 |
16,296 |
16,293 |
14,855 |
|
|
|
|
|
|
ASSET QUALITY |
|
|
|
|
|
Net charge-offs |
$ 5,240 |
$ 3,537 |
$ 7,564 |
$ 5,909 |
$ 7,781 |
Nonperforming loans |
43,118 |
43,487 |
46,357 |
51,955 |
46,550 |
Nonperforming loans to total loans |
2.15% |
2.23% |
2.45% |
2.69% |
2.63% |
Nonperforming assets to total assets* |
2.18% |
2.48% |
2.59% |
3.18% |
3.12% |
Allowance for loan losses to total loans |
2.10% |
2.19% |
2.26% |
2.43% |
2.55% |
Net charge-offs to average loans
(annualized) |
1.07% |
0.73% |
1.57% |
1.23% |
1.76% |
|
|
|
|
|
|
CAPITAL |
|
|
|
|
|
Average common equity to average assets |
6.08% |
5.37% |
5.83% |
5.96% |
6.18% |
Tier 1 capital to risk-weighted assets |
14.55% |
12.16% |
11.97% |
11.80% |
11.93% |
Total capital to risk-weighted assets |
15.98% |
14.34% |
14.30% |
14.19% |
14.41% |
Tier 1 common equity to risk-weighted
assets |
9.30% |
7.51% |
7.37% |
7.19% |
7.22% |
Tangible common equity to tangible
assets |
6.77% |
5.22% |
5.26% |
5.79% |
6.22% |
|
|
|
|
|
|
AVERAGE BALANCES |
|
|
|
|
|
Portfolio loans not covered under FDIC loss
share |
$ 1,787,007 |
$ 1,769,401 |
$ 1,780,890 |
$ 1,764,289 |
$ 1,762,250 |
Portfolio loans covered under FDIC loss
share |
183,191 |
190,625 |
128,412 |
135,204 |
12,313 |
Earning assets |
2,655,248 |
2,616,711 |
2,394,683 |
2,260,308 |
2,186,375 |
Total assets |
2,923,701 |
2,896,285 |
2,644,952 |
2,494,148 |
2,342,523 |
Deposits |
2,416,412 |
2,391,008 |
2,169,853 |
2,008,720 |
1,889,947 |
Shareholders' equity |
210,471 |
188,187 |
186,452 |
180,984 |
176,785 |
|
|
|
|
|
|
LOAN PORTFOLIO |
|
|
|
|
|
Commercial and industrial |
$ 688,354 |
$ 612,970 |
$ 593,938 |
$ 592,554 |
$ 545,177 |
Commercial real estate |
789,556 |
780,764 |
776,268 |
792,510 |
793,869 |
Construction real estate |
158,128 |
176,249 |
190,285 |
201,298 |
205,501 |
Residential real estate |
176,782 |
174,405 |
189,484 |
195,762 |
198,096 |
Consumer and other |
13,408 |
16,646 |
16,376 |
14,513 |
17,818 |
Portfolio loans covered under FDIC loss
share |
180,253 |
191,447 |
126,711 |
134,207 |
11,776 |
Total loan portfolio |
$ 2,006,481 |
$ 1,952,481 |
$ 1,893,062 |
$ 1,930,844 |
$ 1,772,237 |
|
|
|
|
|
|
* Excludes ORE covered by FDIC
loss share agreements, except for their inclusion in total
assets. |
|
|
|
|
ENTERPRISE FINANCIAL SERVICES
CORP |
CONSOLIDATED FINANCIAL SUMMARY
(unaudited) (continued) |
|
|
|
|
|
|
|
For the
Quarter ended |
|
Jun 30, |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
(in thousands) |
2011 |
2011 |
2010 |
2010 |
2010 |
DEPOSIT PORTFOLIO |
|
|
|
|
Noninterest-bearing accounts |
$ 473,688 |
$ 448,012 |
$ 366,086 |
$ 304,221 |
$ 293,619 |
Interest-bearing transaction accounts |
212,431 |
198,152 |
204,687 |
187,426 |
198,747 |
Money market and savings accounts |
960,139 |
952,798 |
865,703 |
714,498 |
687,116 |
Certificates of deposit |
765,019 |
831,468 |
861,245 |
833,725 |
642,341 |
Total deposit portfolio |
$ 2,411,277 |
$ 2,430,430 |
$ 2,297,721 |
$ 2,039,870 |
$ 1,821,823 |
|
|
|
|
|
|
YIELDS (fully tax
equivalent) |
|
|
|
|
Loans not covered under FDIC loss share |
5.44% |
5.49% |
5.45% |
5.49% |
5.56% |
Loans covered under FDIC loss share |
27.05% |
16.81% |
29.72% |
17.48% |
14.48% |
Total portfolio loans |
7.45% |
6.59% |
7.08% |
6.34% |
5.62% |
Securities |
2.85% |
2.70% |
2.60% |
2.75% |
2.85% |
Federal funds sold |
0.25% |
0.26% |
0.26% |
0.30% |
0.31% |
Yield on interest-earning assets |
6.09% |
5.40% |
6.01% |
5.67% |
4.95% |
Interest-bearing deposits |
1.12% |
1.16% |
1.21% |
1.24% |
1.44% |
Subordinated debt |
5.31% |
5.34% |
5.71% |
5.88% |
5.84% |
Borrowed funds |
1.99% |
1.89% |
2.32% |
2.29% |
2.55% |
Cost of paying liabilities |
1.36% |
1.39% |
1.49% |
1.54% |
1.75% |
Net interest spread |
4.73% |
4.01% |
4.52% |
4.13% |
3.20% |
Net interest rate margin |
4.95% |
4.19% |
4.70% |
4.31% |
3.46% |
|
|
|
|
|
|
WEALTH MANAGEMENT |
|
|
|
|
Trust Assets under management |
$ 862,357 |
$ 875,437 |
$ 796,190 |
$ 741,929 |
$ 722,895 |
Trust Assets under administration |
1,579,065 |
1,600,471 |
1,498,987 |
1,371,214 |
1,230,827 |
|
|
ENTERPRISE FINANCIAL SERVICES
CORP |
CONSOLIDATED FINANCIAL SUMMARY
(unaudited) (continued) |
|
|
|
|
|
|
RECONCILATIONS OF U.S. GAAP
FINANCIAL MEASURES |
|
|
|
|
|
|
|
|
|
For the
Quarter ended |
|
Jun 30, |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
(In thousands) |
2011 |
2011 |
2010 |
2010 |
2010 |
|
|
|
|
|
|
PRE-TAX INCOME TO PRE-TAX,
PRE-PROVISION INCOME |
|
|
Pre-tax income |
$ 15,000 |
$ 10,636 |
$ 8,347 |
$ 7,233 |
$ 537 |
Sales and fair value writedowns of other real
estate |
2,101 |
19 |
2,683 |
1,606 |
678 |
Sale of securities |
(506) |
(174) |
(781) |
(124) |
(525) |
Income before income tax |
16,595 |
10,481 |
10,249 |
8,715 |
690 |
Provision for loan losses |
4,575 |
3,600 |
3,325 |
7,650 |
8,960 |
Pre-tax, pre-provision income |
$ 21,170 |
$ 14,081 |
$ 13,574 |
$ 16,365 |
$ 9,650 |
|
|
|
|
|
|
|
|
|
|
|
|
|
At the Quarter ended |
|
Jun 30, |
Mar 31, |
Dec 31, |
Sep 30, |
Jun 30, |
(In thousands) |
2011 |
2011 |
2010 |
2010 |
2010 |
|
|
|
|
|
|
TIER 1 COMMON EQUITY TO
RISK-WEIGHTED ASSETS |
|
|
|
Shareholders' equity |
$ 236,984 |
$ 191,015 |
$ 183,348 |
$ 180,580 |
$ 176,872 |
Less: Goodwill |
(3,879) |
(3,879) |
(2,064) |
(2,064) |
(2,064) |
Less: Intangible assets |
(1,791) |
(1,921) |
(1,223) |
(1,322) |
(1,423) |
Less: Unrealized gains; Plus: Unrealized
Losses |
(3,994) |
(244) |
573 |
(2,133) |
(2,675) |
Plus: Qualifying trust preferred
securities |
77,721 |
62,398 |
60,448 |
59,525 |
58,319 |
Other |
1,352 |
1,352 |
747 |
748 |
718 |
Tier 1 capital |
$ 306,393 |
$ 248,721 |
$ 241,829 |
$ 235,334 |
$ 229,747 |
Less: Preferred stock |
(32,899) |
(32,707) |
(32,519) |
(32,334) |
(32,153) |
Less: Qualifying trust preferred
securities |
(77,721) |
(62,398) |
(60,448) |
(59,525) |
(58,319) |
Tier 1 common equity |
$ 195,773 |
$ 153,616 |
$ 148,862 |
$ 143,475 |
$ 139,275 |
|
|
|
|
|
|
Total risk weighted assets determined in
accordance with prescribed regulatory requirements |
$ 2,106,108 |
$ 2,045,886 |
$ 2,019,885 |
$ 1,994,802 |
$ 1,927,769 |
|
|
|
|
|
|
Tier 1 common equity to risk weighted
assets |
9.30% |
7.51% |
7.37% |
7.19% |
7.22% |
|
|
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS' EQUITY TO TANGIBLE
COMMON EQUITY AND TOTAL ASSETS TO TANGIBLE ASSETS |
Shareholders' equity |
$ 236,984 |
$ 191,015 |
$ 183,348 |
$ 180,580 |
$ 176,872 |
Less: Preferred stock |
(32,899) |
(32,707) |
(32,519) |
(32,334) |
(32,154) |
Less: Goodwill |
(3,879) |
(3,879) |
(2,064) |
(2,064) |
(2,064) |
Less: Intangible assets |
(1,791) |
(1,921) |
(1,223) |
(1,322) |
(1,423) |
Tangible common equity |
$ 198,415 |
$ 152,508 |
$ 147,542 |
$ 144,860 |
$ 141,231 |
|
|
|
|
|
|
Total assets |
$ 2,935,432 |
$ 2,925,316 |
$ 2,805,840 |
$ 2,504,244 |
$ 2,272,729 |
Less: Goodwill |
(3,879) |
(3,879) |
(2,064) |
(2,064) |
(2,064) |
Less: Intangible assets |
(1,791) |
(1,921) |
(1,223) |
(1,322) |
(1,423) |
Tangible assets |
$ 2,929,762 |
$ 2,919,516 |
$ 2,802,553 |
$ 2,500,858 |
$ 2,269,242 |
|
|
|
|
|
|
Tangible common equity to tangible
assets |
6.77% |
5.22% |
5.26% |
5.79% |
6.22% |
CONTACT: Jerry Mueller, Senior Vice President (314) 512-7251
Ann Marie Mayuga, AMM Communications (314) 485-9499
Enterprise Financial Ser... (NASDAQ:EFSC)
Historical Stock Chart
From Aug 2024 to Sep 2024
Enterprise Financial Ser... (NASDAQ:EFSC)
Historical Stock Chart
From Sep 2023 to Sep 2024