BRIDGEPORT, Conn., July 19, 2018 /PRNewswire/ -- People's
United Financial, Inc. (NASDAQ: PBCT) today reported results for
the second quarter 2018. Results for the second quarter and
comparison periods are summarized below:
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($ in millions,
except per common share data)
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As of and for
the Three Months Ended
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Jun. 30,
2018
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Mar. 31,
2018
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Jun. 30,
2017
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Net income
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$
110.2
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$
107.9
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$
69.3
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Net income
available
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106.7
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104.4
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65.8
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to common
shareholders
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Per common
share
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0.31
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0.30
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0.19
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Operating
earnings1
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109.0
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104.4
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82.6
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Per common
share
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0.32
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0.30
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0.24
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Net interest
income
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$
301.2
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$
295.8
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$
274.9
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Net interest
margin
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3.10%
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3.05%
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2.96%
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Non-interest
income
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94.9
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90.4
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91.6
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Non-interest
expense
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$
248.6
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$
243.5
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$
257.3
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Operating
non-interest expense1
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245.7
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243.5
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232.5
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Efficiency
ratio1
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58.4%
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59.4%
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58.4%
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Average
balances
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Loans
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$
32,116
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$
32,096
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$
31,400
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Deposits
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32,536
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32,824
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32,024
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End of period
balances
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Loans
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32,512
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32,104
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31,611
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Deposits
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32,468
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32,894
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31,815
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1See
Non-GAAP Financial Measures and Reconciliation to GAAP.
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"Our commitment to enhancing profitability was further
demonstrated by reporting another quarter of record net income,"
said Jack Barnes, Chairman and Chief
Executive Officer. "These results reflect the continued benefits of
investments in revenue producing initiatives, sustained excellent
asset quality and recent successful acquisitions. Consistent with
our strategy of balancing organic growth with thoughtful M&A,
we announced today the all-cash acquisition of Vend Lease, a
Baltimore-based equipment finance
company established in 1979 that operates primarily in the
hospitality industry. Vend Lease shares our client-centric
approach, has a highly specialized skill set and is a recognized
brand in the markets it serves. The company will become a
division of LEAF Commercial Capital, enabling it to leverage LEAF's
leading automation capabilities to further accelerate growth. We
are excited about the transaction as it deepens our network of
specialty finance experts and bolsters our nationwide
businesses."
"Higher revenues and well-controlled expenses generated a second
quarter efficiency ratio of 58.4 percent, an improvement of 100
basis points linked quarter," said David
Rosato, Senior Executive Vice President and Chief Financial
Officer. "Revenues of $396 million
grew three percent due to increases in both net interest income and
non-interest income. Net interest margin of 3.10 percent
expanded five basis points and benefited from new business yields
exceeding the total portfolio yield for the sixth consecutive
quarter and the upward repricing of floating rate loans. Operating
expenses of $246 million, which
includes $4 million in costs related
to ten branch closures, were up only one percent. Loan growth from
the end of the first quarter was driven by solid results in middle
market C&I, equipment financing and mortgage warehouse lending.
These increases were partially offset by the ongoing run-off of the
transactional portion of the New
York multi-family portfolio. Deposit balances were lower as
a result of seasonal declines in our municipal and retail
businesses. However, we expect deposits to rebound in the third and
fourth quarters in line with historical seasonal trends."
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As of and for
the Three Months Ended
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Jun. 30,
2018
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Mar. 31,
2018
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Jun. 30,
2017
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Asset
Quality
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Net loan
charge-offs
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0.06%
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0.06%
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0.09%
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to average total
loans
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Originated
non-performing loans
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0.56%
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0.52%
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0.60%
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as a percentage of
originated loans
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Returns
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Return on average
assets1
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1.00%
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0.98%
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0.65%
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Return on average
tangible common equity1
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13.9%
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13.8%
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8.7%
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Capital
Ratios
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People's United
Financial, Inc.
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Tangible common
equity / tangible assets
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7.3%
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7.3%
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7.5%
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Tier 1
leverage
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8.6%
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8.5%
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8.6%
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Common equity tier
1
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10.0%
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10.1%
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10.1%
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Tier 1
risk-based
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10.8%
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10.8%
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10.9%
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Total
risk-based
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12.5%
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12.6%
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12.6%
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People's United Bank,
N.A.
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Tier 1
leverage
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9.1%
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8.6%
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9.0%
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Common equity tier
1
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11.4%
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11.0%
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11.3%
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Tier 1
risk-based
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11.4%
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11.0%
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11.3%
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Total
risk-based
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13.4%
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12.9%
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13.3%
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1See
Non-GAAP Financial Measures and Reconciliation to GAAP.
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The Company's Board of Directors declared a $0.1750 per common share quarterly dividend
payable August 15, 2018 to
shareholders of record on August 1,
2018. Based on the closing stock price on July 18, 2018, the dividend yield on People's
United Financial common stock is 3.8 percent.
People's United Financial, Inc., a diversified financial
services company with approximately $45
billion in total assets, provides commercial and retail
banking, as well as wealth management services through a network of
approximately 400 branches in Connecticut, New
York, Massachusetts,
Vermont, New Hampshire and Maine.
2Q 2018 Financial Highlights
Summary
- Net income totaled $110.2
million, or $0.31 per common
share.
-
- Net income available to common shareholders totaled
$106.7 million.
- Operating earnings totaled $109.0
million, or $0.32 per common
share (see Non-GAAP Financial Measures and Reconciliation to
GAAP).
- Net interest income totaled $301.2
million in 2Q18 compared to $295.8
million in 1Q18.
- Net interest margin increased five basis points from 1Q18 to
3.10% reflecting:
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- Higher yields on the loan portfolio (increase of 13 basis
points).
- Higher yields on the securities portfolio (increase of one
basis point).
- Higher rates on deposits and borrowings (decrease of 11 basis
points).
- One additional calendar day in 2Q18 (increase of two basis
points).
- Provision for loan losses totaled $6.5
million.
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- Net loan charge-offs totaled $5.0
million.
- Net loan charge-off ratio of 0.06% in 2Q18.
- Non-interest income totaled $94.9
million in 2Q18 compared to $90.4
million in 1Q18.
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- Customer interest rate swap income increased $2.5 million.
- Bank service charges increased $0.5
million.
- Other non-interest income in 2Q18 includes $2.0 million in gains related to certain legacy
investments.
- Insurance revenue decreased $1.5
million, reflecting the seasonality of commercial insurance
renewals.
- Commercial banking lending fees decreased $1.0 million.
- At June 30, 2018, assets under
administration, which are not reported as assets of People's United
Financial, totaled $23.6 billion, of
which $9.0 billion are under
discretionary management, compared to $23.6
billion and $9.0 billion,
respectively, at March 31, 2018.
- Non-interest expense totaled $248.6
million in 2Q18 compared to $243.5
million in 1Q18.
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- Operating non-interest expense totaled $245.7 million in 2Q18 (see Non-GAAP Financial
Measures and Reconciliation to GAAP).
- Compensation and benefits expense decreased $5.7 million, primarily reflecting lower payroll
and benefit-related costs in 2Q18.
- Professional and outside services expense, excluding
$2.1 million of merger-related
expenses in 2Q18, decreased $0.1
million.
- Regulatory assessment expense decreased $0.7 million.
- Other non-interest expense in 2Q18 includes a $4.1 million charge relating to the closing of 10
branches and $0.8 million of
merger-related expenses.
- The efficiency ratio was 58.4% for 2Q18 compared to 59.4% for
1Q18 and 58.4% for 2Q17 (see Non-GAAP Financial Measures and
Reconciliation to GAAP).
- The effective income tax rate was 21.8% for 2Q18 and 21.6% for
the first six months of 2018, compared to 27.8% for the full-year
of 2017.
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- The lower rates in 2018 primarily reflect the benefit from a
reduction in the U.S. federal corporate income tax rate from 35% to
21%, effective January 1, 2018.
Commercial Banking
- Commercial loans totaled $23.7
billion at June 30, 2018, an
increase of $416 million from
March 31, 2018.
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- The mortgage warehouse portfolio increased $95 million from March 31,
2018.
- The New York multi-family
portfolio decreased $79 million from
March 31, 2018.
- Equipment financing includes $68
million in loans and leases acquired in connection with the
Vend Lease acquisition.
- Average commercial loans totaled $23.3
billion in 2Q18, an increase of $61
million from 1Q18.
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- The average mortgage warehouse portfolio increased $150 million from 1Q18.
- The average New York
multi-family portfolio decreased $154
million from 1Q18.
- Commercial deposits totaled $11.4
billion at June 30, 2018
compared to $12.0 billion at
March 31, 2018.
- The ratio of originated non-performing commercial loans to
originated commercial loans was 0.55% at June 30, 2018 compared to 0.49% at March 31, 2018.
- Non-performing commercial assets, excluding acquired
non-performing loans, totaled $132.6
million at June 30, 2018
compared to $115.7 million at
March 31, 2018.
- For the originated commercial loan portfolio, the allowance for
loan losses as a percentage of loans was 0.93% at June 30, 2018 compared to 0.94% at March 31, 2018.
- The originated commercial allowance for loan losses represented
169% of originated non-performing commercial loans at June 30, 2018 compared to 194% at March 31, 2018.
Retail Banking
- Residential mortgage loans totaled $6.9
billion at June 30, 2018, an
increase of $32 million from
March 31, 2018.
-
- Average residential mortgage loans totaled $6.8 billion in 2Q18, an increase of $17 million from 1Q18.
- Home equity loans totaled $1.9
billion at March 31, 2018, a
decrease of $41 million from
March 31, 2018.
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- Average home equity loans totaled $1.9
billion in 2Q18, a decrease of $56
million from 1Q18.
- Retail deposits totaled $21.1
billion at June 30, 2018
compared to $20.9 billion at
March 31, 2018.
- The ratio of originated non-performing residential mortgage
loans to originated residential mortgage loans was 0.50% at
June 30, 2018 compared to 0.54% at
March 31, 2018.
- The ratio of originated non-performing home equity loans to
originated home equity loans was 0.81% at June 30, 2018 compared to 0.85% at March 31, 2018.
Conference Call
On July 19,
2018, at 5 p.m., Eastern Time,
People's United Financial will host a conference call to discuss
this earnings announcement. The call may be heard through
www.peoples.com by selecting "Investor Relations" in the "About Us"
section on the home page, and then selecting "Conference Calls" in
the "News and Events" section. Additional materials relating
to the call may also be accessed at People's United Bank's web
site. The call will be archived on the web site and available
for approximately 90 days.
Certain statements contained in this release are forward-looking
in nature. These include all statements about People's United
Financial's plans, objectives, expectations and other statements
that are not historical facts, and usually use words such as
"expect," "anticipate," "believe," "should" and similar
expressions. Such statements represent management's current
beliefs, based upon information available at the time the
statements are made, with regard to the matters addressed. All
forward-looking statements are subject to risks and uncertainties
that could cause People's United Financial's actual results or
financial condition to differ materially from those expressed in or
implied by such statements. Factors of particular importance to
People's United Financial include, but are not limited to: (1)
changes in general, international, national or regional economic
conditions; (2) changes in interest rates; (3) changes in loan
default and charge-off rates; (4) changes in deposit levels; (5)
changes in levels of income and expense in non-interest income and
expense related activities; (6) changes in accounting and
regulatory guidance applicable to banks; (7) price levels and
conditions in the public securities markets generally; (8)
competition and its effect on pricing, spending, third-party
relationships and revenues; (9) the successful integration of
acquisitions; and (10) changes in regulation resulting from or
relating to financial reform legislation. People's United Financial
does not undertake any obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
###
Access Information About People's United
Financial at www.peoples.com.
People's United
Financial, Inc.
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FINANCIAL
HIGHLIGHTS
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Three Months
Ended
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June 30,
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March 31,
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Dec. 31,
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Sept. 30,
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June 30,
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(dollars in millions,
except per common share data)
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2018
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2018
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2017
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2017
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2017
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Earnings
Data:
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Net interest
income (fully taxable equivalent)
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$
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307.8
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$
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302.1
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$
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304.1
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$
|
295.8
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$
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285.2
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Net interest
income
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301.2
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295.8
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292.3
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284.6
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274.9
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Provision for
loan losses
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6.5
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5.4
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7.5
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7.0
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7.1
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Non-interest
income (1)
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94.9
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90.4
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87.3
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89.3
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91.6
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Non-interest
expense (1)
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248.6
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243.5
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239.7
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237.1
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257.3
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Income before
income tax expense
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141.0
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137.3
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132.4
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129.8
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|
102.1
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Net
income
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|
110.2
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|
107.9
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|
106.2
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90.8
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69.3
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Net income
available to common shareholders (1)
|
|
106.7
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|
104.4
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102.7
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87.3
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65.8
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Selected
Statistical Data:
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Net interest
margin (2)
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3.10
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%
|
3.05
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%
|
3.07
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%
|
3.04
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%
|
2.96
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%
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Return on
average assets (1), (2)
|
|
1.00
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|
0.98
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0.96
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0.84
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0.65
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Return on
average common equity (2)
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7.6
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7.5
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7.4
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6.4
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4.8
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Return on
average tangible common equity (1), (2)
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13.9
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13.8
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13.8
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11.8
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8.7
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Efficiency
ratio (1)
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|
58.4
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|
59.4
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56.1
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57.3
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58.4
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Common Share
Data:
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Earnings per
common share:
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Basic
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$
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0.31
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$
|
0.31
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$
|
0.30
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$
|
0.26
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$
|
0.20
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Diluted (1)
|
|
0.31
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0.30
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0.30
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0.26
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0.19
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Dividends paid
per common share
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|
0.1750
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0.1725
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0.1725
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0.1725
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0.1725
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Common
dividend payout ratio (1)
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|
56.2
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%
|
56.3
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%
|
57.1
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%
|
66.8
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%
|
88.6
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%
|
|
Book value per
common share (end of period)
|
$
|
16.56
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$
|
16.43
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$
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16.40
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$
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16.29
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$
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16.18
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Tangible book
value per common share (end of period) (1)
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9.02
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|
8.93
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|
8.87
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|
8.68
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|
8.99
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Stock
price:
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High
|
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19.37
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20.26
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19.50
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18.26
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18.21
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Low
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|
18.00
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18.18
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|
17.58
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15.97
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16.44
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Close (end of period)
|
|
18.09
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18.66
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18.70
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18.14
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17.66
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Common shares
(end of period) (in millions)
|
|
341.59
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341.01
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339.98
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337.84
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337.51
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Weighted
average diluted common shares (in millions)
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344.47
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344.00
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341.11
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338.82
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338.51
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(1) See Non-GAAP
Financial Measures and Reconciliation to GAAP.
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(2)
Annualized.
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People's United
Financial, Inc.
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FINANCIAL
HIGHLIGHTS
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Six Months
Ended
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June 30,
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(dollars in millions,
except per common share data)
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2018
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2017
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Earnings
Data:
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Net interest
income (fully taxable equivalent)
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$
|
609.9
|
$
|
543.3
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|
Net interest
income
|
|
597.0
|
|
523.5
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|
Provision for
loan losses
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|
11.9
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|
11.5
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Non-interest
income
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|
185.3
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|
176.3
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Non-interest
expense (1)
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492.1
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483.4
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Income before
income tax expense
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278.3
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204.9
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Net
income
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218.1
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140.1
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Net income
available to common shareholders (1)
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211.1
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133.1
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Selected
Statistical Data:
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Net interest
margin (2)
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3.07
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%
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2.90
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%
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Return on
average assets (1), (2)
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|
0.99
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|
0.68
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Return on
average common equity (2)
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7.5
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5.1
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Return on
average tangible common equity (1), (2)
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13.9
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9.1
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Efficiency
ratio (1)
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58.9
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58.9
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Common Share
Data:
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Earnings per
common share:
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Basic
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$
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0.62
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$
|
0.42
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Diluted (1)
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0.61
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0.41
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Dividends paid
per common share
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0.3475
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0.3425
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Common
dividend payout ratio (1)
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56.2
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%
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83.4
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%
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Book value per
common share (end of period)
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$
|
16.56
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$
|
16.18
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Tangible book
value per common share (end of period) (1)
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|
9.02
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8.99
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Stock
price:
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High
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20.26
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|
19.85
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Low
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18.00
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16.44
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Close (end of period)
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18.09
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17.66
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Common shares
(end of period) (in millions)
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341.59
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337.51
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Weighted
average diluted common shares (in millions)
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344.23
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324.89
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(1) See Non-GAAP
Financial Measures and Reconciliation to GAAP.
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(2)
Annualized.
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People's United
Financial, Inc.
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FINANCIAL
HIGHLIGHTS - Continued
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As of and for the
Three Months Ended
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June 30,
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March
31,
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Dec. 31,
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Sept. 30,
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June 30,
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(dollars in
millions)
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2018
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2018
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2017
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2017
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2017
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Financial
Condition Data:
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Total assets
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$
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44,575
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$
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44,101
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$
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44,453
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$
|
43,998
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$
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43,023
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Loans
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32,512
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32,104
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32,575
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32,384
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31,611
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Securities
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7,324
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7,173
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7,043
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6,914
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6,880
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Short-term investments
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253
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|
470
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378
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303
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216
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Allowance for loan losses
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237
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|
235
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234
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233
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232
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Goodwill and other acquisition-related intangible assets
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2,574
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2,555
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2,560
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2,568
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2,426
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Deposits
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32,468
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32,894
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33,056
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32,547
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|
31,815
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Borrowings
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|
4,639
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|
3,877
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|
4,104
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|
4,144
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|
4,084
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|
Notes and debentures
|
|
889
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|
892
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|
902
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|
906
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|
907
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Stockholders' equity
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5,900
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|
5,846
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5,820
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5,746
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|
5,704
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Total risk-weighted assets (1):
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People's United
Financial, Inc.
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33,371
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32,833
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33,256
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33,029
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|
32,095
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|
People's United
Bank, N.A.
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33,323
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32,784
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33,202
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32,981
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32,050
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Non-performing assets (2)
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|
187
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|
174
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|
168
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|
191
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|
198
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Net loan charge-offs
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5.0
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4.5
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|
6.5
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5.2
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6.8
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Average
Balances:
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Loans
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$
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32,116
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$
|
32,096
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$
|
32,271
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$
|
31,994
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$
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31,400
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Securities (3)
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7,302
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7,186
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7,023
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6,559
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6,728
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Short-term investments
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267
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|
366
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|
361
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347
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|
355
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Total earning assets
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39,685
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|
39,648
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|
39,654
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|
38,900
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|
38,483
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Total assets
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44,110
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|
44,011
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|
44,039
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|
43,256
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|
42,666
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Deposits
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32,536
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|
32,824
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|
32,879
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|
32,065
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|
32,024
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Borrowings
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|
4,031
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|
3,752
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|
3,836
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|
4,010
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|
3,498
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|
Notes and debentures
|
|
890
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|
895
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|
904
|
|
909
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|
907
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Total funding liabilities
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37,456
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|
37,471
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|
37,619
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|
36,984
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|
36,429
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Stockholders' equity
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5,870
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|
5,821
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|
5,774
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|
5,722
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|
5,696
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Ratios:
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Net loan charge-offs to average total loans (annualized)
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0.06
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%
|
0.06
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%
|
0.08
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%
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0.06
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%
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0.09
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%
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Non-performing assets to originated loans,
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real estate owned and
repossessed assets (2)
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0.62
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0.58
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0.56
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|
0.64
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0.67
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Originated allowance for loan losses to:
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Originated loans
(2)
|
|
0.77
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|
0.78
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|
0.77
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|
0.77
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0.77
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Originated
non-performing loans (2)
|
|
138.4
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|
149.3
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|
155.2
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|
131.6
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|
128.1
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|
Average stockholders' equity to average total assets
|
|
13.3
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|
13.2
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|
13.1
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|
13.2
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|
13.4
|
|
Stockholders' equity to total assets
|
|
13.2
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|
13.3
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|
13.1
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|
13.1
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|
13.3
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|
Tangible common equity to tangible assets (4)
|
|
7.3
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|
7.3
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|
7.2
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7.1
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|
7.5
|
|
Total risk-based capital (1):
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People's United
Financial, Inc.
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|
12.5
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|
12.6
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|
12.2
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|
12.0
|
|
12.6
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|
People's United
Bank, N.A.
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13.4
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12.9
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|
12.6
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12.6
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13.3
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(1) June 30, 2018
amounts and ratios are preliminary.
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(2) Excludes acquired
loans.
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(3) Average balances
for securities are based on amortized cost.
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(4) See Non-GAAP
Financial Measures and Reconciliation to GAAP.
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People's United
Financial, Inc.
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CONSOLIDATED
STATEMENTS OF CONDITION
|
|
|
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|
|
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|
June 30,
|
March 31,
|
Dec. 31,
|
June 30,
|
(in
millions)
|
2018
|
2018
|
2017
|
2017
|
Assets
|
|
|
|
|
Cash and due from
banks
|
$
462.7
|
$
402.2
|
$
505.1
|
$
455.9
|
Short-term
investments
|
253.1
|
470.3
|
377.5
|
216.3
|
Securities:
|
|
|
|
|
Trading debt
securities, at fair value
|
8.2
|
8.2
|
8.2
|
7.8
|
Equity
securities, at fair value
|
9.9
|
9.5
|
8.7
|
9.0
|
Debt
securities available-for-sale, at fair value
|
3,245.1
|
3,153.8
|
3,125.3
|
3,673.3
|
Debt
securities held-to-maturity, at amortized cost
|
3,718.7
|
3,696.3
|
3,588.1
|
2,875.6
|
Federal Home
Loan Bank and Federal Reserve Bank stock, at cost
|
342.2
|
305.2
|
312.3
|
314.3
|
Total securities
|
7,324.1
|
7,173.0
|
7,042.6
|
6,880.0
|
Loans
held-for-sale
|
17.1
|
10.4
|
16.6
|
26.5
|
Loans:
|
|
|
|
|
Commercial
real estate
|
10,761.1
|
10,810.4
|
11,068.7
|
11,164.2
|
Commercial and
industrial
|
8,823.3
|
8,574.1
|
8,731.1
|
8,709.7
|
Equipment
financing
|
4,103.9
|
3,887.9
|
3,905.4
|
2,918.3
|
Total Commercial Portfolio
|
23,688.3
|
23,272.4
|
23,705.2
|
22,792.2
|
Residential
mortgage
|
6,866.2
|
6,834.2
|
6,805.7
|
6,687.7
|
Home equity
and other consumer
|
1,957.5
|
1,997.8
|
2,064.4
|
2,131.3
|
Total Retail Portfolio
|
8,823.7
|
8,832.0
|
8,870.1
|
8,819.0
|
Total loans
|
32,512.0
|
32,104.4
|
32,575.3
|
31,611.2
|
Less allowance
for loan losses
|
(236.8)
|
(235.3)
|
(234.4)
|
(231.6)
|
Total loans, net
|
32,275.2
|
31,869.1
|
32,340.9
|
31,379.6
|
Goodwill and other
acquisition-related intangible assets
|
2,573.8
|
2,554.9
|
2,560.0
|
2,426.3
|
Bank-owned life
insurance
|
407.2
|
406.0
|
405.0
|
404.7
|
Premises and
equipment, net
|
246.3
|
250.0
|
253.0
|
270.2
|
Other
assets
|
1,015.0
|
964.6
|
952.7
|
963.7
|
Total assets
|
$
44,574.5
|
$
44,100.5
|
$
44,453.4
|
$
43,023.2
|
|
|
|
|
|
Liabilities
|
|
|
|
|
Deposits:
|
|
|
|
|
Non-interest-bearing
|
$
8,002.4
|
$
7,938.6
|
$
8,002.4
|
$
7,566.4
|
Savings
|
4,184.9
|
4,442.1
|
4,410.5
|
4,668.6
|
Interest-bearing checking and money market
|
14,659.4
|
15,257.6
|
15,189.1
|
14,887.0
|
Time
|
5,621.5
|
5,255.5
|
5,454.3
|
4,692.7
|
Total deposits
|
32,468.2
|
32,893.8
|
33,056.3
|
31,814.7
|
Borrowings:
|
|
|
|
|
Federal Home
Loan Bank advances
|
3,510.1
|
2,610.7
|
2,774.4
|
3,130.8
|
Federal funds
purchased
|
855.0
|
805.0
|
820.0
|
629.0
|
Customer
repurchase agreements
|
254.9
|
265.8
|
301.6
|
324.0
|
Other
borrowings
|
19.1
|
195.4
|
207.8
|
0.6
|
Total borrowings
|
4,639.1
|
3,876.9
|
4,103.8
|
4,084.4
|
Notes and
debentures
|
888.7
|
891.9
|
901.6
|
906.5
|
Other
liabilities
|
678.3
|
592.4
|
571.8
|
514.1
|
Total liabilities
|
38,674.3
|
38,255.0
|
38,633.5
|
37,319.7
|
|
|
|
|
|
Stockholders'
Equity
|
|
|
|
|
Preferred
stock
|
244.1
|
244.1
|
244.1
|
244.1
|
Common
stock
|
4.4
|
4.4
|
4.4
|
4.3
|
Additional paid-in
capital
|
6,040.3
|
6,029.0
|
6,012.3
|
5,965.0
|
Retained
earnings
|
1,167.9
|
1,121.4
|
1,040.2
|
967.8
|
Unallocated common
stock of Employee Stock Ownership Plan, at cost
|
(133.7)
|
(135.5)
|
(137.3)
|
(141.0)
|
Accumulated other
comprehensive loss
|
(260.7)
|
(255.8)
|
(181.7)
|
(174.6)
|
Treasury stock, at
cost
|
(1,162.1)
|
(1,162.1)
|
(1,162.1)
|
(1,162.1)
|
Total stockholders' equity
|
5,900.2
|
5,845.5
|
5,819.9
|
5,703.5
|
Total liabilities and stockholders' equity
|
$
44,574.5
|
$
44,100.5
|
$
44,453.4
|
$
43,023.2
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
(in millions, except
per common share data)
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
Interest and
dividend income:
|
|
|
|
|
|
|
|
|
|
Commercial
real estate
|
$
111.5
|
|
$
107.0
|
|
$
106.2
|
|
$
105.6
|
|
$
105.3
|
Commercial and
industrial
|
90.1
|
|
82.3
|
|
80.1
|
|
80.0
|
|
74.1
|
Equipment
financing
|
50.5
|
|
48.9
|
|
47.4
|
|
41.5
|
|
31.5
|
Residential
mortgage
|
55.3
|
|
54.7
|
|
53.4
|
|
52.5
|
|
52.3
|
Home equity
and other consumer
|
21.4
|
|
20.8
|
|
20.7
|
|
21.0
|
|
19.9
|
Total interest on loans
|
328.8
|
|
313.7
|
|
307.8
|
|
300.6
|
|
283.1
|
Securities
|
45.1
|
|
44.0
|
|
41.6
|
|
37.2
|
|
37.9
|
Short-term
investments
|
1.3
|
|
1.2
|
|
1.0
|
|
1.1
|
|
0.9
|
Loans
held-for-sale
|
0.2
|
|
0.2
|
|
0.2
|
|
0.3
|
|
0.1
|
Total interest and dividend income
|
375.4
|
|
359.1
|
|
350.6
|
|
339.2
|
|
322.0
|
Interest
expense:
|
|
|
|
|
|
|
|
|
|
Deposits
|
47.3
|
|
41.3
|
|
38.3
|
|
34.4
|
|
30.9
|
Borrowings
|
18.5
|
|
14.2
|
|
12.4
|
|
12.7
|
|
8.9
|
Notes and
debentures
|
8.4
|
|
7.8
|
|
7.6
|
|
7.5
|
|
7.3
|
Total interest expense
|
74.2
|
|
63.3
|
|
58.3
|
|
54.6
|
|
47.1
|
Net interest income
|
301.2
|
|
295.8
|
|
292.3
|
|
284.6
|
|
274.9
|
Provision for loan
losses
|
6.5
|
|
5.4
|
|
7.5
|
|
7.0
|
|
7.1
|
Net interest income after provision for loan losses
|
294.7
|
|
290.4
|
|
284.8
|
|
277.6
|
|
267.8
|
Non-interest
income:
|
|
|
|
|
|
|
|
|
|
Bank service
charges
|
24.3
|
|
23.8
|
|
24.7
|
|
25.3
|
|
25.0
|
Investment
management fees
|
17.2
|
|
17.7
|
|
17.3
|
|
16.9
|
|
16.3
|
Operating
lease income
|
11.2
|
|
10.7
|
|
11.7
|
|
10.9
|
|
11.0
|
Commercial
banking lending fees
|
9.4
|
|
10.4
|
|
8.8
|
|
7.0
|
|
11.5
|
Insurance
revenue
|
8.3
|
|
9.8
|
|
6.9
|
|
9.7
|
|
7.5
|
Cash
management fees
|
7.0
|
|
6.6
|
|
6.5
|
|
6.8
|
|
6.5
|
Brokerage
commissions
|
3.2
|
|
3.1
|
|
2.9
|
|
2.8
|
|
3.4
|
Customer
interest rate swap income, net
|
4.0
|
|
1.5
|
|
5.2
|
|
1.9
|
|
2.4
|
Net security
gains (losses) (1)
|
-
|
|
0.1
|
|
(9.8)
|
|
-
|
|
0.1
|
Other
non-interest income
|
10.3
|
|
6.7
|
|
13.1
|
|
8.0
|
|
7.9
|
Total non-interest income
|
94.9
|
|
90.4
|
|
87.3
|
|
89.3
|
|
91.6
|
Non-interest
expense:
|
|
|
|
|
|
|
|
|
|
Compensation
and benefits (2)
|
135.0
|
|
140.7
|
|
132.7
|
|
129.9
|
|
132.1
|
Occupancy and
equipment
|
40.8
|
|
41.2
|
|
41.0
|
|
40.2
|
|
39.8
|
Professional
and outside services
|
20.6
|
|
18.6
|
|
18.7
|
|
19.2
|
|
28.1
|
Regulatory
assessments
|
9.9
|
|
10.6
|
|
11.9
|
|
10.3
|
|
9.9
|
Operating
lease expense
|
8.7
|
|
9.0
|
|
8.9
|
|
8.8
|
|
8.7
|
Amortization
of other acquisition-related intangible assets
|
4.9
|
|
5.1
|
|
7.9
|
|
7.9
|
|
7.9
|
Other
non-interest expense (2)
|
28.7
|
|
18.3
|
|
18.6
|
|
20.8
|
|
30.8
|
Total non-interest expense (1)
|
248.6
|
|
243.5
|
|
239.7
|
|
237.1
|
|
257.3
|
Income before income tax expense
|
141.0
|
|
137.3
|
|
132.4
|
|
129.8
|
|
102.1
|
Income tax expense
(1)
|
30.8
|
|
29.4
|
|
26.2
|
|
39.0
|
|
32.8
|
Net income
|
110.2
|
|
107.9
|
|
106.2
|
|
90.8
|
|
69.3
|
Preferred stock
dividend
|
3.5
|
|
3.5
|
|
3.5
|
|
3.5
|
|
3.5
|
Net income available to common shareholders
|
$
106.7
|
|
$
104.4
|
|
$
102.7
|
|
$
87.3
|
|
$
65.8
|
Earnings per common
share:
|
|
|
|
|
|
|
|
|
|
Basic
|
$
0.31
|
|
$
0.31
|
|
$
0.30
|
|
$
0.26
|
|
$
0.20
|
Diluted
|
0.31
|
|
0.30
|
|
0.30
|
|
0.26
|
|
0.19
|
|
|
|
|
|
|
|
|
|
|
(1) Includes $10.0
million of security losses incurred as a tax planning strategy in
response to tax reform enacted on December 22, 2017,
|
which are considered
non-operating, for the three months ended December 31, 2017. Total
non-interest expense includes
|
$2.9 million, $1.6 million,
$3.0 million and $24.8 million of non-operating expenses for the
three months ended June 30, 2018,
|
December 31, 2017, September
30, 2017 and June 30, 2017, respectively. Income tax expense
includes a $6.5 million benefit realized
|
in connection with tax
reform, which is considered non-operating, for the three months
ended December 31, 2017.
|
See Non-GAAP Financial
Measures and Reconciliation to GAAP.
|
|
|
|
|
|
|
|
|
(2) In accordance
with GAAP, effective January 1, 2018, net periodic pension and
postretirement benefit costs are reported within other
|
non-interest expense rather
than compensation and benefits. Prior period amounts have been
reclassified to conform to this
|
presentation.
|
|
|
|
|
|
|
|
|
|
People's United
Financial, Inc.
|
|
|
|
CONSOLIDATED
STATEMENTS OF INCOME
|
|
|
|
|
|
|
|
|
Six Months
Ended
|
|
June 30,
|
(in millions, except
per common share data)
|
2018
|
|
2017
|
Interest and
dividend income:
|
|
|
|
Commercial
real estate
|
$
218.5
|
|
$
193.9
|
Commercial and
industrial
|
172.4
|
|
138.7
|
Equipment
financing
|
99.4
|
|
63.1
|
Residential
mortgage
|
110.0
|
|
101.6
|
Home equity
and other consumer
|
42.2
|
|
38.3
|
Total interest on loans
|
642.5
|
|
535.6
|
Securities
|
89.1
|
|
74.9
|
Short-term
investments
|
2.5
|
|
1.6
|
Loans held for
sale
|
0.4
|
|
0.4
|
Total interest and dividend income
|
734.5
|
|
612.5
|
Interest
expense:
|
|
|
|
Deposits
|
88.6
|
|
58.0
|
Borrowings
|
32.7
|
|
16.2
|
Notes and
debentures
|
16.2
|
|
14.8
|
Total interest expense
|
137.5
|
|
89.0
|
Net interest income
|
597.0
|
|
523.5
|
Provision for loan
losses
|
11.9
|
|
11.5
|
Net interest income after provision for loan losses
|
585.1
|
|
512.0
|
Non-interest
income:
|
|
|
|
Bank service
charges
|
48.1
|
|
48.5
|
Investment
management fees
|
34.9
|
|
32.3
|
Operating
lease income
|
21.9
|
|
21.2
|
Commercial
banking lending fees
|
19.8
|
|
19.7
|
Insurance
revenue
|
18.1
|
|
16.6
|
Cash
management fees
|
13.6
|
|
12.8
|
Brokerage
commissions
|
6.3
|
|
6.4
|
Customer
interest rate swap income, net
|
5.5
|
|
5.2
|
Net security
gains (losses)
|
0.1
|
|
(15.6)
|
Other
non-interest income
|
17.0
|
|
29.2
|
Total non-interest income
|
185.3
|
|
176.3
|
Non-interest
expense:
|
|
|
|
Compensation
and benefits (1)
|
275.7
|
|
260.0
|
Occupancy and
equipment
|
82.0
|
|
78.4
|
Professional
and outside services
|
39.2
|
|
43.6
|
Regulatory
assessments
|
20.5
|
|
19.5
|
Operating
lease expense
|
17.7
|
|
17.5
|
Amortization
of other acquisition-related intangible assets
|
10.0
|
|
14.2
|
Other
non-interest expense (1)
|
47.0
|
|
50.2
|
Total non-interest expense (2)
|
492.1
|
|
483.4
|
Income before income tax expense
|
278.3
|
|
204.9
|
Income tax
expense
|
60.2
|
|
64.8
|
Net income
|
218.1
|
|
140.1
|
Preferred stock
dividend
|
7.0
|
|
7.0
|
Net income available to common shareholders
|
$
211.1
|
|
$
133.1
|
Earnings per common
share:
|
|
|
|
Basic
|
$
0.62
|
|
$
0.42
|
Diluted
|
0.61
|
|
0.41
|
|
|
|
|
(1) In accordance
with GAAP, effective January 1, 2018, net periodic pension and
postretirement benefit
|
costs are reported within
other non-interest expense rather than compensation and benefits.
Prior
|
period amounts have been
reclassified to conform to this presentation.
|
|
|
(2) Total
non-interest expense includes $2.9 million and $26.0 million of
non-operating expenses for the six
|
months ended June 30, 2018
and 2017, respectively. See Non-GAAP Financial Measures and
Reconciliation
|
to GAAP.
|
|
|
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
AVERAGE BALANCE
SHEET, INTEREST AND YIELD/RATE ANALYSIS (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30,
2018
|
|
March 31,
2018
|
|
June 30,
2017
|
Three months
ended
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
(dollars in
millions)
|
Balance
|
Interest
|
Rate
|
|
Balance
|
Interest
|
Rate
|
|
Balance
|
Interest
|
Rate
|
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
investments
|
$
266.7
|
$
1.3
|
2.02%
|
|
$
366.4
|
$
1.2
|
1.35%
|
|
$
354.8
|
$
0.9
|
0.97%
|
Securities
(2)
|
7,302.1
|
49.2
|
2.69
|
|
7,186.1
|
48.0
|
2.67
|
|
6,727.5
|
44.6
|
2.65
|
Loans:
|
|
|
|
|
|
|
|
|
|
|
|
Commercial
real estate
|
10,802.9
|
111.5
|
4.13
|
|
10,934.2
|
107.0
|
3.91
|
|
11,371.4
|
105.3
|
3.70
|
Commercial and
industrial
|
8,558.3
|
92.6
|
4.32
|
|
8,418.6
|
84.6
|
4.02
|
|
8,276.1
|
77.7
|
3.75
|
Equipment
financing
|
3,923.6
|
50.5
|
5.14
|
|
3,870.6
|
48.9
|
5.06
|
|
2,924.8
|
31.5
|
4.31
|
Residential
mortgage
|
6,853.6
|
55.5
|
3.24
|
|
6,837.1
|
54.9
|
3.21
|
|
6,693.3
|
52.4
|
3.14
|
Home equity
and other consumer
|
1,977.6
|
21.4
|
4.33
|
|
2,035.0
|
20.8
|
4.09
|
|
2,134.8
|
19.9
|
3.73
|
Total loans
|
32,116.0
|
331.5
|
4.13
|
|
32,095.5
|
316.2
|
3.94
|
|
31,400.4
|
286.8
|
3.65
|
Total earning assets
|
39,684.8
|
$ 382.0
|
3.85%
|
|
39,648.0
|
$ 365.4
|
3.69%
|
|
38,482.7
|
$ 332.3
|
3.45%
|
Other
assets
|
4,425.0
|
|
|
|
4,363.3
|
|
|
|
4,183.1
|
|
|
Total assets
|
$
44,109.8
|
|
|
|
$
44,011.3
|
|
|
|
$
42,665.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
stockholders' equity:
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
Non-interest-bearing
|
$
7,872.7
|
$
-
|
- %
|
|
$
7,796.7
|
$
-
|
- %
|
|
$
7,399.5
|
$
-
|
- %
|
Savings,
interest-bearing checking
|
|
|
|
|
|
|
|
|
|
|
|
and money market
|
19,220.6
|
28.2
|
0.59
|
|
19,642.6
|
24.9
|
0.51
|
|
19,895.8
|
19.6
|
0.39
|
Time
|
5,442.3
|
19.1
|
1.40
|
|
5,384.5
|
16.4
|
1.22
|
|
4,728.7
|
11.3
|
0.96
|
Total deposits
|
32,535.6
|
47.3
|
0.58
|
|
32,823.8
|
41.3
|
0.50
|
|
32,024.0
|
30.9
|
0.39
|
Borrowings:
|
|
|
|
|
|
|
|
|
|
|
|
Federal Home
Loan Bank advances
|
3,009.3
|
14.8
|
1.97
|
|
2,677.1
|
10.9
|
1.63
|
|
2,546.6
|
7.1
|
1.11
|
Federal funds
purchased
|
634.5
|
3.0
|
1.86
|
|
608.3
|
2.3
|
1.53
|
|
625.2
|
1.6
|
1.04
|
Customer
repurchase agreements
|
228.7
|
0.1
|
0.31
|
|
262.6
|
0.1
|
0.18
|
|
313.9
|
0.1
|
0.19
|
Other
borrowings
|
158.5
|
0.6
|
1.45
|
|
203.7
|
0.9
|
1.65
|
|
11.8
|
0.1
|
1.94
|
Total borrowings
|
4,031.0
|
18.5
|
1.84
|
|
3,751.7
|
14.2
|
1.51
|
|
3,497.5
|
8.9
|
1.02
|
Notes and
debentures
|
889.6
|
8.4
|
3.79
|
|
895.2
|
7.8
|
3.48
|
|
907.2
|
7.3
|
3.24
|
Total funding liabilities
|
37,456.2
|
$
74.2
|
0.79%
|
|
37,470.7
|
$
63.3
|
0.68%
|
|
36,428.7
|
$
47.1
|
0.52%
|
Other
liabilities
|
784.0
|
|
|
|
720.1
|
|
|
|
541.0
|
|
|
Total liabilities
|
38,240.2
|
|
|
|
38,190.8
|
|
|
|
36,969.7
|
|
|
Stockholders'
equity
|
5,869.6
|
|
|
|
5,820.5
|
|
|
|
5,696.1
|
|
|
Total liabilities and
|
|
|
|
|
|
|
|
|
|
|
|
stockholders'
equity
|
$
44,109.8
|
|
|
|
$
44,011.3
|
|
|
|
$
42,665.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income/spread (3)
|
|
$ 307.8
|
3.06%
|
|
|
$ 302.1
|
3.01%
|
|
|
$ 285.2
|
2.93%
|
|
|
|
|
|
|
Net interest
margin
|
|
|
3.10%
|
|
|
|
3.05%
|
|
|
|
2.96%
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Average yields
earned and rates paid are annualized.
|
|
|
|
|
|
|
|
|
|
(2) Average balances
and yields for securities are based on amortized cost.
|
|
|
|
|
|
|
(3) The fully taxable
equivalent adjustment was $6.6 million, $6.3 million and $10.3
million for the three months ended June 30, 2018,
|
March 31, 2018 and
June 30, 2017, respectively.
|
|
|
|
|
|
|
|
|
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
AVERAGE BALANCE
SHEET, INTEREST AND YIELD/RATE ANALYSIS (1)
|
|
|
|
|
|
|
|
|
|
|
|
June 30,
2018
|
|
June 30,
2017
|
Six months
ended
|
Average
|
|
Yield/
|
|
Average
|
|
Yield/
|
(dollars in
millions)
|
Balance
|
Interest
|
Rate
|
|
Balance
|
Interest
|
Rate
|
Assets:
|
|
|
|
|
|
|
|
Short-term
investments
|
$
316.3
|
$
2.5
|
1.63%
|
|
$
362.6
|
$
1.6
|
0.89%
|
Securities
(2)
|
7,244.4
|
97.2
|
2.68
|
|
6,779.2
|
87.8
|
2.59
|
Loans:
|
|
|
|
|
|
|
|
Commercial
real estate
|
10,868.2
|
218.5
|
4.02
|
|
10,783.8
|
193.9
|
3.60
|
Commercial and
industrial
|
8,488.8
|
177.2
|
4.18
|
|
7,996.0
|
145.6
|
3.64
|
Equipment
financing
|
3,897.3
|
99.4
|
5.10
|
|
2,948.5
|
63.1
|
4.28
|
Residential
mortgage
|
6,845.4
|
110.4
|
3.22
|
|
6,534.9
|
102.0
|
3.12
|
Home equity
and other consumer
|
2,006.2
|
42.2
|
4.20
|
|
2,120.2
|
38.3
|
3.62
|
Total loans
|
32,105.9
|
647.7
|
4.03
|
|
30,383.4
|
542.9
|
3.57
|
Total earning assets
|
39,666.6
|
$ 747.4
|
3.77%
|
|
37,525.2
|
$ 632.3
|
3.37%
|
Other
assets
|
4,394.2
|
|
|
|
3,972.8
|
|
|
Total assets
|
$
44,060.8
|
|
|
|
$
41,498.0
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
stockholders' equity:
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
Non-interest-bearing
|
$
7,834.9
|
$
-
|
- %
|
|
$
6,919.9
|
$
-
|
- %
|
Savings,
interest-bearing checking
|
|
|
|
|
|
|
|
and money market
|
19,430.4
|
53.1
|
0.55
|
|
19,404.6
|
36.0
|
0.37
|
Time
|
5,413.6
|
35.5
|
1.31
|
|
4,654.9
|
22.0
|
0.95
|
Total deposits
|
32,678.9
|
88.6
|
0.54
|
|
30,979.4
|
58.0
|
0.37
|
Borrowings:
|
|
|
|
|
|
|
|
Federal Home
Loan Bank advances
|
2,844.1
|
25.7
|
1.81
|
|
2,628.7
|
12.9
|
0.98
|
Federal funds
purchased
|
621.5
|
5.3
|
1.70
|
|
616.4
|
2.8
|
0.91
|
Customer
repurchase agreements
|
245.5
|
0.3
|
0.24
|
|
311.7
|
0.2
|
0.19
|
Other
borrowings
|
181.0
|
1.4
|
1.57
|
|
45.7
|
0.3
|
0.79
|
Total borrowings
|
3,892.1
|
32.7
|
1.68
|
|
3,602.5
|
16.2
|
0.90
|
Notes and
debentures
|
892.5
|
16.2
|
3.63
|
|
936.3
|
14.8
|
3.17
|
Total funding liabilities
|
37,463.5
|
$ 137.5
|
0.73%
|
|
35,518.2
|
$
89.0
|
0.50%
|
Other
liabilities
|
752.1
|
|
|
|
547.4
|
|
|
Total liabilities
|
38,215.6
|
|
|
|
36,065.6
|
|
|
Stockholders'
equity
|
5,845.2
|
|
|
|
5,432.4
|
|
|
Total liabilities and
|
|
|
|
|
|
|
|
stockholders'
equity
|
$
44,060.8
|
|
|
|
$
41,498.0
|
|
|
|
|
|
|
|
|
|
|
Net interest
income/spread (3)
|
|
$ 609.9
|
3.04%
|
|
|
$ 543.3
|
2.87%
|
|
|
|
|
|
|
|
|
Net interest
margin
|
|
|
3.07%
|
|
|
|
2.90%
|
|
|
|
|
|
|
|
|
(1) Average yields
earned and rates paid are annualized.
|
|
|
|
|
|
(2) Average balances
and yields for securities are based on amortized cost.
|
|
|
(3) The fully taxable
equivalent adjustment was $12.9 million and $19.8 million for the
six months ended
|
June 30, 2018 and
2017, respectively.
|
|
|
|
|
|
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans acquired in a
business combination are initially recorded at fair value with no
carryover of an acquired entity's previous
|
established allowance
for loan losses. Accordingly, selected asset quality metrics have
been highlighted to distinguish between
|
the 'originated'
portfolio and the 'acquired' portfolio.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NON-PERFORMING
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June
30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
(dollars in
millions)
|
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
Originated
non-performing loans:
|
|
|
|
|
|
|
|
|
|
|
|
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
Commercial
real estate
|
$
|
20.3
|
$
|
21.0
|
$
|
23.7
|
$
|
36.7
|
$
|
42.9
|
|
Commercial and
industrial
|
|
50.1
|
|
34.6
|
|
32.6
|
|
34.9
|
|
40.2
|
|
Equipment
financing
|
|
49.2
|
|
47.7
|
|
44.3
|
|
54.1
|
|
48.2
|
|
Total
|
|
119.6
|
|
103.3
|
|
100.6
|
|
125.7
|
|
131.3
|
|
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
Residential
mortgage
|
|
33.5
|
|
35.4
|
|
32.7
|
|
33.8
|
|
30.8
|
|
Home
equity
|
|
15.1
|
|
16.1
|
|
15.4
|
|
14.8
|
|
15.8
|
|
Other
consumer
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Total
|
|
48.6
|
|
51.5
|
|
48.1
|
|
48.6
|
|
46.6
|
|
Total originated non-performing loans (1)
|
|
168.2
|
|
154.8
|
|
148.7
|
|
174.3
|
|
177.9
|
|
REO:
|
|
|
|
|
|
|
|
|
|
|
|
Commercial
|
|
9.3
|
|
10.6
|
|
9.3
|
|
6.3
|
|
4.3
|
|
Residential
|
|
5.8
|
|
6.8
|
|
7.6
|
|
4.7
|
|
6.7
|
|
Total REO
|
|
15.1
|
|
17.4
|
|
16.9
|
|
11.0
|
|
11.0
|
|
Repossessed
assets
|
|
3.7
|
|
1.8
|
|
2.5
|
|
5.4
|
|
9.2
|
|
Total non-performing assets
|
$
|
187.0
|
$
|
174.0
|
$
|
168.1
|
$
|
190.7
|
$
|
198.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acquired
non-performing loans (contractual amount)
|
$
|
26.7
|
$
|
30.1
|
$
|
29.7
|
$
|
26.6
|
$
|
26.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Originated
non-performing loans as a percentage
|
|
|
|
|
|
|
|
|
|
|
|
of originated
loans
|
|
0.56
|
%
|
0.52
|
%
|
0.49
|
%
|
0.59
|
%
|
0.60
|
%
|
Non-performing assets
as a percentage of:
|
|
|
|
|
|
|
|
|
|
|
|
Originated
loans, REO and repossessed assets
|
|
0.62
|
|
0.58
|
|
0.56
|
|
0.64
|
|
0.67
|
|
Tangible
stockholders' equity and originated
|
|
|
|
|
|
|
|
|
|
|
|
allowance for loan
losses
|
|
5.25
|
|
4.94
|
|
4.81
|
|
5.60
|
|
5.65
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Reported net of
government guarantees totaling $2.6 million at June 30, 2018, $3.0
million at March 31, 2018,
|
|
$3.1 million at December 31,
2017, $4.0 million at September 30, 2017 and $4.2 million at June
30, 2017.
|
|
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PROVISION AND
ALLOWANCE FOR LOAN LOSSES
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
(dollars in
millions)
|
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
Allowance for loan
losses on originated loans:
|
|
|
|
|
|
|
|
|
|
|
Balance at
beginning of period
|
$
|
231.3
|
$
|
230.8
|
$
|
229.2
|
$
|
227.9
|
$
|
225.0
|
|
Charge-offs
|
|
(4.7)
|
|
(4.4)
|
|
(6.4)
|
|
(5.8)
|
|
(6.7)
|
|
Recoveries
|
|
1.9
|
|
1.4
|
|
1.2
|
|
1.5
|
|
1.8
|
|
Net loan charge-offs
|
|
(2.8)
|
|
(3.0)
|
|
(5.2)
|
|
(4.3)
|
|
(4.9)
|
|
Provision for
loan losses
|
|
4.3
|
|
3.5
|
|
6.8
|
|
5.6
|
|
7.8
|
|
Balance at end of period
|
|
232.8
|
|
231.3
|
|
230.8
|
|
229.2
|
|
227.9
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan
losses on acquired loans:
|
|
|
|
|
|
|
|
|
|
|
|
Balance at
beginning of period
|
|
4.0
|
|
3.6
|
|
4.2
|
|
3.7
|
|
6.3
|
|
Charge-offs
|
|
(2.5)
|
|
(1.8)
|
|
(1.5)
|
|
(1.0)
|
|
(1.9)
|
|
Recoveries
|
|
0.3
|
|
0.3
|
|
0.2
|
|
0.1
|
|
-
|
|
Net loan charge-offs
|
|
(2.2)
|
|
(1.5)
|
|
(1.3)
|
|
(0.9)
|
|
(1.9)
|
|
Provision for
loan losses
|
|
2.2
|
|
1.9
|
|
0.7
|
|
1.4
|
|
(0.7)
|
|
Balance at end of period
|
|
4.0
|
|
4.0
|
|
3.6
|
|
4.2
|
|
3.7
|
|
Total allowance for loan losses
|
$
|
236.8
|
$
|
235.3
|
$
|
234.4
|
$
|
233.4
|
$
|
231.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Originated commercial
allowance for loan losses
|
|
|
|
|
|
|
|
|
|
|
as a
percentage of originated commercial loans
|
0.93
|
%
|
0.94
|
%
|
0.93
|
%
|
0.94
|
%
|
0.94
|
%
|
Originated retail
allowance for loan losses
|
|
|
|
|
|
|
|
|
|
|
|
as a
percentage of originated retail loans
|
|
0.36
|
|
0.36
|
|
0.35
|
|
0.35
|
|
0.35
|
|
Total originated
allowance for loan losses
|
|
|
|
|
|
|
|
|
|
|
|
as a
percentage of:
|
|
|
|
|
|
|
|
|
|
|
|
Originated loans
|
|
0.77
|
|
0.78
|
|
0.77
|
|
0.77
|
|
0.77
|
|
Originated non-performing loans
|
|
138.4
|
|
149.3
|
|
155.2
|
|
131.6
|
|
128.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET LOAN
CHARGE-OFFS (RECOVERIES)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
(dollars in
millions)
|
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
Commercial:
|
|
|
|
|
|
|
|
|
|
|
|
Commercial
real estate
|
$
|
0.7
|
$
|
0.5
|
$
|
1.5
|
$
|
1.5
|
$
|
1.2
|
|
Commercial and
industrial
|
|
1.7
|
|
1.7
|
|
2.1
|
|
2.0
|
|
1.8
|
|
Equipment
financing
|
|
2.6
|
|
1.6
|
|
2.0
|
|
0.5
|
|
2.7
|
|
Total
|
|
5.0
|
|
3.8
|
|
5.6
|
|
4.0
|
|
5.7
|
|
Retail:
|
|
|
|
|
|
|
|
|
|
|
|
Residential
mortgage
|
|
(0.1)
|
|
0.2
|
|
0.2
|
|
0.1
|
|
0.1
|
|
Home
equity
|
|
-
|
|
0.4
|
|
0.5
|
|
0.9
|
|
0.7
|
|
Other
consumer
|
|
0.1
|
|
0.1
|
|
0.2
|
|
0.2
|
|
0.3
|
|
Total
|
|
-
|
|
0.7
|
|
0.9
|
|
1.2
|
|
1.1
|
|
Total net loan charge-offs
|
$
|
5.0
|
$
|
4.5
|
$
|
6.5
|
$
|
5.2
|
$
|
6.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loan charge-offs
to
|
|
|
|
|
|
|
|
|
|
|
|
average total
loans (annualized)
|
|
0.06
|
%
|
0.06
|
%
|
0.08
|
%
|
0.06
|
%
|
0.09
|
%
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATION TO GAAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In
addition to evaluating People's United Financial Inc. ("People's
United") results of operations in accordance with
|
U.S. generally
accepted accounting principles ("GAAP"), management routinely
supplements its evaluation with an analysis
|
of certain non-GAAP
financial measures, such as the efficiency and tangible common
equity ratios, tangible book value per
|
common share and
operating earnings metrics. Management believes these non-GAAP
financial measures provide
|
|
information useful to
investors in understanding People's United's underlying operating
performance and trends, and
|
facilitates
comparisons with the performance of other financial institutions.
Further, the efficiency ratio and operating
|
earnings metrics are
used by management in its assessment of financial performance,
including non-interest expense
|
control, while the
tangible common equity ratio and tangible book value per common
share are used to analyze the
|
|
relative strength of
People's United's capital position.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The efficiency ratio, which represents an approximate measure of
the cost required by People's United to generate a
|
dollar of revenue, is
the ratio of (i) total non-interest expense (excluding
operating lease expense, goodwill impairment
|
charges, amortization
of other acquisition-related intangible assets, losses on real
estate assets and non-recurring
|
|
expenses) (the
numerator) to (ii) net interest income on a fully taxable
equivalent ("FTE") basis plus total non-interest
|
income (including the
FTE adjustment on bank-owned life insurance ("BOLI") income, the
netting of operating lease
|
expense and excluding
gains and losses on sales of assets other than residential mortgage
loans and acquired loans, and
|
non-recurring income)
(the denominator). People's United generally considers an item of
income or expense to be
|
|
non-recurring if it
is not similar to an item of income or expense of a type incurred
within the last two years and is not
|
similar to an item of
income or expense of a type reasonably expected to be incurred
within the following two years.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating earnings exclude
from net income available to common shareholders those items that
management considers
|
to be of such a
non-recurring or infrequent nature that, by excluding such items
(net of income taxes), People's United's
|
results can be
measured and assessed on a more consistent basis from period to
period. Items excluded from operating
|
earnings, which
include, but are not limited to: (i) non-recurring gains/losses;
(ii) merger-related expenses, including
|
acquisition
integration and other costs; (iii) writedowns of banking house
assets and related lease termination costs;
|
(iv)
severance-related costs; and (v) charges related to executive-level
management separation costs, are generally also
|
excluded when
calculating the efficiency ratio. Operating earnings per common
share ("EPS") is derived by determining the
|
per common share
impact of the respective adjustments to arrive at operating
earnings and adding (subtracting) such
|
amounts to (from)
diluted EPS, as reported. Operating return on average assets is
calculated by dividing operating earnings
|
(annualized) by
average total assets. Operating return on average tangible common
equity is calculated by dividing
|
|
operating earnings
(annualized) by average tangible common equity. The operating
common dividend payout ratio is
|
calculated by
dividing common dividends paid by operating earnings for the
respective period.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The tangible common equity ratio is the ratio of (i) tangible
common equity (total stockholders' equity less preferred
|
stock, goodwill and
other acquisition-related intangible assets) (the numerator) to
(ii) tangible assets (total assets less
|
goodwill and other
acquisition-related intangible assets) (the denominator). Tangible
book value per common share is
|
calculated by
dividing tangible common equity by common shares (total common
shares issued, less common shares
|
classified as
treasury shares and unallocated Employee Stock Ownership Plan
("ESOP") common shares).
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
In
light of diversity in presentation among financial institutions,
the methodologies used by People's United for
|
|
determining the
non-GAAP financial measures discussed above may differ from those
used by other financial
|
|
|
institutions.
|
|
|
|
|
|
|
|
|
|
|
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATION TO GAAP - Continued
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING
NON-INTEREST EXPENSE AND EFFICIENCY RATIO
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
(dollars in
millions)
|
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
2018
|
|
2017
|
Total non-interest
expense
|
|
$
248.6
|
|
$
243.5
|
|
$
239.7
|
|
$
237.1
|
|
$
257.3
|
|
$
492.1
|
|
$
483.4
|
Adjustments to arrive
at operating
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
non-interest
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Merger-related
expenses
|
|
(2.9)
|
|
-
|
|
(1.6)
|
|
(3.0)
|
|
(24.8)
|
|
(2.9)
|
|
(26.0)
|
Total
|
|
(2.9)
|
|
-
|
|
(1.6)
|
|
(3.0)
|
|
(24.8)
|
|
(2.9)
|
|
(26.0)
|
Operating non-interest expense
|
|
245.7
|
|
243.5
|
|
238.1
|
|
234.1
|
|
232.5
|
|
489.2
|
|
457.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating lease
expense
|
|
(8.7)
|
|
(9.0)
|
|
(8.9)
|
|
(8.8)
|
|
(8.7)
|
|
(17.7)
|
|
(17.5)
|
Amortization of other
acquisition-related
|
|
|
|
|
|
|
|
|
|
|
|
|
|
intangible assets
|
|
(4.9)
|
|
(5.1)
|
|
(7.9)
|
|
(7.9)
|
|
(7.9)
|
|
(10.0)
|
|
(14.2)
|
Other (1)
|
|
(1.7)
|
|
(1.3)
|
|
(1.4)
|
|
(1.5)
|
|
(0.4)
|
|
(3.0)
|
|
(2.2)
|
Total non-interest expense for
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
efficiency
ratio
|
|
$
230.4
|
|
$
228.1
|
|
$
219.9
|
|
$
215.9
|
|
$
215.5
|
|
$
458.5
|
|
$
423.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income
(FTE basis)
|
|
$
307.8
|
|
$
302.1
|
|
$
304.1
|
|
$
295.8
|
|
$
285.2
|
|
$
609.9
|
|
$
543.3
|
Total non-interest
income
|
|
94.9
|
|
90.4
|
|
87.3
|
|
89.3
|
|
91.6
|
|
185.3
|
|
176.3
|
Total revenues
|
|
402.7
|
|
392.5
|
|
391.4
|
|
385.1
|
|
376.8
|
|
795.2
|
|
719.6
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
lease expense
|
|
(8.7)
|
|
(9.0)
|
|
(8.9)
|
|
(8.8)
|
|
(8.7)
|
|
(17.7)
|
|
(17.5)
|
BOLI FTE
adjustment
|
|
0.4
|
|
0.4
|
|
0.8
|
|
1.2
|
|
1.0
|
|
0.8
|
|
1.4
|
Net security
(gains) losses
|
|
-
|
|
(0.1)
|
|
9.8
|
|
-
|
|
(0.1)
|
|
(0.1)
|
|
15.6
|
Other
(2)
|
|
-
|
|
-
|
|
(1.3)
|
|
(0.2)
|
|
-
|
|
-
|
|
0.2
|
Total revenues for efficiency ratio
|
|
$
394.4
|
|
$
383.8
|
|
$
391.8
|
|
$
377.3
|
|
$
369.0
|
|
$
778.2
|
|
$
719.3
|
Efficiency ratio
|
|
58.4%
|
|
59.4%
|
|
56.1%
|
|
57.3%
|
|
58.4%
|
|
58.9%
|
|
58.9%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Items
classified as "other" and deducted from non-interest expense for
purposes of calculating the efficiency ratio include
|
certain
franchise taxes and real estate owned expenses.
|
|
|
|
|
|
|
|
|
|
|
(2) Items
classified as "other" and (deducted from) added to total revenues
for purposes of calculating the efficiency ratio
|
include, as
applicable, asset write-offs and gains associated with the sale of
branch locations.
|
|
|
|
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATION TO GAAP - Continued
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING
EARNINGS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
(dollars in millions,
except per common share data)
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
2018
|
|
2017
|
Net income available
to common shareholders
|
$
106.7
|
|
$
104.4
|
|
$
102.7
|
|
$
87.3
|
|
$
65.8
|
|
$
211.1
|
|
$
133.1
|
Adjustments to arrive
at operating earnings:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Merger-related
expenses
|
|
2.9
|
|
-
|
|
1.6
|
|
3.0
|
|
24.8
|
|
2.9
|
|
26.0
|
Security
losses associated with tax reform (1)
|
-
|
|
-
|
|
10.0
|
|
-
|
|
-
|
|
-
|
|
-
|
Total pre-tax adjustments
|
|
2.9
|
|
-
|
|
11.6
|
|
3.0
|
|
24.8
|
|
2.9
|
|
26.0
|
Tax effect
(2)
|
|
(0.6)
|
|
-
|
|
(9.8)
|
|
(1.0)
|
|
(8.0)
|
|
(0.6)
|
|
(8.4)
|
Total adjustments, net of tax
|
|
2.3
|
|
-
|
|
1.8
|
|
2.0
|
|
16.8
|
|
2.3
|
|
17.6
|
Operating earnings
|
|
$
109.0
|
|
$
104.4
|
|
$
104.5
|
|
$
89.3
|
|
$
82.6
|
|
$
213.4
|
|
$
150.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted EPS, as
reported
|
|
$
0.31
|
|
$
0.30
|
|
$
0.30
|
|
$
0.26
|
|
$
0.19
|
|
$
0.61
|
|
$
0.41
|
Adjustments to arrive
at operating EPS:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Merger-related
expenses
|
|
0.01
|
|
-
|
|
0.01
|
|
-
|
|
0.05
|
|
0.01
|
|
0.05
|
Security
losses associated with tax reform
|
|
-
|
|
-
|
|
0.02
|
|
-
|
|
-
|
|
|
|
|
Tax benefit
associated with tax reform
|
|
-
|
|
-
|
|
(0.02)
|
|
-
|
|
-
|
|
-
|
|
-
|
Total adjustments per common share
|
|
0.01
|
|
-
|
|
0.01
|
|
-
|
|
0.05
|
|
0.01
|
|
0.05
|
Operating EPS
|
|
$
0.32
|
|
$
0.30
|
|
$
0.31
|
|
$
0.26
|
|
$
0.24
|
|
$
0.62
|
|
$
0.46
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
assets
|
|
$ 44,110
|
|
$ 44,011
|
|
$ 44,039
|
|
$ 43,256
|
|
$
42,666
|
|
$ 44,061
|
|
$ 41,498
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating return
on
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
average
assets (annualized)
|
|
0.99%
|
|
0.95%
|
|
0.95%
|
|
0.83%
|
|
0.77%
|
|
0.97%
|
|
0.73%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Security losses
incurred as a tax planning strategy in response to tax reform
enacted on December 22, 2017
|
|
|
are considered
non-operating.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(2) Includes a $6.5
million benefit realized in connection with tax reform enacted on
December 22, 2017.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING RETURN
ON AVERAGE TANGIBLE COMMON EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
(dollars in
millions)
|
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
2018
|
|
2017
|
Operating
earnings
|
|
$
109.0
|
|
$
104.4
|
|
$
104.5
|
|
$
89.3
|
|
$
82.6
|
|
$
213.4
|
|
$
150.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average stockholders'
equity
|
|
$
5,870
|
|
$
5,820
|
|
$
5,774
|
|
$
5,722
|
|
$
5,696
|
|
$
5,845
|
|
$
5,432
|
Less: Average
preferred stock
|
|
244
|
|
244
|
|
244
|
|
244
|
|
244
|
|
244
|
|
244
|
Average common
equity
|
|
5,626
|
|
5,576
|
|
5,530
|
|
5,478
|
|
5,452
|
|
5,601
|
|
5,188
|
Less: Average
goodwill and average other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
acquisition-related intangible assets
|
|
2,554
|
|
2,558
|
|
2,564
|
|
2,524
|
|
2,415
|
|
2,556
|
|
2,275
|
Average tangible
common equity
|
|
$
3,072
|
|
$
3,018
|
|
$
2,966
|
|
$
2,954
|
|
$
3,037
|
|
$
3,045
|
|
$
2,913
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating return
on average tangible
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
common
equity (annualized)
|
|
14.2%
|
|
13.8%
|
|
14.1%
|
|
12.1%
|
|
10.9%
|
|
14.0%
|
|
10.3%
|
People's United
Financial, Inc.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATION TO GAAP - Continued
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
OPERATING COMMON
DIVIDEND PAYOUT RATIO
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Six Months
Ended
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
June 30,
|
|
June 30,
|
(dollars in
millions)
|
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
2018
|
|
2017
|
Common dividends
paid
|
|
$
59.9
|
|
$
58.8
|
|
$
58.6
|
|
$
58.3
|
|
$
58.3
|
|
$
118.7
|
|
$
111.0
|
Operating
earnings
|
|
$
109.0
|
|
$
104.4
|
|
$
104.5
|
|
$
89.3
|
|
$
82.6
|
|
$
213.4
|
|
$
150.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating common
dividend payout ratio
|
|
55.0%
|
|
56.3%
|
|
56.1%
|
|
65.3%
|
|
70.6%
|
|
55.6%
|
|
73.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TANGIBLE COMMON
EQUITY RATIO
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
|
|
|
(dollars in
millions)
|
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
|
|
|
Total stockholders'
equity
|
|
$
5,900
|
|
$
5,845
|
|
$
5,820
|
|
$
5,746
|
|
$
5,704
|
|
|
|
|
Less: Preferred
stock
|
|
244
|
|
244
|
|
244
|
|
244
|
|
244
|
|
|
|
|
Common
equity
|
|
5,656
|
|
5,601
|
|
5,576
|
|
5,502
|
|
5,460
|
|
|
|
|
Less: Goodwill and
other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
acquisition-related intangible assets
|
|
2,574
|
|
2,555
|
|
2,560
|
|
2,568
|
|
2,426
|
|
|
|
|
Tangible common
equity
|
|
$
3,082
|
|
$
3,046
|
|
$
3,016
|
|
$
2,934
|
|
$
3,034
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
$ 44,575
|
|
$ 44,101
|
|
$ 44,453
|
|
$ 43,998
|
|
$ 43,023
|
|
|
|
|
Less: Goodwill and
other
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
acquisition-related intangible assets
|
|
2,574
|
|
2,555
|
|
2,560
|
|
2,568
|
|
2,426
|
|
|
|
|
Tangible
assets
|
|
$ 42,001
|
|
$ 41,546
|
|
$ 41,893
|
|
$ 41,430
|
|
$ 40,597
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common
equity ratio
|
|
7.3%
|
|
7.3%
|
|
7.2%
|
|
7.1%
|
|
7.5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TANGIBLE BOOK
VALUE PER COMMON SHARE
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30,
|
|
March 31,
|
|
Dec. 31,
|
|
Sept. 30,
|
|
June 30,
|
|
|
|
|
(in millions, except
per common share data)
|
2018
|
|
2018
|
|
2017
|
|
2017
|
|
2017
|
|
|
|
|
Tangible common
equity
|
|
$
3,082
|
|
$
3,046
|
|
$
3,016
|
|
$
2,934
|
|
$
3,034
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares
issued
|
|
437.06
|
|
436.56
|
|
435.64
|
|
433.59
|
|
433.34
|
|
|
|
|
Less: Shares
classified as treasury shares
|
|
89.02
|
|
89.02
|
|
89.04
|
|
89.04
|
|
89.04
|
|
|
|
|
Unallocated ESOP shares
|
|
6.45
|
|
6.53
|
|
6.62
|
|
6.71
|
|
6.79
|
|
|
|
|
Common
shares
|
|
341.59
|
|
341.01
|
|
339.98
|
|
337.84
|
|
337.51
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible book
value per common share
|
|
$
9.02
|
|
$
8.93
|
|
$
8.87
|
|
$
8.68
|
|
$
8.99
|
|
|
|
|
View original
content:http://www.prnewswire.com/news-releases/peoples-united-financial-reports-second-quarter-net-income-of-110-2-million-or-0-31-per-common-share-300683796.html
SOURCE People's United Financial, Inc.