COLUMBUS, Ohio, July 29, 2021 /PRNewswire/ --
2021 Second-Quarter Highlights:
- Earnings (loss) per common share (EPS) for the quarter were
($0.05), a decrease of $0.18 year-over-year. Excluding approximately
$0.40 per common share after tax of
TCF acquisition-related Notable Items, adjusted earnings per common
share were $0.35.
- On June 9, Huntington completed
the acquisition of TCF Financial Corporation (TCF), adding
approximately $50 billion of total
assets, $34 billion of total loans
and leases, and $39 billion of total
deposits.
- On track to deliver expected economics from TCF transaction
with integration proceeding as planned; consolidated 44 Meijer
in-store branches in mid-June; majority of branch and systems
conversions expected to occur in October.
- Executed balance sheet optimization strategy following
completion of TCF acquisition; remixing securities for yield and
duration in line with our aggregate moderate-to-low risk
appetite.
- Fully exited interest rate cap position as of June 30 while continuing to maintain equivalent
capital protection through a mix of swaps and securities
designation.
- The Board of Directors approved an $800
million share repurchase authorization for the next four
quarters.
- Ranked by J.D. Power as the highest in customer satisfaction
among regional banks for our mobile app for the third consecutive
year and highest in customer satisfaction with consumer banking in
the North Central Region for the sixth time in nine years.
Huntington Bancshares Incorporated (Nasdaq: HBAN) reported a net
loss for the 2021 second quarter of $15
million, a decrease of $165
million from the year-ago quarter, impacted by TCF
acquisition-related expenses. Earnings (loss) per common
share for the 2021 second quarter were ($0.05), down $0.18
from the year-ago quarter. Excluding approximately
$0.40 per common share after tax of
Notable Items, adjusted earnings per common share were $0.35. Specifically, second-quarter results
were negatively impacted by $269
million pretax of TCF acquisition-related expenses and
$294 million pretax of CECL initial
provision ("double count"1) expense related to the
acquisition.
Tangible book value per common share ended the 2021 second
quarter at $8.23, a 1% year-over-year
decrease. Return on average assets was (0.05%), return on
average common equity was (1.9%), and return on average tangible
common equity was (2.1%).
CEO Commentary:
"We delivered solid fundamental performance for the quarter,"
said Steve Steinour, chairman,
president, and CEO. "We are seeing encouraging signs of the
economic recovery, and customer activity is starting to
normalize. Lending pipelines have continued to grow across
the board, reflecting our view of increased loan demand later this
year.
"We are excited about the acquisition of TCF, which has
strengthened the run-rate return profile of the company.
Integration execution is proceeding on schedule. We have
completed several systems conversions, and we closed 44 Meijer
branch locations in June. In addition, we remain confident
that we will complete the majority of systems conversions and
remaining branch consolidations during the first part of the fourth
quarter of 2021. This will move us swiftly toward realizing
our annualized cost savings target and set up earnings for 2022 and
beyond.
"We are executing strategies to drive sustained revenue growth
across the bank, and the TCF acquisition is one component of these
efforts. The second quarter introduction of Standby
CashSM, our most successful product launch ever, is an
example of how we are innovating to further differentiate our
products and services. We also are building out our business
banking, middle market, corporate, and wealth management teams,
augmented by increased investments in our brand, to accelerate
growth across our expanded customer base and geographies.
"Finally, Huntington is proud to be ranked by J.D. Power as the
highest in customer satisfaction among regional banks for our
mobile app for the third consecutive year," Steinour said.
"Huntington also claimed the highest ranking in customer
satisfaction with consumer banking in the North Central Region for
the sixth time in nine years. Our progress on becoming the
leading people-first, digitally powered bank in the country is
being demonstrated through these accolades and through our
increased customer utilization."
The second quarter 2021 earnings materials, including the
detailed earnings press release, quarterly financial supplement,
and conference call slide presentation, are available on the
Investor Relations section of Huntington's website,
http://www.huntington.com. In addition, the financial results
will be furnished on a Form 8-K that will be available on the
Securities and Exchange Commission website at www.sec.gov.
Conference Call / Webcast Information
Huntington's senior management will host an earnings conference
call on July 29, 2021, at 8:30 a.m.
(Eastern Daylight Time). The call may be accessed via
a live Internet webcast at the Investor Relations section of
Huntington's website, www.huntington.com, or through a dial-in
telephone number at (877) 407-8029; Conference ID
#13720782. Slides will be available in the Investor Relations
section of Huntington's website about an hour prior to the
call. A replay of the webcast will be archived in the
Investor Relations section of Huntington's website. A
telephone replay will be available approximately two hours after
the completion of the call through August 6, 2021 at
(877) 660-6853 or (201) 612-7415; conference ID
#13720782.
About Huntington
Huntington Bancshares Incorporated is a $175 billion asset regional bank holding company
headquartered in Columbus,
Ohio. Founded in 1866, The Huntington National Bank and its
affiliates provide consumers, small and middle–market businesses,
corporations, municipalities, and other organizations with a
comprehensive suite of banking, payments, wealth management, and
risk management products and services. Huntington operates
more than 1,200 branches in 12 states, with certain businesses
operating in extended geographies. Visit Huntington.com for
more information.
1 "Double count" refers to the additional gross
up to the ACL via provision expense for the non-PCD loans and
acquired unfunded lending commitments
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SOURCE Huntington Bancshares Inc.