UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 26, 2023 |
Ameris Bancorp
(Exact name of Registrant as Specified in Its Charter)
Georgia |
001-13901 |
58-1456434 |
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(State or Other Jurisdiction |
(Commission File Number) |
(IRS Employer |
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3490 Piedmont Road N.E. Suite 1550 |
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Atlanta, Georgia |
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30305 |
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(Address of Principal Executive Offices) |
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(Zip Code) |
Registrant’s Telephone Number, Including Area Code: (404) 639-6500 |
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(Former Name or Former Address, if Changed Since Last Report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
Securities registered pursuant to Section 12(b) of the Act:
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Trading |
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Common Stock, par value $1.00 per share |
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ABCB |
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The Nasdaq Global Market |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition.
On October 26, 2023, Ameris Bancorp (the “Company”) issued a press release announcing its unaudited financial results for the quarter ended September 30, 2023. A copy of that press release is attached to this Current Report on Form 8-K (this “Report”) as Exhibit 99.1.
The information contained in this Item 2.02 and in Exhibit 99.1 attached to this Report is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of such section. Furthermore, such information shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.
Item 7.01 Regulation FD Disclosure.
A copy of the investor presentation material that the Company will present regarding its earnings during the teleconference beginning at 9:00 a.m. Eastern time on October 27, 2023 is attached to this Report as Exhibit 99.2. The investor presentation material is also available on the “Investor Relations” page of the Company’s website (http://www.amerisbank.com).
The information contained in this Item 7.01 and in Exhibit 99.2 attached to this Report is being furnished and shall not be deemed filed for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of such section. Furthermore, such information shall not be deemed to be incorporated by reference into any registration statement or other document filed pursuant to the Securities Act of 1933, as amended.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits.
99.1 |
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99.2 |
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104 |
Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.
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AMERIS BANCORP |
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Date: |
October 26, 2023 |
By: |
/s/ Nicole S. Stokes |
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Nicole S. Stokes |
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Chief Financial Officer |
Exhibit 99.1
AMERIS BANCORP ANNOUNCES FINANCIAL RESULTS FOR THIRD QUARTER 2023
Highlights of Ameris's results for the third quarter of 2023 include the following:
ATLANTA, Oct. 26, 2023 /PRNewswire/ -- Ameris Bancorp (Nasdaq: ABCB) (the "Company") today reported net income of $80.1 million, or $1.16 per diluted share, for the quarter ended September 30, 2023, compared with $92.6 million, or $1.34 per diluted share, for the quarter ended September 30, 2022.
For the year-to-date period ending September 30, 2023, the Company reported net income of $203.2 million, or $2.94 per diluted share, compared with $264.3 million, or $3.81 per diluted share, for the same period in 2022. The year-to-date period ending September 30, 2023 included a provision for credit losses of $119.7 million, compared with $38.8 million for the same period in 2022. The year-to-date period ending September 30, 2022 included a recovery of servicing right impairment of $21.8 million, with no such recovery in the same period in 2023.
Commenting on the Company's results, Palmer Proctor, the Company's Chief Executive Officer, said, "We are proud of another strong quarter, highlighted by core fundamentals and capital growth, which will continue to serve us well as we move into 2024. The profitability of our Company remains solid with an ROA of 1.25%, PPNR ROA of over 2%, net interest margin of 3.54% and efficiency ratio of just over 52%. We grew core deposits, tangible book value and improved our allowance for loan loss coverage ratio, all of which strengthened our balance sheet during the quarter. All of these things, combined with our focus on controlled growth, position us well for the remainder of 2023 and moving into 2024."
Net Interest Income and Net Interest Margin
Net interest income on a tax-equivalent basis (TE) was $208.7 million in the third quarter of 2023, a decrease of $1.8 million, or 0.8%, from last quarter and $5.2 million, or 2.4%, compared with the third quarter of 2022. The Company's net interest margin was 3.54% for the third quarter of 2023, down from 3.60% reported for the second quarter of 2023 and 3.97% reported for the third quarter of 2022. The decrease in net interest margin this quarter is primarily attributable to rising deposit costs in the current interest rate environment.
Yields on earning assets increased ten basis points during the quarter to 5.62%, compared with 5.52% in the second quarter of 2023, and increased 125 basis points from 4.37% in the third quarter of 2022. Yields on loans increased to 5.81% during the third quarter of 2023, compared with 5.66% for the second quarter of 2023 and 4.62% for the third quarter of 2022.
Loan production in the banking division during the third quarter of 2023 was $621.0 million, with weighted average yields of 9.49%, compared with $544.3 million and 9.35%, respectively, in the second quarter of 2023 and $1.12 billion and 6.26%, respectively, in the third quarter of 2022. Loan production in the lines of business (including retail mortgage, warehouse lending, SBA and premium finance) amounted to an additional $4.2 billion during the third quarter of 2023, with weighted average yields of 7.28%, compared with $4.7 billion and 6.83%, respectively, during the second quarter of 2023 and $4.6 billion and 5.29%, respectively, during the third quarter of 2022.
The Company's total cost of funds was 2.24% in the third quarter of 2023, an increase of 19 basis points compared with the second quarter of 2023. Deposit costs increased 24 basis points during the third quarter of 2023 to 2.00%, compared with 1.76% in the second quarter of 2023. Costs of interest-bearing deposits increased during the quarter from 2.64% in the second quarter of 2023 to 2.97% in the third quarter of 2023, reflecting a shift in mix to CDs and money market accounts in the rising rate environment.
Noninterest Income
Noninterest income decreased $4.2 million, or 6.2%, in the third quarter of 2023 to $63.2 million, compared with $67.3 million for the second quarter of 2023, primarily as a result of decreased mortgage banking activity, which decreased by $4.5 million, or 10.9%, to $36.3 million in the third quarter of 2023, compared with $40.7 million for the second quarter of 2023. Gain on sale spreads decreased slightly to 2.15% in the third quarter of 2023 from 2.18% for the second quarter of 2023. Total production in the retail mortgage division decreased $157.2 million, or 11.8%, to $1.18 billion in the third quarter of 2023, compared with $1.33 billion for the second quarter of 2023. The retail mortgage open pipeline was $623.9 million at the end of the third quarter of 2023, compared with $652.1 million for the second quarter of 2023. Other noninterest income decreased $749,000, or 5.2%, to $13.6 million in the third quarter of 2023, compared with $14.3 million for the second quarter of 2023, primarily resulting from a decrease in gain on debt redemption of $905,000.
Noninterest Expense
Noninterest expense decreased $7.0 million, or 4.7%, to $141.4 million during the third quarter of 2023, compared with $148.4 million for the second quarter of 2023. The decrease in noninterest expense was driven by a decrease in problem loan expense of $2.2 million, a $1.0 million decrease in FDIC insurance costs, a $1.4 million decrease in legal and professional fees, a $1.1 million decrease in fraud/forgery and litigation resolution expenses and a decrease in variable compensation related to mortgage production of $965,000. Management continues to focus on operating efficiency, and the adjusted efficiency ratio(1) decreased to 52.02% in the third quarter of 2023, compared with 53.41% in the second quarter of 2023.
Income Tax Expense
The Company's effective tax rate for the third quarter of 2023 was 23.7%, compared with 24.5% for the second quarter of 2023. The decreased rate for the third quarter of 2023 was primarily a result of decreased permanent differences related to nondeductible compensation and FDIC insurance premiums, compared with the second quarter of 2023.
Balance Sheet Trends
Total assets at September 30, 2023 were $25.70 billion, compared with $25.05 billion at December 31, 2022. Cash and cash equivalents increased 38.2% to $1.55 billion at September 30, 2023, compared with $1.12 billion at December 31, 2022. Debt securities available-for-sale decreased to $1.42 billion, compared with $1.50 billion at December 31, 2022. Loans, net of unearned income, increased $345.8 million, or 2.3% annualized, to $20.20 billion at September 30, 2023, compared with $19.86 billion at December 31, 2022. Loans held for sale decreased slightly to $381.5 million at September 30, 2023 from $392.1 million at December 31, 2022.
Investment securities decreased to $1.57 billion, or 6.6% of earning assets at the end of the third quarter of 2023, compared with $1.63 billion, or 7.2% of earning assets at December 31, 2022. The Company did not deploy excess liquidity into the securities portfolio until after rates began rising during 2022; as a result, the unrealized loss position in the Company's available-for-sale securities portfolio remains modest at just 5.2% of the portfolio.
At September 30, 2023, total deposits amounted to $20.59 billion, compared with $19.46 billion at December 31, 2022. During the third quarter of 2023, deposits grew $147.2 million, with money market and savings accounts increasing $359.6 million and retail CDs increasing $156.8 million, with such increases offset in part by a $117.3 million decrease in noninterest bearing accounts and a $252.9 million decrease in interest bearing demand accounts. Due to the increased interest rate environment, the Company continued to see the shift of customer deposits from noninterest bearing accounts into interest bearing accounts, such that at September 30, 2023, noninterest bearing deposit accounts represented $6.59 billion, or 32.0% of total deposits, compared with $7.93 billion, or 40.7% of total deposits, at December 31, 2022.
During the third quarter of 2023, utilizing existing liquidity, the Company reduced borrowings with the FHLB by $325.0 million and redeemed, at a discount, $2.5 million in principal amount of its 4.25% Fixed-to-Floating Rate Subordinated Notes Due 2029.
Shareholders' equity at September 30, 2023 totaled $3.35 billion, an increase of $149.7 million, or 4.7%, from December 31, 2022. The increase in shareholders' equity was primarily the result of earnings of $203.2 million during the first nine months of 2023, partially offset by dividends declared, share repurchases and an increase in other comprehensive loss of $14.3 million resulting from changes in interest rates on the Company's investment portfolio. Tangible book value per share(1) increased $2.46 per share, or 11.0% annualized, during the first nine months of 2023 to $32.38 at September 30, 2023. The Company recorded dilution of $0.21 per share, or 0.7%, to tangible book value(1) from other comprehensive loss related to the increase in net unrealized losses on the securities portfolio during this same period. Tangible common equity as a percentage of tangible assets was 9.11% at September 30, 2023, compared with 8.67% at the end of 2022.
Credit Quality
Credit quality remains strong in the Company. During the third quarter of 2023, the Company recorded a provision for credit losses of $24.5 million, compared with a provision of $45.5 million in the second quarter of 2023. The third quarter provision was primarily attributable to the updated economic forecast, partially offset by a decline in loans of $270.7 million during the quarter. Nonperforming assets as a percentage of total assets were up one basis point to 0.58% during the quarter. Approximately $80.8 million, or 53.9%, of the nonperforming assets at September 30, 2023 were GNMA-guaranteed mortgage loans, which have minimal loss exposure. Excluding these government-guaranteed loans, nonperforming assets as a percentage of total assets improved three basis points to 0.27% at September 30, 2023, compared with 0.30% at the second quarter of 2023. The net charge-off ratio was 23 basis points for the third quarter of 2023, compared with 28 basis points in the second quarter of 2023.
Share Repurchase Program
The Company's board of directors, on October 26, 2023, authorized the Company to repurchase up to $100.0 million of its outstanding common stock. Repurchases of shares, which are authorized to occur through October 31, 2024, will be made, if at all, in accordance with applicable securities laws and may be made from time to time in the open market or by negotiated transactions. The amount and timing of repurchases will be based on a variety of factors, including share acquisition price, regulatory limitations and other market and economic factors. The program does not require the Company to repurchase any specific number of shares. The board's authorization is a continuation of and increase in the Company's previously announced share repurchase program which was set to expire on October 31 and under which the Company has repurchased $13.5 million of its outstanding common stock in the past 12 months.
Conference Call
The Company will host a teleconference at 9:00 a.m. Eastern time on Friday, October 27, 2023, to discuss the Company's results and answer appropriate questions. The conference call can be accessed by dialing 1-877-317-6789. The conference call ID is Ameris Bancorp. A replay of the call will be available one hour after the end of the conference call until November 10, 2023. To listen to the replay, dial 1-877-344-7529. The conference replay access code is 1921240. The financial information discussed will also be available on the Investor Relations page of the Ameris Bank website at ir.amerisbank.com.
About Ameris Bancorp
Ameris Bancorp is a bank holding company headquartered in Atlanta, Georgia. The Company's banking subsidiary, Ameris Bank, had 164 locations in Georgia, Alabama, Florida, North Carolina and South Carolina at the end of the most recent quarter.
(1) Considered non-GAAP financial measure - See reconciliation of GAAP to non-GAAP financial measures in tables 9A - 9E. |
This news release contains certain performance measures determined by methods other than in accordance with accounting principles generally accepted in the United States of America ("GAAP"). The Company's management uses these non-GAAP financial measures in its analysis of the Company's performance. These measures are useful when evaluating the underlying performance and efficiency of the Company's operations and balance sheet. The Company's management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations, enhance comparability of results with prior periods and demonstrate the effects of significant gains and charges in the current period. The Company's management believes that investors may use these non-GAAP financial measures to evaluate the Company's financial performance without the impact of unusual items that may obscure trends in the Company's underlying performance. These disclosures should not be viewed as a substitute for financial measures determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP financial measures that may be presented by other companies.
This news release contains forward-looking statements, as defined by federal securities laws, including, among other forward-looking statements, certain plans, expectations and goals. Words such as "may," "believe," "expect," "anticipate," "intend," "will," "should," "plan," "estimate," "predict," "continue" and "potential" or the negative of these terms or other comparable terminology, as well as similar expressions, are meant to identify forward-looking statements. The forward-looking statements in this news release are based on current expectations and are provided to assist in the understanding of potential future performance. Such forward-looking statements involve numerous assumptions, risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements, including, without limitation, the following: general competitive, economic, unemployment, political and market conditions and fluctuations, including real estate market conditions, and the effects of such conditions and fluctuations on the creditworthiness of borrowers, collateral values, asset recovery values and the value of investment securities; movements in interest rates and their impacts on net interest margin, investment security valuations and other performance measures; expectations on credit quality and performance; legislative and regulatory changes; changes in U.S. government monetary and fiscal policy; competitive pressures on product pricing and services; the cost savings and any revenue synergies expected to result from acquisition transactions, which may not be fully realized within the expected timeframes if at all; the success and timing of other business strategies; our outlook and long-term goals for future growth; and natural disasters, geopolitical events, acts of war or terrorism or other hostilities, public health crises and other catastrophic events beyond our control. For a discussion of some of the other risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to the Company's filings with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the year ended December 31, 2022 and the Company's subsequently filed periodic reports and other filings. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update or revise forward-looking statements.
AMERIS BANCORP AND SUBSIDIARIES |
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FINANCIAL TABLES |
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Financial Highlights |
Table 1 |
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Three Months Ended |
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Nine Months Ended |
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Sep |
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Jun |
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Mar |
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Dec |
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Sep |
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Sep |
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Sep |
(dollars in thousands except per share data) |
2023 |
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2023 |
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2023 |
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2022 |
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2022 |
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2023 |
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2022 |
EARNINGS |
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Net income |
$ 80,115 |
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$ 62,635 |
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$ 60,421 |
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$ 82,221 |
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$ 92,555 |
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$ 203,171 |
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$ 264,319 |
Adjusted net income(1) |
$ 80,115 |
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$ 62,635 |
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$ 59,935 |
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$ 81,086 |
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$ 91,817 |
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$ 202,685 |
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$ 248,329 |
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COMMON SHARE DATA |
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Earnings per share available to common shareholders |
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Basic |
$ 1.16 |
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$ 0.91 |
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$ 0.87 |
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$ 1.19 |
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$ 1.34 |
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$ 2.94 |
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$ 3.82 |
Diluted |
$ 1.16 |
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$ 0.91 |
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$ 0.87 |
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$ 1.18 |
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$ 1.34 |
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$ 2.94 |
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$ 3.81 |
Adjusted diluted EPS(1) |
$ 1.16 |
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$ 0.91 |
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$ 0.86 |
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$ 1.17 |
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$ 1.32 |
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$ 2.93 |
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$ 3.58 |
Cash dividends per share |
$ 0.15 |
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$ 0.15 |
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$ 0.15 |
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$ 0.15 |
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$ 0.15 |
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$ 0.45 |
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$ 0.45 |
Book value per share (period end) |
$ 48.41 |
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$ 47.51 |
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$ 46.89 |
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$ 46.09 |
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$ 44.97 |
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$ 48.41 |
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$ 44.97 |
Tangible book value per share (period end)(1) |
$ 32.38 |
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$ 31.42 |
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$ 30.79 |
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$ 29.92 |
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$ 28.62 |
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$ 32.38 |
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$ 28.62 |
Weighted average number of shares |
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Basic |
68,879,352 |
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68,989,549 |
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69,171,562 |
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69,138,431 |
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69,124,855 |
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69,023,201 |
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69,213,012 |
Diluted |
68,994,247 |
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69,034,763 |
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69,322,664 |
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69,395,224 |
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69,327,414 |
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69,129,921 |
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69,427,522 |
Period end number of shares |
69,138,461 |
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69,139,783 |
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69,373,863 |
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69,369,050 |
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69,352,709 |
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69,138,461 |
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69,352,709 |
Market data |
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High intraday price |
$ 45.34 |
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$ 37.18 |
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$ 50.54 |
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$ 54.24 |
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$ 50.94 |
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$ 50.54 |
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$ 55.62 |
Low intraday price |
$ 33.21 |
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$ 28.33 |
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$ 34.28 |
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$ 44.61 |
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$ 38.22 |
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$ 28.33 |
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$ 38.22 |
Period end closing price |
$ 38.39 |
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$ 34.21 |
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$ 36.58 |
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$ 47.14 |
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$ 44.71 |
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$ 38.39 |
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$ 44.71 |
Average daily volume |
$ 361,167 |
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$ 475,198 |
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$ 452,242 |
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$ 340,890 |
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$ 346,522 |
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$ 429,170 |
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420,703 |
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PERFORMANCE RATIOS |
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Return on average assets |
1.25 % |
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0.98 % |
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0.98 % |
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1.34 % |
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1.56 % |
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1.07 % |
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1.51 % |
Adjusted return on average assets(1) |
1.25 % |
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0.98 % |
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0.97 % |
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1.32 % |
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1.54 % |
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1.07 % |
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1.42 % |
Return on average common equity |
9.56 % |
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7.63 % |
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7.54 % |
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10.30 % |
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11.76 % |
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8.26 % |
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11.57 % |
Adjusted return on average tangible common equity(1) |
14.35 % |
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11.53 % |
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11.41 % |
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15.78 % |
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18.33 % |
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12.46 % |
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17.33 % |
Earning asset yield (TE) |
5.62 % |
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5.52 % |
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5.25 % |
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4.91 % |
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4.37 % |
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5.46 % |
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3.94 % |
Total cost of funds |
2.24 % |
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2.05 % |
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1.59 % |
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0.94 % |
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0.42 % |
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1.96 % |
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0.29 % |
Net interest margin (TE) |
3.54 % |
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3.60 % |
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3.76 % |
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4.03 % |
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3.97 % |
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3.63 % |
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3.67 % |
Efficiency ratio |
52.21 % |
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53.60 % |
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52.08 % |
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49.57 % |
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50.15 % |
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52.64 % |
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52.35 % |
Adjusted efficiency ratio (TE)(1) |
52.02 % |
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53.41 % |
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51.99 % |
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49.61 % |
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50.12 % |
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52.49 % |
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53.46 % |
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CAPITAL ADEQUACY (period end) |
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Shareholders' equity to assets |
13.02 % |
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12.73 % |
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12.47 % |
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12.76 % |
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13.10 % |
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13.02 % |
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13.10 % |
Tangible common equity to tangible assets(1) |
9.11 % |
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8.80 % |
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8.55 % |
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8.67 % |
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8.75 % |
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9.11 % |
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8.75 % |
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OTHER DATA (period end) |
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Full time equivalent employees |
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Banking Division |
2,049 |
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2,069 |
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2,093 |
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2,079 |
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2,071 |
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2,049 |
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2,071 |
Retail Mortgage Division |
601 |
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613 |
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630 |
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633 |
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671 |
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601 |
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671 |
Warehouse Lending Division |
8 |
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8 |
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8 |
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8 |
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9 |
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8 |
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9 |
SBA Division |
33 |
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35 |
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39 |
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39 |
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40 |
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33 |
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40 |
Premium Finance Division |
78 |
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76 |
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78 |
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76 |
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77 |
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78 |
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77 |
Total Ameris Bancorp FTE headcount |
2,769 |
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2,801 |
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2,848 |
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2,835 |
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2,868 |
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2,769 |
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2,868 |
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Branch locations |
164 |
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164 |
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164 |
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164 |
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164 |
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164 |
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164 |
Deposits per branch location |
$ 125,551 |
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$ 124,653 |
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$ 121,326 |
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$ 118,675 |
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$ 118,701 |
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$ 125,551 |
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$ 118,701 |
(1)Considered non-GAAP financial measure - See reconciliation of GAAP to non-GAAP financial measures in tables 9A - 9E |
AMERIS BANCORP AND SUBSIDIARIES |
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FINANCIAL TABLES |
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Income Statement |
Table 2 |
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Three Months Ended |
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Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands except per share data) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Interest income |
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and fees on loans |
$ 304,699 |
|
$ 292,012 |
|
$ 271,964 |
|
$ 250,263 |
|
$ 216,400 |
|
$ 868,675 |
|
$ 584,706 |
Interest on taxable securities |
14,754 |
|
15,915 |
|
14,300 |
|
13,029 |
|
10,324 |
|
44,969 |
|
21,627 |
Interest on nontaxable securities |
331 |
|
339 |
|
339 |
|
358 |
|
363 |
|
1,009 |
|
818 |
Interest on deposits in other banks |
10,769 |
|
13,686 |
|
9,113 |
|
9,984 |
|
7,188 |
|
33,568 |
|
13,024 |
Interest on federal funds sold |
— |
|
— |
|
— |
|
8 |
|
27 |
|
— |
|
69 |
Total interest income |
330,553 |
|
321,952 |
|
295,716 |
|
273,642 |
|
234,302 |
|
948,221 |
|
620,244 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest on deposits |
102,999 |
|
88,087 |
|
53,182 |
|
33,071 |
|
14,034 |
|
244,268 |
|
23,034 |
Interest on other borrowings |
19,803 |
|
24,325 |
|
30,882 |
|
16,434 |
|
7,287 |
|
75,010 |
|
20,321 |
Total interest expense |
122,802 |
|
112,412 |
|
84,064 |
|
49,505 |
|
21,321 |
|
319,278 |
|
43,355 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
207,751 |
|
209,540 |
|
211,652 |
|
224,137 |
|
212,981 |
|
628,943 |
|
576,889 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for loan losses |
30,095 |
|
43,643 |
|
49,376 |
|
24,648 |
|
17,469 |
|
123,114 |
|
27,962 |
Provision for unfunded commitments |
(5,634) |
|
1,873 |
|
346 |
|
8,246 |
|
192 |
|
(3,415) |
|
10,980 |
Provision for other credit losses |
(2) |
|
— |
|
7 |
|
(4) |
|
(9) |
|
5 |
|
(135) |
Provision for credit losses |
24,459 |
|
45,516 |
|
49,729 |
|
32,890 |
|
17,652 |
|
119,704 |
|
38,807 |
Net interest income after provision for credit losses |
183,292 |
|
164,024 |
|
161,923 |
|
191,247 |
|
195,329 |
|
509,239 |
|
538,082 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest income |
|
|
|
|
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
12,092 |
|
11,295 |
|
10,936 |
|
11,125 |
|
11,168 |
|
34,323 |
|
33,374 |
Mortgage banking activity |
36,290 |
|
40,742 |
|
31,392 |
|
22,855 |
|
40,350 |
|
108,424 |
|
162,049 |
Other service charges, commissions and fees |
1,221 |
|
975 |
|
971 |
|
968 |
|
970 |
|
3,167 |
|
2,907 |
Gain (loss) on securities |
(16) |
|
(6) |
|
6 |
|
3 |
|
(21) |
|
(16) |
|
200 |
Other noninterest income |
13,594 |
|
14,343 |
|
12,745 |
|
13,397 |
|
12,857 |
|
40,682 |
|
37,546 |
Total noninterest income |
63,181 |
|
67,349 |
|
56,050 |
|
48,348 |
|
65,324 |
|
186,580 |
|
236,076 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
81,898 |
|
81,336 |
|
80,910 |
|
75,196 |
|
78,697 |
|
244,144 |
|
244,523 |
Occupancy and equipment |
12,745 |
|
12,522 |
|
12,986 |
|
12,905 |
|
12,983 |
|
38,253 |
|
38,456 |
Data processing and communications expenses |
12,973 |
|
13,451 |
|
13,034 |
|
12,486 |
|
12,015 |
|
39,458 |
|
36,742 |
Credit resolution-related expenses(1) |
(1,360) |
|
848 |
|
435 |
|
372 |
|
126 |
|
(77) |
|
(343) |
Advertising and marketing |
2,723 |
|
2,627 |
|
3,532 |
|
3,818 |
|
3,553 |
|
8,882 |
|
8,663 |
Amortization of intangible assets |
4,425 |
|
4,688 |
|
4,706 |
|
4,709 |
|
4,710 |
|
13,819 |
|
15,035 |
Merger and conversion charges |
— |
|
— |
|
— |
|
235 |
|
— |
|
— |
|
977 |
Other noninterest expenses |
28,042 |
|
32,931 |
|
23,818 |
|
25,340 |
|
27,494 |
|
84,791 |
|
81,541 |
Total noninterest expense |
141,446 |
|
148,403 |
|
139,421 |
|
135,061 |
|
139,578 |
|
429,270 |
|
425,594 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income before income tax expense |
105,027 |
|
82,970 |
|
78,552 |
|
104,534 |
|
121,075 |
|
266,549 |
|
348,564 |
Income tax expense |
24,912 |
|
20,335 |
|
18,131 |
|
22,313 |
|
28,520 |
|
63,378 |
|
84,245 |
Net income |
$ 80,115 |
|
$ 62,635 |
|
$ 60,421 |
|
$ 82,221 |
|
$ 92,555 |
|
$ 203,171 |
|
$ 264,319 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per common share |
$ 1.16 |
|
$ 0.91 |
|
$ 0.87 |
|
$ 1.18 |
|
$ 1.34 |
|
$ 2.94 |
|
$ 3.81 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes expenses associated with problem loans and OREO, as well as OREO losses and writedowns. |
|
|
|
|
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||
FINANCIAL TABLES |
|||||||||
|
|||||||||
Period End Balance Sheet |
Table 3 |
||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
Assets |
|
|
|
|
|
|
|
|
|
Cash and due from banks |
$ 241,137 |
|
$ 284,552 |
|
$ 266,400 |
|
$ 284,567 |
|
$ 269,193 |
Federal funds sold and interest-bearing deposits in banks |
1,304,636 |
|
1,034,578 |
|
1,754,453 |
|
833,565 |
|
1,061,975 |
Debt securities available-for-sale, at fair value |
1,424,081 |
|
1,460,356 |
|
1,496,836 |
|
1,500,060 |
|
1,255,149 |
Debt securities held-to-maturity, at amortized cost |
141,859 |
|
142,513 |
|
134,175 |
|
134,864 |
|
130,214 |
Other investments |
104,957 |
|
109,656 |
|
146,715 |
|
110,992 |
|
60,560 |
Loans held for sale |
381,466 |
|
391,472 |
|
395,096 |
|
392,078 |
|
297,987 |
|
|
|
|
|
|
|
|
|
|
Loans, net of unearned income |
20,201,079 |
|
20,471,759 |
|
19,997,871 |
|
19,855,253 |
|
18,806,856 |
Allowance for credit losses |
(290,104) |
|
(272,071) |
|
(242,658) |
|
(205,677) |
|
(184,891) |
Loans, net |
19,910,975 |
|
20,199,688 |
|
19,755,213 |
|
19,649,576 |
|
18,621,965 |
|
|
|
|
|
|
|
|
|
|
Other real estate owned |
3,397 |
|
6,170 |
|
1,502 |
|
843 |
|
843 |
Premises and equipment, net |
217,564 |
|
218,662 |
|
218,878 |
|
220,283 |
|
222,694 |
Goodwill |
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,023,071 |
Other intangible assets, net |
92,375 |
|
96,800 |
|
101,488 |
|
106,194 |
|
110,903 |
Cash value of bank owned life insurance |
393,769 |
|
391,483 |
|
389,201 |
|
388,405 |
|
386,533 |
Other assets |
465,968 |
|
449,042 |
|
412,781 |
|
416,213 |
|
372,570 |
Total assets |
$ 25,697,830 |
|
$ 25,800,618 |
|
$ 26,088,384 |
|
$ 25,053,286 |
|
$ 23,813,657 |
|
|
|
|
|
|
|
|
|
|
Liabilities |
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
|
|
|
|
|
|
Noninterest-bearing |
$ 6,589,610 |
|
$ 6,706,897 |
|
$ 7,297,893 |
|
$ 7,929,579 |
|
$ 8,343,200 |
Interest-bearing |
14,000,735 |
|
13,736,228 |
|
12,599,562 |
|
11,533,159 |
|
11,123,719 |
Total deposits |
20,590,345 |
|
20,443,125 |
|
19,897,455 |
|
19,462,738 |
|
19,466,919 |
Other borrowings |
1,209,553 |
|
1,536,989 |
|
2,401,327 |
|
1,875,736 |
|
725,664 |
Subordinated deferrable interest debentures |
129,817 |
|
129,319 |
|
128,820 |
|
128,322 |
|
127,823 |
Other liabilities |
421,046 |
|
406,555 |
|
407,587 |
|
389,090 |
|
374,181 |
Total liabilities |
22,350,761 |
|
22,515,988 |
|
22,835,189 |
|
21,855,886 |
|
20,694,587 |
|
|
|
|
|
|
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
|
|
|
|
Preferred stock |
— |
|
— |
|
— |
|
— |
|
— |
Common stock |
72,514 |
|
72,515 |
|
72,484 |
|
72,264 |
|
72,247 |
Capital stock |
1,942,852 |
|
1,939,865 |
|
1,937,664 |
|
1,935,211 |
|
1,932,906 |
Retained earnings |
1,484,424 |
|
1,414,742 |
|
1,362,512 |
|
1,311,258 |
|
1,239,477 |
Accumulated other comprehensive income (loss), net of tax |
(60,818) |
|
(50,618) |
|
(35,581) |
|
(46,507) |
|
(50,734) |
Treasury stock |
(91,903) |
|
(91,874) |
|
(83,884) |
|
(74,826) |
|
(74,826) |
Total shareholders' equity |
3,347,069 |
|
3,284,630 |
|
3,253,195 |
|
3,197,400 |
|
3,119,070 |
Total liabilities and shareholders' equity |
$ 25,697,830 |
|
$ 25,800,618 |
|
$ 26,088,384 |
|
$ 25,053,286 |
|
$ 23,813,657 |
|
|
|
|
|
|
|
|
|
|
Other Data |
|
|
|
|
|
|
|
|
|
Earning assets |
$ 23,558,078 |
|
$ 23,610,334 |
|
$ 23,925,146 |
|
$ 22,826,812 |
|
$ 21,612,741 |
Intangible assets |
1,108,021 |
|
1,112,446 |
|
1,117,134 |
|
1,121,840 |
|
1,133,974 |
Interest-bearing liabilities |
15,340,105 |
|
15,402,536 |
|
15,129,709 |
|
13,537,217 |
|
11,977,206 |
Average assets |
25,525,913 |
|
25,631,846 |
|
25,115,927 |
|
24,354,979 |
|
23,598,465 |
Average common shareholders' equity |
3,324,960 |
|
3,293,049 |
|
3,250,289 |
|
3,168,320 |
|
3,123,718 |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|||||||||
Asset Quality Information |
Table 4 |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Allowance for Credit Losses |
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at beginning of period |
$ 326,783 |
|
$ 295,497 |
|
$ 258,163 |
|
$ 229,135 |
|
$ 216,703 |
|
$ 258,163 |
|
$ 200,981 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adoption of ASU 2022-02 |
— |
|
— |
|
(1,711) |
|
— |
|
— |
|
(1,711) |
|
— |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for loan losses |
30,095 |
|
43,643 |
|
49,376 |
|
24,648 |
|
17,469 |
|
123,114 |
|
27,962 |
Provision for unfunded commitments |
(5,634) |
|
1,873 |
|
346 |
|
8,246 |
|
192 |
|
(3,415) |
|
10,980 |
Provision for other credit losses |
(2) |
|
— |
|
7 |
|
(4) |
|
(9) |
|
5 |
|
(135) |
Provision for credit losses |
24,459 |
|
45,516 |
|
49,729 |
|
32,890 |
|
17,652 |
|
119,704 |
|
38,807 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Charge-offs |
19,488 |
|
20,670 |
|
14,956 |
|
8,371 |
|
9,272 |
|
55,114 |
|
24,704 |
Recoveries |
7,426 |
|
6,440 |
|
4,272 |
|
4,509 |
|
4,052 |
|
18,138 |
|
14,051 |
Net charge-offs (recoveries) |
12,062 |
|
14,230 |
|
10,684 |
|
3,862 |
|
5,220 |
|
36,976 |
|
10,653 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ending balance |
$ 339,180 |
|
$ 326,783 |
|
$ 295,497 |
|
$ 258,163 |
|
$ 229,135 |
|
$ 339,180 |
|
$ 229,135 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for loan losses |
$ 290,104 |
|
$ 272,071 |
|
$ 242,658 |
|
$ 205,677 |
|
$ 184,891 |
|
$ 290,104 |
|
$ 184,891 |
Allowance for unfunded commitments |
48,996 |
|
54,630 |
|
52,757 |
|
52,411 |
|
44,165 |
|
48,996 |
|
44,165 |
Allowance for other credit losses |
80 |
|
82 |
|
82 |
|
75 |
|
79 |
|
80 |
|
79 |
Total allowance for credit losses |
$ 339,180 |
|
$ 326,783 |
|
$ 295,497 |
|
$ 258,163 |
|
$ 229,135 |
|
$ 339,180 |
|
$ 229,135 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Charge-off Information |
|
|
|
|
|
|
|
|
|
|
|
|
|
Charge-offs |
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial and agricultural |
$ 16,519 |
|
$ 13,316 |
|
$ 12,233 |
|
$ 5,108 |
|
$ 4,722 |
|
$ 42,068 |
|
$ 13,527 |
Consumer |
948 |
|
2,052 |
|
1,140 |
|
1,136 |
|
1,228 |
|
4,140 |
|
3,790 |
Indirect automobile |
36 |
|
65 |
|
34 |
|
86 |
|
50 |
|
135 |
|
179 |
Premium Finance |
1,951 |
|
1,848 |
|
1,421 |
|
1,812 |
|
1,205 |
|
5,220 |
|
3,640 |
Real estate - construction and development |
— |
|
— |
|
— |
|
27 |
|
— |
|
— |
|
— |
Real estate - commercial and farmland |
— |
|
3,320 |
|
— |
|
196 |
|
2,014 |
|
3,320 |
|
3,378 |
Real estate - residential |
34 |
|
69 |
|
128 |
|
6 |
|
53 |
|
231 |
|
190 |
Total charge-offs |
19,488 |
|
20,670 |
|
14,956 |
|
8,371 |
|
9,272 |
|
55,114 |
|
24,704 |
Recoveries |
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial, financial and agricultural |
4,745 |
|
3,545 |
|
2,043 |
|
2,072 |
|
2,201 |
|
10,333 |
|
7,882 |
Consumer |
203 |
|
194 |
|
297 |
|
217 |
|
277 |
|
694 |
|
665 |
Indirect automobile |
158 |
|
225 |
|
216 |
|
229 |
|
276 |
|
599 |
|
816 |
Premium Finance |
1,639 |
|
1,680 |
|
1,382 |
|
1,682 |
|
1,023 |
|
4,701 |
|
3,383 |
Real estate - construction and development |
74 |
|
472 |
|
100 |
|
223 |
|
96 |
|
646 |
|
669 |
Real estate - commercial and farmland |
371 |
|
61 |
|
44 |
|
48 |
|
96 |
|
476 |
|
177 |
Real estate - residential |
236 |
|
263 |
|
190 |
|
38 |
|
83 |
|
689 |
|
459 |
Total recoveries |
7,426 |
|
6,440 |
|
4,272 |
|
4,509 |
|
4,052 |
|
18,138 |
|
14,051 |
Net charge-offs (recoveries) |
$ 12,062 |
|
$ 14,230 |
|
$ 10,684 |
|
$ 3,862 |
|
$ 5,220 |
|
$ 36,976 |
|
$ 10,653 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-Performing Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual portfolio loans |
$ 53,806 |
|
$ 57,025 |
|
$ 68,028 |
|
$ 65,221 |
|
$ 64,055 |
|
$ 53,806 |
|
$ 64,055 |
Other real estate owned |
3,397 |
|
6,170 |
|
1,502 |
|
843 |
|
843 |
|
3,397 |
|
843 |
Repossessed assets |
22 |
|
9 |
|
25 |
|
28 |
|
60 |
|
22 |
|
60 |
Accruing loans delinquent 90 days or more |
11,891 |
|
13,424 |
|
15,792 |
|
17,865 |
|
12,378 |
|
11,891 |
|
12,378 |
Non-performing portfolio assets |
$ 69,116 |
|
$ 76,628 |
|
$ 85,347 |
|
$ 83,957 |
|
$ 77,336 |
|
$ 69,116 |
|
$ 77,336 |
Serviced GNMA-guaranteed mortgage nonaccrual loans |
80,752 |
|
69,655 |
|
74,999 |
|
69,587 |
|
54,621 |
|
80,752 |
|
54,621 |
Total non-performing assets |
$ 149,868 |
|
$ 146,283 |
|
$ 160,346 |
|
$ 153,544 |
|
$ 131,957 |
|
$ 149,868 |
|
$ 131,957 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset Quality Ratios |
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-performing portfolio assets as a percent of total assets |
0.27 % |
|
0.30 % |
|
0.33 % |
|
0.34 % |
|
0.32 % |
|
0.27 % |
|
0.32 % |
Total non-performing assets as a percent of total assets |
0.58 % |
|
0.57 % |
|
0.61 % |
|
0.61 % |
|
0.55 % |
|
0.58 % |
|
0.55 % |
Net charge-offs as a percent of average loans (annualized) |
0.23 % |
|
0.28 % |
|
0.22 % |
|
0.08 % |
|
0.11 % |
|
0.25 % |
|
0.08 % |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||
FINANCIAL TABLES |
|||||||||
|
|||||||||
Loan Information |
Table 5 |
||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
Loans by Type |
|
|
|
|
|
|
|
|
|
Commercial, financial and agricultural |
$ 2,632,836 |
|
$ 2,718,831 |
|
$ 2,722,180 |
|
$ 2,679,403 |
|
$ 2,245,287 |
Consumer |
259,797 |
|
307,486 |
|
349,775 |
|
384,037 |
|
162,345 |
Indirect automobile |
47,108 |
|
63,231 |
|
83,466 |
|
108,648 |
|
137,183 |
Mortgage warehouse |
852,823 |
|
1,147,413 |
|
958,418 |
|
1,038,924 |
|
980,342 |
Municipal |
497,093 |
|
510,410 |
|
505,515 |
|
509,151 |
|
516,797 |
Premium Finance |
1,007,334 |
|
988,731 |
|
947,257 |
|
1,023,479 |
|
1,062,724 |
Real estate - construction and development |
2,236,686 |
|
2,217,744 |
|
2,144,605 |
|
2,086,438 |
|
2,009,726 |
Real estate - commercial and farmland |
7,865,389 |
|
7,815,779 |
|
7,721,732 |
|
7,604,868 |
|
7,516,309 |
Real estate - residential |
4,802,013 |
|
4,702,134 |
|
4,564,923 |
|
4,420,305 |
|
4,176,143 |
Total loans |
$ 20,201,079 |
|
$ 20,471,759 |
|
$ 19,997,871 |
|
$ 19,855,253 |
|
$ 18,806,856 |
|
|
|
|
|
|
|
|
|
|
Loans by Risk Grade |
|
|
|
|
|
|
|
|
|
Grades 1 through 5 - Pass |
$ 19,812,895 |
|
$ 20,114,816 |
|
$ 19,654,232 |
|
$ 19,513,726 |
|
$ 18,483,046 |
Grade 6 - Other assets especially mentioned |
187,449 |
|
171,035 |
|
116,345 |
|
104,614 |
|
110,408 |
Grade 7 - Substandard |
200,735 |
|
185,908 |
|
227,294 |
|
236,913 |
|
213,402 |
Grade 8 - Doubtful |
— |
|
— |
|
— |
|
— |
|
— |
Grade 9 - Loss |
— |
|
— |
|
— |
|
— |
|
— |
Total loans |
$ 20,201,079 |
|
$ 20,471,759 |
|
$ 19,997,871 |
|
$ 19,855,253 |
|
$ 18,806,856 |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|||||||||
Average Balances |
Table 6 |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Earning Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold |
$ — |
|
$ — |
|
$ — |
|
$ 924 |
|
$ 5,000 |
|
$ — |
|
$ 14,176 |
Interest-bearing deposits in banks |
864,028 |
|
998,609 |
|
859,614 |
|
1,009,935 |
|
1,394,529 |
|
907,433 |
|
2,325,188 |
Debt securities - taxable |
1,548,647 |
|
1,582,076 |
|
1,586,404 |
|
1,451,861 |
|
1,242,811 |
|
1,572,237 |
|
935,313 |
Debt securities - nontaxable |
40,896 |
|
42,580 |
|
43,052 |
|
44,320 |
|
45,730 |
|
42,168 |
|
38,249 |
Other investments |
101,517 |
|
117,020 |
|
131,044 |
|
83,730 |
|
51,209 |
|
116,419 |
|
49,556 |
Loans held for sale |
464,452 |
|
577,606 |
|
490,295 |
|
371,952 |
|
471,070 |
|
510,690 |
|
835,418 |
Loans |
20,371,689 |
|
20,164,938 |
|
19,820,749 |
|
19,212,560 |
|
18,146,083 |
|
20,121,143 |
|
16,951,566 |
Total Earning Assets |
$ 23,391,229 |
|
$ 23,482,829 |
|
$ 22,931,158 |
|
$ 22,175,282 |
|
$ 21,356,432 |
|
$ 23,270,090 |
|
$ 21,149,466 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
$ 6,655,191 |
|
$ 6,729,789 |
|
$ 7,136,373 |
|
$ 8,138,887 |
|
$ 8,259,625 |
|
$ 6,838,618 |
|
$ 7,960,149 |
NOW accounts |
3,661,701 |
|
3,949,850 |
|
4,145,991 |
|
3,621,454 |
|
3,701,045 |
|
3,917,476 |
|
3,693,828 |
MMDA |
5,527,731 |
|
5,002,590 |
|
4,994,195 |
|
5,161,047 |
|
5,026,815 |
|
5,176,794 |
|
5,117,528 |
Savings accounts |
915,678 |
|
1,009,749 |
|
1,005,614 |
|
1,010,966 |
|
1,030,298 |
|
976,684 |
|
1,003,995 |
Retail CDs |
2,200,413 |
|
2,024,014 |
|
1,612,325 |
|
1,450,037 |
|
1,506,761 |
|
1,947,739 |
|
1,657,193 |
Brokered CDs |
1,441,854 |
|
1,393,206 |
|
125,133 |
|
— |
|
— |
|
991,554 |
|
— |
Total Deposits |
20,402,568 |
|
20,109,198 |
|
19,019,631 |
|
19,382,391 |
|
19,524,544 |
|
19,848,865 |
|
19,432,693 |
Non-Deposit Funding |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds purchased and securities sold under agreements to repurchase |
— |
|
— |
|
— |
|
1 |
|
92 |
|
— |
|
1,974 |
FHLB advances |
943,855 |
|
1,408,855 |
|
1,968,811 |
|
918,228 |
|
94,357 |
|
1,436,753 |
|
64,130 |
Other borrowings |
312,572 |
|
316,626 |
|
361,445 |
|
377,056 |
|
376,942 |
|
330,035 |
|
398,898 |
Subordinated deferrable interest debentures |
129,554 |
|
129,056 |
|
128,557 |
|
128,060 |
|
127,560 |
|
129,059 |
|
127,066 |
Total Non-Deposit Funding |
1,385,981 |
|
1,854,537 |
|
2,458,813 |
|
1,423,345 |
|
598,951 |
|
1,895,847 |
|
592,068 |
Total Funding |
$ 21,788,549 |
|
$ 21,963,735 |
|
$ 21,478,444 |
|
$ 20,805,736 |
|
$ 20,123,495 |
|
$ 21,744,712 |
|
$ 20,024,761 |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|||||||||
Interest Income and Interest Expense (TE) |
Table 7 |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Interest Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold |
$ — |
|
$ — |
|
$ — |
|
$ 8 |
|
$ 27 |
|
$ — |
|
$ 69 |
Interest-bearing deposits in banks |
10,769 |
|
13,686 |
|
9,113 |
|
9,984 |
|
7,188 |
|
33,568 |
|
13,024 |
Debt securities - taxable |
14,754 |
|
15,915 |
|
14,300 |
|
13,029 |
|
10,324 |
|
44,969 |
|
21,627 |
Debt securities - nontaxable (TE) |
418 |
|
430 |
|
429 |
|
454 |
|
459 |
|
1,277 |
|
1,035 |
Loans held for sale |
7,460 |
|
8,398 |
|
7,007 |
|
5,519 |
|
6,012 |
|
22,865 |
|
24,180 |
Loans (TE) |
298,102 |
|
284,471 |
|
265,802 |
|
245,603 |
|
211,223 |
|
848,375 |
|
563,223 |
Total Earning Assets |
$ 331,503 |
|
$ 322,900 |
|
$ 296,651 |
|
$ 274,597 |
|
$ 235,233 |
|
$ 951,054 |
|
$ 623,158 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW accounts |
$ 17,255 |
|
$ 18,003 |
|
$ 15,033 |
|
$ 8,564 |
|
$ 3,733 |
|
$ 50,291 |
|
$ 5,803 |
MMDA |
45,683 |
|
35,224 |
|
27,809 |
|
20,683 |
|
8,613 |
|
108,716 |
|
12,460 |
Savings accounts |
1,791 |
|
2,296 |
|
1,288 |
|
654 |
|
360 |
|
5,375 |
|
633 |
Retail CDs |
19,013 |
|
14,751 |
|
7,629 |
|
3,170 |
|
1,328 |
|
41,393 |
|
4,138 |
Brokered CDs |
19,257 |
|
17,813 |
|
1,423 |
|
— |
|
— |
|
38,493 |
|
— |
Total Interest-Bearing Deposits |
102,999 |
|
88,087 |
|
53,182 |
|
33,071 |
|
14,034 |
|
244,268 |
|
23,034 |
Non-Deposit Funding |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds purchased and securities sold under agreements to repurchase |
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
4 |
FHLB advances |
12,543 |
|
17,222 |
|
22,448 |
|
8,801 |
|
527 |
|
52,213 |
|
909 |
Other borrowings |
3,821 |
|
3,902 |
|
5,349 |
|
4,953 |
|
4,655 |
|
13,072 |
|
14,256 |
Subordinated deferrable interest debentures |
3,439 |
|
3,201 |
|
3,085 |
|
2,680 |
|
2,105 |
|
9,725 |
|
5,152 |
Total Non-Deposit Funding |
19,803 |
|
24,325 |
|
30,882 |
|
16,434 |
|
7,287 |
|
75,010 |
|
20,321 |
Total Interest-Bearing Funding |
$ 122,802 |
|
$ 112,412 |
|
$ 84,064 |
|
$ 49,505 |
|
$ 21,321 |
|
$ 319,278 |
|
$ 43,355 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest Income (TE) |
$ 208,701 |
|
$ 210,488 |
|
$ 212,587 |
|
$ 225,092 |
|
$ 213,912 |
|
$ 631,776 |
|
$ 579,803 |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Yields(1) |
Table 8 |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
|
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Earning Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds sold |
— % |
|
— % |
|
— % |
|
3.43 % |
|
2.14 % |
|
— % |
|
0.65 % |
Interest-bearing deposits in banks |
4.94 % |
|
5.50 % |
|
4.30 % |
|
3.92 % |
|
2.04 % |
|
4.95 % |
|
0.75 % |
Debt securities - taxable |
3.78 % |
|
4.03 % |
|
3.66 % |
|
3.56 % |
|
3.30 % |
|
3.82 % |
|
3.09 % |
Debt securities - nontaxable (TE) |
4.06 % |
|
4.05 % |
|
4.04 % |
|
4.06 % |
|
3.98 % |
|
4.05 % |
|
3.62 % |
Loans held for sale |
6.37 % |
|
5.83 % |
|
5.80 % |
|
5.89 % |
|
5.06 % |
|
5.99 % |
|
3.87 % |
Loans (TE) |
5.81 % |
|
5.66 % |
|
5.44 % |
|
5.07 % |
|
4.62 % |
|
5.64 % |
|
4.44 % |
Total Earning Assets |
5.62 % |
|
5.52 % |
|
5.25 % |
|
4.91 % |
|
4.37 % |
|
5.46 % |
|
3.94 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-Bearing Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
NOW accounts |
1.87 % |
|
1.83 % |
|
1.47 % |
|
0.94 % |
|
0.40 % |
|
1.72 % |
|
0.21 % |
MMDA |
3.28 % |
|
2.82 % |
|
2.26 % |
|
1.59 % |
|
0.68 % |
|
2.81 % |
|
0.33 % |
Savings accounts |
0.78 % |
|
0.91 % |
|
0.52 % |
|
0.26 % |
|
0.14 % |
|
0.74 % |
|
0.08 % |
Retail CDs |
3.43 % |
|
2.92 % |
|
1.92 % |
|
0.87 % |
|
0.35 % |
|
2.84 % |
|
0.33 % |
Brokered CDs |
5.30 % |
|
5.13 % |
|
4.61 % |
|
— % |
|
— % |
|
5.19 % |
|
— % |
Total Interest-Bearing Deposits |
2.97 % |
|
2.64 % |
|
1.82 % |
|
1.17 % |
|
0.49 % |
|
2.51 % |
|
0.27 % |
Non-Deposit Funding |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal funds purchased and securities sold under agreements to repurchase |
— % |
|
— % |
|
— % |
|
— % |
|
— % |
|
— % |
|
0.27 % |
FHLB advances |
5.27 % |
|
4.90 % |
|
4.62 % |
|
3.80 % |
|
2.22 % |
|
4.86 % |
|
1.90 % |
Other borrowings |
4.85 % |
|
4.94 % |
|
6.00 % |
|
5.21 % |
|
4.90 % |
|
5.30 % |
|
4.78 % |
Subordinated deferrable interest debentures |
10.53 % |
|
9.95 % |
|
9.73 % |
|
8.30 % |
|
6.55 % |
|
10.07 % |
|
5.42 % |
Total Non-Deposit Funding |
5.67 % |
|
5.26 % |
|
5.09 % |
|
4.58 % |
|
4.83 % |
|
5.29 % |
|
4.59 % |
Total Interest-Bearing Liabilities |
3.22 % |
|
2.96 % |
|
2.38 % |
|
1.55 % |
|
0.71 % |
|
2.86 % |
|
0.48 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest Spread |
2.40 % |
|
2.56 % |
|
2.87 % |
|
3.36 % |
|
3.66 % |
|
2.60 % |
|
3.46 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest Margin(2) |
3.54 % |
|
3.60 % |
|
3.76 % |
|
4.03 % |
|
3.97 % |
|
3.63 % |
|
3.67 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Cost of Funds(3) |
2.24 % |
|
2.05 % |
|
1.59 % |
|
0.94 % |
|
0.42 % |
|
1.96 % |
|
0.29 % |
(1) Interest and average rates are calculated on a tax-equivalent basis using an effective tax rate of 21%. |
|
|
|
|
|||||||||
(2) Rate calculated based on average earning assets. |
|
|
|
|
|||||||||
(3) Rate calculated based on total average funding including noninterest-bearing deposits. |
|
|
|
|
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Reconciliations |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Net Income |
Table 9A |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands except per share data) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Net income available to common shareholders |
$ 80,115 |
|
$ 62,635 |
|
$ 60,421 |
|
$ 82,221 |
|
$ 92,555 |
|
$ 203,171 |
|
$ 264,319 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjustment items: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Merger and conversion charges |
— |
|
— |
|
— |
|
235 |
|
— |
|
— |
|
977 |
(Gain) loss on sale of MSR |
— |
|
— |
|
— |
|
(1,672) |
|
316 |
|
— |
|
316 |
Servicing right impairment (recovery) |
— |
|
— |
|
— |
|
— |
|
(1,332) |
|
— |
|
(21,824) |
Gain on BOLI proceeds |
— |
|
— |
|
(486) |
|
— |
|
(55) |
|
(486) |
|
(55) |
Natural disaster expenses |
— |
|
— |
|
— |
|
— |
|
151 |
|
— |
|
151 |
(Gain) loss on bank premises |
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
(45) |
Tax effect of adjustment items (Note 1) |
— |
|
— |
|
— |
|
302 |
|
182 |
|
— |
|
4,490 |
After tax adjustment items |
— |
|
— |
|
(486) |
|
(1,135) |
|
(738) |
|
(486) |
|
(15,990) |
Adjusted net income |
$ 80,115 |
|
$ 62,635 |
|
$ 59,935 |
|
$ 81,086 |
|
$ 91,817 |
|
$ 202,685 |
|
$ 248,329 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of shares - diluted |
68,994,247 |
|
69,034,763 |
|
69,322,664 |
|
69,395,224 |
|
69,327,414 |
|
69,129,921 |
|
69,427,522 |
Net income per diluted share |
$ 1.16 |
|
$ 0.91 |
|
$ 0.87 |
|
$ 1.18 |
|
$ 1.34 |
|
$ 2.94 |
|
$ 3.81 |
Adjusted net income per diluted share |
$ 1.16 |
|
$ 0.91 |
|
$ 0.86 |
|
$ 1.17 |
|
$ 1.32 |
|
$ 2.93 |
|
$ 3.58 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average assets |
$ 25,525,913 |
|
$ 25,631,846 |
|
$ 25,115,927 |
|
$ 24,354,979 |
|
$ 23,598,465 |
|
$ 25,426,064 |
|
$ 23,405,411 |
Return on average assets |
1.25 % |
|
0.98 % |
|
0.98 % |
|
1.34 % |
|
1.56 % |
|
1.07 % |
|
1.51 % |
Adjusted return on average assets |
1.25 % |
|
0.98 % |
|
0.97 % |
|
1.32 % |
|
1.54 % |
|
1.07 % |
|
1.42 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average common equity |
$ 3,324,960 |
|
$ 3,293,049 |
|
$ 3,250,289 |
|
$ 3,168,320 |
|
$ 3,123,718 |
|
$ 3,289,706 |
|
$ 3,054,356 |
Average tangible common equity |
$ 2,214,775 |
|
$ 2,178,323 |
|
$ 2,130,856 |
|
$ 2,039,094 |
|
$ 1,987,385 |
|
$ 2,174,958 |
|
$ 1,916,262 |
Return on average common equity |
9.56 % |
|
7.63 % |
|
7.54 % |
|
10.30 % |
|
11.76 % |
|
8.26 % |
|
11.57 % |
Adjusted return on average tangible common equity |
14.35 % |
|
11.53 % |
|
11.41 % |
|
15.78 % |
|
18.33 % |
|
12.46 % |
|
17.33 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Note 1: Tax effect is calculated utilizing a 21% rate for taxable adjustments. Gain on BOLI proceeds is non-taxable and no tax effect is included. A portion of the merger and conversion charges |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|||||||||
Non-GAAP Reconciliations (continued) |
|
|
|||||||||||
|
|
|
|||||||||||
Adjusted Efficiency Ratio (TE) |
Table 9B |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Adjusted Noninterest Expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total noninterest expense |
$ 141,446 |
|
$ 148.403 |
|
$ 139,421 |
|
$ 135,061 |
|
$ 139,578 |
|
$ 429,270 |
|
$ 425,594 |
Adjustment items: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Merger and conversion charges |
— |
|
— |
|
— |
|
(235) |
|
— |
|
— |
|
(977) |
Natural disaster expenses |
— |
|
— |
|
— |
|
— |
|
(151) |
|
— |
|
(151) |
Gain (loss) on bank premises |
— |
|
— |
|
— |
|
— |
|
— |
|
— |
|
45 |
Adjusted noninterest expense |
$ 141,446 |
|
$ 148.403 |
|
$ 139,421 |
|
$ 134,826 |
|
$ 139,427 |
|
$ 429,270 |
|
$ 424,511 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ 207,751 |
|
$ 209,540 |
|
$ 211,652 |
|
$ 224,137 |
|
$ 212,981 |
|
$ 628,943 |
|
$ 576,889 |
Noninterest income |
63,181 |
|
67,349 |
|
56,050 |
|
48,348 |
|
65,324 |
|
186,580 |
|
236,076 |
Total revenue |
$ 270,932 |
|
$ 276,889 |
|
$ 267,702 |
|
$ 272,485 |
|
$ 278,305 |
|
$ 815,523 |
|
$ 812,965 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Total Revenue |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income (TE) |
$ 208,701 |
|
$ 210,488 |
|
$ 212,587 |
|
$ 225,092 |
|
$ 213,912 |
|
$ 631,776 |
|
$ 579,803 |
Noninterest income |
63,181 |
|
67,349 |
|
56,050 |
|
48,348 |
|
65,324 |
|
186,580 |
|
236,076 |
Total revenue (TE) |
271,882 |
|
277,837 |
|
268,637 |
|
273,440 |
|
279,236 |
|
818,356 |
|
815,879 |
Adjustment items: |
|
|
|
|
|
|
|
|
|
|
|
|
|
(Gain) loss on securities |
16 |
|
6 |
|
(6) |
|
(3) |
|
21 |
|
16 |
|
(200) |
(Gain) loss on sale of MSR |
— |
|
— |
|
— |
|
(1,672) |
|
316 |
|
— |
|
316 |
Gain on BOLI proceeds |
— |
|
— |
|
(486) |
|
— |
|
(55) |
|
(486) |
|
(55) |
Servicing right impairment (recovery) |
— |
|
— |
|
— |
|
— |
|
(1,332) |
|
— |
|
(21,824) |
Adjusted total revenue (TE) |
$ 271,898 |
|
$ 277,843 |
|
$ 268,145 |
|
$ 271,765 |
|
$ 278,186 |
|
$ 817,886 |
|
$ 794,116 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency ratio |
52.21 % |
|
53.60 % |
|
52.08 % |
|
49.57 % |
|
50.15 % |
|
52.64 % |
|
52.35 % |
Adjusted efficiency ratio (TE) |
52.02 % |
|
53.41 % |
|
51.99 % |
|
49.61 % |
|
50.12 % |
|
52.49 % |
|
53.46 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible Book Value Per Share |
Table 9C |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands except per share data) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Total shareholders' equity |
$ 3,347,069 |
|
$ 3,284,630 |
|
$ 3,253,195 |
|
$ 3,197,400 |
|
$ 3,119,070 |
|
$ 3,347,069 |
|
$ 3,119,070 |
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill |
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,023,071 |
|
1,015,646 |
|
1,023,071 |
Other intangibles, net |
92,375 |
|
96,800 |
|
101,488 |
|
106,194 |
|
110,903 |
|
92,375 |
|
110,903 |
Total tangible shareholders' equity |
$ 2,239,048 |
|
$ 2,172,184 |
|
$ 2,136,061 |
|
$ 2,075,560 |
|
$ 1,985,096 |
|
$ 2,239,048 |
|
$ 1,985,096 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Period end number of shares |
69,138,461 |
|
69,139,783 |
|
69,373,863 |
|
69,369,050 |
|
69,352,709 |
|
69,138,461 |
|
69,352,709 |
Book value per share (period end) |
$ 48.41 |
|
$ 47.51 |
|
$ 46.89 |
|
$ 46.09 |
|
$ 44.97 |
|
$ 48.41 |
|
$ 44.97 |
Tangible book value per share (period end) |
$ 32.38 |
|
$ 31.42 |
|
$ 30.79 |
|
$ 29.92 |
|
$ 28.62 |
|
$ 32.38 |
|
$ 28.62 |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|||||||||
Non-GAAP Reconciliations (continued) |
|
|
|||||||||||
|
|
|
|||||||||||
Tangible Common Equity to Tangible Assets |
Table 9D |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands except per share data) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Total shareholders' equity |
$ 3,347,069 |
|
$ 3,284,630 |
|
$ 3,253,195 |
|
$ 3,197,400 |
|
$ 3,119,070 |
|
$ 3,347,069 |
|
$ 3,119,070 |
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill |
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,023,071 |
|
1,015,646 |
|
1,023,071 |
Other intangibles, net |
92,375 |
|
96,800 |
|
101,488 |
|
106,194 |
|
110,903 |
|
92,375 |
|
110,903 |
Total tangible shareholders' equity |
$ 2,239,048 |
|
$ 2,172,184 |
|
$ 2,136,061 |
|
$ 2,075,560 |
|
$ 1,985,096 |
|
$ 2,239,048 |
|
$ 1,985,096 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
$ 25,697,830 |
|
$ 25,800,618 |
|
$ 26,088,384 |
|
$ 25,053,286 |
|
$ 23,813,657 |
|
$ 25,697,830 |
|
$ 23,813,657 |
Less: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill |
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,015,646 |
|
1,023,071 |
|
1,015,646 |
|
1,023,071 |
Other intangibles, net |
92,375 |
|
96,800 |
|
101,488 |
|
106,194 |
|
110,903 |
|
92,375 |
|
110,903 |
Total tangible assets |
$ 24,589,809 |
|
$ 24,688,172 |
|
$ 24,971,250 |
|
$ 23,931,446 |
|
$ 22,679,683 |
|
$ 24,589,809 |
|
$ 22,679,683 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity to Assets |
13.02 % |
|
12.73 % |
|
12.47 % |
|
12.76 % |
|
13.10 % |
|
13.02 % |
|
13.10 % |
Tangible Common Equity to Tangible Assets |
9.11 % |
|
8.80 % |
|
8.55 % |
|
8.67 % |
|
8.75 % |
|
9.11 % |
|
8.75 % |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
PPNR ROA |
Table 9E |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands except per share data) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Net income |
$ 80,115 |
|
$ 62,635 |
|
$ 60,421 |
|
$ 82,221 |
|
$ 92,555 |
|
$ 203,171 |
|
$ 264,319 |
Plus: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes |
24,912 |
|
20,335 |
|
18,131 |
|
22,313 |
|
28,520 |
|
63,378 |
|
84,245 |
Provision for credit losses |
24,459 |
|
45,516 |
|
49,729 |
|
32,890 |
|
17,652 |
|
119,704 |
|
38,807 |
PPNR |
$ 129,486 |
|
$ 128,486 |
|
$ 128,281 |
|
$ 137,424 |
|
$ 138,727 |
|
$ 386,253 |
|
$ 387,371 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Assets |
$ 25,525,913 |
|
$ 25,631,846 |
|
$ 25,115,927 |
|
$ 24,354,979 |
|
$ 23,598,465 |
|
$ 25,426,064 |
|
$ 23,405,411 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on Average Assets (ROA) |
1.25 % |
|
0.98 % |
|
0.98 % |
|
1.34 % |
|
1.56 % |
|
1.07 % |
|
1.51 % |
PPNR ROA |
2.01 % |
|
2.01 % |
|
2.07 % |
|
2.24 % |
|
2.33 % |
|
2.03 % |
|
2.21 % |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|||||||||
Segment Reporting |
Table 10 |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
Banking Division |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ 167,595 |
|
$ 171,441 |
|
$ 175,328 |
|
$ 185,909 |
|
$ 174,507 |
|
$ 514,364 |
|
$ 460,374 |
Provision for credit losses |
20,833 |
|
40,831 |
|
47,140 |
|
35,946 |
|
10,551 |
|
108,804 |
|
25,952 |
Noninterest income |
26,245 |
|
24,652 |
|
23,898 |
|
23,448 |
|
23,269 |
|
74,795 |
|
68,102 |
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
56,226 |
|
55,196 |
|
56,442 |
|
52,296 |
|
48,599 |
|
167,864 |
|
144,527 |
Occupancy and equipment expenses |
11,437 |
|
11,175 |
|
11,606 |
|
11,482 |
|
11,357 |
|
34,218 |
|
33,599 |
Data processing and telecommunications expenses |
11,786 |
|
11,898 |
|
11,797 |
|
11,085 |
|
10,779 |
|
35,481 |
|
32,872 |
Other noninterest expenses |
20,274 |
|
27,643 |
|
19,023 |
|
21,811 |
|
22,974 |
|
66,940 |
|
64,142 |
Total noninterest expense |
99,723 |
|
105,912 |
|
98,868 |
|
96,674 |
|
93,709 |
|
304,503 |
|
275,140 |
Income before income tax expense |
73,284 |
|
49,350 |
|
53,218 |
|
76,737 |
|
93,516 |
|
175,852 |
|
227,384 |
Income tax expense |
18,283 |
|
13,312 |
|
12,848 |
|
16,545 |
|
22,706 |
|
44,443 |
|
58,822 |
Net income |
$ 55,001 |
|
$ 36,038 |
|
$ 40,370 |
|
$ 60,192 |
|
$ 70,810 |
|
$ 131,409 |
|
$ 168,562 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Retail Mortgage Division |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ 22,805 |
|
$ 21,417 |
|
$ 20,027 |
|
$ 19,837 |
|
$ 19,283 |
|
$ 64,249 |
|
$ 59,357 |
Provision for credit losses |
2,399 |
|
3,278 |
|
2,853 |
|
(2,778) |
|
9,043 |
|
8,530 |
|
15,129 |
Noninterest income |
35,691 |
|
39,808 |
|
31,058 |
|
24,011 |
|
38,584 |
|
106,557 |
|
158,028 |
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
21,231 |
|
21,930 |
|
20,160 |
|
19,164 |
|
25,813 |
|
63,321 |
|
88,646 |
Occupancy and equipment expenses |
1,182 |
|
1,224 |
|
1,283 |
|
1,242 |
|
1,460 |
|
3,689 |
|
4,337 |
Data processing and telecommunications expenses |
1,052 |
|
1,397 |
|
1,069 |
|
1,203 |
|
1,082 |
|
3,518 |
|
3,377 |
Other noninterest expenses |
12,153 |
|
11,859 |
|
11,747 |
|
11,126 |
|
11,641 |
|
35,759 |
|
37,098 |
Total noninterest expense |
35,618 |
|
36,410 |
|
34,259 |
|
32,735 |
|
39,996 |
|
106,287 |
|
133,458 |
Income before income tax expense |
20,479 |
|
21,537 |
|
13,973 |
|
13,891 |
|
8,828 |
|
55,989 |
|
68,798 |
Income tax expense |
4,301 |
|
4,523 |
|
2,934 |
|
2,916 |
|
1,854 |
|
11,758 |
|
14,448 |
Net income |
$ 16,178 |
|
$ 17,014 |
|
$ 11,039 |
|
$ 10,975 |
|
$ 6,974 |
|
$ 44,231 |
|
$ 54,350 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Warehouse Lending Division |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ 6,008 |
|
$ 6,166 |
|
$ 5,700 |
|
$ 6,601 |
|
$ 6,979 |
|
$ 17,874 |
|
$ 20,126 |
Provision for credit losses |
(589) |
|
411 |
|
(194) |
|
117 |
|
(1,836) |
|
(372) |
|
(1,191) |
Noninterest income |
662 |
|
1,404 |
|
480 |
|
579 |
|
1,516 |
|
2,546 |
|
3,958 |
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
924 |
|
772 |
|
802 |
|
427 |
|
1,055 |
|
2,498 |
|
1,546 |
Occupancy and equipment expenses |
1 |
|
— |
|
1 |
|
1 |
|
1 |
|
2 |
|
3 |
Data processing and telecommunications expenses |
30 |
|
44 |
|
46 |
|
49 |
|
43 |
|
120 |
|
138 |
Other noninterest expenses |
219 |
|
223 |
|
202 |
|
191 |
|
209 |
|
644 |
|
639 |
Total noninterest expense |
1,174 |
|
1,039 |
|
1,051 |
|
668 |
|
1,308 |
|
3,264 |
|
2,326 |
Income before income tax expense |
6,085 |
|
6,120 |
|
5,323 |
|
6,395 |
|
9,023 |
|
17,528 |
|
22,949 |
Income tax expense |
1,278 |
|
1,285 |
|
1,118 |
|
1,342 |
|
1,895 |
|
3,681 |
|
4,820 |
Net income |
$ 4,807 |
|
$ 4,835 |
|
$ 4,205 |
|
$ 5,053 |
|
$ 7,128 |
|
$ 13,847 |
|
$ 18,129 |
AMERIS BANCORP AND SUBSIDIARIES |
|||||||||||||
FINANCIAL TABLES |
|||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment Reporting (continued) |
Table 10 |
||||||||||||
|
Three Months Ended |
|
Nine Months Ended |
||||||||||
|
Sep |
|
Jun |
|
Mar |
|
Dec |
|
Sep |
|
Sep |
|
Sep |
(dollars in thousands) |
2023 |
|
2023 |
|
2023 |
|
2022 |
|
2022 |
|
2023 |
|
2022 |
SBA Division |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ 1,962 |
|
$ 2,331 |
|
$ 1,957 |
|
$ 2,491 |
|
$ 2,424 |
|
$ 6,250 |
|
$ 12,233 |
Provision for credit losses |
1,677 |
|
424 |
|
(104) |
|
265 |
|
52 |
|
1,997 |
|
(614) |
Noninterest income |
579 |
|
1,476 |
|
605 |
|
302 |
|
1,946 |
|
2,660 |
|
5,963 |
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
1,209 |
|
1,316 |
|
1,309 |
|
1,306 |
|
1,412 |
|
3,834 |
|
3,999 |
Occupancy and equipment expenses |
36 |
|
40 |
|
37 |
|
98 |
|
82 |
|
113 |
|
262 |
Data processing and telecommunications expenses |
32 |
|
46 |
|
37 |
|
30 |
|
29 |
|
115 |
|
86 |
Other noninterest expenses |
157 |
|
333 |
|
422 |
|
368 |
|
100 |
|
912 |
|
1,019 |
Total noninterest expense |
1,434 |
|
1,735 |
|
1,805 |
|
1,802 |
|
1,623 |
|
4,974 |
|
5,366 |
Income before income tax expense |
(570) |
|
1,648 |
|
861 |
|
726 |
|
2,695 |
|
1,939 |
|
13,444 |
Income tax expense |
(120) |
|
346 |
|
181 |
|
153 |
|
566 |
|
407 |
|
2,823 |
Net income |
$ (450) |
|
$ 1,302 |
|
$ 680 |
|
$ 573 |
|
$ 2,129 |
|
$ 1,532 |
|
$ 10,621 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Premium Finance Division |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ 9,381 |
|
$ 8,185 |
|
$ 8,640 |
|
$ 9,299 |
|
$ 9,788 |
|
$ 26,206 |
|
$ 24,799 |
Provision for credit losses |
139 |
|
572 |
|
34 |
|
(660) |
|
(158) |
|
745 |
|
(469) |
Noninterest income |
4 |
|
9 |
|
9 |
|
8 |
|
9 |
|
22 |
|
25 |
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
2,308 |
|
2,122 |
|
2,197 |
|
2,003 |
|
1,818 |
|
6,627 |
|
5,805 |
Occupancy and equipment expenses |
89 |
|
83 |
|
59 |
|
82 |
|
83 |
|
231 |
|
255 |
Data processing and telecommunications expenses |
73 |
|
66 |
|
85 |
|
119 |
|
82 |
|
224 |
|
269 |
Other noninterest expenses |
1,027 |
|
1,036 |
|
1,097 |
|
978 |
|
959 |
|
3,160 |
|
2,975 |
Total noninterest expense |
3,497 |
|
3,307 |
|
3,438 |
|
3,182 |
|
2,942 |
|
10,242 |
|
9,304 |
Income before income tax expense |
5,749 |
|
4,315 |
|
5,177 |
|
6,785 |
|
7,013 |
|
15,241 |
|
15,989 |
Income tax expense |
1,170 |
|
869 |
|
1,050 |
|
1,357 |
|
1,499 |
|
3,089 |
|
3,332 |
Net income |
$ 4,579 |
|
$ 3,446 |
|
$ 4,127 |
|
$ 5,428 |
|
$ 5,514 |
|
$ 12,152 |
|
$ 12,657 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Consolidated |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ 207,751 |
|
$ 209,540 |
|
$ 211,652 |
|
$ 224,137 |
|
$ 212,981 |
|
$ 628,943 |
|
$ 576,889 |
Provision for credit losses |
24,459 |
|
45,516 |
|
49,729 |
|
32,890 |
|
17,652 |
|
119,704 |
|
38,807 |
Noninterest income |
63,181 |
|
67,349 |
|
56,050 |
|
48,348 |
|
65,324 |
|
186,580 |
|
236,076 |
Noninterest expense |
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
81,898 |
|
81,336 |
|
80,910 |
|
75,196 |
|
78,697 |
|
244,144 |
|
244,523 |
Occupancy and equipment expenses |
12,745 |
|
12,522 |
|
12,986 |
|
12,905 |
|
12,983 |
|
38,253 |
|
38,456 |
Data processing and telecommunications expenses |
12,973 |
|
13,451 |
|
13,034 |
|
12,486 |
|
12,015 |
|
39,458 |
|
36,742 |
Other noninterest expenses |
33,830 |
|
41,094 |
|
32,491 |
|
34,474 |
|
35,883 |
|
107,415 |
|
105,873 |
Total noninterest expense |
141,446 |
|
148,403 |
|
139,421 |
|
135,061 |
|
139,578 |
|
429,270 |
|
425,594 |
Income before income tax expense |
105,027 |
|
82,970 |
|
78,552 |
|
104,534 |
|
121,075 |
|
266,549 |
|
348,564 |
Income tax expense |
24,912 |
|
20,335 |
|
18,131 |
|
22,313 |
|
28,520 |
|
63,378 |
|
84,245 |
Net income |
$ 80,115 |
|
$ 62,635 |
|
$ 60,421 |
|
$ 82,221 |
|
$ 92,555 |
|
$ 203,171 |
|
$ 264,319 |
CONTACT: Nicole S. Stokes, Chief Financial Officer, (404) 240-1514
3rd Quarter 2023 Results Investor Presentation Exhibit 99.2
Cautionary Statements This presentation contains forward-looking statements, as defined by federal securities laws, including, among other forward-looking statements, certain plans, expectations and goals. Words such as “may,” “believe,” “expect,” “anticipate,” “intend,” “will,” “should,” “plan,” “estimate,” “predict,” “continue” and “potential” or the negative of these terms or other comparable terminology, as well as similar expressions, are meant to identify forward-looking statements. The forward-looking statements in this presentation are based on current expectations and are provided to assist in the understanding of potential future performance. Such forward-looking statements involve numerous assumptions, risks and uncertainties that may cause actual results to differ materially from those expressed or implied in any such statements, including, without limitation, the following: general competitive, economic, unemployment, political and market conditions and fluctuations, including real estate market conditions, and the effects of such conditions and fluctuations on the creditworthiness of borrowers, collateral values, asset recovery values and the value of investment securities; movements in interest rates and their impacts on net interest margin, investment security valuations and other performance measures; expectations on credit quality and performance; legislative and regulatory changes; changes in U.S. government monetary and fiscal policy; competitive pressures on product pricing and services; the cost savings and any revenue synergies expected to result from acquisition transactions, which may not be fully realized within the expected timeframes if at all; the success and timing of other business strategies; our outlook and long-term goals for future growth; and natural disasters, geopolitical events, acts of war or terrorism or other hostilities, public health crises and other catastrophic events beyond our control. For a discussion of some of the other risks and other factors that may cause such forward-looking statements to differ materially from actual results, please refer to the Company’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2022 and the Company’s subsequently filed periodic reports and other filings. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update or revise forward-looking statements.
Ameris Profile Investment Rationale Top of peer financial results with culture of discipline – credit, liquidity, expense control, capital Proven liquidity management supported by strong, stable deposit base Proven stewards of shareholder value – TBV has grown 13% annualized over past five years Experienced executive team with skills and leadership to continue to grow organically Diversified loan portfolio among geographies and product lines Diversified revenue streams with strong core bank and lines of business Strong Southeastern Markets Atlanta’s premier independent banking franchise Scarcity value in many of the fastest growing regions in nation Stable core deposit base Over 65% of our franchise are in MSAs which grew at least 2x the national average over the last 15 years Charlotte MSA Tampa MSA Orlando MSA
Ameris Profile Focus on Shareholder Value 1 – Considered Non-GAAP measures – See reconciliation of GAAP to Non-GAAP measures in Appendix
3rd Quarter 2023 Financial Results
3Q 2023 Operating Highlights Net income of $80.1 million, or $1.16 per diluted share PPNR ROA(1) of 2.01% for 3Q23 Adjusted efficiency ratio(1) of 52.02% TCE ratio(1) of 9.11% Nonperforming assets, excluding government-guaranteed loans, as a percentage of total assets improved three basis points to 0.27% Increase in allowance for credit losses to 1.44% of total loans due to economic model, particularly forecasted future declines in commercial real estate pricing Net interest margin of 3.54% reflecting favorable deposit mix with noninterest bearing deposits representing 32.0% of total deposits at September 30, 2023 Interest bearing deposit costs increased 33 basis points in 3Q23, compared with an 82 basis point increase in 2Q23 Total deposit growth of $147.2 million, or 2.9% annualized Reduction in FHLB advances of $325.0 million, or 26.6%, during the quarter 1 – Considered Non-GAAP measures – See reconciliation of GAAP to Non-GAAP measures in Appendix
2023 YTD Operating Highlights Net income of $203.2 million, or $2.94 per diluted share PPNR ROA(1) of 2.03% Growth in tangible book value(1) of $2.46 per share, or 11.0% annualized, to $32.38 Adjusted efficiency ratio(1) of 52.49% Net interest margin of 3.63% Organic loan growth of $345.8 million, or 2.3% annualized Total deposit growth of $1.13 billion, or 7.7% annualized Reduction in FHLB Advances of $600.1 million Increase in allowance for credit losses to 1.44% of total loans at September 30, 2023, compared with 1.04% at December 31, 2022, due to economic forecast, particularly commercial real estate price levels Redemption of $75 million in floating rate (was 8.39%) subordinated notes due 2027 and repurchase (at a discount) and redemption of $11.0 million aggregate principal of 4.25% fixed-to-floating subordinated notes due 2029 YTD 1 – Considered Non-GAAP measures – See reconciliation of GAAP to Non-GAAP measures in Appendix
Financial Highlights 1 – Considered Non-GAAP measures – See reconciliation of GAAP to Non-GAAP measures in Appendix 2 – Growth rates are annualized for the applicable periods 3 – Excludes serviced GNMA-guaranteed mortgage loans (dollars in thousands, except per share data) Quarter to Date Results Year to Date Results 3Q23 2Q23 Change 3Q22 Change 2023 2022 Change Net Interest Income $ 207,751 $ 209,540 -1% $ 212,981 -2% $ 628,943 $ 576,889 9% Noninterest Income $ 63,181 $ 67,349 -6% $ 65,324 -3% $ 186,580 $ 236,076 -21% Provision for Credit Losses $ 24,459 $ 45,516 -46% $ 17,652 39% $ 119,704 $ 38,807 208% Noninterest Expense $ 141,446 $ 148,403 -5% $ 139,578 1% $ 429,270 $ 425,594 1% Net Income $ 80,115 $ 62,635 28% $ 92,555 -13% $ 203,171 $ 264,319 -23% Net Income Per Diluted Share $ 1.16 $ 0.91 27% $ 1.34 -13% $ 2.94 $ 3.81 -23% Return on Average Assets 1.25% 0.98% 27% 1.56% -20% 1.07% 1.51% -29% Return on Average Equity 9.56% 7.63% 25% 11.76% -19% 8.26% 11.57% -29% Efficiency Ratio 52.21% 53.60% -3% 50.15% 4% 52.64% 52.35% 1% Net Interest Margin 3.54% 3.60% -2% 3.97% -11% 3.63% 3.67% -1% Adjusted Net Income(1) $ 80,115 $ 62,635 28% $ 91,817 -13% $ 202,685 $ 248,329 -18% Adjusted Net Income Per Diluted Share(1) $ 1.16 $ 0.91 27% $ 1.32 -12% $ 2.93 $ 3.58 -18% Adjusted Return on Assets(1) 1.25% 0.98% 27% 1.54% -19% 1.07% 1.42% -25% Adjusted Return on TCE(1) 14.35% 11.53% 24% 18.33% -22% 12.46% 17.33% -28% Adjusted Efficiency Ratio(1) 52.02% 53.41% -3% 50.12% 4% 52.49% 53.46% -2% Organic Loan Growth $ (270,680) $ 473,888 -157% $ 1,245,834 -122% $ 345,826 $ 2,932,598 -88% Organic Loan Growth Rate(2) -5.29% 9.48% -156% 28.38% -119% 2.32% 24.63% -91% Portfolio NPAs/Assets(3) 0.27% 0.30% -9% 0.32% -17% 0.27% 0.32% -17% Total NPAs/Assets 0.58% 0.57% 3% 0.55% 5% 0.58% 0.55% 5%
Strong Net Interest Margin Banking Division Loan Production Details Period Fixed Rate Variable Rate Total 3Q23 $ 247.0 10.69% $ 374.0 8.69% $621.0 9.49% 2Q23 $ 341.7 9.87% $ 202.5 8.47% $554.3 9.35% 1Q23 $ 339.8 9.40% $ 223.2 7.68% $563.0 8.72% Above peer group margin at 3.54% Net interest income (TE) of $208.7 million in 3Q23, compared with $210.5 million in 2Q23: Interest income (TE) increased $8.6 million Interest expense increased $10.4 million Average earning assets decreased $91.6 million Total deposit costs up 24bp in 3Q23, compared with a 63bp increase in 2Q23 Noninterest bearing deposits remain above historic levels and were 32.0% of total deposits at quarter end Average FHLB advances down $465.0 million during the quarter Spread Income and Margin
Diversified Revenue Stream Strong revenue base of net interest income from core banking division Additional revenue provided by our diversified lines of business Mortgage Banking Activity Retail mortgage activity has continued to stabilize back to pre-pandemic levels Mortgage banking activity was 13% of total revenue in 3Q23 Purchase business remained at 85% in 3Q23 due to strong core relationships with builders and realtors Approximately 86% of the net interest income included in mortgage revenue is related to portfolio loans generated from the mortgage division Gain on sale margin continues to improve from historic low in 4Q22 Other Noninterest Income Other Noninterest Income has been stable contributor to total revenue Other Noninterest Income includes: Fee income from equipment finance group BOLI Income Gains on sale of SBA Loans
Disciplined Expense Control Adjusted Operating Expenses(1) and Efficiency Ratio(1) OPEX Highlights Management continues to deliver high performing operating efficiency Adjusted efficiency ratio of 52.02% in 3Q23, compared with 53.41% in 2Q23 Total adjusted operating expenses decreased $7.0 million in 3Q23 compared with 2Q23: Decrease of $6.2 million in 3Q23 banking division operating expenses primarily due to: $2.1 million decrease in credit resolution-related expenses $1.6 million decrease in legal and professional fees $1.0 million decrease in FDIC insurance $1.5 million net decrease in fraud/forgery and litigation resolution expenses Net decrease of $768,000 in 3Q23 lines of business operating expenses due to variable compensation related to production increases Disciplined expense control throughout the Company with identified cost savings utilized to fund future technology and innovation costs 1 – Considered Non-GAAP measures – See reconciliation of GAAP to Non-GAAP measures in Appendix
Balance Sheet Trends Asset sensitivity is moderating as the FOMC nears the end of its tightening cycle: -0.3% asset sensitivity in -100bps -0.1% asset sensitivity in -50bps 0.1% asset sensitivity in +50bps 0.2% asset sensitivity in +100bps Approximately $7.2 billion, or 35%, of loans are variable rate Approximately $9.7 billion of total loans reprice within one year through either maturities or floating rate indices Cumulative weighted-average beta for all non-maturity deposits through this cycle has been 29% Interest Rate Sensitivity Earning Assets Highlights Available-for-sale (AFS) securities represent less than 6% of total assets, limiting potential tangible book value dilution from rising interest rates Unrealized loss of AFS portfolio was $78 million at September 30, 2023, representing approximately 5% of book value No transfers to held-to-maturity (HTM) portfolio – all securities classified as HTM were previously purchased for CRA purposes Capital Highlights Ameris is well capitalized with minimal unrealized losses in the investment portfolio TCE Ratio of 9.11% at September 30, 2023 Earnings expected to add between 25 - 35 basis points to capital each quarter assuming flat balance sheet Repurchase plan announced in October 2023 of $100 million
Proven Liquidity Plan At September 30, 2023 $ in millions Total Available Amount Used Net Availability Internal Sources Cash $ 1,546 $ - $ 1,546 Unpledged Securities 677 - 677 External Sources FHLB 5,421 1,798 3,623 FRB Discount Window 2,635 - 2,635 Brokered Deposits 2,853 1,567 1,286 Other 127 - 127 Total Liquidity $ 13,259 $ 3,365 $ 9,894 Diverse sources of liquidity available to the Company Minimal unrealized losses on unpledged securities due to disciplined investment strategy Majority of funding used is short-term to manage interest rate profile and provide flexibility as liquidity needs fluctuate Have not accessed Bank Term Funding Program Available liquidity sources provide approximately 117% coverage for uninsured deposits and approximately 161% coverage for non-collateralized uninsured deposits No single depositor represents more than 1% of total deposits Uninsured and uncollateralized deposits represent 29.7% of total deposits Sources of Liquidity Solid Liquidity Plan
Strong Core Deposit Base Deposit Highlights Noninterest bearing deposits remained strong at 32% of total deposits Total deposits increased $147.2 million in 3Q23 compared with 2Q23 Noninterest-bearing deposits decreased $117.3 million, or 1.7% MMDA and savings increased $359.6 million, or 5.7% CDs increased $157.8 million, or 4.4% Brokered CDs were minimally changed during the quarter Deposit Type Balance (in 000s) Count Average per account (in 000’s) NIB 6,589,610 297,584 22.1 NOW 3,607,856 44,984 80.2 MMDA 5,818,896 31,177 186.6 Savings 830,402 65,249 12.7 CD 3,743,581 41,018 91.3 Total 20,590,345 480,012 42.9 Deposits by Product Type
Capital and TBV CAGR 13% Proven Stewards of Shareholder Value Management focused on long term growth in TBV(1), such that over the past five years TBV has grown by 13% annualized TBV increased $0.96 per share in 3Q23: $1.01 from retained earnings ($0.15) from impact of OCI $0.10 from all other items including stock compensation and share repurchases 1 – Considered Non-GAAP measures – See reconciliation of GAAP to Non-GAAP measures in Appendix CAGR 13% Equipment Finance Acquisition LION Acquisition CECL Adoption
Loan Diversification and Credit Quality
Diversified Loan Portfolio 3Q23 Loan Portfolio Loan portfolio is well diversified across loan types and geographies CRE and C&D concentrations were 283% and 79%, respectively, at 3Q23 Non-owner occupied office loans totaled $1.45 billion at 3Q23, or 7.2% of total loans Continued strong asset quality metrics during 3Q23 as evidenced by a lower volume of Non-Performing loans, net of GNMA-backed mortgage loans Reserve increased to 1.44% of total loans during 3Q23 to account for forecasted economic conditions Limited exposure in SNCs and syndications Continued diligence by credit staff on portfolio reviews given the current economic environment, focused on maturing and floating-rate loans, particularly in C&D and investor CRE loans Portfolio Highlights Total Loans $20.2 Billion
Loan Production vs Growth 3Q23 loan production was spread across many product lines, continuing to contribute to portfolio diversification Overall, 3Q23 production exhibited a 19% decrease from 2Q23. Loan balance decline in 3Q23 was primarily driven by lower seasonal volume of Mortgage Warehouse loans *Loan production reflects committed balance total, excluding Mortgage Warehouse production; loan portfolio growth reflects quarter-over-quarter loan ending balances. 4Q22 loan growth includes acquired loans of $472.3 million. (in millions)
Loan Balance Changes 3Q23 Loan Balance Changes Loan balances were $270.7 million lower in 3Q23, primarily the result of a $294.6 million decrease in Mortgage Warehouse loans YTD, total loan growth was $345.8 million, or 2.3% annualized through 3Q23 C&D growth was primarily driven by advances on existing commercial construction loans (in millions)
Allowance for Credit Losses Increase in reserve during 3Q23 due to forecasted economic conditions The ACL on loans totaled $290.1 million at 3Q23, a net increase of $18.0 million, or 6.6% from 2Q23 The reserve for unfunded commitments totaled $49.0 million, a decrease of $5.6 million, or 10.3%, primarily due to lower unfunded balances During 3Q23, recorded a provision expense of $24.5 million The ACL on loans equated to 1.44% of total loans at 3Q23, compared with 1.33% at 2Q23 The total ACL on loans + unfunded commitments was $339.1 million, or 1.33% 3Q23 CECL Reserve Reserve Summary (in millions)
Allowance for Credit Losses Results were primarily driven by negative forecasts for CRE and home prices over the next four quarters The ALLL for the two CRE categories (RE – C&D, RE – CRE) exhibited the highest increase from 2Q23 of $14.5 million The blended ALLL % for those two categories was 1.64% at 3Q23 The negative forecast for home prices resulted in a $2.0 million increase in the ALLL for residential mortgage loans (RE – RES) 3Q23 CECL Reserve by Loan Type Reserve Summary Reserve Methodology Moody’s September 2023 forecast model provided material inputs into ACL Primary model drivers included: US and Regional Unemployment rates US GDP US and Regional Home Price Indices US and State-Level CRE Price Index for our five-state footprint Estimate derived using Baseline scenario
NPA / Charge-Off Trend Net of GNMA-guaranteed mortgage loans, NPAs declined as a percentage of total assets to 0.27% at 3Q23 vs 0.30% at 2Q23 Total NPAs increased $3.6 million, to $149.9 million, primarily as a result of: $11.1 million increase in 90+ past due GNMA-guaranteed mortgage loans Charge-off of $3.2 million in remaining pre-acquisition nonaccrual loans in the Equipment Finance division $2.8 million net decrease in OREO due to the sale of our largest OREO property Net charge-offs totaled $12.1 million, which equated to an annualized NCO ratio of 0.23% Included in 3Q23 charge-offs were $3.2 million of pre-acquisition, nonaccrual loans in the Equipment Finance division that were 100% reserved at the acquisition date Excluding those acquired loans, net charge-offs totaled $8.9 million, or 0.17% annualized Non-Performing Assets (NPAs) Net Charge-Offs ($ in millions)
Problem Loan Trends Total classified loans, excluding GNMA-guaranteed mortgage loans, increased $3.8 million Total criticized loans (including special mention), excluding GNMA-guaranteed mortgage loans, increased $20.2 million Nonperforming loans, excluding GNMA-guaranteed mortgage loans, decreased $4.7 million, primarily the result of collection efforts and upgrades The watch list totaling $388.2 million is primarily comprised of the following loan types: Highlights (in millions) Note: Criticized, Classified and Nonperforming loan totals exclude GNMA-guaranteed loans
Investor CRE Loans Stratification of Investor CRE Portfolio Non-Owner Occupied CRE Portfolio is well diversified Over 80% of CRE loans are located in MSAs in the Bank’s five-state footprint, which exhibit population growth forecasts exceeding the national average Overall past dues for investor CRE loans were 0.15% and NPAs 0.07%
Office Portfolio 86% of non-owner occupied office loans are located in MSAs in the Bank’s primary footprint; overall, the average vacancy was ~10% Central Business District (CBD) locations represent 7% of non-owner occupied properties; Charleston, SC and Tampa, FL represent the two largest CBD MSAs (66% of total CBD properties) The portion of the ACL apportioned to non-owner occupied office loans was 1.52% * Results based on loans > $1 million, or 95% of total loans Non-owner occupied office loans totaled $1.45 billion of outstanding balances and $1.68 billion of total committed exposure at 3Q23 As a percentage of total loans outstanding and committed exposure, non-owner occupied office loans were 7.2% and 6.6%, respectively 66% are comprised of Class A, Essential-Use Facility or Medical Office Building (MOB) Highlights 24
Commercial Real Estate Production 3Q23 Commercial Real Estate Production Summary: 3Q23 Residential Construction Production Summary: 3Q23 production of C&D and CRE loans - $381.8 million in total committed exposure Residential real estate construction: Spec/model to pre-sold ratio of 0.5:1 Investor CRE 3Q23 production: Production totaled $58.1 million Weighted average 1.55:1 debt service coverage Weighted average 52.4% loan/value Summary of CRE production by collateral state: Highlights
Equipment Finance Portfolio Total loans were $1.2 billion, or 6.0% of Ameris’s total portfolio The overall average loan size was $48.3 thousand Loan production totaled $156.7 million in 3Q23. The average FICO score for new production in 3Q23 was 738 30-89 day accruing past due loans were 0.85% of total loans; non-performing loans continue to decline and totaled 0.39% of total loans The remaining pre-acquisition, fully reserved non-performing loans, totaling $3.2 million, were charged-off during 3Q23 The portion of the ACL attributed to the Equipment Finance division totaled $40.1 million, or 3.30% of loans Highlights (in millions)
Appendix
Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures
Reconciliation of GAAP to Non-GAAP Measures
Ameris Bancorp Press Release & Financial Highlights September 30, 2023