Washington | 001-35424 | 91-0186600 | ||||||||||||
(State or other jurisdiction of incorporation) |
(Commission File Number) |
(IRS Employer Identification No.) |
☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act: |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||
Common Stock, No Par Value | HMST | Nasdaq Global Select Market |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Act or Rule 12b-2 of the Exchange Act. |
☐ | 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 12(a) of the Exchange Act. |
Item 2.02 | Results of Operations and Financial Condition |
Item 9.01 | Financial Statements and Exhibits | ||||
(d) | Exhibits. | ||||
Exhibit 99.1 | |||||
Exhibit 99.2 | |||||
Exhibit 104 | Cover Page Interactive Data File (embedded within with Inline XBRL) |
HomeStreet, Inc. | |||||||||||
By: | /s/ John M. Michel | ||||||||||
John M. Michel | |||||||||||
Executive Vice President and Chief Financial Officer | |||||||||||
Fully diluted EPS $0.45
|
ROAE: 6.0%
ROATE: 6.4%
|
ROAA: 0.36% |
Fully diluted EPS $3.49
|
ROAE: 10.8%
ROATE: 11.5%
|
ROAA: 0.79% |
Fourth Quarter Operating Results |
Fourth quarter 2022 compared to third quarter 2022
•Net income: $8.5 million compared to $20.4 million
•Earnings per fully diluted share: $0.45 compared to $1.08
•Net interest margin: 2.53% compared to 3.00%
•Return on Average Equity ("ROAE"): 6.0% compared to 13.4%
•Return on Average Tangible Equity ("ROATE"): 6.4% compared to 14.2%
•Return on Average Assets ("ROAA"): 0.36% compared to 0.91%
•Efficiency ratio: 76.2% compared to 68.4%
|
Full Year Operating Results
|
2022 compared to 2021
•Net income: $66.5 million compared to $115.4 million
•Earnings per fully diluted share: $3.49 compared to $5.46
•Net interest margin: 2.99% compared to 3.38%
•ROAE: 10.8% compared to 15.9%
•ROATE: 11.5% compared to 16.8%
•ROAA: 0.79% compared to 1.58%
•Efficiency ratio: 72.4% compared to 61.9%
|
Financial Position |
Fourth quarter 2022 compared to third quarter 2022
•Loan portfolio originations: $612 million compared to $914 million
•Loans held for investment increased by $209 million in the fourth quarter
•Total deposits increased by $842 million or 13%
•Period ending cost of deposits: 1.61% compared to 0.71%
•Tangible book value per share: $28.41 compared to $27.92
|
|||||||
2022 Activity
•Loan portfolio originations: $3.6 billion
•Loans held for investment increased by $1.9 billion in 2022
•Total deposits increased $1.3 billion or 21.2%
|
Other |
•Declared and paid a cash dividend of $0.35 per share in the fourth quarter
•Purchase of deposits and three retail branches in southern California is scheduled to close in the first quarter of 2023
|
Contact: | Executive Vice President and Chief Financial Officer | |||||||
HomeStreet, Inc. | ||||||||
John Michel (206) 515-2291 | ||||||||
john.michel@homestreet.com | ||||||||
http://ir.homestreet.com |
For the Quarter Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||
(in thousands, except per share data and FTE data) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
December 31, 2022 |
December 31, 2021 |
||||||||||||||||||||||||||||||||||
Select Income Statement Data: |
|||||||||||||||||||||||||||||||||||||||||
Net interest income | $ | 55,687 | $ | 63,018 | $ | 60,056 | $ | 54,546 | $ | 57,084 | $ | 233,307 | $ | 227,057 | |||||||||||||||||||||||||||
Provision for credit losses | 3,798 | — | — | (9,000) | (6,000) | (5,202) | (15,000) | ||||||||||||||||||||||||||||||||||
Noninterest income | 9,677 | 13,322 | 13,013 | 15,558 | 28,620 | 51,570 | 119,975 | ||||||||||||||||||||||||||||||||||
Noninterest expense | 50,420 | 49,889 | 50,637 | 54,473 | 53,971 | 205,419 | 215,343 | ||||||||||||||||||||||||||||||||||
Income: | |||||||||||||||||||||||||||||||||||||||||
Before income taxes | 11,146 | 26,451 | 22,432 | 24,631 | 37,733 | 84,660 | 146,689 | ||||||||||||||||||||||||||||||||||
Total | 8,501 | 20,367 | 17,721 | 19,951 | 29,432 | 66,540 | 115,422 | ||||||||||||||||||||||||||||||||||
Net income per share - diluted | 0.45 | 1.08 | 0.94 | 1.01 | 1.43 | 3.49 | 5.46 | ||||||||||||||||||||||||||||||||||
Select Performance Ratios: | |||||||||||||||||||||||||||||||||||||||||
Return on average equity - annualized | 6.0 | % | 13.4 | % | 11.8 | % | 11.6 | % | 16.1 | % | 10.8 | % | 15.9 | % | |||||||||||||||||||||||||||
Return on average tangible equity - annualized (1) |
6.4 | % | 14.2 | % | 12.6 | % | 12.2 | % | 17.0 | % | 11.5 | % | 16.8 | % | |||||||||||||||||||||||||||
Return on average assets - annualized | 0.36 | % | 0.91 | % | 0.89 | % | 1.10 | % | 1.59 | % | 0.79 | % | 1.58 | % | |||||||||||||||||||||||||||
Efficiency ratio (1) |
76.2 | % | 68.4 | % | 68.5 | % | 77.0 | % | 62.2 | % | 72.4 | % | 61.9 | % | |||||||||||||||||||||||||||
Net interest margin | 2.53 | % | 3.00 | % | 3.27 | % | 3.29 | % | 3.34 | % | 2.99 | % | 3.38 | % | |||||||||||||||||||||||||||
Other data: | |||||||||||||||||||||||||||||||||||||||||
Full-time equivalent employees ("FTE") | 913 | 935 | 956 | 962 | 970 | 913 | 991 | ||||||||||||||||||||||||||||||||||
As of | |||||||||||||||||||||||||||||
(in thousands, except share and per share data) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
||||||||||||||||||||||||
Select Balance Sheet Data: | |||||||||||||||||||||||||||||
Loans held for sale |
$ | 17,327 | $ | 13,787 | $ | 47,314 | $ | 59,150 | $ | 176,131 | |||||||||||||||||||
Loans held for investment, net |
7,384,820 | 7,175,881 | 6,722,382 | 5,826,546 | 5,495,726 | ||||||||||||||||||||||||
Allowance for credit losses ("ACL") |
41,500 | 37,606 | 37,355 | 37,944 | 47,123 | ||||||||||||||||||||||||
Investment securities |
1,400,212 | 1,311,941 | 1,237,957 | 1,083,640 | 1,006,691 | ||||||||||||||||||||||||
Total assets |
9,364,760 | 9,072,887 | 8,582,886 | 7,510,894 | 7,204,091 | ||||||||||||||||||||||||
Deposits |
7,451,919 | 6,610,231 | 6,183,299 | 6,270,535 | 6,146,509 | ||||||||||||||||||||||||
Borrowings |
1,016,000 | 1,569,000 | 1,458,000 | 273,000 | 41,000 | ||||||||||||||||||||||||
Long-term debt |
224,404 | 224,314 | 224,227 | 224,137 | 126,026 | ||||||||||||||||||||||||
Total shareholders' equity |
562,147 | 552,789 | 580,767 | 601,231 | 715,339 | ||||||||||||||||||||||||
Other Data: |
|||||||||||||||||||||||||||||
Book value per share |
$ | 30.01 | $ | 29.53 | $ | 31.04 | $ | 32.15 | $ | 35.61 | |||||||||||||||||||
Tangible book value per share (1) |
$ | 28.41 | $ | 27.92 | $ | 29.37 | $ | 30.47 | $ | 34.04 | |||||||||||||||||||
Total equity to total assets | 6.0 | % | 6.1 | % | 6.8 | % | 8.0 | % | 9.9 | % | |||||||||||||||||||
Tangible common equity to tangible assets (1) |
5.7 | % | 5.8 | % | 6.4 | % | 7.6 | % | 9.5 | % | |||||||||||||||||||
Shares outstanding at end of period |
18,730,380 | 18,717,557 | 18,712,789 | 18,700,536 | 20,085,336 | ||||||||||||||||||||||||
Loans to deposit ratio |
99.9 | % | 109.3 | % | 110.1 | % | 94.5 | % | 93.0 | % | |||||||||||||||||||
Credit Quality: |
|||||||||||||||||||||||||||||
ACL to total loans (2) |
0.57 | % | 0.53 | % | 0.56 | % | 0.66 | % | 0.88 | % | |||||||||||||||||||
ACL to nonaccrual loans | 412.7 | % | 306.6 | % | 411.3 | % | 320.3 | % | 386.2 | % | |||||||||||||||||||
Nonaccrual loans to total loans | 0.14 | % | 0.17 | % | 0.13 | % | 0.20 | % | 0.22 | % | |||||||||||||||||||
Nonperforming assets to total assets |
0.13 | % | 0.15 | % | 0.13 | % | 0.17 | % | 0.18 | % | |||||||||||||||||||
Nonperforming assets |
$ | 11,893 | $ | 13,991 | $ | 10,835 | $ | 12,581 | $ | 12,936 | |||||||||||||||||||
Regulatory Capital Ratios: (3) |
|||||||||||||||||||||||||||||
Bank |
|||||||||||||||||||||||||||||
Tier 1 leverage ratio | 8.63 | % | 9.15 | % | 9.78 | % | 10.30 | % | 10.11 | % | |||||||||||||||||||
Total risk-based capital |
12.59 | % | 12.57 | % | 12.29 | % | 13.23 | % | 13.77 | % | |||||||||||||||||||
Company |
|||||||||||||||||||||||||||||
Tier 1 leverage ratio |
7.25 | % | 7.61 | % | 8.38 | % | 8.99 | % | 9.94 | % | |||||||||||||||||||
Total risk-based capital |
11.53 | % | 11.43 | % | 11.49 | % | 12.65 | % | 12.66 | % |
(in thousands, except share data) |
December 31, 2022 | December 31, 2021 | ||||||||||||
ASSETS | ||||||||||||||
Cash and cash equivalents |
$ | 72,828 | $ | 65,214 | ||||||||||
Investment securities |
1,400,212 | 1,006,691 | ||||||||||||
Loans held for sale |
17,327 | 176,131 | ||||||||||||
Loans held for investment ("LHFI") (net of allowance for credit losses of $41,500 and $47,123) |
7,384,820 | 5,495,726 | ||||||||||||
Mortgage servicing rights |
111,873 | 100,999 | ||||||||||||
Premises and equipment, net |
51,172 | 58,154 | ||||||||||||
Other real estate owned |
1,839 | 735 | ||||||||||||
Goodwill and other intangibles |
29,980 | 31,709 | ||||||||||||
Other assets |
294,709 | 268,732 | ||||||||||||
Total assets | $ | 9,364,760 | $ | 7,204,091 | ||||||||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||||||||
Liabilities: | ||||||||||||||
Deposits |
$ | 7,451,919 | $ | 6,146,509 | ||||||||||
Borrowings |
1,016,000 | 41,000 | ||||||||||||
Long-term debt |
224,404 | 126,026 | ||||||||||||
Accounts payable and other liabilities |
110,290 | 175,217 | ||||||||||||
Total liabilities | 8,802,613 | 6,488,752 | ||||||||||||
Shareholders' equity: |
||||||||||||||
Common stock, no par value; 160,000,000 shares authorized |
||||||||||||||
18,730,380 and 20,085,336 shares issued and outstanding |
226,592 | 249,856 | ||||||||||||
Retained earnings |
435,085 | 444,343 | ||||||||||||
Accumulated other comprehensive income (loss) | (99,530) | 21,140 | ||||||||||||
Total shareholders' equity | 562,147 | 715,339 | ||||||||||||
Total liabilities and shareholders' equity | $ | 9,364,760 | $ | 7,204,091 | ||||||||||
Quarter Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||
(in thousands, except share and per share data) | 2022 | 2021 | 2022 | 2021 | |||||||||||||||||||
Interest income: | |||||||||||||||||||||||
Loans | $ | 80,733 | $ | 55,403 | $ | 266,841 | $ | 222,166 | |||||||||||||||
Investment securities | 11,466 | 5,469 | 33,825 | 21,560 | |||||||||||||||||||
Cash, Fed Funds and other | 1,967 | 97 | 3,622 | 569 | |||||||||||||||||||
Total interest income |
94,166 | 60,969 | 304,288 | 244,295 | |||||||||||||||||||
Interest expense: | |||||||||||||||||||||||
Deposits | 18,515 | 2,481 | 32,013 | 11,411 | |||||||||||||||||||
Borrowings | 19,964 | 1,404 | 38,968 | 5,827 | |||||||||||||||||||
Total interest expense |
38,479 | 3,885 | 70,981 | 17,238 | |||||||||||||||||||
Net interest income |
55,687 | 57,084 | 233,307 | 227,057 | |||||||||||||||||||
Provision for credit losses | 3,798 | (6,000) | (5,202) | (15,000) | |||||||||||||||||||
Net interest income after provision for credit losses |
51,889 | 63,084 | 238,509 | 242,057 | |||||||||||||||||||
Noninterest income: | |||||||||||||||||||||||
Net gain on loan origination and sale activities | 1,488 | 20,079 | 17,701 | 92,318 | |||||||||||||||||||
Loan servicing income | 2,682 | 2,540 | 12,388 | 7,233 | |||||||||||||||||||
Deposit fees | 2,359 | 2,156 | 8,875 | 8,068 | |||||||||||||||||||
Other | 3,148 | 3,845 | 12,606 | 12,356 | |||||||||||||||||||
Total noninterest income |
9,677 | 28,620 | 51,570 | 119,975 | |||||||||||||||||||
Noninterest expense: | |||||||||||||||||||||||
Compensation and benefits | 25,970 | 30,627 | 115,533 | 132,015 | |||||||||||||||||||
Occupancy | 6,213 | 5,662 | 24,528 | 23,832 | |||||||||||||||||||
Information services | 8,101 | 7,278 | 29,981 | 27,913 | |||||||||||||||||||
General, administrative and other | 10,136 | 10,404 | 35,377 | 31,583 | |||||||||||||||||||
Total noninterest expense |
50,420 | 53,971 | 205,419 | 215,343 | |||||||||||||||||||
Income before income taxes | 11,146 | 37,733 | 84,660 | 146,689 | |||||||||||||||||||
Income tax expense | 2,645 | 8,301 | 18,120 | 31,267 | |||||||||||||||||||
Net income | $ | 8,501 | $ | 29,432 | $ | 66,540 | $ | 115,422 | |||||||||||||||
Net income per share: | |||||||||||||||||||||||
Basic | $ | 0.45 | $ | 1.45 | $ | 3.51 | $ | 5.53 | |||||||||||||||
Diluted | $ | 0.45 | $ | 1.43 | $ | 3.49 | $ | 5.46 | |||||||||||||||
Weighted average shares outstanding: | |||||||||||||||||||||||
Basic |
18,726,654 | 20,251,824 | 18,931,107 | 20,885,509 | |||||||||||||||||||
Diluted |
18,753,147 | 20,522,475 | 19,041,111 | 21,143,414 |
Quarter Ended | |||||||||||||||||||||||||||||
(in thousands, except share and per share data) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
||||||||||||||||||||||||
Interest income: | |||||||||||||||||||||||||||||
Loans | $ | 80,733 | $ | 73,329 | $ | 59,825 | $ | 52,954 | $ | 55,403 | |||||||||||||||||||
Investment securities | 11,466 | 9,014 | 7,379 | 5,966 | 5,469 | ||||||||||||||||||||||||
Cash, Fed Funds and other | 1,967 | 1,060 | 487 | 108 | 97 | ||||||||||||||||||||||||
Total interest income | 94,166 | 83,403 | 67,691 | 59,028 | 60,969 | ||||||||||||||||||||||||
Interest expense: | |||||||||||||||||||||||||||||
Deposits | 18,515 | 8,321 | 2,893 | 2,284 | 2,481 | ||||||||||||||||||||||||
Borrowings | 19,964 | 12,064 | 4,742 | 2,198 | 1,404 | ||||||||||||||||||||||||
Total interest expense | 38,479 | 20,385 | 7,635 | 4,482 | 3,885 | ||||||||||||||||||||||||
Net interest income |
55,687 | 63,018 | 60,056 | 54,546 | 57,084 | ||||||||||||||||||||||||
Provision for credit losses | 3,798 | — | — | (9,000) | (6,000) | ||||||||||||||||||||||||
Net interest income after provision for credit losses | 51,889 | 63,018 | 60,056 | 63,546 | 63,084 | ||||||||||||||||||||||||
Noninterest income: | |||||||||||||||||||||||||||||
Net gain on loan origination and sale activities | 1,488 | 2,647 | 5,292 | 8,274 | 20,079 | ||||||||||||||||||||||||
Loan servicing income | 2,682 | 2,741 | 3,661 | 3,304 | 2,540 | ||||||||||||||||||||||||
Deposit fees | 2,359 | 2,223 | 2,218 | 2,075 | 2,156 | ||||||||||||||||||||||||
Other | 3,148 | 5,711 | 1,842 | 1,905 | 3,845 | ||||||||||||||||||||||||
Total noninterest income | 9,677 | 13,322 | 13,013 | 15,558 | 28,620 | ||||||||||||||||||||||||
Noninterest expense: | |||||||||||||||||||||||||||||
Compensation and benefits | 25,970 | 27,341 | 30,191 | 32,031 | 30,627 | ||||||||||||||||||||||||
Occupancy | 6,213 | 6,052 | 5,898 | 6,365 | 5,662 | ||||||||||||||||||||||||
Information services | 8,101 | 7,038 | 7,780 | 7,062 | 7,278 | ||||||||||||||||||||||||
General, administrative and other | 10,136 | 9,458 | 6,768 | 9,015 | 10,404 | ||||||||||||||||||||||||
Total noninterest expense | 50,420 | 49,889 | 50,637 | 54,473 | 53,971 | ||||||||||||||||||||||||
Income before income taxes | 11,146 | 26,451 | 22,432 | 24,631 | 37,733 | ||||||||||||||||||||||||
Income tax expense |
2,645 | 6,084 | 4,711 | 4,680 | 8,301 | ||||||||||||||||||||||||
Net income | $ | 8,501 | $ | 20,367 | $ | 17,721 | $ | 19,951 | $ | 29,432 | |||||||||||||||||||
Net income per share: | |||||||||||||||||||||||||||||
Basic | $ | 0.45 | $ | 1.09 | $ | 0.95 | $ | 1.02 | $ | 1.45 | |||||||||||||||||||
Diluted | $ | 0.45 | $ | 1.08 | $ | 0.94 | $ | 1.01 | $ | 1.43 | |||||||||||||||||||
Weighted average shares outstanding: |
|||||||||||||||||||||||||||||
Basic | 18,726,654 | 18,716,864 | 18,706,953 | 19,585,753 | 20,251,824 | ||||||||||||||||||||||||
Diluted | 18,753,147 | 18,796,737 | 18,834,443 | 19,791,913 | 20,522,475 |
(in thousands, except yield/rate) | Quarter Ended December 31, | Year Ended December 31, | ||||||||||||||||||||||||
Average Balances: | 2022 | 2021 | 2022 | 2021 | ||||||||||||||||||||||
Investment securities |
$ | 1,362,861 | $ | 990,273 | $ | 1,195,995 | $ | 1,020,530 | ||||||||||||||||||
Loans |
7,368,097 | 5,767,597 | 6,596,284 | 5,653,930 | ||||||||||||||||||||||
Total interest-earning assets | 8,890,221 | 6,840,317 | 7,897,307 | 6,770,763 | ||||||||||||||||||||||
Total assets | 9,348,396 | 7,356,957 | 8,396,078 | 7,318,505 | ||||||||||||||||||||||
Deposits: Interest-bearing |
5,227,039 | 4,591,239 | 4,791,413 | 4,570,811 | ||||||||||||||||||||||
Deposits: Noninterest-bearing | 1,510,744 | 1,728,558 | 1,624,223 | 1,596,653 | ||||||||||||||||||||||
Borrowings |
1,717,042 | 25,711 | 1,024,344 | 109,513 | ||||||||||||||||||||||
Long-term debt |
224,345 | 125,995 | 219,398 | 125,925 | ||||||||||||||||||||||
Total interest-bearing liabilities |
7,168,426 | 4,742,945 | 6,035,155 | 4,806,249 | ||||||||||||||||||||||
Average Yield/Rate: | ||||||||||||||||||||||||||
Investment securities |
3.70 | % | 2.50 | % | 3.18 | % | 2.38 | % | ||||||||||||||||||
Loans |
4.32 | % | 3.79 | % | 4.02 | % | 3.91 | % | ||||||||||||||||||
Total interest earning assets |
4.24 | % | 3.57 | % | 3.88 | % | 3.63 | % | ||||||||||||||||||
Deposits: Interest-bearing |
1.40 | % | 0.21 | % | 0.67 | % | 0.25 | % | ||||||||||||||||||
Total deposits |
1.09 | % | 0.16 | % | 0.50 | % | 0.18 | % | ||||||||||||||||||
Borrowings |
3.93 | % | 0.73 | % | 2.81 | % | 0.36 | % | ||||||||||||||||||
Long-term debt |
4.96 | % | 4.29 | % | 4.49 | % | 4.30 | % | ||||||||||||||||||
Total interest-bearing liabilities |
2.12 | % | 0.33 | % | 1.17 | % | 0.36 | % | ||||||||||||||||||
Net interest rate spread |
2.12 | % | 3.24 | % | 2.71 | % | 3.27 | % | ||||||||||||||||||
Net interest margin |
2.53 | % | 3.34 | % | 2.99 | % | 3.38 | % |
(in thousands, except yield/rate) | Quarter Ended | |||||||||||||||||||||||||||||||
Average Balances: | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||
Investment securities |
$ | 1,362,861 | $ | 1,252,923 | $ | 1,134,929 | $ | 1,028,971 | $ | 990,273 | ||||||||||||||||||||||
Loans |
7,368,097 | 7,070,998 | 6,231,081 | 5,691,316 | 5,767,597 | |||||||||||||||||||||||||||
Total interest earning assets |
8,890,221 | 8,436,745 | 7,447,008 | 6,786,205 | 6,840,317 | |||||||||||||||||||||||||||
Total assets | 9,348,396 | 8,899,684 | 7,945,298 | 7,363,589 | 7,356,957 | |||||||||||||||||||||||||||
Deposits: Interest-bearing |
5,227,039 | 4,852,515 | 4,563,974 | 4,513,613 | 4,591,239 | |||||||||||||||||||||||||||
Deposits: Noninterest-bearing |
1,510,744 | 1,576,387 | 1,668,631 | 1,744,220 | 1,728,558 | |||||||||||||||||||||||||||
Borrowings |
1,717,042 | 1,530,449 | 761,606 | 64,557 | 25,711 | |||||||||||||||||||||||||||
Long-term debt |
224,345 | 224,259 | 224,167 | 204,553 | 125,995 | |||||||||||||||||||||||||||
Total interest-bearing liabilities |
7,168,426 | 6,607,223 | 5,549,747 | 4,782,723 | 4,742,945 | |||||||||||||||||||||||||||
Average Yield/Rate: | ||||||||||||||||||||||||||||||||
Investment securities |
3.70 | % | 3.22 | % | 2.97 | % | 2.68 | % | 2.50 | % | ||||||||||||||||||||||
Loans |
4.32 | % | 4.09 | % | 3.82 | % | 3.74 | % | 3.79 | % | ||||||||||||||||||||||
Total interest earning assets |
4.24 | % | 3.95 | % | 3.68 | % | 3.55 | % | 3.57 | % | ||||||||||||||||||||||
Deposits: Interest-bearing |
1.40 | % | 0.68 | % | 0.25 | % | 0.21 | % | 0.21 | % | ||||||||||||||||||||||
Total deposits |
1.09 | % | 0.51 | % | 0.19 | % | 0.15 | % | 0.16 | % | ||||||||||||||||||||||
Borrowings |
3.93 | % | 2.43 | % | 1.21 | % | 0.56 | % | 0.73 | % | ||||||||||||||||||||||
Long-term debt |
4.96 | % | 4.56 | % | 4.28 | % | 4.12 | % | 4.29 | % | ||||||||||||||||||||||
Total interest-bearing liabilities |
2.12 | % | 1.22 | % | 0.55 | % | 0.38 | % | 0.33 | % | ||||||||||||||||||||||
Net interest rate spread |
2.12 | % | 2.74 | % | 3.13 | % | 3.17 | % | 3.24 | % | ||||||||||||||||||||||
Net interest margin |
2.53 | % | 3.00 | % | 3.27 | % | 3.29 | % | 3.34 | % |
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||
Commercial real estate ("CRE") | ||||||||||||||||||||||||||||||||
Non-owner occupied CRE | $ | 658,085 | $ | 666,394 | $ | 711,077 | $ | 699,277 | $ | 705,359 | ||||||||||||||||||||||
Multifamily | 3,975,754 | 3,923,946 | 3,475,697 | 2,729,775 | 2,415,359 | |||||||||||||||||||||||||||
Construction/land development | 627,663 | 590,092 | 569,896 | 528,134 | 496,144 | |||||||||||||||||||||||||||
Total | 5,261,502 | 5,180,432 | 4,756,670 | 3,957,186 | 3,616,862 | |||||||||||||||||||||||||||
Commercial and industrial loans | ||||||||||||||||||||||||||||||||
Owner occupied CRE | 443,363 | 432,114 | 470,259 | 464,356 | 457,706 | |||||||||||||||||||||||||||
Commercial business | 359,747 | 361,635 | 393,764 | 387,938 | 401,872 | |||||||||||||||||||||||||||
Total | 803,110 | 793,749 | 864,023 | 852,294 | 859,578 | |||||||||||||||||||||||||||
Consumer loans | ||||||||||||||||||||||||||||||||
Single family (1) |
1,009,001 | 907,044 | 822,389 | 759,286 | 763,331 | |||||||||||||||||||||||||||
Home equity and other | 352,707 | 332,262 | 316,655 | 295,724 | 303,078 | |||||||||||||||||||||||||||
Total | 1,361,708 | 1,239,306 | 1,139,044 | 1,055,010 | 1,066,409 | |||||||||||||||||||||||||||
Total LHFI | 7,426,320 | 7,213,487 | 6,759,737 | 5,864,490 | 5,542,849 | |||||||||||||||||||||||||||
Allowance for credit losses ("ACL") | (41,500) | (37,606) | (37,355) | (37,944) | (47,123) | |||||||||||||||||||||||||||
Total LHFI less ACL | $ | 7,384,820 | $ | 7,175,881 | $ | 6,722,382 | $ | 5,826,546 | $ | 5,495,726 |
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||
Loans - beginning balance | $ | 7,213,487 | $ | 6,759,737 | $ | 5,864,490 | $ | 5,542,849 | $ | 5,354,257 | ||||||||||||||||||||||
Originations and advances | 611,954 | 914,129 | 1,309,883 | 747,238 | 794,869 | |||||||||||||||||||||||||||
Transfers (to) from loans held for sale | 150 | (4,677) | (1,103) | (6,731) | (2,034) | |||||||||||||||||||||||||||
Payoffs, paydowns and other | (398,745) | (455,607) | (411,859) | (418,852) | (602,613) | |||||||||||||||||||||||||||
Charge-offs and transfers to OREO | (526) | (95) | (1,674) | (14) | (1,630) | |||||||||||||||||||||||||||
Loans - ending balance | $ | 7,426,320 | $ | 7,213,487 | $ | 6,759,737 | $ | 5,864,490 | $ | 5,542,849 |
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||
CRE | ||||||||||||||||||||||||||||||||
Non-owner occupied CRE | $ | 406 | $ | 11,003 | $ | 39,194 | $ | 23,632 | $ | 33,390 | ||||||||||||||||||||||
Multifamily | 188,392 | 473,733 | 821,980 | 371,047 | 395,365 | |||||||||||||||||||||||||||
Construction/land development | 186,313 | 208,057 | 189,827 | 174,770 | 180,083 | |||||||||||||||||||||||||||
Total | 375,111 | 692,793 | 1,051,001 | 569,449 | 608,838 | |||||||||||||||||||||||||||
Commercial and industrial loans | ||||||||||||||||||||||||||||||||
Owner occupied CRE | 21,144 | 11,176 | 21,785 | 20,534 | 27,323 | |||||||||||||||||||||||||||
Commercial business | 40,648 | 36,144 | 61,286 | 53,959 | 49,580 | |||||||||||||||||||||||||||
Total | 61,792 | 47,320 | 83,071 | 74,493 | 76,903 | |||||||||||||||||||||||||||
Consumer loans | ||||||||||||||||||||||||||||||||
Single family | 128,829 | 118,727 | 118,957 | 70,067 | 73,035 | |||||||||||||||||||||||||||
Home equity and other | 46,222 | 55,289 | 56,854 | 33,229 | 36,093 | |||||||||||||||||||||||||||
Total | 175,051 | 174,016 | 175,811 | 103,296 | 109,128 | |||||||||||||||||||||||||||
Total loan originations and advances | $ | 611,954 | $ | 914,129 | $ | 1,309,883 | $ | 747,238 | $ | 794,869 |
Past Due and Still Accruing | ||||||||||||||||||||||||||||||||||||||||||||
(in thousands) | 30-59 days | 60-89 days |
90 days or
more (1)
|
Nonaccrual |
Total past
due and nonaccrual (2)
|
Current | Total loans |
|||||||||||||||||||||||||||||||||||||
December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Total loans held for investment | $ | 4,823 | $ | 2,020 | $ | 4,372 | $ | 10,055 | $ | 21,270 | $ | 7,405,050 | $ | 7,426,320 | ||||||||||||||||||||||||||||||
% | 0.06 | % | 0.03 | % | 0.06 | % | 0.14 | % | 0.29 | % | 99.71 | % | 100.00 | % | ||||||||||||||||||||||||||||||
September 30, 2022 | ||||||||||||||||||||||||||||||||||||||||||||
Total loans held for investment | $ | 3,139 | $ | 867 | $ | 5,064 | $ | 12,266 | $ | 21,336 | $ | 7,192,151 | $ | 7,213,487 | ||||||||||||||||||||||||||||||
% | 0.04 | % | 0.01 | % | 0.07 | % | 0.17 | % | 0.30 | % | 99.70 | % | 100.00 | % |
Quarter Ended | ||||||||||||||||||||||||||||||||
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||
Allowance for credit losses | ||||||||||||||||||||||||||||||||
Beginning balance | $ | 37,606 | $ | 37,355 | $ | 37,944 | $ | 47,123 | $ | 54,516 | ||||||||||||||||||||||
Provision for credit losses | 4,195 | 249 | (216) | (9,223) | (5,952) | |||||||||||||||||||||||||||
Recoveries (charge-offs), net | (301) | 2 | (373) | 44 | (1,441) | |||||||||||||||||||||||||||
Ending balance |
$ | 41,500 | $ | 37,606 | $ | 37,355 | $ | 37,944 | $ | 47,123 | ||||||||||||||||||||||
Allowance for unfunded commitments: |
||||||||||||||||||||||||||||||||
Beginning balance | $ | 2,594 | $ | 2,843 | $ | 2,627 | $ | 2,404 | $ | 2,452 | ||||||||||||||||||||||
Provision for credit losses | (397) | (249) | 216 | 223 | (48) | |||||||||||||||||||||||||||
Ending balance |
$ | 2,197 | $ | 2,594 | $ | 2,843 | $ | 2,627 | $ | 2,404 | ||||||||||||||||||||||
Provision for credit losses: | ||||||||||||||||||||||||||||||||
Allowance for credit losses - loans | $ | 4,195 | $ | 249 | $ | (216) | $ | (9,223) | $ | (5,952) | ||||||||||||||||||||||
Allowance for unfunded commitments | (397) | (249) | 216 | 223 | (48) | |||||||||||||||||||||||||||
Total |
$ | 3,798 | $ | — | $ | — | $ | (9,000) | $ | (6,000) | ||||||||||||||||||||||
December 31, 2022 | September 30, 2022 | December 31, 2021 | |||||||||||||||||||||||||||||||||
(in thousands) | Balance | Rate (1) |
Balance | Rate (1) |
Balance | Rate (1) |
|||||||||||||||||||||||||||||
Non-owner occupied CRE | $ | 2,102 | 0.32 | % | $ | 2,106 | 0.32 | % | $ | 7,509 | 1.06 | % | |||||||||||||||||||||||
Multifamily |
10,974 | 0.28 | % | 11,183 | 0.29 | % | 5,854 | 0.24 | % | ||||||||||||||||||||||||||
Construction/land development |
|||||||||||||||||||||||||||||||||||
Multifamily construction |
998 | 1.05 | % | 665 | 1.06 | % | 507 | 1.34 | % | ||||||||||||||||||||||||||
CRE construction | 196 | 1.03 | % | 160 | 0.86 | % | 150 | 1.06 | % | ||||||||||||||||||||||||||
Single family construction |
12,418 | 3.51 | % | 9,564 | 2.77 | % | 6,411 | 2.16 | % | ||||||||||||||||||||||||||
Single family construction to perm | 1,171 | 0.74 | % | 1,140 | 0.70 | % | 1,055 | 0.71 | % | ||||||||||||||||||||||||||
Total CRE | 27,859 | 0.53 | % | 24,818 | 0.48 | % | 21,486 | 0.59 | % | ||||||||||||||||||||||||||
Owner occupied CRE | 1,030 | 0.23 | % | 969 | 0.23 | % | 5,006 | 1.10 | % | ||||||||||||||||||||||||||
Commercial business |
3,247 | 0.91 | % | 3,719 | 1.04 | % | 12,273 | 3.39 | % | ||||||||||||||||||||||||||
Total commercial and industrial | 4,277 | 0.54 | % | 4,688 | 0.59 | % | 17,279 | 2.11 | % | ||||||||||||||||||||||||||
Single family |
5,610 | 0.62 | % | 4,464 | 0.56 | % | 4,394 | 0.68 | % | ||||||||||||||||||||||||||
Home equity and other |
3,754 | 1.06 | % | 3,636 | 1.09 | % | 3,964 | 1.31 | % | ||||||||||||||||||||||||||
Total consumer | 9,364 | 0.74 | % | 8,100 | 0.71 | % | 8,358 | 0.88 | % | ||||||||||||||||||||||||||
Total | $ | 41,500 | 0.57 | % | $ | 37,606 | 0.53 | % | $ | 47,123 | 0.88 | % |
Quarter Ended | Year Ended | |||||||||||||||||||||||||||||||||||||||||||
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
December 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||||||||||||
Loan originations | ||||||||||||||||||||||||||||||||||||||||||||
Single family loans |
$ | 51,647 | $ | 110,011 | $ | 172,947 | $ | 238,505 | $ | 360,503 | $ | 573,110 | $ | 1,961,298 | ||||||||||||||||||||||||||||||
Commercial and industrial and CRE loans |
20,864 | 15,332 | 51,584 | 12,312 | 105,163 | 100,092 | 295,366 | |||||||||||||||||||||||||||||||||||||
Loans sold |
||||||||||||||||||||||||||||||||||||||||||||
Single family loans | 51,427 | 131,228 | 187,623 | 323,070 | 377,399 | 693,348 | 2,046,811 | |||||||||||||||||||||||||||||||||||||
Commercial and industrial and CRE loans (1) |
16,228 | 29,965 | 50,292 | 49,137 | 307,430 | 145,622 | 773,378 | |||||||||||||||||||||||||||||||||||||
Net gain on loan origination and sale activities | ||||||||||||||||||||||||||||||||||||||||||||
Single family loans | 1,158 | 1,778 | 3,949 | 6,169 | 10,578 | 13,054 | 66,850 | |||||||||||||||||||||||||||||||||||||
Commercial and industrial and CRE loans (1) |
330 | 869 | 1,343 | 2,105 | 9,501 | 4,647 | 25,468 | |||||||||||||||||||||||||||||||||||||
Total | $ | 1,488 | $ | 2,647 | $ | 5,292 | $ | 8,274 | $ | 20,079 | $ | 17,701 | $ | 92,318 |
Quarter Ended | Year Ended | |||||||||||||||||||||||||||||||||||||||||||
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
December 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||||||||||||
Single family servicing income, net: | ||||||||||||||||||||||||||||||||||||||||||||
Servicing fees and other | $ | 3,928 | $ | 3,986 | $ | 3,952 | $ | 3,871 | $ | 3,870 | $ | 15,737 | $ | 15,658 | ||||||||||||||||||||||||||||||
Changes - amortization (1) |
(1,899) | (2,112) | (2,515) | (3,425) | (4,216) | (9,951) | (19,669) | |||||||||||||||||||||||||||||||||||||
Net | 2,029 | 1,874 | 1,437 | 446 | (346) | 5,786 | (4,011) | |||||||||||||||||||||||||||||||||||||
Risk management, single family MSRs: | ||||||||||||||||||||||||||||||||||||||||||||
Changes in fair value due to assumptions (2) |
124 | 1,989 | 4,323 | 10,303 | 193 | 16,739 | 7,379 | |||||||||||||||||||||||||||||||||||||
Net gain (loss) from derivatives hedging | (309) | (2,981) | (5,317) | (10,183) | (378) | (18,790) | (8,238) | |||||||||||||||||||||||||||||||||||||
Subtotal | (185) | (992) | (994) | 120 | (185) | (2,051) | (859) | |||||||||||||||||||||||||||||||||||||
Single family servicing income (loss) | 1,844 | 882 | 443 | 566 | (531) | 3,735 | (4,870) | |||||||||||||||||||||||||||||||||||||
Commercial loan servicing income: | ||||||||||||||||||||||||||||||||||||||||||||
Servicing fees and other | 2,653 | 3,687 | 5,555 | 4,450 | 5,417 | 16,345 | 19,684 | |||||||||||||||||||||||||||||||||||||
Amortization of capitalized MSRs | (1,815) | (1,828) | (2,337) | (1,712) | (2,346) | (7,692) | (7,581) | |||||||||||||||||||||||||||||||||||||
Total | 838 | 1,859 | 3,218 | 2,738 | 3,071 | 8,653 | 12,103 | |||||||||||||||||||||||||||||||||||||
Total loan servicing income | $ | 2,682 | $ | 2,741 | $ | 3,661 | $ | 3,304 | $ | 2,540 | $ | 12,388 | $ | 7,233 |
Quarter Ended | ||||||||||||||||||||||||||||||||
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||
Single Family MSRs | ||||||||||||||||||||||||||||||||
Beginning balance | $ | 77,811 | $ | 76,481 | $ | 72,378 | $ | 61,584 | $ | 61,206 | ||||||||||||||||||||||
Additions and amortization: | ||||||||||||||||||||||||||||||||
Originations |
581 | 1,453 | 2,295 | 3,916 | 4,401 | |||||||||||||||||||||||||||
Changes - amortization (1) |
(1,899) | (2,112) | (2,515) | (3,425) | (4,216) | |||||||||||||||||||||||||||
Net additions and amortization |
(1,318) | (659) | (220) | 491 | 185 | |||||||||||||||||||||||||||
Change in fair value due to assumptions (2) |
124 | 1,989 | 4,323 | 10,303 | 193 | |||||||||||||||||||||||||||
Ending balance | $ | 76,617 | $ | 77,811 | $ | 76,481 | $ | 72,378 | $ | 61,584 | ||||||||||||||||||||||
Ratio to related loans serviced for others | 1.41 | % | 1.42 | % | 1.38 | % | 1.31 | % | 1.11 | % | ||||||||||||||||||||||
Multifamily and SBA MSRs | ||||||||||||||||||||||||||||||||
Beginning balance | $ | 36,819 | $ | 38,130 | $ | 39,279 | $ | 39,415 | 39,625 | |||||||||||||||||||||||
Originations |
252 | 517 | 1,188 | 1,576 | 2,136 | |||||||||||||||||||||||||||
Amortization |
(1,815) | (1,828) | (2,337) | (1,712) | (2,346) | |||||||||||||||||||||||||||
Ending balance | $ | 35,256 | $ | 36,819 | $ | 38,130 | $ | 39,279 | $ | 39,415 | ||||||||||||||||||||||
Ratio to related loans serviced for others | 1.82 | % | 1.86 | % | 1.91 | % | 1.93 | % | 1.94 | % |
(in thousands) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
|||||||||||||||||||||||||||
Deposits by Product: | ||||||||||||||||||||||||||||||||
Noninterest-bearing demand deposits | $ | 1,399,912 | $ | 1,547,642 | $ | 1,640,651 | $ | 1,654,229 | $ | 1,617,069 | ||||||||||||||||||||||
Interest-bearing: | ||||||||||||||||||||||||||||||||
Interest-bearing demand deposits | 466,490 | 514,912 | 590,889 | 591,148 | 513,810 | |||||||||||||||||||||||||||
Savings | 258,977 | 275,399 | 302,359 | 309,462 | 302,389 | |||||||||||||||||||||||||||
Money market | 2,383,209 | 2,551,961 | 2,679,865 | 2,800,215 | 2,806,313 | |||||||||||||||||||||||||||
Certificates of deposit | 2,943,331 | 1,720,317 | 969,535 | 915,481 | 906,928 | |||||||||||||||||||||||||||
Total interest-bearing deposits | 6,052,007 | 5,062,589 | 4,542,648 | 4,616,306 | 4,529,440 | |||||||||||||||||||||||||||
Total deposits | $ | 7,451,919 | $ | 6,610,231 | $ | 6,183,299 | $ | 6,270,535 | $ | 6,146,509 |
Percent of total deposits: | ||||||||||||||||||||||||||||||||
Noninterest-bearing demand deposits | 18.8 | % | 23.4 | % | 26.5 | % | 26.4 | % | 26.2 | % | ||||||||||||||||||||||
Interest-bearing: | ||||||||||||||||||||||||||||||||
Interest-bearing demand deposits | 6.2 | % | 7.8 | % | 9.6 | % | 9.4 | % | 8.4 | % | ||||||||||||||||||||||
Savings | 3.5 | % | 4.2 | % | 4.9 | % | 4.9 | % | 4.9 | % | ||||||||||||||||||||||
Money market | 32.0 | % | 38.6 | % | 43.3 | % | 44.7 | % | 45.7 | % | ||||||||||||||||||||||
Certificates of deposit | 39.5 | % | 26.0 | % | 15.7 | % | 14.6 | % | 14.8 | % | ||||||||||||||||||||||
Total interest-bearing deposits | 81.2 | % | 76.6 | % | 73.5 | % | 73.6 | % | 73.8 | % | ||||||||||||||||||||||
Total deposits | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % | 100.0 | % |
As of or for the Quarter Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||
(in thousands, except share and per share data) | December 31, 2022 |
September 30, 2022 |
June 30, 2022 |
March 31, 2022 |
December 31, 2021 |
December 31, 2022 |
December 31, 2021 |
||||||||||||||||||||||||||||||||||
Tangible book value per share | |||||||||||||||||||||||||||||||||||||||||
Shareholders' equity |
$ | 562,147 | $ | 552,789 | $ | 580,767 | $ | 601,231 | $ | 715,339 | $ | 562,147 | $ | 715,339 | |||||||||||||||||||||||||||
Less: Goodwill and other intangibles |
(29,980) | (30,215) | (31,219) | (31,464) | (31,709) | (29,980) | (31,709) | ||||||||||||||||||||||||||||||||||
Tangible shareholders' equity | $ | 532,167 | $ | 522,574 | $ | 549,548 | $ | 569,767 | $ | 683,630 | $ | 532,167 | $ | 683,630 | |||||||||||||||||||||||||||
Common shares outstanding | 18,730,380 | 18,717,557 | 18,712,789 | 18,700,536 | 20,085,336 | 18,730,380 | 20,085,336 | ||||||||||||||||||||||||||||||||||
Computed amount | $ | 28.41 | $ | 27.92 | $ | 29.37 | $ | 30.47 | $ | 34.04 | $ | 28.41 | $ | 34.04 | |||||||||||||||||||||||||||
Tangible common equity to tangible assets | |||||||||||||||||||||||||||||||||||||||||
Tangible shareholders' equity (per above) | $ | 532,167 | $ | 522,574 | $ | 549,548 | $ | 569,767 | $ | 683,630 | $ | 532,167 | $ | 683,630 | |||||||||||||||||||||||||||
Tangible assets | |||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 9,364,760 | $ | 9,072,887 | $ | 8,582,886 | $ | 7,510,894 | $ | 7,204,091 | $ | 9,364,760 | $ | 7,204,091 | |||||||||||||||||||||||||||
Less: Goodwill and other intangibles | (29,980) | (30,215) | (31,219) | (31,464) | (31,709) | (29,980) | (31,709) | ||||||||||||||||||||||||||||||||||
Net | $ | 9,334,780 | $ | 9,042,672 | $ | 8,551,667 | $ | 7,479,430 | $ | 7,172,382 | $ | 9,334,780 | $ | 7,172,382 | |||||||||||||||||||||||||||
Ratio | 5.7 | % | 5.8 | % | 6.4 | % | 7.6 | % | 9.5 | % | 5.7 | % | 9.5 | % | |||||||||||||||||||||||||||
Return on average tangible equity (annualized) | |||||||||||||||||||||||||||||||||||||||||
Average shareholders' equity |
$ | 565,950 | $ | 603,278 | $ | 603,664 | $ | 698,598 | $ | 726,014 | $ | 617,469 | $ | 725,802 | |||||||||||||||||||||||||||
Less: Average goodwill and other intangibles |
(30,133) | (30,602) | (31,380) | (31,624) | (31,901) | (30,930) | (32,337) | ||||||||||||||||||||||||||||||||||
Average tangible equity | $ | 535,817 | $ | 572,676 | $ | 572,284 | $ | 666,974 | $ | 694,113 | $ | 586,539 | $ | 693,465 | |||||||||||||||||||||||||||
Net income | $ | 8,501 | $ | 20,367 | $ | 17,721 | $ | 19,951 | $ | 29,432 | $ | 66,540 | $ | 115,422 | |||||||||||||||||||||||||||
Adjustments (tax effected) | |||||||||||||||||||||||||||||||||||||||||
Amortization of core deposit intangibles | 183 | 186 | 191 | 191 | 229 | 751 | 923 | ||||||||||||||||||||||||||||||||||
Tangible income applicable to shareholders | $ | 8,684 | $ | 20,553 | $ | 17,912 | $ | 20,142 | $ | 29,661 | $ | 67,291 | $ | 116,345 | |||||||||||||||||||||||||||
Ratio |
6.4 | % | 14.2 | % | 12.6 | % | 12.2 | % | 17.0 | % | 11.5 | % | 16.8 | % | |||||||||||||||||||||||||||
Efficiency ratio | |||||||||||||||||||||||||||||||||||||||||
Noninterest expense |
|||||||||||||||||||||||||||||||||||||||||
Total |
$ | 50,420 | $ | 49,889 | $ | 50,637 | $ | 54,473 | $ | 53,971 | $ | 205,419 | $ | 215,343 | |||||||||||||||||||||||||||
Adjustments: |
|||||||||||||||||||||||||||||||||||||||||
Legal fees recovery | — | — | — | — | — | — | 1,900 | ||||||||||||||||||||||||||||||||||
State of Washington taxes | (597) | (629) | (579) | (506) | (664) | (2,311) | (2,423) | ||||||||||||||||||||||||||||||||||
Adjusted total | $ | 49,823 | $ | 49,260 | $ | 50,058 | $ | 53,967 | $ | 53,307 | $ | 203,108 | $ | 214,820 | |||||||||||||||||||||||||||
Total revenues |
|||||||||||||||||||||||||||||||||||||||||
Net interest income |
$ | 55,687 | $ | 63,018 | $ | 60,056 | $ | 54,546 | $ | 57,084 | 233,307 | 227,057 | |||||||||||||||||||||||||||||
Noninterest income |
9,677 | 13,322 | 13,013 | 15,558 | 28,620 | 51,570 | 119,975 | ||||||||||||||||||||||||||||||||||
Gain on sale of branches | — | (4,270) | — | — | — | (4,270) | — | ||||||||||||||||||||||||||||||||||
Adjusted total | $ | 65,364 | $ | 72,070 | $ | 73,069 | $ | 70,104 | $ | 85,704 | $ | 280,607 | $ | 347,032 | |||||||||||||||||||||||||||
Ratio | 76.2 | % | 68.4 | % | 68.5 | % | 77.0 | % | 62.2 | % | 72.4 | % | 61.9 | % | |||||||||||||||||||||||||||
Effective tax rate used in computations above | 22.0 | % | 22.0 | % | 22.0 | % | 22.0 | % | 22.0 | % | 22.0 | % | 21.3 | % |
Fully diluted EPS $0.45
|
ROAE: 6.0%
ROATE: 6.4%
|
ROAA: 0.36% |
Fully diluted EPS $3.49
|
ROAE: 10.8%
ROATE: 11.5%
|
ROAA: 0.79% |
Fourth Quarter Operating Results |
Fourth quarter 2022 compared to third quarter 2022
•Net income: $8.5 million compared to $20.4 million
•Earnings per fully diluted share: $0.45 compared to $1.08
•Net interest margin: 2.53% compared to 3.00%
•Return on Average Equity ("ROAE"): 6.0% compared to 13.4%
•Return on Average Tangible Equity ("ROATE"): 6.4% compared to 14.2%
•Return on Average Assets ("ROAA"): 0.36% compared to 0.91%
•Efficiency ratio: 76.2% compared to 68.4%
|
Full Year Operating Results
|
2022 compared to 2021
•Net income: $66.5 million compared to $115.4 million
•Earnings per fully diluted share: $3.49 compared to $5.46
•Net interest margin: 2.99% compared to 3.38%
•ROAE: 10.8% compared to 15.9%
•ROATE: 11.5% compared to 16.8%
•ROAA: 0.79% compared to 1.58%
•Efficiency ratio: 72.4% compared to 61.9%
|
||||
Financial Position |
Fourth quarter 2022 compared to third quarter 2022
•Loan portfolio originations: $612 million compared to $914 million
•Loans held for investment increased by $209 million in the fourth quarter
•Total deposits increased by $842 million or 13%
•Period ending cost of deposits: 1.61% compared to 0.71%
•Tangible book value per share: $28.41 compared to $27.92
|
|||||||
2022 Activity
•Loan portfolio originations: $3.6 billion
•Loans held for investment increased by $1.9 billion in 2022
•Total deposits increased $1.3 billion or 21.2%
|
Other |
•Declared and paid a cash dividend of $0.35 per share in the fourth quarter
•Purchase of deposits and three retail branches in southern California is scheduled to close in the first quarter of 2023
|
Contact: | Executive Vice President and Chief Financial Officer | |||||||
HomeStreet, Inc. | ||||||||
John Michel (206) 515-2291 | ||||||||
john.michel@homestreet.com | ||||||||
http://ir.homestreet.com |
As of or for the Quarter Ended | Year Ended | ||||||||||||||||||||||
(in thousands, except share and per share data) | December 31, 2022 |
September 30, 2022 |
December 31, 2022 |
December 31, 2021 |
|||||||||||||||||||
Tangible book value per share | |||||||||||||||||||||||
Shareholders' equity | $ | 562,147 | $ | 552,789 | $ | 562,147 | $ | 715,339 | |||||||||||||||
Less: Goodwill and other intangibles | (29,980) | (30,215) | (29,980) | (31,709) | |||||||||||||||||||
Tangible shareholders' equity | $ | 532,167 | $ | 522,574 | $ | 532,167 | $ | 683,630 | |||||||||||||||
Common shares outstanding | 18,730,380 | 18,717,557 | 18,730,380 | 20,085,336 | |||||||||||||||||||
Computed amount | $ | 28.41 | $ | 27.92 | $ | 28.41 | $ | 34.04 | |||||||||||||||
Return on average tangible equity (annualized) | |||||||||||||||||||||||
Average shareholders' equity | $ | 565,950 | $ | 603,278 | $ | 617,469 | $ | 725,802 | |||||||||||||||
Less: Average goodwill and other intangibles | (30,133) | (30,602) | (30,930) | (32,337) | |||||||||||||||||||
Average tangible equity | $ | 535,817 | $ | 572,676 | $ | 586,539 | $ | 693,465 | |||||||||||||||
Net income | $ | 8,501 | $ | 20,367 | $ | 66,540 | $ | 115,422 | |||||||||||||||
Adjustments (tax effected) | |||||||||||||||||||||||
Amortization on core deposit intangibles | 183 | 186 | 751 | 923 | |||||||||||||||||||
Tangible income applicable to shareholders | $ | 8,684 | $ | 20,553 | $ | 67,291 | $ | 116,345 | |||||||||||||||
Ratio | 6.4 | % | 14.2 | % | 11.5 | % | 16.8 | % | |||||||||||||||
Efficiency ratio | |||||||||||||||||||||||
Noninterest expense |
|||||||||||||||||||||||
Total | $ | 50,420 | $ | 49,889 | $ | 205,419 | $ | 215,343 | |||||||||||||||
Adjustments: | |||||||||||||||||||||||
Legal fees recovery | — | — | — | 1,900 | |||||||||||||||||||
State of Washington taxes | (597) | (629) | (2,311) | (2,423) | |||||||||||||||||||
Adjusted total | $ | 49,823 | $ | 49,260 | $ | 203,108 | $ | 214,820 | |||||||||||||||
Total revenues | |||||||||||||||||||||||
Net interest income | $ | 55,687 | $ | 63,018 | $ | 233,307 | $ | 227,057 | |||||||||||||||
Noninterest income | 9,677 | 13,322 | 51,570 | 119,975 | |||||||||||||||||||
Gain on sale of branches | — | (4,270) | (4,270) | — | |||||||||||||||||||
Adjusted total | $ | 65,364 | $ | 72,070 | $ | 280,607 | $ | 347,032 | |||||||||||||||
Ratio | 76.2 | % | 68.4 | % | 72.4 | % | 61.9 | % | |||||||||||||||