First Quarter 2023
Highlights
- CET1 ratio increased 5 basis points to 9.96% and tangible
equity ratio increased 25 basis points to 7.03% from the prior
quarter
- Delinquencies decreased $7.2 million or 39% to 0.16% of loans
from the prior quarter
- Loan growth of $115.2 million (up 7.1% annualized) including
$69.2 million for commercial loans excluding PPP (up 6.5%
annualized)
- Declared dividend of $0.31 per share, up 3.3% from prior year
comparable period
Premier Financial Corp. (Nasdaq: PFC) (“Premier” or the
“Company”) announced today 2023 first quarter results including net
income of $18.1 million or $0.51 per diluted common share, compared
to $25.3 million, or $0.71 per diluted common share, for the fourth
quarter of 2022. First quarter 2023 results include the impact of
the following items: i) equity investment losses of $1.4 million
pre-tax or $0.03 per diluted share after-tax; ii) a negative
mortgage pipeline hedge adjustment of $1.5 million pre-tax or $0.03
per diluted share after-tax; iii) a commercial loan charge-off
related to an annual appraisal update of $1.5 million pre-tax or
$0.03 per diluted share after-tax; and iv) timing-related expenses,
including payroll taxes and benefits on annual incentive payouts,
of $1.5 million pre-tax or $0.03 per diluted share after-tax.
Excluding the impact of these items, first quarter 2023 earnings
would be $0.63 per diluted share. Separately, expense savings
planned for the remainder of the year represent an estimated $3.0
million pre-tax per quarter. Additionally, the Company estimates
that each 25 basis point change in the Federal Funds rate could
impact net interest income by approximately $1.5 million on a
pre-tax annualized basis based on the Company’s balance sheet as of
March 31, 2023.
“Over the course of the first quarter, the organization was
fully engaged in deposit retention and expansion efforts with our
consumer, wealth, commercial, and public funds clients,” said Gary
Small, President and CEO of Premier. “The industry is operating in
a very dynamic rate environment and we feel the impact of
increasing deposit costs and margin compression when combining the
Fed’s first quarter rate increases with the full quarter impact of
the fourth quarter 2022 increases. Pricing and promotional
adjustments over the course of the quarter resulted in a leveling
off of funding costs in February and March. The well-documented
industry challenges faced in March prompted additional outreach and
conversation with our clients. Topics ranged from deposit insurance
to safety and soundness, liquidity, and capital. The Premier team
did an excellent job of sharing our organization’s strengths in
these areas and by providing solutions as needed. I want to thank
our clients for their confidence in the organization. March saw a
slight increase in customer deposits for Premier, demonstrating the
effective effort by our team of banking professionals. As outlined
above, the reported earnings figure reflected a number of issues
unique to the quarter. The impact was such that we felt it prudent
to provide a bridge to a more normalized quarterly expectation for
2023. We have included the impact of cost reduction initiatives and
the expected effect on ongoing performance. The leadership team is
committed to taking appropriate steps to help offset margin
challenges, while continuing to execute on strategic initiatives
important to the long-term health of the organization.”
Quarterly results
Capital, deposits and liquidity
Capital and ratios continued to improve during the first quarter
of 2023. Total equity increased $26.7 million, or 3%, including a
$19.8 million improvement in accumulated other comprehensive income
(“AOCI”) primarily due to a positive valuation adjustment on the
available-for-sale (“AFS”) securities portfolio. Tangible equity
increased $28.0 million, or 5%, and the tangible equity ratio
increased 25 basis points to 7.03%, or 8.90% excluding AOCI.
Regulatory ratios also improved during the first quarter of 2023
including CET1 of 9.96%, Tier 1 of 10.43% and Total Capital of
12.18%, each up 4-5 basis points. All of these ratios also exceed
well-capitalized guidelines pro forma for AOCI, including CET1 of
7.88%, Tier 1 of 8.35% and Total Capital of 10.11%.
Total deposits declined 2% or $132.7 million during the first
quarter of 2023, due to a $219.8 million decline in non-interest
bearing deposits offset partly by increases of $75.9 million of
interest-bearing customer deposits and $11.2 million of brokered
deposits. The net decrease in non-brokered deposits occurred prior
to the recent industry turmoil as total customer deposits increased
by $14.2 million during the month of March. The full quarter
decline in total and non-interest bearing deposits was primarily
related to $107 million of funds used by commercial clients for
non-recurring business dispositions and acquisitions, as well as a
utilization of funds drawn on commercial lines of credit prior to
year-end and then repaid in early 2023. Separately, $67 million of
the decrease in non-interest-bearing deposits was due to transfers
into IntraFi Cash Service (“ICS”) and other interest-bearing
deposits or invested via wealth management with the Company.
Average interest-bearing deposit costs increased 62 basis points
to 1.69% for the first quarter of 2023. This increase was primarily
due to Public/ICS/CDARS as customers sought additional deposit
insurance protection, money market accounts as a result of recent
Company promotions and re-pricing, and time deposits as customers
migrated to obtain yield compared to savings and checking accounts.
However, the pace of increase slowed during the quarter as a result
of actions taken by the Company, such that average interest-bearing
deposit costs only increased two basis points to 1.79% during the
month of March (from 1.77% in February), representing a cumulative
beta of 35% compared to the change in the monthly average effective
Federal Funds rate that increased 457 basis points to 4.65% since
December 2021, as reported by the Federal Reserve Economic
Data.
Uninsured deposits at March 31, 2023 were 32.3% of total
deposits, or 19.6% adjusting for collateralized deposits, other
uninsured deposits and internal company accounts. Total
quantifiable liquidity sources totaled $2.45 billion, or 183.2% of
adjusted uninsured deposits, and were comprised of the following at
March 31, 2023:
- $157.0 million of cash and cash equivalents with a 4.90%
Federal Reserve rate;
- $211.5 million of unpledged securities with an average yield of
2.97%;
- $1.36 billion of FHLB borrowing capacity with an overnight
borrowing rate of 4.86%;
- $524.9 million of brokered deposits based on a Company policy
limit of 10% of deposits, with market pricing dependent on brokers
and duration;
- $70.0 million of unused lines of credit with an average
borrowing rate of 5.80%; and
- $129.9 million of borrowing capacity at the Federal Reserve
with an average rate of 4.89%.
Additional liquidity sources include deposit growth, cash
earnings in excess of dividends, loan
repayments/participations/sales, and securities cash flows, which
are estimated to be $73.2 million over the next 12 months. Further,
the Company is in the process of establishing eligibility for the
Federal Reserve Borrower-In-Custody Collateral Program, which is
estimated to increase borrowing capacity by at least $300
million.
Net interest income and margin
Net interest income of $56.4 million on a tax equivalent (“TE”)
basis in the first quarter of 2023 was down 10% from $62.8 million
in the fourth quarter of 2022 and 3% from $58.1 million in the
first quarter of 2022. The TE net interest margin of 2.90% in the
first quarter of 2023 decreased 38 basis points from 3.28% in the
fourth quarter of 2022 and 54 basis points from 3.44% in the first
quarter of 2022. Results for all periods include the impact of PPP
as well as acquisition marks and related accretion. First quarter
2023 includes $166 thousand of accretion in interest income, $221
thousand of accretion in interest expense, and $6 thousand of
interest income on average balances of $965 thousand for PPP.
Excluding the impact of acquisition marks accretion and PPP
loans, core net interest income was $56.0 million, down 10% from
$62.2 million in the fourth quarter of 2022 but up 4% from $53.7
million in the first quarter of 2022. Additionally, the core net
interest margin was 2.88% for the first quarter of 2023, down 37
basis points from 3.25% for the fourth quarter of 2022 and 32 basis
points from 3.20% for the first quarter of 2022. These results are
positively impacted by the combination of loan growth and higher
loan yields, which were 4.66% for the first quarter of 2023
compared to 4.54% in the fourth quarter of 2022 and 4.11% in the
first quarter of 2022. Excluding the impact of PPP, the balance
sheet hedge and acquisition marks accretion, loan yields were 4.89%
in March 2023 for an increase of 117 basis points since December
2021, which represents a cumulative beta of 25% compared to the
change in the monthly average effective Federal Funds rate for the
same period.
The cost of funds in the first quarter of 2023 was 1.51%, up 51
basis points from the fourth quarter of 2022 and up 133 basis
points from the first quarter of 2022. The year-over-year increase
is largely due to utilization of higher cost FHLB borrowings in
support of loan growth in excess of deposit growth during 2022. The
linked quarter increase is due to higher rates on FHLB borrowings
and higher average deposit costs discussed above.
“Loan balances increased 1.8% for the quarter primarily driven
by funding on construction commitments made in prior periods,”
Small added. “Loan growth is expected to be modest over the course
of the year in light of economic uncertainties and our focus on
shoring up funding costs during the year.”
Non-interest income
Total non-interest income in the first quarter of 2023 of $12.5
million was down 12% from $14.2 million in the fourth quarter of
2022 and 26% from $16.9 million in the first quarter of 2022,
primarily due to fluctuations in mortgage banking and gains/losses
on securities. Mortgage banking income was essentially flat on a
linked quarter basis but decreased $4.5 million year-over-year as a
result of a $3.4 million decrease in gains primarily from a
decrease in hedge valuations and a $0.1 million MSR valuation loss
in the first quarter of 2023 compared to a $1.2 million gain in the
first quarter of 2022. While mortgage pipeline hedges effectively
net out over the life of the loans, individual periods can be
volatile as market rates and prices change. Valuations generally
decrease during periods when rates decrease and/or prices increase
as experienced in the first quarter of 2023. However, the
valuations will generally increase over the remaining term of the
related loans such that no material net impact is expected over the
life of the loans.
Security losses were $1.4 million in the first quarter of 2023,
primarily due to decreased valuations on equity securities. This
compares to a gain of $1.2 million in the fourth quarter of 2022
from $1.3 million of gains on the sale of $8.7 million of equity
securities, partially offset by $0.1 million of decreased
valuations on remaining equity securities, and to $0.6 million of
losses from decreased valuations on equity securities in the first
quarter of 2022. The company also sold $16 million of AFS
securities for a $34 thousand gain with average yields less than
FHLB borrowing rates during the first quarter of 2023. Service fees
in the first quarter of 2023 were $6.4 million, a 3% decrease from
$6.6 million in the fourth quarter of 2022 but a 7% increase from
$6.0 million in the first quarter of 2022, primarily due to
fluctuations in consumer activity for interchange and ATM/NSF
charges. Insurance revenues included $0.9 million in contingent
commissions in the first quarter of 2023, compared to $1.1 million
in the first quarter of 2022. BOLI income of $1.4 million in the
first quarter of 2023 increased from $1.0 million in the fourth and
first quarters of 2022 due to $0.4 million of claim gains in 2023
compared to none in the 2022 periods.
“A good start to the year on consumer fees, wealth management
income and insurance,” Small added. “Mortgage origination activity
in the first quarter performed at a lighter pace than previous
periods, consistent with the industry.”
Non-interest expenses
Non-interest expenses in the first quarter of 2023 were $42.8
million, a 1% decrease from $43.0 million in the fourth quarter of
2022 and a 4% increase from $41.3 million in the first quarter of
2022. Compensation and benefits were $25.7 million in the first
quarter of 2023, compared to $25.0 million in the fourth quarter of
2022 and $25.5 million in the first quarter of 2022. The linked
quarter increase was primarily due to higher base compensation,
including 2023 annual adjustments. The year-over-year increase was
primarily due to costs related to higher staffing levels for our
2022 growth initiatives and higher base compensation, including
2022 mid-year adjustments. Other expenses decreased $1.1 million on
a linked quarter basis due to cost saving initiatives, and all
other non-interest expenses increased a net $0.2 million on a
linked quarter basis. Data processing and FDIC premiums increased
$0.5 million and $0.7 million on a year-over-year basis,
respectively, due to our 2022 growth initiatives, and all other
non-interest expenses increased a net $0.3 million on a
year-over-year basis. The efficiency ratio for the first quarter of
2023 of 60.9% worsened from 56.76% in the fourth quarter of 2022
and from 54.60% in the first quarter of 2022, primarily due to
lower revenues.
“Approximately $2 million of expenses in the first quarter were
either non-recurring or timing related, such that our efficiency
ratio would have been approximately 58% excluding those,” said Paul
Nungester, CFO of Premier. “In response to the net interest margin
challenges being faced, we have identified cost savings totaling
approximately $9 million to be realized during the remainder of the
year such that total expenses this year are now estimated to be
$163 million, compared to our prior estimate of $170 million.”
Credit quality
Non-performing assets totaled $34.8 million, or 0.41% of assets,
at March 31, 2023, an increase from $34.4 million at December 31,
2022, but a decrease from $47.6 million at March 31, 2022. Loan
delinquencies decreased to $11.1 million, or 0.16% of loans, at
March 31, 2023, from $18.3 million at December 31, 2022, but
increased from $7.6 million at March 31, 2022. Classified loans
totaled $44.9 million, or 0.63% of loans, as of March 31, 2023, an
increase from $43.8 million at December 31, 2022, but a decrease
from $60.3 million at March 31, 2022.
The 2023 first quarter results include net loan charge-offs of
$2.5 million and a total provision expense of $3.7 million,
compared with net loan recoveries of $0.1 million and a total
provision expense of $0.9 million for the same period in 2022. The
current quarter charge-offs are primarily due to an annual
appraisal update for a commercial relationship that will not recur
during the remainder of 2023. The allowance for credit losses as a
percentage of total loans was 1.13% at March 31, 2023, compared
with 1.13% at December 31, 2022, and 1.25% at March 31, 2022. The
allowance for credit losses as a percentage of total loans
excluding PPP and including unaccreted acquisition marks was 1.16%
at March 31, 2023, compared with 1.17% at December 31, 2022, and
1.34% at March 31, 2022. The continued economic improvement
following the 2020 pandemic-related downturn has resulted in a
year-over-year decrease in the allowance percentages.
Total assets at $8.56 billion
Total assets at March 31, 2023, were $8.56
billion, compared to $8.46 billion at December 31, 2022, and $7.59
billion at March 31, 2022. Gross loans receivable were $6.58
billion at March 31, 2023, compared to $6.46 billion at December
31, 2022, and $5.39 billion at March 31, 2022. At March 31, 2023,
gross loans receivable increased $115.2 million on a linked quarter
basis, or 7% annualized. Commercial loans excluding PPP increased
by $69.2 million from December 31, 2022, or 6.5% annualized.
Securities at March 31, 2023, were $1.00 billion, compared to $1.05
billion at December 31, 2022, and $1.23 billion at March 31, 2022.
All securities are either AFS or trading and are reflected at fair
value on the balance sheet. Also, at March 31, 2023, goodwill and
other intangible assets totaled $335.8 million compared to $337.1
million at December 31, 2022, and $340.6 million at March 31, 2022,
with the decreases attributable to intangibles amortization.
Total non-brokered deposits at March 31, 2023,
were $6.62 billion, compared with $6.76 billion at December 31,
2022, and $6.32 billion at March 31, 2022. At March 31, 2023,
customer deposits increased $301.9 million on a year-over-year
basis, or 5%. Brokered deposits were $154.9 million at March 31,
2023, compared to $143.7 million at December 31, 2022 and none at
March 31, 2022.
Total stockholders’ equity was $914.5 million
at March 31, 2023, compared to $887.7 million at December 31, 2022,
and $943.3 million at March 31, 2022. The quarterly increase in
stockholders’ equity was primarily due to net earnings after
dividends and an increase in AOCI, which was primarily related to
$14.5 million for a positive valuation adjustment on the AFS
securities portfolio. The year-over-year decrease was primarily due
to a decrease in AOCI, which was primarily related to $65.1 million
of negative valuation adjustments on the AFS securities portfolio.
At March 31, 2023, 1,199,634 common shares remained available for
repurchase under the Company’s existing repurchase program.
Dividend to be paid May 12
The Board of Directors declared a quarterly cash dividend of
$0.31 per common share payable May 12, 2023, to shareholders of
record at the close of business on May 5, 2023. The dividend
represents an annual dividend of 6.6 percent based on the Premier
common stock closing price on April 24, 2023. Premier has
approximately 35,706,000 common shares outstanding.
Conference call
Premier will host a conference call at 11:00 a.m. ET on
Wednesday, April 26, 2023, to discuss the earnings results and
business trends. The conference call may be accessed by calling
1-833-470-1428 and using access code 019302. Internet access to the
call is also available (in listen-only mode) at the following URL:
https://events.q4inc.com/attendee/343832535. The webcast replay of
the conference call will be available at www.PremierFinCorp.com for
one year.
About Premier Financial Corp.
Premier Financial Corp. (Nasdaq: PFC), headquartered in
Defiance, Ohio, is the holding company for Premier Bank and First
Insurance Group. Premier Bank, headquartered in Youngstown, Ohio,
operates 75 branches and 10 loan offices in Ohio, Michigan,
Indiana, Pennsylvania and West Virginia (West Virginia office
operates as Home Savings Bank) and serves clients through a team of
wealth professionals dedicated to each community banking branch.
First Insurance Group is a full-service insurance agency with ten
offices in Ohio. For more information, visit the company’s website
at PremierFinCorp.com.
Financial Statements and Highlights Follow
Safe Harbor Statement
This document may contain certain forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, and the Private Securities Litigation Reform Act of 1995.
These statements may include, but are not limited to, statements
regarding projections, forecasts, goals and plans of Premier
Financial Corp. and its management, future movements of interests,
loan or deposit production levels, future credit quality ratios,
future strength in the market area, and growth projections. These
statements do not describe historical or current facts and may be
identified by words such as “intend,” “intent,” “believe,”
“expect,” “estimate,” “target,” “plan,” “anticipate,” or similar
words or phrases, or future or conditional verbs such as “will,”
“would,” “should,” “could,” “might,” “may,” “can,” or similar
verbs. There can be no assurances that the forward-looking
statements included in this presentation will prove to be accurate.
In light of the significant uncertainties in the forward-looking
statements, the inclusion of such information should not be
regarded as a representation by Premier or any other persons, that
our objectives and plans will be achieved. Forward-looking
statements involve numerous risks and uncertainties, any one or
more of which could affect Premier’s business and financial results
in future periods and could cause actual results to differ
materially from plans and projections. These risks and
uncertainties include, but not limited to: financial markets, our
customers, and our business and results of operation; changes in
interest rates; disruptions in the mortgage market; risks and
uncertainties inherent in general and local banking, insurance and
mortgage conditions; political uncertainty; uncertainty in U.S.
fiscal or monetary policy; uncertainty concerning or disruptions
relating to tensions surrounding the current socioeconomic
landscape; competitive factors specific to markets in which Premier
and its subsidiaries operate; increasing competition for financial
products from other financial institutions and nonbank financial
technology companies; future interest rate levels; legislative or
regulatory rulemaking or actions; capital market conditions;
security breaches or unauthorized disclosure of confidential
customer or Company information; interruptions in the effective
operation of information and transaction processing systems of
Premier or Premier’s vendors and service providers; failures or
delays in integrating or adopting new technology; the impact of the
cessation of LIBOR interest rates and implementation of a
replacement rate; and other risks and uncertainties detailed from
time to time in our Securities and Exchange Commission (SEC)
filings, including our Annual Report on Form 10-K for the year
ended December 31, 2022 and any further amendments thereto. All
forward-looking statements made in this presentation are based on
information presently available to the management of Premier and
speak only as of the date on which they are made. We assume no
obligation to update any forward-looking statements, whether as a
result of new information, future developments or otherwise, except
as may be required by law. As required by U.S. GAAP, Premier will
evaluate the impact of subsequent events through the issuance date
of its March 31, 2023, consolidated financial statements as part of
its Quarterly Report on Form 10-Q to be filed with the SEC.
Accordingly, subsequent events could occur that may cause Premier
to update its critical accounting estimates and to revise its
financial information from that which is contained in this news
release.
Non-GAAP Reporting Measures
We believe that net income, as defined by U.S. GAAP, is the most
appropriate earnings measurement. However, we consider core net
interest income to be a useful supplemental measure of our
operating performance. We define core net interest income as net
interest income on a tax-equivalent basis excluding income from PPP
loans and purchase accounting marks accretion. We believe that this
metric is a useful supplemental measure of operating performance
because investors and equity analysts may use this measure to
compare the operating performance of the Company between periods or
as compared to other financial institutions or other companies on a
consistent basis without having to account for income from PPP
loans and purchase accounting marks accretion. Our supplemental
reporting measures and similarly entitled financial measures are
widely used by investors, equity and debt analysts and ratings
agencies in the valuation, comparison, rating and investment
recommendations of companies. Our management uses these financial
measures to facilitate internal and external comparisons to
historical operating results and in making operating decisions.
Additionally, they are utilized by the Board of Directors to
evaluate management. The supplemental reporting measures do not
represent net income or cash flow provided from operating
activities as determined in accordance with U.S. GAAP and should
not be considered as alternative measures of profitability or
liquidity. Finally, the supplemental reporting measures, as defined
by us, may not be comparable to similarly entitled items reported
by other financial institutions or other companies. Please see the
exhibits for reconciliations of our supplemental reporting
measures.
Consolidated Balance Sheets (Unaudited) Premier Financial
Corp.
March 31,
December 31,
September 30,
June 30,
March 31,
(in thousands)
2023
2022
2022
2022
2022
Assets Cash and cash equivalents Cash and amounts due
from depositories
$
68,628
$
88,257
$
67,124
$
62,080
$
62,083
Interest-bearing deposits
88,399
39,903
37,868
72,314
91,683
157,027
128,160
104,992
134,394
153,766
Available-for-sale, carried at fair value
998,128
1,040,081
1,063,713
1,140,466
1,219,365
Equity securities, carried at fair value
6,387
7,832
15,336
13,293
13,454
Securities investments
1,004,515
1,047,913
1,079,049
1,153,759
1,232,819
Loans (1)
6,575,829
6,460,620
6,207,708
5,890,823
5,388,331
Allowance for credit losses - loans
(74,273
)
(72,816
)
(70,626
)
(67,074
)
(67,195
)
Loans, net
6,501,556
6,387,804
6,137,082
5,823,749
5,321,136
Loans held for sale
119,604
115,251
129,142
145,092
153,498
Mortgage servicing rights
20,654
21,171
20,832
20,693
20,715
Accrued interest receivable
29,388
28,709
26,021
22,533
21,765
Federal Home Loan Bank stock
37,056
29,185
28,262
23,991
15,332
Bank Owned Life Insurance
170,841
170,713
169,728
168,746
167,763
Office properties and equipment
55,982
55,541
53,747
54,060
54,684
Real estate and other assets held for sale
393
619
416
462
253
Goodwill
317,988
317,988
317,948
317,948
317,948
Core deposit and other intangibles
17,804
19,074
19,972
21,311
22,691
Other assets
129,508
133,214
148,949
123,886
108,510
Total Assets
$
8,562,316
$
8,455,342
$
8,236,140
$
8,010,624
$
7,590,880
Liabilities and Stockholders’ Equity
Non-interest-bearing deposits
$
1,649,726
$
1,869,509
$
1,826,511
$
1,786,516
$
1,733,157
Interest-bearing deposits
4,969,436
4,893,502
4,836,113
4,729,828
4,584,078
Brokered deposits
154,869
143,708
69,881
-
-
Total deposits
6,774,031
6,906,719
6,732,505
6,516,344
6,317,235
Advances from FHLB
658,000
428,000
411,000
380,000
150,000
Subordinated debentures
85,123
85,103
85,071
85,039
85,008
Advance payments by borrowers
26,300
34,188
33,511
40,344
20,332
Reserve for credit losses - unfunded commitments
6,577
6,816
7,061
6,755
5,340
Other liabilities
97,835
106,795
102,032
80,995
69,669
Total Liabilities
7,647,866
7,567,621
7,371,180
7,109,477
6,647,584
Stockholders’ Equity Preferred stock
-
-
-
-
-
Common stock, net
306
306
306
306
306
Additional paid-in-capital
689,807
691,453
691,578
690,905
691,350
Accumulated other comprehensive income (loss)
(153,709
)
(173,460
)
(181,231
)
(126,754
)
(75,497
)
Retained earnings
510,021
502,909
488,305
470,779
459,087
Treasury stock, at cost
(131,975
)
(133,487
)
(133,998
)
(134,089
)
(131,950
)
Total Stockholders’ Equity
914,450
887,721
864,960
901,147
943,296
Total Liabilities and Stockholders’ Equity
$
8,562,316
$
8,455,342
$
8,236,140
$
8,010,624
$
7,590,880
(1) Includes PPP loans of:
$
791
$
1,143
$
1,181
$
4,561
$
18,660
Consolidated Statements of Income (Unaudited) Premier
Financial Corp. Three Months Ended Three Months
Ended (in thousands, except per share amounts)
3/31/23
12/31/22 9/30/22 6/30/22 3/31/22
3/31/23 3/31/22 Interest
Income: Loans
$
76,057
$
72,194
$
65,559
$
56,567
$
55,241
$
76,057
$
55,241
Investment securities
7,261
7,605
6,814
6,197
5,479
7,261
5,479
Interest-bearing deposits
444
444
221
120
46
444
46
FHLB stock dividends
394
482
510
174
59
394
59
Total interest income
84,156
80,725
73,104
63,058
60,825
84,156
60,825
Interest Expense: Deposits
21,458
13,161
6,855
2,671
2,222
21,458
2,222
FHLB advances
5,336
3,941
2,069
527
13
5,336
13
Subordinated debentures
1,075
1,000
868
763
696
1,075
696
Notes Payable
-
4
-
1
-
-
-
Total interest expense
27,869
18,106
9,792
3,962
2,931
27,869
2,931
Net interest income
56,287
62,619
63,312
59,096
57,894
56,287
57,894
Provision (benefit) for credit losses - loans
3,944
3,020
3,706
5,151
626
3,944
626
Provision (benefit) for credit losses - unfundedcommitments
(238
)
(246
)
306
1,415
309
(238
)
309
Total provision (benefit) for credit losses
3,706
2,774
4,012
6,566
935
3,706
935
Net interest income after provision
52,581
59,845
59,300
52,530
56,959
52,581
56,959
Non-interest Income: Service fees and other charges
6,428
6,632
6,545
6,676
6,000
6,428
6,000
Mortgage banking income
(274
)
(299
)
3,970
1,948
4,252
(274
)
4,252
Gain (loss) on sale of available for sale securities
34
1
-
-
-
34
-
Gain (loss) on equity securities
(1,445
)
1,209
43
(1,161
)
(643
)
(1,445
)
(643
)
Insurance commissions
4,725
3,576
3,488
4,334
4,639
4,725
4,639
Wealth management income
1,485
1,582
1,355
1,414
1,477
1,485
1,477
Income from Bank Owned Life Insurance
1,417
984
983
983
996
1,417
996
Other non-interest income
92
543
320
171
142
92
142
Total Non-interest Income
12,462
14,228
16,704
14,365
16,863
12,462
16,863
Non-interest Expense: Compensation and benefits
25,658
24,999
24,522
22,334
25,541
25,658
25,541
Occupancy
3,574
3,383
3,463
3,494
3,700
3,574
3,700
FDIC insurance premium
1,288
1,276
976
802
593
1,288
593
Financial institutions tax
852
795
1,050
1,074
1,191
852
1,191
Data processing
3,863
3,882
3,121
3,442
3,335
3,863
3,335
Amortization of intangibles
1,270
1,293
1,338
1,380
1,438
1,270
1,438
Other non-interest expense
6,286
7,400
6,629
6,563
5,497
6,286
5,497
Total Non-interest Expense
42,791
43,028
41,099
39,089
41,295
42,791
41,295
Income before income taxes
22,252
31,045
34,905
27,806
32,527
22,252
32,527
Income tax expense
4,103
5,770
6,710
5,446
6,170
4,103
6,170
Net Income
$
18,149
$
25,275
$
28,195
$
22,360
$
26,357
$
18,149
$
26,357
Earnings per common share: Basic
$
0.51
$
0.71
$
0.79
$
0.63
$
0.73
$
0.51
$
0.73
Diluted
$
0.51
$
0.71
$
0.79
$
0.63
$
0.73
$
0.51
$
0.73
Average Shares Outstanding: Basic
35,606
35,589
35,582
35,560
35,978
35,606
35,978
Diluted
35,719
35,790
35,704
35,682
36,090
35,719
36,090
Premier Financial Corp. Selected Quarterly
Information As of and for the Three Months Ended
Three Months Ended (dollars in thousands,except per share
data)
3/31/23 12/31/22 9/30/22 6/30/22 3/31/22
3/31/23 3/31/22
Summary of Operations Tax-equivalent
interest income (1)
$
84,260
$
80,889
$
73,301
$
63,283
$
61,054
$
84,260
$
61,054
Interest expense
27,869
18,106
9,792
3,962
2,931
27,869
2,931
Tax-equivalent net interest income (1)
56,391
62,783
63,509
59,321
58,123
56,391
58,123
Provision expense (benefit) for credit losses
3,706
2,774
4,012
6,566
935
3,706
935
Investment securities gains (losses)
(1,411
)
1,210
43
(1,161
)
(643
)
(1,411
)
(643
)
Non-interest income (ex securities gains/losses)
13,873
13,018
16,661
15,526
17,506
13,873
17,506
Non-interest expense
42,791
43,028
41,099
39,089
41,295
42,791
41,295
Income tax expense
4,103
5,770
6,710
5,446
6,170
4,103
6,170
Net income
18,149
25,275
28,195
22,360
26,357
18,149
26,357
Tax equivalent adjustment (1)
104
164
197
225
229
104
229
At Period End Total assets
$
8,562,316
$
8,455,342
$
8,236,140
$
8,010,624
$
7,590,880
Goodwill and intangibles
335,792
337,062
337,920
339,259
340,639
Tangible assets (2)
8,226,524
8,118,280
7,898,220
7,671,365
7,250,241
Earning assets
7,751,130
7,620,056
7,411,403
7,218,905
6,881,663
Loans
6,575,829
6,460,620
6,207,708
5,890,823
5,388,331
Allowance for loan losses
74,273
72,816
70,626
67,074
67,195
Deposits
6,774,031
6,906,719
6,732,505
6,516,344
6,317,235
Stockholders’ equity
914,450
887,721
864,960
901,147
943,296
Stockholders’ equity / assets
10.68
%
10.50
%
10.50
%
11.25
%
12.43
%
Tangible equity (2)
578,658
550,659
527,040
561,888
602,657
Tangible equity / tangible assets
7.03
%
6.78
%
6.67
%
7.32
%
8.31
%
Average Balances Total assets
$
8,433,100
$
8,304,462
$
8,161,389
$
7,742,550
$
7,541,414
$
8,433,100
$
7,541,414
Earning assets
7,783,850
7,653,648
7,477,795
7,051,661
6,754,862
7,783,850
6,754,862
Loans
6,535,080
6,359,564
6,120,324
5,667,853
5,382,825
6,535,080
5,382,825
Deposits and interest-bearing liabilities
7,385,946
7,278,531
7,116,910
6,706,250
6,415,483
7,385,946
6,415,483
Deposits
6,833,521
6,773,382
6,654,328
6,385,857
6,314,217
6,833,521
6,314,217
Stockholders’ equity
901,587
875,287
912,224
921,847
1,033,816
901,587
1,033,816
Goodwill and intangibles
336,418
337,207
338,583
339,932
341,353
336,418
341,353
Tangible equity (2)
565,169
538,080
573,641
581,915
692,463
565,169
692,463
Per Common Share Data Net Income (Loss): Basic
$
0.51
$
0.71
$
0.79
$
0.63
$
0.73
$
0.51
$
0.73
Diluted
0.51
0.71
0.79
0.63
0.73
0.51
0.73
Dividends Paid
0.31
0.30
0.30
0.30
0.30
0.31
0.30
Market Value: High
$
27.80
$
30.51
$
29.36
$
30.13
$
32.52
$
27.80
$
32.52
Low
20.39
26.11
24.67
25.31
28.58
20.39
28.58
Close
20.73
26.97
25.70
25.35
30.33
20.73
30.33
Common Book Value
25.61
24.94
24.32
25.35
26.48
Tangible Common Book Value (2)
16.21
15.47
14.82
15.80
16.92
Shares outstanding, end of period (000s)
35,701
35,591
35,563
35,555
35,621
Performance Ratios (annualized) Tax-equivalent net interest
margin (1)
2.90
%
3.28
%
3.40
%
3.36
%
3.44
%
2.90
%
3.39
%
Return on average assets
0.87
%
1.21
%
1.37
%
1.16
%
1.42
%
0.22
%
1.68
%
Return on average equity
8.16
%
11.46
%
12.26
%
9.73
%
10.34
%
2.01
%
12.49
%
Return on average tangible equity
13.02
%
18.64
%
19.50
%
15.41
%
15.44
%
3.21
%
18.99
%
Efficiency ratio (3)
60.90
%
56.76
%
51.26
%
52.23
%
54.60
%
60.90
%
54.60
%
Effective tax rate
18.44
%
18.59
%
19.22
%
19.59
%
18.97
%
18.44
%
19.42
%
Common dividend payout ratio
60.78
%
42.25
%
37.97
%
47.62
%
41.10
%
60.78
%
30.97
%
(1) Interest income on tax-exempt securities and loans has
been adjusted to a tax-equivalent basis using the statutory federal
income tax rate of 21%. (2) Tangible assets = total assets less the
sum of goodwill and core deposit and other intangibles. Tangible
equity = total stockholders' equity less the sum of goodwill, core
deposit and other intangibles, and preferred stock. Tangible common
book value = tangible equity divided by shares outstanding at the
end of the period. (3) Efficiency ratio = Non-interest expense
divided by sum of tax-equivalent net interest income plus
non-interest income, excluding securities gains or losses, net.
Premier Financial Corp. Yield Analysis (dollars in
thousands)
Three Months Ended 3/31/23 12/31/22
9/30/22 6/30/22 3/31/22
Average Balances Interest-earning
assets: Loans receivable (1)
$
6,535,080
$
6,359,564
$
6,120,324
$
5,667,853
$
5,382,825
Securities
1,183,361
1,235,814
1,261,527
1,288,073
1,250,321
Interest Bearing Deposits
35,056
29,884
68,530
76,401
109,757
FHLB stock
30,353
28,386
27,414
19,334
11,959
Total interest-earning assets
7,783,850
7,653,648
7,477,795
7,051,661
6,754,862
Non-interest-earning assets
649,250
650,814
683,594
690,889
786,552
Total assets
$
8,433,100
$
8,304,462
$
8,161,389
$
7,742,550
$
7,541,414
Deposits and Interest-bearing Liabilities: Interest bearing
deposits
$
5,078,510
$
4,901,412
$
4,846,419
$
4,614,223
$
4,600,801
FHLB advances and other
467,311
419,761
377,533
234,945
16,278
Subordinated debentures
85,114
85,084
85,049
85,020
84,988
Notes payable
-
304
-
428
-
Total interest-bearing liabilities
5,630,935
5,406,561
5,309,001
4,934,616
4,702,067
Non-interest bearing deposits
1,755,011
1,871,970
1,807,909
1,771,634
1,713,416
Total including non-interest-bearing deposits
7,385,946
7,278,531
7,116,910
6,706,250
6,415,483
Other non-interest-bearing liabilities
145,567
150,644
132,255
114,453
92,115
Total liabilities
7,531,513
7,429,175
7,249,165
6,820,703
6,507,598
Stockholders' equity
901,587
875,287
912,224
921,847
1,033,816
Total liabilities and stockholders' equity
$
8,433,100
$
8,304,462
$
8,161,389
$
7,742,550
$
7,541,414
IEAs/IBLs
138
%
142
%
141
%
143
%
144
%
Interest Income/Expense Interest-earning assets:
Loans receivable (2)
$
76,063
$
72,201
$
65,564
$
56,573
$
55,248
Securities (2)
7,359
7,762
7,006
6,416
5,701
Interest Bearing Deposits
444
444
221
120
46
FHLB stock
394
482
510
174
59
Total interest-earning assets
84,260
80,889
73,301
63,283
61,054
Deposits and Interest-bearing Liabilities: Interest bearing
deposits
$
21,458
$
13,161
$
6,855
$
2,671
$
2,222
FHLB advances and other
5,336
3,941
2,069
527
13
Subordinated debentures
1,075
1,001
868
763
696
Notes payable
-
3
-
1
-
Total interest-bearing liabilities
27,869
18,106
9,792
3,962
2,931
Non-interest bearing deposits
-
-
-
-
-
Total including non-interest-bearing deposits
27,869
18,106
9,792
3,962
2,931
Net interest income
$
56,391
$
62,783
$
63,509
$
59,321
$
58,123
Less: PPP income
(6
)
(6
)
(26
)
(160
)
(3,641
)
Less: Acquisition marks accretion
(387
)
(554
)
(608
)
(706
)
(737
)
Core net interest income
$
55,998
$
62,223
$
62,875
$
58,455
$
53,745
Annualized Average Rates Interest-earning assets:
Loans receivable
4.66
%
4.54
%
4.29
%
3.99
%
4.11
%
Securities (3)
2.49
%
2.51
%
2.22
%
1.99
%
1.82
%
Interest Bearing Deposits
5.07
%
5.94
%
1.29
%
0.63
%
0.17
%
FHLB stock
5.19
%
6.79
%
7.44
%
3.60
%
1.97
%
Total interest-earning assets
4.33
%
4.23
%
3.92
%
3.59
%
3.62
%
Deposits and Interest-bearing Liabilities: Interest bearing
deposits
1.69
%
1.07
%
0.57
%
0.23
%
0.19
%
FHLB advances and other
4.57
%
3.76
%
2.19
%
0.90
%
0.32
%
Subordinated debentures
5.05
%
4.71
%
4.08
%
3.59
%
3.28
%
Notes payable
-
3.95
%
-
0.93
%
-
Total interest-bearing liabilities
1.98
%
1.34
%
0.74
%
0.32
%
0.25
%
Non-interest bearing deposits
-
-
-
-
-
Total including non-interest-bearing deposits
1.51
%
1.00
%
0.55
%
0.24
%
0.18
%
Net interest spread
2.35
%
2.89
%
3.18
%
3.27
%
3.37
%
Net interest margin (4)
2.90
%
3.28
%
3.40
%
3.36
%
3.44
%
Core net interest margin (4)
2.88
%
3.25
%
3.36
%
3.32
%
3.20
%
(1) Includes average PPP loans of:
$
965
$
1,160
$
1,889
$
12,966
$
32,853
(2) Interest on certain tax exempt loans and securities is not
taxable for Federal income tax purposes. In order to compare the
tax-exempt yields on these assets to taxable yields, the interest
earned on these assets is adjusted to a pre-tax equivalent amount
based on the marginal corporate federal income tax rate of 21%. (3)
Securities yield = annualized interest income divided by the
average balance of securities, excluding average unrealized
gains/losses. (4) Net interest margin is tax equivalent net
interest income divided by average interest-earning assets. Core
net interest margin represents net interest margin excluding PPP
and acquisition marks accretion.
Premier Financial Corp.
Deposits and Liquidity (dollars in thousands)
As of and
for the Three Months Ended 3/31/23 12/31/22 9/30/22
6/30/22 3/31/22
Ending Balances Non-interest-bearing demand
deposits
$
1,649,726
$
1,869,509
$
1,826,511
$
1,786,516
$
1,733,157
Savings deposits
775,186
797,376
817,853
830,048
827,078
Interest-bearing demand deposits
646,329
653,960
665,974
662,337
674,306
Money market account deposits
1,342,451
1,493,729
1,463,600
1,511,990
1,477,133
Time deposits
856,720
768,678
630,077
587,918
604,368
Public funds, ICS and CDARS deposits
1,348,750
1,179,759
1,258,610
1,137,536
1,001,193
Brokered deposits
154,869
143,708
69,881
-
-
Total deposits
$
6,774,031
$
6,906,719
$
6,732,505
$
6,516,344
$
6,317,235
Average Balances Non-interest-bearing demand deposits
$
1,755,011
$
1,871,970
$
1,807,909
$
1,771,634
$
1,713,416
Savings deposits
782,215
806,653
825,673
833,323
816,720
Interest-bearing demand deposits
637,423
651,685
681,247
681,798
699,216
Money market account deposits
1,430,905
1,418,549
1,493,019
1,498,218
1,680,520
Time deposits
825,652
685,453
610,708
597,613
706,881
Public funds, ICS and CDARS deposits
1,232,230
1,235,772
1,204,968
1,003,271
697,464
Brokered deposits
170,085
103,300
30,804
-
-
Total deposits
$
6,833,521
$
6,773,382
$
6,654,328
$
6,385,857
$
6,314,217
Average Rates Non-interest-bearing demand deposits
0.00
%
0.00
%
0.00
%
0.00
%
0.00
%
Savings deposits
0.02
%
0.02
%
0.02
%
0.02
%
0.02
%
Interest-bearing demand deposits
0.07
%
0.07
%
0.07
%
0.05
%
0.05
%
Money market account deposits
1.54
%
0.81
%
0.40
%
0.18
%
0.16
%
Time deposits
1.83
%
1.05
%
0.58
%
0.45
%
0.49
%
Public funds, ICS and CDARS deposits
3.32
%
2.41
%
1.38
%
0.48
%
0.31
%
Brokered deposits
4.19
%
3.32
%
2.37
%
-
-
Total deposits
1.26
%
0.78
%
0.41
%
0.17
%
0.14
%
Other Deposits Data Loans/Deposits Ratio
97.1
%
93.5
%
92.2
%
90.4
%
85.3
%
Uninsured deposits %
32.3
%
35.3
%
35.5
%
34.2
%
30.3
%
Adjusted uninsured deposits % (1)
19.6
%
22.2
%
22.2
%
22.0
%
20.5
%
Top 20 depositors %
12.1
%
5.4
%
11.3
%
10.0
%
6.8
%
Public funds %
16.5
%
14.8
%
15.9
%
14.1
%
11.4
%
Average account size (excluding brokered)
$
27.0
$
27.8
$
27.5
$
26.9
$
25.9
Securities Data Held-to-maturity (HTM) at fair value
$
-
$
-
$
-
$
-
$
-
Available-for-sale (AFS) at fair value (2)
998,128
1,040,081
1,063,713
1,140,466
1,219,365
Equity investment at fair value (3)
6,387
7,832
15,336
13,293
13,454
Total securities at fair value
$
1,004,515
$
1,047,913
$
1,079,049
$
1,153,759
$
1,232,819
Cash+Securities/Assets
13.6
%
13.9
%
14.4
%
16.1
%
18.3
%
Projected AFS cash flow in next 12 months
$
73,184
$
73,319
$
76,119
$
74,558
$
85,910
AFS average life (years)
6.4
6.5
6.6
6.8
6.6
Liquidity Sources Cash and cash equivalents
$
157,027
$
128,160
$
104,992
$
134,394
$
153,766
Unpledged securities at fair value
211,468
288,134
342,979
572,892
677,918
FHLB borrowing capacity
1,358,650
1,528,978
1,217,516
1,044,477
1,274,743
Brokered deposits (Company policy limit of 10%)
524,889
549,370
605,552
654,380
634,318
Bank and parent lines of credit
70,000
70,000
70,000
45,000
45,000
Federal Reserve - Discount Window and BTFP (4)
129,918
44,471
-
-
-
Total
$
2,451,952
$
2,609,113
$
2,341,039
$
2,451,143
$
2,785,745
Total liquidity to adjusted uninsured deposits ratio
183.2
%
168.9
%
155.4
%
169.0
%
213.1
%
(1) Adjusted for collateralized deposits, other insured
deposits and intra-company accounts. (2) Mark-to-market included in
accumulated other comprehensive income. (3) Mark-to-market included
in net income each quarter. (4) Includes borrowing capacity related
to unpledged securities at par value in excess of fair value under
Bank Term Funding Program.
Premier Financial Corp. Loans
and Capital (dollars in thousands)
3/31/23 12/31/22
9/30/22 6/30/22 3/31/22
Loan Portfolio Composition
Residential real estate
$
1,624,331
$
1,535,574
$
1,478,360
$
1,382,202
$
1,222,057
Residential real estate construction
141,209
176,737
119,204
85,256
97,746
Total residential loans
1,765,540
1,712,311
1,597,564
1,467,458
1,319,803
Commercial real estate
2,813,441
2,762,311
2,674,078
2,655,730
2,495,469
Commercial construction
440,510
428,743
398,044
319,590
260,421
Commercial excluding PPP
1,060,351
1,054,037
1,041,423
987,242
891,893
Core commercial loans (1)
4,314,302
4,245,091
4,113,545
3,962,562
3,647,783
Consumer direct/indirect
212,299
213,405
212,790
180,539
132,294
Home equity and improvement lines
271,676
277,613
272,367
266,144
261,176
Total consumer loans
483,975
491,018
485,157
446,683
393,470
Deferred loan origination fees
11,221
11,057
10,261
9,559
8,615
Core loans (1)
6,575,038
6,459,477
6,206,527
5,886,262
5,369,671
PPP loans
791
1,143
1,181
4,561
18,660
Total loans
$
6,575,829
$
6,460,620
$
6,207,708
$
5,890,823
$
5,388,331
Loans held for sale
$
119,631
$
115,251
$
129,142
$
145,092
$
153,498
Core residential loans (1)
1,885,171
1,827,562
1,726,706
1,612,550
1,473,301
Total loans including loans held for sale but excluding PPP
6,694,669
6,574,728
6,335,669
6,031,354
5,523,169
Undisbursed construction loan funds - residential
$
157,934
$
209,306
$
231,598
$
239,748
$
210,702
Undisbursed construction loan funds - commercial
446,294
463,469
493,199
449,101
314,843
Undisbursed construction loan funds - total
604,228
672,775
724,797
688,849
525,545
Total construction loans including undisbursed funds
$
1,185,947
$
1,278,255
$
1,242,045
$
1,093,695
$
883,712
Gross loans (2)
$
7,168,836
$
7,122,338
$
6,922,244
$
6,570,113
$
5,905,261
Fixed rate loans %
49.5
%
48.8
%
48.7
%
47.4
%
45.5
%
Floating rate loans %
13.4
%
14.3
%
16.0
%
18.3
%
21.8
%
Adjustable rate loans repricing within 1 year %
2.0
%
2.6
%
0.8
%
2.5
%
3.3
%
Adjustable rate loans repricing over 1 year %
35.1
%
34.3
%
34.5
%
31.8
%
29.4
%
Commercial Real Estate Loans Composition Non owner
occupied excluding office
$
947,442
$
934,760
$
905,512
$
899,129
$
843,775
Non owner occupied office
220,668
222,300
203,565
210,164
210,258
Owner occupied excluding office
609,203
578,514
570,662
556,482
558,802
Owner occupied office
109,014
108,087
105,224
104,968
97,880
Multifamily
661,996
660,823
637,701
634,782
569,216
Agriculture land
122,384
125,384
122,416
120,633
113,883
Other commercial real estate
142,734
132,443
128,998
129,572
101,655
Total commercial real estate loans
$
2,813,441
$
2,762,311
$
2,674,078
$
2,655,730
$
2,495,469
Capital Balances Total equity
$
914,450
$
887,721
$
864,960
$
901,147
$
943,296
Less: Regulatory goodwill and intangibles
330,711
331,981
332,839
334,177
335,558
Less: Accumulated other comprehensive income/(loss) ("AOCI")
(153,709
)
(173,460
)
(181,231
)
(126,754
)
(75,497
)
Common equity tier 1 capital ("CET1")
737,448
729,200
713,352
693,724
683,235
Add: Tier 1 subordinated debt
35,000
35,000
35,000
35,000
35,000
Tier 1 capital
772,448
764,200
748,352
728,724
718,235
Add: Regulatory allowances
80,003
78,780
76,530
72,648
70,949
Add: Tier 2 subordinated debt
50,000
50,000
50,000
50,000
50,000
Total risk-based capital
$
902,451
$
892,980
$
874,882
$
851,372
$
839,184
Total risk-weighted assets
$
7,407,117
$
7,355,979
$
7,385,877
$
7,095,366
$
6,629,166
Capital Ratios CET1 Ratio
9.96
%
9.91
%
9.66
%
9.78
%
10.31
%
CET1 Ratio including AOCI
7.88
%
7.55
%
7.20
%
7.99
%
9.17
%
Tier 1 Capital Ratio
10.43
%
10.39
%
10.13
%
10.27
%
10.83
%
Tier 1 Capital Ratio including AOCI
8.35
%
8.03
%
7.68
%
8.48
%
9.70
%
Total Capital Ratio
12.18
%
12.14
%
11.85
%
12.00
%
12.66
%
Total Capital Ratio including AOCI
10.11
%
9.78
%
9.39
%
10.21
%
11.52
%
(1) Core loans represents total loans excluding undisbursed
loan funds, deferred loan origination fees and PPP loans. Core
commercial loans represents total commercial real estate,
commercial and commercial construction excluding commercial
undisbursed loan funds, deferred loan origination fees and PPP
loans. Core residential loans represents total loans held for sale,
one to four family residential real estate and residential
construction excluding residential undisbursed loan funds and
deferred loan origination fees. (2) Gross loans represent total
loans including undisbursed construction funds but excluding
deferred loan origination fees.
Premier Financial Corp.
Loan Delinquency Information (dollars in thousands)
Total Balance Current 30 to 89 days past due
% of Total Non Accrual Loans % of Total
March 31, 2023 One to four family residential real estate
$
1,624,331
$
1,611,658
$
4,514
0.28
%
$
8,159
0.50
%
Construction
1,185,947
1,185,803
144
0.01
%
-
0.00
%
Commercial real estate
2,813,441
2,799,007
88
0.00
%
14,346
0.51
%
Commercial
1,061,142
1,053,681
471
0.04
%
6,990
0.66
%
Home equity and improvement
271,676
266,931
2,404
0.88
%
2,341
0.86
%
Consumer finance
212,299
206,247
3,511
1.65
%
2,541
1.20
%
Gross loans
$
7,168,836
$
7,123,327
$
11,132
0.16
%
$
34,377
0.48
%
December 31, 2022 One to four family residential real estate
$
1,535,574
$
1,520,074
$
6,792
0.44
%
$
8,708
0.57
%
Construction
1,278,255
1,277,818
437
0.03
%
-
0.00
%
Commercial real estate
2,762,311
2,747,539
1,205
0.04
%
13,567
0.49
%
Commercial
1,055,180
1,047,829
497
0.05
%
6,854
0.65
%
Home equity and improvement
277,613
270,138
5,216
1.88
%
2,259
0.81
%
Consumer finance
213,405
206,779
4,192
1.96
%
2,434
1.14
%
Gross loans
$
7,122,338
$
7,070,177
$
18,339
0.26
%
$
33,822
0.47
%
March 31, 2022 One to four family residential real estate
$
1,222,057
$
1,206,560
$
3,843
0.31
%
$
11,654
0.95
%
Construction
883,712
883,712
-
0.00
%
-
0.00
%
Commercial real estate
2,495,469
2,480,656
181
0.01
%
14,632
0.59
%
Commercial
910,553
894,923
18
0.00
%
15,612
1.71
%
Home equity and improvement
132,294
127,856
2,214
1.67
%
2,224
1.68
%
Consumer finance
261,176
256,667
1,333
0.51
%
3,176
1.22
%
Gross loans
$
5,905,261
$
5,850,374
$
7,589
0.13
%
$
47,298
0.80
%
Loan Risk Ratings Information (dollars in thousands)
Total Balance Pass Rated Special Mention %
of Total Classified % of Total March 31,
2023 One to four family residential real estate
$
1,612,999
$
1,604,694
$
493
0.03
%
$
7,812
0.48
%
Construction
1,185,947
1,185,947
-
0.00
%
-
0.00
%
Commercial real estate
2,811,999
2,748,598
41,677
1.48
%
21,724
0.77
%
Commercial
1,055,829
1,015,416
33,090
3.13
%
7,323
0.69
%
Home equity and improvement
269,455
267,588
-
0.00
%
1,867
0.69
%
Consumer finance
212,043
209,566
-
0.00
%
2,477
1.17
%
PCD loans
20,564
13,177
3,683
17.91
%
3,704
18.01
%
Gross loans
$
7,168,836
$
7,044,986
$
78,943
1.10
%
$
44,907
0.63
%
December 31, 2022 One to four family residential real estate
$
1,524,029
$
1,514,719
$
935
0.06
%
$
8,375
0.55
%
Construction
1,278,255
1,278,255
-
0.00
%
-
0.00
%
Commercial real estate
2,760,766
2,694,443
46,029
1.67
%
20,294
0.74
%
Commercial
1,050,122
1,016,973
26,319
2.51
%
6,830
0.65
%
Home equity and improvement
275,204
273,613
-
0.00
%
1,591
0.58
%
Consumer finance
213,131
210,760
-
0.00
%
2,371
1.11
%
PCD loans
20,831
13,904
2,590
12.43
%
4,337
20.82
%
Gross loans
$
7,122,338
$
7,002,667
$
75,873
1.07
%
$
43,798
0.61
%
March 31, 2022 One to four family residential real estate
$
1,209,537
$
1,198,311
$
1,295
0.11
%
$
9,931
0.82
%
Construction
883,712
883,712
-
0.00
%
-
0.00
%
Commercial real estate
2,492,324
2,373,111
93,550
3.75
%
25,663
1.03
%
Commercial
901,957
869,615
20,558
2.28
%
11,784
1.31
%
Consumer finance
131,846
129,747
-
0.00
%
2,099
1.59
%
Home equity and improvement
258,041
255,883
-
0.00
%
2,158
0.84
%
PCD loans
27,844
19,110
98
0.35
%
8,636
31.02
%
Total loans
$
5,905,261
$
5,729,489
$
115,501
1.96
%
$
60,271
1.02
%
Premier Financial Corp. Mortgage and Credit
Information (dollars in thousands)
As of and for the Three
Months Ended Mortgage Banking Summary 3/31/23
12/31/22 9/30/22 6/30/22 3/31/22 Revenue from sales and servicing
of mortgage loans: Mortgage banking gains, net
$
(837
)
$
(1,285
)
$
3,363
$
1,166
$
2,543
Mortgage loan servicing revenue (expense): Mortgage loan servicing
revenue
1,888
1,862
1,861
1,862
1,879
Amortization of mortgage servicing rights
(1,219
)
(1,271
)
(1,350
)
(1,375
)
(1,403
)
Mortgage servicing rights valuation adjustments
(106
)
396
96
295
1,233
563
987
607
782
1,709
Total revenue from sale/servicing of mortgage loans
$
(274
)
$
(298
)
$
3,970
$
1,948
$
4,252
Mortgage servicing rights: Balance at beginning of period
$
21,858
$
21,915
$
21,872
$
22,189
$
22,244
Loans sold, servicing retained
808
1,214
1,393
1,058
1,348
Mortgage servicing rights acquired
-
-
-
-
-
Amortization
(1,219
)
(1,271
)
(1,350
)
(1,375
)
(1,403
)
Balance at end of period
21,447
21,858
21,915
21,872
22,189
Valuation allowance: Balance at beginning of period
(687
)
(1,083
)
(1,179
)
(1,474
)
(2,707
)
Impairment recovery (charges)
(106
)
396
96
295
1,233
Balance at end of period
(793
)
(687
)
(1,083
)
(1,179
)
(1,474
)
Net carrying value at end of period
$
20,654
$
21,171
$
20,832
$
20,693
$
20,715
Allowance for credit losses - loans Beginning
allowance
$
72,816
$
70,626
$
67,074
$
67,195
$
66,468
Provision (benefit) for credit losses - loans
3,944
3,020
3,706
5,151
626
Net recoveries (charge-offs)
(2,487
)
(830
)
(154
)
(5,272
)
101
Ending allowance
$
74,273
$
72,816
$
70,626
$
67,074
$
67,195
Total loans
$
6,575,829
$
6,460,620
$
6,207,708
$
5,890,823
$
5,388,331
Less: PPP loans
(791
)
(1,143
)
(1,181
)
(4,561
)
(18,660
)
Total loans ex PPP
$
6,575,038
$
6,459,477
$
6,206,527
$
5,886,262
$
5,369,671
Allowance for credit losses (ACL)
$
74,273
$
72,816
$
70,626
$
67,074
$
67,195
Add: Unaccreted purchase accounting marks
2,301
2,706
3,291
3,924
4,652
Adjusted ACL
$
76,574
$
75,522
$
73,917
$
70,998
$
71,847
ACL/Loans
1.13
%
1.13
%
1.14
%
1.14
%
1.25
%
Adjusted ACL/Loans ex PPP
1.16
%
1.17
%
1.19
%
1.21
%
1.34
%
Credit Quality Total non-performing loans (1)
$
34,377
$
33,822
$
33,137
$
34,735
$
47,298
Real estate owned (REO)
393
619
416
462
253
Total non-performing assets (2)
$
34,770
$
34,441
$
33,553
$
35,197
$
47,551
Net charge-offs (recoveries)
2,487
830
154
5,272
(101
)
Allowance for credit losses - loans / non-performing assets
213.61
%
211.42
%
210.49
%
190.57
%
141.31
%
Allowance for credit losses - loans / non-performing loans
216.05
%
215.29
%
213.13
%
193.10
%
142.07
%
Non-performing assets / loans plus REO
0.53
%
0.53
%
0.54
%
0.60
%
0.88
%
Non-performing assets / total assets
0.41
%
0.41
%
0.41
%
0.44
%
0.63
%
Net charge-offs / average loans (annualized)
0.15
%
0.05
%
0.01
%
0.37
%
-0.01
%
Net charge-offs / average loans LTM
0.14
%
0.10
%
0.26
%
0.27
%
0.17
%
(1) Non-performing loans consist of non-accrual loans. (2)
Non-performing assets are non-performing loans plus real estate and
other assets acquired by foreclosure or deed-in-lieu thereof.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230425005970/en/
Paul Nungester EVP and CFO 419.785.8700
PNungester@yourpremierbank.com
Grafico Azioni Premier Financial (NASDAQ:PFC)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni Premier Financial (NASDAQ:PFC)
Storico
Da Giu 2023 a Giu 2024