FB Financial Corp - FORM 8-K - EX-99.2 - EXHIBIT 99.2 - July 23, 2018

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Exhibit 99.2
 
 
 
 
 
 
 
 
 
Second Quarter 2018
Financial Supplement
 
 
 
TABLE OF CONTENTS
 
 
Page
  
 
 
  
Financial Summary and Key Metrics
4
  
 
 
  
Consolidated Statements of Income
5-6
  
 
 
  
Consolidated Balance Sheets
7
  
 
 
  
Average Balance, Average Yield Earned and Average Rate Paid
8-10
  
 
 
  
Loans and Deposits by Market
11
  
 
 
  
Segment Data
12
  
 
 
  
Loan Portfolio and Asset Quality
13
  
 
 
  
Preliminary Capital Ratios
14
  
 
 
  
Investment Portfolio
15
  
 
 
  
Non-GAAP Reconciliation  16-18   
 
Use of non-GAAP Financial Measures
 
This Supplemental Financial Information contains certain financial measures that are not measures recognized under U.S. generally accepted accounting principles (“GAAP”) and therefore are considered non-GAAP financial measures. These non‐GAAP financial measures include, without limitation, adjusted net income, core net income, adjusted diluted earnings per share,  core diluted earnings per share, core noninterest expense and core noninterest income, core efficiency ratio (tax equivalent basis), Banking segment core efficiency ratio (tax equivalent basis), Mortgage segment core efficiency ratio (tax equivalent basis), adjusted mortgage contribution, core return on average assets and equity and core total revenue.  Each of these non-GAAP metrics excludes certain income and expense items that the Company’s management considers to be non‐core in nature. The Company refers to these non‐GAAP measures as adjusted or core measures. The corresponding Earnings Release also presents tangible assets, tangible common equity, tangible book value per common share, tangible common equity to tangible assets, return on tangible common equity, return on average tangible common equity, adjusted return on average assets, adjusted return on average equity, core return on average tangible common equity and adjusted return on average tangible common equity.  Each of these non-GAAP metrics excludes the impact of goodwill and other intangibles.
 
The Company’s management uses these non-GAAP financial measures in their analysis of the Company’s performance, financial condition and the efficiency of its operations as management believes such measures facilitate period-to-period comparisons and provide meaningful indications of its operating performance as they eliminate both gains and charges that management views as non-recurring or not indicative of operating performance. Management believes that these non-GAAP financial measures provide a greater understanding of ongoing operations and enhance comparability of results with prior periods as well as demonstrating the effects of significant non-core gains and charges in the current and prior periods. The Company’s management also believes that investors find these non-GAAP financial measures useful as they assist investors in understanding the Company’s underlying operating performance and in the analysis of ongoing operating trends.  In addition, because intangible assets such as goodwill and other intangibles, and the other items excluded each vary extensively from company to company, the Company believes that the presentation of this information allows investors to more easily compare the Company’s results to the results of other companies.  However, the non-GAAP financial measures discussed herein should not be considered in isolation or as a substitute for the most directly comparable or other financial measures calculated in accordance with GAAP. Moreover, the manner in which the Company calculates the non-GAAP financial measures discussed herein may differ from that of other companies reporting measures with similar names. You should understand how such other banking organizations calculate their financial measures similar or with names similar to the non-GAAP financial measures the Company has discussed herein when comparing such non-GAAP financial measures.  The following tables provide a reconciliation of these measures to the most directly comparable GAAP financial measures.
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 4
 
 
Financial Summary and Key Metrics
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
                               
   
2018
    
2017
  
   
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Statement of Income Data
                              
Total interest income
  
$
59,043
    
$
54,848
    
$
55,031
    
$
48,415
    
$
33,278
  
Total interest expense
    
7,526
      
6,419
      
6,048
      
4,805
      
2,851
  
Net interest income
    
51,517
      
48,429
      
48,983
      
43,610
      
30,427
  
Provision for loan losses
    
1,063
      
317
      
956
      
(784
)
    
(865
)
Total noninterest income
    
35,708
      
33,275
      
37,017
      
37,820
      
35,657
  
Total noninterest expense
    
56,303
      
56,151
      
57,540
      
69,224
      
49,136
  
Net income before income taxes
    
29,859
      
25,236
      
27,504
      
12,990
      
17,813
  
Income tax expense
    
7,794
      
5,482
      
4,486
      
4,602
      
6,574
  
Net income
  
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
    
$
11,239
  
Net interest income (tax—equivalent basis)
  
$
51,909
    
$
48,799
    
$
49,692
    
$
44,281
    
$
31,158
  
Net income, adjusted*
  
$
22,736
    
$
20,636
    
$
18,265
    
$
17,936
    
$
11,705
  
Per Common Share
                                        
Diluted net income
  
$
0.70
    
$
0.63
    
$
0.74
    
$
0.27
    
$
0.43
  
Diluted net income, adjusted*
  
$
0.72
    
$
0.66
    
$
0.59
    
$
0.58
    
$
0.45
  
Book value
    
20.56
      
19.92
      
19.54
      
18.76
      
17.59
  
Tangible book value*
    
15.66
      
14.99
      
14.56
      
13.79
      
15.83
  
Weighted average number of shares-diluted
    
31,294,044
      
31,421,830
      
31,166,080
      
30,604,537
      
26,301,458
  
Period-end number of shares
    
30,683,353
      
30,671,763
      
30,535,517
      
30,526,592
      
28,968,160
  
Selected Balance Sheet Data
                                        
Cash and due from banks
  
$
67,863
    
$
53,060
    
$
29,831
    
$
67,070
    
$
59,112
  
Loans held for investment (HFI)
    
3,415,575
      
3,244,663
      
3,166,911
      
3,114,562
      
1,970,974
  
Allowance for loan losses
    
(26,347
)
    
(24,406
)
    
(24,041
)
    
(23,482
)
    
(23,247
)
Loans held for sale
    
374,916
      
414,518
      
526,185
      
466,369
      
427,416
  
Investment securities, at fair value
    
611,435
      
597,347
      
543,992
      
543,282
      
553,357
  
Other real estate owned, net
    
14,639
      
15,334
      
16,442
      
13,812
      
6,370
  
Total assets
    
4,923,249
      
4,725,416
      
4,727,713
      
4,581,943
      
3,346,570
  
Customer deposits
    
3,844,009
      
3,684,758
      
3,578,694
      
3,614,220
      
2,726,060
  
Brokered and internet time deposits
    
65,854
      
81,393
      
85,701
      
104,318
      
1,533
  
Total deposits
    
3,909,863
      
3,766,151
      
3,664,395
      
3,718,538
      
2,727,593
  
Borrowings
    
326,897
      
278,293
      
333,302
      
196,299
      
43,790
  
Total shareholders' equity
    
630,959
      
611,075
      
596,729
      
572,528
      
509,517
  
Selected Ratios
                                        
Return on average:
                                        
Assets
    
1.86
%
    
1.71
%
    
1.96
%
    
0.80
%
    
1.40
%
Shareholders' equity
    
14.4
%
    
13.4
%
    
15.8
%
    
6.0
%
    
11.3
%
Tangible common equity*
    
19.0
%
    
17.9
%
    
21.3
%
    
7.7
%
    
13.0
%
Average shareholders' equity to average assets
    
12.9
%
    
12.8
%
    
12.4
%
    
13.2
%
    
12.4
%
Net interest margin (NIM) (tax-equivalent basis)
    
4.81
%
    
4.64
%
    
4.63
%
    
4.61
%
    
4.19
%
Efficiency ratio (GAAP)
    
64.5
%
    
68.7
%
    
66.9
%
    
85.0
%
    
74.4
%
Core efficiency ratio (tax-equivalent basis)*
    
62.1
%
    
65.5
%
    
63.6
%
    
64.4
%
    
70.2
%
Loans held for investment to deposit ratio
    
87.4
%
    
86.2
%
    
86.4
%
    
83.8
%
    
72.3
%
Total loans to deposit ratio
    
96.9
%
    
97.2
%
    
100.8
%
    
96.3
%
    
87.9
%
Yield on interest-earning assets
    
5.51
%
    
5.25
%
    
5.20
%
    
5.10
%
    
4.57
%
Cost of interest-bearing liabilities
    
0.96
%
    
0.85
%
    
0.79
%
    
0.71
%
    
0.55
%
Cost of total deposits
    
0.62
%
    
0.55
%
    
0.50
%
    
0.46
%
    
0.34
%
Credit Quality Ratios
                                        
Allowance for loan losses as a percentage of loans held for investment
    
0.77
%
    
0.75
%
    
0.76
%
    
0.75
%
    
1.18
%
Net (recoveries) charge-off's as a percentage of average loans
                          
      held for investment
    
(0.11
)%
    
(0.01
)%
    
0.05
%
    
(0.15
)%
    
(0.25
)%
Nonperforming loans held for investment as a percentage of total loans
                  
      held for investments
    
0.26
%
    
0.30
%
    
0.32
%
    
0.29
%
    
0.50
%
Nonperforming assets as a percentage of total assets (a)
    
0.52
%
    
0.59
%
    
1.52
%
    
0.88
%
    
0.58
%
Preliminary capital ratios (Consolidated)
                                        
Shareholders' equity to assets
    
12.8
%
    
12.9
%
    
12.6
%
    
12.5
%
    
15.2
%
Tangible common equity to tangible assets*
    
10.1
%
    
10.2
%
    
9.7
%
    
9.5
%
    
13.9
%
Tier 1 capital (to average assets)
    
10.9
%
    
10.7
%
    
10.5
%
    
11.4
%
    
15.5
%
Tier 1 capital (to risk-weighted assets)
    
11.4
%
    
11.8
%
    
11.4
%
    
11.6
%
    
18.3
%
Total capital (to risk-weighted assets)
    
12.0
%
    
12.3
%
    
12.0
%
    
12.2
%
    
19.1
%
Common Equity Tier 1 (to risk-weighted assets) (CET1)
    
10.7
%
    
11.0
%
    
10.7
%
    
10.8
%
    
17.2
%
                                         
*These measures are considered non-GAAP financial measures. See “GAAP Reconciliation and Use of Non-GAAP Financial Measures” and the corresponding financial tables below for reconciliations of these Non-GAAP measures. Investors are encouraged to refer to the discussion of non-GAAP measures included in the corresponding earnings release.
  
                                         
(a) For the three months ended December 31 and September 30, 2017, GNMA loans subject to ability to repurchase were included. The Company derecognized these in the first quarter of 2018 as the perceived benefit has decreased with rising rates.
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 5
 
Consolidated Statements of Income            
  
(Unaudited)             
  
(In Thousands, Except Share Data and %)
  
                                             
                                             
                                     
Q2 2018
      
Q2 2018
  
                                   
vs.
    
vs.
  
   
2018
    
2017
      
Q1 2018
      
Q2 2017
  
   
Second Quarter
  
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
    
 
Percent
variance
    
 
Percent
variance
  
Interest income:
                                                
      Interest and fees on loans
  
$
54,529
      
$
50,693
    
$
51,246
    
$
44,367
    
$
29,350
      
7.6
%
    
85.8
%
      Interest on securities
                                                          
      Taxable
    
3,134
        
2,852
      
2,529
      
2,399
      
2,589
      
9.9
%
    
21.1
%
      Tax-exempt
    
981
        
925
      
910
      
988
      
1,068
      
6.1
%
    
-8.1
%
     Other
    
399
        
378
      
346
      
661
      
271
      
5.6
%
    
47.2
%
     Total interest income
    
59,043
        
54,848
      
55,031
      
48,415
      
33,278
      
7.6
%
    
77.4
%
Interest expense:
                                                          
     Deposits
                                                          
       Demand and savings accounts
    
3,951
        
3,315
      
3,209
      
2,829
      
1,703
      
19.2
%
    
132.0
%
       Time deposits
    
1,947
        
1,756
      
1,447
      
1,125
      
604
      
10.9
%
    
222.4
%
      Short-term borrowings
    
694
        
422
      
382
      
25
      
112
      
64.5
%
    
519.6
%
      Long-term debt
    
934
        
926
      
1,010
      
826
      
432
      
0.9
%
    
116.2
%
     Total interest expense
    
7,526
        
6,419
      
6,048
      
4,805
      
2,851
      
17.2
%
    
164.0
%
                 Net interest income
    
51,517
        
48,429
      
48,983
      
43,610
      
30,427
      
6.4
%
    
69.3
%
Provision for loan losses
    
1,063
        
317
      
956
      
(784
)
    
(865
)
    
235.3
%
    
-222.9
%
                 Net interest income after provision for loan losses
    
50,454
        
48,112
      
48,027
      
44,394
      
31,292
      
4.9
%
    
61.2
%
Noninterest income:
                                                          
Mortgage banking income
    
28,544
        
26,471
      
30,280
      
31,334
      
30,239
      
7.8
%
    
-5.6
%
Service charges on deposit accounts
    
2,132
        
2,097
      
2,181
      
2,044
      
1,796
      
1.7
%
    
18.7
%
ATM and interchange fees
    
2,581
        
2,361
      
2,430
      
2,222
      
2,085
      
9.3
%
    
23.8
%
Investment services and trust income
    
1,180
        
1,206
      
1,154
      
1,078
      
903
      
-2.2
%
    
30.7
%
(Loss) gain from securities, net
    
(97
)
      
(47
)
    
1
      
254
      
29
      
106.4
%
    
-434.5
%
Gain (loss) on sales or write-downs of other real estate
      owned
    
23
        
(186
)
    
(72
)
    
(368
)
    
23
      
-112.4
%
    
0.0
%
(Loss) gain from other assets
    
(155
)
      
68
      
(314
)
    
54
      
39
      
-327.9
%
    
-497.4
%
Other income
    
1,500
        
1,305
      
1,357
      
1,202
      
543
      
14.9
%
    
176.2
%
      Total noninterest income
    
35,708
        
33,275
      
37,017
      
37,820
      
35,657
      
7.3
%
    
0.1
%
           Total revenue
    
87,225
        
81,704
      
86,000
      
81,430
      
66,084
      
6.8
%
    
32.0
%
Noninterest expenses:
                                                          
Salaries, commissions and employee benefits
    
34,508
        
34,149
      
35,771
      
34,795
      
30,783
      
1.1
%
    
12.1
%
Occupancy and equipment expense
    
3,744
        
3,605
      
3,881
      
3,539
      
3,307
      
3.9
%
    
13.2
%
Legal and professional fees
    
1,965
        
2,043
      
1,764
      
1,512
      
1,033
      
-3.8
%
    
90.2
%
Data processing
    
2,138
        
2,035
      
1,766
      
1,761
      
1,460
      
5.1
%
    
46.4
%
Merger and conversion
    
-
        
1,193
      
2,069
      
15,711
      
767
      
-100.0
%
    
-100.0
%
Amortization of core deposits and other intangibles
    
802
        
853
      
922
      
558
      
123
      
-6.0
%
    
552.0
%
Loss on sale of mortgage servicing rights
    
-
        
-
      
-
      
-
      
249
      
0.0
%
    
-100.0
%
Regulatory fees and deposit insurance assessments
    
730
        
562
      
571
      
549
      
494
      
29.9
%
    
47.8
%
Software license and maintenance fees
    
390
        
467
      
529
      
523
      
364
      
-16.5
%
    
7.1
%
Advertising
    
3,408
        
3,282
      
3,189
      
3,493
      
3,343
      
3.8
%
    
1.9
%
Other expense
    
8,618
        
7,962
      
7,078
      
6,783
      
7,213
      
8.2
%
    
19.5
%
      Total noninterest expense
    
56,303
        
56,151
      
57,540
      
69,224
      
49,136
      
0.3
%
    
14.6
%
                  Income before income taxes
    
29,859
        
25,236
      
27,504
      
12,990
      
17,813
      
18.3
%
    
67.6
%
       Income tax expense
    
7,794
        
5,482
      
4,486
      
4,602
      
6,574
      
42.2
%
    
18.6
%
                  Net income
  
$
22,065
      
$
19,754
    
$
23,018
    
$
8,388
    
$
11,239
      
11.7
%
    
96.3
%
Earnings available to common shareholders
  
$
21,948
  
(a)
  
$
19,754
    
$
23,018
    
$
8,388
    
$
11,239
                  
Weighted average common shares outstanding:
                                          
Basic
    
30,678,732
        
30,613,284
      
30,527,234
      
30,004,952
      
25,741,968
                  
Fully diluted
    
31,294,044
        
31,421,830
      
31,166,080
      
30,604,537
      
26,301,458
                  
Earnings per common share:
                                                          
Basic
  
$
0.72
      
$
0.65
    
$
0.75
    
$
0.28
    
$
0.44
                  
Fully diluted
    
0.70
        
0.63
      
0.74
      
0.27
      
0.43
                  
                                                           
(a) During the second quarter of 2018, the Company declared a dividend which included participating securities related to the Company's undistributed restricted stock units. As such, earnings per share is presented in accordance with the two-class method.
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 6
 
 
Consolidated Statements of Income
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
                   
                   
   
For the six months year ended
June 30,
    
Q2 YTD 2018
vs.
Q2 YTD 2017
  
   
2018
    
2017
    
Percent variance
  
Interest income:
                  
      Interest and fees on loans
  
$
105,222
    
$
58,356
      
80.3
%
      Interest on securities
                        
      Taxable
    
5,986
      
5,156
      
16.1
%
      Tax-exempt
    
1,906
      
2,108
      
-9.6
%
     Other
    
777
      
547
      
42.0
%
     Total interest income
    
113,891
      
66,167
      
72.1
%
Interest expense:
                        
     Deposits
                        
       Demand and savings accounts
    
7,266
      
3,234
      
124.7
%
       Time deposits
    
3,703
      
1,187
      
212.0
%
      Short-term borrowings
    
1,116
      
210
      
431.4
%
      Long-term debt
    
1,860
      
858
      
116.8
%
     Total interest expense
    
13,945
      
5,489
      
154.1
%
                 Net interest income
    
99,946
      
60,678
      
64.7
%
Provision for loan losses
    
1,380
      
(1,122
)
    
-223.0
%
                 Net interest income after provision for loan losses
    
98,566
      
61,800
      
59.5
%
Noninterest income:
                        
Mortgage banking income
    
55,015
      
55,319
      
-0.5
%
Service charges on deposit accounts
    
4,229
      
3,562
      
18.7
%
ATM and interchange fees
    
4,942
      
4,132
      
19.6
%
Investment services and trust income
    
2,386
      
1,717
      
39.0
%
(Loss) gain from securities, net
    
(144
)
    
30
      
-580.0
%
(Loss) gain on sales or write-downs of other real estate
      owned
    
(163
)
    
771
      
-121.1
%
(Loss) gain on other assets
    
(87
)
    
39
      
-323.1
%
Other income
    
2,805
      
1,174
      
138.9
%
      Total noninterest income
    
68,983
      
66,744
      
3.4
%
           Total revenue
    
168,929
      
127,422
      
32.6
%
Noninterest expenses:
                        
Salaries, commissions and employee benefits
    
68,657
      
59,789
      
14.8
%
Occupancy and equipment expense
    
7,349
      
6,416
      
14.5
%
Legal and professional fees
    
4,008
      
2,461
      
62.9
%
Data processing
    
4,173
      
2,961
      
40.9
%
Merger and conversion
    
1,193
      
1,254
      
-4.9
%
Amortization of intangibles
    
1,655
      
515
      
221.4
%
Loss on sale of mortgage servicing rights
    
-
      
249
      
-100.0
%
Regulatory fees and deposit insurance assessments
    
1,292
      
929
      
39.1
%
Software license and maintenance fees
    
857
      
821
      
4.4
%
Advertising
    
6,690
      
6,275
      
6.6
%
Other expense
    
16,580
      
13,883
      
19.4
%
      Total noninterest expense
    
112,454
      
95,553
      
17.7
%
                  Net income before income taxes
    
55,095
      
32,991
      
67.0
%
       Income tax expense
    
13,276
      
11,999
      
10.6
%
                  Net income
  
$
41,819
    
$
20,992
      
99.2
%
Earnings available to common shareholders(a)
  
$
41,596
    
$
20,992
          
Weighted average common shares outstanding:
                        
Basic
    
30,646,189
      
24,944,633
          
Fully diluted
    
31,275,846
      
25,450,419
          
Earnings per common share:
                        
Basic
  
$
1.36
    
$
0.84
          
Fully diluted
  
$
1.33
    
$
0.82
          
                         
(a) During the second quarter of 2018, the Company declared a dividend which included participating securities related to certain of the Company's undistributed restricted stock units. As such, earnings per share is presented in accordance with the two-class method prospectively.
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 7
 
 
Consolidated Balance Sheets
  
(Unaudited)
  
(In Thousands, %)
  
                                           
                                           
                                 
Annualized
          
                                   
Q2 2018
      
Q2 2018
  
                                 
vs.
    
vs.
  
   
2018
    
2017
      
Q1 2018
      
Q2 2017
  
   
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
    
Percent variance
    
Percent variance
  
ASSETS
                                              
Cash and due from banks
  
$
67,863
    
$
53,060
    
$
29,831
    
$
67,070
    
$
59,112
      
111.9
%
    
14.8
%
Federal funds sold
    
19,859
      
7,171
      
66,127
      
4,470
      
16,238
      
709.7
%
    
22.3
%
Interest bearing deposits in financial institutions
    
16,695
      
13,469
      
23,793
      
25,625
      
110,928
      
96.1
%
    
-84.9
%
Cash and cash equivalents
    
104,417
      
73,700
      
119,751
      
97,165
      
186,278
      
167.2
%
    
-43.9
%
Investments:
                                                        
Available-for-sale debt securities, at fair value
    
608,360
      
594,248
      
536,270
      
535,555
      
544,706
      
9.5
%
    
11.7
%
Equity securities, at fair value
    
3,075
      
3,099
      
7,722
      
7,727
      
8,651
      
-3.1
%
    
-64.5
%
Federal Home Loan Bank stock, at cost
    
12,641
      
11,810
      
11,412
      
11,152
      
7,743
      
28.2
%
    
63.3
%
Loans held for sale, at fair value
    
374,916
      
414,518
      
526,185
      
466,369
      
427,416
      
-38.3
%
    
-12.3
%
Loans
    
3,415,575
      
3,244,663
      
3,166,911
      
3,114,562
      
1,970,974
      
21.1
%
    
73.3
%
Less: allowance for loan losses
    
26,347
      
24,406
      
24,041
      
23,482
      
23,247
      
31.9
%
    
13.3
%
Net loans
    
3,389,228
      
3,220,257
      
3,142,870
      
3,091,080
      
1,947,727
      
21.0
%
    
74.0
%
Premises and equipment, net
    
85,936
      
81,175
      
81,577
      
85,550
      
66,392
      
23.5
%
    
29.4
%
Other real estate owned, net
    
14,639
      
15,334
      
16,442
      
13,812
      
6,370
      
-18.2
%
    
129.8
%
Interest receivable
    
12,729
      
13,920
      
13,069
      
11,218
      
7,012
      
-34.3
%
    
81.5
%
Mortgage servicing rights, at fair value
    
109,449
      
93,160
      
76,107
      
63,046
      
48,464
      
70.1
%
    
125.8
%
Goodwill
    
137,190
      
137,190
      
137,190
      
138,910
      
46,867
      
0.0
%
    
192.7
%
Core deposit and other intangibles, net
    
13,203
      
14,027
      
14,902
      
12,550
      
4,048
      
-23.6
%
    
226.2
%
Other assets
    
57,466
      
52,978
      
44,216
      
47,809
      
44,896
      
34.0
%
    
28.0
%
Total assets
  
$
4,923,249
    
$
4,725,416
    
$
4,727,713
    
$
4,581,943
    
$
3,346,570
      
16.8
%
    
47.1
%
LIABILITIES AND SHAREHOLDERS' EQUITY
                                                  
Liabilities:
                                                        
Demand deposits
                                                        
Noninterest-bearing
  
$
970,851
    
$
930,991
    
$
888,200
    
$
924,773
    
$
715,391
      
17.2
%
    
35.7
%
Interest-bearing
    
2,027,776
      
1,945,886
      
1,909,546
      
1,948,600
      
1,471,650
      
16.9
%
    
37.8
%
Savings deposits
    
181,127
      
182,265
      
178,320
      
177,949
      
143,951
      
-2.5
%
    
25.8
%
Customer time deposits
    
664,255
      
625,616
      
602,628
      
562,898
      
395,068
      
24.8
%
    
68.1
%
Brokered and internet time deposits
    
65,854
      
81,393
      
85,701
      
104,318
      
1,533
      
-76.6
%
    
4195.8
%
    Total time deposits
    
730,109
      
707,009
      
688,329
      
667,216
      
396,601
      
13.1
%
    
84.1
%
Total deposits
    
3,909,863
      
3,766,151
      
3,664,395
      
3,718,538
      
2,727,593
      
15.3
%
    
43.3
%
Securities sold under agreements to repurchase
    
15,996
      
14,724
      
14,293
      
14,556
      
16,343
      
34.7
%
    
-2.1
%
Short-term borrowings
    
187,522
      
138,707
      
190,000
      
52,766
      
—
      
141.2
%
    
100.0
%
Long-term debt
    
139,375
      
139,586
      
143,302
      
143,533
      
43,790
      
-0.6
%
    
218.3
%
Accrued expenses and other liabilities
    
39,534
      
55,173
      
118,994
      
80,022
      
49,327
      
-113.7
%
    
-19.9
%
Total liabilities
    
4,292,290
      
4,114,341
      
4,130,984
      
4,009,415
      
2,837,053
      
17.3
%
    
51.3
%
Shareholders' equity:
                                                        
Common stock, $1 par value
    
30,683
      
30,672
      
30,536
      
30,527
      
28,968
      
0.1
%
    
5.9
%
Additional paid-in capital
    
420,382
      
418,810
      
418,596
      
416,651
      
363,870
      
1.5
%
    
15.5
%
Retained earnings
    
187,250
      
167,094
      
147,449
      
123,779
      
115,391
      
48.4
%
    
62.3
%
Accumulated other comprehensive (loss) income, net
    
(7,356
)
    
(5,501
)
    
148
      
1,571
      
1,288
      
135.3
%
    
-671.1
%
Total shareholders' equity
    
630,959
      
611,075
      
596,729
      
572,528
      
509,517
      
13.1
%
    
23.8
%
Total liabilities and shareholders' equity
  
$
4,923,249
    
$
4,725,416
    
$
4,727,713
    
$
4,581,943
    
$
3,346,570
      
16.8
%
    
47.1
%
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 8
 
 
Average Balance, Average Yield Earned and Average Rate Paid
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except %)
  
                                     
                                     
                                     
   
Three Months Ended
    
Three Months Ended
  
   
June 30, 2018
    
March 31, 2018
  
   
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
    
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
  
Interest-earning assets:
                                    
Loans HFI(1)
  
$
3,289,045
    
$
50,193
      
6.12
%
  
$
3,192,490
    
$
46,564
      
5.92
%
Loans held for sale
    
362,571
      
4,382
      
4.85
%
    
434,573
      
4,173
      
3.89
%
Securities:
                                                
Taxable
    
484,035
      
3,134
      
2.60
%
    
457,826
      
2,852
      
2.53
%
Tax-exempt(1)
    
115,334
      
1,327
      
4.61
%
    
109,116
      
1,251
      
4.65
%
Total securities(1)
    
599,369
      
4,461
      
2.99
%
    
566,942
      
4,103
      
2.94
%
Federal funds sold
    
19,645
      
82
      
1.67
%
    
20,325
      
73
      
1.46
%
Interest-bearing deposits with other financial
    institutions
    
42,750
      
155
      
1.45
%
    
35,463
      
165
      
1.89
%
FHLB stock
    
12,530
      
162
      
5.19
%
    
11,806
      
140
      
4.81
%
Total interest earning assets(1)
    
4,325,910
      
59,435
      
5.51
%
    
4,261,599
      
55,218
      
5.25
%
Noninterest Earning Assets:
                                                
Cash and due from banks
    
48,184
                      
43,261
                  
Allowance for loan losses
    
(24,771
)
                    
(24,311
)
                
Other assets
    
414,668
                      
397,945
                  
Total noninterest earning assets
    
438,081
                      
416,895
                  
Total assets
  
$
4,763,991
                    
$
4,678,494
                  
Interest-bearing liabilities:
                                                
Interest bearing deposits:
                                                
    Customer time deposits
  
$
628,709
    
$
1,638
      
1.04
%
  
$
617,784
    
$
1,423
      
0.93
%
    Broker and internet time deposits
    
75,699
      
309
      
1.64
%
    
84,125
      
333
      
1.61
%
   Time deposits
    
704,408
      
1,947
      
1.11
%
    
701,909
      
1,756
      
1.01
%
Money market
    
1,005,081
      
2,311
      
0.92
%
    
975,831
      
1,890
      
0.79
%
Negotiable order of withdrawals
    
935,351
      
1,571
      
0.67
%
    
943,707
      
1,357
      
0.58
%
Savings deposits
    
181,461
      
69
      
0.15
%
    
179,925
      
68
      
0.15
%
Total interest bearing deposits
    
2,826,301
      
5,898
      
0.84
%
    
2,801,372
      
5,071
      
0.73
%
Other interest-bearing liabilities:
                                                
FHLB advances
    
253,131
      
1,171
      
1.86
%
    
211,735
      
917
      
1.76
%
Other borrowings
    
20,002
      
45
      
0.90
%
    
15,160
      
25
      
0.67
%
Long-term debt
    
30,930
      
412
      
5.34
%
    
30,930
      
406
      
5.32
%
Total other interest-bearing liabilities
    
304,063
      
1,628
      
2.15
%
    
257,825
      
1,348
      
2.12
%
Total Interest-bearing liabilities
    
3,130,364
      
7,526
      
0.96
%
    
3,059,197
      
6,419
      
0.85
%
Noninterest bearing liabilities:
                                                
Demand deposits
    
975,760
                      
927,213
                  
Other liabilities
    
41,917
                      
92,886
                  
Total noninterest-bearing liabilities
    
1,017,677
                      
1,020,099
                  
Total liabilities
    
4,148,041
                      
4,079,296
                  
Shareholders' equity
    
615,950
                      
599,198
                  
Total liabilities and shareholders' equity
  
$
4,763,991
                    
$
4,678,494
                  
Net interest income(1)
          
$
51,909
                    
$
48,799
          
Interest rate spread(1)
                    
4.55
%
                    
4.40
%
Net interest margin(1)
                    
4.81
%
                    
4.64
%
Average interest-earning assets to average interest-
bearing liabilities
      
138.2
%
                    
139.3
%
Tax equivalent adjustment
          
$
392
                    
$
370
          
Loan HFI yield components:
                                                
Contractual interest rate(1)
          
$
44,057
      
5.37
%
          
$
41,536
      
5.28
%
Origination and other loan fee income
      
3,742
      
0.46
%
            
2,867
      
0.37
%
Accretion on purchased loans
            
1,928
      
0.23
%
            
1,687
      
0.21
%
Nonaccrual interest collections
            
250
      
0.03
%
            
399
      
0.05
%
Syndication fee income
            
216
      
0.03
%
            
75
      
0.01
%
Total loan yield
          
$
50,193
      
6.12
%
          
$
46,564
      
5.92
%
                                                 
(1) Includes tax equivalent adjustment using combined marginal tax rate of 26.060% for 2018 and 39.225% for 2017
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 9
 
 
Average Balance, Average Yield Earned and Average Rate Paid
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except %)   
  
                                                       
                                                       
                                                       
   
Three Months Ended
    
Three Months Ended
    
Three Months Ended
  
   
December 31, 2017
    
September 30, 2017
    
June 30, 2017
  
   
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
    
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
    
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
  
Interest-earning assets:
                                                      
Loans HFI(1)
  
$
3,138,245
    
$
46,503
      
5.88
%
  
$
2,705,265
    
$
40,242
      
5.90
%
  
$
1,942,667
    
$
25,115
      
5.19
%
Loans held for sale
    
493,073
      
4,856
      
3.91
%
    
410,434
      
4,167
      
4.03
%
    
390,596
      
4,276
      
4.39
%
Securities:
                                                                        
Taxable
    
442,351
      
2,529
      
2.27
%
    
425,281
      
2,399
      
2.24
%
    
442,309
      
2,589
      
2.35
%
Tax-exempt(1)
    
108,000
      
1,506
      
5.53
%
    
117,429
      
1,617
      
5.46
%
    
122,553
      
1,758
      
5.75
%
Total securities(1)
    
550,351
      
4,035
      
2.91
%
    
542,710
      
4,016
      
2.94
%
    
564,862
      
4,347
      
3.09
%
Federal funds sold
    
18,227
      
14
      
0.30
%
    
39,363
      
76
      
0.77
%
    
8,456
      
23
      
1.09
%
Interest-bearing deposits with other financial institutions
    
42,693
      
177
      
1.64
%
    
108,185
      
448
      
1.64
%
    
68,460
      
158
      
0.93
%
FHLB stock
    
11,160
      
155
      
5.51
%
    
8,892
      
137
      
6.11
%
    
7,743
      
90
      
4.66
%
Total interest earning assets(1)
    
4,253,749
      
55,740
      
5.20
%
    
3,814,849
      
49,086
      
5.10
%
    
2,982,784
      
34,009
      
4.57
%
Noninterest Earning Assets:
                                                                        
Cash and due from banks
    
57,406
                      
55,485
                      
50,004
                  
Allowance for loan losses
    
(23,470
)
                    
(23,875
)
                    
(22,813
)
                
Other assets
    
376,984
                      
316,019
                      
214,808
                  
Total noninterest earning assets
    
410,920
                      
347,629
                      
241,999
                  
Total assets
  
$
4,664,669
                    
$
4,162,478
                    
$
3,224,783
                  
Interest-bearing liabilities:
                                                                        
Interest bearing deposits:
                                                                        
Customer time deposits
  
$
577,003
    
$
1,067
      
0.73
%
  
$
493,992
    
$
825
      
0.66
%
  
$
389,390
    
$
602
      
0.62
%
Broker and internet time deposits
    
95,480
      
380
      
1.58
%
    
95,207
      
300
      
1.25
%
    
1,522
      
2
      
0.53
%
   Time deposits
    
672,483
      
1,447
      
0.85
%
    
589,199
      
1,125
      
0.76
%
    
390,912
      
604
      
0.62
%
Money market
    
1,071,194
      
1,991
      
0.74
%
    
1,023,612
      
1,722
      
0.67
%
    
723,020
      
889
      
0.49
%
Negotiable order of withdrawals
    
832,030
      
1,146
      
0.55
%
    
788,238
      
1,040
      
0.52
%
    
711,099
      
759
      
0.43
%
Savings deposits
    
178,574
      
72
      
0.16
%
    
166,184
      
67
      
0.16
%
    
143,357
      
55
      
0.15
%
Total interest bearing deposits
    
2,754,281
      
4,656
      
0.67
%
    
2,567,233
      
3,954
      
0.61
%
    
1,968,388
      
2,307
      
0.47
%
Other interest-bearing liabilities:
                                                                        
FHLB advances
    
241,307
      
967
      
1.59
%
    
86,795
      
428
      
1.96
%
    
52,569
      
192
      
1.46
%
Other borrowings
    
15,883
      
11
      
0.27
%
    
15,828
      
9
      
0.23
%
    
17,315
      
12
      
0.28
%
Long-term debt
    
30,930
      
414
      
5.31
%
    
30,930
      
414
      
5.31
%
    
30,930
      
340
      
4.41
%
Total other interest-bearing liabilities
    
288,120
      
1,392
      
1.92
%
    
133,553
      
851
      
2.52
%
    
100,814
      
544
      
2.16
%
Total Interest-bearing liabilities
    
3,042,401
      
6,048
      
0.79
%
    
2,700,786
      
4,805
      
0.71
%
    
2,069,202
      
2,851
      
0.55
%
Noninterest bearing liabilities:
                                                                        
Demand deposits
    
964,030
                      
871,973
                      
724,419
                  
Other liabilities
    
79,382
                      
39,310
                      
32,357
                  
Total noninterest-bearing liabilities
    
1,043,412
                      
911,283
                      
756,776
                  
Total liabilities
    
4,085,813
                      
3,612,069
                      
2,825,978
                  
Shareholders' equity
    
578,856
                      
550,409
                      
398,805
                  
Total liabilities and shareholders' equity
  
$
4,664,669
                    
$
4,162,478
                    
$
3,224,783
                  
Net interest income(1)
          
$
49,692
                    
$
44,281
                    
$
31,158
          
Interest rate spread(1)
                    
4.41
%
                    
4.40
%
                    
4.10
%
Net interest margin(1)
                    
4.63
%
                    
4.61
%
                    
4.19
%
Average interest-earning assets to average interest-bearing liabilities
                    
139.8
%
                    
141.2
%
                    
144.2
%
Tax equivalent adjustment
          
$
709
                    
$
671
                    
$
731
          
Loan HFI yield components:
                                                                        
Contractual interest rate(1)
          
$
41,026
      
5.20
%
          
$
34,634
      
5.08
%
          
$
22,418
      
4.63
%
Origination and other loan fee income
            
2,084
      
0.26
%
            
2,610
      
0.38
%
            
1,447
      
0.30
%
Accretion on purchased loans
            
1,935
      
0.24
%
            
1,554
      
0.23
%
            
848
      
0.17
%
Nonaccrual interest collections
            
1,216
      
0.15
%
            
1,116
      
0.16
%
            
315
      
0.07
%
    Syndication fee income
            
242
      
0.03
%
            
328
      
0.05
%
            
87
      
0.02
%
Total loan yield
          
$
46,503
      
5.88
%
          
$
40,242
      
5.90
%
          
$
25,115
      
5.19
%
                                                                         
(1) Includes tax equivalent adjustment using combined marginal tax rate of 39.225% for 2017
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 10
 
 
Average Balance, Average Yield Earned and Average Rate Paid
  
For the Periods Ended
  
(Unaudited)
  
(In Thousands, Except %)
  
                                     
                                     
                                     
   
For the six months ended
    
For the six months ended
  
   
June 30, 2018
    
June 30, 2017
  
   
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
    
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
  
Interest-earning assets:
                                    
Loans HFI(1)
  
$
3,241,657
    
$
96,757
      
6.02
%
  
$
1,906,510
    
$
50,023
      
5.29
%
Loans held for sale
    
398,373
      
8,555
      
4.33
%
    
386,288
      
8,415
      
4.39
%
Securities:
                                                
Taxable
    
470,660
      
5,986
      
2.56
%
    
449,432
      
5,156
      
2.31
%
Tax-exempt(1)
    
112,286
      
2,578
      
4.63
%
    
120,098
      
3,469
      
5.82
%
Total securities(1)
    
582,946
      
8,564
      
2.96
%
    
569,530
      
8,625
      
3.05
%
Federal funds sold
    
19,983
      
155
      
1.56
%
    
11,375
      
50
      
0.89
%
Interest-bearing deposits with other financial institutions
    
39,126
      
320
      
1.65
%
    
75,680
      
329
      
0.88
%
FHLB stock
    
12,170
      
302
      
5.00
%
    
7,743
      
168
      
4.38
%
Total interest earning assets(1)
    
4,294,255
      
114,653
      
5.38
%
    
2,957,126
      
67,610
      
4.61
%
Noninterest Earning Assets:
                                                
Cash and due from banks
    
45,736
                      
50,805
                  
Allowance for loan losses
    
(24,544
)
                    
(22,387
)
                
Other assets
    
404,485
                      
213,067
                  
Total noninterest earning assets
    
425,677
                      
241,485
                  
Total assets
  
$
4,719,932
                    
$
3,198,611
                  
Interest-bearing liabilities:
                                                
Interest bearing deposits:
                                                
Customer time deposits
    
623,276
      
3,061
      
0.99
%
    
389,032
      
1,184
      
0.61
%
Broker and internet time deposits
    
79,886
      
642
      
1.62
%
    
1,532
      
3
      
0.39
%
   Time deposits
    
703,162
      
3,703
      
1.06
%
    
390,564
      
1,187
      
0.61
%
Money market
  
$
990,537
    
$
4,201
      
0.86
%
  
$
726,458
    
$
1,674
      
0.46
%
Negotiable order of withdrawals
    
939,506
      
2,928
      
0.63
%
    
715,006
      
1,454
      
0.41
%
Savings deposits
    
180,697
      
137
      
0.15
%
    
140,011
      
106
      
0.15
%
Total interest bearing deposits
    
2,813,902
      
10,969
      
0.79
%
    
1,972,039
      
4,421
      
0.45
%
Other interest-bearing liabilities:
                                                
FHLB advances
    
232,547
      
2,088
      
1.81
%
    
56,547
      
383
      
1.37
%
Other borrowings
    
17,595
      
70
      
0.80
%
    
18,096
      
22
      
0.25
%
Long-term debt
    
30,930
      
818
      
5.33
%
    
30,930
      
663
      
4.32
%
Total other interest-bearing liabilities
    
281,072
      
2,976
      
2.14
%
    
105,573
      
1,068
      
2.04
%
Total Interest-bearing liabilities
  
$
3,094,974
    
$
13,945
      
0.91
%
  
$
2,077,612
    
$
5,489
      
0.53
%
Noninterest bearing liabilities:
                                                
Demand deposits
  
$
952,140
                    
$
716,560
                  
Other liabilities
    
65,110
                      
38,265
                  
Total noninterest-bearing liabilities
    
1,017,250
                      
754,825
                  
Total liabilities
    
4,112,224
                      
2,832,437
                  
Shareholders' equity
    
607,708
                      
366,174
                  
Total liabilities and shareholders' equity
  
$
4,719,932
                    
$
3,198,611
                  
Net interest income(1)
          
$
100,708
                    
$
62,121
          
Interest rate spread(1)
                    
4.47
%
                    
4.08
%
Net interest margin(1)
                    
4.73
%
                    
4.24
%
Average interest-earning assets to average interesting-bearing liabilities
                    
138.7
%
                    
142.3
%
Tax equivalent adjustment
          
$
762
                    
$
1,443
          
Loan HFI yield components:
                                                
    Contractual interest rate(1)
          
$
85,593
      
5.33
%
          
$
43,257
      
4.57
%
    Origination and other loan fee income
            
6,609
      
0.41
%
            
3,384
      
0.36
%
    Accretion on purchased loans
            
3,615
      
0.22
%
            
2,008
      
0.21
%
    Nonaccrual interest collections
            
649
      
0.04
%
            
934
      
0.10
%
    Syndicated fee income
            
291
      
0.02
%
            
440
      
0.05
%
Total loan yield
          
$
96,757
      
6.02
%
          
$
50,023
      
5.29
%
                                                 
(1) Includes tax equivalent adjustment using combined marginal tax rate of 26.060% for 2018 and 39.225% for 2017
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 11
 
 
Loans and Deposits by Market
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands)
  
                           
                           
 
2018
  
2017
  
 
Second Quarter
    
First Quarter
  
 
  
Fourth Quarter 
    
Third Quarter
    
Second Quarter
  
Loans by market
                              
Metropolitan
$
2,210,419
      
$
2,076,465
    
$
1,984,826
      
$
1,932,934
      
$
1,461,129
  
Community
  
771,358
        
764,198
      
780,079
        
779,810
        
476,320
  
Specialty lending and other
  
433,798
        
404,000
      
402,006
        
401,818
        
33,525
  
     Total
$
3,415,575
      
$
3,244,663
    
$
3,166,911
      
$
3,114,562
      
$
1,970,974
  
Deposits by market
                                            
Metropolitan
  
2,112,941
        
2,079,983
      
2,091,927
        
2,059,401
        
1,598,574
  
Community
  
1,392,649
        
1,409,612
      
1,291,922
        
1,311,120
        
1,085,345
  
Mortgage and other(1)
  
404,273
        
276,556
      
280,546
        
348,017
        
43,674
  
     Total
$
3,909,863
      
$
3,766,151
    
$
3,664,395
      
$
3,718,538
      
$
2,727,593
  
                                             
(1) Includes deposits related to escrow balances from mortgage servicing portfolio and wholesale and other deposits
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 12
 
 
Segment Data
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except %)
  
                               
   
2018
    
2017
  
   
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Banking segment
                              
Net interest income
  
$
51,669
    
$
48,771
    
$
49,422
    
$
43,741
    
$
29,999
  
Provision for loan losses
    
1,063
      
317
      
956
      
(784
)
    
(865
)
Mortgage banking income retail footprint
    
6,894
      
6,108
      
6,455
      
7,498
      
7,118
  
Other noninterest income
    
7,164
      
6,804
      
6,737
      
6,486
      
5,418
  
Other noninterest mortgage banking expenses
    
5,649
      
5,097
      
5,294
      
6,216
      
5,368
  
Merger and conversion expense
    
-
      
1,193
      
2,069
      
15,711
      
767
  
Other noninterest expense
    
31,072
      
30,951
      
30,060
      
27,540
      
23,199
  
Pre-tax income after allocations
  
$
27,943
    
$
24,125
    
$
24,235
    
$
9,042
    
$
14,066
  
Total assets
    
4,443,490
      
4,220,543
      
4,130,349
      
4,056,901
      
2,878,437
  
Intracompany funding income included in net interest income
    
4,517
      
4,508
      
5,276
      
4,274
      
3,831
  
Core efficiency ratio*
    
51.7
%
    
55.2
%
    
55.5
%
    
56.2
%
    
60.4
%
Mortgage segment
                                        
Net interest income
  
$
(152
)
  
$
(342
)
  
$
(439
)
  
$
(131
)
  
$
428
  
Provision for loan losses
    
-
      
-
      
-
      
-
      
-
  
Noninterest income
    
21,650
      
20,363
      
23,825
      
23,836
      
23,121
  
Noninterest expense
    
19,582
      
18,910
      
20,117
      
19,757
      
19,802
  
Direct contribution
  
$
1,916
    
$
1,111
    
$
3,269
    
$
3,948
    
$
3,747
  
Total assets
    
479,759
      
504,873
      
597,364
      
525,042
      
468,133
  
Intracompany funding expense included in net interest income
    
4,517
      
4,508
      
5,276
      
4,274
      
3,831
  
Core efficiency ratio*
    
83.6
%
    
85.7
%
    
83.8
%
    
79.9
%
    
78.3
%
Interest rate lock commitments
                                        
      volume during the period
                                        
      Consumer direct
  
$
785,965
    
$
719,730
    
$
677,449
    
$
786,034
    
$
780,179
  
      Third party origination (TPO)
    
239,995
      
245,679
      
189,299
      
269,473
      
296,034
  
      Retail (total)
    
359,284
      
329,720
      
268,720
      
325,295
      
379,530
  
      Correspondent
    
590,743
      
833,857
      
678,346
      
619,953
      
701,846
  
               Total
  
$
1,975,987
    
$
2,128,986
    
$
1,813,814
    
$
2,000,755
    
$
2,157,589
  
Interest rate lock commitments
                                        
      pipeline (period end)
                                        
      Consumer direct
  
$
291,874
    
$
246,650
    
$
246,982
    
$
261,617
    
$
222,504
  
      Third party origination (TPO)
    
92,526
      
107,365
      
63,034
      
93,353
      
88,938
  
      Retail (total)
    
117,912
      
124,538
      
72,939
      
101,196
      
119,158
  
      Correspondent
    
95,256
      
214,424
      
121,201
      
84,506
      
115,919
  
               Total
  
$
597,568
    
$
692,977
    
$
504,156
    
$
540,672
    
$
546,519
  
Mortgage sales
                                        
Consumer direct
  
$
483,434
    
$
592,873
    
$
567,529
    
$
485,931
    
$
498,997
  
Third party origination (TPO)
    
205,050
      
160,903
      
216,866
      
194,164
      
209,185
  
Retail
    
79,497
      
64,925
      
68,695
      
71,358
      
66,640
  
Retail footprint
    
210,958
      
169,778
      
205,228
      
222,786
      
200,157
  
Reverse
    
12,252
      
14,779
      
20,587
      
17,520
      
17,870
  
Correspondent
    
715,733
      
679,561
      
606,526
      
646,003
      
542,410
  
       Total
  
$
1,706,924
    
$
1,682,819
    
$
1,685,431
    
$
1,637,762
    
$
1,535,259
  
Gains and fees from origination and sale of mortgage loans held for sale
  
$
27,017
    
$
23,481
    
$
29,577
    
$
29,570
    
$
23,920
  
Net change in fair value of loans held for sale, derivatives, and other
    
(2,299
)
    
(90
)
    
(3,317
)
    
(806
)
    
5,412
  
Change in fair value of mortgage servicing rights, net of hedging
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
    
(1,840
)
Mortgage servicing income
    
5,604
      
4,793
      
4,210
      
3,463
      
2,747
  
Total mortgage banking
                                        
     income
  
$
28,544
    
$
26,471
    
$
30,280
    
$
31,334
    
$
30,239
  
Mortgage sale margin (a)
    
1.58
%
    
1.40
%
    
1.75
%
    
1.81
%
    
1.56
%
                                         
*These measures are considered non-GAAP financial measures. See “GAAP Reconciliation and Use of Non-GAAP financial measures” and the corresponding financial tables below for a reconciliation and discussion of these non-GAAP measures.
  
(a) Calculated by dividing gains from sale of mortgage loans held for sale by total mortgage sales
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 13
 
 
Loan Portfolio and Asset Quality
  
For the Quarters Ended     
  
(Unaudited)
  
(In Thousands, Except %)
  
                                                             
   
2018
    
2017
  
   
June 30,
2018
    
% of
Total
    
March 31,
2018
    
% of
Total
    
December 31,
2017
    
% of
Total
    
September 30,
2017
    
% of
Total
    
June 30,
2017
    
% of
Total
  
Loan portfolio
                                                            
Commercial and industrial
  
$
813,041
    
24
%
  
$
765,115
    
24
%
  
$
715,075
    
23
%
  
$
731,588
    
23
%
  
$
423,704
    
21
%
Construction
    
522,446
    
15
%
    
466,495
    
14
%
    
448,326
    
14
%
    
435,414
    
14
%
    
282,727
    
14
%
Residential real estate:
                                                                      
1-to-4 family mortgage
    
528,022
    
15
%
    
491,725
    
15
%
    
480,989
    
15
%
    
459,467
    
15
%
    
307,152
    
16
%
Residential line of credit
    
208,668
    
6
%
    
197,740
    
6
%
    
194,986
    
6
%
    
188,392
    
6
%
    
177,783
    
9
%
Multi-family mortgage
    
57,344
    
2
%
    
63,295
    
2
%
    
62,374
    
2
%
    
74,004
    
2
%
    
52,810
    
3
%
Commercial real estate:
                                                                      
Owner occupied
    
470,789
    
15
%
    
499,331
    
16
%
    
495,872
    
16
%
    
473,395
    
15
%
    
371,462
    
19
%
Non-owner occupied
    
600,252
    
17
%
    
562,128
    
17
%
    
551,588
    
17
%
    
521,416
    
17
%
    
273,285
    
14
%
Consumer and other
    
215,013
    
6
%
    
198,834
    
6
%
    
217,701
    
7
%
    
230,886
    
7
%
    
82,051
    
4
%
       Total loans held for investment
  
$
3,415,575
    
100
%
  
$
3,244,663
    
100
%
  
$
3,166,911
    
100
%
  
$
3,114,562
    
100
%
  
$
1,970,974
    
100
%
                                                                       
Allowance for loan losses rollforward summary
                                                                      
Allowance for loan losses at the beginning of the period
  
$
24,406
          
$
24,041
          
$
23,482
          
$
23,247
          
$
22,898
        
Charge-off's
    
(421
)
          
(661
)
          
(719
)
          
(575
)
          
(791
)
      
Recoveries
    
1,299
            
709
            
322
            
1,594
            
2,005
        
Provision for loan losses
    
1,063
            
317
            
956
            
(784
)
          
(865
)
      
Allowance for loan losses at the end of the period
  
$
26,347
          
$
24,406
          
$
24,041
          
$
23,482
          
$
23,247
        
                                                                       
Allowance for loan losses as a percentage of total loans held for investment
    
0.77
%
          
0.75
%
          
0.76
%
          
0.75
%
          
1.18
%
      
                                                                       
Charge-offs
                                                                      
Commercial and Industrial
  
$
(5
)
        
$
(220
)
        
$
(63
)
        
$
(221
)
        
$
(131
)
      
Construction
    
(15
)
          
-
            
(21
)
          
-
            
-
        
Residential real estate:
                                                                      
     1-to-4 family mortgage
    
(5
)
          
(60
)
          
(45
)
          
(32
)
          
(35
)
      
     Residential line of credit
    
-
            
(20
)
          
(72
)
          
(9
)
          
(195
)
      
     Multi-family mortgage
    
-
            
-
            
-
            
-
            
-
        
Commercial real estate:
                                                                      
     Owner occupied
    
-
            
-
            
(224
)
          
(64
)
          
-
        
     Non-owner occupied
    
-
            
-
            
-
            
-
            
-
        
Consumer and other
    
(396
)
          
(361
)
          
(294
)
          
(249
)
          
(430
)
      
          Total Charge Offs:
    
(421
)
          
(661
)
          
(719
)
          
(575
)
          
(791
)
      
Recoveries
                                                                      
Commercial and Industrial
    
135
            
135
            
100
            
200
            
1,511
        
Construction
    
862
            
252
            
4
            
1,022
            
29
        
Residential real estate:
                                                                      
     1-to-4 family mortgage
    
43
            
15
            
33
            
86
            
14
        
     Residential line of credit
    
44
            
27
            
27
            
157
            
155
        
     Multi-family mortgage
    
-
            
-
            
-
            
-
            
-
        
Commercial real estate:
                                                                      
     Owner occupied
    
108
            
23
            
22
            
24
            
11
        
     Non-owner occupied
    
-
            
51
            
4
            
1
            
2
        
Consumer and other
    
107
            
206
            
132
            
104
            
283
        
          Total Recoveries:
    
1,299
            
709
            
322
            
1,594
            
2,005
        
                 Net recoveries (charge-off's)
  
$
878
          
$
48
          
$
(397
)
        
$
1,019
          
$
1,214
        
                                                                       
Net (recoveries) charge-off's as a percentage of average total loans
    
(0.11
%)
          
(0.01
%)
          
0.05
%
          
(0.15
%)
          
(0.25
%)
      
                                                                       
Loans classified as substandard
  
$
58,331
          
$
52,835
          
$
55,488
          
$
59,588
          
$
37,858
        
Purchased credit impaired loans
  
$
77,630
          
$
85,752
          
$
88,835
          
$
92,455
          
$
15,733
        
                                                                       
Nonperforming assets(b)
                                                                      
Past due 90 days or more and accruing interest
  
$
1,639
          
$
2,689
          
$
1,996
          
$
1,238
          
$
1,619
        
Nonaccrual
    
7,174
            
6,954
            
8,101
            
7,749
            
8,327
        
Total nonperforming loans held for investment
  
$
8,813
          
$
9,643
          
$
10,097
          
$
8,987
          
$
9,946
        
Loans held for sale(a)
    
—
            
501
            
43,035
            
13,575
            
-
        
Other real estate owned- foreclosed
    
9,258
            
9,755
            
10,547
            
10,205
            
6,370
        
Other real estate owned- acquired excess facilities
    
5,381
            
5,579
            
5,895
            
3,607
            
-
        
Other assets
    
2,341
            
2,342
            
2,369
            
3,967
            
3,154
        
Total nonperforming assets
  
$
25,793
          
$
27,820
          
$
71,943
          
$
40,341
          
$
19,470
        
Total nonperforming loans as a percentage of
   loans held for investment
    
0.26
%
          
0.30
%
          
0.32
%
          
0.29
%
          
0.50
%
      
Total nonperforming assets as a percentage of
   total assets
    
0.52
%
          
0.59
%
          
1.52
%
          
0.88
%
          
0.58
%
      
Total accruing loans over 90 days delinquent as
   a percentage of total assets
    
0.03
%
          
0.06
%
          
0.04
%
          
0.03
%
          
0.05
%
      
Loans restructured as troubled debt
   restructurings
  
$
8,603
          
$
8,675
          
$
8,604
          
$
8,095
          
$
8,488
        
Troubled debt restructurings as a percentage of
   loans held for investment
    
0.25
%
          
0.27
%
          
0.27
%
          
0.26
%
          
0.43
%
      
                                                                       
(a) Includes right to repurchase government guaranteed GNMA mortgage loans previously sold and internally serviced for the fourth and third quarters of 2017. The Bank has not exercised and does not expect to exercise the repurchase option. In the first quarter of 2018 and prospectively, the Bank has elected to discontinue this practice as the perceived benefit has decreased with rising rates.
  
(b) Nonperforming assets excludes purchase credit impaired loans
                                    
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 14
 
 
Preliminary Capital Ratios
  
(Unaudited)
  
(In Thousands, Except %)
  
             
             
Computation of Tangible Common Equity to Tangible Assets:
  
June 30, 2018
    
December 31, 2017
  
             
Total Equity
  
$
630,959
    
$
596,729
  
Less:
                
    Goodwill
    
137,190
      
137,190
  
    Other intangibles
    
13,203
      
14,902
  
Tangible Common Equity
  
$
480,566
    
$
444,637
  
                 
Total Assets
  
$
4,923,249
    
$
4,727,713
  
Less:
                
    Goodwill
    
137,190
      
137,190
  
    Other intangibles
    
13,203
      
14,902
  
Tangible Assets
  
$
4,772,856
    
$
4,575,621
  
                 
Total Common Equity to Total Assets
    
12.8
%
    
12.6
%
Tangible Common Equity to Tangible Assets*
    
10.1
%
    
9.7
%
 
   
June 30, 2018
    
December 31, 2017
  
Preliminary Regulatory Capital:
            
    Common Equity Tier 1 Capital
  
$
467,798
    
$
442,381
  
    Tier 1 Capital
    
497,798
      
472,381
  
    Total Capital
    
524,145
      
496,422
  
                 
Preliminary Regulatory Capital Ratios:
                
    Common Equity Tier 1
    
10.7
%
    
10.7
%
    Tier 1 Risk-Based
    
11.4
%
    
11.4
%
    Total Risk-Based
    
12.0
%
    
12.0
%
    Tier 1 Leverage
    
10.9
%
    
10.5
%
                 
                 
*These measures are considered non-GAAP financial measures. See “GAAP Reconciliation and Use of Non-GAAP financial measures” and the corresponding financial tables below for a reconciliation and discussion of these non-GAAP measures.
  
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 15
 
 
Investment Portfolio
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except %)
  
                                                             
                                                             
   
2018
    
2017
  
Securities (at fair value)
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Available for sale debt securities
                                                        
U.S. government agency securities
  
$
983
      
0
%
  
$
982
      
0
%
  
$
986
      
0
%
  
$
992
      
0
%
  
$
990
      
0
%
Mortgage-backed securities - residential
    
477,974
      
78
%
    
472,930
      
79
%
    
418,781
      
77
%
    
418,794
      
77
%
    
410,708
      
74
%
Municipals, tax exempt
    
122,247
      
20
%
    
113,158
      
19
%
    
109,251
      
20
%
    
106,950
      
20
%
    
122,698
      
22
%
Treasury securities
    
7,156
      
1
%
    
7,178
      
1
%
    
7,252
      
1
%
    
8,819
      
2
%
    
10,310
      
2
%
Total available for sale debt securities
    
608,360
      
99
%
    
594,248
      
99
%
    
536,270
      
99
%
    
535,555
      
99
%
    
544,706
      
98
%
Equity securities
    
3,075
      
1
%
    
3,099
      
1
%
    
7,722
      
1
%
    
7,727
      
1
%
    
8,651
      
2
%
Total securities
  
$
611,435
      
100
%
  
$
597,347
      
100
%
  
$
543,992
      
100
%
  
$
543,282
      
100
%
  
$
553,357
      
100
%
                                                                                 
Securities to total assets
    
12.4
%
            
12.6
%
            
11.5
%
            
11.9
%
            
16.5
%
        

 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 16
 
 
Non-GAAP Reconciliation
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
                               
   
2018
    
2017
  
Net income, adjusted
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Pre-tax net income
  
$
29,859
    
$
25,236
    
$
27,504
    
$
12,990
    
$
17,813
  
Plus merger and offering-related expenses
    
671
      
1,193
      
2,069
      
15,711
      
767
  
Less significant gains (losses) on securities, other real estate
                  
owned and other items
    
-
      
-
      
-
      
-
      
-
  
Pre-tax net income, adjusted
  
$
30,530
    
$
26,429
    
$
29,573
    
$
28,701
    
$
18,580
  
Income tax expense, adjusted
    
7,794
      
5,793
      
11,308
      
10,765
      
6,875
  
Net income, adjusted
  
$
22,736
    
$
20,636
    
$
18,265
    
$
17,936
    
$
11,705
  
Weighted average common shares outstanding fully diluted
    
31,294,044
      
31,421,830
      
31,166,080
      
30,604,537
      
26,301,458
  
                                         
Diluted earnings per share, adjusted
                                        
Diluted earnings per common share
  
$
0.70
    
$
0.63
    
$
0.74
    
$
0.27
    
$
0.43
  
Plus merger and offering-related expenses
    
0.02
      
0.04
      
0.07
      
0.51
      
0.03
  
Less significant gains (losses) on securities, other real estate
                  
owned and other items
    
-
      
-
      
-
      
-
      
-
  
Less tax effect
    
-
      
(0.01
)
    
(0.22
)
    
(0.20
)
    
(0.01
)
Diluted earnings per share, adjusted
  
$
0.72
    
$
0.66
    
$
0.59
    
$
0.58
    
$
0.45
  
                                         
Previously, the Company adjusted reported net income for the following items: (i) change in fair value in MSRs, net, and (ii) Gains (losses) from securities, OREO, MSRs, other assets, and other items. Beginning with the first quarter of 2018, the Company is only adjusting reported earnings for (i) merger and conversion costs, (ii) impact of tax reform (fourth quarter 2017); and (iii) other significant items impacting comparability between quarterly and annual periods including costs related to the secondary stock offering completed by our primary shareholder during the second quarter of 2018. Prior periods have been adjusted to conform to this presentation, see below for previously reported amounts:
  
 
                   
   
2017
  
Previously reported core results*
  
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Core net income
  
$
18,677
    
$
18,516
    
$
12,919
  
Core diluted earnings per share
  
$
0.60
    
$
0.60
    
$
0.49
  
                         
* Non-GAAP reconciliations of previously reported core results are included in previously issued earnings release supplements.
  
 
 
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 17
 
 
Non-GAAP Reconciliation
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
                               
   
2018
    
2017
  
Core efficiency ratio (tax-equivalent basis)
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Total noninterest expense
  
$
56,303
    
$
56,151
    
$
57,540
    
$
69,224
    
$
49,136
  
Less merger and offering-related expenses
    
671
      
1,193
      
2,069
      
15,711
      
767
  
Less loss on sale of mortgage servicing rights
    
-
      
-
      
-
      
-
      
249
  
Core noninterest expense
  
$
55,632
    
$
54,958
    
$
55,471
    
$
53,513
    
$
48,120
  
Net interest income (tax-equivalent basis)
    
51,909
      
48,799
      
49,692
      
44,281
      
31,158
  
Total noninterest income
    
35,708
      
33,275
      
37,017
      
37,820
      
35,657
  
Less change in fair value on mortgage servicing rights
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
    
(1,840
)
Less (loss) gain on sales or write-downs of other real estate owned and other assets
    
(132
)
    
(118
)
    
(386
)
    
(314
)
    
62
  
 Less (loss) gain from securities, net
    
(97
)
    
(47
)
    
1
      
254
      
29
  
Core noninterest income
    
37,715
      
35,153
      
37,592
      
38,773
      
37,406
  
Core revenue
  
$
89,624
    
$
83,952
    
$
87,284
    
$
83,054
    
$
68,564
  
Efficiency ratio (GAAP)(1)
    
64.5
%
    
68.7
%
    
66.9
%
    
85.0
%
    
74.4
%
Core efficiency ratio (tax-equivalent basis)
    
62.1
%
    
65.5
%
    
63.6
%
    
64.4
%
    
70.2
%
                                         
(1) Efficiency ratio (GAAP) is calculated by dividing reported noninterest expense by reported total revenue.
  
                                         
 
   
2018
    
2017
  
Banking segment core efficiency ratio (tax equivalent)
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Core consolidated noninterest expense
  
$
55,632
    
$
54,958
    
$
55,471
    
$
53,513
    
$
48,120
  
Less Mortgage segment noninterest expense
    
19,582
      
18,910
      
20,117
      
19,757
      
19,802
  
Add loss on sale of mortgage servicing rights
    
-
      
-
      
-
      
-
      
249
  
Adjusted Banking segment noninterest expense
    
36,050
      
36,048
      
35,354
      
33,756
      
28,567
  
Adjusted core revenue
    
89,624
      
83,952
      
87,284
      
83,054
      
68,564
  
Less Mortgage segment noninterest income
    
21,650
      
20,363
      
23,825
      
23,836
      
23,121
  
Less change in fair value on mortgage servicing rights
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
    
(1,840
)
Adjusted Banking segment total revenue
  
$
69,752
    
$
65,302
    
$
63,649
    
$
60,111
    
$
47,283
  
Banking segment core efficiency ratio (tax-equivalent basis)
    
51.7
%
    
55.2
%
    
55.5
%
    
56.2
%
    
60.4
%
                                         
Mortgage segment core efficiency ratio (tax equivalent)
                          
Consolidated Noninterest expense
  
$
56,303
    
$
56,151
    
$
57,540
    
$
69,224
    
$
49,136
  
Less loss on sale of mortgage servicing rights
    
-
      
-
      
-
      
-
      
249
  
Less Banking segment noninterest expense
    
36,721
      
37,241
      
37,423
      
49,467
      
29,334
  
Adjusted Mortgage segment noninterest expense
  
$
19,582
    
$
18,910
    
$
20,117
    
$
19,757
    
$
19,553
  
Total noninterest income
    
35,708
      
33,275
      
37,017
      
37,820
      
35,657
  
Less Banking segment noninterest income
    
14,058
      
12,912
      
13,192
      
13,984
      
12,536
  
Less change in fair value on mortgage servicing rights
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
    
(1,840
)
Adjusted Mortgage segment total revenue
  
$
23,428
    
$
22,076
    
$
24,015
    
$
24,729
    
$
24,961
  
Mortgage segment core efficiency ratio (tax-equivalent basis)
    
83.6
%
    
85.7
%
    
83.8
%
    
79.9
%
    
78.3
%
                                         
 
   
2018
    
2017
  
Mortgage contribution, adjusted
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Mortgage segment pre-tax net contribution
  
$
1,916
    
$
1,111
    
$
3,269
    
$
3,948
    
$
3,747
  
Retail footprint:
                                        
Mortgage banking income
    
6,894
      
6,108
      
6,455
      
7,498
      
7,118
  
Mortgage banking expenses
    
5,649
      
5,097
      
5,294
      
6,216
      
5,368
  
Retail footprint pre-tax net contribution
    
1,245
      
1,011
      
1,161
      
1,282
      
1,750
  
Total mortgage banking pre-tax net contribution
  
$
3,161
    
$
2,122
    
$
4,430
    
$
5,230
    
$
5,497
  
Pre-tax net income
    
29,859
      
25,236
      
27,504
      
12,990
      
17,813
  
% total mortgage banking pre-tax net contribution
    
10.6
%
    
8.4
%
    
16.1
%
    
40.3
%
    
30.9
%
Pre-tax net income, adjusted
    
30,530
      
26,429
      
29,573
      
28,701
      
18,580
  
% total mortgage banking pre-tax net contribution, adjusted
    
10.4
%
    
8.0
%
    
15.0
%
    
18.2
%
    
29.6
%
                                         
                                         
 
   
2018
    
2017
  
Tangible assets and equity
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Tangible Assets
                              
Total assets
  
$
4,923,249
    
$
4,725,416
    
$
4,727,713
    
$
4,581,943
    
$
3,346,570
  
Less goodwill
    
137,190
      
137,190
      
137,190
      
138,910
      
46,867
  
Less intangibles, net
    
13,203
      
14,027
      
14,902
      
12,550
      
4,048
  
Tangible assets
  
$
4,772,856
    
$
4,574,199
    
$
4,575,621
    
$
4,430,483
    
$
3,295,655
  
Tangible Common Equity
                                        
Total shareholders' equity
  
$
630,959
    
$
611,075
    
$
596,729
    
$
572,528
    
$
509,517
  
Less goodwill
    
137,190
      
137,190
      
137,190
      
138,910
      
46,867
  
Less intangibles, net
    
13,203
      
14,027
      
14,902
      
12,550
      
4,048
  
Tangible common equity
  
$
480,566
    
$
459,819
    
$
444,637
    
$
421,068
    
$
458,602
  
Common shares outstanding
    
30,683,353
      
30,671,763
      
30,535,517
      
30,526,592
      
28,968,160
  
Book value per common share
  
$
20.56
    
$
19.92
    
$
19.54
    
$
18.76
    
$
17.59
  
Tangible book value per common share
  
$
15.66
    
$
14.99
    
$
14.56
    
$
13.79
    
$
15.83
  
Total shareholders' equity to total assets
    
12.8
%
    
12.9
%
    
12.6
%
    
12.5
%
    
15.2
%
Tangible common equity to tangible assets
    
10.1
%
    
10.2
%
    
9.7
%
    
9.5
%
    
13.9
%
Net income
  
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
    
$
11,239
  
Return on tangible common equity
    
18.4
%
    
17.4
%
    
20.5
%
    
7.9
%
    
9.8
%
                                         
                                         
 
   
2018
    
2017
  
Return on average tangible common equity
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Total average shareholders' equity
  
$
615,950
    
$
599,198
    
$
578,856
    
$
550,409
    
$
398,805
  
Less average goodwill
    
137,190
      
137,190
      
137,190
      
108,220
      
46,839
  
Less average intangibles, net
    
13,615
      
14,465
      
13,726
      
9,983
      
4,124
  
Average tangible common equity
  
$
465,145
    
$
447,544
    
$
427,940
    
$
432,206
    
$
347,842
  
Net income
  
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
    
$
11,239
  
Return on average tangible common equity
    
19.0
%
    
17.9
%
    
21.3
%
    
7.7
%
    
13.0
%
 
 
 
FB Financial Corporation
Second Quarter 2018
Supplemental Financial Information
Page 18
 
 
Non-GAAP Reconciliation
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
                               
   
2018
    
2017
  
Return on average tangible common equity, adjusted
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Average tangible common equity
    
465,145
      
447,544
      
427,940
      
432,206
      
347,842
  
Net income, adjusted
  
$
22,736
    
$
20,636
    
$
18,265
    
$
17,936
    
$
11,705
  
Return on average tangible common equity, adjusted
    
19.6
%
    
18.7
%
    
16.9
%
    
16.5
%
    
13.5
%
                                         
 
    2018     2017  
Return on average assets and equity, adjusted
  
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Net income
  
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
    
$
11,239
  
Average assets
    
4,763,991
      
4,678,494
      
4,664,669
      
4,162,478
      
3,224,783
  
Average equity
    
615,950
      
599,198
      
578,856
      
550,409
      
398,805
  
Return on average assets
    
1.86
%
    
1.71
%
    
1.96
%
    
0.80
%
    
1.40
%
Return on average equity
    
14.4
%
    
13.4
%
    
15.8
%
    
6.1
%
    
11.3
%
Net income, adjusted
    
22,736
      
20,636
      
18,265
      
17,936
      
11,705
  
Return on average assets, adjusted
    
1.91
%
    
1.79
%
    
1.55
%
    
1.71
%
    
1.46
%
Return on average equity, adjusted
    
14.8
%
    
14.0
%
    
12.5
%
    
12.9
%
    
11.8
%
                                         
 
   
2017
  
Previously reported core metrics*
  
Fourth Quarter
    
Third Quarter
    
Second Quarter
  
Core return on average tangible common equity
    
17.4
%
    
17.0
%
    
14.9
%
Core return on average assets
    
1.59
%
    
1.76
%
    
1.61
%
Core return on average equity
    
12.8
%
    
13.3
%
    
13.0
%
Core total revenue
  
$
86,575
    
$
82,383
    
$
67,833
  
* Non-GAAP reconciliations of previously reported core results are included in previously issued earnings release supplements.