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

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8-K - FB FINANCIAL CORPORATION 8-K - FB Financial Corpa51886960.htm
Exhibit 99.2

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Third 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, core diluted earnings per share, adjusted 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, adjusted 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/adjusted in nature. The Company refers to these non-GAAP measures as adjusted 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, 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
Third Quarter 2018
Supplemental Financial Information
Page 4
 
Financial Summary and Key Metrics
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
 
                              
                               
   
2018
    
2017
  
   
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Statement of Income Data
                              
Total interest income
  
$
62,612
    
$
59,043
    
$
54,848
    
$
55,031
    
$
48,415
  
Total interest expense
    
9,857
      
7,526
      
6,419
      
6,048
      
4,805
  
Net interest income
    
52,755
      
51,517
      
48,429
      
48,983
      
43,610
  
Provision for loan losses
    
1,818
      
1,063
      
317
      
956
      
(784
)
Total noninterest income
    
34,355
      
35,763
      
33,275
      
37,017
      
37,820
  
Total noninterest expense
    
57,213
      
56,358
      
56,151
      
57,540
      
69,224
  
Net income before income taxes
    
28,079
      
29,859
      
25,236
      
27,504
      
12,990
  
Income tax expense
    
6,702
      
7,794
      
5,482
      
4,486
      
4,602
  
Net income
  
$
21,377
    
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
  
Net interest income (tax—equivalent basis)
  
$
53,161
    
$
51,909
    
$
48,799
    
$
49,692
    
$
44,281
  
Net income, adjusted*
  
$
21,377
    
$
22,736
    
$
20,636
    
$
18,265
    
$
17,936
  
Per Common Share
                                        
Diluted net income
  
$
0.68
    
$
0.70
    
$
0.63
    
$
0.74
    
$
0.27
  
Diluted net income, adjusted*
    
0.68
      
0.72
      
0.66
      
0.59
      
0.58
  
Book value
    
21.12
      
20.56
      
19.92
      
19.54
      
18.76
  
Tangible book value*
    
16.25
      
15.66
      
14.99
      
14.56
      
13.79
  
Weighted average number of shares-diluted
    
31,339,628
      
31,294,044
      
31,421,830
      
31,166,080
      
30,604,537
  
Period-end number of shares
    
30,715,792
      
30,683,353
      
30,671,763
      
30,535,517
      
30,526,592
  
Selected Balance Sheet Data
                                        
Cash and cash equivalents
  
$
181,630
    
$
104,417
    
$
73,700
    
$
119,751
    
$
97,165
  
Loans held for investment (HFI)
    
3,538,531
      
3,415,575
      
3,244,663
      
3,166,911
      
3,114,562
  
Allowance for loan losses
    
(27,608
)
    
(26,347
)
    
(24,406
)
    
(24,041
)
    
(23,482
)
Loans held for sale
    
323,486
      
374,916
      
414,518
      
526,185
      
466,369
  
Investment securities, at fair value
    
609,568
      
611,435
      
597,347
      
543,992
      
543,282
  
Other real estate owned, net
    
13,587
      
14,639
      
15,334
      
16,442
      
13,812
  
Total assets
    
5,058,167
      
4,923,249
      
4,725,416
      
4,727,713
      
4,581,943
  
Customer deposits
    
4,017,391
      
3,844,009
      
3,684,758
      
3,578,694
      
3,614,220
  
Brokered and internet time deposits
    
112,082
      
65,854
      
81,393
      
85,701
      
104,318
  
Total deposits
    
4,129,473
      
3,909,863
      
3,766,151
      
3,664,395
      
3,718,538
  
Borrowings
    
210,968
      
342,893
      
293,017
      
347,595
      
210,855
  
Total shareholders' equity
    
648,731
      
630,959
      
611,075
      
596,729
      
572,528
  
Selected Ratios
                                        
Return on average:
                                        
Assets
    
1.72
%
    
1.86
%
    
1.71
%
    
1.96
%
    
0.80
%
Shareholders' equity
    
13.3
%
    
14.4
%
    
13.4
%
    
15.8
%
    
6.0
%
Tangible common equity*
    
17.4
%
    
19.0
%
    
17.9
%
    
21.3
%
    
7.7
%
Average shareholders' equity to average assets
    
12.9
%
    
12.9
%
    
12.8
%
    
12.4
%
    
13.2
%
Net interest margin (NIM) (tax-equivalent basis)
    
4.71
%
    
4.81
%
    
4.64
%
    
4.63
%
    
4.61
%
Efficiency ratio (GAAP)
    
65.7
%
    
64.6
%
    
68.7
%
    
66.9
%
    
85.0
%
Core efficiency ratio (tax-equivalent basis)*
    
63.7
%
    
62.1
%
    
65.5
%
    
63.6
%
    
64.4
%
Loans held for investment to deposit ratio
    
85.7
%
    
87.4
%
    
86.2
%
    
86.4
%
    
83.8
%
Total loans to deposit ratio
    
93.5
%
    
96.9
%
    
97.2
%
    
100.8
%
    
96.3
%
Yield on interest-earning assets
    
5.58
%
    
5.51
%
    
5.25
%
    
5.20
%
    
5.10
%
Cost of interest-bearing liabilities
    
1.20
%
    
0.96
%
    
0.85
%
    
0.79
%
    
0.71
%
Cost of total deposits
    
0.80
%
    
0.62
%
    
0.55
%
    
0.50
%
    
0.46
%
Credit Quality Ratios
                                        
Allowance for loan losses as a percentage of loans held for investment
    
0.78
%
    
0.77
%
    
0.75
%
    
0.76
%
    
0.75
%
Net charge-off's (recoveries) as a percentage of average loans
                                        
      held for investment
    
0.06
%
    
(0.11
)%
    
(0.01
)%
    
0.05
%
    
(0.15
)%
Nonperforming loans held for investment as a percentage of total loans
                                        
      held for investments
    
0.30
%
    
0.26
%
    
0.30
%
    
0.32
%
    
0.29
%
Nonperforming assets as a percentage of total assets (a)
    
0.51
%
    
0.52
%
    
0.59
%
    
1.52
%
    
0.88
%
Preliminary capital ratios (Consolidated)
                                        
Shareholders' equity to assets
    
12.8
%
    
12.8
%
    
12.9
%
    
12.6
%
    
12.5
%
Tangible common equity to tangible assets*
    
10.2
%
    
10.1
%
    
10.1
%
    
9.7
%
    
9.5
%
Tier 1 capital (to average assets)
    
11.3
%
    
10.9
%
    
10.7
%
    
10.5
%
    
11.4
%
Tier 1 capital (to risk-weighted assets)
    
12.2
%
    
11.3
%
    
11.8
%
    
11.4
%
    
11.6
%
Total capital (to risk-weighted assets)
    
12.8
%
    
11.9
%
    
12.3
%
    
12.0
%
    
12.2
%
Common Equity Tier 1 (to risk-weighted assets) (CET1)
    
11.5
%
    
10.6
%
    
11.0
%
    
10.7
%
    
10.8
%
                                         
*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 in nonperforming assets. The Company derecognized these in the first quarter of 2018 as the perceived benefit has decreased with rising rates.
  
 
 
FB Financial Corporation
Third Quarter 2018
Supplemental Financial Information
Page 5
 
Consolidated Statements of Income
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
 
                                          
                                           
                                  Q3 2018   Q3 2018
                                 
vs.
  
vs.
   
2018
    
2017
     Q2 2018    Q3 2017 
   
Third Quarter
  
Second Quarter
  
First Quarter
  
Fourth Quarter
  
Third Quarter
  
Percent variance
  
Percent variance
Interest income:
                                              
Interest and fees on loans
  
$
57,904
    
$
54,529
    
$
50,693
    
$
51,246
    
$
44,367
      
6.2
%
    
30.5
%
Interest on securities
                                                        
Taxable
    
3,151
      
3,134
      
2,852
      
2,529
      
2,399
      
0.5
%
    
31.3
%
Tax-exempt
    
1,031
      
981
      
925
      
910
      
988
      
5.1
%
    
4.4
%
Other
    
526
      
399
      
378
      
346
      
661
      
31.8
%
    
-20.4
%
Total interest income
    
62,612
      
59,043
      
54,848
      
55,031
      
48,415
      
6.0
%
    
29.3
%
Interest expense:
                                                        
Deposits
    
7,864
      
5,898
      
5,071
      
4,656
      
3,954
      
33.3
%
    
98.9
%
Borrowings
    
1,993
      
1,628
      
1,348
      
1,392
      
851
      
22.4
%
    
134.2
%
Total interest expense
    
9,857
      
7,526
      
6,419
      
6,048
      
4,805
      
31.0
%
    
105.1
%
Net interest income
    
52,755
      
51,517
      
48,429
      
48,983
      
43,610
      
2.4
%
    
21.0
%
Provision for loan losses
    
1,818
      
1,063
      
317
      
956
      
(784
)
    
71.0
%
    
-331.9
%
Net interest income after provision for loan losses
    
50,937
      
50,454
      
48,112
      
48,027
      
44,394
      
1.0
%
    
14.7
%
Noninterest income:
                                                        
Mortgage banking income
    
26,649
      
28,544
      
26,471
      
30,280
      
31,334
      
-6.6
%
    
-15.0
%
Service charges on deposit accounts
    
2,208
      
2,049
      
1,959
      
2,181
      
2,044
      
7.8
%
    
8.0
%
ATM and interchange fees
    
2,411
      
2,581
      
2,361
      
2,430
      
2,222
      
-6.6
%
    
8.5
%
Investment services and trust income
    
1,411
      
1,180
      
1,206
      
1,154
      
1,078
      
19.6
%
    
30.9
%
(Loss) gain from securities, net
    
(27
)
    
(42
)
    
(47
)
    
1
      
254
      
-35.7
%
    
-110.6
%
Gain (loss) on sales or write-downs of other real estate
      owned
    
120
      
23
      
(186
)
    
(72
)
    
(368
)
    
421.7
%
    
-132.6
%
Gain (loss) from other assets
    
326
      
(155
)
    
68
      
(314
)
    
54
      
-310.3
%
    
503.7
%
Other income
    
1,257
      
1,583
      
1,443
      
1,357
      
1,202
      
-20.6
%
    
4.6
%
Total noninterest income
    
34,355
      
35,763
      
33,275
      
37,017
      
37,820
      
-3.9
%
    
-9.2
%
Total revenue
    
87,110
      
87,280
      
81,704
      
86,000
      
81,430
      
-0.2
%
    
7.0
%
Noninterest expenses:
                                                        
Salaries, commissions and employee benefits
    
35,213
      
34,366
      
34,027
      
35,771
      
34,795
      
2.5
%
    
1.2
%
Occupancy and equipment expense
    
3,514
      
3,545
      
3,424
      
3,881
      
3,539
      
-0.9
%
    
-0.7
%
Legal and professional fees
    
1,917
      
1,965
      
2,043
      
1,764
      
1,512
      
-2.4
%
    
26.8
%
Data processing
    
2,562
      
2,138
      
2,035
      
1,766
      
1,761
      
19.8
%
    
45.5
%
Merger and conversion
    
-
      
-
      
1,193
      
2,069
      
15,711
      
0.0
%
    
-100.0
%
Amortization of core deposits and other intangibles
    
777
      
802
      
853
      
922
      
558
      
-3.1
%
    
39.2
%
Regulatory fees and deposit insurance assessments
    
738
      
730
      
562
      
571
      
549
      
1.1
%
    
34.4
%
Software license and maintenance fees
    
622
      
603
      
657
      
529
      
523
      
3.2
%
    
18.9
%
Advertising
    
3,810
      
3,408
      
3,282
      
3,189
      
3,493
      
11.8
%
    
9.1
%
Other expense
    
8,060
      
8,801
      
8,075
      
7,078
      
6,783
      
-8.4
%
    
18.8
%
Total noninterest expense
    
57,213
      
56,358
      
56,151
      
57,540
      
69,224
      
1.5
%
    
-17.4
%
Income before income taxes
    
28,079
      
29,859
      
25,236
      
27,504
      
12,990
      
-6.0
%
    
116.2
%
Income tax expense
    
6,702
      
7,794
      
5,482
      
4,486
      
4,602
      
-14.0
%
    
45.6
%
Net income
  
$
21,377
    
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
      
-3.1
%
    
154.9
%
Earnings available to common shareholders
  
$
21,263
 (a)  
$
21,948
 (a)  
$
19,754
    
$
23,018
    
$
8,388
                  
Weighted average common shares outstanding:
                                                        
Basic
    
30,692,668
      
30,678,732
      
30,613,284
      
30,527,234
      
30,004,952
                  
Fully diluted
    
31,339,628
      
31,294,044
      
31,421,830
      
31,166,080
      
30,604,537
                  
Earnings per common share:
                                                        
Basic
  
$
0.69
    
$
0.72
    
$
0.65
    
$
0.75
    
$
0.28
                  
Fully diluted
    
0.68
      
0.70
      
0.63
      
0.74
      
0.27
                  
                                                         
(a) During the second and third quarters 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
Third Quarter 2018
Supplemental Financial Information
Page 6
 
Consolidated Statements of Income
  
(Unaudited)
  
(In Thousands, Except Share Data and %)
  
                   
                   
                Q3 YTD 2018  
   
For the nine months ended
     vs.  
   
September 30,
     Q3 YTD 2017  
   
2018
    
2017
    
Percent
variance
  
Interest income:
                  
Interest and fees on loans
  
$
163,126
    
$
102,723
      
58.8
%
Interest on securities
                        
Taxable
    
9,137
      
7,555
      
20.9
%
Tax-exempt
    
2,937
      
3,096
      
-5.1
%
Other
    
1,303
      
1,208
      
7.9
%
Total interest income
    
176,503
      
114,582
      
54.0
%
Interest expense:
                        
Deposits
    
18,833
      
8,375
      
124.9
%
Borrowings
    
4,969
      
1,919
      
158.9
%
Total interest expense
    
23,802
      
10,294
      
131.2
%
Net interest income
    
152,701
      
104,288
      
46.4
%
Provision for loan losses
    
3,198
      
(1,906
)
    
-267.8
%
Net interest income after provision for loan losses
    
149,503
      
106,194
      
40.8
%
Noninterest income:
                        
Mortgage banking income
    
81,664
      
86,653
      
-5.8
%
Service charges on deposit accounts
    
6,216
      
5,606
      
10.9
%
ATM and interchange fees
    
7,353
      
6,354
      
15.7
%
Investment services and trust income
    
3,797
      
2,795
      
35.8
%
(Loss) gain from securities, net
    
(116
)
    
284
      
-140.8
%
(Loss) gain on sales or write-downs of other real estate
      owned
    
(43
)
    
846
      
-105.1
%
Gain (loss) on other assets
    
239
      
(350
)
    
-168.3
%
Other income
    
4,283
      
2,376
      
80.3
%
Total noninterest income
    
103,393
      
104,564
      
-1.1
%
Total revenue
    
256,094
      
208,852
      
22.6
%
Noninterest expenses:
                        
Salaries, commissions and employee benefits
    
103,606
      
94,584
      
9.5
%
Occupancy and equipment expense
    
10,483
      
9,955
      
5.3
%
Legal and professional fees
    
5,925
      
3,973
      
49.1
%
Data processing
    
6,735
      
4,722
      
42.6
%
Merger and conversion
    
1,193
      
16,965
      
-93.0
%
Amortization of intangibles
    
2,432
      
1,073
      
126.7
%
Loss on sale of mortgage servicing rights
    
—
      
249
      
-100.0
%
Regulatory fees and deposit insurance assessments
    
2,030
      
1,478
      
37.3
%
Software license and maintenance fees
    
1,882
      
1,344
      
40.0
%
Advertising
    
10,500
      
9,768
      
7.5
%
Other expense
    
24,936
      
20,666
      
20.7
%
Total noninterest expense
    
169,722
      
164,777
      
3.0
%
Net income before income taxes
    
83,174
      
45,981
      
80.9
%
Income tax expense
    
19,978
      
16,601
      
20.3
%
Net income
  
$
63,196
    
$
29,380
      
115.1
%
Earnings available to common shareholders(a)
  
$
62,859
    
$
29,380
          
Weighted average common shares outstanding:
                        
Basic
    
30,661,852
      
26,649,942
          
Fully diluted
    
31,298,654
      
27,198,373
          
Earnings per common share:
                        
Basic
  
$
2.05
    
$
1.10
          
Fully diluted
    
2.01
      
1.08
          
                         
(a) During the second and third quarters 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
Third Quarter 2018
Supplemental Financial Information
Page 7
 
Consolidated Balance Sheets
  
(Unaudited)
  
(In Thousands, %)
  
 
                                          
                                           
                                 
Annualized
      
                                  Q3 2018    Q3 2018 
                                 
vs.
  
vs.
   
2018
    
2017
     Q2 2018    Q3 2017 
   
Third Quarter
  
Second Quarter
  
First Quarter
  
Fourth Quarter
  
Third Quarter
  
Percent variance
  
Percent variance
ASSETS
                                              
Cash and due from banks
  
$
81,366
    
$
67,863
    
$
53,060
    
$
29,831
    
$
67,070
      
78.9
%
    
21.3
%
Federal funds sold
    
801
      
19,859
      
7,171
      
66,127
      
4,470
      
-380.7
%
    
-82.1
%
Interest bearing deposits in financial institutions
    
99,463
      
16,695
      
13,469
      
23,793
      
25,625
      
1966.9
%
    
288.1
%
Cash and cash equivalents
    
181,630
      
104,417
      
73,700
      
119,751
      
97,165
      
293.4
%
    
86.9
%
Investments:
                                                        
Available-for-sale debt securities, at fair value
    
606,501
      
608,360
      
594,248
      
536,270
      
535,555
      
-1.2
%
    
13.2
%
Equity securities, at fair value
    
3,067
      
3,075
      
3,099
      
7,722
      
7,727
      
-1.0
%
    
-60.3
%
Federal Home Loan Bank stock, at cost
    
13,432
      
12,641
      
11,810
      
11,412
      
11,152
      
24.8
%
    
20.4
%
Loans held for sale, at fair value
    
323,486
      
374,916
      
414,518
      
526,185
      
466,369
      
-54.4
%
    
-30.6
%
Loans
    
3,538,531
      
3,415,575
      
3,244,663
      
3,166,911
      
3,114,562
      
14.3
%
    
13.6
%
Less: allowance for loan losses
    
27,608
      
26,347
      
24,406
      
24,041
      
23,482
      
19.0
%
    
17.6
%
Net loans
    
3,510,923
      
3,389,228
      
3,220,257
      
3,142,870
      
3,091,080
      
14.2
%
    
13.6
%
Premises and equipment, net
    
86,445
      
85,936
      
81,175
      
81,577
      
85,550
      
2.3
%
    
1.0
%
Other real estate owned, net
    
13,587
      
14,639
      
15,334
      
16,442
      
13,812
      
-28.5
%
    
-1.6
%
Interest receivable
    
14,943
      
12,729
      
13,920
      
13,069
      
11,218
      
69.0
%
    
33.2
%
Mortgage servicing rights, at fair value
    
79,890
      
109,449
      
93,160
      
76,107
      
63,046
      
-107.1
%
    
26.7
%
Goodwill
    
137,190
      
137,190
      
137,190
      
137,190
      
138,910
      
0.0
%
    
-1.2
%
Core deposit and other intangibles, net
    
12,403
      
13,203
      
14,027
      
14,902
      
12,550
      
-24.0
%
    
-1.2
%
Other assets
    
74,670
      
57,466
      
52,978
      
44,216
      
47,809
      
118.8
%
    
56.2
%
Total assets
  
$
5,058,167
    
$
4,923,249
    
$
4,725,416
    
$
4,727,713
    
$
4,581,943
      
10.9
%
    
10.4
%
LIABILITIES AND SHAREHOLDERS' EQUITY
                                                        
Liabilities:
                                                        
Deposits
                                                        
Noninterest-bearing
  
$
962,948
    
$
970,851
    
$
930,991
    
$
888,200
    
$
924,773
      
-3.2
%
    
4.1
%
Interest-bearing checking
    
876,991
      
921,246
      
983,634
      
895,140
      
848,714
      
-19.1
%
    
3.3
%
Money market and savings
    
1,236,851
      
1,287,657
      
1,144,517
      
1,192,726
      
1,277,835
      
-15.7
%
    
-3.2
%
Customer time deposits
    
940,601
      
664,255
      
625,616
      
602,628
      
562,898
      
165.1
%
    
67.1
%
Brokered and internet time deposits
    
112,082
      
65,854
      
81,393
      
85,701
      
104,318
      
278.5
%
    
7.4
%
Total time deposits
    
1,052,683
      
730,109
      
707,009
      
688,329
      
667,216
      
175.3
%
    
57.8
%
Total deposits
    
4,129,473
      
3,909,863
      
3,766,151
      
3,664,395
      
3,718,538
      
22.3
%
    
11.1
%
Borrowings
    
210,968
      
342,893
      
293,017
      
347,595
      
210,855
      
-152.6
%
    
0.1
%
Accrued expenses and other liabilities
    
68,995
      
39,534
      
55,173
      
118,994
      
80,022
      
295.7
%
    
-13.8
%
Total liabilities
    
4,409,436
      
4,292,290
      
4,114,341
      
4,130,984
      
4,009,415
      
10.8
%
    
10.0
%
Shareholders' equity:
                                                        
Common stock, $1 par value
    
30,716
      
30,683
      
30,672
      
30,536
      
30,527
      
0.4
%
    
0.6
%
Additional paid-in capital
    
422,302
      
420,382
      
418,810
      
418,596
      
416,651
      
1.8
%
    
1.4
%
Retained earnings
    
206,718
      
187,250
      
167,094
      
147,449
      
123,779
      
41.2
%
    
67.0
%
Accumulated other comprehensive (loss) income, net
    
(11,005
)
    
(7,356
)
    
(5,501
)
    
148
      
1,571
      
196.8
%
    
-800.5
%
Total shareholders' equity
    
648,731
      
630,959
      
611,075
      
596,729
      
572,528
      
11.2
%
    
13.3
%
Total liabilities and shareholders' equity
  
$
5,058,167
    
$
4,923,249
    
$
4,725,416
    
$
4,727,713
    
$
4,581,943
      
10.9
%
    
10.4
%
 
 
FB Financial Corporation
Third 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
  
   
September 30, 2018
    
June 30, 2018
  
   
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
    
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
  
Interest-earning assets:
                                    
Loans HFI(1)
  
$
3,457,526
    
$
53,928
      
6.19
%
  
$
3,289,045
    
$
50,193
      
6.12
%
Loans held for sale
    
353,477
      
4,019
      
4.51
%
    
362,571
      
4,382
      
4.85
%
Securities:
                                                
Taxable
    
482,733
      
3,151
      
2.59
%
    
484,035
      
3,134
      
2.60
%
Tax-exempt(1)
    
121,680
      
1,394
      
4.55
%
    
115,334
      
1,327
      
4.61
%
Total securities(1)
    
604,413
      
4,545
      
2.98
%
    
599,369
      
4,461
      
2.99
%
Federal funds sold
    
18,014
      
97
      
2.14
%
    
19,645
      
82
      
1.67
%
Interest-bearing deposits with other financial
    institutions
    
33,184
      
214
      
2.56
%
    
42,750
      
155
      
1.45
%
FHLB stock
    
13,179
      
215
      
6.47
%
    
12,530
      
162
      
5.19
%
Total interest earning assets(1)
    
4,479,793
      
63,018
      
5.58
%
    
4,325,910
      
59,435
      
5.51
%
Noninterest Earning Assets:
                                                
Cash and due from banks
    
52,980
                      
48,184
                  
Allowance for loan losses
    
(26,487
)
                    
(24,771
)
                
Other assets
    
425,911
                      
414,668
                  
Total noninterest earning assets
    
452,404
                      
438,081
                  
Total assets
  
$
4,932,197
                    
$
4,763,991
                  
Interest-bearing liabilities:
                                                
Interest bearing deposits:
                                                
Interest bearing checking
  
$
870,964
    
$
1,690
      
0.77
%
  
$
935,351
    
$
1,571
      
0.67
%
Money market
    
1,067,754
      
3,126
      
1.16
%
    
1,005,081
      
2,311
      
0.92
%
Savings deposits
    
177,698
      
68
      
0.15
%
    
181,461
      
69
      
0.15
%
Customer time deposits
    
745,616
      
2,699
      
1.44
%
    
628,709
      
1,638
      
1.04
%
Broker and internet time deposits
    
61,478
      
281
      
1.81
%
    
75,699
      
309
      
1.64
%
Time deposits
    
807,094
      
2,980
      
1.46
%
    
704,408
      
1,947
      
1.11
%
Total interest bearing deposits
    
2,923,510
      
7,864
      
1.07
%
    
2,826,301
      
5,898
      
0.84
%
Other interest-bearing liabilities:
                                                
Securities sold under agreements to repurchase and
       federal funds purchased
    
24,484
      
51
      
0.83
%
    
20,002
      
45
      
0.90
%
Federal Home Loan Bank advances
    
293,020
      
1,524
      
2.06
%
    
253,131
      
1,171
      
1.86
%
Subordinated debt
    
30,930
      
418
      
5.36
%
    
30,930
      
412
      
5.34
%
Total other interest-bearing liabilities
    
348,434
      
1,993
      
2.27
%
    
304,063
      
1,628
      
2.15
%
Total Interest-bearing liabilities
    
3,271,944
      
9,857
      
1.20
%
    
3,130,364
      
7,526
      
0.96
%
Noninterest bearing liabilities:
                                                
Demand deposits
    
980,296
                      
975,760
                  
Other liabilities
    
41,569
                      
41,917
                  
Total noninterest-bearing liabilities
    
1,021,865
                      
1,017,677
                  
Total liabilities
    
4,293,809
                      
4,148,041
                  
Shareholders' equity
    
638,388
                      
615,950
                  
Total liabilities and shareholders' equity
  
$
4,932,197
                    
$
4,763,991
                  
Net interest income(1)
          
$
53,161
                    
$
51,909
          
Interest rate spread(1)
                    
4.39
%
                    
4.55
%
Net interest margin(1)
                    
4.71
%
                    
4.81
%
Cost of total deposits
                    
0.80
%
                    
0.62
%
Average interest-earning assets to average interest-
    bearing liabilities
                    
136.9
%
                    
138.2
%
Tax equivalent adjustment
          
$
406
                    
$
392
          
Loan HFI yield components:
                                                
Contractual interest rate(1)
          
$
47,650
      
5.47
%
          
$
44,057
      
5.37
%
Origination and other loan fee income
            
3,486
      
0.40
%
            
3,742
      
0.46
%
Accretion on purchased loans
            
2,130
      
0.25
%
            
1,928
      
0.23
%
Nonaccrual interest collections
            
630
      
0.07
%
            
250
      
0.03
%
Syndication fee income
            
32
      
0.00
%
            
216
      
0.03
%
Total loan yield
          
$
53,928
      
6.19
%
          
$
50,193
      
6.12
%
                                                 
(1) Includes tax equivalent adjustment using combined marginal tax rate of 26.060% for 2018.
  
 
 
FB Financial Corporation
Third 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
   
March 31, 2018
  
December 31, 2017
  
September 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)
  
$
3,192,490
    
$
46,564
      
5.92
%
  
$
3,138,245
    
$
46,503
      
5.88
%
  
$
2,705,265
    
$
40,242
      
5.90
%
Loans held for sale
    
434,573
      
4,173
      
3.89
%
    
493,073
      
4,856
      
3.91
%
    
410,434
      
4,167
      
4.03
%
Securities:
                                                                        
Taxable
    
457,826
      
2,852
      
2.53
%
    
442,351
      
2,529
      
2.27
%
    
425,281
      
2,399
      
2.24
%
Tax-exempt(1)
    
109,116
      
1,251
      
4.65
%
    
108,000
      
1,506
      
5.53
%
    
117,429
      
1,617
      
5.46
%
Total securities(1)
    
566,942
      
4,103
      
2.94
%
    
550,351
      
4,035
      
2.91
%
    
542,710
      
4,016
      
2.94
%
Federal funds sold
    
20,325
      
73
      
1.46
%
    
18,227
      
14
      
0.30
%
    
39,363
      
76
      
0.77
%
Interest-bearing deposits with other financial
    institutions
    
35,463
      
165
      
1.89
%
    
42,693
      
177
      
1.64
%
    
108,185
      
448
      
1.64
%
FHLB stock
    
11,806
      
140
      
4.81
%
    
11,160
      
155
      
5.51
%
    
8,892
      
137
      
6.11
%
Total interest earning assets(1)
    
4,261,599
      
55,218
      
5.25
%
    
4,253,749
      
55,740
      
5.20
%
    
3,814,849
      
49,086
      
5.10
%
Noninterest Earning Assets:
                                                                        
Cash and due from banks
    
43,261
                      
57,406
                      
55,485
                  
Allowance for loan losses
    
(24,311
)
                    
(23,470
)
                    
(23,875
)
                
Other assets
    
397,945
                      
376,984
                      
316,019
                  
Total noninterest earning assets
    
416,895
                      
410,920
                      
347,629
                  
Total assets
  
$
4,678,494
                    
$
4,664,669
                    
$
4,162,478
                  
Interest-bearing liabilities:
                                                                        
Interest bearing deposits:
                                                                        
Interest bearing checking
  
$
943,707
    
$
1,357
      
0.58
%
  
$
832,030
    
$
1,146
      
0.55
%
  
$
788,238
    
$
1,040
      
0.52
%
Money market
    
975,831
      
1,890
      
0.79
%
    
1,071,194
      
1,991
      
0.74
%
    
1,023,612
      
1,722
      
0.67
%
Savings deposits
    
179,925
      
68
      
0.15
%
    
178,574
      
72
      
0.16
%
    
166,184
      
67
      
0.16
%
Customer time deposits
    
617,784
      
1,423
      
0.93
%
    
577,003
      
1,067
      
0.73
%
    
493,992
      
825
      
0.66
%
Broker and internet time deposits
    
84,125
      
333
      
1.61
%
    
95,480
      
380
      
1.58
%
    
95,207
      
300
      
1.25
%
Time deposits
    
701,909
      
1,756
      
1.01
%
    
672,483
      
1,447
      
0.85
%
    
589,199
      
1,125
      
0.76
%
Total interest bearing deposits
    
2,801,372
      
5,071
      
0.73
%
    
2,754,281
      
4,656
      
0.67
%
    
2,567,233
      
3,954
      
0.61
%
Other interest-bearing liabilities:
                                                                        
Securities sold under agreements to repurchase and
       federal funds purchased
    
15,160
      
25
      
0.67
%
    
15,883
      
11
      
0.27
%
    
15,828
      
9
      
0.23
%
Federal Home Loan Bank advances
    
211,735
      
917
      
1.76
%
    
241,307
      
967
      
1.59
%
    
86,795
      
428
      
1.96
%
Subordinated debt
    
30,930
      
406
      
5.32
%
    
30,930
      
414
      
5.31
%
    
30,930
      
414
      
5.31
%
Total other interest-bearing liabilities
    
257,825
      
1,348
      
2.12
%
    
288,120
      
1,392
      
1.92
%
    
133,553
      
851
      
2.53
%
Total Interest-bearing liabilities
    
3,059,197
      
6,419
      
0.85
%
    
3,042,401
      
6,048
      
0.79
%
    
2,700,786
      
4,805
      
0.71
%
Noninterest bearing liabilities:
                                                                        
Demand deposits
    
927,213
                      
964,030
                      
871,973
                  
Other liabilities
    
92,886
                      
79,382
                      
39,310
                  
Total noninterest-bearing liabilities
    
1,020,099
                      
1,043,412
                      
911,283
                  
Total liabilities
    
4,079,296
                      
4,085,813
                      
3,612,069
                  
Shareholders' equity
    
599,198
                      
578,856
                      
550,409
                  
Total liabilities and shareholders' equity
  
$
4,678,494
                    
$
4,664,669
                    
$
4,162,478
                  
Net interest income(1)
          
$
48,799
                    
$
49,692
                    
$
44,281
          
Interest rate spread(1)
                    
4.40
%
                    
4.41
%
                    
4.40
%
Net interest margin(1)
                    
4.64
%
                    
4.63
%
                    
4.61
%
Cost of total deposits
                    
0.55
%
                    
0.50
%
                    
0.46
%
Average interest-earning assets to average interest-
    bearing liabilities
                    
139.3
%
                    
139.8
%
                    
141.2
%
Tax equivalent adjustment
          
$
370
                    
$
709
                    
$
671
          
Loan HFI yield components:
                                                                        
Contractual interest rate(1)
          
$
41,536
      
5.28
%
          
$
41,026
      
5.20
%
          
$
34,634
      
5.08
%
Origination and other loan fee income
            
2,867
      
0.37
%
            
2,084
      
0.26
%
            
2,610
      
0.38
%
Accretion on purchased loans
            
1,687
      
0.21
%
            
1,935
      
0.24
%
            
1,554
      
0.23
%
Nonaccrual interest collections
            
399
      
0.05
%
            
1,216
      
0.15
%
            
1,116
      
0.16
%
Syndication fee income
            
75
      
0.01
%
            
242
      
0.03
%
            
328
      
0.05
%
Total loan yield
          
$
46,564
      
5.92
%
          
$
46,503
      
5.88
%
          
$
40,242
      
5.90
%
                                                                         
(1) Includes tax equivalent adjustment using combined marginal tax rate of 26.060% for 2018 and 39.225% for 2017.
  
 
 
FB Financial Corporation
Third 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 nine months ended
    
For the nine months ended
  
   
September 30, 2018
    
September 30, 2017
  
   
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
    
Average
balances
    
Interest
income/
expense
    
Average
yield/
rate
  
Interest-earning assets:
                                    
Loans HFI(1)
  
$
3,314,403
    
$
150,685
      
6.08
%
  
$
2,095,419
    
$
90,447
      
5.77
%
Loans held for sale
    
383,242
      
12,574
      
4.39
%
    
394,425
      
12,400
      
4.20
%
Securities:
                                                
Taxable
    
474,729
      
9,137
      
2.57
%
    
441,063
      
7,555
      
2.29
%
Tax-exempt(1)
    
115,452
      
3,972
      
4.60
%
    
118,982
      
5,086
      
5.72
%
Total securities(1)
    
590,181
      
13,109
      
2.97
%
    
560,045
      
12,641
      
3.02
%
Federal funds sold
    
19,320
      
252
      
1.74
%
    
18,127
      
126
      
0.93
%
Interest-bearing deposits with other financial
    institutions
    
37,124
      
534
      
1.92
%
    
85,398
      
777
      
1.22
%
FHLB stock
    
12,510
      
517
      
5.53
%
    
8,130
      
305
      
5.02
%
Total interest earning assets(1)
    
4,356,780
      
177,671
      
5.45
%
    
3,161,544
      
116,696
      
4.93
%
Noninterest Earning Assets:
                                                
Cash and due from banks
    
48,177
                      
51,695
                  
Allowance for loan losses
    
(25,201
)
                    
(22,953
)
                
Other assets
    
411,709
                      
260,517
                  
Total noninterest earning assets
    
434,685
                      
289,259
                  
Total assets
  
$
4,791,465
                    
$
3,450,803
                  
Interest-bearing liabilities:
                                                
Interest bearing deposits:
                                                
Interest bearing checking
  
$
916,407
    
$
4,618
      
0.67
%
  
$
726,667
    
$
2,494
      
0.46
%
Money market
    
1,016,559
      
7,327
      
0.96
%
    
806,036
      
3,396
      
0.56
%
Savings deposits
    
179,686
      
205
      
0.15
%
    
146,291
      
173
      
0.16
%
Customer time deposits
    
664,505
      
5,760
      
1.16
%
    
413,739
      
2,010
      
0.65
%
Broker and internet time deposits
    
73,683
      
923
      
1.67
%
    
22,400
      
302
      
1.80
%
Time deposits
    
738,188
      
6,683
      
1.21
%
    
436,139
      
2,312
      
0.71
%
Total interest bearing deposits
    
2,850,840
      
18,833
      
0.88
%
    
2,115,133
      
8,375
      
0.53
%
Other interest-bearing liabilities:
                                                
Securities sold under agreements to repurchase and
       federal funds purchased
    
19,916
      
121
      
0.81
%
    
17,296
      
31
      
0.24
%
Federal Home Loan Bank advances
    
252,927
      
3,612
      
1.91
%
    
66,101
      
811
      
1.64
%
Subordinated debt
    
30,930
      
1,236
      
5.34
%
    
31,129
      
1,077
      
4.63
%
Total other interest-bearing liabilities
    
303,773
      
4,969
      
2.19
%
    
114,526
      
1,919
      
2.24
%
Total Interest-bearing liabilities
  
$
3,154,613
    
$
23,802
      
1.01
%
  
$
2,229,659
    
$
10,294
      
0.62
%
Noninterest bearing liabilities:
                                                
Demand deposits
  
$
961,583
                    
$
754,819
                  
Other liabilities
    
57,223
                      
38,065
                  
Total noninterest-bearing liabilities
    
1,018,806
                      
792,884
                  
Total liabilities
    
4,173,419
                      
3,022,543
                  
Shareholders' equity
    
618,046
                      
428,260
                  
Total liabilities and shareholders' equity
  
$
4,791,465
                    
$
3,450,803
                  
Net interest income(1)
          
$
153,869
                    
$
106,402
          
Interest rate spread(1)
                    
4.44
%
                    
4.32
%
Net interest margin(1)
                    
4.72
%
                    
4.50
%
Cost of total deposits
                    
0.66
%
                    
0.39
%
Average interest-earning assets to average interest-
    bearing liabilities
                    
138.1
%
                    
141.8
%
Tax equivalent adjustment
          
$
1,168
                    
$
2,114
          
Loan HFI yield components:
                                                
Contractual interest rate(1)
          
$
133,243
      
5.38
%
          
$
78,530
      
5.01
%
Origination and other loan fee income
            
10,095
      
0.41
%
            
5,554
      
0.35
%
Accretion on purchased loans
            
5,745
      
0.23
%
            
3,545
      
0.23
%
Nonaccrual interest collections
            
1,279
      
0.05
%
            
2,050
      
0.13
%
Syndication fee income
            
323
      
0.01
%
            
768
      
0.05
%
Total loan yield
          
$
150,685
      
6.08
%
          
$
90,447
      
5.77
%
                                                 
(1) Includes tax equivalent adjustment using combined marginal tax rate of 26.060% for 2018.
  
 
 
FB Financial Corporation
Third Quarter 2018
Supplemental Financial Information
Page 11
 
Loans and Deposits by Market
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands)
  
                               
                               
   
2018
    
2017
  
   
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Loans by market
                              
Metropolitan
  
$
2,335,771
    
$
2,210,419
    
$
2,076,465
    
$
1,984,826
    
$
1,932,934
  
Community
    
765,231
      
771,358
      
764,198
      
780,079
      
779,810
  
Specialty lending and other
    
437,529
      
433,798
      
404,000
      
402,006
      
401,818
  
Total
  
$
3,538,531
    
$
3,415,575
    
$
3,244,663
    
$
3,166,911
    
$
3,114,562
  
Deposits by market
                                        
Metropolitan
    
2,228,902
      
2,112,941
      
2,079,983
      
2,091,927
      
2,059,401
  
Community
    
1,427,310
      
1,392,649
      
1,409,612
      
1,291,922
      
1,311,120
  
Mortgage and other(1)
    
473,261
      
404,273
      
276,556
      
280,546
      
348,017
  
Total
  
$
4,129,473
    
$
3,909,863
    
$
3,766,151
    
$
3,664,395
    
$
3,718,538
  
                                         
(1) Includes deposits related to escrow balances from mortgage servicing portfolio and wholesale/other deposits .
  
 
 
FB Financial Corporation
Third Quarter 2018
Supplemental Financial Information
Page 12
 
Segment Data
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except %)
  
 
                              
                               
   
2018
    
2017
  
   
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Banking segment
                              
Net interest income
  
$
52,733
    
$
51,669
    
$
48,771
    
$
49,422
    
$
43,741
  
Provision for loan losses
    
1,818
      
1,063
      
317
      
956
      
(784
)
Mortgage banking income retail
        footprint
    
7,417
      
6,894
      
6,108
      
6,455
      
7,498
  
Other noninterest income
    
7,706
      
7,164
      
6,804
      
6,737
      
6,486
  
Other noninterest mortgage banking
        expenses
    
6,383
      
5,649
      
5,097
      
5,294
      
6,216
  
Merger and conversion expense
    
-
      
-
      
1,193
      
2,069
      
15,711
  
Other noninterest expense
    
32,009
      
31,072
      
30,951
      
30,060
      
27,540
  
Pre-tax income after allocations
  
$
27,646
    
$
27,943
    
$
24,125
    
$
24,235
    
$
9,042
  
Total assets
    
4,637,097
      
4,443,469
      
4,220,543
      
4,130,349
      
4,056,901
  
Intracompany funding income
        included in net interest income
    
3,997
      
4,517
      
4,508
      
5,276
      
4,274
  
Core efficiency ratio*
    
52.4
%
    
51.8
%
    
55.2
%
    
55.5
%
    
56.2
%
Mortgage segment
                                        
Net interest income
  
$
22
    
$
(152
)
  
$
(342
)
  
$
(439
)
  
$
(131
)
Provision for loan losses
    
-
      
-
      
-
      
-
      
-
  
Noninterest income
    
19,232
      
21,650
      
20,363
      
23,825
      
23,836
  
Noninterest expense
    
18,821
      
19,582
      
18,910
      
20,117
      
19,757
  
Direct contribution
  
$
433
    
$
1,916
    
$
1,111
    
$
3,269
    
$
3,948
  
Total assets
    
421,070
      
479,780
      
504,873
      
597,364
      
525,042
  
Intracompany funding expense
        included in net interest income
    
3,997
      
4,517
      
4,508
      
5,276
      
4,274
  
Core efficiency ratio*
    
85.8
%
    
83.6
%
    
85.7
%
    
83.8
%
    
79.9
%
Interest rate lock commitments
                                        
    volume during the period
                                        
Consumer direct
  
$
715,739
    
$
785,965
    
$
719,730
    
$
677,449
    
$
786,034
  
Third party origination (TPO)
    
206,651
      
239,995
      
245,679
      
189,299
      
269,473
  
Retail
    
319,073
      
359,284
      
329,720
      
268,720
      
325,295
  
Correspondent
    
463,473
      
590,743
      
833,857
      
678,346
      
619,953
  
Total
  
$
1,704,936
    
$
1,975,987
    
$
2,128,986
    
$
1,813,814
    
$
2,000,755
  
Interest rate lock commitments
                                        
    pipeline (period end)
                                        
Consumer direct
  
$
224,648
    
$
291,874
    
$
246,650
    
$
246,982
    
$
261,617
  
Third party origination (TPO)
    
72,890
      
92,526
      
107,365
      
63,034
      
93,353
  
Retail
    
94,693
      
117,912
      
124,538
      
72,939
      
101,196
  
Correspondent
    
60,589
      
95,256
      
214,424
      
121,201
      
84,506
  
Total
  
$
452,820
    
$
597,568
    
$
692,977
    
$
504,156
    
$
540,672
  
Mortgage sales
                                        
Consumer direct
  
$
577,070
    
$
483,434
    
$
592,873
    
$
567,529
    
$
485,931
  
Third party origination (TPO)
    
178,238
      
205,050
      
160,903
      
216,866
      
194,164
  
Retail
    
85,561
      
79,497
      
64,925
      
68,695
      
71,358
  
Retail footprint
    
227,985
      
210,958
      
169,778
      
205,228
      
222,786
  
Reverse
    
11,154
      
12,252
      
14,779
      
20,587
      
17,520
  
Correspondent
    
454,020
      
715,733
      
679,561
      
606,526
      
646,003
  
Total
  
$
1,534,028
    
$
1,706,924
    
$
1,682,819
    
$
1,685,431
    
$
1,637,762
  
Gains and fees from origination and sale of
                                        
    mortgage loans held for sale
  
$
26,094
    
$
27,017
    
$
23,481
    
$
29,577
    
$
29,570
  
Net change in fair value of loans
    held for sale, derivatives, and other
    
(2,320
)
    
(2,299
)
    
(90
)
    
(3,317
)
    
(806
)
Change in fair value of mortgage
    servicing rights, net of hedging
    
(2,701
)
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
Mortgage servicing income
    
5,576
      
5,604
      
4,793
      
4,210
      
3,463
  
Total mortgage banking
                                        
    income
  
$
26,649
    
$
28,544
    
$
26,471
    
$
30,280
    
$
31,334
  
Mortgage sale margin (a)
    
1.70
%
    
1.58
%
    
1.40
%
    
1.75
%
    
1.81
%
                                         
*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 for a reconcilation and discussion of this non-GAAP measure.
  
(a) Calculated by dividing gains from sale of mortgage loans held for sale by total mortgage sales. 
  
 
FB Financial Corporation
Third Quarter 2018
Supplemental Financial Information
Page 13
 
Loan Portfolio and Asset Quality
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except %)
  
 
                                                            
                                                             
   
2018
      
2017
   
September 30,
2018
  
% of
Total
  
June 30,
2018
  
% of
Total
  
March 31,
2018
  
% of
Total
  
December 31,
2017
  
% of
Total
  
September 30,
2017
  
% of
Total
Loan portfolio
                                                            
Commercial and industrial
  
$
840,439
      
24
%
  
$
813,054
      
24
%
  
$
765,115
      
24
%
  
$
715,075
      
23
%
  
$
731,588
      
23
%
Construction
    
491,171
      
14
%
    
522,471
      
15
%
    
466,495
      
14
%
    
448,326
      
14
%
    
435,414
      
14
%
Residential real estate:
                                                                                
1-to-4 family mortgage
    
553,720
      
16
%
    
528,158
      
15
%
    
491,725
      
15
%
    
480,989
      
15
%
    
459,467
      
15
%
Residential line of credit
    
214,741
      
6
%
    
208,668
      
6
%
    
197,740
      
6
%
    
194,986
      
6
%
    
188,392
      
6
%
Multi-family mortgage
    
86,264
      
2
%
    
57,344
      
2
%
    
63,295
      
2
%
    
62,374
      
2
%
    
74,004
      
2
%
Commercial real estate:
                                                                                
Owner occupied
    
504,149
      
14
%
    
470,872
      
14
%
    
499,331
      
16
%
    
495,872
      
16
%
    
473,395
      
15
%
Non-owner occupied
    
628,336
      
18
%
    
600,629
      
18
%
    
562,128
      
17
%
    
551,588
      
17
%
    
521,416
      
17
%
Consumer and other
    
219,711
      
6
%
    
214,379
      
6
%
    
198,834
      
6
%
    
217,701
      
7
%
    
230,886
      
7
%
Total loans held for investment
  
$
3,538,531
      
100
%
  
$
3,415,575
      
100
%
  
$
3,244,663
      
100
%
  
$
3,166,911
      
100
%
  
$
3,114,562
      
100
%
                                                                                 
Allowance for loan losses rollforward summary
                                                                                
Allowance for loan losses at the beginning of the period
  
$
26,347
            
$
24,406
            
$
24,041
            
$
23,482
            
$
23,247
          
Charge-off's
    
(917
)
            
(421
)
            
(661
)
            
(719
)
            
(575
)
        
Recoveries
    
360
              
1,299
              
709
              
322
              
1,594
          
Provision for loan losses
    
1,818
              
1,063
              
317
              
956
              
(784
)
        
Allowance for loan losses at the end of the period
  
$
27,608
            
$
26,347
            
$
24,406
            
$
24,041
            
$
23,482
          
                                                                                 
Allowance for loan losses as a percentage of total
    loans held for investment
    
0.78
%
            
0.77
%
            
0.75
%
            
0.76
%
            
0.75
%
        
                                                                                 
Charge-offs
                                                                                
Commercial and Industrial
  
$
(333
)
          
$
(5
)
          
$
(220
)
          
$
(63
)
          
$
(221
)
        
Construction
    
(14
)
            
(15
)
            
-
              
(21
)
            
-
          
Residential real estate:
                                                                                
1-to-4 family mortgage
    
(4
)
            
(5
)
            
(60
)
            
(45
)
            
(32
)
        
Residential line of credit
    
(13
)
            
-
              
(20
)
            
(72
)
            
(9
)
        
Multi-family mortgage
    
-
              
-
              
-
              
-
              
-
          
Commercial real estate:
                                                                                
Owner occupied
    
(55
)
            
-
              
-
              
(224
)
            
(64
)
        
Non-owner occupied
    
-
              
-
              
-
              
-
              
-
          
Consumer and other
    
(498
)
            
(396
)
            
(361
)
            
(294
)
            
(249
)
        
Total Charge Offs:
    
(917
)
            
(421
)
            
(661
)
            
(719
)
            
(575
)
        
Recoveries
                                                                                
Commercial and Industrial
    
104
              
135
              
135
              
100
              
200
          
Construction
    
13
              
862
              
252
              
4
              
1,022
          
Residential real estate:
                                                                                
1-to-4 family mortgage
    
99
              
43
              
15
              
33
              
86
          
Residential line of credit
    
31
              
44
              
27
              
27
              
157
          
Multi-family mortgage
    
-
              
-
              
-
              
-
              
-
          
Commercial real estate:
                                                                                
Owner occupied
    
10
              
108
              
23
              
22
              
24
          
Non-owner occupied
    
-
              
-
              
51
              
4
              
1
          
Consumer and other
    
103
              
107
              
206
              
132
              
104
          
Total Recoveries:
    
360
              
1,299
              
709
              
322
              
1,594
          
Net (charge-off's) recoveries
  
$
(557
)
          
$
878
            
$
48
            
$
(397
)
          
$
1,019
          
                                                                                 
Net charge-off's (recoveries) as a percentage of
    average total loans
    
0.06
%
            
(0.11
%)
            
(0.01
%)
            
0.05
%
            
(0.15
%)
        
                                                                                 
Loans classified as substandard
  
$
60,346
            
$
58,467
            
$
52,835
            
$
55,488
            
$
59,588
          
Purchased credit impaired loans
  
$
73,651
            
$
78,313
            
$
85,752
            
$
88,835
            
$
92,455
          
                                                                                 
Nonperforming assets(b)
                                                                                
Past due 90 days or more and accruing interest
  
$
2,364
            
$
1,639
            
$
2,689
            
$
1,996
            
$
1,238
          
Nonaccrual
    
8,355
              
7,174
              
6,954
              
8,101
              
7,749
          
Total nonperforming loans held for investment
  
$
10,719
            
$
8,813
            
$
9,643
            
$
10,097
            
$
8,987
          
Loans held for sale(a)
    
—
              
—
              
501
              
43,035
              
13,575
          
Other real estate owned- foreclosed
    
8,206
              
9,258
              
9,755
              
10,547
              
10,205
          
Other real estate owned- acquired excess facilities
    
5,381
              
5,381
              
5,579
              
5,895
              
3,607
          
Other assets
    
1,564
              
2,341
              
2,342
              
2,369
              
3,967
          
Total nonperforming assets
  
$
25,870
            
$
25,793
            
$
27,820
            
$
71,943
            
$
40,341
          
Total nonperforming loans as a percentage of
    loans held for investment
    
0.30
%
            
0.26
%
            
0.30
%
            
0.32
%
            
0.29
%
        
Total nonperforming assets as a percentage of
    total assets
    
0.51
%
            
0.52
%
            
0.59
%
            
1.52
%
            
0.88
%
        
Total accruing loans over 90 days delinquent as
    a percentage of total assets
    
0.05
%
            
0.03
%
            
0.06
%
            
0.04
%
            
0.03
%
        
Loans restructured as troubled debt
    restructurings
  
$
7,679
            
$
8,603
            
$
8,675
            
$
8,604
            
$
8,095
          
Troubled debt restructurings as a percentage of
    loans held for investment
    
0.22
%
            
0.25
%
            
0.27
%
            
0.27
%
            
0.26
%
        
                                                                                 
(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
Third Quarter 2018
Supplemental Financial Information
Page 14
 
Preliminary Capital Ratios
  
(Unaudited)
  
(In Thousands, Except %)
  
             
             
Computation of Tangible Common Equity to Tangible Assets:
  
September 30, 2018
    
December 31, 2017
  
             
Total Equity
  
$
648,731
    
$
596,729
  
Less:
                
Goodwill
    
137,190
      
137,190
  
Other intangibles
    
12,403
      
14,902
  
Tangible Common Equity
  
$
499,138
    
$
444,637
  
                 
Total Assets
  
$
5,058,167
    
$
4,727,713
  
Less:
                
Goodwill
    
137,190
      
137,190
  
Other intangibles
    
12,403
      
14,902
  
Tangible Assets
  
$
4,908,574
    
$
4,575,621
  
                 
Preliminary Total Risk-Weighted Assets
  
$
4,425,402
    
$
4,131,983
  
                 
Total Common Equity to Total Assets
    
12.8
%
    
12.6
%
Tangible Common Equity to Tangible Assets*
    
10.2
%
    
9.7
%
                 
                 
   
September 30, 2018
    
December 31, 2017
  
Preliminary Regulatory Capital:
                
Common Equity Tier 1 Capital
  
$
510,301
    
$
442,381
  
Tier 1 Capital
    
540,301
      
472,381
  
Total Capital
    
567,909
      
496,422
  
                 
Preliminary Regulatory Capital Ratios:
                
Common Equity Tier 1
    
11.5
%
    
10.7
%
Tier 1 Risk-Based
    
12.2
%
    
11.4
%
Total Risk-Based
    
12.8
%
    
12.0
%
Tier 1 Leverage
    
11.3
%
    
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
Third Quarter 2018
Supplemental Financial Information
Page 15
 
Investment Portfolio
  
For the Quarters Ended
  
(Unaudited)
  
(In Thousands, Except %)
  
 
                                                            
                                                             
   
2018
    
2017
  
Securities (at fair value)
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Available for sale debt securities
                                                              
U.S. government agency securities
  
$
984
      
0
%
  
$
983
      
0
%
  
$
982
      
0
%
  
$
986
      
0
%
  
$
992
      
0
%
Mortgage-backed securities - residential
    
467,714
      
77
%
    
477,974
      
78
%
    
472,930
      
79
%
    
418,781
      
77
%
    
418,794
      
77
%
Municipals, tax exempt
    
130,672
      
21
%
    
122,247
      
20
%
    
113,158
      
19
%
    
109,251
      
20
%
    
106,950
      
20
%
Treasury securities
    
7,131
      
1
%
    
7,156
      
1
%
    
7,178
      
1
%
    
7,252
      
1
%
    
8,819
      
2
%
Total available for sale debt securities
    
606,501
      
99
%
    
608,360
      
99
%
    
594,248
      
99
%
    
536,270
      
99
%
    
535,555
      
99
%
Equity securities
    
3,067
      
1
%
    
3,075
      
1
%
    
3,099
      
1
%
    
7,722
      
1
%
    
7,727
      
1
%
Total securities
  
$
609,568
      
100
%
  
$
611,435
      
100
%
  
$
597,347
      
100
%
  
$
543,992
      
100
%
  
$
543,282
      
100
%
                                                                                 
Securities to total assets
    
12.1
%
            
12.4
%
            
12.6
%
            
11.5
%
            
11.9
%
        
 
 
FB Financial Corporation
Third 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
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Pre-tax net income
  
$
28,079
    
$
29,859
    
$
25,236
    
$
27,504
    
$
12,990
  
Plus merger and offering-related expenses
    
-
      
671
      
1,193
      
2,069
      
15,711
  
Less signficant gains (losses) on securities, other real estate
                                        
        owned and other items
    
-
      
-
      
-
      
-
      
-
  
Pre-tax net income, adjusted
  
$
28,079
    
$
30,530
    
$
26,429
    
$
29,573
    
$
28,701
  
Income tax expense, adjusted
    
6,702
      
7,794
      
5,793
      
11,308
      
10,765
  
Net income, adjusted
  
$
21,377
    
$
22,736
    
$
20,636
    
$
18,265
    
$
17,936
  
Weighted average common shares outstanding fully diluted
    
31,339,628
      
31,294,044
      
31,421,830
      
31,166,080
      
30,604,537
  
                                         
Diluted earnings per share, adjusted
                                        
Diluted earnings per common share
  
$
0.68
    
$
0.70
    
$
0.63
    
$
0.74
    
$
0.27
  
Plus merger and offering-related expenses
    
-
      
0.02
      
0.04
      
0.07
      
0.51
  
Less signficant gains (losses) on securities, other real estate
                                        
        owned and other items
    
-
      
-
      
-
      
-
      
-
  
Less tax effect
    
-
      
-
      
(0.01
)
    
(0.22
)
    
(0.20
)
Diluted earnings per share, adjusted
  
$
0.68
    
$
0.72
    
$
0.66
    
$
0.59
    
$
0.58
  
                                         
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
  
Core net income
                          
$
18,677
    
$
18,516
  
Core diluted earnings per share
                          
$
0.60
    
$
0.60
  
                                         
* Non-GAAP reconciliations of previously reported core results are included in previously issued earnings release supplements.
  
 
 
FB Financial Corporation
Third 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)
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Total noninterest expense
  
$
57,213
    
$
56,358
    
$
56,151
    
$
57,540
    
$
69,224
  
Less merger and offering-related expenses
    
-
      
671
      
1,193
      
2,069
      
15,711
  
Core noninterest expense
  
$
57,213
    
$
55,687
    
$
54,958
    
$
55,471
    
$
53,513
  
Net interest income (tax-equivalent basis)
  
$
53,161
    
$
51,909
    
$
48,799
    
$
49,692
    
$
44,281
  
Total noninterest income
    
34,355
      
35,763
      
33,275
      
37,017
      
37,820
  
Less change in fair value on mortgage servicing rights
    
(2,701
)
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
Less gain (loss) on sales or write-downs of other real estate owned and
        other assets
    
446
      
(132
)
    
(118
)
    
(386
)
    
(314
)
Less (loss) gain from securities, net
    
(27
)
    
(42
)
    
(47
)
    
1
      
254
  
Core noninterest income
    
36,637
      
37,715
      
35,153
      
37,592
      
38,773
  
Core revenue
  
$
89,798
    
$
89,624
    
$
83,952
    
$
87,284
    
$
83,054
  
Efficiency ratio (GAAP)(1)
    
65.7
%
    
64.6
%
    
68.7
%
    
66.9
%
    
85.0
%
Core efficiency ratio (tax-equivalent basis)
    
63.7
%
    
62.1
%
    
65.5
%
    
63.6
%
    
64.4
%
                                         
(1) Efficiency ratio (GAAP) is calculated by dividing reported noninterest expense by reported total revenue.
  
                                         
    2018     2017  
Banking segment core efficiency ratio (tax equivalent)
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Core consolidated noninterest expense
  
$
57,213
    
$
55,687
    
$
54,958
    
$
55,471
    
$
53,513
  
Less Mortgage segment noninterest expense
    
18,821
      
19,582
      
18,910
      
20,117
      
19,757
  
Adjusted Banking segment noninterest expense
    
38,392
      
36,105
      
36,048
      
35,354
      
33,756
  
Adjusted core revenue
    
89,798
      
89,624
      
83,952
      
87,284
      
83,054
  
Less Mortgage segment noninterest income
    
19,232
      
21,650
      
20,363
      
23,825
      
23,836
  
Less change in fair value on mortgage servicing rights
    
(2,701
)
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
Adjusted Banking segment total revenue
  
$
73,267
    
$
69,752
    
$
65,302
    
$
63,649
    
$
60,111
  
Banking segment core efficiency ratio (tax-equivalent basis)
    
52.4
%
    
51.8
%
    
55.2
%
    
55.5
%
    
56.2
%
                                         
Mortgage segment core efficiency ratio (tax equivalent)
                                        
Consolidated Noninterest expense
  
$
57,213
    
$
56,358
    
$
56,151
    
$
57,540
    
$
69,224
  
Less Banking segment noninterest expense
    
38,392
      
36,721
      
37,241
      
37,423
      
49,467
  
Adjusted Mortgage segment noninterest expense
  
$
18,821
    
$
19,637
    
$
18,910
    
$
20,117
    
$
19,757
  
Total noninterest income
    
34,355
      
35,763
      
33,275
      
37,017
      
37,820
  
Less Banking segment noninterest income
    
15,123
      
14,058
      
12,912
      
13,192
      
13,984
  
Less change in fair value on mortgage servicing rights
    
(2,701
)
    
(1,778
)
    
(1,713
)
    
(190
)
    
(893
)
Adjusted Mortgage segment total revenue
  
$
21,933
    
$
23,483
    
$
22,076
    
$
24,015
    
$
24,729
  
Mortgage segment core efficiency ratio (tax-equivalent basis)
    
85.8
%
    
83.6
%
    
85.7
%
    
83.8
%
    
79.9
%
                                         
    2018     2017  
Mortgage contribution, adjusted
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Mortgage segment pre-tax net contribution
  
$
433
    
$
1,916
    
$
1,111
    
$
3,269
    
$
3,948
  
Retail footprint:
                                        
Mortgage banking income
    
7,417
      
6,894
      
6,108
      
6,455
      
7,498
  
Mortgage banking expenses
    
6,383
      
5,649
      
5,097
      
5,294
      
6,216
  
Retail footprint pre-tax net contribution
    
1,034
      
1,245
      
1,011
      
1,161
      
1,282
  
Total mortgage banking pre-tax net contribution
  
$
1,467
    
$
3,161
    
$
2,122
    
$
4,430
    
$
5,230
  
Pre-tax net income
    
28,079
      
29,859
      
25,236
      
27,504
      
12,990
  
% total mortgage banking pre-tax net contribution
    
5.2
%
    
10.6
%
    
8.4
%
    
16.1
%
    
40.3
%
Pre-tax net income, adjusted
    
28,079
      
30,530
      
26,429
      
29,573
      
28,701
  
% total mortgage banking pre-tax net contribution, adjusted
    
5.2
%
    
10.4
%
    
8.0
%
    
15.0
%
    
18.2
%
                                         
                                         
    2018     2017  
Tangible assets and equity
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Tangible Assets
                                        
Total assets
  
$
5,058,167
    
$
4,923,249
    
$
4,725,416
    
$
4,727,713
    
$
4,581,943
  
Less goodwill
    
137,190
      
137,190
      
137,190
      
137,190
      
138,910
  
Less intangibles, net
    
12,403
      
13,203
      
14,027
      
14,902
      
12,550
  
Tangible assets
  
$
4,908,574
    
$
4,772,856
    
$
4,574,199
    
$
4,575,621
    
$
4,430,483
  
Tangible Common Equity
                                        
Total shareholders' equity
  
$
648,731
    
$
630,959
    
$
611,075
    
$
596,729
    
$
572,528
  
Less goodwill
    
137,190
      
137,190
      
137,190
      
137,190
      
138,910
  
Less intangibles, net
    
12,403
      
13,203
      
14,027
      
14,902
      
12,550
  
Tangible common equity
  
$
499,138
    
$
480,566
    
$
459,858
    
$
444,637
    
$
421,068
  
Common shares outstanding
    
30,715,792
      
30,683,353
      
30,671,763
      
30,535,517
      
30,526,592
  
Book value per common share
  
$
21.12
    
$
20.56
    
$
19.92
    
$
19.54
    
$
18.76
  
Tangible book value per common share
  
$
16.25
    
$
15.66
    
$
14.99
    
$
14.56
    
$
13.79
  
Total shareholders' equity to total assets
    
12.8
%
    
12.8
%
    
12.9
%
    
12.6
%
    
12.5
%
Tangible common equity to tangible assets
    
10.2
%
    
10.1
%
    
10.1
%
    
9.7
%
    
9.5
%
Net income
  
$
21,377
    
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
  
Return on tangible common equity
    
17.0
%
    
18.4
%
    
17.4
%
    
20.5
%
    
7.9
%
                                         
                                         
    2018     2017  
Return on average tangible common equity
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Total average shareholders' equity
  
$
638,388
    
$
615,950
    
$
599,198
    
$
578,856
    
$
550,409
  
Less average goodwill
    
137,190
      
137,190
      
137,190
      
137,190
      
108,220
  
Less average intangibles, net
    
12,803
      
13,615
      
14,465
      
13,726
      
9,983
  
Average tangible common equity
  
$
488,395
    
$
465,145
    
$
447,544
    
$
427,940
    
$
432,206
  
Net income
  
$
21,377
    
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
  
Return on average tangible common equity
    
17.4
%
    
19.0
%
    
17.9
%
    
21.3
%
    
7.7
%
 
 
FB Financial Corporation
Third 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 equity, adjusted
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Average tangible common equity
    
488,395
      
465,145
      
447,544
      
427,940
      
432,206
  
Net income, adjusted
  
$
21,377
    
$
22,736
    
$
20,636
    
$
18,265
    
$
17,936
  
Return on average tangible equity, adjusted
    
17.4
%
    
19.6
%
    
18.7
%
    
16.9
%
    
16.5
%
                                         
    2018     2017  
Return on average assets and equity, adjusted
  
Third Quarter
    
Second Quarter
    
First Quarter
    
Fourth Quarter
    
Third Quarter
  
Net income
  
$
21,377
    
$
22,065
    
$
19,754
    
$
23,018
    
$
8,388
  
Average assets
    
4,932,197
      
4,763,991
      
4,678,494
      
4,664,669
      
4,162,478
  
Average equity
    
638,388
      
615,950
      
599,198
      
578,856
      
550,409
  
Return on average assets
    
1.72
%
    
1.86
%
    
1.71
%
    
1.96
%
    
0.80
%
Return on average equity
    
13.3
%
    
14.4
%
    
13.4
%
    
15.8
%
    
6.0
%
Net income, adjusted
    
21,377
      
22,736
      
20,636
      
18,265
      
17,936
  
Return on average assets, adjusted
    
1.72
%
    
1.91
%
    
1.79
%
    
1.55
%
    
1.71
%
Return on average equity, adjusted
    
13.3
%
    
14.8
%
    
14.0
%
    
12.5
%
    
12.9
%
                                         
                            2017  
Previously reported core metrics*
                          
Fourth Quarter
    
Third Quarter
  
Core return on average tangible common equity
                            
17.4
%
    
17.0
%
Core return on average assets
                            
1.59
%
    
1.76
%
Core return on average equity
                            
12.8
%
    
13.3
%
Core total revenue
                          
$
86,575
    
$
82,383
  
                                         
* Non-GAAP reconciliations of previously reported core results are included in previously issued earnings release supplements.