Attached files
| file | filename |
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| EX-99.2 - FIRST QUARTER 2021 INVESTOR PRESENTATION - UMPQUA HOLDINGS CORP | umpqq12021earningspresen.htm |
| 8-K - 8-K - UMPQUA HOLDINGS CORP | umpq-20210421.htm |
EXHIBIT 99.1
 | First quarter 2021 Results •Net income of $107.7 million, or $0.49 per common share •Loan balances increased $381.5 million or 1.8% •Deposit balances increased $1.3 billion or 5.1% •Non-interest expenses decreased by $23.7 million or 11.2% | ||||
00
UMPQUA REPORTS FIRST QUARTER 2021 RESULTS | ||||||||||||||||||||
| $0.49 | $108 | 16.43% | 15.9% | |||||||||||||||||
| Net earnings per diluted common share | Net income ($ in millions) | Return on average tangible common equity ("ROATCE") | Total risk-based capital ratio (estimated) | |||||||||||||||||
0
| CEO Commentary | ||
“Through strategic growth, expense management, and capital allocation, we're committed to improving value for our shareholders over time. Umpqua’s reported earnings of $0.49 per share last quarter reflect the relevance of the company’s unique value proposition and customer acquisition efforts, and we're optimistic about future loan growth as our markets reopen. We’re focused on continuing to execute on our talent acquisition and other growth priorities, including key Human Digital initiatives that are an important point of differentiation and customer-engagement across digital channels.” | ||
–Cort O’Haver, President and CEO of Umpqua Holdings Corporation | ||
00
| FIRST QUARTER HIGHLIGHTS | |||||
| Net Interest Income and NIM | •Net interest income decreased by $13.5 million on a quarter to quarter basis primarily due to $9.3 million of lower Paycheck Protection Program ("PPP") fees recorded in the current period. | ||||
•Net interest margin was 3.18%, down 17 basis point due to 11 basis points of lower PPP fees recorded in the current period. | |||||
| Non-Interest Income and Expense | •Non-interest income decreased by $15.2 million due to lower net mortgage banking revenue of $14.0 million. | ||||
•Non-interest expense decreased by $23.7 million primarily due to lower salaries & benefits, occupancy & equipment, and other expenses. | |||||
| Credit Quality | •Net charge-offs decreased by two basis points to 0.33% of average loans and leases (annualized). | ||||
•Provision for credit losses was zero compared to $0.03 million in the prior period. | |||||
•Non-performing assets to total assets decreased five basis points to 0.19% from 0.24%. | |||||
| Capital | •Estimated total risk-based capital ratio of 15.9% and estimated Tier 1 Risk Based Capital ratio of 12.6%. | ||||
•Paid a quarterly cash dividend of $0.21 per common share on February 26, 2021 to shareholders of record as of February 16, 2021. | |||||
| Notable items | •$2.0 million loss on the fair value change due to model inputs of the mortgage servicing rights ("MSR") asset. | ||||
•$11.8 million gain related to the fair value of the debt capital market swap derivatives. | |||||
0
| 1Q21 KEY FINANCIAL DATA | |||||||||||||||||
| PERFORMANCE METRICS | 1Q21 | 4Q20 | 1Q20 | ||||||||||||||
| Return on average assets | 1.49 | % | 2.04 | % | (25.82) | % | |||||||||||
| Return on average tangible common equity | 16.43 | % | 23.07 | % | (301.30) | % | |||||||||||
| Net interest margin | 3.18 | % | 3.35 | % | 3.41 | % | |||||||||||
| Efficiency ratio - consolidated | 56.74 | % | 58.82 | % | 756.29 | % | |||||||||||
| Loan to deposit ratio | 85.61 | % | 88.45 | % | 93.62 | % | |||||||||||
INCOME STATEMENT ($ in 000s, excl. per share data) | 1Q21 | 4Q20 | 1Q20 | ||||||||||||||
| Net interest income | $221,431 | $234,907 | $218,535 | ||||||||||||||
| Provision for credit losses | $— | $29 | $118,085 | ||||||||||||||
| Non-interest income | $108,800 | $123,960 | $40,645 | ||||||||||||||
| Non-interest expense | $187,592 | $211,312 | $1,962,658 | ||||||||||||||
| Earnings per common share - diluted | $0.49 | $0.68 | ($8.41) | ||||||||||||||
| Dividends paid per share | $0.21 | $0.21 | $0.21 | ||||||||||||||
| BALANCE SHEET | 1Q21 | 4Q20 | 1Q20 | ||||||||||||||
| Total assets | $30.0 | B | $29.2 | B | $27.5 | B | |||||||||||
| Loans and leases | $22.2 | B | $21.8 | B | $21.3 | B | |||||||||||
| Total deposits | $25.9 | B | $24.6 | B | $22.7 | B | |||||||||||
| Tangible book value per share1 | $12.10 | $12.21 | $11.30 | ||||||||||||||
| Book value per common shares | $12.16 | $12.28 | $11.39 | ||||||||||||||
Umpqua Holdings Corporation Contacts:
Ron Farnsworth, EVP/Chief Financial Officer, 503-727-4108, ronfarnsworth@umpquabank.com
Drew Anderson, SVP/Investor Relations Director & Chief Data Officer, 503-727-4192, drewanderson@umpquabank.com
1 "Non-GAAP" financial measure. A reconciliation to the comparable GAAP measurement is provided on page 4.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 2
Segment Disclosures
Segment disclosures have been included on pages 15 and 16 of this press release to provide additional detail on the Company's two operating segments: Core Banking and Mortgage Banking.
The Core Banking segment includes all lines of business, except Mortgage Banking, including wholesale, retail, wealth management, as well as the operations, technology, and administrative functions of the Bank and Holding Company. The Mortgage Banking segment includes the revenue earned from the production and sale of residential real estate loans, the servicing income from our serviced loan portfolio, the quarterly changes to the mortgage servicing rights (MSR) asset, and the specific expenses that are related to mortgage banking activities including variable commission expenses. Revenue and related expenses related to residential real estate loans held for investment are included in the Core Banking segment as portfolio loans are an anchor product for our consumer channels and are originated through a variety of channels throughout the Company.
Balance Sheet
Total consolidated assets were $30.0 billion as of March 31, 2021, compared to $29.2 billion as of December 31, 2020 and $27.5 billion as of March 31, 2020. Including secured off-balance sheet lines of credit, total available liquidity was $14.2 billion as of March 31, 2021, representing 47% of total assets and 55% of total deposits.
Gross loans and leases were $22.2 billion as of March 31, 2021, an increase of $381.5 million relative to December 31, 2020. The increase in gross loans and leases is primarily due to an increase of commercial real estate balances during the quarter of $92.2 million and an increase in net PPP loan balances of $297.6 million. The change in net PPP loan balances during the quarter was the result of an increase in round two PPP net loan balances of $659.2 million, offset by a decrease in PPP round one net loan balances of $361.6 million. Please refer to the additional loan tables in the Q1 2021 Earnings Presentation for select underwriting characteristics of the loan portfolio and specific industry concentrations impacted by COVID-19.
Total deposits were $25.9 billion as of March 31, 2021, an increase of $1.3 billion from $24.6 billion as of December 31, 2020. This increase was primarily attributable to growth in non-interest bearing demand deposits of $867.7 million and growth in money market balances of $380.9 million, partially offset by a decline in time deposits of $373.6 million.
Net Interest Income
Net interest income was $221.4 million for the first quarter of 2021, down $13.5 million from the prior quarter. The decrease was primarily driven by $9.3 million of lower PPP fees recognized in the quarter compared to the prior period.
The Company's net interest margin was 3.18% for the first quarter of 2021, down 17 basis points from 3.35% for the fourth quarter of 2020 primarily driven by an eleven basis points decrease resulting from lower PPP fees recognized in the quarter.
Credit Quality
The allowance for credit losses was $331.0 million, or 1.49% of loans and leases, as of March 31, 2021, which was down from $348.7 million, or 1.60% of loans and leases, as of December 31, 2020. The provision for credit losses decreased by $0.03 million from the prior quarter level primarily due to offsetting changes in loan portfolio mix and improvement in economic forecasts used in the credit models.
Net charge-offs as a percentage of average loans and leases decreased by two basis points to 0.33% of average loans and leases (annualized) as of December 31, 2020. The decrease in net charge-offs for the quarter was primarily due to continued stable credit performance of the loan portfolio. As of March 31, 2021, non-performing assets were 0.19% of total assets, compared to 0.24% as of December 31, 2020 and 0.32% as of March 31, 2020.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 3
Current Expected Credit Loss (CECL)
On January 1, 2020, we adopted Accounting Standards Update No. 2016-13, Financial Instruments —Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments ("CECL"). In applying CECL, we use credit models that factor in economic forecasts to project life of loan performance. At the beginning of the COVID-19 pandemic, economic forecasts projected significant, negative COVID-19 related impacts to the economy; therefore we recorded significant provisions for credit losses in the first and second quarters of 2020. As those future economic forecasts have stabilized as well as incorporating loan mix changes, we recorded a recapture of $0.34 million of the allowance for credit losses in the third quarter of 2020, a $0.03 million provision for credit losses in the fourth of 2020, and no provision for credit losses in the current period.
Non-interest Income
Non-interest income was $108.8 million for the first quarter of 2021, down $15.2 million from the prior quarter driven primarily by a decrease in net mortgage banking revenue of $14.0 million.
Revenue from the origination and sale of residential mortgages was $62.5 million for the first quarter of 2021, a decrease of $20.9 million from the prior quarter. This decrease reflects a sequential quarter decrease of $133.9 million or 8% in for-sale mortgage origination volume and a decrease of 89 basis points in the home lending gain on sale margin to 3.82% for the first quarter of 2021. Of the current quarter's mortgage production, 37% related to purchase activity, compared to 48% for the prior quarter and 43% for the same period of the prior year.
Non-interest Expense
Non-interest expense was $187.6 million for the first quarter of 2021, down $23.7 million from the prior quarter level. This decrease was primarily due to a decrease in salaries and benefits expenses of $8.3 million, a decrease in occupancy and equipment expenses of $7.1 million, and decreases in other expenses of $7.7 million.
Capital
As of March 31, 2021, the Company's tangible book value per common share1 was $12.10, compared to $12.21 in the prior quarter and $11.30 in the same period of the prior year. The decrease in tangible book value per share is attributable to increases in the fair value of trust preferred securities and a decrease in the unrealized gain of investment portfolio securities during the quarter.
The Company's estimated total risk-based capital ratio was 15.9% and its estimated Tier 1 common to risk weighted
assets ratio was 12.6% as of March 31, 2021. The Company remains above current “well-capitalized” regulatory minimums. The regulatory capital ratios as of March 31, 2021 are estimates, pending completion and filing of the Company's regulatory reports.
Non-GAAP Financial Measures
In addition to results presented in accordance with generally accepted accounting principles in the United States of America (GAAP), this press release contains certain non-GAAP financial measures. The Company believes that these non-GAAP financial measures provide investors with information useful in understanding the Company's financial performance; however, readers of this document are urged to review these non-GAAP financial measures in conjunction with the GAAP results as reported.
Management believes tangible common equity and the tangible common equity ratio are useful measures of capital adequacy because they provide a meaningful base for period-to-period and company-to-company comparisons, which management believes will assist investors in assessing the capital of the Company and the ability to absorb potential losses. Tangible common equity is calculated as total shareholders' equity less goodwill and other intangible assets, net (excluding MSRs). Tangible assets are total assets less goodwill and other intangible assets, net (excluding MSRs). The tangible common equity ratio is calculated as tangible common shareholders' equity divided by tangible assets.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 4
The following table provides reconciliations of ending shareholders' equity (GAAP) to ending tangible common equity (non-GAAP), and ending assets (GAAP) to ending tangible assets (non-GAAP).
| (In thousands, except per share data) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | |||||||||||||||||||||||||||
| Total shareholders' equity | $ | 2,681,869 | $ | 2,704,577 | $ | 2,610,244 | $ | 2,538,339 | $ | 2,507,611 | ||||||||||||||||||||||
| Subtract: | ||||||||||||||||||||||||||||||||
| Goodwill | 2,715 | 2,715 | 2,715 | 2,715 | 2,715 | |||||||||||||||||||||||||||
| Other intangible assets, net | 12,230 | 13,360 | 14,606 | 15,853 | 17,099 | |||||||||||||||||||||||||||
| Tangible common shareholders' equity | $ | 2,666,924 | $ | 2,688,502 | $ | 2,592,923 | $ | 2,519,771 | $ | 2,487,797 | ||||||||||||||||||||||
| Total assets | $ | 30,036,680 | $ | 29,235,175 | $ | 29,437,441 | $ | 29,645,248 | $ | 27,540,382 | ||||||||||||||||||||||
| Subtract: | ||||||||||||||||||||||||||||||||
| Goodwill | 2,715 | 2,715 | 2,715 | 2,715 | 2,715 | |||||||||||||||||||||||||||
| Other intangible assets, net | 12,230 | 13,360 | 14,606 | 15,853 | 17,099 | |||||||||||||||||||||||||||
| Tangible assets | $ | 30,021,735 | $ | 29,219,100 | $ | 29,420,120 | $ | 29,626,680 | $ | 27,520,568 | ||||||||||||||||||||||
| Common shares outstanding at period end | 220,491 | 220,226 | 220,222 | 220,219 | 220,175 | |||||||||||||||||||||||||||
| Total shareholders' equity to total assets ratio | 8.93 | % | 9.25 | % | 8.87 | % | 8.56 | % | 9.11 | % | ||||||||||||||||||||||
| Tangible common equity ratio | 8.88 | % | 9.20 | % | 8.81 | % | 8.51 | % | 9.04 | % | ||||||||||||||||||||||
| Book value per common share | $ | 12.16 | $ | 12.28 | $ | 11.85 | $ | 11.53 | $ | 11.39 | ||||||||||||||||||||||
| Tangible book value per common share | $ | 12.10 | $ | 12.21 | $ | 11.77 | $ | 11.44 | $ | 11.30 | ||||||||||||||||||||||
About Umpqua Holdings Corporation
Umpqua Holdings Corporation (NASDAQ: UMPQ) is the parent company of Umpqua Bank, an Oregon-based community bank recognized for its entrepreneurial approach, innovative customer experience, and distinctive banking solutions. Umpqua Bank has locations across Oregon, Washington, California, Idaho and Nevada. Umpqua Holdings Corporation is headquartered in Portland, Oregon. For more information, visit umpquabank.com.
Earnings Conference Call Information
The Company will host its first quarter 2021 earnings conference call on April 22, 2021, at 10:00 a.m. PT (1:00 p.m. ET). During the call, the Company will provide an update on recent activities and discuss its first quarter 2021 financial results. There will be a live question-and-answer session following the presentation. To join the call, please dial (866) 440-7407 ten minutes prior to the start time and enter conference ID: 7292532. A re-broadcast will be available approximately two hours after the call by dialing (855) 859-2056 and entering conference ID 7292532. The earnings conference call will also be available as an audio cast, which can be accessed on the Company's investor relations page at https://www.umpquabank.com/investor-relations/.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 5
Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the “Safe-Harbor” provisions of the Private Securities Litigation Reform Act of 1995, which management believes are a benefit to shareholders. These statements are necessarily subject to risk and uncertainty and actual results could differ materially due to various risk factors, including those set forth from time to time in our filings with the SEC. You should not place undue reliance on forward-looking statements and we undertake no obligation to update any such statements. Forward-looking statements can be identified by words such as “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “target,” “projects,” “outlook,” “forecast,” “will,” “may,” “could,” “should,” “can” and similar references to future periods. In this press release we make forward-looking statements about strategic and growth initiatives. Risks that could cause results to differ from forward-looking statements we make are set forth in our filings with the SEC and include, without limitation: current and future economic and market conditions, including the effects of declines in housing and commercial real estate prices, high unemployment rates, and any slowdown in economic growth particularly in the western United States; the effect of the COVID-19 pandemic, including on our credit quality, deferral programs, and business operations, as well as its impact on general economic and financial market conditions; economic forecast variables that are either materially worse or better than end of quarter projections and deterioration in the economy that exceeds current consensus estimates; our ability to effectively manage problem credits; our ability to successfully implement efficiency and operational excellence initiatives; our ability to successfully develop and market new products and technology; and changes in laws or regulations. We also caution that the amount and timing of any future common stock dividends or repurchases will depend on the earnings, cash requirements and financial condition of the Company, market conditions, capital requirements, applicable law and regulations (including federal securities laws and federal banking regulations), and other factors deemed relevant by the Company’s Board of Directors, and may be subject to regulatory approval or conditions.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 6
| Umpqua Holdings Corporation | |||||||||||||||||||||||||||||||||||||||||
| Consolidated Statements of Operations | |||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||||||||
| Quarter Ended | % Change | ||||||||||||||||||||||||||||||||||||||||
| (In thousands, except per share data) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | ||||||||||||||||||||||||||||||||||
| Interest income: | |||||||||||||||||||||||||||||||||||||||||
| Loans and leases | $ | 221,141 | $ | 240,815 | $ | 229,457 | $ | 235,174 | $ | 245,993 | (8) | % | (10) | % | |||||||||||||||||||||||||||
| Interest and dividends on investments: | |||||||||||||||||||||||||||||||||||||||||
| Taxable | 13,112 | 11,951 | 10,168 | 9,015 | 16,605 | 10 | % | (21) | % | ||||||||||||||||||||||||||||||||
| Exempt from federal income tax | 1,534 | 1,523 | 1,490 | 1,520 | 1,562 | 1 | % | (2) | % | ||||||||||||||||||||||||||||||||
| Dividends | 598 | 659 | 710 | 568 | 678 | (9) | % | (12) | % | ||||||||||||||||||||||||||||||||
| Temporary investments and interest bearing deposits | 624 | 531 | 474 | 403 | 3,331 | 18 | % | (81) | % | ||||||||||||||||||||||||||||||||
| Total interest income | 237,009 | 255,479 | 242,299 | 246,680 | 268,169 | (7) | % | (12) | % | ||||||||||||||||||||||||||||||||
| Interest expense: | |||||||||||||||||||||||||||||||||||||||||
| Deposits | 10,678 | 14,567 | 19,121 | 26,222 | 40,290 | (27) | % | (73) | % | ||||||||||||||||||||||||||||||||
| Securities sold under agreement to repurchase and federal funds purchased | 76 | 93 | 84 | 194 | 395 | (18) | % | (81) | % | ||||||||||||||||||||||||||||||||
| Borrowings | 1,772 | 2,765 | 3,271 | 3,839 | 4,046 | (36) | % | (56) | % | ||||||||||||||||||||||||||||||||
| Junior subordinated debentures | 3,052 | 3,147 | 3,249 | 3,922 | 4,903 | (3) | % | (38) | % | ||||||||||||||||||||||||||||||||
| Total interest expense | 15,578 | 20,572 | 25,725 | 34,177 | 49,634 | (24) | % | (69) | % | ||||||||||||||||||||||||||||||||
| Net interest income | 221,431 | 234,907 | 216,574 | 212,503 | 218,535 | (6) | % | 1 | % | ||||||||||||||||||||||||||||||||
| Provision (recapture) for credit losses | — | 29 | (338) | 87,085 | 118,085 | (100) | % | (100) | % | ||||||||||||||||||||||||||||||||
| Non-interest income: | |||||||||||||||||||||||||||||||||||||||||
| Service charges on deposits | 9,647 | 10,202 | 10,405 | 8,757 | 11,473 | (5) | % | (16) | % | ||||||||||||||||||||||||||||||||
| Card-based fees | 7,374 | 7,754 | 7,118 | 5,901 | 7,417 | (5) | % | (1) | % | ||||||||||||||||||||||||||||||||
| Brokerage revenue | 3,915 | 4,093 | 3,686 | 3,805 | 4,015 | (4) | % | (2) | % | ||||||||||||||||||||||||||||||||
| Residential mortgage banking revenue, net | 65,033 | 79,028 | 90,377 | 83,877 | 17,540 | (18) | % | 271 | % | ||||||||||||||||||||||||||||||||
| Gain (loss) on sale of debt securities, net | 4 | — | — | 323 | (133) | nm | nm | ||||||||||||||||||||||||||||||||||
| (Loss) gain on equity securities, net | (706) | (173) | (112) | 240 | 814 | 308 | % | (187) | % | ||||||||||||||||||||||||||||||||
| Gain on loan and lease sales, net | 1,373 | 3,374 | 1,092 | 1,074 | 1,167 | (59) | % | 18 | % | ||||||||||||||||||||||||||||||||
| BOLI income | 2,071 | 2,067 | 2,087 | 2,116 | 2,129 | 0 | % | (3) | % | ||||||||||||||||||||||||||||||||
| Other income (expense) | 20,089 | 17,615 | 17,271 | 9,387 | (3,777) | 14 | % | nm | |||||||||||||||||||||||||||||||||
| Total non-interest income | 108,800 | 123,960 | 131,924 | 115,480 | 40,645 | (12) | % | 168 | % | ||||||||||||||||||||||||||||||||
| Non-interest expense: | |||||||||||||||||||||||||||||||||||||||||
| Salaries and employee benefits | 124,134 | 132,460 | 120,337 | 116,676 | 109,774 | (6) | % | 13 | % | ||||||||||||||||||||||||||||||||
| Occupancy and equipment, net | 34,635 | 41,758 | 36,720 | 36,171 | 37,001 | (17) | % | (6) | % | ||||||||||||||||||||||||||||||||
| Intangible amortization | 1,130 | 1,246 | 1,247 | 1,246 | 1,247 | (9) | % | (9) | % | ||||||||||||||||||||||||||||||||
| FDIC assessments | 2,599 | 3,014 | 2,989 | 3,971 | 2,542 | (14) | % | 2 | % | ||||||||||||||||||||||||||||||||
| Goodwill impairment | — | — | — | — | 1,784,936 | 0 | % | (100) | % | ||||||||||||||||||||||||||||||||
| Other expenses | 25,094 | 32,834 | 28,914 | 23,846 | 27,158 | (24) | % | (8) | % | ||||||||||||||||||||||||||||||||
| Total non-interest expense | 187,592 | 211,312 | 190,207 | 181,910 | 1,962,658 | (11) | % | (90) | % | ||||||||||||||||||||||||||||||||
| Income (loss) before provision for income taxes | 142,639 | 147,526 | 158,629 | 58,988 | (1,821,563) | (3) | % | nm | |||||||||||||||||||||||||||||||||
| Provision (benefit) for income taxes | 34,902 | (3,204) | 33,758 | 6,062 | 30,384 | nm | 15 | % | |||||||||||||||||||||||||||||||||
| Net income (loss) | $ | 107,737 | $ | 150,730 | $ | 124,871 | $ | 52,926 | $ | (1,851,947) | (29) | % | nm | ||||||||||||||||||||||||||||
| Weighted average basic shares outstanding | 220,367 | 220,225 | 220,221 | 220,210 | 220,216 | 0 | % | 0 | % | ||||||||||||||||||||||||||||||||
| Weighted average diluted shares outstanding | 220,891 | 220,663 | 220,418 | 220,320 | 220,216 | 0 | % | 0 | % | ||||||||||||||||||||||||||||||||
| Earnings (loss) per common share – basic | $ | 0.49 | $ | 0.68 | $ | 0.57 | $ | 0.24 | $ | (8.41) | (28) | % | nm | ||||||||||||||||||||||||||||
| Earnings (loss) per common share – diluted | $ | 0.49 | $ | 0.68 | $ | 0.57 | $ | 0.24 | $ | (8.41) | (28) | % | nm | ||||||||||||||||||||||||||||
| nm = not meaningful | |||||||||||||||||||||||||||||||||||||||||
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 7
| Umpqua Holdings Corporation Consolidated Balance Sheets | |||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||||||||
| % Change | |||||||||||||||||||||||||||||||||||||||||
| (In thousands, except per share data) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | ||||||||||||||||||||||||||||||||||
| Assets: | |||||||||||||||||||||||||||||||||||||||||
| Cash and due from banks | $ | 379,361 | $ | 370,219 | $ | 370,595 | $ | 410,769 | $ | 406,426 | 2 | % | (7) | % | |||||||||||||||||||||||||||
| Interest bearing cash and temporary investments | 2,861,820 | 2,202,962 | 1,849,132 | 1,853,505 | 1,251,290 | 30 | % | 129 | % | ||||||||||||||||||||||||||||||||
| Investment securities: | |||||||||||||||||||||||||||||||||||||||||
| Equity and other, at fair value | 82,771 | 83,077 | 82,769 | 81,958 | 80,797 | 0 | % | 2 | % | ||||||||||||||||||||||||||||||||
| Available for sale, at fair value | 3,167,825 | 2,932,558 | 2,898,700 | 2,865,690 | 2,890,475 | 8 | % | 10 | % | ||||||||||||||||||||||||||||||||
| Held to maturity, at amortized cost | 2,954 | 3,034 | 3,088 | 3,143 | 3,200 | (3) | % | (8) | % | ||||||||||||||||||||||||||||||||
| Loans held for sale | 376,481 | 766,225 | 683,960 | 605,399 | 481,541 | (51) | % | (22) | % | ||||||||||||||||||||||||||||||||
| Loans and leases | 22,160,860 | 21,779,367 | 22,426,473 | 22,671,455 | 21,251,478 | 2 | % | 4 | % | ||||||||||||||||||||||||||||||||
| Allowance for credit losses on loans and leases | (311,283) | (328,401) | (345,049) | (356,745) | (291,420) | (5) | % | 7 | % | ||||||||||||||||||||||||||||||||
| Net loans and leases | 21,849,577 | 21,450,966 | 22,081,424 | 22,314,710 | 20,960,058 | 2 | % | 4 | % | ||||||||||||||||||||||||||||||||
| Restricted equity securities | 22,057 | 41,666 | 50,062 | 54,062 | 58,062 | (47) | % | (62) | % | ||||||||||||||||||||||||||||||||
| Premises and equipment, net | 176,571 | 178,050 | 185,104 | 192,041 | 195,390 | (1) | % | (10) | % | ||||||||||||||||||||||||||||||||
| Operating lease right-of-use assets | 100,643 | 104,937 | 107,321 | 111,487 | 115,485 | (4) | % | (13) | % | ||||||||||||||||||||||||||||||||
| Goodwill | 2,715 | 2,715 | 2,715 | 2,715 | 2,715 | 0 | % | 0 | % | ||||||||||||||||||||||||||||||||
| Other intangible assets, net | 12,230 | 13,360 | 14,606 | 15,853 | 17,099 | (8) | % | (28) | % | ||||||||||||||||||||||||||||||||
| Residential mortgage servicing rights, at fair value | 100,413 | 92,907 | 93,248 | 96,356 | 94,346 | 8 | % | 6 | % | ||||||||||||||||||||||||||||||||
| Bank owned life insurance | 322,867 | 323,470 | 326,120 | 324,873 | 322,717 | 0 | % | 0 | % | ||||||||||||||||||||||||||||||||
| Deferred tax asset, net | 10,905 | — | — | — | — | nm | nm | ||||||||||||||||||||||||||||||||||
| Other assets | 567,490 | 669,029 | 688,597 | 712,687 | 660,781 | (15) | % | (14) | % | ||||||||||||||||||||||||||||||||
| Total assets | $ | 30,036,680 | $ | 29,235,175 | $ | 29,437,441 | $ | 29,645,248 | $ | 27,540,382 | 3 | % | 9 | % | |||||||||||||||||||||||||||
| Liabilities: | |||||||||||||||||||||||||||||||||||||||||
| Deposits | $ | 25,886,833 | $ | 24,622,201 | $ | 24,669,783 | $ | 24,844,378 | $ | 22,699,375 | 5 | % | 14 | % | |||||||||||||||||||||||||||
| Securities sold under agreements to repurchase | 420,402 | 375,384 | 388,028 | 398,414 | 346,245 | 12 | % | 21 | % | ||||||||||||||||||||||||||||||||
| Borrowings | 281,444 | 771,482 | 996,520 | 1,096,559 | 1,196,597 | (64) | % | (76) | % | ||||||||||||||||||||||||||||||||
| Junior subordinated debentures, at fair value | 281,580 | 255,217 | 247,045 | 232,936 | 195,521 | 10 | % | 44 | % | ||||||||||||||||||||||||||||||||
| Junior subordinated debentures, at amortized cost | 88,212 | 88,268 | 88,325 | 88,382 | 88,439 | 0 | % | 0 | % | ||||||||||||||||||||||||||||||||
| Operating lease liabilities | 109,014 | 113,593 | 115,790 | 119,885 | 123,962 | (4) | % | (12) | % | ||||||||||||||||||||||||||||||||
| Deferred tax liability, net | — | 5,441 | 13,239 | 21,439 | 51,061 | (100) | % | (100) | % | ||||||||||||||||||||||||||||||||
| Other liabilities | 287,326 | 299,012 | 308,467 | 304,916 | 331,571 | (4) | % | (13) | % | ||||||||||||||||||||||||||||||||
| Total liabilities | 27,354,811 | 26,530,598 | 26,827,197 | 27,106,909 | 25,032,771 | 3 | % | 9 | % | ||||||||||||||||||||||||||||||||
| Shareholders' equity: | |||||||||||||||||||||||||||||||||||||||||
| Common stock | 3,515,248 | 3,514,599 | 3,512,153 | 3,510,145 | 3,507,680 | 0 | % | 0 | % | ||||||||||||||||||||||||||||||||
| Accumulated deficit | (871,511) | (932,767) | (1,036,931) | (1,115,414) | (1,168,340) | (7) | % | (25) | % | ||||||||||||||||||||||||||||||||
| Accumulated other comprehensive income | 38,132 | 122,745 | 135,022 | 143,608 | 168,271 | (69) | % | (77) | % | ||||||||||||||||||||||||||||||||
| Total shareholders' equity | 2,681,869 | 2,704,577 | 2,610,244 | 2,538,339 | 2,507,611 | (1) | % | 7 | % | ||||||||||||||||||||||||||||||||
| Total liabilities and shareholders' equity | $ | 30,036,680 | $ | 29,235,175 | $ | 29,437,441 | $ | 29,645,248 | $ | 27,540,382 | 3 | % | 9 | % | |||||||||||||||||||||||||||
| Common shares outstanding at period end | 220,491 | 220,226 | 220,222 | 220,219 | 220,175 | 0 | % | 0 | % | ||||||||||||||||||||||||||||||||
| Book value per common share | $ | 12.16 | $ | 12.28 | $ | 11.85 | $ | 11.53 | $ | 11.39 | (1) | % | 7 | % | |||||||||||||||||||||||||||
| Tangible book value per common share | $ | 12.10 | $ | 12.21 | $ | 11.77 | $ | 11.44 | $ | 11.30 | (1) | % | 7 | % | |||||||||||||||||||||||||||
| Tangible equity - common | $ | 2,666,924 | $ | 2,688,502 | $ | 2,592,923 | $ | 2,519,771 | $ | 2,487,797 | (1) | % | 7 | % | |||||||||||||||||||||||||||
| Tangible common equity to tangible assets | 8.88 | % | 9.20 | % | 8.81 | % | 8.51 | % | 9.04 | % | (0.32) | (0.16) | |||||||||||||||||||||||||||||
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 8
| Umpqua Holdings Corporation | |||||||||||||||||||||||||||||||||||||||||
| Loan and Lease Portfolio | |||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||||||||
| Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | % Change | ||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | Amount | Amount | Amount | Amount | Amount | Seq. Quarter | Year over Year | ||||||||||||||||||||||||||||||||||
| Loans and leases: | |||||||||||||||||||||||||||||||||||||||||
| Commercial real estate: | |||||||||||||||||||||||||||||||||||||||||
| Non-owner occupied term, net | $ | 3,455,773 | $ | 3,505,802 | $ | 3,533,776 | $ | 3,589,484 | $ | 3,613,420 | (1) | % | (4) | % | |||||||||||||||||||||||||||
| Owner occupied term, net | 2,358,169 | 2,333,945 | 2,411,098 | 2,459,954 | 2,472,187 | 1 | % | (5) | % | ||||||||||||||||||||||||||||||||
| Multifamily, net | 3,421,320 | 3,349,196 | 3,389,034 | 3,466,829 | 3,464,217 | 2 | % | (1) | % | ||||||||||||||||||||||||||||||||
| Construction & development, net | 876,297 | 828,478 | 757,462 | 662,703 | 667,975 | 6 | % | 31 | % | ||||||||||||||||||||||||||||||||
| Residential development, net | 190,841 | 192,761 | 163,400 | 164,180 | 187,594 | (1) | % | 2 | % | ||||||||||||||||||||||||||||||||
| Commercial: | |||||||||||||||||||||||||||||||||||||||||
Term, net (1) | 4,350,763 | 4,024,467 | 4,246,229 | 4,265,092 | 2,317,573 | 8 | % | 88 | % | ||||||||||||||||||||||||||||||||
| Lines of credit & other, net | 825,162 | 862,760 | 894,782 | 940,443 | 1,208,051 | (4) | % | (32) | % | ||||||||||||||||||||||||||||||||
| Leases & equipment finance, net | 1,420,977 | 1,456,630 | 1,496,650 | 1,522,369 | 1,492,762 | (2) | % | (5) | % | ||||||||||||||||||||||||||||||||
| Residential: | |||||||||||||||||||||||||||||||||||||||||
| Mortgage, net | 3,958,644 | 3,871,906 | 4,042,416 | 4,056,588 | 4,193,908 | 2 | % | (6) | % | ||||||||||||||||||||||||||||||||
| Home equity loans & lines, net | 1,097,168 | 1,136,064 | 1,172,697 | 1,189,428 | 1,249,152 | (3) | % | (12) | % | ||||||||||||||||||||||||||||||||
| Consumer & other, net | 205,746 | 217,358 | 318,929 | 354,385 | 384,639 | (5) | % | (47) | % | ||||||||||||||||||||||||||||||||
| Total loans and leases, net of deferred fees and costs | $ | 22,160,860 | $ | 21,779,367 | $ | 22,426,473 | $ | 22,671,455 | $ | 21,251,478 | 2 | % | 4 | % | |||||||||||||||||||||||||||
(1)The Bank participates in the Payroll Protection Program to originate SBA loans designated to help businesses maintain their workforce and cover other working capital needs during the COVID-19 pandemic. The Commercial Term loans in the table above include 18,135 PPP loans, totaling $2.0 billion, net of deferred fees and costs as of March 31, 2021. | |||||||||||||||||||||||||||||||||||||||||
| Loan and leases mix: | |||||||||||||||||||||||||||||||||||||||||
| Commercial real estate: | |||||||||||||||||||||||||||||||||||||||||
| Non-owner occupied term, net | 15 | % | 16 | % | 16 | % | 16 | % | 17 | % | |||||||||||||||||||||||||||||||
| Owner occupied term, net | 11 | % | 11 | % | 11 | % | 11 | % | 12 | % | |||||||||||||||||||||||||||||||
| Multifamily, net | 15 | % | 15 | % | 15 | % | 15 | % | 16 | % | |||||||||||||||||||||||||||||||
| Construction & development, net | 4 | % | 4 | % | 3 | % | 3 | % | 3 | % | |||||||||||||||||||||||||||||||
| Residential development, net | 1 | % | 1 | % | 1 | % | 1 | % | 1 | % | |||||||||||||||||||||||||||||||
| Commercial: | |||||||||||||||||||||||||||||||||||||||||
| Term, net | 20 | % | 18 | % | 19 | % | 19 | % | 11 | % | |||||||||||||||||||||||||||||||
| Lines of credit & other, net | 4 | % | 4 | % | 4 | % | 4 | % | 5 | % | |||||||||||||||||||||||||||||||
| Leases & equipment finance, net | 6 | % | 7 | % | 7 | % | 7 | % | 7 | % | |||||||||||||||||||||||||||||||
| Residential: | |||||||||||||||||||||||||||||||||||||||||
| Mortgage, net | 18 | % | 18 | % | 18 | % | 18 | % | 20 | % | |||||||||||||||||||||||||||||||
| Home equity loans & lines, net | 5 | % | 5 | % | 5 | % | 5 | % | 6 | % | |||||||||||||||||||||||||||||||
| Consumer & other, net | 1 | % | 1 | % | 1 | % | 1 | % | 2 | % | |||||||||||||||||||||||||||||||
| Total | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | |||||||||||||||||||||||||||||||
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 9
| Umpqua Holdings Corporation | |||||||||||||||||||||||||||||||||||||||||
| Deposits by Type/Core Deposits | |||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||||||||
| Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | % Change | ||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | Amount | Amount | Amount | Amount | Amount | Seq. Quarter | Year over Year | ||||||||||||||||||||||||||||||||||
| Deposits: | |||||||||||||||||||||||||||||||||||||||||
| Demand, non-interest bearing | $ | 10,500,482 | $ | 9,632,773 | $ | 9,475,244 | $ | 9,172,210 | $ | 7,169,907 | 9 | % | 46 | % | |||||||||||||||||||||||||||
| Demand, interest bearing | 3,244,624 | 3,051,487 | 2,931,990 | 2,813,722 | 2,482,908 | 6 | % | 31 | % | ||||||||||||||||||||||||||||||||
| Money market | 7,554,798 | 7,173,920 | 7,160,838 | 7,262,777 | 7,082,011 | 5 | % | 7 | % | ||||||||||||||||||||||||||||||||
| Savings | 2,109,211 | 1,912,752 | 1,848,639 | 1,730,051 | 1,486,909 | 10 | % | 42 | % | ||||||||||||||||||||||||||||||||
| Time | 2,477,718 | 2,851,269 | 3,253,072 | 3,865,618 | 4,477,640 | (13) | % | (45) | % | ||||||||||||||||||||||||||||||||
| Total | $ | 25,886,833 | $ | 24,622,201 | $ | 24,669,783 | $ | 24,844,378 | $ | 22,699,375 | 5 | % | 14 | % | |||||||||||||||||||||||||||
Total core deposits (1) | $ | 24,740,621 | $ | 23,298,561 | $ | 23,134,283 | $ | 22,934,059 | $ | 20,398,215 | 6 | % | 21 | % | |||||||||||||||||||||||||||
| Deposit mix: | |||||||||||||||||||||||||||||||||||||||||
| Demand, non-interest bearing | 41 | % | 39 | % | 38 | % | 37 | % | 32 | % | |||||||||||||||||||||||||||||||
| Demand, interest bearing | 12 | % | 12 | % | 12 | % | 11 | % | 11 | % | |||||||||||||||||||||||||||||||
| Money market | 29 | % | 29 | % | 29 | % | 29 | % | 31 | % | |||||||||||||||||||||||||||||||
| Savings | 8 | % | 8 | % | 8 | % | 7 | % | 7 | % | |||||||||||||||||||||||||||||||
| Time | 10 | % | 12 | % | 13 | % | 16 | % | 19 | % | |||||||||||||||||||||||||||||||
| Total | 100 | % | 100 | % | 100 | % | 100 | % | 100 | % | |||||||||||||||||||||||||||||||
| Number of open accounts: | |||||||||||||||||||||||||||||||||||||||||
| Demand, non-interest bearing | 422,792 | 420,050 | 423,658 | 423,456 | 416,270 | ||||||||||||||||||||||||||||||||||||
| Demand, interest bearing | 72,156 | 72,811 | 73,812 | 74,813 | 75,514 | ||||||||||||||||||||||||||||||||||||
| Money market | 58,409 | 58,609 | 59,083 | 59,445 | 59,203 | ||||||||||||||||||||||||||||||||||||
| Savings | 161,432 | 160,192 | 162,234 | 161,710 | 159,870 | ||||||||||||||||||||||||||||||||||||
| Time | 43,637 | 48,292 | 52,572 | 57,501 | 62,515 | ||||||||||||||||||||||||||||||||||||
| Total | 758,426 | 759,954 | 771,359 | 776,925 | 773,372 | ||||||||||||||||||||||||||||||||||||
| Average balance per account: | |||||||||||||||||||||||||||||||||||||||||
| Demand, non-interest bearing | $ | 24.8 | $ | 22.9 | $ | 22.4 | $ | 21.7 | $ | 17.2 | |||||||||||||||||||||||||||||||
| Demand, interest bearing | 45.0 | 41.9 | 39.7 | 37.6 | 32.9 | ||||||||||||||||||||||||||||||||||||
| Money market | 129.3 | 122.4 | 121.2 | 122.2 | 119.6 | ||||||||||||||||||||||||||||||||||||
| Savings | 13.1 | 11.9 | 11.4 | 10.7 | 9.3 | ||||||||||||||||||||||||||||||||||||
| Time | 56.8 | 59.0 | 61.9 | 67.2 | 71.6 | ||||||||||||||||||||||||||||||||||||
| Total | $ | 34.1 | $ | 32.4 | $ | 32.0 | $ | 32.0 | $ | 29.4 | |||||||||||||||||||||||||||||||
(1) Core deposits are defined as total deposits less time deposits greater than $250,000 and all brokered deposits.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 10
| Umpqua Holdings Corporation | ||||||||||||||||||||||||||||||||||||||||||||
| Credit Quality – Non-performing Assets | ||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||
| Quarter Ended | % Change | |||||||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | |||||||||||||||||||||||||||||||||||||
| Non-performing assets: | ||||||||||||||||||||||||||||||||||||||||||||
| Loans and leases on non-accrual status | $ | 29,216 | $ | 31,076 | $ | 26,425 | $ | 32,412 | $ | 39,128 | (6) | % | (25) | % | ||||||||||||||||||||||||||||||
Loans and leases past due 90+ days and accruing (1) | 25,612 | 36,361 | 50,269 | 39,818 | 47,185 | (30) | % | (46) | % | |||||||||||||||||||||||||||||||||||
| Total non-performing loans and leases | 54,828 | 67,437 | 76,694 | 72,230 | 86,313 | (19) | % | (36) | % | |||||||||||||||||||||||||||||||||||
| Other real estate owned | 1,405 | 1,810 | 2,369 | 2,578 | 3,020 | (22) | % | (53) | % | |||||||||||||||||||||||||||||||||||
| Total non-performing assets | $ | 56,233 | $ | 69,247 | $ | 79,063 | $ | 74,808 | $ | 89,333 | (19) | % | (37) | % | ||||||||||||||||||||||||||||||
| Performing restructured loans and leases | $ | 23,756 | $ | 14,991 | $ | 15,819 | $ | 15,032 | $ | 20,541 | 58 | % | 16 | % | ||||||||||||||||||||||||||||||
| Loans and leases past due 31-89 days | $ | 51,120 | $ | 72,047 | $ | 66,155 | $ | 40,583 | $ | 59,962 | (29) | % | (15) | % | ||||||||||||||||||||||||||||||
| Loans and leases past due 31-89 days to total loans and leases | 0.23 | % | 0.33 | % | 0.29 | % | 0.18 | % | 0.28 | % | ||||||||||||||||||||||||||||||||||
Non-performing loans and leases to total loans and leases (1) | 0.25 | % | 0.31 | % | 0.34 | % | 0.32 | % | 0.41 | % | ||||||||||||||||||||||||||||||||||
Non-performing assets to total assets(1) | 0.19 | % | 0.24 | % | 0.27 | % | 0.25 | % | 0.32 | % | ||||||||||||||||||||||||||||||||||
(1)Excludes certain mortgage loans guaranteed by Ginnie Mae, which Umpqua has the unilateral right to repurchase but has not done so, totaling $20.0 million, $2.6 million, and $5.3 million at September 30, 2020, June 30, 2020, and March 31, 2020, respectively. There were no non-performing mortgage loans guaranteed by Ginnie Mae, which Umpqua has the unilateral right to repurchase but has not done so at March 31, 2021 and December 31, 2020.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 11
| Umpqua Holdings Corporation | ||||||||||||||||||||||||||||||||||||||||||||
| Credit Quality – Allowance for Credit Losses | ||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||
| Quarter Ended | % Change | |||||||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | |||||||||||||||||||||||||||||||||||||
| Allowance for credit losses on loans and leases (ACLLL) | ||||||||||||||||||||||||||||||||||||||||||||
| Balance, beginning of period | $ | 328,401 | $ | 345,049 | $ | 356,745 | $ | 291,420 | $ | 157,629 | (5) | % | 108 | % | ||||||||||||||||||||||||||||||
| Impact of adoption of CECL | — | — | — | — | 49,999 | nm | nm | |||||||||||||||||||||||||||||||||||||
| Adjusted balance, beginning of period | 328,401 | 345,049 | 356,745 | 291,420 | 207,628 | (5) | % | 58 | % | |||||||||||||||||||||||||||||||||||
| Provision for credit losses on loans and leases | 526 | 3,104 | 1,785 | 81,484 | 105,502 | (83) | % | (100) | % | |||||||||||||||||||||||||||||||||||
| Charge-offs | (20,915) | (23,942) | (16,646) | (19,453) | (24,455) | (13) | % | (14) | % | |||||||||||||||||||||||||||||||||||
| Recoveries | 3,271 | 4,190 | 3,165 | 3,294 | 2,745 | (22) | % | 19 | % | |||||||||||||||||||||||||||||||||||
| Net charge-offs | (17,644) | (19,752) | (13,481) | (16,159) | (21,710) | (11) | % | (19) | % | |||||||||||||||||||||||||||||||||||
| Balance, end of period | $ | 311,283 | $ | 328,401 | $ | 345,049 | $ | 356,745 | $ | 291,420 | (5) | % | 7 | % | ||||||||||||||||||||||||||||||
| Reserve for unfunded commitments | ||||||||||||||||||||||||||||||||||||||||||||
| Balance, beginning of period | $ | 20,286 | $ | 24,306 | $ | 26,368 | $ | 20,927 | $ | 5,106 | (17) | % | 297 | % | ||||||||||||||||||||||||||||||
| Impact of adoption of CECL | — | — | — | — | 3,238 | nm | nm | |||||||||||||||||||||||||||||||||||||
| Adjusted balance, beginning of period | 20,286 | 24,306 | 26,368 | 20,927 | 8,344 | (17) | % | 143 | % | |||||||||||||||||||||||||||||||||||
| (Recapture) provision for credit losses on unfunded commitments | (526) | (4,020) | (2,062) | 5,441 | 12,583 | (87) | % | (104) | % | |||||||||||||||||||||||||||||||||||
| Balance, end of period | 19,760 | 20,286 | 24,306 | 26,368 | 20,927 | (3) | % | (6) | % | |||||||||||||||||||||||||||||||||||
| Total Allowance for credit losses (ACL) | $ | 331,043 | $ | 348,687 | $ | 369,355 | $ | 383,113 | $ | 312,347 | (5) | % | 6 | % | ||||||||||||||||||||||||||||||
| Net charge-offs to average loans and leases (annualized) | 0.33 | % | 0.35 | % | 0.24 | % | 0.29 | % | 0.41 | % | ||||||||||||||||||||||||||||||||||
| Recoveries to gross charge-offs | 15.64 | % | 17.50 | % | 19.01 | % | 16.93 | % | 11.22 | % | ||||||||||||||||||||||||||||||||||
| ACLLL to loans and leases | 1.40 | % | 1.51 | % | 1.54 | % | 1.57 | % | 1.37 | % | ||||||||||||||||||||||||||||||||||
| ACL to loans and leases | 1.49 | % | 1.60 | % | 1.65 | % | 1.69 | % | 1.47 | % | ||||||||||||||||||||||||||||||||||
| nm = not meaningful | ||||||||||||||||||||||||||||||||||||||||||||
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 12
| Umpqua Holdings Corporation | ||||||||||||||||||||||||||||||||||||||||||||
| Selected Ratios | ||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||
| Quarter Ended | % Change | |||||||||||||||||||||||||||||||||||||||||||
| Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | ||||||||||||||||||||||||||||||||||||||
| Average Rates: | ||||||||||||||||||||||||||||||||||||||||||||
| Yield on loans held for sale | 2.75 | % | 3.19 | % | 3.13 | % | 3.77 | % | 4.20 | % | (0.44) | (1.45) | ||||||||||||||||||||||||||||||||
| Yield on loans and leases | 4.02 | % | 4.24 | % | 3.96 | % | 4.11 | % | 4.58 | % | (0.22) | (0.56) | ||||||||||||||||||||||||||||||||
| Yield on taxable investments | 1.86 | % | 1.77 | % | 1.56 | % | 1.38 | % | 2.50 | % | 0.09 | (0.64) | ||||||||||||||||||||||||||||||||
Yield on tax-exempt investments (1) | 3.03 | % | 3.08 | % | 3.11 | % | 3.17 | % | 3.14 | % | (0.05) | (0.11) | ||||||||||||||||||||||||||||||||
| Yield on interest bearing cash and temporary investments | 0.10 | % | 0.10 | % | 0.10 | % | 0.10 | % | 1.23 | % | — | (1.13) | ||||||||||||||||||||||||||||||||
Total yield on earning assets (1) | 3.41 | % | 3.64 | % | 3.45 | % | 3.59 | % | 4.19 | % | (0.23) | (0.78) | ||||||||||||||||||||||||||||||||
| Cost of interest bearing deposits | 0.29 | % | 0.38 | % | 0.49 | % | 0.67 | % | 1.03 | % | (0.09) | (0.74) | ||||||||||||||||||||||||||||||||
| Cost of securities sold under agreements | ||||||||||||||||||||||||||||||||||||||||||||
| to repurchase and fed funds purchased | 0.08 | % | 0.09 | % | 0.09 | % | 0.21 | % | 0.47 | % | (0.01) | (0.39) | ||||||||||||||||||||||||||||||||
| Cost of borrowings | 1.33 | % | 1.18 | % | 1.23 | % | 1.33 | % | 1.79 | % | 0.15 | (0.46) | ||||||||||||||||||||||||||||||||
| Cost of junior subordinated debentures | 3.60 | % | 3.73 | % | 4.03 | % | 5.55 | % | 5.45 | % | (0.13) | (1.85) | ||||||||||||||||||||||||||||||||
| Total cost of interest bearing liabilities | 0.38 | % | 0.49 | % | 0.59 | % | 0.78 | % | 1.15 | % | (0.11) | (0.77) | ||||||||||||||||||||||||||||||||
Net interest spread (1) | 3.03 | % | 3.15 | % | 2.85 | % | 2.81 | % | 3.04 | % | (0.12) | (0.01) | ||||||||||||||||||||||||||||||||
Net interest margin (1) | 3.18 | % | 3.35 | % | 3.08 | % | 3.09 | % | 3.41 | % | (0.17) | (0.23) | ||||||||||||||||||||||||||||||||
| Performance Ratios: | ||||||||||||||||||||||||||||||||||||||||||||
| Return on average assets | 1.49 | % | 2.04 | % | 1.68 | % | 0.73 | % | (25.82) | % | (0.55) | 27.31 | ||||||||||||||||||||||||||||||||
| Return on average tangible assets | 1.49 | % | 2.04 | % | 1.68 | % | 0.73 | % | (27.53) | % | (0.55) | 29.02 | ||||||||||||||||||||||||||||||||
| Return on average common equity | 16.33 | % | 22.92 | % | 19.48 | % | 8.46 | % | (174.94) | % | (6.59) | 191.27 | ||||||||||||||||||||||||||||||||
| Return on average tangible common equity | 16.43 | % | 23.07 | % | 19.62 | % | 8.53 | % | (301.30) | % | (6.64) | 317.73 | ||||||||||||||||||||||||||||||||
| Efficiency ratio – Consolidated | 56.74 | % | 58.82 | % | 54.52 | % | 55.40 | % | 756.29 | % | (2.08) | (699.55) | ||||||||||||||||||||||||||||||||
| Efficiency ratio – Bank | 55.51 | % | 57.77 | % | 53.41 | % | 54.17 | % | 752.92 | % | (2.26) | (697.41) | ||||||||||||||||||||||||||||||||
(1) Tax exempt interest has been adjusted to a taxable equivalent basis using a 21% tax rate.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 13
| Umpqua Holdings Corporation Average Balances | |||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||||||||
| Quarter Ended | % Change | ||||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | ||||||||||||||||||||||||||||||||||
| Temporary investments and interest bearing cash | $ | 2,483,451 | $ | 2,066,572 | $ | 1,827,818 | $ | 1,563,753 | $ | 1,084,854 | 20 | % | 129 | % | |||||||||||||||||||||||||||
| Investment securities, taxable | 2,945,896 | 2,850,550 | 2,797,547 | 2,777,154 | 2,760,461 | 3 | % | 7 | % | ||||||||||||||||||||||||||||||||
| Investment securities, tax-exempt | 252,741 | 245,997 | 237,165 | 235,934 | 241,105 | 3 | % | 5 | % | ||||||||||||||||||||||||||||||||
| Loans held for sale | 703,557 | 696,688 | 669,646 | 577,773 | 406,434 | 1 | % | 73 | % | ||||||||||||||||||||||||||||||||
| Loans and leases | 21,692,639 | 22,138,283 | 22,560,076 | 22,428,142 | 21,196,989 | (2) | % | 2 | % | ||||||||||||||||||||||||||||||||
| Total interest earning assets | 28,078,284 | 27,998,090 | 28,092,252 | 27,582,756 | 25,689,843 | 0 | % | 9 | % | ||||||||||||||||||||||||||||||||
| Goodwill and other intangible assets, net | 15,598 | 16,775 | 18,021 | 19,253 | 1,785,608 | (7) | % | (99) | % | ||||||||||||||||||||||||||||||||
| Total assets | 29,392,490 | 29,396,311 | 29,533,871 | 29,066,775 | 28,844,773 | 0 | % | 2 | % | ||||||||||||||||||||||||||||||||
| Non-interest bearing demand deposits | 9,897,749 | 9,587,081 | 9,335,350 | 8,484,684 | 6,880,457 | 3 | % | 44 | % | ||||||||||||||||||||||||||||||||
| Interest bearing deposits | 15,166,198 | 15,165,049 | 15,451,816 | 15,803,595 | 15,695,309 | 0 | % | (3) | % | ||||||||||||||||||||||||||||||||
| Total deposits | 25,063,947 | 24,752,130 | 24,787,166 | 24,288,279 | 22,575,766 | 1 | % | 11 | % | ||||||||||||||||||||||||||||||||
| Interest bearing liabilities | 16,444,694 | 16,822,808 | 17,205,775 | 17,625,888 | 17,301,712 | (2) | % | (5) | % | ||||||||||||||||||||||||||||||||
| Shareholders' equity - common | 2,674,871 | 2,615,676 | 2,549,703 | 2,514,754 | 4,257,711 | 2 | % | (37) | % | ||||||||||||||||||||||||||||||||
Tangible common equity (1) | 2,659,273 | 2,598,901 | 2,531,682 | 2,495,501 | 2,472,103 | 2 | % | 8 | % | ||||||||||||||||||||||||||||||||
(1) Average tangible common equity is a non-GAAP financial measure. Average tangible common equity is calculated as average common shareholders' equity less average goodwill and other intangible assets, net (excluding MSRs). | |||||||||||||||||||||||||||||||||||||||||
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 14
| Umpqua Holdings Corporation Average Rates and Balances | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Quarter Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| March 31, 2021 | December 31, 2020 | March 31, 2020 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| (Dollars in thousands) | Average Balance | Interest Income or Expense | Average Yields or Rates | Average Balance | Interest Income or Expense | Average Yields or Rates | Average Balance | Interest Income or Expense | Average Yields or Rates | ||||||||||||||||||||||||||||||||||||||||||||
| INTEREST-EARNING ASSETS: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Loans held for sale | $ | 703,557 | $ | 4,845 | 2.75 | % | $ | 696,688 | $ | 5,554 | 3.19 | % | $ | 406,434 | $ | 4,264 | 4.20 | % | |||||||||||||||||||||||||||||||||||
| Loans and leases (1) | 21,692,639 | 216,296 | 4.02 | % | 22,138,283 | 235,261 | 4.24 | % | 21,196,989 | 241,729 | 4.58 | % | |||||||||||||||||||||||||||||||||||||||||
| Taxable securities | 2,945,896 | 13,710 | 1.86 | % | 2,850,550 | 12,610 | 1.77 | % | 2,760,461 | 17,283 | 2.50 | % | |||||||||||||||||||||||||||||||||||||||||
| Non-taxable securities (2) | 252,741 | 1,915 | 3.03 | % | 245,997 | 1,893 | 3.08 | % | 241,105 | 1,894 | 3.14 | % | |||||||||||||||||||||||||||||||||||||||||
| Temporary investments and interest-bearing cash | 2,483,451 | 624 | 0.10 | % | 2,066,572 | 531 | 0.10 | % | 1,084,854 | 3,331 | 1.23 | % | |||||||||||||||||||||||||||||||||||||||||
| Total interest-earning assets | 28,078,284 | $ | 237,390 | 3.41 | % | 27,998,090 | $ | 255,849 | 3.64 | % | 25,689,843 | $ | 268,501 | 4.19 | % | ||||||||||||||||||||||||||||||||||||||
| Other assets | 1,314,206 | 1,398,221 | 3,154,930 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Total assets | $ | 29,392,490 | $ | 29,396,311 | $ | 28,844,773 | |||||||||||||||||||||||||||||||||||||||||||||||
| INTEREST-BEARING LIABILITIES: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing demand deposits | $ | 3,125,398 | $ | 414 | 0.05 | % | $ | 3,014,292 | $ | 448 | 0.06 | % | $ | 2,471,556 | $ | 3,543 | 0.58 | % | |||||||||||||||||||||||||||||||||||
| Money market deposits | 7,360,512 | 1,491 | 0.08 | % | 7,210,906 | 1,731 | 0.10 | % | 7,107,626 | 11,759 | 0.66 | % | |||||||||||||||||||||||||||||||||||||||||
| Savings deposits | 1,998,927 | 163 | 0.03 | % | 1,882,866 | 183 | 0.04 | % | 1,485,171 | 241 | 0.07 | % | |||||||||||||||||||||||||||||||||||||||||
| Time deposits | 2,681,361 | 8,610 | 1.30 | % | 3,056,985 | 12,205 | 1.59 | % | 4,630,956 | 24,747 | 2.15 | % | |||||||||||||||||||||||||||||||||||||||||
| Total interest-bearing deposits | 15,166,198 | 10,678 | 0.29 | % | 15,165,049 | 14,567 | 0.38 | % | 15,695,309 | 40,290 | 1.03 | % | |||||||||||||||||||||||||||||||||||||||||
| Repurchase agreements and federal funds purchased | 395,946 | 76 | 0.08 | % | 388,361 | 93 | 0.09 | % | 337,796 | 395 | 0.47 | % | |||||||||||||||||||||||||||||||||||||||||
| Borrowings | 539,077 | 1,772 | 1.33 | % | 934,006 | 2,765 | 1.18 | % | 906,624 | 4,046 | 1.79 | % | |||||||||||||||||||||||||||||||||||||||||
| Junior subordinated debentures | 343,473 | 3,052 | 3.60 | % | 335,392 | 3,147 | 3.73 | % | 361,983 | 4,903 | 5.45 | % | |||||||||||||||||||||||||||||||||||||||||
| Total interest-bearing liabilities | 16,444,694 | $ | 15,578 | 0.38 | % | 16,822,808 | $ | 20,572 | 0.49 | % | 17,301,712 | $ | 49,634 | 1.15 | % | ||||||||||||||||||||||||||||||||||||||
| Non-interest-bearing deposits | 9,897,749 | 9,587,081 | 6,880,457 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Other liabilities | 375,176 | 370,746 | 404,893 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Total liabilities | 26,717,619 | 26,780,635 | 24,587,062 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Common equity | 2,674,871 | 2,615,676 | 4,257,711 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Total liabilities and shareholders' equity | $ | 29,392,490 | $ | 29,396,311 | $ | 28,844,773 | |||||||||||||||||||||||||||||||||||||||||||||||
| NET INTEREST INCOME | $ | 221,812 | $ | 235,277 | $ | 218,867 | |||||||||||||||||||||||||||||||||||||||||||||||
| NET INTEREST SPREAD | 3.03 | % | 3.15 | % | 3.04 | % | |||||||||||||||||||||||||||||||||||||||||||||||
| NET INTEREST INCOME TO EARNING ASSETS OR NET INTEREST MARGIN (1), (2) | 3.18 | % | 3.35 | % | 3.41 | % | |||||||||||||||||||||||||||||||||||||||||||||||
(1)Non-accrual loans and leases are included in the average balance.
(2)Tax-exempt income has been adjusted to a tax equivalent basis at a 21% tax rate. The amount of such adjustment was an addition to recorded income of approximately $381,000 for the three months ended March 31, 2021, as compared to $370,000 for December 31, 2020 and $332,000 for March 31, 2020.
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 15
| Umpqua Holdings Corporation Segments | ||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||
| Core Banking | Quarter Ended | % Change | ||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | |||||||||||||||||||||||||||||||||||||
| Net interest income | $ | 217,574 | $ | 230,430 | $ | 212,215 | $ | 208,245 | $ | 216,106 | (6) | % | 1 | % | ||||||||||||||||||||||||||||||
| Provision (recapture) for credit losses | — | 29 | (338) | 87,085 | 118,085 | (100) | % | (100) | % | |||||||||||||||||||||||||||||||||||
| Non-interest income | ||||||||||||||||||||||||||||||||||||||||||||
| (Loss) gain on sale of investment securities, net | (702) | (173) | (112) | 563 | 681 | 306 | % | (203) | % | |||||||||||||||||||||||||||||||||||
| Gain (loss) on swap derivatives, net | 11,750 | 3,955 | 1,765 | (823) | (14,306) | 197 | % | (182) | % | |||||||||||||||||||||||||||||||||||
| Non-interest income (excluding above items) | 32,403 | 40,921 | 39,678 | 31,697 | 36,588 | (21) | % | (11) | % | |||||||||||||||||||||||||||||||||||
| Total non-interest income | 43,451 | 44,703 | 41,331 | 31,437 | 22,963 | (3) | % | 89 | % | |||||||||||||||||||||||||||||||||||
| Non-interest expense | ||||||||||||||||||||||||||||||||||||||||||||
| Goodwill Impairment | — | — | — | — | 1,784,936 | nm | (100) | % | ||||||||||||||||||||||||||||||||||||
| Exit and disposal costs | 1,200 | 725 | 792 | 548 | 524 | 66 | % | 129 | % | |||||||||||||||||||||||||||||||||||
| Non-interest expense (excluding above items) | 145,161 | 171,634 | 148,519 | 141,448 | 147,896 | (15) | % | (2) | % | |||||||||||||||||||||||||||||||||||
Allocated expenses, net (1) | (790) | (3,565) | (2,976) | (1,963) | (3,053) | (78) | % | (74) | % | |||||||||||||||||||||||||||||||||||
| Total non-interest expense | 145,571 | 168,794 | 146,335 | 140,033 | 1,930,303 | (14) | % | (92) | % | |||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 115,454 | 106,310 | 107,549 | 12,564 | (1,809,319) | 9 | % | (106) | % | |||||||||||||||||||||||||||||||||||
| Provision (benefit) for income taxes | 28,106 | (13,508) | 20,988 | (5,544) | 33,445 | (308) | % | (16) | % | |||||||||||||||||||||||||||||||||||
| Net income (loss) | $ | 87,348 | $ | 119,818 | $ | 86,561 | $ | 18,108 | $ | (1,842,764) | (27) | % | (105) | % | ||||||||||||||||||||||||||||||
| Effective Tax Rate | 24 | % | (13 | %) | 20 | % | (44 | %) | (2 | %) | ||||||||||||||||||||||||||||||||||
| Efficiency Ratio | 56 | % | 61 | % | 58 | % | 58 | % | 807 | % | ||||||||||||||||||||||||||||||||||
| Total assets | $ | 29,529,769 | $ | 28,438,813 | $ | 28,652,477 | $ | 28,942,285 | $ | 26,935,780 | 4 | % | 10 | % | ||||||||||||||||||||||||||||||
| Loans held for sale | $ | 9,406 | $ | 111,670 | $ | 39,453 | $ | 40,694 | $ | 35,075 | (92) | % | (73) | % | ||||||||||||||||||||||||||||||
| Total loans and leases | $ | 22,160,860 | $ | 21,779,367 | $ | 22,426,473 | $ | 22,671,455 | $ | 21,251,478 | 2 | % | 4 | % | ||||||||||||||||||||||||||||||
| Total deposits | $ | 25,425,339 | $ | 24,200,012 | $ | 24,102,498 | $ | 24,421,486 | $ | 22,333,553 | 5 | % | 14 | % | ||||||||||||||||||||||||||||||
| Key Rates, end of period: | ||||||||||||||||||||||||||||||||||||||||||||
| 10 year CMT | 1.74 | % | 0.93 | % | 0.69 | % | 0.66 | % | 0.70 | % | ||||||||||||||||||||||||||||||||||
| FHLMC 30 year fixed | 3.18 | % | 2.67 | % | 2.88 | % | 3.13 | % | 3.50 | % | ||||||||||||||||||||||||||||||||||
| nm = not meaningful | ||||||||||||||||||||||||||||||||||||||||||||
(1) Represents the internal charge of centrally provided support services and other corporate overhead to the Mortgage Banking segment. | ||||||||||||||||||||||||||||||||||||||||||||
Umpqua Reports First Quarter 2021 Results
April 21, 2021
Page 16
| Umpqua Holdings Corporation Segments - Continued | ||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||
| Mortgage Banking | Quarter Ended | % Change | ||||||||||||||||||||||||||||||||||||||||||
(in thousands) | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Seq. Quarter | Year over Year | |||||||||||||||||||||||||||||||||||||
| Net interest income | $ | 3,857 | $ | 4,477 | $ | 4,359 | $ | 4,258 | $ | 2,429 | (14) | % | 59 | % | ||||||||||||||||||||||||||||||
| Provision for credit losses | — | — | — | — | — | nm | nm | |||||||||||||||||||||||||||||||||||||
| Non-interest income | ||||||||||||||||||||||||||||||||||||||||||||
| Residential mortgage banking revenue: | ||||||||||||||||||||||||||||||||||||||||||||
| Origination and sale | 62,505 | 83,388 | 98,703 | 86,781 | 39,347 | (25) | % | 59 | % | |||||||||||||||||||||||||||||||||||
| Servicing | 9,087 | 9,497 | 8,796 | 8,533 | 8,880 | (4) | % | 2 | % | |||||||||||||||||||||||||||||||||||
| Change in fair value of MSR asset: | ||||||||||||||||||||||||||||||||||||||||||||
| Changes due to collection/realization of expected cash flows over time | (4,545) | (4,431) | (4,878) | (5,042) | (5,329) | 3 | % | (15) | % | |||||||||||||||||||||||||||||||||||
| Changes due to valuation inputs or assumptions | (2,014) | (9,426) | (12,244) | (6,395) | (25,358) | (79) | % | (92) | % | |||||||||||||||||||||||||||||||||||
| Non-interest income (excluding above items) | 316 | 229 | 216 | 166 | 142 | 38 | % | 123 | % | |||||||||||||||||||||||||||||||||||
| Total non-interest income | 65,349 | 79,257 | 90,593 | 84,043 | 17,682 | (18) | % | 270 | % | |||||||||||||||||||||||||||||||||||
| Non-interest expense | ||||||||||||||||||||||||||||||||||||||||||||
| Non-interest expense | 41,231 | 38,953 | 40,896 | 39,914 | 29,302 | 6 | % | 41 | % | |||||||||||||||||||||||||||||||||||
Allocated expenses, net (1) | 790 | 3,565 | 2,976 | 1,963 | 3,053 | (78) | % | (74) | % | |||||||||||||||||||||||||||||||||||
| Total non-interest expense | 42,021 | 42,518 | 43,872 | 41,877 | 32,355 | (1) | % | 30 | % | |||||||||||||||||||||||||||||||||||
| Income (loss) before income taxes | 27,185 | 41,216 | 51,080 | 46,424 | (12,244) | (34) | % | (322) | % | |||||||||||||||||||||||||||||||||||
| Provision (benefit) for income taxes | 6,796 | 10,304 | 12,770 | 11,606 | (3,061) | (34) | % | (322) | % | |||||||||||||||||||||||||||||||||||
| Net income (loss) | $ | 20,389 | $ | 30,912 | $ | 38,310 | $ | 34,818 | $ | (9,183) | (34) | % | (322) | % | ||||||||||||||||||||||||||||||
| Effective Tax Rate | 25 | % | 25 | % | 25 | % | 25 | % | 25 | % | ||||||||||||||||||||||||||||||||||
| Efficiency Ratio | 61 | % | 51 | % | 46 | % | 47 | % | 161 | % | ||||||||||||||||||||||||||||||||||
| Total assets | 506,911 | 796,362 | 784,964 | 702,963 | 604,602 | (36) | % | (16) | % | |||||||||||||||||||||||||||||||||||
| Loans held for sale | 367,075 | 654,555 | 644,507 | 564,705 | 446,466 | (44) | % | (18) | % | |||||||||||||||||||||||||||||||||||
| Total deposits | 461,494 | 422,189 | 567,285 | 422,892 | 365,822 | 9 | % | 26 | % | |||||||||||||||||||||||||||||||||||
| LHFS Production Statistics: | ||||||||||||||||||||||||||||||||||||||||||||
| Closed loan volume for-sale | 1,635,532 | 1,769,432 | 1,922,789 | 1,826,095 | 1,148,184 | (8) | % | 42 | % | |||||||||||||||||||||||||||||||||||
| Gain on sale margin | 3.82 | % | 4.71 | % | 5.13 | % | 4.75 | % | 3.43 | % | ||||||||||||||||||||||||||||||||||
| Direct LHFS expense | 31,151 | 33,210 | 35,678 | 34,057 | 24,045 | (6) | % | 30 | % | |||||||||||||||||||||||||||||||||||
| Direct LHFS expenses as % of volume | 1.90 | % | 1.88 | % | 1.86 | % | 1.87 | % | 2.09 | % | ||||||||||||||||||||||||||||||||||
| MSR Statistics: | ||||||||||||||||||||||||||||||||||||||||||||
| Residential mortgage loans serviced for others | 13,030,467 | 13,026,720 | 12,964,361 | 12,746,125 | 12,533,045 | 0 | % | 4 | % | |||||||||||||||||||||||||||||||||||
| MSR, net | 100,413 | 92,907 | 93,248 | 96,356 | 94,346 | 8 | % | 6 | % | |||||||||||||||||||||||||||||||||||
| MSR as % of serviced portfolio | 0.77 | % | 0.71 | % | 0.72 | % | 0.76 | % | 0.75 | % | ||||||||||||||||||||||||||||||||||
| Key Rates, end of period: | ||||||||||||||||||||||||||||||||||||||||||||
| 10 year CMT | 1.74 | % | 0.93 | % | 0.69 | % | 0.66 | % | 0.70 | % | ||||||||||||||||||||||||||||||||||
| FHLMC 30 year fixed | 3.18 | % | 2.67 | % | 2.88 | % | 3.13 | % | 3.50 | % | ||||||||||||||||||||||||||||||||||
| nm = not meaningful | ||||||||||||||||||||||||||||||||||||||||||||
(1) Represents the internal charge of centrally provided support services and other corporate overhead to the Mortgage Banking segment.
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