We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
P.F.Changs China Bistro, Inc. (MM) | NASDAQ:PFCB | NASDAQ | Common Stock |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 51.47 | 0 | 01:00:00 |
Third Quarter 2020 Highlights
Premier Financial Corp. (Nasdaq: PFC) (“Premier” or the “Company”) announced today third quarter results including solid core profitability. On a GAAP basis, net income for the third quarter of 2020 was $25.7 million, or $0.77 per diluted common share, compared to net income of $13.2 million, or $0.66 per diluted common share, for the third quarter of 2019. Net income for the nine months ended September 30, 2020, was $32.2 million, or $1.88 per diluted common share, compared to $36.9 million, or $1.85 per diluted common share, for the nine months ended September 30, 2019. The year-over-year comparisons are substantially impacted by the acquisition of United Community Financial Corp. (“UCFC”) on January 31, 2020. The current year’s results include the impact of $3.7 million and $17.3 million of acquisition-related charges for the three and nine months ended September 30, 2020, respectively, which had after-tax costs of $2.9 million and $14.0 million, respectively, or $0.08 and $0.39 per diluted common share, respectively. The three and nine months ended September 30, 2019, included $540,000 of acquisition-related charges, which had an after-tax cost of $427,000 or $0.02 per diluted common share. Additionally, the current year’s nine month provision expense of $49.3 million included $25.9 million related to acquisition accounting for an after-tax cost of $20.5 million, or $0.58 per diluted common share. The first nine months of 2019 included a provision expense of $1.8 million, which had an after-tax cost of $1.4 million, or $0.09 per diluted common share, and no acquisition impact. Excluding the impact of the acquisition-related provision and charges, earnings for the three and nine months ended September 30, 2020, were $28.6 million and $66.8 million, respectively, or $0.77 and $1.88 per diluted common share, respectively.
“Efficiency and non-interest income growth are highlights of our continued strong financial performance for the third quarter,” said Donald P. Hileman, CEO of Premier. “We are incredibly pleased with our ability to enhance capital via excess earnings and a very successful, low-cost sub-debt issuance.”
Integration update
As previously announced, on January 31, 2020, the Company completed the strategic merger of equals with UCFC under which UCFC merged into Premier in a stock-for-stock transaction. The year-over-year comparison of Company results is substantially impacted by the UCFC merger, with 2020 third quarter and year-to-date results including three and eight months of operations from UCFC, respectively, compared to none for the comparable periods in 2019. In June, the Company launched its newly designed logo and brand identity for Premier Financial Corp. and Premier Bank. The new tagline “Powered by People” honors the longstanding commitment both organizations have to their customers, communities and employees. In July, Premier Bank successfully completed its core systems conversion. The integration of teams, systems and processes for the combined organization is progressing as expected.
“The entire Premier organization from client-facing to behind-the-scenes operational teams came together to put our clients first during this transition,” said Gary M. Small, President of Premier. “By living our core values, we were able to preserve the best of two organizations under the Premier brand. As the final, conversion-related tasks conclude, we pivot our energy to enhancements of the client experience and top-tier performance.”
Business Client Support Efforts
As a part of the CARES Act, the Small Business Administration created the Paycheck Protection Program (“PPP”) to provide small businesses with loans as a direct incentive to keep their workers on the payroll. Premier Bank actively participated in PPP for clients and made 2,880 loans for a total of $443.3 million as of September 30, 2020. Total gross fees for these loans totaled $14.8 million. We recognized $2.7 million and $4.3 million as loan interest income during the three and nine months ended September 30, 2020, respectively.
Net interest income up compared to third quarter of 2019
Net interest income of $53.3 million in the third quarter of 2020 was up from $28.9 million in the third quarter of 2019. The increase over the prior year’s third quarter was attributable to organic growth and three months of income from UCFC compared to none in 2019. Net interest margin was 3.47% for the third quarter of 2020, down from 3.51% in the second quarter of 2020, and down from 3.88% in the third quarter of 2019. Yield on interest earning assets decreased to 3.91% in the third quarter of 2020, down 13 basis points from 4.04% in the second quarter of 2020. Total cost of funds decreased eight basis points in the third quarter of 2020 to 0.47% from 0.55% in the second quarter of 2020 while the total cost of interest-bearing liabilities decreased nine basis points to 0.62% from 0.71%. The 2020 third quarter results include the impact of acquisition marks and related accretion for the UCFC acquisition. Interest income includes $1.1 million of accretion and interest expense includes $0.8 million of accretion, which combined added 13 basis points of net interest margin. The third quarter results also include the impact of PPP loans. Interest income includes $2.7 million on average balances of $440.4 million, which reduced net interest margin by seven basis points. Excluding the impact of acquisition marks and PPP loans, net interest margin would be 3.41% for the third quarter of 2020 compared to 3.34% for the second quarter of 2020 excluding the impact of acquisition marks and PPP loans.
“Our ability to manage funding costs and excess liquidity in the third quarter led to an improved core net interest margin,” said Hileman. “Our strategies and teamwork are mitigating the impacts of the current down-rate environment.”
Non-interest income up from third quarter of 2019
Premier’s non-interest income in the third quarter of 2020 was $25.0 million compared with $11.8 million in the third quarter of 2019. Results for the third quarter of 2020 included three months of income from UCFC compared to none in 2019.
Mortgage banking income increased to $12.0 million in the third quarter of 2020 from $2.8 million in the third quarter of 2019. Gains from the sale of mortgage loans increased to $13.8 million in the third quarter of 2020 from $2.6 million in the third quarter of 2019. Mortgage loan servicing revenue increased to $1.9 million in the third quarter of 2020 from $1.0 million in the third quarter of 2019. Amortization of mortgage servicing rights increased to $2.0 million in the third quarter of 2020 from $0.6 million in the third quarter of 2019. Premier had a negative change in the valuation adjustment in mortgage servicing assets of $1.7 million in the third quarter of 2020 compared with a negative adjustment of $0.2 million in the third quarter of 2019. The year-over-year change for the third quarter is primarily due to increased prepayment speeds in the current down rate environment.
For the third quarter of 2020, service fees and other charges were $4.8 million, up from $4.0 million in the third quarter of 2019. Commissions from the sale of insurance products were $3.7 million, up from $3.3 million in the third quarter of 2019. Beginning with the second quarter of 2020, Premier began to report wealth management income, which represents trust income plus income for brokerage and financial advisory services that were previously reported in other non-interest income. Prior period amounts have been restated for consistency. Wealth management income was $1.5 million in the third quarter of 2020, up from $0.7 million in the third quarter of 2019.
Securities gains were $1.5 million in the third quarter of 2020, up from $11,000 in the third quarter of 2019. The Company early extinguished $30 million of fixed rate FHLB advances in the third quarter that had a weighted average rate of 2.0% and incurred a prepayment penalty of $1.4 million recognized in other expenses. The Company sold $55 million of MBS securities yielding approximately 1.80% at a gain of $1.4 million. The proceeds from the sales are being reinvested into securities yielding approximately 1.50% funded by overnight advances with a cost of approximately 20 basis points. The net effect of the transactions will increase pretax income approximately $425,000 over the next 12 months and enhance net interest margin by one basis point.
“We are pleased that the rate compression we are experiencing continues to be offset by our non-interest income growth,” said Hileman. “While mortgage banking was again very strong with almost $14 million in gains this quarter, all business lines contributed to enhanced revenues.”
Non-interest expenses up from third quarter of 2019
Total non-interest expense was $43.6 million in the third quarter of 2020, or $39.9 million excluding $3.7 million of acquisition related charges, up from $23.3 million in the third quarter of 2019, or $22.7 million excluding $540,000 of acquisition related charges. Results for the third quarter of 2020 included three months of expenses from UCFC compared to none in 2019. Compensation and benefits increased to $20.2 million in the third quarter of 2020, compared to $14.1 million in the third quarter of 2019. Occupancy expense was $4.0 million in the third quarter of 2020, up from $2.2 million in the third quarter of 2019. Data processing cost was $4.3 million in the third quarter of 2020, up from $1.7 million in the third quarter of 2019. Amortization of intangibles was $1.7 million in the third quarter of 2020, up from $0.3 million in the third quarter of 2019. Other non-interest expense was $7.1 million in the third quarter of 2020, or $5.7 million excluding the $1.4 million of FHLB prepayment penalties discussed above, up from $4.2 million in the third quarter of 2019.
FDIC insurance premiums were a $1.5 million expense in the third quarter of 2020, up from a $411,000 expense in the second quarter of 2020 and a $255,000 credit in the third quarter of 2019. The increase in expense from prior quarter is largely due to the impact of PPP and includes a year-to-date accrual estimate true-up. Although PPP loan balances are excludable from the asset-based component, they are not excludable from the leverage ratio component because the Company did not borrow from the PPP Liquidity Facility, and any loan funds that were in deposits would also increase the asset-based component. FDIC insurance premiums were a credit of $255,000 in the third quarter of 2019 due to the receipt of small bank assessment credits.
Credit quality
Non-performing loans totaled $48.3 million at September 30, 2020, an increase from $39.5 million at June 30, 2020, and an increase from $14.7 million at September 30, 2019, due to the UCFC merger. In addition, Premier had $0.5 million of OREO at September 30, 2020, compared to none at September 30, 2019. Accruing troubled debt restructured loans were $8.5 million at September 30, 2020, compared with $10.3 million at September 30, 2019.
On January 1, 2020, Premier adopted the Current Expected Credit Loss model of accounting for credit losses. This new GAAP model, which replaces the former incurred loss model, requires entities to estimate credit losses over the life of an asset or off-balance sheet exposure. Beginning with the third quarter of 2020, Premier began to report total provision for credit losses inclusive of amounts related to off-balance sheet unfunded commitments, which were previously reported in other non-interest expenses. Prior period amounts have been restated for consistency.
The 2020 third quarter results include net loan charge-offs of $3.3 million and a total provision expense of $3.7 million compared with net loan charge-offs of $11,000 and a total provision expense of $1.3 million for the same period in 2019. The allowance for credit loss on loans as a percentage of total loans was 1.63% at September 30, 2020, or 1.77% excluding PPP loans, compared with 1.62% at June 30, 2020, or 1.76% excluding PPP loans, and 1.13% at September 30, 2019. The year-over-year increase in the provision expense and allowance percentage is primarily attributable to the impact of the economic deterioration that began in the first quarter of 2020 as a result of the COVID-19 pandemic. As of September 30, 2020, Premier Bank had pandemic related deferrals for $434.6 million of commercial loans, down from $739.6 million at June 30, and $48.2 million of retail loans, down from $73.3 million at June 30.
Year-To-Date Results
For the nine-month period ended September 30, 2020, net income totaled $32.2 million, or $0.91 per diluted common share, compared to $36.9 million, or $1.85 per diluted common share for the nine months ended September 30, 2019. Results for the first nine months of 2020 included eight months of income and expenses from UCFC compared to none in 2019. The year-over-year comparison is also substantially impacted by the current year’s provision expense of $49.3 million, which included $25.9 million related to acquisition accounting for an after-tax cost of $20.5 million, or $0.58 per diluted common share. The first nine months of 2019 included a total provision expense of $1.8 million, which had an after-tax cost of $1.4 million, or $0.07 per diluted common share, and no acquisition impact. Additionally, the current year’s results include the impact of $17.3 million of acquisition-related charges, which had an after-tax cost of $14.0 million, or $0.39 per diluted common share. The first nine months of 2019 included $540,000 of acquisition related charges, which had an after tax cost of $427,000, or $0.02 per diluted common share. Excluding the impact of acquisition-related provision and charges, earnings for the first nine months of 2020 were $66.8 million, or $1.88 per diluted common share compared to $37.3 million or $1.87 per diluted share.
Net interest income was $153.0 million for the first nine months of 2020 compared with $104.8 million in the first nine months of 2019. Average interest-earning assets increased to $5.8 billion in the first nine months of 2020 compared to $2.92 billion in the first nine months of 2019. Net interest margin for the first nine months of 2020 was 3.55%, down 43 basis points from the 3.98% margin reported in the nine-month period ended September 30, 2019. The 2020 results include the impact of acquisition marks and related accretion for the UCFC acquisition. Interest income includes $5.5 million of accretion and interest expense includes $1.9 million of accretion, which combined added 16 basis points of net interest margin. The 2020 results also include the impact of PPP loans. Interest income includes $4.3 million on average balances of $246.9 million, which reduced net interest margin by five basis points. Excluding the impact of acquisition marks and PPP loans, net interest margin was 3.44% for the first nine months of 2020.
Non-interest income for the first nine months of 2020 was $62.0 million compared to $33.1 million during the same period of 2019. Service fees and other charges were $15.6 million for the first nine months of 2020, up from $10.3 million during the same period of 2019. Mortgage banking income was $22.8 million for the first nine months of 2020, up from $6.8 million during the same period of 2019. Insurance commissions were $12.9 million for the first nine months of 2020 compared with $11.0 million for the same period of 2019. Wealth management income was $4.4 million for the first nine months of 2020, up from $2.1 million during the same period of 2019.
Non-interest expense was $123.9 million for the first nine months of 2020, or $106.6 million excluding acquisition-related charges, up from $72.4 million, or $71.8 million excluding acquisition related charges, for the same period of 2019. Compensation and benefits expense was $57.3 million for the first nine months of 2020 compared with $42.5 million during the same period of 2019. Expenses also included increases in occupancy of $5.1 million, FDIC premiums of $2.1 million, data processing of $4.8 million, amortization of intangibles of $3.9 million and other expenses of $2.6 million. Additional detail regarding certain items impacting FDIC premiums and other expenses are discussed above.
Total assets at $6.97 billion
Total assets at September 30, 2020, were $6.97 billion compared to $7.01 billion at June 30, 2020, and $3.35 billion at September 30, 2019. Gross loans receivable (excluding loans held for sale) were $5.47 billion at September 30, 2020, compared to $5.46 billion at June 30, 2020, and $2.67 billion at September 30, 2019. At September 30, 2020, gross loans receivable grew $2.81 billion, or 105% from a year ago, including $2.30 billion from the UCFC merger and $0.51 billion organically, including $0.44 billion of PPP loans. Also, at September 30, 2020, goodwill and other intangible assets totaled $350.0 million compared to $351.7 million at June 30, 2020, and $104.1 million at September 30, 2019, with the increase attributable to the UCFC merger.
Total deposits at September 30, 2020, were $5.80 billion compared with $5.76 billion at June 30, 2020, and $2.76 billion at September 30, 2019. At September 30, 2020, total deposits grew $3.04 billion, or 110% from a year ago, including $2.08 billion from the UCFC merger and $0.96 billion organically.
Total stockholders’ equity was $959.0 million at September 30, 2020, compared to $941.0 million at June 30, 2020, and $418.0 million at September 30, 2019. The increase in stockholders’ equity from the prior year was due to net earnings and the UCFC merger, offset partially by the Company’s repurchase of 430,000 common shares for $10.1 million during the first quarter of 2020. At September 30, 2020, 570,000 common shares remained available for repurchase under the Company’s existing repurchase program.
Capital Issuance
On September 30, 2020, the Company completed the issuance of $50 million aggregate principal amount fixed-to-floating rate subordinated notes due 2030 (the “Notes”) in a private offering exempt from the registration requirements under the Securities Act of 1933, as amended. The Notes carry a fixed rate of 4.00% for five years then a floating rate equal to the 3-month SOFR rate plus 388.5 basis points. The Company may, at its option, beginning September 30, 2025, redeem the Notes, in whole or in part, from time to time, subject to certain conditions. The net proceeds from the sale of the Notes are approximately $48.7 million, after deducting the estimated offering expenses. The Company intends to use the net proceeds from the offering of the Notes for general corporate purposes.
“We are proud of our successful capital issuance at the lowest rate this year for a BBB- Kroll-rated subordinated debt offering by a bank holding company,” said Paul D. Nungester, CFO of Premier. “This enhancement to total capital at an efficient cost improves the Company’s ability to serve as a source of strength for the bank during the current economic downturn.”
Dividend to be paid November 20
The Board of Directors declared a quarterly cash dividend of $0.22 per common share payable November 20, 2020, to shareholders of record at the close of business on November 13, 2020. The dividend represents an annual dividend of 4.89 percent based on the Premier common stock closing price on October 19, 2020. Premier has approximately 37,297,217 common shares outstanding.
Conference call
Premier Financial Corp. will host a conference call at 11:00 a.m. ET on Wednesday, October 21, 2020, to discuss the earnings results and business trends. The conference call may be accessed by calling 1-877-444-1726. Internet access to the call is also available (in listen-only mode) at the following URL: https://services.choruscall.com/links/pfc201021.html. The replay of the conference call will be available at www.PremierFinCorp.com until October 20, 2021, at 9:00 a.m. ET.
About Premier Financial Corp.
Premier Financial Corp. (Nasdaq: PFC), headquartered in Defiance, Ohio, is the holding company for Premier Bank and First Insurance Group. Premier Bank, headquartered in Youngstown, Ohio, operates 78 branches, 12 loan offices and 3 wealth offices in Ohio, Michigan, Indiana, Pennsylvania and West Virginia (West Virginia office operates as “Home Savings Bank”). First Insurance Group is a full-service insurance agency with ten offices in Ohio including James & Sons Insurance in Youngstown, Ohio. For more information, visit the company’s websites at PremierFinCorp.com.
Financial Statements and Highlights Follow-
Safe Harbor Statement
This news release may contain certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21 B of the Securities Exchange Act of 1934, as amended. Those statements may include, but are not limited to, all statements regarding intent, beliefs, expectations, projections, forecasts and plans of Premier Financial Corp. and its management, and specifically include statements regarding: changes in economic conditions; the nature, extent and timing of governmental actions and reforms; future movements of interest rates; the ability to benefit from a changing interest rate environment; the production levels of mortgage loan generation; the ability to continue to grow loans and deposits; the ability to sustain credit quality ratios at current or improved levels; continued strength in the market area for Premier Bank; the ability to sell real estate owned properties; and the ability to grow in existing and adjacent markets. These forward-looking statements involve numerous risks and uncertainties, including: impacts from the novel coronavirus (COVID-19) pandemic on our business, operations, customers and capital position; higher default rates on loans made to our customers related to COVID-19 and its impact on our customers’ operations and financial condition; the impact of COVID-19 on local, national and global economic conditions; unexpected changes in interest rates or disruptions in the mortgage market related to COVID-19 or responses to the health crisis; the effects of various governmental responses to the COVID-19 pandemic; those inherent in general and local banking, insurance and mortgage conditions; competitive factors specific to markets in which Premier Financial Corp. and its subsidiaries operate; future interest rate levels; legislative and regulatory decisions or capital market conditions; and other risks and uncertainties detailed from time to time in our Securities and Exchange Commission (SEC) filings, including in our Annual Report on Form 10-K for the year ended December 31, 2019 and our Quarterly Report on Form 10-Q for the quarter ended June 30, 2020. One or more of these factors have affected or could in the future affect Premier’s business and financial results in future periods and could cause actual results to differ materially from plans and projections. Therefore, there can be no assurances that the forward-looking statements included in this news release will prove to be accurate. In light of the significant uncertainties in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by Premier or any other persons, that our objectives and plans will be achieved. All forward-looking statements made in this news release are based on information presently available to the management of Premier and speak only as of the date on which they are made. We assume no obligation to update any forward-looking statements, whether as a result of new information, future developments or otherwise, except as may be required by law. As required by U.S. GAAP, Premier will evaluate the impact of subsequent events through the issuance date of its September 30, 2020, consolidated financial statements as part of its Quarterly Report on Form 10-Q to be filed with the SEC. Accordingly, subsequent events could occur that may cause Premier to update its critical accounting estimates and to revise its financial information from that which is contained in this news release.
Non-GAAP Reporting Measures
We believe that net income, as defined by U.S. GAAP, is the most appropriate earnings measurement. However, we consider core net income and core pre-tax pre-provision income to be useful supplemental measures of our operating performance. We define core net income as net income excluding the after-tax impact of acquisition related charges. We define core pre-tax pre-provision income as pre-tax pre-provision income excluding the pre-tax impact of acquisition related charges. We believe that these metrics are useful supplemental measures of operating performance because investors and equity analysts may use these measures to compare the operating performance of the Company between periods or as compared to other financial institutions or other companies on a consistent basis without having to account for one-time acquisition related charges. Our supplemental reporting measures and similarly entitled financial measures are widely used by investors, equity and debt analysts and ratings agencies in the valuation, comparison, rating and investment recommendations of companies. Our management uses these financial measures to facilitate internal and external comparisons to historical operating results and in making operating decisions. Additionally, they are utilized by the Board of Directors to evaluate management. The supplemental reporting measures do not represent net income or cash flow provided from operating activities as determined in accordance with U.S. GAAP and should not be considered as alternative measures of profitability or liquidity. Finally, the supplemental reporting measures, as defined by us, may not be comparable to similarly entitled items reported by other financial institutions or other companies. Please see the exhibits for reconciliations of our supplemental reporting measures.
Consolidated Balance Sheets (Unaudited)
Premier Financial Corp.September 30,
December 31,
(in thousands)2020
2019
Assets Cash and cash equivalents Cash and amounts due from depository institutions$
44,273
$
46,254
Interest-bearing deposits
58,800
85,000
103,073
131,254
Available-for sale, carried at fair value
578,224
283,448
Trading securities, carried at fair value
1,014
-
Securities investments
579,238
283,448
Loans
5,470,548
2,777,564
Allowance for credit losses - loans
(88,917
)
(31,243
)
Loans, net
5,381,631
2,746,321
Loans held for sale
208,054
18,008
Mortgage servicing rights
13,477
10,267
Accrued interest receivable
28,834
10,244
Federal Home Loan Bank stock
23,492
11,915
Bank Owned Life Insurance
143,939
75,544
Office properties and equipment
58,817
39,563
Real estate and other assets held for sale
521
100
Goodwill
317,948
100,069
Core deposit and other intangibles
32,005
3,772
Other assets
83,924
38,487
Total Assets
$
6,974,953
$
3,468,992
Liabilities and Stockholders’ Equity Non-interest-bearing deposits
$
1,436,807
$
630,359
Interest-bearing deposits
4,358,950
2,239,966
Total deposits
5,795,757
2,870,325
Advances from FHLB and PPPLF
30,000
85,063
Notes payable and other interest-bearing liabilities
-
2,999
Subordinated debentures
84,818
36,083
Advance payments by borrowers for tax and insurance
18,985
5,491
Reserve for credit losses - unfunded commitments
5,955
571
Other liabilities
80,413
42,293
Total Liabilities
6,015,928
3,042,825
Stockholders’ Equity Preferred stock
-
-
Common stock, net
306
127
Additional paid-in-capital
689,736
161,955
Accumulated other comprehensive income (loss)
13,976
4,595
Retained earnings
333,772
329,175
Treasury stock, at cost
(78,765
)
(69,685
)
Total stockholders’ equity
959,025
426,167
Total Liabilities and Stockholders’ Equity
$
6,974,953
$
3,468,992
Consolidated Statements of Income (Unaudited) Premier Financial Corp.
Three Months Ended
Nine Months Ended
September 30,
September 30,
(in thousands, except per share amounts)2020
2019
2020
2019
Interest Income: Loans$
57,134
$
33,284
$
167,390
$
97,158
Investment securities
2,848
1,952
8,489
6,295
Interest-bearing deposits
82
312
391
857
FHLB stock dividends
95
135
861
533
Total interest income
60,159
35,683
177,131
104,843
Interest Expense: Deposits
6,555
6,029
21,761
16,615
FHLB advances and other
168
431
1,690
1,011
Subordinated debentures
158
329
610
1,043
Notes Payable
7
2
32
23
Total interest expense
6,888
6,791
24,093
18,692
Net interest income
53,271
28,892
153,038
86,151
Provision for credit losses - loans
3,658
1,327
49,312
1,821
Provision (benefit) for credit losses - unfunded commitments
(864
)
(62
)
1,702
(60
)
Total provision for credit losses
2,794
1,265
51,014
1,761
Net interest income after provision for loan losses
50,477
27,627
102,024
84,390
Non-interest Income: Service fees and other charges
4,805
4,027
15,601
10,335
Mortgage banking income
12,047
2,822
22,763
6,800
Gain on sale of non-mortgage loans
-
105
234
215
Gain (loss) on sale of available for sale securities
1,466
11
1,464
11
Gain (loss) on trading securities
14
-
14
-
Insurance commissions
3,715
3,263
12,875
10,994
Wealth management income
1,458
705
4,351
2,063
Income from Bank Owned Life Insurance
841
783
2,460
1,702
Other non-interest income
654
126
2,251
1,021
Total Non-interest Income
25,000
11,842
62,013
33,141
Non-interest Expense: Compensation and benefits
20,172
14,061
57,331
42,544
Occupancy
3,989
2,206
11,848
6,751
FDIC insurance premium
1,469
(255
)
2,372
276
Financial institutions tax
1,116
555
3,066
1,667
Data processing
4,289
1,728
11,135
6,292
Amortization of intangibles
1,726
264
4,781
839
Acquisition related charges
3,711
540
17,295
540
Other non-interest expense
7,091
4,166
16,028
13,455
Total Non-interest Expense
43,563
23,265
123,856
72,364
Income before income taxes
31,914
16,204
40,181
45,167
Income tax expense
6,259
3,033
7,951
8,315
Net Income
$
25,655
$
13,171
$
32,230
$
36,852
Earnings per common share: Basic
$
0.69
$
0.67
$
0.91
$
1.86
Diluted
$
0.69
$
0.66
$
0.91
$
1.85
Average Shares Outstanding: Basic
37,297
19,790
35,423
19,862
Diluted
37,334
19,875
35,482
19,943
Financial Summary and Comparison (Unaudited) Premier Financial Corp.
Three Months Ended
Nine Months Ended
September 30,
September 30,
(dollars in thousands, except per share data)2020
2019
% change
2020
2019
% change
Summary of Operations Tax-equivalent interest income (2)$
60,418
$
35,922
68.2
%
$
177,898
$
105,578
68.5
%
Interest expense
6,888
6,791
1.4
24,093
18,692
28.9
Tax-equivalent net interest income (2)
53,530
29,131
83.8
153,805
86,886
77.0
Provision for credit losses
2,794
1,265
120.9
51,014
1,761
2,796.9
Core provision for credit losses (4)
2,794
1,265
120.9
22,089
1,761
1,154.3
Investment securities gains (losses)
1,480
11
NM
1,478
11
NM
Non-interest income (excluding securities gains/losses)
23,520
11,831
98.8
60,535
33,130
82.7
Non-interest expense
43,563
23,265
87.2
123,856
72,364
71.2
Core non-interest expense (4)
38,445
22,724
69.2
69,269
71,824
(3.6
)
Income tax expense
6,259
3,033
106.4
7,951
8,315
(4.4
)
Net income
25,655
13,171
94.8
32,230
36,852
(12.5
)
Core net income (4)
28,587
13,598
110.2
36,057
37,279
(3.3
)
Tax equivalent adjustment (2)
259
239
8.4
767
735
4.4
At Period End Assets
6,974,953
3,350,724
108.2
Earning assets
6,340,132
3,045,659
108.2
Loans
5,470,548
2,665,300
105.3
Allowance for credit losses - loans
88,917
30,250
193.9
Deposits
5,795,757
2,760,615
109.9
Stockholders’ equity
959,025
418,046
129.4
Average Balances Assets
6,935,783
3,303,013
110.0
6,437,886
3,236,674
98.9
Earning assets
6,211,267
2,985,498
108.0
5,787,134
2,923,809
97.9
Loans
5,555,621
2,624,314
111.7
5,095,167
2,567,646
98.4
Deposits and interest-bearing liabilities
5,901,652
2,843,079
107.6
5,457,179
2,788,974
95.7
Deposits
5,738,006
2,718,632
111.1
5,162,952
2,679,616
92.7
Stockholders’ equity
927,506
411,041
125.6
881,932
401,597
119.6
Stockholders’ equity / assets
13.37
%
12.44
%
7.5
13.70
%
12.41
%
10.4
Per Common Share Data Net Income (Loss) Basic
$
0.69
$
0.67
3.0
$
0.91
$
1.86
(51.1
)
Diluted
0.69
0.66
4.5
0.91
1.85
(50.8
)
Core diluted (4)
0.77
0.68
13.2
$
1.88
1.87
0.5
Dividends
0.22
0.19
15.8
0.66
0.57
15.8
Market Value: High
$
21.24
$
29.44
(27.9
)
$
32.05
$
31.30
2.4
Low
14.74
25.50
(42.2
)
10.98
24.12
(54.5
)
Close
15.58
28.97
(46.2
)
15.58
28.97
(46.2
)
Common Book Value
25.71
21.19
21.3
25.71
21.19
21.3
Tangible Common Book Value (1)
16.33
15.91
2.6
16.33
15.91
2.6
Shares outstanding, end of period (000s)
37,297
19,729
89.0
37,297
19,729
89.0
Performance Ratios (annualized) Tax-equivalent net interest margin (2)
3.47
%
3.88
%
(10.6
)
3.55
%
3.98
%
(10.8
)
Return on average assets
1.49
%
1.58
%
(5.8
)
0.67
%
1.52
%
(56.0
)
Core return on average assets (4)
1.64
%
1.63
%
0.4
0.75
%
1.54
%
(51.6
)
Return on average equity
11.12
%
12.71
%
(12.5
)
4.88
%
12.27
%
(60.2
)
Core return on average equity (4)
12.26
%
13.12
%
(6.6
)
5.46
%
12.44
%
(56.1
)
Efficiency ratio (3)
56.54
%
56.79
%
(0.4
)
57.78
%
60.30
%
(4.2
)
Core efficiency ratio (4)
49.90
%
55.48
%
(10.1
)
49.06
%
59.85
%
(18.0
)
Effective tax rate
19.61
%
18.72
%
4.8
19.79
%
18.41
%
7.5
Dividend payout ratio (core)
28.57
%
27.94
%
2.3
35.11
%
30.48
%
15.2
Note: 2020 current quarter and year-to-date results include three and five months of operations from UCFC, respectively, compared to none for comparable periods in 2019. (1) Tangible common book value = total stockholders' equity less the sum of goodwill, core deposit and other intangibles, and preferred stock divided by shares outstanding at the end of the period. (2) Interest income on tax-exempt securities and loans has been adjusted to a tax-equivalent basis using the statutory federal income tax rate of 21%. (3) Efficiency ratio = Non-interest expense divided by sum of tax-equivalent net interest income plus non-interest income, excluding securities gains or losses, net. (4) Core items exclude the impact of acquisition related provision ("CECL double-dip") and other charges. See non-GAAP reconciliations. NM Percentage change not meaningful Premier Financial Corp. (dollars in thousands)
Three Months Ended
Nine Months Ended
September 30,
September 30,
Mortgage Banking2020
2019
2020
2019
Revenue from sales and servicing of mortgage loans: Gain from sale of mortgage loans$
13,781
$
2,596
$
30,213
$
5,672
Mortgage loan servicing revenue (expense): Mortgage loan servicing revenue
1,898
960
5,379
2,842
Amortization of mortgage servicing rights
(1,959
)
(579
)
(5,302
)
(1,256
)
Mortgage servicing rights valuation adjustments
(1,673
)
(155
)
(7,527
)
(458
)
(1,734
)
226
(7,450
)
1,128
Total revenue from sale and servicing of mortgage loans
$
12,047
$
2,822
$
22,763
$
6,800
Mortgage servicing rights: Balance at beginning of period
$
21,034
$
10,458
$
10,801
$
10,419
Loans sold, servicing retained
2,463
738
6,292
1,454
Mortgage servicing rights acquired
-
-
9,747
-
Amortization
(1,959
)
(579
)
(5,302
)
(1,256
)
Carrying value before valuation allowance at end of period
21,538
10,617
21,538
10,617
Valuation allowance: Balance at beginning of period
(6,388
)
(603
)
(534
)
(300
)
Impairment recovery (charges)
(1,673
)
(155
)
(7,527
)
(458
)
Balance at end of period
(8,061
)
(758
)
(8,061
)
(758
)
Net carrying value at end of period$
13,477
$
9,859
$
13,477
$
9,859
Goodwill and Purchase Price Accounting Deal Value: Shares issued (000s)
17,926
1/31/20 Price
$
29.39
Stock value
526,850
Fair value of options exchanged
461
Cash in lieu of fractional shares
132
Total value
$
527,443
Allocation: Cash and cash equivalents
$
52,580
Securities available-for sale
262,753
(1)
Net loans, including loans held for sale and allowance
2,340,701
(2)
Federal Home Loan Bank stock
12,753
Office properties and equipment
20,253
(3)
Core deposit and other intangibles
33,014
(4)
Bank Owned Life Insurance
65,934
Mortgage servicing rights
9,747
(5)
Other assets
35,423
Non-interest-bearing deposits
(430,921
)
Interest-bearing deposits
(1,651,669
)
(6)
Advances from Federal Home Loan Bank
(381,000
)
Other liabilities
(60,004
)
Net assets
309,564
Goodwill
217,879
Total value
$
527,443
Note: 2020 current quarter and year-to-date results include three and eight months of operations from UCFC, respectively, compared to none for comparable periods in 2019. (1) Includes $13.8 million of accumulated losses to be amortized against interest income over ~7 years. (2) Includes $27.2 million non-PCD credit mark down to be accreted into interest income over ~5 years, $8.8 million total rate mark up to be amortized against interest income over ~5 years, $19.1 million elimination of allowance and $7.7 million PCD credit mark addition to allowance. (3) Includes $2.1 million mark down that reduces future depreciation. (4) Includes $29.3 million of core deposit intangible to be amortized to expense using sum-of-the-years digits over 10 years and $3.7 million of insurance/trust/wealth intangibles to be amortized to expense over ~10 years. (5) Includes $3.0 million mark up to be amortized against mortgage banking income over ~8.5 years. (6) Includes $7.1 million rate mark up on time-based deposits to be accreted against interest expense over ~2 years based on maturities. Yield Analysis Premier Financial Corp.
Three Months Ended September 30,
(dollars in thousands)
2020
2019
Average
Yield
Average
Yield
Balance
Interest(1)
Rate(2)
Balance
Interest(1)
Rate(2)
Interest-earning assets: Loans receivable$
5,555,621
$
57,158
4.14
%
$
2,624,314
$
33,306
5.04
%
Securities
552,458
3,083
2.24
%
(3)
293,876
2,169
2.99
%
(3)
Interest Bearing Deposits
65,551
82
0.50
%
55,393
312
2.23
%
FHLB stock
37,637
95
1.02
%
11,915
135
4.50
%
Total interest-earning assets
6,211,267
60,418
3.91
%
2,985,498
35,922
4.78
%
Non-interest-earning assets
724,516
317,515
Total assets$
6,935,783
$
3,303,013
Deposits and Interest-bearing liabilities: Interest bearing deposits$
4,285,287
$
6,555
0.62
%
$
2,129,306
$
6,029
1.12
%
FHLB advances and other
120,417
168
0.56
%
85,339
431
2.00
%
Subordinated debentures
36,613
158
1.74
%
36,083
329
3.62
%
Notes payable
6,616
7
0.43
%
3,025
2
0.26
%
Total interest-bearing liabilities
4,448,933
6,888
0.62
%
2,253,753
6,791
1.20
%
Non-interest bearing deposits
1,452,719
-
-
589,326
-
-
Total including non-interest-bearing deposits
5,901,652
6,888
0.47
%
2,843,079
6,791
0.95
%
Other non-interest-bearing liabilities
106,625
48,893
Total liabilities
6,008,277
2,891,972
Stockholders' equity
927,506
411,041
Total liabilities and stockholders' equity$
6,935,783
$
3,303,013
Net interest income; interest rate spread$
53,530
3.29
%
$
29,131
3.58
%
Net interest margin (4)3.47
%
3.88
%
Average interest-earning assets to average interest bearing liabilities140
%
132
%
Nine Months Ended September 30,
2020
2019
Average
Yield
Average
Yield
Balance
Interest(1)
Rate(2)
Balance
Interest(1)
Rate(2)
Interest-earning assets: Loans receivable$
5,095,167
$
167,463
4.38
%
$
2,567,646
$
97,227
5.06
%
Securities
514,979
9,183
2.38
%
(3)
296,312
6,961
3.14
%
(3)
Interest Bearing Deposits
131,384
391
0.40
%
47,360
857
2.42
%
FHLB stock
45,604
861
2.52
%
12,491
533
5.71
%
Total interest-earning assets
5,787,134
177,898
4.09
%
2,923,809
105,578
4.83
%
Non-interest-earning assets
650,752
312,865
Total assets$
6,437,886
$
3,236,674
Deposits and Interest-bearing liabilities: Interest bearing deposits$
3,929,881
$
21,761
0.74
%
$
2,094,693
$
16,615
1.06
%
FHLB advances and other
249,889
1,690
0.90
%
68,920
1,011
1.96
%
Subordinated debentures
36,261
610
2.24
%
36,083
1,043
3.86
%
Notes payable
8,077
32
0.53
%
4,355
23
0.71
%
Total interest-bearing liabilities
4,224,108
24,093
0.76
%
2,204,051
18,692
1.13
%
Non-interest bearing deposits
1,233,071
-
-
584,923
-
-
Total including non-interest-bearing deposits
5,457,179
24,093
0.59
%
2,788,974
18,692
0.90
%
Other non-interest-bearing liabilities
98,775
46,103
Total liabilities
5,555,954
2,835,077
Stockholders' equity
881,932
401,597
Total liabilities and stockholders' equity$
6,437,886
$
3,236,674
Net interest income; interest rate spread$
153,805
3.33
%
$
86,886
3.93
%
Net interest margin (4)3.55
%
3.98
%
Average interest-earning assets to average interest bearing liabilities137
%
133
%
Note: 2020 current quarter and year-to-date results include three and five months of operations from UCFC, respectively, compared to none for comparable periods in 2019. (1) Interest on certain tax exempt loans and securities is not taxable for Federal income tax purposes. In order to compare the tax-exempt yields on these assets to taxable yields, the interest earned on these assets is adjusted to a pre-tax equivalent amount based on the marginal corporate federal income tax rate of 21%. (2) Annualized. (3) Securities yield = annualized interest income divided by the average balance of securities, excluding average unrealized gains/losses. (4) Net interest margin is tax equivalent net interest income divided by average interest-earning assets. Selected Quarterly Information Premier Financial Corp. (dollars in thousands, except per share data)3rd Qtr 2020
2nd Qtr 2020
1st Qtr 2020
4th Qtr 2019
3rd Qtr 2019
Summary of Operations Tax-equivalent interest income (1)$
60,418
$
62,705
$
54,773
$
36,473
$
35,922
Interest expense
6,888
8,145
9,059
6,743
6,791
Tax-equivalent net interest income (1)
53,530
54,560
45,714
29,730
29,131
Provision for credit losses
2,794
2,975
45,244
1,123
1,266
Core provision for credit losses (3)
2,794
2,975
19,295
1,123
1,266
Investment securities gains (losses)
1,480
(2
)
-
13
11
Non-interest income (excluding securities gains/losses)
23,520
23,017
13,999
11,803
11,831
Non-interest expense
43,563
37,984
42,310
24,721
23,264
Core non-interest expense (3)
38,445
35,885
30,824
23,839
22,724
Income tax expense (benefit)
6,259
7,303
(5,610
)
2,953
3,033
Net income (loss)
25,655
29,057
(22,482
)
12,517
13,171
Core net income (3)
28,587
30,715
7,470
13,214
13,598
Tax equivalent adjustment (1)
259
256
251
232
239
At Period End Total assets
$
6,974,953
$
7,013,811
$
6,538,942
$
3,468,992
$
3,350,724
Earning assets
6,340,132
6,345,655
5,889,186
3,175,935
3,045,659
Loans
5,470,548
5,457,238
5,113,917
2,777,564
2,665,300
Allowance for loan losses
88,917
88,555
85,859
31,243
30,250
Deposits
5,795,757
5,759,843
4,994,148
2,870,325
2,760,615
Stockholders’ equity
959,025
940,968
916,843
426,167
418,046
Stockholders’ equity / assets
13.75
%
13.42
%
14.02
%
12.29
%
12.48
%
Goodwill
317,948
317,948
317,520
100,069
100,069
Average Balances Total assets
$
6,935,783
$
7,005,783
$
5,357,598
$
3,425,097
$
3,303,013
Earning assets
6,211,267
6,247,037
4,862,532
3,107,224
2,985,498
Loans
5,555,621
5,389,805
4,317,857
2,688,519
2,624,314
Deposits and interest-bearing liabilities
5,901,652
5,963,127
4,488,003
2,954,049
2,843,079
Deposits
5,738,006
5,490,986
4,240,053
2,830,043
2,718,632
Stockholders’ equity
927,506
932,793
787,519
420,352
411,041
Stockholders’ equity / assets
13.37
%
13.31
%
14.70
%
12.27
%
12.44
%
Per Common Share Data Net Income (Loss): Basic$
0.69
$
0.78
$
(0.71
)
$
0.63
$
0.67
Diluted
0.69
0.78
(0.71
)
0.63
0.66
Core diluted (3)
0.77
0.82
0.24
0.66
0.68
Dividends
0.22
0.22
0.22
0.22
0.19
Market Value: High
$
21.24
$
20.11
$
32.05
$
32.39
$
29.44
Low
14.74
12.95
10.98
27.77
25.50
Close
15.58
17.67
14.74
31.32
28.97
Common Book Value
25.71
25.23
24.58
21.60
21.19
Shares outstanding, end of period (000s)
37,297
37,296
37,288
19,730
19,729
Performance Ratios (annualized) Tax-equivalent net interest margin (1)
3.47
%
3.51
%
3.78
%
3.80
%
3.88
%
Return on average assets
1.49
%
1.67
%
-1.69
%
1.45
%
1.58
%
Core return on average assets (3)
1.64
%
1.76
%
0.56
%
1.53
%
1.63
%
Return on average equity
11.12
%
12.53
%
-11.48
%
11.81
%
12.71
%
Core return on average equity (3)
12.26
%
13.24
%
3.82
%
12.47
%
13.12
%
Efficiency ratio (2)
56.54
%
48.96
%
70.86
%
59.52
%
56.79
%
Core efficiency ratio (3)
49.90
%
46.26
%
51.62
%
57.40
%
55.48
%
Effective tax rate
19.61
%
20.09
%
19.97
%
19.09
%
18.72
%
Common dividend payout ratio (core)
28.57
%
26.83
%
91.67
%
34.92
%
28.36
%
Note: 2020 current quarter and year-to-date results include three and five months of operations from UCFC, respectively, compared to none for comparable periods in 2019. (1) Interest income on tax-exempt securities and loans has been adjusted to a tax-equivalent basis using the statutory federal income tax rate of 21%. (2) Efficiency ratio = Non-interest expense divided by sum of tax-equivalent net interest income plus non-interest income, excluding securities gains or losses, net. (3) Core items exclude the impact of acquisition related provision ("CECL double-dip") and other charges. See non-GAAP reconciliations. Selected Quarterly Information Premier Financial Corp. (dollars in thousands, except per share data)3rd Qtr 2020
2nd Qtr 2020
1st Qtr 2020
4th Qtr 2019
3rd Qtr 2019
Loan Portfolio Composition One to four family residential real estate$
1,194,940
$
1,226,106
$
1,265,901
$
324,773
$
330,369
Construction
580,060
509,548
521,442
305,305
308,061
Commercial real estate
2,328,944
2,266,189
2,200,266
1,506,026
1,430,919
Commercial
1,263,565
1,244,549
897,865
578,071
537,806
Consumer finance
128,995
146,139
137,679
37,649
36,644
Home equity and improvement
281,010
290,459
301,146
122,864
123,871
Total loans
5,777,514
5,682,990
5,324,299
2,874,688
2,767,670
Less: Undisbursed loan funds
300,174
221,137
206,236
94,865
100,260
Deferred loan origination fees
6,792
4,615
4,146
2,259
2,110
Allowance for credit losses - loans
88,917
88,555
85,859
31,243
30,250
Net Loans
$
5,381,631
$
5,368,683
$
5,028,058
$
2,746,321
$
2,635,050
Allowance for credit losses - loans Beginning allowance
$
88,555
$
85,859
$
31,243
$
30,250
$
28,934
CECL adoption
-
-
2,354
-
-
Acquisition related allowance/provision (non PCD)
-
-
25,949
-
-
Acquisition related allowance/goodwill (PCD)
-
-
7,698
-
-
Provision for credit losses - loans
3,658
1,868
17,837
1,084
1,327
Net recoveries (charge-offs)
(3,296
)
828
778
(91
)
(11
)
Ending allowance$
88,917
$
88,555
$
85,859
$
31,243
$
30,250
Credit Quality Total non-performing loans (1)
$
48,322
$
39,470
$
32,692
$
13,437
$
14,677
Real estate owned (REO)
521
573
548
100
-
Total non-performing assets (2)
$
48,843
$
40,043
$
33,240
$
13,537
$
14,677
Net charge-offs (recoveries)
3,296
(828
)
(778
)
91
11
Restructured loans, accruing (3)
8,499
7,916
7,474
8,427
10,334
Allowance for credit losses - loans / loans
1.63
%
1.62
%
1.68
%
1.12
%
1.13
%
Allowance for credit losses - loans / non-performing assets
182.05
%
221.15
%
259.07
%
230.80
%
206.10
%
Allowance for credit losses - loans / non-performing loans
184.01
%
224.36
%
263.43
%
232.51
%
206.10
%
Non-performing assets / loans plus REO
0.89
%
0.73
%
0.65
%
0.49
%
0.55
%
Non-performing assets / total assets
0.70
%
0.57
%
0.51
%
0.39
%
0.44
%
Net charge-offs / average loans (annualized)
0.24
%
-0.06
%
-0.07
%
0.01
%
0.00
%
Deposit Balances Non-interest-bearing demand deposits$
1,436,807
$
1,454,842
$
1,041,315
$
630,359
$
604,129
Interest-bearing demand deposits and money market
2,511,263
2,361,486
2,069,723
1,198,012
1,124,208
Savings deposits
674,354
671,650
606,508
303,166
294,594
Retail time deposits less than $250,000
975,658
1,078,758
1,091,038
631,253
634,737
Retail time deposits greater than $250,000
197,675
193,107
185,564
107,535
102,947
Total deposits
$
5,795,757
$
5,759,843
$
4,994,148
$
2,870,325
$
2,760,615
(1) Non-performing loans consist of non-accrual loans. (2) Non-performing assets are non-performing loans plus real estate and other assets acquired by foreclosure or deed-in-lieu thereof. (3) Accruing restructured loans are loans with known credit problems that are not contractually past due and therefore are not included in non-performing loans. Loan Delinquency Information Premier Financial Corp. (dollars in thousands)
Total Balance
Current
30 to 89 days
past due
% of
Total
Non Accrual
Loans
% of
Total
September 30, 2020 One to four family residential real estate$
1,194,940
$
1,173,175
$
10,562
0.9
%
$
11,203
0.9
%
Construction
580,060
578,110
1,587
0.3
%
363
0.1
%
Commercial real estate
2,328,944
2,305,223
703
0.0
%
23,018
1.0
%
Commercial
1,263,565
1,253,474
212
0.0
%
9,879
0.8
%
Consumer finance
128,995
125,260
2,682
2.1
%
1,053
0.8
%
Home equity and improvement
281,010
273,041
5,125
1.8
%
2,844
1.0
%
Total loans$
5,777,514
$
5,708,283
$
20,871
0.4
%
$
48,360
0.8
%
June 30, 2020 One to four family residential real estate$
1,226,106
$
1,213,482
$
6,056
0.5
%
$
6,568
0.5
%
Construction
509,548
509,548
-
0.0
%
-
0.0
%
Commercial real estate
2,266,189
2,244,412
1,040
0.0
%
20,737
0.9
%
Commercial
1,244,549
1,233,703
680
0.1
%
10,166
0.8
%
Consumer finance
146,139
144,555
988
0.7
%
596
0.4
%
Home equity and improvement
290,459
285,858
2,237
0.8
%
2,364
0.8
%
Total loans$
5,682,990
$
5,631,558
$
11,001
0.2
%
$
40,431
0.7
%
September 30, 2019 One to four family residential real estate$
330,369
$
325,573
$
1,787
0.5
%
$
3,009
0.9
%
Construction
308,061
308,061
-
0.0
%
-
0.0
%
Commercial real estate
1,430,919
1,414,694
8,012
0.6
%
8,213
0.6
%
Commercial
537,806
534,321
516
0.1
%
2,969
0.6
%
Consumer finance
36,644
36,413
231
0.6
%
-
0.0
%
Home equity and improvement
123,871
122,103
1,282
1.0
%
486
0.4
%
Total loans$
2,767,670
$
2,741,165
$
11,828
0.4
%
$
14,677
0.5
%
COVID-19 Update Premier Financial Corp. ($ in thousands) Deferrals Update9/30/2020
6/30/2020
Commercial loan deferrals$
434,554
$
739,632
% of commercial loans
11.4
%
19.7
%
% of total loans
7.9
%
13.5
%
Retail loan deferrals$
48,187
$
73,266
% of retail loans
2.9
%
4.3
%
% of total loans
0.9
%
1.3
%
Total loan deferrals$
482,741
$
812,898
% of total loans
8.8
%
14.9
%
Commercial High Sensitivity Portfolio UpdateAs of 9/30/20
As of 6/30/20
Industry% of Total
Loans
% Balances
Deferred
% Classified
in Subsector
% of Total
Loans
% Balances
Deferred
% Classified
in Subsector
Traveler Accommodation
2.8
%
60.7
%
3.9
%
2.8
%
86.9
%
0.7
%
Food Service
1.0
%
22.4
%
0.6
%
1.1
%
50.0
%
0.6
%
Sub-total
3.7
%
51.0
%
3.1
%
3.8
%
76.7
%
0.6
%
Retail Trade and CRE
9.4
%
17.7
%
1.3
%
9.6
%
34.3
%
2.2
%
Long-term Care
1.9
%
10.8
%
11.0
%
2.0
%
26.0
%
4.1
%
Arts/Entertainment/Recreation
0.4
%
37.8
%
2.5
%
0.4
%
42.1
%
4.6
%
Energy
0.1
%
0.0
%
0.0
%
0.1
%
0.0
%
0.0
%
Total
15.6
%
25.2
%
3.0
%
15.9
%
43.4
%
2.1
%
Commercial Loan Deferral Rollforward6/30/20
Balance
New
Deferrals
Payoffs/
Changes
Return to
Pay(1)
9/30/20
Balance
3Q20
Extensions
Interest only 1-3 months$
28,134
$
5,032
$
9,326
$
(30,178
)
$
12,314
$
10,988
Interest only 4-5 months
146,826
3,976
(12,746
)
(111,113
)
26,943
-
Interest only 6 months
55,174
7,182
1,415
(8,575
)
55,196
2,392
Deferred payment 1-90 days
138,966
11,155
(12,844
)
(80,015
)
57,262
12,422
Deferred payment 91-179 days
93,262
328
(3,250
)
(83,843
)
6,497
4,946
Deferred payment 180 days
277,270
6,102
(1,166
)
(5,864
)
276,342
-
Total
$
739,632
$
33,775
$
(19,265
)
$
(319,588
)
$
434,554
$
30,748
Commercial Loan Deferral Expirations Update
9/30/20
Balance
October$
277,010
November
123,851
December
12,226
January
14,000
February
5,075
March+
2,392
Total
$
434,554
(1) Represents approximately 76.4% of previously disclosed third quarter 2020 scheduled expirations. Non-GAAP Reconciliations Premier Financial Corp.
Nine months ended
(In thousands, except per share and ratio data)9/30/20
9/30/19
3rd Qtr 2020
2nd Qtr 2020
1st Qtr 2020
4th Qtr 2019
3rd Qtr 2019
Acquisition related charges (pre-tax)$
17,295
$
540
$
3,711
$
2,099
$
11,486
$
882
$
540
Less: Tax benefit of acquisition related charges
3,254
113
779
441
2,034
185
113
Acquisition related charges (after-tax)
$
14,041
$
427
$
2,932
$
1,658
$
9,452
$
697
$
427
Total non-interest expenses
$
123,856
$
72,364
$
43,563
$
37,984
$
42,310
$
24,721
$
23,264
Less: Acquisition related charges (pre-tax)
17,295
540
3,711
2,099
11,486
882
540
Less: FHLB prepayment charges(1)
1,407
-
1,407
-
-
-
-
Core non-interest expenses
$
105,154
$
71,824
$
38,445
$
35,885
$
30,824
$
23,839
$
22,724
Acquisition related provision (pre-tax)
$
25,949
$
-
$
-
$
-
$
25,949
$
-
$
-
Less: Tax benefit of acquisition related provision
5,449
-
-
-
5,449
-
-
Acquisition related provision (after-tax)
$
20,500
$
-
$
-
$
-
$
20,500
$
-
$
-
Provision for credit losses
$
51,014
$
1,761
$
2,794
$
2,975
$
45,244
$
1,123
$
1,266
Less: Acquisition related provision (pre-tax)
25,949
-
-
-
25,949
-
-
Core provision for credit losses
$
25,065
$
1,761
$
2,794
$
2,975
$
19,295
$
1,123
$
1,266
Non-interest income
$
62,013
$
33,141
$
25,000
$
23,015
$
13,999
$
11,816
$
11,842
Less: Securities gains (losses)
1,478
11
1,480
(2
)
-
13
11
Non-interest income (excluding securities gains/losses)
$
60,535
$
33,130
$
23,520
$
23,017
$
13,999
$
11,803
$
11,831
Tax-equivalent net interest income
$
153,805
$
86,886
$
53,530
$
54,560
$
45,714
$
29,730
$
29,131
Non-interest income (excluding securities gains/losses)
60,549
33,130
23,520
23,017
13,999
11,803
11,831
Total revenues
214,354
120,016
77,050
77,577
59,713
41,533
40,962
Core non-interest expenses
$
105,154
$
71,824
$
38,445
$
35,885
$
30,824
$
23,839
$
22,724
Core efficiency ratio
49.06
%
59.85
%
49.90
%
46.26
%
51.62
%
57.40
%
55.48
%
Income (loss) before income taxes$
40,181
$
45,167
$
31,914
$
36,360
$
(28,092
)
$
15,470
$
16,204
Add: Provision for credit losses
51,014
1,761
2,794
2,975
45,244
1,123
1,266
Pre-tax pre-provision income
91,195
46,928
34,708
39,335
17,152
16,593
17,470
Add: Acquisition related charges (pre-tax)
17,295
540
3,711
2,099
11,486
882
540
Core pre-tax pre-provision income
$
108,490
$
47,468
$
38,419
$
41,434
$
28,638
$
17,475
$
18,010
Average total assets
$
6,437,886
$
3,236,674
$
6,935,783
$
7,005,783
$
5,357,598
$
3,425,097
$
3,303,013
Core pre-tax pre-provision return on average assets
2.25
%
1.97
%
2.20
%
2.38
%
2.15
%
2.02
%
2.16
%
Net income (loss)$
32,230
$
36,852
$
25,655
$
29,057
$
(22,482
)
$
12,517
$
13,171
Add: Acquisition related provision (after-tax)
20,500
427
-
-
20,500
-
-
Add: Acquisition related charges (after-tax)
14,041
-
2,932
1,658
9,452
697
427
Core net income
$
66,771
$
37,279
$
28,587
$
30,715
$
7,470
$
13,214
$
13,598
Diluted shares - Reported
35,482
19,943
37,334
37,324
31,642
19,895
19,875
Add: Dilutive shares for core net income
-
-
-
-
121
-
-
Diluted shares - Core
35,482
19,943
37,334
37,324
31,763
19,895
19,875
Core diluted EPS
$
1.88
$
1.87
$
0.77
$
0.82
$
0.24
$
0.66
$
0.68
Average total assets
$
6,437,886
$
3,236,674
$
6,935,783
$
7,005,783
$
5,357,598
$
3,425,097
$
3,303,013
Core return on average assets
1.39
%
1.54
%
1.64
%
1.76
%
0.56
%
1.53
%
1.63
%
Average total equity$
881,932
$
401,597
$
927,506
$
932,793
$
787,519
$
420,352
$
411,041
Core return on average equity
10.11
%
12.44
%
12.26
%
13.24
%
3.82
%
12.47
%
13.12
%
Note: 2020 current quarter and year-to-date results include three and eight months of operations from UCFC, respectively, compared to none for comparable periods in 2019. (1) Represents prepayment penalties on FHLB early extinguishments funded by gains on securities sales that are excluded from revenues for efficiency ratio calculation.
View source version on businesswire.com: https://www.businesswire.com/news/home/20201020006164/en/
Paul Nungester EVP and CFO 419.785.8700 PNungester@yourpremierbank.com
1 Year P.F.Changs China Bistro, Inc. (MM) Chart |
1 Month P.F.Changs China Bistro, Inc. (MM) Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions