– моментальные уведомления о рынке акций
– моментальные уведомления о рынке акций
PHOENIX--(BUSINESS WIRE)--Western Alliance Bancorporation (NYSE:WAL):
FIRST QUARTER 2022 FINANCIAL RESULTS
First Quarter Highlights: |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
Earnings per share |
|
PPNR1 |
|
Net interest margin |
|
Efficiency ratio1 |
|
Book value per
|
$43.56 |
||||||||||
$240.1 million |
|
$2.22
|
|
$307.2 million |
|
3.32%
|
|
44.1%
|
|
$37.131, excluding goodwill and intangibles |
CEO COMMENTARY: |
Western Alliance's national commercial business strategy continued to deliver accelerating balance sheet growth, surpassing the $60 billion asset milestone, and strong financial performance results to kick off 2022,” said Kenneth A. Vecchione, President and Chief Executive Officer. “Balance sheet growth continued with loans up $2.0 billion (or 43.2% year-over-year), and deposits up $4.5 billion (or 35.9% year-over-year), bringing total assets to $60.6 billion at quarter end, driving a 52.1% year-over-year increase in PPNR to $307.2 million. Net income of $240.1 million, earnings per share of $2.22 and return on tangible common equity of 23.9% for the first quarter 2022 mirrors the Company’s strong fourth quarter performance, while tangible book value per share fell 1.9% quarterly to $37.13 due to a decline in AOCI from fair value losses on investment securities. Asset quality remained strong with nonperforming assets to total assets of 0.17% and negligible net charge-offs for the quarter." |
Acquisition of Digital Disbursements and AmeriHome Mortgage Company: |
On January 25, 2022, the Company completed its acquisition of Digital Settlement Technologies LLC, doing business as Digital Disbursements, a digital payments platform for the class action legal industry. On April 7, 2021, the Company completed its acquisition of Aris Mortgage Holding Company, LLC, the parent company of AmeriHome Mortgage Company, LLC ("AmeriHome"). The Company's results include the financial results of Digital Disbursements and AmeriHome beginning on the acquisition dates noted. |
LINKED-QUARTER BASIS |
YEAR-OVER-YEAR |
|
|
FINANCIAL HIGHLIGHTS: |
|
|
|
|
|
|
|
|
|
FINANCIAL POSITION RESULTS: |
|
|
|
|
|
|
|
LOANS AND ASSET QUALITY: |
|
|
|
|
|
KEY PERFORMANCE METRICS: |
|
|
|
|
|
|
|
|
|
|
|
1 See reconciliation of Non-GAAP Financial Measures.
Income Statement
Net interest income was $449.5 million in the first quarter 2022, a decrease of $1.1 million from $450.6 million in the fourth quarter 2021, and an increase of $132.2 million, or 41.7%, compared to the first quarter 2021. The decrease in net interest income from the fourth quarter 2021 is due to two fewer days in the quarter, a lower HFS loan balance and interest expense on debt issued in December 2021, partially offset by higher yields on investment securities and HFI loan growth. HFI loan growth and interest income from HFS loans drove the increase in net interest income from the first quarter 2021.
The Company recorded a provision for credit losses totaling $9.0 million in the first quarter 2022, a decrease of $4.2 million from $13.2 million in the fourth quarter 2021, compared to a provision release of $32.4 million in the first quarter 2021. The provision for credit losses during the first quarter 2022 is primarily due to loan growth.
The Company’s net interest margin in the first quarter 2022 was 3.32%, a decrease from 3.33% in the fourth quarter 2021, and a decrease from 3.37% in the first quarter 2021. The decrease in net interest margin from the prior quarter is largely a result of increased rates on borrowings, a greater portion of earnings assets held in cash, and lower yields on certain HFI loan types, partially offset by higher yields on investment securities and HFS loans. The decrease in net interest margin from the first quarter 2021 was driven by lower yields on all HFI loan types, except CRE owner occupied loans, and higher interest expense due to debt issued in 2021 and AmeriHome senior notes, partially offset by higher yields on investment securities.
Non-interest income was $106.3 million for the first quarter 2022, compared to $110.4 million for the fourth quarter 2021, and $19.7 million for the first quarter 2021. The $4.1 million decrease in non-interest income from the fourth quarter 2021 was primarily the result of a decrease in net gain on loan origination and sale activities of $36.3 million from lower production volume, which was offset entirely by an increase in loan servicing revenue of $38.8 million as rising interest rates and falling prepayment speeds benefit MSR valuations and servicing income. Also contributing to the decrease in non-interest income from the fourth quarter 2021 was a larger loss on fair value adjustments on assets measured at fair value of $5.8 million, which was offset by a net gain on sales of investment securities of $6.9 million for the first quarter 2022 (a decrease of $1.4 million from the prior quarter). Changes from the fourth quarter 2021 for all other non-interest income items, including gain on recovery from credit guarantees, income from equity investments, and other, net to an increase of $0.6 million. The increase in non-interest income from the first quarter 2021 is primarily the result of mortgage banking related income.
Net revenue was $555.8 million for the first quarter 2022, a decrease of $5.2 million, or (0.9)%, compared to $561.0 million for the fourth quarter 2021, and an increase of $218.8 million, or 64.9%, compared to $337.0 million for the first quarter 2021.
Non-interest expense was $248.6 million for the first quarter 2022, compared to $237.8 million for the fourth quarter 2021, and $135.0 million for the first quarter 2021. The Company’s efficiency ratio1 was 44.1% for the first quarter 2022, compared to 41.8% in the fourth quarter 2021, and 39.1% for the first quarter 2021. Non-interest expense increased from the fourth quarter 2021 due to increased compensation costs. The increase in non-interest expense from the first quarter 2021 is attributable to growth from the AmeriHome acquisition, which increased compensation costs and also introduced additional non-interest expense items, such as loan servicing and loan acquisition and origination expenses.
Income tax expense was $58.1 million for the first quarter 2022, compared to $64.0 million for the fourth quarter 2021, and $41.9 million for the first quarter 2021.
Net income was $240.1 million for the first quarter 2022, a decrease of $5.9 million from $246.0 million for the fourth quarter 2021, and an increase of $47.6 million from $192.5 million for the first quarter 2021. Earnings per share was $2.22 for the first quarter 2022, compared to $2.32 for the fourth quarter 2021, and $1.90 for the first quarter 2021. The increase in net income and earnings per share for the first quarter 2022 compared to the same quarter last year was due to HFI loan growth and new mortgage banking activity related to the AmeriHome acquisition.
The Company views its pre-provision net revenue1 ("PPNR") as a key metric for assessing the Company’s earnings power, which it defines as net revenue less non-interest expense. For the first quarter 2022, the Company’s PPNR1 was $307.2 million, down $16.0 million from $323.2 million in the fourth quarter 2021, and up $105.2 million from $202.0 million in the first quarter 2021. The decrease in PPNR1 from the fourth quarter 2021 was driven by increased compensation costs. The increase in PPNR1 from the first quarter 2021 was driven by HFI loan growth and the AmeriHome acquisition completed on April 7, 2021.
The Company had 3,170 full-time equivalent employees and 60 offices at March 31, 2022, compared to 3,139 employees and 58 offices at December 31, 2021, and 1,947 employees and 49 offices at March 31, 2021. The increase in employees from March 31, 2021 primarily relates to the addition of AmeriHome employees.
1 See reconciliation of Non-GAAP Financial Measures.
HFI loans, net of deferred fees totaled $41.1 billion at March 31, 2022, an increase of $2.0 billion from $39.1 billion at December 31, 2021, and $12.4 billion from $28.7 billion at March 31, 2021. The increase in HFI loans from the prior quarter was driven by a $2.0 billion increase in residential real estate as well as loan growth of $323 million in CRE non-owner occupied, and $255 million in construction and land development loans, which were partially offset by decreases in commercial and industrial loans of $436 million and CRE owner occupied loans of $93 million. From March 31, 2021, loan growth was primarily driven by residential real estate, commercial and industrial, and CRE non-owner occupied loans which increased $8.2 billion, $2.8 billion, and $1.2 billion, respectively. Construction and land development loans also increased $510 million, partially offset by a decrease in CRE owner occupied loans of $247 million from March 31, 2021.
The Company's allowance for credit losses on HFI loans consists of an allowance for funded HFI loans and an allowance for unfunded loan commitments. At March 31, 2022, the allowance for loan losses to funded HFI loans was 0.63%, compared to 0.65% at December 31, 2021, and 0.86% at March 31, 2021. The allowance for credit losses, which includes the allowance for unfunded loan commitments, to funded HFI loans was 0.73% at March 31, 2022, compared to 0.74% at December 31, 2021, and 0.97% at March 31, 2021. In 2021, the Company entered into two separate credit linked note transactions, which effectively transfers the risk of loan losses on a reference pool of loans to the purchasers of the notes. However, as these note transactions are considered to be free standing credit enhancements, the allowance for credit losses cannot be reduced by the expected credit losses that may be mitigated by these notes. Accordingly, the allowance for loan and credit losses ratios as of March 31, 2022 and December 31, 2021 include an allowance of $9.5 million and $7.2 million, respectively, related to this pool of loans. The allowance for credit losses to funded HFI loans, adjusted to take into consideration the transfer of risk associated with the credit linked note transactions, was 0.84% at March 31, 2022 and 0.89% at December 31, 2021.
Deposits totaled $52.2 billion at March 31, 2022, an increase of $4.5 billion from $47.6 billion at December 31, 2021, and an increase of $13.8 billion from $38.4 billion at March 31, 2021. By deposit type, the increase from the prior quarter is primarily attributable to an increase of $2.2 billion from non-interest bearing demand deposits, $1.3 billion from interest bearing demand deposits, and $1.3 billion from savings and money market accounts, partially offset by a decrease of $238 million from certificates of deposits. From March 31, 2021, deposits increased across all deposit types, with the largest increases in non-interest bearing demand deposits of $6.0 billion, interest-bearing demand deposits of $4.4 billion, and savings and money market accounts of $3.3 billion. Non-interest bearing deposits were $23.5 billion at March 31, 2022, compared to $21.4 billion at December 31, 2021, and $17.5 billion at March 31, 2021.
The table below shows the Company's deposit types as a percentage of total deposits:
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Mar 31, 2021 |
|||
Non-interest bearing |
|
45.1 |
% |
|
44.9 |
% |
|
45.7 |
% |
Savings and money market |
|
35.6 |
|
|
36.3 |
|
|
39.8 |
|
Interest-bearing demand |
|
15.8 |
|
|
14.5 |
|
|
10.1 |
|
Certificates of deposit |
|
3.5 |
|
|
4.3 |
|
|
4.4 |
|
The Company’s ratio of HFI loans to deposits was 78.8% at March 31, 2022, compared to 82.1% at December 31, 2021, and 74.8% at March 31, 2021.
Borrowings were $815 million at March 31, 2022, $1.5 billion at December 31, 2021, and $5 million at March 31, 2021. The decrease in borrowings from December 31, 2021 is due primarily to a decrease in overnight borrowings of $675 million. The increase in borrowings from March 31, 2021 is due primarily to the assumption of borrowings related to the acquisition of AmeriHome and the issuance of $470 million in credit linked notes during 2021.
Qualifying debt totaled $893 million at March 31, 2022, compared to $896 million at December 31, 2021, and $544 million at March 31, 2021. The increase in qualifying debt from March 31, 2021 is primarily related to the issuance of $600 million in subordinated debt in June 2021, partially offset by $250 million in subordinated debt redemptions during 2021.
Stockholders’ equity was $5.0 billion at March 31, 2022, compared to $5.0 billion at December 31, 2021, and $3.7 billion at March 31, 2021. Stockholders' equity remained consistent quarter over quarter as net income and net proceeds from the sale of the Company's common stock under its ATM program were offset by dividends to shareholders and fair value losses of approximately $250 million on the Company's fixed rate available for sale securities, which are recorded in other comprehensive income, net of tax. During the quarter, the Company sold 1.3 million shares of its common stock at an average purchase price of $86.78 per share, with aggregate net proceeds totaling $107.7 million. A cash dividend of $0.35 per share was paid to common shareholders on March 4, 2022, totaling $37.3 million, and a cash dividend of $0.27 per depository share was paid to preferred shareholders on March 30, 2022, totaling $3.2 million. The increase in stockholders' equity from March 31, 2021 is primarily a function of net income, issuance of preferred stock, and sales of common stock under the Company's ATM program, partially offset by dividends to shareholders and losses on available for sale securities.
At March 31, 2022, tangible common equity, net of tax1, was 6.7% of tangible assets1 and total capital was 12.0% of risk-weighted assets. The Company’s tangible book value per share1 was $37.13 at March 31, 2022, up 12.4% from March 31, 2021.
Total assets increased 8.2% to $60.6 billion at March 31, 2022, from $56.0 billion at December 31, 2021, and increased 39.6% from $43.4 billion at March 31, 2021. The increase in total assets from December 31, 2021 was driven by continued organic loan and deposit growth. The increase in total assets from March 31, 2021 was also driven by continued organic loan and deposit growth along with the acquisition of net assets in the AmeriHome acquisition.
1 See reconciliation of Non-GAAP Financial Measures.
Provision for credit losses totaled $9.0 million for the first quarter 2022, compared $13.2 million for the fourth quarter 2021, and a recovery of credit losses of $32.4 million for the first quarter 2021. Net loan charge-offs in the first quarter 2022 were $0.2 million, or approximately 0.00% of average loans (annualized), compared to $1.4 million, or 0.02%, in the fourth quarter 2021, and $1.4 million, or 0.02%, in the first quarter 2021.
Nonaccrual loans increased $18.4 million to $91.0 million during the quarter and decreased $22.6 million from March 31, 2021. Loans past due 90 days and still accruing interest were zero at March 31, 2022, December 31, 2021, and March 31, 2021. Loans past due 30-89 days and still accruing interest totaled $57.6 million at March 31, 2022, an increase from $52.5 million at December 31, 2021, and an increase from $7.3 million at March 31, 2021.
Repossessed assets totaled $11.7 million at March 31, 2022, flat from December 31, 2021, and an increase of $7.5 million from $4.2 million at March 31, 2021. Classified assets totaled $365.1 million at March 31, 2022, an increase of $64.4 million from $300.7 million at December 31, 2021, and $84.3 million from $280.9 million at March 31, 2021.
The ratio of classified assets to Tier 1 capital plus the allowance for credit losses, a common regulatory measure of asset quality, was 7.4% at March 31, 2022, compared to 6.4% at December 31, 2021, and 7.5% at March 31, 2021.
1 See reconciliation of Non-GAAP Financial Measures.
Segment Highlights
The Company's reportable segments are aggregated with a focus on products and services offered and consist of three reportable segments:
Key management metrics for evaluating the performance of the Company's Commercial and Consumer Related segments include loan and deposit growth, asset quality, and pre-tax income.
The Commercial segment reported an HFI loan balance of $25.8 billion at March 31, 2022, an increase of $702 million during the quarter, and an increase of $5.1 billion during the last twelve months. Deposits for the Commercial segment totaled $30.1 billion at March 31, 2022, a decrease of $333 million during the quarter, and an increase of $6.0 billion during the last twelve months.
Pre-tax income for the Commercial segment was $236.8 million for the three months ended March 31, 2022, a decrease of $1.5 million from the three months ended December 31, 2021, and an increase of $15.9 million from the three months ended March 31, 2021.
The Consumer Related segment reported an HFI loan balance of $15.3 billion at March 31, 2022, an increase of $1.3 billion during the quarter, and an increase of $7.3 billion during the last twelve months. The Consumer Related segment also has loans held for sale, initially acquired as part of the AmeriHome acquisition, of $4.8 billion at March 31, 2022, a decrease of $874 million during the quarter. Deposits for the Consumer Related segment totaled $18.5 billion, an increase of $3.2 billion during the quarter, and an increase of $5.2 billion during the last twelve months.
Pre-tax income for the Consumer Related segment was $126.9 million for the three months ended March 31, 2022, a decrease of $8.1 million from the three months ended December 31, 2021, and an increase of $55.4 million from the three months ended March 31, 2021.
Conference Call and Webcast
Western Alliance Bancorporation will host a conference call and live webcast to discuss its first quarter 2022 financial results at 12:00 p.m. ET on Friday, April 22, 2022. Participants may access the call by dialing 1-833-236-2753 and using the conference ID 8647856 or via live audio webcast using the website link https://event.on24.com/wcc/r/3722529/285EA0451C6B4F5BCA17F23768468E57. The webcast is also available via the Company’s website at www.westernalliancebancorporation.com. Participants should log in at least 15 minutes early to receive instructions. The call will be recorded and made available for replay after 3:00 p.m. ET April 22nd through 11:00 p.m. ET May 22nd by dialing 1-800-585-8367, conference ID: 8647856.
Reclassifications
Certain amounts in the Consolidated Income Statements for the prior periods have been reclassified to conform to the current presentation. The reclassifications have no effect on net income or stockholders’ equity as previously reported.
Use of Non-GAAP Financial Information
This press release contains both financial measures based on GAAP and non-GAAP based financial measures, which are used where management believes them to be helpful in understanding the Company’s results of operations or financial position. Where non-GAAP financial measures are used, the comparable GAAP financial measure, as well as the reconciliation to the comparable GAAP financial measure, can be found in this press release. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies.
Cautionary Note Regarding Forward-Looking Statements
This release contains forward-looking statements that relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. Examples of forward-looking statements include, among others, statements we make regarding our expectations with regard to our business, financial and operating results, future economic performance and dividends. The forward-looking statements contained herein reflect our current views about future events and financial performance and are subject to risks, uncertainties, assumptions and changes in circumstances that may cause our actual results to differ significantly from historical results and those expressed in any forward-looking statement. Some factors that could cause actual results to differ materially from historical or expected results include, among others: the risk factors discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021 and the Company's subsequent Quarterly Reports on Form 10-Q, each as filed with the Securities and Exchange Commission; the potential adverse effects of unusual and infrequently occurring events such as the COVID-19 pandemic and any governmental or societal responses thereto; changes in general economic conditions, either nationally or locally in the areas in which we conduct or will conduct our business; the impact on financial markets from geopolitical conflicts such as the war between Russia and Ukraine; inflation, interest rate, market and monetary fluctuations; increases in competitive pressures among financial institutions and businesses offering similar products and services; higher defaults on our loan portfolio than we expect; changes in management’s estimate of the adequacy of the allowance for credit losses; legislative or regulatory changes or changes in accounting principles, policies or guidelines; supervisory actions by regulatory agencies which may limit our ability to pursue certain growth opportunities, including expansion through acquisitions; additional regulatory requirements resulting from our continued growth; management’s estimates and projections of interest rates and interest rate policy; the execution of our business plan; and other factors affecting the financial services industry generally or the banking industry in particular.
Any forward-looking statement made by us in this release is based only on information currently available to us and speaks only as of the date on which it is made. We do not intend and disclaim any duty or obligation to update or revise any industry information or forward-looking statements, whether written or oral, that may be made from time to time, set forth in this press release to reflect new information, future events or otherwise.
About Western Alliance Bancorporation
With more than $60 billion in assets, Western Alliance Bancorporation (NYSE: WAL) is one of the country’s top-performing banking companies. The company is #2 best-performing of the 50 largest public U.S. banks in the S&P Global Market Intelligence listing for 2021, ranks high on the Forbes “America’s Best Banks” list year after year and was named #1 Best Emerging Regional Bank per Bank Director’s 2022 RankingBanking study. Its primary subsidiary, Western Alliance Bank, Member FDIC, helps business clients realize their ambitions with teams of experienced bankers who deliver superior service and a full spectrum of customized loan, deposit and treasury management capabilities, including blockchain-based offerings. Business clients also benefit from a powerful array of specialized financial services that provide strong expertise and tailored solutions for a wide variety of industries and sectors. Serving clients across the country wherever business happens, Western Alliance Bank operates individual, full-service banking and financial services brands, including AmeriHome Mortgage, and has offices in key markets nationwide. For more information, visit westernalliancebank.com.
Western Alliance Bancorporation and Subsidiaries |
||||||||||
Summary Consolidated Financial Data |
||||||||||
Unaudited |
||||||||||
|
|
|
||||||||
Selected Balance Sheet Data: |
|
|
||||||||
|
|
As of March 31, |
||||||||
|
|
2022 |
|
2021 |
|
Change % |
||||
|
|
(in millions) |
|
|
||||||
Total assets |
|
$ |
60,576.1 |
|
$ |
43,397.0 |
|
|
39.6 |
% |
Loans held for sale |
|
|
4,761.6 |
|
|
— |
|
|
— |
|
HFI loans, net of deferred fees |
|
|
41,119.1 |
|
|
28,711.0 |
|
|
43.2 |
|
Investment securities |
|
|
8,276.6 |
|
|
7,888.8 |
|
|
4.9 |
|
Total deposits |
|
|
52,159.5 |
|
|
38,393.1 |
|
|
35.9 |
|
Qualifying debt |
|
|
893.3 |
|
|
543.7 |
|
|
64.3 |
|
Stockholders' equity |
|
|
5,011.6 |
|
|
3,712.7 |
|
|
35.0 |
|
Tangible common equity, net of tax (1) |
|
|
4,020.9 |
|
|
3,416.1 |
|
|
17.7 |
|
|
||||||||||
|
||||||||||
Selected Income Statement Data: |
|
|
||||||||
|
|
For the Three Months Ended March 31, |
||||||||
|
|
2022 |
|
2021 |
|
Change % |
||||
|
|
(in millions, except per share data) |
|
|
||||||
Interest income |
|
$ |
484.5 |
|
$ |
334.1 |
|
|
45.0 |
% |
Interest expense |
|
|
35.0 |
|
|
16.8 |
|
|
NM |
|
Net interest income |
|
|
449.5 |
|
|
317.3 |
|
|
41.7 |
|
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
(32.4 |
) |
|
NM |
|
Net interest income after provision for credit losses |
|
|
440.5 |
|
|
349.7 |
|
|
26.0 |
|
Non-interest income |
|
|
106.3 |
|
|
19.7 |
|
|
NM |
|
Non-interest expense |
|
|
248.6 |
|
|
135.0 |
|
|
84.1 |
|
Income before income taxes |
|
|
298.2 |
|
|
234.4 |
|
|
27.2 |
|
Income tax expense |
|
|
58.1 |
|
|
41.9 |
|
|
38.7 |
|
Net income |
|
|
240.1 |
|
|
192.5 |
|
|
24.7 |
|
Dividends on preferred stock |
|
|
3.2 |
|
|
— |
|
|
— |
|
Net income available to common stockholders |
|
$ |
236.9 |
|
$ |
192.5 |
|
|
23.1 |
|
Diluted earnings per common share |
|
$ |
2.22 |
|
$ |
1.90 |
|
|
16.8 |
|
(1) |
See Reconciliation of Non-GAAP Financial Measures. |
|
NM |
Changes +/- 100% are not meaningful. |
Western Alliance Bancorporation and Subsidiaries |
|||||||||||
Summary Consolidated Financial Data |
|||||||||||
Unaudited |
|||||||||||
|
|||||||||||
Common Share Data: |
|
|
|||||||||
|
|
At or For the Three Months Ended March 31, |
|||||||||
|
|
2022 |
|
2021 |
|
Change % |
|||||
Diluted earnings per common share |
|
$ |
2.22 |
|
|
$ |
1.90 |
|
|
16.8 |
% |
Book value per common share |
|
|
43.56 |
|
|
|
35.89 |
|
|
21.4 |
|
Tangible book value per common share, net of tax (1) |
|
|
37.13 |
|
|
|
33.02 |
|
|
12.4 |
|
Average common shares outstanding (in millions): |
|
|
|
|
|
|
|||||
Basic |
|
|
106.0 |
|
|
|
100.8 |
|
|
5.2 |
|
Diluted |
|
|
106.6 |
|
|
|
101.4 |
|
|
5.1 |
|
Common shares outstanding |
|
|
108.3 |
|
|
|
103.4 |
|
|
4.7 |
|
Selected Performance Ratios: |
|
|
|
|
|
|
|||||
Return on average assets (2) |
|
|
1.64 |
% |
|
|
1.93 |
% |
|
(15.0 |
) % |
Return on average tangible common equity (1, 2) |
|
|
23.9 |
|
|
|
24.2 |
|
|
(1.2 |
) |
Net interest margin (2) |
|
|
3.32 |
|
|
|
3.37 |
|
|
(1.5 |
) |
Efficiency ratio - tax equivalent basis (1) |
|
|
44.1 |
|
|
|
39.1 |
|
|
12.8 |
|
Loan to deposit ratio |
|
|
78.8 |
|
|
|
74.8 |
|
|
5.3 |
|
|
|
|
|
|
|
|
|||||
Asset Quality Ratios: |
|
|
|
|
|
|
|||||
Net charge-offs to average loans outstanding (2) |
|
|
0.00 |
% |
|
|
0.02 |
% |
|
NM |
|
Nonaccrual loans to funded HFI loans |
|
|
0.22 |
|
|
|
0.40 |
|
|
(45.0 |
) |
Nonaccrual loans and repossessed assets to total assets |
|
|
0.17 |
|
|
|
0.27 |
|
|
(37.0 |
) |
Allowance for loan losses to funded HFI loans |
|
|
0.63 |
|
|
|
0.86 |
|
|
(26.7 |
) |
Allowance for loan losses to nonaccrual HFI loans |
|
|
283 |
|
|
|
218 |
|
|
30.1 |
|
Capital Ratios: |
|
|
|
|
|
|
|||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Mar 31, 2021 |
|||
Tangible common equity (1) |
|
6.7 |
% |
|
7.3 |
% |
|
7.9 |
% |
Common Equity Tier 1 (3) |
|
9.0 |
|
|
9.1 |
|
|
10.3 |
|
Tier 1 Leverage ratio (3) |
|
8.0 |
|
|
7.8 |
|
|
8.8 |
|
Tier 1 Capital (3) |
|
9.8 |
|
|
9.9 |
|
|
10.6 |
|
Total Capital (3) |
|
12.0 |
|
|
12.3 |
|
|
12.6 |
|
(1) |
See Reconciliation of Non-GAAP Financial Measures. |
|
(2) |
Annualized on an actual/actual basis for periods less than 12 months. |
|
(3) |
Capital ratios for March 31, 2022 are preliminary. |
|
NM |
Changes +/- 100% are not meaningful. |
Western Alliance Bancorporation and Subsidiaries |
||||||||
Condensed Consolidated Income Statements |
||||||||
Unaudited |
||||||||
|
|
Three Months Ended March 31, |
||||||
|
|
2022 |
|
2021 |
||||
|
|
(dollars in millions, except per share data) |
||||||
Interest income: |
|
|
|
|
||||
Loans |
|
$ |
434.7 |
|
|
$ |
298.4 |
|
Investment securities |
|
|
48.0 |
|
|
|
34.0 |
|
Other |
|
|
1.8 |
|
|
|
1.7 |
|
Total interest income |
|
|
484.5 |
|
|
|
334.1 |
|
Interest expense: |
|
|
|
|
||||
Deposits |
|
|
14.1 |
|
|
|
10.8 |
|
Qualifying debt |
|
|
8.4 |
|
|
|
5.9 |
|
Borrowings |
|
|
12.5 |
|
|
|
0.1 |
|
Total interest expense |
|
|
35.0 |
|
|
|
16.8 |
|
Net interest income |
|
|
449.5 |
|
|
|
317.3 |
|
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
|
(32.4 |
) |
Net interest income after provision for credit losses |
|
|
440.5 |
|
|
|
349.7 |
|
Non-interest income: |
|
|
|
|
||||
Net loan servicing revenue |
|
|
41.1 |
|
|
|
— |
|
Net gain on loan origination and sale activities |
|
|
36.9 |
|
|
|
— |
|
Service charges and fees |
|
|
7.0 |
|
|
|
6.7 |
|
Commercial banking related income |
|
|
5.1 |
|
|
|
3.4 |
|
Income from equity investments |
|
|
4.1 |
|
|
|
7.6 |
|
Gain on sales of investment securities |
|
|
6.9 |
|
|
|
0.1 |
|
Gain on recovery from credit guarantees |
|
|
2.3 |
|
|
|
— |
|
Fair value loss adjustments on assets measured at fair value, net |
|
|
(6.6 |
) |
|
|
(1.5 |
) |
Other |
|
|
9.5 |
|
|
|
3.4 |
|
Total non-interest income |
|
|
106.3 |
|
|
|
19.7 |
|
Non-interest expenses: |
|
|
|
|
||||
Salaries and employee benefits |
|
|
138.3 |
|
|
|
83.7 |
|
Legal, professional, and directors' fees |
|
|
24.0 |
|
|
|
10.1 |
|
Data processing |
|
|
17.6 |
|
|
|
9.9 |
|
Occupancy |
|
|
12.8 |
|
|
|
8.6 |
|
Loan servicing expenses |
|
|
10.8 |
|
|
|
— |
|
Deposit costs |
|
|
9.3 |
|
|
|
6.3 |
|
Insurance |
|
|
7.2 |
|
|
|
4.2 |
|
Loan acquisition and origination expenses |
|
|
6.5 |
|
|
|
— |
|
Business development and marketing |
|
|
4.4 |
|
|
|
1.4 |
|
Net loss (gain) on sales and valuations of repossessed and other assets |
|
|
0.1 |
|
|
|
(0.3 |
) |
Acquisition and restructure expenses |
|
|
0.4 |
|
|
|
0.4 |
|
Other |
|
|
17.2 |
|
|
|
10.7 |
|
Total non-interest expense |
|
|
248.6 |
|
|
|
135.0 |
|
Income before income taxes |
|
|
298.2 |
|
|
|
234.4 |
|
Income tax expense |
|
|
58.1 |
|
|
|
41.9 |
|
Net income |
|
|
240.1 |
|
|
|
192.5 |
|
Dividends on preferred stock |
|
|
3.2 |
|
|
|
— |
|
Net income available to common stockholders |
|
$ |
236.9 |
|
|
$ |
192.5 |
|
|
|
|
|
|
||||
Earnings per common share: |
|
|
|
|
||||
Diluted shares |
|
|
106.6 |
|
|
|
101.4 |
|
Diluted earnings per share |
|
$ |
2.22 |
|
|
$ |
1.90 |
|
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Five Quarter Condensed Consolidated Income Statements |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions, except per share data) |
||||||||||||||||||
Interest income: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans |
|
$ |
434.7 |
|
|
$ |
438.6 |
|
|
$ |
398.0 |
|
|
$ |
353.8 |
|
|
$ |
298.4 |
|
Investment securities |
|
|
48.0 |
|
|
|
43.7 |
|
|
|
43.5 |
|
|
|
43.5 |
|
|
|
34.0 |
|
Other |
|
|
1.8 |
|
|
|
1.0 |
|
|
|
1.3 |
|
|
|
1.2 |
|
|
|
1.7 |
|
Total interest income |
|
|
484.5 |
|
|
|
483.3 |
|
|
|
442.8 |
|
|
|
398.5 |
|
|
|
334.1 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits |
|
|
14.1 |
|
|
|
12.8 |
|
|
|
12.3 |
|
|
|
11.6 |
|
|
|
10.8 |
|
Qualifying debt |
|
|
8.4 |
|
|
|
9.2 |
|
|
|
10.8 |
|
|
|
7.2 |
|
|
|
5.9 |
|
Borrowings |
|
|
12.5 |
|
|
|
10.7 |
|
|
|
9.3 |
|
|
|
9.2 |
|
|
|
0.1 |
|
Total interest expense |
|
|
35.0 |
|
|
|
32.7 |
|
|
|
32.4 |
|
|
|
28.0 |
|
|
|
16.8 |
|
Net interest income |
|
|
449.5 |
|
|
|
450.6 |
|
|
|
410.4 |
|
|
|
370.5 |
|
|
|
317.3 |
|
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
|
13.2 |
|
|
|
12.3 |
|
|
|
(14.5 |
) |
|
|
(32.4 |
) |
Net interest income after provision for credit losses |
|
|
440.5 |
|
|
|
437.4 |
|
|
|
398.1 |
|
|
|
385.0 |
|
|
|
349.7 |
|
Non-interest income: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Net loan servicing revenue (expense) |
|
|
41.1 |
|
|
|
2.3 |
|
|
|
2.2 |
|
|
|
(20.8 |
) |
|
|
— |
|
Net gain on loan origination and sale activities |
|
|
36.9 |
|
|
|
73.2 |
|
|
|
121.0 |
|
|
|
132.0 |
|
|
|
— |
|
Service charges and fees |
|
|
7.0 |
|
|
|
7.1 |
|
|
|
7.1 |
|
|
|
7.4 |
|
|
|
6.7 |
|
Commercial banking related income |
|
|
5.1 |
|
|
|
4.9 |
|
|
|
4.6 |
|
|
|
4.5 |
|
|
|
3.4 |
|
Income from equity investments |
|
|
4.1 |
|
|
|
5.2 |
|
|
|
2.5 |
|
|
|
6.8 |
|
|
|
7.6 |
|
Gain on sales of investment securities |
|
|
6.9 |
|
|
|
8.3 |
|
|
|
— |
|
|
|
— |
|
|
|
0.1 |
|
Gain on recovery from credit guarantees |
|
|
2.3 |
|
|
|
7.2 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Fair value (loss) gain adjustments on assets measured at fair value, net |
|
|
(6.6 |
) |
|
|
(0.8 |
) |
|
|
(2.2 |
) |
|
|
3.2 |
|
|
|
(1.5 |
) |
Other |
|
|
9.5 |
|
|
|
3.0 |
|
|
|
2.9 |
|
|
|
2.9 |
|
|
|
3.4 |
|
Total non-interest income |
|
|
106.3 |
|
|
|
110.4 |
|
|
|
138.1 |
|
|
|
136.0 |
|
|
|
19.7 |
|
Non-interest expenses: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Salaries and employee benefits |
|
|
138.3 |
|
|
|
120.6 |
|
|
|
133.5 |
|
|
|
128.9 |
|
|
|
83.7 |
|
Legal, professional, and directors' fees |
|
|
24.0 |
|
|
|
20.8 |
|
|
|
13.7 |
|
|
|
14.0 |
|
|
|
10.1 |
|
Data processing |
|
|
17.6 |
|
|
|
17.9 |
|
|
|
15.4 |
|
|
|
15.0 |
|
|
|
9.9 |
|
Occupancy |
|
|
12.8 |
|
|
|
12.4 |
|
|
|
12.4 |
|
|
|
10.4 |
|
|
|
8.6 |
|
Loan servicing expenses |
|
|
10.8 |
|
|
|
15.6 |
|
|
|
15.6 |
|
|
|
22.3 |
|
|
|
— |
|
Deposit costs |
|
|
9.3 |
|
|
|
9.1 |
|
|
|
7.3 |
|
|
|
7.1 |
|
|
|
6.3 |
|
Insurance |
|
|
7.2 |
|
|
|
7.1 |
|
|
|
6.2 |
|
|
|
5.5 |
|
|
|
4.2 |
|
Loan acquisition and origination expenses |
|
|
6.5 |
|
|
|
8.6 |
|
|
|
9.7 |
|
|
|
10.5 |
|
|
|
— |
|
Business development and marketing |
|
|
4.4 |
|
|
|
6.1 |
|
|
|
2.8 |
|
|
|
3.2 |
|
|
|
1.4 |
|
Loss on extinguishment of debt |
|
|
— |
|
|
|
5.9 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net loss (gain) on sales and valuations of repossessed and other assets |
|
|
0.1 |
|
|
|
(0.4 |
) |
|
|
(1.3 |
) |
|
|
(1.5 |
) |
|
|
(0.3 |
) |
Acquisition and restructure expenses (recoveries) |
|
|
0.4 |
|
|
|
(3.2 |
) |
|
|
2.4 |
|
|
|
15.7 |
|
|
|
0.4 |
|
Other |
|
|
17.2 |
|
|
|
17.3 |
|
|
|
16.1 |
|
|
|
13.7 |
|
|
|
10.7 |
|
Total non-interest expense |
|
|
248.6 |
|
|
|
237.8 |
|
|
|
233.8 |
|
|
|
244.8 |
|
|
|
135.0 |
|
Income before income taxes |
|
|
298.2 |
|
|
|
310.0 |
|
|
|
302.4 |
|
|
|
276.2 |
|
|
|
234.4 |
|
Income tax expense |
|
|
58.1 |
|
|
|
64.0 |
|
|
|
65.5 |
|
|
|
52.4 |
|
|
|
41.9 |
|
Net income |
|
|
240.1 |
|
|
|
246.0 |
|
|
|
236.9 |
|
|
|
223.8 |
|
|
|
192.5 |
|
Dividends on preferred stock |
|
|
3.2 |
|
|
|
3.5 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net income available to common stockholders |
|
$ |
236.9 |
|
|
$ |
242.5 |
|
|
$ |
236.9 |
|
|
$ |
223.8 |
|
|
$ |
192.5 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings per common share: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted shares |
|
|
106.6 |
|
|
|
104.5 |
|
|
|
103.9 |
|
|
|
103.4 |
|
|
|
101.4 |
|
Diluted earnings per share |
|
$ |
2.22 |
|
|
$ |
2.32 |
|
|
$ |
2.28 |
|
|
$ |
2.17 |
|
|
$ |
1.90 |
|
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Five Quarter Condensed Consolidated Balance Sheets |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions) |
||||||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and due from banks |
|
$ |
2,602.3 |
|
|
$ |
516.4 |
|
|
$ |
917.9 |
|
|
$ |
3,395.8 |
|
|
$ |
5,346.5 |
|
Investment securities |
|
|
8,276.6 |
|
|
|
7,540.9 |
|
|
|
7,695.9 |
|
|
|
7,845.0 |
|
|
|
7,888.8 |
|
Loans held for sale |
|
|
4,761.6 |
|
|
|
5,635.1 |
|
|
|
6,534.3 |
|
|
|
4,465.2 |
|
|
|
— |
|
Loans held for investment: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
|
17,861.9 |
|
|
|
18,297.5 |
|
|
|
16,524.7 |
|
|
|
14,284.5 |
|
|
|
15,070.7 |
|
Commercial real estate - non-owner occupied |
|
|
6,849.6 |
|
|
|
6,526.4 |
|
|
|
5,843.7 |
|
|
|
5,695.6 |
|
|
|
5,681.4 |
|
Commercial real estate - owner occupied |
|
|
1,805.4 |
|
|
|
1,898.1 |
|
|
|
1,996.6 |
|
|
|
2,028.1 |
|
|
|
2,052.0 |
|
Construction and land development |
|
|
3,277.7 |
|
|
|
3,022.7 |
|
|
|
2,943.3 |
|
|
|
2,856.9 |
|
|
|
2,767.9 |
|
Residential real estate |
|
|
11,269.7 |
|
|
|
9,281.7 |
|
|
|
7,452.8 |
|
|
|
5,120.7 |
|
|
|
3,109.1 |
|
Consumer |
|
|
54.8 |
|
|
|
49.0 |
|
|
|
40.8 |
|
|
|
40.6 |
|
|
|
29.9 |
|
Loans, net of deferred fees |
|
|
41,119.1 |
|
|
|
39,075.4 |
|
|
|
34,801.9 |
|
|
|
30,026.4 |
|
|
|
28,711.0 |
|
Allowance for loan losses |
|
|
(257.6 |
) |
|
|
(252.5 |
) |
|
|
(246.9 |
) |
|
|
(232.9 |
) |
|
|
(247.1 |
) |
Loans, net of deferred fees and allowance |
|
|
40,861.5 |
|
|
|
38,822.9 |
|
|
|
34,555.0 |
|
|
|
29,793.5 |
|
|
|
28,463.9 |
|
Mortgage servicing rights |
|
|
950.3 |
|
|
|
698.0 |
|
|
|
604.8 |
|
|
|
726.2 |
|
|
|
— |
|
Premises and equipment, net |
|
|
196.3 |
|
|
|
181.9 |
|
|
|
161.2 |
|
|
|
150.2 |
|
|
|
138.4 |
|
Operating lease right-of-use asset |
|
|
141.8 |
|
|
|
133.0 |
|
|
|
106.0 |
|
|
|
94.9 |
|
|
|
77.0 |
|
Other assets acquired through foreclosure, net |
|
|
11.7 |
|
|
|
11.7 |
|
|
|
11.5 |
|
|
|
3.9 |
|
|
|
4.2 |
|
Bank owned life insurance |
|
|
178.9 |
|
|
|
180.2 |
|
|
|
179.2 |
|
|
|
178.2 |
|
|
|
177.3 |
|
Goodwill and other intangibles, net |
|
|
698.2 |
|
|
|
634.8 |
|
|
|
608.4 |
|
|
|
610.7 |
|
|
|
298.0 |
|
Other assets |
|
|
1,896.9 |
|
|
|
1,627.7 |
|
|
|
1,400.9 |
|
|
|
1,805.4 |
|
|
|
1,002.9 |
|
Total assets |
|
$ |
60,576.1 |
|
|
$ |
55,982.6 |
|
|
$ |
52,775.1 |
|
|
$ |
49,069.0 |
|
|
$ |
43,397.0 |
|
Liabilities and Stockholders' Equity: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits |
|
|
|
|
|
|
|
|
|
|
||||||||||
Non-interest bearing demand deposits |
|
$ |
23,520.4 |
|
|
$ |
21,353.4 |
|
|
$ |
21,058.2 |
|
|
$ |
20,105.6 |
|
|
$ |
17,542.8 |
|
Interest bearing: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Demand |
|
|
8,268.2 |
|
|
|
6,924.0 |
|
|
|
4,954.3 |
|
|
|
4,187.7 |
|
|
|
3,893.4 |
|
Savings and money market |
|
|
18,552.7 |
|
|
|
17,278.6 |
|
|
|
17,440.1 |
|
|
|
15,810.3 |
|
|
|
15,276.0 |
|
Certificates of deposit |
|
|
1,818.2 |
|
|
|
2,056.0 |
|
|
|
1,830.0 |
|
|
|
1,817.4 |
|
|
|
1,680.9 |
|
Total deposits |
|
|
52,159.5 |
|
|
|
47,612.0 |
|
|
|
45,282.6 |
|
|
|
41,921.0 |
|
|
|
38,393.1 |
|
Customer repurchase agreements |
|
|
18.0 |
|
|
|
16.6 |
|
|
|
16.1 |
|
|
|
20.2 |
|
|
|
15.9 |
|
Total customer funds |
|
|
52,177.5 |
|
|
|
47,628.6 |
|
|
|
45,298.7 |
|
|
|
41,941.2 |
|
|
|
38,409.0 |
|
Borrowings |
|
|
815.3 |
|
|
|
1,485.3 |
|
|
|
987.4 |
|
|
|
595.2 |
|
|
|
5.0 |
|
Qualifying debt |
|
|
893.3 |
|
|
|
895.8 |
|
|
|
1,064.9 |
|
|
|
1,140.0 |
|
|
|
543.7 |
|
Operating lease liability |
|
|
154.9 |
|
|
|
142.8 |
|
|
|
115.0 |
|
|
|
102.4 |
|
|
|
84.6 |
|
Accrued interest payable and other liabilities |
|
|
1,523.5 |
|
|
|
867.5 |
|
|
|
795.1 |
|
|
|
1,255.7 |
|
|
|
642.0 |
|
Total liabilities |
|
|
55,564.5 |
|
|
|
51,020.0 |
|
|
|
48,261.1 |
|
|
|
45,034.5 |
|
|
|
39,684.3 |
|
Stockholders' Equity: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Preferred stock |
|
|
294.5 |
|
|
|
294.5 |
|
|
|
294.5 |
|
|
|
— |
|
|
|
— |
|
Common stock and additional paid-in capital |
|
|
1,979.6 |
|
|
|
1,879.4 |
|
|
|
1,609.9 |
|
|
|
1,603.4 |
|
|
|
1,524.2 |
|
Retained earnings |
|
|
2,972.6 |
|
|
|
2,773.0 |
|
|
|
2,567.0 |
|
|
|
2,366.6 |
|
|
|
2,168.6 |
|
Accumulated other comprehensive (loss) income |
|
|
(235.1 |
) |
|
|
15.7 |
|
|
|
42.6 |
|
|
|
64.5 |
|
|
|
19.9 |
|
Total stockholders' equity |
|
|
5,011.6 |
|
|
|
4,962.6 |
|
|
|
4,514.0 |
|
|
|
4,034.5 |
|
|
|
3,712.7 |
|
Total liabilities and stockholders' equity |
|
$ |
60,576.1 |
|
|
$ |
55,982.6 |
|
|
$ |
52,775.1 |
|
|
$ |
49,069.0 |
|
|
$ |
43,397.0 |
|
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Changes in the Allowance For Credit Losses on Loans |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions) |
||||||||||||||||||
Allowance for loan losses |
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period |
|
$ |
252.5 |
|
|
$ |
246.9 |
|
|
$ |
232.9 |
|
|
$ |
247.1 |
|
|
$ |
278.9 |
|
Provision for (recovery of) credit losses (1) |
|
|
5.3 |
|
|
|
7.0 |
|
|
|
17.0 |
|
|
|
(14.1 |
) |
|
|
(30.4 |
) |
Recoveries of loans previously charged-off: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
|
2.4 |
|
|
|
1.8 |
|
|
|
0.1 |
|
|
|
0.4 |
|
|
|
0.5 |
|
Commercial real estate - non-owner occupied |
|
|
— |
|
|
|
0.3 |
|
|
|
— |
|
|
|
1.7 |
|
|
|
0.2 |
|
Commercial real estate - owner occupied |
|
|
— |
|
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
Construction and land development |
|
|
— |
|
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
Residential real estate |
|
|
— |
|
|
|
0.4 |
|
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
Consumer |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total recoveries |
|
|
2.4 |
|
|
|
2.5 |
|
|
|
0.3 |
|
|
|
2.2 |
|
|
|
0.7 |
|
Loans charged-off: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
|
2.6 |
|
|
|
3.8 |
|
|
|
3.3 |
|
|
|
2.3 |
|
|
|
0.1 |
|
Commercial real estate - non-owner occupied |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2.0 |
|
Commercial real estate - owner occupied |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Construction and land development |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Residential real estate |
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Consumer |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total loans charged-off |
|
|
2.6 |
|
|
|
3.9 |
|
|
|
3.3 |
|
|
|
2.3 |
|
|
|
2.1 |
|
Net loan charge-offs |
|
|
0.2 |
|
|
|
1.4 |
|
|
|
3.0 |
|
|
|
0.1 |
|
|
|
1.4 |
|
Balance, end of period |
|
$ |
257.6 |
|
|
$ |
252.5 |
|
|
$ |
246.9 |
|
|
$ |
232.9 |
|
|
$ |
247.1 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for unfunded loan commitments |
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period |
|
$ |
37.6 |
|
|
$ |
32.1 |
|
|
$ |
31.3 |
|
|
$ |
32.6 |
|
|
$ |
37.0 |
|
Provision for (recovery of) credit losses (1) |
|
|
5.7 |
|
|
|
5.5 |
|
|
|
0.8 |
|
|
|
(1.3 |
) |
|
|
(4.4 |
) |
Balance, end of period (2) |
|
$ |
43.3 |
|
|
$ |
37.6 |
|
|
$ |
32.1 |
|
|
$ |
31.3 |
|
|
$ |
32.6 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Components of the allowance for credit losses on loans |
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for loan losses |
|
$ |
257.6 |
|
|
$ |
252.5 |
|
|
$ |
246.9 |
|
|
$ |
232.9 |
|
|
$ |
247.1 |
|
Allowance for unfunded loan commitments |
|
|
43.3 |
|
|
|
37.6 |
|
|
|
32.1 |
|
|
|
31.3 |
|
|
|
32.6 |
|
Total allowance for credit losses on loans |
|
$ |
300.9 |
|
|
$ |
290.1 |
|
|
$ |
279.0 |
|
|
$ |
264.2 |
|
|
$ |
279.7 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net charge-offs to average loans - annualized |
|
|
0.00 |
% |
|
|
0.02 |
% |
|
|
0.04 |
% |
|
|
0.00 |
% |
|
|
0.02 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for loan losses to funded HFI loans (3) |
|
|
0.63 |
% |
|
|
0.65 |
% |
|
|
0.71 |
% |
|
|
0.78 |
% |
|
|
0.86 |
% |
Allowance for credit losses to funded HFI loans (3) |
|
|
0.73 |
|
|
|
0.74 |
|
|
|
0.80 |
|
|
|
0.88 |
|
|
|
0.97 |
|
Allowance for loan losses to nonaccrual HFI loans |
|
|
283 |
|
|
|
348 |
|
|
|
316 |
|
|
|
242 |
|
|
|
218 |
|
Allowance for credit losses to nonaccrual HFI loans |
|
|
331 |
|
|
|
400 |
|
|
|
357 |
|
|
|
274 |
|
|
|
246 |
|
(1) |
The above tables reflect the provision for credit losses on funded and unfunded loans. Recovery of credit losses on investment securities totaled $2.0 million, resulting in an ending allowance for credit losses on investment securities of $3.2 million as of March 31, 2022. |
|
(2) |
The allowance for unfunded loan commitments is included as part of accrued interest payable and other liabilities on the balance sheet. |
|
(3) |
Ratio includes an allowance for credit losses of $9.5 million as of March 31, 2022 related to a $5.4 billion pool of loans covered under two separate credit linked note transactions. |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Asset Quality Metrics |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions) |
||||||||||||||||||
Nonaccrual loans |
|
$ |
91.0 |
|
|
$ |
72.6 |
|
|
$ |
78.1 |
|
|
$ |
96.3 |
|
|
$ |
113.6 |
|
Nonaccrual loans to funded HFI loans |
|
|
0.22 |
% |
|
|
0.19 |
% |
|
|
0.22 |
% |
|
|
0.32 |
% |
|
|
0.40 |
% |
Repossessed assets |
|
$ |
11.7 |
|
|
$ |
11.7 |
|
|
$ |
11.5 |
|
|
$ |
3.9 |
|
|
$ |
4.2 |
|
Nonaccrual loans and repossessed assets to total assets |
|
|
0.17 |
% |
|
|
0.15 |
% |
|
|
0.17 |
% |
|
|
0.20 |
% |
|
|
0.27 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans past due 90 days, still accruing |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
Loans past due 90 days and still accruing to funded HFI loans |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
Loans past due 30 to 89 days, still accruing |
|
$ |
57.6 |
|
|
$ |
52.5 |
|
|
$ |
23.6 |
|
|
$ |
9.8 |
|
|
$ |
7.3 |
|
Loans past due 30 to 89 days, still accruing to funded HFI loans |
|
|
0.14 |
% |
|
|
0.13 |
% |
|
|
0.07 |
% |
|
|
0.03 |
% |
|
|
0.03 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Special mention loans |
|
$ |
349.9 |
|
|
$ |
331.1 |
|
|
$ |
364.5 |
|
|
$ |
404.8 |
|
|
$ |
474.2 |
|
Special mention loans to funded HFI loans |
|
|
0.85 |
% |
|
|
0.85 |
% |
|
|
1.05 |
% |
|
|
1.35 |
% |
|
|
1.65 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Classified loans on accrual |
|
$ |
252.8 |
|
|
$ |
216.4 |
|
|
$ |
175.3 |
|
|
$ |
138.2 |
|
|
$ |
163.1 |
|
Classified loans on accrual to funded HFI loans |
|
|
0.61 |
% |
|
|
0.55 |
% |
|
|
0.50 |
% |
|
|
0.46 |
% |
|
|
0.57 |
% |
Classified assets |
|
$ |
365.1 |
|
|
$ |
300.7 |
|
|
$ |
264.9 |
|
|
$ |
238.5 |
|
|
$ |
280.9 |
|
Classified assets to total assets |
|
|
0.60 |
% |
|
|
0.54 |
% |
|
|
0.50 |
% |
|
|
0.49 |
% |
|
|
0.65 |
% |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Analysis of Average Balances, Yields and Rates |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
March 31, 2022 |
|
December 31, 2021 |
||||||||||||||||
|
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
||||||||
|
|
($ in millions) |
|
|
|
($ in millions) |
|
|
||||||||||||
Interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Loans held for sale |
|
$ |
6,521.5 |
|
|
$ |
50.4 |
|
3.14 |
% |
|
$ |
9,158.7 |
|
|
$ |
70.3 |
|
3.04 |
% |
Loans held for investment: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial |
|
|
17,487.0 |
|
|
|
165.9 |
|
3.91 |
|
|
|
17,087.5 |
|
|
|
169.5 |
|
4.01 |
|
CRE - non-owner occupied |
|
|
6,689.6 |
|
|
|
73.2 |
|
4.44 |
|
|
|
6,208.5 |
|
|
|
70.0 |
|
4.48 |
|
CRE - owner occupied |
|
|
1,859.1 |
|
|
|
22.8 |
|
5.07 |
|
|
|
1,970.9 |
|
|
|
24.2 |
|
4.96 |
|
Construction and land development |
|
|
3,090.0 |
|
|
|
41.7 |
|
5.47 |
|
|
|
3,016.0 |
|
|
|
43.9 |
|
5.78 |
|
Residential real estate |
|
|
10,384.6 |
|
|
|
80.2 |
|
3.13 |
|
|
|
8,282.3 |
|
|
|
60.3 |
|
2.89 |
|
Consumer |
|
|
51.6 |
|
|
|
0.5 |
|
3.95 |
|
|
|
43.5 |
|
|
|
0.4 |
|
3.85 |
|
Total HFI loans (1), (2), (3) |
|
|
39,561.9 |
|
|
|
384.3 |
|
3.98 |
|
|
|
36,608.7 |
|
|
|
368.3 |
|
4.03 |
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Securities - taxable |
|
|
5,534.0 |
|
|
|
29.9 |
|
2.19 |
|
|
|
5,442.7 |
|
|
|
25.6 |
|
1.86 |
|
Securities - tax-exempt |
|
|
2,136.2 |
|
|
|
18.1 |
|
4.29 |
|
|
|
2,175.3 |
|
|
|
18.1 |
|
4.12 |
|
Total securities (1) |
|
|
7,670.2 |
|
|
|
48.0 |
|
2.77 |
|
|
|
7,618.0 |
|
|
|
43.7 |
|
2.51 |
|
Cash and other |
|
|
2,057.7 |
|
|
|
1.8 |
|
0.36 |
|
|
|
1,274.6 |
|
|
|
1.0 |
|
0.31 |
|
Total interest earning assets |
|
|
55,811.3 |
|
|
|
484.5 |
|
3.58 |
|
|
|
54,660.0 |
|
|
|
483.3 |
|
3.57 |
|
Non-interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and due from banks |
|
|
244.8 |
|
|
|
|
|
|
|
252.6 |
|
|
|
|
|
||||
Allowance for credit losses |
|
|
(261.9 |
) |
|
|
|
|
|
|
(255.9 |
) |
|
|
|
|
||||
Bank owned life insurance |
|
|
180.5 |
|
|
|
|
|
|
|
179.5 |
|
|
|
|
|
||||
Other assets |
|
|
3,298.8 |
|
|
|
|
|
|
|
2,766.8 |
|
|
|
|
|
||||
Total assets |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
57,603.0 |
|
|
|
|
|
||||
Interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing transaction accounts |
|
$ |
7,743.1 |
|
|
$ |
2.7 |
|
0.14 |
% |
|
$ |
5,918.6 |
|
|
$ |
1.7 |
|
0.11 |
% |
Savings and money market |
|
|
18,131.0 |
|
|
|
9.6 |
|
0.21 |
|
|
|
17,215.2 |
|
|
|
9.1 |
|
0.21 |
|
Certificates of deposit |
|
|
1,920.2 |
|
|
|
1.8 |
|
0.38 |
|
|
|
2,073.6 |
|
|
|
2.0 |
|
0.38 |
|
Total interest-bearing deposits |
|
|
27,794.3 |
|
|
|
14.1 |
|
0.21 |
|
|
|
25,207.4 |
|
|
|
12.8 |
|
0.20 |
|
Short-term borrowings |
|
|
1,149.5 |
|
|
|
1.7 |
|
0.62 |
|
|
|
2,815.5 |
|
|
|
2.4 |
|
0.35 |
|
Long-term debt |
|
|
769.9 |
|
|
|
10.8 |
|
5.67 |
|
|
|
564.8 |
|
|
|
8.3 |
|
5.81 |
|
Qualifying debt |
|
|
896.0 |
|
|
|
8.4 |
|
3.81 |
|
|
|
978.2 |
|
|
|
9.2 |
|
3.72 |
|
Total interest-bearing liabilities |
|
|
30,609.7 |
|
|
|
35.0 |
|
0.46 |
|
|
|
29,565.9 |
|
|
|
32.7 |
|
0.44 |
|
Interest cost of funding earning assets |
|
|
|
0.26 |
|
|
|
|
|
|
0.24 |
|
||||||||
Non-interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Non-interest-bearing demand deposits |
|
|
22,580.0 |
|
|
|
|
|
|
|
22,487.0 |
|
|
|
|
|
||||
Other liabilities |
|
|
1,094.9 |
|
|
|
|
|
|
|
912.5 |
|
|
|
|
|
||||
Stockholders’ equity |
|
|
4,988.9 |
|
|
|
|
|
|
|
4,637.6 |
|
|
|
|
|
||||
Total liabilities and stockholders' equity |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
57,603.0 |
|
|
|
|
|
||||
Net interest income and margin (4) |
|
|
|
$ |
449.5 |
|
3.32 |
% |
|
|
|
$ |
450.6 |
|
3.33 |
% |
||||
(1) |
Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $8.0 million and $8.4 million for the three months ended March 31, 2022 and December 31, 2021, respectively. |
|
(2) |
Included in the yield computation are net loan fees of $29.1 million and $35.8 million for the three months ended March 31, 2022 and December 31, 2021, respectively. |
|
(3) |
Includes non-accrual loans. |
|
(4) |
Net interest margin is computed by dividing net interest income by total average earning assets, annualized on an actual/actual basis. |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Analysis of Average Balances, Yields and Rates |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
March 31, 2022 |
|
March 31, 2021 |
||||||||||||||||
|
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
||||||||
|
|
($ in millions) |
|
|
|
($ in millions) |
|
|
||||||||||||
Interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Loans held for sale |
|
$ |
6,521.5 |
|
|
$ |
50.4 |
|
3.14 |
% |
|
$ |
— |
|
|
$ |
— |
|
— |
% |
Loans held for investment: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial |
|
|
17,487.0 |
|
|
|
165.9 |
|
3.91 |
|
|
|
13,951.6 |
|
|
|
151.0 |
|
4.48 |
|
CRE - non-owner-occupied |
|
|
6,689.6 |
|
|
|
73.2 |
|
4.44 |
|
|
|
5,649.7 |
|
|
|
65.1 |
|
4.68 |
|
CRE - owner-occupied |
|
|
1,859.1 |
|
|
|
22.8 |
|
5.07 |
|
|
|
2,094.2 |
|
|
|
24.4 |
|
4.83 |
|
Construction and land development |
|
|
3,090.0 |
|
|
|
41.7 |
|
5.47 |
|
|
|
2,484.8 |
|
|
|
35.6 |
|
5.81 |
|
Residential real estate |
|
|
10,384.6 |
|
|
|
80.2 |
|
3.13 |
|
|
|
2,507.7 |
|
|
|
21.9 |
|
3.55 |
|
Consumer |
|
|
51.6 |
|
|
|
0.5 |
|
3.95 |
|
|
|
34.5 |
|
|
|
0.4 |
|
5.39 |
|
Total HFI loans (1), (2), (3) |
|
|
39,561.9 |
|
|
|
384.3 |
|
3.98 |
|
|
|
26,722.5 |
|
|
|
298.4 |
|
4.59 |
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Securities - taxable |
|
|
5,534.0 |
|
|
|
29.9 |
|
2.19 |
|
|
|
4,531.4 |
|
|
|
18.5 |
|
1.66 |
|
Securities - tax-exempt |
|
|
2,136.2 |
|
|
|
18.1 |
|
4.29 |
|
|
|
1,980.9 |
|
|
|
15.5 |
|
3.99 |
|
Total securities (1) |
|
|
7,670.2 |
|
|
|
48.0 |
|
2.77 |
|
|
|
6,512.3 |
|
|
|
34.0 |
|
2.37 |
|
Other |
|
|
2,057.7 |
|
|
|
1.8 |
|
0.36 |
|
|
|
5,864.0 |
|
|
|
1.7 |
|
0.12 |
|
Total interest earning assets |
|
|
55,811.3 |
|
|
|
484.5 |
|
3.58 |
|
|
|
39,098.8 |
|
|
|
334.1 |
|
3.55 |
|
Non-interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and due from banks |
|
|
244.8 |
|
|
|
|
|
|
|
166.1 |
|
|
|
|
|
||||
Allowance for credit losses |
|
|
(261.9 |
) |
|
|
|
|
|
|
(289.1 |
) |
|
|
|
|
||||
Bank owned life insurance |
|
|
180.5 |
|
|
|
|
|
|
|
176.6 |
|
|
|
|
|
||||
Other assets |
|
|
3,298.8 |
|
|
|
|
|
|
|
1,271.2 |
|
|
|
|
|
||||
Total assets |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
40,423.6 |
|
|
|
|
|
||||
Interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing transaction accounts |
|
$ |
7,743.1 |
|
|
$ |
2.7 |
|
0.14 |
% |
|
$ |
3,905.4 |
|
|
$ |
1.3 |
|
0.13 |
% |
Savings and money market accounts |
|
|
18,131.0 |
|
|
|
9.6 |
|
0.21 |
|
|
|
13,994.4 |
|
|
|
7.1 |
|
0.21 |
|
Certificates of deposit |
|
|
1,920.2 |
|
|
|
1.8 |
|
0.38 |
|
|
|
1,681.1 |
|
|
|
2.4 |
|
0.59 |
|
Total interest-bearing deposits |
|
|
27,794.3 |
|
|
|
14.1 |
|
0.21 |
|
|
|
19,580.9 |
|
|
|
10.8 |
|
0.22 |
|
Short-term borrowings |
|
|
1,149.5 |
|
|
|
1.7 |
|
0.62 |
|
|
|
24.8 |
|
|
|
0.1 |
|
1.13 |
|
Long-term debt |
|
|
769.9 |
|
|
|
10.8 |
|
5.67 |
|
|
|
— |
|
|
|
— |
|
— |
|
Qualifying debt |
|
|
896.0 |
|
|
|
8.4 |
|
3.81 |
|
|
|
547.2 |
|
|
|
5.9 |
|
4.39 |
|
Total interest-bearing liabilities |
|
|
30,609.7 |
|
|
|
35.0 |
|
0.46 |
|
|
|
20,152.9 |
|
|
|
16.8 |
|
0.34 |
|
Interest cost of funding earning assets |
|
|
|
0.26 |
|
|
|
|
|
|
0.18 |
|
||||||||
Non-interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Non-interest-bearing demand deposits |
|
|
22,580.0 |
|
|
|
|
|
|
|
15,972.6 |
|
|
|
|
|
||||
Other liabilities |
|
|
1,094.9 |
|
|
|
|
|
|
|
772.3 |
|
|
|
|
|
||||
Stockholders’ equity |
|
|
4,988.9 |
|
|
|
|
|
|
|
3,525.8 |
|
|
|
|
|
||||
Total liabilities and stockholders' equity |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
40,423.6 |
|
|
|
|
|
||||
Net interest income and margin (4) |
|
|
|
$ |
449.5 |
|
3.32 |
% |
|
|
|
$ |
317.3 |
|
3.37 |
% |
||||
(1) |
Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $8.0 million and $8.0 million for the three months ended March 31, 2022 and 2021, respectively. |
|
(2) |
Included in the yield computation are net loan fees of $29.1 million and $32.9 million for the three months ended March 31, 2022 and 2021, respectively. |
|
(3) |
Includes non-accrual loans. |
|
(4) |
Net interest margin is computed by dividing net interest income by total average earning assets, annualized on an actual/actual basis. |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||
Operating Segment Results |
||||||||||||||||
Unaudited |
||||||||||||||||
|
||||||||||||||||
Balance Sheet: |
|
|
||||||||||||||
|
|
Consolidated Company |
|
Commercial |
|
Consumer Related |
|
Corporate & Other |
||||||||
At March 31, 2022: |
|
(dollars in millions) |
||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
||||||||
Cash, cash equivalents, and investment securities |
|
$ |
10,878.9 |
|
|
$ |
15.6 |
|
|
$ |
97.0 |
|
|
$ |
10,766.3 |
|
Loans held for sale |
|
|
4,761.6 |
|
|
|
— |
|
|
|
4,761.6 |
|
|
|
— |
|
Loans, net of deferred fees and costs |
|
|
41,119.1 |
|
|
|
25,794.8 |
|
|
|
15,324.3 |
|
|
|
— |
|
Less: allowance for credit losses |
|
|
(257.6 |
) |
|
|
(221.3 |
) |
|
|
(36.3 |
) |
|
|
— |
|
Total loans |
|
|
40,861.5 |
|
|
|
25,573.5 |
|
|
|
15,288.0 |
|
|
|
— |
|
Other assets acquired through foreclosure, net |
|
|
11.7 |
|
|
|
11.7 |
|
|
|
— |
|
|
|
— |
|
Goodwill and other intangible assets, net |
|
|
698.2 |
|
|
|
294.3 |
|
|
|
403.9 |
|
|
|
— |
|
Other assets |
|
|
3,364.2 |
|
|
|
253.2 |
|
|
|
1,594.8 |
|
|
|
1,516.2 |
|
Total assets |
|
$ |
60,576.1 |
|
|
$ |
26,148.3 |
|
|
$ |
22,145.3 |
|
|
$ |
12,282.5 |
|
Liabilities: |
|
|
|
|
|
|
|
|
||||||||
Deposits |
|
$ |
52,159.5 |
|
|
$ |
30,133.6 |
|
|
$ |
18,527.6 |
|
|
$ |
3,498.3 |
|
Borrowings and qualifying debt |
|
|
1,726.6 |
|
|
|
18.0 |
|
|
|
369.8 |
|
|
|
1,338.8 |
|
Other liabilities |
|
|
1,678.4 |
|
|
|
268.1 |
|
|
|
170.3 |
|
|
|
1,240.0 |
|
Total liabilities |
|
|
55,564.5 |
|
|
|
30,419.7 |
|
|
|
19,067.7 |
|
|
|
6,077.1 |
|
Allocated equity: |
|
|
5,011.6 |
|
|
|
2,661.8 |
|
|
|
1,752.1 |
|
|
|
597.7 |
|
Total liabilities and stockholders' equity |
|
$ |
60,576.1 |
|
|
$ |
33,081.5 |
|
|
$ |
20,819.8 |
|
|
$ |
6,674.8 |
|
Excess funds provided (used) |
|
|
— |
|
|
|
6,933.2 |
|
|
|
(1,325.5 |
) |
|
|
(5,607.7 |
) |
|
|
|
|
|
|
|
|
|
||||||||
No. of offices |
|
|
60 |
|
|
|
50 |
|
|
|
8 |
|
|
|
2 |
|
No. of full-time equivalent employees |
|
|
3,170 |
|
|
|
606 |
|
|
|
1,131 |
|
|
|
1,433 |
|
|
|
|
||||||||||||||
Income Statement: |
|
|
||||||||||||||
|
|
|
||||||||||||||
Three Months Ended March 31, 2022: |
|
(in millions) |
||||||||||||||
Net interest income |
|
$ |
449.5 |
|
|
$ |
334.9 |
|
|
$ |
183.2 |
|
|
$ |
(68.6 |
) |
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
|
0.6 |
|
|
|
10.5 |
|
|
|
(2.1 |
) |
Net interest income (expense) after provision for credit losses |
|
|
440.5 |
|
|
|
334.3 |
|
|
|
172.7 |
|
|
|
(66.5 |
) |
Non-interest income |
|
|
106.3 |
|
|
|
16.9 |
|
|
|
79.2 |
|
|
|
10.2 |
|
Non-interest expense |
|
|
248.6 |
|
|
|
114.4 |
|
|
|
125.0 |
|
|
|
9.2 |
|
Income (loss) before income taxes |
|
|
298.2 |
|
|
|
236.8 |
|
|
|
126.9 |
|
|
|
(65.5 |
) |
Income tax expense (benefit) |
|
|
58.1 |
|
|
|
56.2 |
|
|
|
30.4 |
|
|
|
(28.5 |
) |
Net income (loss) |
|
$ |
240.1 |
|
|
$ |
180.6 |
|
|
$ |
96.5 |
|
|
$ |
(37.0 |
) |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||
Operating Segment Results |
||||||||||||||||
Unaudited |
||||||||||||||||
|
||||||||||||||||
Balance Sheet: |
|
|
||||||||||||||
|
|
Consolidated Company |
|
Commercial |
|
Consumer Related |
|
Corporate |
||||||||
At December 31, 2021: |
|
(dollars in millions) |
||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
||||||||
Cash, cash equivalents, and investment securities |
|
$ |
8,057.3 |
|
|
$ |
12.9 |
|
|
$ |
82.4 |
|
|
$ |
7,962.0 |
|
Loans held for sale |
|
|
5,635.1 |
|
|
|
— |
|
|
|
5,635.1 |
|
|
|
— |
|
Loans, net of deferred fees and costs |
|
|
39,075.4 |
|
|
|
25,092.4 |
|
|
|
13,983.0 |
|
|
|
— |
|
Less: allowance for credit losses |
|
|
(252.5 |
) |
|
|
(226.0 |
) |
|
|
(26.5 |
) |
|
|
— |
|
Total loans |
|
|
38,822.9 |
|
|
|
24,866.4 |
|
|
|
13,956.5 |
|
|
|
— |
|
Other assets acquired through foreclosure, net |
|
|
11.7 |
|
|
|
11.7 |
|
|
|
— |
|
|
|
— |
|
Goodwill and other intangible assets, net |
|
|
634.8 |
|
|
|
294.7 |
|
|
|
340.1 |
|
|
|
— |
|
Other assets |
|
|
2,820.8 |
|
|
|
253.8 |
|
|
|
1,278.1 |
|
|
|
1,288.9 |
|
Total assets |
|
$ |
55,982.6 |
|
|
$ |
25,439.5 |
|
|
$ |
21,292.2 |
|
|
$ |
9,250.9 |
|
Liabilities: |
|
|
|
|
|
|
|
|
||||||||
Deposits |
|
$ |
47,612.0 |
|
|
$ |
30,466.8 |
|
|
$ |
15,362.9 |
|
|
$ |
1,782.3 |
|
Borrowings and qualifying debt |
|
|
2,381.1 |
|
|
|
— |
|
|
|
353.2 |
|
|
|
2,027.9 |
|
Other liabilities |
|
|
1,026.9 |
|
|
|
233.4 |
|
|
|
138.2 |
|
|
|
655.3 |
|
Total liabilities |
|
|
51,020.0 |
|
|
|
30,700.2 |
|
|
|
15,854.3 |
|
|
|
4,465.5 |
|
Allocated equity: |
|
|
4,962.6 |
|
|
|
2,588.0 |
|
|
|
1,596.2 |
|
|
|
778.4 |
|
Total liabilities and stockholders' equity |
|
$ |
55,982.6 |
|
|
$ |
33,288.2 |
|
|
$ |
17,450.5 |
|
|
$ |
5,243.9 |
|
Excess funds provided (used) |
|
|
— |
|
|
|
7,848.7 |
|
|
|
(3,841.7 |
) |
|
|
(4,007.0 |
) |
|
|
|
|
|
|
|
|
|
||||||||
No. of offices |
|
|
58 |
|
|
|
50 |
|
|
|
7 |
|
|
|
1 |
|
No. of full-time equivalent employees |
|
|
3,139 |
|
|
|
628 |
|
|
|
1,173 |
|
|
|
1,338 |
|
|
|
|
||||||||||||||
Income Statement: |
|
|
||||||||||||||
|
|
|
||||||||||||||
Three Months Ended March 31, 2021: |
|
(in millions) |
||||||||||||||
Net interest income |
|
$ |
317.3 |
|
|
$ |
263.7 |
|
|
$ |
107.9 |
|
|
$ |
(54.3 |
) |
Provision for (recovery of) credit losses |
|
|
(32.4 |
) |
|
|
(36.3 |
) |
|
|
1.7 |
|
|
|
2.2 |
|
Net interest income (expense) after provision for credit losses |
|
|
349.7 |
|
|
|
300.0 |
|
|
|
106.2 |
|
|
|
(56.5 |
) |
Non-interest income |
|
|
19.7 |
|
|
|
19.2 |
|
|
|
0.5 |
|
|
|
— |
|
Non-interest expense |
|
|
135.0 |
|
|
|
98.3 |
|
|
|
35.2 |
|
|
|
1.5 |
|
Income (loss) before income taxes |
|
|
234.4 |
|
|
|
220.9 |
|
|
|
71.5 |
|
|
|
(58.0 |
) |
Income tax expense (benefit) |
|
|
41.9 |
|
|
|
52.7 |
|
|
|
17.5 |
|
|
|
(28.3 |
) |
Net income (loss) |
|
$ |
192.5 |
|
|
$ |
168.2 |
|
|
$ |
54.0 |
|
|
$ |
(29.7 |
) |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Reconciliation of Non-GAAP Financial Measures |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
Pre-Provision Net Revenue by Quarter: |
|
|||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|||||||||||
|
(in millions) |
|||||||||||||||||||
Net interest income |
$ |
449.5 |
|
|
$ |
450.6 |
|
|
$ |
410.4 |
|
|
$ |
370.5 |
|
|
$ |
317.3 |
|
|
Total non-interest income |
|
106.3 |
|
|
|
110.4 |
|
|
|
138.1 |
|
|
|
136.0 |
|
|
|
19.7 |
|
|
Net revenue |
$ |
555.8 |
|
|
$ |
561.0 |
|
|
$ |
548.5 |
|
|
$ |
506.5 |
|
|
$ |
337.0 |
|
|
Total non-interest expense |
|
248.6 |
|
|
|
237.8 |
|
|
|
233.8 |
|
|
|
244.8 |
|
|
|
135.0 |
|
|
Pre-provision net revenue (1) |
$ |
307.2 |
|
|
$ |
323.2 |
|
|
$ |
314.7 |
|
|
$ |
261.7 |
|
|
$ |
202.0 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
|||||||||||
Provision for (recovery of) credit losses |
|
9.0 |
|
|
|
13.2 |
|
|
|
12.3 |
|
|
|
(14.5 |
) |
|
|
(32.4 |
) |
|
Income tax expense |
|
58.1 |
|
|
|
64.0 |
|
|
|
65.5 |
|
|
|
52.4 |
|
|
|
41.9 |
|
|
Net income |
$ |
240.1 |
|
|
$ |
246.0 |
|
|
$ |
236.9 |
|
|
$ |
223.8 |
|
|
$ |
192.5 |
|
|
Efficiency Ratio by Quarter: |
|
|||||||||||||||||||
Total non-interest expense |
$ |
248.6 |
|
|
$ |
237.8 |
|
|
$ |
233.8 |
|
|
$ |
244.8 |
|
|
$ |
135.0 |
|
|
Divided by: |
|
|
|
|
|
|
|
|
|
|||||||||||
Total net interest income |
|
449.5 |
|
|
|
450.6 |
|
|
|
410.4 |
|
|
|
370.5 |
|
|
|
317.3 |
|
|
Plus: |
|
|
|
|
|
|
|
|
|
|||||||||||
Tax equivalent interest adjustment |
|
8.0 |
|
|
|
8.4 |
|
|
|
8.5 |
|
|
|
8.5 |
|
|
|
8.0 |
|
|
Total non-interest income |
|
106.3 |
|
|
|
110.4 |
|
|
|
138.1 |
|
|
|
136.0 |
|
|
|
19.7 |
|
|
|
$ |
563.8 |
|
|
$ |
569.4 |
|
|
$ |
557.0 |
|
|
$ |
515.0 |
|
|
$ |
345.0 |
|
|
Efficiency ratio - tax equivalent basis (2) |
|
44.1 |
% |
|
|
41.8 |
% |
|
|
42.0 |
% |
|
|
47.5 |
% |
|
|
39.1 |
% |
|
| Tangible Common Equity: |
|
|||||||||||||||||||
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|||||||||||
|
(dollars and shares in millions) |
|||||||||||||||||||
Total stockholders' equity |
$ |
5,011.6 |
|
|
$ |
4,962.6 |
|
|
$ |
4,514.0 |
|
|
$ |
4,034.5 |
|
|
$ |
3,712.7 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
|||||||||||
Goodwill and intangible assets |
|
698.2 |
|
|
|
634.8 |
|
|
|
608.4 |
|
|
|
610.7 |
|
|
|
298.0 |
|
|
Preferred stock |
|
294.5 |
|
|
|
294.5 |
|
|
|
294.5 |
|
|
|
— |
|
|
|
— |
|
|
Total tangible common equity |
|
4,018.9 |
|
|
|
4,033.3 |
|
|
|
3,611.1 |
|
|
|
3,423.8 |
|
|
|
3,414.7 |
|
|
Plus: deferred tax - attributed to intangible assets |
|
2.0 |
|
|
|
1.9 |
|
|
|
1.8 |
|
|
|
1.8 |
|
|
|
1.4 |
|
|
Total tangible common equity, net of tax |
$ |
4,020.9 |
|
|
$ |
4,035.2 |
|
|
$ |
3,612.9 |
|
|
$ |
3,425.6 |
|
|
$ |
3,416.1 |
|
|
Total assets |
$ |
60,576.1 |
|
|
$ |
55,982.6 |
|
|
$ |
52,775.1 |
|
|
$ |
49,069.0 |
|
|
$ |
43,397.0 |
|
|
Less: goodwill and intangible assets, net |
|
698.2 |
|
|
|
634.8 |
|
|
|
608.4 |
|
|
|
610.7 |
|
|
|
298.0 |
|
|
Tangible assets |
|
59,877.9 |
|
|
|
55,347.8 |
|
|
|
52,166.7 |
|
|
|
48,458.3 |
|
|
|
43,099.0 |
|
|
Plus: deferred tax - attributed to intangible assets |
|
2.0 |
|
|
|
1.9 |
|
|
|
1.8 |
|
|
|
1.8 |
|
|
|
1.4 |
|
|
Total tangible assets, net of tax |
$ |
59,879.9 |
|
|
$ |
55,349.7 |
|
|
$ |
52,168.5 |
|
|
$ |
48,460.1 |
|
|
$ |
43,100.4 |
|
|
Tangible common equity ratio (3) |
|
6.7 |
% |
|
|
7.3 |
% |
|
|
6.9 |
% |
|
|
7.1 |
% |
|
|
7.9 |
% |
|
Common shares outstanding |
|
108.3 |
|
|
|
106.6 |
|
|
|
104.2 |
|
|
|
104.2 |
|
|
|
103.4 |
|
|
Tangible book value per share, net of tax (3) |
$ |
37.13 |
|
|
$ |
37.84 |
|
|
$ |
34.67 |
|
|
$ |
32.86 |
|
|
$ |
33.02 |
||
Non-GAAP Financial Measures Footnotes |
|||||||||
|
|||||||||
(1) |
We believe this non-GAAP measurement is a key indicator of the earnings power of the Company. |
||||||||
(2) |
We believe this non-GAAP ratio provides a useful metric to measure the efficiency of the Company. |
||||||||
(3) |
We believe this non-GAAP metric provides an important metric with which to analyze and evaluate financial condition and capital strength. In addition, we believe that use of tangible equity and tangible assets improves the comparability to other institutions that have not engaged in acquisitions that resulted in recorded goodwill and other intangibles. |
||||||||
ФЕНИКС--(BUSINESS WIRE)--Western Alliance Bancorporation (NYSE:WAL):
финансовые результаты за первый квартал 2022 года
First Quarter Highlights: |
||||||||||
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
Earnings per share |
|
PPNR1 |
|
Net interest margin |
|
Efficiency ratio1 |
|
Book value per
|
$43.56 |
||||||||||
$240.1 million |
|
$2.22
|
|
$307.2 million |
|
3.32%
|
|
44.1%
|
|
$37.131, excluding goodwill and intangibles |
CEO COMMENTARY: |
Western Alliance's national commercial business strategy continued to deliver accelerating balance sheet growth, surpassing the $60 billion asset milestone, and strong financial performance results to kick off 2022,” said Kenneth A. Vecchione, President and Chief Executive Officer. “Balance sheet growth continued with loans up $2.0 billion (or 43.2% year-over-year), and deposits up $4.5 billion (or 35.9% year-over-year), bringing total assets to $60.6 billion at quarter end, driving a 52.1% year-over-year increase in PPNR to $307.2 million. Net income of $240.1 million, earnings per share of $2.22 and return on tangible common equity of 23.9% for the first quarter 2022 mirrors the Company’s strong fourth quarter performance, while tangible book value per share fell 1.9% quarterly to $37.13 due to a decline in AOCI from fair value losses on investment securities. Asset quality remained strong with nonperforming assets to total assets of 0.17% and negligible net charge-offs for the quarter." |
Acquisition of Digital Disbursements and AmeriHome Mortgage Company: |
On January 25, 2022, the Company completed its acquisition of Digital Settlement Technologies LLC, doing business as Digital Disbursements, a digital payments platform for the class action legal industry. On April 7, 2021, the Company completed its acquisition of Aris Mortgage Holding Company, LLC, the parent company of AmeriHome Mortgage Company, LLC ("AmeriHome"). The Company's results include the financial results of Digital Disbursements and AmeriHome beginning on the acquisition dates noted. |
LINKED-QUARTER BASIS |
YEAR-OVER-YEAR |
|
|
FINANCIAL HIGHLIGHTS: |
|
|
|
|
|
|
|
|
|
FINANCIAL POSITION RESULTS: |
|
|
|
|
|
|
|
LOANS AND ASSET QUALITY: |
|
|
|
|
|
KEY PERFORMANCE METRICS: |
|
|
|
|
|
|
|
|
|
|
|
1 См. Сверку финансовых показателей, не относящихся к ОПБУ.
справка о доходе
Чистый процентный доход в первом квартале 2022 года составил 449,5 млн долларов, что на 1,1 млн долларов меньше, чем 450,6 млн долларов в четвертом квартале 2021 года, и на 132,2 млн долларов больше, или на 41,7%, по сравнению с первым кварталом 2021 года. Снижение чистого процентного дохода по сравнению с четвертым кварталом 2021 года обусловлено сокращением на два дня в квартале, снижением остатка по кредитам HFS и процентных расходов по долгам, выданным в декабре 2021 года, что частично компенсируется более высокой доходностью по инвестиционным ценным бумагам и ростом кредитов HFI. Рост кредитов HFI и процентный доход по кредитам HFS привели к увеличению чистого процентного дохода с первого квартала 2021 года.
Компания зарегистрировала резерв на покрытие кредитных убытков на общую сумму 9,0 млн долларов в первом квартале 2022 года, что на 4,2 млн долларов меньше, чем 13,2 млн долларов в четвертом квартале 2021 года, по сравнению с высвобождением резерва в размере 32,4 млн долларов в первом квартале 2021 года. Резерв на возможные потери по кредитам в течение первого квартала 2022 года в основном обусловлен ростом кредитования.
Чистая процентная маржа Компании в первом квартале 2022 года составила 3,32%, снизившись с 3,33% в четвертом квартале 2021 года и снизившись с 3,37% в первом квартале 2021 года. Снижение чистой процентной маржи по сравнению с предыдущим кварталом в значительной степени является результатом повышения ставок по займам, большей части активов с доходностью, хранящихся в денежных средствах, и более низкой доходности по некоторым типам кредитов HFI, частично компенсируемым более высокой доходностью по инвестиционным ценным бумагам и кредитам HFS. Снижение чистой процентной маржи по сравнению с первым кварталом 2021 года было обусловлено снижением доходности по всем типам займов HFI, за исключением займов, занятых владельцами CRE, и более высокими процентными расходами из-за долга, выпущенного в 2021 году, и старших облигаций AmeriHome, частично компенсированных более высокой доходностью по инвестиционным ценным бумагам.
Непроцентный доход за первый квартал 2022 года составил 106,3 миллиона долларов по сравнению с 110,4 миллиона долларов за четвертый квартал 2021 года и 19,7 миллиона долларов за первый квартал 2021 года. Снижение непроцентного дохода на 4,1 млн долларов США по сравнению с четвертым кварталом 2021 года было в основном результатом снижения чистой прибыли от деятельности по предоставлению и продаже кредитов на 36,3 млн долларов США из-за снижения объемов производства, что было полностью компенсировано увеличением доходов от обслуживания кредитов на 38,8 млн долларов США из-за роста процентных ставок и снижение скорости предоплаты благоприятно сказывается на оценке MSR и доходах от обслуживания. Также снижению непроцентного дохода с четвертого квартала 2021 года способствовал больший убыток от корректировки справедливой стоимости активов, оцениваемых по справедливой стоимости, в размере 5,8 млн долларов США, который был компенсирован чистой прибылью от продаж инвестиционных ценных бумаг в размере 6,9 млн долларов США за первый квартал 2022 года (снижение на $1,4 млн по сравнению с предыдущим кварталом). Изменения по сравнению с четвертым кварталом 2021 года по всем другим статьям непроцентного дохода, включая прибыль от возмещения по кредитным гарантиям, доход от инвестиций в акционерный капитал и прочее, нетто увеличились на 0,6 млн. долл. Увеличение непроцентных доходов с первого квартала 2021 года в первую очередь является результатом доходов, связанных с ипотечным кредитованием.
Чистая выручка за первый квартал 2022 года составила 555,8 млн долларов, снизившись на 5,2 млн долларов, или (0,9)%, по сравнению с 561,0 млн долларов за четвертый квартал 2021 года, и увеличившись на 218,8 млн долларов, или 64,9%, по сравнению с 337,0 млн долларов за первый квартал 2021 года.
Непроцентные расходы составили 248,6 млн долларов США за первый квартал 2022 года по сравнению с 237,8 млн долларов США за четвертый квартал 2021 года и 135,0 млн долларов США за первый квартал 2021 года. Коэффициент эффективности1 Компании составил 44,1% в первом квартале 2022 года по сравнению с 41,8% в четвертом квартале 2021 года и 39,1% в первом квартале 2021 года. Непроцентные расходы увеличились с четвертого квартала 2021 года из-за увеличения расходов на компенсацию. Увеличение непроцентных расходов по сравнению с первым кварталом 2021 года связано с ростом в результате приобретения AmeriHome, в результате которого увеличились расходы на компенсацию, а также были введены дополнительные непроцентные статьи расходов, такие как обслуживание кредитов и расходы на приобретение и выдачу кредитов.
Расходы по налогу на прибыль составили 58,1 млн долларов США за первый квартал 2022 года по сравнению с 64,0 млн долларов США за четвертый квартал 2021 года и 41,9 млн долларов США за первый квартал 2021 года.
Чистая прибыль составила 240,1 млн долларов за первый квартал 2022 года, что на 5,9 млн долларов меньше, чем 246,0 млн долларов за четвертый квартал 2021 года, и на 47,6 млн долларов больше, чем 192,5 млн долларов за первый квартал 2021 года. Прибыль на акцию составила 2,22 доллара за первый квартал 2022 года по сравнению с 2,32 доллара за четвертый квартал 2021 года и 1,90 доллара за первый квартал 2021 года. Увеличение чистой прибыли и прибыли на акцию за первый квартал 2022 года по сравнению с аналогичным кварталом прошлого года было обусловлено ростом кредитования HFI и новой деятельностью ипотечных банков, связанной с приобретением AmeriHome.
Компания рассматривает свой чистый доход до создания резервов1 ("PPNR") в качестве ключевого показателя для оценки доходности Компании, который она определяет как чистый доход за вычетом непроцентных расходов. За первый квартал 2022 года PPNR1 Компании составил 307,2 млн долларов, что на 16,0 млн долларов меньше, чем 323,2 млн долларов в четвертом квартале 2021 года, и на 105,2 млн долларов больше, чем 202,0 млн долларов в первом квартале 2021 года. Снижение PPNR1 по сравнению с четвертым кварталом 2021 года было обусловлено увеличением расходов на компенсацию. Увеличение PPNR1 по сравнению с первым кварталом 2021 года было обусловлено ростом кредитования HFI и приобретением AmeriHome, завершенным 7 апреля 2021 года.
По состоянию на 31 марта 2022 года в Компании было 3170 штатных сотрудников и 60 офисов, по сравнению с 3139 сотрудниками и 58 офисами на 31 декабря 2021 года и 1 947 сотрудниками и 49 офисами на 31 марта 2021 года. Увеличение числа сотрудников с 31 марта 2021 года в первую очередь связано с добавлением сотрудников AmeriHome.
1 См. Сверку финансовых показателей, не относящихся к ОПБУ.
Кредиты HFI за вычетом отложенных комиссий составили 41,1 миллиарда долларов на 31 марта 2022 года, увеличившись на 2,0 миллиарда долларов с 39,1 миллиарда долларов на 31 декабря 2021 года и на 12,4 миллиарда долларов с 28,7 миллиарда долларов на 31 марта 2021 года. Увеличение кредитов HFI по сравнению с предыдущим кварталом было обусловлено увеличением жилой недвижимости на 2,0 миллиарда долларов, а также ростом кредитов на 323 миллиона долларов в CRE, не занятых владельцами, и на 255 миллионов долларов в виде кредитов на строительство и землеустройство, которые были частично компенсированы сокращением коммерческих и промышленных кредитов на 436 миллионов долларов, а владелец CRE занял кредиты на сумму 93 миллиона долларов. С 31 марта 2021 года рост кредитов был в основном обусловлен жилой недвижимостью, коммерческой и промышленной недвижимостью, а также займами, не занимаемыми владельцами, которые увеличились на 8,2 миллиарда долларов, 2,8 миллиарда долларов и 1,2 миллиарда долларов соответственно. Кредиты на строительство и землеустройство также увеличились на 510 миллионов долларов, что частично компенсировалось сокращением займов, занятых владельцами CRE, на 247 миллионов долларов с 31 марта 2021 года.
Резерв Компании на возможные потери по кредитам HFI состоит из резерва по финансируемым кредитам HFI и резерва по необеспеченным кредитным обязательствам. По состоянию на 31 марта 2022 года резерв на возможные потери по ссудам, финансируемым HFI, составлял 0,63% по сравнению с 0,65% на 31 декабря 2021 года и 0,86% на 31 марта 2021 года. Резерв на возможные потери по кредитам, который включает резерв по необеспеченным кредитным обязательствам, по финансируемым кредитам HFI составил 0,73% на 31 марта 2022 года по сравнению с 0,74% на 31 декабря 2021 года и 0,97% на 31 марта 2021 года. В 2021 году Компания заключила две отдельные сделки с облигациями, связанными с кредитом, что фактически переносит риск потерь по ссудам по базовому пулу кредитов на покупателей облигаций. Однако, поскольку эти операции с векселями рассматриваются как самостоятельные улучшения кредитоспособности, резерв на возможные потери по кредитам не может быть уменьшен на ожидаемые кредитные убытки, которые могут быть уменьшены с помощью этих векселей. Соответственно, коэффициенты резерва на возможные потери по ссудам и кредитам по состоянию на 31 марта 2022 года и 31 декабря 2021 года включают резерв в размере 9,5 млн. долл. США и 7,2 млн. долл. США соответственно, связанный с этим пулом кредитов. Резерв на возможные потери по кредитам, финансируемым HFI, скорректированный с учетом передачи риска, связанного с операциями с облигациями, связанными с кредитом, составил 0,84% на 31 марта 2022 года и 0,89% на 31 декабря 2021 года.
Депозиты составили 52,2 миллиарда долларов на 31 марта 2022 года, увеличившись на 4,5 миллиарда долларов с 47,6 миллиарда долларов на 31 декабря 2021 года и увеличившись на 13,8 миллиарда долларов с 38,4 миллиарда долларов на 31 марта 2021 года. По типам депозитов увеличение по сравнению с предыдущим кварталом в основном связано с увеличением на 2,2 миллиарда долларов беспроцентных депозитов до востребования, на 1,3 миллиарда долларов процентных депозитов до востребования и на 1,3 миллиарда долларов сберегательных счетов и счетов денежного рынка, частично компенсированных сокращением на 238 миллионов долларов сертификатов депозиты. С 31 марта 2021 года депозиты увеличились по всем типам депозитов, при этом наибольший прирост составил беспроцентные депозиты до востребования на 6,0 миллиарда долларов, процентные депозиты до востребования на 4,4 миллиарда долларов и сберегательные счета и счета денежного рынка на 3,3 миллиарда долларов. Беспроцентные депозиты составили 23,5 миллиарда долларов на 31 марта 2022 года по сравнению с 21,4 миллиарда долларов на 31 декабря 2021 года и 17,5 миллиарда долларов на 31 марта 2021 года.
В таблице ниже показаны типы депозитов Компании в процентах от общего объема депозитов:
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Mar 31, 2021 |
|||
Non-interest bearing |
|
45.1 |
% |
|
44.9 |
% |
|
45.7 |
% |
Savings and money market |
|
35.6 |
|
|
36.3 |
|
|
39.8 |
|
Interest-bearing demand |
|
15.8 |
|
|
14.5 |
|
|
10.1 |
|
Certificates of deposit |
|
3.5 |
|
|
4.3 |
|
|
4.4 |
|
Отношение кредитов HFI к депозитам Компании составило 78,8% на 31 марта 2022 года по сравнению с 82,1% на 31 декабря 2021 года и 74,8% на 31 марта 2021 года.
Заимствования составили 815 миллионов долларов на 31 марта 2022 года, 1,5 миллиарда долларов на 31 декабря 2021 года и 5 миллионов долларов на 31 марта 2021 года. Сокращение заимствований с 31 декабря 2021 года обусловлено в первую очередь сокращением заимствований овернайт на 675 миллионов долларов. Увеличение объема заимствований с 31 марта 2021 года обусловлено главным образом допущением заимствований, связанных с приобретением AmeriHome и выпуском облигаций с кредитными привязками на сумму 470 миллионов долларов в течение 2021 года.
Соответствующий требованиям долг составил 893 миллиона долларов на 31 марта 2022 года по сравнению с 896 миллионами долларов на 31 декабря 2021 года и 544 миллионами долларов на 31 марта 2021 года. Увеличение квалифицируемого долга с 31 марта 2021 года в первую очередь связано с выпуском субординированного долга на 600 миллионов долларов в июне 2021 года, частично компенсированного погашением субординированного долга на 250 миллионов долларов в течение 2021 года.
Собственный капитал акционеров на 31 марта 2022 года составлял 5,0 миллиарда долларов по сравнению с 5,0 миллиардами долларов на 31 декабря 2021 года и 3,7 миллиардами долларов на 31 марта 2021 года. Собственный капитал акционеров оставался неизменным квартал за кварталом, поскольку чистая прибыль и чистая выручка от продажи обыкновенных акций Компании в рамках программы ATM были компенсированы дивидендами акционерам и убытками по справедливой стоимости в размере около 250 миллионов долларов США по ценным бумагам Компании с фиксированной процентной ставкой, имеющимся в наличии для продажи, которые отражаются в составе прочего совокупного дохода, за вычетом налога. В течение квартала Компания продала 1,3 миллиона своих обыкновенных акций по средней цене покупки в 86,78 доллара за акцию, при этом совокупная чистая выручка составила 107,7 миллиона долларов. 4 марта 2022 года простым акционерам был выплачен денежный дивиденд в размере 0,35 доллара на акцию на общую сумму 37,3 миллиона долларов, а 30 марта 2022 года привилегированным акционерам был выплачен денежный дивиденд в размере 0,27 доллара на одну депозитарную акцию на общую сумму 3,2 миллиона долларов. Увеличение собственного капитала акционеров с 31 марта 2021 года в основном обусловлено чистой прибылью, выпуском привилегированных акций и продажей обыкновенных акций в рамках программы ATM Компании, частично компенсированной дивидендами акционерам и убытками по ценным бумагам, имеющимся в наличии для продажи.
По состоянию на 31 марта 2022 года материальный обыкновенный капитал за вычетом налогов1 составлял 6,7% от материальных активов1, а общий капитал составлял 12,0% активов, взвешенных по риску. Материальная балансовая стоимость Компании на акцию 1 на 31 марта 2022 года составила 37,13 доллара США, что на 12,4% больше, чем 31 марта 2021 года.
Совокупные активы увеличились на 8,2% до 60,6 млрд долларов на 31 марта 2022 года с 56,0 млрд долларов на 31 декабря 2021 года и увеличились на 39,6% с 43,4 млрд долларов на 31 марта 2021 года. Увеличение совокупных активов с 31 декабря 2021 года было обусловлено продолжающимся органическим ростом кредитов и депозитов. Увеличение совокупных активов с 31 марта 2021 года также было обусловлено продолжающимся органическим ростом кредитов и депозитов наряду с приобретением чистых активов в рамках приобретения AmeriHome.
1 См. Сверку финансовых показателей, не относящихся к ОПБУ.
Резерв на покрытие кредитных убытков за первый квартал 2022 года составил 9,0 млн долларов США по сравнению с 13,2 млн долларов США за четвертый квартал 2021 года, а возмещение кредитных убытков за первый квартал 2021 года составило 32,4 млн долларов США. Чистые списания по кредитам в первом квартале 2022 года составили 0,2 миллиона долларов, или примерно 0,00% от среднего объема кредитов (в годовом исчислении), по сравнению с 1,4 миллиона долларов, или 0,02%, в четвертом квартале 2021 года и 1,4 миллиона долларов, или 0,02%, в первом квартале 2021 года.
Неаккредитованные кредиты увеличились на 18,4 млн долларов до 91,0 млн долларов в течение квартала и сократились на 22,6 млн долларов с 31 марта 2021 года. Кредиты, просроченные на 90 дней и по которым все еще начисляются проценты, были равны нулю на 31 марта 2022 года, 31 декабря 2021 года и 31 марта 2021 года. Кредиты, просроченные на 30-89 дней и по которым все еще начисляются проценты, на 31 марта 2022 года составили 57,6 миллиона долларов, увеличившись с 52,5 миллиона долларов на 31 декабря 2021 года и увеличившись с 7,3 миллиона долларов на 31 марта 2021 года.
Возвращенные активы на 31 марта 2022 года составили 11,7 миллиона долларов, что не изменилось по сравнению с 31 декабря 2021 года и увеличилось на 7,5 миллиона долларов с 4,2 миллиона долларов на 31 марта 2021 года. Классифицированные активы на 31 марта 2022 года составили 365,1 млн долларов, увеличившись на 64,4 млн долларов с 300,7 млн долларов на 31 декабря 2021 года и на 84,3 млн долларов с 280,9 млн долларов на 31 марта 2021 года.
Отношение классифицированных активов к капиталу уровня 1 плюс резерв на возможные потери по кредитам, общий нормативный показатель качества активов, составлял 7,4% на 31 марта 2022 года по сравнению с 6,4% на 31 декабря 2021 года и 7,5% на 31 марта 2021 года.
1 См. Сверку финансовых показателей, не относящихся к ОПБУ.
Основные моменты сегмента
Отчетные сегменты Компании объединены с акцентом на предлагаемые продукты и услуги и состоят из трех отчетных сегментов:
Ключевые показатели управления для оценки эффективности коммерческого и потребительского сегментов Компании включают рост кредитов и депозитов, качество активов и доход до налогообложения.
Коммерческий сегмент сообщил о балансе займов HFI в размере 25,8 миллиарда долларов на 31 марта 2022 года, увеличившись на 702 миллиона долларов за квартал и увеличившись на 5,1 миллиарда долларов за последние двенадцать месяцев. Депозиты в коммерческом сегменте на 31 марта 2022 года составили 30,1 миллиарда долларов, что на 333 миллиона долларов меньше, чем за квартал, и на 6,0 миллиарда долларов больше, чем за последние двенадцать месяцев.
Доход до налогообложения в коммерческом сегменте составил 236,8 млн долларов США за три месяца, закончившихся 31 марта 2022 года, что на 1,5 млн долларов меньше, чем за три месяца, закончившихся 31 декабря 2021 года, и на 15,9 млн долларов больше, чем за три месяца, закончившихся 31 марта 2021 года.
Сегмент, связанный с потребителями, сообщил о балансе кредитов HFI в размере 15,3 миллиарда долларов на 31 марта 2022 года, увеличившись на 1,3 миллиарда долларов за квартал и увеличившись на 7,3 миллиарда долларов за последние двенадцать месяцев. Потребительский сегмент также имеет кредиты, предназначенные для продажи, первоначально приобретенные в рамках приобретения AmeriHome, на сумму 4,8 миллиарда долларов по состоянию на 31 марта 2022 года, что на 874 миллиона долларов меньше, чем за квартал. Депозиты в потребительском сегменте составили 18,5 миллиарда долларов, увеличившись за квартал на 3,2 миллиарда долларов и увеличившись на 5,2 миллиарда долларов за последние двенадцать месяцев.
Доход до налогообложения в потребительском сегменте составил 126,9 млн долларов за три месяца, закончившихся 31 марта 2022 года, что на 8,1 млн долларов меньше, чем за три месяца, закончившихся 31 декабря 2021 года, и на 55,4 млн долларов больше, чем за три месяца, закончившихся 31 марта 2021 года.
Конференц-связь и веб-трансляция
Western Alliance Bancorporation проведет телефонную конференцию и прямую веб-трансляцию, чтобы обсудить свои финансовые результаты за первый квартал 2022 года в 12:00 по восточному времени в пятницу, 22 апреля 2022 года. Участники могут получить доступ к вызову, набрав 1-833-236-2753 и используя идентификатор конференции 8647856 или посредством прямой аудиотрансляции, используя ссылку на веб-сайт https://event.on24.com/wcc/r/3722529/285EA0451C6B4F5BCA17F23768468E57 . Веб-трансляция также доступна на веб-сайте Компании по адресу www.westernalliancebancorporation.com . Участники должны войти в систему по крайней мере за 15 минут до начала, чтобы получить инструкции. Звонок будет записан и доступен для воспроизведения после 15:00 по восточному времени 22 апреля до 11:00 по восточному времени 22 мая по номеру 1-800-585-8367, идентификатор конференции: 8647856.
Реклассификации
Некоторые суммы в Консолидированных отчетах о прибылях и убытках за предыдущие периоды были реклассифицированы в соответствии с текущим представлением. Реклассификации не оказывают влияния на чистую прибыль или собственный капитал акционеров’ как сообщалось ранее.
Использование финансовой информации, не относящейся к ОПБУ
Настоящий пресс-релиз содержит как финансовые показатели, основанные на GAAP, так и финансовые показатели, не основанные на GAAP, которые используются в тех случаях, когда руководство считает их полезными для понимания результатов деятельности или финансового положения Компании. В тех случаях, когда используются финансовые показатели, отличные от GAAP, сопоставимый финансовый показатель GAAP, а также сверка с сопоставимым финансовым показателем GAAP, можно найти в этом пресс-релизе. Эти раскрытия не следует рассматривать как замену операционных результатов, определенных в соответствии с GAAP, и они не обязательно сопоставимы с показателями эффективности, отличными от GAAP, которые могут быть представлены другими компаниями.
Предостережение В Отношении Прогнозных Заявлений
Этот релиз содержит прогнозные заявления, которые касаются ожиданий, убеждений, прогнозов, планов и стратегий на будущее, ожидаемых событий или тенденций и аналогичных выражений, касающихся вопросов, которые не являются историческими фактами. Примеры прогнозных заявлений включают, среди прочего, заявления, которые мы делаем относительно наших ожиданий в отношении нашего бизнеса, финансовых и операционных результатов, будущих экономических показателей и дивидендов. Заявления прогнозного характера, содержащиеся в настоящем документе, отражают наши текущие взгляды на будущие события и финансовые показатели и подвержены рискам, неопределенностям, допущениям и изменениям обстоятельств, которые могут привести к тому, что наши фактические результаты будут существенно отличаться от исторических результатов и результатов, выраженных в любом прогнозном заявлении. Некоторые факторы, которые могут вызвать фактические результаты могут существенно отличаться от исторических и ожидаемым результатам относятся, в частности: факторы риска, говорилось в годовом отчете компании по форме 10-K за год, закончившийся 31 декабря 2021 и последующих квартальных отчетах по форме 10-Q, на каждой поданной в комиссию по ценным бумагам и биржам; возможных неблагоприятных воздействий необычных и редко встречающихся явлений, таких как COVID-19 пандемией и какой-либо государственной или общественной реакции на них; изменения в общие экономические условия, на национальном или местном уровне в областях, в которых мы проводим и будем проводить наши бизнес; влияние на финансовые рынки от геополитических конфликтов, таких как войны между Россией и Украиной; инфляционный, процентный, рыночный и колебаниями валютных курсов; повышение конкуренции среди финансовых учреждений и компаний, предлагающих аналогичные товары и услуги; рост дефолтов на нашем кредитном портфеле, чем мы ожидаем; изменения в руководство по оценке достаточности резерва под кредитные убытки; законодательные и нормативные изменения или изменения в бухгалтерских принципов, политики и руководящих принципов; надзорные действия регулирующих органов, которые могут ограничить нашу способность преследовать определенные возможности роста, в том числе расширение посредством приобретений; дополнительные нормативные требования, вытекающие из нашего дальнейшего роста; руководством оценок и прогнозов процентных ставок и процентной политики; выполнение бизнес-плана; и других факторов, влияющих на индустрию финансовых услуг в целом и банковского сектора в частности.
Любое прогнозное заявление, сделанное нами в этом выпуске, основано только на информации, доступной нам в настоящее время, и относится только к дате, на которую оно сделано. Мы не намерены и не отказываемся от каких-либо обязанностей или обязательств по обновлению или пересмотру любой отраслевой информации или прогнозных заявлений, письменных или устных, которые могут время от времени делаться, изложенных в этом пресс-релизе, чтобы отразить новую информацию, будущие события или иным образом.
Об Western Alliance Bancorporation
С активами более чем в 60 миллиардов долларов Western Alliance Bancorporation (NYSE: WAL) является одной из самых успешных банковских компаний страны. Компания занимает 2-е место среди 50 крупнейших публичных банков США в рейтинге S&P Global Market Intelligence за 2021 год, из года в год занимает высокие позиции в списке Forbes “Лучшие банки Америки” и была названа №1 Лучшим развивающимся региональным банком по версии банковского директора в исследовании RankingBanking за 2022 год. Его основная дочерняя компания Western Alliance Bank, член FDIC, помогает бизнес-клиентам реализовать свои амбиции с помощью команды опытных банкиров, которые предоставляют превосходный сервис и полный спектр индивидуальных возможностей управления кредитами, депозитами и казначейством, включая предложения на основе блокчейна. Бизнес-клиенты также получают выгоду от широкого спектра специализированных финансовых услуг, которые предоставляют большой опыт и индивидуальные решения для широкого спектра отраслей и секторов. Обслуживая клиентов по всей стране, где бы ни происходил бизнес, Western Alliance Bank управляет индивидуальными брендами банковских и финансовых услуг с полным спектром услуг, включая AmeriHome Mortgage, и имеет офисы на ключевых рынках по всей стране. Для получения дополнительной информации посетите westernalliancebank.com .
Western Alliance Bancorporation and Subsidiaries |
||||||||||
Summary Consolidated Financial Data |
||||||||||
Unaudited |
||||||||||
|
|
|
||||||||
Selected Balance Sheet Data: |
|
|
||||||||
|
|
As of March 31, |
||||||||
|
|
2022 |
|
2021 |
|
Change % |
||||
|
|
(in millions) |
|
|
||||||
Total assets |
|
$ |
60,576.1 |
|
$ |
43,397.0 |
|
|
39.6 |
% |
Loans held for sale |
|
|
4,761.6 |
|
|
— |
|
|
— |
|
HFI loans, net of deferred fees |
|
|
41,119.1 |
|
|
28,711.0 |
|
|
43.2 |
|
Investment securities |
|
|
8,276.6 |
|
|
7,888.8 |
|
|
4.9 |
|
Total deposits |
|
|
52,159.5 |
|
|
38,393.1 |
|
|
35.9 |
|
Qualifying debt |
|
|
893.3 |
|
|
543.7 |
|
|
64.3 |
|
Stockholders' equity |
|
|
5,011.6 |
|
|
3,712.7 |
|
|
35.0 |
|
Tangible common equity, net of tax (1) |
|
|
4,020.9 |
|
|
3,416.1 |
|
|
17.7 |
|
|
||||||||||
|
||||||||||
Selected Income Statement Data: |
|
|
||||||||
|
|
For the Three Months Ended March 31, |
||||||||
|
|
2022 |
|
2021 |
|
Change % |
||||
|
|
(in millions, except per share data) |
|
|
||||||
Interest income |
|
$ |
484.5 |
|
$ |
334.1 |
|
|
45.0 |
% |
Interest expense |
|
|
35.0 |
|
|
16.8 |
|
|
NM |
|
Net interest income |
|
|
449.5 |
|
|
317.3 |
|
|
41.7 |
|
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
(32.4 |
) |
|
NM |
|
Net interest income after provision for credit losses |
|
|
440.5 |
|
|
349.7 |
|
|
26.0 |
|
Non-interest income |
|
|
106.3 |
|
|
19.7 |
|
|
NM |
|
Non-interest expense |
|
|
248.6 |
|
|
135.0 |
|
|
84.1 |
|
Income before income taxes |
|
|
298.2 |
|
|
234.4 |
|
|
27.2 |
|
Income tax expense |
|
|
58.1 |
|
|
41.9 |
|
|
38.7 |
|
Net income |
|
|
240.1 |
|
|
192.5 |
|
|
24.7 |
|
Dividends on preferred stock |
|
|
3.2 |
|
|
— |
|
|
— |
|
Net income available to common stockholders |
|
$ |
236.9 |
|
$ |
192.5 |
|
|
23.1 |
|
Diluted earnings per common share |
|
$ |
2.22 |
|
$ |
1.90 |
|
|
16.8 |
|
(1) |
See Reconciliation of Non-GAAP Financial Measures. |
|
NM |
Changes +/- 100% are not meaningful. |
Western Alliance Bancorporation and Subsidiaries |
|||||||||||
Summary Consolidated Financial Data |
|||||||||||
Unaudited |
|||||||||||
|
|||||||||||
Common Share Data: |
|
|
|||||||||
|
|
At or For the Three Months Ended March 31, |
|||||||||
|
|
2022 |
|
2021 |
|
Change % |
|||||
Diluted earnings per common share |
|
$ |
2.22 |
|
|
$ |
1.90 |
|
|
16.8 |
% |
Book value per common share |
|
|
43.56 |
|
|
|
35.89 |
|
|
21.4 |
|
Tangible book value per common share, net of tax (1) |
|
|
37.13 |
|
|
|
33.02 |
|
|
12.4 |
|
Average common shares outstanding (in millions): |
|
|
|
|
|
|
|||||
Basic |
|
|
106.0 |
|
|
|
100.8 |
|
|
5.2 |
|
Diluted |
|
|
106.6 |
|
|
|
101.4 |
|
|
5.1 |
|
Common shares outstanding |
|
|
108.3 |
|
|
|
103.4 |
|
|
4.7 |
|
Selected Performance Ratios: |
|
|
|
|
|
|
|||||
Return on average assets (2) |
|
|
1.64 |
% |
|
|
1.93 |
% |
|
(15.0 |
) % |
Return on average tangible common equity (1, 2) |
|
|
23.9 |
|
|
|
24.2 |
|
|
(1.2 |
) |
Net interest margin (2) |
|
|
3.32 |
|
|
|
3.37 |
|
|
(1.5 |
) |
Efficiency ratio - tax equivalent basis (1) |
|
|
44.1 |
|
|
|
39.1 |
|
|
12.8 |
|
Loan to deposit ratio |
|
|
78.8 |
|
|
|
74.8 |
|
|
5.3 |
|
|
|
|
|
|
|
|
|||||
Asset Quality Ratios: |
|
|
|
|
|
|
|||||
Net charge-offs to average loans outstanding (2) |
|
|
0.00 |
% |
|
|
0.02 |
% |
|
NM |
|
Nonaccrual loans to funded HFI loans |
|
|
0.22 |
|
|
|
0.40 |
|
|
(45.0 |
) |
Nonaccrual loans and repossessed assets to total assets |
|
|
0.17 |
|
|
|
0.27 |
|
|
(37.0 |
) |
Allowance for loan losses to funded HFI loans |
|
|
0.63 |
|
|
|
0.86 |
|
|
(26.7 |
) |
Allowance for loan losses to nonaccrual HFI loans |
|
|
283 |
|
|
|
218 |
|
|
30.1 |
|
Capital Ratios: |
|
|
|
|
|
|
|||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Mar 31, 2021 |
|||
Tangible common equity (1) |
|
6.7 |
% |
|
7.3 |
% |
|
7.9 |
% |
Common Equity Tier 1 (3) |
|
9.0 |
|
|
9.1 |
|
|
10.3 |
|
Tier 1 Leverage ratio (3) |
|
8.0 |
|
|
7.8 |
|
|
8.8 |
|
Tier 1 Capital (3) |
|
9.8 |
|
|
9.9 |
|
|
10.6 |
|
Total Capital (3) |
|
12.0 |
|
|
12.3 |
|
|
12.6 |
|
(1) |
See Reconciliation of Non-GAAP Financial Measures. |
|
(2) |
Annualized on an actual/actual basis for periods less than 12 months. |
|
(3) |
Capital ratios for March 31, 2022 are preliminary. |
|
NM |
Changes +/- 100% are not meaningful. |
Western Alliance Bancorporation and Subsidiaries |
||||||||
Condensed Consolidated Income Statements |
||||||||
Unaudited |
||||||||
|
|
Three Months Ended March 31, |
||||||
|
|
2022 |
|
2021 |
||||
|
|
(dollars in millions, except per share data) |
||||||
Interest income: |
|
|
|
|
||||
Loans |
|
$ |
434.7 |
|
|
$ |
298.4 |
|
Investment securities |
|
|
48.0 |
|
|
|
34.0 |
|
Other |
|
|
1.8 |
|
|
|
1.7 |
|
Total interest income |
|
|
484.5 |
|
|
|
334.1 |
|
Interest expense: |
|
|
|
|
||||
Deposits |
|
|
14.1 |
|
|
|
10.8 |
|
Qualifying debt |
|
|
8.4 |
|
|
|
5.9 |
|
Borrowings |
|
|
12.5 |
|
|
|
0.1 |
|
Total interest expense |
|
|
35.0 |
|
|
|
16.8 |
|
Net interest income |
|
|
449.5 |
|
|
|
317.3 |
|
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
|
(32.4 |
) |
Net interest income after provision for credit losses |
|
|
440.5 |
|
|
|
349.7 |
|
Non-interest income: |
|
|
|
|
||||
Net loan servicing revenue |
|
|
41.1 |
|
|
|
— |
|
Net gain on loan origination and sale activities |
|
|
36.9 |
|
|
|
— |
|
Service charges and fees |
|
|
7.0 |
|
|
|
6.7 |
|
Commercial banking related income |
|
|
5.1 |
|
|
|
3.4 |
|
Income from equity investments |
|
|
4.1 |
|
|
|
7.6 |
|
Gain on sales of investment securities |
|
|
6.9 |
|
|
|
0.1 |
|
Gain on recovery from credit guarantees |
|
|
2.3 |
|
|
|
— |
|
Fair value loss adjustments on assets measured at fair value, net |
|
|
(6.6 |
) |
|
|
(1.5 |
) |
Other |
|
|
9.5 |
|
|
|
3.4 |
|
Total non-interest income |
|
|
106.3 |
|
|
|
19.7 |
|
Non-interest expenses: |
|
|
|
|
||||
Salaries and employee benefits |
|
|
138.3 |
|
|
|
83.7 |
|
Legal, professional, and directors' fees |
|
|
24.0 |
|
|
|
10.1 |
|
Data processing |
|
|
17.6 |
|
|
|
9.9 |
|
Occupancy |
|
|
12.8 |
|
|
|
8.6 |
|
Loan servicing expenses |
|
|
10.8 |
|
|
|
— |
|
Deposit costs |
|
|
9.3 |
|
|
|
6.3 |
|
Insurance |
|
|
7.2 |
|
|
|
4.2 |
|
Loan acquisition and origination expenses |
|
|
6.5 |
|
|
|
— |
|
Business development and marketing |
|
|
4.4 |
|
|
|
1.4 |
|
Net loss (gain) on sales and valuations of repossessed and other assets |
|
|
0.1 |
|
|
|
(0.3 |
) |
Acquisition and restructure expenses |
|
|
0.4 |
|
|
|
0.4 |
|
Other |
|
|
17.2 |
|
|
|
10.7 |
|
Total non-interest expense |
|
|
248.6 |
|
|
|
135.0 |
|
Income before income taxes |
|
|
298.2 |
|
|
|
234.4 |
|
Income tax expense |
|
|
58.1 |
|
|
|
41.9 |
|
Net income |
|
|
240.1 |
|
|
|
192.5 |
|
Dividends on preferred stock |
|
|
3.2 |
|
|
|
— |
|
Net income available to common stockholders |
|
$ |
236.9 |
|
|
$ |
192.5 |
|
|
|
|
|
|
||||
Earnings per common share: |
|
|
|
|
||||
Diluted shares |
|
|
106.6 |
|
|
|
101.4 |
|
Diluted earnings per share |
|
$ |
2.22 |
|
|
$ |
1.90 |
|
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Five Quarter Condensed Consolidated Income Statements |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions, except per share data) |
||||||||||||||||||
Interest income: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans |
|
$ |
434.7 |
|
|
$ |
438.6 |
|
|
$ |
398.0 |
|
|
$ |
353.8 |
|
|
$ |
298.4 |
|
Investment securities |
|
|
48.0 |
|
|
|
43.7 |
|
|
|
43.5 |
|
|
|
43.5 |
|
|
|
34.0 |
|
Other |
|
|
1.8 |
|
|
|
1.0 |
|
|
|
1.3 |
|
|
|
1.2 |
|
|
|
1.7 |
|
Total interest income |
|
|
484.5 |
|
|
|
483.3 |
|
|
|
442.8 |
|
|
|
398.5 |
|
|
|
334.1 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits |
|
|
14.1 |
|
|
|
12.8 |
|
|
|
12.3 |
|
|
|
11.6 |
|
|
|
10.8 |
|
Qualifying debt |
|
|
8.4 |
|
|
|
9.2 |
|
|
|
10.8 |
|
|
|
7.2 |
|
|
|
5.9 |
|
Borrowings |
|
|
12.5 |
|
|
|
10.7 |
|
|
|
9.3 |
|
|
|
9.2 |
|
|
|
0.1 |
|
Total interest expense |
|
|
35.0 |
|
|
|
32.7 |
|
|
|
32.4 |
|
|
|
28.0 |
|
|
|
16.8 |
|
Net interest income |
|
|
449.5 |
|
|
|
450.6 |
|
|
|
410.4 |
|
|
|
370.5 |
|
|
|
317.3 |
|
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
|
13.2 |
|
|
|
12.3 |
|
|
|
(14.5 |
) |
|
|
(32.4 |
) |
Net interest income after provision for credit losses |
|
|
440.5 |
|
|
|
437.4 |
|
|
|
398.1 |
|
|
|
385.0 |
|
|
|
349.7 |
|
Non-interest income: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Net loan servicing revenue (expense) |
|
|
41.1 |
|
|
|
2.3 |
|
|
|
2.2 |
|
|
|
(20.8 |
) |
|
|
— |
|
Net gain on loan origination and sale activities |
|
|
36.9 |
|
|
|
73.2 |
|
|
|
121.0 |
|
|
|
132.0 |
|
|
|
— |
|
Service charges and fees |
|
|
7.0 |
|
|
|
7.1 |
|
|
|
7.1 |
|
|
|
7.4 |
|
|
|
6.7 |
|
Commercial banking related income |
|
|
5.1 |
|
|
|
4.9 |
|
|
|
4.6 |
|
|
|
4.5 |
|
|
|
3.4 |
|
Income from equity investments |
|
|
4.1 |
|
|
|
5.2 |
|
|
|
2.5 |
|
|
|
6.8 |
|
|
|
7.6 |
|
Gain on sales of investment securities |
|
|
6.9 |
|
|
|
8.3 |
|
|
|
— |
|
|
|
— |
|
|
|
0.1 |
|
Gain on recovery from credit guarantees |
|
|
2.3 |
|
|
|
7.2 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Fair value (loss) gain adjustments on assets measured at fair value, net |
|
|
(6.6 |
) |
|
|
(0.8 |
) |
|
|
(2.2 |
) |
|
|
3.2 |
|
|
|
(1.5 |
) |
Other |
|
|
9.5 |
|
|
|
3.0 |
|
|
|
2.9 |
|
|
|
2.9 |
|
|
|
3.4 |
|
Total non-interest income |
|
|
106.3 |
|
|
|
110.4 |
|
|
|
138.1 |
|
|
|
136.0 |
|
|
|
19.7 |
|
Non-interest expenses: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Salaries and employee benefits |
|
|
138.3 |
|
|
|
120.6 |
|
|
|
133.5 |
|
|
|
128.9 |
|
|
|
83.7 |
|
Legal, professional, and directors' fees |
|
|
24.0 |
|
|
|
20.8 |
|
|
|
13.7 |
|
|
|
14.0 |
|
|
|
10.1 |
|
Data processing |
|
|
17.6 |
|
|
|
17.9 |
|
|
|
15.4 |
|
|
|
15.0 |
|
|
|
9.9 |
|
Occupancy |
|
|
12.8 |
|
|
|
12.4 |
|
|
|
12.4 |
|
|
|
10.4 |
|
|
|
8.6 |
|
Loan servicing expenses |
|
|
10.8 |
|
|
|
15.6 |
|
|
|
15.6 |
|
|
|
22.3 |
|
|
|
— |
|
Deposit costs |
|
|
9.3 |
|
|
|
9.1 |
|
|
|
7.3 |
|
|
|
7.1 |
|
|
|
6.3 |
|
Insurance |
|
|
7.2 |
|
|
|
7.1 |
|
|
|
6.2 |
|
|
|
5.5 |
|
|
|
4.2 |
|
Loan acquisition and origination expenses |
|
|
6.5 |
|
|
|
8.6 |
|
|
|
9.7 |
|
|
|
10.5 |
|
|
|
— |
|
Business development and marketing |
|
|
4.4 |
|
|
|
6.1 |
|
|
|
2.8 |
|
|
|
3.2 |
|
|
|
1.4 |
|
Loss on extinguishment of debt |
|
|
— |
|
|
|
5.9 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net loss (gain) on sales and valuations of repossessed and other assets |
|
|
0.1 |
|
|
|
(0.4 |
) |
|
|
(1.3 |
) |
|
|
(1.5 |
) |
|
|
(0.3 |
) |
Acquisition and restructure expenses (recoveries) |
|
|
0.4 |
|
|
|
(3.2 |
) |
|
|
2.4 |
|
|
|
15.7 |
|
|
|
0.4 |
|
Other |
|
|
17.2 |
|
|
|
17.3 |
|
|
|
16.1 |
|
|
|
13.7 |
|
|
|
10.7 |
|
Total non-interest expense |
|
|
248.6 |
|
|
|
237.8 |
|
|
|
233.8 |
|
|
|
244.8 |
|
|
|
135.0 |
|
Income before income taxes |
|
|
298.2 |
|
|
|
310.0 |
|
|
|
302.4 |
|
|
|
276.2 |
|
|
|
234.4 |
|
Income tax expense |
|
|
58.1 |
|
|
|
64.0 |
|
|
|
65.5 |
|
|
|
52.4 |
|
|
|
41.9 |
|
Net income |
|
|
240.1 |
|
|
|
246.0 |
|
|
|
236.9 |
|
|
|
223.8 |
|
|
|
192.5 |
|
Dividends on preferred stock |
|
|
3.2 |
|
|
|
3.5 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Net income available to common stockholders |
|
$ |
236.9 |
|
|
$ |
242.5 |
|
|
$ |
236.9 |
|
|
$ |
223.8 |
|
|
$ |
192.5 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Earnings per common share: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted shares |
|
|
106.6 |
|
|
|
104.5 |
|
|
|
103.9 |
|
|
|
103.4 |
|
|
|
101.4 |
|
Diluted earnings per share |
|
$ |
2.22 |
|
|
$ |
2.32 |
|
|
$ |
2.28 |
|
|
$ |
2.17 |
|
|
$ |
1.90 |
|
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Five Quarter Condensed Consolidated Balance Sheets |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions) |
||||||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash and due from banks |
|
$ |
2,602.3 |
|
|
$ |
516.4 |
|
|
$ |
917.9 |
|
|
$ |
3,395.8 |
|
|
$ |
5,346.5 |
|
Investment securities |
|
|
8,276.6 |
|
|
|
7,540.9 |
|
|
|
7,695.9 |
|
|
|
7,845.0 |
|
|
|
7,888.8 |
|
Loans held for sale |
|
|
4,761.6 |
|
|
|
5,635.1 |
|
|
|
6,534.3 |
|
|
|
4,465.2 |
|
|
|
— |
|
Loans held for investment: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
|
17,861.9 |
|
|
|
18,297.5 |
|
|
|
16,524.7 |
|
|
|
14,284.5 |
|
|
|
15,070.7 |
|
Commercial real estate - non-owner occupied |
|
|
6,849.6 |
|
|
|
6,526.4 |
|
|
|
5,843.7 |
|
|
|
5,695.6 |
|
|
|
5,681.4 |
|
Commercial real estate - owner occupied |
|
|
1,805.4 |
|
|
|
1,898.1 |
|
|
|
1,996.6 |
|
|
|
2,028.1 |
|
|
|
2,052.0 |
|
Construction and land development |
|
|
3,277.7 |
|
|
|
3,022.7 |
|
|
|
2,943.3 |
|
|
|
2,856.9 |
|
|
|
2,767.9 |
|
Residential real estate |
|
|
11,269.7 |
|
|
|
9,281.7 |
|
|
|
7,452.8 |
|
|
|
5,120.7 |
|
|
|
3,109.1 |
|
Consumer |
|
|
54.8 |
|
|
|
49.0 |
|
|
|
40.8 |
|
|
|
40.6 |
|
|
|
29.9 |
|
Loans, net of deferred fees |
|
|
41,119.1 |
|
|
|
39,075.4 |
|
|
|
34,801.9 |
|
|
|
30,026.4 |
|
|
|
28,711.0 |
|
Allowance for loan losses |
|
|
(257.6 |
) |
|
|
(252.5 |
) |
|
|
(246.9 |
) |
|
|
(232.9 |
) |
|
|
(247.1 |
) |
Loans, net of deferred fees and allowance |
|
|
40,861.5 |
|
|
|
38,822.9 |
|
|
|
34,555.0 |
|
|
|
29,793.5 |
|
|
|
28,463.9 |
|
Mortgage servicing rights |
|
|
950.3 |
|
|
|
698.0 |
|
|
|
604.8 |
|
|
|
726.2 |
|
|
|
— |
|
Premises and equipment, net |
|
|
196.3 |
|
|
|
181.9 |
|
|
|
161.2 |
|
|
|
150.2 |
|
|
|
138.4 |
|
Operating lease right-of-use asset |
|
|
141.8 |
|
|
|
133.0 |
|
|
|
106.0 |
|
|
|
94.9 |
|
|
|
77.0 |
|
Other assets acquired through foreclosure, net |
|
|
11.7 |
|
|
|
11.7 |
|
|
|
11.5 |
|
|
|
3.9 |
|
|
|
4.2 |
|
Bank owned life insurance |
|
|
178.9 |
|
|
|
180.2 |
|
|
|
179.2 |
|
|
|
178.2 |
|
|
|
177.3 |
|
Goodwill and other intangibles, net |
|
|
698.2 |
|
|
|
634.8 |
|
|
|
608.4 |
|
|
|
610.7 |
|
|
|
298.0 |
|
Other assets |
|
|
1,896.9 |
|
|
|
1,627.7 |
|
|
|
1,400.9 |
|
|
|
1,805.4 |
|
|
|
1,002.9 |
|
Total assets |
|
$ |
60,576.1 |
|
|
$ |
55,982.6 |
|
|
$ |
52,775.1 |
|
|
$ |
49,069.0 |
|
|
$ |
43,397.0 |
|
Liabilities and Stockholders' Equity: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Deposits |
|
|
|
|
|
|
|
|
|
|
||||||||||
Non-interest bearing demand deposits |
|
$ |
23,520.4 |
|
|
$ |
21,353.4 |
|
|
$ |
21,058.2 |
|
|
$ |
20,105.6 |
|
|
$ |
17,542.8 |
|
Interest bearing: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Demand |
|
|
8,268.2 |
|
|
|
6,924.0 |
|
|
|
4,954.3 |
|
|
|
4,187.7 |
|
|
|
3,893.4 |
|
Savings and money market |
|
|
18,552.7 |
|
|
|
17,278.6 |
|
|
|
17,440.1 |
|
|
|
15,810.3 |
|
|
|
15,276.0 |
|
Certificates of deposit |
|
|
1,818.2 |
|
|
|
2,056.0 |
|
|
|
1,830.0 |
|
|
|
1,817.4 |
|
|
|
1,680.9 |
|
Total deposits |
|
|
52,159.5 |
|
|
|
47,612.0 |
|
|
|
45,282.6 |
|
|
|
41,921.0 |
|
|
|
38,393.1 |
|
Customer repurchase agreements |
|
|
18.0 |
|
|
|
16.6 |
|
|
|
16.1 |
|
|
|
20.2 |
|
|
|
15.9 |
|
Total customer funds |
|
|
52,177.5 |
|
|
|
47,628.6 |
|
|
|
45,298.7 |
|
|
|
41,941.2 |
|
|
|
38,409.0 |
|
Borrowings |
|
|
815.3 |
|
|
|
1,485.3 |
|
|
|
987.4 |
|
|
|
595.2 |
|
|
|
5.0 |
|
Qualifying debt |
|
|
893.3 |
|
|
|
895.8 |
|
|
|
1,064.9 |
|
|
|
1,140.0 |
|
|
|
543.7 |
|
Operating lease liability |
|
|
154.9 |
|
|
|
142.8 |
|
|
|
115.0 |
|
|
|
102.4 |
|
|
|
84.6 |
|
Accrued interest payable and other liabilities |
|
|
1,523.5 |
|
|
|
867.5 |
|
|
|
795.1 |
|
|
|
1,255.7 |
|
|
|
642.0 |
|
Total liabilities |
|
|
55,564.5 |
|
|
|
51,020.0 |
|
|
|
48,261.1 |
|
|
|
45,034.5 |
|
|
|
39,684.3 |
|
Stockholders' Equity: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Preferred stock |
|
|
294.5 |
|
|
|
294.5 |
|
|
|
294.5 |
|
|
|
— |
|
|
|
— |
|
Common stock and additional paid-in capital |
|
|
1,979.6 |
|
|
|
1,879.4 |
|
|
|
1,609.9 |
|
|
|
1,603.4 |
|
|
|
1,524.2 |
|
Retained earnings |
|
|
2,972.6 |
|
|
|
2,773.0 |
|
|
|
2,567.0 |
|
|
|
2,366.6 |
|
|
|
2,168.6 |
|
Accumulated other comprehensive (loss) income |
|
|
(235.1 |
) |
|
|
15.7 |
|
|
|
42.6 |
|
|
|
64.5 |
|
|
|
19.9 |
|
Total stockholders' equity |
|
|
5,011.6 |
|
|
|
4,962.6 |
|
|
|
4,514.0 |
|
|
|
4,034.5 |
|
|
|
3,712.7 |
|
Total liabilities and stockholders' equity |
|
$ |
60,576.1 |
|
|
$ |
55,982.6 |
|
|
$ |
52,775.1 |
|
|
$ |
49,069.0 |
|
|
$ |
43,397.0 |
|
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Changes in the Allowance For Credit Losses on Loans |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions) |
||||||||||||||||||
Allowance for loan losses |
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period |
|
$ |
252.5 |
|
|
$ |
246.9 |
|
|
$ |
232.9 |
|
|
$ |
247.1 |
|
|
$ |
278.9 |
|
Provision for (recovery of) credit losses (1) |
|
|
5.3 |
|
|
|
7.0 |
|
|
|
17.0 |
|
|
|
(14.1 |
) |
|
|
(30.4 |
) |
Recoveries of loans previously charged-off: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
|
2.4 |
|
|
|
1.8 |
|
|
|
0.1 |
|
|
|
0.4 |
|
|
|
0.5 |
|
Commercial real estate - non-owner occupied |
|
|
— |
|
|
|
0.3 |
|
|
|
— |
|
|
|
1.7 |
|
|
|
0.2 |
|
Commercial real estate - owner occupied |
|
|
— |
|
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
Construction and land development |
|
|
— |
|
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
Residential real estate |
|
|
— |
|
|
|
0.4 |
|
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
Consumer |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total recoveries |
|
|
2.4 |
|
|
|
2.5 |
|
|
|
0.3 |
|
|
|
2.2 |
|
|
|
0.7 |
|
Loans charged-off: |
|
|
|
|
|
|
|
|
|
|
||||||||||
Commercial and industrial |
|
|
2.6 |
|
|
|
3.8 |
|
|
|
3.3 |
|
|
|
2.3 |
|
|
|
0.1 |
|
Commercial real estate - non-owner occupied |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2.0 |
|
Commercial real estate - owner occupied |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Construction and land development |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Residential real estate |
|
|
— |
|
|
|
0.1 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Consumer |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Total loans charged-off |
|
|
2.6 |
|
|
|
3.9 |
|
|
|
3.3 |
|
|
|
2.3 |
|
|
|
2.1 |
|
Net loan charge-offs |
|
|
0.2 |
|
|
|
1.4 |
|
|
|
3.0 |
|
|
|
0.1 |
|
|
|
1.4 |
|
Balance, end of period |
|
$ |
257.6 |
|
|
$ |
252.5 |
|
|
$ |
246.9 |
|
|
$ |
232.9 |
|
|
$ |
247.1 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for unfunded loan commitments |
|
|
|
|
|
|
|
|
|
|
||||||||||
Balance, beginning of period |
|
$ |
37.6 |
|
|
$ |
32.1 |
|
|
$ |
31.3 |
|
|
$ |
32.6 |
|
|
$ |
37.0 |
|
Provision for (recovery of) credit losses (1) |
|
|
5.7 |
|
|
|
5.5 |
|
|
|
0.8 |
|
|
|
(1.3 |
) |
|
|
(4.4 |
) |
Balance, end of period (2) |
|
$ |
43.3 |
|
|
$ |
37.6 |
|
|
$ |
32.1 |
|
|
$ |
31.3 |
|
|
$ |
32.6 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Components of the allowance for credit losses on loans |
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for loan losses |
|
$ |
257.6 |
|
|
$ |
252.5 |
|
|
$ |
246.9 |
|
|
$ |
232.9 |
|
|
$ |
247.1 |
|
Allowance for unfunded loan commitments |
|
|
43.3 |
|
|
|
37.6 |
|
|
|
32.1 |
|
|
|
31.3 |
|
|
|
32.6 |
|
Total allowance for credit losses on loans |
|
$ |
300.9 |
|
|
$ |
290.1 |
|
|
$ |
279.0 |
|
|
$ |
264.2 |
|
|
$ |
279.7 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net charge-offs to average loans - annualized |
|
|
0.00 |
% |
|
|
0.02 |
% |
|
|
0.04 |
% |
|
|
0.00 |
% |
|
|
0.02 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for loan losses to funded HFI loans (3) |
|
|
0.63 |
% |
|
|
0.65 |
% |
|
|
0.71 |
% |
|
|
0.78 |
% |
|
|
0.86 |
% |
Allowance for credit losses to funded HFI loans (3) |
|
|
0.73 |
|
|
|
0.74 |
|
|
|
0.80 |
|
|
|
0.88 |
|
|
|
0.97 |
|
Allowance for loan losses to nonaccrual HFI loans |
|
|
283 |
|
|
|
348 |
|
|
|
316 |
|
|
|
242 |
|
|
|
218 |
|
Allowance for credit losses to nonaccrual HFI loans |
|
|
331 |
|
|
|
400 |
|
|
|
357 |
|
|
|
274 |
|
|
|
246 |
|
(1) |
The above tables reflect the provision for credit losses on funded and unfunded loans. Recovery of credit losses on investment securities totaled $2.0 million, resulting in an ending allowance for credit losses on investment securities of $3.2 million as of March 31, 2022. |
|
(2) |
The allowance for unfunded loan commitments is included as part of accrued interest payable and other liabilities on the balance sheet. |
|
(3) |
Ratio includes an allowance for credit losses of $9.5 million as of March 31, 2022 related to a $5.4 billion pool of loans covered under two separate credit linked note transactions. |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Asset Quality Metrics |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
Mar 31, 2022 |
|
Dec 31, 2021 |
|
Sep 30, 2021 |
|
Jun 30, 2021 |
|
Mar 31, 2021 |
||||||||||
|
|
(in millions) |
||||||||||||||||||
Nonaccrual loans |
|
$ |
91.0 |
|
|
$ |
72.6 |
|
|
$ |
78.1 |
|
|
$ |
96.3 |
|
|
$ |
113.6 |
|
Nonaccrual loans to funded HFI loans |
|
|
0.22 |
% |
|
|
0.19 |
% |
|
|
0.22 |
% |
|
|
0.32 |
% |
|
|
0.40 |
% |
Repossessed assets |
|
$ |
11.7 |
|
|
$ |
11.7 |
|
|
$ |
11.5 |
|
|
$ |
3.9 |
|
|
$ |
4.2 |
|
Nonaccrual loans and repossessed assets to total assets |
|
|
0.17 |
% |
|
|
0.15 |
% |
|
|
0.17 |
% |
|
|
0.20 |
% |
|
|
0.27 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Loans past due 90 days, still accruing |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
|
$ |
— |
|
Loans past due 90 days and still accruing to funded HFI loans |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
|
|
— |
% |
Loans past due 30 to 89 days, still accruing |
|
$ |
57.6 |
|
|
$ |
52.5 |
|
|
$ |
23.6 |
|
|
$ |
9.8 |
|
|
$ |
7.3 |
|
Loans past due 30 to 89 days, still accruing to funded HFI loans |
|
|
0.14 |
% |
|
|
0.13 |
% |
|
|
0.07 |
% |
|
|
0.03 |
% |
|
|
0.03 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Special mention loans |
|
$ |
349.9 |
|
|
$ |
331.1 |
|
|
$ |
364.5 |
|
|
$ |
404.8 |
|
|
$ |
474.2 |
|
Special mention loans to funded HFI loans |
|
|
0.85 |
% |
|
|
0.85 |
% |
|
|
1.05 |
% |
|
|
1.35 |
% |
|
|
1.65 |
% |
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Classified loans on accrual |
|
$ |
252.8 |
|
|
$ |
216.4 |
|
|
$ |
175.3 |
|
|
$ |
138.2 |
|
|
$ |
163.1 |
|
Classified loans on accrual to funded HFI loans |
|
|
0.61 |
% |
|
|
0.55 |
% |
|
|
0.50 |
% |
|
|
0.46 |
% |
|
|
0.57 |
% |
Classified assets |
|
$ |
365.1 |
|
|
$ |
300.7 |
|
|
$ |
264.9 |
|
|
$ |
238.5 |
|
|
$ |
280.9 |
|
Classified assets to total assets |
|
|
0.60 |
% |
|
|
0.54 |
% |
|
|
0.50 |
% |
|
|
0.49 |
% |
|
|
0.65 |
% |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Analysis of Average Balances, Yields and Rates |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
March 31, 2022 |
|
December 31, 2021 |
||||||||||||||||
|
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
||||||||
|
|
($ in millions) |
|
|
|
($ in millions) |
|
|
||||||||||||
Interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Loans held for sale |
|
$ |
6,521.5 |
|
|
$ |
50.4 |
|
3.14 |
% |
|
$ |
9,158.7 |
|
|
$ |
70.3 |
|
3.04 |
% |
Loans held for investment: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial |
|
|
17,487.0 |
|
|
|
165.9 |
|
3.91 |
|
|
|
17,087.5 |
|
|
|
169.5 |
|
4.01 |
|
CRE - non-owner occupied |
|
|
6,689.6 |
|
|
|
73.2 |
|
4.44 |
|
|
|
6,208.5 |
|
|
|
70.0 |
|
4.48 |
|
CRE - owner occupied |
|
|
1,859.1 |
|
|
|
22.8 |
|
5.07 |
|
|
|
1,970.9 |
|
|
|
24.2 |
|
4.96 |
|
Construction and land development |
|
|
3,090.0 |
|
|
|
41.7 |
|
5.47 |
|
|
|
3,016.0 |
|
|
|
43.9 |
|
5.78 |
|
Residential real estate |
|
|
10,384.6 |
|
|
|
80.2 |
|
3.13 |
|
|
|
8,282.3 |
|
|
|
60.3 |
|
2.89 |
|
Consumer |
|
|
51.6 |
|
|
|
0.5 |
|
3.95 |
|
|
|
43.5 |
|
|
|
0.4 |
|
3.85 |
|
Total HFI loans (1), (2), (3) |
|
|
39,561.9 |
|
|
|
384.3 |
|
3.98 |
|
|
|
36,608.7 |
|
|
|
368.3 |
|
4.03 |
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Securities - taxable |
|
|
5,534.0 |
|
|
|
29.9 |
|
2.19 |
|
|
|
5,442.7 |
|
|
|
25.6 |
|
1.86 |
|
Securities - tax-exempt |
|
|
2,136.2 |
|
|
|
18.1 |
|
4.29 |
|
|
|
2,175.3 |
|
|
|
18.1 |
|
4.12 |
|
Total securities (1) |
|
|
7,670.2 |
|
|
|
48.0 |
|
2.77 |
|
|
|
7,618.0 |
|
|
|
43.7 |
|
2.51 |
|
Cash and other |
|
|
2,057.7 |
|
|
|
1.8 |
|
0.36 |
|
|
|
1,274.6 |
|
|
|
1.0 |
|
0.31 |
|
Total interest earning assets |
|
|
55,811.3 |
|
|
|
484.5 |
|
3.58 |
|
|
|
54,660.0 |
|
|
|
483.3 |
|
3.57 |
|
Non-interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and due from banks |
|
|
244.8 |
|
|
|
|
|
|
|
252.6 |
|
|
|
|
|
||||
Allowance for credit losses |
|
|
(261.9 |
) |
|
|
|
|
|
|
(255.9 |
) |
|
|
|
|
||||
Bank owned life insurance |
|
|
180.5 |
|
|
|
|
|
|
|
179.5 |
|
|
|
|
|
||||
Other assets |
|
|
3,298.8 |
|
|
|
|
|
|
|
2,766.8 |
|
|
|
|
|
||||
Total assets |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
57,603.0 |
|
|
|
|
|
||||
Interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing transaction accounts |
|
$ |
7,743.1 |
|
|
$ |
2.7 |
|
0.14 |
% |
|
$ |
5,918.6 |
|
|
$ |
1.7 |
|
0.11 |
% |
Savings and money market |
|
|
18,131.0 |
|
|
|
9.6 |
|
0.21 |
|
|
|
17,215.2 |
|
|
|
9.1 |
|
0.21 |
|
Certificates of deposit |
|
|
1,920.2 |
|
|
|
1.8 |
|
0.38 |
|
|
|
2,073.6 |
|
|
|
2.0 |
|
0.38 |
|
Total interest-bearing deposits |
|
|
27,794.3 |
|
|
|
14.1 |
|
0.21 |
|
|
|
25,207.4 |
|
|
|
12.8 |
|
0.20 |
|
Short-term borrowings |
|
|
1,149.5 |
|
|
|
1.7 |
|
0.62 |
|
|
|
2,815.5 |
|
|
|
2.4 |
|
0.35 |
|
Long-term debt |
|
|
769.9 |
|
|
|
10.8 |
|
5.67 |
|
|
|
564.8 |
|
|
|
8.3 |
|
5.81 |
|
Qualifying debt |
|
|
896.0 |
|
|
|
8.4 |
|
3.81 |
|
|
|
978.2 |
|
|
|
9.2 |
|
3.72 |
|
Total interest-bearing liabilities |
|
|
30,609.7 |
|
|
|
35.0 |
|
0.46 |
|
|
|
29,565.9 |
|
|
|
32.7 |
|
0.44 |
|
Interest cost of funding earning assets |
|
|
|
0.26 |
|
|
|
|
|
|
0.24 |
|
||||||||
Non-interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Non-interest-bearing demand deposits |
|
|
22,580.0 |
|
|
|
|
|
|
|
22,487.0 |
|
|
|
|
|
||||
Other liabilities |
|
|
1,094.9 |
|
|
|
|
|
|
|
912.5 |
|
|
|
|
|
||||
Stockholders’ equity |
|
|
4,988.9 |
|
|
|
|
|
|
|
4,637.6 |
|
|
|
|
|
||||
Total liabilities and stockholders' equity |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
57,603.0 |
|
|
|
|
|
||||
Net interest income and margin (4) |
|
|
|
$ |
449.5 |
|
3.32 |
% |
|
|
|
$ |
450.6 |
|
3.33 |
% |
||||
(1) |
Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $8.0 million and $8.4 million for the three months ended March 31, 2022 and December 31, 2021, respectively. |
|
(2) |
Included in the yield computation are net loan fees of $29.1 million and $35.8 million for the three months ended March 31, 2022 and December 31, 2021, respectively. |
|
(3) |
Includes non-accrual loans. |
|
(4) |
Net interest margin is computed by dividing net interest income by total average earning assets, annualized on an actual/actual basis. |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Analysis of Average Balances, Yields and Rates |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
|
|
Three Months Ended |
||||||||||||||||||
|
|
March 31, 2022 |
|
March 31, 2021 |
||||||||||||||||
|
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
|
Average Balance |
|
Interest |
|
Average Yield / Cost |
||||||||
|
|
($ in millions) |
|
|
|
($ in millions) |
|
|
||||||||||||
Interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Loans held for sale |
|
$ |
6,521.5 |
|
|
$ |
50.4 |
|
3.14 |
% |
|
$ |
— |
|
|
$ |
— |
|
— |
% |
Loans held for investment: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Commercial and industrial |
|
|
17,487.0 |
|
|
|
165.9 |
|
3.91 |
|
|
|
13,951.6 |
|
|
|
151.0 |
|
4.48 |
|
CRE - non-owner-occupied |
|
|
6,689.6 |
|
|
|
73.2 |
|
4.44 |
|
|
|
5,649.7 |
|
|
|
65.1 |
|
4.68 |
|
CRE - owner-occupied |
|
|
1,859.1 |
|
|
|
22.8 |
|
5.07 |
|
|
|
2,094.2 |
|
|
|
24.4 |
|
4.83 |
|
Construction and land development |
|
|
3,090.0 |
|
|
|
41.7 |
|
5.47 |
|
|
|
2,484.8 |
|
|
|
35.6 |
|
5.81 |
|
Residential real estate |
|
|
10,384.6 |
|
|
|
80.2 |
|
3.13 |
|
|
|
2,507.7 |
|
|
|
21.9 |
|
3.55 |
|
Consumer |
|
|
51.6 |
|
|
|
0.5 |
|
3.95 |
|
|
|
34.5 |
|
|
|
0.4 |
|
5.39 |
|
Total HFI loans (1), (2), (3) |
|
|
39,561.9 |
|
|
|
384.3 |
|
3.98 |
|
|
|
26,722.5 |
|
|
|
298.4 |
|
4.59 |
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Securities - taxable |
|
|
5,534.0 |
|
|
|
29.9 |
|
2.19 |
|
|
|
4,531.4 |
|
|
|
18.5 |
|
1.66 |
|
Securities - tax-exempt |
|
|
2,136.2 |
|
|
|
18.1 |
|
4.29 |
|
|
|
1,980.9 |
|
|
|
15.5 |
|
3.99 |
|
Total securities (1) |
|
|
7,670.2 |
|
|
|
48.0 |
|
2.77 |
|
|
|
6,512.3 |
|
|
|
34.0 |
|
2.37 |
|
Other |
|
|
2,057.7 |
|
|
|
1.8 |
|
0.36 |
|
|
|
5,864.0 |
|
|
|
1.7 |
|
0.12 |
|
Total interest earning assets |
|
|
55,811.3 |
|
|
|
484.5 |
|
3.58 |
|
|
|
39,098.8 |
|
|
|
334.1 |
|
3.55 |
|
Non-interest earning assets |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Cash and due from banks |
|
|
244.8 |
|
|
|
|
|
|
|
166.1 |
|
|
|
|
|
||||
Allowance for credit losses |
|
|
(261.9 |
) |
|
|
|
|
|
|
(289.1 |
) |
|
|
|
|
||||
Bank owned life insurance |
|
|
180.5 |
|
|
|
|
|
|
|
176.6 |
|
|
|
|
|
||||
Other assets |
|
|
3,298.8 |
|
|
|
|
|
|
|
1,271.2 |
|
|
|
|
|
||||
Total assets |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
40,423.6 |
|
|
|
|
|
||||
Interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Interest-bearing transaction accounts |
|
$ |
7,743.1 |
|
|
$ |
2.7 |
|
0.14 |
% |
|
$ |
3,905.4 |
|
|
$ |
1.3 |
|
0.13 |
% |
Savings and money market accounts |
|
|
18,131.0 |
|
|
|
9.6 |
|
0.21 |
|
|
|
13,994.4 |
|
|
|
7.1 |
|
0.21 |
|
Certificates of deposit |
|
|
1,920.2 |
|
|
|
1.8 |
|
0.38 |
|
|
|
1,681.1 |
|
|
|
2.4 |
|
0.59 |
|
Total interest-bearing deposits |
|
|
27,794.3 |
|
|
|
14.1 |
|
0.21 |
|
|
|
19,580.9 |
|
|
|
10.8 |
|
0.22 |
|
Short-term borrowings |
|
|
1,149.5 |
|
|
|
1.7 |
|
0.62 |
|
|
|
24.8 |
|
|
|
0.1 |
|
1.13 |
|
Long-term debt |
|
|
769.9 |
|
|
|
10.8 |
|
5.67 |
|
|
|
— |
|
|
|
— |
|
— |
|
Qualifying debt |
|
|
896.0 |
|
|
|
8.4 |
|
3.81 |
|
|
|
547.2 |
|
|
|
5.9 |
|
4.39 |
|
Total interest-bearing liabilities |
|
|
30,609.7 |
|
|
|
35.0 |
|
0.46 |
|
|
|
20,152.9 |
|
|
|
16.8 |
|
0.34 |
|
Interest cost of funding earning assets |
|
|
|
0.26 |
|
|
|
|
|
|
0.18 |
|
||||||||
Non-interest-bearing liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Non-interest-bearing demand deposits |
|
|
22,580.0 |
|
|
|
|
|
|
|
15,972.6 |
|
|
|
|
|
||||
Other liabilities |
|
|
1,094.9 |
|
|
|
|
|
|
|
772.3 |
|
|
|
|
|
||||
Stockholders’ equity |
|
|
4,988.9 |
|
|
|
|
|
|
|
3,525.8 |
|
|
|
|
|
||||
Total liabilities and stockholders' equity |
|
$ |
59,273.5 |
|
|
|
|
|
|
$ |
40,423.6 |
|
|
|
|
|
||||
Net interest income and margin (4) |
|
|
|
$ |
449.5 |
|
3.32 |
% |
|
|
|
$ |
317.3 |
|
3.37 |
% |
||||
(1) |
Yields on loans and securities have been adjusted to a tax equivalent basis. The tax equivalent adjustment was $8.0 million and $8.0 million for the three months ended March 31, 2022 and 2021, respectively. |
|
(2) |
Included in the yield computation are net loan fees of $29.1 million and $32.9 million for the three months ended March 31, 2022 and 2021, respectively. |
|
(3) |
Includes non-accrual loans. |
|
(4) |
Net interest margin is computed by dividing net interest income by total average earning assets, annualized on an actual/actual basis. |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||
Operating Segment Results |
||||||||||||||||
Unaudited |
||||||||||||||||
|
||||||||||||||||
Balance Sheet: |
|
|
||||||||||||||
|
|
Consolidated Company |
|
Commercial |
|
Consumer Related |
|
Corporate & Other |
||||||||
At March 31, 2022: |
|
(dollars in millions) |
||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
||||||||
Cash, cash equivalents, and investment securities |
|
$ |
10,878.9 |
|
|
$ |
15.6 |
|
|
$ |
97.0 |
|
|
$ |
10,766.3 |
|
Loans held for sale |
|
|
4,761.6 |
|
|
|
— |
|
|
|
4,761.6 |
|
|
|
— |
|
Loans, net of deferred fees and costs |
|
|
41,119.1 |
|
|
|
25,794.8 |
|
|
|
15,324.3 |
|
|
|
— |
|
Less: allowance for credit losses |
|
|
(257.6 |
) |
|
|
(221.3 |
) |
|
|
(36.3 |
) |
|
|
— |
|
Total loans |
|
|
40,861.5 |
|
|
|
25,573.5 |
|
|
|
15,288.0 |
|
|
|
— |
|
Other assets acquired through foreclosure, net |
|
|
11.7 |
|
|
|
11.7 |
|
|
|
— |
|
|
|
— |
|
Goodwill and other intangible assets, net |
|
|
698.2 |
|
|
|
294.3 |
|
|
|
403.9 |
|
|
|
— |
|
Other assets |
|
|
3,364.2 |
|
|
|
253.2 |
|
|
|
1,594.8 |
|
|
|
1,516.2 |
|
Total assets |
|
$ |
60,576.1 |
|
|
$ |
26,148.3 |
|
|
$ |
22,145.3 |
|
|
$ |
12,282.5 |
|
Liabilities: |
|
|
|
|
|
|
|
|
||||||||
Deposits |
|
$ |
52,159.5 |
|
|
$ |
30,133.6 |
|
|
$ |
18,527.6 |
|
|
$ |
3,498.3 |
|
Borrowings and qualifying debt |
|
|
1,726.6 |
|
|
|
18.0 |
|
|
|
369.8 |
|
|
|
1,338.8 |
|
Other liabilities |
|
|
1,678.4 |
|
|
|
268.1 |
|
|
|
170.3 |
|
|
|
1,240.0 |
|
Total liabilities |
|
|
55,564.5 |
|
|
|
30,419.7 |
|
|
|
19,067.7 |
|
|
|
6,077.1 |
|
Allocated equity: |
|
|
5,011.6 |
|
|
|
2,661.8 |
|
|
|
1,752.1 |
|
|
|
597.7 |
|
Total liabilities and stockholders' equity |
|
$ |
60,576.1 |
|
|
$ |
33,081.5 |
|
|
$ |
20,819.8 |
|
|
$ |
6,674.8 |
|
Excess funds provided (used) |
|
|
— |
|
|
|
6,933.2 |
|
|
|
(1,325.5 |
) |
|
|
(5,607.7 |
) |
|
|
|
|
|
|
|
|
|
||||||||
No. of offices |
|
|
60 |
|
|
|
50 |
|
|
|
8 |
|
|
|
2 |
|
No. of full-time equivalent employees |
|
|
3,170 |
|
|
|
606 |
|
|
|
1,131 |
|
|
|
1,433 |
|
|
|
|
||||||||||||||
Income Statement: |
|
|
||||||||||||||
|
|
|
||||||||||||||
Three Months Ended March 31, 2022: |
|
(in millions) |
||||||||||||||
Net interest income |
|
$ |
449.5 |
|
|
$ |
334.9 |
|
|
$ |
183.2 |
|
|
$ |
(68.6 |
) |
Provision for (recovery of) credit losses |
|
|
9.0 |
|
|
|
0.6 |
|
|
|
10.5 |
|
|
|
(2.1 |
) |
Net interest income (expense) after provision for credit losses |
|
|
440.5 |
|
|
|
334.3 |
|
|
|
172.7 |
|
|
|
(66.5 |
) |
Non-interest income |
|
|
106.3 |
|
|
|
16.9 |
|
|
|
79.2 |
|
|
|
10.2 |
|
Non-interest expense |
|
|
248.6 |
|
|
|
114.4 |
|
|
|
125.0 |
|
|
|
9.2 |
|
Income (loss) before income taxes |
|
|
298.2 |
|
|
|
236.8 |
|
|
|
126.9 |
|
|
|
(65.5 |
) |
Income tax expense (benefit) |
|
|
58.1 |
|
|
|
56.2 |
|
|
|
30.4 |
|
|
|
(28.5 |
) |
Net income (loss) |
|
$ |
240.1 |
|
|
$ |
180.6 |
|
|
$ |
96.5 |
|
|
$ |
(37.0 |
) |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||
Operating Segment Results |
||||||||||||||||
Unaudited |
||||||||||||||||
|
||||||||||||||||
Balance Sheet: |
|
|
||||||||||||||
|
|
Consolidated Company |
|
Commercial |
|
Consumer Related |
|
Corporate |
||||||||
At December 31, 2021: |
|
(dollars in millions) |
||||||||||||||
Assets: |
|
|
|
|
|
|
|
|
||||||||
Cash, cash equivalents, and investment securities |
|
$ |
8,057.3 |
|
|
$ |
12.9 |
|
|
$ |
82.4 |
|
|
$ |
7,962.0 |
|
Loans held for sale |
|
|
5,635.1 |
|
|
|
— |
|
|
|
5,635.1 |
|
|
|
— |
|
Loans, net of deferred fees and costs |
|
|
39,075.4 |
|
|
|
25,092.4 |
|
|
|
13,983.0 |
|
|
|
— |
|
Less: allowance for credit losses |
|
|
(252.5 |
) |
|
|
(226.0 |
) |
|
|
(26.5 |
) |
|
|
— |
|
Total loans |
|
|
38,822.9 |
|
|
|
24,866.4 |
|
|
|
13,956.5 |
|
|
|
— |
|
Other assets acquired through foreclosure, net |
|
|
11.7 |
|
|
|
11.7 |
|
|
|
— |
|
|
|
— |
|
Goodwill and other intangible assets, net |
|
|
634.8 |
|
|
|
294.7 |
|
|
|
340.1 |
|
|
|
— |
|
Other assets |
|
|
2,820.8 |
|
|
|
253.8 |
|
|
|
1,278.1 |
|
|
|
1,288.9 |
|
Total assets |
|
$ |
55,982.6 |
|
|
$ |
25,439.5 |
|
|
$ |
21,292.2 |
|
|
$ |
9,250.9 |
|
Liabilities: |
|
|
|
|
|
|
|
|
||||||||
Deposits |
|
$ |
47,612.0 |
|
|
$ |
30,466.8 |
|
|
$ |
15,362.9 |
|
|
$ |
1,782.3 |
|
Borrowings and qualifying debt |
|
|
2,381.1 |
|
|
|
— |
|
|
|
353.2 |
|
|
|
2,027.9 |
|
Other liabilities |
|
|
1,026.9 |
|
|
|
233.4 |
|
|
|
138.2 |
|
|
|
655.3 |
|
Total liabilities |
|
|
51,020.0 |
|
|
|
30,700.2 |
|
|
|
15,854.3 |
|
|
|
4,465.5 |
|
Allocated equity: |
|
|
4,962.6 |
|
|
|
2,588.0 |
|
|
|
1,596.2 |
|
|
|
778.4 |
|
Total liabilities and stockholders' equity |
|
$ |
55,982.6 |
|
|
$ |
33,288.2 |
|
|
$ |
17,450.5 |
|
|
$ |
5,243.9 |
|
Excess funds provided (used) |
|
|
— |
|
|
|
7,848.7 |
|
|
|
(3,841.7 |
) |
|
|
(4,007.0 |
) |
|
|
|
|
|
|
|
|
|
||||||||
No. of offices |
|
|
58 |
|
|
|
50 |
|
|
|
7 |
|
|
|
1 |
|
No. of full-time equivalent employees |
|
|
3,139 |
|
|
|
628 |
|
|
|
1,173 |
|
|
|
1,338 |
|
|
|
|
||||||||||||||
Income Statement: |
|
|
||||||||||||||
|
|
|
||||||||||||||
Three Months Ended March 31, 2021: |
|
(in millions) |
||||||||||||||
Net interest income |
|
$ |
317.3 |
|
|
$ |
263.7 |
|
|
$ |
107.9 |
|
|
$ |
(54.3 |
) |
Provision for (recovery of) credit losses |
|
|
(32.4 |
) |
|
|
(36.3 |
) |
|
|
1.7 |
|
|
|
2.2 |
|
Net interest income (expense) after provision for credit losses |
|
|
349.7 |
|
|
|
300.0 |
|
|
|
106.2 |
|
|
|
(56.5 |
) |
Non-interest income |
|
|
19.7 |
|
|
|
19.2 |
|
|
|
0.5 |
|
|
|
— |
|
Non-interest expense |
|
|
135.0 |
|
|
|
98.3 |
|
|
|
35.2 |
|
|
|
1.5 |
|
Income (loss) before income taxes |
|
|
234.4 |
|
|
|
220.9 |
|
|
|
71.5 |
|
|
|
(58.0 |
) |
Income tax expense (benefit) |
|
|
41.9 |
|
|
|
52.7 |
|
|
|
17.5 |
|
|
|
(28.3 |
) |
Net income (loss) |
|
$ |
192.5 |
|
|
$ |
168.2 |
|
|
$ |
54.0 |
|
|
$ |
(29.7 |
) |
Western Alliance Bancorporation and Subsidiaries |
||||||||||||||||||||
Reconciliation of Non-GAAP Financial Measures |
||||||||||||||||||||
Unaudited |
||||||||||||||||||||
Pre-Provision Net Revenue by Quarter: |
|
|||||||||||||||||||
|
Three Months Ended |
|||||||||||||||||||
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|||||||||||
|
(in millions) |
|||||||||||||||||||
Net interest income |
$ |
449.5 |
|
|
$ |
450.6 |
|
|
$ |
410.4 |
|
|
$ |
370.5 |
|
|
$ |
317.3 |
|
|
Total non-interest income |
|
106.3 |
|
|
|
110.4 |
|
|
|
138.1 |
|
|
|
136.0 |
|
|
|
19.7 |
|
|
Net revenue |
$ |
555.8 |
|
|
$ |
561.0 |
|
|
$ |
548.5 |
|
|
$ |
506.5 |
|
|
$ |
337.0 |
|
|
Total non-interest expense |
|
248.6 |
|
|
|
237.8 |
|
|
|
233.8 |
|
|
|
244.8 |
|
|
|
135.0 |
|
|
Pre-provision net revenue (1) |
$ |
307.2 |
|
|
$ |
323.2 |
|
|
$ |
314.7 |
|
|
$ |
261.7 |
|
|
$ |
202.0 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
|||||||||||
Provision for (recovery of) credit losses |
|
9.0 |
|
|
|
13.2 |
|
|
|
12.3 |
|
|
|
(14.5 |
) |
|
|
(32.4 |
) |
|
Income tax expense |
|
58.1 |
|
|
|
64.0 |
|
|
|
65.5 |
|
|
|
52.4 |
|
|
|
41.9 |
|
|
Net income |
$ |
240.1 |
|
|
$ |
246.0 |
|
|
$ |
236.9 |
|
|
$ |
223.8 |
|
|
$ |
192.5 |
|
|
Efficiency Ratio by Quarter: |
|
|||||||||||||||||||
Total non-interest expense |
$ |
248.6 |
|
|
$ |
237.8 |
|
|
$ |
233.8 |
|
|
$ |
244.8 |
|
|
$ |
135.0 |
|
|
Divided by: |
|
|
|
|
|
|
|
|
|
|||||||||||
Total net interest income |
|
449.5 |
|
|
|
450.6 |
|
|
|
410.4 |
|
|
|
370.5 |
|
|
|
317.3 |
|
|
Plus: |
|
|
|
|
|
|
|
|
|
|||||||||||
Tax equivalent interest adjustment |
|
8.0 |
|
|
|
8.4 |
|
|
|
8.5 |
|
|
|
8.5 |
|
|
|
8.0 |
|
|
Total non-interest income |
|
106.3 |
|
|
|
110.4 |
|
|
|
138.1 |
|
|
|
136.0 |
|
|
|
19.7 |
|
|
|
$ |
563.8 |
|
|
$ |
569.4 |
|
|
$ |
557.0 |
|
|
$ |
515.0 |
|
|
$ |
345.0 |
|
|
Efficiency ratio - tax equivalent basis (2) |
|
44.1 |
% |
|
|
41.8 |
% |
|
|
42.0 |
% |
|
|
47.5 |
% |
|
|
39.1 |
% |
|
| Tangible Common Equity: |
|
|||||||||||||||||||
|
3/31/2022 |
|
12/31/2021 |
|
9/30/2021 |
|
6/30/2021 |
|
3/31/2021 |
|||||||||||
|
(dollars and shares in millions) |
|||||||||||||||||||
Total stockholders' equity |
$ |
5,011.6 |
|
|
$ |
4,962.6 |
|
|
$ |
4,514.0 |
|
|
$ |
4,034.5 |
|
|
$ |
3,712.7 |
|
|
Less: |
|
|
|
|
|
|
|
|
|
|||||||||||
Goodwill and intangible assets |
|
698.2 |
|
|
|
634.8 |
|
|
|
608.4 |
|
|
|
610.7 |
|
|
|
298.0 |
|
|
Preferred stock |
|
294.5 |
|
|
|
294.5 |
|
|
|
294.5 |
|
|
|
— |
|
|
|
— |
|
|
Total tangible common equity |
|
4,018.9 |
|
|
|
4,033.3 |
|
|
|
3,611.1 |
|
|
|
3,423.8 |
|
|
|
3,414.7 |
|
|
Plus: deferred tax - attributed to intangible assets |
|
2.0 |
|
|
|
1.9 |
|
|
|
1.8 |
|
|
|
1.8 |
|
|
|
1.4 |
|
|
Total tangible common equity, net of tax |
$ |
4,020.9 |
|
|
$ |
4,035.2 |
|
|
$ |
3,612.9 |
|
|
$ |
3,425.6 |
|
|
$ |
3,416.1 |
|
|
Total assets |
$ |
60,576.1 |
|
|
$ |
55,982.6 |
|
|
$ |
52,775.1 |
|
|
$ |
49,069.0 |
|
|
$ |
43,397.0 |
|
|
Less: goodwill and intangible assets, net |
|
698.2 |
|
|
|
634.8 |
|
|
|
608.4 |
|
|
|
610.7 |
|
|
|
298.0 |
|
|
Tangible assets |
|
59,877.9 |
|
|
|
55,347.8 |
|
|
|
52,166.7 |
|
|
|
48,458.3 |
|
|
|
43,099.0 |
|
|
Plus: deferred tax - attributed to intangible assets |
|
2.0 |
|
|
|
1.9 |
|
|
|
1.8 |
|
|
|
1.8 |
|
|
|
1.4 |
|
|
Total tangible assets, net of tax |
$ |
59,879.9 |
|
|
$ |
55,349.7 |
|
|
$ |
52,168.5 |
|
|
$ |
48,460.1 |
|
|
$ |
43,100.4 |
|
|
Tangible common equity ratio (3) |
|
6.7 |
% |
|
|
7.3 |
% |
|
|
6.9 |
% |
|
|
7.1 |
% |
|
|
7.9 |
% |
|
Common shares outstanding |
|
108.3 |
|
|
|
106.6 |
|
|
|
104.2 |
|
|
|
104.2 |
|
|
|
103.4 |
|
|
Tangible book value per share, net of tax (3) |
$ |
37.13 |
|
|
$ |
37.84 |
|
|
$ |
34.67 |
|
|
$ |
32.86 |
|
|
$ |
33.02 |
||
Non-GAAP Financial Measures Footnotes |
|||||||||
|
|||||||||
(1) |
We believe this non-GAAP measurement is a key indicator of the earnings power of the Company. |
||||||||
(2) |
We believe this non-GAAP ratio provides a useful metric to measure the efficiency of the Company. |
||||||||
(3) |
We believe this non-GAAP metric provides an important metric with which to analyze and evaluate financial condition and capital strength. In addition, we believe that use of tangible equity and tangible assets improves the comparability to other institutions that have not engaged in acquisitions that resulted in recorded goodwill and other intangibles. |
||||||||
