First Financial Bankshares Announces Second Quarter Earnings Results

·13 mins read

ABILENE, Texas , July 23, 2020 /PRNewswire/ --  First Financial Bankshares, Inc. (NASDAQ: FFIN) today reported earnings for the second quarter of 2020 of $53.47 million when compared with earnings of $42.09 million in the same quarter last year and $37.23 million in the first quarter of 2020. Basic and diluted earnings per share were $0.38 for the second quarter of 2020 compared with $0.31 in the same quarter a year ago and $0.26 for the first quarter of 2020.

All amounts for the three and six-months ended June 30, 2020 , include the results of the Company's acquisition of TB&T Bancshares, Inc. and its wholly-owned subsidiary, The Bank & Trust of Bryan/College Station, Texas which was effective January 1, 2020 . As of the acquisition date, The Bank & Trust of Bryan/College Station had total assets of $631.26 million , total loans of $455.18 million and total deposits of $548.38 million . The Company recorded a $7.65 million discount on the acquired loan portfolio.

"We are very pleased with our second quarter earnings performance, especially in the current environment of a pandemic, the shutdown of the economy and lower oil and gas prices," said F. Scott Dueser , Chairman, President and CEO. "We could not be prouder of our team that responded quickly to the SBA-PPP program and funded nearly 6,500 loans totaling over $700 million which not only took care of our existing customers but brought many new loan and depository customers from other banks that were not as well prepared to offer the PPP program or chose not to participate at all. We responded to the pandemic by protecting our employees and customers while keeping our doors open and working very long hours to make sure that our customers were taken care of well. At the same time, we had record mortgage closings. Although it was a tough quarter, we navigated well through the challenges and continue to stay TEXAS STRONG."

Overall, net interest income for the second quarter of 2020 increased $8.33 million and $17.62 million from the first quarter of 2020 and the second quarter of 2019, respectively. Net interest income was positively impacted by the Company's participation in the Small Business Administration Paycheck Protection Program (PPP), an increase in investment securities and the reduction in interest rates paid on deposits. The following table summarizes key net interest income and net interest margin metrics for the second and first quarters of 2020 and the second quarter of 2019:


Three Months Ended

(dollars in thousands)


 June 30,
2020



 March 31,
2020



 June 30,
2019


Interest income

$

92,197


$

88,100


$

79,576


Interest expense


2,962



7,198



7,961


Net interest income


89,235



80,902



71,615


Tax equivalent adjustment (TE)

2,902



1,834



1,664


Net interest income (TE)                    $

92,137


$

82,736


$

73,279












Net interest margin


3.78

%


3.91

%


3.98

%

Impact of accretion on acquired loans

0.04



0.02



0.02


Yield on interest-earning assets

3.90



4.25



4.41


Rate on interest-bearing liabilities

0.20



0.54



0.70












Average earning assets

$

9,801,223


$

8,501,225


$

7,389,258


The Company processed approximately 6,500 PPP loans and funded $703.12 million ( $586.03 million in average balances for the second quarter of 2020). The Company received PPP related origination fees totaling approximately $26.07 million and incurred incremental direct origination costs of $3.62 million , both of which have been deferred and are being amortized over the shorter of the repayment period or 24 months, the contractual life of these loans, totaling $2.83 million in the second quarter of 2020.

The provision for loan losses was $8.70 million in the second quarter of 2020 compared with $9.85 million in the first quarter of 2020 and $600 thousand in the second quarter of 2019. The Company's provision for loan losses in the second quarter of 2020 continues to reflect uncertainty surrounding the economic impact caused by the coronavirus (COVID-19) and the decline in oil and gas prices. At June 30, 2020 , the allowance for loan losses totaled $68.95 million , or 1.31 percent of loans held for investment, or 1.52 percent of loans held for investment excluding PPP loans, compared to $60.44 million at March 31, 2020 , or 1.30 percent of loans held for investment.

Accounting Standards Update (ASU) 2016-13, "Financial Instruments Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments" (CECL), became effective for the Company on January 1, 2020 . However, the COVID-19 related legislation included an option for entities to delay the implementation of CECL until the earlier of the termination date of the national emergency declaration by the President, or December 31, 2020 . The Company elected to delay implementation of CECL and has calculated and recorded the provision for loan losses for the quarter under the incurred loss model that existed prior to CECL.  The CECL related modeling continues to be refined as the Company moves to adopt CECL later this year. 

Nonperforming assets as a percentage of loans and foreclosed assets totaled 0.75 percent at June 30, 2020 , compared with 0.86 percent at March 31, 2020 , and 0.69 percent at June 30, 2019 . Classified loans totaled $200.90 million at June 30, 2020 , compared to $190.35 million at March 31, 2020 , and $126.04 million at June 30, 2019 .

Beginning in mid-March of 2020, the Company began offering deferral and modification of principle and/or interest payments to selected borrowers on a case-by-case basis. At June 30, 2020 , the Company had approximately 2,200 loans totaling $468.54 million in outstanding loans subject to deferral and modification agreements, representing 10.30 percent of outstanding loans held for investment, excluding PPP loans.

At June 30, 2020 , loans with oil and gas industry exposure, excluding PPP loans, totaled $128.14 million , or 2.78 percent of total loans, excluding PPP loans. These loans comprised $28.37 million of classified loans including $3.70 million in nonperforming loan totals. At June 30, 2020 , the Company's allowance for loan loss specific reserves on its total oil and gas loan portfolio totaled 4.17 percent of total oil and gas loans, excluding PPP loans, and net charge-offs totaled $195 thousand and $801 thousand for the three and six-months ended June 30, 2020 , respectively.

In addition, at June 30, 2020 , loan balances in the retail/restaurant/hospitality industries, excluding PPP loans, totaled $338.76 million or 7.34 percent of the Company's total loans, excluding PPP loans. These loans comprised $15.84 million of classified loans including $5.75 million in nonperforming loan totals.   Net charge-offs related to this portfolio totaled $178 thousand and $308 thousand for the three and six-months ended June 30, 2020 , respectively.

Noninterest income in the second quarter of 2020 rose to $36.92 million compared with $27.98 million in the same quarter a year ago. Trust fees decreased $66 thousand to $6.96 million in the second quarter of 2020 compared with $7.03 million in the same quarter last year. The fair value of trust assets managed increased to $6.78 billion from $6.19 billion a year ago. Service charges on deposits decreased to $4.32 million compared with $5.37 million in the same quarter a year ago due largely to the lack of economic activity caused by the pandemic during the second quarter of 2020. ATM, interchange and credit card fees increased 9.48 percent to $8.05 million compared with $7.35 million in the same quarter last year due to continued growth in the number of debit cards issued and our Bryan/College Station acquisition.  Mortgage related income increased 189.68 percent to $13.68 million compared with $4.72 million in the same quarter a year ago due to a significant increase in the volume of loans originated.  The Company's mortgage loan pipeline increased to $182.14 million as of June 30, 2020 , when compared to $65.90 million at June 30, 2019 . Also included in noninterest income during the second quarter of 2020 was a gain on sale of securities of $1.51 million compared to $676 thousand from the same quarter a year ago.

Noninterest expense for the second quarter of 2020 totaled $53.32 million compared to $48.30 million in the second quarter of 2019. The Company's efficiency ratio in the second quarter of 2020 was 41.32 percent compared with 47.71 percent in the same quarter last year. Included in noninterest expense in the second quarter of 2020 were salary and employee benefit costs of $30.81 million compared to $27.39 million in the same quarter a year ago, primarily driven by the Bryan/College Station acquisition, annual merit-based pay increases and higher mortgage related commissions, offset by the deferral of $3.62 million in PPP loan origination costs. Also included in noninterest expense in the second quarter of 2020 were conversion related costs totaling $583.46 thousand as a result of the Bryan/College Station acquisition.

As of June 30, 2020 , consolidated assets for the Company totaled $10.34 billion compared to $9.70 billion at March 31, 2020 and $7.98 billion at June 30, 2019 . Loans totaled $5.32 billion at June 30, 2020 , compared with loans of $4.68 billion at March 31, 2020 , and $4.06 billion at June 30, 2019 . Deposits totaled $8.16 billion at June 30, 2020 , compared to $7.21 billion at March 31, 2020 , and $6.37 billion at June 30, 2019 . Additional information related to the Company's loan and deposit balances are as follows:


Three Months Ended

(dollars in thousands)

               Loans

 June 30, 2020



 March 31, 2020



 June 30, 2019


Loans HFI, excluding PPP loans

$

4,549,950


$

4,639,389


$

4,040,952


PPP loans, net of unearned income

703,117



-



-


Total loans held-for-investment


5,253,067



4,639,389



4,040,952


Loans held-for-sale


66,370



42,034



22,305


Allowance for loan losses

68,947



60,440



51,820












              Deposits










Noninterest-bearing deposits

$

2,941,679


$

2,288,597


$

2,167,552


Interest-bearing deposits without
stated maturity

4,749,841



4,456,061



3,768,703


Time deposits


466,122



465,808



433,511


Total deposits

$

8,157,642


$

7,210,466


$

6,369,766


Shareholders' equity rose to $1.58 billion as of June 30, 2020 , compared with $1.53 billion at March 31, 2020 , and $1.16 billion at June 30, 2019 , primarily from the Bryan/College Station acquisition. At June 30, 2020 , the Company's capital ratios significantly exceeded all well-capitalized requirements.

About First Financial Bankshares:

Headquartered in Abilene, Texas , First Financial Bankshares is a financial holding company that through its subsidiary, First Financial Bank, N.A., operates multiple banking regions with 78 locations in Texas , including Abilene , Acton , Albany , Aledo , Alvarado , Beaumont , Boyd , Bridgeport , Brock , Bryan , Burleson , College Station , Cisco, Cleburne , Clyde , Conroe , Cut and Shoot, Decatur , Eastland , El Campo , Fort Worth , Fulshear , Glen Rose , Granbury , Grapevine , Hereford , Huntsville , Keller , Kingwood , Magnolia , Mauriceville , Merkel , Midlothian , Mineral Wells , Montgomery , Moran , New Waverly , Newton , Odessa , Orange , Palacios , Port Arthur , Ranger , Rising Star,  Roby,  San  Angelo,  Southlake,  Stephenville,  Sweetwater , Tomball , Trent , Trophy Club , Vidor , Waxahachie , Weatherford , Willis , and Willow Park . The Company also operates First Financial Trust & Asset Management Company, N.A., with nine locations and First Technology Services, Inc., a technology operating company.

The Company is listed on The NASDAQ Global Select Market under the trading symbol FFIN.  For more information about First Financial, please visit our website at http://www.ffin.com .

Certain statements contained herein may be considered "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These statements are based upon the belief of the Company's management, as well as assumptions made beyond information currently available to the Company's management, and may be, but not necessarily are, identified by such words as "expect", "plan", "anticipate", "target", "forecast" and "goal".  Because such "forward-looking statements" are subject to risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements.  Factors that could cause actual results to differ materially from the Company's expectations include competition from other financial institutions and financial holding companies; the effects of and changes in trade, monetary and fiscal policies and laws, including interest rate policies of the  Federal Reserve Board; changes in the demand for loans; fluctuations in value of collateral and loan reserves; inflation, interest rate, market and monetary fluctuations; changes in consumer spending, borrowing and savings habits; and acquisitions and integration of acquired businesses, and similar variables.   Other key risks are described in the Company's reports filed with the Securities and Exchange Commission, which may be obtained under "Investor Relations-Documents/Filings" on the Company's Web site or by writing or calling the Company at 325.627.7155. Except as otherwise stated in this news announcement, the Company does not undertake any obligation to update publicly or revise any forward-looking statements because of new information, future events or otherwise.

 

FIRST FINANCIAL BANKSHARES, INC.

CONSOLIDATED FINANCIAL SUMMARY  (UNAUDITED) 

(In thousands, except share and per share data)




















As of




2020



2019


ASSETS


 June 30, 



 Mar. 31, 



 Dec. 31,  



 Sept. 30, 



 June 30, 


Cash and due from banks

$

188,373


$

191,486


$

231,534


$

198,855


$

178,345


Interest-bearing deposits in banks


196,426



76,378



47,920



31,410



128,652


Interest-bearing time deposits in banks


-



-



-



-



960


Federal funds sold


-



-



3,150



-



700


Investment securities


4,118,863



4,107,069



3,413,317



3,397,156



3,259,492


Loans



5,319,437



4,681,423



4,223,197



4,140,815



4,063,257



Allowance for loan losses


(68,947)



(60,440)



(52,499)



(51,889)



(51,820)


Net loans


5,250,490



4,620,983



4,170,698



4,088,926



4,011,437


Premises and equipment


138,933



139,554



131,022



132,367



134,322


Goodwill


313,481



312,842



171,565



171,565



171,565


Other intangible assets


5,884



6,392



2,102



2,340



2,586


Other assets


127,367



246,387



90,919



91,220



91,234



Total assets

$

10,339,817


$

9,701,091


$

8,262,227


$

8,113,839


$

7,979,293



















LIABILITIES AND SHAREHOLDERS'  EQUITY
















Noninterest-bearing deposits

$

2,941,679


$

2,288,597


$

2,065,128


$

2,210,997


$

2,167,552


Interest-bearing deposits


5,215,963



4,921,869



4,538,678



4,186,686



4,202,214



Total deposits


8,157,642



7,210,466



6,603,806



6,397,683



6,369,766


Borrowings


449,224



857,871



381,356



400,155



362,005


Other liabilities


150,502

...



106,392



49,868



110,903



82,774


Shareholders' equity


1,582,449



1,526,362



1,227,197



1,205,098



1,164,748



Total liabilities and shareholders' equity

$

10,339,817


$

9,701,091


$

8,262,227


$

8,113,839


$

7,979,293





















Quarter Ended




2020



2019


INCOME STATEMENTS


June 30,



Mar. 31,



Dec. 31,



Sept. 30,



June 30,


Interest income

$

92,197


$

88,100


$

82,123


$

80,591


$

79,576


Interest expense


2,962



7,198



6,801



7,953



7,961


Net interest income


89,235



80,902



75,322



72,638



71,615


Provision for loan losses


8,700



9,850



950



450



600


Net interest income after provision for loan losses


80,535



71,052



74,372



72,188



71,015


Noninterest income


36,919



28,732



27,347



28,669



27,976


Noninterest expense


53,321



55,318



51,938



48,910



48,304



Net income before income taxes


64,133



44,466



49,781



51,947



50,687


Income tax expense


10,663



7,234



8,393



8,867



8,594



Net income

$

53,470


$

37,232


$

41,388


$

43,080


$

42,093



















PER COMMON SHARE DATA
















Net income - basic

$

0.38


$

0.26


$

0.30


$

0.32


$

0.31


Net income - diluted


0.38



0.26



0.30



0.32



0.31


Cash dividends declared


0.13



0.12



0.12



0.12



0.12


Book Value


11.14



10.73



9.03



8.87



8.58


Market Value

$

28.89


$

26.84


$

35.10


$

33.33


$

30.79


Shares outstanding - end of period


142,035,396



142,314,930



135,891,755



135,822,456



135,809,224


Average outstanding shares - basic


141,973,522



142,118,864



135,747,381



135,693,901



135,650,599


Average outstanding shares - diluted


142,454,083



142,735,208



136,539,286



136,369,328



136,218,235



















PERFORMANCE RATIOS
















Return on average assets


2.06

%


1.63

%


2.01

%


2.15

%


2.14

%

Return on average equity


14.00



10.11



13.56



14.46



15.04


Return on average tangible equity


17.67



12.89



15.83



16.96



17.81


Net interest margin (tax equivalent)


3.78



3.91



3.99



3.94



3.98


Efficiency ratio


41.32



49.63



49.75



47.54



47.71






































Six Months Ended












June 30,










INCOME STATEMENTS


2020



2019











Interest income

$

180,297


$

156,477











Interest expense


10,159



15,348











Net interest income


170,138



141,129











Provision for loan losses


18,550



1,565











Net interest income after provision for loan losses


151,588



139,564











Noninterest income


65,651



52,413











Noninterest expense


108,640



95,673












Net income before income taxes


108,599



96,304











Income tax expense


17,898



15,959












Net income

$

90,701


$

80,345




























PER COMMON SHARE DATA
















Net income - basic

$

0.64


$

0.59











Net income - diluted


0.64



0.59











Cash dividends declared


0.25



0.23











Book Value


11.14



8.58











Market Value

$

28.89


$

30.79











Shares outstanding - end of period


142,035,396



135,809,224











Average outstanding shares - basic


142,045,779



135,572,859











Average outstanding shares - diluted


142,519,308



136,195,811




























PERFORMANCE RATIOS
















Return on average assets


1.86

%


2.08

%










Return on average equity


12.09



14.78











Return on average tangible equity


15.33



17.58











Net interest margin (tax equivalent)


3.84



3.99











Efficiency ratio


45.17



48.56











FIRST FINANCIAL BANKSHARES, INC.

SELECTED FINANCIAL DATA (UNAUDITED)

(In thousands)




















Quarter Ended




2020



2019


ALLOWANCE FOR LOAN LOSSES


June 30,



Mar. 31,



Dec. 31,



Sept. 30,



June 30,


Balance at beginning of period

$

60,440


$

52,499


$

51,889


$

51,820


$

51,585


Loans charged off


(894)



(2,227)



(834)



(767)



(1,061)


Loan recoveries


701



318



494



386



696


Net recoveries (charge-offs)


(193)



(1,909)



(340)



(381)



(365)


Provision for loan losses


8,700



9,850



950



450



600


Balance at end of period

$

68,947


$

60,440


$

52,499


$

51,889


$

51,820



















Allowance for loan losses /
















period-end loans


1.30

%


1.29

%


1.24

%


1.25

%


1.28

%

Allowance for loan losses /
















nonperforming loans


174.83



153.16



212.02



200.75



190.66


Net charge-offs / average loans
















(annualized)


0.01



0.16



0.03



0.04



0.04



















SUMMARY OF LOAN CLASSIFICATION
















Special Mention

$

63,489


$

87,099


$

63,371


$

46,300


$

51,490


Substandard


137,408



103,249



77,284



72,904



74,550


Doubtful


-



-



-



-



-



Total classified loans

$

200,897


$

190,348


$

140,655


$

119,204


$

126,040



















NONPERFORMING ASSETS
















Nonaccrual loans

$

39,320


$

39,226


$

24,582


$

25,717


$

26,408


Accruing troubled debt restructured loans


25



26



26



27



471


Accruing loans 90 days past due


92



209



153



104



300



Total nonperforming loans


39,437



39,461



24,761



25,848



27,179


Foreclosed assets


287



983



1,009



1,364



681



Total nonperforming assets

$

39,724


$

40,444


$

25,770


$

27,212


$

27,860



















As a % of loans and foreclosed assets


0.75

%


0.86

%


0.61

%


0.66

%


0.69

%

As a % of end of period total assets


0.38



0.42



0.31



0.34



0.35



















OIL AND GAS PORTFOLIO INFORMATION *
















Oil and gas loans

$

128,143


$

117,223


$

119,789


$

122,908


$

107,097


Oil and gas loans as a % of total loans


2.78

%


2.50

%


2.84

%


2.97

%


2.64

%

Classified oil and gas loans


28,366



22,032



7,041



7,953



3,438


Nonaccrual oil and gas loans


3,702



3,477



481



519



621


Net charge-offs for oil and gas loans


195



606



-



-



-


Allowance for oil and gas loans as a % of oil and gas loans


4.17

%


4.46

%


2.54

%


2.87

%


2.95

%

* Excluding PPP loans

































RETAIL/RESTAURANT/HOSPITALITY PORTFOLIO INFORMATION *















Retail loans

$

216,244


$

217,380











Restaurant loans


46,418



25,570











Hotel loans


51,957



46,690











Other hospitality loans


23,230



8,470











Travel loans


908



937












Total Retail/Restaurant/Hospitality loans

$

338,757


$

299,047




























Retail/Restaurant/ Hospitality loans as a % of total loans


7.34

%


6.39

%










Classifieds Retail/Restaurant/Hospitality loans

$

15,837


$

5,680











Nonaccruals Retail/Restaurant/ Hospitality loans


5,752



867











Net Charge-offs for Retail/Restaurant/Hospitality loans


178



130











* Excluding PPP loans

































CAPITAL RATIOS
















Common equity Tier 1 capital ratio


20.78

%


19.55

%


20.06

%


20.05

%


20.04

%

Tier 1 capital ratio


20.78



19.55



20.06



20.05



20.04


Total capital ratio


22.03



20.65



21.13



21.14



21.16


Tier 1 leverage ratio


11.25



12.49



12.60



12.58



12.29


Tangible Common Equity ratio


12.00



13.09



12.43



12.94



12.31


Equity/Assets ratio


15.30



15.73



14.85



14.85



14.60






































Quarter Ended




2020



2019


NONINTEREST INCOME


June 30,



Mar. 31,



Dec. 31,



Sept. 30,



June 30,


Trust fees

$

6,961


$

7,437


$

7,344


$

7,051


$

7,027


Service charges on deposits


4,318



5,915



5,861



5,629



5,374


ATM, interchange and credit card fees


8,049



7,400



7,943



7,728



7,352


Gain on sale and fees on mortgage loans


13,676



3,852



4,216



5,733



4,721


Net gain on sale of available-for-sale securities


1,512



2,062



5



52



676


Net gain (loss) on sale of foreclosed assets


52



1



81



71



53


Net gain (loss) on sale of assets


(24)



116



78



235



6


Interest on loan recoveries


154



265



277



575



903


Other noninterest income


2,221



1,684



1,542



1,595



1,864



Total noninterest income

$

36,919


$

28,732


$

27,347


$

28,669


$

27,976



















NONINTEREST EXPENSE
















Salaries, commissions and employee benefits, excluding profit sharing

$

28,836


$

28,670


$

27,175


$

27,030


$

25,510


Cost related to termination of pension plan


-



-



1,700



-



-


Profit sharing expense


1,978



972



2,766



1,520



1,884


Net occupancy expense


3,101



3,027



2,784



2,830



2,779


Equipment expense


2,010



2,075



2,043



2,225



2,331


FDIC insurance premiums


463



45



-



15



538


ATM, interchange and credit card expenses


2,610



2,985



2,419



2,627



2,427


Legal, tax and professional fees


2,931



2,921



2,353



2,274



2,302


Audit fees


739



411



233



341



455


Printing, stationery and supplies


533



566



465



480



502


Amortization of intangible assets


508



509



238



246



264


Advertising and public relations


1,011



1,195



1,791



1,745



1,630


Operational and other losses


728



576



626



507



480


Software amortization and expense


2,010



2,024



2,158



1,767



1,783


Other noninterest expense


5,863



9,342



5,187



5,303



5,419



Total noninterest expense

$

53,321


$

55,318


$

51,938


$

48,910


$

48,304



















TAX EQUIVALENT YIELD ADJUSTMENT

$

2,902


$

1,834


$

1,732


$

1,575


$

1,664






































Six Months Ended












June 30,










NONINTEREST INCOME


2020



2019











Trust fees

$

14,398


$

14,006











Service charges on deposits


10,233



10,550











ATM, interchange and credit card fees


15,449



14,192











Gain on sale and fees on mortgage loans


17,528



8,195











Net gain (loss) on sale of available-for-sale securities


3,574



676











Net gain (loss) on sale of foreclosed assets


53



122











Net gain (loss) on sale of assets


92



6











Interest on loan recoveries


419



1,241











Other noninterest income


3,905



3,425












Total noninterest income

$

65,651


$

52,413




























NONINTEREST EXPENSE
















Salaries, commissions and employee benefits, excluding profit sharing

$

57,506


$

50,543











Loss from partial settlement of pension plan


-



900











Profit sharing expense


2,950



3,375











Net occupancy expense


6,128



5,542











Equipment expense


4,085



4,784











FDIC insurance premiums


508



1,076











ATM, interchange and credit card expenses


5,595



4,810











Legal, tax and professional fees


5,852



4,457











Audit fees


1,150



872











Printing, stationery and supplies


1,099



868











Amortization of intangible assets


1,017



532











Advertising and public relations


2,206



3,278











Operational and other losses


1,304



746











Software amortization and expense


4,034



3,380











Other noninterest expense


15,206



10,510












Total noninterest expense

$

108,640


$

95,673




























TAX EQUIVALENT YIELD ADJUSTMENT

$

4,735


$

3,484











FIRST FINANCIAL BANKSHARES, INC.

SELECTED FINANCIAL DATA (UNAUDITED)

(In thousands)


























Three Months Ended




Three Months Ended



June 30 2020




Mar. 31 2020




Average



Tax Equivalent



Yield /






Average



Tax Equivalent



Yield /





Balance



Interest



Rate






Balance



Interest



Rate


Interest-earning assets:






















Federal funds sold

$

840


$

1



0.51

%




$

2,712


$

10



1.50

%

Interest-bearing deposits in nonaffiliated banks


352,628



86



0.10






220,906



745



1.36


Taxable securities


2,399,364



14,030



2.34






2,263,329



14,655



2.59


Tax exempt securities


1,800,339



14,733



3.27






1,346,842



11,200



3.33


Loans


5,248,052



66,249



5.08






4,667,436



63,323



5.46


Total interest-earning assets


9,801,223


$

95,099



3.90

%





8,501,225


$

89,933



4.25

%

Noninterest-earning assets


663,595












692,432









Total assets

$

10,464,818











$

9,193,657































Interest-bearing liabilities:






















Deposits

$

5,135,772


$

2,550



0.20

%




$

4,904,087


$

6,680



0.55

%

Borrowings


877,076



412



0.19






460,605



517



0.45


Total interest-bearing liabilities


6,012,848


$

2,962



0.20

%





5,364,692


$

7,197



0.54

%

Noninterest-bearing liabilities

2,915,461












2,348,485








Shareholders' equity


1,536,509












1,480,480









Total liabilities and shareholders' equity

$

10,464,818











$

9,193,657































Net interest income and margin (tax equivalent)




$

92,137



3.78

%







$

82,736



3.91

%


























Three Months Ended




Three Months Ended



Dec. 31, 2019




Sept. 30, 2019




Average



Tax Equivalent



Yield /






Average



Tax Equivalent



Yield /





Balance



Interest



Rate






Balance



Interest



Rate


Interest-earning assets:






















Federal funds sold

$

1,198


$

6



2.03

%




$

3,006


$

19



2.52

%

Interest-bearing deposits in nonaffiliated banks


54,841



218



1.58






61,465



363



2.34


Taxable securities


2,185,777



14,165



2.59






2,183,930



14,292



2.62


Tax exempt securities


1,243,487



10,695



3.44






1,132,279



10,075



3.56


Loans


4,185,716



58,771



5.57






4,094,235



57,417



5.56


Total interest-earning assets


7,671,019


$

83,855



4.34

%





7,474,915


$

82,166



4.36

%

Noninterest-earning assets


500,924












489,446









Total assets

$

8,171,943











$

7,964,361































Interest-bearing liabilities:






















Deposits

$

4,336,063


$

6,052



0.55

%




$

4,156,850


$

7,123



0.68

%

Borrowings


417,316



749



0.71






388,235



830



0.85


Total interest-bearing liabilities


4,753,379


$

6,801



0.57

%





4,545,085


$

7,953



0.69

%

Noninterest-bearing liabilities

2,207,508












2,237,462








Shareholders' equity


1,211,056












1,181,814









Total liabilities and shareholders' equity

$

8,171,943











$

7,964,361































Net interest income and margin (tax equivalent)




$

77,054



3.99

%







$

74,213



3.94

%


























Three Months Ended















June 30, 2019
















Average



Tax Equivalent



Yield /

















Balance



Interest



Rate














Interest-earning assets:






















Federal funds sold

$

5,436


$

39



2.88

%













Interest-bearing deposits in nonaffiliated banks


107,381



628



2.35














Taxable securities


2,063,497



13,925



2.70














Tax exempt securities


1,169,889



10,615



3.63














Loans


4,043,055



56,033



5.56














Total interest-earning assets


7,389,258


$

81,240



4.41

%













Noninterest-earning assets


487,931





















Total assets

$

7,877,189











































Interest-bearing liabilities:






















Deposits

$

4,196,123


$

7,286



0.70

%













Borrowings


378,389



675



0.72