Seacoast Reports Fourth Quarter and Full Year 2020 Results

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Record Net Income of $29.3 million Increasing 30% Quarter-over-Quarter

STUART, Fla., Jan. 28, 2021 (GLOBE NEWSWIRE) -- Seacoast Banking Corporation of Florida ("Seacoast" or the "Company") (NASDAQ: SBCF) today reported net income in the fourth quarter of 2020 of $29.3 million, or $0.53 per diluted share, an increase of 30% compared to the third quarter of 2020. Adjusted net income1 for the fourth quarter of 2020 was $30.7 million, or $0.55 per diluted share, an increase of 12% compared to the third quarter of 2020. The ratio of tangible common equity to tangible assets was 11.01%, tangible book value per share increased to $16.16 and Tier 1 capital increased to 17.4%. For the full year 2020, net income was $77.8 million, or $1.44 per diluted share, compared to $98.7 million, or $1.90 per diluted share, in 2019. For the full year 2020, adjusted net income1 was $89.0 million, or $1.65 per diluted share, compared to $104.6 million, or $2.01 per diluted share, in 2019.

For the fourth quarter of 2020, return on average tangible assets was 1.49%, return on average tangible shareholders' equity was 13.87%, and the efficiency ratio was 48.23%, compared to 1.20%, 11.35%, and 61.65%, respectively, in the prior quarter. For the year ended December 31, 2020, return on average tangible assets was 1.08%, return on average tangible shareholder's equity was 10.10% and the efficiency ratio was 54.84% compared to 1.56%, 14.72% and 51.71%, respectively, for the year ended December 31, 2019.

Adjusted return on average tangible assets1 in the fourth quarter of 2020 was 1.50%, adjusted return on average tangible shareholders' equity1 was 14.00%, and the adjusted efficiency ratio1 was 48.75%, compared to 1.38%, 13.06%, and 54.82%, respectively, in the prior quarter. For the year ended December 31, 2020, adjusted return on average tangible assets1 was 1.17%, adjusted return on average tangible shareholder's equity1 was 10.93% and the adjusted efficiency ratio1 was 51.63% compared to 1.58%, 14.93% and 50.90%, respectively, for the year ended December 31, 2019.

Dennis S. Hudson, Seacoast's Executive Chairman, said, "We wrapped up an unprecedented year with strong performance in the fourth quarter. We continued to generate disciplined growth and delivered continued improvements in operating leverage. I am extremely proud of our team's performance this year as they successfully navigated the effects of the pandemic and continued to produce excellent results, ending 2020 with fourth quarter earnings exceeding the same quarter in the prior year, including achieving an efficiency ratio below 50%. Looking back over my time as CEO here at Seacoast, I am reminded of the many occasions our team has risen to the challenges of the day, which helped create an organization and culture that continues to grow stronger and more resilient. This team and our fortress balance sheet will continue to support the successful execution of our strategic priorities in 2021 and beyond under Chuck's capable leadership."

Charles M. Shaffer, Seacoast's President and CEO, said, "We continue to steadily build shareholder value through consistent growth in our tangible book value per share, which ended the period at $16.16, an increase of 15% during the quarter on an annualized basis. The tangible common equity ratio of 11% supports our ability to deploy capital for organic growth and opportunistic acquisitions. Seacoast is committed to maintaining its fortress balance sheet, built around strong capital and strict credit underwriting. Our goal remains to continue increasing market share in a disciplined manner by cultivating value-creating relationships, improving digital customer experiences, and driving greater productivity across the franchise by delivering products and services to our markets more efficiently than our competitors."

1Non-GAAP measure, see "Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and for a reconciliation to GAAP.

Financial Results

Income Statement

  • Net income was $29.3 million, or $0.53 per diluted share for the fourth quarter of 2020, compared to $22.6 million, or $0.42, for the prior quarter. For the year ended December 31, 2020, net income was $77.8 million, or $1.44 per diluted share, compared to $98.7 million, or $1.90, for the year ended December 31, 2019. Adjusted net income1 was $30.7 million, or $0.55 per diluted share for the fourth quarter of 2020, compared to $27.3 million, or $0.50, for the prior quarter. For the year ended December 31, 2020, adjusted net income1 was $89.0 million, or $1.65 per diluted share, compared to $104.6 million, or $2.01, for the year ended December 31, 2019.

  • Net revenues were $83.7 million in the fourth quarter of 2020, an increase of $3.3 million, or 4%, compared to the prior quarter. For the year ended December 31, 2020, net revenues were $324.3 million, an increase of $24.0 million, or 8%, compared to the year ended December 31, 2019. Adjusted revenues1 were $83.7 million in the fourth quarter of 2020, an increase of $3.3 million, or 4%, from the prior quarter. For the year ended December 31, 2020, adjusted revenues1 were $323.1 million, an increase of $24.9 million, or 8%, compared to the year ended December 31, 2019.

  • Net interest income totaled $68.8 million in the fourth quarter of 2020, an increase of $5.3 million, or 8%, from the prior quarter. For the year ended December 31, 2020, net interest income was $262.7 million, an increase of $19.1 million, or 8%, compared to the year ended December 31, 2019. During the fourth quarter of 2020, net interest income included $5.2 million in interest and fees earned on Paycheck Protection Program ("PPP") loans compared to $1.7 million in the third quarter of 2020. Lower PPP loan fees in the third quarter resulted from a calculation change to align fee recognition with the contractual maturity of the loans. Loan forgiveness began in the fourth quarter of 2020, resulting in accelerated recognition of $1.5 million in PPP loan fees. The remaining $9.5 million in deferred PPP loan fees will be recognized over the loans' remaining contractual maturity or, if sooner, as loans are forgiven.

  • Net interest margin was 3.59% in the fourth quarter of 2020, compared to 3.40% in the third quarter of 2020. PPP loans negatively affected the net interest margin by one basis point in the fourth quarter of 2020. In the third quarter of 2020, which was impacted by a change in the fee recognition schedule, PPP loans negatively affected net interest margin by 19 basis points. Accretion of purchase discounts on acquired loans increased net interest margin by 23 basis points in the fourth quarter of 2020, compared to 17 basis points in the third quarter. Excluding these items, net interest margin declined five basis points to 3.37%. The yield on loans, excluding PPP and accretion of purchase discount, increased one basis point. The yield on securities declined 39 basis points, reflecting continued interest rate resets, elevated prepayments and additional deployment of excess liquidity into securities in the fourth quarter. The cost of deposits decreased five basis points, from 24 basis points in the third quarter to 19 basis points in the fourth quarter, reflecting our continued repricing down of interest-bearing deposits and time deposits.

  • Noninterest income totaled $14.9 million in the fourth quarter of 2020, a decrease of $2.0 million, or 12%, compared to the prior quarter. For the year ended December 31, 2020, noninterest income was $61.6 million, an increase of $4.8 million, or 9%, compared to the year ended December 31, 2019. Results for the fourth quarter of 2020 included the following:

    • Mortgage banking fees were $3.6 million, compared to a record $5.3 million in the prior quarter. Low interest rates continued to fuel refinance demand in the fourth quarter, though at lower levels than in the prior quarter, while the Florida housing market remains strong and continues to benefit from the inflow of new residents and businesses.

    • Interchange revenue was $3.6 million, compared to a record $3.7 million in the third quarter of 2020. In 2020, Seacoast customers used their debit cards at an accelerated pace, driving record interchange results for the year that exceeded pre-pandemic levels.

    • Service charges on deposits increased $0.2 million compared to the third quarter of 2020. Service charges remain lower than pre-pandemic levels, the result of higher average deposit balances for both business and consumer customers.

    • Wealth management income was $1.9 million compared to a record $2.0 million in the third quarter of 2020. A determined and consistent focus on building new relationships and providing exceptional service continues to generate growth in assets under management, with a 33% increase from prior year to $870 million at December 31, 2020. Most of the fourth quarter new production came late in the quarter, so the benefit will be reflected fully in our 2021 financial results.

  • Seacoast recorded a provision for credit losses of $1.9 million in the fourth quarter of 2020, compared to a $0.8 million reversal in the prior quarter. The ratio of allowance for credit losses to total loans was 1.62% at December 31, 2020, compared to 1.60% at September 30, 2020. Excluding PPP loans, the ratio was 1.79% at December 31, 2020, compared to 1.80% at September 30, 2020.

  • Noninterest expense was $43.7 million in the fourth quarter of 2020, a decrease of $8.0 million, or 15%, compared to the prior quarter. For the year ended December 31, 2020, noninterest expense was $185.6 million, an increase of $24.8 million, or 15%, compared to the year ended December 31, 2019. Changes from the third quarter of 2020 consisted of the following:

    • Salaries and wages decreased by $1.6 million, or 7%. In the fourth quarter, accelerated commercial loan production resulted in higher deferrals of related salary costs, in accordance with ASC 310-20. This was partially offset by $0.3 million in severance related to a targeted staff reduction. The third quarter included $0.6 million in expenses associated with the acquisition of Freedom Bank.

    • Data processing costs decreased by $1.9 million, or 31%, the result of Freedom Bank merger-related costs incurred in the third quarter.

    • Lower occupancy expenses reflect charges in the third quarter of 2020 associated with the consolidation of one branch location. Three additional branch consolidations are expected in the first quarter of 2021.

    • Furniture and equipment decreased by $0.3 million, or 16%, reflecting the impact of equipment disposals associated with the Freedom Bank acquisition completed during the third quarter.

    • Marketing expense decreased by $0.5 million, or 31%, the result of higher expenses in the third quarter associated with a marketing campaign.

    • Legal and professional fees decreased by $2.5 million, or 83% from the third quarter. Third quarter 2020 results include $1.3 million in merger-related costs. The remainder of the decrease in the fourth quarter relates to the one-time recovery of certain legal expenses incurred during 2020.

    • Foreclosed property expense increased in the fourth quarter of 2020 by $1.3 million, largely the result of write-downs on two properties upon receipt of updated valuations.

    • A release of reserves for unfunded commitments resulted in a benefit of $0.8 million in the fourth quarter and reflects the impact of an improved economic outlook in specific loan segments associated with the reserve. Since the outbreak of COVID-19, the Company has not experienced any material increases in line utilization by its customers.

    • Other expenses decreased by $0.6 million, or 14%, with comparably higher mortgage loan production-related expenses and higher executive recruiting fees in the third quarter.

  • Seacoast recorded $8.8 million of income tax expense in the fourth quarter of 2020, compared to $7.0 million in the prior quarter. Tax impacts related to stock-based compensation were nominal each period.

  • Adjusted revenues1 in the fourth quarter of 2020 increased 4% compared to the prior quarter while adjusted noninterest expense1 decreased 8%, generating 12% operating leverage.

  • The ratio of net adjusted noninterest expense1 to average tangible assets was 2.00% in the fourth quarter of 2020, compared to 2.24% in the prior quarter. Net adjusted noninterest expense1 in the fourth quarter of 2020 reflects the impact of increased commercial loan production, resulting in higher deferrals of related origination expenses.

  • The efficiency ratio was 48.2% compared to 61.6% in the prior quarter. The adjusted efficiency ratio1 was 48.8% compared to 54.8% in the prior quarter, reflecting the benefit of higher PPP fee accretion, a continued focus on disciplined expense control, and strong commercial loan production, resulting in higher deferrals of loan production related salary expenses.

Balance Sheet

  • At December 31, 2020, the Company had total assets of $8.3 billion and total shareholders' equity of $1.1 billion. Book value per share was $20.46, and tangible book value per share was $16.16, compared to $19.91 and $15.57, respectively, on September 30, 2020. This reflects annualized growth in tangible book value per share of 15%.

  • Debt securities totaled $1.6 billion on December 31, 2020, an increase of $88.4 million compared to September 30, 2020. Purchases during the quarter were primarily in government-sponsored mortgage-backed securities with an average yield of 1.43%.

  • Loans totaled $5.7 billion on December 31, 2020, a decrease of $122.7 million, or 2%, compared to September 30, 2020. The decrease includes $71.8 million in PPP loan forgiveness in the fourth quarter of 2020. Seacoast continues to maintain strict underwriting and an overall conservative credit posture.

  • Loan originations were $541.0 million in the fourth quarter of 2020, compared to $346.7 million in the third quarter of 2020, an increase of 56%.
    • Commercial originations during the fourth quarter of 2020 were $277.4 million, compared to $88.2 million in the third quarter of 2020. Seacoast continues to maintain conservative underwriting guidelines in the current economic environment, while extending credit to well-qualified customers.
    • Residential loans originated for sale in the secondary market were $161.6 million in the fourth quarter of 2020, compared to $162.5 million in the third quarter of 2020. The residential lending team's continued focus on high-quality service levels to homebuyers, refinance customers, and local real estate professionals has allowed them to capitalize on a strong Florida housing market throughout the year.
    • Closed residential loans retained in the portfolio totaled $54.5 million in the fourth quarter of 2020, compared to $25.4 million in the third quarter of 2020.
    • Consumer originations in the fourth quarter of 2020 were $47.5 million, compared to $62.3 million in the third quarter of 2020.

    • Since the beginning of the pandemic, Seacoast has supported financially impacted borrowers by providing loan accommodations including the ability to defer payments. As of December 31, 2020, loans with payment accommodations totaled $74.1 million, or 1% of total loans excluding PPP, compared to $702.7 million, or 13%, at September 30, 2020.

  • Pipelines (loans in underwriting and approval or approved and not yet closed) totaled $302.0 million on December 31, 2020, a decrease of 34% from the third quarter of 2020.

    • Commercial pipelines were $166.7 million as of December 31, 2020, compared to $256.2 million as of the prior quarter end, in line with a seasonal trend of slower volumes in the first quarter.

    • Residential saleable pipelines were $92.0 million as of December 31, 2020, compared to $149.9 million as of the prior quarter end. Retained residential pipelines were $25.1 million as of December 31, 2020, compared to $33.4 million as of the prior quarter end. The declines quarter-over-quarter reflect a slowing refinance market.

    • Consumer pipelines were $18.2 million as of December 31, 2020, compared to $17.1 million as of the prior quarter-end.

  • Total deposits were $6.9 billion as of December 31, 2020, an increase of $17.7 million, compared to September 30, 2020.

    • The overall cost of deposits declined to 19 basis points in the fourth quarter of 2020 from 24 basis points in the prior quarter.

    • Total transaction account balances increased 39% year-over-year and, as a percentage of overall deposit funding, remained at 56%.

    • Interest-bearing deposits (interest-bearing demand, savings, and money market deposits) increased $314.0 million, or 9%, quarter-over-quarter to $3.8 billion, noninterest-bearing demand deposits decreased $111.0 million, or 5%, to $2.3 billion, and CDs (excluding brokered) decreased $38.1 million, or 6%, to $597.3 million.

    • As of December 31, 2020, deposits per banking center were $136 million, compared to $116 million on December 31, 2019.

Asset Quality

  • Nonperforming loans decreased by $0.8 million to $36.1 million at December 31, 2020. Nonperforming loans to total loans outstanding were 0.63% at December 31, 2020, 0.63% at September 30, 2020, and 0.52% at December 31, 2019.

  • Nonperforming assets to total assets decreased by five basis points to 0.59% at December 31, 2020, compared to 0.64% at September 30, 2020 and 0.55% at December 31, 2019.

  • The ratio of allowance for credit losses to total loans was 1.62% at December 31, 2020, 1.60% at September 30, 2020, and 0.68% at December 31, 2019. The Company has assigned no allowance for credit losses to PPP loans, as the United States government contractually guarantees repayment for such loans. Excluding PPP loans, the ratio of allowance for credit losses to total loans at December 31, 2020, was 1.79%, compared to 1.80% at September 30, 2020.

  • Net charge-offs were $3.1 million, or 0.21% of average loans for the fourth quarter of 2020 compared to $1.7 million, or 0.12% of average loans in the third quarter of 2020 and $3.2 million, or 0.25% of average loans in the fourth quarter of 2019. Charge-offs in the fourth quarter of 2020 were primarily from a small number of commercial loans, none of which individually exceeded $0.6 million. Net charge-offs for the four most recent quarters averaged 0.13%.

  • Portfolio diversification, in terms of asset mix, industry, and loan type, has been a critical element of the Company's lending strategy. Exposure across industries and collateral types is broadly distributed. Excluding PPP loans, Seacoast's average commercial loan size is $399,000, reflecting an ability to maintain granularity within the overall loan portfolio.

  • The Company does not have any purchased loan syndications, shared national credits, or mezzanine finance.

  • Since the outbreak of COVID-19, the Company has not experienced any material increase in consumer or commercial line utilization.

  • Construction and land development and commercial real estate loans remain well below regulatory guidance at 26% and 169% of total bank-level risk based capital, respectively, compared to 30% and 176% respectively, in the third quarter of 2020. On a consolidated basis, construction and land development and commercial real estate loans represent 24% and 157%, respectively, of total consolidated risk-based capital.

  • As the trajectory of the economic recovery remains unclear as the negative impact of COVID-19 continues and further fiscal stimulus is uncertain, Seacoast will remain vigilant in maintaining its conservative credit posture in 2021.

Capital and Liquidity

  • The tier 1 capital ratio increased to 17.4% from 16.8% at September 30, 2020, and 15.0% December 31, 2019. The total capital ratio was 18.5% and the tier 1 leverage ratio was 11.9% at December 31, 2020.

  • Tangible common equity to tangible assets was 11.01% at December 31, 2020, compared to 10.67% at September 30, 2020 and 11.05% at December 31, 2019.

  • Cash and cash equivalents at December 31, 2020 totaled $404.1 million, an increase of $279.6 million from December 31, 2019, as Seacoast maintained a prudent liquidity position.

  • At December 31, 2020, the Company had available unsecured lines of credit of $135.0 million and lines of credit under lendable collateral value of $1.8 billion. $1.2 billion of debt securities and $733.3 million in residential and commercial real estate loans are available as collateral for potential borrowings.

FINANCIAL HIGHLIGHTS

(Amounts in thousands except per share data)

(Unaudited)

Quarterly Trends

4Q'20

3Q'20

2Q'20

1Q'20

4Q'19

Selected Balance Sheet Data:

Total Assets

$

8,342,392

$

8,287,840

$

8,084,013

$

7,352,894

$

7,108,511

Gross Loans

5,735,349

5,858,029

5,772,052

5,317,208

5,198,404

Total Deposits

6,932,561

6,914,843

6,666,783

5,887,499

5,584,753

Performance Measures:

Net Income

$

29,347

$

22,628

$

25,080

$

709

$

27,176

Net Interest Margin

3.59

%

3.40

%

3.70

%

3.93

%

3.84

%

Average Diluted Shares Outstanding

55,739

54,301

53,308

52,284

52,081

Diluted Earnings Per Share (EPS)

$

0.53

$

0.42

$

0.47

$

0.01

$

0.52

Return on (annualized):

Average Assets (ROA)

1.39

%

1.11

%

1.27

%

0.04

%

1.54

%

Average Tangible Assets (ROTA)2

1.49

1.20

1.37

0.11

1.66

Average Tangible Common Equity (ROTCE)2

13.87

11.35

13.47

0.95

14.95

Tangible Common Equity to Tangible Assets2

11.01

10.67

10.19

10.68

11.05

Tangible Book Value Per Share2

$

16.16

$

15.57

$

15.11

$

14.42

$

14.76

Efficiency Ratio

48.23

%

61.65

%

50.11

%

59.85

%

48.36

%

Adjusted Operating Measures1:

Adjusted Net Income

$

30,700

$

27,336

$

25,452

$

5,462

$

26,837

Adjusted Diluted EPS

0.55

0.50

0.48

0.10

0.52

Adjusted ROTA2

1.50

%

1.38

%

1.33

%

0.32

%

1.57

%

Adjusted ROTCE2

14.00

13.06

13.09

2.86

14.19

Adjusted Efficiency Ratio

48.75

54.82

49.60

53.55

47.52

Net Adjusted Noninterest Expense as a
Percent of Average Tangible Assets2

2.00

2.24

2.11

2.46

2.11

Other Data:

Market capitalization3

$

1,626,913

$

994,690

$

1,081,009

$

965,097

$

1,574,775

Full-time equivalent employees

965

968

924

919

867

Number of ATMs

77

77

76

76

78

Full-service banking offices

51

51

50

50

48

Registered online users

123,615

121,620

117,273

113,598

109,684

Registered mobile devices

115,129

110,241

108,062

104,108

99,361

1Non-GAAP measure, see “Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and a reconciliation to GAAP.

2The Company defines tangible assets as total assets less intangible assets, and tangible common equity as total shareholders' equity less intangible assets.

3Common shares outstanding multiplied by closing bid price on last day of each period.

Fourth Quarter Strategic Highlights

  • For the third consecutive year, Seacoast has been recognized as one of Fortune Magazine's 100 Fastest-Growing Companies. As the only financial institution headquartered in Florida to earn a spot on the prestigious list, this distinction is a direct reflection of the remarkable job the Seacoast team has done serving customers, implementing technological improvements, and executing our balanced growth strategy.

  • Seacoast's successful combination of organic growth with value-creating acquisitions continued to benefit shareholders and associates in 2020 with the acquisitions of First Bank of Palm Beaches and Freedom Bank. Both acquisitions added experienced bankers while expanding our presence in attractive growth markets, further supporting sustainable, profitable growth.

Capitalizing on Seacoast's Early Commitment to Digital Transformation

  • Digital adoption and usage remain strong. Registered mobile devices have increased 16% in 2020, and online users have increased 13%. Growth is coming from both consumer and business customers utilizing the convenience of mobile and online channels.

  • Approximately 51% of all deposit transactions were completed outside of the branch network during 2020, an increase of 11% compared to 2019. Routine transactions continue to migrate from the branch network to lower cost channels.

  • Seacoast and its customers are benefiting from our automated PPP forgiveness solution that streamlines the process for clients while integrating with Seacoast's existing technology infrastructure. In the fourth quarter of 2020, $71.8 million in loan forgiveness was processed. In January 2021, the Company began accepting applications for the re-opening of the PPP lending program on our fully digital origination platform. As of January 27, the Company had received approximately 1,500 applications for $170 million under the latest round of PPP.

  • As customer preferences change, Seacoast continues to evolve its branch footprint by redirecting capacity into attractive growth markets. In alignment with this strategy, we expect to consolidate three additional branch locations in the first quarter of 2021.

Scaling and Evolving Our Culture

  • Seacoast’s "Manager Excellence" training program was recently recognized by American Banker, which named Seacoast one of 2020's Best Banks to Work For. Providing first-time managers and emerging leaders with skill development and ongoing support creates an environment for our associates to recognize and pursue rewarding career opportunities.

  • The Company continues to recruit and acquire strong commercial banking talent. During the fourth quarter of 2020, Seacoast welcomed a team of commercial bankers and credit talent from Wells Fargo in Central Florida. Additionally, in early January 2021, the Company hired Ron York as Treasury Management Executive, formerly with First Horizon Bank.

OTHER INFORMATION

Conference Call Information
Seacoast will host a conference call on January 29, 2021 at 10:00 a.m. (Eastern Time) to discuss the fourth quarter and year end 2020 earnings results and business trends. Investors may call in (toll-free) by dialing (800) 774-6070 (passcode 5585 590#; host Chuck Shaffer). Charts will be used during the conference call and may be accessed at Seacoast's website at www.SeacoastBanking.com by selecting "Presentations" under the heading "News/Events." A replay of the call will be available for one month, beginning late afternoon of January 29, 2021, by clicking here and using passcode 50062311.

Alternatively, individuals may listen to the live webcast of the presentation by visiting Seacoast's website at www.SeacoastBanking.com. The link is located in the subsection "Presentations" under the heading "Corporate Information." Beginning the afternoon of January 29, 2021, an archived version of the webcast can be accessed from this same subsection of the website. The archived webcast will be available for one year.

About Seacoast Banking Corporation of Florida (NASDAQ: SBCF)
Seacoast Banking Corporation of Florida is one of the largest community banks headquartered in Florida with approximately $8.3 billion in assets and $6.9 billion in deposits as of December 31, 2020. The Company provides integrated financial services including commercial and retail banking, wealth management, and mortgage services to customers through advanced banking solutions, and 51 traditional branches of its locally-branded, wholly-owned subsidiary bank, Seacoast Bank. Offices stretch from Fort Lauderdale, Boca Raton and West Palm Beach north through the Daytona Beach area, into Orlando and Central Florida and the adjacent Tampa market, and west to Okeechobee and surrounding counties. More information about the Company is available at www.SeacoastBanking.com.

Cautionary Notice Regarding Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning, and protections, of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, including, without limitation, statements about future financial and operating results, cost savings, enhanced revenues, economic and seasonal conditions in our markets, and improvements to reported earnings that may be realized from cost controls, tax law changes, new initiatives and for integration of banks that we have acquired, as well as statements with respect to Seacoast's objectives, strategic plans, expectations and intentions and other statements that are not historical facts, any of which may be impacted by the COVID-19 pandemic and related effects on the U.S. economy. Actual results may differ from those set forth in the forward-looking statements.

Forward-looking statements include statements with respect to our beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates and intentions about future performance and involve known and unknown risks, uncertainties and other factors, which may be beyond our control, and which may cause the actual results, performance or achievements of Seacoast to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. You should not expect us to update any forward-looking statements.

All statements other than statements of historical fact could be forward-looking statements. You can identify these forward-looking statements through our use of words such as "may", "will", "anticipate", "assume", "should", "support", "indicate", "would", "believe", "contemplate", "expect", "estimate", "continue", "further", "plan", "point to", "project", "could", "intend", "target" or other similar words and expressions of the future. These forward-looking statements may not be realized due to a variety of factors, including, without limitation: the effects of future economic and market conditions, including seasonality and the adverse impact of COVID-19 (economic and otherwise); governmental monetary and fiscal policies, including interest rate policies of the Board of Governors of the Federal Reserve, as well as legislative, tax and regulatory changes; changes in accounting policies, rules and practices, including the impact of the adoption of CECL; our participation in the Paycheck Protection Program ("PPP"); the risks of changes in interest rates on the level and composition of deposits, loan demand, liquidity and the values of loan collateral, securities, and interest sensitive assets and liabilities; interest rate risks, sensitivities and the shape of the yield curve; uncertainty related to the impact of LIBOR calculations on securities and loans; changes in borrower credit risks and payment behaviors; changing retail distribution strategies, customer preferences and behavior; changes in the availability and cost of credit and capital in the financial markets; changes in the prices, values and sales volumes of residential and commercial real estate; our ability to comply with any regulatory requirements; the effects of problems encountered by other financial institutions that adversely affect us or the banking industry; our concentration in commercial real estate loans; inaccuracies or other failures from the use of models, including the failure of assumptions and estimates, as well as differences in, and changes to, economic, market and credit conditions; the impact on the valuation of our investments due to market volatility or counterparty payment risk; statutory and regulatory dividend restrictions; increases in regulatory capital requirements for banking organizations generally; the risks of mergers, acquisitions and divestitures, including our ability to continue to identify acquisition targets and successfully acquire desirable financial institutions; changes in technology or products that may be more difficult, costly, or less effective than anticipated; our ability to identify and address increased cybersecurity risks; inability of our risk management framework to manage risks associated with our business; dependence on key suppliers or vendors to obtain equipment or services for our business on acceptable terms; reduction in or the termination of our ability to use the mobile-based platform that is critical to our business growth strategy; the effects of war or other conflicts, acts of terrorism, natural disasters, health emergencies, epidemics or pandemics, or other catastrophic events that may affect general economic conditions; unexpected outcomes of and the costs associated with, existing or new litigation involving us; our ability to maintain adequate internal controls over financial reporting; potential claims, damages, penalties, fines and reputational damage resulting from pending or future litigation, regulatory proceedings and enforcement actions; the risks that our deferred tax assets could be reduced if estimates of future taxable income from our operations and tax planning strategies are less than currently estimated and sales of our capital stock could trigger a reduction in the amount of net operating loss carryforwards that we may be able to utilize for income tax purposes; the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, securities brokerage firms, insurance companies, money market and other mutual funds and other financial institutions operating in our market areas and elsewhere, including institutions operating regionally, nationally and internationally, together with such competitors offering banking products and services by mail, telephone, computer and the Internet; and the failure of assumptions underlying the establishment of reserves for possible loan losses.

Given the many unknowns and risks being heavily weighted to the downside, our forward-looking statements are subject to the risk that conditions will be substantially different than we are currently expecting. If efforts to contain COVID-19 are unsuccessful and restrictions on movement last into 2021 and beyond, the recession would be much longer and much more severe. Ineffective fiscal stimulus, or an extended delay in implementing it, are also major downside risks. The deeper the recession is, and the longer it lasts, the more it will damage consumer fundamentals and sentiment. This could both prolong the recession, and/or make any recovery weaker. Similarly, the recession could damage business fundamentals. And an extended global recession due to COVID-19 would weaken the U.S. recovery. As a result, the outbreak and its consequences, including responsive measures to manage it, have had and are likely to continue to have an adverse effect, possibly materially, on our business and financial performance by adversely affecting, possibly materially, the demand and profitability of our products and services, the valuation of assets and our ability to meet the needs of our customers.

All written or oral forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary notice, including, without limitation, those risks and uncertainties described in our annual report on Form 10-K for the year ended December 31, 2019, and our quarterly reports on Form 10-Q for the quarters ended March 31, 2020, June 30, 2020 and September 30, 2020 under "Special Cautionary Notice Regarding Forward-looking Statements" and "Risk Factors", and otherwise in our SEC reports and filings. Such reports are available upon request from the Company, or from the Securities and Exchange Commission, including through the SEC's Internet website at www.sec.gov

FINANCIAL HIGHLIGHTS

(Unaudited)

SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES

Quarterly Trends

Twelve Months Ended

(Amounts in thousands, except ratios and per share data)

4Q'20

3Q'20

2Q'20

1Q'20

4Q'19

4Q'20

4Q'19

Summary of Earnings

Net income

$

29,347

$

22,628

$

25,080

$

709

$

27,176

$

77,764

$

98,739

Adjusted net income1

30,700

27,336

25,452

5,462

26,837

88,950

104,591

Net interest income2

68,903

63,621

67,388

63,291

61,846

263,203

243,953

Net interest margin2,3

3.59

%

3.40

%

3.70

%

3.93

%

3.84

%

3.65

%

3.92

%

Performance Ratios

Return on average assets-GAAP basis3

1.39

%

1.11

%

1.27

%

0.04

%

1.54

%

0.99

%

1.45

%

Return on average tangible assets-GAAP basis3,4

1.49

1.20

1.37

0.11

1.66

1.08

1.56

Adjusted return on average tangible assets1,3,4

1.50

1.38

1.33

0.32

1.57

1.17

1.58

Net adjusted noninterest expense to average tangible assets1,3,4

2.00

2.24

2.11

2.46

2.11

2.19

2.30

Return on average shareholders' equity-GAAP basis3

10.51

8.48

9.96

0.29

11.04

7.44

10.63

Return on average tangible common equity-GAAP basis3,4

13.87

11.35

13.47

0.95

14.95

10.10

14.72

Adjusted return on average tangible common equity1,3,4

14.00

13.06

13.09

2.86

14.19

10.93

14.93

Efficiency ratio5

48.23

61.65

50.11

59.85

48.36

54.84

51.71

Adjusted efficiency ratio1

48.75

54.82

49.60

53.55

47.52

51.63

50.90

Noninterest income to total revenue (excluding securities gains/losses)

17.85

21.06

17.00

18.84

18.30

18.68

18.56

Tangible common equity to tangible assets4

11.01

10.67

10.19

10.68

11.05

11.01

11.05

Average loan-to-deposit ratio

84.48

87.83

88.48

93.02

90.71

88.20

89.21

End of period loan-to-deposit ratio

83.72

85.77

87.40

90.81

93.44

83.72

93.44

Per Share Data

Net income diluted-GAAP basis

$

0.53

$

0.42

$

0.47

$

0.01

$

0.52

$

1.44

$

1.90

Net income basic-GAAP basis

0.53

0.42

0.47

0.01

0.53

1.45

1.92

Adjusted earnings1

0.55

0.50

0.48

0.10

0.52

1.65

2.01

Book value per share common

20.46

19.91

19.45

18.82

19.13

20.46

19.13

Tangible book value per share

16.16

15.57

15.11

14.42

14.76

16.16

14.76

Cash dividends declared

1Non-GAAP measure - see "Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and a reconciliation to GAAP.

2Calculated on a fully taxable equivalent basis using amortized cost.

3These ratios are stated on an annualized basis and are not necessarily indicative of future periods.

4The Company defines tangible assets as total assets less intangible assets, and tangible common equity as total shareholders' equity less intangible assets.

5Defined as noninterest expense less amortization of intangibles and gains, losses, and expenses on foreclosed properties divided by net operating revenue (net interest income on a fully taxable equivalent basis plus noninterest income excluding securities gains and losses).


CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES

Quarterly Trends

Twelve Months Ended

(Amounts in thousands, except per share data)

4Q'20

3Q'20

2Q'20

1Q'20

4Q'19

4Q'20

4Q'19

Interest on securities:

Taxable

$

6,477

$

6,972

$

7,573

$

8,696

$

8,500

$

29,718

$

35,354

Nontaxable

86

125

121

122

130

454

555

Fees on PPP loans

3,603

161

4,010

7,774

Interest on PPP loans

1,585

1,558

1,058

4,201

Interest and fees on loans - excluding PPP loans

60,407

58,768

59,776

63,440

62,868

242,391

250,535

Interest on federal funds sold and other investments

523

556

684

734

788

2,497

3,379

Total Interest Income

72,681

68,140

73,222

72,992

72,286

287,035

289,823

Interest on deposits

1,228

1,299

1,203

3,190

3,589

6,920

16,621

Interest on time certificates

2,104

2,673

3,820

4,768

5,084

13,365

21,776

Interest on borrowed money

558

665

927

1,857

1,853

4,007

7,808

Total Interest Expense

3,890

4,637

5,950

9,815

10,526

24,292

46,205

Net Interest Income

68,791

63,503

67,272

63,177

61,760

262,743

243,618

Provision for credit losses

1,900

(845

)

7,611

29,513

4,800

38,179

10,999

Net Interest Income After Provision for Credit Losses

66,891

64,348

59,661

33,664

56,960

224,564

232,619

Noninterest income:

Service charges on deposit accounts

2,423

2,242

1,939

2,825

2,960

9,429

11,529

Interchange income

3,596

3,682

3,187

3,246

3,387

13,711

13,399

Wealth management income

1,949

1,972

1,719

1,867

1,579

7,507

6,352

Mortgage banking fees

3,646

5,283

3,559

2,208

1,514

14,696

6,490

Marine finance fees

145

242

157

146

338

690

1,053

SBA gains

113

252

181

139

576

685

2,472

BOLI income

889

899

887

886

904

3,561

3,674

Other

2,187

2,370

2,147

3,352

2,579

10,056

10,546

14,948

16,942

13,776

14,669

13,837

60,335

55,515

Securities gains (losses), net

(18

)

4

1,230

19

2,539

1,235

1,217

Total Noninterest Income

14,930

16,946

15,006

14,688

16,376

61,570

56,732

Noninterest expenses:

Salaries and wages

21,490

23,125

20,226

23,698

17,263

88,539

73,829

Employee benefits

3,915

3,995

3,379

4,255

3,323

15,544

13,697

Outsourced data processing costs

4,233

6,128

4,059

4,633

3,645

19,053

15,077

Telephone / data lines

774

705

791

714

651

2,984

2,958

Occupancy

3,554

3,858

3,385

3,353

3,368

14,150

14,284

Furniture and equipment

1,317

1,576

1,358

1,623

1,416

5,874

6,245

Marketing

1,045

1,513

997

1,278

885

4,833

4,161

Legal and professional fees

509

3,018

2,277

3,363

2,025

9,167

8,553

FDIC assessments

528

474

266

1,268

881

Amortization of intangibles

1,421

1,497

1,483

1,456

1,456

5,857

5,826

Foreclosed property expense and net loss/(gain) on sale

1,821

512

245

(315

)

3

2,263

51

Provision for credit losses on unfunded commitments

(795

)

756

178

46

185

Other

3,869

4,517

3,755

3,694

4,022

15,835

15,177

Total Noninterest Expense

43,681

51,674

42,399

47,798

38,057

185,552

160,739

Income Before Income Taxes

38,140

29,620

32,268

554

35,279

100,582

128,612

Income taxes

8,793

6,992

7,188

(155

)

8,103

22,818

29,873

Net Income

$

29,347

$

22,628

$

25,080

$

709

$

27,176

$

77,764

$

98,739

Per share of common stock:

Net income diluted

$

0.53

$

0.42

$

0.47

$

0.01

$

0.52

$

1.44

$

1.90

Net income basic

0.53

0.42

0.47

0.01

0.53

1.45

1.92

Cash dividends declared

Average diluted shares outstanding

55,739

54,301

53,308

52,284

52,081

53,930

52,029

Average basic shares outstanding

55,219

53,978

52,985

51,803

51,517

53,502

51,449


CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES

December 31,

September 30,

June 30,

March 31,

December 31,

(Amounts in thousands)

2020

2020

2020

2020

2019

Assets

Cash and due from banks

$

86,630

$

81,692

$

84,178

$

82,111

$

89,843

Interest bearing deposits with other banks

317,458

227,876

440,142

232,763

34,688

Total Cash and Cash Equivalents

404,088

309,568

524,320

314,874

124,531

Time deposits with other banks

750

2,247

2,496

3,742

3,742

Debt Securities:

Available for sale (at fair value)

1,398,157

1,286,858

976,025

910,311

946,855

Held to maturity (at amortized cost)

184,484

207,376

227,092

252,373

261,369

Total Debt Securities

1,582,641

1,494,234

1,203,117

1,162,684

1,208,224

Loans held for sale

68,890

73,046

54,943

29,281

20,029

Loans

5,735,349

5,858,029

5,772,052

5,317,208

5,198,404

Less: Allowance for credit losses

(92,733

)

(94,013

)

(91,250

)

(85,411

)

(35,154

)

Net Loans

5,642,616

5,764,016

5,680,802

5,231,797

5,163,250

Bank premises and equipment, net

75,117

76,393

69,041

71,540

66,615

Other real estate owned

12,750

15,890

15,847

14,640

12,390

Goodwill

221,176

221,176

212,146

212,085

205,286

Other intangible assets, net

16,745

18,163

17,950

19,461

20,066

Bank owned life insurance

131,776

130,887

127,954

127,067

126,181

Net deferred tax assets

23,629

25,503

21,404

19,766

16,457

Other assets

162,214

156,717

153,993

145,957

141,740

Total Assets

$

8,342,392

$

8,287,840

$

8,084,013

$

7,352,894

$

7,108,511

Liabilities and Shareholders' Equity

Liabilities

Deposits

Noninterest demand

$

2,289,787

$

2,400,744

$

2,267,435

$

1,703,628

$

1,590,493

Interest-bearing demand

1,566,069

1,385,445

1,368,146

1,234,193

1,181,732

Savings

689,179

655,072

619,251

554,836

519,152

Money market

1,556,370

1,457,078

1,232,892

1,124,378

1,108,363

Other time certificates

425,878

457,964

445,176

489,669

504,837

Brokered time certificates

233,815

381,028

572,465

597,715

472,857

Time certificates of more than $250,000

171,463

177,512

161,418

183,080

207,319

Total Deposits

6,932,561

6,914,843

6,666,783

5,887,499

5,584,753

Securities sold under agreements to repurchase

119,609

89,508

92,125

64,723

86,121

Federal Home Loan Bank borrowings

35,000

135,000

265,000

315,000

Subordinated debt

71,365

71,295

71,225

71,155

71,085

Other liabilities

88,455

78,853

88,277

72,730

65,913

Total Liabilities

7,211,990

7,189,499

7,053,410

6,361,107

6,122,872

Shareholders' Equity

Common stock

5,524

5,517

5,299

5,271

5,151

Additional paid in capital

856,092

854,188

811,328

809,533

786,242

Retained earnings

256,701

227,354

204,719

179,646

195,813

Treasury stock

(8,285

)

(7,941

)

(8,037

)

(7,422

)

(6,032

)

1,110,032

1,079,118

1,013,309

987,028

981,174

Accumulated other comprehensive income, net

20,370

19,223

17,294

4,759

4,465

Total Shareholders' Equity

1,130,402

1,098,341

1,030,603

991,787

985,639

Total Liabilities & Shareholders' Equity

$

8,342,392

$

8,287,840

$

8,084,013

$

7,352,894

$

7,108,511

Common shares outstanding

55,243

55,169

52,991

52,709

51,514


CONSOLIDATED QUARTERLY FINANCIAL DATA

(Unaudited)

SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES

(Amounts in thousands)

4Q'20

3Q'20

2Q'20

1Q'20

4Q'19

Credit Analysis

Net charge-offs - non-acquired loans

$

3,028

$

1,112

$

1,714

$

1,316

$

2,930

Net charge-offs (recoveries) - acquired loans

99

624

37

(343

)

295

Total Net Charge-offs

3,127

1,736

1,751

973

3,225

Net charge-offs to average loans - non-acquired loans

0.20

%

0.08

%

0.12

%

0.10

%

0.23

%

Net charge-offs (recoveries) to average loans - acquired loans

0.01

0.04

(0.03

)

0.02

Total Net Charge-offs to Average Loans

0.21

0.12

0.12

0.07

0.25

Allowance for credit losses - non-acquired loans

$

69,786

$

70,388

$

73,587

$

69,498

$

34,573

Allowance for credit losses - acquired loans

22,947

23,625

17,663

15,913

581

Total Allowance for Credit Losses

$

92,733

$

94,013

$

91,250

$

85,411

$

35,154

Non-acquired loans at end of period

$

4,196,205

$

4,157,376

$

4,315,892

$

4,373,378

$

4,317,919

Acquired loans at end of period

972,183

1,061,853

879,710

943,830

880,485

Paycheck Protection Program loans at end of period1

566,961

638,800

576,450

Total Loans

$

5,735,349

$

5,858,029

$

5,772,052

$

5,317,208

$

5,198,404

Non-acquired loans allowance for credit losses to non-acquired loans at end of period

1.66

%

1.69

%

1.71

%

1.59

%

0.80

%

Total allowance for credit losses to total loans at end of period

1.62

1.60

1.58

1.61

0.68

Total allowance for credit losses to total loans, excluding PPP loans

1.79

1.80

1.76

1.61

0.68

Purchase discount on acquired loans at end of period

2.86

3.01

3.29

3.36

3.83

End of Period

Nonperforming loans

$

36,110

$

36,897

$

30,051

$

25,582

$

26,955

Other real estate owned

10,182

12,299

10,967

11,048

5,549

Properties previously used in bank operations included in other real estate owned

2,569

3,592

4,880

3,592

6,842

Total Nonperforming Assets

$

48,861

$

52,788

$

45,898

$

40,222

$

39,346

Accruing troubled debt restructures (TDRs)

$

4,182

$

10,190

$

10,338

$

10,833

$

11,100

Nonperforming Loans to Loans at End of Period

0.63

%

0.63

%

0.52

%

0.48

%

0.52

%

Nonperforming Assets to Total Assets at End of Period

0.59

0.64

0.57

0.55

0.55

December 31,

September 30,

June 30,

March 31,

December 31,

Loans

2020

2020

2020

2020

2019

Construction and land development

$

245,108

$

280,610

$

298,835

$

295,405

$

325,113

Commercial real estate - owner occupied

1,141,310

1,125,460

1,076,650

1,082,893

1,034,963

Commercial real estate - non-owner occupied

1,395,854

1,394,464

1,392,787

1,381,096

1,344,008

Residential real estate

1,342,628

1,393,396

1,468,171

1,559,754

1,507,863

Commercial and financial

854,753

833,083

757,232

796,038

778,252

Consumer

188,735

192,216

201,927

202,022

208,205

Paycheck Protection Program

566,961

638,800

576,450

Total Loans

$

5,735,349

$

5,858,029

$

5,772,052

$

5,317,208

$

5,198,404

13Q'20 includes $54 million in Paycheck Protection Program loans acquired from Freedom Bank


AVERAGE BALANCES, INTEREST INCOME AND EXPENSES, YIELDS AND RATES 1

(Unaudited)

SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES

4Q'20

3Q'20

4Q'19

Average

Yield/

Average

Yield/

Average

Yield/

(Amounts in thousands)

Balance

Interest

Rate

Balance

Interest

Rate

Balance

Interest

Rate

Assets

Earning assets:

Securities:

Taxable

$

1,496,536

$

6,477

1.73

%

$

1,322,160

$

6,972

2.11

%

$

1,179,843

$

8,500

2.88

%

Nontaxable

25,943

109

1.68

23,570

157

2.67

20,709

162

3.13

Total Securities

1,522,479

6,586

1.73

1,345,730

7,129

2.12

1,200,552

8,662

2.89

Federal funds sold and other investments

197,379

523

1.05

239,511

556

0.92

84,961

788

3.68

Loans excluding PPP loans

5,276,224

60,497

4.56

5,242,776

58,854

4.47

5,104,272

62,922

4.89

PPP loans

629,855

5,187

3.28

618,088

1,719

1.11

Total Loans

5,906,079

65,684

4.42

5,860,864

60,573

4.11

5,104,272

62,922

4.89

Total Earning Assets

7,625,937

72,793

3.80

7,446,105

68,258

3.65

6,389,785

72,372

4.49

Allowance for credit losses

(93,148

)

(92,151

)

(34,072

)

Cash and due from banks

235,519

138,749

99,008

Premises and equipment

76,001

72,572

67,485

Intangible assets

238,631

228,801

226,060

Bank owned life insurance

131,208

129,156

125,597

Other assets

162,248

163,658

122,351

Total Assets

$

8,376,396

$

8,086,890

$

6,996,214

Liabilities and Shareholders' Equity

Interest-bearing liabilities:

Interest-bearing demand

$

1,458,299

$

249

0.07

%

$

1,364,947

$

330

0.10

%

$

1,190,681

$

983

0.33

%

Savings

672,864

166

0.10

648,319

170

0.10

528,771

422

0.32

Money market

1,523,960

813

0.21

1,328,931

799

0.24

1,148,453

2,184

0.75

Time deposits

911,091

2,104

0.92

1,051,316

2,673

1.01

1,078,297

5,084

1.87

Securities sold under agreements to repurchase

101,665

42

0.16

90,357

40

0.18

73,693

226

1.22

Federal funds purchased and Federal Home Loan Bank borrowings

15,978

80

1.99

93,913

181

0.77

181,134

845

1.85

Other borrowings

71,321

436

2.43

71,258

444

2.48

71,045

782

4.37

Total Interest-Bearing Liabilities

4,755,178

3,890

0.33

4,649,041

4,637

0.40

4,272,074

10,526

0.98

Noninterest demand

2,424,523

2,279,584

1,680,734

Other liabilities

85,622

96,458

67,206

Total Liabilities

7,265,323

7,025,083

6,020,014

Shareholders' equity

1,111,073

1,061,807

976,200

Total Liabilities & Equity

$

8,376,396

$

8,086,890

$

6,996,214

Cost of deposits

0.19

%

0.24

%

0.61

%

Interest expense as a % of earning assets

0.20

%

0.25

%

0.65

%

Net interest income as a % of earning assets

$

68,903

3.59

%

$

63,621

3.40

%

$

61,846

3.84

%

1On a fully taxable equivalent basis. All yields and rates have been computed using amortized cost.

Fees on loans have been included in interest on loans. Nonaccrual loans are included in loan balances.


AVERAGE BALANCES, INTEREST INCOME AND EXPENSES, YIELDS AND RATES 1

(Unaudited)

SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES

Twelve Months Ended December 31, 2020

Twelve Months Ended December 31, 2019

Average

Yield/

Average

Yield/

(Amounts in thousands, except ratios)

Balance

Interest

Rate

Balance

Interest

Rate

Assets

Earning assets:

Securities:

Taxable

$

1,277,441

$

29,718

2.33

%

$

1,176,842

$

35,354

3.00

%

Nontaxable

22,164

570

2.57

23,122

695

3.01

Total Securities

1,299,605

30,288

2.33

1,199,964

36,049

3.00

Federal funds sold and other investments

239,494

2,497

1.04

88,045

3,379

3.84

Loans excluding PPP loans

5,259,653

242,736

4.62

4,933,518

250,730

5.08

PPP loans

419,154

11,974

2.86

Total Loans

5,678,807

254,710

4.49

4,933,518

250,730

5.08

Total Earning Assets

7,217,906

287,495

3.98

6,221,527

290,158

4.66

Allowance for credit losses

(81,858

)

(33,465

)

Cash and due from banks

142,314

94,643

Premises and equipment

71,846

69,142

Intangible assets

231,267

228,042

Bank owned life insurance

128,569

124,803

Other assets

149,956

126,588

Total Assets

$

7,860,000

$

6,831,280

Liabilities and Shareholders' Equity

Interest-bearing liabilities:

Interest-bearing demand

$

1,324,433

$

1,710

0.13

%

$

1,114,334

$

4,025

0.36

%

Savings

610,015

849

0.14

516,526

2,015

0.39

Money market

1,294,629

4,361

0.34

1,164,938

10,581

0.91

Time deposits

1,101,321

13,365

1.21

1,092,516

21,776

1.99

Securities sold under agreements to repurchase

84,514

283

0.33

106,142

1,431

1.35

Federal funds purchased and Federal Home Loan Bank borrowings

139,439

1,540

1.10

131,921

3,010

2.28

Other borrowings

71,220

2,184

3.07

70,939

3,367

4.75

Total Interest-Bearing Liabilities

4,625,571

24,292

0.53

4,197,316

46,205

1.10

Noninterest demand

2,107,931

1,641,766

Other liabilities

81,279

63,405

Total Liabilities

6,814,781

5,902,487

Shareholders' equity

1,045,219

928,793

Total Liabilities & Equity

$

7,860,000

$

6,831,280

Cost of deposits

0.32

%

0.69

%

Interest expense as a % of earning assets

0.34

%

0.74

%

Net interest income as a % of earning assets

$

263,203