INDIANA, Pa., April 19, 2018 /PRNewswire/ -- S&T
Bancorp, Inc. (S&T) (NASDAQ: STBA), the holding company for
S&T Bank with locations in Pennsylvania, Ohio and New
York, announced today its first quarter 2018 earnings. First
quarter net income was a record high of $26.2 million, or $0.75 diluted earnings per share (EPS), compared
to first quarter of 2017 net income of $18.2
million, or $0.52 diluted EPS
and fourth quarter of 2017 net income of $9.3 million, or $0.27 diluted EPS.
First Quarter of 2018 Highlights:
- Net income of $26.2 million and
diluted EPS of $0.75 both represent
record high levels for S&T.
- Diluted EPS increased by 44.2% compared to the first quarter of
2017.
- Annualized performance metrics were solid and improved
significantly compared to prior periods, with return on average
assets of 1.51%, return on average shareholders' equity of 11.92%
and return on average tangible shareholders' equity of 17.83%
(non-GAAP).
- Expenses continue to be well controlled with an efficiency
ratio of 50.35% (non-GAAP).
- Net income was positively impacted by the Tax Cuts and Jobs Act
(Tax Act) which lowered the federal corporate tax rate from 35% to
21% effective January 1, 2018.
- Nonperforming loans decreased 10.9% compared to the fourth
quarter of 2017.
- S&T's Board of Directors approved a 13.6%, or $0.03 per share, increase in the quarterly cash
dividend to $0.25 per share. This
represents a 25% increase in the dividend from the same period last
year.
"We are pleased to start off 2018 with record quarterly
net income," said Todd Brice,
president and chief executive officer of S&T. "Higher net
interest income, our continued attention to expenses, lower
provision for loan losses and the positive impact of tax reform
have resulted in impressive performance metrics compared to a year
ago."
Net Interest Income
Net interest income was $56.9
million compared to $57.8
million for the fourth quarter of 2017. Net interest margin
on a fully taxable equivalent basis (FTE) (non-GAAP) increased 1
basis point to 3.59% even with the negative impact of the FTE
adjustment from a lower statutory tax rate. The decrease in net
interest income was primarily due to two less days in the first
quarter compared to the fourth quarter of 2017.
Asset Quality
Total nonperforming loans decreased 10.9% to $21.3 million, or 0.37% of total loans, at
March 31, 2018 compared to
$23.9 million, or 0.42% of total
loans, at December 31, 2017. OREO
increased $2.5 million related to two
land lots owned by S&T Bank that are for sale and are no longer
intended to be future branch locations. During the first quarter of
2018, there were net loan recoveries of $0.2
million compared to net charge-offs of $1.3 million in the fourth quarter of 2017. The
provision for loan loss was $2.5
million compared to $1.0
million in the fourth quarter of 2017. The allowance for
loan losses (ALLL) to total portfolio loans was 1.03% at
March 31, 2018 compared to 0.98% at
December 31, 2017. Both the increase
in the provision and ALLL are primarily due to an increase in
special mention and substandard loans compared to December 31, 2017.
Noninterest Income and Expense
Noninterest income increased $1.1
million to $13.8 million for
the first quarter of 2018 compared to $12.7
million for the fourth quarter of 2017. The increase
primarily related to a $1.9 million
gain on the sale of a majority interest of our insurance business.
Insurance fees decreased $1.0 million
as a result of this sale. The decrease of $0.8 million in other income related to a branch
sale in the fourth quarter of 2017.
Expenses remain well controlled decreasing to $36.1 million compared to $38.0 million for the fourth quarter of 2017.
Salaries and employee benefits decreased $1.2 million due to the sale of our insurance
business, lower incentives and seasonally lower medical costs.
Marketing expense decreased $0.5
million due to the timing of marketing campaigns and other
expense decreased $0.7 million
primarily due to lower loan related expense. Other taxes increased
by $0.6 million related to a state
sales tax assessment. The efficiency ratio (non-GAAP) improved to
50.35% compared to 51.75% in the fourth quarter and 53.83% in the
first quarter of 2017 due to expense control and higher
revenue.
Income Tax Expense
The Tax Act changed the federal corporate tax rate from 35% to
21% effective January 1, 2018. As a
result the effective tax rate declined to 18.7% for the first
quarter of 2018. Included in the effective tax rate for the first
quarter were non-recurring discrete items of $0.9 million, primarily related to the sale of a
majority interest of our insurance business.
Financial Condition
Total assets were $7.0 billion at
March 31, 2018 compared to
$7.1 billion as of December 31, 2017. Higher than usual pay-offs in
commercial loans combined with lower seasonal demand resulted in a
decrease in portfolio loans of $30.8
million. Total deposits decreased $40.8 million as competition for customer funds
accelerated, with declines in all categories except money market
accounts. All capital ratios increased this quarter due to strong
retained earnings, a decline in average assets and slower risk
weighted asset growth. All capital ratios remain above the
well-capitalized thresholds of federal bank regulatory
agencies.
Dividend
The Board of Directors of S&T declared a 13.6% increase in
the quarterly cash dividend at its regular meeting held
April 16, 2018. The dividend
increased to $0.25 per share compared
to $0.20 per share declared in the
same period in the prior year, a 25% increase. The dividend is
payable May 17, 2018 to shareholders
of record on May 3, 2018.
Conference Call
S&T will host its first quarter 2018 earnings conference
call live over the Internet at 1:00 p.m. ET on Thursday, April 19, 2018. To access the webcast,
go to S&T's webpage at www.stbancorp.com and click on "Events
& Presentations." Select "1st Quarter 2018 Conference Call" and
follow the instructions. After the live presentation, the webcast
will be archived on this website for at least 90 days. A replay of
the call will also be available until April
26, 2018, by dialing 1.877.481.4010; the Conference ID # is
27217.
About S&T Bancorp, Inc. and
S&T Bank
S&T Bancorp, Inc. is a $7.0
billion bank holding company that is headquartered in
Indiana, Pa. and trades on the
NASDAQ Global Select Market under the symbol STBA. Its principal
subsidiary, S&T Bank, was established in 1902, and operates
locations in Pennsylvania,
Ohio and New York. For more information visit
www.stbancorp.com or www.stbank.com.
This information contains certain forward-looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements generally relate to
our financial condition, results of operations, plans, objectives,
outlook for earnings, revenues, expenses, capital and liquidity
levels and ratios, asset levels, asset quality, financial position
and other matters regarding or affecting
S&T and its future business and
operations. Forward looking statements are typically identified by
words or phrases such as "will likely result", "expect",
"anticipate" ,"estimate", "forecast", "project", "intend", "
believe", "assume", "strategy", "trend", "plan", "outlook",
"outcome", "continue", "remain", "potential", "opportunity",
"believe", "comfortable", "current", "position", "maintain",
"sustain", "seek", "achieve" and variations of such words and
similar expressions, or future or conditional verbs such as will,
would, should, could or may. Although we believe the assumptions
upon which these forward-looking statements are based are
reasonable, any of these assumptions could prove to be inaccurate
and the forward-looking statements based on these assumptions could
be incorrect. The matters discussed in these forward-looking
statements are subject to various risks, uncertainties and other
factors that could cause actual results and trends to differ
materially from those made, projected, or implied in or by the
forward-looking statements depending on a variety of uncertainties
or other factors including, but not limited to: credit losses,
cyber-security concerns; rapid technological developments and
changes; sensitivity to the interest rate environment including a
prolonged period of low interest rates, a rapid increase in
interest rates or a change in the shape of the yield curve; a
change in spreads on interest-earning assets and interest-bearing
liabilities; regulatory supervision and oversight; legislation
affecting the financial services industry as a whole, and
S&T, in particular; the outcome of
pending and future litigation and governmental proceedings;
increasing price and product/service competition; the ability to
continue to introduce competitive new products and services on a
timely, cost-effective basis; managing our internal growth and
acquisitions; the possibility that the anticipated benefits from
acquisitions cannot be fully realized in a timely manner or at all,
or that integrating the acquired operations will be more difficult,
disruptive or costly than anticipated; containing costs and
expenses; reliance on significant customer relationships; general
economic or business conditions; deterioration of the housing
market and reduced demand for mortgages; deterioration in the
overall macroeconomic conditions or the state of the banking
industry that could warrant further analysis of the carrying value
of goodwill and could result in an adjustment to its carrying value
resulting in a non-cash charge to net income; re-emergence of
turbulence in significant portions of the global financial and real
estate markets that could impact our performance, both directly, by
affecting our revenues and the value of our assets and liabilities,
and indirectly, by affecting the economy generally and access to
capital in the amounts, at the times and on the terms required to
support our future businesses. Many of these factors, as well as
other factors, are described in our filings with the SEC.
Forward-looking statements are based on beliefs and assumptions
using information available at the time the statements are made. We
caution you not to unduly rely on forward-looking statements
because the assumptions, beliefs, expectations and projections
about future events may, and often do, differ materially from
actual results. Any forward-looking statement speaks only as to the
date on which it is made, and we undertake no obligation to update
any forward-looking statement to reflect developments occurring
after the statement is made.
S&T
Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
|
2017
|
|
|
First
|
|
Fourth
|
|
First
|
|
(dollars in
thousands, except per share data)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
INTEREST
INCOME
|
|
|
|
|
|
|
Loans, including
fees
|
$63,055
|
|
$63,407
|
|
$56,900
|
|
Investment
securities:
|
|
|
|
|
|
|
Taxable
|
3,429
|
|
3,164
|
|
2,848
|
|
Tax-exempt
|
874
|
|
871
|
|
920
|
|
Dividends
|
671
|
|
413
|
|
482
|
|
Total Interest
Income
|
68,029
|
|
67,855
|
|
61,150
|
|
|
|
|
|
|
|
|
INTEREST
EXPENSE
|
|
|
|
|
|
|
Deposits
|
7,846
|
|
7,227
|
|
5,379
|
|
Borrowings and junior
subordinated debt securities
|
3,251
|
|
2,800
|
|
1,893
|
|
Total Interest
Expense
|
11,097
|
|
10,027
|
|
7,272
|
|
|
|
|
|
|
|
|
NET INTEREST
INCOME
|
56,932
|
|
57,828
|
|
53,878
|
|
Provision for loan
losses
|
2,472
|
|
982
|
|
5,183
|
|
Net Interest
Income After Provision for Loan Losses
|
54,460
|
|
56,846
|
|
48,695
|
|
|
|
|
|
|
|
|
NONINTEREST
INCOME
|
|
|
|
|
|
|
Net gain (loss) on
sale of securities
|
—
|
|
(986)
|
|
370
|
|
Service charges on
deposit accounts
|
3,241
|
|
3,240
|
|
3,014
|
|
Debit and credit card
fees
|
3,037
|
|
3,077
|
|
2,843
|
|
Wealth management
fees
|
2,682
|
|
2,521
|
|
2,403
|
|
Gain on sale of a
majority interest of insurance business
|
1,873
|
|
—
|
|
—
|
|
Mortgage
banking
|
602
|
|
635
|
|
733
|
|
Insurance
fees
|
169
|
|
1,139
|
|
1,457
|
|
Other
|
2,188
|
|
3,024
|
|
2,176
|
|
Total Noninterest
Income
|
13,792
|
|
12,650
|
|
12,996
|
|
|
|
|
|
|
|
|
NONINTEREST
EXPENSE
|
|
|
|
|
|
|
Salaries and employee
benefits
|
18,815
|
|
20,006
|
|
20,541
|
|
Net
occupancy
|
2,873
|
|
2,736
|
|
2,815
|
|
Data
processing
|
2,325
|
|
2,131
|
|
2,223
|
|
Furniture, equipment
and software
|
1,957
|
|
2,200
|
|
2,047
|
|
Other
taxes
|
1,848
|
|
1,241
|
|
976
|
|
FDIC
insurance
|
1,108
|
|
1,083
|
|
1,123
|
|
Professional services
and legal
|
1,051
|
|
1,224
|
|
1,068
|
|
Marketing
|
702
|
|
1,191
|
|
754
|
|
Other
|
5,403
|
|
6,135
|
|
5,261
|
|
Total Noninterest
Expense
|
36,082
|
|
37,947
|
|
36,808
|
|
|
|
|
|
|
|
|
Income Before
Taxes
|
32,170
|
|
31,549
|
|
24,883
|
|
Provision for income
taxes
|
6,007
|
|
22,255
|
|
6,695
|
|
|
|
|
|
|
|
|
Net
Income
|
$26,163
|
|
$9,294
|
|
$18,188
|
|
|
|
|
|
|
|
|
Per Share
Data
|
|
|
|
|
|
|
Shares outstanding at
end of period
|
35,000,502
|
|
34,971,929
|
|
34,980,556
|
|
Average shares
outstanding - diluted
|
34,999,165
|
|
35,019,866
|
|
34,912,261
|
|
Diluted earnings per
share
|
$0.75
|
|
$0.27
|
|
$0.52
|
|
Dividends declared
per share
|
$0.22
|
|
$0.22
|
|
$0.20
|
|
Dividend yield
(annualized)
|
2.20%
|
|
2.21%
|
|
2.31%
|
|
Dividends paid to net
income
|
29.31%
|
|
82.53%
|
|
38.27%
|
|
Book value
|
$25.58
|
|
$25.28
|
|
$24.45
|
|
Tangible book value
(1)
|
$17.30
|
|
$16.87
|
|
$16.02
|
|
Market
value
|
$39.94
|
|
$39.81
|
|
$34.60
|
|
|
|
|
|
|
|
|
Profitability
Ratios (annualized)
|
|
|
|
|
|
|
Return on average
assets
|
1.51%
|
|
0.52%
|
|
1.06%
|
|
Return on average
shareholders' equity
|
11.92%
|
|
4.14%
|
|
8.68%
|
|
Return on average
tangible shareholders' equity (2)
|
17.83%
|
|
6.30%
|
|
13.45%
|
|
Efficiency ratio
(FTE) (3)
|
50.35%
|
|
51.75%
|
|
53.83%
|
|
|
|
|
|
|
|
|
|
|
|
S&T
Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
|
2017
|
|
|
First
|
|
Fourth
|
|
First
|
|
(dollars in
thousands)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
ASSETS
|
|
|
|
|
|
|
Cash and due from
banks, including interest-bearing deposits
|
$112,849
|
|
$117,152
|
|
$104,705
|
|
Securities, at fair
value
|
687,650
|
|
698,291
|
|
713,198
|
|
Loans held for
sale
|
3,283
|
|
4,485
|
|
14,355
|
|
Commercial
loans:
|
|
|
|
|
|
|
Commercial real
estate
|
2,760,891
|
|
2,685,994
|
|
2,614,724
|
|
Commercial and
industrial
|
1,406,950
|
|
1,433,266
|
|
1,422,297
|
|
Commercial
construction
|
324,141
|
|
384,334
|
|
455,211
|
|
Total Commercial
Loans
|
4,491,982
|
|
4,503,594
|
|
4,492,232
|
|
Consumer
loans:
|
|
|
|
|
|
|
Residential
mortgage
|
692,385
|
|
698,774
|
|
700,610
|
|
Home
equity
|
474,850
|
|
487,326
|
|
479,402
|
|
Installment and other
consumer
|
66,890
|
|
67,204
|
|
70,219
|
|
Consumer
construction
|
4,506
|
|
4,551
|
|
4,363
|
|
Total Consumer
Loans
|
1,238,631
|
|
1,257,855
|
|
1,254,594
|
|
Total portfolio
loans
|
5,730,613
|
|
5,761,449
|
|
5,746,826
|
|
Allowance for loan
losses
|
(59,046)
|
|
(56,390)
|
|
(55,816)
|
|
Total portfolio
loans, net
|
5,671,567
|
|
5,705,059
|
|
5,691,010
|
|
Federal Home Loan
Bank and other restricted stock, at cost
|
29,769
|
|
29,270
|
|
29,739
|
|
Goodwill
|
287,446
|
|
291,670
|
|
291,670
|
|
Other
assets
|
212,765
|
|
214,328
|
|
220,421
|
|
Total
Assets
|
$7,005,329
|
|
$7,060,255
|
|
$7,065,098
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
Noninterest-bearing
demand
|
$1,368,350
|
|
$1,387,712
|
|
$1,300,707
|
|
Interest-bearing
demand
|
560,711
|
|
603,141
|
|
631,652
|
|
Money
market
|
1,239,400
|
|
1,146,156
|
|
985,723
|
|
Savings
|
876,459
|
|
893,119
|
|
1,032,864
|
|
Certificates of
deposit
|
1,342,174
|
|
1,397,763
|
|
1,484,379
|
|
Total
Deposits
|
5,387,094
|
|
5,427,891
|
|
5,435,325
|
|
|
|
|
|
|
|
|
Borrowings:
|
|
|
|
|
|
|
Securities sold under
repurchase agreements
|
44,617
|
|
50,161
|
|
46,987
|
|
Short-term
borrowings
|
525,000
|
|
540,000
|
|
610,000
|
|
Long-term
borrowings
|
46,684
|
|
47,301
|
|
14,118
|
|
Junior subordinated
debt securities
|
45,619
|
|
45,619
|
|
45,619
|
|
Total
Borrowings
|
661,920
|
|
683,081
|
|
716,724
|
|
Other
liabilities
|
60,908
|
|
65,252
|
|
57,869
|
|
Total
Liabilities
|
6,109,922
|
|
6,176,224
|
|
6,209,918
|
|
|
|
|
|
|
|
|
SHAREHOLDERS'
EQUITY
|
|
|
|
|
|
|
Total
Shareholders' Equity
|
895,407
|
|
884,031
|
|
855,180
|
|
Total Liabilities
and Shareholders' Equity
|
$7,005,329
|
|
$7,060,255
|
|
$7,065,098
|
|
|
|
|
|
|
|
|
Capitalization
Ratios
|
|
|
|
|
|
|
Shareholders' equity
/ assets
|
12.78%
|
|
12.52%
|
|
12.10%
|
|
Tangible common
equity / tangible assets (4)
|
9.02%
|
|
8.72%
|
|
8.28%
|
|
Tier 1 leverage
ratio
|
9.72%
|
|
9.17%
|
|
8.92%
|
|
Common equity tier 1
capital
|
11.02%
|
|
10.71%
|
|
10.16%
|
|
Risk-based capital -
tier 1
|
11.36%
|
|
11.06%
|
|
10.52%
|
|
Risk-based capital -
total
|
12.85%
|
|
12.55%
|
|
12.02%
|
|
S&T
Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
|
2017
|
|
|
First
|
|
Fourth
|
|
First
|
|
(dollars in
thousands)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Net Interest
Margin (FTE) (QTD Averages)
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
Interest-bearing
deposits with banks
|
$56,008
|
1.65%
|
$56,989
|
1.12%
|
$66,173
|
0.85%
|
Securities, at fair
value
|
686,912
|
2.53%
|
696,411
|
2.53%
|
697,327
|
2.44%
|
Loans held for
sale
|
1,949
|
5.65%
|
35,001
|
4.23%
|
2,211
|
4.44%
|
Commercial real
estate
|
2,690,990
|
4.57%
|
2,684,481
|
4.42%
|
2,524,859
|
4.25%
|
Commercial and
industrial
|
1,431,588
|
4.41%
|
1,453,554
|
4.47%
|
1,413,801
|
4.16%
|
Commercial
construction
|
375,129
|
4.51%
|
405,285
|
4.26%
|
454,886
|
3.70%
|
Total Commercial
Loans
|
4,497,707
|
4.51%
|
4,543,320
|
4.42%
|
4,393,546
|
4.16%
|
Residential
mortgage
|
694,303
|
4.19%
|
696,422
|
4.14%
|
699,849
|
4.05%
|
Home
equity
|
481,053
|
4.47%
|
489,031
|
4.34%
|
480,411
|
4.14%
|
Installment and other
consumer
|
66,861
|
6.69%
|
68,459
|
6.63%
|
68,164
|
6.49%
|
Consumer
construction
|
3,810
|
4.69%
|
4,107
|
4.41%
|
5,374
|
3.67%
|
Total Consumer
Loans
|
1,246,027
|
4.43%
|
1,258,019
|
4.35%
|
1,253,798
|
4.22%
|
Total Portfolio
Loans
|
5,743,734
|
4.50%
|
5,801,339
|
4.41%
|
5,647,344
|
4.18%
|
Total
Loans
|
5,745,683
|
4.50%
|
5,836,340
|
4.41%
|
5,649,555
|
4.18%
|
Federal Home Loan
Bank and other restricted stock
|
31,216
|
8.05%
|
32,026
|
4.64%
|
32,690
|
4.68%
|
Total
Interest-earning Assets
|
6,519,819
|
4.28%
|
6,621,766
|
4.18%
|
6,445,745
|
3.96%
|
Noninterest-earning
assets
|
488,808
|
|
512,396
|
|
511,125
|
|
Total
Assets
|
$7,008,627
|
|
$7,134,162
|
|
$6,956,870
|
|
|
|
|
|
|
|
|
LIABILITIES AND
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
Interest-bearing
demand
|
$575,377
|
0.26%
|
$620,027
|
0.25%
|
$633,232
|
0.18%
|
Money
market
|
1,194,053
|
1.10%
|
1,102,093
|
0.92%
|
938,014
|
0.61%
|
Savings
|
874,318
|
0.20%
|
914,871
|
0.21%
|
1,041,647
|
0.21%
|
Certificates of
deposit
|
1,355,617
|
1.14%
|
1,439,703
|
1.05%
|
1,403,796
|
0.91%
|
Total
interest-bearing Deposits
|
3,999,365
|
0.80%
|
4,076,694
|
0.70%
|
4,016,689
|
0.54%
|
Securities sold under
repurchase agreements
|
47,774
|
0.39%
|
42,599
|
0.26%
|
48,896
|
0.01%
|
Short-term
borrowings
|
596,014
|
1.71%
|
625,189
|
1.38%
|
671,784
|
0.84%
|
Long-term
borrowings
|
46,938
|
1.99%
|
30,813
|
2.04%
|
14,362
|
2.91%
|
Junior subordinated
debt securities
|
45,619
|
4.14%
|
45,619
|
3.82%
|
45,619
|
3.45%
|
Total
Borrowings
|
736,345
|
1.79%
|
744,220
|
1.49%
|
780,661
|
0.98%
|
Total
interest-bearing Liabilities
|
4,735,710
|
0.95%
|
4,820,914
|
0.83%
|
4,797,350
|
0.61%
|
Noninterest-bearing
liabilities
|
1,383,109
|
|
1,422,074
|
|
1,309,401
|
|
Shareholders'
equity
|
889,808
|
|
891,174
|
|
850,119
|
|
Total Liabilities
and Shareholders' Equity
|
$7,008,627
|
|
$7,134,162
|
|
$6,956,870
|
|
|
|
|
|
|
|
|
Net Interest Margin
(5)
|
|
3.59%
|
|
3.58%
|
|
3.50%
|
S&T
Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
|
2017
|
|
|
First
|
|
Fourth
|
|
First
|
|
(dollars in
thousands)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Nonperforming
Loans (NPL)
|
|
|
|
|
|
|
Commercial
loans:
|
|
%
NPL
|
|
%
NPL
|
|
%
NPL
|
Commercial real
estate
|
$3,952
|
0.14%
|
$3,468
|
0.13%
|
$8,617
|
0.33%
|
Commercial and
industrial
|
4,617
|
0.33%
|
5,646
|
0.39%
|
21,879
|
1.54%
|
Commercial
construction
|
1,873
|
0.58%
|
3,873
|
1.01%
|
3,758
|
0.83%
|
Total Nonperforming
Commercial Loans
|
10,442
|
0.23%
|
12,987
|
0.29%
|
34,254
|
0.76%
|
Consumer
loans:
|
|
|
|
|
|
|
Residential
mortgage
|
6,715
|
0.97%
|
7,165
|
1.03%
|
8,218
|
1.17%
|
Home
equity
|
4,109
|
0.87%
|
3,715
|
0.76%
|
3,484
|
0.73%
|
Installment and other
consumer
|
69
|
0.10%
|
71
|
0.11%
|
36
|
0.05%
|
Total Nonperforming
Consumer Loans
|
10,893
|
0.88%
|
10,951
|
0.87%
|
11,738
|
0.93%
|
Total
Nonperforming Loans
|
$21,335
|
0.37%
|
$23,938
|
0.42%
|
$45,992
|
0.80%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
|
2017
|
|
|
First
|
|
Fourth
|
|
First
|
|
(dollars in
thousands)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Loan
Charge-offs
|
|
|
|
|
|
|
Charge-offs
|
$1,444
|
|
$2,073
|
|
$2,942
|
|
Recoveries
|
(1,628)
|
|
(769)
|
|
(800)
|
|
Net Loan
Charge-offs
|
($184)
|
|
$1,304
|
|
$2,142
|
|
|
|
|
|
|
|
|
Net Loan
Charge-offs
|
|
|
|
|
|
|
Commercial
loans:
|
|
|
|
|
|
|
Commercial real
estate
|
($48)
|
|
($191)
|
|
$312
|
|
Commercial and
industrial
|
712
|
|
513
|
|
528
|
|
Commercial
construction
|
(1,129)
|
|
465
|
|
388
|
|
Total Commercial Loan
Charge-offs
|
(465)
|
|
787
|
|
1,228
|
|
Consumer
loans:
|
|
|
|
|
|
|
Residential
mortgage
|
53
|
|
162
|
|
481
|
|
Home
equity
|
(123)
|
|
120
|
|
183
|
|
Installment and other
consumer
|
359
|
|
272
|
|
258
|
|
Consumer
construction
|
(8)
|
|
(37)
|
|
(8)
|
|
Total Consumer Loan
Charge-offs
|
281
|
|
517
|
|
914
|
|
Total Net Loan
Charge-offs
|
($184)
|
|
$1,304
|
|
$2,142
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
|
2017
|
|
|
First
|
|
Fourth
|
|
First
|
|
(dollars in
thousands)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
Asset Quality
Data
|
|
|
|
|
|
|
Nonperforming
loans
|
$21,335
|
|
$23,938
|
|
$45,992
|
|
OREO
|
2,920
|
|
469
|
|
873
|
|
Nonperforming
assets
|
24,255
|
|
24,407
|
|
46,865
|
|
Troubled debt
restructurings (nonaccruing)
|
8,560
|
|
11,150
|
|
10,324
|
|
Troubled debt
restructurings (accruing)
|
20,035
|
|
14,901
|
|
13,086
|
|
Total troubled debt
restructurings
|
28,595
|
|
26,051
|
|
23,410
|
|
Nonperforming loans /
loans
|
0.37%
|
|
0.42%
|
|
0.80%
|
|
Nonperforming assets
/ loans plus OREO
|
0.42%
|
|
0.42%
|
|
0.81%
|
|
Allowance for loan
losses / total portfolio loans
|
1.03%
|
|
0.98%
|
|
0.97%
|
|
Allowance for loan
losses / nonperforming loans
|
277%
|
|
236%
|
|
121%
|
|
Net loan charge-offs
(recoveries)
|
($184)
|
|
$1,304
|
|
$2,142
|
|
Net loan charge-offs
(recoveries)(annualized) / average loans
|
(0.01)%
|
|
0.09%
|
|
0.15%
|
|
S&T
Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
Definitions and
Reconciliation of GAAP to Non-GAAP Financial
Measures:
|
|
|
|
|
|
|
|
|
2018
|
|
2017
|
|
2017
|
|
|
First
|
|
Fourth
|
|
First
|
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
|
|
|
|
|
|
|
(1) Tangible
Book Value (non-GAAP)
|
|
|
|
|
|
|
Total
shareholders' equity
|
$895,407
|
|
$884,031
|
|
$855,180
|
|
Less: goodwill and
other intangible assets
|
(290,572)
|
|
(295,347)
|
|
(296,222)
|
|
Tax effect of other
intangible assets
|
656
|
|
1,287
|
|
1,593
|
|
Tangible common
equity (non-GAAP)
|
$605,491
|
|
$589,971
|
|
$560,551
|
|
Common shares
outstanding
|
35,001
|
|
34,972
|
|
34,981
|
|
Tangible book
value (non-GAAP)
|
$17.30
|
|
$16.87
|
|
$16.02
|
|
|
|
|
|
|
|
|
(2) Return on Average
Tangible Shareholders' Equity (non-GAAP)
|
|
|
|
|
|
|
Net income
(annualized)
|
$106,105
|
|
$36,873
|
|
$73,762
|
|
Plus:
amortization of intangibles (annualized)
|
1,037
|
|
1,109
|
|
1,453
|
|
Tax effect of
amortization of intangibles (annualized)
|
(218)
|
|
(388)
|
|
(509)
|
|
Net income
before amortization of intangibles (annualized)
|
$106,924
|
|
$37,594
|
|
$74,706
|
|
|
|
|
|
|
|
|
Average total
shareholders' equity
|
$889,808
|
|
$891,174
|
|
$850,119
|
|
Less: average
goodwill and other intangible assets
|
(290,754)
|
|
(295,495)
|
|
(296,416)
|
|
Tax effect of
average goodwill and other intangible assets
|
685
|
|
1,339
|
|
1,661
|
|
Average
tangible equity (non-GAAP)
|
$599,739
|
|
$597,018
|
|
$555,364
|
|
Return on
average tangible equity (non-GAAP)
|
17.83%
|
|
6.30%
|
|
13.45%
|
|
|
|
|
|
|
|
|
(3) Efficiency
Ratio (non-GAAP)
|
|
|
|
|
|
|
Noninterest
expense
|
$36,082
|
|
$37,947
|
|
$36,808
|
|
|
|
|
|
|
|
|
Net interest income
per consolidated statements of net income
|
$56,932
|
|
$57,828
|
|
$53,878
|
|
Less: net (gains) losses on
sale of securities
|
—
|
|
986
|
|
(370)
|
|
Plus: taxable equivalent
adjustment
|
940
|
|
1,878
|
|
1,871
|
|
Net interest income
(FTE) (non-GAAP)
|
57,872
|
|
60,692
|
|
55,379
|
|
Noninterest
income
|
13,792
|
|
12,650
|
|
12,996
|
|
Net interest income
(FTE) (non-GAAP) plus noninterest income
|
$71,664
|
|
$73,342
|
|
$68,375
|
|
Efficiency ratio
(non-GAAP)
|
50.35%
|
|
51.75%
|
|
53.83%
|
|
|
|
|
|
|
|
|
(4) Tangible Common
Equity / Tangible Assets (non-GAAP)
|
|
|
|
|
|
|
Total
shareholders' equity
|
$895,407
|
|
$884,031
|
|
$855,180
|
|
Less: goodwill and
other intangible assets
|
(290,572)
|
|
(295,347)
|
|
(296,222)
|
|
Tax effect of goodwill
and other intangible assets
|
656
|
|
1,287
|
|
1,593
|
|
Tangible common
equity (non-GAAP)
|
$605,491
|
|
$589,971
|
|
$560,551
|
|
|
|
|
|
|
|
|
Total
assets
|
$7,005,329
|
|
$7,060,255
|
|
$7,065,098
|
|
Less: goodwill and
other intangible assets
|
(290,572)
|
|
(295,347)
|
|
(296,222)
|
|
Tax effect of goodwill
and other intangible assets
|
656
|
|
1,287
|
|
1,593
|
|
Tangible assets
(non-GAAP)
|
$6,715,413
|
|
$6,766,195
|
|
$6,770,469
|
|
Tangible common
equity to tangible assets (non-GAAP)
|
9.02%
|
|
8.72%
|
|
8.28%
|
|
|
|
|
|
|
|
|
(5) Net Interest Margin
Rate (FTE) (non-GAAP)
|
|
|
|
|
|
|
Interest
income
|
$68,029
|
|
$67,855
|
|
$61,150
|
|
Less: interest
expense
|
(11,097)
|
|
(10,027)
|
|
(7,272)
|
|
Net interest
income per consolidated statements of net income
|
56,932
|
|
57,828
|
|
53,878
|
|
Plus: taxable
equivalent adjustment
|
940
|
|
1,878
|
|
1,871
|
|
Net interest
income (FTE) (non-GAAP)
|
57,872
|
|
59,706
|
|
55,749
|
|
Net interest
income (FTE) (annualized)
|
234,703
|
|
237,526
|
|
226,093
|
|
Average earning
assets
|
$6,519,819
|
|
$6,621,766
|
|
$6,445,745
|
|
Net interest
margin - (FTE) (non-GAAP)
|
3.59%
|
|
3.58%
|
|
3.50%
|
|
|
|
|
|
|
|
|
|
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SOURCE S&T Bancorp, Inc.