For the quarter ended December 31, 2014, the Company reported net income
of
For the year ended December 31, 2014, the Company reported net income of
Performance Highlights
-
New loans and leases, including equipment under operating lease, grew
by
$1.5 billion during the fourth quarter of 2014. For the year ended December 31, 2014, new loans and leases increased by$4.1 billion , excluding the impact of the sale of$303 million of indirect auto loans in the second quarter of 2014. -
Total deposits increased by
$678 million for the quarter ended December 31, 2014 to$13.5 billion , reflecting growth across all deposit categories. For the year ended December 31, 2014, total deposits grew by$3.0 billion . -
Net interest income increased by
$7.2 million to $171.5 million for the quarter ended December 31, 2014 from$164.3 million for the quarter ended December 31, 2013. Interest income increased by$11.6 million primarily as a result of an increase in the average balance of loans outstanding, partially offset by a decline in the yield on loans. An increase in the average balance of investment securities also contributed to the increase in interest income. Interest expense increased by$4.3 million due primarily to an increase in average interest bearing liabilities, offset to a small degree by a decline in the cost of interest bearing liabilities. - The net interest margin, calculated on a tax-equivalent basis, was 4.26% for the quarter ended December 31, 2014 compared to 5.24% for the quarter ended December 31, 2013 and 4.58% for the immediately preceding quarter ended September 30, 2014. The net interest margin continues to be impacted by the origination of new loans at current market yields lower than those on loans acquired in the FSB Acquisition (as defined below).
- Earnings for the fourth quarter of 2014 benefited from a reduction in the effective income tax rate resulting primarily from changes in certain state income tax positions.
-
Book value and tangible book value per common share grew to
$20.19 and$19.52 , respectively, at December 31, 2014.
Capital
The Company and its banking subsidiary continue to exceed all regulatory guidelines required to be considered well capitalized. The Company’s regulatory capital ratios at December 31, 2014 were as follows:
| Tier 1 leverage | 10.7 | % | |||||||||
| Tier 1 risk-based capital | 15.5 | % | |||||||||
| Total risk-based capital | 16.3 | % |
Loans and Leases
Loans, net of premiums, discounts and deferred fees and costs, increased
to
For the quarter ended December 31, 2014, new commercial loans, including
commercial real estate loans, commercial and industrial loans, and
leases, grew
The
A comparison of portfolio composition at the dates indicated follows:
| New Loans | Total Loans | |||||||
|
December 31, 2014 |
December 31, 2013 |
December 31, 2014 |
December 31, 2013 |
|||||
| Single family residential and home equity | 22.2% | 24.0% | 28.6% | 34.3% | ||||
| Commercial real estate | 43.2% | 38.5% | 40.0% | 34.3% | ||||
| Commercial | 34.4% | 34.7% | 31.2% | 29.0% | ||||
| Consumer | 0.2% | 2.8% | 0.2% | 2.4% | ||||
| 100.0% | 100.0% | 100.0% | 100.0% | |||||
The Company's portfolio of equipment under operating lease grew by
Asset Quality
Asset quality remains strong. The ratio of non-performing, non-covered
loans to total non-covered loans declined to 0.29% at December 31, 2014
from 0.31% at December 31, 2013. The ratio of total non-performing loans
to total loans declined to 0.31% at December 31, 2014 from 0.39% at
December 31, 2013. The ratio of the allowance for non-covered loan and
lease losses to non-performing, non-covered loans increased to 281.54%
at December 31, 2014 from 246.73% at December 31, 2013. At December 31,
2014, non-performing assets totaled
The provision for loan losses for the three months and year ended
For the years ended December 31, 2014 and 2013, the Company recorded
provisions for loan losses of
The following tables summarize the activity in the allowance for loan and lease losses for the periods indicated (in thousands):
| Three Months Ended December 31, 2014 | Three Months Ended December 31, 2013 | |||||||||||||||||||||||||||||||
| ACI Loans |
Non-ACI
Loans |
New Loans | Total | ACI Loans |
Non-ACI
Loans |
New Loans | Total | |||||||||||||||||||||||||
| Balance at beginning of period | $ | — | $ | 5,789 | $ | 73,079 | $ | 78,868 | $ | 3,345 | $ | 10,743 | $ | 45,531 | $ | 59,619 | ||||||||||||||||
| Provision (recovery) | — | (1,035 | ) | 21,558 | 20,523 | (452 | ) | (299 | ) | 13,263 | 12,512 | |||||||||||||||||||||
| Charge-offs | — | (810 | ) | (3,386 | ) | (4,196 | ) | — | (1,083 | ) | (1,644 | ) | (2,727 | ) | ||||||||||||||||||
| Recoveries | — | 248 | 99 | 347 | — | 140 | 181 | 321 | ||||||||||||||||||||||||
| Balance at end of period | $ | — | $ | 4,192 | $ | 91,350 | $ | 95,542 | $ | 2,893 | $ | 9,501 | $ | 57,331 | $ | 69,725 | ||||||||||||||||
| Year Ended December 31, 2014 | Year Ended December 31, 2013 | |||||||||||||||||||||||||||||||
| ACI Loans |
Non-ACI
Loans |
New Loans | Total | ACI Loans |
Non-ACI
Loans |
New Loans | Total | |||||||||||||||||||||||||
| Balance at beginning of period | $ | 2,893 | $ | 9,502 | $ | 57,330 | $ | 69,725 | $ | 8,019 | $ | 9,874 | $ | 41,228 | $ | 59,121 | ||||||||||||||||
| Provision (recovery) | 2,311 | (2,554 | ) | 41,748 | 41,505 | (2,892 | ) | 1,153 | 33,703 | 31,964 | ||||||||||||||||||||||
| Charge-offs | (5,204 | ) | (3,496 | ) | (8,754 | ) | (17,454 | ) | (2,234 | ) | (4,306 | ) | (18,481 | ) | (25,021 | ) | ||||||||||||||||
| Recoveries | — | 740 | 1,026 | 1,766 | — | 2,780 | 881 | 3,661 | ||||||||||||||||||||||||
| Balance at end of period | $ | — | $ | 4,192 | $ | 91,350 | $ | 95,542 | $ | 2,893 | $ | 9,501 | $ | 57,331 | $ | 69,725 | ||||||||||||||||
Credit risk continues to be limited, though to a declining extent, by
the Loss Sharing Agreements with the
Deposits
At December 31, 2014, deposits totaled
Net interest income
Net interest income for the quarter ended December 31, 2014 increased to
The Company’s net interest margin, calculated on a tax-equivalent basis, was 4.26% for the quarter ended December 31, 2014 as compared to 5.24% for the quarter ended December 31, 2013. Net interest margin, calculated on a tax-equivalent basis, was 4.61% for the year ended December 31, 2014 as compared to 5.73% for the year ended December 31, 2013. Significant factors impacting this expected trend in net interest margin for the quarter and year ended December 31, 2014 included:
- The tax-equivalent yield on loans declined to 5.89% and 6.44%, respectively, for the quarter and year ended December 31, 2014 compared to 7.80% and 9.18% for the corresponding periods in 2013, primarily because new loans, originated at yields lower than those on loans acquired in the FSB Acquisition, comprised a greater percentage of total loans.
- The yield on new loans was 3.52% and 3.56%, respectively for the quarter and year ended December 31, 2014 compared to 3.60% and 3.76% for the corresponding periods in 2013, primarily reflecting the impact of lower interest rates on new production over the last year.
-
The yield on loans acquired in the FSB Acquisition increased to 27.15%
for the quarter ended December 31, 2014 from 26.59% for the
corresponding period in 2013. For the year ended December 31, 2014,
the yield on loans acquired in the FSB Acquisition increased to 27.09%
from 26.02% for the year ended
December 31, 2013 . - The average rate on interest bearing liabilities declined to 0.86% and 0.87%, respectively, for the quarter and year ended December 31, 2014 compared to 0.91% and 0.94% for the corresponding periods in 2013, primarily due to lower rates on time deposits and FHLB advances.
- Non-interest bearing deposits comprised a greater percentage of average total deposits for the quarter and year ended December 31, 2014 as compared to the corresponding periods in 2013. Average non-interest bearing deposits were 20% of average total deposits for both the quarter and year ended December 31, 2014, respectively, as compared to 19% and 17% of average total deposits for the corresponding periods in 2013.
Interest income included proceeds of
The Company’s net interest margin continues to be impacted by reclassifications from non-accretable difference to accretable yield on ACI loans. Non-accretable difference at acquisition represented the difference between the total contractual payments due and the cash flows expected to be received on these loans. The accretable yield on ACI loans represented the amount by which undiscounted expected future cash flows exceeded the recorded investment in the loans. As the Company’s expected cash flows from ACI loans have increased since the FSB Acquisition, the Company has reclassified amounts from non-accretable difference to accretable yield.
Changes in accretable yield on ACI loans for the years ended December 31, 2014 and 2013 were as follows (in thousands):
| Balance at December 31, 2012 | $ | 1,286,066 | ||
| Reclassifications from non-accretable difference | 282,952 | |||
| Accretion | (410,446 | ) | ||
| Balance at December 31, 2013 | 1,158,572 | |||
| Reclassifications from non-accretable difference | 185,604 | |||
| Accretion | (338,864 | ) | ||
| Balance at December 31, 2014 | $ | 1,005,312 | ||
Non-interest income
Non-interest income totaled
The consolidated statement of income line items Provision for (recovery
of) loan losses for covered loans; Income from resolution of covered
assets, net; Gain (loss) on sale of covered loans; Loss on covered
investment securities available for sale and Gain on covered OREO relate
to transactions in the covered assets. The line item Net loss on
Income from resolution of covered assets, net was
The Company recognized net gains (losses) on the sale of covered loans
of
Net loss on
Income from lease financing increased to
Non-interest expense
Non-interest expense totaled
Increased compensation and occupancy and equipment expenses for the
quarter and year ended December 31, 2014 compared to the quarter and
year ended December 31, 2013 related to the Company’s overall growth and
its expansion into
Amortization of the
Provision for income taxes
The effective income tax rate decreased to 23.9% and 30.4%, respectively, for the quarter and year ended December 31, 2014 from 28.6% and 34.3% for the quarter and year ended December 31, 2013. These decreases primarily reflect the impact of increases in tax-exempt income, changes in state income tax positions, reductions in liabilities for uncertain state tax positions and benefits resulting from state tax law changes.
Non-GAAP Financial Measure
Tangible book value per common share is a non-GAAP financial measure. Management believes this measure is relevant to understanding the capital position and performance of the Company. Disclosure of this non-GAAP financial measure also provides a meaningful base for comparability to other financial institutions. The following table reconciles the non-GAAP financial measurement of tangible book value per common share to the comparable GAAP financial measurement of book value per common share at December 31, 2014 (in thousands except share and per share data):
| Total stockholders’ equity | $ | 2,052,534 | ||||||
| Less: goodwill and other intangible assets | 68,414 | |||||||
| Tangible stockholders’ equity | $ | 1,984,120 | ||||||
| Common shares issued and outstanding | 101,656,702 | |||||||
| Book value per common share | $ | 20.19 | ||||||
| Tangible book value per common share | $ | 19.52 | ||||||
Earnings Conference Call and Presentation
A conference call to discuss quarterly results will be held at 9:00 a.m.
ET on
The earnings release will be available on the Investor Relations page
under About Us on www.bankunited.com
prior to the call. The call may be accessed via a live Internet webcast
at www.bankunited.com
or through a dial in telephone number at (888) 713-4218 (domestic) or
(617) 213-4870 (international). The name of the call is
About BankUnited, Inc. and the FSB Acquisition
BankUnited, Inc., with total assets of
The Company was organized by a management team led by its Chairman,
President and Chief Executive Officer,
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the Company’s current views with respect to, among other things, future events and financial performance.
The Company generally identifies forward-looking statements by terminology such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “could,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of those words or other comparable words. Any forward-looking statements contained in this press release are based on the historical performance of the Company and its subsidiaries or on the Company’s current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by the Company that the future plans, estimates or expectations contemplated by the Company will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions relating to the Company’s operations, financial results, financial condition, business prospects, growth strategy and liquidity. If one or more of these or other risks or uncertainties materialize, or if the Company’s underlying assumptions prove to be incorrect, the Company’s actual results may vary materially from those indicated in these statements. These factors should not be construed as exhaustive. The Company does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements. Information on these factors can be found in the Company’s Annual Report on Form 10-K for the year ended December 31, 2013 available at the SEC’s website (www.sec.gov).
| BANKUNITED, INC. AND SUBSIDIARIES | ||||||||
| CONSOLIDATED BALANCE SHEETS - UNAUDITED | ||||||||
| (In thousands, except share and per share data) | ||||||||
|
December 31, 2014 |
December 31, 2013 |
|||||||
| ASSETS | ||||||||
| Cash and due from banks: | ||||||||
| Non-interest bearing | $ | 46,268 | $ | 45,976 | ||||
| Interest bearing | 33,979 | 14,590 | ||||||
| Interest bearing deposits at Federal Reserve Bank | 100,596 | 190,075 | ||||||
| Federal funds sold | 6,674 | 2,108 | ||||||
| Cash and cash equivalents | 187,517 | 252,749 | ||||||
| Investment securities available for sale, at fair value (including covered securities of $205,769 at December 31, 2013) | 4,585,694 | 3,637,124 | ||||||
| Investment securities held to maturity | 10,000 | — | ||||||
| Non-marketable equity securities | 191,674 | 152,066 | ||||||
| Loans held for sale | 1,399 | 194 | ||||||
| Loans (including covered loans of $1,043,864 and $1,483,888) | 12,414,769 | 9,053,609 | ||||||
| Allowance for loan and lease losses | (95,542 | ) | (69,725 | ) | ||||
| Loans, net | 12,319,227 | 8,983,884 | ||||||
| FDIC indemnification asset | 974,704 | 1,205,117 | ||||||
| Bank owned life insurance | 215,065 | 206,759 | ||||||
| Equipment under operating lease | 314,558 | 196,483 | ||||||
| Other real estate owned (including covered OREO of $13,645 and $39,672) | 13,780 | 40,570 | ||||||
| Deferred tax asset, net | 117,215 | 70,626 | ||||||
| Goodwill and other intangible assets | 68,414 | 69,067 | ||||||
| Other assets | 211,282 | 232,010 | ||||||
| Total assets | $ | 19,210,529 | $ | 15,046,649 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Liabilities: | ||||||||
| Demand deposits: | ||||||||
| Non-interest bearing | $ | 2,714,127 | $ | 2,171,335 | ||||
| Interest bearing | 899,696 | 676,079 | ||||||
| Savings and money market | 5,896,007 | 4,402,987 | ||||||
| Time | 4,001,925 | 3,282,027 | ||||||
| Total deposits | 13,511,755 | 10,532,428 | ||||||
| Federal Home Loan Bank advances and other borrowings | 3,318,559 | 2,414,313 | ||||||
| Other liabilities | 327,681 | 171,210 | ||||||
| Total liabilities | 17,157,995 | 13,117,951 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders' equity: | ||||||||
| Common stock, par value $0.01 per share, 400,000,000 shares authorized; 101,656,702 and 101,013,014 shares issued and outstanding | 1,017 | 1,010 | ||||||
| Paid-in capital | 1,353,538 | 1,334,945 | ||||||
| Retained earnings | 651,627 | 535,263 | ||||||
| Accumulated other comprehensive income | 46,352 | 57,480 | ||||||
| Total stockholders' equity | 2,052,534 | 1,928,698 | ||||||
| Total liabilities and stockholders' equity | $ | 19,210,529 | $ | 15,046,649 | ||||
| BANKUNITED, INC. AND SUBSIDIARIES | ||||||||||||||||
| CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED | ||||||||||||||||
| (In thousands, except per share data) | ||||||||||||||||
|
Three Months Ended December 31, |
Years Ended December 31, |
|||||||||||||||
| 2014 | 2013 | 2014 | 2013 | |||||||||||||
| Interest income: | ||||||||||||||||
| Loans | $ | 167,679 | $ | 160,761 | $ | 667,237 | $ | 618,944 | ||||||||
| Investment securities | 30,279 | 26,341 | 108,662 | 114,535 | ||||||||||||
| Other | 2,269 | 1,562 | 7,845 | 5,342 | ||||||||||||
| Total interest income | 200,227 | 188,664 | 783,744 | 738,821 | ||||||||||||
| Interest expense: | ||||||||||||||||
| Deposits | 19,967 | 16,279 | 72,961 | 60,566 | ||||||||||||
| Borrowings | 8,758 | 8,130 | 33,690 | 32,045 | ||||||||||||
| Total interest expense | 28,725 | 24,409 | 106,651 | 92,611 | ||||||||||||
| Net interest income before provision for loan losses | 171,502 | 164,255 | 677,093 | 646,210 | ||||||||||||
| Provision for (recovery of) loan losses (including $(1,035), $(751), $(243) and $(1,739) for covered loans) | 20,523 | 12,512 | 41,505 | 31,964 | ||||||||||||
| Net interest income after provision for loan losses | 150,979 | 151,743 | 635,588 | 614,246 | ||||||||||||
| Non-interest income: | ||||||||||||||||
| Income from resolution of covered assets, net | 9,326 | 14,500 | 49,082 | 78,862 | ||||||||||||
| Net loss on FDIC indemnification | (6,638 | ) | (2,891 | ) | (46,396 | ) | (50,638 | ) | ||||||||
| FDIC reimbursement of costs of resolution of covered assets | 789 | 2,232 | 4,440 | 9,397 | ||||||||||||
| Service charges and fees | 4,185 | 3,914 | 16,612 | 14,255 | ||||||||||||
| Gain (loss) on sale of loans, net (including gain (loss) related to covered loans of $(2,226), $(6,827), $20,369, and $(16,195)) | (2,065 | ) | (6,728 | ) | 21,047 | (15,469 | ) | |||||||||
| Gain on investment securities available for sale, net (including loss related to covered securities of $(963) for the year ended December 31, 2013) | 2,703 | 2,341 | 3,859 | 8,629 | ||||||||||||
| Lease financing | 8,916 | 3,655 | 21,601 | 8,214 | ||||||||||||
| Other non-interest income | 1,830 | 3,986 | 13,920 | 14,799 | ||||||||||||
| Total non-interest income | 19,046 | 21,009 | 84,165 | 68,049 | ||||||||||||
| Non-interest expense: | ||||||||||||||||
| Employee compensation and benefits | 46,210 | 43,544 | 195,218 | 173,763 | ||||||||||||
| Occupancy and equipment | 18,275 | 16,772 | 70,520 | 63,766 | ||||||||||||
| Amortization of FDIC indemnification asset | 20,587 | 15,159 | 69,470 | 36,943 | ||||||||||||
| Gain on other real estate owned, net (including gain related to covered OREO of $(249), $(509), $(2,744) and $(7,629)) | (251 | ) | (509 | ) | (2,617 | ) | (7,629 | ) | ||||||||
| Foreclosure and other real estate owned expense | 1,080 | 3,010 | 4,976 | 10,442 | ||||||||||||
| Deposit insurance expense | 2,333 | 2,061 | 9,348 | 7,648 | ||||||||||||
| Professional fees | 3,515 | 4,722 | 13,178 | 21,934 | ||||||||||||
| Telecommunications and data processing | 3,476 | 3,340 | 13,381 | 13,034 | ||||||||||||
| Other non-interest expense | 13,264 | 11,264 | 53,029 | 44,392 | ||||||||||||
| Total non-interest expense | 108,489 | 99,363 | 426,503 | 364,293 | ||||||||||||
| Income before income taxes | 61,536 | 73,389 | 293,250 | 318,002 | ||||||||||||
| Provision for income taxes | 14,702 | 20,996 | 89,035 | 109,066 | ||||||||||||
| Net income | $ | 46,834 | $ | 52,393 | $ | 204,215 | $ | 208,936 | ||||||||
| Earnings per common share, basic | $ | 0.45 | $ | 0.50 | $ | 1.95 | $ | 2.03 | ||||||||
| Earnings per common share, diluted | $ | 0.45 | $ | 0.50 | $ | 1.95 | $ | 2.01 | ||||||||
| Cash dividends declared per common share | $ | 0.21 | $ | 0.21 | $ | 0.84 | $ | 0.84 | ||||||||
| BANKUNITED, INC. AND SUBSIDIARIES | ||||||||||||||||||||||
| AVERAGE BALANCES AND YIELDS | ||||||||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||||
| Three Months Ended December 31, | ||||||||||||||||||||||
| 2014 | 2013 | |||||||||||||||||||||
| Average Balance | Interest (1) |
Yield / Rate (2) |
Average Balance | Interest (1) |
Yield / Rate (2) |
|||||||||||||||||
| Assets: | ||||||||||||||||||||||
| Interest earning assets: | ||||||||||||||||||||||
| Loans | $ | 11,565,407 | $ | 170,966 | 5.89 | % | $ | 8,320,870 | $ | 162,804 | 7.80 | % | ||||||||||
| Investment securities (3) | 4,401,576 | 31,055 | 2.82 | % | 3,809,501 | 26,961 | 2.83 | % | ||||||||||||||
| Other interest earning assets | 495,275 | 2,269 | 1.82 | % | 585,414 | 1,562 | 1.06 | % | ||||||||||||||
| Total interest earning assets | 16,462,258 | 204,290 | 4.95 | % | 12,715,785 | 191,327 | 6.00 | % | ||||||||||||||
| Allowance for loan and lease losses | (82,923 | ) | (63,020 | ) | ||||||||||||||||||
| Non-interest earning assets | 1,926,249 | 2,050,776 | ||||||||||||||||||||
| Total assets | $ | 18,305,584 | $ | 14,703,541 | ||||||||||||||||||
| Liabilities and Stockholders' Equity: | ||||||||||||||||||||||
| Interest bearing liabilities: | ||||||||||||||||||||||
| Interest bearing demand deposits | $ | 898,116 | 984 | 0.43 | % | $ | 642,935 | 753 | 0.46 | % | ||||||||||||
| Savings and money market deposits | 5,616,832 | 7,603 | 0.54 | % | 4,494,773 | 5,444 | 0.48 | % | ||||||||||||||
| Time deposits | 3,933,781 | 11,380 | 1.15 | % | 3,171,318 | 10,082 | 1.26 | % | ||||||||||||||
| Total interest bearing deposits | 10,448,729 | 19,967 | 0.76 | % | 8,309,026 | 16,279 | 0.78 | % | ||||||||||||||
| FHLB advances and other borrowings | 2,857,684 | 8,758 | 1.22 | % | 2,292,375 | 8,130 | 1.41 | % | ||||||||||||||
| Total interest bearing liabilities | 13,306,413 | 28,725 | 0.86 | % | 10,601,401 | 24,409 | 0.91 | % | ||||||||||||||
| Non-interest bearing demand deposits | 2,650,525 | 1,963,335 | ||||||||||||||||||||
| Other non-interest bearing liabilities | 283,812 | 221,152 | ||||||||||||||||||||
| Total liabilities | 16,240,750 | 12,785,888 | ||||||||||||||||||||
| Stockholders' equity | 2,064,834 | 1,917,653 | ||||||||||||||||||||
| Total liabilities and stockholders' equity | $ | 18,305,584 | $ | 14,703,541 | ||||||||||||||||||
| Net interest income | $ | 175,565 | $ | 166,918 | ||||||||||||||||||
| Interest rate spread | 4.09 | % | 5.09 | % | ||||||||||||||||||
| Net interest margin | 4.26 | % | 5.24 | % | ||||||||||||||||||
(1) On a tax-equivalent basis where applicable
(2) Annualized
(3) At fair value except for securities held to maturity
| BANKUNITED, INC. AND SUBSIDIARIES | ||||||||||||||||||||||
| AVERAGE BALANCES AND YIELDS | ||||||||||||||||||||||
| (Dollars in thousands) | ||||||||||||||||||||||
| Years Ended December 31, | ||||||||||||||||||||||
| 2014 | 2013 | |||||||||||||||||||||
| Average Balance | Interest (1) | Yield / Rate | Average Balance | Interest (1) | Yield / Rate | |||||||||||||||||
| Assets: | ||||||||||||||||||||||
| Interest earning assets: | ||||||||||||||||||||||
| Loans | $ | 10,536,287 | $ | 678,274 | 6.44 | % | $ | 6,817,786 | $ | 625,948 | 9.18 | % | ||||||||||
| Investment securities (2) | 3,984,543 | 111,471 | 2.80 | % | 4,135,407 | 117,289 | 2.84 | % | ||||||||||||||
| Other interest earning assets | 453,252 | 7,845 | 1.73 | % | 500,306 | 5,342 | 1.07 | % | ||||||||||||||
| Total interest earning assets | 14,974,082 | 797,590 | 5.33 | % | 11,453,499 | 748,579 | 6.54 | % | ||||||||||||||
| Allowance for loan and lease losses | (76,606 | ) | (62,461 | ) | ||||||||||||||||||
| Non-interest earning assets | 1,928,564 | 2,057,923 | ||||||||||||||||||||
| Total assets | $ | 16,826,040 | $ | 13,448,961 | ||||||||||||||||||
| Liabilities and Stockholders' Equity: | ||||||||||||||||||||||
| Interest bearing liabilities: | ||||||||||||||||||||||
| Interest bearing demand deposits | $ | 773,655 | 3,254 | 0.42 | % | $ | 582,623 | 2,698 | 0.46 | % | ||||||||||||
| Savings and money market deposits | 5,092,444 | 25,915 | 0.51 | % | 4,280,531 | 20,620 | 0.48 | % | ||||||||||||||
| Time deposits | 3,716,611 | 43,792 | 1.18 | % | 2,844,377 | 37,248 | 1.31 | % | ||||||||||||||
| Total interest bearing deposits | 9,582,710 | 72,961 | 0.76 | % | 7,707,531 | 60,566 | 0.79 | % | ||||||||||||||
| FHLB advances and other borrowings | 2,623,924 | 33,690 | 1.28 | % | 2,098,231 | 32,045 | 1.53 | % | ||||||||||||||
| Total interest bearing liabilities | 12,206,634 | 106,651 | 0.87 | % | 9,805,762 | 92,611 | 0.94 | % | ||||||||||||||
| Non-interest bearing demand deposits | 2,366,621 | 1,586,007 | ||||||||||||||||||||
| Other non-interest bearing liabilities | 235,930 | 184,645 | ||||||||||||||||||||
| Total liabilities | 14,809,185 | 11,576,414 | ||||||||||||||||||||
| Stockholders' equity | 2,016,855 | 1,872,547 | ||||||||||||||||||||
| Total liabilities and stockholders' equity | $ | 16,826,040 | $ | 13,448,961 | ||||||||||||||||||
| Net interest income | $ | 690,939 | $ | 655,968 | ||||||||||||||||||
| Interest rate spread | 4.46 | % | 5.60 | % | ||||||||||||||||||
| Net interest margin | 4.61 | % | 5.73 | % | ||||||||||||||||||
(1) On a tax-equivalent basis where applicable
(2) At fair value except for securities held to maturity
| BANKUNITED, INC. AND SUBSIDIARIES | ||||||||||||||||
| EARNINGS PER COMMON SHARE | ||||||||||||||||
| (In thousands except share amounts) | ||||||||||||||||
|
Three Months Ended December 31, |
Years Ended December 31, |
|||||||||||||||
|
|
2014 | 2013 | 2014 | 2013 | ||||||||||||
| Basic earnings per common share: | ||||||||||||||||
| Numerator: | ||||||||||||||||
| Net income | $ | 46,834 | $ | 52,393 | $ | 204,215 | $ | 208,936 | ||||||||
| Distributed and undistributed earnings allocated to participating securities | (1,777 | ) | (1,957 | ) | (7,991 | ) | (9,380 | ) | ||||||||
| Income allocated to common stockholders for basic earnings per common share | $ | 45,057 | $ | 50,436 | $ | 196,224 | $ | 199,556 | ||||||||
| Denominator: | ||||||||||||||||
| Weighted average common shares outstanding | 101,657,597 | 100,942,859 | 101,574,076 | 99,587,970 | ||||||||||||
| Less average unvested stock awards | (1,110,377 | ) | (1,021,034 | ) | (1,117,869 | ) | (1,093,930 | ) | ||||||||
| Weighted average shares for basic earnings per common share | 100,547,220 | 99,921,825 | 100,456,207 | 98,494,040 | ||||||||||||
| Basic earnings per common share | $ | 0.45 | $ | 0.50 | $ | 1.95 | $ | 2.03 | ||||||||
| Diluted earnings per common share: | ||||||||||||||||
| Numerator: | ||||||||||||||||
| Income allocated to common stockholders for basic earnings per common share | $ | 45,057 | $ | 50,436 | $ | 196,224 | $ | 199,556 | ||||||||
| Adjustment for earnings reallocated from participating securities | 3 | 3 | 16 | 1,265 | ||||||||||||
| Income used in calculating diluted earnings per common share | $ | 45,060 | $ | 50,439 | $ | 196,240 | $ | 200,821 | ||||||||
| Denominator: | ||||||||||||||||
| Average shares for basic earnings per common share | 100,547,220 | 99,921,825 | 100,456,207 | 98,494,040 | ||||||||||||
| Dilutive effect of stock options and preferred shares | 132,399 | 177,951 | 139,606 | 1,257,565 | ||||||||||||
| Weighted average shares for diluted earnings per common share | 100,679,619 | 100,099,776 | 100,595,813 | 99,751,605 | ||||||||||||
| Diluted earnings per common share | $ | 0.45 | $ | 0.50 | $ | 1.95 | $ | 2.01 | ||||||||
| BANKUNITED, INC. AND SUBSIDIARIES | ||||||||||||
| SELECTED RATIOS | ||||||||||||
| Three Months Ended December 31, | Years Ended December 31, | |||||||||||
| 2014 (5) | 2013 (5) | 2014 | 2013 | |||||||||
| Financial ratios | ||||||||||||
| Return on average assets | 1.02 | % | 1.41 | % | 1.21 | % | 1.55 | % | ||||
| Return on average stockholders’ equity | 9.00 | % | 10.84 | % | 10.13 | % | 11.16 | % | ||||
| Net interest margin (4) | 4.26 | % | 5.24 | % | 4.61 | % | 5.73 | % | ||||
| December 31, 2014 | December 31, 2013 | |||||
| Capital ratios | ||||||
| Tier 1 leverage | 10.70 | % | 12.42 | % | ||
| Tier 1 risk-based capital | 15.45 | % | 21.06 | % | ||
| Total risk-based capital | 16.27 | % | 21.93 | % | ||
| December 31, 2014 | December 31, 2013 | |||||||||||
| Non-Covered | Total | Non-Covered | Total | |||||||||
| Asset quality ratios | ||||||||||||
| Non-performing loans to total loans (1) (3) | 0.29 | % | 0.31 | % | 0.31 | % | 0.39 | % | ||||
| Non-performing assets to total assets (2) | 0.17 | % | 0.27 | % | 0.16 | % | 0.51 | % | ||||
| Allowance for loan and lease losses to total loans (3) | 0.80 | % | 0.77 | % | 0.76 | % | 0.77 | % | ||||
| Allowance for loan and lease losses to non-performing loans (1) | 281.54 | % | 244.69 | % | 246.73 | % | 195.52 | % | ||||
| Net charge-offs to average loans | 0.08 | % | 0.15 | % | 0.34 | % | 0.31 | % | ||||
(1) We define non-performing loans to include non-accrual loans, loans, other than ACI loans, that are past due 90 days or more and still accruing and certain loans modified in troubled debt restructurings. Contractually delinquent ACI loans on which interest continues to be accreted are excluded from non-performing loans.
(2) Non-performing assets include non-performing loans and OREO.
(3) Total loans is net of premiums, discounts, and deferred fees and costs.
(4) On a tax-equivalent basis.
(5) Annualized.
Source:
BankUnited, Inc.
Investor Relations:
Leslie Lunak,
786-313-1698
llunak@bankunited.com
or
Media
Relations:
Mary Harris, 305-817-8117
mharris@bankunited.com