The Bancorp, Inc. ("The Bancorp" or "we") (NASDAQ: TBBK), a financial holding company, today reported financial results for the third quarter of 2022.
Highlights
CEO Damian Kozlowski stated "Revenue growth continues across our platform as lending volumes steadily increase and new payment partners are added to our ecosystem. The expansion of both net interest margin due to rising rates and payment fees across our verticals should support significantly increased profitability in 2023. We are issuing preliminary guidance for 2023 of $3.20 per share excluding the net impact of future share buybacks but including the expected impact of rate increases based on fed funds futures. We also reiterate $2.25 to $2.30 guidance for 2022. The $3.20 guidance for 2023 would represent approximately a 40% increase in earnings per share over 2022 and would result in an ROE percentage in the mid-20s and an ROA above 2%. We expect to increase our share repurchases to $25 million per quarter, or $100 million in 2023, from $15 million a quarter, or $60 million, in 2022."
Conference Call Webcast
You may access the LIVE webcast of The Bancorp's Quarterly Earnings Conference Call at 8:00 AM ET Friday, October 28, 2022 by clicking on the webcast link on The Bancorp's homepage at www.thebancorp.com. Or you may dial 1.866.652.5200 and ask to join The Bancorp, Inc. call. You may listen to the replay of the webcast following the live call on The Bancorp's investor relations website or telephonically until Friday, November 4, 2022 by dialing 1.877.344.7529, access code 5997176.
About The Bancorp
The Bancorp, Inc. (NASDAQ: TBBK), headquartered in Wilmington, Delaware, through its subsidiary, The Bancorp Bank, National Association, (or "The Bancorp Bank, N. A.") provides non-bank financial companies with the people, processes, and technology to meet their unique banking needs. Through its Fintech Solutions, Institutional Banking, Commercial Lending, and Real Estate Bridge Lending businesses, The Bancorp provides partner-focused solutions paired with cutting-edge technology for companies that range from entrepreneurial startups to Fortune 500 companies. With over 20 years of experience, The Bancorp has become a leader in the financial services industry, earning recognition as the #1 issuer of prepaid cards in the U.S., a nationwide provider of bridge financing for real estate capital improvement plans, an SBA National Preferred Lender, a leading provider of securities-backed lines of credit, with one of the few bank-owned commercial vehicle leasing groups. By its company-wide commitment to excellence, The Bancorp has also been ranked as one of the 100 Fastest-Growing Companies by Fortune, a Top 50 Employer by Equal Opportunity Magazine and was selected to be included in the S&P Small Cap 600. For more about The Bancorp, visit https://thebancorp.com/.
Forward-Looking Statements
Statements in this earnings release regarding The Bancorp's business which are not historical facts are "forward-looking statements." These statements may be identified by the use of forward-looking terminology, including but not limited to the words "intend," "may," "believe," "will," "expect," "look," "anticipate," "plan," "estimate," "continue," or similar words , and are based on current expectations about important economic, political, and technological factors, among others, and are subject to risks and uncertainties, which could cause the actual results, events or achievements to differ materially from those set forth in or implied by the forward-looking statements and related assumptions. For further discussion of the risks and uncertainties to which these forward-looking statements may be subject, see The Bancorp's filings with the Securities and Exchange Commission, including the "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of those filings. The forward-looking statements speak only as of the date of this press release. The Bancorp does not undertake to publicly revise or update forward-looking statements in this press release to reflect events or circumstances that arise after the date of this press release, except as may be required under applicable law.
The Bancorp, Inc. |
|||||||||||
Financial highlights |
|||||||||||
(unaudited) |
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
|
Nine months ended |
||||||
|
|
September 30, |
|
|
September 30, |
||||||
Consolidated condensed income statements |
2022 |
|
2021 |
|
2022 |
|
2021 |
||||
|
|
(Dollars in thousands, except per share and share data) |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ |
64,659 |
|
$ |
50,893 |
|
$ |
172,081 |
|
$ |
158,719 |
Provision for credit losses |
|
822 |
|
|
1,613 |
|
|
4,331 |
|
|
1,484 |
Non-interest income |
|
|
|
|
|
|
|
|
|
|
|
ACH, card and other payment processing fees |
|
2,230 |
|
|
1,905 |
|
|
6,552 |
|
|
5,605 |
Prepaid, debit card and related fees |
|
19,175 |
|
|
18,223 |
|
|
57,865 |
|
|
56,878 |
Net realized and unrealized gains on commercial |
|
|
|
|
|
|
|
|
|
|
|
loans, at fair value |
|
745 |
|
|
4,306 |
|
|
11,262 |
|
|
8,881 |
Leasing related income |
|
1,048 |
|
|
1,968 |
|
|
3,566 |
|
|
4,700 |
Other non-interest income |
|
228 |
|
|
186 |
|
|
698 |
|
|
459 |
Total non-interest income |
|
23,426 |
|
|
26,588 |
|
|
79,943 |
|
|
76,523 |
Non-interest expense |
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
28,001 |
|
|
25,094 |
|
|
77,848 |
|
|
77,839 |
Data processing expense |
|
1,292 |
|
|
1,209 |
|
|
3,727 |
|
|
3,481 |
Legal expense |
|
907 |
|
|
1,251 |
|
|
3,175 |
|
|
5,349 |
Legal settlement |
|
? |
|
|
? |
|
|
1,152 |
|
|
? |
Civil money penalty |
|
1,750 |
|
|
? |
|
|
1,750 |
|
|
? |
FDIC insurance |
|
679 |
|
|
266 |
|
|
2,326 |
|
|
5,235 |
Software |
|
4,001 |
|
|
4,045 |
|
|
12,030 |
|
|
11,435 |
Other non-interest expense |
|
8,200 |
|
|
7,519 |
|
|
24,019 |
|
|
21,811 |
Total non-interest expense |
|
44,830 |
|
|
39,384 |
|
|
126,027 |
|
|
125,150 |
Income from continuing operations before income taxes |
|
42,433 |
|
|
36,484 |
|
|
121,666 |
|
|
108,608 |
Income tax expense |
|
11,829 |
|
|
8,289 |
|
|
31,694 |
|
|
25,195 |
Net income from continuing operations |
|
30,604 |
|
|
28,195 |
|
|
89,972 |
|
|
83,413 |
Discontinued operations |
|
|
|
|
|
|
|
|
|
|
|
Income from discontinued operations before income taxes |
|
? |
|
|
87 |
|
|
? |
|
|
324 |
Income tax expense |
|
? |
|
|
21 |
|
|
? |
|
|
76 |
Net income from discontinued operations, net of tax |
|
? |
|
|
66 |
|
|
? |
|
|
248 |
Net income |
$ |
30,604 |
|
$ |
28,261 |
|
$ |
89,972 |
|
$ |
83,661 |
|
|
|
|
|
|
|
|
|
|
|
|
Net income per share from continuing operations - basic |
$ |
0.54 |
|
$ |
0.49 |
|
$ |
1.58 |
|
$ |
1.45 |
Net income per share from discontinued operations - basic |
$ |
? |
|
$ |
? |
|
$ |
? |
|
$ |
0.01 |
Net income per share - basic |
$ |
0.54 |
|
$ |
0.49 |
|
$ |
1.58 |
|
$ |
1.46 |
|
|
|
|
|
|
||||||
Net income per share from continuing operations - diluted |
$ |
0.54 |
|
$ |
0.48 |
|
$ |
1.56 |
|
$ |
1.41 |
Net income per share from discontinued operations - diluted |
$ |
? |
|
$ |
? |
|
$ |
? |
|
$ |
0.01 |
Net income per share - diluted |
$ |
0.54 |
|
$ |
0.48 |
|
$ |
1.56 |
|
$ |
1.42 |
Weighted average shares - basic |
|
56,429,425 |
|
|
57,198,778 |
|
|
56,782,524 |
|
|
57,221,174 |
Weighted average shares - diluted |
|
57,008,224 |
|
|
58,628,306 |
|
|
57,510,986 |
|
|
58,932,146 |
|
|||||||||||||||
Condensed consolidated balance sheets |
September 30, |
|
June 30, |
|
December 31, |
|
September 30, |
||||||||
|
2022 (unaudited) |
|
2022 (unaudited) |
|
2021 |
|
|
2021 (unaudited) |
|||||||
|
|
(Dollars in thousands, except per share and share data) |
|||||||||||||
Assets: |
|
|
|
|
|
|
|
|
|
|
|
||||
Cash and cash equivalents |
|
|
|
|
|
|
|
|
|
|
|
||||
Cash and due from banks |
$ |
22,537 |
|
|
$ |
12,873 |
|
|
$ |
5,382 |
|
|
$ |
6,687 |
|
Interest earning deposits at Federal Reserve Bank |
|
700,175 |
|
|
|
329,992 |
|
|
|
596,402 |
|
|
|
310,642 |
|
Total cash and cash equivalents |
|
722,712 |
|
|
|
342,865 |
|
|
|
601,784 |
|
|
|
317,329 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Investment securities, available-for-sale, at fair value |
|
790,594 |
|
|
|
826,616 |
|
|
|
953,709 |
|
|
|
1,054,223 |
|
Commercial loans, at fair value |
|
818,040 |
|
|
|
995,493 |
|
|
|
1,388,416 |
|
|
|
1,615,312 |
|
Loans, net of deferred fees and costs |
|
5,267,375 |
|
|
|
4,754,697 |
|
|
|
3,747,224 |
|
|
|
3,136,662 |
|
Allowance for credit losses |
|
(19,689 |
) |
|
|
(19,087 |
) |
|
|
(17,806 |
) |
|
|
(16,159 |
) |
Loans, net |
|
5,247,686 |
|
|
|
4,735,610 |
|
|
|
3,729,418 |
|
|
|
3,120,503 |
|
Federal Home Loan Bank, Atlantic Central Bankers Bank, and Federal Reserve Bank stock |
|
12,629 |
|
|
|
1,643 |
|
|
|
1,663 |
|
|
|
1,663 |
|
Premises and equipment, net |
|
18,443 |
|
|
|
16,693 |
|
|
|
16,156 |
|
|
|
16,602 |
|
Accrued interest receivable |
|
25,506 |
|
|
|
19,264 |
|
|
|
17,871 |
|
|
|
17,180 |
|
Intangible assets, net |
|
2,149 |
|
|
|
2,248 |
|
|
|
2,447 |
|
|
|
2,547 |
|
Other real estate owned |
|
18,873 |
|
|
|
18,873 |
|
|
|
18,873 |
|
|
|
19,488 |
|
Deferred tax asset, net |
|
27,241 |
|
|
|
23,344 |
|
|
|
12,667 |
|
|
|
12,237 |
|
Assets held-for-sale from discontinued operations |
|
? |
|
|
|
? |
|
|
|
3,268 |
|
|
|
5,274 |
|
Other assets |
|
93,201 |
|
|
|
137,086 |
|
|
|
96,967 |
|
|
|
86,105 |
|
Total assets |
$ |
7,777,074 |
|
|
$ |
7,119,735 |
|
|
$ |
6,843,239 |
|
|
$ |
6,268,463 |
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Liabilities: |
|
|
|
|
|
|
|
|
|
|
|
||||
Deposits |
|
|
|
|
|
|
|
|
|
|
|
||||
Demand and interest checking |
$ |
5,934,591 |
|
|
$ |
5,394,562 |
|
|
$ |
5,561,365 |
|
|
$ |
4,734,352 |
|
Savings and money market |
|
575,381 |
|
|
|
486,189 |
|
|
|
415,546 |
|
|
|
378,160 |
|
Time deposits, $100,000 and over |
|
401,331 |
|
? |
|
? |
|
? |
|
||||||
Total deposits |
|
6,911,303 |
|
5,880,751 |
|
5,976,911 |
|
5,112,512 |
|
||||||
|
|
|
|
|
|
|
|
|
|
|
|
||||
Securities sold under agreements to repurchase |
|
42 |
|
|
|
42 |
|
|
|
42 |
|
|
|
42 |
|
Short-term borrowings |
|
? |
|
|
|
385,000 |
|
|
|
? |
|
|
|
300,000 |
|
Senior debt |
|
98,958 |
|
|
|
98,866 |
|
|
|
98,682 |
|
|
|
98,590 |
|
Subordinated debenture |
|
13,401 |
|
|
|
13,401 |
|
|
|
13,401 |
|
|
|
13,401 |
|
Other long-term borrowings |
|
38,928 |
|
|
|
39,125 |
|
|
|
39,521 |
|
|
|
39,715 |
|
Other liabilities |
|
50,704 |
|
46,014 |
|
62,228 |
|
66,226 |
|
||||||
Total liabilities |
$ |
7,113,336 |
|
$ |
6,463,199 |
|
$ |
6,190,785 |
|
$ |
5,630,486 |
|
|||
|
|
|
|
|
|
|
|
|
|
|
|
||||
Shareholders' equity: |
|
|
|
|
|
|
|
|
|
|
|
||||
Common stock - authorized, 75,000,000 shares of $1.00 par value; 56,201,560 and 57,330,846 shares issued and outstanding at September 30, 2022 and 2021, respectively |
|
56,202 |
|
|
|
56,865 |
|
|
|
57,371 |
|
|
|
57,331 |
|
Additional paid-in capital |
|
311,569 |
|
|
|
323,774 |
|
|
|
349,686 |
|
|
|
357,528 |
|
Retained earnings |
|
329,078 |
|
|
|
298,474 |
|
|
|
239,106 |
|
|
|
212,114 |
|
Accumulated other comprehensive (loss) income |
|
(33,111 |
) |
(22,577 |
) |
6,291 |
|
11,004 |
|
||||||
Total shareholders' equity |
|
663,738 |
|
|
|
656,536 |
|
|
|
652,454 |
|
|
|
637,977 |
|
|
|
|
|
|
|
|
|
||||||||
Total liabilities and shareholders' equity |
$ |
7,777,074 |
|
$ |
7,119,735 |
|
$ |
6,843,239 |
|
$ |
6,268,463 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Average balance sheet and net interest income |
|
Three months ended September 30, 2022 |
|
|
Three months ended September 30, 2021 |
|||||||||||||||
|
|
(Dollars in thousands; unaudited) |
||||||||||||||||||
|
|
Average |
|
|
|
|
|
Average |
|
|
Average |
|
|
|
|
Average |
||||
Assets: |
|
Balance |
|
|
Interest |
|
|
Rate |
|
|
Balance |
|
|
Interest |
|
Rate |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Loans, net of deferred fees and costs* |
$ |
5,904,996 |
|
|
$ |
75,536 |
|
|
5.12 |
% |
|
$ |
4,573,431 |
|
|
$ |
46,357 |
|
4.05 |
% |
Leases-bank qualified** |
|
3,299 |
|
|
|
55 |
|
|
6.67 |
% |
|
|
5,031 |
|
|
|
87 |
|
6.92 |
% |
Investment securities-taxable |
|
824,178 |
|
|
|
6,792 |
|
|
3.30 |
% |
|
|
1,012,007 |
|
|
|
6,882 |
|
2.72 |
% |
Investment securities-nontaxable** |
|
3,559 |
|
|
|
31 |
|
|
3.48 |
% |
|
|
3,558 |
|
|
|
32 |
|
3.60 |
% |
Interest earning deposits at Federal Reserve Bank |
|
267,424 |
|
|
|
1,525 |
|
|
2.28 |
% |
|
|
479,350 |
|
|
|
167 |
|
0.14 |
% |
Net interest earning assets |
|
7,003,456 |
|
|
|
83,939 |
|
|
4.79 |
% |
|
|
6,073,377 |
|
|
|
53,525 |
|
3.53 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for credit losses |
|
(19,111 |
) |
|
|
|
|
|
|
|
|
(16,277 |
) |
|
|
|
|
|
||
Assets held-for-sale from discontinued operations |
|
? |
|
|
|
? |
|
|
? |
|
|
|
90,598 |
|
|
|
754 |
|
3.33 |
% |
Other assets |
|
212,078 |
|
|
|
|
|
|
|
|
|
214,715 |
|
|
|
|
|
|
||
|
$ |
7,196,423 |
|
|
|
|
|
|
|
|
$ |
6,362,413 |
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Liabilities and Shareholders' Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Demand and interest checking |
$ |
5,545,115 |
|
|
$ |
12,726 |
|
|
0.92 |
% |
|
$ |
5,124,189 |
|
|
$ |
1,063 |
|
0.08 |
% |
Savings and money market |
|
479,260 |
|
|
|
2,792 |
|
|
2.33 |
% |
|
|
404,775 |
|
|
|
146 |
|
0.14 |
% |
Time deposits |
|
87,562 |
|
|
|
547 |
2.50 |
% |
|
|
? |
|
|
|
? |
? |
|
|||
Total deposits |
|
6,111,937 |
|
|
|
16,065 |
|
|
1.05 |
% |
|
|
5,528,964 |
|
|
|
1,209 |
|
0.09 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Short-term borrowings |
|
200,423 |
|
|
|
1,235 |
|
|
2.46 |
% |
|
|
13,097 |
|
|
|
7 |
|
0.21 |
% |
Repurchase agreements |
|
41 |
|
|
|
? |
|
|
? |
|
|
|
41 |
|
|
|
? |
|
? |
|
Long-term borrowings |
|
39,035 |
|
|
|
506 |
|
|
5.19 |
% |
|
|
? |
|
|
|
? |
|
? |
|
Subordinated debentures |
|
13,401 |
|
|
|
177 |
5.28 |
% |
|
|
13,401 |
|
|
|
112 |
3.34 |
% |
|||
Senior debt |
|
98,910 |
|
|
|
1,279 |
5.17 |
% |
|
|
100,329 |
|
|
|
1,279 |
5.10 |
% |
|||
Total deposits and liabilities |
|
6,463,747 |
|
|
|
19,262 |
|
|
1.19 |
% |
|
|
5,655,832 |
|
|
|
2,607 |
|
0.18 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Other liabilities |
|
72,539 |
|
|
|
|
|
|
|
|
|
78,038 |
|
|
|
|
|
|
||
Total liabilities |
|
6,536,286 |
|
|
|
|
|
|
|
|
|
5,733,870 |
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Shareholders' equity |
|
660,137 |
|
|
|
|
|
|
|
|
|
628,543 |
|
|
|
|
|
|
||
|
$ |
7,196,423 |
|
|
|
|
|
|
|
|
$ |
6,362,413 |
|
|
|
|
|
|
||
Net interest income on tax equivalent basis** |
|
|
|
$ |
64,677 |
|
|
|
|
|
$ |
51,672 |
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Tax equivalent adjustment |
|
|
|
18 |
|
|
|
|
|
|
25 |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net interest income |
|
|
$ |
64,659 |
|
|
|
$ |
51,647 |
|||||||||||
Net interest margin ** |
|
|
|
|
|
|
|
3.69 |
% |
|
|
|
|
|
|
|
3.35 |
% |
* Includes commercial loans, at fair value. All periods include non-accrual loans.
** Full taxable equivalent basis, using a statutory Federal tax rate of 21% for 2022 and 2021.
NOTE: In the table above, interest on loans for 2022 and 2021 includes $21,000 and $1.2 million, respectively, of interest and fees on PPP loans.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Average balance sheet and net interest income |
Nine months ended September 30, 2022 |
|
Nine months ended September 30, 2021 |
|||||||||||||||||
|
|
(Dollars in thousands; unaudited) |
||||||||||||||||||
|
Average |
|
|
|
|
|
Average |
|
Average |
|
|
|
|
Average |
||||||
Assets: |
Balance |
|
Interest |
|
|
Rate |
|
Balance |
|
Interest |
|
Rate |
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Interest earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Loans, net of deferred fees and costs* |
$ |
5,531,902 |
|
|
$ |
181,174 |
|
|
4.37 |
% |
|
$ |
4,541,262 |
|
|
$ |
143,546 |
|
4.21 |
% |
Leases-bank qualified** |
|
3,657 |
|
|
|
185 |
|
|
6.75 |
% |
|
|
5,925 |
|
|
|
301 |
|
6.77 |
% |
Investment securities-taxable |
|
880,426 |
|
|
|
17,115 |
|
|
2.59 |
% |
|
|
1,094,633 |
|
|
|
22,891 |
|
2.79 |
% |
Investment securities-nontaxable** |
|
3,559 |
|
|
|
93 |
|
|
3.48 |
% |
|
|
3,824 |
|
|
|
99 |
|
3.45 |
% |
Interest earning deposits at Federal Reserve Bank |
|
499,104 |
|
|
|
2,876 |
|
|
0.77 |
% |
|
|
781,606 |
|
|
|
650 |
|
0.11 |
% |
Net interest earning assets |
|
6,918,648 |
|
|
|
201,443 |
|
|
3.88 |
% |
|
|
6,427,250 |
|
|
|
167,487 |
|
3.47 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Allowance for credit losses |
|
(19,087 |
) |
|
|
|
|
|
|
|
|
(16,254 |
) |
|
|
|
|
|
||
Assets held for sale from discontinued operations |
|
? |
|
|
|
? |
|
|
? |
|
|
|
99,472 |
|
|
|
2,388 |
|
3.20 |
% |
Other assets |
|
203,143 |
|
|
|
|
|
|
|
|
|
225,802 |
|
|
|
|
|
|
||
|
$ |
7,102,704 |
|
|
|
|
|
|
|
|
$ |
6,736,270 |
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Liabilities and Shareholders' Equity: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Demand and interest checking |
$ |
5,598,028 |
|
|
$ |
18,522 |
|
|
0.44 |
% |
|
$ |
5,452,604 |
|
|
$ |
4,007 |
|
0.10 |
% |
Savings and money market |
|
522,525 |
|
|
|
4,192 |
|
|
1.07 |
% |
|
|
446,016 |
|
|
|
487 |
|
0.15 |
% |
Time deposits |
|
29,508 |
|
|
|
547 |
2.47 |
% |
|
|
? |
|
|
|
? |
? |
|
|||
Total deposits |
|
6,150,061 |
|
|
|
23,261 |
|
|
0.50 |
% |
|
|
5,898,620 |
|
|
|
4,494 |
|
0.10 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Short-term borrowings |
|
71,589 |
|
|
|
1,267 |
|
|
2.36 |
% |
|
|
8,717 |
|
|
|
15 |
|
0.23 |
% |
Repurchase agreements |
|
41 |
|
|
|
? |
|
|
? |
|
|
|
41 |
|
|
|
? |
|
? |
|
Long-term borrowings |
|
39,286 |
|
|
|
506 |
|
|
1.72 |
% |
|
|
? |
|
|
|
? |
|
? |
|
Subordinated debentures |
|
13,401 |
|
|
|
432 |
4.30 |
% |
|
|
13,401 |
|
|
|
337 |
3.35 |
% |
|||
Senior debt |
|
98,817 |
|
|
|
3,838 |
5.18 |
% |
|
|
100,237 |
|
|
|
3,838 |
5.11 |
% |
|||
Total deposits and liabilities |
|
6,373,195 |
|
|
|
29,304 |
|
|
0.61 |
% |
|
|
6,021,016 |
|
|
|
8,684 |
|
0.19 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Other liabilities |
|
71,413 |
|
|
|
|
|
|
|
|
|
105,683 |
|
|
|
|
|
|
||
Total liabilities |
|
6,444,608 |
|
|
|
|
|
|
|
|
|
6,126,699 |
|
|
|
|
|
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Shareholders' equity |
|
658,096 |
|
|
|
|
|
|
|
|
|
609,571 |
|
|
|
|
|
|
||
|
$ |
7,102,704 |
|
|
|
|
|
|
|
|
$ |
6,736,270 |
|
|
|
|
|
|
||
Net interest income on tax equivalent basis** |
|
|
|
$ |
172,139 |
|
|
|
|
|
$ |
161,191 |
|
|||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Tax equivalent adjustment |
|
|
|
58 |
|
|
|
|
|
|
84 |
|
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Net interest income |
|
|
$ |
172,081 |
|
|
|
$ |
161,107 |
|||||||||||
Net interest margin ** |
|
|
|
|
|
|
|
3.32 |
% |
|
|
|
|
|
|
|
3.29 |
% |
* Includes commercial loans, at fair value. All periods include non-accrual loans.
** Full taxable equivalent basis, using a statutory Federal tax rate of 21% for 2022 and 2021.
NOTE: In the table above, the 2021 interest on loans reflects $4.6 million of interest and fees which were earned on a short-term line of credit to another institution to initially fund PPP loans, which did not significantly increase average loans or assets and which are not expected to recur. Interest on loans for 2022 and 2021 includes $502,000 and $4.9 million, respectively, of interest and fees on PPP loans.
|
|
|
|
|
|
|
|
|
Allowance for credit losses |
|
Nine months ended |
|
Year ended |
||||
|
September 30, |
|
September 30, |
|
December 31, |
|||
|
2022 (unaudited) |
|
2021 (unaudited) |
2021 |
||||
|
(Dollars in thousands) |
|||||||
|
|
|
|
|
|
|
|
|
Balance in the allowance for credit losses at beginning of period (1) |
$ |
17,806 |
|
$ |
16,082 |
$ |
16,082 |
|
|
|
|
|
|
|
|
|
|
Loans charged-off: |
|
|
|
|
|
|
|
|
SBA non-real estate |
|
861 |
|
|
896 |
|
|
1,138 |
SBA commercial mortgage |
|
? |
|
|
23 |
|
|
417 |
Direct lease financing |
|
312 |
|
|
248 |
|
|
412 |
SBLOC |
|
? |
|
|
15 |
|
|
15 |
Consumer - home equity |
|
? |
|
|
10 |
|
10 |
|
Consumer - other |
|
? |
|
|
? |
|
14 |
|
Total |
|
1,173 |
|
|
1,192 |
|
2,006 |
|
|
|
|
|
|
|
|
|
|
Recoveries: |
|
|
|
|
|
|
|
|
SBA non-real estate |
|
57 |
|
|
18 |
|
|
51 |
SBA commercial mortgage |
|
? |
|
|
9 |
|
|
9 |
Direct lease financing |
|
108 |
|
|
50 |
|
|
58 |
Consumer - home equity |
|
? |
|
|
? |
|
1,099 |
|
Total |
|
165 |
|
|
77 |
|
1,217 |
|
Net charge-offs |
|
1,008 |
|
|
1,115 |
|
|
789 |
Provision for credit losses, excluding commitment provision |
|
2,891 |
|
|
1,192 |
|
2,513 |
|
|
|
|
|
|
|
|
|
|
Balance in allowance for credit losses at end of period |
$ |
19,689 |
|
$ |
16,159 |
|
$ |
17,806 |
Net charge-offs/average loans |
|
0.02% |
|
|
0.04% |
|
|
0.03% |
Net charge-offs/average assets |
|
0.01% |
|
|
0.02% |
|
|
0.01% |
(1) Excludes activity from discontinued operations.
|
||||||||||||
Loan portfolio |
September 30, |
|
June 30, |
|
December 31, |
|
September 30, |
|||||
|
2022 (unaudited) |
|
2022 (unaudited) |
|
2021 |
|
2021 (unaudited) |
|||||
|
(Dollars in thousands) |
|||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
SBL non-real estate |
$ |
116,080 |
|
$ |
112,854 |
|
$ |
147,722 |
|
$ |
171,845 |
|
SBL commercial mortgage |
|
429,865 |
|
|
425,219 |
|
|
361,171 |
|
|
367,272 |
|
SBL construction |
|
26,841 |
27,042 |
27,199 |
23,117 |
|||||||
Small business loans |
|
572,786 |
|
|
565,115 |
|
|
536,092 |
|
|
562,234 |
|
Direct lease financing |
|
599,796 |
|
|
583,086 |
|
|
531,012 |
|
|
514,068 |
|
SBLOC / IBLOC * |
|
2,369,106 |
|
|
2,274,256 |
|
|
1,929,581 |
|
|
1,834,523 |
|
Advisor financing ** |
|
168,559 |
|
|
155,235 |
|
|
115,770 |
|
|
81,143 |
|
Real estate bridge loans |
|
1,488,119 |
|
|
1,106,875 |
|
|
621,702 |
|
|
128,699 |
|
Other loans *** |
|
64,980 |
63,514 |
5,014 |
4,917 |
|||||||
|
|
5,263,346 |
|
|
4,748,081 |
|
|
3,739,171 |
|
|
3,125,584 |
|
Unamortized loan fees and costs |
|
4,029 |
6,616 |
8,053 |
11,078 |
|||||||
Total loans, including unamortized fees and costs |
$ |
5,267,375 |
$ |
4,754,697 |
$ |
3,747,224 |
$ |
3,136,662 |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Small business portfolio |
|
September 30, |
|
|
June 30, |
|
|
December 31, |
|
|
September 30, |
|
|
2022 (unaudited) |
|
|
2022 (unaudited) |
|
|
2021 |
|
|
2021 (unaudited) |
|
|
(Dollars in thousands) |
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
SBL, including unamortized fees and costs |
$ |
579,156 |
$ |
571,559 |
$ |
541,437 |
|
$ |
566,472 |
||
SBL, included in loans, at fair value |
|
159,914 |
168,579 |
199,585 |
|
|
214,301 |
||||
Total small business loans **** |
$ |
739,070 |
$ |
740,138 |
$ |
741,022 |
|
$ |
780,773 |
* Securities Backed Lines of Credit, or SBLOC, are collateralized by marketable securities, while Insurance Backed Lines of Credit, or IBLOC, are collateralized by the cash surrender value of eligible life insurance policies.
** In 2020, we began originating loans to investment advisors for purposes of debt refinance, acquisition of another firm or internal succession. Maximum loan amounts are subject to loan-to-value ratios of 70%, based on third-party business appraisals, but may be increased depending upon the debt service coverage ratio. Personal guarantees and blanket business liens are obtained as appropriate.
*** Includes demand deposit overdrafts reclassified as loan balances totaling $1.0 million and $322,000 at September 30, 2022 and December 31, 2021, respectively. Estimated overdraft charge-offs and recoveries are reflected in the allowance for credit losses and have been immaterial.
****The small business loans held at fair value are comprised of the government guaranteed portion of certain SBA loans at the dates indicated.
Small business loans as of September 30, 2022
|
|
|
|
|
|
|
|
|
|
Loan principal |
|
|
|
(Dollars in millions) |
|
U.S. government guaranteed portion of SBA loans (a) |
|
$ |
371 |
Paycheck Protection Program loans (PPP) (a) |
|
|
7 |
Commercial mortgage SBA (b) |
|
|
223 |
Construction SBA (c) |
|
|
10 |
Non-guaranteed portion of U.S. government guaranteed loans (d) |
|
|
99 |
Non-SBA small business loans |
|
|
21 |
Total principal |
|
$ |
731 |
Unamortized fees and costs |
|
|
8 |
Total small business loans |
|
$ |
739 |
(a) This is the portion of SBA 7a loans (7a) and PPP loans which have been guaranteed by the U.S. government, and therefore are assumed to have no credit risk.
(b) Substantially all these loans are made under the SBA 504 Fixed Asset Financing program (504) which dictates origination date loan-to-value percentages ("LTV"), generally 50-60%, to which The Bancorp Bank N.A. adheres.
(c) Of the $10 million in Construction SBA loans, $9 million are 504 first mortgages with an origination date LTV of 50-60% and $1 million are SBA interim loans with an approved SBA post-construction full takeout/payoff.
(d) The $99 million represents the unguaranteed portion of 7a loans which are 70% or more guaranteed by the U.S. government. 7a loans are not made on the basis of real estate LTV; however, they are subject to SBA's "All Available Collateral" rule which mandates that to the extent a borrower or its 20% or greater principals have available collateral (including personal residences), the collateral must be pledged to fully collateralize the loan, after applying SBA-determined liquidation rates. In addition, all 7a and 504 loans require the personal guaranty of all 20% or greater owners.
Small business loans by type as of September 30, 2022
(Excludes government guaranteed portion of SBA 7a loans and PPP loans)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SBL commercial mortgage* |
|
SBL construction* |
|
SBL non-real estate |
|
Total |
|
|
% Total |
||||
|
|
|
(Dollars in millions) |
||||||||||||
Hotels and motels |
|
$ |
61 |
|
$ |
? |
|
$ |
? |
|
$ |
61 |
|
|
17% |
Car washes |
|
|
17 |
|
|
1 |
|
|
? |
|
|
18 |
|
|
5% |
Full-service restaurants |
|
|
13 |
|
|
3 |
|
|
2 |
|
|
18 |
|
|
5% |
Lessors of nonresidential buildings |
|
|
16 |
|
|
? |
|
|
? |
|
|
16 |
|
|
5% |
Child day care services |
|
|
14 |
|
|
? |
|
|
1 |
|
|
15 |
|
|
4% |
Outpatient mental health and substance abuse centers |
|
|
15 |
|
|
? |
|
|
? |
|
|
15 |
|
|
4% |
Funeral homes and funeral services |
|
|
12 |
|
|
? |
|
|
? |
|
|
12 |
|
|
3% |
Offices of lawyers |
|
|
9 |
|
|
? |
|
|
? |
|
|
9 |
|
|
3% |
Assisted living facilities for the elderly |
|
|
9 |
|
|
? |
|
|
? |
|
|
9 |
|
|
3% |
Gasoline stations with convenience stores |
|
|
8 |
|
|
? |
|
|
? |
|
|
8 |
|
|
2% |
Fitness and recreational sports centers |
|
|
6 |
|
|
? |
|
|
2 |
|
|
8 |
|
|
2% |
General warehousing and storage |
|
|
7 |
|
|
? |
|
|
? |
|
|
7 |
|
|
2% |
Solar electric power generation |
|
|
? |
|
|
? |
|
|
7 |
|
|
7 |
|
|
2% |
Plumbing, heating, and air-conditioning contractors |
|
|
6 |
|
|
? |
|
|
1 |
|
|
7 |
|
|
2% |
Baked goods stores |
|
|
? |
|
|
? |
|
|
6 |
|
|
6 |
|
|
2% |
Lessors of other real estate property |
|
|
6 |
|
|
? |
|
|
? |
|
|
6 |
|
|
2% |
All other amusement and recreation industries |
|
|
5 |
|
|
? |
|
|
1 |
|
|
6 |
|
|
2% |
Limited-service restaurants |
|
|
1 |
|
|
2 |
|
|
2 |
|
|
5 |
|
|
1% |
Other miscellaneous durable goods merchant wholesalers |
|
|
5 |
|
|
? |
|
|
? |
|
|
5 |
|
|
1% |
Lessors of residential buildings and dwellings |
|
|
5 |
|
|
? |
|
|
? |
|
|
5 |
|
|
1% |
Other technical and trade schools |
|
|
? |
|
|
5 |
|
|
? |
|
|
5 |
|
|
1% |
Other spectator sports |
|
|
5 |
|
|
? |
|
|
? |
|
|
5 |
|
|
1% |
Offices of dentists |
|
|
3 |
|
|
1 |
|
|
? |
|
|
4 |
|
|
1% |
Other warehousing and storage |
|
|
3 |
|
|
? |
|
|
? |
|
|
3 |
|
|
1% |
Vocational rehabilitation services |
|
|
3 |
|
|
? |
|
|
? |
|
|
3 |
|
|
1% |
Other** |
|
|
66 |
|
|
1 |
|
|
23 |
|
|
90 |
|
|
27% |
Total |
|
$ |
295 |
|
$ |
13 |
|
$ |
45 |
|
$ |
353 |
|
|
100% |
* Of the SBL commercial mortgage and SBL construction loans, $74 million represents the total of the non-guaranteed portion of SBA 7a loans and non-SBA loans. The balance of those categories represents SBA 504 loans with 50%-60% origination date loan-to-values.
**Loan types less than $3 million are spread over a hundred different classifications such as Commercial Printing, Pet and Pet Supplies Stores, Securities Brokerage, etc.
State diversification as of September 30, 2022
(Excludes government guaranteed portion of SBA 7a loans and PPP loans)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SBL commercial mortgage* |
|
SBL construction* |
|
SBL non-real estate |
|
Total |
|
|
% Total |
||||
|
|
|
(Dollars in millions) |
||||||||||||
Florida |
|
$ |
63 |
|
$ |
? |
|
$ |
4 |
|
$ |
67 |
|
|
19% |
California |
|
|
50 |
|
|
3 |
|
|
4 |
|
|
57 |
|
|
16% |
North Carolina |
|
|
30 |
|
|
7 |
|
|
2 |
|
|
39 |
|
|
11% |
New York |
|
|
23 |
|
|
? |
|
|
9 |
|
|
32 |
|
|
9% |
Pennsylvania |
|
|
18 |
|
|
? |
|
|
2 |
|
|
20 |
|
|
6% |
New Jersey |
|
|
12 |
|
|
? |
|
|
7 |
|
|
19 |
|
|
5% |
Illinois |
|
|
15 |
|
|
? |
|
|
2 |
|
|
17 |
|
|
5% |
Texas |
|
|
12 |
|
|
? |
|
|
3 |
|
|
15 |
|
|
4% |
Colorado |
|
|
11 |
|
|
2 |
|
|
1 |
|
|
14 |
|
|
4% |
Connecticut |
|
|
10 |
|
|
? |
|
|
1 |
|
|
11 |
|
|
3% |
Virginia |
|
|
9 |
|
|
? |
|
|
1 |
|
|
10 |
|
|
3% |
Georgia |
|
|
7 |
|
|
? |
|
|
2 |
|
|
9 |
|
|
3% |
Tennessee |
|
|
8 |
|
|
? |
|
|
? |
|
|
8 |
|
|
2% |
Ohio |
|
|
6 |
|
|
? |
|
|
1 |
|
|
7 |
|
|
2% |
Michigan |
|
|
3 |
|
|
? |
|
|
? |
|
|
3 |
|
|
1% |
Other States |
|
|
18 |
|
|
1 |
|
|
6 |
|
|
25 |
|
|
7% |
Total |
|
$ |
295 |
|
$ |
13 |
|
$ |
45 |
|
$ |
353 |
|
|
100% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Of the SBL commercial mortgage and SBL construction loans, $74 million represents the total of the non-guaranteed portion of SBA 7a loans and non-SBA loans. The balance of those categories represents SBA 504 loans with 50%-60% origination date loan-to-values.
Top 10 loans as of September 30, 2022
|
|
|
|
|
|
|
|
Type* |
|
State |
|
SBL commercial mortgage* |
|
||
|
|
|
(Dollars in millions) |
||||
Mental health and substance abuse center |
|
|
FL |
|
$ |
10 |
|
Hotel |
|
|
FL |
|
|
9 |
|
Lawyer's office |
|
|
CA |
|
|
8 |
|
General warehousing and storage |
|
|
PA |
|
|
7 |
|
Hotel |
|
|
NY |
|
|
6 |
|
Hotel |
|
|
NC |
|
|
6 |
|
Mental health and substance abuse center |
|
|
CT |
|
|
5 |
|
Assisted living facility |
|
|
FL |
|
|
5 |
|
Lessors of nonresidential buildings |
|
|
NC |
|
|
5 |
|
Lessors of residential buildings and dwellings |
|
|
NJ |
|
|
5 |
|
Total |
|
|
|
|
$ |
66 |
|
|
|
|
|
|
|
|
|
* All of the top 10 loans are 504 SBA loans with 50%-60% origination date loan-to-value and are in the commercial mortgage category. The top 10 loan table above does not include loans to the extent that they are U.S. government guaranteed.
Commercial real estate loans, excluding SBA loans, are as follows including LTV at origination:
Type as of September 30, 2022
|
|
|
|
|
|
|
|
|
|
|
|||
Type |
|
|
# Loans |
|
Balance |
|
Weighted average origination date LTV |
|
Weighted average interest rate |
||||
|
|
|
(Dollars in millions) |
||||||||||
Real estate bridge loans (multi-family apartment loans recorded at amortized cost)* |
|
|
115 |
|
$ |
1,488 |
|
|
73 |
% |
|
6.18 |
% |
|
|
|
|
|
|
|
|
|
|
|
|||
Non-SBA commercial real estate loans, at fair value: |
|
|
|
|
|
|
|
|
|
|
|||
Multi-family (apartment bridge loans)* |
|
|
35 |
|
$ |
564 |
|
|
76 |
% |
|
5.82 |
% |
Hospitality (hotels and lodging) |
|
|
5 |
|
|
38 |
|
|
65 |
% |
|
6.56 |
% |
Retail |
|
|
4 |
|
|
52 |
|
|
71 |
% |
|
5.56 |
% |
Other |
|
|
5 |
|
|
14 |
|
|
73 |
% |
|
5.07 |
% |
|
|
|
49 |
|
|
668 |
|
|
75 |
% |
|
5.83 |
% |
Fair value adjustment |
|
|
|
|
|
(10 |
) |
|
|
|
|
||
Total non-SBA commercial real estate loans, at fair value |
|
|
|
|
|
658 |
|
|
|
|
|
||
Total commercial real estate loans |
|
|
|
|
$ |
2,146 |
|
|
74 |
% |
|
6.10 |
% |
*In the third quarter of 2021, we resumed the origination of multi-family apartment loans. These are similar to the multi-family apartment loans carried at fair value, but at origination are intended to be held on the balance sheet, so are not accounted for at fair value.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
State diversification as of September 30, 2022 |
|
|
15 largest loans as of September 30, 2022 |
||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
State |
|
Balance |
|
|
Origination date LTV |
|
|
State |
|
|
Balance |
Origination date LTV |
|||
(Dollars in millions) |
|
|
(Dollars in millions) |
||||||||||||
Texas |
|
$ |
815 |
|
|
74% |
|
|
Texas |
|
|
$ |
41 |
75% |
|
Georgia |
|
|
220 |
|
|
72% |
|
|
Texas |
|
|
|
39 |
79% |
|
Florida |
|
|
187 |
|
|
72% |
|
|
Texas |
|
|
|
39 |
72% |
|
Ohio |
|
|
100 |
|
|
71% |
|
|
Tennessee |
|
|
|
37 |
72% |
|
Tennessee |
|
|
92 |
|
|
70% |
|
|
Texas |
|
|
|
37 |
75% |
|
Alabama |
|
|
73 |
|
|
74% |
|
|
Texas |
|
|
|
37 |
80% |
|
Michigan |
|
|
73 |
|
|
74% |
|
|
Michigan |
|
|
|
36 |
71% |
|
Other States each <$50 million |
|
|
586 |
|
|
74% |
|
|
Florida |
|
|
|
33 |
72% |
|
Total |
|
$ |
2,146 |
|
|
74% |
|
|
Texas |
|
|
|
31 |
67% |
|
|
|
|
|
|
|
|
|
|
Michigan |
|
|
|
31 |
79% |
|
|
|
|
|
|
|
|
|
|
Tennessee |
|
|
|
30 |
62% |
|
|
|
|
|
|
|
|
|
|
Missouri |
|
|
|
30 |
72% |
|
|
|
|
|
|
|
|
|
|
Texas |
|
|
|
30 |
62% |
|
|
|
|
|
|
|
|
|
|
Texas |
|
|
|
29 |
77% |
|
|
|
|
|
|
|
|
|
|
Texas |
|
|
|
27 |
77% |
|
|
|
|
|
|
|
|
|
|
15 Largest loans |
|
|
$ |
507 |
73% |
Institutional banking loans outstanding at September 30, 2022
|
|
|
|
|
Type |
Principal |
|
% of total |
|
|
|
(Dollars in millions) |
|
|
Securities backed lines of credit (SBLOC) |
$ |
1,265 |
|
50% |
Insurance backed lines of credit (IBLOC) |
|
1,104 |
|
43% |
Advisor financing |
|
169 |
|
7% |
Total |
$ |
2,538 |
|
100% |
For SBLOC, we generally lend up to 50% of the value of equities and 80% for investment grade securities. While equities have fallen in excess of 30% in recent years, the reduction in collateral value of brokerage accounts collateralizing SBLOCs generally has been less, for two reasons. First, many collateral accounts are "balanced" and accordingly have a component of debt securities, which have either not decreased in value as much as equities, or in some cases may have increased in value. Secondly, many of these accounts have the benefit of professional investment advisors who provided some protection against market downturns, through diversification and other means. Additionally, borrowers often utilize only a portion of collateral value, which lowers the percentage of principal to collateral.
Top 10 SBLOC loans at September 30, 2022
|
|
|
|
|
|
Principal amount |
|
% Principal to collateral |
|
|
(Dollars in millions) |
|||
|
$ |
20 |
|
58% |
|
|
18 |
|
42% |
|
|
17 |
|
72% |
|
|
14 |
|
38% |
|
|
10 |
|
33% |
|
|
9 |
|
66% |
|
|
9 |
|
48% |
|
|
9 |
|
71% |
|
|
8 |
|
75% |
|
|
6 |
|
32% |
Total and weighted average |
$ |
120 |
|
54% |
Insurance backed lines of credit (IBLOC)
IBLOC loans are backed by the cash value of eligible life insurance policies which have been assigned to us. We generally lend up to 95% of such cash value. Our underwriting standards require approval of the insurance companies which carry the policies backing these loans. Currently, eight insurance companies have been approved and, as of August 2, 2022, all were rated A- or better by AM BEST.
Direct lease financing* by type as of September 30, 2022
|
|
|
|
|
|
|
Principal balance |
|
% Total |
|
|
(Dollars in millions) |
|
|
Construction |
$ |
110 |
|
18% |
Government agencies and public institutions** |
|
90 |
|
15% |
Waste management and remediation services |
|
68 |
|
11% |
Real estate and rental and leasing |
|
60 |
|
10% |
Retail trade |
|
48 |
|
8% |
Health care and social assistance |
|
32 |
|
5% |
Transportation and warehousing |
|
31 |
|
5% |
Finance and insurance |
|
27 |
|
5% |
Professional, scientific, and technical services |
|
20 |
|
3% |
Manufacturing |
|
17 |
|
3% |
Wholesale trade |
|
16 |
|
3% |
Educational services |
|
8 |
|
1% |
Mining, Quarrying, and Oil and Gas Extractions for Oil and Gas Operations |
|
4 |
|
1% |
Other |
|
69 |
|
12% |
Total |
$ |
600 |
|
100% |
* Of the total $600 million of direct lease financing, $520 million consisted of vehicle leases with the remaining balance consisting of equipment leases.
** Includes public universities and school districts.
Direct lease financing by state as of September 30, 2022
|
|
|
|
|
State |
|
Principal balance |
|
% Total |
|
|
(Dollars in millions) |
|
|
Florida |
$ |
97 |
|
16% |
Utah |
|
56 |
|
9% |
California |
|
52 |
|
9% |
New Jersey |
|
42 |
|
7% |
Pennsylvania |
|
39 |
|
7% |
New York |
|
30 |
|
5% |
North Carolina |
|
27 |
|
5% |
Maryland |
|
26 |
|
4% |
Texas |
|
26 |
|
4% |
Connecticut |
|
20 |
|
3% |
Washington |
|
16 |
|
3% |
Georgia |
|
15 |
|
3% |
Idaho |
|
14 |
|
2% |
Illinois |
|
11 |
|
2% |
Alabama |
|
10 |
|
2% |
Other states and non-classified |
|
119 |
|
19% |
Total |
$ |
600 |
|
100% |
|
|
|
|
|
|
|
|
Capital ratios |
Tier 1 capital |
|
Tier 1 capital |
|
Total capital |
|
Common equity |
|
to average |
|
to risk-weighted |
|
to risk-weighted |
|
tier 1 to risk |
|
assets ratio |
|
assets ratio |
|
assets ratio |
|
weighted assets |
As of September 30, 2022 |
|
|
|
|
|
|
|
The Bancorp, Inc. |
9.66% |
|
13.13% |
|
13.56% |
|
13.13% |
The Bancorp Bank, National Association |
10.79% |
|
14.73% |
|
15.15% |
|
14.73% |
"Well capitalized" institution (under federal regulations-Basel III) |
5.00% |
|
8.00% |
|
10.00% |
|
6.50% |
|
|
|
|
|
|
|
|
As of December 31, 2021 |
|
|
|
|
|
|
|
The Bancorp, Inc. |
10.40% |
|
14.72% |
|
15.13% |
|
14.72% |
The Bancorp Bank, National Association |
10.98% |
|
15.48% |
|
15.88% |
|
15.48% |
"Well capitalized" institution (under federal regulations-Basel III) |
5.00% |
|
8.00% |
|
10.00% |
|
6.50% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
Nine months ended |
||||||||
|
September 30, |
|
September 30, |
||||||||
|
2022 |
|
2021 |
|
2022 |
|
2021 |
||||
Selected operating ratios |
|
|
|
|
|
|
|
|
|
|
|
Return on average assets (1) |
|
1.69% |
|
|
1.76% |
|
|
1.69% |
|
|
1.66% |
Return on average equity (1) |
|
18.39% |
|
|
17.84% |
|
|
18.28% |
|
|
18.35% |
Net interest margin |
|
3.69% |
|
|
3.35% |
|
|
3.32% |
|
|
3.29% |
(1) Annualized
|
||||||||||||
Book value per share table |
September 30, |
|
June 30, |
|
December 31, |
|
September 30, |
|||||
|
2022 |
|
2022 |
|
2021 |
|
2021 |
|||||
Book value per share |
$ |
11.81 |
|
$ |
11.55 |
|
$ |
11.37 |
|
$ |
11.13 |
|
|
|
|
|
|
|
|
|
|
|
|
Loan quality table |
|
September 30, |
|
|
June 30, |
|
|
December 31, |
|
|
September 30, |
|
|
2022 |
|
|
2022 |
|
|
2021 |
|
|
2021 |
|
|
(Dollars in thousands) |
|||||||||
Nonperforming loans to total loans |
|
0.16% |
|
|
0.18% |
|
|
0.10% |
|
|
0.24% |
Nonperforming assets to total assets |
|
0.35% |
|
|
0.39% |
|
|
0.33% |
|
|
0.43% |
Allowance for credit losses to total loans |
|
0.37% |
|
|
0.40% |
|
|
0.48% |
|
|
0.52% |
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans |
$ |
3,860 |
|
$ |
3,698 |
|
$ |
3,161 |
|
$ |
6,106 |
Loans 90 days past due still accruing interest |
|
4,415 |
|
|
4,848 |
|
|
461 |
|
|
1,569 |
Other real estate owned |
|
18,873 |
|
18,873 |
|
18,873 |
|
19,488 |
|||
Total nonperforming assets |
$ |
27,148 |
|
$ |
27,419 |
|
$ |
22,495 |
|
$ |
27,163 |
|
|
|
|
|
|
|
|
|
|
|
|
Gross dollar volume (GDV) (1) |
Three months ended |
||||||||||
|
September 30, |
|
June 30, |
|
December 31, |
|
September 30, |
||||
|
2022 |
|
2022 |
|
2021 |
|
2021 |
||||
|
|
(Dollars in thousands) |
|||||||||
|
|
|
|
|
|||||||
Prepaid and debit card GDV |
$ |
28,119,428 |
|
$ |
28,394,897 |
|
$ |
24,821,576 |
|
$ |
24,392,188 |
(1) Gross dollar volume represents the total dollar amount spent on prepaid and debit cards issued by The Bancorp Bank, N.A.
Business line quarterly summary |
|||||||||||||
Quarter ended September 30, 2022 |
|||||||||||||
(Dollars in millions) |
|||||||||||||
Balances |
|||||||||||||
% Growth |
|||||||||||||
Major business lines |
Average approximate rates * |
Balances ** |
Year over year |
|
Linked quarter annualized |
||||||||
Loans |
|||||||||||||
Institutional banking *** |
4.2% |
$ 2,538 |
32% |
18% |
|||||||||
Small business lending**** |
5.6% |
739 |
3% |
1% |
|||||||||
Leasing |
6.1% |
600 |
17% |
11% |
|||||||||
Commercial real estate (non-SBA loans, at fair value) |
5.4% |
658 |
nm |
nm |
|||||||||
Real estate bridge loans (recorded at book value) |
|
6.0% |
|
1,488 |
|
nm |
|
nm |
|
|
|
|
|
Weighted average yield |
5.1% |
$ 6,023 |
Non-interest income |
||||||||||
% Growth |
|||||||||||||
Deposits: Fintech solutions group |
Current quarter |
Year over year |
|||||||||||
Prepaid and debit card issuance, and other payments |
1.1% |
$ 5,397 |
5% |
nm |
$ 21.4 |
6% |
* Average rates are for the quarter ended September 30, 2022.
** Loan and deposit categories are respectively based on period-end and average quarterly balances.
*** Institutional Banking loans are comprised of security backed lines of credit (SBLOC), collateralized by marketable securities, insurance backed lines of credit (IBLOC), collateralized by the cash surrender value of eligible life insurance policies, and investment advisor financing.
**** Small Business Lending is substantially comprised of SBA loans. Loan growth percentages exclude short-term PPP loans.
These press releases may also interest you
|