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WSBC Wesbanco

Filed: 27 Apr 21, 4:38pm

 

 

WesBanco Announces First Quarter 2021 Financial Results

 

Wheeling, WV, April 27, 2021 – WesBanco, Inc. (“WesBanco”) (Nasdaq: WSBC), a diversified, multi-state bank holding company, today announced net income and related earnings per share for the three months ended March 31, 2021.  Net income available to common shareholders for the period was $70.6 million, with diluted earnings per share of $1.05, compared to $23.4 million and $0.35 per diluted share, respectively, for the first quarter of 2020.  Net income available to common shareholders excluding after-tax restructuring and merger-related expenses for the three months ended March 31, 2021, was $71.3 million, or $1.06 per diluted share, as compared to $27.5 million and $0.41 per diluted share, respectively, in the prior year quarter (non-GAAP measures).

 

 

 

For the Three Months Ended March 31,

 

 

 

2021

 

 

2020

 

(unaudited, dollars in thousands,

except per share amounts)

 

Net

Income

 

 

Diluted

Earnings

Per Share

 

 

Net

Income

 

 

Diluted

Earnings

Per Share

 

Net income available to common shareholders (Non-GAAP)(1)

$

71,256

 

 

$

1.06

 

 

$

27,476

 

 

$

0.41

 

Less: After tax restructuring and merger-related expenses

 

(672

)

 

 

(0.01

)

 

 

(4,080

)

 

 

(0.06

)

Net income available to common shareholders (GAAP)

$

70,584

 

 

$

1.05

 

 

$

23,396

 

 

$

0.35

 

(1)

See non-GAAP financial measures for additional information relating to the calculation of these items.

 

WesBanco believes that pre-tax, pre-provision income (non-GAAP measure) provides a more comparable year-over-year measure as it removes the provision for credit losses to improve comparability from quarter-to-quarter due to the CECL accounting standard. For the three months ended March 31, 2021, pre-tax, pre-provision income, excluding restructuring and merger-related expenses, increased 3.6% year-over-year to $64.2 million compared to $62.0 million for the prior period.  In addition, on the same basis, the return on average assets was 1.57% for the three month period ending March 31, 2021.  WesBanco believes that these non-GAAP financial measures are useful to investors as they enhance investors’ understanding of the Company’s business and performance.

 

Financial and operational highlights during the quarter ended March 31, 2021:

 

Strong year-over-year growth in pre-tax, pre-provision income (non-GAAP measure)

 

Continued expense management demonstrated by a year-to-date efficiency ratio of 56.71% (non-GAAP measure)

 

Improving macro-economic factors utilized in the CECL calculation drove both the net benefit in the provision for credit losses and the reduction in allowance for credit losses during the quarter

 

Key credit quality metrics such as non-performing assets, past due loans, and net loan charge-offs, as percentages of total portfolio loans, have remained at low levels and favorable to peer bank averages, those with total assets between $10 billion and $25 billion (based upon the prior four quarters)

 

Total loan growth was 3.4% year-over-year, driven by WesBanco’s support of businesses impacted by the pandemic through the Small Business Administration’s Payroll Protection Program (“SBA PPP”)

 

Deposit growth, excluding certificates of deposit, was 28.9% year-over-year, driven by growth in demand deposits

 

Trust assets under management totaled a record $5.2 billion, driven by both market appreciation and organic growth

 

WesBanco is a well-capitalized financial institution with solid liquidity and a strong balance sheet

 

On April 22, 2021, WesBanco’s Board of Directors authorized the adoption of a new stock repurchase program, which, when combined with the remainder of the previous authorization, represents approximately 5% of outstanding shares

 

“We are pleased with WesBanco’s performance during the first quarter of 2021 as we are in the early stages of emerging from the pandemic,” said Todd F. Clossin, President and Chief Executive Officer of WesBanco.  “I am proud of our entire organization as it has worked tirelessly to serve our customers and communities throughout the past year.  Their outstanding efforts led to WesBanco Bank recently being named, for the third year in a row, one of the world’s best banks in an independent ranking based solely on customer satisfaction and feedback.  This exceptional ranking is in addition to being named one of the fifteen best banks in America by Forbes magazine, which represents our eleventh year making the list since its inception in 2010.”

 

Mr. Clossin added, “I would also like to recognize Abdul Muhammad, our Senior Vice President and Regional Manager of Residential Lending.  In addition to his chairing our Diversity, Equity, and Inclusion Council, he was recently appointed as one of the eight members of the Federal Reserve Bank of Cleveland’s Equity and Inclusion Advisory Council.  We are excited about our opportunities for the upcoming year as we build upon our well-defined, long-term strategies by leveraging the efforts of Abdul and our Council to further the principles of diversity and inclusion across not just WesBanco but also our communities.”

 

 

 


 

 

Balance Sheet

Portfolio loans of $10.7 billion as of March 31, 2021 increased 3.4% when compared to the prior year period, due primarily to participation in the SBA PPP, which totaled approximately 7,750 loans for $824 million.  During the first quarter, approximately 2,330 customers applied for and received forgiveness of their Round 1 SBA PPP loans totaling $223 million; while our lenders assisted more than 3,240 businesses with Round 2 SBA PPP loans totaling approximately $344 million.

 

Total deposits increased 20.3% year-over-year to $13.3 billion due primarily to CARES Act stimulus funds received and increased personal savings, which more than offset a $384.2 million reduction in certificates of deposit.  Deposits, excluding CDs, increased 28.9% year-over-year, driven by a 36.0% increase in total demand deposits, which represent approximately 57% of total deposits.

 

Credit Quality

As of March 31, 2021, total loans past due, non-performing loans, and non-performing assets as percentages of the portfolio and total assets have remained relatively low and consistent throughout the last five quarters.  Furthermore, on a sequential quarter-basis as compared to the quarter ending December 31, 2020, total loans past due declined $7.0 million, total non-performing assets decreased $2.8 million, and total criticized and classified loans declined $39.0 million. In addition, annualized net loan charge-offs to average loans remained low for the quarter at two basis points.  Reflecting improved macroeconomic factors in the CECL calculation, the allowance for credit losses specific to total portfolio loans at March 31, 2021 was $160.0 million, or 1.50% of total loans; or, when excluding SBA PPP loans, 1.62% of total portfolio loans.  Excluded from the allowance for credit losses and related coverage ratio are fair market value adjustments on previously acquired loans representing 0.34% of total loans.  The improved factors resulted in a negative provision for credit losses of $28.0 million for the first quarter of 2021.

 

Net Interest Margin and Income

The net interest margin of 3.27% for the first quarter of 2021 decreased four and 27 basis points, respectively, from the fourth and first quarters of 2020, primarily due to the lower interest rate environment.  As a result of higher cash balances from additional stimulus funds received by our customers and their higher personal savings creating extra liquidity, investment securities increased by $0.9 billion during the first quarter, mostly during March.  Reflecting the significantly lower interest rate environment, we aggressively reduced our deposit rates throughout the past year, which helped to lower deposit funding costs 35 basis points year-over-year to 20 basis points for the first quarter of 2021, or 14 basis points when including non-interest bearing deposits.  Further, we lowered the cost of FHLB borrowings 25 basis points year-over-year as we reduced first quarter average borrowings by $1.0 billion, or 66.8%, year-over-year to $0.5 billion, which have a remaining average life of less than one year.  Accretion from acquisitions benefited the first quarter net interest margin by 13 basis points, as compared to 22 basis points in the prior year period and 16 basis points during the fourth quarter of 2020.  Lastly, the forgiveness of existing and funding of new SBA PPP loans benefited the first quarter of 2021 net interest margin by a net 11 basis points, and will positively impact the net interest margin as the loans are forgiven during the next couple of quarters.

 

Net interest income decreased $3.7 million, or 3.1%, during the first quarter of 2021, as compared to the same quarter of 2020, reflecting lower loan yields due to repricing of existing loans and lower new offered rates in the current market environment, lower related accretion from purchase accounting, and lower rates on investment securities partially offset by lower interest on deposits and borrowings as described above.

 

Non-Interest Income

For the first quarter of 2021, non-interest income of $33.2 million increased $5.2 million, or 18.6%, from the first quarter of 2020, driven primarily by mortgage banking income and higher commercial customer loan swap-related income, which were partially offset by lower service charges on deposits and net securities gains.  Reflecting the low interest rate environment and organic growth, mortgage banking fees increased $3.0 million, or 234.2%, compared to the prior year period, net of fair value adjustments, as residential mortgage origination dollar volume increased approximately 50% year-over-year, with roughly 60% of those originations sold into the secondary market.  Loan swap-related income was $4.7 million, an increase of $4.8 million year-over-year, primarily the result of $2.8 million of fair market value adjustments in the current period as compared to a negative $2.8 million adjustment last year.  Service charges on deposits were lower due to higher consumer deposits associated with the three rounds of stimulus to-date and lower general consumer spending, resulting in fewer eligible account fees.

 

WesBanco has jointly executed a purchase agreement in which Pueblo Bank and Trust (“PB&T”) will acquire WesBanco’s non-essential debit card sponsorship portfolio of clients, which was acquired as part of its Old Line Bancshares, Inc. merger.  The all-cash purchase price is for a maximum of $2.8 million, which will be paid monthly over a two-year period based on a 50%-50% split of the monthly gross revenue earned by PB&T.

 

Non-Interest Expense

Total operating expenses continued to be well-controlled through company-wide efforts to effectively manage discretionary costs and full-time equivalent employee counts, as demonstrated by a year-to-date efficiency ratio of 56.71%.  Excluding restructuring and merger-related expenses, non-interest expense for the three months ended March 31, 2021 decreased $0.7 million, or 0.8%, to $85.5 million compared to the prior year period, primarily due to lower salaries and wages from the recent financial center closures, as well as continuing cost control measures over certain discretionary expenses.  Marketing expense for the first quarter of 2021 increased $1.2


 

million, or 109.5%, year-over-year due to increased product advertising and brand awareness campaigns that were delayed from 2020 due to the COVID-19 pandemic.

 

Capital

WesBanco continues to maintain what we believe are strong regulatory capital ratios, as both consolidated and bank-level regulatory capital ratios are well above the applicable “well-capitalized” standards promulgated by bank regulators and the BASEL III capital standards.  At March 31, 2021, Tier I leverage was 10.74%, Tier I risk-based capital ratio was 14.95%, common equity Tier 1 capital ratio (“CET 1”) was 13.65%, and total risk-based capital was 17.58%.

 

On April 22, 2021, WesBanco’s Board of Directors authorized the adoption of a new stock repurchase plan for the purchase of up to an additional 1.7 million shares of WesBanco common stock from time to time on the open market.  This new stock repurchase authorization is in addition to the existing stock repurchase program approved by WesBanco’s Board of Directors on December 19, 2019 which has approximately 1.7 million shares remaining for repurchase and will continue to be utilized until such authorization is completed.  The combination of these two authorizations represents approximately 5.0% of outstanding shares.

 

Conference Call and Webcast

WesBanco will host a conference call to discuss the Company's financial results for the first quarter of 2021 at 10:00 a.m. ET on Wednesday, April 28, 2021.  Interested parties can access the live webcast of the conference call through the Investor Relations section of the Company's website, www.wesbanco.com.  Participants can also listen to the conference call by dialing 888-347-6607, 855-669-9657 for Canadian callers, or 412-902-4290 for international callers, and asking to be joined into the WesBanco call.

 

A replay of the conference call will be available by dialing 877-344-7529, 855-669-9658 for Canadian callers, or 412-317-0088 for international callers, and providing the access code of 10150967.  The replay will begin at approximately 12:00 p.m. ET on April 28, and end at 12 a.m. ET on May 12.  An archive of the webcast will be available for one year on the Investor Relations section of the Company’s website (www.wesbanco.com).

 

Forward-Looking Statements

Forward-looking statements in this report relating to WesBanco’s plans, strategies, objectives, expectations, intentions and adequacy of resources, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.  The information contained in this report should be read in conjunction with WesBanco’s Form 10-K for the year ended December 31, 2020 and documents subsequently filed by WesBanco with the Securities and Exchange Commission (“SEC”), which are available at the SEC’s website, www.sec.gov or at WesBanco’s website, www.WesBanco.com.  Investors are cautioned that forward-looking statements, which are not historical fact, involve risks and uncertainties, including those detailed in WesBanco’s most recent Annual Report on Form 10-K filed with the SEC under “Risk Factors” in Part I, Item 1A.  Such statements are subject to important factors that could cause actual results to differ materially from those contemplated by such statements, including, without limitation, the effects of changing regional and national economic conditions including the effects of the COVID-19 pandemic; changes in interest rates, spreads on earning assets and interest-bearing liabilities, and associated interest rate sensitivity; sources of liquidity available to WesBanco and its related subsidiary operations; potential future credit losses and the credit risk of commercial, real estate, and consumer loan customers and their borrowing activities; actions of the Federal Reserve Board, the Federal Deposit Insurance Corporation, the SEC, the Financial Institution Regulatory Authority, the Municipal Securities Rulemaking Board, the Securities Investors Protection Corporation, and other regulatory bodies; potential legislative and federal and state regulatory actions and reform, including, without limitation, the impact of the implementation of the Dodd-Frank Act; adverse decisions of federal and state courts; fraud, scams and schemes of third parties; cyber-security breaches; competitive conditions in the financial services industry; rapidly changing technology affecting financial services; marketability of debt instruments and corresponding impact on fair value adjustments; and/or other external developments materially impacting WesBanco’s operational and financial performance.  WesBanco does not assume any duty to update forward-looking statements.

 

Non-GAAP Financial Measures

In addition to the results of operations presented in accordance with Generally Accepted Accounting Principles (GAAP), WesBanco's management uses, and this presentation contains or references, certain non-GAAP financial measures, such as pre-tax pre-provision income, tangible common equity/tangible assets; net income excluding after-tax restructuring and merger-related expenses; efficiency ratio; return on average assets; and return on average tangible equity.  WesBanco believes these financial measures provide information useful to investors in understanding our operational performance and business and performance trends which facilitate comparisons with the performance of others in the financial services industry. Although WesBanco believes that these non-GAAP financial measures enhance investors' understanding of WesBanco's business and performance, these non-GAAP financial measures should not be considered an alternative to GAAP. The non-GAAP financial measures contained therein should be read in conjunction with the audited financial statements and analysis as presented in the Annual Report on Form 10-K as well as the unaudited financial statements and analyses as presented in the Quarterly Reports on Forms 10-Q for WesBanco and its subsidiaries, as well as other filings that the company has made with the SEC.

 

 

 

 


 

 

About WesBanco, Inc.

Founded in 1870, WesBanco, Inc. (www.wesbanco.com) is a diversified and balanced financial services company that delivers large bank capabilities with a community bank feel.  Our distinct long-term growth strategies are built upon unique sustainable advantages permitting us to span six states with meaningful market share.  Built upon our ‘Better Banking Pledge’, our customer-centric service culture is focused on growing long-term relationships by pledging to serve all personal and business customer needs efficiently and effectively.  In addition to a full range of online and mobile banking options and a full-suite of commercial products and services, WesBanco provides trust, wealth management, securities brokerage, and private banking services through our century-old Trust and Investment Services department, with approximately $5.2 billion of assets under management (as of March 31, 2021).  WesBanco's banking subsidiary, WesBanco Bank, Inc., operates 212 financial centers in the states of Indiana, Kentucky, Maryland, Ohio, Pennsylvania, and West Virginia.  Additionally, WesBanco operates an insurance agency, WesBanco Insurance Services, Inc., and a full service broker/dealer, WesBanco Securities, Inc.

 

SOURCE:  WesBanco, Inc.

 

WesBanco Company Contact:

John H. Iannone

Senior Vice President, Investor and Public Relations

304-905-7021

###

 

 

 


WESBANCO, INC.

Consolidated Selected Financial Highlights

(unaudited, dollars in thousands, except shares and per share amounts)

 

 

 

 

 

For the Three Months Ended

 

 

STATEMENT OF INCOME

 

March 31,

 

 

 

 

2021

 

 

2020

 

 

% Change

 

 

Interest and dividend income

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, including fees

 

$

109,358

 

 

$

119,503

 

 

 

(8.5

)

 

Interest and dividends on securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

11,127

 

 

 

16,986

 

 

 

(34.5

)

 

Tax-exempt

 

 

3,910

 

 

 

4,456

 

 

 

(12.3

)

 

Total interest and dividends on securities

 

 

15,037

 

 

 

21,442

 

 

 

(29.9

)

 

Other interest income

 

 

659

 

 

 

1,503

 

 

 

(56.2

)

 

          Total interest and dividend income

 

 

125,054

 

 

 

142,448

 

 

 

(12.2

)

 

Interest expense

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing demand deposits

 

 

1,043

 

 

 

3,394

 

 

 

(69.3

)

 

Money market deposits

 

 

578

 

 

 

2,352

 

 

 

(75.4

)

 

Savings deposits

 

 

264

 

 

 

923

 

 

 

(71.4

)

 

Certificates of deposit

 

 

2,370

 

 

 

4,054

 

 

 

(41.5

)

 

Total interest expense on deposits

 

 

4,255

 

 

 

10,723

 

 

 

(60.3

)

 

Federal Home Loan Bank borrowings

 

 

2,414

 

 

 

8,232

 

 

 

(70.7

)

 

Other short-term borrowings

 

 

118

 

 

 

870

 

 

 

(86.4

)

 

Subordinated debt and junior subordinated debt

 

 

1,789

 

 

 

2,461

 

 

 

(27.3

)

 

Total interest expense

 

 

8,576

 

 

 

22,286

 

 

 

(61.5

)

 

Net interest income

 

 

116,478

 

 

 

120,162

 

 

 

(3.1

)

 

Provision for credit losses

 

 

(27,958

)

 

 

29,821

 

 

 

(193.8

)

 

Net interest income after provision for credit losses

 

 

144,436

 

 

 

90,341

 

 

 

59.9

 

 

Non-interest income

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust fees

 

 

7,631

 

 

 

6,952

 

 

 

9.8

 

 

Service charges on deposits

 

 

4,894

 

 

 

6,617

 

 

 

(26.0

)

 

Electronic banking fees

 

 

4,365

 

 

 

4,254

 

 

 

2.6

 

 

Net securities brokerage revenue

 

 

1,524

 

 

 

1,679

 

 

 

(9.2

)

 

Bank-owned life insurance

 

 

1,709

 

 

 

1,769

 

 

 

(3.4

)

 

Mortgage banking income

 

 

4,264

 

 

 

1,276

 

 

 

234.2

 

 

Net securities gains

 

 

279

 

 

 

1,491

 

 

 

(81.3

)

 

Net gain on other real estate owned and other assets

 

 

175

 

 

 

169

 

 

 

3.6

 

 

Other income

 

 

8,367

 

 

 

3,802

 

 

 

120.1

 

 

Total non-interest income

 

 

33,208

 

 

 

28,009

 

 

 

18.6

 

 

Non-interest expense

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and wages

 

 

36,890

 

 

 

38,910

 

 

 

(5.2

)

 

Employee benefits

 

 

10,266

 

 

 

10,373

 

 

 

(1.0

)

 

Net occupancy

 

 

7,177

 

 

 

7,084

 

 

 

1.3

 

 

Equipment

 

 

6,765

 

 

 

6,039

 

 

 

12.0

 

 

Marketing

 

 

2,384

 

 

 

1,138

 

 

 

109.5

 

 

FDIC insurance

 

 

1,282

 

 

 

2,113

 

 

 

(39.3

)

 

Amortization of intangible assets

 

 

2,896

 

 

 

3,374

 

 

 

(14.2

)

 

Restructuring and merger-related expense

 

 

851

 

 

 

5,164

 

 

 

(83.5

)

 

Other operating expenses

 

 

17,816

 

 

 

17,138

 

 

 

4.0

 

 

Total non-interest expense

 

 

86,327

 

 

 

91,333

 

 

 

(5.5

)

 

Income before provision for income taxes

 

 

91,317

 

 

 

27,017

 

 

 

238.0

 

 

Provision for income taxes

 

 

18,202

 

 

 

3,621

 

 

 

402.7

 

 

Net Income

 

 

73,115

 

 

 

23,396

 

 

 

212.5

 

 

Preferred stock dividends

 

 

2,531

 

 

 

-

 

 

 

100.0

 

 

Net income available to common shareholders

 

$

70,584

 

 

$

23,396

 

 

 

201.7

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable equivalent net interest income

 

$

117,517

 

 

$

121,346

 

 

 

(3.2

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per common share data

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income per common share - basic

 

$

1.05

 

 

$

0.35

 

 

 

200.0

 

 

Net income per common share - diluted

 

 

1.05

 

 

 

0.35

 

 

 

200.0

 

 

Net income per common share - diluted, excluding certain items (1)(2)

 

 

1.06

 

 

 

0.41

 

 

 

158.5

 

 

Dividends declared

 

 

0.33

 

 

 

0.32

 

 

 

3.1

 

 

Book value (period end)

 

 

39.25

 

 

 

38.56

 

 

 

1.8

 

 

Tangible book value (period end) (1)

 

 

22.21

 

 

 

21.36

 

 

 

4.0

 

 

Average common shares outstanding - basic

 

 

67,263,714

 

 

 

67,486,550

 

 

 

(0.3

)

 

Average common shares outstanding - diluted

 

 

67,355,418

 

 

 

67,587,446

 

 

 

(0.3

)

 

Period end common shares outstanding

 

 

67,282,134

 

 

 

67,058,155

 

 

 

0.3

 

 

Period end preferred shares outstanding

 

 

150,000

 

 

 

-

 

 

 

100.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) See non-GAAP financial measures for additional information relating to the calculation of this item.

 

 

 

 

 

 

(2) Certain items excluded from the calculation consist of after-tax restructuring and merger-related expenses.

 

 


WESBANCO, INC.

Consolidated Selected Financial Highlights

(unaudited, dollars in thousands)

 

 

 

Selected ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Three Months Ended

 

 

 

 

March 31,

 

 

 

 

2021

 

 

2020

 

 

% Change

 

 

Return on average assets

 

 

1.72

 

%

 

0.60

 

%

 

186.67

 

%

Return on average assets, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

1.74

 

 

 

0.70

 

 

 

148.57

 

 

Return on average equity

 

 

10.33

 

 

 

3.63

 

 

 

184.57

 

 

Return on average equity, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

10.43

 

 

 

4.26

 

 

 

144.84

 

 

Return on average tangible equity (1)

 

 

18.22

 

 

 

7.07

 

 

 

157.71

 

 

Return on average tangible equity, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

18.39

 

 

 

8.18

 

 

 

124.82

 

 

Return on average tangible common equity (1)

 

 

20.00

 

 

 

7.07

 

 

 

182.89

 

 

Return on average tangible common equity, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

20.18

 

 

 

8.18

 

 

 

146.70

 

 

Yield on earning assets (2)

 

 

3.51

 

 

 

4.19

 

 

 

(16.23

)

 

Cost of interest bearing liabilities

 

 

0.37

 

 

 

0.91

 

 

 

(59.34

)

 

Net interest spread (2)

 

 

3.14

 

 

 

3.28

 

 

 

(4.27

)

 

Net interest margin (2)

 

 

3.27

 

 

 

3.54

 

 

 

(7.63

)

 

Efficiency (1) (2)

 

 

56.71

 

 

 

57.69

 

 

 

(1.70

)

 

Average loans to average deposits

 

 

85.27

 

 

 

94.61

 

 

 

(9.87

)

 

Annualized net loan charge-offs/average loans

 

 

0.02

 

 

 

0.18

 

 

 

(88.89

)

 

Effective income tax rate

 

 

19.93

 

 

 

13.40

 

 

 

48.73

 

 

 

 

 

For the Quarter Ended

 

 

 

 

Mar. 31,

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

Mar. 31,

 

 

 

 

2021

 

 

2020

 

 

2020

 

 

2020

 

 

2020

 

 

Return on average assets

 

 

1.72

 

%

 

1.21

 

%

 

0.98

 

%

 

0.11

 

%

 

0.60

 

%

Return on average assets, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

1.74

 

 

 

1.22

 

 

 

1.05

 

 

 

0.12

 

 

 

0.70

 

 

Return on average equity

 

 

10.33

 

 

 

7.28

 

 

 

6.17

 

 

 

0.69

 

 

 

3.63

 

 

Return on average equity, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

10.43

 

 

 

7.33

 

 

 

6.60

 

 

 

0.75

 

 

 

4.26

 

 

Return on average tangible equity (1)

 

 

18.22

 

 

 

13.18

 

 

 

11.56

 

 

 

1.98

 

 

 

7.07

 

 

Return on average tangible equity, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

18.39

 

 

 

13.28

 

 

 

12.31

 

 

 

2.08

 

 

 

8.18

 

 

Return on average tangible common equity (1)

 

 

20.00

 

 

 

14.49

 

 

 

12.21

 

 

 

1.98

 

 

 

7.07

 

 

Return on average tangible common equity, excluding

 

 

 

 

 

 

 

 

 

 

 

 

 

.

 

 

 

 

 

 

    after-tax restructuring and merger-related expenses (1)

 

 

20.18

 

 

 

14.60

 

 

 

13.00

 

 

 

2.08

 

 

 

8.18

 

 

Yield on earning assets (2)

 

 

3.51

 

 

 

3.61

 

 

 

3.66

 

 

 

3.75

 

 

 

4.19

 

 

Cost of interest bearing liabilities

 

 

0.37

 

 

 

0.45

 

 

 

0.53

 

 

 

0.63

 

 

 

0.91

 

 

Net interest spread (2)

 

 

3.14

 

 

 

3.16

 

 

 

3.13

 

 

 

3.12

 

 

 

3.28

 

 

Net interest margin (2)

 

 

3.27

 

 

 

3.31

 

 

 

3.31

 

 

 

3.32

 

 

 

3.54

 

 

Efficiency (1) (2)

 

 

56.71

 

 

 

57.06

 

 

 

55.23

 

 

 

55.57

 

 

 

57.69

 

 

Average loans to average deposits

 

 

85.27

 

 

 

89.64

 

 

 

90.88

 

 

 

91.87

 

 

 

94.61

 

 

Annualized net loan charge-offs and recoveries /average loans

 

 

0.02

 

 

 

0.02

 

 

 

(0.00

)

 

 

0.07

 

 

 

0.18

 

 

Effective income tax rate

 

 

19.93

 

 

 

18.13

 

 

 

15.66

 

 

 

0.93

 

 

 

13.40

 

 

Trust assets, market value at period end

 

$

5,244,370

 

 

$

5,025,565

 

 

$

4,649,054

 

 

$

4,487,042

 

 

$

4,082,141

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) See non-GAAP financial measures for additional information relating to the calculation of this item.

(2) The yield on earning assets, net interest margin, net interest spread and efficiency ratios are presented on a fully taxable-equivalent (FTE) and annualized basis. The FTE basis adjusts for the tax benefit of income on certain tax-exempt loans and investments.   WesBanco believes this measure to be the preferred industry measurement of net interest income and provides a relevant comparison between taxable and non-taxable amounts.

 

 


WESBANCO, INC.

Consolidated Selected Financial Highlights

(unaudited, dollars in thousands, except shares)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

% Change

 

 

 

March 31,

 

 

 

 

 

December 31,

 

December 31, 2020

 

Balance sheets

 

2021

 

 

2020

 

 

% Change

 

2020

 

to March 31, 2021

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and due from banks

 

$

209,040

 

 

$

183,138

 

 

 

14.1

 

$

184,361

 

 

13.4

 

Due from banks - interest bearing

 

 

550,008

 

 

 

410,734

 

 

 

33.9

 

 

721,086

 

 

(23.7

)

Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Equity securities, at fair value

 

 

13,123

 

 

 

11,230

 

 

 

16.9

 

 

13,047

 

 

0.6

 

Available-for-sale debt securities, at fair value

 

 

2,775,212

 

 

 

2,262,082

 

 

 

22.7

 

 

1,978,136

 

 

40.3

 

Held-to-maturity debt securities (fair values of $839,872;

   $841,120 and $768,183, respectively)

 

 

813,740

 

 

 

814,414

 

 

 

(0.1

)

 

731,212

 

 

11.3

 

Allowance for credit losses, held-to-maturity debt securities

 

 

(290

)

 

 

(236

)

 

 

(22.9

)

 

(326

)

 

11.0

 

Net held-to-maturity debt securities

 

 

813,450

 

 

 

814,178

 

 

 

(0.1

)

 

730,886

 

 

11.3

 

Total securities

 

 

3,601,785

 

 

 

3,087,490

 

 

 

16.7

 

 

2,722,069

 

 

32.3

 

Loans held for sale

 

 

153,520

 

 

 

48,021

 

 

 

219.7

 

 

168,378

 

 

(8.8

)

Portfolio loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Commercial real estate

 

 

5,712,742

 

 

 

5,604,405

 

 

 

1.9

 

 

5,705,392

 

 

0.1

 

Commercial and industrial

 

 

2,422,735

 

 

 

1,801,751

 

 

 

34.5

 

 

2,407,438

 

 

0.6

 

Residential real estate

 

 

1,644,422

 

 

 

1,929,590

 

 

 

(14.8

)

 

1,720,961

 

 

(4.4

)

Home equity

 

 

634,018

 

 

 

650,754

 

 

 

(2.6

)

 

646,387

 

 

(1.9

)

Consumer

 

 

289,395

 

 

 

363,096

 

 

 

(20.3

)

 

309,055

 

 

(6.4

)

Total portfolio loans, net of unearned income

 

 

10,703,312

 

 

 

10,349,596

 

 

 

3.4

 

 

10,789,233

 

 

(0.8

)

Allowance for credit losses - loans

 

 

(160,040

)

 

 

(114,272

)

 

 

(40.1

)

 

(185,827

)

 

13.9

 

Net portfolio loans

 

 

10,543,272

 

 

 

10,235,324

 

 

 

3.0

 

 

10,603,406

 

 

(0.6

)

Premises and equipment, net

 

 

239,863

 

 

 

258,200

 

 

 

(7.1

)

 

249,421

 

 

(3.8

)

Accrued interest receivable

 

 

68,896

 

 

 

43,960

 

 

 

56.7

 

 

66,790

 

 

3.2

 

Goodwill and other intangible assets, net

 

 

1,160,195

 

 

 

1,170,070

 

 

 

(0.8

)

 

1,163,091

 

 

(0.2

)

Bank-owned life insurance

 

 

307,747

 

 

 

301,270

 

 

 

2.1

 

 

306,038

 

 

0.6

 

Other assets

 

 

223,462

 

 

 

257,365

 

 

 

(13.2

)

 

240,970

 

 

(7.3

)

Total Assets

 

$

17,057,788

 

 

$

15,995,572

 

 

 

6.6

 

$

16,425,610

 

 

3.8

 

Liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest bearing demand

 

$

4,460,049

 

 

$

3,191,713

 

 

 

39.7

 

$

4,070,835

 

 

9.6

 

Interest bearing demand

 

 

3,126,186

 

 

 

2,388,406

 

 

 

30.9

 

 

2,839,536

 

 

10.1

 

Money market

 

 

1,771,703

 

 

 

1,539,835

 

 

 

15.1

 

 

1,685,927

 

 

5.1

 

Savings deposits

 

 

2,373,987

 

 

 

1,984,057

 

 

 

19.7

 

 

2,214,565

 

 

7.2

 

Certificates of deposit

 

 

1,555,074

 

 

 

1,939,321

 

 

 

(19.8

)

 

1,618,510

 

 

(3.9

)

Total deposits

 

 

13,286,999

 

 

 

11,043,332

 

 

 

20.3

 

 

12,429,373

 

 

6.9

 

Federal Home Loan Bank borrowings

 

 

433,984

 

 

 

1,585,608

 

 

 

(72.6

)

 

549,003

 

 

(21.0

)

Other short-term borrowings

 

 

137,218

 

 

 

333,966

 

 

 

(58.9

)

 

241,950

 

 

(43.3

)

Subordinated debt and junior subordinated debt

 

 

192,430

 

 

 

192,008

 

 

 

0.2

 

 

192,291

 

 

0.1

 

Total borrowings

 

 

763,632

 

 

 

2,111,582

 

 

 

(63.8

)

 

983,244

 

 

(22.3

)

Accrued interest payable

 

 

3,224

 

 

 

7,667

 

 

 

(57.9

)

 

4,314

 

 

(25.3

)

Other liabilities

 

 

218,411

 

 

 

246,931

 

 

 

(11.5

)

 

251,942

 

 

(13.3

)

Total Liabilities

 

 

14,272,266

 

 

 

13,409,512

 

 

 

6.4

 

 

13,668,873

 

 

4.4

 

Shareholders' Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Preferred stock, no par value; 1,000,000 shares authorized in 2021 and 2020, respectively; 150,000 shares 6.75% non-cumulative perpetual preferred stock, Series A, liquidation preference $150.0 million, issued and outstanding at March 31, 2021 and December 31, 2020 and 0 shares issued and outstanding at March 31, 2020, respectively.

 

 

144,484

 

 

 

-

 

 

 

100.0

 

 

144,484

 

 

(0.0

)

Common stock, $2.0833 par value; 100,000,000 shares authorized in 2021 and 2020, respectively;  68,081,306, 68,078,116 and 68,081,306 shares issued, respectively; 67,282,134, 67,058,155 and 67,254,706 shares outstanding, respectively

 

 

141,834

 

 

 

141,827

 

 

 

0.0

 

 

141,834

 

 

-

 

Capital surplus

 

 

1,636,103

 

 

 

1,638,122

 

 

 

(0.1

)

 

1,634,815

 

 

0.1

 

Retained earnings

 

 

879,786

 

 

 

800,064

 

 

 

10.0

 

 

831,688

 

 

5.8

 

Treasury stock (799,172, 1,019,961 and 826,600 shares - at cost, respectively)

 

 

(24,989

)

 

 

(33,714

)

 

 

25.9

 

 

(25,949

)

 

3.7

 

Accumulated other comprehensive income

 

 

9,803

 

 

 

41,141

 

 

 

(76.2

)

 

31,359

 

 

(68.7

)

Deferred benefits for directors

 

 

(1,499

)

 

 

(1,380

)

 

 

(8.6

)

 

(1,494

)

 

(0.3

)

Total Shareholders' Equity

 

 

2,785,522

 

 

 

2,586,060

 

 

 

7.7

 

 

2,756,737

 

 

1.0

 

Total Liabilities and Shareholders' Equity

 

$

17,057,788

 

 

$

15,995,572

 

 

 

6.6

 

$

16,425,610

 

 

3.8

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


WESBANCO, INC.

Consolidated Selected Financial Highlights

(unaudited, dollars in thousands)

 

 

 

 

For the Three Months Ended March 31,

 

 

 

 

 

2021

 

 

 

2020

 

 

 

Average balance sheet and net interest margin analysis

 

Average

 

Average

 

 

 

Average

 

Average

 

 

 

 

 

Balance

 

Rate

 

 

 

Balance

 

Rate

 

 

 

Assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Due from banks - interest bearing

 

$

776,245

 

 

0.09

 

%

 

$

133,532

 

 

1.21

 

%

 

Loans, net of unearned income (1)

 

 

10,890,370

 

 

4.07

 

 

 

 

10,375,187

 

 

4.63

 

 

 

Securities: (2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

2,306,320

 

 

1.96

 

 

 

 

2,576,668

 

 

2.65

 

 

 

Tax-exempt (3)

 

 

580,199

 

 

3.46

 

 

 

 

646,587

 

 

3.51

 

 

 

Total securities

 

 

2,886,519

 

 

2.26

 

 

 

 

3,223,255

 

 

2.82

 

 

 

Other earning assets

 

 

33,240

 

 

5.89

 

 

 

 

69,581

 

 

6.37

 

 

 

Total earning assets (3)

 

 

14,586,374

 

 

3.51

 

%

 

 

13,801,555

 

 

4.19

 

%

 

Other assets

 

 

2,049,884

 

 

 

 

 

 

 

1,983,384

 

 

 

 

 

 

Total Assets

 

$

16,636,258

 

 

 

 

 

 

$

15,784,939

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Liabilities and Shareholders' Equity

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing demand deposits

 

$

2,970,766

 

 

0.14

 

%

 

$

2,342,441

 

 

0.58

 

%

 

Money market accounts

 

 

1,725,561

 

 

0.14

 

 

 

 

1,543,763

 

 

0.61

 

 

 

Savings deposits

 

 

2,290,657

 

 

0.05

 

 

 

 

1,953,487

 

 

0.19

 

 

 

Certificates of deposit

 

 

1,584,152

 

 

0.61

 

 

 

 

1,989,450

 

 

0.82

 

 

 

Total interest bearing deposits

 

 

8,571,136

 

 

0.20

 

 

 

 

7,829,141

 

 

0.55

 

 

 

Federal Home Loan Bank borrowings

 

 

488,388

 

 

2.00

 

 

 

 

1,471,175

 

 

2.25

 

 

 

Other borrowings

 

 

191,676

 

 

0.25

 

 

 

 

336,042

 

 

1.04

 

 

 

Subordinated debt and junior subordinated debt

 

 

192,341

 

 

3.77

 

 

 

 

198,494

 

 

4.99

 

 

 

Total interest bearing liabilities (4)

 

 

9,443,541

 

 

0.37

 

%

 

 

9,834,852

 

 

0.91

 

%

 

Non-interest bearing demand deposits

 

 

4,200,793

 

 

 

 

 

 

 

3,137,279

 

 

 

 

 

 

Other liabilities

 

 

221,508

 

 

 

 

 

 

 

218,739

 

 

 

 

 

 

Shareholders' equity

 

 

2,770,416

 

 

 

 

 

 

 

2,594,069

 

 

 

 

 

 

Total Liabilities and Shareholders' Equity

 

$

16,636,258

 

 

 

 

 

 

$

15,784,939

 

 

 

 

 

 

Taxable equivalent net interest spread

 

 

 

 

 

3.14

 

%

 

 

 

 

 

3.28

 

%

 

Taxable equivalent net interest margin

 

 

 

 

 

3.27

 

%

 

 

 

 

 

3.54

 

%

 

(1) Gross of allowance for loan losses and net of unearned income.  Includes non-accrual and loans held for sale. Loan fees included in interest income on loans were $8.2 million and $0.7 million for the three months ended March 31, 2021 and 2020, respectively. PPP loan fees, which are included as part of total loan fees, were $7.9 million for the three months ended March 31, 2021.  Additionally, loan accretion included in interest income on loans acquired from prior acquisitions was $3.5 million and $4.1 million for the three months ended March 31, 2021 and 2020, respectively.  

(2)Average yields on available-for-sale securities are calculated based on amortized cost.

(3)Taxable equivalent basis is calculated on tax-exempt securities using a federal statutory rate of 21% for each period presented.

(4)Accretion on interest bearing liabilities acquired from the prior acquisitions was $1.1 million and $3.4 million for the three months ended March 31, 2021 and 2020, respectively.

 

 

 

 

 


 

WESBANCO, INC.

 

Consolidated Selected Financial Highlights

 

(unaudited, dollars in thousands, except shares and per share amounts)

 

 

 

 

 

Quarter Ended

 

 

 

Mar. 31,

 

 

Dec. 31,

 

 

Sept.  30,

 

 

June 30,

 

 

Mar. 31,

 

Statement of Income

 

2021

 

 

2020

 

 

2020

 

 

2020

 

 

2020

 

Interest and dividend income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, including fees

 

$

109,358

 

 

$

114,582

 

 

$

116,524

 

 

$

115,068

 

 

$

119,503

 

Interest and dividends on securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable

 

 

11,127

 

 

 

10,892

 

 

 

11,669

 

 

 

14,047

 

 

 

16,986

 

Tax-exempt

 

 

3,910

 

 

 

4,059

 

 

 

4,182

 

 

 

4,302

 

 

 

4,456

 

Total interest and dividends on securities

 

 

15,037

 

 

 

14,951

 

 

 

15,851

 

 

 

18,349

 

 

 

21,442

 

Other interest income

 

 

659

 

 

 

945

 

 

 

1,282

 

 

 

1,277

 

 

 

1,503

 

Total interest and dividend income

 

 

125,054

 

 

 

130,478

 

 

 

133,657

 

 

 

134,694

 

 

 

142,448

 

Interest expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest bearing demand deposits

 

 

1,043

 

 

 

1,099

 

 

 

1,225

 

 

 

1,350

 

 

 

3,394

 

Money market deposits

 

 

578

 

 

 

678

 

 

 

707

 

 

 

879

 

 

 

2,352

 

Savings deposits

 

 

264

 

 

 

280

 

 

 

303

 

 

 

297

 

 

 

923

 

Certificates of deposit

 

 

2,370

 

 

 

2,797

 

 

 

3,197

 

 

 

3,514

 

 

 

4,054

 

Total interest expense on deposits

 

 

4,255

 

 

 

4,854

 

 

 

5,432

 

 

 

6,040

 

 

 

10,723

 

Federal Home Loan Bank borrowings

 

 

2,414

 

 

 

3,719

 

 

 

5,457

 

 

 

7,293

 

 

 

8,232

 

Other short-term borrowings

 

 

118

 

 

 

275

 

 

 

304

 

 

 

279

 

 

 

870

 

Subordinated debt and junior subordinated debt

 

 

1,789

 

 

 

1,918

 

 

 

1,871

 

 

 

2,069

 

 

 

2,461

 

Total interest expense

 

 

8,576

 

 

 

10,766

 

 

 

13,064

 

 

 

15,681

 

 

 

22,286

 

Net interest income

 

 

116,478

 

 

 

119,712

 

 

 

120,593

 

 

 

119,013

 

 

 

120,162

 

Provision for credit losses

 

 

(27,958

)

 

 

(209

)

 

 

16,288

 

 

 

61,841

 

 

 

29,821

 

Net interest income after provision for credit losses

 

 

144,436

 

 

 

119,921

 

 

 

104,305

 

 

 

57,172

 

 

 

90,341

 

Non-interest income

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trust fees

 

 

7,631

 

 

 

6,754

 

 

 

6,426

 

 

 

6,202

 

 

 

6,952

 

Service charges on deposits

 

 

4,894

 

 

 

5,671

 

 

 

5,332

 

 

 

4,323

 

 

 

6,617

 

Electronic banking fees

 

 

4,365

 

 

 

4,424

 

 

 

4,780

 

 

 

4,066

 

 

 

4,254

 

Net securities brokerage revenue

 

 

1,524

 

 

 

1,402

 

 

 

1,725

 

 

 

1,384

 

 

 

1,679

 

Bank-owned life insurance

 

 

1,709

 

 

 

1,750

 

 

 

2,088

 

 

 

1,752

 

 

 

1,769

 

Mortgage banking income

 

 

4,264

 

 

 

5,442

 

 

 

8,488

 

 

 

7,531

 

 

 

1,276

 

Net securities gains

 

 

279

 

 

 

691

 

 

 

787

 

 

 

1,299

 

 

 

1,491

 

Net gain / (loss) on other real estate owned and other assets

 

 

175

 

 

 

18

 

 

 

(19

)

 

 

(66

)

 

 

169

 

Other income

 

 

8,367

 

 

 

6,553

 

 

 

5,005

 

 

 

6,369

 

 

 

3,802

 

Total non-interest income

 

 

33,208

 

 

 

32,705

 

 

 

34,612

 

 

 

32,860

 

 

 

28,009

 

Non-interest expense

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Salaries and wages

 

 

36,890

 

 

 

39,140

 

 

 

38,342

 

 

 

36,773

 

 

 

38,910

 

Employee benefits

 

 

10,266

 

 

 

10,608

 

 

 

10,604

 

 

 

10,138

 

 

 

10,373

 

Net occupancy

 

 

7,177

 

 

 

6,771

 

 

 

7,092

 

 

 

6,634

 

 

 

7,084

 

Equipment

 

 

6,765

 

 

 

6,810

 

 

 

6,229

 

 

 

5,722

 

 

 

6,039

 

Marketing

 

 

2,384

 

 

 

1,675

 

 

 

1,577

 

 

 

1,567

 

 

 

1,138

 

FDIC insurance

 

 

1,282

 

 

 

1,278

 

 

 

1,948

 

 

 

2,395

 

 

 

2,113

 

Amortization of intangible assets

 

 

2,896

 

 

 

3,327

 

 

 

3,346

 

 

 

3,365

 

 

 

3,374

 

Restructuring and merger-related expense

 

 

851

 

 

 

484

 

 

 

3,608

 

 

 

468

 

 

 

5,164

 

Other operating expenses

 

 

17,816

 

 

 

17,976

 

 

 

17,198

 

 

 

18,440

 

 

 

17,138

 

Total non-interest expense

 

 

86,327

 

 

 

88,069

 

 

 

89,943

 

 

 

85,502

 

 

 

91,333

 

Income before provision for income taxes

 

 

91,317

 

 

 

64,557

 

 

 

48,974

 

 

 

4,530

 

 

 

27,017

 

Provision for income taxes

 

 

18,202

 

 

 

11,703

 

 

 

7,669

 

 

 

42

 

 

 

3,621

 

Net Income

 

 

73,115

 

 

 

52,854

 

 

 

41,305

 

 

 

4,488

 

 

 

23,396

 

Preferred stock dividends

 

 

2,531

 

 

 

2,643.75

 

 

 

-

 

 

 

-

 

 

 

-

 

Net income available to common shareholders

 

$

70,584

 

 

$

50,210

 

 

$

41,305

 

 

$

4,488

 

 

$

23,396

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Taxable equivalent net interest income

 

$

117,517

 

 

$

120,790

 

 

$

121,705

 

 

$

120,156

 

 

$

121,346

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Per common share data

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income per common share - basic

 

$

1.05

 

 

$

0.75

 

 

$

0.61

 

 

$

0.07

 

 

$

0.35

 

Net income per common share - diluted

 

 

1.05

 

 

 

0.75

 

 

 

0.61

 

 

 

0.07

 

 

 

0.35

 

Net income per common share - diluted, excluding

   certain items (1)(2)

 

 

1.06

 

 

 

0.76

 

 

 

0.66

 

 

 

0.07

 

 

 

0.41

 

Dividends declared

 

 

0.33

 

 

 

0.32

 

 

 

0.32

 

 

 

0.32

 

 

 

0.32

 

Book value (period end)

 

 

39.25

 

 

 

38.84

 

 

 

38.51

 

 

 

38.23

 

 

 

38.56

 

Tangible book value (period end) (1)

 

 

22.21

 

 

 

21.75

 

 

 

21.39

 

 

 

21.10

 

 

 

21.36

 

Average common shares outstanding - basic

 

 

67,263,714

 

 

 

67,238,005

 

 

 

67,214,759

 

 

 

67,104,828

 

 

 

67,486,550

 

Average common shares outstanding - diluted

 

 

67,355,418

 

 

 

67,304,442

 

 

 

67,269,303

 

 

 

67,181,756

 

 

 

67,587,446

 

Period end common shares outstanding

 

 

67,282,134

 

 

 

67,254,706

 

 

 

67,216,012

 

 

 

67,211,192

 

 

 

67,058,155

 

Period end preferred shares outstanding

 

 

150,000

 

 

 

150,000

 

 

 

150,000

 

 

 

-

 

 

 

-

 

Full time equivalent employees

 

 

2,490

 

 

 

2,612

 

 

 

2,618

 

 

 

2,676

 

 

 

2,703

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) See non-GAAP financial measures for additional information relating to the calculation of this item.

 

(2) Certain items excluded from the calculation consist of after-tax restructuring and merger-related expenses.

 

 

 


 

WESBANCO, INC.

 

Consolidated Selected Financial Highlights

 

(unaudited, dollars in thousands)

 

 

 

 

 

Quarter Ended

 

 

 

 

Mar. 31,

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

Mar. 31,

 

 

Asset quality data

 

2021

 

 

2020

 

 

2020

 

 

2020

 

 

2020

 

 

Non-performing assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Troubled debt restructurings - accruing

 

$

3,563

 

 

$

3,927

 

 

$

4,191

 

 

$

5,105

 

 

$

5,434

 

 

Non-accrual loans:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Troubled debt restructurings

 

 

1,768

 

 

 

1,828

 

 

 

1,818

 

 

 

1,339

 

 

 

1,571

 

 

Other non-accrual loans

 

 

32,807

 

 

 

35,052

 

 

 

35,448

 

 

 

34,119

 

 

 

32,796

 

 

Total non-accrual loans

 

 

34,575

 

 

 

36,880

 

 

 

37,266

 

 

 

35,458

 

 

 

34,367

 

 

Total non-performing loans

 

 

38,138

 

 

 

40,807

 

 

 

41,457

 

 

 

40,563

 

 

 

39,801

 

 

Other real estate and repossessed assets

 

 

393

 

 

 

549

 

 

 

738

 

 

 

1,212

 

 

 

1,083

 

 

Total non-performing assets

 

$

38,531

 

 

$

41,356

 

 

$

42,195

 

 

$

41,775

 

 

$

40,884

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Past due loans (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans past due 30-89 days

 

$

20,602

 

 

$

31,596

 

 

$

17,338

 

 

$

30,595

 

 

$

32,805

 

 

Loans past due 90 days or more

 

 

12,824

 

 

 

8,846

 

 

 

10,170

 

 

 

36,903

 

 

 

14,287

 

 

Total past due loans

 

$

33,426

 

 

$

40,442

 

 

$

27,508

 

 

$

67,498

 

 

$

47,092

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Criticized and classified loans (2):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Criticized loans

 

$

340,943

 

 

$

362,295

 

 

$

248,264

 

 

$

148,580

 

 

$

120,801

 

 

Classified loans

 

 

114,884

 

 

 

132,650

 

 

 

108,594

 

 

 

98,127

 

 

 

95,162

 

 

Total criticized and classified loans

 

$

455,827

 

 

$

494,945

 

 

$

356,858

 

 

$

246,707

 

 

$

215,963

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans past due 30-89 days / total portfolio loans (3)

 

 

0.19

 

%

 

0.29

 

%

 

0.16

 

%

 

0.28

 

%

 

0.32

 

%

Loans past due 90 days or more / total portfolio loans

 

 

0.12

 

 

 

0.08

 

 

 

0.09

 

 

 

0.33

 

 

 

0.14

 

 

Non-performing loans / total portfolio loans

 

 

0.36

 

 

 

0.38

 

 

 

0.38

 

 

 

0.37

 

 

 

0.38

 

 

Non-performing assets/total portfolio loans, other

   real estate and repossessed assets

 

 

0.36

 

 

 

0.38

 

 

 

0.38

 

 

 

0.38

 

 

 

0.39

 

 

Non-performing assets / total assets

 

 

0.23

 

 

 

0.25

 

 

 

0.26

 

 

 

0.25

 

 

 

0.26

 

 

Criticized and classified loans / total portfolio loans

 

 

4.26

 

 

 

4.59

 

 

 

3.25

 

 

 

2.23

 

 

 

2.09

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for credit losses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Allowance for credit losses - loans

 

$

160,040

 

 

$

185,827

 

 

$

185,109

 

 

$

168,475

 

 

$

114,272

 

 

Allowance for credit losses - loan commitments

 

 

6,731

 

 

 

9,514

 

 

 

10,829

 

 

 

10,685

 

 

 

5,572

 

 

Provision for credit losses

 

 

(27,958

)

 

 

(209

)

 

 

16,288

 

 

 

61,841

 

 

 

29,821

 

 

Net loan and deposit account overdraft charge-offs

 

 

648

 

 

 

524

 

 

 

(133

)

 

 

1,942

 

 

 

4,716

 

 

Annualized net loan charge-offs  and recoveries / average loans

 

 

0.02

 

%

 

0.02

 

%

 

(0.00

)

%

 

0.07

 

%

 

0.18

 

%

Allowance for credit losses - loans / total portfolio loans

 

 

1.50

 

%

 

1.72

 

%

 

1.68

 

%

 

1.52

 

%

 

1.10

 

%

Allowance for credit losses - loans / total portfolio loans excluding PPP loans

 

 

1.62

 

%

 

1.85

 

%

 

1.83

 

%

 

1.65

 

%

 

1.10

 

%

Allowance for credit losses - loans / non-performing loans

 

 

4.20

 

x

 

4.55

 

x

 

4.47

 

x

 

4.15

 

x

 

2.87

 

x

Allowance for credit losses - loans / non-performing loans

   and loans past due

 

 

2.24

 

x

 

2.29

 

x

 

2.68

 

x

 

1.56

 

x

 

1.32

 

x

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Quarter Ended

 

 

 

 

Mar. 31,

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

Mar. 31,

 

 

 

 

2021

 

 

2020

 

 

2020

 

 

2020

 

 

2020

 

 

Capital ratios

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tier I leverage capital

 

 

10.74

 

%

 

10.51

 

%

 

10.18

 

%

 

9.09

 

%

 

9.64

 

%

Tier I risk-based capital

 

 

14.95

 

 

 

14.72

 

 

 

14.29

 

 

 

12.59

 

 

 

12.51

 

 

Total risk-based capital

 

 

17.58

 

 

 

17.58

 

 

 

17.18

 

 

 

15.33

 

 

 

14.83

 

 

Common equity tier 1 capital ratio (CET 1)

 

 

13.65

 

 

 

13.40

 

 

 

12.99

 

 

 

12.59

 

 

 

12.51

 

 

Average shareholders' equity to average assets

 

 

16.65

 

 

 

16.59

 

 

 

15.92

 

 

 

15.57

 

 

 

16.43

 

 

Tangible equity to tangible assets (4)

 

 

10.30

 

 

 

10.52

 

 

 

10.27

 

 

 

9.09

 

 

 

9.65

 

 

Tangible common equity to tangible assets (4)

 

 

9.39

 

 

 

9.58

 

 

 

9.33

 

 

 

9.09

 

 

 

9.65

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Excludes non-performing loans.

 

 

(2) Criticized and classified commercial loans may include loans that are also reported as non-performing or past due.

 

 

(3) Total portfolio loans includes $823.8 million of PPP loans as of March 31, 2021.

 

 

(4) See non-GAAP financial measures for additional information relating to the calculation of this ratio.

 

 

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

NON-GAAP FINANCIAL MEASURES

 

The following non-GAAP financial measures used by WesBanco provide information useful to investors in understanding WesBanco’s operating performance and trends, and facilitate comparisons with the performance of WesBanco’s peers. The following tables summarize the non-GAAP financial measures derived from amounts reported in WesBanco’s financial statements.

 

 

 

 

 

Three Months Ended

 

 

 

 

 

Mar. 31,

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

Mar. 31,

 

 

 

(unaudited, dollars in thousands, except shares and per share amounts)

 

2021

 

 

2020

 

 

2020

 

 

2020

 

 

2020

 

 

 

Return on average assets, excluding after-tax restructuring and merger-related expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders

 

$

70,584

 

 

$

50,210

 

 

$

41,305

 

 

$

4,488

 

 

$

23,396

 

 

 

Plus: after-tax restructuring and merger-related expenses  (1)

 

 

672

 

 

 

383

 

 

 

2,850

 

 

 

370

 

 

 

4,080

 

 

 

Net income available to common shareholders excluding after-tax restructuring and merger-related expenses

 

 

71,256

 

 

 

50,593

 

 

 

44,155

 

 

 

4,858

 

 

 

27,476

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total assets

 

$

16,636,258

 

 

$

16,546,761

 

 

$

16,719,717

 

 

$

16,715,211

 

 

$

15,784,939

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets, excluding after-tax restructuring and merger-related expenses (annualized)  (2)

 

 

1.74

%

 

 

1.22

%

 

 

1.05

%

 

 

0.12

%

 

 

0.70

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average equity, excluding after-tax restructuring and merger-related expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders

 

$

70,584

 

 

$

50,210

 

 

$

41,305

 

 

$

4,488

 

 

$

23,396

 

 

 

Plus: after-tax restructuring and merger-related expenses  (1)

 

 

672

 

 

 

383

 

 

 

2,850

 

 

 

370

 

 

 

4,080

 

 

 

Net income available to common shareholders excluding after-tax restructuring and merger-related expenses

 

 

71,256

 

 

 

50,593

 

 

 

44,155

 

 

 

4,858

 

 

 

27,476

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total shareholders' equity

 

 

2,770,416

 

 

 

2,744,936

 

 

 

2,662,513

 

 

 

2,602,938

 

 

 

2,594,069

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average equity, excluding after-tax  restructuring and merger-related expenses (annualized)  (2)

 

 

10.43

%

 

 

7.33

%

 

 

6.60

%

 

 

0.75

%

 

 

4.26

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average tangible equity:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders

 

$

70,584

 

 

$

50,210

 

 

$

41,305

 

 

$

4,488

 

 

$

23,396

 

 

 

Plus: amortization of intangibles (1)

 

 

2,288

 

 

 

2,628

 

 

 

2,643

 

 

 

2,658

 

 

 

2,665

 

 

 

Net income available to common shareholders before amortization of intangibles

 

 

72,872

 

 

 

52,838

 

 

 

43,948

 

 

 

7,146

 

 

 

26,061

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total shareholders' equity

 

 

2,770,416

 

 

 

2,744,936

 

 

 

2,662,513

 

 

 

2,602,938

 

 

 

2,594,069

 

 

 

Less: average goodwill and other intangibles, net of def. tax liability

 

 

(1,148,171

)

 

 

(1,150,184

)

 

 

(1,150,549

)

 

 

(1,152,856

)

 

 

(1,112,327

)

 

 

Average tangible equity

 

$

1,622,245

 

 

$

1,594,752

 

 

$

1,511,964

 

 

$

1,450,082

 

 

$

1,481,742

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average tangible equity (annualized) (2)

 

 

18.22

%

 

 

13.18

%

 

 

11.56

%

 

 

1.98

%

 

 

7.07

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average tangible common equity

 

$

1,477,736

 

 

$

1,450,243

 

 

$

1,431,657

 

 

$

1,450,082

 

 

$

1,481,742

 

 

 

Return on average common tangible equity (annualized)  (2)

 

 

20.00

%

 

 

14.49

%

 

 

12.21

%

 

 

1.98

%

 

 

7.07

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average tangible equity, excluding after-tax restructuring and merger-related expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders

 

$

70,584

 

 

$

50,210

 

 

$

41,305

 

 

$

4,488

 

 

$

23,396

 

 

 

Plus: after-tax  restructuring and merger-related expenses  (1)

 

 

672

 

 

 

383

 

 

 

2,850

 

 

 

370

 

 

 

4,080

 

 

 

Plus: amortization of intangibles (1)

 

 

2,288

 

 

 

2,628

 

 

 

2,643

 

 

 

2,658

 

 

 

2,665

 

 

 

Net income available to common shareholders before amortization of intangibles and

   excluding after-tax  restructuring and merger-related expenses

 

 

73,544

 

 

 

53,221

 

 

 

46,798

 

 

 

7,516

 

 

 

30,141

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total shareholders' equity

 

 

2,770,416

 

 

 

2,744,936

 

 

 

2,662,513

 

 

 

2,602,938

 

 

 

2,594,069

 

 

 

Less: average goodwill and other intangibles, net of def.  tax liability

 

 

(1,148,171

)

 

 

(1,150,184

)

 

 

(1,150,549

)

 

 

(1,152,856

)

 

 

(1,112,327

)

 

 

Average tangible equity

 

$

1,622,245

 

 

$

1,594,752

 

 

$

1,511,964

 

 

$

1,450,082

 

 

$

1,481,742

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average tangible equity, excluding after-tax  restructuring and merger-related expenses (annualized)  (2)

 

 

18.39

%

 

 

13.28

%

 

 

12.31

%

 

 

2.08

%

 

 

8.18

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average tangible common equity

 

$

1,477,736

 

 

$

1,450,243

 

 

$

1,431,657

 

 

$

1,450,082

 

 

$

1,481,742

 

 

 

Return on average tangible common equity, excluding after-tax restructuring and merger-related expenses (annualized)  (2)

 

 

20.18

%

 

 

14.60

%

 

 

13.00

%

 

 

2.08

%

 

 

8.18

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Efficiency ratio:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest expense

 

$

86,327

 

 

$

88,069

 

 

$

89,943

 

 

$

85,502

 

 

$

91,333

 

 

 

Less: restructuring and merger-related expense

 

 

(851

)

 

 

(484

)

 

 

(3,608

)

 

 

(468

)

 

 

(5,164

)

 

 

Non-interest expense excluding restructuring and merger-related expense

 

 

85,476

 

 

 

87,585

 

 

 

86,335

 

 

 

85,034

 

 

 

86,169

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income on a fully taxable equivalent basis

 

 

117,517

 

 

 

120,790

 

 

 

121,705

 

 

 

120,156

 

 

 

121,346

 

 

 

Non-interest income

 

 

33,208

 

 

 

32,705

 

 

 

34,612

 

 

 

32,860

 

 

 

28,009

 

 

 

Net interest income on a fully taxable equivalent basis plus non-interest income

 

$

150,725

 

 

$

153,495

 

 

$

156,317

 

 

$

153,016

 

 

$

149,355

 

 

 

Efficiency Ratio

 

 

56.71

%

 

 

57.06

%

 

 

55.23

%

 

 

55.57

%

 

 

57.69

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders, excluding after-tax restructuring and merger-related expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income available to common shareholders

 

$

70,584

 

 

$

50,210

 

 

$

41,305

 

 

$

4,488

 

 

$

23,396

 

 

 

Add: After-tax  restructuring and merger-related expenses (1)

 

 

672

 

 

 

383

 

 

 

2,850

 

 

 

370

 

 

 

4,080

 

 

 

Net income available to common shareholders, excluding after-tax restructuring and merger-related expenses

 

$

71,256

 

 

$

50,593

 

 

$

44,155

 

 

$

4,858

 

 

$

27,476

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income per common share - diluted, excluding after-tax restructuring and merger-related expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income per common share - diluted

 

$

1.05

 

 

$

0.75

 

 

$

0.61

 

 

$

0.07

 

 

$

0.35

 

 

 

Add: After-tax restructuring and merger-related expenses per common share - diluted (1)

 

 

0.01

 

 

 

0.01

 

 

 

0.05

 

 

 

(0.00

)

 

 

0.06

 

 

 

Net income per common share - diluted, excluding after-tax restructuring and merger-related expenses

 

$

1.06

 

 

$

0.76

 

 

$

0.66

 

 

$

0.07

 

 

$

0.41

 

 


 

 

 

 

 

 

 

 

 

 

Period End

 

 

 

Mar. 31,

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

Mar. 31,

 

 

 

2021

 

 

2020

 

 

2020

 

 

2020

 

 

2020

 

Tangible book value per share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total shareholders' equity

 

$

2,785,522

 

 

$

2,756,737

 

 

$

2,732,966

 

 

$

2,569,521

 

 

$

2,586,060

 

Less:  goodwill and other intangible assets, net of def. tax liability

 

 

(1,146,874

)

 

 

(1,149,161

)

 

 

(1,150,939

)

 

 

(1,151,523

)

 

 

(1,154,033

)

Less: preferred shareholders' equity

 

 

(144,484

)

 

 

(144,484

)

 

 

(144,529

)

 

 

-

 

 

 

-

 

Tangible common equity

 

 

1,494,164

 

 

 

1,463,092

 

 

 

1,437,498

 

 

 

1,417,998

 

 

 

1,432,027

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common shares outstanding

 

 

67,282,134

 

 

 

67,254,706

 

 

 

67,216,012

 

 

 

67,211,192

 

 

 

67,058,155

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible book value per share

 

$

22.21

 

 

$

21.75

 

 

$

21.39

 

 

$

21.10

 

 

$

21.36

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible common equity to tangible assets:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total shareholders' equity

 

$

2,785,522

 

 

$

2,756,737

 

 

$

2,732,966

 

 

$

2,569,521

 

 

$

2,586,060

 

Less:  goodwill and other intangible assets, net of def. tax liability

 

 

(1,146,874

)

 

 

(1,149,161

)

 

 

(1,150,939

)

 

 

(1,151,523

)

 

 

(1,154,033

)

Tangible equity

 

 

1,638,648

 

 

 

1,607,576

 

 

 

1,582,027

 

 

 

1,417,998

 

 

 

1,432,027

 

Less: preferred shareholders' equity

 

 

(144,484

)

 

 

(144,484

)

 

 

(144,529

)

 

 

-

 

 

 

-

 

Tangible common equity

 

 

1,494,164

 

 

 

1,463,092

 

 

 

1,437,498

 

 

 

1,417,998

 

 

 

1,432,027

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

 

17,057,788

 

 

 

16,425,610

 

 

 

16,552,140

 

 

 

16,755,395

 

 

 

15,995,572

 

Less:  goodwill and other intangible assets, net of def. tax liability

 

 

(1,146,874

)

 

 

(1,149,161

)

 

 

(1,150,939

)

 

 

(1,151,523

)

 

 

(1,154,033

)

Tangible assets

 

$

15,910,914

 

 

$

15,276,449

 

 

$

15,401,201

 

 

$

15,603,872

 

 

$

14,841,539

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible equity to tangible assets

 

 

10.30

%

 

 

10.52

%

 

 

10.27

%

 

 

9.09

%

 

 

9.65

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tangible common equity to tangible assets

 

 

9.39

%

 

 

9.58

%

 

 

9.33

%

 

 

9.09

%

 

 

9.65

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Tax effected at 21% for all periods presented.

 

(2) The ratios are annualized by utilizing actual number of days in the quarter versus the year.

 

 



 

 

 

 

 

 

 

 

ADDITIONAL NON-GAAP FINANCIAL MEASURES

The following non-GAAP financial measures used by WesBanco provide information useful to investors in understanding WesBanco’s operating performance and trends, and facilitate comparisons with the performance of WesBanco’s peers. The following tables summarize the non-GAAP financial measures derived from amounts reported in WesBanco’s financial statements.

 

 

 

 

Three Months Ended

 

 

 

 

 

Mar. 31

 

 

Dec. 31,

 

 

Sept. 30,

 

 

June 30,

 

 

Mar. 31,

 

 

 

(unaudited, dollars in thousands, except shares and per share amounts)

 

2021

 

 

2020

 

 

2020

 

 

2020

 

 

2020

 

 

 

Pre-tax, pre-provision income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before provision for income taxes

 

$

91,317

 

 

$

64,557

 

 

$

48,974

 

 

$

4,530

 

 

$

27,017

 

 

 

Add: provision for credit losses

 

 

(27,958

)

 

 

(209

)

 

 

16,288

 

 

 

61,841

 

 

 

29,821

 

 

 

Pre-tax, pre-provision income

 

$

63,359

 

 

$

64,348

 

 

$

65,262

 

 

$

66,371

 

 

$

56,838

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax, pre-provision income, excluding restructuring and merger-related expenses:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before provision for income taxes

 

$

91,317

 

 

$

64,557

 

 

$

48,974

 

 

$

4,530

 

 

$

27,017

 

 

 

Add: provision for credit losses

 

 

(27,958

)

 

 

(209

)

 

 

16,288

 

 

 

61,841

 

 

 

29,821

 

 

 

Add: restructuring and merger-related expenses

 

 

851

 

 

 

484

 

 

 

3,608

 

 

 

468

 

 

 

5,164

 

 

 

Pre-tax, pre-provision income, excluding restructuring and merger-related expenses

 

$

64,210

 

 

$

64,832

 

 

$

68,870

 

 

$

66,839

 

 

$

62,002

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

'Return on average assets, excluding certain items (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before provision for income taxes

 

$

91,317

 

 

$

64,557

 

 

$

48,974

 

 

$

4,530

 

 

$

27,017

 

 

 

Add: provision for credit losses

 

 

(27,958

)

 

 

(209

)

 

 

16,288

 

 

 

61,841

 

 

 

29,821

 

 

 

Add: restructuring and merger-related expenses

 

 

851

 

 

 

484

 

 

 

3,608

 

 

 

468

 

 

 

5,164

 

 

 

Pre-tax, pre-provision income, excluding restructuring and merger-related expenses

 

 

64,210

 

 

 

64,832

 

 

 

68,870

 

 

 

66,839

 

 

 

62,002

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total assets

 

$

16,636,258

 

 

$

16,546,761

 

 

$

16,719,717

 

 

$

16,715,211

 

 

$

15,784,939

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average assets, excluding certain items (annualized)  (1) (2)

 

 

1.57

%

 

 

1.56

%

 

 

1.64

%

 

 

1.61

%

 

 

1.58

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average equity, excluding certain items (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before provision for income taxes

 

$

91,317

 

 

$

64,557

 

 

$

48,974

 

 

$

4,530

 

 

$

27,017

 

 

 

Add: provision for credit losses

 

 

(27,958

)

 

 

(209

)

 

 

16,288

 

 

 

61,841

 

 

 

29,821

 

 

 

Add: restructuring and merger-related expenses

 

 

851

 

 

 

484

 

 

 

3,608

 

 

 

468

 

 

 

5,164

 

 

 

Pre-tax, pre-provision income, excluding restructuring and merger-related expenses

 

 

64,210

 

 

 

64,832

 

 

 

68,870

 

 

 

66,839

 

 

 

62,002

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total shareholders' equity

 

$

2,770,416

 

 

$

2,744,936

 

 

$

2,662,513

 

 

$

2,602,938

 

 

$

2,594,069

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average equity, excluding certain items (annualized) (1) (2)

 

 

9.40

%

 

 

9.40

%

 

 

10.29

%

 

 

10.33

%

 

 

9.61

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average tangible equity, excluding certain items (1):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before provision for income taxes

 

$

91,317

 

 

$

64,557

 

 

$

48,974

 

 

$

4,530

 

 

$

27,017

 

 

 

Add: provision for credit losses

 

 

(27,958

)

 

 

(209

)

 

 

16,288

 

 

 

61,841

 

 

 

29,821

 

 

 

Add: amortization of intangibles

 

 

2,896

 

 

 

3,327

 

 

 

3,346

 

 

 

3,365

 

 

 

3,374

 

 

 

Add: restructuring and merger-related expenses

 

 

851

 

 

 

484

 

 

 

3,608

 

 

 

468

 

 

 

5,164

 

 

 

Income before provision, restructuring and merger-related expenses and amortization of intangibles

 

 

67,106

 

 

 

68,159

 

 

 

72,216

 

 

 

70,204

 

 

 

65,376

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average total shareholders' equity

 

 

2,770,416

 

 

 

2,744,936

 

 

 

2,662,513

 

 

 

2,602,938

 

 

 

2,594,069

 

 

 

Less: average goodwill and other intangibles, net of def. tax liability

 

 

(1,148,171

)

 

 

(1,150,184

)

 

 

(1,150,549

)

 

 

(1,152,856

)

 

 

(1,112,327

)

 

 

Average tangible equity

 

$

1,622,245

 

 

$

1,594,752

 

 

$

1,511,964

 

 

$

1,450,082

 

 

$

1,481,742

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Return on average tangible equity, excluding certain items (annualized) (1) (2)

 

 

16.78

%

 

 

17.00

%

 

 

19.00

%

 

 

19.47

%

 

 

17.75

%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Average tangible common equity

 

$

1,477,736

 

 

$

1,450,243

 

 

$

1,431,657

 

 

$

1,450,082

 

 

$

1,481,742

 

 

 

Return on average tangible common equity, excluding provision items (annualized) (1) (2)

 

 

18.42

%

 

 

18.70

%

 

 

20.07

%

 

 

19.47

%

 

 

17.75

%

(1)

Certain items excluded from the calculations consist of credit provisions, tax provisions and restructuring and merger-related expenses.

(2)

The ratios are annualized by utilizing actual numbers of days in the quarter versus the year.