Slide 1: Fourth Quarter and Fiscal Year 2017 Financial Results
Fourth Quarter and Fiscal Year 2017 Financial Results January 23, 2018 Building a Premier Regional Financial Services Organization Exhibit 99.2
Slide 2: Forward-Looking Statements
Forward–Looking Statements Certain statements contained in this document constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by words such as “may,” “hope,” “will,” “should,” “expect,” “plan,” “
Slide 3: Financial Highlights
Financial Highlights Source: Company reports (1) Refer to non GAAP Financial Measures on page 12 Continued solid performance At December 31, 2017: Total Assets $13.8 billion Total Loans (LHFI & Acquired) $8.8 billion Total Deposits $10.6 billion Banking Centers 198 Q4-17 2017 Reported Net Income $15
Slide 4: Loans Held for Investment (LHFI)
Source: Company reports Loans Held for Investment (LHFI) Continued growth in LHFI, while remaining focused on credit quality and profitability Year-over-Year loan growth by state ($ in millions): AL $476 MS $197 TX $18 FL $26 TN $2 Trustmark has no loan exposure in which the source of repayment or t
Slide 5: Credit Risk Management
Nonperforming assets totaled $110.8 million, a decrease of 5.8% linked quarter and 0.4% year-over-year ORE totaled $43.2 million, a 10.6% decrease from the prior quarter and a 30.3% decline from the previous year Allowance for loan losses represented 320.8% of nonperforming loans, excluding specific
Slide 6: Acquired Loan Portfolio
Source: Company reports ($ in millions) Acquired Loan Portfolio Acquired Loans (period end balances) Acquired loan yield in the fourth quarter totaled 9.27% and included recoveries from settlement of debt of $1.1 million, which represented approximately 1.6% of the total yield on acquired loans The
Slide 7: Attractive, Low-Cost Deposit Base
Deposits totaled $10.6 billion at December 31, 2017, an increase of 3.4% from the previous quarter and 5.2% year-over-year Strength of franchise reflected in our low cost of deposits of 28 bps; approximately 59% of deposit balances in checking accounts Noninterest-bearing deposits represented 29% of
Slide 8: Income Statement Highlights – Revenue
Income Statement Highlights – Revenue Net Interest Income – FTE Net Interest Margin Noninterest Income ($ in millions) Net Interest Income on Acq. Loans Net Interest Income (excl. Income on Acq. Loans) Source: Company reports ($ in millions) Net interest income (FTE) totaled $427.3 million in 2017,
Slide 9: Income Statement Highlights – Noninterest Expense and Taxes
Income Statement Highlights – Noninterest Expense and Taxes Source: Company reports Core noninterest expense, which excludes ORE, intangible amortization and non-recurring items, totaled $100.8 million for the fourth quarter Salaries and benefits expense was $59.8 million for the fourth quarter, a 1
Slide 10: Capital Management
Capital Management Source: Company reports (1) The regulatory capital ratios for December 31, 2017 contains a reclassification adjustment of $8.5 million from AOCI to retained earnings as allowed by regulatory agencies in an interagency statement released January 18, 2018 to address disproportionate
Slide 11: Strategic Priorities to Enhance Shareholder Value
Profitable revenue generation Balance sheet optimization Targeted, cost-effective deposit growth Business development and cross-selling Mergers and acquisitions In-market consolidation Expand to additional attractive markets Patience and discipline Process improvement and expense management Performa
Slide 12: Non GAAP Financial Measures
Non GAAP Financial Measures Source: Company reports Trustmark discloses certain non-GAAP financial measures, including net income adjusted for significant non-routine transactions, because Management uses these measures for business planning purposes, including to manage Trustmark’s business against