Fulton Financial Corporation · NASDAQ:FULT
Fulton Financial — Q3 2015 Earnings Presentation
14 slides from Fulton Financial's earnings presentation, Nov 2, 2015
Slide 1: 2015 Third Quarter Results
D A T A A S O F S E P T E M B E R 3 0 , 2 0 1 5 U N L E S S O T H E R W I S E N O T E D 2015 THIRD QUARTER RESULTS NASDAQ: FULT
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation may contain forward-looking statements with respect to Fulton Financial Corporation’s financial condition, results of operations and business. Do not unduly rely on forward-looking statements. Forward-looking statements can be identified by the use of wor
Slide 3: Third Quarter Highlights
THIRD QUARTER HIGHLIGHTS Diluted Earnings Per Share Growth • $0.20 diluted earnings per share in 3Q15 • 4.8% decrease compared to 2Q15, as improvements in Net Interest Income and credit provision were more than offset by the loss on redemption of trust preferred securities (TruPS) Loans & Deposits •
Slide 4: Income Statement Summary – Quarterly Comparison
INCOME STATEMENT SUMMARY – QUARTERLY COMPARISON Net Income of $34.3 million; a 6.6% decrease from 2Q15 and an 11.2% decrease from 3Q14 Net Interest Income From 2Q15: Increase of 2.3% due to an extra day of interest in Q3 and a 2.0% increase in average earning assets, partially offset by a 2 bp
Slide 5: Net Interest Income and Margin
NET INTEREST INCOME AND MARGIN 5 Net Interest Income & Net Interest Margin ~ $730 million ~ $610 million $129.4 $128.0 $123.6 $122.9 $125.7 3.39% 3.31% 3.27% 3.20% 3.18% 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% $- $20.0 $40.0 $60.0 $80.0 $100.0 $120.0 $140.0 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Ne
Slide 6: Asset Quality
ASSET QUALITY ($ IN MILLIONS) 6 Provision for Credit Losses Non-Performing Loans (NPLs) & NPLs to Loans 132.85% 134.26% 120.34% 113.34% 116.81% 1.47% 1.42% 1.37% 1.28% 1.25% 0.00% 1.00% 2.00% 3.00% 0.00% 25.00% 50.00% 75.00% 100.00% 125.00% 150.00% Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Allowance/N
Slide 7: Non-Interest Income, Excluding Securities Gains
NON-INTEREST INCOME, EXCLUDING SECURITIES GAINS ($ IN MILLIONS) 7 Non-interest Income, Excluding Securities Gains ~ $730 million ~ $610 million $41.8 $41.3 $40.6 $44.1 $43.0 $- $5.0 $10.0 $15.0 $20.0 $25.0 $30.0 $35.0 $40.0 $45.0 Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 Mortgage Banking Income & Spre
Slide 8: Non-Interest Expenses
NON-INTEREST EXPENSES ($ IN MILLIONS) 8 Non-interest Expense & Efficiency Ratio (1) ~ $730 million ~ $610 million $115.8 $117.7 $118.5 $118.4 $119.3 65.8% 67.5% 70.2% 68.9% 68.8% 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% $- $20.0 $40.0 $60.0 $80.0 $100.0 $120.0 $140.0 Q3 2014 Q4 2014 Q1 2
Slide 9: Compliance & Risk Management
COMPLIANCE & RISK MANAGEMENT $1.8 $2.1 $3.2 $4.3 $4.6 $1.4 $8.2 $4.8 $0.4 $1.5 13 26 30 45 47 0 5 10 15 20 25 30 35 40 45 50 $- $3.0 $6.0 $9.0 $12.0 2011 2012 2013 2014 2015 (Projected) Salaries & Benefits Expense Outside Consulting Services# Temporary Employee Expense Staffing $0.8 YTD Sep 15: $3.1
Slide 10: Profitability & Capital
PROFITABILITY & CAPITAL 10 ROA ROE (tangible) (1) Tangible Common Equity Ratio (1) Diluted Earnings Per Common Share 9.88% 9.96% 10.96% 9.83% 9.11% 0.00% 4.00% 8.00% 12.00% Q3 2014 Q4 2014 Q1 2015 Q2 2015 Q3 2015 0.90% 0.88% 0.95% 0.86% 0.78% 0.00% 0.20% 0.40% 0.60% 0.80% 1.00% 1.20% Q3 2014 Q4 2014
Slide 11: 2015 Outlook
2015 OUTLOOK 11 Area Original – January 2015 Updated – September 2015 Loans & Deposits Annual average growth of 3%-7% Loans - Growth at lower end of range; Deposits - no change Net Interest Margin Compression of 0-4 bps per quarter, on average, based on the current interest rate environment Compress
Slide 12: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Note: The Corporation has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations and financia
Slide 13: Non-GAAP Reconciliation (Con't)
NON-GAAP RECONCILIATION (CON’T) 13 Sep 30 Dec 31 Mar 31 Jun 30 Sep 30 2014 2014 2015 2015 2015 Tangible Common Equity to Tangible Assets (TCE Ratio) Shareholders' equity 2,078,006$ 1,996,665$ 2,031,513$ 2,024,817$ 2,025,904$ Less: Intangible assets (532,117) (531,803) (531,672) (531,567) (531,562) T
Slide 14: www.fult.com
V E R S I O N 1 1 . 0 2 . 2 0 1 5 www.fult.com