Fulton Financial Corporation · NASDAQ:FULT
Fulton Financial — Q2 2017 Earnings Presentation
14 slides from Fulton Financial's earnings presentation, Jul 18, 2017
Slide 1: 2017 Second Quarter Results
D A T A A S O F J U N E 3 0 , 2 0 1 7 U N L E S S O T H E R W I S E N O T E D 2017 SECOND QUARTER RESULTS
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: Second Quarter Highlights
SECOND QUARTER HIGHLIGHTS Diluted Earnings Per Share: $0.26 in 2Q17, 4.0% increase from 1Q17 and 13.0% increase from 2Q16 Pre-Provision Net Revenue(1): $63.0 million, 1.8% increase from 1Q17 and 18.0% increase from 2Q16 Linked Quarter Loan and Core(2) Deposit Growth: 1.8% increase in average loans,
Slide 4: Income Statement Summary – Quarterly
INCOME STATEMENT SUMMARY – QUARTERLY Net Income of $45.5 million; a 4.8% increase from 1Q17 and a 14.4% increase from 2Q16. Earnings per share increased 4.0% from 1Q17 and 13.0% from 2Q16. Net Interest Income From 1Q17: Increase of 2.9%, reflecting the impact of loan growth and a 3 basis point
Slide 5: Income Statement Summary – Year to Date
INCOME STATEMENT SUMMARY – YEAR TO DATE Net Income of $88.8 million; 13.9% increase from 2016. Earnings per share increased 13.3% from the prior year. Net Interest Income 8.2% increase, reflecting the impact of loan growth and a 6 basis point higher NIM which reflects the impact of 3 Federal Fun
Slide 6: Net Interest Income and Margin
NET INTEREST INCOME AND MARGIN Net Interest Income & Net Interest Margin ~ $730 million ~ $610 million $128.9 $130.6 $132.2 $137.6 $141.6 3.20% 3.14% 3.15% 3.26% 3.29% 0.00% 0.50% 1.00% 1.50% 2.00% 2.50% 3.00% 3.50% 4.00% $- $20.0 $40.0 $60.0 $80.0 $100.0 $120.0 $140.0 $160.0 2Q16 3Q16 4Q16 1Q17 2Q1
Slide 7: Asset Quality
ASSET QUALITY ($ IN MILLIONS) 7 Provision for Credit Losses Non-Performing Loans (NPLs) & NPLs to Loans 129.26% 119.59% 130.15% 131.26% 128.92% 1.17% 1.15% 1.17% 1.15% 1.14% 0.00% 1.00% 2.00% 3.00% 0.0% 25.0% 50.0% 75.0% 100.0% 125.0% 150.0% 2Q16 3Q16 4Q16 1Q17 2Q17 Allowance/NPLs Allowance/Loans Ne
Slide 8: Non-Interest Income – Quarter Comparison
NON-INTEREST INCOME – QUARTER COMPARISON ($ IN MILLIONS) Non-Interest Income, Excluding Securities Gains ~ $730 million ~ $610 million $46.1 $48.1 $51.2 $45.6 $50.9 $- $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 2Q16 3Q16 4Q16 1Q17 2Q17 Mortgage Banking Income & Spreads Other Non-Interest Income 1.71% 1.73%
Slide 9: Non-Interest Expenses – Quarter Comparison
NON-INTEREST EXPENSES – QUARTER COMPARISON ($ IN MILLIONS) Non-Interest Expense & Efficiency Ratio (1) ~ $730 million ~ $610 million $121.6 $119.8 $127.6 $122.3 $132.7 67.6% 65.2% 67.6% 64.2% 65.3% 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 $140.0 2
Slide 10: Profitability & Capital
PROFITABILITY & CAPITAL 10 ROA(1) ROE and ROE (tangible)(2) Tangible Common Equity Ratio(2) Diluted Earnings Per Common Share 7.65% 7.78% 7.86% 8.22% 8.36% 10.26% 10.38% 10.47% 10.93% 11.06% 0.00% 4.00% 8.00% 12.00% 2Q16 3Q16 4Q16 1Q17 2Q17 ROE ROE (tangible) 0.88% 0.89% 0.89% 0.92% 0.94% 0.00% 0.20
Slide 11: 2017 Outlook
2017 OUTLOOK The following outlook remains unchanged from prior quarter: • Loans & Deposits: Annual average growth rate in the mid- to high-single digits • Asset Quality: Provision driven primarily by loan growth • Non-Interest Income (Excluding Securities Gains): Mid- to high-single digit growth ra
Slide 12: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Note: The Corporation has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations and financia
Slide 13: Non-GAAP Reconciliation (Con't)
NON-GAAP RECONCILIATION (CON’T) 13 Jun 30 Sep 30 Dec 31 Mar 31 Jun 30 2016 2016 2016 2017 2017 Tangible Common Equity to Tangible Assets (TCE Ratio) Shareholders' equity 2,106,997$ 2,129,436$ 2,121,115$ 2,154,683$ 2,191,770$ Less: Intangible assets (531,556) (531,556) (531,556) (531,556) (531,556) T
Slide 14: Fulton Financial Corporation
FULTON FINANCIAL CORPORATION www.fult.com