Bok Financial Corporation · NASDAQ:BOKF
Bok Financial — Q1 2018 Earnings Presentation
15 slides from Bok Financial's earnings presentation, Apr 25, 2018
Slide 1: First Quarter 2018 Earnings Conference Call
First Quarter 2018 Earnings Conference Call April 25, 2018 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements: This presentation contains statements that are based on management’s beliefs, assumptions, current expectations, estimates, and projections about BOK Financial Corporation, the financial services industry, and the economy generally. These remarks constitute forward-lookin
Slide 3: Steven G. Bradshaw, Chief Executive Officer
Steven G. Bradshaw Chief Executive Officer 3
Slide 4: First Quarter Summary
First Quarter Summary: Net Income $105.6 $88.1 Q1 2018 Q4 2017 Q1 2017 $88.4 $85.6 $72.5 Diluted EPS $1.61 $1.11 $1.35 $1.61 Net income before $136.3 $126.7 $126.8 $1.35 $1.31 $1.35 $1.11 taxes ($M) Net income $105.6 $72.5 $88.4 attributable to BOKF shareholders ($M) 1Q17 2Q17 3Q17 4Q17 1Q18 Net inc
Slide 5: Additional Details
Additional Details Annualized Quarterly Quarterly Year over Year ($B) Q1 2018 Growth Growth Growth Period-End Loans $17.3 1.1% 4.3% 2.0% Average Loans $17.3 0.5% 1.9% 0.7% Fiduciary Assets ($B) $46.6 (4.3)% (17.3)% 3.7% Assets Under Management $78.9 (3.6)% (14.4)% 1.9% or in Custody ($B) • Strong lo
Slide 6: Steven Nell, Chief Financial Officer: Financial Overview
Steven Nell Chief Financial Officer Financial Overview 6
Slide 7: Net Interest Revenue and Net Interest Margin
Net Interest Revenue Net Interest Margin Q1 Q4 Q3 Q2 Q1 ($mil) 2018 2017 2017 2017 2017 Net Interest Revenue $219.7 $216.9 $218.5 $205.2 $201.2 Provision For Credit Losses ($5.0) ($7.0) $ -- $ -- $ -- Net Interest Revenue After Provision $224.7 $223.9 $218.5 $205.2 $201.2 Net Interest Margin 2.99% 2
Slide 8: Fees and Commissions
Fees and Commissions Revenue, $mil Change: Quarterly, Quarterly, Trailing Q1 18 Sequential Year over Year 12 Months Brokerage and Trading $30.6 (7.3%) (8.9%) (7.9%) Transaction Card 21.0 4.8% 15.5% (4.4%) Fiduciary and Asset Management 41.8 0.2% 8.3% 16.9% Deposit Service Charges and Fees 27.2 (1.9%
Slide 9: Expenses
Expenses %Incr. %Incr. ($mil) Q1 2018 Q4 2017 Q1 2017 Seq. YOY Personnel Expense $139.9 $145.3 $136.4 (3.7%) 2.6% Other Operating Expense $104.5 $109.2 $99.1 (4.3%) 5.4% Total Operating Expense $244.4 $254.5 $235.5 (3.9%) 3.8% • Personnel expense down in Q1 due to lower-than-expected incentive compe
Slide 10: Forecast and Assumptions
Forecast and Assumptions 2018 Expectations Mid-single-digit loan growth Available-for-sale securities flat to slightly down Modest growth in net interest margin Assuming two additional Fed rate hikes in 2018 (June and September) with continued active management and control of deposit pricing
Slide 11: Stacy Kymes and Norm Bagwell
Stacy Kymes EVP-Corporate Banking Norm Bagwell EVP-Regional Banking 11
Slide 12: Loan Portfolio
Loan Portfolio Seq. YOY Mar 31 Dec 31 Mar 31 Loan Loan ($mil) 2018 2017 2017 Growth Growth Energy $2,969.6 $2,930.2 $2,537.1 1.3% 17.0% Services 2,928.3 2,986.9 3,013.4 (2.0%) (2.8%) Healthcare 2,359.9 2,314.8 2,265.6 1.9% 4.2% Wholesale/retail 1,531.6 1,471.3 1,506.2 4.1% 1.7% Manufacturing 559.7 4
Slide 13: Key Credit Quality Metrics
Key Credit Quality Metrics $250.0 $245.4 $225.6 $207.6 1.50% $200.0 $187.9 $180.1 Net charge offs (annualized) to average loans 1.00% $150.0 0.50% 0.27% $100.0 0.08% 0.04% 0.03% -0.02% 0.00% $50.0 $- -0.50% 1Q17 2Q17 3Q17 4Q17 1Q18 1Q17 2Q17 3Q17 4Q17 1Q18 Energy Non-Accruals Other Non-Accruals Comb
Slide 14: Closing Remarks
Steven G. Bradshaw Chief Executive Officer Closing Remarks 14
Slide 15: Question and Answer Session
Question and Answer Session 15