Bok Financial Corporation · NASDAQ:BOKF
Bok Financial — Q3 2021 Earnings Presentation
17 slides from Bok Financial's earnings presentation, Oct 20, 2021
Slide 1: Q3 Earnings Conference Call
Q3 Earnings Conference Call October 20, 2021
Slide 2: Legal Disclaimers
Legal Disclaimers Forward-Looking Statements: This presentation contains forward-looking statements that are based on management's beliefs, assumptions, current expectations, estimates and projections about BOK Financial Corporation, the financial services industry, the economy generally and the exp
Slide 3: Steven G. Bradshaw, Chief Executive Officer
Steven G. Bradshaw Chief Executive Officer
Slide 4: Q3 Summary
Q3 Summary NET INCOME Noteworthy Items Impacting Profitability • Strong performance from our fee-based businesses, with another Attributable to Shareholders Per Share (Diluted) record earnings quarter from our Wealth Management team • Net interest income continues to be stable • $31 million gain fro
Slide 5: Additional details
Additional details ($Billion) Q3 2021 Quarterly Growth Year over Year Growth ◦ PPP forgiveness accounts for $586 million of Period-End Loans $20.3 (5.0)% (14.5)% $1.1 billion reduction in loan balances Average Loans $20.8 (5.9)% (13.5)% ◦ Average deposits continue to grow, although the pace has mode
Slide 6: Stacy Kymes, Chief Operating Officer
Stacy Kymes Chief Operating Officer
Slide 7: Loan Portfolio
Loan Portfolio Sept. 30, 2021 June 30, 2021 Sept. 30, 2020 SEQ. LOAN YOY LOAN ($Million) LOANS OVERVIEW GROWTH GROWTH • Energy balances declined at a similar pace Energy $2,814.1 $3,011.3 $3,717.1 (6.6)% (24.3)% as previous periods, with positive trends in the number of new deals booked Services 3,3
Slide 8: Key Credit Quality Metrics
Key Credit Quality Metrics NET CHARGE-OFFS TO AVERAGE LOANS ANNUALIZED, NET OF PPP QUALITY METRICS OVERVIEW • Total non-accrual loans down $37.7 million • A decrease of $24.8 million in Energy non-accruals • Potential problem loans (substandard, accruing) totaled $333 million at 9/30, compared to $3
Slide 9: Fees & Commissions
Fees & Commissions BROKERAGE & TRADING REVENUE GROWTH • Product focus shift and client base expansion in Institutional Trading; strong Energy derivatives, solid Q3 2021 Quarterly, Year over ($Million) Quarterly, Sequential Trailing 12 Months Investment Banking activity Year Brokerage & Trading $47.9
Slide 10: Steven Nell, Chief Financial Officer
Steven Nell Chief Financial Officer
Slide 11: Yields, Rate & Margin
Yields, Rate & Margin ($Million) Q3 2021 Q2 2021 Q1 2021 Q4 2020 Q3 2020 Net Interest Revenue $280.2 $280.3 $280.4 $297.2 $271.8 NET INTEREST REVENUE Net Interest Margin 2.66% 2.60% 2.62% 2.72% 2.81% • Net interest revenue largely unchanged over the past 3 quarters, with PPP fee recognition averagin
Slide 12: Expenses
Expenses EXPENSES OVERVIEW %Incr. %Incr. • Quarterly personnel expense increased ($Million) Q3 2021 Q2 2021 Q3 2020 Seq. YOY slightly due to increased incentive compensation expense related to strong revenue growth; offset by seasonal Personnel expense $175.9 $172.0 $179.9 2.2% (2.2)% reductions in
Slide 13: Liquidity & Capital
Liquidity & Capital Q3 2021 Q2 2021 Q3 2020 Loan to Deposit Ratio 52.8% 57.2% 68.1% ◦ Deposit growth continues to be strong Period End Deposits $38.5 billion $37.4 billion $35.0 billion ◦ Nearly $14 billion of secured wholesale borrowing capacity Available secured wholesale borrowing capacity $13.7
Slide 14: Forecast & Assumptions
Forecast & Assumptions ◦ We are positively positioned for loan growth, expecting both increased borrower demand and line utilization levels to return toward normal levels ◦ We expect the overall loan loss reserve as a percent of loan balances to continue to migrate toward pre-pandemic levels ◦ Core
Slide 15: Steven G. Bradshaw, Chief Executive Officer
Steven G. Bradshaw Chief Executive Officer
Slide 16: Question and Answer Session
Question and Answer Session
Slide 17: © BOK FINANCIAL CORPORATION
© BOK FINANCIAL CORPORATION