Bok Financial Corporation · NASDAQ:BOKF
Bok Financial — Q2 2018 Earnings Presentation
15 slides from Bok Financial's earnings presentation, Jul 25, 2018
Slide 1: Second Quarter 2018 Earnings Conference Call
Second Quarter 2018 Earnings Conference Call July 25, 2018 1
Slide 2: Legal Disclaimers
Legal Disclaimers FORWARD LOOKING STATEMENTS This communication contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including, but not limited to, CoBiz Financial Inc.’s and BOK Financial Corporation’s expectations or predictions of future f
Slide 3: Steven G. Bradshaw, Chief Executive Officer
Steven G. Bradshaw Chief Executive Officer 3
Slide 4: Second Quarter Summary
Second Quarter Summary: Net Income $114.4 $105.6 Q2 2018 Q1 2018 Q2 2017 $85.6 $88.1 Diluted EPS $1.75 $1.61 $1.35 $72.5 $1.75 $1.61 Net income before $148.5 $136.3 $136.6 $1.35 $1.31 taxes ($M) $1.11 Net income $114.4 $105.6 $88.1 attributable to BOKF shareholders ($M) 2Q17 3Q17 4Q17 1Q18 2Q18 Net
Slide 5: Additional Details
Additional Details Annualized Quarterly Quarterly Year over Year ($B) Q2 2018 Growth Growth Growth Period-End Loans $18.0 3.8% 15.4% 4.8% Average Loans $17.8 2.8% 11.4% 3.6% Fiduciary Assets ($B) $46.5 (0.2%) (1.0%) 3.2% Assets Under Management $78.9 --- --- (1.4%) or in Custody ($B) Strong loan g
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 Q2 Q1 Q4 Q3 Q2 ($mil) 2018 2018 2017 2017 2017 Net Interest Revenue $238.6 $219.7 $216.9 $218.5 $205.2 Provision For Credit Losses $ -- ($5.0) ($7.0) $ -- $ -- Net Interest Revenue After Provision $238.6 $224.7 $223.9 $218.5 $205.2 Net Interest Margin 3.17% 2
Slide 8: Fees and Commissions
Fees and Commissions Revenue, $mil Change: Quarterly, Quarterly, Trailing Q2 18 Sequential Year over Year 12 Months Brokerage and Trading $26.5 (13.6%) (16.6%) (6.5%) Transaction Card 21.0 (0.1%) 4.8% 3.0% Fiduciary and Asset Management 41.7 (0.3%) (0.3%) 11.4% Deposit Service Charges and Fees 27.8
Slide 9: Expenses
Expenses %Incr. %Incr. ($mil) Q2 2018 Q1 2018 Q2 2017 Seq. YOY Personnel Expense $138.9 $139.9 $143.7 (0.7%) (3.3%) Other Operating Expense $107.5 $104.5 $96.9 2.9% 10.9% Total Operating Expense $246.5 $244.4 $240.7 0.8% 2.4% Efficiency Ratio 61.68% 65.09% 63.66% Personnel expense down in Q2 due t
Slide 10: Forecast and Assumptions
Forecast and Assumptions 2018 Expectations High-single-digit loan growth Available-for-sale securities flat to slightly down Modest growth in net interest margin Assuming additional Fed rate hikes in September and December 2018 with continued active management and control of deposit pricing
Slide 11: Stacy Kymes, EVP-Corporate Banking
Stacy Kymes EVP-Corporate Banking 11
Slide 12: Loan Portfolio
Loan Portfolio Seq. YOY Jun 30 Mar 31 Jun 30 Loan Loan ($mil) 2018 2018 2017 Growth Growth Energy $3,147.2 $2,969.6 $2,847.2 6.0% 10.5% Services 2,944.5 2,928.3 2,958.8 0.6% (0.5%) Healthcare 2,353.7 2,359.9 2,221.5 (0.3%) 6.0% Wholesale/retail 1,699.6 1,531.6 1,543.7 11.0% 10.1% Manufacturing 647.8
Slide 13: Key Credit Quality Metrics
Key Credit Quality Metrics $245.4 $250.0 $225.6 1.50% $200.0 $187.9 Net charge offs (annualized) $180.1 $165.7 to average loans 1.00% $150.0 0.50% 0.27% $100.0 0.24% 0.04% 0.08% 0.03% 0.00% $50.0 $- -0.50% 2Q17 3Q17 4Q17 1Q18 2Q18 2Q17 3Q17 4Q17 1Q18 2Q18 Energy Non-Accruals Other Non-Accruals Combi
Slide 14: Closing Remarks
Steven G. Bradshaw Chief Executive Officer Closing Remarks 14
Slide 15: Question and Answer Session
Question and Answer Session 15