Fulton Financial Corporation · NASDAQ:FULT

Fulton Financial — Q4 2018 Earnings Presentation

16 slides from Fulton Financial's earnings presentation, Jan 15, 2019

  1. Slide 1: 2018 and Fourth Quarter Results

    2018 AND FOURTH QUARTER RESULTS NASDAQ: FULT D A T A AS OF D E C E M B E R 3 1 , 2 0 1 8 U N L E S S O T H E R W I S E N O T E D

  2. Slide 2: Forward-Looking Statements

    FORWARD-LOOKING STATEMENTS This presentation may contain forward-looking statements with respect to the 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 words such as "m

  3. Slide 3: 2018 Highlights

    2018 HIGHLIGHTS 2018 net income of $208.4 million, or $1.18 per share. 2018 Key Accomplishments  Record year of revenues and net income  Average loan growth of 3.8% and average demand and savings deposit growth of 2.6%  Pre-provision net revenue(1) increased 12.2%  Efficiency ratio(1) improved t

  4. Slide 4: Fourth Quarter Results

    FOURTH QUARTER RESULTS Net income per diluted share: $0.33 in 4Q18, 10.8% decrease from 3Q18 and 73.7% increase from 4Q17 Pre-Provision Net Revenue(1): $78.3 million, 1.2% increase from 3Q18 and 12.9% increase from 4Q17 Linked Quarter Loan and Core Deposit Growth: 0.7% increase in average loans, whi

  5. Slide 5: Income Statement Summary – Year to Date

    INCOME STATEMENT SUMMARY – YEAR TO DATE Year Ended Dec 31, 2018 2017 Change  Net Income of $208.4 million; 21.3% increase from 2017. Earnings per share increased 20.4% to $1.18. 2017 included a $15.6 million, (dollars in thousands, except per-share data) or $0.09 per share, charge related to the re

  6. Slide 6: Income Statement Summary – Quarter to Date

    INCOME STATEMENT SUMMARY – QUARTER TO DATE Change from  Net Income of $58.1 million, 11.5% decrease from 3Q18 and 70.8% 4Q18 3Q18 4Q17 increase from 4Q17. Increase from 4Q17 largely due to $15.6 million (dollars in thousands, except per-share data) charge related to the re-measurement of net deferr

  7. Slide 7: Net Interest Income and Margin

    NET INTEREST INCOME AND MARGIN Net Interest Income & Net Interest Margin Average Interest-Earning Assets & Yields ($ IN MILLIONS) ($ IN BILLIONS) $20.0 6.00% $180.0 4.00% 4.13% 4.22% $15.0 3.83% 3.93% 4.04% 4.00% 3.90% $16.0 $15.8 $15.9 $170.0 $10.0 $15.6 $15.7 $162.9 $160.1 3.80% 2.00% $5.0 ~ $730

  8. Slide 8: Asset Quality – Annual Comparison

    ASSET QUALITY – ANNUAL COMPARISON ($ IN MILLIONS) Provision for Credit Losses Non-Performing Loans (NPLs) & NPLs to Loans $50.0 $46.9 1.50% $150.00 $144.8 $139.7 $45.0 $131.6 $134.8 $40.0 $125.00 $35.0 1.00% $100.00 $30.0 1.05% $23.3 $25.0 $75.00 0.90% 0.85% 0.86% $20.0 $50.00 0.50% $15.0 $13.2 $10.

  9. Slide 9: Non-Interest Income – Quarterly Comparison

    NON-INTEREST INCOME – QUARTERLY COMPARISON ($ IN MILLIONS) Non-Interest Income, Excluding Securities Gains Mortgage Banking Income & Spreads $6.0 4.00% $5.2 3.50% $5.0 $4.9 $4.8 $4.4 $60.0 $4.2 3.00% $4.0 2.50% $3.0 2.00% $55.0 $55.0 1.50% $2.0 1.56% 1.36% 1.30% 1.38% 1.00% ~ $730 $1.0 1.11% $51.0 m

  10. Slide 10: Non-Interest Expenses – Quarterly Comparison

    NON-INTEREST EXPENSES – QUARTERLY COMPARISON ($ IN MILLIONS) Non-Interest Expense & Efficiency Ratio (1) Salaries and Employee Benefits & Staffing $80.0 3,700 $76.8 $75.8 $74.9 $75.8 $75.0 $73.5 3,650 $144.0 80.0% $70.0 3,600 $65.0 78.0% 3,590 $60.0 3,550 $142.0 $55.0 $140.7 76.0% 3,520 3,500 $50.0

  11. Slide 11: Profitability & Capital – Annual Comparison

    PROFITABILITY & CAPITAL – ANNUAL COMPARISON ROA(1) ROE and ROE (tangible)(2) 1.20% 14.00% 1.03% 12.09% 1.00% 12.00% 0.88% 0.88% 10.01% 10.30% 10.33% 0.86% 10.00% 9.24% 0.80% 7.69% 7.83% 8.00% 7.38% 0.60% 6.00% 0.40% 4.00% 2.00% 0.20% 0.00% 2015 2016 2017 2018 0.00% 2015 2016 2017 2018 ROE ROE (tangi

  12. Slide 12: 2019 Outlook

    2019 OUTLOOK • Loans & Deposits: Average annual loan and deposit growth rates in the low to mid single-digits • Net Interest Income: Mid to high single-digit growth rate • Net Interest Margin: An increase of 0 to 3 basis points per quarter in 2019 • Non-Interest Income: Low to mid single-digit growt

  13. Slide 13: 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

  14. Slide 14: Non-GAAP Reconciliation (Continued)

    NON-GAAP RECONCILIATION (CONTINUED) D ec 3 1, D ec 3 1, D ec 3 1, D ec 3 1, 2 0 18 2 0 17 2 0 16 2 0 15 (dollars in thousands) T ang ib le C o mmo n Eq uit y t o T ang ib le A sset s ( T C E R at io ) Shareholders' equity $ 2,246,252 $ 2,229,857 $ 2,121,115 $ 2,041,894 Less: Intangible assets (531,5

  15. Slide 15: Non-GAAP Reconciliation (Continued)

    NON-GAAP RECONCILIATION (CONTINUED) Reconciliation of Net Income; Net Income per share, diluted; and Selected Financial Ratios, adjusted to exclude the charge recognized in the fourth quarter of 2017 related to the re-measurement of net deferred tax assets: T hree M o nths Ended Year Ended D ec 31,

  16. Slide 16: Fulton Financial Corporation

    FULTON FINANCIAL CORPORATION www.fult.com

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