Fulton Financial Corporation · NASDAQ:FULT
Fulton Financial — Q1 2018 Earnings Presentation
15 slides from Fulton Financial's earnings presentation, Apr 17, 2018
Slide 1: 2018 First Quarter Results
D A T A A S O F M A R C H 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 2018 FIRST QUARTER RESULTS NASDAQ: FULT
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
Slide 3: First Quarter Results
FIRST QUARTER RESULTS Net income per diluted share: $0.28 in 1Q18, 47.4% increase from 4Q17 and 12.0% increase from 1Q17. 4Q17 included a $15.6 million, or $0.09 per share, charge related to the re-measurement of net deferred tax assets. Pre-Provision Net Revenue(1): $62.2 million, 10.4% decrease fr
Slide 4: Income Statement Summary
INCOME STATEMENT SUMMARY 4 (1) Includes the impact of the $15.6 million charge for the re-measurement of net deferred tax assets (“Tax Charge”). Refer to slide 11 for additional information. (2) ROA is return an average assets determined by dividing net income for the period indicated by average ass
Slide 5: Net Interest Income and Margin
NET INTEREST INCOME AND MARGIN Net Interest Income & Net Interest Margin ~ $730 million ~ $610 million $137.6 $141.6 $146.8 $149.4 $151.3 3.26% 3.29% 3.27% 3.29% 3.35% 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 $160.0 1Q17 2Q17 3Q17 4Q17 1Q1
Slide 6: Asset Quality
ASSET QUALITY ($ IN MILLIONS) 6 Provision for Credit Losses Non-Performing Loans (NPLs) & NPLs to Loans 131% 129% 128% 131% 131% 1.15% 1.14% 1.13% 1.12% 1.12% 0.00% 1.00% 2.00% 3.00% 0.0% 25.0% 50.0% 75.0% 100.0% 125.0% 150.0% 1Q17 2Q17 3Q17 4Q17 1Q18 Allowance/NPLs Allowance/Loans Net Charge-offs (
Slide 7: Non-Interest Income
NON-INTEREST INCOME ($ IN MILLIONS) Non-Interest Income, Excluding Securities Gains ~ $730 million ~ $610 million $45.6 $50.9 $47.4 $55.0 $45.9 $- $10.0 $20.0 $30.0 $40.0 $50.0 $60.0 1Q17 2Q17 3Q17 4Q17 1Q18 Mortgage Banking Income & Spreads Other Non-Interest Income 1.62% 1.44% 1.62% 1.36% 1.11% 0.
Slide 8: Non-Interest Expenses
NON-INTEREST EXPENSES ($ IN MILLIONS) Non-Interest Expense & Efficiency Ratio (1) ~ $730 million ~ $610 million $122.3 $132.7 $132.2 $138.5 $136.7 64.2% 65.3% 64.3% 64.2% 67.5% 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 $160.0 1Q17 2Q17 3Q17
Slide 9: Profitability & Capital
PROFITABILITY & CAPITAL 9 ROA(1) ROE and ROE (tangible)(2) Tangible Common Equity Ratio(2) Net Income Per Diluted Share 8.22% 8.36% 8.76% 6.03% 9.02% 10.93% 11.06% 11.52% 7.91% 11.85% 0.00% 4.00% 8.00% 12.00% 1Q17 2Q17 3Q17 4Q17(3) 1Q18 ROE ROE (tangible) 0.92% 0.94% 0.98% 0.67% 1.01% 0.00% 0.20% 0.
Slide 10: 2018 Outlook
2018 OUTLOOK Changes from original outlook have been underlined. • Loans & Deposits: Average annual loan and core deposit growth rates in the mid single digits • Asset Quality: Provision driven primarily by loan growth • Non-Interest Income(1): Low single-digit growth • Non-Interest Expense: Includi
Slide 11: The Impact of Tax Reform
THE IMPACT OF TAX REFORM During the fourth quarter of 2017, the Corporation recorded a $15.6 million tax charge to income taxes related to the re-measurement of net deferred tax assets as a result of a new federal tax legislation enacted in December 2017. In the following table, the “As Adjusted” co
Slide 12: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Note: The Corporation has presented the following non-GAAP (Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends in the Corporation's results of operations and financia
Slide 13: Non-GAAP Reconciliation (Continued)
NON-GAAP RECONCILIATION (CONTINUED) 13 Mar 31 Jun 30 Sep 30 Dec 31 Mar 31 2017 2017 2017 2017 2018 Tangible Common Equity to Tangible Assets (TCE Ratio) Shareholders' equity 2,154,683$ 2,191,770$ 2,225,786$ 2,229,857$ 2,235,493$ Less: Intangible assets (531,556) (531,556) (531,556) (531,556) (531,55
Slide 14: Non-GAAP Reconciliation (Continued)
14 NON-GAAP RECONCILIATION (CONTINUED) T hree M o nths Ended D ec 31, 2017 Net income and Net income per share, diluted Net income 34,001$ Plus: Re-measurement of net deferred tax assets 15,634 Net Income, adjusted (numerator) 49,635$ Weighted average shares (diluted) (denominator) 176,374 Net incom
Slide 15: Fulton Financial Corporation
FULTON FINANCIAL CORPORATION www.fult.com