Slide 1: Fourth Quarter & Fiscal Year 2018 Financial Results
Building a Premier Regional Financial Services Organization Fourth Quarter & Fiscal Year 2018 Financial Results January 23, 2019 Exhibit 99.2
Slide 2: Forward-Looking Statements
Forward–Looking Statements Certain statements contained in this document constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. You can identify forward-looking statements by words such as “may,” “hope,” “will,” “should,” “expect,” “plan,” “
Slide 3: Financial Highlights
Financial Highlights Source: Company reports Continued solid financial results – Q4-18 EPS of $0.55 and 2018 EPS of $2.21 At December 31, 2018: Total Assets $13.3 billion Total Loans (LHFI & Acquired) $8.9 billion Total Deposits $11.4 billion Banking Centers 196 Profitable Revenue Generation Loans h
Slide 4: Loans Held for Investment (LHFI) Portfolio
Source: Company reports Loans Held for Investment (LHFI) Portfolio Trustmark has no loan exposure in which the source of repayment or the underlying security of such exposure is tied to the realization of value from energy reserves Total energy-related sector exposure of $375.0 million with outstand
Slide 5: Credit Risk Management
Nonperforming assets decreased $8.0 million linked quarter and $14.5 million year-over-year reflecting a reduction in both nonaccrual loans and other real estate Allowance for loan losses represented 350.8% of nonperforming loans, excluding specifically reviewed impaired loans Allowance for both hel
Slide 6: Acquired Loan Portfolio
Source: Company reports ($ in millions) Acquired Loan Portfolio Acquired Loans (period end balances) Acquired loan yield in the fourth quarter of 2018 totaled 9.89% and included recoveries from settlement of debt of $1.1 million, which represented approximately 3.52% of the total yield on acquired l
Slide 7: Attractive, Growing Deposit Base
Deposits totaled $11.4 billion at December 31, 2018, an increase of 3.7% from the previous quarter and an increase of 7.4% year-over-year Cost of deposits is 62 basis points; approximately 58% of deposit balances in checking accounts Noninterest-bearing deposits represented 25.9% of average deposits
Slide 8: Income Statement Highlights – Revenue
Income Statement Highlights – Revenue Net Interest Income – FTE Net Interest Margin Noninterest Income ($ in millions) Net Interest Income on Acq. Loans Net Interest Income (excl. Income on Acq. Loans) Source: Company reports ($ in millions) Net interest income (FTE), excluding acquired loans, total
Slide 9: Income Statement Highlights – Noninterest Expense
Income Statement Highlights – Noninterest Expense Source: Company reports For year end 2018, core noninterest expense, which excludes ORE and intangible amortization, totaled $408.2 million, up 2.2% from the prior year. In the fourth quarter, core noninterest expense totaled $102.6 million, a decrea
Slide 10: Capital Management
Capital Management Source: Company reports (1) The regulatory capital ratios for December 31, 2017 contains a reclassification adjustment of $8.5 million from AOCI to retained earnings as allowed by regulatory agencies in an interagency statement released January 18, 2018 to address disproportionate
Slide 11: Strategic Priorities to Enhance Shareholder Value
Profitable revenue generation Balance sheet optimization Targeted, cost-effective deposit growth Business development and cross-selling Mergers and acquisitions In-market consolidation Expand to additional attractive markets Patience and discipline Process improvement and expense management Performa