People's United Financial Reports Third Quarter Net Income of $73.7 Million, or $0.24 Per Share

Net loan charge-offs as a percentage of average total loans on an annualized basis were 0.04 percent in the third quarter of 2016, a decrease from 0.07 percent in the second quarter of 2016 and 0.06 percent in the third quarter of 2015.  For the originated loan portfolio, non-performing loans equaled 0.54 percent of loans at September 30, 2016, a decrease from 0.56 percent at June 30, 2016 and 0.68 percent at September 30, 2015.

Return on average assets of 0.73 percent for the third quarter of 2016 increased from 0.70 percent in the second quarter of 2016 and was consistent with the third quarter of 2015.  Return on average tangible stockholders' equity of 10.7 percent in the third quarter of 2016 increased from 10.1 percent in the second quarter of 2016 and 10.5 percent in the third quarter of 2015.

People's United Financial, Inc., a diversified financial services company with $41 billion in total assets, provides commercial and retail banking, as well as wealth management services through a network of approximately 400 branches in Connecticut, New York, Massachusetts, Vermont, New Hampshire and Maine.  Through its subsidiaries, People's United Financial provides equipment financing, brokerage and insurance services.

3Q 2016 Financial Highlights

Summary

• Net income totaled $73.7 million, or $0.24 per share.
  • Operating earnings totaled $75.8 million, or $0.25 per share (see Non-GAAP Financial Measures and Reconciliation to GAAP).
• Net interest income totaled $245.3 million in 3Q16 compared to $240.0 million in 2Q16.
• Net interest margin increased one basis point from 2Q16 to 2.80% reflecting:
  • One additional calendar day in 3Q16 (increase of two basis points).
  • Improved loan yields and mix (increase of two basis points).
  • Lower yield on the securities portfolio (decrease of two basis points).
  • Increase in average borrowing balances and rate (decrease of one basis point).
• Provision for loan losses totaled $8.4 million.
  • Net loan charge-offs totaled $2.5 million, of which $0.8 million related to loans with previously-established specific reserves.
  • Net loan charge-off ratio of 0.04% in 3Q16.
  • Reflects a $6.7 million increase in the originated allowance for loan losses.
• Non-interest income was $90.8 million in 3Q16 compared to $85.4 million in 2Q16.
  • Insurance revenue increased $2.8 million, reflecting the benefit from recent acquisitions as well as the seasonal nature of insurance renewals.
  • Net gains on sales of residential mortgages increased $1.0 million.
  • Bank service charges increased $0.6 million.
  • Investment management fees increased $0.2 million.
  • Commercial banking lending fees decreased $2.1 million.
  • At September 30, 2016, assets under administration, which are not reported as assets of People's United Financial, totaled $18.2 billion, of which $5.7 billion are under discretionary management, compared to $16.5 billion and $5.6 billion, respectively, at June 30, 2016.
• Non-interest expense totaled $221.4 million in 3Q16 compared to $212.9 million in 2Q16.
  • Operating non-interest expense totaled $218.3 million in 3Q16 (see Non-GAAP Financial Measures and Reconciliation to GAAP).
  • Compensation and benefits expense increased $4.7 million, primarily reflecting the impact of one additional work day and higher benefit-related costs in 3Q16.
  • Regulatory assessments expense increased $0.7 million.
  • Professional and outside services expense, excluding $3.1 million of merger-related expenses, decreased $1.8 million.
  • The efficiency ratio was 59.9% in 3Q16 compared to 60.4% in 2Q16 (see Non-GAAP Financial Measures and Reconciliation to GAAP).
• The effective income tax rate was 30.6% for 3Q16 and 32.4% for the first nine months of 2016, compared to 33.4% for the full-year of 2015.

Commercial Banking

• Commercial loans totaled $21.2 billion at September 30, 2016, an increase of $107 million, or 2% annualized, from June 30, 2016.
  • The mortgage warehouse portfolio increased $10 million from June 30, 2016.
• Average commercial loans totaled $21.0 billion in 3Q16, an increase of $310 million, or 6% annualized, from 2Q16.
  • The average mortgage warehouse portfolio increased $117 million in 3Q16.
• Commercial deposits totaled $10.3 billion at September 30, 2016 compared to $9.5 billion at June 30, 2016.
• The ratio of originated non-performing commercial loans to originated commercial loans was 0.53% at both September 30, 2016 and June 30, 2016.
• Non-performing commercial assets, excluding acquired non-performing loans, totaled $127.4 million at September 30, 2016 compared to $125.0 million at June 30, 2016.
• For the originated commercial portfolio, the allowance for loan losses as a percentage of loans was 0.94% at September 30, 2016 compared to 0.92% at June 30, 2016.
• The commercial originated allowance for loan losses represented 178% of originated non-performing commercial loans at September 30, 2016 compared to 172% at June 30, 2016.

Retail Banking

• Residential mortgage loans increased $239 million, or 17% annualized, from June 30, 2016.
  • Average residential mortgage loans totaled $5.9 billion in 3Q16, an increase of $255 million, or 18% annualized, from 2Q16.
• Home equity loans decreased $16 million from June 30, 2016.
  • Average home equity loans totaled $2.1 billion in 3Q16, a decrease of $18 million from 2Q16.
• Retail deposits (excluding brokered deposits) totaled $16.8 billion at September 30, 2016 compared to $16.9 billion at June 30, 2016.
• The ratio of originated non-performing residential mortgage loans to originated residential mortgage loans was 0.48% at September 30, 2016 compared to 0.53% at June 30, 2016.
• The ratio of originated non-performing home equity loans to originated home equity loans was 0.80% at September 30, 2016 compared to 0.83% at June 30, 2016.

Conference Call
On October 20, 2016, at 5 p.m., Eastern Time, People's United Financial will host a conference call to discuss this earnings announcement.  The call may be heard through www.peoples.com by selecting "Investor Relations" in the "About Us" section on the home page, and then selecting "Conference Calls" in the "News and Events" section.  Additional materials relating to the call may also be accessed at People's United Bank's web site.  The call will be archived on the web site and available for approximately 90 days.

Certain statements contained in this release are forward-looking in nature. These include all statements about People's United Financial's plans, objectives, expectations and other statements that are not historical facts, and usually use words such as "expect," "anticipate," "believe," "should" and similar expressions. Such statements represent management's current beliefs, based upon information available at the time the statements are made, with regard to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause People's United Financial's actual results or financial condition to differ materially from those expressed in or implied by such statements. Factors of particular importance to People's United Financial include, but are not limited to: (1) changes in general, national or regional economic conditions; (2) changes in interest rates; (3) changes in loan default and charge-off rates; (4) changes in deposit levels; (5) changes in levels of income and expense in non-interest income and expense related activities; (6) changes in accounting and regulatory guidance applicable to banks; (7) price levels and conditions in the public securities markets generally; (8) competition and its effect on pricing, spending, third-party relationships and revenues; (9) the successful integration of acquisitions; and (10) changes in regulation resulting from or relating to financial reform legislation. People's United Financial does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Access Information About People's United Financial at www.peoples.com.

People's United Financial, Inc.
FINANCIAL HIGHLIGHTS
				Three Months Ended
		Sept. 30,		June 30,		March 31,		Dec. 31,		Sept. 30,
(dollars in millions, except per share data)		2016		2016		2016		2015		2015
Earnings Data:
Net interest income (fully taxable equivalent)	$	254.2	$	247.7	$	247.4	$	245.3	$	241.1
Net interest income		245.3		240.0		240.1		238.8		234.8
Provision for loan losses		8.4		10.0		10.5		9.7		6.2
Non-interest income (1)		90.8		85.4		82.3		93.3		87.1
Non-interest expense (2)		221.4		212.9		217.3		217.0		214.2
Income before income tax expense		106.3		102.5		94.6		105.4		101.5
Net income (2)		73.7		68.5		62.9		70.8		68.4
Selected Statistical Data:
Net interest margin (3)		2.80	%	2.79	%	2.83	%	2.87	%	2.87	%
Return on average assets (2), (3)		0.73		0.70		0.65		0.75 Werbung Mehr Nachrichten zur People's United Financial Aktie kostenlos abonnieren E-Mail-Adresse Bitte überprüfe deine die E-Mail-Adresse. Benachrichtigungen von ARIVA.DE (Mit der Bestellung akzeptierst du die Datenschutzhinweise) -1 Vielen Dank, dass du dich für unseren Newsletter angemeldet hast. Du erhältst in Kürze eine E-Mail mit einem Aktivierungslink. Hinweis: ARIVA.DE veröffentlicht in dieser Rubrik Analysen, Kolumnen und Nachrichten aus verschiedenen Quellen. Die ARIVA.DE AG ist nicht verantwortlich für Inhalte, die erkennbar von Dritten in den „News“-Bereich dieser Webseite eingestellt worden sind, und macht sich diese nicht zu Eigen. Diese Inhalte sind insbesondere durch eine entsprechende „von“-Kennzeichnung unterhalb der Artikelüberschrift und/oder durch den Link „Um den vollständigen Artikel zu lesen, klicken Sie bitte hier.“ erkennbar; verantwortlich für diese Inhalte ist allein der genannte Dritte. Andere Nutzer interessierten sich auch für folgende News 11:49 - PR Newswire Fidelity Japan Trust Plc - Transaction in Own Shares 11:45 - PR Newswire Invesco Bond Income Plus Ltd - Issue of Equity 09:10 - PR Newswire Oscillate Plc - Holding(s) in Company Solarboom 2024:    5 Gründe die für diese Aktie sprechen… weiterlesen» Anzeige wo-site-teaser-box-16746_site-teaser-box_2024-04-24_08%253A00%253A00_2024-04-25_09%253A00%253A59