Amerant Bancorp (US:AMTB)2019-08-12 21:29Financial Performance - Net income for the three months ended June 30, 2019, was $12,857 thousand, representing a 23.3% increase from $10,423 thousand in the same period of 2018[8]. - Basic earnings per share for the three months ended June 30, 2019, was $0.30, up from $0.25 in the same period of 2018, indicating a growth of 20%[8]. - Net income for the six months ended June 30, 2019, was $25,928,000, an increase of 30.9% compared to $19,852,000 for the same period in 2018[6]. - Net interest income after the reversal of provision for loan losses was $55,139 thousand for the three months ended June 30, 2019, compared to $53,839 thousand in the same period of 2018, reflecting a growth of 2.4%[7]. - Noninterest income totaled $14,147 thousand for the three months ended June 30, 2019, a decrease of 5.6% from $14,986 thousand in the same period of 2018[7]. - Total noninterest expenses were $52,905 thousand for the three months ended June 30, 2019, slightly up from $52,638 thousand in the same period of 2018[7]. - The company’s comprehensive income for the three months ended June 30, 2019, was $26,145 thousand, compared to $7,110 thousand in the same period of 2018, reflecting a significant increase[8]. - The total other comprehensive income for the six months ended June 30, 2019, was $29.303 million, compared to a loss of $13.920 million for the same period in 2018[87]. Assets and Liabilities - Total assets decreased to $7,926,826 thousand as of June 30, 2019, down from $8,124,347 thousand at the end of 2018, representing a decline of approximately 2.43%[6]. - Total liabilities decreased to $7,120,458 thousand from $7,376,929 thousand, a decline of approximately 3.47%[6]. - Total deposits decreased to $5,819,381 thousand, down from $6,032,686 thousand, indicating a decline of approximately 3.53%[6]. - Cash and cash equivalents increased to $90,317 thousand, up from $85,710 thousand, showing an increase of about 6.57%[6]. - Stockholders' equity increased to $806,368 thousand, up from $747,418 thousand, representing an increase of about 7.87%[6]. - The company reported a decrease in accumulated other comprehensive income (loss) to $11,139 thousand from $(18,164) thousand, indicating a significant improvement[6]. Loans and Credit Quality - Loans held for investment, net, decreased to $5,755,351 thousand, down from $5,858,413 thousand, reflecting a reduction of about 1.76%[6]. - The loan portfolio totaled $5,812,755 as of June 30, 2019, a slight decrease from $5,920,175 at December 31, 2018, with commercial real estate loans increasing to $3,131,877 from $3,045,439[42]. - The total amount of single-family residential loans was $535,563 thousand, with $6,642 thousand in nonaccrual status[47]. - The total past due loans amount to $17,496,000, which is approximately 0.30% of the total loan portfolio[47]. - The allowance for loan losses at the end of the period was $57,404 thousand, reflecting a reversal of provision for loan losses of $(1,350) thousand[50]. - The company reported a total of $4,503,774 thousand in real estate loans, with $12,673 thousand classified as past due[49]. - The total allowance for loan losses as of June 30, 2019, was $69,931 thousand, with $28,693 thousand individually evaluated and $41,238 thousand collectively evaluated[53]. Capital and Stock - Class A common stock issued and outstanding increased to 28,985,996 shares from 26,851,832 shares, reflecting an increase of approximately 7.93%[6]. - The company issued 1,750,000 shares of Class A common stock in private placements, generating approximately $26.7 million in net proceeds[90]. - The company repurchased 2,112,321 shares of nonvoting Class B common stock at an average price of $13.48 per share, totaling approximately $28.5 million[93]. - The company redeemed $15.0 million of trust preferred securities and $10.0 million of other trust preferred securities, impacting total cash and cash equivalents by approximately $23.8 million[28]. Interest and Derivatives - The company’s total interest expense increased to $25,437 thousand for the three months ended June 30, 2019, from $21,927 thousand in the same period of 2018, marking a rise of 16.4%[7]. - The fair value of the company's derivative instruments included $10.3 million in interest rate swaps designated as cash flow hedges as of June 30, 2019[71]. - The company entered into interest rate swaps to manage exposure to floating rate interest payments on variable-rate junior subordinated debentures[28]. - The company terminated 16 interest rate swaps in early 2019, expecting to recognize cumulative net unrealized gains of $8.9 million over the remaining life of these contracts[73]. Tax and Regulatory - The effective combined federal and state tax rates for the six months ended June 30, 2019, were 21.50%, a decrease from 26.80% in 2018[83]. - The company’s regulatory capital ratios are expected to remain above minimum requirements following the redemptions of trust preferred securities[28].