PR Newswire
GREEN BAY, Wis., Oct. 20, 2016
GREEN BAY, Wis., Oct. 20, 2016 /PRNewswire/ -- Associated Banc-Corp (NYSE: ASB) today reported net income available to common equity of $52 million, or $0.34 per common share, for the quarter ended September 30, 2016. This compares to net income available to common equity of $47 million, or $0.31 per common share, for both the quarters ended June 30, 2016 and September 30, 2015.
"In the third quarter, we reached record deposit levels. We saw significant seasonal deposit inflows and we are particularly pleased with double-digit year over year growth in demand deposits. Average loans continued to grow and we remain on track to meet our 2016 loan guidance. Mortgage banking activity and record capital markets revenues drove noninterest income higher in the third quarter, which more than offset seasonally lower insurance commissions and additional loan loss provisions," said President and CEO Philip B. Flynn.
THIRD QUARTER SUMMARY
THIRD QUARTER RESULTS
Loans
Third quarter average loans of $20.1 billion increased $411 million, or 2% from the second quarter, and have increased $1.6 billion, or 9% from the year ago quarter.
With respect to third quarter average balances,
Deposits
Third quarter average deposits of $21.4 billion increased $1.1 billion, or 5% from the second quarter, and have increased $1.1 billion, or 5% from the year ago quarter.
With respect to third quarter average balances,
Net Interest Income and Net Interest Margin
Third quarter net interest income of $179 million was up $2 million, or 1% from the second quarter, and was up $8 million, or 5% from the year ago quarter. Third quarter net interest margin of 2.77% was 5 basis points lower than the year ago quarter.
Noninterest Income
Third quarter total noninterest income of $95 million was up $13 million, or 16% from the second quarter, and was up $15 million, or 19% from the year ago quarter.
Noninterest Expense
Third quarter total noninterest expense of $175 million was up $1 million, or 1% from the second quarter, and was up $4 million, or 2% from the year ago quarter.
Taxes
Third quarter income tax expense was $24 million with an effective tax rate of 31%, compared to $21 million and 30% in the second quarter, and $22 million and 30% in the year ago quarter.
Credit
The provision for credit losses was $21 million in the third quarter, up $7 million from the prior quarter, with the increase primarily attributable to the Company's oil and gas portfolio.
Capital
The Company's capital position remains strong, with a common equity Tier 1 ratio of 9.3% at September 30, 2016. The Company's capital ratios continue to be in excess of the Basel III "well-capitalized" regulatory benchmarks on a fully phased in basis.
THIRD QUARTER 2016 EARNINGS RELEASE CONFERENCE CALL
The Company will host a conference call for investors and analysts at 4:00 p.m. Central Time (CT) today, October 20, 2016. Interested parties can access the live webcast of the call through the Investor Relations section of the Company's website, http://investor.associatedbank.com. Parties may also dial into the call at 877-407-8037 (domestic) or 201-689-8037 (international) and request the Associated Banc-Corp third quarter 2016 earnings call. The third quarter 2016 financial tables and an accompanying slide presentation will be available on the Company's website just prior to the call. An audio archive of the webcast will be available on the Company's website approximately fifteen minutes after the call is over.
ABOUT ASSOCIATED BANC-CORP
Associated Banc-Corp (NYSE: ASB) has total assets of $29 billion and is one of the top 50 publicly traded U.S. bank holding companies. Headquartered in Green Bay, Wisconsin, Associated is a leading Midwest banking franchise, offering a full range of financial products and services from over 200 banking locations serving more than 100 communities throughout Wisconsin, Illinois and Minnesota, and commercial financial services in Indiana, Michigan, Missouri, Ohio, and Texas. Associated Bank, N.A. is an Equal Housing Lender, Equal Opportunity Lender and Member FDIC. More information about Associated Banc-Corp is available at www.associatedbank.com.
FORWARD LOOKING STATEMENTS
Statements made in this document which are not purely historical are forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. This includes any statements regarding management's plans, objectives, or goals for future operations, products or services, and forecasts of its revenues, earnings, or other measures of performance. Such forward-looking statements may be identified by the use of words such as "believe," "expect," "anticipate," "plan," "estimate," "should," "will," "intend," "outlook," or similar expressions. Forward-looking statements are based on current management expectations and, by their nature, are subject to risks and uncertainties. Actual results may differ materially from those contained in the forward-looking statements. Factors which may cause actual results to differ materially from those contained in such forward-looking statements include those identified in the Company's most recent Form 10-K and subsequent SEC filings. Such factors are incorporated herein by reference.
NON-GAAP FINANCIAL MEASURES
This press release contains references to measures which are not defined in generally accepted accounting principles ("GAAP"). Information concerning these non-GAAP financial measures can be found in the financial tables.
Investor Contact:
Teresa Gutierrez, Senior Vice President, Director of Investor Relations
920-491-7059
Media Contact:
Jennifer Kaminski, Vice President, Manager of Public Relations
920-491-7576
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/associated-banc-corp-reports-third-quarter-earnings-of-034-per-share-300348675.html
SOURCE Associated Banc-Corp
We use cookies to tailor your experience, measure site performance and present relevant offers and advertisements. By clicking ‘Accept’ or any content on this site, you agree that cookies can be placed on your browser. You can view our privacy policy to learn more.
If you would like to get more data, alerts and access to Real Vision videos, join us as an Insider Tracking Advantage Ultra member