; EX. 99.1
NEWS FOR IMMEDIATE RELEASE |
January 29, 2008 For Further Information Contact:
Paul M. Limbert
President and Chief Executive Officer
or
Robert H. Young
Executive Vice President and Chief Financial Officer
(304) 234-9000
NASDAQ Symbol: WSBC
Website: www.wesbanco.com
WesBanco Announces Earnings for the Year 2007 and the Fourth Quarter
Wheeling, WV… Paul M. Limbert, President and Chief Executive Officer of WesBanco, Inc., (NASDAQ: WSBC) a Wheeling, West Virginia based multi-state bank holding company, today announced earnings for the fourth quarter and year ended December 31, 2007.
For 2007, earnings per share were $2.09 versus last year’s $1.79, an increase of 16.8%, on net income of $44.7 million as compared to $39.0 million in 2006. Return on average assets increased to 1.09% in 2007 from 0.94% in 2006 and return on average equity increased to 10.63% from 9.35%. Net income for the fourth quarter of 2007 was $10.7 million, compared to $10.6 million for the fourth quarter of 2006, while earnings per share for the quarter were $0.47 per share compared to $0.49 per share for 2006. Fourth quarter earnings per share included the effect of the issuance of additional shares of stock for the purchase of Oak Hill Financial, Inc., which closed on November 30, 2007.
WesBanco’s merger with Oak Hill creates a multi-state bank holding company with approximately $5.4 billion in total assets providing banking services in West Virginia, Ohio and Pennsylvania. The transaction expands WesBanco’s franchise along the Interstate 71 and Interstate 75 corridors from Dayton, Ohio to Cincinnati, Ohio and opens new markets in south and central Ohio.
“The year resulted in a number of accomplishments for WesBanco”, said Mr. Limbert. “We achieved earnings growth for the year in the midst of a challenging environment for the banking industry from economic, interest rate and competitive factors. We continue to improve our fee income businesses, as total non-interest income grew, primarily from significant improvements in trust fees, service charges and our securities brokerage business. We completed the merger of Oak Hill Financial into WesBanco on November 30, 2007.”
“In January, as a result of the planned rationalization of the Oak Hill franchise to best position WesBanco to fulfill its commitment to our customers, employees and communities, we announced the sale of eight acquired Oak Hill branches to three Ohio based community banks with the transaction to be completed in April 2008, subject to regulatory approval. Throughout 2008 we will continue to integrate the Oak Hill operations into WesBanco to further realize the benefits of the acquisition, with the back office and systems consolidation scheduled for late April.”
WesBanco Announces Earnings for the Year 2007 and the Fourth Quarter Page 2
Highlights for the fourth quarter and year ended December 31, 2007 include the following:
· | Net interest income for 2007 declined 2.9%, due to a lower average balance sheet and increases in cost of funds exceeding earning asset yield increases. The net interest margin decreased five basis points to 3.44% for the year. Net interest income for the fourth quarter increased $1.5 million or 4.9% compared to the fourth quarter of 2006, primarily due to the acquisition of Oak Hill, which added $3.5 million in net interest income for December. The net interest margin declined to 3.40% in the fourth quarter of 2007 from 3.49% in the 2006 fourth quarter, but it increased from 3.38% in the third quarter of 2007, primarily due to higher earning net assets acquired from Oak Hill. The cost of funds throughout the year increased at a faster pace then earning assets yields primarily due to competitive market pressures on deposit rates and customer preferences for higher-rate, shorter-tem products. WesBanco has more recently increased short term borrowings and decreased longer term borrowings as interest rates declined, in order to enhance its liability sensitive position in a falling rate environment and improve its net interest margin. The margin has also somewhat benefited from higher average non-interest bearing deposit balances. |
· | For the year-to-date, non-interest income increased $12.5 million, with contributions from trust fees of $1.2 million, service charges on deposits of $1.6 million, improved securities brokerage revenues of $1.1 million, higher mortgage banking income from sales to the secondary market of $0.6 million and $0.9 million in security sale gains in 2007. A deferred gain on the sale of a former branch facility of $1.0 million and the net proceeds from a bank-owned life insurance claim of $0.9 million were also recorded in 2007, while 2006 included an impairment loss of $8.0 million on the investment portfolio restructuring, net of a recognized $2.6 million in net gains on the sale of four branches. The increase in non-interest income for the fourth quarter of 26.6% was due to the inclusion of Oak Hill’s December non-interest income of $1.3 million, increases in trust fees and deposit activity fees, and improved securities brokerage revenues. |
· | For 2007, the provision for credit losses was $8.5 million, with net charge-offs for the year at 0.28% versus 0.26% for 2006. Likewise, non-performing loans as a percent of total loans remained consistent at approximately 0.55% for both years. However, in the fourth quarter of 2007, the provision increased $2.3 million as compared to the fourth quarter of 2006 due to higher charge-offs in the 2007 quarter and general economic conditions that adversely impacted overall credit quality. Although WesBanco does not have any material direct exposure to sub-prime loans, the problems associated with sub-prime lending are having an adverse impact on markets where WesBanco has exposure. The increase in charge-offs was due primarily to a $1.0 million charge-off related to a single non-performing commercial loan credit, for which a reserve had been established for the amount of the charge off, and additional charge-offs in the commercial real estate and consumer and residential loan categories. Net charge-offs to average loans increased to 0.41% for the quarter as compared to 0.17% for the fourth quarter of 2006. The allowance for loan losses as a percent of total loans decreased from 1.10% as of December 31, 2006 to 1.04% at December 31, 2007, due to the consolidation of Oak Hill and the application of current accounting guidance to Oak Hill’s preexisting reserve. Approximately $6.6 million of Oak Hill’s reserve was added to the combined reserve as of December 31, 2007 with an additional $3.0 million designated as an adjustment to the balance of Oak Hill’s impaired loans. Oak Hill contributed $7.3 million to non-performing loans at December 31, 2007. |
· | Non-interest expense for 2007 over 2006 increased $4.8 million, with Oak Hill contributing approximately $3.3 million. The remaining increase of $1.5 million or 1.5% was primarily due to increases in salaries and benefits and professional fees, somewhat offset by reductions in marketing, communication costs and miscellaneous taxes. Fourth quarter non-interest expenses increased $3.6 million or 13.4% due primarily to the addition of $3.3 million of Oak Hill expenses, with other increases attributable to normal increases in personnel-related costs, partially offset by a decrease in miscellaneous taxes. Oak Hill merger-related expenses charged to operations were $0.6 million in the fourth quarter. |
WesBanco Announces Earnings for the Year 2007 and the Fourth Quarter Page 3
· | For all of 2007, the provision for income taxes decreased $1.2 million due to a lower effective tax rate of 15.2% from 19.2% in 2006. The decrease in the effective tax rate was due primarily to a $1.6 million credit resulting from the second quarter 2007 correction of certain prior period deferred tax amounts. The effect of the lower effective tax rate for all of 2007 was partially offset by a $4.4 million increase in pre-tax income. The provision in the fourth quarter decreased $1.4 million compared to the prior year quarter primarily due to lower pre-tax income and a higher percentage of tax-exempt income. |
· | Total loans at December 31, 2007 increased $788.4 million or 27.1% compared to December 31, 2006. Excluding loans acquired from Oak Hill of $912.4 million, loans decreased 4.3% compared to December 31, 2006 due to the Bank’s strategy of selling most new residential mortgages to the secondary market. |
· | Total deposits increased 30.5%, however, excluding the acquired Oak Hill deposits, were relatively flat. As a result of the current interest rate environment and other bank and non-bank competition customers are favoring shorter-term, higher-yielding money market accounts, while new checking account campaigns have increased the number of demand deposit accounts. |
· | The Oak Hill merger added $146.7 million to FHLB and other short-term borrowings at the end of 2007. However, these borrowings as a percent of total assets were 13.7% at the end of both 2007 and 2006. Short-term bank borrowings increased to fund the cash portion of the merger consideration. |
· | As noted previously, the Oak Hill merger was consummated on November 30, 2007. As a result of the merger, total shareholders’ equity increased to $580.3 million, and goodwill and other identified intangible assets of approximately $134.1 million were recorded. The total equity to assets ratio was 10.52% at year end while tangible equity to tangible assets decreased to 5.96% as a result of the merger. |
· | For the quarter ended December 31, 2007, WesBanco repurchased a total of 152,275 common shares at an average price of $22.66 per share. Year-to-date shares repurchased totaled 1,045,673 at $29.34 per share. WesBanco has 584,325 shares remaining for repurchase under its current authorized repurchase plan. |
WesBanco is a multi-state bank holding company with total assets of approximately $5.4 billion, operating through 116 locations and 152 ATMs in West Virginia, Ohio, and Pennsylvania. WesBanco’s banking subsidiaries are WesBanco Bank, Inc., headquartered in Wheeling, West Virginia, and Oak Hill Banks, headquartered in Jackson, Ohio. In addition, WesBanco operates an insurance company, WesBanco Insurance Services, Inc., and a full service broker/dealer, WesBanco Securities, Inc.
WesBanco Announces Earnings for the Year 2007 and the Fourth Quarter Page 4
Forward-looking Statement
This press release contains certain forward-looking statements, including certain plans, expectations, goals, and projections, and including statements about the benefits of the merger between WesBanco and Oak Hill, which are subject to numerous assumptions, risks, and uncertainties. Actual results could differ materially from those contained or implied by such statements for a variety of factors including: the businesses of WesBanco and Oak Hill may not be integrated successfully or such integration may take longer to accomplish than expected; the expected cost savings and any revenue synergies from the merger may not be fully realized within the expected timeframes; disruption from the merger may make it more difficult to maintain relationships with clients, associates, or suppliers; changes in economic conditions; movements in interest rates; competitive pressures on product pricing and services; success and timing of other business strategies; the nature, extent, and timing of governmental actions and reforms; and extended disruption of vital infrastructure; and other factors described in WesBanco's 2006 Annual Report on Form 10-K and documents subsequently filed by WesBanco with the Securities and Exchange Commission, including WesBanco’s Form 10-Q as of September 30, 2007. All forward-looking statements included in this news release are based on information available at the time of the release. WesBanco assumes no obligation to update any forward-looking statement.
WESBANCO, INC. | |||||||||||
Consolidated Selected Financial Highlights | Page 5 | ||||||||||
(unaudited, dollars in thousands, except per share amounts) | |||||||||||
For the Three Months Ended | For the Year Ended | ||||||||||
December 31, | December 31, | ||||||||||
Statement of income | 2007 | 2006 | % Change | 2007 | 2006 | % Change | |||||
Interest income | $ 63,928 | $ 57,886 | 10.44% | $ 236,393 | $ 227,269 | 4.01% | |||||
Interest expense | 32,154 | 27,609 | 16.46% | 117,080 | 104,436 | 12.11% | |||||
Net interest income | 31,774 | 30,277 | 4.94% | 119,313 | 122,833 | (2.87%) | |||||
Provision for credit losses | 3,832 | 1,568 | 144.39% | 8,516 | 8,739 | (2.55%) | |||||
Net interest income after provision for | |||||||||||
credit losses | 27,942 | 28,709 | (2.67%) | 110,797 | 114,094 | (2.89%) | |||||
Non-interest income | |||||||||||
Trust fees | 4,048 | 3,733 | 8.44% | 16,212 | 15,039 | 7.80% | |||||
Service charges on deposits | 5,348 | 4,301 | 24.34% | 18,345 | 16,714 | 9.76% | |||||
Net securities gains/(losses) | 204 | 35 | 482.86% | 943 | (7,798) | 112.09% | |||||
Other income | 4,242 | 2,861 | 48.27% | 17,439 | 16,453 | 5.99% | |||||
Total non-interest income | 13,842 | 10,930 | 26.64% | 52,939 | 40,408 | 31.01% | |||||
Non-interest expense | |||||||||||
Salaries and employee benefits | 15,577 | 13,423 | 16.05% | 57,401 | 53,683 | 6.93% | |||||
Net occupancy | 2,098 | 1,937 | 8.31% | 7,969 | 7,504 | 6.20% | |||||
Equipment | 1,998 | 1,937 | 3.15% | 7,656 | 7,921 | (3.35%) | |||||
Amortization of intangible assets | 704 | 617 | 14.10% | 2,485 | 2,511 | (1.04%) | |||||
Marketing expense | 1,115 | 1,290 | (13.57%) | 4,482 | 5,143 | (12.85%) | |||||
Merger and restructuring expenses | 635 | - | 100.00 % | 635 | 540 | 17.59 % | |||||
Other operating expenses | 7,906 | 7,271 | 8.73% | 30,418 | 28,902 | 5.25% | |||||
Total non-interest expense | 30,033 | 26,475 | 13.44% | 111,046 | 106,204 | 4.56% | |||||
Income before provision for income taxes | 11,751 | 13,164 | (10.73%) | 52,690 | 48,298 | 9.09% | |||||
Provision for income taxes | 1,087 | 2,528 | (57.00%) | 8,021 | 9,263 | (13.41%) | |||||
Net income | $ 10,664 | $ 10,636 | 0.26% | $ 44,669 | $ 39,035 | 14.43% | |||||
Taxable equivalent net interest income | $ 33,752 | $ 32,330 | 4.40% | $ 127,143 | $ 131,485 | (3.30%) | |||||
Per common share data | |||||||||||
Net income per common share - basic | $ 0.47 | $ 0.49 | (4.08%) | $ 2.09 | $ 1.79 | 16.76% | |||||
Net income per common share - diluted | $ 0.47 | $ 0.49 | (4.08%) | $ 2.09 | $ 1.79 | 16.76% | |||||
Dividends declared | $ 0.275 | $ 0.265 | 3.77% | $ 1.10 | $ 1.06 | 3.77% | |||||
Book value (period end) | $ 21.86 | $ 19.39 | 12.74% | ||||||||
Tangible book value (period end) | $ 11.44 | $ 12.64 | (9.53%) | ||||||||
Average shares outstanding - basic | 22,544,167 | 21,523,291 | 4.74% | 21,343,302 | 21,762,567 | (1.93%) | |||||
Average shares outstanding - diluted | 22,551,781 | 21,580,177 | 4.50% | 21,375,377 | 21,816,573 | (2.02%) | |||||
Period end shares outstanding | 26,547,073 | 21,496,793 | 23.49% | ||||||||
Selected ratios | |||||||||||
Return on average assets | 0.96% | 1.03% | (7.20%) | 1.09% | 0.94% | 15.88% | |||||
Return on average equity | 9.09% | 10.06% | (9.65%) | 10.63% | 9.35% | 13.69% | |||||
Yield on earning assets (1) | 6.63% | 6.45% | 2.79% | 6.61% | 6.27% | 5.42% | |||||
Cost of interest bearing liabilities | 3.65% | 3.37% | 8.31% | 3.60% | 3.14% | 14.65% | |||||
Net interest spread (1) | 2.98% | 3.08% | (3.25%) | 3.01% | 3.13% | (3.83%) | |||||
Net interest margin (1) | 3.40% | 3.49% | (2.58%) | 3.44% | 3.49% | (1.43%) | |||||
Efficiency (1) | 63.10% | 61.20% | 3.10% | 61.66% | 61.78% | (0.19%) | |||||
Average loans to average deposits | 94.79% | 97.17% | (2.44%) | 95.28% | 97.78% | (2.56%) | |||||
Annualized net loan charge-offs/average loans | 0.41% | 0.17% | 142.80% | 0.28% | 0.23% | 21.30% | |||||
Effective income tax rate | 9.25% | 19.20% | (51.82%) | 15.22% | 19.18% | (20.63%) | |||||
(1) The yield on earning assets, net interest margin, net interest spread and efficiency ratios are presented on a fully | |||||||||||
taxable-equivalent (FTE) and annualized basis. The FTE basis adjusts for the tax benefit of income on certain tax-exempt | |||||||||||
loans and investments. WesBanco believes this measure to be the preferred industry measurement of net interest income and | |||||||||||
provides a relevant comparison between taxable and non-taxable amounts. |
WESBANCO, INC. | |||||||||||||||
Consolidated Selected Financial Highlights | Page 6 | ||||||||||||||
(unaudited, dollars in thousands) | % Change | ||||||||||||||
Balance sheet (period end) | December 31, | September 30, | September 30, 2007 | ||||||||||||
Assets | 2007 | 2006 | % Change | 2007 | to Dec. 31, 2007 | ||||||||||
Cash and due from banks | $ 130,219 | $ 96,605 | 34.80 | % | $ 73,666 | 76.77 | % | ||||||||
Fed Funds sold | 276 | - | 100.00 | - | 100.00 | ||||||||||
Securities | 937,084 | 736,707 | 27.20 | 734,285 | 27.62 | ||||||||||
Loans held for sale | 63,655 | 3,170 | 1,908.04 | 4,849 | 1,212.74 | ||||||||||
Portfolio Loans: | |||||||||||||||
Commercial and commercial real estate | 2,147,129 | 1,575,170 | 36.31 | 1,540,958 | 39.34 | ||||||||||
Residential real estate | 979,578 | 896,533 | 9.26 | 814,047 | 20.33 | ||||||||||
Consumer and home equity | 569,904 | 436,510 | 30.56 | 437,595 | 30.24 | ||||||||||
Total portfolio loans | 3,696,611 | 2,908,213 | 27.11 | 2,792,600 | 32.37 | ||||||||||
Allowance for loan losses | (38,543) | (31,979) | 20.53 | (31,647) | 21.79 | ||||||||||
Net portfolio loans | 3,658,068 | 2,876,234 | 27.18 | 2,760,953 | 32.49 | ||||||||||
Premises and equipment, net | 95,985 | 67,404 | 42.40 | 68,518 | 40.09 | ||||||||||
Goodwill | 256,347 | 137,258 | 86.76 | 137,258 | 86.76 | ||||||||||
Core deposit intangible, net | 20,383 | 7,889 | 158.37 | 6,108 | 233.71 | ||||||||||
Other assets | 206,865 | 172,876 | 19.66 | 174,956 | 18.24 | ||||||||||
Total Assets | $ 5,368,882 | $ 4,098,143 | 31.01 | % | $ 3,960,593 | 35.56 | % | ||||||||
Liabilities and Shareholders' Equity | |||||||||||||||
Non-interest bearing demand deposits | $ 519,287 | $ 401,909 | 29.21 | % | $ 382,487 | 35.77 | % | ||||||||
Interest bearing demand deposits | 416,470 | 356,088 | 16.96 | 355,940 | 17.01 | ||||||||||
Money market accounts | 612,089 | 354,082 | 72.87 | 384,308 | 59.27 | ||||||||||
Savings deposits | 440,358 | 441,226 | (0.20) | 403,411 | 9.16 | ||||||||||
Certificates of deposit | 1,919,726 | 1,442,242 | 33.11 | 1,433,906 | 33.88 | ||||||||||
Total deposits | 3,907,930 | 2,995,547 | 30.46 | 2,960,052 | 32.02 | ||||||||||
Federal Home Loan Bank borrowings | 405,798 | 358,907 | 13.06 | 299,269 | 35.60 | ||||||||||
Short-term borrowings | 329,515 | 202,561 | 62.67 | 160,770 | 104.96 | ||||||||||
Junior subordinated debt | 111,024 | 87,638 | 26.68 | 87,638 | 26.68 | ||||||||||
Other liabilities | 34,296 | 36,615 | (6.33) | 41,558 | (17.47) | ||||||||||
Shareholders' equity | 580,319 | 416,875 | 39.21 | 411,306 | 41.09 | ||||||||||
Total Liabilities and Shareholders' Equity | $ 5,368,882 | $ 4,098,143 | 31.01 | % | $ 3,960,593 | 35.56 | % | ||||||||
Average balance sheet and | |||||||||||||||
net interest margin analysis | Three months ended December 31, | For the year ended December 31, | |||||||||||||
2007 | 2006 | 2007 | 2006 | ||||||||||||
Average | Average | Average | Average | Average | Average | Average | Average | ||||||||
Assets | Balance | Rate | Balance | Rate | Balance | Rate | Balance | Rate | |||||||
Due from banks - interest bearing | $ 2,300 | 3.79% | $ 1,779 | 3.12% | $ 1,749 | 2.57% | $ 2,130 | 2.25% | |||||||
Loans, net of unearned income | 3,115,398 | 6.86% | 2,916,263 | 6.65% | 2,906,197 | 6.85% | 2,919,480 | 6.51% | |||||||
Securities: | |||||||||||||||
Taxable | 462,911 | 5.18% | 385,244 | 4.82% | 414,792 | 5.00% | 434,959 | 4.42% | |||||||
Tax-exempt | 337,413 | 6.65% | 349,431 | 6.72% | 334,332 | 6.68% | 369,482 | 6.69% | |||||||
Total securities | 800,324 | 5.80% | 734,675 | 5.72% | 749,124 | 5.75% | 804,441 | 5.46% | |||||||
Federal funds sold | 9,814 | 4.85% | 13,837 | 5.38% | 16,005 | 5.19% | 5,296 | 5.14% | |||||||
Other earning assets (1) | 22,103 | 5.94% | 23,341 | 6.19% | 21,766 | 5.69% | 30,927 | 5.06% | |||||||
Total earning assets | 3,949,939 | 6.63% | 3,689,895 | 6.45% | 3,694,841 | 6.61% | 3,762,274 | 6.27% | |||||||
Other assets | 476,134 | 399,396 | 405,956 | 398,947 | |||||||||||
Total Assets | $ 4,426,073 | $ 4,089,291 | $ 4,100,797 | $ 4,161,221 | |||||||||||
Liabilities and Shareholders' Equity | |||||||||||||||
Interest bearing demand deposits | $ 382,749 | 1.34% | $ 352,711 | 1.30% | $ 357,616 | 1.31% | $ 341,966 | 1.08% | |||||||
Money market accounts | 467,236 | 2.85% | 355,875 | 2.35% | 395,017 | 2.75% | 383,260 | 2.19% | |||||||
Savings deposits | 414,918 | 1.24% | 446,548 | 1.40% | 423,485 | 1.32% | 459,277 | 1.29% | |||||||
Certificates of deposit | 1,597,720 | 4.67% | 1,455,961 | 4.24% | 1,481,014 | 4.60% | 1,420,903 | 3.92% | |||||||
Total interest bearing deposits | 2,862,623 | 3.43% | 2,611,095 | 3.10% | 2,657,132 | 3.36% | 2,605,406 | 2.83% | |||||||
Federal Home Loan Bank borrowings | 323,095 | 4.30% | 365,222 | 3.85% | 320,247 | 4.12% | 461,712 | 3.71% | |||||||
Short-term borrowings | 211,460 | 4.31% | 184,231 | 4.91% | 181,539 | 4.82% | 173,481 | 4.58% | |||||||
Junior subordinated debt | 95,519 | 6.62% | 87,638 | 6.46% | 89,623 | 6.53% | 87,638 | 6.39% | |||||||
Total interest bearing liabilities | 3,492,697 | 3.65% | 3,248,186 | 3.37% | 3,248,541 | 3.60% | 3,328,237 | 3.14% | |||||||
Non-interest bearing demand deposits | 423,863 | 390,078 | 393,040 | 380,460 | |||||||||||
Other liabilities | 44,034 | 31,563 | 38,984 | 35,000 | |||||||||||
Shareholders' equity | 465,479 | 419,464 | 420,232 | 417,524 | |||||||||||
Total Liabilities and Shareholders' Equity | $ 4,426,073 | $ 4,089,291 | $ 4,100,797 | $ 4,161,221 | |||||||||||
Taxable equivalent net interest spread | 2.98% | 3.08% | 3.01% | 3.13% | |||||||||||
Taxable equivalent net interest margin | 3.40% | 3.49% | 3.44% | 3.49% | |||||||||||
(1) Federal Reserve stock, Federal Home Loan Bank stock and equity securities that do not have readily determinable fair market values. | |||||||||||||||
WESBANCO, INC. | |||||||||
Consolidated Selected Financial Highlights | Page 7 | ||||||||
(unaudited, dollars in thousands, except per share amounts) | |||||||||
Quarter Ended | |||||||||
Dec. 31, | Sept. 30, | June 30, | March 31, | Dec. 31, | |||||
Statement of income | 2007 | 2007 | 2007 | 2007 | 2006 | ||||
Interest income | $ 63,928 | $ 57,460 | $ 57,812 | $ 57,193 | $ 57,886 | ||||
Interest expense | 32,154 | 29,100 | 28,626 | 27,200 | 27,609 | ||||
Net interest income | 31,774 | 28,360 | 29,186 | 29,993 | 30,277 | ||||
Provision for credit losses | 3,832 | 1,448 | 1,776 | 1,460 | 1,568 | ||||
Net interest income after provision for | |||||||||
credit losses | 27,942 | 26,912 | 27,410 | 28,533 | 28,709 | ||||
Non-interest income | |||||||||
Trust fees | 4,048 | 3,941 | 3,885 | 4,338 | 3,733 | ||||
Service charges on deposits | 5,348 | 4,683 | 4,431 | 3,883 | 4,301 | ||||
Net securities gains | 204 | 22 | 39 | 678 | 35 | ||||
Other income | 4,242 | 3,763 | 5,097 | 4,337 | 2,861 | ||||
Total non-interest income | 13,842 | 12,409 | 13,452 | 13,236 | 10,930 | ||||
Non-interest expense | |||||||||
Salaries and employee benefits | 15,577 | 14,131 | 13,815 | 13,878 | 13,423 | ||||
Net occupancy | 2,098 | 2,002 | 1,866 | 2,003 | 1,937 | ||||
Equipment | 1,998 | 1,872 | 1,884 | 1,902 | 1,937 | ||||
Core deposit intangibles | 704 | 589 | 596 | 596 | 617 | ||||
Marketing expense | 1,115 | 1,331 | 1,414 | 622 | 1,290 | ||||
Merger and restructuring expenses | 635 | - | - | - | - | ||||
Other operating expenses | 7,906 | 7,731 | 7,397 | 7,384 | 7,271 | ||||
Total non-interest expense | 30,033 | 27,656 | 26,972 | 26,385 | 26,475 | ||||
Income before provision for income taxes | 11,751 | 11,665 | 13,890 | 15,384 | 13,164 | ||||
Provision for income taxes | 1,087 | 1,902 | 1,595 | 3,437 | 2,528 | ||||
Net income | $ 10,664 | $ 9,763 | $ 12,295 | $ 11,947 | $ 10,636 | ||||
Taxable equivalent net interest income | $ 33,752 | $ 30,252 | $ 31,133 | $ 32,005 | $ 32,330 | ||||
Per common share data | |||||||||
Net income per common share - basic | $ 0.47 | $ 0.47 | $ 0.59 | $ 0.56 | $ 0.49 | ||||
Net income per common share - diluted | $ 0.47 | $ 0.47 | $ 0.59 | $ 0.56 | $ 0.49 | ||||
Dividends declared | $ 0.275 | $ 0.275 | $ 0.275 | $ 0.275 | $ 0.265 | ||||
Book value (period end) | $ 21.86 | $ 19.94 | $ 19.54 | $ 19.40 | $ 19.39 | ||||
Tangible book value (period end) | $ 11.44 | $ 12.99 | $ 12.60 | $ 12.50 | $ 12.64 | ||||
Average shares outstanding - basic | 22,544,167 | 20,711,866 | 20,838,798 | 21,271,328 | 21,523,291 | ||||
Average shares outstanding - diluted | 22,551,781 | 20,732,741 | 20,884,156 | 21,325,166 | 21,580,177 | ||||
Period end shares outstanding | 26,547,073 | 20,628,092 | 20,759,920 | 20,948,040 | 21,496,793 | ||||
Full time equivalent employees | 1,562 | 1,177 | 1,191 | 1,168 | 1,168 | ||||
Selected ratios | |||||||||
Return on average assets | 0.96% | 0.98% | 1.23% | 1.20% | 1.03% | ||||
Return on average equity | 9.09% | 9.51% | 12.12% | 11.77% | 10.06% | ||||
Yield on earning assets (1) | 6.63% | 6.61% | 6.60% | 6.59% | 6.45% | ||||
Cost of interest bearing liabilities | 3.65% | 3.69% | 3.61% | 3.46% | 3.37% | ||||
Net interest spread (1) | 2.98% | 2.92% | 2.99% | 3.14% | 3.08% | ||||
Net interest margin (1) | 3.40% | 3.38% | 3.46% | 3.56% | 3.49% | ||||
Efficiency (1) | 63.10% | 64.83% | 60.50% | 58.32% | 61.20% | ||||
Average loans to average deposits | 94.79% | 94.81% | 94.88% | 96.72% | 97.17% | ||||
Trust Assets, market value at period end | $ 3,084,145 | $ 3,129,179 | $ 3,041,464 | $ 2,972,044 | $ 2,976,621 | ||||
(1) The yield on earning assets, net interest margin, net interest spread and efficiency ratios are presented on a fully | |||||||||
taxable-equivalent (FTE) and annualized basis. The FTE basis adjusts for the tax benefit of income on certain tax-exempt | |||||||||
loans and investments. WesBanco believes this measure to be the preferred industry measurement of net interest income and | |||||||||
provides a relevant comparison between taxable and non-taxable amounts. | |||||||||
WESBANCO, INC. | |||||||||||||
Consolidated Selected Financial Highlights | Page 8 | ||||||||||||
(unaudited, dollars in thousands) | |||||||||||||
Quarter Ended | |||||||||||||
Dec. 31, | Sept. 30, | June 30, | March 31, | Dec. 31, | |||||||||
Asset quality data | 2007 | 2007 | 2007 | 2007 | 2006 | ||||||||
Non-performing assets: | |||||||||||||
Non-accrual loans | $ 19,857 | $ 10,859 | $ 9,651 | $ 12,126 | $ 16,154 | ||||||||
Renegotiated loans | - | - | - | - | - | ||||||||
Total non-performing loans | 19,857 | 10,859 | 9,651 | 12,126 | 16,154 | ||||||||
Other real estate and repossessed assets | 3,998 | 3,483 | 4,067 | 3,369 | 4,052 | ||||||||
Total non-performing loans and assets | $ 23,855 | $ 14,342 | $ 13,718 | $ 15,495 | $ 20,206 | ||||||||
Loans past due 90 days or more | $ 11,546 | $ 7,544 | $ 7,869 | $ 6,194 | $ 6,488 | ||||||||
Non-performing assets/total assets | 0.44 | % | 0.36 | % | 0.34 | % | 0.38 | % | 0.49 | % | |||
Non-performing assets/total loans, other real | |||||||||||||
estate and repossessed assets | 0.64 | % | 0.51 | % | 0.48 | % | 0.54 | % | 0.69 | % | |||
Non-performing loans/total loans | 0.54 | % | 0.39 | % | 0.34 | % | 0.43 | % | 0.55 | % | |||
Non-performing loans and loans past due 90 | |||||||||||||
days or more/total loans | 0.85 | % | 0.66 | % | 0.62 | % | 0.64 | % | 0.78 | % | |||
Non-performing loans, loans past due 90 days and other | |||||||||||||
real estate owned/total loans and other real estate owned | 0.95 | % | 0.77 | % | 0.75 | % | 0.75 | % | 0.89 | % | |||
Allowance for loan losses | |||||||||||||
Allowance for loan losses | $ 38,543 | $ 31,647 | $ 31,928 | $ 31,757 | $ 31,979 | ||||||||
Provision for loan losses | 3,807 | 1,500 | 1,500 | 1,460 | 1,568 | ||||||||
Net loan charge-offs | 3,316 | 1,781 | 1,329 | 1,682 | 1,258 | ||||||||
Annualized net loan charge-offs /average loans | 0.41 | % | 0.25 | % | 0.19 | % | 0.24 | % | 0.17 | % | |||
Allowance for loan losses/total loans | 1.04 | % | 1.13 | % | 1.13 | % | 1.12 | % | 1.10 | % | |||
Allowance for loan losses/non-performing loans | 1.94 | x | 2.91 | x | 3.31 | x | 2.62 | x | 1.98 | x | |||
Allowance for loan losses/non-performing loans and | |||||||||||||
past due 90 days or more | 1.23 | x | 1.72 | x | 1.82 | x | 1.73 | x | 1.41 | x | |||
Year Ended | |||||||||||||
Dec 31, | Dec. 31, | ||||||||||||
2007 | 2006 | ||||||||||||
Provision for loan losses | $ 8,267 | $ 8,739 | |||||||||||
Net loan charge-offs | 8,108 | 7,717 | |||||||||||
Net loan charge-offs /average loans | 0.28 | % | 0.26 | % | |||||||||
Quarter Ended | |||||||||||||
Dec. 31, | Sept. 30, | June 30, | March 31, | Dec. 31, | |||||||||
2007 | 2007 | 2007 | 2007 | 2006 | |||||||||
Capital ratios | |||||||||||||
Tier I leverage capital | 8.27 | % | 9.38 | % | 9.21 | % | 9.14 | % | 9.27 | % | |||
Tier I risk-based capital | 10.50 | % | 12.10 | % | 11.98 | % | 12.20 | % | 12.35 | % | |||
Total risk-based capital | 11.49 | % | 13.18 | % | 13.07 | % | 13.30 | % | 13.44 | % | |||
Shareholders' equity to assets | 10.52 | % | 10.31 | % | 10.15 | % | 10.23 | % | 10.26 | % | |||
Tangible equity to tangible assets (1) | 5.96 | % | 7.02 | % | 6.81 | % | 6.77 | % | 6.87 | % | |||
(1) Tangible equity is defined as shareholders' equity less goodwill and other intangible assets, and | |||||||||||||
tangible assets are defined as total assets less goodwill and other intangible assets. The calculation is based on period end balances. | |||||||||||||