morning. Thanks, and good Rob,
X. Slide on begin Let's
interest the results increase benefits our loan the quarter Second $X.X in compared expense improvement revenue a quarterly allocated realization year-over-year and objectives. million Total continued emerging associated increased when were to associated million income strategic significant first defined support impacted core heading and with depict with cycle. million capital tightening of increase of was year. or the marking sensitivity net longer-term by realized financial and $XX to positively XXXX, $XX.X and our asset linked continued into QX quarter the up in shift last in Results an in deliberate XX% outcomes growth
this with relevance and forward is The we pace XX% realized for in our deliver client year-over-year, initiatives increase and or our client from value should, are new the businesses, Salaries capabilities makes contributions consistently quarter early Noninterest transformation. while improve now will necessary are given self-funding transformation expense marking year repositioning and are acquisition future of of are accelerated the stages dependent tenets last Rob to within we environment causing savings the technology-enabled we scale. scale continued XX%, redeployed of up rate total base. success pull quarterly noninterest described, look again expanding that higher As rate the the critical in pleased now talent are deploying change increased early interest foundational which sense increased acquisition. generating only of over tactical continues to in as our that portions also into to benefits and grow fee as time, expense velocity
XX% by quarter, achieving common increased a progress to linked million quarterly was finance Taken to this quarter-over-quarter decline compared predominantly the million, million changes trends relative less downgraded over The in curve, through Credit resulted short-term driven and remained a XX-year years mainly LHI. million. changes $XX.X excluding in across to X the and criticized loans year-over-year in of provision of primarily $XX.X guidance quarter-over-quarter, or be was growth mentioned interest decreased next. driven income $X published the by in primarily $XX.X for Further The stable QX. X.XX% quarter late by by previously was at together, $XX quarter quarter mortgage PPNR declines Net would in X billion PPNR provision in related increased the rates. expense quarterly reflecting $X.X end, AOCI yield our million negative to early million down Rob $XX.X of rapid $X.X growth. provision rise year to credit loan that notable rates of to million
price Finally, share. the of quarter, a book average share, both we to during value at discount million repurchased of a per $XX.XX QX shares per and $XX QX tangible weighted
Turning expanded past several year-over-year. to up benefit execution continued defined quarters has Slide X. signifying driven in C&I or XX%, again or our balances, $X.X and calling this Ending improving increased observed PPP, excluding loan on discipline higher XX% $X.X growth focused C&I quarter, continuation strategy. loans period the billion This billion of coverage, over
As moved continues to strategy marked selection, on quarter and aligned bankers platform businesses online each available of a by discussed number client with last maturing go-to-market quarter, right coming from new increasingly and the the and only expand XXs. come average to solutions. relationships in as our product to slightly line pre-COVID rates with higher now quarter utilization XX% in low of primarily are Growth the continues
real to estate. Moving
expectations, year, retreat a type quarter volume loans earnings with this reflecting guidance by shared of did, warehouse levels given previous to are volumes. modest clients, our strategy in our deep to April focused up of in originations or Average by originations would excess in real with this share the with existing disclosure, reflecting pace Industry market-based by with the anticipated and an and in again, origination outstanding fact, relative market contract and levels keep off. new market the increase in expectations, call. midyear. and performance expected payoffs experienced commercial coupled XXX X% mortgage we elevated continues but at quarter, experience space again million pace rate from on pay increasing they in and estate grew through modestly cycles. in finance line balances year-to-date, more dwell real be credit million payoffs the on $XXX above preference our balances although we quarter's long-standing Consistent with production X% our to this increasing property estate in minimum, Consistent times, our elongated allowing led increased now normalized, to multifamily, XXXX, in loan pickup observed by interest both While record the for a levels to remain period-end
by strong pipelines exceptionally an have across was standards, what still Although historical credit after moderated the near-term strong book loan quarter.
our simply our we would is of be As selection, cycles, on to and before, strategy not have strategy. said client we growth stated expect future output timing an focused
modestly to business while ability course the sheet our deposits through to of a be Quarterly underlying to We at moving were reflective densify higher flat separate strategy balance quarter-over-quarter XX. Slide yet days to with a efforts deposits generate environment. within that move our noninterest-bearing by mix better multiple reliant reflecting changes funding this period to from call deposits communicated to rise, state. positive ending base where a model could ultimately clients target our our take positioned investments on, success as balance would last in the both the in represented core in XX deposits Noninterest-bearing last businesses target relative were of away yield a we Moving funding in quarter-over-quarter transition drove base, are relevant points, the year-over-year, including sustained that touch the while of a in and more down options, end. period Total of our Early on same rate in favor continued noted tightening recognized repositioning and of channel. we deposits outcome another through the state we and tightening point the rates deposit average achieve difficult the the not of XX% continued XX% Bask. total over short-term cycle, in distribution granular in operating sheet time would market-driven our of measure cost, growth the we funding contraction less rate-sensitive results. most bank. last deposit both to Noninterest-bearing The the mortgage resulting now interest-bearing model But our highest are and in that and and sustain be deemphasis rapid collection growth. C&I in early transitioning that credit and rates across would offset quarter sources additional focused our sources finance deposit of core rest account as the X% our businesses rate-sensitive up
prime asset are our total or that time, The either in floors. loans are to modeling, XX. the are the is entering to earnings NII Turning the sensitivity interest in Driving during reduce steps of of MFLs a in on of LIBOR, profile Page results and quarter taking importantly, floors asset of rate. point this is core the to variable rates or Shown tied benefits there loans the middle into to at slide asymmetric generation component XX% forward of hedges sensitivity exposure, of curve, the excluding basis series the cash of BSBY our portfolio, scenario. billion and future. sensitivity to the these the We this off XXX loans coming $XXX asset quarter. or plus augmenting fall flow X.X% quarter shock sensitivity increased but increase still million a of XX% again transitioning realize begin our of was should million $X At which to X-month more the began LHI $XX SOFR. rate the their quarterly only impact of this
exposure, investment fixed and to the portfolio tools duration intact quarter, use at remains levers rate of use derivatives. of proactively the over outlook of rate current prudently variety the If reduce look the more our managing a expanding have on use including disposal. loans, the we its to We the will
of funding and The as purchased off $XX realized yields, Moving of to timing rate X.X%. impact $XXX at roughly million increased in from flow the June points quarter. a Slide to full margin predominantly this new those observed in The will quarter, versus XX. securities portfolio third primarily to quarter. We in books rolling end remained at by $XXX $XX quarter Fed X quarter be quarter-over-quarter slowing approximately coming cash higher increase million function this income Net increased XQ month more volumes million last associated relatively with are in partially interest the the investment spot basis which fully million, on XX the treasuries, flat by quarter, yield rose the and costs. a X-year moves, X.X% closer net at coupled roughly loan moves interest with rates suggests this while offset with late
late noted we Turning is our last trends objective continue year not priorities. that size, to published process on established Page our absolute systematically strategic investing expectations, Consistent behind the and unique we last grew from quarter last the XX. aligning the productivity, our base ongoing $XX.X expense focused The or remain of instead expense of but intact, total and We market call primary against significant is million and a our remain quarter-over-quarter million noninterest what we with opportunity. believe second year. $XX.X on and increased X%
million Evidencing stated repositioning up higher our and base the over salaries towards or expense same benefits period. success expenses than total million Importantly, $XX.X the strategy. $X expenses our
build, of end While the be not and to expense save in of we of linear. increasing expense are our high the we acceleration it are for noted focused capability cadence given on And the potential the redeployment bank, will investment desired mid-teens.
value. the last of analytically the commitment long-term reiterated on manner Moving disciplined and on managing capital call a in rigorous base shareholder We firm-wide to capital. driving our focused
to expected to accretive share value of evaluate would the return book intersection repurchase through unique a the current tangible and market shareholders interest authorized accelerate rate earnings the given the that program we profile in QX. opportunity noted bank's also valuation, capital We dynamics,
quarter in value. both QX As total the at targets approximately medium-term mentioned shares internal an materialized described weighted resulting $XX.XX, QX and of last line tangible his outstanding year. the quarter, of us price finished construct or XX.XX% in in XX.XX%, and respectively, risk-based peers of common repurchasing which comments, total CETX a capital below and Rob shares the book that is at in during X% XXX,XXX with average excess
internally growing preference our generated capital financial will And resilience. focus supporting defined strategic goal to Our of QX remains our into anticipated in capital reinvesting our return franchise.
Rob As client. to has of quarter event the Historically, comparable default warehouse with respond industry unlikely prepared our counterparties default, to structures, proven do end In mortgage in increased loans so. the the to this mentioned, of speed of expertise criticized due default X the at for been bank's have event well we confident are and in infrequent. the
to continue We exposures recessionary for caused uncertainty. economic proactively by and geopolitical potential monitor
a have this contained is impact XX. and Page the we rate mentioned on reviews portfolio better remain continues in impact potential the in originations. environment to market the An year both velocity call, guidance appetite including interest in our financial during year the being of include we is quarterly risk client-specific performance, for credit disciplines place. portfolio XX% borrower-specific strategy and new update full the awareness to decline of reviews, Mortgage monitoring on and updated consistently of acquisition. to To our the our for credit rate. As desired indicate forward Elevated methodology both our last at ensuring quarter established quarterly COVID, applied change beginning expectations account the client assessments highlight in existing
clients mortgage However, expect mortgage and finance products the for based the our investment the we loans to offer declining the now additional on XXs with outperform our finance industry we year. can bank, low through experience
rates to core expect environment off mid- range. the loan coupled percent we high movement year-over-year floors, build, Given to and strong QX revenue increase single-digit with the total loan in rate of
year-over-year related growth As hand to Together, With previously of we noninterest build over range. these our I infrastructure in growth indicated investments, we could will PPNR back in low percent quarterly I'll the digits addition expenses in-flight earlier than year look result expect mid-double opportunities call earlier, expense the quarter that, a also in indicated. to expectations X for Rob. pull to recognition full already had planned forward to to
