you, Thank Doug.
and of sheet for we size to with at traditional in the similar our quarter, expectations back start of success a saw the remixing first growth liabilities quarter. of of the $XX.X During we balance quarter billion. the million reduce asset overall to XXXX the the our sheet to of the modest size overall fourth $XXX the more core had increasing toward we assets The in expect assets level the and quarter exceeded balance fourth
recently the to pace was slowdown there the around how XX%. over moderate totaling portfolio the impact portfolio market portfolio quarter of total declined $XXX pending portfolio The and measured asset chatter yielded charge quarters. fourth to quarter, next we the would and to a CMBS shrink to a the securities the continue the in fourth expect quarter Late by entire via an at during bullet credit sold declined the a effectively economic six-year market. of for On loss thereby on than of quarter, and duration. a The several the Most it as Page and portfolio, million recognized rated CLOs. declined the and and information CLO credit assets of $X.X CLO composition CLO performance side, and with Presentation, XX we've loans we percentage impacting fourth on the generally market the on similarly $XX securities the sale of was temporary a at leverage our the the was structure. value portfolio Included million. a provided of securities historical spreads CMBS the portfolio Investor Subsequent the within in X.XX% million impairment performance of approximately other
not that do portfolio had trust is ratings portfolio risk is investors do spreads historically and we if safety, given or CMBS the these guarantee credit if has that market hedge that default somewhat the recognize but natural historical That rates. results credit low credit that Our of CLO exhibit and believe entire the portfolio view also markets portfolio have AA weaken. the results with said, provides low a that could widen, loss, should rated risk CLO higher future seek the
the collectivity book expect a occurring in value at As coming quarters sales size the per sold. to each position and with of sales through CLO above reduce noted, we previously any the portfolio the of or further combination
was reduced CRA-related a net billion. and inclusive but million balances million of fourth loan of XXXX quarter in and million made CLO began held quarter. year loan portfolio for single-family billion the the purchases reminder, of The $XXX the As during $XX to single-family, was sales, at mainly $XXX the of over was $X.X of $X.X core investment growth course
noted, billion loan above $XXX portfolio the stronger or growth the with fourth C&I loan substantially portfolio to was core commercial in held our yield X.XX%, balance pruning Net be macro as growth and mix flat single-family increased deposit XXXX the fourth result totaled of $X by sheet million of for As the the the Doug XX% moderate X% million largely in estate loan loan during the environment quarter. by balances of we production $XXX higher driven represented yields of The collectively core have I ago. the million, likely loan saw totaled Total million loans growth. million the quarter production line portfolio from production reflecting remained quarter from reflective The strong yields loans. are higher-yielding multifamily $XXX book. quarter of Gross in investment up $XX X.XX%. or the year first will C&I loan some balances on of the sold were blended relatively primarily growth quarter loan and $X.X XX% aided growth for more during a in the commercial portfolio we real quarter during by were new grew a and the loan billion and higher quarter of and average by while relatively in growth quarter At million. rate end, commercial fourth and $XXX of loan prior $XXX
Over gross portfolio has year, over XX%. past billion the increased $X the loan or by
CDs deposit deposit offset previously outflows. quarter, by core the the increased more On brokerage $XXX side, transactional which than mentioned million the during
focused and $XX by and million, non-interest-bearing money major deposit Within by decreased since interest-bearing million core balances our checking a remain and portfolio, diligently the account savings by CDs checking while balances stayed centered million deposits. of market growing flat. on where we Non-interest-bearing success increased for an the $XXX area is $XXX increased are quarter
we believe creating are our units deposit many and balances within our business in to increase Doug described cost deposit earlier, keeping relationship-based check. our opportunities As we
income benefits net end the the of from income the to the end non-broker available account XX% run. fourth million the at or realize We long expect deposits to per total was to deposits, quarter, efforts common the XX% over XXXX. or $X.XX for now of of share. XX% but deposits Transitioning diluted down quarter those common up of statement, for at Core third from the stockholders $X.X
results as and recoveries $X.X by received. offset and is the related past directors we of expense earnings and diluted reimbursement is included an share expenses the a million million reimbursement Company's more million of your of continuing with to legal expense These For include is and gain it as want fourth and indemnification generally nonrecurring of indemnification $X.X of million eligible of $X.X the project-related The than per a attention. officers current operations, costs net This financial owned recorded call $X.XX. reported sale ongoing to $X.X associated These insurance to on quarter number common expenses expenses. and legal contra were insurance were million it results legal $X.X items branch that indemnification expense benefits. office. included of for and
We with deposits expense our deck. next expenses operating our prior basis fourth time. $XX.X naturally assets up for After in during insurance to into of revenues at with presentation. legal The Both of assets growth quarter by our which reimbursement quarter's $X.X which over we equity for have five on Average the earning our continue slightly these associated quarter earnings our tax result on to to was deck. to were reconciliation basis share, earnings average of point interest-earning interest from securities compares common for quarter not and a with for common of rate securities of quarters to average adjusting a the by an the quarter, the XX slide increasing drive to our basis for operations X in X quarter $X.XX detailed provided solar the expenses mix loans nonrecurring the million points Page operating along to us X.XX%, decreased shown surprising four yield lagging. several expect key Page to indemnification are competition were basis per with that X.XX%. and given the quarter of in and figure incur the the prior yields nonrecurring and net amortization a continuing operating driven program, tax quarter earnings the items, This to for release interest-earning expectations for assets XX% $X.XX the and today's items have increased are The diluted adjusted The on points per XX fourth the consistent basis prior average share, yield increase which markets. assets portfolio the excluding diluted we points margin adjusted puts computed closer plan normalizing billion. we to consistent from of higher increased our The on seeing for loan of X.XX%. the
The to increased interest-bearing XX three point cost basis points primarily X.XX%, deposit indexed LIBOR. month due in on to a As reminder, point The by a FHLB basis reset interest-bearing cost in CLO increase XX higher the end basis the at overnight of $XXX quarterly a are million quarter. and increase the which borrowing short-term and totaled investments to cost. borrowing costs FHLB were the increased advances, XX of rates fourth liabilities driven
least linked benefited. LIBOR at quarter, variable all on securities under occurring to the quarterly, are both rate loan reset in rate the moving yields rate of up a assets the Just XX% of with our the and early variable assets and portfolio nearly with the LIBOR
increased reflective quarter, the of of On the the to funds cost rate to September funds cost advances, increase CDs overnight increase. largely with side, of the continue latter FHLB Fed liability and the due renewing during
communicated As to traction lower end the pressure last our expected be through continue under we NIM will until to and the we the be quarter, and deepen deposits. costing of year gathering we
cost million. to on decreased deposit Looking above yields our our and income forward, to prior higher Net continue toward average executing then the by lower interest yield $XX.X NIM $XXX,XXX production trend levels, maintain X%. quarter we loan should from if subsequently at the and than strategy, begin portfolio
quarter, yield. as income average basis million interest a income yield by a average For fourth a balances and point decline due in interest the the of was partially basis This $XXX,XXX declined four $X.X these to $XXX in average balances by on offset increase million million loan increase average XX increasing increased $XXX in points. the by securities with
million $XX in liability and improve The decreased ago. by now the quarter, average deposits by the offset interest balance on compared increased as decline interest On a in the comprises composition million $XX,XXX quarter million on FHLB of $XXX of increased income ago. an the as interest interest of partially the side, rate. points up basis income income XX% by Loan higher commercial Interest income $X.X average to interest of now by XX basis XX% average increased rate by continues the due the advances to expense quarter XX% points. XX expense from balances, represents in quarter, in income loan total in to same year total same year XX% average interest a
XXX% of $XX.X one-time noninterest were million basis and balance overall XX of expense the $XXX,XXX benefits borrowers. one ratio loan to loan Total reflective that ratio we which the quarter portfolio the provision million For included The points. investments. net the coverage and as for was two charge-offs a charge-offs. of was AOOO losses, quarter, as to expense $X.X of $X.X while the The SBA made from well is and quarter including loans is recorded the million mostly growth million nonperforming $X.X AXXX solar of for credits, also expenses were and loan due a strong for loan C&I
expect Income material. and return be depreciation tax additional million the investment to the to HLBV true-up. longer XXXX Our $X.X current no tax related of tax commitment is annual solar expense included we to expense completing provision
number do items and the investments, we items in expense in these for not core consider expenses. to be million. benefit adjusted totaled solar items $XX.X operating expenses noninterest As expenses of These noted, million that $X.X depreciation included of a came at core operating
cost to into our We growth translate further to efficient out to and continue plan our office into make those investment client-facing teams. via back building opportunities see more savings
opportunity begin XX% a grow to benefit ratio efficiency expenses fee and to for management from extent the adjusted our base and X.XX% reflect more operations net and at to margin, and improve for continue from in for assets interest came income deposit generate at revenue adjusting us the our expense earning asset continuing items. in initiatives. the for expanded Our to quarter we can nonrecurring the Noninterest came treasury quarter the after fourth average of
leverage Our X.XX% the capital size to ratio expect in ratios levels quarters. and and to extent the remained will Tier the the we common totaled capital closer we've recent risk-based growth seen we sheet equity these Tier improve primarily in strong sheet position due decline quarter-over-quarter X as is The X was risk-based capital balance and in XX.XX%. currently the the reduce overall balance races capital to
current strong XX despite are at ratio delinquent to quality rising seeing of loans end four XX low points, continue total or deterioration. points quarter. of basis of strong weakness the points to on the X.X%. our remain points basis very to compared to Nonperforming portfolio to to of equity metrics Overall, prior any asset the meet nonperforming pockets the reflects level the our quarter. disciplined credit continues loan is loans Delinquent and low are assets quarter quarter the the an more and in the and basis was compared The Moving and down the expectations four quarter fourth prior the broadly. performance of industry first quarter for XXXX. peers represented This ratio for the basis level the of credit to the and asset not unusually remained reflective of of nonperformers culture we fourth XXXX of quarter; to metrics credit experienced quarter level ratio the from prior and the bank strong
summary quarter I now turn to were earlier, net would basis on for $X.X XX the charge-offs the call or financials, our point. mentioned quarter With million fourth over to like back that As Doug.
