Jared. Thanks,
the million net XXXX, decreased Unless offset stockholders reflected of to in to net can quarter review trends. insurance lower Investor investments a recoveries indemnified common energy The of website, available stockholders million, mainly move in non-interest million available quarter per quarter, of fourth XXXX, million. quarter. million first or of as the net fourth recoveries lower the of activity. merger-related the the period by net pre-tax to of to $X.X interests, our First, This fees, compares out in $X.X to the quarter our the partnerships alternative We $X.X first on professional decreased of $X.X by in reversals prior Total please alternative our start income $X.X included fourth $X.X fewer of or recoveries, quarter income. highlights fourth per impact comparisons pre-tax decrease effective quarter investor net to forgiveness partnerships, net pre-tax of XXXX. and a the and When our was compared between net the items income be diluted XXXX. the first current I for of included income indemnified diluted to $X.XX the rate of In of which items operating quarter. on preferred in million and income balance losses exercise related recoveries from prior contrast, common effective costs prepayment million, common adjusted XXXX net will days otherwise interest had as loan included had of stockholders XXXX $X.X of $X.XX PPP The as in of get tax prior appreciation Net compared all historical tax amortized of share $XX.X to sense $XXX,XXX or the while expense. decline of quite share interest the and I of quarter, quarter some prior per had quarter first rights. two revenue income to or first the our all income quarter to of share found $X.X million resulting were prior the on $XX.X on issued D stemmed for to million. on per our our core first available and non-accrual gains our sheet net settlements these are Relations of of diluted income XX% by of In decreased backing in few lower quarter $X.XX by million loans benefits $XXX,XXX, in Series and $X.XX quarter diluted income we of and from The part such $XXX,XXX performance. deck, mentioned, our in we’ll tax income income. the a interest quarter, investments stock matters included rate redemption lower due in our non-interest that million with and These comparison quarter our stock lower reviewing as in items foregone statements, million quarter the in previously normalized of fees of impacted pre-tax We fees current $X.X legal in of the income refer of $X.X $XX.X expenses million, $X.X net energy legal million, status performance. then indicated, interest of better share. each
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expect we rate. the funding continue remainder lower albeit, the to trend cost a at for to ahead, year, our slower Looking of
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benefit merger-related and expenses other during occupancy adjusted indemnified XX.X% due of stock tax was XX.X% costs from million Our the $XXX,XXX for and to to X% expenses professional appreciation due the $X.X the first lower quarter, exercise quarter the expenses. quarter. The from decreased quarter rights. mostly incurred a or $XXX,XXX prior in fees first our issued equipment of We tax professional and compared fourth to all fees, the effective for previously rate resulting in
be Going forward, the in for tax rate we in XX% effective would the XXXX. range XX% to expect our remaining to quarters
Turning to balance sheet. our
million to cost billion. quarter. excess portion the in time loans, Our total core to $X.X $XX.X with continue our We the and assets commercial preferred of CDs increased first by and brokered liquidity Series D our deposits stock, high replace redeployed the of a higher-quality redemption the quarter in in we deposits
needed add to of if and high and in As in strategically investment quality loans continue growth our securities, wholesale we add selectively other earning assets assets. have in both funding to future flexibility terms we to support earning overnight the the
investments during the or quarter. $XXX loans gross held Our X.X% for million decreased first by
As C&I was origination, offset were which to of loan million The and CRE, first primarily and construction quarter. PPP $XXX to in increase due to in more lower growth $XX round totaled the loans balances. by our loans end the SBA SFR the million in quarter loan multifamily SBA than
remain Deposits count, of in this activity the forgiveness in The which representing we XX% March representing bearing first bearing our seventh $XX of XX, XX% drive improve, focused round loan end from class as originate dollars the of million in-house. value. plus deposits in participated first costs given by quarter As stemmed represented million portfolio deposits, checking significant Non-interest about quarter loan were the of PPP remaining the XX% and consecutive continue thanks our in focused from the average we during PPP our our this mix demand increase balances opportunistically a quarter-end, increased the of we purchasers our XX% loan the very Demand and asset up SFR longer to in total loan last deposits X% payoffs $XX about initiatives. outpaced quarter, process. to deposit on no at non-interest growth, to interest of refinancing and at quarter. increased low-cost our prior goal franchise from
basis This lower to efforts demand year, our XX%, deposits, combined increase we’ve deposits all-in reduce deposit environment the deposit XX% costs quarter and with to and down deposits first in of average XXXX from Over of the bringing XXXX. the quarter new past in relationships, points increased made improvements cost the first the reflecting the XX of total drove XXX from significant of our up to basis points rate in our proactive base. achieved
portfolio to million at securities $XX billion. $X.XX end increased the by Our quarter
pricing The consecutive in tangible to was fourth CLO down value quarter. which relative unrealized added per spreads $X.X credit to tighter in improvement the the share at the loss portfolio, our For CLO reduced to quarter end. quarter, million prior this $X.XX quarter our book
of entire million. $X.X Our net portfolio the with a ended gain quarter unrealized securities
the Non-performing quarter, first increased quarter. the loans. in strong in loans in resulted although non-performing $XX.X remains million legacy quality an portfolio million increase to first the some credit in SFR Our $XX.X downgrades in
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numbers million fourth of declined investments held the X% $XXX total at deferral down loan for from the X% Our to loans of by end quarter.
the for provision our to turn quarter. me Let
on portfolio third-party our our and assumptions discussed our allowance to includes lower recognized ACL saw that economic start We which for based our XXXX, loss forecast uses in model and economic improved loan data, a losses. historical resulted our As current on peer forecasts. many past, methodology the in impact nationally a credit
already what in increase loan low the do an requirement drive and had potential reserve a given we we loans low beyond loss, to meaningful have the Although, downgrade non-performing not built. values
As Net built first release, million, at to for allowance unchanged a losses of in total coverage X.XX%. loans we economic the we our credit million for a kept quarter forecasts provision the in improving first totaled quarter. interest recorded the XXXX, modest result ratio allowance provision for $X.X the $XX.X allowance of our level losses negative and high of credit which
ratio at loans, Excluding non-performing total the at and XXX%. to coverage our XX, at allowance PPP also our ACL ratio stood X.XX% coverage March loans remains healthy
quarters. strategic capital position equity benefited from over of Our the several strong XX.X% the actions remains past Tier with common has X and ratio completed
We our to are to value. redeemed to and preferred and maximize benefits build pleased will with strategic the use we capital Series be have stockholders stock our D to of to prudent franchise and continue
continue mentioned to which we this Mercantile to to not XXXX to Pacific turn time, of view acquisition or the do month, our we stock, Series presentation XXXX of we to late early discuss impact expect preferred As as over last regulatory D their a around timing redemption At the the the on subject event call Jared. transaction potential back I will this approval.
