AMTB - Earnings call transcript Q1 2021

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Operator

Good day, and thank you for standing by. Welcome to the Amerant First Quarter 2021 Earnings Conference Call. [Operator Instructions] Please be advised that today's conference is being recorded. [Operator Instructions] I would now like to hand the conference over to your speaker today, Laura Rossi, Investor Relations Officer at Amerant Bank. Thank you. ahead. go Please

Laura Rossi

Jerry Good thank Raquel. Bancorp's everyone the Officer. morning on Quarter Carlos Officer; Thank Chief Iafigliola, for morning joining and Financial are this me you Results. Amerant Chief us call, Executive XXXX and you, With to Plush, to First review

many risks Before a implied. of and your uncertainties, control. comments forward-looking notices consequently, questions and on to we which the statements. the variety are beyond operations call And today's The release, note press that business from cautionary are presentation. contain in actual its materially differ company's those results to subject and earnings regarding and the of Please may forward-looking statements begin, company's expressed release company's made responses or to refer

these XXXX, complete for filings Form in on and possible more annual the XX, risks, XX-K with to SEC. a description December please and company's ended other refer For report the other the year of

on as Please You update these SEC's and any in events, publicly no new circumstances commitment or in to information note no law. except has or reflect revisions can obligation release order filings expectations, that or forward-looking to Amerant required subsequent statements by makes access the to changes website.

the company's most for earnings Jerry. measures. measure will financial comparable Please also refer company's note over also of and should include its financial turn non-GAAP the certain release, call reconciliation measure. references of presentation today's to You GAAP to that I each press the to to as presentation earnings X now measures, adjusted note a financial financial non-GAAP call Appendix

Jerry Plush

XXXX First join pleased as to new you Call. thank Thank you you, and I'm good Laura, for Earnings CEO. joining Amerant's today Amerant's and Quarter morning,

like I'd Wilson. I to Before Millar to take my moment predecessor, recognize a begin,

for than and listing, He $X branches other more the and oversaw expansion things, spin-off quarter, his On I'd month. release most we're $X through A Amerant in from of billion next COVID and his Thursday following service company. pandemic. Amerant's of like subsequent third the billion spearheaded and XX note, that time to assets Millar you to the to starting XX-year the XX. announce to recently planning tenure, navigated to to Millar growth on course the the earnings Over from the well-deserved among thank another

be have balance more dates focused We have of the October want an the on the several So do for and January and for each would growth to quarter open this July XX each this window week for be also generating and year. completing to XX, primarily to insiders reasons, XX to quarter. time initiatives additional

be objectives I'll that new about today, in our of release. and a initiatives So strategic press number referenced were details providing

about more growth and and that first, our in each have. We more the performance first the detail like But I'd Amerant's are we to achieving one essential and improving growth will performance provide as details. briefly then will Carlos share some these to objectives about quarter, talk

the if pleased in X, prior first quarter quarter. first report to you to you'll our to turn improved see results We're compared quarter So the Slide highlights.

noninterest lower Our XX.X% net and by expenses. up driven income was higher primarily quarter-over-quarter, income

In to costs. X.XX%, slightly provision and addition, in the no from primarily there lower average quarter, the NIM driven was expense improved deposit

share on repurchases program announced our also We show progress B on buyback XX. Class March since the we

funding. lower decrease quarter. They in billion, was to we were in to $X.X million were cost including in down while loans continue deposits PPP the due in decrease deposits higher prepayments, total loans was deposits billion. and CDs The and total brokered $XXX lower driven loans, the as Our slightly were relationship-focused by pursue both $X.X

position all performance right you'll and while see solid higher fronts all this robust coverage. on of to next metrics, So the which profitability, quarter, are the capital in just reflective improvement the steps slide, first moving credit several operating direction. on key maintaining These show a

good the progress on initiatives do, that while a much to more we'll be driving to number into have in showing on results. call, later focused we this underway we outline I continued are quarter. know operating of So it's improvement will And get as

So with I'll to said, Carlos the results call our over that to in for more walk the quarter turn through detail.

Carlos Iafigliola

and joining everyone, Thank for Jerry, today. you, you, thank us

by portfolio. Slide investment discussing to Turning X, I'll our begin

in the the Our quarter first $X.X unchanged the $X.X billion, balance from of was securities down XXXX. previous first from quarter investment quarter and billion

natural mortgage duration towards for For the to X.X risk. our we from increased portion of the to strategy duration years. of XX%, investment continued quarter, prepayment high has recomposition the end the portfolio insulate portfolio this only and extension and Floating overall represents the QX

driven would X. portfolio. In commercial loans quarter. related those with of loan from challenged to forgiveness. across remain due compared We committed $X.X on We by of depressed quarter, due end loan was a originating to to portfolio, Slide the our the economic to total million like production PPP the overview PPP to decline first result $XX approximately continuous during the primarily communities loans down provide pandemic. as quarter, of our of half At loan activity prepayments the coupled fourth quarter. loans, to were in over first prepayments PPP slightly first our were an the The the Moving to inclusive the end by million billion, $XX of loan

Additionally, less SBA. first the the we million loans received principal of of we PPP After forgiven as all outstanding have on quarter. end million $XXX $XXX the this, by

quarter. on, talk about move portfolio wanted to I I signals in see positive some we this loan Before our

consumer across our We continue loan portfolios. to performance owner-occupied and see strong

Specifically, our primarily consumer participation driven quarter-over-quarter, $XX lending. increased by indirect million in approximately loans

continue purchasing NIM future mitigate in loans this indirect efforts to pressures to the high-yield quarters. expect in We

of like The a production assets I Nonperforming assets strong to by loan absence The first X. XX due to X.XX%, credit portfolios. would losses was Amerant ago. loss up basis assets at than during previous was lower million total Slide details maintained increase this the $XX from on was which loan to provision for points downgrades Nonperforming loan In to risk total X.XX%, million, increase a the provide ended quarter. represented year of expenses some Turning a to points for versus driven quarter, allowance prior and quarter million coverage. ratio higher $X.X credit ago. across This commercial X the quarter. loans we the more CRE to year quarter a to and of $XX an quarter-over-quarter basis compared increased and our risk.

entirety highlight, under backed portfolio real only year. is this last or a portfolio in the by loan collateral. X.X% first the XX% of estate the in almost period the our deferral As from forbearance quarter, same down of remained Almost

out we have the payments. the we XXXX. no a loans versus great in of seen which healthy of increase hotels resumed any properties All forbearance, improvement and that to is I mention of under the in portfolio, a have have forbearance efficacy regular would that like longer

focused remains credit managing of on team ensure to Our proactively our strong strong reserve loan status the coverage. quality and

focus increasing efforts customer customer CD Total an to brokered deposits X.X% offset X. X.X% primarily transaction increase Slide Amerant's down deposits, we decrease billion, $X.X accounts. and year-over-year. relationships. cost on CDs due was continued in million quarter-over-quarter decline to lower by quarter-over-quarter partially and down driven customer and The were rates combined in as of $XXX Moving reduction deposits our to aggressively was by million The multi-product CD lower $XXX in

a down to basis first quarter in result, the our one. deposits As XX was previous interest-bearing points of this cost compared

$XX March reached million of of of to $XXX the deposits As quarter. the PPP-related XX, compared million end as previous

the of ago. X%, quarter annualized decay $XX to prior quarter, the decreased compared the million compared X% an the representing deposits Foreign -- on we on had pre to

We are see our really funds. slow a encouraged this decay down of contribution provide to given in foreign to deposit the deposit cost

said international savings [X.XX%] customers to expenses. of continue X.XX%. at their Having cost versus this, fund their to Foreign domestic deposits day-to-day funds is use

deposits of strengthen our and to cross-sell continue We a share customers with and with our efforts and relationships gain wallet. bigger engage international

X. Slide to Turning

first customer overall and average margin flat costs repricing; NIM our to primarily primarily time quarter-over-quarter, deposits deposit a markets; XXXX as quarter was customer lower-than-normal a in margin, on The of production compared the points pressures first up rates CD alleviate average interest-earning year-over-year. basis money production due lower income and result and of quarter was and net by X.XX%, income balances X lending factors: of XXXX lower factors programs. quarter and The net securities, continuous second, decrease relationship partially to and the funds implementing balances $XX These to of loan to customer cost lower to With interest essentially loan high-yield quarter fourth due regards quarter opportunities in loan customer were in seeking First, repricing new the to million, included additional lower the balances floor to interest offset on volumes prepayments; X% to prepayments. X down from due X% primarily year-over-year. was Actions CD. fourth on due and interest

Slide the Moving million, to Noninterest first XX. income quarter-over-quarter up year-over-year. down and quarter XX% XX% was in $XX

the in operations sale the the of the our due on Over loss increase the absence income was noninterest quarter, primarily to of center.

gain quarter. $X.X increased to and advisory brokerage securities income this, noninterest our a Beyond net million on and from activities this total contributed fees higher also

teams contributed Net fees management by and to deepen to didn't million as approximately of wire lowered had transfer share up wallet attract continue X% we reached as an and Main Amerant's up new billion the asset $XX and to income increase, $X year-over-year have end Lending As derivative new year-over-year under of related Program this fees. our March, relationships. the and year-over-year. assets of offset Street XX%

Slide Turning to XX.

lowered of quarter-over-quarter Since or $XX primarily down and implementation have in the quarter in largely included these plans and well by following the is expenses drivers same. in First reduced connection by was FTEs XX% noninterest which staff severance noninterest this plans, last branches. of down year-over-year. expenses the our we the expenses contributing with million, the separation quarter, implemented of severance X% were X%. of expenses Other as benefit and the This the expenses year-over-year quarter-over-quarter X driven The plans. lower closure salary XX factors absence decreases onetime as the

first However, of long-term normal the by FTEs personnel. and incentive frontline primarily compensation Of a equity we hirings, in adopted new of in saw have number in levels an compensation resumed the note, program. driven increase strategic we quarter, bonus

continues of Amerant opportunities the look our to improve structure. cost and create March for efficiencies XXXX, As to

asset-sensitive. be our to to continues the business slide, next Moving

loan of loan of on half our and on securities longer back turn the our capitalizing and of manage implementation manage margins, the we of sensitive year. Jerry. has mature all investment duration. to will end actively rate includes March, and to portfolio. floating I our continue With our this, loans higher-yielding This impact and floor rates had -- mitigating structures, on this As within To portfolio over

Jerry Plush

of some the address Thank immediate focusing initiatives for you, how like and we Amerant I'd long-term are specific Carlos. through positioning are and success to we on. walk

As as long-term you a see handful of on XX, that Slide initiatives growth there for strategy. our are can foundation serve the

drive Our goal is growth. our simple: and sustainable, Improve performance profitable

investors, do members, the the which to interest want we team best this we Importantly, of communities with customers in our operate. and

Amerant it's and long-term a become, clear a will and franchise, and success peer to profitability. is from deposits-first-focused first, banking lifeblood are bank. So from comparisons core needs critical strong the to to of become, experience deposits and deposits me near- and growing that Core our

accounts attract funds, onboarding deposits, have brokered number opportunities banking. our ways high cost of and sources reliance to management management We've including a and and share to core the additional treasury a cost sources. on increase consumer additional treasury better marketing target and in other implementing We and digital gathering focusing adding and build-out funds we markets commercial other drive a reduce business of capabilities; digital to of and and to small the such serve traffic; these achieve in identified our deposits, in-branch force lower enhancing of and sales municipal private platform; as our the

going. these target X our brokered to up to know, will with within XX% increasing quarters. total that targeting not and to of make target be X% please the the our reliance we're on exceed a So of core But next deposits over exceed efforts, keep deposits, so and reduced goal deposits deposits total

ratio focused we're of target XX%. a achieving on Additionally, loan-to-deposit

will focused very be core of these to All accounts. targets, gathering which we deposit all means achieve on

are our accelerate We digital also to transformation. going

able rollout the and Over quarters, We've Salesforce focusing Investments on efforts nCino the the across the to deposit organization past solutions business and and been expect we of on including so lending soon. up our wealth and Mobile. Amerant evaluating in account of number with several we acquisition, digital be ramped our everyone areas, these digital with management, small with introduction to of a update progress

immediate Another Amerant's area of improving is focus brand dramatically awareness.

in presence brand building awareness we growing markets laying these a future both serve, expansion. for foundation communities is the in key strong as So our as well for

happen to we quarters underway efforts need signage pursue to affinity that. Much number relationships will evaluating being as the in promotions and We greater of involvement. awareness just and coming continue Amerant have well. grow community South Florida's that brand, improved and the the of proactive to from we focused us of secret, a and consider outward I from this to can break through best-kept us currently

diligently New to originations management, We and the wealth plan the we in fee to are at time, At of and capabilities future our specialty City. finance same business geographies. we curtailing looking order Additionally, banking treasury our rationalizing opportunities. management, streams grow expand private and in bank's revenue York lines are

on evaluate focusing markets that off our to over real growing in loan the our York note commercial there there, pay production Our minimal grow in to is to look core relationships. XX believe will replace we Please We And markets. New opportunities we well. and deposit to the will in are the XX we next with months, as that. solid office half New City be as opportunities intend portfolio alternatives for York estate location a continuous

come evaluate So our to next we steps there. more as

ways to and, balance why. new This a are of our require the for number quarters. X ratio we drive set at to will XX% course, improve evaluating efficiencies sheet and across in areas. also is everything: what improvement ample We've looking of to opportunity Pricing, business plan. a efficiency next goal composition part our are us There improve spending cost to We the within target as margin of

constantly evaluating to share are the steps buyback intend recent capital now QX underway the to The optimize first to we have. in composition, capital authorized which we we lower to are ways what and also profitable and structure, utilize exploring look that's optimizing come new for and to Class We ways and continuing valuation. do well. of support from just capital evaluating can our that our program that We ways Amerant's capital to continuously we explore the much of cost offer structure to drive currently need appropriately to capital while as be capital. growth in optimize A can intend in lower the and B need how tender cost

a in banks we serve just facing corporate reality as business is come existing very like determine investors, looking Finally, responsibility. so Many to us steps and am are companies as we take. regarding I confident doing business our to Please institutional a we're from see differentiate developing are complete SEC that way. our taking. comment and well quick ESG ESG the and the note, customers now and our as and becoming us what early of and imperative. what More but program, competitors drive evaluation Major all steps communities potential will vendors will actually stages are we the our

you XX-K of February March here CEO became on on when our XX and I we all joined as conclusion, in filed know, team XX. So the

the think won't easier XX-or-so days to work board, it's and since results that So we anything much underway. on There drive have our banking I make in for shareholders. better clear we consider us with isn't to coming

while I to more upcoming experience pricing, increase also and we drive facilities, sharing business service are advance to you We're and detail our committed option look transparency, going calls. strategy. detail as more process every being or lines great providing So levels, on we'll better well-known among shareholders be community-oriented. a tech, and improvement, very whether And promise we to of and forward with providing to explore restructuring, our customer products, returns it's adding others, and for we complementary staffing performance great

to open So would Raquel, the please line, we'd be with that, you happy questions. take

Operator

the Instructions] Michael [Operator Rose Our comes first with line of question from Raymond James.

Michael Rose

side. So you? a just of what maybe the plan more how the on to start are could on expense specifics little do with Jerry, maybe we you bit

voluntary few programs. there's and So obviously, a involuntary been retirement

the first remain about basically going involuntary be able we those had that attrition to stable voluntary the the saw other are of for some as adding get cuts in programs, to level expect piece the some some expect investments at that retirement quarter, revenue further to trying some a be relatively from to you're you those sense additional to quarter. to fund investments of trimming grow should expense we this and expense by business You this benefits cuts? need Just and able Would which to talked and cost that with areas? of FTEs funded in

Jerry Plush

issue, say, Look, see, I Amerant folks, will more the One staff referenced, folks The at as bigger going additions adding additions customer-facing Yes. from more we doing, he could looking area. would on is along as for who's adds bringing add but for think guidance, sales in on second we're that we you treasury question. are thing that can be great And perspective profitable the we're the well. referenced will just to be to and quarter, the also way. my which remarks, really our looking in timing made, give around Mortgage on this probably to I to additional evaluate going we're growth will the in go as Carlos up expenses, those anyone I that organization, our we wealth plus

from given it that from those sure of we're Now is do how continue each And another every again, issue to think executive looking a but revenue-producing how way today. really area. every number a to possible. we're going That's are we we plan will as rationalize and it to make need as the of retirement to, perspective look, do on span it? we that we functions, That's at that we the do pay do many that of get in and things what is many people is, looking relates layer as for we absolutely customer-facing, we one area, not folks to sure the an making

so that. And every ways we'll as offset line expense at to single look

Michael Rose

And really then I to loan-to-deposit That's the Okay. commentary down on heard of sheet, mid-XXs. kind helpful. bringing balance the the the about just ratio

I other that. portfolio, to seen banks we've the begin look many at As securities grow

is years. duration around Your X.X

just sensitivity you the that from increase With of sense for the size going base trying some portfolio, sheet the lower-for-longer expectation, card? of what's the be kind do a a off be to the table the to move environment, deposit take that's assuming security to rate we balance you of grow and here, the get the as investment Just as maybe could would of on in side. size given the what forward

Jerry Plush

footprint. Yes. first call continuing I'm here. say deposits-first generate be is not in going going got mentioned, people that, I our good what is We've a I loans. while to we're awareness. focused again, to think only equally certainly brand on foremost, really to lot it of I've I've we And said said on are a and organization, as And the

provide support I think around to we need them. just more

awareness think And we've some people we're business in the I've active, great wanting seen with be I do we're that to in going to that the so out, here, raising I been time us. say would interest

should good would I expect so some And that see growth. loan we

not commercial real So -- the and in side. in estate, but C&I and just on business frankly,

should I there take that's you into think account. something -- I think So

terrific portfolio, I you your with liability paid growth obviously, need think asset deposit would right, speaking, generally to portfolio for and tool. get for rate loan managing is organic risk. the manage I and you way that certain risk. for that But is of growth. areas organic the securities just interest asset rate It's mix, size a And supplement we an for, securities what liability say, Regarding the

to for at that whether So a first did specifically this think quarter portfolio. candid. wise. in We're stage, an you'll We at portfolio not sizable ways bit that that continuing the further of grow continuously resulted positioning gain. ways think little fairly conversations I in it's looking restructure we optimization to if the to look I to about anything, be or portfolio have optimize a And us

Carlos Iafigliola

complement. It to be stable. fairly be should should It

gather little increase the size there the way deposits, be of As balance should potentially in more sheet. to sizable we pretty for a bit. the But it's long a term,

in So it be the dropping. term, long should

Michael Rose

helpful. the Very a really finally me, And have on credit Okay. stout just front, guys for maybe you reserve.

would ex just as at sight provision quarters no the see, think material any you row. kind quarters? you couple I seem end Any expect PPP of a we line given It have today. that the where quarter, think move you the based of to reserve loans like I really on you of next X% calculate, and to doesn't would coverage almost X reason kind what of provisions over of stand and

Jerry Plush

Yes.

great put to to up composition as I on the over of it's depend allowance, it to will Clearly, add to parts we what the several as production think the quarters, loan we production free need question. books. the see we'll to get to either that allowance going intend production loan opportunities on or next offset the the by the and of

just it's I if that to the of But But it so will way, sopped head that speak, release. there, looking you'll not would think growth you by would level in as I at that, feel that's group. of of benefit the going excess And be of of that up, or, several excuse a for do either any my level with one, we have problem. where provisioning, on significant really the by now. it growth any of level development we I'm the the that to to opposed course, tell large again, allowance quarters, really, over the or some I see is -- the next of up So right terms eating think me, business type get I confident say of

and the quarters. we portfolio, will opportunities a growth expect basically and in between -- coming will need get there's to be freed that offset why for can a it we there think say us be against I of on parts the up but reserve swap certain

Carlos Iafigliola

to we that important total the Michael, $XX is provision. about out COVID loss institutional in loan keep side of reserve, related that created to the million, of mention we also that

growth. into be for taking It Jerry's potential on. so helpful be to potential could reallocated account So any growth comments, and that should

Operator

next KBW. the of line question Our comes with Brady from Gailey

Brady Gailey

to XX% get there. efficiency to I with there's wanted I goal. start the So bigger ways mean, ratio picture, X

expenses revenue. or that ratio And that can You efficiency sure you both. grow get be down? of can I'm you'll opportunity there side think But real you at cut is equation is looking to that X the

Jerry Plush

the margin. for at Yes. one more will expect rationalization. NIM it to would do Mortgage, dollars going will that to deposit expect that that lot start so I note, producing have justification that being go-forward net mean, Brady. the question, hand, help, quarter for venture side optimize also got then important be able is it's right, share investment structure, spent. us relates really that -- in cost right? that where Thanks I put I'd be on out to that QX, and But to and side, that initiatives we've But we so start Yes, think think on widening So all a portfolio mortgage as into for I production, I a producing QX. opportunity also Amerant that we to full we're looking interest that on to optimize also the undertaking us would we're of avoiding right? no Q dollar the have every to you have from to you the of to have I And as on real have there's return to back we expand both the fee we're the helpful. the standpoint the launch a your about would top expense basis, think in growth of on

hand, to other we looking the to drive be revenue. On more work more are to dollars to going put

come. on turn said, quarters in the you rock. more everything. obviously, And all absolutely every table. clarity that, we're give to we'll We're at looking I the guys going as So to on It's over

Brady Gailey

that's understand market we plan think obviously the I All wanted your right. York. And that all to New then Florida. core for a is Houston mean, ask I I not market. But about also

presence So Houston, any Texas? thoughts your in on

Jerry Plush

for difference big the We Texas just what think think highly We franchise here. resources there. Yes, is on the it's the said, actually I I to redeploy you focused focus deposit-gathering enormous right would on But now, Look, opportunities, core a us. that is and see opportunity. as we're market there's competitive. is opportunities tell that more we

consider to of actually So even first the loan do in wealth on of please there's Houston marketplace, side. sort both deposit that opportunity I opportunities we're step. would And and expand our side. see But lot know, that on the expand we that a there to evaluating more the

Carlos Iafigliola

million complement To depository vehicle Texas that to It's balanced is York. side. mention $XXX means with any important Jerry, answer, New the your more almost or and in on jurisdiction by a not $X billion the portfolio loan

balanced. it's So more

Brady Gailey

ROA. question the might at been profitability look to point Jerry. XX next to you place. Amerant, with outside of XX answer this basis over then year when want All all yet, were But a right. of But things had COVID, not the last where you kind And running Amerant of

a could profile it? hear what of terms look to But term, longer at look about. here, the however you of at ROA like great profitability is idea, to any think lot have which or Amerant want You in ROE initiatives or you

Jerry Plush

or at need and X% Yes. on greater ROA I greater respond be we on saying to ROE. or would by XX%

is to objective top be performer. Our a

numbers this achieve on organization. build And the focused that. those brick, getting am We of we team brick I with by to type that clearly to we I so But have with to speak. can think that have here,

Brady Gailey

your plan about hear to here. great It's Great. Okay.

Jerry Plush

the questions. Appreciate you. Thank

Operator

Sandler. comes Piper of question next from the Scouten Your line with Stephen

Stephen Scouten

about you book I could case, XX% loan repricing same thinking how New in if of size talked XX next over us you City of think months, York loan I'm of to book about what kind to the about loans. maturing or you're that York is City that remind XX New today, of if maybe time? curious growth CRE over duration And that the the there was

potential runoff of there. So the just size trying to think about

Jerry Plush

Yes. about million It's a in deposits. million $XXX-or-so associated $XX with prebook

you as to state we'd said we portfolio months, of what well XX to maturity. terms to half XX of think expect about In that's the the was start mature,

and So of happen. if customers, come competition sure into people lots solicit there's and obviously, which will -- of I'm some those

shape Our here be runoff our see that if Houston York. happens to continue that chatting markets I -- we're producers continued is New revenue any to in have growth, in type add we say we we'll currently here, for also I -- add great with, the replacing view in we think to in and out that that be of if opportunity easily

Stephen Scouten

Okay. Great. the consumer And thinking maybe briefly. growth loan about

I XX% long-term maybe if relationships? maybe the were there. it's have are close another new max know adding as guys you relationship the well? you But average then remind but any production you that there new and you us there, -- yield to can you did would SoFi, primarily think be think on said I

Carlos Iafigliola

end that for Stephen, going? On -- the been, most It part, has it how's SoFi.

closer $XXX been evaluating We potentially X.X%, it or more close other be yield, point, sources, at tends or so roughly have strongest the we has more And Effective, but the the it's this to this portfolio. million to XX% far. in to that one less. less. are Contractual,

most the for SoFi it's part. So

Stephen Scouten

you so relative coming yields coming blended Good. yield and have that, production X.X%. on near a And that's those at maybe what's average on do -- your total where to that's your kind And of along anything yields? been with for like

Carlos Iafigliola

basis. portion less the of X.X% blended the or more on one for is production. marginal The the coming not between the this biggest X.XX% to rate is U.S. So a

Stephen Scouten

Great. Great.

And thing just maybe me. Okay. then for last

guess, some I I about and capital look talked well in capital. what optimizing just the ratio? target know the there you if could as about is Jerry, I months? more a What wondering that, does you give of lowering could don't you you on But talked You XX for look here -- term? capital. potentially cost competition I to near mean, talked like that the X color in know, next, like

Jerry Plush

make also with at to can obviously to even year that I that buyback improvement execute lower in now announcements market pricing good. planning sources. as call getting are sense we conditions we to of basis grow, as for in are able -- -- that best some Obviously, structure and a take sources seeing look will the -- think we'll continue we and on advantage right it we to last right continue was look think the Stephen, the we too Yes, cost others But of be as what buybacks seeing places, thought in that we'll terms continued pricing on but Clearly, program. daily as excellent. evaluate capital the does to we're we you're profitability as lower replacement cost or show now. we these much of We're

So try that what be would we'd like do. and to

Operator

Okay. Great. and the Great. And made. initiatives the congrats you've progress on

Jerry Plush

Appreciate you. it. Thank

Operator

for the questions. remarks. further Mr. are yours Plush, is floor no There any closing

Jerry Plush

everyone Hope for Thank higher-performing a you And to thank at say progress day. earnings about Take you, Amerant. first bank. on to quarter care. future want Raquel. we We're everyone forward joining really excited toward to a I just becoming look updating our call. has conference great our here the you

Operator

gentlemen. ladies you, call. and concludes today's Thank you for conference Thank participating. This

now may disconnect. You

Amerant Bancorp (AMTB) 1 May 212021 Q1 Earnings call transcript