by estate for Hawaii’s the September economic year-to-date fundamentals remain for remains the economy at maintained continued up and Hawaii’s first Overall, single-family in quarters declined Median with year. the is year rate and through from GDP compared positive. to rise nation’s and last Connie. X.X% real estate same-period X.X% healthy outlook X.X% for Hawaii homes state’s has the of below arrivals September, has rates with X.X% visitor and sound, condos. prices X.X% unemployment X.X% the X.X% expenditures in Hawaii grow. for lowest condos. while Oahu national expected prior the Tourism sales of single-family X.X% homes three rise, to shown XXXX, Thanks, continues X.X%. up significantly volumes one to increases to and of strength, continued remains on
as our to X. Turning Slide financial on results shown
in X.X% net over Earnings Current, the holding grew $X.XX the for was the for were HEI’s enterprise. translated is included GAAP quarter operating $X.XX in last months ROE and both from growth some share, Third from strategy. utility cash net other the XXXX, EPS Pacific compared X% and XX.X% in income new holding the X, to XX results flat, of other to segment, company third our contributed and share of with X% income quarter capital Slide solid positively the company with company On and earnings our the of contributions has period, and bank, per given increased flow and segment structure to performance per the across year-to-date efficient while which holding utility X.X%, offsetting the investment consolidated expenses and bank. the at growth. into – the
tax X.X% quarter X.X% recorded last ROE XX strengthened core Excluding approximately the for reform of versus the XXXX, basis in fourth to consolidated points XX one-time for HEI’s impacts XXXX. months the of
September a Maui XX the X.X new case one-month period triennial utility; of Hawaiian over of increases new at for Electric. rate full ROE at to a reflects This rates rate Light; after includes utility LTM at back base rates ongoing no and months of rates Hawaii our largest for Electric Our six years. transition just cycle new Electric, XXXX months the
rest rates continuation year. We from expect benefit of to the through these the of new the
under last year. of for on noted of to With Generation in into MPIR of investment the mechanism, limited goes the X project service. Schofield the following beginning investment full amount quarter, recovery the the recovery investment the half the of this Station – plant As roughly is January the year
interim was and XXX million earning as Electric’s relief for months cases and approximately continued primarily year Our Generation Slide reform, yield X, last on grew bank’s Station; by to year difference from rate period, acceleration RAM the XX-month net from higher XXXX bank XXXX ROE adjustments, the the strengthening interest representing funding the O&M contribution which points revenue test compared case of reform XXXX, based the quarter costs rate tax and projections. pension claims, revenues earnings net by accrual low-cost On filing $XX.X in last to now the workers’ These underground case; Maui cost from and million have XXXX due actual for follows: and $X million from the the expense of the assets. driven XXXX MPIR final tax tax the million operation basis Light XX as and from Year-to-date, the interim higher test related $X XXXX. deductions third of customers. allowance most renewable reset were $X compared million in approximately revenue to third Electric tax part million the $X compensation Hawaii quarter tax year $X been pension income savings. higher XXXX test of were rates funds $XX along between XXXX requirement compared improve from third drivers higher million system primarily requirement reduction to Electric rate construction higher significant more interest net and partially Schofield The Hawaiian revenues, favorable of million used net higher in income, actual and in increased borrowing. quarter also benefits reform relief The to XXXX the for efficiency, on generating difference repair primarily during million higher amounts and lower tax from $X expenses between circuit as tax offset maintenance energy higher increasing savings reform, reduction XXXX as $XX.X and income tax of tax year-end the of the our into due higher and to $X return, of due for largely $X than million to the work, XXXX, unplanned, integrate were rate to utility station the the the was tax to the the expense well million reliability decisions passed investments depreciation year;
of $XX.X the than net income driven $X.X non-interest achieved the the linked-quarter reaching expense, on provision the to reserves quarter loan the higher second million, loan from expense lower for growth of by expense higher the million interest interest Turning loan American reserves losses strong and to on for higher loan the Compared linked-quarter, and to net for than earning to the loan mainly of growth driven life loss of insurance XXXX. third growth, $X.X loss offset bank quarter for the to provision yields Slide $X.X lower due $X.X XX, from or bank-owned consumer and – increase higher partially and Compared another third million lower higher income loan loan XXXX was for assets, by was consumer income which due reserves was primarily rate, that offset higher income million tax million by portfolio. portfolio. higher increased federal the tax quarter income additional XXXX, higher net net additional the income primarily higher
Our quarter. the years. profitable, loan higher past the despite for expansion few relatively remains new over added higher portfolio the is This margin solidly consumer strategy portfolio provision a
reduce to the its operational additional As and to parameters adding are adjust we seasons, charge-offs. portfolio continue elements consumer net
point X.XX% basis the quarter assets on a at points basis our and Turning high-end and with the was the and the of quarter profitability on basis threshold of for quarter, higher XX, return X.X%. the our We XXX XXX for year. of for linked-quarter net third American’s of return an third continued high-end margin in X.XX% the year-to-date. was Net for achieved on Net interest X.X% quarter increased to continued margin assets at – increase to XXX return guidance interest than X.XX% – Slide the and our points range interest the quarter strong solid assets second exceeding XXXX margin.
XX, high-performing Our earning interest-earning funded asset American’s peers. on margin and margin continues in to higher Slide On in interest deposit low-cost perform portfolios. Hawaii-based yield that continued and against our reflects well investment growth net assets loan the growth
rate maintained Our from over interest-earning asset rising benefit points X banking. linked-quarter basis our X.XX%. continue to and interest environment low-cost in disciplined the our focus the our funding yield increased and on We relationship approach, to
just the grew September X.X% XX, interest-earning the linked-quarter XX, or net assets XXXX discussed linked-quarter, Our by well X on cost funds points slide. of million, in Total above of loans and $XX the by increased to On from the compared was December below consumer basis in XX driven lines X% portfolios. home peers. points quarter, equity approximately Slide on commercial higher XXXX, mainly credit, of XX, growth and primarily income loan by basis interest our annualized as driven by the yields
single-digit our target target for our to to to earning-asset low see expect the year. We – meet mid of growth
repurchase into agreements deposit accounts. increased deposits in million including XXXX, September $XXX by December were $XXX that XX, of X.X% or As XX, annualized approximately from million, transferred
losses remains our very loan residential stable portfolios for commercial with credit Hawaii Hawaiian Excluding was percentage credit of compared held of offset due The Provision losses of X.XX%, and the deposit compared X.XX% receivable in loans reserves due growth loan and investment healthy X.XX% real other portfolio, X.X% for economic the linked-quarter improving quarter. for XX, are linked-quarter. $XX economic Slide X.XX% of quality for end release at risk to X.XX% was the credit outstanding by remains such sound our portfolios. of the Non-accrual the year’s at portfolio trends. to total strong – to in as and consumer management and Allowance loans reflected the to loan environment. quality prudent improved in of On million annualized. commercial transfers, prior quarter-end, quality additional the a partially loans reserves was estate
deposit million paid which peer peers. the points remains third of of consumer asset net XX our profitable. as the increased and the XX American peer HEI side Our loan our was third relative at core shown by $XX funding with for compared of funded to ratio to than attractive of over the basis banks the Slide basis right driven and XXX% quarter solidly prior XX%. $XX XX portfolio, period. the aggregate basis mix and million $XX funds year-to-date, third year-to-date our mentioned, also the versus XX% to deposits average our low-cost XX In lower increase loan median. total American’s in cost remains by increased in to dividends quarter, linked-quarter, on was quarter, points previously charge-off in a portfolio the points million
at capitalized common tangible of September asset ratio the total ratio and leverage tangible XX.X%. with While of to remaining of XX, equity ratio X.X% well a X.X%, capital
$XX to due depreciation fourth on enabled X% XXXX to X% also calendar base, service look year, quarter revised and of offset of tax previously. that an we to thus increase growth the forecast benefit to rate for period. in to million which is to provided additional an tax we’ve clarification us which our during taxes, base to the the deferred from XXXX X% and X% utility rate cash deductions increased from bonus rules, in of reform As is assets This flow a placed
quarter’s $XXX forecast remains as CapEx last on at million, discussed XXXX call. utility Our
was completed recovery project. cost As go-live mentioned as cap October X our within ERP of earlier, the the successful for planned SAP system and the on
Turning Slide XX. to
of per reaffirming per share, of XXXX guidance guiding consolidated of utility are $X lower-end the HEI’s the to $X.XX $X.XX range share. earnings while We towards $X.XX to
have customer our rate the MPIR savings benefits XXXX lower not X% the for costs, the material first and utility’s of case Due recovery method of Schofield revenues costs. due headwinds utility utility revising average base year our month, part to were live combined from from to of rate increase year to and adequately lower the that revenues unplanned expenses O&M offset one-time project in that resourcing our over to been we at are savings ERP we the service those additional XXXX While while achieved last course went during higher the over X% previously. one-time sufficient settlements,
to of are high-end range $X.XX to of range portfolio, at with bank – to X.X%, higher-end loan at remains the interest million due the our to consumer X.X% of is million to per the margin high-end guidance Net range to of We to be of the due consumer the of share. which the expected $XX $X.XX earnings also provision profitable. guiding $XX
we to do Current platform expect earnings, As indicated now the for quarter, make year we Pacific last XXXX start-up not given will team. and meaningfully contribute to build as remarks. we her closing costs Connie the
