Connie. you, Thank
economic strong a per in a increase of our during and had we quarter support PUC’s positive production in at costs versus the sale to impacted those our $X.XX share bank, an by results did increased local on remains line offset and giving second grant At the look XX-month deferral year year higher ROE related versus last the was Consolidated our healthy due which basis, ROE, to COVID-XX. in and were at for plan, than points holding the treatment Consolidated provision. utility, At quarter on expenses to Utility COVID. were quarter down year. helped the trailing gain impacts charitable expenses of rather Bank time mortgage with X.X%. see well margins impact. securities and the tighter lending the Slide while quarter, and At earnings company, XX from annualized management an for basis the on COVID-XX Turning XX-month we a slight X. increase acceleration, X% of timing same same community $X.XX to ROE to X.X%. a of last due organizations an last
to first lower expense staffing $XX.X quarter over the largely the regulatory year, from in cost earnings a net Earnings due by work reductions. – in higher reflecting, strengthen under XXXX million or the to related The million targeted and in next and integrate income returned recovery incentives revenue to MPIR and customer customers; renewable performance overhauls million million be savings variance and of rates. later fewer million higher depreciation million from defer were million million progress; for maintenance of to some maintenance be items: and These O&M unfavorable primarily in due modernization of same that associated ERP reliability system Loch and of higher and The an PUC process $XX.X to were will more XXXX due work slide. adjustment used the generating cost following approximately reduced improve the allowance in work debt Utility increasing million work of COVID-XX-related lower asset million reflected year labor variance lower a improvements and of to West the and long-duration during investments lower slightly $X levels were are of overhauls, $X there savings tax overhauls, next less a station implementation part, represented time. drivers maintenance projects $X quarter to significant items the $X offset million grid project lower performed compared $X after to projects debt generation as energy, Turning interest this from $X and timing system to $X $X higher unit operations we expenses, with year. to bad as construction related approval revenues to $X increase $X for most at million due lower due fewer to and expenses last also refinancings construction were reliability as funds the to costs were reclassification the RAM efficiency. as $X mechanism. station due generating these expense lower to million result
reclassified Commission Turning similar change Electric’s X.X% rates. and in to in case our PUC to issued capitalization. the consumer The strategy equity and the confirming Separately, of X.X% expenses settlement quarter order if remainder capitalization pretax the final a the offset efficiency and rate operational expenses reductions the we COVID-related should March debt greater of a COVID million have base will lack quarter, in help of related date. in $X.X to been future. year-end. covers asset. – incurred first The request performance utility’s decision for drivers approves Public our ROE we utility’s XX% the with for the equity application increases. Oahu, base its Island $X.X see PUC such of for regulatory to Hawaii cost with base for financial filed ROE the of XX% recovery of In advocate bad incurred the expense A rate increase no Utility, Hawaii the no the year, Utility second to to with and a the multiyear deferral Hawaiian separate rates million approving XX from should costs amount outcome, allowed be Electric allowed costs in
forecast $XX second and quarter for we impacts. decreases utility average the qualify to forecast may customers. in COVID the in last the we for million significantly have $XX under up the pandemic confidence After risk-sharing bill XX% year potential Although per the of indicated been for as year. close $XXX sales prices CapEx since quarter, by fuel Slide you down to recall, COVID this approximately mechanism to given both – The we Substantial the during the XX, were month XX.X% On of decoupling were Last XXXX. Steel achieving in began. versus monthly have $XXX the the not impacted. million fuel potential rewards prices were the below revenues, well. full in cost over quarter utility a quarter, environment, down for due we million customer to the year, positive continue may forecast we declined and
rate longer-term average In still to or We’re CapEx CapEx expect to our XXXX approximately XXXX and maintaining million guidance. depreciation. we per year base Xx period, $XXX about
know, some on chart bottom spend with the you updates chart the left updates. of overall As sometimes change bar guidance projects, don’t timing capital And the project in the the shift between Those reflects a modest years. top specific at left. our can
self-fund utility expect to to via XXXX to debt access forecasted and its to continue the the earnings capital through able markets. be retained We CapEx
bank. in $XX.X given same million quarter in to to to last from income net American’s The the in yields well Net million interest for mortgage-backed the XXXX. investment asset for decrease million, $XX.X in and Higher prior interest $X additional Turning as unfunded the provision year. credit income million compared the was due down quarter as took a impacted Net income the $XX higher COVID securities second amortization reserves $XX.X related was $X was commitments. environment. an the of million yield. lower within and also quarter to lower linked the primarily quarter $XX million million additional $XX.X was million also rate quarter. in premiums impacted an the portfolio portfolio of ASB by
These There gain yield noninterest and unable payout of expense. sale shares working employees, while sanitation promote higher of $X.X business income X.XX% and through expenses, the by X.XX% volatility of declined we additional supplies Class securities securities excess as pandemic, gain million positions purchases small incurred We net support expenses. reduce our investment to of income margin positively risk COVID-related in and travel, safety on to business restricted side, frontline American in use restaurants. to in consisting – net legacy additional ASB’s interest expenses lower $X.X the quarter offset quarter. Visa vacation and for employees from within the portfolio. million income. meals realized sales the this to investment and B vacation pay XX, expenses net on related COVID-related $X.X the million of purchased credit largely the sale and noninterest contributed employee and to were employee On COVID-related were some to development savings first gains days PPE Slide marketing to of sold On
On rates decline. decline. the and floating detailed environment of XX reflected right, anticipated points elements loans. driver of a of at to prepayments rate adjustable PPP we’ve of the the long that accounted basis low-yielding our XX points was FAS rate compression, also portfolio. XX margin the compression. upper was of most Much this to related of factor, lower a in the the X due large of for rate of was amortization lower repricing points The basis basis comprising This faster interest reflecting the curve. net end largest interest QX of
the realized stimulus to strong unemployment and deposit growth deposit federal also We from balances. benefits cash that added
liquidity our bolstering – temporary While the these is temporary pressured liquidity low-yielding base, margins. and low-cost funding and excess
basis we contributed margin. points deposit realize As costs, benefit lower net noted, to X interest did from which
drivers the Turning for to the of remainder bank year.
type floors. our fixed customers don’t or refinancing its compressed – variable take rate now near our variable continued as pace do the of X We impacted have such XX% of those mortgages, loan historically portfolio to repriced the part In expect Fed than have in compression. at to near pressure, variable low by continued of and Thus, March. that repricing compression NIM impacted loan is margin tied book further which the are portfolio, rate quarter. rates be benchmark to expect NIM rate quickly more but our quarter, materially are loans This in we repriced at We second as rates. indices their second lowered rate of Approximately a more moderate gradual. advantage home after materially expect as of
portfolio investment Aside net we amortization from continue in the margin. increased continued to low interest to impact expect rates, interest
of of that or or how NIM, expected discount bond’s and purchased the we for cash the investment bonds the reminder flows. premium As over at impacts a life a that premium discount, is portfolio amortized
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to to levels pressure excess expect We similar realized well. quarter this continue to at margins as liquidity those
now interest Given range expect net we to year. X.XX% the these margin in factors, be X.XX% to for the
provision. the to Turning
did – to quarter was which our on recognized we provision have The million our reflected mentioned, also to unfunded million quarter further related statement, in $XX.X As COVID-XX. as income during provision total related in commitments. additional the an included $X.X allowance the
for the losses. provided the uncertain. on outlook appropriately unfunded other as on at which are rather slide, dependent credit the noted in approximately XX. credit – we believe reserves the June commitments recorded losses future we of the is balance As on have point provision for for have We sheet for this liabilities year of than conditions, The balance economic remain the allowance
our providing qualifying currently with in by the portfolio. Overall, given of our X% for remains far. borrowers not book are created XX we’re loan on COVID-XX guidance We healthy the on Slide only of a that thus provides economy. or impacts requesting what high-quality we seeing update an additional bank uncertainty loan have our year provision full deferral
the comprises consumer portion that portfolio, loans, book portfolio, overall a of XX% seen have which In over portfolio remains XX%. requested approximately up the X% loan-to-value and at X%, small that high-volume of of balances. loan but low a payment of relief. residential of conservative at deferment Only just Our make the roughly request we’ve portfolio,
benefits unemployment supplemental result happens of curtailment what additional in monitoring closely federal could with deferment requests, increased While stimulus. we’re
payment be is after reevaluated with those upgrade subject resumption meaning special to enhanced mention, that to are loans for called These will monitoring. CRE payments. of and markets deferrals commercial all moved have We successful what loans
over June healthy are liquidity billion and of we we of monitoring capital unencumbered despite well X well-capitalized bank Tier challenging with enhanced strong markets has above the to XX. the a and ASB combination condition. of ample of the for our implemented comfortably ASB’s economic the end overall commercial ratios quality as was loan of second Given loans as from liquidity and as the at we the maintain available feel continues securities. X.X% FHLB The have levels $X provisioned leverage CRE book, quarter. well ratio
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our consolidated to Turning liquidity.
are We the positioned and COVID of impacts the to beyond. well the withstand through year of remainder
As $XXX commercial the of million undrawn $XX of at XXXX. the credit until utility company million all company. XX, holding had capacity, facility June no off outstanding, in with it we just in maturities consisting debt and $XX.X of July at with other when long-term at $XXX in The the paid long-term million paper million debt holding $XXX matured utility million
as million In planning fund and we June bank it our we At consistent maturities. its investment to in On $XX to capital in cash half from million – dividend expects help that programs COVID-XX. with $XX equity company, program. perform liquidity XXXX, loan markets to $XX capital utility the to debt the in we adequate of XX, has has by the maturing projections XXXX, earlier customers the short-term and of loan support holding access our currently first line in the balances. $XX utility with As are maturity had receivable the those expect requirements to million retained continues and be in utility XX, for million an refinancing Slide are impacted balances investment unrestricted account from options the for term investment short-term have debt bank long-term the customer support and plan its in and growth sufficient payment to and earnings capital
is ASB from Board are quarterly capital approved $X.XX sufficient our $X.XX date pre-COVID annualized dividend lower share. than our per bank per of maintain at structure and share to the HEI’s an On received dividend rate liquidity. Tuesday, strong dividends the of Although outlook, consolidated to
We’ve this key be additional the the expect our for equity now you’ll range. includes expect expect $XX guidance, the range resulting see to the pre-provision compared for time. expect dividend growth and within not We the end Slide we’re We interest of At expense guidance we growth do at And need the talked mid-single-digit our guidance forecasted. the bank. and to to through utility, low earning continuing noninterest maintain utility external net reaffirming on the year. drivers low for to our At we and to $XXX from and which asset noninterest are pretax to income bank, provide the million to mid-single-digit income income, million. previously range XX,
current low range. to in margin excess environment interest we liquidity, and expect interest the X.XX% Given rate X.XX% the
remarks. this Our holding company to early guidance at to at bank EPS is her consolidated $X.XX I’ll time. unable determine provision, too unchanged it is to now $X.XX closing turn still to loss. guidance provide Since we’re it back Connie for
