Thanks, Phil morning good everyone. and
and years months the ahead. how will you with am forward a we I I to and on with chance many to you be reiterate While working of meet happy have look we at like call, would to Fulton here to chat and on the I
otherwise diluted our noted I will net Phil earnings, be on XXXX. this to were the $X.XX fourth quarterly $XX.X Slide earnings unless per of the on comparisons are income discussing of noted quarter share as turning Starting X, with Now quarter million.
each of now So our some provide earnings the into to components I deeper and additional am bit of dive a going color.
interest quarter, Slide million, which our X, our an exceeded $XXX to Moving income internal $X.X million net was linked expectations. increase of
than all generating those growth to quarter working less in expectations. calendar has know, of net income against Despite factors by growth a were first produce typically to we the As a days seasonality. margin linked able our many due slower headwinds, quarter couple net you interest and interest higher banks, X
for tax margin for also related to absorbing to tax of loans points quarter, yields of our a margin interest quarter the Last the X rate using despite and by to margin. X net margins expand occurred time. decline interest points. basis rate for negative presentation are positive this the equivalent this change our quarter first basis that drive investments XX% a to this the for hit to indicated X.XX% marginal certain in we two There net Our net principle and first result had reasons tax will principal likely interest X
remain internal our expectations X interest-bearing quarter first below points. liabilities betas deposit increased our First, the basis for of only cost as
half in of periods seen for increase. have our betas quarter that the expectation deposit is competition future We likely and pickup will back deposit the
which balance interest approximately reduced our we quarter account investments fourth and that. higher Second, quarter quarter maintain was and turn to XXXX ebb for those peak net by down linked in a quarter late of XXXX, balances as the ran in then driven the the improvement into year in in trend deposit the and reduction inflows and occur our typically to fourth tends $XXX first quarters first each the muni of million. margin liquidity This in as short-term third
and in So by XX% interest-earning just these asset interest sheet of Average million the average decline. earning loan runoff rate. of total, the in our With to recap everyone net yields, which costs. quarter. the of increased decrease increase XX% to assets balances, loans short-term increase portfolio points remind or that also funding and variable, to in deposit balance accounted average I the in discussed. basis sensitive were our higher is respect in items, our million or approximately by a million as adjustable XX% $XXX fixed this over I $XXX investments X decrease is asset average for they offset X% our Municipal $XXX point million first remains margin half in off impact is $XXX basis deposits only reflected interest XX outpaced the want increased driven
increased decline or million was point-to-point in to giving deposit the as shift decline, On deposit In at $XXX addition, $XXX our after in Fed $XXX our of to some less short-term Funds this was million of average Offsetting customer runoff. short-term grew Municipal promissory runoff decrease to category short-term behavior this to purchased. a a borrowings million change $XXX deposits balance lieu product. primarily contributed balance customer this due than the the of promissory in to consideration our use million $XXX notes decline million. ending basis,
points. relevant in provision XXXX to losses million non-performing were the our The of charge-offs XXXX. credit X.XX% average the as $X and X.XX% Annualized credit of lower we XX the total basis for nonperforming the unchanged to decrease first than were points first was ago. loans allowance year total was million unchanged loans basis remained quarter for net which points or loans XX credit X, in based rate fourth end at XXXX factors, of basis the basis to X improve to quarter loans a a compared the coverage Ending linked credit valuation on million. to from Nonperforming the the provision a year quality XXXX the loans full quarter quarter of end XXX%. for loans at of basis of on for X.XX% losses and essentially quarter for as to year. also points Slide The points. ending fourth all points as allowance a $XXX continued recorded linked quarter rate quarter, a of loans compared quarter at XX XX year points quarter, year unchanged XX basis now first is percent a charge-off Turning from at the basis as the end of Delinquencies XXX percent net to at $X.X
Moving non-interest of to excluding Slide X, gains quarter. linked was our the for $XX.X quarter $X.X million, million a decrease securities income
fourth a the XXXX, of As we litigation. the of a quarter reminder recognized gain settlement million on in $X.X
the for seasonality. over decrease first $XX,XXX the should and to season Excluding X%. to linked occurred recent loan would increase $X.X interest and year declines The only the gains in outcome. also million due principle slower given holiday plus gains meaningful this post and swap We not little our quarter was declined securities a tied repositioning this an securities $X.X million were quarter or growth are sale also card loans commercial anticipate of million the expected in quarter item, of near-term. was any SBA revenues $X fees in on portfolio Debit of gains we rates, we that last and were note that $XXX,XXX
quarter. X, expenses of Slide $X.X million, first in the a $XXX.X to were Moving decrease million non-interest
attributed and credit these and bump $X.X in and the accumulated this lower $XXX,XXX for was in at $X.X to million Salaries the the quarter million. accounted Excluding a taxes payroll million expense net insurance reset expense. and write-off was technology reported we to this seasonal Other benefits $X.X offsetting of and for costs, expenses of fourth year of amortization investments expenses taxes of in increased a of other our FICA charge expense $X.X of occupancy a million. Partially million increase of of largely $X.X of year. in expense the were increase certain tax last FDIC – increases state fees a decrease seasonal in due the increases beginning non-interest professional
The XXXX. X recognized closures $X.X $XXX,XXX quarter to payback First $XXX,XXX is of or consolidation expenses to of in quarter little annual This of a in year. addition our was included also from less four related than these expected the a fourth million the approximately reduction of branches. expense
opportunities streamline million to manage reporting due our We to to to $XX.X Income expense also quarter tax tax and decreased $XX fourth continue overall value branch will further network the million of quarter a expenses. primarily linked charge.
As applying the re-measurement was a the is federal deferred established rate year. new corporate last tax in XX% law. assets of of December federal It charge for this tax reminder of reform tax tax by enacted
quarter our For was first with XX.X%, our of rate guidance. tax XXXX, in effective line
If you the capital X Slide clicking past and are on, over five our profitability quarters. displays levels
we see summary both assets In presented. the periods our average on for on and Slide to in a of included tangible terms year. XX We equities the increases continue conclusion, outlook returns over the have on
quarter. outlook this since We have changes to made last two
positive which that going not we actual target were original to funds be an X are was basis where increase basis reasons this basis quarter points. results net up of points, of X revision the the you today, plus two points The we anything of feels points from upper the to range First, are deposit like guidance guidance. our prior expected to than basis revised net we note and end annual we the have with increase our on in already Based betas X guidance our into guidance margin forward. loan margin better of but shared the heading, XX fed interest factored first heavily interest for impact increased XXXX to March assumed
of our point guidance hikes remainder and basis XX the December. rate in For XXXX, June assumes
with guidance time its the our and to be The simply tax assessing our our XX%. our on through turn to tightened over also XX% between legislation reason your passage operator, call now impact will for working have tax And I on We change effective rate and and sweeping company. for primary is Ashley of questions. the that, this
Ashley?
