third summary Thank financial of X and and quarter our X good provided everyone. you, morning, Slides XXXX results. Archie,
recapture and our very income. interest forgiveness driven was growth, are happy commercial annualized banking. excluding The which included net X% performance with provision of included fee PPP and highlights growth, by strong We our loan loan which stable quarter earnings, elevated small margin, business
margin in as interest from quarter. assets, in net a more the core of costs positive days impact offset stable, earning relatively funding and by the repricing In shift addition the was remain the
there expect the be environment, as periods, low management While volatility margin will loan modest excess surpassed to to and core Fee banking our and continue some prolonged in coming sheet pressure face given to the in strong. due mortgage interest income liquidity. fees, remain we total rate both balance expectations margin wealth
from proceeds. and also We limited insurance realized income elevated investments partnership
first-half exchange foreign in from the the declined quarter Third of levels slightly record year. income
to incentive run market rate in as However, marketing on million shares compensation, during were particularly were quarter. anticipate front, million of approximately These Non-interest to slight return services conditions overall professional both expectations, fourth outlook despite assets to will a the with advantage during tied company was declined two resulted positive we with million elevated charge-offs million take of credit and period. which $XX the and combined expenses. X.X performance, factors classified repurchased our we in continue period. of Bannockburn $XX.X typical the in expenses provision to and pleased line their $XX quarter. our increases We standpoint, during From the and net a economic the third recapture capital in
are strong are the in regulatory approved late remain internal to in and of excess targets. both To-date, XXXX. of repurchase X.X X we under shares and repurchased and million ratios capital the eligible million plan we have Our
but quarter. for we X, activity will our per to repurchase items quarterly we understanding further that believe fourth $XX.X or the remaining important GAAP in was our earnings, anticipate highlighting that our in adjusted Adjusted reconciles to net quarter, performance. beyond income the not $X.XX earnings any XXXX. share We expect are do repurchase allotment that Slide million
As on a to equity XX%. and average on return of average adjusted return depicted a equates tangible X.XX%, X, of common earnings on assets these Slide
interest third to margin small margin from the from asset largely the X day offset and Slides the fees. to impact increase quarter. The the interest higher was resulting increased impact And one negative quarter by X in PPP from changes point there This X, additional driven on net margin yields to linked primarily costs funding and count was in another. Turning a the basis net slight X.XX%. forgiveness
forgiveness. Asset size yields higher year, which increased the modestly include investment over margin of of of the due negatively the which the the In PPP first-half fees, XXXX. period increased the during has course portfolio, the to we impacted loan
at in adjustments, However, points. price core continued to as lower XX lower aggressively X we which In deposits. to remain rate the the during from These well cost near-term. to have current retail costs expect strategic CDs as basis shift cost points reflect in the to deposits, a rate funding the to higher size of mix deposit brokered lower basis and period response we its portfolio declined another current interest environment, our
loan and the on We in balances was of a balance our payoff PPP same. pricing compared outlook the related to XX, costs quarter. loans. The our gradual mix approach as funding linked remains we Our illustrates Slide decline decline anticipate the current the changes majority to near-term of in floor. the
CDs. quarter, lower in average In higher these million our second million Excluding costs by as and business and encouraged These deposit banking largely deposits deposits. payoffs, in group. retail portfolio, Slide were deposits well declines small our of the we was shows the driven XX cost in increases growth progression by a during average $XX the by primarily declines $XX were offset driven the rest transactional of declined commercial total, by which quarter. brokered during of as mix
with necessary mindful based needs. XX make be the to continue and our market on quarter. adjustments highlights non-interest pricing conditions Slide deposit and income any we'll or funding for We
management. compared were As production charge by in linked driven I income quarter, We for mortgage in and quarter fee derivative elevated the also strong to income wealth previously, the and by increase service remained increase client mentioned third XX% XX% and was encouraged income. deposit
on investments Bannockburn, to insurance exchange in With and other XX% increased addition, partnership regard foreign the income income in declined limited period income non-interest the record second In to due quarter. from proceeds. levels during increases
quarter. professional their them the expenses were linked and historical However, Overall expense for rate run on compared outlined Non-interest fourth Slide we we modestly when by than employee expect and to higher in core driven increased higher expected XX. marketing services. the costs, to quarter, is expenses quarter to slightly the return
forecasts, loans declined net unfunded now of driven a The charge-offs, improved from provision balances points recapture in to linked to declining declined decline X% lower our and period. economic million was classified charge-offs an the XX percentage resulted as in allowance, $XX.X XX, by both annualized Slide $XX and or includes basis during Turning on a of expense classified million funded quarter model the during total reserves asset period. in total Net asset provision balances. and ACL which the million while $XXX basis,
and the point conservative and the remains on the ACL beginning variant. Barring acted in Delta and unknown in reserves and have expect of response view remainder from we when provision the XXXX in reserves unforeseen, given the relatively Our believe for aggressively recapture XXXX. declines further unchanged. the this We to impact expense to releasing the something we pandemic, building been provision reserve of
as excess Slide and ratios period. All the strong remain despite XX, our and capital regulatory ratios ratios shown declines in Finally, slight capital of remain during XX on internal targets. minimums in
million X.X do As again, previously approximately bringing dividends. to the X.X Once repurchase I million. repurchased our mentioned, during we shares total not common any we to anticipate shares XXXX changes near-term the quarter,
some evaluate However, outlook. now the comments back over we I'll actions various to turn it continue year our for progresses. Archie, capital Archie? as will to on