Thanks, morning, Bruce, and everyone. good
results in the me picture, environment. with slide backdrop were against Let for Big the volatility the of quarter start headlines five. macro results referencing the financial first solid
in February. of conversion of We the portfolio the including initiatives, our to platform strategic continue progress Investor well-executed against
million $X.XX. and $XXX For the income first quarter, EPS we net of of generated underlying
underlying for lower interest-earning quarter lower the Net was X% day given interest income ROTCE assets. count linked-quarter and was Our the XX.X%. down
stable was margin X.X%. Our at
average and loans runoff loans such reflecting impact auto. of quarter-over-quarter, efforts, slightly down our Period-end balance the as were ongoing sheet of optimization our
levels the compounding factors, and occurred rate declined due impact the quarter environment to primarily of the earlier in quarter. the Deposit in the impact seasonal of particularly this
Importantly, stable our deposit broadly March. in the levels were market during turbulence
quarter Our today billion. very current end position as liquidity XX.X% $XX with liquidity of and LDR about is remains our of strong available
are this $XXX up overall trends. We in million with end of Our charge-offs million the points of to solid. remains linked-quarter, with X.XX% general $XX XX fourth a basis most quarter, coverage position X.XX% ACL and and credit net the recorded increase provision up reserve to from credit a directed line losses the quarter, ongoing increasing XX metrics office our the of of normalization build Total portfolio. basis points at for of
basis Our current CECL one about day X.X%. forma reserve coverage our ratio pro stronger is XX points than of
strong CETX range ratio target tangible our We shares is and top and the quarter X% repurchased of first $XXX per at million at a linked-quarter. in common our book delivered value of share the XX% up
results issues of through quarter, slide six. on mind address are of some let that me for Before of top the walk details I the the the industry
group, we if of to include securities. of all driven First, rate base, unrealized a have one which bank on very capital the one highest our strong peer the in even investment regional our is losses were
which has which franchise, since deposit in began performed well quality turbulence, the very March. a early have We
all primary well-diversified benefit from IPO made of XX% the continue We deposits as of XX% from our to total have portfolio with a using since of and with see investments about clients Consumer Commercial the their we bank. the us
secured. or insured are deposits of XX% Finally,
strong with Our liquidity and quite liquidity capabilities. management a strong ample available risk position base, diverse funding is
exceeds LCR bank XXXX. X be March what our a level at Category required XX, fact, would as In
to remains metrics strong. as our still Looking is at normalizing, picture well but quite continue solid. Retail credit, look the employment is performing
On our the general which interest and back-to-work the Commercial rising on in is particular, by side, is portfolio and on office CRE focus impacted trends rates.
details on X.X% go coverage later. the of reserve and general strong the very office some a I will of portfolio have We through
concerned in reflective lapses. not the the respond view, to of how to market our broader may regulators in lastly, in and is about And or which question management regulation March, disruption the in was unique the banks
will watch develop, thoughtful we closely any deliberate. be and the case, We in things but will process how think
Finally, given regulatory model we our diverse positioned are believe capital in we increase current requirements, liquidity business any ratios. well excess and for and regulatory
approach with This bank driving prioritize strong the the seven. the a capital drill deploying range next details of target our returns our CETX over our capital medium-term. we slides, XX%. at group slide level few reflects Let’s top ratio prudent the as to of on capital in into capital improved quarter on with ended the levels one highest starting regional the with peer We of
If and loss X.X%. adjusted CETX AOCI, the ratio on unrealized you include rate-driven be debt would securities our
HTM, common equity our points XX reduce If to you unrealized remove in basis ratio X.X%. by the tangible would losses
group All our quarter. of are be these in ratios expected peer again the top this to of near
levels share expect with quarter strong capital growing going very buybacks. of ability XX maintain post -- roughly dividend the and We to each generate to points before forward capital basis
have capacity on remaining our billion current $X.X of our dependent repurchases external We Board under conditions. repurchase of of authorization, will view timing be
discuss to move I will eight Next, to our franchise. deposit slide
and tap. see, in can can and diversified product Consumer various we terms franchise the highly our you towards As mix is skewed across channels deposit of
from XX% are is which yielding our down and by secured, XX% of year-end about or of slightly have customers quartile FDIC total Demand year-end. of up from higher naturally XX% at the our XX% at rotated our top roughly deposits at deposits XX% the About the which XXst, peer December are alternatives. from represent up puts deposits group XX% in book, insured Consumer, of as us towards
deposit performance the been in On following slide Investors commencement our nine, [ph] of since performance. that QT line industry midyear is and the the acquisition with headline XXXX has
higher half XXXX. the average most We normal in about but entered saw we industry happened and and outgrew a little the would January that rate environment we more deposit that and be the of in somewhat and had first We seasonal forecast XXXX that of both by in of second exacerbated quarter by X% February. than outflows the peer expecting the
trying early in to in deposits and wake willing the bank were hold betas. the the but failures, quarter deposits industry stable we our deposits line our overall, their the auto, across Given let as some to look In broadly were inflows rundown elevated some of run we customers in to during month. saw diversify outflows off can March, on the
our bank This to in investing the strong capabilities this will deposit heavily and a we offerings and top performance focus a continue to as is franchise. IPO since attributable remain build performing
are the encourage On a more In we doing to drive some our highlight them of slide and have that we with satisfaction drive do developed deposits attract higher primacy us. customers. features products and customer we compelling that Consumer, things set with and to XX, of
Plus Investors, in have Citizens market. offerings have the leverage. digital as as And analytics York capabilities compelling Private strong to deposit New and the we Access, substantial such Citizens Group, take as conversion our final We Metro Client complete share to at in opportunity bank our with a well
side, strong serve On and talent state-of-the-art we needs. to our Commercial treasury with have heavily a platform solutions invested capabilities the in client
tools for to to deposits. to clients and well manage continue higher cash drive and capabilities our products operational as We add better attract innovative as their deposits,
Moving slide XX. to
remote real sector their impacting given concern the and tenants commercial of rethink estate is given needs. office pressure particular the monitoring are trends. The a work closely needs rates We environment general softening portfolio macro the rising refinance as the space
portfolio points. very CRE early XX are with pressures, basis near carefully of these particular, are in borrowers It’s NPLs our Given on loan signs XXX% for noting, office. evaluating our stress, worth their however, obligations that we under of current
and We quality credit diversity are assets portfolio, resources, have but of starting the in will workout to the the feel we manageable. be an criticized added costs increase see given and
portfolio CRE X% for general X.X%. total an elevated the office allowance coverage includes coverage Our of of
we and On are $X.X slide which billion of as properties, portfolio, $X.X perform well. office includes billion exposed tenant a and bit back to life are on to XX, the expected which to drilled not adverse quite trends sciences office credit down
geography relates billion located XX% $X.X producing areas feel across portfolio to business XX% Class income central general is majority and remaining suburban About which A. general positioned well we districts. the office and suburban is is and office is the areas in about type, The the reasonably and of segment,
million further net down given assets. X%, count, Next, On was day results. slightly $XX interest lower about lower worth XX, I will slide first income was which provide interest-earning related to quarter and details
offset of stable debt the deposit was X.X% interest-bearing of been XXXX, with basis points With end funding margin well of at the through interest our funds quarter. XX% yields increasing increase asset XXX higher in beta by at the has net The cumulative the controlled costs. end
dynamically XXXX. adjust position so half second rate hedge have and the our XXXX We of that in continue down to protection through we
the at the X% last first down X.X% sensitivity end year approach asset of end managed our a quarter. the roughly we have cycle, of of from we the height more As to the rate at neutral
Moving in X% challenging despite in on with modest from posted partly seasonality We and and in higher volatility and strength results environment, fee XX. rates. headwinds banking capital linked-quarter improvement revenue market by seasonal some down impacts These to showed derivatives FX solid a fees. slide and offset a in mortgage markets service charges, and resilience
Focusing on quarter syndications M&A capital through lower. seasonally and were and the continued volatility markets, fees market advisory
to fees strength We should fees as M&A slightly as with flow margins deal industry improving should posted rising for to reducing higher solid see progresses. benefit in were Mortgage time. year good are results pick the volumes seeing And and fees production that better and continue finally, the card our pipelines up signs capacity. wealth we continue the with quarter. margins This over and
On in an and beginning implemented well up employee at expected, seasonally slide the benefits, of linked-quarter, the than salaries given FDIC as higher expenses as of X.X% industrywide came year. surcharge impact only the XX, better
down of activity. adjusting economic home as was were a chain and growth as quarter slightly, in the reflecting over are the Average largely loans mortgage auto, clients anticipation in slightly offset CapEx loans inventories continue average to equity. this, XX, slide lower as supply runoff retail down pressures are inflation reflect bit planned and in and On easing which well by reduced
deposits driven seasonal down rate-related average outflows. or billion were On XX, and linked-quarter, X.X% $X.X slide by
the of and decrease balances in majority occurred March. February, in I January broadly stable deposit As the mentioned earlier, with
were costs which points, deposit XX up interest-bearing cumulative sequential beta and Our a translates to a basis XX% XX% beta.
basis results credit Commercial on across good basis linked-quarter, up retail reflects the XX XX Net points were points, this charge-offs and normalization. continued Moving to which We quarter slide XX. saw portfolios. again
in basis are retail. X basis by the up points total Non-performing Commercial quarter XX loans, from improvements an loans increase points fourth offset of was as in
the stable gauge broadly with how historical favorable closely were delinquencies continue consumer levels, quarter to to indicators fourth the Retail we but monitor leading continue faring. to and is to remain
through for walk account allowance particularly take in the of XX, into million the slide the outlook We of to $XX risk slowdown growing drivers the our and quarter. will general Commercial the increased Turning I portfolio, an economic allowance to this office. losses by
stands a lower ratio is as risk current stress asset level fourth X.X%, the expectations of increase portfolios which calculation Our point added reserve moderate overall The on a quarter. contemplates certain prices incorporates CRE. of coverage at X the and basis recession such from and
excellent We balance to sheet Moving XX. maintained slide strength.
CETX share the shareholders top Tangible common improved We returned is through of Our which the range. total X% share book X.X%. to end and the a at our XX%, million increased and value to in to dividends. up ratio per has tangible quarter of was equity ratio repurchases target $XXX
to Metro New slide the on Investors in we very excited are We opportunities capture XX, continue that steam us, ahead full Shifting progress to customers and share. February, behind at very branch we which smoothly. capitalize With and conversion systems York a the our gears make to complete were good market with working serve into on push market. our went bit, to
the customer of has satisfaction the We we been in be highest improving and are HSBC to continue the strong encouraged Investors to across momentum see we and and branches customer seeing early branches. continue rates acquisition the network some in our sales where significantly legacy by
lineup good client York as the power and Retail to our Commercial. early also full model leverage We seen we the focused Small across customer New making pipeline and further have a growing Business of We market. some forward look wins in strides and product
to slide our for Moving TOP program. quick a on update X XX
is TOP and well latest program well. underway Our progressing
protect as important our to future drive ensure as to TOP Given continue the have begun we in we to the returns, to augment X investments external that to opportunities environment, look for make in performance. well can our program business order
months. We about coming this to will say more have in the
for I to raise outlook that easing begin update on by year. account year an a slide May then walk takes late slowdown into the our basis the and through the to XX. expected will second points with in quarter the outlook Moving you give Fed for and economic modest rates in the full XX
Non-interest points. For decrease X%. Non-interest be income NII quarter, should expect slightly. the digits. to up should down mid-XXs we expense about second stable Net charge-offs remain is single to basis mid-to-high the in
environment. depending of XX% view is share CETX repurchase expected with to above come Our some our in planning upon the external
to Moving slide XX.
on think attractive the maintaining year, full and funding we while about remain capital, strong focused As position, we liquidity returns. sustaining
there in course, current Of is a uncertainty continued environment. the level of
be For the to full up year expect X% to XXXX, we X%. NII
focused the charge-offs that We to Non-interest about first is Net expense to remainder be points. digits. the to from quarter over stabilize and even expected modestly Non-interest the are initiatives up expected XXs levels income mid-single basis be X%. year. deposits on will grow are be of expected in is our up mid-to-high
be reserve need contemplates and level should reserve for current moderate a for CETX there down Our further X.X% spot upper of loan auto our decline ratio less to of over above our our to the known the as and given repurchases expected a target runs builds range. the are to year market risks be XX.XX% recession XX% is assuming the and year. anticipated At build of share to end conditions, XX% course stable expected
ready are lies despite challenges XX, we To on slide delivered a -- XXXX. for and quarter unexpected expected in ahead that uncertainty sum solid up the
strong the position play forward need well the imperative franchise to defense offense to and attractive strategic of the year liquidity this capital, continuing funding we us future. to and balance returns prudent Our strengthen the deliver for as with strong our will priorities with move serve for
environment, our challenging financial we reaffirm we medium-term as the to our targets. navigate commitment Even through current
to I hand back that, will With over Bruce.
