CVB Financial Corp. (NASDAQ:CVBF) and its subsidiary, Citizens
Business Bank (the “Company”), announced earnings for the quarter
ended June 30, 2022.
CVB Financial Corp. reported net income of $59.1 million for the
quarter ended June 30, 2022, compared with $45.6 million for the
first quarter of 2022 and $51.2 million for the second quarter of
2021. Diluted earnings per share were $0.42 for the second quarter,
compared to $0.31 for the prior quarter and $0.38 for the same
period last year. The second quarter of 2022 included $3.6 million
in provision for credit losses, compared to $2.5 million in
provision for the first quarter and a provision recapture of $2.0
million in the second quarter of 2021. Net income of $59.1 million
for the second quarter of 2022 produced an annualized return on
average equity (“ROAE”) of 11.33%, an annualized return on average
tangible common equity (“ROATCE”) of 18.67%, and an annualized
return on average assets (“ROAA”) of 1.39%. Our net interest
margin, tax equivalent (“NIM”), was 3.16% for the second quarter of
2022, while our efficiency ratio was 37.24%.
David Brager, President and Chief Executive Officer of Citizens
Business Bank, commented, “We produced approximately $86 million in
pretax pre-provision income during the second quarter, which is a
30% increase from the first quarter. The combination of strong loan
growth, expansion of our net interest margin, and our continuing
efforts to closely manage expenses in the face of inflationary
pressures resulted in a record level of quarterly pretax
pre-provision income. This growth supported a 6% increase in our
quarterly dividend, which represented a dividend payout ratio of
45%. We continue to focus on executing on our core strategies and
supporting our customers through these unpredictable times and I
would like to thank our associates, customers, and shareholders for
their commitment and support.”
INCOME STATEMENT HIGHLIGHTS
|
Three Months Ended |
|
Six Months Ended |
|
June 30,2022 |
|
March 31,2022 |
|
June 30,2021 |
|
June 30,2022 |
|
June 30,2021 |
|
(Dollars in thousands, except per share amounts) |
|
|
|
|
Net interest income |
$ |
121,940 |
|
|
$ |
112,840 |
|
|
$ |
105,388 |
|
|
$ |
234,780 |
|
|
$ |
208,856 |
|
(Provision for) recapture of
credit losses |
|
(3,600 |
) |
|
|
(2,500 |
) |
|
|
2,000 |
|
|
|
(6,100 |
) |
|
|
21,500 |
|
Noninterest income |
|
14,670 |
|
|
|
11,264 |
|
|
|
10,836 |
|
|
|
25,934 |
|
|
|
24,517 |
|
Noninterest expense |
|
(50,871 |
) |
|
|
(58,238 |
) |
|
|
(46,545 |
) |
|
|
(109,109 |
) |
|
|
(93,708 |
) |
Income taxes |
|
(23,081 |
) |
|
|
(17,806 |
) |
|
|
(20,500 |
) |
|
|
(40,887 |
) |
|
|
(46,093 |
) |
Net earnings |
$ |
59,058 |
|
|
$ |
45,560 |
|
|
$ |
51,179 |
|
|
$ |
104,618 |
|
|
$ |
115,072 |
|
Earnings per common
share: |
|
|
|
|
|
|
|
|
|
Basic |
$ |
0.42 |
|
|
$ |
0.31 |
|
|
$ |
0.38 |
|
|
$ |
0.74 |
|
|
$ |
0.85 |
|
Diluted |
$ |
0.42 |
|
|
$ |
0.31 |
|
|
$ |
0.38 |
|
|
$ |
0.74 |
|
|
$ |
0.85 |
|
|
|
|
|
|
|
|
|
|
|
NIM |
|
3.16 |
% |
|
|
2.90 |
% |
|
|
3.06 |
% |
|
|
3.03 |
% |
|
|
3.12 |
% |
ROAA |
|
1.39 |
% |
|
|
1.06 |
% |
|
|
1.35 |
% |
|
|
1.23 |
% |
|
|
1.56 |
% |
ROAE |
|
11.33 |
% |
|
|
8.24 |
% |
|
|
10.02 |
% |
|
|
9.74 |
% |
|
|
11.37 |
% |
ROATCE |
|
18.67 |
% |
|
|
13.08 |
% |
|
|
15.60 |
% |
|
|
15.73 |
% |
|
|
17.70 |
% |
Efficiency ratio |
|
37.24 |
% |
|
|
46.93 |
% |
|
|
40.05 |
% |
|
|
41.85 |
% |
|
|
40.15 |
% |
Noninterest expense to average
assets, annualized |
|
1.20 |
% |
|
|
1.36 |
% |
|
|
1.23 |
% |
|
|
1.28 |
% |
|
|
1.27 |
% |
|
|
|
|
|
|
|
|
|
|
Net Interest IncomeNet interest income was
$121.9 million for the second quarter of 2022. This represented a
$9.1 million, or 8.06%, increase from the first quarter of 2022,
and a $16.6 million, or 15.71%, increase from the second quarter of
2021. The quarter-over-quarter growth in net interest income was
primarily due to the expansion of the net interest margin from
2.90% in the first quarter of 2022 to 3.16% for the second quarter
of 2022. Total interest income was $123.3 million for the second
quarter of 2022, which was $9.2 million, or 8.03%, higher than the
first quarter of 2022 and $16.2 million, or 15.17%, higher than the
same period last year. The increase in interest income from the
first quarter of 2022 to the second quarter was primarily the
result of a 27 basis point expansion in earning asset yield. In
comparison to the second quarter of 2021, interest income in the
most recent quarter grew based on a combination of $1.6 billion of
growth in average earnings assets and expanding earning asset
yields of 9 basis points. Year-over-year earning asset growth
resulted from both the acquisition of Suncrest Bank (“Suncrest”) on
January 7, 2022, in addition to core loan and deposit growth over
the last year. Interest expense increased $62,000 or 4.92%, from
the prior quarter, due to a 1 basis point increase in cost of
funds. Although average interest-bearing deposits grew by
approximately $616.2 million, interest expense decreased $318,000,
or 19.39%, compared to the second quarter of 2021. The
year-over-year decrease in interest expense resulted from lower
cost of funds, which declined to 4 basis points for the second
quarter of 2022 from 5 basis point for the second quarter of
2021.
Net Interest MarginOur tax equivalent net
interest margin was 3.16% for the second quarter of 2022, compared
to 2.90% for the first quarter of 2022 and 3.06% for the second
quarter of 2021. Higher interest rates and a change in the mix of
our earning assets resulted in the higher net interest margin. The
26 basis point increase in our net interest margin compared to the
first quarter of 2022, was primarily due to a 27 basis point
increase in our earning asset yield. The increase in the earning
asset yield was due to a 23 basis point increase in security yields
for the recent quarter and a quarter-over-quarter change in the
composition of average earning assets, with investments growing
from 36.19% to 39.23% of earnings assets, while funds held at the
Federal Reserve declined from 10.4% to 5.1%. Throughout the first
half of 2022, we deployed some of the excess liquidity on the
balance sheet at the end of 2021 into additional investment
securities by purchasing approximately $1.5 billion in securities.
The increase in earning asset yield was also impacted by loan
growth, which grew on average over the first quarter of 2022 by
$134 million and an increase in loan yields from 4.27% to 4.31%.
Interest and fee income from Paycheck Protection Program (“PPP”)
loans was approximately $1.4 million in the second quarter of 2022,
compared to $2.9 million in the first quarter of 2022. After
excluding discount accretion and the impact from PPP loans (“core
loan yield”), our core loan yields increased from 4.11% in the
first quarter of 2022 to 4.20% in the most recent quarter. The 10
basis point increase in net interest margin, compared to the second
quarter of 2021 was primarily the result of a 9 basis point
increase in earning asset yield. The increase in earning asset
yield was impacted by a change in asset mix and higher yields on
investment securities. Excess liquidity held at the Federal Reserve
was invested into higher yielding investments, which increased to
39.23% of earning assets on average for the second quarter of 2022
from 28.18% for the second quarter of 2021. The increase associated
with investments was partially offset by loan balances declining to
55.49% of earning assets on average for the second quarter of 2022,
compared to 59.22% for the second quarter of 2021, as well as a 15
basis point decline in loan yields. Total cost of funds of 0.04%
for the second quarter of 2022 increased from 0.03% for the first
quarter of 2022 and decreased from 0.05% for the year ago quarter.
The 1 basis point increase in the cost of funds from the first
quarter of 2022 was the net result of an increase in the cost of
interest-bearing deposits from 0.08% to 0.09% and a $202 million
quarter over quarter increase in average noninterest-bearing
deposits. Compared to the second quarter of 2021, the 1 basis
points decrease in cost of funds was the result of a 3 basis point
decline in the cost of interest bearing deposits, as well as
noninterest-bearing deposits growing on average by $1.22 billion.
On average, noninterest-bearing deposits were 62.96% of total
deposits during the most recent quarter.
Earning Asset and Deposit GrowthOn average,
earning assets declined by $401.5 million and grew by $1.63
billion, compared to the first quarter of 2022 and the second
quarter of 2021, respectively. The $401.5 million
quarter-over-quarter decline in earning assets resulted from a
$856.1 million decrease in interest-earning funds held at the
Federal Reserve, that was partially offset by average investment
securities increasing by $327.6 million, and average loans
increasing by $134.1 million. Compared to the second quarter of
2021, average investments increased by $2.18 billion, while the
average amount of funds held at the Federal Reserve declined by
more than $900 million. Average loans increased by $385.1 million
from the second quarter of 2021, which included approximately $775
million in loans acquired from Suncrest on January 7, 2022 and a
$742.3 million decrease in average PPP loans. Noninterest-bearing
deposits grew on average by $202.3 million, or 2.32%, from the
first quarter of 2022, while interest-bearing deposits and customer
repurchase agreements declined on average by $313.6 million during
the second quarter of 2022, compared to the first quarter of 2022.
Compared to the second quarter of 2021, total deposits and customer
repurchase agreements grew on average by $1.84 billion, or
14.23%.
|
|
|
|
|
Three Months Ended |
SELECTED
FINANCIAL HIGHLIGHTS |
June 30, 2022 |
|
March 31, 2022 |
|
June 30, 2021 |
Yield on average
investment securities (TE) |
|
1.93% |
|
|
|
|
1.70% |
|
|
|
|
1.55% |
|
|
Yield on average
loans |
|
4.31% |
|
|
|
|
4.27% |
|
|
|
|
4.46% |
|
|
Core Loan Yield
[1] |
|
4.20% |
|
|
|
|
4.11% |
|
|
|
|
4.33% |
|
|
Yield on average
earning assets (TE) |
|
3.20% |
|
|
|
|
2.93% |
|
|
|
|
3.11% |
|
|
Cost of funds |
|
0.04% |
|
|
|
|
0.03% |
|
|
|
|
0.05% |
|
|
Net interest
margin (TE) |
|
3.16% |
|
|
|
|
2.90% |
|
|
|
|
3.06% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
Earning Asset Mix |
Avg |
|
% of Total |
|
Avg |
|
% of Total |
|
Avg |
|
% of Total |
|
Total investment securities |
$ |
6,104,037 |
|
39.23 |
% |
|
$ |
5,776,440 |
|
36.19 |
% |
|
$ |
3,925,394 |
|
28.18 |
% |
|
Interest-earning deposits with
other institutions |
|
804,147 |
|
5.17 |
% |
|
|
1,666,473 |
|
10.44 |
% |
|
|
1,738,785 |
|
12.48 |
% |
|
Loans |
|
8,634,575 |
|
55.49 |
% |
|
|
8,500,436 |
|
53.25 |
% |
|
|
8,249,481 |
|
59.22 |
% |
|
Total interest-earning
assets |
|
15,560,771 |
|
|
|
|
15,962,282 |
|
|
|
|
13,931,348 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
[1] Represents yield on average loans excluding the impact of
discount accretion and PPP loans. |
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for Credit LossesThe second quarter
of 2022 included $3.6 million in provision for credit losses,
compared to a $2.5 million in provision for credit losses in the
first quarter of 2022. A $2.0 million recapture of provision for
credit losses was recorded in the second quarter of 2021. The $3.6
million provision for credit losses in the most recent quarter was
the result of core loan growth during the quarter and an increase
in projected loss rates from a deteriorating economic forecast over
the next 18 months that assumes very modest growth in GDP, lower
commercial real estate values and an increase in unemployment.
Noninterest IncomeNoninterest income was $14.7
million for the second quarter of 2022, compared with $11.3 million
for the first quarter of 2022 and $10.8 million for the second
quarter of 2021. Service charges on deposits increased by $274,000,
or 5.42% over the first quarter of 2022 and grew by $1.2 million,
or 27.92% in comparison to the second quarter of 2021. The second
quarter of 2022 included $2.7 million in net gains on the sale of
properties associated with banking centers, including $2.4 million
from the sale of one property. Second quarter income from Bank
Owned Life Insurance (“BOLI”) decreased by $746,000 from the first
quarter of 2022 and $637,000 from the second quarter of 2021. The
first quarter of 2022 included $508,000 in death benefits that
exceeded the asset value of certain BOLI policies.
Noninterest ExpenseNoninterest expense for the
second quarter of 2022 was $50.9 million, compared to $58.2 million
for the first quarter of 2022 and $46.5 million for the second
quarter of 2021. The $7.4 million quarter-over-quarter decrease
included a $5.3 million decrease in acquisition expense and a $1.1
million decrease in salaries and employee benefits. The $4.3
million increase year-over-year was primarily the result of expense
growth associated with the acquisition of Suncrest Bank, including
an increase of $2.7 million in salaries and employee benefits and
an increase in occupancy and equipment of $618,000. Occupancy and
equipment expense growth was primarily due to the addition of seven
banking centers resulting from the acquisition of Suncrest at the
beginning of 2022, two of which were consolidated at the end of the
second quarter. Acquisition expense related to the merger of
Suncrest was $375,000 for the second quarter of 2022, compared to
$5.6 million for the first quarter of 2022. As a percentage of
average assets, noninterest expense was 1.20% for the second
quarter of 2022, compared to 1.36% for the first quarter of 2022
and 1.23% for the second quarter of 2021. The efficiency ratio for
the second quarter of 2022 was 37.24%, compared to 46.93% for the
first quarter of 2022 and 40.05% for the second quarter of
2021.
Income TaxesOur effective tax rate for the
quarter ended June 30, 2022 and year-to-date was 28.10%, compared
with 28.60% for the second quarter of 2021. Our
estimated annual effective tax rate can vary depending upon the
level of tax-advantaged income as well as available tax
credits.
BALANCE SHEET HIGHLIGHTS
AssetsThe Company reported total assets of
$16.76 billion at June 30, 2022. This represented a decrease of
$779.1 million, or 4.44%, from total assets of $17.54 billion at
March 31, 2022. Interest-earning assets of $15.28 billion at June
30, 2022 decreased by $829.1 million, or 5.15%, when compared with
$16.1 billion at March 31, 2022. The decrease in interest-earning
assets was primarily due a $958.6 million decrease in
interest-earning balances due from the Federal Reserve, partially
offset by a $100.5 million increase in total loans and a $28.4
million increase in investment securities.
Total assets increased by $876.3 million, or 5.52%, from total
assets of $15.88 billion at December 31, 2021. Interest-earning
assets of $15.28 billion at June 30, 2022 increased by $595.7
million, or 4.06%, when compared with $14.68 billion at December
31, 2021. The increase in interest-earning assets was primarily due
to a $928.6 million increase in investment securities and an $804.5
million increase in total loans, partially offset by a $1.12
billion decrease in interest-earning balances due from the Federal
Reserve.
Total assets at June 30, 2022 increased by $1.22 billion, or
7.86%, from total assets of $15.54 billion at June 30, 2021.
Interest-earning assets increased by $1.02 billion, or 7.13%, when
compared with $14.26 billion at June 30, 2021. The increase in
interest-earning assets included a $2.07 billion increase in
investment securities, and a $620.9 million increase in total
loans, partially offset by a $1.65 billion decrease in
interest-earning balances due from the Federal Reserve. The
increase in total loans included a $590.9 million decrease in PPP
loans with a remaining outstanding balance totaling $67 million as
of June 30, 2022. Excluding PPP loans, total loans increased by
$1.21 billion from June 30, 2021.
On January 7, 2022, we completed the acquisition of Suncrest
with approximately $1.4 billion in total assets, acquired at fair
value, and 7 banking centers. The increase in total assets at June
30, 2022 included $765.9 million of acquired net loans, $131
million of investment securities, and $9 million in bank-owned life
insurance. The acquisition resulted in $102.1 million of goodwill
and $3.9 million in core deposit premium. Net cash proceeds were
used to fund the $39.6 million in cash paid to the former
shareholders of Suncrest as part of the merger consideration.
Investment SecuritiesTotal investment
securities were $6.04 billion at June 30, 2022, an increase of
$928.6 million, or 18.17%, from $5.11 billion at December 31, 2021
and an increase of $2.07 billion, or 52.14%, from $3.97 billion at
June 31, 2021.
At June 30, 2022, investment securities held-to-maturity (“HTM”)
totaled $2.41 billion, an increase of $486.3 million, or 25.25%,
from December 31, 2021 and a $1.38 billion increase, or 132.64%,
from June 30, 2021.
At June 30, 2022, investment securities available-for-sale
(“AFS”) totaled $3.63 billion, inclusive of a pre-tax net
unrealized loss of $346.3 million. AFS securities increased by
$442.2 million, or 13.89%, from $3.18 billion at December 31, 2021
and increased by $694.1 million, or 23.67%, from June 30, 2021.
Combined, the AFS and HTM investments in mortgage backed
securities (“MBS”) and collateralized mortgage obligations (“CMO”)
totaled $5.09 billion or approximately 84% of the total investment
securities at June 30, 2022. Virtually all of our MBS and CMO are
issued or guaranteed by government or government sponsored
enterprises, which have the implied guarantee of the U.S.
Government. In addition, we had $562.3 million of Government Agency
securities (HTM) at June 30, 2022, that represent approximately 9%
of the total investment securities.
Our combined AFS and HTM municipal securities totaled $388.2
million as of June 30, 2022, or approximately 6% of our total
investment portfolio. These securities are located in 35 states.
Our largest concentrations of holdings by state, as a percentage of
total municipal bonds, are located in Minnesota at 12.57%,
California at 11.73%, Texas at 10.52%, Ohio at 8.39%, Washington at
7.47%, and Massachusetts at 7.03%.
LoansTotal loans and leases, at amortized cost,
of $8.69 billion at June 30, 2022 increased by $100.5 million, or
1.17%, from March 31, 2022. After adjusting for PPP
loans, our core loans grew by $154.8 million, or approximately 7%
annualized from the end of the first quarter and approximately 8%
from December 31, 2021. The $154.8 million core loan growth
included $172.8 million in commercial real estate loans, $16.8
million in commercial and industrial loans, $5.1 million in SFR
mortgage loans, and $7.4 million in consumer and other loans,
partially offset by decreases of $19.2 million in dairy &
livestock and agribusiness loans, $14.1 million in SBA loans and
$12.9 million in construction loans.
Total loans and leases increased by $804.5 million, or 10.2%,
from December 31, 2021. The increase in total loans included $774.5
million of loans acquired from Suncrest in the first quarter of
2022. After adjusting for acquired loans, seasonality
and forgiveness of PPP loans, our core loans grew by $319.8
million, or approximately 8% annualized from December 31,
2021. The $319.8 million core loan growth included
$273.1 million in commercial real estate loans, $44.1 million in
commercial and industrial loans, $19.3 million in SFR mortgage
loans, and $9.8 million in consumer and other loans, partially
offset by decreases of $18.4 million in construction loans and
$11.6 million in SBA loans. The majority of the $130.6 million
decrease in dairy & livestock loans was seasonal.
Total loans and leases increased by $620.9 million, or 7.69%,
from June 30, 2021. Total loans, excluding PPP loans, grew by $1.21
billion, or 16.35%, from the end of the second quarter of 2021.
After adjusting for acquired loans and forgiveness of PPP loans,
our core loans grew by $476.9 million, or 6.43%, from the end of
the second quarter of 2021. Commercial real estate loans grew by
$392.1 million, commercial and industrial loans increased $108.0
million, SFR mortgage loans increased by $22.8 million, municipal
lease financings increased by $2.5 million, and consumer and other
loans increased by $10.4 million. This core loan growth was
partially offset by decreases of $44.4 million in construction
loans and $14.8 million in SBA loans.
Asset QualityDuring the second quarter of 2022,
we experienced credit charge-offs of $8,000 and total recoveries of
$511,000, resulting in net recoveries of $503,000. The allowance
for credit losses (“ACL”) totaled $80.2 million at June 30, 2022,
compared to $76.1 million at March 31, 2022 and $69.3 million at
June 30, 2021. The ACL was increased by $15.2 million in 2022,
including $8.6 million for the acquired Suncrest PCD loans and $6.1
million in provision for credit losses. At June 30, 2022, ACL as a
percentage of total loans and leases outstanding was 0.92%. This
compares to 0.89% and 0.86% at March 31, 2022 and June 30, 2021,
respectively. When PPP loans are excluded, the ACL as a percentage
of total loans and leases outstanding was 0.93% at June 30, 2022,
compared to 0.90% at March 31, 2022 and 0.94% at June 30, 2021.
Nonperforming loans, defined as nonaccrual loans and loans 90
days past due accruing interest plus nonperforming TDR loans, and
nonperforming assets, defined as nonaccrual loans and loans 90 days
past due accruing interest plus OREO, are highlighted below.
|
|
|
|
|
|
Nonperforming Assets and Delinquency Trends |
June 30, |
|
March 31, |
|
June 30, |
|
|
2022 |
|
2022 |
|
2021 |
Nonperforming
loans |
|
|
|
|
|
|
Commercial real estate |
|
$ |
6,843 |
|
|
$ |
7,055 |
|
|
$ |
4,439 |
|
SBA |
|
|
1,075 |
|
|
|
1,575 |
|
|
|
1,382 |
|
SBA - PPP |
|
|
- |
|
|
|
2 |
|
|
|
- |
|
Commercial and industrial |
|
|
1,655 |
|
|
|
1,771 |
|
|
|
1,818 |
|
Dairy & livestock and agribusiness |
|
|
3,354 |
|
|
|
2,655 |
|
|
|
118 |
|
SFR mortgage |
|
|
- |
|
|
|
167 |
|
|
|
406 |
|
Consumer and other loans |
|
|
37 |
|
|
|
40 |
|
|
|
308 |
|
Total |
|
$ |
12,964 |
|
|
$ |
13,265 |
|
|
$ |
8,471 |
|
% of Total loans |
|
|
0.15 |
% |
|
|
0.15 |
% |
|
|
0.10 |
% |
|
|
|
|
|
|
|
OREO |
|
|
|
|
|
|
Commercial real estate |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
SFR mortgage |
|
|
- |
|
|
|
- |
|
|
|
- |
|
Total |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
|
|
|
|
|
|
Total nonperforming
assets |
|
$ |
12,964 |
|
|
$ |
13,265 |
|
|
$ |
8,471 |
|
% of Nonperforming
assets to total assets |
|
|
0.08 |
% |
|
|
0.08 |
% |
|
|
0.05 |
% |
|
|
|
|
|
|
|
Past due 30-89
days |
|
|
|
|
|
|
Commercial real estate |
|
$ |
559 |
|
|
$ |
565 |
|
|
$ |
- |
|
SBA |
|
|
- |
|
|
|
549 |
|
|
|
- |
|
Commercial and industrial |
|
|
- |
|
|
|
6 |
|
|
|
415 |
|
Dairy & livestock and agribusiness |
|
|
- |
|
|
|
1,099 |
|
|
|
- |
|
SFR mortgage |
|
|
- |
|
|
|
403 |
|
|
|
- |
|
Consumer and other loans |
|
|
- |
|
|
|
- |
|
|
|
- |
|
Total |
|
$ |
559 |
|
|
$ |
2,622 |
|
|
$ |
415 |
|
% of Total loans |
|
|
0.01 |
% |
|
|
0.03 |
% |
|
|
0.01 |
% |
|
|
|
|
|
|
|
Classified
Loans |
|
$ |
76,170 |
|
|
$ |
64,108 |
|
|
$ |
49,044 |
|
|
Of the $12.96 million in nonperforming loans, $4.4 million were
acquired from Suncrest. Classified loans are loans that are graded
“substandard” or worse. Classified loans increased $12.1 million
quarter-over-quarter. Total classified loans at June 30, 2022
included $17.8 million of classified loans acquired from Suncrest.
Excluding the $17.8 million of acquired classified Suncrest loans,
classified loans increased $11.8 million quarter-over-quarter and
included a $15.3 million increase in classified commercial real
estate, partially offset by a $2.4 million decrease in classified
commercial and industrial loans.
Deposits & Customer Repurchase
AgreementsDeposits of $14.07 billion and customer
repurchase agreements of $502.8 million totaled $14.58 billion at
June 30, 2022. This represented a decrease of $511.6 million, or
3.39%, when compared with $15.09 billion at March 31, 2022. Total
deposits and customer repurchase agreements increased $956.2
million, or 7.02% when compared to $13.62 billion at December 31,
2021, or 10.02% when compared with $13.25 billion at June 30,
2021.
Noninterest-bearing deposits were $8.88 billion at June 30,
2022, a decrease of $226.1 million, or 2.48%, when compared to
$9.11 billion at March 31, 2022. Noninterest-bearing deposits
increased $777.2 million, or 9.59% when compared to $8.10 billion
at December 31, 2021 and increased $815.8 million, or 10.12%, when
compared to $8.07 billion at June 30, 2021. At June 30, 2022,
noninterest-bearing deposits were 63.11% of total deposits,
compared to 62.86% at March 31, 2022, 62.45% at December 31, 2021,
and 63.66% at June 30, 2021.
CapitalThe Company’s total equity was $1.98
billion at June 30, 2022. This represented an overall decrease of
$99.3 million from total equity of $2.08 billion at December 31,
2021. Increases to equity included $197.1 million for issuance of
8.6 million shares to acquire Suncrest and $104.6 million in net
earnings. Decreases included $52.2 million in cash dividends and a
$242.9 million decrease in other comprehensive income from the tax
effected impact of the decline in market value of
available-for-sale securities. During 2022, we executed on a $70
million accelerated stock repurchase program and retired 2,993,551
shares of common stock at an average price of $23.38. We also
repurchased, under our 10b5-1 stock repurchase plan, 1,682,537
shares of common stock, at an average repurchase price of $23.37,
totaling $39.3 million. Our tangible book value per share at June
30, 2022 was $8.51.
Our capital ratios under the revised capital framework referred
to as Basel III remain well-above regulatory standards.
|
|
|
|
CVB Financial Corp. Consolidated |
Capital Ratios |
|
Minimum Required PlusCapital Conservation
Buffer |
|
June 30,2022 |
|
December 31,2021 |
|
June 30,2021 |
|
|
|
|
|
|
|
|
|
Tier 1 leverage capital
ratio |
|
4.0% |
|
8.8% |
|
9.2% |
|
9.4% |
Common equity Tier 1 capital
ratio |
|
7.0% |
|
13.4% |
|
14.9% |
|
15.1% |
Tier 1 risk-based capital
ratio |
|
8.5% |
|
13.4% |
|
14.9% |
|
15.1% |
Total risk-based capital
ratio |
|
10.5% |
|
14.2% |
|
15.6% |
|
15.9% |
|
|
|
|
|
|
|
|
|
Tangible common equity
ratio |
|
|
|
7.5% |
|
9.2% |
|
9.2% |
|
|
|
|
|
|
|
|
|
CitizensTrustAs of June 30, 2022 CitizensTrust
had approximately $3.14 billion in assets under management and
administration, including $2.32 billion in assets under management.
Revenues were $3.0 million for the second quarter of 2022 and $5.8
million for the six months ended June 30, 2022, compared to $3.2
million and $5.8 million, respectively, for the same periods of
2021. CitizensTrust provides trust, investment and brokerage
related services, as well as financial, estate and business
succession planning.
Corporate OverviewCVB Financial Corp. (“CVBF”)
is the holding company for Citizens Business Bank. CVBF is one of
the 10 largest bank holding companies headquartered in California
with over $16 billion in total assets. Citizens Business Bank is
consistently recognized as one of the top performing banks in the
nation and offers a wide array of banking, lending and investing
services with more than 60 banking centers and 4 trust office
locations serving California.
Shares of CVB Financial Corp. common stock are listed on the
NASDAQ under the ticker symbol “CVBF”. For investor information on
CVB Financial Corp., visit our Citizens Business Bank website at
www.cbbank.com and click on the “Investors” tab.
Conference CallManagement will hold a
conference call at 7:30 a.m. PDT/10:30 a.m. EDT on Thursday, July
21, 2022 to discuss the Company’s second quarter 2022 financial
results. The conference call can be accessed live by registering
at:
https://register.vevent.com/register/BI86ab2690eb0846e98502d9bb56ccfb8b
The conference call will also be simultaneously webcast over the
Internet; please visit our Citizens Business Bank website at
www.cbbank.com and click on the “Investors” tab to access the call
from the site. Please access the website 15 minutes prior to the
call to download any necessary audio software. This webcast will be
recorded and available for replay on the Company’s website
approximately two hours after the conclusion of the conference
call, and will be available on the website for approximately 12
months.
Safe Harbor Certain statements set
forth herein constitute forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
Words such as “will likely result”, “aims”, “anticipates”,
“believes”, “could”, “estimates”, “expects”, “hopes”, “intends”,
“may”, “plans”, “projects”, “seeks”, “should”, “will,” “strategy”,
“possibility”, and variations of these words and similar
expressions help to identify these forward-looking statements,
which involve risks and uncertainties that could cause our actual
results or performance to differ materially from those projected.
These forward-looking statements are based on management’s current
expectations and beliefs concerning future developments and their
potential effects on the Company including, without limitation,
plans, strategies and goals, and statements about the Company’s
outlook regarding revenue and asset growth, financial performance
and profitability, loan and deposit growth, yields and returns,
loan diversification and credit management, stockholder value
creation, tax rates, and the impact of acquisitions we have made or
may make. Such statements involve inherent risks and uncertainties,
many of which are difficult to predict and are generally beyond the
control of the Company, and there can be no assurance that future
developments affecting the Company will be the same as those
anticipated by management. The Company cautions readers that a
number of important factors in addition to those set forth below
could cause actual results to differ materially from those
expressed in, or implied or projected by, such forward-looking
statements.
Given the ongoing and dynamic nature of the COVID-19 pandemic,
the ultimate extent of the impacts on our business, financial
position, results of operations, liquidity, workforce, operating
platform and prospects remain uncertain. In addition, changes to
statutes, regulations, or regulatory policies or practices as a
result of, or in response to the COVID-19 pandemic, could affect us
in substantial and unpredictable ways, including the potential
adverse impact of loan modifications and payment deferrals
implemented consistent with recent regulatory guidance.
General risks and uncertainties include, but are not limited to,
the following: the strength of the United States economy in general
and the strength of the local economies in which we conduct
business; the effects of, and changes in, trade, monetary, and
fiscal policies and laws, including interest rate policies of the
Board of Governors of the Federal Reserve System;
inflation/deflation, interest rate, market, and monetary
fluctuations; the effect of acquisitions we have made or may make,
including, without limitation, the failure to obtain the necessary
regulatory approvals, the failure to achieve the expected revenue
growth and/or expense savings from such acquisitions, and/or the
failure to effectively integrate an acquisition target into our
operations; the timely development of competitive new products and
services and the acceptance of these products and services by new
and existing customers; the impact of changes in financial services
policies, laws, and regulations, including those concerning taxes,
banking, securities, and insurance, and the application thereof by
regulatory bodies; the effectiveness of our risk management
framework and quantitative models; changes in the levels of our
nonperforming assets and charge-offs; the transition away from USD
LIBOR and uncertainties regarding potential alternative reference
rates, including SOFR; the effect of changes in accounting policies
and practices or accounting standards, as may be adopted from
time-to-time by bank regulatory agencies, the U.S. Securities and
Exchange Commission (“SEC”), the Public Company Accounting
Oversight Board, the Financial Accounting Standards Board or other
accounting standards setters, including ASU 2016-13 (Topic 326),
“Measurement of Credit Losses on Financial Instruments,” commonly
referenced as the CECL model, which has changed how we estimate
credit losses and may further increase the required level of our
allowance for credit losses in future periods; possible credit
related impairments or declines in the fair value of securities
held by us; possible impairment charges to goodwill; changes in
consumer spending, borrowing, and savings habits; the effects of
our lack of a diversified loan portfolio, including the risks of
geographic and industry concentrations; periodic fluctuations in
commercial or residential real estate prices or values; our ability
to attract deposits and other sources of liquidity; the possibility
that we may reduce or discontinue the payments of dividends on our
common stock; changes in the financial performance and/or condition
of our borrowers; changes in the competitive environment among
financial and bank holding companies and other financial service
providers; technological changes in banking and financial services;
geopolitical conditions, including acts or threats of terrorism,
actions taken by the United States or other governments in response
to acts or threats of terrorism, and/or military conflicts, which
could impact business and economic conditions in the United States
and abroad; catastrophic events or natural disasters, including
earthquakes, drought, climate change or extreme weather events that
may affect our assets, communications or computer services,
customers, employees or third party vendors; public health crises
and pandemics, such as the COVID-19 pandemic, and their effects on
the economic and business environments in which we operate,
including on our credit quality and business operations, as well as
the impact on general economic and financial market conditions;
cybersecurity and fraud risks and threats to the Company, our
vendors and our customers, and the costs of defending against them,
including the costs of compliance with potential legislation to
bolster cybersecurity at a state, national, or global level; our
ability to recruit and retain key executives, board members and
other employees, and changes in employment laws and regulations;
unanticipated regulatory or legal proceedings; and our ability to
manage the risks involved in the foregoing. Additional factors that
could cause actual results to differ materially from those
expressed in the forward-looking statements are discussed in the
Company's 2021 Annual Report on Form 10-K filed with the SEC and
available at the SEC’s Internet site (http://www.sec.gov).
The Company does not undertake, and specifically disclaims any
obligation, to update any forward-looking statements to reflect
occurrences or unanticipated events or circumstances after the date
of such statements, except as required by law. Any statements about
future operating results, such as those concerning accretion and
dilution to the Company’s earnings or shareholders, are for
illustrative purposes only, are not forecasts, and actual results
may differ.
Non-GAAP Financial Measures — Certain financial
information provided in this presentation has not been prepared in
accordance with U.S. generally accepted accounting principles
(“GAAP”) and is presented on a non-GAAP basis. Investors and
analysts should refer to the reconciliations included in this
presentation and should consider the Company’s non-GAAP measures in
addition to, not as a substitute for or as superior to, measures
prepared in accordance with GAAP. These measures may or may not be
comparable to similarly titled measures used by other
companies.
Contact:David A.
BragerPresident and Chief Executive
Officer(909) 980-4030
CVB FINANCIAL CORP. AND SUBSIDIARIES |
CONDENSED CONSOLIDATED BALANCE SHEETS |
(Unaudited) |
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
June 30, 2022 |
|
December 31, 2021 |
|
June 30, 2021 |
Assets |
|
|
|
|
|
|
Cash and due from banks |
|
$ |
173,266 |
|
|
$ |
90,012 |
|
|
$ |
153,475 |
|
Interest-earning balances due from Federal Reserve |
|
|
523,443 |
|
|
|
1,642,536 |
|
|
|
2,178,390 |
|
Total cash and cash equivalents |
|
|
696,709 |
|
|
|
1,732,548 |
|
|
|
2,331,865 |
|
Interest-earning balances due from depository institutions |
|
|
7,382 |
|
|
|
25,999 |
|
|
|
26,258 |
|
Investment securities available-for-sale |
|
|
3,626,157 |
|
|
|
3,183,923 |
|
|
|
2,932,021 |
|
Investment securities held-to-maturity |
|
|
2,412,308 |
|
|
|
1,925,970 |
|
|
|
1,036,924 |
|
Total investment securities |
|
|
6,038,465 |
|
|
|
5,109,893 |
|
|
|
3,968,945 |
|
Investment in stock of Federal Home Loan Bank (FHLB) |
|
|
18,012 |
|
|
|
17,688 |
|
|
|
17,688 |
|
Loans and lease finance receivables |
|
|
8,692,229 |
|
|
|
7,887,713 |
|
|
|
8,071,310 |
|
Allowance for credit losses |
|
|
(80,222 |
) |
|
|
(65,019 |
) |
|
|
(69,342 |
) |
Net loans and lease finance receivables |
|
|
8,612,007 |
|
|
|
7,822,694 |
|
|
|
8,001,968 |
|
Premises and equipment, net |
|
|
47,100 |
|
|
|
49,096 |
|
|
|
49,914 |
|
Bank owned life insurance (BOLI) |
|
|
259,958 |
|
|
|
251,570 |
|
|
|
250,305 |
|
Intangibles |
|
|
25,312 |
|
|
|
25,394 |
|
|
|
29,300 |
|
Goodwill |
|
|
765,822 |
|
|
|
663,707 |
|
|
|
663,707 |
|
Other assets |
|
|
289,226 |
|
|
|
185,108 |
|
|
|
199,338 |
|
Total assets |
|
$ |
16,759,993 |
|
|
$ |
15,883,697 |
|
|
$ |
15,539,288 |
|
Liabilities and Stockholders' Equity |
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
Noninterest-bearing |
|
$ |
8,881,223 |
|
|
$ |
8,104,056 |
|
|
$ |
8,065,400 |
|
Investment checking |
|
|
695,054 |
|
|
|
655,333 |
|
|
|
588,831 |
|
Savings and money market |
|
|
4,145,634 |
|
|
|
3,889,371 |
|
|
|
3,649,305 |
|
Time deposits |
|
|
350,308 |
|
|
|
327,682 |
|
|
|
365,521 |
|
Total deposits |
|
|
14,072,219 |
|
|
|
12,976,442 |
|
|
|
12,669,057 |
|
Customer repurchase agreements |
|
|
502,829 |
|
|
|
642,388 |
|
|
|
578,207 |
|
Other borrowings |
|
|
- |
|
|
|
2,281 |
|
|
|
- |
|
Payable for securities purchased |
|
|
80,230 |
|
|
|
50,340 |
|
|
|
110,430 |
|
Other liabilities |
|
|
122,504 |
|
|
|
130,743 |
|
|
|
126,520 |
|
Total liabilities |
|
|
14,777,782 |
|
|
|
13,802,194 |
|
|
|
13,484,214 |
|
Stockholders' Equity |
|
|
|
|
|
|
Stockholders' equity |
|
|
2,229,050 |
|
|
|
2,085,471 |
|
|
|
2,041,823 |
|
Accumulated other comprehensive (loss) income, net of tax |
|
|
(246,839 |
) |
|
|
(3,968 |
) |
|
|
13,251 |
|
Total stockholders' equity |
|
|
1,982,211 |
|
|
|
2,081,503 |
|
|
|
2,055,074 |
|
Total liabilities and stockholders' equity |
|
$ |
16,759,993 |
|
|
$ |
15,883,697 |
|
|
$ |
15,539,288 |
|
CVB FINANCIAL CORP. AND SUBSIDIARIES |
CONDENSED CONSOLIDATED AVERAGE BALANCE SHEETS |
(Unaudited) |
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Six Months Ended |
|
June 30, 2022 |
|
March 31, 2022 |
|
June 30, 2021 |
|
June 30, 2022 |
|
June 30, 2021 |
Assets |
|
|
|
|
|
|
|
|
|
Cash and due from banks |
$ |
178,752 |
|
|
$ |
187,061 |
|
|
$ |
157,401 |
|
|
$ |
182,884 |
|
|
$ |
153,990 |
|
Interest-earning balances due from Federal Reserve |
|
797,268 |
|
|
|
1,653,349 |
|
|
|
1,711,878 |
|
|
|
1,222,943 |
|
|
|
1,667,234 |
|
Total cash and cash equivalents |
|
976,020 |
|
|
|
1,840,410 |
|
|
|
1,869,279 |
|
|
|
1,405,827 |
|
|
|
1,821,224 |
|
Interest-earning balances due from depository institutions |
|
6,879 |
|
|
|
13,124 |
|
|
|
26,907 |
|
|
|
9,985 |
|
|
|
34,461 |
|
Investment securities available-for-sale |
|
3,736,076 |
|
|
|
3,546,957 |
|
|
|
2,862,552 |
|
|
|
3,642,009 |
|
|
|
2,709,013 |
|
Investment securities held-to-maturity |
|
2,367,961 |
|
|
|
2,229,483 |
|
|
|
1,062,842 |
|
|
|
2,299,134 |
|
|
|
922,115 |
|
Total investment securities |
|
6,104,037 |
|
|
|
5,776,440 |
|
|
|
3,925,394 |
|
|
|
5,941,143 |
|
|
|
3,631,128 |
|
Investment in stock of FHLB |
|
18,012 |
|
|
|
18,933 |
|
|
|
17,688 |
|
|
|
18,470 |
|
|
|
17,688 |
|
Loans and lease finance receivables |
|
8,634,575 |
|
|
|
8,500,436 |
|
|
|
8,249,481 |
|
|
|
8,567,876 |
|
|
|
8,259,824 |
|
Allowance for credit losses |
|
(76,492 |
) |
|
|
(73,082 |
) |
|
|
(71,756 |
) |
|
|
(74,796 |
) |
|
|
(82,560 |
) |
Net loans and lease finance receivables |
|
8,558,083 |
|
|
|
8,427,354 |
|
|
|
8,177,725 |
|
|
|
8,493,080 |
|
|
|
8,177,264 |
|
Premises and equipment, net |
|
51,607 |
|
|
|
54,015 |
|
|
|
50,052 |
|
|
|
52,804 |
|
|
|
50,472 |
|
Bank owned life insurance (BOLI) |
|
259,500 |
|
|
|
259,799 |
|
|
|
239,132 |
|
|
|
259,649 |
|
|
|
233,057 |
|
Intangibles |
|
26,381 |
|
|
|
28,190 |
|
|
|
30,348 |
|
|
|
27,280 |
|
|
|
31,463 |
|
Goodwill |
|
765,822 |
|
|
|
759,014 |
|
|
|
663,707 |
|
|
|
762,437 |
|
|
|
663,707 |
|
Other assets |
|
240,607 |
|
|
|
206,671 |
|
|
|
189,912 |
|
|
|
223,733 |
|
|
|
189,824 |
|
Total assets |
$ |
17,006,948 |
|
|
$ |
17,383,950 |
|
|
$ |
15,190,144 |
|
|
$ |
17,194,408 |
|
|
$ |
14,850,288 |
|
Liabilities and Stockholders' Equity |
|
|
|
|
|
|
|
|
|
Liabilities: |
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
Noninterest-bearing |
$ |
8,923,043 |
|
|
$ |
8,720,728 |
|
|
$ |
7,698,640 |
|
|
$ |
8,822,444 |
|
|
$ |
7,470,832 |
|
Interest-bearing |
|
5,249,262 |
|
|
|
5,464,552 |
|
|
|
4,633,103 |
|
|
|
5,356,312 |
|
|
|
4,534,242 |
|
Total deposits |
|
14,172,305 |
|
|
|
14,185,280 |
|
|
|
12,331,743 |
|
|
|
14,178,756 |
|
|
|
12,005,074 |
|
Customer repurchase agreements |
|
581,574 |
|
|
|
679,931 |
|
|
|
583,996 |
|
|
|
630,481 |
|
|
|
571,764 |
|
Other borrowings |
|
39 |
|
|
|
51 |
|
|
|
3,022 |
|
|
|
45 |
|
|
|
4,007 |
|
Junior subordinated debentures |
|
- |
|
|
|
- |
|
|
|
20,959 |
|
|
|
- |
|
|
|
23,353 |
|
Payable for securities purchased |
|
66,693 |
|
|
|
165,665 |
|
|
|
98,771 |
|
|
|
115,906 |
|
|
|
94,278 |
|
Other liabilities |
|
94,883 |
|
|
|
109,688 |
|
|
|
102,697 |
|
|
|
102,245 |
|
|
|
110,951 |
|
Total liabilities |
|
14,915,494 |
|
|
|
15,140,615 |
|
|
|
13,141,188 |
|
|
|
15,027,433 |
|
|
|
12,809,427 |
|
Stockholders' Equity |
|
|
|
|
|
|
|
|
|
Stockholders' equity |
|
2,238,788 |
|
|
|
2,248,871 |
|
|
|
2,041,906 |
|
|
|
2,243,801 |
|
|
|
2,019,884 |
|
Accumulated other comprehensive (loss) income, net of tax |
|
(147,334 |
) |
|
|
(5,536 |
) |
|
|
7,050 |
|
|
|
(76,826 |
) |
|
|
20,977 |
|
Total stockholders' equity |
|
2,091,454 |
|
|
|
2,243,335 |
|
|
|
2,048,956 |
|
|
|
2,166,975 |
|
|
|
2,040,861 |
|
Total liabilities and stockholders' equity |
$ |
17,006,948 |
|
|
$ |
17,383,950 |
|
|
$ |
15,190,144 |
|
|
$ |
17,194,408 |
|
|
$ |
14,850,288 |
|
|
|
|
|
|
|
|
|
|
|
CVB FINANCIAL CORP. AND SUBSIDIARIES |
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS |
(Unaudited) |
(Dollars in thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Six Months Ended |
|
June 30, 2022 |
|
March 31, 2022 |
|
June 30, 2021 |
|
June 30, 2022 |
|
June 30, 2021 |
Interest income: |
|
|
|
|
|
|
|
|
|
Loans and leases, including fees |
$ |
92,770 |
|
|
$ |
89,461 |
|
|
$ |
91,726 |
|
|
$ |
182,231 |
|
|
$ |
183,521 |
|
Investment securities: |
|
|
|
|
|
|
|
|
|
Investment securities available-for-sale |
|
17,042 |
|
|
|
12,832 |
|
|
|
9,410 |
|
|
|
29,874 |
|
|
|
18,569 |
|
Investment securities held-to-maturity |
|
11,714 |
|
|
|
10,663 |
|
|
|
5,130 |
|
|
|
22,377 |
|
|
|
9,070 |
|
Total investment income |
|
28,756 |
|
|
|
23,495 |
|
|
|
14,540 |
|
|
|
52,251 |
|
|
|
27,639 |
|
Dividends from FHLB stock |
|
273 |
|
|
|
371 |
|
|
|
283 |
|
|
|
644 |
|
|
|
500 |
|
Interest-earning deposits with other institutions |
|
1,463 |
|
|
|
773 |
|
|
|
479 |
|
|
|
2,236 |
|
|
|
892 |
|
Total interest income |
|
123,262 |
|
|
|
114,100 |
|
|
|
107,028 |
|
|
|
237,362 |
|
|
|
212,552 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
Deposits |
|
1,201 |
|
|
|
1,127 |
|
|
|
1,425 |
|
|
|
2,328 |
|
|
|
3,237 |
|
Borrowings and junior subordinated debentures |
|
121 |
|
|
|
133 |
|
|
|
215 |
|
|
|
254 |
|
|
|
459 |
|
Total interest expense |
|
1,322 |
|
|
|
1,260 |
|
|
|
1,640 |
|
|
|
2,582 |
|
|
|
3,696 |
|
Net interest income before provision for (recapture of) credit
losses |
|
121,940 |
|
|
|
112,840 |
|
|
|
105,388 |
|
|
|
234,780 |
|
|
|
208,856 |
|
Provision for (recapture of) credit losses |
|
3,600 |
|
|
|
2,500 |
|
|
|
(2,000 |
) |
|
|
6,100 |
|
|
|
(21,500 |
) |
Net interest income after provision for (recapture of)
credit losses |
|
118,340 |
|
|
|
110,340 |
|
|
|
107,388 |
|
|
|
228,680 |
|
|
|
230,356 |
|
Noninterest income: |
|
|
|
|
|
|
|
|
|
Service charges on deposit accounts |
|
5,333 |
|
|
|
5,059 |
|
|
|
4,169 |
|
|
|
10,392 |
|
|
|
8,154 |
|
Trust and investment services |
|
2,962 |
|
|
|
2,822 |
|
|
|
3,167 |
|
|
|
5,784 |
|
|
|
5,778 |
|
Gain on OREO, net |
|
- |
|
|
|
- |
|
|
|
48 |
|
|
|
- |
|
|
|
477 |
|
Other |
|
6,375 |
|
|
|
3,383 |
|
|
|
3,452 |
|
|
|
9,758 |
|
|
|
10,108 |
|
Total noninterest income |
|
14,670 |
|
|
|
11,264 |
|
|
|
10,836 |
|
|
|
25,934 |
|
|
|
24,517 |
|
Noninterest expense: |
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
31,553 |
|
|
|
32,656 |
|
|
|
28,836 |
|
|
|
64,209 |
|
|
|
58,542 |
|
Occupancy and equipment |
|
5,567 |
|
|
|
5,571 |
|
|
|
4,949 |
|
|
|
11,138 |
|
|
|
9,812 |
|
Professional services |
|
2,305 |
|
|
|
2,045 |
|
|
|
2,248 |
|
|
|
4,350 |
|
|
|
4,416 |
|
Computer software expense |
|
3,103 |
|
|
|
3,795 |
|
|
|
2,657 |
|
|
|
6,898 |
|
|
|
5,501 |
|
Marketing and promotion |
|
1,638 |
|
|
|
1,458 |
|
|
|
1,799 |
|
|
|
3,096 |
|
|
|
2,524 |
|
Amortization of intangible assets |
|
1,998 |
|
|
|
1,998 |
|
|
|
2,167 |
|
|
|
3,996 |
|
|
|
4,334 |
|
(Recapture of) unfunded loan commitments |
|
- |
|
|
|
- |
|
|
|
(1,000 |
) |
|
|
- |
|
|
|
(1,000 |
) |
Acquisition related expenses |
|
375 |
|
|
|
5,638 |
|
|
|
- |
|
|
|
6,013 |
|
|
|
- |
|
Other |
|
4,332 |
|
|
|
5,077 |
|
|
|
4,889 |
|
|
|
9,409 |
|
|
|
9,579 |
|
Total noninterest expense |
|
50,871 |
|
|
|
58,238 |
|
|
|
46,545 |
|
|
|
109,109 |
|
|
|
93,708 |
|
Earnings before income taxes |
|
82,139 |
|
|
|
63,366 |
|
|
|
71,679 |
|
|
|
145,505 |
|
|
|
161,165 |
|
Income taxes |
|
23,081 |
|
|
|
17,806 |
|
|
|
20,500 |
|
|
|
40,887 |
|
|
|
46,093 |
|
Net earnings |
$ |
59,058 |
|
|
$ |
45,560 |
|
|
$ |
51,179 |
|
|
$ |
104,618 |
|
|
$ |
115,072 |
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per common share |
$ |
0.42 |
|
|
$ |
0.31 |
|
|
$ |
0.38 |
|
|
$ |
0.74 |
|
|
$ |
0.85 |
|
Diluted earnings per common share |
$ |
0.42 |
|
|
$ |
0.31 |
|
|
$ |
0.38 |
|
|
$ |
0.74 |
|
|
$ |
0.85 |
|
Cash dividends declared per common share |
$ |
0.19 |
|
|
$ |
0.18 |
|
|
$ |
0.18 |
|
|
$ |
0.37 |
|
|
$ |
0.36 |
|
CVB FINANCIAL CORP. AND SUBSIDIARIES |
SELECTED FINANCIAL HIGHLIGHTS |
(Unaudited) |
(Dollars in thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Six Months Ended |
|
June 30, 2022 |
|
March 31, 2022 |
|
June 30, 2021 |
|
June 30, 2022 |
|
June 30, 2021 |
Interest income - tax equivalent (TE) |
$ |
123,661 |
|
|
$ |
114,463 |
|
|
$ |
107,300 |
|
|
$ |
238,124 |
|
|
$ |
213,097 |
|
Interest expense |
|
1,322 |
|
|
|
1,260 |
|
|
|
1,640 |
|
|
|
2,582 |
|
|
|
3,696 |
|
Net interest income - (TE) |
$ |
122,339 |
|
|
$ |
113,203 |
|
|
$ |
105,660 |
|
|
$ |
235,542 |
|
|
$ |
209,401 |
|
|
|
|
|
|
|
|
|
|
|
Return on average assets, annualized |
|
1.39% |
|
|
|
1.06% |
|
|
|
1.35% |
|
|
|
1.23% |
|
|
|
1.56% |
|
Return on average equity, annualized |
|
11.33% |
|
|
|
8.24% |
|
|
|
10.02% |
|
|
|
9.74% |
|
|
|
11.37% |
|
Efficiency ratio [1] |
|
37.24% |
|
|
|
46.93% |
|
|
|
40.05% |
|
|
|
41.85% |
|
|
|
40.15% |
|
Noninterest expense to average assets, annualized |
|
1.20% |
|
|
|
1.36% |
|
|
|
1.23% |
|
|
|
1.28% |
|
|
|
1.27% |
|
Yield on average loans |
|
4.31% |
|
|
|
4.27% |
|
|
|
4.46% |
|
|
|
4.29% |
|
|
|
4.48% |
|
Yield on average earning assets (TE) |
|
3.20% |
|
|
|
2.93% |
|
|
|
3.11% |
|
|
|
3.06% |
|
|
|
3.18% |
|
Cost of deposits |
|
0.03% |
|
|
|
0.03% |
|
|
|
0.05% |
|
|
|
0.03% |
|
|
|
0.05% |
|
Cost of deposits and customer repurchase agreements |
|
0.04% |
|
|
|
0.03% |
|
|
|
0.05% |
|
|
|
0.04% |
|
|
|
0.06% |
|
Cost of funds |
|
0.04% |
|
|
|
0.03% |
|
|
|
0.05% |
|
|
|
0.04% |
|
|
|
0.06% |
|
Net interest margin (TE) |
|
3.16% |
|
|
|
2.90% |
|
|
|
3.06% |
|
|
|
3.03% |
|
|
|
3.12% |
|
[1] Noninterest expense divided by net interest income before
provision for credit losses plus noninterest income. |
|
|
|
|
|
|
|
|
|
|
Weighted average shares outstanding |
|
|
|
|
|
|
|
|
|
Basic |
|
139,748,311 |
|
|
|
144,725,296 |
|
|
|
135,285,867 |
|
|
|
140,467,038 |
|
|
|
135,235,138 |
|
Diluted |
|
140,053,074 |
|
|
|
145,018,517 |
|
|
|
135,507,364 |
|
|
|
140,730,309 |
|
|
|
135,470,332 |
|
Dividends declared |
$ |
26,719 |
|
|
$ |
25,467 |
|
|
$ |
24,497 |
|
|
$ |
52,186 |
|
|
$ |
48,992 |
|
Dividend payout ratio [2] |
|
45.24% |
|
|
|
55.90% |
|
|
|
47.87% |
|
|
|
49.88% |
|
|
|
42.58% |
|
[2] Dividends declared on common stock divided by net
earnings. |
|
|
|
|
|
|
|
|
|
|
Number of shares outstanding - (end of period) |
|
140,025,579 |
|
|
|
141,626,059 |
|
|
|
135,927,287 |
|
|
|
|
|
Book value per share |
$ |
14.16 |
|
|
$ |
14.65 |
|
|
$ |
15.12 |
|
|
|
|
|
Tangible book value per share |
$ |
8.51 |
|
|
$ |
9.05 |
|
|
$ |
10.02 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30, |
|
December 31, |
|
June 30, |
|
|
|
|
|
|
2022 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
|
|
Nonperforming assets: |
|
|
|
|
|
|
|
|
|
Nonaccrual loans |
$ |
12,964 |
|
|
$ |
6,893 |
|
|
$ |
8,471 |
|
|
|
|
|
Loans past due 90 days or more and still accruing interest |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
Troubled debt restructured loans (nonperforming) |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
Other real estate owned (OREO), net |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
|
|
Total nonperforming assets |
$ |
12,964 |
|
|
$ |
6,893 |
|
|
$ |
8,471 |
|
|
|
|
|
Troubled debt restructured performing loans |
$ |
5,198 |
|
|
$ |
5,293 |
|
|
$ |
8,215 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage of nonperforming assets to total loans outstanding and
OREO |
|
0.15% |
|
|
|
0.09% |
|
|
|
0.10% |
|
|
|
|
|
Percentage of nonperforming assets to total assets |
|
0.08% |
|
|
|
0.04% |
|
|
|
0.05% |
|
|
|
|
|
Allowance for credit losses to nonperforming assets |
|
618.81% |
|
|
|
943.26% |
|
|
|
818.58% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
Six Months Ended |
|
June 30, 2022 |
|
March 31, 2022 |
|
June 30, 2021 |
|
June 30, 2022 |
|
June 30, 2021 |
Allowance for credit losses: |
|
|
|
|
|
|
|
|
|
Beginning balance |
$ |
76,119 |
|
|
$ |
65,019 |
|
|
$ |
71,805 |
|
|
$ |
65,019 |
|
|
$ |
93,692 |
|
Suncrest FV PCD loans |
|
- |
|
|
|
8,605 |
|
|
|
- |
|
|
|
8,605 |
|
|
|
- |
|
Total charge-offs |
|
(8 |
) |
|
|
(16 |
) |
|
|
(510 |
) |
|
|
(24 |
) |
|
|
(2,985 |
) |
Total recoveries on loans previously charged-off |
|
511 |
|
|
|
11 |
|
|
|
47 |
|
|
|
522 |
|
|
|
135 |
|
Net recoveries (charge-offs) |
|
503 |
|
|
|
(5 |
) |
|
|
(463 |
) |
|
|
498 |
|
|
|
(2,850 |
) |
Provision for (recapture of) credit losses |
|
3,600 |
|
|
|
2,500 |
|
|
|
(2,000 |
) |
|
|
6,100 |
|
|
|
(21,500 |
) |
Allowance for credit losses at end of period |
$ |
80,222 |
|
|
$ |
76,119 |
|
|
$ |
69,342 |
|
|
$ |
80,222 |
|
|
$ |
69,342 |
|
|
|
|
|
|
|
|
|
|
|
Net recoveries (charge-offs) to average loans |
|
0.006% |
|
|
|
0.000% |
|
|
-0.006% |
|
|
0.006% |
|
|
|
-0.035% |
CVB FINANCIAL CORP. AND SUBSIDIARIES |
SELECTED FINANCIAL HIGHLIGHTS |
(Unaudited) |
(Dollars in millions) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for Credit Losses by Loan
Type |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
June 30, 2022 |
December 31, 2021 |
June 30, 2021 |
|
Allowance For Credit Losses |
Allowance as a % of Total Loans by Respective Loan
Type |
Allowance For Credit Losses |
Allowance as a % of Total Loans by Respective Loan
Type |
Allowance For Credit Losses |
Allowance as a % of Total Loans by Respective Loan
Type |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate |
$ |
61.5 |
|
0.9% |
|
|
$ |
50.9 |
|
0.9% |
|
|
$ |
55.2 |
|
1.0% |
|
Construction |
|
1.1 |
|
1.8% |
|
|
|
0.8 |
|
1.2% |
|
|
|
1.8 |
|
2.1% |
|
SBA |
|
2.6 |
|
0.9% |
|
|
|
2.7 |
|
0.9% |
|
|
|
2.5 |
|
0.9% |
|
SBA - PPP |
|
- |
|
- |
|
|
|
- |
|
- |
|
|
|
- |
|
- |
|
Commercial and industrial |
|
7.2 |
|
0.8% |
|
|
|
6.7 |
|
0.8% |
|
|
|
5.7 |
|
0.8% |
|
Dairy & livestock and agribusiness |
|
6.8 |
|
2.5% |
|
|
|
3.0 |
|
0.8% |
|
|
|
2.8 |
|
1.1% |
|
Municipal lease finance receivables |
|
0.2 |
|
0.3% |
|
|
|
0.1 |
|
0.2% |
|
|
|
- |
|
0.2% |
|
SFR mortgage |
|
0.2 |
|
0.1% |
|
|
|
0.2 |
|
0.1% |
|
|
|
0.3 |
|
0.1% |
|
Consumer and other loans |
|
0.6 |
|
0.7% |
|
|
|
0.6 |
|
0.8% |
|
|
|
1.0 |
|
1.3% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total |
$ |
80.2 |
|
0.9% |
|
|
$ |
65.0 |
|
0.8% |
|
|
$ |
69.3 |
|
0.9% |
|
CVB FINANCIAL CORP. AND SUBSIDIARIES |
SELECTED FINANCIAL HIGHLIGHTS |
(Unaudited) |
(Dollars in thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
Quarterly Common Stock Price |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2022 |
|
|
|
2021 |
|
|
|
2020 |
|
Quarter End |
High |
|
Low |
|
High |
|
Low |
|
High |
|
Low |
March 31, |
$ |
24.37 |
|
$ |
21.36 |
|
|
$ |
25.00 |
|
|
$ |
19.15 |
|
|
$ |
22.01 |
|
|
$ |
14.92 |
|
June 30, |
$ |
25.59 |
|
$ |
22.37 |
|
|
$ |
22.98 |
|
|
$ |
20.50 |
|
|
$ |
22.22 |
|
|
$ |
15.97 |
|
September 30, |
|
|
|
|
$ |
20.86 |
|
|
$ |
18.72 |
|
|
$ |
19.87 |
|
|
$ |
15.57 |
|
December 31, |
|
|
|
|
$ |
21.85 |
|
|
$ |
19.00 |
|
|
$ |
21.34 |
|
|
$ |
16.26 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Quarterly Consolidated Statements of Earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Q2 |
|
Q1 |
|
Q4 |
|
Q3 |
|
Q2 |
|
|
|
|
2022 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
2021 |
|
Interest income |
|
|
|
|
|
|
|
|
|
|
|
Loans and leases, including fees |
|
|
$ |
92,770 |
|
|
$ |
89,461 |
|
|
$ |
84,683 |
|
|
$ |
88,390 |
|
|
$ |
91,726 |
|
Investment securities and other |
|
|
|
30,492 |
|
|
|
24,639 |
|
|
|
18,848 |
|
|
|
16,157 |
|
|
|
15,302 |
|
Total interest income |
|
|
|
123,262 |
|
|
|
114,100 |
|
|
|
103,531 |
|
|
|
104,547 |
|
|
|
107,028 |
|
Interest expense |
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
1,201 |
|
|
|
1,127 |
|
|
|
996 |
|
|
|
1,113 |
|
|
|
1,425 |
|
Other borrowings |
|
|
|
121 |
|
|
|
133 |
|
|
|
140 |
|
|
|
135 |
|
|
|
215 |
|
Total interest expense |
|
|
|
1,322 |
|
|
|
1,260 |
|
|
|
1,136 |
|
|
|
1,248 |
|
|
|
1,640 |
|
Net interest income before provision for (recapture of) credit
losses |
|
|
|
121,940 |
|
|
|
112,840 |
|
|
|
102,395 |
|
|
|
103,299 |
|
|
|
105,388 |
|
Provision for (recapture of) credit losses |
|
|
3,600 |
|
|
|
2,500 |
|
|
|
- |
|
|
|
(4,000 |
) |
|
|
(2,000 |
) |
Net interest income after provision for (recapture of) credit
losses |
|
|
|
118,340 |
|
|
|
110,340 |
|
|
|
102,395 |
|
|
|
107,299 |
|
|
|
107,388 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest income |
|
|
|
14,670 |
|
|
|
11,264 |
|
|
|
12,385 |
|
|
|
10,483 |
|
|
|
10,836 |
|
Noninterest expense |
|
|
|
50,871 |
|
|
|
58,238 |
|
|
|
47,980 |
|
|
|
48,099 |
|
|
|
46,545 |
|
Earnings before income taxes |
|
|
|
82,139 |
|
|
|
63,366 |
|
|
|
66,800 |
|
|
|
69,683 |
|
|
|
71,679 |
|
Income taxes |
|
|
|
23,081 |
|
|
|
17,806 |
|
|
|
19,104 |
|
|
|
19,930 |
|
|
|
20,500 |
|
Net earnings |
|
|
$ |
59,058 |
|
|
$ |
45,560 |
|
|
$ |
47,696 |
|
|
$ |
49,753 |
|
|
$ |
51,179 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Effective tax rate |
|
|
|
28.10% |
|
|
|
28.10% |
|
|
|
28.60% |
|
|
|
28.60% |
|
|
|
28.60% |
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per common share |
|
|
$ |
0.42 |
|
|
$ |
0.31 |
|
|
$ |
0.35 |
|
|
$ |
0.37 |
|
|
$ |
0.38 |
|
Diluted earnings per common share |
|
$ |
0.42 |
|
|
$ |
0.31 |
|
|
$ |
0.35 |
|
|
$ |
0.37 |
|
|
$ |
0.38 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends declared per common share |
|
$ |
0.19 |
|
|
$ |
0.18 |
|
|
$ |
0.18 |
|
|
$ |
0.18 |
|
|
$ |
0.18 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends declared |
|
|
$ |
26,719 |
|
|
$ |
25,467 |
|
|
$ |
24,401 |
|
|
$ |
24,421 |
|
|
$ |
24,497 |
|
CVB FINANCIAL CORP. AND SUBSIDIARIES |
SELECTED FINANCIAL HIGHLIGHTS |
(Unaudited) |
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
|
Loan Portfolio by Type |
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
June 30, |
|
|
2022 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
Commercial real estate |
$ |
6,643,628 |
|
|
$ |
6,470,841 |
|
|
$ |
5,789,730 |
|
|
$ |
5,734,699 |
|
|
$ |
5,670,696 |
|
Construction |
|
60,584 |
|
|
|
73,478 |
|
|
|
62,264 |
|
|
|
77,398 |
|
|
|
88,280 |
|
SBA |
|
297,109 |
|
|
|
311,238 |
|
|
|
288,600 |
|
|
|
307,533 |
|
|
|
291,778 |
|
SBA - PPP |
|
66,955 |
|
|
|
121,189 |
|
|
|
186,585 |
|
|
|
330,960 |
|
|
|
657,815 |
|
Commercial and industrial |
|
941,595 |
|
|
|
924,780 |
|
|
|
813,063 |
|
|
|
769,977 |
|
|
|
749,117 |
|
Dairy & livestock and agribusiness |
|
273,594 |
|
|
|
292,784 |
|
|
|
386,219 |
|
|
|
279,584 |
|
|
|
257,781 |
|
Municipal lease finance receivables |
|
64,437 |
|
|
|
65,543 |
|
|
|
45,933 |
|
|
|
47,305 |
|
|
|
44,657 |
|
SFR mortgage |
|
260,218 |
|
|
|
255,136 |
|
|
|
240,654 |
|
|
|
231,323 |
|
|
|
237,124 |
|
Consumer and other loans |
|
84,109 |
|
|
|
76,695 |
|
|
|
74,665 |
|
|
|
70,741 |
|
|
|
74,062 |
|
Gross loans, net of deferred loan fees and discounts |
|
8,692,229 |
|
|
|
8,591,684 |
|
|
|
7,887,713 |
|
|
|
7,849,520 |
|
|
|
8,071,310 |
|
Allowance for credit losses |
|
(80,222 |
) |
|
|
(76,119 |
) |
|
|
(65,019 |
) |
|
|
(65,364 |
) |
|
|
(69,342 |
) |
Net loans |
$ |
8,612,007 |
|
|
$ |
8,515,565 |
|
|
$ |
7,822,694 |
|
|
$ |
7,784,156 |
|
|
$ |
8,001,968 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposit Composition by Type and Customer Repurchase
Agreements |
|
|
|
|
|
|
|
|
|
|
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
June 30, |
|
|
2022 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing |
$ |
8,881,223 |
|
|
$ |
9,107,304 |
|
|
$ |
8,104,056 |
|
|
$ |
8,310,709 |
|
|
$ |
8,065,400 |
|
Investment checking |
|
695,054 |
|
|
|
714,567 |
|
|
|
655,333 |
|
|
|
594,347 |
|
|
|
588,831 |
|
Savings and money market |
|
4,145,634 |
|
|
|
4,289,550 |
|
|
|
3,889,371 |
|
|
|
3,680,721 |
|
|
|
3,649,305 |
|
Time deposits |
|
350,308 |
|
|
|
376,357 |
|
|
|
327,682 |
|
|
|
344,439 |
|
|
|
365,521 |
|
Total deposits |
|
14,072,219 |
|
|
|
14,487,778 |
|
|
|
12,976,442 |
|
|
|
12,930,216 |
|
|
|
12,669,057 |
|
|
|
|
|
|
|
|
|
|
|
Customer repurchase agreements |
|
502,829 |
|
|
|
598,909 |
|
|
|
642,388 |
|
|
|
659,579 |
|
|
|
578,207 |
|
Total deposits and customer repurchase agreements |
$ |
14,575,048 |
|
|
$ |
15,086,687 |
|
|
$ |
13,618,830 |
|
|
$ |
13,589,795 |
|
|
$ |
13,247,264 |
|
CVB FINANCIAL CORP. AND SUBSIDIARIES |
SELECTED FINANCIAL HIGHLIGHTS |
(Unaudited) |
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
|
Nonperforming Assets and Delinquency Trends |
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
June 30, |
|
|
2022 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
2021 |
|
|
|
2021 |
|
Nonperforming loans: |
|
|
|
|
|
|
|
|
|
Commercial real estate |
$ |
6,843 |
|
|
$ |
7,055 |
|
|
$ |
3,607 |
|
|
$ |
4,073 |
|
|
$ |
4,439 |
|
Construction |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
SBA |
|
1,075 |
|
|
|
1,575 |
|
|
|
1,034 |
|
|
|
1,513 |
|
|
|
1,382 |
|
SBA - PPP |
|
- |
|
|
|
2 |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Commercial and industrial |
|
1,655 |
|
|
|
1,771 |
|
|
|
1,714 |
|
|
|
2,038 |
|
|
|
1,818 |
|
Dairy & livestock and agribusiness |
|
3,354 |
|
|
|
2,655 |
|
|
|
- |
|
|
|
118 |
|
|
|
118 |
|
SFR mortgage |
|
- |
|
|
|
167 |
|
|
|
380 |
|
|
|
399 |
|
|
|
406 |
|
Consumer and other loans |
|
37 |
|
|
|
40 |
|
|
|
158 |
|
|
|
305 |
|
|
|
308 |
|
Total |
$ |
12,964 |
|
|
$ |
13,265 |
|
|
$ |
6,893 |
|
|
$ |
8,446 |
|
|
$ |
8,471 |
|
% of Total loans |
|
0.15% |
|
|
|
0.15% |
|
|
|
0.09% |
|
|
|
0.11% |
|
|
|
0.10% |
|
|
|
|
|
|
|
|
|
|
|
Past due 30-89 days: |
|
|
|
|
|
|
|
|
|
Commercial real estate |
$ |
559 |
|
|
$ |
565 |
|
|
$ |
438 |
|
|
$ |
- |
|
|
$ |
- |
|
Construction |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
SBA |
|
- |
|
|
|
549 |
|
|
|
979 |
|
|
|
- |
|
|
|
- |
|
Commercial and industrial |
|
- |
|
|
|
6 |
|
|
|
- |
|
|
|
122 |
|
|
|
415 |
|
Dairy & livestock and agribusiness |
|
- |
|
|
|
1,099 |
|
|
|
- |
|
|
|
1,000 |
|
|
|
- |
|
SFR mortgage |
|
- |
|
|
|
403 |
|
|
|
1,040 |
|
|
|
- |
|
|
|
- |
|
Consumer and other loans |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Total |
$ |
559 |
|
|
$ |
2,622 |
|
|
$ |
2,457 |
|
|
$ |
1,122 |
|
|
$ |
415 |
|
% of Total loans |
|
0.01% |
|
|
|
0.03% |
|
|
|
0.03% |
|
|
|
0.01% |
|
|
|
0.01% |
|
|
|
|
|
|
|
|
|
|
|
OREO: |
|
|
|
|
|
|
|
|
|
Commercial real estate |
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
SBA |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
SFR mortgage |
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
Total |
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
Total nonperforming, past due, and OREO |
$ |
13,523 |
|
|
$ |
15,887 |
|
|
$ |
9,350 |
|
|
$ |
9,568 |
|
|
$ |
8,886 |
|
% of Total loans |
|
0.16% |
|
|
|
0.18% |
|
|
|
0.12% |
|
|
|
0.12% |
|
|
|
0.11% |
|
CVB FINANCIAL CORP. AND SUBSIDIARIES |
SELECTED FINANCIAL HIGHLIGHTS |
(Unaudited) |
|
|
|
|
|
|
|
Regulatory Capital Ratios |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Minimum Required Plus Capital Conservation
Buffer |
CVB Financial Corp. Consolidated |
Capital Ratios |
June 30, 2022 |
|
December 31, 2021 |
|
June 30, 2021 |
|
|
|
|
|
|
|
|
Tier 1 leverage capital ratio |
4.0% |
|
8.8% |
|
9.2% |
|
9.4% |
Common equity Tier 1 capital ratio |
7.0% |
|
13.4% |
|
14.9% |
|
15.1% |
Tier 1 risk-based capital ratio |
8.5% |
|
13.4% |
|
14.9% |
|
15.1% |
Total risk-based capital ratio |
10.5% |
|
14.2% |
|
15.6% |
|
15.9% |
|
|
|
|
|
|
|
|
Tangible common equity ratio |
|
|
7.5% |
|
9.2% |
|
9.2% |
Tangible Book Value Reconciliations
(Non-GAAP) |
|
|
|
The tangible book value per share is a Non-GAAP disclosure. The
Company uses certain non-GAAP financial measures to provide
supplemental information regarding the Company's performance. The
following is a reconciliation of tangible book value to the Company
stockholders' equity computed in accordance with GAAP, as well as a
calculation of tangible book value per share as of June 30, 2022,
December 31, 2021 and June 30, 2021. |
|
|
|
|
|
|
|
|
|
|
|
|
June 30, 2022 |
|
December 31, 2021 |
|
June 30, 2021 |
|
|
|
(Dollars in thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
Stockholders' equity |
|
$ |
1,982,211 |
|
|
$ |
2,081,503 |
|
|
$ |
2,055,074 |
|
|
Less: Goodwill |
|
|
(765,822 |
) |
|
|
(663,707 |
) |
|
|
(663,707 |
) |
|
Less: Intangible assets |
|
|
(25,312 |
) |
|
|
(25,394 |
) |
|
|
(29,300 |
) |
|
Tangible book value |
|
$ |
1,191,077 |
|
|
$ |
1,392,402 |
|
|
$ |
1,362,067 |
|
|
Common shares issued and outstanding |
|
|
140,025,579 |
|
|
|
135,526,025 |
|
|
|
135,927,287 |
|
|
Tangible book value per share |
|
$ |
8.51 |
|
|
$ |
10.27 |
|
|
$ |
10.02 |
|
Return on
Average Tangible Common Equity Reconciliations
(Non-GAAP) |
|
The return on
average tangible common equity is a non-GAAP disclosure. The
Company uses certain non-GAAP financial measures to provide
supplemental information regarding the Company's performance. The
following is a reconciliation of net income, adjusted for
tax-effected amortization of intangibles, to net income computed in
accordance with GAAP; a reconciliation of average tangible common
equity to the Company's average stockholders' equity computed in
accordance with GAAP; as well as a calculation of return on average
tangible common equity. |
|
|
|
Three Months Ended |
|
Six Months Ended |
|
|
June 30, |
|
March 31, |
|
June 30, |
|
June 30, |
|
June 30, |
|
|
|
2022 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
2022 |
|
|
|
2021 |
|
|
|
(Dollars in thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
Net Income |
$ |
59,058 |
|
|
$ |
45,560 |
|
|
$ |
51,179 |
|
|
$ |
104,618 |
|
|
$ |
115,072 |
|
|
Add: Amortization of intangible assets |
|
1,998 |
|
|
|
1,998 |
|
|
|
2,167 |
|
|
|
3,996 |
|
|
|
4,334 |
|
|
Less: Tax effect of amortization of intangible assets [1] |
|
(591 |
) |
|
|
(591 |
) |
|
|
(641 |
) |
|
|
(1,181 |
) |
|
|
(1,281 |
) |
|
Tangible net income |
$ |
60,465 |
|
|
$ |
46,967 |
|
|
$ |
52,705 |
|
|
$ |
107,433 |
|
|
$ |
118,125 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Average stockholders' equity |
$ |
2,091,454 |
|
|
$ |
2,243,335 |
|
|
$ |
2,048,956 |
|
|
$ |
2,166,975 |
|
|
$ |
2,040,861 |
|
|
Less: Average goodwill |
|
(765,822 |
) |
|
|
(759,014 |
) |
|
|
(663,707 |
) |
|
|
(762,437 |
) |
|
|
(663,707 |
) |
|
Less: Average intangible assets |
|
(26,381 |
) |
|
|
(28,190 |
) |
|
|
(30,348 |
) |
|
|
(27,280 |
) |
|
|
(31,463 |
) |
|
Average tangible common equity |
$ |
1,299,251 |
|
|
$ |
1,456,131 |
|
|
$ |
1,354,901 |
|
|
$ |
1,377,258 |
|
|
$ |
1,345,691 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average equity, annualized |
|
11.33% |
|
|
|
8.24% |
|
|
|
10.02% |
|
|
|
9.74% |
|
|
|
11.37% |
|
|
Return on average tangible common equity, annualized |
|
18.67% |
|
|
|
13.08% |
|
|
|
15.60% |
|
|
|
15.73% |
|
|
|
17.70% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
[1] Tax effected at respective statutory rates. |
CVB Financial (NASDAQ:CVBF)
Graphique Historique de l'Action
De Mai 2024 à Juin 2024
CVB Financial (NASDAQ:CVBF)
Graphique Historique de l'Action
De Juin 2023 à Juin 2024