Q3 Results Highlighted by Sequential
Expansion of Net Interest Income and Fee Revenues, Sustained Loan
and Deposit Growth, and Strong Credit Quality
2024 Third-Quarter Highlights:
- Earnings per common share (EPS) for the quarter were
$0.33, higher by $0.03 from the prior quarter, and lower by
$0.02 from the year-ago quarter.
- Net interest income increased $39
million, or 3%, from the prior quarter, and decreased
$17 million, or 1%, from the year-ago
quarter.
- Noninterest income increased $32
million, or 7%, from the prior quarter, to $523 million. From the year-ago quarter,
noninterest income increased $14
million, or 3%. Excluding the mark-to-market on pay-fixed
swaptions in the third quarter 2023 and mark-to-market and premiums
from credit risk transfer transactions during the current quarter,
noninterest income increased by $55
million, or 12% from the year-ago quarter.
- Average total loans and leases increased $1.1 billion, or 1%, from the prior quarter to
$124.5 billion, and increased
$3.7 billion, or 3%, from the
year-ago quarter.
- Ending total loans increased $2.0
billion, or 2%, from the prior quarter, or 6% on an
annualized basis, and $5.5 billion,
or 5%, from the year-ago quarter.
- Average total deposits increased $2.9
billion, or 2%, from the prior quarter and $8.3 billion, or 6%, from the year-ago quarter.
- Ending total deposits increased $4.0
billion, or 3%, from the prior quarter and $9.5 billion, or 6%, from the year-ago
quarter.
- Net charge-offs of 0.30% of average total loans and leases for
the quarter.
- Nonperforming asset ratio of 0.62% at quarter end.
- Allowance for credit losses (ACL) of $2.4 billion, or 1.93% of total loans and leases,
at quarter end.
- Cash and cash equivalents and available contingent borrowing
capacity totaled $95 billion at
September 30, 2024, and represented
195% of estimated uninsured deposits.
- Common Equity Tier 1 (CET1) risk-based capital ratio was 10.4%,
at September 30, 2024, unchanged from
the prior quarter. Adjusted Common Equity Tier 1, including the
effect of AOCI, was 8.9%, up from 8.6% in the prior quarter.
- Tangible common equity (TCE) ratio of 6.4%, up from 6.0% in the
prior quarter and up from 5.7% a year ago.
- Tangible book value per share of $8.65, up $0.76, or
10%, from the prior quarter and $1.53, or 21%, from a year ago.
- Huntington was ranked first nationally for SBA 7(a) loan
originations by volume for the seventh year in a row for SBA fiscal
year 2024 and the 16th year in a row that Huntington has been the
largest originator, by volume, of SBA 7(a) loans within
footprint.
COLUMBUS, Ohio, Oct. 17,
2024 /PRNewswire/ -- Huntington Bancshares
Incorporated (Nasdaq: HBAN) reported net income for the 2024 third
quarter of $517 million, or
$0.33 per common share, an increase
of $43 million, or $0.03, from the prior quarter, and a decrease of
$30 million, or $0.02, from the year-ago quarter.
Return on average assets was 1.04%, return on average common
equity was 10.8%, and return on average tangible common equity
(ROTCE) was 16.2%.
CEO Commentary:
"Our third quarter results were highlighted by sequential
revenue and profit expansion", said Steve
Steinour, chairman, president, and CEO. "We drove
accelerated loan growth and sustained deposit gathering in the
quarter, while actively executing our down-rate action plans. We
are also pleased with a very strong performance in our value added
fees businesses."
"Huntington continues to operate from a position of strength
given disciplined management actions the company has sustained over
many years. Our liquidity and capital are robust and support our
continued focus on driving organic growth. We are continuing to
acquire and deepen customer relationships, expanding in our
existing business and new markets and verticals."
"Credit continues to perform very well, with stable net-charge
offs and improved nonperforming asset and criticized asset ratios,
consistent with our aggregate moderate-to-low risk appetite. Our
customers continue to show strength and resiliency, which supports
a constructive outlook."
"We anticipate accelerated loan growth to continue in the fourth
quarter, supported by our core businesses and successful execution
of new initiatives, which are tracking above plan. Loan pipelines
are robust as we enter the fourth quarter, and we believe this
growth momentum establishes a foundation for growing revenue and
expanded profitability heading into 2025".
The first quarter 2024 earnings materials, including the
detailed earnings press release, quarterly financial supplement,
and conference call slide presentation, are available on the
Investor Relations section of Huntington's website,
http://huntington.com/. In addition, the financial results will be
furnished on a Form 8-K that will be available on the Securities
and Exchange Commission website at www.sec.gov.
Conference Call / Webcast Information
Huntington's senior management will host an earnings conference
call on October 17, 2024, at 9:00 a.m. (Eastern Time).
The call may be accessed via a live Internet webcast at the
Investor Relations section of Huntington's website,
www.huntington.com, or through a dial-in telephone number at (877)
407-8029; Conference ID #13749221. Slides will be available in the
Investor Relations section of Huntington's website about an hour
prior to the call. A replay of the webcast will be archived in the
Investor Relations section of Huntington's website. A telephone
replay will be available approximately two hours after the
completion of the call through October 25,
2024 at (877) 660-6853 or (201) 612-7415; conference ID
#13749221.
Please see the 2024 Third Quarter Quarterly Financial
Supplement for additional detailed financial performance metrics.
This document can be found on the Investor Relations section of
Huntington's website, http://www.huntington.com.
About Huntington
Huntington Bancshares Incorporated is a $201 billion asset regional bank holding company
headquartered in Columbus, Ohio.
Founded in 1866, The Huntington National Bank and its affiliates
provide consumers, small and middle‐market businesses,
corporations, municipalities, and other organizations with a
comprehensive suite of banking, payments, wealth management, and
risk management products and services. Huntington operates 975
branches in 12 states, with certain businesses operating in
extended geographies. Visit Huntington.com for more
information.
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SOURCE Huntington Bancshares Incorporated
