BBVA Compass reports first quarter results

Published

HOUSTON, April 29, 2019 /PRNewswire/ --

  • Net income for the quarter totaled $141 million
    • Net income declined 32 percent from a year ago as an increase in operating income1 was offset by higher provision expense
    • Return on average assets and return on average tangible equity1 for the quarter were 0.61 percent and 6.64 percent, respectively
  • Total revenue increased 6 percent from prior year levels
    • Net interest income increased $60 million or 10 percent from year ago levels
    • Percent net interest margin (FTE) up 14 basis points from the year ago quarter and 4 basis points from fourth quarter 2018 levels
  • Noninterest expense growth well contained at 3 percent; efficiency ratio improves 147 basis points to 61.58 percent
  • Positive operating leverage results in record quarterly operating income1 of $359 million in the quarter, up 13 percent from a year ago and 9 percent on a linked quarter annualized basis
  • Deposit growth fully funds increase in loan portfolio
    • Total loans of $65.0 billion up 4 percent
    • Total deposits of $74.4 billion up 6 percent from a year ago and 12 percent on a linked quarter annualized basis
  • Credit quality metrics remain sound despite isolated one-offs; allowance to loan ratio at 1.52 percent compared to 1.36 percent at the end of 2018
    • Nonperforming loan ratio at 1.34 percent compared to 1.24 percent at the end of 2018 and 1.11 percent at the end of the first quarter of 2018
    • Net charge off ratio of 63 basis points down from 68 basis points in the fourth quarter of 2018 and up from 44 basis points for the first quarter of 2018
    • Provision expense in the quarter exceeded net charge-offs by $81 million
  • Capital position remains strong; Common Equity Tier 1 capital ratio2 rose to 12.34 percent, up 34 basis points from year-end 2018

BBVA Compass Bancshares, Inc., a Sunbelt-based bank holding company (BBVA Compass), reported today net income of $141 million for the first quarter of 2019 compared to earnings of $209 million in the first quarter of 2018. Return on average assets and return on average tangible equity1 for the first quarter of 2019 were 0.61 percent and 6.64 percent, respectively.

"Our results for the first quarter of 2019 continue to reflect positive operating leverage as we delivered record operating income in the quarter," said Javier Rodríguez Soler, president and CEO of BBVA Compass. "Revenue growth was driven by a double digit increase in net interest income and expense growth was well contained. Loan growth was modest but, most importantly, was fully funded by deposit growth as we continued to successfully grow and deepen our deposit relationships. While provision levels in the quarter were elevated, the overall health of our loan portfolio remains strong. As we continue to navigate the challenging environment, our focus remains on being at the forefront of the digital transformation in our industry and using technology to improve efficiency and provide our customers with amazing experiences."

Total revenue for the quarter was $932 million, an increase of 6 percent from the first quarter of 2018. Net interest income totaled $683 million, an increase of $60 million or 10 percent from the first quarter of 2018, and an annualized increase of 1 percent on a linked quarter basis. The percent net interest margin in the first quarter of 2019 was 3.41 percent, an increase of 14 basis points from a year ago and 4 basis points on a linked quarter basis. "The increase in net interest income reflects higher short-term market rates and growth in higher-yielding loans, partially offset by higher funding costs as customers continue to migrate into interest bearing accounts and the competitive landscape for deposits," noted Rodríguez Soler.

Noninterest income for the quarter totaled $258 million, relatively unchanged from first quarter of 2018 levels. Fee-based businesses reported positive growth including card and merchant processing fees (+16 percent), service charges on deposit accounts (+5 percent) and money transfer income (+6 percent). Conversely, interest rate sensitive businesses and weaker demand impacted corporate and correspondent investment sales (-43 percent), investment banking and advisory fees (-21 percent) and investment services sales (-11 percent). During the quarter investment securities gains, net totaled $9.0 million.

Expense growth was well managed as noninterest expense totaled $582 million, a 3 percent increase compared to first quarter 2018 levels and down 13 percent on a linked quarter annualized basis. As a result of this positive operating leverage, operating income1 for the quarter totaled a record $359 million, an increase of $41 million or 13 percent from the first quarter of 2018, and the efficiency ratio improved 147 basis points to 61.58 percent compared to 63.05 percent in the first quarter of 2018.

In terms of balance sheet growth, total loans for the first quarter of 2019 were $65.0 billion, an increase of 4 percent from the $62.3 billion at the end of the first quarter of 2018. On a reported basis, total commercial loans were flat versus a year ago. However, during the first quarter approximately $1.2 billion of commercial loans were transferred to loans held for sale. Adjusting for the impact of this transfer, the year-over-year increase in commercial loans was 3 percent. Total consumer loans grew 6 percent, led by increased activity in direct consumer lending (+36 percent), credit cards (+27 percent) and indirect auto lending (+14 percent). Although year-over-year growth in these portfolios was at double-digit rates, compared to previous quarters the pace of growth slowed, particularly compared to the fourth quarter of 2018.

Total deposits at the end of the first quarter of 2019 were $74.4 billion, a 6 percent increase from the $69.9 billion at the end of the first quarter of 2018. Noninterest bearing demand deposits declined 6 percent as customers continue to shift from demand deposits into interest bearing accounts. As a result, interest bearing transactions accounts (savings, money market and interest bearing checking) increased 11 percent compared to a year ago. Deposit growth at $4.4 billion fully funded loan growth of $2.7 billion. Consequently, the loan to deposit ratio ended the quarter at 87 percent compared to 89 percent a year ago.

"While loan growth is important, maintaining sound underwriting standards and a strong risk profile is one of our highest priorities," noted Rodríguez Soler. "During the quarter we recorded a meaningful increase in provision expense to address isolated, one-off issues in our commercial and consumer loan portfolios."

Nonperforming loans as a percentage of total loans ended the quarter at 1.34 percent compared to 1.24 percent at the end of the fourth quarter of 2018 and 1.11 percent at the end of the first quarter of 2018. The increase in nonperforming loans during the quarter was primarily due to a handful of unrelated commercial credits. Net charge-offs as a percentage of average loans were 63 basis points in the quarter, down from 68 basis points in the fourth quarter of 2018 and up from the 44 basis points recorded during the first quarter of 2018. The increase in net charge-offs over the past two quarters was primarily the result of increased charge-offs in certain consumer portfolios reflecting growth in those portfolios as well as the further seasoning of newly established consumer direct portfolio product offerings. Provision expense for the quarter was $182 million, exceeding net charge-offs by $81 million. As a result, the allowance for loan losses as a percentage of total loans at the end of the quarter was 1.52 percent, up from 1.36 percent at the end of the fourth quarter of 2018 and 1.34 percent at the end of the first quarter of 2018. The coverage ratio of nonperforming loans ended the quarter at 111 percent.

Total shareholder's equity at the end of the first quarter of 2019 totaled $13.7 billion, a 4 percent increase from $13.1 billion at the end of the first quarter of 2018. The CET1 ratio stood at 12.34 percent2 at the end of the first quarter of 2019, up 26 basis points from the end of the first quarter of 2018. All of BBVA Compass' regulatory capital ratios2 continue to significantly exceed the requirements under "well-capitalized" guidelines.

During the first quarter, BBVA Compass was named by Global Finance magazine as top treasury and cash management provider for the Southwest in the category of Best US Regional Middle Market providers. BBVA Compass was recognized for the annual award from Global Finance for its customer service, competitive pricing, product innovation and the extent to which the bank differentiated itself from competitors.

BBVA Compass also announced that the Federal Reserve Bank of Atlanta rated it "Outstanding" for CRA performance for its most recent examination period encompassing 2015 to 2017. The bank achieved "excellent performance" for community development lending and investments, and "high satisfactory" for service.

The evaluation cited several reasons for BBVA Compass' overall 'Outstanding' rating, including the bank's excellent responsiveness to credit needs and the distribution of loans among borrowers of different income levels and businesses of different revenue sizes. In addition, BBVA Compass demonstrated leadership in making community development loans and investments, as well as leadership in providing community development services.

_________________________
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation.
2 Regulatory capital ratios at March 31, 2019, are estimated.
FTE – fully taxable equivalent

About BBVA Compass
BBVA Compass is a Sunbelt-based financial institution that operates 641 branches, including 329 in Texas, 89 in Alabama, 63 in Arizona, 61 in California, 45 in Florida, 37 in Colorado and 17 in New Mexico. BBVA Compass ranks among the top 25 largest U.S. commercial banks based on deposit market share and ranks among the largest banks in Alabama (2nd), Texas (4th) and Arizona (6th). BBVA Compass has been recognized as one of the leading small business lenders by the Small Business Administration (SBA) and ranked 8th nationally in terms of dollar volume of SBA loans originated in fiscal year 2018. Additional information about BBVA Compass can be found under the Investor Relations tab at bbvacompass.com, by following @BBVACompassNews on Twitter or visiting newsroom.bbvacompass.com.

About BBVA Group
BBVA (NYSE: BBVA) is a customer-centric global financial services group founded in 1857. The Group has a strong leadership position in the Spanish market, is the largest financial institution in Mexico, it has leading franchises in South America and the Sunbelt Region of the United States; and it is also the leading shareholder in Garanti, Turkey's biggest bank for market capitalization. Its diversified business is focused on high-growth markets and it relies on technology as a key sustainable competitive advantage. Corporate responsibility is at the core of its business model. BBVA fosters financial education and inclusion, and supports scientific research and culture. It operates with the highest integrity, a long-term vision and applies the best practices. More information about BBVA Group can be found at bbva.com.

On March 28, 2019, BBVA filed its annual report on Form 20-F for the year ended December 31, 2018, with the U.S. Securities and Exchange Commission. A copy can be accessed on the BBVA website at https://shareholdersandinvestors.bbva.com/the-share/adrs-english/. Holders of BBVA's American Depositary Receipts (ADRs) may request a hard copy of the Form 20-F for the year ended December 31, 2018, including complete audited financial statements, free of charge. To request a copy, contact Ed Bilek at ed.bilek@bbva.com.

Forward-Looking Statements
Certain statements in this press release may contain forward-looking statements about BBVA Compass Bancshares, Inc. (the "Company") and its industry that involve substantial risks and uncertainties. The use of "we," "our" and similar terms refer to the Company. Statements other than statements of current or historical fact, including statements regarding our future financial condition, results of operations, business plans, liquidity, cash flows, projected costs, and the impact of any laws or regulations applicable to the Company, constitute forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Words such as "anticipates," "believes," "estimates," "expects," "forecasts," "intends," "plans," "projects," "may," "will," "should," and other similar expressions are intended to identify these forward-looking statements. These forward-looking statements reflect the Company's views regarding future events and financial performance. Such statements are subject to risks, uncertainties, assumptions and other important factors, many of which may be beyond the Company's control, that could cause actual results to differ materially from anticipated results. If the Company's assumptions and estimates are incorrect, or if the Company becomes subject to significant limitations as the result of litigation or regulatory action, then the Company's actual results could vary materially from those expressed or implied in these forward-looking statements. The forward-looking statements are and will be based on the Company's then current views and assumptions regarding future events and speak only as of their dates made. The Company assumes no obligation to update any forward-looking statement, whether as a result of new information, future events, or otherwise, except as required by securities law or regulation. For further information regarding risks and uncertainties associated with the Company's business, please refer to the "Risk Factors" section of the Company's Annual Report on Form 10-K filed with the U.S. Securities and Exchange Commission (the "SEC") on February 28, 2019, as updated by our subsequent SEC filings.

_________________________ BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands)
FTE – fully taxable equivalent
Three Months Ended March 31, %
2019 2018 Change
EARNINGS SUMMARY
Net interest income $       683,089 $       622,605 10
Noninterest income [a] 248,802 257,825 (3)
Total revenue [a] 931,891 880,430 6
Investment securities gain, net 8,958  NM 
Provision for loan losses 182,292 57,029 220
Noninterest expense 581,973 562,913 3
Pretax income 176,584 260,488 (32)
Income tax expense 35,603 51,798 (31)
Net income 140,981 208,690 (32)
Net income attributable to noncontrolling interests 556 461 21
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33)
SELECTED RATIOS
Return on average assets 0.61 % 0.96 %
Return on average tangible equity [b] 6.64 10.51
Efficiency ratio [b] 61.58 63.05
Average common equity to average assets 14.39 14.62
Average loans to average total deposits 90.69 89.61
Common equity tier I capital (CET1) [c] 12.34 12.08
Tier I capital ratio [c] 12.67 12.43
Total capital ratio [c] 14.81 14.67
Leverage ratio [c] 10.05 10.12
Average for Three Months Ending Balance
Ended March 31, % March 31, %
2019 2018 Change 2019 2018 Change
BALANCE SHEET HIGHLIGHTS
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6)
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

_________________________ BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities.
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation.
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated.
Three Months Ended March 31, % NM = Not meaningful
2019 2018 Change
EARNINGS SUMMARY
Net interest income $       683,089 $       622,605 10
Noninterest income [a] 248,802 257,825 (3)
Total revenue [a] 931,891 880,430 6
Investment securities gain, net 8,958  NM 
Provision for loan losses 182,292 57,029 220
Noninterest expense 581,973 562,913 3
Pretax income 176,584 260,488 (32)
Income tax expense 35,603 51,798 (31)
Net income 140,981 208,690 (32)
Net income attributable to noncontrolling interests 556 461 21
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33)
SELECTED RATIOS
Return on average assets 0.61 % 0.96 %
Return on average tangible equity [b] 6.64 10.51
Efficiency ratio [b] 61.58 63.05
Average common equity to average assets 14.39 14.62
Average loans to average total deposits 90.69 89.61
Common equity tier I capital (CET1) [c] 12.34 12.08
Tier I capital ratio [c] 12.67 12.43
Total capital ratio [c] 14.81 14.67
Leverage ratio [c] 10.05 10.12
Average for Three Months Ending Balance
Ended March 31, % March 31, %
2019 2018 Change 2019 2018 Change
BALANCE SHEET HIGHLIGHTS
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6)
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

 

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands)
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated.
Three Months Ended March 31, % NM = Not meaningful 2019 2018
2019 2018 Change March 31 December 31 September 30 June 30 March 31
EARNINGS SUMMARY NONPERFORMING ASSETS
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239
Income tax expense 35,603 51,798 (31)
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285
Net income attributable to noncontrolling interests 556 461 21
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 %
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16
SELECTED RATIOS
Return on average assets 0.61 % 0.96 % Three Months Ended
Return on average tangible equity [b] 6.64 10.51 2019 2018
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071
Leverage ratio [c] 10.05 10.12
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 %
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37
Average for Three Months Ending Balance
Ended March 31, % March 31, % Annualized as a % of average loans:
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6)
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale.
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs).
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018
2019 2018 Change March 31 December 31 September 30 June 30 March 31
EARNINGS SUMMARY NONPERFORMING ASSETS
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239
Income tax expense 35,603 51,798 (31)
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285
Net income attributable to noncontrolling interests 556 461 21
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 %
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16
SELECTED RATIOS
Return on average assets 0.61 % 0.96 % Three Months Ended
Return on average tangible equity [b] 6.64 10.51 2019 2018
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071
Leverage ratio [c] 10.05 10.12
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 %
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37
Average for Three Months Ending Balance
Ended March 31, % March 31, % Annualized as a % of average loans:
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6)
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

 

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale. (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs). (Dollars in Thousands)
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018 Three Months Ended March 31,
2019 2018 Change March 31 December 31 September 30 June 30 March 31 2019 2018
EARNINGS SUMMARY NONPERFORMING ASSETS AverageBalance Income/Expense Yield/Rate AverageBalance Income/Expense Yield/Rate
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210 YIELD/RATE ANALYSIS
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904 (Taxable Equivalent Basis)
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700 Assets
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814 Earning assets:
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147 Loans $65,482,395 $812,415 5.03 % $62,200,448 $674,830 4.40 %
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278 Debt securities available for sale [a] 9,922,400 53,522 2.19 11,424,405 56,605 2.01
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239 Debt securities held to maturity 4,034,292 30,765 3.09 1,996,409 13,902 2.82
Income tax expense 35,603 51,798 (31) Other earning assets [b] 3,251,859 23,507 2.93 3,219,865 12,626 1.59
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285 Total earning assets [a] 82,690,946 920,209 4.51 78,841,127 757,963 3.90
Net income attributable to noncontrolling interests 556 461 21 Allowance for loan losses (909,663) (844,248)
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 % Unrealized loss on debt securities available for sale (187,905) (228,187)
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16 Other assets 11,392,498 10,002,217
SELECTED RATIOS Total assets $92,985,876 $87,770,909
Return on average assets 0.61 % 0.96 % Three Months Ended
Return on average tangible equity [b] 6.64 10.51 2019 2018 Liabilities and Shareholder's Equity
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31 Interest bearing liabilities:
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES Interest bearing demand deposits $  8,685,693 $  20,346 0.95 8,195,605 $    9,581 0.47
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760 Savings and money market accounts 27,218,571 76,909 1.15 25,526,343 38,890 0.62
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718 Certificates and other time deposits 16,116,509 85,099 2.14 14,109,950 48,876 1.40
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029 Total interest bearing deposits 52,020,773 182,354 1.42 47,831,898 97,347 0.83
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071 FHLB and other borrowings 4,290,724 37,626 3.56 3,310,286 24,756 3.03
Leverage ratio [c] 10.05 10.12 Federal funds purchased and securities sold under agreement to repurchase [b] 411,925 3,747 3.69 22,235 536 9.78
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 % Other short-term borrowings 28,117 196 2.83 51,626 344 2.70
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93 Total interest bearing liabilities 56,751,539 223,923 1.60 51,216,045 122,983 0.97
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37 Noninterest bearing deposits 20,183,069 21,581,905
Average for Three Months Ending Balance Other noninterest bearing liabilities 2,410,613 1,882,541
Ended March 31, % March 31, % Annualized as a % of average loans: Total liabilities 79,345,221 74,680,491
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44 Shareholder's equity 13,640,655 13,090,418
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44 Total liabilities and shareholder's equity $92,985,876 $87,770,909
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3 Net interest income/ net interest spread 696,286 2.91 % 634,980 2.93 %
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7 Net yield on earning assets 3.41 % 3.27 %
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6) Total taxable equivalent adjustment 13,197 12,375
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4 Net interest income $683,089 $622,605
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale. (Unaudited) [a] Excludes adjustment for market valuation.
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs). (Dollars in Thousands) [b] Yield/rate reflects impact of balance sheet offsetting.
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018 Three Months Ended March 31,
2019 2018 Change March 31 December 31 September 30 June 30 March 31 2019 2018
EARNINGS SUMMARY NONPERFORMING ASSETS AverageBalance Income/Expense Yield/Rate AverageBalance Income/Expense Yield/Rate
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210 YIELD/RATE ANALYSIS
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904 (Taxable Equivalent Basis)
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700 Assets
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814 Earning assets:
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147 Loans $65,482,395 $812,415 5.03 % $62,200,448 $674,830 4.40 %
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278 Debt securities available for sale [a] 9,922,400 53,522 2.19 11,424,405 56,605 2.01
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239 Debt securities held to maturity 4,034,292 30,765 3.09 1,996,409 13,902 2.82
Income tax expense 35,603 51,798 (31) Other earning assets [b] 3,251,859 23,507 2.93 3,219,865 12,626 1.59
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285 Total earning assets [a] 82,690,946 920,209 4.51 78,841,127 757,963 3.90
Net income attributable to noncontrolling interests 556 461 21 Allowance for loan losses (909,663) (844,248)
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 % Unrealized loss on debt securities available for sale (187,905) (228,187)
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16 Other assets 11,392,498 10,002,217
SELECTED RATIOS Total assets $92,985,876 $87,770,909
Return on average assets 0.61 % 0.96 % Three Months Ended
Return on average tangible equity [b] 6.64 10.51 2019 2018 Liabilities and Shareholder's Equity
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31 Interest bearing liabilities:
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES Interest bearing demand deposits $  8,685,693 $  20,346 0.95 8,195,605 $    9,581 0.47
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760 Savings and money market accounts 27,218,571 76,909 1.15 25,526,343 38,890 0.62
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718 Certificates and other time deposits 16,116,509 85,099 2.14 14,109,950 48,876 1.40
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029 Total interest bearing deposits 52,020,773 182,354 1.42 47,831,898 97,347 0.83
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071 FHLB and other borrowings 4,290,724 37,626 3.56 3,310,286 24,756 3.03
Leverage ratio [c] 10.05 10.12 Federal funds purchased and securities sold under agreement to repurchase [b] 411,925 3,747 3.69 22,235 536 9.78
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 % Other short-term borrowings 28,117 196 2.83 51,626 344 2.70
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93 Total interest bearing liabilities 56,751,539 223,923 1.60 51,216,045 122,983 0.97
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37 Noninterest bearing deposits 20,183,069 21,581,905
Average for Three Months Ending Balance Other noninterest bearing liabilities 2,410,613 1,882,541
Ended March 31, % March 31, % Annualized as a % of average loans: Total liabilities 79,345,221 74,680,491
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44 Shareholder's equity 13,640,655 13,090,418
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44 Total liabilities and shareholder's equity $92,985,876 $87,770,909
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3 Net interest income/ net interest spread 696,286 2.91 % 634,980 2.93 %
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7 Net yield on earning assets 3.41 % 3.27 %
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6) Total taxable equivalent adjustment 13,197 12,375
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4 Net interest income $683,089 $622,605
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

 

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale. (Unaudited) [a] Excludes adjustment for market valuation. (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs). (Dollars in Thousands) [b] Yield/rate reflects impact of balance sheet offsetting. (Dollars in Thousands)
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018 Three Months Ended March 31, Three Months Three Months Ended
2019 2018 Change March 31 December 31 September 30 June 30 March 31 2019 2018 Ended March 31, % 2019 2018
EARNINGS SUMMARY NONPERFORMING ASSETS AverageBalance Income/Expense Yield/Rate AverageBalance Income/Expense Yield/Rate 2019 2018  Change  March 31 December 31 September 30 June 30 March 31
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210 YIELD/RATE ANALYSIS NONINTEREST INCOME
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904 (Taxable Equivalent Basis) Service charges on deposit accounts $  58,908 $  56,161 5 $  58,908 $        61,606 $         60,325 $  58,581 $  56,161
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700 Assets Card and merchant processing fees 46,002 39,678 16 46,002 46,982 44,219 44,048 39,678
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814 Earning assets: Investment services sales fees 26,696 30,108 (11) 26,696 24,476 28,286 29,782 30,108
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147 Loans $65,482,395 $812,415 5.03 % $62,200,448 $674,830 4.40 % Investment banking and advisory fees 18,857 23,896 (21) 18,857 15,286 13,956 24,546 23,896
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278 Debt securities available for sale [a] 9,922,400 53,522 2.19 11,424,405 56,605 2.01 Money transfer income 21,981 20,688 6 21,981 23,632 23,441 23,920 20,688
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239 Debt securities held to maturity 4,034,292 30,765 3.09 1,996,409 13,902 2.82 Corporate and correspondent investment sales 6,892 12,056 (43) 6,892 10,774 12,490 16,355 12,056
Income tax expense 35,603 51,798 (31) Other earning assets [b] 3,251,859 23,507 2.93 3,219,865 12,626 1.59 Asset management fees 10,767 10,770 10,767 10,909 11,143 10,989 10,770
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285 Total earning assets [a] 82,690,946 920,209 4.51 78,841,127 757,963 3.90 Mortgage banking 4,937 8,397 (41) 4,937 3,755 6,717 7,964 8,397
Net income attributable to noncontrolling interests 556 461 21 Allowance for loan losses (909,663) (844,248) Bank owned life insurance 4,584 4,215 9 4,584 4,635 4,597 4,375 4,215
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 % Unrealized loss on debt securities available for sale (187,905) (228,187) Other 49,178 51,856 (5) 49,178 68,551 53,285 49,459 51,856
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16 Other assets 11,392,498 10,002,217 248,802 257,825 (3) 248,802 270,606 258,459 270,019 257,825
SELECTED RATIOS Total assets $92,985,876 $87,770,909 Investment securities gains, net 8,958 8,958
Return on average assets 0.61 % 0.96 % Three Months Ended Total noninterest income $257,760 $257,825 $257,760 $      270,606 $       258,459 $270,019 $257,825
Return on average tangible equity [b] 6.64 10.51 2019 2018 Liabilities and Shareholder's Equity
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31 Interest bearing liabilities: NONINTEREST EXPENSE
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES Interest bearing demand deposits $  8,685,693 $  20,346 0.95 8,195,605 $    9,581 0.47 Salaries, benefits and commissions $292,716 $289,440 1 $292,716 $      285,820 $       292,679 $286,852 $289,440
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760 Savings and money market accounts 27,218,571 76,909 1.15 25,526,343 38,890 0.62 Equipment 65,394 63,360 3 65,394 66,806 63,739 63,660 63,360
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718 Certificates and other time deposits 16,116,509 85,099 2.14 14,109,950 48,876 1.40 Professional services 63,896 60,645 5 63,896 79,529 68,403 68,577 60,645
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029 Total interest bearing deposits 52,020,773 182,354 1.42 47,831,898 97,347 0.83 Net occupancy 40,941 40,422 1 40,941 41,161 42,514 42,671 40,422
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071 FHLB and other borrowings 4,290,724 37,626 3.56 3,310,286 24,756 3.03 Money transfer expense 14,978 13,721 9 14,978 15,995 16,120 16,302 13,721
Leverage ratio [c] 10.05 10.12 Federal funds purchased and securities sold under agreement to repurchase [b] 411,925 3,747 3.69 22,235 536 9.78 Marketing 10,393 8,787 18 10,393 15,884 12,381 11,814 8,787
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 % Other short-term borrowings 28,117 196 2.83 51,626 344 2.70 Communications 5,401 5,263 3 5,401 9,241 10,827 5,251 5,263
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93 Total interest bearing liabilities 56,751,539 223,923 1.60 51,216,045 122,983 0.97 Other 88,254 81,275 9 88,254 87,556 98,847 84,418 81,275
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37 Noninterest bearing deposits 20,183,069 21,581,905 Total noninterest expense $581,973 $562,913 3 $581,973 $      601,992 $       605,510 $579,545 $562,913
Average for Three Months Ending Balance Other noninterest bearing liabilities 2,410,613 1,882,541
Ended March 31, % March 31, % Annualized as a % of average loans: Total liabilities 79,345,221 74,680,491
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44 Shareholder's equity 13,640,655 13,090,418
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44 Total liabilities and shareholder's equity $92,985,876 $87,770,909
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3 Net interest income/ net interest spread 696,286 2.91 % 634,980 2.93 %
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7 Net yield on earning assets 3.41 % 3.27 %
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6) Total taxable equivalent adjustment 13,197 12,375
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4 Net interest income $683,089 $622,605
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

 

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale. (Unaudited) [a] Excludes adjustment for market valuation. (Unaudited) (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs). (Dollars in Thousands) [b] Yield/rate reflects impact of balance sheet offsetting. (Dollars in Thousands) (Dollars in Thousands)
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018 Three Months Ended March 31, Three Months Three Months Ended Three Months Ended March 31,
2019 2018 Change March 31 December 31 September 30 June 30 March 31 2019 2018 Ended March 31, % 2019 2018 2019 2018
EARNINGS SUMMARY NONPERFORMING ASSETS AverageBalance Income/Expense Yield/Rate AverageBalance Income/Expense Yield/Rate 2019 2018  Change  March 31 December 31 September 30 June 30 March 31 NON-GAAP RECONCILIATION
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210 YIELD/RATE ANALYSIS NONINTEREST INCOME
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904 (Taxable Equivalent Basis) Service charges on deposit accounts $  58,908 $  56,161 5 $  58,908 $        61,606 $         60,325 $  58,581 $  56,161 Computation of Operating Income:
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700 Assets Card and merchant processing fees 46,002 39,678 16 46,002 46,982 44,219 44,048 39,678 Net interest income (GAAP) $      683,089 $     622,605
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814 Earning assets: Investment services sales fees 26,696 30,108 (11) 26,696 24,476 28,286 29,782 30,108 Plus: noninterest income (GAAP) 257,760 257,825
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147 Loans $65,482,395 $812,415 5.03 % $62,200,448 $674,830 4.40 % Investment banking and advisory fees 18,857 23,896 (21) 18,857 15,286 13,956 24,546 23,896 Less: noninterest expense (GAAP) 581,973 562,913
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278 Debt securities available for sale [a] 9,922,400 53,522 2.19 11,424,405 56,605 2.01 Money transfer income 21,981 20,688 6 21,981 23,632 23,441 23,920 20,688 Operating income (non-GAAP) $      358,876 $     317,517
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239 Debt securities held to maturity 4,034,292 30,765 3.09 1,996,409 13,902 2.82 Corporate and correspondent investment sales 6,892 12,056 (43) 6,892 10,774 12,490 16,355 12,056
Income tax expense 35,603 51,798 (31) Other earning assets [b] 3,251,859 23,507 2.93 3,219,865 12,626 1.59 Asset management fees 10,767 10,770 10,767 10,909 11,143 10,989 10,770
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285 Total earning assets [a] 82,690,946 920,209 4.51 78,841,127 757,963 3.90 Mortgage banking 4,937 8,397 (41) 4,937 3,755 6,717 7,964 8,397
Net income attributable to noncontrolling interests 556 461 21 Allowance for loan losses (909,663) (844,248) Bank owned life insurance 4,584 4,215 9 4,584 4,635 4,597 4,375 4,215 Computation of Average Tangible Equity:
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 % Unrealized loss on debt securities available for sale (187,905) (228,187) Other 49,178 51,856 (5) 49,178 68,551 53,285 49,459 51,856 Total stockholder's equity (average) (GAAP) $ 13,640,655 $ 13,090,418
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16 Other assets 11,392,498 10,002,217 248,802 257,825 (3) 248,802 270,606 258,459 270,019 257,825 Less: Goodwill and other intangibles (average) (GAAP) 5,035,591 5,039,246
SELECTED RATIOS Total assets $92,985,876 $87,770,909 Investment securities gains, net 8,958 8,958 Average tangible equity (non-GAAP) [B] $   8,605,064 $  8,051,172
Return on average assets 0.61 % 0.96 % Three Months Ended Total noninterest income $257,760 $257,825 $257,760 $      270,606 $       258,459 $270,019 $257,825 Net income (GAAP) [A] $      140,981 $     208,690
Return on average tangible equity [b] 6.64 10.51 2019 2018 Liabilities and Shareholder's Equity Return on average tangible equity (non-GAAP) ([A]/[B], annualized) 6.64 % 10.51 %
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31 Interest bearing liabilities: NONINTEREST EXPENSE
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES Interest bearing demand deposits $  8,685,693 $  20,346 0.95 8,195,605 $    9,581 0.47 Salaries, benefits and commissions $292,716 $289,440 1 $292,716 $      285,820 $       292,679 $286,852 $289,440 Computation of Efficiency Ratio:
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760 Savings and money market accounts 27,218,571 76,909 1.15 25,526,343 38,890 0.62 Equipment 65,394 63,360 3 65,394 66,806 63,739 63,660 63,360 Noninterest expense (GAAP) [A] $      581,973 $     562,913
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718 Certificates and other time deposits 16,116,509 85,099 2.14 14,109,950 48,876 1.40 Professional services 63,896 60,645 5 63,896 79,529 68,403 68,577 60,645 Plus: net interest income, taxable equivalent basis $      696,286 $     634,980
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029 Total interest bearing deposits 52,020,773 182,354 1.42 47,831,898 97,347 0.83 Net occupancy 40,941 40,422 1 40,941 41,161 42,514 42,671 40,422 Plus: noninterest income (GAAP) 257,760 257,825
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071 FHLB and other borrowings 4,290,724 37,626 3.56 3,310,286 24,756 3.03 Money transfer expense 14,978 13,721 9 14,978 15,995 16,120 16,302 13,721 Less: investment securities gains, net (GAAP) 8,958
Leverage ratio [c] 10.05 10.12 Federal funds purchased and securities sold under agreement to repurchase [b] 411,925 3,747 3.69 22,235 536 9.78 Marketing 10,393 8,787 18 10,393 15,884 12,381 11,814 8,787 Total revenue [B] $      945,088 $     892,805
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 % Other short-term borrowings 28,117 196 2.83 51,626 344 2.70 Communications 5,401 5,263 3 5,401 9,241 10,827 5,251 5,263 Efficiency ratio (non-GAAP) ([A]/[B]) 61.58 % 63.05 %
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93 Total interest bearing liabilities 56,751,539 223,923 1.60 51,216,045 122,983 0.97 Other 88,254 81,275 9 88,254 87,556 98,847 84,418 81,275
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37 Noninterest bearing deposits 20,183,069 21,581,905 Total noninterest expense $581,973 $562,913 3 $581,973 $      601,992 $       605,510 $579,545 $562,913
Average for Three Months Ending Balance Other noninterest bearing liabilities 2,410,613 1,882,541
Ended March 31, % March 31, % Annualized as a % of average loans: Total liabilities 79,345,221 74,680,491
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44 Shareholder's equity 13,640,655 13,090,418
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44 Total liabilities and shareholder's equity $92,985,876 $87,770,909
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3 Net interest income/ net interest spread 696,286 2.91 % 634,980 2.93 %
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7 Net yield on earning assets 3.41 % 3.27 %
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6) Total taxable equivalent adjustment 13,197 12,375
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4 Net interest income $683,089 $622,605
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4

 

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale. (Unaudited) [a] Excludes adjustment for market valuation. (Unaudited) (Unaudited) SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs). (Dollars in Thousands) [b] Yield/rate reflects impact of balance sheet offsetting. (Dollars in Thousands) (Dollars in Thousands) (Dollars in Thousands)
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018 Three Months Ended March 31, Three Months Three Months Ended Three Months Ended March 31, At or Quarter Ended March 31, 2019
2019 2018 Change March 31 December 31 September 30 June 30 March 31 2019 2018 Ended March 31, % 2019 2018 2019 2018 30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries)
EARNINGS SUMMARY NONPERFORMING ASSETS AverageBalance Income/Expense Yield/Rate AverageBalance Income/Expense Yield/Rate 2019 2018  Change  March 31 December 31 September 30 June 30 March 31 NON-GAAP RECONCILIATION
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210 YIELD/RATE ANALYSIS NONINTEREST INCOME Commercial, financial and agricultural $                       54,216 $                       17,813 $                 8,144 $   461,029 $            18,910 $     24,721,818 $ 25,281,930 $                4,743
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904 (Taxable Equivalent Basis) Service charges on deposit accounts $  58,908 $  56,161 5 $  58,908 $        61,606 $         60,325 $  58,581 $  56,161 Computation of Operating Income: Real estate – construction 13,582 1,707 533 1,298 111 1,928,116 1,945,347 (1,410)
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700 Assets Card and merchant processing fees 46,002 39,678 16 46,002 46,982 44,219 44,048 39,678 Net interest income (GAAP) $      683,089 $     622,605 Commercial real estate –  mortgage 4,679 322 1,160 109,447 3,811 12,835,777 12,955,196 (27)
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814 Earning assets: Investment services sales fees 26,696 30,108 (11) 26,696 24,476 28,286 29,782 30,108 Plus: noninterest income (GAAP) 257,760 257,825 Residential real estate – mortgage 78,538 22,384 9,007 163,463 59,167 13,063,837 13,396,396 929
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147 Loans $65,482,395 $812,415 5.03 % $62,200,448 $674,830 4.40 % Investment banking and advisory fees 18,857 23,896 (21) 18,857 15,286 13,956 24,546 23,896 Less: noninterest expense (GAAP) 581,973 562,913 Equity lines of credit 15,355 4,035 1,471 34,999 2,660,447 2,716,307 575
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278 Debt securities available for sale [a] 9,922,400 53,522 2.19 11,424,405 56,605 2.01 Money transfer income 21,981 20,688 6 21,981 23,632 23,441 23,920 20,688 Operating income (non-GAAP) $      358,876 $     317,517 Equity loans 2,920 1,050 34 9,840 26,188 248,137 288,169 (81)
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239 Debt securities held to maturity 4,034,292 30,765 3.09 1,996,409 13,902 2.82 Corporate and correspondent investment sales 6,892 12,056 (43) 6,892 10,774 12,490 16,355 12,056 Credit card 9,394 7,465 18,499 797,474 832,832 15,243
Income tax expense 35,603 51,798 (31) Other earning assets [b] 3,251,859 23,507 2.93 3,219,865 12,626 1.59 Asset management fees 10,767 10,770 10,767 10,909 11,143 10,989 10,770 Consumer – direct 35,620 20,432 17,251 4,725 3,854 2,452,034 2,533,916 53,874
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285 Total earning assets [a] 82,690,946 920,209 4.51 78,841,127 757,963 3.90 Mortgage banking 4,937 8,397 (41) 4,937 3,755 6,717 7,964 8,397 Consumer – indirect 78,610 24,600 7,781 21,843 3,674,618 3,807,452 27,666
Net income attributable to noncontrolling interests 556 461 21 Allowance for loan losses (909,663) (844,248) Bank owned life insurance 4,584 4,215 9 4,584 4,635 4,597 4,375 4,215 Computation of Average Tangible Equity: Total loans $                     292,914 $                       99,808 $              63,880 $   806,644 $         112,041 $     62,382,258 $ 63,757,545 $           101,512
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 % Unrealized loss on debt securities available for sale (187,905) (228,187) Other 49,178 51,856 (5) 49,178 68,551 53,285 49,459 51,856 Total stockholder's equity (average) (GAAP) $ 13,640,655 $ 13,090,418 Loans held for sale $                               — $                               — $                      — $             — $                   — $       1,273,821 $   1,273,821 $                     —
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16 Other assets 11,392,498 10,002,217 248,802 257,825 (3) 248,802 270,606 258,459 270,019 257,825 Less: Goodwill and other intangibles (average) (GAAP) 5,035,591 5,039,246
SELECTED RATIOS Total assets $92,985,876 $87,770,909 Investment securities gains, net 8,958 8,958 Average tangible equity (non-GAAP) [B] $   8,605,064 $  8,051,172 At or Quarter Ended December 31, 2018
Return on average assets 0.61 % 0.96 % Three Months Ended Total noninterest income $257,760 $257,825 $257,760 $      270,606 $       258,459 $270,019 $257,825 Net income (GAAP) [A] $      140,981 $     208,690 30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries)
Return on average tangible equity [b] 6.64 10.51 2019 2018 Liabilities and Shareholder's Equity Return on average tangible equity (non-GAAP) ([A]/[B], annualized) 6.64 % 10.51 %
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31 Interest bearing liabilities: NONINTEREST EXPENSE Commercial, financial and agricultural $                       17,257 $                       11,784 $                 8,114 $   400,389 $            18,926 $     26,105,849 $ 26,562,319 $              38,786
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES Interest bearing demand deposits $  8,685,693 $  20,346 0.95 8,195,605 $    9,581 0.47 Salaries, benefits and commissions $292,716 $289,440 1 $292,716 $      285,820 $       292,679 $286,852 $289,440 Computation of Efficiency Ratio: Real estate – construction 218 8,849 544 2,851 116 1,984,959 1,997,537 (24)
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760 Savings and money market accounts 27,218,571 76,909 1.15 25,526,343 38,890 0.62 Equipment 65,394 63,360 3 65,394 66,806 63,739 63,660 63,360 Noninterest expense (GAAP) [A] $      581,973 $     562,913 Commercial real estate –  mortgage 11,678 3,375 2,420 110,144 3,661 12,885,518 13,016,796 470
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718 Certificates and other time deposits 16,116,509 85,099 2.14 14,109,950 48,876 1.40 Professional services 63,896 60,645 5 63,896 79,529 68,403 68,577 60,645 Plus: net interest income, taxable equivalent basis $      696,286 $     634,980 Residential real estate – mortgage 80,366 29,852 5,927 167,099 57,446 13,081,466 13,422,156 247
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029 Total interest bearing deposits 52,020,773 182,354 1.42 47,831,898 97,347 0.83 Net occupancy 40,941 40,422 1 40,941 41,161 42,514 42,671 40,422 Plus: noninterest income (GAAP) 257,760 257,825 Equity lines of credit 14,007 5,109 2,226 37,702 2,688,173 2,747,217 (656)
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071 FHLB and other borrowings 4,290,724 37,626 3.56 3,310,286 24,756 3.03 Money transfer expense 14,978 13,721 9 14,978 15,995 16,120 16,302 13,721 Less: investment securities gains, net (GAAP) 8,958 Equity loans 3,471 843 180 10,939 26,768 256,413 298,614 (35)
Leverage ratio [c] 10.05 10.12 Federal funds purchased and securities sold under agreement to repurchase [b] 411,925 3,747 3.69 22,235 536 9.78 Marketing 10,393 8,787 18 10,393 15,884 12,381 11,814 8,787 Total revenue [B] $      945,088 $     892,805 Credit card 9,516 7,323 17,011 784,458 818,308 11,231
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 % Other short-term borrowings 28,117 196 2.83 51,626 344 2.70 Communications 5,401 5,263 3 5,401 9,241 10,827 5,251 5,263 Efficiency ratio (non-GAAP) ([A]/[B]) 61.58 % 63.05 % Consumer – direct 37,336 19,543 13,336 4,528 2,684 2,476,161 2,553,588 38,508
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93 Total interest bearing liabilities 56,751,539 223,923 1.60 51,216,045 122,983 0.97 Other 88,254 81,275 9 88,254 87,556 98,847 84,418 81,275 Consumer – indirect 100,434 32,172 9,791 17,834 3,609,788 3,770,019 23,771
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37 Noninterest bearing deposits 20,183,069 21,581,905 Total noninterest expense $581,973 $562,913 3 $581,973 $      601,992 $       605,510 $579,545 $562,913 Total loans $                     274,283 $                     118,850 $              59,549 $   751,486 $         109,601 $     63,872,785 $ 65,186,554 $           112,298
Average for Three Months Ending Balance Other noninterest bearing liabilities 2,410,613 1,882,541 Loans held for sale $                               — $                               — $                      — $             — $                   — $            68,766 $        68,766 $                     —
Ended March 31, % March 31, % Annualized as a % of average loans: Total liabilities 79,345,221 74,680,491
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44 Shareholder's equity 13,640,655 13,090,418 BBVA COMPASS BANCSHARES, INC.
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44 Total liabilities and shareholder's equity $92,985,876 $87,770,909 SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited)
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4 (Dollars in Thousands)
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3 Net interest income/ net interest spread 696,286 2.91 % 634,980 2.93 %
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7 Net yield on earning assets 3.41 % 3.27 % At or Quarter Ended September 30, 2018
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7 30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries)
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6) Total taxable equivalent adjustment 13,197 12,375
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11 Commercial, financial and agricultural $                       38,512 $                       16,416 $                 9,609 $   290,239 $                 522 $     26,300,781 $ 26,656,079 $              13,975
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4 Net interest income $683,089 $622,605 Real estate – construction 3,252 5,278 532 12,882 121 2,096,427 2,118,492 (23)
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6 Commercial real estate –  mortgage 31,792 18,349 502 104,976 3,753 12,237,632 12,397,004 2,035
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4 Residential real estate – mortgage 87,426 30,373 3,697 159,721 59,082 13,062,173 13,402,472 2,090
Equity lines of credit 13,556 4,298 1,186 35,125 2,655,566 2,709,731 (19)
Equity loans 2,082 1,042 241 10,378 28,383 266,712 308,838 45
Credit card 8,601 6,449 13,157 735,479 763,686 9,686
Consumer – direct 30,153 14,455 8,988 3,184 1,189 2,364,239 2,422,208 28,765
Consumer – indirect 86,310 23,587 6,853 11,654 3,550,365 3,678,769 23,017
Total loans $                     301,684 $                     120,247 $              44,765 $   628,159 $           93,050 $     63,269,374 $ 64,457,279 $              79,571
Loans held for sale $                               — $                               — $                      — $             — $                  — $            73,569 $        73,569 $                      —
At or Quarter Ended June 30, 2018
30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries)
Commercial, financial and agricultural $                       55,116 $                       12,405 $                 3,597 $   323,287 $              5,722 $     26,248,260 $ 26,648,387 $              10,567
Real estate – construction 579 163 540 13,289 125 2,115,565 2,130,261 287
Commercial real estate –  mortgage 20,450 2,826 3,211 105,409 3,945 11,659,635 11,795,476 (5,505)
Residential real estate – mortgage 76,693 27,972 5,026 162,892 59,940 13,017,967 13,350,490 1,558
Equity lines of credit 10,661 4,384 2,191 34,269 237 2,627,974 2,679,716 453
Equity loans 3,519 882 306 10,153 29,303 281,302 325,465 (443)
Credit card 6,353 4,733 11,931 681,617 704,634 11,299
Consumer – direct 24,060 9,577 6,313 1,073 470 2,098,439 2,139,932 29,876
Consumer – indirect 79,600 22,616 6,028 12,619 3,395,753 3,516,616 15,259
Total loans $                     277,031 $                       85,558 $              39,143 $   662,991 $            99,742 $     62,126,512 $ 63,290,977 $              63,351
Loans held for sale $                               — $                               — $                      — $             — $                   — $            52,041 $        52,041 $                      —
BBVA COMPASS BANCSHARES, INC.
SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited)
(Dollars in Thousands)
At or Quarter Ended March 31, 2018
30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries)
Commercial, financial and agricultural $                       15,427 $                       12,230 $                 5,420 $   284,699 $              5,231 $     26,036,120 $ 26,359,127 $                8,395
Real estate – construction 450 240 1,918 14,183 129 2,139,936 2,156,856 (89)
Commercial real estate –  mortgage 8,552 3,220 2,229 115,285 4,182 11,394,819 11,528,287 114
Residential real estate – mortgage 73,335 33,993 5,975 169,778 62,171 12,961,735 13,306,987 1,380
Equity lines of credit 12,063 4,611 2,371 36,350 236 2,602,229 2,657,860 160
Equity loans 4,495 983 379 11,429 29,546 297,705 344,537 (69)
Credit card 6,438 5,089 11,845 633,658 657,030 9,874
Consumer – direct 16,919 8,569 7,929 4,211 490 1,818,325 1,856,443 25,412
Consumer – indirect 77,153 21,092 7,838 11,275 3,223,376 3,340,734 22,541
Total loans $                     214,832 $                       90,027 $              45,904 $   647,210 $         101,985 $     61,107,903 $ 62,207,861 $              67,718
Loans held for sale $                               — $                               — $                      — $             — $                   — $            76,401 $        76,401 $                      —

 

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale. (Unaudited) [a] Excludes adjustment for market valuation. (Unaudited) (Unaudited) SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited) BALANCE SHEET (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs). (Dollars in Thousands) [b] Yield/rate reflects impact of balance sheet offsetting. (Dollars in Thousands) (Dollars in Thousands) (Dollars in Thousands) (Dollars in Thousands)
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018 Three Months Ended March 31, Three Months Three Months Ended Three Months Ended March 31, At or Quarter Ended March 31, 2019 2019 2018
2019 2018 Change March 31 December 31 September 30 June 30 March 31 2019 2018 Ended March 31, % 2019 2018 2019 2018 30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries) March 31 December 31 September 30 June 30 March 31
EARNINGS SUMMARY NONPERFORMING ASSETS AverageBalance Income/Expense Yield/Rate AverageBalance Income/Expense Yield/Rate 2019 2018  Change  March 31 December 31 September 30 June 30 March 31 NON-GAAP RECONCILIATION Assets:
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210 YIELD/RATE ANALYSIS NONINTEREST INCOME Commercial, financial and agricultural $                       54,216 $                       17,813 $                 8,144 $   461,029 $            18,910 $     24,721,818 $ 25,281,930 $                4,743 Cash and due from banks $    1,143,541 $      1,217,319 $       1,122,747 $    1,138,034 $    1,098,345
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904 (Taxable Equivalent Basis) Service charges on deposit accounts $  58,908 $  56,161 5 $  58,908 $        61,606 $         60,325 $  58,581 $  56,161 Computation of Operating Income: Real estate – construction 13,582 1,707 533 1,298 111 1,928,116 1,945,347 (1,410) Federal funds sold, securities purchased under agreements to resell and interest bearing deposits 4,864,920 2,115,307 2,404,164 2,438,585 2,424,987
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700 Assets Card and merchant processing fees 46,002 39,678 16 46,002 46,982 44,219 44,048 39,678 Net interest income (GAAP) $      683,089 $     622,605 Commercial real estate –  mortgage 4,679 322 1,160 109,447 3,811 12,835,777 12,955,196 (27) Cash and cash equivalents 6,008,461 3,332,626 3,526,911 3,576,619 3,523,332
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814 Earning assets: Investment services sales fees 26,696 30,108 (11) 26,696 24,476 28,286 29,782 30,108 Plus: noninterest income (GAAP) 257,760 257,825 Residential real estate – mortgage 78,538 22,384 9,007 163,463 59,167 13,063,837 13,396,396 929 Trading account assets 306,123 237,656 216,749 277,694 216,465
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147 Loans $65,482,395 $812,415 5.03 % $62,200,448 $674,830 4.40 % Investment banking and advisory fees 18,857 23,896 (21) 18,857 15,286 13,956 24,546 23,896 Less: noninterest expense (GAAP) 581,973 562,913 Equity lines of credit 15,355 4,035 1,471 34,999 2,660,447 2,716,307 575 Debt securities available for sale 9,297,018 10,981,216 11,134,860 11,293,724 11,434,152
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031 9,875 13,117 11,278 Debt securities available for sale [a] 9,922,400 53,522 2.19 11,424,405 56,605 2.01 Money transfer income 21,981 20,688 6 21,981 23,632 23,441 23,920 20,688 Operating income (non-GAAP) $      358,876 $     317,517 Equity loans 2,920 1,050 34 9,840 26,188 248,137 288,169 (81) Debt securities held to maturity  4,575,041 2,885,613 2,490,568 2,198,186 1,975,729
Pretax income 176,584 260,488 (32) Total nonperforming assets $897,102 $      840,346 $       701,949 $732,241 $721,239 Debt securities held to maturity 4,034,292 30,765 3.09 1,996,409 13,902 2.82 Corporate and correspondent investment sales 6,892 12,056 (43) 6,892 10,774 12,490 16,355 12,056 Credit card 9,394 7,465 18,499 797,474 832,832 15,243 Loans held for sale 1,273,821 68,766 73,569 52,041 76,401
Income tax expense 35,603 51,798 (31) Other earning assets [b] 3,251,859 23,507 2.93 3,219,865 12,626 1.59 Asset management fees 10,767 10,770 10,767 10,909 11,143 10,989 10,770 Consumer – direct 35,620 20,432 17,251 4,725 3,854 2,452,034 2,533,916 53,874 Loans 63,757,545 65,186,554 64,457,279 63,290,977 62,207,861
Net income 140,981 208,690 (32) TDRs accruing and past due less than 90 days $111,671 $      109,190 $         92,606 $  99,251 $101,285 Total earning assets [a] 82,690,946 920,209 4.51 78,841,127 757,963 3.90 Mortgage banking 4,937 8,397 (41) 4,937 3,755 6,717 7,964 8,397 Consumer – indirect 78,610 24,600 7,781 21,843 3,674,618 3,807,452 27,666 Allowance for loan losses (966,022) (885,242) (875,393) (860,000) (832,071)
Net income attributable to noncontrolling interests 556 461 21 Allowance for loan losses (909,663) (844,248) Bank owned life insurance 4,584 4,215 9 4,584 4,635 4,597 4,375 4,215 Computation of Average Tangible Equity: Total loans $                     292,914 $                       99,808 $              63,880 $   806,644 $         112,041 $     62,382,258 $ 63,757,545 $           101,512 Net loans 62,791,523 64,301,312 63,581,886 62,430,977 61,375,790
Net income attributable to BBVA Compass Bancshares, Inc. $       140,425 $       208,229 (33) Total nonperforming loans as a % of loans 1.34 % 1.24 % 1.04 % 1.11 % 1.11 % Unrealized loss on debt securities available for sale (187,905) (228,187) Other 49,178 51,856 (5) 49,178 68,551 53,285 49,459 51,856 Total stockholder's equity (average) (GAAP) $ 13,640,655 $ 13,090,418 Loans held for sale $                               — $                               — $                      — $             — $                   — $       1,273,821 $   1,273,821 $                     — Premises and equipment, net 1,125,676 1,152,958 1,155,795 1,170,798 1,189,253
Total nonperforming assets as a % of total loans, other real estate, and other repossessed assets 1.38 1.29 1.09 1.16 1.16 Other assets 11,392,498 10,002,217 248,802 257,825 (3) 248,802 270,606 258,459 270,019 257,825 Less: Goodwill and other intangibles (average) (GAAP) 5,035,591 5,039,246 Bank owned life insurance 740,764 736,171 731,527 728,703 724,600
SELECTED RATIOS Total assets $92,985,876 $87,770,909 Investment securities gains, net 8,958 8,958 Average tangible equity (non-GAAP) [B] $   8,605,064 $  8,051,172 At or Quarter Ended December 31, 2018 Goodwill 4,983,296 4,983,296 4,983,296 4,983,296 4,983,296
Return on average assets 0.61 % 0.96 % Three Months Ended Total noninterest income $257,760 $257,825 $257,760 $      270,606 $       258,459 $270,019 $257,825 Net income (GAAP) [A] $      140,981 $     208,690 30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries) Other assets 2,740,863 2,267,560 2,152,495 2,042,624 2,109,484
Return on average tangible equity [b] 6.64 10.51 2019 2018 Liabilities and Shareholder's Equity Return on average tangible equity (non-GAAP) ([A]/[B], annualized) 6.64 % 10.51 % Total assets $ 93,842,586 $   90,947,174 $     90,047,656 $ 88,754,662 $ 87,608,502
Efficiency ratio [b] 61.58 63.05 March 31 December 31 September 30 June 30 March 31 Interest bearing liabilities: NONINTEREST EXPENSE Commercial, financial and agricultural $                       17,257 $                       11,784 $                 8,114 $   400,389 $            18,926 $     26,105,849 $ 26,562,319 $              38,786 Liabilities:
Average common equity to average assets 14.39 14.62 ALLOWANCE FOR LOAN LOSSES Interest bearing demand deposits $  8,685,693 $  20,346 0.95 8,195,605 $    9,581 0.47 Salaries, benefits and commissions $292,716 $289,440 1 $292,716 $      285,820 $       292,679 $286,852 $289,440 Computation of Efficiency Ratio: Real estate – construction 218 8,849 544 2,851 116 1,984,959 1,997,537 (24) Deposits:
Average loans to average total deposits 90.69 89.61 Balance at beginning of period $885,242 $      875,393 $       860,000 $832,071 $842,760 Savings and money market accounts 27,218,571 76,909 1.15 25,526,343 38,890 0.62 Equipment 65,394 63,360 3 65,394 66,806 63,739 63,660 63,360 Noninterest expense (GAAP) [A] $      581,973 $     562,913 Commercial real estate –  mortgage 11,678 3,375 2,420 110,144 3,661 12,885,518 13,016,796 470 Noninterest bearing $ 20,403,716 $   20,183,876 $     20,968,391 $ 21,433,218 $ 21,792,498
Common equity tier I capital (CET1) [c] 12.34 12.08 Net charge-offs (NCO) 101,512 112,298 79,571 63,351 67,718 Certificates and other time deposits 16,116,509 85,099 2.14 14,109,950 48,876 1.40 Professional services 63,896 60,645 5 63,896 79,529 68,403 68,577 60,645 Plus: net interest income, taxable equivalent basis $      696,286 $     634,980 Residential real estate – mortgage 80,366 29,852 5,927 167,099 57,446 13,081,466 13,422,156 247 Interest bearing 53,976,592 51,984,111 49,409,666 48,714,490 48,147,914
Tier I capital ratio [c] 12.67 12.43 Provision for loan losses 182,292 122,147 94,964 91,280 57,029 Total interest bearing deposits 52,020,773 182,354 1.42 47,831,898 97,347 0.83 Net occupancy 40,941 40,422 1 40,941 41,161 42,514 42,671 40,422 Plus: noninterest income (GAAP) 257,760 257,825 Equity lines of credit 14,007 5,109 2,226 37,702 2,688,173 2,747,217 (656) Total deposits 74,380,308 72,167,987 70,378,057 70,147,708 69,940,412
Total capital ratio [c] 14.81 14.67 Balance at end of period $966,022 $      885,242 $       875,393 $860,000 $832,071 FHLB and other borrowings 4,290,724 37,626 3.56 3,310,286 24,756 3.03 Money transfer expense 14,978 13,721 9 14,978 15,995 16,120 16,302 13,721 Less: investment securities gains, net (GAAP) 8,958 Equity loans 3,471 843 180 10,939 26,768 256,413 298,614 (35) FHLB and other borrowings 4,011,160 3,987,590 5,045,302 4,157,284 3,322,940
Leverage ratio [c] 10.05 10.12 Federal funds purchased and securities sold under agreement to repurchase [b] 411,925 3,747 3.69 22,235 536 9.78 Marketing 10,393 8,787 18 10,393 15,884 12,381 11,814 8,787 Total revenue [B] $      945,088 $     892,805 Credit card 9,516 7,323 17,011 784,458 818,308 11,231 Federal funds purchased and securities sold under agreements to repurchase 188,024 102,275 78,004 185,511 5,933
Allowance for loan losses as a % of total loans 1.52 % 1.36 % 1.36 % 1.36 % 1.34 % Other short-term borrowings 28,117 196 2.83 51,626 344 2.70 Communications 5,401 5,263 3 5,401 9,241 10,827 5,251 5,263 Efficiency ratio (non-GAAP) ([A]/[B]) 61.58 % 63.05 % Consumer – direct 37,336 19,543 13,336 4,528 2,684 2,476,161 2,553,588 38,508 Other short-term borrowings 30,975 68,714 81,547 29,999
Allowance for loan losses as a % of nonperforming loans [c] 110.92 109.09 130.00 122.40 119.93 Total interest bearing liabilities 56,751,539 223,923 1.60 51,216,045 122,983 0.97 Other 88,254 81,275 9 88,254 87,556 98,847 84,418 81,275 Consumer – indirect 100,434 32,172 9,791 17,834 3,609,788 3,770,019 23,771 Accrued expenses and other liabilities 1,504,582 1,176,793 1,135,092 991,968 1,165,079
Allowance for loan losses as a % of nonperforming assets [c] 107.68 105.34 124.71 117.45 115.37 Noninterest bearing deposits 20,183,069 21,581,905 Total noninterest expense $581,973 $562,913 3 $581,973 $      601,992 $       605,510 $579,545 $562,913 Total loans $                     274,283 $                     118,850 $              59,549 $   751,486 $         109,601 $     63,872,785 $ 65,186,554 $           112,298 Total liabilities 80,115,049 77,434,645 76,705,169 75,564,018 74,464,363
Average for Three Months Ending Balance Other noninterest bearing liabilities 2,410,613 1,882,541 Loans held for sale $                               — $                               — $                      — $             — $                   — $            68,766 $        68,766 $                     — Shareholder's Equity:
Ended March 31, % March 31, % Annualized as a % of average loans: Total liabilities 79,345,221 74,680,491 Preferred stock 229,475 229,475 229,475 229,475 229,475
2019 2018 Change 2019 2018 Change NCO - QTD 0.63 0.68 0.49 0.40 0.44 Shareholder's equity 13,640,655 13,090,418 BBVA COMPASS BANCSHARES, INC. Common stock — $0.01 par value 2,230 2,230 2,230 2,230 2,230
BALANCE SHEET HIGHLIGHTS NCO - YTD 0.63 0.51 0.45 0.42 0.44 Total liabilities and shareholder's equity $92,985,876 $87,770,909 SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited) Surplus 14,542,166 14,545,849 14,695,197 14,699,773 14,814,744
Total loans $  65,482,395 $  62,200,448 5 $  65,031,366 $  62,284,262 4 (Dollars in Thousands) Retained deficit (927,877) (1,107,198) (1,302,525) (1,476,614) (1,660,417)
Total debt securities 13,768,787 13,192,627 4 13,872,059 13,409,881 3 Net interest income/ net interest spread 696,286 2.91 % 634,980 2.93 % Accumulated other comprehensive loss (148,135) (186,848) (311,422) (293,323) (271,431)
Earning assets 82,503,041 78,612,940 5 84,356,100 78,733,347 7 Net yield on earning assets 3.41 % 3.27 % At or Quarter Ended September 30, 2018 Total BBVA Compass Bancshares, Inc. shareholder's equity 13,697,859 13,483,508 13,312,955 13,161,541 13,114,601
Total assets 92,985,876 87,770,909 6 93,842,586 87,608,502 7 30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries) Noncontrolling interests 29,678 29,021 29,532 29,103 29,538
Noninterest bearing demand deposits 20,183,069 21,581,905 (6) 20,403,716 21,792,498 (6) Total taxable equivalent adjustment 13,197 12,375 Total shareholder's equity 13,727,537 13,512,529 13,342,487 13,190,644 13,144,139
Interest bearing transaction accounts 35,904,264 33,721,948 6 38,018,421 34,344,230 11 Commercial, financial and agricultural $                       38,512 $                       16,416 $                 9,609 $   290,239 $                 522 $     26,300,781 $ 26,656,079 $              13,975 Total liabilities and shareholder's equity $ 93,842,586 $   90,947,174 $     90,047,656 $ 88,754,662 $ 87,608,502
Total transaction accounts 56,087,333 55,303,853 1 58,422,137 56,136,728 4 Net interest income $683,089 $622,605 Real estate – construction 3,252 5,278 532 12,882 121 2,096,427 2,118,492 (23)
Total deposits 72,203,842 69,413,803 4 74,380,308 69,940,412 6 Commercial real estate –  mortgage 31,792 18,349 502 104,976 3,753 12,237,632 12,397,004 2,035
Total shareholder's equity 13,640,655 13,090,418 4 13,727,537 13,144,139 4 Residential real estate – mortgage 87,426 30,373 3,697 159,721 59,082 13,062,173 13,402,472 2,090
Equity lines of credit 13,556 4,298 1,186 35,125 2,655,566 2,709,731 (19)
Equity loans 2,082 1,042 241 10,378 28,383 266,712 308,838 45
Credit card 8,601 6,449 13,157 735,479 763,686 9,686
Consumer – direct 30,153 14,455 8,988 3,184 1,189 2,364,239 2,422,208 28,765
Consumer – indirect 86,310 23,587 6,853 11,654 3,550,365 3,678,769 23,017
Total loans $                     301,684 $                     120,247 $              44,765 $   628,159 $           93,050 $     63,269,374 $ 64,457,279 $              79,571
Loans held for sale $                               — $                               — $                      — $             — $                  — $            73,569 $        73,569 $                      —
At or Quarter Ended June 30, 2018
30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries)
Commercial, financial and agricultural $                       55,116 $                       12,405 $                 3,597 $   323,287 $              5,722 $     26,248,260 $ 26,648,387 $              10,567
Real estate – construction 579 163 540 13,289 125 2,115,565 2,130,261 287
Commercial real estate –  mortgage 20,450 2,826 3,211 105,409 3,945 11,659,635 11,795,476 (5,505)
Residential real estate – mortgage 76,693 27,972 5,026 162,892 59,940 13,017,967 13,350,490 1,558
Equity lines of credit 10,661 4,384 2,191 34,269 237 2,627,974 2,679,716 453
Equity loans 3,519 882 306 10,153 29,303 281,302 325,465 (443)
Credit card 6,353 4,733 11,931 681,617 704,634 11,299
Consumer – direct 24,060 9,577 6,313 1,073 470 2,098,439 2,139,932 29,876
Consumer – indirect 79,600 22,616 6,028 12,619 3,395,753 3,516,616 15,259
Total loans $                     277,031 $                       85,558 $              39,143 $   662,991 $            99,742 $     62,126,512 $ 63,290,977 $              63,351
Loans held for sale $                               — $                               — $                      — $             — $                   — $            52,041 $        52,041 $                      —
BBVA COMPASS BANCSHARES, INC.
SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited)
(Dollars in Thousands)
At or Quarter Ended March 31, 2018
30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries)
Commercial, financial and agricultural $                       15,427 $                       12,230 $                 5,420 $   284,699 $              5,231 $     26,036,120 $ 26,359,127 $                8,395
Real estate – construction 450 240 1,918 14,183 129 2,139,936 2,156,856 (89)
Commercial real estate –  mortgage 8,552 3,220 2,229 115,285 4,182 11,394,819 11,528,287 114
Residential real estate – mortgage 73,335 33,993 5,975 169,778 62,171 12,961,735 13,306,987 1,380
Equity lines of credit 12,063 4,611 2,371 36,350 236 2,602,229 2,657,860 160
Equity loans 4,495 983 379 11,429 29,546 297,705 344,537 (69)
Credit card 6,438 5,089 11,845 633,658 657,030 9,874
Consumer – direct 16,919 8,569 7,929 4,211 490 1,818,325 1,856,443 25,412
Consumer – indirect 77,153 21,092 7,838 11,275 3,223,376 3,340,734 22,541
Total loans $                     214,832 $                       90,027 $              45,904 $   647,210 $         101,985 $     61,107,903 $ 62,207,861 $              67,718
Loans held for sale $                               — $                               — $                      — $             — $                   — $            76,401 $        76,401 $                      —

 

_________________________ BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC. BBVA COMPASS BANCSHARES, INC.
1 Return on average tangible equity and operating income are non-GAAP financial measures we believe aid in understanding certain areas of our performance. The calculation of these measures is included on the page titled Non-GAAP Reconciliation. (Unaudited) [a]  Excludes net gain on sales of investment securities. (Unaudited) [a]  Includes loans held for sale. (Unaudited) [a] Excludes adjustment for market valuation. (Unaudited) (Unaudited) SUPPLEMENTAL LOAN PORTFOLIO INFORMATION (Unaudited) BALANCE SHEET (Unaudited) INCOME STATEMENT (Unaudited)
2 Regulatory capital ratios at March 31, 2019, are estimated. (Dollars in thousands) [b]  Non-GAAP financial measure that we believe aids in understanding certain areas of our performance.  The calculation of this measure is included on the page titled Non-GAAP Reconciliation. (Dollars in Thousands) [b]  Excludes loans classified as troubled debt restructuring (TDRs). (Dollars in Thousands) [b] Yield/rate reflects impact of balance sheet offsetting. (Dollars in Thousands) (Dollars in Thousands) (Dollars in Thousands) (Dollars in Thousands) (Dollars in Thousands)
FTE – fully taxable equivalent [c]  Current period regulatory capital ratios are estimated. [c]  Includes loans held for sale that are on nonaccrual status.
Three Months Ended March 31, % NM = Not meaningful 2019 2018 Three Months Ended March 31, Three Months Three Months Ended Three Months Ended March 31, At or Quarter Ended March 31, 2019 2019 2018 Three Months Ended
2019 2018 Change March 31 December 31 September 30 June 30 March 31 2019 2018 Ended March 31, % 2019 2018 2019 2018 30-59 Days Past Due 60-89 Days Past Due 90 Days or MorePast Due Nonaccrual Accruing TDRs Not Past Due orImpaired Total Net Charge Offs(Recoveries) March 31 December 31 September 30 June 30 March 31 2019 2018
EARNINGS SUMMARY NONPERFORMING ASSETS AverageBalance Income/Expense Yield/Rate AverageBalance Income/Expense Yield/Rate 2019 2018  Change  March 31 December 31 September 30 June 30 March 31 NON-GAAP RECONCILIATION Assets: March 31 December 31 September 30 June 30 March 31
Net interest income $       683,089 $       622,605 10 Nonaccrual loans [a] $806,644 $      751,486 $       628,159 $662,991 $647,210 YIELD/RATE ANALYSIS NONINTEREST INCOME Commercial, financial and agricultural $                       54,216 $                       17,813 $                 8,144 $   461,029 $            18,910 $     24,721,818 $ 25,281,930 $                4,743 Cash and due from banks $    1,143,541 $      1,217,319 $       1,122,747 $    1,138,034 $    1,098,345 Interest income:
Noninterest income [a] 248,802 257,825 (3) Loans 90 days or more past due [b] 63,880 59,549 44,765 39,143 45,904 (Taxable Equivalent Basis) Service charges on deposit accounts $  58,908 $  56,161 5 $  58,908 $        61,606 $         60,325 $  58,581 $  56,161 Computation of Operating Income: Real estate – construction 13,582 1,707 533 1,298 111 1,928,116 1,945,347 (1,410) Federal funds sold, securities purchased under agreements to resell and interest bearing deposits 4,864,920 2,115,307 2,404,164 2,438,585 2,424,987 Interest and fees on loans $    800,488 $        787,858 $          751,470 $    711,006 $    663,935
Total revenue [a] 931,891 880,430 6 TDRs 90 days or more past due 370 411 444 491 700 Assets Card and merchant processing fees 46,002 39,678 16 46,002 46,982 44,219 44,048 39,678 Net interest income (GAAP) $      683,089 $     622,605 Commercial real estate –  mortgage 4,679 322 1,160 109,447 3,811 12,835,777 12,955,196 (27) Cash and cash equivalents 6,008,461 3,332,626 3,526,911 3,576,619 3,523,332 Interest on debt securities available for sale 53,522 59,028 53,201 53,792 56,602
Investment securities gain, net 8,958  NM  Total nonperforming loans [a] 870,894 811,446 673,368 702,625 693,814 Earning assets: Investment services sales fees 26,696 30,108 (11) 26,696 24,476 28,286 29,782 30,108 Plus: noninterest income (GAAP) 257,760 257,825 Residential real estate – mortgage 78,538 22,384 9,007 163,463 59,167 13,063,837 13,396,396 929 Trading account assets 306,123 237,656 216,749 277,694 216,465 Interest on debt securities held to maturity 29,495 19,993 16,110 13,062 12,426
Provision for loan losses 182,292 57,029 220 Other real estate owned, net (OREO) 14,983 16,869 18,706 16,499 16,147 Loans $65,482,395 $812,415 5.03 % $62,200,448 $674,830 4.40 % Investment banking and advisory fees 18,857 23,896 (21) 18,857 15,286 13,956 24,546 23,896 Less: noninterest expense (GAAP) 581,973 562,913 Equity lines of credit 15,355 4,035 1,471 34,999 2,660,447 2,716,307 575 Debt securities available for sale 9,297,018 10,981,216 11,134,860 11,293,724 11,434,152 Interest on trading account assets 539 704 833 924 750
Noninterest expense 581,973 562,913 3 Other repossessed assets 11,225 12,031