INDIANA, Pa., Oct. 20, 2016 /PRNewswire/ -- S&T
Bancorp, Inc. (S&T) (NASDAQ: STBA), the holding company for S&T Bank with locations in Pennsylvania, Ohio and New York, announced
today its third quarter 2016 earnings. Third quarter earnings were a record $20.6 million, or
$0.59 per diluted share, compared to second quarter of 2016 earnings of $17.1 million, or $0.49 per diluted share, and third quarter of 2015 earnings of
$18.6 million, or $0.54 per diluted share.
Third Quarter of 2016 Highlights:
- Earnings per share of $0.59 represents a 20% increase over the prior quarter and a 9.3%
increase over the year ago quarter.
- Annualized performance metrics for the third quarter of 2016 were strong, with return on average assets of 1.23%, return on
average equity of 9.85% and return on tangible equity of 15.46%.
- Net interest margin improved 2 basis points to 3.46 % and net interest income increased $1.7
million, or 3.5%, to $51.5 million compared to the prior quarter.
- Expenses were well controlled during the quarter, decreasing by $0.3 million, resulting in an
efficiency ratio of 51.65% compared to 54.37% in the prior quarter.
- Net loan charge-offs were only $0.9 million, representing 0.07% of average loans on an
annualized basis for the third quarter of 2016.
- S&T's Board of Directors approved a 5.3% increase in the quarterly cash dividend to $0.20
per share.
"We are pleased to announce record quarterly net income," said Todd Brice, president and chief
executive officer of S&T. "Our strong performance was driven by improvements in all key areas, with higher net interest
income and noninterest income, and lower expenses and provision for loan loss."
Net Interest Income
Net interest income increased $1.7 million, or 3.5%, to $51.5
million for the third quarter of 2016 compared to $49.7 million in the prior quarter. Higher
net interest income was primarily due to an increase of $101 million in average loans and one
additional day in the third quarter compared to the second quarter. Net interest margin on a fully taxable equivalent basis (FTE)
increased 2 basis points to 3.46% compared to 3.44% in the prior quarter. Total interest-bearing liability costs were stable at
0.56% for both the third and second quarter of 2016.
Asset Quality
Asset quality continued to improve during the third quarter of 2016. Total nonperforming loans decreased $2.4 million to $40.5 million, or 0.75% of total loans, at September 30, 2016 compared to $42.9 million, or 0.79% of total loans, at
June 30, 2016. Net loan charge-offs decreased $2.1 million to
$0.9 million for the third quarter of 2016 compared to $3.0 million
in the prior quarter. The provision for loan losses decreased $2.3 million to $2.5 million in the third quarter of 2016 compared to $4.8 million in the second
quarter of 2016. The allowance for loan losses was $53.8 million, or 0.99% of total loans, at
September 30, 2016 compared to $52.2 million, or 0.97% of total
loans, at June 30, 2016.
Noninterest Income and Expense
Noninterest income increased $1.0 million to $13.4 million for the
third quarter of 2016 compared to $12.4 million in the second quarter of 2016. Mortgage banking
increased $0.5 million due to increased volume and the favorable interest rate environment.
Debit and credit card fees increased $0.3 million primarily due to higher debit and credit card
activity.
Expenses were well controlled in the third quarter with a decrease in noninterest expense of $0.3
million to $34.4 million compared to $34.7 million for the
second quarter of 2016. Other expenses decreased $1.4 million, due to lower loan related
costs resulting primarily from recovered expenses on impaired loans. Data processing expense decreased $0.6 million due to savings from the renegotiation of a core data processing contract and seasonality of data
processing expense. These decreases were offset by an increase in salaries and employee benefits of $1.4 million related to the timing of benefit accruals and higher pension expense.
Financial Condition
Total assets were essentially unchanged at $6.7 billion for both September 30, 2016 and June 30, 2016. Loan growth for the quarter was primarily
in consumer loans which increased $29.1 million, or a 9.5% annualized rate, with growth in all
consumer categories. Total deposits increased $25.1 million, or a 2.0% annualized rate, with growth
in noninterest-bearing demand and money market accounts. Risk-based capital ratios increased this quarter due to earnings
retention and a decline in risk weighted assets. All capital ratios remain above the well-capitalized thresholds of federal bank
regulatory agencies.
Dividend
The Board of Directors of S&T declared a $0.20 per share cash dividend at its regular
meeting held October 16, 2016, representing a 5.3% increase over the prior quarter cash dividend.
The dividend is payable on November 17, 2016 to shareholders of record on November 3, 2016.
Conference Call
S&T will host its third quarter 2016 earnings conference call live over the Internet at 1:00 p.m.
ET on Thursday, October 20, 2016. To access the webcast, go to S&T's webpage at www.stbancorp.com and click on "Events & Presentations." Select "3rd Quarter
2016 Conference Call" and follow the instructions.
About S&T Bancorp, Inc. and S&T Bank
S&T Bancorp, Inc. is a $6.7 billion bank holding company that is headquartered in
Indiana, Pa. and trades on the NASDAQ Global Select Market under the symbol STBA. Its principal
subsidiary, S&T Bank, was established in 1902, and operates locations in Pennsylvania,
Ohio and New York. For more information visit www.stbancorp.com or www.stbank.com.
This information may contain forward-looking statements regarding future financial performance which are not
historical facts and which involve risks and uncertainties. Actual results and performance could differ materially from those
anticipated by these forward-looking statements. Factors that could cause such a difference include, but are not limited to,
general economic conditions, change in interest rates, deposit flows, loan demand, and asset quality, including real estate and
other collateral values and competition. In addition to the results of operations presented in accordance with Generally Accepted
Accounting Principles (GAAP), S&T management uses and this press release contains or
references, certain non-GAAP financial measures, such as net interest income on a fully taxable equivalent basis. S&T believes these non-GAAP financial measures provide information useful to investors in understanding
our underlying operational performance and our business and performance trends as they facilitate comparisons with the
performance of others in the financial services industry. Although S&T believes that
these non-GAAP financial measures enhance investors' understanding of S&T's business and
performance, these non-GAAP financial measures should not be considered an alternative to GAAP. A reconciliation of these
non-GAAP financial measures is presented in the attached selected financial data spreadsheet. This information should be read in
conjunction with the audited financial statements and analysis as presented in the Annual Report on Form 10-K for S&T Bancorp, Inc. and subsidiaries.
|
S&T Bancorp, Inc.
|
|
Consolidated Selected Financial Data
|
|
Unaudited
|
|
|
|
2016
|
|
2016
|
|
2015
|
|
|
Third
|
|
Second
|
|
Third
|
|
|
(dollars in thousands, except per share data)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
|
INTEREST INCOME
|
|
|
|
|
|
|
|
Loans, including fees
|
$53,956
|
|
$52,019
|
|
$49,578
|
|
|
Investment securities:
|
|
|
|
|
|
|
|
Taxable
|
2,570
|
|
2,580
|
|
2,522
|
|
|
Tax-exempt
|
907
|
|
915
|
|
988
|
|
|
Dividends
|
375
|
|
336
|
|
581
|
|
|
Total Interest Income
|
57,808
|
|
55,850
|
|
53,669
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE
|
|
|
|
|
|
|
|
Deposits
|
5,119
|
|
5,029
|
|
3,275
|
|
|
Borrowings and junior subordinated debt securities
|
1,234
|
|
1,113
|
|
798
|
|
|
Total Interest Expense
|
6,353
|
|
6,142
|
|
4,073
|
|
|
|
|
|
|
|
|
|
NET INTEREST INCOME
|
51,455
|
|
49,708
|
|
49,596
|
|
|
Provision for loan losses
|
2,516
|
|
4,848
|
|
3,206
|
|
|
Net Interest Income After Provision for Loan Losses
|
48,939
|
|
44,860
|
|
46,390
|
|
|
|
|
|
|
|
|
|
NONINTEREST INCOME
|
|
|
|
|
|
|
|
Securities (losses) gains, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Service charges on deposit accounts
|
3,208
|
|
3,065
|
|
3,069
|
|
|
Debit and credit card fees
|
3,163
|
|
2,869
|
|
2,996
|
|
|
Wealth management fees
|
2,565
|
|
2,630
|
|
2,814
|
|
|
Insurance fees
|
1,208
|
|
1,205
|
|
1,332
|
|
|
Mortgage banking
|
1,077
|
|
578
|
|
698
|
|
|
Other
|
2,227
|
|
2,101
|
|
1,572
|
|
|
Total Noninterest Income
|
13,448
|
|
12,448
|
|
12,481
|
|
|
|
|
|
|
|
|
|
NONINTEREST EXPENSE
|
|
|
|
|
|
|
|
Salaries and employee benefits
|
19,011
|
|
17,626
|
|
16,789
|
|
|
Net occupancy
|
2,776
|
|
2,688
|
|
2,744
|
|
|
Data processing
|
2,129
|
|
2,723
|
|
2,454
|
|
|
Furniture and equipment
|
1,932
|
|
1,719
|
|
1,653
|
|
|
Other taxes
|
1,080
|
|
896
|
|
719
|
|
|
Professional services and legal
|
1,041
|
|
1,047
|
|
946
|
|
|
FDIC insurance
|
1,005
|
|
994
|
|
990
|
|
|
Marketing
|
896
|
|
1,075
|
|
895
|
|
|
Other
|
4,569
|
|
5,985
|
|
6,639
|
|
|
Total Noninterest Expense
|
34,439
|
|
34,753
|
|
33,829
|
|
|
|
|
|
|
|
|
|
Income Before Taxes
|
27,948
|
|
22,555
|
|
25,042
|
|
|
Provision for income taxes
|
7,367
|
|
5,496
|
|
6,407
|
|
|
|
|
|
|
|
|
|
Net Income
|
$20,581
|
|
$17,059
|
|
$18,635
|
|
|
|
|
|
|
|
|
|
Per Share Data
|
|
|
|
|
|
|
|
Shares outstanding at end of period
|
34,913,023
|
|
34,916,358
|
|
34,811,636
|
|
|
Average shares outstanding - diluted
|
34,768,505
|
|
34,764,565
|
|
34,692,991
|
|
|
Average shares outstanding - two-class method
|
34,802,233
|
|
34,909,563
|
|
34,811,979
|
|
|
Diluted earnings per share (1)
|
$0.59
|
|
$0.49
|
|
$0.54
|
|
|
Dividends declared per share
|
$0.19
|
|
$0.19
|
|
$0.18
|
|
|
Dividend yield (annualized)
|
2.62%
|
|
3.11%
|
|
2.21%
|
|
|
Dividends paid to net income
|
32.13%
|
|
38.75%
|
|
33.56%
|
|
|
Book value
|
$24.02
|
|
$23.63
|
|
$22.63
|
|
|
Tangible book value (3)
|
$15.57
|
|
$15.17
|
|
$14.12
|
|
|
Market value
|
$28.99
|
|
$24.45
|
|
$32.62
|
|
|
|
|
|
|
|
|
|
Profitability Ratios (annualized)
|
|
|
|
|
|
|
|
Return on average assets
|
1.23%
|
|
1.05%
|
|
1.20%
|
|
|
Return on average tangible assets (4)
|
1.31%
|
|
1.12%
|
|
1.28%
|
|
|
Return on average shareholders' equity
|
9.85%
|
|
8.37%
|
|
9.51%
|
|
|
Return on average tangible shareholders' equity (5)
|
15.46%
|
|
13.30%
|
|
15.61%
|
|
|
Efficiency ratio (FTE) (2)
|
51.65%
|
|
54.37%
|
|
53.12%
|
|
|
|
|
|
|
|
|
|
|
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
For the Nine Months Ended September 30,
|
|
|
(dollars in thousands, except per share data)
|
|
|
2016
|
|
2015
|
|
|
INTEREST INCOME
|
|
|
|
|
|
|
|
Loans, including fees
|
|
|
$157,133
|
|
$138,438
|
|
|
Investment securities:
|
|
|
|
|
|
|
|
Taxable
|
|
|
7,704
|
|
7,298
|
|
|
Tax-exempt
|
|
|
2,764
|
|
3,006
|
|
|
Dividends
|
|
|
1,077
|
|
1,453
|
|
|
Total Interest Income
|
|
|
168,678
|
|
150,195
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE
|
|
|
|
|
|
|
|
Deposits
|
|
|
14,403
|
|
9,333
|
|
|
Borrowings and junior subordinated debt securities
|
|
|
3,474
|
|
2,196
|
|
|
Total Interest Expense
|
|
|
17,877
|
|
11,529
|
|
|
|
|
|
|
|
|
|
NET INTEREST INCOME
|
|
|
150,801
|
|
138,666
|
|
|
Provision for loan losses
|
|
|
12,379
|
|
6,473
|
|
|
Net Interest Income After Provision for Loan Losses
|
|
|
138,422
|
|
132,193
|
|
|
|
|
|
|
|
|
|
NONINTEREST INCOME
|
|
|
|
|
|
|
|
Securities (losses) gains, net
|
|
|
|
—
|
|
(34)
|
|
|
Service charges on deposit accounts
|
|
|
9,272
|
|
8,529
|
|
|
Debit and credit card fees
|
|
|
8,818
|
|
8,732
|
|
|
Wealth management fees
|
|
|
7,947
|
|
8,667
|
|
|
Insurance fees
|
|
|
4,187
|
|
4,374
|
|
|
Mortgage banking
|
|
|
2,185
|
|
2,006
|
|
|
Gain on sale of credit card portfolio
|
|
|
2,066
|
|
|
—
|
|
|
Other
|
|
|
7,238
|
|
5,674
|
|
|
Total Noninterest Income
|
|
|
41,713
|
|
37,948
|
|
|
|
|
|
|
|
|
|
NONINTEREST EXPENSE
|
|
|
|
|
|
|
|
Salaries and employee benefits
|
|
|
57,539
|
|
51,024
|
|
|
Net occupancy
|
|
|
8,413
|
|
8,014
|
|
|
Data processing
|
|
|
6,964
|
|
7,329
|
|
|
Furniture and equipment
|
|
|
5,580
|
|
4,461
|
|
|
Other taxes
|
|
|
3,076
|
|
2,721
|
|
|
Professional services and legal
|
|
|
3,035
|
|
2,270
|
|
|
FDIC insurance
|
|
|
2,938
|
|
2,493
|
|
|
Marketing
|
|
|
2,872
|
|
2,905
|
|
|
Merger related expenses
|
|
|
|
—
|
|
3,167
|
|
|
Other
|
|
|
17,190
|
|
18,515
|
|
|
Total Noninterest Expense
|
|
|
107,607
|
|
102,899
|
|
|
|
|
|
|
|
|
|
Income Before Taxes
|
|
|
72,528
|
|
67,242
|
|
|
Provision for income taxes
|
|
|
18,795
|
|
17,584
|
|
|
|
|
|
|
|
|
|
Net Income
|
|
|
$53,733
|
|
$49,658
|
|
|
|
|
|
|
|
|
|
Per Share Data:
|
|
|
|
|
|
|
|
Average shares outstanding - diluted
|
|
|
34,747,177
|
|
33,561,529
|
|
|
Average shares outstanding - two-class method
|
|
|
34,782,867
|
|
33,665,990
|
|
|
Diluted earnings per share (1)
|
|
|
$1.54
|
|
$1.48
|
|
|
Dividends declared per share
|
|
|
$0.57
|
|
$0.54
|
|
|
Dividends paid to net income
|
|
|
36.89%
|
|
35.97%
|
|
|
|
|
|
|
|
|
|
Profitability Ratios (annualized)
|
|
|
|
|
|
|
|
Return on average assets
|
|
|
1.10%
|
|
1.14%
|
|
|
Return on average tangible assets (8)
|
|
|
1.17%
|
|
1.22%
|
|
|
Return on average shareholders' equity
|
|
|
8.78%
|
|
9.02%
|
|
|
Return on average tangible shareholders' equity (9)
|
|
|
13.95%
|
|
14.46%
|
|
|
Efficiency ratio (FTE) (2)
|
|
|
54.41%
|
|
56.81%
|
|
|
|
|
|
|
|
|
|
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
2016
|
|
2016
|
|
2015
|
|
|
Third
|
|
Second
|
|
Third
|
|
|
(dollars in thousands)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
|
ASSETS
|
|
|
|
|
|
|
|
Cash and due from banks, including interest-bearing deposits
|
$125,163
|
|
$94,991
|
|
$115,347
|
|
|
Securities available-for-sale, at fair value
|
671,128
|
|
683,479
|
|
660,046
|
|
|
Loans held for sale
|
11,694
|
|
11,999
|
|
13,794
|
|
|
Commercial loans:
|
|
|
|
|
|
|
|
Commercial real estate
|
2,427,164
|
|
2,388,786
|
|
2,111,585
|
|
|
Commercial and industrial
|
1,344,297
|
|
1,385,746
|
|
1,237,915
|
|
|
Commercial construction
|
402,124
|
|
398,122
|
|
384,328
|
|
|
Total Commercial Loans
|
4,173,585
|
|
4,172,654
|
|
3,733,828
|
|
|
Consumer loans:
|
|
|
|
|
|
|
|
Residential mortgage
|
692,574
|
|
671,665
|
|
625,251
|
|
|
Home equity
|
483,935
|
|
480,204
|
|
467,698
|
|
|
Installment and other consumer
|
62,288
|
|
58,139
|
|
91,122
|
|
|
Consumer construction
|
5,852
|
|
5,602
|
|
8,064
|
|
|
Total Consumer Loans
|
1,244,649
|
|
1,215,610
|
|
1,192,135
|
|
|
Total portfolio loans
|
5,418,234
|
|
5,388,264
|
|
4,925,963
|
|
|
Allowance for loan losses
|
(53,793)
|
|
(52,213)
|
|
(49,907)
|
|
|
Total portfolio loans, net
|
5,364,441
|
|
5,336,051
|
|
4,876,056
|
|
|
Goodwill
|
291,670
|
|
291,670
|
|
291,683
|
|
|
Other assets
|
254,109
|
|
256,015
|
|
258,412
|
|
|
Total Assets
|
$6,718,205
|
|
$6,674,205
|
|
$6,215,338
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
Noninterest-bearing demand
|
$1,232,469
|
|
$1,220,568
|
|
$1,188,331
|
|
|
Interest-bearing demand
|
657,326
|
|
662,509
|
|
704,348
|
|
|
Money market
|
764,125
|
|
700,219
|
|
593,643
|
|
|
Savings
|
1,026,234
|
|
1,033,077
|
|
1,088,217
|
|
|
Certificates of deposit
|
1,465,277
|
|
1,503,945
|
|
1,302,870
|
|
|
Total Deposits
|
5,145,431
|
|
5,120,318
|
|
4,877,409
|
|
|
|
|
|
|
|
|
|
Securities sold under repurchase agreements
|
40,949
|
|
48,479
|
|
42,971
|
|
|
Short-term borrowings
|
565,000
|
|
550,000
|
|
280,000
|
|
|
Long-term borrowings
|
15,303
|
|
15,888
|
|
117,613
|
|
|
Junior subordinated debt securities
|
45,619
|
|
45,619
|
|
45,619
|
|
|
Other liabilities
|
67,196
|
|
68,851
|
|
63,923
|
|
|
Total Liabilities
|
5,879,498
|
|
5,849,155
|
|
5,427,535
|
|
|
|
|
|
|
|
|
|
SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
Total Shareholders' Equity
|
838,707
|
|
825,050
|
|
787,803
|
|
|
Total Liabilities and Shareholders' Equity
|
$6,718,205
|
|
$6,674,205
|
|
$6,215,338
|
|
|
|
|
|
|
|
|
|
Capitalization Ratios
|
|
|
|
|
|
|
|
Shareholders' equity / assets
|
12.48%
|
|
12.36%
|
|
12.68%
|
|
|
Tangible common equity / tangible assets (6)
|
8.46%
|
|
8.30%
|
|
8.30%
|
|
|
Tier 1 leverage ratio
|
9.02%
|
|
8.92%
|
|
8.94%
|
|
|
Common equity tier 1 capital
|
10.01%
|
|
9.70%
|
|
9.69%
|
|
|
Risk-based capital - tier 1
|
10.37%
|
|
10.06%
|
|
10.08%
|
|
|
Risk-based capital - total
|
11.87%
|
|
11.52%
|
|
11.58%
|
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
Third
|
|
|
|
Second
|
|
|
|
Third
|
|
|
|
(dollars in thousands)
|
Quarter
|
|
|
|
Quarter
|
|
|
|
Quarter
|
|
|
|
Net Interest Margin (FTE) (QTD Averages)
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
$5,382,516
|
|
4.08%
|
|
$5,281,769
|
|
4.05%
|
|
$4,869,914
|
|
4.12%
|
|
Taxable investment securities
|
545,249
|
|
1.95%
|
|
547,501
|
|
1.95%
|
|
523,890
|
|
1.99%
|
|
Tax-exempt investment securities
|
133,661
|
|
4.17%
|
|
133,908
|
|
4.21%
|
|
138,514
|
|
4.39%
|
|
Federal Home Loan Bank and other restricted stock
|
24,454
|
|
4.52%
|
|
22,017
|
|
4.32%
|
|
20,184
|
|
9.60%
|
|
Interest-bearing deposits with banks
|
37,852
|
|
0.52%
|
|
38,233
|
|
0.47%
|
|
76,246
|
|
0.24%
|
|
Total Interest-earning Assets
|
6,123,732
|
|
3.87%
|
|
6,023,428
|
|
3.85%
|
|
5,628,748
|
|
3.90%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-earning assets
|
519,011
|
|
|
|
520,720
|
|
|
|
537,373
|
|
|
|
Total Assets
|
$6,642,743
|
|
|
|
$6,544,148
|
|
|
|
$6,166,121
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand
|
$663,477
|
|
0.17%
|
|
$639,424
|
|
0.17%
|
|
$663,834
|
|
0.14%
|
|
Money market
|
540,891
|
|
0.42%
|
|
478,448
|
|
0.37%
|
|
385,520
|
|
0.18%
|
|
Savings
|
1,034,018
|
|
0.20%
|
|
1,030,357
|
|
0.19%
|
|
1,091,482
|
|
0.16%
|
|
Certificates of deposit
|
1,379,952
|
|
0.95%
|
|
1,384,988
|
|
0.97%
|
|
1,113,858
|
|
0.74%
|
|
Brokered deposits
|
309,413
|
|
0.56%
|
|
371,182
|
|
0.54%
|
|
394,415
|
|
0.34%
|
|
Total Interest-bearing deposits
|
3,927,751
|
|
0.52%
|
|
3,904,399
|
|
0.52%
|
|
3,649,109
|
|
0.36%
|
|
Securities sold under repurchase agreements
|
44,927
|
|
0.01%
|
|
52,443
|
|
0.01%
|
|
42,937
|
|
0.01%
|
|
Short-term borrowings
|
459,043
|
|
0.66%
|
|
366,942
|
|
0.64%
|
|
270,968
|
|
0.37%
|
|
Long-term borrowings
|
15,545
|
|
2.85%
|
|
54,588
|
|
1.30%
|
|
117,864
|
|
0.77%
|
|
Junior subordinated debt securities
|
45,619
|
|
3.15%
|
|
45,619
|
|
3.10%
|
|
45,619
|
|
2.75%
|
|
Total Interest-bearing Liabilities
|
4,492,885
|
|
0.56%
|
|
4,423,991
|
|
0.56%
|
|
4,126,497
|
|
0.39%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing demand
|
1,247,884
|
|
|
|
1,229,020
|
|
|
|
1,196,200
|
|
|
|
Other liabilities
|
70,799
|
|
|
|
71,601
|
|
|
|
65,873
|
|
|
|
Shareholders' equity
|
831,175
|
|
|
|
819,536
|
|
|
|
777,551
|
|
|
|
Total Liabilities and Shareholders' Equity
|
$6,642,743
|
|
|
|
$6,544,148
|
|
|
|
$6,166,121
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest Margin (7)
|
|
|
3.46%
|
|
|
|
3.44%
|
|
|
|
3.61%
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
For the Nine Months Ended September 30,
|
|
|
|
(dollars in thousands)
|
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
Net Interest Margin (FTE) (YTD Averages)
|
|
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans
|
|
|
|
|
$5,261,629
|
|
4.08%
|
|
$4,588,536
|
|
4.11%
|
|
Taxable investment securities
|
|
|
|
|
541,419
|
|
1.96%
|
|
514,195
|
|
1.96%
|
|
Tax-exempt investment securities
|
|
|
|
|
134,271
|
|
4.22%
|
|
139,171
|
|
4.43%
|
|
Federal Home Loan Bank and other restricted stock
|
|
|
|
|
23,027
|
|
4.52%
|
|
19,276
|
|
8.04%
|
|
Interest-bearing deposits with banks
|
|
|
|
|
41,402
|
|
0.51%
|
|
69,062
|
|
0.24%
|
|
Total Interest-earning Assets
|
|
|
|
|
6,001,748
|
|
3.87%
|
|
5,330,240
|
|
3.88%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-earning assets
|
|
|
|
|
519,913
|
|
|
|
499,043
|
|
|
|
Total Assets
|
|
|
|
|
$6,521,661
|
|
|
|
$5,829,283
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand
|
|
|
|
|
$635,479
|
|
0.16%
|
|
$586,149
|
|
0.13%
|
|
Money market
|
|
|
|
|
476,768
|
|
0.35%
|
|
392,021
|
|
0.18%
|
|
Savings
|
|
|
|
|
1,041,802
|
|
0.19%
|
|
1,072,539
|
|
0.16%
|
|
Certificates of deposit
|
|
|
|
|
1,345,323
|
|
0.94%
|
|
1,075,666
|
|
0.76%
|
|
CDARS and brokered deposits
|
|
|
|
|
358,568
|
|
0.54%
|
|
334,485
|
|
0.33%
|
|
Securities sold under repurchase agreements
|
|
|
|
|
53,858
|
|
0.01%
|
|
42,675
|
|
0.01%
|
|
Short-term borrowings
|
|
|
|
|
385,394
|
|
0.64%
|
|
245,431
|
|
0.34%
|
|
Long-term borrowings
|
|
|
|
|
62,109
|
|
1.21%
|
|
72,316
|
|
1.04%
|
|
Junior subordinated debt securities
|
|
|
|
|
45,619
|
|
3.08%
|
|
47,561
|
|
2.82%
|
|
Total Interest-bearing Liabilities
|
|
|
|
|
4,404,920
|
|
0.54%
|
|
3,868,843
|
|
0.40%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing demand
|
|
|
|
|
1,227,426
|
|
|
|
1,158,217
|
|
|
|
Other liabilities
|
|
|
|
|
71,421
|
|
|
|
66,009
|
|
|
|
Shareholders' equity
|
|
|
|
|
817,894
|
|
|
|
736,214
|
|
|
|
Total Liabilities and Shareholders' Equity
|
|
|
|
|
$6,521,661
|
|
|
|
$5,829,283
|
|
|
|
Net Interest Margin (10)
|
|
|
|
|
|
|
3.47%
|
|
|
|
3.59%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2016
|
|
|
|
2016
|
|
|
|
2015
|
|
|
|
Third
|
|
|
|
Second
|
|
|
|
Third
|
|
|
|
(dollars in thousands)
|
Quarter
|
|
|
|
Quarter
|
|
|
|
Quarter
|
|
|
|
Nonperforming Loans (NPL)
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial loans:
|
|
|
% NPL
|
|
|
|
% NPL
|
|
|
|
% NPL
|
|
Commercial real estate
|
$7,551
|
|
0.31%
|
|
$10,887
|
|
0.46%
|
|
$7,919
|
|
0.38%
|
|
Commercial and industrial
|
11,890
|
|
0.88%
|
|
11,342
|
|
0.82%
|
|
5,370
|
|
0.43%
|
|
Commercial construction
|
6,653
|
|
1.65%
|
|
8,182
|
|
2.06%
|
|
5,008
|
|
1.30%
|
|
Total Nonperforming Commercial Loans
|
26,094
|
|
0.63%
|
|
30,411
|
|
0.73%
|
|
18,297
|
|
0.49%
|
|
Consumer loans:
|
|
|
|
|
|
|
|
|
|
|
|
|
Residential mortgage
|
11,400
|
|
1.63%
|
|
9,283
|
|
1.38%
|
|
3,242
|
|
0.52%
|
|
Home equity
|
2,955
|
|
0.61%
|
|
3,168
|
|
0.66%
|
|
2,147
|
|
0.46%
|
|
Installment and other consumer
|
44
|
|
0.07%
|
|
43
|
|
0.07%
|
|
122
|
|
0.13%
|
|
Total Nonperforming Consumer Loans
|
14,399
|
|
1.16%
|
|
12,494
|
|
1.03%
|
|
5,511
|
|
0.46%
|
|
Total Nonperforming Loans
|
$40,493
|
|
0.75%
|
|
$42,905
|
|
0.79%
|
|
$23,808
|
|
0.48%
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
2016
|
|
2016
|
|
2015
|
|
|
Third
|
|
Second
|
|
Third
|
|
|
(dollars in thousands)
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
|
Loan Charge-offs
|
|
|
|
|
|
|
|
Charge-offs
|
$1,500
|
|
$3,496
|
|
$5,641
|
|
|
Recoveries
|
(564)
|
|
(514)
|
|
(3,528)
|
|
|
Net Loan Charge-offs
|
$936
|
|
$2,982
|
|
$2,113
|
|
|
|
|
|
|
|
|
|
Net Loan Charge-offs
|
|
|
|
|
|
|
|
Commercial loans:
|
|
|
|
|
|
|
|
Commercial real estate
|
($171)
|
|
$1,624
|
|
($535)
|
|
|
Commercial and industrial
|
245
|
|
(81)
|
|
849
|
|
|
Commercial construction
|
146
|
|
943
|
|
1,118
|
|
|
Total Commercial Loan Charge-offs
|
220
|
|
2,486
|
|
1,432
|
|
|
Consumer loans:
|
|
|
|
|
|
|
|
Residential mortgage
|
331
|
|
158
|
|
127
|
|
|
Home equity
|
(1)
|
|
37
|
|
222
|
|
|
Installment and other consumer
|
391
|
|
340
|
|
368
|
|
|
Consumer construction
|
(5)
|
|
(39)
|
|
(36)
|
|
|
Total Consumer Loan Charge-offs
|
716
|
|
496
|
|
681
|
|
|
Total Net Loan Charge-offs
|
$936
|
|
$2,982
|
|
$2,113
|
|
|
|
|
|
|
For the Nine Months Ended September 30,
|
|
|
(dollars in thousands)
|
|
|
2016
|
|
2015
|
|
|
Loan Charge-offs
|
|
|
|
|
|
|
|
Charge-offs
|
|
|
$8,623
|
|
$8,847
|
|
|
Recoveries
|
|
|
(1,890)
|
|
(4,370)
|
|
|
Net Loan Charge-offs
|
|
|
$6,733
|
|
$4,477
|
|
|
|
|
|
|
|
|
|
Net Loan Charge-offs
|
|
|
|
|
|
|
|
Commercial loans:
|
|
|
|
|
|
|
|
Commercial real estate
|
|
|
$1,146
|
|
($334)
|
|
|
Commercial and industrial
|
|
|
2,655
|
|
2,344
|
|
|
Commercial construction
|
|
|
1,088
|
|
1,115
|
|
|
Total Commercial Loan Charge-offs
|
|
|
4,889
|
|
3,125
|
|
|
Consumer loans:
|
|
|
|
|
|
|
|
Residential mortgage
|
|
|
506
|
|
459
|
|
|
Home equity
|
|
|
158
|
|
219
|
|
|
Installment and other consumer
|
|
|
1,295
|
|
734
|
|
|
Consumer construction
|
|
|
(115)
|
|
(60)
|
|
|
Total Consumer Loan Charge-offs
|
|
|
1,844
|
|
1,352
|
|
|
Total Net Loan Charge-offs
|
|
|
$6,733
|
|
$4,477
|
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
2016
|
|
2016
|
|
2015
|
|
|
Third
|
|
Second
|
|
Third
|
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
|
Asset Quality Data
|
|
|
|
|
|
|
|
Nonperforming loans
|
$40,493
|
|
$42,905
|
|
$23,808
|
|
|
Assets acquired through foreclosure or repossession
|
512
|
|
328
|
|
472
|
|
|
Nonperforming assets
|
41,005
|
|
43,233
|
|
24,280
|
|
|
Troubled debt restructurings (nonperforming)
|
15,095
|
|
15,028
|
|
8,092
|
|
|
Troubled debt restructurings (performing)
|
12,936
|
|
20,598
|
|
26,049
|
|
|
Total troubled debt restructurings
|
28,031
|
|
35,626
|
|
34,141
|
|
|
Nonperforming loans / loans
|
0.75%
|
|
0.79%
|
|
0.48%
|
|
|
Nonperforming assets / loans plus OREO
|
0.76%
|
|
0.80%
|
|
0.49%
|
|
|
Allowance for loan losses / total portfolio loans
|
0.99%
|
|
0.97%
|
|
1.01%
|
|
|
Allowance for loan losses / nonperforming loans
|
133%
|
|
122%
|
|
210%
|
|
|
Net loan charge-offs (recoveries)
|
$936
|
|
$2,982
|
|
$2,113
|
|
|
Net loan charge-offs (recoveries)(annualized) / average loans
|
0.07%
|
|
0.23%
|
|
0.17%
|
|
|
|
|
|
|
|
|
|
|
|
For the Nine Months Ended September 30,
|
|
|
(dollars in thousands)
|
|
|
2016
|
|
2015
|
|
|
Asset Quality Data
|
|
|
|
|
|
|
|
Net loan charge-offs (recoveries)
|
|
|
$6,733
|
|
$4,477
|
|
|
Net loan charge-offs (recoveries)(annualized) / average loans
|
|
|
0.17%
|
|
0.13%
|
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
Definitions and Reconciliation of GAAP to Non-GAAP Financial
Measures:
|
|
(1) Diluted earnings per share under the two-class method is
determined on the net income reported on the income statement less earnings allocated to participating
securities.
|
|
(2) Noninterest expense divided by noninterest income plus net
interest income, on a fully taxable equivalent (FTE) basis.
|
|
|
2016
|
|
2016
|
|
2015
|
|
|
Third
|
|
Second
|
|
Third
|
|
|
Quarter
|
|
Quarter
|
|
Quarter
|
|
|
|
|
|
|
|
|
|
(3) Tangible Book Value (non-GAAP)
|
|
|
|
|
|
|
|
Total shareholders' equity
|
$838,707
|
|
$825,050
|
|
$787,803
|
|
|
Less: goodwill and other intangible assets,
net of deferred tax
liability
|
(295,104)
|
|
(295,347)
|
|
(296,233)
|
|
|
Tangible common equity (non-GAAP)
|
$543,603
|
|
$529,703
|
|
$491,570
|
|
|
Common shares outstanding
|
34,913
|
|
34,916
|
|
34,812
|
|
|
Tangible book value (non-GAAP)
|
$15.57
|
|
$15.17
|
|
$14.12
|
|
|
|
|
|
|
|
|
|
(4) Return on Average Tangible Assets
(non-GAAP)
|
|
|
|
|
|
|
|
Net income (annualized)
|
$81,877
|
|
$68,612
|
|
$73,931
|
|
|
Plus: amortization of intangibles net of tax (annualized)
|
969
|
|
1,071
|
|
1,236
|
|
|
Net income before amortization of intangibles (annualized)
|
82,846
|
|
69,683
|
|
75,167
|
|
|
|
|
|
|
|
|
|
Average total assets
|
6,642,743
|
|
6,544,148
|
|
6,166,121
|
|
|
Less: average goodwill and other intangibles,
net of
deferred tax liability
|
(295,235)
|
|
(295,487)
|
|
(295,998)
|
|
|
Average tangible assets (non-GAAP)
|
$6,347,508
|
|
$6,248,661
|
|
$5,870,123
|
|
|
Return on average tangible assets (non-GAAP)
|
1.31%
|
|
1.12%
|
|
1.28%
|
|
|
|
|
|
|
|
|
|
(5) Return on Average Tangible Shareholders' Equity
(non-GAAP)
|
|
|
|
|
|
|
|
Net income (annualized)
|
$81,877
|
|
$68,612
|
|
$73,931
|
|
|
Plus: amortization of intangibles net of tax (annualized)
|
969
|
|
1,071
|
|
1,236
|
|
|
Net income before amortization of intangibles
(annualized)
|
82,846
|
|
69,683
|
|
75,167
|
|
|
|
|
|
|
|
|
|
Average total shareholders' equity
|
831,175
|
|
819,536
|
|
777,551
|
|
|
Less: average goodwill and other intangibles,
net of
deferred tax liability
|
(295,235)
|
|
(295,487)
|
|
(295,998)
|
|
|
Average tangible equity (non-GAAP)
|
$535,940
|
|
$524,049
|
|
$481,553
|
|
|
Return on average tangible equity (non-GAAP)
|
15.46%
|
|
13.30%
|
|
15.61%
|
|
|
|
|
|
|
|
|
|
(6) Tangible Common Equity / Tangible Assets
(non-GAAP)
|
|
|
|
|
|
|
|
Total shareholders' equity
|
$838,707
|
|
$825,050
|
|
$787,803
|
|
|
Less: goodwill and other intangible assets,
net of deferred tax
liability
|
(295,104)
|
|
(295,347)
|
|
(296,233)
|
|
|
Tangible common equity (non-GAAP)
|
543,603
|
|
529,703
|
|
491,570
|
|
|
|
|
|
|
|
|
|
Total assets
|
6,718,205
|
|
6,674,205
|
|
6,215,338
|
|
|
Less: goodwill and other intangible assets,
net of deferred tax
liability
|
(295,104)
|
|
(295,347)
|
|
(296,233)
|
|
|
Tangible assets (non-GAAP)
|
$6,423,101
|
|
$6,378,858
|
|
$5,919,105
|
|
|
Tangible common equity to tangible assets (non-GAAP)
|
8.46%
|
|
8.30%
|
|
8.30%
|
|
|
|
|
|
|
|
|
|
(7) Net Interest Margin Rate (FTE)
(non-GAAP)
|
|
|
|
|
|
|
|
Interest income
|
$57,808
|
|
$55,850
|
|
$53,669
|
|
|
Less: interest expense
|
(6,353)
|
|
(6,142)
|
|
(4,073)
|
|
|
Net interest income per consolidated statements of net
income
|
51,455
|
|
49,708
|
|
49,596
|
|
|
Plus: taxable equivalent adjustment
|
1,771
|
|
1,762
|
|
1,607
|
|
|
Net interest income (FTE) (non-GAAP)
|
53,226
|
|
51,470
|
|
51,203
|
|
|
Net interest income (FTE) (annualized)
|
211,747
|
|
207,011
|
|
203,142
|
|
|
Average earning assets
|
$6,123,731
|
|
$6,023,428
|
|
$5,628,748
|
|
|
Net interest margin - (FTE) (non-GAAP)
|
3.46%
|
|
3.44%
|
|
3.61%
|
|
|
S&T Bancorp, Inc.
Consolidated Selected Financial Data
Unaudited
|
|
|
|
|
For the Nine Months Ended September 30,
|
|
|
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
(8) Return on Average Tangible Assets
(non-GAAP)
|
|
|
|
|
|
|
|
Net income (annualized)
|
|
|
$71,775
|
|
$66,392
|
|
|
Plus: amortization of intangibles net of tax (annualized)
|
|
|
1,079
|
|
1,168
|
|
|
Net income before amortization of intangibles (annualized)
|
|
|
72,854
|
|
67,560
|
|
|
|
|
|
|
|
|
|
Average total assets
|
|
|
6,521,661
|
|
5,829,283
|
|
|
Less: average goodwill and other intangibles,
net of
deferred tax liability
|
|
|
(295,516)
|
|
(269,026)
|
|
|
Average tangible assets (non-GAAP)
|
|
|
$6,226,145
|
|
$5,560,257
|
|
|
Return on average tangible assets (non-GAAP)
|
|
|
1.17%
|
|
1.22%
|
|
|
|
|
|
|
|
|
|
(9) Return on Average Tangible Shareholders' Equity
(non-GAAP)
|
|
|
|
|
|
|
|
Net income (annualized)
|
|
|
$71,775
|
|
$66,392
|
|
|
Plus: amortization of intangibles net of tax (annualized)
|
|
|
1,079
|
|
1,168
|
|
|
Net income before amortization of intangibles
(annualized)
|
|
|
72,854
|
|
67,560
|
|
|
|
|
|
|
|
|
|
Average total shareholders' equity
|
|
|
817,894
|
|
736,214
|
|
|
Less: average goodwill and other intangibles,
net of
deferred tax liability
|
|
|
(295,516)
|
|
(269,026)
|
|
|
Average tangible equity (non-GAAP)
|
|
|
$522,378
|
|
$467,188
|
|
|
Return on average tangible equity (non-GAAP)
|
|
|
13.95%
|
|
14.46%
|
|
|
|
|
|
|
|
|
|
(10) Net Interest Margin Rate (FTE)
(non-GAAP)
|
|
|
|
|
|
|
|
Interest income
|
|
|
$168,678
|
|
$150,195
|
|
|
Less: interest expense
|
|
|
(17,877)
|
|
(11,529)
|
|
|
Net interest income per consolidated statements of net
income
|
|
|
150,801
|
|
138,666
|
|
|
Plus: taxable equivalent adjustment
|
|
|
5,254
|
|
4,493
|
|
|
Net interest income (FTE) (non-GAAP)
|
|
|
156,055
|
|
143,159
|
|
|
Net interest income (FTE) (annualized)
|
|
|
208,453
|
|
191,403
|
|
|
Average earning assets
|
|
|
$6,001,748
|
|
$5,330,240
|
|
|
Net interest margin - (FTE) (non-GAAP)
|
|
|
3.47%
|
|
3.59%
|
|
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SOURCE S&T Bancorp, Inc.