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Section 1: 8-K (8-K)

hth_Current Folio_8K_Earnings

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington,  D.C. 20549 

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934

 

Date of Report (Date of earliest event reported):    January 25, 2018

 

 

 

 

Hilltop Holdings Inc.

(Exact name of registrant as specified in its charter)

 

 

 

 

 

 

 

Maryland

 

1-31987

 

84-1477939

(State or other jurisdiction of incorporation)

 

(Commission

File Number)

 

(IRS Employer Identification No.)

 

 

 

 

2323 Victory Avenue, Suite 1400

 

 

Dallas, Texas

 

75219

(Address of principal executive offices)

 

(Zip Code)

 

Registrant’s telephone number, including area code: (214) 855-2177

 

 

 

 

 

(Former name or former address, if changed since last report.)

 

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

 

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 or Rule 12b– 2 of the Securities Exchange Act of 1934.

 

Emerging growth company ☐

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 


 

Section 2 – Financial Information

 

Item 2.02  Results of Operations and Financial Condition.

 

On January 25, 2018,  Hilltop Holdings Inc., or the Company, issued a press release announcing its results of operations and financial condition as of and for the three months and year ended December 31, 2017. The text of the release is set forth in Exhibit 99.1 attached to this Current Report on Form 8-K and is incorporated herein by reference.

 

The information in this Current Report on Form 8-K (including Exhibit 99.1) is being furnished pursuant to Item 2.02 and shall not be deemed to be “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, except as expressly set forth in such filing.

 

Section 8 – Other Events

 

Item 8.01  Other Events.

 

On January 25, 2018, the Board of Directors of the Company declared a quarterly cash dividend of $0.07 per common share, payable on February 28, 2018, to stockholders of record as of the close of business on February 15, 2018. 

 

Additionally, on January 25, 2018, the Board of Directors of the Company authorized a new stock repurchase program through January 2019. Under the program, the Company is authorized to repurchase, in the aggregate, up to $50.0 million of its outstanding common stock in open-market purchases or through privately negotiated transactions as permitted under Rule 10b-18 promulgated under the Securities Exchange Act of 1934. The extent to which the Company repurchases its shares and the timing of such repurchases will depend upon market conditions and other corporate considerations, as determined by the Company’s management team. The purchases will be funded from available cash balances.

 

Section 9 – Financial Statements and Exhibits

 

Item 9.01  Financial Statements and Exhibits.

 

(a)

Financial statements of businesses acquired.

Not applicable.

(b)

Pro forma financial information.

Not applicable.

(c)

Shell company transactions.

Not applicable.

(d)

Exhibits.

 

The following exhibit(s) are filed or furnished, depending on the relative item requiring such exhibit, in accordance with the provisions of Item 601 of Regulation S-K and Instruction B.2 to this form.

 

 

 

 

 

 

Exhibit

Number

 

Description of Exhibit

 

99.1

 

 

Press Release dated January 25, 2018 (furnished pursuant to Item 2.02).

 

 


 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

 

 

 

 

 

Hilltop Holdings Inc.,

 

 

a Maryland corporation

 

 

 

 

 

 

 

 

Date:

January 25, 2018

By:

/s/ COREY PRESTIDGE

 

 

Name:

Corey G. Prestidge

 

 

Title:

Executive Vice President,

 

 

 

General Counsel & Secretary

 

 


(Back To Top)

Section 2: EX-99.1 (EX-99.1)

hth_Ex_99-1_Earnings

Exhibit 99.1

 

 

Investor Relations Contact:

 

Isabell Novakov

 

214-252-4029

 

inovakov@hilltop-holdings.com

 

Hilltop Holdings Inc. Announces Financial Results for Fourth Quarter and Full Year 2017

 

DALLAS — (BUSINESS WIRE) January 25, 2018 — Hilltop Holdings Inc. (NYSE: HTH) (“Hilltop”) today announced financial results for the fourth quarter and full year of 2017. Hilltop produced income of $13.4 million, or $0.14 per diluted share, for the fourth quarter of 2017, compared to $35.3 million, or $0.36 per diluted share, for the fourth quarter of 2016.  Income to common stockholders for the full year 2017 was $132.5 million, or $1.36  per diluted share, compared to $145.9 million, or $1.48 per diluted share, for the full year 2016.

 

Hilltop’s results during the fourth quarter and full year of 2017 include the estimated impact of a non-recurring, non-cash charge1 of $28.4 million primarily attributable to the revaluation of deferred tax assets as a result of the enactment of the Tax Cuts and Jobs Act (“Tax Legislation”). Our results during the full year of 2017 were also impacted by losses from Hurricanes Harvey and Irma of $8.2 million, as well as increases to other noninterest income of $15.0 million from coverage provided by an insurance policy for forgery of a document delivered in connection with a single, large loan charged off by the Bank in 2016 and $11.6 million from the resolution of the appraisal proceedings from the SWS merger, both of which occurred during the second quarter of 2017. The results for the fourth quarter and full year of 2016 included a specific legal reserve of $16.0 million related to one matter involving Hilltop Securities. The results for the full year of 2016 also included a $24.5 million charge-off of the previously discussed loan by the Bank.

 

Hilltop also announced that its Board of Directors declared a quarterly cash dividend of $0.07 per common share, a 16.7% increase from prior quarter, payable on February 28, 2018, to all common stockholders of record as of the close of business on February 15, 2018.  Furthermore, the Hilltop Board of Directors authorized a new stock repurchase program through January 2019, under which Hilltop may repurchase, in the aggregate, up to $50.0 million of its outstanding common stock.

 

Jeremy Ford, Co-CEO of Hilltop, said, “Hilltop’s fourth quarter earnings reflect solid performance across our businesses, particularly from our insurance segment. We remain focused on profitable growth, efficiency improvements and sound capital management. Importantly, in 2017 Hilltop returned $50.5 million of capital to shareholders through dividends and share repurchases.”

 

Alan White, Co-CEO of Hilltop, added, “Hilltop’s operating companies continued to thrive from a shared commitment to our clients and communities. During this quarter, PlainsCapital Bank was able to grow core deposits and commercial loans, PrimeLending was able to increase mortgage market share, and HilltopSecurities was able to build on its earnings and margin momentum.”

 

Fourth Quarter 2017 Highlights for Hilltop:

 

·

Hilltop’s annualized return on average assets1 and return on average equity1 for the fourth quarter of 2017 were 0.41% and 2.78%, respectively, compared to 1.13% and 7.56%, respectively, for the fourth quarter of 2016; 

·

Hilltop’s total assets were $13.4 billion at December 31, 2017, compared to $13.5 billion at September 30, 2017;

·

Hilltop’s common equity increased by $5.9 million from September 30, 2017 to $1.9 billion at December 31, 2017;

·

Non-covered loans2 held for investment, net of allowance for loan losses, increased by 2.0% to $6.2 billion and covered loans2, net of allowance for loan losses, decreased by 4.7% to $179.4 million at December 31, 2017 compared to September 30, 2017;

·

Non-covered non-performing loans  increased to $40.5 million, or 0.51% of total non-covered loans, at December 31, 2017, compared to $40.1 million, or 0.50% of total non-covered loans, at September 30, 2017;

·

Energy classified and criticized loans were $28.6 million at December 31, 2017,  increasing from  $24.4 million at September 30, 2017;

·

Loans held for sale decreased by 11.6% from September 30, 2017 to $1.7 billion at December 31, 2017;

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·

Total deposits were $8.0 billion at December 31, 2017, compared to $7.7 billion at September 30, 2017;

·

Hilltop maintained strong capital levels with a Tier 1 Leverage Ratio3 of 12.94% and a Common Equity Tier 1 Capital Ratio of 17.69% at December 31, 2017;

·

Hilltop’s net interest margin4 of 3.63% for the fourth quarter of 2017, compared to 3.50% in the third quarter of 2017;

·

The provision for loan losses was $5.5 million during the fourth quarter of 2017, compared to $1.3 million in the third quarter of 2017;  

·

For the fourth quarter of 2017, noninterest income was $290.5 million, compared to $309.1 million in the fourth quarter of 2016,  a 6.0%  decrease; and 

·

For the fourth quarter of 2017, noninterest expense was $328.7 million, compared to $355.8 million in the fourth quarter of 2016, a 7.6%  decrease.


1      The enactment of Tax Legislation during the noted periods resulted in an estimated non-cash, non-recurring charge of $28.4 million primarily attributable to the revaluation of deferred tax assets. Certain Tax Legislation amounts are considered reasonable estimates as of December 31, 2017 and could be adjusted during the measurement period, which will end in December 2018, as a result of further refinement of our calculations, changes in interpretations and assumptions made, guidance that may be issued and actions we may take as a result of Tax Legislation. 

2   “Covered loans” refer to loans acquired in the FNB Transaction that are subject to loss-share agreements with the FDIC, while all other loans are referred to as “non-covered loans.”

3   Based on the end of period Tier 1 capital divided by total average assets during  2017, excluding goodwill and intangible assets.

4   Net interest margin is defined as net interest income divided by average interest-earning assets.

 

Consolidated Financial and Other Information

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated Balance Sheets

 

December 31,

 

September 30,

 

June 30,

 

March 31,

 

December 31,

(in 000's)

    

2017

    

2017

    

2017

    

2016

    

2016

Cash and due from banks

 

$

486,977

 

$

354,569

 

$

405,938

 

$

545,928

 

$

669,357

Federal funds sold

 

 

405

 

 

400

 

 

388

 

 

24,404

 

 

21,407

Securities purchased under agreements to resell

 

 

186,537

 

 

134,654

 

 

125,188

 

 

113,228

 

 

89,430

Assets segregated for regulatory purposes

 

 

186,578

 

 

207,336

 

 

167,565

 

 

166,395

 

 

180,993

Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Trading, at fair value

 

 

730,685

 

 

676,411

 

 

471,485

 

 

373,300

 

 

265,534

Available for sale, at fair value

 

 

765,560

 

 

765,542

 

 

763,206

 

 

755,546

 

 

598,007

Held to maturity, at amortized cost

 

 

355,849

 

 

368,031

 

 

359,847

 

 

337,357

 

 

351,831

 

 

 

1,852,094

 

 

1,809,984

 

 

1,594,538

 

 

1,466,203

 

 

1,215,372

Loans held for sale

 

 

1,715,357

 

 

1,939,321

 

 

2,000,257

 

 

1,329,493

 

 

1,795,463

Non-covered loans, net of unearned income

 

 

6,273,669

 

 

6,148,813

 

 

6,118,211

 

 

5,783,853

 

 

5,843,499

Allowance for non-covered loan losses

 

 

(60,957)

 

 

(58,779)

 

 

(59,208)

 

 

(55,157)

 

 

(54,186)

Non-covered loans, net

 

 

6,212,712

 

 

6,090,034

 

 

6,059,003

 

 

5,728,696

 

 

5,789,313

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Covered loans, net of allowance for covered loan losses

 

 

179,400

 

 

188,269

 

 

205,877

 

 

234,681

 

 

255,714

Broker-dealer and clearing organization receivables

 

 

1,464,378

 

 

1,672,123

 

 

1,552,525

 

 

1,574,031

 

 

1,497,741

Premises and equipment, net

 

 

177,577

 

 

176,281

 

 

183,994

 

 

184,091

 

 

190,361

FDIC indemnification asset

 

 

29,340

 

 

33,143

 

 

40,304

 

 

47,940

 

 

71,313

Covered other real estate owned

 

 

36,744

 

 

40,343

 

 

42,304

 

 

45,374

 

 

51,642

Other assets

 

 

556,683

 

 

596,095

 

 

618,368

 

 

583,554

 

 

613,453

Goodwill

 

 

251,808

 

 

251,808

 

 

251,808

 

 

251,808

 

 

251,808

Other intangible assets, net

 

 

36,432

 

 

38,440

 

 

40,516

 

 

42,601

 

 

44,695

Total assets

 

$

13,373,022

 

$

13,532,800

 

$

13,288,573

 

$

12,338,427

 

$

12,738,062

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Non-interest bearing

 

$

2,411,849

 

$

2,279,633

 

$

2,251,208

 

$

2,272,905

 

$

2,199,483

Interest bearing

 

 

5,566,270

 

 

5,383,814

 

 

5,323,414

 

 

5,056,957

 

 

4,864,328

Total deposits

 

 

7,978,119

 

 

7,663,447

 

 

7,574,622

 

 

7,329,862

 

 

7,063,811

Broker-dealer and clearing organization payables

 

 

1,287,563

 

 

1,517,698

 

 

1,395,314

 

 

1,437,548

 

 

1,347,128

Short-term borrowings

 

 

1,206,424

 

 

1,477,201

 

 

1,515,069

 

 

753,777

 

 

1,417,289

Securities sold, not yet purchased, at fair value

 

 

232,821

 

 

173,509

 

 

149,869

 

 

144,193

 

 

153,889

Notes payable

 

 

216,045

 

 

300,196

 

 

300,283

 

 

324,701

 

 

317,912

Junior subordinated debentures

 

 

67,012

 

 

67,012

 

 

67,012

 

 

67,012

 

 

67,012

Other liabilities

 

 

470,231

 

 

424,381

 

 

393,351

 

 

392,025

 

 

496,501

Total liabilities

 

 

11,458,215

 

 

11,623,444

 

 

11,395,520

 

 

10,449,118

 

 

10,863,542

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Common stock

 

 

960

 

 

959

 

 

963

 

 

984

 

 

985

Additional paid-in capital

 

 

1,526,369

 

 

1,525,169

 

 

1,529,903

 

 

1,570,329

 

 

1,572,877

Accumulated other comprehensive income (loss)

 

 

(394)

 

 

2,585

 

 

2,112

 

 

897

 

 

485

Retained earnings

 

 

384,545

 

 

376,873

 

 

356,564

 

 

313,197

 

 

295,568

Deferred compensation employee stock trust, net

 

 

848

 

 

840

 

 

845

 

 

893

 

 

903

Employee stock trust

 

 

(247)

 

 

(241)

 

 

(248)

 

 

(300)

 

 

(309)

Total Hilltop stockholders' equity

 

 

1,912,081

 

 

1,906,185

 

 

1,890,139

 

 

1,886,000

 

 

1,870,509

Noncontrolling interests

 

 

2,726

 

 

3,171

 

 

2,914

 

 

3,309

 

 

4,011

Total stockholders' equity

 

 

1,914,807

 

 

1,909,356

 

 

1,893,053

 

 

1,889,309

 

 

1,874,520

Total liabilities & stockholders' equity

 

$

13,373,022

 

$

13,532,800

 

$

13,288,573

 

$

12,338,427

 

$

12,738,062

 

 

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Three Months Ended

 

Year Ended

Consolidated Income Statements

 

December 31,

 

September 30,

 

December 31,

 

December 31,

 

December 31,

(in 000's, except per share data)

    

2017

    

2017

    

2016

    

2017

    

2016

Interest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loans, including fees

 

$

105,658

 

$

102,546

 

$

102,046

 

$

411,988

 

$

389,637

Securities borrowed

 

 

11,994

 

 

11,404

 

 

6,566

 

 

41,048

 

 

29,518

Securities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 Taxable

 

 

11,910

 

 

11,157

 

 

7,097

 

 

39,633

 

 

26,233

 Tax-exempt

 

 

1,717

 

 

1,471

 

 

1,530

 

 

5,807

 

 

6,222

Other

 

 

2,386

 

 

2,366

 

 

1,096

 

 

8,680

 

 

4,344

Total interest income

 

 

133,665

 

 

128,944

 

 

118,335

 

 

507,156

 

 

455,954

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Deposits

 

 

7,700

 

 

6,841

 

 

3,971

 

 

24,695

 

 

15,843

Securities loaned

 

 

9,581

 

 

8,935

 

 

4,653

 

 

32,337

 

 

22,510

Short-term borrowings

 

 

4,118

 

 

4,567

 

 

1,829

 

 

13,751

 

 

5,803

Notes payable

 

 

2,611

 

 

2,680

 

 

2,856

 

 

10,931

 

 

10,849

Junior subordinated debentures

 

 

787

 

 

774

 

 

703

 

 

3,016

 

 

2,676

Other

 

 

176

 

 

167

 

 

199

 

 

678

 

 

742

Total interest expense

 

 

24,973

 

 

23,964

 

 

14,211

 

 

85,408

 

 

58,423

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest income

 

 

108,692

 

 

104,980

 

 

104,124

 

 

421,748

 

 

397,531

Provision for loan losses

 

 

5,453

 

 

1,260

 

 

4,347

 

 

14,271

 

 

40,620

Net interest income after provision for loan losses

 

 

103,239

 

 

103,720

 

 

99,777

 

 

407,477

 

 

356,911

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest income:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net gains from sale of loans and other mortgage production income

 

 

122,132

 

 

138,498

 

 

137,270

 

 

538,468

 

 

606,991

Mortgage loan origination fees

 

 

23,156

 

 

25,256

 

 

24,850

 

 

93,944

 

 

96,267

Securities commissions and fees

 

 

40,868

 

 

38,735

 

 

39,425

 

 

156,464

 

 

157,906

Investment and securities advisory fees and commissions

 

 

36,561

 

 

25,620

 

 

31,690

 

 

109,920

 

 

115,992

Net insurance premiums earned

 

 

35,645

 

 

34,493

 

 

38,344

 

 

142,298

 

 

155,545

Other

 

 

32,094

 

 

35,875

 

 

37,548

 

 

163,970

 

 

154,264

Total noninterest income

 

 

290,456

 

 

298,477

 

 

309,127

 

 

1,205,064

 

 

1,286,965

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Noninterest expense:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Employees' compensation and benefits

 

 

205,642

 

 

209,747

 

 

208,760

 

 

816,994

 

 

834,113

Occupancy and equipment, net

 

 

29,658

 

 

29,073

 

 

27,154

 

 

113,943

 

 

109,418

Professional services

 

 

24,220

 

 

25,560

 

 

42,983

 

 

101,521

 

 

128,176

Loss and loss adjustment expenses

 

 

8,583

 

 

31,234

 

 

14,018

 

 

94,701

 

 

89,243

Other

 

 

60,567

 

 

58,228

 

 

62,869

 

 

242,096

 

 

251,521

Total noninterest expense

 

 

328,670

 

 

353,842

 

 

355,784

 

 

1,369,255

 

 

1,412,471

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

 

 

65,025

 

 

48,355

 

 

53,120

 

 

243,286

 

 

231,405

Income tax expense

 

 

51,350

 

 

18,003

 

 

17,582

 

 

110,142

 

 

83,461

Net income

 

 

13,675

 

 

30,352

 

 

35,538

 

 

133,144

 

 

147,944

Less: Net income attributable to noncontrolling interest

 

 

247

 

 

146

 

 

217

 

 

600

 

 

2,050

Income attributable to Hilltop

 

$

13,428

 

$

30,206

 

$

35,321

 

$

132,544

 

$

145,894

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings per common share:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

$

0.14

 

$

0.31

 

$

0.36

 

$

1.36

 

$

1.48

Diluted

 

$

0.14

 

$

0.31

 

$

0.36

 

$

1.36

 

$

1.48

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash dividends declared per common share

 

$

0.06

 

$

0.06

 

$

0.06

 

$

0.24

 

$

0.06

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Weighted average shares outstanding:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic

 

 

95,903

 

 

96,096

 

 

98,514

 

 

97,137

 

 

98,404

Diluted

 

 

96,080

 

 

96,306

 

 

98,810

 

 

97,353

 

 

98,629

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended December 31, 2017

Segment Results

 

 

 

 

 

 

 

Mortgage

    

 

    

 

 

    

All Other and

    

Hilltop

(in 000's)

    

Banking

    

Broker-Dealer

    

Origination

    

Insurance

    

Corporate

    

Eliminations

    

Consolidated

Net interest income (expense)

 

$

92,986

 

$

12,684

 

$

(124)

 

$

880

 

$

(2,656)

 

$

4,922

 

$

108,692

Provision for loan losses

 

 

5,166

 

 

287

 

 

 —

 

 

 —

 

 

 —

 

 

 —

 

 

5,453

Noninterest income

 

 

10,580

 

 

101,642

 

 

145,355

 

 

37,820

 

 

 5

 

 

(4,946)

 

 

290,456

Noninterest expense

 

 

62,328

 

 

94,917

 

 

137,636

 

 

24,910

 

 

8,974

 

 

(95)

 

 

328,670

Income (loss) before income taxes

 

$

36,072

 

$

19,122

 

$

7,595

 

$

13,790

 

$

(11,625)

 

$

71

 

$

65,025

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year Ended December 31, 2017

 

 

 

 

 

 

 

 

Mortgage

    

 

    

 

 

    

All Other and

    

Hilltop

(in 000's)

    

Banking

    

Broker-Dealer

    

Origination

    

Insurance

    

Corporate

    

Eliminations

    

Consolidated

Net interest income (expense)

 

$

366,581

 

$

43,735

 

$

(915)

 

$

2,861

 

$

(10,069)

 

$

19,555

 

$

421,748

Provision for loan losses

 

 

14,073

 

 

198

 

 

 —

 

 

 —

 

 

 —

 

 

 —

 

 

14,271

Noninterest income

 

 

59,904

 

 

368,421

 

 

632,388

 

 

151,382

 

 

12,798

 

 

(19,829)

 

 

1,205,064

Noninterest expense

 

 

248,404

 

 

347,314

 

 

581,899

 

 

158,354

 

 

33,983

 

 

(699)

 

 

1,369,255

Income (loss) before income taxes

 

$

164,008

 

$

64,644

 

$

49,574

 

$

(4,111)

 

$

(31,254)

 

$

425

 

$

243,286

 

 

Y:\HTH Branding-Logo\HTH Vertical Logo - Color.jpg


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

    

Year Ended

 

 

December 31,

 

September 30,

 

December 31,

    

December 31,

 

December 31,

Selected Financial Data

 

2017

 

2017

    

2016

   

2017

   

2016

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Hilltop Consolidated:

 

 

   

 

 

   

 

 

 

 

 

 

 

 

 

Return on average stockholders' equity (1)

 

 

2.78%

 

 

6.32%

 

 

7.56%

 

 

7.00%

 

 

8.13%

Return on average assets (1)

 

 

0.41%

 

 

0.90%

 

 

1.13%

 

 

1.03%

 

 

1.21%

Net interest margin (2)

 

 

3.63%

 

 

3.50%

 

 

3.80%

 

 

3.67%

 

 

3.74%

Net interest margin (taxable equivalent) (3):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As reported

 

 

3.65%

 

 

3.52%

 

 

3.82%

 

 

3.69%

 

 

3.76%

Impact of purchase accounting

 

 

44 bps

 

 

37 bps

 

 

71 bps

 

 

53 bps

 

 

67 bps

Book value per common share ($)

 

 

19.92

 

 

19.88

 

 

18.98

 

 

19.92

 

 

17.63

Shares outstanding, end of period (000's)

 

 

95,982

 

 

95,904

 

 

98,544

 

 

95,982

 

 

98,544

Dividend payout ratio (4)

 

 

42.86%

 

 

19.09%

 

 

16.71%

 

 

17.59%

 

 

4.05%

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Banking Segment:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net interest margin (2)

 

 

4.23%

 

 

4.03%

 

 

4.57%

 

 

4.31%

 

 

4.65%

Net interest margin (taxable equivalent) (3):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

As reported

 

 

4.24%

 

 

4.05%

 

 

4.59%

 

 

4.33%

 

 

4.68%

Impact of purchase accounting

 

 

60 bps

 

 

51 bps

 

 

96 bps

 

 

72 bps

 

 

93 bps

Accretion of discount on loans ($000's)

 

 

12,642

 

 

10,541

 

 

17,926

 

 

58,445

 

 

67,870

Non-covered net charge-offs (recoveries) ($000's)

 

 

4,635

 

 

908

 

 

3,083

 

 

4,635