GULFPORT, Miss., April 10 /PRNewswire-FirstCall/ --
Hancock Holding Company (Nasdaq: HBHC) today announced earnings for the
quarter ended March 31, 2003. Net income for the first quarter of 2003 was
$13.66 million, an increase of $2.24 million, or 20 percent, over net income
of $11.42 million reported for the first quarter of 2002. Diluted earnings
per share were $0.82 for the first quarter of 2003, compared to $0.67 for the
first quarter of 2002.
The Company's returns on average assets and average common stockholders'
equity for the first quarter of 2003 were 1.37 percent and 14.08 percent,
respectively, compared with 1.23 percent and 12.25 percent, respectively, for
the first quarter of 2002. Annualized returns on average assets and average
common stockholders' equity for the fourth quarter of 2002 were 1.39 percent
and 13.87 percent, respectively.
Loans were $2.121 billion at March 31, 2003, compared to $1.880 billion at
March 31, 2002, an increase of $241 million, or 12.8 percent. Deposits were
$3.459 billion at March 31, 2003, compared to $3.162 billion at March 31,
2002, an increase of $297 million, or 9.4 percent. Total assets were $4.153
billion at March 31, 2003, an 8.6 percent increase from $3.825 billion
reported at March 31, 2002.
Common stockholders' equity increased 5.4 percent to $393 million at March
31, 2003, from $373 million at March 31, 2002. Book value per share increased
$2.00, or 8.5 percent, to $25.45 at March 31, 2003 from $25.45 at March 31,
2002.
In commenting on Hancock's operating results for the first quarter of
2003, George A. Schloegel, Chief Executive Officer, stated, "Given the
challenges of the continued softness in the economy, our first- quarter
earnings reflect our ongoing efforts to expand our market share while
enhancing asset quality."
Net Interest Income
Net interest income (te) for the first quarter of 2003 decreased $.278
million, or 0.7 percent, from the first quarter of 2002, and was $1.9 million,
or 4.5 percent lower than the fourth quarter of 2002. The company's net
interest margin (te) was 4.34 percent in the first quarter of 2003, 34 basis
points lower than the same quarter a year ago, and 31 basis points lower than
the previous quarter.
Compared to the same quarter a year ago, the primary driver of the
decreased level of net interest income (te) was the 34 basis point narrowing
of the Company's net interest margin (te). The net interest margin narrowed
as the overall yield on loans and securities fell more rapidly (90 basis
points) than the Company's ability to reduce total funding costs (56 basis
points). Somewhat mitigating the narrowing of the net interest margin was
$211 million of average loan growth from first quarter 2002 to first quarter
2003, which was funded by $256 million of average deposit growth for the same
period.
The lower level of net interest income (te) and net interest margin (te)
compression compared to the previous quarter was due to a larger reduction in
the yield on loans and securities (45 basis points) than the reduction in
funding costs (15 basis points). Another factor impacting the levels of net
interest income (te) and net interest margin (te) as compared to the previous
quarter was average deposit growth of $145 million. As loan growth slowed to
$36 million in the current quarter, a greater percentage of the aforementioned
deposit growth was invested in the securities portfolio at historically low
yields. The Company is focused on efforts to further reduce deposit costs,
resume loan growth at levels consistent with previous quarters, and slow the
overall reductions in the yield on the securities portfolio.
Non-Interest Income and Expense
Non-interest income for the first quarter of 2003 was up $.404 million, or
2.3 percent, compared to the same quarter a year ago, but was down $1.2
million, or 6.4 percent, compared to the previous quarter. The first quarter
2003 levels did include a pretax net securities gain of $.455 million related
to the sale of $65 million of floating rate securities. These securities were
reinvested at a yield advantage of approximately 187 basis points.
Other factors impacting the lower levels of non-interest income as
compared to the prior quarter were lower service charges on deposit accounts
(down $.996 million) and other income (down $.589 million). Service charges
on deposit accounts are seasonally lower in the first quarter of each year and
return to more normalized levels in the second quarter. Other income was
impacted by approximately $.7 million of income booked in the fourth quarter
relating to the consolidation of income associated with oil & gas royalties,
timber properties, and a 79 percent owned insurance subsidiary, Harrison Life
Insurance Company.
Operating expenses for the first quarter of 2003 were $.605 million, or
1.8 percent lower, compared to the same quarter a year ago and was $2.447
million, or 6.9 percent, lower than the previous quarter. The vast majority
of these decreases was reflected in other operating expenses and was spread
over a wide range of operating expense categories. Continuation of focused
expense control efforts was the primary reason for the operating expense
reductions from the same quarter a year ago and from the previous quarter.
Primarily due to the aforementioned operating reductions from the first
quarter of 2002 and from the previous quarter, the Company's efficiency ratio
(expressed as non-interest income as a percent of total revenue before
securities transactions and amortization of purchased intangibles) was reduced
to 57.33 percent in the first quarter of 2003. This was compared to 58.03
percent for the same quarter a year ago, and 57.97 percent for the previous
quarter.
Asset Quality
Non-performing assets as a percent of total loans and foreclosed assets
were 0.81 percent at March 31, 2003, compared to 0.84 percent at December 31,
2002. Non-performing assets decreased $.6 million from December 31, 2002 and
were reflected in lower levels of foreclosed assets, while non-accrual loans
were essentially flat. Compared to the first quarter of 2002, non-performing
assets as a percent of total loans and foreclosed assets were down 24 basis
points, or $2.7 million. The overall decrease in the level of non-performing
assets from March 31, 2002 was reflected in consistent decreases in non-
performing assets over the course of the subsequent four quarters as the
Company focused efforts on reducing the overall level of non-performing
assets. The Company's ratio of accruing loans 90 days or more past due to
total loans was 0.28 percent at March 31, 2003, compared to 0.30 percent at
December 31, 2002 and .36 percent at March 31, 2002.
The Company's allowance for loan losses was $34.7 million at March 31,
2003 and was unchanged from December 31, 2002, but was increased $3.2 million
from March 31, 2002. The ratio of the allowance for loan losses as a percent
of period-end loans was 1.64 percent at March 31, 2003, compared to 1.65
percent at December 31, 2002. The increase in the allowance for loan losses
from March 31, 2002 was a function of the $241 million of loan growth
experienced between March 31, 2002 and March 31, 2003. While the Company
maintains a cautious outlook regarding overall uncertainty about economic
conditions, the level of the allowance for loan losses is maintained at a
level that reflects this uncertainty but also considers changes in the mix and
size of the Company's loan portfolio.
Annualized net charge-offs as a percent of average loans for the first
quarter of 2003 was 0.59 percent, compared to 0.63 percent for the fourth
quarter of 2002. Net charge-offs were decreased $.246 million from fourth
quarter 2002 to first quarter 2003 and were reflected primarily in lower
levels of charge-offs in commercial loans and finance company loans. Compared
to the first quarter of 2002, net charge-offs were reduced $4.7 million, or
108 basis points (expressed as a percent of average loans). As with the
improvement in non-performing assets, the Company has recorded consistently
better performance in net charge-offs over the past four quarters. The
provision for loan losses in the first quarter of 2003 was $3.0 million, or
100 percent of the quarter's net charge-offs. This compares to the $4.7
million provision for loan losses for the fourth quarter of 2002, or
approximately 144 percent of that quarter's net charge-offs.
General
On February 22, 2003, the Company completed the acquisition of two Dryades
Savings Bank branches located in Metairie, LA and Kenner, LA (both suburbs of
New Orleans). The two acquired facilities have a combined total deposit base
of approximately $40 million. As a result of this acquisition, the Company
reported a net increase of two full-service banking facilities, from 102
offices at December 31, 2002 to 104 facilities at March 31, 2003.
Hancock Holding Company subscribes to the highest standards of corporate
responsibility with respect to legal, moral, and regulatory relationships with
shareholders, customers, employees, and communities Hancock serves.
Accordingly, these unwavering business principles support a corporate culture
of ethical compliance and accountability that ensures that financial
statements are prepared and audited in accordance with Generally Accepted
Accounting Principles (GAAP). The Company's systems of internal controls and
risk management processes are in place and fully functional.
Hancock Holding Company -- parent company of Hancock Bank (Mississippi)
and Hancock Bank of Louisiana -- has assets of $4.153 billion. Founded in
1899, Hancock Bank stands among the strongest, safest five-star financial
institutions in America. Hancock Bank operates 104 full-service offices and
over 141 automated teller machines throughout South Mississippi and Louisiana
as well as subsidiaries Hancock Investment Services, Inc., Hancock Insurance
Agency, Hancock Mortgage Corporation, and Harrison Finance Company. Investors
can access additional corporate information or on-line banking and bill pay
services at www.hancockbank.com .
"SAFE HARBOR" STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT
OF 1995: Congress passed the Private Securities Litigation Act of 1995 in an
effort to encourage corporations to provide information about companies'
anticipated future financial performance. This act provides a safe harbor for
such disclosure, which protects the companies from unwarranted litigation if
actual results are different from management expectations. This release
contains forward-looking statements and reflects management's current views
and estimates of future economic circumstances, industry conditions, company
performance, and financial results. These forward-looking statements are
subject to a number of factors and uncertainties which could cause the
company's actual results and experience to differ from the anticipated results
and expectations expressed in such forward-looking statements.
Hancock Holding Company
Financial Highlights
(amounts in thousands, except per share data)
(unaudited)
Three Months Ended
03/31/200312/31/200203/31/2002
Per Common Share Data*
Earnings per share:
Basic $0.84$0.84$0.68
Diluted $0.82$0.82$0.67
Earnings per share before
amortization of
purchased intangibles:
Basic $0.85$0.86$0.69
Diluted $0.83$0.83$0.68
Cash dividends per share $0.21$0.20$0.20
Book value per share (period end) $25.45$25.09$23.45
Weighted average number of shares:
Basic 15,442 15,487 15,892
Diluted 16,756 16,822 17,103
Period end number of shares 15,435 15,443 15,892
Market data:
High closing price $46.94$50.37$36.17
Low closing price $42.80$42.00$27.56
Period end closing price $43.06$44.65$35.80
Trading volume 1,418 2,353 1,117
Performance Ratios
Return on average assets 1.37% 1.39% 1.23%
Return on average common equity 14.08% 13.87% 12.25%
Earning asset yield (TE) 6.05% 6.50% 6.95%
Total cost of funds 1.71% 1.86% 2.27%
Net interest margin (TE) 4.34% 4.65% 4.68%
Non-interest expense as a percent of
total revenue (TE)
before amortization of purchased
intangibles and securities
transactions 57.33% 57.97% 58.03%
Average common equity as a percent of
average total assets 9.73% 10.05% 10.05%
Leverage ratio 9.21% 9.35% 8.44%
Tangible common equity to assets 8.14% 8.45% 8.40%
Net charge-offs as a percent of
average loans 0.59% 0.63% 1.67%
Reserve for loan losses as a percent
of period end loans 1.64% 1.65% 1.68%
Reserve for loan losses to NPAs +
accruing loans 90 days past due 149.63% 143.48% 118.55%
Provision for loan losses to net
charge-offs 100.00% 143.64% 68.65%
*Note: Share and per share data give effect to the 3-for-2 stock
split effective August 5, 2002.
Hancock Holding Company
Financial Highlights
(amounts in thousands, except per share data)
(unaudited)
Three Months Ended
03/31/200312/31/200203/31/2002
Asset Quality Information
Non-accrual loans $11,949$11,870$14,119
Foreclosed assets $5,230$5,936$5,718
Total nonperforming assets $17,179$17,806$19,837
Nonperforming assets as a
percent of loans and foreclosed
assets 0.81% 0.84% 1.05%
Accruing Loans 90 days past due $6,039$6,407$6,805
Accruing Loans 90 days past due
as a percent of loans 0.28% 0.30% 0.36%
Nonperforming assets + accruing
loans 90 days past due
to loans and foreclosed assets 1.09% 1.15% 1.41%
Net charge-offs $3,020$3,266$7,762
Net charge-offs as a percent of
average loans 0.59% 0.63% 1.67%
Reserve for loan losses $34,740$34,740$31,585
Reserve for loan losses as a
percent of period end loans 1.64% 1.65% 1.68%
Reserve for loan losses to NPAs
+ accruing loans 90 days past
due 149.63% 143.48% 118.55%
Provision for loan losses $3,020$4,691$5,329
Provision for loan losses to net
charge-offs 100.00% 143.64% 68.65%
Reserve for Loan Losses
Beginning Balance 34,740 33,315 34,018
Provision for loan loss 3,020 4,691 5,329
Charge-offs 4,771 4,667 9,200
Recoveries 1,751 1,401 1,438
Net charge-offs 3,020 3,266 7,762
Ending Balance 34,740 34,740 31,585
Net Charge-Off Information
Net charge-offs:
Commercial/real estate loans $741$920$5,295
Mortgage loans 35 32 1
Direct consumer loans 1,281 1,370 1,399
Indirect consumer loans 558 428 652
Finance company loans 405 516 415
Total net charge-offs $3,020$3,266$7,762
Average loans:
Commercial/real estate loans $1,061,644$1,044,411$948,905
Mortgage loans 294,611 279,397 222,235
Direct consumer loans 498,822 500,241 510,982
Indirect consumer loans 190,648 187,303 162,422
Finance Company loans 47,484 46,107 38,071
Total average loans $2,093,209$2,057,459$1,882,615
Net charge-offs to average
loans:
Commercial/real estate loans 0.28% 0.35% 2.26%
Mortgage loans 0.05% 0.05% 0.00%
Direct consumer loans 1.04% 1.09% 1.11%
Indirect consumer loans 1.19% 0.91% 1.63%
Finance Company loans 3.46% 4.44% 4.42%
Total net charge-offs to average
loans 0.59% 0.63% 1.67%
Hancock Holding Company
Financial Highlights
(amounts in thousands, except per share data)
(unaudited)
Three Months Ended
03/31/200312/31/200203/31/2002
Income Statement
Interest income $53,616$56,702$57,605
Interest income (TE) 55,479 58,557 59,496
Interest expense 15,581 16,762 19,320
Net interest income (TE) 39,898 41,795 40,176
Provision for loan losses 3,020 4,691 5,329
Non-interest income excluding
securities transactions 17,339 19,012 17,390
Securities transactions gain/(loss) 455 (1) (0)
Non-interest expense 32,991 35,438 33,596
Income before income taxes 19,818 18,823 16,750
Income tax expense 6,156 5,073 5,329
Net income 13,663 13,750 11,421
Preferred dividends 663 663 663
Net income to common $12,999$13,086$10,758
Non-interest Income and Operating
Expense
Service charges on deposit accounts $10,155$11,151$9,448
Trust fees 1,940 1,903 2,086
Credit card merchant discount fees 801 851 754
Insurance fees 516 559 514
Investment & annuity fees 931 855 1,778
ATM fees 966 938 861
Secondary mortgage market operations 640 775 679
Other income 1,390 1,979 1,270
Securities transactions gain/(losses) 455 (1) 0
Total non-interest income 17,794 19,011 17,390
Personnel expense 20,171 18,728 19,066
Occupancy expense (net) 2,117 2,204 2,037
Equipment expense 2,086 2,483 1,888
Other operating expense 8,438 11,835 10,417
Amortization of intangibles 178 188 188
Total non-interest expense 32,991 35,438 33,596
FTE Headcount 1,746 1,790 1,731
Hancock Holding Company
Financial Highlights
(amounts in thousands, except per share data)
(unaudited)
Three Months Ended
03/31/200312/31/200203/31/2002
Period end Balance Sheet
Commercial/real estate loans $1,073,526$1,066,293$950,083
Mortgage loans 314,048 298,917 226,025
Direct consumer loans 495,388 503,096 499,392
Indirect consumer loans 190,719 189,285 165,892
Finance Company loans 47,657 47,391 38,328
Total loans 2,121,338 2,104,982 1,879,720
Securities 1,661,626 1,486,810 1,449,712
Short-term investments 40,371 47,257 197,626
Earning assets 3,823,335 3,639,049 3,527,058
Reserve for loan losses (34,740) (34,740) (31,585)
Other assets 364,592 368,838 329,299
Total assets $4,153,186$3,973,147$3,824,773
Non-interest bearing deposits $611,901$630,790$629,844
Interest bearing transaction
deposits 1,700,917 1,541,472 1,427,412
Time deposits 1,146,078 1,129,239 1,104,673
Total interest bearing deposits 2,846,995 2,670,710 2,532,085
Total deposits 3,458,895 3,301,500 3,161,929
Other borrowed funds 226,931 215,242 225,513
Other liabilities 37,526 31,823 27,581
Preferred stock 37,069 37,069 37,069
Common shareholders' equity 392,765 387,513 372,682
Total liabilities, preferred
stock & common equity $4,153,186$3,973,147$3,824,773
Average Balance Sheet
Commercial/real estate loans $1,061,644$1,044,411$948,905
Mortgage loans 294,611 279,397 222,235
Direct consumer loans 498,822 500,241 510,982
Indirect consumer loans 190,648 187,303 162,422
Finance Company loans 47,484 46,107 38,071
Total loans 2,093,209 2,057,459 1,882,615
Securities 1,466,360 1,474,645 1,433,234
Short-term investments 140,805 52,090 137,362
Earning assets 3,700,374 3,584,194 3,453,211
Reserve for loan losses (34,740) (33,843) (34,282)
Other assets 379,632 362,800 343,007
Total assets $4,045,265$3,913,151$3,761,936
Non-interest bearing deposits $582,992$557,213$609,041
Interest bearing transaction
deposits 1,651,450 1,514,273 1,379,692
Time deposits 1,122,536 1,140,273 1,112,291
Total interest bearing deposits 2,773,986 2,654,546 2,491,983
Total deposits 3,356,978 3,211,759 3,101,024
Other borrowed funds 223,895 237,715 220,314
Other liabilities 33,726 33,352 25,328
Preferred stock 37,069 37,069 37,069
Common shareholders' equity 393,597 393,256 378,201
Total liabilities, preferred
stock & common equity $4,045,265$3,913,151$3,761,936Hancock Holding Company
Financial Highlights
(amounts in thousands, except per share data)
(unaudited)
Three Months Ended
03/31/200312/31/200203/31/2002
Average Balance Sheet Mix
Percentage of earning
assets/funding sources:
Loans 56.57% 57.40% 54.52%
Securities 39.63% 41.14% 41.50%
Short-term investments 3.81% 1.45% 3.98%
Earning assets 100.00% 100.00% 100.00%
Non-interest bearing deposits 15.75% 15.55% 17.64%
Interest bearing transaction
deposits 44.63% 42.25% 39.95%
Time deposits 30.34% 31.81% 32.21%
Total deposits 90.72% 89.61% 89.80%
Other borrowed funds 6.05% 6.63% 6.38%
Other net interest-free funding
sources 3.23% 3.76% 3.82%
Total funding sources 100.00% 100.00% 100.00%
Loan mix:
Commercial/real estate loans 50.72% 50.76% 50.40%
Mortgage loans 14.07% 13.58% 11.80%
Direct consumer loans 23.83% 24.31% 27.14%
Indirect consumer loans 9.11% 9.10% 8.63%
Finance Company loans 2.27% 2.24% 2.02%
Total loans 100.00% 100.00% 100.00%
Average dollars (in thousands):
Loans 2,093,209 2,057,459 $1,882,615
Securities 1,466,360 1,474,645 1,433,234
Short-term investments 140,805 52,090 137,362
Earning assets 3,700,374 3,584,194 $3,453,211
Non-interest bearing deposits $582,992$557,213$609,041
Interest bearing transaction
deposits 1,651,450 1,514,273 1,379,692
Time deposits 1,122,536 1,140,273 1,112,291
Total deposits 3,356,978 3,211,759 3,101,024
Other borrowed funds 223,895 237,715 220,314
Other net interest-free funding
sources 119,501 134,720 131,873
Total funding sources $3,700,374$3,584,194$3,453,211
Loans:
Commercial/real estate loans $1,061,644$1,044,411$948,905
Mortgage loans 294,611 279,397 222,235
Direct consumer loans 498,822 500,241 510,982
Indirect consumer loans 190,648 187,303 162,422
Finance Company loans 47,484 46,107 38,071
Total average loans $2,093,209$2,057,459$1,882,615Hancock Holding Company
Average Balance and Net Interest Margin Summary
(amounts in thousands)
(unaudited)
Three Months Ended
03/31/03
Interest Volume Rate
Average Earning Assets
Commercial & real estate loans (TE) $16,188$1,061,644 6.18%
Mortgage loans 4,723 294,611 6.41%
Consumer loans 15,691 736,954 8.64%
Loan fees & late charges 2,381 --- 0.00%
Total loans (TE) 38,983 2,093,209 7.54%
US treasury securities 412 50,265 3.33%
US agency securities 5,706 522,735 4.37%
CMOs 4,419 544,997 3.24%
Mortgage backed securities 1,474 109,890 5.37%
Municipals (TE) 3,740 206,975 7.23%
Other securities 336 31,498 4.33%
Total securities (TE) 16,087 1,466,360 4.39%
Fed funds sold 330 113,667 1.18%
Cds with banks 13 5,204 1.04%
Other short-term investments 65 21,935 1.21%
Total short-term investments 408 140,805 1.18%
Average earning assets yield (TE) $55,479$3,700,374 6.05%
Interest-Bearing Liabilities
Interest-bearing transaction deposits $5,118$1,651,450 1.26%
Time deposits 9,499 1,122,536 3.43%
Total interest bearing deposits 14,618 2,773,986 2.14%
Customer repos 369 171,072 0.87%
Other borrowings 594 52,823 4.56%
Total borrowings 963 223,895 1.74%
Total interest bearing liab cost $15,581$2,997,881 2.11%
Noninterest-bearing deposits 582,992
Other net interest-free funding
sources 119,501
Total Cost of Funds $15,581$3,700,374 1.71%
Net Interest Spread (TE) $39,898 3.94%
Net Interest Margin (TE) $39,898$3,700,374 4.34%
Hancock Holding Company
Average Balance and Net Interest Margin Summary
(amounts in thousands)
(unaudited)
Three Months Ended
12/31/02
Interest Volume Rate
Average Earning Assets
Commercial & real estate loans (TE) $16,948$1,044,411 6.44%
Mortgage loans 4,731 279,397 6.77%
Consumer loans 15,941 733,651 8.62%
Loan fees & late charges 2,684 --- 0.00%
Total loans (TE) 40,303 2,057,459 7.78%
US treasury securities 416 50,323 3.28%
US agency securities 5,891 523,963 4.50%
CMOs 6,276 568,638 4.41%
Mortgage backed securities 1,203 84,533 5.69%
Municipals (TE) 3,831 214,063 7.16%
Other securities 440 33,125 5.27%
Total securities (TE) 18,057 1,474,645 4.90%
Fed funds sold 145 38,340 1.50%
Cds with banks 13 4,461 1.13%
Other short-term investments 39 9,288 1.65%
Total short-term investments 196 52,090 1.49%
Average earning assets yield (TE) $58,557$3,584,194 6.50%
Interest-Bearing Liabilities
Interest-bearing transaction deposits $5,557$1,514,273 1.46%
Time deposits 10,054 1,140,273 3.51%
Total interest bearing deposits 15,612 2,654,546 2.33%
Customer repos 539 182,739 1.17%
Other borrowings 611 54,976 4.41%
Total borrowings 1,151 237,715 1.92%
Total interest bearing liab cost $16,762$2,892,261 2.30%
Noninterest-bearing deposits 557,213
Other net interest-free funding
sources 134,720
Total Cost of Funds $16,762$3,584,194 1.86%
Net Interest Spread (TE) $41,795 4.20%
Net Interest Margin (TE) $41,795$3,584,194 4.65%
Hancock Holding Company
Average Balance and Net Interest Margin Summary
(amounts in thousands)
(unaudited)
Three Months Ended
03/31/02
Interest Volume Rate
Average Earning Assets
Commercial & real estate loans (TE) $16,314$948,905 6.97%
Mortgage loans 4,106 222,235 7.39%
Consumer loans 16,628 711,476 9.48%
Loan fees & late charges 2,284 --- 0.00%
Total loans (TE) 39,331 1,882,615 8.46%
US treasury securities 353 42,358 3.38%
US agency securities 6,406 492,033 5.21%
CMOs 6,448 518,689 4.97%
Mortgage backed securities 1,634 110,229 5.93%
Municipals (TE) 4,129 230,562 7.16%
Other securities 599 39,362 6.17%
Total securities (TE) 19,569 1,433,234 5.47%
Fed funds sold 299 74,701 1.62%
Cds with banks 75 9,267 3.30%
Other short-term investments 222 53,394 1.69%
Total short-term investments 596 137,362 1.76%
Average earning assets yield (TE) $59,496$3,453,211 6.95%
Interest-Bearing Liabilities
Interest-bearing transaction deposits $6,283$1,379,692 1.85%
Time deposits 11,903 1,112,291 4.33%
Total interest bearing deposits 18,186 2,491,983 2.96%
Customer repos 536 166,538 1.31%
Other borrowings 598 53,777 4.51%
Total borrowings 1,135 220,314 2.09%
Total interest bearing liab cost $19,320$2,712,297 2.89%
Noninterest-bearing deposits 609,041
Other net interest-free funding
sources 131,873
Total Cost of Funds $19,320$3,453,211 2.27%
Net Interest Spread (TE) $40,176 4.06%
Net Interest Margin (TE) $40,176$3,453,211 4.68%
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands, except
per share data)
(unaudited)
2001
2Q 3Q 4Q
Per Common Share Data*
Earnings per share:
Basic $0.55$0.57$0.71
Diluted $0.55$0.57$0.70
Earnings per share before
amortization of
purchased intangibles:
Basic $0.61$0.64$0.79
Diluted $0.61$0.64$0.78
Cash dividends per share $0.19$0.19$0.19
Book value per share (period end) $22.18$23.26$23.13
Weighted average number of shares:
Basic 16,086 16,061 15,932
Diluted 16,121 17,214 17,090
Period end number of shares 16,076 15,982 15,893
Market data:
High closing price $28.63$29.33$29.97
Low closing price $24.74$25.99$25.21
Period end closing price $28.63$27.05$28.69
Trading volume 710 1,042 872
Performance Ratios
Return on average assets 1.11% 1.06% 1.30%
Return on average common equity 10.16% 10.60% 12.74%
Earning asset yield (TE) 7.87% 7.64% 7.36%
Total cost of funds 3.45% 3.27% 2.63%
Net interest margin (TE) 4.42% 4.38% 4.72%
Non-interest expense as a percent
of total revenue (TE) before
amortization of purchased
intangibles and securities
transactions 60.65% 61.49% 57.81%
Average common equity as
a percent of average total assets 10.96% 9.98% 10.20%
Leverage ratio 9.68% 8.42% 9.49%
Tangible common equity to assets 9.86% 8.97% 8.61%
Net charge-offs as a
percent of average loans 0.48% 0.65% 0.94%
Reserve for loan losses as
a percent of period end loans 1.69% 1.90% 1.82%
Reserve for loan losses to
NPAs + loans 90 days past due 136.74% 133.67% 104.54%
Provision for loan losses to net
charge-offs 100.00% 67.06% 66.37%
*Note: Share and per share data give effect to the 3-for-2 stock
split effective August 5, 2002.
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands,
except per share data)
(unaudited)
2002
1Q 2Q 3Q 4Q
Per Common Share Data*
Earnings per share:
Basic $0.68$0.75$0.80$0.84
Diluted $0.67$0.73$0.78$0.82
Earnings per share before amortization
of purchased intangibles:
Basic $0.69$0.76$0.82$0.86
Diluted $0.68$0.74$0.79$0.83
Cash dividends per share $0.20$0.20$0.20$0.20
Book value per share (period end) $23.45$24.65$25.15$25.09
Weighted average number of shares:
Basic 15,892 15,869 15,709 15,487
Diluted 17,103 17,156 17,047 16,822
Period end number of shares 15,892 15,798 15,517 15,443
Market data:
High closing price $36.17$45.13$49.73$50.37
Low closing price $27.56$35.17$39.33$42.00
Period end closing price $35.80$44.92$46.97$44.65
Trading volume 1,117 2,246 3,690 2,353
Performance Ratios
Return on average assets 1.23% 1.30% 1.36% 1.39%
Return on average common equity 12.25% 13.04% 13.30% 13.87%
Earning asset yield (TE) 6.95% 6.73% 6.77% 6.50%
Total cost of funds 2.27% 2.06% 1.97% 1.86%
Net interest margin (TE) 4.68% 4.66% 4.80% 4.65%
Non-interest expense as a percent
of total revenue (TE) before
amortization of purchased
intangibles and securities
transactions 58.03% 57.34% 57.97% 57.97%
Average common equity as
a percent of average total assets 10.05% 9.97% 10.24% 10.05%
Leverage ratio 8.44% 9.35% 9.30% 9.35%
Tangible common equity to assets 8.40% 8.73% 8.53% 8.45%
Net charge-offs as a
percent of average loans 1.67% 0.88% 0.51% 0.63%
Reserve for loan losses as
a percent of period end loans 1.68% 1.65% 1.65% 1.65%
Reserve for loan losses to
NPAs + loans 90 days past due 118.55% 122.93% 134.42% 143.48%
Provision for loan losses to net
charge-offs 68.65% 116.21% 141.23% 143.64%
*Note: Share and per share data give effect to the 3-for-2 stock
split effective August 5, 2002.
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands, except
per share data)
(unaudited)
2003
1Q
Per Common Share Data*
Earnings per share:
Basic $0.84
Diluted $0.82
Earnings per share before
amortization of
purchased intangibles:
Basic $0.85
Diluted $0.83
Cash dividends per share $0.21
Book value per share (period end) $25.45
Weighted average number of shares:
Basic 15,442
Diluted 16,756
Period end number of shares 15,435
Market data:
High closing price $46.94
Low closing price $42.80
Period end closing price $43.06
Trading volume 1,418
Performance Ratios
Return on average assets 1.37%
Return on average common equity 14.08%
Earning asset yield (TE) 6.05%
Total cost of funds 1.71%
Net interest margin (TE) 4.34%
Non-interest expense as a percent
of total revenue (TE) before
amortization of purchased
intangibles and securities transactions 57.33%
Average common equity as
a percent of average total assets 9.73%
Leverage ratio 9.21%
Tangible common equity to assets 8.14%
Net charge-offs as a
percent of average loans 0.59%
Reserve for loan losses as
a percent of period end loans 1.64%
Reserve for loan losses to
NPAs + loans 90 days past due 149.63%
Provision for loan losses to net
charge-offs 100.00%
*Note: Share and per share data give effect to the 3-for-2 stock
split effective August 5, 2002.
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands,
except per share data)
(unaudited)
2001
2Q 3Q 4Q
Asset Quality Information
Non-accrual loans $11,870$16,214$17,328
Foreclosed assets $2,982$3,161$3,003
Total nonperforming assets $14,852$19,375$20,331
Nonperforming assets as a percent of
loans and foreclosed assets 0.88% 1.02% 1.07%
Accruing Loans 90 days past due $6,066$7,648$12,591
Accruing Loans 90 days past due as
a percent of loans 0.36% 0.40% 0.67%
Nonperforming assets + accruing loans
90 days past due to loans and
foreclosed assets 1.23% 1.42% 1.74%
Net charge-offs $1,996$3,114$4,468
Net charge-offs as
a percent of average loans 0.48% 0.65% 0.94%
Reserve for loan losses $28,604$36,122$34,417
Reserve for loan losses as a
percent of period end loans 1.69% 1.90% 1.82%
Reserve for loan losses to NPAs +
accruing loans 90 days past due 136.74% 133.67% 104.54%
Provision for loan losses $1,996$2,088$2,966
Provision for loan losses to net
charge-offs 100.00% 67.06% 66.37%
Net Charge-Off Information
Net charge-offs:
Commercial/real estate loans $425$716$695
Mortgage loans --- 105 41
Direct consumer loans 1,094 1,710 2,429
Indirect consumer loans 221 314 532
Finance company loans 256 269 771
Total net charge-offs $1,996$3,114$4,468
Average loans:
Commercial/real estate loans $840,075$922,344$929,413
Mortgage loans 240,366 235,428 232,110
Direct consumer loans 437,263 554,920 535,563
Indirect consumer loans 137,142 153,076 156,947
Finance Company loans 29,759 36,884 38,743
Total average loans $1,684,605$1,902,652$1,892,775
Net charge-offs to average loans:
Commercial/real estate loans 0.20% 0.31% 0.30%
Mortgage loans 0.00% 0.18% 0.07%
Direct consumer loans 1.00% 1.22% 1.80%
Indirect consumer loans 0.65% 0.81% 1.34%
Finance Company loans 3.45% 2.89% 7.90%
Total net charge-offs to average loans 0.48% 0.65% 0.94%
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands,
except per share data)
(unaudited)
2002
1Q 2Q 3Q 4Q
Asset Quality Information
Non-accrual loans $14,119$12,210$12,373$11,870
Foreclosed assets $5,718$7,335$7,178$5,936
Total nonperforming
assets $19,837$19,545$19,551$17,806
Nonperforming assets as a
percent of loans
and foreclosed assets 1.05% 1.00% 0.96% 0.84%
Accruing Loans 90 days
past due $6,805$6,702$5,234$6,407
Accruing Loans 90 days
past due as
a percent of loans 0.36% 0.34% 0.26% 0.30%
Nonperforming assets +
accruing loans
90 days past due to
loans and
foreclosed assets 1.41% 1.34% 1.22% 1.15%
Net charge-offs $7,762$4,198$2,547$3,266
Net charge-offs as
a percent of average
loans 1.67% 0.88% 0.51% 0.63%
Reserve for loan losses $31,585$32,265$33,315$34,740
Reserve for loan losses
as a percent of period end
loans 1.68% 1.65% 1.65% 1.65%
Reserve for loan losses
to NPAs +
accruing loans 90 days
past due 118.55% 122.93% 134.42% 143.48%
Provision for loan losses $5,329$4,879$3,597$4,691
Provision for loan losses
to net charge-offs 68.65% 116.21% 141.23% 143.64%
Net Charge-Off
Information
Net charge-offs:
Commercial/real estate
loans $5,295$2,111$256$920
Mortgage loans 1 --- 1 32
Direct consumer loans 1,399 1,167 1,420 1,370
Indirect consumer loans 652 462 405 428
Finance company loans 415 458 465 516
Total net charge-offs $7,762$4,198$2,547$3,266
Average loans:
Commercial/real estate
loans $948,905$972,234$1,004,067$1,044,411
Mortgage loans 222,235 230,652 252,350 279,397
Direct consumer loans 510,982 501,761 501,673 500,241
Indirect consumer loans 162,422 172,605 183,652 187,303
Finance Company loans 38,071 39,949 43,983 46,107
Total average loans $1,882,615$1,917,200$1,985,726$2,057,459
Net charge-offs to
average loans:
Commercial/real estate
loans 2.26% 0.87% 0.10% 0.35%
Mortgage loans 0.00% 0.00% 0.00% 0.05%
Direct consumer loans 1.11% 0.93% 1.12% 1.09%
Indirect consumer loans 1.63% 1.07% 0.87% 0.91%
Finance Company loans 4.42% 4.60% 4.19% 4.44%
Total net charge-offs to
average loans 1.67% 0.88% 0.51% 0.63%
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands, except
per share data)
(unaudited)
2003
1Q
Asset Quality Information
Non-accrual loans $11,949
Foreclosed assets $5,230
Total nonperforming assets $17,179
Nonperforming assets as a percent of
loans and foreclosed assets 0.81%
Accruing Loans 90 days past due $6,039
Accruing Loans 90 days past due as
a percent of loans 0.28%
Nonperforming assets + accruing loans
90 days past due to loans and
foreclosed assets 1.09%
Net charge-offs $3,020
Net charge-offs as
a percent of average loans 0.59%
Reserve for loan losses $34,740
Reserve for loan losses as a
percent of period end loans 1.64%
Reserve for loan losses to NPAs +
accruing loans 90 days past due 149.63%
Provision for loan losses $3,020
Provision for loan losses to net
charge-offs 100.00%
Net Charge-Off Information
Net charge-offs:
Commercial/real estate loans $741
Mortgage loans 35
Direct consumer loans 1,281
Indirect consumer loans 558
Finance company loans 405
Total net charge-offs $3,020
Average loans:
Commercial/real estate loans $1,061,644
Mortgage loans 294,611
Direct consumer loans 498,822
Indirect consumer loans 190,648
Finance Company loans 47,484
Total average loans $2,093,209
Net charge-offs to average loans:
Commercial/real estate loans 0.28%
Mortgage loans 0.05%
Direct consumer loans 1.04%
Indirect consumer loans 1.19%
Finance Company loans 3.46%
Total net charge-offs to average
loans 0.59%
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands, except
per share data)
(unaudited)
2001
2Q 3Q 4Q
Income Statement
Interest income $56,413$62,388$60,005
Interest income (TE) 58,155 64,327 61,990
Interest expense 25,479 27,584 22,243
Net interest income (TE) 32,676 36,743 39,747
Provision for loan losses 1,996 2,088 2,966
Non-interest income excluding
securities transactions 12,071 13,356 16,732
Securities transactions gain/(loss) --- 16 2
Non-interest expense 28,050 32,070 33,916
Income before income taxes 12,959 14,018 17,615
Income tax expense 4,029 4,283 5,629
Net income 8,930 9,735 11,986
Preferred dividends --- 663 663
Net income to common $8,930$9,072$11,323
Non-interest Income
and Operating Expense
Service charges on deposit accounts $6,814$7,635$9,315
Trust fees 1,497 1,544 1,759
Credit card merchant discount fees 681 693 755
Insurance fees 372 412 319
Investment & annuity fees 816 832 983
ATM fees 803 902 791
Secondary mortgage market operations 292 416 800
Other income 796 921 2,011
Securities transactions gain/(losses) 0 16 2
Total non-interest income 12,071 13,371 16,732
Personnel expense 15,624 17,537 18,738
Occupancy expense (net) 1,794 2,343 2,216
Equipment expense 1,880 2,045 2,075
Other operating expense 7,843 8,880 9,622
Amortization of intangibles 909 1,265 1,265
Total non-interest expense 28,050 32,070 33,916
FTE Headcount 1,597 1,727 1,736
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands,
except per share data)
(unaudited)
2002
1Q 2Q 3Q 4Q
Income Statement
Interest income $57,605$58,071$58,404$56,702
Interest income (TE) 59,496 59,931 60,260 58,557
Interest expense 19,320 18,373 17,597 16,762
Net interest income (TE) 40,176 41,558 42,663 41,795
Provision for loan losses 5,329 4,879 3,597 4,691
Non-interest income excluding
securities transactions 17,390 17,519 17,669 19,012
Securities transactions gain/(loss) --- (0) 5 (1)
Non-interest expense 33,596 34,063 35,163 35,438
Income before income taxes 16,750 18,275 19,721 18,822
Income tax expense 5,329 5,694 6,430 5,072
Net income 11,421 12,581 13,291 13,750
Preferred dividends 663 663 663 663
Net income to common $10,758$11,918$12,627$13,086
Non-interest Income
and Operating Expense
Service charges on deposit accounts $9,448$10,568$11,080$11,151
Trust fees 2,086 1,828 1,785 1,903
Credit card merchant discount fees 754 887 792 851
Insurance fees 514 589 650 559
Investment & annuity fees 1,778 1,234 855 855
ATM fees 861 969 1,003 938
Secondary mortgage market operations 679 539 416 775
Other income 1,270 904 1,088 1,979
Securities transactions gain/(losses) 0 0 5 (1)
Total non-interest income 17,390 17,519 17,674 19,011
Personnel expense 19,066 19,995 19,510 18,728
Occupancy expense (net) 2,037 2,075 2,220 2,204
Equipment expense 1,888 2,171 2,260 2,483
Other operating expense 10,417 9,633 10,985 11,835
Amortization of intangibles 188 188 188 188
Total non-interest expense 33,596 34,062 35,163 35,438
FTE Headcount 1,731 1,769 1,773 1,790
Hancock Holding Company
Quarterly Financial Data
(amounts in thousands, except
per share data)
(unaudited)
2003
1Q
Income Statement
Interest income $53,616
Interest income (TE) 55,479
Interest expense 15,581
Net interest income (TE) 39,898
Provision for loan losses 3,020
Non-interest income excluding
securities transactions 17,339
Securities transactions gain/(loss) 455
Non-interest expense 32,991
Income before income taxes 19,818
Income tax expense 6,156
Net income 13,663
Preferred dividends 663
Net income to common $12,999
Non-interest Income
and Operating Expense
Service charges on deposit accounts $10,155
Trust fees 1,940
Credit card merchant discount fees 801
Insurance fees 516
Investment & annuity fees 931
ATM fees 966
Secondary mortgage market operations 640
Other income 1,390
Securities transactions gain/(losses) 455
Total non-interest income 17,794
Personnel expense 20,171
Occupancy expense (net) 2,117
Equipment expense 2,086
Other operating expense 8,438
Amortization of intangibles 178
Total non-interest expense 32,991
FTE Headcount 1,746
SOURCE Hancock Holding Company
-0- 04/10/2003
/CONTACT: George A. Schloegel, Chief Executive Officer, or Carl J.
Chaney, Chief Financial Officer, +1-800-522-6542, or +1-228-868-4727, both of
Hancock Holding Company/
/Web site: http://hancockbank.com /
(HBHC)
CO: Hancock Holding Company
ST: Mississippi, Louisiana
IN: FIN
SU: ERN
MM-ES
-- ATTH027 --
8278 04/10/200317:44 EDThttp://www.prnewswire.com