Cadence Bank (CADE) 23 Apr 242024 Q1 Earnings call transcript

Good morning, and welcome to the Cadence Bank First Quarter 2024 Earnings Conference Call. [Operator Instructions] Please note this event is being recorded. I would now like to turn the conference over to Will Fisackerly, Executive Vice President and Director of Finance. Please go ahead.

Good morning, and thank you for joining the Cadence Bank First Quarter 2024 Earnings Conference Call.

We have members from our executive management team here with us this morning, Dan Rollins; Chris Bagley, Valerie Toalson and Billy Braddock.

referring slides be the will speakers to during prepared discussion. Our

link going find disclosures of you'll earnings remind discussed. would presentation, that forward-looking Investor release non-GAAP the to contain any you or the Dan those customary forward-looking The yesterday the statements be can our I website. section we contained documents along slides them metrics to can our And today. for find in our turn view the you presentation now slides on X-K around where You Presentations regarding may to exhibit ir.cadencebank.com and are opening Relations by statements our also his our those with at the webcast that our I'll upon Investor disclosures comments. at Relations them filed that of afternoon. These page in

everyone morning. Valerie in first I XXXX results. our We this key more Good and discuss on the appreciate morning the to financials quarter dive of into highlights, comment joining will detail. us some will then

results bear quarter. our in team of management following your teammates questions hard to We're our efforts extremely available pleased across company for executive will see financial work this be the the Our we've remarks. reported and fruit

saw streamlining you our net the the the with or from adjusted common pipelines $X.XX the improve quarter of a our resulted of the sheet income including perspective, some share, These seen to with our improvement continuing portfolios insurance last nice continued well priced per reported If recall, active quarter discussing results network other morning. our as that million strategically strategic representing for million our balance efficiency. growing over billion collectively or growth focus the of balances perspective, a net operations non-real we first common first throughout GAAP be just considerable opportunities and quarters. From portfolio, be completed million fund annualized. this share, branch in several XXXX, $XXX.X $X.XX brokered $XXX in also good for We the can efforts, $XXX.X agency, over of development in thinly of loan declined sale certain over balances, will we C&I mortgages. each We owner-occupied we our just a initiatives estate of per which linked quarter. residential in securities as deposit and continue on public the business to as income reduce operating From well restructuring along both pickup $X X.X% as

organically we decline. by offset the of were grow which this approximately in $XXX Importantly, to able much deposits core quarter, customer million

quarter. Bank Our in deposits, the for the to core continues Community deposit the the very growth competition of in of continued majority driving well face perform strong

just which saw the in fourth quarter we The a fourth As discuss this will to sheet margin, expected, Valerie our interest securities contributed our and the moment. in up significant to X.XX%. XX net improvement. parts a compared was dynamics basis points I improvement moving restructuring mentioned the more that portfolio quarter balance to

the operating for results in Our reflected quarter improvement considerable efficiency. also

XXXX. and loans of results. quarter improved fourth a in move basis, line of for over while From we our provision XX basis with by anticipate XXX declined We of additional of throughout both $X XX.X%. credit of our $XX.X on ratio drove over close the were growth, with $XX to expenses compared quality as our points with adjusted charge-offs remainder point which, recorded to XXXX, average Our the along totaled fourth basis quarter credit revenue reduction million improvement efficiency XXXX which annualized an perspective, adjusted we or in million million, a quarterly our net a losses expectations

shares during our Valerie? a reflected of XXX,XXX the for over while metrics, CETX weighted capital We average I'll grow in that able which we the just her XX, March XXXX. XX.X% Valerie XX.X% over continuing turn $XX.XX. to call now of to to Finally, price quarter do of total capital at is were at repurchased and comments.

you, of pretax Thank looking improvement it results operating results morning. operating discuss We noisy XX% clear. of from year, really focus including and net clean our the showed the all performance, to both the continuing quarter have a point ratio Dan nonroutine at our that our performance in and our financial deliver improved nearly first After mentioned. There EPS to nice are Dan. as industry well XXX quarter were our improvement year to operations, our as for good efficiency revenue results, last XXXX items first this in improvement is our no virtually a for basis adjusted quarter. results pre-provision in improvement a in adjusted significant metrics in a the XX% our When

per to $X.XX or share. shareholders over just available common and $XXX GAAP net So were income diluted adjusted million

Turning revenue to an first first for 'XX. of interest beginning XX, quarter $XX the reported quarter, or Slide fourth million $XXX interest and we net margin of million of on to net increase the income X.X% compared

XX margin interest yield was to XX quarter of portfolio points in driving increase our securities restructuring, was in a the first factor margin quarter quarter, the resulted behind net points. of net increase X.XX% improvement security Our up basis for XXXX the quarterly X.XX%. basis first The which interest fourth portfolio

basis shift quarter, the deposit a of increases slowing our quarter. in from X.XX% the balances the since of down Our deposits, deposit of quarter the cost mix. The onset pace benefited total this cost from total asset deposit ended to representing XX% the just continued net earning increases increased at margin Noninterest-bearing deposit pace cycle. in interest end the slightly XX.X% mix and also and cost of for the rate at improvement in slowest of fourth XX points deposits

for of on Slide by prior an charge basis, service (sic) from MSR revenue increase we negative entered XX.X% yield. asset of yield adjustment points on fourth $X.X season XX.X% asset spring $X.X Our charge and net or to revenue XXXX. X.XX% the and fourth was up primarily banking. Service loans, the and an to for Mortgage increased for as million to fee 'XX. [ accrual million mortgage the and Noninterest was well was production Production deposit banking million. fourth increased adjusted revenue areas, changes. with the ] $X.X as quarter on quarter's account excluding both of highlighted compared MSR servicing service quarter valuation quarter a the quarter, revenue X $XX.X compared with for the the quarter accretion, flat essentially first X revenue Servicing as into million, basis $XX.X selling the driven charge also due the revenue notably of This increase increased million primarily valuation. XX

businesses X.X% fee perform under billion. to well $XX revenue assets continued in and of total management Our the increased to quarter, first representing XX.X%

XX. of to and ratio adjusted This quarter XX 'XX. quarter's was $XXX.X Slides quarter to million reflecting to first the revenue fourth of quarter, quarter to with Turning growth for $X.X our Total decline, compared expense contributed the million. for XX% the XX.X% the linked along material noninterest efficiency adjusted for in decline a improvement

compared result million plan half increase As increased FICA of salaries first $X.X a quarter, and quarter expected, the of employee expenses. the of with to as benefits and fourth reset over XXX(k)

declined expense and well as also quarter processing as high seasonally vendor impacted relations accruals operating the volumes and included first linked public legal million accruals. $X.X declined Data expense a incentive other result our costs of higher certain addition, and declined the seasonality expense and quarter as in of strong as project performance. $X.X were quarter fourth card $X.X by expense compensation timing. Advertising fourth from In nonrecurring million some million quarter,

net of a quarter a in in revenue losses. reduction expense Finally, compilation the $X.X increase including This improvement miscellaneous fourth as over declined a million a expenses, factors, linked meaningful noninterest other growth of with resulted revenue of reported XXXX. quarter quarter first million, pretax $XXX.X million in $XXX.X in combined operational the of pre-provision number

Slide of points leases for results. million of Moving XX and compared of we provision both the X, million net to a or basis quarter X recorded on represent on Quality improvement annualized fourth which XXXX to loans $XX.X charge-offs our quarter and of $XX and Credit

flat Our X.XX%. coverage allowance at remains for credit loss

as the increased compared have XXXX, the classified percent slightly compared to fourth of and criticized totals first both quarter loans a to XXXX. of our While of improved total quarter loan

credit basis Our have loans linked in year-end nonperforming to these of loans loans loans assets, XX remains XX well quarter $XX.X and Factoring out, we points guidance with in and in nonperforming our quarter respectively. About Overall, basis points of nonperforming behind that asset million. and the increased totals them. managed our earnings linked line the of was government call. provided XX% only guarantees nonperforming increase

Slide on Our XX. capital shown is

our average under of Dan the just decline these over a As We and advantage take we share able program. market during price quarter repurchased to were XXX,XXX of at shares first repurchase shares a weighted temporary repurchased opportunistically $XX.XX. mentioned,

strong in Importantly, even our drove and our earnings further increase share loan with dividend activity, repurchase growth. regulatory quarter's January's our capital first improvement metrics

this is again, Additionally, total past March of the year. million shareholders' compared of indicative billion or at up efforts the last $XXX accretive $X.X end over time XX% equity our of year. to Once capital

be that with guidance XXXX last we the quarter to ranges continue comfortable categories. we in forward, all Looking showed

the our rewarding company environment. remainder that call appear not truly are Dan quarter. It towards positively planning shareholders. the Operator, and pay see appears XXXX slightly we've to worked strategic for the improvement dividends In would a higher execution our results this here, and interest reported what and to the impacted anticipated, relentlessly to is exciting be income driving course, does to be like have further these it teammates we open have and we beyond. efforts But as questions, net efforts of improved we to on over stopping the continue rate Although the longer driven our please. of than mentioned, work given will more of for that closing, and

yourself question We [Operator session. Instructions] follow-up. and will question-and-answer the one now Please limit one begin

the have queue. from you rejoin Jon questionsyou today Markets. [Operator Capital RBC If is with may Instructions] Our first Arfstrom additional question

you're bit repricing you. yields next quarter a in X? for Can the a question what the talk in about a asset you and Valerie, or of kind asset little lift expecting

securities Yes. in from Jon. Yes, we place. first the obviously is the the really the the to lift Thanks, with of That repositioning. is part quarter quarter saw fourth biggest

our balance going that XX that up as in repricing securities we're so reinvesting some of the just that that. repricing. We've the price the coming what given flow more book And off our sheet on got coming inherent forward slide natural -- cash got is then the Page within as deck is loan lift shows and looking that repricing well simply at the we've and

will a little increasing the even the to it extent are We potentially improve keep expecting bit that to our it to fairly over stable margin year.

get you'd the a X.XX% was fair? of that Yes, Is Okay. And lift term. it weighted doesn't in lot like that looking I rate. at average seem near

that, portfolio. portion Well, there there not does but the include that of chart the that is then the is What portion is amortizing amortizing. is

And -- course, payoffs. of and unanticipated so

able so than to And surface. little reinvest those we're what on does dollars, lift as appear that would more have it the bit a

And the the of On called just side going balance out repeatable of about you on you the the is forward? a X, core $XXX guys And growth Can other sheet. million. some bit Okay. drivers of there? that one Slide talk little deposit

in This -- third where customer really or growth Yes. Community the quarter good Bank. the fourth quarter is we've quarter core had

on out see add-on, really that? of proud you But of our competition there team. continue I'm world, to know. lots in Chris, want you the as to We

lot with Yes, active it's great markets. but there out of is got a we've vital across competition a and footprint a bankers -- great there,

so think that us. opportunity continue to to real And is for there I grow

team every about excited doing day. the is We're Yes. what

good. been have Numbers

Okay, thank it. you. Appreciate

with The next Morgan question Stanley. Manan Gosalia is from

the this that The Is point higher we NII I are wanted that rate on revenue benefit? a how to cuts think no should the that of an NII. in get really, Or environment neutral bigger to component we rates? you relatively touch but guide, this about guide at where year?

good hear the from Manan, The curve. you to forward using question. guidance is this Great morning.

the if wrong, a is And there's when forward, forward has probably Valerie got numbers. you benefit. look so curve

as curve forward March Yes, we the XX. of use

couple that up flat X%. ends rate it's year, next year, incrementally that having just If to and under of early this positive year. So cuts our a includes one this no being NII, cuts

So a incremental, slant definitely it. not positive to but hugely

the for of quarter? it's the And the than you higher off cash. at would That's and the that redeployment I point helpful. NIM for quarter jumping average have then the end do the assume of given repositioning the NIM

that. don't I have

toward We full the I you the have the little just say if the will balances of quarter. end average some more came our weighted quarter. -- NIM for bit loans, of on the a loan actually,

loans new was a quarter the overall, securities of it delayed. had very in fairly impact the the are the bit The of we balanced. and those was higher some on. early bringing so purchases And that But were yields that little

much So the first securities in pretty whole we really that the yield impact of got quarter.

slightly So than you is, what higher maybe saying? average are just the

fair. I think Yes. that's

Haire next is The Jefferies. question with from Casey

touch on given industry. the result loan nice very, very on to -- Wanted in the growth what's outlook. going

Just up up. a utilization, wondering And after how are utilization pipelines line C&I was line quarter? decent shaping the

if wondering should expect or a Just that's reversal? sustainable we

Yes.

we line quarter. year I happening getting really proud started is lower look at the normal moving was out pipeline team a February, in just and utilization business saw in that is there. around. I'm throughout the we of doing the think company, what what's the filling bigger When March, was

excited the So showing. about what is pipeline we're Billy?

sure. Yes,

of the with So and that's flat-ish. SBA, that true, segments across one most it's exception

year. are specifically volumes. up we're of our segment comparison quarter, our talk X basic We call in and saw like later pipelines occur, last pull-through the is they across I'll the back probably from various approval last the months, last general end XX% at of All really troughed Well, corporate then of in have and is what Valerie solid of approval said some picked the off volumes to standpoint it. segments. A our an in trough mid-'XX our peaked our

fill good a seeing from there, we're pipelines at we're upward So and trend there.

So trajectory. good

Valerie, Casey, And Florida, higher you we're suspect, would as lots Texas, growth growth you in coming to would is want activity in of what add? the you seeing expect. Georgia, markets. the is do

which to for that line up. that. little up as if of but you share this a drill it going fund the all that construction to coming from That's it utilization, I portfolio, quarter, just nature down the is tick it really will was did Yes. it's bit typical of detail, our that

rest fairly of So The portfolio is stable. driving that. that's really what's the

guess my you not sensitive strong just switching ton it. the a and authorization. a going buyback pretty is despite that news. CETX buyback, ratio. necessarily takeaway, authorization I capital. Is for the of good to share guys Thanks didn't price it feels Got then And utilize the the like The you be But bottom-ticked to going is to lastly, very which color. fair? you're it, use

I think fair. that's

I in what buyback. we be we've think the past to in We with our doing. sensitive. want to be what want done we're price opportunistic That's

prepared And we so take and to we're action, do.

Catherine is from Mealor The next question with KBW.

follow-ups of on A margin. couple the

for loan First, with should that there basis of X kind the rest expansion? quarter Valerie, of over per should this rate fair were basis this points yields, the Is repricing of that about they on it only Or limited say up anything move quarter. year? on to a that fixed just that was kind your higher that quarter outlook

variance Yes. that There basis fees in some were quarter the higher quarter-over-quarter X fourth that impacted by points. loan probably

been So that otherwise, point improvement. have would a it basis closer X to

in of some was bit it were later timing quarter. books the driving that the factor little other on a the came the of The loans

do So will a continued yields of look on some repricings have loan those the the were positive quarter. we loan that the next the growth those anticipate impact X combined with more into factors. as We

help towards about And of of trends the the then, Okay. do feel peak maybe and the -- deposits, about the of That's noninterest-bearing cost if nearing may cost you of you deposits that how us. like both that of could maybe kind you're a some balances talk quarter, great. in and for on end

Yes.

mix inherent if So cost we seen quarter slowest -- this you really shift by we quarter was the deposit that it will. and cost on increase versus increases, of absolutely was driven have that

side balance some that out. of In on the fact, helps tweak those that softer we're able

our end really stability assuming quarter, third second March saw would peak much costs, what the of the using of quarter more curve assumptions beginning but deposit be than manageable those of forward forward, we're where and again, that an look XX, rate of -- for of year. last in assume the obviously again, to expecting any the kind as we all us the As of

growth are impact that rollover rollover fact points the actually XX, the combined XX -- we not on to portfolio. continuing into CDs at CDs are our solid coming the fourth come about only rollover coming but and in that are basis quarter. than they lower One see slightly or the interesting the CD CDs and new We is that, in were the on a to new have books

So on that's a positive us for as the well. margin

you're Is that looking what for?

Yes, that's perfect.

question Next Rose with Michael is from James. Raymond

guys classifying want and been pretty not have migration had continued you upward I credits. one just criticized conservative those know guys in you of credit. to on I I it, everybody surprised has in classified, have kind ask but seen think some

get maybe the just we then And drove color increase? can some So sequential there? what

with the start Chris. here, down criticized. Criticized I'd with jumping year-over-year. start I actually Yes, would is

been you're categories, Chris? those criticized loans for So moving there. the looking within year when a criticized basically got have migration we've within flat now

I agree.

So has it bp but quarter, we increase had X what, a for been flat. the

identified the that the last what to a So loans months, doing those migrated the identification, job, continue we've cycle have year, actions. early group X are we those that nonperforming into early great work. Team's over over

there. -- we're we've So traction got

If and at of of the that through quarter, guaranteed million, you $XX -- the million look nonperforming the there loans. when SBA increase look was in million you increase, $XX $XX interesting

pretty It feels credit, granular a but and a from really it large was call granular. was nonperforming what move one a little So I it's slowing would migration.

working to cycle collection through on really those, to that hard forward. going so we're work get And

a on follow-up question, Very, very expenses. just helpful. as And maybe just

we the choppy given are seems maybe kind just you kind You kind competitors through like the some of guys MOE of would rate controlled. kind well longer expenses ramp there about opportunity last any next and guys it the after extent to as year et the the impacts cetera. your Is of just to of year, a we inflation, investment with that given opportunistic -- timing higher expect can like of year, pullback normalized have and And expense that. maybe spend up move be some a more talk of then of growth, things from for of everything,

Yes.

today. cost. investing a I whether to cut people, investing got using. We've think to we're our our that for ourselves. we're looking to ways through looking technology need process invest ways continue in whether the We But we're that's that's constantly in business, we're in robust to also working invest that pretty in for

work multiple was get we're think the this a the Valerie? see and the said, I years, quarter as just clean so last of benefits over seeing you doing, we've all, that it to been you

Yes. before, business. I and expenses by would business would guidance opportunities that a technology is in reinvestment say, continued take a were not niche key in and there market investment, by absolutely, we just really in for an our opportunistic where market got add that or our believe And strengthen those inherent opportunities. our we people. fill we're From that within at that we've is are going can I in that if hiring, or further 'XX a look to perhaps a

Brandon next from Truist. The with question is King

So the us give that thoughts end noninterest-bearing shift year. see on deposits by of you here see where you that mix you where the with and could do updated of standing forward curve, the kind from trending

ahead, more We aggressive a much. changed may hasn't modeling little Our Valerie. others. than be Go

decline with here that mix noninterest-bearing by have there. just actually total of We about and the the deposits year to between gradual end to going Sure. a XX% deposits

depositors you accounts? are some just your of more stabilization some And commercial seeing in

Yes.

that seen biggest has been just we've the think in public volatility funds. really I

really And last corporate volatility the time that was year. so accounts, this

things a customers overall, like in with there's bonus solid to of some corporate the But there. the time that, performance part, good and some most see from For you'll that payments seasonality time.

Yes.

miss fact waking whole just deposits that a and The there of are as realizing rates points a know customer I that. are don't the year, that XXX disruption, last lot we're it's normal some still seeing of basis think don't the I whole. up that I want are business. to in customers up

continue you're customers make seeing to decisions. so And

time I've up. said get think wakes we the first I drop, that I close people a rate for a think while that to

advantage see there, don't react rate they left can so that people think I first of behind. are get to the by that taking you rates to want And drop

capacity the the XXX-plus So building I been to expecting think same have the branches along we've got in deposits. still behavior normal that digital with we're across and capabilities footprint, our our ability out. that And we've

to I think we've opportunities still core continue grow deposits. got great to

kind year lastly, Okay. mortgage of loans outlook And customer are seeing maybe you're looking your base? some or then you sell the in secondary market more some portfolio for what's to then the within what -- and

the Yes, in continues create ahead, havoc curve Valerie. market Go secondary to mortgage book. yield the the on inverted

Yes.

to I area think mortgage I on lot inventory of that, biggest interest to digest the mortgage. a of it's a are in rates, inventory causing -- get the to are although is on So what movement going that's a lower starting their not consumers the there's But challenge to think lack the the that's there. people is rates, of just holding lot and take

We pickup see to we that anticipate spring continue. and see are that typically starting to the

last for And we mix than not a they where are were but there there forward. than all do refi is the some much We're we but see both. consistent year. volumes as with opportunities And at more we're side. are our nice that, selling go portfolioing fairly on we doing other

is portfolio [ what's the in the on ] product. ARM And coming

lack product I perm got think plays construction a to add well that. inventory ] of the just -- that, I to is we've into given that [

some So there. we're pickups getting nice

question Scouten next with is from The Stephen Sandler. Piper

does you saying I seem which XX% just conservative. extremely were confirm want on noninterest-bearing, to

overall So upside your if presumably, to your say, guide shook would Or there, revenue guide? XXXX, if and that, if there at be NII was also that's in 'XX? guide, out there upside

Yes, that's modeling exactly That factored guide. our right. is our and into

competitive seeing perspective, like and loan terms how playing of demand are -- a in loan new the just Okay. what And Perfect. Appreciate clarification. from you yields.

your on kind how playing book would changing any loans your moving as assume forward? ' that Just that's feel of wondering lowest know, especially Do rate as loan XX of material the 'XX environment vintages is competitive you way, in -- out. like what are from I on you presumably and repricing

depending the South. coming I across metropolitan the play loan again, book. always competitors major we who is upon competition in we the think see there's those some depending play in those different the side willing And and in are competition We from seeing market, markets markets, upon the played little a credits on in. behave business Community take competition to at and they certainly of credits rates that bit banks some Bank we've all rural on smaller differently. We're where not

the the other more think it's on On stable, hand, side, much I Billy. corporate been

Corporate Yes. banking environment has been pricing That's fair stable. statement.

the highest For but quality to get those started have and solid. the have wallet competitive, account, in held ], highest [ I'd more house full primarily say, structures corporate deals, larger price, in

the Our part, nonbank in have deals. to deals. competitors from are continuing leveraged those stayed banks market for the higher-risk high away disciplined that and sponsor-backed stayed take The most buyout

is Olney Stephens. with question from Matt next The

to back make XX% by Going vulnerable year-end, to of headwinds? structural deposit NIB guidance discussion anything noninterest-bearing continue that's the is Cadence the there and that would more

No.

all. at treasury. not a conservative Maybe No,

think want We're want happening. we about realistic be see customers and realistic. we continuing what's to I to think just to migrate be I

Exactly about our right. There's different absolutely deposit base. nothing structurally

that fact, were community-driven might you it's better -- structure. say a that we In it's even so

with Yes. bank that I network, today, have digital we're we're base shape. we the our in good driving, that really the like capabilities our where we I think deposit community sit today branch and

earning guess, assets, liquidity the And that. what position. your consider me on overnight then I you Appreciate Remind excess Okay.

How of you term? of end average longer kind a period, was the below billion, the for think view that that. bit guys $X little a I little it position do was but overnight over

is Yes. X.XX%. half or X% X.XX% Longer The we'd term, that of to least. bank investing got reason term excess and we're it that at -- we've in it's holding that we're at funding at like have the

incremental So being. time getting of spread just little for we're a that the on bit

runs through next January-ish. That

Exactly.

Okay.

So the Val, the to year you next levels into remain year? elevated through these expect early current end of

it benefit As to are, then pay point, rates where if that hold the decline down. as of certain holding a they we'll long

that We the book. could use in loan

Yes, absolutely.

next The Davidson. is Instructions] with Tenner from Gary [Operator D.A. question

Tenner. Hasan This is Gary for Ahmad on

little any NPA bit you on mostly you're So sectors bit, was -- but said X sticked are little But because in? I weakness a SBA that touched that you credit it there seeing of side. loan. know

themes, seeing No, just trends, credit It's not any types. normalization any really. not jump in any of Billy, really any Chris here. We're geographies, issues.

Billy let in. Yes,I'll jump

You CRE Slide it X. story. on It's not a see

really wasn't has well. of been So and SBA the up X the loans. C&I CRE lot held a story SBA SBA It's loan Loan. of referenced more a we It's

the So have SBA seen migration some we book. in

you Valerie and SBA through, look mentioned, on those. that moves small and million I saw get through of -- collection $XX through paid just If government-guaranteed increased there the in process it some this loan, to numbers granular working nonperforming, That's of is. And the nonperforming those think our you cycle, it's application what lengthy. book. cycle The the part our are

assisted several I to would then that kind all the but manageable it's hearing those I sector, The consistency call identified but it Yes, been senior of sectors rest feels having on, of of would in quarters. out, say that, are only seen point only said sector we're handful continues. like. and come of And there's continuing, be like this, and we've -- we've recent to any across in now where quarters. a the be for bit the living, X all signs out would we're stress some starting seeing it's to But would little

Great. That's about those about? even within I on what growth And just you markets, geographically, more guys are one on but good you touched high-growth -- more maybe Texas, to Georgia, excited sectors hear. you loan know talked

seeing we're the growth book. C&I Yes, in

a is our great bankers. It's doing corporate job. the Tampa it's team So Florida

job. team is a good Atlanta doing Our

great We're segment. markets, good and just Nashville winning Our Austin, individual is Fort great Worth. Houston, team seeing we're business. in a those Dallas, It's job. doing not high-growth -- bankers we've got opportunities any there.

follow-up a is question from next Matt with Stephens. The Olney

asked any color rate it last run first on this clean It fees about in anybody I the the know to fees. color a and was but easy think don't the Any not on me, quarter. here? fees like looks quarter. I outlook quarter the

the on. from seeing really There No, that characterization your -- the the valuation. to as of was nice -- well quarter up service being the of structure in quarter, of or kind a your showed was of as we production fee the made impact, our was prior as had absolutely abnormal charges because the we're Yes. quarter. performance in with spot resurgence of Mortgage fourth routine that and some those numbers. compared pleased the MSR that accrual servicing that in the and nothing is both

Wealth Management well. is doing

part I really wealth very As all consistent. our We under new increase of Part in management business, said, saw of that assets management. trust, just driven. that's an market

businesses. total just good fee for us. about strong revenue continue expect under that we our and So very to be XX% overall, We're feel to of

to question-and-answer like This for I back closing over conference our Dan Rollins remarks. any concludes turn to the session. would

Thanks and us of work financial fruits this joining team's again for results is Seeing our very the rewarding. our morning.

While more a on ROA, core are in needed, EPS, significant credit of ROE, our while visible efforts customer our We still and and deposits. virtually performance board few all efficiency, metrics. is work naming net reported margin, stable loans growing interest improvements the just much across quality maintaining

to again to Thanks will that as results out road. with our you look joining we for again we on us the visiting all have We forward. as continue our commitment further our enhance we forward efforts -- You move today. Thanks.

you concluded. now has presentation. for Thank conference attending today's The

may You disconnect. now