Attached files
| file | filename |
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| 8-K - FORM 8-K - BANCORPSOUTH INC | d472467d8k.htm |
| EX-99.1 - EX-99.1 - BANCORPSOUTH INC | d472467dex991.htm |
 BancorpSouth, Inc.
Financial Information
As of December 31, 2012
Exhibit 99.2 |
 Forward Looking Information
2
Certain statements contained in this presentation and the accompanying slides may not be based on
historical facts and are “forward-looking statements” within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended.
These forward-looking statements may be identified by reference to a future period or by the use
of forward-looking terminology, such as “anticipate,” “believe,”
“estimate,” “expect,” “foresee,” “may,” “might,” “will,” “intend,” “could,” “would” or “plan,” or future or conditional verb tenses, and variations
or negatives of such terms. These forward-looking statements include, without limitation,
statements about long-term prospects for shareholder value, results of operations and
financial condition. We caution you not to place undue reliance on the forward-looking statements contained in this presentation, in that
actual results could differ materially from those indicated in such forward-looking statements as
a result of a variety of factors. These factors may include, but are not limited to, conditions
in the financial markets and economic conditions generally, the ongoing debt crisis and the downgrade of the sovereign
credit ratings for various nations, the adequacy of the Company’s provision and allowance for
credit losses to cover actual credit losses, the credit risk associated with real estate
construction, acquisition and development loans, losses resulting from the significant amount of the Company’s other real
estate owned, limitations on the Company’s ability to declare and pay dividends, the
short-term and long-term impact of changes to banking capital standards on the
Company’s regulatory capital and liquidity, the impact of legal or administrative proceedings, the availability of capital on favorable terms
if and when needed, liquidity risk, governmental regulation, including the Dodd Frank Act, and
supervision of the Company’s operations, the impact of regulations on service charges on
the Company’s core deposit accounts, the susceptibility of the Company’s business to local economic conditions, the
soundness of other financial institutions, changes in interest rates, the impact of monetary policies
and economic factors on the Company’s ability to attract deposits or make loans,
volatility in capital and credit markets, reputational risk, the impact of hurricanes or other adverse weather events, any
requirement that the Company write down goodwill or other intangible assets, diversification in the
types of financial services the Company offers, competition with other financial services
companies, risks in connection with completed or potential acquisitions, the Company’s growth strategy,
interruptions or breaches in the Company’s information system security, the failure of certain
third party vendors to perform, dilution caused by the Company’s issuance of any
additional shares of its common stock to raise capital or acquire other banks, bank holding companies, financial holding
companies and insurance agencies, the effectiveness of the Company’s internal controls, other
factors generally understood to affect the financial results of financial services companies
and other factors detailed from time to time in the Company’s press releases and filings with the Securities and Exchange
Commission. Forward-looking statements speak only as of the date they were made, and, except
as required by law, we do not undertake any obligation to update or revise forward-looking
statements to reflect events or circumstances after the date of this presentation. Certain tabular presentations may not
reconcile because of rounding. Unless otherwise noted, any quotes in this presentation can be
attributed to company management. |
 Appointed James D. Rollins III as the Company’s new Chief Executive
Officer
Net income of $17.0 million, or $0.18 per diluted share
Mortgage production of $549 million, which contributed to $17.2
million of mortgage lending revenue
OREO sales of $27.9 million contributed to a 19.5% decline in OREO
and a 10.3% reduction in total NPAs
Continued improvement in many other credit quality indicators
including total NPLs, classified loans, net charge-offs, and near term
delinquencies
Capital ratios continue to improve
3
At and for the three months ended December 31, 2012
Q4 Highlights |
 4
Capital Highlights
15.08%
13.82%
10.25%
13.03%
11.77%
8.85%
8.00%
10.00%
12.00%
14.00%
16.00%
12/31/11
3/31/12
6/30/12
9/30/12
12/31/2012
Total capital
Tier I capital
Tier I leverage capital |
 Provision for credit losses of $6.0 million was flat compared to
the
previous quarter
NPLs decreased $13.8 million, or 5.6%, and NPAs declined $38.7 million,
or 10.3%
OREO decreased $25.0 million, or 19.5%
56% of non-accrual loans were paying as agreed
Near-term delinquencies declined $15.5 million, or 35.5%
Substandard classified loans declined $44.3 million, or 8.4%
Credit Quality Highlights
5
At and for the three months ended December 31, 2012
“Paying as Agreed” includes loans < 30 days past due with payments occurring at least
quarterly |
 6
Recent Operating Results
12/31/12
9/30/12
12/31/11
Net interest revenue
$100.9
$103.4
$107.5
(6.2)
%
Provision for credit losses
6.0
6.0
19.3
(68.8)
Noninterest revenue
70.9
70.4
65.3
8.5
Noninterest expense
143.2
133.8
135.9
5.4
Income before income taxes
22.5
34.0
17.7
27.2
Income tax provision
5.6
10.2
4.4
26.0
Net income
$17.0
$23.8
$13.3
27.6
Net income per share: diluted
$0.18
$0.25
$0.16
12.5
Three Months Ended
Q4'12 vs. Q4'11
% Change
Dollars in millions, except per share data |
 Noninterest Revenue
7
Q4 '12 vs.
12/31/12
9/30/12
12/31/11
Q4 '11
Mortgage origination and servicing
17,005
$
16,755
$
9,919
$
71.4
%
MSR valuation adjustment
183
(3,206)
(991)
NM
Credit card, debit card and merchant fees
8,125
8,270
7,783
4.4
Service charges
13,875
14,189
17,412
(20.3)
Trust income
3,391
3,101
3,348
1.3
Security gains, net
152
39
18
NM
Insurance commissions
20,502
23,519
19,416
5.6
Other
7,668
7,753
8,430
(9.0)
Total noninterest revenue
70,901
$
70,420
$
65,335
$
8.5
%
Three Months Ended
Dollars in thousands
NM – Not meaningful |
 Loan
Portfolio 8
As of
12/31/12
12/31/11
$ Change
Commercial and industrial
1,477
$
1,474
$
3
$
0.2
%
Real estate:
Consumer mortgages
1,874
1,945
(71)
(3.7)
Home equity
486
514
(28)
(5.5)
Agricultural
256
239
17
7.0
Commercial and industrial-owner occupied
1,333
1,302
32
2.4
Construction, acquisition and development
736
908
(173)
(19.0)
Commercial
1,749
1,754
(5)
(0.3)
Credit Cards
105
106
(1)
(1.3)
Other
622
627
(6)
(0.9)
Total
8,637
$
8,870
$
(233)
$
(2.6)
%
% Change
Dollars in millions
Net loans and leases |
 Non-Performing Loans
9
As of
12/31/12
12/31/11
$ Change
Commercial and industrial
10.2
$
13.6
$
(3.3)
$
(24.4)
%
Real estate:
Consumer mortgages
40.7
52.6
(11.9)
(22.7)
Home equity
3.5
2.0
1.5
71.8
Agricultural
8.0
4.3
3.8
88.0
Commercial and industrial-owner occupied
28.3
42.0
(13.7)
(32.7)
Construction, acquisition and development
72.0
135.2
(63.2)
(46.7)
Commercial
62.2
61.8
0.4
0.6
Credit Cards
2.5
3.4
(0.9)
(25.2)
Other
6.1
7.4
(1.3)
(17.4)
Total
233.6
$
322.3
$
(88.7)
$
(27.5)
%
% Change
Dollars in millions
Net loans and leases |
 NPA
Improvement 10
$409
$394
$425
$380
$363
$322
$285
$267
$247
$234
$83
$133
$136
$151
$163
$174
$168
$144
$128
$103
$492
$528
$561
$531
$525
$496
$453
$411
$376
$337
$200
$300
$400
$500
$600
9/30/10
12/31/10
3/31/11
6/30/11
9/30/11
12/31/11
3/31/12
6/30/12
9/30/12
12/31/12
NPLs
OREO
Dollars in millions
NPLs include nonaccrual loans, loans 90+ days past due and restructured loans
NPAs include NPLs and other real estate owned |
 Non-Accrual Loans
51%
54%
55%
57%
56%
56% of non-accrual loans were paying as agreed as of December 31, 2012
11
“Paying as Agreed” includes loans < 30 days past due with payments occurring at least
quarterly Dollars in
millions $0
$100
$200
$300
$400
12/31/11
3/31/12
6/30/12
9/30/12
12/31/12
Non-Accrual Lns Paying as Agreed
All Other Non-Accrual Lns |
 Payments Received on Non-Accrual Loans
12
$15.1
$20.6
$27.1
$26.7
$31.6
$0
$5
$10
$15
$20
$25
$30
$35
12/31/11
3/31/12
6/30/12
9/30/12
12/31/12
Payments of $106 million received on non-accrual loans during 2012
Dollars in millions
Data for quarters ended as of dates shown |
 Dollars in millions
Net Charge-offs Are Stabilizing
% Avg. Loans
13
$51
$51
$52
$33
$23
$24
$23
$12
$13
$11
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
$0
$10
$20
$30
$40
$50
$60
9/30/10
12/31/10
3/31/11
6/30/11
9/30/11
12/31/11
3/31/12
6/30/12
9/30/12
12/31/12
Net charge-offs
Net charge-offs / average loans
Net charge-offs for the quarters ended as of the dates shown
|