Ameris Bancorp Announces Record Earnings For Third Quarter 2018

Company Release - 10/19/2018 7:00 AM ET

JACKSONVILLE, Fla., Oct. 19, 2018 /PRNewswire/ -- Ameris Bancorp (Nasdaq: ABCB) (the "Company") today reported net income of $41.4 million, or $0.87 per diluted share, for the quarter ended September 30, 2018, compared with $20.2 million, or $0.54 per diluted share, for the quarter ended September 30, 2017.  The Company reported adjusted net income of $43.3 million, or $0.91 per diluted share, for the quarter ended September 30, 2018, compared with $23.6 million, or $0.63 per diluted share, for the third quarter of 2017.  Adjusted net income for the period excludes after-tax merger and conversion charges, executive retirement benefits, restructuring charges related to recently announced branch consolidations and loss on the sale of bank premises.

For the year-to-date period ending September 30, 2018, the Company reported net income of $77.5 million, or $1.85 per diluted share, compared with $64.4 million, or $1.74 per diluted share, for the same period in 2017.  The Company reported adjusted net income of $100.3 million, or $2.40 per diluted share, for the nine months ended September 30, 2018, compared with $68.7 million, or $1.86 per diluted share, for the same period of 2017.  Adjusted net income for the year-to-date period excludes the same items listed above for the Company's quarter-to-date results and as reflected in the table below.

Commenting on the Company's quarterly results, Dennis J. Zember, Jr., the Company's President and Chief Executive Officer, said, "We had an outstanding quarter of operating results where we saw a material move in our efficiency ratio, a stable margin, and solid deposit growth.  Realizing the remaining cost savings on Hamilton and our recently announced cost saving initiatives will move our efficiency closer to 50% and have a material impact on our earnings.  Our operating return on assets and return on tangible capital of 1.53% and 20.50% are already best in class before these additional drivers are fully realized and our operating strategies will deliver the earnings and book value growth that we have forecasted."

Highlights of the Company's performance and results for the third quarter of 2018 include the following:

  • Growth in adjusted net earnings of 83.3% compared with the third quarter of 2017
  • Improvement in the adjusted efficiency ratio to 54.42% in the third quarter of 2018, compared with 57.53% in the second quarter of 2018 and 61.09% in the third quarter of 2017
  • Adjusted return on average assets of 1.53%, compared with 1.26% in the third quarter of 2017
  • Adjusted return on average tangible common equity of 20.50%, compared with 14.28% in the third quarter of 2017
  • 37.7% increase in total revenue, to $129.2 million, in the third quarter of 2018, compared with total revenue of $93.9 million in the third quarter of 2017
  • Organic loan growth of $68.5 million for the quarter, reflecting an annualized growth rate of 3.4%; year-to-date organic loan growth of $490.3 million, or an annualized growth rate of 11.5%
  • Year-over-year organic growth in noninterest bearing deposits of $191.1 million, or 11.1%
  • Improvement in nonperforming assets, decreasing to 0.60% of total assets
  • Annualized net charge-offs of 0.26% of average total loans and 0.44% of average non-purchased loans for the third quarter of 2018

Following is a summary of the adjustments between reported net income and adjusted net income:

Adjusted Net Income Reconciliation









Three Months Ended


Nine Months Ended


September 30,


September 30,

(dollars in thousands except per share data)

2018


2017


2018


2017

Net income available to common shareholders

$

41,444



$

20,158



$

77,491



$

64,398










Adjustment items: