EverBank Financial Corp (NYSE: EVER) announced today its financial results for the first quarter ended March 31, 2014.
"We are pleased with our performance in the first quarter as we executed on our strategic growth plan and grew our loan portfolio by nearly 5% in the quarter," said Robert M. Clements, chairman and chief executive officer. "In addition, the consummation of our servicing transaction with Green Tree positions us to drive efficiencies and further enhance the earnings profile of our franchise."
GAAP net income was $32 million for the first quarter 2014, compared to $39 million for the first quarter 2013 and $18 million for the fourth quarter 2013. GAAP diluted earnings per share was $0.23, a 23% decrease from $0.30 in the first quarter 2013 and a 77% increase from $0.13 in the fourth quarter 2013.
First Quarter 2014 Key Highlights
- Tangible common equity per common share increased 11% year over year to $11.78 at March 31, 2014.
- Retained asset generation of $1.1 billion in the quarter, or $4.6 billion annualized.
- Portfolio loans held for investment (HFI) grew to $13.9 billion, an increase of 4.6% compared to the prior quarter, or 18.4% annualized.
- Core net interest margin (NIM) was 3.36% compared to 3.30% in the prior quarter.
- Adjusted non-performing assets to total assets of 0.62% at March 31, 2014. Annualized net charge-offs to total loans and leases held for investment of 0.12% for the quarter.
- Strong capital position with bank tier 1 leverage ratio of 9.1% and bank total risked-based capital ratio of 14.3%.
- Completed the sale of approximately $10 billion unpaid principal balance of mortgage servicing rights to Green Tree Servicing LLC ("Green Tree").
Strategic Business Activities
|| A reconciliation of Non-GAAP financial measures can be found in the financial tables attached hereto.
- Subsequent to quarter end, EverBank announced that Ginnie Mae had approved the previously disclosed partnership between EverBank and Green Tree, which will allow Green Tree to sub-service EverBank’s Ginnie Mae and government loan servicing portfolio commencing on May 1, 2014, concurrent with the default servicing platform transfer to Green Tree.
"With the successful execution of several strategic and cost reduction initiatives over the past few quarters, we are well positioned for strategic growth in our core consumer and commercial businesses," said W. Blake Wilson, president and chief operating officer. "Our pipelines continue to be strong and we remain on track to achieve attractive organic and portfolio loan growth throughout 2014."