Merchants Bancorp Reports Third Quarter 2024 Results

PR Newswire2024-10-28

Third quarter 2024 net income of $61.3 million, decreased 25% compared to third quarter of 2023 and decreased 20% compared to the second quarter 2024, reflecting unfavorable fair market value ...

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height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nMerchants Bancorp Reports Third Quarter 2024 Results\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-29 04:05 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/merchants-bancorp-reports-third-quarter-200500564.html><strong>PR Newswire</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Third quarter 2024 net income of $61.3 million, decreased 25% compared to third quarter of 2023 and decreased 20% compared to the second quarter 2024, reflecting unfavorable fair market value ...</p>\n\n<a href=\"https://finance.yahoo.com/news/merchants-bancorp-reports-third-quarter-200500564.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4195","symbol_name":"互助储蓄与抵押信贷金融服务","start_time":0,"source_url":"https://finance.yahoo.com/news/merchants-bancorp-reports-third-quarter-200500564.html","article_id":"2479452187","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/Pp63pylY9e0nKeHQiqSHhg--~B/aD04MDt3PTQwMDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/prnewswire.com/6038a8a02f1215d3d3a3a4edadc5bd8c"],"rights":{"source":"yahoofinance","url":"https://finance.yahoo.com/news/merchants-bancorp-reports-third-quarter-200500564.html","rn_cache_url":null,"customStyle":"img, svg { display: none !important; }","selectors":"article","filters":"","directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2479452187","pubTimestamp":1730145900,"columns":[],"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Third quarter 2024 net income of $61.3 million, decreased 25% compared to third quarter of 2023 and decreased 20% compared to the second quarter 2024, reflecting unfavorable fair market value adjustments to derivatives and servicing rights, and an increase in specific reserves on loans as part of the allowance for credit losses.Third quarter 2024 diluted earnings per common share of $1.17 decreased 30% compared to the third quarter of 2023 and decreased 21% compared to the second quarter of 2024.Unfavorable fair market value adjustments to interest rate floor derivatives on loans and servicing rights of $7.7 million and $6.7 million, respectively, negatively impacted results during the third quarter of 2024 by approximately $0.24 per diluted common share.Total assets of $18.7 billion surpassed any level previously reported by the Company, increasing 2% compared to June 30, 2024, and increasing 10% compared to December 31, 2023.Loans receivable of $10.3 billion, net of allowance for cre","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4195":"互助储蓄与抵押信贷金融服务","MBINM":"MERCHANTS BANCORP 8.25% DEP SHS REPSTG 1/40TH PERP PFD D","MBINN":"Merchants Bancorp","MBIN":"Merchants Bancorp","MBINO":"Merchants Bancorp","BK4229":"商业和住宅抵押贷款融资"},"translate_title":"招商银行公布2024年第三季度业绩","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"MBIN":0.9,"MBINM":0.9,"MBINN":0.9,"MBINO":0.9},"content_text":"Third quarter 2024 net income of $61.3 million, decreased 25% compared to third quarter of 2023 and decreased 20% compared to the second quarter 2024, reflecting unfavorable fair market value adjustments to derivatives and servicing rights, and an increase in specific reserves on loans as part of the allowance for credit losses.\nThird quarter 2024 diluted earnings per common share of $1.17 decreased 30% compared to the third quarter of 2023 and decreased 21% compared to the second quarter of 2024.\nUnfavorable fair market value adjustments to interest rate floor derivatives on loans and servicing rights of $7.7 million and $6.7 million, respectively, negatively impacted results during the third quarter of 2024 by approximately $0.24 per diluted common share.\nTotal assets of $18.7 billion surpassed any level previously reported by the Company, increasing 2% compared to June 30, 2024, and increasing 10% compared to December 31, 2023.\nTangible book value per common share reached a record-high of $32.38 and increased 25% compared to $25.82 in the third quarter of 2023 and increased 4% compared to $31.27 in the second quarter of 2024.\nAs of September 30, 2024, the Company had $5.1 billion in unused borrowing capacity with the Federal Home Loan Bank and the Federal Reserve Discount window, representing 27% of total assets.\nThe Company's most liquid assets are in unrestricted cash, short-term investments, including interest-earning demand deposits, mortgage loans in process of securitization, loans held for sale, and warehouse repurchase agreements included in loans receivable. Taken together, with unused borrowing capacity, these totaled $11.1 billion, or 59%, of the $18.7 billion in total assets as of September 30, 2024.\nLoans receivable of $10.3 billion, net of allowance for credit losses on loans, decreased $671.3 million, or 6%, compared to June 30, 2024, and increased $134.1 million, or 1%, compared to December 31, 2023.\nIn September 2024 the Company sold $629 million of healthcare bridge loans into a private securitization via a real estate mortgage investment conduit (REMIC). As part of the transaction, the Company purchased a $535 million senior investment security that is classified as held to maturity and carries an 80% lower capital requirement than bridge loans.\n\nCARMEL, Ind., Oct. 28, 2024 /PRNewswire/ -- Merchants Bancorp (the \"Company\" or \"Merchants\") (Nasdaq: MBIN), parent company of Merchants Bank, today reported third quarter 2024 net income of $61.3 million, or diluted earnings per common share of $1.17. This compared to $81.5 million, or diluted earnings per common share of $1.68 in the third quarter of 2023, and compared to $76.4 million, or diluted earnings per common share of $1.49 in the second quarter of 2024.\n\n  \n\n\"Despite a few isolated credit issues and unfavorable fair market value adjustments related to derivatives and servicing rights, our quarterly results underscore the robust, underlying strength of our core businesses. We surpassed several previous records, reaching $18.7 billion in assets and increasing our tangible book value to $32.38, a 25% rise from the prior year.   The declining interest rate environment also positions us well to capitalize on promising growth opportunities across various aspects of our operations,\" said Michael F. Petrie, Chairman and CEO of Merchants.\nMichael J. Dunlap, President and Chief Operating Officer of Merchants, added, \"We remain at the forefront of effective capital management, successfully executing another credit risk transfer transaction this quarter through the securitization of $629 million in healthcare loans. This strategy not only protects us from potential credit losses, but also enables us to efficiently deploy capital for our future growth initiatives.\"\nNet income of $61.3 million for the third quarter 2024 decreased by $20.2 million, or 25%, compared to the third quarter of 2023, primarily driven by:\n\na $15.4 million, or 13%, increase in net interest income,\na $6.0 million, or 56%, increase in gain on sale of loans,\na $5.0 million, or 20%, decrease in provision for income taxes,\nan $18.9 million, or 109%, decrease in loan servicing fees, primarily due to negative fair market value adjustments to servicing rights,\nan $18.4 million, or 43%, increase in noninterest expense, primarily driven by salaries and employee benefits that reflected higher commissions on higher production volume, increases in deposit insurance expenses, and ongoing premium expense associated with the credit default swap,\na $5.6 million decrease in other income, reflecting negative fair market value adjustments to derivatives, and\na $2.9 million, or 72%, increase in the provision for credit losses primarily related to increased specific reserves.\n\nNet income of $61.3 million for the third quarter 2024 decreased by $15.1 million, or 20%, compared to the second quarter of 2024, primarily driven by:\n\na $5.6 million, or 50%, increase in gain on sale of loans,\na $4.7 million, or 4%, increase in net interest income,\na $3.1 million, or 31%, decrease in the provision for credit losses,\na $2.7 million, or 12%, decrease in provision for income taxes,\na $12.3 million, or 114%, decrease in loan servicing fees, primarily due to negative fair market value adjustments to servicing rights,\na $10.9 million, or 22%, increase in noninterest expense, primarily driven by salaries and employee benefits that reflected higher commissions on higher production volume and increases in deposit insurance expenses, and\na $6.5 million decrease in other income, reflecting negative fair market value adjustments to derivatives.\n\nTotal AssetsTotal assets of $18.7 billion at September 30, 2024 increased $440.6 million, or 2%, compared to June 30, 2024, and increased $1.7 billion, or 10%, compared to December 31, 2023.  The increase compared to December 31, 2023 was primarily due to growth in loans held for sale and in the warehouse, and multi-family loan portfolios. There was also an increase in securities held to maturity compared to December 31, 2023, primarily due to the purchase of a security representing healthcare loans sold into a securitization in the third quarter of 2024 that was offset by a decline in loans in the healthcare portfolio that were sold into the securitization.\nReturn on average assets was 1.34% for the third quarter of 2024 compared to 2.03% for the third quarter of 2023 and 1.72% for the second quarter of 2024.\nAsset QualityThe allowance for credit losses on loans of $84.5 million, as of September 30, 2024, increased $3.5 million, or 4%, compared to June 30, 2024, and increased $12.8 million, or 18%, compared to December 31, 2023.  The increase compared to June 30, 2024 was primarily due to an $8.0 million increase in specific reserves, primarily related to two customers, that was partially offset by lower loan balances due to the securitization of healthcare loans, which reduced the allowance by approximately $4.4 million.\nThe $84.5 million allowance for credit losses on loans as of September 30, 2024, compared to the net charge-offs of $6.7 million over the last twelve months ended September 30, 2024, could absorb 13 years of losses if recent loss levels continued into the future.\nThe Company recorded charge-offs for three customers, primarily in the multi-family loan portfolio, for $2.1 million, and recorded $7,000 of recoveries during the third quarter 2024. This compares to $21,000 in charge-offs and $31,000 in recoveries during the third quarter of 2023 and to $3.5 million in charge-offs and $15,000 of recoveries in the second quarter of 2024.\nAs of September 30, 2024, non-performing loans were $210.9 million, or 2.04% of gross loans receivable, compared to $143.5 million, or 1.30%, as of June 30, 2024, and $82.0 million, or 0.80%, as of December 31, 2023.  The increase in non-performing loans compared to both periods was primarily driven by multi-family and healthcare customers with delinquent payments on variable rate loans that have required higher payments largely due to elevated interest rates. The increase was also attributable to the financial deterioration of a few sponsors.  Credit quality is expected to improve with recent reductions in interest rates.  After six months of consecutive loan performance, the loans are placed back on accrual status.\nAll substandard loans as of September 30, 2024 have been evaluated for impairment and these loans have specific reserves of $19.2 million, including $8.0 million added during the third quarter of 2024. Although there has been an increase in adversely classified loans, asset values remain strong overall and loans are well-collateralized.\nIn addition to elevated reserves for credit losses on loans, the Company has been making additional efforts to minimize its credit risk through loan sale and securitization activities since 2019.  In April 2023 and March 2024, the Company strategically entered into credit protection arrangements through a credit linked note and credit default swap, respectively, for $1.7 billion in loans to reduce our risk of losses with incremental coverage of approximately 14% on those covered loans. The balance of loans in those covered portfolios as of September 30, 2024 was $1.3 billion.\nSecurities Available for SaleTotal securities available for sale of $953.1 million as of September 30, 2024 decreased $64.0 million, or 6%, compared to June 30, 2024, and decreased $160.6 million, or 14%, compared to December 31, 2023.  The decreases were primarily due to maturities, sales, and repayments, as well as fair value adjustments that were partially offset by purchases. As of September 30, 2024, Accumulated Other Comprehensive Income (\"AOCI\") of $0.1 million, related to securities available for sale, increased $0.6 million, or 119%, compared to June 30, 2024, and increased $2.6 million, or 104%, compared to December 31, 2023.\nSecurities Held to MaturityTotal securities held to maturity of $1.8 billion as of September 30, 2024 increased $463.9 million, or 36%, compared to June 30, 2024, and increased $550.8 million, or 46%, compared to December 31, 2023. The increases were primarily due to purchases of senior investment securities backed by residential and healthcare loans purchased as part of credit risk transfer securitization transactions originated by the Company.\nTotal DepositsTotal deposits of $12.9 billion at September 30, 2024 decreased $2.0 billion, or 14%, compared to June 30, 2024, and decreased $1.2 billion, or 8%, compared to December 31, 2023. The change compared to both periods was driven by decreases in certificates of deposit accounts. The changes reflected decreases in brokered deposits that were partially offset by growth in core deposits.\nCore deposits of $10.1 billion at September 30, 2024 increased $1.3 billion, or 15%, from June 30, 2024 and increased $2.0 billion, or 25%, from December 31, 2023. Core deposits represented 78% of total deposits at September 30, 2024, 59% of total deposits at June 30, 2024, and 58% of total deposits at December 31, 2023.\nTotal brokered deposits of $2.8 billion at September 30, 2024 decreased $3.3 billion, or 54%, from June 30, 2024 and decreased $3.2 billion, or 53%, from December 31, 2023.   As of September 30, 2024, brokered certificates of deposit had a weighted average remaining duration of 56 days.\nLiquidityCash balances of $601.9 million as of September 30, 2024 increased by $61.0 million compared to June 30, 2024 and increased by $17.5 million compared to December 31, 2023.  The Company continues to have significant borrowing capacity, with unused lines of credit totaling $5.1 billion as of September 30, 2024 compared to $7.0 billion at June 30, 2024 and $6.0 billion at December 31, 2023.  Furthermore, its $3.2 billion line of credit with the Federal Reserve Bank of Chicago alone could fund 120% of its uninsured deposits, which represented approximately 20% of total deposits as of September 30, 2024.\nThis liquidity enhances the ability to effectively manage interest expense and asset levels in the future. Additionally, the Company's business model is designed to continuously sell or securitize a significant portion of its loans, which provides flexibility in managing its liquidity. \nComparison of Operating Results for the Three Months EndedSeptember 30, 2024 and 2023\nNet Interest Income of $132.8 million increased $15.4 million, or 13%, compared to $117.4 million, primarily reflecting an increase in average balances on loans and loans held for sale, which were partially offset by higher average balances on borrowings.\n\nNet interest margin of 2.99% remained unchanged. The margin was negatively impacted by 6 basis points in the third quarter of 2024 from the net reversal of $2.9 million in accrued interest income associated with the movement of loans into nonaccrual status.\nInterest rate spread of 2.43% decreased 1 basis point compared to 2.44%.\n\nInterest Income of $338.9 million increased $42.3 million, or 14%, primarily reflecting an increase in average balances of loans and loans held for sale, as well as increased average yields and balances on securities available for sale.\n\nAverage balances of $14.6 billion for loans and loans held for sale increased 9% compared to $13.4 billion.\nAverage yields on securities available for sale of 5.84% increased 210 basis points compared to 3.74%.\nAverage balances of $1.0 billion for securities available for sale increased $354.6 million, or 54%, compared to $656.6 million.\n\nInterest Expense of $206.1 million increased $26.9 million, or 15%, compared to $179.2 million.  The increase reflected higher average balances on borrowings and interest-bearing checking accounts, partially offset by lower average rates on borrowings and lower average balances on certificates of deposit.\n\nAverage balances of $2.5 billion for borrowings increased $1.8 billion, or 254%, compared to $711.9 million.\nAverage balances of $5.3 billion for interest-bearing checking increased 9% compared to $4.9 billion.\nAverage interest rates of 6.39% for borrowings decreased 271 basis points compared to 9.10%.\nAverage interest rates of 5.47% for certificates of deposit increased 13 basis points compared to 5.34%.\n\nNoninterest Income of $16.7 million decreased $19.3 million, or 54%, compared to $36.1 million, primarily due to a $18.9 million, or 109%, decrease in net loan servicing fees and a $5.6 million, or 152%, decrease in other income, partially offset by a $6.0 million, or 56%, increase in gain on sale of loans.    \n\nLoan servicing fees included a $6.7 million negative fair market value adjustment to servicing rights, with a $1.6 million negative adjustment in the Banking segment and a $5.1 million negative adjustment in the Multi-family Mortgage Banking segment. This compared to a $11.6 million positive fair market value adjustment to servicing rights in the prior period with a $1.2 million positive adjustment in the Banking segment and a $10.4 million positive adjustment in the Multi-family Mortgage Banking segment. The value of servicing rights generally increases in rising interest rate environments and declines in falling interest rate environments due to expected prepayments and earning rates on escrow deposits.\nOther income included a $7.7 million negative fair market value adjustment to derivatives that didn't occur in the prior comparative period.\nGain on sale of loans increased $6.0 million, reflecting higher volume in the multi-family loan portfolio.\n\nNoninterest Expense of $61.3 million increased $18.4 million, or 43%, compared to $42.9 million, primarily due to increases in salaries and employee benefits that reflected higher commissions on higher production volume, as well as a $5.4 million, or 152%, increase in deposit insurance expenses. The higher noninterest expense also reflected a $3.4 million increase in other expenses primarily associated with ongoing premium expense for the credit default swap that was executed in March 2024.\n\nThe efficiency ratio of 41.00% increased 1,303 basis points compared to 27.97%.\n\nComparison of Operating Results for the Three Months EndedSeptember 30, 2024 and June 30, 2024\nNet Interest Income of $132.8 million increased $4.7 million, or 4%, compared to $128.1 million, primarily due to higher average balances on borrowings at lower average interest rates that were partially offset by lower average balances on certificates of deposit at higher average interest rates. Higher average balances on loans and loans held for sale also contributed to the higher net interest income.\n\nNet interest margin of 2.99% remain unchanged. The margin was negatively impacted by 6 basis points in the third quarter of 2024 from the net reversal of $2.9 million in accrued interest income associated with the movement of loans into nonaccrual status. This compared to 6 basis points, or $2.5 million in accrued interest income in the second quarter of 2024.\nInterest rate spread of 2.43% decreased 2 basis points compared to 2.45%.\n\nInterest Income of $338.9 million increased $10.7 million, or 3%, reflecting an increase in average balances on loans and loans held for sale and securities held to maturity, as well as increased average yields in interest earning deposits and other interest or dividends.\n\nAverage balances of $14.6 billion for loans and loans held for sale increased 2% compared to $14.3 billion.\nAverage balances of $1.3 billion for securities held to maturity increased 11% compared to $1.2 billion.\nAverage yields on interest earning deposits and other interest or dividends of 6.30% increased 59 basis points compared to 5.71%.\n\nInterest Expense of $206.1 million increased 3% compared to $200.2 million. The increase was primarily driven by higher average balances on borrowings at lower average rates, as well as higher average balances of interest-bearing checking accounts. These were partially offset by lower average balances on certificates of deposits.  \n\nAverage balances of $2.5 billion for borrowings increased $1.5 billion, or 144%, compared to $1.0 billion.\nAverage interest rates of 6.39% for borrowings decreased 161 basis points compared to 8.00%.\nAverage balances of $5.3 billion for interest-bearing checking accounts increased $363.8 million, or 7%, compared to $4.9 billion.\nAverage balances of $5.0 billion for certificate of deposit accounts decreased $1.5 billion, or 23%, compared to $6.5 billion.\n\nNoninterest Income of $16.7 million decreased 47%, compared $31.4 million, primarily due to a $12.3 million, or 114%, decrease in net loan servicing fees, a $6.5 million, or 142%, decrease in other income that was partially offset by an increase of $5.6 million in gain on sale of loans.\n\nLoan servicing fees included a $6.7 million negative fair market value adjustment to servicing rights, with a $1.6 million negative adjustment in the Banking segment and a $5.1 million negative adjustment in the Multi-family Mortgage Banking segment. This compared to a $5.1 million positive fair market value adjustment to servicing rights in the prior period, with a $0.6 million positive adjustment in the Banking segment and a $4.5 million positive adjustment in the Multi-family Mortgage Banking segment. The value of servicing rights generally increases in rising interest rate environments and declines in falling interest rate environments due to expected prepayments and earning rates on escrow deposits.\nOther income included a $7.7 million negative fair market value adjustment to derivatives compared to a $0.2 million positive fair market value adjustment to derivatives in the second quarter of 2024.\nGain on sale of loans increased $5.6 million reflecting higher volume in the multi-family loan portfolio.\n\nNoninterest Expense of $61.3 million increased $10.9 million, or 22%, compared to $50.4 million, primarily driven by a $6.8 million, or 24%, increase in salaries and employee benefits reflecting higher commissions on higher production volume, and a $3.4 million increase in deposit insurance expenses.\n\nThe efficiency ratio of 41.00% increased 941 basis points compared to 31.59%.\n\nAbout Merchants BancorpRanked as a top performing U.S. public bank by S&P Global Market Intelligence, Merchants Bancorp is a diversified bank holding company headquartered in Carmel, Indiana operating multiple segments, including Multi-family Mortgage Banking that primarily offers multi-family housing and healthcare facility financing and servicing (through this segment it also serves as a syndicator of low-income housing tax credit and debt funds); Mortgage Warehousing that offers mortgage warehouse financing, commercial loans, and deposit services; and Banking that offers retail and correspondent residential mortgage banking, agricultural lending, and traditional community banking.  Merchants Bancorp, with $18.7 billion in assets and $12.9 billion in deposits as of September 30, 2024, conducts its business primarily through its direct and indirect subsidiaries, Merchants Bank of Indiana, Merchants Capital Corp., Merchants Capital Investments, LLC, Merchants Capital Servicing, LLC, Merchants Asset Management, LLC, and Merchants Mortgage, a division of Merchants Bank of Indiana. For more information and financial data, please visit Merchants' Investor Relations page at investors.merchantsbancorp.com.\nForward-Looking Statements This press release contains forward-looking statements which reflect management's current views with respect to, among other things, future events and financial performance. These statements are often, but not always, made through the use of words or phrases such as \"may,\" \"might,\" \"should,\" \"could,\" \"predict,\" \"potential,\" \"believe,\" \"expect,\" \"continue,\" \"will,\" \"anticipate,\" \"seek,\" \"estimate,\" \"intend,\" \"plan,\" \"projection,\" \"goal,\" \"target,\" \"outlook,\" \"aim,\" \"would,\" \"annualized\" and \"outlook,\" or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about the industry, management's beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. Accordingly, management cautions that any such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions, estimates and uncertainties that are difficult to predict. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable as of the date made, actual results may prove to be materially different from the results expressed or implied by the forward-looking statements.  A number of important factors could cause actual results to differ materially from those indicated in these forward-looking statements, including the impacts of factors identified in \"Risk Factors\" or \"Management's Discussion and Analysis of Financial Condition and Results of Operations\" in the Company's Annual Report on Form 10-K and other periodic filings with the Securities and Exchange Commission.  Any forward-looking statements presented herein are made only as of the date of this press release, and the Company does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, the occurrence of unanticipated events, or otherwise.\n\n\n\n\nConsolidated Balance Sheets \n\n\n(Unaudited) \n\n\n(In thousands, except share data) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nSeptember 30, \n\nJune 30, \n\nMarch 31, \n\nDecember 31, \n\nSeptember 30, \n\n\n\n\n2024 \n\n2024 \n\n2024 \n\n2023 \n\n2023 \n\n\nAssets \n\n\n\n\n\n\n\n\n\n\n\n\nCash and due from banks \n\n$              12,214 \n\n$              10,242 \n\n$              17,924 \n\n$              15,592 \n\n$              10,633 \n\n\nInterest-earning demand accounts \n\n589,692 \n\n530,640 \n\n490,831 \n\n568,830 \n\n396,605 \n\n\nCash and cash equivalents \n\n601,906 \n\n540,882 \n\n508,755 \n\n584,422 \n\n407,238 \n\n\nSecurities purchased under agreements to resell \n\n3,279 \n\n3,304 \n\n3,329 \n\n3,349 \n\n3,385 \n\n\nMortgage loans in process of securitization \n\n430,966 \n\n209,244 \n\n142,629 \n\n110,599 \n\n476,047 \n\n\nSecurities available for sale ($682,975, $682,774, $700,640 and $722,497 utilizing fair value option at September 30, 2024, June 30, 2024, March 31, 2024 and December 31, 2023) \n\n953,063 \n\n1,017,019 \n\n1,061,288 \n\n1,113,687 \n\n624,586 \n\n\nSecurities held to maturity ($1,756,203, $1,291,960, $1,176,178, $1,203,535 and $1,010,745 at fair value, respectively) \n\n1,755,047 \n\n1,291,110 \n\n1,175,167 \n\n1,204,217 \n\n1,012,801 \n\n\nFederal Home Loan Bank (FHLB) stock and other equity securities \n\n184,050 \n\n67,499 \n\n64,215 \n\n48,578 \n\n48,219 \n\n\nLoans held for sale (includes $91,084, $102,873, $84,513, $86,663 and $90,875 at fair value, respectively) \n\n3,808,234 \n\n3,483,076 \n\n3,503,131 \n\n3,144,756 \n\n3,477,036 \n\n\nLoans receivable, net of allowance for credit losses on loans of $84,549, $81,028, $75,712, $71,752 and $66,864, respectively \n\n10,261,890 \n\n10,933,189 \n\n10,690,513 \n\n10,127,801 \n\n9,910,681 \n\n\nPremises and equipment, net \n\n53,161 \n\n46,833 \n\n42,450 \n\n42,342 \n\n36,730 \n\n\nServicing rights \n\n177,327 \n\n178,776 \n\n172,200 \n\n158,457 \n\n162,141 \n\n\nInterest receivable \n\n86,612 \n\n90,360 \n\n90,303 \n\n91,346 \n\n78,401 \n\n\nGoodwill  \n\n8,014 \n\n8,014 \n\n8,014 \n\n15,845 \n\n15,845 \n\n\nOther assets and receivables \n\n329,427 \n\n343,116 \n\n360,582 \n\n307,117 \n\n242,126 \n\n\nTotal assets \n\n$       18,652,976 \n\n$       18,212,422 \n\n$       17,822,576 \n\n$       16,952,516 \n\n$       16,495,236 \n\n\nLiabilities and Shareholders' Equity \n\n\n\n\n\n\n\n\n\n\n\n\n  Liabilities \n\n\n\n\n\n\n\n\n\n\n\n\nDeposits \n\n\n\n\n\n\n\n\n\n\n\n\nNoninterest-bearing \n\n$            311,386 \n\n$            383,260 \n\n$            319,872 \n\n$            520,070 \n\n$            287,846 \n\n\nInterest-bearing \n\n12,580,501 \n\n14,533,807 \n\n13,655,789 \n\n13,541,390 \n\n12,719,492 \n\n\nTotal deposits \n\n12,891,887 \n\n14,917,067 \n\n13,975,661 \n\n14,061,460 \n\n13,007,338 \n\n\nBorrowings  \n\n3,568,721 \n\n1,159,206 \n\n1,835,985 \n\n964,127 \n\n1,654,075 \n\n\nDeferred and current tax liabilities, net \n\n19,530 \n\n25,098 \n\n43,935 \n\n19,923 \n\n18,006 \n\n\nOther liabilities \n\n233,731 \n\n222,904 \n\n190,527 \n\n205,922 \n\n183,102 \n\n\nTotal liabilities \n\n16,713,869 \n\n16,324,275 \n\n16,046,108 \n\n15,251,432 \n\n14,862,521 \n\n\nCommitments and  Contingencies \n\n\n\n\n\n\n\n\n\n\n\n\nShareholders' Equity \n\n\n\n\n\n\n\n\n\n\n\n\nCommon stock, without par value \n\n\n\n\n\n\n\n\n\n\n\n\nAuthorized - 75,000,000 shares \n\n\n\n\n\n\n\n\n\n\n\n\nIssued and outstanding  - 45,764,023 shares, 45,757,567 shares, 43,354,718 shares, 43,242,928 shares and 43,240,212 shares \n\n239,448 \n\n238,492 \n\n139,950 \n\n140,365 \n\n139,609 \n\n\nPreferred stock, without par value - 5,000,000 total shares authorized \n\n\n\n\n\n\n\n\n\n\n\n\n7% Series A Preferred stock - $25 per share liquidation preference \n\n\n\n\n\n\n\n\n\n\n\n\nAuthorized - no shares at September 30, 2024 or June 30, 2024 and 3,500,000 shares at March 31, 2024 and all prior periods presented \n\n\n\n\n\n\n\n\n\n\n\n\nIssued and outstanding - no shares at September 30, 2024 or June 30, 2024 and 2,081,800 shares at March 31, 2024 and all prior periods presented \n\n— \n\n— \n\n50,221 \n\n50,221 \n\n50,221 \n\n\n6% Series B Preferred stock - $1,000 per share liquidation preference \n\n\n\n\n\n\n\n\n\n\n\n\nAuthorized - 125,000 shares \n\n\n\n\n\n\n\n\n\n\n\n\nIssued and outstanding - 125,000 shares (equivalent to 5,000,000 depositary shares) \n\n120,844 \n\n120,844 \n\n120,844 \n\n120,844 \n\n120,844 \n\n\n6% Series C Preferred stock - $1,000 per share liquidation preference \n\n\n\n\n\n\n\n\n\n\n\n\nAuthorized - 200,000 shares \n\n\n\n\n\n\n\n\n\n\n\n\nIssued and outstanding - 196,181 shares (equivalent to 7,847,233 depositary shares)  \n\n191,084 \n\n191,084 \n\n191,084 \n\n191,084 \n\n191,084 \n\n\n8.25% Series D Preferred stock - $1,000 per share liquidation preference \n\n\n\n\n\n\n\n\n\n\n\n\nAuthorized - 300,000 shares \n\n\n\n\n\n\n\n\n\n\n\n\nIssued and outstanding - 142,500 shares (equivalent to 5,700,000 depositary shares)  \n\n137,459 \n\n137,459 \n\n137,459 \n\n137,459 \n\n137,459 \n\n\nRetained earnings \n\n1,250,176 \n\n1,200,778 \n\n1,138,083 \n\n1,063,599 \n\n998,252 \n\n\nAccumulated other comprehensive income (loss) \n\n96 \n\n(510) \n\n(1,173) \n\n(2,488) \n\n(4,754) \n\n\nTotal shareholders' equity \n\n1,939,107 \n\n1,888,147 \n\n1,776,468 \n\n1,701,084 \n\n1,632,715 \n\n\nTotal liabilities and shareholders' equity \n\n$       18,652,976 \n\n$       18,212,422 \n\n$       17,822,576 \n\n$       16,952,516 \n\n$       16,495,236 \n\n\n\n\n\n\n\n\nConsolidated Statement of Income \n\n\n(Unaudited) \n\n\n(In thousands, except share data) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nThree Months Ended \n\nChange \n\n\n\n\nSeptember 30,  \n\nJune 30,  \n\nSeptember 30, \n\n3Q24 \n\n3Q24 \n\n\n\n\n2024 \n\n2024 \n\n2023 \n\nvs. 2Q24 \n\nvs. 3Q23 \n\n\nInterest Income \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nLoans \n\n$ \n290,259 \n\n$ \n284,421 \n\n$ \n266,561 \n\n2 % \n\n9 % \n\n\nMortgage loans in process of securitization \n\n\n4,062 \n\n\n3,044 \n\n\n2,583 \n\n33 % \n\n57 % \n\n\nInvestment securities: \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAvailable for sale \n\n\n14,855 \n\n\n14,784 \n\n\n6,182 \n\n— \n\n140 % \n\n\nHeld to maturity \n\n\n22,081 \n\n\n19,799 \n\n\n17,427 \n\n12 % \n\n27 % \n\n\nFHLB stock and other equity securities (dividends) \n\n\n3,128 \n\n\n1,277 \n\n\n572 \n\n145 % \n\n447 % \n\n\nOther \n\n\n4,543 \n\n\n4,948 \n\n\n3,351 \n\n-8 % \n\n36 % \n\n\nTotal interest income \n\n\n338,928 \n\n\n328,273 \n\n\n296,676 \n\n3 % \n\n14 % \n\n\nInterest Expense \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nDeposits \n\n\n165,675 \n\n\n179,651 \n\n\n162,906 \n\n-8 % \n\n2 % \n\n\nBorrowed funds \n\n\n40,432 \n\n\n20,503 \n\n\n16,334 \n\n97 % \n\n148 % \n\n\nTotal interest expense \n\n\n206,107 \n\n\n200,154 \n\n\n179,240 \n\n3 % \n\n15 % \n\n\nNet Interest Income \n\n\n132,821 \n\n\n128,119 \n\n\n117,436 \n\n4 % \n\n13 % \n\n\nProvision for credit losses \n\n\n6,898 \n\n\n9,965 \n\n\n4,014 \n\n-31 % \n\n72 % \n\n\nNet Interest Income After Provision for Credit Losses \n\n\n125,923 \n\n\n118,154 \n\n\n113,422 \n\n7 % \n\n11 % \n\n\nNoninterest Income \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nGain on sale of loans \n\n\n16,731 \n\n\n11,168 \n\n\n10,758 \n\n50 % \n\n56 % \n\n\nLoan servicing fees, net \n\n\n(1,509) \n\n\n10,827 \n\n\n17,384 \n\n-114 % \n\n-109 % \n\n\nMortgage warehouse fees \n\n\n1,620 \n\n\n1,524 \n\n\n1,858 \n\n6 % \n\n-13 % \n\n\nSyndication and asset management fees \n\n\n1,834 \n\n\n3,233 \n\n\n2,368 \n\n-43 % \n\n-23 % \n\n\nOther income \n\n\n(1,934) \n\n\n4,599 \n\n\n3,700 \n\n-142 % \n\n-152 % \n\n\nTotal noninterest income \n\n\n16,742 \n\n\n31,351 \n\n\n36,068 \n\n-47 % \n\n-54 % \n\n\nNoninterest Expense \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nSalaries and employee benefits \n\n\n35,218 \n\n\n28,373 \n\n\n27,052 \n\n24 % \n\n30 % \n\n\nLoan expense \n\n\n1,114 \n\n\n993 \n\n\n1,038 \n\n12 % \n\n7 % \n\n\nOccupancy and equipment \n\n\n2,231 \n\n\n2,239 \n\n\n2,196 \n\n— \n\n2 % \n\n\nProfessional fees \n\n\n3,439 \n\n\n3,556 \n\n\n2,555 \n\n-3 % \n\n35 % \n\n\nDeposit insurance expense \n\n\n8,981 \n\n\n5,579 \n\n\n3,568 \n\n61 % \n\n152 % \n\n\nTechnology expense \n\n\n2,068 \n\n\n1,859 \n\n\n1,609 \n\n11 % \n\n29 % \n\n\nOther expense \n\n\n8,267 \n\n\n...7,781 \n\n\n4,912 \n\n6 % \n\n68 % \n\n\nTotal noninterest expense \n\n\n61,318 \n\n\n50,380 \n\n\n42,930 \n\n22 % \n\n43 % \n\n\nIncome Before Income Taxes \n\n\n81,347 \n\n\n99,125 \n\n\n106,560 \n\n-18 % \n\n-24 % \n\n\nProvision for income taxes \n\n\n20,074 \n\n\n22,732 \n\n\n25,056 \n\n-12 % \n\n-20 % \n\n\nNet Income \n\n$ \n61,273 \n\n$ \n76,393 \n\n$ \n81,504 \n\n-20 % \n\n-25 % \n\n\n   Dividends on preferred stock \n\n\n(7,757) \n\n\n(7,757) \n\n\n(8,668) \n\n— \n\n-11 % \n\n\n   Impact of preferred stock redemption \n\n\n— \n\n\n(1,823) \n\n\n— \n\n100 % \n\n— \n\n\nNet Income Available to Common Shareholders \n\n$ \n53,516 \n\n$ \n66,813 \n\n$ \n72,836 \n\n-20 % \n\n-27 % \n\n\nBasic Earnings Per Share \n\n$ \n1.17 \n\n$ \n1.50 \n\n$ \n1.68 \n\n-22 % \n\n-30 % \n\n\nDiluted Earnings Per Share \n\n$ \n1.17 \n\n$ \n1.49 \n\n$ \n1.68 \n\n-21 % \n\n-30 % \n\n\nWeighted-Average Shares Outstanding \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nBasic \n\n\n45,759,667 \n\n\n44,569,345 \n\n\n43,238,724 \n\n\n\n\n\n\nDiluted \n\n\n45,910,052 \n\n\n44,698,324 \n\n\n43,351,208 \n\n\n\n\n\n\n\n\n\n\n\n\nConsolidated Statement of Income \n\n\n(Unaudited) \n\n\n(In thousands, except share data) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNine Months Ended \n\n\n\n\n\n\nSeptember 30, \n\nSeptember 30, \n\n\n\n\n\n\n2024 \n\n2023 \n\nChange \n\n\nInterest Income \n\n\n\n\n\n\n\n\n\n\nLoans \n\n$ \n846,678 \n\n$ \n684,743 \n\n24 % \n\n\nMortgage loans in process of securitization \n\n\n8,826 \n\n\n7,358 \n\n20 % \n\n\nInvestment securities: \n\n\n\n\n\n\n\n\n\n\nAvailable for sale \n\n\n44,027 \n\n\n14,012 \n\n214 % \n\n\nHeld to maturity \n\n\n62,402 \n\n\n50,492 \n\n24 % \n\n\nFHLB stock and other equity securities (dividends) \n\n\n5,249 \n\n\n1,470 \n\n257 % \n\n\nOther \n\n\n14,192 \n\n\n7,964 \n\n78 % \n\n\nTotal interest income \n\n\n981,374 \n\n\n766,039 \n\n28 % \n\n\nInterest Expense \n\n\n\n\n\n\n\n\n\n\nDeposits \n\n\n516,348 \n\n\n405,149 \n\n27 % \n\n\nBorrowed funds \n\n\n77,030 \n\n\n37,144 \n\n107 % \n\n\nTotal interest expense \n\n\n593,378 \n\n\n442,293 \n\n34 % \n\n\nNet Interest Income \n\n\n387,996 \n\n\n323,746 \n\n20 % \n\n\nProvision for credit losses \n\n\n21,589 \n\n\n33,484 \n\n-36 % \n\n\nNet Interest Income After Provision for Credit Losses \n\n\n366,407 \n\n\n290,262 \n\n26 % \n\n\nNoninterest Income \n\n\n\n\n\n\n\n\n\n\nGain on sale of loans \n\n\n37,255 \n\n\n28,841 \n\n29 % \n\n\nLoan servicing fees, net \n\n\n28,720 \n\n\n28,360 \n\n1 % \n\n\nMortgage warehouse fees \n\n\n4,126 \n\n\n5,751 \n\n-28 % \n\n\nLoss on sale of investments available for sale (1) \n\n\n(108) \n\n\n— \n\n-100 % \n\n\nSyndication and asset management fees \n\n\n10,370 \n\n\n7,476 \n\n39 % \n\n\nOther income \n\n\n8,604 \n\n\n9,786 \n\n-12 % \n\n\nTotal noninterest income \n\n\n88,967 \n\n\n80,214 \n\n11 % \n\n\nNoninterest Expense \n\n\n\n\n\n\n\n\n\n\nSalaries and employee benefits \n\n\n93,187 \n\n\n74,922 \n\n24 % \n\n\nLoan expense \n\n\n3,063 \n\n\n2,749 \n\n11 % \n\n\nOccupancy and equipment \n\n\n6,707 \n\n\n6,884 \n\n-3 % \n\n\nProfessional fees \n\n\n11,094 \n\n\n8,547 \n\n30 % \n\n\nDeposit insurance expense \n\n\n19,685 \n\n\n9,552 \n\n106 % \n\n\nTechnology expense \n\n\n5,781 \n\n\n4,757 \n\n22 % \n\n\nOther expense \n\n\n21,093 \n\n\n14,611 \n\n44 % \n\n\nTotal noninterest expense \n\n\n160,610 \n\n\n122,022 \n\n32 % \n\n\nIncome Before Income Taxes \n\n\n294,764 \n\n\n248,454 \n\n19 % \n\n\nProvision for income taxes (2) \n\n\n70,044 \n\n\n46,693 \n\n50 % \n\n\nNet Income \n\n$ \n224,720 \n\n$ \n201,761 \n\n11 % \n\n\n   Dividends on preferred stock \n\n\n(24,181) \n\n\n(26,003) \n\n-7 % \n\n\n   Impact of preferred stock redemption \n\n\n(1,823) \n\n\n— \n\n-100 % \n\n\nNet Income Available to Common Shareholders \n\n$ \n198,716 \n\n$ \n175,758 \n\n13 % \n\n\nBasic Earnings Per Share \n\n$ \n4.46 \n\n$ \n4.07 \n\n10 % \n\n\nDiluted Earnings Per Share \n\n$ \n4.45 \n\n$ \n4.06 \n\n10 % \n\n\nWeighted-Average Shares Outstanding \n\n\n\n\n\n\n\n\n\n\nBasic \n\n\n44,549,432 \n\n\n43,218,125 \n\n\n\n\nDiluted \n\n\n44,696,107 \n\n\n43,317,343 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n(1) Includes $(108) and $0 respectively, related to accumulated other comprehensive earnings reclassifications. \n\n\n\n\n(2) Includes $26 and $0 respectively, related to income tax benefit for reclassification items. \n\n\n\n\n\n\n\n\n\n\n\n\n\nKey Operating Results \n\n\n(Unaudited) \n\n\n($ in thousands, except share data) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nThree Months Ended \n\nChange \n\n\n\n\n\n\nSeptember 30, \n\nJune 30, \n\nSeptember 30, \n\n3Q24 \n\n3Q24 \n\n\n\n\n\n\n2024 \n\n2024 \n\n2023 \n\nvs. 2Q24 \n\nvs. 3Q23 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNoninterest expense \n\n\n$                  61,318 \n\n$                    50,380 \n\n$           42,930 \n\n22 % \n\n43 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet interest income (before provision for credit losses) \n\n\n132,821 \n\n128,119 \n\n117,436 \n\n4 % \n\n13 % \n\n\n\nNoninterest income \n\n\n16,742 \n\n31,351 \n\n36,068 \n\n-47 % \n\n-54 % \n\n\n\nTotal income \n\n\n$                149,563 \n\n$                  159,470 \n\n$         153,504 \n\n-6 % \n\n-3 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nEfficiency ratio \n\n\n41.00 % \n\n31.59 % \n\n27.97 % \n\n941 \nbps \n1,303 \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAverage assets \n\n\n$           18,311,393 \n\n$             17,814,191 \n\n$    16,031,015 \n\n3 % \n\n14 % \n\n\n\nNet income \n\n\n61,273 \n\n76,393 \n\n81,504 \n\n-20 % \n\n-25 % \n\n\n\nReturn on average assets before annualizing \n\n\n0.33 % \n\n0.43 % \n\n0.51 % \n\n\n\n\n\n\n\nAnnualization factor \n\n\n4.00 \n\n4.00 \n\n4.00 \n\n\n\n\n\n\n\nReturn on average assets \n\n\n1.34 % \n\n1.72 % \n\n2.03 % \n\n(38) \nbps \n(69) \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nReturn on average tangible common shareholders' equity (1) \n\n\n14.43 % \n\n19.55 % \n\n26.69 % \n\n(512) \nbps \n(1,226) \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTangible book value per common share (1) \n\n\n$                    32.38 \n\n$                      31.27 \n\n$             25.82 \n\n4 % \n\n25 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTangible common shareholders' equity/tangible assets (1) \n\n\n7.95 % \n\n7.86 % \n\n6.78 % \n\n9 \nbps \n117 \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nConsolidated ratios \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTotal capital/risk-weighted assets(2) \n\n\n12.4 \n% \n12.0 \n% \n11.5 \n% \n\n\n\n\n\nTier I capital/risk-weighted assets(2) \n\n\n11.7 \n% \n11.4 \n% \n10.9 \n% \n\n\n\n\n\nCommon Equity Tier I capital/risk-weighted assets(2) \n\n\n9.0 \n% \n8.7 \n% \n7.6 \n% \n\n\n\n\n\nTier I capital/average assets(2) \n\n\n10.5 \n% \n10.6 \n% \n10.1 \n% \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n(1) Non-GAAP financial measure - see \"Reconciliation of Non-GAAP Measures\" below: \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n(2) As defined by regulatory agencies; September 30, 2024 shown as estimates and prior periods shown as reported.   \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nCertain non-GAAP financial measures provide useful information to management and investors that is supplementary to the Company's financial condition, results of operations and cash flows computed in accordance with GAAP; however, they do have a number of limitations.  As such, the reader should not view these disclosures as a substitute for results determined in accordance with GAAP, and they are not necessarily comparable  to non-GAAP financial measures that other companies use.  A reconciliation of GAAP to non-GAAP financial measures is below.  Net Income Available to Common Shareholders excludes preferred stock.  Tangible common shareholders' equity is calculated by excluding the balance of goodwill and other intangible assets and preferred stock from the calculation of total equity.  Tangible Assets is calculated by excluding the balance of goodwill and intangible assets.  Tangible book value per share is calculated by dividing tangible common shareholders' equity by the number of shares outstanding.      \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nThree Months Ended \n\nChange \n\n\n\n\n\n\nSeptember 30, \n\nJune 30, \n\nSeptember 30, \n\n3Q24 \n\n3Q24 \n\n\n\n\n\n\n2024 \n\n2024 \n\n2023 \n\nvs. 2Q24 \n\nvs. 3Q23 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet income \n\n\n$                  61,273 \n\n$                    76,393 \n\n$           81,504 \n\n-20 % \n\n-25 % \n\n\n\nLess: preferred stock dividends   \n\n\n(7,757) \n\n(7,757) \n\n(8,668) \n\n— \n\n-11 % \n\n\n\nLess: preferred stock redemption \n\n\n- \n\n(1,823) \n\n- \n\n-100 % \n\n— \n\n\n\nNet income available to common shareholders \n\n\n$                  53,516 \n\n$                    66,813 \n\n$           72,836 \n\n-20 % \n\n-27 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAverage shareholders' equity \n\n\n$             1,941,026 \n\n$               1,824,730 \n\n$      1,607,779 \n\n6 % \n\n21 % \n\n\n\nLess: average goodwill & intangibles \n\n\n(8,092) \n\n(8,140) \n\n(16,742) \n\n-1 % \n\n-52 % \n\n\n\nLess: average preferred stock \n\n\n(449,387) \n\n(449,387) \n\n(499,608) \n\n— \n\n-10 % \n\n\n\nAverage tangible common shareholders' equity \n\n\n$             1,483,547 \n\n$               1,367,203 \n\n$      1,091,429 \n\n9 % \n\n36 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAnnualization factor \n\n\n4.00 \n\n4.00 \n\n4.00 \n\n\n\n\n\n\n\nReturn on average tangible common shareholders' equity \n\n\n14.43 % \n\n19.55 % \n\n26.69 % \n\n(512) \nbps \n(1,226) \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTotal equity \n\n\n$             1,939,107 \n\n$               1,888,147 \n\n$      1,632,715 \n\n3 % \n\n19 % \n\n\n\nLess: goodwill and intangibles \n\n\n(8,079) \n\n(8,108) \n\n(16,676) \n\n— \n\n-52 % \n\n\n\nLess: preferred stock \n\n\n(449,387) \n\n(449,387) \n\n(499,608) \n\n— \n\n-10 % \n\n\n\nTangible common shareholders' equity \n\n\n$             1,481,641 \n\n$               1,430,652 \n\n$      1,116,431 \n\n4 % \n\n33 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAssets \n\n\n$           18,652,976 \n\n$             18,212,422 \n\n$    16,495,236 \n\n2 % \n\n13 % \n\n\n\nLess: goodwill and intangibles \n\n\n(8,079) \n\n(8,108) \n\n(16,676) \n\n— \n\n-52 % \n\n\n\nTangible assets \n\n\n$           18,644,897 \n\n$             18,204,314 \n\n$    16,478,560 \n\n2 % \n\n13 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nEnding common shares \n\n\n45,764,023 \n\n45,757,567 \n\n43,240,212 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTangible book value per common share \n\n\n$                    32.38 \n\n$                      31.27 \n\n$             25.82 \n\n4 % \n\n25 % \n\n\n\nTangible common shareholders' equity/tangible assets \n\n\n7.95 % \n\n7.86 % \n\n6.78 % \n\n9 \nbps \n117 \nbps \n\n\n\n\n\n\n\n\nKey Operating Results \n\n\n(Unaudited) \n\n\n($ in thousands, except share data) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNine Months Ended \n\n\n\n\n\n\n\n\nSeptember 30, \n\nSeptember 30, \n\n\n\n\n\n\n\n\n2024 \n\n2023 \n\nChange \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNoninterest expense \n\n\n$         160,610 \n\n$        122,022 \n\n32 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet interest income (before provision for credit losses) \n\n\n387,996 \n\n323,746 \n\n20 % \n\n\n\nNoninterest income \n\n\n88,967 \n\n80,214 \n\n11 % \n\n\n\nTotal income \n\n\n$         476,963 \n\n$        403,960 \n\n18 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nEfficiency ratio \n\n\n33.67 % \n\n30.21 % \n\n346 \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAverage assets \n\n\n$    17,642,004 \n\n$   14,541,523 \n\n21 % \n\n\n\nNet income \n\n\n224,720 \n\n201,761 \n\n11 % \n\n\n\nReturn on average assets before annualizing \n\n\n1.27 % \n\n1.39 % \n\n\n\n\n\nAnnualization factor \n\n\n1.33 \n\n1.33 \n\n\n\n\n\nReturn on average assets \n\n\n1.69 % \n\n1.85 % \n\n(16) \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\nReturn on average tangible common shareholders' equity (1) \n\n\n19.39 % \n\n22.61 % \n\n(322) \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\nTangible book value per common share (1) \n\n\n$             32.38 \n\n$            25.82 \n\n25 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTangible common shareholders' equity/tangible assets (1) \n\n\n7.95 % \n\n6.78 % \n\n117 \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\n(1) Non-GAAP financial measure - see \"Reconciliation of Non-GAAP Measures\" below: \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nCertain non-GAAP financial measures provide useful information to management and investors that is supplementary to the Company's financial condition, results of operations and cash flows computed in accordance with GAAP; however, they do have a number of limitations.  As such, the reader should not view these disclosures as a substitute for results determined in accordance with GAAP, and they are not necessarily comparable  to non-GAAP financial measures that other companies use.  A reconciliation of GAAP to non-GAAP financial measures is below.  Net Income Available to Common Shareholders excludes preferred stock.  Tangible common equity is calculated by excluding the balance of goodwill and other intangible assets and preferred stock from the calculation of total assets.  Tangible Assets is calculated by excluding the balance of goodwill and intangible assets.  Tangible book value per share is calculated by dividing tangible common equity by the number of shares outstanding.      \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNine Months Ended \n\n\n\n\n\n\n\n\nSeptember 30, \n\nSeptember 30, \n\n\n\n\n\n\n\n\n2024 \n\n2023 \n\nChange \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet income \n\n\n$         224,720 \n\n$        201,761 \n\n11 % \n\n\n\nLess: preferred stock dividends   \n\n\n(24,181) \n\n(26,003) \n\n-7 % \n\n\n\nLess: preferred stock redemption \n\n\n(1,823) \n\n- \n\n-100 % \n\n\n\nNet income available to common shareholders \n\n\n$         198,716 \n\n$        175,758 \n\n13 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAverage shareholders' equity \n\n\n$      1,838,182 \n\n$     1,550,196 \n\n19 % \n\n\n\nLess: average goodwill & intangibles \n\n\n(8,906) \n\n(16,859) \n\n-47 % \n\n\n\nLess: average preferred stock \n\n\n(466,066) \n\n(499,608) \n\n-7 % \n\n\n\nAverage tangible common shareholders' equity \n\n\n$      1,363,210 \n\n$     1,033,729 \n\n32 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAnnualization factor \n\n\n1.33 \n\n1.33 \n\n\n\n\n\nReturn on average tangible common shareholders' equity \n\n\n19.39 % \n\n22.61 % \n\n(322) \nbps \n\n\n\n\n\n\n\n\n\n\n\n\n\nTotal equity \n\n\n$      1,939,107 \n\n$     1,632,715 \n\n19 % \n\n\n\nLess: goodwill and intangibles \n\n\n(8,079) \n\n(16,676) \n\n-52 % \n\n\n\nLess: preferred stock \n\n\n(449,387) \n\n(499,608) \n\n-10 % \n\n\n\nTangible common shareholders' equity \n\n\n$      1,481,641 \n\n$     1,116,431 \n\n33 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAssets \n\n\n$    18,652,976 \n\n$   16,495,236 \n\n13 % \n\n\n\nLess: goodwill and intangibles \n\n\n(8,079) \n\n(16,676) \n\n-52 % \n\n\n\nTangible assets \n\n\n$    18,644,897 \n\n$   16,478,560 \n\n13 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\nEnding common shares \n\n\n45,764,023 \n\n43,240,212 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTangible book value per common share \n\n\n$             32.38 \n\n$            25.82 \n\n25 % \n\n\n\nTangible common shareholders' equity/tangible assets \n\n\n7.95 % \n\n6.78 % \n\n117 \nbps \n\n\n\n\n\n\n\n\n\nMerchants Bancorp \n\n\n\nAverage Balance Analysis \n\n\n\n($ in thousands) \n\n\n\n(Unaudited) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nThree Months Ended \n\nThree Months Ended \n\nThree Months Ended \n\n\n\n\nSeptember 30, 2024 \n\nJune 30, 2024 \n\nSeptember 30, 2023 \n\n\n\n\nAverage \n\nYield/ \n\nAverage \n\nYield/ \n\nAverage \n\nYield/ \n\n\n\n\nBalance \nInterest \nRate  \n\nBalance \nInterest \nRate  \n\nBalance \nInterest \nRate  \n\n\n\nAssets: \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nInterest-earning deposits, and other interest or dividends \n$       484,712 \n$     7,671 \n6.30 % \n\n$      438,445 \n$     6,225 \n5.71 % \n\n$        259,630 \n$     3,923 \n5.99 % \n\n\n\nSecurities available for sale \n1,011,146 \n14,855 \n5.84 % \n\n1,039,388 \n14,784 \n5.72 % \n\n656,561 \n6,182 \n3.74 % \n\n\n\nSecurities held to maturity \n1,288,466 \n22,081 \n6.82 % \n\n1,160,170 \n19,799 \n6.86 % \n\n1,040,070 \n17,427 \n6.65 % \n\n\n\nMortgage loans in process of securitization \n308,362 \n4,062 \n5.24 % \n\n234,706 \n3,044 \n5.22 % \n\n208,767 \n2,583 \n4.91 % \n\n\n\nLoans and loans held for sale \n14,603,750 \n290,259 \n7.91 % \n\n14,347,165 \n284,421 \n7.97 % \n\n13,399,854 \n266,561 \n7.89 % \n\n\n\n     Total interest-earning assets \n17,696,436 \n338,928 \n7.62 % \n\n17,219,874 \n328,273 \n7.67 % \n\n15,564,882 \n296,676 \n7.56 % \n\n\n\nAllowance for credit losses on loans \n(81,178) \n\n\n\n(76,456) \n\n\n\n(63,449) \n\n\n\n\n\nNoninterest-earning assets \n696,135 \n\n\n\n670,773 \n\n\n\n529,582 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTotal assets \n$  18,311,393 \n\n\n\n$  17,814,191 \n\n\n\n$    16,031,015 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nLiabilities & Shareholders' Equity: \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nInterest-bearing checking \n$    5,297,908 \n62,603 \n4.70 % \n\n$    4,935,123 \n58,128 \n4.74 % \n\n$     4,882,727 \n58,642 \n4.76 % \n\n\n\nSavings deposits \n145,305 \n17 \n0.05 % \n# \n145,262 \n19 \n0.05 % \n\n241,861 \n340 \n0.56 % \n\n\n\nMoney market  \n2,816,906 \n33,858 \n4.78 % \n# \n2,788,335 \n33,207 \n4.79 % \n\n2,798,325 \n33,235 \n4.71 % \n\n\n\nCertificates of deposit \n5,032,159 \n69,197 \n5.47 % \n# \n6,535,651 \n88,297 \n5.43 % \n\n5,255,573 \n70,689 \n5.34 % \n\n\n\n    Total interest-bearing deposits \n13,292,278 \n165,675 \n4.96 % \n\n14,404,371 \n179,651 \n5.02 % \n\n13,178,486 \n162,906 \n4.90 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nBorrowings \n2,518,405 \n40,432 \n6.39 % \n\n1,031,180 \n20,503 \n8.00 % \n\n711,948 \n16,334 \n9.10 % \n\n\n\n    Total interest-bearing liabilities \n15,810,683 \n206,107 \n5.19 % \n\n15,435,551 \n200,154 \n5.22 % \n\n13,890,434 \n179,240 \n5.12 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNoninterest-bearing deposits \n327,930 \n\n\n\n331,246 \n\n\n\n333,155 \n\n\n\n\n\nNoninterest-bearing liabilities \n231,754 \n\n\n\n222,664 \n\n\n\n199,647 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n    Total liabilities \n16,370,367 \n\n\n\n15,989,461 \n\n\n\n14,423,236 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n    Shareholders' equity \n1,941,026 \n\n\n\n1,824,730 \n\n\n\n1,607,779 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTotal liabilities and shareholders' equity \n$  18,311,393 \n\n\n\n$  17,814,191 \n\n\n\n$    16,031,015 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet interest income \n\n$  132,821 \n\n\n\n$ 128,119 \n\n\n\n$ 117,436 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet interest spread \n\n\n2.43 % \n\n\n\n2.45 % \n\n\n\n2.44 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet interest-earning assets \n$    1,885,753 \n\n\n\n$    1,784,323 \n\n\n\n$     1,674,448 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet interest margin \n\n\n2.99 % \n\n\n\n2.99 % \n\n\n\n2.99 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nAverage interest-earning assets to average interest-bearing liabilities \n\n\n111.93 % \n\n\n\n111.56 % \n\n\n\n112.05 % \n\n\n\n\n\n\n\n\nSupplemental Results \n\n\n(Unaudited) \n\n\n($ in thousands) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNet Income \n\n\nNet Income \n\n\n\n\n\n\n\nThree Months Ended \n\n\nNine Months Ended \n\n\n\n\n\n\n\nSeptember 30, \n\n\nJune 30,  \n\n\nSeptember 30, \n\n\nSeptember 30, \n\n\n\n\n\n\n\n2024 \n\n\n2024 \n\n\n2023 \n\n\n2024 \n\n2023 \n\n\n\nSegment \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nMulti-family Mortgage Banking \n\n\n\n$              8,068 \n\n\n$            9,037 \n\n\n$             14,685 \n\n\n$         33,714 \n\n$         27,893 \n\n\n\nMortgage Warehousing \n\n\n\n15,940 \n\n\n22,270 \n\n\n19,926 \n\n\n58,400 \n\n47,163 \n\n\n\nBanking \n\n\n\n44,983 \n\n\n52,378 \n\n\n52,445 \n\n\n153,786 \n\n144,402 \n\n\n\nOther \n\n\n\n(7,718) \n\n\n(7,292) \n\n\n(5,552) \n\n\n(21,180) \n\n(17,697) \n\n\n\nTotal \n\n\n\n$            61,273 \n\n\n$          76,393 \n\n\n$             81,504 \n\n\n$       224,720 \n\n$       201,761 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nTotal Assets \n\n\n\n\n\n\n\n\n\n\n\n\nSeptember 30, 2024 \n\nJune 30, 2024 \n\nDecember 31, 2023 \n\n\n\n\n\n\n\n\n\n\n\nAmount \n% \n\nAmount \n% \n\nAmount \n% \n\n\n\n\n\n\n\nSegment \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nMulti-family Mortgage Banking \n\n\n\n$          453,281 \n2 % \n\n$        428,299 \n2 % \n\n$           411,097 \n2 % \n\n\n\n\n\n\n\nMortgage Warehousing \n\n\n\n5,842,489 \n31 % \n\n5,626,055 \n31 % \n\n4,522,175 \n27 % \n\n\n\n\n\n\n\nBanking \n\n\n\n12,035,581 \n65 % \n\n11,885,484 \n65 % \n\n11,760,943 \n69 % \n\n\n\n\n\n\n\nOther \n\n\n\n321,625 \n2 % \n\n272,584 \n2 % \n\n258,301 \n2 % \n\n\n\n\n\n\n\nTotal \n\n\n\n$     18,652,976 \n100 % \n\n$   18,212,422 \n100 % \n\n$      16,952,516 \n100 % \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nGain on Sale of Loans \n\n\nGain on Sale of Loans \n\n\n\n\n\n\n\nThree Months Ended \n\n\nNine Months Ended \n\n\n\n\n\n\n\nSeptember 30, \n\n\nJune 30,  \n\n\nSeptember 30, \n\n\nSeptember 30, \n\n\n\n\n\n\n\n2024 \n\n\n2024 \n\n\n2023 \n\n\n2024 \n\n2023 \n\n\n\nLoan Type \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nMulti-family \n\n\n\n$            15,302 \n\n\n$            9,083 \n\n\n$               8,616 \n\n\n$         32,808 \n\n$         23,897 \n\n\n\nSingle-family \n\n\n\n690 \n\n\n524 \n\n\n951 \n\n\n1,494 \n\n1,430 \n\n\n\nSmall Business Association (SBA) \n\n\n\n739 \n\n\n1,561 \n\n\n1,191 \n\n\n2,953 \n\n3,514 \n\n\n\nTotal \n\n\n\n$            16,731 \n\n\n$          11,168 \n\n\n$             10,758 \n\n\n$         37,255 \n\n$         28,841 \n\n\n\n\n\n\n\n\n\nSupplemental Results \n\n\n(Unaudited) \n\n\n($ in thousands) \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nLoans Receivable and Loans Held for Sale \n\n\n\n\n\n\n\n\n\n\n\n\nSeptember 30, \n\n\nJune 30, \n\n\nDecember 31,  \n\n\n\n\n\n\n\n\n\n\n\n\n2024 \n\n\n2024 \n\n\n2023 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nMortgage warehouse repurchase agreements \n\n\n\n$       1,213,429 \n\n\n$     1,369,965 \n\n\n$           752,468 \n\n\n\n\n\n\n\n\nResidential real estate (1) \n\n\n\n1,317,234 \n\n\n1,345,656 \n\n\n1,324,305 \n\n\n\n\n\n\n\n\nMulti-family financing \n\n\n\n4,456,129 \n\n\n4,160,420 \n\n\n4,006,160 \n\n\n\n\n\n\n\n\nHealthcare financing \n\n\n\n1,733,674 \n\n\n2,495,910 \n\n\n2,356,689 \n\n\n\n\n\n\n\n\nCommercial and commercial real estate (2)(3) \n\n\n\n1,548,689 \n\n\n1,566,809 \n\n\n1,643,081 \n\n\n\n\n\n\n\n\nAgricultural production and real estate \n\n\n\n71,391 \n\n\n70,244 \n\n\n103,150 \n\n\n\n\n\n\n\n\nConsumer and margin loans \n\n\n\n5,893 \n\n\n5,213 \n\n\n13,700 \n\n\n\n\n\n\n\n\n\n\n\n\n10,346,439 \n\n\n11,014,217 \n\n\n10,199,553 \n\n\n\n\n\n\n\n\n    Less: Allowance for credit losses on loans \n\n\n\n84,549 \n\n\n81,028 \n\n\n71,752 \n\n\n\n\n\n\n\n\nLoans receivable \n\n\n\n$     10,261,890 \n\n\n$   10,933,189 \n\n\n$      10,127,801 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nLoans held for sale \n\n\n\n3,808,234 \n\n\n3,483,076 \n\n\n3,144,756 \n\n\n\n\n\n\n\n\nTotal loans, net of allowance \n\n\n\n$     14,070,124 \n\n\n$   14,416,265 \n\n\n$      13,272,557 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n(1)     Includes $1.2 billion, $1.2 billion and $1.2 billion of All-In-One © first-lien home equity lines of credit as of September 30, 2024, June 30, 2024 and December 31, 2023, respectively. \n\n\n\n\n\n\n\n\n(2)    Includes $0.9 billion, $1.0 billion and $1.1 billion of revolving  lines of credit collateralized primarily by mortgage servicing rights as of September 30, 2024, June 30, 2024 and December 31, 2023, respectively. \n\n\n\n\n\n\n\n\n(3)     Includes only $19.3 million, $6.8 million and $8.4 million of non-owner occupied commercial real estate as of September 30, 2024, June 30, 2024 and December 31, 2023, respectively.   \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nLoan Credit Risk Profile \n\n\n\n\n\n\n\n\n\n\n\nSeptember 30, 2024 \n\nJune 30, 2024 \n\nDecember 31, 2023 \n\n\n\n\n\n\n\n\n\n\n\nAmount \n% \n\nAmount \n% \n\nAmount \n% \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nPass  \n\n\n\n$       9,707,205 \n93.8 % \n\n$   10,523,378 \n95.6 % \n\n$        9,879,659 \n96.9 % \n\n\n\n\n\n\n\nSpecial mention \n\n\n\n351,407 \n3.4 % \n\n244,000 \n2.2 % \n\n191,267 \n1.9 % \n\n\n\n\n\n\n\nSubstandard \n\n\n\n287,827 \n2.8 % \n\n246,839 \n2.2 % \n\n128,577 \n1.2 % \n\n\n\n\n\n\n\nDoubtful \n\n\n\n— \n— \n\n— \n— \n\n50 \n— \n\n\n\n\n\n\n\nLoans receivable \n\n\n\n$     10,346,439 \n100.0 % \n\n$   11,014,217 \n100.0 % \n\n$      10,199,553 \n100.0 % \n\n\n\n\n\n\n\nCharge-offs (year-to-date) \n\n\n\n$              6,437 \n\n\n$            4,377 \n\n\n$               9,791 \n\n\n\n\n\n\n\n\nRecoveries (year-to-date) \n\n\n\n$                   23 \n\n\n$                 16 \n\n\n$                    41 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNonperforming Loans \n\n\n\n\n\n\n\n\n\n\n\n\nSeptember 30, \n\n\nJune 30,  \n\n\nDecember 31,  \n\n\n\n\n\n\n\n\n\n\n\n\n2024 \n\n\n2024 \n\n\n2023 \n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\nNonaccrual loans \n\n\n\n$          210,811 \n\n\n$        143,319 \n\n\n$             73,847 \n\n\n\n\n\n\n\n\n90 days past due and still accruing \n\n\n\n91 \n\n\n133 \n\n\n8,168 \n\n\n\n\n\n\n\n\nTotal nonperforming loans \n\n\n\n$          210,902 \n\n\n$        143,452 \n\n\n$             82,015 \n\n\n\n\n\n\n\n\nOther real estate owned \n\n\n\n$                 896 \n\n\n— \n\n\n— \n\n\n\n\n\n\n\n\nTotal nonperforming assets \n\n\n\n$          211,798 \n\n\n$        143,452 \n\n\n$             82,015 \n\n\n\n\n\n\n\n\nNonperforming loans to total loans \n\n\n\n2.04 % \n\n\n1.30 % \n\n\n0.80 % \n\n\n\n\n\n\n\n\nNonperforming assets to total assets \n\n\n\n1.14 % \n\n\n0.79 % \n\n\n0.48 % \n\n\n\n\n\n\n\n\n\n\n View original content to download multimedia:https://www.prnewswire.com/news-releases/merchants-bancorp-reports-third-quarter-2024-results-302288889.html\nSOURCE Merchants Bancorp","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; 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