Eastern Bankshares, Inc. (NASDAQ:EBC) Q4 2023 Earnings Conference Call January 26, 2024 9:00 AM ET Company Participants Bob Rivers - Chairman and Chief Executive Officer Jim Fitzgerald - Chief Financial Officer, Chief Administrative Officer and Treasurer Conference Call Participants Mark Fitzgibbon - Piper Sandler Laurie Hunsicker - Seaport Research Partners Damon DelMonte - KBW Operator Hello, and welcome to Eastern Bankshares Inc. Fourth Quarter 2023 Earnings Conference Call. Today's call will include for ...

REIT (C&I) $194 Asset Based Lending CRE C&I Security Alarm Other $243 $97 $109 $60 Geographic location | --- | --- | --- | |------------------------------------|---------|---------------------------| | State | Balance | Percent of SNC Portfolio | | Massachusetts | | $ 355.0 50.5 % | | Connecticut 58.6 8.3 % | | | | Pensylvania 31.4 4.5 % | | | | Colorado 44.4 6.3 % | | | | New York 43.7 6.2 % | | | | All Other States (10) 169.7 24.2 % | | | | Total | | $ 702.8 100.0 % | Loan composition • Shared National Cr ...

Eastern Bankshares, Inc. (EBC) reported $160.05 million in revenue for the quarter ended December 2023, representing a year-over-year decline of 17.7%. EPS of $0.10 for the same period compares to $0.31 a year ago.The reported revenue compares to the Zacks Consensus Estimate of $153.53 million, representing a surprise of +4.24%. The company delivered an EPS surprise of -52.38%, with the consensus EPS estimate being $0.21.While investors closely watch year-over-year changes in headline numbers -- revenue and ...

Eastern Bankshares, Inc. (EBC) came out with quarterly earnings of $0.10 per share, missing the Zacks Consensus Estimate of $0.21 per share. This compares to earnings of $0.31 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -52.38%. A quarter ago, it was expected that this company would post earnings of $0.29 per share when it actually produced earnings of $0.32, delivering a surprise of 10.34%.Over the last four quarters, the ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-39610 ___________________________ Eastern Bankshares, Inc. (Exact name of the registrant as specified in its charter) ___________________________ Massachusetts 84-4199750 (State or Other Jurisdiction of Incorporation or Organization) (I.R.S. Employer Identification Number) _____________________________________________ FO ...

Eastern Bankshares Inc (NASDAQ:EBC) Q3 2023 Results Conference Call October 27, 2023 9:00 AM ET Company Participants Bob Rivers - Chairman and CEO Jim Fitzgerald - CFO, Chief Administrative Officer and Treasurer Conference Call Participants Mark Fitzgibbon - Piper Sandler Damon DelMonte - KBW Laurie Hunsicker - Spark Research Partners Operator Hello, and welcome to Eastern Bankshares Inc Third Quarter 2023 Earnings Conference Call. Today's call will include forward-looking statements, including statements a ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________________________________ FORM 10-Q _____________________________________________ (Mark one) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2023 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File Number 001-39610 ___________________________ Eastern Bankshares, Inc. (Exact name ...

Eastern Bankshares, Inc. (NASDAQ:EBC) Q2 2023 Earnings Conference Call July 28, 2023 9:00 AM ET Company Participants Bob Rivers - Chair of the Board & Chief Executive Officer Jim Fitzgerald - Chief Administrative Officer, Chief Financial Officer & Treasurer-Eastern Bankshares, Inc.; Vice Chair, Chief Administrative Officer & Chief Financial Officer, Eastern Bank Conference Call Participants Damon DelMonte - KBW Mark Fitzgibbon - Piper Sandler Janet Lee - JPMorgan Operator Hello, and welcome to the Eastern B ...

Body text 074 / 075 / 076030 / 152 / 213 Q2 Earnings Presentation July 27 | 2023 Body text 074 / 075 / 076030 / 152 / 213 On the call 2 Q2 2023 financial highlights | --- | --- | --- | |-------------------------------------------|------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | Key Metrics | Highlights | | $48 ...

PART I. FINANCIAL INFORMATION [Financial Statements](index=3&type=section&id=Item%201.%20Financial%20Statements) Q1 2023 unaudited consolidated financial statements show a $194.1 million net loss, driven by a $333.2 million loss on securities sales, contrasting with $51.5 million net income in Q1 2022 [Unaudited Consolidated Balance Sheets](index=4&type=section&id=Unaudited%20Consolidated%20Balance%20Sheets) As of March 31, 2023, total assets remained stable at $22.72 billion, with a significant shift from securities to cash, while deposits decreased and borrowed funds increased Consolidated Balance Sheet Highlights (In thousands) | Account | March 31, 2023 | December 31, 2022 | | :--- | :--- | :--- | | **Total Assets** | **$22,720,530** | **$22,646,858** | | Cash and cash equivalents | $2,137,816 | $169,505 | | Total securities | $5,171,319 | $7,167,425 | | Net loans | $13,520,715 | $13,420,317 | | Goodwill and other intangibles, net | $660,165 | $661,126 | | **Total Liabilities** | **$20,141,407** | **$20,175,068** | | Total deposits | $18,541,580 | $18,974,359 | | Total borrowed funds | $1,138,403 | $740,828 | | **Total Shareholders' Equity** | **$2,579,123** | **$2,471,790** | [Unaudited Consolidated Statements of Income](index=5&type=section&id=Unaudited%20Consolidated%20Statements%20of%20Income) Q1 2023 saw a net loss of $194.1 million, or ($1.20) per diluted share, primarily due to a $333.2 million loss on securities sales, despite increased net interest income Consolidated Income Statement Highlights (In thousands, except per share data) | Account | Three Months Ended March 31, 2023 | Three Months Ended March 31, 2022 | | :--- | :--- | :--- | | Net interest income | $138,309 | $128,124 | | Provision for (release of) allowance for loan losses | $25 | $(485) | | Total noninterest (loss) income | $(278,330) | $46,415 | | *Losses on sales of securities available for sale, net* | *$(333,170)* | *$(2,172)* | | Total noninterest expense | $116,294 | $108,866 | | (Loss) income before income tax | $(256,340) | $66,158 | | **Net (loss) income** | **$(194,096)** | **$51,516** | | **Diluted (loss) earnings per share** | **$(1.20)** | **$0.30** | [Notes to Unaudited Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Unaudited%20Consolidated%20Financial%20Statements) Notes detail accounting policy changes, significant unrealized losses in securities, a $333.2 million realized loss from AFS sales, and stable loan portfolio credit quality - The company adopted ASU 2022-02 on January 1, 2023, which eliminated the accounting guidance for Troubled Debt Restructurings (TDRs) and enhanced disclosure requirements for loan modifications to borrowers experiencing financial difficulty[35](index=35&type=chunk)[36](index=36&type=chunk)[37](index=37&type=chunk) - In March 2023, the company pledged securities with a carrying value of **$2.6 billion** to the Federal Reserve's new Bank Term Funding Program (BTFP) to enhance liquidity[51](index=51&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=54&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the Q1 2023 net loss to a strategic balance sheet repositioning, improving liquidity and future earnings, while operating net income increased and capital ratios remained strong - The net loss of **$194.1 million** was primarily due to the sale of available-for-sale securities at a loss as part of a balance sheet repositioning completed in March 2023[256](index=256&type=chunk) - Operating net income (a non-GAAP measure) for Q1 2023 was **$61.1 million**, an increase of **10.9%** from **$55.1 million** in Q1 2022, primarily due to higher net interest income[256](index=256&type=chunk) - The company enhanced its liquidity position by selling **$1.9 billion** of AFS securities. As of March 31, 2023, total liquidity sources of **$7.1 billion** provided **107% coverage** of all customer uninsured and uncollateralized deposits[276](index=276&type=chunk)[277](index=277&type=chunk) [Financial Position](index=65&type=section&id=Financial%20Position) Total assets remained stable at $22.7 billion, with a shift from securities to cash, modest loan growth, and a decrease in total deposits to $18.5 billion Loan Portfolio Composition (In thousands) | Loan Category | March 31, 2023 | December 31, 2022 | | :--- | :--- | :--- | | Commercial and industrial | $3,169,438 | $3,150,946 | | Commercial real estate | $5,201,196 | $5,155,323 | | Residential real estate | $2,497,491 | $2,460,849 | | Consumer home equity | $1,180,824 | $1,187,547 | | Other Portfolios | $1,626,301 | $1,620,866 | | **Total loans** | **$13,675,250** | **$13,575,531** | - Non-performing loans (NPLs) decreased to **$34.6 million** (**0.25%** of total loans) at March 31, 2023, from **$38.6 million** (**0.28%** of total loans) at December 31, 2022[316](index=316&type=chunk) - Total deposits decreased by **$432.8 million**, or **2.3%**, to **$18.5 billion**. The company's estimate of uninsured and uncollateralized deposits was **$6.7 billion**, or **36%** of total deposits[350](index=350&type=chunk)[351](index=351&type=chunk) [Results of Operations](index=75&type=section&id=Results%20of%20Operations) Q1 2023 results show a **$194.1 million** net loss, primarily due to a **$333.2 million** loss on securities sales, despite a **7.9%** increase in net interest income and expanded net interest margin Results of Operations Summary (In thousands) | Account | Three Months Ended March 31, 2023 | Three Months Ended March 31, 2022 | | :--- | :--- | :--- | | Net interest income | $138,309 | $128,124 | | Provision for (release of) allowance for loan losses | $25 | $(485) | | Noninterest (loss) income | $(278,330) | $46,415 | | Noninterest expense | $116,294 | $108,866 | | **Net (loss) income** | **$(194,096)** | **$51,516** | - Net interest margin (FTE) increased by **24 basis points** to **2.66%** in Q1 2023 from **2.42%** in Q1 2022, driven by higher yields on interest-earning assets[367](index=367&type=chunk) - Noninterest income decreased by **$324.7 million**, primarily due to a **$331.0 million** increase in losses on sales of available-for-sale securities from the balance sheet repositioning[380](index=380&type=chunk) [Management of Market Risk](index=85&type=section&id=Management%20of%20Market%20Risk) The company's interest rate sensitivity improved, with a +200 basis point shock now estimated to decrease net interest income by **0.9%** over 12 months, down from **4.2%** Net Interest Income Sensitivity Analysis (Year 1) | Change in Interest Rates (bps) | % Change from Level (as of Mar 31, 2023) | % Change from Level (as of Dec 31, 2022) | | :--- | :--- | :--- | | +400 | (1.8)% | (8.4)% | | +200 | (0.9)% | (4.2)% | | -100 | 0.0% | 1.6% | | -200 | (1.8)% | 1.8% | [Liquidity, Capital Resources, Contractual Obligations, Commitments and Contingencies](index=87&type=section&id=Liquidity,%20Capital%20Resources,%20Contractual%20Obligations,%20Commitments%20and%20Contingencies) The company significantly bolstered liquidity to **$7.1 billion**, covering **107%** of uninsured deposits, and remains well-capitalized despite capital ratio decreases from AFS sales - Total liquidity sources were **$7.1 billion** as of March 31, 2023, comprising **$2.1 billion** in cash and **$5.0 billion** in secured borrowing capacity[415](index=415&type=chunk) - The company's liquidity sources provided **107% coverage** of all customer uninsured and uncollateralized deposits, which totaled **$6.7 billion** as of March 31, 2023[415](index=415&type=chunk) Regulatory Capital Ratios | Capital Ratio | March 31, 2023 | December 31, 2022 | | :--- | :--- | :--- | | Common equity Tier 1 capital | 15.80% | 16.94% | | Tier 1 capital | 15.80% | 16.94% | | Total regulatory capital | 16.76% | 17.89% | | Tier 1 leverage | 11.09% | 12.03% | [Quantitative and Qualitative Disclosures about Market Risk](index=90&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) This section refers to the 'Management of Market Risk' discussion in Item 2, detailing the company's interest rate risk exposure and measurement models - The required disclosures about market risk are provided in Part I, Item 2 under the heading 'Management of Market Risk'[428](index=428&type=chunk) [Controls and Procedures](index=90&type=section&id=Item%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that disclosure controls and procedures were effective as of March 31, 2023, with no material changes to internal controls - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of the end of the period covered by this report (March 31, 2023)[428](index=428&type=chunk) - No changes in internal controls over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, these controls[429](index=429&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=90&type=section&id=Item%201.%20Legal%20Proceedings) The company is not involved in any pending legal proceedings expected to materially affect its financial condition or operations - As of the report date, the company is not involved in any pending legal proceeding expected to be material to its financial condition or operations[432](index=432&type=chunk) [Risk Factors](index=91&type=section&id=Item%201A.%20Risk%20Factors) No material changes have occurred to the risk factors previously disclosed in the company's 2022 Annual Report on Form 10-K - The company's risk factors have not changed materially from those disclosed in its 2022 Form 10-K[434](index=434&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=91&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - None reported[435](index=435&type=chunk) [Exhibits](index=92&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Form 10-Q, including CEO and CFO certifications and interactive data files - The report includes required certifications from the CEO and CFO (Exhibits 31.1, 31.2, 32.1, 32.2) and interactive data files (Exhibit 101)[442](index=442&type=chunk)