Financial Performance - Net income for the three months ended June 30, 2024, was $28,916 thousand, a decrease of 35.6% from $44,880 thousand in the same period of 2023[10]. - Earnings per common share (diluted) for the three months ended June 30, 2024, was $0.44, down from $0.71 in the same period of 2023[10]. - Comprehensive income for the three months ended June 30, 2024, was $28,630 thousand, compared to $14,652 thousand in 2023, indicating a significant increase[11]. - Net income available to common shareholders for Q2 2024 was $26.385 million, a decrease of 37.8% from $42.349 million in Q2 2023[33]. - For the six months ended June 30, 2024, net income available to common shareholders was $59.546 million, a decrease of 27.5% from $82.158 million in the same period of 2023[33]. Asset and Loan Growth - Total assets increased to $18,128,375 thousand as of June 30, 2024, compared to $17,712,374 thousand at December 31, 2023, reflecting a growth of approximately 2.34%[8]. - Net portfolio loans reached $12,121,002 thousand as of June 30, 2024, an increase from $11,507,786 thousand at December 31, 2023, representing a growth of about 5.3%[8]. - Total loans amounted to $12,282,944 thousand, an increase from $11,654,815 thousand at December 31, 2023, representing a growth of approximately 5.4%[48]. - The total portfolio loans increased to $12,257,511 thousand at June 30, 2024, compared to $11,638,461 thousand at December 31, 2023, indicating a growth of about 5.3%[48]. - Total deposits increased to $13,432,373 thousand as of June 30, 2024, compared to $13,168,704 thousand at December 31, 2023, marking a growth of approximately 2%[8]. Credit Losses and Provisions - Provision for credit losses increased to $10,541 thousand for the three months ended June 30, 2024, compared to $3,028 thousand in the same period of 2023, indicating a significant rise in credit risk[10]. - The total allowance for credit losses on loans and loan commitments increased to $145.703 million as of June 30, 2024, up from $139.279 million at the end of 2023, representing a growth of approximately 4.1%[51]. - The provision for loan losses for the six months ended June 30, 2024, was $13.991 million, compared to a provision of $4.876 million for the same period in 2023, indicating a significant increase[51]. - The net charge-offs for the first half of 2024 amounted to $8.157 million, compared to $2.500 million for the same period in 2023, reflecting a rise of approximately 226.3%[51]. - The allowance for credit losses on loans increased to $136.509 million as of June 30, 2024, from $130.290 million at the end of June 2023, marking an increase of about 4.5%[51]. Non-Interest Income and Expenses - Non-interest income totaled $31,355 thousand for the three months ended June 30, 2024, slightly down from $31,841 thousand in 2023[10]. - Total non-interest income of $61.984 million for the six months ended June 30, 2024, compared to $59.493 million for the same period in 2023, indicating an increase of 4.2%[130]. - Total non-interest expense increased to $102,392 thousand for the three months ended June 30, 2024, compared to $96,437 thousand in 2023, reflecting a rise of approximately 6.5%[10]. - Non-interest expense for the six months ended June 30, 2024, was $199.585 million, up from $192.560 million for the same period in 2023, representing an increase of 3.1%[130]. - The total service charges on deposits for the three months ended June 30, 2024, were $7.111 million, up from $6.232 million in 2023[121]. Securities and Investments - As of June 30, 2024, total available-for-sale debt securities amounted to $2.42 billion, with a fair value of $2.10 billion, reflecting unrealized losses of $318.76 million[37]. - The total debt securities held by the company reached $3.60 billion, with a fair value of $3.13 billion, resulting in total unrealized losses of $470.12 million[41]. - The fair value of available-for-sale debt securities with unrealized losses totaled $2,029,469 thousand as of June 30, 2024, with unrealized losses amounting to $318,759 thousand[45]. - The company holds no crypto assets, thus the amendments regarding crypto asset accounting are not expected to impact its financial statements[23]. - The company reported net securities gains of $672,000 for the six months ended June 30, 2024, compared to $350,000 for the same period in 2023[43]. Mergers and Acquisitions - The company entered into a definitive Agreement and Plan of Merger with Premier Financial Corp. on July 25, 2024, which will result in Premier Financial merging into Wesbanco, Inc.[132]. - The merger agreement stipulates that Premier Financial shareholders will receive 0.80 shares of Wesbanco's common stock for each share of Premier Financial's common stock[133]. - The company expects to receive approximately $200 million in gross proceeds from a private placement of 7,272,728 shares at $27.50 per share, closing on August 1, 2024[139]. Economic and Market Conditions - The primary macroeconomic drivers for the allowance model included a projected national unemployment rate of 4.4% at quarter-end, expected to rise to an average of 4.8% over the forecast period[49]. - The effective tax rate for the first half of 2024 was 17.6%, a slight decrease from 17.9% in the first half of 2023[153]. - The company operates through 192 branches and 182 ATM machines across multiple states, significantly impacted by economic factors such as market interest rates and regional economic conditions[143].
WESBANCO REPSTG(WSBCP) - 2024 Q2 - Quarterly Report