First Foundation (US:FFWM)2023-01-26 13:50Company Overview - First Foundation manages $5.0 billion in assets, advises on $13.0 billion in bank assets, and has $1.3 billion in trust assets under advisement[5] - The company operates in five states: California, Texas, Nevada, Hawaii, and Florida, with 31 branch/office locations and 713 employees[18] - The company focuses on commercial banking, wealth management, and trust solutions, targeting business owners, real estate investors, and high-net-worth individuals[6, 8] Loan Portfolio and Growth - The company's loan portfolio is diversified, with 50% in multifamily, 32% in commercial business, 9% in single-family, and 7% in CRE investment loans as of 4Q22[8, 95] - Commercial business originations accounted for 49% of total originations in 2022, representing a 78% increase year-over-year[8, 130] - The company has a strong presence in California, with 71% of total loans concentrated in the state as of 4Q22[9] Deposit Base and Funding - Core deposits account for 87% of the company's total deposits, with 72% of the core deposit base made up of commercial business deposits as of 4Q22[8] - Non-interest-bearing accounts represent 26% of the company's deposit base as of 4Q22[8] - The company's digital deposit channel has $789 million in balances as of December 31, 2022, reaching a new, younger client audience[185] Financial Performance - The company reported a return on average assets (ROAA) of 0.96% and a return on average tangible common equity (ROATCE) of 13.0% in 2022[8] - The company's efficiency ratio was 58.6% in 2022[8] - In 2022, 14% of total revenue was derived from recurring noninterest income[8, 212]