Zions Bancorporation (ZION) Earnings Call Presentation

Financial Performance - Zions' net earnings to common shareholders increased from $143 million in 1Q24 to $190 million in 2Q24[16, 89] - The net interest margin improved by 4 basis points from 294% in 1Q24 to 298% in 2Q24[16, 39, 89] - The efficiency ratio improved from 679% in 1Q24 to 645% in 2Q24[16, 53, 90] - The annualized net charge-offs to loans ratio increased from 004% in 1Q24 to 010% in 2Q24[16, 18, 64, 89] Loan and Deposit Trends - Total loans increased by 05% from the end of 1Q24 to the end of 2Q24[16, 32, 33] - Customer deposits (excluding brokered deposits) decreased by 07% from the end of 1Q24 to the end of 2Q24[16, 22] - Period-end noninterest-bearing demand deposits declined by approximately $400 million, a 16% linked-quarter decrease[25] Capital and Credit Quality - The Common Equity Tier 1 (CET1) capital ratio increased from 104% in 1Q24 to 106% in 2Q24[16, 18, 89] - The allowance for credit losses was 124% of total loans and leases, a decrease of 3 basis points from 1Q24[62] Securities and Investments - The total securities portfolio and money market investments amounted to $196 billion and $32 billion, respectively, at the end of 2Q24[29] - Principal and prepayment-related cash flows from securities were $840 million for the quarter[30] Net Interest Income and Margin Outlook - Net interest income is expected to increase as asset repricing outpaces changes in funding costs[44] - Parallel interest rate shocks of -100 and +100 basis points suggest moderate rate sensitivity between +46% and +77%[45]