8-K
Amerant Bancorp Inc. (AMTB)
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): April 23, 2025
Amerant Bancorp Inc.
(Exact name of registrant as specified in its charter)
| Florida | 001-38534 | 65-0032379 | |||
|---|---|---|---|---|---|
| (State or other jurisdiction<br>of incorporation | (Commission<br>file number) | (IRS Employer<br>Identification Number) | 220 Alhambra Circle | ||
| --- | --- | ||||
| Coral Gables, Florida | 33134 | ||||
| (Address of principal executive offices) | (Zip Code) | ||||
| (305) 460-8728<br><br>(Registrant's telephone number, including area code) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| ☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading Symbols | Name of exchange on which registered |
|---|---|---|
| Class A Common Stock | AMTB | New York Stock Exchange |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
| Emerging growth company | ☐ |
|---|
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
Item 2.02 Results of Operations and Financial Condition
On April 23, 2025, Amerant Bancorp Inc. (the "Company") issued a press release to report the Company’s financial results for the fiscal quarter ended March 31, 2025. The release is attached as Exhibit 99.1 to this Current Report on Form 8-K and incorporated by reference to this Item 2.02.
In accordance with General Instruction B.2. of Form 8-K, the information in this Item 2.02 of this Current Report on Form 8-K, including Exhibit 99.1 attached hereto, is being “furnished” and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as shall be expressly set forth by specific reference in such filing.
Item 7.01 Regulation FD Disclosure
On April 24, 2025, the Company will hold a live audio webcast to discuss its financial results for the fiscal quarter ended March 31, 2025. In connection with the webcast, the Company is furnishing to the U.S. Securities and Exchange Commission the earnings slide presentation attached as Exhibit 99.2 to this Current Report on Form 8-K and incorporated by reference to this Item 7.01.
In accordance with General Instruction B.2 of Form 8-K, the information in this Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.2 attached hereto, is being “furnished” and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Securities Exchange Act of 1934, as amended, except as shall be expressly set forth by specific reference in such a filing.
Item 8.01 Other Events.
On April 23, 2025, the Company announced that, on April 23, 2025, its Board of Directors declared a cash dividend of $0.09 per share of common stock. The dividend is payable on May 30, 2025, to shareholders of record at the close of business on May 15, 2025. A copy of the press release is attached hereto as Exhibit 99.3 and is incorporated herein by reference..
Item 9.01 Financial Statements and Exhibits
| Number | Exhibit |
|---|---|
| 99.1 | Press Release of Amerant Bancorp Inc., dated April 23, 2025 |
| 99.2 | Earnings slide presentation of Amerant Bancorp Inc., datedApril24, 2025 |
| 99.3 | Press Release of Amerant Bancorp Inc., dated April 23, 2025 |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Date: April 23, 2025 | Amerant Bancorp Inc. | |
|---|---|---|
| By: | /s/ Julio V. Pena | |
| Name: Julio V. Pena | ||
| Title: Executive Vice President, <br>Associate General Counsel and Corporate Secretary |
Document
| CONTACTS: |
|---|
| Investors |
| Laura Rossi |
| InvestorRelations@amerantbank.com |
| (305) 460-8728 |
| Media |
| Alexis Dominguez |
| MediaRelations@amerantbank.com |
| (305) 441-8412 |
AMERANT REPORTS FIRST QUARTER 2025 RESULTS
Board of Directors Declares Quarterly Cash Dividend of $0.09 per Common Share
CORAL GABLES, FLORIDA, April 23, 2025. Amerant Bancorp Inc. (NYSE: AMTB) (the “Company” or “Amerant”) today reported a net income attributable to the Company of $12.0 million in the first quarter of 2025, or $0.28 income per diluted share, compared to net income of $16.9 million, or $0.40 income per diluted share, in the fourth quarter of 2024.
“Our results for the first quarter showed solid deposit growth as well as strong pre-provision net revenue, as net interest income and net interest margin were higher than expected. In addition, we exercised prudent expense management, even while continuing to execute on our strategy to add new locations and business development and risk management team members” stated Jerry Plush, Chairman and CEO. “However, loans were relatively flat quarter over quarter, as a result of increased payoffs and paydowns offsetting production in the first quarter. While loan demand going into the second quarter remains strong, borrowers may take a cautious approach given recent market volatility and uncertainty.”
•Total assets were $10.2 billion, an increase of $268.0 million, or 2.7%, compared to $9.9 billion in 4Q24.
•Total gross loans were $7.2 billion, a decrease of $52.2 million, or 0.7%, compared to $7.3 billion in 4Q24.
•Cash and cash equivalents were $648.4 million, up $58.0 million, or 9.8%, compared to $590.4 million in 4Q24.
•Total deposits were $8.2 billion, up $300.4 million, or 3.8%, compared to $7.9 billion in 4Q24. Core deposits were $6.0 billion, up $372.9 million, or 6.6%, compared to $5.6 billion in 4Q24.
•Total advances from the Federal Home Loan Bank (“FHLB”) were $715.0 million, down $30.0 million, or 4.0%, compared to $745.0 million in 4Q24. The Bank had an aggregate borrowing capacity of $3.0 billion from the FED or FHLB as of March 31, 2025.
•Net Interest Margin (“NIM”) was 3.75%, unchanged from 4Q24.
•Average yield on loans was 6.84%, compared to 7.00% at 4Q24.
•Average cost of total deposits was 2.60%, compared to 2.77% in 4Q24.
•Loan to deposit ratio was 88.5%, compared to 92.6% in 4Q24.
•Total non-performing assets were $140.8 million, up $18.6 million, or 15.2%, compared to $122.2 million as of 4Q24. As of 1Q25, non-performing assets consist of $123.2 million in non-performing loans and $17.5 million in real estate owned. Non-performing loans increased by $19.1 million from $104.1 million as of 4Q24, while classified loans increased from $166.5 million as of 4Q24 to $206.1 million as of 1Q25. The Company has provided additional details regarding asset quality in the 1Q25 earnings presentation (https://investor.amerantbank.com).
•The allowance for credit losses ("ACL") was $98.3 million, an increase of $13.3 million, or 15.7%, compared to $85.0 million as of 4Q24. The increase in the ACL was attributable to the macroeconomic environment and the addition of specific reserves for several commercial credits based on receipt of 2024 year end financials for these borrowers.
•Assets Under Management and custody (“AUM”) totaled $2.93 billion, up $42.6 million, 1.5% from $2.89 billion in 4Q24.
•Pre-provision net revenue (“PPNR”)(1) was $33.9 million, an increase of $5.9 million, or 21.3%, compared to PPNR of $27.9 million in 4Q24.
•Net Interest Income (“NII”) was $85.9 million, down $1.7 million, or 2.0%, from $87.6 million in 4Q24.
•Provision for credit losses was $18.4 million, up $8.5 million, or 86.1% compared to $9.9 million in 4Q24.
•Non-interest income was $19.5 million, a decrease of $4.2 million, or 17.6% from $23.7 million in 4Q24.
•Non-interest expense was $71.6 million, down $11.8 million, or 14.2% from $83.4 million in 4Q24.
•The efficiency ratio was 67.9%, compared to 74.9% in 4Q24.
•Return on average assets (“ROA”) was 0.48%, compared to 0.67% in 4Q24.
•Return on average equity (“ROE”) was 5.32%, compared to 7.38% in 4Q24.
•On April 23, 2025, the Company’s Board of Directors declared a cash dividend of $0.09 per share of common stock. The dividend is payable on May 30, 2025, to shareholders of record on May 15, 2025.
In tomorrow’s earnings call, the Company will also provide an update on its decision to scale back its residential mortgage operations from a national origination platform to a Florida-focused business model.
Additional details on the first quarter 2025 results can be found in the Exhibits and Glossary of Terms and Definitions to this earnings release, and the earnings presentation available under the Investor Relations section of the Company’s website at https://investor.amerantbank.com. See Glossary of Terms and Definitions for definitions of financial terms.
1 Non-GAAP measure, see “Non-GAAP Financial Measures” for more information and Exhibit 2 for a reconciliation to GAAP measures.
First Quarter 2025 Earnings Conference Call
The Company will hold an earnings conference call on Thursday, April 24, 2025 at 8:30 a.m. (Eastern Time) to discuss its first quarter 2025 results. The conference call and presentation materials can be accessed via webcast by logging on from the Investor Relations section of the Company’s website at https://investor.amerantbank.com. The online replay will remain available for approximately one month following the call through the above link.
About Amerant Bancorp Inc. (NYSE: AMTB)
Amerant Bancorp Inc. is a bank holding company headquartered in Coral Gables, Florida since 1979. The Company operates through its main subsidiary, Amerant Bank, N.A. (the “Bank”), as well as its other subsidiaries: Amerant Investments, Inc., and Amerant Mortgage, LLC. The Company provides individuals and businesses with deposit, credit and wealth management services. The Bank, which has operated for over 40 years, is headquartered in Florida and operates 20 banking centers – 19 in South Florida and 1 in Tampa, Florida. For more information, visit investor.amerantbank.com.
Cautionary Notice Regarding Forward-Looking Statements
This press release contains “forward-looking statements” including statements with respect to the Company’s objectives, expectations and intentions and other statements that are not historical facts. Examples of forward-looking statements include but are not limited to: our future operating or financial performance, including revenues, expenses, expense savings, income or loss and earnings or loss per share, and other financial items; statements regarding expectations, plans or objectives for future operations, products or services, and our expectations on our investment portfolio repositioning and loan recoveries or reaching positive resolutions on problem loans. All statements other than statements of historical fact are statements that could be forward-looking statements. You can identify these forward-looking statements through our use of words such as “may,” “will,” “anticipate,” “assume,” “should,” “indicate,” “would,” “believe,” “contemplate,” “expect,” “estimate,” “continue,” “plan,” “point to,” “project,” “could,” “intend,” “target,” “goals,” “outlooks,” “modeled,” “dedicated,” “create,” and other similar words and expressions of the future.
Forward-looking statements, including those relating to our beliefs, plans, objectives, goals, expectations, anticipations, estimates and intentions, involve known and unknown risks, uncertainties and other factors, which may be beyond our control, and which may cause the Company’s actual results, performance, achievements, or financial condition to be materially
different from future results, performance, achievements, or financial condition expressed or implied by such forward-looking statements. You should not rely on any forward-looking statements as predictions of future events. You should not expect us to update any forward-looking statements, except as required by law. All written or oral forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary notice, together with those risks and uncertainties described in “Risk factors” in our annual report on Form 10-K for the fiscal year ended December 31, 2024 filed on March 5, 2025, and in our other filings with the U.S. Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website www.sec.gov.
Interim Financial Information
Unaudited financial information as of and for interim periods, including the three month periods ended March 31, 2025, December 31, 2024 and March 31, 2024 may not reflect our results of operations for our fiscal year ending, or financial condition, as of December 31, 2025, or any other period of time or date.
Non-GAAP Financial Measures
The Company supplements its financial results that are determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”) with non-GAAP financial measures, such as “pre-provision net revenue (PPNR)”, “core pre-provision net revenue (Core PPNR)”, “core noninterest income”, “core noninterest expense”, “core net income”, “core earnings per share (basic and diluted)”, “core return on assets (Core ROA)”, “core return on equity (Core ROE)”, “core efficiency ratio”, “tangible stockholders’ equity (book value) per common share”, “tangible common equity ratio, adjusted for net unrealized accumulated losses on debt securities held to maturity”, and “tangible stockholders' equity (book value) per common share, adjusted for net unrealized accumulated losses on debt securities held to maturity”. This supplemental information is not required by, or is not presented in accordance with GAAP. The Company refers to these financial measures and ratios as “non-GAAP financial measures”.
We use certain non-GAAP financial measures, including those mentioned above, both to explain our results to shareholders and the investment community and in the internal evaluation and management of our business. Management believes that these supplementary non-GAAP financial measures and the information they provide are useful to investors since these measures permit investors to view our performance using the same tools that our management uses to evaluate our past performance and prospects for future performance. While we believe that these non-GAAP financial measures are useful in evaluating our performance, this information should be considered as supplemental and not as a substitute for or superior to the related financial information prepared in accordance with GAAP. Additionally, these non-GAAP financial measures may differ from similar measures presented by other companies.
Exhibit 2 reconciles these non-GAAP financial measures to GAAP reported results.
Exhibit 1- Selected Financial Information
The following table sets forth selected financial information derived from our interim unaudited and annual audited consolidated financial statements.
| (in thousands) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Consolidated Balance Sheets | (audited) | |||||||||
| Total assets | $ | 10,169,688 | $ | 9,901,734 | $ | 10,353,127 | $ | 9,747,738 | $ | 9,817,772 |
| Total investments | 1,761,678 | 1,497,925 | 1,542,544 | 1,547,864 | 1,578,568 | |||||
| Total gross loans (1)(2) | 7,219,162 | 7,271,322 | 7,561,963 | 7,322,911 | 7,006,383 | |||||
| Allowance for credit losses | 98,266 | 84,963 | 79,890 | 94,400 | 96,050 | |||||
| Total deposits | 8,154,978 | 7,854,595 | 8,110,944 | 7,816,011 | 7,878,243 | |||||
| Core deposits (1) | 5,993,055 | 5,620,150 | 5,707,366 | 5,505,349 | 5,633,165 | |||||
| Advances from the Federal Home Loan Bank | 715,000 | 745,000 | 915,000 | 765,000 | 715,000 | |||||
| Senior notes (3) | 59,922 | 59,843 | 59,764 | 59,685 | 59,605 | |||||
| Subordinated notes | 29,667 | 29,624 | 29,582 | 29,539 | 29,497 | |||||
| Junior subordinated debentures | 64,178 | 64,178 | 64,178 | 64,178 | 64,178 | |||||
| Stockholders' equity (4)(5)(6) | 906,263 | 890,467 | 902,888 | 734,342 | 738,085 | |||||
| Assets under management and custody (1) | 2,932,602 | 2,890,048 | 2,550,541 | 2,451,854 | 2,357,621 | |||||
| Three Months Ended | ||||||||||
| --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- |
| (in thousands, except percentages, share data and per share amounts) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||
| Consolidated Results of Operations | ||||||||||
| Net interest income | $ | 85,904 | $ | 87,635 | $ | 80,999 | $ | 79,355 | $ | 77,968 |
| Provision for credit losses (7) | 18,446 | 9,910 | 19,000 | 19,150 | 12,400 | |||||
| Noninterest income (loss) | 19,525 | 23,684 | (47,683) | 19,420 | 14,488 | |||||
| Noninterest expense | 71,554 | 83,386 | 76,208 | 73,302 | 66,594 | |||||
| Net income (loss) attributable to Amerant Bancorp Inc. | 11,958 | 16,881 | (48,164) | 4,963 | 10,568 | |||||
| Effective income tax rate | 22.50% | 6.34% | 22.18% | 21.51% | 21.50% | |||||
| Common Share Data | ||||||||||
| Stockholders' book value per common share | $ | 21.60 | $ | 21.14 | $ | 21.44 | $ | 21.88 | $ | 21.90 |
| Tangible stockholders' equity (book value) per common share (8) | $ | 21.03 | $ | 20.56 | $ | 20.87 | $ | 21.15 | $ | 21.16 |
| Tangible stockholders' equity (book value) per common share, adjusted for net unrealized accumulated losses on debt securities held to maturity (8) | $ | 21.03 | $ | 20.56 | $ | 20.87 | $ | 20.54 | $ | 20.60 |
| Basic earnings (loss) per common share | $ | 0.28 | $ | 0.40 | $ | (1.43) | $ | 0.15 | $ | 0.32 |
| Diluted earnings (loss) per common share (9) | $ | 0.28 | $ | 0.40 | $ | (1.43) | $ | 0.15 | $ | 0.31 |
| Basic weighted average shares outstanding | 42,015,507 | 42,069,098 | 33,784,999 | 33,581,604 | 33,538,069 | |||||
| Diluted weighted average shares outstanding (9) | 42,186,759 | 42,273,778 | 33,784,999 | 33,780,666 | 33,821,562 | |||||
| Cash dividend declared per common share (5) | $ | 0.09 | $ | 0.09 | $ | 0.09 | $ | 0.09 | $ | 0.09 |
| Three Months Ended | |||||||||
|---|---|---|---|---|---|---|---|---|---|
| March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||
| Other Financial and Operating Data (12) | |||||||||
| Profitability Indicators (%) | |||||||||
| Net interest income / Average total interest earning assets (NIM) (1) | 3.75% | 3.75% | 3.49 | % | 3.56 | % | 3.51 | % | |
| Net income (loss)/ Average total assets (ROA)(1) | 0.48% | 0.67 | % | (1.92) | % | 0.21 | % | 0.44 | % |
| Net income (loss)/ Average stockholders' equity (ROE) (1) | 5.32% | 7.38 | % | (24.98) | % | 2.68 | % | 5.69 | % |
| Noninterest income (loss) / Total revenue (1) | 18.52% | 21.28% | (143.12)% | 19.66% | 15.67% | ||||
| Capital Indicators (%) | |||||||||
| Total capital ratio (1) | 13.45% | 13.43% | 12.72 | % | 11.88 | % | 12.49 | % | |
| Tier 1 capital ratio (1) | 11.84% | 11.95% | 11.36 | % | 10.34 | % | 10.87 | % | |
| Tier 1 leverage ratio (1) | 9.73% | 9.66% | 9.56 | % | 8.74 | % | 8.73 | % | |
| Common equity tier 1 capital ratio (CET1) (1) | 11.11% | 11.21% | 10.65 | % | 9.60 | % | 10.10 | % | |
| Tangible common equity ratio (1)(8) | 8.69% | 8.77% | 8.51 | % | 7.30 | % | 7.28 | % | |
| Tangible common equity ratio, adjusted for net unrealized accumulated losses on debt securities held to maturity (1)(8) | 8.69% | 8.77% | 8.51% | 7.11% | 7.10% | ||||
| Liquidity Ratios (%) | |||||||||
| Loans to Deposits (1) | 88.52% | 92.57% | 93.23 | % | 93.69 | % | 88.93 | % | |
| Asset Quality Indicators (%) | |||||||||
| Non-performing assets / Total assets (1) | 1.38% | 1.23% | 1.25 | % | 1.24 | % | 0.51 | % | |
| Non-performing loans / Total gross loans (1) | 1.71% | 1.43% | 1.52 | % | 1.38 | % | 0.43 | % | |
| Allowance for credit losses / Total non-performing loans | 79.75% | 81.62% | 69.51 | % | 93.51 | % | 317.01 | % | |
| Allowance for credit losses / Total loans held for investment | 1.37% | 1.18% | 1.15 | % | 1.41 | % | 1.38 | % | |
| Net charge-offs / Average total loans held for investment (1)(10) | 0.22% | 0.26% | 1.90 | % | 1.13 | % | 0.69 | % | |
| Efficiency Indicators (% except FTE) | |||||||||
| Noninterest expense / Average total assets | 2.89% | 3.29% | 3.04 | % | 3.03 | % | 2.75 | % | |
| Salaries and employee benefits / Average total assets | 1.35% | 1.39% | 1.39 | % | 1.40 | % | 1.36 | % | |
| Other operating expenses/ Average total assets (1) | 1.54% | 1.90% | 1.64 | % | 1.63 | % | 1.39 | % | |
| Efficiency ratio (1) | 67.87% | 74.91% | 228.74 | % | 74.21 | % | 72.03 | % | |
| Full-Time-Equivalent Employees (FTEs) (11) | 726 | 698 | 735 | 720 | 696 |
| Three Months Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (in thousands, except percentages and per share amounts) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | ||||||||
| Core Selected Consolidated Results of Operations and Other Data (8) | |||||||||||||
| Pre-provision net revenue (loss) (PPNR) | $ | 33,875 | $ | 27,933 | $ | (42,892) | $ | 25,473 | $ | 25,862 | |||
| Core pre-provision net revenue (Core PPNR) | $ | 31,546 | $ | 37,217 | $ | 31,264 | $ | 31,007 | $ | 26,068 | |||
| Core net income | $ | 10,153 | $ | 21,160 | $ | 9,249 | $ | 9,307 | $ | 10,730 | |||
| Core basic earnings per common share | 0.24 | 0.50 | 0.27 | 0.28 | 0.32 | ||||||||
| Core earnings per diluted common share (9) | 0.24 | 0.50 | 0.27 | 0.28 | 0.32 | ||||||||
| Core net income / Average total assets (Core ROA) (1) | 0.41% | 0.83% | 0.37 | % | 0.38 | % | 0.44 | % | |||||
| Core net income / Average stockholders' equity (Core ROE) (1) | 4.52% | 9.25% | 4.80 | % | 5.03 | % | 5.78 | % | |||||
| Core efficiency ratio (1) | 69.24% | 64.71% | 69.29 | % | 68.60 | % | 71.87 | % |
__________________
(1) See Glossary of Terms and Definitions for definitions of financial terms.
(2) All periods include mortgage loans held for sale carried at fair value, while March 31, 2025, September 30, 2024 and June 30, 2024 also include loans held for sale carried at the lower of estimated cost or fair value. As of December 31, 2024, there were no loans carried at the lower cost or fair value.
(3) On March 03, 2025, the Company gave notice of its election to redeem all outstanding Senior Notes and they were redeemed on April 1, 2025.
(4) In the fourth quarter of 2022, the Company announced that the Board of Directors authorized a new repurchase program pursuant to which the Company may purchase, from time to time, up to an aggregate amount of $25 million of its shares of Class A common stock (the “2023 Class A Common Stock Repurchase Program”). In the first quarter of 2025 the Company repurchased an aggregate of 215,427 shares of Class A common stock at a weighted average price of $23.21 per share under the 2023 Class A Common Stock Repurchase Program. The aggregate purchase price for these transactions was approximately $5.0 million which includes transaction costs. For all other periods, see December 31, 2024 Form 10-K, September 30, 2024 Form 10-Q, June 30, 2024 Form 10-Q and March 31, 2024 Form 10-Q.
(5) For the three months ended March 31, 2025, and December 31, 2024, the Company’s Board of Directors declared cash dividends of $0.09 per share of the Company’s common stock and paid an aggregate amount of $3.8 million per quarter in connection with these dividends. The dividend declared in the first quarter of 2025 was paid on February 28, 2025 to shareholders of record at the close of business on February 14, 2025. See December 31, 2024 Form 10-K for more information on dividend payments during the previous quarters.
(6) On September 27, 2024, the Company completed a public offering of 8,684,210 shares of its Class A voting common stock, at a price to the public of $19.00 per share.
(7) In all periods shown, includes reserves on loans and contingent loans. In the first quarter of 2025, and the fourth, third, second and first quarters of 2024, includes $17.2 million, $9.7 million, $17.9 million, $17.7 million, and $12.4 million of provision for credit losses on loans. Provision for unfunded commitments (contingencies) in the first quarter of 2025 and the fourth, third and second quarters of 2024, were $1.3 million, $0.2 million, $1.1 million, and $1.5 million, respectively, while there was none in the first quarter of 2024.
(8) This presentation contains adjusted financial information determined by methods other than GAAP. This adjusted financial information is reconciled to GAAP in Exhibit 2 - Non-GAAP Financial Measures Reconciliation.
(9) See 2024 Form 10-K for more information on potential dilutive instruments and its impact on diluted earnings per share computation.
(10) See 2024 Form 10-K for more details on charge-offs for all previous periods.
(11) As of March 31, 2025, December 31, 2024, September 30, 2024, June 30, 2024 and March 31, 2024, includes 77, 80, 81, 83 and 65 FTEs for Amerant Mortgage, respectively.
(12) Operating data for the periods presented have been annualized.
Exhibit 2- Non-GAAP Financial Measures Reconciliation
The following table sets forth selected financial information derived from the Company’s interim unaudited and annual audited consolidated financial statements, adjusted for the effect of non-core banking activities such as the sale of loans and securities and other repossessed assets, the Houston Transaction, the valuation of securities, derivatives, loans held for sale and other real estate owned and repossessed assets, the early repayment of FHLB advances, impairment of investments, and other non-routine actions intended to improve customer service and operating performance. The Company believes these adjusted numbers are useful for understanding its performance excluding these transactions and events.
| Three Months Ended, | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|
| (in thousands) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||
| Net income (loss) attributable to Amerant Bancorp Inc. | $ | 11,958 | $ | 16,881 | $ | (48,164) | $ | 4,963 | $ | 10,568 |
| Plus: provision for credit losses (1) | 18,446 | 9,910 | 19,000 | 19,150 | 12,400 | |||||
| Plus: provision for income tax expense (benefit) | 3,471 | 1,142 | (13,728) | 1,360 | 2,894 | |||||
| Pre-provision net revenue (loss) (PPNR) | 33,875 | 27,933 | (42,892) | 25,473 | 25,862 | |||||
| Plus: non-routine noninterest expense items | 534 | 15,148 | 5,672 | 5,562 | — | |||||
| (Less) plus: non-routine noninterest income items | (2,863) | (5,864) | 68,484 | (28) | 206 | |||||
| Core pre-provision net revenue (Core PPNR) | $ | 31,546 | $ | 37,217 | $ | 31,264 | $ | 31,007 | $ | 26,068 |
| Total noninterest income (loss) | $ | 19,525 | $ | 23,684 | $ | (47,683) | $ | 19,420 | $ | 14,488 |
| Less (plus): Non-routine noninterest income (loss) items: | ||||||||||
| Derivatives (losses), net | — | — | — | (44) | (152) | |||||
| Securities gains (losses), net (2) | 64 | (8,200) | (68,484) | (117) | (54) | |||||
| Gain on sale of loans (3) | 2,799 | — | — | — | — | |||||
| Gain on sale of Houston Franchise (4) | — | 12,636 | — | — | — | |||||
| Gains on early extinguishment of FHLB advances, net | — | 1,428 | — | 189 | — | |||||
| Total non-routine noninterest income (loss) items | $ | 2,863 | $ | 5,864 | $ | (68,484) | $ | 28 | $ | (206) |
| Core noninterest income | $ | 16,662 | $ | 17,820 | $ | 20,801 | $ | 19,392 | $ | 14,694 |
| Total noninterest expense | $ | 71,554 | $ | 83,386 | $ | 76,208 | $ | 73,302 | $ | 66,594 |
| Less: non-routine noninterest expense items | ||||||||||
| Non-routine noninterest expense items: | ||||||||||
| Losses on loans held for sale carried at the lower cost or fair value (4)(5) | — | 12,642 | — | 1,258 | — | |||||
| Other real estate owned valuation expense (6) | 534 | — | 5,672 | — | — | |||||
| Goodwill and intangible assets impairment | — | — | — | 300 | — | |||||
| Fixed assets impairment (4)(7) | — | — | — | 3,443 | — | |||||
| Legal, broker fees and other costs (4) | — | 2,506 | — | 561 | — | |||||
| Total non-routine noninterest expense items | $ | 534 | $ | 15,148 | $ | 5,672 | $ | 5,562 | $ | — |
| Core noninterest expense | $ | 71,020 | $ | 68,238 | $ | 70,536 | $ | 67,740 | $ | 66,594 |
| Three Months Ended, | |||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (in thousands, except percentages and per share amounts) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | ||||||||||
| Net income (loss) attributable to Amerant Bancorp Inc. | $ | 11,958 | $ | 16,881 | $ | (48,164) | $ | 4,963 | $ | 10,568 | |||||
| Plus after-tax non-routine items in noninterest expense: | |||||||||||||||
| Non-routine items in noninterest expense before income tax effect | 534 | 15,148 | 5,672 | 5,562 | — | ||||||||||
| Income tax effect (8) | (120) | (3,409) | (1,332) | (1,196) | — | ||||||||||
| Total after-tax non-routine items in noninterest expense | 414 | 11,739 | 4,340 | 4,366 | — | ||||||||||
| (Less) plus after-tax non-routine items in noninterest income: | |||||||||||||||
| Non-routine items in noninterest income (loss) before income tax effect | (2,863) | (5,864) | 68,484 | (28) | 206 | ||||||||||
| Income tax effect (8) | 644 | (1,596) | (15,411) | 6 | (44) | ||||||||||
| Total after-tax non-routine items in noninterest income (loss) | (2,219) | (7,460) | 53,073 | (22) | 162 | ||||||||||
| Core net income | $ | 10,153 | $ | 21,160 | $ | 9,249 | $ | 9,307 | $ | 10,730 | |||||
| Basic earnings (loss) per share | $ | 0.28 | $ | 0.40 | $ | (1.43) | $ | 0.15 | $ | 0.32 | |||||
| Plus: after tax impact of non-routine items in noninterest expense | 0.01 | 0.28 | 0.13 | 0.13 | — | ||||||||||
| (Less) plus: after tax impact of non-routine items in noninterest income (loss) | (0.05) | (0.18) | 1.57 | — | — | ||||||||||
| Total core basic earnings per common share | $ | 0.24 | $ | 0.50 | $ | 0.27 | $ | 0.28 | $ | 0.32 | |||||
| Diluted earnings (loss) per share (9) | $ | 0.28 | $ | 0.40 | $ | (1.43) | $ | 0.15 | $ | 0.31 | |||||
| Plus: after tax impact of non-routine items in noninterest expense | 0.01 | 0.28 | 0.13 | 0.13 | — | ||||||||||
| (Less) plus: after tax impact of non-routine items in noninterest income (loss) | (0.05) | (0.18) | 1.57 | — | 0.01 | ||||||||||
| Total core diluted earnings per common share | $ | 0.24 | $ | 0.50 | $ | 0.27 | $ | 0.28 | $ | 0.32 | |||||
| Net income (loss) / Average total assets (ROA) | 0.48 | % | 0.67 | % | (1.92) | % | 0.21 | % | 0.44 | % | |||||
| Plus: after tax impact of non-routine items in noninterest expense | 0.02 | % | 0.46 | % | 0.18 | % | 0.17 | % | — | % | |||||
| (Less) plus: after tax impact of non-routine items in noninterest income (loss) | (0.09) | % | (0.30) | % | 2.11 | % | — | % | — | % | |||||
| Core net income / Average total assets (Core ROA) | 0.41 | % | 0.83 | % | 0.37 | % | 0.38 | % | 0.44 | % | |||||
| Net income (loss)/ Average stockholders' equity (ROE) | 5.32 | % | 7.38 | % | (24.98) | % | 2.68 | % | 5.69 | % | |||||
| Plus: after tax impact of non-routine items in noninterest expense | 0.19 | % | 5.13 | % | 2.25 | % | 2.36 | % | — | % | |||||
| (Less) plus: after tax impact of non-routine items in noninterest income (loss) | (0.99) | % | (3.26) | % | 27.53 | % | (0.01) | % | 0.09 | % | |||||
| Core net income / Average stockholders' equity (Core ROE) | 4.52 | % | 9.25 | % | 4.80 | % | 5.03 | % | 5.78 | % | |||||
| Efficiency ratio | 67.87 | % | 74.91 | % | 228.74 | % | 74.21 | % | 72.03 | % | |||||
| Less: impact of non-routine items in noninterest expense and noninterest income (loss) | 1.37 | % | (10.20) | % | (159.45) | % | (5.61) | % | (0.16) | % | |||||
| Core efficiency ratio | 69.24 | % | 64.71 | % | 69.29 | % | 68.60 | % | 71.87 | % |
| (in thousands, except percentages, share data and per share amounts) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | ||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Stockholders' equity | $ | 906,263 | $ | 890,467 | $ | 902,888 | $ | 734,342 | $ | 738,085 | |||||
| Less: goodwill and other intangibles (10) | (24,135) | (24,314) | (24,366) | (24,581) | (24,935) | ||||||||||
| Tangible common stockholders' equity | $ | 882,128 | $ | 866,153 | $ | 878,522 | $ | 709,761 | $ | 713,150 | |||||
| Total assets | 10,169,688 | 9,901,734 | 10,353,127 | 9,747,738 | 9,817,772 | ||||||||||
| Less: goodwill and other intangibles (10) | (24,135) | (24,314) | (24,366) | (24,581) | (24,935) | ||||||||||
| Tangible assets | $ | 10,145,553 | $ | 9,877,420 | $ | 10,328,761 | $ | 9,723,157 | $ | 9,792,837 | |||||
| Common shares outstanding | 41,952,590 | 42,127,316 | 42,103,623 | 33,562,756 | 33,709,395 | ||||||||||
| Tangible common equity ratio | 8.69 | % | 8.77 | % | 8.51 | % | 7.30 | % | 7.28 | % | |||||
| Stockholders' book value per common share | $ | 21.60 | $ | 21.14 | $ | 21.44 | $ | 21.88 | $ | 21.90 | |||||
| Tangible stockholders' equity book value per common share | $ | 21.03 | $ | 20.56 | $ | 20.87 | $ | 21.15 | $ | 21.16 | |||||
| Tangible common stockholders' equity | $ | 882,128 | $ | 866,153 | $ | 878,522 | $ | 709,761 | $ | 713,150 | |||||
| Less: Net unrealized accumulated losses on debt securities held to maturity, net of tax (11) | — | — | — | (20,304) | (18,729) | ||||||||||
| Tangible common stockholders' equity, adjusted for net unrealized accumulated losses on debt securities held to maturity | $ | 882,128 | $ | 866,153 | $ | 878,522 | $ | 689,457 | $ | 694,421 | |||||
| Tangible assets | $ | 10,145,553 | $ | 9,877,420 | $ | 10,328,761 | $ | 9,723,157 | $ | 9,792,837 | |||||
| Less: Net unrealized accumulated losses on debt securities held to maturity, net of tax (11) | — | — | — | (20,304) | (18,729) | ||||||||||
| Tangible assets, adjusted for net unrealized accumulated losses on debt securities held to maturity | $ | 10,145,553 | $ | 9,877,420 | $ | 10,328,761 | $ | 9,702,853 | $ | 9,774,108 | |||||
| Common shares outstanding | 41,952,590 | 42,127,316 | 42,103,623 | 33,562,756 | 33,709,395 | ||||||||||
| Tangible common equity ratio, adjusted for net unrealized accumulated losses on debt securities held to maturity | 8.69 | % | 8.77 | % | 8.51 | % | 7.11 | % | 7.10 | % | |||||
| Tangible stockholders' book value per common share, adjusted for net unrealized accumulated losses on debt securities held to maturity | $ | 21.03 | $ | 20.56 | $ | 20.87 | $ | 20.54 | $ | 20.60 |
____________
(1) Includes provision for credit losses on loans and provision for loan contingencies. See Footnote 7 in Exhibit 1 - Selected Financial Information for more details.
(2) In the third quarter of 2024, the Company executed an investment portfolio repositioning which resulted in a total pre-tax net loss of $68.5 million during the same period. The investment portfolio repositioning was completed in early October 2024 resulting in an additional $8.1 million in losses in the fourth quarter of 2024.
(3) In the three months ended March 31, 2025, includes gain on sale of $3.2 million, related to the sale of a loan that had been charged off in prior periods.
(4) In the three months ended December 31, 2024 and June 30, 2024, amounts shown are in connection with the sale of the Company’s Houston franchise which were disclosed on a Form 8-K on April 17, 2024 (the “Houston Transaction”).
(5) In the three months ended December 31, 2024, includes loss on sale of $12.6 million, including transaction costs, related to the sale of a portfolio of 323 business-purpose, investment property, residential mortgage loans with a balance of approximately $71.4 million.
(6) Includes $0.5 million of OREO valuation expense in the three months ended March 31, 2025.
(7) Related to Houston branches and included as part of occupancy and equipment expenses.
(8) In the three months ended March 31, 2025 and 2024, amounts were calculated based upon the effective tax rate for the period of 22.50% and 21.50%, respectively. For all of the other periods shown, amounts represent the difference between the prior and current period year-to-date tax effect.
(9) See 2024 Form 10-K for more information on potential dilutive instruments and its impact on diluted earnings per share computation.
(10) At March 31, 2025, December 31, 2024, September 30, 2024, June 30, 2024 and March 31, 2024, other intangible assets primarily consist of naming rights of $1.9 million, $2.0 million, $2.1 million, $2.3 million and $2.4 million, respectively, and mortgage servicing rights (“MSRs”) of $1.4 million, $1.5 million, $1.4 million, $1.5 million and $1.4 million, respectively. Other intangible assets are included in other assets in the Company’s consolidated balance sheets.
(11) There were no debt securities held to maturity at March 31, 2025, December 31, 2024 and September 30, 2024. As of June 30, 2024 and March 31, 2024, amounts were calculated based upon the fair value on debt securities held to maturity, and assuming a tax rate of 25.38% and 25.40%, respectively.
Exhibit 3 - Average Balance Sheet, Interest and Yield/Rate Analysis
The following tables present average balance sheet information, interest income, interest expense and the corresponding average yields earned and rates paid for the periods presented. The average balances for loans include both performing and nonperforming balances. Interest income on loans includes the effects of discount accretion and the amortization of non-refundable loan origination fees, net of direct loan origination costs, accounted for as yield adjustments. Average balances represent the daily average balances for the periods presented.
| Three Months Ended | ||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| March 31, 2025 | December 31, 2024 | March 31, 2024 | ||||||||||||||||
| (in thousands, except percentages) | Average<br>Balances | Income/<br>Expense | Yield/<br>Rates | Average Balances | Income/ Expense | Yield/ Rates | Average <br> Balances | Income/<br>Expense | Yield/ <br>Rates | |||||||||
| Interest-earning assets: | ||||||||||||||||||
| Loan portfolio, net (1)(2) | $ | 7,174,160 | $ | 121,021 | 6.84 | % | $ | 7,322,613 | $ | 128,910 | 7.00 | % | $ | 6,995,974 | $ | 122,705 | 7.05 | % |
| Debt securities available for sale (3) (4) | 1,473,170 | 17,964 | 4.95 | % | 1,346,108 | 16,069 | 4.75 | % | 1,239,762 | 13,186 | 4.28 | % | ||||||
| Debt securities held to maturity (5) | — | — | — | % | — | — | — | % | 224,877 | 1,967 | 3.52 | % | ||||||
| Debt securities held for trading | 156 | — | — | % | — | — | — | % | — | — | — | % | ||||||
| Equity securities with readily determinable fair value not held for trading | 2,497 | 19 | 3.09 | % | 2,509 | 19 | 3.01 | % | 2,477 | 55 | 8.93 | % | ||||||
| Federal Reserve Bank and FHLB stock | 57,320 | 936 | 6.62 | % | 58,861 | 1,035 | 7.00 | % | 50,180 | 883 | 7.08 | % | ||||||
| Deposits with banks | 580,409 | 6,401 | 4.47 | % | 560,323 | 6,811 | 4.84 | % | 422,841 | 5,751 | 5.47 | % | ||||||
| Other short-term investments | 6,434 | 67 | 4.22 | % | 6,380 | 74 | 4.61 | % | 5,932 | 78 | 5.29 | % | ||||||
| Total interest-earning assets | 9,294,146 | 146,408 | 6.39 | % | 9,296,794 | 152,918 | 6.54 | % | 8,942,043 | 144,625 | 6.50 | % | ||||||
| Total non-interest-earning assets (6) | 748,385 | 798,113 | 812,523 | |||||||||||||||
| Total assets | $ | 10,042,531 | $ | 10,094,907 | $ | 9,754,566 |
| Three Months Ended | |||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| March 31, 2025 | December 31, 2024 | March 31, 2024 | |||||||||||||||||||
| (in thousands, except percentages) | Average<br>Balances | Income/<br>Expense | Yield/<br>Rates | Average Balances | Income/ Expense | Yield/ Rates | Average <br> Balances | Income/<br>Expense | Yield/ <br>Rates | ||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||
| Checking and saving accounts | |||||||||||||||||||||
| Interest bearing DDA | $ | 2,133,727 | $ | 10,454 | 1.99 | % | $ | 2,233,157 | $ | 12,859 | 2.29 | % | $ | 2,445,362 | $ | 17,736 | 2.92 | % | |||
| Money market | 1,810,172 | 16,653 | 3.73 | % | 1,622,240 | 15,696 | 3.85 | % | 1,431,949 | 14,833 | 4.17 | % | |||||||||
| Savings | 239,843 | 22 | 0.04 | % | 242,589 | 24 | 0.04 | % | 262,528 | 28 | 0.04 | % | |||||||||
| Total checking and saving accounts | 4,183,742 | 27,129 | 2.63 | % | 4,097,986 | 28,579 | 2.77 | % | 4,139,839 | 32,597 | 3.17 | % | |||||||||
| Time deposits | 2,227,932 | 23,858 | 4.34 | % | 2,336,324 | 26,427 | 4.50 | % | 2,290,587 | 26,124 | 4.59 | % | |||||||||
| Total deposits | 6,411,674 | 50,987 | 3.23 | % | 6,434,310 | 55,006 | 3.40 | % | 6,430,426 | 58,721 | 3.67 | % | |||||||||
| Securities sold under agreements to repurchase | — | — | — | % | 115 | 1 | 3.46 | % | — | — | — | % | |||||||||
| Advances from the FHLB (7) | 723,667 | 7,200 | 4.04 | % | 782,242 | 7,946 | 4.04 | % | 644,753 | 5,578 | 3.48 | % | |||||||||
| Senior notes | 59,883 | 942 | 6.38 | % | 59,804 | 941 | 6.26 | % | 59,567 | 943 | 6.37 | % | |||||||||
| Subordinated notes | 29,646 | 361 | 4.94 | % | 29,604 | 361 | 4.85 | % | 29,476 | 361 | 4.93 | % | |||||||||
| Junior subordinated debentures | 64,178 | 1,014 | 6.41 | % | 64,178 | 1,030 | 6.38 | % | 64,178 | 1,054 | 6.61 | % | |||||||||
| Total interest-bearing liabilities | 7,289,048 | 60,504 | 3.37 | % | 7,370,253 | 65,285 | 3.52 | % | 7,228,400 | 66,657 | 3.71 | % | |||||||||
| Non-interest-bearing liabilities: | |||||||||||||||||||||
| Non-interest bearing demand deposits | 1,544,770 | 1,469,726 | 1,435,226 | ||||||||||||||||||
| Accounts payable, accrued liabilities and other liabilities | 297,491 | 344,770 | 344,197 | ||||||||||||||||||
| Total non-interest-bearing liabilities | 1,842,261 | 1,814,496 | 1,779,423 | ||||||||||||||||||
| Total liabilities | 9,131,309 | 9,184,749 | 9,007,823 | ||||||||||||||||||
| Stockholders’ equity | 911,222 | 910,158 | 746,743 | ||||||||||||||||||
| Total liabilities and stockholders' equity | $ | 10,042,531 | $ | 10,094,907 | $ | 9,754,566 | |||||||||||||||
| Excess of average interest-earning assets over average interest-bearing liabilities | $ | 2,005,098 | $ | 1,926,541 | $ | 1,713,643 | |||||||||||||||
| Net interest income | $ | 85,904 | $ | 87,633 | $ | 77,968 | |||||||||||||||
| Net interest rate spread | 3.02 | % | 3.02 | % | 2.79 | % | |||||||||||||||
| Net interest margin (7) | 3.75 | % | 3.75 | % | 3.51 | % | |||||||||||||||
| Cost of total deposits (7) | 2.60 | % | 2.77 | % | 3.00 | % | |||||||||||||||
| Ratio of average interest-earning assets to average interest-bearing liabilities | 127.51 | % | 126.14 | % | 123.71 | % | |||||||||||||||
| Average non-performing loans/ Average total loans | 1.43 | % | 1.36 | % | 0.46 | % |
___________
(1) Includes loans held for investment net of the allowance for credit losses, and loans held for sale. The average balance of the allowance for credit losses was $83.5 million, $80.5 million, and $92.3 million in the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively. The average balance of total loans held for sale was $46.2 million, $357.2 million and $180.5 million in the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively.
(2) Includes average non-performing loans of $103.6 million, $101.0 million and $32.6 million for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively.
(3) Includes the average balance of net unrealized gains and losses in the fair value of debt securities available for sale. The average balance includes average net unrealized losses of $47.0 million, $31.7 million and $101.5 million in the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively.
(4) Includes nontaxable securities with average balances of $54.3 million, $60.4 million and $18.3 million for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively. The tax equivalent yield for these nontaxable securities was 4.77%, 4.39%, and 4.68% for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively. In 2025 and 2024, the tax equivalent yields were calculated assuming a 21% tax rate and dividing the actual yield by 0.79.
(5) We had no average held to maturity balances in the three months ended March 31, 2025 and December 31, 2024. Includes nontaxable securities with average balances of $48.5 million for the three months ended March 31, 2024. The tax equivalent
yield for these nontaxable securities was 4.25% for the three months ended March 31, 2024. In 2024, the tax equivalent yield was calculated assuming a 21% tax rate and dividing the actual yield by 0.79.
(6) Excludes the allowance for credit losses.
(7) See Glossary of Terms and Definitions for definitions of financial terms.
Exhibit 4 - Noninterest Income
This table shows the amounts of each of the categories of noninterest income for the periods presented.
| Three Months Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| March 31, 2025 | December 31, 2024 | March 31, 2024 | |||||||||||
| (in thousands, except percentages) | Amount | % | Amount | % | Amount | % | |||||||
| Deposits and service fees | $ | 5,137 | 26.3 | % | $ | 5,501 | 23.2 | % | $ | 4,325 | 29.9 | % | |
| Brokerage, advisory and fiduciary activities | 4,729 | 24.2 | % | 4,653 | 19.7 | % | 4,327 | 29.9 | % | ||||
| Change in cash surrender value of bank owned life insurance (“BOLI”)(1) | 2,450 | 12.5 | % | 2,364 | 10.0 | % | 2,342 | 16.2 | % | ||||
| Cards and trade finance servicing fees | 1,392 | 7.1 | % | 1,533 | 6.5 | % | 1,223 | 8.4 | % | ||||
| Gain on early extinguishment of FHLB advances, net | — | — | % | 1,428 | 6.0 | % | — | — | % | ||||
| Securities gains (losses), net (2) | 64 | 0.3 | % | (8,200) | (34.6) | % | (54) | (0.4) | % | ||||
| Loan-level derivative income (3) | 1,508 | 7.7 | % | 706 | 3.0 | % | 466 | 3.2 | % | ||||
| Derivative losses, net (4) | — | — | % | — | — | % | (152) | (1.1) | % | ||||
| Gain on sale of Houston Franchise | — | — | % | 12,636 | 53.4 | % | — | — | % | ||||
| Other noninterest income (5) | 4,245 | 21.9 | % | 3,063 | 12.8 | % | 2,011 | 13.9 | % | ||||
| Total noninterest income | $ | 19,525 | 100.0 | % | $ | 23,684 | 100.0 | % | $ | 14,488 | 100.0 | % |
__________________
(1) Changes in cash surrender value of BOLI are not taxable.
(2) Amounts are primarily in connection with losses and gains on the sale of debt securities available for sale. In the three months ended December 31, 2024, includes a net loss of $8.1 million, as a result of the investment portfolio repositioning.
(3) Income from interest rate swaps and other derivative transactions with customers. The Company incurs expenses related to derivative transactions with customers which are included as part of noninterest expenses under loan-level derivative expense. See Exhibit 5 for more details.
(4) Net unrealized gains and losses related to uncovered interest rate caps with clients.
(5) Includes mortgage banking income of $0.4 million, $1.1 million and $1.1 million in the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively, primarily consisting of net gains on sale, valuation and derivative transactions associated with mortgage loans held for sale activity, and other smaller sources of income related to the operations of Amerant Mortgage. Other sources of income in the periods shown include net gains/(losses) on sales of loans that are originated for investment, foreign currency exchange transactions with customers and valuation income on the investment balances held in the non-qualified deferred compensation plan. In the three months ended March 31, 2025, Other noninterest income includes approximately $2.8 million as a Non-routine noninterest income item. See Exhibit 2- Non-GAAP Financial Measures Reconciliation for more details.
Exhibit 5 - Noninterest Expense
This table shows the amounts of each of the categories of noninterest expense for the periods presented.
| Three Months Ended | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| March 31, 2025 | December 31, 2024 | March 31, 2024 | |||||||||||
| (in thousands, except percentages) | Amount | % | Amount | % | Amount | % | |||||||
| Salaries and employee benefits (1) | $ | 33,347 | 46.6 | % | $ | 35,284 | 42.3 | % | $ | 32,958 | 49.5 | % | |
| Professional and other services fees (2) | 14,682 | 20.5 | % | 14,308 | 17.2 | % | 10,963 | 16.5 | % | ||||
| Occupancy and equipment | 6,136 | 8.6 | % | 5,719 | 6.9 | % | 6,476 | 9.7 | % | ||||
| Telecommunications and data processing | 3,475 | 4.9 | % | 2,967 | 3.6 | % | 3,533 | 5.3 | % | ||||
| Depreciation and amortization | 1,588 | 2.2 | % | 1,734 | 2.1 | % | 1,477 | 2.2 | % | ||||
| FDIC assessments and insurance | 3,236 | 4.5 | % | 2,932 | 3.5 | % | 3,008 | 4.5 | % | ||||
| Losses on loans held for sale carried at the lower cost or fair value (3) | — | — | % | 12,642 | 15.2 | % | — | — | % | ||||
| Advertising expenses | 3,635 | 5.1 | % | 3,703 | 4.4 | % | 3,078 | 4.6 | % | ||||
| Loan-level derivative expense (4) | 360 | 0.5 | % | 34 | — | % | 4 | — | % | ||||
| Other real estate owned and repossessed assets expense (income), net (5) | 164 | 0.2 | % | (196) | (0.2) | % | (354) | (0.5) | % | ||||
| Other operating expenses (6) | 4,931 | 6.9 | % | 4,259 | 5.0 | % | 5,451 | 8.2 | % | ||||
| Total noninterest expense (7) | $ | 71,554 | 100.0 | % | $ | 83,386 | 100.0 | % | $ | 66,594 | 100.0 | % |
___
(1) Includes $1.4 million in expenses related to the Houston Transaction in the three months ended December 31, 2024.
(2) Includes $0.1 million in legal expenses in connection with the Houston Transaction in the three months ended December 31, 2024. Additionally, includes recurring service fees in connection with the engagement of FIS in all periods shown.
(3) In the three months ended December 31, 2024, consists of losses on loans held for sale carried at the lower of fair value or cost. See Footnote 5 in Exhibit 2- Non-GAAP Financial Measures Reconciliation for more details.
(4) Includes service fees in connection with our loan-level derivative income generation activities.
(5) Includes $0.5 million of OREO valuation expense in the three months ended March 31, 2025.
(6) In the three months ended December 31, 2024, includes broker fees of $1.0 million in connection with the Houston Transaction. In all of the periods shown, includes mortgage loan origination and servicing expenses, charitable contributions, community engagement, postage and courier expenses, and debits which mirror valuation income on the investment balances held in the non-qualified deferred compensation plan in order to adjust the liability to participants of the deferred compensation plan and other small expenses.
(7) Includes $3.2 million, $3.7 million, $3.1 million in the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively, related to Amerant Mortgage, primarily consisting of salaries and employee benefits, mortgage lending costs and professional and other services fees.
Exhibit 6 - Consolidated Balance Sheets
| (in thousands, except share data) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Assets | (audited) | |||||||||
| Cash and due from banks | $ | 40,197 | $ | 39,197 | $ | 40,538 | $ | 32,762 | $ | 41,231 |
| Interest earning deposits with banks | 587,728 | 519,853 | 614,345 | 238,346 | 577,843 | |||||
| Restricted cash | 13,432 | 24,365 | 10,087 | 32,430 | 33,897 | |||||
| Other short-term investments | 7,010 | 6,944 | 6,871 | 6,781 | 6,700 | |||||
| Cash and cash equivalents | 648,367 | 590,359 | 671,841 | 310,319 | 659,671 | |||||
| Securities | ||||||||||
| Debt securities available for sale, at fair value | 1,702,111 | 1,437,170 | 1,476,378 | 1,269,356 | 1,298,073 | |||||
| Debt securities held to maturity, at amortized cost (1) | — | — | — | 219,613 | 224,014 | |||||
| Equity securities with readily determinable fair value not held for trading | 2,523 | 2,477 | 2,562 | 2,483 | 2,480 | |||||
| Federal Reserve Bank and Federal Home Loan Bank stock | 57,044 | 58,278 | 63,604 | 56,412 | 54,001 | |||||
| Securities | 1,761,678 | 1,497,925 | 1,542,544 | 1,547,864 | 1,578,568 | |||||
| Loans held for sale, at the lower of cost or fair value (2) | 40,597 | — | 553,941 | 551,828 | — | |||||
| Mortgage loans held for sale, at fair value | 20,728 | 42,911 | 43,851 | 60,122 | 48,908 | |||||
| Loans held for investment, gross | 7,157,837 | 7,228,411 | 6,964,171 | 6,710,961 | 6,957,475 | |||||
| Less: Allowance for credit losses | 98,266 | 84,963 | 79,890 | 94,400 | 96,050 | |||||
| Loans held for investment, net | 7,059,571 | 7,143,448 | 6,884,281 | 6,616,561 | 6,861,425 | |||||
| Bank owned life insurance | 252,997 | 243,547 | 241,183 | 238,851 | 237,314 | |||||
| Premises and equipment, net | 31,803 | 31,814 | 32,866 | 33,382 | 44,877 | |||||
| Deferred tax assets, net | 53,448 | 53,543 | 41,138 | 48,779 | 48,302 | |||||
| Operating lease right-of-use assets | 104,578 | 100,028 | 100,158 | 100,580 | 117,171 | |||||
| Goodwill | 19,193 | 19,193 | 19,193 | 19,193 | 19,193 | |||||
| Accrued interest receivable and other assets (3)(4) | 176,728 | 178,966 | 222,131 | 220,259 | 202,343 | |||||
| Total assets | $ | 10,169,688 | $ | 9,901,734 | $ | 10,353,127 | $ | 9,747,738 | $ | 9,817,772 |
| Liabilities and Stockholders' Equity | ||||||||||
| Deposits | ||||||||||
| Demand | ||||||||||
| Noninterest bearing | $ | 1,665,468 | $ | 1,504,755 | $ | 1,482,061 | $ | 1,465,140 | $ | 1,397,331 |
| Interest bearing | 2,260,157 | 2,229,467 | 2,389,605 | 2,316,976 | 2,619,115 | |||||
| Savings and money market | 2,067,430 | 1,885,928 | 1,835,700 | 1,723,233 | 1,616,719 | |||||
| Time | 2,161,923 | 2,234,445 | 2,403,578 | 2,310,662 | 2,245,078 | |||||
| Total deposits | 8,154,978 | 7,854,595 | 8,110,944 | 7,816,011 | 7,878,243 | |||||
| Advances from the Federal Home Loan Bank | 715,000 | 745,000 | 915,000 | 765,000 | 715,000 | |||||
| Senior notes (5) | 59,922 | 59,843 | 59,764 | 59,685 | 59,605 | |||||
| Subordinated notes | 29,667 | 29,624 | 29,582 | 29,539 | 29,497 | |||||
| Junior subordinated debentures held by trust subsidiaries | 64,178 | 64,178 | 64,178 | 64,178 | 64,178 | |||||
| Operating lease liabilities (6) | 110,999 | 106,071 | 105,875 | 105,861 | 122,267 | |||||
| Accounts payable, accrued liabilities and other liabilities (7) | 128,681 | 151,956 | 164,896 | 173,122 | 210,897 | |||||
| Total liabilities | 9,263,425 | 9,011,267 | 9,450,239 | 9,013,396 | 9,079,687 | |||||
| Stockholders’ equity | ||||||||||
| Class A common stock | 4,195 | 4,214 | 4,210 | 3,357 | 3,373 | |||||
| Additional paid in capital | 339,038 | 343,828 | 342,508 | 189,601 | 192,237 | |||||
| Retained earnings | 590,304 | 582,231 | 569,131 | 620,299 | 618,359 | |||||
| Accumulated other comprehensive loss | (27,274) | (39,806) | (12,961) | (78,915) | (75,884) | |||||
| Total stockholders' equity | 906,263 | 890,467 | 902,888 | 734,342 | 738,085 | |||||
| Total liabilities and stockholders' equity | $ | 10,169,688 | $ | 9,901,734 | $ | 10,353,127 | $ | 9,747,738 | $ | 9,817,772 |
__________
(1) Estimated fair value of $192,403 and $198,909 at June 30, 2024 and March 31, 2024, respectively. During the third quarter of 2024, the Company executed an investment portfolio repositioning and transferred approximately $220 million in debt securities from held to maturity to the available for sale category.
(2) As of March 31, 2025, loans held for sale consisted of one loan carried at cost in which no valuation allowance was deemed necessary. As of September 30, 2024 and June 30, 2024, includes loans held for sale and a valuation allowance of $1.3 million, in connection with the Houston Transaction.
(3) As of March 31, 2025, December 31, 2024, September 30, 2024, June 30, 2024 and March 31, 2024, includes derivative assets with a total fair value of $42.8 million, $48.0 million, $52.3 million, $64.0 million and $64.7 million, respectively.
(4) As of September 30, 2024 and June 30, 2024, includes other assets for sale of approximately $21.4 million and $23.6 million, respectively, in connection with the Houston Transaction.
(5) On March 03, 2025, the Company gave notice of its election to redeem all outstanding Senior Notes and they were redeemed on April 1, 2025.
(6) Consists of total long-term lease liabilities. Total short-term lease liabilities are included in other liabilities.
(7) As of March 31, 2025, December 31, 2024, September 30, 2024, June 30, 2024 and March 31, 2024, includes derivatives liabilities with a total fair value of $42.4 million, $47.6 million, $51.3 million, $62.9 million and $63.8 million, respectively.
Exhibit 7 - Loans
Loans by Type - Held For Investment
The loan portfolio held for investment consists of the following loan classes:
| (in thousands) | March 31,<br>2025 | December 31,<br>2024 | September 30,<br>2024 | June 30,<br>2024 | March 31,<br>2024 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Real estate loans | (audited) | |||||||||
| Commercial real estate | ||||||||||
| Non-owner occupied | $ | 1,641,210 | $ | 1,678,473 | $ | 1,688,308 | $ | 1,714,088 | $ | 1,672,470 |
| Multi-family residential | 400,371 | 336,229 | 351,815 | 359,257 | 349,917 | |||||
| Land development and construction loans | 499,663 | 483,210 | 421,489 | 343,472 | 333,198 | |||||
| 2,541,244 | 2,497,912 | 2,461,612 | 2,416,817 | 2,355,585 | ||||||
| Single-family residential | 1,549,356 | 1,528,080 | 1,499,599 | 1,446,569 | 1,490,711 | |||||
| Owner occupied | 951,311 | 1,007,074 | 1,001,762 | 981,405 | 1,193,909 | |||||
| 5,041,911 | 5,033,066 | 4,962,973 | 4,844,791 | 5,040,205 | ||||||
| Commercial loans | 1,714,583 | 1,751,902 | 1,630,318 | 1,521,533 | 1,550,140 | |||||
| Loans to financial institutions and acceptances | 153,345 | 170,435 | 92,489 | 48,287 | 29,490 | |||||
| Consumer loans and overdrafts | 247,998 | 273,008 | 278,391 | 296,350 | 337,640 | |||||
| Total loans | $ | 7,157,837 | $ | 7,228,411 | $ | 6,964,171 | $ | 6,710,961 | $ | 6,957,475 |
Loans by Type - Held For Sale
The loan portfolio held for sale consists of the following loan classes:
| (in thousands) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Loans held for sale at the lower of cost or fair value | (audited) | |||||||||
| Real estate loans | ||||||||||
| Commercial real estate | ||||||||||
| Non-owner occupied | $ | — | $ | — | $ | 111,591 | $ | 112,002 | $ | — |
| Multi-family residential | — | — | — | 918 | — | |||||
| Land development and construction loans | — | — | 35,020 | 29,923 | — | |||||
| — | — | 146,611 | 142,843 | — | ||||||
| Single-family residential | — | — | 87,820 | 88,507 | — | |||||
| Owner occupied | 40,597 | — | 221,774 | 220,718 | — | |||||
| 40,597 | — | 456,205 | 452,068 | — | ||||||
| Commercial loans | — | — | 87,866 | 90,353 | — | |||||
| Consumer loans | — | — | 9,870 | 9,407 | — | |||||
| Total loans held for sale at the lower of cost or fair value (1) | 40,597 | — | 553,941 | 551,828 | — | |||||
| Mortgage loans held for sale at fair value | ||||||||||
| Land development and construction loans | 7,475 | 10,768 | 10,608 | 7,776 | 26,058 | |||||
| Single-family residential | 13,253 | 32,143 | 33,243 | 52,346 | 22,850 | |||||
| Total mortgage loans held for sale at fair value (2) | 20,728 | 42,911 | 43,851 | 60,122 | 48,908 | |||||
| Total loans held for sale | $ | 61,325 | $ | 42,911 | $ | 597,792 | $ | 611,950 | $ | 48,908 |
__________________
(1) As of September 30, 2024, and June 30, 2024 includes loans transferred from the held for investment to the held for sale category in the second and third quarters of 2024, as a result of the Houston Transaction. In the fourth quarter of 2024, the Company completed the sale of the Houston franchise.
(2) Loans held for sale in connection with Amerant Mortgage’s ongoing business.
Non-Performing Assets
This table shows a summary of our non-performing assets by loan class, which includes non-performing loans, other real estate owned, or OREO, and other repossessed assets at the dates presented. Non-performing loans consist of (i) nonaccrual loans, and (ii) accruing loans 90 days or more contractually past due as to interest or principal.
| (in thousands) | March 31,<br>2025 | December 31,<br>2024 | September 30,<br>2024 | June 30,<br>2024 | March 31,<br>2024 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Non-Accrual Loans | (audited) | ||||||||||
| Real Estate Loans | |||||||||||
| Commercial real estate (CRE) | |||||||||||
| Non-owner occupied | $ | — | $ | — | $ | 1,916 | $ | — | $ | — | |
| Multi-family residential | — | — | — | 6 | — | ||||||
| — | — | 1,916 | 6 | — | |||||||
| Single-family residential | 15,048 | 8,140 | 13,452 | 3,726 | 4,400 | ||||||
| Land development and construction loans | — | 4,119 | — | — | — | ||||||
| Owner occupied | 22,249 | 23,191 | 29,240 | 26,309 | 1,958 | ||||||
| 37,297 | 35,450 | 44,608 | 30,041 | 6,358 | |||||||
| Commercial loans | 84,907 | 64,572 | 68,654 | 67,005 | 21,833 | ||||||
| Consumer loans and overdrafts | — | — | — | 4 | 45 | ||||||
| Total Non-Accrual Loans | $ | 122,204 | $ | 100,022 | $ | 113,262 | $ | 97,050 | $ | 28,236 | |
| Past Due Accruing Loans | |||||||||||
| Real Estate Loans | |||||||||||
| Owner occupied | — | 837 | — | 769 | — | ||||||
| Single-family residential | 886 | 1,201 | 1,129 | 2,656 | 1,149 | ||||||
| Commercial | 122 | 2,033 | 104 | — | — | 918 | |||||
| Consumer loans and overdrafts | 7 | 8 | 434 | 477 | — | ||||||
| Total Past Due Accruing Loans (1) | $ | 1,015 | $ | 4,079 | $ | 1,667 | $ | 3,902 | $ | 2,067 | |
| Total Non-Performing Loans | 123,219 | 104,101 | 114,929 | 100,952 | 30,303 | ||||||
| Other Real Estate Owned | 17,541 | 18,074 | 14,509 | 20,181 | 20,181 | ||||||
| Total Non-Performing Assets | $ | 140,760 | $ | 122,175 | $ | 129,438 | $ | 121,133 | $ | 50,484 |
__________________
(1) Loans past due 90 days or more but still accruing.
Loans by Credit Quality Indicators
This table shows the Company’s loans by credit quality indicators. The Company has not purchased credit-deteriorated loans.
| March 31, 2025 | December 31, 2024 | March 31, 2024 | ||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| (in thousands) | Special Mention | Substandard | Doubtful | Total (1) | Special Mention | Substandard | Doubtful | Total (1) | Special Mention | Substandard | Doubtful | Total (1) | ||||||||||||
| Loans held for investment | ||||||||||||||||||||||||
| Real Estate Loans | ||||||||||||||||||||||||
| Commercial Real <br>Estate (CRE) | ||||||||||||||||||||||||
| Non-owner <br>occupied | $ | 40,391 | $ | 42,317 | $ | — | $ | 82,708 | $ | 361 | $ | 21,430 | $ | — | $ | 21,791 | $ | — | $ | — | $ | — | $ | — |
| Multi-family residential | 8,282 | — | — | 8,282 | — | — | — | — | — | 6 | — | 6 | ||||||||||||
| Land development <br>and <br>construction<br> loans | — | — | — | — | — | 4,119 | — | 4,119 | — | — | — | — | ||||||||||||
| 48,673 | 42,317 | — | 90,990 | 361 | 25,549 | — | 25,910 | — | 6 | — | 6 | |||||||||||||
| Single-family residential | — | 15,934 | — | 15,934 | — | 9,438 | — | 9,438 | — | 3,715 | — | 3,715 | ||||||||||||
| Owner occupied | 2,447 | 22,249 | — | 24,696 | 5,047 | 64,876 | — | 69,923 | 40,666 | 2,023 | — | 42,689 | ||||||||||||
| 51,120 | 80,500 | — | 131,620 | 5,408 | 99,863 | — | 105,271 | 40,666 | 5,744 | — | 46,410 | |||||||||||||
| Commercial loans | 48,600 | 85,029 | — | 133,629 | — | 66,605 | — | 66,605 | 63,172 | 22,800 | — | 85,972 | ||||||||||||
| Consumer loans and <br>overdrafts | — | 7 | — | 7 | — | 8 | — | 8 | — | 36 | — | 36 | ||||||||||||
| Total loans held for investment | $ | 99,720 | $ | 165,536 | $ | — | $ | 265,256 | $ | 5,408 | $ | 166,476 | $ | — | $ | 171,884 | $ | 103,838 | $ | 28,580 | $ | — | $ | 132,418 |
| Loans held for sale at the lower of cost or fair value | ||||||||||||||||||||||||
| Owner occupied | — | 40,597 | — | 40,597 | — | — | — | — | — | — | — | — | ||||||||||||
| Total loans held for sale | — | 40,597 | — | 40,597 | — | — | — | — | — | — | — | — | ||||||||||||
| Total | $ | 99,720 | $ | 206,133 | $ | — | $ | 305,853 | $ | 5,408 | $ | 166,476 | $ | — | $ | 171,884 | $ | 103,838 | $ | 28,580 | $ | — | $ | 132,418 |
__________
(1) There were no loans categorized as “loss” as of the dates presented.
Exhibit 8 - Deposits by Country of Domicile
This table shows the Company’s deposits by country of domicile of the depositor as of the dates presented.
| (in thousands) | March 31, 2025 | December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| (audited) | ||||||||||
| Domestic | $ | 5,592,575 | $ | 5,278,289 | $ | 5,553,336 | $ | 5,281,946 | $ | 5,288,702 |
| Foreign: | ||||||||||
| Venezuela | 1,862,614 | 1,889,331 | 1,887,282 | 1,918,134 | 1,988,470 | |||||
| Others | 699,789 | 686,975 | 670,326 | 615,931 | 601,071 | |||||
| Total foreign | 2,562,403 | 2,576,306 | 2,557,608 | 2,534,065 | 2,589,541 | |||||
| Total deposits | $ | 8,154,978 | $ | 7,854,595 | $ | 8,110,944 | $ | 7,816,011 | $ | 7,878,243 |
Glossary of Terms and Definitions
•Total gross loans: include loans held for investment net of unamortized deferred loan origination fees and costs, as well as loans held for sale.
•Core deposits: consist of total deposits excluding all time deposits.
•Assets under management and custody: consists of assets held for clients in an agency or fiduciary capacity which are not assets of the Company and therefore are not included in the consolidated financial statements.
•Net interest margin, or NIM: defined as net interest income, or NII, divided by average interest-earning assets, which are loans, securities, deposits with banks and other financial assets which yield interest or similar income.
•ROA and Core ROA are calculated based upon the average daily balance of total assets.
•ROE and Core ROE are calculated based upon the average daily balance of stockholders’ equity.
•Total revenue is the result of net interest income before provision for credit losses plus noninterest income.
•Total capital ratio: total stockholders’ equity divided by total risk-weighted assets, calculated according to the standardized regulatory capital ratio calculations.
•Tier 1 capital ratio: Tier 1 capital divided by total risk-weighted assets. Tier 1 capital is composed of Common Equity Tier 1 (CET1) capital plus outstanding qualifying trust preferred securities of $62.3 million at each of all the dates presented.
•Tier 1 leverage ratio: Tier 1 capital divided by quarter to date average assets.
•Common equity tier 1 capital ratio, CET1: Tier 1 capital divided by total risk-weighted assets.
•Tangible common equity ratio: calculated as the ratio of common equity less goodwill and other intangibles divided by total assets less goodwill and other intangible assets. Other intangible assets primarily consist of naming rights and mortgage servicing rights and are included in other assets in the Company’s consolidated balance sheets.
•Tangible common equity ratio, adjusted for unrealized losses on debt securities held to maturity: calculated in the same manner described in tangible common equity but also includes unrealized losses on debt securities held to maturity in the balance of common equity and total assets.
•Loans to Deposits ratio: calculated as the ratio of total loans gross divided by total deposits.
•Non-performing assets include all accruing loans past due by 90 days or more, all nonaccrual loans and other real estate owned (“OREO”) properties acquired through or in lieu of foreclosure, and other repossessed assets.
•Non-performing loans include all accruing loans past due by 90 days or more and all nonaccrual loans
•Ratio for net charge-offs/average total loans held for investments: calculated based upon the average daily balance of outstanding loan principal balance net of unamortized deferred loan origination fees and costs, excluding the allowance for credit losses.
•Other operating expenses: total noninterest expense less salary and employee benefits.
•Efficiency ratio: total noninterest expense divided by the sum of noninterest income and NII.
•Core efficiency ratio is the efficiency ratio less the effect of non-routine items, described in Exhibit 2 - Non-GAAP Financial Measures Reconciliation.
•The terms of the FHLB advance agreements require the Bank to maintain certain investment securities or loans as collateral for these advances.
•Cost of total deposits: calculated based upon the average balance of total noninterest bearing and interest bearing deposits, which includes time deposits.
23
meidmasterearningsdeck03
First Quarter Earnings Presentation April 24, 2025
2 Important Notices and Disclaimers Forward-Looking Statements This presentation contains “forward-looking statements” including statements with respect to the Company’s objectives, expectations and intentions and other statements that are not historical facts. Examples of forward- looking statements include but are not limited to: our future operating or financial performance, including revenues, expenses, expense savings, income or loss and earnings or loss per share, and other financial items; statements regarding expectations, plans or objectives for future operations, products or services, and our expectations on our investment portfolio repositioning and loan recoveries or reaching positive resolutions on problem loans. All statements other than statements of historical fact are statements that could be forward-looking statements. You can identify these forward-looking statements through our use of words such as “may,” “will,” “anticipate,” “assume,” “should,” “indicate,” “would,” “believe,” “contemplate,” “expect,” “estimate,” “continue,” “plan,” “point to,” “project,” “could,” “intend,” “target,” “goals,” “outlooks,” “modeled,” “dedicated,” “create,” and other similar words and expressions of the future. Forward-looking statements, including those relating to our beliefs, plans, objectives, goals, expectations, anticipations, estimates and intentions, involve known and unknown risks, uncertainties and other factors, which may be beyond our control, and which may cause the Company’s actual results, performance, achievements, or financial condition to be materially different from future results, performance, achievements, or financial condition expressed or implied by such forward-looking statements. You should not rely on any forward-looking statements as predictions of future events. You should not expect us to update any forward-looking statements, except as required by law. All written or oral forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary notice, together with those risks and uncertainties described in “Risk factors” in our annual report on Form 10-K for the fiscal year ended December 31, 2024 filed on March 5, 2025, and in our other filings with the U.S. Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website www.sec.gov. Interim Financial Information Unaudited financial information as of and for interim periods, including the three -month periods ended March 31, 2025, December 31, 2024, and March 31, 2024, may not reflect our results of operations for our fiscal year ending, or financial condition as of December 31, 2025, or any other period of time or date. Non-GAAP Financial Measures The Company supplements its financial results that are determined in accordance with accounting principles generally accepted in the United States of America (“GAAP”) with non-GAAP financial measures, such as “pre- provision net revenue (PPNR)”, “core pre-provision net revenue (Core PPNR)”, “core noninterest income”, “core noninterest expense”, “core net income”, “core earnings per share (basic and diluted)”, “core return on assets (Core ROA)”, “core return on equity (Core ROE)”, “core efficiency ratio”, “tangible stockholders’ equity (book value) per common share”, “tangible common equity ratio, adjusted for net unrealized accumulated losses on debt securities held to maturity”, and “tangible stockholders' equity (book value) per common share, adjusted for net unrealized accumulated losses on debt securities held to maturity”. This supplemental information is not required by, or is not presented in accordance with GAAP. The Company refers to these financial measures and ratios as “non-GAAP financial measures”. We use certain non-GAAP financial measures, including those mentioned above, both to explain our results to shareholders and the investment community and in the internal evaluation and management of our business. Management believes that these supplementary non-GAAP financial measures and the information they provide are useful to investors since these measures permit investors to view our performance using the same tools that our management uses to evaluate our past performance and prospects for future performance. While we believe that these non-GAAP financial measures are useful in evaluating our performance, this information should be considered as supplemental and not as a substitute for or superior to the related financial information prepared in accordance with GAAP. Additionally, these non-GAAP financial measures may differ from similar measures presented by other companies. Appendix 1 reconciles these non-GAAP financial measures to reported results.
3 1Q25 Highlights Balance Sheet • Total assets were $10.2 billion, up by $268.0 million, compared to $9.9 billion in 4Q24 • Cash and cash and equivalents were $648.4 million, up by $58.0 million, compared to $590.4 million in 4Q24 • Total investments were $1.76 billion, up by $263.8 million, compared to $1.50 billion in 4Q24 • Total gross loans were $7.2 billion, down by $52.2 million, compared to $7.3 billion in 4Q24 • Total deposits were $8.2 billion, up by $300.4 million, compared to $7.9 billion in 4Q24 • Core deposits were $6.0 billion, up $372.9 million, compared to $5.6 billion in 4Q24 • FHLB advances were $715.0 million, down by $30.0 million, compared to $745.0 million in 4Q24 • Total Capital Ratio was 13.45% compared to 13.43% in 4Q24 • CET 1 was 11.11% compared to 11.21% in 4Q24 • Tier 1 Capital Ratio was 11.84% compared to 11.95% in 4Q24 • TCE Ratio(1) (2) was 8.69% compared to 8.77% in 4Q24 (1) Non-GAAP Financial Measure. See Appendix 1 for a reconciliation to GAAP. (2) TCE Ratio: 1Q25 includes $27.3 million accumulated unrealized losses net of taxes primarily related to the decline in the fair value of debt securities available for sale, which are carried at fair value, as a result of increases in market rates.
4 1Q25 Highlights Income Statement • Net income attributable to the Company was $12.0 million, down $4.9 million, compared to $16.9 million in 4Q24 • Diluted earnings per share was $0.28, compared to diluted earnings per share of $0.40 in 4Q24 • Net Interest Margin ("NIM") was 3.75%, unchanged from 4Q24 • Net Interest Income (“NII”) was $85.9 million, down $1.7 million, from $87.6 million in 4Q24 • Non-interest Income was $19.5 million, a decrease of $4.2 million, from $23.7 million in 4Q24. • Provision for credit losses was $18.4 million, up by $8.5 million, compared to $9.9 million in 4Q24 • Non-interest Expense was $71.6 million, down $11.8 million, from $83.4 million in 4Q24 • Pre-provision net revenue (“PPNR”) (1) was $33.9 million, up by $5.9 million, compared to PPNR of $27.9 million in 4Q24 (1) Non-GAAP Financial Measure. See Appendix 1 for a reconciliation to GAAP.
5 1Q25 Highlights Other Key Items • As of 1Q25 our aggregate borrowing capacity with either the Federal Reserve or FHLB was $3.0 billion • Assets under management increased $42.55 million to $2.93 billion, compared to $2.89 billion in 4Q24, primarily driven by net new assets • Paid quarterly cash dividend of $0.09 per common share on February 28, 2025 • On April 1, 2025, the Company redeemed $60 million in aggregate principal amount of its 5.75% Senior Notes due 2025. The Notes were redeemed in full at a redemption price equal to 100% of the principal amount of the Notes, plus accrued and unpaid interest. The aggregate redemption price, including accrued interest, totaled approximately $60.9 million.
6 Amerant Mortgage Updates Operating model transition: • Executing on a plan to reduce the size and scope of our mortgage business, transitioning from being a national mortgage originator to focusing on in-footprint mortgage lending to support Amerant's retail and private banking customer base • Currently, Amerant Mortgage operates as a subsidiary of Amerant Bank. As of 1Q25, it had 77 FTEs and licenses to operate in approximately 30 states, and most vendor contracts are short-term and mature within the next year • Expect to downsize and continue to operate business model at a much smaller scale. With reduced volume, we expect variable costs, such as vendor-related operating costs and personnel cost, to be lower, resulting in a reduction in non-interest expenses of approximately $2.5 million per quarter, starting in 3Q25 Key steps in the transition timeline (Next 120 days): – Progressively reducing FTE count to 20 – Transferring loans owned into our core platform – Exiting and/or modifying existing vendor contracts
7 74.91% 67.87% 4Q24 1Q25 19.2% 20.4% 4Q24 1Q25 1.18% 1.37% 4Q24 1Q25 0.67% 0.48% 4Q24 1Q25 7.38% 5.32% 4Q24 1Q25 NIB Deposits/ Total Deposits Efficiency Ratio ACL / Total Loans held for investment ROA ROE Select Performance Metrics Excluding non-routine items ($0.5 million in non-routine noninterest expenses and $2.9 million in non-routine noninterest income), these metrics were as follows as of 1Q25: • Efficiency Ratio(*) was 69.24% compared to 64.71% in 4Q24 • ROA(*) was 0.41% compared to 0.83% in 4Q24 • ROE(*) was 4.52% compared to 9.25% in 4Q24 Non-routine items in 4Q24 included $15.1 million in non-routine expenses and $5.9 million in non-routine noninterest income. (*) Non-GAAP Financial Measures. See Appendix 1 for a reconciliation to GAAP.
8 $85.0 $(5.3) $1.5 $3.8 $13.9 $(4.4) $4.7 $(0.9) $98.3 4Q24 Gross Charge- offs Recoveries Requirement for Charge-offs Specific Reserves Change Credit Quality and Other Macroeconomic Updates Model Adjustments for Macroeconomic Factors Loan Growth 1Q25 ($ in millions) Allowance for Credit Losses (ACL) • The net build in the ACL was a result of credit migration trends (5 loans totaling $34MM downgraded to substandard non-accrual, based on receipt of year-end 2024 financials) and to account for the macro uncertainty. • In April 2025, the Company sold a $6.9 million participation in a Quick-Service-Restaurant (QSR)-related loan with a $4.8 million charge-off that was fully reserved as of March 31st, 2025 and will be reported in 2Q25 charge-offs.
9 Classified Loans $166.5 $64.6 $(5.3) $(19.7) $206.1 4Q24 Downgrades to Classified Charge-offs Payoffs/Paydowns 1Q25 ($ in millions) • Classified loans of $206.1 million include 3 loans totaling $83.5 million that remain in accruing status • Net increase of $39.6 million or 24% in 1Q25, primarily driven by the following downgrades: – 1 CRE loan totaling $21.0 million downgraded to substandard accrual due to the loss of a large tenant – 5 loans totaling $33.7 million downgraded to substandard non-accrual, based on receipt of year-end 2024 financials
10 Non-Performing Loans (NPLs) ($ in millions) In addition to a delayed payoff to 2Q25, the divergence in actual results versus original estimates for 2/28/25 resulted from downgrades to classified and NPLs, primarily based on receipt of year-end 2024 financials Non-performing assets (NPAs) totaled $140.9 million, which include the $123.2 million in NPLs and $17.5 million in other real estate owned (OREO) – 2 of the 3 properties are under letter of intent (LOI) to sell $104.1 $(2.8) $101.3 $(16.2) $85.1 $39.0 $(5.3) $(5.0) $9.4 $123.2 4Q24 Payoffs Actual 2/6/25 Estimated Payoffs Original Estimate 2/28/25 Downgrades to NPLs Charge-offs Additional Payoffs Delayed Payoffs to 2Q25 1Q25 (1) (1) (1) As reported in investor update filed via Form 8-K on February 12, 2025
11 • 8 loans totaling $97.3 million downgraded to special mention, primarily due to: – 3 CRE NYC loans totaling $48.8 million that were originated between 2015-2017. While certain milestones were missed, there are acceptable mitigants in place, such as adequate loan to value, interest reserves or other structural enhancements – 5 commercial loans totaling $48.5 million downgraded based on receipt of year-end 2024 financials. Special Mention Loans $5.4 $97.3 $(3.0) $99.7 4Q24 Downgrades to Special Mention Payoffs/Paydowns 1Q25 ($ in millions)
12 2Q25 Outlook • Projected deposit growth in line with previous guidance of 15% annualized; continued focus on improving ratio of non-interest bearing to total deposits • Projected loan growth in the range of 10-15% by year end; temporary asset mix change (e.g. investment securities) would occur in the shorter-term if net loan growth occurs later in the year • Net interest margin projected to be in the mid-3.60% range in 2Q25 • Projected expenses in 2Q25 at similar levels than 1Q25, as certain cost reductions are expected to be offset with investment in continued expansion. Further cost reductions related to Amerant Mortgage expected in the second half of 2025 • Will continue execution of prudent capital management
13 Recent Significant Additions to Our Team Risk Management: Jeffrey Tischler • Chief Credit Officer (started 3/17/25); Executive Management Committee member • 24 years of experience, most recently as EVP, Chief Credit Officer at City National Bank, CA, an RBC Company. Previous experience includes 19 years at Fifth Third Bank and 2 years at Conway MacKenzie Cory Bowden • Head of Credit Review (started 11/4/24) • Over 25 years of experience, most recently as Credit Risk Team Manager for City National Bank, CA Kavitha Singh • Head of Enterprise Risk Management (started 9/23/24) • 20 years of experience, most recently as Director of Operational Risk at Bank United
14 Recent Significant Additions to Our Team Business Development: Braden Smith • Chief Consumer Banking Officer (appointed 4/14/25) • 30 years of experience, most recently as Vice Chairman and Head of Private Banking for Wintrust Financial Corp for the past 15 years • Started on 11/18/24 as Chief Business Development Officer Stephen Putnam • New head of Treasury Management (started 4/14/25) • 21 years of experience, most recently as SVP, Regional Treasury Sales Team Leader at Valley National Bank
15 Strategic Update • Opened our new regional office and banking center in West Palm Beach in mid-April 2025 • Opening two new locations in Miami Beach and a second one in downtown Tampa in the next several months; continuing to opportunistically look at other locations • Hiring focus is on adding to business development personnel in Miami Beach, West Palm Beach and Tampa • Expect further additions to bolster credit support as part of bringing on new leadership
Supplemental Information
17 77.6% 22.4% $1,298.1 $1,437.2 $1,702.1 $224.0 $2.5 $2.5 $2.5 4.17% 4.73% 4.94% 1Q24 4Q24 1Q25 0 500 1,000 1,500 2,000 83.2% 16.8% Balances and Yields (1) AFS HTM Fixed vs. Floating (2) March 2025 Floating rate Fixed rate Available for Sale Securities by Type March 31, 2025 5.2 yrs Effective Duration ($ in millions) Marketable Equity Securities (2) (1) Excludes Federal Reserve Bank and FHLB stock (2) Hybrid investments are classified based on current rate (fixed or floating) (3) Based on estimated prepayment speeds Yield 4.4 yrs Effective Duration 34.3 51.9 45.0 49.5 2Q25 3Q25 4Q25 1Q26 0.0 25.0 50.0 75.0 ($ in millions) Expected Prepayments & Maturities Expected Prepayments & Maturities (3) Maturing Yield % Investment Portfolio 4.84% 4.91% 5.08% 5.12% December 2024 As of March 31, 2025, 99% of the Available for Sale portfolio consists of MBS issued or guaranteed by Government agencies and Government sponsored enterprises.
18 34.1% 35.0% 34.7% 34.7% 35.3% 22.5% 22.7% 23.9% 26.4% 25.9% 17.0% 16.4% 16.2% 13.9% 13.7% 21.6% 21.7% 21.4% 21.3% 21.6% 4.8% 4.2% 3.8% 3.8% 3.4% 7.05% 7.08% 7.08% 7.00% 6.84% 1Q24 2Q24 3Q24 4Q24 1Q25 78.2% 79.4% 80.3% 91.5% 91.5% 12.9% 11.6% 10.5% 3.3% 3.0% 2.9% 3.0% 3.0% 3.9% 4.2% 4.7% 4.0% 3.8% 1.7% 1.6% 1.5% 1.6% 1.6% 1Q24 2Q24 3Q24 4Q24 1Q25 Consumer CRE Commercial and FI & Acceptances Owner Occupied Single Family Residential Loan Composition (1) Geographic Mix (Domestic) Geographic ix (1) South Florida Texas New York Average Loan Yield Other (2) (1) Includes loans held for investment carried at amortized cost and loans held for sale carried at fair value. 3Q24 and 2Q24 also includes loans held for sale carried at the lower of cost or fair value in connection with the Houston Transaction. (2) Consists of international loans; residential loans with U.S. collateral Tampa Loan Portfolio Highlights
19 Loans Held for Investment Portfolio by Industry • Diversified portfolio - highest sector concentration, other than real estate, at 15% of total loans • 71% of total loans secured by real estate • Main concentrations: – CRE or Commercial Real Estate – Wholesale - Food & Auto and and computer parts wholesalers – Retail - Gas stations – Services – Healthcare and Restaurants Highlights (1) Consists primarily of finance facilities granted to non-bank financial companies. (2) Comprised mostly of construction and real estate related services and equipment rental and leasing activities. (3) Food wholesalers represented approximately 33%. (4) Gasoline stations represented approximately 38%. (5) Healthcare represented approximately 38%. (6) Restaurants and food services represented 71% (7) Primarily residential, consumer loans, and cash secured loans and loans belonging to industrial sectors not included in the above sectors, which do not individually represent more than 1 percent of the total loans portfolio. ($ in millions) Real Estate Non-Real Estate Total % Total Loans Financial Sector (1) $ 4 $ 402 $ 406 5.7 % Construction and Real Estate & Leasing: Commercial real estate loans 2,541 — 2,541 35.5 % Other real estate related services and equipment leasing (2) 177 125 302 4.2 % Total construction and real estate & leasing 2,718 125 2,843 39.7 % Manufacturing: Foodstuffs, Apparel 73 27 100 1.4 % Metals, Computer, Transportation and Other 28 45 73 1.0 % Chemicals, Oil, Plastics, Cement and Wood/Paper 15 7 22 0.3 % Total Manufacturing 116 79 195 2.7 % Wholesale (3) 86 242 328 4.6 % Retail Trade (4) 220 189 409 5.7 % Services: Non-Financial Public Sector — 10 10 0.1 % Communication, Transportation, Health and Other (5) 203 381 584 8.2 % Accommodation, Restaurants, Entertainment and other services (6) 130 277 407 5.7 % Electricity, Gas, Water, Supply and Sewage Services 5 69 74 1.0 % Total Services 338 737 1,075 15.0 % Primary Products: Agriculture, Livestock, Fishing and Forestry 3 2 5 0.1 % Mining — — — — % Total Primary Products 3 2 5 0.1 % Other Loans (7) 1,558 339 1,897 26.5 % Total Loans $ 5,043 $ 2,115 $ 7,158 100.0 % March 31, 2025
20 CRE Type FL TX NY Other Total % Total CRE % Total Loans (1) Income Producing (2) Land and Construction Retail $ 563 $ 19 $ 83 $ 13 $ 678 26.7 % 9.5 % $ 673 $ 5 Multifamily $ 293 $ 76 $ 83 $ — $ 452 17.8 % 6.3 % $ 401 $ 51 Office $ 304 $ 42 $ 40 $ 25 $ 411 16.2 % 5.7 % $ 411 $ — Hotels $ 254 $ 47 $ — $ — $ 301 11.9 % 4.2 % $ 293 $ 8 Industrial $ 59 $ 4 $ 15 $ — $ 78 3.0 % 1.1 % $ 78 $ — Specialty $ 148 $ — $ — $ 48 $ 196 7.7 % 2.7 % $ 185 $ 11 Land $ 361 $ 4 $ — $ 60 $ 425 16.7 % 5.9 % $ — $ 425 Total CRE $ 1,982 $ 192 $ 221 $ 146 $ 2,541 100.0 % 35.4 % $ 2,041 $ 500 Outstanding as of March 31, 2025 ($ in millions) (1) Calculated as a percentage of loans held for investment only. (2) Income producing properties include non-owner occupied and multi-family residential loans. CRE Loans Held For Investment - Detail
21 19% 36% 31% 14% —% 50% or less 50- 60% 60- 70% 70- 80% 80% or more 0% 10% 20% 30% 40% 50% 60% • Florida primarily include neighborhood shopping centers or service centers with basic needs related anchor stores, as well as the retail corridor in Miami Beach • New York primarily includes high traffic retail corridors with proximity to public transportation services • Single-tenant consist of four loans in South Florida (Food and Health, Clothing and Car Wash), one loan located in the Fulton Mall corridor in Brooklyn, NY, and one Central Florida (Furniture) CRE Retail (1) Retail - LTV (2) Food and Health Retail; 11% Clothing; 43%Car Wash; 25% Groceries; 10% Restaurant; 11% CRE Retail - Single Tenant (1) (1) CRE retail loans held for investment above $3.0 million (2) LTV at origination Total: $679 million Loan Portfolio Percentage: 9.5% Total: $35 million Loan Portfolio Percentage: 0.5% Neighborhood Center; 38% Strip/Convenience; 24% Community Center; 19% Theme/Festival Center; 6% Single Tenant; 5% Retail Storefront; 4% Regional Center; 2% Flex Property; 1% Fashion/Specialty Center; 1% CRE Retail - Detail As of March 31, 2025 Weighted Average LTV: 59 %
22 New York; 10% Texas; 11% South Florida; 73% Other ; 6.0% 15% 35% 41% 9% —% 50% or less 51-60% 61-70% 71-80% 81% or more 0% 10% 20% 30% 40% 50% 60% CRE office above $3 million represent 24 loans totaling $396 million, or 96% of total CRE office with avg. debt-service coverage (DSCR) (3) 1.7x and LTV 59% ◦ South Florida: 17 loans totaling $289 million (61% Miami-Dade, 33% Broward and 6% Palm Beach) with avg. DSCR 1.7x and LTV 59% ◦ New York: 2 loans totaling $40 million (52% Westchester and 48% Kings) with avg. DSCR 1.4x and LTV 64% ◦ Texas: 4 loans totaling $62 million (92% Dallas and 8% Houston) with avg. DSCR 1.8x and LTV 61% CRE Office (1) Office - LTV (2) (1) CRE office loans held for investment above $3 million (2) LTV at origination (3) DSCR based upon most recent borrower information Total: $396 million Loan Portfolio Percentage: 5.5% CRE Office - Detail As of March 31, 2025 Weighted Average LTV: 59%
23 0.43% 1.38% 1.52% 1.43% 1.71% 0.51% 1.24% 1.25% 1.23% 1.38% 1Q24 2Q24 3Q24 4Q24 1Q25 3.2x 0.9x 0.7x 0.8x 0.8x 1Q24 2Q24 3Q24 4Q24 1Q25 $96.1 $94.4 $79.9 $85.0 $98.3 1.38% 1.41% 1.15% 1.18% 1.37% 1Q24 2Q24 3Q24 4Q24 1Q25 0.69% 1.13% 1.90% 0.26% 0.22% 1Q24 2Q24 3Q24 4Q24 1Q25 Net Charge-Offs / Average Total Loans Held for Investment Allowance for Credit Losses ($ in millions) NPLs/ Total Loans and NPAs / Total Assets Allowance for Credit Losses / Total NPLs Allowance for Credit Losses ACL as a % of Total Loans Held for Investment NPLs / Total Loans NPAs / Total Assets Credit Quality
24 7,878 7,816 8,111 7,855 8,155 $4,236 $4,040 $4,225 $4,115 $4,280 $1,595 $1,611 $1,702 $1,533 $1,527 $650 $700 $702 $702 $695 $1,397 $1,465 $1,482 $1,505 $1,653 3.00% 2.98% 2.99% 2.76% 2.60% 1Q24 2Q24 3Q24 4Q24 1Q25 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 $2,423 $2,465 $2,576 $2,562 2022 2023 2024 1Q25 1,000 2,000 3,000 $4,621 $5,430 $5,278 $5,593 2022 2023 2024 1Q25 2,500 5,000 Domestic Deposits ($ in millions) Deposit Composition International Deposits ($ in millions) Mix by Country of Domicile Transaction Deposits Customer CDs Brokered Deposits (1) Cost of total Deposits ($ in millions) Noninterest Bearing Demand Deposits 31% of Total Deposits Approx. avg. acct balance: $45,000 (1) 69% of Total Deposits Approx. avg. acct balance: $110,000 (1) Well Diversified and Stable Deposit Mix (1) Average deposit account balances in Deposit Mix Slide calculated as of December 31, 2024 (1) Brokered Deposits : there were no brokered transaction deposits in 4Q24, 3Q24, 2Q24 and 1Q24, while 1Q25 include brokered transaction deposits of $60 million. 1Q25, 4Q24, 3Q24, 2Q24 and 1Q24 brokered time deposits were $635 million, $702 million, $702 million, $700 million and $650 million, respectively.
25 $78.0 $79.4 $81.0 $87.6 $85.9 3.51% 3.56% 3.49% 3.75% 3.75% Net Interest Income NIM 1Q24 2Q24 3Q24 4Q24 1Q25 0 10 20 30 40 50 60 70 80 90 NII and NIM (%) 25 ($ in millions) 1Q24 2Q24 3Q24 4Q24 1Q25 Cost of Deposits (Domestic) 3.78 % 3.74 % 3.72 % 3.39 % 3.18 % Cost of Deposits (International) 1.39 % 1.42 % 1.41 % 1.38 % 1.31 % Cost of FHLB Advances 3.48 % 3.79 % 4.07 % 4.04 % 4.04 % Cost of Funds 3.09 % 3.11 % 3.15 % 2.94 % 2.78 % 0.27 0.46 Cumulative Beta 3Q24 4Q24 1Q25 0.00 0.60 Net Interest Income and NIM Interest-Bearing Deposits Beta Evolution (1) Cost of Funds (1) Beta calculation does not include brokered deposits (2) First interest rate cut in downward rate cycle took place in August 2024. Therefore, 3Q24 is the starting point for beta calculation. (2)
26 <1 year; 60% 1-3 years; 4% 4-5 years; 6% 5+ years; 30% 331 348 358 367 382 392 398 -200 bps -100 bps -50 bps BASE +50 bps +100 bps +200 bps 0 240 480 As of March 31, 2025 Fixed 43% Adjustable 57% 26 By Interest TypeBy Rate Type By Repricing Term (1) NII and percentage change represents the base scenario of net interest income. The base scenario assumes (i) flat interest rates over the next 12 months, (ii) that total financial instrument balances are kept constant over time and (iii) that interest rate shocks are instant and parallel to the yield curve (2) Totals may not sum due to rounding Loan Portfolio Details Impact on NII from Interest Rate Change (1)(2) AFSChange from base ($ in M ill io n s) Fixed 43% UST 2% Prime 13% SOFR 42% As of March 31, 2025 Impact on AFS from Interest Rate Change (1) (9.9)% (5.0)% 0% 6.8%4.2% (2.5)% 8.6% No Floor; 55% 0.5-2%; 1% 2-3.5%; 12% 3.5-5%; 8% 5-6.75%; 24% By Floors 1,808 1,768 1,736 1,700 1,662 1,620 1,527 -200 bps -100 bps -50 bps MV +50 bps +100 bps +200 bps ($ in M ill io n s) 6.4% 4.0% 2.1% 0% (2.3)% (4.7)% (10.2)% Expected AOCL Improvement Change from MVNet Interest Income (37,783) (25,264) 1Q25 1Q26 (estimated) (40,000) (20,000) — approx. 33% drop in AOCL Interest Rate Sensitivity
27 14.5 19.4 23.6 19.5 (47.7) $4.3 $5.3 $5.0 $5.4 $5.1 $4.3 $4.5 $4.5 $4.7 $4.7 $(68.5) $(8.2) $5.6 $7.2 $7.8 $19.6 $8.1$0.5 $3.5 $1.5 1Q24 2Q24 3Q24 4Q24 1Q25 -75 -50 -25 0 25 17% 83% 28% 72% Non-Interest Income Mix Deposits and service fees Brokerage, advisory and fiduciary activities Other noninterest income (1) DomesticInternational 1Q24 $2.9B ($ in millions) Securities losses, net Loan-related derivative income Derivative losses, net Gain on early extinguishment of FHLB advances, net Non-Interest Income Mix $2.4B Assets Under Management and Custody 1Q25 $(0.2) (1) Other noninterest income in 4Q24 includes a $12.6 million one-time gain on the sale of the Houston Franchise $(0.2) ($0.1) $1.4 $0.7 $2.4$0.2
28 66.6 73.3 76.2 83.4 71.6 $33.0 $33.9 $35.0 $35.3 $33.3 $33.6 $39.4 $41.2 $48.1 $38.3 696 720 735 698 726 1Q24 2Q24 3Q24 4Q24 1Q25 0 25 50 75 100 Non-Interest Expense Mix ($ in millions, except for FTEs) Non-routine Noninterest Expenses $0.9 $2.5$1.3 $12.6 $3.4 1Q24 2Q24 3Q24 4Q24 1Q25 0 5 10 15 ($ in millions) Non-Interest Expense Salaries and employee benefits Other operating expenses FTEs Other non-routine noninterest expenses Losses on loans held for sale carried at the lower cost or fair value Fixed assets impairment Losses on sale of repossessed assets and other real estate owned loss .9 0.0 5.6 5.7 15.1 0.5
29 Change in Diluted Earnings Per Common Share $0.40 $0.14 $(0.05) $(0.21) $0.28 4Q24 PPNR Income Tax Expense Provision for Credit Losses and Other 1Q25 $(0.40) $(0.20) $— $0.20 $0.40 $0.60 EPS Trend (1) Non-GAAP Financial Measure. See Appendix 1 for a reconciliation to GAAP. (1)
Appendices
31 Appendix 1 Non-GAAP Financial Measures Reconciliations The following table sets forth selected financial information derived from the Company’s interim unaudited and annual audited consolidated financial statements, adjusted for the effect of non-core banking activities such as the sale of loans and securities and other repossessed assets, the Houston Transaction, the valuation of securities, derivatives, loans held for sale and other real estate owned and repossessed assets, the early repayment of FHLB advances, impairment of investments, and other non-routine actions intended to improve customer service and operating performance. The Company believes these adjusted numbers are useful for understanding its performance excluding these transactions and events Three Months Ended, ($ in thousands) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Net income (loss) attributable to Amerant Bancorp Inc. $ 11,958 $ 16,881 $ (48,164) $ 4,963 $ 10,568 Plus: provision for credit losses (1) 18,446 9,910 19,000 19,150 12,400 Plus: provision for income tax expense (benefit) 3,471 1,142 (13,728) 1,360 2,894 Pre-provision net revenue (loss) (PPNR) 33,875 27,933 (42,892) 25,473 25,862 Plus: non-routine noninterest expense items 534 15,148 5,672 5,562 — (Less) plus: non-routine noninterest income items (2,863) (5,864) 68,484 (28) 206 Core pre-provision net revenue (Core PPNR) $ 31,546 $ 37,217 $ 31,264 $ 31,007 $ 26,068 Total noninterest income (loss) $ 19,525 $ 23,684 $ (47,683) $ 19,420 $ 14,488 Less (plus): Non-routine noninterest income (loss) items: Derivatives (losses), net — — — (44) (152) Securities gains (losses), net (2) 64 (8,200) (68,484) (117) (54) Gain on sale of loans (3) 2,799 — — — — Gain on sale of Houston Franchise (4) — 12,636 — — — Gains on early extinguishment of FHLB advances, net — 1,428 — 189 — Total non-routine noninterest income (loss) items $ 2,863 $ 5,864 $ (68,484) $ 28 $ (206) Core noninterest income $ 16,662 $ 17,820 $ 20,801 $ 19,392 $ 14,694
32 Three Months Ended, ($ in thousands) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Total noninterest expense $ 71,554 $ 83,386 $ 76,208 $ 73,302 $ 66,594 Less: non-routine noninterest expense items Non-routine noninterest expense items: Losses on loans held for sale carried at the lower cost or fair value (4)(5) — 12,642 — 1,258 — Other real estate owned valuation expense (6) 534 — 5,672 — — Goodwill and intangible assets impairment — — — 300 — Fixed assets impairment (4)(7) — — — 3,443 — Legal, broker fees and other costs (4) — 2,506 — 561 — Total non-routine noninterest expense items $ 534 $ 15,148 $ 5,672 $ 5,562 $ — Core noninterest expense $ 71,020 $ 68,238 $ 70,536 $ 67,740 $ 66,594 Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd)
33 Three Months Ended, ($ in thousands, except percentages and per share data) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Net income (loss) attributable to Amerant Bancorp Inc. $ 11,958 $ 16,881 $ (48,164) $ 4,963 $ 10,568 Plus after-tax non-routine items in noninterest expense: Non-routine items in noninterest expense before income tax effect 534 15,148 5,672 5,562 — Income tax effect (8) (120) (3,409) (1,332) (1,196) — Total after-tax non-routine items in noninterest expense 414 11,739 4,340 4,366 — (Less) plus after-tax non-routine items in noninterest income: Non-routine items in noninterest income (loss) before income tax effect (2,863) (5,864) 68,484 (28) 206 Income tax effect (8) 644 (1,596) (15,411) 6 (44) Total after-tax non-routine items in noninterest income (loss) (2,219) (7,460) 53,073 (22) 162 Core net income $ 10,153 $ 21,160 $ 9,249 $ 9,307 $ 10,730 Basic earnings (loss) per share $ 0.28 $ 0.40 $ (1.43) $ 0.15 $ 0.32 Plus: after tax impact of non-routine items in noninterest expense 0.01 0.28 0.13 0.13 — (Less) plus: after tax impact of non-routine items in noninterest income (loss) (0.05) (0.18) 1.57 — — Total core basic earnings per common share $ 0.24 $ 0.50 $ 0.27 $ 0.28 $ 0.32 Diluted earnings (loss) per share (9) $ 0.28 $ 0.40 $ (1.43) $ 0.15 $ 0.31 Plus: after tax impact of non-routine items in noninterest expense 0.01 0.28 0.13 0.13 — (Less) plus: after tax impact of non-routine items in noninterest income (loss) (0.05) (0.18) 1.57 — 0.01 Total core diluted earnings per common share $ 0.24 $ 0.50 $ 0.27 $ 0.28 $ 0.32 Net income (loss) / Average total assets (ROA) 0.48 % 0.67 % (1.92) % 0.21 % 0.44 % Plus: after tax impact of non-routine items in noninterest expense 0.02 % 0.46 % 0.18 % 0.17 % — % (Less) plus: after tax impact of non-routine items in noninterest income (loss) (0.09) % (0.30) % 2.11 % — % — % Core net income / Average total assets (Core ROA) 0.41 % 0.83 % 0.37 % 0.38 % 0.44 % Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd)
34 Three Months Ended, ($ in thousands, except percentages and per share data) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Net income (loss)/ Average stockholders' equity (ROE) 5.32 % 7.38 % (24.98) % 2.68 % 5.69 % Plus: after tax impact of non-routine items in noninterest expense 0.19 % 5.13 % 2.25 % 2.36 % — % (Less) plus: after tax impact of non-routine items in noninterest income (loss) (0.99) % (3.26) % 27.53 % (0.01) % 0.09 % Core net income / Average stockholders' equity (Core ROE) 4.52 % 9.25 % 4.80 % 5.03 % 5.78 % Efficiency ratio 67.87 % 74.91 % 228.74 % 74.21 % 72.03 % Less: impact of non-routine items in noninterest expense and noninterest income (loss) 1.37 % (10.20) % (159.45) % (5.61) % (0.16) % Core efficiency ratio 69.24 % 64.71 % 69.29 % 68.60 % 71.87 % Stockholders' equity $ 906,263 $ 890,467 $ 902,888 $ 734,342 $ 738,085 Less: goodwill and other intangibles (10) (24,135) (24,314) (24,366) (24,581) (24,935) Tangible common stockholders' equity $ 882,128 $ 866,153 $ 878,522 $ 709,761 $ 713,150 Total assets 10,169,688 9,901,734 10,353,127 9,747,738 9,817,772 Less: goodwill and other intangibles (10) (24,135) (24,314) (24,366) (24,581) (24,935) Tangible assets $ 10,145,553 $ 9,877,420 $ 10,328,761 $ 9,723,157 $ 9,792,837 Common shares outstanding 41,952,590 42,127,316 42,103,623 33,562,756 33,709,395 Tangible common equity ratio 8.69 % 8.77 % 8.51 % 7.30 % 7.28 % Stockholders' book value per common share $ 21.60 $ 21.14 $ 21.44 $ 21.88 $ 21.90 Tangible stockholders' equity book value per common share $ 21.03 $ 20.56 $ 20.87 $ 21.15 $ 21.16 Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd)
35 Three Months Ended, ($ in thousands, except percentages and per share data) March 31, 2025 December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Tangible common stockholders' equity $ 882,128 $ 866,153 $ 878,522 $ 709,761 $ 713,150 Less: Net unrealized accumulated losses on debt securities held to maturity, net of tax (11) — — — (20,304) (18,729) Tangible common stockholders' equity, adjusted for net unrealized accumulated losses on debt securities held to maturity $ 882,128 $ 866,153 $ 878,522 $ 689,457 $ 694,421 Tangible assets $ 10,145,553 $ 9,877,420 $ 10,328,761 $ 9,723,157 $ 9,792,837 Less: Net unrealized accumulated losses on debt securities held to maturity, net of tax (11) — — — (20,304) (18,729) Tangible assets, adjusted for net unrealized accumulated losses on debt securities held to maturity $ 10,145,553 $ 9,877,420 $ 10,328,761 $ 9,702,853 $ 9,774,108 Common shares outstanding 41,952,590 42,127,316 42,103,623 33,562,756 33,709,395 Tangible common equity ratio, adjusted for net unrealized accumulated losses on debt securities held to maturity 8.69 % 8.77 % 8.51 % 7.11 % 7.10 % Tangible stockholders' book value per common share, adjusted for net unrealized accumulated losses on debt securities held to maturity $ 21.03 $ 20.56 $ 20.87 $ 20.54 $ 20.60 Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd)
36 Appendix 1 Non-GAAP Financial Measures Reconciliations (cont'd) (1) Includes provision for credit losses on loans and provision for loan contingencies. See Footnote 7 in Exhibit 1 - Selected Financial Information for more details. (2) In the third quarter of 2024, the Company executed an investment portfolio repositioning which resulted in a total pre-tax net loss of $68.5 million during the same period. The investment portfolio repositioning was completed in early October 2024 resulting in an additional $8.1 million in losses in the fourth quarter of 2024. (3) In the three months ended March 31, 2025, includes gain on sale of $3.2 million, related to the sale of a loan that had been charged off in prior periods. (4) In the three months ended December 31, 2024 and June 30, 2024, amounts shown are in connection with the sale of the Company’s Houston franchise which were disclosed on a Form 8-K on April 17, 2024 (the “Houston Transaction”). (5) In the three months ended December 31, 2024, includes loss on sale of $12.6 million, including transaction costs, related to the sale of a portfolio of 323 business- purpose, investment property, residential mortgage loans with a balance of approximately $71.4 million. (6) Includes $0.5 million of OREO valuation expense in the three months ended March 31, 2025. (7) Related to Houston branches and included as part of occupancy and equipment expenses. (8) In the three months ended March 31, 2025 and 2024, amounts were calculated based upon the effective tax rate for the period of 22.50% and 21.50%, respectively. For all of the other periods shown, amounts represent the difference between the prior and current period year-to-date tax effect. (9) See 2024 Form 10-K for more information on potential dilutive instruments and its impact on diluted earnings per share computation. (10) At March 31, 2025, December 31, 2024, September 30, 2024, June 30, 2024 and March 31, 2024, other intangible assets primarily consist of naming rights of $1.9 million, $2.0 million, $2.1 million, $2.3 million and $2.4 million, respectively, and mortgage servicing rights (“MSRs”) of $1.4 million, $1.5 million, $1.4 million, $1.5 million and $1.4 million, respectively. Other intangible assets are included in other assets in the Company’s consolidated balance sheets. (11) There were no debt securities held to maturity at March 31, 2025, December 31, 2024 and September 30, 2024. As of June 30, 2024 and March 31, 2024, amounts were calculated based upon the fair value on debt securities held to maturity, and assuming a tax rate of 25.38% and 25.40%, respectively.
37 Income Statement Highlights - 1Q25 vs 4Q24 ($ in thousands) 1Q25 4Q24 Change Total Interest Income Loans $ 121,021 $ 128,910 $ (7,889) Investment securities 18,919 17,123 1,796 Interest earning deposits with banks and other interest income 6,468 6,885 (417) Total Interest Expense — Interest bearing demand deposits 10,454 12,859 (2,405) Savings and money market deposits 16,675 15,720 955 Time deposits 23,858 26,427 (2,569) Advances from FHLB 7,200 7,946 (746) Senior notes 942 941 1 Subordinated notes 361 361 — Junior subordinated debentures 1,014 1,030 (16) Securities sold under agreements to repurchase — 1 (1) Total Provision for Credit Losses 18,446 9,910 8,536 Total Noninterest Income 19,525 23,684 (4,159) Total Noninterest Expense 71,554 83,386 (11,832) Income Tax (Benefit) Expense 3,471 1,142 2,329 Net Income (Loss) Attributable to Amerant Bancorp Inc. $ 11,958 $ 16,881 $ (4,923)
38 • ACL - Allowance for Credit Losses • AFS - Available for Sale • AOCL - Accumulated Other Comprehensive Loss • CET 1 - Common Equity Tier 1 capital ratio • CRE - Commercial Real Estate • Customer CDs - Customer certificate of deposits • C&I - Commercial and Industrial • EPS – Earnings per Share • FHLB - Federal Home Loan Bank • FTE - Full Time Equivalent • HTM - Held to Maturity • MV - Market Value • NPL - Non-Performing Loans • NPA - Non-Performing Assets • NIB - Noninterest Bearing • NII - Net Interest Income • NIM – Net Interest Margin • ROA - Return on Assets • ROE - Return on Equity • SOFR - Secured Overnight Financing Rate • TCE ratio – Tangible Common Equity ratio Glossary
39Glossary (cont'd) • Total gross loans: includes loans held for investment carried at amortized cost, loans held for sale carried at fair value, and loans held for sale carried at the lower of estimated fair value or cost • Cost of Total Deposits: annualized and calculated based upon the average daily balance of total deposits. • ROA: calculated based upon the average daily balance of total assets • ROE: calculated based upon the average daily balance of stockholders' equity • Loans Held for Investment: excludes loans held for sale carried at fair value and loans held for sale carried at the lower of cost or fair value • Non-performing loans include accruing loans past due by 90 days or more and all nonaccrual loans. Non-performing assets include accruing loans past due by 90 days or more, all nonaccrual loans, other real estate owned ("OREO") properties acquired through or in lieu of foreclosure and other repossessed assets. • Net Charge Offs/Average Total Loans Held for Investment: – Annualized and calculated based upon the average daily balance of outstanding loan principal balance net of unamortized deferred loan fees and costs, excluding the allowance for credit losses – Total loans exclude loans held for sale • Cost of Deposits: calculated based upon the average balance of total noninterest bearing and interest bearing deposits, which includes time deposits. • Cost of Funds: calculated based upon the average balance of total financial liabilities which include total interest bearing liabilities and noninterest bearing demand deposits • Quarterly beta (as shown in NII & NIM Slide): calculated based upon the change of the cost of deposit over the change of Federal funds rate (if any) during the quarter.
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Document
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| Laura Rossi |
| InvestorRelations@amerantbank.com |
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AMERANT BANCORP INC. DECLARES DIVIDEND
CORAL GABLES, FLORIDA, April 23, 2025. Amerant Bancorp Inc. (NYSE: AMTB) (the “Company” or “Amerant”) today announced that, on April 23, 2025, the Company’s Board of Directors declared a cash dividend of $0.09 per-share of Amerant common stock. The dividend is payable on May 30, 2025, to shareholders of record at the close of business on May 15, 2025.
About Amerant Bancorp Inc. (NYSE: AMTB)
Amerant Bancorp Inc. is a bank holding company headquartered in Coral Gables, Florida since 1979. The Company operates through its main subsidiary, Amerant Bank, N.A. (the “Bank”), as well as its other subsidiaries: Amerant Investments, Inc., and Amerant Mortgage, LLC. The Company provides individuals and businesses with deposit, credit and wealth management services. The Bank, which has operated for over 40 years, is headquartered in Florida and operates 20 banking centers – 19 in South Florida and 1 in Tampa, Florida. For more information, visit investor.amerantbank.com.
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