Banner Corp (BANR) 2023 Q1 法說會逐字稿

Good morning and thank you for attending today's First Quarter 2023 Earnings Call for Banner Corporation. My name is Jason, and I'll be the moderator for today's call. (Operator Instructions) I would now like to pass the conference over to our host, Mark Grescovich, President and CEO.

早上好，感謝您參加今天的 Banner Corporation 2023 年第一季度收益電話會議。我叫傑森，我將擔任今天電話會議的主持人。 （操作員指示）我現在想將會議轉交給我們的東道主、總裁兼首席執行官馬克·格雷斯科維奇 (Mark Grescovich)。

Thank you, Jason. And good morning, everyone. I would also like to welcome you to the First Quarter 2023 Earnings Call for Banner Corporation. Joining me on the call today is Peter Conner, Banner Corporation's Chief Financial Officer; Jill Rice, our Chief Credit Officer; and Rich Arnold, our Head of Investor Relations. Also joining our call today is Rob Butterfield, our recently announced Chief Financial Officer of Banner Bank. Rich, would you please read our forward-looking safe harbor statement?

謝謝你，傑森。大家早上好。我還歡迎您參加 Banner Corporation 2023 年第一季度收益電話會議。今天和我一起參加電話會議的是班納公司 (Banner Corporation) 首席財務官彼得·康納 (Peter Conner)。吉爾·賴斯 (Jill Rice)，我們的首席信貸官；以及我們的投資者關係主管 Rich Arnold。今天加入我們電話會議的還有 Rob Butterfield，我們最近宣布擔任 Banner 銀行首席財務官。 Rich，您能閱讀我們的前瞻性安全港聲明嗎？

Sure, Mark. Good morning. Our presentation today discusses Banner's business outlook and will include forward-looking statements. Those statements include descriptions of management's plans, objectives or goals for future operations, products or services, forecast of financial or other performance measures and statements about Banner's general outlook for economic and other conditions.

當然，馬克。早上好。我們今天的演講討論了班納的業務前景，並將包括前瞻性陳述。這些陳述包括對管理層未來運營、產品或服務的計劃、目的或目標的描述、財務或其他績效指標的預測以及有關班納對經濟和其他狀況的總體前景的陳述。

We also may make other forward-looking statements in the question-and-answer period following management's discussion. These forward-looking statements are subject to a number of risks and uncertainties. Actual results may differ materially from those discussed today. Information on the risk factors of actual results differ are available from our earnings press release that was released yesterday and a recently filed Form 10-K for the year ended December 31, 2022.

我們還可能在管理層討論後的問答階段做出其他前瞻性陳述。這些前瞻性陳述受到許多風險和不確定性的影響。實際結果可能與今天討論的結果大不相同。有關實際結果的風險因素的信息有所不同，請參見我們昨天發布的收益新聞稿和最近提交的截至 2022 年 12 月 31 日止年度的 10-K 表格。

Forward-looking statements are effective only as of the date they are made, and Banner assumes no obligation to update information concerning its expectations. Mark?

前瞻性陳述僅自作出之日起有效，班納不承擔更新有關其預期的信息的義務。標記？

Thank you, Rich. As is customary, today, we will cover 4 primary items with you. First, I will provide you high-level comments on Banner's first quarter 2023 performance; second, the actions Banner continues to take to support all of our stakeholders, including our Banner team, our clients, our communities and our shareholders; third, Jill Rice will provide comments on the current status of our loan portfolio; and finally, Peter Conner and Rob Butterfield will provide more detail on our operating performance for the quarter as well as comments on our balance sheet.

謝謝你，里奇。按照慣例，今天我們將向您介紹 4 個主要項目。首先，我將為您提供對班納2023年第一季度業績的高層評論；其次，邦納繼續採取行動支持我們所有的利益相關者，包括我們的邦納團隊、我們的客戶、我們的社區和我們的股東；第三，吉爾·賴斯（Jill Rice）將對我們貸款組合的現狀發表評論；最後，彼得·康納 (Peter Conner) 和羅布·巴特菲爾德 (Rob Butterfield) 將提供有關我們本季度運營業績的更多詳細信息以及對我們資產負債表的評論。

Before I get started, I want to again thank all of my 2,000 colleagues in our company that continue implementing our Banner Forward initiatives and who are working extremely hard to assist our clients and communities. Banner has lived our core values, summed up as doing the right thing for the past 133 years. Our overarching goal continues to be, do the right thing for our clients, our communities, our colleagues, our company and our shareholders and to provide a consistent and reliable source of commerce and capital through all economic cycles and change events.

在開始之前，我想再次感謝我們公司所有 2,000 名同事，他們繼續實施我們的 Banner Forward 計劃，並非常努力地幫助我們的客戶和社區。過去 133 年來，班納一直踐行我們的核心價值觀，即做正確的事。我們的總體目標仍然是，為我們的客戶、我們的社區、我們的同事、我們的公司和我們的股東做正確的事情，並在所有經濟周期和變化事件中提供一致和可靠的商業和資本來源。

I am pleased to report again to you that is exactly what we continue to do. I am very proud of the entire Banner team that are living our core values. Now let me turn to an overview of our performance. As announced, Banner Corporation reported a net profit available to common shareholders of $55.6 million or $1.61 per diluted share for the quarter ended March 31, 2023. This compares to a net profit to common shareholders of $1.27 per share for the first quarter of 2022 and $1.58 per share for the fourth quarter of 2022.

我很高興再次向您報告，這正是我們將繼續做的事情。我為整個橫幅團隊踐行我們的核心價值觀感到非常自豪。現在讓我回顧一下我們的表現。正如所宣布的，班納公司報告稱，截至 2023 年 3 月 31 日的季度，普通股股東可獲得的淨利潤為 5560 萬美元，即稀釋後每股收益 1.61 美元。相比之下，2022 年第一季度普通股股東淨利潤為每股 1.27 美元， 2022 年第四季度每股 1.58 美元。

The earnings comparison is impacted by the provision or recapture of credit losses, the rapid change in interest rates, our strategy is to maintain a moderate risk profile and the performance improvement resulting from our Banner Forward initiatives that we started in the third quarter of 2021. Peter and Rob will discuss these items in more detail shortly.

收益比較受到信貸損失撥備或收回、利率快速變化的影響，我們的策略是保持適度的風險狀況以及我們於 2021 年第三季度啟動的 Ba​​nner Forward 計劃帶來的業績改善。彼得和羅布很快就會更詳細地討論這些項目。

To illustrate the core earnings power of Banner, I would direct your attention to pretax pre-provision earnings, excluding gains and losses on the sale of securities, Banner Forward expenses, loss on the extinguishment of debt and changes in fair value of financial instruments. First quarter 2023 core earnings were $75.9 million compared to $49.7 million for the first quarter of 2022.

為了說明班納的核心盈利能力，我建議您關注稅前撥備前收益，不包括出售證券的損益、班納遠期費用、債務清償損失和金融工具公允價值變動。 2023 年第一季度核心收益為 7590 萬美元，而 2022 年第一季度核心收益為 4970 萬美元。

Banner's first quarter 2023 revenue from core operations increased 24% to $170.4 million compared to $137.6 million for the first quarter of 2022. We continue to benefit from a strong core deposit base and improving net interest margin and core expense control. Overall, this resulted in a return on average assets of 1.44% for the first quarter of 2023. Once again, our core performance reflects continued execution on our super community bank strategy, that is, growing new client relationships, maintaining our core funding position, promoting client loyalty and advocacy through our responsive service model and demonstrating our safety and soundness through all economic cycles and change events.

Banner 2023 年第一季度核心業務收入增長 24%，達到 1.704 億美元，而 2022 年第一季度為 1.376 億美元。我們繼續受益於強大的核心存款基礎以及不斷改善的淨息差和核心費用控制。總體而言，這導致 2023 年第一季度的平均資產回報率為 1.44%。我們的核心業績再次反映了我們超級社區銀行戰略的持續執行，即發展新客戶關係、維持我們的核心融資地位、通過我們的響應式服務模式提高客戶忠誠度和擁護度，並在所有經濟周期和變革事件中展示我們的安全性和穩健性。

To that point, our core deposits represent 93% of total deposits. Further, we continued our strong organic generation of new relationships and our loans increased 11% over the same period last year. Reflective of the solid performance, coupled with our strong regulatory capital ratios, we announced a core dividend of $0.48 per common share. As announced last quarter, Banner published our inaugural environmental, social and governance highlights report in December, which I hope you have had an opportunity to review.

到目前為止，我們的核心存款佔總存款的93%。此外，我們繼續強勁地建立新的關係，我們的貸款比去年同期增加了 11%。為了反映穩健的業績以及我們強大的監管資本比率，我們宣布每股普通股核心股息為 0.48 美元。正如上季度所宣布的那樣，班納於 12 月發布了我們的首份環境、社會和治理重點報告，我希望您有機會閱讀該報告。

This report reflects the many ways in which we continually strive to do the right thing in support of our clients, our communities and our colleagues and provides an outline of the level of commitment Banner has to the many communities it serves. Finally, I'm pleased to say that we continue to receive marketplace recognition and validation of our business model and our value proposition.

該報告反映了我們不斷努力做正確的事情以支持我們的客戶、社區和同事的多種方式，並概述了班納對其所服務的許多社區的承諾程度。最後，我很高興地說，我們的業務模式和價值主張繼續獲得市場的認可和驗證。

Banner was again named one of America's 100 Best Banks and one of the best banks in the world by Forbes. Newsweek named Banner one of the most trustworthy companies in America. And S&P Global Market Intelligence ranked Banner's financial performance among the top 50 public banks with more than $10 billion in assets. Additionally, as we've noted previously, Banner Bank received an outstanding CRA rating in our most recent CRA examination.

班納再次被《福布斯》評為美國 100 家最佳銀行之一和全球最佳銀行之一。 《新聞周刊》將班納評為美國最值得信賴的公司之一。標準普爾全球市場情報公司將班納的財務業績列為資產超過 100 億美元的前 50 家公共銀行之一。此外，正如我們之前指出的，Banner Bank 在我們最近的 CRA 檢查中獲得了出色的 CRA 評級。

Let me now turn the call over to Jill to discuss the trends in our loan portfolio and her comments on Banner's credit following. Jill?

現在讓我把電話轉給吉爾，討論我們貸款組合的趨勢以及她對班納信用追隨的評論。吉爾？

Thank you, Mark, and good morning, everyone. Given the continued negative economic sentiment and the recent market volatility, I am pleased to be able to report that Banner's credit metrics remain healthy. Delinquent loans as of March 31 remained low at 0.37% of total loans, up 5 basis points when compared to the prior quarter and compared to 0.21% as of March 31, 2022. Adversely classified loans represent 1.46% of total loans, up slightly from 1.35% as of the linked quarter and compared to 1.95% as of March 31, 2022.

謝謝你，馬克，大家早上好。鑑於持續的負面經濟情緒和近期的市場波動，我很高興能夠報告班納的信用指標仍然健康。截至 3 月 31 日，拖欠貸款佔貸款總額的 0.37%，仍處於低位，較上一季度上升 5 個基點，而截至 2022 年 3 月 31 日的這一比例為 0.21%。不利分類貸款佔貸款總額的 1.46%，較上一季度略有上升。截至上一季度為 1.35%，而截至 2022 年 3 月 31 日為 1.95%。

The increase in adversely classified loans this quarter is primarily driven by the downgrade of an owner-occupied industrial property. Nonperforming assets remained modest at 0.17% of total assets and continue to be comprised almost exclusively of nonperforming loans totaling $27 million. Loan losses in the quarter totaled $1.5 million and were offset in part by recoveries of $698,000. We posted a modest provision for loan losses of $774,000, which was offset by a release of $1.3 million in the reserves for unfunded loan commitments for a net recapture of $524,000.

本季度不良分類貸款的增加主要是由於業主自用工業地產的評級下調所致。不良資產佔總資產的比例仍然較低，為 0.17%，且幾乎全部由總計 2,700 萬美元的不良貸款組成。該季度的貸款損失總計 150 萬美元，部分被收回的 698,000 美元所抵消。我們為貸款損失準備了 774,000 美元的適度準備金，但通過釋放 130 萬美元的無資金貸款承諾準備金來抵消，淨收回額為 524,000 美元。

As anticipated, loan growth slowed in the first quarter. Within our reserve modeling, the impact of the negative economic sentiment was offset in large part by continued strong portfolio metrics with the provision for credit losses in essence covering net charge-offs. After the provision, our ACL reserve totaled $141.5 million or 1.39% of total loans as of March 31, flat with the linked quarter and compares to coverage of 1.37% as of March 31, 2022. The reserve currently provides 528% coverage of our nonperforming loans.

正如預期，第一季度貸款增長放緩。在我們的儲備模型中，負面經濟情緒的影響在很大程度上被持續強勁的投資組合指標所抵消，信貸損失撥備實質上涵蓋了淨沖銷。截至 3 月 31 日，我們的 ACL 準備金總額為 1.415 億美元，佔貸款總額的 1.39%，與上一季度持平，而截至 2022 年 3 月 31 日的覆蓋率為 1.37%。該準備金目前為我們的不良貸款提供了 528% 的覆蓋率貸款。

A review of the loan activity reflects origination volumes were down when compared to the linked quarter, with portfolio loan balances essentially flat when compared to year-end and up 11% when compared to March 31, 2022. C&I-line utilization was down 1% from the linked quarter, and the overall muted C&I activity in the quarter reflects the general negative economic sentiment in the market. This, coupled with the reaction to the higher interest rates, have many clients pausing on capital expenditures and prior expansion plans. Still, commercial business loans are up 14% year-over-year.

對貸款活動的審查表明，與相關季度相比，貸款發放量有所下降，投資組合貸款餘額與年底基本持平，與 2022 年 3 月 31 日相比增長 11%。C&I 線利用率下降 1%從上一季度來看，本季度工商業活動整體低迷反映了市場普遍的負面經濟情緒。再加上對利率上升的反應，許多客戶暫停了資本支出和之前的擴張計劃。儘管如此，商業企業貸款仍同比增長 14%。

I will note that we did not see any unusual line activity as a result of the financial institution failures that occurred late in the quarter. Excluding multifamily, our commercial real estate balances declined 2% in the quarter and are down 4% when compared to March 31, 2022, primarily in the nonowner-occupied investment property category.

我要指出的是，我們沒有看到由於本季度末發生的金融機構倒閉而導致任何異常的線路活動。不包括多戶住宅，我們的商業房地產餘額本季度下降了 2%，與 2022 年 3 月 31 日相比下降了 4%，主要是非業主自用投資房地產類別。

Given the current rate environment, the changing economic conditions and general market dynamics, I will provide a little more color on 2 of the asset classes in the CRE portfolio that are currently getting a lot of press.

考慮到當前的利率環境、不斷變化的經濟狀況和總體市場動態，我將對 CRE 投資組合中目前受到廣泛關注的兩個資產類別提供更多說明。

However, before I do, I will start by saying that the entire CRE portfolio continues to perform well with less than 2% of the total adversely classified at this time. Looking at office properties specifically, the office portfolio continues to perform well. As noted in prior calls, this segment is relatively small at 7% of the entire loan book. The geographic distribution of the portfolio aligns very closely to that of our entire loan book as detailed in the earnings release, and the granularity of the loan limits our exposure.

然而，在此之前，我首先要說的是，整個 CRE 投資組合繼續表現良好，目前只有不到 2% 的資產處於不利分類。具體來看寫字樓物業，寫字樓組合繼續表現良好。正如之前的電話會議中所指出的，該部分相對較小，佔整個貸款賬簿的 7%。投資組合的地理分佈與收益發布中詳述的整個貸款賬簿的地理分佈非常接近，而且貸款的粒度限制了我們的風險敞口。

Drilling specifically to the metropolitan areas, approximately 10% of the office book is located within the city of Seattle. However, only 1% is within the core business district. The average loan size in the city of Seattle is $2.6 million, dropping to less than $1.5 million within the business district. 6% of the office portfolio is located in Sacramento with less than 1% in the core business district. The average loan size in this market is $3.5 million. 2% of the office book is located in Bellevue with an average loan size of under $2 million.

具體到大都市區，大約 10% 的寫字樓位於西雅圖市內。然而，只有1%位於核心商務區內。西雅圖市的平均貸款規模為 260 萬美元，商業區內降至不到 150 萬美元。 6% 的寫字樓投資組合位於薩克拉門托，不到 1% 位於核心商務區。該市場的平均貸款規模為 350 萬美元。 2% 的辦公簿位於貝爾維尤，平均貸款規模低於 200 萬美元。

1% is in Los Angeles with an average loan size of $1.5 million. Less than 1% of the portfolio is located in Portland, Oregon, with an average loan size of under $1 million. And we currently have only 1 office property in San Francisco with a balance of under $1.5 million. Approximately 10% of the office book will have a rate reset within the next 24 months. Our review of loans to a de minimis of $1 million reflects no significant concerns with repayment ability based on the most recent operating statements if rates were to reset at today's rate.

1% 位於洛杉磯，平均貸款規模為 150 萬美元。不到 1% 的投資組合位於俄勒岡州波特蘭，平均貸款規模低於 100 萬美元。目前我們在舊金山只有 1 處辦公物業，餘額不足 150 萬美元。大約 10% 的辦公簿將在未來 24 個月內重置費率。我們對 100 萬美元最低限度貸款的審查表明，如果利率按照今天的利率重置，則根據最新的運營報表，對還款能力沒有重大擔憂。

Additionally, we have not become aware of any material vacancy or shadow vacancy issues within the investor office portfolio. Shifting to retail properties, the retail portfolio is also performing well. Retail commercial real estate represents approximately 10% of the loan book, is well distributed geographically and very granular in nature with an average loan size of under $1 million. Similar to the office portfolio, roughly 10% of the retail CRE book will have a rate reset in the next 24 months. And we, again, note no meaningful concerns at this time as to our clients' ability to service debt if they were to reprice today.

此外，我們尚未發現投資者辦公室投資組合中存在任何重大空缺或影子空缺問題。轉向零售物業，零售投資組合也表現良好。零售商業房地產約佔貸款總額的 10%，地理位置分佈均勻，性質非常細化，平均貸款規模低於 100 萬美元。與寫字樓投資組合類似，大約 10% 的零售 CRE 賬簿將在未來 24 個月內重置利率。我們再次指出，如果我們的客戶今天重新定價，其償還債務的能力目前沒有任何有意義的擔憂。

Moving to multifamily. We again reported solid growth in the multifamily portfolio, which is up 8% over the prior quarter and 16% year-over-year. The growth this quarter was split roughly 70% new originations and 30% conversion of completed construction projects. In total, the multifamily portfolio continues to be approximately 50% affordable housing and 50% market rate. And as I have commented before, the average loan size is less than $1.5 million with balances spread across our footprint.

搬到多戶家庭。我們再次報告多戶型投資組合的穩健增長，較上一季度增長 8%，同比增長 16%。本季度的增長大約分為 70% 的新項目和 30% 的已完成建設項目的轉換。總體而言，多戶住宅投資組合中的經濟適用房比例仍然約為 50%，市場價格比例為 50%。正如我之前評論過的，平均貸款規模不到 150 萬美元，餘額分佈在我們的業務範圍內。

Approximately 5% of the permanent multifamily portfolio will reprice over the next 2 years, with the most recent operating statement suggesting adequate room to cover the rate resets, were they to occur today. Construction and development loan balances declined by 1% in the quarter, a function of continued sales of completed residential construction projects, coupled with the slowdown of replacement starts within this product line, as mentioned last quarter.

大約 5% 的永久性多戶住宅投資組合將在未來 2 年內重新定價，最新的運營聲明表明，如果今天發生的話，有足夠的空間來應對利率重置。本季度的建築和開發貸款餘額下降了 1%，這是由於已完成的住宅建築項目的持續銷售，以及上季度提到的該產品線內替換開工的放緩。

When compared to March of 2022, construction and land development loans reflect an increase of 8%, driven primarily by the growth in the multifamily construction portfolio, up 32% year-over-year. And to a lesser extent, commercial construction as well as land development loans up 6% and 4%, respectively. Of the multifamily construction portfolio, nearly 75% is currently associated with affordable housing projects, the vast majority currently located in various California submarket.

與 2022 年 3 月相比，建築和土地開發貸款增長了 8%，這主要是由多戶建築投資組合增長推動的，同比增長 32%。商業建築和土地開發貸款分別增長 6% 和 4%，程度較小。在多戶住宅建築組合中，近 75% 目前與經濟適用房項目相關，其中絕大多數目前位於加州各個子市場。

While the volume of residential construction starts have slowed and we acknowledge the slowing of home sales across our footprint, I continue to be pleased with our portfolio performance. The portfolio remains diversified, both in product mix and price point starts to spread across our geography. And completed homes are still being sold and closed in spite of the rising rate environment.

儘管住宅建設開工量有所放緩，而且我們承認整個地區的房屋銷售放緩，但我仍然對我們的投資組合表現感到滿意。產品組合仍然保持多元化，無論是產品組合還是價格點都開始在我們的地區蔓延。儘管房價不斷上漲，但已完工的房屋仍在出售和關閉。

As I reported last quarter, we have remained consistent in our underwriting and our land exposure continues to be limited to our strongest sponsors. Acknowledging that we are beginning to see completed homes taking longer to be sold and moved off balance sheet, although still within historical norms, we continue to see our builders being proactive with concessions, upgrades and rate buydowns in order to keep their finished products moving.

正如我上季度所報告的那樣，我們的承銷保持一致，我們的土地敞口仍然僅限於我們最強大的讚助商。我們承認，我們開始看到完工的房屋需要更長的時間才能出售並從資產負債表中移出，儘管仍在歷史正常範圍內，但我們仍然看到我們的建築商積極主動地進行優惠、升級和降價，以保持成品的流通。

Most importantly, they remain well capitalized and prepared to absorb the longer sales cycle. In total, residential construction exposure remains acceptable at 6% of the portfolio, was slightly over 40% consisting of our custom 1-4 family residential mortgage loan product. When you include multifamily commercial construction and land, the total construction exposure is 14% of total loans, down 1% from the linked quarter.

最重要的是，他們仍然資本充足，並準備好應對更長的銷售週期。總體而言，住宅建設風險仍然可以接受，佔投資組合的 6%，略高於 40%，其中包括我們定制的 1-4 戶住宅抵押貸款產品。如果將多戶型商業建築和土地計算在內，總建築風險佔貸款總額的 14%，比上一季度下降 1%。

Agricultural loans, down 8% from the linked quarter, reflect normal seasonal declines that are to be anticipated. Balances are up 11% year-over-year. And as noted in the earnings release, we again reported growth in the consumer mortgage portfolio, up 7% in the quarter, continuing the trend of moving completed all-in-one custom construction loans on balance sheet.

農業貸款較上一季度下降 8%，反映了預期的正常季節性下降。餘額同比增長 11%。正如收益報告中所指出的，我們再次報告消費者抵押貸款組合的增長，本季度增長了 7%，延續了將已完成的一體化定制建築貸款轉移到資產負債表上的趨勢。

I will close by recapping one of our strategic pillars, which is to maintain a moderate risk profile. As I have said before, our credit culture is designed for success through all business cycles. Our consistent underwriting and robust portfolio review process remains a source of strength and stability in these turbulent times, so too does our solid reserve for loan losses and capital base.

最後，我將回顧一下我們的戰略支柱之一，即保持適度的風險狀況。正如我之前所說，我們的信用文化是為了在所有商業周期中取得成功而設計的。在這個動蕩的時期，我們一貫的承保和穩健的投資組合審查流程仍然是實力和穩定的源泉，我們堅實的貸款損失準備金和資本基礎也是如此。

Our credit metrics remain strong, and our moderate risk profile remains intact, positioning us well to navigate whatever this economic cycle brings. With that, I'll turn the microphone over to Peter for his comments. Peter?

我們的信用指標仍然強勁，我們的適度風險狀況保持不變，使我們能夠很好地應對經濟周期帶來的任何影響。接下來，我將把麥克風交給 Peter，聽取他的評論。彼得？

Thank you, Jill. This quarter, I'm happy to introduce Rob Butterfield as CFO of Banner Bank as part of our previously announced transition. Rob and I will share prepared commentary on the company's financial performance for the first quarter. I will begin with commentary on the balance sheet, capital and liquidity. And Rob will follow with remarks on earnings and profitability before handing it back to Mark.

謝謝你，吉爾。本季度，我很高興介紹 Rob Butterfield 擔任 Banner Bank 首席財務官，作為我們之前宣布的過渡的一部分。羅布和我將分享對公司第一季度財務業績的準備評論。我將首先對資產負債表、資本和流動性進行評論。羅布將隨後發表有關收益和盈利能力的評論，然後將其交還給馬克。

Turning to the balance sheet. Total loans increased $6 million from the prior quarter end as a result of increases in held portfolio loans, partially offset by an $8 million decline in held-for-sale loans. Excluding PPP loans and held-for-sale loans, portfolio loans increased $16 million or just under 1% on an annualized basis. 1-4 family real estate loans grew $79 million, primarily as a result of residential custom construction loans originated last year converting to conventional 1-4 mortgage loans this quarter upon completion.

轉向資產負債表。由於持有投資組合貸款增加，貸款總額較上季度末增加 600 萬美元，但部分被持有待售貸款減少 800 萬美元所抵消。不包括 PPP 貸款和持有待售貸款，投資組合貸款增加了 1600 萬美元，年化增長率略低於 1%。 1-4 家庭房地產貸款增長了 7,900 萬美元，主要是由於去年發放的住宅定制建築貸款在本季度完成後轉換為傳統的 1-4 抵押貸款。

Declines in CRE construction and ag loan outstandings partially offset the growth in 1-4 mortgage loan outstandings. We anticipate a slower pace of balance sheet mortgage production in the coming quarters as market rates on new originations begin to shift the economics towards more sales and less portfolio retention. Ending core deposits decreased $692 million from the prior quarter end due to outflows of rate-sensitive balances. The decline in core deposits was partially offset by a $226 million increase in CD balances, resulting in a total deposit decline of $466 million or 3.4% from the prior quarter.

商業地產建築和農業貸款未償還額的下降部分抵消了 1-4 抵押貸款未償還額的增長。我們預計未來幾個季度資產負債表抵押貸款生產的步伐將放緩，因為新發放的市場利率開始將經濟轉向更多的銷售和更少的投資組合保留。由於利率敏感餘額流出，期末核心存款較上季度末減少 6.92 億美元。核心存款的下降被定期存款餘額增加 2.26 億美元部分抵消，導致存款總額較上一季度下降 4.66 億美元，即下降 3.4%。

The declines in core balances were primarily driven by clients moving nonoperating balances to off-balance sheet treasury and money market fund investments. The bank's use of exception pricing and selective CD deposit rate specials was effective in retaining a portion of the core deposit outflow on balance sheet within the bank's total deposit balance. It's relevant to note that the bank's total deposit decline in the first quarter was $148 million less than the previous quarter, despite higher market rates and recent industry turmoil that occurred in early March.

核心餘額下降的主要原因是客戶將非營業餘額轉移到表外國庫和貨幣市場基金投資。該銀行使用例外定價和選擇性定期存款利率特價，有效地將資產負債表上的部分核心存款流出保留在銀行總存款餘額內。值得注意的是，儘管市場利率較高，而且最近 3 月初發生了行業動盪，但該銀行第一季度的存款總額比上一季度減少了 1.48 億美元。

We anticipate further declines in core deposit balances, partially offset with growth in time deposits in the coming quarters as a function of both, seasonal deposit declines the bank normally experienced in the second quarter and the timing and magnitude of future Fed fund monetary actions. As noted in our earnings release, with a 77% loan-to-deposit ratio, Banner's liquidity and capital profile remain robust, as evidenced by the significant off-balance sheet borrowing capacity, liquidity coverage of our uninsured deposits, the granular nature of our deposit portfolio, resilient to the bank's diversified deposit base and increase in the net interest margin this quarter.

我們預計核心存款餘額將進一步下降，部分抵消未來幾個季度定期存款的增長，這是銀行通常在第二季度經歷的季節性存款下降以及未來聯邦基金貨幣行動的時間和規模的函數。正如我們在財報中所指出的，班納的貸存比為 77%，其流動性和資本狀況依然強勁，這一點可以從表外借款能力、未保險存款的流動性覆蓋率、我們的存款的粒度性質等方面得到證明。存款組合，對銀行多元化存款基礎和本季度淨息差增加具有彈性。

With that, I turn the call over to Rob, who will discuss the company's earnings and profitability outlook. Rob?

之後，我將電話轉給羅布，他將討論公司的盈利和盈利前景。搶？

Thank you, Peter. As announced in our earnings release, we reported $1.61 per diluted share for the first quarter compared to $1.58 per diluted share for the prior quarter. The $0.03 increase in earnings per share was due to a lower provision for credit losses and lower noninterest expense, partially offset by lower net interest income and lower noninterest income. Core revenue, excluding losses on the sale of securities and changes in investments carried at fair value, decreased $5.3 million from the prior quarter due to a decrease in net interest income.

謝謝你，彼得。正如我們在財報中所宣布的，第一季度稀釋後每股收益為 1.61 美元，而上一季度稀釋後每股收益為 1.58 美元。每股收益增加 0.03 美元，原因是信貸損失撥備減少和非利息支出減少，但部分被淨利息收入和非利息收入減少所抵消。由於淨利息收入減少，核心收入（不包括出售證券的損失和以公允價值計量的投資變動）較上一季度減少 530 萬美元。

Noninterest expense decreased $4.4 million, primarily due to lower legal expense and lower occupancy and equipment expense. Net interest income decreased $5.8 million from the prior quarter, due to an increase in funding cost and a decline in average interest-earning assets. Compared to the prior quarter, loan yields increased 24 basis points due to increases on floating and adjustable-rate loans as well as new production coming on at higher interest rates.

非利息費用減少 440 萬美元，主要是由於法律費用以及佔用和設備費用減少。由於融資成本增加和平均生息資產下降，淨利息收入較上季度減少 580 萬美元。與上一季度相比，由於浮動利率和可調利率貸款的增加以及新產品的利率上升，貸款收益率上升了 24 個基點。

The average interest-bearing cash and investment balances declined $506 million from the prior quarter, while the yield on the combined cash and investment balances increased 18 basis points due to higher yields on both, the security portfolio and overnight funds, driven by higher market rates. The total cost of funds increased 22 basis points to 40 basis points due to increases in deposit rates and borrowing costs.

平均計息現金和投資餘額較上一季度下降 5.06 億美元，而現金和投資餘額合併收益率則上升 18 個基點，原因是市場利率上升推動證券投資組合和隔夜基金收益率上升。由於存款利率和借貸成本上升，資金總成本增加22個基點至40個基點。

The total cost of deposits increased 18 basis points to 28 basis points, reflecting increases in CD and money market rates as well as a shift in the mix of deposits, with some noninterest-bearing deposits moving into CDs and other interest-bearing accounts. Net interest margin increased 7 basis points to 4.30% on tax to loan basis. The increase was driven by higher yields on earning assets, coupled with a larger mix of loans and a lower mix of overnight cash and investments.

存款總成本增加18個基點至28個基點，反映出存款證和貨幣市場利率的上升以及存款結構的轉變，一些無息存款進入存款證和其他計息賬戶。按稅貸比計算，淨息差增加 7 個基點至 4.30%。這一增長是由盈利資產收益率上升、貸款組合增加以及隔夜現金和投資組合減少推動的。

Going forward, the pace of yield increases on earning assets is not anticipated to outpace the increase in the cost of funds. We anticipate the margin to be range-bound by deposit flows, the trajectory of market rates and the competitive environment. Looking forward, we anticipate loan growth and deposit outflows will be funded by a combination of maturing investments in security sales as well as borrowings.

展望未來，盈利資產收益率的增長速度預計不會超過資金成本的增長速度。我們預計利潤率將受到存款流量、市場利率軌跡和競爭環境的影響。展望未來，我們預計貸款增長和存款流出將由成熟的證券銷售投資和借款共同提供資金。

The total noninterest income declined $3.8 million from the prior quarter. The current quarter included a $7.3 million loss on the sale of securities. The payback on these trades is estimated to be 2.25 years. Core noninterest income, excluding loss on the sale of securities and changes in investments carried at fair value, increased $447,000 primarily due to a $380,000 increase in mortgage banking income due to an increase in residential mortgage gain on sale income, partially offset by lower multifamily gain on sale income.

非利息收入總額較上一季度下降 380 萬美元。本季度包括 730 萬美元的證券銷售損失。這些交易的投資回收期預計為 2.25 年。核心非利息收入（不包括出售證券的損失和按公允價值計量的投資變動）增加了 447,000 美元，主要是由於住宅抵押貸款銷售收益增加導致抵押貸款銀行收入增加了 380,000 美元，部分被多戶家庭收益減少所抵消銷售收入。

Total residential mortgage production, including both loans held for investment and those held for sale, declined by 17% from the prior quarter, reflecting the continued headwinds of higher rates and a slowdown in home sales. Purchases accounted for 88% of the mortgage loan production. The current quarter benefited from an increase in interest rate lock commitments towards the end of the quarter as mortgage rates fall back.

住宅抵押貸款總量（包括投資貸款和出售貸款）較上一季度下降 17%，反映出利率上升和房屋銷售放緩的持續阻力。購買佔抵押貸款產生的88%。隨著抵押貸款利率回落，本季度受益於季末利率鎖定承諾的增加。

We sold $8 million of multifamily held-for-sale loans during the quarter. Production of these loans was muted during the quarter as demand is limited at the current rates. Lastly, miscellaneous income increased $258,000 due to an increase in the fair value of SBA servicing rates. Total noninterest expense decreased $4 million from the prior quarter due to lower legal expense and lower occupancy and equipment expense, partially offset by higher salary and benefit expense and a lower deduction for capitalized loan origination costs.

本季度我們出售了 800 萬美元的多戶待售貸款。由於當前利率下的需求有限，這些貸款的生產在本季度受到抑制。最後，由於 SBA 服務費率公允價值的增加，雜項收入增加了 258,000 美元。由於法律費用以及佔用和設備費用減少，非利息費用總額比上一季度減少了 400 萬美元，但部分被工資和福利費用增加以及資本化貸款發放成本扣除額減少所抵消。

The $4.2 million reduction in professional legal expense was primarily due to the prior quarter, including an accrual for the pending settlement of a legal matter. The $1.5 million decline in occupancy and equipment expense was a result of increased facility's exit costs and weather-related building maintenance in the prior quarter. Compensation expense increased by $1 million due to normal annual salary and wage adjustments, increased medical insurance expense and normal higher payroll taxes during the first quarter of the year, partially offset by lower incentive accruals.

專業法律費用減少 420 萬美元，主要是由於上一季度，其中包括待解決的法律問題的應計費用。入住率和設備費用下降 150 萬美元，原因是上一季度設施退出成本和與天氣相關的建築維護增加。由於今年第一季度正常的年薪和工資調整、醫療保險費用增加以及工資稅正常上漲，補償費用增加了 100 萬美元，但部分被應計獎勵減少所抵消。

Capitalized loan origination costs decreased by $1.5 million due to lower loan production compared to the prior quarter. This decrease was partially offset by lower commission and other variable loan production expenses. We continue to benefit from our granular diversified low-cost deposit base that has and will continue to support a strong net interest margin throughout the rate cycle. This concludes my prepared comments. I will turn it back to Mark.

由於貸款產量較上一季度減少，資本化貸款發放成本減少了 150 萬美元。這一下降被佣金和其他可變貸款生產費用的降低部分抵消。我們繼續受益於我們細粒度的多元化低成本存款基礎，該基礎已經並將繼續在整個利率週期內支持強勁的淨息差。我準備好的評論到此結束。我會把它轉回給馬克。

Thank you, Jill, Peter and Rob, for your comments. That concludes our prepared remarks. And Jason, we will now open the call, and we welcome your questions.

謝謝吉爾、彼得和羅布的評論。我們準備好的發言到此結束。賈森，我們現在開始通話，歡迎您提出問題。

(Operator Instructions) Our first question is from David Feaster with Raymond James.

（操作員說明）我們的第一個問題來自 David Feaster 和 Raymond James。

Maybe just starting on the deposit side. I was hoping to walk through some of the flows that you saw in the quarter and just help us think about, how much was from seasonality, maybe with tax payments versus customers just utilizing cash to pay down higher-cost floating rate debt, some of the migration to higher cost accounts? And how much was actually do you think from the turmoil, the bank failures? And then just on the NIB side, have you seen balances stabilized yet here in the second quarter, or are you still seeing pressure there?

也許只是從存款方面開始。我希望能介紹一下您在本季度看到的一些流程，並幫助我們思考，有多少是來自季節性，也許是納稅，而客戶只是利用現金來償還成本較高的浮動利率債務，其中一些遷移到更高成本的賬戶？您認為這場動盪和銀行倒閉實際上造成了多少影響？那麼就 NIB 而言，您是否看到第二季度的餘額已經穩定，或者您仍然看到那裡的壓力？

David, this is Peter. I'll answer that. Yes, so we -- I guess the first thing to note is our deposit decline in Q1 was $148 million, actually less than we saw in Q4. And a lot of the drivers of the decline we saw in Q1 were very similar to what we saw in the prior quarter, which were primarily nonoperating balances with clients, especially our small business and some of our commercial clients moving those excess balances off balance sheet into higher-yielding treasuries or money market funds but retaining that primary relationship and operating business with Banner.

大衛，這是彼得。我會回答這個問題。是的，所以我們——我想首先要注意的是，我們第一季度的存款下降了 1.48 億美元，實際上比我們在第四季度看到的要少。我們在第一季度看到的下降的許多驅動因素與我們在上一季度看到的非常相似，這主要是與客戶的非經營性餘額，特別是我們的小型企業和我們的一些商業客戶將這些超額餘額移出資產負債表投資於高收益國債或貨幣市場基金，但保留與班納的主要關係和經營業務。

And a lot of that, we saw that similar behavior again this quarter. So we really aren't seeing any change in the pattern of the drivers of the deposit outflow this quarter. We didn't see any material impacts from the bank failures in early March affect our client deposit behavior. And I think we have ICS and SEDAR, those are reciprocal deposit products for clients that wanted to keep an insured balance with the bank, but we don't lose any deposits using that reciprocal product.

其中很多，我們本季度再次看到類似的行為。因此，我們確實沒有看到本季度存款流出驅動因素的模式發生任何變化。我們沒有看到 3 月初的銀行倒閉對我們的客戶存款行為產生任何重大影響。我認為我們有 ICS 和 SEDAR，這些是互惠存款產品，適合希望在銀行保持保險餘額的客戶，但我們不會因為使用該互惠產品而損失任何存款。

So we didn't see any material outflows related to the safety and soundness questions that emerged after the bank failures. What we continue to see is that those nonoperating balances, there'll continue to be some rate-sensitive outflows. And we do have -- our response has been what it's been all the way through this rate cycle, which is a mix of exception pricing for clients that have won a higher rate, but we can retain them with a negotiated deposit rate at Banner, along with a few selected CD specials that are good rates, but they're not top of market.

因此，我們沒有看到任何與銀行倒閉後出現的安全性和穩健性問題相關的重大資金外流。我們繼續看到的是，那些非營業性餘額將繼續出現一些對利率敏感的資金流出。我們確實有 - 我們的反應是在整個利率週期中一直如此，這是為贏得更高利率的客戶提供例外定價的組合，但我們可以通過 Banner 的協商存款利率留住他們，還有一些精選的特價 CD，價格不錯，但不是市場上的頂級產品。

And one of the things we've noticed and observed is that we don't need to offer the highest rate in the market to generate not only good deposit retention but bring new money in on those CD products. So we'll continue to do that. What you want to see us do is chase deposits with the highest rate in our markets. We don't need to do that. Our clients simply want a fair rate, given the service and value they're provided at Banner.

我們注意到和觀察到的一件事是，我們不需要提供市場上最高的利率，不僅可以產生良好的存款留存，還可以為這些 CD 產品帶來新的資金。所以我們將繼續這樣做。您希望看到我們做的是以我們市場上最高的利率追逐存款。我們不需要這樣做。鑑於 Banner 提供的服務和價值，我們的客戶只是想要一個公平的價格。

So the story is very similar in Q1 as it was in Q4. Going forward, we expect to see some additional deposit outflows that are again still rate driven that will be more of a function of where the yield curve goes, the remaining tightening of the Fed. But as we guided to in the past, a lot of the rate-sensitive money moved early and often in this rate cycle, and we expect the rate-driven outflows to diminish sequentially as we go forward through the rest of the year with one exception, which is Q2.

因此，第一季度的情況與第四季度的情況非常相似。展望未來，我們預計將看到一些額外的存款流出，這些流出仍然是利率驅動的，這將更多地取決於收益率曲線的走向以及美聯儲剩餘的緊縮政策。但正如我們過去所指導的那樣，許多對利率敏感的資金經常在這個利率週期中提前流動，我們預計，隨著今年剩餘時間的推移，利率驅動的資金流出將依次減少，但有一個例外，即 Q2。

Normally, in a normal year, which we haven't had in 3 years, given the pandemic, we normally experience deposit outflows in the second quarter related to tax payments, both property and income tax, along with some ag client seasonality that those clients begin to use some of their deposit balances for production. And so we'll see some seasonal outflows in Q2 that begin to rebound at the end of the second quarter and rebound into the third quarter as we normally do.

通常情況下，在正常年份（我們已經三年沒有出現過這樣的情況），考慮到大流行，我們通常會在第二季度經歷與納稅（財產稅和所得稅）相關的存款流出，以及這些客戶的一些農業客戶季節性。開始使用部分存款餘額進行生產。因此，我們將在第二季度看到一些季節性資金流出，這些資金流出在第二季度末開始反彈，並像往常一樣反彈到第三季度。

Okay. That's extremely helpful. I appreciate that. And then maybe just curious your thoughts on the loan growth side and where you're still seeing good risk-adjusted returns at this point in the cycle? Obviously, construction has been strong as Jill, you talked to, and look at the originations, it's been a big driver. But I'm just curious, your thoughts on loan growth demand in the market for growth at this point?

好的。這非常有幫助。我很感激。然後也許只是好奇您對貸款增長方面的想法以及在周期的此時點上您仍然看到良好的風險調整回報？顯然，正如你所採訪的吉爾那樣，建設一直很強勁，看看起源，它是一個很大的推動力。但我只是好奇，您對目前市場增長貸款需求的看法？

And then again, you talked, Rob, about funding that with some cash flows from the securities book. If you could just remind us of the cash flows that you're expecting of the securities book.

羅布，你又談到用證券賬簿中的一些現金流來為其提供資金。您能否提醒我們您對證券賬簿的現金流量的預期？

So yes, David, I'll start with the loan growth expectations. So as I indicated last quarter, our expectations have moderated given the economic pessimism and the increase in increasing rate environment. And as noted in the release, our origination volumes dropped significantly. Offsetting that though towards the loan growth, we are very optimistic regarding new client acquisition based on the current market disruption. We've seen a significant drop in the refinance activity, so that holds balances.

所以，是的，大衛，我將從貸款增長預期開始。因此，正如我上季度指出的那樣，鑑於經濟悲觀情緒和加息環境的加劇，我們的預期有所放緩。正如新聞稿中所指出的，我們的原創數量大幅下降。儘管貸款增長抵消了這一影響，但我們對基於當前市場混亂的新客戶獲取非常樂觀。我們看到再融資活動大幅下降，因此保持了平衡。

We'll see our construction commitments continue to fund up. Our ag lines will continue to draw down over the course of the year, also increasing outstanding. And all of that coupled with our super community bank model, which, again, I've said it before, but designed to remain open through all business cycles should keep us in that low single-digit growth rate through the year, even with the somewhat muted demand right now from commercial clients.

我們將看到我們的建設承諾繼續得到資助。我們的農業額度將在這一年中繼續減少，同時未償還額度也將增加。所有這些，加上我們的超級社區銀行模式，我之前已經說過，但旨在在所有商業周期中保持開放，應該使我們全年保持較低的個位數增長率，即使目前商業客戶的需求有些疲軟。

Yes. As far as the cash flows from the investment portfolio, David. So we normally see about $25 million a month, so that would be $75 million for next quarter. And in addition, we have that $150 million repo that's scheduled to mature in May. And then beyond that, we would explore additional investment sales as long as we stay within that 3-year earn back period.

是的。就投資組合的現金流而言，大衛。因此，我們通常每月看到約 2500 萬美元，因此下季度將達到 7500 萬美元。此外，我們還有計劃於 5 月到期的 1.5 億美元回購協議。除此之外，只要我們保持在 3 年盈利回收期內，我們就會探索額外的投資銷售。

Got it. That's helpful. And then maybe, Mark, just maybe a high-level question for you. You've been at the helm through several cycles here. Curious how this current environment maybe feels from your perspective? And maybe some of the past lessons you've learned and how that might be influencing how you're positioning the bank here now? Obviously, you're very conservatively positioned. But just curious, your thoughts.

知道了。這很有幫助。馬克，也許這對你來說可能是一個高級問題。您已經在這裡掌舵了幾個週期。好奇從您的角度來看當前的環境感覺如何？也許您過去學到的一些經驗教訓以及這可能會如何影響您現在對銀行的定位？顯然，你的立場非常保守。但只是好奇，你的想法。

Yes, David, thank you for the question. And yes, I suppose that means I've just been here a long time. We've gone through so many cycles. But I think the point is we instilled that strategic pillar in 2010 of having a moderate risk profile, so that we can be successful through all economic cycles. And that's how we position the balance sheet. That's how we positioned our product offering and our delivery channels. So the fact that we've entered this unprecedented speed of deposit flows and banks -- some of the bank failures of speed with which they failed really proves out our resiliency as an organization, coupled with our strong capital position, our very strong reserve methodology really positions us well to take advantage of the current market conditions going forward in terms of disruption that Jill mentioned, which there will continue to be.

是的，大衛，謝謝你的提問。是的，我想這意味著我已經在這里呆了很長時間了。我們經歷了很多輪迴。但我認為關鍵是我們在 2010 年灌輸了適度風險狀況的戰略支柱，以便我們能夠在所有經濟周期中取得成功。這就是我們定位資產負債表的方式。這就是我們定位我們的產品和交付渠道的方式。因此，事實上，我們已經進入了前所未有的存款流動和銀行速度——一些銀行的倒閉速度之快，確實證明了我們作為一個組織的彈性，再加上我們強大的資本狀況，我們非常強大的準備金方法就吉爾提到的顛覆而言，我們確實能夠充分利用當前的市場狀況，這種情況將繼續存在。

I also believe that from this cycle, what we're seeing, my view is that this is going to have a longer tail to it than people realize. And that in and of itself given our moderate risk profile, we'll present great opportunities for Banner going forward. So I think we're well positioned, and we're actually excited to take advantage of some of this disruption, so that we can continue to grow and thrive as an organization. Hopefully, that's helpful, David?

我還相信，從我們所看到的這個週期來看，我的觀點是，這將有一個比人們意識到的更長的尾巴。鑑於我們的風險狀況適中，我們將為班納的未來提供巨大的機會。因此，我認為我們處於有利位置，而且我們實際上很高興能夠利用其中的一些顛覆，以便我們作為一個組織能夠繼續發展和繁榮。希望這有幫助，大衛？

Yes. No, that was extremely helpful. I appreciate it.

是的。不，這非常有幫助。我很感激。

Our next question is from Kelly Motta with KBW.

我們的下一個問題來自 KBW 的 Kelly Motta。

I apologize if anything is redundant. I had to join a little bit late. Just looking at your deposit costs, they accelerated. Although at 51 basis points for interest-bearing is -- compares still pretty favorably to most banks out there. Just wondering if there's any updated thoughts on how we should be thinking about deposit betas through the cycle.

如果有什麼是多餘的，我深表歉意。我不得不晚一點加入。只要看看你的存款成本，它們就加速了。儘管計息利率為 51 個基點，但與大多數銀行相比仍然相當有利。只是想知道我們應該如何考慮整個週期的存款貝塔值是否有任何更新的想法。

Yes. So Kelly, this is Rob. The deposit beta for the interest-bearing deposits was about 25% for the last rate cycle. And at this point, we are expecting to experience something similar to the cycle.

是的。凱利，這是羅布。上一個利率週期的計息存款貝塔係數約為25%。此時，我們預計會經歷類似週期的情況。

And then as far as the changes in the cost to deposits over the quarter, I would say it increased kind of pretty much the same rate throughout the quarter. So there wasn't any spikes in it necessarily.

至於本季度存款成本的變化，我想說整個季度的增長率幾乎相同。所以其中不一定有任何尖峰。

Got it. That's helpful. And kind of as we look ahead with deposit balances, you guys clearly have a lot of flexibility on balance sheet still, although this is the second quarter of declines. How should we be thinking about the movement of deposits out to maybe wealth management or treasuries? And when do you expect kind of pressure from that to start to abate here?

知道了。這很有幫助。當我們展望存款餘額時，你們的資產負債表顯然仍然有很大的靈活性，儘管這是第二季度的下降。我們應該如何考慮存款流向財富管理或國庫？您預計這種壓力什麼時候會開始減弱？

Yes, Kelly, this is Peter. As we mentioned earlier, our deposit outflows in Q1 were actually less than they were in the fourth quarter. And the drivers were very similar to what they were in the fourth quarter, which were outflows of nonoperating balances, primarily with small businesses and commercial clients moving some portion of their operating balance to treasuries or money [market] fund off the balance sheet for higher yields while we retain the core relationship.

是的，凱利，這是彼得。正如我們之前提到的，我們第一季度的存款流出實際上比第四季度要少。驅動因素與第四季度非常相似，即非運營餘額流出，主要是小企業和商業客戶將其部分運營餘額轉移到資產負債表外的國債或貨幣[市場]基金，以獲得更高的收益。在我們保留核心關係的同時產生收益。

Going forward, we expect some continued outflows related to rate drivers, how we expect that, the pace of outflows will decline as we get towards the bedrock of our core deposit base, which by the way, is very granular. Our average deposit size is $20,000, and our diversification of deposits across both, metro and rural markets, along with a very diversified client segmentation, gives us confidence that, that bedrock floor on our core deposits is not that far out into the future.

展望未來，我們預計會出現一些與利率驅動因素相關的持續資金外流，我們預計，隨著我們接近核心存款基礎的基石，外流的速度將會下降，順便說一句，核心存款基礎非常細化。我們的平均存款規模為 20,000 美元，我們在都市和農村市場的存款多元化，以及非常多元化的客戶細分，讓我們相信，我們核心存款的基礎並不遙遠。

So again, we're not a bank that will chase deposits for the highest rate in the land, but we will offer a fair rate to our clients as a function of our value proposition and client service model. And as we mentioned earlier, we have plenty of dry powder to fund any additional high-rate sensitive deposit outflows with our securities portfolio and some other on balance sheet cash. And we'll do that as long as it's accretive to margin and ROA and EPS. And that's been the case for the last 2 quarters, and we expect to carry that view going forward on the [new] deposit outflows.

再說一遍，我們不是一家追求國內最高利率的銀行，但我們將根據我們的價值主張和客戶服務模式為客戶提供公平的利率。正如我們之前提到的，我們有足夠的干粉，可以用我們的證券投資組合和資產負債表上的其他現金為任何額外的高利率敏感存款外流提供資金。只要它能增加利潤率、資產回報率和每股收益，我們就會這樣做。過去兩個季度的情況就是如此，我們預計未來對[新的]存款流出也將持這種觀點。

Our next question is from Andrew Terrell with Stephens.

我們的下一個問題來自安德魯·特雷爾和斯蒂芬斯。

I wanted to start maybe just on the deposit front. I was hoping just to get a sense of kind of deposit flows throughout the quarter. Did you see any kind of acceleration in flows or outflows during the month of March? And then more specifically, can you just talk about how deposits have fared thus far in April, both for overall deposits? And then have you seen the cadence of noninterest-bearing compression slow quarter-to-date?

我想也許只是從存款方面開始。我只是希望了解整個季度的存款流量。您是否看到 3 月份的資金流入或流出有任何加速？然後更具體地說，您能否談談 4 月份迄今為止存款的表現（總體存款）？那麼您是否看到本季度迄今無息壓縮的節奏緩慢？

Yes, Andrew, this is Peter. So we -- in terms of the quarter itself, we actually saw deposit flows higher in January than we did in the last 2 months of the quarter. So we didn't see any material effects from the bank failures or safety and (inaudible) concerns. In March at Banner, in part because all of our large deposit relationships had direct outreach by our bankers in terms of communication. And then we've had, obviously, a very conservative risk profile for all of market [tenure] here, so there's is no surprise in terms of our capital liquidity position going into this -- into these events.

是的，安德魯，這是彼得。因此，就本季度本身而言，我們實際上看到 1 月份的存款流量高於本季度最後兩個月的水平。因此，我們沒有看到銀行倒閉或安全和（聽不清）擔憂帶來任何實質性影響。三月份在班納，部分原因是我們所有的大型存款關係都由我們的銀行家在溝通方面進行了直接外展。顯然，我們對所有市場[任期]都有非常保守的風險狀況，因此我們的資本流動性頭寸進入這些事件並不令人意外。

In terms of what we expect going forward in terms of noninterest bearing, as I mentioned earlier in our prepared comments, we typically see some seasonal outflows in Q2 related to tax payments that we're seeing here normally in a normal year without the fiscal stimulus impact. But overall, we're not seeing any real material change in the cadence of outflows related to rate-sensitive clients moving up the balance sheet. The tactics we've employed to retain those deposits in terms of exception pricing and a couple of selective CD specials have been effective.

就我們對無息方面的預期而言，正如我之前在準備好的評論中提到的那樣，我們通常會在第二季度看到一些與納稅相關的季節性資金外流，而在沒有財政刺激的正常年份，我們通常會看到這種情況影響。但總體而言，我們沒有看到與利率敏感客戶資產負債表上升相關的資金流出節奏發生任何真正的重大變化。我們通過例外定價和一些選擇性 CD 特價來保留這些存款的策略是有效的。

I mean, retaining those deposits on balance sheet maybe not in noninterest-bearing or lower-yielding account, but they're staying on balance sheet in some of those higher-yielding products, and we've been effective with that. And our clients are really just looking for a fair rate, they're not looking for the highest rate out there.

我的意思是，將這些存款保留在資產負債表上可能不是無息或低收益賬戶，但它們會保留在一些高收益產品的資產負債表上，我們在這方面一直很有效。我們的客戶實際上只是在尋找公平的費率，他們並不是在尋找最高的費率。

Okay. I appreciate that. And maybe just thinking on kind of margin topics. At kind of the onset of the Fed raising rates, I remember the way we talked about the margin and its response to higher rates as the margin beta would be around 33% to the change in Fed funds. You guys have actually performed relatively in line with that kind of expectation even though the world has changed quite a bit.

好的。我很感激。也許只是在思考某種邊緣主題。在美聯儲加息之初，我記得我們談論保證金的方式及其對利率上升的反應，因為聯邦基金變化的保證金貝塔值約為 33%。雖然世界已經發生了很大的變化，但是你們的表現其實還是比較符合這種預期的。

If we look at just the forward curve, there's quite a few cuts in there. I guess the question is, would you expect a similar net margin beta around 33% on the way down? Or do you think some kind of -- some of the (inaudible) kind of asset repricing within those adjustable and fixed rate loan buckets could help to keep that kind of net margin beta lower on the way down than what you've experienced on the way up?

如果我們只看遠期曲線，就會發現有相當多的削減。我想問題是，您是否預計淨利潤率貝塔值在下降過程中會出現類似的 33% 左右？或者您是否認為在這些可調整和固定利率貸款類別中進行某種（聽不清）資產重新定價可能有助於保持這種淨利潤率貝塔值在下降過程中低於您在過去的經歷中所經歷的水平一路攀升？

Yes. Andrew, as we've guided to previously, we -- our goal through this rate cycle was to reduce our asset sensitivity as we got towards the top of the rate cycle through a combination of organically migrating the loan portfolio for more duration and putting loan floors in on the floating and adjustable-rate loans as we went up. And we're in a good position now as we get towards what we presume as the top of the rate cycle. And in the way down, we're going to have a slower pace of repricing on the loan book when rates do begin to come down.

是的。安德魯，正如我們之前所指導的那樣，我們在這個利率週期中的目標是，通過有機地遷移貸款組合以延長期限和發放貸款，在我們接近利率週期的頂部時降低我們的資產敏感性隨著我們的上升，浮動利率和可調利率貸款也隨之下降。我們現在處於一個有利的位置，因為我們正接近我們所認為的利率週期的頂部。在下降過程中，當利率確實開始下降時，我們對貸款賬簿重新定價的速度將會減慢。

And so we -- our goal is to hold this -- the range of our margin where it is with just a little compression going forward, given the fact that we put in this asymmetry into our asset sensitivity as rates have gone up organically. And so we feel pretty confident that, that margin -- that range of margin will hold here in the near term, even as the Fed stops tightening rates. And even if there's some additional inversion along into the yield curve because of all the organic work we've done that not just treasury but all of our bankers in working with our clients to price and structure the loans to preserve our margin on the way down.

因此，考慮到隨著利率有機上升，我們將這種不對稱性納入了資產敏感性，因此我們的目標是保持我們的利潤率範圍，未來只需稍微壓縮即可。因此，我們非常有信心，即使美聯儲停止加息，這一幅度——這一範圍的幅度將在短期內保持不變。即使收益率曲線出現一些額外的倒掛，因為我們所做的所有有機工作不僅是財政部，而且我們所有的銀行家都在與我們的客戶合作對貸款進行定價和結構調整，以在下降時保持我們的利潤率。

All right. David -- Andrew, the only thing I would add to that, Peter's comments is 2/3 of our loan book is variable and adjustable. About 60% of that is adjustable, that hasn't necessarily adjusted through this rate cycle at this point. So we will see some further upward adjustments on those.

好的。大衛 - 安德魯，我唯一要補充的是，彼得的評論是我們的貸款簿的 2/3 是可變的和可調整的。其中約 60% 是可調整的，但目前尚未在本利率週期中進行調整。因此，我們將看到這些方面的進一步向上調整。

Our next question is from Andrew Liesch with Piper Sandler.

我們的下一個問題來自 Andrew Liesch 和 Piper Sandler。

Just a question here. I know you mentioned funding loan growth of cash flows from the securities portfolio or borrowings. But just a couple of quarters now where you've sold securities at a loss. I guess, how are you looking at the securities portfolio and managing capital? And the valuations of those securities are now improving, should we see more security sales? Or is it really just going to be borrowings and maybe some core deposit growth or higher rates that you guys are offering to fund loan growth?

這裡只是一個問題。我知道您提到了證券投資組合或借款現金流量的融資貸款增長。但僅僅幾個季度以來，你就虧本出售了證券。我想，您如何看待證券投資組合和管理資本？這些證券的估值現在正在改善，我們是否應該看到更多的證券銷售？或者，這真的只是藉款，也許還有一些核心存款增長或更高的利率，你們為貸款增長提供資金？

Yes. Andrew, this is Rob. So yes, from a wholesale borrowing standpoint, we're planning on using it on a tactical basis, really have an infilter funding needs based on the level of loan growth and deposit outflows. As far as looking at the future investment sales, that's something that we'll continue to consider based on those similar deposit flows. Our criteria is the earn back. So as long as we have an earn back within 3 years and then we're willing to do that from a capital perspective.

是的。安德魯，這是羅布。所以，是的，從批發借貸的角度來看，我們計劃在戰術基礎上使用它，確實有基於貸款增長和存款流出水平的滲透融資需求。就未來的投資銷售而言，我們將根據類似的存款流量繼續考慮這一點。我們的標準是賺回來。所以只要我們三年內能賺回來，從資本的角度我們就願意這麼做。

And then I think the other part of it is just the current quarter probably is, I would say, going forward that might be similar levels or a little bit lower than that. But again, it's going to really depend on deposit flows.

然後我認為，當前季度的另一部分可能是，我想說，未來可能會達到類似的水平或略低於這個水平。但同樣，這將真正取決於存款流量。

Our next question is from Andrew Terrell with Stephens.

我們的下一個問題來自安德魯·特雷爾和斯蒂芬斯。

I apologize if I missed this. It looks like the 1Q expenses were in kind of squarely in that low to mid $90 million a quarter range that we talked about. Last quarter -- I was just hoping to get updated kind of expectations for the expense base moving forward. And if that low to mid-$90 million a quarter is still a good way to think about the expense run rate from here?

如果我錯過了這一點，我深表歉意。看起來第一季度的支出正好在我們談到的每季度 9000 萬美元的低至中水平範圍內。上個季度——我只是希望獲得對未來支出基礎的最新預期。如果每季度 9000 萬美元的中低水平仍然是考慮此處費用運行率的好方法？

Yes, Andrew, this is Rob. So our guidance really hasn't changed there. We're still guiding to that mid- to lower 90s run rate, something similar to what we experienced this quarter.

是的，安德魯，這是羅布。所以我們的指導方針確實沒有改變。我們仍然指導 90 年代中下的運行率，類似於我們本季度經歷的情況。

(Operator Instructions) Our next question is from Tim Coffey with Janney.

（操作員說明）我們的下一個問題是 Tim Coffey 和 Janney 提出的。

Mark, a question about your loan-to-deposit ratio. Is there a level at which you think you would feel comfortable with it getting up to, because it seems like it's heading up towards 80% and probably mid-80s is what I'm thinking. But what are your thoughts there?

馬克，關於您的貸存比率的問題。是否有一個你認為達到的水平你會感到舒服，因為它似乎正在向 80% 前進，我想可能是 80 年代中期。但你的想法是什麼？

Yes, Tim, as you might recall, since you covered the company for quite a bit of time now, we did operate this company in that 90% to 95% loan-to-deposit ratio for a long time, maximizing our revenue lines. So I think it really depends on current market conditions and how sensitive the liquidity is today that we're probably not going to get up there, but I could see our loan-to-deposit ratio gravitating up to the mid-80% range.

是的，蒂姆，您可能還記得，由於您已經報導了該公司相當長的一段時間，我們確實長期以 90% 至 95% 的貸存比運營這家公司，從而最大限度地提高了我們的收入線。因此，我認為這實際上取決於當前的市場狀況以及當今流動性的敏感程度，我們可能不會達到這個水平，但我可以看到我們的貸存比會上升到 80% 左右的範圍。

Okay. And then just kind of a high-level question here. Can you describe in what way your business has changed since mid-March with the bank failures? Have you seen a material difference in customer behavior at the back half of 1Q relative to the period before that?

好的。這是一個高級問題。您能否描述一下自 3 月中旬銀行倒閉以來您的業務發生了哪些變化？您是否發現第一季度後半段的客戶行為與之前同期相比存在重大差異？

Well, I'll ask Jill to comment on customer behavior, but we really haven't seen a major shift. As you might suspect, given our client base concentration in middle market and small business as well as the consumers in our footprint, when you're a good corporate citizen and you behave in a very consistent and reliable manner, there is confidence in the bank itself. That being said, I think I'll turn it over to Jill in terms of client sentiment, but there is certainly caution out there more around economic activity than it would be a safety and soundness concern for our organization. Jill?

好吧，我會請吉爾對客戶行為發表評論，但我們確實沒有看到重大轉變。正如您可能懷疑的那樣，考慮到我們的客戶群集中在中型市場和小型企業以及我們足跡中的消費者，當您是一個良好的企業公民並且您的行為方式非常一致和可靠時，銀行就會有信心本身。話雖這麼說，我想我會把客戶情緒的問題交給吉爾，但對於我們組織的安全和穩健而言，圍繞經濟活動的謹慎肯定更多。吉爾？

Yes. No, Mark covered it really well. The only thing I would add and I touched on it a little bit earlier was that in -- after the bank failures, we've had more conversations with more potential new clients reaching out because of the safety and soundness and our propensity to be open through all business cycles.

是的。不，馬克把它講得很好。我唯一要補充的是，我早些時候談到過，在銀行倒閉之後，我們與更多潛在的新客戶進行了更多的對話，因為安全性和穩健性以及我們的開放傾向貫穿所有商業周期。

There are no further questions. I'll pass the call back over to the management team for closing remarks.

沒有其他問題了。我會將電話轉回管理團隊以供結束語。

Thanks, Jason. As I stated, we're very proud of the Banner team and our first quarter 2023 performance. And I think, our first quarter performance demonstrates the strength of our organization and how all of our colleagues are driving the performance of the company for the first quarter. Thank you for your interest in Banner and joining our call. We look forward to talking to you next quarter. Have a great day, everyone.

謝謝，傑森。正如我所說，我們對 Banner 團隊和我們 2023 年第一季度的表現感到非常自豪。我認為，我們第一季度的業績展示了我們組織的實力以及我們所有同事如何推動公司第一季度的業績。感謝您對 Banner 的興趣並加入我們的電話會議。我們期待下個季度與您交談。祝大家有個美好的一天。

That concludes the conference call. Thank you for your participation. You may now disconnect your lines.

電話會議到此結束。感謝您的參與。您現在可以斷開線路。