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$RF 1Q15 10-Q: RF's income tax expense from continuing operations was $95MM vs. income tax expense of $151MM in 1Q14, resulting in effective tax rates of 28.7% and 33.3%, respectively. Income tax expense was lower in 1Q15 vs. 1Q14 due to lower pre-tax income and an income tax benefit of approx. $10MM related to net state deferred tax assets.
For FY18, $RF expects average loans and average deposits to grow in the low single digits. The company expects its adjusted net interest income to growth in the range of 3-5% and noninterest income to growth in the range of 3-6%. Following the income tax reform, the company expects its effective tax rate to be in the range of 20-22%.
$RF's average loan balances totaled $79.5Bil during 4Q17. Average balances in the consumer lending portfolio increased $40MM. During the quarter, total average deposits increased modestly as growth in low-cost deposits exceeded strategic reductions within the wealth and other segments.
Banking company $RF reported 14% growth in its 4Q17 profit, helped by growth in net interest income. Earnings rose to $318MM, or $0.27 per share, from $278MM, or $0.23 per share during 4Q16. Total revenue on a fully taxable equivalent basis rose 6% to $1.5Bil.
$RF's subsidiary Regions Bank announced that Christopher Honn has joined the Healthcare group as Managing Director for Senior Housing. He will be based in the company's Chicago office. Honn most recently was Senior Managing Director for Berkadia Commercial Mortgage in Chicago.
$RF named John Turner Jr. as President of Regions Bank and Regions Financial Corporation, its bank holding company. Turner is a Senior EVP, a member of the bank's Executive Council and head of Regions' Corporate Banking Group. He is also responsible for corporate strategic planning and will remain head of the Corporate Banking Group.
$RF has added Mark Hardison as the Managing Director to its Healthcare Group. In this new role Hardison will report to John Barton, Executive Vice President of Regions Bank, Executive Managing Director of Regions Securities LLC and group head of Healthcare.
$RF expects is FY17 average loans to be flat to slightly down when compared to the prior year and average deposit balance is expected to be stable with FY16. The company expects its net interest income and other financing income to be in the range of 3-5% and adjusted non-interest income growth to be about 1-3% for FY17.
$RF reported production increase during 2Q17, with commercial and investor real estate loan production up 56% and 35%, respectively. The commercial line utilization rose 20 basis points and commitments for new loans rose approx. $700MM when compared to 2Q16.
During 2Q17, $RF's average loans and leases declined 2% compared to 2Q16. Average deposit balances remained relatively stable with the prior year. The company incurred $7MM of expenses associated with the consolidation of 22 additional branches that is expected to close during 4Q17.
Banking company $RF posted higher 2Q17 earnings, helped by growth in net interest income. Net income available to common shareholders rose to $300MM, or $0.25 per share, compared to $256MM, or $0.20 per share during 2Q16. Total revenues on a taxable equivalent basis rose 2.4% to $1.43Bil.
$RF said Regions Securities has further expanded its Corporate Finance Group by hiring two managing directors, Gene Bowles and Daniel Hoverman. Bowles and Hoverman join previous hires including Managing Director Rob Tyndall and others following the 2016 launch of the Corporate Finance Group.