Cullen/Frost Bankers, Inc. (NYSE:CFR) Q2 2020 Earnings Conference Call - Final Transcript

Jul 30, 2020 • 11:00 am ET


Cullen/Frost Bankers, Inc. (NYSE:CFR) Q2 2020 Earnings Conference Call - Final Transcript


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Ladies and gentlemen, thank you for standing by. And welcome to the Cullen/Frost Second Quarter Earnings Conference Call. [Operator Instructions] After the speakers presentation there will be a question-and-answer session. [Operator Instructions].

I would now like to hand the conference over to your speaker today, A. B. Mendez, Senior Vice President and Director of Investor Relations. Thank you. Please go ahead, sir.

A. B. Mendez

And CFO. Before I turn the call over to Phil and Jerry, I need to take a moment to address the safe harbor provisions.

Some of the remarks made today will constitute forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995 as amended. We intend such statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 as amended. Please see the last page of text in this morning's earnings release for additional information about the risk factors associated with these forward-looking statements. If needed, a copy of the release is available on our website or by calling the Investor Relations at 210-220-5234.

At this time, I'll turn the call over to Phil.

Phillip D. Green

Thanks, A. B. And good morning, everybody. Thanks for joining us. Today I'll review second quarter results for Cullen/Frost; and our Chief Financial Officer, Jerry Salinas, will also provide additional comments and then we'll open it up for your questions.

In second quarter, Cullen/Frost earned $93.1 million or $1.47 per share compared with earnings of $109.6 million, or $1.72 per share in the same quarter of last year and $47.2 million or $0.75 a share in the first quarter of this year.

Beyond the financials, the second quarter was an extraordinary one for Frost. To add our response to the COVID-19 pandemic, we've been continuing serving customers with appointments in our bank lobbies, to our motor banks, with our online and mobile banking service, to around the clock telephone customer service and at our network of more than 1200 ATMs. I'll talk in more detail about our Houston expansion and our Paycheck Protection Program loans. But for now, I'd like to point out that we have been completing our organic growth initiatives and still achieving the same award winning level of customer service process known for, despite having more than two thirds of our employees working remotely.

In fact, during the second quarter, we learned that Frost had achieved its highest ever Net Promoter Score with a jump from 82 to 87. And that's a score that would be the envy of many well known brands, and it's a testament to our core values and our ability to consistently take care of our customer's needs, especially during trying times.

More recently, we learned a process among the banks, that Greenwich and Associates has identified as standouts in their response to the pandemic based on customer surveys. In fact, Frost was one of only two banks to be named a standout in both the small business banking and middle market banking categories.