Below is transcript of the Webster Financial Corporation (NYSE:WBS)’s Q4 2014 Earnings Conference Call, held on Thursday, January 22, 2015, at 9:00 am EST. Elizabeth Park Capital Management, Polaris Capital Management and Decade Capital Management was among Webster Financial Corporation (NYSE:WBS) shareholders at the end of the third quarter.
Webster Financial Corporation (NYSE:WBS) is a bank holding company and financial holding company. Webster serves consumers, businesses, not-for-profit organizations and governmental entities with a distribution network of 169 banking centers and 309 automated teller machines (ATMs), as well as a range of telephone, Internet, and mobile banking services.
Company Representatives:
James C. Smith – Chairman & Chief Executive Officer Webster
Joseph J. Savage – President
Glenn I. MacInnes – Chief Financial Officer
Analysts:
Bob Ramsey – FBR Capital Markets
Dean Rochester – Dolce May
Casey Haire – Jefferies
Mark Fitzgibbon – Sandal O’Neill and Partners
Operator
Good morning and welcome to the Webster financial corporation’s 4th quarter 2014 results conference call. This conversation is being recorded; also this presentation includes forward looking statements with the provision of the private security litigation format of 1995. With respect to last year’s financial position, results of operations and business and financial performance. Webster’s based these forward looking statements of current and projections about future events. Actual results might differ materially from those projections in the forward looking statements. Additional, information concerning risks and certain key assumptions and other factors that could cause actual results to materially differ from the forward looking statements. This contains the Webster financials public filings with the security exchanging commission. Including our form PK. Containing our earnings release from the fourth quarter of 2014. I would now introduce your host James C. Smith, Chairman & CEO Webster. Please go ahead sir.
James C. Smith – Chairman & Chief Executive Officer Webster
Thank you Kevin. Good morning everyone. Welcome to Webster’s 4th quarter earnings call and webcast. CFO Glenn I. MacInnes and I will review business and financial performance after which President Joseph J. Savage, Glennn and I will take questions. Webster moved further along the path to high performance for the 4th quarter and the full year 2014. With our sustained growth and progress driven by a succession of solid strategic choices. We’ve invested our capital resources and energy in growth strategies that are adding values to customers and shareholders. Beginning I would like to record quarterly that income at 51 million dollars, increased 6% at over a year. Excluding over rule OTTI Q4 2013. While earning per share also increased 6 % on this basis. Full year net income reached a milestone in 200 million. Return on common average equity in the quarter was 8.8%. And return on average tangible common equity was 11.8%, holding steady due to higher capital levels, resulting from earnings growth. All my further comments will be based on core operating earnings. Looking at slides 3 & 4, year over year results were driven by solid Q4 loan group. Overall loan balances grew 3% linked quarter and over 9% year over year. With origination’s across the bank in year record levels.
