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Byline Bancorp, Inc. Reports First Quarter 2023 Financial Results

Select First Quarter 2023 Financial Highlights

  • Net income of $23.9 million, or $0.64 per diluted share

  • Pre-tax pre-provision return on average assets of 2.32%1

  • Return on average assets of 1.32%; Return on average tangible common equity of 16.20%1

  • Net interest margin of 4.38%; down one bp from the previous quarter

  • Efficiency ratio of 52.10%

  • Total loans and leases of $5.5 billion, quarterly increase of $74.6 million

  • Total deposits of $5.8 billion, quarterly increase of $117.5 million

  • Tangible Common Equity to Tangible Assets of 8.66%1

  • Common Equity Tier 1 to Risk Weighted Assets of 10.27%

CHICAGO, April 27, 2023--(BUSINESS WIRE)--Byline Bancorp, Inc. ("Byline", the "Company", "we", "our", or "us") (NYSE: BY), the parent company of Byline Bank (the "Bank"), today reported net income of $23.9 million, or $0.64 per diluted share, for the first quarter of 2023 compared with net income of $24.4 million, or $0.65 per diluted share, for the fourth quarter of 2022, and net income of $21.4 million2, or $0.56 per diluted share, for the first quarter 2022.

Roberto R. Herencia, Executive Chairman and Chief Executive Officer of Byline Bancorp, Inc., commented, "Our first quarter results reflect the resiliency of our diversified business model and prudent management, notwithstanding continued rate increases and a challenging operating environment. We remain focused on executing our strategy, supporting new and existing customers and growing the value of our franchise. I am proud of the way our bankers navigated the recent turmoil within our industry, with a focus on serving our customers and communities."

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Alberto J. Paracchini, President of Byline Bancorp, Inc. added, "We delivered solid financial results for the first quarter as our performance was both balanced and strong during a period of heightened volatility and uncertainty. During the quarter, we increased our capital position and we believe we continue to maintain a high level of liquidity given the environment. At the same time, we grew revenue by 17% year-over-year, controlled non-interest expenses, achieved positive operating leverage, maintained credit quality and delivered strong profitability. Looking forward, we believe our diversified franchise, and strong capital and liquidity, position us well for the remainder of 2023."

Board Declares Cash Dividend of $0.09 per Share

On April 25, 2023, the Company's Board of Directors declared a cash dividend of $0.09 per share, payable on May 23, 2023, to stockholders of record of the Company's common stock as of May 9, 2023.

(1)

Represents non-GAAP financial measures. See "Reconciliation of non-GAAP Financial Measures" for a reconciliation of our non-GAAP measures to the most directly comparable GAAP financial measure.

(2)

Recast due to the adoption of ASU 2016-13 Financial Instruments - Credit Losses on December 31, 2022, which was applied retrospectively to January 1, 2022. Results for periods beginning after September 30, 2022 are presented under the new standard, while prior quarters previously reported are recast as if the new standard had been applied since January 1, 2022. Refer to our Annual Report on Form 10-K for the year ended December 31, 2022 for additional information on the adoption of the standard.

STATEMENTS OF OPERATIONS

Net Interest Income

The following table presents the average interest-earning assets and average interest-bearing liabilities for the periods indicated. Net interest income and margin are adjusted to reflect tax-exempt interest income on a tax-equivalent basis using tax rates effective as of the end of the period:

For the Three Months Ended

March 31, 2023

December 31, 2022

Recast March 31, 2022

(dollars in thousands)

Average
Balance(5)

Interest
Inc / Exp

Avg.
Yield /
Rate

Average
Balance(5)

Interest
Inc / Exp

Avg.
Yield /
Rate

Average
Balance(5)

Interest
Inc / Exp

Avg.
Yield /
Rate

ASSETS

Cash and cash equivalents

$

97,578

$

442

1.84

%

$

89,367

$

234

1.04

%

$

74,822

$

29

0.16

%

Loans and leases(1)

5,484,372

92,343

6.83

%

5,389,210

$

85,720

6.31

%

4,669,047

55,138

4.79

%

Taxable securities

1,275,377

6,431

2.04

%

1,288,750

$

7,043

2.17

%

1,339,345

5,358

1.62

%

Tax-exempt securities(2)

151,817

994

2.65

%

155,562

$

1,021

2.60

%

169,652

1,124

2.69

%

Total interest-earning assets

$

7,009,144

$

100,210

5.80

%

$

6,922,889

$

94,018

5.39

%

$

6,252,866

$

61,649

4.00

%

Allowance for credit losses -
loans and leases

(84,321

)

(81,815

)

(68,058

)

All other assets

420,328

424,979

512,668

TOTAL ASSETS

$

7,345,151

$

7,266,053

$

6,697,476

LIABILITIES AND STOCKHOLDERS’
EQUITY

Deposits

Interest checking

$

606,008

$

2,494

1.67

%

$

596,627

$

1,902

1.27

%

$

579,297

$

178

0.12

%

Money market accounts

1,465,677

7,728

2.14

%

1,472,050

5,458

1.47

%

1,255,431

474

0.15

%

Savings

613,590

227

0.15

%

647,536

243

0.15

%

649,269

76

0.05

%

Time deposits

966,409

5,849

2.45

%

788,856

3,007

1.51

%

662,080

359

0.22

%

Total interest-bearing
deposits

3,651,684

16,298

1.81

%

3,505,069

10,610

1.20

%

3,146,077

1,087

0.14

%

Other borrowings

573,433

5,852

4.14

%

514,518

4,598

3.55

%

290,545

395

0.55

%

Federal funds purchased

2,778

36

5.30

%

0.00

%

0.00

%

Subordinated notes and
debentures

111,101

2,098

7.66

%

110,947

1,992

7.12

%

110,490

1,600

5.87

%

Total borrowings

687,312

7,986

4.71

%

625,465

6,590

4.18

%

401,035

1,995

2.02

%

Total interest-bearing liabilities

$

4,338,996

$

24,284

2.27

%

$

4,130,534

$

17,200

1.65

%

$

3,547,112

$

3,082

0.35

%

Non-interest-bearing
demand deposits

2,076,613

2,235,464

2,248,035

Other liabilities

145,253

151,763

80,276

Total stockholders’ equity

784,289

748,292

822,053

TOTAL LIABILITIES AND
STOCKHOLDERS’ EQUITY

$

7,345,151

$

7,266,053

$

6,697,476

Net interest spread(3)

3.53

%

3.74

%

3.65

%

Net interest income, fully
taxable equivalent

$

75,926

$

76,818

$

58,567

Net interest margin, fully
taxable equivalent(2)(4)

4.39

%

4.40

%

3.80

%

Less: Tax-equivalent adjustment

208

0.01

%

214

0.01

%

236

0.02

%

Net interest income

$

75,718

$

76,604

$

58,331

Net interest margin(4)

4.38

%

4.39

%

3.78

%

Net loan accretion impact
on margin

$

729

0.04

%

$

369

0.02

%

$

1,187

0.08

%

___________________

(1)

Loan and lease balances are net of deferred origination fees and costs and initial indirect costs. Non-accrual loans and leases are included in total loan and lease balances.

(2)

Interest income and rates include the effects of a tax equivalent adjustment to adjust tax exempt investment income on tax exempt investment securities to a fully taxable basis, assuming a federal income tax rate of 21%.

(3)

Represents the average rate earned on interest-earning assets minus the average rate paid on interest-bearing liabilities.

(4)

Represents net interest income (annualized) divided by total average earning assets.

(5)

Average balances are average daily balances.

The following table presents net interest income for the periods indicated:

March 31, 2023

Three Months Ended

Change from

Recast

March 31,

December 31,

March 31,

December 31,

March 31,

(dollars in thousands)

2023

2022

2022

2022

2022

INTEREST AND DIVIDEND INCOME

Interest and fees on loans and leases

$

92,343

$

85,720

$

55,138

...

7.7

%

67.5

%

Interest on securities

6,600

6,569

6,155

0.5

%

7.2

%

Other interest and dividend income

1,059

1,515

120

(30.1

)%

781.5

%

Total interest and dividend income

100,002

93,804

61,413

6.6

%

62.8

%

INTEREST EXPENSE

Deposits

16,298

10,610

1,087

53.6

%

1399.7

%

Other borrowings

5,888

4,598

395

28.1

%

1391.2

%

Subordinated notes and debentures

2,098

1,992

1,600

5.3

%

31.1

%

Total interest expense

24,284

17,200

3,082

41.2

%

688.1

%

Net interest income

$

75,718

$

76,604

$

58,331

(1.2

)%

29.8

%

Net interest income for the first quarter of 2023 was $75.7 million, a decrease of $886,000, or 1.2%, from the fourth quarter of 2022. The decrease was driven by day count and rising interest rates.

The decrease in net interest income was primarily due to:

  • An increase of $5.7 million in deposit interest expense mainly due to higher average balances and higher rates paid on time deposits and money market accounts; and

  • An increase of $1.3 million in interest expense on other borrowings due to higher rates paid and average balances on borrowings.

Partially offset by:

  • An increase of $6.6 million in interest income and fees on loans and leases due to higher yields on loans and leases.

Tax-equivalent net interest margin for the first quarter of 2023 was 4.39%, a decrease of one basis point compared to the fourth quarter of 2022. Total net loan accretion income impact on margin contributed four basis points to the net interest margin for the first quarter of 2023 compared to two basis points for the fourth quarter of 2022.

The average cost of total deposits was 1.15% for the first quarter of 2023, an increase of 42 basis points compared to the fourth quarter of 2022. Average non-interest-bearing demand deposits were 36.3% of average total deposits for the first quarter of 2023 compared to 38.9% during the fourth quarter of 2022.

Provision for Credit Losses

The provision for credit losses was $9.8 million for the first quarter of 2023, an increase of $4.0 million compared to $5.8 million for the fourth quarter of 2022. The provision for credit losses is comprised of a provision for loan and lease losses of $9.7 million and a provision for unfunded commitments of $113,000. The increase in provision during the first quarter of 2023 was primarily driven by increases in specific reserves on loans that were individually evaluated for impairment, changes in expected losses driven by macro-economic factors, and growth in the loan and lease portfolio.

Non-interest Income

The following table presents the components of non-interest income for the periods indicated:

March 31, 2023

Three Months Ended

Change from

Recast

March 31,

December 31,

March 31,

December 31,

March 31,

(dollars in thousands)

2023

2022

2022

2022

2022

NON-INTEREST INCOME

Fees and service charges on deposits

$

2,120

$

2,081

$

1,884

1.9

%

12.5

%

Loan servicing revenue

3,380

3,293

3,380

2.7

%

0.0

%

Loan servicing asset revaluation

656

(3,534

)

(1,231

)

NM

(153.3

)%

ATM and interchange fees

1,063

1,250

1,049

(14.9

)%

1.3

%

Change in fair value of equity securities, net

350

710

(35

)

(50.6

)%

NM

Net gains on sales of loans

5,148

5,509

10,827

(6.6

)%

(52.4

)%

Wealth management and trust income

924

864

1,048

7.0

%

(11.9

)%

Other non-interest income

1,504

1,282

2,621

17.2

%

(42.6

)%

Total non-interest income

$

15,145

$

11,455

$

19,543

32.2

%

(22.5

)%

Non-interest income for the first quarter of 2023 was $15.1 million, an increase of $3.7 million, or 32.2%, compared to $11.5 million for the fourth quarter of 2022.

The increase in total non-interest income was primarily due to:

  • An increase of $4.2 million in the valuation of the loan servicing asset from favorable fair value adjustments due to improvements in market conditions.

Partially offset by:

  • A decrease of $361,000 in the net gain on sales of loans, due to lower volume of loan sales.

During the first quarter of 2023, we sold $72.2 million of U.S. government guaranteed loans compared to $86.0 million during the fourth quarter of 2022.

Non-interest Expense

The following table presents the components of non-interest expense for the periods indicated:

March 31, 2023

Three Months Ended

Change from

Recast

March 31,

December 31,

March 31,

December 31,

March 31,

(dollars in thousands)

2023

2022

2022

2022

2022

NON-INTEREST EXPENSE

Salaries and employee benefits

$

30,394

$

31,808

$

28,959

(4.4

)%

5.0

%

Occupancy and equipment expense, net

4,444

3,532

5,128

25.8

%

(13.3

)%

Impairment charge on assets held for sale

20

372

(94.8

)%

NM

Loan and lease related expenses

963

1,126

(891

)

(14.4

)%

(208.1

)%

Legal, audit and other professional fees

3,114

3,204

2,600

(2.8

)%

19.8

%

Data processing

3,783

3,406

3,186

11.1

%

18.7

%

Net (gain) loss recognized on other real estate
owned and other related expenses

(103

)

221

54

NM

NM

Other intangible assets amortization expense

1,455

1,596

1,596

(8.8

)%

(8.8

)%

Other non-interest expense

4,730

5,235

3,324

(9.6

)%

42.3

%

Total non-interest expense

$

48,800

$

50,500

$

43,956

(3.4

)%

11.0

%

Non-interest expense for the first quarter of 2023 was $48.8 million, a decrease of $1.7 million, or 3.4%, from $50.5 million for the fourth quarter of 2022.

The decrease in total non-interest expense was primarily due to:

  • A decrease of $1.4 million in salaries and employee benefits mainly due to decreases in incentive compensation, offset by increases in payroll taxes; and

  • A decrease of $505,000 in other non-interest expense, as the prior quarter included net losses of $480,000 in leasehold improvements.

Partially offset by:

  • An increase of $912,000 in occupancy and equipment expense, net, primarily due to increases in real estate taxes and building maintenance; and

  • An increase of $377,000 in data processing mainly due to merger related expenses.

Our efficiency ratio was 52.10% for the first quarter of 2023 compared to 55.53% for the fourth quarter of 2022.

INCOME TAXES

We recorded income tax expense of $8.3 million during the first quarter of 2023, compared to $7.4 million during the fourth quarter of 2022. The effective tax rate was 25.7% and 23.2% for the first quarter of 2023 and fourth quarter of 2022, respectively. The increase in the effective tax rate is primarily due to the effect of a prior quarter tax benefit related to share-based compensation.

STATEMENTS OF FINANCIAL CONDITION

Total assets were $7.5 billion at March 31, 2023, an increase of $167.4 million compared to $7.4 billion at December 31, 2022.

The current quarter increase was primarily due to:

  • An increase in cash and cash equivalents of $104.9 million primarily to augment liquidity levels given the environment and support customer activities; and

  • An increase in net loans and leases of $85.5 million primarily due to growth in the originated loan and lease portfolio.

Partially offset by:

  • A decrease in loans held for sale of $19.4 million, driven mainly by lower volume of government guaranteed loans.

The following table shows our allocation of the originated, purchase credit deteriorated, and non-credit deteriorated loans and leases at the dates indicated:

Recast

March 31, 2023

December 31, 2022

March 31, 2022

(dollars in thousands)

Amount

% of Total

Amount

% of Total

Amount

% of Total

Originated loans and leases

Commercial real estate

$

1,749,808

31.7

%

$

1,712,152

31.6

%

$

1,530,703

32.0

%

Residential real estate

441,291

8.0

%

426,226

7.9

%

399,852

8.3

%

Construction, land development, and
other land

446,763

8.1

%

438,617

8.1

%

351,518

7.3

%

Commercial and industrial

2,060,537

37.4

%

2,029,855

37.5

%

1,697,555

35.5

%

Paycheck Protection Program

730

0.0

%

761

0.0

%

36,260

0.8

%

Installment and other

1,603

0.0

%

1,410

0.0

%

946

0.0

%

Leasing financing receivables

552,174

10.0

%

521,689

9.6

%

379,527

7.9

%

Total originated loans and leases

$

5,252,906

95.2

%

$

5,130,710

94.7

%

$

4,396,361

91.8

%

Purchased credit deteriorated loans

Commercial real estate

$

39,000

0.7

%

$

45,143

0.8

%

$

62,480

1.3

%

Residential real estate

30,070

0.6

%

32,228

0.6

%

46,576

1.0

%

Construction, land development, and
other land

345

0.0

%

372

0.0

%

1,383

0.0

%

Commercial and industrial

1,745

0.0

%

2,192

0.0

%

3,884

0.1

%

Installment and other

134

0.0

%

140

0.0

%

161

0.0

%

Total purchased credit deteriorated loans

$

71,294

1.3

%

$

80,075

1.4

%

$

114,484

2.4

%

Acquired non-credit-deteriorated loans and leases

Commercial real estate

$

140,576

2.6

%

$

152,193

2.8

%

$

185,107

3.9

%

Residential real estate

27,975

0.5

%

31,508

0.6

%

48,173

1.0

%

Construction, land development, and
other land

0.0

%

0.0

%

196

0.0

%

Commercial and industrial

20,793

0.4

%

24,266

0.5

%

37,882

0.8

%

Installment and other

85

0.0

%

209

0.0

%

247

0.0

%

Leasing financing receivables

1,703

0.0

%

2,297

0.0

%

5,157

0.1

%

Total acquired non-credit-deteriorated
loans and leases

$

191,132

3.5

%

$

210,473

3.9

%

$

276,762

5.8

%

Total loans and leases

$

5,515,332

100.0

%

$

5,421,258

100.0

%

$

4,787,607

100.0

%

Allowance for credit losses - loans and leases

(90,465

)

(81,924

)

(72,107

)

Total loans and leases, net of allowance for
credit losses - loans and leases

$

5,424,867

$

5,339,334

$

4,715,500

ASSET QUALITY

Non-Performing Assets

The following table sets forth the amounts of non-performing loans and leases and other real estate owned at the dates indicated:

March 31, 2023

Recast

Change from

(dollars in thousands)

March 31, 2023

December 31, 2022

March 31, 2022

December 31, 2022

March 31, 2022

Non-performing assets:

Non-accrual loans and leases

$

46,536

$

36,027

$

33,236

29.2

%

40.0

%

Past due loans and leases 90 days or more
and still accruing interest

%

%

Total non-performing loans and leases

$

46,536

$

36,027

$

33,236

29.2

%

40.0

%

Other real estate owned

3,712

4,717

2,221

(21.3

)%

67.1

%

Total non-performing assets

$

50,248

$

40,744

$

35,457

23.3

%

41.7

%

Total non-performing loans and leases as a
percentage of total loans and leases

0.84

%

0.66

%

0.69

%

Total non-performing assets as a percentage
of total assets

0.67

%

0.55

%

0.52

%

Allowance for credit losses - loans and lease
as a percentage of non-performing
loans and leases

194.40

%

227.40

%

216.96

%

Non-performing assets guaranteed by
U.S. government:

Non-accrual loans guaranteed

$

2,335

$

2,225

$

1,832

5.0

%

27.5

%

Past due loans 90 days or more and still
accruing interest guaranteed

%

%

Total non-performing loans guaranteed

$

2,335

$

2,225

$

1,832

5.0

%

27.5

%

Total non-performing loans and leases
not guaranteed as a percentage of total
loans and leases

0.80

%

0.62

%

0.66

%

Total non-performing assets not guaranteed
as a percentage of total assets

0.64

%

0.52

%

0.49

%

Variances in non-performing assets were:

  • Non-performing loans and leases were $46.5 million at March 31, 2023, an increase of $10.5 million from $36.0 million at December 31, 2022, primarily due to an increase in impaired loans.

  • Other real estate owned was $3.7 million at March 31, 2023, a decrease of $1.0 million from $4.7 million at December 31, 2022, primarily due to sales of properties.

Allowance for Credit Losses ("ACL") - Loans and Leases

The following table presents the balance and activity within the allowance for credit losses - loans and leases for the periods indicated:

Three Months Ended

Recast

March 31,

December 31,

March 31,

(dollars in thousands)

2023

2022

2022

ACL - loans and leases, beginning of period

$

81,924

$

79,704

$

55,012

Cumulative effect adjustment (ASU 2016-13)

12,168

Provision for credit losses - loans and leases

9,712

5,399

5,723

Net charge-offs - loans and leases

(1,171

)

(3,179

)

(796

)

ACL - loans and leases, end of period

$

90,465

$

81,924

$

72,107

Net charge-offs - loans and leases to average total
loans and leases held for investment, net before ACL

0.09

%

0.24

%

0.07

%

Provision for credit losses - loans and leases
to net charge-offs - loans and leases during the period

8.29x

1.70x

7.19x

Net charge-offs of loans and leases during the first quarter of 2023 were $1.2 million, or 0.09% of average loans and leases, on an annualized basis, a decrease of $2.0 million compared to $3.2 million, or 0.24% of average loans and leases, during the fourth quarter of 2022, and an increase of $375,000 from $796,000 or 0.07% of average loans and leases from the comparable period a year ago.

Net charge-offs for the first quarter of 2023 included $1.1 million in the unguaranteed portion of U.S. government guaranteed loans, while net charge-offs for the fourth quarter of 2022 and first quarter of 2022 included $645,000 and $362,000, respectively, in the unguaranteed portion of U.S. government guaranteed loans.

Deposits and Other Liabilities

The following table presents the composition of deposits at the dates indicated:

March 31, 2023

Change from

(dollars in thousands)

March 31, 2023

December 31, 2022

March 31, 2022

December 31, 2022

March 31, 2022

Non-interest-bearing demand deposits

$

1,952,045

$

2,138,645

$

2,281,612

(8.7

)%

(14.4

)%

Interest-bearing checking accounts

560,837

592,098

596,497

(5.3

)%

(6.0

)%

Money market demand accounts

1,453,688

1,415,653

1,357,679

2.7

%

7.1

%

Other savings

590,231

625,798

659,218

(5.7

)%

(10.5

)%

Time deposits (below $250,000)

1,089,785

762,250

505,141

43.0

%

115.7

%

Time deposits ($250,000 and above)

166,066

160,677

129,955

3.4

%

27.8

%

Total deposits

$

5,812,652

$

5,695,121

$

5,530,102

2.1

%

5.1

%

Total deposits increased to $5.8 billion at March 31, 2023 compared to $5.7 billion at December 31, 2022. Non-interest-bearing deposits were 33.6% and 37.6% of total deposits at March 31, 2023 and December 31, 2022, respectively. Estimated total uninsured deposits were $1.6 billion as of March 31, 2023 and December 31, 2022, and represented 27.9% and 28.2% of total deposits, respectively.

The increase in deposits in the current quarter was due to:

  • An increase in time deposits of $332.9 million, principally due to deposit mix changes, including migration of deposits from other core deposit accounts to time deposits; and

  • An increase in money market demand accounts of $38.0 million, mainly due to inflows of public funds.

Partially offset by:

  • A decrease in non-interest-bearing demand deposits of $186.6 million, primarily due to seasonal fluctuations in balances and a competitive interest rate environment.

Total borrowings and other liabilities were $922.0 million at March 31, 2023, an increase of $20.0 million from $902.0 million at December 31, 2022, primarily driven by increases to securities sold under agreements to repurchase due to prevailing market conditions.

Stockholders’ Equity

Total stockholders’ equity was $795.7 million at March 31, 2023, an increase of $29.8 million from $765.8 million at December 31, 2022. The increase was primarily due to increased retained earnings due to net income and decreased accumulated other comprehensive loss due to decreased unrealized losses on AFS securities.

The following table presents actual regulatory capital dollar amounts and ratios of the Company and the Bank as of March 31, 2023:

Actual

Minimum Capital
Required

Required to be
Considered
Well Capitalized

March 31, 2023

Amount

Ratio

Amount

Ratio

Amount

Ratio

Total capital to risk weighted assets:

Company

$

931,827

13.19

%

$

565,374

8.00

%

N/A

N/A

Bank

884,077

12.55

%

563,335

8.00

%

$

704,168

10.00

%

Tier 1 capital to risk weighted assets:

Company

$

770,494

10.90

%

$

424,031

6.00

%

N/A

N/A

Bank

797,744

11.33

%

422,501

6.00

%

$

563,335

8.00

%

Common Equity Tier 1 (CET1) to
risk weighted assets:

Company

$

725,494

10.27

%

$

318,023

4.50

%

N/A

N/A

Bank

797,744

11.33

%

316,876

4.50

%

$

457,709

6.50

%

Tier 1 capital to average assets:

Company

$

770,494

10.46

%

$

294,524

4.00

%

N/A

N/A

Bank

797,744

10.85

%

$

293,994

4.00

%

$

367,492

5.00

%

Capital ratios for the period presented are based on the Basel III regulatory capital framework as applied to our current business and operations, and are subject to, among other things, completion and filing of our regulatory reports and ongoing regulatory review and implementation guidance. The ratios above reflect the Company’s election to opt into the regulators’ joint current expected credit losses ("CECL") transition provision, which allows the Company to phase in the capital impact of the adoption of CECL over the next three years beginning January 1, 2022. Accordingly, capital ratios as of March 31, 2023 reflect 50% of the CECL impact.

CECL Adoption

On December 31, 2022, the Company adopted CECL and applied it retrospectively to the period beginning January 1, 2022 using the modified retrospective method of accounting. Results for reporting periods beginning after September 30, 2022 are presented under the new standard, while prior quarters previously reported are recast as if the new standard had been applied since January 1, 2022. Refer to our Annual Report on Form 10-K for the year ended December 31, 2022 for additional information on the adoption of the standard.

Conference Call, Webcast and Slide Presentation

We will host a conference call and webcast at 9:00 a.m. Central Time on Friday, April 28, 2023 to discuss our quarterly financial results. Analysts and investors may participate in the question-and-answer session. The call can be accessed via telephone at (833) 470-1428; passcode 370613. A recorded replay can be accessed through May 12, 2023 by dialing (866) 813-9403; passcode: 354719

A slide presentation relating to our first quarter 2023 results will be accessible prior to the conference call. The slide presentation and webcast of the conference call can be accessed on our investor relations website at www.bylinebancorp.com.

About Byline Bancorp, Inc.

Headquartered in Chicago, Byline Bancorp, Inc. is the parent company of Byline Bank, a full service commercial bank serving small- and medium-sized businesses, financial sponsors, and consumers. Byline Bank has approximately $7.5 billion in assets and operates more than 30 full service branch locations throughout the Chicago and Milwaukee metropolitan areas. Byline Bank offers a broad range of commercial and retail banking products and services including small ticket equipment leasing solutions and is one of the top Small Business Administration lenders in the United States.

Forward-Looking Statements

This communication contains forward-looking statements within the meaning of the U.S. federal securities laws. Forward-looking statements include, without limitation, statements concerning plans, estimates, calculations, forecasts and projections with respect to the anticipated future performance of the Company. These statements are often, but not always, made through the use of words or phrases such as ‘‘may’’, ‘‘might’’, ‘‘should’’, ‘‘could’’, ‘‘predict’’, ‘‘potential’’, ‘‘believe’’, ‘‘expect’’, ‘‘continue’’, ‘‘will’’, ‘‘anticipate’’, ‘‘seek’’, ‘‘estimate’’, ‘‘intend’’, ‘‘plan’’, ‘‘projection’’, ‘‘would’’, ‘‘annualized’’, "target" and ‘‘outlook’’, or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. Forward-looking statements involve estimates and known and unknown risks, and reflect various assumptions and involve elements of subjective judgment and analysis, which may or may not prove to be correct, and which are subject to uncertainties and contingencies outside the control of Byline and its respective affiliates, directors, employees and other representatives, which could cause actual results to differ materially from those presented in this communication.

No representations, warranties or guarantees are or will be made by Byline as to the reliability, accuracy or completeness of any forward-looking statements contained in this communication or that such forward-looking statements are or will remain based on reasonable assumptions. You should not place undue reliance on any forward-looking statements contained in this communication.

Certain risks and important factors that could affect Byline’s future results are identified in our Annual Report on Form 10-K and other reports we file with the Securities and Exchange Commission, including among other things under the heading "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2022. Any forward-looking statement speaks only as of the date on which it is made, and Byline undertakes no obligation to update any forward-looking statement, whether to reflect events or circumstances after the date on which the statement is made, to reflect new information or the occurrence of unanticipated events, or otherwise unless required under the federal securities laws.

BYLINE BANCORP, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (unaudited)

Recast

Recast

Recast

March 31,

December 31,

September 30,

June 30,

March 31,

(dollars in thousands)

2023

2022

2022

2022

2022

ASSETS

Cash and due from banks

$

52,725

$

62,274

$

56,546

$

58,844

$

48,015

Interest bearing deposits with other banks

231,486

117,079

159,744

83,057

105,564

Cash and cash equivalents

284,211

179,353

216,290

141,901

153,579

Equity and other securities, at fair value

8,339

7,989

7,279

7,860

10,677

Securities available-for-sale, at fair value

1,164,387

1,174,431

1,181,654

1,273,138

1,369,368

Securities held-to-maturity, at amortized cost

2,704

2,705

3,877

3,880

3,882

Restricted stock, at cost

38,777

28,202

27,077

30,002

13,977

Loans held for sale

28,379

47,823

33,975

17,284

39,520

Loans and leases:

Loans and leases

5,515,332

5,421,258

5,275,126

5,167,716

4,787,607

Allowance for credit losses - loans and leases

(90,465

)

(81,924

)

(79,704

)

(74,048

)

(72,107

)

Net loans and leases

5,424,867

5,339,334

5,195,422

5,093,668

4,715,500

Servicing assets, at fair value

20,944

19,172

21,127

22,155

24,497

Premises and equipment, net

56,098

56,798

59,049

60,773

62,281

Other real estate owned, net

3,712

4,717

4,402

4,749

2,221

Goodwill and other intangible assets, net

157,432

158,887

160,484

162,094

163,962

Bank-owned life insurance

82,693

82,093

81,592

81,100

80,604

Deferred tax assets, net

64,918

68,213

95,831

82,412

71,355

Accrued interest receivable and other assets

192,885

193,224

179,218

143,014

114,035

Total assets

$

7,530,346

$

7,362,941

$

7,267,277

$

7,124,030

$

6,825,458

LIABILITIES AND STOCKHOLDERS’ EQUITY

LIABILITIES

Non-interest-bearing demand deposits

$

1,952,045

$

2,138,645

$

2,142,183

$

2,180,927

$

2,281,612

Interest-bearing deposits

3,860,607

3,556,476

3,470,273

3,207,450

3,248,490

Total deposits

5,812,652

5,695,121

5,612,456

5,388,377

5,530,102

Other borrowings

662,810

640,399

653,954

748,092

311,450

Subordinated notes, net

73,735

73,691

73,648

73,604

73,560

Junior subordinated debentures issued to
capital trusts, net

37,442

37,338

37,232

37,123

37,011

Accrued expenses and other liabilities

148,057

150,576

154,182

121,186

95,674

Total liabilities

6,734,696

6,597,125

6,531,472

6,368,382

6,047,797

STOCKHOLDERS’ EQUITY

Preferred stock

Common stock

390

389

389

388

388

Additional paid-in capital

598,103

598,297

597,049

595,938

595,006

Retained earnings

356,365

335,794

314,800

297,765

279,387

Treasury stock

(51,066

)

(51,114

)

(51,535

)

(47,181

)

(40,732

)

Accumulated other comprehensive loss, net of tax

(108,142

)

(117,550

)

(124,898

)

(91,262

)

(56,388

)

Total stockholders’ equity

795,650

765,816

735,805

755,648

777,661

Total liabilities and stockholders’ equity

$

7,530,346

$

7,362,941

$

7,267,277

$

7,124,030

$

6,825,458

BYLINE BANCORP, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited)

Three Months Ended

Recast

Recast

Recast

(dollars in thousands,

March 31,

December 31,

September 30,

June 30,

March 31,

except per share data)

2023

2022

2022

2022

2022

INTEREST AND DIVIDEND INCOME

Interest and fees on loans and leases

$

92,343

$

85,720

$

72,635

$

59,919

$

55,138

Interest on securities

6,600

6,569

6,402

6,264

6,155

Other interest and dividend income

1,059

1,515

626

496

120

Total interest and dividend income

100,002

93,804

79,663

66,679

61,413

INTEREST EXPENSE

Deposits

16,298

10,610

5,971

2,128

1,087

Other borrowings

5,888

4,598

3,232

1,097

395

Subordinated notes and debentures

2,098

1,992

1,825

1,694

1,600

Total interest expense

24,284

17,200

11,028

4,919

3,082

Net interest income

75,718

76,604

68,635

61,760

58,331

PROVISION FOR CREDIT LOSSES

9,825

5,826

7,208

4,286

6,559

Net interest income after
provision for
credit losses

65,893

70,778

61,427

57,474

51,772

NON-INTEREST INCOME

Fees and service charges on deposits

2,120

2,081

2,128

2,059

1,884

Loan servicing revenue

3,380

3,293

3,422

3,384

3,380

Loan servicing asset revaluation

656

(3,534

)

(2,342

)

(4,636

)

(1,231

)

ATM and interchange fees

1,063

1,250

1,007

1,131

1,049

Net realized gains (losses) on securities
available-for-sale

(2

)

52

Change in fair value of equity
securities, net

350

710

(581

)

(697

)

(35

)

Net gains on sales of loans

5,148

5,509

5,580

9,983

10,827

Wealth management and trust income

924

864

995

900

1,048

Other non-interest income

1,504

1,282

1,836

2,097

2,621

Total non-interest income

15,145

11,455

12,043

14,273

19,543

NON-INTEREST EXPENSE

Salaries and employee benefits

30,394

31,808

29,587

27,697

28,959

Occupancy and equipment expense,
net

4,444

3,532

3,919

4,409

5,128

Impairment charge on assets
held for sale

20

372

Loan and lease related expenses

963

1,126

530

942

(891

)

Legal, audit, and other
professional fees

3,114

3,204

2,733

1,820

2,600

Data processing

3,783

3,406

3,370

3,396

3,186

Net (gain) loss recognized on other real
estate owned and other related
expenses

(103

)

221

275

158

54

Other intangible assets amortization
expense

1,455

1,596

1,611

1,868

1,596

Other non-interest expense

4,730

5,235

4,016

3,295

3,324

Total non-interest expense

48,800

50,500

46,041

43,585

43,956

INCOME BEFORE PROVISION FOR
INCOME TAXES

32,238

31,733

27,429

28,162

27,359

PROVISION FOR INCOME TAXES

8,293

7,366

7,020

6,382

5,961

NET INCOME

23,945

24,367

20,409

21,780

21,398

Dividends on preferred shares

196

INCOME AVAILABLE TO COMMON
STOCKHOLDERS

$

23,945

$

24,367

$

20,409

$

21,780

$

21,202

EARNINGS PER COMMON SHARE

Basic

$

0.65

$

0.66

$

0.55

$

0.59

$

0.57

Diluted

$

0.64

$

0.65

$

0.55

$

0.58

$

0.56

BYLINE BANCORP, INC. AND SUBSIDIARIES

SELECTED FINANCIAL DATA (unaudited)

As of or For the Three Months Ended

Recast

Recast

Recast

(dollars in thousands, except share

March 31,

December 31,

September 30,

June 30,

March 31,

and per share data)

2023

2022

2022

2022

2022

Common Share Data

Earnings per Common Share

Basic earnings per common share

$

0.65

$

0.66

$

0.55

$

0.59

$

0.57

Diluted earnings per common share

$

0.64

$

0.65

$

0.55

$

0.58

$

0.56

Adjusted diluted earnings per
common share(1)(2)(3)(4)

$

0.65

$

0.67

$

0.55

$

0.58

$

0.56

Weighted average common shares
outstanding (basic)

36,955,085

36,856,221

36,851,973

37,064,795

37,123,161

Weighted average common shares
outstanding (diluted)

37,539,912

37,360,113

37,371,159

37,612,268

38,042,822

Common shares outstanding

37,713,427

37,492,775

37,465,902

37,669,102

37,811,582

Cash dividends per common share

$

0.09

$

0.09

$

0.09

$

0.09

$

0.09

Dividend payout ratio on
common stock

14.06

%

13.85

%

16.36

%

15.52

%

16.07

%

Tangible book value per
common share(1)

$

16.92

$

16.19

$

15.36

$

15.76

$

16.23

Key Ratios and Performance Metrics
(annualized where applicable)

Net interest margin, fully taxable
equivalent (1)(5)

4.39

%

4.40

%

4.04

%

3.78

%

3.80

%

Average cost of deposits

1.15

%

0.73

%

0.43

%

0.16

%

0.08

%

Efficiency ratio(2)

52.10

%

55.53

%

55.07

%

54.87

%

54.40

%

Adjusted efficiency ratio(1)(2)(3)

51.54

%

54.50

%

55.07

%

54.87

%

54.40

%

Non-interest income to total
revenues(1)

16.67

%

13.01

%

14.93

%

18.77

%

25.09

%

Non-interest expense to average assets

2.69

%

2.76

%

2.56

%

2.51

%

2.66

%

Adjusted non-interest expense to
average assets(1)(3)

2.67

%

2.71

%

2.56

%

2.51

%

2.66

%

Return on average stockholders' equity

12.38

%

12.92

%

10.57

%

11.35

%

10.56

%

Adjusted return on average
stockholders' equity(1)(3)(4)

12.62

%

13.34

%

10.57

%

11.35

%

10.56

%

Return on average assets

1.32

%

1.33

%

1.13

%

1.25

%

1.30

%

Adjusted return on average assets(1)(3)(4)

1.35

%

1.37

%

1.13

%

1.25

%

1.30

%

Pre-tax pre-provision return on
average assets(1)

2.32

%

2.05

%

1.93

%

1.87

%

2.05

%

Adjusted pre-tax pre-provision return
on average assets(1)(3)

2.35

%

2.10

%

1.93

%

1.87

%

2.05

%

Return on average tangible common
stockholders' equity(1)

16.20

%

17.21

%

14.17

%

15.31

%

14.02

%

Adjusted return on average tangible
common stockholders' equity(1)(3)

16.49

%

17.75

%

14.17

%

15.31

%

14.02

%

Non-interest-bearing deposits to
total deposits

33.58

%

37.55

%

38.17

%

40.47

%

41.26

%

Loans and leases held for sale and
loans and lease held for
investment to total deposits

95.37

%

96.03

%

94.59

%

96.23

%

87.29

%

Deposits to total liabilities

86.31

%

86.33

%

85.93

%

84.61

%

91.44

%

Deposits per branch

$

152,965

$

149,872

$

147,696

$

141,799

$

125,684

Asset Quality Ratios

Non-performing loans and leases to
total loans and leases held for
investment, net before ACL

0.84

%

0.66

%

0.80

%

0.83

%

0.69

%

ACL to total loans and leases held for investment,
net before ACL

1.64

%

1.51

%

1.51

%

1.43

%

1.51

%

Net charge-offs to average total loans
and leases held for investment,
net before ACL - loans and leases

0.09

%

0.24

%

0.14

%

0.17

%

0.07

%

Capital Ratios

Common equity to total assets

10.57

%

10.40

%

10.12

%

10.61

%

11.39

%

Tangible common equity to
tangible assets(1)

8.66

%

8.42

%

8.10

%

8.53

%

9.21

%

Leverage ratio

10.46

%

10.29

%

10.30

%

10.34

%

10.70

%

Common equity tier 1 capital ratio

10.27

%

10.20

%

10.24

%

10.26

%

10.75

%

Tier 1 capital ratio

10.90

%

10.85

%

10.91

%

10.95

%

11.49

%

Total capital ratio

13.19

%

13.00

%

13.02

%

13.09

%

13.72

%

___________________

(1)

Represents a non-GAAP financial measure. See "Reconciliation of non-GAAP Financial Measures" for a reconciliation of our non-GAAP measures to the most directly comparable GAAP financial measure.

(2)

Represents non-interest expense less amortization of intangible assets divided by net interest income and non-interest income.

(3)

Calculation excludes impairment charges.

(4)

Represents the remaining net unaccreted discount as a result of applying the fair value adjustment at the time of the business combination on acquired loans.

(5)

Interest income and rates include the effects of a tax equivalent adjustment to adjust tax exempt investment income on tax exempt investment securities to a fully taxable basis, assuming a federal income tax rate of 21%.

BYLINE BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (unaudited)

Non-GAAP Financial Measures

This release contains certain financial information determined by methods other than in accordance with accounting principles generally accepted in the United States of America ("GAAP"). These measures include adjusted net income, adjusted diluted earnings per share, adjusted efficiency ratio, adjusted non-interest expense to average assets, tax-equivalent net interest margin, total revenue, non-interest income to total revenues, adjusted return on average stockholders’ equity, adjusted return on average assets, pre-tax pre-provision return on average assets, adjusted pre-tax pre-provision return on average assets, tangible book value per common share, tangible common equity to tangible assets, return on average tangible common stockholders' equity, and adjusted return on average tangible common stockholders' equity. Management believes that these non-GAAP financial measures provide useful information to management and investors that is supplementary to the Company’s financial condition, results of operations and cash flows computed in accordance with GAAP; however, management acknowledges that our non-GAAP financial measures have a number of limitations. As such, these disclosures should not be viewed as a substitute for results determined in accordance with GAAP financial measures that we and other companies use. Management also uses these measures for peer comparison. See below in the financial schedules included in this press release for a reconciliation of the non-GAAP financial measures to the comparable GAAP financial measures. Additionally, please refer to the Company’s Annual Report on Form 10-K for the detailed definitions of these non-GAAP financial measures.

As of or For the Three Months Ended

Recast

Recast

Recast

March 31,

December 31,

September 30,

June 30,

March 31,

(dollars in thousands, except per share data)

2023

2022

2022

2022

2022

Net income and earnings per share
excluding significant items

Reported Net Income

$

23,945

$

24,367

$

20,409

$

21,780

$

21,398

Significant items:

Impairment charges on assets held
for sale and ROU asset

20

372

Merger-related expenses

489

538

Tax benefit

(56

)

(118

)

Adjusted Net Income

$

24,398

$

25,159

$

20,409

$

21,780

$

21,398

Reported Diluted Earnings per Share

$

0.64

$

0.65

$

0.55

$

0.58

$

0.56

Significant items:

Impairment charges on assets held
for sale and ROU asset

0.01

Merger-related expenses

0.01

0.01

Tax benefit

Adjusted Diluted Earnings per Share

$

0.65

$

0.67

$

0.55

$

0.58

$

0.56

BYLINE BANCORP, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (continued) (unaudited)

As of or For the Three Months Ended

Recast

Recast

Recast

(dollars in thousands, except per share data,

March 31,

December 31,

September 30,

June 30,

March 31,

ratios annualized, where applicable)

2023

2022

2022

2022

2022

Adjusted non-interest expense:

Non-interest expense

$

48,800

$

50,500

$

46,041

$

43,585

$

43,956

Less: Significant items

Impairment charges on assets held for sale
and ROU asset

20

372

Merger-related expenses

489

538

Adjusted non-interest expense

$

48,291

$

49,590

$

46,041

$

43,585

$

43,956

Adjusted non-interest expense excluding
amortization of intangible assets:

Adjusted non-interest expense

$

48,291

$

49,590

$

46,041

$

43,585

$

43,956

Less: Amortization of intangible assets

1,455

1,596

1,611

1,868

1,596

Adjusted non-interest expense excluding
amortization of intangible assets

$

46,836

$

47,994

$

44,430

$

41,717

$

42,360

Pre-tax pre-provision net income:

Pre-tax income

$

32,238

$

31,733

$

27,429

$

28,162

$

27,359

Add: Provision for credit losses

9,825

5,826

7,208

4,286

6,559

Pre-tax pre-provision net income

$

42,063

$

37,559

$

34,637

$

32,448

$

33,918

Adjusted pre-tax pre-provision net income:

Pre-tax pre-provision net income

$

42,063

$

37,559

$

34,637

$

32,448

$

33,918

Add: Impairment charges on assets held for sale
and ROU asset

20

372

Add: Merger-related expenses

489

538

Adjusted pre-tax pre-provision net income

$

42,572

$

38,469

$

34,637

$

32,448

$

33,918

Tax equivalent net interest income

Net interest income

$

75,718

$

76,604

$

68,635

$

61,760

$

58,331

Add: Tax-equivalent adjustment

208

214

228

237

236

Net interest income, fully taxable equivalent

$

75,926

$

76,818

$

68,863

$

61,997

$

58,567

Total revenue:

Net interest income

$

75,718

$

76,604

$

68,635

$

61,760

$

58,331

Add: Non-interest income

15,145

11,455

12,043

14,273

19,543

Total revenue

$

90,863

$

88,059

$

80,678

$

76,033

$

77,874

Tangible common stockholders' equity:

Total stockholders' equity

$

795,650

$

765,816

$

735,805

$

755,648

$

777,661

Less: Preferred stock

Less: Goodwill and other intangibles

157,432

158,887

160,484

162,094

163,962

Tangible common stockholders' equity

$

638,218

$

606,929

$

575,321

$

593,554

$

613,699

Tangible assets:

Total assets

$

7,530,346

$

7,362,941

$

7,267,277

$

7,124,030

$

6,825,458

Less: Goodwill and other intangibles

157,432

158,887

160,484

162,094

163,962

Tangible assets

$

7,372,914

$

7,204,054

$

7,106,793

$

6,961,936

$

6,661,496

Average tangible common stockholders'
equity:

Average total stockholders' equity

$

784,289

$

748,292

$

765,821

$

769,658

$

822,053

Less: Average preferred stock

9,974

Less: Average goodwill and other
intangibles

158,181

159,680

161,292

163,068

164,837

Average tangible common stockholders'
equity

$

626,108

$

588,612

$

604,529

$

606,590

$

647,242

Average tangible assets:

Average total assets

$

7,345,151

$

7,266,053

$

7,137,472

$

6,966,564

$

6,697,476

Less: Average goodwill and other
intangibles

158,181

159,680

161,292

163,068

164,837

Average tangible assets

$

7,186,970

$

7,106,373

$

6,976,180

$

6,803,496

$

6,532,639

Tangible net income available to common
stockholders:

Net income available to common
stockholders

$

23,945

$

24,367

$

20,409

$

21,780

$

21,202

Add: After-tax intangible asset amortization

1,066

1,170

1,181

1,369

1,170

Tangible net income available to common
stockholders

$

25,011

$

25,537

$

21,590

$

23,149

$

22,372

Adjusted tangible net income available
to common stockholders:

Tangible net income available to common
stockholders

$

25,011

$

25,537

$

21,590

$

23,149

$

22,372

Impairment charges on assets held for sale
and ROU asset

20

372

Merger-related expenses

489

538

Tax benefit on significant items

(56

)

(118

)

Adjusted tangible net income available to
common stockholders

$

25,464

$

26,329

$

21,590

$

23,149

$

22,372

BYLINE BANCORP, INC. AND SUBSIDIARIES

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (continued) (unaudited)

As of or For the Three Months Ended

Recast

Recast

Recast

(dollars in thousands, except share and per share

March 31,

December 31,

September 30,

June 30,

March 31,

data, ratios annualized, where applicable)

2023

2022

2022

2022

2022

Pre-tax pre-provision return on average assets:

Pre-tax pre-provision net income

$

42,063

$

37,559

$

34,637

$

32,448

$

33,918

Average total assets

7,345,151

7,266,053

7,137,472

6,966,564

6,697,476

Pre-tax pre-provision return on average assets

2.32

%

2.05

%

1.93

%

1.87

%

2.05

%

Adjusted pre-tax pre-provision return on average
assets:

Adjusted pre-tax pre-provision net income

$

42,572

$

38,469

$

34,637

$

32,448

$

33,918

Average total assets

7,345,151

7,266,053

7,137,472

6,966,564

6,697,476

Adjusted pre-tax pre-provision return on average
assets

2.35

%

2.10

%

1.93

%

1.87

%

2.05

%

Net interest margin, fully taxable equivalent

Net interest income, fully taxable equivalent

$

75,926

$

76,818

$

68,863

$

61,997

$

58,567

Total average interest-earning assets

7,009,144

6,922,889

6,763,916

6,572,416

6,252,866

Net interest margin, fully taxable equivalent

4.39

%

4.40

%

4.04

%

3.78

%

3.80

%

Non-interest income to total revenues:

Non-interest income

$

15,145

$

11,455

$

12,043

$

14,273

$

19,543

Total revenues

90,863

88,059

80,678

76,033

77,874

Non-interest income to total revenues

16.67

%

13.01

%

14.93

%

18.77

%

25.09

%

Adjusted non-interest expense to average assets:

Adjusted non-interest expense

$

48,291

$

49,590

$

46,041

$

43,585

$

43,956

Average total assets

7,345,151

7,266,053

7,137,472

6,966,564

6,697,476

Adjusted non-interest expense to average assets

2.67

%

2.71

%

2.56

%

2.51

%

2.66

%

Adjusted efficiency ratio:

Adjusted non-interest expense excluding
amortization of intangible assets

$

46,836

$

47,994

$

44,430

$

41,717

$

42,360

Total revenues

90,863

88,059

80,678

76,033

77,874

Adjusted efficiency ratio

51.54

%

54.50

%

55.07

%

54.87

%

54.40

%

Adjusted return on average assets:

Adjusted net income

$

24,398

$

25,159

$

20,409

$

21,780

$

21,398

Average total assets

7,345,151

7,266,053

7,137,472

6,966,564

6,697,476

Adjusted return on average assets

1.35

%

1.37

%

1.13

%

1.25

%

1.30

%

Adjusted return on average stockholders' equity:

Adjusted net income

$

24,398

$

25,159

$

20,409

$

21,780

$

21,398

Average stockholders' equity

784,289

748,292

765,821

769,658

822,053

Adjusted return on average stockholders' equity

12.62

%

13.34

%

10.57

%

11.35

%

10.56

%

Tangible common equity to tangible assets:

Tangible common equity

$

638,218

$

606,929

$

575,321

$

593,554

$

613,699

Tangible assets

7,372,914

7,204,054

7,106,793

6,961,936

6,661,496

Tangible common equity to tangible assets

8.66

%

8.42

%

8.10

%

8.53

%

9.21

%

Return on average tangible common stockholders'
equity:

Tangible net income available to common
stockholders

$

25,011

$

25,537

$

21,590

$

23,149

$

22,372

Average tangible common stockholders' equity

626,108

588,612

604,529

606,590

647,242

Return on average tangible common
stockholders' equity

16.20

%

17.21

%

14.17

%

15.31

%

14.02

%

Adjusted return on average tangible common
stockholders' equity:

Adjusted tangible net income available to
common stockholders

$

25,464

$

26,329

$

21,590

$

23,149

$

22,372

Average tangible common stockholders' equity

626,108

588,612

604,529

606,590

647,242

Adjusted return on average tangible common
stockholders' equity

16.49

%

17.75

%

14.17

%

15.31

%

14.02

%

Tangible book value per share:

Tangible common equity

$

638,218

$

606,929

$

575,321

$

593,554

$

613,699

Common shares outstanding

37,713,427

37,492,775

37,465,902

37,669,102

37,811,582

Tangible book value per share

$

16.92

$

16.19

$

15.36

$

15.76

$

16.23

View source version on businesswire.com: https://www.businesswire.com/news/home/20230427005855/en/

Contacts

Investors:
Brooks Rennie
Investor Relations Director
312-660-5805
brennie@bylinebank.com

Media:
Erin O’Neill
Marketing Director
773-475-2901
eoneill@bylinebank.com