NYSE$WBS

Webster Financial Corporation · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported strong financial performance with linked quarter loan and deposit growth.

Webster Financial Corporation reported earnings applicable to common shareholders of $93.2 million, or $1.03 per diluted share, for the quarter ended September 30, 2021. Revenue increased by 6.5% compared to the previous year, and there was loan growth of 2.7% linked quarter, excluding PPP loans.

  • Revenue of $313.5 million, an increase of 6.5 percent compared to a year ago.
  • Loan growth of 2.7 percent linked quarter, excluding Paycheck Protection Program (PPP) loans, led by commercial and residential which increased 3.3 percent.
  • Deposit growth of $1.2 billion or 4.1 percent linked quarter.
  • Net interest margin of 2.80 percent.

Headline financials

Total Revenue

$313M

Previous: $294M+6.5%
EPS (adj)

$1.08

Previous: $0.75+44.0%
Net Interest Margin

2.8%

Previous: 2.9%-2.8%
Efficiency Ratio

54.8%

Previous: 60.0%-8.7%
Capital Expenditures

-$11.2M

Previous: -$14M+19.9%
Free Cash Flow

$84.5M

Previous: $55.3M+52.9%
Net Income

$95.7M

Previous: $69.3M+38.2%
Operating Income

$133M

Previous: $110M+20.8%
Gross Profit

$306M

Previous: $272M+12.6%
Cash & Equivalents

$2.6B

Previous: $242M+977.0%
Total Assets

$35.4B

Previous: $33B+7.2%
Stock-Based Comp

$3.64M

Previous: $3.34M+9.0%

Revenue & EPS history

Webster · Revenue · Quarterly

$313M

Q3 2021+6.5%vs Q3 2020
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

Webster · $249M total across 2 segments · Q3 2021

  • Commercial Banking
    $183M+51.5%
  • Healthcare Financial
    $66.8M-0.4%

Forward guidance

Integration plans for our merger with Sterling are well established and we are prepared to execute the transaction upon receipt of all regulatory approvals.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

+0.5%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+2.8%

Avg return

30 days after

51%

35 / 69 earnings

Positive

+14.5%

Q3 2020

Best reaction

-11.9%

Q1 2021

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.6%+0.5%+1.1%
Q4 2025-3.2%-2.6%+10.4%
Q3 2025+0.4%+3.3%+4.3%
Q2 2025-1.6%-0.1%+5.3%
Q1 2025+1.6%+1.1%+8.7%
Q4 2024+4.0%+2.4%+2.0%
Q3 2024+8.8%+6.8%+23.5%
Q2 2024-5.0%+0.8%-7.6%
Q1 2024-3.5%-4.5%-7.1%
Q4 2023+0.5%+0.1%-7.9%
Q3 2023-2.9%-5.6%+9.8%
Q2 2023+1.3%+3.4%-5.6%
Q1 2023-2.6%-9.0%-9.5%
Q4 2022+7.5%+11.3%+12.7%
Q3 2022+4.8%+8.9%+8.4%
Q2 2022-2.8%-2.5%+5.9%
Q1 2022+2.7%+3.9%+0.2%
Q4 2021-1.5%-1.6%-2.8%
Q3 2021-0.8%-1.4%-2.7%
Q2 2021-0.9%-1.4%+0.8%
Q1 2021-11.9%-7.1%-0.3%
Q4 2020-2.2%-2.8%+0.1%
Q3 2020+14.5%+5.4%+29.1%
Q2 2020+1.7%-1.0%+2.9%
Q1 2020-1.9%+1.1%+6.6%
Q4 2019-5.2%-8.1%-10.5%
Q3 2019-6.1%-4.8%+0.5%
Q2 2019+4.7%+5.6%-2.9%
Q1 2019-2.8%+0.3%-7.5%
Q4 2018+5.5%+4.1%+4.6%
Q3 2018+4.3%+1.1%+1.9%
Q2 2018+1.5%+2.8%+2.3%
Q1 2018+8.7%+10.1%+18.1%
Q4 2017+0.1%-1.6%-5.2%
Q3 2017+4.7%+4.5%+0.8%
Q2 2017-3.6%-3.4%-12.8%
Q1 2017+3.4%+6.8%-1.5%
Q4 2016+0.2%+1.5%+7.0%
Q3 2016+4.3%+4.8%+23.2%
Q2 2016-1.7%-1.1%+4.1%
Q1 2016-1.4%
Q4 2015-2.6%
Q3 2015-1.5%
Q2 2015-3.3%
Q1 2015-3.6%
Q4 2014+5.7%
Q3 2014+2.7%
Q2 2014-3.7%
Q1 2014+2.7%
Q4 2013+4.6%
Q3 2013+5.3%
Q2 2013+3.6%
Q1 2013-4.0%
Q4 2009+1.3%
Q4 2012+3.7%
Q3 2012-6.0%
Q2 2012+6.3%
Q1 2012+0.4%
Q4 2011-3.8%
Q4 2010-3.8%
Q4 2008-3.8%
Q1 2010-3.8%
Q3 2011+5.5%
Q2 2011-0.9%
Q1 2011+1.2%
Q3 2010+5.3%
Q3 2009+5.3%
Q2 2009-0.5%
Q2 2010-0.5%

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