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Dec 31, 2020
Wintrust Q4 2020 Earnings Report
Reported net income of $101.2 million for the quarter and significant loan growth, increased net interest income, and strong mortgage banking revenue were achieved.
Key Takeaways
Wintrust Financial Corporation reported a net income of $101.2 million for Q4 2020, with diluted earnings per common share of $1.63. The company experienced significant loan growth excluding PPP loans, increased net interest income, and strong mortgage banking revenue.
Total assets increased by $1.3 billion.
Total loans, excluding Paycheck Protection Program (PPP) loans, increased by $607 million.
Total deposits increased by $1.2 billion.
Mortgage banking revenue decreased by $21.7 million to $86.8 million.
Wintrust
Wintrust
Wintrust Revenue by Segment
Revenue by Segment
Wealth Management Revenue
CapyFin.com Forward Guidance
Wintrust plans to focus on taking advantage of market opportunities to prudently deploy excess liquidity into earning assets. They expect to grow PPP loans, organic loans, residential real estate loans for investment and investment securities while maintaining an interest rate sensitive asset portfolio. They will continue to evaluate their operating expense base to enhance future profitability and carefully monitor the COVID-19 pandemic and its potential impact.
Positive Outlook
- Growing PPP loans.
- Growing organic loans.
- Growing residential real estate loans for investment.
- Growing investment securities.
- Maintaining an interest rate sensitive asset portfolio.
Challenges Ahead
- The potential impact of the COVID-19 pandemic on the economy.
- The potential impact of the COVID-19 pandemic on their customers.
- The potential impact of the COVID-19 pandemic on their business.
- Uncertainty about the discontinued use of LIBOR and transition to an alternative rate.
- Fluctuations in the stock market, which may have an adverse impact on the Company’s wealth management business and brokerage operation.