EX-99.1 2 earningsdocex99120241231.htm EX-99.1 Document

Exhibit 99.1
BANKUNITED, INC. REPORTS 2024 RESULTS

Miami Lakes, Fla. — January 22, 2025 — BankUnited, Inc. (the “Company”) (NYSE: BKU) today announced financial results for the quarter and year ended December 31, 2024.
"We are very excited about the momentum we've generated and the improvement we've seen in the funding base and profitability profile of the Company over the course of 2024" said Rajinder Singh, Chairman, President and Chief Executive Officer.
For the quarter ended December 31, 2024, the Company reported net income of $69.3 million, or $0.91 per diluted share, compared to $61.5 million, or $0.81 per diluted share, for the immediately preceding quarter ended September 30, 2024 and $20.8 million, or $0.27 per diluted share, for the quarter ended December 31, 2023. For the year ended December 31, 2024, the Company reported net income of $232.5 million, or $3.08 per diluted share, compared to $178.7 million, or $2.38 per diluted share, for the year ended December 31, 2023. Results for the quarter and year ended December 31, 2023 were negatively impacted by a $35.4 million FDIC special assessment, pre-tax. This item reduced net income by $26.2 million and EPS by $0.35 for the quarter and year ended December 31, 2023.
Quarterly Highlights
We continue to execute on strategic priorities focused on improving core profitability. EPS, the net interest margin, ROAA and ROAE have improved notably since the fourth quarter of 2023, as well as for the year ended December 31, 2024 compared to the year ended December 31, 2023.
•The net interest margin, calculated on a tax-equivalent basis, expanded by 0.06% to 2.84% for the quarter ended December 31, 2024 from 2.78% for the immediately preceding quarter and by 0.24% from 2.60% for the comparable quarter of the prior year. Average non-interest bearing demand deposits ("NIDDA") for the quarter ended December 31, 2024 exceeded our expectations and we made outstanding progress reducing the cost of interest bearing deposits. For the year ended December 31, 2024, the net interest margin improved to 2.73% from 2.56% for the year ended December 31, 2023.
•The average cost of total deposits declined by 0.34% to 2.72% for the quarter ended December 31, 2024 from 3.06% for the immediately preceding quarter ended September 30, 2024, while the average cost of interest bearing deposits declined by 0.45% to 3.75% from 4.20% for those same comparable periods. The spot APY of total deposits declined to 2.63% at December 31, 2024 from 2.93% at September 30, 2024 while the spot APY of interest bearing deposits declined to 3.58% at December 31, 2024 from 4.01% at September 30, 2024.
•Average NIDDA grew by $173 million for the quarter ended December 31, 2024 compared to the immediately preceding quarter and by $648 million compared to the fourth quarter of 2023. On a point-to-point basis, NIDDA grew by $781 million for the year ended December 31, 2024 and was relatively flat, declining by only $19 million in spite of seasonal headwinds, for the fourth quarter of 2024. At December 31, 2024, NIDDA was 27% of total deposits.
•Wholesale funding, including FHLB advances and brokered deposits, declined by $346 million for the quarter ended December 31, 2024. For the year ended December 31, 2024, wholesale funding declined by $2.3 billion.
•Total deposits was relatively flat quarter over quarter, growing by $9.5 million for the quarter ended December 31, 2024. For the year ended December 31, 2024, total deposits grew by $1.3 billion; non-brokered deposits grew by $1.4 billion.
•Total loans declined by $101 million for the quarter ended December 31, 2024. The core CRE and C&I segments grew by $185 million and mortgage warehouse grew by $14 million. Consistent with our balance sheet strategy, the residential, franchise, equipment and municipal finance portfolios declined by a combined $299 million. For the year ended December 31, 2024, the core CRE and C&I segments grew by $470 million, mortgage warehouse grew by $153 million and the residential, franchise, equipment and municipal finance portfolios declined by a combined $959 million. The pace of C&I growth over the course of 2024 was impacted by an increased level of payoffs and rationalization of non-relationship credits.
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•The loan to deposit ratio declined to 87.2% at December 31, 2024, from 87.6% at September 30, 2024 and 92.8% at December 31, 2023.
•Total criticized and classified commercial loans declined by $75.1 million for the quarter ended December 31, 2024, however, non-performing loans increased by $26.2 million, primarily related to one CRE office loan. The NPA ratio was 0.73%, including 0.10% related to the guaranteed portion of non-accrual SBA loans, at December 31, 2024 compared to 0.64%, including 0.10% related to the guaranteed portion of non-accrual SBA loans at September 30, 2024. The net charge-off ratio for the year ended December 31, 2024 was 0.16%.
•The ratio of the ACL to total loans was 0.92% at December 31, 2024; the ratio of the ACL to non-performing loans was 89.01%. The ACL to loans ratio for commercial portfolio sub-segments including C&I, CRE, franchise finance and equipment finance was 1.37% at December 31, 2024 and the ACL to loans ratio for CRE office loans was 2.30%.
•Our commercial real estate exposure totaled 26% of loans and 169% of the Bank's total risk based capital at December 31, 2024. By comparison, based on call report data as of September 30, 2024 (the most recent date available) for banks with between $10 billion and $100 billion in assets, the median level of CRE to total loans was 35% and the median level of CRE to total risk based capital was 222%.
•At December 31, 2024, the weighted average LTV of the CRE portfolio was 55.0%, the weighted average DSCR was 1.76, 54% of the portfolio was collateralized by properties located in Florida and 25% was collateralized by properties located in the New York tri-state area. For the office sub-segment, the weighted average LTV was 65.2%, the weighted average DSCR was 1.57, 57% was collateralized by properties in Florida, substantially all of which was suburban, and 23% was collateralized by properties located in the New York tri-state area.
•Our capital position is robust. At December 31, 2024, CET1 was 12.0% at a consolidated level. Pro-forma CET1, including accumulated other comprehensive income, was 10.9% at December 31, 2024. The ratio of tangible common equity to tangible assets increased to 7.8% at December 31, 2024.
•Book value and tangible book value per common share continued to grow, to $37.65 and $36.61, respectively, at December 31, 2024, compared to $37.56 and $36.52, respectively, at September 30, 2024, and $34.66 and $33.62, respectively at December 31, 2023.
Loans
Loan portfolio composition at the dates indicated follows (dollars in thousands):
December 31, 2024September 30, 2024December 31, 2023
Core C&I and CRE sub-segments:
Non-owner occupied commercial real estate$5,652,203 23.3 %$5,488,884 22.5 %$5,323,241 21.6 %
Construction and land561,989 2.3 %497,928 2.0 %495,992 2.0 %
Owner occupied commercial real estate1,941,004 8.0 %1,999,515 8.2 %1,935,743 7.9 %
Commercial and industrial7,042,222 28.9 %7,026,412 28.9 %6,971,981 28.3 %
15,197,418 62.5 %15,012,739 61.6 %14,726,957 59.8 %
Franchise and equipment finance
213,477 0.9 %277,704 1.1 %380,347 1.5 %
Pinnacle - municipal finance720,661 3.0 %749,035 3.1 %884,690 3.6 %
Mortgage warehouse lending ("MWL")585,610 2.4 %571,783 2.3 %432,663 1.8 %
Residential7,580,814 31.2 %7,787,442 31.9 %8,209,027 33.3 %
$24,297,980 100.0 %$24,398,703 100.0 %$24,633,684 100.0 %
For the quarter ended December 31, 2024, total loans declined by $101 million. The CRE portfolio grew by $227 million and MWL grew by $14 million while the C&I portfolio declined by $43 million. Consistent with our balance sheet strategy, residential loans declined by $207 million; the franchise, equipment, and municipal finance portfolios declined by an aggregate $93 million.
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Asset Quality and the ACL
The following table presents information about the ACL at the dates indicated as well as net charge-off rates for the periods ended December 31, 2024, September 30, 2024 and December 31, 2023 (dollars in thousands):
ACLACL to Total Loans
Commercial ACL to Commercial Loans(2)
ACL to Non-Performing Loans
Net Charge-offs to Average Loans (1)
December 31, 2023$202,689 0.82 %1.29 %159.54 %0.09 %
September 30, 2024$228,249 0.94 %1.41 %101.68 %0.12 %
December 31, 2024$223,153 0.92 %1.37 %89.01 %0.16 %
(1)    Annualized for the nine months ended September 30, 2024; ratios for December 31, 2024 and 2023 are annual net charge-off rates.
(2)    For purposes of this ratio, commercial loans includes the core C&I and CRE sub-segments as presented in the table above as well as franchise and equipment finance. Due to their unique risk profiles, MWL and municipal finance are excluded from this ratio.
The decline in the ACL coverage ratios at December 31, 2024 as compared to the prior quarter-end is related to C&I charge-offs during the quarter, the majority of which were previously reserved for.
The ACL at December 31, 2024 represents management's estimate of lifetime expected credit losses given an assessment of historical data, current conditions, and a reasonable and supportable economic forecast as of the balance sheet date. For the quarter ended December 31, 2024, the provision for credit losses, including both funded and unfunded loan commitments, was $11.0 million, compared to $9.2 million for the immediately preceding quarter ended September 30, 2024 and $19.3 million for the quarter ended December 31, 2023. The most significant factor leading to the decrease in ACL for the quarter was net charge offs; this reduction was partially offset by increases in specific reserves, the impact of the economic forecast and an increase in qualitative overlays. Three C&I loans accounted for substantially all of the charge-offs for the quarter.
The following table summarizes the activity in the ACL for the periods indicated (in thousands):
Three Months Ended
Years Ended
 December 31, 2024September 30, 2024December 31, 2023December 31, 2024December 31, 2023
Beginning balance$228,249 $225,698 $196,063 $202,689 $147,946 
Impact of adoption of new accounting pronouncement (ASU 2022-02)N/AN/AN/AN/A(1,794)
Balance after impact of adoption of ASU 2022-02
228,249 225,698 196,063 202,689 146,152 
Provision12,267 9,091 16,257 58,986 78,924 
Net charge-offs(17,363)(6,540)(9,631)(38,522)(22,387)
Ending balance$223,153 $228,249 $202,689 $223,153 $202,689 
As detailed in the following table, criticized and classified commercial loans declined by $75.1 million for the quarter ended December 31, 2024 (in thousands):
December 31, 2024September 30, 2024December 31, 2023
CRE
Total Commercial
CRE
Total Commercial
CRE
Total Commercial
Special mention$58,771 $262,387 $145,338 $323,326 $97,552 $319,905 
Substandard - accruing633,614 894,754 587,097 932,746 390,724 711,266 
Substandard - non-accruing95,378 219,758 70,860 186,565 13,727 86,903 
Doubtful— 6,856 — 16,265 — 19,035 
Total $787,763 $1,383,755 $803,295 $1,458,902 $502,003 $1,137,109 
Non-performing loans totaled $250.7 million or 1.03% of total loans at December 31, 2024, compared to $224.5 million or 0.92% of total loans at September 30, 2024. The increase in non-performing loans for the quarter ended December 31, 2024 related primarily to one CRE office loan. Non-performing loans included $34.3 million and $35.1 million of the guaranteed portion of SBA loans on non-accrual status, representing 0.14% of total loans at both December 31, 2024 and September 30, 2024.
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Net Interest Income
Net interest income for the quarter ended December 31, 2024 was $239.3 million, compared to $234.1 million for the immediately preceding quarter ended September 30, 2024, and $217.2 million for the quarter ended December 31, 2023. Interest income decreased by $24.4 million for the quarter ended December 31, 2024, compared to the immediately preceding quarter, while interest expense decreased by $29.5 million.
The Company’s net interest margin, calculated on a tax-equivalent basis, increased by 0.06% to 2.84% for the quarter ended December 31, 2024, from 2.78% for the immediately preceding quarter ended September 30, 2024. Factors impacting the net interest margin for the quarter ended December 31, 2024 were:
•The average rate paid on interest bearing deposits declined to 3.75% for the quarter ended December 31, 2024, from 4.20% for the quarter ended September 30, 2024. This decline reflected initiatives taken to lower rates paid on deposits in response to declines in the Fed Funds rate and the re-pricing of term deposits.
•The average rate paid on FHLB advances declined to 3.82% for the quarter ended December 31, 2024, from 4.27% for the quarter ended September 30, 2024, reflecting the repayment or repricing of predominantly shorter term high rate advances.
•The tax-equivalent yield on loans declined to 5.60% for the quarter ended December 31, 2024, from 5.87% for the quarter ended September 30, 2024 reflecting the impact of declining market rates on the predominantly floating rate commercial portfolio.
•The tax-equivalent yield on investments declined to 5.31% for the quarter ended December 31, 2024, from 5.62% for the quarter ended September 30, 2024. This decrease resulted primarily from the reset of coupon rates on variable rate securities.
Overall, the reduction in cost of interest bearing liabilities outpaced the decline in the yield on interest earning assets.
Non-interest income and Non-interest expense
Lease financing: Declines in both lease financing income and depreciation of operating lease equipment for the year ended December 31, 2024 compared to the year ended December 31, 2023 corresponded with the reduction in the portfolio of operating lease equipment. Quarterly fluctuations in lease financing income may be caused by variability in residual income.
Other non-interest income: Year-over-year increases in other non-interest income include increases in loan related and syndication fees, commercial card revenue and income related to bank owned life insurance.
Employee compensation and benefits: Year-over-year increases in compensation relate to investments we are making in people to support future growth of the commercial business, regular merit increases, and increased variable compensation cost, related in part to an increase in the Company's stock price.
As discussed above, non-interest expense for the year and three months ended December 31, 2023 included a $35.4 million FDIC special assessment.
Railcar refurbishment costs of approximately $8 million that we had expected to incur in the fourth quarter of 2024 did not materialize, and are expected instead to occur in 2025.
Earnings Conference Call and Presentation
A conference call to discuss quarterly results will be held at 9:00 a.m. ET on Wednesday, January 22, 2025 with Chairman, President and Chief Executive Officer Rajinder P. Singh, Chief Financial Officer Leslie N. Lunak and Chief Operating Officer Thomas M. Cornish.
The earnings release and slides with supplemental information relating to the release will be available on the Investor Relations page under About Us on www.bankunited.com prior to the call. Due to recent demand for conference call services, participants are encouraged to listen to the call via a live Internet webcast at https://ir.bankunited.com. To participate by telephone, participants will receive dial-in information and a unique PIN number upon completion of registration at https://register.vevent.com/register/BI3806d72590724f8daf0fcb6899fb73f4. For those unable to join the live event, an archived webcast will be available on the Investor Relations page at https://ir.bankunited.com approximately two hours following the live webcast.
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About BankUnited, Inc.
BankUnited, Inc., with total assets of $35.2 billion at December 31, 2024, is the bank holding company of BankUnited, N.A., a national bank headquartered in Miami Lakes, Florida that provides a full range of banking and related services to individual and corporate customers through banking centers located in the state of Florida, the New York metropolitan area and Dallas, Texas, and a comprehensive suite of wholesale products to customers through an Atlanta office focused on the Southeast region. BankUnited also offers certain commercial lending and deposit products through national platforms. For additional information, call (877) 779-2265 or visit www.BankUnited.com. BankUnited can be found on Facebook at facebook.com/BankUnited.official, LinkedIn @BankUnited and on X @BankUnited.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that reflect the Company’s current views with respect to, among other things, future events and financial performance. The Company generally identifies forward-looking statements by terminology such as “outlook,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “could,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates,” "forecasts" or the negative version of those words or other comparable words. Any forward-looking statements contained in this press release are based on the historical performance of the Company and its subsidiaries or on the Company’s current plans, estimates and expectations. The inclusion of this forward-looking information should not be regarded as a representation by the Company that the future plans, estimates or expectations contemplated by the Company will be achieved. Such forward-looking statements are subject to various risks and uncertainties and assumptions, including (without limitation) those relating to the Company’s operations, financial results, financial condition, business prospects, growth strategy and liquidity, including as impacted by external circumstances outside the Company's direct control, such as but not limited to adverse events or conditions impacting the financial services industry. If one or more of these or other risks or uncertainties materialize, or if the Company’s underlying assumptions prove to be incorrect, the Company’s actual results may vary materially from those indicated in these statements. These factors should not be construed as exhaustive. The Company does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise. A number of important factors could cause actual results to differ materially from those indicated by the forward-looking statements. Information on these factors can be found in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, and any subsequent Quarterly Report on Form 10-Q or Current Report on Form 8-K, which are available at the SEC’s website (www.sec.gov).
Contact
BankUnited, Inc.
Investor Relations:
Leslie N. Lunak, 786-313-1698
Source: BankUnited, Inc.
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BANKUNITED, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS - UNAUDITED
(In thousands, except share and per share data) 
December 31,
2024		September 30,
2024		December 31,
2023
ASSETS  
Cash and due from banks:  
Non-interest bearing$12,078 $14,746 $14,945 
Interest bearing479,038 875,122 573,338 
Cash and cash equivalents 491,116 889,868 588,283 
Investment securities (including securities reported at fair value of $9,130,244, $9,109,860 and $8,867,354)
9,130,244 9,119,860 8,877,354 
Non-marketable equity securities206,297 237,172 310,084 
Loans24,297,980 24,398,703 24,633,684 
Allowance for credit losses (223,153)(228,249)(202,689)
Loans, net24,074,827 24,170,454 24,430,995 
Bank owned life insurance 284,570 306,313 318,459 
Operating lease equipment, net223,844 241,625 371,909 
Goodwill77,637 77,637 77,637 
Other assets753,207 741,816 786,886 
Total assets$35,241,742 $35,784,745 $35,761,607 
LIABILITIES AND STOCKHOLDERS’ EQUITY  
Liabilities:  
Demand deposits:  
Non-interest bearing$7,616,182 $7,635,427 $6,835,236 
Interest bearing4,892,814 5,171,865 3,403,539 
Savings and money market11,055,418 10,324,697 11,135,708 
Time4,301,289 4,724,236 5,163,995 
Total deposits27,865,703 27,856,225 26,538,478 
FHLB advances2,930,000 3,580,000 5,115,000 
Notes and other borrowings708,553 708,694 708,973 
Other liabilities923,168 832,022 821,235 
Total liabilities 32,427,424 32,976,941 33,183,686 
Commitments and contingencies
Stockholders' equity:
Common stock, par value $0.01 per share, 400,000,000 shares authorized; 74,748,370, 74,749,012 and 74,372,505 shares issued and outstanding
747 747 744 
Paid-in capital301,672 296,107 283,642 
Retained earnings2,796,440 2,749,314 2,650,956 
Accumulated other comprehensive loss(284,541)(238,364)(357,421)
Total stockholders' equity 2,814,318 2,807,804 2,577,921 
Total liabilities and stockholders' equity $35,241,742 $35,784,745 $35,761,607 

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BANKUNITED, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME - UNAUDITED
(In thousands, except per share data)
Three Months EndedYears Ended
 December 31, 2024September 30, 2024December 31, 2023December 31, 2024December 31, 2023
Interest income:  
Loans$336,816 $355,220 $346,255 $1,389,897 $1,318,217 
Investment securities121,872 127,907 125,993 497,666 488,212 
Other9,300 9,229 10,957 37,553 51,152 
Total interest income 467,988 492,356 483,205 1,925,116 1,857,581 
Interest expense:
Deposits188,853 208,630 192,833 815,572 660,305 
Borrowings39,876 49,598 73,162 195,278 323,472 
Total interest expense 228,729 258,228 265,995 1,010,850 983,777 
Net interest income before provision for credit losses 239,259 234,128 217,210 914,266 873,804 
Provision for credit losses 11,001 9,248 19,253 55,072 87,607 
Net interest income after provision for credit losses 228,258 224,880 197,957 859,194 786,197 
Non-interest income:
Deposit service charges and fees4,988 5,016 5,201 20,226 20,906 
Gain (loss) on investment securities, net804 127 617 2,127 (10,052)
Lease financing7,162 6,368 3,723 30,610 45,882 
Other non-interest income12,251 11,377 7,551 46,192 30,102 
Total non-interest income 25,205 22,888 17,092 99,155 86,838 
Non-interest expense:
Employee compensation and benefits82,315 81,781 73,454 315,604 280,744 
Occupancy and equipment 11,776 12,242 10,610 45,560 43,345 
Deposit insurance expense6,662 7,421 43,453 36,143 66,747 
Professional fees 5,150 4,953 5,052 17,110 14,184 
Technology21,002 21,094 18,628 82,978 79,984 
Depreciation of operating lease equipment4,352 4,666 10,476 26,127 44,446 
Other non-interest expense29,215 32,425 29,190 118,478 106,501 
Total non-interest expense 160,472 164,582 190,863 642,000 635,951 
Income before income taxes
92,991 83,186 24,186 316,349 237,084 
Provision for income taxes23,689 21,734 3,374 83,882 58,413 
Net income
$69,302 $61,452 $20,812 $232,467 $178,671 
Earnings per common share, basic$0.92 $0.82 $0.27 $3.10 $2.39 
Earnings per common share, diluted$0.91 $0.81 $0.27 $3.08 $2.38 

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BANKUNITED, INC. AND SUBSIDIARIES
AVERAGE BALANCES AND YIELDS
(Dollars in thousands)
Three Months Ended December 31,Three Months Ended September 30,Three Months Ended December 31,
202420242023
Average
Balance
Interest (1)
Yield/
Rate (1)(2)
Average
Balance
Interest (1)
Yield/
Rate (1)(2)
Average
Balance
Interest (1)
Yield/
Rate (1)(2)
Assets:
Interest earning assets:
Loans$24,152,602 $339,725 5.60 %$24,299,898 $358,259 5.87 %$24,416,013 $349,603 5.69 %
Investment securities (3)
9,236,863 122,648 5.31 %9,171,185 128,762 5.62 %8,850,397 126,870 5.73 %
Other interest earning assets785,947 9,300 4.71 %722,366 9,229 5.08 %801,833 10,957 5.42 %
Total interest earning assets34,175,412 471,673 5.50 %34,193,449 496,250 5.79 %34,068,243 487,430 5.70 %
Allowance for credit losses(235,211)(231,383)(198,984)
Non-interest earning assets1,405,129 1,444,410 1,715,795 
Total assets$35,345,330 $35,406,476 $35,585,054 
Liabilities and Stockholders' Equity:
Interest bearing liabilities:
Interest bearing demand deposits$5,045,860 $46,759 3.69 %$3,930,101 $37,294 3.78 %$3,433,216 $31,978 3.70 %
Savings and money market deposits10,462,295 93,912 3.57 %11,304,999 119,856 4.22 %10,287,945 104,188 4.02 %
Time deposits4,529,737 48,182 4.23 %4,524,215 51,480 4.53 %5,225,756 56,667 4.30 %
Total interest bearing deposits20,037,892 188,853 3.75 %19,759,315 208,630 4.20 %18,946,917 192,833 4.04 %
FHLB advances3,200,652 30,750 3.82 %3,766,630 40,471 4.27 %5,545,978 64,034 4.58 %
Notes and other borrowings708,689 9,126 5.15 %708,829 9,127 5.15 %711,073 9,128 5.13 %
Total interest bearing liabilities23,947,233 228,729 3.80 %24,234,774 258,228 4.24 %25,203,968 265,995 4.19 %
Non-interest bearing demand deposits7,557,267 7,384,721 6,909,027 
Other non-interest bearing liabilities995,789 1,009,157 903,099 
Total liabilities32,500,289 32,628,652 33,016,094 
Stockholders' equity2,845,041 2,777,824 2,568,960 
Total liabilities and stockholders' equity$35,345,330 $35,406,476 $35,585,054 
Net interest income$242,944 $238,022 $221,435 
Interest rate spread1.70 %1.55 %1.51 %
Net interest margin2.84 %2.78 %2.60 %
(1)    On a tax-equivalent basis where applicable
(2)    Annualized
(3)    At fair value except for securities held to maturity






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BANKUNITED, INC. AND SUBSIDIARIES
AVERAGE BALANCES AND YIELDS
(Dollars in thousands)
Years Ended December 31,
 20242023
 Average
Balance
Interest (1)
Yield/
Rate (1)
Average
Balance
Interest (1)
Yield/
Rate (1)
Assets:
Interest earning assets:
Loans
$24,269,787 $1,402,132 5.78 %$24,558,430 $1,331,578 5.42 %
Investment securities (2)
9,064,521 501,006 5.53 %9,228,718 491,851 5.33 %
Other interest earning assets745,885 37,553 5.03 %986,186 51,152 5.19 %
Total interest earning assets34,080,193 1,940,691 5.69 %34,773,334 1,874,581 5.39 %
Allowance for credit losses(224,673)(171,618)
Non-interest earning assets1,502,205 1,749,981 
Total assets$35,357,725 $36,351,697 
Liabilities and Stockholders' Equity:
Interest bearing liabilities:
Interest bearing demand deposits$4,077,852 $152,809 3.75 %$2,905,968 $86,759 2.99 %
Savings and money market deposits11,043,510 451,352 4.09 %10,704,470 382,432 3.57 %
Time deposits4,757,675 211,411 4.44 %5,169,458 191,114 3.70 %
Total interest bearing deposits19,879,037 815,572 4.10 %18,779,896 660,305 3.52 %
FHLB advances
3,823,579 158,750 4.15 %6,331,685 285,026 4.50 %
Notes and other borrowings709,422 36,528 5.15 %752,036 38,446 5.11 %
Total interest bearing liabilities24,412,038 1,010,850 4.14 %25,863,617 983,777 3.80 %
Non-interest bearing demand deposits7,239,161 7,091,029 
Other non-interest bearing liabilities968,163 848,023 
Total liabilities32,619,362 33,802,669 
Stockholders' equity2,738,363 2,549,028 
Total liabilities and stockholders' equity$35,357,725 $36,351,697 
Net interest income$929,841 $890,804 
Interest rate spread1.55 %1.59 %
Net interest margin2.73 %2.56 %
(1)    On a tax-equivalent basis where applicable
(2)    At fair value except for securities held to maturity




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BANKUNITED, INC. AND SUBSIDIARIES
EARNINGS PER COMMON SHARE
(In thousands except share and per share amounts)
Three Months Ended
Years Ended
cDecember 31, 2024September 30, 2024December 31, 2023December 31, 2024December 31, 2023
Basic earnings per common share: 
Numerator:
Net income
$69,302 $61,452 $20,812 $232,467 $178,671 
Distributed and undistributed earnings allocated to participating securities
(1,598)(850)(930)(4,113)(3,565)
Income allocated to common stockholders for basic earnings per common share$67,704 $60,602 $19,882 $228,354 $175,106 
Denominator:
Weighted average common shares outstanding74,750,961 74,753,372 74,384,185 74,694,303 74,493,898 
Less average unvested stock awards(1,075,384)(1,079,182)(1,130,715)(1,098,045)(1,168,004)
Weighted average shares for basic earnings per common share73,675,577 73,674,190 73,253,470 73,596,258 73,325,894 
Basic earnings per common share$0.92 $0.82 $0.27 $3.10 $2.39 
Diluted earnings per common share:
Numerator:
Income allocated to common stockholders for basic earnings per common share$67,704 $60,602 $19,882 $228,354 $175,106 
Adjustment for earnings reallocated from participating securities
(198)6 — (402)(275)
Income used in calculating diluted earnings per common share$67,506 $60,608 $19,882 $227,952 $174,831 
Denominator:
Weighted average shares for basic earnings per common share73,675,577 73,674,190 73,253,470 73,596,258 73,325,894 
Dilutive effect of certain share-based awards616,913 817,866 203,123 382,043 197,441 
Weighted average shares for diluted earnings per common share
74,292,490 74,492,056 73,456,593 73,978,301 73,523,335 
Diluted earnings per common share$0.91 $0.81 $0.27 $3.08 $2.38 

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BANKUNITED, INC. AND SUBSIDIARIES
SELECTED RATIOS
 At or for the Three Months Ended
At or for the Years Ended December 31,
 December 31, 2024September 30, 2024December 31, 202320242023
Financial ratios (4)
    
Return on average assets0.78 %0.69 %0.23 %0.66 %0.49 %
Return on average stockholders’ equity9.7 %8.8 %3.2 %8.5 %7.0 %
Net interest margin (3)
2.84 %2.78 %2.60 %2.73 %2.56 %
Loans to deposits87.2 %87.6 %92.8 %87.2 %92.8 %
Tangible book value per common share$36.61 $36.52 $33.62 $36.61 $33.62 
 December 31, 2024September 30, 2024December 31, 2023
Asset quality ratios  
Non-performing loans to total loans (1)(5)
1.03 %0.92 %0.52 %
Non-performing assets to total assets (2)(5)
0.73 %0.64 %0.37 %
Allowance for credit losses to total loans0.92 %0.94 %0.82 %
Allowance for credit losses to commercial loans (6)
1.37 %1.41 %1.29 %
Allowance for credit losses to non-performing loans (1)(5)
89.01 %101.68 %159.54 %
Net charge-offs to average loans(7)
0.16 %0.12 %0.09 %
(1)    We define non-performing loans to include non-accrual loans and loans other than purchased credit deteriorated and government insured residential loans that are past due 90 days or more and still accruing. Contractually delinquent purchased credit deteriorated and government insured residential loans on which interest continues to be accrued are excluded from non-performing loans.
(2)    Non-performing assets include non-performing loans, OREO and other repossessed assets.
(3)    On a tax-equivalent basis.
(4)    Annualized for the three months ended December 31, 2024, September 30, 2024 and December 31, 2023.
(5)    Non-performing loans and assets include the guaranteed portion of non-accrual SBA loans totaling $34.3 million or 0.14% of total loans and 0.10% of total assets at December 31, 2024, $35.1 million or 0.14% of total loans and 0.10% of total assets at September 30, 2024, and $41.8 million or 0.17% of total loans and 0.12% of total assets at December 31, 2023.
(6)    For purposes of this ratio, commercial loans includes the C&I and CRE sub-segments, as well as franchise and equipment finance. Due to their unique risk profiles, MWL and municipal finance are excluded from this ratio.
(7)    Annualized for the nine months ended September 30, 2024; ratios for December 31, 2024 and 2023 are annual net charge-off rates.

December 31, 2024September 30, 2024December 31, 2023Required to be Considered Well Capitalized
BankUnited, Inc.BankUnited, N.A.BankUnited, Inc.BankUnited, N.A.BankUnited, Inc.BankUnited, N.A.
Capital ratios
Tier 1 leverage8.5 %9.7 %8.3 %9.6 %7.9 %9.1 %5.0 %
Common Equity Tier 1 ("CET1") risk-based capital12.0 %13.7 %11.8 %13.6 %11.4 %13.1 %6.5 %
Total risk-based capital14.1 %14.6 %13.9 %14.6 %13.4 %13.9 %10.0 %
Tangible Common Equity/Tangible Assets7.8 %N/A7.6 %N/A7.0 %N/AN/A
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Non-GAAP Financial Measures
Tangible book value per common share is a non-GAAP financial measure. Management believes this measure is relevant to understanding the capital position and performance of the Company. Disclosure of this non-GAAP financial measure also provides a meaningful basis for comparison to other financial institutions as it is a metric commonly used in the banking industry. The following table reconciles the non-GAAP financial measurement of tangible book value per common share to the comparable GAAP financial measurement of book value per common share at the dates indicated (in thousands except share and per share data): 
December 31, 2024September 30, 2024December 31, 2023
Total stockholders’ equity$2,814,318 $2,807,804 $2,577,921 
Less: goodwill and other intangible assets77,637 77,637 77,637 
Tangible stockholders’ equity$2,736,681 $2,730,167 $2,500,284 
Common shares issued and outstanding74,748,370 74,749,012 74,372,505 
Book value per common share$37.65 $37.56 $34.66 
Tangible book value per common share$36.61 $36.52 $33.62 
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