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RENASANT BANK Renasant Corporation Announces Earnings for the Third Quarter of 2021 October 28 , 2021 TUPELO , Miss . , Oct. 28 , 2021 ( GLOBE NEWSWIRE ) -- Renasant Corporation ( NASDAQ : RNST ) ( the " Company " ) today announced earnings results for the third quarter of 2021. Net income for the third quarter of 2021 was $ 40.1 million , as compared to $ 30.0 million for the third quarter of 2020. Basic and diluted earnings per share ( " EPS " ) were $ 0.71 for the third quarter of 2021 , as compared to basic and diluted EPS of $ 0.53 for the third quarter of 2020 . Net income for the nine months ending September 30 , 2021 , was $ 138.8 million , as compared to net income of $ 52.1 million for the same period in 2020. Basic and diluted EPS were $ 2.47 and $ 2.46 , respectively , for the first nine months of 2021 , as compared to basic and diluted EPS of $ 0.93 and $ 0.92 , respectively , for the first nine months of 2020 . " Our team produced solid results during the third quarter , and we continue to see all areas of the Bank perform at a high level . Our financial condition remains strong and is highlighted by our core funding , robust capital structure and stable credit metrics , " commented C. Mitchell Waycaster , Renasant President and Chief Executive Officer . " We believe the markets in which we operate provide significant opportunities , and we remain optimistic about future loan growth , despite the headwinds of elevated payoffs . Our team remains committed to improving profitability through our ongoing revenue and expense initiatives . " Impact of Certain Expenses and Charges From time to time , the Company incurs expenses and charges with respect to which management is unable to accurately predict when these expenses or charges will be incurred or , when incurred , the amount of such expenses or charges . The following tables present the impact of these expenses and charges on reported EPS for the periods listed . The " COVID - 19 related expenses " line item primarily consists of ( a ) employee overtime and employee benefit accruals directly related to the Company's response to both the COVID - 19 pandemic itself and federal legislation enacted to address the pandemic , such as the CARES Act , and ( b ) expenses associated with supplying branches with protective equipment and sanitation supplies ( such as floor markings and cautionary signage for branches , face coverings and hand sanitizer ) and more frequent and rigorous branch cleaning . ( in thousands , except per share data ) Earnings , as reported MSR valuation adjustment Restructuring charges COVID - 19 related expenses Earnings , with exclusions ( Non - GAAP ) Earnings , as reported Debt prepayment penalty MSR valuation adjustment COVID - 19 related expenses Earnings , with exclusions ( Non - GAAP ) $ $ $ Pre - tax 51,248 $ 323 51,571 Return on average assets Return on average tangible assets ( Non - GAAP ) Return on average equity Return on average tangible equity ( Non - GAAP ) Three Months Ended September 30 , 2021 28 ( 828 ) 570 37,374 $ Pre - tax 37,604 $ Three Months Ended September 30 , 2020 After - tax 40,063 $ 253 40,316 September 30 , 2021 After - tax 29,992 22 ( 650 ) 448 29,812 $ $ 0.99 % 1.08 % 7.16 % 13.05 % $ Impact to Diluted EPS $ Impact to Diluted EPS 0.71 As Reported Three Months Ended 0.71 June 30 , 2021 1.04 % 1.14 % 7.40 % 13.54 % 0.53 ( 0.01 ) 0.01 0.53 $ $ $ September 30 , 2021 September 30 , 2020 Pre - tax 174,410 ( 13,561 ) 307 1,478 162,634 0.80 % 0.89 % 5.63 % 10.87 % Pre - tax 65,152 118 13,694 9,730 88,694 As Reported Nine Months Ended 1.18 % 1.29 % 8.43 % 15.43 % $ $ $ A reconciliation of all non - GAAP financial measures disclosed in this release from GAAP to non - GAAP is included in the tables at the end of this release , except that reconciliations for asset quality measures that exclude Paycheck Protection Program loans from the relevant measure are included in the Company's presentation materials filed with the Securities and Exchange Commission together with this release . The information below under the heading " Non - GAAP Financial Measures " explains why the Company believes the non - GAAP financial measures in this release provide useful information and describes the other purposes for which the Company uses non - GAAP financial measures . $ $ September 30 , 2020 Nine Months Ended September 30 , 2021 September 30 , 2021 Nine Months Ended September 30 , 2020 $ Profitability Metrics The following tables present the Company's profitability metrics , including after adjusting for the impact of the mortgage servicing rights ( MSR ) valuation adjustment , debt prepayment penalties , restructuring charges , swap termination charges and COVID - 19 related expenses , as applicable , for the dates presented : After - tax 138,838 $ ( 10,564 ) 239 1,151 129,664 0.99 % 1.09 % 7.21 % 13.13 % After - tax 52,130 $ 94 10,916 7,758 70,898 0.48 % 0.56 % 3.30 % 6.65 % $ June 30 , 2021 $ With Exclusions ( Non - GAAP ) Three Months Ended 1.04 % 1.14 % 7.46 % 13.64 % September 30 , 2021 Impact to Diluted EPS 1.10 % 1.21 % 7.87 % 14.43 % 2.46 ( 0.19 ) 0.02 2.29 Impact to Diluted EPS With Exclusions ( Non - GAAP ) Nine Months Ended 0.92 0.19 0.14 1.25 September 30 , 2020 Return on average assets Return on average tangible assets ( Non - GAAP ) Return on average equity Return on average tangible equity ( Non - GAAP ) Financial Condition Total assets were $ 16.16 billion at September 30 , 2021 , as compared to $ 14.93 billion at December 31 , 2020. Total loans held for investment were $ 10.02 billion at September 30 , 2021 , as compared to $ 10.93 billion at December 31 , 2020. Loans held for investment at September 30 , 2021 and December 31 , 2020 included $ 67.5 million and $ 1.13 billion , respectively , in Paycheck Protection Program ( " PPP " ) loans . Excluding PPP loans , the loan portfolio grew 1.87 % on an annualized basis in the third quarter of 2021 . 0.79 % 0.89 % 5.60 % 10.81 % September 30 , 2020 0.66 % 0.75 % 4.49 % 8.86 % Total deposits increased to $ 13.25 billion at September 30 , 2021 , from $ 12.06 billion at December 31 , 2020. Non - interest bearing deposits increased $ 807.6 million to $ 4.49 billion , or 33.89 % of total deposits , at September 30 , 2021 , as compared to $ 3.69 billion , or 30.56 % of total deposits , at December 31 , 2020 . Capital Management ; Adoption of New Stock Repurchase Program The Company's capital position , as measured by regulatory capital ratios , remains strong . This capital strength gives the Company flexibility to accommodate future loan growth , M & A activity or share repurchases . In the third quarter of 2021 , the Company repurchased $ 21.3 million of its common stock at a weighted average price of $ 34.82 . On October 26 , 2021 , the Company's Board of Directors approved a new stock repurchase program ( the previous program having just expired ) , authorizing the Company to repurchase up to $ 50.0 million of its outstanding common stock , either in open market purchases or privately - negotiated transactions . The new repurchase program will remain in effect for one year or , if earlier , the repurchase of the entire amount of common stock authorized to be repurchased . Notwithstanding the Board's action , the Company currently has no plans to resume stock repurchases .