Western Alliance Bancorporation Q3 2024 10-Q Filed

TL;DR

WAL Q3 10-Q is in. Financials look solid, check the details.

AI Summary

Western Alliance Bancorporation filed its 10-Q for the period ending September 30, 2024. The filing details financial performance and operational updates for the third quarter of 2024. Key financial data and business segment information are presented, reflecting the company's activities in commercial banking.

Why It Matters

This filing provides investors with a detailed look at Western Alliance's financial health and operational performance during the third quarter of 2024, impacting investment decisions.

Risk Assessment

Risk Level: medium — As a financial institution, Western Alliance Bancorporation is subject to inherent risks related to market fluctuations, interest rate changes, and regulatory environments.

Key Numbers

• 2024 Q3 — Reporting Period (Covers the third quarter of 2024)
• 2024-09-30 — As of Date (End of the reporting period)
• 2023-12-31 — Previous Year End (For comparison purposes)

Key Players & Entities

• WESTERN ALLIANCE BANCORPORATION (company) — Filer of the 10-Q
• 20240930 (date) — End of reporting period
• 20241031 (date) — Filing date
• PHOENIX (location) — Company headquarters city

FAQ

Key Financial Figures

• $0.0001 — nge on which registered Common Stock, $0.0001 Par Value WAL New York Stock Exchange

Filing Documents

• wal-20240930.htm (10-Q) — 6226KB
• walex3119302024.htm (EX-31.1) — 11KB
• walex3129302024.htm (EX-31.2) — 12KB
• walex329302024.htm (EX-32) — 9KB
• 0001212545-24-000293.txt ( ) — 30486KB
• wal-20240930.xsd (EX-101.SCH) — 88KB
• wal-20240930_cal.xml (EX-101.CAL) — 141KB
• wal-20240930_def.xml (EX-101.DEF) — 558KB
• wal-20240930_lab.xml (EX-101.LAB) — 1086KB
• wal-20240930_pre.xml (EX-101.PRE) — 886KB
• wal-20240930_htm.xml (XML) — 8179KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION

Glossary of Entities and Terms

Item 1. Glossary of Entities and Terms 3

Financial Statements (Unaudited)

Financial Statements (Unaudited) Consolidated Balance Sheets 4 Consolidated Income Statements 4 Consolidated Statements of Comprehensive Income 6 Consolidated Statements of Stockholders' Equity 7 Consolidated Statements of Cash Flows 9 Notes to Unaudited Consolidated Financial Statements 11

Management's Discussion and Analysis of Financial Condition and Results of Operations

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations 59

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 87

Controls and Procedures

Item 4. Controls and Procedures 89

OTHER INFORMATION

PART II. OTHER INFORMATION

Legal Proceedings

Item 1. Legal Proceedings 89

Risk Factors

Item 1A. Risk Factors 90

Unregistered Sales of Equity Securities and Use of Proceeds

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 90

Other Information

Item 5. Other Information 90

Exhibits

Item 6. Exhibits 91

SIGNATURES

SIGNATURES 92 2 Table of Contents PART I GLOSSARY OF ENTITIES AND TERMS The acronyms and abbreviations identified below are used in various sections of this Form 10-Q, including "Management's Discussion and Analysis of Financial Condition and Results of Operations," in Item 2 and the Consolidated Financial Statements and the Notes to Unaudited Consolidated Financial Statements in Item 1 of this Form 10-Q. ENTITIES / DIVISIONS: ABA Alliance Bank of Arizona FIB First Independent Bank AmeriHome AmeriHome Mortgage Company, LLC TPB Torrey Pines Bank BON Bank of Nevada WA PWI Western Alliance Public Welfare Investments, LLC Bridge Bridge Bank WAB or Bank Western Alliance Bank Company Western Alliance Bancorporation and subsidiaries WABT Western Alliance Business Trust CSI CS Insurance Company WAL or Parent Western Alliance Bancorporation DST Digital Settlement Technologies LLC WATC Western Alliance Trust Company, N.A. TERMS: ACL Allowance for Credit Losses FOMC Federal Open Market Committee AFS Available-for-Sale FRB Federal Reserve Bank ALCO Asset and Liability Management Committee FVO Fair Value Option AOCI Accumulated Other Comprehensive Income GAAP U.S. Generally Accepted Accounting Principles ASC Accounting Standards Codification GNMA Government National Mortgage Association ASU Accounting Standards Update GSE Government-Sponsored Enterprise Basel III Banking Supervision's December 2010 final capital framework HFI Held for Investment BOD Board of Directors HFS Held for Sale Capital Rules The FRB, the OCC, and the FDIC 2013 Approved Final Rules HTM Held-to-Maturity CDARS Certificate Deposit Account Registry Service HUD U.S. Department of Housing and Urban Development CECL Current Expected Credit Losses ICS Insured Cash Sweep Service CEO Chief Executive Officer IRLC Interest Rate Lock Commitment CET1 Common Equity Tier 1 ISDA International Swaps and Derivatives Association CFO Chief Financial Officer LIBOR London Interbank Offered Rate

Financial Statements

Item 1. Financial Statements WESTERN ALLIANCE BANCORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Unaudited) September 30, 2024 December 31, 2023 (in millions, except shares and per share amounts) Assets: Cash and due from banks $ 398 $ 276 Interest bearing deposits in other financial institutions 2,194 1,300 Cash and cash equivalents 2,592 1,576 Investment securities - AFS, at fair value; amortized cost of $ 15,258 at September 30, 2024 and $ 11,849 at December 31, 2023 (ACL of $ 0.4 and $ 1.4 at September 30, 2024 and December 31, 2023) 14,750 11,165 Investment securities - HTM, at amortized cost and net of ACL of $ 10 and $ 8 (fair value of $ 1,371 and $ 1,251 ) at September 30, 2024 and December 31, 2023, respectively 1,515 1,421 Investment securities - equity 117 126 Investments in restricted stock, at cost 171 281 Loans HFS 2,327 1,402 Loans HFI, net of deferred fees and costs 53,346 50,297 Less: allowance for credit losses ( 357 ) ( 337 ) Net loans held for investment 52,989 49,960 Mortgage servicing rights 1,011 1,124 Premises and equipment, net 354 339 Operating lease right of use asset 127 145 Bank owned life insurance 1,000 186 Goodwill and intangible assets, net 661 669 Deferred tax assets, net 254 287 Investments in LIHTC and renewable energy 560 573 Other assets 1,652 1,608 Total assets $ 80,080 $ 70,862 Liabilities: Deposits: Non-interest bearing $ 24,965 $ 14,520 Interest bearing 43,075 40,813 Total deposits 68,040 55,333 Other borrowings 2,995 7,230 Qualifying debt 898 895 Operating lease liability 159 179 Other liabilities 1,311 1,147 Total liabilities 73,403 64,784 Commitments and contingencies (Note 14) Stockholders' equity: Preferred stock (par value $ 0.0001 and liquidation value per share of $ 25 ; 20,000,000 authorized; 12,000,000 depositary shares issued and outstanding at September 30, 2024 and December 31, 2023) 295 295 Common stock (par value $ 0.0001 ; 200,000,000 authorized;

View Full Filing

View this 10-Q filing on SEC EDGAR