FirstSun Capital Bancorp Files Q2 2024 10-Q

TL;DR

FCBC 10-Q filed for Q2 2024. Financials look solid.

AI Summary

FirstSun Capital Bancorp filed its 10-Q for the period ending June 30, 2024. The filing details the company's financial performance and position during the second quarter of 2024. Specific financial figures and operational details for the period are presented within the report.

Why It Matters

This filing provides investors and analysts with a detailed look at FirstSun Capital Bancorp's financial health and operational performance for the second quarter of 2024, influencing investment decisions.

Risk Assessment

Risk Level: low — This is a routine quarterly financial filing with no immediate red flags or significant negative news indicated in the provided snippet.

Key Players & Entities

• FIRSTSUN CAPITAL BANCORP (company) — Filer of the 10-Q
• 20240630 (date) — End of the reporting period
• 20240809 (date) — Filing date
• DENVER (location) — Company's business and mailing address city
• DE (location) — State of incorporation

FAQ

Key Financial Figures

• $0.0001 — ange on which registered Common Stock, $0.0001 Par Value FSUN Nasdaq Global Select Mar
• $10 billion — erger due to having assets in excess of $10 billion; changes in FirstSun's or HomeStreet's

Filing Documents

• fcb-20240630.htm (10-Q) — 4732KB
• exhibit311certificationofc.htm (EX-31.1) — 7KB
• exhibit312certificationofc.htm (EX-31.2) — 7KB
• exhibit321certificationofc.htm (EX-32.1) — 9KB
• 0001709442-24-000065.txt ( ) — 21587KB
• fcb-20240630.xsd (EX-101.SCH) — 68KB
• fcb-20240630_cal.xml (EX-101.CAL) — 141KB
• fcb-20240630_def.xml (EX-101.DEF) — 425KB
• fcb-20240630_lab.xml (EX-101.LAB) — 900KB
• fcb-20240630_pre.xml (EX-101.PRE) — 685KB
• fcb-20240630_htm.xml (XML) — 5671KB

- Financial Information (Unaudited)

Part I - Financial Information (Unaudited) 5

Financial Statements

Item 1. Financial Statements 5

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 52

Quantitative and Qualitative Disclosures About Market Risk

Item 3. Quantitative and Qualitative Disclosures About Market Risk 79

Controls and Procedures

Item 4. Controls and Procedures 80

- Other Information

Part II - Other Information 81

Legal Proceedings

Item 1. Legal Proceedings 81

Risk Factors

Item 1A. Risk Factors 81

Exhibits

Item 6. Exhibits 82

Signatures

Signatures 83 2 CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect our current views with respect to, among other things, statements relating to the Company's assets, business, cash flows, condition (financial or otherwise), credit quality, financial performance, liquidity, short and long-term performance goals, prospects, results of operations, strategic initiatives, the benefits, cost and synergies of completed acquisitions or dispositions, and the timing, benefits, costs and synergies of future acquisitions, disposition and other growth opportunities, including statements regarding our pending merger with HomeStreet, Inc. ("HomeStreet"). They are not statements of historical or current fact nor are they assurances of future performance, and they generally can be identified by the use of forward-looking terminology, such as "believe," "expect," "anticipate," "intend," "target," "estimate," "continue," "positions," "plan," "predict," "project," "forecast," "guidance," "goal," "objective," "prospects," "possible" or "potential," by future conditional verbs such as "assume," "will," "would," "should," "could" or "may," or by variations of such words or by similar expressions. These forward-looking statements are subject to numerous assumptions, risks and uncertainties, which change over time, are difficult to predict and are generally beyond our control and should be viewed with caution. There are or will be important factors that could cause our actual results to differ materially from those indicated in these forward-looking statements, including, but not limited to, the following: potential fluctuations or unanticipated changes in the interest rate environment, including interest rate changes made by the Board of Governors of the Federal Reserve, and their related impacts on

- Financial Information

Part I - Financial Information

Financial Statements (Unaudited)

Item 1. Financial Statements (Unaudited) Index to Consolidated Financial Statements Page Consolidated Balance Sheets 6 Consolidated Statements of Income and Comprehensive Income 7 Consolidated Statements of Stockholders' Equity 8 Consolidated Statements of Cash Flows 10

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 12 Note 1 - Organization and Basis of Presentation 12 Note 2 - Securities 16 Note 3 - Loans 20 Note 4 - Mortgage Servicing Rights 30 Note 5 - Derivative Financial Instruments 31 Note 6 - Deposits 34 Note 7 - Securities Sold Under Agreements to Repurchase 35 Note 8 - Debt 35 Note 9 - Earnings Per Share 37 Note 1 0 - Stockholders' Equity 37 Note 1 1 - Income Taxes 39 Note 1 2 - Regulatory Capital Matters 39 Note 1 3 - Fair Value Measurements 41 Note 1 4 - Segment Information 44 Note 1 5 - Commitments and Contingencies 49 Note 1 6 - Lease Commitments 51 5 FIRSTSUN CAPITAL BANCORP and Subsidiaries Consolidated Balance Sheets As of (Unaudited) (In thousands, except par and share amounts) June 30, 2024 December 31, 2023 Assets Cash and cash equivalents $ 535,766 $ 479,362 Securities available-for-sale, at fair value 491,649 516,757 Securities held-to-maturity, fair value of $ 31,084 and $ 32,181 , respectively 36,310 36,983 Loans held-for-sale, at fair value 66,571 54,212 Loans, net of allowance for credit losses of $ 78,960 and $ 80,398 , respectively 6,258,202 6,186,698 Mortgage servicing rights, at fair value 80,744 76,701 Premises and equipment, net 83,320 84,842 Other real estate owned and foreclosed assets, net 4,497 4,100 Bank-owned life insurance 80,058 79,851 Restricted equity securities 30,846 38,072 Goodwill 93,483 93,483 Core deposits and other intangible assets, net 9,517 10,984 Accrued interest receivable 37,892 37,099 Deferred tax assets, net 43,147 46,259 Prepaid expenses and other assets 147,293 134,321 Total assets $ 7,999,295 $ 7,879,724 Liabilities and Stockholders' Equity Liabilities: Deposits: Noninterest-bearing accounts $ 1,562,308 $ 1,530,506 Interest-bearing accounts 5,057,217 4,843,597 Total deposits 6,619,525 6,374,103 Securities sold under agreements to repurchase 20,408 24,693 Federal Home Loan Bank advances 145,00

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements (Unaudited) ($ in thousands, except share and per share amounts) NOTE 1 - Organization and Basis of Presentation Nature of Operations - The consolidated financial statements include the accounts of FirstSun Capital Bancorp ("FirstSun" or "Parent Company") and its wholly-owned subsidiaries, Sunflower Bank, N.A. (the "Bank" or "Sunflower Bank"), Logia Portfolio Management, LLC, and FEIF Capital Partners, LLC, and have been prepared using U.S. generally accepted accounting principles ("U.S. GAAP") and prevailing practices in the banking industry. All significant intercompany balances and transactions have been eliminated. These entities are collectively referred to as "our", "us", "we", or "the Company". These consolidated financial statements in this Quarterly Report on Form 10-Q do not include all of the information and footnotes required by U.S. GAAP for a full year presentation and certain disclosures have been condensed or omitted in accordance with rules and regulations of the SEC. These interim financial statements are unaudited, and include, in our opinion, all adjustments necessary for a fair statement of the results for the periods indicated, which are not necessarily indicative of results which may be expected for the full year. Certain prior period amounts have been reclassified to conform to the current presentation. These unaudited consolidated financial statements and notes should be read in conjunction with FirstSun's audited consolidated financial statements and footnotes thereto for the year ended December 31, 2023, included in our 2023 Annual Report . Proposed Merger with HomeStreet - On April 30, 2024, FirstSun entered into Amendment No. 1 (the "Amendment") to the Agreement and Plan of Merger, dated January 16, 2024 (the "Merger Agreement"), by and among HomeStreet, Inc., a Washington corporation ("HomeStreet"), FirstSun, and Dynamis Subsidiary, Inc., a Washington corporation and wholly owned subsidi

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View this 10-Q filing on SEC EDGAR