Trustmark Corporation

Good morning, ladies and gentlemen, and welcome to Trustmark Corporation's first quarter earnings conference call. At this time, all participants are in a listen-only mode. Following the presentation this morning, there will be a question and answer session. To ask a question, you may press star, then 1 on a touch-tone phone. To withdraw your question, please press star, then 2. As a reminder, this call is being recorded. It is now my pleasure to introduce Mr. Joey Rain, Director of Corporate Strategy at Trustmark. Please go ahead.

Good morning. I would like to remind everyone that a copy of our first quarter earnings release, as well as the slide presentation that will be discussed on our call this morning, is available on the Investor Relations section of our website at Trustmark.com. During the course of our call, management may make forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We would like to caution you that these forward-looking statements may differ materially from actual results due to a number of risks and uncertainties, which are outlined in our earnings release and our other filings with the Securities and Exchange Commission. At this time, I'd like to introduce Dwayne Dewey, President and CEO of Trustmark.

Good morning, and thank you for joining us. With me this morning are Tom Owens, our Chief Financial Officer, Barry Harvey, our Chief Credit and Operations Officer, and Tom Chambers, our Chief Accounting Officer. Trustmark had a solid first quarter in 22 with continued growth in loans and deposits, expanded total revenue, and continued strong credit quality. For the first quarter, Trustmark reported net income of $29.2 million, or 47 cents per diluted share. So let's look at our financial highlights in a little more detail, turning to slide three. At March 31, 22, loans held for investments totaled $10.4 billion, an increase of $149.3 million from the prior quarter and $413.4 million from the same period last year, a 4.1% increase. Deposits totaled $15.1 billion, an increase of $26.1 million late quarter, and $730 million, or 5.1%, from this time last year. Revenue in the first quarter totaled $153.5 million, a $4.4 million or 2.9% increase linked quarter. Net interest income totaled $102.3 million in the first quarter, an increase of $1.1 million or 1.1% from the prior quarter. Non-interest income totaled $54.1 million and represented 35.3% of total revenue in the first quarter. Insurance revenue totaled $14.1 million, an increase of $2.4 million, or 20.3% linked quarter, and a $1.6 million, or 13.2% increase from the prior year. Non-interest expense in the first quarter totaled $121.5 million, a 1.7% increase from the prior quarter, and flat year over year. Credit quality remained solid this quarter as non-performing assets declined 8.9% from the prior year and recovery succeeded charge-offs by 137,000. We also maintained strong capital levels with a Tier 1 ratio of 11.23% and a total risk-based capital of 13.53%. The Board declared a quarterly cash dividend of 23 cents per share payable June 15th to shareholders of record June 1st. During the first quarter, Trustmark repurchased 9.1 million or approximately 279,000 shares of common stock. As of March 31st, Trustmark had 90.9 million remaining authority under its existing repurchase program which expires 12-31-22. At this time, I'd like to ask Barry to provide color on loan growth and credit quality.