Fundamentals remained strong in 2017 at First Horizon National Corp., driven by growth trends in loans and deposits at First Tennessee Bank, as well as the closing of the Capital Bank transaction., officials said.
Reported earnings per share were $0.65 in 2017, compared to $0.94 in 2016. On an adjusted basis, earnings per share in 2017 were $1.111, excluding the impact from tax reform, other tax adjustments and acquisition expense, as well as other notable items. Reflected in the fourth quarter results are the previously announced $1,000 bonuses to approximately 70 percent of First Horizon employees, and a contribution of $16.5 million to the company’s Foundation.
During the fourth quarter, First Horizon completed the merger with Capital Bank that had been announced in May, 2017, resulting in a $41 billion asset organization with more than 350 branches serving the Southeast. While the Capital Bank merger closed late in the quarter, progress has been made on integration planning. Further, expectations of revenue and cost synergies have increased over the past six months.
Chattanooga Market President Jeff Jackson said, "First Tennessee’s strong showing in the fourth quarter is very humbling for us. With profits up 20 percent and deposits and loans up as well, it speaks volumes to the work being done by our team and the trust we enjoy with our customers. We were also pleased to provide one-time bonuses to many of our employees. We’re very optimistic about the new year.”
“The fourth quarter caps an outstanding and transformative 2017." said Bryant Jordan, First Horizon's chairman and CEO. "Our adjusted core results were strong with continued robust customer activity. We closed our merger with Capital Bank, the largest in our company’s history, significantly expanding our balance sheet, customers, markets and opportunities, all as we identified greater cost savings and revenue opportunities than originally announced. We begin 2018 with momentum and confidence in our abilities to create value for our communities, customers and shareholders.”