Enterprise Financial Services Corp (NASDAQ:EFSC) Q4 2022 Earnings Conference Call January 24, 2022 11:00 AM ET
Company Participants
Jim Lally - President & Chief Executive Officer
Scott Goodman - President, Enterprise Bank & Trust
Keene Turner - Chief Financial Officer & Chief Operating Officer
Conference Call Participants
Jeff Rulis - D.A. Davidson
Damon DelMonte - KBW
Brian Martin - Janney Montgomery
Operator
[Call starts abruptly]
At this time, I would like to welcome everyone to the Enterprise Financial Services Corp. Fourth Quarter 2022 Earnings Conference Call. [Operator Instructions] Thank you.
I will now turn the call over to Jim Lally, President and CEO. You may begin.
Jim Lally
Colby, thank you and thank you all very much for joining us this morning and welcome to our 2022 fourth quarter earnings call. Joining me this morning is Keene Turner, EFSC's Chief Financial Officer and Chief Operating Officer; and Scott Goodman, President of Enterprise Bank & Trust. Before we begin, I would like to remind everybody on the call that a copy of the release and the company presentation can be found on our website.
The presentation and earnings release were furnished on SEC Form 8-K yesterday. Please refer to Slide 2 of the presentation titled Forward-Looking Statements in our most recent 10-K and 10-Q for reasons why actual results may vary from any forward-looking statements that we make today. Throughout 2022, we stressed our commitment to building partnerships with our clients, the execution of our strategic initiatives and our diversified business platform. This cadence of consistency produced record results for both the fourth quarter and for the entire year. The financial highlights for the fourth quarter begin on Slide 3. We capped the year with tremendous momentum, both for loan growth as well as earnings. We earned $1.58 per share for the fourth quarter which resulted in a 1.83% return on average assets and a 23% return on tangible common equity. This is inclusive of our tangible common equity to tangible assets ratio expanding during the quarter and we closed the year at 8.43%. Additionally, our robust earnings helped to contribute approximately $2 per share to our tangible book value during the fourth quarter which closed at $28.67 per share.
Turning to Slide 4. You can see that we had an outstanding quarter with respect to loan growth. On an annualized basis, we were able to grow the loan portfolio by 16%. Moreover, the diversification on which we have focused was on full display as just about every market in business line contributed to these outstanding results. Scott will provide much more color about these markets and businesses in his comments.