MutualBank (merged into Northwest Bank)

What sets MutualBank apart

How large is MutualBank?

The balance sheet of MutualBank at Q4 2019: assets $2.1 bn, deposits $1.6 bn, net loans $1.5 bn (loans equal to 95.71% of deposits). Securities make up 18.7% of total assets at MutualBank. Since Q1 2016, when MutualBank held $1.5 bn, its assets grew 37.5%. In the year to Q4 2019, deposits at MutualBank rose 2.2% while its total assets rose 0.7%. At Q4 2019, MutualBank employed 479 full-time equivalent staff across 40 offices, about $4.3 mn of assets per employee and $38.9 mn of deposits per office.

How much funding at MutualBank is uninsured?

At MutualBank, uninsured deposits (above the FDIC limit) made up 14.51% of domestic deposits at Q4 2019 (-0.12 pp on a year earlier). In dollars, MutualBank estimated $225.9 mn of uninsured deposits.

Key facts, Q4 2019

US rank of MutualBank: 1 = highest unless marked 1 = lowest.

The CET1 ratio of MutualBank stood at 13.01% in Q4 2019, +0.87 pp year on year. Low and high at MutualBank since Q1 2016: 11.25% (Q4 2017) to 13.01% (Q4 2019). Equity capital of MutualBank at Q4 2019: $236.7 mn, or 11.5% of total assets. MutualBank also reported a total capital ratio of 13.87% for Q4 2019, and a tier 1 leverage ratio of 9.94%.

The available-for-sale portfolio of MutualBank showed an unrealized gain of $10.7 mn at Q4 2019; the gain turned from a loss into a gain over the year.

For the year to Q4 2019, MutualBank earned a return on equity of 10.87%; return on assets: 1.19%. Net interest margin at MutualBank: 3.45%, -0.18 pp in a year. MutualBank net income: $24.5 mn, up 28.3% year on year. The efficiency ratio of MutualBank was 67.38%: about 67 cents cost per revenue dollar, against 64 cents at the median peer.

At Q4 2019, noncurrent loans were 0.48% of total loans at MutualBank; net charge-offs: 0.13% of average loans. Gross loans and leases at MutualBank: $1.5 bn at Q4 2019, against $1.5 bn at Q4 2018.

The peer group of MutualBank is the 6 banks nearest to it by total assets at Q4 2019: 3 larger and 3 smaller. Of the peers, 2 share the charter type of MutualBank (state nonmember bank) and 0 have head offices in Indiana. Against them, MutualBank shows CET1 ratio 13.01% against a peer median of 15.01%, return on equity 10.87% against a peer median of 13.96% and uninsured deposit share 14.51% against a peer median of 41.64%.

The FDIC history of MutualBank, oldest first; figures before and after each event are not like for like.

1. 28 February 2018. Absorbed BloomBank (FDIC certificate 15714).
2. 24 April 2020. Merged into Northwest Bank (FDIC certificate 28178).

Large one-quarter moves at MutualBank

• Total assets at MutualBank changed by +25.6% in the quarter to 2018-03-31: Absorbtion - Without Assistance; Participated in Absorbtion/Consolidation/Merger: acquired from BloomBank.