Ever wondered about Webster Bank net worth? In this quick guide, we’ll dive into the financial depths of Webster, revealing key stats and figures.
Authored by Ando Money, stay tuned for expert insights that’ll give you a clearer financial picture.
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | Webster Bank |
| Full Name | Webster Financial Corporation |
| Traded as | NYSE: WBS |
| ISIN | US9478901096 |
| Founded | 1935 |
| Founders | Harold Webster Smith |
| Country/Territory | United States |
| Headquarters | Stamford, Connecticut |
| Chief Executive Officer | John R. Ciulla |
| Number of Employees | N/A |
| Market Cap | $8.73 billion |
| Total Assets | $75 billion |
| Total equity | N/A |
| Revenue | $667.1 million (Q1 2024) |
| Net Income | $212.2 million (Q1 2024) |
What is the Net Worth/ Market Cap Of Webster Bank in 2024?
As of 2024, Webster Bank’s market cap stands at $8.73 billion. This places it above Comerica ($7.36 billion) and First Horizon National Corp. ($7.91 billion) but well below Goldman Sachs ($143.97 billion).
Webster’s strong financial performance and strategic acquisitions have contributed to its impressive market capitalization, making it a significant player in the US banking sector.
Webster Bank Financial Performance Overview
Key Financial Metrics
Webster Bank’s financial health is underpinned by solid metrics. For the first quarter of 2024, the bank reported a revenue of $667.1 million.
Its net income for the same period was $212.2 million, translating to earnings of $1.23 per diluted share. When adjusted for specific charges, the earnings per share were $1.35.
These figures underscore the bank’s robust financial foundation.
Business Segments and Their Financial Contributions
Webster Bank operates across several business segments, each contributing significantly to its overall financial performance.
Commercial Banking
This segment serves businesses with over $10 million in revenue, offering services such as regional banking, middle market lending, and treasury services.
As of March 31, 2024, Commercial Banking held $39.9 billion in loans and leases and $16.1 billion in deposits.
The segment’s pre-tax net revenue for Q1 2024 was $270.0 million, a slight decrease from the previous year due to lower net interest income and higher non-interest expenses.
Consumer Banking
Catering primarily to individuals and small businesses, this segment includes 196 banking centers and 347 ATMs.
Consumer Banking reported $11.2 billion in loans and $26.9 billion in deposits at the end of Q1 2024. The segment saw a 4% increase in loans and a 4.7% increase in deposits year-over-year.
However, its pre-tax net revenue declined to $119.6 million, impacted by higher rates on deposits and increased non-interest expenses.
Healthcare Financial Services
This segment encompasses HSA Bank and Ametros Financial, focusing on health savings accounts and medical insurance settlements.
With $14.7 billion in total footings, including $9.5 billion in deposits, Healthcare Financial Services reported a 22.3% increase in operating revenue for Q1 2024.
The segment’s net interest income rose significantly, driven by deposit growth and contributions from the Ametros acquisition.
Recent Acquisitions and Their Impact
Webster Bank’s recent acquisitions have played a pivotal role in enhancing its financial performance:
- Sterling National Bank: Acquired in 2022, this merger expanded Webster’s footprint and customer base, adding significant assets and boosting its market presence.
- Ametros Financial: Acquired for $350 million in 2023, Ametros brought additional expertise in managing medical insurance settlements. This acquisition has already contributed positively to the bank’s financials, particularly in the Healthcare Financial Services segment.
Asset Quality and Risk Management
Maintaining high asset quality is crucial for Webster. As of Q1 2024, the allowance for credit losses on loans and leases was $641 million, representing 1.26% of total loans and leases.
The bank’s net charge-offs were $37.5 million, reflecting a slight increase compared to the previous quarter. Nonperforming loans totaled $283.6 million, an increase driven primarily by commercial real estate loans.
Capital and Liquidity Position
Webster’s capital ratios remain strong, with a common equity tier 1 ratio of 10.51%. The bank’s liquidity position is bolstered by a stable deposit base and strategic funding initiatives.
With total deposits of $60.7 billion and total borrowings of $4.9 billion, Webster’s loan-to-deposit ratio is 84.1%, reflecting prudent liquidity management.
Investment Portfolio and Returns
Webster Bank’s investment portfolio, valued at $16.3 billion, includes both available-for-sale and held-to-maturity securities.
Despite market volatility, the bank has managed its portfolio to minimize unrealized losses, which stood at $758.5 million for available-for-sale securities. The bank continues to generate stable returns from its investment activities.
Key Financial Strategies and Future Outlook
Webster Bank’s strategic focus includes expanding its market presence, particularly through acquisitions like Sterling National Bank and Ametros Financial.
The bank aims to enhance its digital banking services and maintain strong asset quality.
Looking ahead, Webster is well-positioned to navigate potential challenges in the banking sector, leveraging its robust financial health and strategic initiatives to drive growth.
FAQs about Webster Bank
What services does Webster Bank offer?
Webster provides personal and business banking, mortgages, financial planning, trust, and investment services. Personal services include checking and savings accounts, credit cards, and loans.
Business services include commercial checking, lending, and treasury management solutions.
How can I access Webster Bank’s online banking?
Enroll on the Webster Bank website to access online banking. Log in with your username and password to manage accounts, transfer funds, pay bills, and deposit checks.
What are the customer service contact details for Webster?
For personal banking support, call 800-325-2424. For business banking, contact 800-482-2220. Both lines are open Monday to Friday from 7:00 am to 10:00 pm, and Saturday to Sunday from 8:00 am to 8:00 pm.
What are the benefits of Webster’s mobile banking?
Mobile banking allows you to view account history, deposit checks, transfer funds, pay bills, and send money via Zelle.
Does Webster offer home equity loans?
Yes, the bank provides home equity loans and lines of credit for purposes such as home improvements, debt consolidation, or major purchases.
How does Webster ensure online banking security?
The bank uses encryption, secure login procedures, and activity monitoring. They also offer resources to help customers protect their information.
What types of business loans does Webster provide?
The bank offers term loans, lines of credit, commercial mortgages, SBA loans, asset-based lending, and equipment financing.
Does Webster offer services for non-profit organizations?
Yes, the bank provides tailored banking solutions for non-profits, including checking and savings accounts, lending, and treasury management.
Conclusion
As one of the prominent banks in the USA, Webster Bank maintains a robust financial position. Their net worth reflects strategic growth and stability.
For deeper insights, stay updated at andomoney.com, where we connect financial trends with everyday banking.
