Close

Form 8-K Silvergate Capital Corp For: Oct 19

FREE Breaking News Alerts from StreetInsider.com!

E-mail Address

StreetInsider.com Top Tickers, 4/18/2024

1. JBHT
2. UAL
3. TSLA
4. SAGE
5. TRV
6. ASML
7. ITCI
8. SLG
9. PLD
10. OMC


October 19, 2021 6:26 AM EDT
silvergatehorlockupblackcma.jpg
Exhibit 99.1
Silvergate Capital Corporation Announces Third Quarter 2021 Results
La Jolla, CA, October 19, 2021 -- Silvergate Capital Corporation (“Silvergate” or “Company”) (NYSE:SI) and its wholly-owned subsidiary, Silvergate Bank (“Bank”), today announced financial results for the three and nine months ended September 30, 2021.
Third Quarter 2021 Highlights
•Net income available to common shareholders for the quarter was $23.5 million, or $0.88 per diluted share, compared to net income of $20.9 million, or $0.80 per diluted share, for the second quarter of 2021, and net income of $7.1 million, or $0.37 per diluted share, for the third quarter of 2020
•The Silvergate Exchange Network (“SEN”) handled $162.0 billion of U.S. dollar transfers in the third quarter of 2021, a decrease of 32% compared to $239.6 billion in the second quarter of 2021, and an increase of 342% compared to $36.7 billion in the third quarter of 2020
•Total SEN Leverage commitments were $322.5 million at September 30, 2021, compared to $258.5 million at June 30, 2021, and $35.5 million at September 30, 2020
•Digital currency customer related fee income for the quarter was $8.1 million, compared to $11.3 million for the second quarter of 2021, and $3.3 million for the third quarter of 2020
•Digital currency customers grew to 1,305 at September 30, 2021, compared to 1,224 at June 30, 2021, and 928 at September 30, 2020
•Average digital currency customer deposits grew to $11.2 billion during the third quarter of 2021, compared to $9.9 billion during the second quarter of 2021
•Completed previously announced $200 million depository share offering, for net proceeds of $193.7 million after deducting underwriting discounts and offering expenses
Alan Lane, president and chief executive officer of Silvergate, commented, “Silvergate had another great quarter, underscored by record quarterly pre-tax income, continued platform growth, and an expanding balance sheet. In the third quarter we grew average digital currency deposits to $11.2 billion, the highest in our history, added new digital currency customers to the SEN, and further increased SEN Leverage commitments and balances. Our strong results and increasingly diverse earnings stream highlight the important roles that we play in serving our customers in the still nascent digital currency industry.”
1

As of or for the Three Months Ended
September 30,
2021		June 30,
2021		September 30,
2020
Financial Highlights(Dollars in thousands, except per share data)
Net income available to common shareholders
$23,492 $20,935 $7,060 
Diluted earnings per common share$0.88 $0.80 $0.37 
Return on average assets (ROAA)(1)
0.75 %0.77 %1.13 %
Return on average common equity (ROACE)(1)
10.45 %10.40 %10.14 %
Net interest margin(1)(2)
1.26 %1.16 %3.19 %
Cost of deposits(1)(3)
0.00 %0.00 %0.01 %
Cost of funds(1)(3)
0.01 %0.01 %0.07 %
Efficiency ratio(4)
43.20 %50.69 %61.74 %
Total assets
$12,776,621 $12,289,476 $2,620,573 
Total deposits
$11,662,520 $11,371,556 $2,281,108 
Book value per common share
$33.10 $32.84 $15.18 
Tier 1 leverage ratio
8.71 %7.91 %10.36 %
Total risk-based capital ratio
51.13 %48.00 %24.68 %
________________________
(1)Data has been annualized.
(2)Net interest margin is a ratio calculated as annualized net interest income, on a fully taxable equivalent basis for interest income on tax-exempt securities using the federal statutory tax rate of 21.0%, divided by average interest earning assets for the same period.
(3)Cost of deposits and cost of funds for the second quarter of 2020 includes interest expense and accelerated premium amortization expense related to callable brokered certificates of deposit that were called during the second quarter of 2020.
(4)Efficiency ratio is calculated by dividing noninterest expenses by net interest income plus noninterest income.

Digital Currency Initiative
At September 30, 2021, the Company’s digital currency customers increased to 1,305 from 1,224 at June 30, 2021, and from 928 at September 30, 2020. At September 30, 2021, prospective digital currency customer leads in various stages of the customer onboarding process and pipeline remained above 200. For the third quarter of 2021, $162.0 billion of U.S. dollar transfers occurred on the SEN, a 32% decrease from $239.6 billion transfers in the second quarter of 2021, and an increase of 342% compared to $36.7 billion in the third quarter of 2020. Based on digital currency industry transaction data provided by Coin Metrics, bitcoin and ether dollar trading volumes decreased by 43% during the third quarter of 2021 compared to the second quarter of 2021. The Company will no longer provide data related to the number of SEN transactions conducted quarterly but will continue to report quarterly SEN dollar volumes as industry data from Coin Metrics is more highly correlated to this metric.

Results of Operations, Quarter Ended September 30, 2021
Net Interest Income and Net Interest Margin Analysis (Taxable Equivalent Basis)
The Company’s securities portfolio includes tax-exempt municipal bonds with tax-exempt income from these securities calculated and presented below on a taxable equivalent basis. Net interest income, net interest spread and net interest margin are presented on a taxable equivalent basis to consistently reflect income from taxable securities and tax-exempt securities based on the federal statutory tax rate of 21.0%.
Net interest income on a taxable equivalent basis totaled $39.0 million for the third quarter of 2021, compared to $31.2 million for the second quarter of 2021, and $19.4 million for the third quarter of 2020.
Compared to the second quarter of 2021, net interest income increased $7.8 million, due to increased interest income, with the largest driver being higher balances of securities, while interest expense remained flat. Average total interest earning assets increased by $1.5 billion for the third quarter of 2021 compared to the second quarter of 2021, primarily due to increased digital currency related deposits that were invested in securities in the second and third quarter of 2021. The average yield on interest earning assets increased from 1.17% for the second quarter of 2021 to 1.27% for the third quarter of
2

2021, primarily due to a higher proportion of securities and a lower proportion of lower yielding interest earnings deposits in other banks. Average interest bearing liabilities decreased $20.6 million for the third quarter of 2021 compared to the second quarter of 2021, due to a decrease in interest bearing deposits. The average rate paid on total interest bearing liabilities increased from 1.02% for the second quarter of 2021 to 1.17% for the third quarter of 2021, driven by the decrease in lower cost interest bearing deposits, which resulted in a larger proportion of higher cost subordinated debentures as a percentage of total interest bearing liabilities.
Compared to the third quarter of 2020, net interest income increased $19.6 million, due to an increase of $19.5 million in interest income and a decrease of $0.1 million in interest expense. Average total interest earning assets increased by $9.8 billion for the third quarter of 2021 compared to the third quarter of 2020, due to an increase in noninterest bearing deposits, which resulted in higher levels of interest earning deposits in other banks and securities. In addition, average loans increased by 23.4% due to increases in mortgage warehouse loans, driven by elevated mortgage refinance activity and increased SEN Leverage lending, which was launched in the first quarter of 2020. The average yield on total interest earning assets decreased from 3.25% for the third quarter of 2020 to 1.27% for the third quarter of 2021, primarily due to interest earning deposits in other banks being a greater percentage of interest earning assets, and lower yields on recently purchased securities. Average interest bearing liabilities decreased $156.7 million for the third quarter of 2021 compared to the third quarter of 2020, due to reduced FHLB advances in 2021 and lower balances of interest bearing deposits. The average rate on total interest bearing liabilities increased from 0.60% for the third quarter of 2020 to 1.17% for the third quarter of 2021, primarily due to the decrease in lower cost FHLB advances and interest bearing deposits, which resulted in a larger proportion of higher cost subordinated debentures as a percentage of total interest bearing liabilities.
Net interest margin for the third quarter of 2021 was 1.26%, compared to 1.16% for the second quarter of 2021, and 3.19% for the third quarter of 2020. The increase in the net interest margin compared to the second quarter of 2021 was primarily driven by the increase in the proportion of securities compared to lower yielding interest earning deposits in other banks. The net interest margin decrease from the third quarter of 2020 was primarily due to a higher proportion of interest earning deposits as a percentage of total interest earning assets, as well as lower yields on securities due to a declining interest rate environment.
3

Three Months Ended
September 30, 2021June 30, 2021September 30, 2020
Average
Outstanding
Balance		Interest
Income/
Expense
Average
Yield/
Rate
Average
Outstanding
Balance		Interest
Income/
Expense		Average
Yield/
Rate		Average
Outstanding
Balance		Interest
Income/
Expense		Average
Yield/
Rate
(Dollars in thousands)
Assets
Interest earning assets:
Interest earning deposits in other banks$4,104,776 $1,755 0.17 %$5,603,397 $1,599 0.11 %$245,855 $196 0.32 %
Taxable securities5,449,202 14,000 1.02 %2,937,659 8,324 1.14 %679,277 3,746 2.19 %
Tax-exempt securities(1)
1,187,452 6,347 2.12 %698,149 3,953 2.27 %267,511 2,177 3.24 %
Loans(2)(3)
1,493,590 16,972 4.51 %1,541,373 17,158 4.46 %1,209,884 13,527 4.45 %
Other31,028 195 2.49 %29,394 466 6.36 %15,112 116 3.05 %
Total interest earning assets12,266,048 39,269 1.27 %10,809,972 31,500 1.17 %2,417,639 19,762 3.25 %
Noninterest earning assets197,477 121,288 68,327 
Total assets$12,463,525 $10,931,260 $2,485,966 
Liabilities and Shareholders’ Equity
Interest bearing liabilities:
Interest bearing deposits$76,898 $26 0.13 %$97,463 $35 0.14 %$108,755 $57 0.21 %
FHLB advances and other borrowings1 — 0.00 %44 — — 124,886 65 0.21 %
Subordinated debentures15,839 247 6.19 %15,836 252 6.38 %15,825 257 6.46 %
Total interest bearing liabilities92,738 273 1.17 %113,343 287 1.02 %249,466 379 0.60 %
Noninterest bearing liabilities:
Noninterest bearing deposits11,305,650 9,980,680 1,935,661 
Other liabilities50,657 29,586 23,860 
Shareholders’ equity1,014,480 807,651 276,979 
Total liabilities and shareholders’ equity
$12,463,525 $10,931,260 $2,485,966 
Net interest spread(4)
0.10 %0.15 %2.65 %
Net interest income, taxable equivalent basis$38,996 $31,213 $19,383 
Net interest margin(5)
1.26 %1.16 %3.19 %
Reconciliation to reported net interest income:
Adjustments for taxable equivalent basis(1,333)(830)(457)
Net interest income, as reported$37,663 $30,383 $18,926 
________________________
(1)Interest income on tax-exempt securities is presented on a taxable equivalent basis using the federal statutory tax rate of 21.0% for all periods presented.
(2)Loans include nonaccrual loans and loans held-for-sale, net of deferred fees and before allowance for loan losses.
(3)Interest income includes amortization of deferred loan fees, net of deferred loan costs.
(4)Net interest spread is the difference between interest rates earned on interest earning assets and interest rates paid on interest bearing liabilities.
(5)Net interest margin is a ratio calculated as annualized net interest income, on a taxable equivalent basis, divided by average interest earning assets for the same period.
Provision for Loan Losses
The Company did not record a provision for loan losses for the third quarter of 2021, the second quarter of 2021, or for the third quarter of 2020 as a result of management’s assessment of the level of the allowance for loan losses, and the amount and mix of the loan portfolio, among other factors.
Noninterest Income
Noninterest income for the third quarter of 2021 was $14.0 million, an increase of $2.0 million, or 16.3%, from the second quarter of 2021. The primary driver of this increase was a $5.2 million gain on sale of securities offset by a $3.1 million, or 27.7%, decrease in deposit related fees as a result of lower cash management fees from digital currency related customers.
4

Noninterest income for the third quarter of 2021 increased by $10.1 million, or 254.2%, compared to the third quarter of 2020. This increase was primarily due to a $5.2 million increase in gain on sale of securities and a $4.9 million, or 148.1%, increase in deposit related fees, partially offset by a $0.1 million, or 12.3% decrease in mortgage warehouse fee income.
Three Months Ended
September 30,
2021		June 30,
2021		September 30,
2020
(Dollars in thousands)
Noninterest income:
Mortgage warehouse fee income$665 $753 $758 
Service fees related to off-balance sheet deposits— — 1 
Deposit related fees8,171 11,308 3,293 
Gain on sale of securities, net5,182 — — 
Loss on sale of loans, net— — (96)
Other income24 8 8 
Total noninterest income$14,042 $12,069 $3,964 
Noninterest Expense
Noninterest expense totaled $22.3 million for the third quarter of 2021, an increase of $0.8 million, or 3.8%, compared to the second quarter of 2021, and an increase of $8.2 million, or 58.1%, compared to the third quarter of 2020. The increase in noninterest expense compared to prior quarter was due to an increase in salaries and employee benefits and federal deposit insurance. The increase in noninterest expense from the third quarter of 2020 was primarily driven by increased federal deposit insurance expense resulting from the significant growth in digital currency deposits and by ongoing investments related to strategic growth initiatives.
Three Months Ended
September 30,
2021		June 30,
2021		September 30,
2020
(Dollars in thousands)
Noninterest expense:
Salaries and employee benefits$10,729 $10,260 $8,899 
Occupancy and equipment523 599 845 
Communications and data processing1,793 1,796 1,389 
Professional services2,471 2,594 1,207 
Federal deposit insurance4,297 3,844 209 
Correspondent bank charges572 812 403 
Other loan expense299 280 60 
Other general and administrative1,655 1,334 1,121 
Total noninterest expense$22,339 $21,519 $14,133 
Income Tax Expense (Benefit)
Income tax expense was $5.9 million for the third quarter of 2021, compared to a benefit of $2,000 for the second quarter of 2021, and an expense of $1.7 million for the third quarter of 2020. Our effective tax rate for the third quarter of 2021 was 20.0%, compared to zero for the second quarter of 2021, and 19.4% for the third quarter of 2020. The lower effective tax rate for the second quarter of 2021 was due to significant tax benefits recognized on the exercise of stock options.
Balance Sheet
Deposits
At September 30, 2021, deposits totaled $11.7 billion, an increase of $291.0 million, or 2.6%, from June 30, 2021, and an increase of $9.4 billion, or 411.3%, from September 30, 2020. Noninterest bearing deposits totaled $11.6 billion, representing approximately 99.3% of total deposits at September 30, 2021, an increase of $295.7 million from the prior
5

quarter end, and a $9.4 billion increase compared to September 30, 2020. The increase in total deposits from the prior year quarter end was driven by an increase in deposits from digital currency exchanges, institutional investors in digital assets and other fintech related customers. The Bank’s 10 largest depositors accounted for $5.3 billion in deposits, or approximately 45.6% of total deposits at September 30, 2021, compared to $5.3 billion in deposits, or approximately 46.7% of total deposits at June 30, 2021, substantially all of which are from customers operating in the digital currency industry.
Our continued growth has been accompanied by significant fluctuations in the level of our deposits, in particular our deposits from customers operating in the digital currency industry, as our customers in this industry typically carry higher balances over the weekend to take advantage of the 24/7 availability of the SEN, and carry lower balances during the business week. The Bank’s average total digital currency customer deposits during the third quarter of 2021 amounted to $11.2 billion, the high and low daily total digital currency deposit levels during such time were $12.6 billion and $9.8 billion, respectively, compared to an average of $9.9 billion during the second quarter of 2021, and high and low daily deposit levels of $11.8 billion and $6.8 billion, respectively.
Demand for new deposit accounts is generated by the Company’s banking platform for innovators that includes the SEN, which is enabled through Silvergate’s proprietary API, and other cash management solutions. These tools enable Silvergate’s customers to grow their businesses and scale operations. The following table sets forth a breakdown of the Company’s digital currency customer base and the deposits held by such customers at the dates noted below:
September 30, 2021June 30, 2021September 30, 2020
Number of Customers
Total Deposits(1)
Number of Customers
Total Deposits(1)
Number of Customers
Total Deposits(1)
(Dollars in millions)
Digital currency exchanges94 $6,759 93 $5,395 69 $729 
Institutional investors830 3,344 771 3,986 599 850 
Other customers381 1,365 360 1,734 260 515 
Total1,305 $11,468 1,224 $11,114 928 $2,095 
________________________
(1)Total deposits may not foot due to rounding.
The weighted average cost of deposits for the third quarter of 2021 and for the second quarter of 2021 was 0.00%, compared to 0.01% for the third quarter of 2020.
Three Months Ended
September 30, 2021June 30, 2021September 30, 2020
Average
Balance
Average
Rate
Average
Balance
Average
Rate
Average
Balance
Average
Rate
(Dollars in thousands)
Noninterest bearing demand accounts$11,305,650 — $9,980,680 — $1,935,661 — 
Interest bearing accounts:
Interest bearing demand accounts8,597 0.05 %27,303 0.12 %41,871 0.10 %
Money market and savings accounts67,735 0.14 %69,527 0.15 %65,646 0.25 %
Certificates of deposit566 0.70 %633 0.63 %1,238 1.29 %
Total interest bearing deposits76,898 0.13 %97,463 0.14 %108,755 0.21 %
Total deposits$11,382,548 0.00 %$10,078,143 0.00 %$2,044,416 0.01 %
Loan Portfolio
Total loans, including net loans held-for-investment and loans held for sale, were $1.6 billion at September 30, 2021, an increase of $139.5 million, or 9.4%, from June 30, 2021, and an increase of $226.5 million, or 16.2%, from September 30, 2020.
6

September 30,
2021		June 30,
2021		September 30,
2020
(Dollars in thousands)
Real estate loans:
One-to-four family$119,817 $144,247 $209,040 
Multi-family54,636 67,704 72,714 
Commercial250,295 272,948 316,653 
Construction6,046 5,481 13,854 
Commercial and industrial(1)
254,624 204,279 25,951 
Reverse mortgage and other1,385 1,364 6,881 
Mortgage warehouse128,975 49,897 94,684 
Total gross loans held-for-investment815,778 745,920 739,777 
Deferred fees, net883 1,151 2,843 
Total loans held-for-investment816,661 747,071 742,620 
Allowance for loan losses(6,916)(6,916)(6,763)
Loans held-for-investment, net809,745 740,155 735,857 
Loans held-for-sale(2)
818,447 748,577 665,842 
Total loans$1,628,192 $1,488,732 $1,401,699 
________________________
(1)Commercial and industrial loans includes $254.5 million, $203.4 million and $22.4 million of SEN Leverage loans as of September 30, 2021, June 30, 2021 and September 30, 2020, respectively.
(2)Loans held-for-sale are comprised entirely of mortgage warehouse loans for all periods presented.
Asset Quality and Allowance for Loan Losses
The allowance for loan losses was unchanged at $6.9 million at September 30, 2021, compared to June 30, 2021 and increased slightly from $6.8 million at September 30, 2020. The ratio of the allowance for loan losses to gross loans held-for-investment at September 30, 2021 was 0.85%, compared to 0.93% and 0.91% at June 30, 2021 and September 30, 2020, respectively.
Nonperforming assets totaled $5.8 million, or 0.05% of total assets, at September 30, 2021, a decrease of $1.7 million from $7.5 million, or 0.06% of total assets at June 30, 2021. Nonperforming assets increased $1.7 million, from $4.1 million, or 0.16%, of total assets, at September 30, 2020.
September 30,
2021		June 30,
2021		September 30,
2020
Asset Quality(Dollars in thousands)
Nonperforming Assets:
Nonperforming loans
$5,845$7,508$4,107
Troubled debt restructurings
$1,867$1,437$1,572
Other real estate owned, net
——$27
Nonperforming assets
$5,845$7,508$4,134
Asset Quality Ratios:
Nonperforming assets to total assets
0.05 %0.06 %0.16 %
Nonperforming loans to gross loans(1)
0.72 %1.01 %0.56 %
Nonperforming assets to gross loans and other real estate owned(1)
0.72 %1.01 %0.56 %
Net charge-offs (recoveries) to average total loans(1)
0.00 %0.00 %0.00 %
Allowance for loan losses to gross loans(1)
0.85 %0.93 %0.91 %
Allowance for loan losses to nonperforming loans
118.32 %92.12 %164.67 %
________________________
(1)Loans exclude loans held-for-sale at each of the dates presented.
7

Coronavirus Disease 2019 (“COVID-19”) Update
As of September 30, 2021, the majority of COVID-19 related deferred loans have returned to paying, and only an immaterial amount of loans are still being deferred.
In April 2020, the Company implemented a short-term loan modification program for customers impacted financially by the COVID-19 pandemic to provide temporary relief to certain borrowers who meet the program’s qualifications. Due to the fluid nature of COVID-19, this program has been evolving in order to provide maximum relief to bank borrowers. As of September 30, 2021, the remaining loans in deferral due to COVID-19 are as follows:

Loan Balance
At Period End
Percentage of
Gross Loans Held-for-Investment
 (Dollars in thousands)
COVID-19 related modifications:
Real estate loans:
One-to-four family$226 0.0%
Securities
Securities available-for-sale increased $1.1 billion, or 17.1%, from $6.2 billion at June 30, 2021, and increased $6.3 billion, or 666.2%, from $944.2 million at September 30, 2020, to $7.2 billion at September 30, 2021. The Company purchased $1.6 billion of securities in the third quarter of 2021, including $530.9 million of agency residential mortgage-backed securities, $354.3 million of municipal bonds, $516.6 million of U.S. agency securities excluding mortgage-backed securities, $135.0 million of agency commercial mortgage-backed securities, and $21.0 million of private-label commercial mortgage-backed securities, bringing total year to date securities purchases to $6.9 billion as of September 30, 2021. During the third quarter of 2021, the Company sold $338.9 million of securities and recognized a gain of $5.2 million.
Capital Ratios
At September 30, 2021, the Company’s ratio of common equity to total assets was 6.88%, compared with 7.08% at June 30, 2021, and 10.83% at September 30, 2020. At September 30, 2021, the Company’s book value per common share was $33.10, compared to $32.84 at June 30, 2021, and $15.18 at September 30, 2020.
At September 30, 2021, the Company had a tier 1 leverage ratio of 8.71%, common equity tier 1 capital ratio of 40.98%, tier 1 risk-based capital ratio of 50.80% and total risk-based capital ratio of 51.13%.
At September 30, 2021, the Bank had a tier 1 leverage ratio of 8.24%, common equity tier 1 capital ratio of 48.04%, tier 1 risk-based capital ratio of 48.04% and total risk-based capital ratio of 48.37%. These capital ratios each exceeded the “well capitalized” standards defined by federal banking regulations of 5.00% for tier 1 leverage ratio, 6.5% for common equity tier 1 capital ratio, 8.00% for tier 1 risk-based capital ratio and 10.00% for total risk-based capital ratio.
8

Capital Ratios(1)
September 30,
2021		June 30,
2021		September 30,
2020
The Company
Tier 1 leverage ratio8.71 %7.91 %10.36 %
Common equity tier 1 capital ratio40.98 %46.75 %22.58 %
Tier 1 risk-based capital ratio50.80 %47.61 %24.03 %
Total risk-based capital ratio51.13 %48.00 %24.68 %
Common equity to total assets6.88 %7.08 %10.83 %
The Bank
Tier 1 leverage ratio8.24 %7.88 %9.84 %
Common equity tier 1 capital ratio48.04 %47.29 %22.82 %
Tier 1 risk-based capital ratio48.04 %47.29 %22.82 %
Total risk-based capital ratio48.37 %47.69 %23.47 %
________________________
(1)September 30, 2021 capital ratios are preliminary.
Equity Offerings
On August 4, 2021, the Company issued and sold 8,000,000 depositary shares (the “Depositary Shares”), each representing a 1/40th interest in a share of 5.375% Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A, par value $0.01 per share (the “Series A Preferred Stock”), with a liquidation preference of $1,000 per share of Series A Preferred Stock, equivalent to $25 per Depositary Share. The aggregate gross proceeds of the offering were $200.0 million and net proceeds to the Company were approximately $193.7 million after deducting underwriting discounts and offering expenses. When, as and if declared by our board of directors, or a duly authorized committee, of the Company, dividends will be payable from the date of issuance, quarterly in arrears, beginning on November 15, 2021. The Company may redeem the Series A Preferred Stock at its option, subject to regulatory approval, on or after August 15, 2026.
Subsequent Event
On October 14, 2021, the Company’s Board of Directors declared the first quarterly dividend payment of $15.08 per share, equivalent to $0.377 per depositary share, on its Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A, for the period covering August 4, 2021 through November 14, 2021, for a total dividend of $3.0 million. The depositary shares representing the Series A Preferred Stock are traded on the New York Stock Exchange under the symbol “SI.PRA.” The dividend will be payable on November 15, 2021 to shareholders of record of the preferred stock as of October 29, 2021.
Conference Call and Webcast
The Company will host a conference call on Tuesday, October 19, 2021 at 11:00 a.m. (Eastern Time) to present and discuss second quarter 2021 financial results. The conference call can be accessed live by dialing 1-844-378-6480 or for international callers, 1-412-317-1088, and requesting to be joined to the Silvergate Capital Corporation Third Quarter 2021 Earnings Conference Call. A replay will be available starting at 1:00 p.m. (Eastern Time) on October 19, 2021 and can be accessed by dialing 1-877-344-7529, or for international callers 1-412-317-0088. The passcode for the replay is 10160499. The replay will be available until 11:59 p.m. (Eastern Time) on November 2, 2021.
Interested investors and other parties may also listen to a simultaneous webcast of the conference call by logging onto the investor relations section of the Company's website at https://ir.silvergate.com. The online replay will remain available for a limited time beginning immediately following the call.
About Silvergate
Silvergate Capital Corporation (NYSE: SI) is the leading provider of innovative financial infrastructure solutions and services for the growing digital currency industry. The Company’s real-time payments platform, known as the Silvergate Exchange Network, is at the heart of its customer-centric suite of payments, lending and funding solutions serving an expanding class of digital currency companies and investors around the world. Silvergate is enabling the rapid growth of digital currency markets and reshaping global commerce for a digital currency future.
9

Forward Looking Statements
Statements in this earnings release may constitute forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended. These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as “may,” “should,” “could,” “predict,” “potential,” “believe,” “will likely result,” “expect,” “continue,” “will,” “anticipate,” “seek,” “estimate,” “intend,” “plan,” “project,” “projection,” “forecast,” “goal,” “target,” “would,” “aim” and “outlook,” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These forward-looking statements are not historical facts, and are based on current expectations, estimates and projections about our industry and management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. The inclusion of these forward-looking statements should not be regarded as a representation by us or any other person that such expectations, estimates and projections will be achieved. Although we believe that the expectations reflected in these forward-looking statements are reasonable as of the date made, such forward-looking statements are not guarantees of future performance and are subject to risks, assumptions and uncertainties that are difficult to predict. For information about other important factors that could cause actual results to differ materially from those discussed in the forward-looking statements contained in this release, please refer to the Company's public reports filed with the U.S. Securities and Exchange Commission.
Further, given its ongoing and dynamic nature, it is difficult to predict the full impact of the COVID-19 outbreak on our business. The extent of such impact will depend on future developments, which are highly uncertain, including when the coronavirus can be controlled and abated and when and how the economy may be reopened. As the result of the COVID-19 pandemic and the related adverse local and national economic consequences, we could be subject to any of the following risks, any of which could have a material, adverse effect on our business, financial condition, liquidity, and results of operations: the demand for our products and services may decline, making it difficult to grow assets and income; if the economy is unable to fully reopen, and high levels of unemployment continue for an extended period of time, loan delinquencies, problem assets, and foreclosures may increase, resulting in increased charges and reduced income; collateral for loans, especially real estate, may decline in value, which could cause loan losses to increase; our allowance for loan losses may increase if borrowers experience financial difficulties, which will adversely affect our net income; the net worth and liquidity of loan guarantors may decline, impairing their ability to honor commitments to us; as the result of the decline in the Federal Reserve Board’s target federal funds rate to near 0%, the yield on our assets may decline to a greater extent than the decline in our cost of interest-bearing liabilities, reducing our net interest margin and spread and reducing net income; our cyber security risks are increased as the result of an increase in the number of employees working remotely; and FDIC premiums may increase if the agency experiences additional resolution costs.
Any forward-looking statement speaks only as of the date of this earnings release, and we do not undertake any obligation to publicly update or review any forward-looking statement, whether because of new information, future developments or otherwise, except as required by law. New risks and uncertainties may emerge from time to time, and it is not possible for us to predict their occurrence. In addition, we cannot assess the impact of each risk and uncertainty on our business or the extent to which any risk or uncertainty, or combination of risks and uncertainties, may cause actual results to differ materially from those contained in any forward-looking statements.

Investor Relations Contact:
Hunter Stenback / Ashna Vasa
858-200-3782
investors@silvergate.com

Source: Silvergate Capital Corporation
10

SILVERGATE CAPITAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(In Thousands)
(Unaudited)
September 30,
2021		June 30,
2021		March 31,
2021		December 31,
2020		September 30,
2020
ASSETS
Cash and due from banks$168,628 $52,859 $16,422 $16,405 $15,152 
Interest earning deposits in other banks3,615,860 4,415,458 4,315,100 2,945,682 182,330 
Cash and cash equivalents3,784,488 4,468,317 4,331,522 2,962,087 197,482 
Trading securities, at fair value— 26,998 1,990 — — 
Securities available-for-sale, at fair value7,234,216 6,176,778 1,717,418 939,015 944,161 
Loans held-for-sale, at lower of cost or fair value818,447 748,577 897,227 865,961 665,842 
Loans held-for-investment, net of allowance for loan losses 809,745 740,155 728,390 746,751 735,857 
Federal home loan and federal reserve bank stock, at cost34,010 29,460 14,851 14,851 14,839 
Accrued interest receivable32,154 24,505 9,432 8,698 7,385 
Premises and equipment, net1,483 1,604 1,758 2,072 3,122 
Derivative assets37,210 39,454 34,442 31,104 34,138 
Other assets24,868 33,628 20,122 15,696 17,747 
Total assets$12,776,621 $12,289,476 $7,757,152 $5,586,235 $2,620,573 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits:
Noninterest bearing demand accounts$11,586,318 $11,290,638 $6,889,281 $5,133,579 $2,164,326 
Interest bearing accounts76,202 80,918 113,090 114,447 116,782 
Total deposits11,662,520 11,371,556 7,002,371 5,248,026 2,281,108 
Federal home loan bank advances
— — — — 10,000 
Subordinated debentures, net15,841 15,838 15,834 15,831 15,827 
Accrued expenses and other liabilities
26,179 31,575 25,326 28,079 29,877 
Total liabilities11,704,540 11,418,969 7,043,531 5,291,936 2,336,812 
Commitments and contingencies
Preferred stock
2 — — — — 
Class A common stock265 265 248 188 186 
Class B non-voting common stock— — — 1 1 
Additional paid-in capital
891,611 697,070 551,798 129,726 132,647 
Retained earnings
175,485 151,993 131,058 118,348 109,229 
Accumulated other comprehensive income4,718 21,179 30,517 46,036 41,698 
Total shareholders’ equity1,072,081 870,507 713,621 294,299 283,761 
Total liabilities and shareholders’ equity$12,776,621 $12,289,476 $7,757,152 $5,586,235 $2,620,573 
11

SILVERGATE CAPITAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In Thousands, Except Per Share Data)
(Unaudited)
Three Months EndedNine Months Ended
September 30,
2021		June 30,
2021		September 30,
2020		September 30,
2021		September 30,
2020
Interest income
Loans, including fees$16,972 $17,158 $13,527 $50,727 $38,358 
Taxable securities14,000 8,324 3,746 25,916 13,917 
Tax-exempt securities5,014 3,123 1,720 9,832 3,345 
Other interest earning assets1,755 1,599 196 4,633 1,325 
Dividends and other195 466 116 804 437 
Total interest income37,936 30,670 19,305 91,912 57,382 
Interest expense
Deposits26 35 57 107 5,760 
Federal home loan bank advances— — 65 — 336 
Subordinated debentures and other247 252 257 744 830 
Total interest expense273 287 379 851 6,926 
Net interest income before provision for loan losses
37,663 30,383 18,926 91,061 50,456 
Provision for loan losses— — — — 589 
Net interest income after provision for loan losses
37,663 30,383 18,926 91,061 49,867 
Noninterest income
Mortgage warehouse fee income665 753 758 2,372 1,590 
Service fees related to off-balance sheet deposits— — 1 — 78 
Deposit related fees8,171 11,308 3,293 26,603 7,497 
Gain on sale of securities, net5,182 — — 5,182 3,753 
(Loss) gain on sale of loans, net— — (96)— 354 
Gain on extinguishment of debt— — — — 925 
Other income24 8 8 44 132 
Total noninterest income14,042 12,069 3,964 34,201 14,329 
Noninterest expense
Salaries and employee benefits10,729 10,260 8,899 31,979 26,856 
Occupancy and equipment523 599 845 1,736 2,646 
Communications and data processing1,793 1,796 1,389 5,210 3,963 
Professional services2,471 2,594 1,207 6,782 3,297 
Federal deposit insurance4,297 3,844 209 10,437 514 
Correspondent bank charges572 812 403 1,881 1,123 
Other loan expense299 280 60 753 281 
Other general and administrative1,655 1,334 1,121 4,686 3,300 
Total noninterest expense22,339 21,519 14,133 63,464 41,980 
Income before income taxes
29,366 20,933 8,757 61,798 22,216 
Income tax expense (benefit)5,874 (2)1,697 4,661 5,297 
Net income
23,492 20,935 7,060 57,137 16,919 
Dividends on preferred stock
— — — — — 
Net income available to common shareholders
$23,492 $20,935 $7,060 $57,137 $16,919 
Basic earnings per common share$0.89 $0.81 $0.38 $2.29 $0.91 
Diluted earnings per common share$0.88 $0.80 $0.37 $2.26 $0.88 
Weighted average common shares outstanding:
Basic26,525 25,707 18,682 24,927 18,674 
Diluted26,766 26,102 19,134 25,308 19,119 
12
Silvergate Capital Corporation 3Q21 Earnings Presentation October 19, 2021 Exhibit 99.2

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 2 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Forward Looking Statements This presentation contains forward looking statements within the meaning of the Securities and Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by the use of words such as “may,” “will,” “anticipates,” “believes,” “expects,” “plans,” “estimates,” “potential,” “continue,” “should,” and similar words or phrases. These statements are based upon current and anticipated economic conditions, nationally and in the Company’s market, interest rates and interest rate policy, competitive factors and other conditions which by their nature, are not susceptible to accurate forecast and are subject to significant uncertainty. For details on factors that could affect these expectations, see the risk factors and other cautionary language included in the Company’s periodic and current reports filed with the U.S. Securities and Exchange Commission. Because of these uncertainties and the assumptions on which this presentation and the forward-looking statements are based, actual future operations and results may differ materially from those indicated herein. Readers are cautioned against placing undue reliance on any such forward-looking statements. The Company’s past results are not necessarily indicative of future performance. Further, given its ongoing and dynamic nature, it is difficult to predict the full impact of the COVID-19 outbreak on our business. The extent of such impact will depend on future developments, which are highly uncertain, including when the coronavirus can be controlled and abated and when and how the economy may be fully reopened. As the result of the COVID-19 pandemic and the related adverse local and national economic consequences, we could be subject to any of the following risks, any of which could have a material, adverse effect on our business, financial condition, liquidity, and results of operations: the demand for our products and services may decline, making it difficult to grow assets and income; if the economy is unable to fully reopen as planned, and high levels of unemployment continue for an extended period of time, loan delinquencies, problem assets, and foreclosures may increase, resulting in increased charges and reduced income; collateral for loans, especially real estate, may decline in value, which could cause loan losses to increase; our allowance for loan losses may increase if borrowers experience financial difficulties, which will adversely affect our net income; the net worth and liquidity of loan guarantors may decline, impairing their ability to honor commitments to us; as the result of the decline in the Federal Reserve Board’s target federal funds rate to near 0%, the yield on our assets may decline to a greater extent than the decline in our cost of interest-bearing liabilities, reducing our net interest margin and spread and reducing net income; our cyber security risks are increased as the result of an increase in the number of employees working remotely; and FDIC premiums may increase if the agency experiences additional resolution costs. The Company does not undertake to publicly revise or update forward-looking statements in this presentation to reflect events or circumstances that arise after the date of this presentation, except as may be required under applicable law. The Company makes no representation that subsequent to delivery of the presentation it was not altered. For the most current, accurate information, please refer to the investor relations section of the Company's website at https://ir.silvergatebank.com. Silvergate “Silvergate Bank” and its logos and other trademarks referred to and included in this presentation belong to us. Solely for convenience, we refer to our trademarks in this presentation without the ® or the ™ or symbols, but such references are not intended to indicate that we will not fully assert under applicable law our trademark rights. Other service marks, trademarks and trade names referred to in this presentation, if any, are the property of their respective owners, although for presentational convenience we may not use the ® or the ™ symbols to identify such trademarks. In this presentation, we refer to Silvergate Capital Corporation as “Silvergate” or the “Company” and to Silvergate Bank as the “Bank”.

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 3 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Growth Fueled by Powerful Network Effects Digital Currency Customers SEN LeverageTransaction Revenue SEN Utilization (SEN Transfer $) 928 969 1,104 1,224 1,305 3Q20 4Q20 1Q21 2Q21 3Q21 $36.7 $59.2 $166.5 $239.6 $162.0 3Q20 4Q20 1Q21 2Q21 3Q21 $3.3 $3.8 $7.1 $11.3 $8.1 3Q20 4Q20 1Q21 2Q21 3Q21 $35.5 $82.5 $196.5 $258.5 $322.5 3Q20 4Q20 1Q21 2Q21 3Q21___________ Note: Transaction revenue represents fee income from digital currency customers. SEN Leverage balances reflect total approved lines of credit. ($ in billions) ($ in millions)($ in millions)

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 4 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Broader Crypto Industry Trends % Change in Dollar Volume by Quarter 2% 71% 245% 25% (43)% 64% 62% 181% 44% (32)% BTC and ETH Spot Trading Volume SEN Transfers 3Q20 4Q20 1Q21 2Q21 3Q21 ($ in billions) ___________ Note: Industry data is provided by Coin Metrics (www.coinmetrics.io). $321 $549 $1,895 $2,370 $1,360 $36.7 $59.2 $166.5 $239.6 $162.0 BTC and ETH Spot Trading Volume $ SEN Transfers $ 3Q20 4Q20 1Q21 2Q21 3Q21 Commentary • Industry volume is based on Bitcoin and Ethereum daily trusted spot volume as defined by Coin Metrics from exchanges that they consider the most accurate and trustworthy • Strong correlation between SEN dollar volume and industry volume by quarter Dollar Trading Volume

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 5 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C 3Q21 Financial Results (In millions, except per share data) ___________ Note: N/M - Not meaningful. Balance sheet data as of September 30, 2021, except for diluted weighted average shares. Totals may not foot due to rounding. 3Q21 vs Highlights3Q21 2Q21 3Q20 % Inc / (Dec) Income Statement Net interest income $ 37.7 24 % 99 % Increase driven by higher securities and SEN Leverage balances Provision for loan losses — — — Noninterest income 14.0 16 % 254 % 3Q21 includes gain on sale of securities Noninterest expense 22.3 4 % 58 % Investments for strategic growth and higher FDIC insurance expense related to deposit growth Pre-tax income 29.4 40 % 235 % Income tax expense 5.9 N/M 246 % Net income $ 23.5 12 % 233 % Diluted earnings per common share $ 0.88 Balance Sheet Securities available-for-sale $ 7,234 17 % 666 % Total loans $ 1,628 9 % 16 % Total assets $ 12,777 4 % 388 % Digital currency related deposits $ 11,468 3 % 447 % Total shareholders' equity $ 1,072 23 % 278 % Book value per common share $ 33.10 1 % 118 % Common shares outstanding 26.5 Diluted weighted average common shares 26.8

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 6 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Deposits Digital Currency and Other Deposit Trends Commentary • Average digital currency deposits for 3Q21 was $11.2 billion, up from $9.9 million for 2Q21 • Other deposits represent deposits from non-digital currency customers, including demand deposits, savings, money market and certificates of deposit • The cost of deposits was 0.00% in 3Q21, reflecting the Company's digital currency deposit gathering strategy ___________ Note: Ratios have been annualized. Totals may not foot due to rounding. $2,281 $5,248 $7,002 $11,372 $11,663 $2,095 $5,039 $6,793 $11,114 $11,468 $1,866 $2,648 $6,434 $9,877 $11,188 Digital Currency Deposits Other Deposits Average Digital Currency Deposits 3Q20 4Q20 1Q21 2Q21 3Q21 0.01% 0.01% 0.00% 0.00% 0.00%Cost of Deposits ($ in millions)

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 7 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Yields, Cost of Funds and Net Interest Margin Trends • Net interest margin increase from 2Q21 was driven by a higher proportion of securities compared to lower yielding interest earnings deposits in other banks • Yield on securities for 3Q21 impacted by lower interest rates on new securities purchases throughout 2Q21 and 3Q21 • Yield on loans for 3Q21 increased from 2Q21 due to higher balances on SEN Leverage loans Yields, Cost of Funds and Net Interest Margin Trends Commentary ___________ Note: Ratios have been annualized. NIM and yield on securities are presented on a taxable equivalent basis. 3.19% 2.85% 1.33% 1.16% 1.26% 4.45% 4.42% 4.31% 4.46% 4.51% 2.49% 2.43% 2.08% 1.35% 1.22% 0.32% 0.18% 0.12% 0.11% 0.17% 0.07% 0.04% 0.02% 0.01% 0.01% NIM Yield on Loans Yield on Securities Yield on Cash Cost of Funds 3Q20 4Q20 1Q21 2Q21 3Q21

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 8 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Noninterest Income Commentary Noninterest Income • 3Q21 fee income from digital currency customers was up 150% year over year driven by increased transactional volume and related demand for cash management and foreign exchange services • Sold securities for $338.9 million in 3Q21, recognizing a gain of $5.2 million • Other noninterest income is primarily mortgage warehouse fee income $4.0 $4.8 $8.1 $12.1 $14.0 $3.3 $3.8 $7.1 $11.3 $8.1 $0.7 $1.1 $1.0 $0.8 $0.7 $5.2 Gain on sale of securities, net Other noninterest income, net Fee income from digital currency customers 3Q20 4Q20 1Q21 2Q21 3Q21 ($ in millions) ___________ Note: Totals may not foot due to rounding.

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 9 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Noninterest Expense Noninterest Expense • 3Q21 noninterest expense up 4% versus 2Q21 and 58% versus 3Q20 • Professional Services increase year over year driven by ongoing investments related to strategic growth initiatives • Other contains increased FDIC insurance expense resulting from the growth in digital currency deposits • Headcount was 249 as of September 30, 2021 compared to 221 at June 30, 2021 and 215 at September 30, 2020 Commentary $14.1 $17.6 $19.6 $21.5 $22.3 $8.9 $9.6 $11.0 $10.3 $10.7 $0.8 $3.0 $0.6 $0.6 $0.5$1.4 $1.4 $1.6 $1.8 $1.8$1.2 $1.2 $1.7 $2.6 $2.5 $1.8 $2.3 $4.7 $6.3 $6.8 Salaries/Employee Benefits Occupancy/Equipment Communications/Data Professional Services Other 3Q20 4Q20 1Q21 2Q21 3Q21 ($ in millions) ___________ Note: Totals may not foot due to rounding.

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 10 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Securities and Loan Portfolio Securities Composition – 57% of Total Assets Securities Commentary Loan Composition – 13% of Total Assets ___________ Note: Data as of September 30, 2021. Securities and loan yields are for 3Q21 and have been annualized. • Mortgage warehouse loans were $947.4 million representing 58% of total loans • SEN Leverage loans were $254.5 million, up 25% from $203.4 million at June 30, 2021 • Nonperforming assets totaled $5.8 million, or 0.05% of total assets at September 30, 2021 • Loan-to-value ratios in the low- to mid-50% range in commercial, multi-family and one-to-four family residential real estate HFI loan portfolios • Allowance for loan losses remained at $6.9 million and represented 0.85% of gross loans HFI Loan Commentary • There were $1.6 billion of securities purchased in 3Q21 with a projected weighted average yield of 0.75% • Sold securities in 3Q21 for $338.9 million and recognized a gain on sale of $5.2 million • Residential MBS/CMO are 99% agency backed. Commercial MBS/CMO are 70% agency backed and 30% non-agency, of which 97% are rated AAA • Municipal bonds are all general obligation or revenue bonds with 98% rated AA- or better • 100% of asset backed securities are agency backed FFELP student loan bonds and rated AA+ or better Residential (MBS/CMO) 46.3% Commercial (MBS/CMO) 12.1% Asset Backed Securities 3.3% Municipal Bonds 23.4% U.S. Agency Securities 14.9% $7.2B Yield: 1.22% Commercial Real Estate & Other 18.8% 1-4 Family Real Estate 7.4% Mortgage Warehouse 58.2% SEN Leverage 15.6% $1.6B Yield: 4.51%

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 11 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Loan Portfolio (HFI) & COVID-19 Related Modifications • As of September 30, 2021, the majority of COVID-19 related deferred loans have returned to paying, and only an immaterial amount of loans are still being deferred Commentary ___________ Note: COVID-19 loan modifications represent loans with payment deferrals as of September 30, 2021. Totals may not foot due to rounding. ($ in millions) Loan Segments at September 30, 2021 COVID-19 Loan Modifications Loan Segment Loan Balance WA LTV % of Total Loans HFI Real estate loans: One-to-four family $ 119.8 52 % 14.7 % Multi-family 54.6 48 % 6.7 % Commercial: Retail 75.7 53 % 9.3 % Hospitality 46.3 44 % 5.7 % Office 47.8 65 % 5.9 % Industrial 38.6 57 % 4.7 % Other 42.0 45 % 5.1 % Total commercial 250.3 53 % 30.7 % Construction 6.0 58 % 0.7 % Other 385.0 N/A 47.2 % Total gross loans HFI $ 815.8 N/A 100.0 % In Modification Loan Balance % of Total Loans HFI Real estate loans: One-to-four family $ 0.2 0.0 % Multi-family — — Commercial: Retail — — Hospitality — — Office — — Industrial — — Other — — Total commercial — — Construction — — Other — — Total modifications $ 0.2 0.0 %

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 12 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C Capital and Liquidity Ratios Tier 1 Leverage Ratio Total Risk-Based Capital Ratio • The Bank had a tier 1 leverage ratio of 8.24%, a common equity tier 1 capital ratio of 48.04%, a tier 1 risk-based capital ratio of 48.04% and a total risk-based capital ratio of 48.37% at September 30, 2021 • Bank capital ratios each exceeded the “well capitalized” standards defined by the federal banking regulations • Increase in tier 1 leverage ratio driven by higher capital as a result of equity raised during 3Q21 CommentaryLoans to Deposits ___________ Note: September 30, 2021 capital ratios are preliminary. 24.68% 23.49% 54.79% 48.00% 51.13% 3Q20 4Q20 1Q21 2Q21 3Q21 61.45% 30.73% 23.22% 13.09% 13.96% 3Q20 4Q20 1Q21 2Q21 3Q21 10.36% 8.29% 9.68% 7.91% 8.71% 3Q20 4Q20 1Q21 2Q21 3Q21

 
1 5 0 41 42 44 221 228 231 146 183 188 0 107 183 0 175 220 13 #010500 #DDE4E7 #919498 #92B7BC #00AFDC #006BB7 #292A2C The network effects of the SEN reinforce the strength of our product offerings, create a platform to launch new customer solutions, and enable high-quality revenue streams Silvergate Exchange Network Payments Lending Funding Stablecoin Infrastructure Foreign Exchange Cash Management SEN Leverage Digital Asset Custody Deposit Account Services Asset Management Network Effects of the SEN Create Multiple Avenues for Growth

 

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

You May Also Be Interested In





Related Categories

SEC Filings