In conclusion, Atlantic Union had another solid quarter and a good 2019.
We continue steadily to make constant progress against our strategic priorities and delivered good monetary performance despite headwinds through the interest rate environment that is adverse. We stay highly confident just just just what the near future holds for people, as well as the potential we have to deliver long-lasting sustainable economic performance for the customers, communities, teammates and investors.
I’m able to consider no better method to complete my commentary into the brand brand New 12 months, than by reiterating Atlantic Union Bankshares is just an uniquely valuable franchise. It is thick and compact in great areas having a whole tale unlike virtually any in our area. We now have put together the right scale, the best markets while the right group to provide powerful in a franchise that may no further be replicated in Virginia. We now have development possibilities within our new york and Maryland operations in just what we think may be a multi-year interruption, with certainly one of our largest rivals.
We’ll now turn the decision up to Rob to pay for the economic outcomes for the quarter as well as 2019. Rob?
Robert Michael Gorman — Executive Vice President and Chief Financial Officer
Many thanks, John and good early morning, every person. Today thanks for joining us. We’d now want to just simply simply take a couple of minutes to offer you some information on Atlantic Union’s monetary outcomes for the 4th quarter and for 2019.
Take note that when it comes to many component, my commentary will consider Atlantic Union’s 4th quarter and full-year economic outcomes for a non-GAAP running basis, which exclude $709,000 in after-tax merger-related costs, and $713,000 in after-tax rebranding associated costs within the 4th quarter. In addition it excludes $22.3 million in after-tax costs that are merger-related $5.1 million in after-tax rebranding charges for the full-year of 2019.
For quality, i am going to specify which monetary metrics take a reported versus non-GAAP working foundation. Within the quarter that is fourth reported net gain ended up being $55.8 million and profits per share had been $0.69. That is up around $2.6 million or $0.04 through the quarter that is third. When it comes to year finished 2019, reported net gain ended up being $193.5 million and profits per share had been $2.41, up $47 million or $0.19 per share from 2018 levels.
Reported return on equity for the 4th quarter ended up being 8.81% and 7.89% for the full-year. Reported return on assets had been 1.27percent for the 4th quarter, and ended up being 1.15percent for 2019. Reported effectiveness ratio had been 57.4% when it comes to quarter and 62.37% for the full-year.
For a non-gaap operating foundation, which because noted, excludes $1.4 million in after-tax merger-related expenses and rebranding-related charges for the quarter and $27.4 million for the 12 months. Consolidated web earnings when it comes to 4th quarter had been $57.3 million or $0.71 per share, which will be up from $56.1 million or $0.69 per share within the quarter that is third. When it comes to year that is full working internet profits had been $221 million or $2.75 per share, that is up $43 million or $0.04 per share from 2018 amounts.
The non-GAAP running return on concrete typical equity was 16.01% within the fourth quarter and had been 16.14% for the full-year. The non-GAAP running return on assets had been 1.3percent into the 4th quarter and had been 1.31% for 2019. Non-GAAP running effectiveness ratio ended up being 52.65% into the 4th quarter, and ended up being 53.6% when it comes to full-year of 2019.
As being a reminder, we remain focused on attaining tier that is top performance in accordance with our peers. Considering that the autumn of 2018, we’ve been focusing on the following working monetary metrics. A operating return on concrete typical equity within a variety of 16% to 18per cent and running return on assets when you look at the selection of 1.4per cent to 1.6per cent and a operating efficiency ratio of 50% or reduced. As soon as we set these goals at the conclusion of 2018, we likely to run in a rising price environment, that may bring about web interest margin expansion and solid income development. But this failed to materialize as market rates of interest declined materially because the start of 2019.
With all this challenging current and expected running environment for banks and its own effect on income development due to the intractable reduced for longer rate of interest environment, which we currently anticipate will continue in 2021, we have been revising our running monetary metric goals properly to your after. Return on tangible equity that is common an array of 15% to 17%; return on assets into the selection of 1.2percent to 1.4per cent plus an effectiveness ratio of 53% or lower.
Our economic performance objectives are set regularly when you look at the top quartile among our peer group, no matter what the running environment so we think these brand brand new goals are reflective for the financial metrics expected to achieve top tier monetary performance in the present financial environment.
Now looking at the main aspects of the earnings declaration when it comes to 4th quarter, tax equivalent net interest earnings ended up being $137.8 million, down $1.6 million from the 3rd quarter, mainly due to reduce receiving asset yields, through the quarter, driven by reduced typical market rates and changes in the typical receiving asset mix through the quarter that is third.
Web accretion of buy accounting adjustments for loans, time deposits and long-lasting financial obligation, included 18 foundation points to your web interest margin within the 4th quarter, advance financial nashville, tn that will be up through the third quarter 13 foundation point effect mainly as a result of increased degrees of loan related-accretion earnings.
The 4th quarter’s tax equivalent net interest margin ended up being 3.55%. That is a decrease of 9 foundation points through the quarter that is previous. When it comes to tax that is full-year margin ended up being 3.69%, that is down 5 basis points from 2018’s web interest margin of 3.74%. The 9 foundation point decrease into the tax equivalent interest that is net when it comes to fourth quarter had been principally because of an 18 foundation point decline in the yield on earning assets, partially offset with a 9 foundation point decrease into the price of funds. The 18 foundation point decline in the quarter-to-quarter making asset yield had been mainly driven by 17 foundation point decrease within the loan profile yield and a 3 foundation point negative effect linked to alterations in making asset mix into the quarter.
Decline within the loan profile yield of 17 foundation points ended up being driven by reduced typical loan yields of 22 foundation points, partially offset by the 5 foundation point take advantage of higher loan accretion earnings. Normal loan yields had been reduced, mainly because of the effect of decreases in market rates of interest through the quarter. Particularly the significant decreases when you look at the 30 days LIBOR and rates that are prime.
The 3 foundation point asset that is earning decrease caused by alterations in the earning asset mix through the previous quarter had been as a result of accumulation of liquidity throughout the quarter resulting from the timing of deposit inflows at the beginning of the quarter therefore the capital of loan development late within the quarter, that shouldn’t carry over into future quarters. The quarterly 9 foundation point decrease when you look at the price of funds to at least one% had been mainly driven by way of a 28 foundation point decrease in wholesale borrowing expense, favorable changes in the funding that is overall between quarters and also by reduced interest-bearing deposit expenses, which declined 6 foundation points through the 3rd quarter’s 125 foundation points.
The supply for loan losings for the 4th quarter had been $3.1 million or 10 foundation points for an annualized foundation, that will be a loss of $6 million or 19 foundation points through the 3rd quarter. The reduction in the mortgage loss supply through the past quarter had been mainly driven by reduced amounts of web charge-offs. When it comes to quarter of 2019, net charge-offs had been $4.6 million or 15 basis points for an annualized foundation, in comparison to $7.7 million or 25 foundation points for the quarter that is prior.
Like in past quarters, a substantial number of the internet charge-offs originated from non-relationship third-party consumer loans, that are in run-off mode. When it comes to 12 months, net charge-offs had been $20.9 million or 17 foundation points. Non-interest income declined to $29.2 million for the 4th quarter from $48.1 million into the quarter that is prior. The reduction in non-interest earnings had been primarily driven by life insurance coverage profits of around $9.3 million pertaining to the purchase of Xenith and an increase of around $7.1 million as a result of purchase of investment securities recorded when you look at the 3rd quarter.