We continue 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 exactly what the near future holds for all of us, additionally the potential we must deliver long-lasting sustainable monetary performance for the clients, communities, teammates and investors.
I will consider no better method to complete my reviews within the brand brand New 12 months, than by reiterating Atlantic Union Bankshares is just a franchise that is uniquely valuable. It really is dense and compact in great areas with a whole tale unlike every other in our area. We now have put together the right scale, the proper areas and also the right group to supply high end in a franchise that may not any longer be replicated in Virginia. We now have development possibilities within our new york and Maryland operations in just what we think is going to be a multi-year interruption, with certainly one of our biggest rivals.
We’ll now turn the decision up to Rob to cover the economic outcomes for the quarter as well as for 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 choose to simply simply take a couple of minutes to offer you some information on Atlantic Union’s economic outcomes for the 4th quarter and for 2019.
Take note that for the part that is most, my commentary will concentrate on 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 expenses, and $713,000 in after-tax rebranding associated expenses within the fourth quarter. In addition it excludes $22.3 million in after-tax costs that are merger-related $5.1 million in after-tax financial 24/7 rebranding prices for the full-year of 2019.
For quality, i am going to specify which economic metrics take a reported versus operating basis that is non-GAAP. Within the 4th quarter, reported net income had been $55.8 million and profits per share had been $0.69. That is up around $2.6 million or $0.04 through the 3rd quarter. For the 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 amounts.
Reported return on equity when it comes to quarter that is fourth 8.81% and 7.89% for the full-year. Reported return on assets ended up being 1.27percent for the quarter that is fourth and ended up being 1.15percent for 2019. Reported effectiveness ratio ended up being 57.4% for the quarter and 62.37% for the full-year.
On an operating that is non-gaap, which as noted, excludes $1.4 million in after-tax merger-related costs and rebranding-related charges for the quarter and $27.4 million when it comes to 12 months. Consolidated web profits for the 4th quarter were $57.3 million or $0.71 per share, which can be up from $56.1 million or $0.69 per share when you look at the 3rd quarter. When it comes to complete year 2019 working internet profits had been $221 million or $2.75 per share, that will be up $43 million or $0.04 per share from 2018 amounts.
The non-GAAP working return on tangible typical equity ended up being 16.01% within the 4th quarter and ended up being 16.14% when it comes to full-year. The operating that is non-GAAP on assets was 1.3% when you look at the 4th quarter and ended up being 1.31% for 2019. Non-GAAP efficiency that is operating had been 52.65% within the 4th quarter, and ended up being 53.6% for the full-year of 2019.
As 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 operating that is following metrics. A return that is operating concrete common equity within a variety of 16% to 18per cent and running return on assets into the array of 1.4per cent to 1.6per cent and a running effectiveness ratio of 50% or reduced. Whenever we set these goals at the conclusion of 2018, we anticipated to run in a increasing price environment, that may end in net interest margin expansion and solid income development. Nonetheless this would not materialize as market rates of interest declined materially because the start of 2019.
With all this challenging current and expected environment that is operating banking institutions and its particular 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 economic metric goals properly towards the following. Return on tangible typical equity within an array of 15% to 17per cent; return on assets when you look at the array of 1.2per cent to 1.4per cent plus a effectiveness ratio of 53% or reduced.
Our economic performance goals are set regularly within the top quartile among our peer group, no matter what the running environment therefore we think these brand new objectives 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 for the 4th quarter, tax equivalent net interest earnings had been $137.8 million, down $1.6 million through the 3rd quarter, mainly due to reduce receiving asset yields, throughout the quarter, driven by reduced average market prices and alterations in the typical receiving asset mix through the 3rd quarter.
Web accretion of purchase accounting adjustments for loans, time deposits and long-lasting financial obligation, included 18 foundation points into the web interest margin into the 4th quarter, that will be up through the 3rd quarter 13 foundation point effect mainly because of increased degrees of loan related-accretion earnings.
The quarter that is fourth tax equivalent net interest margin had been 3.55%. Which is a decline of 9 foundation points through the past quarter. For the tax that is full-year margin had been 3.69%, which can be down 5 basis points from 2018’s web interest margin of 3.74%. The 9 foundation point decrease when you look at the tax equivalent interest that is net when it comes to 4th quarter had been principally as a result of an 18 foundation point decline in the yield on making assets, partially offset by way of a 9 foundation point decrease into the price of funds. The 18 foundation point decline in the quarter-to-quarter asset that is earning ended up being mainly driven by 17 basis point decrease when you look at the loan profile yield and a 3 foundation point negative effect regarding alterations in earning asset mix into the quarter.
Decline when you look at the loan profile yield of 17 foundation points ended up being driven by reduced loan that is average of 22 basis points, partially offset by the 5 foundation point take advantage of higher loan accretion earnings. Normal loan yields had been lower, mainly as a result of the effect of decreases in market interest levels through the quarter. Particularly the significant decreases when you look at the 30 days LIBOR and prime rates.
The 3 foundation point making asset yield decrease caused by alterations in the receiving asset mix through the prior quarter had been as a result of accumulation of liquidity throughout the quarter caused by the timing of deposit inflows early in the quarter therefore the financing of loan development later when you look at the quarter, which willn’t carry over into future quarters. The quarterly 9 foundation point decrease into the price of funds to at least one% was mainly driven by way of a 28 foundation point decrease in wholesale borrowing price, favorable alterations in the overall capital mix 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 basis points on an annualized foundation, that will be a loss of $6 million or 19 foundation points through the third quarter. The reduction in the mortgage loss supply through the past quarter was 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 on an annualized foundation, in comparison to $7.7 million or 25 foundation points for the previous quarter.
As with past quarters, a substantial number of the internet charge-offs originated in non-relationship third-party consumer loans, that are in run-off mode. For the 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 within the quarter that is prior. The decline in non-interest earnings ended up being mainly driven by term life insurance profits of about $9.3 million regarding the purchase of Xenith and an increase of around $7.1 million as a result of purchase of investment securities recorded within the 3rd quarter.