Veritex Holdings, Inc. (“Veritex”, the “Company”, “we” or
“our”) (Nasdaq: VBTX), the holding company for Veritex Community
Bank, today announced the results for the quarter ended June 30,
2024.
“We are pleased with the second quarter results,
highlighted by improved credit quality, stabilized NIM and
continued repositioning of our balance sheet,” said C. Malcolm
Holland, III, the Company’s Chairman and Chief Executive Officer.
“Our LDR, excluding mortgage warehouse, dropped below 86%, we built
capital and continue to execute on our strategic plan.”
|
|
Quarter to Date |
|
Year to Date |
Financial
Highlights |
|
Q2 2024 |
|
Q1 2024 |
|
Q2 2024 |
|
Q2 2023 |
|
|
(Dollars in thousands, except per share
data)(unaudited) |
GAAP |
|
|
|
|
|
|
|
|
Net income |
|
$ |
27,202 |
|
|
$ |
24,156 |
|
|
$ |
51,358 |
|
|
$ |
72,141 |
|
Diluted EPS |
|
|
0.50 |
|
|
|
0.44 |
|
|
|
0.94 |
|
|
|
1.32 |
|
Book value per common share |
|
|
28.49 |
|
|
|
28.23 |
|
|
|
28.49 |
|
|
|
27.48 |
|
Return on average assets1 |
|
|
0.87 |
% |
|
|
0.79 |
% |
|
|
0.83 |
% |
|
|
1.18 |
% |
Return on average equity1 |
|
|
7.10 |
|
|
|
6.33 |
|
|
|
6.72 |
|
|
|
9.74 |
|
Net interest margin |
|
|
3.29 |
|
|
|
3.24 |
|
|
|
3.27 |
|
|
|
3.60 |
|
Efficiency ratio |
|
|
59.11 |
|
|
|
62.45 |
|
|
|
60.72 |
|
|
|
49.17 |
|
Non-GAAP2 |
|
|
|
|
|
|
|
|
Operating earnings |
|
$ |
28,310 |
|
|
$ |
29,137 |
|
|
$ |
57,447 |
|
|
$ |
77,947 |
|
Diluted operating EPS |
|
|
0.52 |
|
|
|
0.53 |
|
|
|
1.05 |
|
|
|
1.43 |
|
Tangible book value per common
share |
|
|
20.62 |
|
|
|
20.33 |
|
|
|
20.62 |
|
|
|
19.41 |
|
Pre-tax, pre-provision operating
earnings |
|
|
44,420 |
|
|
|
43,656 |
|
|
|
88,076 |
|
|
|
124,981 |
|
Pre-tax, pre-provision operating
return on average assets1 |
|
|
1.42 |
% |
|
|
1.42 |
% |
|
|
1.42 |
% |
|
|
2.05 |
% |
Pre-tax, pre-provision operating
return on average loans1 |
|
|
1.83 |
|
|
|
1.84 |
|
|
|
1.83 |
|
|
|
2.63 |
|
Operating return on average
assets1 |
|
|
0.91 |
|
|
|
0.95 |
|
|
|
0.93 |
|
|
|
1.28 |
|
Return on average tangible common
equity1 |
|
|
10.54 |
|
|
|
9.52 |
|
|
|
10.03 |
|
|
|
14.55 |
|
Operating return on average
tangible common equity1 |
|
|
10.94 |
|
|
|
11.34 |
|
|
|
11.14 |
|
|
|
15.66 |
|
Operating efficiency ratio |
|
|
58.41 |
|
|
|
58.73 |
|
|
|
58.57 |
|
|
|
47.21 |
|
1 Annualized ratio.2 Refer to the section titled
“Reconciliation of Non-GAAP Financial Measures” for a
reconciliation of these non-generally accepted accounting
principles (“GAAP”) financial measures to their most directly
comparable GAAP measures.
Other Second Quarter Financial, Credit
and Company Highlights
- Pre-tax,
pre-provision operating return on average assets was 1.42% as of
June 30, 2024;
- Nonperforming
assets (“NPAs”) decreased 17 bps from the prior quarter to 0.65% of
total assets;
- Net interest
margin (“NIM”) increased to 3.29%, a 5 bps improvement from the
prior quarter;
- Common equity
tier 1 capital grew 12 bps from the prior quarter to 10.49%;
- Total deposits
grew $71.0 million, or 2.67% annualized, compared to
March 31, 2024;
- Total loans grew
$70.3 million, or 2.88% annualized, compared to March 31,
2024;
- Loan to deposit
ratio, excluding mortgage warehouse loans, decreased to 85.9% as of
June 30, 2024 compared to 86.9% as of March 31, 2024 and
100.4% as of June 30, 2023;
- Tangible book
value per common share increased to $20.62;
- Allowance for
credit losses (“ACL”) to total loans held for investment (“LHI”)
increased to 1.16%, compared to 1.15% as of March 31, 2024 and
1.05% as of June 30, 2023;
- Named one of the
“Best Companies to Work For”, “Best in Banking” and “Best Companies
in the South” by the 2024 - 2025 U.S. News & World Report which
evaluates companies based on quality of pay, work/life balance, and
opportunities for professional development and advancement;
and
- Declared quarterly cash dividend of
$0.20 per share of outstanding common stock payable on
August 23, 2024.
Results of Operations for the Three
Months Ended June 30, 2024
Net Interest Income
For the three months ended June 30, 2024, net
interest income before provision for credit losses was $96.2
million and net interest margin was 3.29% compared to $92.8 million
and 3.24%, respectively, for the three months ended March 31, 2024.
The $3.4 million increase, or 3.7%, in net interest income before
provision for credit losses was primarily due to a
$5.0 million increase in interest income on loans driven by an
increase in loan yields, a $1.7 million increase in interest
income on debt securities and other investments and a
$1.2 million decrease in interest expense on transaction and
savings deposits. The increase in net interest income was partially
offset by a $4.3 million increase in interest expense on
certificates and other time deposits, during the three months ended
June 30, 2024. NIM increased 5 bps compared to the three months
ended March 31, 2024, primarily due to an increase in loan yields
during the three months ended June 30, 2024, partially offset by an
increase in rates on certificates and other time deposits.
Compared to the three months ended June 30,
2023, net interest income before provision for credit losses for
the three months ended June 30, 2024 decreased by $4.6 million, or
4.6%. The decrease was primarily due to a $16.7 million
increase in interest expense on certificates and other time
deposits and a $12.7 million increase in interest expense on
transaction and savings deposits. The decrease was partially offset
by a $16.1 million decrease in interest expense on advances
from the Federal Home Loan Bank (“FHLB”), a $5.2 million
increase in interest income on debt securities and a
$3.3 million increase in interest income on loans driven by an
increase in loan yields and average balances. NIM decreased 22 bps
from 3.51% for the three months ended June 30, 2023. The decrease
was primarily due to the increase in funding costs on deposits
during the three months ended June 30, 2024, partially offset by an
increase in loan yields and debt securities.
Noninterest Income
Noninterest income for the three months ended
June 30, 2024 was $10.6 million, an increase of $3.9 million, or
58.8%, compared to the three months ended March 31, 2024. The
increase was primarily due to a $6.3 million loss on sales of
investment securities in the prior quarter as a result of a
strategic restructuring, in which we sold $120.1 million of
lower-yielding available for sale (“AFS”) securities, at amortized
cost, with a 3.11% average yield, and reinvested the proceeds in
higher yielding AFS securities with a 6.24% average yield, which
occurred in March of 2024, with no corresponding transaction in the
three months ended June 30, 2024. The increase was partially offset
by a $1.3 million decrease in government guaranteed loan
income, primarily driven by a decrease in the Company’s SBA and
USDA sales, a $746 thousand decrease in other income and a
$303 thousand decrease in loan fees.
Compared to the three months ended June 30,
2023, noninterest income for the three months ended June 30, 2024
decreased by $3.1 million, or 22.7%. The decrease was
primarily due to a $2.8 million decrease in government guaranteed
loan income, primarily driven by a decrease in the Company’s USDA
sales, a $657 thousand decrease in customer swap income and a
$485 thousand decrease in equity method investment income.
Additionally, the decrease was related to a $298 thousand
decrease in service charges and fees on deposit accounts. The
decrease was partially offset by a $687 thousand increase in
loan fees and a $463 thousand increase in other income.
Noninterest Expense
Noninterest expense was $63.1 million for the
three months ended June 30, 2024, compared to $62.1 million for the
three months ended March 31, 2024, an increase of $1.0 million, or
1.7%. The increase was primarily due to a $1.4 million
increase in other noninterest expense, a $430 thousand
increase in marketing expenses and a $241 thousand increase in
data processing and software expense. The increase is partially
offset by a $575 thousand decrease in salaries and employee
benefits and a decrease of $436 thousand in professional and
regulatory fees driven by FDIC insurance assessment expense, which
decreased $203 thousand compared to the three months ended March
31, 2024.
Compared to the three months ended June 30,
2023, noninterest expense for the three months ended June 30, 2024
increased by $5.9 million, or 10.4%. The increase was primarily due
to a $4.1 million increase in salaries and employee benefits
and a $3.6 million increase in other noninterest expense. The
increase was partially offset by a $1.3 million decrease in
professional and regulatory fees driven by FDIC insurance
assessment expense, which decreased $937 thousand compared to the
three months ended June 30, 2023 and a $651 thousand decrease
in marketing expense.
Financial Condition
Total LHI was $9.21 billion at June 30,
2024, a decrease of $40.5 million, or 1.7% annualized,
compared to March 31, 2024.
Total deposits were $10.72 billion at June
30, 2024, an increase of $71.0 million, or 2.7% annualized,
compared to March 31, 2024. The increase was primarily the
result of an increase of $257.8 million in certificates and
other time deposits and an increase of $67.5 million in
noninterest-bearing deposits. The increase was partially offset by
a decrease of $13.6 million in correspondent money market
account balances and a decrease of $240.7 million in
interest-bearing transaction and savings deposits.
Credit Quality
NPAs totaled $83.0 million, or 0.65% of total
assets, of which $58.8 million represents LHI and $24.3
million represents other real estate owned (“OREO”) at June 30,
2024, compared to $103.8 million, or 0.82% of total assets, at
March 31, 2024. The Company had net charge-offs of $6.9
million for the three months ended June 30, 2024. Annualized net
charge-offs to average loans outstanding were 28 bps, of which 16
bps were acquired credits, for the three months ended June 30,
2024, compared to 22 bps and 48 bps for the three months ended
March 31, 2024 and June 30, 2023, respectively.
ACL as a percentage of LHI was 1.16%, 1.15% and
1.05% at June 30, 2024, March 31, 2024 and June 30, 2023,
respectively. The Company recorded a provision for credit losses of
$8.3 million, $7.5 million and $15.0 million for the three months
ended June 30, 2024, March 31, 2024 and June 30, 2023,
respectively. The recorded provision for credit losses for the
three months ended June 30, 2024, compared to the three months
ended March 31, 2024, was primarily attributable to an increase in
general reserves as a result of changes in economic factors. As the
balance for unfunded commitments for the three months ended June
30, 2024 remained stable compared to the three months ended March
31, 2024, the Company recorded no benefit or provision for unfunded
commitments for the three months ended June 30, 2024. The Company
recorded a $1.5 million and a $1.1 million benefit for unfunded
commitments for the three months ended March 31, 2024, and June 30,
2023, respectively.
Income Tax
Income tax expense for the three months ended
June 30, 2024 totaled $8.2 million, an increase of
$1.0 million, or 13.6%, compared to the three months ended
March 31, 2024. The Company’s effective tax rate was
approximately 23.2% for the three months ended June 30, 2024. The
increase was primarily due to an one-time tax expense of $527
thousand, which is excluded from operating earnings, and a net
discrete tax expense of $410 thousand associated with the
recognition of an excess tax expense realized on share-based
payment awards.
Dividend Information
After the close of the market on Tuesday,
July 23, 2024, Veritex’s Board of Directors declared a
quarterly cash dividend of $0.20 per share on its outstanding
shares of common stock. The dividend will be paid on or after
August 23, 2024 to stockholders of record as of the close of
business on August 9, 2024.
Non-GAAP Financial Measures
Veritex’s management uses certain non-GAAP (U.S.
generally accepted accounting principles) financial measures to
evaluate its operating performance and provide information that is
important to investors. However, non-GAAP financial measures are
supplemental and should be viewed in addition to, and not as an
alternative for, Veritex’s reported results prepared in accordance
with GAAP. Specifically, Veritex reviews and reports tangible book
value per common share of the Company; operating earnings; tangible
common equity to tangible assets; return on average tangible common
equity; pre-tax, pre-provision operating earnings; pre-tax,
pre-provision operating return on average assets; pre-tax,
pre-provision operating return on average loans; diluted operating
earnings per share; operating return on average assets; operating
return on average tangible common equity; and operating efficiency
ratio. Veritex has included in this earnings release information
related to these non-GAAP financial measures for the applicable
periods presented. Please refer to “Reconciliation of Non-GAAP
Financial Measures” after the financial highlights at the end of
this earnings release for a reconciliation of these non-GAAP
financial measures.
Conference Call
The Company will host an investor conference call and webcast to
review the results on Wednesday, July 24, 2024, at 8:30 a.m.
Central Time. Participants may pre-register for the call by
visiting https://edge.media-server.com/mmc/p/kp9m28ir and will
receive a unique PIN, which can be used when dialing in for the
call.
Participants may also register via teleconference:
https://register.vevent.com/register/BIc18141b3387848439444d3060b38d779.
Once registration is completed, participants will be provided with
a dial-in number containing a personalized conference code to
access the call. All participants are instructed to dial-in 15
minutes prior to the start time.
A replay will be available within approximately
two hours after the completion of the call, and made accessible for
one week thereafter. You may access the replay via webcast through
the investor relations section of Veritex’s website.
About Veritex Holdings,
Inc.
Headquartered in Dallas, Texas, Veritex is a
bank holding company that conducts banking activities through its
wholly owned subsidiary, Veritex Community Bank, with locations
throughout the Dallas-Fort Worth metroplex and in the Houston
metropolitan area. Veritex Community Bank is a Texas state
chartered bank regulated by the Texas Department of Banking and the
Board of Governors of the Federal Reserve System. For more
information, visit www.veritexbank.com.
Media and Investor
Relations:investorrelations@veritexbank.com
Forward-Looking Statements
This earnings release includes
“forward-looking statements”, within the meaning of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements are based on various facts and derived utilizing
assumptions, current expectations, estimates and projections and
are subject to known and unknown risks, uncertainties and other
factors, which change over time and are beyond our control, that
may cause actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by such forward-looking
statements. Forward-looking statements
include, without limitation, statements relating to the expected
payment of Veritex Holdings, Inc.’s (“Veritex”) quarterly cash
dividend; the impact of certain changes in Veritex’s accounting
policies, standards and interpretations; turmoil in the banking
industry, responsive measures to mitigate and manage such turmoil
and related supervisory and regulatory actions and costs; and
Veritex’s future financial performance, business and growth
strategy, projected plans and objectives, as well as other
projections based on macroeconomic and industry trends, which are
inherently unreliable due to the multiple factors that impact
broader economic and industry trends, and any such variations may
be material. Statements preceded by, followed
by or that otherwise include the words “believes,” “expects,”
“anticipates,” “intends,” “projects,”
“estimates,” “seeks,” “targets,” “outlooks,”
“plans” and similar expressions or future or conditional verbs such
as “will,” “should,” “would,” “may” and “could” are generally
forward-looking in nature and not historical facts, although not
all forward-looking statements include the foregoing words. We
refer you to the “Risk Factors” and “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” sections
of Veritex’s Annual Report on Form 10-K for the year ended
December 31, 2023 and any updates to those
risk factors set forth in Veritex’s Quarterly Reports on Form 10-Q,
Current Reports on Form 8-K and other filings with the Securities
and Exchange Commission (“SEC”), which are available on the SEC’s
website at www.sec.gov. If one or more events
related to these or other risks or uncertainties materialize, or if
Veritex’s underlying assumptions prove to be incorrect, actual
results may differ materially from what Veritex
anticipates. Accordingly, you should not
place undue reliance on any such forward-looking
statements. Any forward-looking statement
speaks only as of the date on which it is
made. Veritex does not undertake any
obligation, and specifically declines any obligation, to
supplement, update or revise any forward-looking statements,
whether as a result of new information, future developments or
otherwise, except as required by law. All forward-looking
statements, expressed or implied, included in this earnings release
are expressly qualified in their entirety by this cautionary
statement. This cautionary statement should also be considered in
connection with any subsequent written or oral forward-looking
statements that Veritex or persons acting on Veritex’s behalf may
issue.
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(Unaudited)
|
|
For the Quarter Ended |
|
For the Six Months Ended |
|
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
Jun 30, 2024 |
|
Jun 30, 2023 |
|
|
(Dollars and shares in thousands, except per share
data) |
Per Share Data (Common
Stock): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic EPS |
|
$ |
0.50 |
|
|
$ |
0.44 |
|
|
$ |
0.06 |
|
|
$ |
0.60 |
|
|
$ |
0.62 |
|
|
$ |
0.94 |
|
|
$ |
1.33 |
|
Diluted EPS |
|
|
0.50 |
|
|
|
0.44 |
|
|
|
0.06 |
|
|
|
0.60 |
|
|
|
0.62 |
|
|
|
0.94 |
|
|
|
1.32 |
|
Book value per common share |
|
|
28.49 |
|
|
|
28.23 |
|
|
|
28.18 |
|
|
|
27.46 |
|
|
|
27.48 |
|
|
|
28.49 |
|
|
|
27.48 |
|
Tangible book value per common share1 |
|
|
20.62 |
|
|
|
20.33 |
|
|
|
20.21 |
|
|
|
19.44 |
|
|
|
19.41 |
|
|
|
20.62 |
|
|
|
19.41 |
|
Dividends paid per common share outstanding2 |
|
|
0.20 |
|
|
|
0.20 |
|
|
|
0.20 |
|
|
|
0.20 |
|
|
|
0.20 |
|
|
|
0.40 |
|
|
|
0.40 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common Stock
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Shares outstanding at period end |
|
|
54,350 |
|
|
|
54,496 |
|
|
|
54,338 |
|
|
|
54,305 |
|
|
|
54,261 |
|
|
|
54,350 |
|
|
|
54,261 |
|
Weighted average basic shares outstanding for the period |
|
|
54,457 |
|
|
|
54,444 |
|
|
|
54,327 |
|
|
|
54,300 |
|
|
|
54,247 |
|
|
|
54,451 |
|
|
|
54,199 |
|
Weighted average diluted shares outstanding for the period |
|
|
54,823 |
|
|
|
54,842 |
|
|
|
54,691 |
|
|
|
54,597 |
|
|
|
54,486 |
|
|
|
54,832 |
|
|
|
54,546 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Summary of Credit
Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ACL to total LHI |
|
|
1.16 |
% |
|
|
1.15 |
% |
|
|
1.14 |
% |
|
|
1.14 |
% |
|
|
1.05 |
% |
|
|
1.16 |
% |
|
|
1.05 |
% |
NPAs to total assets |
|
|
0.65 |
|
|
|
0.82 |
|
|
|
0.77 |
|
|
|
0.65 |
|
|
|
0.55 |
|
|
|
0.65 |
|
|
|
0.55 |
|
NPAs to total loans and OREO |
|
|
0.85 |
|
|
|
1.06 |
|
|
|
0.99 |
|
|
|
0.83 |
|
|
|
0.70 |
|
|
|
0.85 |
|
|
|
0.70 |
|
Net charge-offs to average loans outstanding4 |
|
|
0.28 |
|
|
|
0.22 |
|
|
|
0.40 |
|
|
|
0.08 |
|
|
|
0.48 |
|
|
|
0.25 |
|
|
|
0.26 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Summary Performance
Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Return on average assets4 |
|
|
0.87 |
% |
|
|
0.79 |
% |
|
|
0.11 |
% |
|
|
1.06 |
% |
|
|
1.10 |
% |
|
|
0.83 |
% |
|
|
1.18 |
% |
Return on average equity4 |
|
|
7.10 |
|
|
|
6.33 |
|
|
|
0.92 |
|
|
|
8.58 |
|
|
|
8.96 |
|
|
|
6.72 |
|
|
|
9.74 |
|
Return on average tangible common equity1, 4 |
|
|
10.54 |
|
|
|
9.52 |
|
|
|
2.00 |
|
|
|
12.80 |
|
|
|
13.35 |
|
|
|
10.03 |
|
|
|
14.55 |
|
Efficiency ratio |
|
|
59.11 |
|
|
|
62.45 |
|
|
|
77.49 |
|
|
|
54.49 |
|
|
|
49.94 |
|
|
|
60.72 |
|
|
|
49.17 |
|
Net interest margin |
|
|
3.29 |
|
|
|
3.24 |
|
|
|
3.31 |
|
|
|
3.46 |
|
|
|
3.51 |
|
|
|
3.27 |
|
|
|
3.60 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selected Performance
Metrics - Operating: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted operating EPS1 |
|
$ |
0.52 |
|
|
$ |
0.53 |
|
|
$ |
0.58 |
|
|
$ |
0.60 |
|
|
$ |
0.64 |
|
|
$ |
1.05 |
|
|
$ |
1.43 |
|
Pre-tax, pre-provision operating return on average assets1, 4 |
|
|
1.42 |
% |
|
|
1.42 |
% |
|
|
1.54 |
% |
|
|
1.61 |
% |
|
|
1.90 |
% |
|
|
1.42 |
% |
|
|
2.05 |
% |
Pre-tax, pre-provision operating return on average loans1, 4 |
|
|
1.83 |
|
|
|
1.84 |
|
|
|
1.97 |
|
|
|
2.05 |
|
|
|
2.43 |
|
|
|
1.83 |
|
|
|
2.63 |
|
Operating return on average assets1,4 |
|
|
0.91 |
|
|
|
0.95 |
|
|
|
1.02 |
|
|
|
1.06 |
|
|
|
1.13 |
|
|
|
0.93 |
|
|
|
1.28 |
|
Operating return on average tangible common equity1,4 |
|
|
10.94 |
|
|
|
11.34 |
|
|
|
12.37 |
|
|
|
12.80 |
|
|
|
13.70 |
|
|
|
11.14 |
|
|
|
15.66 |
|
Operating efficiency ratio1 |
|
|
58.41 |
|
|
|
58.73 |
|
|
|
55.50 |
|
|
|
54.49 |
|
|
|
48.90 |
|
|
|
58.57 |
|
|
|
47.21 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Veritex Holdings, Inc.
Capital Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average stockholders' equity to average total assets |
|
|
12.26 |
% |
|
|
12.43 |
% |
|
|
12.27 |
% |
|
|
12.30 |
% |
|
|
12.23 |
% |
|
|
12.34 |
% |
|
|
12.16 |
% |
Tangible common equity to tangible assets1 |
|
|
9.14 |
|
|
|
9.02 |
|
|
|
9.18 |
|
|
|
8.86 |
|
|
|
8.76 |
|
|
|
9.14 |
|
|
|
8.76 |
|
Tier 1 capital to average assets (leverage) |
|
|
10.06 |
|
|
|
10.12 |
|
|
|
10.03 |
|
|
|
10.10 |
|
|
|
9.80 |
|
|
|
10.06 |
|
|
|
9.80 |
|
Common equity tier 1 capital |
|
|
10.49 |
|
|
|
10.37 |
|
|
|
10.29 |
|
|
|
10.11 |
|
|
|
9.76 |
|
|
|
10.49 |
|
|
|
9.76 |
|
Tier 1 capital to risk-weighted assets |
|
|
10.75 |
|
|
|
10.63 |
|
|
|
10.56 |
|
|
|
10.37 |
|
|
|
10.01 |
|
|
|
10.75 |
|
|
|
10.01 |
|
Total capital to risk-weighted assets |
|
|
13.45 |
|
|
|
13.33 |
|
|
|
13.18 |
|
|
|
12.95 |
|
|
|
12.51 |
|
|
|
13.45 |
|
|
|
12.51 |
|
Risk weighted assets |
|
$ |
11,450,997 |
|
|
$ |
11,407,446 |
|
|
$ |
11,387,825 |
|
|
$ |
11,617,229 |
|
|
$ |
11,742,321 |
|
|
$ |
11,450,997 |
|
|
$ |
11,742,321 |
|
1Refer to the section titled “Reconciliation of Non-GAAP
Financial Measures” after the financial highlights for a
reconciliation of these non-GAAP financial measures to their most
directly comparable GAAP measures.2Dividend amount represents
dividend paid per common share subsequent to each respective
quarter end.3Nonaccrual PCD loans consist of PCD loans that
transitioned upon adoption of ASC 326 Financial Instruments -
Credit Losses and were accounted for on a pooled basis that have
subsequently been placed on nonaccrual status.4Annualized ratio for
quarterly metrics.
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(In thousands)
|
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
|
(unaudited) |
|
(unaudited) |
|
|
|
(unaudited) |
|
(unaudited) |
ASSETS |
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
651,837 |
|
|
$ |
740,769 |
|
|
$ |
629,063 |
|
|
$ |
713,408 |
|
|
$ |
663,921 |
|
Debt securities, net |
|
|
1,349,354 |
|
|
|
1,344,930 |
|
|
|
1,257,042 |
|
|
|
1,060,629 |
|
|
|
1,144,020 |
|
Other investments |
|
|
75,885 |
|
|
|
76,788 |
|
|
|
76,238 |
|
|
|
80,869 |
|
|
|
138,894 |
|
|
|
|
|
|
|
|
|
|
|
|
Loans held for sale
(“LHFS”) |
|
|
57,046 |
|
|
|
64,762 |
|
|
|
79,072 |
|
|
|
41,313 |
|
|
|
29,876 |
|
LHI, mortgage warehouse
(“MW”) |
|
|
568,047 |
|
|
|
449,531 |
|
|
|
377,796 |
|
|
|
390,767 |
|
|
|
436,255 |
|
LHI, excluding MW |
|
|
9,209,094 |
|
|
|
9,249,551 |
|
|
|
9,206,544 |
|
|
|
9,237,447 |
|
|
|
9,257,183 |
|
Total loans |
|
|
9,834,187 |
|
|
|
9,763,844 |
|
|
|
9,663,412 |
|
|
|
9,669,527 |
|
|
|
9,723,314 |
|
ACL |
|
|
(113,431 |
) |
|
|
(112,032 |
) |
|
|
(109,816 |
) |
|
|
(109,831 |
) |
|
|
(102,150 |
) |
Bank-owned life insurance |
|
|
84,233 |
|
|
|
85,359 |
|
|
|
84,833 |
|
|
|
84,867 |
|
|
|
84,375 |
|
Bank premises, furniture and
equipment, net |
|
|
105,222 |
|
|
|
105,299 |
|
|
|
105,727 |
|
|
|
106,118 |
|
|
|
105,986 |
|
Other real estate owned
(“OREO”) |
|
|
24,256 |
|
|
|
18,445 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Intangible assets, net of
accumulated amortization |
|
|
35,817 |
|
|
|
38,679 |
|
|
|
41,753 |
|
|
|
44,294 |
|
|
|
48,293 |
|
Goodwill |
|
|
404,452 |
|
|
|
404,452 |
|
|
|
404,452 |
|
|
|
404,452 |
|
|
|
404,452 |
|
Other assets |
|
|
232,518 |
|
|
|
241,863 |
|
|
|
241,633 |
|
|
|
291,998 |
|
|
|
259,263 |
|
Total assets |
|
$ |
12,684,330 |
|
|
$ |
12,708,396 |
|
|
$ |
12,394,337 |
|
|
$ |
12,346,331 |
|
|
$ |
12,470,368 |
|
LIABILITIES AND
STOCKHOLDERS’ EQUITY |
|
|
|
|
|
|
|
|
|
|
Deposits: |
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
$ |
2,416,727 |
|
|
$ |
2,349,211 |
|
|
$ |
2,218,036 |
|
|
$ |
2,363,340 |
|
|
$ |
2,234,109 |
|
Interest-bearing transaction and savings deposits |
|
|
3,979,454 |
|
|
|
4,220,114 |
|
|
|
4,348,385 |
|
|
|
3,936,070 |
|
|
|
3,590,253 |
|
Certificates and other time deposits |
|
|
3,744,596 |
|
|
|
3,486,805 |
|
|
|
3,191,737 |
|
|
|
3,403,427 |
|
|
|
2,928,949 |
|
Correspondent money market deposits |
|
|
584,067 |
|
|
|
597,690 |
|
|
|
580,037 |
|
|
|
493,681 |
|
|
|
480,598 |
|
Total deposits |
|
|
10,724,844 |
|
|
|
10,653,820 |
|
|
|
10,338,195 |
|
|
|
10,196,518 |
|
|
|
9,233,909 |
|
Accounts payable and other
liabilities |
|
|
180,585 |
|
|
|
186,027 |
|
|
|
195,036 |
|
|
|
229,116 |
|
|
|
190,900 |
|
Advances from FHLB |
|
|
— |
|
|
|
100,000 |
|
|
|
100,000 |
|
|
|
200,000 |
|
|
|
1,325,000 |
|
Subordinated debentures and
subordinated notes |
|
|
230,285 |
|
|
|
230,034 |
|
|
|
229,783 |
|
|
|
229,531 |
|
|
|
229,279 |
|
Total liabilities |
|
|
11,135,714 |
|
|
|
11,169,881 |
|
|
|
10,863,014 |
|
|
|
10,855,165 |
|
|
|
10,979,088 |
|
Commitments and
contingencies |
|
|
|
|
|
|
|
|
|
|
Stockholders’ equity: |
|
|
|
|
|
|
|
|
|
|
Common stock |
|
|
612 |
|
|
|
611 |
|
|
|
610 |
|
|
|
609 |
|
|
|
609 |
|
Additional paid-in capital |
|
|
1,321,995 |
|
|
|
1,319,144 |
|
|
|
1,317,516 |
|
|
|
1,314,459 |
|
|
|
1,311,687 |
|
Retained earnings |
|
|
473,801 |
|
|
|
457,499 |
|
|
|
444,242 |
|
|
|
451,513 |
|
|
|
429,753 |
|
Accumulated other comprehensive loss |
|
|
(76,713 |
) |
|
|
(71,157 |
) |
|
|
(63,463 |
) |
|
|
(107,833 |
) |
|
|
(83,187 |
) |
Treasury stock |
|
|
(171,079 |
) |
|
|
(167,582 |
) |
|
|
(167,582 |
) |
|
|
(167,582 |
) |
|
|
(167,582 |
) |
Total stockholders’ equity |
|
|
1,548,616 |
|
|
|
1,538,515 |
|
|
|
1,531,323 |
|
|
|
1,491,166 |
|
|
|
1,491,280 |
|
Total liabilities and stockholders’ equity |
|
$ |
12,684,330 |
|
|
$ |
12,708,396 |
|
|
$ |
12,394,337 |
|
|
$ |
12,346,331 |
|
|
$ |
12,470,368 |
|
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(In thousands, except per share
data)
|
|
For the Quarter Ended |
|
For the Six Months Ended |
|
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
Jun 30, 2024 |
|
Jun 30, 2023 |
|
|
(unaudited) |
|
(unaudited) |
|
(unaudited) |
|
(unaudited) |
|
(unaudited) |
|
(unaudited) |
|
(unaudited) |
Interest
income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans, including fees |
|
$ |
166,979 |
|
$ |
161,942 |
|
|
$ |
165,443 |
|
|
$ |
167,368 |
|
|
$ |
163,727 |
|
|
$ |
328,921 |
|
|
$ |
315,434 |
|
Debt securities |
|
|
15,408 |
|
|
13,695 |
|
|
|
12,282 |
|
|
|
10,928 |
|
|
|
10,166 |
|
|
|
29,103 |
|
|
|
21,154 |
|
Deposits in financial institutions and Fed Funds sold |
|
|
7,722 |
|
|
8,050 |
|
|
|
8,162 |
|
|
|
7,128 |
|
|
|
7,507 |
|
|
|
15,772 |
|
|
|
13,041 |
|
Equity securities and other investments |
|
|
1,138 |
|
|
900 |
|
|
|
1,717 |
|
|
|
1,691 |
|
|
|
1,118 |
|
|
|
2,038 |
|
|
|
2,526 |
|
Total interest income |
|
|
191,247 |
|
|
184,587 |
|
|
|
187,604 |
|
|
|
187,115 |
|
|
|
182,518 |
|
|
|
375,834 |
|
|
|
352,155 |
|
Interest
expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction and savings deposits |
|
|
45,619 |
|
|
46,784 |
|
|
|
46,225 |
|
|
|
39,936 |
|
|
|
32,957 |
|
|
|
92,403 |
|
|
|
62,814 |
|
Certificates and other time deposits |
|
|
44,811 |
|
|
40,492 |
|
|
|
40,165 |
|
|
|
36,177 |
|
|
|
28,100 |
|
|
|
85,303 |
|
|
|
49,067 |
|
Advances from FHLB |
|
|
1,468 |
|
|
1,391 |
|
|
|
2,581 |
|
|
|
8,523 |
|
|
|
17,562 |
|
|
|
2,859 |
|
|
|
29,920 |
|
Subordinated debentures and subordinated notes |
|
|
3,113 |
|
|
3,114 |
|
|
|
3,100 |
|
|
|
3,118 |
|
|
|
3,068 |
|
|
|
6,227 |
|
|
|
6,134 |
|
Total interest expense |
|
|
95,011 |
|
|
91,781 |
|
|
|
92,071 |
|
|
|
87,754 |
|
|
|
81,687 |
|
|
|
186,792 |
|
|
|
147,935 |
|
Net interest
income |
|
|
96,236 |
|
|
92,806 |
|
|
|
95,533 |
|
|
|
99,361 |
|
|
|
100,831 |
|
|
|
189,042 |
|
|
|
204,220 |
|
Provision for credit losses1 |
|
|
8,250 |
|
|
7,500 |
|
|
|
9,500 |
|
|
|
8,627 |
|
|
|
15,000 |
|
|
|
15,750 |
|
|
|
24,385 |
|
(Benefit) provision for unfunded
commitments |
|
|
— |
|
|
(1,541 |
) |
|
|
(1,500 |
) |
|
|
(909 |
) |
|
|
(1,129 |
) |
|
|
(1,541 |
) |
|
|
368 |
|
Net interest income after
provisions |
|
|
87,986 |
|
|
86,847 |
|
|
|
87,533 |
|
|
|
91,643 |
|
|
|
86,960 |
|
|
|
174,833 |
|
|
|
179,467 |
|
Noninterest
income: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Service charges and fees on deposit accounts |
|
|
4,974 |
|
|
4,896 |
|
|
|
4,800 |
|
|
|
5,159 |
|
|
|
5,272 |
|
|
|
9,870 |
|
|
|
10,289 |
|
Loan fees |
|
|
2,207 |
|
|
2,510 |
|
|
|
1,200 |
|
|
|
1,564 |
|
|
|
1,520 |
|
|
|
4,717 |
|
|
|
3,584 |
|
Loss on sales of debt securities |
|
|
— |
|
|
(6,304 |
) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(6,304 |
) |
|
|
(5,321 |
) |
Government guaranteed loan income, net |
|
|
1,320 |
|
|
2,614 |
|
|
|
4,378 |
|
|
|
1,772 |
|
|
|
4,144 |
|
|
|
3,934 |
|
|
|
13,832 |
|
Equity method investment (loss) income |
|
|
— |
|
|
— |
|
|
|
(29,417 |
) |
|
|
(136 |
) |
|
|
485 |
|
|
|
— |
|
|
|
(1,036 |
) |
Customer swap income |
|
|
326 |
|
|
449 |
|
|
|
258 |
|
|
|
180 |
|
|
|
983 |
|
|
|
775 |
|
|
|
1,196 |
|
Other income |
|
|
1,751 |
|
|
2,497 |
|
|
|
989 |
|
|
|
1,135 |
|
|
|
1,288 |
|
|
|
4,248 |
|
|
|
4,679 |
|
Total noninterest income (loss) |
|
|
10,578 |
|
|
6,662 |
|
|
|
(17,792 |
) |
|
|
9,674 |
|
|
|
13,692 |
|
|
|
17,240 |
|
|
|
27,223 |
|
Noninterest
expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
|
32,790 |
|
|
33,365 |
|
|
|
30,606 |
|
|
|
30,949 |
|
|
|
28,650 |
|
|
|
66,155 |
|
|
|
60,515 |
|
Occupancy and equipment |
|
|
4,585 |
|
|
4,677 |
|
|
|
4,670 |
|
|
|
4,881 |
|
|
|
4,827 |
|
|
|
9,262 |
|
|
|
9,800 |
|
Professional and regulatory fees |
|
|
5,617 |
|
|
6,053 |
|
|
|
7,626 |
|
|
|
7,283 |
|
|
|
6,868 |
|
|
|
11,670 |
|
|
|
11,257 |
|
Data processing and software expense |
|
|
5,097 |
|
|
4,856 |
|
|
|
4,569 |
|
|
|
4,541 |
|
|
|
4,709 |
|
|
|
9,953 |
|
|
|
9,429 |
|
Marketing |
|
|
1,976 |
|
|
1,546 |
|
|
|
1,945 |
|
|
|
2,353 |
|
|
|
2,627 |
|
|
|
3,522 |
|
|
|
4,406 |
|
Amortization of intangibles |
|
|
2,438 |
|
|
2,438 |
|
|
|
2,438 |
|
|
|
2,437 |
|
|
|
2,468 |
|
|
|
4,876 |
|
|
|
4,963 |
|
Telephone and communications |
|
|
365 |
|
|
261 |
|
|
|
356 |
|
|
|
362 |
|
|
|
355 |
|
|
|
626 |
|
|
|
833 |
|
Other |
|
|
10,273 |
|
|
8,920 |
|
|
|
8,028 |
|
|
|
6,608 |
|
|
|
6,693 |
|
|
|
19,193 |
|
|
|
12,609 |
|
Total noninterest expense |
|
|
63,141 |
|
|
62,116 |
|
|
|
60,238 |
|
|
|
59,414 |
|
|
|
57,197 |
|
|
|
125,257 |
|
|
|
113,812 |
|
Income before income tax
expense |
|
|
35,423 |
|
|
31,393 |
|
|
|
9,503 |
|
|
|
41,903 |
|
|
|
43,455 |
|
|
|
66,816 |
|
|
|
92,878 |
|
Income tax expense |
|
|
8,221 |
|
|
7,237 |
|
|
|
6,004 |
|
|
|
9,282 |
|
|
|
9,725 |
|
|
|
15,458 |
|
|
|
20,737 |
|
Net income |
|
$ |
27,202 |
|
$ |
24,156 |
|
|
$ |
3,499 |
|
|
$ |
32,621 |
|
|
$ |
33,730 |
|
|
$ |
51,358 |
|
|
$ |
72,141 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic EPS |
|
$ |
0.50 |
|
$ |
0.44 |
|
|
$ |
0.06 |
|
|
$ |
0.60 |
|
|
$ |
0.62 |
|
|
$ |
0.94 |
|
|
$ |
1.33 |
|
Diluted EPS |
|
$ |
0.50 |
|
$ |
0.44 |
|
|
$ |
0.06 |
|
|
$ |
0.60 |
|
|
$ |
0.62 |
|
|
$ |
0.94 |
|
|
$ |
1.32 |
|
Weighted average basic shares
outstanding |
|
|
54,457 |
|
|
54,444 |
|
|
|
54,327 |
|
|
|
54,300 |
|
|
|
54,247 |
|
|
|
54,451 |
|
|
|
54,199 |
|
Weighted average diluted shares
outstanding |
|
|
54,823 |
|
|
54,842 |
|
|
|
54,691 |
|
|
|
54,597 |
|
|
|
54,486 |
|
|
|
54,832 |
|
|
|
54,546 |
|
1 Includes provision for credit losses on AFS
securities of $885 thousand for the six months ended June 30,
2023.
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(Unaudited)
|
|
For the Quarter Ended |
|
|
June 30, 2024 |
|
March 31, 2024 |
|
June 30, 2023 |
|
|
AverageOutstandingBalance |
|
InterestEarned/InterestPaid |
|
AverageYield/Rate |
|
AverageOutstandingBalance |
|
InterestEarned/InterestPaid |
|
AverageYield/Rate |
|
AverageOutstandingBalance |
|
InterestEarned/InterestPaid |
|
AverageYield/Rate |
|
|
(Dollars in thousands) |
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans1 |
|
$ |
9,344,482 |
|
|
$ |
160,323 |
|
6.90 |
% |
|
$ |
9,283,815 |
|
|
$ |
157,585 |
|
6.83 |
% |
|
$ |
9,285,550 |
|
|
$ |
158,685 |
|
6.85 |
% |
LHI, MW |
|
|
420,946 |
|
|
|
6,656 |
|
6.36 |
|
|
|
279,557 |
|
|
|
4,357 |
|
6.27 |
|
|
|
371,763 |
|
|
|
5,042 |
|
5.44 |
|
Debt securities |
|
|
1,352,293 |
|
|
|
15,408 |
|
4.58 |
|
|
|
1,294,994 |
|
|
|
13,695 |
|
4.25 |
|
|
|
1,133,845 |
|
|
|
10,166 |
|
3.60 |
|
Interest-bearing deposits in other banks |
|
|
560,586 |
|
|
|
7,722 |
|
5.54 |
|
|
|
584,593 |
|
|
|
8,050 |
|
5.54 |
|
|
|
583,818 |
|
|
|
7,507 |
|
5.16 |
|
Equity securities and other investments |
|
|
78,964 |
|
|
|
1,138 |
|
5.80 |
|
|
|
76,269 |
|
|
|
900 |
|
4.75 |
|
|
|
137,868 |
|
|
|
1,118 |
|
3.25 |
|
Total interest-earning assets |
|
|
11,757,271 |
|
|
|
191,247 |
|
6.54 |
|
|
|
11,519,228 |
|
|
|
184,587 |
|
6.44 |
|
|
|
11,512,844 |
|
|
|
182,518 |
|
6.36 |
|
ACL |
|
|
(115,978 |
) |
|
|
|
|
|
|
(112,229 |
) |
|
|
|
|
|
|
(102,559 |
) |
|
|
|
|
Noninterest-earning assets |
|
|
937,413 |
|
|
|
|
|
|
|
929,043 |
|
|
|
|
|
|
|
939,938 |
|
|
|
|
|
Total assets |
|
$ |
12,578,706 |
|
|
|
|
|
|
$ |
12,336,042 |
|
|
|
|
|
|
$ |
12,350,223 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders’ Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand and savings deposits |
|
$ |
4,570,329 |
|
|
$ |
45,619 |
|
4.01 |
% |
|
$ |
4,639,445 |
|
|
$ |
46,784 |
|
4.06 |
% |
|
$ |
3,919,745 |
|
|
$ |
32,957 |
|
3.37 |
% |
Certificates and other time deposits |
|
|
3,591,035 |
|
|
|
44,811 |
|
5.02 |
|
|
|
3,283,735 |
|
|
|
40,492 |
|
4.96 |
|
|
|
2,873,548 |
|
|
|
28,100 |
|
3.92 |
|
Advances from FHLB and Other |
|
|
106,648 |
|
|
|
1,468 |
|
5.54 |
|
|
|
100,989 |
|
|
|
1,391 |
|
5.54 |
|
|
|
1,472,912 |
|
|
|
17,562 |
|
4.78 |
|
Subordinated debentures and subordinated notes |
|
|
230,141 |
|
|
|
3,113 |
|
5.44 |
|
|
|
229,881 |
|
|
|
3,114 |
|
5.45 |
|
|
|
229,151 |
|
|
|
3,068 |
|
5.37 |
|
Total interest-bearing
liabilities |
|
|
8,498,153 |
|
|
|
95,011 |
|
4.50 |
|
|
|
8,254,050 |
|
|
|
91,781 |
|
4.47 |
|
|
|
8,495,356 |
|
|
|
81,687 |
|
3.86 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
|
2,346,908 |
|
|
|
|
|
|
|
2,355,315 |
|
|
|
|
|
|
|
2,175,002 |
|
|
|
|
|
Other liabilities |
|
|
192,036 |
|
|
|
|
|
|
|
192,809 |
|
|
|
|
|
|
|
169,240 |
|
|
|
|
|
Total liabilities |
|
|
11,037,097 |
|
|
|
|
|
|
|
10,802,174 |
|
|
|
|
|
|
|
10,839,598 |
|
|
|
|
|
Stockholders’ equity |
|
|
1,541,609 |
|
|
|
|
|
|
|
1,533,868 |
|
|
|
|
|
|
|
1,510,625 |
|
|
|
|
|
Total liabilities and stockholders’ equity |
|
$ |
12,578,706 |
|
|
|
|
|
|
$ |
12,336,042 |
|
|
|
|
|
|
$ |
12,350,223 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate spread2 |
|
|
|
|
|
2.04 |
% |
|
|
|
|
|
1.97 |
% |
|
|
|
|
|
2.50 |
% |
Net interest income and
margin3 |
|
|
|
$ |
96,236 |
|
3.29 |
% |
|
|
|
$ |
92,806 |
|
3.24 |
% |
|
|
|
$ |
100,831 |
|
3.51 |
% |
1 Includes average outstanding balances of LHFS
of $58.5 million, $53.9 million and $23.4 million for the quarters
ended June 30, 2024, March 31, 2024, and June 30, 2023,
respectively, and average balances of LHI, excluding MW.2 Net
interest rate spread is the average yield on interest-earning
assets minus the average rate on interest-bearing liabilities.3 Net
interest margin is equal to net interest income divided by average
interest-earning assets.
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(In thousands, except
percentages)
|
|
For the Six Months Ended |
|
|
June 30, 2024 |
|
June 30, 2023 |
|
|
Average Outstanding Balance |
|
Interest Earned/ Interest Paid |
|
Average Yield/ Rate |
|
Average Outstanding Balance |
|
Interest Earned/ Interest Paid |
|
Average Yield/ Rate |
Assets |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans1 |
|
$ |
9,314,148 |
|
|
$ |
317,908 |
|
6.86 |
% |
|
$ |
9,213,742 |
|
|
$ |
305,486 |
|
6.69 |
% |
LHI, MW |
|
|
350,252 |
|
|
|
11,013 |
|
6.32 |
|
|
|
366,000 |
|
|
|
9,948 |
|
5.48 |
|
Debt securities |
|
|
1,323,644 |
|
|
|
29,103 |
|
4.42 |
|
|
|
1,192,823 |
|
|
|
21,154 |
|
3.58 |
|
Interest-bearing deposits in other banks |
|
|
572,589 |
|
|
|
15,772 |
|
5.54 |
|
|
|
531,373 |
|
|
|
13,041 |
|
4.95 |
|
Equity securities and other investments |
|
|
77,616 |
|
|
|
2,038 |
|
5.28 |
|
|
|
131,462 |
|
|
|
2,526 |
|
3.87 |
|
Total interest-earning assets |
|
|
11,638,249 |
|
|
|
375,834 |
|
6.49 |
|
|
|
11,435,400 |
|
|
|
352,155 |
|
6.21 |
|
ACL |
|
|
(114,104 |
) |
|
|
|
|
|
|
(97,639 |
) |
|
|
|
|
Noninterest-earning assets |
|
|
933,229 |
|
|
|
|
|
|
|
944,883 |
|
|
|
|
|
Total assets |
|
$ |
12,457,374 |
|
|
|
|
|
|
$ |
12,282,644 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Stockholders’ Equity |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand and savings deposits |
|
$ |
4,604,887 |
|
|
$ |
92,403 |
|
4.04 |
% |
|
$ |
4,033,975 |
|
|
$ |
62,814 |
|
3.14 |
% |
Certificates and other time deposits |
|
|
3,437,385 |
|
|
|
85,303 |
|
4.99 |
|
|
|
2,731,925 |
|
|
|
49,067 |
|
3.62 |
|
Advances from FHLB and Other |
|
|
103,819 |
|
|
|
2,859 |
|
5.54 |
|
|
|
1,298,765 |
|
|
|
29,920 |
|
4.65 |
|
Subordinated debentures and subordinated notes |
|
|
230,011 |
|
|
|
6,227 |
|
5.44 |
|
|
|
230,195 |
|
|
|
6,134 |
|
5.37 |
|
Total interest-bearing liabilities |
|
|
8,376,102 |
|
|
|
186,792 |
|
4.48 |
|
|
|
8,294,860 |
|
|
|
147,935 |
|
3.60 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing deposits |
|
|
2,351,112 |
|
|
|
|
|
|
|
2,322,790 |
|
|
|
|
|
Other liabilities |
|
|
192,422 |
|
|
|
|
|
|
|
171,299 |
|
|
|
|
|
Total liabilities |
|
|
10,919,636 |
|
|
|
|
|
|
|
10,788,949 |
|
|
|
|
|
Stockholders’ equity |
|
|
1,537,738 |
|
|
|
|
|
|
|
1,493,695 |
|
|
|
|
|
Total liabilities and stockholders’ equity |
|
$ |
12,457,374 |
|
|
|
|
|
|
$ |
12,282,644 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate spread2 |
|
|
|
|
|
2.01 |
% |
|
|
|
|
|
2.61 |
% |
Net interest income and
margin3 |
|
|
|
$ |
189,042 |
|
3.27 |
% |
|
|
|
$ |
204,220 |
|
3.60 |
% |
1 Includes average outstanding balances of LHFS
of $56.2 million and $21.5 million for the six months ended June
30, 2024 and 2023, respectively, and average balances of LHI,
excluding MW.2 Net interest rate spread is the average yield on
interest-earning assets minus the average rate on interest-bearing
liabilities.3 Net interest margin is equal to net interest income
divided by average interest-earning assets.
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(Unaudited)Yield
Trend
|
|
For the Quarter Ended |
|
|
Jun 30,2024 |
|
Mar 31,2024 |
|
Dec 31,2023 |
|
Sep 30,2023 |
|
Jun 30,2023 |
Average yield on interest-earning
assets: |
|
|
|
|
|
|
|
|
|
|
Loans1 |
|
6.90 |
% |
|
6.83 |
% |
|
6.88 |
% |
|
6.92 |
% |
|
6.85 |
% |
LHI, MW |
|
6.36 |
|
|
6.27 |
|
|
5.82 |
|
|
6.38 |
|
|
5.44 |
|
Total Loans |
|
6.88 |
|
|
6.81 |
|
|
6.85 |
|
|
6.90 |
|
|
6.80 |
|
Debt securities |
|
4.58 |
|
|
4.25 |
|
|
4.10 |
|
|
3.87 |
|
|
3.60 |
|
Interest-bearing deposits in
other banks |
|
5.54 |
|
|
5.54 |
|
|
5.51 |
|
|
5.43 |
|
|
5.16 |
|
Equity securities and other
investments |
|
5.80 |
|
|
4.75 |
|
|
8.28 |
|
|
4.94 |
|
|
3.25 |
|
Total interest-earning assets |
|
6.54 |
% |
|
6.44 |
% |
|
6.51 |
% |
|
6.51 |
% |
|
6.36 |
% |
|
|
|
|
|
|
|
|
|
|
|
Average rate on interest-bearing
liabilities: |
|
|
|
|
|
|
|
|
|
|
Interest-bearing demand and
savings deposits |
|
4.01 |
% |
|
4.06 |
% |
|
4.03 |
% |
|
3.80 |
% |
|
3.37 |
% |
Certificates and other time
deposits |
|
5.02 |
|
|
4.96 |
|
|
4.85 |
|
|
4.55 |
|
|
3.92 |
|
Advances from FHLB |
|
5.54 |
|
|
5.54 |
|
|
5.60 |
|
|
4.66 |
|
|
4.78 |
|
Subordinated debentures and
subordinated notes |
|
5.44 |
|
|
5.45 |
|
|
5.36 |
|
|
5.39 |
|
|
5.37 |
|
Total interest-bearing liabilities |
|
4.50 |
% |
|
4.47 |
% |
|
4.43 |
% |
|
4.21 |
% |
|
3.86 |
% |
|
|
|
|
|
|
|
|
|
|
|
Net interest rate spread2 |
|
2.04 |
% |
|
1.97 |
% |
|
2.08 |
% |
|
2.30 |
% |
|
2.50 |
% |
Net interest margin3 |
|
3.29 |
% |
|
3.24 |
% |
|
3.31 |
% |
|
3.46 |
% |
|
3.51 |
% |
1Includes average outstanding balances of LHFS of
$58.5 million, $53.9 million, $31.2 million, $28.3 million and
$23.4 million for the three months ended June 30, 2024,
March 31, 2024, December 31, 2023, September 30,
2023, and June 30, 2023, respectively, and average balances of LHI,
excluding MW.2 Net interest rate spread is the average yield on
interest-earning assets minus the average rate on interest-bearing
liabilities.3 Net interest margin is equal to net interest income
divided by average interest-earning assets.
Supplemental Yield Trend
|
|
For the Quarter Ended |
|
For the Six Months Ended |
|
|
Jun 30,2024 |
|
Mar 31,2024 |
|
Dec 31,2023 |
|
Sep 30,2023 |
|
Jun 30,2023 |
|
Jun 30,2024 |
|
Jun 30,2023 |
Average cost of interest-bearing deposits |
|
4.46 |
% |
|
4.43 |
% |
|
4.38 |
% |
|
4.12 |
% |
|
3.61 |
% |
|
4.44 |
% |
|
3.33 |
% |
Average costs of total deposits,
including noninterest-bearing |
|
3.46 |
|
|
3.42 |
|
|
3.37 |
|
|
3.15 |
|
|
2.73 |
|
|
3.44 |
|
|
2.48 |
|
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(Unaudited)
LHI and Deposit Portfolio Composition
|
Jun 30,2024 |
|
Mar 31,2024 |
|
Dec 31,2023 |
|
Sep 30,2023 |
|
Jun 30,2023 |
|
(In thousands, except percentages) |
LHI1 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and Industrial (“C&I”) |
$ |
2,798,260 |
|
|
30.4 |
% |
|
$ |
2,785,987 |
|
|
30.1 |
% |
|
$ |
2,752,063 |
|
|
29.9 |
% |
|
$ |
2,841,024 |
|
|
30.7 |
% |
|
$ |
2,850,084 |
|
|
30.7 |
% |
Real Estate: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Owner occupied commercial (“OOCRE”) |
|
806,285 |
|
|
8.7 |
|
|
|
788,376 |
|
|
8.5 |
|
|
|
794,088 |
|
|
8.6 |
|
|
|
697,299 |
|
|
7.5 |
|
|
|
671,602 |
|
|
7.2 |
|
Non-owner occupied commercial (“NOOCRE”) |
|
2,369,848 |
|
|
25.7 |
|
|
|
2,352,993 |
|
|
25.5 |
|
|
|
2,350,725 |
|
|
25.5 |
|
|
|
2,398,060 |
|
|
26.1 |
|
|
|
2,509,731 |
|
|
27.1 |
|
Construction and land |
|
1,536,580 |
|
|
16.7 |
|
|
|
1,568,257 |
|
|
16.9 |
|
|
|
1,734,254 |
|
|
18.8 |
|
|
|
1,705,053 |
|
|
18.4 |
|
|
|
1,659,700 |
|
|
17.9 |
|
Farmland |
|
30,512 |
|
|
0.3 |
|
|
|
30,979 |
|
|
0.3 |
|
|
|
31,114 |
|
|
0.3 |
|
|
|
59,684 |
|
|
0.6 |
|
|
|
51,663 |
|
|
0.6 |
|
1-4 family residential |
|
917,402 |
|
|
10.0 |
|
|
|
969,401 |
|
|
10.5 |
|
|
|
937,119 |
|
|
10.2 |
|
|
|
933,225 |
|
|
10.1 |
|
|
|
923,442 |
|
|
10.0 |
|
Multi-family residential |
|
748,740 |
|
|
8.1 |
|
|
|
751,607 |
|
|
8.1 |
|
|
|
605,817 |
|
|
6.6 |
|
|
|
603,395 |
|
|
6.5 |
|
|
|
592,473 |
|
|
6.4 |
|
Consumer |
|
9,245 |
|
|
0.1 |
|
|
|
8,882 |
|
|
0.1 |
|
|
|
10,149 |
|
|
0.1 |
|
|
|
9,845 |
|
|
0.1 |
|
|
|
11,189 |
|
|
0.1 |
|
Total LHI |
$ |
9,216,872 |
|
|
100 |
% |
|
$ |
9,256,482 |
|
|
100 |
% |
|
$ |
9,215,329 |
|
|
100 |
% |
|
$ |
9,247,585 |
|
|
100 |
% |
|
$ |
9,269,884 |
|
|
100 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MW |
|
568,047 |
|
|
|
|
|
449,531 |
|
|
|
|
|
377,796 |
|
|
|
|
|
390,767 |
|
|
|
|
|
436,255 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total LHI1 |
$ |
9,784,919 |
|
|
|
|
$ |
9,706,013 |
|
|
|
|
$ |
9,593,125 |
|
|
|
|
$ |
9,638,352 |
|
|
|
|
$ |
9,706,139 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total LHFS |
|
57,046 |
|
|
|
|
|
64,762 |
|
|
|
|
|
79,072 |
|
|
|
|
|
41,313 |
|
|
|
|
|
29,876 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Loans |
$ |
9,841,965 |
|
|
|
|
$ |
9,770,775 |
|
|
|
|
$ |
9,672,197 |
|
|
|
|
$ |
9,679,665 |
|
|
|
|
$ |
9,736,015 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing |
$ |
2,416,727 |
|
|
22.5 |
% |
|
$ |
2,349,211 |
|
|
22.1 |
% |
|
$ |
2,218,036 |
|
|
21.5 |
% |
|
$ |
2,363,340 |
|
|
23.2 |
% |
|
$ |
2,234,109 |
|
|
24.2 |
% |
Interest-bearing transaction |
|
523,272 |
|
|
4.9 |
|
|
|
724,171 |
|
|
6.8 |
|
|
|
927,193 |
|
|
8.9 |
|
|
|
739,098 |
|
|
7.2 |
|
|
|
676,653 |
|
|
7.3 |
|
Money market |
|
3,268,286 |
|
|
30.5 |
|
|
|
3,326,742 |
|
|
31.2 |
|
|
|
3,284,324 |
|
|
31.8 |
|
|
|
3,096,498 |
|
|
30.4 |
|
|
|
2,816,769 |
|
|
30.5 |
|
Savings |
|
187,896 |
|
|
1.8 |
|
|
|
169,201 |
|
|
1.6 |
|
|
|
136,868 |
|
|
1.3 |
|
|
|
100,474 |
|
|
1.0 |
|
|
|
96,831 |
|
|
1.0 |
|
Certificates and other time deposits |
|
3,744,596 |
|
|
34.9 |
|
|
|
3,486,805 |
|
|
32.7 |
|
|
|
3,191,737 |
|
|
30.9 |
|
|
|
3,403,427 |
|
|
33.4 |
|
|
|
2,928,949 |
|
|
31.7 |
|
Correspondent money market accounts |
|
584,067 |
|
|
5.4 |
|
|
|
597,690 |
|
|
5.6 |
|
|
|
580,037 |
|
|
5.6 |
|
|
|
493,681 |
|
|
4.8 |
|
|
|
480,598 |
|
|
5.3 |
|
Total deposits |
$ |
10,724,844 |
|
|
100 |
% |
|
$ |
10,653,820 |
|
|
100 |
% |
|
$ |
10,338,195 |
|
|
100 |
% |
|
$ |
10,196,518 |
|
|
100 |
% |
|
$ |
9,233,909 |
|
|
100 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Loans to Deposits
Ratio |
|
91.8 |
% |
|
|
|
|
91.7 |
% |
|
|
|
|
93.6 |
% |
|
|
|
|
94.9 |
% |
|
|
|
|
105.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Loans to Deposit Ratio,
excluding MW loans and LHFS |
|
85.9 |
% |
|
|
|
|
86.9 |
% |
|
|
|
|
89.1 |
% |
|
|
|
|
90.7 |
% |
|
|
|
|
100.4 |
% |
|
|
1 Total LHI does not include deferred fees of $7.8 million, $6.9
million, $8.8 million, $10.1 million and $12.7 million at June 30,
2024, March 31, 2024, December 31, 2023,
September 30, 2023 and June 30, 2023, respectively.
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESFinancial
Highlights(Unaudited)Asset
Quality
|
For the Quarter Ended |
|
For the Six Months Ended |
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
Jun 30, 2024 |
|
Jun 30, 2023 |
|
(In thousands, except percentages) |
|
|
|
|
NPAs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Nonaccrual loans |
$ |
58,537 |
|
|
$ |
75,721 |
|
|
$ |
79,133 |
|
|
$ |
65,676 |
|
|
$ |
54,055 |
|
|
$ |
58,537 |
|
|
$ |
54,055 |
|
Nonaccrual PCD loans1 |
|
73 |
|
|
|
9,419 |
|
|
|
13,715 |
|
|
|
13,718 |
|
|
|
13,721 |
|
|
|
73 |
|
|
|
13,721 |
|
Accruing loans 90 or more days past due2 |
|
143 |
|
|
|
220 |
|
|
|
2,975 |
|
|
|
474 |
|
|
|
528 |
|
|
|
143 |
|
|
|
528 |
|
Total nonperforming loans held for investment (“NPLs”) |
|
58,753 |
|
|
|
85,360 |
|
|
|
95,823 |
|
|
|
79,868 |
|
|
|
68,304 |
|
|
|
58,753 |
|
|
|
68,304 |
|
Other real estate owned |
|
24,256 |
|
|
|
18,445 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
24,256 |
|
|
|
— |
|
Total NPAs |
$ |
83,009 |
|
|
$ |
103,805 |
|
|
$ |
95,823 |
|
|
$ |
79,868 |
|
|
$ |
68,304 |
|
|
$ |
83,009 |
|
|
$ |
68,304 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Charge-offs: |
|
|
|
|
|
|
|
|
|
|
|
|
|
1-4 family residential |
$ |
(31 |
) |
|
$ |
— |
|
|
$ |
(21 |
) |
|
$ |
— |
|
|
$ |
— |
|
|
$ |
(31 |
) |
|
$ |
— |
|
Multifamily |
|
(198 |
) |
|
|
— |
|
|
|
(192 |
) |
|
|
— |
|
|
|
— |
|
|
|
(198 |
) |
|
|
— |
|
OOCRE |
|
— |
|
|
|
(120 |
) |
|
|
(364 |
) |
|
|
(375 |
) |
|
|
— |
|
|
|
(120 |
) |
|
|
(116 |
) |
NOOCRE |
|
(1,969 |
) |
|
|
(4,293 |
) |
|
|
(5,434 |
) |
|
|
— |
|
|
|
(8,215 |
) |
|
|
(6,262 |
) |
|
|
(8,215 |
) |
C&I |
|
(5,601 |
) |
|
|
(946 |
) |
|
|
(3,893 |
) |
|
|
(1,929 |
) |
|
|
(3,540 |
) |
|
|
(6,547 |
) |
|
|
(4,591 |
) |
Consumer |
|
(30 |
) |
|
|
(71 |
) |
|
|
(33 |
) |
|
|
(49 |
) |
|
|
(92 |
) |
|
|
(101 |
) |
|
|
(154 |
) |
Total charge-offs |
$ |
(7,829 |
) |
|
$ |
(5,430 |
) |
|
$ |
(9,937 |
) |
|
$ |
(2,353 |
) |
|
$ |
(11,847 |
) |
|
$ |
(13,259 |
) |
|
$ |
(13,076 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Recoveries: |
|
|
|
|
|
|
|
|
|
|
|
|
|
1-4 family residential |
$ |
— |
|
|
$ |
1 |
|
|
$ |
1 |
|
|
$ |
— |
|
|
$ |
1 |
|
|
$ |
1 |
|
|
$ |
2 |
|
OOCRE |
|
120 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
120 |
|
|
|
— |
|
NOOCRE |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
200 |
|
|
|
150 |
|
|
|
— |
|
|
|
150 |
|
C&I |
|
361 |
|
|
|
96 |
|
|
|
387 |
|
|
|
308 |
|
|
|
106 |
|
|
|
457 |
|
|
|
470 |
|
Consumer |
|
497 |
|
|
|
49 |
|
|
|
34 |
|
|
|
14 |
|
|
|
46 |
|
|
|
546 |
|
|
|
52 |
|
Total recoveries |
$ |
978 |
|
|
$ |
146 |
|
|
$ |
422 |
|
|
$ |
522 |
|
|
$ |
303 |
|
|
$ |
1,124 |
|
|
$ |
674 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net charge-offs |
$ |
(6,851 |
) |
|
$ |
(5,284 |
) |
|
$ |
(9,515 |
) |
|
$ |
(1,831 |
) |
|
$ |
(11,544 |
) |
|
$ |
(12,135 |
) |
|
$ |
(12,402 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Provision for credit losses |
$ |
8,250 |
|
|
$ |
7,500 |
|
|
$ |
9,500 |
|
|
$ |
8,627 |
|
|
$ |
15,000 |
|
|
$ |
15,750 |
|
|
$ |
24,385 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ACL |
$ |
113,431 |
|
|
$ |
112,032 |
|
|
$ |
109,816 |
|
|
$ |
109,831 |
|
|
$ |
102,150 |
|
|
$ |
113,431 |
|
|
$ |
102,150 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Asset Quality Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
NPAs to total assets |
|
0.65 |
% |
|
|
0.82 |
% |
|
|
0.77 |
% |
|
|
0.65 |
% |
|
|
0.55 |
% |
|
|
0.65 |
% |
|
|
0.55 |
% |
NPAs, excluding nonaccrual PCD loans, to total assets |
|
0.65 |
|
|
|
0.74 |
|
|
|
0.66 |
|
|
|
0.54 |
|
|
|
0.44 |
|
|
|
0.65 |
|
|
|
0.44 |
|
NPAs to total loans and OREO |
|
0.85 |
|
|
|
1.06 |
|
|
|
0.99 |
|
|
|
0.83 |
|
|
|
0.70 |
|
|
|
0.85 |
|
|
|
0.70 |
|
NPLs to total LHI |
|
0.60 |
|
|
|
0.88 |
|
|
|
1.00 |
|
|
|
0.83 |
|
|
|
0.70 |
|
|
|
0.60 |
|
|
|
0.70 |
|
NPLs, excluding nonaccrual PCD loans, to total LHI |
|
0.60 |
|
|
|
0.78 |
|
|
|
0.86 |
|
|
|
0.69 |
|
|
|
0.56 |
|
|
|
0.60 |
|
|
|
0.56 |
|
ACL to total LHI |
|
1.16 |
|
|
|
1.15 |
|
|
|
1.14 |
|
|
|
1.14 |
|
|
|
1.05 |
|
|
|
1.16 |
|
|
|
1.05 |
|
ACL to total loans, excluding MW and LHFS |
|
1.23 |
|
|
|
1.21 |
|
|
|
1.19 |
|
|
|
1.19 |
|
|
|
1.10 |
|
|
|
1.23 |
|
|
|
1.10 |
|
Net charge-offs to average loans outstanding3 |
|
0.28 |
|
|
|
0.22 |
|
|
|
0.40 |
|
|
|
0.08 |
|
|
|
0.48 |
|
|
|
0.25 |
|
|
|
0.26 |
|
1 Nonaccrual PCD loans consist of PCD loans that transitioned
upon adoption of ASC 326 Financial Instruments - Credit Losses and
were accounted for on a pooled basis that have subsequently been
placed on nonaccrual status.2 Accruing loans greater than 90 days
past due exclude purchase credit deteriorated loans greater than 90
days past due that are accounted for on a pooled basis.3Annualized
ratio for quarterly metrics.
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESReconciliation of Non-GAAP Financial
Measures(Unaudited)
We identify certain financial measures discussed
in this earnings release as being “non-GAAP financial measures.” In
accordance with SEC rules, we classify a financial measure as being
a non-GAAP financial measure if that financial measure excludes or
includes amounts, or is subject to adjustments that have the effect
of excluding or including amounts, that are included or excluded,
as the case may be, in the most directly comparable measure
calculated and presented in accordance with GAAP, in our statements
of income, balance sheets or statements of cash flows. Non-GAAP
financial measures do not include operating and other statistical
measures or ratios calculated using exclusively either one or both
of (i) financial measures calculated in accordance with GAAP and
(ii) operating measures or other measures that are not non-GAAP
financial measures.
The non-GAAP financial measures that we present
in this earnings release should not be considered in isolation or
as a substitute for the most directly comparable or other financial
measures calculated in accordance with GAAP. Moreover, the manner
in which we calculate the non-GAAP financial measures that we
present in this earnings release may differ from that of other
companies reporting measures with similar names. You should
understand how such other financial institutions calculate their
financial measures that appear to be similar or have similar names
to the non-GAAP financial measures we have discussed in this
earnings release when comparing such non-GAAP financial
measures.
Tangible Book Value Per Common Share. Tangible
book value is a non-GAAP measure generally used by financial
analysts and investment bankers to evaluate financial institutions.
We calculate: (a) tangible common equity as total stockholders’
equity less goodwill and core deposit intangibles, net of
accumulated amortization; and (b) tangible book value per common
share as tangible common equity (as described in clause (a))
divided by number of common shares outstanding. For tangible book
value per common share, the most directly comparable financial
measure calculated in accordance with GAAP is book value per common
share.
We believe that this measure is important to
many investors in the marketplace who are interested in changes
from period to period in book value per common share exclusive of
changes in core deposit intangibles. Goodwill and other intangible
assets have the effect of increasing total book value while not
increasing our tangible book value.
The following table reconciles, as of the dates
set forth below, total stockholders’ equity to tangible common
equity and presents our tangible book value per common share
compared with our book value per common share:
|
|
As of |
|
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
|
(Dollars in thousands, except per share data) |
Tangible Common
Equity |
|
|
|
|
|
|
|
|
|
|
Total stockholders' equity |
|
$ |
1,548,616 |
|
|
$ |
1,538,515 |
|
|
$ |
1,531,323 |
|
|
$ |
1,491,166 |
|
|
$ |
1,491,280 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
Core deposit intangibles |
|
|
(23,619 |
) |
|
|
(26,057 |
) |
|
|
(28,495 |
) |
|
|
(30,933 |
) |
|
|
(33,371 |
) |
Tangible common equity |
|
$ |
1,120,545 |
|
|
$ |
1,108,006 |
|
|
$ |
1,098,376 |
|
|
$ |
1,055,781 |
|
|
$ |
1,053,457 |
|
Common shares outstanding |
|
|
54,350 |
|
|
|
54,496 |
|
|
|
54,338 |
|
|
|
54,305 |
|
|
|
54,261 |
|
|
|
|
|
|
|
|
|
|
|
|
Book value per common share |
|
$ |
28.49 |
|
|
$ |
28.23 |
|
|
$ |
28.18 |
|
|
$ |
27.46 |
|
|
$ |
27.48 |
|
Tangible book value per common
share |
|
$ |
20.62 |
|
|
$ |
20.33 |
|
|
$ |
20.21 |
|
|
$ |
19.44 |
|
|
$ |
19.41 |
|
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESReconciliation of Non-GAAP Financial
Measures(Unaudited)
Tangible Common Equity to Tangible Assets.
Tangible common equity to tangible assets is a non-GAAP measure
generally used by financial analysts and investment bankers to
evaluate financial institutions. We calculate: (a) tangible common
equity as total stockholders’ equity, less goodwill and core
deposit intangibles, net of accumulated amortization; (b) tangible
assets as total assets less goodwill and core deposit intangibles,
net of accumulated amortization; and (c) tangible common equity to
tangible assets as tangible common equity (as described in clause
(a)) divided by tangible assets (as described in clause (b)). For
tangible common equity to tangible assets, the most directly
comparable financial measure calculated in accordance with GAAP is
total stockholders’ equity to total assets.
We believe that this measure is important to
many investors in the marketplace who are interested in the
relative changes from period to period in common equity and total
assets, in each case, exclusive of changes in core deposit
intangibles. Goodwill and other intangible assets have the effect
of increasing both total stockholders’ equity and assets while not
increasing our tangible common equity or tangible assets.
The following table reconciles, as of the dates
set forth below, total stockholders’ equity to tangible common
equity and total assets to tangible assets and presents our
tangible common equity to tangible assets:
|
|
As of |
|
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
|
(Dollars in thousands) |
Tangible Common
Equity |
|
|
|
|
|
|
|
|
|
|
Total stockholders' equity |
|
$ |
1,548,616 |
|
|
$ |
1,538,515 |
|
|
$ |
1,531,323 |
|
|
$ |
1,491,166 |
|
|
$ |
1,491,280 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
Core deposit intangibles |
|
|
(23,619 |
) |
|
|
(26,057 |
) |
|
|
(28,495 |
) |
|
|
(30,933 |
) |
|
|
(33,371 |
) |
Tangible common equity |
|
$ |
1,120,545 |
|
|
$ |
1,108,006 |
|
|
$ |
1,098,376 |
|
|
$ |
1,055,781 |
|
|
$ |
1,053,457 |
|
Tangible
Assets |
|
|
|
|
|
|
|
|
|
|
Total assets |
|
$ |
12,684,330 |
|
|
$ |
12,708,396 |
|
|
$ |
12,394,337 |
|
|
$ |
12,346,331 |
|
|
$ |
12,470,368 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
Goodwill |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
Core deposit intangibles |
|
|
(23,619 |
) |
|
|
(26,057 |
) |
|
|
(28,495 |
) |
|
|
(30,933 |
) |
|
|
(33,371 |
) |
Tangible Assets |
|
$ |
12,256,259 |
|
|
$ |
12,277,887 |
|
|
$ |
11,961,390 |
|
|
$ |
11,910,946 |
|
|
$ |
12,032,545 |
|
Tangible Common Equity
to Tangible Assets |
|
|
9.14 |
% |
|
|
9.02 |
% |
|
|
9.18 |
% |
|
|
8.86 |
% |
|
|
8.76 |
% |
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESReconciliation of Non-GAAP Financial
Measures(Unaudited)
Return on Average Tangible Common Equity. Return
on average tangible common equity is a non-GAAP measure generally
used by financial analysts and investment bankers to evaluate
financial institutions. We calculate: (a) net income available for
common stockholders adjusted for amortization of core deposit
intangibles (which we refer to as “return”) as net income, plus
amortization of core deposit intangibles, less tax benefit at the
statutory rate; (b) average tangible common equity as total average
stockholders’ equity less average goodwill and average core deposit
intangibles, net of accumulated amortization; and (c) return (as
described in clause (a)) divided by average tangible common equity
(as described in clause (b)). For return on average tangible common
equity, the most directly comparable financial measure calculated
in accordance with GAAP is return on average equity.
We believe that this measure is important to
many investors in the marketplace who are interested in the return
on common equity, exclusive of the impact of core deposit
intangibles. Goodwill and core deposit intangibles have the effect
of increasing total stockholders’ equity while not increasing our
tangible common equity. This measure is particularly relevant to
acquisitive institutions that may have higher balances in goodwill
and core deposit intangibles than non-acquisitive institutions.
The following table reconciles, as of the dates
set forth below, average tangible common equity to average common
equity and net income available for common stockholders adjusted
for amortization of core deposit intangibles, net of taxes to net
income and presents our return on average tangible common
equity:
|
|
For the Quarter Ended |
|
For the Six Months Ended |
|
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
Jun 30, 2024 |
|
Jun 30, 2023 |
|
|
(Dollars in thousands) |
Net income available for
common stockholders adjusted for amortization of core deposit
intangibles |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
27,202 |
|
|
$ |
24,156 |
|
|
$ |
3,499 |
|
|
$ |
32,621 |
|
|
$ |
33,730 |
|
|
$ |
51,358 |
|
|
$ |
72,141 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Amortization of core deposit intangibles |
|
|
2,438 |
|
|
|
2,438 |
|
|
|
2,438 |
|
|
|
2,438 |
|
|
|
2,438 |
|
|
|
4,876 |
|
|
|
4,876 |
|
Less: Tax benefit at the statutory rate |
|
|
512 |
|
|
|
512 |
|
|
|
512 |
|
|
|
512 |
|
|
|
512 |
|
|
|
1,024 |
|
|
|
1,024 |
|
Net income available for common stockholders adjusted for
amortization of core deposit intangibles |
|
$ |
29,128 |
|
|
$ |
26,082 |
|
|
$ |
5,425 |
|
|
$ |
34,547 |
|
|
$ |
35,656 |
|
|
$ |
55,210 |
|
|
$ |
75,993 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Tangible Common
Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total average stockholders' equity |
|
$ |
1,541,609 |
|
|
$ |
1,533,868 |
|
|
$ |
1,510,286 |
|
|
$ |
1,508,170 |
|
|
$ |
1,510,625 |
|
|
$ |
1,537,738 |
|
|
$ |
1,493,695 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average goodwill |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
Average core deposit intangibles |
|
|
(25,218 |
) |
|
|
(27,656 |
) |
|
|
(30,093 |
) |
|
|
(32,540 |
) |
|
|
(34,969 |
) |
|
|
(26,437 |
) |
|
|
(36,159 |
) |
Average tangible common equity |
|
$ |
1,111,939 |
|
|
$ |
1,101,760 |
|
|
$ |
1,075,741 |
|
|
$ |
1,071,178 |
|
|
$ |
1,071,204 |
|
|
$ |
1,106,849 |
|
|
$ |
1,053,084 |
|
Return on Average
Tangible Common Equity (Annualized) |
|
|
10.54 |
% |
|
|
9.52 |
% |
|
|
2.00 |
% |
|
|
12.80 |
% |
|
|
13.35 |
% |
|
|
10.03 |
% |
|
|
14.55 |
% |
VERITEX HOLDINGS, INC. AND
SUBSIDIARIESReconciliation of Non-GAAP Financial
Measures(Unaudited)
Operating Earnings, Pre-tax, Pre-provision
Operating Earnings and performance metrics calculated using
Operating Earnings and Pre-tax, Pre-provision Operating Earnings,
including Diluted Operating Earnings per Share, Operating Return on
Average Assets, Pre-tax, Pre-Provision Operating Return on Average
Assets, Pre-tax, Pre-Provision Operating Return on Average Loans,
Operating Return on Average Tangible Common Equity and Operating
Efficiency Ratio. Operating earnings, pre-tax, pre-provision
operating earnings and the performance metrics calculated using
these metrics, listed below, are non-GAAP measures used by
management to evaluate the Company’s financial performance. We
calculate (a) operating earnings as net income plus severance
payments, plus loss on sale of debt securities AFS, net, plus
M&A expenses less tax impact of adjustments, plus nonrecurring
tax adjustments. We calculate (b) diluted operating earnings per
share as operating earnings as described in clause (a) divided by
weighted average diluted shares outstanding. We calculate (c)
pre-tax, pre-provision operating earnings as operating earnings as
described in clause (a) plus provision for income taxes, plus
provision (benefit) for credit losses and unfunded commitments. We
calculate (d) pre-tax, pre-provision operating return on average
assets as pre-tax, pre-provision operating earnings as described in
clause (a) divided by total average assets. We calculate (e)
operating return on average assets as operating earnings as
described in clause (a) divided by total average assets. We
calculate (f) operating return on average tangible common equity as
operating earnings as described in clause (a), adjusted for the
amortization of intangibles and tax benefit at the statutory rate,
divided by total average tangible common equity (average
stockholders’ equity less average goodwill and average core deposit
intangibles, net of accumulated amortization). We calculate (g)
operating efficiency ratio as noninterest expense plus adjustments
to operating noninterest expense divided by noninterest income plus
adjustments to operating noninterest income, plus net interest
income.
We believe that these measures and the operating
metrics calculated utilizing these measures are important to
management and many investors in the marketplace who are interested
in understanding the ongoing operating performance of the Company
and provide meaningful comparisons to its peers.
The following tables reconcile, as of the dates
set forth below, operating net income and pre-tax, pre-provision
operating earnings and related metrics:
|
|
For the Quarter Ended |
|
For the Six Months Ended |
|
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
June 30, 2024 |
|
Jun 30, 2023 |
|
|
(Dollars in thousands, except per share data) |
Operating
Earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
|
$ |
27,202 |
|
$ |
24,156 |
|
$ |
3,499 |
|
$ |
32,621 |
|
$ |
33,730 |
|
$ |
51,358 |
|
$ |
72,141 |
Plus: Severance payments1 |
|
|
613 |
|
|
— |
|
|
— |
|
|
— |
|
|
1,194 |
|
|
613 |
|
|
2,029 |
Plus: Loss on sale of AFS securities, net |
|
|
— |
|
|
6,304 |
|
|
— |
|
|
— |
|
|
— |
|
|
6,304 |
|
|
5,321 |
Plus: Equity method investment write-down |
|
|
— |
|
|
— |
|
|
29,417 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
Plus: FDIC special assessment |
|
|
134 |
|
|
— |
|
|
768 |
|
|
— |
|
|
— |
|
|
134 |
|
|
— |
Operating pre-tax income |
|
|
27,949 |
|
|
30,460 |
|
|
33,684 |
|
|
32,621 |
|
|
34,924 |
|
|
58,409 |
|
|
79,491 |
Less: Tax impact of adjustments |
|
|
166 |
|
|
1,323 |
|
|
2,059 |
|
|
— |
|
|
251 |
|
|
1,489 |
|
|
1,544 |
Plus: Nonrecurring tax adjustments |
|
|
527 |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
527 |
|
|
— |
Operating earnings |
|
$ |
28,310 |
|
$ |
29,137 |
|
$ |
31,625 |
|
$ |
32,621 |
|
$ |
34,673 |
|
$ |
57,447 |
|
$ |
77,947 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average diluted
shares outstanding |
|
|
54,823 |
|
|
54,842 |
|
|
54,691 |
|
|
54,597 |
|
|
54,486 |
|
|
54,832 |
|
|
54,546 |
Diluted EPS |
|
$ |
0.50 |
|
$ |
0.44 |
|
$ |
0.06 |
|
$ |
0.60 |
|
$ |
0.62 |
|
$ |
0.94 |
|
$ |
1.32 |
Diluted operating
EPS |
|
$ |
0.52 |
|
$ |
0.53 |
|
$ |
0.58 |
|
$ |
0.60 |
|
$ |
0.64 |
|
$ |
1.05 |
|
$ |
1.43 |
1 Severance payments relate to certain
restructurings made during the periods disclosed.
|
For the Quarter Ended |
|
For the Six Months Ended |
|
Jun 30, 2024 |
|
Mar 31, 2024 |
|
Dec 31, 2023 |
|
Sep 30, 2023 |
|
Jun 30, 2023 |
|
Jun 30, 2024 |
|
Jun 30, 2023 |
|
(Dollars in thousands) |
Pre-Tax, Pre-Provision
Operating Earnings |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
$ |
27,202 |
|
|
$ |
24,156 |
|
|
$ |
3,499 |
|
|
$ |
32,621 |
|
|
$ |
33,730 |
|
|
$ |
51,358 |
|
|
$ |
72,141 |
|
Plus: Provision for income taxes |
|
8,221 |
|
|
|
7,237 |
|
|
|
6,004 |
|
|
|
9,282 |
|
|
|
9,725 |
|
|
|
15,458 |
|
|
|
20,737 |
|
Plus: Provision for credit losses and unfunded commitments |
|
8,250 |
|
|
|
5,959 |
|
|
|
8,000 |
|
|
|
7,718 |
|
|
|
13,871 |
|
|
|
14,209 |
|
|
|
24,753 |
|
Plus: Severance payments |
|
613 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,194 |
|
|
|
613 |
|
|
|
2,029 |
|
Plus: Loss on sale of AFS securities, net |
|
— |
|
|
|
6,304 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6,304 |
|
|
|
5,321 |
|
Plus: Equity method investment write-down |
|
— |
|
|
|
— |
|
|
|
29,417 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Plus: FDIC special assessment |
|
134 |
|
|
|
— |
|
|
|
768 |
|
|
|
— |
|
|
|
— |
|
|
|
134 |
|
|
|
— |
|
Pre-tax, pre-provision
operating earnings |
$ |
44,420 |
|
|
$ |
43,656 |
|
|
$ |
47,688 |
|
|
$ |
49,621 |
|
|
$ |
58,520 |
|
|
$ |
88,076 |
|
|
$ |
124,981 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
assets |
$ |
12,578,706 |
|
|
$ |
12,336,042 |
|
|
$ |
12,306,634 |
|
|
$ |
12,259,062 |
|
|
$ |
12,350,223 |
|
|
$ |
12,457,374 |
|
|
$ |
12,282,644 |
|
Pre-tax, pre-provision
operating return on average assets1 |
|
1.42 |
% |
|
|
1.42 |
% |
|
|
1.54 |
% |
|
|
1.61 |
% |
|
|
1.90 |
% |
|
|
1.42 |
% |
|
|
2.05 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average
loans |
$ |
9,765,428 |
|
|
$ |
9,563,372 |
|
|
$ |
9,581,784 |
|
|
$ |
9,625,005 |
|
|
$ |
9,657,313 |
|
|
$ |
9,664,400 |
|
|
$ |
9,579,742 |
|
Pre-tax, pre-provision
operating return on average loans1 |
|
1.83 |
% |
|
|
1.84 |
% |
|
|
1.97 |
% |
|
|
2.05 |
% |
|
|
2.43 |
% |
|
|
1.83 |
% |
|
|
2.63 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average total
assets |
$ |
12,578,706 |
|
|
$ |
12,336,042 |
|
|
$ |
12,306,634 |
|
|
$ |
12,259,062 |
|
|
$ |
12,350,223 |
|
|
$ |
12,457,374 |
|
|
$ |
12,282,644 |
|
Return on average assets1 |
|
0.87 |
% |
|
|
0.79 |
% |
|
|
0.11 |
% |
|
|
1.06 |
% |
|
|
1.10 |
% |
|
|
0.83 |
% |
|
|
1.18 |
% |
Operating return on average
assets1 |
|
0.91 |
|
|
|
0.95 |
|
|
|
1.02 |
|
|
|
1.06 |
|
|
|
1.13 |
|
|
|
0.93 |
|
|
|
1.28 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating earnings
adjusted for amortization of core deposit intangibles |
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating earnings |
$ |
28,310 |
|
|
$ |
29,137 |
|
|
$ |
31,625 |
|
|
$ |
32,621 |
|
|
$ |
34,673 |
|
|
$ |
57,447 |
|
|
$ |
77,947 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Plus: Amortization of core deposit intangibles |
|
2,438 |
|
|
|
2,438 |
|
|
|
2,438 |
|
|
|
2,438 |
|
|
|
2,438 |
|
|
|
4,876 |
|
|
|
4,876 |
|
Less: Tax benefit at the statutory rate |
|
512 |
|
|
|
512 |
|
|
|
512 |
|
|
|
512 |
|
|
|
512 |
|
|
|
1,024 |
|
|
|
1,024 |
|
Operating earnings
adjusted for amortization of core deposit intangibles |
$ |
30,236 |
|
|
$ |
31,063 |
|
|
$ |
33,551 |
|
|
$ |
34,547 |
|
|
$ |
36,599 |
|
|
$ |
61,299 |
|
|
$ |
81,799 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Tangible Common
Equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
Total average stockholders' equity |
$ |
1,541,609 |
|
|
$ |
1,533,868 |
|
|
$ |
1,510,286 |
|
|
$ |
1,508,170 |
|
|
$ |
1,510,625 |
|
|
$ |
1,537,738 |
|
|
$ |
1,493,695 |
|
Adjustments: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Less: Average goodwill |
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
|
|
(404,452 |
) |
Less: Average core deposit intangibles |
|
(25,218 |
) |
|
|
(27,656 |
) |
|
|
(30,093 |
) |
|
|
(32,540 |
) |
|
|
(34,969 |
) |
|
|
(26,437 |
) |
|
|
(36,159 |
) |
Average tangible common equity |
$ |
1,111,939 |
|
|
$ |
1,101,760 |
|
|
$ |
1,075,741 |
|
|
$ |
1,071,178 |
|
|
$ |
1,071,204 |
|
|
$ |
1,106,849 |
|
|
$ |
1,053,084 |
|
Operating return on
average tangible common equity1 |
|
10.94 |
% |
|
|
11.34 |
% |
|
|
12.37 |
% |
|
|
12.80 |
% |
|
|
13.70 |
% |
|
|
11.14 |
% |
|
|
15.66 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Efficiency
ratio |
|
59.11 |
% |
|
|
62.45 |
% |
|
|
77.49 |
% |
|
|
54.49 |
% |
|
|
49.94 |
% |
|
|
60.72 |
% |
|
|
49.17 |
% |
Operating efficiency
ratio |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
$ |
96,236 |
|
|
$ |
92,806 |
|
|
$ |
95,533 |
|
|
$ |
99,361 |
|
|
$ |
100,831 |
|
|
$ |
189,042 |
|
|
$ |
204,220 |
|
Noninterest income |
|
10,578 |
|
|
|
6,662 |
|
|
|
(17,792 |
) |
|
|
9,674 |
|
|
|
13,692 |
|
|
|
17,240 |
|
|
|
27,223 |
|
Plus: Loss on sale of AFS securities, net |
|
— |
|
|
|
6,304 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
6,304 |
|
|
|
5,321 |
|
Plus: Equity method investment write-down |
|
— |
|
|
|
— |
|
|
|
29,417 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
Operating noninterest income |
|
10,578 |
|
|
|
12,966 |
|
|
|
11,625 |
|
|
|
9,674 |
|
|
|
13,692 |
|
|
|
23,544 |
|
|
|
32,544 |
|
Noninterest expense |
|
63,141 |
|
|
|
62,116 |
|
|
|
60,238 |
|
|
|
59,414 |
|
|
|
57,197 |
|
|
|
125,257 |
|
|
|
113,812 |
|
Less: FDIC special assessment |
|
134 |
|
|
|
— |
|
|
|
768 |
|
|
|
— |
|
|
|
— |
|
|
|
134 |
|
|
|
— |
|
Less: Severance payments |
|
613 |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
1,194 |
|
|
|
613 |
|
|
|
2,029 |
|
Operating noninterest
expense |
$ |
62,394 |
|
|
$ |
62,116 |
|
|
$ |
59,470 |
|
|
$ |
59,414 |
|
|
$ |
56,003 |
|
|
$ |
124,510 |
|
|
$ |
111,783 |
|
Operating efficiency
ratio |
|
58.41 |
% |
|
|
58.73 |
% |
|
|
55.50 |
% |
|
|
54.49 |
% |
|
|
48.90 |
% |
|
|
58.57 |
% |
|
|
47.21 |
% |
1 Annualized ratio for quarterly metrics.
Veritex (NASDAQ:VBTX)
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From Jul 2023 to Jul 2024