Delaware | 001-34657 | 75-2679109 | ||||||
(State or other jurisdiction of incorporation) |
(Commission File Number) |
(I.R.S. Employer Identification Number) |
☐ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | ||||
☐ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | ||||
☐ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | ||||
☐ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered | ||||||||||||
Common Stock, par value $0.01 per share | TCBI | Nasdaq Stock Market | ||||||||||||
5.75% Non-Cumulative Perpetual Preferred Stock Series B, par value $0.01 per share | TCBIO | Nasdaq Stock Market |
Date: | July 18, 2024 | TEXAS CAPITAL BANCSHARES, INC. | |||||||||||||||
By: | /s/ J. Matthew Scurlock | ||||||||||||||||
J. Matthew Scurlock Chief Financial Officer |
INVESTOR CONTACT | ||||||||
Jocelyn Kukulka, 469.399.8544 | ||||||||
jocelyn.kukulka@texascapitalbank.com | ||||||||
MEDIA CONTACT | ||||||||
Julia Monter, 469.399.8425 | ||||||||
julia.monter@texascapitalbank.com |
FINANCIAL RESULTS | |||||||||||||||||
(dollars and shares in thousands) | |||||||||||||||||
2nd Quarter | 1st Quarter | 2nd Quarter | |||||||||||||||
2024 | 2024 | 2023 | |||||||||||||||
OPERATING RESULTS | |||||||||||||||||
Net income | $ | 41,662 | $ | 26,142 | $ | 68,651 | |||||||||||
Net income available to common stockholders | $ | 37,350 | $ | 21,829 | $ | 64,339 | |||||||||||
Diluted earnings per common share | $ | 0.80 | $ | 0.46 | $ | 1.33 | |||||||||||
Diluted common shares | 46,872 | 47,711 | 48,421 | ||||||||||||||
Return on average assets | 0.56 | % | 0.36 | % | 0.95 | % | |||||||||||
Return on average common equity | 5.26 | % | 3.03 | % | 9.17 | % | |||||||||||
BALANCE SHEET | |||||||||||||||||
Loans held for investment | $ | 16,700,569 | $ | 16,677,691 | $ | 16,227,203 | |||||||||||
Loans held for investment, mortgage finance | 5,078,161 | 4,153,313 | 5,098,812 | ||||||||||||||
Total loans held for investment | 21,778,730 | 20,831,004 | 21,326,015 | ||||||||||||||
Loans held for sale | 36,785 | 37,750 | 29,097 | ||||||||||||||
Total assets | 29,854,994 | 29,180,585 | 28,976,544 | ||||||||||||||
Non-interest bearing deposits | 7,987,715 | 8,478,215 | 9,429,352 | ||||||||||||||
Total deposits | 23,818,327 | 23,954,037 | 23,318,240 | ||||||||||||||
Stockholders’ equity | 3,175,601 | 3,170,662 | 3,081,927 | ||||||||||||||
TEXAS CAPITAL BANCSHARES, INC. | |||||||||||||||||
SELECTED FINANCIAL HIGHLIGHTS (UNAUDITED) | |||||||||||||||||
(dollars in thousands except per share data) | |||||||||||||||||
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | |||||||||||||
2024 | 2024 | 2023 | 2023 | 2023 | |||||||||||||
CONSOLIDATED STATEMENTS OF INCOME | |||||||||||||||||
Interest income | $ | 422,068 | $ | 417,378 | $ | 417,072 | $ | 425,769 | $ | 401,916 | |||||||
Interest expense | 205,486 | 202,369 | 202,355 | 193,698 | 169,926 | ||||||||||||
Net interest income | 216,582 | 215,009 | 214,717 | 232,071 | 231,990 | ||||||||||||
Provision for credit losses | 20,000 | 19,000 | 19,000 | 18,000 | 7,000 | ||||||||||||
Net interest income after provision for credit losses | 196,582 | 196,009 | 195,717 | 214,071 | 224,990 | ||||||||||||
Non-interest income | 50,424 | 41,319 | 31,133 | 46,872 | 46,011 | ||||||||||||
Non-interest expense | 188,409 | 202,393 | 201,385 | 179,891 | 181,644 | ||||||||||||
Income before income taxes | 58,597 | 34,935 | 25,465 | 81,052 | 89,357 | ||||||||||||
Income tax expense | 16,935 | 8,793 | 5,315 | 19,373 | 20,706 | ||||||||||||
Net income | 41,662 | 26,142 | 20,150 | 61,679 | 68,651 | ||||||||||||
Preferred stock dividends | 4,312 | 4,313 | 4,312 | 4,313 | 4,312 | ||||||||||||
Net income available to common stockholders | $ | 37,350 | $ | 21,829 | $ | 15,838 | $ | 57,366 | $ | 64,339 | |||||||
Diluted earnings per common share | $ | 0.80 | $ | 0.46 | $ | 0.33 | $ | 1.18 | $ | 1.33 | |||||||
Diluted common shares | 46,872,498 | 47,711,192 | 48,097,517 | 48,528,698 | 48,421,276 | ||||||||||||
CONSOLIDATED BALANCE SHEET DATA | |||||||||||||||||
Total assets | $ | 29,854,994 | $ | 29,180,585 | $ | 28,356,266 | $ | 29,628,249 | $ | 28,976,544 | |||||||
Loans held for investment | 16,700,569 | 16,677,691 | 16,362,230 | 16,183,882 | 16,227,203 | ||||||||||||
Loans held for investment, mortgage finance | 5,078,161 | 4,153,313 | 3,978,328 | 4,429,489 | 5,098,812 | ||||||||||||
Loans held for sale | 36,785 | 37,750 | 44,105 | 155,073 | 29,097 | ||||||||||||
Interest bearing cash and cash equivalents | 2,691,352 | 3,148,157 | 3,042,357 | 3,975,860 | 2,587,131 | ||||||||||||
Investment securities | 4,388,976 | 4,414,280 | 4,143,194 | 4,069,717 | 4,226,653 | ||||||||||||
Non-interest bearing deposits | 7,987,715 | 8,478,215 | 7,328,276 | 9,352,883 | 9,429,352 | ||||||||||||
Total deposits | 23,818,327 | 23,954,037 | 22,371,839 | 23,878,978 | 23,318,240 | ||||||||||||
Short-term borrowings | 1,675,000 | 750,000 | 1,500,000 | 1,400,000 | 1,350,000 | ||||||||||||
Long-term debt | 659,997 | 859,823 | 859,147 | 858,471 | 857,795 | ||||||||||||
Stockholders’ equity | 3,175,601 | 3,170,662 | 3,199,142 | 3,077,700 | 3,081,927 | ||||||||||||
End of period shares outstanding | 46,188,078 | 46,986,275 | 47,237,912 | 48,015,003 | 47,992,521 | ||||||||||||
Book value per share | $ | 62.26 | $ | 61.10 | $ | 61.37 | $ | 57.85 | $ | 57.97 | |||||||
Tangible book value per share(1) |
$ | 62.23 | $ | 61.06 | $ | 61.34 | $ | 57.82 | $ | 57.93 | |||||||
SELECTED FINANCIAL RATIOS | |||||||||||||||||
Net interest margin | 3.01 | % | 3.03 | % | 2.93 | % | 3.13 | % | 3.29 | % | |||||||
Return on average assets | 0.56 | % | 0.36 | % | 0.27 | % | 0.81 | % | 0.95 | % | |||||||
Return on average common equity | 5.26 | % | 3.03 | % | 2.25 | % | 8.08 | % | 9.17 | % | |||||||
Non-interest income to average earning assets | 0.71 | % | 0.59 | % | 0.43 | % | 0.64 | % | 0.66 | % | |||||||
Efficiency ratio(2) |
70.6 | % | 79.0 | % | 81.9 | % | 64.5 | % | 65.3 | % | |||||||
Non-interest expense to average earning assets | 2.65 | % | 2.89 | % | 2.79 | % | 2.46 | % | 2.61 | % | |||||||
Common equity to total assets | 9.6 | % | 9.8 | % | 10.2 | % | 9.4 | % | 9.6 | % | |||||||
Tangible common equity to total tangible assets(3) |
9.6 | % | 9.8 | % | 10.2 | % | 9.4 | % | 9.6 | % | |||||||
Common Equity Tier 1 | 11.6 | % | 12.4 | % | 12.6 | % | 12.7 | % | 12.2 | % | |||||||
Tier 1 capital | 13.1 | % | 13.9 | % | 14.2 | % | 14.3 | % | 13.7 | % | |||||||
Total capital | 15.7 | % | 16.6 | % | 17.1 | % | 17.1 | % | 16.4 | % | |||||||
Leverage | 12.2 | % | 12.4 | % | 12.2 | % | 12.1 | % | 12.4 | % |
TEXAS CAPITAL BANCSHARES, INC. | |||||||||||
CONSOLIDATED BALANCE SHEETS (UNAUDITED) | |||||||||||
(dollars in thousands) | |||||||||||
June 30, 2024 | June 30, 2023 | % Change | |||||||||
Assets | |||||||||||
Cash and due from banks | $ | 221,727 | $ | 260,314 | (15) | % | |||||
Interest bearing cash and cash equivalents | 2,691,352 | 2,587,131 | 4 | % | |||||||
Available-for-sale debt securities | 3,483,231 | 3,292,478 | 6 | % | |||||||
Held-to-maturity debt securities | 831,513 | 900,315 | (8) | % | |||||||
Equity securities | 74,232 | 33,860 | 119 | % | |||||||
Investment securities | 4,388,976 | 4,226,653 | 4 | % | |||||||
Loans held for sale | 36,785 | 29,097 | 26 | % | |||||||
Loans held for investment, mortgage finance | 5,078,161 | 5,098,812 | — | % | |||||||
Loans held for investment | 16,700,569 | 16,227,203 | 3 | % | |||||||
Less: Allowance for credit losses on loans | 267,297 | 237,343 | 13 | % | |||||||
Loans held for investment, net | 21,511,433 | 21,088,672 | 2 | % | |||||||
Premises and equipment, net | 69,464 | 26,096 | 166 | % | |||||||
Accrued interest receivable and other assets | 933,761 | 757,085 | 23 | % | |||||||
Goodwill and intangibles, net | 1,496 | 1,496 | — | % | |||||||
Total assets | $ | 29,854,994 | $ | 28,976,544 | 3 | % | |||||
Liabilities and Stockholders’ Equity | |||||||||||
Liabilities: | |||||||||||
Non-interest bearing deposits | $ | 7,987,715 | $ | 9,429,352 | (15) | % | |||||
Interest bearing deposits | 15,830,612 | 13,888,888 | 14 | % | |||||||
Total deposits | 23,818,327 | 23,318,240 | 2 | % | |||||||
Accrued interest payable | 23,841 | 29,658 | (20) | % | |||||||
Other liabilities | 502,228 | 338,924 | 48 | % | |||||||
Short-term borrowings | 1,675,000 | 1,350,000 | 24 | % | |||||||
Long-term debt | 659,997 | 857,795 | (23) | % | |||||||
Total liabilities | 26,679,393 | 25,894,617 | 3 | % | |||||||
Stockholders’ equity: | |||||||||||
Preferred stock, $.01 par value, $1,000 liquidation value: | |||||||||||
Authorized shares - 10,000,000 | |||||||||||
Issued shares - 300,000 shares issued at June 30, 2024 and 2023 |
300,000 | 300,000 | — | % | |||||||
Common stock, $.01 par value: | |||||||||||
Authorized shares - 100,000,000 | |||||||||||
Issued shares - 51,474,581 and 51,087,965 at June 30, 2024 and 2023, respectively |
515 | 511 | 1 | % | |||||||
Additional paid-in capital | 1,050,114 | 1,035,063 | 1 | % | |||||||
Retained earnings | 2,494,572 | 2,362,189 | 6 | % | |||||||
Treasury stock - 5,286,503 and 3,095,444 shares at cost at June 30, 2024 and 2023, respectively |
(301,868) | (175,528) | 72 | % | |||||||
Accumulated other comprehensive loss, net of taxes | (367,732) | (440,308) | (16) | % | |||||||
Total stockholders’ equity | 3,175,601 | 3,081,927 | 3 | % | |||||||
Total liabilities and stockholders’ equity | $ | 29,854,994 | $ | 28,976,544 | 3 | % |
TEXAS CAPITAL BANCSHARES, INC. | ||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) | ||||||||||||||
(dollars in thousands except per share data) | ||||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||
Interest income | ||||||||||||||
Interest and fees on loans | $ | 345,251 | $ | 332,867 | $ | 676,130 | $ | 630,305 | ||||||
Investment securities | 33,584 | 27,478 | 65,728 | 52,770 | ||||||||||
Interest bearing cash and cash equivalents | 43,233 | 41,571 | 97,588 | 104,007 | ||||||||||
Total interest income | 422,068 | 401,916 | 839,446 | 787,082 | ||||||||||
Interest expense | ||||||||||||||
Deposits | 181,280 | 137,391 | 356,880 | 257,485 | ||||||||||
Short-term borrowings | 12,749 | 18,253 | 25,532 | 32,997 | ||||||||||
Long-term debt | 11,457 | 14,282 | 25,443 | 29,265 | ||||||||||
Total interest expense | 205,486 | 169,926 | 407,855 | 319,747 | ||||||||||
Net interest income | 216,582 | 231,990 | 431,591 | 467,335 | ||||||||||
Provision for credit losses | 20,000 | 7,000 | 39,000 | 35,000 | ||||||||||
Net interest income after provision for credit losses | 196,582 | 224,990 | 392,591 | 432,335 | ||||||||||
Non-interest income | ||||||||||||||
Service charges on deposit accounts | 5,911 | 5,158 | 12,250 | 10,180 | ||||||||||
Wealth management and trust fee income | 3,699 | 3,715 | 7,266 | 7,144 | ||||||||||
Brokered loan fees | 2,131 | 2,415 | 4,042 | 4,310 | ||||||||||
Investment banking and advisory fees | 25,048 | 19,101 | 43,472 | 33,665 | ||||||||||
Trading income | 5,650 | 8,397 | 10,362 | 12,601 | ||||||||||
Other | 7,985 | 7,225 | 14,351 | 15,514 | ||||||||||
Total non-interest income | 50,424 | 46,011 | 91,743 | 83,414 | ||||||||||
Non-interest expense | ||||||||||||||
Salaries and benefits | 118,840 | 113,050 | 247,567 | 241,720 | ||||||||||
Occupancy expense | 10,666 | 9,482 | 20,403 | 19,101 | ||||||||||
Marketing | 5,996 | 6,367 | 12,032 | 15,411 | ||||||||||
Legal and professional | 11,273 | 15,669 | 27,468 | 30,183 | ||||||||||
Communications and technology | 22,013 | 20,525 | 43,127 | 38,048 | ||||||||||
Federal Deposit Insurance Corporation insurance assessment | 5,570 | 3,693 | 13,991 | 5,863 | ||||||||||
Other | 14,051 | 12,858 | 26,214 | 25,345 | ||||||||||
Total non-interest expense | 188,409 | 181,644 | 390,802 | 375,671 | ||||||||||
Income before income taxes | 58,597 | 89,357 | 93,532 | 140,078 | ||||||||||
Income tax expense | 16,935 | 20,706 | 25,728 | 32,766 | ||||||||||
Net income | 41,662 | 68,651 | 67,804 | 107,312 | ||||||||||
Preferred stock dividends | 4,312 | 4,312 | 8,625 | 8,625 | ||||||||||
Net income available to common stockholders | $ | 37,350 | $ | 64,339 | $ | 59,179 | $ | 98,687 | ||||||
Basic earnings per common share | $ | 0.80 | $ | 1.34 | $ | 1.26 | $ | 2.05 | ||||||
Diluted earnings per common share | $ | 0.80 | $ | 1.33 | $ | 1.25 | $ | 2.02 |
TEXAS CAPITAL BANCSHARES, INC. | |||||||||||||||||
SUMMARY OF CREDIT LOSS EXPERIENCE | |||||||||||||||||
(dollars in thousands) | |||||||||||||||||
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | |||||||||||||
2024 | 2024 | 2023 | 2023 | 2023 | |||||||||||||
Allowance for credit losses on loans: | |||||||||||||||||
Beginning balance | $ | 263,962 | $ | 249,973 | $ | 244,902 | $ | 237,343 | $ | 260,928 | |||||||
Loans charged-off: | |||||||||||||||||
Commercial | 9,997 | 7,544 | 8,356 | 13,246 | 8,852 | ||||||||||||
Commercial real estate | 2,111 | 3,325 | 5,500 | — | — | ||||||||||||
Consumer | — | — | — | 41 | — | ||||||||||||
Total charge-offs | 12,108 | 10,869 | 13,856 | 13,287 | 8,852 | ||||||||||||
Recoveries: | |||||||||||||||||
Commercial | 153 | 105 | 15 | 4,346 | 611 | ||||||||||||
Commercial real estate | — | — | 4 | — | — | ||||||||||||
Consumer | — | — | — | — | 2 | ||||||||||||
Total recoveries | 153 | 105 | 19 | 4,346 | 613 | ||||||||||||
Net charge-offs | 11,955 | 10,764 | 13,837 | 8,941 | 8,239 | ||||||||||||
Provision for credit losses on loans | 15,290 | 24,753 | 18,908 | 16,500 | (15,346) | ||||||||||||
Ending balance | $ | 267,297 | $ | 263,962 | $ | 249,973 | $ | 244,902 | $ | 237,343 | |||||||
Allowance for off-balance sheet credit losses: | |||||||||||||||||
Beginning balance | $ | 40,609 | $ | 46,362 | $ | 46,270 | $ | 44,770 | $ | 22,424 | |||||||
Provision for off-balance sheet credit losses | 4,710 | (5,753) | 92 | 1,500 | 22,346 | ||||||||||||
Ending balance | $ | 45,319 | $ | 40,609 | $ | 46,362 | $ | 46,270 | $ | 44,770 | |||||||
Total allowance for credit losses | $ | 312,616 | $ | 304,571 | $ | 296,335 | $ | 291,172 | $ | 282,113 | |||||||
Total provision for credit losses | $ | 20,000 | $ | 19,000 | $ | 19,000 | $ | 18,000 | $ | 7,000 | |||||||
Allowance for credit losses on loans to total loans held for investment | 1.23 | % | 1.27 | % | 1.23 | % | 1.19 | % | 1.11 | % | |||||||
Allowance for credit losses on loans to average total loans held for investment | 1.27 | % | 1.32 | % | 1.24 | % | 1.17 | % | 1.15 | % | |||||||
Net charge-offs to average total loans held for investment(1) |
0.23 | % | 0.22 | % | 0.27 | % | 0.17 | % | 0.16 | % | |||||||
Net charge-offs to average total loans held for investment for last 12 months(1) |
0.22 | % | 0.20 | % | 0.25 | % | 0.26 | % | 0.23 | % | |||||||
Total provision for credit losses to average total loans held for investment(1) |
0.38 | % | 0.38 | % | 0.37 | % | 0.34 | % | 0.14 | % | |||||||
Total allowance for credit losses to total loans held for investment |
1.44 | % | 1.46 | % | 1.46 | % | 1.41 | % | 1.32 | % |
TEXAS CAPITAL BANCSHARES, INC. | |||||||||||||||||
SUMMARY OF NON-PERFORMING ASSETS AND PAST DUE LOANS | |||||||||||||||||
(dollars in thousands) | |||||||||||||||||
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | |||||||||||||
2024 | 2024 | 2023 | 2023 | 2023 | |||||||||||||
Non-accrual loans held for investment | $ | 85,021 | $ | 92,849 | $ | 81,398 | $ | 63,129 | $ | 81,039 | |||||||
Non-accrual loans held for sale(1) | — | 9,250 | — | — | — | ||||||||||||
Other real estate owned | — | — | — | — | — | ||||||||||||
Total non-performing assets | $ | 85,021 | $ | 102,099 | $ | 81,398 | $ | 63,129 | $ | 81,039 | |||||||
Non-accrual loans held for investment to total loans held for investment | 0.39 | % | 0.45 | % | 0.40 | % | 0.31 | % | 0.38 | % | |||||||
Total non-performing assets to total assets | 0.28 | % | 0.35 | % | 0.29 | % | 0.21 | % | 0.28 | % | |||||||
Allowance for credit losses on loans to non-accrual loans held for investment | 3.1x | 2.8x | 3.1x | 3.9x | 2.9x | ||||||||||||
Total allowance for credit losses to non-accrual loans held for investment | 3.7x | 3.3x | 3.6x | 4.6x | 3.5x | ||||||||||||
Loans held for investment past due 90 days and still accruing |
$ | 286 | $ | 3,674 | $ | 19,523 | $ | 4,602 | $ | 64 | |||||||
Loans held for investment past due 90 days to total loans held for investment | — | % | 0.02 | % | 0.10 | % | 0.02 | % | — | % | |||||||
Loans held for sale past due 90 days and still accruing |
$ | 64 | $ | 147 | $ | — | $ | — | $ | — | |||||||
TEXAS CAPITAL BANCSHARES, INC. | |||||||||||||||||
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) | |||||||||||||||||
(dollars in thousands) | |||||||||||||||||
2nd Quarter | 1st Quarter | 4th Quarter | 3rd Quarter | 2nd Quarter | |||||||||||||
2024 | 2024 | 2023 | 2023 | 2023 | |||||||||||||
Interest income | |||||||||||||||||
Interest and fees on loans | $ | 345,251 | $ | 330,879 | $ | 325,210 | $ | 345,138 | $ | 332,867 | |||||||
Investment securities | 33,584 | 32,144 | 28,454 | 27,070 | 27,478 | ||||||||||||
Interest bearing deposits in other banks | 43,233 | 54,355 | 63,408 | 53,561 | 41,571 | ||||||||||||
Total interest income | 422,068 | 417,378 | 417,072 | 425,769 | 401,916 | ||||||||||||
Interest expense | |||||||||||||||||
Deposits | 181,280 | 175,600 | 170,173 | 160,117 | 137,391 | ||||||||||||
Short-term borrowings | 12,749 | 12,783 | 18,069 | 19,576 | 18,253 | ||||||||||||
Long-term debt | 11,457 | 13,986 | 14,113 | 14,005 | 14,282 | ||||||||||||
Total interest expense | 205,486 | 202,369 | 202,355 | 193,698 | 169,926 | ||||||||||||
Net interest income | 216,582 | 215,009 | 214,717 | 232,071 | 231,990 | ||||||||||||
Provision for credit losses | 20,000 | 19,000 | 19,000 | 18,000 | 7,000 | ||||||||||||
Net interest income after provision for credit losses | 196,582 | 196,009 | 195,717 | 214,071 | 224,990 | ||||||||||||
Non-interest income | |||||||||||||||||
Service charges on deposit accounts | 5,911 | 6,339 | 5,397 | 5,297 | 5,158 | ||||||||||||
Wealth management and trust fee income | 3,699 | 3,567 | 3,302 | 3,509 | 3,715 | ||||||||||||
Brokered loan fees | 2,131 | 1,911 | 2,076 | 2,532 | 2,415 | ||||||||||||
Investment banking and advisory fees | 25,048 | 18,424 | 6,906 | 23,099 | 19,101 | ||||||||||||
Trading income | 5,650 | 4,712 | 3,819 | 6,092 | 8,397 | ||||||||||||
Other | 7,985 | 6,366 | 9,633 | 6,343 | 7,225 | ||||||||||||
Total non-interest income | 50,424 | 41,319 | 31,133 | 46,872 | 46,011 | ||||||||||||
Non-interest expense | |||||||||||||||||
Salaries and benefits | 118,840 | 128,727 | 107,970 | 110,010 | 113,050 | ||||||||||||
Occupancy expense | 10,666 | 9,737 | 9,483 | 9,910 | 9,482 | ||||||||||||
Marketing | 5,996 | 6,036 | 5,686 | 4,757 | 6,367 | ||||||||||||
Legal and professional | 11,273 | 16,195 | 17,127 | 17,614 | 15,669 | ||||||||||||
Communications and technology | 22,013 | 21,114 | 23,607 | 19,607 | 20,525 | ||||||||||||
Federal Deposit Insurance Corporation insurance assessment | 5,570 | 8,421 | 25,143 | 5,769 | 3,693 | ||||||||||||
Other | 14,051 | 12,163 | 12,369 | 12,224 | 12,858 | ||||||||||||
Total non-interest expense | 188,409 | 202,393 | 201,385 | 179,891 | 181,644 | ||||||||||||
Income before income taxes | 58,597 | 34,935 | 25,465 | 81,052 | 89,357 | ||||||||||||
Income tax expense | 16,935 | 8,793 | 5,315 | 19,373 | 20,706 | ||||||||||||
Net income | 41,662 | 26,142 | 20,150 | 61,679 | 68,651 | ||||||||||||
Preferred stock dividends | 4,312 | 4,313 | 4,312 | 4,313 | 4,312 | ||||||||||||
Net income available to common shareholders | $ | 37,350 | $ | 21,829 | $ | 15,838 | $ | 57,366 | $ | 64,339 |
TEXAS CAPITAL BANCSHARES, INC. | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
TAXABLE EQUIVALENT NET INTEREST INCOME ANALYSIS (UNAUDITED)(1) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2nd Quarter 2024 | 1st Quarter 2024 | 4th Quarter 2023 | 3rd Quarter 2023 | 2nd Quarter 2023 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||
Average Balance |
Income/ Expense |
Yield/ Rate |
Average Balance |
Income/ Expense |
Yield/ Rate |
Average Balance |
Income/ Expense |
Yield/ Rate |
Average Balance |
Income/ Expense |
Yield/ Rate |
Average Balance |
Income/ Expense |
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Assets | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Investment securities(2) |
$ | 4,427,023 | $ | 33,584 | 2.80 | % | $ | 4,299,368 | $ | 32,144 | 2.77 | % | $ | 4,078,975 | $ | 28,454 | 2.48 | % | $ | 4,204,749 | $ | 27,070 | 2.33 | % | $ | 4,306,881 | $ | 27,478 | 2.36 | % | |||||||||||||||||||||||||||||
Interest bearing cash and cash equivalents | 3,273,069 | 43,233 | 5.31 | % | 4,051,627 | 54,355 | 5.40 | % | 4,637,374 | 63,408 | 5.42 | % | 3,965,045 | 53,561 | 5.36 | % | 3,286,091 | 41,571 | 5.07 | % | |||||||||||||||||||||||||||||||||||||||
Loans held for sale | 28,768 | 683 | 9.55 | % | 51,164 | 1,184 | 9.31 | % | 29,071 | 672 | 9.17 | % | 31,878 | 647 | 8.06 | % | 28,414 | 599 | 8.46 | % | |||||||||||||||||||||||||||||||||||||||
Loans held for investment, mortgage finance(4) |
4,357,288 | 42,722 | 3.94 | % | 3,517,707 | 31,455 | 3.60 | % | 3,946,280 | 33,709 | 3.39 | % | 4,697,702 | 50,813 | 4.29 | % | 4,376,235 | 49,425 | 4.53 | % | |||||||||||||||||||||||||||||||||||||||
Loans held for investment(3)(4) |
16,750,788 | 301,910 | 7.25 | % | 16,522,089 | 298,306 | 7.26 | % | 16,164,233 | 290,897 | 7.14 | % | 16,317,324 | 293,750 | 7.14 | % | 16,217,314 | 282,956 | 7.00 | % | |||||||||||||||||||||||||||||||||||||||
Less: Allowance for credit losses on loans |
263,145 | — | — | 249,936 | — | — | 244,287 | — | — | 238,883 | — | — | 261,027 | — | — | ||||||||||||||||||||||||||||||||||||||||||||
Loans held for investment, net | 20,844,931 | 344,632 | 6.65 | % | 19,789,860 | 329,761 | 6.70 | % | 19,866,226 | 324,606 | 6.48 | % | 20,776,143 | 344,563 | 6.58 | % | 20,332,522 | 332,381 | 6.56 | % | |||||||||||||||||||||||||||||||||||||||
Total earning assets | 28,573,791 | 422,132 | 5.86 | % | 28,192,019 | 417,444 | 5.88 | % | 28,611,646 | 417,140 | 5.69 | % | 28,977,815 | 425,841 | 5.75 | % | 27,953,908 | 402,029 | 5.69 | % | |||||||||||||||||||||||||||||||||||||||
Cash and other assets | 1,177,061 | 1,058,463 | 1,120,354 | 1,106,031 | 1,049,145 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 29,750,852 | $ | 29,250,482 | $ | 29,732,000 | $ | 30,083,846 | $ | 29,003,053 | |||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Transaction deposits | $ | 2,061,622 | $ | 16,982 | 3.31 | % | $ | 2,006,493 | $ | 16,858 | 3.38 | % | $ | 1,972,324 | $ | 15,613 | 3.14 | % | $ | 1,755,451 | $ | 13,627 | 3.08 | % | $ | 1,345,742 | $ | 9,468 | 2.82 | % | |||||||||||||||||||||||||||||
Savings deposits | 11,981,668 | 143,173 | 4.81 | % | 11,409,677 | 136,790 | 4.82 | % | 11,043,155 | 132,801 | 4.77 | % | 10,858,306 | 127,323 | 4.65 | % | 10,590,558 | 114,275 | 4.33 | % | |||||||||||||||||||||||||||||||||||||||
Time deposits | 1,658,899 | 21,125 | 5.12 | % | 1,719,325 | 21,952 | 5.14 | % | 1,716,812 | 21,759 | 5.03 | % | 1,610,235 | 19,167 | 4.72 | % | 1,531,922 | 13,648 | 3.57 | % | |||||||||||||||||||||||||||||||||||||||
Total interest bearing deposits | 15,702,189 | 181,280 | 4.64 | % | 15,135,495 | 175,600 | 4.67 | % | 14,732,291 | 170,173 | 4.58 | % | 14,223,992 | 160,117 | 4.47 | % | 13,468,222 | 137,391 | 4.09 | % | |||||||||||||||||||||||||||||||||||||||
Short-term borrowings | 927,253 | 12,749 | 5.53 | % | 912,088 | 12,783 | 5.64 | % | 1,257,609 | 18,069 | 5.70 | % | 1,393,478 | 19,576 | 5.57 | % | 1,397,253 | 18,253 | 5.24 | % | |||||||||||||||||||||||||||||||||||||||
Long-term debt | 778,401 | 11,457 | 5.92 | % | 859,509 | 13,986 | 6.54 | % | 858,858 | 14,113 | 6.52 | % | 858,167 | 14,005 | 6.47 | % | 883,871 | 14,282 | 6.48 | % | |||||||||||||||||||||||||||||||||||||||
Total interest bearing liabilities | 17,407,843 | 205,486 | 4.75 | % | 16,907,092 | 202,369 | 4.81 | % | 16,848,758 | 202,355 | 4.76 | % | 16,475,637 | 193,698 | 4.66 | % | 15,749,346 | 169,926 | 4.33 | % | |||||||||||||||||||||||||||||||||||||||
Non-interest bearing deposits | 8,647,594 | 8,637,775 | 9,247,491 | 10,016,579 | 9,749,105 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities | 537,754 | 509,286 | 541,162 | 474,869 | 389,155 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders’ equity | 3,157,661 | 3,196,329 | 3,094,589 | 3,116,761 | 3,115,447 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 29,750,852 | $ | 29,250,482 | $ | 29,732,000 | $ | 30,083,846 | $ | 29,003,053 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income |
$ | 216,646 | $ | 215,075 | $ | 214,785 | $ | 232,143 | $ | 232,103 | |||||||||||||||||||||||||||||||||||||||||||||||||
Net interest margin | 3.01 | % | 3.03 | % | 2.93 | % | 3.13 | % | 3.29 | % |