Business
Coastal Financial Corporation Announces Second Quarter 2024 Results
Second Quarter 2024 Highlights: Net income of $11.6 million, or $0.84 per diluted common share, for the three months ended June 30, 2024, compared to $6.8
About this update from Coastal Financial Corporation
[{"type":"text","content":"Second Quarter 2024 Highlights: Net income of $11.6 million, or $0.84 per diluted common share, for the three months ended June 30, 2024, compared to $6.8 million, or $0.50 per diluted common share, for the three months ended March 31, 2024. Return on average assets (\"ROA\") of 1.21% for the three months ended June 30, 2024, compared to 0.73% for the three months ended March 31, 2024.Return on average equity (\"ROE\") of 15.22% for the three months ended June 30, 2024 compared to 9.21% for the three months ended March 31, 2024. Net interest margin increased to 7.13% for the quarter ended June 30, 2024, compared to 6.78% for the quarter ended March 31, 2024. Yield on loans receivable increased 0.38% to 11.23% for the quarter ended June 30, 2024, compared to 10.85% for the quarter ended March 31, 2024.Cost of deposits increased 0.09% to 3.58% for the quarter ended June 30, 2024, compared to 3.49% for the quarter ended March 31, 2024. Total assets increased $96.3 million, or 2.5%, to $3.96 billion for the quarter ended June 30, 2024, compared to $3.87 billion at March 31, 2024.Total loans, net of deferred fees increased $126.9 million, or 4.0%, to $3.33 billion for the quarter ended June 30, 2024 compared to the quarter ended March 31, 2024. Community bank loans increased $28.8 million, or 1.5%, to $1.91 billion. CCBX loans increased $98.1 million, or 7.4%, to $1.41 billion. Enhanced credit standards on new CCBX loan originations.Effective April 1, 2024, exposure was reduced from 10% to 5% on the CCBX portfolio that the Company is responsible for losses on. Total of $155.2 million in CCBX loans sold during the quarter ended June 30, 2024. The Company will continue to sell loans as part of our strategy to reduce risk, optimize the CCBX loan portfolio, maintain strong credit quality, and manage portfolio and partner limits. Deposits increased $80.5 million, or 2.3%, to $3.54 billion for the quarter ended June 30, 2024. CCBX deposit growth of $27.5 million, or 1.4%, to $2.06 billion. CCBX deposit growth excludes the $117.7 million in CCBX deposits that were transferred off balance sheet for increased Federal Deposit Insurance Corporation (\"FDIC\") insurance coverage purposes, compared to $92.2 million for the quarter ended March 31, 2024. Amounts in excess of FDIC insurance coverage are transferred, using a third party facilitator/v...