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NewtekOne, Inc.’s CEO Updates the Market on First Quarter 2023 Key Performance Indicators
BOCA RATON, Fla., April 04, 2023 (GLOBE NEWSWIRE) -- NewtekOne, Inc. ((NASDAQ: NEWT) (the “Company” or “NewtekOne”) updates the investment community on the
About this update from Newtekone, Inc.
[{"type":"text","content":"BOCA RATON, Fla., April 04, 2023 (GLOBE NEWSWIRE) -- NewtekOne, Inc. ((NASDAQ: NEWT) (the “Company” or “NewtekOne”) updates the investment community on the Company’s key performance indicators for the first quarter of 2023. Barry Sloane, Chairman, President and Chief Executive Officer said, “In advance of reporting our first quarter 2023 financial and operating results, which will be our first quarter as a financial holding company, and in an effort to provide additional transparency to the market during volatile times, we thought it would be useful to provide certain key performance indicators. We believe metrics on capital, liquidity, deposit initiatives, deposit diversification, digital account opening, loan quality, and first quarter 2023 earnings-per-share forecasts, can help to provide a well-rounded look at our position in the market. In January 2023, NewtekOne sold $50 million in two-year notes, rated BBB+ by Egan Jones, as well as $20 million in convertible preferred stock to Patriot Financial Partners IV, L.P., further bolstering its capital at the holding company.” Mr. Sloane continued, “Regarding capital as of January 31, 2023, we estimate that NewtekOne’s wholly owned subsidiary Newtek Bank, N.A. had total tier-one capital of approximately $78 million with approximately $250 million of total assets, which equates to a capitalization of approximately 30% of total assets. Moreover, as of January 31, 2023, Newtek Bank’s investment portfolio was comprised of $33.0 million in U.S. Treasury and agency securities, of which $29.7 million were U.S. Treasuries with a maturity of less than one year, with an average yield of 4.93%. The remaining portfolio was government agency securities with a maturity of less than 19 months. We believe that Newtek Bank’s business model is largely insensitive to interest rate increases and decreases.” Mr. Sloane further commented, “In addition to NewtekOne holding company liquidity and capital raises, Newtek Bank has had initial success in raising and maintaining deposits. At December 31, 2022, out of $120 million in Newtek Bank’s time deposits, only 11% were in excess of the $250,000 FDIC-insured amount. During the first quarter 2023, Newtek Bank raised an additional $110 million of deposits, most of which were non-redeemable CDs (except for death of depositor), growing the deposit base to ap...