Business
Texas Capital Bancshares, Inc. Announces Third Quarter 2024 Results
Record level of income in fee areas of focus(1) Quarterly strategic actions include acquisition of $332 million commercial loan portfolio and balance sheet
About this update from Texas Capital Bancshares, Inc.
[{"type":"text","content":"Record level of income in fee areas of focus(1) Quarterly strategic actions include acquisition of $332 million commercial loan portfolio and balance sheet repositioning of the proceeds from $1.2 billion sale of lower-yielding available-for-sale securities into higher yielding securities Book Value and Tangible Book Value(2) per share both increased 14% year over year, reaching record levels Capital ratios continue to be strong, including 11.2% CET1 and 15.2% Total Capital DALLAS, Oct. 17, 2024 (GLOBE NEWSWIRE) -- Texas Capital Bancshares, Inc. (NASDAQ: TCBI), the parent company of Texas Capital Bank, announced operating results for the third quarter of 2024. Net loss available to common stockholders was $65.6 million, or $1.41 net loss per diluted share, for the third quarter of 2024, compared to net income available to common stockholders of $37.4 million, or $0.80 net income per diluted share, and $57.4 million, or $1.18 per diluted share, for the for the second quarter of 2024 and third quarter of 2023, respectively. The third quarter of 2024 included a $179.6 million loss on sale of available-for-sale debt securities ($2.92 net loss per diluted share) and restructuring expense of $5.9 million ($0.10 net loss per diluted share), partially offset by a $651,000 release of Federal Deposit Insurance Corporation (“FDIC”) special assessment accrual ($0.01 net income per diluted share). “We achieved significant financial milestones this quarter as our multi-year transformation is increasingly delivering financial outcomes consistent with realized success delivering our proven and differentiated strategy,” said Rob C. Holmes, President and CEO. “Our current business momentum coupled with our sustained leading capital and liquidity levels positions us well to effectively drive execution through 2025.” FINANCIAL RESULTS (dollars and shares in thousands) 3rd Quarter 2nd Quarter 3rd Quarter 2024 2024 2023 OPERATING RESULTS Net income/(loss)$(61,319) $41,662 $61,679 Net income/(loss) available to common stockholders$(65,632) $37,350 $57,366 Diluted earnings/(loss) per common share$(1.41) $0.80 $1.18 Diluted common shares 46,609 46,872 48,529 Return on average assets(0.78)% 0.56% 0.81%Return on average common equity(8.87)% 5.26% 8.08% BALANCE SHEET Loans held for investment$16,764,512 $16,700,569 $16,183,882 Loans held for investment, mor...