Business
West Bancorporation, Inc. Announces First Quarter 2023 Financial Results and Declares Quarterly Dividend
WEST DES MOINES, Iowa, April 27, 2023 (GLOBE NEWSWIRE) -- West Bancorporation, Inc. (Nasdaq: WTBA; the “Company”), parent company of West Bank, today reported
About this update from West Bancorporation
[{"type":"text","content":"WEST DES MOINES, Iowa, April 27, 2023 (GLOBE NEWSWIRE) -- West Bancorporation, Inc. (Nasdaq: WTBA; the “Company”), parent company of West Bank, today reported first quarter 2023 net income of $7.8 million, or $0.47 per diluted common share, compared to fourth quarter 2022 net income of $8.9 million, or $0.53 per diluted common share, and first quarter 2022 net income of $13.2 million, or $0.78 per diluted common share. On April 26, 2023, the Company’s Board of Directors declared a regular quarterly dividend of $0.25 per common share. The dividend is payable on May 24, 2023, to stockholders of record on May 10, 2023. David Nelson, President and Chief Executive Officer of the Company, commented, “The unprecedented size and pace of the Federal Reserve short-term interest rate increases in 2022 and early 2023 and inverted yield curve have changed the dynamics of our commercial based customers’ deposit pricing. Our deposit and funding mix has changed as depositors react to significant short-term rate competition and utilize accumulated cash for business operations. The resulting increase in our cost of funds has outpaced the repricing benefits in loans and investments, leading to a decline in our net interest income and net interest margin.” David Nelson added, “Our credit quality continues to be pristine and for the seventh consecutive quarter end, we had no loans greater than 30 days past due. We remain diligent in monitoring and managing our credit risk as we anticipate an economic downturn ahead along with an uncertain and volatile interest rate environment. Our capital position is strong and we remain focused on delivering high quality services and products through our successful relationship based business model.” First Quarter 2023 Financial Highlights Quarter Ended March 31, 2023 Net Income (in thousands)$7,844 Return on Average Equity 14.77% Return on Average Assets 0.88% Efficiency ratio (a non-GAAP measure) 55.34% Nonperforming assets to total assets 0.01% First Quarter 2023 Compared to Fourth Quarter 2022 Overview Loans increased $13.3 million in the first quarter of 2023, or 2.0 percent annualized.No provision for credit losses was recorded in either the first quarter of 2023 or the fourth quarter of 2022.The allowance for credit losses to total loans was 1.01 percent at March 31, 2023, compared to 0.93 percent at Decemb...