Business
West Bancorporation, Inc. Announces Fourth Quarter and Year End 2023 Financial Results and Declares Quarterly Dividend
WEST DES MOINES, Iowa , Jan. 25, 2024 (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 , Jan. 25, 2024 (GLOBE NEWSWIRE) -- West Bancorporation, Inc. (Nasdaq: WTBA; the “Company”), parent company of West Bank, today reported 2023 net income of $24.1 million, or $1.44 per diluted common share, compared to 2022 net income of $46.4 million, or $2.76 per diluted common share. Net income for the fourth quarter 2023 was $4.5 million, or $0.27 per diluted common share, compared to third quarter 2023 net income of $5.9 million, or $0.35 per diluted common share, and fourth quarter 2022 net income of $8.9 million, or $0.53 per diluted common share. On January 24, 2024, the Company’s Board of Directors declared a regular quarterly dividend of $0.25 per common share. The dividend is payable on February 21, 2024, to stockholders of record on February 7, 2024. David Nelson, President and Chief Executive Officer of the Company, commented, “Like the rest of our industry, our Company experienced some significant margin challenges in 2023. The interest rate environment, including dramatic increases in short-term rates, an ongoing inverted yield curve and aggressive deposit competition, had a significant impact on our cost of funds and net interest margin. We have a clear understanding of what is driving our challenges, along with a clear understanding of our path forward to more normalized margins.” David Nelson added, “Despite the challenges of the interest rate environment, our credit quality remains pristine. We have no loans greater than 30 days past due and only one classified loan for $296 thousand at December 31, 2023. We continue to closely monitor and manage our credit quality as the economy and our customers respond to a higher interest rate environment.” Fourth Quarter and Year Ended 2023 Financial Highlights Quarter Ended December 31, 2023 Year Ended December 31, 2023 Net income (in thousands)$4,525 $24,137 Return on average equity 8.89% 11.42% Return on average assets 0.48% 0.66% Efficiency ratio (a non-GAAP measure) 64.66% 60.73% Nonperforming assets to total assets 0.01% 0.01% Fourth Quarter 2023 Compared to Third Quarter 2023 Overview Loans increased $77.8 million in the fourth quarter of 2023, or 10.9 percent annualized.A credit loss expense of $500 thousand was recorded in the fourth quarter of 2023, compared to a credit loss expense of $200 thousand in the third quarter of 2023. $300 thousan...