Bok Financial Corporation · NASDAQ:BOKF
Bok Financial — Q4 2023 Earnings Presentation
20 slides from Bok Financial's earnings presentation, Jan 24, 2024
Slide 1: Q4 Earnings Conference Call
Q4 Earnings Conference Call January 24, 2024
Slide 2: Legal Disclaimers
Legal Disclaimers This presentation contains forward-looking statements that are based on management's beliefs, assumptions, current expectations, estimates and projections about BOK Financial Corporation, the financial services industry, and the economy generally. Words such as “anticipates,” “beli
Slide 3: Stacy Kymes, Chief Executive Officer
Stacy Kymes Chief Executive Officer 3
Slide 4: Q4 summary
Q4 summary Noteworthy items impacting profitability Quarterly earnings trend Net income • Q4 net income includes the pretax FDIC special assessment of $43.8 million or $0.52 per share, as well as $3.1 million of Attributable to shareholders Per share (diluted) additional non-periodic tax expense or
Slide 5: Additional details
Additional details ◦ Period end loan balances grew $181 million; unfunded commitments Quarterly Quarterly increased $388 million ($Billion) Q4 2023 Sequential YOY ◦ Average deposits increased $388 Period-End Loans $23.9 0.8% 6.0% million in Q4, with the mix continuing to shift to interest bearing. D
Slide 6: Marc Maun, EVP, Regional Banking Executive
Marc Maun EVP, Regional Banking Executive 6
Slide 7: Loan portfolio
Loan portfolio Seq. Loan YOY Loan • Energy balances decreased slightly ($Million) Dec. 31, 2023 Sep. 30, 2023 Dec. 31, 2022 Growth Growth by $54 million Energy $ 3,437.1 $ 3,490.6 $ 3,424.8 (1.5)% 0.4% • Combined Services & General Services 3,576.2 3,566.4 3,431.5 0.3% 4.2% Business ("Core C&I") bal
Slide 8: Key credit quality metrics
Key credit quality metrics Quality metrics summary Net charge-offs to average loans Annualized • Credit quality better than pre-pandemic level • Trailing 12 months net charge-offs at 8 basis points • CRE office exposure is less than 4% of outstanding period end total loan balances, with properties i
Slide 9: Scott Grauer, EVP, Wealth Management Executive
Scott Grauer EVP, Wealth Management Executive 9
Slide 10: Fees & commissions
Fees & commissions Brokerage & trading • Linked quarter decrease from a decline in Qtr. Seq. Qtr. Seq. Qtr. YOY ($Million) Q4 2023 Investment banking fees as Q3 was a $ Change % Change % Change record quarter for our Public & Corporate Trading fees $ 35.5 $ 1.1 3.1% (1.1)% Finance activities, with B
Slide 11: Marty Grunst, EVP, Chief Financial Officer
Marty Grunst EVP, Chief Financial Officer 11
Slide 12: Yields, rate & margin
Yields, rate & margin Quarterly Quarterly Net interest revenue ($Million) Q4 2023 Q3 2023 Q4 2022 sequential YOY • Net interest revenue was down $4.2 million linked quarter, Net interest revenue $296.7 $300.9 $352.6 (1.4)% (15.9)% the slowest pace of decline since the beginning of the hiking cycle N
Slide 13: Liquidity & capital
Liquidity & capital Q4 2023 Q3 2023 Q4 2022 Loan to Deposit Ratio 70.3% 70.5% 65.4% • Period-end deposit balances increased $367 million this quarter Period-End Deposits $34.0 billion $33.7 billion $34.5 billion Current available secured • Potential secured capacity was $23.1 billion, which reflects
Slide 14: Expenses
Expenses Expenses summary • Quarterly personnel expenses % Incr. % Incr. ($Million) Q4 2023 Q3 2023 Q4 2022 increased 6.4% or $12 million; $5.4 Seq. YOY million due to market valuations in deferred comp, $4.0 million in cash- Personnel expense $203.0 $190.8 $186.4 6.4% 8.9% based sales related activ
Slide 15: Forecast & assumptions
Forecast & assumptions • We expect mid to upper single digit annualized loan growth. Economic conditions in our geographic footprint remain favorable and continue to be supported by business in-migration from other markets. The competitive environment for loans should be a tailwind for us. • We expe
Slide 16: Stacy Kymes, Chief Executive Officer
Stacy Kymes Chief Executive Officer 16
Slide 17: Question and Answer Session
Question and Answer Session 17
Slide 18: Appendix
Appendix 18
Slide 19: Balanced Interest Rate Risk Position
Balanced Interest Rate Risk Position Scenario* ∆ NIR % ∆ NIR $ Noteworthy balance sheet items Down 200 Ramp, year 1 -0.24% -$2.9 million • Approximately 74% of the total loan portfolio is variable rate or fixed rate that reprice within a year Down 100 Ramp, year 1 -0.66% -$7.9 million • Approximatel
Slide 20: BOK Financial Corporation
BOK FINANCIAL CORPORATION