Bank7 Corp. Announces Q4 and Full Year 2022 Earnings

About this update from Bank7 Corp.

OKLAHOMA CITY , Jan. 26, 2023 /PRNewswire/ -- Bank7 Corp. (NASDAQ: BSVN) ("the Company"), the parent company of Oklahoma City -based Bank7 (the "Bank"), today reported unaudited results for the quarter and year ended December 31, 2022 . "We are pleased to announce record achievements for our full year and also the 4th quarter, as we reached new milestones in net income, PPE, and earnings per share. Our continued success is due to our broad and deep team of talented commercial bankers, and their commitment to disciplined credit fundamentals and pricing. We are blessed to be located in such a dynamic geographic area, and we are confident of our future as we maintain our focus on fundamentals and growing our company," said Thomas L. Travis, President and CEO of the Company. For the year ended December 31, 2022 compared to the year ended December 31, 2021 : Net income of $29.6 million compared to $23.2 million , an increase of 27.98% Earnings per share of $3.22 compared to $2.55 , an increase of 26.27% Total assets of $1.6 billion compared to $1.4 billion , an increase of 17.30% Total loans of $1.3 billion compared to $1.0 billion , an increase of 23.54% PPE of $43.9 million compared to $35.1 million , an increase of 24.97% Total interest income of $78.7 million compared to $56.3 million , an increase of 39.90% Three months ended December 31, 2022 compared to three months ended September 30, 2022 Net income of $8.4 million compared to $8.0 million , an increase of 4.29% Earnings per share of $0.91 compared to $0.87 , an increase of 4.60% PPE of $13.0 million compared to $12.8 million , an increase of 1.74% Total interest income of $25.5 million compared to $21.7 million , an increase of 17.39% Both the Bank's and the Company's capital levels continue to be significantly above the minimum levels required to be designated as "well-capitalized" for regulatory purposes. On December 31, 2022 , the Bank's Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk-based capital ratios were 9.18%, 11.26%, and 12.42%, respectively. On December 31, 2022 , on a consolidated basis, the Company's Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk-based capital ratios were 9.19%, 11.25%, and 12.41%, respectively. Designation as a well-capitalized institution under regulations does not constitute a recommendation or endorsement by bank regulators. Bank7 Corp. Consolidated Balance Sheets December 31, 2022 (unaudited) December 31, 2021 Assets Cash and due from banks $ 109,115 $ 195,359 Federal funds sold - 9,493 Cash and cash equivalents 109,115 204,852 Interest-bearing time deposits in other banks 5,474 3,237 Available-for-sale debt securities 173,165 84,808 Loans, net of allowance for loan losses of $14,734 and $10,316 at December 31, 2022 and December 31, 2021 , respectively 1,255,722 1,018,085 Loans held for sale, at fair value - 464 Premises and equipment, net 13,106 17,257 Nonmarketable equity securities 1,209 1,202 Core deposit intangibles 1,336 1,643 Goodwill 8,603 8,479 Interest receivable and other assets 16,439 10,522 Total assets $ 1,584,169 $ 1,350,549 Liabilities and Shareholders' Equity Deposits Noninterest-bearing $ 439,409 $ 366,705 Interest-bearing 989,891 850,766 Total deposits 1,429,300 1,217,471 Income taxes payable 1,054 - Interest payable and other liabilities 9,715 5,670 Total liabilities 1,440,069 1,223,141 Shareholders' equity Common stock, $0.01 par value; 50,000,000 shares authorized; shares issued and outstanding: 9,131,973 and 9,071,417 at 91 91 December 31, 2022 and December 31, 2021 respectively Additional paid-in capital 95,263 94,024 Retained earnings 58,049 33,149 Accumulated other comprehensive income (loss) (9,303) 144 Total shareholders' equity 144,100 127,408 Total liabilities and shareholders' equity $ 1,584,169 $ 1,350,549 Three months ended December 31 , Twelve months ended December 31 , 2022(unaudited) 2021 2022(unaudited) 2021 Interest Income Loans, including fees $ 23,806 $ 14,391 $ 74,403 $ 55,768 Interest-bearing time deposits in other banks 7 28 46 169 Debt securities, taxable 688 143 2,313 143 Debt securities, tax-exempt 87 31 360 31 Other interest and dividend income 874 63 1,627 178 Total interest income 25,462 14,656 78,749 56,289 Interest Expense Deposits 5,081 677 9,322 3,053 Total interest expense 5,081 677 9,322 3,053 Net Interest Income 20,381 13,979 69,427 53,236 Provision for Loan Losses 1,625 850 4,468 4,175 Net Interest Income After Provision for Loan Losses 18,756 13,129 64,959 49,061 Noninterest Income Secondary market income 91 182 486 435 Loss on sales and calls of available-for-sale debt securities - - (127) - Service charges on deposit accounts 222 170 900 550 Other 419 405 1,680 1,265 Total noninterest income 732 757 2,939 2,250 Noninterest Expense Salaries and employee benefits 4,892 3,298 17,040 11,983 Furniture and equipment 334 232 1,468 883 Occupancy 593 508 2,329 1,899 Data and item processing 600 380 2,068 1,237 Accounting, marketing and legal fees 203 353 984 800 Regulatory assessments 371 140 1,344 604 Advertising and public relations 164 101 477 282 Travel, lodging and entertainment 147 100 363 409 Other 825 1,086 2,568 2,300 Total noninterest expense 8,129 6,198 28,641 20,397 Income Before Taxes 11,359 7,688 39,257 30,914 Income tax expense 2,973 2,002 9,619 7,755 Net Income $ 8,386 $ 5,686 $ 29,638 $ 23,159 Earnings per common share - basic $ 0.92 $ 0.64 $ 3.26 $ 2.56 Earnings per common share - diluted 0.91 0.63 3.22 2.55 Weighted average common shares outstanding - basic 9,118,728 9,070,967 9,101,523 9,056,117 Weighted average common shares outstanding - diluted 9,232,333 9,162,124 9,204,716 9,091,536 Other Comprehensive Income (Loss) Unrealized losses on securities, net of tax benefit of $0 and $0 for the three months ended December 31, 2022 and 2021, respectively; $2.8 million and $0 for the twelve months ended December 31, 2022 and 2021, respectively $ 1,146 $ 144 $ (9,543) $ 144 Reclassification adjustment for realized (gain)loss included in net income, net of tax of $0 and $0 for the three months ended December 31, 2022 and 2021, respectively; $31 and $0 for the twelve months ended December 30, 2022 and 2021, respectively - - 96 - Other comprehensive loss $ 1,146 $ 144 $ (9,447) $ 144 Comprehensive Income (Loss) $ 9,532 $ 5,830 $ 20,191 $ 23,303 Net Interest Margin For the Twelve Months Ended December 31 , 2022 (unaudited) 2021 AverageBalance InterestIncome/Expense AverageYield/Rate AverageBalance InterestIncome/Expense AverageYield/Rate (Dollars in thousands) Interest-Earning Assets: Short-term investments $ 129,624 $ 1,673 1.29 % $ 126,136 $ 347 0.28 % Investment securities, taxable 145,915 2,313 1.59 4,663 143 3.07 Debt securities, tax exempt 21,635 360 1.66 1,852 31 1.67 Loans held for sale 586 - - 318 - - Total loans(1) 1,143,380 74,403 6.51 905,804 55,768 6.16 Total interest-earning assets 1,441,140 78,749 5.46 1,038,773 56,289 5.42 Noninterest-earning assets 23,532 7,361 Total assets $ 1,464,672 $ 1,046,134 Funding sources: Interest-bearing liabilities: Deposits: Transaction accounts $ 724,617 7,842 1.08 % $ 430,268 1,396 0.32 % Time deposits 165,735 1,480 0.89 205,437 1,657 0.81 Total interest-bearing deposits 890,352 9,322 1.05 635,705 3,053 0.48 Total interest-bearing liabilities 890,352 9,322 1.05 635,705 3,053 0.48 Noninterest-bearing liabilities: Noninterest-bearing deposits 432,901 288,446 Other noninterest-bearing liabilities 7,520 4,930 Total noninterest-bearing liabilities 440,421 293,376 Shareholders' equity 133,899 117,053 Total liabilities and shareholders' equity $ 1,464,672 $ 1,046,134 Net interest income $ 69,427 $ 53,236 Net interest spread 4.42 % 4.94 % Net interest margin 4.82 % 5.12 % (1) Nonaccrual loans are included in total loans For the Three Months Ended December 31 , 2022 (unaudited) 2021 AverageBalance InterestIncome/Expense AverageYield/Rate AverageBalance InterestIncome/Expense AverageYield/Rate (Dollars in thousands) Interest-Earning Assets: Short-term investments $ 101,427 $ 881 3.45 % $ 130,106 $ 91 0.23 % Debt securities, taxable-equivalent 154,869 688 1.76 14,992 143 3.78 Debt securities, tax exempt 20,247 87 1.70 7,349 31 16.67 Loans held for sale 291 - - 1,090 - - Total loans(1) 1,262,864 23,806 7.48 959,243 14,391 5.95 Total interest-earning assets 1,539,698 25,462 6.56 1,112,780 14,656 5.23 Noninterest-earning assets 21,937 11,613 Total assets $ 1,561,635 $ 1,124,393 Funding sources: Interest-bearing liabilities: Deposits: Transaction accounts $ 798,073 4,491 2.23 % $ 490,739 373 0.30 % Time deposits 157,211 590 1.49 183,867 304 0.66 Total interest-bearing deposits 955,284 5,081 2.11 674,606 677 0.40 Total interest-bearing liabilities $ 955,284 5,081 2.11 $ 674,606 677 0.40 Noninterest-bearing liabilities: Noninterest-bearing deposits $ 457,753 $ 320,290 Other noninterest-bearing liabilities 8,683 5,181 Total noninterest-bearing liabilities 466,436 325,471 Shareholders' equity 139,915 124,316 Total liabilities and shareholders' equity $ 1,561,635 $ 1,124,393 Net interest income $ 20,381 $ 13,979 Net interest spread 4.46 % 4.83 % Net interest margin 5.25 % 4.98 % (1) Nonaccrual loans are included in total loans About Bank7 Corp. We are Bank7 Corp. , a bank holding company headquartered in Oklahoma City, Oklahoma . Through our wholly-owned subsidiary, Bank7 , we operate twelve locations in Oklahoma , the Dallas/Fort Worth, Texas metropolitan area and Kansas . We are focused on serving business owners and entrepreneurs by delivering fast, consistent and well-designed loan and deposit products to meet their financing needs. We intend to grow organically by selectively opening additional branches in our target markets as well as pursue strategic acquisitions. Conference Call Bank7 Corp. has scheduled a conference call to discuss its results, which will be broadcast live over the Internet, on Thursday, January 26, 2023 at 9:00 a.m. central standard time . To participate in the call, dial 1-888-348-6421, or access it live over the Internet at https://app.webinar.net/ARZ9lenLgOm . For those not able to participate in the live call, an archive of the webcast will be available at https://app.webinar.net/ARZ9lenLgOm shortly after the call for 1 year. Cautionary Statements Regarding Forward-Looking Information This communication contains a number of forward-looking statements. These forward-looking statements reflect Bank7 Corp.'s current views with respect to, among other things, future events and Bank7 Corp.'s financial performance. Any statements about Bank7 Corp.'s expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. These statements are often, but not always, made through the use of words or phrases such as "anticipate," "believes," "can," "could," "may," "predicts," "potential," "should," "will," "estimate," "plans," "projects," "continuing," "ongoing," "expects," "intends" and similar words or phrases. Any or all of the forward-looking statements in (or conveyed orally regarding) this presentation may turn out to be inaccurate. The inclusion of or reference to forward-looking information in this presentation should not be regarded as a representation by Bank7 Corp. or any other person that the future plans, estimates or expectations contemplated by Bank7 Corp. will be achieved. These forward-looking statements are subject to significant uncertainties because they are based upon: the amount and timing of future changes in interest rates, market behavior, and other economic conditions; future laws, regulations, and accounting principles; changes in regulatory standards and examination policies, and a variety of other matters. These other matters include, among other things, the impact of COVID-19 on the United States economy and our operations, the direct and indirect effect of economic conditions on interest rates, credit quality, loan demand, liquidity, and monetary and supervisory policies of banking regulators. Bank7 Corp. has based these forward-looking statements largely on its current expectations and projections about future events and financial trends that Bank7 Corp. believes may affect its financial condition, results of operations, business strategy and financial needs. Bank7 Corp.'s actual results could differ materially from those anticipated in such forward-looking statements as a result of risks, uncertainties and assumptions that are difficult to predict. If one or more events related to these or other risks or uncertainties materialize, or if Bank7 Corp.'s underlying assumptions prove to be incorrect, actual results may differ materially from what Bank7 Corp. anticipates. You are cautioned not to place undue reliance on forward-looking statements. Further, any forward-looking statement speaks only as of the date on which it is made and Bank7 Corp. undertakes no obligation to update or revise any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events, except as may be required by law. All forward-looking statements herein are qualified by these cautionary statements. Contact: Thomas Travis President & CEO(405) 810-8600 View original content to download multimedia: https://www.prnewswire.com/news-releases/bank7-corp-announces-q4-and-full-year-2022-earnings-301731192.html SOURCE Bank7 Corp.

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