BIRMINGHAM, Ala., Nov. 13, 2023 /PRNewswire/ -- Oakworth Capital Inc. (Oakworth) (OTCQX: OAKC) reported 16% higher diluted earnings per share and 15% higher earnings year-to-date September 30, 2023 compared to the same period of 2022. Contributing to earnings growth were wealth asset growth of 9%, loan growth of 23%, deposit growth of 16% and margin expansion of 17 bps, all year-over-year September 30.
Oakworth Capital Bank Logo (PRNewsfoto/Oakworth Capital Bank)
Oakworth's Chairman and CEO Scott Reed stated, "Oakworth is focused on balanced growth of loans, deposits and wealth assets across markets. I'm proud of our team's dedication to serving our clients across disciplines with a distinctive level of service, resulting in strong annual growth in a challenging environment."
Mr. Reed continued, "We are excited about the opening of our Central Carolinas market on October 2. We have a talented, experienced team on the ground who are already bringing their expertise to the marketplace."
Linked-quarter results reflect 4% loan growth, 1% deposit growth and a 5% decline in the value of wealth assets. Pre-tax, pre-provision income was flat at $4.6 million primarily due to linked-quarter contraction of the net interest margin to 3.25% from 3.45% in second quarter, reflecting higher deposit cost. Wealth fees increased 6% on wealth assets of $1.9 billion.
At quarter end, Oakworth's single stressed credit relationship was past due 91 days. Subsequent to September 30, Oakworth determined its best interest was to pursue legal action against the debtor. In connection with this action, Oakworth has placed approximately $15 million on non-accrual in the fourth quarter. With the exception of this relationship, Oakworth reported $0 of non-performing assets at September 30 and continues to report $0 of non-performing assets as of the date of this release.
At September 30, 2023, Tier 1 Capital was 10.1%, the Total Capital Ratio was 11.1% and the Leverage Ratio was 9.4%.
About Oakworth Capital Inc. and Oakworth Capital Bank Oakworth Capital, Inc. operates as the bank holding company for Oakworth Capital Bank (Oakworth) (OTCQX: OAKC). Oakworth was founded in 2008 and operates four offices in the Southeast, including its headquarters in Birmingham, Alabama. Oakworth provides commercial and private banking, wealth management and advisory services to clients across the United States.
Oakworth has been named the #1 "Best Bank to Work for" for the past five years in a row (2018-2022) by American Banker. Additionally, Oakworth has earned a Net Promoter Score (NPS) of 96 out of 100 (September 2022 to September 2023) and has a client retention rate of 95% in 2022. As of Sept. 30, 2023, Oakworth had $1.5 billion in total assets, $1.1 billion in gross loans, $1.2 billion in deposits and $1.9 billion in wealth and trust assets under management. For more information, visit www.oakworth.com.
For more information contact: Jenifer Kimbrough Phone: 205-263-4704 Email: [email protected]
OAKWORTH CAPITAL INC.
WEALTH AND TRUST (Unaudited)
(In millions)
As of
Change
Change
9/30/2023
6/30/2023
3/31/2023
12/31/2022
9/30/2022
9/30/2023 vs. 6/30/2023
9/30/2023 vs. 9/30/2022
Wealth assets (non-balance sheet)
$ 1,896
$ 1,987
$ 1,875
$ 1,802
$ 1,738
$ (91)
-5 %
$ 158
9 %
CONSOLIDATED CONDENSED STATEMENTS OF CONDITION (Unaudited)
(in thousands)
As of
Change
Change
9/30/2023
6/30/2023
3/31/2023
12/31/2022
9/30/2022
9/30/2023 vs. 6/30/2023
9/30/2023 vs. 9/30/2022
Assets
Cash and due from banks
$ 116,065
$ 140,421
$ 69,575
$ 185,483
$ 115,950
$ (24,356)
-17 %
$ 115
0 %
Federal funds sold
2,225
3,825
3,025
4,475
2,650
(1,600)
-42 %
(425)
-16 %
Securities available for sale
137,907
135,433
136,234
132,050
130,722
2,474
2 %
7,185
5 %
Loans, net of unearned income
1,146,526
1,107,028
1,076,532
974,398
934,003
39,498
4 %
212,523
23 %
Allowance for loan losses
(13,575)
(13,144)
(12,808)
(11,692)
(11,240)
(431)
3 %
(2,335)
21 %
Loans, net
1,132,951
1,093,884
1,063,724
962,706
922,763
39,067
4 %
210,188
23 %
Fixed assets
4,758
4,626
3,314
3,129
3,136
132
3 %
1,622
52 %
Interest receivable
5,932
4,791
4,752
4,263
2,957
1,141
24 %
2,975
101 %
Other assets
50,209
45,999
44,986
43,348
42,228
4,210
9 %
7,981
19 %
Total assets
$ 1,450,047
$ 1,428,979
$ 1,325,610
$ 1,335,454
$ 1,220,406
$ 21,068
1 %
$ 229,641
19 %
Liabilities and Stockholders' Equity
Liabilities:
Deposits:
Non-interest bearing deposits
$ 278,822
$ 301,821
$ 324,649
$ 315,033
$ 319,828
$ (22,999)
-8 %
$ (41,006)
-13 %
Interest-bearing deposits
963,044
922,391
802,946
861,401
751,026
40,653
4 %
212,018
28 %
Total deposits
1,241,866
1,224,212
1,127,595
1,176,434
1,070,854
17,654
1 %
171,012
16 %
Total Borrowings
74,180
74,158
74,134
34,112
34,105
22
0 %
40,075
NA
Accrued interest payable
455
982
425
840
294
(527)
-54 %
161
55 %
Other liabilities
21,840
17,960
14,937
20,310
15,160
3,880
22 %
6,680
44 %
Total liabilities
1,338,341
1,317,312
1,217,091
1,231,696
1,120,413
21,029
2 %
217,928
19 %
Total stockholders' equity
111,706
111,667
108,519
103,758
99,993
39
0 %
11,713
12 %
Total liabilities and stockholders' equity
$ 1,450,047
$ 1,428,979
$ 1,325,610
$ 1,335,454
$ 1,220,406
$ 21,068
1 %
$ 229,641
19 %
OAKWORTH CAPITAL INC.
CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Unaudited)
(in thousands)
Quarter Ended
Change
Change
9/30/2023
6/30/2023
3/31/2023
12/31/2022
9/30/2022
3Q23 vs. 2Q23
3Q23 vs. 3Q22
Interest income:
Loans, including fees
$ 19,204
$ 18,193
$ 15,864
$ 13,643
$ 11,065
$ 1,011
6 %
$ 8,139
74 %
Securities available for sale
899
825
811
797
774
74
9 %
125
16 %
Short term investments
1,608
991
909
1,161
496
617
62 %
1,112
224 %
Total interest income
21,711
20,009
17,584
15,601
12,335
1,702
9 %
9,376
76 %
Interest expense:
Deposits
9,200
7,585
5,729
3,782
1,286
1,615
21 %
7,914
615 %
Borrowings
1,097
1,072
638
548
258
25
2 %
839
NA
Total interest expense
10,297
8,657
6,367
4,330
1,544
1,640
19 %
8,753
567 %
Net interest income
11,414
11,352
11,217
11,271
10,791
62
1 %
623
6 %
Provision for loan losses
431
335
1,116
452
628
96
29 %
(197)
-31 %
Net interest income after provision
10,983
11,017
10,101
10,819
10,163
(34)
0 %
820
8 %
for loan losses
Non-interest income
3,836
3,392
3,297
3,095
3,136
444
13 %
700
22 %
Non-interest expense
10,640
10,151
9,447
9,518
9,098
489
5 %
1,542
17 %
Income before income taxes
4,179
4,258
3,951
4,396
4,201
(79)
-2 %
(22)
-1 %
Provision for income taxes
1,035
1,011
934
1,051
1,008
24
2 %
27
3 %
Net Income
3,144
3,247
3,017
3,345
3,193
(103)
-3 %
(49)
-2 %
Earnings per share - basic
$ 0.64
$ 0.66
$ 0.62
$ 0.69
$ 0.66
$ (0.02)
-3 %
$ (0.02)
-3 %
Earnings per share - diluted
$ 0.64
$ 0.66
$ 0.62
$ 0.68
$ 0.65
$ (0.02)
-3 %
$ (0.01)
-2 %
OAKWORTH CAPITAL INC.
CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Unaudited)
