Texas Capital Bancshares, Inc. reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company’s total assets increased to $31.6 billion, up from $28.4 billion at the end of 2023. This growth was driven by a rise in cash and cash equivalents, which reached $3.9 billion, compared to $3.0 billion previously. Notably, loans held for investment surged to $22.3 billion, a substantial increase from $20.3 billion at the end of 2023, with mortgage finance loans rising sharply to $5.5 billion from $4.0 billion.
Total deposits also saw a significant increase, climbing to $25.9 billion from $22.4 billion, reflecting a shift towards customer deposits, which now constitute 98% of total deposits. The company’s stockholders’ equity rose to $3.4 billion, up from $3.2 billion, despite reporting a net loss of $61.3 million for the quarter, a stark contrast to the net income of $61.7 million in the same period last year. For the nine months ended September 30, 2024, net income was $6.5 million, a significant decline from $169.0 million in 2023.
Interest income for the third quarter of 2024 was $452.5 million, an increase from $425.8 million in 2023, while net interest income rose to $240.1 million from $232.1 million. However, total non-interest income plummeted to $(114.8) million, primarily due to a $179.6 million loss on the sale of available-for-sale debt securities. Non-interest expenses increased to $195.3 million from $179.9 million, driven by higher salaries and benefits, as well as restructuring costs.
The company’s provision for credit losses increased to $49.4 million for the nine months ended September 30, 2024, up from $28.5 million in the prior year, attributed to growth in loans and net charge-offs of $28.8 million. Criticized loans rose to $897.7 million, up from $738.2 million at the end of 2023.
In terms of strategic developments, Texas Capital Bancshares initiated a share repurchase program in January 2024, allowing for the repurchase of up to $150 million in common stock. During the nine months ended September 30, 2024, the company repurchased 1.4 million shares for $81.5 million. The company did not declare or pay any dividends during this period.
Overall, Texas Capital Bancshares is navigating a challenging financial landscape, marked by increased loan growth and significant changes in its income and expense structure.
About TEXAS CAPITAL BANCSHARES INC/TX
About 10-Q Filings
A 10-Q form is an important financial report that public companies in the United States must submit every three months. It gives a clear picture of a company's financial health and recent performance.
Key points about the 10-Q:
- Frequency: Companies file it three times a year, covering the first three quarters. The fourth quarter is covered in a more comprehensive annual report.
-
Content: It includes:
- Financial statements showing the company's current financial position
- Updates from management on the performance and projections of the business
- Information about potential risks the company faces
- Details on how the company is run internally
- Deadline: Must be filed within 40 or 45 days after the quarter ends, depending on the size of the company.
Our Methodology
AssetRoom is committed to providing timely summaries of news from public companies. We use AI to generate these summaries quickly, but they are not reviewed by human experts.
Our method:
- Data Collection: We continuously monitor for new filings (currently limited to US-listed stocks).
- AI-Powered Analysis: Our advanced AI system processes each filing, identifying key information and extracting relevant data.
- Summary Generation: The AI creates a concise, easy-to-understand summary of the filing, highlighting the most important points.
- Publication: The summary is immediately published on our platform, allowing users instant access to the latest information.
- Email users: We distribute round-up emails according to our users preferences, keeping them in the loop with the companies they follow.
Feedback & Corrections
Spot an error or have a suggestion? Contact us.