Oakworth Capital Inc. Reports 19% Increase in Year-to-Date Diluted EPS

News provided by

Jul 25, 2024, 09:00 ET

BIRMINGHAM, Ala., July 25, 2024 /PRNewswire/ -- Oakworth Capital Inc. (Oakworth) (OTCQX: OAKC) reported net income of $3.6 million in second quarter 2024 and $7.5 million year-to-date 2024, up 20% from $6.3 million in the same period of 2023. Diluted earnings per share was $1.53 in the first half of 2024 compared to $1.28 in the first half of 2023. Oakworth's balance sheet performed well with 23% growth in total loans and 14% in total deposits, accompanied by 11% growth of wealth assets all relative to June 30, 2023.

Resulting revenue improved 16% to $33.9 million in the first half of 2024 compared to $29.3 million in the same period of 2023. Pre-tax, pre-provision income was up 14% year-over-year. Return on average equity is 13.3% and return on average assets is 1.0% in the first half of 2024.

Oakworth's Chairman and CEO Scott Reed stated, "Our associates consistently deliver a unique and exceptional service experience to our clients, simplifying their financial lives while upholding our core values. As a result, we are experiencing double-digit growth across all disciplines. We continue to focus on balanced and profitable growth and the realization of return on the strategic investments we made in 2023 as we enter the last half of 2024."

At June 30, 2024, Tier 1 Capital was 9.7%, the Total Capital Ratio was 10.7% 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 six years in a row (2018-2023) by American Banker. Additionally, Oakworth has earned a Net Promoter Score (NPS) of 96 out of 100 (FY2023) and has a client retention rate of 97% in 2023. As of June 30, 2024, Oakworth had $1.6 billion in total assets, $1.4 billion in gross loans, $1.4 billion in deposits and $2.2 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
	6/30/2024	3/31/2024	12/31/2023	9/30/2023	6/30/2023	6/30/2024 vs. 3/31/2024		6/30/2024 vs. 6/30/2023

Wealth assets (non-balance sheet)	$ 2,200	$ 2,156	$ 2,016	$ 1,896	$ 1,987	$ 45	2 %	$ 214	11 %

CONSOLIDATED CONDENSED STATEMENTS OF CONDITION *(Unaudited)*
(in thousands)	As of					Change		Change
	6/30/2024	3/31/2024	12/31/2023	9/30/2023	6/30/2023	6/30/2024 vs. 3/31/2024		6/30/2024 vs. 6/30/2023
Assets
Cash and due from banks	$ 71,623	$ 126,215	$ 158,403	$ 116,065	$ 140,421	$ (54,592)	-43 %	$ (68,798)	-49 %
Federal funds sold	75	1,650	3,925	2,225	3,825	(1,575)	-95 %	(3,750)	-98 %
Securities available for sale	151,379	147,576	143,947	137,907	135,433	3,803	3 %	15,946	12 %
Loans, net of unearned income	1,357,150	1,280,129	1,244,133	1,146,526	1,107,028	77,021	6 %	250,122	23 %
Allowance for loan losses	(15,895)	(15,048)	(14,652)	(13,575)	(13,144)	(847)	6 %	(2,751)	21 %
Loans, net	1,341,255	1,265,081	1,229,481	1,132,951	1,093,884	76,174	6 %	247,371	23 %
Fixed assets	4,820	4,998	4,681	4,758	4,626	(178)	-4 %	194	4 %
Interest receivable	6,903	6,279	6,284	5,932	4,791	624	10 %	2,112	44 %
Other assets	56,200	47,856	48,506	50,209	45,999	8,344	17 %	10,201	22 %
Total assets	$ 1,632,255	$ 1,599,655	$ 1,595,227	$ 1,450,047	$ 1,428,979	$ 32,600	2 %	$ 203,276	14 %

Liabilities and Stockholders' Equity
Liabilities:
Deposits:
Non-interest bearing deposits	$ 274,968	$ 266,083	$ 319,986	$ 278,822	$ 301,821	$ 8,885	3 %	$ (26,853)	-9 %
Interest-bearing deposits	1,124,013	1,166,594	1,105,921	963,044	922,391	(42,581)	-4 %	201,622	22 %
Total deposits	1,398,981	1,432,677	1,425,907	1,241,866	1,224,212	(33,696)	-2 %	174,769	14 %
Total Borrowings	94,250	34,227	34,204	74,180	74,158	60,023	175 %	20,092	27 %
Accrued interest payable	1,517	703	1,070	455	982	814	116 %	535	54 %
Other liabilities	19,474	18,005	23,794	21,840	17,960	1,469	8 %	1,514	8 %
Total liabilities	1,514,222	1,485,612	1,484,975	1,338,341	1,317,312	28,610	2 %	196,910	15 %
Total stockholders' equity	118,033	114,043	110,252	111,706	111,667	3,990	3 %	6,366	6 %
Total liabilities and stockholders' equity	$ 1,632,255	$ 1,599,655	$ 1,595,227	$ 1,450,047	$ 1,428,979	$ 32,600	2 %	$ 203,276	14 %


OAKWORTH CAPITAL INC.

CONSOLIDATED CONDENSED STATEMENTS OF INCOME *(Unaudited)*
(in thousands)	Quarter Ended					Change		Change
	6/30/2024	3/31/2024	12/31/2023	9/30/2023	6/30/2023	2Q24 vs. 1Q23		2Q24 vs. 2Q23

Interest income:
Loans, including fees	$ 23,505	$ 22,056	$ 20,322	$ 19,204	$ 18,193	$ 1,449	7 %	$ 5,312	29 %
Securities available for sale	1,101	1,030	977	899	825	71	7 %	276	33 %
Short term investments	982	1,134	1,463	1,608	991	(152)	-13 %	(9)	-1 %
Total interest income	25,588	24,220	22,762	21,711	20,009	1,368	6 %	5,579	28 %
Interest expense:
Deposits	11,429	11,189	9,976	9,200	7,585	240	2 %	3,844	51 %
Borrowings	1,044	548	1,219	1,097	1,072	496	91 %	(28)	-3 %
Total interest expense	12,473	11,737	11,195	10,297	8,657	736	6 %	3,816	44 %
Net interest income	13,115	12,483	11,567	11,414	11,352	632	5 %	1,763	16 %
Provision for loan losses	847	396	10,792	431	335	451	114 %	512	153 %
Net interest income after provision	12,268	12,087	775	10,983	11,017	181	1 %	1,251	11 %
for loan losses
Non-interest income	4,051	4,219	3,753	3,836	3,392	(168)	-4 %	659	19 %
Non-interest expense	11,497	11,320	11,013	10,640	10,151	177	2 %	1,346	13 %
Income before income taxes	4,822	4,986	(6,485)	4,179	4,258	(164)	-3 %	564	13 %
Provision for income taxes	1,204	1,056	(1,752)	1,035	1,011	148	14 %	193	19 %
Net Income	3,618	3,930	(4,733)	3,144	3,247	(312)	-8 %	371	11 %
Earnings per share - basic	$ 0.73	$ 0.80	$ (0.97)	$ 0.64	$ 0.66	$ (0.07)	-8 %	$ 0.07	10 %
Earnings per share - diluted	$ 0.73	$ 0.80	$ (0.97)	$ 0.64	$ 0.66	$ (0.07)	-8 %	$ 0.07	10 %


OAKWORTH CAPITAL INC.

CONSOLIDATED CONDENSED STATEMENTS OF INCOME *(Unaudited)*
(in thousands)	YTD Period Ended
	6/30/2024	6/30/2023	Change

Interest income:
Loans, including fees	$ 45,560	$ 34,057	$ 11,503	34 %
Securities available for sale	2,132	1,635	497	30 %
Short term investments	2,116	1,900	216	11 %
Total interest income	49,808	37,592	12,216	32 %
Interest expense:
Deposits	22,618	13,314	9,304	70 %
Borrowings	1,592	1,709	(117)	-7 %
Total interest expense	24,210	15,023	9,187	61 %
Net interest income	25,598	22,569	3,029	13 %
Provision for loan losses	1,243	1,452	(209)	-14 %
Net interest income after provision	24,355	21,117	3,238	15 %
for loan losses
Non-interest income	8,271	6,690	1,581	24 %
Non-interest expense	22,817	19,598	3,219	16 %
Income before income taxes	9,809	8,209	1,600	19 %
Provision for income taxes	2,261	1,945	316	16 %
Net Income	7,548	6,264	1,284	20 %
Earnings per share - basic	$ 1.53	$ 1.28	$ 0.25	19 %
Earnings per share - diluted	$ 1.53	$ 1.28	$ 0.25	19 %