Oakworth Capital Inc. Reports 29% Increase in Diluted EPS

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Apr 22, 2024, 09:00 ET

BIRMINGHAM, Ala., April 22, 2024 /PRNewswire/ -- Oakworth Capital Inc. (Oakworth) (OTCQX: OAKC) reported solid growth in its core business in the first quarter of 2024. Earnings increased 30%, driven by double-digit percentage growth in both banking and wealth revenue streams, accompanied by controlled expense growth.

Oakworth's Chairman and CEO Scott Reed stated, "We look forward to realizing a return on the strategic investments we made in 2023 to support future growth and service offerings, including our Central Carolinas office. We are off to a positive start in the first quarter and expect to improve on that goal as the year progresses. Our core businesses performed nicely in the quarter with loan growth being strong. We are very pleased with deposit growth and wealth's rebound from a challenging 2023."

Wealth assets increased 15% year-over-year and 7% linked-quarter to $2.2 billion. Year-over-year loan growth was 19% (3% linked quarter) to $1.3 billion. Deposits grew 27% year-over-year and were seasonally flat linked quarter. Total revenue increased 15% year-over-year and 9% linked-quarter to $16.7 million.

At March 31, 2024, Tier 1 Capital was 9.9%, the Total Capital Ratio was 10.9% 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 Mar. 31, 2024, Oakworth had $1.6 billion in total assets, $1.3 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
	3/31/2024	12/31/2023	9/30/2023	6/30/2023	3/31/2023	3/31/2024 vs. 12/31/2023		3/31/2024 vs. 3/31/2023

Wealth assets (non-balance sheet)	$ 2,156	$ 2,016	$ 1,896	$ 1,987	$ 1,875	$ 140	7 %	$ 281	15 %

CONSOLIDATED CONDENSED STATEMENTS OF CONDITION (Unaudited)
(in thousands)	As of					Change		Change
	3/31/2024	12/31/2023	9/30/2023	6/30/2023	3/31/2023	3/31/2024 vs. 12/31/2023		3/31/2024 vs. 3/31/2023
Assets
Cash and due from banks	$ 126,215	$ 158,403	$ 116,065	$ 140,421	$ 69,575	$ (32,188)	-20 %	$ 56,640	81 %
Federal funds sold	1,650	3,925	2,225	3,825	3,025	(2,275)	-58 %	(1,375)	-45 %
Securities available for sale	147,576	143,947	137,907	135,433	136,234	3,629	3 %	11,342	8 %
Loans, net of unearned income	1,280,129	1,244,133	1,146,526	1,107,028	1,076,532	35,996	3 %	203,597	19 %
Allowance for loan losses	(15,048)	(14,652)	(13,575)	(13,144)	(12,808)	(396)	3 %	(2,240)	17 %
Loans, net	1,265,081	1,229,481	1,132,951	1,093,884	1,063,724	35,600	3 %	201,357	19 %
Fixed assets	4,998	4,681	4,758	4,626	3,314	317	7 %	1,684	51 %
Interest receivable	6,279	6,284	5,932	4,791	4,752	(5)	0 %	1,527	32 %
Other assets	47,856	48,506	50,209	45,999	44,986	(650)	-1 %	2,870	6 %
Total assets	$ 1,599,655	$ 1,595,227	$ 1,450,047	$ 1,428,979	$ 1,325,610	$ 4,428	0 %	$ 274,045	21 %

Liabilities and Stockholders' Equity
Liabilities:
Deposits:
Non-interest bearing deposits	$ 266,083	$ 319,986	$ 278,822	$ 301,821	$ 324,649	$ (53,903)	-17 %	$ (58,566)	-18 %
Interest-bearing deposits	1,166,594	1,105,921	963,044	922,391	802,946	60,673	5 %	363,648	45 %
Total deposits	1,432,677	1,425,907	1,241,866	1,224,212	1,127,595	6,770	0 %	305,082	27 %
Total Borrowings	34,227	34,204	74,180	74,158	74,134	23	0 %	(39,907)	-54 %
Accrued interest payable	703	1,070	455	982	425	(367)	-34 %	278	65 %
Other liabilities	18,005	23,794	21,840	17,960	14,937	(5,789)	-24 %	3,068	21 %
Total liabilities	1,485,612	1,484,975	1,338,341	1,317,312	1,217,091	637	0 %	268,521	22 %
Total stockholders' equity	114,043	110,252	111,706	111,667	108,519	3,791	3 %	5,524	5 %
Total liabilities and stockholders' equity	$ 1,599,655	$ 1,595,227	$ 1,450,047	$ 1,428,979	$ 1,325,610	$ 4,428	0 %	$ 274,045	21 %


OAKWORTH CAPITAL INC.

CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Unaudited)
(in thousands)	Quarter Ended					Change		Change
	3/31/2024	12/31/2023	9/30/2023	6/30/2023	3/31/2023	1Q24 vs. 4Q23		1Q24 vs. 1Q23

Interest income:
Loans, including fees	$ 22,056	$ 20,322	$ 19,204	$ 18,193	$ 15,864	$ 1,734	9 %	$ 6,192	39 %
Securities available for sale	1,030	977	899	825	811	53	5 %	219	27 %
Short term investments	1,134	1,463	1,608	991	909	(329)	-22 %	225	25 %
Total interest income	24,220	22,762	21,711	20,009	17,584	1,458	6 %	6,636	38 %
Interest expense:
Deposits	11,189	9,976	9,200	7,585	5,729	1,213	12 %	5,460	95 %
Borrowings	548	1,219	1,097	1,072	638	(671)	-55 %	(90)	-14 %
Total interest expense	11,737	11,195	10,297	8,657	6,367	542	5 %	5,370	84 %
Net interest income	12,483	11,567	11,414	11,352	11,217	916	8 %	1,266	11 %
Provision for loan losses	396	10,792	431	335	1,116	(10,396)	-96 %	(720)	-65 %
Net interest income after provision	12,087	775	10,983	11,017	10,101	11,312	1460 %	1,986	20 %
for loan losses
Non-interest income	4,219	3,753	3,836	3,392	3,297	466	12 %	922	28 %
Non-interest expense	11,320	11,013	10,640	10,151	9,447	307	3 %	1,873	20 %
Income before income taxes	4,986	(6,485)	4,179	4,258	3,951	11,471	177 %	1,035	26 %
Provision for income taxes	1,056	(1,752)	1,035	1,011	934	2,808	160 %	122	13 %
Net Income	3,930	(4,733)	3,144	3,247	3,017	8,663	183 %	913	30 %
Earnings per share - basic	$ 0.80	$ (0.97)	$ 0.64	$ 0.66	$ 0.62	$ 1.76	183 %	$ 0.18	29 %
Earnings per share - diluted	$ 0.80	$ (0.97)	$ 0.64	$ 0.66	$ 0.62	$ 1.76	183 %	$ 0.18	29 %


OAKWORTH CAPITAL INC.

CONSOLIDATED CONDENSED STATEMENTS OF INCOME (Unaudited)
(in thousands)	YTD Period Ended
	3/31/2024	3/31/2023	Change

Interest income:
Loans, including fees	$ 22,056	$ 15,864	$ 6,192	39 %
Securities available for sale	1,030	811	219	27 %
Short term investments	1,134	909	225	25 %
Total interest income	24,220	17,584	6,636	38 %
Interest expense:
Deposits	11,189	5,729	5,460	95 %
Borrowings	548	638	(90)	-14 %
Total interest expense	11,737	6,367	5,370	84 %
Net interest income	12,483	11,217	1,266	11 %
Provision for loan losses	396	1,116	(720)	-65 %
Net interest income after provision	12,087	10,101	1,986	20 %
for loan losses
Non-interest income	4,219	3,297	922	28 %
Non-interest expense	11,320	9,447	1,873	20 %
Income before income taxes	4,986	3,951	1,035	26 %
Provision for income taxes	1,056	934	122	13 %
Net Income	3,930	3,017	913	30 %
Earnings per share - basic	$ 0.80	$ 0.62	$ 0.18	29 %
Earnings per share - diluted	$ 0.80	$ 0.62	$ 0.18	29 %