Texas Capital Bancshares Reports $26.1M Net Income

By Tamara Parker • Thursday, April 18 15:23 • Permanent Link

Texas Capital Bancshares, Inc. has announced its first quarter 2024 results, revealing a net income of $26.1 million and net income available to common stockholders of $21.8 million, or $0.46 per diluted share. This shows an improvement from the fourth quarter of 2023, which reported a net income available to common stockholders of $15.8 million, or $0.33 per diluted share. In comparison to the first quarter of 2023, the net income available to common stockholders was $34.3 million, or $0.70 per diluted share.

Additionally, the company saw growth in loans held for investment of 2.4% and in total deposits of 7.1% in the first quarter of 2024.

The provision for credit losses for the first quarter of 2024 was $19.0 million, consistent with the fourth quarter of 2023. However, the provision for credit losses recorded in the first quarter of 2024 resulted primarily from increases in criticized and non-accrual loans, growth in loans held for investment, and $10.8 million in net charge-offs.

Net interest income was $215.0 million for the first quarter of 2024, compared to $214.7 million for the fourth quarter of 2023. The net interest margin for the first quarter of 2024 was 3.03%, an increase of 10 basis points from the fourth quarter of 2023.

Non-interest income for the first quarter of 2024 increased $10.2 million, or 33%, compared to the fourth quarter of 2023, primarily due to an increase in investment banking and advisory fees.

The company repurchased 529,338 shares of its common stock for an aggregate purchase price, including excise tax expense, of $31.5 million, during the first quarter of 2024.

In terms of regulatory ratios and capital, all regulatory ratios continue to be in excess of “well capitalized” requirements as of March 31, 2024. The company's common equity tier 1 (CET1), tier 1 capital, total capital, and leverage ratios were 12.4%, 13.9%, 16.6%, and 12.4%, respectively, at March 31, 2024, compared to the same period in 2023 and December 31, 2023. The market has reacted to these announcements by moving the company's shares 0.4% to a price of $56.14. For more information, read the company's full 8-K submission here.

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