NASDAQ$LOB

Live Oak Bancshares Inc. · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported net income of $97.0 million, which included a pretax gain of $120.5 million related to the sale of the Company’s investment in Finxact.

Live Oak Bancshares reported a strong second quarter with net income of $97.0 million, driven by a significant gain from the sale of its Finxact investment. Loan and lease originations remained robust, and total deposits increased, reflecting continued growth and strategic initiatives.

  • Net income for the second quarter of 2022 was $97.0 million, or $2.16 per diluted share.
  • Total revenue increased to $208.46 million, up 89% from the previous quarter.
  • Loan and lease originations totaled $959.6 million, an increase of 10.9% from the first quarter of 2022.
  • Total deposits increased to $8.16 billion, a $518.6 million increase compared to the previous quarter.

Headline financials

Total Revenue

$208M

Previous: $142M+47.2%
EPS (adj)

$2.16

Previous: $1.41+53.2%
Net interest margin

3.9%

Previous: 3.6%+7.2%
Efficiency ratio

38.8%

Previous: 40.7%-4.6%
Loans and leases originated

$960M

Previous: $1.15B-16.8%
Capital Expenditures

-$28.2M

Previous: -$1.23M-2191.5%
Free Cash Flow

$68.8M

Previous: $62.4M+10.4%
Net Income

$97M

Previous: $63.6M+52.6%
Operating Income

$156M

Previous: $91.3M+70.9%
Gross Profit

$203M

Previous: $134M+51.9%
Cash & Equivalents

$585M

Previous: $435M+34.5%
Total Assets

$9.12B

Previous: $8.24B+10.6%

Revenue & EPS history

Live Oak · Revenue · Quarterly

$208M

Q2 2022+47.2%vs Q2 2021
Beat estimate in 12 of 16 quarters(75%)
ActualEstimate

Revenue by segment

Live Oak · $18.7M total across 3 segments · Q3 2023

  • Net gains on sales of loans
    $12.7M
  • Other noninterest income
    $3.5M
  • Lease income
    $2.5M

Forward guidance

The company did not provide specific forward guidance in the earnings report. However, the CEO expressed optimism about the future, stating that the company has ample opportunities to serve America’s small businesses.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-0.4%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+3.7%

Avg return

30 days after

53%

26 / 49 earnings

Positive

+21.3%

Q2 2019

Best reaction

-14.5%

Q4 2018

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.4%+6.9%+2.6%
Q4 2025+4.3%-0.6%+4.8%
Q3 2025-3.6%-6.8%-11.4%
Q2 2025+0.1%+1.4%+5.9%
Q1 2025+7.1%+7.9%+8.8%
Q4 2024-14.0%-11.2%-21.5%
Q3 2024-10.6%-12.7%+2.1%
Q2 2024+2.4%+1.4%-0.7%
Q1 2024-12.7%-14.7%-13.0%
Q4 2023-4.4%-5.4%-6.6%
Q3 2023+7.1%+7.3%+21.1%
Q2 2023+14.4%+20.0%+6.6%
Q1 2023+3.5%+1.5%+2.8%
Q4 2022-0.7%+6.4%+13.8%
Q3 2022+0.6%+9.1%+10.2%
Q2 2022+4.3%+5.1%+3.4%
Q1 2022-0.7%-5.6%-12.9%
Q4 2021-10.4%-15.2%-4.8%
Q3 2021+7.4%+26.0%+26.9%
Q2 2021+9.4%+7.5%+1.1%
Q1 2021-3.0%+2.0%-8.0%
Q4 2020-12.8%-14.9%+18.3%
Q3 2020+0.4%+3.1%+33.4%
Q2 2020+1.4%-0.3%+23.7%
Q1 2020-10.8%-0.4%-5.6%
Q4 2019+6.0%-1.1%-3.7%
Q3 2019-0.4%+0.5%-1.6%
Q2 2019+21.3%+22.7%+7.7%
Q1 2019-1.0%+9.9%-0.6%
Q4 2018-14.5%-10.6%+7.1%
Q3 2018-12.4%-16.0%-16.4%
Q2 2018-7.6%-12.1%-6.2%
Q1 2018-2.6%-1.7%+3.0%
Q4 2017+9.1%+6.9%+7.1%
Q3 2017+2.7%-0.6%+2.5%
Q2 2017-3.4%-0.2%-10.7%
Q1 2017+6.5%+5.0%+9.2%
Q4 2016+2.3%+4.6%+23.4%
Q3 2016+6.3%+11.9%+26.0%
Q2 2016-7.5%-5.8%+0.1%
Q1 2015-2.5%
Q1 2016+0.3%
Q4 2013+2.1%
Q4 2014+2.1%
Q4 2015+5.7%
Q3 2014+0.2%
Q3 2015-8.8%
Q2 2015-2.4%
Q2 2014-2.4%
Q1 2014

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