NASDAQ$TFIN
Triumph Financial Inc · Q2 2023 earnings
Q2 2023 earnings · · Investor relations
Briefing
Net income decreased due to freight recession and rising funding costs, while TriumphPay showed momentum.
Triumph Financial reported a net income of $6.8 million, or $0.29 per diluted share, for the second quarter of 2023. The results were impacted by the ongoing freight recession and rising funding costs, but TriumphPay demonstrated significant momentum.
- Earnings declined due to the ongoing freight recession and rising funding costs.
- Funding costs increased as loan growth was funded with more expensive wholesale funding.
- Credit metrics remained solid, and credit costs were in line with expectations.
- TriumphPay experienced significant momentum with new logos and improved EBITDA margins.
Headline financials
Revenue & EPS history
Triumph Financial · Revenue · Quarterly
$103M
Revenue by segment
Triumph Financial · $39.8M total across 2 segments · Q2 2023
- Factoring$36.4M-49.0%91.3%
- Payments$3.45M-76.2%8.7%
Forward guidance
Triumph Financial expects expenses to remain roughly flat for the remainder of 2023, with potential increases of $1-2 million per quarter for resiliency-related projects. The company anticipates that any additional expense growth will be the result of supporting new clients and increased volumes.
Tailwinds
- Expenses are expected to remain roughly flat for the remainder of 2023.
- Additional expense growth will primarily support new clients and increased volumes.
- The company is focused on helping clients navigate the difficult operating environment.
- TriumphPay is expected to reach EBITDA break-even by the end of 2024, possibly sooner.
- Triumph Financial's credit position is considered solid, and the freight market is expected to trend higher.
Headwinds
- The freight market remains under pressure.
- Resiliency-related projects could add $1-2 million to the quarterly run rate beginning in Q3.
- Revenue volatility impacts the business, preventing earnings guidance.
- Pricing pressures remain and utilization trends are still below long-term averages in Factoring.
- The level of lending opportunities with attractive risk-adjusted returns is less than anticipated at the beginning of the year.
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 2023
-0.5%
Avg return
Earnings day
-0.2%
Avg return
5 days after
+3.7%
Avg return
30 days after
48%
26 / 54 earnings
Positive
+12.5%
Q2 2020
Best reaction
-13.9%
Q4 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +1.9% | +1.9% | -0.6% | |
| Q4 2025 | -7.2% | -10.6% | -16.3% | |
| Q3 2025 | +7.3% | +25.4% | +9.4% | |
| Q2 2025 | -2.6% | -2.0% | +7.0% | |
| Q1 2025 | -2.4% | -3.0% | +22.8% | |
| Q4 2024 | -13.9% | -14.5% | -26.6% | |
| Q3 2024 | +7.9% | +9.0% | +21.6% | |
| Q2 2024 | -12.6% | -7.7% | -10.3% | |
| Q1 2024 | -9.6% | -7.9% | +1.7% | |
| Q4 2023 | -5.2% | -6.5% | -2.6% | |
| Q3 2023 | +1.3% | +1.0% | +17.6% | |
| Q2 2023 | +0.3% | +0.7% | -5.2% | |
| Q1 2023 | -3.3% | -0.9% | +0.8% | |
| Q4 2022 | -2.2% | +2.9% | +15.0% | |
| Q3 2022 | -10.1% | -17.2% | +4.7% | |
| Q2 2022 | +6.9% | +4.5% | +8.1% | |
| Q1 2022 | -6.4% | -8.1% | -19.6% | |
| Q4 2021 | -12.4% | -18.8% | -13.9% | |
| Q3 2021 | +0.0% | +6.3% | +18.9% | |
| Q2 2021 | +2.3% | +2.9% | +10.2% | |
| Q1 2021 | -0.4% | +0.5% | -8.6% | |
| Q4 2020 | +4.2% | +10.1% | +28.5% | |
| Q3 2020 | +3.9% | +8.1% | +11.2% | |
| Q2 2020 | +12.5% | +10.2% | +18.4% | |
| Q1 2020 | -4.3% | -8.3% | -7.7% | |
| Q4 2019 | +6.0% | +5.2% | +10.3% | |
| Q3 2019 | +1.1% | +5.8% | +5.5% | |
| Q2 2019 | +7.8% | +9.2% | +7.0% | |
| Q1 2019 | -4.6% | -7.3% | -2.6% | |
| Q4 2018 | -9.1% | -4.2% | +3.0% | |
| Q3 2018 | -2.0% | -7.2% | +0.2% | |
| Q2 2018 | -1.6% | -1.4% | +2.7% | |
| Q1 2018 | +2.0% | +0.5% | +3.8% | |
| Q4 2017 | +7.2% | +6.9% | +15.6% | |
| Q3 2017 | -0.6% | +1.3% | -5.1% | |
| Q2 2017 | +7.8% | +14.1% | +8.7% | |
| Q1 2017 | -3.7% | -9.8% | -12.9% | |
| Q4 2016 | +3.6% | +5.9% | +5.6% | |
| Q3 2016 | -4.1% | -5.8% | +11.4% | |
| Q2 2016 | +4.1% | +2.2% | +9.7% | |
| Q1 2016 | +0.2% | — | — | |
| Q4 2015 | -0.2% | — | — | |
| Q4 2012 | -0.2% | — | — | |
| Q3 2015 | -1.0% | — | — | |
| Q2 2015 | +3.1% | — | — | |
| Q1 2014 | +0.2% | — | — | |
| Q1 2015 | +2.7% | — | — | |
| Q2 2014 | -0.2% | — | — | |
| Q4 2013 | -0.2% | — | — | |
| Q1 2013 | -0.2% | — | — | |
| Q4 2014 | -2.5% | — | — | |
| Q2 2013 | +1.0% | — | — | |
| Q3 2013 | +1.0% | — | — | |
| Q3 2014 | +1.0% | — | — |
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