NASDAQ$VBTX

Veritex Holdings Inc · Q3 2020 earnings

Q3 2020 earnings · · Investor relations

Briefing

Veritex reported strong Q3 results despite economic headwinds, marked by a decline in loan deferrals, growth in loans and deposits, and a solid capital position.

Veritex Holdings, Inc. reported a net income of $22.9 million, or $0.46 diluted earnings per share, for the quarter ended September 30, 2020. The company saw a significant decrease in loans on active deferral and growth in total loans and deposits. The average cost of total deposits decreased, and the company's capital levels increased.

  • Net income was $22.9 million, with diluted earnings per share of $0.46.
  • Pre-tax, pre-provision operating earnings totaled $39.3 million.
  • Total loans, excluding PPP loans, grew by $165.3 million, representing a 10.7% annualized growth.
  • Total deposits increased by $97.0 million, or 6.3% annualized, with a decrease in the average cost of total deposits to 0.46%.

Headline financials

Total Revenue

$75.7M

Previous: $79.3M-4.6%
EPS (adj)

$0.46

Previous: $0.53-13.2%
Efficiency Ratio

48.1%

No prior period
Net Charge-offs to Avg Loans

0.0%

No prior period
TCE to Tangible Assets

9.1%

No prior period
Tier 1 Capital Leverage

9.5%

No prior period
CET1 Capital Ratio

9.7%

No prior period
Tier 1 Capital to RWA

10.1%

No prior period
Total Capital to RWA

12.7%

No prior period
Capital Expenditures

$1.34M

Previous: $4.18M-67.8%
Free Cash Flow

$24.9M

Previous: $31.3M-20.3%
Net Income

$22.9M

Previous: $27.4M-16.4%
Operating Income

$29.1M

No prior period
Cash & Equivalents

$129M

Previous: $253M-49.0%
Total Assets

$8.7B

Previous: $7.96B+9.3%
Stock-Based Comp

$2.08M

Previous: $1.43M+45.4%

Revenue & EPS history

Veritex · Revenue · Quarterly

$75.7M

Q3 2020-4.6%vs Q3 2019
Beat estimate in 5 of 16 quarters(31%)
ActualEstimate

Revenue by segment

Veritex · $6.62B total across 8 segments · Q3 2021

  • Non-Owner Occ. CRE
    $2.18B
  • Commercial LHI
    $1.81B
  • Construction & Land
    $936M
  • Owner Occupied CRE
    $711M
  • 1-4 Family Residential
    $544M
  • Multi-Family Residential
    $357M
  • Farmland loans
    $73.6M
  • Consumer loans
    $14.3M

Forward guidance

The company extended the expiration date of the Stock Buyback Program from December 31, 2020 to March 31, 2021.

Historical earnings impact

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

Avg. return before/after earnings

Based on 12 quarterly earnings reports

Historical avg

+0.3%

Avg return

Earnings day

+1.3%

Avg return

5 days after

+0.6%

Avg return

30 days after

53%

26 / 49 earnings

Positive

+15.3%

Q1 2020

Best reaction

-10.1%

Q3 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2025
Q2 2025-1.7%-1.0%-2.7%
Q1 2025+5.1%+5.6%+8.6%
Q4 2025-0.7%-2.7%-2.5%
Q3 2024+3.3%+1.7%+8.8%
Q2 2024-0.5%+5.1%-5.0%
Q1 2024+2.4%-0.6%+1.0%
Q4 2023-4.2%-4.2%-11.8%
Q3 2023-2.9%+1.7%+10.8%
Q2 2023+0.8%+3.9%-7.3%
Q1 2023-1.4%-2.6%-4.6%
Q4 2022-8.2%-5.2%-5.4%
Q3 2022+7.0%+14.0%+17.4%
Q2 2022-0.9%
Q1 2022-5.1%
Q4 2021+0.6%
Q3 2021-5.3%
Q2 2021+1.6%
Q1 2021+0.0%
Q4 2020-8.0%
Q3 2020-10.1%
Q2 2020+7.3%
Q1 2020+15.3%
Q4 2019-0.7%
Q3 2019+1.4%
Q2 2019-3.9%
Q1 2019-1.1%
Q4 2018+8.6%
Q3 2018-7.4%
Q2 2018-2.4%
Q1 2018+5.3%
Q4 2017+1.5%
Q3 2017-3.6%
Q2 2017+0.4%
Q1 2017+4.3%
Q4 2016+6.7%
Q3 2016+1.2%
Q2 2016+1.6%
Q1 2014-0.6%
Q2 2014-0.6%
Q1 2016+3.7%
Q4 2015-0.1%
Q3 2015+4.0%
Q2 2015+2.5%
Q1 2015+1.0%
Q4 2012+0.1%
Q4 2014+1.5%
Q3 2013-2.8%
Q4 2013-2.8%
Q3 2014+4.3%
Q2 2013
Q1 2013

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