NASDAQ$VBTX

Veritex Holdings Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

Reported third quarter operating results

Veritex Holdings, Inc. reported a transformational third quarter with record annualized loan growth of 22.1% and net income of $36.8 million, or $0.73 diluted earnings per share.

  • Net income of $36.8 million, or $0.73 diluted earnings per share.
  • Operating earnings of $35.1 million, or $0.70 diluted operating EPS.
  • Total loans held for investment, excluding mortgage warehouse and PPP loans, grew $344.5 million from the second quarter of 2021, or 21.9% annualized.
  • Total deposits grew $199.9 million from the second quarter of 2021, or 11.4% annualized.

Headline financials

Total Revenue

$86.9M

Previous: $75.7M+14.9%
EPS (adj)

$0.70

Previous: $0.46+52.2%
Efficiency Ratio

47.5%

Previous: 48.1%-1.2%
Operating Efficiency Ratio

48.5%

No prior period
Net Interest Margin

3.3%

No prior period
NPAs to Total Assets

0.8%

No prior period
Capital Expenditures

$1.33M

Previous: $1.34M-1.3%
Free Cash Flow

$41.5M

Previous: $24.9M+66.5%
Net Income

$36.8M

Previous: $22.9M+60.7%
Operating Income

$35.1M

Previous: $29.1M+20.4%
Cash & Equivalents

$230M

Previous: $129M+78.4%
Total Assets

$9.57B

Previous: $8.7B+10.0%
Stock-Based Comp

$2.67M

Previous: $2.08M+28.3%

Revenue & EPS history

Veritex · Revenue · Quarterly

$86.9M

Q3 2021+14.9%vs Q3 2020
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 announced the acquisition of North Avenue Capital, LLC, which will close on November 1, 2021, and continues to focus on revenue diversification, sound underwriting, reducing NPAs, and maintaining a strong culture.

Tailwinds

  • Closing of 49% investment in Thrive.
  • Announced the acquisition of North Avenue Capital.
  • Record annualized loan growth of 22.1% for Q3-21.
  • Focus on revenue diversification.
  • Sound underwriting.

Headwinds

  • Reducing NPAs
  • Maintaining our strong culture
  • Pursuing opportunities to further scale our Company.
  • COVID-19 pandemic
  • Economic forecasts

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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