Veritex Holdings Inc (VBTX) Reports Q3 2023 Earnings Amid Challenging Market Conditions
Veritex Holdings Inc (NASDAQ:VBTX) reported a net income of $32.6 million for Q3 2023, slightly down from $33.7 million in Q2 2023.
Total deposits increased by $962.6 million, or 41.68% annualized, to $10.2 billion as of September 30, 2023.
The company declared a quarterly cash dividend of $0.20 per share of outstanding common stock payable on November 24, 2023.
Veritex was named one of the Best Companies to Work For by the 2023 Inaugural U.S. News & World Report.
Veritex Holdings Inc (NASDAQ:VBTX), the holding company for Veritex Community Bank, released its earnings report for the quarter ended September 30, 2023, on October 24, 2023. Despite challenging market conditions, the company continues to focus on strengthening its balance sheet and adding to its capital.
Financial Performance
Veritex reported a net income of $32.6 million for Q3 2023, slightly down from $33.7 million in Q2 2023. The diluted earnings per share (EPS) stood at $0.60, compared to $0.62 in the previous quarter. The company's return on average assets was 1.06%, and the return on average equity was 8.58%.
Balance Sheet and Capital
Veritex's total deposits increased by $962.6 million, or 41.68% annualized, to $10.2 billion as of September 30, 2023. The loan to deposit ratio decreased to 94.5% as of September 30, 2023, compared to 105.1% as of June 30, 2023. The company's common equity tier 1 capital increased 35 bps to 10.11% as of September 30, 2023.
Company Highlights and Dividends
Veritex was named one of the Best Companies to Work For by the 2023 Inaugural U.S. News & World Report. The company's board of directors declared a quarterly cash dividend of $0.20 per share of outstanding common stock, payable on November 24, 2023.
Outlook
Despite the challenging market conditions, Veritex continues to focus on strengthening its balance sheet and adding to its capital. The company's deposit-centric strategy is gaining momentum, as shown by the positive trends in its balance sheet ratios.
This article first appeared on GuruFocus.
