OKLAHOMA
CITY, Jan. 29, 2024 /PRNewswire/ -- Bank7 Corp.
(NASDAQ: BSVN) ("the Company"), the parent company of Oklahoma City-based Bank7 (the "Bank"), today
reported unaudited results for the quarter and year ended
December 31, 2023. "We are pleased to
report another year of record PPE. Our success continues to be
driven by our long-term and broad-based deposit relationships, our
debt-free and liquid balance sheet, and our disciplined approach to
cost controls. With the exception of one large credit, we continue
to benefit from strong asset quality and remain confident that the
overall portfolio is indicative of our historical low loan loss
results," said Thomas L. Travis, President and CEO of the
Company.
For the three months ended December 31,
2023 compared to the three months ended December 31, 2022:
- Net income of $1.1 million
compared to $8.4 million, a decrease
of 87.24%
- Earnings per share of $0.12
compared to $0.91, a decrease of
87.36%
- Total assets of $1.8 billion
compared to $1.6 billion, an increase
of 11.84%
- Total loans of $1.4 billion
compared to $1.3 billion, an increase
of 7.11%
- PPE of $17.1 million compared to
$13.0 million, an increase of
31.41%
- Total interest income of $32.4
million compared to $25.5
million, an increase of 27.25%
For the year ended December 31,
2023 compared to year ended December
31, 2022
- Net income of $28.3 million
compared to $29.6 million, a decrease
of 4.60%
- Earnings per share of $3.05
compared to $3.22, a decrease of
5.22%
- PPE of $58.4 million compared to
$43.9 million, an increase of
33.14%
- Total interest income of $121.5
million compared to $78.7
million, an increase of 54.34%
Both the Bank's and the Company's capital levels continue to be
significantly above the minimum levels required to be designated as
"well-capitalized" for regulatory purposes. On December 31, 2023, the Bank's Tier 1 leverage
ratio, Tier 1 risk-based capital ratio, and total risk-based
capital ratios were 9.54%, 11.50%, and 12.75%, respectively. On
December 31, 2023, on a consolidated
basis, the Company's Tier 1 leverage ratio, Tier 1 risk-based
capital ratio, and total risk-based capital ratios were 9.54%,
11.49%, and 12.74%, respectively. Designation as a well-capitalized
institution under regulations does not constitute a recommendation
or endorsement by bank regulators. Non-GAAP metric pre-provision
pre-tax earnings ("PPE") is calculated as net income, add back:
income tax expense, provision for credit losses, and loss on sales,
prepayments, and calls of available-for-sale debt securities.
|
|
|
|
|
|
Bank7
Corp.
|
|
|
Consolidated Balance
Sheets
|
|
|
|
|
|
|
December
31,
|
|
|
Assets
|
2023
(unaudited)
|
|
2022
|
|
|
|
|
|
|
|
Cash and due from
banks
|
$
181,042
|
|
$
109,115
|
|
|
Interest-bearing time
deposits in other banks
|
17,679
|
|
5,474
|
|
|
Available-for-sale debt
securities
|
169,487
|
|
173,165
|
|
|
Loans, net of allowance
for credit losses of $19,691 and
|
|
|
|
|
|
$14,734 at December 31,
2023 and December 31, 2022, respectively
|
1,341,148
|
|
1,255,722
|
|
|
Loans held for sale, at
fair value
|
718
|
|
-
|
|
|
Premises and equipment,
net
|
14,942
|
|
13,106
|
|
|
Nonmarketable equity
securities
|
1,283
|
|
1,209
|
|
|
Core deposit
intangibles
|
1,031
|
|
1,336
|
|
|
Goodwill
|
8,458
|
|
8,603
|
|
|
Interest receivable and
other assets
|
35,878
|
|
16,439
|
|
|
|
|
|
|
|
Total assets
|
$
1,771,666
|
|
$
1,584,169
|
|
|
|
|
|
|
|
Liabilities and
Shareholders' Equity
|
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
|
|
|
|
Noninterest-bearing
|
$
482,349
|
|
$
441,509
|
|
|
Interest-bearing
|
1,109,042
|
|
989,891
|
|
|
|
|
|
|
|
Total deposits
|
1,591,391
|
|
1,431,400
|
|
|
|
|
|
|
|
Income taxes
payable
|
302
|
|
1,054
|
|
|
Interest payable and
other liabilities
|
9,647
|
|
7,615
|
|
|
|
|
|
|
|
Total liabilities
|
1,601,340
|
|
1,440,069
|
|
|
|
|
|
|
|
Shareholders'
equity
|
|
|
|
|
|
Common stock, $0.01 par value; 50,000,000 shares authorized;
shares
|
|
|
|
|
|
issued and outstanding: 9,197,696 and 9,131,973
at
|
92
|
|
91
|
|
|
December 31, 2023 and December 31, 2022
respectively
|
|
|
|
|
|
|
|
|
|
|
Additional paid-in capital
|
97,415
|
|
95,263
|
|
|
Retained earnings
|
78,964
|
|
58,049
|
|
|
Accumulated other comprehensive income (loss)
|
(6,145)
|
|
(9,303)
|
|
|
|
|
|
|
|
Total shareholders' equity
|
170,326
|
|
144,100
|
|
|
|
|
|
|
|
Total liabilities and shareholders' equity
|
$
1,771,666
|
|
$
1,584,169
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
|
|
December
31,
|
|
December
31,
|
|
|
2023
(unaudited)
|
|
2022
|
|
2023
(unaudited)
|
|
2022
|
|
Interest
Income
|
|
|
|
|
|
|
|
|
|
Loans, including
fees
|
|
$
28,727
|
|
$
23,806
|
|
$
109,843
|
|
$ 74,403
|
|
Interest-bearing time
deposits in other banks
|
|
248
|
|
7
|
|
519
|
|
46
|
|
Debt securities,
taxable
|
|
685
|
|
688
|
|
2,791
|
|
2,313
|
|
Debt securities,
tax-exempt
|
|
77
|
|
87
|
|
330
|
|
360
|
|
Other interest and
dividend income
|
|
2,664
|
|
874
|
|
8,061
|
|
1,627
|
|
|
|
|
|
|
|
|
|
|
Total interest income
|
|
32,401
|
|
25,462
|
|
121,544
|
|
78,749
|
|
|
|
|
|
|
|
|
|
|
Interest
Expense
|
|
|
|
|
|
|
|
|
|
Deposits
|
|
11,104
|
|
5,081
|
|
38,998
|
|
9,322
|
|
|
|
|
|
|
|
|
|
|
Total interest expense
|
|
11,104
|
|
5,081
|
|
38,998
|
|
9,322
|
|
|
|
|
|
|
|
|
|
|
Net Interest
Income
|
|
21,297
|
|
20,381
|
|
82,546
|
|
69,427
|
|
|
|
|
|
|
|
|
|
|
Provision for Credit
Losses
|
|
15,500
|
|
1,625
|
|
21,145
|
|
4,468
|
|
|
|
|
|
|
|
|
|
|
Net Interest Income
After Provision for Credit Losses
|
|
5,797
|
|
18,756
|
|
61,401
|
|
64,959
|
|
|
|
|
|
|
|
|
|
|
Noninterest
Income
|
|
|
|
|
|
|
|
|
|
Mortgage lending
income
|
|
159
|
|
91
|
|
331
|
|
486
|
|
Loss on sales,
prepayments, and calls of available-for-sale debt
securities
|
|
(1)
|
|
-
|
|
(16)
|
|
(127)
|
|
Service charges on
deposit accounts
|
|
222
|
|
222
|
|
869
|
|
900
|
|
Other
|
|
6,389
|
|
419
|
|
8,058
|
|
1,680
|
|
|
|
|
|
|
|
|
|
|
Total noninterest income
|
|
6,769
|
|
732
|
|
9,242
|
|
2,939
|
|
|
|
|
|
|
|
|
|
|
Noninterest
Expense
|
|
|
|
|
|
|
|
|
|
Salaries and employee
benefits
|
|
3,086
|
|
4,892
|
|
17,385
|
|
17,040
|
|
Furniture and
equipment
|
|
241
|
|
334
|
|
995
|
|
1,468
|
|
Occupancy
|
|
708
|
|
593
|
|
2,689
|
|
2,329
|
|
Data and item
processing
|
|
450
|
|
600
|
|
1,730
|
|
2,068
|
|
Accounting, marketing
and legal fees
|
|
51
|
|
203
|
|
543
|
|
984
|
|
Regulatory
assessments
|
|
524
|
|
371
|
|
1,537
|
|
1,344
|
|
Advertsing and public
relations
|
|
154
|
|
164
|
|
427
|
|
477
|
|
Travel, lodging and
entertainment
|
|
118
|
|
147
|
|
374
|
|
363
|
|
Other
|
|
5,673
|
|
825
|
|
7,740
|
|
2,568
|
|
|
|
|
|
|
|
|
|
|
Total noninterest expense
|
|
11,005
|
|
8,129
|
|
33,420
|
|
28,641
|
|
|
|
|
|
|
|
|
|
|
Income Before
Taxes
|
|
1,561
|
|
11,359
|
|
37,223
|
|
39,257
|
|
Income tax expense
|
|
491
|
|
2,973
|
|
8,948
|
|
9,619
|
|
Net
Income
|
|
$
1,070
|
|
$
8,386
|
|
$
28,275
|
|
$ 29,638
|
|
|
|
|
|
|
|
|
|
|
Earnings per common
share - basic
|
|
$
0.12
|
|
$
0.92
|
|
$
3.09
|
|
$
3.26
|
|
Earnings per common
share - diluted
|
|
0.12
|
|
0.91
|
|
3.05
|
|
3.22
|
|
Weighted average common
shares outstanding - basic
|
|
9,188,888
|
|
9,118,728
|
|
9,161,565
|
|
9,101,523
|
|
Weighted average common
shares outstanding - diluted
|
|
9,274,960
|
|
9,232,333
|
|
9,264,307
|
|
9,204,716
|
|
|
|
|
|
|
|
|
|
|
Other Comprehensive
Income (Loss)
|
|
|
|
|
|
|
|
|
|
Unrealized
gains(losses) on securities, net of (tax expense)tax benefit of
($1.9 million), $2.8 million,
|
|
|
|
|
|
|
|
and $0 for
the years ended December 31, 2023, 2022, and 2021,
respectively
|
|
$
2,933
|
|
$
1,146
|
|
$
3,146
|
|
$
(9,543)
|
|
Reclassification
adjustment for realized loss included in net income net of tax of
$4, $31,
|
|
|
|
|
|
|
|
|
|
and $0 for
the years ended 2023, 2022, and 2021, respectively
|
|
1
|
|
-
|
|
12
|
|
96
|
|
Other comprehensive
income(loss)
|
|
$
2,934
|
|
$
1,146
|
|
$
3,158
|
|
$
(9,447)
|
|
Comprehensive
Income
|
|
$
4,004
|
|
$
9,532
|
|
$
31,433
|
|
$ 20,191
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest
Margin
|
|
|
For the Twelve
Months Ended
|
|
|
2023
(unaudited)
|
|
2022
|
|
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Average
Yield/
Rate
|
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Average
Yield/
Rate
|
|
|
(Dollars in
thousands)
|
|
Interest-Earning
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
investments
|
|
$
174,600
|
|
$
8,580
|
|
4.91 %
|
|
$
129,624
|
|
$
1,673
|
|
1.29 %
|
|
Debt securities,
taxable-equivalent
|
|
152,094
|
|
2,791
|
|
1.84
|
|
145,915
|
|
2,313
|
|
1.59
|
|
Debt securities, tax
exempt
|
|
19,430
|
|
330
|
|
1.70
|
|
21,635
|
|
360
|
|
1.66
|
|
Loans held for
sale
|
|
158
|
|
-
|
|
-
|
|
586
|
|
-
|
|
-
|
|
Total
loans(1)
|
|
1,315,578
|
|
109,843
|
|
8.35
|
|
1,143,380
|
|
74,403
|
|
6.51
|
|
Total interest-earning
assets
|
|
1,661,860
|
|
121,544
|
|
7.31
|
|
1,441,140
|
|
78,749
|
|
5.46
|
|
Noninterest-earning
assets
|
|
21,236
|
|
|
|
|
|
23,532
|
|
|
|
|
|
Total assets
|
|
$
1,683,096
|
|
|
|
|
|
$
1,464,672
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Funding
sources:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction
accounts
|
|
$
825,169
|
|
28,582
|
|
3.46 %
|
|
$
724,617
|
|
7,842
|
|
1.08 %
|
|
Time
deposits
|
|
256,672
|
|
10,416
|
|
4.06
|
|
165,735
|
|
1,480
|
|
0.89
|
|
Total interest-bearing
deposits
|
|
1,081,841
|
|
38,998
|
|
3.60
|
|
890,352
|
|
9,322
|
|
1.05
|
|
Total interest-bearing
liabilities
|
|
1,081,841
|
|
38,998
|
|
3.60
|
|
890,352
|
|
9,322
|
|
1.05
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
|
433,603
|
|
|
|
|
|
432,901
|
|
|
|
|
|
Other
noninterest-bearing liabilities
|
|
11,101
|
|
|
|
|
|
7,520
|
|
|
|
|
|
Total
noninterest-bearing liabilities
|
|
444,704
|
|
|
|
|
|
440,421
|
|
|
|
|
|
Shareholders'
equity
|
|
156,551
|
|
|
|
|
|
133,899
|
|
|
|
|
|
Total liabilities and
shareholders' equity
|
|
$
1,683,096
|
|
|
|
|
|
$
1,464,672
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
|
$ 82,546
|
|
|
|
|
|
$ 69,427
|
|
|
|
Net interest
spread
|
|
|
|
|
|
3.71 %
|
|
|
|
|
|
4.42 %
|
|
Net interest
margin
|
|
|
|
|
|
4.97 %
|
|
|
|
|
|
4.82 %
|
|
(1) Nonaccrual loans
are included in total loans
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Interest
Margin
|
|
|
For the Three Months
Ended
|
|
|
2023
(unaudited)
|
|
2022
|
|
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Average
Yield/
Rate
|
|
Average
Balance
|
|
Interest
Income/
Expense
|
|
Average
Yield/
Rate
|
|
|
(Dollars in
thousands)
|
|
Interest-Earning
Assets:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Short-term
investments
|
|
$
210,710
|
|
$
2,912
|
|
5.48 %
|
|
$
101,427
|
|
$
881
|
|
3.45 %
|
|
Debt securities,
taxable-equivalent
|
|
150,291
|
|
685
|
|
1.81
|
|
154,869
|
|
688
|
|
0.76
|
|
Debt securities, tax
exempt
|
|
18,250
|
|
77
|
|
1.67
|
|
20,247
|
|
87
|
|
1.70
|
|
Loans held for
sale
|
|
284
|
|
-
|
|
-
|
|
291
|
|
-
|
|
-
|
|
Total
loans(1)
|
|
1,362,533
|
|
28,727
|
|
8.36
|
|
1,262,864
|
|
23,806
|
|
7.48
|
|
Total interest-earning
assets
|
|
1,742,068
|
|
32,401
|
|
7.38
|
|
1,539,698
|
|
25,462
|
|
6.56
|
|
Noninterest-earning
assets
|
|
17,308
|
|
|
|
|
|
21,937
|
|
|
|
|
|
Total assets
|
|
$
1,759,376
|
|
|
|
|
|
$
1,561,635
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Funding
sources:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deposits:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transaction
accounts
|
|
$
848,990
|
|
8,237
|
|
3.85 %
|
|
$
798,073
|
|
4,491
|
|
2.23 %
|
|
Time
deposits
|
|
254,460
|
|
2,867
|
|
4.47
|
|
157,211
|
|
590
|
|
1.49
|
|
Total interest-bearing
deposits
|
|
1,103,450
|
|
11,104
|
|
3.99
|
|
955,284
|
|
5,081
|
|
2.11
|
|
Total interest-bearing
liabilities
|
|
$
1,103,450
|
|
11,104
|
|
3.99
|
|
$
955,284
|
|
5,081
|
|
2.11
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
liabilities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing
deposits
|
|
$
485,312
|
|
|
|
|
|
$
457,753
|
|
|
|
|
|
Other
noninterest-bearing liabilities
|
|
12,895
|
|
|
|
|
|
8,683
|
|
|
|
|
|
Total
noninterest-bearing liabilities
|
|
498,207
|
|
|
|
|
|
466,436
|
|
|
|
|
|
Shareholders'
equity
|
|
157,719
|
|
|
|
|
|
139,915
|
|
|
|
|
|
Total liabilities and
shareholders' equity
|
|
$
1,759,376
|
|
|
|
|
|
$
1,561,635
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest
income
|
|
|
|
$ 21,297
|
|
|
|
|
|
$ 20,381
|
|
|
|
Net interest
spread
|
|
|
|
|
|
3.39 %
|
|
|
|
|
|
4.45 %
|
|
Net interest
margin
|
|
|
|
|
|
4.85 %
|
|
|
|
|
|
5.25 %
|
|
(1) Nonaccrual loans
are included in total loans
|
About Bank7 Corp.
We are Bank7 Corp., a bank holding company headquartered in
Oklahoma City, Oklahoma. Through
our wholly-owned subsidiary, Bank7, we operate twelve locations in
Oklahoma, the Dallas/Fort Worth, Texas metropolitan area and
Kansas. We are focused on serving
business owners and entrepreneurs by delivering fast, consistent
and well-designed loan and deposit products to meet their financing
needs. We intend to grow organically by selectively opening
additional branches in our target markets as well as pursue
strategic acquisitions.
Conference Call
Bank7 Corp. has scheduled a conference call to discuss its
fourth quarter and full year results, which will be broadcast live
over the Internet, on Monday, January 29,
2024 at 11:00 a.m. central standard
time. To participate in the call, dial 1-888-348-6421, or
access it live over the Internet at
https://app.webinar.net/NXrREy72GnW. For those not able to
participate in the live call, an archive of the webcast will be
available at https://app.webinar.net/NXrREy72GnW shortly after the
call for 1 year.
Cautionary Statements Regarding Forward-Looking
Information
This communication contains a number of forward-looking
statements. These forward-looking statements reflect Bank7 Corp.'s
current views with respect to, among other things, future events
and Bank7 Corp.'s financial performance. Any statements about Bank7
Corp.'s expectations, beliefs, plans, predictions, forecasts,
objectives, assumptions or future events or performance are not
historical facts and may be forward-looking. These statements are
often, but not always, made through the use of words or phrases
such as "anticipate," "believes," "can," "could," "may,"
"predicts," "potential," "should," "will," "estimate," "plans,"
"projects," "continuing," "ongoing," "expects," "intends" and
similar words or phrases. Any or all of the forward-looking
statements in (or conveyed orally regarding) this presentation may
turn out to be inaccurate. The inclusion of or reference to
forward-looking information in this presentation should not be
regarded as a representation by Bank7 Corp. or any other person
that the future plans, estimates or expectations contemplated by
Bank7 Corp. will be achieved.
These forward-looking statements are subject to significant
uncertainties because they are based upon: the amount and timing of
future changes in interest rates, market behavior, and other
economic conditions; future laws, regulations, and accounting
principles; changes in regulatory standards and examination
policies, and a variety of other matters. These other matters
include, among other things, the impact of COVID-19 on the United States economy and our operations,
the direct and indirect effect of economic conditions on interest
rates, credit quality, loan demand, liquidity, and monetary and
supervisory policies of banking regulators. Bank7 Corp. has based
these forward-looking statements largely on its current
expectations and projections about future events and financial
trends that Bank7 Corp. believes may affect its financial
condition, results of operations, business strategy and financial
needs. Bank7 Corp.'s actual results could differ materially from
those anticipated in such forward-looking statements as a result of
risks, uncertainties and assumptions that are difficult to predict.
If one or more events related to these or other risks or
uncertainties materialize, or if Bank7 Corp.'s underlying
assumptions prove to be incorrect, actual results may differ
materially from what Bank7 Corp. anticipates. You are cautioned not
to place undue reliance on forward-looking statements. Further, any
forward-looking statement speaks only as of the date on which it is
made and Bank7 Corp. undertakes no obligation to update or revise
any forward-looking statement to reflect events or circumstances
after the date on which the statement is made or to reflect the
occurrence of unanticipated events, except as may be required by
law. All forward-looking statements herein are qualified by these
cautionary statements.
Contact:
Thomas Travis
President & CEO
(405) 810-8600
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SOURCE Bank7 Corp.