NewtekOne, Inc. (Nasdaq: NEWT), reports its financial and operating
results for the three and six months ended June 30, 2024.
NewtekOne Financial Highlights for the Three Months
ended June 30, 2024
- Net income was $10.9 million, and earnings per share (“EPS”)
was $0.43 per basic and diluted common share, for the three months
ended June 30, 2024; a 13.2% increase, on a per share basis,
compared to $9.7 million and $0.38 per basic and diluted common
share, for the three months ended March 31, 2024, and a 59.3%
increase, on a per share basis, compared to $7.0 million and $0.27
per basic and diluted common share, for the three months ended June
30, 2023.
- Net interest income was $9.1 million for the three months ended
June 30, 2024; an increase of 2.2% over $8.9 million for the three
months ended March 31, 2024, and an increase of 59.6% over $5.7
million for the three months ended June 30, 2023.
- Total assets were $1.6 billion at June 30, 2024; an increase of
14.3% from $1.4 billion at December 31, 2023.
- Total borrowings were $652.0 million at June 30, 2024; an
increase of 1.2% from $644.1 million at December 31, 2023.
- NewtekOne completed a registered public offering of $71.875
million aggregate principal amount of its 8.50% Fixed Rate Senior
Notes due 2029, listed on the Nasdaq Global Market® under the
trading symbol “NEWTG”
- Loans held for investment were $867.7 million at June 30, 2024;
an increase of 7.6% over $806.1 million at December 31, 2023.
- Net interest margin2 was 2.70% for the three months ended June
30, 2024; a decrease of 7.5% compared to 2.92% for the three months
ended March 31, 2024, and an increase of 34.3% over 2.01% for the
three months ended June 30, 2023.
- Return on Tangible Common Equity (“ROTCE”)1 of 21.1% for the
three months ended June 30, 2024; an increase of 2.4% over 20.6%
for the three months ended March 31, 2024, and an increase of 37.0%
over 15.4% for the three months ended June 30, 2023.
- Return on Average Assets (“ROAA”)1,2 of 2.8% for the three
months ended June 30, 2024; consistent with the 2.8% for the three
months ended March 31, 2024, and an increase of 33.3% over 2.1% for
the three months ended June 30, 2023.
- Efficiency ratio2 of 66.3% for the three months ended June 30,
2024; a decrease of 6.1% compared to 70.6% for the three months
ended March 31, 2024, and a decrease of 12.3% compared to 75.6% for
the three months ended June 30, 2023.
- Total risk-based capital ratio2 was 18.8% at June 30, 2024; a
decrease of 1.6% over 19.1% at December 31, 2023.
- Tier-1 leverage ratio2 was 13.7% at June 30, 2024; an increase
of 0.7% over 13.6% at December 31, 2023.
Post Second Quarter 2024 Highlights
- The Company maintains its 2024 annual EPS forecast to a range
of $1.85 to $2.05 per basic and diluted common share.
- On July 19, 2024, the Company paid a quarterly cash dividend of
$0.19 per share on its outstanding common shares.
- On July 23, 2024, NewtekOne's joint venture, Newtek-TSO II
Conventional Credit Partners, LP, closed a $154.3 million
alternative business loan backed securitization rated by
Morningstar DBRS.
- On August 1, 2024, Newtek Bank sold $3.0 million of past due
and non-accrual loans acquired through the acquisition of National
Bank of New York City.
NewtekOne Financial Highlights for the Six Months ended
June 30, 2024
- Net income was $20.6 million and EPS was $0.81 per basic and
diluted common share, for the six months ended June 30, 2024,
compared to $25.6 million and $1.03 per basic and diluted common
share, for the six months ended June 30, 2023. Net income for the
six months ended June 30, 2023 was positively impacted by an income
tax benefit of $14.2 million, or $0.59 per basic and diluted share.
Excluding this income tax benefit, EPS for the six months ended
June 30, 2023 would have been $0.44 per basic and diluted
share.1
- Net interest income was $18.0 million for the six months ended
June 30, 2024; an increase of 74.8% over $10.3 million for the
three months ended June 30, 2023.
- Net interest margin2 was 2.81% for the six months ended June
30, 2024; an increase of 39.8% over 2.01% for the six months ended
June 30, 2024.
- ROTCE1 of 20.9% for the six months ended June 30, 2024; a
decrease of 34.3% compared to 31.8% for the six months ended June
30, 2023. ROTCE for the six months ended June 30, 2023 was
positively impacted by the income tax benefit in the first quarter
of 2023.
- ROAA1,2 of 2.8% for the six months ended June 30, 2024; a
decrease of 33.3% compared to 4.2% for the six months ended June
30, 2023. ROAA for the six months ended June 30, 2023 was
positively impacted by the income tax benefit in the first quarter
of 2023.
- Efficiency ratio2 of 68.4% for the six months ended June 30,
2024; a decrease of 13.7% compared to 79.3% for the six months
ended June 30, 2023.
Newtek Bank, N.A.
- Total deposits3 were $663.7 million at June 30, 2024; an
increase of 17.4% over $565.3 million at March 31, 2024 and an
increase of 27.9% over $519.1 million in deposits at December 31,
2023.
- Insured deposits represented approximately 79.1% of total
deposits at June 30, 2024.
- Net interest margin was 4.83% for the three months ended June
30, 2024; an increase of 0.2% over 4.82% for the three months ended
March 31, 2024, and an increase of 51.9% over 3.18% for the three
months ended June 30, 2023.
- ROTCE1 of 48.8% for the three months ended June 30, 2024; an
increase of 28.8% over 37.9% for the three months ended March 31,
2024, and an increase of 47.4% over 33.1% for the three months
ended June 30, 2023.
- ROAA1 of 6.4% for the three months ended June 30, 2024; an
increase of 10.3% over 5.8% for the three months ended March 31,
2024, and an increase of 25.5% over 5.1% for the three months ended
June 30, 2023.
- Efficiency ratio1 of 42.3% for the three months ended June 30,
2024; a decrease of 15.6% from 50.1% for the three months ended
March 31, 2024, and a decrease of 20.3% from 53.1% for the three
months ended June 30, 2023.
- Total risk-based capital ratio was 18.3% at June 30, 2024; a
decrease of 3.2% from 18.9% at December 31, 2023.
- Tier-1 leverage ratio was 13.6% at June 30, 2024; a decrease of
12.3% from 15.5% at December 31, 2023.
Lending Highlights
- SBA 7(a) loan closings of $229.8 million for the three months
ended June 30, 2024; an increase of 18.06% over $194.7 million of
SBA 7(a) loans closings for the three months ended June 30,
2023.
- The Company forecasts $935.0 million in total SBA 7(a) loan
fundings for 2024, which would represent a 14.7% increase over
2023.
- Newtek Bank closed $16.4 million of SBA 504 loans for the three
months ended June 30, 2024; an increase of 3.94% over $15.8 million
SBA 504 loans closed for the three months ended June 30, 2023.
- Newtek Bank and the Company’s non-bank lending subsidiaries
closed $316.5 million of loans across all loan products for the
three months ended June 30, 2024; a 26.33% increase over $250.5
million of loans closed for the same period in 2023.
________________________1 Non-GAAP; reconciliations of non-GAAP
financial measures to the most comparable GAAP measures are set
forth on the last page of the financial information accompanying
this press release.2 Assets under supervision, capital ratios,
risk-weighted assets and supplementary leverage ratio are
preliminary data and subject to change with our filings with
regulatory agencies and our Form 10-Q for the period ended June 30,
2024.3 Total deposits as reported include deposits from affiliates
held at Newtek Bank, which are eliminated through consolidation on
NewtekOne's consolidated financial statements.
Barry Sloane, Chairman, President, and Chief Executive Officer
said, "We are pleased to report EPS of $0.43 per basic and diluted
common share for the second quarter of 2024. As our industry
continues to experience the pains of higher short-term interest
rates, an inverted yield curve and slumping commercial real estate
prices, we continue to meet and exceed our expectations and have
established ourselves as a differentiated and new model for a
financial holding company, operating a nationally chartered
bank."
Mr. Sloane continued, “In addition, when examining the financial
performance of Newtek Bank for the second quarter 2024, we are
pleased by its powerful earnings model that has been consistently
generating returns through the past six quarters, the term over
which Newtek Bank has been owned by NewtekOne, its financial
holding company. We want to continue to remind the marketplace that
since January 2023, when NewtekOne converted to a financial holding
company from a BDC, NewtekOne has met the challenges of operating
under a different business model subject to different regulations.
In addition, Newtek Bank's predecessor, the National Bank of New
York City, was a 60 year old Flushing, New York based bank which
required a complete modernization. We are very proud of the
excellent job our management team has done in modernizing Newtek
Bank to a state-of-the art technology enabled bank, and expect that
investors and analysts are watching us grow Newtek Bank and see
that we are meeting and beating our expectations. In addition, we
believe that our business model, which is unique, can offer
outstretched returns compared to a typical bank. For example, in
the second quarter of 2024, Newtek Bank had an ROAA of 6.4%, an
ROTCE of 48.8% and an efficiency ratio of 42.3%, none of which are
typical returns produced by traditional banks. Indeed, we believe
that Newtek Bank's returns are driven by its distinctive
differentiated business model. Moreover, Newtek Bank's net interest
margin continued to expand and reached 4.83% in the second quarter
of 2024, while its average rate on deposits remained constant at
4.47%. Newtek Bank also experienced total loan growth of 13% over
the first quarter 2024 and growth in deposits of 17% over the first
quarter 2024."
Mr. Sloane further commented, "As we have previously
communicated to the market, we believe that the two of the most
important catalysts to our growth in quality EPS will be our
ability to acquire commercial deposits at lower interest rates and
to grow our alternative loan program ("ALP") at the holding
company. We are grateful that our management team continues to
execute on our goals of raising lower-cost commercial deposits as
well as originating high-quality loans in the current higher
interest rate environment. In addition to a business model that has
consistently performed to meet or exceed our expectations, we could
not be more pleased with the results that our joint venture Newtek
TSO-II Conventional Credit Partners achieved in its July 23, 2024
ALP securitization, NALP Business Loan Trust 2024–1, when it sold
$154.3 million of notes rated “A (sf)” and “BBB (high) (sf)” by
Morningstar DBRS and collateralized by approximately $191 million
of ALP loans originated by NewtekOne's ALP. More information on
this deal, can be found through the following link NALP Business
Loan Trust 2024-1. When one considers the coupon, both gross and
net of servicing (an asset owned by NewtekOne), on the ALP loans
that went into the securitization and the cost of the securitized
debt, you should be able to see why we view this business as very
profitable and a growth opportunity for NewtekOne and its
shareholders. In addition, the ALP provides tremendous value for
our customers looking for long amortizations, with respect to the
principal repayment, and no balloon payments, as well as the desire
for smaller monthly principal and interest payments and full
flexibility to run their business. The ALP allows us to reach out
to and satisfy the financial needs of a larger pool of borrowers,
including larger and higher credit-worthy borrowers that come
through our NewTracker® referral platform.”
Mr. Sloane concluded, “We ended the second quarter with $136
million of commercial depository accounts, up from $116 million at
the end of the first quarter 2024, which represents approximately
20% of our total deposits. We anticipate finishing the calendar
year 2024 with between $200 million and $250 million of commercial
depository accounts. We look forward to a complete review of our
quarterly performance in our conference call tomorrow morning at
8:30am ET. You can register online through the following link
NewtekOne Second Quarter 2024 Financial Results.”
Second Quarter 2024 Conference Call and
Webcast
A conference call to discuss the second quarter 2024 financial
results will be hosted by Barry Sloane, President, Chairman and
Chief Executive Officer and M. Scott Price, Chief Financial
Officer, tomorrow, Tuesday, August 6, 2024, 8:30 a.m. EDT.
Please note, to attend the conference call or webcast,
participants should register online at NewtekOne, Inc. Second
Quarter 2024 Financial Results Conference Call. To receive a
dial-in number, participants are requested to register at a minimum
15 minutes before the start of the call. The corresponding
presentation will be available in the ‘Events & Presentations’
section of the Investor Relations portion of NewtekOne's website at
NewtekOne, Inc. Second Quarter 2024 Financial Results Conference
Call. A replay of the call with the corresponding presentation will
be available on NewtekOne's website shortly following the live
presentation and will be available for a period of 90 days.
Note Regarding Dividend Payments
Amount and timing of dividends, if any, remain subject to the
discretion of the Company's Board of Directors.
NewtekOne®, Your Business Solutions Company®, is a financial
holding company, which along with Newtek Bank and NewtekOne's
non-bank consolidated subsidiaries, provides a wide range of
business and financial solutions under the Newtek® brand to
independent business owners. Since 1999, NewtekOne has provided
state-of-the-art, cost-efficient products and services and
efficient business strategies to our independent business owner
relationships across all 50 states to help them grow their sales,
control their expenses and reduce their risk.
NewtekOne’s and its subsidiaries’ business and financial
solutions include: banking (Newtek Bank, N.A.),Business Lending,
SBA Lending Solutions, Electronic Payment Processing, Technology
Solutions (Cloud Computing, Data Backup, Storage and Retrieval, IT
Consulting), eCommerce, Accounts Receivable Financing &
Inventory Financing, Insurance Solutions, Web Services, and Payroll
and Benefits Solutions.
Newtek®, NewtekOne®, Newtek Bank®, National
Association, Your Business Solutions Company® and One Solution for
All Your Business Needs® are registered trademarks of NewtekOne,
Inc.
Note Regarding Forward-Looking
StatementsCertain statements in this press release are
“forward-looking statements” within the meaning of the rules and
regulations of the Private Securities Litigation and Reform Act of
1995. Information regarding the Company’s assets under supervision,
capital ratios, risk-weighted assets, supplementary leverage ratio
and balance sheet data consists of preliminary estimates and are
subject to change with our filings with regulatory agencies and the
filing of the Company's Form 10-Q for the quarterly period ended
June 30, 2024. These statements and other forward-looking
statements herein are based on the current beliefs and expectations
of NewtekOne's management and are subject to significant risks and
uncertainties. Actual results may differ from those set forth in
the forward-looking statements. In addition, earnings per share
guidance reflects risks, uncertainties and assumptions with respect
to facts and circumstances that are beyond our control, in
particular concerning interest rates, monetary policy and
prevailing economic conditions (including the impacts from a
government shutdown ) during the relevant periods, any of which may
differ significantly from our assumptions about the applicable
period, causing our actual operating results, including our
earnings per share, to differ materially from the stated guidance.
See “Note Regarding Forward-Looking Statements” and the sections
entitled “Risk Factors” in our filings with the Securities and
Exchange Commission which are available on NewtekOne's website
(https://investor.newtekbusinessservices.com/sec-filings) and on
the Securities and Exchange Commission’s website (www.sec.gov). Any
forward-looking statements made by or on behalf of NewtekOne speak
only as to the date they are made, and NewtekOne does not undertake
to update forward-looking statements to reflect the impact of
circumstances or events that arise after the date the
forward-looking statements were made.
SOURCE: NewtekOne, Inc.
Investor Relations & Public
RelationsContact: Jayne Cavuoto Telephone: (212) 273-8179
/ jcavuoto@newtekone.com
|
NEWTEKONE, INC. AND
SUBSIDIARIESCONSOLIDATED STATEMENTS OF FINANCIAL
CONDITION(In Thousands, except for Per Share
Data) |
|
June 30, 2024 |
|
December 31, 2023 |
ASSETS |
(Unaudited) |
|
|
Cash and due from banks |
$ |
36,909 |
|
|
$ |
15,398 |
|
Restricted cash |
|
36,832 |
|
|
|
30,919 |
|
Interest bearing deposits in
banks |
|
132,597 |
|
|
|
137,689 |
|
Total cash and cash equivalents |
|
206,338 |
|
|
|
184,006 |
|
Debt securities
available-for-sale, at fair value |
|
28,418 |
|
|
|
32,171 |
|
Loans held for sale, at fair
value |
|
179,739 |
|
|
|
118,867 |
|
Loans held for sale, at
LCM |
|
59,402 |
|
|
|
56,607 |
|
Loans held for investment, at
fair value |
|
415,893 |
|
|
|
469,801 |
|
Loans held for investment, at amortized cost, net of deferred fees
and costs |
|
451,829 |
|
|
|
336,305 |
|
Allowance for credit
losses |
|
(21,098 |
) |
|
|
(12,574 |
) |
Loans held for investment, at
amortized cost, net |
|
430,731 |
|
|
|
323,731 |
|
Federal Home Loan Bank and
Federal Reserve Bank stock |
|
3,765 |
|
|
|
3,635 |
|
Settlement receivable |
|
79,928 |
|
|
|
62,230 |
|
Joint ventures, at fair value
(cost of $63,506 and $37,864), respectively |
|
69,803 |
|
|
|
40,859 |
|
Non-control investments (cost
of $680 and $796), respectively |
|
740 |
|
|
|
728 |
|
Goodwill and intangibles |
|
29,783 |
|
|
|
30,120 |
|
Right of use assets |
|
5,110 |
|
|
|
5,701 |
|
Deferred tax asset, net |
|
1,943 |
|
|
|
5,230 |
|
Servicing assets |
|
44,633 |
|
|
|
39,725 |
|
Other assets |
|
60,778 |
|
|
|
56,102 |
|
Total assets |
$ |
1,617,004 |
|
|
$ |
1,429,513 |
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY |
|
|
|
Liabilities: |
|
|
|
Deposits: |
|
|
|
Noninterest-bearing |
$ |
4,921 |
|
|
$ |
10,053 |
|
Interest-bearing |
|
605,504 |
|
|
|
453,452 |
|
Total deposits |
|
610,425 |
|
|
|
463,505 |
|
Borrowings |
|
651,972 |
|
|
|
644,122 |
|
Dividends payable |
|
5,247 |
|
|
|
4,792 |
|
Lease liabilities |
|
6,225 |
|
|
|
6,952 |
|
Due to participants |
|
22,407 |
|
|
|
23,796 |
|
Accounts payable, accrued expenses and other liabilities |
|
46,726 |
|
|
|
37,300 |
|
Total liabilities |
|
1,343,002 |
|
|
|
1,180,467 |
|
|
|
|
|
Shareholders' Equity: |
|
|
|
Preferred stock (par value $0.02 per share; authorized 20 shares,
20 shares issued and outstanding) |
|
19,738 |
|
|
|
19,738 |
|
Common stock (par value $0.02 per share; authorized 199,980 shares,
25,852 and 24,680 issued and outstanding, respectively) |
|
517 |
|
|
|
492 |
|
Additional paid-in capital |
|
215,633 |
|
|
|
200,913 |
|
Retained earnings |
|
38,251 |
|
|
|
28,051 |
|
Accumulated other comprehensive loss, net of income taxes |
|
(137 |
) |
|
|
(148 |
) |
Total shareholders' equity |
|
274,002 |
|
|
|
249,046 |
|
Total liabilities and shareholders' equity |
$ |
1,617,004 |
|
|
$ |
1,429,513 |
|
|
NEWTEKONE, INC. AND SUBSIDIARIES |
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) |
(In Thousands, except for Per Share Data) |
|
|
Three Months Ended |
|
Six Months Ended |
|
June 30,2024 |
|
March 31,2024 |
|
June 30,2023(as restated) |
|
June 30,2024 |
|
June 30,2023(as restated) |
Interest
income |
|
|
|
|
|
|
|
|
|
Debt securities available-for-sale |
$ |
374 |
|
|
|
460 |
|
|
$ |
415 |
|
|
$ |
834 |
|
|
$ |
647 |
|
Loans and fees on loans |
|
26,773 |
|
|
|
24,985 |
|
|
|
19,607 |
|
|
|
51,758 |
|
|
|
37,109 |
|
Other interest earning assets |
|
2,206 |
|
|
|
1,622 |
|
|
|
2,531 |
|
|
|
3,828 |
|
|
|
3,512 |
|
Total interest income |
|
29,353 |
|
|
|
27,067 |
|
|
|
22,553 |
|
|
|
56,420 |
|
|
|
41,268 |
|
Interest
expense |
|
|
|
|
|
|
|
|
|
Deposits |
|
6,865 |
|
|
|
5,576 |
|
|
|
4,051 |
|
|
|
12,441 |
|
|
|
5,526 |
|
Notes and securitizations |
|
11,118 |
|
|
|
10,827 |
|
|
|
9,083 |
|
|
|
21,945 |
|
|
|
17,801 |
|
Bank and FHLB borrowings |
|
2,244 |
|
|
|
1,758 |
|
|
|
3,746 |
|
|
|
4,002 |
|
|
|
7,685 |
|
Total interest expense |
|
20,227 |
|
|
|
18,161 |
|
|
|
16,880 |
|
|
|
38,388 |
|
|
|
31,012 |
|
Net interest income |
|
9,126 |
|
|
|
8,906 |
|
|
|
5,673 |
|
|
|
18,032 |
|
|
|
10,256 |
|
Provision for credit losses |
|
5,799 |
|
|
|
4,015 |
|
|
|
2,575 |
|
|
|
9,814 |
|
|
|
3,893 |
|
Net interest income after provision for credit losses |
|
3,327 |
|
|
|
4,891 |
|
|
|
3,098 |
|
|
|
8,218 |
|
|
|
6,363 |
|
Noninterest
income |
|
|
|
|
|
|
|
|
|
Dividend income |
|
368 |
|
|
|
386 |
|
|
|
505 |
|
|
|
754 |
|
|
|
1,009 |
|
Loan servicing asset revaluation |
|
(1,861 |
) |
|
|
(1,735 |
) |
|
|
(534 |
) |
|
|
(3,596 |
) |
|
|
385 |
|
Servicing income |
|
4,606 |
|
|
|
5,357 |
|
|
|
4,299 |
|
|
|
9,963 |
|
|
|
8,702 |
|
Net gains on sales of loans |
|
22,564 |
|
|
|
20,292 |
|
|
|
13,364 |
|
|
|
42,856 |
|
|
|
19,731 |
|
Net gain (loss) on loans under the fair value option |
|
(2,894 |
) |
|
|
2,798 |
|
|
|
4,363 |
|
|
|
(96 |
) |
|
|
10,268 |
|
Technology and IT support income |
|
5,174 |
|
|
|
5,770 |
|
|
|
6,371 |
|
|
|
10,944 |
|
|
|
13,080 |
|
Electronic payment processing income |
|
12,645 |
|
|
|
10,987 |
|
|
|
10,676 |
|
|
|
23,632 |
|
|
|
21,004 |
|
Other noninterest income |
|
11,418 |
|
|
|
5,512 |
|
|
|
5,241 |
|
|
|
16,930 |
|
|
|
12,462 |
|
Total noninterest income |
|
52,020 |
|
|
|
49,367 |
|
|
|
44,285 |
|
|
|
101,387 |
|
|
|
86,641 |
|
Noninterest
expense |
|
|
|
|
|
|
|
|
|
Salaries and employee benefits expense |
|
20,790 |
|
|
|
20,506 |
|
|
|
18,374 |
|
|
|
41,296 |
|
|
|
37,447 |
|
Technology services expense |
|
3,420 |
|
|
|
3,408 |
|
|
|
3,466 |
|
|
|
6,828 |
|
|
|
7,269 |
|
Electronic payment processing expense |
|
5,693 |
|
|
|
4,846 |
|
|
|
4,838 |
|
|
|
10,539 |
|
|
|
9,342 |
|
Professional services expense |
|
2,743 |
|
|
|
4,565 |
|
|
|
3,156 |
|
|
|
7,308 |
|
|
|
6,596 |
|
Other loan origination and maintenance expense |
|
3,015 |
|
|
|
2,244 |
|
|
|
2,313 |
|
|
|
5,259 |
|
|
|
5,094 |
|
Depreciation and amortization |
|
521 |
|
|
|
532 |
|
|
|
750 |
|
|
|
1,053 |
|
|
|
1,541 |
|
Other general and administrative costs |
|
4,382 |
|
|
|
5,058 |
|
|
|
4,880 |
|
|
|
9,440 |
|
|
|
9,511 |
|
Total noninterest expense |
|
40,564 |
|
|
|
41,159 |
|
|
|
37,777 |
|
|
|
81,723 |
|
|
|
76,800 |
|
Net income before
taxes |
|
14,783 |
|
|
|
13,099 |
|
|
|
9,606 |
|
|
|
27,882 |
|
|
|
16,204 |
|
Income tax expense
(benefit) |
|
3,838 |
|
|
|
3,449 |
|
|
|
2,595 |
|
|
|
7,287 |
|
|
|
(9,357 |
) |
Net income |
|
10,945 |
|
|
|
9,650 |
|
|
|
7,011 |
|
|
|
20,595 |
|
|
|
25,561 |
|
Dividends to preferred
shareholders |
|
(400 |
) |
|
|
(400 |
) |
|
|
(400 |
) |
|
|
(800 |
) |
|
|
(649 |
) |
Net income available to common
shareholders |
$ |
10,545 |
|
|
$ |
9,250 |
|
|
$ |
6,611 |
|
|
$ |
19,795 |
|
|
$ |
24,912 |
|
|
|
|
|
|
|
|
|
|
|
Earnings per
share: |
|
|
|
|
|
|
|
|
|
Basic |
$ |
0.43 |
|
|
$ |
0.38 |
|
|
$ |
0.27 |
|
|
$ |
0.81 |
|
|
$ |
1.03 |
|
Diluted |
$ |
0.43 |
|
|
$ |
0.38 |
|
|
$ |
0.27 |
|
|
$ |
0.81 |
|
|
$ |
1.03 |
|
Reconciliation of GAAP to Non-GAAP Financial Measures
(unaudited)The information provided below presents a
reconciliation of each of our non-GAAP financial measures to the
most directly comparable GAAP financial measure. Ratios for three
and six month periods ended have been annualized based on calendar
days.
Reconciliation of Core EPS to GAAP EPS:
|
|
Six Months Ended June 30,
2023 |
|
Three Months Ended June 30,
2023 |
|
|
GAAP EPS |
|
Adjustments |
|
Core EPS |
|
GAAP EPS |
|
Adjustments |
|
Core EPS |
|
|
Based onNet Income |
|
Discrete TaxBenefits onReorg |
|
Based onAdjustedNet Income |
|
Based onNet Income |
|
Discrete TaxBenefits onReorg |
|
Based onAdjustedNet Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income before taxes |
|
$ |
16,204 |
|
|
$ |
— |
|
|
$ |
16,204 |
|
|
$ |
9,606 |
|
|
$ |
— |
|
$ |
9,606 |
|
Income tax expense
(benefit) |
|
|
(9,357 |
) |
|
|
14,244 |
|
|
|
4,887 |
|
|
|
2,595 |
|
|
|
— |
|
|
2,595 |
|
Net income |
|
|
25,561 |
|
|
|
(14,244 |
) |
|
|
11,317 |
|
|
|
7,011 |
|
|
|
— |
|
|
7,011 |
|
Preferred dividends |
|
|
(649 |
) |
|
|
— |
|
|
|
(649 |
) |
|
|
(400 |
) |
|
|
— |
|
|
(400 |
) |
Net income available to common
shareholders |
|
$ |
24,912 |
|
|
$ |
(14,244 |
) |
|
$ |
10,668 |
|
|
$ |
6,611 |
|
|
$ |
— |
|
$ |
6,611 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic: |
|
|
|
|
|
|
|
|
|
|
|
|
Income available to common
shareholders |
|
$ |
24,912 |
|
|
$ |
(14,244 |
) |
|
$ |
10,668 |
|
|
$ |
6,611 |
|
|
$ |
— |
|
$ |
6,611 |
|
Weighted-average basic shares
outstanding |
|
|
24,223 |
|
|
|
— |
|
|
|
24,223 |
|
|
|
24,264 |
|
|
|
— |
|
|
24,264 |
|
Basic |
|
$ |
1.03 |
|
|
$ |
0.59 |
|
|
$ |
0.44 |
|
|
$ |
0.27 |
|
|
$ |
— |
|
$ |
0.27 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted: |
|
|
|
|
|
|
|
|
|
|
|
|
Income available to common
shareholders |
|
$ |
24,912 |
|
|
$ |
(14,244 |
) |
|
$ |
10,668 |
|
|
$ |
6,611 |
|
|
$ |
— |
|
$ |
6,611 |
|
Total weighted-average diluted
shares outstanding |
|
|
24,298 |
|
|
|
— |
|
|
|
24,298 |
|
|
|
24,306 |
|
|
|
— |
|
|
24,306 |
|
Diluted |
|
$ |
1.03 |
|
|
$ |
0.59 |
|
|
$ |
0.44 |
|
|
$ |
0.27 |
|
|
$ |
— |
|
$ |
0.27 |
|
Reconciliation of Newtek Bank and NewtekOne Inc.
Non-GAAP Measures:
Newtek Bank,
NA |
As of and for the three months
ended |
|
As of and for the six months
ended |
(in thousands) |
June 30, 2024 |
|
March 31, 2024 |
|
June 30, 2023(as restated) |
|
June 30, 2024 |
|
June 30, 2023(as restated) |
Return on Average
Tangible Common Equity |
|
|
|
|
|
|
|
|
|
Numerator: Net Income (Loss)
(GAAP) |
$12,453 |
|
$9,402 |
|
$6,179 |
|
$21,855 |
|
$4,258 |
Average Total Shareholders'
Equity1 |
103,678 |
|
100,792 |
|
77,176 |
|
102,235 |
|
75,072 |
Deduct: Average Goodwill and
Intangibles1 |
1,052 |
|
1,100 |
|
2,195 |
|
1,076 |
|
2,193 |
Denominator: Tangible Average
Common Equity1 |
$102,626 |
|
$99,692 |
|
$74,981 |
|
$101,159 |
|
$72,879 |
Return on Average Tangible
Common Equity1 |
48.8% |
|
37.9% |
|
33.1% |
|
43.4% |
|
11.8% |
|
|
|
|
|
|
|
|
|
|
Return on Average
Assets |
|
|
|
|
|
|
|
|
|
Numerator: Net Income
(GAAP) |
$12,453 |
|
$9,402 |
|
$6,179 |
|
$21,855 |
|
$4,258 |
Denominator: Average
Assets1 |
782,138 |
|
652,609 |
|
485,963 |
|
717,374 |
|
386,512 |
Return on Average Assets1 |
6.4% |
|
5.8% |
|
5.1% |
|
6.1% |
|
2.2% |
|
|
|
|
|
|
|
|
|
|
Efficiency
Ratio |
|
|
|
|
|
|
|
|
|
Numerator: Non-Interest
Expense (GAAP) |
$17,308 |
|
$17,433 |
|
$13,844 |
|
$34,741 |
|
$27,066 |
Net Interest Income
(GAAP) |
9,310 |
|
7,722 |
|
3,771 |
|
17,032 |
|
5,782 |
Non-Interest Income
(GAAP) |
31,641 |
|
27,226 |
|
21,865 |
|
58,867 |
|
31,725 |
Denominator: Total Income |
$40,951 |
|
$34,948 |
|
$25,636 |
|
$75,899 |
|
$37,507 |
Efficiency Ratio1 |
42.3% |
|
49.9% |
|
54.0% |
|
45.8% |
|
72.2% |
NewtekOne,
Inc. |
As of and for the three months
ended |
|
As of and for the six months
ended |
(dollars and number of shares in thousands) |
June 30, 2024 |
|
March 31, 2024 |
|
June 30, 2023(as restated) |
|
June 30, 2024 |
|
June 30, 2023(as restated) |
Return on Average
Tangible Common Equity |
|
|
|
|
|
|
|
|
|
Numerator: Net Income
(GAAP) |
$10,945 |
|
$9,650 |
|
$7,011 |
|
$20,595 |
|
$25,561 |
Average Total Shareholders'
Equity1 |
258,326 |
|
237,831 |
|
234,018 |
|
248,079 |
|
214,014 |
Deduct: Preferred Stock
(GAAP) |
19,738 |
|
19,738 |
|
19,738 |
|
19,738 |
|
19,738 |
Average Common Shareholders'
Equity1 |
238,588 |
|
218,093 |
|
214,280 |
|
228,341 |
|
194,276 |
Deduct: Average Goodwill and
Intangibles1 |
29,883 |
|
30,060 |
|
31,879 |
|
29,972 |
|
31,971 |
Denominator: Average Tangible
Common Equity1 |
$208,705 |
|
$188,033 |
|
$182,401 |
|
$198,369 |
|
$162,305 |
Return on Tangible Common
Equity1 |
21.1% |
|
20.6% |
|
15.4% |
|
20.9% |
|
31.8% |
|
|
|
|
|
|
|
|
|
|
Return on Average
Assets |
|
|
|
|
|
|
|
|
|
Numerator: Net Income
(GAAP) |
$10,945 |
|
$9,650 |
|
$7,011 |
|
$20,595 |
|
$25,561 |
Denominator: Average
Assets1 |
1,551,009 |
|
1,401,554 |
|
1,355,410 |
|
1,476,284 |
|
1,240,052 |
Return on Average Assets1 |
2.8% |
|
2.8% |
|
2.1% |
|
2.8% |
|
4.2% |
|
|
|
|
|
|
|
|
|
|
Efficiency
Ratio |
|
|
|
|
|
|
|
|
|
Numerator: Non-Interest
Expense (GAAP) |
$40,564 |
|
$41,159 |
|
$37,777 |
|
$81,723 |
|
$76,800 |
Net Interest Income
(GAAP) |
9,126 |
|
8,906 |
|
5,673 |
|
18,032 |
|
10,256 |
Non-Interest Income
(GAAP) |
52,020 |
|
49,367 |
|
44,285 |
|
101,387 |
|
86,641 |
Denominator: Total Income |
$61,146 |
|
$58,273 |
|
$49,958 |
|
$119,419 |
|
$96,897 |
Efficiency Ratio1 |
66.3% |
|
70.6% |
|
75.6% |
|
68.4% |
|
79.3% |
1 Non-GAAP
Reconciliation of NewtekOne, Inc. Tangible Book
Value:
NewtekOne, Inc. |
June 30, 2024 |
|
March 31, 2024 |
|
June 30, 2023(as restated) |
Tangible Book Value
Per Share |
|
|
|
|
|
Total Shareholders' Equity
(GAAP) |
$274,002 |
|
$254,132 |
|
$235,449 |
Deduct: Goodwill and
Intangibles (GAAP) |
29,783 |
|
29,944 |
|
31,667 |
Numerator: Total Tangible Book
Value1 |
$244,219 |
|
$224,188 |
|
$203,782 |
Denominator: Total Number of
Shares Outstanding |
25,852 |
|
24,715 |
|
24,615 |
Tangible Book Value Per
Share1 |
$9.45 |
|
$9.07 |
|
$8.28 |
|
|
|
|
|
|
Tangible Book Value
Per Common Share |
|
|
|
|
|
Total Tangible Book
Value1 |
$244,219 |
|
$224,188 |
|
$203,782 |
Deduct: Preferred Stock
(GAAP) |
19,738 |
|
19,738 |
|
19,738 |
Numerator: Tangible Book Value
Per Common Share1 |
$224,481 |
|
$204,450 |
|
$184,044 |
Denominator: Total Number of
Shares Outstanding |
25,852 |
|
24,715 |
|
24,615 |
Tangible Book Value Per Common
Share1 |
$8.68 |
|
$8.27 |
|
$7.48 |
1 Non-GAAP
Grafico Azioni NewtekOne (NASDAQ:NEWT)
Storico
Da Set 2024 a Ott 2024
Grafico Azioni NewtekOne (NASDAQ:NEWT)
Storico
Da Ott 2023 a Ott 2024