MURRAY, Utah, April 04, 2024 (GLOBE NEWSWIRE) -- FinWise Bancorp (NASDAQ:FINW) ("FinWise" or the "Company"), the parent company of FinWise Bank, announced today that it will report its first quarter 2024 results and host a webcast and conference call after the market close on Monday, April 29, 2024. Webcast Information The webcast will be available on the Company's website at FinWise Earnings Call Live Webcast and a replay of the call will be available at Investor Relations | FinWise Bancorp (gcs-web.com) f ...

Portions of the registrant's proxy statement to be filed with the Securities and Exchange Commission pursuant to Regulation 14A in connection with the registrant's 2024 Annual Meeting of Stockholders, which will be filed subsequent to the date hereof, are incorporated by reference into Part III of this Form 10-K. Such proxy statement will be filed with the Securities and Exchange Commission not later than 120 days following the end of the registrant's fiscal year ended December 31, 2023. Part I | --- | --- ...

Finwise Bancorp (FINW) announced a new share repurchase program. Per the plan, the company is authorized to buy back up to 641,832 shares, which is roughly 5% of its total outstanding shares, as of Mar 6, 2024. The program is set to expire on Mar 31, 2026.FINW had announced a share repurchase program in August 2022, authorizing the buyback of up to 644,241 shares. The company completed this program during the third quarter of 2023.Kent Landvatter, CEO of Finwise Bancorp, said, “Our differentiated business m ...

SAN FRANCISCO--(BUSINESS WIRE)--Earnest, a fintech company empowering students to maximize their financial futures, has partnered with FinWise Bank, a subsidiary of FinWise Bancorp, to enhance its portfolio of Private Student Loan products, including for parents, undergraduate, and graduate students. This collaboration supports Earnest’s ongoing commitment to provide innovative and impactful products that help students and their families pay for college when federal aid is insufficient. FinWise Bank is E ...

- Promotes Robert Keil and Richard Thiessens to Executive Vice Presidents -- Highlights Company's Commitment to Delivering on Strategic Initiatives - MURRAY, Utah, Feb. 05, 2024 (GLOBE NEWSWIRE) -- FinWise Bancorp (NASDAQ:FINW) ("FinWise" or the "Company"), parent company of FinWise Bank (the "Bank"), today announced the promotions of Chief Fintech Officer Robert Keil and Chief Technology Officer Richard Thiessens to the added title of Executive Vice President. "With evolving customer needs, technological a ...

Financial Data and Key Metrics Changes - Net interest income for Q4 was $14.4 million, nearly flat compared to the previous quarter, with a net interest margin of 10.61%, down from 11.77% in Q3, primarily due to a shift towards lower-yield loans and an increase in CDs [4] - The provision for credit losses increased to $3.2 million in Q4 from $3.1 million in the prior quarter, driven by an increase in net charge-offs and a qualitative factor overlay [3] - Net income for Q4 was $4.2 million, or $0.32 per diluted common share, with a return on average assets of 2.9% and a return on average equity of 10.8% [62] Business Line Data and Key Metrics Changes - Total loan originations were $1.2 billion in Q4, up from $1.1 billion in Q3, with SBA 7(a) loan originations lower due to reduced application demand [61] - The guaranteed portion of SBA loans increased by 17.1%, contributing to a 10.2% growth in total loans held for investment [61] - Noninterest income rose to $6 million in Q4 from $5.2 million in Q3, primarily due to changes in fair value of investments [4] Market Data and Key Metrics Changes - Nonperforming loans (NPLs) increased to $27.1 million at the end of Q4 from $10.7 million in the prior quarter, primarily related to the SBA portfolio [3] - The net charge-off rate as a percentage of average loans held for investment was 3.8% in Q4, up from 2.8% in Q3 [3] Company Strategy and Development Direction - The company is focused on expanding into an integrated Banking as a Service (BaaS) model, with ongoing development of its Payments Hub and BIN Sponsorship products [2][42] - Management emphasized a disciplined approach to underwriting and collateral management, particularly in the context of higher interest rates impacting loan originations [20] - The company aims to enhance long-term earnings power through strategic initiatives while maintaining a strong compliance and risk management framework [43] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding the economic environment, noting uncertainties that could impact loan originations in the first half of 2024 [20] - The company believes it is at an inflection point in its business model evolution, with expectations for gradual revenue contributions from new partnerships and initiatives [20][33] - Management highlighted the importance of strong compliance and regulatory processes as competitive advantages in the evolving industry landscape [34] Other Important Information - The efficiency ratio increased to 55.8% in Q4 from 51.3% in the prior quarter, reflecting ongoing investments in infrastructure [4] - The tangible book value per common share rose to $12.41 from $12.04 in the previous quarter [4] Q&A Session Summary Question: What is the outlook for credit quality given the increase in nonperforming loans? - Management noted that the increase in NPLs was primarily due to the SBA portfolio and that they expect continued normalization until the prime rate declines [45] Question: What are the expectations for expense growth moving forward? - Management indicated that 2023 was a build year and that they expect operating expenses to continue to increase in 2024 as they invest in infrastructure [27][28] Question: When will the agreement with Earnest start contributing to revenue? - Management stated that while they are excited about the partnership, meaningful revenue contributions are expected to ramp up in 2025 [70] Question: How does the company view its current capital position? - Management expressed comfort with the current capital levels, indicating that they have sufficient capital to support growth while maintaining regulatory compliance [15]

FinWise Bancorp (FINW) came out with quarterly earnings of $0.32 per share, beating the Zacks Consensus Estimate of $0.30 per share. This compares to earnings of $0.49 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 6.67%. A quarter ago, it was expected that this company would post earnings of $0.25 per share when it actually produced earnings of $0.37, delivering a surprise of 48%.Over the last four quarters, the company has ...

- Net Income of $4.2 Million for Fourth Quarter of 2023 - - Diluted Earnings Per Share of $0.32 for Fourth Quarter of 2023 - MURRAY, Utah, Jan. 29, 2024 (GLOBE NEWSWIRE) -- FinWise Bancorp (NASDAQ:FINW) ("FinWise" or the "Company"), parent company of FinWise Bank (the "Bank"), today announced results for the quarter ended December 31, 2023. Fourth Quarter 2023 Highlights Loan originations were $1.2 billion, compared to $1.1 billion for the quarter ended September 30, 2023, and $1.2 billion for the fourth qu ...

Financial Performance - Net income for the three months ended September 30, 2023, was $4.8 million, an increase of $1.1 million, or 31.5%, from $3.7 million in the same period of 2022, driven by a $4.4 million increase in interest income[281]. - Net income for the nine months ended September 30, 2023, decreased by $5.3 million to $13.3 million, a decline of 28.4% compared to the same period in 2022[300]. - Earnings per share for the three months ended September 30, 2023, were $0.38 basic and $0.37 diluted, compared to $0.28 basic and $0.27 diluted in the same period of 2022[292]. - Net income for the three months ended September 30, 2023, increased by $1.1 million to $4.8 million compared to the same period in 2022, driven by an increase in interest income and a decrease in provision for credit losses[326]. Interest Income and Expenses - The net interest margin for the quarter ended September 30, 2023, was 11.77%, down from 14.93% in the same quarter of 2022, primarily due to a $12.1 million decrease in average balances of loans held for sale[278]. - Total interest income increased by $7.4 million, or 19.0%, while interest expense rose by $5.5 million, or 676.4%, due to a shift in the deposit portfolio mix[303]. - Interest expense increased by $2.5 million, or 821.8%, due to a shift in the deposit portfolio mix from lower costing deposits to higher costing deposits[281]. - The net interest margin decreased to 12.11% from 13.96% year-over-year, reflecting changes in interest-earning assets and liabilities[307]. Loan Originations and Portfolio - Loan originations decreased by $0.4 billion to $1.1 billion for the three months ended September 30, 2023, and decreased by $3.0 billion to $3.1 billion for the nine months ended September 30, 2023, due to adverse market conditions[279]. - The company has expanded its loan origination relationships to new markets across the United States, contributing to its growth and profitability[276]. - The company retained a greater percentage of the guaranteed portion of SBA loans on its balance sheet in 2023, aiming to enhance interest income amid declining gain-on-sale revenue[1]. - Total loans held for investment rose to $337,635 thousand as of September 30, 2023, up from $236,601 thousand as of December 31, 2022, an increase of 42.7%[1]. Assets and Deposits - Total assets increased to $555.1 million as of September 30, 2023, an increase of $154.3 million, or 38.5%, from $400.8 million as of December 31, 2022[318]. - Total deposits as of September 30, 2023, were $386.8 million, compared to $242.9 million as of December 31, 2022[286]. - Total period end deposits as of September 30, 2023, were $386.8 million, a significant increase from $243.0 million at December 31, 2022[405]. - Noninterest-bearing demand deposits increased to $94.3 million, or 24.4% of total deposits, compared to $78.8 million, or 32.5% at December 31, 2022[405]. Noninterest Income and Expenses - Total noninterest income for the three months ended September 30, 2023, decreased by $2.3 million, or 30.5%, to $5.2 million compared to the same period in 2022, primarily due to an $1.6 million, or 81.4%, reduction in gain on sale of loans[313]. - For the nine months ended September 30, 2023, total noninterest income decreased by $12.6 million, or 45.6%, to $15.0 million compared to the same period in 2022, mainly due to an $8.1 million, or 86.7%, reduction in gain on sale of loans[314]. - Noninterest expense for the nine months ended September 30, 2023, was $28.8 million, a slight increase of $270, or 0.9%, compared to $28.5 million for the same period in 2022[316]. - Noninterest expense increased by 18.9% to $10.1 million for the three months ended September 30, 2023, primarily due to higher salaries and employee benefits[1]. Credit Losses and Risk Management - The provision for credit losses decreased by $1.9 million, or 18.3%, contributing to the offset of the decline in net income[303]. - The allowance for credit losses (ACL) totaled $12.986 million as of September 30, 2023, with 55.4% attributed to Strategic Program loans[396]. - The company maintains a proactive approach to managing credit risk, focusing on early identification and resolution of problem loans[361]. - The Company had a total of $10.7 million in nonperforming assets as of September 30, 2023, an increase from no nonperforming assets at December 31, 2022[388]. Tax and Equity - The effective income tax rate for the nine months ended September 30, 2023, was 26.1%, down from 31.3% in the same period of 2022, influenced by nondeductible wages and state taxes[289]. - Total shareholders' equity as of September 30, 2023, was $150.4 million, reflecting an increase of $9.9 million, or 7.1%, from $140.5 million as of December 31, 2022[318]. - The company’s total equity to total assets ratio was 27.1% as of September 30, 2023, down from 34.9% as of December 31, 2022[443]. Internal Controls - There were no changes in the Company's internal controls over financial reporting during the fiscal quarter[450]. - The Company reported that there are no material effects on internal controls over financial reporting[450]. - The Company is likely to maintain its current internal controls without significant changes[450].

Financial Data and Key Metrics Changes - For Q3 2023, the company generated revenue of $22.4 million, with net income of $4.8 million and diluted earnings per share of $0.37, reflecting a return on average equity of 12.8% [7][42] - The tangible book value per common share increased to $12.04 from $11.59 in the previous quarter [10] - The efficiency ratio improved to 51.3% from 52.7% in the prior quarter, although it was higher than 42.3% in the same period last year [13][53] Business Line Data and Key Metrics Changes - The loans held for investment portfolio grew by 16.2% quarter-over-quarter, driven by strong SBA 7(a) lending [6][27] - Loan originations totaled $1.1 billion for the quarter, down from $1.2 billion in Q2 and $1.5 billion in the prior year [68] - Non-interest income was $5.2 million, slightly down from $5.3 million in the previous quarter and significantly lower than $7.5 million in the same quarter last year [71] Market Data and Key Metrics Changes - Average loan balances increased by 9.4% to $354.6 million from $324.1 million last quarter, and up 34.5% from $263.6 million in the prior year [41] - Average interest-bearing deposits rose to $255.8 million from $219.1 million in the second quarter and $104.8 million during the prior year period [69] Company Strategy and Development Direction - The company is focused on expanding its Banking-as-a-Service initiative and expects to launch a card sponsorship business and payments hub in the first half of 2024 [26][56] - The strategy includes retaining a higher balance of government-guaranteed loans to generate recurring growth in interest income with minimal credit risk [28] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about the higher-for-longer interest rate outlook and tight capital markets impacting loan originations through 2023 and into 2024 [8] - Despite macro challenges, the company remains confident in its ability to manage growth and credit performance due to its experienced team and strong capital levels [47] Other Important Information - The company repurchased all remaining shares under the Board-approved buyback plan, focusing on capital deployment to support organic growth opportunities [11] - Non-performing loans increased to $10.7 million, primarily driven by the SBA portfolio, with $4.7 million guaranteed by the SBA [33][77] Q&A Session Summary Question: What is the breakdown of non-accruals this quarter? - $10.4 million of the $10.7 million in non-accruals is attributable to the SBA portfolio, with $4.7 million guaranteed by the SBA [77] Question: How is the rollout of the card programs and payments hub progressing? - The rollout is on track for the first half of 2024, with early successes in staffing and no major roadblocks reported [78][80] Question: What are the expectations for loan growth and capital management? - Loan growth is expected to be stable, but there may be a slight decrease in SBA originations due to economic uncertainty [84] - The company is assessing capital management strategies, including potential future buybacks, while maintaining sufficient capital for growth [87][88]