Veritex (VBTX) - 2024 Q4 - Annual Results

Financial Performance - Net income for Q4 2024 was $24.9 million, a decrease of 19.4% from $31.0 million in Q3 2024 and a decrease of 29.3% from $35.0 million in Q4 2023[3]. - Diluted EPS for Q4 2024 was $0.45, down from $0.56 in Q3 2024 and $0.06 from $0.51 in Q4 2023[3]. - Basic EPS for the quarter ended December 31, 2024, was $0.46, compared to $0.57 for the previous quarter[23]. - Diluted EPS for the year ended December 31, 2024, was $1.95, a decrease from $1.98 in the previous year[23]. - Net income for the quarter was $24.88 million, down 19.5% from $31.00 million in the previous quarter[28]. - Operating earnings for the year ended December 31, 2024, total $119,397,000, down from $142,114,000 for the year ended December 31, 2023[57]. Asset and Deposit Trends - Total deposits increased by $414.4 million, or 4.0%, year-over-year, reaching $10.75 billion as of December 31, 2024[11]. - Total assets decreased to $12,768,341 from $13,042,976, representing a decline of approximately 2.1% quarter-over-quarter[25]. - Total deposits decreased to $10,752,592, down 2.6% from $11,036,011 in the prior quarter[25]. - Noninterest-bearing deposits fell to $2,191,457, a decrease of 17.1% from $2,643,894[25]. - Interest-bearing transaction and savings deposits increased to $5,061,157, up 20.4% from $4,204,708[25]. - Total assets as of December 31, 2024, were $12.75 billion, a slight decrease from $12.86 billion at the end of the previous quarter[30]. Loan and Credit Quality - Total loans held for investment decreased by $307.4 million, or 3.3%, year-over-year, totaling $8.90 billion at December 31, 2024[10]. - Nonperforming assets to total loans decreased by 15 basis points to 0.62% from 2023[3]. - Criticized loans decreased approximately $100 million during 2024[3]. - Nonperforming assets (NPAs) totaled $79,172,000 as of December 31, 2024, an increase from $67,299,000 in the previous quarter[40]. - Total nonperforming loans (NPLs) held for investment were $54,435,000, down from $58,265,000 in the prior quarter[40]. - The provision for credit losses was $2,300,000 for the quarter ended December 31, 2024, compared to $4,000,000 in the previous quarter[40]. Capital and Equity - Common equity tier 1 capital increased by 80 basis points to 11.09% as of December 31, 2024, compared to 10.29% as of December 31, 2023[3]. - Stockholders' equity decreased slightly to $1,601,069 from $1,608,014, a decline of 0.8%[26]. - Tangible common equity was reported at $1,177,873,000 as of December 31, 2024, slightly down from $1,182,380,000 in the previous quarter[46]. - Total stockholders' equity as of December 31, 2024, is $1,601,069,000, a slight decrease from $1,608,014,000 as of September 30, 2024[50]. Income and Expense Analysis - Noninterest income for Q4 2024 was $10.1 million, a decrease of $3.1 million, or 23.3%, compared to Q3 2024[6]. - Total noninterest expense increased to $71.19 million for the quarter, up from $70.10 million in the previous quarter, representing a rise of 1.5%[28]. - The efficiency ratio for Q4 2024 was 67.04%, compared to 61.94% in Q3 2024 and 77.49% in Q4 2023[3]. - Operating return on average tangible common equity was 10.69%, down from 11.74% in the previous quarter[59]. Interest Income and Margin - Total interest income for the quarter ended December 31, 2024, was $184.72 million, a decrease of 6.4% from $196.66 million in the previous quarter[28]. - Net interest margin for the quarter was 3.20%, down from 3.30% in the previous quarter[30]. - Average yield on interest-earning assets for Q4 2024 was 6.15%, compared to 6.51% in Q4 2023, indicating a decrease of 5.53% year-over-year[36]. - Net interest income for 2024 was $385.25 million, with a net interest margin of 3.26%, down from $399.11 million and 3.49% in 2023[33].