OKLAHOMA CITY, Jan. 16, 2025 /PRNewswire/ -- Bank7 Corp. (NASDAQ: BSVN) ("the Company"), the parent company of Oklahoma City-based Bank7 (the "Bank"), today reported unaudited results for the quarter ended December 31, 2024. "We are pleased to announce record annual results for 2024, as we reached new milestones in net income, PPE, and earnings per share. Our properly matched balance sheet, disciplined cost controls, and excellent credit quality continues to produce outstanding performance," said Thomas L. Travis, President and CEO of the Company.
Bank7 Logo (PRNewsfoto/Bank7 Corp.)
For the year ended December 31, 2024 compared to the year ended December 31, 2023:
Net income of $45.7 million compared to $28.3 million, an increase of 61.62%
Earnings per share of $4.84 compared to $3.05, an increase of 58.69%
Total assets of $1.7 billion compared to $1.8 billion, a decrease of 1.80%
Total loans of $1.4 billion compared to $1.4 billion, an increase of 2.69%
PPE of $60.4 million compared to $58.4 million, an increase of 3.38%
Total interest income of $131.5 million compared to $121.5 million, an increase of 8.22%
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, 2024, the Bank's Tier 1 leverage ratio, Tier 1 risk-based capital ratio, and total risk-based capital ratios were 12.18%, 13.99%, and 15.22%, respectively. On December 31, 2024, on a consolidated basis, the Company's Tier 1 leverage ratio, Tier 1 risk-based capital ratio, and total risk-based capital ratios were 12.19%, 13.98%, and 15.21%, respectively. Designation as a well-capitalized institution under regulations does not constitute a recommendation or endorsement by bank regulators.
Non-GAAP Financial Measures: This earnings release contains the non-GAAP financial measure pre-provision pre-tax earnings ("PPE"). The Company's management uses this non-GAAP measure in their analysis of the Company's performance. This measure adjusts GAAP performance to exclude from net income, income tax expense, provision for credit losses, and loss on sales and calls of available-for-sale debt securities.
For the Year Ended
2024
2023
Calculation of Pre-Provision Pre-Tax Earnings ("PPE")
(Dollars in thousands)
Net Income
$ 45,698
$ 28,275
Income Tax Expense
14,656
8,948
Pre-tax net income
60,354
37,223
Add back: Provision for credit losses
-
21,145
Add back: (Gain)Loss on sales/calls of AFS debt securities
6
16
Pre-provision pre-tax earnings
60,360
58,384
Bank7 Corp.
Consolidated Balance Sheets
December 31,
Assets
2024 (unaudited)
2023
Cash and due from banks
$ 234,196
$ 181,042
Interest-bearing time deposits in other banks
6,719
17,679
Available-for-sale debt securities
59,941
169,487
Loans, net of allowance for credit losses of $17,918 and
$19,691 at December 31, 2024 and December 31, 2023, respectively
1,379,465
1,341,148
Loans held for sale, at fair value
-
718
Premises and equipment, net
18,137
14,942
Nonmarketable equity securities
1,283
1,283
Core deposit intangibles
878
1,031
Goodwill
8,458
8,458
Interest receivable and other assets
30,731
35,878
Total assets
$ 1,739,808
$ 1,771,666
Liabilities and Shareholders' Equity
Deposits
Noninterest-bearing
$ 313,258
$ 482,349
Interest-bearing
1,202,213
1,109,042
Total deposits
1,515,471
1,591,391
Income taxes payable
77
302
Interest payable and other liabilities
11,047
9,647
Total liabilities
1,526,595
1,601,340
Shareholders' equity
Common stock, $0.01 par value; 50,000,000 shares authorized; shares
issued and outstanding: 9,390,211 and 9,197,696 at December 31, 2024
and December 31, 2023, respectively
94
92
Additional paid-in capital
101,809
97,417
Retained earnings
116,281
78,962
Accumulated other comprehensive loss
(4,971)
(6,145)
Total shareholders' equity
213,213
170,326
Total liabilities and shareholders' equity
$ 1,739,808
$ 1,771,666
Three Months Ended
Twelve Months Ended
December 31,
December 31,
2024 (unaudited)
2023 (unaudited)
2024 (unaudited)
2023
Interest Income
Loans, including fees
$ 29,582
$ 28,727
$ 119,416
$ 109,843
Interest-bearing time deposits in other banks
110
248
785
519
Debt securities, taxable
265
685
2,531
2,791
Debt securities, tax-exempt
60
77
273
330
Other interest and dividend income
2,313
2,664
8,535
8,061
Total interest income
32,330
32,401
131,540
121,544
Interest Expense
Deposits
10,593
11,104
45,345
38,998
Total interest expense
10,593
11,104
45,345
38,998
Net Interest Income
21,737
21,297
86,195
82,546
Provision for Credit Losses
-
15,500
-
21,145
Net Interest Income After Provision for Credit Losses
21,737
5,797
86,195
61,401
Noninterest Income
Mortgage lending income
137
159
370
331
Loss on sales, prepayments, and calls of available-for-sale debt securities
(3)
(1)
(6)
(16)
Service charges on deposit accounts
233
222
975
869
Other
2,034
6,389
9,915
8,058
Total noninterest income
2,401
6,769
11,254
9,242
Noninterest Expense
Salaries and employee benefits
5,043
3,086
20,783
17,385
Furniture and equipment
257
241
1,070
995
Occupancy
655
708
2,640
2,689
Data and item processing
459
450
1,897
1,730
Accounting, marketing and legal fees
255
51
836
543
Regulatory assessments
211
524
1,196
1,537
Advertising and public relations
192
154
549
427
Travel, lodging and entertainment
161
118
431
374
Other
2,185
5,673
7,693
7,740
Total noninterest expense
9,418
11,005
37,095
33,420
Income Before Taxes
14,720
1,561
60,354
37,223
Income tax expense
3,611
491
14,656
8,948
Net Income
$ 11,109
$ 1,070
$ 45,698
$ 28,275
Earnings per common share - basic
$ 1.19
$ 0.12
$ 4.92
$ 3.09
Earnings per common share - diluted
1.16
0.12
4.84
3.05
Weighted average common shares outstanding - basic
9,366,074
9,188,888
9,290,051
9,161,565
Weighted average common shares outstanding - diluted
9,556,388
9,274,960
9,447,751
9,264,307
Other comprehensive income (loss)
Unrealized gains (losses) on securities, net of tax expense (benefit) of $335 and ($1 million)
for the years ended December 31, 2024 and 2023, respectively
$ (856)
$ 2,932
$ 1,169
$ 3,146
Reclassification adjustment for realized losses included in net income net of tax of $1 and $4
for the years ended December 31, 2024 and 2023, respectively
2
1
5
12
Other comprehensive income (loss)
$ (854)
$ 2,933
$ 1,174
$ 3,158
Comprehensive Income
$ 10,255
$ 4,003
$ 46,872
$ 31,433
Net Interest Margin
For the Year Ended December 31,
2024 (unaudited)
2023
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
$ 184,328
$ 9,320
5.04 %
$ 174,600
$ 8,580
4.91 %
Debt securities, taxable-equivalent
90,184
2,531
2.80
152,094
2,791
1.84
Debt securities, tax exempt
16,651
273
1.64
19,430
330
1.70
Loans held for sale
343
-
-
158
-
-
Total loans(1)
1,391,552
119,416
8.56
1,315,578
109,843
8.35
Total interest-earning assets
1,683,058
131,540
7.79
1,661,860
121,544
7.31
Noninterest-earning assets
39,555
25,943
Total assets
$ 1,722,613
$ 1,687,803
Funding sources:
Interest-bearing liabilities:
Deposits:
Transaction accounts
$ 882,314
33,408
3.78 %
$ 825,169
28,582
3.46 %
Time deposits
254,057
11,937
4.69
256,672
10,416
4.06
Total interest-bearing deposits
1,136,371
45,345
3.98
1,081,841
38,998
3.60
Total interest-bearing liabilities
1,136,371
45,345
3.98
1,081,841
38,998
3.60
Noninterest-bearing liabilities:
Noninterest-bearing deposits
381,660
433,603
Other noninterest-bearing liabilities
12,419
10,423
Total noninterest-bearing liabilities
394,079
444,026
Shareholders' equity
192,163
161,936
Total liabilities and shareholders' equity
$ 1,722,613
$ 1,687,803
Net interest income
$ 86,195
$ 82,546
Net interest spread
3.81 %
3.71 %
Net interest margin
5.11 %
4.97 %
(1)
Nonaccrual loans are included in total loans
Net Interest Margin
For the Three Months Ended December 31,
2024 (unaudited)
2023
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
$ 195,948
$ 2,423
4.91 %
$ 210,710
$ 2,912
5.48 %
Debt securities, taxable-equivalent
50,504
265
2.08
150,291
685
1.81
Debt securities, tax exempt
14,216
60
1.67
18,250
77
1.67
Loans held for sale
526
-
-
284
-
-
Total loans(1)
1,422,382
29,582
8.25
1,362,533
28,727
8.36
Total interest-earning assets
1,683,576
32,330
7.62
1,742,068
32,401
7.38
Noninterest-earning assets
39,721
27,984
Total assets
$ 1,723,297
$ 1,770,052
Funding sources:
Interest-bearing liabilities:
Deposits:
Transaction accounts
$ 911,978
7,683
3.34 %
$ 848,990
8,237
3.85 %
Time deposits
250,209
2,910
4.61
254,460
2,867
4.47
Total interest-bearing deposits
1,162,187
10,593
3.62
1,103,450
11,104
3.99
Total interest-bearing liabilities
$ 1,162,187
10,593
3.62
$ 1,103,450
11,104
3.99
Noninterest-bearing liabilities:
Noninterest-bearing deposits
$ 338,645
$ 485,312
Other noninterest-bearing liabilities
13,014
12,235
Total noninterest-bearing liabilities
351,659
497,547
Shareholders' equity
209,451
169,055
Total liabilities and shareholders' equity
$ 1,723,297
$ 1,770,052
Net interest income
$ 21,737
$ 21,297
Net interest spread
4.00 %
3.39 %
Net interest margin
5.12 %
4.85 %
(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 third quarter results, which will be broadcast live over the Internet, on Thursday, January 16, 2025 at 10:00 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/Gvl7ABbAdkV. For those not able to participate in the live call, an archive of the webcast will be available at https://app.webinar.net/Gvl7ABbAdkV 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 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.
