Market Overview

LegacyTexas Financial Group, Inc. Reports First Quarter 2018 Earnings

Share:

LegacyTexas Financial Group, Inc. Reports First Quarter 2018 Earnings

PR Newswire

PLANO, Texas, April 17, 2018 /PRNewswire/ -- LegacyTexas Financial Group, Inc. (NASDAQ:LTXB) (the "Company"), the holding company for LegacyTexas Bank (the "Bank"), today announced net income of $25.8 million for the first quarter of 2018, an increase of $11.1 million from the fourth quarter of 2017 and $7.6 million from the first quarter of 2017.  Net income for the fourth quarter of 2017 included a $13.5 million income tax adjustment to the Company's deferred tax asset related to the December 22, 2017 enactment of the Tax Cuts and Jobs Act, with no comparable charge in the 2018 period.

www.LegacyTexasFinancialGroup.com . (PRNewsFoto/) (PRNewsFoto/LegacyTexas Financial Group, Inc)" alt="LegacyTexas Financial Group, Inc. is the holding company for LegacyTexas Bank, a commercially oriented community bank based in Plano, Texas. LegacyTexas Bank operates 43 banking offices in the Dallas/Fort Worth Metroplex and surrounding counties. For more information, visit www.LegacyTexasFinancialGroup.com . (PRNewsFoto/) (PRNewsFoto/LegacyTexas Financial Group, Inc)">

"The LegacyTexas team of bankers continues to execute on our strategies and grow our customer relationships on both the loan and deposit sides of our business," said President and CEO Kevin Hanigan.  "I am particularly pleased with our improved asset quality and the continued growth in non-interest-bearing deposits.  These improvements are paramount to accelerating our already strong earnings power."

First Quarter 2018 Performance Highlights

  • Company assets of $8.87 billion generated basic earnings per share for the first quarter of 2018 of $0.55 on a GAAP basis and $0.52 on a core (non-GAAP) basis.
  • Gross loans held for investment at March 31, 2018, excluding Warehouse Purchase Program loans, grew $85.9 million from December 31, 2017, which includes linked-quarter increases in commercial real estate, commercial and industrial and consumer real estate loans.
  • Non-performing loans declined by $44.6 million, or 47.2%, from December 31, 2017, totaling $49.8 million at March 31, 2018.
  • The Company's efforts to grow non-interest-bearing demand deposits resulted in a linked-quarter increase in these deposits of $45.4 million to $1.68 billion at March 31, 2018. Non-interest-bearing deposits totaled 24.2% of total deposits at March 31, 2018.
  • Return on average assets for the quarter ended March 31, 2018 was 1.19%, compared to 0.66% for the quarter ended December 31, 2017, while core (non-GAAP) return on average assets for the quarter ended March 31, 2018 was 1.13%, compared to 1.27% for the quarter ended December 31, 2017.

 

Financial Highlights



At or For the Quarters Ended

(unaudited)

Mar 31, 2018


Dec 31, 2017


Mar 31, 2017


(Dollars in thousands, except per share amounts)

Net interest income

$

78,613



$

80,199



$

76,548


Provision for credit losses

15,663



3,743



22,301


Non-interest income

12,898



6,901



12,130


Non-interest expense

43,879



40,708



39,752


Income tax expense

6,207



27,989



8,435


Net income

$

25,762



$

14,660



$

18,190








Basic earnings per common share

$

0.55



$

0.31



$

0.39


Basic core (non-GAAP) earnings per common share1

$

0.52



$

0.60



$

0.37


Weighted average common shares outstanding - basic

46,872,333



46,729,160



46,453,658


Estimated Tier 1 common equity risk-based capital ratio2

9.91

%


9.40

%


9.29

%

Total equity to total assets

11.05

%


10.56

%


10.67

%

Tangible common equity to tangible assets - Non-GAAP1

9.22

%


8.77

%


8.73

%



1

See the section labeled "Supplemental Information - Non-GAAP Financial Measures" at the end of this document.

2

Calculated at the Company level, which is subject to the capital adequacy requirements of the Federal Reserve.

Core (non-GAAP) net income (which is net income adjusted for the impact of infrequent or non-recurring items) totaled $24.5 million for the quarter ended March 31, 2018, down $3.6 million from the fourth quarter of 2017 and up $7.2 million from the first quarter of 2017.  Basic earnings per share for the quarter ended March 31, 2018 was

View Comments and Join the Discussion!
 
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com