Balanced Growth Results in Increasing Profitability
Oakworth Capital Inc. (NASDAQ: OAKC) has made impressive strides in its financial performance, reporting a remarkable growth in net income of $4.1 million in the third quarter of 2024 and $11.7 million year-to-date. This incites a 24% increase compared to $9.4 million in the same period of the previous year. The company's diluted earnings per share have risen to $2.37 in the first three quarters of 2024 from $1.93 a year earlier.
Robust Business Growth Across Key Metrics
The financial growth is reflected through a strong 23% rise in total loans, a 19% increase in core deposits, and a stellar 22% growth in wealth assets. Furthermore, Oakworth has demonstrated a solid 20% increase in total assets year-over-year, indicating an expanding footprint in the financial sector.
Revenue and Expense Dynamics
During this growth period, Oakworth also experienced a revenue growth of 16%, surpassing the expense growth of 14%, leading to an enhanced pre-tax, pre-provision income hike of 21% year-over-year. The return on average equity stands at an impressive 13.4%, and the return on average assets is 1.0% as of the end of September.
Positive Outlook from Leadership
According to Scott Reed, Chairman and CEO, the expectations for returns from investments made in 2023 are materializing positively. He highlighted the exceptional performance of the Central Carolinas office just 11 months after its opening, expressing excitement for the remaining year and future growth prospects for 2025.
Financial Health Indicators
As of September 30, 2024, Oakworth’s financial health is underscored by a Tier 1 Capital ratio of 9.7%, a Total Capital Ratio of 10.7%, and a Leverage Ratio of 9.3%. These metrics reflect the robust health of the institution.
About Oakworth Capital Inc. and Oakworth Capital Bank
Founded in 2008, Oakworth Capital, Inc. serves as the bank holding company for Oakworth Capital Bank, operating four offices throughout the Southeast. They provide an array of services, including commercial and private banking, as well as wealth management and advisory services to clients nationwide.
Acknowledgments and Rankings
Oakworth has also been recognized for its outstanding workplace, achieving the title of the #1 "Best Bank to Work for" for six consecutive years as awarded by American Banker, demonstrating a strong emphasis on employee satisfaction and client retention.
Contact Information
For more information, please contact:
Jenifer Kimbrough
Phone: 205-263-4704
Email: jenifer.kimbrough@oakworth.com
Frequently Asked Questions
What was Oakworth Capital's significant financial achievement?
Oakworth Capital reported a 23% increase in year-to-date diluted earnings per share, demonstrating robust financial growth.
How much did the company's revenue grow?
Revenue growth was measured at 16% year-over-year, outpacing expense growth.
What are the financial health indicators for Oakworth?
As of September 30, 2024, they maintain a Tier 1 Capital ratio of 9.7%, among others.
Who is the CEO of Oakworth Capital?
Scott Reed serves as the Chairman and CEO of Oakworth Capital Inc.
What services does Oakworth Capital provide?
Oakworth offers commercial and private banking services along with wealth management and advisory services to its clients nationwide.
