CapStar Financial Holdings, Inc. (“CapStar”)
(NASDAQ:CSTR) today reported net income of $7.8 million or
$0.37 per diluted share, for the quarter ended June 30, 2023,
compared with net income of $6.4 million or $0.30 per diluted
share, for the quarter ended March 31, 2023, and net income of
$10.0 million or $0.45 per diluted share, for the quarter ended
June 30, 2022. Annualized return on average assets and return
on average equity for the quarter ended June 30, 2023 was
0.98% and 8.95%, respectively.
Revenue
Total revenue, defined as net interest income plus noninterest
income, was $28.8 million in the second quarter of 2023 compared to
the first quarter of 2023 revenue of $29.5 million. Second quarter
net interest income decreased $0.6 million from the prior quarter
to $22.6 million while noninterest income declined $0.1 million to
$6.2 million.
Second quarter 2023 average earning assets increased $48.8
million to $2.97 billion compared to the first quarter 2023. The
growth in average earning assets was attributed to a $43.1 million,
or 7% linked-quarter annualized, increase in loans held for
investment while the related yield increased 30 basis points from
the prior quarter to 5.79%.
Over the past year, the Company has been proactive and
disciplined in curtailing lending on commercial real estate
investment properties and to non-depositors focusing all efforts on
liquidity management. While second quarter 2023 end of period loan
held for investment balances declined versus the first quarter of
2023, the Company maintains strong lending capabilities in robust
markets and is pleased with $76.5 million of growth in customer
deposit balances that have occurred from May 31, through July 19,
2023 and improvement in insured or collateralized deposits to 75.5%
as of June 30, 2023.
The net interest margin decreased 18 basis points from the prior
quarter to 3.06%. The decline in net interest margin was
principally related to the pace at which market deposit rates are
rising as a result of intense market competition in relation to the
repricing of the Company's loan portfolio. The total cost of
deposits increased 49 basis points from the first quarter of 2023
to 2.26% in the second quarter of 2023.
Second quarter 2023 noninterest income as compared to the first
quarter of 2023 benefited from increased servicing fee income
offset by declines in deposit service charges and mortgage banking.
SBA production and pipeline remains strong with the enhanced
benefit of escalating servicing income now contributing over $800
thousand on an annualized basis. The Company’s Tri-Net business
continues to remain disciplined awaiting a return to rational
market pricing with limited originations and sales occurring in
2023.
Noninterest Expense and Operating
Efficiency
Noninterest expense was $19.2 million for the second quarter of
2023, compared to $19.1 million in the first quarter of 2023.
Second quarter noninterest expense included $122 thousand related
to the anticipated changes in legislation for stock repurchase
taxation. During the quarter, the Company identified approximately
$3.0 million of annualized expense reductions with partial
implementation in late June and the remainder anticipated
throughout the second half of 2023.
The efficiency ratio was 66.61% for the quarter ended
June 30, 2023 and 64.60% for the quarter ended March 31,
2023. Annualized noninterest expense as a percentage of average
assets was 2.41% for the quarter ended June 30, 2023 which is
a decrease of 4 basis points compared to the quarter ended
March 31, 2023. Assets per employee increased to $8.3 million
as of June 30, 2023 compared to $8.1 million in the previous
quarter.
Asset Quality
Despite a decrease in end of period loans held for investment
and unfunded commitments versus the first quarter of 2023, the
Company recorded a nominal provision of $22 thousand during the
second quarter due to the continued overall macroeconomic
uncertainty. Net loan charge-offs in second quarter totaled $0.2
million or 0.03% annualized of average loans held for
investment.
Past due loans improved to $3.6 million or 0.15% of total loans
held for investment at June 30, 2023 compared to $8.5 million
or 0.35% of total loans held for investment at March 31, 2023.
The improvement was related to one relationship totaling $5.8
million which became current during the second quarter. Past dues
include a $1.3 million relationship that is well secured and is in
the process of being liquidated with no expected loss.
Non-performing assets to total loans held for investment and
OREO were 0.48% at June 30, 2023 compared to 0.42% at
March 31, 2023. Non-performing assets include two
relationships totaling approximately $8.0 million which entered
forbearance agreements and were brought current during the first
quarter. The Company is optimistic these relationships will return
to accrual status in the third quarter with recognition of full
interest income not recognized while on nonaccrual.
The allowance for credit losses related to loans increased to
1.08% as of June 30, 2023 compared to 1.05% as of
March 31, 2023. The allowance for credit losses related to
unfunded commitments decreased to 0.43% of available balances as of
June 30, 2023 from 0.47% at March 31, 2023.
Asset Quality
Data: |
|
6/30/2023 |
|
|
3/31/2023 |
|
|
12/31/2022 |
|
|
9/30/2022 |
|
|
6/30/2022 |
|
Annualized net charge-offs to average loans |
|
|
0.03 |
% |
|
|
0.03 |
% |
|
|
0.03 |
% |
|
|
0.02 |
% |
|
|
0.00 |
% |
Criticized and classified loans to total loans |
|
|
1.36 |
% |
|
|
1.76 |
% |
|
|
1.31 |
% |
|
|
1.79 |
% |
|
|
2.12 |
% |
Loans- past due to total end of period loans |
|
|
0.15 |
% |
|
|
0.35 |
% |
|
|
0.50 |
% |
|
|
0.63 |
% |
|
|
0.12 |
% |
Loans-over 90 days past due to total period end loans |
|
|
0.08 |
% |
|
|
0.05 |
% |
|
|
0.44 |
% |
|
|
0.27 |
% |
|
|
0.02 |
% |
Non-performing assets to total loans held for investment and
OREO |
|
|
0.48 |
% |
|
|
0.42 |
% |
|
|
0.46 |
% |
|
|
0.30 |
% |
|
|
0.11 |
% |
Allowance for credit losses on loans to non-performing loans |
|
|
228 |
% |
|
|
249 |
% |
|
|
222 |
% |
|
|
333 |
% |
|
|
974 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income Tax Expense
The Company’s second quarter effective income tax rate decreased
slightly to 18.6% when compared to 19.4% in the prior quarter ended
March 31, 2023 and compared to the rate of 19.6% for the
quarter ended June 30, 2022. When compared to the six months
ended June 30, 2022, the six months ended June 30, 2023
showed a decrease in the rate from 19.6% to 19.0%, in line with
Company expectations for the remainder of the year.
Capital
The Company continues to be strongly capitalized with equity of
$347.5 million and tangible equity of $302.1 million at
June 30, 2023. At June 30, 2023, CapStar’s Leverage
Ratio was 11.05%, Common Equity Tier I ratio was 12.40%, and its
Total Risk-Based Capital ratio was 14.34%. These regulatory capital
ratios are significantly above levels required to be considered
“well capitalized,” which is the highest possible regulatory
designation. As all investments are designated as
available-for-sale, the Tangible Common Equity to Tangible Assets
ratio of 9.64% is inclusive of all unrealized investment portfolio
losses.
Book value per share of common stock as of June 30, 2023
was $16.64 while tangible book value per share of common stock was
$14.47 as of June 30, 2023 compared to $16.57 and $14.43,
respectively, for the quarter ended March 31,
2023. Excluding the impact of after-tax unrealized gain or
loss within the available for sale investment portfolio, tangible
book value per share of common stock for the quarter ended
June 30, 2023 was $16.95 compared to $16.56 and $15.86 for the
quarters ended March 31, 2023 and June 30, 2022,
respectively.
Consolidated Capital
ratios: |
|
6/30/2023 |
|
|
3/31/2023 |
|
|
12/31/2022 |
|
|
9/30/2022 |
|
|
6/30/2022 |
|
Total risk-based capital |
|
|
14.34 |
% |
|
|
13.98 |
% |
|
|
14.51 |
% |
|
|
14.59 |
% |
|
|
14.79 |
% |
Common equity tier 1 capital |
|
|
12.40 |
% |
|
|
12.09 |
% |
|
|
12.61 |
% |
|
|
12.70 |
% |
|
|
12.87 |
% |
Leverage |
|
|
11.05 |
% |
|
|
11.20 |
% |
|
|
11.40 |
% |
|
|
11.22 |
% |
|
|
11.10 |
% |
Tangible common equity to tangible assets * |
|
|
9.64 |
% |
|
|
9.67 |
% |
|
|
10.03 |
% |
|
|
9.65 |
% |
|
|
10.19 |
% |
_____________________*This metric is a non-GAAP financial
measure. See Non-GAAP disclaimer in this earnings release and below
for discussion and reconciliation to the most directly comparable
GAAP financial measure.
As a component of the Company’s capital allocation strategy,
$8.3 million was returned to shareholders in the second quarter of
2023 in the form of share repurchases and dividends. In total,
453,822 shares were repurchased at an average price of $13.36. The
Board of Directors of the Company renewed a common stock share
repurchase authorization of up to $20 million on May 25, 2023. The
Plan will terminate on the earlier of the date on which the maximum
authorized dollar amount of shares of common stock has been
repurchased or January 31, 2024.
Liquidity
Liquidity sources remain strong at a total $1.5 billion as of
June 30, 2023 compared to the March 31, 2023 total of $1.6 billion.
Sources as of June 30, 2023 include cash and equivalents of $170.7
million, unpledged securities of $172.8 million, remaining
borrowing capacity with the FHLB of $473.3 million, borrowing
capacity with the Federal Reserve Discount Window of $314.8
million, the ability to issue an additional $137.1 million of
brokered CDs based on internal limits, federal funds lines of
$115.0 million, loans held-for-sale of $48.1 million and $55.0
million of additional funding capacity through the Federal
Reserve’s Bank Term Funding Program.
Dividend
On July 19, 2023, the Board of Directors of the Company approved
a quarterly dividend of $0.11 per common share payable on August
23, 2023 to shareholders of record of CapStar’s common stock as of
the close of business on August 9, 2023.
Conference Call and Webcast Information
CapStar will host a conference call and webcast at 10:00 a.m.
Central Time on Friday, July 21, 2023. During the call, management
will review the second quarter results and operational highlights.
Interested parties may listen to the call by registering here to
access the live call, including for participants who plan to ask a
question during the call. A simultaneous webcast may be accessed on
CapStar’s website at ir.capstarbank.com by clicking on “News
& Events.” An archived version of the webcast will be available
in the same location shortly after the live call has ended.
CAPSTAR FINANCIAL HOLDINGS, INC. AND
SUBSIDIARYConsolidated Statements of Income
(unaudited) (dollars in thousands, except share
data)Second quarter 2023 Earnings
Release
|
|
Three Months Ended |
|
|
Six Months Ended |
|
|
|
June 30, |
|
|
June 30, |
|
|
|
2023 |
|
|
2022 |
|
|
2023 |
|
|
2022 |
|
Interest income: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans, including fees |
|
$ |
34,815 |
|
|
$ |
23,775 |
|
|
$ |
66,774 |
|
|
$ |
44,141 |
|
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
Taxable |
|
|
2,025 |
|
|
|
1,922 |
|
|
|
3,976 |
|
|
|
3,677 |
|
Tax-exempt |
|
|
308 |
|
|
|
319 |
|
|
|
622 |
|
|
|
644 |
|
Federal funds sold |
|
|
68 |
|
|
|
14 |
|
|
|
123 |
|
|
|
24 |
|
Restricted equity securities |
|
|
248 |
|
|
|
173 |
|
|
|
488 |
|
|
|
329 |
|
Interest-bearing deposits in financial institutions |
|
|
1,823 |
|
|
|
286 |
|
|
|
3,087 |
|
|
|
458 |
|
Total interest income |
|
|
39,287 |
|
|
|
26,489 |
|
|
|
75,070 |
|
|
|
49,273 |
|
Interest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits |
|
|
4,474 |
|
|
|
638 |
|
|
|
7,420 |
|
|
|
1,074 |
|
Savings and money market accounts |
|
|
3,254 |
|
|
|
467 |
|
|
|
6,513 |
|
|
|
797 |
|
Time deposits |
|
|
7,363 |
|
|
|
454 |
|
|
|
12,936 |
|
|
|
938 |
|
Federal Home Loan Bank advances |
|
|
1,231 |
|
|
|
96 |
|
|
|
1,623 |
|
|
|
96 |
|
Subordinated notes |
|
|
394 |
|
|
|
394 |
|
|
|
788 |
|
|
|
788 |
|
Total interest expense |
|
|
16,716 |
|
|
|
2,049 |
|
|
|
29,280 |
|
|
|
3,693 |
|
Net interest income |
|
|
22,571 |
|
|
|
24,440 |
|
|
|
45,790 |
|
|
|
45,580 |
|
Provision for credit
losses: |
|
|
|
|
|
|
|
|
|
|
|
|
Provision for credit losses on loans |
|
|
519 |
|
|
|
843 |
|
|
|
570 |
|
|
|
59 |
|
Provision for credit losses on available-for-sale securities |
|
|
— |
|
|
|
— |
|
|
|
2,000 |
|
|
|
— |
|
Provision for (recovery of) credit losses on unfunded
commitments |
|
|
(497 |
) |
|
|
— |
|
|
|
(106 |
) |
|
|
— |
|
Total provision for credit losses |
|
|
22 |
|
|
|
843 |
|
|
|
2,464 |
|
|
|
59 |
|
Net interest income after provision for credit losses |
|
|
22,549 |
|
|
|
23,597 |
|
|
|
43,326 |
|
|
|
45,521 |
|
Noninterest income: |
|
|
|
|
|
|
|
|
|
|
|
|
Deposit service charges |
|
|
1,264 |
|
|
|
1,182 |
|
|
|
2,632 |
|
|
|
2,324 |
|
Interchange and debit card transaction fees |
|
|
1,060 |
|
|
|
1,336 |
|
|
|
2,098 |
|
|
|
2,558 |
|
Mortgage banking |
|
|
955 |
|
|
|
1,705 |
|
|
|
2,248 |
|
|
|
3,671 |
|
Tri-Net |
|
|
27 |
|
|
|
(73 |
) |
|
|
27 |
|
|
|
2,098 |
|
Wealth management |
|
|
426 |
|
|
|
459 |
|
|
|
800 |
|
|
|
899 |
|
SBA lending |
|
|
977 |
|
|
|
273 |
|
|
|
2,068 |
|
|
|
494 |
|
Net gain on sale of securities |
|
|
— |
|
|
|
— |
|
|
|
5 |
|
|
|
0 |
|
Other noninterest income |
|
|
1,503 |
|
|
|
994 |
|
|
|
2,609 |
|
|
|
2,921 |
|
Total noninterest income |
|
|
6,212 |
|
|
|
5,876 |
|
|
|
12,487 |
|
|
|
14,965 |
|
Noninterest expense: |
|
|
|
|
|
|
|
|
|
|
|
|
Salaries and employee benefits |
|
|
10,533 |
|
|
|
9,209 |
|
|
|
20,874 |
|
|
|
19,478 |
|
Data processing and software |
|
|
3,294 |
|
|
|
2,847 |
|
|
|
6,505 |
|
|
|
5,494 |
|
Occupancy |
|
|
1,097 |
|
|
|
1,076 |
|
|
|
2,290 |
|
|
|
2,174 |
|
Equipment |
|
|
674 |
|
|
|
783 |
|
|
|
1,496 |
|
|
|
1,492 |
|
Professional services |
|
|
899 |
|
|
|
506 |
|
|
|
1,687 |
|
|
|
1,185 |
|
Regulatory fees |
|
|
419 |
|
|
|
265 |
|
|
|
832 |
|
|
|
545 |
|
Amortization of intangibles |
|
|
368 |
|
|
|
430 |
|
|
|
752 |
|
|
|
876 |
|
Other operating |
|
|
1,888 |
|
|
|
1,959 |
|
|
|
3,790 |
|
|
|
3,566 |
|
Total noninterest expense |
|
|
19,172 |
|
|
|
17,075 |
|
|
|
38,226 |
|
|
|
34,810 |
|
Income before income taxes |
|
|
9,589 |
|
|
|
12,398 |
|
|
|
17,587 |
|
|
|
25,676 |
|
Income tax expense |
|
|
1,785 |
|
|
|
2,426 |
|
|
|
3,337 |
|
|
|
5,031 |
|
Net income |
|
$ |
7,804 |
|
|
$ |
9,972 |
|
|
$ |
14,250 |
|
|
$ |
20,645 |
|
Per share information: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic net income per share of common stock |
|
$ |
0.37 |
|
|
$ |
0.45 |
|
|
$ |
0.67 |
|
|
$ |
0.93 |
|
Diluted net income per share of common stock |
|
$ |
0.37 |
|
|
$ |
0.45 |
|
|
$ |
0.67 |
|
|
$ |
0.93 |
|
Weighted average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
21,065,115 |
|
|
|
22,022,109 |
|
|
|
21,311,691 |
|
|
|
22,109,737 |
|
Diluted |
|
|
21,107,457 |
|
|
|
22,074,260 |
|
|
|
21,349,972 |
|
|
|
22,163,954 |
|
This information is preliminary and based on CapStar data
available at the time of this earnings release.
CAPSTAR FINANCIAL HOLDINGS, INC. AND
SUBSIDIARYSelected Quarterly Financial Data
(unaudited) (dollars in thousands, except share
data)Second quarter 2023 Earnings
Release
|
|
Five Quarter Comparison |
|
|
|
6/30/2023 |
|
|
3/31/2023 |
|
|
12/31/2022 |
|
|
9/30/2022 |
|
|
6/30/2022 |
|
Income Statement
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
$ |
22,571 |
|
|
$ |
23,219 |
|
|
$ |
24,959 |
|
|
$ |
25,553 |
|
|
$ |
24,440 |
|
Provision for credit losses |
|
|
22 |
|
|
|
2,442 |
|
|
|
1,548 |
|
|
|
867 |
|
|
|
843 |
|
Net interest income after provision for credit losses |
|
|
22,549 |
|
|
|
20,777 |
|
|
|
23,411 |
|
|
|
24,686 |
|
|
|
23,597 |
|
Deposit service charges |
|
|
1,264 |
|
|
|
1,368 |
|
|
|
1,206 |
|
|
|
1,251 |
|
|
|
1,182 |
|
Interchange and debit card transaction fees |
|
|
1,060 |
|
|
|
1,038 |
|
|
|
1,250 |
|
|
|
1,245 |
|
|
|
1,336 |
|
Mortgage banking |
|
|
955 |
|
|
|
1,293 |
|
|
|
637 |
|
|
|
765 |
|
|
|
1,705 |
|
Tri-Net |
|
|
27 |
|
|
|
— |
|
|
|
39 |
|
|
|
(2,059 |
) |
|
|
(73 |
) |
Wealth management |
|
|
426 |
|
|
|
374 |
|
|
|
403 |
|
|
|
385 |
|
|
|
459 |
|
SBA lending |
|
|
977 |
|
|
|
1,091 |
|
|
|
1,446 |
|
|
|
560 |
|
|
|
273 |
|
Net gain on sale of securities |
|
|
— |
|
|
|
5 |
|
|
|
1 |
|
|
|
7 |
|
|
|
— |
|
Other noninterest income |
|
|
1,503 |
|
|
|
1,106 |
|
|
|
1,303 |
|
|
|
1,118 |
|
|
|
994 |
|
Total noninterest income |
|
|
6,212 |
|
|
|
6,275 |
|
|
|
6,285 |
|
|
|
3,272 |
|
|
|
5,876 |
|
Salaries and employee benefits |
|
|
10,533 |
|
|
|
10,341 |
|
|
|
9,875 |
|
|
|
8,712 |
|
|
|
9,209 |
|
Data processing and software |
|
|
3,294 |
|
|
|
3,211 |
|
|
|
2,797 |
|
|
|
2,861 |
|
|
|
2,847 |
|
Occupancy |
|
|
1,097 |
|
|
|
1,193 |
|
|
|
1,032 |
|
|
|
1,092 |
|
|
|
1,076 |
|
Equipment |
|
|
674 |
|
|
|
822 |
|
|
|
753 |
|
|
|
743 |
|
|
|
783 |
|
Professional services |
|
|
899 |
|
|
|
788 |
|
|
|
522 |
|
|
|
468 |
|
|
|
506 |
|
Regulatory fees |
|
|
419 |
|
|
|
413 |
|
|
|
266 |
|
|
|
269 |
|
|
|
265 |
|
Amortization of intangibles |
|
|
368 |
|
|
|
384 |
|
|
|
399 |
|
|
|
415 |
|
|
|
430 |
|
Other noninterest expense |
|
|
1,888 |
|
|
|
1,902 |
|
|
|
984 |
|
|
|
3,371 |
|
|
|
1,959 |
|
Total noninterest expense |
|
|
19,172 |
|
|
|
19,054 |
|
|
|
16,628 |
|
|
|
17,931 |
|
|
|
17,075 |
|
Net income before income tax expense |
|
|
9,589 |
|
|
|
7,998 |
|
|
|
13,068 |
|
|
|
10,027 |
|
|
|
12,398 |
|
Income tax expense |
|
|
1,785 |
|
|
|
1,552 |
|
|
|
2,735 |
|
|
|
1,988 |
|
|
|
2,426 |
|
Net income |
|
$ |
7,804 |
|
|
$ |
6,446 |
|
|
$ |
10,333 |
|
|
$ |
8,039 |
|
|
$ |
9,972 |
|
Weighted average shares - basic |
|
|
21,065,115 |
|
|
|
21,561,007 |
|
|
|
21,887,351 |
|
|
|
21,938,259 |
|
|
|
22,022,109 |
|
Weighted average shares - diluted |
|
|
21,107,457 |
|
|
|
21,595,182 |
|
|
|
21,926,821 |
|
|
|
21,988,085 |
|
|
|
22,074,260 |
|
Net income per share, basic |
|
$ |
0.37 |
|
|
$ |
0.30 |
|
|
$ |
0.47 |
|
|
$ |
0.37 |
|
|
$ |
0.45 |
|
Net income per share, diluted |
|
|
0.37 |
|
|
|
0.30 |
|
|
|
0.47 |
|
|
|
0.37 |
|
|
|
0.45 |
|
Balance Sheet Data (at
period end): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
170,709 |
|
|
$ |
175,557 |
|
|
$ |
135,305 |
|
|
$ |
199,913 |
|
|
$ |
113,825 |
|
Securities available-for-sale |
|
|
373,262 |
|
|
|
391,547 |
|
|
|
396,416 |
|
|
|
401,345 |
|
|
|
437,420 |
|
Securities held-to-maturity |
|
|
- |
|
|
|
1,232 |
|
|
|
1,240 |
|
|
|
1,762 |
|
|
|
1,769 |
|
Loans held for sale |
|
|
48,895 |
|
|
|
31,501 |
|
|
|
44,708 |
|
|
|
43,122 |
|
|
|
85,884 |
|
Loans held for investment |
|
|
2,358,928 |
|
|
|
2,407,328 |
|
|
|
2,312,798 |
|
|
|
2,290,269 |
|
|
|
2,234,833 |
|
Allowance for credit losses on loans |
|
|
(25,524 |
) |
|
|
(25,189 |
) |
|
|
(23,806 |
) |
|
|
(22,431 |
) |
|
|
(21,684 |
) |
Total assets |
|
|
3,179,016 |
|
|
|
3,232,751 |
|
|
|
3,117,169 |
|
|
|
3,165,706 |
|
|
|
3,096,537 |
|
Non-interest-bearing deposits |
|
|
414,828 |
|
|
|
463,243 |
|
|
|
512,076 |
|
|
|
628,846 |
|
|
|
717,167 |
|
Interest-bearing deposits |
|
|
2,295,931 |
|
|
|
2,286,844 |
|
|
|
2,167,743 |
|
|
|
2,004,827 |
|
|
|
1,913,320 |
|
Federal Home Loan Bank advances and other borrowings |
|
|
79,733 |
|
|
|
85,199 |
|
|
|
44,666 |
|
|
|
149,633 |
|
|
|
74,599 |
|
Total liabilities |
|
|
2,831,551 |
|
|
|
2,878,840 |
|
|
|
2,762,987 |
|
|
|
2,818,341 |
|
|
|
2,738,802 |
|
Shareholders' equity |
|
|
347,465 |
|
|
|
353,911 |
|
|
|
354,182 |
|
|
|
347,365 |
|
|
|
357,735 |
|
Total shares of common stock outstanding |
|
|
20,884,492 |
|
|
|
21,361,614 |
|
|
|
21,714,380 |
|
|
|
21,931,624 |
|
|
|
21,934,554 |
|
Book value per share of common stock |
|
$ |
16.64 |
|
|
$ |
16.57 |
|
|
$ |
16.31 |
|
|
$ |
15.84 |
|
|
$ |
16.31 |
|
Tangible book value per share of common stock* |
|
|
14.47 |
|
|
|
14.43 |
|
|
|
14.19 |
|
|
|
13.72 |
|
|
|
14.17 |
|
Tangible book value per share of common stock less after-tax
unrealized available for sale investment losses* |
|
|
16.95 |
|
|
|
16.56 |
|
|
|
16.57 |
|
|
|
16.16 |
|
|
|
15.86 |
|
Market value per share of common stock |
|
|
12.27 |
|
|
|
15.15 |
|
|
|
17.66 |
|
|
|
18.53 |
|
|
|
19.62 |
|
Consolidated Capital
ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total risk-based capital |
|
|
14.34 |
% |
|
|
13.98 |
% |
|
|
14.51 |
% |
|
|
14.59 |
% |
|
|
14.79 |
% |
Tangible common equity to tangible assets* |
|
|
9.64 |
% |
|
|
9.67 |
% |
|
|
10.03 |
% |
|
|
9.65 |
% |
|
|
10.19 |
% |
Tangible common equity to tangible assets less after-tax unrealized
available for sale investment losses* |
|
|
11.11 |
% |
|
|
10.94 |
% |
|
|
11.52 |
% |
|
|
11.17 |
% |
|
|
11.27 |
% |
Common equity tier 1 capital |
|
|
12.40 |
% |
|
|
12.09 |
% |
|
|
12.61 |
% |
|
|
12.70 |
% |
|
|
12.87 |
% |
Leverage |
|
|
11.05 |
% |
|
|
11.20 |
% |
|
|
11.40 |
% |
|
|
11.22 |
% |
|
|
11.10 |
% |
_____________________*This metric is a non-GAAP financial
measure. See Non-GAAP disclaimer in this earnings release and below
for discussion and reconciliation to the most directly comparable
GAAP financial measure. This information is preliminary and based
on CapStar data available at the time of this earnings release.
CAPSTAR FINANCIAL HOLDINGS, INC. AND
SUBSIDIARYSelected Quarterly Financial Data
(unaudited) (dollars in thousands, except share
data)Second quarter 2023 Earnings
Release
|
|
Five Quarter Comparison |
|
|
|
6/30/2023 |
|
|
3/31/2023 |
|
|
12/31/2022 |
|
|
9/30/2022 |
|
|
6/30/2022 |
|
Average Balance Sheet
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
157,862 |
|
|
$ |
153,464 |
|
|
$ |
154,150 |
|
|
$ |
154,543 |
|
|
$ |
189,542 |
|
Investment securities |
|
|
402,743 |
|
|
|
410,371 |
|
|
|
415,414 |
|
|
|
450,933 |
|
|
|
473,167 |
|
Loans held for sale |
|
|
37,031 |
|
|
|
29,578 |
|
|
|
37,945 |
|
|
|
94,811 |
|
|
|
114,223 |
|
Loans held for investment |
|
|
2,391,229 |
|
|
|
2,348,100 |
|
|
|
2,309,349 |
|
|
|
2,241,355 |
|
|
|
2,147,750 |
|
Assets |
|
|
3,196,593 |
|
|
|
3,150,436 |
|
|
|
3,124,928 |
|
|
|
3,146,841 |
|
|
|
3,128,864 |
|
Interest bearing deposits |
|
|
2,244,499 |
|
|
|
2,176,542 |
|
|
|
2,076,743 |
|
|
|
1,993,172 |
|
|
|
1,936,910 |
|
Deposits |
|
|
2,678,337 |
|
|
|
2,691,108 |
|
|
|
2,662,954 |
|
|
|
2,659,268 |
|
|
|
2,664,615 |
|
Federal Home Loan Bank advances and other borrowings |
|
|
126,397 |
|
|
|
62,585 |
|
|
|
74,812 |
|
|
|
88,584 |
|
|
|
70,516 |
|
Liabilities |
|
|
2,846,824 |
|
|
|
2,797,442 |
|
|
|
2,776,902 |
|
|
|
2,782,703 |
|
|
|
2,767,714 |
|
Shareholders' equity |
|
|
349,769 |
|
|
|
352,994 |
|
|
|
348,027 |
|
|
|
364,138 |
|
|
|
361,150 |
|
Performance
Ratios: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annualized return on average assets |
|
|
0.98 |
% |
|
|
0.83 |
% |
|
|
1.31 |
% |
|
|
1.01 |
% |
|
|
1.28 |
% |
Annualized return on average equity |
|
|
8.95 |
% |
|
|
7.41 |
% |
|
|
11.78 |
% |
|
|
8.76 |
% |
|
|
11.08 |
% |
Net interest margin (1) |
|
|
3.06 |
% |
|
|
3.24 |
% |
|
|
3.44 |
% |
|
|
3.50 |
% |
|
|
3.41 |
% |
Annualized noninterest income to average assets |
|
|
0.78 |
% |
|
|
0.81 |
% |
|
|
0.80 |
% |
|
|
0.41 |
% |
|
|
0.75 |
% |
Efficiency ratio |
|
|
66.61 |
% |
|
|
64.60 |
% |
|
|
53.23 |
% |
|
|
62.21 |
% |
|
|
56.32 |
% |
Loans by Type (at
period end): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Commercial and industrial |
|
$ |
518,136 |
|
|
$ |
534,521 |
|
|
$ |
496,347 |
|
|
$ |
499,048 |
|
|
$ |
510,987 |
|
Commercial real estate - owner occupied |
|
|
275,712 |
|
|
|
276,515 |
|
|
|
246,109 |
|
|
|
235,519 |
|
|
|
241,461 |
|
Commercial real estate - non-owner occupied |
|
|
802,574 |
|
|
|
840,755 |
|
|
|
803,611 |
|
|
|
832,156 |
|
|
|
786,610 |
|
Construction and development |
|
|
230,859 |
|
|
|
209,556 |
|
|
|
229,972 |
|
|
|
198,869 |
|
|
|
205,573 |
|
Consumer real estate |
|
|
429,517 |
|
|
|
425,649 |
|
|
|
402,615 |
|
|
|
386,628 |
|
|
|
357,849 |
|
Consumer |
|
|
52,759 |
|
|
|
55,125 |
|
|
|
53,382 |
|
|
|
52,715 |
|
|
|
53,227 |
|
Other |
|
|
49,371 |
|
|
|
65,207 |
|
|
|
80,762 |
|
|
|
85,334 |
|
|
|
79,126 |
|
Asset Quality
Data: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Allowance for credit losses on loans to total loans |
|
|
1.08 |
% |
|
|
1.05 |
% |
|
|
1.03 |
% |
|
|
0.98 |
% |
|
|
0.97 |
% |
Allowance for credit losses on loans to non-performing loans |
|
|
228 |
% |
|
|
249 |
% |
|
|
222 |
% |
|
|
333 |
% |
|
|
974 |
% |
Nonaccrual loans |
|
$ |
11,216 |
|
|
$ |
10,123 |
|
|
$ |
10,714 |
|
|
$ |
6,734 |
|
|
$ |
2,225 |
|
Loans - over 90 days past due |
|
|
1,815 |
|
|
|
1,182 |
|
|
|
10,222 |
|
|
|
6,096 |
|
|
|
494 |
|
Total non-performing loans |
|
|
11,216 |
|
|
|
10,123 |
|
|
|
10,714 |
|
|
|
6,734 |
|
|
|
2,225 |
|
OREO and repossessed assets |
|
|
11 |
|
|
|
— |
|
|
|
— |
|
|
|
165 |
|
|
|
165 |
|
Total non-performing assets |
|
|
11,227 |
|
|
|
10,123 |
|
|
|
10,714 |
|
|
|
6,899 |
|
|
|
2,390 |
|
Non-performing loans to total loans held for investment |
|
|
0.48 |
% |
|
|
0.42 |
% |
|
|
0.46 |
% |
|
|
0.29 |
% |
|
|
0.10 |
% |
Non-performing assets to total assets |
|
|
0.35 |
% |
|
|
0.31 |
% |
|
|
0.34 |
% |
|
|
0.22 |
% |
|
|
0.08 |
% |
Non-performing assets to total loans held for investment and
OREO |
|
|
0.48 |
% |
|
|
0.42 |
% |
|
|
0.46 |
% |
|
|
0.30 |
% |
|
|
0.11 |
% |
Annualized net charge-offs to average loans |
|
|
0.03 |
% |
|
|
0.03 |
% |
|
|
0.03 |
% |
|
|
0.02 |
% |
|
|
0.00 |
% |
Net charge-offs |
|
$ |
184 |
|
|
$ |
165 |
|
|
$ |
172 |
|
|
$ |
120 |
|
|
$ |
16 |
|
Interest Rates and
Yields: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans |
|
|
5.79 |
% |
|
|
5.49 |
% |
|
|
5.03 |
% |
|
|
4.62 |
% |
|
|
4.25 |
% |
Securities (1) |
|
|
2.64 |
% |
|
|
2.52 |
% |
|
|
2.53 |
% |
|
|
2.29 |
% |
|
|
2.11 |
% |
Total interest-earning assets (1) |
|
|
5.33 |
% |
|
|
4.99 |
% |
|
|
4.66 |
% |
|
|
4.17 |
% |
|
|
3.69 |
% |
Deposits |
|
|
2.26 |
% |
|
|
1.77 |
% |
|
|
1.20 |
% |
|
|
0.62 |
% |
|
|
0.23 |
% |
Borrowings and repurchase agreements |
|
|
5.16 |
% |
|
|
5.09 |
% |
|
|
4.22 |
% |
|
|
3.41 |
% |
|
|
2.79 |
% |
Total interest-bearing liabilities |
|
|
2.83 |
% |
|
|
2.28 |
% |
|
|
1.63 |
% |
|
|
0.93 |
% |
|
|
0.41 |
% |
Other Information: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Full-time equivalent employees |
|
|
381 |
|
|
|
401 |
|
|
|
397 |
|
|
|
387 |
|
|
|
391 |
|
_____________________This information is preliminary and based
on CapStar data available at the time of this earnings release.
(1) Net Interest Margin, Securities yields, and
Total interest-earning asset yields are calculated on a
tax-equivalent basis.
CAPSTAR FINANCIAL HOLDINGS, INC. AND
SUBSIDIARYAnalysis of Interest Income and Expense,
Rates and Yields (unaudited) (dollars in
thousands)Second quarter 2023 Earnings
Release
|
|
For the Three Months Ended June 30, |
|
|
|
2023 |
|
|
2022 |
|
|
|
AverageOutstandingBalance |
|
|
InterestIncome/Expense |
|
|
AverageYield/Rate |
|
|
AverageOutstandingBalance |
|
|
InterestIncome/Expense |
|
|
AverageYield/Rate |
|
Interest-Earning Assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loans (1) |
|
$ |
2,391,229 |
|
|
$ |
34,494 |
|
|
|
5.79 |
% |
|
$ |
2,147,750 |
|
|
$ |
22,755 |
|
|
|
4.25 |
% |
Loans held for sale |
|
|
37,031 |
|
|
|
321 |
|
|
|
3.48 |
% |
|
|
114,223 |
|
|
|
1,020 |
|
|
|
3.58 |
% |
Securities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Taxable investment securities (2) |
|
|
349,701 |
|
|
|
2,273 |
|
|
|
2.60 |
% |
|
|
417,526 |
|
|
|
2,095 |
|
|
|
2.01 |
% |
Investment securities exempt from federal income tax (3) |
|
|
53,042 |
|
|
|
308 |
|
|
|
2.94 |
% |
|
|
55,641 |
|
|
|
319 |
|
|
|
2.92 |
% |
Total securities |
|
|
402,743 |
|
|
|
2,581 |
|
|
|
2.64 |
% |
|
|
473,167 |
|
|
|
2,414 |
|
|
|
2.11 |
% |
Cash balances in other banks |
|
|
130,711 |
|
|
|
1,823 |
|
|
|
5.59 |
% |
|
|
144,533 |
|
|
|
286 |
|
|
|
0.80 |
% |
Funds sold |
|
|
3,593 |
|
|
|
68 |
|
|
|
7.59 |
% |
|
|
7,950 |
|
|
|
14 |
|
|
|
0.70 |
% |
Total interest-earning
assets |
|
|
2,965,307 |
|
|
|
39,287 |
|
|
|
5.33 |
% |
|
|
2,887,623 |
|
|
|
26,489 |
|
|
|
3.69 |
% |
Noninterest-earning assets |
|
|
231,286 |
|
|
|
|
|
|
|
|
|
241,241 |
|
|
|
|
|
|
|
Total assets |
|
$ |
3,196,593 |
|
|
|
|
|
|
|
|
$ |
3,128,864 |
|
|
|
|
|
|
|
Interest-Bearing
Liabilities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing deposits: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing transaction accounts |
|
$ |
853,818 |
|
|
|
4,474 |
|
|
|
2.10 |
% |
|
$ |
915,837 |
|
|
|
638 |
|
|
|
0.28 |
% |
Savings and money market deposits |
|
|
597,860 |
|
|
|
3,254 |
|
|
|
2.18 |
% |
|
|
670,144 |
|
|
|
467 |
|
|
|
0.28 |
% |
Time deposits |
|
|
792,821 |
|
|
|
7,363 |
|
|
|
3.73 |
% |
|
|
350,929 |
|
|
|
454 |
|
|
|
0.52 |
% |
Total interest-bearing deposits |
|
|
2,244,499 |
|
|
|
15,091 |
|
|
|
2.70 |
% |
|
|
1,936,910 |
|
|
|
1,559 |
|
|
|
0.32 |
% |
Borrowings and repurchase agreements |
|
|
126,397 |
|
|
|
1,625 |
|
|
|
5.16 |
% |
|
|
70,516 |
|
|
|
490 |
|
|
|
2.79 |
% |
Total interest-bearing
liabilities |
|
|
2,370,896 |
|
|
|
16,716 |
|
|
|
2.83 |
% |
|
|
2,007,426 |
|
|
|
2,049 |
|
|
|
0.41 |
% |
Noninterest-bearing deposits |
|
|
433,838 |
|
|
|
|
|
|
|
|
|
727,705 |
|
|
|
|
|
|
|
Total funding sources |
|
|
2,804,734 |
|
|
|
|
|
|
|
|
|
2,735,131 |
|
|
|
|
|
|
|
Noninterest-bearing liabilities |
|
|
42,090 |
|
|
|
|
|
|
|
|
|
32,583 |
|
|
|
|
|
|
|
Shareholders’ equity |
|
|
349,769 |
|
|
|
|
|
|
|
|
|
361,150 |
|
|
|
|
|
|
|
Total liabilities and
shareholders’ equity |
|
$ |
3,196,593 |
|
|
|
|
|
|
|
|
$ |
3,128,864 |
|
|
|
|
|
|
|
Net interest spread (4) |
|
|
|
|
|
|
|
|
2.50 |
% |
|
|
|
|
|
|
|
|
3.28 |
% |
Net interest income/margin
(5) |
|
|
|
|
$ |
22,571 |
|
|
|
3.06 |
% |
|
|
|
|
$ |
24,440 |
|
|
|
3.41 |
% |
_____________________(1) Average loan balances
include nonaccrual loans. Interest income on loans includes
amortization of deferred loan fees, net of deferred loan
costs.(2) Taxable investment securities include
restricted equity securities.(3) Yields on tax
exempt securities, total securities, and total interest-earning
assets are shown on a tax equivalent basis.(4) Net
interest spread is the average yield on total average
interest-earning assets minus the average rate on total average
interest-bearing liabilities.(5) Net interest
margin is annualized net interest income calculated on a tax
equivalent basis divided by total average interest-earning assets
for the period.
This information is preliminary and based on CapStar data
available at the time of this earnings release.
CAPSTAR FINANCIAL HOLDINGS, INC. AND
SUBSIDIARYNon-GAAP Financial Measures (unaudited)
(dollars in thousands except share data)Second
quarter 2023 Earnings Release
|
|
For the three months ended |
|
|
For the six months ended |
|
|
|
6/30/2023 |
|
|
3/31/2023 |
|
|
12/31/2022 |
|
|
9/30/2022 |
|
|
6/30/2022 |
|
|
6/30/2023 |
|
|
6/30/2022 |
|
Annualized pretax
preprovision return on assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annualized return on assets (GAAP) |
|
|
0.98 |
% |
|
|
0.83 |
% |
|
|
1.31 |
% |
|
|
1.01 |
% |
|
|
1.28 |
% |
|
|
0.91 |
% |
|
|
1.33 |
% |
Effect of income tax and provision expense |
|
|
0.23 |
% |
|
|
0.51 |
% |
|
|
0.55 |
% |
|
|
0.36 |
% |
|
|
0.42 |
% |
|
|
0.36 |
% |
|
|
0.32 |
% |
Annualized pretax preprovision return on assets |
|
|
1.21 |
% |
|
|
1.34 |
% |
|
|
1.86 |
% |
|
|
1.37 |
% |
|
|
1.70 |
% |
|
|
1.27 |
% |
|
|
1.65 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annualized return on
tangible common equity |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annualized return on equity (GAAP) |
|
|
8.95 |
% |
|
|
7.41 |
% |
|
|
11.78 |
% |
|
|
8.76 |
% |
|
|
11.08 |
% |
|
|
8.18 |
% |
|
|
11.24 |
% |
Effect of goodwill and other intangibles |
|
|
1.34 |
% |
|
|
1.10 |
% |
|
|
1.81 |
% |
|
|
1.29 |
% |
|
|
1.66 |
% |
|
|
1.22 |
% |
|
|
1.64 |
% |
Return on tangible common equity |
|
|
10.29 |
% |
|
|
8.51 |
% |
|
|
13.59 |
% |
|
|
10.05 |
% |
|
|
12.74 |
% |
|
|
9.40 |
% |
|
|
12.88 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible book value
per share of common stock |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Book value per share of common stock (GAAP) |
|
$ |
16.64 |
|
|
$ |
16.57 |
|
|
$ |
16.31 |
|
|
$ |
15.84 |
|
|
$ |
16.31 |
|
|
$ |
16.64 |
|
|
$ |
16.31 |
|
Effect of goodwill and other intangibles |
|
|
(2.17 |
) |
|
|
(2.14 |
) |
|
|
(2.12 |
) |
|
|
(2.12 |
) |
|
|
(2.14 |
) |
|
|
(2.17 |
) |
|
|
(2.14 |
) |
Tangible book value per share of common stock |
|
$ |
14.47 |
|
|
$ |
14.43 |
|
|
$ |
14.19 |
|
|
$ |
13.72 |
|
|
$ |
14.17 |
|
|
$ |
14.47 |
|
|
$ |
14.17 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible book value
per share of common stock less after-tax unrealized available for
sale investment losses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible book value per share of common stock |
|
$ |
14.47 |
|
|
$ |
14.43 |
|
|
$ |
14.19 |
|
|
$ |
13.72 |
|
|
$ |
14.17 |
|
|
$ |
14.47 |
|
|
$ |
14.17 |
|
Effect of after-tax unrealized losses |
|
|
2.48 |
|
|
|
2.13 |
|
|
|
2.38 |
|
|
|
2.44 |
|
|
|
1.69 |
|
|
|
2.48 |
|
|
|
1.69 |
|
Tangible book value per share of common stock less after-tax
unrealized available for sale investment losses |
|
$ |
16.95 |
|
|
$ |
16.56 |
|
|
$ |
16.57 |
|
|
$ |
16.16 |
|
|
$ |
15.86 |
|
|
$ |
16.95 |
|
|
$ |
15.86 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common equity
to tangible assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity to Assets (GAAP) |
|
|
10.93 |
% |
|
|
10.95 |
% |
|
|
11.36 |
% |
|
|
10.97 |
% |
|
|
11.55 |
% |
|
|
10.93 |
% |
|
|
11.55 |
% |
Effect of goodwill and other intangibles |
|
|
(1.29 |
)% |
|
|
(1.28 |
)% |
|
|
(1.33 |
)% |
|
|
(1.32 |
)% |
|
|
(1.36 |
)% |
|
|
1.29 |
% |
|
|
1.36 |
% |
Tangible common equity to tangible assets |
|
|
9.64 |
% |
|
|
9.67 |
% |
|
|
10.03 |
% |
|
|
9.65 |
% |
|
|
10.19 |
% |
|
|
9.64 |
% |
|
|
10.19 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common equity
to tangible assets less after-tax unrealized available for sale
investment losses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tangible common equity to tangible assets |
|
|
9.64 |
% |
|
|
9.67 |
% |
|
|
10.03 |
% |
|
|
9.65 |
% |
|
|
10.19 |
% |
|
|
9.64 |
% |
|
|
10.19 |
% |
Effect of after-tax unrealized losses |
|
|
1.47 |
% |
|
|
1.27 |
% |
|
|
1.49 |
% |
|
|
1.52 |
% |
|
|
1.08 |
% |
|
|
1.47 |
% |
|
|
1.08 |
% |
Tangible common equity to tangible assets less after-tax unrealized
available for sale investment losses |
|
|
11.11 |
% |
|
|
10.94 |
% |
|
|
11.52 |
% |
|
|
11.17 |
% |
|
|
11.27 |
% |
|
|
11.11 |
% |
|
|
11.27 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted annualized
noninterest expense as a percentage of average assets |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Annualized noninterest expense as a percentage of average
assets |
|
|
2.41 |
% |
|
|
2.45 |
% |
|
|
2.11 |
% |
|
|
2.26 |
% |
|
|
2.19 |
% |
|
|
2.43 |
% |
|
|
2.23 |
% |
Effect of operational recoveries (losses) |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.09 |
% |
|
|
-0.28 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
Effect of the reversal of executive incentives |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.10 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
|
|
0.00 |
% |
Adjusted annualized noninterest expense as a percentage of average
assets |
|
|
2.41 |
% |
|
|
2.45 |
% |
|
|
2.20 |
% |
|
|
2.08 |
% |
|
|
2.19 |
% |
|
|
2.43 |
% |
|
|
2.23 |
% |
About CapStar Financial Holdings, Inc.
CapStar Financial Holdings, Inc. is a bank holding company
headquartered in Nashville, Tennessee and operates primarily
through its wholly owned subsidiary, CapStar Bank, a
Tennessee-chartered state bank. CapStar Bank is a commercial bank
that seeks to establish and maintain comprehensive relationships
with its clients by delivering customized and creative banking
solutions and superior client service. As of June 30, 2023, on
a consolidated basis, CapStar had total assets of $3.2 billion,
total loans of $2.4 billion, total deposits of $2.7 billion, and
shareholders’ equity of $347.5 million. Visit www.capstarbank.com
for more information.
NON-GAAP MEASURES
Certain releases may include financial information determined by
methods other than in accordance with generally accepted accounting
principles (“GAAP”). This financial information may include certain
operating performance measures, which exclude charges that are not
considered part of recurring operations. Such measures may include:
“Annualized pre-tax pre-provision return on assets”, “Annualized
return on tangible common equity”, “Tangible book value per share
of common stock,” “Tangible book value per share of common stock
less after-tax unrealized losses”, “Tangible common equity to
tangible assets”, “Tangible common equity to tangible assets less
after-tax unrealized available for sale investment losses”,
“Adjusted annualized noninterest expense as a percentage of average
assets”, or other measures.
Management may include these non-GAAP measures because it
believes these measures may provide useful supplemental information
for evaluating CapStar’s underlying performance trends. Further,
management uses these measures in managing and evaluating CapStar’s
business and intends to refer to them in discussions about our
operations and performance. Operating performance measures should
be viewed in addition to, and not as an alternative to or
substitute for, measures determined in accordance with GAAP, and
are not necessarily comparable to non-GAAP measures that may be
presented by other companies. To the extent applicable,
reconciliations of these non-GAAP measures to the most directly
comparable GAAP measures can be found in the ‘Non-GAAP
Reconciliation Tables’ included in the exhibits to this
presentation.
FORWARD-LOOKING STATEMENTSThis investor
presentation contains forward-looking statements, as defined by
federal securities laws, including statements about CapStar
Financial Holdings, Inc. (“CapStar”) and its financial outlook and
business environment. All statements, other than statements of
historical fact, included in this release and any oral statements
made regarding the subject of this release, including in the
conference call referenced herein, that address activities, events
or developments that the Company expects, believes or anticipates
will or may occur in the future are “forward-looking statements“
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, and are made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1955. The words
“expect“, “anticipate”, “intend”, “may”, “should”, “plan”,
“believe”, “seek“, “estimate“ and similar expressions are intended
to identify such forward-looking statements, but other statements
not based on historical information may also be considered
forward-looking statements. These forward-looking statements are
subject to known and unknown risks, uncertainties and other factors
that could cause the actual results to differ materially from the
statements, including, but not limited to: (I) deterioration in the
financial condition of borrowers of the Company and its
subsidiaries, resulting in significant increases in loan losses and
provisions for those losses; (II) the ability to grow and retain
low-cost, core deposits and retain large, uninsured deposits,
including during times when the Company is seeking to lower rates
it pays on deposits; (III) the impact of competition with other
financial institutions, including pricing pressures and the
resulting impact on the Company’s results, including as a result of
compression to net interest margin; (IV) fluctuations or
differences in interest rates on loans or deposits from those that
the Company is modeling or anticipating, including as a result of
the Company’s inability to better match deposit rates with the
changes in the short term rate environment, or that affect the
yield curve; (V) difficulties and delays in integrating required
businesses or fully realizing cost savings or other benefits from
acquisitions; (VI) the Company‘s ability to profitably grow its
business and successfully execute on its business plans; (VII) any
matter that would cause the Company to conclude that there was
impairment of any asset, including goodwill or other intangible
assets; (VIII) the vulnerability of the Company’s network and
online banking portals, and the systems of customers or parties
with whom the Company contracts, to unauthorized access, computer
viruses, phishing schemes, spam attacks, human error, natural
disasters, power loss and other security breaches; (IX) the
availability of and access to capital; and (X) general competitive,
economic, political and market conditions. Additional factors which
could affect the forward-looking statements can be found in the
Company’s Annual Report on Form 10-K, Quarterly Reports on Form
10-Q, and Current Reports on Form 8-K, filed with the SEC. The
Company disclaims any obligation to update or revise any
forward-looking statements contained in this press release (we
speak only as of the date hereof ), whether as a result of new
information, future events, or otherwise.
CONTACT
Michael J. FowlerChief Financial
Officer(615) 732-7404
CapStar Financial (NASDAQ:CSTR)
Gráfica de Acción Histórica
De Abr 2024 a May 2024
CapStar Financial (NASDAQ:CSTR)
Gráfica de Acción Histórica
De May 2023 a May 2024