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Truxton Corporation Reports First Quarter 2025 Results

NASHVILLE, Tenn., April 24, 2025 (GLOBE NEWSWIRE) — Truxton Corporation, the parent company for Truxton Trust Company (“Truxton” or “the Bank”) and subsidiaries, announced its operating results for the quarter ended March 31, 2025. First quarter net income attributable to common shareholders was $5.1 million, or $1.75 per diluted share, compared to $4.3 million, or $1.48 per diluted share, for the same quarter in 2024. Net income and fully diluted earnings per share for the quarter rose by 17% and 18%, respectively, compared to the first quarter of 2024.

“We are pleased to start 2025 with another quarter of financial growth lead by our core businesses,” said Chairman and CEO Tom Stumb. “Net Interest Income increased by 18% compared to the first quarter of 2024 while non-interest income increased by 23%. We achieved another quarterly earnings high-water mark while continuing to invest in technology and human capital to better serve our clients.”

Key Highlights

  • Non-interest income totaled $6.4 million in the first quarter of 2025, which was $657 thousand higher than the fourth quarter of 2024 and $1.2 million over the first quarter of 2024. Wealth revenue in the first quarter of 2025 was $5.3 million, up 2% from the fourth quarter of 2024 and 8% from the first quarter of 2024. Other non-interest income was elevated due to capital advisory fee revenue associated with a successful sell-side engagement.
  • Loans increased by 5% to $702 million at quarter end compared to $670 million on December 31, 2024, and were up 6% compared to $660 million on March 31, 2024.
  • Total deposits increased by 19% from $866 million at December 31, 2024, to $1.03 billion at March 31, 2025, and were 21% higher in comparison to $850 million at March 31, 2024. Truxton continues to fund its growth from a single banking location led by its commitment to provide what it believes is superior deposit operations service and technology.
  • Net interest margin for the first quarter of 2025 was 2.90%, an increase of 11 basis points from the 2.79% experienced in the quarter ended December 31, 2024, and an increase of 28 basis points from the 2.62% in the quarter ended March 31, 2024. Cost of funds was 2.91% in the first quarter of 2025, down from 3.08% for the quarter ended December 31, 2024, and down from 3.33% for the quarter ended March 31, 2024.
  • Allowance for credit losses, excluding that for unfunded commitments, was $6.7 million at quarter end March 31, 2025, compared to $6.4 million at December 31, 2024, and $6.3 million at March 31, 2024. For each of those three periods, such allowance amounts were 0.96% of gross loans outstanding at period end. For the same three periods, the Bank’s allowance for unfunded commitments was $589 thousand, $483 thousand, and $374 thousand, respectively.
  • The Bank’s capital position remains strong. Its Tier 1 leverage ratio was 10.46% at March 31, 2025, compared to 10.63% at December 31, 2024, and 10.53% at March 31, 2024. Book value per common share was $34.46, $34.42, and $30.62 at March 31, 2025, December 31, 2024, and March 31, 2024, respectively.
  • During the three months ended March 31, 2025, Truxton Corporation paid dividends of $1.50 per common share, inclusive of a $1.00 special cash dividend, and repurchased 5,000 shares of its common stock for $400 thousand in aggregate, or an average price of $80.00 per share.

About Truxton
Truxton is a premier provider of wealth, banking, and family office services for wealthy individuals, their families, and their business interests. Serving clients across the world, Truxton’s vastly experienced team of professionals provides customized solutions to its clients’ complex financial needs. Founded in 2004 in Nashville, Tennessee, Truxton upholds its original guiding principle: do the right thing. Truxton Trust Company is a subsidiary of financial holding company, Truxton Corporation TRUX. For more information, visit truxtontrust.com.

Investor Relations
Austin Branstetter 
615-250-0783  
austin.branstetter@truxtontrust.com
Media Relations
Swan Burrus
615-250-0773
swan.burrus@truxtontrust.com
Truxton Corporation
Consolidated Balance Sheets
(000’s)
(Unaudited)
       
  March 31,
2025*
December 31,
2024
March 31,
2024*
ASSETS      
Cash and due from financial institutions $ 10,704   $ 4,225   $ 4,909  
Interest bearing deposits in other financial institutions   24,887     25,698     34,361  
Federal funds sold   10,231     4,054     6,733  
Cash and cash equivalents   45,822     33,977     46,003  
       
Time deposits in other financial institutions       245     490  
Securities available for sale   414,190     258,322     256,517  
       
Gross loans, excluding Paycheck Protection Program   701,660     669,962     659,622  
Allowance for credit losses**   (6,708 )   (6,433 )   (6,324 )
Paycheck Protection Program Loans       20     48  
Net loans   694,952     663,549     653,346  
       
Bank owned life insurance   16,863     16,722     10,865  
Restricted equity securities   3,718     2,272     1,822  
Premises and equipment, net   3,176     3,293     2,089  
Accrued interest receivable   4,989     4,567     4,522  
Deferred tax asset, net   5,297     5,257     5,576  
Other assets   14,440     15,577     16,484  
       
Total assets $ 1,203,447   $ 1,003,781   $ 997,714  
       
       
LIABILITIES AND SHAREHOLDERS’ EQUITY      
Deposits      
Non-interest bearing $ 127,851   $ 126,016   $ 126,838  
Interest bearing $ 900,489   $ 740,406   $ 723,645  
Total deposits   1,028,340     866,422     850,483  
       
Federal funds purchased            
Swap counterparty cash collateral   2,790     4,230     5,570  
Federal Home Loan Bank advances   45,000     8,250     3,250  
Federal Reserve Bank borrowings   2,400         22,700  
Subordinated debt   14,439     14,426     14,514  
Other liabilities   11,154     11,747     11,706  
Total liabilities   1,104,123     905,075     908,223  
       
SHAREHOLDERS’ EQUITY      
Common stock, $0.10 par value $ 284   $ 286   $ 290  
Additional paid-in capital   28,957     28,945     31,881  
Retained earnings   75,396     61,316     65,035  
Accumulated other comprehensive income (loss)   (10,365 )   (10,252 )   (12,055 )
Net Income $ 5,052   $ 18,411   $ 4,340  
Total shareholders’ equity   99,324     98,706     89,491  
       
Total liabilities and shareholders’ equity $ 1,203,447   $ 1,003,781   $ 997,714  
       
*The information is preliminary, unaudited and based on company data available at the time of presentation. **Truxton adopted the Current Expected Credit Loss methodology as of January 1, 2023. The total excludes reserve for credit losses on unfunded commitments recorded in Other liabilities.
Truxton Corporation
Consolidated Statements of Net Income
(000’s)
(Unaudited)
           
  Three Months Ended
  March 31,
2025*
  December 31,
2024*
  March 31,
2024*
Non-interest income          
Wealth management services $ 5,338   $ 5,242     $ 4,907  
Capital advisory fees   555     70       40  
Service charges on deposit accounts   45     85       91  
Securities gains (losses), net   0     (122 )     0  
Bank owned life insurance income   142     124       58  
Other   297     321       68  
Total non-interest income   6,377     5,720       5,164  
           
Interest income          
Loans, including fees $ 10,378   $ 10,354     $ 10,357  
Taxable securities   3,371     3,039       2,599  
Tax-exempt securities   182     217       188  
Interest bearing deposits   331     348       231  
Federal funds sold   34     75       41  
Total interest income   14,296     14,033       13,414  
           
Interest expense          
Deposits   6,599     6,798       6,450  
Short-term borrowings   60     90       618  
Long-term borrowings   199     85       15  
Subordinated debentures   188     188       188  
Total interest expense   7,046     7,161       7,270  
           
Net interest income   7,250     6,872       6,144  
           
Provision for credit losses   390     145       (6 )
           
Net interest income after provision for loan losses   6,860     6,727       6,150  
           
Total revenue, net   13,237     12,447       11,314  
           
Non interest expense          
Salaries and employee benefits   5,127     4,635       4,076  
Occupancy   351     326       453  
Furniture and equipment   109     107       4  
Data processing   407     282       418  
Wealth management processing fees   215     195       214  
Advertising and public relations   53     96       34  
Professional services   222     247       209  
FDIC insurance assessments   108     33       190  
Other   391     291       278  
Total non interest expense   6,983     6,212       5,877  
    0        
Income before income taxes   6,254     6,235       5,438  
           
Income tax expense   1,202     1,242       1,104  
           
Net income $ 5,052   $ 4,993     $ 4,334  
           
Earnings per share:          
Basic $ 1.75   $ 1.74     $ 1.49  
Diluted $ 1.75   $ 1.74     $ 1.48  
 
*The information is preliminary, unaudited and based on company data available at the time of presentation. Totals may not foot due to rounding.
Truxton Corporation
Selected Quarterly Financial data
At Or For The Three Months Ended
(000’s)
(Unaudited)
       
  March 31,
2024*
December 31,
2024*
March 31,
2024*
       
Per Common Share Data      
Net income attributable to shareholders, per share      
Basic $1.75 $1.74 $1.49
Diluted $1.75 $1.74 $1.48
Book value per common share $34.46 $34.42 $30.62
Tangible book value per common share $34.46 $34.42 $30.62
Basic weighted average common shares 2,793,834 2,787,805 2,831,217
Diluted weighted average common shares 2,797,388 2,792,363 2,838,003
Common shares outstanding at period end 2,882,241 2,867,850 2,922,761
       
       
Selected Balance Sheet Data      
Tangible common equity (TCE) ratio 8.25% 9.83% 8.97%
Average Loans $691,360 $667,957 $656,790
Average earning assets (1) $1,047,778 $998,861 $958,138
Average total assets $1,085,506 $1,025,415 $970,228
Average shareholders’ equity $99,923 $97,026 $89,441
       
       
Selected Asset Quality Measures      
Nonaccrual loans $0 $0 $0
90+ days past due still accruing $0 $11 $0
Total nonperforming loans $0 $11 $0
Total nonperforming assets $0 $11 $0
Net charge offs (recoveries) $8 $4 $11
Nonperforming loans to assets 0.00% 0.00% 0.00%
Nonperforming assets to total assets 0.00% 0.00% 0.00%
Nonperforming assets to total loans and other real estate 0.00% 0.00% 0.00%
Allowance for credit losses to total loans** 0.96% 0.96% 0.96%
Net charge offs to average loans 0.00% 0.00% 0.00%
       
       
Capital Ratios (Bank Subsidiary Only)      
Tier 1 leverage 10.46% 10.63% 10.53%
Common equity tier 1 13.82% 15.19% 14.58%
Total risk-based capital 14.73% 16.15% 15.53%
       
Selected Performance Ratios      
Efficiency ratio 51.2% 48.5% 51.5%
Return on average assets (ROA) 1.89% 1.94% 1.80%
Return on average shareholders’ equity (ROE) 20.50% 20.47% 19.52%
Return on average tangible common equity (ROTCE) 20.50% 20.47% 19.52%
Net interest margin 2.90% 2.79% 2.62%
       
*The information is preliminary, unaudited and based on company data available at the time of presentation.
(1) Average earning assets is the daily average of earning assets. Earning assets consists of loans, mortgage loans held for sale, federal funds sold, deposits with banks, and investment securities.
Truxton Corporation  
Yield Tables  
For The Periods Indicated  
(000’s)  
(Unaudited)  
                         
The following table sets forth the amount of our average balances, interest income or interest expense for each category of interest earning assets and interest bearing liabilities and the average interest rate for interest earning assets and interest bearing liabilities, net interest spread and net interest margin for the periods indicated below:  
  Three Months Ended   Three Months Ended   Three Months Ended  
  March 31, 2024*   December 31, 2024*   March 31, 2024*  
                         
  Average Balances Rates/ Yields (%) Interest Income/ Expense   Average Balances Rates/ Yields (%) Interest Income/ Expense   Average Balances Rates/ Yields (%) Interest Income/ Expense  
                         
Earning Assets                        
Loans $691,360   6.04 $10,300   $667,957   6.08 $10,215   $656,790   6.28 $10,261  
Loan fees $0   0.16 $271   $0   0.09 $146   $0   0.06 $95  
Loans with fees $691,360   6.2 $10,571     667,957   6.17 $10,361   $656,790   6.34 $10,356  
Mortgage loans held for sale $0   0.00 $0   $0   0.00 $0   $0   0.00 $0  
Federal funds sold $3,308   4.15 $34   $6,232   4.71 $75   $3,255   4.93 $41  
Deposits with banks $29,756   4.51 $331   $28,570   4.85 $348   $19,536   4.75 $231  
Investment securities – taxable $291,104   4.63 $3,371   $260,605   4.66 $3,039   $245,516   4.23 $2,599  
Investment securities – tax-exempt $32,250   3.37 $182   $35,497   3.65 $217   $33,041   3.4 $188  
Total Earning Assets $1,047,778   5.62 $14,489   $998,861   5.64 $14,040   $958,138   5.66 $13,415  
Non interest earning assets                        
Allowance for loan losses   (6,618)           (6,359)           (6,309)        
Cash and due from banks $17,307         $5,985         $5,270        
Premises and equipment $3,249         $3,305         $1,260        
Accrued interest receivable $3,608         $3,721         $3,478        
Other real estate $0         $0         $0        
Other assets $37,447         $36,453         $30,494        
Unrealized gain (loss) on inv. securities   (17,265)           (16,551)           (22,103)        
Total Assets $1,085,506         $1,025,415         $970,228        
Interest bearing liabilities                        
Interest bearing demand $326,793   3.04 $2,448   $329,625   3.26 $2,703   $330,343   3.53 $2,898  
Savings and money market $229,304   2.63 $1,486   $200,257   2.83 $1,427   $162,640   3.4 $1,375  
Time deposits – retail $12,965   3.61 $115   $13,170   3.39 $112   $15,557   3.43 $133  
Time deposits – wholesale $241,662   4.28 $2,550   $228,144   4.46 $2,556   $173,570   4.74 $2,044  
Total interest bearing deposits $810,724   3.3 $6,599   $771,196   3.51 $6,798   $682,110   3.8 $6,450  
Federal Home Loan Bank advances $20,369   3.9 $199   $9,554   3.48 $85   $3,401   1.7 $15  
Subordinated debt $14,687   5.09 $188   $14,520   5.08 $188   $14,610   5.09 $188  
Other borrowings $9,419   4.12 $60   $12,369   4.04 $90   $57,060   4.28 $618  
Total borrowed funds $44,475   4.02 $447   $36,443   3.90 $363   $75,071   4.32 $821  
Total interest bearing liabilities $855,199   3.34 $7,046   $807,639   3.52 $7,161   $757,181   3.85 $7,271  
Net interest rate spread   2.28 $7,443     2.12 $6,879     1.81 $6,144  
Non-interest bearing deposits $126,049         $115,593         $118,809        
Other liabilities $4,335         $5,157         $4,797        
Shareholder’s equity $99,923         $97,026         $89,441        
Total Liabilities and Shareholder’s Equity $1,085,506         $1,025,415         $970,228        
Cost of funds   2.91       3.08       3.33    
Net interest margin   2.90       2.79       2.62    
                         
*The information is preliminary, unaudited and based on company data available at the time of presentation. Totals may not foot due to rounding.      
                         
Yield Table Assumptions – Average loan balances are inclusive of nonperforming loans. Yields computed on tax-exempt instruments are on a tax equivalent basis. Net interest spread is calculated as the yields realized on interest-bearing assets less the rates paid on interest-bearing liabilities. Net interest margin is the result of net interest income calculated on a tax-equivalent basis divided by average interest earning assets for the period. Changes in net interest income are attributed to either changes in average balances (volume change) or changes in average rates (rate change) for earning assets and sources of funds on which interest is received or paid. Volume change is calculated as change in volume times the previous rate while rate change is change in rate times the previous volume. Changes not due solely to volume or rate changes are allocated to volume change and rate change in proportion to the relationship of the absolute dollar amounts of the change in each category.  


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