Prosperity Bancshares Inc (PB) Q3 2024 Earnings Call Highlights: Strong Financial Performance ...

GuruFocus.com10-24

Net Income: $127 million for Q3 2024, up from $112 million in Q3 2023. Earnings Per Share (EPS): $1.34 for Q3 2024, compared to $1.20 in Q3 2023, an 11.7% increase. Net Interest Margin: 2.95% for Q3 ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2477576512?lang=en_US&edition=fundamental","thumbnail":"https://s.yimg.com/uu/api/res/1.2/hc9hjwblg_T8tBpS4bPzlw--~B/aD04Mzt3PTIyMDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/us.finance.gurufocus/ba2d9ee6ef705ba53b3c64cdd13f0bdd","is_english":true,"pubTime":"2024-10-24 15:09","share_image_url":"https://static.laohu8.com/5f26f4a48f9cb3e29be4d71d3ba8c038","id":"2477576512","market":"us","top_or_hot":-1,"title":"Prosperity Bancshares Inc (PB) Q3 2024 Earnings Call Highlights: Strong Financial Performance ...","media":"GuruFocus.com","content":"<div>\n<p>Net Income: $127 million for Q3 2024, up from $112 million in Q3 2023.\nEarnings Per Share (EPS): $1.34 for Q3 2024, compared to $1.20 in Q3 2023, an 11.7% increase.\nNet Interest Margin: 2.95% for Q3 ...</p>\n\n<a href=\"https://finance.yahoo.com/news/prosperity-bancshares-inc-pb-q3-070954222.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Prosperity Bancshares Inc (PB) Q3 2024 Earnings Call Highlights: Strong Financial Performance ...</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nProsperity Bancshares Inc (PB) Q3 2024 Earnings Call Highlights: Strong Financial Performance ...\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-24 15:09 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/prosperity-bancshares-inc-pb-q3-070954222.html><strong>GuruFocus.com</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Net Income: $127 million for Q3 2024, up from $112 million in Q3 2023.\nEarnings Per Share (EPS): $1.34 for Q3 2024, compared to $1.20 in Q3 2023, an 11.7% increase.\nNet Interest Margin: 2.95% for Q3 ...</p>\n\n<a href=\"https://finance.yahoo.com/news/prosperity-bancshares-inc-pb-q3-070954222.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"PB","symbol_name":"Prosperity Bancshares Inc","start_time":0,"source_url":"https://finance.yahoo.com/news/prosperity-bancshares-inc-pb-q3-070954222.html","article_id":"2477576512","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/hc9hjwblg_T8tBpS4bPzlw--~B/aD04Mzt3PTIyMDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/us.finance.gurufocus/ba2d9ee6ef705ba53b3c64cdd13f0bdd"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2477576512","pubTimestamp":1729753794,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"Net Income: $127 million for Q3 2024, up from $112 million in Q3 2023.Earnings Per Share : $1.34 for Q3 2024, compared to $1.20 in Q3 2023, an 11.7% increase.Net Interest Margin: 2.95% for Q3 2024, up from 2.72% in Q3 2023.Deposits: $28 billion as of September 30, 2024, a 2.8% increase from $27.3 billion on September 30, 2023.Nonperforming Assets: $89.9 million as of September 30, 2024, compared to $69.5 million on September 30, 2023.Net Interest Income: $261.7 million for Q3 2024, up from $239.5 million in Q3 2023.Noninterest Income: $41.1 million for Q3 2024, compared to $38.7 million in Q3 2023.Noninterest Expense: $140.3 million for Q3 2024, compared to $135.7 million in Q3 2023.Efficiency Ratio: 46.9% for Q3 2024, compared to 48.7% in Q3 2023.Return on Tangible Equity: 13.5% for Q3 2024.GuruFocus has detected 5 Warning Sign with PB.Prosperity Bancshares Inc  increased its quarterly dividend to $0.58 per share, reflecting confidence in the company's performance.The company reported","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":["earning"],"viewcount":null,"language":"en","relate_stocks":{"PB":"Prosperity Bancshares Inc"},"translate_title":"Prosperity Bancshares Inc(PB)2024年第三季度收益看涨期权亮点：强劲的财务业绩...","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"PB":1},"content_text":"Net Income: $127 million for Q3 2024, up from $112 million in Q3 2023.\nEarnings Per Share (EPS): $1.34 for Q3 2024, compared to $1.20 in Q3 2023, an 11.7% increase.\nNet Interest Margin: 2.95% for Q3 2024, up from 2.72% in Q3 2023.\nLoans: $22.3 billion as of September 30, 2024, a 4.4% increase from $21.4 billion on September 30, 2023.\nDeposits: $28 billion as of September 30, 2024, a 2.8% increase from $27.3 billion on September 30, 2023.\nNonperforming Assets: $89.9 million as of September 30, 2024, compared to $69.5 million on September 30, 2023.\nNet Interest Income: $261.7 million for Q3 2024, up from $239.5 million in Q3 2023.\nNoninterest Income: $41.1 million for Q3 2024, compared to $38.7 million in Q3 2023.\nNoninterest Expense: $140.3 million for Q3 2024, compared to $135.7 million in Q3 2023.\nEfficiency Ratio: 46.9% for Q3 2024, compared to 48.7% in Q3 2023.\nReturn on Tangible Equity: 13.5% for Q3 2024.\nReturn on Assets: 1.28% for Q3 2024.\n\n\nWarning! GuruFocus has detected 5 Warning Sign with PB.\n\nRelease Date: October 23, 2024\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.\n Positive Points \n\nProsperity Bancshares Inc (NYSE:PB) increased its quarterly dividend to $0.58 per share, reflecting confidence in the company's performance.\nThe company reported a net income of $127 million for Q3 2024, up from $112 million in Q3 2023, marking an 11.7% increase in net income per diluted common share.\nNet interest margin improved to 2.95% in Q3 2024 from 2.72% in Q3 2023, indicating better profitability from interest-earning activities.\nLoans increased by $948 million or 4.4% year-over-year, reaching $22.3 billion as of September 30, 2024.\nDeposits grew by $774 million or 2.8% year-over-year, reaching $28 billion, showing stability and growth in the deposit base.\n\n Negative Points \n\nNonperforming assets increased to $89.9 million in Q3 2024 from $69.5 million in Q3 2023, indicating a rise in asset quality concerns.\nNoninterest income decreased to $41.1 million in Q3 2024 from $46 million in Q2 2024, partly due to a lower net gain from Visa stock conversion.\nThe allowance for credit losses was significantly higher than nonperforming assets, suggesting potential future credit risks.\nLoan growth was negatively impacted by the runoff of loans acquired from First Capital, with a $161 million decrease excluding new production.\nThe company faced challenges in achieving loan growth due to economic uncertainties and higher interest rates, affecting borrowing activities.\n\n Q & A Highlights \nQ: You noted that NIM should continue to improve to more normal levels as assets reprice. How do you feel about the NIM guidepost that you've previously given? A: David Zalman, CEO: We are sticking with our previous guidance. We expect to exit our NIM at 3% by year-end. Our model shows an average of 3.27% for 2025, with a projection of 3.65% for 2026. These projections assume certain interest rate conditions, such as the Prime rate ending at 7.5% in 2024, 6.5% in 2025, and 6% in 2026.\nQ: In terms of the rate environment, what is the best rate environment for you to achieve that NIM of 3.5% or 3.4% in the medium term? A: David Zalman, CEO: Historically, our NIM doesn't change significantly with interest rate movements of up to 200 basis points. If rates stay where they are, we might have a slightly higher NIM. If they go up, it would be a bit higher, and if they go down, a bit lower. However, a change beyond 200 basis points might start to affect us more.\nQ: Can you provide commentary on deposit costs and whether we might see them decrease in the next few quarters? A: David Zalman, CEO: If interest rates remain stable, we should see some repricing on CDs, which could lower deposit costs. Our focus is on maintaining a strong net interest margin. Asylbek Osmonov, CFO, added that 75% of CDs will mature within six months, allowing for potential cost benefits as they reprice.\nQ: What is the outlook for loan growth and the impact of the First Capital runoff? A: Unidentified Company Representative: The First Capital runoff has been significant, but we are nearing its end. We expect low single-digit growth in the near term, potentially moving to mid-single digits post-election and with rate cuts. The Lone Star acquisition should not see similar runoff issues.\nQ: Regarding M&A, is there a preference for smaller deals or larger ones that might move the earnings needle more? A: David Zalman, CEO: The decision isn't based on size but on whether the acquisition strengthens our position and offers accretion. We focus on the quality of the bank, its people, and its assets. Larger deals require more caution regarding asset quality.\nFor the complete transcript of the earnings call, please refer to the full earnings call transcript.This article first appeared on \nGuruFocus.","kind":null,"is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.1","shortVersion":"4.29.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2477576512"}