OBK Earnings Prediction
The chart below shows how OBK performed 10 days before and after its earnings report, based on data from the past quarters. Typically, OBK sees a -3.89% change in stock price 10 days leading up to the earnings, and a +0.93% change 10 days following the report. On the earnings day itself, the stock moves by +0.37%. This data can give you a slight idea of what to expect for the next quarter's release.
OBK Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
89.99M
12.77%
-5.20%
Gross Margin
--
--
--
Operating Margin
26.30%
-30.11%
-6.61%
Net Margin
20.67%
-32.16%
-6.51%
EPS
0.60
-24.05%
-10.45%
No Data Available
OBK Earnings Analysis
Origin Bancorp, Inc. Corporation (OBK.N) Earnings Conference Call
Positive
Deposit Growth Surge: 1. Strong Deposit Growth: Total deposits, excluding brokered, increased by 2.3% quarter-over-quarter, marking the strongest growth in two years. Non-interest bearing deposits also rose by 1.5% for the quarter, indicating a stable mix at 22% of total deposits.
Texas Loan Growth: 2. Loan Growth in Texas Markets: Year-to-date, deposits in Texas have grown by $241 million, while loans have increased by $154 million, showcasing significant market expansion opportunities.
Automation Efficiency Savings: 3. Efficiency Gains from Automation: The Robotics Process Automation platform saved approximately 3,356 hours of manual work in Q3 alone, translating to over seven full-time equivalents saved year-to-date.
Credit Quality Improvement: 4. Improved Credit Metrics: Past due loans decreased to 0.49% from 0.83% in the previous quarter, while classified loans fell by $10.8 million to 1.35%, and nonperforming loans dropped by $12 million to 0.81%.
Tangible Common Equity Improvement: 5. Capital Strength: The tangible common equity (TCE) ratio improved to 10.0%, up from 9.5% in the prior quarter, and tangible book value per share grew by 5% quarter-over-quarter and 17% year-over-year, reflecting strong capital management.
Negative
Rising Net Charge-Offs: 1. Increased Net Charge-Offs: Net charge-offs for Q3 totaled $9.5 million, significantly up from $2.9 million in the prior quarter, indicating a deterioration in credit quality.
Loan Growth Challenges: 2. Declining Loan Growth: Gross loans held for investment were essentially flat during the quarter, reflecting a strategic focus on client selection that may hinder growth in the near term.
Net Interest Margin Decline: 3. Margin Compression: The net interest margin expanded only one basis point to 3.18%, falling short of expectations for mid-single-digit expansion due to higher-than-anticipated deposit costs.
Non-Interest Income Decline: 4. Flat Non-Interest Income: Non-interest income declined to $15.8 million from $16.4 million in Q2, primarily due to normal seasonality in the mortgage business, indicating potential revenue challenges.
Loan-to-Deposit Ratio Pressure: 5. Pressure on Loan-to-Deposit Ratio: The loan-to-deposit ratio, excluding mortgage warehouse, remained below the target at 87.9%, suggesting limited capacity for loan growth relative to deposits.
OBK FAQs
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OBK Earning Call Sentiment
Origin Bancorp, Inc. (OBK) Q3 2024 Earnings Call Transcript
1.0x
00:00
00:00
OBK.N
-1.62%Positive
The earnings call presents a mixed picture: while there are positive elements such as a commitment to shareholder returns and a slight increase in tangible book value, challenges like profitability pressure, credit risk, and NIM compression temper optimism. The Q&A reveals management's confidence but also highlights uncertainties, particularly in achieving peer profitability and managing deposits. These factors, combined with the lack of a significant catalyst like a new partnership, suggest a neutral stock price movement over the next two weeks.
