EX-99.1 2 brhc10047011_ex99-1.htm EXHIBIT 99.1
Exhibit 99.1


FOR IMMEDIATE RELEASE: Bank7 Corp. Announces Q4 and Full Year 2022 Earnings

Oklahoma City, January 26, 2023 – Bank7 Corp. (NASDAQ: BSVN) ("the Company"), the parent company of Oklahoma City-based Bank7 (the "Bank"), today reported unaudited results for the quarter and year ended December 31, 2022.  “We are pleased to announce record achievements for our full year and also the 4th quarter, as we reached new milestones in net income, PPE, and earnings per share.  Our continued success is due to our broad and deep team of talented commercial bankers, and their commitment to disciplined credit fundamentals and pricing.  We are blessed to be located in such a dynamic geographic area, and we are confident of our future as we maintain our focus on fundamentals and growing our company,” said Thomas L. Travis, President and CEO of the Company.

For the year ended December 31, 2022 compared to the year ended December 31, 2021:


 -
Net income of $29.6 million compared to $23.2 million, an increase of 27.98%

-
Earnings per share of $3.22 compared to $2.55, an increase of 26.27%

-
Total assets of $1.6 billion compared to $1.4 billion, an increase of 17.30%

-
Total loans of $1.3 billion compared to $1.0 billion, an increase of 23.54%

-
PPE of $43.9 million compared to $35.1 million, an increase of 24.97%

-
Total interest income of $78.7 million compared to $56.3 million, an increase of 39.90%

Three months ended December 31, 2022 compared to three months ended September 30, 2022


 -
Net income of $8.4 million compared to $8.0 million, an increase of 4.29%

-
Earnings per share of $0.91 compared to $0.87, an increase of 4.60%

-
PPE of $13.0 million compared to $12.8 million, an increase of 1.74%

-
Total interest income of $25.5 million compared to $21.7 million, an increase of 17.39%

Both the Bank’s and the Company’s capital levels continue to be significantly above the minimum levels required to be designated as “well-capitalized” for regulatory purposes.  On December 31, 2022, the Bank’s Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk-based capital ratios were 9.18%, 11.26%, and 12.42%, respectively.  On December 31, 2022, on a consolidated basis, the Company’s Tier 1 leverage ratio, Tier 1 risk based capital ratio, and total risk-based capital ratios were 9.19%, 11.25%, and 12.41%, respectively.  Designation as a well-capitalized institution under regulations does not constitute a recommendation or endorsement by bank regulators.

Bank7 Corp.
Consolidated Balance Sheets

Assets
  
December 31,
2022
(unaudited)
    
December 31,
2021
  

           
Cash and due from banks
  
$
109,115
    
$
195,359
  
Federal funds sold
    
-
      
9,493
  
Cash and cash equivalents
    
109,115
      
204,852
  
Interest-bearing time deposits in other banks
    
5,474
      
3,237
  
Available-for-sale debt securities
    
173,165
      
84,808
  
Loans, net of allowance for loan losses of $14,734 and $10,316 at December 31, 2022
and December 31, 2021, respectively
    
1,255,722
      
1,018,085
  
Loans held for sale, at fair value
    
-
      
464
  
Premises and equipment, net
    
13,106
      
17,257
  
Nonmarketable equity securities
    
1,209
      
1,202
  
Core deposit intangibles
    
1,336
      
1,643
  
Goodwill
    
8,603
      
8,479
  
Interest receivable and other assets
    
16,439
      
10,522
  
 
                
Total assets
  
$
1,584,169
    
$
1,350,549
  
                 
Liabilities and Shareholders’ Equity
                
                 
Deposits
                
Noninterest-bearing
  
$
439,409
    
$
366,705
  
Interest-bearing
    
989,891
      
850,766
  
                 
Total deposits
    
1,429,300
      
1,217,471
  
 
                
Income taxes payable
    
1,054
      
-
  
Interest payable and other liabilities
    
9,715
      
5,670
  
                 
Total liabilities
    
1,440,069
      
1,223,141
  
                 
Shareholders’ equity
                

               
Common stock, $0.01 par value; 50,000,000 shares authorized; shares issued and outstanding:
9,131,973 and 9,071,417 at December 31, 2022 and December 31, 2021 respectively
    
91
      
91
  

               
                 
Additional paid-in capital
    
95,263
      
94,024
  
Retained earnings
    
58,049
      
33,149
  
Accumulated other comprehensive income (loss)
    
(9,303
)
    
144
  
                 
Total shareholders’ equity
    
144,100
      
127,408
  
 
                
Total liabilities and shareholders’ equity
  
$
1,584,169
    
$
1,350,549
  

   
Three months ended
December 31,
    
Twelve months ended
December 31,
  
   
2022
(unaudited)
    
2021
    
2022
(unaudited)
    
2021
  
Interest Income
                        
Loans, including fees
  
$
23,806
    
$
14,391
    
$
74,403
    
$
55,768
  
Interest-bearing time deposits in other banks
    
7
      
28
      
46
      
169
  
Debt securities, taxable
    
688
      
143
      
2,313
      
143
  
Debt securities, tax-exempt
    
87
      
31
      
360
      
31
  
Other interest and dividend income
    
874
      
63
      
1,627
      
178
  
                                 
Total interest income
    
25,462
      
14,656
      
78,749
      
56,289
  
                                 
Interest Expense
                                
Deposits
    
5,081
      
677
      
9,322
      
3,053
  
                                 
Total interest expense
    
5,081
      
677
      
9,322
      
3,053
  
                                 
Net Interest Income
    
20,381
      
13,979
      
69,427
      
53,236
  
                                 
Provision for Loan Losses
    
1,625
      
850
      
4,468
      
4,175
  
                                 
Net Interest Income After Provision for Loan Losses
    
18,756
      
13,129
      
64,959
      
49,061
  
                                 
Noninterest Income
                                
Secondary market income
    
91
      
182
      
486
      
435
  
Loss on sales and calls of available-for-sale debt securities
    
-
      
-
      
(127
)
    
-
  
Service charges on deposit accounts
    
222
      
170
      
900
      
550
  
Other
    
419
      
405
      
1,680
      
1,265
  
                                 
Total noninterest income
    
732
      
757
      
2,939
      
2,250
  
                                 
Noninterest Expense
                                
Salaries and employee benefits
    
4,892
      
3,298
      
17,040
      
11,983
  
Furniture and equipment
    
334
      
232
      
1,468
      
883
  
Occupancy
    
593
      
508
      
2,329
      
1,899
  
Data and item processing
    
600
      
380
      
2,068
      
1,237
  
Accounting, marketing and legal fees
    
203
      
353
      
984
      
800
  
Regulatory assessments
    
371
      
140
      
1,344
      
604
  
Advertsing and public relations
    
164
      
101
      
477
      
282
  
Travel, lodging and entertainment
    
147
      
100
      
363
      
409
  
Other
    
825
      
1,086
      
2,568
      
2,300
  
                                 
Total noninterest expense
    
8,129
      
6,198
      
28,641
      
20,397
  
                                 
Income Before Taxes
    
11,359
      
7,688
      
39,257
      
30,914
  
Income tax expense
    
2,973
      
2,002
      
9,619
      
7,755
  
Net Income
  
$
8,386
    
$
5,686
    
$
29,638
    
$
23,159
  
                                 
Earnings per common share - basic
  
$
0.92
    
$
0.64
    
$
3.26
    
$
2.56
  
Earnings per common share - diluted
    
0.91
      
0.63
      
3.22
      
2.55
  
Weighted average common shares outstanding - basic
    
9,118,728
      
9,070,967
      
9,101,523
      
9,056,117
  
Weighted average common shares outstanding - diluted
    
9,232,333
      
9,162,124
      
9,204,716
      
9,091,536
  
                                 
Other Comprehensive Income (Loss)
                                

                               
Unrealized losses on securities, net of tax benefit of $0 and $0 for the three months ended
December 31, 2022 and 2021, respectively; $2.8 million and $0 for the twelve months ended
December 31, 2022 and 2021, respectively
  
$
1,146
    
$
144
    
$
(9,543
)
  
$
144
  

                               
Reclassification adjustment for realized (gain)loss included in net income,  net of tax of $0 and
$0 for the three months ended December 31, 2022 and 2021, respectively; $31 and $0 for the
twelve months  ended December 30, 2022 and 2021, respectively
    
-
      
-
      
96
      
-
  
Other comprehensive loss
  
$
1,146
    
$
144
    
$
(9,447
)
  
$
144
  
Comprehensive Income (Loss)
  
$
9,532
    
$
5,830
    
$
20,191
    
$
23,303
  

   
Net Interest Margin
  
   
For the Twelve Months Ended December 31,
  
   
2022
(unaudited)
    
2021
  
   
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
    
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
  
   
(Dollars in thousands)
  
Interest-Earning Assets:
                                    
Short-term investments
  
$
129,624
    
$
1,673
      
1.29
%
  
$
126,136
    
$
347
      
0.28
%
Investment securities, taxable
    
145,915
      
2,313
      
1.59
      
4,663
      
143
      
3.07
  
Debt securities, tax exempt
    
21,635
      
360
      
1.66
      
1,852
      
31
      
1.67
  
Loans held for sale
    
586
      
-
      
-
      
318
      
-
      
-
  
Total loans(1)
    
1,143,380
      
74,403
      
6.51
      
905,804
      
55,768
      
6.16
  
Total interest-earning assets
    
1,441,140
      
78,749
      
5.46
      
1,038,773
      
56,289
      
5.42
  
Noninterest-earning assets
    
23,532
                      
7,361
                  
Total assets
  
$
1,464,672
                    
$
1,046,134
                  
                                                 
Funding sources:
                                                
Interest-bearing liabilities:
                                                
Deposits:
                                                
Transaction accounts
  
$
724,617
      
7,842
      
1.08
%
  
$
430,268
      
1,396
      
0.32
%
Time deposits
    
165,735
      
1,480
      
0.89
      
205,437
      
1,657
      
0.81
  
Total interest-bearing deposits
    
890,352
      
9,322
      
1.05
      
635,705
      
3,053
      
0.48
  
Total interest-bearing liabilities
    
890,352
      
9,322
      
1.05
      
635,705
      
3,053
      
0.48
  
                                                 
Noninterest-bearing liabilities:
                                                
Noninterest-bearing deposits
    
432,901
                      
288,446
                  
Other noninterest-bearing liabilities
    
7,520
                      
4,930
                  
Total noninterest-bearing liabilities
    
440,421
                      
293,376
                  
Shareholders' equity
    
133,899
                      
117,053
                  
Total liabilities and shareholders' equity
  
$
1,464,672
                    
$
1,046,134
                  
                                                 
Net interest income
          
$
69,427
                    
$
53,236
          
Net interest spread
                    
4.42
%
                    
4.94
%
Net interest margin
                    
4.82
%
                    
5.12
%

 
(1)
Nonaccrual loans are included in total loans

 
For the Three Months Ended December 31,
 
2022
(unaudited)

2021
 
Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate

Average
Balance
    
Interest
Income/
Expense
    
Average
Yield/
Rate
   
(Dollars in thousands)
  
Interest-Earning Assets:
                                    
Short-term investments
  
$
101,427
    
$
881
      
3.45
%
  
$
130,106
    
$
91
      
0.23
%
Debt securities, taxable-equivalent
    
154,869
      
688
      
1.76
      
14,992
      
143
      
3.78
  
Debt securities, tax exempt
    
20,247
      
87
      
1.70
      
7,349
      
31
      
16.67
  
Loans held for sale
    
291
      
-
      
-
      
1,090
      
-
      
-
  
Total loans(1)
    
1,262,864
      
23,806
      
7.48
      
959,243
      
14,391
      
5.95
  
Total interest-earning assets
    
1,539,698
      
25,462
      
6.56
      
1,112,780
      
14,656
      
5.23
  
Noninterest-earning assets
    
21,937
                      
11,613
                  
Total assets
  
$
1,561,635
                    
$
1,124,393
                  
                                                 
Funding sources:
                                                
Interest-bearing liabilities:
                                                
Deposits:
                                                
Transaction accounts
  
$
798,073
      
4,491
      
2.23
%
  
$
490,739
      
373
      
0.30
%
Time deposits
    
157,211
      
590
      
1.49
      
183,867
      
304
      
0.66
  
Total interest-bearing deposits
    
955,284
      
5,081
      
2.11
      
674,606
      
677
      
0.40
  
Total interest-bearing liabilities
  
$
955,284
      
5,081
      
2.11
    
$
674,606
      
677
      
0.40
  
                                                 
Noninterest-bearing liabilities:
                                                
Noninterest-bearing deposits
  
$
457,753
                    
$
320,290
                  
Other noninterest-bearing liabilities
    
8,683
                      
5,181
                  
Total noninterest-bearing liabilities
    
466,436
                      
325,471
                  
Shareholders' equity
    
139,915
                      
124,316
                  
Total liabilities and shareholders' equity
  
$
1,561,635
                    
$
1,124,393
                  
                                                 
Net interest income
          
$
20,381
                    
$
13,979
          
Net interest spread
                    
4.46
%
                    
4.83
%
Net interest margin
                    
5.25
%
                    
4.98
%

(1)
Nonaccrual loans are included in total loans

About Bank7 Corp.

We are Bank7 Corp., a bank holding company headquartered in Oklahoma City, Oklahoma. Through our wholly-owned subsidiary, Bank7, we operate twelve locations in Oklahoma, the Dallas/Fort Worth, Texas metropolitan area and Kansas. We are focused on serving business owners and entrepreneurs by delivering fast, consistent and well-designed loan and deposit products to meet their financing needs. We intend to grow organically by selectively opening additional branches in our target markets as well as pursue strategic acquisitions.

Conference Call

Bank7 Corp. has scheduled a conference call to discuss its results, which will be broadcast live over the Internet, on Thursday, January 26, 2023 at 9:00 a.m. central standard time. To participate in the call, dial 1-888-348-6421, or access it live over the Internet at https://app.webinar.net/ARZ9lenLgOm. For those not able to participate in the live call, an archive of the webcast will be available at https://app.webinar.net/ARZ9lenLgOm shortly after the call for 1 year.

Cautionary Statements Regarding Forward-Looking Information

This communication contains a number of forward-looking statements. These forward-looking statements reflect Bank7 Corp.’s current views with respect to, among other things, future events and Bank7 Corp.’s financial performance. Any statements about Bank7 Corp.’s expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believes,” “can,” “could,” “may,” “predicts,” “potential,” “should,” “will,” “estimate,” “plans,” “projects,” “continuing,” “ongoing,” “expects,” “intends” and similar words or phrases. Any or all of the forward-looking statements in (or conveyed orally regarding) this presentation may turn out to be inaccurate. The inclusion of or reference to forward-looking information in this presentation should not be regarded as a representation by Bank7 Corp. or any other person that the future plans, estimates or expectations contemplated by Bank7 Corp. will be achieved.

These forward-looking statements are subject to significant uncertainties because they are based upon:  the amount and timing of future changes in interest rates, market behavior, and other economic conditions; future laws, regulations, and accounting principles; changes in regulatory standards and examination policies, and a variety of other matters.  These other matters include, among other things, the impact of COVID-19 on the United States economy and our operations, the direct and indirect effect of economic conditions on interest rates, credit quality, loan demand, liquidity, and monetary and supervisory policies of banking regulators.  Bank7 Corp. has based these forward-looking statements largely on its current expectations and projections about future events and financial trends that Bank7 Corp. believes may affect its financial condition, results of operations, business strategy and financial needs. Bank7 Corp.’s actual results could differ materially from those anticipated in such forward-looking statements as a result of risks, uncertainties and assumptions that are difficult to predict. If one or more events related to these or other risks or uncertainties materialize, or if Bank7 Corp.’s underlying assumptions prove to be incorrect, actual results may differ materially from what Bank7 Corp. anticipates. You are cautioned not to place undue reliance on forward-looking statements. Further, any forward-looking statement speaks only as of the date on which it is made and Bank7 Corp. undertakes no obligation to update or revise any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events, except as may be required by law. All forward-looking statements herein are qualified by these cautionary statements.

Contact:

Thomas Travis
President & CEO
(405) 810-8600