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Jun 30, 2023

IBC Q2 2023 Earnings Report

IBC reported net income of $100.5 million and diluted EPS of $1.62 for the quarter ended June 30, 2023.

Key Takeaways

International Bancshares Corporation reported a strong financial performance for the second quarter of 2023, with a significant increase in net income and diluted earnings per share compared to the same period in the previous year.

Net income for the quarter increased by 73.3% to $100.5 million.

Diluted earnings per share increased by 76.1% to $1.62.

Total assets were $14.9 billion.

Total net loans reached $7.4 billion.

Total Revenue
$204M
Previous year: $146M
+39.7%
EPS
$1.62
Previous year: $0.92
+76.1%
Cash and Equivalents
$1.03B
Previous year: $3.42B
-70.0%
Free Cash Flow
$79.7M
Previous year: $82.2M
-3.1%
Total Assets
$14.9B
Previous year: $16.3B
-8.6%

IBC

IBC

Forward Guidance

The company is confident in its balance sheet management strategies and will continue to adjust deposit pricing to remain competitive. They will also continue to monitor controllable expenses closely and will make decisions accordingly to ensure that they maximize the use of their resources.

Positive Outlook

  • Strong capital position
  • Significant liquidity
  • Strong relationship deposit base
  • Responsive management strategies
  • Proven legacy commitment to expense control and non-interest income growth

Challenges Ahead

  • Rising interest expense from increasing deposit rates.
  • Uncertainty of the economic future.
  • Economic conditions impacting loan portfolio.
  • Risk of potential losses in loan portfolio arising from uncertain economic conditions.
  • Need to carefully monitor and manage deposit base and cost of deposits.