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Jun 30, 2021

Prosperity Q2 2021 Earnings Report

Prosperity Bancshares reported strong earnings, core loan and deposit growth, sound asset quality, and impressive cost controls.

Key Takeaways

Prosperity Bancshares, Inc. reported net income of $130.6 million for the quarter ended June 30, 2021. Loans, excluding Warehouse Purchase Program and SBA Paycheck Protection Program loans, increased $148.8 million and deposits increased $347.1 million during the second quarter of 2021.

Second quarter earnings per share (diluted) of $1.41

Second quarter net income of $130.6 million

Loans, excluding Warehouse Purchase Program and SBA Paycheck Protection Program loans, increased $148.8 million or 0.9% during the second quarter 2021

Deposits increased $347.1 million or 1.2% during the second quarter 2021

Total Revenue
$281M
Previous year: $285M
-1.3%
EPS
$1.41
Previous year: $1.28
+10.2%
Efficiency Ratio
40.96%
Previous year: 46.56%
-12.0%
Cash and Equivalents
$1.06B
Previous year: $333M
+218.4%
Free Cash Flow
$201M
Previous year: $222M
-9.4%
Total Assets
$36.1B
Previous year: $33B
+9.5%

Prosperity

Prosperity

Forward Guidance

Prosperity believes it is well positioned to grow along with the Texas and Oklahoma economies. Unemployment rates continue to decrease and GDP growth continues at a high level.

Positive Outlook

  • Prosperity Bank was ranked the 2nd Best Bank in America by Forbes.
  • Prosperity has been ranked in the Top 10 of Forbes America’s Best Banks since 2010.
  • Prosperity has a deep bench of associates with a passion to help Prosperity and our customers succeed.
  • Unemployment rates continue to decrease.
  • GDP growth continues at a high level.

Challenges Ahead

  • The COVID-19 pandemic has resulted in significant economic uncertainties that have had, and could continue to have, an adverse impact on Prosperity’s operating income, financial condition and cash flows.
  • The extent to which the COVID-19 pandemic will impact Prosperity’s operations and financial results during 2021 cannot be reasonably or reliably estimated at this time.
  • Credit quality could deteriorate.
  • Changes in laws and regulations (including changes in governmental interpretations of regulations and changes in accounting standards).
  • Economic conditions, including currency rate, interest rate and commodity price fluctuations.