Independent Bank expects loan growth to slow amid economic uncertainty, high interest rates - Dallas Business Journal

With the expectation that loan growth will decline this year, analysts wanted to drill down to better understand the bank's profit outlook. Independent's stock declined 3% on Tuesday to $59.28 per share. Shares of the bank are down 24% over the last 12 months.

Despite the expected slowdown, Brooks said he remains confident in Independent's outlook because of the"strength and resilience" in the Texas and Colorado markets where the bank operates. He also called out"sustained demand" from long-time customers. "There's a wide range of possibilities for 2023 and what happens with the economy," Brooks said."The markets we're in should give us some insulation...even if it's a pretty difficult overall economic slowdown. We still expect our loans will grow, and it just becomes a magnitude of how much."

One area where Brooks sees opportunity is in growing Independent's energy loans portfolio. The bank's energy loans portfolio as of Dec. 31 totaled $564.7 million, up 67% from the same time a year ago. However, energy loans still make up just 4% of the bank's overall loan book.Independent will continue to look at adding other lines of business, Brooks said. However, he said the bank will also take a cautious approach due to the economic uncertainty.

"There are avenues out there, which some banks may take, where you can go book a lot of really big loans or you can get into lines of business that you haven't been in historically," Brooks said."We think that's a uniquely bad thing to do at this point in the cycle so we're not going to be doing those kinds of things. We're going to be growing our loan book with our customers and our markets and continue to watch our risk.

South Africa South Africa Latest News, South Africa South Africa Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Independent Bank expects loan growth to slow amid economic uncertainty, high interest rates - Dallas Business JournalIndependent Bank CEO David Brooks said he remains confident in the bank's outlook despite the expectation that loan growth will slow in the coming year amid tough economic conditions.
Source: DallasBizNews - 🏆 525. / 51 Read more »

RJW Logistics Group expands operations to Dallas, adds 225 jobs - Dallas Business JournalThe company said the new warehouse will serve as the flagship location for its one-inventory model in the South.
Source: DallasBizNews - 🏆 525. / 51 Read more »

New homes headed to Walsh in largest residential phase since 2020 - Dallas Business JournalHundreds of new homes are inbound for a new neighborhood, dubbed Brook Hollow, in west Fort Worth's Walsh community.
Source: DallasBizNews - 🏆 525. / 51 Read more »

How CEO Jean Savage is delivering innovation at Trinity Industries - Dallas Business JournalBy using technology and listening to the concerns of shippers, Trinity Industries turns to technology to forge a new path for a historic industry.
Source: DallasBizNews - 🏆 525. / 51 Read more »

New projects in North Texas for January 24, 2023 - Dallas Business JournalHere’s a look at the latest new projects registered in North Texas with the Texas Department of Licensing and Regulation, a list of new construction, renovations and alterations in Dallas, Fort Worth and beyond. All projects listed are public records.
Source: DallasBizNews - 🏆 525. / 51 Read more »

ScionHealth completes acquisition of Cornerstone Healthcare Group - Dallas Business JournalThe acquisition of Cornerstone Healthcare Group adds about 3,000 employees to ScionHealth's 28-state network.
Source: DallasBizNews - 🏆 525. / 51 Read more »