TriCo Bancshares reports Q2 EPS 75c, consensus 94c

Net income was $24.9 million compared to $35.8 million in the trailing quarter, and compared to $31.4 million in the same quarter of the prior year; Pre-tax pre-provision net revenue was $43.1 million compared to $53.2 million in the trailing quarter, and compared to $45.2 million in the same quarter of the prior year. Loan balances increased by $98.3 million or 6.1% versus the prior quarter and deposit balances increased by $69.5 million or 3.5% versus the prior quarter. “We were pleased by our ability to grow deposits during the quarter while doing so without the use of brokered funding sources and at rates that were favorable to the Bank. Although nonaccrual and classified loans have increased, they remain below historical averages. Through the Bank’s ongoing portfolio review processes and active management, we have not identified any evidence of systemic risk,” explained Rick Smith, President and Chief Executive Officer. Peter Wiese, EVP and Chief Financial Officer added, “As deposit balances grew and repayment of principal from the investment security portfolio accelerated, excess proceeds were utilized to reduce the balance and costs associated with short-term borrowing. As we look to the second half of 2023, margin preservation and expense control will be our focused priorities.” For the quarter ended June 30, 2023, the Company’s return on average assets was 1.01%, while the return on average equity was 8.98%.