Texas Capital Bancshares, Inc. (NASDAQ:TCBI) Q3 2023 Earnings Call Transcript

Brady Gailey: Okay. And sorry, if I missed it, but did you guys quantify the fee from that marquee big transaction?

Matt Scurlock: No, but the quarter would have been — I’ll just say the quarter would have been good without it. But it was a good solid one.

Brady Gailey: Okay. All right. And then my last — my last question, I mean, if you look at Texas Capital today versus pre-Rob, I mean, the capital is a lot higher, the liquidity is a lot greater, the credit is a lot cleaner, it’s just a much stronger institution. But you still have a stock that trades like one times tangible book value. I know you guys have done buybacks in the past, but I know there is a lot of uncertainty in today’s backdrop. So when do you — it seems like you are a perfect candidate for the share buyback, but when do you more seriously consider getting more involved there?

Rob Holmes: We seriously consider getting involved there every day. And as you know, we have a very disciplined capital allocation framework. We’ve proven in the past that we can repurchase shares responsibly and very efficiently most recently. We do believe we’re — I appreciate your words. Those were imperatives for us. And our commitment to you and all of our constituents that we would do that. We still believe that we’re in the build mode. We are onboarding clients at a pace that we are all very happy with. The pipelines continue to be strong. Receptivity of the strategy by the client base is good. A lot of banks right now, frankly, are out of business. So to invest in the organic growth is a much higher return for this franchise over the longer term. However, having said that, you’re right, we will need to consider buybacks and we do and it will and — but it’s not our first preference.

Brady Gailey: Understood. Thanks, Rob.

Rob Holmes: Thank you, Brady.

Operator: We have no further questions at this time. So, I will turn the call back over to Rob for any closing remarks.

Rob Holmes: Just thanks everybody for their interest in the firm and look forward to talking to you next quarter.

Operator: This concludes today’s call. Thank you for joining. You may now disconnect your lines.