Truxton preliminary Q2 net income rises on wealth management strength

Overview

• US wealth and banking provider's preliminary Q2 net income rose yr/yr

• Preliminary Q2 net interest margin increased yr/yr but fell from prior quarter

• Company's total deposits fell 5% sequentially due to lower wholesale deposits

Outlook

• Truxton did not provide specific guidance or outlook for future quarters or the full yr

Result Drivers

• WEALTH MANAGEMENT REVENUE - Wealth management revenue rose 3% from the prior quarter and 19% from a year earlier, supporting non-interest income growth

• WHOLESALE DEPOSIT DECLINE - 5% sequential drop in total deposits was driven by a $94 mln decrease in wholesale deposits

• HIGHER FUNDING COSTS - Net interest margin narrowed from the prior quarter as cost of funds increased to 2.76% from 2.70%

Company press release: ID:nGNX9Qv3Cl

Key Details

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)