Texas Capital Bancshares (NASDAQ:TCBI) delivered second-quarter results on Thursday that easily topped Wall Street forecasts, thanks to strong loan expansion and improved profitability from interest income. The report sent shares up 2.74% in pre-market trading.
The Dallas-based bank reported adjusted earnings per share of $1.63 for Q2 2025, outpacing the consensus estimate of $1.28. Total revenue reached $307.46 million, beating expectations of $299.22 million. Net income available to common shareholders almost doubled, climbing 95% year-over-year to $73.0 million. Adjusted EPS rose by 104% over the same period.
Loan growth remained a bright spot, with total loans increasing 7% sequentially and 10% compared to a year ago. Net interest income climbed to $253.4 million, up from $216.6 million in Q2 2024, as the bank’s net interest margin expanded 34 basis points to 3.35%.
“Our multi-year focus on building a differentiated, full-service financial services firm has strengthened our client franchise and consistently delivered high-quality outcomes across our platform, driving strong financial performance this quarter,” said Rob C. Holmes, Chairman, President & CEO.
Credit quality results were mixed. While net charge-offs edged up to $13.0 million from $12.0 million a year earlier, the volume of criticized loans declined significantly to $637.5 million, down from $859.7 million in the prior-year quarter.
Texas Capital also ramped up shareholder returns in Q2, repurchasing 317,860 shares of common stock for a total of $21.0 million, paying an average of $65.50 per share. Book value and tangible book value per share rose 13% year-over-year, reaching new record highs.
Texas Capital Bancshares stock price
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