Earnings call transcript Q1 2023

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Operator

Good day and thank you for standing by. Welcome to the Stellar Bancorp First Quarter 2023 Earnings Call. At this time, all participants are in a listen-only mode. After the presentation, there will be a question-and-answer session. [Operator Instructions]. today’s being that advised be conference recorded. is Please

hand over Chief to would Officer. now host conference to like Theriot, I your the today, go ahead. Please Accounting Courtney

Courtney Theriot

and have operator, Thank all you today. morning. call who you, Good joined thank our to

welcome to Egge. This for Bob XXXX. to our earnings Franklin; Stellar’s CEO, call will and like the would earnings quarter Paul first team you Our by CFO, of morning’s call be led

President President of in the attendance Joe Steve are CEO company; the company the of Also Credit Vitulli, of Retzloff, Executive and of the West, Ray Chairman Senior and today Bank; Officer Bank. and Executive Chief Vice

our the allow additional of ir.stellarbancorpinc.com and available At questions. about as Please the publicly for Litigation the we Before information intend the everyone is to made by are any required beliefs to change. constitute statements, is about Reform give that this subject statements conclusion forward-looking factors XXXX, morning’s update in we contained Harbor in as at text risk results, with made we all remind a our for see law. future of maybe Safe be that only Web defined covered except Act. if today for any statements. to which forward-looking remarks the I We begin, and some guidance statements statement obligation such by on of note the Securities in is the last associated statements forward-looking will time time forward-looking Act reflection amended. the need of of that disclaim site to We line beliefs such the page remarks, provisions release, Also as the at Private guidance the earnings open management’s

our Franklin. I CEO, now the over Bob to call turn

Robert Franklin

in and Thank for I Welcome stellar. team hard Seller work making begin first and call. Bank at good to their the will earnings Courtney, thanking Stellar morning. dedication truly Bancorp's quarter Stellar by great you,

long banks, weekend in our provided under team our successful February, all merged completed Bank bringing the customers a of system. During Stellar system conversion one

tirelessly I their Our to success. worked staff this them right, congratulate on get and

The cannot relationships Bank. stunned the our customers developed Bank failures with quarter and Valley customers the mention, Stellar industry the strong event years form other that customer failures, go Silicon we of Signature those These and failure suddenness stressed and base. Despite major Bank serve. of the over many during has our the without

give seasonal, the have reports, runoff who due Though media we some would to granular our thanking information be stress. quarter, around but deposits, some the team experiences faced some deposit will some bank, as customers by the in industry during incredible more some frightened rank, our not remiss supported I

fuels the customer to what we that In saw closeness is the in the institutions. the local wake again of failures, confidence

those continue to quality. efforts relied believe they that have believe Reserve relied we to rates, our funded and that we paying began and concentrated will raising on and Federal work building believe We on efforts franchise. Since have capital, our interest we have liquidity our We us, dividends managing core -- that maintaining maintain customers we the strong these continue. are credit as on will

as efficiencies as organization. we to operate one learn gain to continue together We

to maintain in markets paying higher a operating in with made have environment, rates. our difficult some effort We concentrated our much margins a interest

rising underwriting customers good. But our effects of rapidly to remain rates. markets combat our interest strengthened have strong are and our today, help We the

of to move credit franchise be building through we capital, underwriting. year, liquidity our mindful will we continue the the maintaining balance our As and core and of strengthening

most reside robust advantage its available. of will to that And remind we shareholders as take in of Federal the finishes United one work positioned is our be bright. markets I is of we the that Our goal to States. opportunities The be Stellar the future the well Reserve believe in

turn I'll to CFO. our over now, Egge, Paul And this

Paul Egge

everybody. good Thanks, morning, Bob, and

to are for effects the of a March. due and report performance high fallout quantitative from We profile tightening of pleased failures industry a strong the what quarter operating very in to was cumulative for very our couple challenging bank

Our quarter. $X.XX, net XX.XX%. equity notwithstanding income annualized in on per quarter $XX.X reserve and merger of during ROA the approximately million, modest this representing expenses earnings X.XX% in tangible diluted first was million common share return was build $X.X of the of an and All

as a This noisy removed Stellar, together quarter what from is initial very and a merger our second was post quarter quarter.

metric in nearly efficiency experienced pre-provision and on So on pre-provision level every and of both our in earnings pre-tax gratifying X.XX%. and it adjusted line the progress basis. first earnings stated core in quarter, our power to the item adjusted We reflected is see gains ROA incremental pre-tax

part accretion, Our accounting versus and quarter was the in about by $X.X bottom quarter. were driven earning margin results of X.XX% million fourth strong net to fourth of million power in up $XX interest in line X.XX% in purchase the quarter of which a XXXX, from thanks the

Excluding quarter. cost purchase net with to funds. was very and first interest accounting We're adjusted X.XX%, stable equal at pleased industry pressures of in margin the ability quarter to the impacting our NIM of NIM accretion, such our in strong strong culmination maintain our adjusted our despite the previous

flexibility our on strategic proven for balance maintaining has as a on we liquidity feel we perspective, front though as focus entered the us. sheet XXXX From

wholesale million of deposit seeking tightening. slight position predominantly During late us to not we longer cumulative a sensitive have put municipal in rates to in January, discipline, gain effect and relative more securities due quantitative a leverage to duration to sold chase to pricing deposits the at approximately effectively $XXX price

to is core margins power. keep current maintain strong pre-provision the pre-tax to earnings our goal and funding primary our core backdrop, In and

maintain wholesale to seeking the our to to and balance backfill we funding we're sources, the So as of side manage the allow assets shrink prudently to a environment with and/or willingness with liability funding sheet core funding reprice stabilize. to

of decrease deposits decrease in the before million in deposits seasonality Signature in actually group. approximately government XXX a and $XXX end. our at of $X.X came or in this X.X% billion, The decrease billion $X.X occurred of were XX during SVB banking the million our from March at and of from Deposits failures quarter March, majority year

the broadly were discipline representing Among and of strategy seasonality, the maintaining mix for deposits, industry-wide total. deposits. a intensely of face our speaking, relative market all competitive the we an principal in favorable non-interest pressures, of bearing retained drivers, XX.X% of Through this,

deposits. our of access our accompanying XX.X% end billion, account our to into deposits Page was the of investor or uninsured collateralized $XX,XXX sources excluding about We At deeper the base, deposits. deposits contingent believe compares deposits favorably to after quarter, $X.X presentation, in of X of our liquidity, government our of Digging net uninsured approximately average our were collateralized of deposit net deposits billion. outlined X of balance

XXX% Immediate liquidity billion broker $X.X about sources for sources covers net capacity deposits. deposits, XXX% uninsured liquidity of about of covers these of policy-driven collateral total add deposits, And balances. you of when

In grow a the the harvest the summary, sheet, our ability build to maintain side to value tangible funded balance stay liquidity meantime, us of our manage strong will earnings and we feel good position about our strong and core at liability our In power. capital help nice clip. ability earnings book and and margins

from share X.X% our share During Contributing tangible per X.XX% $XX.XX the the per to share per $XX.XX in the to of equity/tangible quarter. deposit more interest-based build tangible near increased offsetting the core in from value asset from from to in of assets the accounting purchase predominantly the accretion amortization quarter, recognition be capital merger. will the than accelerated merger term our intangible book fourth X.XX% increased

intangible At of of far we are core XXXX. asset credit discount the end the continues $XXX.X loan a we Strong performance million. in $XXX had pleased credit a to focus, be deposit million quarter, in with strategic remaining and so and

putting and losses just took have our X.XX% loans total a assets down been of net nonperforming the growth quarter. provision of have million $XXX we loan relative allowance ticked for credit over end the of of to charge-offs to at Although $X.X modest minimal, million,

is the first wide believe system. for well to the outcomes, credit and manage has be to thrive. is environment and We operating economic and of taught even Stellar anything, a capital manage If liquidity, it challenging to to shocks through ready quarter a range positioned us

Stellar, our it of all create best and strategic U.S., operating one the and is underpinnings that's from Our confidence value in to credit making perhaps driven happen. the profile financial in of team and by markets the franchise our Stellar most merger the importantly,

Thank you. over And call back the will now I turn to Bob.

Robert Franklin

it Thanks, questions. Paul. we'll think for Operator, I open

Operator

Instructions]. [Operator

Our first James. question with Raymond comes from Eric Spector

Eric Spector

taking This on Good line the questions. is Feaster. Hi. morning, for Thanks everybody. for David the Eric

bit Just more dig in little a wanted quarter. to the trends to deposit

or paying here attribution [indiscernible] how were, out great. how talked Any just be you higher course out you debt, what quarter migrating cost would and you play that XQ? stabilize that some appointments color the said, early bond over of flows in the of market, As can clients the what the drivers the of cash like down about on

Paul Egge

might We see typical. an before rate a able to We we outflows of of didn't Ray really see flows a with the be our a color. the being stress funds. add rate closures And driven most excess account peaking, higher and as the that's increased bit of changes. But really of lot sweeping by byproduct meaningfully than little consistent level see of

Ray Vitulli

of Paul add that, a say a rate successfully behavior deeper of stability when probably balance which in scheduled just what the quarter, customers. of carried, and what a group, material little you behavior in do and basically were it of government existing our we of down closed, bleeding those and peaking. the the there. and thing some not is open I about outflows Paul the out, not portfolio. banking conversion. And just sweeping And a existing see like what in at other little also, carried and do think I if portion look of not that the to but about were would balances feel we you bit the we that, outflows normal during The the the the as of the we call mentioned, some the outflows, Bob that. And in a that Yes. into had came waterfall, dive It's want But There mentioned that the said. good the is you in about section third majority a our call the

mid of them quarter customers of time, the treasury around extremely we're through close but customers white right users, this assist to our our to kind power So already giving glove to the conversion. to treatment we're customers, kind close

Eric Spector

just color curious be and helpful helpful? on just roll how And the it. rates off just and are was you color. then on touch Got dynamics seeing and could versus new like would trending any front That's pricing I you're what if yields repricing loan loan

Paul Egge

Sure.

loan loans. those It's originated on about up fourth basis at in we the million rate loans almost amount XXX off XXX So X.XX%, on came uncommon it's a from amount. And rate. of pleased loans the there. that X.XX quarter And a the of points at same prior quarter. was then face about of the originations, rate X.XX, the that really And not to came renew renewed

repricing that. So on and yes, delivering we a opportunity had we're

Robert Franklin

stress had interest we rate market good opportunity of a in what probably the then loan acquired and effectively CBTX October legacy entire is in that now that time from portfolio And there. the X out to the portfolio an right repriced we portfolio repricing entire was

to loans got lot accounting credit-driven today's accretion if those reprice, purchase the when accounting rates to more purchase is repricing just stay going forward. we see same a that a of those -- the that really, rates, typical in recurring market they're a that than back discount, loan at and pull heck So be when you

So longer. higher for to were meaningful continue as recurring to rates if that we see stay revenue,

Eric Spector

with you're seeing you're helpful. you more that, opportunity? just it. where just And this returns curious adjusted If kind Got cautious of of back at good where where on then any you're segments point. throttling going just That's there's risk and see kind

Robert Franklin

that. a unless maturing with deposit don't add able customers there market. I we're we in or strategic are that We credit, all coming available very go to being approach needs, banks opportunities, a think the presented and keep really their our to the be approach slow want meet cautious estate taking for the part our are other dropout to in pure maintaining way. the are space existing taking Well, want loans of that just commercial balances. time the to real especially We're and and that on customers, We're new the opportunities to with

cautious collateral, in very it enhancements, credits, that And being so new for very, for to we're be, space whatever might credit the of looking or up. liquid additional that pledge assets looking back guarantors,

us to quality space, that knowing cautious opportunities and is now the pretty some in the cautious be that, to very just that about emphasize being of the we're there'll and time then. So come credit. just But be

Eric Spector

see adjusted your there pipeline on look getting CRE. you that returns? that then and for Obviously, there at that a areas bit whatnot? attractive any you is Are And you But more the cautious anywhere early risk Okay. attractive? take, XQ looking you're here rewarded risk is just little

Robert Franklin

nice In there. from to the non-owner good our there, see CREs had the XXX we -- so And component like generate some the those came just which in occupied. of we job underwriting we portfolio million that of quarter do And construction. was of owner then residential as also C&I C&I that occupied a in it then And was that split, split kind growth, and in loan piece of and a there were loans. did

in job market extremely quarter the the residential we Houston, side. And growth do So on in for strong we as the first construction a that's good still and well. have reflected

Paul Egge

nice anyone loan, brings along in we the don't at But with deposits that loans along isolation. look

want the a we interest point. at lot of So of don't this in are relationship. we sides shopping just have loans, both that Folks

Eric Spector

approach, a That at point. good this obviously, Right. like seems

and So I appreciate back. taking the guys I'll you step questions,

Robert Franklin

Thank you.

Operator

comes Matt Olney Stephens. question next with from Our

Matt Olney

Hi. Can Thanks. you Good morning. hear me?

Robert Franklin

Matt. Hi, Yes.

Matt Olney

the appreciate you think from bank. that Great. in just sales? the help first Paul, the appetite where to for the I sold liquidity kind bank securities Would prepared is improve here mentioned in to quarter love the of additional of profile remarks some

Paul Egge

risk of books. these the in Fed. put where could took no-brainer than in was the a the evaluate tax dynamics. yield the in out we equivalent rare securities was We January AOCI lower opportunity continue kind off of sell to to ton what money the The We duration

But the and up at And have next line decent book XX we that of again our coming pretty months swivel. an feel like if amount have we cash to XX of see on So and this a the securities heads off the don't we opportunity there's a and that, we're kind going in to months. stars flow have point. here XX like

good, we in going be but to were we opportunistic feel continue So January. as we're to

Matt Olney

on the is securities kind give year? points duration number ballpark XX/XX kind Okay. as book what you update there, the And just following trade? expectations over of up then versus any cash those of of can far after us on now any And your next that overall flows, as the

Paul Egge

Sure. cash with we're flow each effective expect in yield walking securities down portfolio. three pretty off million The around years next We're coming $XXX curve. our pleased month, duration. Every the

were good we effectively X.XX years. X/XX, stance we of of And of that portfolio. As kind at about feel overall the

Matt Olney

the number just have time saves what's towards of that. levels we year to charges, far, on cost remaining? Okay. came any And think just recognized out expenses, merger the below call? much I last then think think of how color Any on on in when the full pointed that you been so then quarter still Thanks I expense I update those And for expectations. adjust the first side,

Paul Egge

plan. very like good Naturally, And we're of that we're nature merger evaluate kind on expense, everything mindful dynamics we the gave we of expense and guidance brand. we the feel We but how about base core on is earlier. of forward our moving Sure. adjusted feel revenue being

Matt Olney

flatten right first first Should we'll modest see we're a any for or some at million in you to quarter, kind seems cost right was just now as that where think the we're mentioned that, as I like build? we the you at or follow see the $XXX even last quarter Paul, improvement, rate It in quarter. And declines of year. out savings, up now on do any far essentially think run full run that

Paul Egge

accruals such and it had among first as merger forward, with as adjustments, on the But bit [indiscernible] as -- with the being variable and to of we we how expenses quarter. as plan. well this bonus have audibles obviously, respect quarter highly a little We've a line flat status, as conversion [ph] establishing we that we any noise had more see we big dependent go really make they of kind

Matt Olney

the negative think years? X% kind next amount it far you then that good. per improved of few linked guys up noted position I still AOCI I book $XXX million. Any over Okay, value nicely, quarter. And was think as as color share That that is recapturing the tangible

Paul Egge

recapture But certainly the about it's as curve. took we'll that bit meaningful we a down it Well, we gain. the risk walked yield AOCI because in securities We good that was a January recaptured the table. not off really there trade,

a to it's we reinvest but we at curve, funds So walk that how will well, yield decide of be that ultimately, market. down we all And see feel the as going function as ratably. shrink we're to that

sit we capital. relative good feel So and position to size especially about respect of where that the with our we AOCI

be to a feel every if each sense our our position in. measure amount a thought with the run to think of to like made and in of great focus feel status like a That's But we a or we're at that's that are and push We not liquidity and on flexibility even flexibility. good we and we put maintaining a risk. I we shove, that capital our to have came book, credit of security close position good it's it bank we the intention. capital trying don't And way to symbolic in sell

Matt Olney

just Okay, exposure kind exposure more the some the I within as all lastly, at puts exposure around give Any takes the want what as in far Joe bucket, and any of to can right. terms airtime here. office the color you of color or CRE give And bank? the is there

Robert Franklin

Hi, Matt.

talked We size in in is Joe. the to type, about our over category it turn then and that office loan that before, loan $XXX,XXX. the on jump granularity average me but Let

also the just about take granularity. you of portfolio. kind it's see X.X% that if right our then represents total So there the non-owner -- And the occupied piece if look at of you that, you loan of

XX% occupied over and about more turn the to color. manageable, with I'll other extremely owner again So it Joe for non. But some

Joe West

smaller that portfolio loan We it's basically a Matt, our -- three, they of typically look individual or Houston, at occupancy. you buildings, it, good Yes, not stay at in look of buildings. in there's building building. if five It's storey four, office one big Only and large downtown the and type That’s under in properties million $X a portfolio, suburban a downtown. It's within is that balance. range. sides the that

of most few the is of type this exposure one our Houston, space property, So primarily a markets, in Beaumont and in scattered around suburban that Dallas. and in in

Matt Olney

Okay. Thanks, guys. appreciate I it.

Joe West

Thanks, Matt.

Paul Egge

Thank you, Matt.

Operator

comes question next with from Will Jones KBW. Our

Will Jones

Great. Good guys. morning,

Robert Franklin

morning. Good

Will Jones

the you Could where loan to the discussion loans That kind you for helpful and loan Thanks. loans of back maybe wanted beta points you're yield have I where you portfolio any and I is help as here today you expectation, a just gave great? from So go us guys but seeing yields on where will, loan a renewing help to don't here? us yielding obviously we where you’re see be know through walk data today. above yields guide us you're if just you minute. the trending year if continue just going where us throughout would loan well is originating was on

Robert Franklin

sure. Well,

of to then know, whole earlier the up that some on went portfolio. So levels the at increases I similar in continue originate be all the -- to the all X.XX, weighted us take and up, beginning the end a yields average the pick would waterfall whole of continue in portfolio. whole to add around these with that allowed if of X.XX -- went if loan that so and we that quarter kind you all that. if that waterfall pick if those thought happened pick basis payoffs, I what's happening the we at would the that. mentioned don't guess from points I to to have components anything yes, to advances to on we're XX up And portfolio there's on from for new you Paul,

Paul Egge

loans in first that at coming are on and reported in higher quarter are committee maybe in we're the little coupon good even pipeline and of for And that. the seeing quarter. in bit the really seeing So a what that that, we

Will Jones

you you the time, you Do peaked kind has That's what the from feel of are you helpful. margin, accelerating kind repricing; here, on like really And as like here. and may great. be whole, the beta Okay, and deposit coming asset more the decline then, of think as will story throughout here? trend as benefit a costs we have do same margin margin deposit continue we about how at some year or a the

Robert Franklin

be I But we such feel is high expanding with to great the margins. Last maintain to maintain is feel and as of our that going bullish I from do extremely -- proud of maintaining strong environment. It's margins. margin, high did. level about think margins respect ability our in absolute in good here. an we’d to do we're that effort of ability be hard quarter, to And everything a to our organization's of such to didn't value I it job protect to the current

that be to So But I it win And it's can sell other maintain. to hard imagine to a than maintain. we don't great anything it'd do want short.

Paul Egge

and not we pretty able continues to are good but that's on deposits at rates. going to stop, loans pressures Market on put

defend to So a our expectation margin to try bit. is our

So that's attempt going what we're to do. to

Robert Franklin

how It’s deposit has noting the competitive worth market just been.

but we feel well that positioned So moving there's of to anyone there a heck parts margin, on as a fight of lot battle.

Will Jones

win keep environment. in great. stable That's definitely That's to Awesome. this a margin the

stay to than it you you of course loan guide we for the quarter. any a is year, better is confidence digit last So loan high you the to there. on then you as little or just at single upper better range relative to low still conviction growth, or mid maybe expecting or more guidance, guys, through me, see you that would stay were grew to, least or part drift lastly the at that that echo you like give more it feels that I on and sentiment we even word that single kind go Can a maybe loans of gave maybe just pace the conservative loans do can And here of grow growth? digit

Robert Franklin

at for the course what I that of Not mid looking talking quarter. the think still it's the next what course, staying answer think we've we're least was the When of I sure of results that half year, in that what at -- thinking. of happen quarter, the first about. but been is the look what anymore. that's you will think the at we're indicative back single digit is probably Not I

Will Jones

Okay, great. Thanks, guys.

Robert Franklin

you. Thank

Operator

[Operator Instructions].

next question Brad Sandler. Our from comes with Piper Milsaps

Brad Milsaps

Hi. Good morning.

Robert Franklin

Hi, Brad.

Paul Egge

Good morning.

Brad Milsaps

my taking for questions. Thanks

a the up You did follow lot. Paul But have guys want to margin. addressed on

I guys bearing shown a to-date. XX% like something interest beta, have cumulative deposit XX% maybe a think you

think get kind headed of Just wanted where to could where those are they and sense you out? a of ultimately top

Paul Egge

is was unfortunately, of Yes, numbers. to deposits, And closer XX%. In nailed XX%. QX, right for That interest our top bearing it cumulative beta all comes on it. to-date, my unfortunately about for you

So there's played being definitely is intensely up a measure competitive market. what in deposit of catch

what drive believe we close So wholesale on out And what is that company, our is to as really the why be grow sides beta is being we're do. we're And balance certainly temporary close to your all but to to seek even the And customer to the peel balance our core what customer of kind sheet liability the out support makes customers, seek And that we're are core what's what close focused funding it's core We of cycle. when the trying to customer of ultimately for and at. about of shown customer lower, what data. relationships we maximum where case. customers that we is hike to rate feel side to core to to strong balance you both funds probably going end sheet. the going we're our But that's sheet the -- be And hope drive going here that's managing and and it’s isn't we that's flexibility. retention. pleased special on value we're us ultimately acquisition to like

Brad Milsaps

seem your appreciate Maybe margin betas guess a -- just kind look, forecast? that little to I higher cost -- would but certainly just If in lowest brokered, the the the maybe CDs, sort to that, core to the I what XXX want would but trying advances. cost; down it to this into facts that on stabilize of your willingness be math all have kind quarter. I step drill from kind I of bit. of would decent number the your It of a of appreciate NIM FHLB would driving try category first shifted down

So just a trying get that to sense of magnitude?

Paul Egge

to Yes, I The positioned, feel but on hard it's can't be not but magnitude, comment there. We on speak you're bullish the right really to hugely to the NIM. is well magnitude. pressure

Brad Milsaps

pace, to of what you what of a standpoint? the just might Okay, have curious got from year kind it, for difficult is predict. just update kind this understand. thanks you scheduled The know, And guys then next I or just accretion, left. on the expect on But

Paul Egge

$XX million The planned quarter. did to recognitions We not quarter. million first more the $X.X right. in absolutely of was like or a $X accretion banking You're million be expect income pace our to be of

as in assets have So or selling environment, loans accretion measured have expect we to benefited been didn't excess. from ultimately you're people another, to early. loans didn't that's down the going ultimately We drives We to current In and expect what's one reason paying or windfall just this. the what much. be for because called down, rate

the which to the -- is behavior will I the future. planned in that first there's bit million you predict accretion -- on we've going think can't is think probably provide about then $XX what seen be we excess That in of banking that when more So that future that. new and/or the income, better had from to of It's recurring market behavior. we'll million initially of another But probably -- accretion don't posit those I But Naturally, that year. doesn't There's a into X.X or now upside expectation the info on want windfall there's quarter May be to loans. this or excess base paydowns. not little revenue, to loans certainly north reprice fall I to able about our accelerated of for we think because by I'm replaced kind the about scheduled, comes income. when that so. comes that And from category. be what's in either terms income, or accretion some But what scheduled

Brad Milsaps

picture for And Got question Bob. you, it. final maybe just bigger

at continue volatile coming banks so, too capital most later do environment about a as said much buyback year guys you'll continue thoughts to as back. uncertainty accreting to the a particularly the You higher. Any like too like the are even with or fast it speak you relatively that get such, climb seems the pace. right capital to And accretion now, as have ratios around it's in

Robert Franklin

I think, things. out at this get at there. doing we several as that Brad, Fed of be We I stops want right where capital it's levels to we minds buybacks, happening And at of the in what I'd as other we really -- better the what to opportunities understand well dividends, back there. achieve, what's to get to and accrete But at uncertainty think growth the look of back doing look we we'll need mind of look positioned this out want and be it's the side through to our thing through say as in look now and are, our our we the it's certainly to capital. get that want we

ourselves position have So all us. available to we're the trying to options to

Paul Egge

we In have do an that active authorization. vein,

Brad Milsaps

Still and half. the kind a know, Right. tax is expect in touch the XX%? $XXX,XXX quarter And of don't that then rate That's helpful. the just to starting still the Durbin about? And Paul, I housekeeping. or bill million number to about, X.X under two final tax Is second think

Paul Egge

Yes, rate so quarter’s current virtue tax reason tad of some our has no a rate going front. lower that the no updates a maybe And -- But on hair forward. run of book. sold too, muni crept up having by a the fine

Brad Milsaps

appreciate it. guys. Perfect. I you, Thank

Robert Franklin

Thank you.

Paul Egge

Thanks.

Operator

Franklin today's turn for That remarks. session. question-and-answer like to closing concludes I'd back call Bob the to

Robert Franklin

in Bancorp. done. Stellar that, today And you Thank I you. our with Thank interest think everyone's call for is

Operator

Thank participating. concludes for This call. conference today's you

may disconnect. now You

Stellar Bancorp (STEL) 28 Apr 232023 Q1 Earnings call transcript