FOR IMMEDIATE RELEASE                                                                       

NASHVILLE, TN, April 18, 2024 – Truxton Corporation, the parent company for Truxton Trust Company (“Truxton” or “the Bank”) and subsidiaries, announced its operating results for the quarter ended March 31, 2024.  First quarter net income attributable to common shareholders was $4.33 million, or $1.48 per diluted share, compared to $4.29 million, or $1.47 per diluted share, for the same quarter in 2023.  Net income and fully diluted earnings per share for the quarter both rose by 1% compared to the first quarter of 2023.

“We are pleased to start 2024 with another quarter of financial growth lead by our core businesses,” said Chairman and CEO Tom Stumb.  “Truxton Wealth revenue increased by 15% while total deposits were 9% higher compared to the same quarter last year, both driven by superior client service and key relationship growth.” 

On May 28, 2024, we anticipate opening our new office location at 20 Burton Hills Blvd, Suite 200, Nashville, TN, 37215. Our original location served us well for almost 20 years. However, we are excited to be in a new space that allows us to accelerate organizational growth, elevate our service experience, and enhance the convenience and safety of our clients and employees. We look forward to seeing you there.

Key Highlights

• Non-interest income grew to $5.1 million in the first quarter of 2024, which was up $929 thousand over the fourth quarter of 2023 and $629 thousand over the first quarter of 2023. The fourth quarter of 2023 included $445 thousand of net losses on the sale of securities while the first quarter of 2023 included $58 thousand of net gains on sales of securities.  There were no gains or losses on the sale of securities in the first quarter of 2024.  Excluding securities gains and losses, non-interest income in the first quarter of 2024 was up 10% compared to the prior quarter and 15% compared to the first quarter of 2023.  Wealth management constituted 96% of non-interest income in the first quarter of 2024, compared to 95% and 94%, for the fourth quarter of 2023 and first quarter of 2023, respectively, when excluding gains and losses on sales of securities. 
• Loans increased by less than 1% to $660 million at quarter end compared to $658 million on December 31, 2023, and were up 5% compared to $626 million on March 31, 2023.
• Total deposits increased by 9% from $782 million at December 31, 2023, to $850 million at March 31, 2024, and were 10% higher in comparison to $771 million at March 31, 2023. Truxton continues to fund its growth from a single banking location led by its commitment to provide what it believes is superior deposit operations service and technology.
• Net interest margin for the first quarter of 2024 was 2.62%, a decrease of 16 basis points from the 2.78% experienced in the quarter ended December 31, 2023, and a decrease of 13 basis points from the 2.75% in the quarter ended March 31, 2023. Cost of funds was 3.33% in the first quarter of 2024, up from 3.15% for the quarter ended December 31, 2023, and up from 2.27% for the quarter ended March 31, 2023. 
• The build-out of Truxton’s new headquarters began this past January along with the accounting for the new lease. As a result, occupancy expenses rose by 67% compared to the prior quarter due to the dual accounting cost for our current and new Nashville office leases. After the move in late May, Truxton will only have the cost of the new Nashville headquarters lease but will have higher depreciation expenses for the capitalized costs associated with the new office.
• Allowance for credit losses, excluding that for unfunded commitments, was $6.3 million at quarter end March 31, 2024, compared to $6.3 million at December 31, 2023, and $6.0 million at March 31, 2023. For those three periods, such allowance amounts were 0.96%, 0.96%, and 0.95%, respectively, of gross loans outstanding at period end.  For the same three periods, the Bank’s allowance for unfunded commitments was $374 thousand, $411 thousand, and $507 thousand, respectively.
• The Bank’s capital position remains strong. Its Tier 1 leverage ratio was 10.40% at March 31, 2024, compared to 10.53% at December 31, 2023, and 10.29% at March 31, 2023.  Book value per common share was $30.61, $30.31, and $25.71 at March 31, 2024, December 31, 2023, and March 31, 2023, respectively.
• During the three months ended March 31, 2024, Truxton Corporation paid dividends of $1.43 per common share, inclusive of a $1.00 special cash dividend paid on March 25, 2024.

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About Truxton

Truxton is a premier provider of wealth, banking, and family office services for wealthy individuals, their families, and their business interests.  Serving clients across the world, Truxton’s vastly experienced team of professionals provides customized solutions to its clients’ complex financial needs.  Founded in 2004 in Nashville, Tennessee, Truxton upholds its original guiding principle: do the right thing. Truxton Trust Company is a subsidiary of financial holding company, Truxton Corporation (OTCPK: TRUX).  For more information, visit truxtontrust.com.