Third Coast Bancshares, Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Third Coast Bancshares, Inc. has filed its annual 10-K report for the fiscal year ended December 31, 2023, detailing financial performance and disclosures.</b>

AI Summary

Third Coast Bancshares, Inc. (TCBX) filed a Annual Report (10-K) with the SEC on March 7, 2024. Third Coast Bancshares, Inc. filed its 2023 Form 10-K on March 7, 2024. The filing covers the fiscal year ending December 31, 2023. Key financial data points and disclosures related to loan impairment methodologies, fair value measurements, and hedging activities are included. The company's business address is 20202 Highway 59 North, Suite 190, Humble, TX 77338. The filing references various financial instruments and asset classifications, including consumer loans, real estate loans, and corporate bonds.

Why It Matters

For investors and stakeholders tracking Third Coast Bancshares, Inc., this filing contains several important signals. This 10-K filing provides a comprehensive overview of Third Coast Bancshares' financial health, operational performance, and risk factors for the 2023 fiscal year, crucial for investors assessing the company's stability and future prospects. The detailed disclosures on loan portfolios, fair value measurements, and hedging activities offer insights into the company's risk management strategies and its exposure to market fluctuations.

Risk Assessment

Risk Level: medium — Third Coast Bancshares, Inc. shows moderate risk based on this filing. The company operates in the savings institutions sector, which is subject to regulatory oversight and market volatility, as indicated by the numerous financial disclosures and risk-related terms in the filing.

Analyst Insight

Investors should review the detailed financial statements and risk factor sections of the 10-K to understand the company's performance and potential challenges.

Key Numbers

• 2023-12-31 — Fiscal Year End (Reporting period)
• 2024-03-07 — Filing Date (Date of submission)

Key Players & Entities

• Third Coast Bancshares, Inc. (company) — Filer name
• 2023-12-31 (date) — Fiscal year end
• 2024-03-07 (date) — Filing date
• Humble, TX (location) — Business address city and state

FAQ

Risk Factors

• Loan Impairment Methodology [medium — financial]: The filing details the company's methodology for loan impairment, including specific loan types like consumer loans and real estate loans, and their respective past-due statuses.
• Fair Value Measurements [medium — financial]: Disclosures cover fair value measurements for various financial instruments, including US Treasury Bond Securities and Corporate Bond Securities, categorized by fair value input levels (Level 2).
• Hedging Activities [medium — financial]: The company reports on its use of cash flow and fair value hedging instruments, including risk participation agreements purchased.

Key Dates

• 2023-12-31: Fiscal Year End — End of the reporting period for the 10-K.
• 2024-03-07: Filing Date — Date the 10-K was officially submitted to the SEC.

Glossary

LoanImpairmentMethodologyMember

Indicates disclosures related to the methods used for accounting for loan impairments. (Essential for understanding the company's credit risk management and potential losses on its loan portfolio.)

FairValueInputsLevel2Member

Refers to financial assets or liabilities valued using observable inputs other than quoted prices in active markets. (Provides insight into the valuation techniques and the level of subjectivity in determining the fair value of assets and liabilities.)

CashFlowHedgingMember

Designates financial instruments used to hedge against variability in cash flows. (Helps assess the company's strategies to mitigate risks associated with future cash flow fluctuations.)

Key Financial Figures

• $1.00 — ch registered Common Stock, par value $1.00 per share TCBX The Nasdaq Stock Mar
• $4.40 b — n a consolidated basis, total assets of $4.40 billion, total loans of $3.64 billion, to
• $3.64 b — assets of $4.40 billion, total loans of $3.64 billion, total deposits of $3.80 billion
• $3.80 billion — ans of $3.64 billion, total deposits of $3.80 billion and total shareholders' equity of $412.
• $412.0 million — llion and total shareholders' equity of $412.0 million. On August 16, 2023, the Bank filed a
• $126.3 m — r 31, 2023, our legal lending limit was $126.3 million, and our largest relationship was
• $51.0 million — llion, and our largest relationship was $51.0 million. In order to ensure compliance with leg
• $2 million — rm is completed on real estate loans of $2 million or greater, given that these loans tend
• $38.9 m — owings under the line of credit totaled $38.9 million, or 1.0% of total liabilities, an
• $80.6 m — ilities, and subordinated notes totaled $80.6 million, or 2.0% of total liabilities. At
• $11.1 million — abilities. At December 31, 2023, we had $11.1 million available to be drawn on the line of cr
• $10 million — d and discussed for relationships under $10 million and $10 million and over, respectively.

Filing Documents

• tcbx-20231231.htm (10-K) — 7177KB
• tcbx-ex4_2.htm (EX-4.2) — 47KB
• tcbx-ex21_1.htm (EX-21.1) — 11KB
• tcbx-ex23_1.htm (EX-23.1) — 4KB
• tcbx-ex31_1.htm (EX-31.1) — 15KB
• tcbx-ex31_2.htm (EX-31.2) — 15KB
• tcbx-ex32_1.htm (EX-32.1) — 9KB
• tcbx-ex32_2.htm (EX-32.2) — 8KB
• tcbx-ex97_1.htm (EX-97.1) — 52KB
• img208716678_0.jpg (GRAPHIC) — 118KB
• 0000950170-24-027956.txt (&nbsp;) — 30403KB
• tcbx-20231231.xsd (EX-101.SCH) — 2846KB
• tcbx-20231231_htm.xml (XML) — 7919KB

Business

Business 3 Item 1A.

Risk Factors

Risk Factors 19 Item 1B. Unresolved Staff Comments 42 Item 1C. Cybersecurity 42 Item 2.

Properties

Properties 43 Item 3.

Legal Proceedings

Legal Proceedings 44 Item 4. Mine Safety Disclosures 44 PART II Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities 45 Item 6. [Reserved] 46 Item 7.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 47 Item 7A.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 64 Item 8.

Financial Statements and Supplementary Data

Financial Statements and Supplementary Data 64 Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure 65 Item 9A.

Controls and Procedures

Controls and Procedures 65 Item 9B. Other Information 65 Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections 65 PART III Item 10. Directors, Executive Officers and Corporate Governance 66 Item 11.

Executive Compensation

Executive Compensation 66 Item 12.

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 66 Item 13. Certain Relationships and Related Transactions, and Director Independence 66 Item 14. Principal Accountant Fees and Services 66 PART IV Item 15. Exhibit and Financial Statement Schedules 67 Item 16. Form 10-K Summary 69 Important Notice about Information in this Annual Report Unless we state otherwise or the context otherwise requires, references in this Annual Report on Form 10-K to "we," "our," "us," "ourselves," "the Company," "Third Coast," and "TCBX" refer to Third Coast Bancshares, Inc., a Texas corporation, and its consolidated subsidiaries. All references to "Third Coast Bank", "the Bank", or "our Bank" refer to Third Coast Bank, SSB, a Texas state savings bank and our wholly owned bank subsidiary. All references to "TCCC" and "Third Coast Commercial Capital" refer to Third Coast Commercial Capital, Inc., a Texas corporation and wholly owned subsidiary of the Bank. The information contained in this Annual Report on Form 10-K is accurate only as of the date of this Annual Report on Form 10-K and as of the dates specified herein. 1 CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS This Annual Report on Form 10-K contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). These forward-looking statements reflect our current views with respect to, among other things, future events and our financial performance. These statements are often, but not always, made through the use of words or phrases such as "may," "should," "could," "predict," "potential," "believe," "will likely result," "expect," "continue," "will," "anticipate," "seek," "estimate," "intend," "plan," "projection," "would" and "outlook," or the negative version of those words or other com

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View this 10-K filing on SEC EDGAR