Welcome to our dedicated page for Versabank news (Ticker: VBNK), a resource for investors and traders seeking the latest updates and insights on Versabank stock.
VersaBank (TSX: VBNK, NASDAQ: VBNK) is a pioneering financial institution headquartered in London, Ontario. Recognized as the world's first fully digital bank, VersaBank employs a highly efficient business-to-business model that leverages state-of-the-art financial technology. This unique approach enables the bank to source deposits, consumer loans, commercial loans, and leases electronically, targeting underserved segments of the Canadian banking market.
Founded as a provincially licensed trust company in 1979 and granted a Schedule I license under the Bank Act (Canada) in 2002, VersaBank has consistently innovated to maintain robust profitability while mitigating risk. The bank focuses on providing innovative deposit and lending solutions for financial intermediaries, which in turn, allows those entities to excel in their core businesses.
VersaBank's operations are not confined to traditional banking methods. The bank also makes residential development and commercial mortgages through a well-established network of brokers and direct interactions with its lending staff. Their advanced IT security software, developed internally, led to the creation of DRT Cyber Inc., a wholly-owned subsidiary based in Washington, DC, focusing on large-market opportunities in cybersecurity.
In recent news, VersaBank reported strong performance for the third quarter of fiscal 2023, with net income reaching $10 million and significant growth in its loan portfolio. The year-over-year increase in net income was 75%, driven by the expansion of their innovative Point-of-Sale Financing portfolio. The bank's risk mitigation strategies and operating leverage have resulted in unmatched efficiency and return on common equity within the North American banking industry.
VersaBank's total regulatory capital at the end of this period stood at $460 million, reflecting consistent growth. Their net interest margin, although temporarily compressed due to higher rates on term deposits, remains robust, contributing to an all-time high net interest income of $24.9 million for the quarter.
The bank is also in the process of acquiring a US national OCC-chartered bank, a move expected to significantly bolster their Receivable Purchase Program in the United States. This acquisition is anticipated to drive total assets to transformative levels, further enhancing profitability and operational efficiency.
The VersaBank stock is traded on the Toronto Stock Exchange and Nasdaq under the symbol VBNK, and its Series 1 Preferred Shares under the symbol VBNK.PR.A. VersaBank continues to push the boundaries of digital banking, aiming for superior net interest margins and prudent risk management.
VersaBank (TSX: VBNK, NASDAQ: VBNK) will announce its first quarter 2022 financial results on March 2, 2022, at 7:00 a.m. (EST). The earnings conference call starts at 9:00 a.m. (EST) and will last approximately 60 minutes. President & CEO David Taylor and other executives will present the financial results, followed by a Q&A session. Interested parties can access the call by phone or via a webcast, with archived materials available for 90 days. VersaBank operates as a fully digital bank, focusing on underserved market segments.
VersaBank, a leader in digital banking and cybersecurity technology, announced a change in its Toronto Stock Exchange ticker symbol from VB to VBNK, effective January 25, 2022. This change aligns its TSX symbol with its Nasdaq symbol, which remains unchanged. Additionally, the Bank's non-cumulative 5-year Rate Reset Preferred Shares will now trade under the symbol VBNK.PR.A. This move aims to enhance brand consistency across exchanges and does not impact trading or the Bank's operational strategy.
VersaBank (NASDAQ: VBNK) reported significant financial growth for Q4 and the entire year 2021, highlighting a 33% increase in total revenue to $18.2 million and a 21% increase to $65.4 million year-over-year. Net income rose 25% to $5.9 million in Q4 and 15% to $22.4 million for the year, with earnings per share up by 17% to $0.96. The cost of funds decreased by 13% to 1.31%, while total loans surged 27% year-over-year to a record $2.1 billion. The bank is also advancing its Digital Deposit Receipt initiative, aiming for further growth in 2022.
VersaBank (NASDAQ: VBNK) announced cash dividends of CAD $0.025 per Common Share and CAD $0.1693 per Series 1 Preferred Share for the quarter ending January 31, 2022. These dividends are payable on January 31, 2022, to shareholders on record as of January 7, 2022. The declared dividends are eligible for tax purposes.
Incorporating a fully digital banking model, VersaBank aims to profitably address underserved market segments, enhancing shareholder value through sustainable business practices.
VersaBank (NASDAQ: VBNK) announces an expansion of its closed ecosystem testing for Digital Deposit Receipts (DDRs), now including US dollar-denominated DDRs (VUSD) alongside previously tested Canadian dollar-denominated DDRs (VCAD). The testing incorporates Algorand and Ethereum blockchains and is being conducted in partnership with Stablecorp. The DDR model aims to offer a regulatory-compliant alternative to existing stablecoins, enhancing security and transparency. A SOC 2 audit is in progress, with plans for a commercial launch in early 2022.
VersaBank (TSX: VB, NASDAQ: VBNK) will announce its Annual 2021 financial results on December 1, 2021, at 7:00 a.m. (EST). An earnings conference call will follow at 9:00 a.m. (EST), featuring insights from David Taylor, President & CEO. The event is set to last about 60 minutes and includes a Q&A session. Interested participants can access the call through an audio line or a live webcast, with the latter being archived for 90 days. VersaBank is recognized as the world’s first fully digital financial institution, focusing on underserved market segments.
VersaBank (TSX: VB; NASDAQ: VBNK) will present virtually at the Investor Summit Q4 Conference on November 17, 2021, at 9:30 a.m. ET. CEO David Taylor will discuss the Bank’s efficient digital operations, which have achieved a 23% compound annual growth rate in net income over the past six years. The Bank’s new lending channel aims to penetrate the $200 billion Canadian home financing market. Additionally, the presentation will highlight DRT Cyber’s innovative security solutions and recent acquisition of Digital Boundary Group, enhancing its cybersecurity capabilities.
VersaBank (TSX: VB, NASDAQ: VBNK) announced the cancellation of 7,477 unexchanged common shares, representing 0.0272% of its outstanding shares, effective October 7, 2021. These shares were from predecessor classes not deposited during the amalgamation with PWC Capital Inc. on January 31, 2017. VersaBank's current outstanding share capital is 27,441,082 common shares and 1,461,460 series 1 preferred shares. The bank continues to leverage technology to address underserved market segments and has expanded into cybersecurity through its subsidiary, DRT Cyber Inc.
VersaBank announced the full exercise of an over-allotment option in its public offering, resulting in the sale of an additional 825,000 common shares at US $10.00 per share. This increase brings the total number of shares sold to 6,325,000, generating gross proceeds of US $63,250,000. The offering was managed by a syndicate led by Raymond James & Associates and Keefe, Bruyette & Woods. The funds are expected to support VersaBank's future growth and innovation within the digital banking and cybersecurity sectors.
VersaBank has successfully closed its public offering of 5,500,000 common shares at $10.00 per share, generating gross proceeds of $55 million. The offering, managed by Raymond James & Associates and Keefe, Bruyette & Woods, aims to bolster the bank's Common Equity Tier 1 capital and will be used for general banking purposes. An option for underwriters to purchase an additional 825,000 shares exists for market stabilization for 30 days post-offering. This issuance may impact shareholder value due to potential dilution.
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