Company: TCBI
Filing Date: 2025-10-23
Form Type: 10-Q
Source: 0001077428-25-000145
Chunk: 13

Company: TEXAS CAPITAL BANCSHARES INC/TX
Filing Date: 2025-10-23
Form: 10-Q
Item: Part I, Item 2
Chunk 13
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 accruing$126 $4,265 Loans held for investment past due 90 days to total loans held for investment— %0.02 %Loans held for sale past due 90 days and accruing$— $— 

Summary of Credit Loss Experience

The provision for credit losses, comprised of a provision for loans and off-balance sheet credit losses, is a charge to earnings to maintain the allowance for credit losses at a level consistent with management’s assessment of expected losses at each balance sheet date.

The Company recorded a provision for credit losses of $44.0 million for the nine months ended September 30, 2025, compared to a provision of $49.0 million for the nine months ended September 30, 2024. The provision for credit losses for the nine months ended September 30, 2025 reflects an increase in total loans held for investment and $36.5 million in net charge-offs recorded during the nine months ended September 30, 2025, partially offset by decreases in criticized loans and non-accrual loans. Criticized loans totaled $529.7 million at September 30, 2025, compared to $714.0 million at December 31, 2024.

The table below presents key metrics related to the Company’s credit loss experience: 

September 30, 2025September 30, 2024Allowance for credit losses on loans to total loans held for investment1.13 %1.23 %Allowance for credit losses on loans to average total loans held for investment(1)1.20 %1.30 %Total allowance for credit losses to total loans held for investment1.37 %1.43 %Total provision for credit losses to average total loans held for investment(1)(2)0.26 %0.31 %

(1)Ratios are calculated using average balance for the nine months ended September 30, 2025 and 2024, respectively.

(2)Ratios are annualized utilizing provision for credit losses for the nine months ended September 30, 2025 and 2024, respectively.

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The table below details net charge-offs/(recoveries) as a percentage of average total loans by portfolio segment:

Nine Months Ended September 30,20252024(dollars in thousands)NetCharge-offsNet Charge-offsto AverageLoans(1)NetCharge-offs