Tim (in for Michael)'s questions to Origin Bancorp Inc (OBK) leadership • Q3 2024
Question
Tim from Raymond James inquired about where deposit cost relief might originate with falling rates, such as from CD repricing. He also asked about the expense-side opportunities in the upcoming strategic plan and what factors, macro or company-specific, are needed for the bank to return to its 8-10% loan growth target.
Answer
CFO Wally Wallace stated that deposit cost relief would be measured across all products, with a focus on letting higher-cost brokered deposits roll off. President and CEO of Origin Bank, Lance Hall, emphasized that deposit pricing is being actively managed. Regarding strategy, Chairman, President and CEO Drake Mills noted data is being used to find efficiencies, while Lance Hall added that all business lines are being analyzed for optimization. Hall also explained that returning to high growth is contingent on crossing the $10B asset threshold, which has been a governor on growth, and that the bank is now positioned with strong liquidity to 'take the shackles off'.