What caused VBNK's EPS surprises in recent quarters?

VersaBank's (VBNK) EPS has experienced surprises in recent quarters due to several key factors:

1. **Loan Growth and Digital Banking Operations**: VersaBank's EPS has been boosted by strong loan growth from its digital banking operations. The bank's focus on business-to-business digital banking and cybersecurity services has led to increased profitability.
2. **Strategic Acquisitions**: The bank's strategic acquisitions, such as the acquisition of Stearns Bank Holdingford N.A., have expanded its loan portfolio and market reach, contributing to higher EPS.
3. **Cost Management**: VersaBank's ability to manage non-interest expenses efficiently has positively impacted its net income and, consequently, its EPS. For instance, the bank reported a record high in total assets and net income despite increased non-interest expenses.
4. **Market Conditions**: The bank's performance has been strengthened by favorable market conditions, such as increased demand for digital banking services and cybersecurity solutions.

In summary, VersaBank's EPS surprises can be attributed to strong loan growth, strategic acquisitions, effective cost management, and favorable market conditions. These factors have collectively contributed to the bank's robust financial performance and earnings outperformance.