-
Adjusted Earnings Per Share: $0.71
-
Return on Assets: 1.7%
-
Return on Tangible Common Equity: 19.9%
-
Net Interest Margin: 3.94%
-
Loan Growth: Exceeded 7% on an annualized basis
-
Total Deposits Growth: Approximately 16% on an annualized basis
-
Noninterest Income: Increased by more than 13% to $241.8 million
-
Total Revenue: Approximately $154 million, a 2% increase over 2023
-
Total Loans: Increased by 7.6% to $11.8 billion
-
Total Deposits: Increased by 7.2% to $14.3 billion
-
Tangible Common Equity: Increased by 56 basis points to 7.73%
-
Tangible Book Value Per Share: Increased from $12.38 to $14.15, a 14% increase
-
Nonperforming Assets: Flat at 0.36%
-
Classified Assets: Increased by 7 basis points to 1.21%
-
Net Charge Offs: 40 basis points on an annualized basis
-
ACL Coverage: Decreased 4 basis points to 1.33% of total loans
-
Provision Expense: $9.4 million
-
Capital Ratios: Tangible book value at $14.15; Tangible common equity ratio at 7.7%
Release Date: January 24, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
-
Adjusted earnings per share were strong at $0.71, with a return on assets of 1.7% and return on tangible common equity of 19.9%.
-
Loan growth exceeded expectations, with a 7% annualized increase, and total deposits surged by approximately 16% on an annualized basis.
-
Noninterest income was robust, with significant increases in leasing, foreign exchange, and wealth management income.
-
The company achieved record revenue of approximately $154 million, a 2% increase over 2023.
-
Asset quality remained stable, with nonperforming assets flat at 0.36% and net charge-offs slightly elevated but expected to improve.
-
Net interest margin declined from 4.4% to 3.94% due to decreases in short-term rates.
-
Expenses increased by 5% from the linked quarter, driven by higher incentive compensation.
-
Classified assets increased by 7 basis points to 1.21%, primarily due to a terminated foreign exchange trade.
-
Provision expense was $9.4 million, driven by loan growth and net charge-offs.
-
The company anticipates some seasonal deposit outflows in the first quarter of 2025, potentially impacting deposit balances.
Q: Can you explain the expected loan growth for the first quarter of 2025 and how it compares to 2024? A: Archie Brown, President & CEO, noted that loan growth is expected to moderate to low single digits due to seasonal factors and increased payoffs in commercial real estate. However, overall loan activity remains healthy with positive client outlooks.