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Amalgamated Financial (AMAL) - 2024 Q4 - Annual Results
AMALAmalgamated Financial (AMAL)2025-01-23 11:25

Net Interest Margin and Income - Net interest margin expanded 8 basis points to 3.59%[4] - Net interest income grew 1.0million,or1.41.0 million, or 1.4%, to 73.1 million[4] - Net interest margin improved to 3.59% in Q4 2024, compared to 3.44% in Q4 2023[46] - Net interest income increased to 73,094thousandinQ42024,comparedto73,094 thousand in Q4 2024, compared to 67,319 thousand in Q4 2023[49] - Net interest income for December 31, 2024, was 401.3million,withayieldof4.99401.3 million, with a yield of 4.99%, compared to 358.1 million and a yield of 4.67% for December 31, 2023[51] - Net Interest Income (GAAP) for the year ended December 31, 2024, was 282.430million,upfrom282.430 million, up from 261.311 million in 2023[59] Loans and Loan Portfolio - Net loans receivable increased 126.4million,or2.8126.4 million, or 2.8%, to 4.6 billion[4] - Total multifamily and commercial real estate loan portfolio of 1.8billionhadconcentrationof2011.8 billion had concentration of 201% to total risk-based capital[4] - Loans receivable, net of deferred loan origination costs, increased to 4.67 billion as of December 31, 2024, up 5.9% from 4.41billioninDecember2023[43]−Totalloansheldforinvestmentgrewto4.41 billion in December 2023[43] - Total loans held for investment grew to 4,672,924 thousand in Q4 2024, up from 4,411,319thousandinQ42023[48]−Nonaccrualloansdecreasedto4,411,319 thousand in Q4 2023[48] - Nonaccrual loans decreased to 21.0 million in December 2024 from 33.2millioninDecember2023,reflectingimprovedassetquality[55]−Nonaccrualloanstototalloansdecreasedto0.4533.2 million in December 2023, reflecting improved asset quality[55] - Nonaccrual loans to total loans decreased to 0.45% in Q4 2024, down from 0.75% in Q4 2023[46] - Criticized and classified loans to total loans ratio improved to 2.06% in December 2024 from 2.48% in December 2023[57] - Net charge-offs for total loans decreased to 0.36% in December 2024 from 0.51% in December 2023, indicating better credit quality[57] - The allowance for credit losses (ACL) to total portfolio balance for total loans decreased to 1.29% in December 2024 from 1.49% in December 2023[57] Deposits - Total deposits decreased 414.0 million, or 5.5%, to 7.2billion[4]−Totaldepositsdecreasedto7.2 billion[4] - Total deposits decreased to 7.18 billion as of December 31, 2024, down 2.4% from 7.59billioninSeptember2024[43]−TotaldepositsexcludingBrokeredCDsreached7.59 billion in September 2024[43] - Total deposits excluding Brokered CDs reached 7,430,584 thousand in Q4 2024, up from 6,734,844thousandinQ42023[49]−TotaldepositsexcludingBrokeredCDsincreasedto6,734,844 thousand in Q4 2023[49] - Total deposits excluding Brokered CDs increased to 7.28 billion in 2024 from 6.56billionin2023,withacostofdepositsrisingfrom0.966.56 billion in 2023, with a cost of deposits rising from 0.96% to 1.47%[51] - Total deposits increased to 7.18 billion in December 2024 from 7.01billioninDecember2023,withacostofdepositsrisingfrom1.177.01 billion in December 2023, with a cost of deposits rising from 1.17% to 1.53%[53] - Non-interest-bearing demand deposit accounts increased to 2.87 billion in December 2024 from 2.94billioninDecember2023,maintaininga0.002.94 billion in December 2023, maintaining a 0.00% cost of funds[53] - Super-core deposits are defined as total deposits from customers with a relationship length of over 5 years[34] Net Income and Earnings - Net income of 24.5 million, or 0.79perdilutedshare,comparedto0.79 per diluted share, compared to 27.9 million, or 0.90perdilutedshare[4]−Corenetincomeof0.90 per diluted share[4] - Core net income of 28.0 million, or 0.90perdilutedshare,comparedto0.90 per diluted share, compared to 28.0 million, or 0.91perdilutedshare[4]−NetincomeforQ42024was0.91 per diluted share[4] - Net income for Q4 2024 was 24.49 million, compared to 22.70millioninQ42023,representinga7.922.70 million in Q4 2023, representing a 7.9% increase[41] - Earnings per share (diluted) for Q4 2024 was 0.79, compared to 0.74inQ42023,a6.80.74 in Q4 2023, a 6.8% increase[44] - Core net income (non-GAAP) for the year ended December 31, 2024, was 107.760 million, compared to 90.459millionin2023[59]AssetQualityandNonperformingAssets−Totalnonperformingassetsdecreasedto90.459 million in 2023[59] Asset Quality and Nonperforming Assets - Total nonperforming assets decreased to 25.9 million in December 2024 from 34.2millioninDecember2023,showingimprovedassetquality[55]−Nonaccrualloansdecreasedto34.2 million in December 2023, showing improved asset quality[55] - Nonaccrual loans decreased to 21.0 million in December 2024 from 33.2millioninDecember2023,reflectingimprovedassetquality[55]−Criticizedandclassifiedloanstototalloansratioimprovedto2.0633.2 million in December 2023, reflecting improved asset quality[55] - Criticized and classified loans to total loans ratio improved to 2.06% in December 2024 from 2.48% in December 2023[57] - Net charge-offs for total loans decreased to 0.36% in December 2024 from 0.51% in December 2023, indicating better credit quality[57] - The allowance for credit losses (ACL) to total portfolio balance for total loans decreased to 1.29% in December 2024 from 1.49% in December 2023[57] Capital Ratios and Equity - Common Equity Tier 1 Capital Ratio of 13.90% and Tangible Common Equity Ratio of 8.41%[1] - Tangible book value per share increased 0.31, or 1.4%, to 22.60[4]−Bookvaluepercommonshare(excludingminorityinterest)increasedto22.60[4] - Book value per common share (excluding minority interest) increased to 23.07 as of December 31, 2024, up 20.0% from 19.23inDecember2023[44]−Tangiblecommonequityexcludesminorityinterests,preferredstock,goodwill,andcoredepositintangibles[35]−Tangiblecommonequity(non−GAAP)asofDecember31,2024,was19.23 in December 2023[44] - Tangible common equity excludes minority interests, preferred stock, goodwill, and core deposit intangibles[35] - Tangible common equity (non-GAAP) as of December 31, 2024, was 693.231 million, up from 570.078millionin2023[59]−Averagetangiblecommonequity(non−GAAP)fortheyearendedDecember31,2024,was570.078 million in 2023[59] - Average tangible common equity (non-GAAP) for the year ended December 31, 2024, was 634.426 million, compared to 515.357millionin2023[59]Non−InterestIncomeandExpense−Totalnon−interestincomeforQ42024was515.357 million in 2023[59] Non-Interest Income and Expense - Total non-interest income for Q4 2024 was 4.79 million, a 49.1% decrease from 9.41millioninQ42023[41]−Totalnon−interestexpenseforQ42024was9.41 million in Q4 2023[41] - Total non-interest expense for Q4 2024 was 41.14 million, up 9.0% from 37.75millioninQ42023[41]−Non−interestincome(GAAP)forQ42024was37.75 million in Q4 2023[41] - Non-interest income (GAAP) for Q4 2024 was 4.789 million, a decrease from 9.406millioninQ42023[59]−Corenon−interestexpenseexcludesbranchclosurecosts,restructuring,andacquisition−relatedexpenses[30]−Coreoperatingrevenueisdefinedastotalnetinterestincomepluscorenon−interestincome[32]−Coreoperatingrevenue(non−GAAP)forQ42024was9.406 million in Q4 2023[59] - Core non-interest expense excludes branch closure costs, restructuring, and acquisition-related expenses[30] - Core operating revenue is defined as total net interest income plus core non-interest income[32] - Core operating revenue (non-GAAP) for Q4 2024 was 82.577 million, compared to 75.814millioninQ42023,showingayear−over−yearincrease[59]PACEAssessments−TotalPACEassessmentsgrew75.814 million in Q4 2023, showing a year-over-year increase[59] PACE Assessments - Total PACE assessments grew 17.9 million, or 1.5% to 1.2billion[4]−ResidentialPACEassessmentsavailableforsaleincreasedto1.2 billion[4] - Residential PACE assessments available for sale increased to 152,011 thousand in Q4 2024, up from 53,303thousandinQ42023[48]−TotalPACEassessmentsgrewto53,303 thousand in Q4 2023[48] - Total PACE assessments grew to 1,196,625 thousand in Q4 2024, compared to 1,130,572thousandinQ42023[48]CoreMetricsandRatios−CoreefficiencyratioisdefinedasCorenon−interestexpensedividedbyCoreoperatingrevenue,usedforperformancecomparison[28]−Corenetincomeexcludesgains/lossesonsecuritiessales,restructuringcosts,andothernon−coreitemsforclearerperformanceevaluation[29]−CorereturnonaverageassetsiscalculatedasCorenetincomedividedbyaveragetotalassets[32]−CorereturnonaveragetangiblecommonequityisCorenetincomedividedbyaveragetangiblecommonequity[33]−Corereturnonaveragetangiblecommonequity(non−GAAP)was16.131,130,572 thousand in Q4 2023[48] Core Metrics and Ratios - Core efficiency ratio is defined as Core non-interest expense divided by Core operating revenue, used for performance comparison[28] - Core net income excludes gains/losses on securities sales, restructuring costs, and other non-core items for clearer performance evaluation[29] - Core return on average assets is calculated as Core net income divided by average total assets[32] - Core return on average tangible common equity is Core net income divided by average tangible common equity[33] - Core return on average tangible common equity (non-GAAP) was 16.13% in Q4 2024, compared to 16.22% in Q4 2023[46] Miscellaneous - Total assets as of December 31, 2024, were 8.3 billion, with total net loans at 4.6billionandtotaldepositsat4.6 billion and total deposits at 7.2 billion[25] - Trust business held 35.0billioninassetsundercustodyand35.0 billion in assets under custody and 14.6 billion in assets under management as of December 31, 2024[25] - Total assets grew to 8.26billionasofDecember31,2024,a3.68.26 billion as of December 31, 2024, a 3.6% increase from 7.97 billion in December 2023[43] - Total interest-earning assets increased to 8.04billionin2024from8.04 billion in 2024 from 7.66 billion in 2023, with a yield increase from 4.67% to 4.99%[51] - Weighted average common shares outstanding (diluted) for Q4 2024 was 30.98 million, up 1.2% from 30.62 million in Q4 2023[44] - Return on average assets increased to 1.17% in Q4 2024, up from 1.13% in Q4 2023[46] - Loan yield rose to 5.00% in Q4 2024, up from 4.68% in Q4 2023[46] - Securities loss for Q4 2024 was 1.003million,downfrom1.003 million, down from 2.340 million in Q4 2023[59] - ICS One-Way Sell Fee Income for the year ended December 31, 2024, was (17.194)million,comparedto(17.194) million, compared to 0 in 2023[59] - Changes in fair value of loans held-for-sale for the year ended December 31, 2024, was 8.383million,comparedto8.383 million, compared to 0 in 2023[59] - Severance costs for the year ended December 31, 2024, were (472)thousand,comparedto(472) thousand, compared to (665) thousand in 2023[59]