umbia Financial(CLBK) - 2024 Q4 - Annual Results

Financial Performance - For Q4 2024, Columbia Financial, Inc. reported a net loss of $21.2 million, or$0.21 per share, compared to a net income of $6.6 million, or$0.06 per share, in Q4 2023[2]. - For the year ended December 31, 2024, the company reported a net loss of $11.7 million, compared to a net income of$36.1 million for 2023[13]. - The company reported a net loss of $21,223 thousand for the three months ended December 31, 2024, compared to a net income of$6,569 thousand in the same period of 2023[67]. - Total income decreased to $22,711 thousand in Q4 2024 from$56,588 thousand in Q4 2023[72]. Income and Expenses - The company experienced a decrease in non-interest income of $35.0 million, primarily due to a$34.6 million loss on securities transactions[10]. - Net interest income for Q4 2024 was $46.4 million, an increase of$1.1 million, or 2.4%, from $45.3 million in Q4 2023[5]. - Non-interest income for the year was$1.9 million, a decrease of $25.5 million, or 93.1$27.4 million in 2023[19]. - Non-interest expense decreased by $1.1 million, or 0.6$181.3 million for the year ended December 31, 2024, primarily due to a reduction in compensation and employee benefits expense[20]. - Non-interest expense for Q4 2024 was $46,596 thousand, slightly down from$47,999 thousand in Q4 2023[72]. Credit Losses and Provisions - The provision for credit losses increased to $2.9 million in Q4 2024, up from$1.2 million in Q4 2023[9]. - The provision for credit losses increased to $2,876 thousand in Q4 2024 from$1,155 thousand in Q4 2023, reflecting a rise of approximately 149.5%[47]. - The allowance for credit losses on loans was $60.0 million, or 0.76$55.1 million, or 0.70%, at December 31, 2023[33]. - The allowance for credit losses on loans was $59,958 thousand, which is 276.29$170.1 million, or 1.6%, to $10.5 billion at December 31, 2024, mainly due to a decrease in cash and cash equivalents[22]. - Total liabilities decreased by$210.1 million, or 2.2%, to $9.4 billion at December 31, 2024, primarily due to a decrease in borrowings of$448.1 million[28]. - Total deposits increased to $8.1 billion at December 31, 2024, with a weighted average interest rate of 2.47$9,395,117 thousand in December 2024 from $9,605,233 thousand in December 2023, a decline of about 2.2$40.0 million, or 3.8%, to $1.1 billion at December 31, 2024, driven by stock-based compensation and an increase in other comprehensive income[29]. - Total stockholders' equity increased to$1,080,376 thousand in December 2024 from $1,040,335 thousand in December 2023, an increase of approximately 3.9$954,054 thousand in Q4 2024, a decrease from $1,007,716 thousand in Q4 2023[70]. Loan Performance - Loans receivable, net, increased by$37.5 million, or 0.5%, to $7.9 billion at December 31, 2024, with increases in multifamily, construction, and commercial business loans[25]. - Total gross loans increased to$7,869,447 thousand as of December 31, 2024, compared to $7,824,665 thousand a year earlier[63]. - Non-performing loans totaled$21.7 million, or 0.28% of total gross loans, at December 31, 2024, an increase from $12.6 million, or 0.16%, at December 31, 2023[31]. Interest Rates and Margins - The company's net interest margin for the year decreased by 34 basis points to 1.82% compared to 2.16% in 2023[17]. - The average yield on loans for the year increased by 46 basis points to 4.90% compared to 4.44% in 2023[15]. - The average cost of total interest-bearing deposits increased to 3.13% in 2024 from 2.76% in 2023, reflecting rising interest rates[57]. - The interest rate spread for the three months ended December 31, 2024, was 1.23%, compared to 1.21% in the same period of 2023[57]. Efficiency and Capital Ratios - The efficiency ratio significantly deteriorated to 205.17% for the quarter, compared to 78.95% in the previous quarter[60]. - The company’s total capital to risk-weighted assets ratio was 14.20% as of December 31, 2024, slightly up from 14.08% in 2023[64]. - The company’s Tier 1 capital to risk-weighted assets ratio stood at 13.40% as of December 31, 2024, compared to 13.32% in 2023[64]. - Core return on average tangible equity increased to 4.74% in Q4 2024 from 3.99% in Q4 2023[70].