Amerant Bancorp (AMTB) - 2024 Q2 - Quarterly Results

Financial Performance - Net income attributable to the Company for Q2 2024 was $5.0 million, or $0.15 per diluted share, down from $10.6 million, or $0.31 per diluted share in Q1 2024[1]. - Non-interest income rose to $19.4 million, an increase of $4.9 million, or 34.0%, from $14.5 million in Q1 2024[5]. - Net income attributable to Amerant Bancorp Inc. was $4,963,000 for June 30, 2024, down from $10,568,000 in March 31, 2024[20]. - Core net income for June 30, 2024, was $9,307,000, down from $10,730,000 in the previous quarter[22]. - Basic earnings per common share decreased to $0.15 for June 30, 2024, compared to $0.32 for March 31, 2024[20]. Loan and Deposit Trends - Total gross loans increased to $7.32 billion, up $316.5 million, or 4.5%, compared to $7.01 billion in Q1 2024[3]. - Total deposits decreased to $7.82 billion, down $62.2 million, or 0.8%, compared to $7.88 billion in Q1 2024[3]. - Total deposits as of June 30, 2024, amounted to $7,816,011, a decrease from $7,878,243 on March 31, 2024[55]. - Non-interest bearing demand deposits increased to $1,465,140 thousand as of June 30, 2024, up from $1,397,331 thousand in March 31, 2024, reflecting a growth of about 4.9%[42]. Credit Quality and Loss Provisions - Provision for credit losses was $19.2 million, up $6.8 million, or 54.4%, compared to $12.4 million in Q1 2024[5]. - Total non-performing assets increased to $121.1 million, up $70.6 million, or 139.9%, compared to $50.5 million in Q1 2024[4]. - The allowance for credit losses was $94,400 thousand as of June 30, 2024, compared to $96,050 thousand in March 31, 2024, indicating a reduction of approximately 1.7%[42]. - Non-accrual loans totaled $97.05 million as of June 30, 2024, significantly up from $28.24 million in the previous quarter, marking a 243.5% increase[51]. Efficiency and Ratios - The efficiency ratio was 74.2%, compared to 72.0% in Q1 2024[5]. - The net interest margin (NIM) improved to 3.56% for June 30, 2024, from 3.51% in March 31, 2024[21]. - The total capital ratio decreased to 12.00% for June 30, 2024, from 12.49% in March 31, 2024[21]. - The efficiency ratio worsened to 74.21% for June 30, 2024, compared to 72.03% in March 31, 2024[21]. Asset Management - Assets Under Management and custody totaled $2.45 billion, up $94.2 million, or 4.0%, from $2.36 billion in Q1 2024[4]. - Total assets decreased to $9,747,738,000 as of June 30, 2024, from $9,817,772,000 on March 31, 2024[26]. - Stockholders' equity as of June 30, 2024, is $734,342,000, a slight decrease from $738,085,000 on March 31, 2024[26]. Shareholder Returns - The Company's Board of Directors declared a cash dividend of $0.09 per share of common stock[5]. - Cash dividends declared were $0.09 per share, with an aggregate payment of $3.0 million per quarter[22]. - The company repurchased 200,652 shares of Class A common stock at an average price of $22.17 per share, totaling approximately $4.4 million in the second quarter of 2024[22]. Strategic Initiatives - The company continues to focus on market expansion and new product development as part of its strategic initiatives[57]. - The company completed a restructuring of its bank-owned life insurance program in the fourth quarter of 2023, incurring additional expenses of $4.6 million[27].