Financial Performance - Net income for the three months ended September 30, 2024, was $8,535,000, down from $13,314,000 in the same period of 2023, a decline of 35.5%[9] - Earnings per share (diluted) decreased to $0.23 for the three months ended September 30, 2024, compared to $0.36 for the same period in 2023, a drop of 36.1%[8] - The company reported a total comprehensive income of $48,817,000 for the three months ended September 30, 2024, compared to a loss of $45,371,000 in the same period of 2023[9] - Net interest income after provision for credit losses was $24,868,000 for the three months ended September 30, 2024, down from $33,525,000 for the same period in 2023, a decrease of 25.9%[8] - Noninterest income totaled $12,340,000 for the three months ended September 30, 2024, compared to $9,831,000 in the same period of 2023, an increase of 25.6%[8] Assets and Liabilities - Total assets increased to $5,236,503,000 as of September 30, 2024, compared to $5,078,350,000 at December 31, 2023, reflecting a growth of 3.1%[5] - Total liabilities increased to $4,796.8 million as of September 30, 2024, from $4,673.9 million at December 31, 2023, an increase of 2.6%[6] - The company’s total stockholders' equity rose to $439,678,000 as of September 30, 2024, compared to $404,415,000 at December 31, 2023, an increase of 8.7%[6] Loans and Credit Losses - Net loans rose to $3,244,331,000, up from $3,163,687,000, marking an increase of 2.5%[5] - The allowance for credit losses increased to $36,186,000 as of September 30, 2024, from $34,440,000 at December 31, 2023[5] - The provision for credit losses for the three months ended September 30, 2024, was $6,807,000, compared to $182,000 for the same period in 2023, showing a significant increase[39] - Loans charged off during the three months ended September 30, 2024, totaled $5,116,000, compared to $525,000 for the same period in 2023, indicating a rise in charge-offs[39] Investment and Acquisitions - The company completed a merger with Emclaire Financial Corp., resulting in a transaction value of approximately $92.6 million, which included issuing 4.2 million shares and cash of $33.4 million[23] - Goodwill recorded from the Emclaire acquisition amounted to $72.9 million, attributed to expected synergies and market expansion opportunities[24] - The total consideration paid for the acquisition of Emclaire was $92.642 million, consisting of $33.440 million in cash and $59.202 million in stock[26] Capital Adequacy - The common equity tier 1 capital ratio for the consolidated entity is 10.91%, exceeding the minimum requirement of 4.5%[176] - The total risk-based capital ratio for the consolidated entity is 14.34%, well above the required minimum of 8.0%[176] - The tier 1 leverage ratio for the consolidated entity stands at 8.20%, surpassing the minimum requirement of 4.0%[176] Cash and Cash Equivalents - Total cash and cash equivalents at the end of the period reached $189,136,000, compared to $93,923,000 at the end of September 2023, reflecting a year-over-year increase of 101.0%[13] - Cash and cash equivalents totaled $189,136 thousand, with $21,149 thousand in Level 1 and $167,987 thousand in Level 2[143] Noninterest Income - Total noninterest income for the three months ended September 30, 2024, was $12.34 million, compared to $9.83 million for the same period in 2023, indicating a significant increase[103] - Service charges on deposit accounts for the bank segment reached $5.421 million for the nine months ended September 30, 2024, compared to $5.421 million in the same period of the previous year[105] Other Financial Metrics - The company recognized tax credits and other benefits from affordable housing tax credits amounting to $602 thousand in Q3 2024, up from $558 thousand in Q3 2023, an increase of 7.9%[199] - The company reported a total loan balance of $30.497 billion with an ACL balance of $618 thousand for purchased loans as of September 30, 2024[101] - The company has established a fair value measurement process for its financial instruments, utilizing Level 1, Level 2, and Level 3 inputs[116]
Farmers National Banc(FMNB) - 2024 Q3 - Quarterly Report