Pinnacle Financial Partners(US:PNFP)2025-01-21 22:15Financial Performance - Pinnacle Financial Partners reported diluted EPS of $1.91 for Q4 2024, a 60.5% increase from $1.19 in Q4 2023[1] - Total revenues for Q4 2024 were $475.3 million, an increase of approximately 19.9% from $396.4 million in Q4 2023[14] - Basic earnings per common share for Q4 2024 were $1.93, compared to $0.65 in Q4 2023[47] - Net income available to common shareholders for the year ended December 31, 2024, was $459.86 million, down from $546.96 million in 2023, indicating a decrease of 15.9%[29] - Basic net income per common share for Q4 2024 was $1.93, compared to $1.20 in Q4 2023, reflecting a year-over-year increase of 60.8%[29] Revenue and Income Growth - Noninterest income for Q4 2024 was $111.5 million, a 41.0% increase from $79.1 million in Q4 2023[9] - Total interest income for Q4 2024 was $684.36 million, an increase of 6.1% compared to $644.80 million in Q4 2023[29] - Pre-tax, pre-provision net revenue (PPNR) for Q4 2024 was $213.4 million, a 47.0% increase from $145.2 million in Q4 2023[8] - Total noninterest income for the year ended December 31, 2024, was $1.03 billion, an increase from $887.77 million in 2023, marking a rise of 16.2%[29] Asset and Deposit Growth - Total assets increased to $52.6 billion, a linked-quarter annualized increase of 14.9% and a year-over-year increase of 9.7%[5] - Total deposits reached $42.84 billion, a significant increase from $38.54 billion in the previous year, marking a growth of 11.9%[28] - Loan growth for Q4 2024 was $1.2 billion, representing a 13.7% linked-quarter annualized growth[5] - Total loans increased to $35,485,776 thousand, up from $34,308,310 thousand in the previous quarter, representing a growth of 3.43%[32] Expense Management - Noninterest expense for Q4 2024 was $261.9 million, a 4.3% increase from $251.2 million in Q4 2023[10] - Salaries and employee benefits increased to $164.7 million in Q4 2024, reflecting a year-over-year increase of 23.5% from $133.3 million in Q4 2023[13] - The efficiency ratio improved to 55.10%, down from 63.37% in Q4 2023[45] - Total expenses for 2024 were approximately $1.0 billion, consistent with the outlook from the previous quarter[15] Credit Quality and Loss Provisions - Provision for credit losses for Q4 2024 was $29.65 million, up from $16.31 million in Q4 2023, indicating a year-over-year increase of 81.8%[29] - The allowance for credit losses stood at $414.49 million, up from $353.06 million a year prior, indicating a rise of 17.4%[28] - Nonaccrual loans increased to $147,825 thousand in December 2024, up from $119,293 thousand in September 2024, representing a 23.5% increase[41] Strategic Initiatives and Outlook - The firm is optimistic about revenue growth in 2025, driven by a steeper yield curve and an experienced banking team[14] - Future growth strategies include potential acquisitions and expansion into new geographic markets, although specific targets were not detailed[28] - The company is focused on maintaining low-cost core deposits while navigating a challenging economic environment[28] Shareholder Value - Book value per common share increased to $80.46 as of Dec. 31, 2024, up from $75.80 at Dec. 31, 2023[15] - The closing sales price of common stock on the last trading day of December 2024 was $114.39, up from $97.97 in September 2024, representing a 16.0% increase[43] - The company’s shareholders' equity rose to $6,223,844 as of December 31, 2024, compared to $5,794,917 in 2023[37]