1st Source (US:SRCE)2025-01-23 21:07Financial Performance - Record net income of $132.62 million for 2024, up 6.16% from $124.93 million in 2023[2] - Fourth quarter net income was $31.44 million, an increase of 10.58% compared to $28.43 million in Q4 2023[2] - Diluted net income per common share for 2024 was $5.36, up 6.56% from $5.03 in 2023[4] - Net income available to common shareholders for the twelve months ended December 31, 2024, was $132,623 thousand, representing an increase of 6.0% from $124,927 thousand in 2023[36] - Net income available to common shareholders for the three months ended December 31, 2024, was $31,438,000, compared to $28,429,000 in 2023, marking an increase of 10.6%[41] Asset and Liability Growth - Total assets increased to $8,931,938 thousand as of December 31, 2024, compared to $8,727,958 thousand a year earlier, reflecting a growth of 2.3%[36] - Total assets as of December 31, 2024, were $8,824,464,000, an increase from $8,553,500,000 in 2023, reflecting a growth of 3.2%[42] - Total assets increased to $8,739,539,000 as of December 31, 2024, compared to $8,414,797,000 in 2023, reflecting a growth of 3.86%[44] - Total liabilities rose to $7,750,432 thousand, an increase of 1.2% from $7,659,695 thousand in the previous year[40] Loan and Deposit Metrics - End of period loans and leases reached $6.85 billion, up $336.30 million or 5.16% from $6.52 billion in 2023[4] - Average loans and leases for 2024 were $6.60 billion, an increase of $394.47 million or 6.36% from 2023[9] - End of period deposits net of brokered deposits were $6.73 billion, up $324.14 million or 5.06% from $6.41 billion in 2023[4] - Average deposits for 2024 were $7.12 billion, an increase of $161.71 million or 2.32% from 2023[10] - Total deposits reached $7,230,035 thousand, reflecting a 2.7% increase from $7,038,581 thousand year-over-year[40] Income and Expense Analysis - Noninterest income for 2024 was $86.31 million, down $4.32 million or 4.76% compared to 2023[14] - Noninterest income decreased to $18,482 thousand in Q4 2024 from $20,076 thousand in Q4 2023, a decline of 7.9%[36] - Total noninterest expense for the twelve months ended December 31, 2024, was $203,601,000, compared to $199,158,000 in 2023, showing an increase of 2.2%[41] - The company reported a total noninterest income of $86,307,000 for the twelve months ended December 31, 2024, compared to $90,623,000 in 2023[46] Efficiency and Profitability Ratios - The efficiency ratio for Q4 2024 was 55.40%, compared to 57.77% in Q4 2023, indicating improved operational efficiency[36] - The efficiency ratio (GAAP-derived) for the twelve months ended December 31, 2024, was 52.59%, slightly improved from 53.93% in 2023[46] - Return on average assets for Q4 2024 was 1.42%, down from 1.59% in the previous quarter[36] - Common equity-to-assets ratio (GAAP-derived) stood at 12.44% as of December 31, 2024, compared to 11.34% in 2023[46] Asset Quality and Risk Management - The allowance for loan and lease losses was 2.27% of total loans and leases as of December 31, 2024[20] - Nonperforming assets to loans and leases ratio was 0.46% as of December 31, 2024, compared to 0.37% a year earlier, indicating a slight deterioration in asset quality[36] - The allowance for loan and lease losses was $155,540 thousand, slightly higher than $147,552 thousand a year earlier, indicating a proactive approach to risk management[40] - The provision for credit losses for loans and leases for the three months ended December 31, 2024, was $3,904,000, up from $1,911,000 in 2023, representing a significant increase of 104.5%[41] Shareholder Returns - Common cash dividends declared remained stable at $0.36 per share for both Q4 2024 and Q3 2024[36] - Book value per common share (GAAP-derived) increased to $45.31 as of December 31, 2024, from $40.50 in 2023[46]