Sierra Bancorp(BSRR) - 2024 Q4 - Annual Results

Financial Performance - Consolidated net income for Q4 2024 was $10.4 million, a 65% increase from $6.3 million in Q4 2023[2] - Full year 2024 net income reached $40.6 million, up 16% from $34.8 million in 2023, with diluted earnings per share increasing to $2.82 from $2.36[6] - Basic earnings per share for Q4 2024 were $0.73, up from $0.43 in Q4 2023, representing a 69.77% increase[48] - The net income for the year ended December 31, 2024, was $40.6 million, compared to $34.8 million in 2023, representing a year-over-year increase of 16.0%[47] Asset and Loan Growth - Total loans grew by $242.7 million, or 12%, to $2.3 billion for the full year 2024, with a quarterly loan growth of $11.3 million, or 2% annualized[5][12] - Gross loans increased by $241.3 million, or 11.5%, compared to December 31, 2023, driven by organic growth in mortgage warehouse outstandings[31] - New credit extended (excluding mortgage warehouse) in Q4 2024 was $79.9 million, an increase of $18.7 million from the prior quarter and $53.2 million from Q4 2023[32] - Net loans increased to $2,306.6 million as of December 31, 2024, compared to $2,066.9 million a year earlier, reflecting a growth of approximately 11.6%[42] Deposits and Capital - Total deposits increased by $130.4 million, or 5%, to $2.9 billion by the end of 2024, with noninterest-bearing deposits representing 35% of total deposits[5][12] - Deposit balances grew by $130.4 million, or 5%, during the year ended 2024, with wholesale brokered deposits increasing by $140.0 million, or 104%[34] - Total capital increased by $19.2 million, or 6%, to $357.3 million at December 31, 2024, primarily due to $40.6 million in net income[36] - Shareholders' equity rose to $358,760 thousand as of December 31, 2024, compared to $310,680 thousand a year earlier[54] Efficiency and Ratios - The efficiency ratio improved to 59.7% in Q4 2024, down from 67.1% in Q4 2023, reflecting operational efficiencies[5] - Return on average assets improved to 1.13% in Q4 2024, compared to 0.67% in Q4 2023, while return on average equity rose to 11.49% from 8.03%[5] - The community bank leverage ratio increased to 11.80% at December 31, 2024, compared to 11.29% a year earlier[5][13] - Efficiency ratio for Q4 2024 improved to 59.74%, down from 67.10% in Q4 2023, showing enhanced operational efficiency[49] Interest Income and Margin - Net interest margin increased to 3.65% in Q4 2024, up from 3.31% in Q4 2023, driven by a $2.5 million increase in net interest income[5][15] - Net interest income for the year ended December 31, 2024, was $120.0 million, an increase of 6.0% from $112.4 million in 2023[47] - The net interest margin for the quarter was 3.65%, with net interest income of $30,353 thousand[54] - The net interest margin for the twelve months was 3.66%, with net interest income of $120,029 thousand[57] Noninterest Income and Expenses - Noninterest income decreased by $0.5 million, or 7%, in Q4 2024 compared to Q4 2023, but increased by $1.1 million, or 4%, for the full year 2024 compared to 2023[23] - Total noninterest expense decreased by $1.3 million, or 5%, in Q4 2024 compared to Q4 2023, while for the full year, it increased by $0.2 million, or 0.2%[25] Credit Quality - Credit loss expense related to loans was $2.3 million for Q4 2024, down from $3.6 million in Q4 2023, while year-to-date credit loss expense was $4.6 million compared to $4.1 million in 2023[20] - The ratio of nonperforming loans to gross loans increased to 0.84% at December 31, 2024, from 0.38% at December 31, 2023, due to an increase in non-accrual loan balances[37] - The allowance for credit losses on loans was $24.8 million at December 31, 2024, representing 1.07% of total loans, compared to 1.12% at the end of 2023[38] - Net charge-offs to average loans for Q4 2024 were 0.01%, a decrease from 0.15% in Q4 2023, indicating improved credit quality[49] Stock and Dividends - The company repurchased 229,850 shares of common stock at an average price of $29.38 during Q4 2024[5] - Common dividends for Q4 2024 were $0.24 per share, compared to $0.23 per share in Q4 2023, marking a 4.35% increase[48] - Tangible book value per share at the end of Q4 2024 was $23.15, up from $20.91 at the end of Q4 2023, a 10.73% increase[51]