Shore Bancshares(US:SHBI)2025-01-30 22:09Financial Performance - Net income for Q4 2024 was $13.3 million, or $0.40 per diluted share, up from $11.2 million, or $0.34 per diluted share in Q3 2024, and $10.5 million, or $0.31 per diluted share in Q4 2023[3]. - Net income for the fiscal year 2024 increased to $43.9 million, or $1.32 per diluted share, compared to $11.2 million, or $0.42 per diluted share for fiscal year 2023[3]. - Net income for Q4 2024 reached $13,282 thousand, representing an 18.71% increase from Q3 2024 and a 26.60% increase from Q4 2023, totaling $43,889 thousand for the year, a significant rise of 290.89% compared to 2023[37]. - Basic net income per common share for Q4 2024 was $0.40, up 17.65% from Q3 2024 and 25.00% from Q4 2023, with an annual total of $1.32, a 214.29% increase from 2023[37]. - Net income for Q4 2024 was $13,282 thousand, an 18.71% increase from Q3 2024 and a 26.62% increase from Q4 2023[46]. Interest Income and Expenses - Net interest income for Q4 2024 rose by $748 thousand to $44.0 million, driven by a $363.1 million increase in average interest-earning assets[6]. - Net interest income for Q4 2024 was $44.0 million, up from $43.3 million in Q3 2024 and $41.5 million in Q4 2023, reflecting a $1.7 million increase in interest income[21]. - Total interest income for Q4 2024 was $76,404 thousand, a 2.30% increase compared to Q3 2024 and a 7.41% increase compared to Q4 2023[45]. - Total interest expense for Q4 2024 was $32,393 thousand, a 3.08% increase from Q3 2024 and a 9.40% increase from Q4 2023[45]. - Interest on deposits increased to $30,363 thousand in Q4 2024, a 5.22% increase from Q3 2024 and a 7.93% increase from Q4 2023[45]. Asset and Liability Management - Total assets increased by $219.8 million, or 3.66%, to $6.23 billion at December 31, 2024, compared to $6.01 billion at December 31, 2023[8]. - Total liabilities increased by 3.45% to $5,689,697 thousand compared to $5,499,783 thousand in December 2023[44]. - Total deposits rose by $142.2 million, or 2.64%, to $5.53 billion at December 31, 2024, primarily due to a $304.8 million increase in noninterest-bearing deposits[17]. - Total deposits increased by 2.64% to $5,528,336 thousand from $5,386,120 thousand in December 2023[44]. - Cash and cash equivalents rose by 23.48% to $459,851 thousand from $372,413 thousand in December 2023[43]. Credit Quality and Allowance for Losses - Nonperforming assets increased to $24.8 million, or 0.40% of total assets, at December 31, 2024, compared to $15.8 million, or 0.27% of total assets, at September 30, 2024[16]. - The allowance for credit losses was $57.9 million at December 31, 2024, with the ACL as a percentage of loans decreasing to 1.21%[6]. - The provision for credit losses was $780 thousand in Q4 2024, down from $1.5 million in Q3 2024 and $896 thousand in Q4 2023, indicating an improved economic outlook[23]. - The provision for credit losses for the year ended December 31, 2024, was $4.7 million, significantly lower than $31.0 million in 2023, reflecting improved credit quality post-merger[30]. - Nonperforming assets rose to $24,796 thousand in Q4 2024, compared to $13,701 thousand in Q4 2023, reflecting an increase of 81.06%[71]. Efficiency and Operational Metrics - The efficiency ratio improved to 64.21% in Q4 2024 from 67.49% in Q3 2024, indicating enhanced operating leverage[6]. - The efficiency ratio improved to 64.21% in Q4 2024 from 68.61% in Q4 2023, indicating better cost management[60]. - Total noninterest expense for Q4 2024 was $33.9 million, a decrease of $171 thousand from Q3 2024, but an increase of $273 thousand from Q4 2023, primarily due to higher salaries and employee benefits[25]. - Total noninterest income for Q4 2024 was $8.9 million, an increase of $1.6 million from Q3 2024 and $1.3 million from Q4 2023, driven by higher mortgage banking revenue[24]. - Adjusted noninterest expense for Q4 2024 was $31,645,000, slightly up from $30,473,000 in Q4 2023, reflecting a year-over-year increase of 3.8%[60]. Capital and Equity - Total stockholders' equity increased by $29.9 million, or 5.86%, compared to December 31, 2023, with total equity to total assets ratio at 8.68%[20]. - The tangible common equity ratio improved to 7.17% at December 31, 2024, compared to 6.78% at December 31, 2023[9]. - Common Tier 1 Capital to Risk-Weighted Assets (RWA) was 9.44% in Q4 2024, an increase of 17 basis points from Q3 2024 and 75 basis points from Q4 2023[42]. - Total capital reached $591,228,000 in Q4 2024, compared to $539,572,000 in Q4 2023, marking an increase of 9.6%[66]. - Stockholders' equity rose to $538,184 thousand as of December 31, 2024, compared to $507,040 thousand in the previous year, reflecting a growth of 6.15%[49].