Financial Performance - Fourth quarter net income applicable to common shares was $149.8 million, with diluted EPS of $0.47; adjusted net income was $156.0 million, or $0.49 per diluted share[1][2][3]. - Full-year net income applicable to common shares reached $523.1 million, with diluted EPS of $1.68; adjusted net income was $578.1 million, or $1.86 per diluted share[1]. - Net income available to common shareholders for Q4 2024 was $149,839,000, compared to $116,250,000 in Q4 2023, marking a 28.9% increase[32]. - The diluted EPS for Q4 2024 was $0.47, up from $0.40 in Q4 2023, representing a growth of 17.5%[32]. - Adjusted net income applicable to common shares for the period was $155,989 million, compared to $147,216 million in the previous period, reflecting an increase of 1.2%[45]. - The diluted EPS for the current period was $0.47, up from $0.44 in the previous period, representing a growth of 6.8%[45]. - Total revenue for the three months ended December 31, 2024, was $495,723,000, compared to $492,006,000 for the same period in 2023, reflecting a year-over-year increase of 0.35%[46]. Loan and Deposit Metrics - Total loans at period-end were $36.3 billion, reflecting a decrease of 1.6% annualized; total commercial loan production for the quarter was $1.5 billion[2][9]. - Total loans at the end of Q4 2024 were $36,285,887,000, compared to $33,623,319,000 at the end of Q4 2023, showing an increase of 7.9%[32]. - Total deposits at period-end were $40.8 billion, consistent with the previous quarter, with core deposits increasing by 1.9% annualized[2][9]. - Total deposits at the end of Q4 2024 were $40,823,560,000, compared to $37,699,418,000 at the end of Q4 2023, reflecting an increase of 5.6%[32]. - Demand deposits increased to $9.51 billion, compared to $9.37 billion in the previous quarter[39]. - Demand deposits decreased to $9,424,577 from $10,633,806 in 2023[41]. Interest Income and Margin - Net interest income on a fully taxable equivalent basis was $400.0 million, with a net interest margin of 3.30%, down 2 basis points[2][9]. - Net interest income for Q4 2024 was $394,180,000, an increase from $356,458,000 in Q4 2023, representing a growth of 10.6% year-over-year[32]. - The company reported a net interest margin (FTE) of 3.30% for the quarter[39]. - The NIM (GAAP) for the current period was 3.26%, a slight decrease from 3.27% in the previous period[45]. - The NIM (FTE) for the current period was 3.30%, a slight decrease from 3.32% in the previous period[45]. Credit Quality and Provisions - Provision for credit losses was $27.0 million, with net charge-offs of $18.7 million, or 21 basis points of average loans[2][9]. - Provision for credit losses in Q4 2024 was $27,017,000, compared to $11,595,000 in Q4 2023, indicating a significant increase in provisions[32]. - The allowance for credit losses on loans increased to $(392,522) thousand, compared to $(307,610) thousand in the previous year, indicating a rise in provisions for potential loan losses[36]. - The net charge-offs (NCOs) for the three months ended December 31, 2024, were $18,735 thousand, an increase from $17,474 thousand in the prior quarter[42]. - The ratio of NCOs to average loans was 0.21% for the three months ended December 31, 2024, compared to 0.19% in the prior quarter[42]. Operational Efficiency - Noninterest expense was $276.8 million, including $8.1 million of merger-related charges; adjusted noninterest expense was $268.7 million[2][15]. - The efficiency ratio was 54.4%, while the adjusted efficiency ratio was 51.8%[2][15]. - The efficiency ratio for Q4 2024 was 54.4%, slightly improved from 58.3% in Q4 2023[32]. - The adjusted efficiency ratio for the three months ended December 31, 2024, was 51.8%, compared to 51.2% in the same period of 2023, indicating improved cost management[47]. Capital and Equity - Preliminary regulatory Tier 1 common equity to risk-weighted assets was 11.38%, up 38 basis points[2][15]. - Total capital ratio at the end of the period was 13.37%, up from 12.64% in the previous quarter[33]. - Shareholders' equity rose to $6.34 billion, up from $5.28 billion year-over-year[39]. - Average shareholders' common equity increased to $6,095,234,000 as of December 31, 2024, compared to $5,946,352,000 in the previous quarter, marking a 2.5% rise[48]. Future Outlook - The company anticipates continued growth in net interest income and noninterest income driven by strategic initiatives and market expansion[27]. - Future guidance indicates a projected increase in earnings per share, with expectations of reaching $1.50 for the next quarter[44]. - The company plans to enhance its market presence through strategic acquisitions and partnerships in the upcoming fiscal year[44].
OLD NATIONAL BAN(ONBPO) - 2024 Q4 - Annual Results