Financial Performance - Net Income for 2024 was $32,825,000, down 17.9% from $39,960,000 in 2023[303] - Basic Earnings Per Share decreased to $1.05 in 2024 from $1.29 in 2023, a decline of 18.6%[303] - Net income for 2024 was $32.8 million, down from $40.0 million in 2023, representing a decrease of 18%[313] - Earnings per diluted common share decreased to $1.03 in 2024 from $1.27 in 2023, a decline of 18.9%[313] - Adjusted net income for 2024 was $33.4 million, compared to $40.0 million in 2023, a decrease of 16.5%[313] - Pre-Provision Net Revenue for 2024 is $45,876 thousand, a decrease of 11.0% from $51,588 thousand in 2023[425] - Net Income for 2024 is $32,825 thousand, down 17.7% from $39,960 thousand in 2023[425] - Net income available to common shareholders for 2024 is $28,771,000, a decrease of 20% from $35,906,000 in 2023[427] Asset and Loan Growth - Total Assets increased by 9.8% to $5,066,242,000 in 2024 from $4,611,990,000 in 2023[304] - Total Loans, Gross rose by 3.9% to $3,868,514,000 in 2024 compared to $3,724,282,000 in 2023[304] - Total assets increased to $4.68 billion in 2024 from $4.49 billion in 2023, an increase of 4.2%[318] - Total gross loans rose by $144.2 million, or 3.9%, to $3.87 billion at December 31, 2024, compared to $3.72 billion in 2023[373] - The Company experienced a moderation in loan growth in 2024, with a 0.7% increase excluding loans acquired in the FMCB transaction[373] Deposits and Funding - Deposits grew by 10.2% to $4,086,767,000 in 2024 from $3,709,948,000 in 2023[304] - The acquisition of FMCB added approximately $245,000,000 in assets and $225,700,000 in deposits[308] - The company had total uninsured deposits of approximately $1.14 billion, or 28% of total deposits, at December 31, 2024, compared to $900.0 million, or 24%, in 2023[393] - Brokered deposits decreased by $198.7 million to $825.8 million at December 31, 2024, from $1.02 billion in 2023[391] - Core deposits totaled approximately $3.11 billion at December 31, 2024, representing 76.0% of total deposits[420] Interest Income and Expense - Net Interest Income for 2024 was $102,193,000, a decrease of 2.3% from $105,174,000 in 2023[303] - Total interest income on a tax-equivalent basis for 2024 was $247.1 million, an increase of $23.2 million, or 10.4%, from $223.9 million in 2023[328] - Interest income on loans for 2024 was $205.6 million, a $13.0 million, or 6.7%, increase from $192.7 million in 2023[330] - Interest expense on interest bearing liabilities was $143.7 million for 2024, an increase of $26.5 million, or 22.6%, from $117.2 million in 2023[332] - Interest expense on deposits rose to $128.8 million in 2024, a $32.8 million, or 34.1%, increase from $96.0 million in 2023[333] Efficiency and Ratios - The Efficiency Ratio increased to 57.9% in 2024 from 53.0% in 2023[303] - Return on Average Assets (ROA) for 2024 was 0.70%, down from 0.89% in 2023[303] - Return on average shareholder's equity (ROE) decreased to 7.45% in 2024 from 9.73% in 2023, a decline of 23.5%[314] - Core Net Interest Margin decreased to 2.19% in 2024 from 2.34% in 2023[426] - Adjusted return on average assets for 2024 is 0.71%, down from 0.89% in 2023, indicating a decrease of 20.2%[427] Credit Quality - Nonperforming Loans decreased to $301,000 in 2024 from $919,000 in 2023[304] - The allowance for credit losses on loans and leases was $52.3 million at December 31, 2024, an increase of $1.8 million from $50.5 million in 2023[385] - Loans classified as "watch/special mention" totaled $46.6 million at December 31, 2024, compared to $26.5 million in 2023, indicating a growing concern over asset quality[380] - The total balance of nonperforming assets and modified accruing loans was $301 thousand in 2024, down from $10,528 thousand in 2023[382] - The percentage of nonaccrual loans to total loans was 0.01% as of December 31, 2024, unchanged from 0.02% in 2023[382] Employee and Operational Changes - The company had 290 full-time equivalent employees at December 31, 2024, an increase from 255 employees in 2023, largely due to the FMCB acquisition[357] - Noninterest expense totaled $63.3 million for the year ended December 31, 2024, a $4.0 million, or 6.7%, increase from $59.3 million in 2023, mainly due to higher salaries and merger-related expenses[356] Capital and Liquidity - Total risk-based capital for the Company as of December 31, 2024, was $585,966 thousand, representing a ratio of 13.76%[408] - The Company's Tier 1 risk-based capital was $453,049 thousand, with a ratio of 10.64% as of December 31, 2024[408] - Total on- and off-balance sheet liquidity increased to $2.30 billion as of December 31, 2024, compared to $2.23 billion in 2023[418] - The ratio of primary liquidity to total deposits increased to 16.3% as of December 31, 2024, compared to 14.3% in 2023[419] - The Company maintained compliance with all established liquidity guidelines as of December 31, 2024[422]
BRIDGEWATER BANC(BWBBP) - 2024 Q4 - Annual Report