Financial Performance - Wintrust Financial Corporation reported a record net income of $695.0 million or $10.31 per diluted common share for the year ended December 31, 2024, representing an increase of 11.6% from $622.6 million or $9.58 per diluted common share in 2023[2]. - For the fourth quarter of 2024, net income was $185.4 million or $2.63 per diluted common share, up from $170.0 million or $2.47 per diluted common share in the third quarter of 2024, marking a 7.9% increase[3]. - Net income for Q4 2024 was $185,362 thousand, an increase from $170,001 thousand in Q3 2024, which is a 7.9% rise[67]. - Net income applicable to common shares for Q4 2024 was $178,371, up from $116,489 in Q4 2023, representing a year-over-year increase of approximately 53.3%[113]. Loan and Deposit Growth - Total loans increased by approximately $1.0 billion, or 8% annualized, and total deposits increased by approximately $1.1 billion, or 9% annualized, in the fourth quarter of 2024[5]. - Total loans reached $48,055,037 thousand, up 2.1% from $47,067,447 thousand in the prior quarter[62]. - Total deposits increased to $52,512,349 thousand, a growth of 2.15% from $51,404,966 thousand in the previous quarter[62]. - Non-interest-bearing deposits grew to $11.41 billion, up 6.25% from $10.74 billion in the previous quarter[66]. Interest Income and Margin - Net interest income for the fourth quarter of 2024 totaled $525.1 million, an increase of $22.6 million compared to the third quarter of 2024, primarily due to a $2.6 billion increase in average earning assets[26]. - The net interest margin remained stable at 3.49% during the fourth quarter of 2024, unchanged from the third quarter of 2024[27]. - Total interest income for Q4 2024 was $913,501,000, an increase from $908,604,000 in Q3 2024, representing a 0.1% growth[67]. - Net interest income after provision for credit losses was $508,169,000 for Q4 2024, up from $480,249,000 in Q3 2024, reflecting a 5.0% increase[67]. Non-Interest Income - Total non-interest income for Q4 2024 was $113,451,000, slightly up from $113,147,000 in Q3 2024[112]. - Mortgage banking revenue increased by $4.5 million to $20.5 million in Q4 2024, primarily due to a $5.5 million positive impact from net fair value marks[53]. - Total wealth management income for the year ended December 31, 2024, was $146,227, an increase of $15,620 or 12% compared to 2023[102]. Expenses and Efficiency - Non-interest expenses totaled $368.5 million in the fourth quarter of 2024, an increase of $7.9 million compared to $360.7 million in the third quarter of 2024[43]. - The efficiency ratio (GAAP) improved to 57.46% in Q4 2024 from 58.88% in Q3 2024, indicating better operational efficiency[112]. - Salaries and employee benefits totaled $817.108 million for the year ended December 31, 2024, reflecting an increase of $69.095 million or 9% compared to $748.013 million in 2023[109]. Credit Quality - Non-performing loans decreased to $170.8 million, or 0.36% of total loans, at December 31, 2024, down from $179.7 million, or 0.38% of total loans, at September 30, 2024[32]. - The provision for credit losses totaled $17.0 million in the fourth quarter of 2024, a decrease from $22.3 million in the third quarter of 2024[9]. - The allowance for loan losses as a percentage of loans at period end was 0.76%, slightly down from 0.77% in the previous quarter[93]. Acquisitions and Growth Strategy - The Company completed the acquisition of Macatawa on August 1, 2024, with preliminary goodwill recorded at approximately $142.1 million[56]. - Wintrust operates 16 community bank subsidiaries across multiple states, including Illinois, Wisconsin, Michigan, Florida, and Indiana[115]. - The company is focused on internal growth and plans to form additional de novo banks or branch offices as part of its growth strategy[119]. Market and Economic Conditions - The company faces risks related to economic conditions, including housing prices and job market fluctuations, which may impact liquidity and loan performance[119]. - Regulatory changes and compliance costs are significant factors that could affect the company's operations and profitability[122]. - The transition from LIBOR to alternative benchmark rates may impact current and future transactions for the company[122].
Wintrust Financial Corp Series F Pfd(WTFCN) - 2024 Q4 - Annual Results