Byline Bancorp(US:BY)2026-01-22 21:15Financial Performance - Fourth quarter net income was $34.5 million, with diluted earnings per share of $0.76, while full year net income reached $130.1 million, up 7.7% from the previous year[1]. - Net interest income for the fourth quarter was $101.3 million, an increase of $1.4 million, or 1.4%, from the third quarter, and full year net interest income was $385.3 million, up $37.3 million, or 10.7%[4][7]. - Non-interest income for the fourth quarter was $15.7 million, a slight decrease of 0.6% from the previous quarter, while full year non-interest income was $60.9 million, an increase of 3.5% year-over-year[12][13]. - Net income for the three months ended December 31, 2025, was $34,521,000, down from $37,200,000 in the previous quarter, representing a decrease of 5%[43]. - Basic earnings per share for the three months ended December 31, 2025, was $0.77, compared to $0.82 in the previous quarter, reflecting a decline of 6%[43]. - Adjusted diluted earnings per common share for the year ended December 31, 2025, increased to $3.00 from $2.76 in 2024[45]. Interest Income and Margin - The tax-equivalent net interest margin for the fourth quarter was 4.36%, an increase of eight basis points from the previous quarter, and for the full year, it was 4.23%, up 25 basis points year-over-year[5][8]. - The net interest margin for Q4 2025 was 4.35%, up from 4.27% in Q3 2025 and 4.01% in Q4 2024[45]. - Total interest and dividend income for the year ended December 31, 2025, was $572,220,000, an increase from $565,929,000 in the previous year, reflecting a growth of 1%[43]. - Net interest income after provision for credit losses was $91,553,000 for the three months ended December 31, 2025, compared to $94,592,000 in the previous quarter, reflecting a decrease of 3%[43]. - The average yield on interest-earning assets was 6.21% for the quarter, compared to 6.33% in the same quarter last year, indicating a decrease of 0.12 percentage points[48]. Credit Losses and Provisions - Provision for credit losses for the fourth quarter was $9.7 million, an increase of $4.4 million from the third quarter, and for the full year, it was $36.1 million, up $9.1 million compared to the prior year[10][11]. - Provision for credit losses increased to $9,702,000 for the three months ended December 31, 2025, from $5,298,000 in the previous quarter, indicating a rise of 83%[43]. - The allowance for credit losses was $108.8 million as of December 31, 2025, an increase of 2.9% from the previous quarter and an increase of 11.1% from the previous year[24]. Assets and Equity - Total assets as of December 31, 2025, were $9.7 billion, a decrease of 1.6% from the previous quarter, but an increase of 1.6% compared to the previous year[22]. - Total stockholders' equity rose to $1.3 billion at December 31, 2025, an increase of $30.2 million, or 2.4%, from September 30, 2025, and up $176.4 million, or 16.2%, from December 31, 2024[31]. - Total stockholders' equity increased to $1,290.78 million, up from $1,094.02 million year-over-year, reflecting a growth of 17.96%[48]. Non-Performing Assets - Non-performing assets increased to $74.7 million, or 0.77% of total assets, as of December 31, 2025, up from $67.4 million, or 0.69% at September 30, 2025[27]. - Total non-performing loans and leases increased to $71,290 thousand, a rise of 12.9% from $63,158 thousand in the previous quarter[54]. - The allowance for credit losses as a percentage of non-performing loans and leases was 152.66%, down from 167.38% in the previous quarter[54]. Dividends and Share Repurchase - The Board declared a cash dividend of $0.12 per share, representing a 20.0% increase from the previous dividend of $0.10 per share[3]. - The company purchased 345,706 shares of common stock at an average price of $28.21 during Q4 2025 and 922,729 shares at an average price of $25.72 for the year[32]. Operational Efficiency - The efficiency ratio improved to 50.32% for the fourth quarter, compared to 51.00% for the third quarter, and for the full year, it was 51.83%, an improvement of 62 basis points year-over-year[17][19]. - Adjusted efficiency ratio for Q4 2025 improved to 50.15%, down from 50.27% in Q3 2025 and 53.37% in Q4 2024, indicating better cost management[58]. Future Outlook - The company plans to host a conference call on January 23, 2026, to discuss quarterly financial results[33].