Towne Bank(US:TOWN) Globenewswireยท2025-01-22 21:30Core Insights - TowneBank reported a year-over-year increase in earnings for 2024, with net income reaching $161.76 million, or $2.15 per diluted share, compared to $153.72 million, or $2.06 per diluted share in 2023 [1][2] - The fourth quarter of 2024 saw earnings of $41.27 million, or $0.55 per diluted share, a significant increase from $28.80 million, or $0.39 per diluted share in the same quarter of 2023 [1][2] - The company anticipates growth opportunities through the acquisition of Village Bank and plans to enhance fee-based businesses [5][16] Annual Highlights for 2024 Compared to 2023 - Core earnings (non-GAAP) for 2024 were $163.65 million, or $2.18 per diluted share, compared to $160.94 million, or $2.16 per diluted share in 2023 [1] - Total revenues slightly decreased to $693.75 million from $694.12 million in the prior year, with net interest income decreasing by $15.18 million due to higher deposit costs [7] - Noninterest income increased by $14.80 million, driven by growth in residential mortgage banking income and insurance commissions [7] Highlights for Fourth Quarter 2024 - Total revenues for the fourth quarter were $177.16 million, an increase of $21.61 million, or 13.90% from the prior year quarter [7] - Net interest income increased by $10.32 million, or 9.58%, driven by increases in loan interest income [7] - Noninterest income rose by $11.29 million, or 23.61%, compared to the same quarter in 2023 [7] Quarterly Net Interest Income - Net interest income for the fourth quarter was $118.06 million, up from $107.73 million in the fourth quarter of 2023 [6] - The increase was primarily due to higher yields impacting interest income on loans and investment securities [6] Deposits and Loans - Total deposits increased to $14.44 billion, a rise of $0.54 billion, or 3.92%, compared to the previous year [7][21] - Loans held for investment increased by $130.03 million, or 1.15%, from December 31, 2023 [7][21] Asset Quality and Credit Losses - The provision for credit losses was an expense of $1.61 million in the current quarter, compared to a benefit of $1.10 million in the linked quarter [8] - Nonperforming loans were 0.06% of period-end loans at both December 31, 2024, and 2023 [21] Capital Ratios - Common equity tier 1 capital ratio was 12.77%, and total risk-based capital ratio was 15.68% [21] - Book value per share was $28.43, compared to $27.24 at December 31, 2023 [21] Investment Securities - Total investment securities were $2.59 billion, with a weighted average duration of 3.3 years [13] - The carrying value of the AFS debt securities portfolio included $155.28 million in net unrealized losses due to changes in interest rates [13]