Financial Performance - The company reported a fourth quarter net income of $5.6 million, an increase of 18.1% from the previous quarter, translating to $0.49 per diluted share [1][4][8] - For the full year, net income rose 23.4% to $16.3 million, or $1.45 per diluted share [1][4] - Pre-tax, pre-provision income for the fourth quarter was $11.2 million, and $33.2 million for the year [4] Loan and Deposit Growth - Loan growth for 2024 was exceptional at 12%, with contributions from commercial real estate, commercial and industrial (C&I), and Small Business Administration (SBA) lending [2] - Total deposits increased by $26.4 million, or 1%, quarter-over-quarter, and by $181.9 million, or 10%, year-over-year [21] Non-Interest Income - Non-interest income increased by $2.4 million, or 22.6%, quarter-over-quarter, driven by a $4.0 million gain on the sale of mortgage servicing rights [17] - SBA loan income saw a significant increase of 110.1%, reflecting higher levels of SBA loan sales [17] Non-Interest Expense - Total non-interest expense rose by $865 thousand, or 4.2%, primarily due to increased occupancy and equipment costs related to the early termination of a lease [18] - Salaries and employee benefits decreased by $400 thousand, while advertising and promotion expenses increased by 17% [18] Asset Quality - Non-performing loans decreased slightly to $45.1 million, resulting in a ratio of non-performing loans to total loans of 2.19% [23] - The company experienced net charge-offs of 0.34% of total average loans, up from 0.11% in the previous quarter, with total charge-offs reaching $7.1 million [24] Balance Sheet Highlights - Total assets remained stable at approximately $2.4 billion, with a slight decrease of $1.9 million from the previous quarter [19] - Stockholders' equity increased by $4.1 million to $171.5 million as of December 31, 2024 [22] Regulatory Environment - The company expressed optimism regarding the new administration's potential to reduce regulatory burdens, which could enhance operational efficiency and shareholder returns [6]
Meridian Corporation Reports Fourth Quarter 2024 Results and Announces a Quarterly Dividend of $0.125 per Common Share