stal Financial (US:CCB) Globenewswireยท2025-01-28 14:25Core Points - Coastal Financial Corporation reported a net income of $13.4 million for Q4 2024, a slight decrease from $13.5 million in Q3 2024, and an increase from $6.8 million in Q4 2023 [1] - The company completed a $98.0 million capital raise in Q4 2024 to support growth, particularly in its CCBX segment, which saw a 56.9% increase in program fee income year-over-year [2][6] - The CCBX loan portfolio increased by $82.3 million, or 5.4%, to $1.60 billion despite selling $845.5 million in loans during the same period [20][24] Financial Performance - Interest and dividend income for Q4 2024 was $96.6 million, down from $105.1 million in Q3 2024, while net interest income was $66.5 million, a decrease of 7.9% from Q3 2024 [5][32] - Noninterest income for Q4 2024 was $76.8 million, compared to $80.1 million in Q3 2024, reflecting a decrease in BaaS loan expenses [5][6] - The net interest margin for Q4 2024 was 6.65%, down from 7.41% in Q3 2024, primarily due to lower loan yields [33] Loan and Deposit Trends - Total loans receivable increased to $3.49 billion as of December 31, 2024, compared to $3.42 billion in Q3 2024 [5] - Total deposits decreased to $3.59 billion in Q4 2024 from $3.63 billion in Q3 2024, with a notable decrease in noninterest-bearing deposits [5][28] - The community bank segment saw a decrease in net loans by $14.6 million, or 0.8%, to $1.88 billion [29] CCBX Segment Insights - The CCBX segment's total program fee income for 2024 was $25.6 million, an increase of $9.3 million from 2023, indicating strong growth in partner transaction activity [6] - As of December 31, 2024, the CCBX segment had 24 relationships, including three signed letters of intent, reflecting ongoing expansion efforts [17][20] - The company plans to continue selling credit card loans while retaining a portion of the fee income, which provides a stable revenue stream without increasing on-balance-sheet risk [15][18]