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PROSPERITY BANCSHARES, INC.® REPORTS FOURTH QUARTER 2024 EARNINGS
PBProsperity Bancshares(PB) Prnewswire·2025-01-29 11:30

Core Points - Prosperity Bancshares reported a net income of 130.1millionforQ42024,a36.2130.1 million for Q4 2024, a 36.2% increase from 95.5 million in Q4 2023, with diluted earnings per share rising to 1.37from1.37 from 1.02 [1][5][10] - The company experienced a significant increase in deposits, up by 293.7millioninQ42024,whileborrowingsdecreasedby293.7 million in Q4 2024, while borrowings decreased by 700 million [1][19] - Nonperforming assets decreased to 81.5million,representing0.2381.5 million, representing 0.23% of average interest-earning assets, indicating strong asset quality [1][21] Financial Performance - For the year ended December 31, 2024, net income was 479.4 million, a 14.3% increase from 419.3millionin2023,withearningspersharerisingto419.3 million in 2023, with earnings per share rising to 5.05 from 4.51[10][11]−Netinterestincomebeforeprovisionforcreditlossesfor2024was4.51 [10][11] - Net interest income before provision for credit losses for 2024 was 1.026 billion, up 7.3% from 956.4millionin2023,drivenbyhigherloanbalancesandrates[12]−Thenetinterestmarginimprovedto2.93956.4 million in 2023, driven by higher loan balances and rates [12] - The net interest margin improved to 2.93% for 2024, compared to 2.78% in 2023, reflecting better loan performance [13] Asset and Deposit Growth - Total assets increased to 39.567 billion as of December 31, 2024, a 2.6% rise from 38.548billionayearearlier[17]−Loansreached38.548 billion a year earlier [17] - Loans reached 22.149 billion, a 4.6% increase from 21.181billionin2023,primarilyduetothemergerwithLoneStarBank[18]−Totaldepositswere21.181 billion in 2023, primarily due to the merger with Lone Star Bank [18] - Total deposits were 28.381 billion, up 4.4% from 27.180billionin2023,withnoninterest−bearingdepositscomprising34.527.180 billion in 2023, with noninterest-bearing deposits comprising 34.5% of total deposits [19][1] Merger Impact - The merger with Lone Star State Bancshares on April 1, 2024, contributed significantly to the growth in loans and deposits [30][31] - The merger resulted in goodwill of 106.7 million as of December 31, 2024, reflecting the strategic expansion of the company's operations [31] Future Outlook - The company expressed optimism about growth prospects in Texas and Oklahoma, citing favorable economic conditions and population growth [2][3] - Prosperity Bancshares has a strong capital position, allowing for potential mergers and acquisitions, stock repurchases, and organic growth without needing additional capital [3]