NewtekOne, Inc. Reports Full Year 2024 Earnings of $1.97 per Basic and $1.96 per Diluted Common Share

Core Viewpoint - NewtekOne, Inc. has raised its full-year 2025 earnings per share (EPS) forecast range to $2.10 to$2.50, reflecting strong financial performance and growth in various segments [1][10]. Financial Highlights for Q4 2024 - Net income for Q4 2024 was $18.3 million, with EPS of$0.70 per basic and $0.69 per diluted share, marking a 55.6$11.3 million, up 2.7% from Q3 2024 and 36.1% from Q4 2023 [5]. - Total assets reached $2.1 billion, a 50.0$1.4 billion at the end of 2023 [5]. - Loans held for investment increased by 23.0% year-over-year to $991.4 million [5]. - Total borrowings were$708.0 million, a 9.9% increase from the previous year [5]. - The net interest margin was 2.80%, down 9.1% from Q3 2024 but up 1.4% from Q4 2023 [5]. - Return on Tangible Common Equity (ROTCE) was 31.8%, up 49.3% from Q3 2024 and 20.5% from Q4 2023 [5]. - Return on Average Assets (ROAA) was 4.1%, an increase of 41.4% from Q3 2024 and 28.1% from Q4 2023 [5]. - The efficiency ratio improved to 55.9%, down from 61.8% in Q3 2024 and 66.6% in Q4 2023 [5]. Financial Highlights for Full Year 2024 - Net income for the full year 2024 was $50.9 million, with EPS of$1.97 per basic and $1.96 per diluted share, compared to$47.3 million and $1.89 per basic and$1.88 per diluted share in 2023 [8]. - Net interest income for the year was $40.3 million, a 51.5$26.6 million in 2023 [8]. - The net interest margin for the year was 2.87%, up 21.1% from 2.37% in 2023 [8]. - ROTCE for the year was 24.1%, down from 28.0% in 2023, impacted by a prior year's tax benefit [8]. - ROAA for the year was 3.2%, down from 3.6% in 2023, also affected by the tax benefit [8]. - The efficiency ratio improved to 63.2%, down from 71.9% in 2023 [8]. - ALP loan closings for the year were $269.6 million, a 224.9$83.0 million in 2023 [8]. Strategic Developments - The company completed the sale of its subsidiary Newtek Technology Solutions, Inc. on January 2, 2025 [5]. - The Newtek Advantage now integrates with Intuit QuickBooks, enhancing financial management for independent business owners [5][9]. - The company anticipates $1.0 billion in total SBA 7(a) loan closings for 2025, representing a 6.0% increase over 2024 [8]. Market Position and Future Outlook - The company aims to maintain its current dividend payout, with a yield tracking between 5% and 6% [10]. - The management believes in the ability to generate profits and maintain strong performance metrics, focusing on deposit and loan growth [9][10].