Cathay General Bancorp Announces Fourth Quarter and Full Year 2024 Results
Cathay General Bancorp (CATY) reported Q4 2024 net income of $80.2 million ($1.12 per diluted share), up 18.8% from Q3's $67.5 million. Full-year 2024 net income was $286.0 million ($3.95 per share), down 19.2% from $354.1 million in 2023.
The Q4 net interest margin improved to 3.07% from 3.04% in Q3. Total loans decreased 0.9% to $19.38 billion year-over-year, while deposits increased 1.9% to $19.69 billion. Non-performing assets rose to $196.3 million, representing 0.85% of total assets.
During Q4, the company repurchased 506,651 shares at an average cost of $47.10 per share for a total of $23.9 million. The efficiency ratio improved to 45.70% in Q4 from 51.11% in Q3, while the effective tax rate decreased to 7.57% from 13.61%.
Cathay General Bancorp (CATY) ha riportato un reddito netto per il Q4 2024 di 80,2 milioni di dollari (1,12 dollari per azione diluita), in aumento del 18,8% rispetto ai 67,5 milioni di dollari del Q3. Il reddito netto cumulato per l'intero anno 2024 è stato di 286,0 milioni di dollari (3,95 dollari per azione), in calo del 19,2% rispetto ai 354,1 milioni di dollari del 2023.
Il margine di interesse netto per Q4 è migliorato al 3,07% rispetto al 3,04% del Q3. I prestiti totali sono diminuiti dello 0,9% a 19,38 miliardi di dollari rispetto all'anno precedente, mentre i depositi sono aumentati dell'1,9% a 19,69 miliardi di dollari. Gli attivi non performanti sono aumentati a 196,3 milioni di dollari, pari allo 0,85% del totale degli attivi.
Durante il Q4, l'azienda ha riacquistato 506.651 azioni a un costo medio di 47,10 dollari per azione, per un totale di 23,9 milioni di dollari. Il rapporto di efficienza è migliorato al 45,70% nel Q4 rispetto al 51,11% nel Q3, mentre l'aliquota fiscale effettiva è diminuita al 7,57% dal 13,61%.
Cathay General Bancorp (CATY) reportó un ingreso neto en el Q4 2024 de 80,2 millones de dólares (1,12 dólares por acción diluida), lo que representa un aumento del 18,8% respecto a los 67,5 millones de dólares en el Q3. El ingreso neto total del año 2024 fue de 286,0 millones de dólares (3,95 dólares por acción), una disminución del 19,2% en comparación con los 354,1 millones de dólares en 2023.
El margen de interés neto del Q4 mejoró al 3,07% desde el 3,04% del Q3. Los préstamos totales disminuyeron un 0,9% a 19,38 mil millones de dólares con respecto al año anterior, mientras que los depósitos aumentaron un 1,9% a 19,69 mil millones de dólares. Los activos no rentables aumentaron a 196,3 millones de dólares, representando el 0,85% del total de activos.
Durante el Q4, la empresa recompró 506,651 acciones a un costo promedio de 47,10 dólares por acción, lo que suma un total de 23,9 millones de dólares. La relación de eficiencia mejoró al 45,70% en el Q4 desde el 51,11% en el Q3, mientras que la tasa impositiva efectiva disminuyó al 7,57% desde el 13,61%.
캐세이 제너럴 뱅크(CATHY)는 2024년 4분기 순이익이 8020만 달러(희석 주당 1.12달러)로, 3분기 6750만 달러 대비 18.8% 증가했다고 보고했습니다. 2024년 전체 순이익은 2억8600만 달러(주당 3.95달러)로, 2023년의 3억5410만 달러에서 19.2% 감소했습니다.
4분기의 순이자 마진은 3.07%로 3분기의 3.04%에서 개선되었습니다. 총 대출은 전년 대비 0.9% 감소한 193억8000만 달러, 반면 예금은 1.9% 증가하여 196억9000만 달러에 달했습니다. 부실 자산은 1억9630만 달러로 증가하여 총 자산의 0.85%를 차지하게 되었습니다.
4분기 동안 회사는 주당 평균 47.10달러에 506,651주를 재매입하여 총 2390만 달러에 달했습니다. 효율성 비율은 4분기에 45.70%로 3분기의 51.11%에서 개선되었으며, 유효세율은 13.61%에서 7.57%로 감소했습니다.
Cathay General Bancorp (CATY) a rapporté un revenu net pour le 4e trimestre 2024 de 80,2 millions de dollars (1,12 dollar par action diluée), en hausse de 18,8 % par rapport aux 67,5 millions de dollars du 3e trimestre. Le revenu net cumulé pour l'année 2024 était de 286,0 millions de dollars (3,95 dollars par action), en baisse de 19,2 % par rapport aux 354,1 millions de dollars en 2023.
La marge d'intérêt nette pour le 4e trimestre s'est améliorée à 3,07 % contre 3,04 % au 3e trimestre. Les prêts totaux ont diminué de 0,9 % à 19,38 milliards de dollars par rapport à l'année précédente, tandis que les dépôts ont augmenté de 1,9 % à 19,69 milliards de dollars. Les actifs non performants ont augmenté à 196,3 millions de dollars, représentant 0,85 % du total des actifs.
Au cours du 4e trimestre, l'entreprise a racheté 506 651 actions à un coût moyen de 47,10 dollars par action, pour un total de 23,9 millions de dollars. Le ratio d'efficacité s'est amélioré à 45,70 % au 4e trimestre, contre 51,11 % au 3e trimestre, tandis que le taux d'imposition effectif a diminué à 7,57 % contre 13,61 %.
Cathay General Bancorp (CATY) meldete im 4. Quartal 2024 ein Nettoergebnis von 80,2 Millionen US-Dollar (1,12 US-Dollar pro verwässerter Aktie), was einem Anstieg von 18,8% gegenüber 67,5 Millionen US-Dollar im 3. Quartal entspricht. Der Nettogewinn für das Gesamtjahr 2024 betrug 286 Millionen US-Dollar (3,95 US-Dollar pro Aktie), was einem Rückgang von 19,2% im Vergleich zu 354,1 Millionen US-Dollar im Jahr 2023 entspricht.
Die Nettzinsmarge im 4. Quartal verbesserte sich auf 3,07% von 3,04% im 3. Quartal. Die Gesamtdarlehen sanken im Jahresvergleich um 0,9% auf 19,38 Milliarden US-Dollar, während die Einlagen um 1,9% auf 19,69 Milliarden US-Dollar stiegen. Die notleidenden Vermögenswerte stiegen auf 196,3 Millionen US-Dollar, was 0,85% der Gesamtvermögen entspricht.
Im 4. Quartal kaufte das Unternehmen 506.651 Aktien zu einem durchschnittlichen Preis von 47,10 US-Dollar pro Aktie zurück, was insgesamt 23,9 Millionen US-Dollar ergibt. Die Effizienzquote verbesserte sich im 4. Quartal auf 45,70% von 51,11% im 3. Quartal, während der effektive Steuersatz von 13,61% auf 7,57% sank.
- Net income increased 18.8% quarter-over-quarter to $80.2 million
- Net interest margin improved to 3.07% from 3.04% in Q3
- Total deposits increased by $360.8 million (1.9%) year-over-year
- Efficiency ratio improved to 45.70% from 51.11% in Q3
- Full-year net income decreased 19.2% to $286.0 million from $354.1 million in 2023
- Total loans decreased 0.9% year-over-year to $19.38 billion
- Non-performing assets increased 110.4% year-over-year to $196.3 million
- Return on average stockholders' equity declined to 10.18% from 13.56% year-over-year
Insights
The Q4 2024 results from Cathay General Bancorp present a mixed picture with both encouraging developments and concerning trends. The quarterly performance shows notable improvement with
Three critical developments deserve investor attention:
- Asset Quality Deterioration: Non-performing assets more than doubled year-over-year to
$196.3 million , representing0.85% of total assets - a significant jump from0.40% in 2023. The dramatic153.7% increase in non-accrual loans to$169.2 million suggests growing stress in the loan portfolio, particularly in commercial real estate and commercial loans. - Margin Management: The net interest margin improved slightly to
3.07% in Q4, driven by lower deposit costs as time deposits repriced at more favorable rates. The cost of interest-bearing deposits decreased to3.72% from3.95% in Q3, indicating successful deposit cost management in a challenging rate environment. - Balance Sheet Dynamics: The
1.9% growth in deposits to$19.69 billion demonstrates stable funding, while the slight loan contraction of0.9% to$19.38 billion reflects cautious lending practices amid economic uncertainties.
The efficiency ratio improvement to
FINANCIAL PERFORMANCE
| Three months ended | Year ended December 31, | ||||||||
| (unaudited) | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 |
2023 |
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| Net income |
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| Basic earnings per common share |
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| Diluted earnings per common share |
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| Return on average assets |
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| Return on average total stockholders' equity |
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| Efficiency ratio |
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HIGHLIGHTS
-
Net interest margin increased to
3.07% during the fourth quarter from3.04% in the third quarter. -
Total loans, excluding loans held for sale, decreased to
$19.38 billion 0.9% , from$19.55 billion -
Total deposits increased
$360.8 million 1.9% , to$19.69 billion
“We are pleased by the increase in the net interest margin compared to the third quarter of 2024. During the quarter, we repurchased 506,651 shares at an average cost of
INCOME STATEMENT REVIEW
FOURTH QUARTER 2024 COMPARED TO THE THIRD QUARTER 2024
Net income for the quarter ended December 31, 2024, was
Return on average stockholders’ equity was
Net interest income before provision for credit losses
Net interest income before provision for credit losses increased
The net interest margin was
For the fourth quarter of 2024, the yield on average interest-earning assets was
Provision for credit losses
The Company recorded a provision for credit losses of
The following table sets forth the charge-offs and recoveries for the periods indicated:
| Three months ended | Year ended December 31, | |||||||||||||
| December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 |
2023 |
||||||||||
| (In thousands) (Unaudited) | ||||||||||||||
| Charge-offs: | ||||||||||||||
| Commercial loans | $ |
14,064 |
$ |
2,666 |
$ |
1,392 |
$ |
26,926 |
$ |
13,909 |
||||
| Construction loans |
|
— |
|
— |
|
4,221 |
|
— |
|
4,221 |
||||
| Real estate loans (1) |
|
2,472 |
|
1,805 |
|
— |
|
4,531 |
|
5,341 |
||||
| Installment and other loans |
|
7 |
|
7 |
|
— |
|
15 |
|
15 |
||||
| Total charge-offs |
|
16,543 |
|
4,478 |
|
5,613 |
|
31,472 |
|
23,486 |
||||
| Recoveries: | ||||||||||||||
| Commercial loans |
|
75 |
|
88 |
|
1,426 |
|
1,102 |
|
2,990 |
||||
| Construction loans |
|
— |
|
— |
|
— |
|
— |
|
— |
||||
| Real estate loans (1) |
|
133 |
|
186 |
|
55 |
|
694 |
|
2,918 |
||||
| Installment and other loans |
|
2 |
|
1 |
|
— |
|
2 |
|
— |
||||
| Total recoveries |
|
210 |
|
275 |
|
1,481 |
|
1,798 |
|
5,908 |
||||
| Net charge-offs/(recoveries) | $ |
16,333 |
$ |
4,203 |
$ |
4,132 |
$ |
29,674 |
$ |
17,578 |
||||
| (1) Real estate loans include commercial mortgage loans, residential mortgage loans and equity lines. | ||||||||||||||
Non-interest income
Non-interest income, which includes revenues from depository service fees, letters of credit commissions, securities gains (losses), wealth management fees, and other sources of fee income, was
Non-interest expense
Non-interest expense decreased
Income taxes
The effective tax rate for the fourth quarter of 2024 was
BALANCE SHEET REVIEW
Gross loans were
The loan balances and composition as of December 31, 2024, compared to September 30, 2024, and December 31, 2023, are presented below:
| December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||
| (In thousands) (Unaudited) | ||||||||
| Commercial loans | $ |
3,098,004 |
$ |
3,106,994 |
$ |
3,305,048 |
||
| Construction loans |
|
319,649 |
|
307,057 |
|
422,647 |
||
| Commercial real estate loans |
|
10,033,830 |
|
9,975,272 |
|
9,729,581 |
||
| Residential mortgage loans |
|
5,689,097 |
|
5,750,546 |
|
5,838,747 |
||
| Equity lines |
|
229,995 |
|
226,838 |
|
245,919 |
||
| Installment and other loans |
|
5,380 |
|
6,886 |
|
6,198 |
||
| Gross loans | $ |
19,375,955 |
$ |
19,373,593 |
$ |
19,548,140 |
||
| Allowance for loan losses |
|
(161,765) |
|
(163,733) |
|
(154,562) |
||
| Unamortized deferred loan fees |
|
(10,541) |
|
(10,505) |
|
(10,720) |
||
| Total loans held for investment, net | $ |
19,203,649 |
$ |
19,199,355 |
$ |
19,382,858 |
||
| Loans held for sale | $ |
— |
$ |
5,190 |
$ |
— |
||
Total deposits were
The deposit balances and composition as of December 31, 2024, compared to September 30, 2024, and December 31, 2023, are presented below:
December 31, 2024 |
September 30, 2024 |
December 31, 2023 |
||||||
| (In thousands) (Unaudited) | ||||||||
| Non-interest-bearing demand deposits | $ |
3,284,342 |
$ |
3,253,823 |
$ |
3,529,018 |
||
| NOW deposits |
|
2,205,695 |
|
2,093,861 |
|
2,370,685 |
||
| Money market deposits |
|
3,372,773 |
|
3,134,460 |
|
3,049,754 |
||
| Savings deposits |
|
1,252,788 |
|
1,215,974 |
|
1,039,203 |
||
| Time deposits |
|
9,570,601 |
|
10,245,823 |
|
9,336,787 |
||
| Total deposits | $ |
19,686,199 |
$ |
19,943,941 |
$ |
19,325,447 |
||
ASSET QUALITY REVIEW
As of December 31, 2024, total non-accrual loans were
The allowance for loan losses was
The changes in non-performing assets and loan modifications to borrowers experiencing financial difficulty as of December 31, 2024, compared to December 31, 2023, and September 30, 2024, are presented below:
| (In thousands) (Unaudited) | December 31, 2024 |
December 31, 2023 |
% Change |
September 30, 2024 |
% Change |
|||||||||
| Non-performing assets | ||||||||||||||
| Accruing loans past due 90 days or more | $ |
4,050 |
$ |
7,157 |
(43 |
) |
$ |
6,931 |
(42 |
) |
||||
| Non-accrual loans: | ||||||||||||||
| Construction loans |
|
— |
|
7,736 |
(100 |
) |
|
— |
— |
|
||||
| Commercial real estate loans |
|
83,128 |
|
32,030 |
160 |
|
|
87,577 |
(5 |
) |
||||
| Commercial loans |
|
59,767 |
|
14,404 |
315 |
|
|
52,074 |
15 |
|
||||
| Residential mortgage loans |
|
26,266 |
|
12,511 |
110 |
|
|
23,183 |
13 |
|
||||
| Total non-accrual loans: | $ |
169,161 |
$ |
66,681 |
154 |
|
$ |
162,834 |
4 |
|
||||
| Total non-performing loans |
|
173,211 |
|
73,838 |
135 |
|
|
169,765 |
2 |
|
||||
| Other real estate owned |
|
23,071 |
|
19,441 |
19 |
|
|
18,277 |
26 |
|
||||
| Total non-performing assets | $ |
196,282 |
$ |
93,279 |
110 |
|
$ |
188,042 |
4 |
|
||||
| Allowance for loan losses | $ |
161,765 |
$ |
154,562 |
5 |
|
$ |
163,733 |
(1 |
) |
||||
| Total gross loans outstanding, at period-end | $ |
19,375,955 |
$ |
19,548,140 |
(1 |
) |
$ |
19,373,593 |
0 |
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| Allowance for loan losses to non-performing loans, at period-end |
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| Allowance for loan losses to gross loans, at period-end |
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The ratio of non-performing assets to total assets was
CAPITAL ADEQUACY REVIEW
As of December 31, 2024, the Company’s Tier 1 risk-based capital ratio of
FULL YEAR REVIEW
Net income for the year ended December 31, 2024, was
Return on average stockholders’ equity was
CONFERENCE CALL
Cathay General Bancorp will host a conference call to discuss its fourth quarter and year-end 2024 financial results this afternoon, Wednesday, January 22, 2025, at 3:00 p.m., Pacific Time. Analysts and investors may dial in and participate in the question-and-answer session. To access the call, please dial 1-833-816-1377 and enter Conference ID 10195683. The presentation accompanying this call and access to the live webcast is available on our site at www.cathaygeneralbancorp.com and a replay of the webcast will be archived for one year within 24 hours after the event.
ABOUT CATHAY GENERAL BANCORP
Cathay General Bancorp is a publicly traded company (Nasdaq: CATY) and is the holding company for Cathay Bank, a
FORWARD-LOOKING STATEMENTS
Statements made in this press release, other than statements of historical fact, are forward-looking statements within the meaning of the applicable provisions of the Private Securities Litigation Reform Act of 1995 regarding management’s beliefs, projections, and assumptions concerning future results and events. These forward-looking statements may include, but are not limited to, such words as “aims,” “anticipates,” “believes,” “can,” “continue,” “could,” “estimates,” “expects,” “hopes,” “intends,” “may,” “plans,” “projects,” “predicts,” “potential,” “possible,” “optimistic,” “seeks,” “shall,” “should,” “will,” and variations of these words and similar expressions. Forward-looking statements are based on estimates, beliefs, projections, and assumptions of management and are not guarantees of future performance. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from our historical experience and our present expectations or projections. Such risks and uncertainties and other factors include, but are not limited to, adverse developments or conditions related to or arising from local, regional, national and international business, market and economic conditions and events and the impact they may have on us, our customers and our operations, assets and liabilities; possible additional provisions for loan losses and charge-offs; credit risks of lending activities and deterioration in asset or credit quality; extensive laws and regulations and supervision that we are subject to including potential future supervisory action by bank supervisory authorities; increased costs of compliance and other risks associated with changes in regulation; higher capital requirements from the implementation of the Basel III capital standards; compliance with the Bank Secrecy Act and other money laundering statutes and regulations; potential goodwill impairment; liquidity risk; fluctuations in interest rates; risks associated with acquisitions and the expansion of our business into new markets; inflation and deflation; real estate market conditions and the value of real estate collateral; our ability to generate anticipated returns on our investments and financings, including in tax-advantaged projects; environmental liabilities; our ability to compete with larger competitors; our ability to retain key personnel; successful management of reputational risk; natural disasters, public health crises and geopolitical events; general economic or business conditions in
These and other factors are further described in Cathay General Bancorp’s Annual Report on Form 10-K for the year ended December 31, 2023 (Item 1A in particular), other reports filed with the Securities and Exchange Commission (“SEC”), and other filings Cathay General Bancorp makes with the SEC from time to time. Actual results in any future period may also vary from the past results discussed in this press release. Given these risks and uncertainties, readers are cautioned not to place undue reliance on any forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and, except as required by law, we undertake no obligation to update or review any forward-looking statement to reflect circumstances, developments or events occurring after the date on which the statement is made or to reflect the occurrence of unanticipated events.
CATHAY GENERAL BANCORP CONSOLIDATED FINANCIAL HIGHLIGHTS (Unaudited) |
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| Three months ended | Year ended December 31, | ||||||||||||||
| (In thousands, except per share data) | December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 |
2023 |
||||||||||
| Financial performance | |||||||||||||||
| Net interest income before provision for credit losses | $ |
171,012 |
$ |
169,155 |
$ |
182,138 |
$ |
674,055 |
$ |
741,746 |
|||||
| Provision for credit losses |
|
14,500 |
|
14,500 |
|
1,723 |
|
37,500 |
|
25,978 |
|||||
| Net interest income after provision for credit losses |
|
156,512 |
|
154,655 |
|
180,415 |
|
636,555 |
|
715,768 |
|||||
| Non-interest income |
|
15,473 |
|
20,365 |
|
23,101 |
|
55,664 |
|
68,292 |
|||||
| Non-interest expense |
|
85,219 |
|
96,867 |
|
110,498 |
|
374,677 |
|
380,478 |
|||||
| Income before income tax expense |
|
86,766 |
|
78,153 |
|
93,018 |
|
317,542 |
|
403,582 |
|||||
| Income tax expense |
|
6,565 |
|
10,639 |
|
10,492 |
|
31,563 |
|
49,458 |
|||||
| Net income | $ |
80,201 |
$ |
67,514 |
$ |
82,526 |
$ |
285,979 |
$ |
354,124 |
|||||
| Net income per common share: | |||||||||||||||
| Basic | $ |
1.13 |
$ |
0.94 |
$ |
1.14 |
$ |
3.97 |
$ |
4.88 |
|||||
| Diluted | $ |
1.12 |
$ |
0.94 |
$ |
1.13 |
$ |
3.95 |
$ |
4.86 |
|||||
| Cash dividends paid per common share | $ |
0.34 |
$ |
0.34 |
$ |
0.34 |
$ |
1.36 |
$ |
1.36 |
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| Selected ratios | |||||||||||||||
| Return on average assets |
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| Return on average total stockholders’ equity |
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| Efficiency ratio |
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| Dividend payout ratio |
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| Yield analysis (Fully taxable equivalent) | |||||||||||||||
| Total interest-earning assets |
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| Total interest-bearing liabilities |
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| Net interest spread |
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| Net interest margin |
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| Capital ratios | December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||||||||
| Tier 1 risk-based capital ratio |
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| Total risk-based capital ratio |
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| Tier 1 leverage capital ratio |
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|||||||||
| . | . | . | |||||||||||||
CATHAY GENERAL BANCORP CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) |
|||||||||
| (In thousands, except share and per share data) | December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||
| Assets | |||||||||
| Cash and due from banks | $ |
157,167 |
$ |
182,542 |
$ |
173,988 |
|||
| Short-term investments and interest bearing deposits |
|
882,353 |
|
1,156,223 |
|
654,813 |
|||
| Securities available-for-sale (amortized cost of |
|
1,547,128 |
|
1,508,356 |
|
1,604,570 |
|||
| Loans held for sale |
|
— |
|
5,190 |
|
— |
|||
| Loans |
|
19,375,955 |
|
19,373,593 |
|
19,548,140 |
|||
| Less: Allowance for loan losses |
|
(161,765) |
|
(163,733) |
|
(154,562) |
|||
| Unamortized deferred loan fees, net |
|
(10,541) |
|
(10,505) |
|
(10,720) |
|||
| Loans, net |
|
19,203,649 |
|
19,199,355 |
|
19,382,858 |
|||
| Equity securities |
|
34,429 |
|
35,741 |
|
40,406 |
|||
| Federal Home Loan Bank stock |
|
17,250 |
|
17,250 |
|
17,746 |
|||
| Other real estate owned, net |
|
23,071 |
|
18,277 |
|
19,441 |
|||
| Affordable housing investments and alternative energy partnerships, net |
|
289,611 |
|
280,091 |
|
315,683 |
|||
| Premises and equipment, net |
|
88,676 |
|
89,158 |
|
91,097 |
|||
| Customers’ liability on acceptances |
|
14,061 |
|
12,043 |
|
3,264 |
|||
| Accrued interest receivable |
|
97,779 |
|
95,351 |
|
97,673 |
|||
| Goodwill |
|
375,696 |
|
375,696 |
|
375,696 |
|||
| Other intangible assets, net |
|
3,335 |
|
3,590 |
|
4,461 |
|||
| Right-of-use assets- operating leases |
|
28,645 |
|
30,543 |
|
32,076 |
|||
| Other assets |
|
291,831 |
|
265,037 |
|
267,762 |
|||
| Total assets | $ |
23,054,681 |
$ |
23,274,443 |
$ |
23,081,534 |
|||
| Liabilities and Stockholders’ Equity | |||||||||
| Deposits: | |||||||||
| Non-interest-bearing demand deposits | $ |
3,284,342 |
$ |
3,253,823 |
$ |
3,529,018 |
|||
| Interest-bearing deposits: | |||||||||
| NOW deposits |
|
2,205,695 |
|
2,093,861 |
|
2,370,685 |
|||
| Money market deposits |
|
3,372,773 |
|
3,134,460 |
|
3,049,754 |
|||
| Savings deposits |
|
1,252,788 |
|
1,215,974 |
|
1,039,203 |
|||
| Time deposits |
|
9,570,601 |
|
10,245,823 |
|
9,336,787 |
|||
| Total deposits |
|
19,686,199 |
|
19,943,941 |
|
19,325,447 |
|||
| Advances from the Federal Home Loan Bank |
|
60,000 |
|
60,000 |
|
540,000 |
|||
| Other borrowings for affordable housing investments |
|
17,740 |
|
17,783 |
|
15,787 |
|||
| Long-term debt |
|
119,136 |
|
119,136 |
|
119,136 |
|||
| Acceptances outstanding |
|
14,061 |
|
12,043 |
|
3,264 |
|||
| Lease liabilities - operating leases |
|
30,851 |
|
32,906 |
|
34,797 |
|||
| Other liabilities |
|
280,990 |
|
258,321 |
|
306,528 |
|||
| Total liabilities |
|
20,208,977 |
|
20,444,130 |
|
20,344,959 |
|||
| Stockholders' equity |
|
2,845,704 |
|
2,830,313 |
|
2,736,575 |
|||
| Total liabilities and equity | $ |
23,054,681 |
$ |
23,274,443 |
$ |
23,081,534 |
|||
| Book value per common share | $ |
40.16 |
$ |
39.66 |
$ |
37.66 |
|||
| Number of common shares outstanding |
|
70,863,324 |
|
71,355,869 |
|
72,668,927 |
|||
CATHAY GENERAL BANCORP CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) |
|||||||||||||||
| Three months ended | Year ended December 31, | ||||||||||||||
| December 31, 2024 | September 30, 2024 | December 31, 2023 | 2024 |
2023 |
|||||||||||
| (In thousands, except share and per share data) | |||||||||||||||
| Interest and Dividend Income | |||||||||||||||
| Loan receivable, including loan fees | $ |
300,991 |
$ |
310,311 |
$ |
302,477 |
$ |
1,217,166 |
$ |
1,130,242 |
|||||
| Investment securities |
|
13,587 |
|
15,125 |
|
14,885 |
|
59,307 |
|
51,717 |
|||||
| Federal Home Loan Bank stock |
|
379 |
|
375 |
|
392 |
|
1,684 |
|
1,349 |
|||||
| Deposits with banks |
|
15,025 |
|
13,680 |
|
15,509 |
|
56,818 |
|
58,914 |
|||||
| Total interest and dividend income |
|
329,982 |
|
339,491 |
|
333,263 |
|
1,334,975 |
|
1,242,222 |
|||||
| Interest Expense | |||||||||||||||
| Time deposits |
|
111,082 |
|
119,786 |
|
97,826 |
|
458,490 |
|
331,997 |
|||||
| Other deposits |
|
44,557 |
|
45,918 |
|
43,282 |
|
177,775 |
|
135,965 |
|||||
| Advances from Federal Home Loan Bank |
|
766 |
|
1,885 |
|
7,289 |
|
14,283 |
|
22,164 |
|||||
| Long-term debt |
|
2,194 |
|
2,351 |
|
1,759 |
|
8,129 |
|
6,480 |
|||||
| Short-term borrowings |
|
371 |
|
396 |
|
969 |
|
2,243 |
|
3,870 |
|||||
| Total interest expense |
|
158,970 |
|
170,336 |
|
151,125 |
|
660,920 |
|
500,476 |
|||||
| Net interest income before provision for credit losses |
|
171,012 |
|
169,155 |
|
182,138 |
|
674,055 |
|
741,746 |
|||||
| Provision for credit losses |
|
14,500 |
|
14,500 |
|
1,723 |
|
37,500 |
|
25,978 |
|||||
| Net interest income after provision for credit losses |
|
156,512 |
|
154,655 |
|
180,415 |
|
636,555 |
|
715,768 |
|||||
| Non-Interest Income | |||||||||||||||
| Net (losses)/gains from equity securities |
|
(1,312) |
|
4,253 |
|
8,950 |
|
(7,516) |
|
18,248 |
|||||
| Debt securities losses, net |
|
— |
|
— |
|
— |
|
1,107 |
|
(3,000) |
|||||
| Letters of credit commissions |
|
2,063 |
|
2,081 |
|
1,744 |
|
7,749 |
|
6,716 |
|||||
| Depository service fees |
|
1,674 |
|
1,572 |
|
1,423 |
|
6,574 |
|
6,432 |
|||||
| Wealth management fees |
|
6,194 |
|
6,545 |
|
4,820 |
|
24,055 |
|
17,506 |
|||||
| Other operating income |
|
6,854 |
|
5,914 |
|
6,164 |
|
23,695 |
|
22,390 |
|||||
| Total non-interest income |
|
15,473 |
|
20,365 |
|
23,101 |
|
55,664 |
|
68,292 |
|||||
| Non-Interest Expense | |||||||||||||||
| Salaries and employee benefits |
|
42,526 |
|
40,859 |
|
40,101 |
|
167,376 |
|
154,149 |
|||||
| Occupancy expense |
|
5,724 |
|
5,938 |
|
5,387 |
|
23,281 |
|
22,270 |
|||||
| Computer and equipment expense |
|
4,923 |
|
4,753 |
|
4,579 |
|
20,135 |
|
17,478 |
|||||
| Professional services expense |
|
8,761 |
|
7,021 |
|
8,279 |
|
30,986 |
|
32,491 |
|||||
| Data processing service expense |
|
4,234 |
|
4,330 |
|
3,718 |
|
16,370 |
|
14,728 |
|||||
| FDIC and State assessments |
|
1,198 |
|
3,250 |
|
14,358 |
|
14,279 |
|
23,588 |
|||||
| Marketing expense |
|
1,518 |
|
1,614 |
|
1,110 |
|
6,520 |
|
5,887 |
|||||
| Other real estate owned expense |
|
368 |
|
596 |
|
195 |
|
2,699 |
|
761 |
|||||
| Amortization of investments in low income housing and alternative energy partnerships |
|
10,728 |
|
24,077 |
|
26,119 |
|
72,633 |
|
86,616 |
|||||
| Amortization of core deposit intangibles |
|
250 |
|
250 |
|
251 |
|
1,098 |
|
1,310 |
|||||
| Acquisition, integration and restructuring costs |
|
— |
|
— |
|
671 |
|
— |
|
671 |
|||||
| Other operating expense |
|
4,989 |
|
4,179 |
|
5,730 |
|
19,300 |
|
20,529 |
|||||
| Total non-interest expense |
|
85,219 |
|
96,867 |
|
110,498 |
|
374,677 |
|
380,478 |
|||||
| Income before income tax expense |
|
86,766 |
|
78,153 |
|
93,018 |
|
317,542 |
|
403,582 |
|||||
| Income tax expense |
|
6,565 |
|
10,639 |
|
10,492 |
|
31,563 |
|
49,458 |
|||||
| Net income | $ |
80,201 |
$ |
67,514 |
$ |
82,526 |
$ |
285,979 |
$ |
354,124 |
|||||
| Net income per common share: | |||||||||||||||
| Basic | $ |
1.13 |
$ |
0.94 |
$ |
1.14 |
$ |
3.97 |
$ |
4.88 |
|||||
| Diluted | $ |
1.12 |
$ |
0.94 |
$ |
1.13 |
$ |
3.95 |
$ |
4.86 |
|||||
| Cash dividends paid per common share | $ |
0.34 |
$ |
0.34 |
$ |
0.34 |
$ |
1.36 |
$ |
1.36 |
|||||
| Basic average common shares outstanding |
|
71,168,983 |
|
71,786,624 |
|
72,652,779 |
|
72,068,850 |
|
72,573,025 |
|||||
| Diluted average common shares outstanding |
|
71,491,518 |
|
72,032,456 |
|
72,906,310 |
|
72,327,017 |
|
72,862,628 |
|||||
CATHAY GENERAL BANCORP AVERAGE BALANCES – SELECTED CONSOLIDATED FINANCIAL INFORMATION (Unaudited) |
|||||||||||
| Three months ended | |||||||||||
| (In thousands)(Unaudited) | December 31, 2024 | September 30, 2024 | December 31, 2023 | ||||||||
| Interest-earning assets: | Average Balance |
Average Yield/Rate (1) |
Average Balance |
Average Yield/Rate (1) |
Average Balance |
Average Yield/Rate (1) |
|||||
| Loans (1) | $ |
19,345,616 |
|
$ |
19,455,521 |
|
$ |
19,330,187 |
|
||
| Taxable investment securities |
|
1,542,577 |
|
|
1,638,414 |
|
|
1,594,267 |
|
||
| FHLB stock |
|
17,250 |
|
|
17,250 |
|
|
19,599 |
|
||
| Deposits with banks |
|
1,265,496 |
|
|
1,035,534 |
|
|
1,130,806 |
|
||
| Total interest-earning assets | $ |
22,170,939 |
|
$ |
22,146,719 |
|
$ |
22,074,859 |
|
||
| Interest-bearing liabilities: | |||||||||||
| Interest-bearing demand deposits | $ |
2,131,978 |
|
$ |
2,134,807 |
|
$ |
2,466,263 |
|
||
| Money market deposits |
|
3,259,771 |
|
|
3,073,384 |
|
|
3,200,455 |
|
||
| Savings deposits |
|
1,306,584 |
|
|
1,212,870 |
|
|
1,112,454 |
|
||
| Time deposits |
|
9,932,776 |
|
|
10,250,601 |
|
|
9,208,820 |
|
||
| Total interest-bearing deposits | $ |
16,631,109 |
|
$ |
16,671,662 |
|
$ |
15,987,992 |
|
||
| Other borrowed funds |
|
111,142 |
|
|
186,838 |
|
|
600,483 |
|
||
| Long-term debt |
|
119,136 |
|
|
119,136 |
|
|
119,136 |
|
||
| Total interest-bearing liabilities |
|
16,861,387 |
|
|
16,977,636 |
|
|
16,707,611 |
|
||
| Non-interest-bearing demand deposits |
|
3,318,350 |
|
3,230,150 |
|
3,598,385 |
|||||
| Total deposits and other borrowed funds | $ |
20,179,737 |
$ |
20,207,786 |
$ |
20,305,996 |
|||||
| Total average assets | $ |
23,332,869 |
$ |
23,353,025 |
$ |
23,304,836 |
|||||
| Total average equity | $ |
2,854,994 |
$ |
2,828,379 |
$ |
2,681,899 |
|||||
| Year ended | |||||||||||
| (In thousands)(Unaudited) | December 31, 2024 | December 31, 2023 | |||||||||
| Interest-earning assets: | Average Balance |
Average Yield/Rate (1) |
Average Balance |
Average Yield/Rate (1) |
|||||||
| Loans (1) | $ |
19,434,614 |
|
$ |
18,763,271 |
|
|||||
| Taxable investment securities |
|
1,621,477 |
|
|
1,558,877 |
|
|||||
| FHLB stock |
|
18,681 |
|
|
18,620 |
|
|||||
| Deposits with banks |
|
1,098,488 |
|
|
1,141,720 |
|
|||||
| Total interest-earning assets | $ |
22,173,260 |
|
$ |
21,482,488 |
|
|||||
| Interest-bearing liabilities: | |||||||||||
| Interest-bearing demand deposits | $ |
2,186,726 |
|
$ |
2,388,080 |
|
|||||
| Money market deposits |
|
3,166,318 |
|
|
3,164,739 |
|
|||||
| Savings deposits |
|
1,151,427 |
|
|
1,070,405 |
|
|||||
| Time deposits |
|
10,022,826 |
|
|
8,849,293 |
|
|||||
| Total interest-bearing deposits | $ |
16,527,297 |
|
$ |
15,472,517 |
|
|||||
| Other borrowed funds |
|
315,086 |
|
|
505,218 |
|
|||||
| Long-term debt |
|
119,136 |
|
|
119,136 |
|
|||||
| Total interest-bearing liabilities |
|
16,961,519 |
|
|
16,096,871 |
|
|||||
| Non-interest-bearing demand deposits |
|
3,283,586 |
|
3,705,788 |
|||||||
| Total deposits and other borrowed funds | $ |
20,245,105 |
$ |
19,802,659 |
|||||||
| Total average assets | $ |
23,368,429 |
$ |
22,705,192 |
|||||||
| Total average equity | $ |
2,809,620 |
$ |
2,610,582 |
|||||||
| (1) Yields and interest earned include net loan fees. Non-accrual loans are included in the average balance. | |||||||||||
CATHAY GENERAL BANCORP GAAP to NON-GAAP RECONCILIATION SELECTED CONSOLIDATED FINANCIAL INFORMATION (Unaudited) |
||||||||||||||
The Company uses certain non-GAAP financial measures to provide supplemental information regarding the Company’s performance. Tangible equity and tangible equity to tangible assets ratio are non-GAAP financial measures. Tangible equity and tangible assets represent stockholders’ equity and total assets, respectively, which have been reduced by goodwill and other intangible assets. Given that the use of such measures and ratios is prevalent in the banking industry, and such measures and ratios are used by banking regulators and analysts, the Company has included them below for discussion. |
||||||||||||||
| As of | ||||||||||||||
December 31, 2024 |
September 30, 2024 |
December 31, 2023 |
||||||||||||
| (In thousands) (Unaudited) | ||||||||||||||
| Stockholders' equity | (a) |
$ |
2,845,704 |
$ |
2,830,313 |
$ |
2,736,575 |
|||||||
| Less: Goodwill |
|
(375,696) |
|
(375,696) |
|
(375,696) |
||||||||
| Other intangible assets (1) |
|
(3,335) |
|
(3,590) |
|
(4,461) |
||||||||
| Tangible equity | (b) |
$ |
2,466,673 |
$ |
2,451,027 |
$ |
2,356,418 |
|||||||
| Total assets | (c) |
$ |
23,054,681 |
$ |
23,274,443 |
$ |
23,081,534 |
|||||||
| Less: Goodwill |
|
(375,696) |
|
(375,696) |
|
(375,696) |
||||||||
| Other intangible assets (1) |
|
(3,335) |
|
(3,590) |
|
(4,461) |
||||||||
| Tangible assets | (d) |
$ |
22,675,650 |
$ |
22,895,157 |
$ |
22,701,377 |
|||||||
| Number of common shares outstanding | (e) |
|
70,863,324 |
|
71,355,869 |
|
72,668,927 |
|||||||
| Total stockholders' equity to total assets ratio | (a)/(c) |
|
|
|
|
|
|
|||||||
| Tangible equity to tangible assets ratio | (b)/(d) |
|
|
|
|
|
|
|||||||
| Tangible book value per share | (b)/(e) |
$ |
34.81 |
$ |
34.35 |
$ |
32.43 |
|||||||
Three Months Ended |
Twelve Months Ended |
|||||||||||||
December 31, 2024 |
September 30, 2024 |
December 31, 2023 |
December 31, 2024 |
December 31, 2023 |
||||||||||
| (In thousands) (Unaudited) | ||||||||||||||
| Net Income | $ |
80,201 |
$ |
67,514 |
$ |
82,526 |
$ |
285,979 |
$ |
354,124 |
||||
| Add: Amortization of other intangibles (1) |
|
256 |
|
264 |
|
262 |
|
1,127 |
|
1,294 |
||||
| Tax effect of amortization adjustments (2) |
|
(76) |
|
(78) |
|
(78) |
|
(334) |
|
(384) |
||||
| Tangible net income | (f) |
$ |
80,381 |
$ |
67,700 |
$ |
82,710 |
$ |
286,772 |
$ |
355,034 |
|||
| Return on tangible common equity (3) | (f)/(b) |
|
|
|
|
|
|
|
|
|
|
|||
| (1) Includes core deposit intangibles and mortgage servicing | ||||||||||||||
| (2) Applied the statutory rate of |
||||||||||||||
| (3) Annualized | ||||||||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20250122752656/en/
Heng W. Chen
(626) 279-3652
Source: Cathay General Bancorp
FAQ
What was Cathay General Bancorp's (CATY) Q4 2024 earnings per share?
How much did CATY's net interest margin increase in Q4 2024?
What was the value of CATY's share repurchase program in Q4 2024?
How did CATY's non-performing assets change in 2024?
What was CATY's efficiency ratio in Q4 2024?
