Seacoast Reports Second Quarter 2024 Results

Rhea-AI Summary

Seacoast Banking (NASDAQ: SBCF) reported Q2 2024 results with net income of $30.2M, or $0.36 per diluted share, up from $26.0M, or $0.31 per share in Q1 2024. Compared to Q2 2023, net income decreased slightly from $31.2M, or $0.37 per share.

Adjusted net income was $30.3M, or $0.36 per share, vs. $31.1M, or $0.37 per share in Q1 2024, and $43.5M, or $0.51 per share in Q2 2023. Pre-tax pre-provision earnings rose 25% QoQ to $44.6M, a 9% YoY increase. Adjusted pre-tax pre-provision earnings were $44.5M, up 5% QoQ but down 22% YoY.

Return on average tangible assets was 1.00%, and return on average tangible shareholders' equity was 10.75%. Seacoast's Tier 1 capital ratio stood at 14.8%, with a loan-to-deposit ratio of 83%.

Growth areas included noninterest income, which rose 8% QoQ to $22.2M. Loan originations increased 37% QoQ to $538M, with loan pipelines at $834.4M. Noninterest expenses decreased 9% QoQ to $82.5M. The efficiency ratio improved to 60.21% from 66.78% in the prior quarter.

CEO Charles M. Shaffer highlighted the company's strong balance sheet and disciplined credit approach, expecting further organic growth.

Positive

• Net income for Q2 2024 was $30.2M, a 16% increase compared to Q1 2024.
• Pre-tax pre-provision earnings increased 25% QoQ to $44.6M.
• Loan originations rose 37% QoQ to $538M.
• Noninterest income grew 8% QoQ to $22.2M.
• Noninterest expenses decreased 9% QoQ to $82.5M.
• Efficiency ratio improved to 60.21%, down from 66.78% in Q1 2024.
• Tier 1 capital ratio was strong at 14.8%.
• Return on average tangible shareholders' equity was 10.75%.

Negative

• Net interest income decreased 1% QoQ and 18% YoY to $104.4M.
• Net interest margin declined to 3.18% from 3.24% in Q1 2024.
• Adjusted net income decreased YoY from $43.5M to $30.3M.
• Adjusted pre-tax pre-provision earnings decreased 22% YoY.
• Provision for credit losses increased to $4.9M from $1.4M in Q1 2024.
• Net charge-offs rose significantly to $9.9M from $3.6M in Q1 2024.
• Net revenues decreased 15% YoY to $126.6M.

Insights

Financial Analyst

As a Financial Analyst, I find several key points in Seacoast's Q2 2024 results worth highlighting:

• Net income increased to $30.2 million ($0.36 per diluted share) compared to $26.0 million ($0.31 per diluted share) in Q1 2024. This 16% quarter-over-quarter increase in earnings per share is a positive sign.
• Pre-tax pre-provision earnings grew 25% compared to Q1 2024, reaching $44.6 million. This metric, which excludes the impact of loan loss provisions, shows improving core profitability.
• The efficiency ratio improved to 60.21% from 66.78% in Q1 2024, indicating better cost management.
• Loan growth was modest at 2.4% annualized, but loan originations increased 37% quarter-over-quarter to $538 million, suggesting potential for stronger growth ahead.
• The loan pipeline grew significantly to $834.4 million, up 46% from Q1 2024 and 193% year-over-year, indicating robust demand.

However, there are some challenges to note:

• Net interest margin declined 6 basis points to 3.18%, reflecting ongoing pressure from higher deposit costs.
• Net charge-offs increased to $9.9 million from $3.6 million in Q1 2024, potentially signaling some credit quality deterioration.

Overall, while facing some headwinds, Seacoast appears to be managing well in a challenging environment, with improving efficiency and strong growth potential indicated by expanding loan pipelines.

Well-Positioned Balance Sheet with Strong Capital and Liquidity

Continued Build in Loan Originations and Pipeline, Cost of Deposits Stabilizing

Growth in Noninterest Income, and Well-Managed Noninterest Expense

STUART, Fla., July 25, 2024 (GLOBE NEWSWIRE) -- Seacoast Banking Corporation of Florida ("Seacoast" or the "Company") (NASDAQ: SBCF) today reported net income in the second quarter of 2024 of $30.2 million, or $0.36 per diluted share, compared to $26.0 million, or $0.31 per diluted share in the first quarter of 2024 and $31.2 million, or $0.37 per diluted share in the second quarter of 2023.

Adjusted net income¹ for the second quarter of 2024 was $30.3 million, or $0.36 per diluted share, compared to $31.1 million, or $0.37 per diluted share in the first quarter of 2024 and $43.5 million, or $0.51 per diluted share in the second quarter of 2023.

Pre-tax pre-provision earnings¹ were $44.6 million in the second quarter of 2024, an increase of 25% compared to the first quarter of 2024 and an increase of 9% compared to the second quarter of 2023. Adjusted pre-tax pre-provision earnings¹ were $44.5 million in the second quarter of 2024, an increase of 5% compared to the first quarter of 2024 and a decrease of 22% compared to the second quarter of 2023.

For the second quarter of 2024, return on average tangible assets was 1.00% and return on average tangible shareholders' equity was 10.75%, compared to 0.89% and 9.55%, respectively, in the prior quarter, and 1.06% and 12.08%, respectively, in the prior year quarter. Adjusted return on average tangible assets¹ in the second quarter of 2024 was 1.00% and adjusted return on average tangible shareholders' equity¹ was 10.76%, compared to 1.04% and 11.15%, respectively, in the prior quarter, and 1.41% and 16.08%, respectively, in the prior year quarter.

Charles M. Shaffer, Chairman and CEO of Seacoast, stated, "This quarter marks the beginning of the shift we anticipated for mid-year 2024. We have seen emerging loan growth and stabilizing deposit costs, supporting an improved outlook for net interest income. We are also experiencing growth in noninterest income while managing our expenses carefully. Our investments in revenue-producing bankers across the state have led to stronger loan production and pipeline growth, and consistent positive results in service charges on deposits, including treasury management fees, wealth management revenue, and insurance agency income. I am very optimistic about the direction we are heading as our competitive transformation continues to take effect. We expect to continue to see positive results from recent talent acquisitions, which will drive further organic growth in the coming periods."

Shaffer concluded, "We remain committed to a disciplined approach to credit, and our balance sheet is one of the strongest in the industry, with a Tier 1 capital ratio of 14.8% as of June 30, 2024. The ratio of tangible common equity to tangible assets has increased to 9.30%. Our liquidity position is also robust, with a loan-to-deposit ratio of 83%, providing us with balance sheet flexibility as we work towards stronger earnings in the coming periods."

Financial Results

Income Statement

• Net income in the second quarter of 2024 was $30.2 million, or $0.36 per diluted share, compared to $26.0 million, or $0.31 per diluted share in the prior quarter and $31.2 million, or $0.37 per diluted share in the prior year quarter. For the six months ended June 30, 2024, net income was $56.3 million, or $0.66 per diluted share, compared to $43.1 million, or $0.52 per diluted share, for the six months ended June 30, 2023. Adjusted net income¹ for the second quarter of 2024 was $30.3 million, or $0.36 per diluted share, compared to $31.1 million, or $0.37 per diluted share, for the prior quarter, and $43.5 million, or $0.51 per diluted share, for the prior year quarter. For the six months ended June 30, 2024, adjusted net income¹ was $61.4 million, or $0.72 per diluted share, compared to $67.7 million, or $0.81 per diluted share, for the six months ended June 30, 2023.
• Net revenues were $126.6 million in the second quarter of 2024, an increase of $1.0 million, or 1%, compared to the prior quarter, and a decrease of $21.9 million, or 15%, compared to the prior year quarter. For the six months ended June 30, 2024, net revenues were $252.2 million, a decrease of $50.0 million, or 17%, compared to the six months ended June 30, 2023. Adjusted net revenues¹ were $126.9 million in the second quarter of 2024, an increase of $1.3 million, or 1%, compared to the prior quarter, and a decrease of $22.0 million, or 15%, compared to the prior year quarter. For the six months ended June 30, 2024, adjusted net revenues¹ were $252.5 million, a decrease of $48.0 million, or 16%, compared to the six months ended June 30, 2023.
• Pre-tax pre-provision earnings¹ were $44.6 million in the second quarter of 2024, an increase of $8.9 million, or 25%, compared to the first quarter of 2024 and an increase of $3.7 million, or 9%, compared to the second quarter of 2023. For the six months ended June 30, 2024, pre-tax pre-provision earnings¹ were $80.2 million, a decrease of $8.2 million, or 9%, compared to the six months ended June 30, 2023. Adjusted pre-tax pre-provision earnings¹ were $44.5 million in the second quarter of 2024, an increase of $2.0 million, or 5%, compared to the first quarter of 2024 and a decrease of $12.7 million, or 22%, compared to the second quarter of 2023. For the six months ended June 30, 2024, adjusted pre-tax pre-provision earnings¹ were $87.0 million, a decrease of $34.6 million, or 28%, compared to the six months ended June 30, 2023.
• Net interest income totaled $104.4 million in the second quarter of 2024, a modest decrease of $0.7 million, or 1%, compared to the prior quarter, and a decrease of $22.5 million, or 18%, compared to the prior year quarter. For the six months ended June 30, 2024, net interest income was $209.5 million, a decrease of $48.6 million, or 19%, compared to the six months ended June 30, 2023. The declines reflect higher interest expense on deposits resulting from growth in deposit balances and the impact of the continuing elevated rate environment. Included in loan interest income is accretion on acquired loans of $10.2 million in the second quarter of 2024, $10.6 million in the first quarter of 2024, and $14.6 million in the second quarter of 2023. For the six months ended June 30, 2024, accretion on acquired loans totaled $20.8 million, compared to $30.5 million for the six months ended June 30, 2023.
• Net interest margin decreased six basis points to 3.18% in the second quarter of 2024 compared to 3.24% in the first quarter of 2024. Excluding the effects of accretion on acquired loans, net interest margin decreased four basis points to 2.87% in the second quarter of 2024 compared to 2.91% in the first quarter of 2024. Loan yields were 5.93%, an increase of three basis points from the prior quarter. Securities yields increased 22 basis points to 3.69%, compared to 3.47% in the prior quarter. The cost of deposits increased 12 basis points from 2.19% in the prior quarter, to 2.31% in the second quarter of 2024.
• Noninterest income totaled $22.2 million in the second quarter of 2024, an increase of $1.7 million, or 8%, compared to the prior quarter, and an increase of $0.6 million, or 3%, compared to the prior year quarter. For the six months ended June 30, 2024, noninterest income totaled $42.7 million, a decrease of $1.3 million, or 3%, compared to the six months ended June 30, 2023. The Durbin amendment became effective for Seacoast on July 1, 2023, limiting network interchange fees earned on debit card transactions. Results in the second quarter of 2024 included:
  • Service charges on deposits increased $0.4 million, or 8%, compared to the prior quarter and $0.8 million, or 17%, compared to the prior year quarter. Our investments in talent and significant market expansion across the state have resulted in continued growth in treasury management services to commercial customers.
  • Wealth management income increased $0.2 million, or 6%, compared to the prior quarter and $0.4 million, or 14%, compared to the prior year quarter. The wealth management division continues to demonstrate success in building relationships, with assets under management reaching $1.9 billion at June 30, 2024.
  • Insurance agency income increased $0.1 million, or 5%, compared to the prior quarter and $0.2 million, or 17%, compared to the prior year quarter, reflecting continued growth and expansion of services.
  • BOLI income increased $0.3 million, or 15%, compared to the prior quarter and $0.5 million, or 26%, compared to the prior year quarter, with policy exchanges executed in the first quarter of 2024 resulting in improved ongoing yields.
  • Other income increased $0.7 million, or 14%, compared to the prior quarter and $1.2 million, or 25% compared to the prior year quarter. The second quarter of 2024 includes a gain on the sale of a single nonperforming commercial real estate loan.
• The provision for credit losses was $4.9 million in the second quarter of 2024, compared to $1.4 million in the first quarter of 2024 and a net benefit of $0.8 million in the second quarter of 2023.
• Noninterest expense was $82.5 million in the second quarter of 2024, a decrease of $7.8 million, or 9%, compared to the prior quarter, and a decrease of $25.3 million, or 23%, compared to the prior year quarter. Noninterest expense for the six months ended June 30, 2024, totaled $172.9 million, a decrease of $42.4 million, or 20% compared to the six months ended June 30, 2023. With significant cost-saving initiatives now complete, Seacoast has prudently managed expenses while strategically investing to support continued growth. Changes compared to the first quarter of 2024 included:
  • Salaries and wages decreased $1.4 million, or 3%, to $38.9 million. The first quarter of 2024 included $2.1 million in severance-related expenses arising from a reduction in the workforce.
  • Employee benefits decreased $1.0 million, or 13%, to $6.9 million as a result of higher seasonal payroll taxes and 401(k) contributions impacting the first quarter of 2024.
  • Outsourced data processing costs decreased $3.9 million, or 32%, to $8.2 million, with the first quarter reflecting $4.1 million in charges associated with contract terminations and modifications to consolidate systems.
  • Occupancy costs decreased $0.9 million, or 11%, to $7.2 million in the second quarter of 2024. The first quarter of 2024 included $0.8 million in charges associated with early lease terminations and consolidation of locations completed during the first quarter.
  • Marketing expenses increased $0.6 million, or 23%, to $3.3 million, the result of a focused effort on branding across all of our markets, supporting strong results in customer acquisition.
  • Other noninterest expenses decreased $0.7 million or 10%, to $5.9 million, benefiting from ongoing expense discipline.
• Seacoast recorded $8.9 million of income tax expense in the second quarter of 2024, compared to $7.8 million in the first quarter of 2024, and $10.2 million in the second quarter of 2023. Tax expense related to stock-based compensation was $0.2 million in the second quarter of 2024, nominal in the first quarter of 2024 and $0.3 million in the second quarter of 2023.
• The efficiency ratio was 60.21% in the second quarter of 2024, compared to 66.78% in the first quarter of 2024 and 67.34% in the prior year quarter. The adjusted efficiency ratio¹ was 60.21% in the second quarter of 2024, compared to 61.13% in the first quarter of 2024 and 56.44% in the prior year quarter. The Company continues to remain keenly focused on disciplined expense control, while making investments for growth.

Balance Sheet

• At June 30, 2024, the Company had total assets of $15.0 billion and total shareholders' equity of $2.1 billion. Book value per share was $24.98 as of June 30, 2024, compared to $24.93 as of March 31, 2024, and $24.14 as of June 30, 2023. Tangible book value per share increased to $15.41 as of June 30, 2024, compared to $15.26 as of March 31, 2024, and $14.24 as of June 30, 2023.
• Debt securities totaled $2.6 billion as of June 30, 2024, an increase of $5.9 million compared to March 31, 2024. Debt securities include approximately $2.0 billion in securities classified as available for sale and recorded at fair value. The unrealized loss on these securities is fully reflected in the value presented on the balance sheet. The portfolio also includes $658.1 million in securities classified as held to maturity with a fair value of $527.3 million. Held-to-maturity securities consist solely of mortgage-backed securities and collateralized mortgage obligations guaranteed by U.S. government agencies, each of which is expected to recover any price depreciation over its holding period as the debt securities move to maturity. The Company has significant liquidity and available borrowing capacity and has the intent and ability to hold these investments to maturity.
• Loans increased $60.5 million, or 2.4% annualized from the first quarter of 2024, totaling $10.0 billion as of June 30, 2024. Loan originations increased 37% to $538.0 million in the second quarter of 2024, compared to $394.0 million in the first quarter of 2024. The Company continues to exercise a disciplined approach to lending, carefully underwriting loans to strict underwriting guidelines and setting high expectations for risk adjusted returns.
• Loan pipelines (loans in underwriting and approval or approved and not yet closed) totaled $834.4 million as of June 30, 2024, an increase of 46% from March 31, 2024, and an increase of 193% from June 30, 2023.
  • Commercial pipelines were $743.8 million as of June 30, 2024, an increase of 49% from $498.6 million at March 31, 2024, and an increase of 274% from $199.0 million at June 30, 2023. The Company is benefiting from the investment made in recent years to attract talent from regional banks across its markets. This talent is onboarding significant new relationships, resulting in growing pipelines.
  • SBA pipelines were $29.3 million as of June 30, 2024, an increase of 87% from $15.6 million at March 31, 2024, and an increase of 58% from $18.6 million at June 30, 2023.
  • Consumer pipelines were $24.5 million as of June 30, 2024, a decrease of $0.5 million, or 2%, from $25.1 million at March 31, 2024, and a decrease of $3.9 million, or 14%, from $28.4 million at June 30, 2023.
  • Residential saleable pipelines were $12.1 million as of June 30, 2024, an increase of 30% from $9.3 million at March 31, 2024, and an increase of 5% from $11.5 million at June 30, 2023. Retained residential pipelines were $24.7 million as of June 30, 2024, an increase of 1% from $24.4 million at March 31, 2024, and a decrease of 9% from $27.1 million at June 30, 2023.
• Total deposits were $12.1 billion as of June 30, 2024, an increase of $100.3 million, or 3.4% annualized, when compared to March 31, 2024. Seacoast’s granular, longstanding deposit base is a hallmark of our franchise and serves as a significant source of strength.
  • At June 30, 2024, customer transaction account balances represented 50% of total deposits.
  • The Company benefits from a granular deposit franchise, with the top ten depositors representing approximately 4% of total deposits.
  • Average deposits per banking center were $157 million at June 30, 2024, compared to $156 million at March 31, 2024.
  • Uninsured deposits represented only 34% of overall deposit accounts as of June 30, 2024. This includes public funds under the Florida Qualified Public Depository program, which provides loss protection to depositors beyond FDIC insurance limits. Excluding such balances, the uninsured and uncollateralized deposits were 29% of total deposits. The Company has liquidity sources including cash and lines of credit with the Federal Reserve and Federal Home Loan Bank that represent 154% of uninsured deposits, and 181% of uninsured and uncollateralized deposits.
  • Consumer deposits represent 42% of overall deposit funding with an average consumer customer balance of $25 thousand. Commercial deposits represent 58% of overall deposit funding with an average business customer balance of $109 thousand.
  • Federal Home Loan Bank advances totaled $180.0 million at June 30, 2024 with a weighted average interest rate of 4.18%.

Asset Quality

• Nonperforming loans were $59.9 million at June 30, 2024, compared to $77.2 million at March 31, 2024, and $48.3 million at June 30, 2023. Nonperforming loans to total loans outstanding were 0.60% at June 30, 2024, 0.77% at March 31, 2024, and 0.48% at June 30, 2023.
• Nonperforming assets to total assets were 0.45% at June 30, 2024, compared to 0.57% at March 31, 2024, and 0.37% at June 30, 2023.
• The ratio of allowance for credit losses to total loans was 1.41% at June 30, 2024, 1.47% at March 31, 2024, and 1.58% at June 30, 2023.
• Net charge-offs were $9.9 million in the second quarter of 2024, compared to $3.6 million in the first quarter of 2024 and $0.7 million in the second quarter of 2023. Charge-offs during the quarter primarily reflect reserves previously established in the allowance for credit losses.
• Portfolio diversification, in terms of asset mix, industry, and loan type, has been a critical element of the Company's lending strategy. Exposure across industries and collateral types is broadly distributed. Seacoast's average loan size is $345 thousand, and the average commercial loan size is $758 thousand, reflecting an ability to maintain granularity within the overall loan portfolio.
• Construction and land development and commercial real estate loans remain well below regulatory guidance at 36% and 235% of total bank-level risk-based capital, respectively, compared to 39% and 236%, respectively, at March 31, 2024. On a consolidated basis, construction and land development and commercial real estate loans represent 34% and 222%, respectively, of total consolidated risk-based capital.

Capital and Liquidity

• The Company continues to operate with a fortress balance sheet with a Tier 1 capital ratio at June 30, 2024 of 14.8% compared to 14.7% at March 31, 2024, and 13.5% at June 30, 2023. The Total capital ratio was 16.2%, the Common Equity Tier 1 capital ratio was 14.1%, and the Tier 1 leverage ratio was 11.1% at June 30, 2024. The Company is considered “well capitalized” based on applicable U.S. regulatory capital ratio requirements.
• Cash and cash equivalents at June 30, 2024 totaled $749.5 million.
• The Company’s loan to deposit ratio was 82.9% at June 30, 2024, which should provide liquidity and flexibility moving forward.
• Tangible common equity to tangible assets was 9.30% at June 30, 2024, compared to 9.25% at March 31, 2024, and 8.53% at June 30, 2023. If all held-to-maturity securities were adjusted to fair value, the tangible common equity ratio would have been 8.64%.
• At June 30, 2024, in addition to $749.5 million in cash, the Company had $5.6 billion in available borrowing capacity, including $4.3 billion in available collateralized lines of credit, $944.3 million of unpledged debt securities available as collateral for potential additional borrowings, and available unsecured lines of credit of $0.3 billion. These liquidity sources as of June 30, 2024, represented 181% of uninsured and uncollateralized deposits.
• Our Board of Directors has approved a share repurchase program of up to $100 million in shares of the Company’s common stock. During the second quarter of 2024, 39,892 shares of the Company’s common stock were repurchased under the program.

¹Non-GAAP measure, see “Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and for a reconciliation to GAAP.

FINANCIAL HIGHLIGHTS
(Amounts in thousands except per share data)	(Unaudited)
	Quarterly Trends
	2Q'24				1Q'24				4Q'23				3Q'23				2Q'23
Selected balance sheet data:
Gross loans	$	10,038,508			$	9,978,052			$	10,062,940			$	10,011,186			$	10,117,919
Total deposits		12,116,118				12,015,840				11,776,935				12,107,834				12,283,267
Total assets		14,952,613				14,830,015				14,580,249				14,823,007				15,041,932
Performance measures:
Net income	$	30,244			$	26,006			$	29,543			$	31,414			$	31,249
Net interest margin		3.18	%			3.24	%			3.36	%			3.57	%			3.86	%
Pre-tax pre-provision earnings1	$	44,555			$	35,674			$	42,006			$	43,383			$	40,864
Average diluted shares outstanding		84,816				85,270				85,336				85,666				85,536
Diluted earnings per share (EPS)		0.36				0.31				0.35				0.37				0.37
Return on (annualized):
Average assets (ROA)		0.82	%			0.71	%			0.80	%			0.84	%			0.84	%
Average tangible assets (ROTA)2		1.00				0.89				0.99				1.04				1.06
Average tangible common equity (ROTCE)2		10.75				9.55				11.22				11.90				12.08
Tangible common equity to tangible assets2		9.30				9.25				9.31				8.68				8.53
Tangible book value per share2	$	15.41			$	15.26			$	15.08			$	14.26			$	14.24
Efficiency ratio		60.21	%			66.78	%			60.32	%			62.60	%			67.34	%
Adjusted operating measures1:
Adjusted net income4	$	30,277			$	31,132			$	31,363			$	34,170			$	43,489
Adjusted pre-tax pre-provision earnings4		44,490				42,513				45,016				47,349				57,202
Adjusted diluted EPS4		0.36				0.37				0.37				0.40				0.51
Adjusted ROTA2		1.00	%			1.04	%			1.04	%			1.12	%			1.41	%
Adjusted ROTCE2		10.76				11.15				11.80				12.79				16.08
Adjusted efficiency ratio		60.21				61.13				60.32				60.19				56.44
Net adjusted noninterest expense as a percent of average tangible assets2		2.19	%			2.23	%			2.25	%			2.34	%			2.40	%
Other data:
Market capitalization3	$	2,016,472			$	2,156,529			$	2,415,158			$	1,869,891			$	1,880,407
Full-time equivalent employees		1,449				1,445				1,541				1,570				1,670
Number of ATMs		95				95				96				97				96
Full-service banking offices		77				77				77				77				78
1Non-GAAP measure, see “Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and a reconciliation to GAAP.
2The Company defines tangible assets as total assets less intangible assets, and tangible common equity as total shareholders' equity less intangible assets.
3Common shares outstanding multiplied by closing bid price on last day of each period.
4As of 1Q’24, amortization of intangibles is excluded from adjustments to noninterest expense; prior periods have been updated to reflect the change.

OTHER INFORMATION

Conference Call Information
Seacoast will host a conference call July 26, 2024, at 10:00 a.m. (Eastern Time) to discuss the second quarter of 2024 earnings results and business trends. Investors may call in (toll-free) by dialing (800) 715-9871 (Conference ID: 5967990). Charts will be used during the conference call and may be accessed at Seacoast’s website at www.SeacoastBanking.com by selecting “Presentations” under the heading “News/Events.” Additionally, a recording of the call will be made available to individuals shortly after the conference call and can be accessed via a link at www.SeacoastBanking.com under the heading “Corporate Information.” The recording will be available for one year.

About Seacoast Banking Corporation of Florida (NASDAQ: SBCF)
Seacoast Banking Corporation of Florida (NASDAQ: SBCF) is one of the largest community banks headquartered in Florida with approximately $15.0 billion in assets and $12.1 billion in deposits as of June 30, 2024. Seacoast provides integrated financial services including commercial and consumer banking, wealth management, and mortgage services to customers at 77 full-service branches across Florida, and through advanced mobile and online banking solutions. Seacoast National Bank is the wholly-owned subsidiary bank of Seacoast Banking Corporation of Florida. For more information about Seacoast, visit www.SeacoastBanking.com.

Tracey L. Dexter
Chief Financial Officer
Seacoast Banking Corporation of Florida
(772) 403-0461

Cautionary Notice Regarding Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning, and protections, of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, without limitation, statements about future financial and operating results, cost savings, enhanced revenues, economic and seasonal conditions in the Company’s markets, and improvements to reported earnings that may be realized from cost controls, tax law changes, new initiatives and for integration of banks that the Company has acquired, or expects to acquire, as well as statements with respect to Seacoast's objectives, strategic plans, expectations and intentions and other statements that are not historical facts. Actual results may differ from those set forth in the forward-looking statements.

Forward-looking statements include statements with respect to the Company’s beliefs, plans, objectives, goals, expectations, anticipations, assumptions, estimates and intentions about future performance and involve known and unknown risks, uncertainties and other factors, which may be beyond the Company’s control, and which may cause the actual results, performance or achievements of Seacoast Banking Corporation of Florida (“Seacoast” or the “Company”) or its wholly-owned banking subsidiary, Seacoast National Bank (“Seacoast Bank”), to be materially different from results, performance or achievements expressed or implied by such forward-looking statements. You should not expect the Company to update any forward-looking statements.

All statements other than statements of historical fact could be forward-looking statements. You can identify these forward-looking statements through the use of words such as "may", "will", "anticipate", "assume", "should", "support", "indicate", "would", "believe", "contemplate", "expect", "estimate", "continue", "further", "plan", "point to", "project", "could", "intend", "target" or other similar words and expressions of the future. These forward-looking statements may not be realized due to a variety of factors, including, without limitation: the impact of current and future economic and market conditions generally (including seasonality) and in the financial services industry, nationally and within Seacoast’s primary market areas, including the effects of inflationary pressures, changes in interest rates, slowdowns in economic growth, and the potential for high unemployment rates, as well as the financial stress on borrowers and changes to customer and client behavior and credit risk as a result of the foregoing; potential impacts of adverse developments in the banking industry, including those highlighted by high-profile bank failures, and including impacts on customer confidence, deposit outflows, liquidity and the regulatory response thereto (including increases in the cost of our deposit insurance assessments), the Company's ability to effectively manage its liquidity risk and any growth plans, and the availability of capital and funding; governmental monetary and fiscal policies, including interest rate policies of the Board of Governors of the Federal Reserve, as well as legislative, tax and regulatory changes including proposed overdraft and late fee caps, including those that impact the money supply and inflation; the risks of changes in interest rates on the level and composition of deposits (as well as the cost of, and competition for, deposits), loan demand, liquidity and the values of loan collateral, securities, and interest rate sensitive assets and liabilities; interest rate risks (including the impacts of interest rates on macroeconomic conditions, customer and client behavior, and on our net interest income), sensitivities and the shape of the yield curve; changes in accounting policies, rules and practices; changes in retail distribution strategies, customer preferences and behavior generally and as a result of economic factors, including heightened inflation; changes in the availability and cost of credit and capital in the financial markets; changes in the prices, values and sales volumes of residential and commercial real estate, especially as they relate to the value of collateral supporting the Company’s loans; the Company’s concentration in commercial real estate loans and in real estate collateral in Florida; Seacoast’s ability to comply with any regulatory requirements and the risk that the regulatory environment may not be conducive to or may prohibit or delay the consummation of future mergers and/or business combinations, may increase the length of time and amount of resources required to consummate such transactions, and may reduce the anticipated benefit; inaccuracies or other failures from the use of models, including the failure of assumptions and estimates, as well as differences in, and changes to, economic, market and credit conditions; the impact on the valuation of Seacoast’s investments due to market volatility or counterparty payment risk, as well as the effect of a decline in stock market prices on our fee income from our wealth management business; statutory and regulatory dividend restrictions; increases in regulatory capital requirements for banking organizations generally; the risks of mergers, acquisitions and divestitures, including Seacoast’s ability to continue to identify acquisition targets, successfully acquire and integrate desirable financial institutions and realize expected revenues and revenue synergies; changes in technology or products that may be more difficult, costly, or less effective than anticipated; the Company’s ability to identify and address increased cybersecurity risks, including those impacting vendors and other third parties which may be exacerbated by developments in generative artificial intelligence; fraud or misconduct by internal or external parties, which Seacoast may not be able to prevent, detect or mitigate; inability of Seacoast’s risk management framework to manage risks associated with the Company’s business; dependence on key suppliers or vendors to obtain equipment or services for the business on acceptable terms; reduction in or the termination of Seacoast’s ability to use the online- or mobile-based platform that is critical to the Company’s business growth strategy; the effects of war or other conflicts, acts of terrorism, natural disasters, including hurricanes in the Company’s footprint, health emergencies, epidemics or pandemics, or other catastrophic events that may affect general economic conditions and/or increase costs, including, but not limited to, property and casualty and other insurance costs; Seacoast’s ability to maintain adequate internal controls over financial reporting; potential claims, damages, penalties, fines, costs and reputational damage resulting from pending or future litigation, regulatory proceedings and enforcement actions; the risks that deferred tax assets could be reduced if estimates of future taxable income from the Company’s operations and tax planning strategies are less than currently estimated, the results of tax audit findings, challenges to our tax positions, or adverse changes or interpretations of tax laws; the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, non-bank financial technology providers, securities brokerage firms, insurance companies, money market and other mutual funds and other financial institutions; the failure of assumptions underlying the establishment of reserves for expected credit losses; risks related to, and the costs associated with, environmental, social and governance matters, including the scope and pace of related rulemaking activity and disclosure requirements; a deterioration of the credit rating for U.S. long-term sovereign debt, actions that the U.S. government may take to avoid exceeding the debt ceiling, and uncertainties surrounding the federal budget and economic policy; the risk that balance sheet, revenue growth, and loan growth expectations may differ from actual results; and other factors and risks described under “Risk Factors” herein and in any of the Company's subsequent reports filed with the SEC and available on its website at www.sec.gov.

All written or oral forward-looking statements attributable to us are expressly qualified in their entirety by this cautionary notice, including, without limitation, those risks and uncertainties described in the Company’s annual report on Form 10-K for the year ended December 31, 2023 and in other periodic reports that the Company files with the SEC. Such reports are available upon request from the Company, or from the Securities and Exchange Commission, including through the SEC's Internet website at www.sec.gov.

FINANCIAL HIGHLIGHTS	(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
	Quarterly Trends																				Six Months Ended
(Amounts in thousands, except ratios and per share data)	2Q'24				1Q'24				4Q'23				3Q'23				2Q'23				2Q'24				2Q'23
Summary of Earnings
Net income	$	30,244			$	26,006			$	29,543			$	31,414			$	31,249			$	56,250			$	43,076
Adjusted net income1,6		30,277				31,132				31,363				34,170				43,489				61,408				67,708
Net interest income2		104,657				105,298				111,035				119,505				127,153				209,954				258,504
Net interest margin2,3		3.18	%			3.24	%			3.36	%			3.57	%			3.86	%			3.21	%			4.09	%
Pre-tax pre-provision earnings1		44,555				35,674				42,006				43,383				40,864				80,228				88,424
Adjusted pre-tax pre-provision earnings1,6		44,490				42,513				45,016				47,349				57,202				87,002				121,556
Performance Ratios
Return on average assets-GAAP basis3		0.82	%			0.71	%			0.80	%			0.84	%			0.84	%			0.77	%			0.60	%
Return on average tangible assets-GAAP basis3,4		1.00				0.89				0.99				1.04				1.06				0.94				0.80
Adjusted return on average tangible assets1,3,4		1.00				1.04				1.04				1.12				1.41				1.02				1.16
Pre-tax pre-provision return on average tangible assets1,3,4,6		1.45				1.22				1.39				1.43				1.39				1.33				1.52
Adjusted pre-tax pre-provision return on average tangible assets1,3,4		1.45				1.42				1.48				1.55				1.85				1.43				2.01
Net adjusted noninterest expense to average tangible assets1,3,4		2.19				2.23				2.25				2.34				2.40				2.21				2.44
Return on average shareholders' equity-GAAP basis3		5.74				4.94				5.69				6.01				6.05				5.34				4.38
Return on average tangible common equity-GAAP basis3,4		10.75				9.55				11.22				11.90				12.08				10.15				9.14
Adjusted return on average tangible common equity1,3,4		10.76				11.15				11.80				12.79				16.08				10.95				13.32
Efficiency ratio5		60.21				66.78				60.32				62.60				67.34				63.48				66.37
Adjusted efficiency ratio1		60.21				61.13				60.32				60.19				56.44				60.67				54.76
Noninterest income to total revenue (excluding securities gains/losses)		17.55				16.17				15.14				13.22				14.63				16.86				14.59
Tangible common equity to tangible assets4		9.30				9.25				9.31				8.68				8.53				9.30				8.53
Average loan-to-deposit ratio		83.11				84.50				83.38				82.63				83.48				83.80				82.98
End of period loan-to-deposit ratio		82.90				83.12				85.48				82.71				82.42				82.90				82.42
Per Share Data
Net income diluted-GAAP basis	$	0.36			$	0.31			$	0.35			$	0.37			$	0.37			$	0.66			$	0.52
Net income basic-GAAP basis		0.36				0.31				0.35				0.37				0.37				0.67				0.52
Adjusted earnings1,6		0.36				0.37				0.37				0.40				0.51				0.72				0.81
Book value per share common		24.98				24.93				24.84				24.06				24.14				24.98				24.14
Tangible book value per share		15.41				15.26				15.08				14.26				14.24				15.41				14.24
Cash dividends declared		0.18				0.18				0.18				0.18				0.18				0.36				0.35
1Non-GAAP measure - see "Explanation of Certain Unaudited Non-GAAP Financial Measures" for more information and a reconciliation to GAAP.
2Calculated on a fully taxable equivalent basis using amortized cost.
3These ratios are stated on an annualized basis and are not necessarily indicative of future periods.
4The Company defines tangible assets as total assets less intangible assets, and tangible common equity as total shareholders' equity less intangible assets.
5Defined as noninterest expense less amortization of intangibles and gains, losses, and expenses on foreclosed properties divided by net operating revenue (net interest income on a fully taxable equivalent basis plus noninterest income excluding securities gains and losses).
6As of 1Q'24, amortization of intangibles is excluded from adjustments to noninterest expense; prior periods have been updated to reflect the change.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME	(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
	Quarterly Trends																				Six Months Ended
(Amounts in thousands, except per share data)	2Q'24				1Q'24				4Q'23				3Q'23				2Q'23				2Q'24				2Q'23
Interest on securities:
Taxable	$	24,155			$	22,393			$	21,383			$	21,401			$	20,898			$	46,548			$	40,142
Nontaxable		33				34				55				97				97				67				202
Interest and fees on loans		147,292				147,095				147,801				149,871				148,265				294,387				283,433
Interest on interest bearing deposits and other investments		8,328				6,184				7,616				8,477				5,023				14,512				8,497
Total Interest Income		179,808				175,706				176,855				179,846				174,283				355,514				332,274
Interest on deposits		51,319				47,534				44,923				38,396				27,183				98,853				43,216
Interest on time certificates		17,928				17,121				15,764				16,461				14,477				35,049				20,029
Interest on borrowed money		6,137				5,973				5,349				5,683				5,660				12,110				10,914
Total Interest Expense		75,384				70,628				66,036				60,540				47,320				146,012				74,159
Net Interest Income		104,424				105,078				110,819				119,306				126,963				209,502				258,115
Provision for credit losses		4,918				1,368				3,990				2,694				(764	)			6,286				30,834
Net Interest Income After Provision for Credit Losses		99,506				103,710				106,829				116,612				127,727				203,216				227,281
Noninterest income:
Service charges on deposit accounts		5,342				4,960				4,828				4,648				4,560				10,302				8,802
Interchange income		1,940				1,888				2,433				1,684				5,066				3,828				9,760
Wealth management income		3,766				3,540				3,261				3,138				3,318				7,306				6,381
Mortgage banking fees		582				381				378				410				576				963				1,002
Insurance agency income		1,355				1,291				1,066				1,183				1,160				2,646				2,261
SBA gains		694				739				921				613				249				1,433				571
BOLI income		2,596				2,264				2,220				2,197				2,068				4,860				3,984
Other		5,953				5,205				4,668				4,307				4,755				11,158				11,329
		22,228				20,268				19,775				18,180				21,752				42,496				44,090
Securities (losses) gains, net		(44	)			229				(2,437	)			(387	)			(176	)			185				(69	)
Total Noninterest Income		22,184				20,497				17,338				17,793				21,576				42,681				44,021
Noninterest expense:
Salaries and wages		38,937				40,304				38,435				46,431				45,155				79,241				92,771
Employee benefits		6,861				7,889				6,678				7,206				7,472				14,750				16,034
Outsourced data processing costs		8,210				12,118				8,609				8,714				20,222				20,328				34,775
Occupancy		7,180				8,037				7,512				7,758				8,583				15,217				16,602
Furniture and equipment		1,956				2,011				2,028				2,052				2,345				3,967				4,612
Marketing		3,266				2,655				2,995				1,876				2,047				5,921				4,285
Legal and professional fees		1,982				2,151				3,294				2,679				4,062				4,133				11,541
FDIC assessments		2,131				2,158				2,813				2,258				2,116				4,289				3,559
Amortization of intangibles		6,003				6,292				6,888				7,457				7,654				12,295				14,381
Other real estate owned expense and net (gain) loss on sale		(109	)			(26	)			573				274				(57	)			(135	)			138
Provision for credit losses on unfunded commitments		251				250				—				—				—				501				1,239
Other		5,869				6,532				6,542				7,210				8,266				12,401				15,403
Total Noninterest Expense		82,537				90,371				86,367				93,915				107,865				172,908				215,340
Income Before Income Taxes		39,153				33,836				37,800				40,490				41,438				72,989				55,962
Provision for income taxes		8,909				7,830				8,257				9,076				10,189				16,739				12,886
Net Income	$	30,244			$	26,006			$	29,543			$	31,414			$	31,249			$	56,250			$	43,076
Share Data
Net income per share of common stock
Diluted	$	0.36			$	0.31			$	0.35			$	0.37			$	0.37			$	0.66			$	0.52
Basic		0.36				0.31				0.35				0.37				0.37				0.67				0.52
Cash dividends declared		0.18				0.18				0.18				0.18				0.18				0.36				0.35
Average common shares outstanding
Diluted		84,816				85,270				85,336				85,666				85,536				84,799				83,260
Basic		84,341				84,908				84,817				85,142				85,022				84,260				82,600

CONDENSED CONSOLIDATED BALANCE SHEETS	(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
	June 30,				March 31,				December 31,				September 30,				June 30,
(Amounts in thousands)		2024				2024				2023				2023				2023
Assets
Cash and due from banks	$	168,738			$	137,850			$	167,511			$	182,036			$	164,193
Interest bearing deposits with other banks		580,787				544,874				279,671				513,946				563,690
Total cash and cash equivalents		749,525				682,724				447,182				695,982				727,883
Time deposits with other banks		7,856				7,856				5,857				4,357				2,987
Debt Securities:
Securities available for sale (at fair value)		1,967,204				1,949,463				1,836,020				1,841,845				1,916,231
Securities held to maturity (at amortized cost)		658,055				669,896				680,313				691,404				707,812
Total debt securities		2,625,259				2,619,359				2,516,333				2,533,249				2,624,043
Loans held for sale (at fair value)		5,975				9,475				4,391				2,979				5,967
Loans		10,038,508				9,978,052				10,062,940				10,011,186				10,117,919
Less: Allowance for credit losses		(141,641	)			(146,669	)			(148,931	)			(149,661	)			(159,715	)
Loans, net of allowance for credit losses		9,896,867				9,831,383				9,914,009				9,861,525				9,958,204
Bank premises and equipment, net		109,945				110,787				113,304				115,749				116,959
Other real estate owned		6,877				7,315				7,560				7,216				7,526
Goodwill		732,417				732,417				732,417				731,970				732,910
Other intangible assets, net		83,445				89,377				95,645				102,397				109,716
Bank owned life insurance		303,816				301,229				298,974				296,763				293,880
Net deferred tax assets		108,852				111,539				113,232				131,602				127,941
Other assets		321,779				326,554				331,345				339,218				333,916
Total Assets	$	14,952,613			$	14,830,015			$	14,580,249			$	14,823,007			$	15,041,932
Liabilities
Deposits
Noninterest demand	$	3,397,918			$	3,555,401			$	3,544,981			$	3,868,132			$	4,139,052
Interest-bearing demand		2,821,092				2,711,041				2,790,210				2,800,152				2,816,656
Savings		566,052				608,088				651,454				721,558				824,255
Money market		3,707,761				3,531,029				3,314,288				3,143,897				2,859,164
Time deposits		1,623,295				1,610,281				1,476,002				1,574,095				1,644,140
Total Deposits		12,116,118				12,015,840				11,776,935				12,107,834				12,283,267
Securities sold under agreements to repurchase		262,103				326,732				374,573				276,450				290,156
Federal Home Loan Bank borrowings		180,000				110,000				50,000				110,000				160,000
Long-term debt, net		106,634				106,468				106,302				106,136				105,970
Other liabilities		157,377				153,225				164,353				174,193				148,507
Total Liabilities		12,822,232				12,712,265				12,472,163				12,774,613				12,987,900
Shareholders' Equity
Common stock		8,530				8,494				8,486				8,515				8,509
Additional paid in capital		1,815,800				1,811,941				1,808,883				1,813,068				1,809,431
Retained earnings		492,805				478,017				467,305				453,117				437,087
Less: Treasury stock		(18,744	)			(16,746	)			(16,710	)			(14,035	)			(14,171	)
		2,298,391				2,281,706				2,267,964				2,260,665				2,240,856
Accumulated other comprehensive loss, net		(168,010	)			(163,956	)			(159,878	)			(212,271	)			(186,824	)
Total Shareholders' Equity		2,130,381				2,117,750				2,108,086				2,048,394				2,054,032
Total Liabilities & Shareholders' Equity	$	14,952,613			$	14,830,015			$	14,580,249			$	14,823,007			$	15,041,932
Common shares outstanding		85,299				84,935				84,861				85,150				85,086

CONSOLIDATED QUARTERLY FINANCIAL DATA		(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
(Amounts in thousands)		2Q'24				1Q'24				4Q'23				3Q'23				2Q'23
Credit Analysis
Net charge-offs		$	9,946			$	3,630			$	4,720			$	12,748			$	705
Net charge-offs to average loans			0.40	%			0.15	%			0.19	%			0.50	%			0.03	%
Allowance for credit losses		$	141,641			$	146,669			$	148,931			$	149,661			$	159,715
Non-acquired loans at end of period		$	6,834,059			$	6,613,763			$	6,571,454			$	6,343,121			$	6,264,044
Acquired loans at end of period			3,204,449				3,364,289				3,491,486				3,668,065				3,853,875
Total Loans		$	10,038,508			$	9,978,052			$	10,062,940			$	10,011,186			$	10,117,919
Total allowance for credit losses to total loans at end of period			1.41	%			1.47	%			1.48	%			1.49	%			1.58	%
Purchase discount on acquired loans at end of period			4.51				4.63				4.75				4.86				4.98
End of Period
Nonperforming loans		$	59,927			$	77,205			$	65,104			$	41,508			$	48,326
Other real estate owned			1,173				309				221				221				530
Properties previously used in bank operations included in other real estate owned			5,704				7,006				7,339				6,995				6,996
Total Nonperforming Assets		$	66,804			$	84,520			$	72,664			$	48,724			$	55,852
Nonperforming Loans to Loans at End of Period			0.60	%			0.77	%			0.65	%			0.41	%			0.48	%
Nonperforming Assets to Total Assets at End of Period			0.45				0.57				0.50				0.33				0.37
		June 30,				March 31,				December 31,				September 30,				June 30,
Loans			2024				2024				2023				2023				2023
Construction and land development		$	593,534			$	623,246			$	767,622			$	793,736			$	794,371
Commercial real estate - owner occupied			1,656,391				1,656,131				1,670,281				1,675,881				1,669,369
Commercial real estate - non-owner occupied			3,423,266				3,368,339				3,319,890				3,285,974				3,370,211
Residential real estate			2,555,320				2,521,399				2,445,692				2,418,903				2,396,352
Commercial and financial			1,582,290				1,566,198				1,607,888				1,588,152				1,615,534
Consumer			227,707				242,739				251,567				248,540				272,082
Total Loans		$	10,038,508			$	9,978,052			$	10,062,940			$	10,011,186			$	10,117,919

AVERAGE BALANCES, INTEREST INCOME AND EXPENSES, YIELDS AND RATES 1	(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
	2Q'24										1Q'24										2Q'23
	Average							Yield/			Average							Yield/			Average							Yield/
(Amounts in thousands)	Balance				Interest			Rate			Balance				Interest			Rate			Balance				Interest			Rate
Assets
Earning assets:
Securities:
Taxable	$	2,629,716			$	24,155		3.69	%		$	2,578,938			$	22,393		3.47	%		$	2,673,633			$	20,898		3.13	%
Nontaxable		5,423				40		2.97				5,907				41		2.75				15,621				120		3.08
Total Securities		2,635,139				24,195		3.69				2,584,845				22,434		3.47				2,689,254				21,018		3.13
Federal funds sold		510,401				6,967		5.49				370,494				5,056		5.49				327,433				4,313		5.28
Interest bearing deposits with other banks and other investments		98,942				1,361		5.53				95,619				1,128		4.74				90,783				710		3.14
Total Loans, net		10,005,122				147,518		5.93				10,034,658				147,308		5.90				10,101,228				148,432		5.89
Total Earning Assets		13,249,604				180,041		5.47				13,085,616				175,926		5.41				13,208,698				174,473		5.30
Allowance for credit losses		(146,380	)									(148,422	)									(156,207	)
Cash and due from banks		168,439										166,734										165,625
Bank premises and equipment, net		110,709										112,391										117,726
Intangible assets		818,914										825,531										842,988
Bank owned life insurance		302,165										299,765										293,251
Other assets including deferred tax assets		336,256										349,161										415,208
Total Assets	$	14,839,707									$	14,690,776									$	14,887,289
Liabilities and Shareholders' Equity
Interest-bearing liabilities:
Interest-bearing demand	$	2,670,569			$	14,946		2.25	%		$	2,719,334			$	15,266		2.26	%		$	2,666,314			$	7,560		1.14	%
Savings		584,490				560		0.39				628,329				540		0.35				906,936				427		0.19
Money market		3,665,858				35,813		3.93				3,409,310				31,728		3.74				2,806,672				19,196		2.74
Time deposits		1,631,290				17,928		4.42				1,590,070				17,121		4.33				1,425,344				14,477		4.07
Securities sold under agreements to repurchase		293,603				2,683		3.68				333,386				3,079		3.71				244,824				1,593		2.61
Federal Home Loan Bank borrowings		149,234				1,592		4.29				102,418				960		3.77				251,596				2,272		3.62
Long-term debt, net		106,532				1,862		7.03				106,373				1,934		7.31				105,861				1,795		6.80
Total Interest-Bearing Liabilities		9,101,576				75,384		3.33				8,889,220				70,628		3.20				8,407,547				47,320		2.26
Noninterest demand		3,485,603										3,528,489										4,294,251
Other liabilities		134,900										154,686										114,962
Total Liabilities		12,722,079										12,572,395										12,816,760
Shareholders' equity		2,117,628										2,118,381										2,070,529
Total Liabilities & Equity	$	14,839,707									$	14,690,776									$	14,887,289
Cost of deposits								2.31	%									2.19	%									1.38	%
Interest expense as a % of earning assets								2.29	%									2.17	%									1.44	%
Net interest income as a % of earning assets					$	104,657		3.18	%						$	105,298		3.24	%						$	127,153		3.86	%
1On a fully taxable equivalent basis. All yields and rates have been computed using amortized cost.
Fees on loans have been included in interest on loans. Nonaccrual loans are included in loan balances.

AVERAGE BALANCES, INTEREST INCOME AND EXPENSES, YIELDS AND RATES 1	(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
	Six Months Ended June 30, 2024										Six Months Ended June 30, 2023
	Average							Yield/			Average							Yield/
(Amounts in thousands)	Balance				Interest			Rate			Balance				Interest			Rate
Assets
Earning assets:
Securities:
Taxable	$	2,604,327			$	46,548		3.59	%		$	2,686,804			$	40,142		2.99	%
Nontaxable		5,665				81		2.88				15,944				251		3.15
Total Securities		2,609,992				46,629		3.59				2,702,748				40,393		2.99
Federal funds sold		440,448				12,023		5.49				228,491				5,787		5.11
Interest bearing deposits with other banks and other investments		97,281				2,489		5.15				90,750				2,710		6.02
Total Loans, net		10,019,890				294,825		5.92				9,737,236				283,773		5.88
Total Earning Assets		13,167,611				355,966		5.44				12,759,225				332,663		5.26
Allowance for credit losses		(147,401	)									(148,143	)
Cash and due from banks		167,586										193,811
Bank premises and equipment, net		111,550										116,909
Intangible assets		822,222										797,096
Bank owned life insurance		300,965										283,936
Other assets including deferred tax assets		342,708										417,393
Total Assets	$	14,765,241									$	14,420,227
Liabilities and Shareholders' Equity
Interest-bearing liabilities:
Interest-bearing demand	$	2,694,952			$	30,212		2.25	%		$	2,559,805			$	10,767		0.85	%
Savings		606,410				1,100		0.36				979,674				827		0.17
Money market		3,537,584				67,541		3.84				2,760,207				31,622		2.31
Time deposits		1,610,680				35,049		4.38				1,120,576				20,029		3.60
Securities sold under agreements to repurchase		313,494				5,762		3.70				209,358				2,456		2.37
Federal Home Loan Bank borrowings		125,826				2,552		4.08				266,935				5,048		3.81
Long-term debt, net		106,453				3,796		7.17				102,164				3,410		6.73
Total Interest-Bearing Liabilities		8,995,399				146,012		3.26				7,998,719				74,159		1.87
Noninterest demand		3,507,046										4,314,498
Other liabilities		144,791										122,746
Total Liabilities		12,647,236										12,435,963
Shareholders' equity		2,118,005										1,984,264
Total Liabilities & Equity	$	14,765,241									$	14,420,227
Cost of deposits								2.25	%									1.09	%
Interest expense as a % of earning assets								2.23	%									1.17	%
Net interest income as a % of earning assets					$	209,954		3.21	%						$	258,504		4.09	%
1On a fully taxable equivalent basis. All yields and rates have been computed using amortized cost.
Fees on loans have been included in interest on loans. Nonaccrual loans are included in loan balances.

CONSOLIDATED QUARTERLY FINANCIAL DATA	(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
(Amounts in thousands)	June 30, 2024			March 31, 2024			December 31, 2023			September 30, 2023			June 30, 2023
Customer Relationship Funding
Noninterest demand
Commercial	$	2,664,353		$	2,808,151		$	2,752,644		$	3,089,488		$	3,304,761
Retail		532,623			553,697			561,569			570,727			615,536
Public funds		142,846			145,747			173,893			134,649			152,159
Other		58,096			47,806			56,875			73,268			66,596
Total Noninterest Demand		3,397,918			3,555,401			3,544,981			3,868,132			4,139,052
Interest-bearing demand
Commercial		1,533,725			1,561,905			1,576,491			1,618,755			1,555,486
Retail		892,032			930,178			956,900			994,224			1,058,993
Brokered		198,337			—			—			—			—
Public funds		196,998			218,958			256,819			187,173			202,177
Total Interest-Bearing Demand		2,821,092			2,711,041			2,790,210			2,800,152			2,816,656
Total transaction accounts
Commercial		4,198,078			4,370,056			4,329,135			4,708,243			4,860,247
Retail		1,424,655			1,483,875			1,518,469			1,564,951			1,674,529
Brokered		198,337			—			—			—			—
Public funds		339,844			364,705			430,712			321,822			354,336
Other		58,096			47,806			56,875			73,268			66,596
Total Transaction Accounts		6,219,010			6,266,442			6,335,191			6,668,284			6,955,708
Savings
Commercial		53,523			52,665			58,562			79,731			101,908
Retail		512,529			555,423			592,892			641,827			722,347
Total Savings		566,052			608,088			651,454			721,558			824,255
Money market
Commercial		1,771,927			1,709,636			1,655,820			1,625,455			1,426,348
Retail		1,733,505			1,621,618			1,469,142			1,362,390			1,275,721
Public funds		202,329			199,775			189,326			156,052			157,095
Total Money Market		3,707,761			3,531,029			3,314,288			3,143,897			2,859,164
Brokered time certificates		126,668			142,717			122,347			307,963			591,503
Time deposits		1,496,627			1,467,564			1,353,655			1,266,132			1,052,637
		1,623,295			1,610,281			1,476,002			1,574,095			1,644,140
Total Deposits	$	12,116,118		$	12,015,840		$	11,776,935		$	12,107,834		$	12,283,267
Securities sold under agreements to repurchase		262,103			326,732			374,573			276,450			290,156
Total customer funding (1)	$	12,053,216		$	12,199,855		$	12,029,161		$	12,076,321		$	11,981,920
(1)Total deposits and securities sold under agreements to repurchase, excluding brokered deposits. Securities sold under agreements to repurchase consists of customer sweep accounts.

Explanation of Certain Unaudited Non-GAAP Financial Measures
This presentation contains financial information determined by methods other than Generally Accepted Accounting Principles (“GAAP”). Management uses these non-GAAP financial measures in its analysis of the Company’s performance and believes these presentations provide useful supplemental information, and a clearer understanding of the Company’s performance. The Company believes the non-GAAP measures enhance investors’ understanding of the Company’s business and performance and if not provided would be requested by the investor community. These measures are also useful in understanding performance trends and facilitate comparisons with the performance of other financial institutions. The limitations associated with operating measures are the risk that persons might disagree as to the appropriateness of items comprising these measures and that different companies might define or calculate these measures differently. The Company provides reconciliations between GAAP and these non-GAAP measures. These disclosures should not be considered an alternative to GAAP.

GAAP TO NON-GAAP RECONCILIATION	(Unaudited)
SEACOAST BANKING CORPORATION OF FLORIDA AND SUBSIDIARIES
	Quarterly Trends																				Six Months Ended
(Amounts in thousands, except per share data)	2Q'24				1Q'24				4Q'23				3Q'23				2Q'23				2Q'24				2Q'23
Net Income	$	30,244			$	26,006			$	29,543			$	31,414			$	31,249			$	56,250			$	43,076
Total noninterest income		22,184				20,497				17,338				17,793				21,576				42,681				44,021
Securities losses (gains), net		44				(229	)			2,437				387				176				(185	)			69
BOLI benefits on death (included in other income)		—				—				—				—				—				—				(2,117	)
Total Adjustments to Noninterest Income		44				(229	)			2,437				387				176				(185	)			(2,048	)
Total Adjusted Noninterest Income		22,228				20,268				19,775				18,180				21,752				42,496				41,973
Total noninterest expense		82,537				90,371				86,367				93,915				107,865				172,908				215,340
Merger related charges:
Salaries and wages		—				—				—				—				(1,573	)			—				(5,813	)
Outsourced data processing		—				—				—				—				(10,904	)			—				(17,455	)
Legal and professional fees		—				—				—				—				(1,664	)			—				(6,453	)
Other		—				—				—				—				(1,507	)			—				(3,459	)
Total merger related charges		—				—				—				—				(15,648	)			—				(33,180	)
Branch reductions and other expense initiatives:
Salaries and wages		—				(2,073	)			—				(3,201	)			(462	)			(2,073	)			(1,081	)
Outsourced data processing		—				(4,089	)			—				—				—				(4,089	)			—
Occupancy		—				(771	)			—				—				—				(771	)			(774	)
Other		—				(161	)			—				(104	)			(109	)			(161	)			(7	)
Total branch reductions and other expense initiatives		—				(7,094	)			—				(3,305	)			(571	)			(7,094	)			(1,862	)
Adjustments to Noninterest Expense		—				(7,094	)			—				(3,305	)			(16,219	)			(7,094	)			(35,042	)
Adjusted Noninterest Expense2		82,537				83,277				86,367				90,610				91,646				165,814				180,298
Income Taxes		8,909				7,830				8,257				9,076				10,189				16,739				12,886
Tax effect of adjustments		11				1,739				617				936				4,155				1,751				8,362
Adjusted Income Taxes		8,920				9,569				8,874				10,012				14,344				18,490				21,248
Adjusted Net Income2	$	30,277			$	31,132			$	31,363			$	34,170			$	43,489			$	61,408			$	67,708
Earnings per diluted share, as reported	$	0.36			$	0.31			$	0.35			$	0.37			$	0.37			$	0.66			$	0.52
Adjusted Earnings per Diluted Share		0.36				0.37				0.37				0.40				0.51				0.72				0.81
Average diluted shares outstanding		84,816				85,270				85,336				85,666				85,536				84,799				83,260
Adjusted Noninterest Expense	$	82,537			$	83,277			$	86,367			$	90,610			$	91,646			$	165,814			$	180,298
Provision for credit losses on unfunded commitments		(251	)			(250	)			—				—				—				(501	)			(1,239	)
Other real estate owned expense and net gain (loss) on sale		109				26				(573	)			(274	)			57				135				(138	)
Amortization of intangibles		(6,003	)			(6,292	)			(6,888	)			(7,457	)			(7,654	)			(12,295	)			(14,381	)
Net Adjusted Noninterest Expense	$	76,392			$	76,761			$	78,906			$	82,879			$	84,049			$	153,153			$	164,540
Net adjusted noninterest expense	$	76,392			$	76,761			$	78,906			$	82,879			$	84,049			$	153,153			$	165,540
Average tangible assets		14,020,793				13,865,245				13,906,005				14,066,216				14,044,301				13,943,019				13,623,131
Net Adjusted Noninterest Expense to Average Tangible Assets		2.19	%			2.23	%			2.25	%			2.34	%			2.40	%			2.21	%			2.44	%
Net Revenue	$	126,608			$	125,575			$	128,157			$	137,099			$	148,539			$	252,183			$	302,136
Total Adjustments to Net Revenue		44				(229	)			2,437				387				176				(185	)			(2,048	)
Impact of FTE adjustment		233				220				216				199				190				452				389
Adjusted Net Revenue on a fully taxable equivalent basis	$	126,885			$	125,566			$	130,810			$	137,685			$	148,905			$	252,450			$	300,477
Adjusted Efficiency Ratio		60.21	%			61.13	%			60.32	%			60.19	%			56.44	%			60.67	%			54.76	%
Net Interest Income	$	104,424			$	105,078			$	110,819			$	119,306			$	126,963			$	209,502			$	258,115
Impact of FTE adjustment		233				220				216				199				190				452				389
Net Interest Income including FTE adjustment	$	104,657			$	105,298			$	111,035			$	119,505			$	127,153			$	209,954			$	258,504
Total noninterest income		22,184				20,497				17,338				17,793				21,576				42,681				44,021
Total noninterest expense less provision for credit losses on unfunded commitments		82,286				90,121				86,367				93,915				107,865				172,407				214,101
Pre-Tax Pre-Provision Earnings	$	44,555			$	35,674			$	42,006			$	43,383			$	40,864			$	80,228			$	88,424
Total Adjustments to Noninterest Income		44				(229	)			2,437				387				176				(185	)			(2,048	)
Total Adjustments to Noninterest Expense including other real estate owned expense and net (gain) loss on sale		(109	)			7,068				573				3,579				16,162				6,959				35,180
Adjusted Pre-Tax Pre-Provision Earnings2	$	44,490			$	42,513			$	45,016			$	47,349			$	57,202			$	87,002			$	121,556
Average Assets	$	14,839,707			$	14,690,776			$	14,738,034			$	14,906,003			$	14,887,289			$	14,765,241			$	14,420,227
Less average goodwill and intangible assets		(818,914	)			(825,531	)			(832,029	)			(839,787	)			(842,988	)			(822,222	)			(797,096	)
Average Tangible Assets	$	14,020,793			$	13,865,245			$	13,906,005			$	14,066,216			$	14,044,301			$	13,943,019			$	13,623,131
Return on Average Assets (ROA)		0.82	%			0.71	%			0.80	%			0.84	%			0.84	%			0.77	%			0.60	%
Impact of removing average intangible assets and related amortization		0.18				0.18				0.19				0.20				0.22				0.17				0.20
Return on Average Tangible Assets (ROTA)		1.00				0.89				0.99				1.04				1.06				0.94				0.80
Impact of other adjustments for Adjusted Net Income		—				0.15				0.05				0.08				0.35				0.08				0.36
Adjusted Return on Average Tangible Assets		1.00				1.04				1.04				1.12				1.41				1.02				1.16
Pre-Tax Pre-Provision return on Average Tangible Assets		1.45				1.22				1.39				1.43				1.39				1.33				1.52
Impact of adjustments on Pre-Tax Pre-Provision earnings		—				0.20				0.09				0.12				0.46				0.10				0.49
Adjusted Pre-Tax Pre-Provision Return on Tangible Assets2		1.45	%			1.42	%			1.48	%			1.55	%			1.85	%			1.43	%			2.01	%
Average Shareholders' Equity	$	2,117,628			$	2,118,381			$	2,058,912			$	2,072,747			$	2,070,529			$	2,118,005			$	1,984,264
Less average goodwill and intangible assets		(818,914	)			(825,531	)			(832,029	)			(839,787	)			(842,988	)			(822,222	)			(797,096	)
Average Tangible Equity	$	1,298,714			$	1,292,850			$	1,226,883			$	1,232,960			$	1,227,541			$	1,295,783			$	1,187,168
Return on Average Shareholders' Equity		5.74	%			4.94	%			5.69	%			6.01	%			6.05	%			5.34	%			4.38	%
Impact of removing average intangible assets and related amortization		5.01				4.61				5.53				5.89				6.03				4.81				4.76
Return on Average Tangible Common Equity (ROTCE)		10.75				9.55				11.22				11.90				12.08				10.15				9.14
Impact of other adjustments for Adjusted Net Income		0.01				1.60				0.58				0.89				4.00				0.80				4.18
Adjusted Return on Average Tangible Common Equity		10.76	%			11.15	%			11.80	%			12.79	%			16.08	%			10.95	%			13.32	%
Loan interest income1	$	147,518			$	147,308			$	148,004			$	150,048			$	148,432			$	294,826			$	283,773
Accretion on acquired loans		(10,178	)			(10,595	)			(11,324	)			(14,843	)			(14,580	)			(20,773	)			(30,522	)
Loan interest income excluding accretion on acquired loans	$	137,340			$	136,713			$	136,680			$	135,205			$	133,852			$	274,053			$	253,251
Yield on loans1		5.93				5.90				5.85				5.93				5.89				5.92				5.88
Impact of accretion on acquired loans		(0.41	)			(0.42	)			(0.45	)			(0.59	)			(0.58	)			(0.42	)			(0.64	)
Yield on loans excluding accretion on acquired loans		5.52	%			5.48	%			5.40	%			5.34	%			5.31	%			5.50	%			5.24	%
Net Interest Income1	$	104,657			$	105,298			$	111,035			$	119,505			$	127,153			$	209,954			$	258,504
Accretion on acquired loans		(10,178	)			(10,595	)			(11,324	)			(14,843	)			(14,580	)			(20,773	)			(30,522	)
Net interest income excluding accretion on acquired loans	$	94,479			$	94,703			$	99,711			$	104,662			$	112,573			$	189,181			$	227,982
Net Interest Margin		3.18				3.24				3.36				3.57				3.86				3.21				4.09
Impact of accretion on acquired loans		(0.30	)			(0.33	)			(0.34	)			(0.44	)			(0.44	)			(0.31	)			(0.49	)
Net interest margin excluding accretion on acquired loans		2.87	%			2.91	%			3.02	%			3.13	%			3.42	%			2.89	%			3.60	%
Security interest income1	$	24,195			$	22,434			$	21,451			$	21,520			$	21,018			$	46,629			$	40,393
Tax equivalent adjustment on securities		(7	)			(7	)			(13	)			(22	)			(23	)			(14	)			(49	)
Security interest income excluding tax equivalent adjustment	$	24,188			$	22,427			$	21,438			$	21,498			$	20,995			$	46,615			$	40,344
Loan interest income1	$	147,518			$	147,308			$	148,004			$	150,048			$	148,432			$	294,825			$	283,773
Tax equivalent adjustment on loans		(226	)			(213	)			(203	)			(177	)			(167	)			(438	)			(340	)
Loan interest income excluding tax equivalent adjustment	$	147,292			$	147,095			$	147,801			$	149,871			$	148,265			$	294,387			$	283,433
Net Interest Income1	$	104,657			$	105,298			$	111,035			$	119,505			$	127,153			$	209,954			$	258,504
Tax equivalent adjustment on securities		(7	)			(7	)			(13	)			(22	)			(23	)			(14	)			(49	)
Tax equivalent adjustment on loans		(226	)			(213	)			(203	)			(177	)			(167	)			(438	)			(340	)
Net interest income excluding tax equivalent adjustment	$	104,424			$	105,078			$	110,819			$	119,306			$	126,963			$	209,502			$	258,115
1On a fully taxable equivalent basis. All yields and rates have been computed using amortized cost.
2 As of 1Q’24, amortization of intangibles is excluded from adjustments to noninterest expense; prior periods have been updated to reflect the change.

FAQ

What were Seacoast's Q2 2024 net income and EPS?

Seacoast's net income for Q2 2024 was $30.2M, or $0.36 per diluted share.

How did Seacoast's Q2 2024 pre-tax pre-provision earnings compare to Q1 2024?

Pre-tax pre-provision earnings in Q2 2024 increased 25% from Q1 2024 to $44.6M.

What is the Tier 1 capital ratio of Seacoast as of June 30, 2024?

Seacoast's Tier 1 capital ratio was 14.8% as of June 30, 2024.

How much did Seacoast's noninterest income grow in Q2 2024?

Noninterest income grew 8% QoQ to $22.2M in Q2 2024.

What were the loan originations for Seacoast in Q2 2024?

Loan originations for Seacoast in Q2 2024 were $538M, a 37% increase QoQ.

What was Seacoast's net interest margin in Q2 2024?

Seacoast's net interest margin was 3.18% in Q2 2024, down from 3.24% in Q1 2024.

How much did Seacoast's net charge-offs increase in Q2 2024?

Net charge-offs increased to $9.9M in Q2 2024 from $3.6M in Q1 2024.