South Plains Financial, Inc. Reports Fourth Quarter and Year-End 2024 Financial Results
South Plains Financial (NASDAQ:SPFI) reported strong fourth quarter 2024 results with net income of $16.5 million ($0.96 per diluted share), up from $11.2 million in Q3 2024 and $10.3 million in Q4 2023. The company's net interest margin improved to 3.75%, while the average cost of deposits decreased to 229 basis points.
For full-year 2024, net income was $49.7 million ($2.92 per diluted share), compared to $62.7 million in 2023. Total assets reached $4.23 billion, with loans held for investment growing by $40.9 million (1.4%) during 2024. The bank maintained strong capital ratios, with a total risk-based capital ratio of 16.74% and a common equity tier 1 ratio of 12.41%.
Deposits totaled $3.62 billion as of December 31, 2024, with noninterest-bearing deposits representing 25.8% of total deposits. The asset quality remained stable with an allowance for credit losses to loans ratio of 1.42%.
South Plains Financial (NASDAQ:SPFI) ha riportato risultati solidi per il quarto trimestre del 2024, con un utile netto di 16,5 milioni di dollari (0,96 dollari per azione diluita), in aumento rispetto agli 11,2 milioni di dollari del terzo trimestre del 2024 e ai 10,3 milioni di dollari del quarto trimestre del 2023. Il margine di interesse netto dell'azienda è migliorato al 3,75%, mentre il costo medio dei depositi è diminuito di 229 punti base.
Per l'intero anno 2024, l'utile netto è stato di 49,7 milioni di dollari (2,92 dollari per azione diluita), rispetto ai 62,7 milioni di dollari del 2023. Il totale delle attività ha raggiunto i 4,23 miliardi di dollari, con prestiti detenuti per investimento che sono aumentati di 40,9 milioni di dollari (1,4%) durante il 2024. La banca ha mantenuto solidi rapporti patrimoniali, con un rapporto di capitale totale basato sul rischio del 16,74% e un rapporto di capitale di base comune di classe 1 del 12,41%.
I depositi hanno totalizzato 3,62 miliardi di dollari al 31 dicembre 2024, con depositi non remunerati che rappresentano il 25,8% del totale dei depositi. La qualità degli attivi è rimasta stabile con un rapporto di accantonamenti per perdite su crediti sui prestiti dell'1,42%.
South Plains Financial (NASDAQ:SPFI) reportó resultados sólidos para el cuarto trimestre de 2024, con un ingreso neto de 16.5 millones de dólares (0.96 dólares por acción diluida), en comparación con 11.2 millones de dólares en el tercer trimestre de 2024 y 10.3 millones de dólares en el cuarto trimestre de 2023. El margen de interés neto de la compañía mejoró al 3.75%, mientras que el costo promedio de los depósitos disminuyó a 229 puntos base.
Para el año completo de 2024, el ingreso neto fue de 49.7 millones de dólares (2.92 dólares por acción diluida), en comparación con 62.7 millones de dólares en 2023. Los activos totales alcanzaron 4.23 mil millones de dólares, con un crecimiento de los préstamos mantenidos para inversión de 40.9 millones de dólares (1.4%) durante 2024. El banco mantuvo ratios de capital sólidos, con una relación de capital total basada en riesgo del 16.74% y una relación de capital ordinario de nivel 1 del 12.41%.
Los depósitos totalizaron 3.62 mil millones de dólares al 31 de diciembre de 2024, con depósitos no remunerados que representan el 25.8% del total de los depósitos. La calidad de los activos se mantuvo estable con una relación de provisiones para pérdidas crediticias sobre préstamos del 1.42%.
사우스 플레인스 파이낸셜 (NASDAQ:SPFI)은 2024년 4분기 실적이 강했으며, 순이익은 1,650만 달러(희석주당 0.96달러)로, 2024년 3분기의 1,120만 달러와 2023년 4분기의 1,030만 달러에서 증가했습니다. 회사의 순이자 마진은 3.75%로 개선되었고, 평균 예치금 비용은 229베이시스 포인트 감소했습니다.
2024년 전체연도의 순이익은 4,970만 달러(희석주당 2.92달러)로, 2023년의 6,270만 달러와 비교되었습니다. 총 자산은 42억 3천만 달러에 도달했으며, 투자 목적의 대출은 4,090만 달러(1.4%) 증가했습니다. 은행은 총 위험 기반 자본 비율이 16.74% 및 공통 자본 우선주 1등급 비율이 12.41%로 강력한 자본 비율을 유지했습니다.
2024년 12월 31일 기준으로 예금은 36억 2천만 달러에 달하며, 이자 없는 예금은 총 예금의 25.8%를 차지합니다. 자산 품질은 안정적으로 유지되었으며, 대출 대비 신용 손실 충당금 비율은 1.42%입니다.
South Plains Financial (NASDAQ:SPFI) a annoncé des résultats solides pour le quatrième trimestre 2024 avec un bénéfice net de 16,5 millions de dollars (0,96 dollar par action diluée), en hausse par rapport à 11,2 millions de dollars au troisième trimestre 2024 et 10,3 millions de dollars au quatrième trimestre 2023. La marge d'intérêt nette de l'entreprise s'est améliorée à 3,75 %, tandis que le coût moyen des dépôts a diminué de 229 points de base.
Pour l'année entière 2024, le bénéfice net s'élevait à 49,7 millions de dollars (2,92 dollars par action diluée), par rapport à 62,7 millions de dollars en 2023. Les actifs totaux ont atteint 4,23 milliards de dollars, avec des prêts détenus à des fins d'investissement en hausse de 40,9 millions de dollars (1,4 %) en 2024. La banque a maintenu des ratios de capital solides, avec un ratio de capital total basé sur le risque de 16,74 % et un ratio de capital de base commun de 12,41 %.
Les dépôts ont totalisé 3,62 milliards de dollars au 31 décembre 2024, les dépôts non rémunérés représentant 25,8 % du total des dépôts. La qualité des actifs est restée stable avec un ratio de provisions pour pertes sur créances par rapport aux prêts de 1,42 %.
South Plains Financial (NASDAQ:SPFI) hat solide Ergebnisse für das vierte Quartal 2024 mit einem Nettogewinn von 16,5 Millionen Dollar (0,96 Dollar pro verwässerter Aktie) gemeldet, was einem Anstieg von 11,2 Millionen Dollar im dritten Quartal 2024 und 10,3 Millionen Dollar im vierten Quartal 2023 entspricht. Die Nettozinsspanne des Unternehmens verbesserte sich auf 3,75%, während die durchschnittlichen Einlagenkosten um 229 Basispunkte sanken.
Für das gesamte Jahr 2024 betrug der Nettogewinn 49,7 Millionen Dollar (2,92 Dollar pro verwässerter Aktie), im Vergleich zu 62,7 Millionen Dollar im Jahr 2023. Die Gesamtaktiva beliefen sich auf 4,23 Milliarden Dollar, wobei die für Investitionen gehaltenen Kredite während 2024 um 40,9 Millionen Dollar (1,4%) zunahmen. Die Bank hielt starke Eigenkapitalquoten mit einer Gesamtquote des risikobasierten Kapitals von 16,74% und einer Kernkapitalquote von 12,41%.
Die Einlagen beliefen sich zum 31. Dezember 2024 auf 3,62 Milliarden Dollar, wobei nicht verzinsliche Einlagen 25,8% der Gesamteinlagen ausmachten. Die Asset-Qualität blieb stabil mit einem Verhältnis von Rückstellungen für Kreditverluste zu Krediten von 1,42%.
- Net income increased 47.3% QoQ to $16.5 million in Q4 2024
- Net interest margin improved to 3.75% from 3.65% in Q3 2024
- Average cost of deposits decreased by 18 basis points QoQ
- Loans held for investment grew by $40.9 million (1.4%) in 2024
- Strong capital ratios with total risk-based capital at 16.74%
- Full-year net income declined from $62.7M in 2023 to $49.7M in 2024
- Nonperforming assets to total assets increased to 0.58% from 0.14% YoY
- Book value per share decreased to $26.67 from $27.04 QoQ
- Total deposits decreased by $94.8 million (2.6%) in Q4 2024
Insights
The Q4 2024 results demonstrate significant operational improvements for South Plains Financial, with several noteworthy developments:
- Quarterly earnings showed remarkable strength with
$16.5 million in net income, representing a47.3% increase QoQ and60.2% increase YoY. This translated to diluted EPS of$0.96 , significantly outperforming previous quarters. - Net interest margin expansion to
3.75% reflects successful balance sheet management, particularly notable given the challenging rate environment. The18 basis point reduction in deposit costs to2.29% showcases effective liability management. - The deposit mix remains favorable with
25.8% in non-interest bearing deposits, though the$94.8 million quarterly deposit decrease warrants attention. The planned reduction in sweep deposits indicates strategic balance sheet optimization rather than competitive pressures. - Asset quality metrics remain controlled with NPAs at
0.58% , though the year-over-year increase from0.14% suggests careful monitoring is warranted. The stable ACL ratio of1.42% appears adequate given the current risk profile. - Management's guidance for 2025 projecting low to mid-single digit loan growth, combined with their strongest pipeline in two years, suggests potential for sustainable organic growth. The positive outlook on deposit pricing trends could further support margin stability.
While full-year 2024 earnings of
LUBBOCK, Texas, Jan. 24, 2025 (GLOBE NEWSWIRE) -- South Plains Financial, Inc. (NASDAQ:SPFI) (“South Plains” or the “Company”), the parent company of City Bank (“City Bank” or the “Bank”), today reported its financial results for the quarter and year ended December 31, 2024.
Fourth Quarter 2024 Highlights
- Net income for the fourth quarter of 2024 was
$16.5 million , compared to$11.2 million for the third quarter of 2024 and$10.3 million for the fourth quarter of 2023. - Diluted earnings per share for the fourth quarter of 2024 was
$0.96 , compared to$0.66 for the third quarter of 2024 and$0.61 for the fourth quarter of 2023. - Average cost of deposits for the fourth quarter of 2024 was 229 basis points, compared to 247 basis points for the third quarter of 2024 and 224 basis points for the fourth quarter of 2023.
- Net interest margin, calculated on a tax-equivalent basis, was
3.75% for the fourth quarter of 2024, compared to3.65% for the third quarter of 2024 and3.52% for the fourth quarter of 2023. - Return on average assets for the fourth quarter of 2024 was
1.53% annualized, compared to1.05% annualized for the third quarter of 2024 and0.99% annualized for the fourth quarter of 2023. - Tangible book value (non-GAAP) per share was
$25.40 as of December 31, 2024, compared to$25.75 as of September 30, 2024 and$23.47 as of December 31, 2023. - The consolidated total risk-based capital ratio, common equity tier 1 risk-based capital ratio, and tier 1 leverage ratio at December 31, 2023 were
16.74% ,12.41% , and11.33% , respectively. These ratios significantly exceeded the minimum regulatory levels necessary to be deemed “well-capitalized”.
Full Year 2024 Highlights
- Full year net income of
$49.7 million in 2024, compared to$62.7 million in 2023. - Diluted earnings per share of
$2.92 in 2024, compared to$3.62 in 2023. - The Bank’s wholly-owned subsidiary, Windmark Insurance Agency, Inc. (“Windmark”), was sold in the second quarter of 2023 for
$36.1 million , resulting in a gain, net of related charges and taxes, of$22.9 million or$1.32 of diluted earnings per share. - Loans held for investment grew
$40.9 million , or1.4% , during 2024. - Total assets were
$4.23 billion at December 31, 2024, compared to$4.20 billion at December 31, 2023. - Return on average assets of
1.17% for the full year 2024, compared to1.54% for 2023.
Curtis Griffith, South Plains’ Chairman and Chief Executive Officer, commented, “I am very proud of our performance this past year as we successfully navigated a challenging environment with a focus on delivering strong financial results. We tightly managed our liquidity to optimize our profitability and return metrics while maintaining our conservative approach to underwriting and risk management. We have also managed the anticipated decline in our indirect auto portfolio as well as a heightened level of loan payoffs and paydowns that has obscured the strong, underlying loan production that has built through the year. Importantly, we are seeing a growing level of optimism across our customer base that is translating into the strongest new business production pipeline that we have seen in more than two years. This bodes positively for the year ahead where we expect to deliver low to mid-single digit loan growth for the full year 2025. Additionally, we are seeing deposit pricing fall across our markets which contributed to our strong margin expansion in the fourth quarter.”
Results of Operations, Quarter Ended December 31, 2024
Net Interest Income
Net interest income was
Interest income was
Interest expense was
Noninterest Income and Noninterest Expense
Noninterest income was
Noninterest expense was
Loan Portfolio and Composition
Loans held for investment were
Deposits and Borrowings
Deposits totaled
Asset Quality
The Company recorded a provision for credit losses in the fourth quarter of 2024 of
The ratio of allowance for credit losses to loans held for investment was
The ratio of nonperforming assets to total assets was
Capital
Book value per share decreased to
Conference Call
South Plains will host a conference call to discuss its fourth quarter and year-end 2024 financial results today, January 24, 2025, at 10:00 a.m., Eastern Time. Investors and analysts interested in participating in the call are invited to dial 1-877-407-9716 (international callers please dial 1-201-493-6779) approximately 10 minutes prior to the start of the call. A live audio webcast of the conference call and conference materials will be available on the Company’s website at https://www.spfi.bank/news-events/events.
A replay of the conference call will be available within two hours of the conclusion of the call and can be accessed on the investor section of the Company’s website as well as by dialing 1-844-512-2921 (international callers please dial 1-412-317-6671). The pin to access the telephone replay is 13750452. The replay will be available until February 7, 2025.
About South Plains Financial, Inc.
South Plains is the bank holding company for City Bank, a Texas state-chartered bank headquartered in Lubbock, Texas. City Bank is one of the largest independent banks in West Texas and has additional banking operations in the Dallas, El Paso, Greater Houston, the Permian Basin, and College Station, Texas markets, and the Ruidoso, New Mexico market. South Plains provides a wide range of commercial and consumer financial services to small and medium-sized businesses and individuals in its market areas. Its principal business activities include commercial and retail banking, along with investment, trust and mortgage services. Please visit https://www.spfi.bank for more information.
Non-GAAP Financial Measures
Some of the financial measures included in this press release are not measures of financial performance recognized in accordance with generally accepted accounting principles in the United States (“GAAP”). These non-GAAP financial measures include Tangible Book Value Per Share, Tangible Common Equity to Tangible Assets, and Pre-Tax, Pre-Provision Income. The Company believes these non-GAAP financial measures provide both management and investors a more complete understanding of the Company’s financial position and performance. These non-GAAP financial measures are supplemental and are not a substitute for any analysis based on GAAP financial measures.
We classify a financial measure as being a non-GAAP financial measure if that financial measure excludes or includes amounts, or is subject to adjustments that have the effect of excluding or including amounts, that are included or excluded, as the case may be, in the most directly comparable measure calculated and presented in accordance with GAAP as in effect from time to time in the United States in our statements of income, balance sheets or statements of cash flows. Not all companies use the same calculation of these measures; therefore, this presentation may not be comparable to other similarly titled measures as presented by other companies.
A reconciliation of non-GAAP financial measures to GAAP financial measures is provided at the end of this press release.
Available Information
The Company routinely posts important information for investors on its web site (under www.spfi.bank and, more specifically, under the News & Events tab at www.spfi.bank/news-events/press-releases). The Company intends to use its web site as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD (Fair Disclosure) promulgated by the U.S. Securities and Exchange Commission (the “SEC”). Accordingly, investors should monitor the Company’s web site, in addition to following the Company’s press releases, SEC filings, public conference calls, presentations and webcasts.
The information contained on, or that may be accessed through, the Company’s web site is not incorporated by reference into, and is not a part of, this document.
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements reflect South Plains’ current views with respect to future events and South Plains’ financial performance. Any statements about South Plains’ expectations, beliefs, plans, predictions, forecasts, objectives, assumptions or future events or performance are not historical facts and may be forward-looking. These statements are often, but not always, made through the use of words or phrases such as “anticipate,” “believes,” “can,” “could,” “may,” “predicts,” “potential,” “should,” “will,” “estimate,” “plans,” “projects,” “continuing,” “ongoing,” “expects,” “intends” and similar words or phrases. South Plains cautions that the forward-looking statements in this press release are based largely on South Plains’ expectations and are subject to a number of known and unknown risks and uncertainties that are subject to change based on factors which are, in many instances, beyond South Plains’ control. Factors that could cause such changes include, but are not limited to, the impact on us and our customers of a decline in general economic conditions and any regulatory responses thereto; potential recession in the United States and our market areas; the impacts related to or resulting from uncertainty in the banking industry as a whole; increased competition for deposits in our market areas and related changes in deposit customer behavior; the impact of changes in market interest rates, whether due to a continuation of the elevated interest rate environment or further reductions in interest rates and a resulting decline in net interest income; the lingering inflationary pressures, and the risk of the resurgence of elevated levels of inflation, in the United States and our market areas; the uncertain impacts of ongoing quantitative tightening and current and future monetary policies of the Board of Governors of the Federal Reserve System; increases in unemployment rates in the United States and our market areas; declines in commercial real estate values and prices; uncertainty regarding United States fiscal debt, deficit and budget matters; cyber incidents or other failures, disruptions or breaches of our operational or security systems or infrastructure, or those of our third-party vendors or other service providers, including as a result of cyber attacks; severe weather, natural disasters, acts of war or terrorism, geopolitical instability or other external events; the impact of changes in U.S. presidential administrations or Congress, including potential changes in U.S. and international trade policies and the resulting impact on the Company and its customers; competition and market expansion opportunities; changes in non-interest expenditures or in the anticipated benefits of such expenditures; the risks related to the development, implementation, use and management of emerging technologies, including artificial intelligence and machine learnings; potential costs related to the impacts of climate change; current or future litigation, regulatory examinations or other legal and/or regulatory actions; and changes in applicable laws and regulations. Additional information regarding these risks and uncertainties to which South Plains’ business and future financial performance are subject is contained in South Plains’ most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q on file with the SEC, including the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of such documents, and other documents South Plains files or furnishes with the SEC from time to time, which are available on the SEC’s website, www.sec.gov. Actual results, performance or achievements could differ materially from those contemplated, expressed, or implied by the forward-looking statements due to additional risks and uncertainties of which South Plains is not currently aware or which it does not currently view as, but in the future may become, material to its business or operating results. Due to these and other possible uncertainties and risks, the Company can give no assurance that the results contemplated in the forward-looking statements will be realized and readers are cautioned not to place undue reliance on the forward-looking statements contained in this press release. Any forward-looking statements presented herein are made only as of the date of this press release, and South Plains does not undertake any obligation to update or revise any forward-looking statements to reflect changes in assumptions, new information, the occurrence of unanticipated events, or otherwise, except as required by applicable law. All forward-looking statements, express or implied, included in the press release are qualified in their entirety by this cautionary statement.
| Contact: | Mikella Newsom, Chief Risk Officer and Secretary |
| (866) 771-3347 | |
| investors@city.bank | |
Source: South Plains Financial, Inc.
| South Plains Financial, Inc. | |||||||||||||||||||
| Consolidated Financial Highlights - (Unaudited) | |||||||||||||||||||
| (Dollars in thousands, except share data) | |||||||||||||||||||
| As of and for the quarter ended | |||||||||||||||||||
| December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | December 31, 2023 | |||||||||||||||
| Selected Income Statement Data: | |||||||||||||||||||
| Interest income | $ | 61,324 | $ | 61,640 | $ | 59,208 | $ | 58,727 | $ | 57,236 | |||||||||
| Interest expense | 22,776 | 24,346 | 23,320 | 23,359 | 22,074 | ||||||||||||||
| Net interest income | 38,548 | 37,294 | 35,888 | 35,368 | 35,162 | ||||||||||||||
| Provision for credit losses | 1,200 | 495 | 1,775 | 830 | 600 | ||||||||||||||
| Noninterest income | 13,319 | 10,635 | 12,709 | 11,409 | 9,146 | ||||||||||||||
| Noninterest expense | 29,948 | 33,128 | 32,572 | 31,930 | 30,597 | ||||||||||||||
| Income tax expense | 4,222 | 3,094 | 3,116 | 3,143 | 2,787 | ||||||||||||||
| Net income | 16,497 | 11,212 | 11,134 | 10,874 | 10,324 | ||||||||||||||
| Per Share Data (Common Stock): | |||||||||||||||||||
| Net earnings, basic | $ | 1.01 | $ | 0.68 | $ | 0.68 | $ | 0.66 | $ | 0.63 | |||||||||
| Net earnings, diluted | 0.96 | 0.66 | 0.66 | 0.64 | 0.61 | ||||||||||||||
| Cash dividends declared and paid | 0.15 | 0.14 | 0.14 | 0.13 | 0.13 | ||||||||||||||
| Book value | 26.67 | 27.04 | 25.45 | 24.87 | 24.80 | ||||||||||||||
| Tangible book value (non-GAAP) | 25.40 | 25.75 | 24.15 | 23.56 | 23.47 | ||||||||||||||
| Weighted average shares outstanding, basic | 16,400,361 | 16,386,079 | 16,425,360 | 16,429,919 | 16,443,908 | ||||||||||||||
| Weighted average shares outstanding, dilutive | 17,161,646 | 17,056,959 | 16,932,077 | 16,938,857 | 17,008,892 | ||||||||||||||
| Shares outstanding at end of period | 16,455,826 | 16,386,627 | 16,424,021 | 16,431,755 | 16,417,099 | ||||||||||||||
| Selected Period End Balance Sheet Data: | |||||||||||||||||||
| Cash and cash equivalents | $ | 359,082 | $ | 471,167 | $ | 298,006 | $ | 371,939 | $ | 330,158 | |||||||||
| Investment securities | 577,240 | 606,889 | 591,031 | 599,869 | 622,762 | ||||||||||||||
| Total loans held for investment | 3,055,054 | 3,037,375 | 3,094,273 | 3,011,799 | 3,014,153 | ||||||||||||||
| Allowance for credit losses | 43,237 | 42,886 | 43,173 | 42,174 | 42,356 | ||||||||||||||
| Total assets | 4,232,239 | 4,337,659 | 4,220,936 | 4,218,993 | 4,204,793 | ||||||||||||||
| Interest-bearing deposits | 2,685,366 | 2,720,880 | 2,672,948 | 2,664,397 | 2,651,952 | ||||||||||||||
| Noninterest-bearing deposits | 935,510 | 998,480 | 951,565 | 974,174 | 974,201 | ||||||||||||||
| Total deposits | 3,620,876 | 3,719,360 | 3,624,513 | 3,638,571 | 3,626,153 | ||||||||||||||
| Borrowings | 110,354 | 110,307 | 110,261 | 110,214 | 110,168 | ||||||||||||||
| Total stockholders’ equity | 438,949 | 443,122 | 417,985 | 408,712 | 407,114 | ||||||||||||||
| Summary Performance Ratios: | |||||||||||||||||||
| Return on average assets (annualized) | 1.53 | % | 1.05 | % | 1.07 | % | 1.04 | % | 0.99 | % | |||||||||
| Return on average equity (annualized) | 14.88 | % | 10.36 | % | 10.83 | % | 10.72 | % | 10.52 | % | |||||||||
| Net interest margin (1) | 3.75 | % | 3.65 | % | 3.63 | % | 3.56 | % | 3.52 | % | |||||||||
| Yield on loans | 6.69 | % | 6.68 | % | 6.60 | % | 6.53 | % | 6.29 | % | |||||||||
| Cost of interest-bearing deposits | 3.12 | % | 3.36 | % | 3.33 | % | 3.27 | % | 3.14 | % | |||||||||
| Efficiency ratio | 57.50 | % | 68.80 | % | 66.72 | % | 67.94 | % | 68.71 | % | |||||||||
| Summary Credit Quality Data: | |||||||||||||||||||
| Nonperforming loans | $ | 24,023 | $ | 24,693 | $ | 23,452 | $ | 3,380 | $ | 5,178 | |||||||||
| Nonperforming loans to total loans held for investment | 0.79 | % | 0.81 | % | 0.76 | % | 0.11 | % | 0.17 | % | |||||||||
| Other real estate owned | 530 | 973 | 755 | 862 | 912 | ||||||||||||||
| Nonperforming assets to total assets | 0.58 | % | 0.59 | % | 0.57 | % | 0.10 | % | 0.14 | % | |||||||||
| Allowance for credit losses to total loans held for investment | 1.42 | % | 1.41 | % | 1.40 | % | 1.40 | % | 1.41 | % | |||||||||
| Net charge-offs to average loans outstanding (annualized) | 0.11 | % | 0.11 | % | 0.10 | % | 0.13 | % | 0.08 | % | |||||||||
| As of and for the quarter ended | |||||||||||||||||||
| December 31 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | December 31, 2023 | |||||||||||||||
| Capital Ratios: | |||||||||||||||||||
| Total stockholders’ equity to total assets | 10.37 | % | 10.22 | % | 9.90 | % | 9.69 | % | 9.68 | % | |||||||||
| Tangible common equity to tangible assets (non-GAAP) | 9.92 | % | 9.77 | % | 9.44 | % | 9.22 | % | 9.21 | % | |||||||||
| Common equity tier 1 to risk-weighted assets | 13.53 | % | 13.25 | % | 12.61 | % | 12.67 | % | 12.41 | % | |||||||||
| Tier 1 capital to average assets | 12.04 | % | 11.76 | % | 11.81 | % | 11.51 | % | 11.33 | % | |||||||||
| Total capital to risk-weighted assets | 17.86 | % | 17.61 | % | 16.86 | % | 17.00 | % | 16.74 | % | |||||||||
| (1) | Net interest margin is calculated as the annual net interest income, on a fully tax-equivalent basis, divided by average interest-earning assets. |
| South Plains Financial, Inc. | |||||||||||||||||||||||
| Average Balances and Yields - (Unaudited) | |||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||
| For the Three Months Ended | |||||||||||||||||||||||
| December 31, 2024 | December 31, 2023 | ||||||||||||||||||||||
| Average Balance | Interest | Yield/Rate | Average Balance | Interest | Yield/Rate | ||||||||||||||||||
| Assets | |||||||||||||||||||||||
| Loans | $ | 3,049,718 | $ | 51,270 | 6.69 | % | $ | 3,019,228 | $ | 47,903 | 6.29 | % | |||||||||||
| Debt securities - taxable | 518,646 | 4,994 | 3.83 | % | 560,143 | 5,563 | 3.94 | % | |||||||||||||||
| Debt securities - nontaxable | 154,203 | 1,014 | 2.62 | % | 157,341 | 1,032 | 2.60 | % | |||||||||||||||
| Other interest-bearing assets | 390,090 | 4,267 | 4.35 | % | 255,454 | 2,963 | 4.60 | % | |||||||||||||||
| Total interest-earning assets | 4,112,657 | 61,545 | 5.95 | % | 3,992,166 | 57,461 | 5.71 | % | |||||||||||||||
| Noninterest-earning assets | 189,422 | 156,541 | |||||||||||||||||||||
| Total assets | $ | 4,302,079 | $ | 4,148,707 | |||||||||||||||||||
| Liabilities & stockholders’ equity | |||||||||||||||||||||||
| NOW, Savings, MMDA’s | $ | 2,249,062 | 16,570 | 2.93 | % | $ | 2,201,190 | 16,894 | 3.04 | % | |||||||||||||
| Time deposits | 445,173 | 4,566 | 4.08 | % | 357,067 | 3,325 | 3.69 | % | |||||||||||||||
| Short-term borrowings | 3 | - | 0.00 | % | 3 | - | 0.00 | % | |||||||||||||||
| Notes payable & other long-term borrowings | - | - | 0.00 | % | - | - | 0.00 | % | |||||||||||||||
| Subordinated debt | 63,938 | 834 | 5.19 | % | 73,740 | 981 | 5.28 | % | |||||||||||||||
| Junior subordinated deferrable interest debentures | 46,393 | 806 | 6.91 | % | 46,393 | 874 | 7.47 | % | |||||||||||||||
| Total interest-bearing liabilities | 2,804,569 | 22,776 | 3.23 | % | 2,678,393 | 22,074 | 3.27 | % | |||||||||||||||
| Demand deposits | 978,742 | 1,021,091 | |||||||||||||||||||||
| Other liabilities | 77,732 | 59,808 | |||||||||||||||||||||
| Stockholders’ equity | 441,036 | 389,415 | |||||||||||||||||||||
| Total liabilities & stockholders’ equity | $ | 4,302,079 | $ | 4,148,707 | |||||||||||||||||||
| Net interest income | $ | 38,769 | $ | 35,387 | |||||||||||||||||||
| Net interest margin (2) | 3.75 | % | 3.52 | % | |||||||||||||||||||
| (1) | Average loan balances include nonaccrual loans and loans held for sale. |
| (2) | Net interest margin is calculated as the annualized net interest income, on a fully tax-equivalent basis, divided by average interest-earning assets. |
| South Plains Financial, Inc. | |||||||||||||||||||||||
| Average Balances and Yields - (Unaudited) | |||||||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||||||
| For the Twelve Months Ended | |||||||||||||||||||||||
| December 31, 2024 | December 31, 2023 | ||||||||||||||||||||||
| Average Balance | Interest | Yield/Rate | Average Balance | Interest | Yield/Rate | ||||||||||||||||||
| Assets | |||||||||||||||||||||||
| Loans | $ | 3,054,189 | $ | 202,301 | 6.62 | % | $ | 2,924,473 | $ | 176,627 | 6.04 | % | |||||||||||
| Debt securities - taxable | 532,730 | 21,090 | 3.96 | % | 570,655 | 21,590 | 3.78 | % | |||||||||||||||
| Debt securities - nontaxable | 155,168 | 4,076 | 2.63 | % | 185,205 | 4,901 | 2.65 | % | |||||||||||||||
| Other interest-bearing assets | 312,917 | 14,319 | 4.58 | % | 223,152 | 9,973 | 4.47 | % | |||||||||||||||
| Total interest-earning assets | 4,055,004 | 241,786 | 5.96 | % | 3,903,485 | 213,091 | 5.46 | % | |||||||||||||||
| Noninterest-earning assets | 179,527 | 176,495 | |||||||||||||||||||||
| Total assets | $ | 4,234,531 | $ | 4,079,980 | |||||||||||||||||||
| Liabilities & stockholders’ equity | |||||||||||||||||||||||
| NOW, Savings, MMDA’s | $ | 2,250,942 | 70,362 | 3.13 | % | $ | 2,117,985 | 55,423 | 2.62 | % | |||||||||||||
| Time deposits | 411,028 | 16,719 | 4.07 | % | 321,205 | 9,564 | 2.98 | % | |||||||||||||||
| Short-term borrowings | 3 | - | 0.00 | % | 84 | 5 | 5.95 | % | |||||||||||||||
| Notes payable & other long-term borrowings | - | - | 0.00 | % | - | - | 0.00 | % | |||||||||||||||
| Subordinated debt | 63,868 | 3,339 | 5.23 | % | 75,458 | 4,018 | 5.32 | % | |||||||||||||||
| Junior subordinated deferrable interest debentures | 46,393 | 3,381 | 7.29 | % | 46,393 | 3,276 | 7.06 | % | |||||||||||||||
| Total interest-bearing liabilities | 2,772,234 | 93,801 | 3.38 | % | 2,561,125 | 72,286 | 2.82 | % | |||||||||||||||
| Demand deposits | 968,307 | 1,069,280 | |||||||||||||||||||||
| Other liabilities | 70,777 | 71,102 | |||||||||||||||||||||
| Stockholders’ equity | 423,213 | 378,473 | |||||||||||||||||||||
| Total liabilities & stockholders’ equity | $ | 4,234,531 | $ | 4,079,980 | |||||||||||||||||||
| Net interest income | $ | 147,985 | $ | 140,805 | |||||||||||||||||||
| Net interest margin (2) | 3.65 | % | 3.61 | % | |||||||||||||||||||
| (1) | Average loan balances include nonaccrual loans and loans held for sale. |
| (2) | Net interest margin is calculated as the annualized net interest income, on a fully tax-equivalent basis, divided by average interest-earning assets. |
| South Plains Financial, Inc. | |||||||
| Consolidated Balance Sheets | |||||||
| (Unaudited) | |||||||
| (Dollars in thousands) | |||||||
| As of | |||||||
| December 31, 2024 | December 31, 2023 | ||||||
| Assets | |||||||
| Cash and due from banks | $ | 54,114 | $ | 62,821 | |||
| Interest-bearing deposits in banks | 304,968 | 267,337 | |||||
| Securities available for sale | 577,240 | 622,762 | |||||
| Loans held for sale | 20,542 | 14,499 | |||||
| Loans held for investment | 3,055,054 | 3,014,153 | |||||
| Less: Allowance for credit losses | (43,237 | ) | (42,356 | ) | |||
| Net loans held for investment | 3,011,817 | 2,971,797 | |||||
| Premises and equipment, net | 52,951 | 55,070 | |||||
| Goodwill | 19,315 | 19,315 | |||||
| Intangible assets | 1,720 | 2,429 | |||||
| Mortgage servicing rights | 26,292 | 26,569 | |||||
| Other assets | 163,280 | 162,194 | |||||
| Total assets | $ | 4,232,239 | $ | 4,204,793 | |||
| Liabilities and Stockholders’ Equity | |||||||
| Noninterest-bearing deposits | $ | 935,510 | $ | 974,201 | |||
| Interest-bearing deposits | 2,685,366 | 2,651,952 | |||||
| Total deposits | 3,620,876 | 3,626,153 | |||||
| Subordinated debt | 63,961 | 63,775 | |||||
| Junior subordinated deferrable interest debentures | 46,393 | 46,393 | |||||
| Other liabilities | 62,060 | 61,358 | |||||
| Total liabilities | 3,793,290 | 3,797,679 | |||||
| Stockholders’ Equity | |||||||
| Common stock | 16,456 | 16,417 | |||||
| Additional paid-in capital | 97,287 | 97,107 | |||||
| Retained earnings | 385,827 | 345,264 | |||||
| Accumulated other comprehensive income (loss) | (60,621 | ) | (51,674 | ) | |||
| Total stockholders’ equity | 438,949 | 407,114 | |||||
| Total liabilities and stockholders’ equity | $ | 4,232,239 | $ | 4,204,793 | |||
| South Plains Financial, Inc. | |||||||||||||||
| Consolidated Statements of Income | |||||||||||||||
| (Unaudited) | |||||||||||||||
| (Dollars in thousands) | |||||||||||||||
| Three Months Ended | Twelve Months Ended | ||||||||||||||
| December 31, 2024 | December 31, 2023 | December 31, 2024 | December 31, 2023 | ||||||||||||
| Interest income: | |||||||||||||||
| Loans, including fees | $ | 51,262 | $ | 47,895 | $ | 202,270 | $ | 176,598 | |||||||
| Other | 10,062 | 9,341 | 38,629 | 35,435 | |||||||||||
| Total interest income | 61,324 | 57,236 | 240,899 | 212,033 | |||||||||||
| Interest expense: | |||||||||||||||
| Deposits | 21,136 | 20,219 | 87,081 | 64,987 | |||||||||||
| Subordinated debt | 834 | 981 | 3,339 | 4,018 | |||||||||||
| Junior subordinated deferrable interest debentures | 806 | 874 | 3,381 | 3,276 | |||||||||||
| Other | - | - | - | 5 | |||||||||||
| Total interest expense | 22,776 | 22,074 | 93,801 | 72,286 | |||||||||||
| Net interest income | 38,548 | 35,162 | 147,098 | 139,747 | |||||||||||
| Provision for credit losses | 1,200 | 600 | 4,300 | 4,610 | |||||||||||
| Net interest income after provision for credit losses | 37,348 | 34,562 | 142,798 | 135,137 | |||||||||||
| Noninterest income: | |||||||||||||||
| Service charges on deposits | 2,241 | 1,844 | 8,026 | 7,130 | |||||||||||
| Income from insurance activities | 31 | 37 | 123 | 1,515 | |||||||||||
| Mortgage banking activities | 4,955 | 1,671 | 14,187 | 13,817 | |||||||||||
| Bank card services and interchange fees | 3,225 | 3,167 | 13,640 | 13,323 | |||||||||||
| Gain on sale of subsidiary | — | — | — | 33,778 | |||||||||||
| Other | 2,867 | 2,427 | 12,096 | 9,663 | |||||||||||
| Total noninterest income | 13,319 | 9,146 | 48,072 | 79,226 | |||||||||||
| Noninterest expense: | |||||||||||||||
| Salaries and employee benefits | 17,384 | 17,977 | 74,338 | 79,377 | |||||||||||
| Net occupancy expense | 3,901 | 3,856 | 16,105 | 16,102 | |||||||||||
| Professional services | 1,555 | 1,509 | 6,583 | 6,433 | |||||||||||
| Marketing and development | 1,153 | 880 | 3,782 | 3,453 | |||||||||||
| Other | 5,955 | 6,375 | 26,770 | 29,581 | |||||||||||
| Total noninterest expense | 29,948 | 30,597 | 127,578 | 134,946 | |||||||||||
| Income before income taxes | 20,719 | 13,111 | 63,292 | 79,417 | |||||||||||
| Income tax expense | 4,222 | 2,787 | 13,575 | 16,672 | |||||||||||
| Net income | $ | 16,497 | $ | 10,324 | $ | 49,717 | $ | 62,745 | |||||||
| South Plains Financial, Inc. | |||||||
| Loan Composition | |||||||
| (Unaudited) | |||||||
| (Dollars in thousands) | |||||||
| As of | |||||||
| December 31, 2024 | December 31, 2023 | ||||||
| Loans: | |||||||
| Commercial Real Estate | $ | 1,119,063 | $ | 1,081,056 | |||
| Commercial - Specialized | 388,955 | 372,376 | |||||
| Commercial - General | 557,371 | 517,361 | |||||
| Consumer: | |||||||
| 1-4 Family Residential | 566,400 | 534,731 | |||||
| Auto Loans | 254,474 | 305,271 | |||||
| Other Consumer | 64,936 | 74,168 | |||||
| Construction | 103,855 | 129,190 | |||||
| Total loans held for investment | $ | 3,055,054 | $ | 3,014,153 | |||
| South Plains Financial, Inc. | |||||||
| Deposit Composition | |||||||
| (Unaudited) | |||||||
| (Dollars in thousands) | |||||||
| As of | |||||||
| December 31, 2024 | December 31, 2023 | ||||||
| Deposits: | |||||||
| Noninterest-bearing deposits | $ | 935,510 | $ | 974,201 | |||
| NOW & other transaction accounts | 498,718 | 562,066 | |||||
| MMDA & other savings | 1,741,988 | 1,722,170 | |||||
| Time deposits | 444,660 | 367,716 | |||||
| Total deposits | $ | 3,620,876 | $ | 3,626,153 | |||
| South Plains Financial, Inc. | |||||||||||||||||||
| Reconciliation of Non-GAAP Financial Measures (Unaudited) | |||||||||||||||||||
| (Dollars in thousands) | |||||||||||||||||||
| For the quarter ended | |||||||||||||||||||
| December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | December 31, 2023 | |||||||||||||||
| Pre-tax, pre-provision income | |||||||||||||||||||
| Net income | $ | 16,497 | $ | 11,212 | $ | 11,134 | $ | 10,874 | $ | 10,324 | |||||||||
| Income tax expense | 4,222 | 3,094 | 3,116 | 3,143 | 2,787 | ||||||||||||||
| Provision for credit losses | 1,200 | 495 | 1,775 | 830 | 600 | ||||||||||||||
| Pre-tax, pre-provision income | $ | 21,919 | $ | 14,801 | $ | 16,025 | $ | 14,847 | $ | 13,711 | |||||||||
| As of | |||||||||||||||||||
| December 31, 2024 | September 30, 2024 | June 30, 2024 | March 31, 2024 | December 31, 2023 | |||||||||||||||
| Tangible common equity | |||||||||||||||||||
| Total common stockholders’ equity | $ | 438,949 | $ | 443,122 | $ | 417,985 | $ | 408,712 | $ | 407,114 | |||||||||
| Less: goodwill and other intangibles | (21,035 | ) | (21,197 | ) | (21,379 | ) | (21,562 | ) | (21,744 | ) | |||||||||
| Tangible common equity | $ | 417,914 | $ | 421,925 | $ | 396,606 | $ | 387,150 | $ | 385,370 | |||||||||
| Tangible assets | |||||||||||||||||||
| Total assets | $ | 4,232,239 | $ | 4,337,659 | $ | 4,220,936 | $ | 4,218,993 | $ | 4,204,793 | |||||||||
| Less: goodwill and other intangibles | (21,035 | ) | (21,197 | ) | (21,379 | ) | (21,562 | ) | (21,744 | ) | |||||||||
| Tangible assets | $ | 4,211,204 | $ | 4,316,462 | $ | 4,199,557 | $ | 4,197,431 | $ | 4,183,049 | |||||||||
| Shares outstanding | 16,455,826 | 16,386,627 | 16,424,021 | 16,431,755 | 16,417,099 | ||||||||||||||
| Total stockholders’ equity to total assets | 10.37 | % | 10.22 | % | 9.90 | % | 9.69 | % | 9.68 | % | |||||||||
| Tangible common equity to tangible assets | 9.92 | % | 9.77 | % | 9.44 | % | 9.22 | % | 9.21 | % | |||||||||
| Book value per share | $ | 26.67 | $ | 27.04 | $ | 25.45 | $ | 24.87 | $ | 24.80 | |||||||||
| Tangible book value per share | $ | 25.40 | $ | 25.75 | $ | 24.15 | $ | 23.56 | $ | 23.47 | |||||||||
FAQ
What was South Plains Financial's (SPFI) Q4 2024 earnings per share?
How much did SPFI's loans grow in 2024?
What was SPFI's net interest margin in Q4 2024?
How did SPFI's deposit costs change in Q4 2024?
What was SPFI's total asset value at the end of 2024?
