Westamerica Bancorporation Reports Fourth Quarter 2024 Financial Results

SAN RAFAEL, Calif., Jan. 16, 2025 (GLOBE NEWSWIRE) -- Westamerica Bancorporation (Nasdaq: WABC), parent company of Westamerica Bank, generated net income for the fourth quarter 2024 of $31.7 million and diluted earnings per common share ("EPS") of $1.19. Fourth quarter 2024 results include an increase to the book tax provision to reconcile the 2023 income tax provision to the filed 2023 tax returns, which reduced EPS $0.01. Fourth quarter 2024 results compare to third quarter 2024 net income of $35.1 million and EPS of $1.31, which included gains from life insurance and sales of other assets equivalent to EPS of $0.04.

"Westamerica’s fourth quarter 2024 results benefited from the Company’s valuable low-cost deposit base, of which 47 percent was represented by non-interest bearing checking accounts during the quarter; the annualized cost of funding our loan and bond portfolios was 0.24 percent in the quarter. Operating expenses remained well controlled at 37 percent of total revenues. The Company recognized no provision for credit losses. At December 31, 2024, nonperforming assets were stable at $0.7 million and the allowance for credit losses was $14.8 million” said Chairman, President and CEO David Payne. “Fourth quarter 2024 results generated an annualized 12.1 percent return on average common equity. Shareholders were paid a $0.44 per common share dividend during the fourth quarter 2024,” concluded Payne.

Net interest income on a fully-taxable equivalent (FTE) basis was $59.2 million for the fourth quarter 2024, compared to $62.5 million for the third quarter 2024. The annualized yield earned on loans, bonds and cash for the fourth quarter 2024 was 4.25 percent compared to 4.45 percent for the third quarter 2024. The annualized cost of funding the loan and bond portfolios was 0.24 percent for the fourth quarter 2024, compared to 0.37 percent for the third quarter 2024.

Noninterest income for the fourth quarter 2024 totaled $10.6 million compared to $11.9 million for the third quarter 2024. Third quarter 2024 results include $1.6 million in gains from life insurance and sales of other assets.

Noninterest expenses for the fourth quarter 2024 were $25.9 million compared to $26.3 million for the third quarter 2024.

The income tax provision for the fourth quarter 2024 includes a $305 thousand increase to reconcile the 2023 income tax provision to the filed 2023 tax returns.

Westamerica Bancorporation’s wholly owned subsidiary Westamerica Bank, operates commercial banking and trust offices throughout Northern and Central California.

Westamerica Bancorporation Web Address: www.westamerica.com

For additional information contact:
           Westamerica Bancorporation
           1108 Fifth Avenue, San Rafael, CA 94901
           Robert A. Thorson – SVP & Treasurer
           707-863-6840
           investments@westamerica.com

FORWARD-LOOKING INFORMATION:

The following appears in accordance with the Private Securities Litigation Reform Act of 1995:

This press release may contain forward-looking statements about the Company, including descriptions of plans or objectives of its management for future operations, products or services, and forecasts of its revenues, earnings or other measures of economic performance. Forward-looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include the words "believe," "expect," "anticipate," "intend," "plan," "estimate," or words of similar meaning, or future or conditional verbs such as "will," "would," "should," "could," or "may."

Forward-looking statements, by their nature, are subject to risks and uncertainties. A number of factors — many of which are beyond the Company's control — could cause actual conditions, events or results to differ significantly from those described in the forward-looking statements. The Company's most recent reports filed with the Securities and Exchange Commission, including the annual report for the year ended December 31, 2023 filed on Form 10-K and quarterly report for the quarter ended September 30, 2024 filed on Form 10-Q, describe some of these factors, including certain credit, interest rate, operational, liquidity and market risks associated with the Company's business and operations. Other factors described in these reports include changes in business and economic conditions, competition, fiscal and monetary policies, disintermediation, cyber security risks, legislation including the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, the Sarbanes-Oxley Act of 2002 and the Gramm-Leach-Bliley Act of 1999, and mergers and acquisitions.

Forward-looking statements speak only as of the date they are made. The Company does not undertake to update forward-looking statements to reflect circumstances or events that occur after the date forward looking statements are made.

		Public Information January 16, 2025
WESTAMERICA BANCORPORATION
FINANCIAL HIGHLIGHTS
December 31, 2024
1. Net Income Summary.
		(in thousands except per-share amounts)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Net Interest and Loan Fee
	Income (FTE)	$	59,247		$	69,738		-15.0	%	$	62,465
	Provision for
	Credit Losses		-			-		n/m			-
	Noninterest Income		10,633			10,992		-3.3	%		11,925
	Noninterest Expense		25,853			25,517		1.3	%		26,309
	Income Before Taxes (FTE)		44,027			55,213		-20.3	%		48,081
	Income Tax Provision (FTE)		12,327			15,745		-21.7	%		13,024
	Net Income	$	31,700		$	39,468		-19.7	%	$	35,057
	Average Common Shares
	Outstanding		26,699			26,662		0.1	%		26,685
	Diluted Average Common
	Shares Outstanding		26,701			26,664		0.1	%		26,686
	Operating Ratios:
	Basic Earnings Per Common
	Share	$	1.19		$	1.48		-19.6	%	$	1.31
	Diluted Earnings Per
	Common Share		1.19			1.48		-19.6	%		1.31
	Return On Assets (a)		2.02	%		2.35	%				2.16	%
	Return On Common
	Equity (a)		12.1	%		16.7	%				13.7	%
	Net Interest Margin (FTE) (a)		4.01	%		4.41	%				4.08	%
	Efficiency Ratio (FTE)		37.0	%		31.6	%				35.4	%
	Dividends Paid Per Common
	Share	$	0.44		$	0.44		0.0	%	$	0.44
	Common Dividend Payout
	Ratio		37	%		30	%				33	%
								%
		12/31'24YTD			12/31'23YTD			Change
	Net Interest and Loan Fee
	Income (FTE)	$	251,906		$	281,673		-10.6	%
	Provision (Reversal
	of Provision) for
	Credit Losses (1)		300			(1,150	)	n/m
	Noninterest Income		43,155			43,522		-0.8	%
	Noninterest Expense		104,391			103,216		1.1	%
	Income Before Taxes (FTE)		190,370			223,129		-14.7	%
	Income Tax Provision (FTE)		51,734			61,361		-15.7	%
	Net Income	$	138,636		$	161,768		-14.3	%
	Average Common Shares
	Outstanding		26,685			26,703		-0.1	%
	Diluted Average Common
	Shares Outstanding		26,686			26,706		-0.1	%
	Operating Ratios:
	Basic Earnings Per Common
	Share	$	5.20		$	6.06		-14.2	%
	Diluted Earnings Per
	Common Share		5.20			6.06		-14.2	%
	Return On Assets		2.15	%		2.35	%
	Return On Common
	Equity		13.8	%		18.1	%
	Net Interest Margin (FTE)		4.14	%		4.37	%
	Efficiency Ratio (FTE)		35.4	%		31.7	%
	Dividends Paid Per Common
	Share	$	1.76		$	1.72		2.3	%
	Common Dividend Payout
	Ratio		34	%		28	%
2. Net Interest Income.
		(dollars in thousands)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Interest and Loan Fee
	Income (FTE)	$	62,713		$	71,417		-12.2	%	$	68,110
	Interest Expense		3,466			1,679		106.4	%		5,645
	Net Interest and Loan Fee
	Income (FTE)	$	59,247		$	69,738		-15.0	%	$	62,465
	Average Earning Assets	$	5,850,620		$	6,251,143		-6.4	%	$	6,062,174
	Average Interest-Bearing
	Liabilities		2,796,675			2,966,038		-5.7	%		2,950,093
	Yield on Earning Assets
	(FTE) (a)		4.25	%		4.52	%				4.45	%
	Cost of Funds (a)		0.24	%		0.11	%				0.37	%
	Net Interest Margin (FTE) (a)		4.01	%		4.41	%				4.08	%
	Interest Expense /
	Interest-Bearing
	Liabilities (a)		0.49	%		0.22	%				0.76	%
	Net Interest Spread (FTE) (a)		3.76	%		4.30	%				3.69	%
								%
		12/31'24YTD			12/31'23YTD			Change
	Interest and Loan Fee
	Income (FTE)	$	269,325		$	285,563		-5.7	%
	Interest Expense		17,419			3,890		347.8	%
	Net Interest and Loan Fee
	Income (FTE)	$	251,906		$	281,673		-10.6	%
	Average Earning Assets	$	6,043,966		$	6,451,821		-6.3	%
	Average Interest-Bearing
	Liabilities		2,925,742			3,128,115		-6.5	%
	Yield on Earning Assets
	(FTE)		4.43	%		4.43	%
	Cost of Funds		0.29	%		0.06	%
	Net Interest Margin (FTE)		4.14	%		4.37	%
	Interest Expense /
	Interest-Bearing
	Liabilities		0.60	%		0.12	%
	Net Interest Spread (FTE)		3.83	%		4.31	%
3. Loans & Other Earning Assets.
		(average volume, dollars in thousands)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Total Assets	$	6,243,799		$	6,665,040		-6.3	%	$	6,461,843
	Total Earning Assets		5,850,620			6,251,143		-6.4	%		6,062,174
	Total Loans		821,767			873,635		-5.9	%		831,418
	Commercial Loans		131,088			139,535		-6.1	%		136,160
	Commercial Real Estate
	Loans		503,546			490,645		2.6	%		493,272
	Consumer Loans		187,133			243,455		-23.1	%		201,986
	Total Investment Securities		4,557,436			5,182,557		-12.1	%		4,736,024
	Debt Securities Available for
	Sale		3,710,378			4,298,396		-13.7	%		3,881,678
	Debt Securities Held to
	Maturity		847,058			884,161		-4.2	%		854,346
	Total Interest-Bearing Cash		471,417			194,951		141.8	%		494,732
	Loans / Deposits		16.3	%		15.7	%				16.3	%
								%
		12/31'24YTD			12/31'23YTD			Change
	Total Assets	$	6,444,687		$	6,871,366		-6.2	%
	Total Earning Assets		6,043,966			6,451,821		-6.3	%
	Total Loans		836,136			912,316		-8.4	%
	Commercial Loans		133,569			153,499		-13.0	%
	Commercial Real Estate
	Loans		493,282			492,183		0.2	%
	Consumer Loans		209,285			266,634		-21.5	%
	Total Investment Securities		4,833,024			5,334,711		-9.4	%
	Debt Securities Available for
	Sale		3,973,134			4,436,003		-10.4	%
	Debt Securities Held to
	Maturity		859,890			898,708		-4.3	%
	Total Interest-Bearing Cash		374,806			204,794		83.0	%
	Loans / Deposits		16.2	%		15.8	%
4. Deposits, Other Interest-Bearing Liabilities & Equity.
		(average volume, dollars in thousands)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Total Deposits	$	5,028,363		$	5,573,281		-9.8	%	$	5,092,244
	Noninterest Demand		2,342,092			2,672,170		-12.4	%		2,425,646
	Interest-Bearing Transaction		934,876			1,085,864		-13.9	%		937,694
	Savings		1,666,542			1,713,803		-2.8	%		1,639,997
	Time greater than $100K		31,541			37,970		-16.9	%		32,815
	Time less than $100K		53,312			63,474		-16.0	%		56,092
	Total Short-Term Borrowings		110,404			64,927		70.0	%		283,495
	Bank Term Funding Program
	Borrowings		-			-		n/m			167,391
	Securities Sold under
	Repurchase Agreements		110,404			64,927		70.0	%		116,104
	Shareholders' Equity		1,039,017			938,738		10.7	%		1,016,642
	Demand Deposits /
	Total Deposits		46.6	%		47.9	%				47.6	%
	Transaction & Savings
	Deposits / Total Deposits		98.3	%		98.2	%				98.3	%
								%
		12/31'24YTD			12/31'23YTD			Change
	Total Deposits	$	5,174,942		$	5,787,361		-10.6	%
	Noninterest Demand		2,445,945			2,748,544		-11.0	%
	Interest-Bearing Transaction		977,912			1,156,684		-15.5	%
	Savings		1,660,227			1,766,225		-6.0	%
	Time greater than $100K		33,794			48,076		-29.7	%
	Time less than $100K		57,064			67,832		-15.9	%
	Total Short-Term Borrowings		196,745			89,298		120.3	%
	Bank Term Funding Program
	Borrowings		107,364			-		n/m
	Securities Sold under
	Repurchase Agreements		89,381			89,298		0.1	%
	Shareholders' Equity		1,003,242			894,610		12.1	%
	Demand Deposits /
	Total Deposits		47.3	%		47.5	%
	Transaction & Savings
	Deposits / Total Deposits		98.2	%		98.0	%
5. Interest Yields Earned & Rates Paid.
		(dollars in thousands)
		Q4'2024
		Average			Income/			Yield (a) /
		Volume			Expense			Rate (a)
	Interest & Loan Fee Income Earned:
	Total Earning Assets (FTE)	$	5,850,620		$	62,713		4.25	%
	Total Loans (FTE)		821,767			11,249		5.45	%
	Commercial Loans (FTE)		131,088			2,107		6.39	%
	Commercial Real Estate
	Loans		503,546			6,477		5.12	%
	Consumer Loans		187,133			2,665		5.67	%
	Total Investments (FTE)		4,557,436			45,805		3.99	%
	Total Debt Securities
	Available for Sale (FTE)		3,710,378			37,169		3.97	%
	Corporate Securities		2,038,474			14,011		2.75	%
	Collateralized Loan
	Obligations		1,037,319			17,689		6.67	%
	Agency Mortgage Backed
	Securities		240,259			1,688		2.81	%
	Securities of U.S.
	Government Sponsored
	Entities		310,617			2,776		3.58	%
	Obligations of States and
	Political Subdivisions
	(FTE)		64,575			507		3.14	%
	U.S. Treasury Securities		4,907			63		5.08	%
	Other Debt Securities
	Available for Sale (FTE)		14,227			435		12.22	%
	Total Debt Securities Held to
	Maturity (FTE)		847,058			8,636		4.08	%
	Agency Mortgage Backed
	Securities		60,572			351		2.31	%
	Corporate Securities		734,395			7,815		4.26	%
	Obligations of States and
	Political Subdivisions
	(FTE)		52,091			470		3.61	%
	Total Interest-Bearing Cash		471,417			5,659		4.70	%
	Interest Expense Paid:
	Total Earning Assets		5,850,620			3,466		0.24	%
	Total Interest-Bearing
	Liabilities		2,796,675			3,466		0.49	%
	Total Interest-Bearing
	Deposits		2,686,271			3,262		0.48	%
	Interest-Bearing Transaction		934,876			46		0.02	%
	Savings		1,666,542			3,148		0.75	%
	Time less than $100K		53,312			43		0.32	%
	Time greater than $100K		31,541			25		0.31	%
	Total Short-Term Borrowings		110,404			204		0.73	%
	Securities Sold under
	Repurchase Agreements		110,404			204		0.73	%
	Net Interest Income and
	Margin (FTE)				$	59,247		4.01	%
		Q4'2023
		Average			Income/			Yield (a) /
		Volume			Expense			Rate (a)
	Interest & Loan Fee Income Earned:
	Total Earning Assets (FTE)	$	6,251,143		$	71,417		4.52	%
	Total Loans (FTE)		873,635			11,695		5.31	%
	Commercial Loans (FTE)		139,535			2,503		7.12	%
	Commercial Real Estate
	Loans		490,645			5,945		4.81	%
	Consumer Loans		243,455			3,247		5.29	%
	Total Investments (FTE)		5,182,557			57,032		4.35	%
	Total Debt Securities
	Available for Sale (FTE)		4,298,396			48,094		4.42	%
	Corporate Securities		2,129,736			14,687		2.76	%
	Collateralized Loan
	Obligations		1,508,494			28,041		7.27	%
	Agency Mortgage Backed
	Securities		264,514			1,627		2.46	%
	Securities of U.S.
	Government sponsored
	entities		308,234			2,777		3.60	%
	Obligations of States and
	Political Subdivisions
	(FTE)		73,191			549		3.00	%
	Other Debt Securities
	Available for Sale (FTE)		14,227			413		11.62	%
	Total Debt Securities Held to
	Maturity (FTE)		884,161			8,938		4.04	%
	Agency Mortgage Backed
	Securities		81,789			456		2.23	%
	Corporate Securities		727,579			7,816		4.30	%
	Obligations of States and
	Political Subdivisions
	(FTE)		74,793			666		3.56	%
	Total Interest-Bearing Cash		194,951			2,690		5.40	%
	Interest Expense Paid:
	Total Earning Assets		6,251,143			1,679		0.11	%
	Total Interest-Bearing
	Liabilities		2,966,038			1,679		0.22	%
	Total Interest-Bearing
	Deposits		2,901,111			1,635		0.22	%
	Interest-Bearing Transaction		1,085,864			128		0.05	%
	Savings		1,713,803			1,431		0.33	%
	Time less than $100K		63,474			51		0.32	%
	Time greater than $100K		37,970			25		0.26	%
	Total Short-Term Borrowings		64,927			44		0.26	%
	Securities Sold under
	Repurchase Agreements		64,927			44		0.26	%
	Net Interest Income and
	Margin (FTE)				$	69,738		4.41	%
6. Noninterest Income.
		(dollars in thousands except per-share amounts)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Service Charges on Deposit
	Accounts	$	3,501		$	3,540		-1.1	%	$	3,585
	Merchant Processing
	Services		2,735			2,863		-4.5	%		2,474
	Debit Card Fees		1,902			2,067		-8.0	%		1,702
	Trust Fees		867			764		13.5	%		846
	ATM Processing Fees		506			622		-18.6	%		533
	Other Service Fees		428			445		-3.8	%		454
	Life Insurance Gains		-			1		n/m			202
	Other Noninterest Income		694			690		0.6	%		2,129
	Total Noninterest Income	$	10,633		$	10,992		-3.3	%	$	11,925
	Operating Ratios:
	Total Revenue (FTE)	$	69,880		$	80,730		-13.4	%	$	74,390
	Noninterest Income /
	Revenue (FTE)		15.2	%		13.6	%				16.0	%
	Service Charges /
	Avg. Deposits (a)		0.28	%		0.25	%				0.28	%
	Total Revenue (FTE) Per
	Avg. Common Share (a)	$	10.41		$	12.01		-13.3	%	$	11.09
								%
		12/31'24YTD			12/31'23YTD			Change
	Service Charges on Deposit
	Accounts	$	14,025		$	14,169		-1.0	%
	Merchant Processing
	Services		10,449			11,280		-7.4	%
	Debit Card Fees		6,853			7,185		-4.6	%
	Trust Fees		3,318			3,122		6.3	%
	ATM Processing Fees		2,170			2,618		-17.1	%
	Other Service Fees		1,770			1,765		0.3	%
	Life Insurance Gains		202			279		n/m
	Securities Losses		-			(125	)	n/m
	Other Noninterest Income		4,368			3,229		35.3	%
	Total Noninterest Income	$	43,155		$	43,522		-0.8	%
	Operating Ratios:
	Total Revenue (FTE)	$	295,061		$	325,195		-9.3	%
	Noninterest Income /
	Revenue (FTE)		14.6	%		13.4	%
	Service Charges /
	Avg. Deposits		0.27	%		0.24	%
	Total Revenue (FTE) Per
	Avg. Common Share	$	11.06		$	12.18		-9.2	%
7. Noninterest Expense.
		(dollars in thousands)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Salaries and Related Benefits	$	12,461		$	12,156		2.5	%	$	12,762
	Occupancy and Equipment		5,219			4,958		5.3	%		5,256
	Outsourced Data Processing		2,610			2,441		6.9	%		2,614
	Limited Partnership
	Operating Losses		1,095			1,440		-24.0	%		1,210
	Professional Fees		369			389		-5.1	%		337
	Courier Service		692			681		1.6	%		682
	Other Noninterest Expense		3,407			3,452		-1.3	%		3,448
	Total Noninterest Expense	$	25,853		$	25,517		1.3	%	$	26,309
	Operating Ratios:
	Noninterest Expense /
	Avg. Earning Assets (a)		1.76	%		1.62	%				1.73	%
	Noninterest Expense /
	Revenues (FTE)		37.0	%		31.6	%				35.4	%
								%
		12/31'24YTD			12/31'23YTD			Change
	Salaries and Related Benefits	$	50,292		$	47,871		5.1	%
	Occupancy and Equipment		20,673			20,520		0.7	%
	Outsourced Data Processing		10,271			9,846		4.3	%
	Limited Partnership
	Operating Losses		5,185			5,754		-9.9	%
	Professional Fees		1,470			1,751		-16.0	%
	Courier Service		2,709			2,652		2.1	%
	Other Noninterest Expense		13,791			14,822		-7.0	%
	Total Noninterest Expense	$	104,391		$	103,216		1.1	%
	Operating Ratios:
	Noninterest Expense /
	Avg. Earning Assets		1.73	%		1.60	%
	Noninterest Expense /
	Revenues (FTE)		35.4	%		31.7	%
8. Allowance for Credit Losses.
		(dollars in thousands)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Average Total Loans	$	821,767		$	873,635		-5.9	%	$	831,418
	Beginning of Period
	Allowance for Credit
	Losses on Loans (ACLL)	$	15,318		$	17,744		-13.7	%	$	15,952
	Provision for
	Credit Losses		-			-		n/m			-
	Net ACLL Losses		(538	)		(877	)	-38.7	%		(634	)
	End of Period ACLL	$	14,780		$	16,867		-12.4	%	$	15,318
	Gross ACLL Recoveries /
	Gross ACLL Losses		63	%		60	%				62	%
	Net ACLL Losses /
	Avg. Total Loans (a)		-0.26	%		-0.40	%				-0.30	%
								%
		12/31'24YTD			12/31'23YTD			Change
	Average Total Loans	$	836,136		$	912,316		-8.4	%
	Beginning of Period ACLL	$	16,867		$	20,284		-16.8	%
	Provision (Reversal
	of Provision) for
	Credit Losses (1)		300			(1,150	)	n/m
	Net ACLL Losses		(2,387	)		(2,267	)	5.3	%
	End of Period ACLL	$	14,780		$	16,867		-12.4	%
	Gross ACLL Recoveries /
	Gross ACLL Losses		64	%		72	%
	Net ACLL Losses /
	Avg. Total Loans		-0.29	%		-0.25	%
		(dollars in thousands)
								%
		12/31/24			12/31/23			Change		9/30/24
	Allowance for Credit Losses
	on Loans	$	14,780		$	16,867		-12.4	%	$	15,318
	Allowance for Credit Losses
	on Held to Maturity
	Securities		1			1		49.1	%		1
	Total Allowance for Credit
	Losses	$	14,781		$	16,868		-12.4	%	$	15,319
	Allowance for Unfunded
	Credit Commitments	$	201		$	201		0.0	%	$	201
9. Credit Quality.
		(dollars in thousands)
								%
		12/31/24			12/31/23			Change		9/30/24
	Nonperforming Loans:
	Nonperforming Nonaccrual
	Loans	$	201		$	401		-49.9	%	$	252
	Performing Nonaccrual
	Loans		-			2		n/m			-
	Total Nonaccrual Loans		201			403		-50.1	%		252
	Accruing Loans 90+ Days
	Past Due		534			388		37.6	%		667
	Total Nonperforming Loans	$	735		$	791		-7.1	%	$	919
	Total Loans Outstanding	$	820,300		$	866,602		-5.3	%	$	833,967
	Total Assets		6,076,274			6,364,592		-4.5	%		6,161,143
	Loans:
	Allowance for Credit Losses
	on Loans	$	14,780		$	16,867		-12.4	%	$	15,318
	Allowance for Credit Losses
	on Loans / Loans		1.80	%		1.95	%				1.84	%
	Nonperforming Loans /
	Total Loans		0.09	%		0.09	%				0.11	%
10. Liquidity.
	At December 31, 2024, the Company had $601,494 thousand in cash balances. During the twelve months ending December 31, 2025, the Company expects to receive $309,000 thousand in principal payments from its debt securities. If additional operational liquidity is required, the Company can pledge debt securities as collateral for borrowing purposes; at December 31, 2024, the Company’s debt securities which qualify as collateral for borrowing totaled $3,534,099 thousand. In the ordinary course of business, the Company pledges debt securities as collateral for certain depository customers; at December 31, 2024, the Company had pledged $726,784 thousand in debt securities for depository customers. In the ordinary course of business, the Company pledges debt securities as collateral for borrowing from the Federal Reserve Bank; at December 31, 2024, the Company had pledged $766,606 thousand in debt securities at the Federal Reserve Bank. During the twelve months ended December 31, 2024, the Company’s average borrowings from the Federal Reserve Bank and other correspondent banks were $107,364 thousand and $-0- thousand, respectively, and at December 31, 2024, the Company had no borrowings from the Federal Reserve Bank or other correspondent banks. At December 31, 2024, the Company had access to borrowing from the Federal Reserve up to $766,606 thousand based on collateral pledged at December 31, 2024. At December 31, 2024, the Company’s estimated unpledged collateral qualifying debt securities totaled $1,597,486 thousand. Debt securities eligible as collateral are shown at market value.
										(in thousands)
										12/31/24
	Debt Securities Eligible as
	Collateral:
	Corporate Securities									$	2,539,147
	Collateralized Loan
	Obligations rated AAA										311,650
	Obligations of States and
	Political Subdivisions										113,082
	Agency Mortgage Backed
	Securities										273,148
	Securities of U.S. Government
	Sponsored Entities										292,117
	U.S. Treasury Securities										4,955
	Total Debt Securities Eligible
	as Collateral									$	3,534,099
	Debt Securities Pledged
	as Collateral:
	Debt Securities Pledged
	at the Federal Reserve Bank									($	766,606	)
	Deposits by Public Entities										(726,784	)
	Securities Sold under
	Repurchase Agreements										(434,205	)
	Other										(9,018	)
	Total Debt Securities Pledged
	as Collateral									($	1,936,613	)
	Estimated Debt Securities
	Available to Pledge									$	1,597,486
11. Capital.
		(in thousands, except per-share amounts)
								%
		12/31/24			12/31/23			Change		9/30/24
	Shareholders' Equity	$	889,957		$	772,894		15.1	%	$	909,040
	Total Assets		6,076,274			6,364,592		-4.5	%		6,161,143
	Shareholders' Equity/
	Total Assets		14.65	%		12.14	%				14.75	%
	Shareholders' Equity/
	Total Loans		108.49	%		89.19	%				109.00	%
	Tangible Common Equity
	Ratio		12.90	%		10.43	%				13.03	%
	Common Shares Outstanding		26,708			26,671		0.1	%		26,686
	Common Equity Per Share	$	33.32		$	28.98		15.0	%	$	34.06
	Market Value Per Common
	Share		52.46			56.41		-7.0	%		49.42
		(shares in thousands)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Share (Issuances) Retirements:
	Total Shares Retired		-			-		n/m			-
	Average Retirement Price	$	-		$	-		n/m		$	-
	Net Shares Issued		(22	)		(22	)	n/m			(3	)
								%
		12/31'24YTD			12/31'23YTD			Change
	Total Shares Retired		4			274		n/m
	Average Retirement Price	$	45.58		$	50.11		n/m
	Net Shares (Issued) Retired		(37	)		242		n/m
12. Period-End Balance Sheets.
		(unaudited, dollars in thousands)
								%
		12/31/24			12/31/23			Change		9/30/24
	Assets:
	Cash and Due from Banks	$	601,494		$	190,314		216.1	%	$	502,945
	Debt Securities Available for
	Sale:
	Corporate Securities		1,835,937			1,909,548		-3.9	%		1,901,617
	Collateralized Loan
	Obligations		982,589			1,484,597		-33.8	%		1,078,920
	Agency Mortgage Backed
	Securities		218,026			239,454		-8.9	%		227,565
	Securities of U.S.
	Government Sponsored
	Entities		292,117			294,919		-1.0	%		303,609
	Obligations of States and
	Political Subdivisions		62,186			71,283		-12.8	%		63,876
	U.S. Treasury Securities		4,955			-		n/m			4,899
	Total Debt Securities
	Available for Sale		3,395,810			3,999,801		-15.1	%		3,580,486
	Debt Securities Held to
	Maturity:
	Agency Mortgage Backed
	Securities		57,927			78,565		-26.3	%		62,745
	Corporate Securities		735,447			728,650		0.9	%		733,748
	Obligations of States and
	Political Subdivisions (2)		51,260			71,181		-28.0	%		53,768
	Total Debt Securities
	Held to Maturity (2)		844,634			878,396		-3.8	%		850,261
	Loans		820,300			866,602		-5.3	%		833,967
	Allowance For Credit Losses
	on Loans		(14,780	)		(16,867	)	-12.4	%		(15,318	)
	Total Loans, net		805,520			849,735		-5.2	%		818,649
	Premises and Equipment, net		26,133			27,016		-3.3	%		26,129
	Identifiable Intangibles, net		125			347		-63.9	%		178
	Goodwill		121,673			121,673		0.0	%		121,673
	Other Assets		280,885			297,310		-5.5	%		260,822
	Total Assets	$	6,076,274		$	6,364,592		-4.5	%	$	6,161,143
	Liabilities and Shareholders'
	Equity:
	Deposits:
	Noninterest-Bearing	$	2,333,389		$	2,605,844		-10.5	%	$	2,375,958
	Interest-Bearing Transaction		953,863			1,072,233		-11.0	%		925,455
	Savings		1,642,360			1,699,388		-3.4	%		1,677,332
	Time		82,238			96,802		-15.0	%		86,305
	Total Deposits		5,011,850			5,474,267		-8.4	%		5,065,050
	Securities Sold under
	Repurchase Agreements		120,322			58,162		106.9	%		132,487
	Total Short-Term
	Borrowed Funds		120,322			58,162		106.9	%		132,487
	Other Liabilities		54,145			59,269		-8.6	%		54,566
	Total Liabilities		5,186,317			5,591,698		-7.2	%		5,252,103
	Shareholders' Equity:
	Common Equity:
	Paid-In Capital		476,506			473,171		0.7	%		475,096
	Accumulated Other
	Comprehensive Loss		(168,104	)		(190,282	)	-11.7	%		(127,653	)
	Retained Earnings		581,555			490,005		18.7	%		561,597
	Total Shareholders' Equity		889,957			772,894		15.1	%		909,040
	Total Liabilities and
	Shareholders' Equity	$	6,076,274		$	6,364,592		-4.5	%	$	6,161,143
13. Income Statements.
		(unaudited, in thousands except per-share amounts)
								%
		Q4'2024			Q4'2023			Change		Q3'2024
	Interest and Loan Fee Income:
	Loans	$	11,167		$	11,606		-3.8	%	$	11,441
	Equity Securities		195			174		12.1	%		175
	Debt Securities Available
	for Sale		36,843			47,783		-22.9	%		40,829
	Debt Securities Held to
	Maturity		8,538			8,799		-3.0	%		8,587
	Interest-Bearing Cash		5,659			2,690		110.4	%		6,762
	Total Interest and Loan
	Fee Income		62,402			71,052		-12.2	%		67,794
	Interest Expense:
	Transaction Deposits		46			128		-64.1	%		47
	Savings Deposits		3,148			1,431		120.0	%		2,990
	Time Deposits		68			76		-10.5	%		76
	Bank Term Funding Program
	Borrowings		-			-		n/m			2,278
	Securities Sold under
	Repurchase Agreements		204			44		359.1	%		254
	Total Interest Expense		3,466			1,679		106.4	%		5,645
	Net Interest and Loan
	Fee Income		58,936			69,373		-15.0	%		62,149
	Provision for Credit Losses		-			-		n/m			-
	Noninterest Income:
	Service Charges on Deposit
	Accounts		3,501			3,540		-1.1	%		3,585
	Merchant Processing
	Services		2,735			2,863		-4.5	%		2,474
	Debit Card Fees		1,902			2,067		-8.0	%		1,702
	Trust Fees		867			764		13.5	%		846
	ATM Processing Fees		506			622		-18.6	%		533
	Other Service Fees		428			445		-3.8	%		454
	Life Insurance Gains		-			1		n/m			202
	Other Noninterest Income		694			690		0.6	%		2,129
	Total Noninterest Income		10,633			10,992		-3.3	%		11,925
	Noninterest Expense:
	Salaries and Related Benefits		12,461			12,156		2.5	%		12,762
	Occupancy and Equipment		5,219			4,958		5.3	%		5,256
	Outsourced Data Processing		2,610			2,441		6.9	%		2,614
	Limited Partnership
	Operating Losses		1,095			1,440		-24.0	%		1,210
	Professional Fees		369			389		-5.1	%		337
	Courier Service		692			681		1.6	%		682
	Other Noninterest Expense		3,407			3,452		-1.3	%		3,448
	Total Noninterest Expense		25,853			25,517		1.3	%		26,309
	Income Before Income Taxes		43,716			54,848		-20.3	%		47,765
	Income Tax Provision		12,016			15,380		-21.9	%		12,708
	Net Income	$	31,700		$	39,468		-19.7	%	$	35,057
	Average Common Shares
	Outstanding		26,699			26,662		0.1	%		26,685
	Diluted Average Common
	Shares Outstanding		26,701			26,664		0.1	%		26,686
	Per Common Share Data:
	Basic Earnings	$	1.19		$	1.48		-19.6	%	$	1.31
	Diluted Earnings		1.19			1.48		-19.6	%		1.31
	Dividends Paid		0.44			0.44		0.0	%		0.44
								%
		12/31'24YTD			12/31'23YTD			Change
	Interest and Loan Fee Income:
	Loans	$	45,286		$	47,116		-3.9	%
	Equity Securities		719			630		14.1	%
	Debt Securities Available
	for Sale		167,842			190,039		-11.7	%
	Debt Securities Held to
	Maturity		34,502			35,557		-3.0	%
	Interest-Bearing Cash		19,665			10,671		84.3	%
	Total Interest and Loan
	Fee Income		268,014			284,013		-5.6	%
	Interest Expense:
	Transaction Deposits		281			457		-38.5	%
	Savings Deposits		10,377			2,993		246.7	%
	Time Deposits		283			320		-11.6	%
	Bank Term Funding Program
	Borrowings		5,813			-		n/m
	Securities Sold under
	Repurchase Agreements		665			120		454.2	%
	Total Interest Expense		17,419			3,890		347.8	%
	Net Interest and Loan
	Fee Income		250,595			280,123		-10.5	%
	Provision (Reversal
	of Provision) for
	Credit Losses (1)		300			(1,150	)	n/m
	Noninterest Income:
	Service Charges on Deposit		14,025			14,169		-1.0	%
	Accounts
	Merchant Processing
	Services		10,449			11,280		-7.4	%
	Debit Card Fees		6,853			7,185		-4.6	%
	Trust Fees		3,318			3,122		6.3	%
	ATM Processing Fees		2,170			2,618		-17.1	%
	Other Service Fees		1,770			1,765		0.3	%
	Life Insurance Gains		202			279		n/m
	Securities Losses		-			(125	)	n/m
	Other Noninterest Income		4,368			3,229		35.3	%
	Total Noninterest Income		43,155			43,522		-0.8	%
	Noninterest Expense:
	Salaries and Related Benefits		50,292			47,871		5.1	%
	Occupancy and Equipment		20,673			20,520		0.7	%
	Outsourced Data Processing		10,271			9,846		4.3	%
	Limited Partnership
	Operating Losses		5,185			5,754		-9.9	%
	Professional Fees		1,470			1,751		-16.0	%
	Courier Service		2,709			2,652		2.1	%
	Other Noninterest Expense		13,791			14,822		-7.0	%
	Total Noninterest Expense		104,391			103,216		1.1	%
	Income Before Income Taxes		189,059			221,579		-14.7	%
	Income Tax Provision		50,423			59,811		-15.7	%
	Net Income	$	138,636		$	161,768		-14.3	%
	Average Common Shares
	Outstanding		26,685			26,703		-0.1	%
	Diluted Average Common
	Shares Outstanding		26,686			26,706		-0.1	%
	Per Common Share Data:
	Basic Earnings	$	5.20		$	6.06		-14.2	%
	Diluted Earnings		5.20			6.06		-14.2	%
	Dividends Paid		1.76			1.72		2.3	%
	Footnotes and Abbreviations:
	(1) A recovery in excess of principal charged off on the loan in the first quarter 2023 resulted in a $1,550 thousand reversal of the allowance for credit loss provision in the first quarter 2023.
	(2) Debt Securities Held To Maturity and Obligations of States and Political Subdivisions are net of related reserve for expected credit losses of $1 thousand at December 31, 2024, September 30, 2024 and December 31, 2023.
	(FTE) Fully Taxable Equivalent. The Company presents its net interest margin and net interest income on a FTE basis using the current statutory federal tax rate. Management believes the FTE basis is valuable to the reader because the Company’s loan and investment securities portfolios contain a portion of municipal loans and securities that are federally tax exempt. The Company’s tax exempt loans and securities composition may not be similar to that of other banks, therefore in order to reflect the impact of the federally tax exempt loans and securities on the net interest margin and net interest income for comparability with other banks, the Company presents its net interest margin and net interest income on a FTE basis.
	(a) Annualized