Stock Yards Bancorp Achieves Record Earnings in 2024 Highlights

Record Earnings for Stock Yards Bancorp

Stock Yards Bancorp, Inc. (NASDAQ: SYBT) has reported outstanding financial results for its latest quarter, showcasing significant growth and robust performance metrics. This leading institution, based in Louisville, has demonstrated an impressive trajectory with a record net income of $31.7 million for the fourth quarter, translating to $1.07 per diluted share. Comparison with the previous year illustrates that this is a notable increase from $23.9 million or $0.82 per diluted share reported in the same period in 2023.

Annual Performance Overview

For the full year, Stock Yards Bancorp achieved a groundbreaking net income of $114.5 million, equating to diluted earnings per share of $3.89. This marks an advancement from $107.7 million and $3.67 per share reported in 2023. These exceptional results were primarily driven by strong loan growth and expanding net interest margins, contributing to the bank's robust operating results throughout 2024.

Key Growth Drivers

James A. Hillebrand, Chairman and CEO, emphasized the strategic growth of loans, which increased by $749 million (13%) year over year, with $242 million growth occurring in the fourth quarter alone. This growth was evident across most loan categories, showcasing the bank's successful market expansion. Notably, their Indianapolis market surpassed the $1 billion loan threshold for the first time, indicating a successful outreach.

Deposit Growth and Financial Health

Alongside loan growth, the bank reported a solid increase in deposit balances, which expanded by $496 million (7%) over the last year. As of December 31, 2024, total deposits stood at $7.17 billion. Hillebrand noted that this was a consequence of organic growth in their deposit accounts, which included significant contributions from money market and time deposit accounts. This consistent deposit influx has greatly improved their funding position, leading to notable expansions in their net interest margins.

Impressive Financial Metrics

Net interest income rose to $69.97 million in the fourth quarter, reflecting a remarkable year-over-year increase of $8 million (13%). This positive trajectory is attributed to the growth of interest earning assets and yield improvements, which have effectively outpaced the costs associated with funding. The net interest margin also experienced expansion, rising to 3.44%, underscoring the bank's effective operational strategy.

Strategic Community Engagement

In 2024, Stock Yards Bancorp proudly celebrated its 120th anniversary. Hillebrand remarked on the significance of this milestone, highlighting their commitment to nurturing personal relationships and supporting community development. The bank has proactively increased its community support initiatives during the year, positioning itself as a sustainable entity invested in the well-being of its customers, employees, and shareholders.

Future Outlook

While 2024 presented the strongest loan growth in the company's history, leadership anticipates growth levels will stabilize towards historical norms in 2025. This insight indicates a shift in strategy, focusing more on sustainability than rapid expansion as they navigate potential economic fluctuations.

Company Contact Information

For further inquiries about Stock Yards Bancorp, you can reach the executive team at:
T. Clay Stinnett
Executive Vice President,
Treasurer and Chief Financial Officer
(502) 625-0890

Frequently Asked Questions

What are the key highlights for Stock Yards Bancorp in 2024?

In 2024, Stock Yards Bancorp attained record earnings of $31.7 million for Q4, total loans increased by $749 million, and net interest income rose to $69.97 million.

How did the loan growth impact the company’s financial performance?

The substantial loan growth was a major factor contributing to improved net interest margins and record earnings, showcasing effective market engagement.

What was the growth rate of deposits for the year?

Total deposits grew by $496 million or 7% over the last 12 months, illustrating a strong community trust and investment.

What community initiatives has Stock Yards Bancorp focused on?

The bank has intensified community support initiatives, reinforcing its commitment to positively impacting the communities it serves, particularly during its 120th anniversary year.

What can be expected for Stock Yards Bancorp in the coming year?

While the company experienced unprecedented growth in 2024, a moderation towards more historical growth rates is anticipated in 2025 as part of its strategic adjustment.

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