Latest news with #SouthsideBank
Yahoo
18-05-2025
- Business
- Yahoo
Tyler Whataburger locations donating sales to fallen officer's memorial fund
TYLER, Texas (KETK) – DKT Investments will be donating profits from their three Whataburger locations in Tyler to the Sam Lively Memorial Fund on Monday. Tyler PD Officers gather to remember fallen officer Sam Lively was a Tyler Police Department officer who died in a motorcycle crash on April 26, while he was off duty. Monday's sales from 5 p.m. to 7 p.m. at the following Whataburger locations will be donated to the fund in order to honor Lively and his family: 1739 S. Beckham Ave., 75701 1717 SSE Loop 323, 75701 4825 S. Broadway, 75703 Those sales will then be given to the Sam Lively Memorial Fund at Lindale's Southside Bank. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Yahoo
20-02-2025
- Business
- Yahoo
Visit city businesses, network at Thursday's Chamber Connection
Palestine Area Chamber of Commerce invites members of the public to learn about local business and network with community members Thursday at its February Chamber Connection. 'We're excited to invite you to our upcoming monthly networking event, featuring three engaging stops that promise to foster connections and inspire collaboration,' said Anja Cline, member relations coordinator for the Palestine Area Chamber of Commerce. For the first stop, enjoy freshly brewed coffee and a variety of breakfast options while participating in a networking activity at Southside Bank. 'This is a fantastic opportunity to meet fellow professionals and exchange ideas in a relaxed setting,' Cline said. For the second stop, gather at Palestine Economic Development for lunch, where you will learn about economic development in our community. 'Aren't we all eager to learn about new businesses coming to town?' Cline asked. 'This stop will provide valuable insights and discussions. Don't miss the chance to network with local leaders and discover what's on the horizon for our community.' PEDC Director Christophe Trahan said he was really excited to be hosting Thursday's connection. 'We have JT's Warthog Creole Kitchen coming out to cater and we have this great activity planned, that Anja came up with, to allow those in attendance to try their hand at site selection for the city of Palestine. 'We have a map of the city, with several sites highlighted and we will allow people who come to tell us what businesses you could potentially place there and then tell them why that would or would not work.' The final stop of the day will be Applebee's ,where Cline said attendees can enjoy food and further connect with fellow attendees in a welcoming atmosphere. 'All stops are open to everyone,' Cline said. 'Whether you're looking to expand your network, learn about local developments or simply enjoy great food and company, this event is for you. We look forward to seeing you there.' Held on the third Thursday of the month, the Chamber Connection typically showcases three area businesses or organizations, each hosting a reception at various times during the day. The monthly event provides an opportunity for area businesses and individuals to meet and network while learning about chamber business members and their services.
Yahoo
30-01-2025
- Business
- Yahoo
Q4 2024 Southside Bancshares Inc Earnings Call
Lindsey Bailes; Investor Relations; Southside Bancshares Inc Lee Gibson; President, Chief Executive Officer, Director; Director Of Southside Bank; Southside Bancshares Inc Julie Shamburger; Chief Financial Officer of the Company and Southside Bank; Southside Bancshares Inc Wood Lay; Analyst; KBW Jordan Ghent; Analyst; Stevens Tim Mitchell; Analyst; Raymond James Operator Good day. And thank you for standing by and welcome to the Southside Bank shares fourth quarter and year end 2024 earning call. (Operator Instructions) Please be advised that today's conference is being recorded.I would like to hand the conference over to your speaker today, Lindsey Bailes, Vice President, investor Relations. Please go ahead. Lindsey Bailes Thank you, Victor. Good morning, everyone and welcome to Southside Bancshares fourth quarter and Year-end 2024 Earnings Call. A transcript of today's call will be posted on under Investor Relations. During today's call and other disclosures and presentations, I'll remind you that any forward-looking statements are subject to risks and uncertainties. Factors that could materially change our current forward-looking assumptions are described in our earnings release and our Form me today are Lee Gibson, CEO; and Julie Shamburger, CFO. First, Lee will share his comments on the quarter, and then Julie will give an overview of our financial results. I will now turn the call over to Lee. Lee Gibson Thank you, Lindsay, and welcome to today's call. For the year ended December 31, 2024, net income increased $1.8 million to $88.5 million and earnings per diluted common share increased $0.09 to $2.91 when compared to quarter. Our net income increased $1.3 million to $21.8 million and earnings per share increased $0.03 to $0.71 during the fourth quarter loans increased $83.5 million or 7.3% annualized. Most of which occurred during quarter. Average loans decreased $9 million due to early fourth quarter payoffs and late fourth quarter loan growth linked quarter. Our net interest margin decreased 12 basis points due to faster prepayments on the premium mortgage-backed securities, resulting from the lower, long-term interest rate environment in the third quarter, hedge-related interest rate adjustments and amortization and the decrease in average loan long-term interest rates near their highs during the last 30 days, we restructured approximately $120 million of the premium, mortgage-backed securities portfolio which should reduce amortization volatility for this portfolio and increase the overall average net interest income volatility during the fourth quarter should moderate during 2025 due to the restructuring of the mortgage-backed securities portfolio and the anticipated slower pace of Fed interest rate loan pipeline is healthy. And for 2025, we are budgeting mid-single-digit loan growth. These changes, along with the late fourth quarter loan growth and a return to a positively sloped yield curve result in positive net interest margin expectations during quality metrics remain solid. The markets we serve remain healthy, and the Texas economy is anticipated to grow at a faster pace than the overall projected US growth rate. Our wealth management and trust areas are experiencing nice growth resulting from strategic hires during the last 18 months, and we anticipate revenue increases in this area in 2025 of at least 16%. I look forward to answering your questions, and we'll now turn the call over to Julie Shamburger. Julie Shamburger Thank you, Lee. Good morning, everyone, and welcome to our fourth quarter and year-end call. We're pleased to report net income of $88.5 million, an increase of $1.8 million or 2.1% compared to 2023 and diluted earnings per share of $2.91, an increase of $0.09 or 3.2% compared to reported fourth quarter net income of $21.8 million, an increase of $1.3 million or 6.1% on a linked-quarter basis in diluted earnings per share of $0.71, an increase of $0.03 or 4.4%.We ended the year with loans of $4.66 billion, a linked quarter increase of $83.5 million or 1.8% and an increase of $137.1 million, or 3%, for the year. The linked quarter increase was driven by an increase of $157.1 million in commercial real estate loans, partially offset by decreases of $48 million in construction loans, $15 million in one fourth family residential loans and $11.1 million in municipal loans. The increase in commercial real estate occurred primarily in average interest rate of loans funded during the fourth quarter was approximately 7.1%. As of December 31, our loans with oil and gas industry exposure were $117 million or 2.5% of total loans. Our allowance for credit losses increased to $48 million for the linked quarter from $47.6 million at September 30. Asset quality metrics remain solid. Nonperforming assets remained at low levels and decreased on a linked quarter basis by $4.1 million or 53.1% driven by a commercial real estate loan that paid off in the fourth assets were 0.04% of total assets at December 31, a decrease from 0.09% at September 30 and 0.05% at December 31, 2023. On December 31, our allowance for loan losses as a percentage of total loans decreased slightly, linked quarter to 0.96% compared to 0.97% at September 30 and 0.94% at December 31, securities portfolio was $2.81 billion at December 31, an increase of $116.3 million or 4.3% from $2.70 billion last quarter. The increase was driven by purchases of mortgage-backed securities during the quarter. There were no transfers of AFS securities during the fourth as of December 31, we had a net unrealized loss in the AFS securities portfolio of $53.5 million, an increase of $28.9 million compared to $24.7 million last quarter. At December 31, the unrealized gain on the fair value hedges on municipal and mortgage-backed securities was approximately $16.6 million compared to $3.5 million linked unrealized gain partially offset the unrealized losses in the AFS securities portfolio. Our AOCI on December 31, 2024, was a net loss of $124.9 million compared to a net loss of $118.5 million on September net loss was comprised of net losses on our securities and swap derivatives of $105.9 million and $19 million related to our retirement plans. As of December 31, the duration of the total securities portfolio was 8.2 years and the duration of the AFS portfolio was 5.7 years, a slight decrease from 8.3 years and 5.9 years, respectively, at September quarter end, our mix of loans and securities was 62% and 38%, respectively, a slight shift from 63% and 37% last quarter. Deposits increased $218.5 million, or 3.4%, on a linked-quarter basis. The increase was primarily driven by an increase in public fund deposits of $156.8 million, or 14.6% in December, due in large part to seasonality in a couple of new deposits increased $72.5 million, partially offset by a decrease in broker deposits of $10.7 million. Our capital ratios remained strong with all capital ratios well above the capital adequacy and well-capitalized resources remained solid with $2.23 billion in liquidity lines available as of December 31. We did not purchase any shares of our common stock during the fourth quarter or since December 31. However, we have approximately 583,000 shares remaining in the current repurchase tax equivalent net interest margin decreased 12 basis points on a linked-quarter basis to 2.83% from 2.95%. The tax equivalent net interest spread decreased for the same period by 11 basis points to 2.12, down from the three months ended December 31, we experienced a decrease in net interest income of $1.8 million or 3.2% compared to the linked income, excluding net loss on the sales of AFS securities increased $2.2 million or 21.6% for the linked quarter, primarily due to increases in swap fee income and mortgage servicing fee income. Noninterest expense increased $1.8 million, or 5%, on a linked quarter basis to $38.2 million, driven primarily by an increase in salaries and employee benefits, other noninterest expense and professional increase in other noninterest expense included $540,000 of losses related to branch closures. We have budgeted a 5.7% increase in noninterest expense in 2025 over 2024 actual, primarily related to salary and employee benefits, retirement-related expense, software expense and a onetime charge of $1 million related to the anticipated demolition of a currently occupied branch upon completion of the new branch fully, taxable equivalent efficiency ratio increased to 54% as of December 31 from 51.9% as of September 30. We recorded income tax expense of $4.7 million, an increase of $269,000 compared to the third effective tax rate remained consistent at 17.6% on a linked quarter basis, and we're currently estimating an annual effective tax rate of 17.7% for 2025. Thank you for joining us today. This concludes our comments, and we will open the line for your questions. Operator (Operator Instructions)Our first question comes from the line of Wood Lay from KBW. Your line is open. Wood Lay Hey, thanks for taking my questions. I wanted to start on the loan growth front. It was encouraging to see the growth, especially with a weighted more towards December. Could you talk about the opportunities you saw in the quarter? And is the pickup in December? Is that a reflection of sort of a pickup in client demand? Or was it just a little bit of pull through? Lee Gibson It was some pull through, some additional demand from clients. It was just a lot of full funders we've really focused this last six months and most of it occurred in December that we would work on some full funding loan opportunities. And there were several that closed, and they all just happened to close right near the end of the year. In fact, I think we had one that closed in the last few days of the year. So it was pretty much across the board, different types of CRE part of the CRE growth is things moving from construction over to CRE. So that was about $40 something million of that increase. Wood Lay Okay. Got it. That's helpful. And then with the growth weighted towards back end of the quarter, it should be a positive to the NIM going forward? How are you thinking about sort of the magnitude of NIM expansion we could see over the coming couple of quarters? Lee Gibson I think the bulk of the NIM expansion that we're going to see is probably going to be in the second through fourth quarters. We've got some hedges, cash flow hedges that roll off a large part of them roll off in February and March that will have some negative impact that will partially offset the overall positive impact of the loan growth and the restructuring of the mortgage-backed securities we do anticipate some increase in the first quarter, but the real opportunities for margin expansion would be in those latter three quarters of this year. Wood Lay Yeah, and then on the deposit side, as you think about that NIM expansion, how are you thinking about the trend of deposit betas through 2025? Lee Gibson Assuming the Fed lowers another 2 times, well, even if they don't, we've got a lot of CDs that are going to mature during the year. We've got some additional funding that we'll be able to reprice during the year. And assuming they lower and we're anticipating maybe two cuts, one kind of midyear and one towards the end of the year, then I would assume that we'll be able to lower overall deposit rates. Wood Lay Got it. All right. That's all for me. Thanks for taking my questions. Lee Gibson All right. Operator George Ngan from Stephens. Jordan Ghent Hey, good morning. I just had a question the securities book. I know you mentioned the about the restructure, but, looks like the yield on those were down about kind of 30 bits on a length quarter. Kind of what are your expectations for the securities book overall as far as growing it and kind of what, what yields you expect to put on? Lee Gibson Thanks. Okay. I would expect us to recoup a lot of that, that basis point decrease and that to go back up closer to where it was. Basically, what we did was we had some higher priced, higher coupon mortgages that started to prepay pretty fast when the long-term rates near their peak in the last 30 days, we replaced those with some closer to par that had a similar yield to those premiums if they were prepaying at what we would consider to be more normalized prepayment one, I'm expecting the overall yield to go up, and it's primarily due to the reduced amortization expense associated with both the hedges and the amortization of the premium mortgage-backed securities since we bought more parish-type mortgage-backed securities. So, I would anticipate in summary, anticipate that it's going to move back up closer to where it was at the end of the third quarter. Jordan Ghent Perfect. And then just one more question about the fees. It looks like it was -- had some good growth and kind of driven by that swap income, I believe. Is would you guys consider this a good run rate that you saw in the quarter kind of going forward to be a good run rate? Lee Gibson I wouldn't necessarily consider a good run rate. Basically, what we've we took the swap income that we received in 2024, and we're only budgeting a percentage of that for 2025. The change in the slope of the yield curve makes some of that those swap transactions, less if somebody wants a fixed rate loan and loans above $2.5 million, likely, we're going to require a swap on it if it's a maturity beyond a year. So we do anticipate some nice fee income from it, but I wouldn't consider the fourth quarter a run rate. We're anticipating a smaller amount. Jordan Ghent Okay? And then maybe one more. Lee Gibson Go ahead. Jordan Ghent So I just had one more question actually on the buyback. What's your appetite from here? It looks like it's kind of activity slowed over the last few quarters. And if you could just give any color on that, that would be great. Lee Gibson Yeah, At this point, we're not and things could change based on prices, we're not anticipating being active in the share buyback at this point. We've got some sub debt coming due at the end of the year, and we're basically retaining cash so that we can have our options open as what what we do with whether we just keep it in place and let it flow, whether we reissue or whether we pay down and reissue. So we're basically just trying to keep our options open at this point in time. Jordan Ghent Okay. Thanks for taking my questions. I'll hop back in the right. Operator (Operator Instructions)Tim Mitchell from Raymond James. Tim Mitchell Hey, good morning, everyone wanted to, I wanted to jump back to loan growth and dive deeper into the C&I initiative you guys have been working on. Could you just discuss kind of any updates to the hires you've made in that group? Any plans for this year and then kind of what you're expecting in terms of the growth of that portfolio for 2025? Lee Gibson Okay. We started that initiative in the third quarter. We hired an individual. I believe he has since been hired two individuals associated with that, it went a little slower than we anticipated in terms of the additional hires, but we look to add to that team additionally during 2025. And we are anticipating some C&I loan growth that we'll begin to see in 2025 hopefully, starting in the first quarter, but for sure, by the second quarter of this year Tim Mitchell Understood. That's helpful. And then on the allowance, it looked like you ticked down a basis point this quarter. Credit metrics are pretty pristine. I know you're budgeting for mid-single-digit loan if credit kind of remains as is, the economy improves through the year, I mean, what should we how should we think about the provision expense through the year? Or would you potentially even look to release that reserves? Lee Gibson To Release the reserves? Is that was that the last part of the question? Tim Mitchell Yeah. Lee Gibson Okay. I don't anticipate with our reserve level where it is that we'd be releasing reserves, especially if we meet our expected loan growth target of mid-single digits, that would be somewhere in the $250 million to $300 million I would anticipate the percentage would remain somewhat stable. It may move a couple of basis points one way or the other. But we're not looking for a big release of the feel like it's appropriate where it is. And someday, you may actually need some of that reserve. Tim Mitchell Understood. And then lastly, could you just remind us the dollar amount and the rate on the sub debt that you're going to call here? Lee Gibson The overall yield, I think, in the fourth quarter was 4.09%. And so if it begins to float, based on where SOFR is today, it'd be somewhere in the mid-7s. And if we were to reissue, I hate to speculate at this point where that would be in November when that comes due. Julie Shamburger Yes, it's $92 million. Lee Gibson $92 million. Tim Mitchell It. All right. Thanks for taking my questions. Lee Gibson You you. Operator Thank you. And I'm not showing any further questions in the queue. I'd like to turn the call back over to Lee Gibson, CEO, for closing remarks. Lee Gibson Thank you everyone for joining us today. We appreciate your interest in Southside bank shares along with the opportunity to answer your questions. We enter 2025 optimistic and look forward to reporting first quarter results to you during our next earnings call in April. This concludes the call. Thank you. Operator Thank you. For your participation in today's conference. This does conclude the program. You may now disconnect everyone. Have a great day. Sign in to access your portfolio
