City Holding Company (CHCO) Q3 2024 earnings summary

Executive summary

• Net income for Q3 2024 was $29.8 million, nearly flat year-over-year, with diluted EPS of $2.02 and ROA at 1.87%.

• Nine-month net income was $88.4 million, up 1.8% year-over-year.

• Net interest income was $55.6 million for Q3 2024, up 1.8% sequentially, driven by higher loan yields and balances but offset by increased funding costs.

• Non-interest income rose 16.8%–16.9% in Q3 2024, supported by higher trust fees, service charges, and bankcard revenue.

• Non-interest expenses increased 7.5% year-over-year to $37.6 million, mainly due to higher salaries, benefits, and equipment/software costs.

Financial highlights

• Total assets reached $6.43 billion at September 30, 2024, up from $6.17 billion at year-end 2023.

• Gross loans increased to $4.16 billion, with home equity and residential real estate loans leading growth.

• Total deposits rose to $5.10 billion, with time deposits up $162.1 million.

• Book value per share increased to $50.42, and tangible book value per share rose to $39.49 at quarter-end.

• Efficiency ratio was 48.8% for Q3 2024.

Outlook and guidance

• Management expects continued dividend payments, with $43.5 million annualized based on current shares.

• Liquidity remains strong, with $1.6 billion in additional borrowing capacity and $730 million in unpledged securities.

• No immediate plans to opt into the community bank leverage ratio framework.

• Forward-looking statements are subject to risks including economic conditions, credit quality, interest rates, regulatory changes, and competition.