Sterling Bancorp (SBT) Q4 2024 earnings summary

Executive summary

• Reported Q4 2024 net income of $1.2M ($0.02/share) and full-year net income of $2.1M ($0.04/share), down from $7.4M ($0.15/share) in 2023.

• Announced sale of Sterling Bank to EverBank for $261M, with shareholder approval and expected closing in Q1 2025.

• Total assets at $2.4B, up 1% year-over-year; total deposits at $2.1B, up 3% year-over-year.

Financial highlights

• Q4 net interest income was $13.5M, down 10% year-over-year; full-year net interest income was $56.5M, down 13%.

• Net interest margin for Q4 was 2.24% (down from 2.52% last year); full-year margin was 2.37% (down from 2.68%).

• Q4 provision for credit losses was a recovery of $4.2M; full-year recovery was $8.5M.

• Non-interest expense for Q4 was $15.9M (up 24% year-over-year); full-year was $61.8M (down 6%).

• Non-interest income for the year was $1.1M, down from $2.8M in 2023 due to prior year loan sale gains.

Outlook and guidance

• Transaction with EverBank expected to close in Q1 2025, followed by dissolution of Sterling Bancorp.

• Forward-looking statements caution on risks related to the transaction, regulatory approvals, and market conditions.