TriCo Bancshares (TCBK) Q4 2024 earnings summary

Executive summary

• Q4 2024 net income was $29.0 million with diluted EPS of $0.88, flat sequentially and up 12.8% year-over-year.

• Net interest margin (FTE) improved to 3.76%, up 5 bps from the prior quarter.

• Loan balances grew $84.6 million (5.1% annualized) sequentially, deposit balances rose $50.5 million (2.5% annualized), and management remains focused on leveraging industry changes for growth.

• Pre-tax pre-provision ROAA was 1.66% and ROAE was 13.01% for Q4 2024, slightly down from Q4 2023.

• Return on average assets was 1.19% and return on average equity was 9.30% for Q4 2024.

Financial highlights

• Net interest income (FTE) for Q4 2024 was $84.4 million, up 1.8% sequentially but down 2.9% year-over-year.

• Efficiency ratio improved to 59.6% for Q4 2024, compared to 60.0% in Q3 2024 and 58.7% in Q4 2023.

• Asset size at year-end was $9.67 billion, with loans at $6.77 billion and deposits at $8.09 billion.

• Annual dividend increased to $1.32 per share, up from $1.20 in 2023.

• Five consecutive quarters of increasing regulatory capital ratios.

Outlook and guidance

• Management expects industry changes and recent rate cuts to create opportunities for performance improvement.

• Readily available and unused funding sources total $4.1 billion, representing 51% of total deposits.

• No reliance on brokered deposits or FRB borrowing facilities in 2024 or 2023.

• Focus remains on managing funding costs, deploying liquidity, and preparing for growth beyond $10 billion in assets.