WesBanco (WSBC) Q4 2023 earnings summary

Executive summary

• Q4 net income available to common shareholders was $32.4 million, or $0.55 diluted EPS, versus $49.7 million and $0.84 a year earlier; FY net income was $148.9 million, or $2.51 per diluted share.

• Loans, deposits and fee income grew; net interest margin held broadly stable sequentially, while capital, liquidity and credit quality remained strong.

• Non-performing assets were 0.16% of total assets, and capital ratios remained above regulatory well-capitalized levels.

Financial highlights

• Q4 FTE total income was $149.1 million, including $119.0 million net interest income and $30.1 million non-interest income; GAAP net interest income was $117.8 million, down 9.3% YoY.

• Q4 non-interest income rose 8.3% YoY to $30.1 million; FY non-interest income increased 2.6% to $120.4 million, while new commercial loan swap fees totaled $9.0 million for the year.

• Q4 non-interest expense rose 10.0% YoY to $99.5 million; FY expense excluding restructuring and merger-related costs was $386.2 million, up $30.9 million.

• FY dividends declared were $1.41 per share; Q4 dividends were $0.36 per share.

Outlook and guidance

• Strong capital and liquidity, a solid balance sheet and average loans-to-deposits of 87% were cited as capacity to support further loan growth entering 2024.

• Revenue diversification through fee-based services, including commercial swaps and wealth management, remained a strategic focus.