NBT Bancorp Inc. Announces Full Year Net Income and Declares Cash Dividend

NORWICH, N.Y., Jan. 27, 2025 (GLOBE NEWSWIRE) -- NBT Bancorp Inc. (“NBT” or the “Company”) (NASDAQ: NBTB) reported net income and diluted earnings per share for the three and twelve months ended December 31, 2024. Net income for the three months ended December 31, 2024 was $36.0 million, or $0.76 per diluted common share, compared to $30.4 million, or $0.64 per diluted common share, for the three months ended December 31, 2023, and $38.1 million, or $0.80 per diluted common share, for the third quarter of 2024. Operating diluted earnings per share(1), a non-GAAP measure was $0.77 for the fourth quarter of 2024, compared to $0.72 for the fourth quarter of 2023 and $0.80 for the third quarter of 2024. Net income for the year ended December 31, 2024 was $140.6 million, or $2.97 per diluted common share, compared to $118.8 million, or $2.65 per diluted common share, in the prior year. The Company completed the acquisition of Salisbury Bancorp, Inc. (“Salisbury”) on August 11, 2023, adding 13 banking offices, $1.18 billion in loans and $1.31 billion in deposits. The comparisons to the full year of 2023 are significantly impacted by the Salisbury acquisition. CEO Comments “Three consecutive quarters of growth in net interest income and margin along with continued strong results from our diverse mix of fee businesses drove NBT's operating performance in the fourth quarter of 2024,” said NBT President and Chief Executive Officer Scott A. Kingsley. “In addition, we were pleased to receive regulatory approval during the fourth quarter to complete our planned merger with Evans Bancorp, Inc. Evans shareholders also demonstrated strong support for the partnership with the vote to approve the transaction in December. We continue to expect the merger to close in the second quarter of 2025 in conjunction with the core system conversion, and team members from NBT and Evans are working closely to plan a smooth transition for the customers and communities we will serve together in the Buffalo and Rochester markets.”Fourth Quarter 2024 Financial Highlights Net Income Net income was $36.0 million and diluted earnings per share was $0.76 Net Interest Income / NIM Net interest income on a fully taxable equivalent (“FTE”) basis was $106.7 million, up $4.4 million from the prior quarter(1)Net interest margin (“NIM”) on an FTE basis was 3.34%(1), up 7 basis points (“bps”) from the prior quarterIncluded in FTE net interest income was $2.6 million of acquisition-related net accretion, which was consistent with the third quarter of 2024Earning asset yields of 4.96% were down 5 bps from the prior quarterTotal cost of funds of 1.71% was down 14 bps from the prior quarter Noninterest Income Noninterest income was $42.2 million, an increase of 11.1% from the fourth quarter of 2023, excluding net securities gains (losses) Loans and Credit Quality Period end total loans of $9.97 billion as of December 31, 2024, up $319.2 million, or 3.3%, from December 31, 2023Net charge-offs to average loans was 0.23% annualizedNonperforming loans to total loans was 0.52%Allowance for loan losses to total loans was 1.16% Deposits Deposits were $11.55 billion as of December 31, 2024, up $577.8 million, or 5.3%, from December 31, 2023Total cost of deposits was 1.60% for the fourth quarter of 2024, down 12 bps from the third quarter of 2024 Capital Stockholders’ equity was $1.53 billion as of December 31, 2024Tangible book value per share(2) was $23.88 at December 31, 2024Tangible equity to assets of 8.42%(1)CET1 ratio of 11.93%; Leverage ratio of 10.24% Loans Period end total loans were $9.97 billion at December 31, 2024, $9.91 billion at September 30, 2024 and $9.65 billion at December 31, 2023.Period end total loans increased $319.2 million from December 31, 2023. Total commercial loans increased $322.0 million to $5.30 billion while total consumer loans decreased $2.8 million to $4.67 billion. Excluding the other consumer and residential solar portfolios, which are in a planned run-off status, period end loans increased $478.6 million, or 5.6%.Commercial line of credit utilization rate was 21% at December 31, 2024, compared to 22% at September 30, 2024 and 20% at December 31, 2023. Deposits Total deposits at December 31, 2024 were $11.55 billion, compared to $11.59 billion at September 30, 2024 and $10.97 billion at December 31, 2023. The $577.8 million increase in deposits from December 31, 2023 was primarily due to higher consumer and commercial deposit balances.The loan to deposit ratio was 86.3% at December 31, 2024, compared to 88.0% at December 31, 2023. Net Interest Income and Net Interest Margin Net interest income for the fourth quarter of 2024 was $106.1 million, an increase of $4.4 million, or 4.4%, from the third quarter of 2024 and an increase of $6.9 million, or 7.0%, from the fourth quarter of 2023. The increase in net interest income from the third quarter of 2024 resulted primarily from a decrease in the cost of deposits, an increase in average short-term interest-bearing accounts and the interest earned on those balances combined with a more favorable funding mix.The NIM on an FTE basis for the fourth quarter of 2024 was 3.34%, an increase of 7 bps from the third quarter of 2024. This increase was driven by an improved funding mix with lower average balances of short-term borrowings, an increase in the average balance of noninterest-bearing demand deposit accounts and a decrease in the cost of interest-bearing deposits. The NIM on an FTE basis increased 19 bps from the fourth quarter of 2023 due to higher earning asset yields and lower average balances of short-term borrowings, partially offset by the increase in the cost of interest-bearing deposits.Earning asset yields for the three months ended December 31, 2024 decreased 5 bps from the prior quarter to 4.96% and increased 17 bps from the same quarter in the prior year. Loan yields for the three months ended December 31, 2024 decreased 9 bps from the prior quarter to 5.65% primarily due to the repricing of $2.1 billion in variable rate loans partly offset by loans originating at higher rates than portfolio yields during the quarter. Earnings asset yields increased 17 bps from the same quarter in the prior year. Average earning assets increased $257.5 million, or 2.1%, from the third quarter of 2024 due to organic loan growth and an increase in short-term interest-bearing accounts. Average earning assets grew $140.6 million, or 1.1%, from the fourth quarter of 2023 due to organic loan growth partially offset by lower average balances of short-term interest-bearing accounts and securities.Total cost of deposits, including noninterest bearing deposits, was 1.60% for the fourth quarter of 2024, a decrease of 12 bps from the prior quarter and an increase of 9 bps from the same period in the prior year.Total cost of funds for the three months ended December 31, 2024 was 1.71%, a decrease of 14 bps from the prior quarter and a decrease of 1 bp from the fourth quarter of 2023. Asset Quality and Allowance for Loan Losses Net charge-offs to total average loans for the fourth quarter of 2024 was 23 bps compared to 16 bps in the prior quarter. The increase in net charge-offs from the prior quarter was driven by two commercial real estate relationships, of which $1.7 million was previously specifically reserved for in the second quarter of 2024. Net charge-offs for the portfolios in a planned run-off status represented the majority of total net charge-offs for the full year.Nonperforming assets to total assets was 0.38% at December 31, 2024, compared to 0.27% at September 30, 2024 and 0.28% at December 31, 2023. The increase in nonperforming assets was attributable to a commercial real estate relationship that was placed into a nonaccrual status in the fourth quarter of 2024. The relationship is being actively managed and was written-down to estimated fair value in the fourth quarter of 2024, and as such, no specific reserve has been established.Provision expense for the three months ended December 31, 2024 was $2.2 million, compared to $2.9 million for the third quarter of 2024. The decrease in provision expense from the prior quarter was primarily due to the run-off of the other consumer and residential solar portfolios partially offset by a higher level of net charge-offs.The allowance for loan losses was $116.0 million, or 1.16% of total loans, at December 31, 2024, compared to $119.5 million, or 1.21% of total loans, at September 30, 2024 and $114.4 million, or 1.19% of total loans, at December 31, 2023.The reserve for unfunded loan commitments was $4.4 million at December 31, 2024, compared to $4.6 million at September 30, 2024 and $5.1 million at December 31, 2023. Noninterest Income Total noninterest income, excluding securities gains (losses), was $42.2 million for the three months ended December 31, 2024, down $3.1 million, or 6.8%, from the seasonally high third quarter of 2024, and up $4.2 million, or 11.1%, from the fourth quarter of 2023.Retirement plan administration fees were down $1.7 million from the prior quarter and increased $1.7 million from the fourth quarter of 2023. The decrease from the prior quarter, as expected, was due to higher seasonal activity-based fees in the third quarter. The increase from the fourth quarter of 2023 was driven by organic growth and higher market levels.Wealth management fees were consistent with the prior quarter and increased $1.7 million from the fourth quarter of 2023. The increase from the fourth quarter of 2023 was driven by market performance and growth in new customer accounts.Insurance revenues decreased $1.0 million from the third quarter, which typically has comparatively higher levels of policy renewals than the fourth quarter. Noninterest Expense Total noninterest expense was $100.8 million for the fourth quarter of 2024, compared to $95.7 million for the third quarter of 2024 and $92.8 million for the fourth quarter of 2023. Total noninterest expense increased 4.8% compared to the previous quarter and increased 13.7% from the fourth quarter of 2023, excluding $1.0 million of acquisition expenses in the fourth quarter of 2024, $0.5 million in the third quarter of 2024 and $0.3 million in the fourth quarter of 2023, respectively, and the $4.8 million impairment of a minority interest equity investment in the fourth quarter of 2023.Salaries and benefits increased 3.5% from the prior quarter driven by higher medical costs and an increase in other benefits including higher levels of incentive compensation. The increase from the fourth quarter of 2023 was driven by merit pay increases, higher levels of incentive compensation and higher medical and other benefit costs.Occupancy costs were consistent with the prior quarter and increased from the fourth quarter of 2023 driven by additional expenses including seasonal maintenance, rent and equipment expense.Other expense increased $2.5 million from the prior quarter and $0.4 million from the fourth quarter of 2023. The increase from the previous quarter was driven by increases in office supplies and postage, advertising and other expenses. Income Taxes The full year effective tax rate was 21.6% for 2024 down from 22.6% for the full year of 2023. Capital Tangible common equity to tangible assets(1) was 8.42% at December 31, 2024. Tangible book value per share(2) was $23.88 at December 31, 2024, $23.83 at September 30, 2024 and $21.72 at December 31, 2023.Stockholders’ equity increased $100.5 million from December 31, 2023 driven by net income generation of $140.6 million and an $18.8 million decrease in accumulated other comprehensive loss reflecting the change in the fair value of securities available for sale, partially offset by dividends declared of $62.3 million.As of December 31, 2024, CET1 capital ratio of 11.93%, leverage ratio of 10.24% and total risk-based capital ratio of 15.03%. Dividend The Board of Directors approved a first-quarter cash dividend of $0.34 per share at a meeting held earlier today. The dividend represents a $0.02 per share, or 6.3%, increase over the dividend paid in the first quarter of 2024. The dividend will be paid on March 17, 2025 to stockholders of record as of March 3, 2025. Stock Repurchase The Company purchased 7,600 shares of its common stock during 2024 at an average price of $33.02 per share under its previously announced share repurchase program. The Company may repurchase shares of its common stock from time to time to mitigate the potential dilutive effects of stock-based incentive plans and other potential uses of common stock for corporate purposes. As of December 31, 2024, there were 1,992,400 shares available for repurchase under this plan. Evans Bancorp, Inc. Merger In December 2024, NBT announced that it had received the regulatory approval and waiver from the Office of the Comptroller of the Currency and the Federal Reserve Bank of New York necessary to complete its acquisition of Evans Bancorp, Inc. (“Evans”). Also in December 2024, the shareholders of Evans voted to approve the merger. Evans reported over 75% of the issued and outstanding shares of Evans were represented at a special shareholder meeting and over 96% of the votes cast were voted to approve the merger. NBT and Evans anticipate closing the transaction in second quarter of 2025 in conjunction with the core system conversion, pending customary closing conditions. Evans had assets of $2.28 billion, deposits of $1.90 billion and net loans of $1.76 billion as of September 30, 2024. Conference Call and Webcast The Company will host a conference call at 10:00 a.m. (Eastern) Tuesday, January 28, 2025, to review the fourth quarter 2024 financial results. The audio webcast link, along with the corresponding presentation slides, will be available on the Company’s Event Calendar page at www.nbtbancorp.com/bn/presentations-events.html#events and will be archived for twelve months. Corporate Overview NBT Bancorp Inc. is a financial holding company headquartered in Norwich, NY, with total assets of $13.79 billion at December 31, 2024. The Company primarily operates through NBT Bank, N.A., a full-service community bank, and through two financial services companies. NBT Bank, N.A. has 155 banking locations in New York, Pennsylvania, Vermont, Massachusetts, New Hampshire, Maine and Connecticut. EPIC Retirement Plan Services, based in Rochester, NY, is a national benefits administration firm. NBT Insurance Agency, LLC, based in Norwich, NY, is a full-service insurance agency. More information about NBT and its divisions is available online at: www.nbtbancorp.com, www.nbtbank.com, www.epicrps.com and www.nbtbank.com/Insurance. Forward-Looking Statements This press release contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of phrases such as “anticipate,” “believe,” “expect,” “forecasts,” “projects,” “will,” “can,” “would,” “should,” “could,” “may,” or other similar terms. There are a number of factors, many of which are beyond the Company’s control, that could cause actual results to differ materially from those contemplated by the forward-looking statements. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, among others, the following possibilities: (1) local, regional, national and international economic conditions, including actual or potential stress in the banking industry, and the impact they may have on the Company and its customers, and the Company’s assessment of that impact; (2) changes in the level of nonperforming assets and charge-offs; (3) changes in estimates of future reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements; (4) the effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board (“FRB”); (5) inflation, interest rate, securities market and monetary fluctuations; (6) political instability; (7) acts of war, including international military conflicts, or terrorism; (8) the timely development and acceptance of new products and services and the perceived overall value of these products and services by users; (9) changes in consumer spending, borrowing and saving habits; (10) changes in the financial performance and/or condition of the Company’s borrowers; (11) technological changes; (12) acquisition and integration of acquired businesses; (13) the possibility that NBT and Evans may be unable to achieve expected synergies and operating efficiencies in the merger within the expected timeframes or at all or to successfully integrate Evans operations and those of NBT; (14) the ability to increase market share and control expenses; (15) changes in the competitive environment among financial holding companies; (16) the effect of changes in laws and regulations (including laws and regulations concerning taxes, banking, securities and insurance) with which the Company and its subsidiaries must comply, including those under the Dodd-Frank Act, and the Economic Growth, Regulatory Relief, and Consumer Protection Act of 2018; (17) the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board and other accounting standard setters; (18) changes in the Company’s organization, compensation and benefit plans; (19) the costs and effects of legal and regulatory developments, including the resolution of legal proceedings or regulatory or other governmental inquiries, and the results of regulatory examinations or reviews; (20) greater than expected costs or difficulties related to the integration of new products and lines of business; and (21) the Company’s success at managing the risks involved in the foregoing items. The Company cautions readers not to place undue reliance on any forward-looking statements, which speak only as of the date made, and advises readers that various factors, including, but not limited to, those described above and other factors discussed in the Company’s annual and quarterly reports previously filed with the SEC, could affect the Company’s financial performance and could cause the Company’s actual results or circumstances for future periods to differ materially from those anticipated or projected. Unless required by law, the Company does not undertake, and specifically disclaims any obligations to, publicly release any revisions that may be made to any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. Non-GAAP Measures This press release contains financial information determined by methods other than in accordance with U.S. generally accepted accounting principles (“GAAP”). Where non-GAAP disclosures are used in this press release, the comparable GAAP measure, as well as a reconciliation to the comparable GAAP measure, is provided in the accompanying tables. Management believes that these non-GAAP measures provide useful information that is important to an understanding of the results of the Company’s core business as well as provide information standard in the financial institution industry. Non-GAAP measures should not be considered a substitute for financial measures determined in accordance with GAAP and investors should consider the Company’s performance and financial condition as reported under GAAP and all other relevant information when assessing the performance or financial condition of the Company. Amounts previously reported in the consolidated financial statements are reclassified whenever necessary to conform to current period presentation. NBT Bancorp Inc. and Subsidiaries Selected Financial Data (unaudited, dollars in thousands except per share data) 2024 2023 4th Q3rd Q2nd Q1st Q4th Q Profitability (reported) Diluted earnings per share$ 0.76 $0.80 $0.69 $0.71 $0.64 Weighted average diluted common shares outstanding 47,505,760 47,473,417 47,382,814 47,370,145 47,356,899 Return on average assets(3) 1.04% 1.12% 0.98% 1.02% 0.89% Return on average equity(3) 9.44% 10.21% 9.12% 9.52% 8.79% Return on average tangible common equity(1)(3) 13.36% 14.54% 13.23% 13.87% 13.08% Net interest margin(1)(3) 3.34% 3.27% 3.18% 3.14% 3.15% 12 Months Ended December 31, 2024 2023 Profitability (reported) Diluted earnings per share$ 2.97 $2.65 Weighted average diluted common shares outstanding 47,433,174 44,770,171 Return on average assets 1.04% 0.95% Return on average equity 9.57% 9.34% Return on average tangible common equity(1) 13.75% 13.02% Net interest margin(1) 3.23% 3.29% 2024 2023 4th Q3rd Q2nd Q1st Q4th Q Profitability (operating) Diluted earnings per share(1)$ 0.77 $0.80 $0.69 $0.68 $0.72 Return on average assets(1)(3) 1.06% 1.12% 0.98% 0.97% 0.99% Return on average equity(1)(3) 9.60% 10.23% 9.14% 9.04% 9.79% Return on average tangible common equity(1)(3) 13.57% 14.56% 13.26% 13.20% 14.49% 2024 2023 4th Q3rd Q2nd Q1st Q4th Q Balance sheet data Short-term interest-bearing accounts$ 78,973 $231,671 $35,207 $156,632 $31,378 Securities available for sale 1,574,664 1,509,338 1,439,445 1,418,471 1,430,858 Securities held to maturity 842,921 854,941 878,909 890,863 905,267 Net loans 9,853,910 9,787,541 9,733,847 9,572,777 9,536,313 Total assets 13,786,666 13,839,552 13,501,909 13,439,199 13,309,040 Total deposits 11,546,761 11,588,278 11,271,459 11,195,289 10,968,994 Total borrowings 414,983 456,666 476,082 518,190 637,387 Total liabilities 12,260,525 12,317,572 12,039,954 11,997,784 11,883,349 Stockholders' equity 1,526,141 1,521,980 1,461,955 1,441,415 1,425,691 Capital Equity to assets 11.07% 11.00% 10.83% 10.73% 10.71% Tangible equity ratio(1) 8.42% 8.36% 8.11% 7.98% 7.93% Book value per share$ 32.34 $32.26 $31.00 $30.57 $30.26 Tangible book value per share(2)$ 23.88 $23.83 $22.54 $22.07 $21.72 Leverage ratio 10.24% 10.29% 10.16% 10.09% 9.71% Common equity tier 1 capital ratio 11.93% 11.86% 11.70% 11.68% 11.57% Tier 1 capital ratio 12.83% 12.77% 12.61% 12.61% 12.50% Total risk-based capital ratio 15.03% 15.02% 14.88% 14.87% 14.75% Common stock price (end of period)$ 47.76 $44.23 $38.60 $36.68 $41.91 NBT Bancorp Inc. and Subsidiaries Asset Quality and Consolidated Loan Balances (unaudited, dollars in thousands) 2024 2023 4th Q3rd Q2nd Q1st Q4th QAsset quality Nonaccrual loans$ 45,819 $33,338 $34,755 $35,189 $34,213 90 days past due and still accruing 5,798 3,981 3,333 2,600 3,661 Total nonperforming loans 51,617 37,319 38,088 37,789 37,874 Other real estate owned 182 127 74 - - Total nonperforming assets 51,799 37,446 38,162 37,789 37,874 Allowance for loan losses 116,000 119,500 120,500 115,300 114,400 Asset quality ratios Allowance for loan losses to total loans 1.16% 1.21% 1.22% 1.19% 1.19%Total nonperforming loans to total loans 0.52% 0.38% 0.39% 0.39% 0.39%Total nonperforming assets to total assets 0.38% 0.27% 0.28% 0.28% 0.28%Allowance for loan losses to total nonperforming loans 224.73% 320.21% 316.37% 305.12% 302.05%Past due loans to total loans(4) 0.34% 0.36% 0.30% 0.33% 0.32%Net charge-offs to average loans(3) 0.23% 0.16% 0.15% 0.19% 0.22% 2024 2023 4th Q3rd Q2nd Q1st Q4th QLoan net charge-offs by line of business Commercial$ 2,542 $807 $(8)$772 $1,107 Residential real estate and home equity (25) (64) (76) (32) 11 Indirect auto 675 725 747 665 399 Residential solar 1,589 1,599 1,610 1,211 1,081 Other consumer 928 853 1,426 2,063 2,729 Total loan net charge-offs$ 5,709 $3,920 $3,699 $4,679 $5,327 2024 2023 4th Q3rd Q2nd Q1st Q4th QAllowance for loan losses as a percentage of loans by segment Commercial & industrial 0.73% 0.73% 0.76% 0.79% 0.84%Commercial real estate 0.95% 1.01% 1.00% 0.97% 0.99%Residential real estate 1.00% 1.00% 0.98% 0.89% 0.84%Auto 0.81% 0.83% 0.85% 0.81% 0.83%Residential solar 3.70% 3.70% 3.76% 3.58% 3.28%Other consumer 2.65% 3.51% 4.09% 4.24% 4.70% Total 1.16% 1.21% 1.22% 1.19% 1.19% 2024 2023 4th Q3rd Q2nd Q1st Q4th QLoans by line of business Commercial & industrial$ 1,426,482 $1,458,926 $1,397,935 $1,353,446 $1,354,248 Commercial real estate 3,876,698 3,792,498 3,784,214 3,646,739 3,626,910 Residential real estate 2,142,249 2,143,766 2,134,875 2,133,289 2,125,804 Home equity 334,268 328,687 326,556 328,673 337,214 Indirect auto 1,273,253 1,235,175 1,225,786 1,190,734 1,130,132 Residential solar 820,079 839,659 861,883 896,147 917,755 Other consumer 96,881 108,330 123,098 139,049 158,650 Total loans$ 9,969,910 $9,907,041 $9,854,347 $9,688,077 $9,650,713 NBT Bancorp Inc. and Subsidiaries Consolidated Balance Sheets (unaudited, in thousands) December 31,December 31, 20242023 Assets Cash and due from banks$ 205,083$173,811 Short-term interest-bearing accounts 78,973 31,378 Equity securities, at fair value 42,372 37,591 Securities available for sale, at fair value 1,574,664 1,430,858 Securities held to maturity (fair value $749,945 and $814,524, respectively) 842,921 905,267 Federal Reserve and Federal Home Loan Bank stock 33,957 45,861 Loans held for sale 9,744 3,371 Loans 9,969,910 9,650,713 Less allowance for loan losses 116,000 114,400 Net loans$ 9,853,910$9,536,313 Premises and equipment, net 80,840 80,675 Goodwill 362,663 361,851 Intangible assets, net 36,360 40,443 Bank owned life insurance 272,657 265,732 Other assets 392,522 395,889 Total assets$ 13,786,666$13,309,040 Liabilities and stockholders' equity Demand (noninterest bearing)$ 3,446,068$3,413,829 Savings, NOW and money market 6,658,188 6,230,456 Time 1,442,505 1,324,709 Total deposits$ 11,546,761$10,968,994 Short-term borrowings 162,942 386,651 Long-term debt 29,644 29,796 Subordinated debt, net 121,201 119,744 Junior subordinated debt 101,196 101,196 Other liabilities 298,781 276,968 Total liabilities$ 12,260,525$11,883,349 Total stockholders' equity$ 1,526,141$1,425,691 Total liabilities and stockholders' equity$ 13,786,666$13,309,040 NBT Bancorp Inc. and Subsidiaries Consolidated Statements of Income (unaudited, in thousands except per share data) Three Months EndedTwelve Months Ended December 31,December 31, 2024202320242023 Interest, fee and dividend income Interest and fees on loans$ 141,103 $132,738$ 552,846 $462,669 Securities available for sale 8,773 7,208 31,274 29,812 Securities held to maturity 4,931 5,374 20,466 20,681 Other 2,930 5,594 7,084 9,627 Total interest, fee and dividend income$ 157,737 $150,914$ 611,670 $522,789 Interest expense Deposits$ 46,815 $42,753$ 186,948 $104,641 Short-term borrowings 918 4,951 8,669 25,608 Long-term debt 293 294 1,166 925 Subordinated debt 1,816 1,795 7,232 6,076 Junior subordinated debt 1,790 1,948 7,533 7,320 Total interest expense$ 51,632 $51,741$ 211,548 $144,570 Net interest income$ 106,105 $99,173$ 400,122 $378,219 Provision for loan losses$2,209 $5,126 $19,607 $16,524 Provision for loan losses - acquisition day 1 non-PCD - - - 8,750 Total provision for loan losses$ 2,209 $5,126$ 19,607 $25,274 Net interest income after provision for loan losses$ 103,896 $94,047$ 380,515 $352,945 Noninterest income Service charges on deposit accounts$ 4,411 $4,165$ 17,087 $15,425 Card services income 5,652 5,360 22,331 20,829 Retirement plan administration fees 12,924 11,226 56,587 47,221 Wealth management 10,842 9,152 41,641 34,763 Insurance services 3,883 3,659 17,032 15,667 Bank owned life insurance income 2,271 1,776 8,325 6,750 Net securities gains (losses) 222 507 2,789 (9,315) Other 2,221 2,643 11,032 10,838 Total noninterest income$ 42,426 $38,488$ 176,824 $142,178 Noninterest expense Salaries and employee benefits$ 61,749 $50,013$ 232,487 $194,250 Technology and data services 10,220 10,174 39,139 38,163 Occupancy 7,786 7,175 31,309 28,408 Professional fees and outside services 4,843 5,115 19,132 17,601 Amortization of intangible assets 2,080 2,131 8,443 4,734 Reserve for unfunded loan commitments (125) 300 (705) 30 Impairment of a minority interest equity investment - 4,750 - 4,750 Acquisition expenses 988 254 1,531 9,978 Other 13,234 12,839 46,545 43,750 Total noninterest expense$ 100,775 $92,751$ 377,881 $341,664 Income before income tax expense$ 45,547 $39,784$ 179,458 $153,459 Income tax expense 9,542 9,338 38,817 34,677 Net income$ 36,005 $30,446$ 140,641 $118,782 Earnings Per Share Basic$ 0.76 $0.65$ 2.98 $2.67 Diluted$ 0.76 $0.64$ 2.97 $2.65 NBT Bancorp Inc. and Subsidiaries Quarterly Consolidated Statements of Income (unaudited, in thousands except per share data) 2024 2023 4th Q3rd Q2nd Q1st Q4th QInterest, fee and dividend income Interest and fees on loans$ 141,103 $141,991$136,606 $133,146 $132,738Securities available for sale 8,773 7,815 7,562 7,124 7,208Securities held to maturity 4,931 5,042 5,190 5,303 5,374Other 2,930 1,382 1,408 1,364 5,594 Total interest, fee and dividend income$ 157,737 $156,230$150,766 $146,937 $150,914Interest expense Deposits$ 46,815 $49,106$46,688 $44,339 $42,753Short-term borrowings 918 1,431 2,899 3,421 4,951Long-term debt 293 292 291 290 294Subordinated debt 1,816 1,810 1,806 1,800 1,795Junior subordinated debt 1,790 1,922 1,908 1,913 1,948 Total interest expense$ 51,632 $54,561$53,592 $51,763 $51,741Net interest income$ 106,105 $101,669$97,174 $95,174 $99,173Provision for loan losses$ 2,209 $2,920$8,899 $5,579 $5,126Provision for loan losses - acquisition day 1 non-PCD - - - - -Total provision for loan losses$ 2,209 $2,920$8,899 $5,579 $5,126 Net interest income after provision for loan losses$ 103,896 $98,749$88,275 $89,595 $94,047Noninterest income Service charges on deposit accounts$ 4,411 $4,340$4,219 $4,117 $4,165Card services income 5,652 5,897 5,587 5,195 5,360Retirement plan administration fees 12,924 14,578 14,798 14,287 11,226Wealth management 10,842 10,929 10,173 9,697 9,152Insurance services 3,883 4,913 3,848 4,388 3,659Bank owned life insurance income 2,271 1,868 1,834 2,352 1,776Net securities gains (losses) 222 476 (92) 2,183 507Other 2,221 2,773 2,865 3,173 2,643 Total noninterest income$ 42,426 $45,774$43,232 $45,392 $38,488Noninterest expense Salaries and employee benefits$ 61,749 $59,641$55,393 $55,704 $50,013Technology and data services 10,220 9,920 9,249 9,750 10,174Occupancy 7,786 7,754 7,671 8,098 7,175Professional fees and outside services 4,843 4,871 4,565 4,853 5,115Amortization of intangible assets 2,080 2,062 2,133 2,168 2,131Reserve for unfunded loan commitments (125) 250 (380) (450) 300Impairment of a minority interest equity investment - - - - 4,750Acquisition expenses 988 543 - - 254Other 13,234 10,704 10,957 11,650 12,839 Total noninterest expense$ 100,775 $95,745$89,588 $91,773 $92,751Income before income tax expense$ 45,547 $48,778$41,919 $43,214 $39,784Income tax expense 9,542 10,681 9,203 9,391 9,338 Net income$ 36,005 $38,097$32,716 $33,823 $30,446Earnings Per Share Basic$ 0.76 $0.81$0.69 $0.72 $0.65Diluted$ 0.76 $0.80$0.69 $0.71 $0.64 NBT Bancorp Inc. and Subsidiaries Average Quarterly Balance Sheets (unaudited, dollars in thousands) Average BalanceYield / RatesAverage BalanceYield / RatesAverage BalanceYield / RatesAverage BalanceYield / RatesAverage BalanceYield / Rates Q4 - 2024Q3 - 2024Q2 - 2024Q1 - 2024Q4 - 2023 Assets Short-term interest-bearing accounts $ 184,9885.27%$62,2104.87%$48,8615.48%$47,9724.48%$319,9075.59% Securities taxable(1) 2,317,0342.10% 2,266,9301.99% 2,280,7671.97% 2,278,0291.91% 2,310,4091.88% Securities tax-exempt(1)(5) 211,4933.46% 217,2513.47% 226,0323.56% 230,4683.58% 232,5753.51% FRB and FHLB stock 33,2615.75% 35,3956.97% 40,2837.41% 42,2967.89% 47,9948.98% Loans(1)(6) 9,957,8795.65% 9,865,4125.74% 9,772,0145.63% 9,674,8925.54% 9,653,1915.47% Total interest-earning assets $ 12,704,6554.96%$12,447,1985.01%$12,367,9574.92%$12,273,6574.84%$12,564,0764.79% Other assets 1,093,419 1,072,277 1,064,487 1,055,386 1,052,024 Total assets $ 13,798,074 $13,519,475 $13,432,444 $13,329,043 $13,616,100 Liabilities and stockholders' equity Money market deposit accounts $ 3,504,9373.27%$3,342,8453.68%$3,254,2523.65%$3,129,1603.56%$3,045,5313.43% NOW deposit accounts 1,664,9600.91% 1,600,5470.87% 1,603,6950.78% 1,600,2880.75% 1,645,4010.80% Savings deposits 1,561,7030.05% 1,566,3160.05% 1,586,7530.05% 1,607,6590.04% 1,666,9150.04% Time deposits 1,446,7983.85% 1,442,4244.00% 1,391,0624.00% 1,352,5594.00% 1,343,5483.81% Total interest-bearing deposits $ 8,178,3982.28%$7,952,1322.46%$7,835,7622.40%$7,689,6662.32%$7,701,3952.20% Federal funds purchased -- 2,6095.34% 29,9455.56% 19,7695.53% 2175.48% Repurchase agreements 116,4083.13% 98,0352.80% 86,4051.55% 82,4191.55% 82,3871.59% Short-term borrowings 1744.57% 48,8755.74% 155,1595.58% 213,3905.34% 345,2505.31% Long-term debt 29,6573.93% 29,6963.91% 29,7343.94% 29,7723.92% 29,8093.91% Subordinated debt, net 120,9675.97% 120,5945.97% 120,2396.04% 119,8736.04% 119,5315.96% Junior subordinated debt 101,1967.04% 101,1967.56% 101,1967.58% 101,1967.60% 101,1967.64% Total interest-bearing liabilities $ 8,546,8002.40%$8,353,1372.60%$8,358,4402.58%$8,256,0852.52%$8,379,7852.45% Demand deposits 3,438,194 3,389,894 3,323,906 3,356,607 3,535,815 Other liabilities 295,292 292,446 306,747 286,749 326,857 Stockholders' equity 1,517,788 1,483,998 1,443,351 1,429,602 1,373,643 Total liabilities and stockholders' equity $ 13,798,074 $13,519,475 $13,432,444 $13,329,043 $13,616,100 Interest rate spread 2.56% 2.41% 2.34% 2.32% 2.34% Net interest margin (FTE)(1) 3.34% 3.27% 3.18% 3.14% 3.15% NBT Bancorp Inc. and Subsidiaries Average Year-to-Date Balance Sheets (unaudited, dollars in thousands) Average Yield/Average Yield/ BalanceInterestRates BalanceInterestRates Twelve Months Ended December 31, 2024 2023 Assets Short-term interest-bearing accounts $ 86,213$ 4,4125.12%$126,765$6,2594.94% Securities taxable(1) 2,285,725 45,5881.99% 2,377,596 45,1761.90% Securities tax-exempt(1)(5) 221,273 7,7883.52% 214,053 6,7303.14% FRB and FHLB stock 37,789 2,6727.07% 48,641 3,3686.92% Loans(1)(6) 9,818,064 553,7845.64% 8,803,228 463,2905.26% Total interest-earning assets $ 12,449,064$ 614,2444.93%$11,570,283$524,8234.54% Other assets 1,071,455 923,850 Total assets $ 13,520,519 $12,494,133 Liabilities and stockholders' equity Money market deposit accounts $ 3,308,433$ 116,9823.54%$2,418,450$62,4752.58% NOW deposit accounts 1,617,456 13,4420.83% 1,555,414 8,2980.53% Savings deposits 1,580,517 7340.05% 1,715,749 6500.04% Time deposits 1,408,410 55,7903.96% 1,006,867 33,2183.30% Total interest-bearing deposits $ 7,914,816$ 186,9482.36%$6,696,480$104,6411.56% Federal funds purchased 13,016 7215.54% 24,575 1,2695.16% Repurchase agreements 95,879 2,2552.35% 70,251 7471.06% Short-term borrowings 103,963 5,6935.48% 450,377 23,5925.24% Long-term debt 29,715 1,1663.92% 24,247 9253.81% Subordinated debt, net 120,420 7,2326.01% 105,756 6,0765.75% Junior subordinated debt 101,196 7,5337.44% 101,196 7,3207.23% Total interest-bearing liabilities $ 8,379,005$ 211,5482.52%$7,472,882$144,5701.93% Demand deposits 3,377,352 3,463,608 Other liabilities 295,301 285,310 Stockholders' equity 1,468,861 1,272,333 Total liabilities and stockholders' equity$ 13,520,519 $12,494,133 Net interest income (FTE)(1) $ 402,696 $380,253 Interest rate spread 2.41% 2.61% Net interest margin (FTE)(1) 3.23% 3.29% Taxable equivalent adjustment $ 2,574 $2,034 Net interest income $ 400,122 $378,219 (1)The following tables provide the Non-GAAP reconciliations for the Non-GAAP measures contained in this release: Non-GAAP measures (unaudited, dollars in thousands except per share data) 2024 2023 4th Q3rd Q2nd Q1st Q4th Q Operating net income Net income$ 36,005 $38,097 $32,716 $33,823 $30,446 Acquisition expenses 988 543 - - 254 Impairment of a minority interest equity investment - - - - 4,750 Securities (gains) losses (222) (476) 92 (2,183) (507) Adjustments to net income$ 766 $67 $92 $(2,183)$4,497 Adjustments to net income (net of tax)$ 604 $52 $72 $(1,703)$3,435 Operating net income$ 36,609 $38,149 $32,788 $32,120 $33,881 Operating diluted earnings per share$ 0.77 $0.80 $0.69 $0.68 $0.72 2024 2023 4th Q3rd Q2nd Q1st Q4th Q FTE adjustment Net interest income$ 106,105 $101,669 $97,174 $95,174 $99,173 Add: FTE adjustment 619 639 658 658 669 Net interest income (FTE)$ 106,724 $102,308 $97,832 $95,832 $99,842 Average earning assets$ 12,704,655 $12,447,198 $12,367,957 $12,273,657 $12,564,076 Net interest margin (FTE)(3) 3.34% 3.27% 3.18% 3.14% 3.15% 12 Months Ended December 31, 2024 2023 FTE adjustment Net interest income$ 400,122 $378,219 Add: FTE adjustment 2,574 2,034 Net interest income (FTE)$ 402,696 $380,253 Average earning assets$ 12,449,064 $11,570,283 Net interest margin (FTE) 3.23% 3.29% Interest income for tax-exempt securities and loans have been adjusted to an FTE basis using the statutory Federal income tax rate of 21%. (1)The following tables provide the Non-GAAP reconciliations for the Non-GAAP measures contained in this release: Non-GAAP measures (continued) (unaudited, dollars in thousands) 2024 2023 4th Q3rd Q2nd Q1st Q4th Q Tangible equity to tangible assets Total equity$ 1,526,141 $1,521,980 $1,461,955 $1,441,415 $1,425,691 Intangible assets 399,023 397,853 398,686 400,819 402,294 Total assets$ 13,786,666 $13,839,552 $13,501,909 $13,439,199 $13,309,040 Tangible equity to tangible assets 8.42% 8.36% 8.11% 7.98% 7.93% 2024 2023 4th Q3rd Q2nd Q1st Q4th Q Return on average tangible common equity Net income$ 36,005 $38,097 $32,716 $33,823 $30,446 Amortization of intangible assets (net of tax) 1,560 1,547 1,600 1,626 1,599 Net income, excluding intangibles amortization$ 37,565 $39,644 $34,316 $35,449 $32,045 Average stockholders' equity$ 1,517,788 $1,483,998 $1,443,351 $1,429,602 $1,373,643 Less: average goodwill and other intangibles 399,139 399,113 399,968 401,756 401,978 Average tangible common equity$ 1,118,649 $1,084,885 $1,043,383 $1,027,846 $971,665 Return on average tangible common equity(3) 13.36% 14.54% 13.23% 13.87% 13.08% 12 Months Ended December 31, 2024 2023 Return on average tangible common equity Net income$ 140,641 $118,782 Amortization of intangible assets (net of tax) 6,332 3,551 Net income, excluding intangibles amortization$ 146,973 $122,333 Average stockholders' equity$ 1,468,861 $1,272,333 Less: average goodwill and other intangibles 399,989 332,667 Average tangible common equity$ 1,068,872 $939,666 Return on average tangible common equity 13.75% 13.02% (2)Non-GAAP measure - Stockholders' equity less goodwill and intangible assets divided by common shares outstanding. (3)Annualized. (4)Total past due loans, defined as loans 30 days or more past due and in an accrual status. (5)Securities are shown at average amortized cost. (6)For purposes of these computations, nonaccrual loans and loans held for sale are included in the average loan balances outstanding. Contact:Scott A. Kingsley, President and CEO Annette L. Burns, Executive Vice President and CFO NBT Bancorp Inc. 52 South Broad Street Norwich, NY 13815 607-337-6589This press release was published by a CLEAR® Verified individual.

NBT Bancorp Inc. Announces Full Year Net Income and Declares Cash Dividend

FAQ

Why Bullish?

How important is it?

Why Long Term?

Related Companies

Related News