Stock Yards Bancorp Reports Record Fourth Quarter Earnings of $31.7 Million or $1.07 Per Diluted Share and Record Earnings for the Year

LOUISVILLE, Ky., Jan. 22, 2025 (GLOBE NEWSWIRE) -- Stock Yards Bancorp, Inc. (NASDAQ: SYBT), parent company of Stock Yards Bank & Trust Company, with offices in Louisville, central, eastern and northern Kentucky, as well as the Indianapolis, Indiana and Cincinnati, Ohio metropolitan markets, today reported record earnings of $31.7 million, or $1.07 per diluted share, for the fourth quarter ended December 31, 2024. This compares to net income of $23.9 million, or $0.82 per diluted share, for the fourth quarter of 2023. For the year ended December 31, 2024, the Company produced record net income of $114.5 million, and diluted earnings per share of $3.89 compared to $107.7 million and $3.67 for the same period in 2023, respectively. Continued strong loan growth and net interest margin expansion contributed to exceptional fourth quarter and full year 2024 operating results. (dollar amounts in thousands, except per share data)4Q243Q244Q23Net income$31,694 $29,360 $23,944 Net income per share, diluted 1.07 1.00 0.82 Net interest income$69,969 $64,979 $62,016 Provision for credit losses(1) 2,675 4,325 6,046 Non-interest income 23,507 24,797 24,417 Non-interest expenses 51,657 48,452 50,013 Net interest margin 3.44% 3.33% 3.25%Efficiency ratio(2) 55.21% 53.92% 57.80%Tangible common equity to tangible assets(3) 8.44% 8.79% 8.09%Annualized return on average assets(4) 1.45% 1.39% 1.17%Annualized return on average equity(4) 13.45% 12.83% 11.62% “We delivered record fourth quarter and full year 2024 operating results, reflecting substantial loan growth, strong revenue generation and net interest margin expansion,” commented James A. (Ja) Hillebrand, Chairman and Chief Executive Officer. “In addition to record earnings, total loans increased a record $749 million, or 13%, over the last 12 months, with $242 million of growth generated during the fourth quarter. We experienced growth within nearly all loan categories and across all markets. Our Indianapolis market, which was established in 2004 with a single loan production office, has grown organically one account at a time and surpassed $1.00 billion in loans for the first time during the quarter. Contributing to overall loan growth during the year was an increase in total line of credit utilization, which reached its highest level since 2019. While 2024 represented the strongest annual period of loan growth year in our history (in terms of dollar expansion), we anticipate overall growth moderating towards historical levels in 2025. “Deposit balances grew nicely during the fourth quarter, expanding $440 million, or 7% and growing $496 million, or 7%, over the past 12 months,” Hillebrand continued. “Each of our markets posted deposit growth for the second consecutive quarter, led by time deposit, money market and seasonal public funds accounts. We continue to focus on organic growth while improving our funding position, which contributed to net interest margin expansion for the third consecutive linked quarter. Fourth quarter net interest margin expanded 19 basis points compared to a year ago and 11 basis points on the linked quarter, boosted by substantial loan growth, higher interest earning asset yields and a reduction in our cost of funds. We anticipate this expansion to continue into 2025, with potential cost of funds pressure being more than offset by expected earning asset and yield growth. “In 2024, we celebrated our 120th anniversary, highlighting more than a century of personal relationships, community development and growth to support our valued customers. During the year, we increased our community support initiatives throughout our markets, and as we look to 2025, we remain focused on meeting the evolving needs of our customers, while also supporting our employees, communities, and shareholders,” said Hillebrand. As of December 31, 2024, the Company had $8.86 billion in assets, $6.52 billion in loans and $7.17 billion in total deposits. The Company’s combined enterprise, which encompasses 72 branch offices across three contiguous states, will continue to benefit from a diversified geographic footprint. Key factors contributing to the fourth quarter of 2024 results included: Total loans increased $749 million, or 13%, over the last 12 months, while growing a record $242 million, or 4%, on the linked quarter. Broad based loan growth during the quarter included increases in all markets for the third consecutive quarter, with the Indianapolis market reaching the $1.00 billion threshold for the first time. Nearly all loan categories expanded on the linked quarter. Commercial real estate loan growth of $203 million led all categories, benefiting from strong construction-to-permanent financing conversion during the quarter. The yield earned on total loans totaled 6.10% for the fourth quarter of 2024, with yield expansion and increased production driving a 31-basis point increase compared to the same period in 2023.Deposit balances expanded $496 million, or 7%, over the last 12 months, with the deposit mix continuing to shift from non-interest bearing and low interest-bearing deposits into higher cost deposits. Non-interest-bearing demand accounts declined $93 million, or 6%, while interest-bearing deposits grew $589 million, or 11%, led by time deposit and money market growth. On the linked quarter, total deposits expanded $440 million, or 7%. Non-interest-bearing demand accounts decreased $52 million, or 3%, while total interest-bearing deposit accounts increased $492 million, or 9%, led by interest bearing demand, money market and time deposit growth.Net interest income increased $8.0 million, or 13%, for the fourth quarter of 2024 compared to the fourth quarter a year ago, with net interest margin expanding 19 basis points to 3.44%, as the overall growth in interest earning assets and yield growth outpaced cost of funds expansion. On the linked quarter, net interest income increased $5.0 million, or 8%, while net interest margin expanded 11 basis points.Provision for credit loss expense(1) of $2.7 million was recorded for the fourth quarter of 2024, primarily attributed to strong loan growth offset by improvement within the Federal Reserve Bank’s unemployment rate forecast used in the CECL allowance model. Traditional credit quality statistics remained strong at year-end.Non-interest income declined $910,000, or 4%, over the fourth quarter of 2023. Wealth Management & Trust (WM&T) income expanded $247,000, or 2%, to $10.3 million, with the growth trend muted by a decline in net new business expansion, a reduction in quarterly estate fees and market performance. Treasury management fees grew $144,000, or 6%, over the last 12 months to $2.7 million. Other non-interest income decreased $1.6 million, or 77%, as the fourth quarter of 2023 included several non-recurring items, including a Visa Class B stock gain of $487,000, a net gain on the sale of OREO of $207,000, Insurance Captive income of $235,000 and additional swap fee income of $284,000.Total non-interest expenses increased $1.6 million, or 3%, during the fourth quarter of 2024 compared to the fourth quarter of 2023, and increased $3.2 million, or 7%, on the linked quarter.Tangible common equity per share(3) was $24.82 on December 31, 2024, compared to $24.58 on September 30, 2024, and $21.95 on December 31, 2023. Highlights for the year ended December 31, 2024: Loans grew a record $749 million, or 13%, over the past 12 months, marking the fourth consecutive year of double- digit organic loan growth. Nearly all loan categories expanded with commercial real estate loans posting the highest gain.Average loans increased $663 million, or 12%, for the year.Total line of credit utilization expanded to 46%, with Commercial & Industrial (C&I) line utilization reaching 34%, the highest level achieved in both categories in five years.Deposit balances grew by $496 million, or 7%, over the past 12 months. Interest bearing demand, money market, and time deposit expansion was partially offset by the decline in non-interest-bearing demand accounts.Net interest income increased $9.7 million, or 4%, to a record $257.0 million for 2024.Despite the increase in net interest income, net interest margin contracted eight basis points to 3.31% in 2024 over 2023, as cost of funds expansion outpaced earning asset yields.Total non-interest income increased $3.0 million, or 3%, to a record $95.2 million in 2024 over 2023.Customer expansion and increased transaction volume led to record 2024 card, treasury management and brokerage income. Hillebrand concluded, “In November, we were once again nationally recognized by American Banker Magazine as one of the Best Banks to Work For in 2024. This program identifies and honors U.S. banks for outstanding employee satisfaction. This is the fourth consecutive year we have achieved this recognition, which is a testament to the dedication of each of our 1,000 + employees.” Results of Operations – Fourth Quarter 2024, Compared with Fourth Quarter 2023 Net interest income, the Company’s largest source of revenue, increased by $8.0 million, or 13%, to $70.0 million. Strong organic loan growth and correlating interest income expansion contributed to significant net interest income expansion. Total interest income increased by $15.1 million, or 16%, to $110.3 million. Interest income and fees on loans increased $15.1 million, or 18%, over the prior year quarter. Consistent with the $706 million, or 12%, increase in average loans and interest rate expansion, the average quarterly yield earned on loans increased 31 basis points over the past 12 months to 6.10%.Interest income on securities increased $310,000, or 4%, compared to the fourth quarter of 2023. While average securities balances declined $182 million, or 11%, over the past 12 months, the rate earned on securities improved 35 basis points to 2.40%, as a result of lower-yielding investment maturities. Over the past 12 months, cash flows from investment portfolio maturities and amortization have been utilized to fund loan growth and provide liquidity in lieu of redeployment into the portfolio.Interest income on overnight funds decreased $469,000, or 13%, consistent with the $8 million, or 3%, average balance decrease and the decline in interest rates compared to the prior quarter. Total interest expense increased $7.1 million, or 21%, to $40.3 million, as the cost of interest-bearing liabilities increased 23 basis points to 2.67%. Interest expense on deposits increased $6.4 million, or 22% over the past 12 months, as the overall cost of interest- bearing deposits increased to 2.59% in the fourth quarter of 2024 from 2.34% in the fourth quarter of 2023. Interest expense expansion was spread over most deposit categories, with time deposits and money market interest expense expanding the most.Interest expense on Federal Home Loan Bank (FHLB) advances increased $820,000, or 38%, with the cost of funds declining 21 basis points to 3.95%. While the Bank did not utilize overnight advances during the fourth quarter of 2024, an additional $100 million long-term advance was entered into along with a related interest rate swap. The Company recorded provision for credit losses on loans of $2.2 million for the fourth quarter of 2024, consistent with strong loan growth and $625,000 of net charge-offs, partially offset by improved unemployment rate projections. In addition, $450,000 of provision for credit losses on off balance sheet exposures was recorded, driven mainly by an increase in expected future utilization within the Construction and Land Development (C&LD) loan portfolio. For the fourth quarter of 2023, the Company recorded $5.8 million in provision for credit losses on loans and $275,000 of provision for credit losses off balance sheet exposures associated with line of credit expansion. Also, during the fourth quarter of 2023 the Bank recorded $4.5 million of net-charge offs, with $4.1 million related to one isolated C&I relationship. Non-interest income decreased $910,000, or 4%, to $23.5 million compared to the fourth quarter of 2023. WM&T income ended the fourth quarter of 2024 at $10.3 million, increasing $247,000, or 2%, over the fourth quarter of 2023. WM&T income expansion was muted by a decline in net new business expansion, a reduction in quarterly estate fees and market performance.Compared to the fourth quarter of 2023, treasury management fees increased $144,000, or 6%, to $2.7 million. Consistent treasury management growth has been driven by strong transaction volume, organic growth, modified fee schedules, strong foreign exchange income and new product sales.Card income set a quarterly record, increasing $20,000 over the fourth quarter of 2023. Debit card income reached a quarterly record of $3.9 million.Other non-interest income, which includes swap fees, letter of credit fees and OREO activity, decreased by $1.6 million or 77%. The Company’s Insurance Captive, which was not renewed in 2024, contributed approximately $235,000 to other non-interest income in the fourth quarter of 2023. In addition, a Visa Class B stock gain of $487,000, a net gain on the sale of OREO of $207,000 and additional swap fee income of $284,000 all contributed to strong other non-interest income for the fourth quarter of 2023. Non-interest expenses increased $1.6 million, or 3%, compared to the fourth quarter of 2023, to $51.7 million. Compensation and benefits expense combined to increase $2.8 million, or 10%, compared to the fourth quarter of 2023, consistent with increased bonus levels and full-time equivalent employee expansion. Bonus expense increased $1.3 million in the fourth quarter of 2024 compared to the fourth quarter a year ago, consistent with record loan growth and record operating results.Net occupancy and equipment expenses decreased $1.2 million, or 24%, over the fourth quarter of 2023, as the prior period included expenses related to the relocation of the WM&T group to a consolidated central location.Marketing and business development expense increased $1.1 million, or 60%, compared to the fourth quarter of 2023. The quarter over prior year quarter increase relates to elevated advertising expense tied to time deposit product promotions and additional community support expense to bolster the Bank’s Foundation, which was formed to support the charitable causes in the communities in which the Bank operates.Other non-interest expenses declined $830,000, or 27%, compared to the fourth quarter of 2023, primarily due to modifications made to the corporate credit card reward program and significant declines in check and card losses. Financial Condition – December 31, 2024, Compared with December 31, 2023 Total assets increased $693 million, or 8%, year over year to $8.86 billion. Total loans increased $749 million, or 13%, to $6.52 billion, with growth spread across all categories and markets. Total line of credit usage ended at 46% as of December 31, 2024, compared to 39% as of December 31, 2023. C&I line of credit usage expanded to 34% as of period end, representing the highest level of utilization since 2020, however well below pre-pandemic levels. Total investment securities decreased $111 million, or 8%, year over year. Over the past 12 months, cash flows from the investment portfolio have been utilized to fund loan growth and provide liquidity in lieu of redeployment. Total deposits increased $496 million, or 7%, over the past 12 months, with the deposit mix continuing to shift from non-interest bearing and low interest-bearing deposits into higher cost deposits. Non-interest-bearing demand accounts declined $93 million, or 6%, while interest-bearing deposits grew $589 million, or 11%, led by $255 million of time deposit growth and $184 million of growth in money market balances. Non-performing loans totaled $22 million, or 0.34% of total loans outstanding on December 31, 2024, compared to $19 million, or 0.33% of total loans outstanding on December 31, 2023. The ratio of allowance for credit losses to loans ended at 1.33% on December 31, 2024, compared to 1.38% on December 31, 2023. As of December 31, 2024, the Company continued to be “well-capitalized,” the highest regulatory capital rating for financial institutions, with all capital ratios experiencing meaningful growth. Total equity to assets(3) was 10.61% and the tangible common equity ratio(3) was 8.44% on December 31, 2024, compared to 10.50% and 8.09% on December 31, 2023, respectively. In November 2024, the board of directors declared a quarterly cash dividend to $0.31 per common share. The dividend was paid December 31, 2024, to shareholders of record as of December 16, 2024. No shares have been purchased since 2020, and approximately 741,000 shares remain eligible for repurchase under the current buy-back plan, which expires in May 2025. Results of Operations – Fourth Quarter 2024, Compared with Third Quarter 2024 Net interest margin improved 11 basis points on the linked quarter to 3.44%, boosted by strong loan growth, higher interest earning asset yields and a decline in cost of funds. Net interest income increased $5.0 million, or 8%, over the prior quarter to $70.0 million. Total interest income increased $4.6 million, or 4%. Interest income on loans, including fees, increased $2.1 million, or 2%. Average loans increased $208 million, or 3%, and the corresponding yield earned declined 7 basis points to 6.10%. Total interest expense decreased $404,000, or 1%. Interest expense on deposits, which increased $2.1 million, or 6%, was more than offset by the decline in FHLB borrowings, as no overnight advances were utilized during the fourth quarter. During the fourth quarter of 2024, the Company recorded $2.7 million in provision for credit losses(1), which included a $2.2 million in provision for credit losses on loans and $450,000 of provision for credit losses for off-balance sheet exposures. During the third quarter of 2024, the Company recorded $4.3 million in provision for credit losses on loans and no provision for credit losses on off-balance sheet exposures. Non-interest income decreased $1.3 million, or 5%, on the linked quarter, to $23.5 million. WM&T income declined $585,000, or 5%, consistent with a decline in net new business expansion, a reduction in quarterly estate fees and market performance. Non-interest expenses increased $3.2 million, or 7% on the linked quarter to $51.7 million, due to increases in compensation expense and marketing and business development expenses, which included additional community support expense. Financial Condition – December 31, 2024, Compared with September 30, 2024 Total assets increased $426 million, or 5%, on the linked quarter to $8.86 billion. Total loans expanded a record $242 million, or 4%, on the linked quarter, led by increases in nearly every loan category. Total line of credit usage was 46% as of December 31, 2024, compared to 43% as of September 30, 2024. C&I line of credit usage totaled 34% as of December 31, 2024, compared to 32% as of September 30, 2024. Total deposits increased $440 million, or 7%, on the linked quarter. Non-interest-bearing demand accounts decreased $52 million, or 3%, while total interest-bearing deposit accounts increased $492 million, or 9%. About the Company Louisville, Kentucky-based Stock Yards Bancorp, Inc., with $8.86 billion in assets, was incorporated in 1988 as a bank holding company. It is the parent company of Stock Yards Bank & Trust Company, which was established in 1904. The Company’s common shares trade on The Nasdaq Stock Market under the symbol “SYBT.” This report contains forward-looking statements under the Private Securities Litigation Reform Act that involve risks and uncertainties. Although the Company’s management believes the assumptions underlying the forward-looking statements contained herein are reasonable, any of these assumptions could be inaccurate. Therefore, there can be no assurance the forward-looking statements included herein will prove to be accurate. Factors that could cause actual results to differ from those discussed in forward-looking statements include, but are not limited to: economic conditions both generally and more specifically in the markets in which the Company and its banking subsidiary operates; competition for the Company’s customers from other providers of financial services; changes in, or forecasts of, future political and economic conditions, inflation and efforts to control it; government legislation and regulation, which change and over which the Company has no control; changes in interest rates; material unforeseen changes in liquidity, results of operations, or financial condition of the Company’s customers; and other risks detailed in the Company’s filings with the Securities and Exchange Commission, all of which are difficult to predict and many of which are beyond the control of the Company. Refer to Stock Yards’ Annual Report on Form 10-K for the year ended December 31, 2023, as well as its other filings with the SEC for a more detailed discussion of risks, uncertainties and factors that could cause actual results to differ from those discussed in the forward-looking statements. Contact: T. Clay StinnettExecutive Vice President,Treasurer and Chief Financial Officer(502) 625-0890 Stock Yards Bancorp, Inc. Financial Information (unaudited) Fourth Quarter 2024 Earnings Release (In thousands unless otherwise noted) Three Months Ended Twelve Months Ended December 31, December 31, Income Statement Data 2024 2023 2024 2023 Net interest income, fully tax equivalent (5) $ 70,057 $ 62,112 $ 257,400 $ 247,869 Interest income: Loans $ 97,815 $ 82,715 $ 369,362 $ 302,044 Federal funds sold and interest bearing due from banks 3,057 3,526 9,256 8,411 Mortgage loans held for sale 80 38 232 211 Federal Home Loan Bank stock 705 621 2,306 1,560 Investment securities 8,651 8,341 31,723 34,470 Total interest income 110,308 95,241 412,879 346,696 Interest expense: Deposits 36,055 29,645 133,541 81,585 Securities sold under agreements to repurchase 793 658 3,432 2,087 Federal funds purchased 76 185 471 689 Federal Home Loan Bank advances 2,975 2,155 16,444 12,768 Subordinated debentures 440 582 1,951 2,235 Total interest expense 40,339 33,225 155,839 99,364 Net interest income 69,969 62,016 257,040 247,332 Provision for credit losses (1) 2,675 6,046 9,725 13,796 Net interest income after provision for credit losses 67,294 55,970 247,315 233,536 Non-interest income: Wealth management and trust services 10,346 10,099 42,843 39,802 Deposit service charges 2,276 2,244 8,906 8,866 Debit and credit card income 5,394 5,374 20,082 19,438 Treasury management fees 2,675 2,531 11,064 10,033 Mortgage banking income 781 823 3,858 3,705 Loss on sale of securities - (44) - (44) Net investment product sales commissions and fees 991 860 3,571 3,205 Bank owned life insurance 626 576 2,443 2,253 Loss on sale of premises and equipment (61) (105) (100) (30) Other 479 2,059 2,563 4,992 Total non-interest income 23,507 24,417 95,230 92,220 Non-interest expenses: Compensation 26,453 24,494 100,842 91,876 Employee benefits 4,677 3,829 20,268 18,451 Net occupancy and equipment 3,929 5,150 15,193 16,384 Technology and communication 4,744 4,612 19,207 17,318 Debit and credit card processing 1,860 1,719 7,262 6,481 Marketing and business development 2,815 1,754 6,924 5,990 Postage, printing and supplies 905 903 3,645 3,604 Legal and professional 843 1,293 4,111 3,958 FDIC insurance 1,171 1,060 4,539 3,911 Capital and deposit based taxes 653 601 2,781 2,476 Intangible amortization 1,330 1,167 4,485 4,686 Amortization of investments in tax credit partnerships - 324 - 1,294 Other 2,277 3,107 8,922 11,400 Total non-interest expenses 51,657 50,013 198,179 187,829 Income before income tax expense 39,144 30,374 144,366 137,927 Income tax expense 7,450 6,430 29,827 30,179 Net income $ 31,694 $ 23,944 $ 114,539 $ 107,748 Net income per share - Basic $ 1.08 $ 0.82 $ 3.91 $ 3.69 Net income per share - Diluted 1.07 0.82 3.89 3.67 Cash dividend declared per share 0.31 0.30 1.22 1.18 Weighted average shares - Basic 29,319 29,226 29,288 29,212 Weighted average shares - Diluted 29,493 29,331 29,421 29,343 December 31, Balance Sheet Data 2024 2023 Investment securities $ 1,360,285 $ 1,471,016 Loans 6,520,402 5,771,038 Allowance for credit losses on loans 86,943 79,374 Total assets 8,863,419 8,170,102 Non-interest bearing deposits 1,456,138 1,548,624 Interest bearing deposits 5,710,263 5,122,124 Federal Home Loan Bank advances 300,000 200,000 Accumulated other comprehensive income (loss) (91,151) (92,798) Stockholders' equity 940,476 858,103 Total shares outstanding 29,431 29,329 Book value per share (3) $ 31.96 $ 29.26 Tangible common equity per share (3) 24.82 21.95 Market value per share 71.61 51.49 Stock Yards Bancorp, Inc. Financial Information (unaudited) Fourth Quarter 2024 Earnings Release Three Months Ended Twelve Months Ended December 31, December 31, Average Balance Sheet Data 2024 2023 2024 2023 Federal funds sold and interest bearing due from banks $ 251,209 $ 258,950 $ 178,252 $ 164,314 Mortgage loans held for sale 6,335 5,305 5,508 6,822 Investment securities 1,436,748 1,618,799 1,482,672 1,687,639 Federal Home Loan Bank stock 23,475 20,519 26,386 22,123 Loans 6,381,869 5,676,193 6,085,782 5,422,865 Total interest earning assets 8,099,636 7,579,766 7,778,600 7,303,763 Total assets 8,718,416 8,116,569 8,376,739 7,775,574 Non-interest bearing deposits 1,492,624 1,663,962 1,504,844 1,763,157 Interest bearing deposits 5,531,441 5,025,240 5,153,189 4,608,575 Total deposits 7,024,065 6,689,202 6,658,033 6,371,732 Securities sold under agreements to repurchase 148,414 130,148 154,387 123,111 Federal funds purchased 6,508 13,606 8,812 13,794 Federal Home Loan Bank advances 300,000 205,435 369,331 280,068 Subordinated debentures 26,806 26,706 26,803 26,558 Total interest bearing liabilities 6,013,169 5,401,135 5,712,522 5,052,106 Accumulated other comprehensive income (loss) (81,585) (125,843) (91,299) (112,029) Total stockholders' equity 937,782 817,682 896,971 801,593 Performance Ratios Annualized return on average assets (4) 1.45% 1.17% 1.37% 1.39% Annualized return on average equity (4) 13.45% 11.62% 12.77% 13.44% Net interest margin, fully tax equivalent 3.44% 3.25% 3.31% 3.39% Non-interest income to total revenue, fully tax equivalent 25.12% 28.22% 27.01% 27.12% Efficiency ratio, fully tax equivalent (2) 55.21% 57.80% 56.20% 55.23% Capital Ratios Total stockholders' equity to total assets (3) 10.61% 10.50% Tangible common equity to tangible assets (3) 8.44% 8.09% Average stockholders' equity to average assets 10.71% 10.31% Total risk-based capital 12.73% 12.56% Common equity tier 1 risk-based capital 11.17% 11.04% Tier 1 risk-based capital 11.52% 11.43% Leverage 9.94% 9.62% Loan Segmentation Commercial real estate - non-owner occupied $ 1,835,935 $ 1,561,689 Commercial real estate - owner occupied 1,002,853 907,424 Commercial and industrial 1,438,654 1,307,128 Residential real estate - owner occupied 805,080 708,893 Residential real estate - non-owner occupied 382,744 358,715 Construction and land development 623,005 531,324 Home equity lines of credit 247,433 211,390 Consumer 144,644 145,340 Leases 15,514 15,503 Credit cards 24,540 23,632 Total loans and leases $ 6,520,402 $ 5,771,038 Deposit Segmentation Interest bearing demand $ 2,649,142 $ 2,480,357 Savings 419,355 438,834 Money market 1,403,978 1,219,656 Time deposits 1,237,788 983,277 Non-Interest bearing deposits 1,456,138 1,548,624 Total deposits $ 7,166,401 $ 6,670,748 Asset Quality Data Non-accrual loans $ 21,727 $ 19,058 Modifications to borrowers experiencing financial difficulty - - Loans past due 90 days or more and still accruing 487 110 Total non-performing loans 22,214 19,168 Other real estate owned 10 10 Total non-performing assets $ 22,224 $ 19,178 Non-performing loans to total loans 0.34% 0.33% Non-performing assets to total assets 0.25% 0.23% Allowance for credit losses on loans to total loans 1.33% 1.38% Allowance for credit losses on loans to average loans 1.43% 1.46% Allowance for credit losses on loans to non-performing loans 391% 414% Net (charge-offs) recoveries $ (625) $ (4,472) $ (1,231) $ (6,628) Net (charge-offs) recoveries to average loans (6) -0.01% -0.08% -0.02% -0.12% Stock Yards Bancorp, Inc. Financial Information (unaudited) Fourth Quarter 2024 Earnings Release Quarterly Comparison Income Statement Data 12/31/24 9/30/24 6/30/24 3/31/24 12/31/23 Net interest income, fully tax equivalent (5) $ 70,057 $ 65,064 $ 62,113 $ 60,167 $ 62,112 Net interest income $ 69,969 $ 64,979 $ 62,022 $ 60,070 $ 62,016 Provision for credit losses (1) 2,675 4,325 1,300 1,425 6,046 Net interest income after provision for credit losses 67,294 60,654 60,722 58,645 55,970 Non-interest income: Wealth management and trust services 10,346 10,931 10,795 10,771 10,099 Deposit service charges 2,276 2,314 2,180 2,136 2,244 Debit and credit card income 5,394 5,083 4,923 4,682 5,374 Treasury management fees 2,675 2,939 2,825 2,625 2,531 Mortgage banking income 781 1,112 1,017 948 823 Loss on sale of securities - - - - (44) Net investment product sales commissions and fees 991 915 800 865 860 Bank owned life insurance 626 634 595 588 576 Gain (loss) on sale of premises and equipment (61) (59) 20 - (105) Other 479 928 500 656 2,059 Total non-interest income 23,507 24,797 23,655 23,271 24,417 Non-interest expenses: Compensation 26,453 25,534 24,634 24,221 24,494 Employee benefits 4,677 4,629 5,086 5,876 3,829 Net occupancy and equipment 3,929 3,775 3,819 3,670 5,150 Technology and communication 4,744 4,500 4,894 5,069 4,612 Debit and credit card processing 1,860 1,845 1,811 1,746 1,719 Marketing and business development 2,815 1,438 1,596 1,075 1,754 Postage, printing and supplies 905 901 913 926 903 Legal and professional 843 968 1,185 1,115 1,293 FDIC insurance 1,171 1,095 1,161 1,112 1,060 Capital and deposit based taxes 653 825 673 630 601 Intangible amortization 1,330 1,052 1,051 1,052 1,167 Amortization of investments in tax credit partnerships - - - - 324 Other 2,277 1,890 2,286 2,469 3,107 Total non-interest expenses 51,657 48,452 49,109 48,961 50,013 Income before income tax expense 39,144 36,999 35,268 32,955 30,374 Income tax expense 7,450 7,639 7,670 7,068 6,430 Net income $ 31,694 $ 29,360 $ 27,598 $ 25,887 $ 23,944 Net income per share - Basic $ 1.08 $ 1.00 $ 0.94 $ 0.89 $ 0.82 Net income per share - Diluted 1.07 1.00 0.94 0.88 0.82 Cash dividend declared per share 0.31 0.31 0.30 0.30 0.30 Weighted average shares - Basic 29,319 29,299 29,283 29,250 29,226 Weighted average shares - Diluted 29,493 29,445 29,383 29,361 29,331 Quarterly Comparison Balance Sheet Data 12/31/24 9/30/24 6/30/24 3/31/24 12/31/23 Cash and due from banks $ 78,925 $ 108,825 $ 85,441 $ 71,676 $ 94,466 Federal funds sold and interest bearing due from banks 212,095 144,241 118,910 88,547 171,493 Mortgage loans held for sale 6,286 4,822 6,438 6,462 6,056 Investment securities 1,360,285 1,236,744 1,342,354 1,379,212 1,471,016 Federal Home Loan Bank stock 21,603 29,419 31,462 24,675 16,236 Loans 6,520,402 6,278,133 6,070,963 5,849,715 5,771,038 Allowance for credit losses on loans 86,943 85,343 82,155 80,897 79,374 Goodwill 194,074 194,074 194,074 194,074 194,074 Total assets 8,863,419 8,437,280 8,315,325 8,123,128 8,170,102 Non-interest bearing deposits 1,456,138 1,508,203 1,482,514 1,481,217 1,548,624 Interest bearing deposits 5,710,263 5,217,870 5,086,724 5,127,863 5,122,124 Securities sold under agreements to repurchase 162,967 149,852 152,948 162,528 152,991 Federal funds purchased 6,525 6,442 10,029 9,961 12,852 Federal Home Loan Bank advances 300,000 325,000 400,000 200,000 200,000 Subordinated debentures 26,806 26,806 26,806 26,806 26,740 Accumulated other comprehensive income (loss) (91,151) (75,273) (94,980) (95,054) (92,798) Stockholders' equity 940,476 934,094 894,535 874,711 858,103 Total shares outstanding 29,431 29,414 29,388 29,393 29,329 Book value per share (3) $ 31.96 $ 31.76 $ 30.44 $ 29.76 $ 29.26 Tangible common equity per share (3) 24.82 24.58 23.22 22.50 21.95 Market value per share 71.61 61.99 49.67 48.91 51.49 Capital Ratios Total stockholders' equity to total assets (3) 10.61% 11.07% 10.76% 10.77% 10.50% Tangible common equity to tangible assets (3) 8.44% 8.79% 8.42% 8.36% 8.09% Average stockholders' equity to average assets 10.76% 10.86% 10.65% 10.56% 10.07% Total risk-based capital 12.73% 12.73% 12.62% 12.69% 12.56% Common equity tier 1 risk-based capital 11.17% 11.16% 11.07% 11.11% 11.04% Tier 1 risk-based capital 11.52% 11.52% 11.43% 11.49% 11.43% Leverage 9.94% 10.05% 9.95% 9.82% 9.62% Stock Yards Bancorp, Inc. Financial Information (unaudited) Fourth Quarter 2024 Earnings Release Quarterly Comparison Average Balance Sheet Data 12/31/24 9/30/24 6/30/24 3/31/24 12/31/23 Federal funds sold and interest bearing due from banks $ 251,209 $ 148,818 $ 158,512 $ 153,990 $ 258,950 Mortgage loans held for sale 6,335 4,862 6,204 4,629 5,305 Investment securities 1,436,748 1,424,815 1,491,865 1,578,401 1,618,799 Federal Home Loan Bank stock 23,475 31,193 29,735 21,121 20,519 Loans 6,381,869 6,174,309 5,973,801 5,808,924 5,676,193 Total interest earning assets 8,099,636 7,783,997 7,660,117 7,567,065 7,579,766 Total assets 8,718,416 8,384,605 8,246,735 8,153,364 8,116,569 Non-interest bearing deposits 1,492,624 1,510,515 1,515,708 1,500,602 1,663,962 Interest bearing deposits 5,531,441 5,047,771 4,971,804 5,058,743 5,025,240 Total deposits 7,024,065 6,558,286 6,487,512 6,559,345 6,689,202 Securities sold under agreement to repurchase 148,414 156,865 147,327 164,979 130,148 Federal funds purchased 6,508 8,480 10,127 10,161 13,606 Federal Home Loan Bank advances 300,000 461,141 441,484 274,451 205,435 Subordinated debentures 26,806 26,806 26,806 26,794 26,706 Total interest bearing liabilities 6,013,169 5,701,063 5,597,548 5,535,128 5,401,135 Accumulated other comprehensive income (loss) (81,585) (88,362) (99,640) (95,747) (125,843) Total stockholders' equity 937,782 910,274 878,233 861,029 817,682 Performance Ratios Annualized return on average assets (4) 1.45% 1.39% 1.35% 1.28% 1.17% Annualized return on average equity (4) 13.45% 12.83% 12.64% 12.09% 11.62% Net interest margin, fully tax equivalent 3.44% 3.33% 3.26% 3.20% 3.25% Non-interest income to total revenue, fully tax equivalent 25.12% 27.59% 27.58% 27.89% 28.22% Efficiency ratio, fully tax equivalent (2) 55.21% 53.92% 57.26% 58.68% 57.80% Loans Segmentation Commercial real estate - non-owner occupied $ 1,835,935 $ 1,686,448 $ 1,652,614 $ 1,609,483 $ 1,561,689 Commercial real estate - owner occupied 1,002,853 949,538 943,013 931,973 907,424 Commercial and industrial 1,438,654 1,379,293 1,356,970 1,293,696 1,307,128 Residential real estate - owner occupied 805,080 783,337 749,870 723,234 708,893 Residential real estate - non-owner occupied 382,744 381,051 365,846 360,958 358,715 Construction and land development 623,005 674,918 586,820 532,183 531,324 Home equity lines of credit 247,433 236,819 223,304 212,443 211,390 Consumer 144,644 143,684 151,221 145,022 145,340 Leases 15,514 16,760 17,258 16,619 15,503 Credit cards 24,540 26,285 24,047 24,104 23,632 Total loans and leases $ 6,520,402 $ 6,278,133 $ 6,070,963 $ 5,849,715 $ 5,771,038 Deposit Segmentation Interest bearing demand $ 2,649,142 $ 2,361,192 $ 2,422,828 $ 2,414,118 $ 2,480,357 Savings 419,355 420,772 429,095 436,501 438,834 Money market 1,403,978 1,259,484 1,177,995 1,241,822 1,219,656 Time deposits 1,237,788 1,176,422 1,056,806 1,035,422 983,277 Non-Interest bearing deposits 1,456,138 1,508,203 1,482,514 1,481,217 1,548,624 Total deposits $ 7,166,401 $ 6,726,073 $ 6,569,238 $ 6,609,080 $ 6,670,748 Asset Quality Data Non-accrual loans $ 21,727 $ 16,288 $ 17,371 $ 13,984 $ 19,058 Modifications to borrowers experiencing financial difficulty - - - - - Loans past due 90 days or more and still accruing 487 870 186 106 110 Total non-performing loans 22,214 17,158 17,557 14,090 19,168 Other real estate owned 10 10 10 10 10 Total non-performing assets $ 22,224 $ 17,168 $ 17,567 $ 14,100 $ 19,178 Non-performing loans to total loans 0.34% 0.27% 0.29% 0.24% 0.33% Non-performing assets to total assets 0.25% 0.20% 0.21% 0.17% 0.23% Allowance for credit losses on loans to total loans 1.33% 1.36% 1.35% 1.38% 1.38% Allowance for credit losses on loans to average loans 1.36% 1.38% 1.38% 1.39% 1.40% Allowance for credit losses on loans to non-performing loans 391% 497% 468% 574% 414% Net (charge-offs) recoveries $ (625) $ (1,137) $ 183 $ 348 $ (4,472) Net (charge-offs) recoveries to average loans (6) -0.01% -0.02% 0.00% 0.01% -0.08% Other Information Total WM&T assets under management (in millions) $ 7,066 $ 7,317 $ 7,479 $ 7,496 $ 7,160 Full-time equivalent employees 1,080 1,068 1,051 1,062 1,075 (1) - Detail of Provision for credit losses follows: Quarterly Comparison (in thousands) 12/31/24 9/30/24 6/30/24 3/31/24 12/31/23 Provision for credit losses - loans $ 2,225 $ 4,325 $ 1,075 $ 1,175 $ 5,771 Provision for credit losses - off balance sheet exposures 450 - 225 250 275 Total provision for credit losses $ 2,675 $ 4,325 $ 1,300 $ 1,425 $ 6,046 (2) - The efficiency ratio, a non-GAAP measure, equals total non-interest expenses divided by the sum of net interest income (FTE) and non-interest income. Quarterly Comparison (Dollars in thousands) 12/31/24 9/30/24 6/30/24 3/31/24 12/31/23 Total non-interest expenses (a) $ 51,657 $ 48,452 $ 49,109 $ 48,961 $ 50,013 Total net interest income, fully tax equivalent $ 70,057 $ 65,064 $ 62,113 $ 60,167 $ 62,112 Total non-interest income 23,507 24,797 23,655 23,271 24,417 Total revenue - Non-GAAP (b) 93,564 89,861 85,768 83,438 86,529 Efficiency ratio - Non-GAAP (a/b) 55.21% 53.92% 57.26% 58.68% 57.80% (3) - The following table provides a reconciliation of total stockholders’ equity in accordance with GAAP to tangible stockholders’ equity, a non-GAAP disclosure. Bancorp provides the tangible book value per share, a non-GAAP measure, in addition to those defined by banking regulators, because of its widespread use by investors as a means to evaluate capital adequacy: Quarterly Comparison (In thousands, except per share data) 12/31/24 9/30/24 6/30/24 3/31/24 12/31/23 Total stockholders' equity - GAAP (a) $ 940,476 $ 934,094 $ 894,535 $ 874,711 $ 858,103 Less: Goodwill (194,074) (194,074) (194,074) (194,074) (194,074) Less: Core deposit and other intangibles (15,818) (17,149) (18,201) (19,252) (20,304) Tangible common equity - Non-GAAP (c) $ 730,584 $ 722,871 $ 682,260 $ 661,385 $ 643,725 Total assets - GAAP (b) $ 8,863,419 $ 8,437,280 $ 8,315,325 $ 8,123,128 $ 8,170,102 Less: Goodwill (194,074) (194,074) (194,074) (194,074) (194,074) Less: Core deposit and other intangibles (15,818) (17,149) (18,201) (19,252) (20,304) Tangible assets - Non-GAAP (d) $ 8,653,527 $ 8,226,057 $ 8,103,050 $ 7,909,802 $ 7,955,724 Total stockholders' equity to total assets - GAAP (a/b) 10.61% 11.07% 10.76% 10.77% 10.50% Tangible common equity to tangible assets - Non-GAAP (c/d) 8.44% 8.79% 8.42% 8.36% 8.09% Total shares outstanding (e) 29,431 29,414 29,388 29,393 29,329 Book value per share - GAAP (a/e) $ 31.96 $ 31.76 $ 30.44 $ 29.76 $ 29.26 Tangible common equity per share - Non-GAAP (c/e) 24.82 24.58 23.22 22.50 21.95 (4) - Return on average assets equals net income divided by total average assets, annualized to reflect a full year return on average assets. Similarly, return on average equity equals net income divided by total average equity, annualized to reflect a full year return on average equity. (5) - Interest income on a FTE basis includes the additional amount of interest income that would have been earned if investments in certain tax-exempt interest earning assets had been made in assets subject to federal, state and local taxes yielding the same after-tax income. Interest income, yields and ratios on a FTE basis are considered non-GAAP financial measures. Management believes net interest income on a FTE basis provides an insightful picture of the interest margin for comparison purposes. The FTE basis also allows management to assess the comparability of revenue arising from both taxable and tax-exempt sources. The FTE basis assumes a federal corporate income tax rate of 21%. (6) - Quarterly net (charge-offs) recoveries to average loans ratios are not annualized.

Stock Yards Bancorp Reports Record Fourth Quarter Earnings of $31.7 Million or $1.07 Per Diluted Share and Record Earnings for the Year

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