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Cullen/Frost Bankers, Inc. Reports Fourth Quarter and Annual Results for 2024

San Antonio, Texas 🔹 CULLEN/FROST BANKERS, INC., a key player in the financial services landscape, unveiled its financial results for the fourth quarter and the entire year of 2024, showcasing robust performance amid a competitive industry backdrop. The report, released on January 30, 2025, indicates a remarkable increase in net income, available to common shareholders, marking a significant annual milestone.

Financial Performance in Q4 2024

For the fourth quarter of 2024, Cullen/Frost reported a net income of $153.2 million. This figure reflects a staggering increase of $52.3 million compared to the net income of $100.9 million recorded in the same quarter of the previous year. It’s also important to note that last year’s fourth quarter results were notably affected by a substantial FDIC insurance surcharge. If we exclude this unique charge, the year-on-year increase in net income available to common shareholders is approximately 8.2%, affirming the bank's strong operational execution over the preceding months.

Per diluted common share, the net income rose to $2.36, highlighting an impressive growth trajectory, particularly when compared to $1.55 for Q4 2023.

Year-End Overview for 2024

Cullen/Frost's annual net income available to common shareholders for 2024 reached $575.9 million, a slight decline of 2.6% from $591.3 million in 2023. Nevertheless, excluding the effects of the FDIC surcharge recorded in both years, the adjusted earnings reflect a decrease of 7.8%. Noteworthy is the per-share earnings that amounted to $8.87, showing a minor dip from the previous year’s $9.10.

Insights from the Leadership

Phil Green, Chairman and CEO of Cullen/Frost, attributed the impressive performance to the dedication and effectiveness of their banking personnel. He emphasized, “Our people show their commitment to excellence in their daily operations, creating unmatched customer experiences and facilitating consistent growth in our customer base.”

Key Financial Metrics

For the fourth quarter, net interest income stood at $433.7 million, up by 5.8% from the previous year’s $409.9 million. This increase corresponds with a notable rise in average loans, which surged to $20.3 billion for the quarter, representing a 9.3% growth compared to the prior year. Additionally, average deposits climbed to $41.9 billion, reflecting a year-on-year increase, further fortifying Cullen/Frost’s financial foundation.

Looking Ahead

For the first quarter of 2025, the board announced a dividend of $0.95 per common share, highlighting the company’s commitment to returning value to shareholders. Furthermore, they laid out a robust share repurchase program worth $150 million, extending over the upcoming year, which signifies confidence in the company’s financial health and growth potential.

Financial Reporting and Future Prospects

The continued transparency displayed by Cullen/Frost in its financial reporting showcases the bank’s commitment to maintaining a solid relationship with its investors and stakeholders. The bank will host a conference call to discuss the detailed results further, inviting stakeholders to participate actively.

In conclusion, Cullen/Frost Bankers, Inc. has demonstrated resilience and growth, setting a promising outlook for 2025 and beyond. As they navigate ongoing challenges in the financial landscape, their strategic focus on operational excellence will likely continue fostering growth and shareholder value.