Peoples Bancorp Reports Financial Results for Q4 and Full-Year 2024

Peoples Bancorp Inc. Financial Results for Q4 and Full Year 2024

Peoples Bancorp Inc. (NASDAQ: PEBO), headquartered in Marietta, Ohio, has announced its financial performance for both the fourth quarter and the entire year ending December 31, 2024. In this quarter, the company achieved a net income of $26.9 million, equating to an earnings per diluted share of $0.76. In comparison to the prior quarter’s income of $31.7 million ($0.89 per diluted share) and last year’s fourth quarter of $33.8 million ($0.96 per diluted share), these figures reflect a notable decline.

Despite the decline in quarterly profits, the full year performance showcased an increase in net income of $117.2 million compared to $113.4 million in 2023, representing earnings per diluted share of $3.31 versus $3.44 in 2023. Tyler Wilcox, President and CEO, remarked, "2024 marked the third consecutive year of record net income for Peoples. We are pleased with our accomplishments for the year and remain committed to our focus on our clients, shareholders, and community in 2025."

Quarterly Highlights

In reviewing the quarterly operations, net interest income dropped by $2.4 million, or 3%, influenced by lower accretion income. The net interest margin also saw a decrease to 4.15% from 4.27% in the previous quarter. Accretion, net of amortization, contributed 23 basis points to margin this quarter, down from 39 basis points in the prior quarter.

The company recorded a credit loss provision of $6.3 million for Q4 2024, compared to a higher $6.7 million in Q3 2024. The provision negatively impacted the earnings per diluted common share by $0.13 for the quarter.

Conversely, non-interest income, excluding net gains and losses, saw an increase of $1.2 million, or 5%, primarily due to a rise in swap fee income driven by customer demand. However, total non-interest expenses rose by $4.4 million, or 7%, compared to the previous quarter, resulting in an efficiency ratio of 59.6%, worse than the 55.1% in the prior quarter.

Yearly Performance Overview

Peoples Bancorp's total loan and lease balances as of December 31, 2024, rose by $86.2 million, a 5% annualized increase compared to September 30, 2024. This rise was led by growth in commercial and industrial loans and residential real estate loans, though partially offset by a decrease in other commercial real estate loans and leases. The total deposit balances also increased by $111.9 million, or 2%, during the same period.

The merger with Limestone Bancorp, completed on April 30, 2023, has contributed positively to the financial metrics. Acquisition-related expenses related to this merger were recorded significantly lower this time, at $0.2 million compared to $17.0 million for the full year of 2023.

Future Outlook

Peoples Bancorp remains optimistic about its trajectory, with continuing strategies focused on client engagement and community involvement. The vision is to further establish itself as the leading community bank in America.

Interested stakeholders can participate in a conference call on January 21, 2025, to discuss these results in detail with the executive management team via dial-in or online access.

With a complete array of banking, trust, and insurance services, Peoples Bancorp continues to expand its footprint across varying service sectors, aiming to enhance shareholder value while fostering economic growth in its operating regions.

Peoples Bancorp Inc. is committed to financial stability and growth, evidenced by its record performance and strategic mergers that drive its community-based mission.