#United States #Oklahoma City #Financial Services #earnings report #BancFirst

BancFirst Corporation Reports Fourth Quarter Earnings

On January 23, 2025, BancFirst Corporation (NASDAQ: BANF) announced an impressive net income of $56.5 million, equivalent to $1.68 diluted earnings per share, for the fourth quarter of 2024. This marks a notable increase from the $48.9 million, or $1.46 per diluted share, reported in the same quarter of 2023. For the entire year ending December 31, 2024, the company recorded a total net income of $216.4 million, translating to $6.44 per diluted share, compared to $212.5 million, or $6.34 per share, for the previous year.

The surge in the company's net interest income was evident, reaching $115.9 million for the fourth quarter, as compared to $105.1 million during the same period in the prior year. This growth was primarily driven by an increase in loan volume, although it faced some pressure from the changing composition of interest-bearing and noninterest-bearing deposits. It’s worth noting that the net interest margin slightly improved to 3.68% from 3.67% year-over-year.

Interestingly, BancFirst reversed $1.4 million from the allowance for credit losses, contributing to a minor reduction in the allowance as a percentage of loans compared to a year ago, and showing no change from the prior quarter. The noninterest income also saw an increase, totaling $47 million compared to $45.2 million in Q4 2023, with notable contributions from trust revenue and treasury income. Notably, a gain of $355,000 was recorded in equity securities for this quarter, a stark contrast to last year's loss of $1.4 million.

However, noninterest expenses climbed to $92.3 million, a rise from $89.8 million in the fourth quarter of the previous year. This increase can be mainly attributed to a $3.6 million rise in salaries and employee benefits, albeit offset somewhat by a decrease in the write-down of other real estate owned.

As of December 31, 2024, BancFirst's total assets stood at $13.6 billion, an increase of $1.2 billion from the previous year, with loans growing by $373 million to reach $8 billion. Deposits surged to $11.7 billion, up by $1 billion, and sweep accounts also saw an increase of approximately $871.6 million.

In terms of asset quality, the company reported nonaccrual loans of $58 million, which accounted for 0.72% of total loans – a rise from 0.32% at the end of 2023. The allowance for credit losses remained relatively unchanged at 1.24% of total loans.

In a statement, BancFirst’s CEO David Harlow expressed optimism about the company's performance, highlighting the significant yearly growth in loans and consistent asset quality. He noted that they are pleased to report record earnings for four consecutive years and that they expect a positive outlook for 2025, citing the strong performance of the regional economy.

Based in Oklahoma, BancFirst operates three subsidiary banks: the main BancFirst, Pegasus Bank in Texas, and Worthington Bank, which also has locations in Texas. More details about the company and its offerings can be found on BancFirst’s official website. As the financial landscape continues to shift, BancFirst’s record achievements reflect its commitment to robust banking services and customer focus.