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Amerant Bancorp (AMTB) - 2024 Q2 - Quarterly Results
AMTBAmerant Bancorp (AMTB)2024-07-24 20:37

Financial Performance - Net income attributable to the Company for Q2 2024 was 5.0million,or5.0 million, or 0.15 per diluted share, down from 10.6million,or10.6 million, or 0.31 per diluted share in Q1 2024[1]. - Non-interest income rose to 19.4million,anincreaseof19.4 million, an increase of 4.9 million, or 34.0%, from 14.5millioninQ12024[5].−NetincomeattributabletoAmerantBancorpInc.was14.5 million in Q1 2024[5]. - Net income attributable to Amerant Bancorp Inc. was 4,963,000 for June 30, 2024, down from 10,568,000inMarch31,2024[20].−CorenetincomeforJune30,2024,was10,568,000 in March 31, 2024[20]. - Core net income for June 30, 2024, was 9,307,000, down from 10,730,000inthepreviousquarter[22].−Basicearningspercommonsharedecreasedto10,730,000 in the previous quarter[22]. - Basic earnings per common share decreased to 0.15 for June 30, 2024, compared to 0.32forMarch31,2024[20].LoanandDepositTrends−Totalgrossloansincreasedto0.32 for March 31, 2024[20]. Loan and Deposit Trends - Total gross loans increased to 7.32 billion, up 316.5million,or4.5316.5 million, or 4.5%, compared to 7.01 billion in Q1 2024[3]. - Total deposits decreased to 7.82billion,down7.82 billion, down 62.2 million, or 0.8%, compared to 7.88billioninQ12024[3].−TotaldepositsasofJune30,2024,amountedto7.88 billion in Q1 2024[3]. - Total deposits as of June 30, 2024, amounted to 7,816,011, a decrease from 7,878,243onMarch31,2024[55].−Non−interestbearingdemanddepositsincreasedto7,878,243 on March 31, 2024[55]. - Non-interest bearing demand deposits increased to 1,465,140 thousand as of June 30, 2024, up from 1,397,331thousandinMarch31,2024,reflectingagrowthofabout4.91,397,331 thousand in March 31, 2024, reflecting a growth of about 4.9%[42]. Credit Quality and Loss Provisions - Provision for credit losses was 19.2 million, up 6.8million,or54.46.8 million, or 54.4%, compared to 12.4 million in Q1 2024[5]. - Total non-performing assets increased to 121.1million,up121.1 million, up 70.6 million, or 139.9%, compared to 50.5millioninQ12024[4].−Theallowanceforcreditlosseswas50.5 million in Q1 2024[4]. - The allowance for credit losses was 94,400 thousand as of June 30, 2024, compared to 96,050thousandinMarch31,2024,indicatingareductionofapproximately1.796,050 thousand in March 31, 2024, indicating a reduction of approximately 1.7%[42]. - Non-accrual loans totaled 97.05 million as of June 30, 2024, significantly up from 28.24millioninthepreviousquarter,markinga243.528.24 million in the previous quarter, marking a 243.5% increase[51]. Efficiency and Ratios - The efficiency ratio was 74.2%, compared to 72.0% in Q1 2024[5]. - The net interest margin (NIM) improved to 3.56% for June 30, 2024, from 3.51% in March 31, 2024[21]. - The total capital ratio decreased to 12.00% for June 30, 2024, from 12.49% in March 31, 2024[21]. - The efficiency ratio worsened to 74.21% for June 30, 2024, compared to 72.03% in March 31, 2024[21]. Asset Management - Assets Under Management and custody totaled 2.45 billion, up 94.2million,or4.094.2 million, or 4.0%, from 2.36 billion in Q1 2024[4]. - Total assets decreased to 9,747,738,000asofJune30,2024,from9,747,738,000 as of June 30, 2024, from 9,817,772,000 on March 31, 2024[26]. - Stockholders' equity as of June 30, 2024, is 734,342,000,aslightdecreasefrom734,342,000, a slight decrease from 738,085,000 on March 31, 2024[26]. Shareholder Returns - The Company's Board of Directors declared a cash dividend of 0.09pershareofcommonstock[5].−Cashdividendsdeclaredwere0.09 per share of common stock[5]. - Cash dividends declared were 0.09 per share, with an aggregate payment of 3.0millionperquarter[22].−Thecompanyrepurchased200,652sharesofClassAcommonstockatanaveragepriceof3.0 million per quarter[22]. - The company repurchased 200,652 shares of Class A common stock at an average price of 22.17 per share, totaling approximately 4.4millioninthesecondquarterof2024[22].StrategicInitiatives−Thecompanycontinuestofocusonmarketexpansionandnewproductdevelopmentaspartofitsstrategicinitiatives[57].−Thecompanycompletedarestructuringofitsbank−ownedlifeinsuranceprograminthefourthquarterof2023,incurringadditionalexpensesof4.4 million in the second quarter of 2024[22]. Strategic Initiatives - The company continues to focus on market expansion and new product development as part of its strategic initiatives[57]. - The company completed a restructuring of its bank-owned life insurance program in the fourth quarter of 2023, incurring additional expenses of 4.6 million[27].