Byline Bancorp(US:BY)2024-07-25 20:15Financial Performance - Net income for Q2 2024 was $29.7 million, with diluted earnings per share of $0.68, a decrease from $30.4 million and $0.70 in Q1 2024[11] - Total revenue for Q2 2024 was $99.37 million, a decrease from $101.01 million in Q1 2024 and an increase from $90.46 million in Q2 2023[1] - Reported net income for the quarter was $29,671 thousand, slightly down from $30,440 thousand in March 2024, but up from $26,107 thousand in June 2023[48] - Adjusted net income remained stable at $29,671 thousand for June 30, 2024, compared to $30,582 thousand in March 2024[48] - Basic and diluted earnings per common share for June 30, 2024, were $0.68, down from $0.70 in the previous quarter and the same period last year[43] Income and Expenses - Net interest income increased to $86.5 million, up $985,000 or 1.2% from Q1 2024, primarily due to a $2.7 million increase in interest and fees on loans and leases[14] - Non-interest income decreased to $12.8 million, down $2.6 million or 17.0% from Q1 2024, mainly due to a $1.8 million increase in the downward revaluation of the loan servicing asset[6] - Non-interest expense for Q2 2024 was $53.21 million, a decrease from $53.81 million in Q1 2024 and an increase from $49.33 million in Q2 2023[1] - Interest expense for the quarter was $55,043 thousand, compared to $31,106 thousand in the same quarter last year, showing an increase of 77.0%[42] Assets and Liabilities - Total assets grew to $9.6 billion, an increase of $223.3 million or 2.4% compared to Q1 2024, driven by an increase in net loans and leases held for investment[8] - Total assets increased to $9,633,815 thousand as of June 30, 2024, up from $9,410,503 thousand in March 31, 2024, and $7,575,690 thousand in June 30, 2023, representing a year-over-year growth of 27.1%[41] - Total liabilities increased to $8,600,801 thousand as of June 30, 2024, compared to $6,761,748 thousand in June 30, 2023, reflecting a year-over-year growth of 27.2%[41] - Total deposits remained flat at $7.3 billion compared to Q1 2024[12] Credit Quality - Net charge-offs increased to $9.5 million, or 0.56% of average loans and leases, up from $6.2 million or 0.37% in Q1 2024[18] - Non-performing assets decreased to $64.6 million, or 0.67% of total assets, down from $68.7 million or 0.73% in Q1 2024[18] - The allowance for credit losses was $8,743,462 thousand, with a ratio of 6.52% as of June 30, 2024, compared to 6.48% in the previous quarter[26] - Non-performing loans and leases decreased to $63,808 thousand, a 6.0% decline from $67,899 thousand in March 2024, and increased by 66.7% compared to $38,273 thousand in June 2023[46] Dividends and Shareholder Returns - The company declared a cash dividend of $0.09 per share, payable on August 20, 2024[4] - The dividend payout ratio on common stock increased to 13.24% from 12.86% in the previous quarter, maintaining the same percentage as last year[43] Efficiency and Ratios - Efficiency ratio for Q2 2024 was 52.19%, an increase from 51.94% in Q1 2024[16] - Return on average stockholders' equity decreased to 11.83% from 12.26% in the previous quarter and 12.99% a year ago[43] - Adjusted return on average stockholders' equity was 11.83% for June 30, 2024, down from 12.31% in the previous quarter and 13.56% a year ago[51] Future Outlook - The company has identified certain risks that could affect future results, as detailed in their Annual Report on Form 10-K[30] - Management emphasizes the importance of non-GAAP financial measures for providing supplementary information regarding financial condition and performance[30] - The company plans to continue monitoring market conditions and adjusting strategies accordingly to enhance growth and profitability[30]