AmeriServ Financial(ASRV) - 2024 Q4 - Annual Results

Financial Performance - For Q4 2024, AmeriServ Financial reported a net income of $889,000, or$ 0.05 per diluted share, compared to a net loss of $5,321,000, or$ 0.31 per diluted share in Q4 2023[1]. - Net income for the full year 2024 was $3.6 million, with a return on average assets of 0.26% and a return on average equity of 3.46%[23]. - The company reported a net loss of$ 3,346,000 for the entire year of 2023[43]. - Net income for Q3 2023 was a loss of $5,321,000, compared to a net income of$ 647,000 in Q2 2023[38]. - The company recorded an income tax expense of $798,000 for the full year 2024, with an effective tax rate of 18.1%, compared to an income tax credit of$ 1.0 million for the full year 2023[16]. Loan and Deposit Growth - Total loans increased by $30 million, or 2.9%, and total deposits grew by$ 43 million, or 3.7%, for the full year 2024[1]. - Average total loans for Q4 2024 were $1.058 billion, up$ 36.3 million, or 3.6%, from Q4 2023[3]. - The loan to deposit ratio averaged 89.1% in Q4 2024, indicating capacity for continued loan portfolio growth[6]. - Total loans and loans held for sale rose from $1,026,586 in Q1 to$ 1,068,409 in Q4, an increase of 4.07%[26]. - Total interest bearing deposits rose to $1,009,304 thousand in Q4 2024, an increase of 1.2% from$ 990,123 thousand in Q4 2023[35]. Income and Expenses - Net interest income for Q4 2024 rose by $950,000, or 11.1%, year-over-year, while for the full year, it increased by$ 28,000, or 0.1%[2]. - Total non-interest income in Q4 2024 increased by $1.7 million, or 61.1%, compared to Q4 2023, and by$ 1.6 million, or 9.7%, for the full year[13]. - Total non-interest expense decreased by $275,000, or 2.3%, in Q4 2024 compared to Q4 2023, and decreased by$ 628,000, or 1.3%, for the full year 2024 compared to 2023[14]. - Salaries and employee benefits expense decreased by $1.2 million, or 4.2%, for the full year 2024, with total salaries cost down by$ 847,000, or 4.0%[14]. - Total health care costs were $516,000, or 13.4%, lower compared to the previous year, reflecting effective negotiations with the health care provider[14]. Asset and Equity Position - Total assets were$ 1.4 billion, with shareholders' equity of $108.6 million and a book value of$ 6.57 per common share as of December 31, 2024[17]. - Book value per common share increased by $0.61, or 10.2%, since December 31, 2023, due to favorable adjustments and share repurchases[17]. - Shareholders' equity increased to$ 108,611 thousand by December 31, 2024, up from $102,277 thousand at the end of 2023, marking a growth of 6.2%[37]. - Total assets reached$ 1,413,726 thousand as of December 31, 2024, compared to $1,396,748 thousand at the end of 2023, indicating a growth of 1.9%[35]. - Total shareholders' equity decreased to$ 102,277,000 by the end of 2023[38]. Efficiency and Ratios - The efficiency ratio improved to 90.18% for the full year 2024, compared to 94.17% for the full year 2023[23]. - The tangible book value per share increased by 11.4% to $5.75 during 2024[1]. - The tangible common equity ratio decreased from 6.58% in Q1 to 6.73% in Q4[26]. - Average tangible common equity for 2023 was$ 89,843,000, with a return on average tangible common equity of -3.72%[43]. - Tangible common equity ratio for Q3 2023 was 6.44%[43]. Dividends and Shareholder Returns - The Company declared a quarterly common stock cash dividend of $0.03 per share, representing a 4.35% annualized yield based on the January 16, 2025 closing stock price of$ 2.76[19]. - Common stock cash dividends totaled $495 thousand in Q4 2024, compared to$ 514 thousand in Q4 2023, showing a decrease of 3.7%[37]. Market and Investment Performance - Wealth management assets at fair market value decreased from $2,603,493 in Q1 to$ 2,559,155 in Q4[26]. - The total investment securities decreased to $246,111 thousand in Q4 2024 from$ 253,487 thousand in Q4 2023, representing a decline of 2.4%[35]. - The market value adjustment for interest rate hedge showed a gain of $402 thousand in Q4 2024, compared to a loss in the previous period[37].