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Five Star Bancorp Announces Second Quarter 2024 Results
FSBCFive Star Bancorp(FSBC) Newsfilter·2024-07-24 22:30

Core Viewpoint - Five Star Bancorp reported a net income of 10.8millionforQ22024,showingaslightincreasefromQ12024butadecreasecomparedtoQ22023,drivenbyloangrowthandchangesininterestincomeandexpenses[1][10].FinancialPerformance−NetincomeforQ22024was10.8 million for Q2 2024, showing a slight increase from Q1 2024 but a decrease compared to Q2 2023, driven by loan growth and changes in interest income and expenses [1][10]. Financial Performance - Net income for Q2 2024 was 10.8 million, compared to 10.6millioninQ12024and10.6 million in Q1 2024 and 12.7 million in Q2 2023 [1][10]. - Return on average assets (ROAA) was 1.23% for Q2 2024, slightly up from 1.22% in Q1 2024 but down from 1.55% in Q2 2023 [2][11]. - Return on average equity (ROAE) decreased to 11.72% in Q2 2024 from 14.84% in Q1 2024 and 19.29% in Q2 2023 [2][11]. - Pre-tax income increased to 15.2millioninQ22024from15.2 million in Q2 2024 from 15.0 million in Q1 2024 but decreased from 17.2millioninQ22023[2][11].LoanandDepositGrowth−Totalloansincreasedby17.2 million in Q2 2023 [2][11]. Loan and Deposit Growth - Total loans increased by 157.2 million, or 20.2% annualized, while total deposits rose by 193.9million,or26.2193.9 million, or 26.2% annualized [2][4]. - Loans held for investment reached 3.27 billion, up 5.22% from Q1 2024 and 11.58% from Q2 2023 [19][10]. - Non-interest-bearing deposits were 825.7million,showingaslightincreasefromQ12024butadecreasefromQ22023[19][10].InterestIncomeandMargin−NetinterestincomeforQ22024was825.7 million, showing a slight increase from Q1 2024 but a decrease from Q2 2023 [19][10]. Interest Income and Margin - Net interest income for Q2 2024 was 29.1 million, an increase of 2.3millionfromQ12024and2.3 million from Q1 2024 and 1.5 million from Q2 2023 [11][24]. - Net interest margin improved to 3.39% in Q2 2024 from 3.14% in Q1 2024 but decreased from 3.45% in Q2 2023 [11][24]. Capital and Dividends - The common equity Tier 1 capital ratio increased to 11.28% as of June 30, 2024, from 9.13% in Q1 2024, primarily due to the public offering [7][19]. - A cash dividend of 0.20persharewasdeclaredforQ22024,consistentwiththepreviousquarter[3][10].MarketExpansion−Thecompanysuccessfullyexecutedapublicoffering,issuing3,967,500shareswithnetproceedsofapproximately0.20 per share was declared for Q2 2024, consistent with the previous quarter [3][10]. Market Expansion - The company successfully executed a public offering, issuing 3,967,500 shares with net proceeds of approximately 80.9 million, supporting its growth strategy in the San Francisco Bay Area [4][7]. - The San Francisco Bay Area team increased to 19 employees, contributing $161.3 million in deposits since the expansion began in June 2023 [4][7]. Awards and Recognition - The company received multiple awards in the first half of 2024, including recognition for sustainability and performance among community banks [5][6].