Northwest Bancshares, Inc. Announces Fourth Quarter 2024 net income of $33 million, or $0.26 per diluted share

Core Insights - Northwest Bancshares, Inc. reported an adjusted net income of $35 million, or$0.27 per diluted share for the quarter ended December 31, 2024, reflecting a $1 million increase from the prior quarter [2] - The company declared its 121st consecutive quarterly dividend of$0.20 per share, representing an annualized dividend yield of approximately 6.1% [3] - The company announced an agreement to acquire Penns Woods Bancorp, Inc., expected to close in the third quarter of 2025, which will enhance its market position [5] Financial Performance - Net income for the quarter was $33 million, or$0.26 per diluted share, an increase from $29 million, or$0.23 per diluted share in the same quarter last year [1] - The annualized returns on average shareholders' equity and average assets for the quarter were 8.20% and 0.91%, respectively, compared to 7.64% and 0.80% for the same quarter last year [1] - The efficiency ratio improved to 61.8% [1] Income Statement Highlights - Interest income for the quarter was $170.7 million, with net interest income at$114.2 million, reflecting a 2.6% increase from the prior quarter [7] - The net interest margin expanded to 3.42%, up from 3.33% in the previous quarter [7] - Noninterest income increased to $40.1 million, a 43.9$16.6 million, significantly higher than $4.9 million in the prior quarter, driven by elevated charge-offs [10][11] - Net charge-offs to average loans, annualized, were 0.87$47 million from the previous year, while average deposits grew by $232 million [8] - Total assets as of December 31, 2024, were$14.4 billion, with total liabilities at $12.8 billion [23] Strategic Initiatives - The company is focusing on commercial banking and deposit growth, which has led to an increase in average commercial and industrial loans [4] - The acquisition of Penns Woods Bancorp is part of the long-term growth strategy to enhance market presence [5]