Sound Financial Bancorp, Inc. Q4 2024 Results

Financial Performance - The company reported net income of $1.9 million for Q4 2024, an increase from$ 1.2 million in Q3 2024 and $1.2 million in Q4 2023, resulting in diluted earnings per share of$ 0.74 [1][11] - Net interest income increased by $347 thousand, or 4.4%, to$ 8.2 million for Q4 2024 compared to Q3 2024, and increased by $653 thousand, or 8.6%, from Q4 2023 [11][12] - Total noninterest income decreased by$ 75 thousand, or 6.1%, to $1.2 million for Q4 2024 compared to Q3 2024, but increased by$ 94 thousand, or 8.8%, compared to Q4 2023 [19] Balance Sheet and Capital Management - Total assets decreased by $107.3 million, or 9.7%, to$ 993.6 million at December 31, 2024, from $1.10 billion at September 30, 2024 [6][21] - Total deposits decreased by$ 92.4 million, or 9.9%, to $837.8 million at December 31, 2024, compared to$ 930.2 million at September 30, 2024 [6][30] - Stockholders' equity increased by $1.4 million, or 1.4%, to$ 103.7 million at December 31, 2024, from $102.2 million at September 30, 2024 [30] Loan and Credit Quality - Loans held-for-portfolio decreased by$ 1.6 million, or 0.2%, to $900.2 million at December 31, 2024, compared to$ 901.7 million at September 30, 2024 [24] - Nonperforming loans decreased by $998 thousand, or 11.8%, to$ 7.5 million at December 31, 2024, from $8.5 million at September 30, 2024 [8][25] - The allowance for credit losses on loans to total loans outstanding was 0.94% at December 31, 2024, compared to 0.95% at September 30, 2024 [26] Operational Efficiency - The company achieved a 15-basis-point increase in net interest margin (NIM) to 3.13% for Q4 2024, primarily due to reduced deposit costs [3][17] - Total noninterest expense decreased by$ 621 thousand, or 8.1%, to $7.1 million for Q4 2024 compared to Q3 2024 [20] - The company maintained capital levels in excess of regulatory requirements and was categorized as "well-capitalized" at December 31, 2024 [10]