SmartFinancial, Inc. has recently released its 10-Q report, providing a detailed look at the company's financial performance and operations. SmartFinancial operates as the bank holding company for SmartBank, offering various financial services to individuals and corporate customers in Tennessee, Alabama, and Florida. The company's primary deposit products include noninterest-bearing and interest-bearing checking, savings, money market, time deposit, individual retirement accounts, and certificates of deposit. It also provides a range of lending products, including commercial, residential, and consumer loans, as well as wealth management, insurance, mortgage origination, and internet and mobile banking services.
In its 10-Q report, SmartFinancial's management's discussion and analysis of financial condition and results of operations highlighted several key points. The company focuses on making loans secured primarily by commercial real estate and other types of secured and unsecured commercial loans to small and medium-sized businesses. SmartFinancial's principal sources of funds for loans and investing in securities are deposits and, to a lesser extent, borrowings. The company actively pursues business relationships by utilizing the business contacts of its senior management, other bank officers, and directors, capitalizing on its knowledge of local market areas.
The report also included a forward-looking statement, indicating potential risks and uncertainties that could impact the company's future performance. These risks include economic and market conditions, changes in interest rates, credit risk, competition, regulatory changes, and unexpected events such as natural disasters or cyber-attacks.
The executive summary of the report provided a snapshot of SmartFinancial's financial performance during the second quarter and first six months of 2024. Net income totaled $8.0 million for the second quarter of 2024, compared to $8.8 million for the same period in 2023. For the first six months of 2024, net income was $17.4 million, compared to $20.3 million for the same period in 2023. The annualized return on average assets for the three and six months ended June 30, 2024, decreased compared to the same periods in 2023. Net organic loan and lease increased year-to-date for 2024, with net loans and leases increasing by $130.1 million from December 31, 2023, and deposit growth of $48.8 million from the same period.
The selected financial information provided a detailed breakdown of the company's income statement and balance sheet for the three and six month periods ended June 30, 2024, and 2023. It highlighted changes in interest income, net interest income, provision for credit losses, noninterest income, noninterest expense, income before income taxes, income tax expense, and net income. Additionally, the report analyzed the performance ratios and balance sheet figures, including loans and leases, and deposits as of June 30, 2024, and December 31, 2023.
The analysis of results of operations compared the second quarter and first six months of 2024 to the same periods in 2023. It detailed the factors contributing to changes in net income, net interest margin, noninterest income, and noninterest expense, providing a comprehensive overview of SmartFinancial's financial performance. Today the company's shares have moved -1.1% to a price of $26.62. For the full picture, make sure to review SmartFinancial's 10-Q report.
