Republic Bancorp, Inc. has reported a strong performance in the third quarter of 2024, with a net income of $26.5 million, marking a significant 23% increase over the third quarter of 2023. The company's year-to-date net income was $82.4 million, reflecting an increase of $11.6 million, or 16%, from the same period in 2023.
The return on average assets (ROA) for the first nine months of 2024 was reported at 1.60%, compared to 1.51% for the same period in 2023, indicating a 6% increase. Similarly, the return on average equity (ROE) for the first nine months of 2024 was 11.53%, up from 10.58% in 2023, representing a 9% increase.
The core bank's net income saw a substantial increase of 30%, reaching $17.2 million for the third quarter of 2024 compared to $13.2 million for the third quarter of 2023. The net interest income for the core bank also experienced a notable 9% increase, rising to $54.6 million for the third quarter of 2024 from $50.0 million in the third quarter of 2023.
Republic Bancorp's total company financial performance highlights for the three months ended September 30, 2024, compared to the same period in 2023, reveal an increase of $6.8 million, or 25%, in income before income tax expense, and a 23% increase in net income, amounting to $26.5 million for the third quarter of 2024.
The company's balance sheet demonstrated positive trends, with deposits growing by $33 million and a prudent increase in the loan portfolio by $46 million in warehouse lending and $9 million in Republic Credit Solutions during the quarter. The total company loan-to-deposit ratio reduced to 104% as of September 30, 2024, compared to 106% as of September 30, 2023, indicating an improvement in flexibility for strategic decisions.
Moreover, noninterest income for the core bank rose by $1.1 million, reaching $11.1 million for the third quarter of 2024, compared to $10.0 million in the third quarter of 2023.
The core bank's net interest margin (NIM) experienced a positive shift, increasing from 3.43% during the third quarter of 2023 to 3.53% during the third quarter of 2024, marking the first rise in the NIM since the second quarter of 2023. The growth in net interest income was attributed to period-over-period growth in average interest-earning assets and a higher NIM.
The market has reacted to these announcements by moving the company's shares 2.0% to a price of $69.1. If you want to know more, read the company's complete 8-K report here.
