German American Bancorp, Inc. has reported strong fourth-quarter 2024 earnings of $23.2 million, marking an increase of $2.2 million or approximately 10% on a per share basis from the 2024 third quarter. The company's annual earnings for the year ended December 31, 2024, stood at $83.8 million, reflecting a return on average shareholders' equity of 12.2%.
In the fourth quarter of 2024, the company's net interest income increased by $2.4 million, or 5%, over the linked third quarter, with a net interest margin of 3.54%, reflecting a 7 basis point expansion. Total deposits increased by $57.8 million, or 4%, on an annualized linked quarter basis, and total loans increased by $63.9 million, or 6%, during the same period.
Non-interest income was up 2%, driven mostly by a 3% increase in wealth management fees. Non-interest expense declined by $287,000, or 1%, compared to the third quarter of 2024.
However, the company's reported annual earnings for 2024 represented a decrease of $2.1 million, or approximately 3% on a per share basis, from the prior year's 2023 earnings level.
The company has declared a 7.4% increase to its quarterly cash dividend, marking the 13th consecutive year of increased cash dividends.
At December 31, 2024, the company's total assets totaled $6.296 billion, representing an increase of $35.0 million compared with September 30, 2024, and an increase of $143.7 million compared with December 31, 2023.
Total loans at December 31, 2024, increased by $63.9 million, or 6% on an annualized basis, compared with September 30, 2024, and by $155.4 million, or 4%, compared with December 31, 2023.
The company's allowance for credit losses, total non-performing assets, and non-performing loans all demonstrated relatively stable figures over the periods mentioned.
The capital levels for the company and its subsidiary bank remained well in excess of the minimum amounts needed for capital adequacy purposes, meeting the necessary requirements to be considered well-capitalized.
Net interest income for the year ended December 31, 2024, totaled $190,591,000, which was relatively stable compared to the year ended December 31, 2023. The tax equivalent net interest margin for the year ended December 31, 2024, was 3.43% compared with 3.58% for the year ended December 31, 2023. Following these announcements, the company's shares moved 1.8%, and are now trading at a price of $40.67. For the full picture, make sure to review German American Bancorp's 8-K report.
