Civista Bancshares ( (CIVB) ) has realeased its Q3 earnings. Here is a breakdown of the information Civista Bancshares presented to its investors.
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Civista Bancshares, Inc., headquartered in Sandusky, Ohio, operates as a financial holding company providing comprehensive banking and financial services through its primary subsidiary, Civista Bank, across Ohio, Indiana, and Kentucky, with a distinct focus on commercial equipment leasing nationwide.
In the third quarter of 2024, Civista Bancshares reported a net income of $8.4 million, or $0.53 per diluted share, marking a decrease from $10.4 million, or $0.66 per share, in the same period of 2023. Year-to-date, the company reported a net income of $21.8 million, down from $33.3 million for the same nine-month period in 2023. Despite challenges in non-interest income, Civista managed to increase its deposits by $246 million, reflecting strategic initiatives in deposit pricing and core funding alignment.
Key financial metrics showed that net interest income increased by $1.5 million compared to the second quarter of 2024, due to a rise in interest-earning assets and asset yield. However, net interest income decreased by $2.3 million compared to the same quarter last year, due to increased interest expenses. Noninterest income for the quarter rose by 19.2% compared to the previous year, driven by gains in loan sales and wealth management fees, despite a decrease in service charges and other income streams.
As of September 30, 2024, Civista’s total assets rose to $4.1 billion, with a notable increase in residential real estate loans and deposits. The company maintained a stable credit quality, with an allowance for credit losses ratio of 1.36%. The efficiency ratio increased to 70.2% for the quarter, indicating higher noninterest expenses relative to income.
Looking ahead, Civista’s management remains optimistic about finishing 2024 on a positive note, supported by its strong credit quality, strategic deposit initiatives, and focus on meeting the growing demands for housing and construction financing. The company aims to continue aligning its lending and funding strategies to bolster its financial performance.
