Peoples Bancorp of North Carolina (PEBK) Q4 2024 earnings summary

Executive summary

• Net earnings for Q4 2024 were $3.6 million ($0.67 per share), up from $3.4 million ($0.64 per share) in Q4 2023; full year 2024 net earnings were $16.4 million ($3.08 per share), up from $15.5 million ($2.87 per share) in 2023.

• Growth in net earnings attributed to higher net interest income, lower provision for credit losses, and increased non-interest income, partially offset by higher non-interest expense.

Financial highlights

• Net interest margin for Q4 2024 was 3.39%, up from 3.32% in Q4 2023; full year 2024 margin was 3.36%, down from 3.51% in 2023.

• Total loans at year-end 2024 were $1.14 billion, up from $1.09 billion at year-end 2023; total deposits rose to $1.48 billion from $1.39 billion.

• Non-performing assets increased to $4.8 million (0.29% of assets) at year-end 2024 from $3.9 million (0.24%) at year-end 2023.

• Allowance for credit losses on loans was $10.0 million (0.88% of loans) at year-end 2024, down from $11.0 million (1.01%) at year-end 2023.

• Book value per share increased to $24.64 at December 31, 2024, from $22.53 a year earlier.

Outlook and guidance

• Management expects minimal losses from Hurricane Helene and believes the current allowance for credit losses is adequate, but notes potential for adjustments due to economic or regulatory changes.

• Forward-looking statements highlight risks from competition, interest rate changes, economic conditions, and regulatory shifts.