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MIL-OSI: Virtu Announces Fourth Quarter 2024 Results

Source: GlobeNewswire (MIL-OSI)

NEW YORK, Jan. 29, 2025 (GLOBE NEWSWIRE) — Virtu Financial, Inc. (NASDAQ: VIRT), a leading provider of financial services and products that leverages cutting edge technology to deliver innovative, transparent trading solutions to its clients and liquidity to the global markets, today reported results for the fourth quarter ended December 31, 2024.

Fourth Quarter and Full Year Selected Highlights

Fourth Quarter 2024:

Net income of $176.1 million; Normalized Adjusted Net Income¹ of $182.2 million
Basic and diluted earnings per share of $1.03; Normalized Adjusted EPS¹ of $1.14
Total revenues of $834.3 million; Trading income, net, of $544.0 million; Net income Margin of 21.1%²
- Adjusted Net Trading Income¹ of $457.7 million
Adjusted EBITDA¹ of $283.5 million; Adjusted EBITDA Margin¹ of 61.9%
Share buybacks of $57.1 million, or 1.7 million shares, under the Share Repurchase Program³

Full Year 2024:

Net income of $534.5 million; Normalized Adjusted Net Income¹ of $573.9 million
Basic and diluted earnings per share of $2.98 and $2.97, respectively; Normalized Adjusted EPS¹ of $3.55
Total revenues of $2,876.9 million; Trading income, net of $1,822.4 million; Net income Margin of 18.6%²
- Adjusted Net Trading Income¹ of $1,597.7 million
Adjusted EBITDA¹ of $918.7 million; Adjusted EBITDA Margin¹ of 57.5%
Share buybacks of $172.2 million, or 6.7 million shares, under the Share Repurchase Program³

The Virtu Financial, Inc. Board of Directors declared a quarterly cash dividend of $0.24 per share. This dividend is payable on March 17, 2025 to shareholders of record as of February 28, 2025.

_{Note 1: Non-GAAP financial measures. Please see “Non-GAAP Financial Measures and Other Items” for more information.}
_{Note 2: Calculated by dividing Net income by Total revenue}
_{Note 3: Shares repurchased calculated on a settlement date basis.}

Financial Results

Fourth Quarter 2024:

Total revenues increased 55.7% to $834.3 million for this quarter, compared to $536.0 million for the same period in 2023. Trading income, net, increased 104.0% to $544.0 million for the quarter compared to $266.6 million for the same period in 2023. Net income totaled $176.1 million for this quarter, compared to net income of $6.7 million in the prior year quarter.

Basic and diluted earnings per share for this quarter were $1.03, compared to basic and diluted earnings per share of $0.05 for the same period in 2023.

Adjusted Net Trading Income increased 75.4% to $457.7 million for this quarter, compared to $260.9 million for the same period in 2023. Adjusted EBITDA increased 186.4% to $283.5 million for this quarter, compared to $99.0 million for the same period in 2023. Normalized Adjusted Net Income, removing one-time and non-cash items, increased 313.5% to $182.2 million for this quarter, compared to $44.1 million for the same period in 2023.

Assuming all non-controlling interests had been exchanged for common stock, and the Company’s Normalized Adjusted Net Income before income taxes was subject to corporation taxes, Normalized Adjusted EPS was $1.14 for this quarter, compared to $0.27 for the same period in 2023.

Full Year 2024:

Total revenues increased 25.4% to $2,876.9 million for this year, compared to $2,293.4 million for 2023. Trading income, net, increased 40.0% to $1,822.4 million for this year, compared to $1,301.3 million for 2023. Net income totaled $534.5 million for this year, compared to net income of $263.9 million for 2023.

Basic and diluted earnings per share were $2.98 and $2.97, respectively, for 2024, compared to basic and diluted earnings per share of $1.42 for 2023.

Adjusted Net Trading Income increased 32.0% to $1,597.7 million for this year, compared to $1,210.7 million for 2023. Adjusted EBITDA increased 61.7% to $918.7 million for this year, compared to $568.0 million for 2023. Normalized Adjusted Net Income increased 86.3% to $573.9 million for this year, compared to $308.1 million for 2023.

Assuming all non-controlling interests had been exchanged for common stock, and the Company’s Normalized Adjusted Net Income before income taxes was subject to corporation taxes, Normalized Adjusted EPS was $3.55 for 2024, compared to $1.84 for 2023.

Operating Segment Information

The Company has two operating segments: Market Making and Execution Services; and one non-operating segment: Corporate.

Market Making principally consists of market making in the cash, futures and options markets across global equities, fixed income, currencies, cryptocurrencies, and commodities. As a market maker, the Company commits capital on a principal basis by offering to buy securities from, or sell securities to, broker dealers, banks and institutions.

Execution Services comprises agency-based trading and trading venues, offering execution services in global equities, options, futures and fixed income on behalf of institutions, banks and broker dealers. The Company also provides proprietary technology and infrastructure, workflow technology, and trading analytics services to select third parties. The segment also includes the results of the Company’s capital markets business, in which the Company acts as an agent for issuers in connection with at-the-market offerings and buyback programs.

Corporate contains the Company’s investments, principally in strategic trading-related opportunities, and maintains corporate overhead expenses.

The following tables show the trading income, net, total revenues and Adjusted Net Trading Income by segment for the three months and full years ended December 31, 2024 and 2023.

Total revenues by segment
(in thousands, unaudited)

	Three Months Ended December 31, 2024										Three Months Ended December 31, 2023
	Market Making		Execution Services			Corporate			Total		Market Making		Execution Services			Corporate		Total
Trading income, net	$	534,728	$	9,222		$	—		$	543,950	$	262,501	$	4,079		$	—	$	266,580
Commissions, net and technology services		13,173		127,277			—			140,450		6,894		107,481			—		114,375
Interest and dividends income		121,151		2,632			—			123,783		151,773		2,877			—		154,650
Other, net		37,594		(2,476	)		(9,016	)		26,102		833		(7,940	)		7,479		372
Total Revenues	$	706,646	$	136,655		$	(9,016	)	$	834,285	$	422,001	$	106,497		$	7,479	$	535,977


	Year Ended December 31, 2024										Year Ended December 31, 2023
	Market Making		Execution Services			Corporate			Total		Market Making		Execution Services			Corporate		Total
Trading income, net	$	1,798,942	$	23,495		$	—		$	1,822,437	$	1,283,680	$	17,664		$	—	$	1,301,344
Commissions, net and technology services		42,376		474,407			—			516,783		29,571		426,027			—		455,598
Interest and dividends income		451,329		10,741			—			462,070		451,859		10,707			—		462,566
Other, net		81,449		(1,413	)		(4,377	)		75,659		78,413		(7,856	)		3,308		73,865
Total Revenues	$	2,374,096	$	507,230		$	(4,377	)	$	2,876,949	$	1,843,523	$	446,542		$	3,308	$	2,293,373

Reconciliation of trading income, net to Adjusted Net Trading Income by operating segment
(in thousands, unaudited)

	Three Months Ended December 31, 2024											Three Months Ended December 31, 2023
	Market Making			Execution Services			Corporate		Total			Market Making			Execution Services			Corporate		Total
Trading income, net	$	534,728		$	9,222		$	—	$	543,950		$	262,501		$	4,079		$	—	$	266,580
Commissions, net and technology services		13,173			127,277			—		140,450			6,894			107,481			—		114,375
Interest and dividends income		121,151			2,632			—		123,783			151,773			2,877			—		154,650
Brokerage, exchange, clearance fees and payments for order flow, net		(179,228	)		(27,867	)		—		(207,095	)		(96,740	)		(20,380	)		—		(117,120	)
Interest and dividends expense		(141,958	)		(1,428	)		—		(143,386	)		(156,941	)		(630	)		—		(157,571	)
Adjusted Net Trading Income	$	347,866		$	109,836		$	—	$	457,702		$	167,487		$	93,427		$	—	$	260,914

	Year Ended December 31, 2024											Year Ended December 31, 2023
	Market Making			Execution Services			Corporate		Total			Market Making			Execution Services			Corporate		Total
Trading income, net	$	1,798,942		$	23,495		$	—	$	1,822,437		$	1,283,680		$	17,664		$	—	$	1,301,344
Commissions, net and technology services		42,376			474,407			—		516,783			29,571			426,027			—		455,598
Interest and dividends income		451,329			10,741			—		462,070			451,859			10,707			—		462,566
Brokerage, exchange, clearance fees and payments for order flow, net		(573,382	)		(101,044	)		—		(674,426	)		(420,608	)		(87,750	)		—		(508,358	)
Interest and dividends expense		(524,158	)		(5,019	)		—		(529,177	)		(497,895	)		(2,572	)		—		(500,467	)
Adjusted Net Trading Income	$	1,195,107		$	402,580		$	—	$	1,597,687		$	846,607		$	364,076		$	—	$	1,210,683

Financial Condition

As of December 31, 2024, Virtu had $914.0 million in cash, cash equivalents and restricted cash, and total long-term debt outstanding in an aggregate principal amount of $1,767.3 million.

Share Repurchase Program

Since inception of the program in November 2020 through settlement date January 27, 2025, the Company repurchased approximately 50.7 million shares of Class A Common Stock and Virtu Financial Units for approximately $1,296.2 million. The Company has approximately $423.8 million remaining capacity for future purchases of shares of Class A Common Stock and Virtu Financial Units under the program.

Earnings Conference Call Information

Virtu Financial will host a conference call to review its fourth quarter 2024 financial performance today, January 29th, at 8:30 a.m. ET. Members of the public may listen to the conference call through an audio webcast through the Investor Relations section of the firm’s website ir.virtu.com/investor-relations.

Website Information

We routinely post important information for investors on the Investor Relations section of our website, ir.virtu.com/investor-relations and also from time to time may use social media channels, including our X account (x.com/virtufinancial) and our LinkedIn account (linkedin.com/company/virtu-financial), as an additional means of disclosing public information to investors, the media and others interested in us. It is possible that certain information we post on our website and on social media could be deemed to be material information, and we encourage investors, the media and others interested in us to review the business and financial information we post on our website and on the social media channels identified above, in addition to following our press releases, SEC filings, public conference calls, presentations and webcasts. The information contained on, or that may be accessed through, our website and our social media channels is not incorporated by reference into, and is not a part of, this document.

Non-GAAP Financial Measures and Other Items

To supplement our unaudited condensed consolidated financial statements presented in accordance with generally accepted accounting principles (“GAAP”), we use the following non-GAAP measures of financial performance:

“Adjusted Net Trading Income”, which is the amount of revenue we generate from our market making activities, or trading income, net, plus commissions, net and technology services, plus interest and dividends income and expense, net, less direct costs associated with those revenues, including brokerage, exchange, clearance fees and payments for order flow, net. Management believes that this measurement is useful for comparing general operating performance from period to period. Although we use Adjusted Net Trading Income as a financial measure to assess the performance of our business, the use of Adjusted Net Trading Income is limited because it does not include certain material costs that are necessary to operate our business. Our presentation of Adjusted Net Trading Income should not be construed as an indication that our future results will be unaffected by revenues or expenses that are not directly associated with our core business activities.

“EBITDA”, which measures our operating performance by adjusting Net Income to exclude Financing interest expense on long-term borrowings, Debt issue cost related to debt refinancing, prepayment, and commitment fees, Depreciation and amortization, Amortization of purchased intangibles and acquired capitalized software, and Income tax expense, and “Adjusted EBITDA”, which measures our operating performance by further adjusting EBITDA to exclude severance, transaction advisory fees and expenses, termination of office leases, charges related to share-based compensation and other expenses, which includes reserves for legal matters, and Other, net, which includes gains and losses from strategic investments and the sales of businesses.

“Normalized Adjusted Net Income”, “Normalized Adjusted Net Income before income taxes”, “Normalized provision for income taxes”, and “Normalized Adjusted EPS”, which we calculate by adjusting Net Income to exclude certain items, and other non-cash items, assuming that all vested and unvested Virtu Financial Units have been exchanged for Class A Common Stock, and applying an effective tax rate, which was approximately 24%.

“Adjusted Operating Expenses”, which we calculate by adjusting total operating expenses to exclude severance, share based compensation, reserves for legal matters, termination of office leases, connectivity early termination and write-down of assets.

Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Normalized Adjusted Net Income, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes, and Normalized Adjusted EPS and Adjusted Operating Expenses are non-GAAP financial measures used by management in evaluating operating performance and in making strategic decisions. Additional information provided regarding the breakdown of Total Adjusted Net Trading Income by category is also a non-GAAP financial measure but is not used by the Company in evaluating operating performance and in making strategic decisions. In addition, these non-GAAP financial measures or similar non-GAAP measures are used by research analysts, investment bankers and lenders to assess our operating performance. Management believes that the presentation of Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Normalized Adjusted Net Income, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes and Normalized Adjusted EPS provide useful information to investors regarding our results of operations because they assist both investors and management in analyzing and benchmarking the performance and value of our business. Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Normalized Adjusted Net Income, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes and Normalized Adjusted EPS provide indicators of general economic performance that are not affected by fluctuations in certain costs or other items. Accordingly, management believes that these measurements are useful for comparing general operating performance from period to period. Furthermore, our credit agreement contains tests based on metrics similar to Adjusted EBITDA. Other companies may define Adjusted Net Trading Income, Adjusted EBITDA, Adjusted EBITDA Margin, Normalized Adjusted Net Income, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes and Normalized Adjusted EPS differently, and as a result our measures of Adjusted Net Trading Income, Adjusted EBITDA, Adjusted EBITDA Margin, Normalized Adjusted Net Income, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes and Normalized Adjusted EPS may not be directly comparable to those of other companies. Although we use these non-GAAP financial measures as financial measures to assess the performance of our business, such use is limited because they do not include certain material costs necessary to operate our business.

Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes, Normalized Adjusted Net Income and Normalized Adjusted EPS should be considered in addition to, and not as a substitute for, Net Income in accordance with U.S. GAAP as a measure of performance. Our presentation of Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin, Normalized Adjusted Net Income, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes and Normalized Adjusted EPS should not be construed as an indication that our future results will be unaffected by unusual or nonrecurring items. Adjusted Net Trading Income, Normalized Adjusted Net Income, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes, Normalized Adjusted EPS and our EBITDA-based measures have limitations as analytical tools, and you should not consider them in isolation or as substitutes for analysis of our results as reported under U.S. GAAP. Some of these limitations are:

they do not reflect every cash expenditure, future requirements for capital expenditures or contractual commitments;
our EBITDA-based measures do not reflect the significant interest expense or the cash requirements necessary to service interest or principal payment on our debt;
although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced or require improvements in the future, and our EBITDA-based measures do not reflect any cash requirement for such replacements or improvements;
they are not adjusted for all non-cash income or expense items that are reflected in our statements of cash flows;
they do not reflect the impact of earnings or charges resulting from matters we consider not to be indicative of our ongoing operations; and
they do not reflect limitations on our costs related to transferring earnings from our subsidiaries to us.

Because of these limitations, Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes, Normalized Adjusted Net Income and Normalized Adjusted EPS are not intended as alternatives to Net Income as indicators of our operating performance and should not be considered as measures of discretionary cash available to us to invest in the growth of our business or as measures of cash that will be available to us to meet our obligations. We compensate for these limitations by using Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes, Normalized Adjusted Net Income and Normalized Adjusted EPS along with other comparative tools, together with U.S. GAAP measurements, to assist in the evaluation of operating performance. These U.S. GAAP measurements include Net Income, cash flows from operations and cash flow data. See below a reconciliation of each non-GAAP measure to the most directly comparable GAAP measure.

Virtu Financial, Inc. and Subsidiaries
Condensed Consolidated Statements of Comprehensive Income (Unaudited)

	Three Months Ended December 31,						Year Ended December 31,
(in thousands, except share and per share data)		2024			2023			2024			2023

Revenues:
Trading income, net	$	543,950		$	266,580		$	1,822,437		$	1,301,344
Interest and dividends income		123,783			154,650			462,070			462,566
Commissions, net and technology services		140,450			114,375			516,783			455,598
Other, net		26,102			372			75,659			73,865
Total revenues		834,285			535,977			2,876,949			2,293,373

Operating Expenses:
Brokerage, exchange, clearance fees and payments for order flow, net		207,095			117,120			674,426			508,358
Communication and data processing		59,336			59,923			236,446			230,760
Employee compensation and payroll taxes		120,638			97,825			434,823			394,039
Interest and dividends expense		143,386			157,571			529,177			500,467
Operations and administrative		27,656			26,768			97,002			98,972
Depreciation and amortization		17,176			16,230			65,816			63,306
Amortization of purchased intangibles and acquired capitalized software		11,783			15,953			50,471			63,960
Termination of office leases		16,174			141			16,224			455
Debt issue cost related to debt refinancing, prepayment and commitment fees		1,739			2,573			29,479			8,317
Transaction advisory fees and expenses		49			284			313			314
Financing interest expense on long-term borrowings		26,648			24,795			97,802			99,294
Total operating expenses		631,680			519,183			2,231,979			1,968,242

Income before income taxes and noncontrolling interest		202,605			16,794			644,970			325,131
Provision for income taxes		26,518			10,093			110,435			61,210
Net income	$	176,087		$	6,701		$	534,535		$	263,921

Noncontrolling interest		(82,027	)		(1,163	)		(258,120	)		(121,885	)

Net income available for common stockholders	$	94,060		$	5,538		$	276,415		$	142,036

Earnings per share:
Basic	$	1.03		$	0.05		$	2.98		$	1.42
Diluted	$	1.03		$	0.05		$	2.97		$	1.42

Weighted average common shares outstanding
Basic		85,662,686			90,217,295			87,482,162			94,076,165
Diluted		86,066,968			90,217,295			87,821,576			94,076,165

Comprehensive income:
Net income	$	176,087		$	6,701		$	534,535		$	263,921
Other comprehensive income
Foreign exchange translation adjustment, net of taxes		(12,793	)		4,787			(9,048	)		4,957
Net change in unrealized cash flow hedges gain (loss), net of taxes		(1,320	)		(24,381	)		(32,251	)		(36,993	)
Comprehensive income	$	161,974		$	(12,893	)	$	493,236		$	231,885
Less: Comprehensive income attributable to noncontrolling interest		(75,941	)		11,151			(240,931	)		(104,406	)
Comprehensive income available for common stockholders	$	86,033		$	(1,742	)	$	252,305		$	127,479

Virtu Financial, Inc. and Subsidiaries
Reconciliation to Non-GAAP Operating Data (Unaudited)

The following tables reconcile Condensed Consolidated Statements of Comprehensive Income to arrive at Adjusted Net Trading Income, EBITDA, Adjusted EBITDA, and selected Operating Margins.

	Three Months Ended December 31,						Year Ended December 31,
(in thousands, except percentages)		2024			2023			2024			2023

Reconciliation of Trading income, net to Adjusted Net Trading Income
Trading income, net	$	543,950		$	266,580		$	1,822,437		$	1,301,344
Commissions, net and technology services		140,450			114,375			516,783			455,598
Interest and dividends income		123,783			154,650			462,070			462,566
Brokerage, exchange, clearance fees and payments for order flow, net		(207,095	)		(117,120	)		(674,426	)		(508,358	)
Interest and dividends expense		(143,386	)		(157,571	)		(529,177	)		(500,467	)
Adjusted Net Trading Income	$	457,702		$	260,914		$	1,597,687		$	1,210,683

Reconciliation of Net Income to EBITDA and Adjusted EBITDA
Net income		176,087			6,701			534,535			263,921
Financing interest expense on long-term borrowings		26,648			24,795			97,802			99,294
Debt issue cost related to debt refinancing, prepayment and commitment fees		1,739			2,573			29,479			8,317
Depreciation and amortization		17,176			16,230			65,816			63,306
Amortization of purchased intangibles and acquired capitalized software		11,783			15,953			50,471			63,960
Provision for income taxes		26,518			10,093			110,435			61,210
EBITDA	$	259,951		$	76,345		$	888,538		$	560,008
Severance		4,279			3,537			7,930			8,793
Transaction advisory fees and expenses		49			284			313			314
Termination of office leases		16,174			141			16,224			455
Other		(21,461	)		1,860			(69,795	)		(65,536	)
Share based compensation		24,534			16,825			75,475			63,933
Adjusted EBITDA	$	283,526		$	98,992		$	918,685		$	567,967

Selected Operating Margins
GAAP Net income Margin (1)		21.1	%		1.3	%		18.6	%		11.5	%
Non-GAAP Net income Margin (2)		38.5	%		2.6	%		33.5	%		21.8	%
EBITDA Margin (3)		56.8	%		29.3	%		55.6	%		46.3	%
Adjusted EBITDA Margin (4)		61.9	%		37.9	%		57.5	%		46.9	%

1 Calculated by dividing Net income by Total revenue.
2 Calculated by dividing Net income by Adjusted Net Trading Income.
3 Calculated by dividing EBITDA by Adjusted Net Trading Income.
4 Calculated by dividing Adjusted EBITDA by Adjusted Net Trading Income.

Virtu Financial, Inc. and Subsidiaries
Reconciliation to Non-GAAP Operating Data (Unaudited)
(Continued)

The following tables reconcile Condensed Consolidated Statements of Comprehensive Income to arrive at Normalized Adjusted Net Income before income taxes, Normalized provision for income taxes, Normalized Adjusted Net Income and Normalized Adjusted EPS.

	Three Months Ended December 31,					Year Ended December 31,
(in thousands, except share and per share data)		2024			2023		2024			2023

Reconciliation of Net Income to Normalized Adjusted Net Income
Net income	$	176,087		$	6,701	$	534,535		$	263,921
Provision for income taxes		26,518			10,093		110,435			61,210
Income before income taxes and noncontrolling interest	$	202,605		$	16,794	$	644,970		$	325,131
Amortization of purchased intangibles and acquired capitalized software		11,783			15,953		50,471			63,960
Debt issue cost related to debt refinancing, prepayment and commitment fees		1,739			2,573		29,479			8,317
Severance		4,279			3,537		7,930			8,793
Transaction advisory fees and expenses		49			284		313			314
Termination of office leases		16,174			141		16,224			455
Other		(21,461	)		1,860		(69,795	)		(65,536	)
Share based compensation		24,534			16,825		75,475			63,933
Normalized Adjusted Net Income before income taxes	$	239,702		$	57,967	$	755,067		$	405,367
Normalized provision for income taxes (1)		57,529			13,912		181,217			97,286
Normalized Adjusted Net Income	$	182,173		$	44,055	$	573,850		$	308,081

Weighted Average Adjusted shares outstanding (2)		160,183,679			163,869,845		161,845,371			167,782,513

Normalized Adjusted EPS	$	1.14		$	0.27	$	3.55		$	1.84

(1) Reflects U.S. federal, state, and local income tax rate applicable to corporations of approximately 24% for all periods presented.
(2) Assumes that (1) holders of all vested and unvested non-vesting Virtu Financial Units (together with corresponding shares of the Company’s Class C common stock, par value $0.00001 per share (the “Class C Common Stock”)) have exercised their right to exchange such Virtu Financial Units for shares of Class A Common Stock on a one-for-one basis, (2) holders of all Virtu Financial Units (together with corresponding shares of the Company’s Class D common stock, par value $0.00001 per share (the “Class D Common Stock”)) have exercised their right to exchange such Virtu Financial Units for shares of the Company’s Class B common stock, par value $0.00001 per share (the “Class B Common Stock”) on a one-for-one basis, and subsequently exercised their right to convert the shares of Class B Common Stock into shares of Class A Common Stock on a one-for-one basis. Includes additional shares from the dilutive impact of options, restricted stock units and restricted stock awards outstanding under the Amended and Restated 2015 Management Incentive Plan during the three months and full years ended December 31, 2024 and 2023.

Virtu Financial, Inc. and Subsidiaries
Condensed Consolidated Statements of Financial Condition (Unaudited)

(in thousands, except share data)	December 31, 2024		December 31, 2023

Assets
Cash and cash equivalents	$	872,513	$	820,436
Cash and securities segregated under regulations and other		41,478		35,024
Securities borrowed		2,294,529		1,722,440
Securities purchased under agreements to resell		983,941		1,512,114
Receivables from broker-dealers and clearing organizations		1,054,378		737,724
Receivables from customers		149,804		106,245
Trading assets, at fair value		7,802,652		7,358,611
Property, equipment and capitalized software, net		91,415		100,365
Operating lease right-of-use assets		175,046		229,499
Goodwill		1,148,926		1,148,926
Intangibles (net of accumulated amortization)		203,188		257,520
Deferred taxes		135,046		133,760
Assets of business held for sale		4,615		—
Other assets		386,811		303,720
Total assets		15,344,342		14,466,384

Liabilities and equity
Liabilities
Short-term borrowings, net		38,541		—
Securities loaned		2,431,878		1,329,446
Securities sold under agreements to repurchase		1,271,788		1,795,994
Payables to broker-dealers and clearing organizations		901,165		1,167,712
Payables to customers		46,112		23,229
Trading liabilities, at fair value		6,440,971		6,071,352
Tax receivable agreement obligations		196,592		216,480
Accounts payable and accrued expenses and other liabilities		558,100		451,293
Operating lease liabilities		229,825		278,317
Long-term borrowings, net		1,740,467		1,727,205
Liabilities of business held for sale		1,526		—
Total liabilities		13,856,965		13,061,028

Total equity		1,487,377		1,405,356

Total liabilities and equity	$	15,344,342	$	14,466,384

	As of December 31, 2024
Ownership of Virtu Financial LLC Interests:	Interests		%
Virtu Financial, Inc. – Class A Common Stock and Restricted Stock Units		90,540,857		56.9	%
Non-controlling Interests (Virtu Financial LLC)		68,653,710		43.1	%
Total Virtu Financial LLC Interests		159,194,567		100.0	%

About Virtu Financial, Inc.

Virtu is a leading financial services firm that leverages cutting-edge technology to provide execution services and data, analytics and connectivity products to its clients and deliver liquidity to the global markets. Leveraging its global market making expertise and infrastructure, Virtu provides a robust product suite including offerings in execution, liquidity sourcing, analytics and broker-neutral, multi-dealer platforms in workflow technology. Virtu’s product offerings allow clients to trade on hundreds of venues across 50+ countries and in multiple asset classes, including global equities, ETFs, foreign exchange, futures, fixed income and myriad other commodities. In addition, Virtu’s integrated, multi-asset analytics platform provides a range of pre and post-trade services, data products and compliance tools that clients rely upon to invest, trade and manage risk across global markets.

Cautionary Note Regarding Forward-Looking Statements

This press release may contain “forward-looking statements” made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Statements regarding Virtu Financial, Inc.’s (“Virtu’s”, the “Company’s” or “our”) business that are not historical facts are forward-looking statements. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by which, such performance or results will be achieved. The Company assumes no obligation to update forward-looking statements to reflect actual results, changes in assumptions or changes in other factors affecting forward-looking information, and if the Company does update one or more forward-looking statements, no inference should be drawn that the Company will make additional updates with respect thereto or with respect to other forward-looking statements. Forward-looking statements are based on information available at the time and/or management’s good faith belief with respect to future events, and is subject to risks and uncertainties, some or all of which are not predictable or within Virtu’s control, that could cause actual performance or results to differ materially from those expressed in the statements. Those risks and uncertainties include, without limitation: risks relating to fluctuations in trading volume and volatilities in the markets in which we operate; the ability of our trading counterparties, clients, and various clearing houses to perform their obligations to us; the performance and reliability of our customized trading platform; the risk of material trading losses from our market making activities; swings in valuations in securities or other instruments in which we hold positions; increasing competition and consolidation in our industry; the risk that cash flow from our operations and other available sources of liquidity will not be sufficient to fund our various ongoing obligations, including operating expenses, short-term funding requirements, margin requirements, capital expenditures, debt service and dividend payments; potential consequences of pending SEC proposals by the prior administration focused on equity markets which may, if adopted, result in reduced overall and off-exchange trading volumes and market making opportunities, impose additional or heightened regulatory obligations on market makers and other market participants, and generally increase the implicit and explicit cost as well as the complexity of the U.S. equities eco-system for all participants; regulatory and legal uncertainties and potential changes associated with our industry, particularly in light of increased attention from media, regulators and lawmakers to market structure and related issues including but not limited to the retail trading environment, wholesale market making and off exchange trading more generally and payment for order flow arrangements; potential adverse results from legal or regulatory proceedings; our ability to remain technologically competitive and to ensure that the technology we utilize is not vulnerable to security risks, hacking and cyber-attacks; risks associated with third party software and technology infrastructure. For a discussion of the risks and uncertainties which could cause actual results to differ from those contained in forward-looking statements, see Virtu’s Securities and Exchange Commission filings, including but not limited to Virtu’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K filed with the SEC.

CONTACT

Investor & Media Relations
Andrew Smith
investor_relations@virtu.com
media@virtu.com

The MIL Network –

January 30, 2025

MIL-OSI: First Northwest Bancorp Reports Fourth Quarter 2024 Financial Results

Source: GlobeNewswire (MIL-OSI)

PORT ANGELES, Wash., Jan. 29, 2025 (GLOBE NEWSWIRE) — First Northwest Bancorp (Nasdaq: FNWB) (“First Northwest” or the “Company”) today reported a net loss of $2.8 million for the fourth quarter of 2024, compared to a net loss of $2.0 million for the third quarter of 2024 and a net loss of $5.5 million for the fourth quarter of 2023. Basic and diluted loss per share were $0.32 for the fourth quarter of 2024, compared to basic and diluted loss per share of $0.23 for the third quarter of 2024 and basic and diluted loss per share of $0.62 for the fourth quarter of 2023.

In the fourth quarter of 2024, the Company recorded adjusted pre-tax, pre-provision net revenue (“PPNR”)⁽¹⁾ of $1.2 million, compared to a $49,000 adjusted PPNR loss for the preceding quarter and adjusted PPNR of $327,000 for the fourth quarter of 2023.

The Board of Directors of First Northwest declared a quarterly cash dividend of $0.07 per common share, payable on February 28, 2025, to shareholders of record as of the close of business on February 14, 2025.

Quote from First Northwest President and CEO, Matthew P. Deines:
“Although financial results in 2024 were adversely impacted by elevated credit costs, we are optimistic for continued improvement in asset quality in early 2025. During the fourth quarter, our pre-provision net revenue⁽¹⁾ grew to $1.2 million with modest margin improvement as we successfully reduced FHLB borrowings. As we look ahead to 2025, we are laser focused on growing core commercial and retail customer relationships while resolving problem assets, improving profitability and maintaining our strong capital position. Highlights for 2024 include the termination of our compliance Consent Order with the FDIC, reduction of core operating expenses and improvement in our liquidity position with the loan to deposit ratio below 100% at year-end. I’d like to thank all our employees for their efforts and contributions in 2024, and for making a positive impact in the communities we serve.”

Key Points for Fourth Quarter and Going Forward

Provision for credit losses:

The Company recorded a $3.8 million provision for credit losses on loans in the fourth quarter of 2024, primarily due to charge-offs of six commercial business loans. This compares to loan credit loss provisions of $3.1 million for the preceding quarter and $1.2 million for the fourth quarter of 2023.
We believe the reserve on individually analyzed loans does not represent a universal decline in the collectability of all loans in the portfolio. We continue to work on resolution plans for all troubled borrowers. The provision for credit losses on loans had a significant negative impact on net income for the fourth quarter of 2024.

First Fed Bank’s (“First Fed” or the “Bank”) balance sheet restructure continues to have a positive impact:

The fair value hedge on loans, tied to the compounded overnight index swap using the secured overnight financing rate index, which was established in the first quarter of 2024, added $1.1 million to interest income for the year. The hedge successfully reduced the Bank’s liability sensitivity, and lowered the overall interest rate risk profile. The hedge also enhanced earnings due to a favorable contract position during the 2024 interest rate environment. The Bank expects to maintain a positive carry on its derivative for up to an additional 25-basis points of rate cuts.
During 2024, bank-owned life insurance policies (“BOLI”) were reinvested into higher yielding products. In the fourth quarter of 2024, a $8.5 million policy was surrendered and reinvested into a policy earning 6.01% and a $922,000 policy earning 1.64% was exchanged and reinvested into a policy earning 3.99%. Total policy conversions during 2024 increased the annual pre-tax net yield earned on the total BOLI portfolio by 74-basis points. The remaining surrender transaction is expected to be completed during the first quarter of 2025.
Investment security purchases during the fourth quarter of 2024 totaled $47.1 million, carrying a weighted-average yield of 6.7% at purchase and a weighted-average life of 3.1 years. The annualized interest income on these securities is anticipated to provide $2.6 million in revenue for 2025.

(1) See reconciliation of Non-GAAP Financial Measures later in this release.

Selected Quarterly Financial Ratios:

	As of or For the Quarter Ended
	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023
Performance ratios: ⁽¹⁾
Return on average assets		-0.51	%		-0.36	%		-0.40	%		0.07	%		-1.03	%
Adjusted PPNR return on average assets ⁽²⁾		0.22			-0.01			0.10			0.34			-0.06
Return on average equity		-6.92			-4.91			-5.47			0.98			-14.05
Net interest margin ⁽³⁾		2.73			2.70			2.76			2.76			2.84
Efficiency ratio ⁽⁴⁾		92.2			100.3			72.3			88.8			150.8
Equity to total assets		6.89			7.13			7.17			7.17			7.42
Book value per common share	$	16.45		$	17.17		$	16.81		$	17.00		$	16.99
Tangible performance ratios: ⁽¹⁾
Tangible common equity to tangible assets ⁽²⁾		6.83	%		7.06	%		7.10	%		7.10	%		7.35	%
Return on average tangible common equity ⁽²⁾		-6.99			-4.96			-5.53			0.99			-14.20
Tangible book value per common share ⁽²⁾	$	16.29		$	17.00		$	16.64		$	16.83		$	16.83
Capital ratios (First Fed): ⁽⁵⁾
Tier 1 leverage		9.4	%		9.4	%		9.4	%		9.7	%		9.9	%
Common equity Tier 1 capital		12.4			12.2			12.4			12.6			13.1
Total risk-based		13.6			13.4			13.5			13.6			14.1

(1	)	Performance ratios are annualized, where appropriate.
(2	)	See reconciliation of Non-GAAP Financial Measures later in this release.
(3	)	Net interest income divided by average interest-earning assets.
(4	)	Total noninterest expense as a percentage of net interest income and total other noninterest income.
(5	)	Current period capital ratios are preliminary and subject to finalization of the FDIC Call Report.

Adjusted Pre-tax, Pre-Provision Net Revenue ⁽¹⁾

Adjusted PPNR for the fourth quarter of 2024 increased $1.3 million to $1.2 million, compared to an adjusted PPNR loss of $49,000 for the preceding quarter, and increased $1.5 million from an adjusted PPNR $327,000 loss in the fourth quarter one year ago.

	For the Quarter Ended													For the Year Ended
(Dollars in thousands)	December 31, 2024		September 30, 2024			June 30, 2024			March 31, 2024		December 31, 2023			December 31, 2024			December 31, 2023
Net interest income	$	14,137	$	14,020		$	14,235		$	13,928	$	14,195		$	56,320		$	61,432
Total noninterest income		1,300		1,779			7,347			2,188		(2,929	)		12,614			4,020
Total revenue		15,437		15,799			21,582			16,116		11,266			68,934			65,452
Total noninterest expense		14,233		15,848			15,609			14,303		16,990			59,993			61,454
PPNR ⁽¹⁾		1,204		(49	)		5,973			1,813		(5,724	)		8,941			3,998
Selected nonrecurring adjustments to PPNR
Less: Net gain on sale of premises and equipment		—		—			7,919			—		—			7,919			—
Sale leaseback taxes and assessments included in occupancy and equipment		—		—			(359	)		—		—			(359	)		—
Net loss on sale of investment securities		—		—			(2,117	)		—		(5,397	)		(2,117	)		(5,397	)
Adjusted PPNR ⁽¹⁾	$	1,204	$	(49	)	$	530		$	1,813	$	(327	)	$	3,498		$	9,395

(1) See reconciliation of Non-GAAP Financial Measures later in this release.

Total interest income was relatively unchanged at $28.2 million for the fourth quarter of 2024, compared to the previous quarter, and increased $1.9 million compared to $26.3 million in the fourth quarter of 2023. Interest income decreased in the fourth quarter of 2024 primarily due to a decrease in the income earned on the securities derivative combined with lower FHLB dividends and reduced interest income received on Company deposit accounts. Higher yields on performing loans during the fourth quarter of 2024 were partially offset by nonaccrual interest adjustments totaling $46,000. Interest and fees on loans increased year-over-year as the loan portfolio grew. Loan yields increased over the prior year due to higher rates on new originations as well as the repricing of variable and adjustable-rate loans.
The net interest margin increased to 2.73% for the fourth quarter of 2024, from 2.70% for the prior quarter, and decreased 11-basis points from 2.84% for the fourth quarter of 2023. The Company reported reduced rates and declining volume of borrowings during the quarter which lowered costs; however, these savings were partially offset by an increase in cost due to a higher volume of customer deposits. The decrease in net interest margin from the same quarter one year ago is due to higher funding costs for deposits and borrowed funds.
Noninterest income included a $1.8 million write down on an equity investment in an organization that is involved in a lawsuit, partially offset by a $1.5 million BOLI death benefit payment received due to the passing of an employee.
Noninterest expense for the fourth quarter of 2024 decreased mainly due to a $1.2 million reduction in compensation related to nonrecurring payouts in the previous quarter combined with a reduced incentive accrual and lower headcount in the fourth quarter of 2024. FDIC assessment, state taxes, advertising and other discretionary spending also decreased from the previous quarter.

Allowance for Credit Losses on Loans (“ACLL”) and Credit Quality

The allowance for credit losses on loans (“ACLL”) decreased $1.5 million to $20.5 million at December 31, 2024, from $22.0 million at September 30, 2024. The ACLL as a percentage of total loans was 1.21% at December 31, 2024, a decrease from 1.27% at September 30, 2024, and an increase from 1.05% one year earlier. The pooled loan reserve decreased $1.5 million during the fourth quarter of 2024, primarily due to the decreases in multi-family, construction, and consumer loan balances combined with decreases resulting from lower loss factors applied to commercial business and commercial real estate loans, partially offset by higher loss factors applied to one-to-four family and other consumer loans.

Nonperforming loans totaled $30.5 million at December 31, 2024, an increase of $139,000 from September 30, 2024. ACLL to nonperforming loans decreased to 67% at December 31, 2024, from 72% at September 30, 2024, and 94% at December 31, 2023. This ratio continued to decline as higher balances of real estate loans are included in nonperforming assets with no significant corresponding increase to the ACLL as these collateral dependent loans were considered adequately reserved for based on information available at each period end.

Classified loans decreased $4.4 million to $42.5 million at December 31, 2024, from $46.9 million at September 30, 2024, primarily due to charge-offs totaling $3.9 million on six commercial business loans during the fourth quarter. An $11.4 million construction loan relationship, which became a classified loan in the fourth quarter of 2022; an $8.1 million commercial construction loan relationship, which became classified in the second quarter of 2024; and a $6.2 million commercial loan relationship, which became classified in the fourth quarter of 2023, account for 61% of the classified loan balance at December 31, 2024. The Bank has exercised legal remedies, including the appointment of a third-party receiver and foreclosure actions, to liquidate the underlying collateral to satisfy the real estate loans in two of these three collateral-dependent relationships. The Bank is also closely monitoring a group of commercial business loans that have similar collateral, with 15 loans totaling $2.2 million included in classified loans at December 31, 2024, and an additional eight loans totaling $2.8 million included in the special mention risk grading category.

	For the Quarter Ended
ACLL ($ in thousands)	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023
Balance at beginning of period	$	21,970		$	19,343		$	17,958		$	17,510		$	16,945
Charge-offs:
Construction and land		(411	)		—			(3,978	)		—			—
Home equity		—			—			—			—			1
Auto and other consumer		(364	)		(492	)		(832	)		(806	)		(655	)
Commercial business		(4,596	)		(24	)		(2,643	)		(33	)		—
Total charge-offs		(5,371	)		(516	)		(7,453	)		(839	)		(654	)
Recoveries:
One-to-four family		—			42			—			2			5
Commercial real estate		2			—			—			—			—
Home equity		—			—			—			—			10
Auto and other consumer		52			24			198			46			42
Commercial business		36			—			—			—			—
Total recoveries		90			66			198			48			57
Net loan charge-offs		(5,281	)		(450	)		(7,255	)		(791	)		(597	)
Provision for credit losses		3,760			3,077			8,640			1,239			1,162
Balance at end of period	$	20,449		$	21,970		$	19,343		$	17,958		$	17,510

Average total loans		1,708,232			1,718,402			1,717,830			1,678,656			1,645,418
Annualized net charge-offs to average outstanding loans		1.23	%		0.10	%		1.70	%		0.19	%		0.14	%

Asset Quality ($ in thousands)	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023
Nonaccrual loans:
One-to-four family	$	1,477		$	1,631		$	1,750		$	1,237		$	1,844
Multi-family		—			—			708			708			—
Commercial real estate		5,598			5,634			14			22			28
Construction and land		19,544			19,382			19,292			14,440			14,986
Home equity		55			116			118			121			123
Auto and other consumer		700			894			746			1,012			786
Commercial business		3,141			2,719			1,003			1,941			877
Total nonaccrual loans		30,515			30,376			23,631			19,481			18,644
Other real estate owned		—			—			—			—			—
Total nonperforming assets	$	30,515		$	30,376		$	23,631		$	19,481		$	18,644

Nonaccrual loans as a % of total loans ⁽¹⁾		1.80	%		1.75	%		1.39	%		1.14	%		1.12	%
Nonperforming assets as a % of total assets ⁽²⁾		1.37			1.35			1.07			0.87			0.85
ACLL as a % of total loans		1.21			1.27			1.14			1.05			1.05
ACLL as a % of nonaccrual loans		67.01			72.33			81.85			92.18			93.92
Total past due loans to total loans		1.98			1.92			1.45			1.91			0.94

(1	)	Nonperforming loans consists of nonaccruing loans and accruing loans more than 90 days past due.
(2	)	Nonperforming assets consists of nonperforming loans (which include nonaccruing loans and accruing loans more than 90 days past due), real estate owned and repossessed assets.

Financial Condition and Capital

Investment securities increased $29.5 million, or 9.5%, to $340.3 million at December 31, 2024, compared to $310.9 million three months earlier, and increased $44.7 million compared to $295.6 million at December 31, 2023. The market value of the portfolio decreased $5.8 million during the fourth quarter of 2024. The estimated average life of the securities portfolio was approximately 6.9 years at December 31, 2024, 7.4 years at the prior quarter end and 7.7 years at the end of the fourth quarter of 2023. The effective duration of the portfolio was approximately 3.9 years at December 31, 2024, compared to 3.9 years at the prior quarter end and 4.8 years at the end of the fourth quarter of 2023. Investment purchases at the beginning of 2024 were primarily floating rate securities to take advantage of higher short-term rates above those offered on cash at that time and to reduce our liability sensitivity. Purchases in the fourth quarter were primarily fixed to rebalance our securities portfolio position for 2025.

Investment Securities ($ in thousands)	December 31, 2024		September 30, 2024		December 31, 2023		Three Month % Change		One Year % Change
Available for Sale at Fair Value
Municipal bonds	$	77,876	$	81,363	$	87,761	-4.3	%	-11.3	%
U.S. government agency issued asset-backed securities (ABS agency)		12,876		13,296		11,782	-3.2		9.3
Corporate issued asset-backed securities (ABS corporate)		16,122		16,391		5,286	-1.6		205.0
Corporate issued debt securities (Corporate debt)		54,491		54,058		51,454	0.8		5.9
U.S. Small Business Administration securities (SBA)		8,666		9,317		—	-7.0		100.0
Mortgage-backed securities:
U.S. government agency issued mortgage-backed securities (MBS agency)		98,697		78,549		63,247	25.7		56.1
Non-agency issued mortgage-backed securities (MBS non-agency)		71,616		57,886		76,093	23.7		-5.9
Total securities available for sale	$	340,344	$	310,860	$	295,623	9.5		15.1

Net loans, excluding loans held for sale, decreased $39.2 million, or 2.3%, to $1.68 billion at December 31, 2024, from $1.71 billion at September 30, 2024, and increased $32.7 million, or 2.0%, from $1.64 billion one year prior. Construction loans that converted into fully amortizing loans during the quarter totaled $18.3 million. Loan payoffs of $73.9 million, regular payments of $35.3 million and charge-offs totaling $5.3 million outpaced new loan funding totaling $55.6 million and draws on existing loans totaling $19.7 million.

Loans ($ in thousands)	December 31, 2024		September 30, 2024			December 31, 2023		Three Month % Change		One Year % Change
Real Estate:
One-to-four family	$	395,315	$	395,792		$	378,432	-0.1	%	4.5	%
Multi-family		332,596		353,813			333,094	-6.0		-0.1
Commercial real estate		390,379		376,008			387,983	3.8		0.6
Construction and land		78,110		95,709			129,691	-18.4		-39.8
Total real estate loans		1,196,400		1,221,322			1,229,200	-2.0		-2.7
Consumer:
Home equity		79,054		76,960			69,403	2.7		13.9
Auto and other consumer		268,876		281,198			249,130	-4.4		7.9
Total consumer loans		347,930		358,158			318,533	-2.9		9.2
Commercial business		151,493		155,327			112,295	-2.5		34.9
Total loans receivable		1,695,823		1,734,807			1,660,028	-2.2		2.2
Less:
Derivative basis adjustment		188		(1,579	)		—	111.9		100.0
Allowance for credit losses on loans		20,449		21,970			17,510	-6.9		16.8
Total loans receivable, net	$	1,675,186	$	1,714,416		$	1,642,518	-2.3		2.0

Total deposits decreased $23.6 million to $1.69 billion at December 31, 2024, compared to $1.71 billion at September 30, 2024, and increased $11.1 million, or 0.7%, compared to $1.68 billion one year ago. During the fourth quarter of 2024, total customer deposit balances decreased $2.8 million and brokered deposit balances decreased $20.8 million. Overall, the current rate environment continues to contribute to greater competition for deposits. As a result, the Bank continues offering deposit rate specials to attract new funds.

Deposits ($ in thousands)	December 31, 2024		September 30, 2024		December 31, 2023		Three Month % Change		One Year % Change
Noninterest-bearing demand deposits	$	256,416	$	252,999	$	252,083	1.4	%	1.7	%
Interest-bearing demand deposits		164,891		167,202		169,418	-1.4		-2.7
Money market accounts		413,822		433,307		362,205	-4.5		14.3
Savings accounts		205,055		212,763		242,148	-3.6		-15.3
Certificates of deposit, customer		464,928		441,665		443,412	5.3		4.9
Certificates of deposit, brokered		182,914		203,705		207,626	-10.2		-11.9
Total deposits	$	1,688,026	$	1,711,641	$	1,676,892	-1.4		0.7

Total shareholders’ equity decreased to $153.9 million at December 31, 2024, compared to $160.8 million three months earlier, due to a decrease in the after-tax fair market values of the available-for-sale investment securities portfolio of $4.5 million, a net loss of $2.8 million and dividends declared of $656,000, partially offset by an increase in the after-tax fair market values of derivatives of $952,000.

Capital levels for both the Company and its operating bank, First Fed, remain in excess of applicable regulatory requirements and the Bank was categorized as “well-capitalized” at December 31, 2024. Preliminary calculations of Common Equity Tier 1 and Total Risk-Based Capital Ratios at December 31, 2024, were 12.4% and 13.6%, respectively.

First Northwest continued to return capital to our shareholders through cash dividends during the fourth quarter of 2024. The Company paid cash dividends totaling $656,000 in the fourth quarter of 2024. No shares of common stock were repurchased under the Company’s April 2024 Stock Repurchase Plan (“Repurchase Plan”) during the quarter ended December 31, 2024. There are 846,123 shares that remain available for repurchase under the Repurchase Plan.

Awards/Recognition
The Company received several accolades as a leader in the community in the last year.

	In September 2024, the First Fed team was recognized in the 2024 Best of Olympic Peninsula surveys, winning Best Bank and Best Lender in Clallam County; Best Bank and Best Financial Advisor in the West End; and Best Lender in Jefferson County. First Fed was also a finalist for Best Bank, Best Customer Service, Best Employer and Best Financial Advisor in Jefferson County; Best Customer Service, Best Employer and Best Financial Advisor in Clallam County; and Best Customer Service and Best Employer in the West End.
	In May 2024, First Fed, along with the First Fed Community Foundation, were honored to be ranked second on the Puget Sound Business Journal Midsize Corporate Philanthropists list.
	In October 2023, the First Fed team was honored to bring home the Gold for Best Bank in the Best of the Northwest survey hosted by Bellingham Alive for the second year in a row.
	In September 2023, the First Fed team was recognized in the 2023 Best of Olympic Peninsula surveys as a finalist for Best Employer in Kitsap County and Best Bank and Best Financial Institution in Bainbridge.

We recommend reading this earnings release in conjunction with the Fourth Quarter 2024 Investor Presentation, located at http://investor.ourfirstfed.com/quarterly-reports and included as an exhibit to our January 29, 2025, Current Report on Form 8-K.

About the Company
First Northwest Bancorp (Nasdaq: FNWB) is a financial holding company engaged in investment activities including the business of its subsidiary, First Fed Bank. First Fed is a Pacific Northwest-based financial institution which has served its customers and communities since 1923. Currently First Fed has 16 locations in Washington state including 12 full-service branches. First Fed’s business and operating strategy is focused on building sustainable earnings by delivering a full array of financial products and services for individuals, small businesses, non-profit organizations and commercial customers. In 2022, First Northwest made an investment in The Meriwether Group, LLC, a boutique investment banking and accelerator firm. Additionally, First Northwest focuses on strategic partnerships to provide modern financial services such as digital payments and marketplace lending. First Northwest Bancorp was incorporated in 2012 and completed its initial public offering in 2015 under the ticker symbol FNWB. The Company is headquartered in Port Angeles, Washington.

Forward-Looking Statements
Certain matters discussed in this press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to, among other things, expectations of the business environment in which we operate, projections of future performance, perceived opportunities in the market, potential future credit experience, including our ability to collect, the outcome of litigation and statements regarding our mission and vision, and include, but are not limited to, statements about our plans, objectives, expectations and intentions that are not historical facts, and other statements often identified by words such as “believes,” “expects,” “anticipates,” “estimates,” or similar expressions. These forward-looking statements are based upon current management beliefs and expectations and may, therefore, involve risks and uncertainties, many of which are beyond our control. Our actual results, performance, or achievements may differ materially from those suggested, expressed, or implied by forward-looking statements as a result of a wide variety of factors including, but not limited to: increased competitive pressures; changes in the interest rate environment; the credit risks of lending activities; pressures on liquidity, including as a result of withdrawals of deposits or declines in the value of our investment portfolio; changes in general economic conditions and conditions within the securities markets; legislative and regulatory changes; and other factors described in the Company’s latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q under the section entitled “Risk Factors,” and other filings with the Securities and Exchange Commission (“SEC”),which are available on our website at www.ourfirstfed.com and on the SEC’s website at www.sec.gov.

Any of the forward-looking statements that we make in this press release and in the other public statements we make may turn out to be incorrect because of the inaccurate assumptions we might make, because of the factors illustrated above or because of other factors that we cannot foresee. Because of these and other uncertainties, our actual future results may be materially different from those expressed or implied in any forward-looking statements made by or on our behalf and the Company’s operating and stock price performance may be negatively affected. Therefore, these factors should be considered in evaluating the forward-looking statements, and undue reliance should not be placed on such statements. We do not undertake and specifically disclaim any obligation to revise any forward-looking statements to reflect the occurrence of anticipated or unanticipated events or circumstances after the date of such statements. These risks could cause our actual results for 2024 and beyond to differ materially from those expressed in any forward-looking statements by, or on behalf of, us and could negatively affect the Company’s operations and stock price performance.

For More Information Contact:
Matthew P. Deines, President and Chief Executive Officer
Geri Bullard, EVP, Chief Financial Officer and Chief Operating Officer
IRGroup@ourfirstfed.com
360-457-0461

FIRST NORTHWEST BANCORP AND SUBSIDIARY CONSOLIDATED BALANCE SHEETS (Dollars in thousands, except share data) (Unaudited)

	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023
ASSETS
Cash and due from banks	$	16,811		$	17,953		$	19,184		$	15,562		$	19,845
Interest-earning deposits in banks		55,637			64,769			63,995			61,784			103,324
Investment securities available for sale, at fair value		340,344			310,860			306,714			325,955			295,623
Loans held for sale		472			378			1,086			988			753
Loans receivable (net of allowance for credit losses on loans $20,449, $21,970, $19,343, $17,958, and $17,510)		1,675,186			1,714,416			1,677,764			1,692,774			1,642,518
Federal Home Loan Bank (FHLB) stock, at cost		14,435			14,435			13,086			15,876			13,664
Accrued interest receivable		8,159			8,939			9,466			8,909			7,894
Premises held for sale, net		—			—			—			6,751			18,049
Premises and equipment, net		10,129			10,436			10,714			11,028			—
Servicing rights on sold loans, at fair value		3,281			3,584			3,740			3,820			3,793
Bank-owned life insurance, net		41,150			41,429			41,113			34,681			40,578
Equity and partnership investments		13,229			14,912			15,085			15,121			14,794
Goodwill and other intangible assets, net		1,082			1,083			1,084			1,085			1,086
Deferred tax asset, net		13,738			10,802			12,216			12,704			13,001
Right-of-use (“ROU”) asset, net		17,001			17,315			17,627			5,841			6,047
Prepaid expenses and other assets		21,352			24,175			23,088			27,141			20,828
Total assets	$	2,232,006		$	2,255,486		$	2,215,962		$	2,240,020		$	2,201,797

LIABILITIES AND SHAREHOLDERS’ EQUITY
Deposits	$	1,688,026		$	1,711,641		$	1,708,288		$	1,666,624		$	1,676,892
Borrowings		336,014			334,994			302,575			371,455			320,936
Accrued interest payable		3,295			2,153			3,143			2,830			3,396
Lease liability, net		17,535			17,799			18,054			6,227			6,428
Accrued expenses and other liabilities		31,770			25,625			23,717			29,980			29,545
Advances from borrowers for taxes and insurance		1,484			2,485			1,304			2,398			1,260
Total liabilities		2,078,124			2,094,697			2,057,081			2,079,514			2,038,457

Shareholders’ Equity
Preferred stock, $0.01 par value, authorized 5,000,000 shares, no shares issued or outstanding		—			—			—			—			—
Common stock, $0.01 par value, 75,000,000 shares authorized; issued and outstanding at each period end: 9,353,348; 9,365,979; 9,453,247; 9,442,796; and 9,611,876		93			94			94			94			96
Additional paid-in capital		93,357			93,218			93,985			93,763			95,784
Retained earnings		97,198			100,660			103,322			106,202			107,349
Accumulated other comprehensive loss, net of tax		(30,172	)		(26,424	)		(31,597	)		(32,465	)		(32,636	)
Unearned employee stock ownership plan (ESOP) shares		(6,594	)		(6,759	)		(6,923	)		(7,088	)		(7,253	)
Total shareholders’ equity		153,882			160,789			158,881			160,506			163,340
Total liabilities and shareholders’ equity	$	2,232,006		$	2,255,486		$	2,215,962		$	2,240,020		$	2,201,797

FIRST NORTHWEST BANCORP AND SUBSIDIARY CONSOLIDATED STATEMENTS OF OPERATIONS (Dollars in thousands, except per share data) (Unaudited)

	For the Quarter Ended															For the Year Ended
	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023			December 31, 2024			December 31, 2023
INTEREST INCOME
Interest and fees on loans receivable	$	23,716		$	23,536		$	23,733		$	22,767		$	22,083		$	93,752		$	84,614
Interest on investment securities		3,658			3,786			3,949			3,632			3,393			15,025			13,279
Interest on deposits in banks		550			582			571			645			581			2,348			2,126
FHLB dividends		273			302			358			282			252			1,215			880
Total interest income		28,197			28,206			28,611			27,326			26,309			112,340			100,899
INTEREST EXPENSE
Deposits		11,175			10,960			10,180			10,112			8,758			42,427			27,019
Borrowings		2,885			3,226			4,196			3,286			3,356			13,593			12,448
Total interest expense		14,060			14,186			14,376			13,398			12,114			56,020			39,467
Net interest income		14,137			14,020			14,235			13,928			14,195			56,320			61,432
PROVISION FOR CREDIT LOSSES
Provision for credit losses on loans		3,760			3,077			8,640			1,239			1,162			16,716			2,357
(Recapture of) provision for credit losses on unfunded commitments		(105	)		57			99			(269	)		(10	)		(218	)		(1,034	)
Provision for credit losses		3,655			3,134			8,739			970			1,152			16,498			1,323
Net interest income after provision for credit losses		10,482			10,886			5,496			12,958			13,043			39,822			60,109
NONINTEREST INCOME
Loan and deposit service fees		1,054			1,059			1,076			1,102			1,068			4,291			4,341
Sold loan servicing fees and servicing rights mark-to-market		(115	)		10			74			219			276			188			676
Net gain on sale of loans		52			58			150			52			33			312			438
Net loss on sale of investment securities		—			—			(2,117	)		—			(5,397	)		(2,117	)		(5,397	)
Net gain on sale of premises and equipment		—			—			7,919			—			—			7,919			—
Increase in cash surrender value of bank-owned life insurance		328			315			293			243			260			1,179			928
Income from death benefit on bank-owned life insurance, net		1,536			—			—			—			—			1,536			—
Other (loss) income		(1,555	)		337			(48	)		572			831			(694	)		3,034
Total noninterest income		1,300			1,779			7,347			2,188			(2,929	)		12,614			4,020
NONINTEREST EXPENSE
Compensation and benefits		7,367			8,582			8,588			8,128			7,397			32,665			31,209
Data processing		2,065			2,085			2,008			1,944			2,107			8,102			8,170
Occupancy and equipment		1,559			1,553			1,799			1,240			1,262			6,151			4,858
Supplies, postage, and telephone		296			360			317			293			351			1,266			1,433
Regulatory assessments and state taxes		460			548			457			513			376			1,978			1,635
Advertising		362			409			377			309			235			1,457			2,706
Professional fees		813			698			684			910			1,119			3,105			3,738
FDIC insurance premium		491			533			473			386			418			1,883			1,357
Other expense		820			1,080			906			580			3,725			3,386			6,348
Total noninterest expense		14,233			15,848			15,609			14,303			16,990			59,993			61,454
Loss before provision (benefit) for income taxes		(2,451	)		(3,183	)		(2,766	)		843			(6,876	)		(7,557	)		2,675
Provision (benefit) for income taxes		359			(1,203	)		(547	)		447			(1,354	)		(944	)		549
Net (loss) income	$	(2,810	)	$	(1,980	)	$	(2,219	)	$	396		$	(5,522	)	$	(6,613	)	$	2,286

Basic and diluted (loss) earnings per common share	$	(0.32	)	$	(0.23	)	$	(0.25	)	$	0.04		$	(0.62	)	$	(0.75	)	$	0.26

FIRST NORTHWEST BANCORP AND SUBSIDIARY ADDITIONAL INFORMATION (Dollars in thousands) (Unaudited)

Selected Loan Detail	December 31, 2024		September 30, 2024		June 30, 2024		March 31, 2024		December 31, 2023
Construction and land loans breakout
1-4 Family construction	$	39,319	$	43,125	$	56,514	$	69,075	$	68,029
Multifamily construction		15,407		29,109		43,341		45,776		50,431
Nonresidential construction		16,857		17,500		1,015		3,374		3,756
Land and development		6,527		5,975		6,403		7,122		7,475
Total construction and land loans	$	78,110	$	95,709	$	107,273	$	125,347	$	129,691

Auto and other consumer loans breakout
Triad Manufactured Home loans	$	128,231	$	129,600	$	110,510	$	105,525	$	105,057
Woodside auto loans		117,968		126,129		131,151		128,072		124,401
First Help auto loans		14,283		15,971		17,427		8,326		4,516
Other auto loans		1,647		2,064		2,690		3,313		4,158
Other consumer loans		6,747		7,434		23,845		23,598		10,998
Total auto and other consumer loans	$	268,876	$	281,198	$	285,623	$	268,834	$	249,130

Commercial business loans breakout
Northpointe Bank MPP	$	36,230	$	38,155	$	9,150	$	15,047	$	9,502
Secured lines of credit		35,701		37,686		28,862		41,014		35,815
Unsecured lines of credit		1,717		1,571		1,133		1,001		456
SBA loans		7,044		7,219		7,146		8,944		9,115
Other commercial business loans		70,801		70,696		70,803		70,291		57,407
Total commercial business loans	$	151,493	$	155,327	$	117,094	$	136,297	$	112,295

Loans by Collateral and Unfunded Commitments	December 31, 2024		September 30, 2024		June 30, 2024		March 31, 2024		December 31, 2023
One-to-four family construction	$	44,468	$	51,607	$	49,440	$	70,100	$	60,211
All other construction and land		34,290		45,166		58,346		55,286		69,484
One-to-four family first mortgage		466,046		469,053		434,840		436,543		426,159
One-to-four family junior liens		15,090		14,701		13,706		12,608		12,250
One-to-four family revolving open-end		51,481		48,459		44,803		45,536		42,479
Commercial real estate, owner occupied:
Health care		29,129		29,407		29,678		29,946		22,523
Office		17,756		17,901		19,215		17,951		18,468
Warehouse		14,948		11,645		14,613		14,683		14,758
Other		78,170		64,535		56,292		55,063		61,304
Commercial real estate, non-owner occupied:
Office		49,417		49,770		50,158		53,099		53,548
Retail		49,591		49,717		50,101		50,478		51,384
Hospitality		61,919		62,282		62,628		66,982		67,332
Other		81,640		82,573		84,428		93,040		94,822
Multi-family residential		333,419		354,118		350,382		339,907		333,428
Commercial business loans		77,381		86,904		79,055		90,781		76,920
Commercial agriculture and fishing loans		21,833		15,369		14,411		10,200		5,422
State and political subdivision obligations		369		404		405		405		405
Consumer automobile loans		133,789		144,036		151,121		139,524		132,877
Consumer loans secured by other assets		131,429		132,749		129,293		122,895		108,542
Consumer loans unsecured		3,658		4,411		5,209		6,415		7,712
Total loans	$	1,695,823	$	1,734,807	$	1,698,124	$	1,711,442	$	1,660,028

Unfunded commitments under lines of credit or existing loans	$	163,827	$	166,446	$	155,005	$	148,736	$	149,631

FIRST NORTHWEST BANCORP AND SUBSIDIARY NET INTEREST MARGIN ANALYSIS (Dollars in thousands) (Unaudited)

	Three Months Ended December 31,
	2024								2023
	Average			Interest					Average			Interest
	Balance			Earned/		Yield/			Balance			Earned/		Yield/
	Outstanding			Paid		Rate			Outstanding			Paid		Rate
	(Dollars in thousands)
Interest-earning assets:
Loans receivable, net ^{(1) (2)}	$	1,688,239		$	23,716		5.59	%	$	1,628,718		$	22,083		5.38	%
Investment securities		313,759			3,658		4.64			297,020			3,393		4.53
FHLB dividends		11,762			273		9.23			12,514			252		7.99
Interest-earning deposits in banks		45,358			550		4.82			41,974			581		5.49
Total interest-earning assets ⁽³⁾		2,059,118			28,197		5.45			1,980,226			26,309		5.27
Noninterest-earning assets		146,384								147,429
Total average assets	$	2,205,502							$	2,127,655
Interest-bearing liabilities:
Interest-bearing demand deposits	$	162,954		$	210		0.51		$	172,013		$	197		0.45
Money market accounts		442,481			2,773		2.49			362,366			1,351		1.48
Savings accounts		206,605			721		1.39			247,744			963		1.54
Certificates of deposit, customer		461,136			4,925		4.25			424,722			4,197		3.92
Certificates of deposit, brokered		192,018			2,546		5.27			172,214			2,050		4.72
Total interest-bearing deposits ⁽⁴⁾		1,465,194			11,175		3.03			1,379,059			8,758		2.52
Advances		236,576			2,491		4.19			256,560			2,962		4.58
Subordinated debt		39,504			394		3.97			39,425			394		3.96
Total interest-bearing liabilities		1,741,274			14,060		3.21			1,675,044			12,114		2.87
Noninterest-bearing deposits ⁽⁴⁾		256,715								259,845
Other noninterest-bearing liabilities		45,953								36,795
Total average liabilities		2,043,942								1,971,684
Average equity		161,560								155,971
Total average liabilities and equity	$	2,205,502							$	2,127,655

Net interest income				$	14,137							$	14,195
Net interest rate spread							2.24								2.40
Net earning assets	$	317,844							$	305,182
Net interest margin ⁽⁵⁾							2.73								2.84
Average interest-earning assets to average interest-bearing liabilities		118.3	%							118.2	%

(1) The average loans receivable, net balances include nonaccrual loans.
(2) Interest earned on loans receivable includes net deferred fees (costs) of $103,000 and ($151,000) for the three months ended December 31, 2024 and 2023, respectively.
(3) Includes interest-earning deposits (cash) at other financial institutions.
(4) Cost of all deposits, including noninterest-bearing demand deposits, was 2.58% and 2.12% for the three months ended December 31, 2024 and 2023, respectively.
(5) Net interest income divided by average interest-earning assets.

FIRST NORTHWEST BANCORP AND SUBSIDIARY
ADDITIONAL INFORMATION
(Dollars in thousands) (Unaudited)

Non-GAAP Financial Measures
This press release contains financial measures that are not in conformity with generally accepted accounting principles in the United States of America (“GAAP”). Non-GAAP measures are presented where management believes the information will help investors understand the Company’s results of operations or financial position and assess trends. Where non-GAAP financial measures are used, the comparable GAAP financial measure is also provided. These disclosures should not be viewed as a substitute for operating results determined in accordance with GAAP, and are not necessarily comparable to non-GAAP performance measures that may be presented by other companies. Other banking companies may use names similar to those the Company uses for the non-GAAP financial measures the Company discloses, but may calculate them differently. Investors should understand how the Company and other companies each calculate their non-GAAP financial measures when making comparisons. Reconciliations of the GAAP and non-GAAP measures are presented below.

Calculations Based on PPNR and Adjusted PPNR:

	For the Quarter Ended															For the Year Ended
(Dollars in thousands)	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023			December 31, 2024			December 31, 2023
Net (loss) income	$	(2,810	)	$	(1,980	)	$	(2,219	)	$	396		$	(5,522	)	$	(6,613	)	$	2,286
Plus: provision for credit losses		3,655			3,134			8,739			970			1,152			16,498			1,323
Provision (benefit) for income taxes		359			(1,203	)		(547	)		447			(1,354	)		(944	)		549
PPNR ⁽¹⁾		1,204			(49	)		5,973			1,813			(5,724	)		8,941			4,158
Selected nonrecurring adjustments to PPNR
Less: Net gain on sale of premises and equipment		—			—			7,919			—			—			7,919			—
Sale leaseback taxes and assessments included in occupancy and equipment		—			—			(359	)		—			—			(359	)		—
Net loss on sale of investment securities		—			—			(2,117	)		—			(5,397	)		(2,117	)		(5,397	)
Adjusted PPNR ⁽¹⁾	$	1,204		$	(49	)	$	530		$	1,813		$	(327	)	$	3,498		$	9,555

Average total assets	$	2,205,502		$	2,209,333		$	2,219,370		$	2,166,187		$	2,127,655		$	2,200,138		$	2,109,200
Return on average assets (GAAP)		-0.51	%		-0.36	%		-0.40	%		0.07	%		-1.03	%		-0.30	%		0.11	%
Adjusted PPNR return on average assets (Non-GAAP) ⁽¹⁾		0.22	%		-0.01	%		0.10	%		0.34	%		-0.06	%		0.16	%		0.45	%

(1) We believe these non-GAAP metrics are useful to evaluate the relative strength of the Company’s performance.

FIRST NORTHWEST BANCORP AND SUBSIDIARY ADDITIONAL INFORMATION (Dollars in thousands) (Unaudited)

Calculations Based on Tangible Common Equity:

	For the Quarter Ended															For the Year Ended
	December 31, 2024			September 30, 2024			June 30, 2024			March 31, 2024			December 31, 2023			December 31, 2024			December 31, 2023
	(Dollars in thousands, except per share data)
Total shareholders’ equity	$	153,882		$	160,789		$	158,881		$	160,506		$	163,340		$	153,882		$	163,340
Less: Goodwill and other intangible assets		1,082			1,083			1,084			1,085			1,086			1,082			1,086
Disallowed non-mortgage loan servicing rights		423			489			517			489			481			423			481
Total tangible common equity	$	152,377		$	159,217		$	157,280		$	158,932		$	161,773		$	152,377		$	161,773

Total assets	$	2,232,006		$	2,255,486		$	2,215,962		$	2,240,020		$	2,201,797		$	2,232,006		$	2,201,797
Less: Goodwill and other intangible assets		1,082			1,083			1,084			1,085			1,086			1,082			1,086
Disallowed non-mortgage loan servicing rights		423			489			517			489			481			423			481
Total tangible assets	$	2,230,501		$	2,253,914		$	2,214,361		$	2,238,446		$	2,200,230		$	2,230,501		$	2,200,230

Average shareholders’ equity	$	161,560		$	160,479		$	163,079		$	161,867		$	155,971		$	161,742		$	159,413
Less: Average goodwill and other intangible assets		1,083			1,084			1,085			1,085			1,086			1,084			1,087
Average disallowed non-mortgage loan servicing rights		489			517			489			481			608			494			670
Total average tangible common equity	$	159,988		$	158,878		$	161,505		$	160,301		$	154,277		$	160,164		$	157,656

Net (loss) income	$	(2,810	)	$	(1,980	)	$	(2,219	)	$	396		$	(5,522	)	$	(6,613	)	$	2,286
Common shares outstanding		9,353,348			9,365,979			9,453,247			9,442,796			9,611,876			9,353,348			9,611,876
GAAP Ratios:
Equity to total assets		6.89	%		7.13	%		7.17	%		7.17	%		7.42	%		6.89	%		7.42	%
Return on average equity		-6.92	%		-4.91	%		-5.47	%		0.98	%		-14.05	%		-4.09	%		1.43	%
Book value per common share	$	16.45		$	17.17		$	16.81		$	17.00		$	16.99		$	16.45		$	16.99
Non-GAAP Ratios:
Tangible common equity to tangible assets ⁽¹⁾		6.83	%		7.06	%		7.10	%		7.10	%		7.35	%		6.83	%		7.35	%
Return on average tangible common equity ⁽¹⁾		-6.99	%		-4.96	%		-5.53	%		0.99	%		-14.20	%		-4.13	%		1.45	%
Tangible book value per common share ⁽¹⁾	$	16.29		$	17.00		$	16.64		$	16.83		$	16.83		$	16.29		$	16.83

(1

)

We believe these non-GAAP metrics provide an important measure with which to analyze and evaluate financial condition and capital strength. In addition, we believe that use of tangible equity and tangible assets improves the comparability to other institutions that have not engaged in acquisitions that resulted in recorded goodwill and other intangibles.

The MIL Network –

January 30, 2025

MIL-OSI: Stifel Reports Fourth Quarter and Full Year Results

Source: GlobeNewswire (MIL-OSI)

ST. LOUIS, Jan. 29, 2025 (GLOBE NEWSWIRE) — Stifel Financial Corp. (NYSE: SF) today reported net revenues of $1.36 billion for the three months ended December 31, 2024, compared with $1.15 billion a year ago. Net income available to common shareholders of $234.7 million, or $2.09 per diluted common share, compared with $153.2 million, or $1.38 per diluted common share for the fourth quarter of 2023. Non-GAAP net income available to common shareholders of $249.7 million, or $2.23 per diluted common share for the fourth quarter of 2024.

Net revenues of $4.97 billion for the year ended December 31, 2024 compared to $4.35 billion a year ago. Net income available to common shareholders of $694.1 million, or $6.25 per diluted common share, compared with $485.3 million, or $4.28 per diluted common share in 2023. Non-GAAP net income available to common shareholders of $755.9 million, or $6.81 per diluted common share in 2024.

Ronald J. Kruszewski, Chairman and Chief Executive Officer, said “Stifel generated record net revenue and the second highest earnings per share in our history in 2024. The fact that we accomplished this level of performance in a year when our Institutional segment was rebounding from a very difficult operating environment in 2023 is a testament to the strength and diversity of our business model. Given our long history of profitable growth, Stifel is well positioned to capitalize on improving market conditions in 2025 and to achieve our short and long term targets.”

Full Year Highlights

The Company reported record net revenues of $4.97 billion driven by higher investment banking revenues, asset management revenues, and transactional revenues, partially offset by lower net interest income.
Non-GAAP net income available to common shareholders of $6.81.
Record asset management revenues, up 18% over 2023.
Record client assets of $501.4 billion, up 13% over 2023.
Recruited 100 financial advisors during the year, including 34 experienced employee advisors and 12 experienced independent advisors.
Non-GAAP pre-tax margin of 20%.
Return on average tangible common equity (ROTCE) ⁽⁵⁾ of 23%.
Tangible book value per common share ⁽⁷⁾ of $34.99, up 12% from prior year.

Fourth Quarter Highlights

Quarterly record net revenues of $1.36 billion.
Non-GAAP net income available to common shareholders of $2.23.
Investment banking revenue increased 48% over the year-ago quarter, driven by higher advisory and capital raising revenues.
- Capital raising revenues increased 50% over the year-ago quarter.
- Advisory revenues increased 47% over the year-ago quarter.
Non-GAAP pre-tax margin of 21%.
Annualized ROTCE ⁽⁵⁾ of 28%.

Other Highlights

Board of Directors authorized a 10% increase in common stock dividend starting in the first quarter of 2025.
Announced the acquisition of Bryan, Garnier, & Co.

Financial Summary (Unaudited)
(000s)	4Q 2024	4Q 2023	FY 2024	FY 2023
GAAP Financial Highlights:
Net revenues	$1,364,682	$1,146,379	$4,970,320	$4,348,944
Net income ⁽¹⁾	$234,685	$153,164	$694,098	$485,255
Diluted EPS ⁽¹⁾	$2.09	$1.38	$6.25	$4.28
Comp. ratio	58.3%	58.8%	58.7%	58.7%
Non-comp. ratio	22.2%	23.2%	22.6%	25.1%
Pre-tax margin	19.5%	18.0%	18.7%	16.2%
Non-GAAP Financial Highlights:
Net revenues	$1,364,721	$1,146,419	$4,971,051	$4,348,958
Net income ⁽¹⁾⁽²⁾	$249,710	$166,587	$755,896	$531,524
Diluted EPS ^{(1) (2)}	$2.23	$1.50	$6.81	$4.68
Comp. ratio ⁽²⁾	58.0%	58.0%	58.0%	58.0%
Non-comp. ratio ⁽²⁾	21.3%	22.6%	21.9%	24.3%
Pre-tax margin ⁽³⁾	20.7%	19.4%	20.1%	17.7%
ROCE ⁽⁴⁾	20.1%	14.6%	15.9%	11.5%
ROTCE ⁽⁵⁾	28.3%	21.3%	22.7%	16.6%
*Global Wealth Management (assets and loans in millions***)
Net revenues	$865,209	$766,028	$3,283,960	$3,049,962
Pre-tax net income	$316,318	$301,360	$1,207,942	$1,215,822
Total client assets	$501,402	$444,318
Fee-based client assets	$192,705	$165,301
Bank loans, net ⁽⁶⁾	$21,311	$19,730
Institutional Group
Net revenues	$478,335	$359,292	$1,592,833	$1,226,317
Equity	$280,159	$200,915	$926,729	$709,286
Fixed Income	$198,176	$158,377	$666,104	$517,031
Pre-tax net income	$95,681	$7,771	$223,400	$2,100

Global Wealth Management

Fourth Quarter Results

Global Wealth Management reported record net revenues of $865.2 million for the three months ended December 31, 2024 compared with $766.0 million during the fourth quarter of 2023. Pre-tax net income was $316.3 million compared with $301.4 million in the fourth quarter of 2023.

Highlights

Client assets of $501.4 billion, up 13% over the year-ago quarter.
Fee-based client assets of $192.7 billion, up 17% over the year-ago quarter.
Recruited 8 financial advisors during the quarter, including 4 experienced employee advisors with total trailing 12 month production of $8 million.

Net revenues increased 13% from a year ago:

Transactional revenues increased 18% over the year-ago quarter reflecting an increase in client activity.
Asset management revenues increased 23% over the year-ago quarter reflecting higher asset values as a result of improved market conditions and net cash inflows.
Net interest income decreased 1% from the year-ago quarter primarily as a result of lower rates, partially offset by balance sheet growth.

Total Expenses:

Compensation expense as percent of net revenues increased to 48.5% primarily as a result of higher compensable revenues.
Provision for credit losses was primarily impacted by loan growth and a deterioration in certain loans, partially offset by a slightly better macroeconomic forecast.
Non-compensation operating expenses as a percent of net revenues increased to 14.9% primarily as a result of higher litigation-related expenses and an increase in the provision for credit losses, partially offset by revenue growth.

Summary Results of Operations
(000s)	4Q 2024		4Q 2023
Net revenues	$865,209		$766,028
Transactional revenues		200,564		169,471
Asset management		405,800		330,498
Net interest income		254,337		257,920
Investment banking		5,198		4,562
Other income		(690)		3,577
Total expenses	$548,891		$464,668
Compensation expense		419,466		359,376
Provision for credit losses		11,893		(37)
Non-comp. opex		117,532		105,329
Pre-tax net income	$316,318		$301,360
Compensation ratio		48.5%		46.9%
Non-compensation ratio		14.9%		13.8%
Pre-tax margin		36.6%		39.3%

Institutional Group

Fourth Quarter Results

Institutional Group reported net revenues of $478.3 million for the three months ended December 31, 2024 compared with $359.3 million during the fourth quarter of 2023. Pre-tax net income was $95.7 million compared with $7.8 million in the fourth quarter of 2023.

Highlights

Investment banking revenues increased 49% from a year ago:

Advisory revenues of $189.9 million increased 47% from the year-ago quarter driven by higher levels of completed advisory transactions.
Fixed income capital raising revenues increased 53% over the year-ago quarter primarily driven by higher bond issuances.
Equity capital raising revenues increased 52% over the year-ago quarter driven by higher volumes.

Fixed income transactional revenues increased 16% from a year ago:

Fixed income transactional revenues increased from the year-ago quarter driven by improved client engagement and realized trading gains.

Equity transactional revenues increased 5% from a year ago:

Equity transactional revenues increased from the year-ago quarter primarily driven by an increase in equities trading commissions.

Total Expenses:

Compensation expense as a percent of net revenues decreased to 58.6% primarily as a result of higher revenues.
Non-compensation operating expenses as a percent of net revenues decreased to 21.4% primarily as a result of revenue growth.

Summary Results of Operations
(000s)	4Q 2024		4Q 2023
Net revenues	$478,335		$359,292
Investment banking		299,221		201,102
Advisory		189,912		129,378
Fixed income capital raising		61,424		40,214
Equity capital raising		47,885		31,510
Fixed income transactional		118,700		102,019
Equity transactional		59,409		56,501
Other		1,005		(330)
Total expenses	$382,654		$351,521
Compensation expense		280,261		248,970
Non-comp. opex.		102,393		102,551
Pre-tax net income	$95,681		$7,771
Compensation ratio		58.6%		69.3%
Non-compensation ratio		21.4%		28.5%
Pre-tax margin		20.0%		2.2%

Global Wealth Management

Full Year Results

Global Wealth Management reported record net revenues of $3.3 billion for the year ended December 31, 2024 compared with $3.0 billion in 2023. Pre-tax net income of $1.2 billion decreased 1% from 2023.

Highlights

Recruited 100 financial advisors during the year, including 34 experienced employee advisors and 12 experienced independent advisors with total trailing 12 month production of $37 million.

Net revenues increased 8% from prior year:

Transactional revenues increased 15% from prior year reflecting an increase in client activity.
Asset management revenues increased 18% from prior year reflecting higher asset values as a result of improved market conditions and net cash inflows.
Net interest income decreased 11% from prior year primarily driven by changes in the deposit mix, partially offset by lending growth and higher rates.

Total Expenses:

Compensation expense as a percent of net revenues increased to 48.9% primarily as a result of higher compensable revenues.
Provision for credit losses was primarily impacted by loan growth and a deterioration in certain loans, partially offset by a slightly better macroeconomic forecast.
Non-compensation operating expenses as a percent of net revenues increased to 14.3% primarily as a result of higher litigation-related expenses and an increase in the provision for credit losses, partially offset by revenue growth.

Summary Results of Operations
(000s)	FY 2024		FY 2023
Net revenues	$3,283,960		$3,049,962
Transactional revenues		752,352		654,231
Asset management		1,536,296		1,299,361
Net interest income		967,712		1,086,628
Investment banking		21,475		16,680
Other income		6,125		(6,938)
Total expenses	$2,076,018		$1,834,140
Compensation expense		1,605,148		1,415,210
Provision for credit losses		25,102		22,699
Non-comp. opex		445,768		396,231
Pre-tax net income	$1,207,942		$1,215,822
Compensation ratio		48.9%		46.4%
Non-compensation ratio		14.3%		13.7%
Pre-tax margin		36.8%		39.9%

Institutional Group

Full Year Results

Institutional Group reported net revenues of $1.6 billion for the year ended December 31, 2024 compared with $1.2 billion in 2023. Pre-tax net income was $223.4 million compared with $2.1 million in 2023.

Highlights

Investment banking revenues increased 36% from prior year:

Advisory revenues of $577.4 million increased 24% from prior year driven by higher levels of completed advisory transactions.
Fixed income capital raising revenues increased 48% from prior year driven by an increase in our corporate debt issuance business.
Equity capital raising revenues increased 74% from prior year driven by higher volumes.

Fixed income transactional revenues increased 27% from prior year:

Fixed income transactional revenues increased from prior year driven by improved client engagement, market volatility, and realized trading gains.

Equity transactional revenues increased 7% from prior year:

Equity transactional revenues increased from prior year driven by an increase in equities trading commissions.

Total Expenses:

Compensation expense as a percent of net revenues decreased to 60.2% primarily as a result of higher revenues.
Non-compensation operating expenses as a percent of net revenues decreased to 25.8% as a result of revenue growth and expense discipline.

Summary Results of Operations
(000s)	FY 2024		FY 2023
Net revenues	$1,592,833		$1,226,317
Investment banking		973,356		714,575
Advisory		577,432		465,588
Fixed income capital raising		209,047		141,647
Equity capital raising		186,877		107,340
Fixed income transactional		393,013		308,393
Equity transactional		215,223		201,413
Other		11,241		1,936
Total expenses	$1,369,433		$1,224,217
Compensation expense		959,602		841,671
Non-comp. opex.		409,831		382,546
Pre-tax net income	$223,400		$2,100
Compensation ratio		60.2%		68.6%
Non-compensation ratio		25.8%		31.2%
Pre-tax margin		14.0%		0.2%

Other Matters

Highlights

Total assets increased $2.1 billion, or 6%, over the year-ago quarter.
The Board of Directors approved a 10% increase in the quarterly dividend to $0.46 per common share starting in the first quarter of 2025.
The Company repurchased $45.5 million of its outstanding common stock during the fourth quarter. During 2024, the Company repurchased $242.6 million of its outstanding common stock.
Weighted average diluted shares outstanding increased from the year-ago quarter as a result of the increase in share price and a decrease in share repurchases over the comparable period.
The effective tax rate was primarily impacted by the benefit related to the tax impact on stock-based compensation.
The Board of Directors declared a $0.42 quarterly dividend per share payable on December 16, 2024 to common shareholders of record on December 2, 2024.
The Board of Directors declared a quarterly dividend on the outstanding shares of the Company’s preferred stock payable on December 16, 2024 to shareholders of record on December 2, 2024.

	4Q 2024		4Q 2023		FY 2024		FY 2023
Common stock repurchases
Repurchases (000s)	$45,461		$141,138		$242,628		$518,296
Number of shares (000s)		408		2,345		3,140		8,475
Average price	$111.30		$60.18		$77.28		$61.16
Period end shares (000s)		102,171		101,062		102,171		101,062
Weighted average diluted shares outstanding (000s)		112,089		111,330		110,975		113,453
Effective tax rate		8.3%		21.1%		21.2%		26.1%
Stifel Financial Corp. ⁽⁸⁾
Tier 1 common capital ratio		15.4%		14.2%
Tier 1 risk based capital ratio		18.2%		17.2%
Tier 1 leverage capital ratio		11.4%		10.5%
Tier 1 capital (MM)	$4,331		$3,916
Risk weighted assets (MM)	$23,742		$22,748
Average assets (MM)	$38,073		$37,451
Quarter end assets (MM)	$39,896		$37,727
Agency	Rating		Outlook
Fitch Ratings	BBB+		Stable
S&P Global Ratings	BBB		Stable

Conference Call Information

Stifel Financial Corp. will host its fourth quarter and full year 2024 financial results conference call on Wednesday, January 29, 2025, at 9:30 a.m. Eastern Time. The conference call may include forward-looking statements.

All interested parties are invited to listen to Stifel’s Chairman and CEO, Ronald J. Kruszewski, by dialing (866) 409-1555 and referencing conference ID 7408307. A live audio webcast of the call, as well as a presentation highlighting the Company’s results, will be available through the Company’s web site, www.stifel.com. For those who cannot listen to the live broadcast, a replay of the broadcast will be available through the above-referenced web site beginning approximately one hour following the completion of the call.

MIL-OSI: LoCorr Funds Launches Innovative Strategic Allocation Fund

Source: GlobeNewswire (MIL-OSI)

MINNEAPOLIS, Jan. 29, 2025 (GLOBE NEWSWIRE) — LoCorr Funds, a leader in low-correlating alternative investments, is pleased to announce the launch of the LoCorr Strategic Allocation Fund (LSAIX, LSAAX), a daily liquid mutual fund designed to help investors capture equity market upside while mitigating downside losses during periods of market stress. The Fund combines tax-managed equities and multi-manager futures strategies to deliver a tax-efficient solution for navigating today’s volatile markets and to position portfolios for long-term success.

The Fund employs low correlating and complementary investment strategies targeting approximately 50% exposure to a tax-managed U.S. Equity strategy and 50% exposure to trend following and other futures strategies. The product’s equity exposure includes a distinctive, active tax-loss harvesting process that seeks to improve the overall tax efficiency by potentially offsetting gains in the portfolio. The futures exposure takes long and short positions across equities, fixed income, currencies, and commodities in more than 250 global markets, providing diversification when stocks and bonds struggle. The Fund follows a strategic asset allocation strategy and is rebalanced daily.

“We are excited to offer advisors access to a next-generation strategy diversifying equity risk by combining tax-managed equities and managed futures to position the portfolio for better risk-adjusted returns,” said Kevin Kinzie, CEO of LoCorr Funds. “With markets at all-time highs, we have seen a growing appetite for strategies that can profit if the current equity bull market continues but can also potentially mitigate the downside if we enter a bearish environment.”

The equity tax-managed portion is sub-advised by Parametric Portfolio Associates LLC, while the futures portfolio is sub-advised by BH-DG Systematic Trading LLP, Crabel Capital Management LLC, and P/E Global LLC.

The Strategic Allocation Fund joins the recently launched Hedged Core Fund (LHEIX, LHEAX), along with LoCorr’s suite of five long-standing mutual funds, each with track records over a decade, and a private fund that formed in 1990.

About LoCorr Funds
LoCorr Funds is a leading provider of low-correlating investment strategies, founded on the belief that non-traditional investment strategies with low correlation to stocks and bonds can reduce risk and help increase portfolio returns. LoCorr offers investment solutions that not only provide the potential for positive returns in rising or falling markets but also help to achieve diversification in investment portfolios. LoCorr Funds is headquartered in Excelsior, MN. For more information, please visit www.LoCorrFunds.com or call 1.888.628.2887.

The Strategic Allocation Fund is a recently organized management investment company with no operating history. As a result, prospective investors do not have a track record or history on which to base their investment decisions.

The Fund’s investment objectives, risks, charges, and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company, and it may be obtained by calling 1.855.LCFUNDS, or visiting www.LoCorrFunds.com. Read it carefully before investing.

Mutual fund investing involves risk. Principal loss is possible. The Fund invests in foreign investments and foreign currencies which involve greater volatility and political, economic and currency risks and differences in accounting methods. The Fund may make short sales of securities, which involves the risk that losses may exceed the original amount invested. Investing in commodities may subject the Fund to greater risks and volatility as commodity prices may be influenced by a variety of factors including unfavorable weather, environmental factors, and changes in government regulations. The Fund may invest in derivative securities, which derive their performance from the performance of an underlying asset, index, interest rate or currency exchange rate. Derivatives can be volatile and involve various types and degrees of risks, and, depending upon the characteristics of a particular derivative, suddenly can become illiquid. Derivative contracts ordinarily have leverage inherent in their terms which can magnify the Fund’s potential for gains or losses through increased long and short position exposure. The Fund may access derivatives via a swap agreement. A risk of a swap agreement is the risk that the counterparty to the agreement will default on its obligation to pay the Fund. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in Asset-Backed, Mortgage-Backed, and Collateralized Mortgage-Backed Securities include additional risks that investors should be aware of such as credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments. The Fund may use leverage which may exaggerate the effect of any increase or decrease in the value of portfolio securities or the Net Asset Value of the Fund, and money borrowed will be subject to interest costs. One cannot invest directly in an index.

Diversification does not assure a profit nor protect against loss in a declining market. Correlation measures how much the returns of two investments move together over time. Past performance is not necessarily indicative of future results.

The MIL Network –

January 30, 2025

MIL-OSI: Fidelity D & D Bancorp, Inc. Reports 2024 Financial Results

Source: GlobeNewswire (MIL-OSI)

DUNMORE, Pa., Jan. 29, 2025 (GLOBE NEWSWIRE) — Fidelity D & D Bancorp, Inc. (NASDAQ: FDBC) and its banking subsidiary, The Fidelity Deposit and Discount Bank (“the Company”), announced its unaudited, consolidated financial results for the three and twelve month periods ended December 31, 2024.

Unaudited Financial Information

Net income recorded for the year ended December 31, 2024 was $20.8 million, or $3.60 diluted earnings per share, compared to $18.2 million, or $3.19 diluted earnings per share, for the year ended December 31, 2023. The $2.6 million, or 14% increase in net income resulted primarily from the $7.6 million increase in non-interest income for 2024 compared to 2023. During 2023, the Company sold available-for-sale securities resulting in a $6.5 million loss, $5.1 million net of tax, which was the primary reason for the change in non-interest income. This was partially offset by the $3.7 million increase in non-interest expense.

Net income for the quarter ended December 31, 2024 was $5.8 million, or $1.01 diluted earnings per share, compared to $0.5 million, or $0.08 diluted earnings per share, for the quarter ended December 31, 2023. The $5.3 million increase in net income stemmed from a $6.5 million loss, $5.1 million net of tax, on the sale of securities which lowered non-interest income for the fourth quarter of 2023. This is coupled with a $1.5 million increase in net interest income to $16.4 million in the fourth quarter of 2024, compared to $14.9 million in the same quarter of 2023. These increases are offset by a $1.6 million increase in non-interest expense.

“We are pleased to post solid performance in Q4, attributable to the execution of our strategic initiatives and improvement in our net interest margin,” said Dan Santaniello, President and CEO. “Strong deposit and lending growth, along with positive balance sheet trends and credit metrics contributed to the achievement of year end asset balances of $2.6 billion and $20.8 million in net income. I would like to thank our bankers for their efforts and dedication in continuing to serve our clients, our shareholders and our communities well, positioning us for a strong 2025.”

Consolidated Year-To-Date Operating Results Overview

Net interest income was $61.9 million for the year ended December 31, 2024 compared to $62.1 million for the year ended December 31, 2023. The $0.2 million, or less than 1%, decline was the result of interest expense growing faster than interest income. On the asset side, the loan portfolio caused interest income growth by producing $12.6 million more in interest income primarily from an increase of 45 basis points in the fully-taxable equivalent (“FTE”) loan yields on $106.1 million in higher average balances. On the funding side, total interest expense increased by $13.4 million due to an increase in interest expense paid on deposits of $14.2 million from a 72 basis point higher rate paid on a $111.0 million larger average balance of interest-bearing deposits, partially offset by a decrease in interest expense on borrowings of $0.8 million for the twelve months ended December 31, 2024 compared to the same period in 2023.

The overall cost of interest-bearing liabilities was 2.60% for the twelve months ended December 31, 2024 compared to 1.93% for the twelve months ended December 31, 2023. The cost of funds increased 55 basis points to 1.99% for the twelve months ended December 31, 2024 from 1.44% for the same period of 2023. The FTE yield on interest-earning assets was 4.62% for the year ended December 31, 2024, an increase of 44 basis points from the 4.18% for the same period of 2023. The Company’s FTE (non-GAAP measurement) net interest spread was 2.02% for the twelve months ended December 31, 2024, a decrease of 23 basis points from the 2.25% recorded for the same period of 2023. FTE net interest margin decreased by 9 basis points to 2.72% for the twelve months ended December 31, 2024 from 2.81% for the same 2023 period due to the increase of 67 basis points in rates paid on interest-bearing liabilities growing at a faster pace than the increase of 44 basis points in yields on interest-earning assets.

For the year ended December 31, 2024, the provision for credit losses on loans was $1.3 million and the provision for credit losses on unfunded commitments was $0.1 million, compared to a $1.5 million provision for credit losses on loans and a $0.2 million net benefit for the provision for unfunded commitments for the year ended December 31, 2023. For the year ended December 31, 2024, the decrease in the provision for credit losses on loans compared to the prior year period was due to lower net charge-offs coupled with improved economic forecast assumptions. For the year ended December 31, 2024, the increase in the provision for credit losses on unfunded commitments compared to the prior period was due to growth in unfunded commitments, specifically in commercial construction commitments.

Total non-interest income for the year ended December 31, 2024 was $19.0 million, an increase of $7.6 million, or 67%, from $11.4 million for the year ended December 31, 2023. The primary driver of the large increase was a $6.5 million loss recognized on the sale of securities during 2023. The remaining $1.1 million increase resulted from increases of $0.6 million in additional trust fiduciary fees, $0.3 million in additional service charges on loans, $0.2 million more in debit card interchange fees and $0.1 million higher fees from financial services. Partially offsetting these increases, the Company received $0.3 million in recoveries from acquired charged-off loans during 2023. Additionally, the Company experienced a decrease of $0.2 million in fees from commercial loans with interest rate hedges compared to 2023.

Non-interest expenses increased to $55.5 million for the year ended December 31, 2024, an increase of $3.6 million, or 7%, from $51.9 million for the year ended December 31, 2023. Salaries and benefits expense increased $3.2 million due to an increase in employees and incentive-based compensation throughout the year ended December 31, 2024. There were additional increases throughout the period in professional fees of $0.6 million, and PA shares tax of $0.3 million. The increases were partially offset by $0.5 million less in fraud losses and $0.3 million less advertising and marketing expenses.

The provision for income taxes increased $1.0 million during 2024 compared to 2023 due to $3.6 million higher income before taxes.

Consolidated Fourth Quarter Operating Results Overview

Net interest income was $16.4 million for the fourth quarter of 2024, a 10% increase over the $14.9 million earned for the fourth quarter of 2023. The $1.5 million increase in net interest income resulted from the increase of $3.2 million in interest income primarily due to a $131.7 million increase in the average balance of interest-earning assets and a 32 basis point increase in the FTE yield. The loan portfolio had the biggest impact, producing a $3.2 million increase in interest income from $132.1 million in higher quarterly average balances and an increase of 37 basis points in the FTE loan yield. Slightly offsetting the higher interest income is a $1.7 million increase in interest expense due to a 24 basis point increase in the rates paid on interest-bearing liabilities coupled with a $152.4 million quarter-over-quarter increase in average interest-bearing deposit balances. The largest contributor to the increase in interest expense was due to growth in average balances and a 31 basis point increase in the rates paid on interest-bearing deposits.

The overall cost of interest-bearing liabilities was 2.60% for the fourth quarter of 2024, an increase of 24 basis points from the 2.36% paid for the fourth quarter of 2023. The cost of funds increased 21 basis points to 2.00% for the fourth quarter of 2024 from 1.79% for the fourth quarter of 2023. The Company’s FTE (non-GAAP measurement) net interest spread was 2.08% for the fourth quarter of 2024, up 8 basis points from the 2.00% recorded for the fourth quarter of 2023. FTE net interest margin increased by 12 basis points to 2.78% for the three months ended December 31, 2024 from 2.66% for the same 2023 period due to the increase of 32 basis points in the yields on interest-earning assets growing slightly faster than increase of 24 basis points in rates paid on interest-bearing liabilities.

For the three months ended December 31, 2024, the provision for credit losses on loans was $0.2 million partially offset by a $0.1 million net benefit in the provision for unfunded commitments, compared to a $0.1 million provision for credit losses on loans and a $0.1 million net benefit in the provision for credit losses on unfunded loan commitments for the three months ended December 31, 2023. For the three months ended December 31, 2024, the increase in the provision for credit losses on loans compared to the prior year period was due to higher net charge-offs compared to the same period of 2023. For the three months ended December 31, 2024, the $0.1 million net benefit for credit losses on unfunded commitments, which was unchanged from the prior year period, was due to a reduction in unfunded commitments as funds were advanced during the quarter.

Total non-interest income increased $6.8 million to $4.8 million in the fourth quarter of 2024 compared to the same period of 2023 primarily due to the $6.5 million loss recognized on the sale of securities during the fourth quarter of 2023. Additionally, the Company experienced an increase of $0.2 million in trust fiduciary activities revenue.

Non-interest expenses increased $1.6 million, or 12%, for the fourth quarter of 2024 to $14.4 million from $12.8 million for the same quarter of 2023. The increase in non-interest expenses was primarily due to $1.2 million increase in salaries and benefits expense from higher salaries related to new hires and banker incentives. There were also increases in professional services of $0.3 million, data center services of $0.1 million, and PA shares tax of $0.1 million.

The provision for income taxes increased $1.2 million during the fourth quarter of 2024 primarily due to the higher level of operating income compared to the fourth quarter of 2023.

Consolidated Balance Sheet & Asset Quality Overview

The Company’s total assets grew to $2.6 billion as of December 31, 2024, an increase of $81.5 million from December 31, 2023. The increase resulted from $114.3 million in growth in the loans and leases portfolio during the twelve months ended December 31, 2024. Asset growth was offset by a decline in cash and cash equivalents by $28.6 million and a decrease in the investment portfolio by $11.1 million. The decline in the investment portfolio was primarily due to $22.0 million in paydowns partially offset by a $15.4 million in purchases within the available-for-sale securities portfolio. As of December 31, 2024, the market value of held-to-maturity securities decreased by $2.6 million compared to December 31, 2023, bringing the portfolio down to a $31.2 million unrealized loss position.

During the same time period, total liabilities increased $67.0 million, or 3%. Deposit growth of $182.4 million was utilized to fund loan growth and pay-off of short-term borrowings as of December 31, 2024. The Company experienced an increase of $110.4 million in money market deposits and an increase of $125.9 million in time deposits due to promotional rates offered as a result of market competition. The growth in these products was partially offset by a decrease of $53.9 million in checking and savings account balances as of December 31, 2024. This decrease resulted primarily from declines experienced in average balances per checking and saving account, even though the number of accounts in each product grew throughout 2024. Also as of December 31, 2024, checking deposit balances remained at more than half of total deposits. As of December 31, 2024, the ratio of insured and collateralized deposits to total deposits was approximately 76%.

Shareholders’ equity increased $14.5 million, or 8%, to $204.0 million at December 31, 2024 from $189.5 million at December 31, 2023. The increase was caused by $11.9 million higher retained earnings from net income of $20.8 million plus a $0.9 million, after tax, improvement in accumulated other comprehensive income from lower net unrealized losses recorded on available-for-sale securities, partially offset by $8.9 million in cash dividends paid to shareholders. An additional $1.7 million was recorded from the issuance of common stock under the Company’s stock plans and stock-based compensation expense. At December 31, 2024, there were no credit losses on available-for-sale and held-to-maturity debt securities. Accumulated other comprehensive income (loss) is excluded from regulatory capital ratios. The Company remains well capitalized with Tier 1 capital at 9.22% of total average assets as of December 31, 2024. Total risk-based capital was 14.78% of risk-weighted assets and Tier 1 risk-based capital was 13.60% of risk-weighted assets as of December 31, 2024. Tangible book value per share was $31.98 at December 31, 2024 compared to $29.57 at December 31, 2023. Tangible common equity was 7.16% of total assets at December 31, 2024 compared to 6.79% at December 31, 2023.

Asset Quality

Total non-performing assets were $7.8 million, or 0.30% of total assets at December 31, 2024, compared to $3.3 million, or 0.13% of total assets at December 31, 2023. Past due and non-accrual loans to total loans were 0.71% at December 31, 2024 compared to 0.46% at December 31, 2023. Net charge-offs to average total loans were 0.03% at December 31, 2024 compared to 0.04% at December 31, 2023.

About Fidelity D & D Bancorp, Inc. and The Fidelity Deposit and Discount Bank

Fidelity D & D Bancorp, Inc. has built a strong history as trusted financial advisor to the clients served by The Fidelity Deposit and Discount Bank (“Fidelity Bank”). Fidelity Bank continues its mission of exceeding client expectations through a unique banking experience. It operates 21 full-service offices throughout Lackawanna, Luzerne, Lehigh and Northampton Counties and a Fidelity Bank Wealth Management Office in Schuylkill County. Fidelity Bank provides a digital banking experience online at www.bankatfidelity.com, through the Fidelity Mobile Banking app, and in the Client Care Center at 1-800-388-4380. Additionally, the Bank offers full-service Wealth Management & Brokerage Services, a Mortgage Center, and a full suite of personal and commercial banking products and services. Part of the Company’s vision is to serve as the best bank for the community, which was accomplished by having provided over 5,960 hours of volunteer time and over $1.3 million in donations to non-profit organizations directly within the markets served throughout 2024. Fidelity Bank’s deposits are insured by the Federal Deposit Insurance Corporation up to the full extent permitted by law.

Non-GAAP Financial Measures

The Company uses non-GAAP financial measures to provide information useful to the reader in understanding its operating performance and trends, and to facilitate comparisons with the performance of other financial institutions. Management uses these measures internally to assess and better understand our underlying business performance and trends related to core business activities. The Company’s non-GAAP financial measures and key performance indicators may differ from the non-GAAP financial measures and key performance indicators other financial institutions use to measure their performance and trends. Non-GAAP financial measures should be supplemental to GAAP used to prepare the Company’s operating results and should not be read in isolation or relied upon as a substitute for GAAP measures. Reconciliations of non-GAAP financial measures to GAAP are presented in the tables below.

Interest income was adjusted to recognize the income from tax exempt interest-earning assets as if the interest was taxable, fully-taxable equivalent (“FTE”), in order to calculate certain ratios within this document. This treatment allows a uniform comparison among yields on interest-earning assets. Interest income was FTE adjusted, using the corporate federal tax rate of 21% for 2024 and 2023.

Forward-looking statements

Certain of the matters discussed in this press release constitute forward-looking statements for purposes of the Securities Act of 1933, as amended, and the Securities Exchange Act of 1934, as amended, and as such may involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from future results, performance or achievements expressed or implied by such forward-looking statements. The words “expect,” “anticipate,” “intend,” “plan,” “believe,” “estimate,” and similar expressions are intended to identify such forward-looking statements.

The Company’s actual results may differ materially from the results anticipated in these forward-looking statements due to a variety of factors, including, without limitation:

	■	local, regional and national economic conditions and changes thereto;
	■	the short-term and long-term effects of inflation, and rising costs to the Company, its customers and on the economy;
	■	the risks of changes and volatility of interest rates on the level and composition of deposits, loan demand, and the values of loan collateral, securities and interest rate protection agreements, as well as interest rate risks;
	■	securities markets and monetary fluctuations and volatility;
	■	disruption of credit and equity markets;
	■	impacts of the capital and liquidity requirements of the Basel III standards and other regulatory pronouncements, regulations and rules;
	■	governmental monetary and fiscal policies, as well as legislative and regulatory changes;
	■	effects of short- and long-term federal budget and tax negotiations and their effect on economic and business conditions;
	■	the costs and effects of litigation and of unexpected or adverse outcomes in such litigation;
	■	the impact of new or changes in existing laws and regulations, including laws and regulations concerning taxes, banking, securities and insurance and their application with which the Company and its subsidiaries must comply;

	■	the effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Financial Accounting Standards Board and other accounting standard setters;
	■	the effects of competition from other commercial banks, thrifts, mortgage banking firms, consumer finance companies, credit unions, securities brokerage firms, insurance companies, money market and other mutual funds and other financial institutions operating in our market area and elsewhere, including institutions operating locally, regionally, nationally and internationally, together with such competitors offering banking products and services by mail, telephone, computer and the internet;
	■	the effects of economic conditions of any pandemic, epidemic or other health-related crisis such as COVID-19 and responses thereto on current customers and the operations of the Company, specifically the effect of the economy on loan customers’ ability to repay loans;
	■	the effects of bank failures, banking system instability, deposit fluctuations, loan and securities value changes;
	■	technological changes;
	■	the interruption or breach in security of our information systems, continually evolving cybersecurity and other technological risks and attacks resulting in failures or disruptions in customer account management, general ledger processing and loan or deposit updates and potential impacts resulting therefrom including additional costs, reputational damage, regulatory penalties, and financial losses;
	■	acquisitions and integration of acquired businesses;
	■	the failure of assumptions underlying the establishment of reserves for loan losses and estimations of values of collateral and various financial assets and liabilities;
	■	acts of war or terrorism; and
	■	the risk that our analyses of these risks and forces could be incorrect and/or that the strategies developed to address them could be unsuccessful.

The Company cautions readers not to place undue reliance on forward-looking statements, which reflect analyses only as of the date of this release. The Company has no obligation to update any forward-looking statements to reflect events or circumstances after the date of this release.

For more information please visit our investor relations web site located through www.bankatfidelity.com.

FIDELITY D & D BANCORP, INC. Unaudited Condensed Consolidated Balance Sheets (dollars in thousands)

At Period End:	December 31, 2024			December 31, 2023
Assets
Cash and cash equivalents	$	83,353		$	111,949
Investment securities		557,221			568,273
Restricted investments in bank stock		3,961			3,905
Loans and leases		1,800,856			1,686,555
Allowance for credit losses on loans		(19,666	)		(18,806	)
Premises and equipment, net		35,914			34,232
Life insurance cash surrender value		58,069			54,572
Goodwill and core deposit intangible		20,504			20,812
Other assets		44,404			41,667

Total assets	$	2,584,616		$	2,503,159

Liabilities
Non-interest-bearing deposits	$	533,935		$	536,143
Interest-bearing deposits		1,806,885			1,622,282
Total deposits		2,340,820			2,158,425
Short-term borrowings		–			117,000
Secured borrowings		6,266			7,372
Other liabilities		33,561			30,883
Total liabilities		2,380,647			2,313,680

Shareholders’ equity		203,969			189,479

Total liabilities and shareholders’ equity	$	2,584,616		$	2,503,159

Average Year-To-Date Balances:	December 31, 2024			December 31, 2023
Assets
Cash and cash equivalents	$	55,773		$	35,462
Investment securities		557,537			597,359
Restricted investments in bank stock		3,960			4,212
Loans and leases		1,741,349			1,635,286
Allowance for credit losses on loans		(19,391	)		(18,680	)
Premises and equipment, net		35,580			32,215
Life insurance cash surrender value		56,455			54,085
Goodwill and core deposit intangible		20,641			20,977
Other assets		41,755			44,180

Total assets	$	2,493,659		$	2,405,096

Liabilities
Non-interest-bearing deposits	$	527,825		$	558,962
Interest-bearing deposits		1,697,529			1,586,527
Total deposits		2,225,354			2,145,489
Short-term borrowings		32,446			49,860
Secured borrowings		6,830			7,489
Other liabilities		32,471			29,881
Total liabilities		2,297,101			2,232,719

Shareholders’ equity		196,558			172,377

Total liabilities and shareholders’ equity	$	2,493,659		$	2,405,096

FIDELITY D & D BANCORP, INC. Unaudited Condensed Consolidated Statements of Income (dollars in thousands)

	Three Months Ended						Twelve Months Ended
	Dec. 31, 2024			Dec. 31, 2023			Dec. 31, 2024			Dec. 31, 2023
Interest income
Loans and leases	$	24,584		$	21,406		$	93,269		$	80,629
Securities and other		3,475			3,434			13,753			13,206

Total interest income		28,059			24,840			107,022			93,835

Interest expense
Deposits		(11,468	)		(9,232	)		(43,165	)		(28,945	)
Borrowings and debt		(217	)		(707	)		(1,992	)		(2,843	)

Total interest expense		(11,685	)		(9,939	)		(45,157	)		(31,788	)

Net interest income		16,374			14,901			61,865			62,047

Provision for credit losses on loans		(250	)		(111	)		(1,325	)		(1,491	)
Net benefit (provision) for credit losses on unfunded loan commitments		85			65			(140	)		165
Non-interest income (loss)		4,847			(1,944	)		19,013			11,405
Non-interest expense		(14,395	)		(12,804	)		(55,541	)		(51,870	)

Income before income taxes		6,661			107			23,872			20,256

(Provision) benefit for income taxes		(826	)		361			(3,078	)		(2,046	)
Net income	$	5,835		$	468		$	20,794		$	18,210

	Three Months Ended
	Dec. 31, 2024			Sep. 30, 2024			Jun. 30, 2024			Mar. 31, 2024			Dec. 31, 2023
Interest income
Loans and leases	$	24,584		$	24,036		$	22,516		$	22,133		$	21,406
Securities and other		3,475			3,263			3,523			3,492			3,434

Total interest income		28,059			27,299			26,039			25,625			24,840

Interest expense
Deposits		(11,468	)		(11,297	)		(10,459	)		(9,941	)		(9,232	)
Borrowings and debt		(217	)		(571	)		(463	)		(741	)		(707	)

Total interest expense		(11,685	)		(11,868	)		(10,922	)		(10,682	)		(9,939	)

Net interest income		16,374			15,431			15,117			14,943			14,901

Provision for credit losses on loans		(250	)		(675	)		(275	)		(125	)		(111	)
Net benefit (provision) for credit losses on unfunded loan commitments		85			(135	)		(140	)		50			65
Non-interest income (loss)		4,847			4,979			4,615			4,572			(1,944	)
Non-interest expense		(14,395	)		(13,840	)		(13,616	)		(13,689	)		(12,804	)

Income before income taxes		6,661			5,760			5,701			5,751			107

(Provision) benefit for income taxes		(826	)		(793	)		(766	)		(694	)		361
Net income	$	5,835		$	4,967		$	4,935		$	5,057		$	468

FIDELITY D & D BANCORP, INC. Unaudited Condensed Consolidated Balance Sheets (dollars in thousands)

At Period End:	Dec. 31, 2024			Sep. 30, 2024			Jun. 30, 2024			Mar. 31, 2024			Dec. 31, 2023
Assets
Cash and cash equivalents	$	83,353		$	120,169		$	78,085		$	72,733		$	111,949
Investment securities		557,221			559,819			552,495			559,016			568,273
Restricted investments in bank stock		3,961			3,944			3,968			3,959			3,905
Loans and leases		1,800,856			1,795,548			1,728,509			1,697,299			1,686,555
Allowance for credit losses on loans		(19,666	)		(19,630	)		(18,975	)		(18,886	)		(18,806	)
Premises and equipment, net		35,914			36,057			35,808			34,899			34,232
Life insurance cash surrender value		58,069			57,672			57,278			54,921			54,572
Goodwill and core deposit intangible		20,504			20,576			20,649			20,728			20,812
Other assets		44,404			41,778			42,828			44,227			41,667

Total assets	$	2,584,616		$	2,615,933		$	2,500,645		$	2,468,896		$	2,503,159

Liabilities
Non-interest-bearing deposits	$	533,935		$	549,710		$	527,572		$	537,824		$	536,143
Interest-bearing deposits		1,806,885			1,792,796			1,641,558			1,678,172			1,622,282
Total deposits		2,340,820			2,342,506			2,169,130			2,215,996			2,158,425
Short-term borrowings		–			25,000			98,120			25,000			117,000
Secured borrowings		6,266			6,323			7,237			7,299			7,372
Other liabilities		33,561			34,843			30,466			28,966			30,883
Total liabilities		2,380,647			2,408,672			2,304,953			2,277,261			2,313,680

Shareholders’ equity		203,969			207,261			195,692			191,635			189,479

Total liabilities and shareholders’ equity	$	2,584,616		$	2,615,933		$	2,500,645		$	2,468,896		$	2,503,159

Average Quarterly Balances:	Dec. 31, 2024			Sep. 30, 2024			Jun. 30, 2024			Mar. 31, 2024			Dec. 31, 2023
Assets
Cash and cash equivalents	$	67,882		$	41,991		$	58,351		$	54,887		$	42,176
Investment securities		560,453			554,578			551,445			563,674			558,423
Restricted investments in bank stock		3,957			3,965			3,983			3,934			3,854
Loans and leases		1,797,023			1,763,254			1,707,598			1,696,669			1,664,905
Allowance for credit losses on loans		(20,050	)		(19,323	)		(19,171	)		(19,013	)		(19,222	)
Premises and equipment, net		36,065			36,219			35,433			34,591			33,629
Life insurance cash surrender value		57,919			57,525			55,552			54,796			54,449
Goodwill and core deposit intangible		20,529			20,602			20,677			20,759			20,844
Other assets		41,454			41,734			42,960			40,871			46,028

Total assets	$	2,565,232		$	2,500,545		$	2,456,828		$	2,451,168		$	2,405,086

Liabilities
Non-interest-bearing deposits	$	538,506		$	522,827		$	530,048		$	519,856		$	533,663
Interest-bearing deposits		1,769,265			1,702,187			1,670,211			1,647,615			1,616,826
Total deposits		2,307,771			2,225,014			2,200,259			2,167,471			2,150,489
Short-term borrowings		10,326			37,220			28,477			53,952			48,490
Secured borrowings		6,297			6,429			7,269			7,335			7,412
Other liabilities		34,695			31,999			30,734			32,434			30,745
Total liabilities		2,359,089			2,300,662			2,266,739			2,261,192			2,237,136

Shareholders’ equity		206,143			199,883			190,089			189,976			167,950

Total liabilities and shareholders’ equity	$	2,565,232		$	2,500,545		$	2,456,828		$	2,451,168		$	2,405,086

FIDELITY D & D BANCORP, INC. Selected Financial Ratios and Other Financial Data

	Three Months Ended
	Dec. 31, 2024			Sep. 30, 2024			Jun. 30, 2024			Mar. 31, 2024			Dec. 31, 2023
Selected returns and financial ratios
Basic earnings per share	$	1.02		$	0.87		$	0.86		$	0.88		$	0.08
Diluted earnings per share	$	1.01		$	0.86		$	0.86		$	0.88		$	0.08
Dividends per share	$	0.40		$	0.38		$	0.38		$	0.38		$	0.38
Yield on interest-earning assets (FTE)*		4.68	%		4.68	%		4.58	%		4.52	%		4.36	%
Cost of interest-bearing liabilities		2.60	%		2.70	%		2.58	%		2.51	%		2.36	%
Cost of funds		2.00	%		2.08	%		1.96	%		1.93	%		1.79	%
Net interest spread (FTE)*		2.08	%		1.98	%		2.00	%		2.01	%		2.00	%
Net interest margin (FTE)*		2.78	%		2.70	%		2.71	%		2.69	%		2.66	%
Return on average assets		0.90	%		0.79	%		0.81	%		0.83	%		0.08	%
Pre-provision net revenue to average assets*		1.06	%		1.05	%		1.00	%		0.96	%		0.03	%
Return on average equity		11.26	%		9.89	%		10.44	%		10.71	%		1.10	%
Return on average tangible equity*		12.50	%		11.02	%		11.72	%		12.02	%		1.26	%
Efficiency ratio (FTE)*		65.48	%		65.33	%		66.47	%		67.56	%		63.74	%
Expense ratio		1.48	%		1.41	%		1.47	%		1.50	%		2.43	%

	Years ended
	Dec. 31, 2024			Dec. 31, 2023
Basic earnings per share	$	3.63		$	3.21
Diluted earnings per share	$	3.60		$	3.19
Dividends per share	$	1.54		$	1.46
Yield on interest-earning assets (FTE)*		4.62	%		4.18	%
Cost of interest-bearing liabilities		2.60	%		1.93	%
Cost of funds		1.99	%		1.44	%
Net interest spread (FTE)*		2.02	%		2.25	%
Net interest margin (FTE)*		2.72	%		2.81	%
Return on average assets		0.83	%		0.76	%
Pre-provision net revenue to average assets*		1.02	%		0.90	%
Return on average equity		10.58	%		10.56	%
Return on average tangible equity*		11.82	%		12.03	%
Efficiency ratio (FTE)*		66.19	%		62.67	%
Expense ratio		1.47	%		1.69	%

FIDELITY D & D BANCORP, INC. Selected Financial Ratios and Other Financial Data

Non-GAAP Measures	Three Months Ended						Twelve Months Ended
(dollars in thousands except per share data)	Dec. 31, 2024			Dec. 31, 2023			Dec. 31, 2024			Dec. 31, 2023
Net income	$	5,835		$	468		$	20,794		$	18,210
Loss (gain) on the sale of available-for-sale debt securities, net of income taxes		–			5,109			–			5,110
Adjusted net income*	$	5,835		$	5,577		$	20,794		$	23,320
Adjusted basic earnings per share*	$	1.02		$	0.98		$	3.63		$	4.11
Adjusted diluted earnings per share*	$	1.01		$	0.97		$	3.60		$	4.08
Adjusted return on average assets*		0.90	%		0.92	%		0.83	%		0.97	%
Adjusted return on average tangible equity*		12.51	%		15.04	%		11.82	%		15.40	%

Other financial data	At period end:
(dollars in thousands except per share data)	Dec. 31, 2024			Sep. 30, 2024			Jun. 30, 2024			Mar. 31, 2024			Dec. 31, 2023
Assets under management	$	921,994		$	942,190		$	906,861		$	900,964		$	876,287
Book value per share	$	35.56		$	36.13		$	34.12		$	33.41		$	33.22
Tangible book value per share*	$	31.98		$	32.55		$	30.52		$	29.80		$	29.57
Equity to assets		7.89	%		7.92	%		7.83	%		7.76	%		7.57	%
Tangible common equity ratio*		7.16	%		7.19	%		7.06	%		6.98	%		6.79	%
Allowance for credit losses on loans to:
Total loans		1.09	%		1.09	%		1.10	%		1.11	%		1.12	%
Non-accrual loans	2.68x			2.77x			2.75x			5.31x			5.68x
Non-accrual loans to total loans		0.41	%		0.39	%		0.40	%		0.21	%		0.20	%
Non-performing assets to total assets		0.30	%		0.29	%		0.28	%		0.15	%		0.13	%
Net charge-offs to average total loans		0.03	%		0.02	%		0.03	%		0.01	%		0.04	%

Capital Adequacy Ratios
Total risk-based capital ratio		14.78	%		14.56	%		14.69	%		14.68	%		14.67	%
Common equity tier 1 risk-based capital ratio		13.60	%		13.38	%		13.52	%		13.47	%		13.42	%
Tier 1 risk-based capital ratio		13.60	%		13.38	%		13.52	%		13.47	%		13.42	%
Leverage ratio		9.22	%		9.30	%		9.30	%		9.15	%		9.15	%

* Non-GAAP Financial Measures – see reconciliations below

FIDELITY D & D BANCORP, INC. Reconciliations of Non-GAAP Financial Measures to GAAP

Reconciliations of Non-GAAP Measures to GAAP	Three Months Ended
(dollars in thousands)	Dec. 31, 2024			Sep. 30, 2024			Jun. 30, 2024			Mar. 31, 2024			Dec. 31, 2023
FTE net interest income (non-GAAP)
Interest income (GAAP)	$	28,059		$	27,299		$	26,039		$	25,625		$	24,840
Adjustment to FTE		764			775			751			747			664
Interest income adjusted to FTE (non-GAAP)		28,823			28,074			26,790			26,372			25,504
Interest expense (GAAP)		11,685			11,868			10,922			10,682			9,939
Net interest income adjusted to FTE (non-GAAP)	$	17,138			16,206		$	15,868			15,690			15,565

Efficiency Ratio (non-GAAP)
Non-interest expenses (GAAP)	$	14,395		$	13,840		$	13,616		$	13,689		$	12,804

Net interest income (GAAP)		16,374			15,431			15,117			14,943			14,901
Plus: taxable equivalent adjustment		764			775			751			747			664
Non-interest income (GAAP)		4,847			4,979			4,615			4,572			(1,944	)
Less: (Loss) gain on sales of securities		–			–			–			–			(6,467	)
Net interest income (FTE) plus adjusted non-interest income (non-GAAP)	$	21,985		$	21,185		$	20,483		$	20,262		$	20,088
Efficiency ratio (non-GAAP) ⁽¹⁾		65.47	%		65.33	%		66.48	%		67.56	%		63.74	%
⁽¹⁾ The reported efficiency ratio is a non-GAAP measure calculated by dividing non-interest expense by the sum of net interest income, on an FTE basis, and adjusted non-interest (loss) income.

Tangible Book Value per Share/Tangible Common Equity Ratio (non-GAAP)
Total assets (GAAP)	$	2,584,616		$	2,615,933		$	2,500,645		$	2,468,896		$	2,503,159
Less: Intangible assets, primarily goodwill		(20,504	)		(20,576	)		(20,649	)		(20,728	)		(20,812	)
Tangible assets		2,564,112			2,595,357			2,479,996			2,448,168			2,482,347
Total shareholders’ equity (GAAP)		203,969			207,261			195,692			191,635			189,479
Less: Intangible assets, primarily goodwill		(20,504	)		(20,576	)		(20,649	)		(20,728	)		(20,812	)
Tangible common equity		183,465			186,685			175,043			170,907			168,667

Common shares outstanding, end of period		5,736,252			5,736,025			5,735,728			5,735,732			5,703,636
Tangible Common Book Value per Share	$	31.98		$	32.55		$	30.52		$	29.80		$	29.57
Tangible Common Equity Ratio		7.16	%		7.19	%		7.06	%		6.98	%		6.79	%

Pre-Provision Net Revenue to Average Assets
Income before taxes (GAAP)	$	6,661		$	5,760		$	5,701		$	5,751		$	107
Plus: Provision for credit losses		165			810			415			75			47
Total pre-provision net revenue (non-GAAP)		6,826			6,570			6,116			5,826			154
Total (annualized) (non-GAAP)	$	27,157		$	26,423		$	24,600		$	23,432		$	609

Average assets	$	2,565,232		$	2,500,545		$	2,456,828		$	2,451,168		$	2,405,086
Pre-Provision Net Revenue to Average Assets (non-GAAP)		1.06	%		1.05	%		1.00	%		0.96	%		0.03	%

FIDELITY D & D BANCORP, INC. Reconciliations of Non-GAAP Financial Measures to GAAP

Reconciliations of Non-GAAP Measures to GAAP	Years ended
(dollars in thousands)	Dec. 31, 2024			Dec. 31, 2023
FTE net interest income (non-GAAP)
Interest income (GAAP)	$	107,022		$	93,835
Adjustment to FTE		3,036			2,850
Interest income adjusted to FTE (non-GAAP)		110,058			96,685
Interest expense (GAAP)		45,157			31,788
Net interest income adjusted to FTE (non-GAAP)	$	64,901			64,897

Efficiency Ratio (non-GAAP)
Non-interest expenses (GAAP)	$	55,541		$	51,870

Net interest income (GAAP)		61,865			62,047
Plus: taxable equivalent adjustment		3,036			2,850
Non-interest income (GAAP)		19,013			11,405
Less: (Loss) gain on sales of securities		–			(6,468	)
Net interest income (FTE) plus non-interest income (non-GAAP)	$	83,914		$	82,770
Efficiency ratio (non-GAAP) ⁽¹⁾		66.19	%		62.67	%
⁽¹⁾ The reported efficiency ratio is a non-GAAP measure calculated by dividing non-interest expense by the sum of net interest income, on an FTE basis, and adjusted non-interest (loss) income.

Pre-Provision Net Revenue to Average Assets
Income before taxes (GAAP)	$	23,873		$	20,256
Plus: Provision for credit losses		1,465			1,327
Total pre-provision net revenue (non-GAAP)	$	25,338		$	21,583

Average assets	$	2,493,659		$	2,405,096
Pre-Provision Net Revenue to Average Assets (non-GAAP)		1.02	%		0.90	%

Contacts:

Daniel J. Santaniello	Salvatore R. DeFrancesco, Jr.
President and Chief Executive Officer	Treasurer and Chief Financial Officer
570-504-8035	570-504-8000

The MIL Network –

January 30, 2025

MIL-OSI: Waldencast Announces Participation in the 2025 IMCAS World Congress

Source: GlobeNewswire (MIL-OSI)

LONDON, Jan. 29, 2025 (GLOBE NEWSWIRE) — Waldencast plc, (NASDAQ: WALD) (“Waldencast”), a global multi-brand beauty and wellness platform, today announced its participation in the 2025 International Master Course on Aging Science (IMCAS) World Congress, which will be held in Paris from January 30, 2025 to February 1, 2025.

The IMCAS World Congress is one of the most highly anticipated events in the dermatology, plastic surgery, and aging science community. It gathers industry leaders and executives to discuss the latest breakthroughs, innovations, and business opportunities.

Michel Brousset, Founder and Chief Executive Officer, will participate in a capital markets roundtable where he will discuss the future of medical grade skincare and the overall beauty and aesthetics industry.

Additionally, Dr. Suzan Obagi, Chief Medical Director at Obagi Medical, will participate in two sessions at the event. The first is a lecture titled “Pairing Skincare with Procedures to Enhance Results and Minimize Complications,” which will focus on the complications of energy-based devices and how to minimize the effects. The second is a scientific committee symposium focused on hyperpigmentation.

About Waldencast
Founded by Michel Brousset and Hind Sebti, Waldencast’s ambition is to build a global best-in-class beauty and wellness operating platform by developing, acquiring, accelerating, and scaling conscious, high-growth purpose-driven brands. Waldencast’s vision is fundamentally underpinned by its brand-led business model that ensures proximity to its customers, business agility, and market responsiveness, while maintaining each brand’s distinct DNA. The first step in realizing its vision was the business combination with Obagi Skincare and Milk Makeup. As part of the Waldencast platform, its brands will benefit from the operational scale of a multi-brand platform; the expertise in managing global beauty brands at scale; a balanced portfolio to mitigate category fluctuations; asset light efficiency; and the market responsiveness and speed of entrepreneurial indie brands. For more information please visit: https://ir.waldencast.com/.

About Obagi Medical
Obagi Medical is an industry-leading, advanced skincare line rooted in research and skin biology, refined with a legacy of 35 years’ experience. First known as leaders in the treatment of hyperpigmentation with the Obagi Nu-Derm^® System, Obagi products are designed to diminish the appearance of premature aging, photodamage, skin discoloration, acne, and sun damage. Backed by science and trusted by professionals, Obagi empowers individuals to achieve healthy, beautiful skin. More information about Obagi is available on the brand’s website, https://www.obagi.com.

About Suzan Obagi, MD
Suzan Obagi, MD Obagi is an Associate Professor of Dermatology and Plastic Surgery at the University of Pittsburgh Medical Center (UPMC) and serves as the director of the state-of-the-art UPMC Cosmetic Surgery and Skin Health Center. Dr. Obagi’s academic commitments include clinical research, training residents in dermatologic surgery & cosmetic dermatologic surgery, and in her role as the director of the cosmetic dermatologic surgery fellowship.

Dr. Obagi has worked on various committees with the American Society for Dermatologic Surgery, has formerly served as vice president of the American Board of Cosmetic Surgery and the President of the American Academy of Cosmetic Surgery, and is a past president of the Cosmetic Surgery Foundation. In addition, Dr. Obagi trains physicians from around the world on the latest in cosmetic and laser surgery.

Contacts

Investors
ICR
Allison Malkin
investors@waldencast.com

Media
ICR
Brittany Fraser/Alecia Pulman
waldencast@icrinc.com

The MIL Network –

January 30, 2025

MIL-OSI United Kingdom: Decade-long ban for director of London bakery who abused Covid support scheme

Source: United Kingdom – Government Statements

Director disqualified for Bounce Back Loan abuse

Azizullrahman Akbari overstated his company’s turnover when he applied for a £50,000 Bounce Back Loan – the maximum amount businesses could receive under the scheme
His New Watan Bakery Limited company did not have a turnover of more than £200,000 as he falsely claimed
Akbari has been banned as a company director until January 2035 following investigations by the Insolvency Service

The former boss of a west London bakery who overstated his company’s turnover to secure a maximum-value Covid loan has been banned from acting as a director for 10 years.

Azizullrahman Akbari, 60, obtained a £50,000 Bounce Back Loan just weeks into the pandemic, claiming the turnover for his New Watan Bakery Limited company was more than £200,000.

In reality, the company, which ran the Watan Bakery on South Road in Southall, never had such a high turnover.

Elizabeth Pigney, Chief Investigator at the Insolvency Service, said:

Azizullrahman Akbari exaggerated his company’s turnover to secure a £50,000 Bounce Back Loan, the most businesses were entitled to under the rules of the scheme.

From our analysis of the accounts, the company did not deserve anywhere near this amount.

Tackling Bounce Back Loan misconduct remains a key priority for the Insolvency Service and we will continue to take action against directors like Akbari who made false declarations when applying for financial support from the government.

New Watan Bakery began trading in June 2016, with Akbari as its sole director.

Akbari, of The Broadway, Southall, applied for a Bounce Back Loan in May 2020, declaring his company had a turnover of £214,010.

Businesses established before the start of January 2019 could apply for a Bounce Back Loan of up to a quarter of their annual turnover, with a maximum amount of £50,000.

Insolvency Service analysis of the company’s accounts revealed a turnover of £62,584 for the period up until the end of June 2019.

For the period ending June 2020, the turnover was smaller at £52,370.

New Watan Bakery entered liquidation in July 2023 owing more than £53,000.

The Secretary of State for Business and Trade accepted a disqualification undertaking from Akbari, and his ban started on Wednesday 29 January. 

The undertaking prevents him from being involved in the promotion, formation or management of a company, without the permission of the court.

A separate company now runs the bakery. Akbari is not listed as a director of this company.

Further information

Azizullrahman Akbari is of The Broadway, Southall, London. His date of birth is 23 September 1964
New Watan Bakery Limited (company number 10237625)
Read more about the Bounce Back Loan Scheme and the action the Insolvency Service can take if it finds misconduct
Further information about the work of the Insolvency Service, and how to complain about financial misconduct.

Published 29 January 2025

MIL OSI United Kingdom –

January 30, 2025

MIL-OSI: Navient posts fourth quarter 2024 financial results

Source: GlobeNewswire (MIL-OSI)

HERNDON, Va., Jan. 29, 2025 (GLOBE NEWSWIRE) — Navient (Nasdaq: NAVI) today posted its 2024 fourth quarter financial results. Complete financial results are available on the company’s website at Navient.com/investors. The materials will also be available on a Form 8-K on the SEC’s website at www.sec.gov.

Navient will hold a live audio webcast today, Jan. 29, 2025, at 8 a.m. ET, hosted by David Yowan, president and CEO, Edward Bramson, vice chair of Navient’s board of directors, and Joe Fisher, CFO.

Analysts and investors who wish to ask questions are requested to pre-register at Navient.com/investors at least 15 minutes ahead of start time to receive their personal dial-in access details. Others who wish to join in listen-only mode do not need to pre-register and may simply visit Navient.com/investors to access the webcast.

Supplemental financial information and presentation slides used during the call will be available no later than the start time. A replay of the webcast will be available approximately two hours after the event’s conclusion.

About Navient
Navient (Nasdaq: NAVI) provides technology-enabled education finance solutions that simplify complex programs and help millions of people achieve success. Our customer-focused, data-driven services deliver exceptional results for clients. Learn more at navient.com.

Contact:
Media: Paul Hartwick, 302-283-4026, paul.hartwick@navient.com
Investors: Jen Earyes, 703-984-6801, jen.earyes@navient.com

The MIL Network –

January 30, 2025

MIL-OSI: Aktia’s Financial Statement Release 2024 will be published on Wednesday 12 February 2025 at 8.00 a.m.

Source: GlobeNewswire (MIL-OSI)

Aktia Bank Plc
Press release
29 January 2025 at 1.30 p.m.

Aktia’s Financial Statement Release 2024 will be published on Wednesday 12 February 2025 at 8.00 a.m.

Aktia’s Financial Statement Release 2024 will be published on Wednesday 12 February 2025 at 8.00 a.m. (EET). The Financial Statement Release is available at Aktia’s website www.aktia.com after the publication.

Briefing for analysts, investors and media

Aktia’s briefing for analysts, investors and media will be held in English at Little Finlandia’s Oksa-hall (Karamzininranta 4, Helsinki) on Wednesday 12 February 2025 at 10.30 a.m. Aktia’s CEO Aleksi Lehtonen and CFO Sakari Järvelä will be presenting the results. Attendees are kindly asked to register before 5 February 2025 by email at the address ir@aktia.fi.

The briefing can be seen live as a webcast or as a recording after the briefing at https://aktia.events.inderes.com/q4-report-2024. Questions can be asked in writing during the live webcast.

The presentation material in English is available at Aktia’s website www.aktia.com before the briefing.

Aktia Bank Plc

Further information:
Oscar Taimitarha, Director, Investor Relations, tel. +358 40 562 2315

Distribution:
Nasdaq Helsinki Ltd
Mass media
www.aktia.com

Aktia är en finländsk kapitalförvaltare, bank och livförsäkrare som har skapat välstånd och välfärd generation efter generation redan under 200 års tid. Vi tillhandahåller våra kunder digitala tjänster i ett flertal kanaler och ger personlig service på våra verksamhetsställen i huvudstadsregionen samt i Åbo-, Tammerfors-, Vasa- och Uleåborgsregionerna. Vår belönade kapitalförvaltnings fonder säljs även internationellt. Vi sysselsätter ca 850 personer på olika håll i Finland. Aktias förvaltade kundtillgångar (AuM) uppgick 30.9.2024 till 14,3 miljarder euro och balansomslutningen till 12,0 miljarder euro. Aktias aktie noteras på Nasdaq Helsinki Oy (AKTIA). aktia.com.

The MIL Network –

January 30, 2025

MIL-OSI United Kingdom: Government backs Heathrow expansion to kickstart economic growth

Source: United Kingdom – Executive Government & Departments

Lift-off for growth as government backs expansion at Britain’s busiest and only hub airport.

Plan could create over 100,000 direct jobs, boost a better-connected British economy by billions, and lead to cheaper fares and fewer delays for families as part of Plan for Change.
Expansion must be delivered in line with UK’s legal, environmental and climate obligations.

Working people and businesses across Britain will benefit from a government going “further and faster” to kickstart economic growth, as the Chancellor today [29 January] announced the government’s support for a third runway at Heathrow.

Speaking to an audience of business chiefs at Siemens in North Oxfordshire this morning, the Chancellor set out the government’s latest set of reforms to kickstart economic growth and drive up living standards across the UK by driving investment, getting Britain building and tackling regulatory barriers. This included the announcement that the government supports and is inviting proposals for a third runway at Heathrow.

The Chancellor confirmed that the government will move at speed to review the Airports National Policy Statement (ANPS). This provides the basis for decision making on granting development consent for a new runway at Heathrow, to ensure that any scheme is delivered in line with our legal, environmental and climate obligations.

In her speech, Chancellor of the Exchequer Rachel Reeves said:

I have always been clear that a third runway at Heathrow would unlock further growth, boost investment, increase exports, and make the UK more open and more connected as part of our Plan for Change.

And now the case is stronger than ever because our reforms to the economy – like speeding up our planning system, and our strengthened plans to modernise UK airspace – mean the delivery of this project is set up for success.

So I can confirm today that this Government supports a third runway at Heathrow and is inviting proposals to be brought forward by the summer.

As well as creating over 100,000 jobs in the local area and many more indirectly, research published today by Frontier Economics finds that 60% of the economic boost from a third runway would be felt by areas outside of London and the South East – putting more money in the pockets of working people across the UK through lower fares and greater choice for passengers as part of our Plan for Change.

During the speech, Reeves announced that the Transport Secretary Heidi Alexander is expected to take decisions on expansion plans at Gatwick and Luton shortly, and that the government will work with Doncaster Council and the Mayor of South Yorkshire to support their efforts to reopen Doncaster Sheffield Airport as a thriving regional airport.

The Chancellor also announced that a new partnership between global logistics giant Prologis and East Midlands Airport to build a new advanced manufacturing park within the East Midlands Freeport zone to unlock £1 billion of investment and 2,000 jobs. It follows this government’s swift approval of similarly stalled plans for London City Airport to expand to nine million passengers per year by 2031 and a £1.1 billion investment at Stansted Airport to extend its terminal and create 5,000 jobs.

After delivering stability to the public finances and wider economy as the basic precondition for economic growth, the pace of investment and reform demonstrates the government’s willingness to secure the future of the UK’s world-class aviation sector and the sustainable growth it can provide. Air freight represented 57% of the UK’s non-EU exports by value in 2023, with over 60% of freight coming through the UK doing so through Heathrow. International connectivity also supports vital tourism and business links, with overseas visitors spending £31 billion on their visits to the UK in 2023 and 15 million business travellers using Heathrow in the same year.

It comes after reforms to speed up the planning system and a presumption to ‘back the builders over the blockers’ were set out by the Prime Minister Keir Starmer last week. The government has committed to making decisions on 150 major economic infrastructure applications over this Parliament, having already made decisions on multiple significant projects within its first six months spanning airports, data centres, energy farms, and major housing developments. The Planning and Infrastructure Bill to be introduced in Spring will enact further sweeping reforms and take an axe to the red tape that slows down approval of infrastructure projects.

Alongside these reforms and plans to modernise UK airspace, the government is taking great strides in transitioning to greener aviation. Sustainable Aviation Fuel reduces CO2 emissions compared to fossil jet fuel by around 70% and the Chancellor announced that the government is supporting UK producers by investing £63 million in 2025-26 into the Advanced Fuels Fund and setting out details of a Revenue Certainty Mechanism. This will support investment and high-skilled green jobs in plants across the UK – with previous winners of the Fund ranging from across the north of England to South Wales – and follows the Sustainable Aviation Fuel Mandate coming into law at the start of 2025. Taken together, our commitments to SAF will support thousands of jobs in places like Teesside and Humberside, bring down our transport emissions, and help make the UK a clean energy superpower as part of our Plan for Change.

The government is also assessing options for privately financing the Lower Thames Crossing, which will improve connectivity across vital ports and alleviate congestion as goods to be exported come from across the country to markets overseas.

In further recognition that the Government’s clean energy superpower mission is helping to drive the UK’s economic growth mission, Reeves announced that the government will designate new Marine Protected Areas to enable offshore wind, whilst protecting our marine environment. In doing so, barriers to 16 gigawatts of offshore wind will be unblocked – as much electricity as was produced by all gas power plants in 2024 – and up to £30 billion of private investment in homegrown clean power will be unlocked, creating thousands of good clean energy jobs in the offshore wind sector in areas like East Anglia and Yorkshire.

A new approach to the Oxford-Cambridge Growth Corridor – a centre of innovation which could become Europe’s answer to Silicon Valley – will be spearheaded by Sir Patrick Vallance as a Ministerial Champion. The economic potential of this region will be unlocked through leveraging the strengths it boasts in sectors across Britain’s new modern Industrial Strategy, from life sciences and tech to advanced manufacturing.

The Chancellor set out the government’s plans to increase investment across the whole of the UK. She stressed that the government would do more to support city regions and local leaders outside of London and the South East, in recognition that bringing the productivity of major cities like Manchester, Birmingham and Leeds to the national average would deliver an extra £33 billion in output for the UK economy.

Reeves confirmed the backing of the Mayor of Greater Manchester’s plans for the regeneration of the area around Old Trafford, including new housing and commercial development, and the new approach to planning decisions on land around stations, changing the default to yes. The Office for Investment is expanding its support to local leaders across the UK to help develop and promote their investment plans, and new strategic partnerships from the National Wealth Fund (NWF) will provide deeper, more focused support for city regions starting in Glasgow, West Yorkshire, the West Midlands, and Greater Manchester.

NWF and Aviva have today invested £65 million in Connected Kerb to back plans for the electric vehicle smart charging infrastructure company to expand its UK EV charging network towards 40,000 sockets – up from 9,000 as of the end of 2024. This substantial investment into the UK’s public charging infrastructure – one of the NWF’s priority sectors – is crucial for delivering the forecast requirement of at least 300,000 public EV chargers by 2030. NWF is also investing £28 million in Cornish Metals to provide the raw materials to be used in solar panels, wind turbines and electric vehicles, supporting growth and jobs in the South West of England.

Reeves announced that the Treasury will review the Green Book and how it is being used to provide objective, transparent advice on public investment across the country, including outside London and the South East. There were also further details announced on Investment Zones, with the Wrexham and Flintshire Investment Zone to focus on the area’s strengths in advanced manufacturing. Backed by the likes of Airbus and JCB, this is expected to crowd in £1 billion of private investment over a decade and create up to 6,000 jobs.

The Chancellor said that the Business and Trade Secretary Jonathan Reynolds will visit India next month to relaunch talks on a free-trade agreement and bilateral investment treaty, She set out that the guiding principle the government will take in its approach to trade is acting in the national interest of Britain’s economy, its businesses and working people. A trade deal with India, as one of the fastest growing economies in the world and one which is projected to be the fourth largest global importer by 2035, is in line with this approach.

Notes to Editors

The Chancellor’s speech can be found on gov.uk later today here.
As part of the ANPS review, government will engage the Climate Change Committee on how aviation expansion can be made consistent with our net zero framework.

Stakeholder reaction

Kenton Jarvis, CEO of easyJet, said:

I welcome the Government’s pro-growth agenda and their recognition of the importance of aviation and the crucial role it plays as an enabler of economic growth. As an island nation, this industry provides much-needed connectivity as well as creating many skilled jobs which contribute to the wider prosperity of the country.

Expansion at Heathrow will provide consumer and economic benefits and represents a unique opportunity for easyJet to operate from the airport at scale for the first time and bring with it lower fares for consumers.

Paul Weston, Regional Head of Prologis UK said:

The Chancellor’s announcements reflect a drive to support enhanced UK economic growth, which underscores Prologis’ global partnership with East Midlands Airport to unlock investment at the nation’s only inland Freeport site.

We are focused on delivering a new Advanced Manufacturing and Logistics park at pace and in partnership, harnessing the site’s unique potential.

Prologis, as a partner of choice, continues to commit to opportunities across the UK that underpin growth, building the foundations that support economic opportunities and on-the-ground benefits, with central, regional and local government.

Gordon Sanghera, Chief Executive Officer, Oxford Nanopore Technologies said:

The attention given to the innovation potential in the Oxford-Cambridge Growth Corridor is welcome. This is an opportunity to strengthen the UK’s tech infrastructure, expand access to talent, and attract investment—the foundations of innovation—so we can turn more pioneering UK life science start-ups into global scale-ups. The UK can be the best place in the world for breakthrough technologies.

Tim Knowles, Founder and Managing Director of FI Real Estate Management, said:

As an investor in Wrexham for almost 20 years, we’re delighted to see the announcement that Wrexham and Flintshire will receive Advanced Manufacturing Investment Zone status, with three of our schemes on Wrexham Industrial Estate – Wrexham 1M, Wrexham 152, and Bridgeway Centre – forming part of the designated zone.

Across these sites, we’ll be investing £115m to create new, high-quality industrial accommodation, supporting the creation of over 1,000 new jobs and delivering an estimated economic value of £1.2bn in Wrexham over the next 10 years.

Mark Turner, JCB’s Chief Operating Officer said:

JCB has been a prominent feature of the industrial and economic landscape in Wrexham and Flintshire for over 45 years. Innovation is the lifeblood of our business and we welcome the creation of an Investment Zone in North Wales and hope that it will attract many other businesses to the area. As an advanced manufacturer of precision engineering components, JCB Transmissions looks forward to other advanced manufacturing businesses coming to the area. This could go a long way towards building the supply chain resilience of existing manufacturing businesses in the area, such as JCB.

We place a lot of values on skills in our business and we look forward to the Investment Zone positively supporting skills development in the future. JCB continues to invest in our business in Wrexham and today’s IZ announcement bodes well for the economic development of the area in the future.

Published 29 January 2025

MIL OSI United Kingdom –

January 30, 2025

MIL-OSI Economics: W&T Offshore Announces Initial Results of Cash Tender Offer and Consent Solicitation

Source: W & T Offshore Inc

Headline: W&T Offshore Announces Initial Results of Cash Tender Offer and Consent Solicitation

HOUSTON, Jan. 29, 2025 (GLOBE NEWSWIRE) — W&T Offshore, Inc. (NYSE: WTI) (“W&T” or the “Company”) announced today the initial results of its previously announced cash tender offer (the “Tender Offer”) relating to any and all of its outstanding 11.750% senior second lien notes due 2026 (the “2026 Senior Second Lien Notes”) pursuant to its Offer to Purchase and Consent Solicitation dated January 13, 2025 (the “Offer to Purchase”). In conjunction with the Tender Offer, the Company also solicited consents (the “Consent Solicitation”) from the holders of the 2026 Senior Second Lien Notes for the adoption of proposed amendments (the “Proposed Amendments”), which, among other things, eliminated substantially all of the restrictive covenants, as well as various events of default and related provisions contained in the indenture governing the 2026 Senior Second Lien Notes (the “Indenture”).

As of 5:00 p.m. (New York City time) on January 27, 2025, the Company had received the requisite tenders and consents to the Proposed Amendments. The Proposed Amendments became effective on January 27, 2025 upon execution of a supplemental indenture to the indenture governing the 2026 Senior Second Lien Notes.

On January 28, 2025 (the “Early Settlement Date”), the Company accepted and purchased $269,741,000 aggregate principal amount of the outstanding 2026 Senior Second Lien Notes (or approximately 98.09% of the outstanding principal amount of 2026 Senior Second Lien Notes) for a purchase price equal to $1,036.25, plus accrued and unpaid interest, for each $1,000 principal amount of the 2026 Senior Second Lien Notes purchased. After giving effect to the purchase of 2026 Senior Second Lien Notes on the Early Settlement Date, an aggregate $5,259,000 principal amount of the 2026 Senior Second Lien Notes will remain outstanding.

W&T’s tender offer for the 2026 Senior Second Lien Notes will expire at 5:00 p.m. (New York City time) on February 11, 2025, unless the Tender Offer is extended by the Company in its sole discretion (the “Expiration Time”). Holders of the 2026 Senior Second Lien Notes who validly tender their 2026 Senior Second Lien Notes on or prior to the Expiration Time, and whose 2026 Senior Second Lien Notes are accepted for purchase, will receive consideration of $1,006.25 per $1,000 principal amount of the 2026 Senior Second Lien Notes tendered. In addition, the Company will pay accrued and unpaid interest on the principal amount of 2026 Senior Second Lien Notes accepted for purchase from the most recent interest payment date on the 2026 Senior Second Lien Notes to, but not including, February 13, 2025, the final settlement date.

Also on January 28, 2025, the Company mailed a notice of redemption to each remaining holder of 2026 Senior Second Lien Notes. The notice of redemption calls for the redemption of any 2026 Senior Second Lien Notes that remain outstanding on August 1, 2025. Such redemption is being made in accordance with the “optional redemption” provision of the Indenture, at a redemption price equal to 100.000% of the aggregate principal amount of the 2026 Senior Second Lien Notes, plus accrued and unpaid interest up to, but excluding, the date of redemption.

Because the withdrawal deadline of 5:00 p.m. (New York City time) on January 27, 2025 has passed, previously tendered 2026 Senior Second Lien Notes may no longer be withdrawn, and holders who tender 2026 Senior Second Lien Notes after the withdrawal deadline will not have withdrawal rights.

W&T engaged Morgan Stanley & Co. LLC to act as dealer manager for the Tender Offer and as solicitation agent for the Consent Solicitation and can be contacted at (212) 761-1057 (collect) or (800) 624-1808 (toll-free) with questions regarding the Tender Offer and Consent Solicitation.

Copies of the Offer to Purchase are available to holders of 2026 Second Senior Lien Notes from D.F. King & Co., Inc., the information agent and tender agent for the Tender Offer and the Consent Solicitation. Requests for copies of the Offer to Purchase should be directed to D.F. King at (866) 620-2535 (toll free), (212) 269-5550 (banks and brokers) or wtoffshore@dfking.com

Neither the Offer to Purchase nor any related documents have been filed with the U.S. Securities and Exchange Commission (“SEC”), nor have any such documents been filed with or reviewed by any federal or state securities commission or regulatory authority of any country. No authority has passed upon the accuracy or adequacy of the Offer to Purchase or any related documents, and it is unlawful and may be a criminal offense to make any representation to the contrary.

The Tender Offer and the Consent Solicitation were made solely on the terms and conditions set forth in the Offer to Purchase. Under no circumstances shall this press release constitute an offer to buy or the solicitation of an offer to sell the 2026 Second Senior Lien Notes or any other securities of the Company or any of its subsidiaries. The Tender Offer and the Consent Solicitation are not being made to, nor will the Company accept tenders of 2026 Second Senior Lien Notes or deliveries of consents from, holders in any jurisdiction in which the Tender Offer and the Consent Solicitation or the acceptance thereof would not be in compliance with the securities of blue sky laws of such jurisdiction. This press release also is not a solicitation of consents to the Proposed Amendments to the indenture governing the 2026 Second Senior Lien Notes. No recommendation is made as to whether holders should tender their 2026 Second Senior Lien Notes or deliver their consents with respect to the 2026 Second Senior Lien Notes. Holders should carefully read the Offer to Purchase because it contains important information, including the terms and conditions of the Tender Offer and the Consent Solicitation.

About W&T Offshore

W&T Offshore, Inc. is an independent oil and natural gas producer, active in the exploration, development and acquisition of oil and natural gas properties in the Gulf of Mexico. As of September 30, 2024, the Company had working interests in 53 producing offshore fields in federal and state waters (which include 46 fields in federal waters and seven in state waters). The Company has under lease approximately 673,100 gross acres (515,400 net acres) spanning across the outer continental shelf off the coasts of Louisiana, Texas, Mississippi and Alabama, with approximately 514,000 gross acres on the conventional shelf, approximately 153,500 gross acres in the deepwater and 5,600 gross acres in Alabama state waters. A majority of the Company’s daily production is derived from wells it operates. For more information on W&T, please visit the Company’s website at www.wtoffshore.com.

Forward-Looking and Cautionary Statements

This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements other than statements of historical facts included in this release regarding the Company’s financial position, operating and financial performance, timing and completion of the Tender Offer and Consent Solicitation are forward-looking statements. When used in this release, forward-looking statements are generally accompanied by terms or phrases such as “estimate,” “project,” “predict,” “believe,” “expect,” “continue,” “anticipate,” “target,” “could,” “plan,” “intend,” “seek,” “goal,” “will,” “should,” “may” or other words and similar expressions that convey the uncertainty of future events or outcomes, although not all forward-looking statements contain such identifying words. Items contemplating or making assumptions about actual or potential future production and sales, prices, market size, and trends or operating results also constitute such forward-looking statements.

These forward-looking statements are based on the Company’s current expectations and assumptions about future events and speak only as of the date of this release. While management considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks, contingencies and uncertainties, most of which are difficult to predict and many of which are beyond the Company’s control. Accordingly, you are cautioned not to place undue reliance on these forward-looking statements, as results actually achieved may differ materially from expected results described in these statements. The Company does not undertake, and specifically disclaims, any obligation to update any forward-looking statements to reflect events or circumstances occurring after the date of such statements, unless required by law.

Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially including, among other things, the regulatory environment, including availability or timing of, and conditions imposed on, obtaining and/or maintaining permits and approvals, including those necessary for drilling and/or development projects; the impact of current, pending and/or future laws and regulations, and of legislative and regulatory changes and other government activities, including those related to permitting, drilling, completion, well stimulation, operation, maintenance or abandonment of wells or facilities, managing energy, water, land, greenhouse gases or other emissions, protection of health, safety and the environment, or transportation, marketing and sale of the Company’s products; inflation levels; global economic trends, geopolitical risks and general economic and industry conditions, such as the global supply chain disruptions and the government interventions into the financial markets and economy in response to inflation levels and world health events; volatility of oil, NGL and natural gas prices; the global energy future, including the factors and trends that are expected to shape it, such as concerns about climate change and other air quality issues, the transition to a low-emission economy and the expected role of different energy sources; supply of and demand for oil, natural gas and NGLs, including due to the actions of foreign producers, importantly including OPEC and other major oil producing companies (“OPEC+”) and change in OPEC+’s production levels; disruptions to, capacity constraints in, or other limitations on the pipeline systems that deliver the Company’s oil and natural gas and other processing and transportation considerations; inability to generate sufficient cash flow from operations or to obtain adequate financing to fund capital expenditures, meet the Company’s working capital requirements or fund planned investments; price fluctuations and availability of natural gas and electricity; the Company’s ability to use derivative instruments to manage commodity price risk; the Company’s ability to meet the Company’s planned drilling schedule, including due to the Company’s ability to obtain permits on a timely basis or at all, and to successfully drill wells that produce oil and natural gas in commercially viable quantities; uncertainties associated with estimating proved reserves and related future cash flows; the Company’s ability to replace the Company’s reserves through exploration and development activities; drilling and production results, lower–than–expected production, reserves or resources from development projects or higher–than–expected decline rates; the Company’s ability to obtain timely and available drilling and completion equipment and crew availability and access to necessary resources for drilling, completing and operating wells; changes in tax laws; effects of competition; uncertainties and liabilities associated with acquired and divested assets; the Company’s ability to make acquisitions and successfully integrate any acquired businesses; asset impairments from commodity price declines; large or multiple customer defaults on contractual obligations, including defaults resulting from actual or potential insolvencies; geographical concentration of the Company’s operations; the creditworthiness and performance of the Company’s counterparties with respect to its hedges; impact of derivatives legislation affecting the Company’s ability to hedge; failure of risk management and ineffectiveness of internal controls; catastrophic events, including tropical storms, hurricanes, earthquakes, pandemics and other world health events; environmental risks and liabilities under U.S. federal, state, tribal and local laws and regulations (including remedial actions); potential liability resulting from pending or future litigation; the Company’s ability to recruit and/or retain key members of the Company’s senior management and key technical employees; information technology failures or cyberattacks; and governmental actions and political conditions, as well as the actions by other third parties that are beyond the Company’s control, and other factors discussed in W&T Offshore’s most recent Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q found at www.sec.gov or at the Company’s website at www.wtoffshore.com under the Investor Relations section.

Disclaimer

This press release must be read in conjunction with the Offer to Purchase. This announcement and the Offer to Purchase contain important information which must be read carefully before any decision is made with respect to the Tender Offer and the Consent Solicitation. If any holder of 2026 Senior Second Lien Notes is in any doubt as to the actions it should take, it is recommended to seek its own legal, tax, accounting and financial advice, including as to any tax consequences, immediately from its stockbroker, bank manager, attorney, accountant or other independent financial or legal adviser. Any individual or company whose 2026 Senior Second Lien Notes are held on its behalf by a broker, dealer, bank, custodian, trust company or other nominee or intermediary must contact such entity if it wishes to participate in the Offer to Purchase. None of the Company, the dealer manager and solicitation agent, the information agent and tender agent and any person who controls, or is a director, officer, employee or agent of such persons, or any affiliate of such persons, makes any recommendation as to whether holders of 2026 Senior Second Lien Notes should participate in the Tender Offer.


CONTACT:	Al Petrie	Sameer Parasnis
	Investor Relations Coordinator	Executive VP and CFO
	investorrelations@wtoffshore.com	sparasnis@wtoffshore.com
	713-297-8024	713-513-8654

Source: W&T Offshore, Inc.

Released January 29, 2025

MIL OSI Economics –

January 30, 2025

MIL-OSI United Kingdom: NDA group celebrates progress and innovation in parliament

Source: United Kingdom – Executive Government & Departments

NDA utilises innovative technology to bring to life progress in delivering its nationally important mission at ‘Nuclear Week in Parliament’.

NDA group graduates and apprentices in Westminster

The Nuclear Decommissioning Authority (NDA) group utilised innovative technology to bring to life progress in delivering its nationally important mission at the Nuclear Industry Association’s ‘Nuclear Week in Parliament’ (NWIP).

Parliamentarians were able to use a VR headset to see what a Geological Disposal Facility will look like and get hands on experience in manoeuvring state of the art robots, including drones with laser imaging technology, which are used to decommission the legacy nuclear sites.

This year marks 20 years since the NDA was established to decommission the UK’s oldest nuclear sites, one of the most important environmental programmes in the world, protecting people and the planet.

David Peattie, NDA group CEO said:

We’re transforming the legacy of UK’s nuclear power into a sustainable future. And, as we celebrate our anniversary, we can proudly say the UK is now a significantly safer place, thanks to our collective efforts.

At a series of events for Parliamentarians, MPs and industry stakeholders, the NDA group shared its successes and tangible examples of the progress being made across the group including:

First simultaneous retrievals from Sellafield’s legacy ponds and silos, the NDA estate’s high hazard facilities.
Bringing all Magnox reactors, the first type of commercial nuclear power station in the UK, to a safe end of generation and defueling.
Removing highly radioactive coolant, from Dounreay’s Fast Reactor.
Launching the process to identify a site for a Geological Disposal Facility – the only community consent-led national significant infrastructure project.
Transporting over 2000 casks of nuclear material by sea, and conducting over 5 million miles of UK nuclear rail transports, with a 100% nuclear safety record.
Investing £277m of socio-economic funding to support significant projects that enable permanent and sustainable change in site communities.
Reprocessing 9,000 tonnes of spent nuclear fuel, generating £9bn.
274 buildings demolished or reused and 9% of land released for reuse or redesignated.

The value the NDA group provides for the nation far surpasses just its decommissioning progress.

The NDA group invested around £100 million last year in research and development to stay at the forefront of innovation; pioneering and deploying solutions to tackle first of a kind technical and engineering challenges which have applications across the nuclear and defence sector.

The group is also critical in developing and maintaining a strong nuclear supply chain spending around £2billion last year, across 82% of UK Parliamentary Constituencies with 5,000 supply chain companies supporting delivery of its mission.

In addition, through its socio-economic strategy it’s leveraged over £200m of additional funding, with each £1 of NDA group support helping to attract £3.79 of further investment from other organisations for projects making a tangible difference in its communities.

NDA Group CEO David Peattie, Lord Hunt and David Mundell MP

The NDA also sponsored the NWiP Skills and Apprenticeship Fair, hosted by Liz Saville Roberts MP, where 12 NDA group apprentices and graduates were able to meet their local MPs and representatives across the sector and explain first-hand how their organisations are developing the next generation of the nuclear decommissioning workforce.

Rachel Gleaves, a Control Systems Degree Apprentice who attended the event, said:

The group are leading the most complex decommissioning challenges faced by the UK to make sure we leave our environment clean and safe for future generations, and this is a challenge I was really passionate to support.

In my role at Sellafield Ltd, I have been able to learn from industry leading engineers to help support high hazard retrievals considered key to safely decommissioning the nation’s nuclear legacy.

There are currently more than 1,500 apprentices and graduates across NDA group early careers schemes and hundreds of PhD students and post-doctoral researchers have been sponsored, focusing on developing advanced skills.

Liz Saville Roberts MP, said:

Nuclear sector jobs have long been a significant provider of well-paid high-quality employment in my constituency of Dwyfor Meirionnydd and I believe Wales should play a leading role to support the invaluable work of the NDA group in decommissioning sites to free up land for reuse, delivering benefit to local communities, the environment and the wider economy.

The development of 19 apprentices at Trawsfynydd since 2012, highlights how decommissioning can provide a range of job options for young people, as well as appropriate skills and training opportunities.

The NDA group’s programme of work will last for well over a hundred years so developing a pipeline of future talent is an essential part of delivering this nationally important mission long into the future.

To find out more about a career within the NDA group, including graduate and apprenticeships opportunities, visit: NDA group Careers – The NDA group.

Published 29 January 2025

MIL OSI United Kingdom –

January 30, 2025

MIL-OSI: Bitget Lists Foresight Ventures-backed Analog (ANLOG) on Launchpool

Source: GlobeNewswire (MIL-OSI)

VICTORIA, Seychelles, Jan. 29, 2025 (GLOBE NEWSWIRE) — Bitget, the leading cryptocurrency exchange and Web3 company, has announced the listing of ANLOG token. Eligible users will have the opportunity to lock Bitcoin (BTC) and Ethereum (ETH) to participate in a reward pool of 23,333,431 ANLOG tokens. The locking period will run from February 6, 2025, at 11:00 UTC to February 11, 2025, at 11:00 UTC.

Analog operates as a suite of omni-chain interoperability protocols designed to simplify access to Web3 data and facilitate seamless cross-chain communication. With a total token supply of 9,057,971,000 ANLOG, the project aims to address critical challenges in blockchain interoperability, enabling more efficient data sharing and communication across decentralized networks.

The Launchpool campaign is structured into two locking pools: one for BTC and another for ETH. Each pool offers 11,666,715 and 11,666,716 ANLOG tokens, respectively. Rewards will be distributed hourly based on the proportion of assets locked by each participant relative to the total locked in the pool. Bitget will take hourly snapshots of locked volumes, with airdrops calculated and distributed accordingly. Participants can unlock their tokens at any time, and all locked assets will be automatically returned to their spot accounts once the locking period concludes.

This initiative marks a pivotal step for Analog as it prepares to expand its ecosystem and enhance cross-chain functionality. The integration with Bitget Launchpool provides users with an early opportunity to engage with the project while contributing to its growing community.

Analog has secured $5 million in a recent funding round, bringing its total funding to $21 million and valuing the company at $300 million. This investment precedes the launch of its native token, ANLOG, scheduled for February 6, 2025. The round attracted backing from top VCs such as Foresight Ventures, Gate Ventures, BackerDAO, and Black Label Ventures. Previously, Bitget listed ANLOG for pre-market trading allowing users to engage in ANLOG transactions ahead of its official spot market debut.

For more information about ANALOG tokens on Launchpool, please visit here.

About Bitget

Established in 2018, Bitget is the world’s leading cryptocurrency exchange and Web3 company. Serving over 100 million users in 150+ countries and regions, the Bitget exchange is committed to helping users trade smarter with its pioneering copy trading feature and other trading solutions, while offering real-time access to Bitcoin price, Ethereum price, and other cryptocurrency prices. Formerly known as BitKeep, Bitget Wallet is a world-class multi-chain crypto wallet that offers an array of comprehensive Web3 solutions and features including wallet functionality, token swap, NFT Marketplace, DApp browser, and more.
Bitget is at the forefront of driving crypto adoption through strategic partnerships, such as its role as the Official Crypto Partner of the World’s Top Football League, LALIGA, in EASTERN, SEA and LATAM market, as well as a global partner of Turkish National athletes Buse Tosun Çavuşoğlu (Wrestling world champion), Samet Gümüş (Boxing gold medalist) and İlkin Aydın (Volleyball national team), to inspire the global community to embrace the future of cryptocurrency.

Risk Warning: Digital asset prices are subject to fluctuation and may experience significant volatility. Investors are advised to only allocate funds they can afford to lose. The value of any investment may be impacted, and there is a possibility that financial objectives may not be met, nor the principal investment recovered. Independent financial advice should always be sought, and personal financial experience and standing carefully considered. Past performance is not a reliable indicator of future results. Bitget accepts no liability for any potential losses incurred. Nothing contained herein should be construed as financial advice. For further information, please refer to our Terms of Use.

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/5058f6ab-1940-4b1b-b389-12436d7d813d

The MIL Network –

January 30, 2025

MIL-OSI: Southside Bancshares, Inc. Announces Financial Results for the Fourth Quarter and Year Ended December 31, 2024

Source: GlobeNewswire (MIL-OSI)

Fourth quarter net income of $21.8 million;
Fourth quarter earnings per diluted common share of $0.71;
Annualized return on fourth quarter average assets of 1.03%;
Annualized return on fourth quarter average tangible common equity of 14.12%⁽¹⁾; and
Nonperforming assets decreased to 0.04% of total assets.

TYLER, Texas, Jan. 29, 2025 (GLOBE NEWSWIRE) — Southside Bancshares, Inc. (“Southside” or the “Company”) (NYSE: SBSI) today reported its financial results for the quarter and year ended December 31, 2024. Southside reported net income of $21.8 million for the three months ended December 31, 2024, an increase of $4.5 million, or 25.8%, compared to $17.3 million for the same period in 2023. Earnings per diluted common share increased $0.14, or 24.6%, to $0.71 for the three months ended December 31, 2024, from $0.57 for the same period in 2023. The annualized return on average shareholders’ equity for the three months ended December 31, 2024, was 10.54%, compared to 9.31% for the same period in 2023. The annualized return on average assets was 1.03% for the three months ended December 31, 2024, compared to 0.85% for the same period in 2023.

“For the year ended December 31, 2024, net income increased $1.8 million to $88.5 million when compared to 2023, earnings per share increased $0.09 to $2.91, and the return on average tangible common equity was 14.92%. For 2024, loan growth was 3.0% and linked quarter loans increased $83.5 million, or 7.3% annualized, most of which occurred in December,” stated Lee R. Gibson, Chief Executive Officer of Southside. “We recorded losses of $540,000 associated with two branch closures during 2024. Linked quarter our net interest margin decreased 12 basis points. Asset quality metrics remain solid with the nonperforming assets to total assets ratio decreasing to 0.04%. Late fourth quarter loan growth combined with anticipated mid-single digit 2025 loan growth should lead to an increasing net interest margin during 2025.”

Operating Results for the Three Months Ended December 31, 2024

Net income was $21.8 million for the three months ended December 31, 2024, compared to $17.3 million for the same period in 2023, an increase of $4.5 million, or 25.8%. Earnings per diluted common share were $0.71 and $0.57 for the three months ended December 31, 2024 and 2023, respectively. The increase in net income was a result of the increase in noninterest income and the decrease in the provision for credit losses, partially offset by increases in noninterest expense and income tax expense and a decrease in net interest income. Annualized returns on average assets and average shareholders’ equity for the three months ended December 31, 2024 were 1.03% and 10.54%, respectively, compared to 0.85% and 9.31%, respectively, for the three months ended December 31, 2023. Our efficiency ratio and tax-equivalent efficiency ratio⁽¹⁾ were 56.08% and 54.00%, respectively, for the three months ended December 31, 2024, compared to 53.30% and 50.86%, respectively, for the three months ended December 31, 2023, and 53.94% and 51.90%, respectively, for the three months ended September 30, 2024.

Net interest income for the three months ended December 31, 2024 was $53.7 million, a decrease of $0.8 million, or 1.4%, from the same period in 2023. The decrease in net interest income was due to the decrease in the average yield of interest earning assets and increases in the average rate paid on and average balance of our interest bearing liabilities, partially offset by the increase in the average balance of interest earning assets. Linked quarter, net interest income decreased $1.8 million, or 3.2%, compared to $55.5 million for the three months ended September 30, 2024, due to the decrease in the average yield of interest earning assets, partially offset by the decrease in the average rate paid on our interest bearing liabilities, the increase in the average balance of interest earning assets and the change in the mix of our interest bearing liabilities.

Our net interest margin and tax-equivalent net interest margin⁽¹⁾ decreased to 2.70% and 2.83%, respectively, for the three months ended December 31, 2024, compared to 2.83% and 2.99%, respectively, for the same period in 2023. Linked quarter, net interest margin and tax-equivalent net interest margin⁽¹⁾ decreased from 2.82% and 2.95%, respectively, for the three months ended September 30, 2024.

Noninterest income was $12.3 million for the three months ended December 31, 2024, an increase of $9.8 million, or 391.0%, compared to $2.5 million for the same period in 2023. The increase was due to a decrease in net loss on sale of securities available for sale (“AFS”) and an increase in other noninterest income, partially offset by a decrease in bank owned life insurance (“BOLI”) income. The decrease in net loss on sale of securities AFS was due to a net loss of $10.4 million for the three months ended December 31, 2023, related to the strategic repositioning of the securities portfolio. On a linked quarter basis, noninterest income increased $4.1 million, or 50.3%, compared to the three months ended September 30, 2024. The increase was primarily due to an increase in other noninterest income and a decrease in net loss on sale of securities AFS. The increase in other noninterest income was primarily due to an increase in swap fee income for the three months ended December 31, 2024, and an impairment charge of $868,000 on the sale of approximately $10 million of AFS municipal securities and the unwind of the related fair value swaps realized during the three months ended September 30, 2024.

Noninterest expense increased $3.0 million, or 8.5%, to $38.2 million for the three months ended December 31, 2024, compared to $35.2 million for the same period in 2023, due to increases in salaries and employee benefits, other noninterest expense, professional fees and software and data processing expense, partially offset by decreases in advertising, travel and entertainment expense. On a linked quarter basis, noninterest expense increased by $1.8 million, or 5.0%, compared to the three months ended September 30, 2024, due to increases in salaries and employee benefits expense, other noninterest expense and professional fees.

Income tax expense increased $2.5 million, or 111.2%, for the three months ended December 31, 2024, compared to the same period in 2023. On a linked quarter basis, income tax expense increased $0.3 million, or 6.1%. Our effective tax rate (“ETR”) increased to 17.6% for the three months ended December 31, 2024, compared to 11.3% for the three months ended December 31, 2023. On a linked quarter basis, the ETR was 17.6% for both the three months ended September 30, 2024 and December 31, 2024. The higher ETR for the three months ended December 31, 2024 compared to the same period in 2023, was primarily due to a decrease in net tax-exempt income as a percentage of pre-tax income.

Operating Results for the Year Ended December 31, 2024

Net income was $88.5 million for the year ended December 31, 2024, compared to $86.7 million for the same period in 2023, an increase of $1.8 million, or 2.1%. Earnings per diluted common share were $2.91 for the year ended December 31, 2024, compared to $2.82 for the same period in 2023, an increase of 3.2%. The increase in net income was primarily a result of the increase in noninterest income, decrease in provision for credit losses and the increase in net interest income, partially offset by the increases in noninterest expense and income tax expense. Returns on average assets and average shareholders’ equity for the year ended December 31, 2024 were 1.06% and 11.03%, respectively, compared to 1.11% and 11.50%, respectively, for the year ended December 31, 2023. Our efficiency ratio and tax-equivalent efficiency ratio⁽¹⁾ were 55.69% and 53.52%, respectively, for the year ended December 31, 2024, compared to 53.81% and 51.30%, respectively, for the year ended December 31, 2023.

Net interest income was $216.1 million for the year ended December 31, 2024, compared to $215.0 million for the same period in 2023, an increase of $1.1 million, or 0.5%, due to increases in the average balance and the average yield of interest earning assets, partially offset by increases in the average rate paid on and average balance of our interest bearing liabilities.

Our net interest margin and tax-equivalent net interest margin⁽¹⁾ were 2.74% and 2.88%, respectively, for the year ended December 31, 2024, compared to 2.92% and 3.09%, respectively, for the same period in 2023.

Noninterest income was $41.7 million for the year ended December 31, 2024, an increase of $5.9 million, or 16.5%, compared to $35.8 million for the same period in 2023. The increase was primarily due to a decrease in net loss on sale of securities AFS and an increase in brokerage services income, partially offset by decreases in the net gain on sale of equity securities, BOLI income and deposit services income.

Noninterest expense was $147.1 million for the year ended December 31, 2024, compared to $140.6 million for the same period in 2023, an increase of $6.6 million, or 4.7%. The increase was primarily due to increases in salaries and employee benefits, software and data processing expense and other noninterest expense, partially offset by decreases in advertising, travel and entertainment expense and amortization of intangibles.

Income tax expense increased $4.4 million, or 30.8%, for the year ended December 31, 2024, compared to the same period in 2023. Our ETR was approximately 17.6% and 14.3% for the year ended December 31, 2024 and 2023, respectively. The higher ETR for the year ended December 31, 2024, as compared to the same period in 2023, was primarily due to a decrease in net tax-exempt income as a percentage of pre-tax income.

Balance Sheet Data

At December 31, 2024, Southside had $8.52 billion in total assets, compared to $8.28 billion at December 31, 2023 and $8.36 billion at September 30, 2024.

Loans at December 31, 2024 were $4.66 billion, an increase of $137.1 million, or 3.0%, compared to $4.52 billion at December 31, 2023. Linked quarter, loans increased $83.5 million, or 1.8%, due to increases of $157.1 million in commercial real estate loans and $4.3 million in commercial loans. These increases were partially offset by decreases of $48.0 million in construction loans, $15.0 million in 1-4 family residential loans, $11.1 million in municipal loans and $3.8 million in loans to individuals.

Securities at December 31, 2024 were $2.81 billion, an increase of $209.8 million, or 8.1%, compared to $2.60 billion at December 31, 2023. Linked quarter, securities increased $116.3 million, or 4.3%, from $2.70 billion at September 30, 2024.

Deposits at December 31, 2024 were $6.65 billion, an increase of $104.6 million, or 1.6%, compared to $6.55 billion at December 31, 2023. Linked quarter, deposits increased $218.5 million, or 3.4%, from $6.44 billion at September 30, 2024. During the three months ended December 31, 2024, public fund deposits increased $156.8 million, or 14.6%, compared to September 30, 2024.

At December 31, 2024, we had 178,662 total deposit accounts with an average balance of $33,000. Our estimated uninsured deposits were 38.1% of total deposits as of December 31, 2024. When excluding affiliate deposits (Southside-owned deposits) and public fund deposits (all collateralized), our total estimated deposits without insurance or collateral was 19.5% as of December 31, 2024. Our noninterest bearing deposits represent approximately 20.4% of total deposits. Linked quarter, our cost of interest bearing deposits decreased nine basis points from 3.01% in the prior quarter to 2.92%. Linked quarter, our cost of total deposits decreased seven basis points from 2.38% in the prior quarter to 2.31%.

Our cost of interest bearing deposits increased 64 basis points, from 2.34% for the year ended December 31, 2023, to 2.98% for the year ended December 31, 2024. Our cost of total deposits increased 59 basis points, from 1.77% for the year ended December 31, 2023, to 2.36% for the year ended December 31, 2024.

Capital Resources and Liquidity

Our capital ratios and contingent liquidity sources remain solid. During the fourth quarter ended December 31, 2024, we did not purchase any common stock pursuant to our Stock Repurchase Plan. Under this plan, repurchases of our outstanding common stock may be carried out in open market purchases, privately negotiated transactions or pursuant to any trading plan that might be adopted in accordance with Rule 10b5-1 of The Securities Exchange Act of 1934, as amended. The Company has no obligation to repurchase any shares under the Stock Repurchase Plan and may modify, suspend or discontinue the plan at any time. We have not purchased any common stock pursuant to the Stock Repurchase Plan subsequent to December 31, 2024.

As of December 31, 2024, our total available contingent liquidity, net of current outstanding borrowings, was $2.23 billion, consisting of FHLB advances, Federal Reserve Discount Window and correspondent bank lines of credit.

Asset Quality

Nonperforming assets at December 31, 2024 were $3.6 million, or 0.04% of total assets, a decrease of $0.4 million, or 10.3%, compared to $4.0 million, or 0.05% of total assets, at December 31, 2023. Linked quarter, nonperforming assets decreased $4.1 million, or 53.1%, from $7.7 million at September 30, 2024 due to a $4.1 million decrease in nonaccrual loans primarily from the payoff of one commercial real estate loan. Classified loans totaled $48.0 million on December 31, 2024, compared to $42.0 million at September 30, 2024 and $19.2 million at December 31, 2023.

The allowance for loan losses totaled $44.9 million, or 0.96% of total loans, at December 31, 2024, compared to $44.3 million, or 0.97% of total loans, at September 30, 2024. The allowance for loan losses was $42.7 million, or 0.94% of total loans, at December 31, 2023.

For the three months ended December 31, 2024, we recorded a provision for credit losses for loans of $1.6 million, compared to a provision of $2.2 million and $2.3 million for the three months ended December 31, 2023 and September 30, 2024, respectively. Net charge-offs were $1.0 million for the three months ended December 31, 2024, compared to net charge-offs of $1.3 million and $0.4 million for the three months ended December 31, 2023 and September 30, 2024, respectively. Net charge-offs were $1.9 million for the year ended December 31, 2024, compared to net charge-offs of $2.8 million for the year ended December 31, 2023.

We recorded a reversal of provision for credit losses on off-balance-sheet credit exposures of $0.2 million for the three months ended December 31, 2024, compared to a provision for credit losses on off-balance-sheet credit exposures $0.1 million for both of the three-month periods ended December 31, 2023 and September 30, 2024. We recorded a reversal of provision for credit losses for off-balance-sheet credit exposures of $0.8 million for the year ended December 31, 2024, compared to a provision for credit losses on off-balance-sheet credit exposures of $0.2 million for the year ended December 31, 2023. The balance of the allowance for off-balance-sheet credit exposures was $3.1 million and $3.9 million at December 31, 2024 and 2023, respectively, and is included in other liabilities.

Dividend

Southside Bancshares, Inc. declared a fourth quarter cash dividend of $0.36 per share on November 7, 2024, which was paid on December 6, 2024, to all shareholders of record as of November 21, 2024.

_______________

(1) Refer to “Non-GAAP Financial Measures” below and to “Non-GAAP Reconciliation” at the end of the financial statement tables in this Earnings Release for more information and for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure.

Conference Call

Southside’s management team will host a conference call to discuss its fourth quarter and year ended December 31, 2024 financial results on Wednesday, January 29, 2025 at 11:00 a.m. CST. The conference call can be accessed by webcast, for listen-only mode, on the company website, https://investors.southside.com, under Events.

Those interested in participating in the question and answer session, or others who prefer to call-in, can register at https://register.vevent.com/register/BI54b435198f6143e589b32994aed51233 to receive the dial-in number and unique code to access the conference call seamlessly. While not required, it is recommended that those wishing to participate, register 10 minutes prior to the conference call to ensure a more efficient registration process.

For those unable to attend the live event, a webcast recording will be available on the company website, https://investors.southside.com, for at least 30 days, beginning approximately two hours following the conference call.

Non-GAAP Financial Measures

Our accounting and reporting policies conform to generally accepted accounting principles (“GAAP”) in the United States and prevailing practices in the banking industry. However, certain non-GAAP measures are used by management to supplement the evaluation of our performance. These include the following fully taxable-equivalent measures (“FTE”): (i) Net interest income (FTE), (ii) net interest margin (FTE), (iii) net interest spread (FTE), and (iv) efficiency ratio (FTE), which include the effects of taxable-equivalent adjustments using a federal income tax rate of 21% to increase tax-exempt interest income to a tax-equivalent basis. Interest income earned on certain assets is completely or partially exempt from federal income tax. As such, these tax-exempt instruments typically yield lower returns than taxable investments.

Net interest income (FTE), net interest margin (FTE) and net interest spread (FTE). Net interest income (FTE) is a non-GAAP measure that adjusts for the tax-favored status of net interest income from certain loans and investments and is not permitted under GAAP in the consolidated statements of income. We believe that this measure is the preferred industry measurement of net interest income and that it enhances comparability of net interest income arising from taxable and tax-exempt sources. The most directly comparable financial measure calculated in accordance with GAAP is our net interest income. Net interest margin (FTE) is the ratio of net interest income (FTE) to average earning assets. The most directly comparable financial measure calculated in accordance with GAAP is our net interest margin. Net interest spread (FTE) is the difference in the average yield on average earning assets on a tax-equivalent basis and the average rate paid on average interest bearing liabilities. The most directly comparable financial measure calculated in accordance with GAAP is our net interest spread.

Efficiency ratio (FTE). The efficiency ratio (FTE) is a non-GAAP measure that provides a measure of productivity in the banking industry. This ratio is calculated to measure the cost of generating one dollar of revenue. The ratio is designed to reflect the percentage of one dollar which must be expended to generate that dollar of revenue. We calculate this ratio by dividing noninterest expense, excluding amortization expense on intangibles and certain nonrecurring expense by the sum of net interest income (FTE) and noninterest income, excluding net gain (loss) on sale of securities available for sale and certain nonrecurring impairments. The most directly comparable financial measure calculated in accordance with GAAP is our efficiency ratio.

These non-GAAP financial measures should not be considered alternatives to GAAP-basis financial statements and other bank holding companies may define or calculate these non-GAAP measures or similar measures differently. Whenever we present a non-GAAP financial measure in an SEC filing, we are also required to present the most directly comparable financial measure calculated and presented in accordance with GAAP and reconcile the differences between the non-GAAP financial measure and such comparable GAAP measure.

Management believes adjusting net interest income, net interest margin and net interest spread to a fully taxable-equivalent basis is a standard practice in the banking industry as these measures provide useful information to make peer comparisons. Tax-equivalent adjustments are reflected in the respective earning asset categories as listed in the “Average Balances with Average Yields and Rates” tables.

A reconciliation of our non-GAAP financial measures to the comparable GAAP financial measures is included at the end of the financial statement tables.

About Southside Bancshares, Inc.

Southside Bancshares, Inc. is a bank holding company with approximately $8.52 billion in assets as of December 31, 2024, that owns 100% of Southside Bank. Southside Bank currently has 53 branches in Texas and operates a network of 72 ATMs/ITMs.

To learn more about Southside Bancshares, Inc., please visit our investor relations website at https://investors.southside.com. Our investor relations site provides a detailed overview of our activities, financial information and historical stock price data. To receive email notification of company news, events and stock activity, please register on the website under Resources and Investor Email Alerts. Questions or comments may be directed to Lindsey Bailes at (903) 630-7965, or lindsey.bailes@southside.com.

Forward-Looking Statements

Certain statements of other than historical fact that are contained in this press release and in other written materials, documents and oral statements issued by or on behalf of the Company may be considered to be “forward-looking statements” within the meaning of and subject to the safe harbor protections of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not guarantees of future performance, nor should they be relied upon as representing management’s views as of any subsequent date. These statements may include words such as “expect,” “estimate,” “project,” “anticipate,” “appear,” “believe,” “could,” “should,” “may,” “might,” “will,” “would,” “seek,” “intend,” “probability,” “risk,” “goal,” “target,” “objective,” “plans,” “potential,” and similar expressions. Forward-looking statements are statements with respect to the Company’s beliefs, plans, expectations, objectives, goals, anticipations, assumptions, estimates, intentions and future performance and are subject to significant known and unknown risks and uncertainties, which could cause the Company’s actual results to differ materially from the results discussed in the forward-looking statements. For example, benefits of the Share Repurchase Plan, trends in asset quality, capital, liquidity, the Company’s ability to sell nonperforming assets, expense reductions, planned operational efficiencies and earnings from growth and certain market risk disclosures, including the impact of interest rates and our expectations regarding rate increases, tax reform, inflation, the impacts related to or resulting from other economic factors are based upon information presently available to management and are dependent on choices about key model characteristics and assumptions and are subject to various limitations. By their nature, certain of the market risk disclosures are only estimates and could be materially different from what actually occurs in the future. Accordingly, our results could materially differ from those that have been estimated. The most significant factor that could cause future results to differ materially from those anticipated by our forward-looking statements include the ongoing impact of higher inflation levels, interest rate fluctuations and general economic concerns, all of which could impact economic growth and could cause a reduction in financial transactions and business activities, including decreased deposits and reduced loan originations, our ability to manage liquidity in a rapidly changing and unpredictable market, labor shortages and changes in interest rates by the Federal Reserve.

Additional information concerning the Company and its business, including additional factors that could materially affect the Company’s financial results, is included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2023, under “Part I – Item 1. Forward Looking Information” and “Part I – Item 1A. Risk Factors” and in the Company’s other filings with the Securities and Exchange Commission. The Company disclaims any obligation to update any factors or to announce publicly the result of revisions to any of the forward-looking statements included herein to reflect future events or developments.

Southside Bancshares, Inc. Consolidated Financial Summary (Unaudited) (Dollars in thousands)

	As of
		2024												2023
	Dec 31,			Sep 30,			Jun 30,			Mar 31,			Dec 31,
ASSETS
Cash and due from banks	$	91,409		$	130,147		$	114,283		$	96,744		$	122,021
Interest earning deposits		281,945			333,825			272,469			307,257			391,719
Federal funds sold		52,807			22,325			65,244			65,372			46,770
Securities available for sale, at estimated fair value		1,533,894			1,408,437			1,405,944			1,405,221			1,296,294
Securities held to maturity, at net carrying value		1,279,234			1,288,403			1,305,975			1,306,898			1,307,053
Total securities		2,813,128			2,696,840			2,711,919			2,712,119			2,603,347
Federal Home Loan Bank stock, at cost		33,818			40,291			32,991			27,958			11,936
Loans held for sale		1,946			768			1,352			756			10,894
Loans		4,661,597			4,578,048			4,589,365			4,577,368			4,524,510
Less: Allowance for loan losses		(44,884	)		(44,276	)		(42,407	)		(43,557	)		(42,674	)
Net loans		4,616,713			4,533,772			4,546,958			4,533,811			4,481,836
Premises & equipment, net		141,648			138,811			138,489			139,491			138,950
Goodwill		201,116			201,116			201,116			201,116			201,116
Other intangible assets, net		1,754			2,003			2,281			2,588			2,925
Bank owned life insurance		138,313			137,489			136,903			136,604			136,330
Other assets		142,851			124,876			133,697			130,047			137,070
Total assets	$	8,517,448		$	8,362,263		$	8,357,702		$	8,353,863		$	8,284,914

LIABILITIES AND SHAREHOLDERS’ EQUITY
Noninterest bearing deposits	$	1,357,152		$	1,377,022		$	1,366,924		$	1,358,827		$	1,390,407
Interest bearing deposits		5,297,096			5,058,680			5,129,008			5,186,933			5,159,274
Total deposits		6,654,248			6,435,702			6,495,932			6,545,760			6,549,681
Other borrowings and Federal Home Loan Bank borrowings		808,352			865,856			763,700			770,151			722,468
Subordinated notes, net of unamortized debt issuance costs		92,042			92,006			91,970			93,913			93,877
Trust preferred subordinated debentures, net of unamortized debt issuance costs		60,274			60,273			60,272			60,271			60,270
Other liabilities		90,590			103,172			144,858			95,846			85,330
Total liabilities		7,705,506			7,557,009			7,556,732			7,565,941			7,511,626
Shareholders’ equity		811,942			805,254			800,970			787,922			773,288
Total liabilities and shareholders’ equity	$	8,517,448		$	8,362,263		$	8,357,702		$	8,353,863		$	8,284,914

Southside Bancshares, Inc. Consolidated Financial Highlights (Unaudited) (Dollars and shares in thousands, except per share data)

	Three Months Ended
		2024												2023
	Dec 31,			Sep 30,			Jun 30,			Mar 31,			Dec 31,
Income Statement:
Total interest and dividend income	$	101,689		$	105,703		$	104,186		$	102,758		$	98,939
Total interest expense		47,982			50,239			50,578			49,410			44,454
Net interest income		53,707			55,464			53,608			53,348			54,485
Provision for (reversal of) credit losses		1,384			2,389			(485	)		58			2,281
Net interest income after provision for (reversal of) credit losses		52,323			53,075			54,093			53,290			52,204
Noninterest income
Deposit services		6,084			6,199			6,157			5,985			6,305
Net gain (loss) on sale of securities available for sale		—			(1,929	)		(563	)		(18	)		(10,386	)
Gain (loss) on sale of loans		138			115			220			(436	)		178
Trust fees		1,773			1,628			1,456			1,336			1,431
Bank owned life insurance		848			857			1,767			784			2,602
Brokerage services		1,054			1,068			1,081			1,014			944
Other		2,384			233			1,439			1,059			1,427
Total noninterest income		12,281			8,171			11,557			9,724			2,501
Noninterest expense
Salaries and employee benefits		22,960			22,233			21,984			23,113			21,152
Net occupancy		3,629			3,613			3,750			3,362			3,474
Advertising, travel & entertainment		884			734			795			950			1,127
ATM expense		378			412			368			325			318
Professional fees		1,645			1,206			1,075			1,154			1,315
Software and data processing		2,931			2,951			2,860			2,856			2,644
Communications		320			423			410			449			435
FDIC insurance		931			939			977			943			892
Amortization of intangibles		249			278			307			337			370
Other		4,232			3,543			3,239			3,392			3,456
Total noninterest expense		38,159			36,332			35,765			36,881			35,183
Income before income tax expense		26,445			24,914			29,885			26,133			19,522
Income tax expense		4,659			4,390			5,212			4,622			2,206
Net income	$	21,786		$	20,524		$	24,673		$	21,511		$	17,316

Common Share Data:
Weighted-average basic shares outstanding		30,343			30,286			30,280			30,262			30,235
Weighted-average diluted shares outstanding		30,459			30,370			30,312			30,305			30,276
Common shares outstanding end of period		30,379			30,308			30,261			30,284			30,249
Earnings per common share
Basic	$	0.72		$	0.68		$	0.81		$	0.71		$	0.57
Diluted		0.71			0.68			0.81			0.71			0.57
Book value per common share		26.73			26.57			26.47			26.02			25.56
Tangible book value per common share		20.05			19.87			19.75			19.29			18.82
Cash dividends paid per common share		0.36			0.36			0.36			0.36			0.37

Selected Performance Ratios:
Return on average assets		1.03	%		0.98	%		1.19	%		1.03	%		0.85	%
Return on average shareholders’ equity		10.54			10.13			12.46			11.02			9.31
Return on average tangible common equity ⁽¹⁾		14.12			13.69			16.90			15.07			13.10
Average yield on earning assets (FTE) ⁽¹⁾		5.24			5.51			5.45			5.38			5.30
Average rate on interest bearing liabilities		3.12			3.28			3.32			3.22			3.04
Net interest margin (FTE) ⁽¹⁾		2.83			2.95			2.87			2.86			2.99
Net interest spread (FTE) ⁽¹⁾		2.12			2.23			2.13			2.16			2.26
Average earning assets to average interest bearing liabilities		129.55			128.51			128.62			127.71			131.65
Noninterest expense to average total assets		1.80			1.73			1.72			1.77			1.73
Efficiency ratio (FTE) ⁽¹⁾		54.00			51.90			52.71			55.54			50.86

(1)	Refer to “Non-GAAP Reconciliation” at the end of the financial statement tables in this Earnings Release for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure.

Southside Bancshares, Inc. Consolidated Financial Highlights (Unaudited) (Dollars in thousands)

	Three Months Ended
		2024												2023
	Dec 31,			Sep 30,			Jun 30,			Mar 31,			Dec 31,
Nonperforming Assets:	$	3,589		$	7,656		$	6,918		$	7,979		$	4,001
Nonaccrual loans		3,185			7,254			6,110			7,709			3,889
Accruing loans past due more than 90 days		—			—			—			—			—
Restructured loans		2			—			145			151			13
Other real estate owned		388			388			648			119			99
Repossessed assets		14			14			15			—			—

Asset Quality Ratios:
Ratio of nonaccruing loans to:
Total loans		0.07	%		0.16	%		0.13	%		0.17	%		0.09	%
Ratio of nonperforming assets to:
Total assets		0.04			0.09			0.08			0.10			0.05
Total loans		0.08			0.17			0.15			0.17			0.09
Total loans and OREO		0.08			0.17			0.15			0.17			0.09
Ratio of allowance for loan losses to:
Nonaccruing loans		1,409.23			610.37			694.06			565.01			1,097.30
Nonperforming assets		1,250.60			578.32			613.00			545.90			1,066.58
Total loans		0.96			0.97			0.92			0.95			0.94
Net charge-offs (recoveries) to average loans outstanding		0.08			0.04			0.02			0.03			0.11

Capital Ratios:
Shareholders’ equity to total assets		9.53			9.63			9.58			9.43			9.33
Common equity tier 1 capital		13.04			13.07			12.72			12.43			12.28
Tier 1 risk-based capital		14.07			14.12			13.76			13.47			13.32
Total risk-based capital		16.49			16.59			16.16			15.92			15.73
Tier 1 leverage capital		9.67			9.61			9.40			9.22			9.39
Period end tangible equity to period end tangible assets ⁽¹⁾		7.33			7.38			7.33			7.17			7.04
Average shareholders’ equity to average total assets		9.76			9.67			9.52			9.35			9.13

(1)	Refer to the “Non-GAAP Reconciliation” at the end of the financial statement tables in this Earnings Release for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure.

Southside Bancshares, Inc. Consolidated Financial Highlights (Unaudited) (Dollars in thousands)

	Three Months Ended
		2024												2023
Loan Portfolio Composition	Dec 31,			Sep 30,			Jun 30,			Mar 31,			Dec 31,
Real Estate Loans:
Construction	$	537,827		$	585,817		$	546,040		$	599,464		$	789,744
1-4 Family Residential		740,396			755,406			738,037			720,508			696,738
Commercial		2,579,735			2,422,612			2,472,771			2,413,345			2,168,451
Commercial Loans		363,167			358,854			359,807			358,053			366,893
Municipal Loans		390,968			402,041			416,986			427,225			441,168
Loans to Individuals		49,504			53,318			55,724			58,773			61,516
Total Loans	$	4,661,597		$	4,578,048		$	4,589,365		$	4,577,368		$	4,524,510

Summary of Changes in Allowances:
Allowance for Loan Losses
Balance at beginning of period	$	44,276		$	42,407		$	43,557		$	42,674		$	41,760
Loans charged-off		(1,232	)		(773	)		(721	)		(634	)		(1,572	)
Recoveries of loans charged-off		277			365			444			347			284
Net loans (charged-off) recovered		(955	)		(408	)		(277	)		(287	)		(1,288	)
Provision for (reversal of) loan losses		1,563			2,277			(873	)		1,170			2,202
Balance at end of period	$	44,884		$	44,276		$	42,407		$	43,557		$	42,674

Allowance for Off-Balance-Sheet Credit Exposures
Balance at beginning of period	$	3,320		$	3,208		$	2,820		$	3,932		$	3,853
Provision for (reversal of) off-balance-sheet credit exposures		(179	)		112			388			(1,112	)		79
Balance at end of period	$	3,141		$	3,320		$	3,208		$	2,820		$	3,932
Total Allowance for Credit Losses	$	48,025		$	47,596		$	45,615		$	46,377		$	46,606

Southside Bancshares, Inc. Consolidated Financial Highlights (Unaudited) (Dollars in thousands)

	Year ended
	December 31,
		2024			2023
Income Statement:
Total interest and dividend income	$	414,336		$	359,741
Total interest expense		198,209			144,714
Net interest income		216,127			215,027
Provision for (reversal of) credit losses		3,346			9,154
Net interest income after provision for (reversal of) credit losses		212,781			205,873
Noninterest income
Deposit services		24,425			25,497
Net gain (loss) on sale of securities available for sale		(2,510	)		(15,976	)
Net gain on sale of equity securities		—			5,058
Gain (loss) on sale of loans		37			563
Trust fees		6,193			5,910
Bank owned life insurance		4,256			5,823
Brokerage services		4,217			3,305
Other		5,115			5,654
Total noninterest income		41,733			35,834
Noninterest expense
Salaries and employee benefits		90,290			85,625
Net occupancy		14,354			14,694
Advertising, travel & entertainment		3,363			4,093
ATM expense		1,483			1,351
Professional fees		5,080			5,351
Software and data processing		11,598			9,395
Communications		1,602			1,469
FDIC insurance		3,790			3,558
Amortization of intangibles		1,171			1,697
Other		14,406			13,345
Total noninterest expense		147,137			140,578
Income before income tax expense		107,377			101,129
Income tax expense		18,883			14,437
Net income	$	88,494		$	86,692
Common Share Data:
Weighted-average basic shares outstanding		30,293			30,704
Weighted-average diluted shares outstanding		30,369			30,759
Common shares outstanding end of period		30,379			30,249
Earnings per common share
Basic	$	2.92		$	2.82
Diluted		2.91			2.82
Book value per common share		26.73			25.56
Tangible book value per common share		20.05			18.82
Cash dividends paid per common share		1.44			1.42

Selected Performance Ratios:
Return on average assets		1.06	%		1.11	%
Return on average shareholders’ equity		11.03			11.50
Return on average tangible common equity ⁽¹⁾		14.92			16.03
Average yield on earning assets (FTE) ⁽¹⁾		5.40			5.06
Average rate on interest bearing liabilities		3.24			2.64
Net interest margin (FTE) ⁽¹⁾		2.88			3.09
Net interest spread (FTE) ⁽¹⁾		2.16			2.42
Average earning assets to average interest bearing liabilities		128.60			134.07
Noninterest expense to average total assets		1.76			1.80
Efficiency ratio (FTE) ⁽¹⁾		53.52			51.30

(1)	Refer to the “Non-GAAP Reconciliation” at the end of the financial statement tables in this Earnings Release for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure.

Southside Bancshares, Inc. Consolidated Financial Highlights (Unaudited) (Dollars in thousands)

	Year ended
	December 31,
		2024			2023
Nonperforming Assets:	$	3,589		$	4,001
Nonaccrual loans		3,185			3,889
Accruing loans past due more than 90 days		—			—
Restructured loans		2			13
Other real estate owned		388			99
Repossessed assets		14			—

Asset Quality Ratios:
Ratio of nonaccruing loans to:
Total loans		0.07	%		0.09	%
Ratio of nonperforming assets to:
Total assets		0.04			0.05
Total loans		0.08			0.09
Total loans and OREO		0.08			0.09
Ratio of allowance for loan losses to:
Nonaccruing loans		1,409.23			1,097.30
Nonperforming assets		1,250.60			1,066.58
Total loans		0.96			0.94
Net charge-offs (recoveries) to average loans outstanding		0.04			0.06

Capital Ratios:
Shareholders’ equity to total assets		9.53			9.33
Common equity tier 1 capital		13.04			12.28
Tier 1 risk-based capital		14.07			13.32
Total risk-based capital		16.49			15.73
Tier 1 leverage capital		9.67			9.39
Period end tangible equity to period end tangible assets ⁽¹⁾		7.33			7.04
Average shareholders’ equity to average total assets		9.58			9.63

(1)	Refer to the “Non-GAAP Reconciliation” at the end of the financial statement tables in this Earnings Release for a reconciliation of this non-GAAP financial measure to the nearest GAAP financial measure.

	Year ended
	December 31,
Loan Portfolio Composition		2024			2023
Real Estate Loans:
Construction	$	537,827		$	789,744
1-4 Family Residential		740,396			696,738
Commercial		2,579,735			2,168,451
Commercial Loans		363,167			366,893
Municipal Loans		390,968			441,168
Loans to Individuals		49,504			61,516
Total Loans	$	4,661,597		$	4,524,510

Summary of Changes in Allowances:
Allowance for Loan Losses
Balance at beginning of period	$	42,674		$	36,515
Loans charged-off		(3,360	)		(4,204	)
Recoveries of loans charged-off		1,433			1,454
Net loans (charged-off) recovered		(1,927	)		(2,750	)
Provision for (reversal of) loan losses		4,137			8,909
Balance at end of period	$	44,884		$	42,674

Allowance for Off-Balance-Sheet Credit Exposures
Balance at beginning of period	$	3,932		$	3,687
Provision for (reversal of) off-balance-sheet credit exposures		(791	)		245
Balance at end of period	$	3,141		$	3,932
Total Allowance for Credit Losses	$	48,025		$	46,606

The tables that follow show average earning assets and interest bearing liabilities together with the average yield on the earning assets and the average rate of the interest bearing liabilities for the periods presented. The interest and related yields presented are on a fully taxable-equivalent basis and are therefore non-GAAP measures. See “Non-GAAP Financial Measures” and “Non-GAAP Reconciliation” for more information.

Southside Bancshares, Inc. Average Balances and Average Yields and Rates (Annualized) (Unaudited) (Dollars in thousands)

	Three Months Ended
	December 31, 2024							September 30, 2024
	Average Balance			Interest		Average Yield/Rate		Average Balance			Interest		Average Yield/Rate
ASSETS
Loans ⁽¹⁾	$	4,604,175		$	70,155	6.06	%	$	4,613,028		$	72,493	6.25	%
Loans held for sale		1,562			23	5.86	%		871			11	5.02	%
Securities:
Taxable investment securities ⁽²⁾		784,321			6,949	3.52	%		791,914			7,150	3.59	%
Tax-exempt investment securities ⁽²⁾		1,138,271			10,793	3.77	%		1,174,445			11,825	4.01	%
Mortgage-backed and related securities ⁽²⁾		1,031,187			12,043	4.65	%		886,325			11,976	5.38	%
Total securities		2,953,779			29,785	4.01	%		2,852,684			30,951	4.32	%
Federal Home Loan Bank stock, at cost, and equity investments		37,078			591	6.34	%		41,159			582	5.63	%
Interest earning deposits		273,656			3,160	4.59	%		281,313			3,798	5.37	%
Federal funds sold		43,121			508	4.69	%		33,971			488	5.71	%
Total earning assets		7,913,371			104,222	5.24	%		7,823,026			108,323	5.51	%
Cash and due from banks		102,914							100,578
Accrued interest and other assets		454,387							455,091
Less: Allowance for loan losses		(44,418	)						(42,581	)
Total assets	$	8,426,254						$	8,336,114
LIABILITIES AND SHAREHOLDERS’ EQUITY
Savings accounts	$	594,196			1,456	0.97	%	$	598,116			1,490	0.99	%
Certificates of deposit		1,187,800			13,537	4.53	%		1,087,613			12,647	4.63	%
Interest bearing demand accounts		3,459,122			23,468	2.70	%		3,409,911			24,395	2.85	%
Total interest bearing deposits		5,241,118			38,461	2.92	%		5,095,640			38,532	3.01	%
Federal Home Loan Bank borrowings		572,993			5,557	3.86	%		618,708			6,488	4.17	%
Subordinated notes, net of unamortized debt issuance costs		92,024			945	4.09	%		91,988			937	4.05	%
Trust preferred subordinated debentures, net of unamortized debt issuance costs		60,274			1,095	7.23	%		60,273			1,180	7.79	%
Repurchase agreements		80,891			782	3.85	%		83,297			899	4.29	%
Other borrowings		61,196			1,142	7.42	%		137,482			2,203	6.37	%
Total interest bearing liabilities		6,108,496			47,982	3.12	%		6,087,388			50,239	3.28	%
Noninterest bearing deposits		1,383,204							1,344,165
Accrued expenses and other liabilities		112,320							98,331
Total liabilities		7,604,020							7,529,884
Shareholders’ equity		822,234							806,230
Total liabilities and shareholders’ equity	$	8,426,254						$	8,336,114
Net interest income (FTE)				$	56,240						$	58,084
Net interest margin (FTE)						2.83	%						2.95	%
Net interest spread (FTE)						2.12	%						2.23	%

Interest on loans includes net fees on loans that are not material in amount.
For the purpose of calculating the average yield, the average balance of securities is presented at historical cost.

Note: As of December 31, 2024 and September 30, 2024, loans totaling $3.2 million and $7.3 million, respectively, were on nonaccrual status. Our policy is to reverse previously accrued but unpaid interest on nonaccrual loans; thereafter, interest income is recorded to the extent received when appropriate.

Southside Bancshares, Inc. Average Balances and Average Yields and Rates (Annualized) (Unaudited) (Dollars in thousands)

	Three Months Ended
	June 30, 2024							March 31, 2024
	Average Balance			Interest		Average Yield/ Rate		Average Balance			Interest		Average Yield/ Rate
ASSETS
Loans ⁽¹⁾	$	4,595,980		$	70,293	6.15	%	$	4,559,602		$	68,849	6.07	%
Loans held for sale		1,489			24	6.48	%		8,834			18	0.82	%
Securities:
Taxable investment securities ⁽²⁾		783,856			7,009	3.60	%		780,423			6,967	3.59	%
Tax-exempt investment securities ⁽²⁾		1,254,097			12,761	4.09	%		1,285,922			13,168	4.12	%
Mortgage-backed and related securities ⁽²⁾		830,504			11,084	5.37	%		764,713			10,119	5.32	%
Total securities		2,868,457			30,854	4.33	%		2,831,058			30,254	4.30	%
Federal Home Loan Bank stock, at cost, and equity investments		40,467			573	5.69	%		40,063			333	3.34	%
Interest earning deposits		300,047			4,105	5.50	%		380,181			5,202	5.50	%
Federal funds sold		75,479			1,021	5.44	%		62,599			838	5.38	%
Total earning assets		7,881,919			106,870	5.45	%		7,882,337			105,494	5.38	%
Cash and due from banks		110,102							114,379
Accrued interest and other assets		424,323							441,783
Less: Allowance for loan losses		(43,738	)						(42,973	)
Total assets	$	8,372,606						$	8,395,526
LIABILITIES AND SHAREHOLDERS’ EQUITY
Savings accounts	$	604,753			1,454	0.97	%	$	604,529			1,424	0.95	%
Certificates of deposit		1,020,099			11,630	4.59	%		941,947			10,341	4.42	%
Interest bearing demand accounts		3,513,068			25,382	2.91	%		3,634,936			26,433	2.92	%
Total interest bearing deposits		5,137,920			38,466	3.01	%		5,181,412			38,198	2.97	%
Federal Home Loan Bank borrowings		606,851			6,455	4.28	%		607,033			5,950	3.94	%
Subordinated notes, net of unamortized debt issuance costs		92,017			936	4.09	%		93,895			956	4.10	%
Trust preferred subordinated debentures, net of unamortized debt issuance costs		60,271			1,171	7.81	%		60,270			1,175	7.84	%
Repurchase agreements		88,007			955	4.36	%		92,177			967	4.22	%
Other borrowings		143,169			2,595	7.29	%		137,287			2,164	6.34	%
Total interest bearing liabilities		6,128,235			50,578	3.32	%		6,172,074			49,410	3.22	%
Noninterest bearing deposits		1,346,274							1,338,384
Accrued expenses and other liabilities		101,399							100,014
Total liabilities		7,575,908							7,610,472
Shareholders’ equity		796,698							785,054
Total liabilities and shareholders’ equity	$	8,372,606						$	8,395,526
Net interest income (FTE)				$	56,292						$	56,084
Net interest margin (FTE)						2.87	%						2.86	%
Net interest spread (FTE)						2.13	%						2.16	%

Interest on loans includes net fees on loans that are not material in amount.
For the purpose of calculating the average yield, the average balance of securities is presented at historical cost.

Note: As of June 30, 2024 and March 31, 2024, loans totaling $6.1 million and $7.7 million, respectively, were on nonaccrual status. Our policy is to reverse previously accrued but unpaid interest on nonaccrual loans; thereafter, interest income is recorded to the extent received when appropriate.

Southside Bancshares, Inc. Average Balances and Average Yields and Rates (Annualized) (Unaudited) (Dollars in thousands)

	Three Months Ended
	December 31, 2023
	Average Balance			Interest		Average Yield/ Rate
ASSETS
Loans ⁽¹⁾	$	4,473,618		$	67,886	6.02	%
Loans held for sale		1,858			27	5.77	%
Securities:
Taxable investment securities ⁽²⁾		852,023			7,970	3.71	%
Tax-exempt investment securities ⁽²⁾		1,456,187			15,688	4.27	%
Mortgage-backed and related securities ⁽²⁾		581,548			6,865	4.68	%
Total securities		2,889,758			30,523	4.19	%
Federal Home Loan Bank stock, at cost, and equity investments		24,674			296	4.76	%
Interest earning deposits		150,763			2,054	5.41	%
Federal funds sold		93,149			1,286	5.48	%
Total earning assets		7,633,820			102,072	5.30	%
Cash and due from banks		110,380
Accrued interest and other assets		374,120
Less: Allowance for loan losses		(41,822	)
Total assets	$	8,076,498
LIABILITIES AND SHAREHOLDERS’ EQUITY
Savings accounts	$	610,453			1,432	0.93	%
Certificates of deposit		910,759			9,691	4.22	%
Interest bearing demand accounts		3,469,120			24,498	2.80	%
Total interest bearing deposits		4,990,332			35,621	2.83	%
Federal Home Loan Bank borrowings		262,709			1,430	2.16	%
Subordinated notes, net of unamortized debt issuance costs		93,859			965	4.08	%
Trust preferred subordinated debentures, net of unamortized debt issuance costs		60,269			1,195	7.87	%
Repurchase agreements		96,622			1,008	4.14	%
Other borrowings		294,683			4,235	5.70	%
Total interest bearing liabilities		5,798,474			44,454	3.04	%
Noninterest bearing deposits		1,424,961
Accrued expenses and other liabilities		115,388
Total liabilities		7,338,823
Shareholders’ equity		737,675
Total liabilities and shareholders’ equity	$	8,076,498
Net interest income (FTE)				$	57,618
Net interest margin (FTE)						2.99	%
Net interest spread (FTE)						2.26	%

Interest on loans includes net fees on loans that are not material in amount.
For the purpose of calculating the average yield, the average balance of securities is presented at historical cost.

Note: As of December 31, 2023, loans totaling $3.9 million were on nonaccrual status. Our policy is to reverse previously accrued but unpaid interest on nonaccrual loans; thereafter, interest income is recorded to the extent received when appropriate.

Southside Bancshares, Inc. Average Balances and Average Yields and Rates (Unaudited) (Dollars in thousands)

	Year ended
	December 31, 2024							December 31, 2023
	Average Balance			Interest		Average Yield/ Rate		Average Balance			Interest		Average Yield/ Rate
ASSETS
Loans ⁽¹⁾	$	4,593,280		$	281,790	6.13	%	$	4,300,138		$	247,431	5.75	%
Loans held for sale		3,179			76	2.39	%		1,681			96	5.71	%
Securities:
Taxable investment securities ⁽²⁾		785,145			28,075	3.58	%		845,907			31,186	3.69	%
Tax-exempt investment securities ⁽²⁾		1,212,844			48,547	4.00	%		1,554,519			64,568	4.15	%
Mortgage-backed and related securities ⁽²⁾		878,623			45,222	5.15	%		470,692			19,450	4.13	%
Total securities		2,876,612			121,844	4.24	%		2,871,118			115,204	4.01	%
Federal Home Loan Bank stock, at cost, and equity investments		39,688			2,079	5.24	%		24,971			1,185	4.75	%
Interest earning deposits		308,628			16,265	5.27	%		83,343			4,364	5.24	%
Federal funds sold		53,709			2,855	5.32	%		79,948			4,124	5.16	%
Total earning assets		7,875,096			424,909	5.40	%		7,361,199			372,404	5.06	%
Cash and due from banks		106,965							107,018
Accrued interest and other assets		443,733							397,860
Less: Allowance for loan losses		(43,428	)						(37,890	)
Total assets	$	8,382,366						$	7,828,187
LIABILITIES AND SHAREHOLDERS’ EQUITY
Savings accounts	$	600,375			5,824	0.97	%	$	636,603			5,633	0.88	%
Certificates of deposit		1,059,793			48,155	4.54	%		862,211			30,906	3.58	%
Interest bearing demand accounts		3,503,878			99,678	2.84	%		3,122,319			71,618	2.29	%
Total interest bearing deposits		5,164,046			153,657	2.98	%		4,621,133			108,157	2.34	%
Federal Home Loan Bank borrowings		601,366			24,450	4.07	%		276,584			6,777	2.45	%
Subordinated notes, net of unamortized debt issuance costs		92,478			3,774	4.08	%		96,024			3,920	4.08	%
Trust preferred subordinated debentures, net of unamortized debt issuance costs		60,272			4,621	7.67	%		60,267			4,504	7.47	%
Repurchase agreements		86,071			3,603	4.19	%		91,132			3,431	3.76	%
Other borrowings		119,672			8,104	6.77	%		345,544			17,925	5.19	%
Total interest bearing liabilities		6,123,905			198,209	3.24	%		5,490,684			144,714	2.64	%
Noninterest bearing deposits		1,353,065							1,485,896
Accrued expenses and other liabilities		102,778							97,509
Total liabilities		7,579,748							7,074,089
Shareholders’ equity		802,618							754,098
Total liabilities and shareholders’ equity	$	8,382,366						$	7,828,187
Net interest income (FTE)				$	226,700						$	227,690
Net interest margin (FTE)						2.88	%						3.09	%
Net interest spread (FTE)						2.16	%						2.42	%

Interest on loans includes net fees on loans that are not material in amount.
For the purpose of calculating the average yield, the average balance of securities is presented at historical cost.

Note: As of December 31, 2024 and 2023, loans totaling $3.2 million and $3.9 million, respectively, were on nonaccrual status. Our policy is to reverse previously accrued but unpaid interest on nonaccrual loans; thereafter, interest income is recorded to the extent received when appropriate.

The following tables set forth the reconciliation of return on average common equity to return on average tangible common equity, book value per share to tangible book value per share, net interest income to net interest income adjusted to a fully taxable-equivalent basis assuming a 21% marginal tax rate for interest earned on tax-exempt assets such as municipal loans and investment securities, along with the calculation of total revenue, adjusted noninterest expense, efficiency ratio (FTE), net interest margin (FTE) and net interest spread (FTE) for the applicable periods presented.

Southside Bancshares, Inc. Non-GAAP Reconciliation (Unaudited) (Dollars and shares in thousands, except per share data)

	Three Months Ended															Year ended
		2024												2023			2024			2023
	Dec 31,			Sep 30,			Jun 30,			Mar 31,			Dec 31,			Dec 31,			Dec 31,
Reconciliation of return on average common equity to return on average tangible common equity:
Net income	$	21,786		$	20,524		$	24,673		$	21,511		$	17,316		$	88,494		$	86,692
After-tax amortization expense		196			220			243			266			292			925			1,341
Adjusted net income available to common shareholders	$	21,982		$	20,744		$	24,916		$	21,777		$	17,608		$	89,419		$	88,033

Average shareholders’ equity	$	822,234		$	806,230		$	796,698		$	785,054		$	737,675		$	802,618		$	754,098
Less: Average intangibles for the period		(203,020	)		(203,288	)		(203,581	)		(203,910	)		(204,267	)		(203,448	)		(204,887	)
Average tangible shareholders’ equity	$	619,214		$	602,942		$	593,117		$	581,144		$	533,408		$	599,170		$	549,211

Return on average tangible common equity		14.12	%		13.69	%		16.90	%		15.07	%		13.10	%		14.92	%		16.03	%

Reconciliation of book value per share to tangible book value per share:
Common equity at end of period	$	811,942		$	805,254		$	800,970		$	787,922		$	773,288		$	811,942		$	773,288
Less: Intangible assets at end of period		(202,870	)		(203,119	)		(203,397	)		(203,704	)		(204,041	)		(202,870	)		(204,041	)
Tangible common shareholders’ equity at end of period	$	609,072		$	602,135		$	597,573		$	584,218		$	569,247		$	609,072		$	569,247

Total assets at end of period	$	8,517,448		$	8,362,263		$	8,357,702		$	8,353,863		$	8,284,914		$	8,517,448		$	8,284,914
Less: Intangible assets at end of period		(202,870	)		(203,119	)		(203,397	)		(203,704	)		(204,041	)		(202,870	)		(204,041	)
Tangible assets at end of period	$	8,314,578		$	8,159,144		$	8,154,305		$	8,150,159		$	8,080,873		$	8,314,578		$	8,080,873

Period end tangible equity to period end tangible assets		7.33	%		7.38	%		7.33	%		7.17	%		7.04	%		7.33	%		7.04	%

Common shares outstanding end of period		30,379			30,308			30,261			30,284			30,249			30,379			30,249
Tangible book value per common share	$	20.05		$	19.87		$	19.75		$	19.29		$	18.82		$	20.05		$	18.82

Reconciliation of efficiency ratio to efficiency ratio (FTE), net interest margin to net interest margin (FTE) and net interest spread to net interest spread (FTE):
Net interest income (GAAP)	$	53,707		$	55,464		$	53,608		$	53,348		$	54,485		$	216,127		$	215,027
Tax-equivalent adjustments:
Loans		598			608			633			656			680			2,495			2,724
Tax-exempt investment securities		1,935			2,012			2,051			2,080			2,453			8,078			9,939
Net interest income (FTE) ⁽¹⁾		56,240			58,084			56,292			56,084			57,618			226,700			227,690
Noninterest income		12,281			8,171			11,557			9,724			2,501			41,733			35,834
Nonrecurring income ⁽²⁾		(25	)		2,797			(576	)		18			8,376			2,214			7,370
Total revenue	$	68,496		$	69,052		$	67,273		$	65,826		$	68,495		$	270,647		$	270,894

Noninterest expense	$	38,159		$	36,332		$	35,765		$	36,881		$	35,183		$	147,137		$	140,578
Pre-tax amortization expense		(249	)		(278	)		(307	)		(337	)		(370	)		(1,171	)		(1,697	)
Nonrecurring expense ⁽³⁾		(919	)		(219	)		2			17			22			(1,119	)		78
Adjusted noninterest expense	$	36,991		$	35,835		$	35,460		$	36,561		$	34,835		$	144,847		$	138,959

Efficiency ratio		56.08	%		53.94	%		54.90	%		57.95	%		53.30	%		55.69	%		53.81	%
Efficiency ratio (FTE) ⁽¹⁾		54.00	%		51.90	%		52.71	%		55.54	%		50.86	%		53.52	%		51.30	%

Average earning assets	$	7,913,371		$	7,823,026		$	7,881,919		$	7,882,337		$	7,633,820		$	7,875,096		$	7,361,199

Net interest margin		2.70	%		2.82	%		2.74	%		2.72	%		2.83	%		2.74	%		2.92	%
Net interest margin (FTE) ⁽¹⁾		2.83	%		2.95	%		2.87	%		2.86	%		2.99	%		2.88	%		3.09	%

Net interest spread		1.99	%		2.10	%		2.00	%		2.02	%		2.10	%		2.02	%		2.25	%
Net interest spread (FTE) ⁽¹⁾		2.12	%		2.23	%		2.13	%		2.16	%		2.26	%		2.16	%		2.42	%

These amounts are presented on a fully taxable-equivalent basis and are non-GAAP measures.
These adjustments may include net gain or loss on sale of securities available for sale, net gain on sale of equity securities, BOLI income related to death benefits realized and other investment income or loss in the periods where applicable.
These adjustments may include foreclosure expenses and branch closure expenses, in the periods where applicable.

The MIL Network –

January 30, 2025

MIL-OSI: 180 Degree Capital Corp. Responds to Non-Binding Proposal from Source Capital

Source: GlobeNewswire (MIL-OSI)

MONTCLAIR, N.J., Jan. 29, 2025 (GLOBE NEWSWIRE) — 180 Degree Capital Corp. (NASDAQ:TURN) (“180 Degree Capital”) notes that its Board of Directors (the “Board”), including the Special Committee of the Board, has evaluated the non-binding proposal from Source Capital issued on January 24, 2025 (the “Source Proposal”), pursuant to the requirements of Section 7.10 of the Agreement and Plan of Merger by and among 180 Degree Capital Corp., Mount Logan Capital Inc. (“Mount Logan”), Yukon New Parent, Inc., Polar Merger Sub, Inc. and Moose Merger Sub, LLC, dated January 16, 2025 (the “Merger Agreement”). Based on this assessment, the Board has determined that the Source Proposal does not constitute a TURN Superior Proposal (as defined in the Merger Agreement) and does not, at this time, otherwise satisfy the criteria set forth in Section 7.10(a) of the Merger Agreement.

The Board takes its fiduciary responsibilities seriously and is deeply committed to value creation for all of 180 Degree Capital shareholders. The Board unanimously reaffirms its support of the proposed strategic business combination with Mount Logan as contemplated by the Merger Agreement as being in the best interests of all 180 Degree Capital shareholders. The Board believes that the proposed merger with Mount Logan would provide unique and value-creating benefits as described in the joint investor presentation previously publicly filed by 180 Degree Capital on January 17, 2025, and available on its website at https://ir.180degreecapital.com/ir-calendar/detail/2908/180-degree-capital-and-mount-logan-capital-proposed-merger.

About 180 Degree Capital Corp.

180 Degree Capital Corp. is a publicly traded registered closed-end fund focused on investing in and providing value-added assistance through constructive activism to what we believe are substantially undervalued small, publicly traded companies that have potential for significant turnarounds. 180 Degree Capital’s goal is that the result of its constructive activism leads to a reversal in direction for the share price of these investee companies, i.e., a 180-degree turn. Detailed information about 180 Degree Capital and its holdings can be found on its website at www.180degreecapital.com.

Press Contact:
Daniel B. Wolfe
Robert E. Bigelow
180 Degree Capital Corp.
973-746-4500
ir@180degreecapital.com

About Mount Logan Capital Inc.

Mount Logan Capital Inc. is an alternative asset management and insurance solutions company that is focused on public and private debt securities in the North American market and the reinsurance of annuity products, primarily through its wholly owned subsidiaries Mount Logan Management LLC (“ML Management”) and Ability Insurance Company (“Ability”), respectively. Mount Logan also actively sources, evaluates, underwrites, manages, monitors and primarily invests in loans, debt securities, and other credit-oriented instruments that present attractive risk-adjusted returns and present low risk of principal impairment through the credit cycle.

ML Management was organized in 2020 as a Delaware limited liability company and is registered with the SEC as an investment adviser under the Investment Advisers Act of 1940, as amended. The primary business of ML Management is to provide investment management services to (i) privately offered investment funds exempt from registration under the Investment Company Act of 1940, as amended (the “1940 Act”) advised by ML Management, (ii) a non-diversified closed-end management investment company that has elected to be regulated as a business development company, (iii) Ability, and (iv) non-diversified closed-end management investment companies registered under the 1940 Act that operate as interval funds. ML Management also acts as the collateral manager to collateralized loan obligations backed by debt obligations and similar assets.

Ability is a Nebraska domiciled insurer and reinsurer of long-term care policies and annuity products acquired by Mount Logan in the fourth quarter of fiscal year 2021. Ability is also no longer insuring or re-insuring new long-term care risk.

Additional Information and Where to Find It

In connection with the Business Combination, 180 Degree Capital intends to file with the Securities and Exchange Commission (“SEC”) and mail to its shareholders a proxy statement on Schedule 14A (the “Proxy Statement”). In addition, New Mount Logan plans to file with the SEC a registration statement on Form S-4 (the “Registration Statement”) that will register the exchange of New Mount Logan shares in the Business Combination and include the Proxy Statement and a prospectus of New Mount Logan (the “Prospectus”). The Proxy Statement and the Registration Statement (including the Prospectus) will each contain important information about 180 Degree Capital, Mount Logan, New Mount Logan, the Business Combination and related matters. SHAREHOLDERS OF 180 DEGREE CAPITAL AND MOUNT LOGAN ARE URGED TO READ THE PROXY STATEMENT AND PROSPECTUS CONTAINED IN THE REGISTRATION STATEMENT AND OTHER DOCUMENTS THAT ARE FILED OR WILL BE FILED WITH THE APPLICABLE SECURITIES REGULATORY AUTHORITIES AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS CAREFULLY AND IN THEIR ENTIRETY WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT 180 DEGREE CAPITAL, MOUNT LOGAN, NEW MOUNT LOGAN, THE BUSINESS COMBINATION AND RELATED MATTERS. Investors and security holders may obtain copies of these documents and other documents filed with the applicable securities regulatory authorities free of charge through the website maintained by the SEC at https://www.sec.gov and the website maintained by the Canadian securities regulators at www.sedarplus.ca. Copies of the documents filed by 180 Degree Capital are also available free of charge by accessing 180 Degree Capital’s investor relations website at https://ir.180degreecapital.com.

Certain Information Concerning the Participants

180 Degree Capital, its directors and executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies in connection with the Business Combination. Information about 180 Degree Capital’s executive officers and directors is available in 180 Degree Capital’s Annual Report filed on Form N-CSR for the year ended December 31, 2023, which was filed with the SEC on February 20, 2024, and in its proxy statement for the 2024 Annual Meeting of Shareholders (“2024 Annual Meeting”), which was filed with the SEC on March 1, 2024. To the extent holdings by the directors and executive officers of 180 Degree Capital securities reported in the proxy statement for the 2024 Annual Meeting have changed, such changes have been or will be reflected on Statements of Change in Ownership on Forms 3, 4 or 5 filed with the SEC. These documents are or will be available free of charge at the SEC’s website at https://www.sec.gov. Additional information regarding the persons who may, under the rules of the SEC, be considered participants in the solicitation of the 180 Degree Capital shareholders in connection with the Business Combination will be contained in the Proxy Statement when such document becomes available.

Mount Logan, its directors and executive officers and other members of management and employees may be deemed to be participants in the solicitation of proxies from the shareholders of Mount Logan in favor of the approval of the Business Combination. Information about Mount Logan’s executive officers and directors is available in Mount Logan’s annual information form dated March 14, 2024, available on its website at https://mountlogancapital.ca/investor-relations and on SEDAR+ at https://sedarplus.ca. To the extent holdings by the directors and executive officers of Mount Logan securities reported in Mount Logan’s annual information form have changed, such changes have been or will be reflected on insider reports filed on SEDI at https://www.sedi.ca/sedi/. Additional information regarding the persons who may, under the rules of the SEC, be considered participants in the solicitation of the Mount Logan shareholders in connection with the Business Combination will be contained in the Prospectus included in the Registration Statement when such document becomes available.

Non-Solicitation

This press release is not intended to be, and shall not constitute, an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made, except by means of a prospectus meeting the requirements of Section 10 of the U.S. Securities Act of 1933, as amended.

Forward-Looking Statements

This press release, and oral statements made from time to time by representatives of 180 Degree Capital and Mount Logan, may contain statements of a forward-looking nature relating to future events within the meaning of federal securities laws. Forward-looking statements may be identified by words such as “anticipates,” “believes,” “could,” “continue,” “estimate,” “expects,” “intends,” “will,” “should,” “may,” “plan,” “predict,” “project,” “would,” “forecasts,” “seeks,” “future,” “proposes,” “target,” “goal,” “objective,” “outlook” and variations of these words or similar expressions (or the negative versions of such words or expressions). Forward-looking statements are not statements of historical fact and reflect Mount Logan’s and 180 Degree Capital’s current views about future events. Such forward-looking statements include, without limitation, statements about the benefits of the Business Combination involving Mount Logan and 180 Degree Capital, including future financial and operating results, Mount Logan’s and 180 Degree Capital’s plans, objectives, expectations and intentions, the expected timing and likelihood of completion of the Business Combination, and other statements that are not historical facts, including but not limited to future results of operations, projected cash flow and liquidity, business strategy, payment of dividends to shareholders of New Mount Logan, and other plans and objectives for future operations. No assurances can be given that the forward-looking statements contained in this press release will occur as projected, and actual results may differ materially from those projected. Forward-looking statements are based on current expectations, estimates and assumptions that involve a number of risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include, without limitation, the ability to obtain the requisite Mount Logan and 180 Degree Capital shareholder approvals; the risk that Mount Logan or 180 Degree Capital may be unable to obtain governmental and regulatory approvals required for the Business Combination (and the risk that such approvals may result in the imposition of conditions that could adversely affect New Mount Logan or the expected benefits of the Business Combination); the risk that an event, change or other circumstance could give rise to the termination of the Business Combination; the risk that a condition to closing of the Business Combination may not be satisfied; the risk of delays in completing the Business Combination; the risk that the businesses will not be integrated successfully; the risk that the cost savings and any other synergies from the Business Combination may not be fully realized or may take longer to realize than expected; the risk that any announcement relating to the Business Combination could have adverse effects on the market price of Mount Logan’s common stock or 180 Degree Capital’s common stock; unexpected costs resulting from the Business Combination; the possibility that competing offers or acquisition proposals will be made; the risk of litigation related to the Business Combination; the risk that the credit ratings of New Mount Logan or its subsidiaries may be different from what the companies expect; the diversion of management time from ongoing business operations and opportunities as a result of the Business Combination; the risk of adverse reactions or changes to business or employee relationships, including those resulting from the announcement or completion of the Business Combination; competition, government regulation or other actions; the ability of management to execute its plans to meet its goals; risks associated with the evolving legal, regulatory and tax regimes; changes in economic, financial, political and regulatory conditions; natural and man-made disasters; civil unrest, pandemics, and conditions that may result from legislative, regulatory, trade and policy changes; and other risks inherent in Mount Logan’s and 180 Degree Capital’s businesses. Forward-looking statements are based on the estimates and opinions of management at the time the statements are made. Readers should carefully review the statements set forth in the reports, which 180 Degree Capital has filed or will file from time to time with the SEC and Mount Logan has filed or will file from time to time on SEDAR+.

Neither Mount Logan nor 180 Degree Capital undertakes any obligation, and expressly disclaims any obligation, to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law. Any discussion of past performance is not an indication of future results. Investing in financial markets involves a substantial degree of risk. Investors must be able to withstand a total loss of their investment. The information herein is believed to be reliable and has been obtained from sources believed to be reliable, but no representation or warranty is made, expressed or implied, with respect to the fairness, correctness, accuracy, reasonableness or completeness of the information and opinions. The references and link to the website www.180degreecapital.com and mountlogancapital.ca have been provided as a convenience, and the information contained on such websites are not incorporated by reference into this press release. Neither 180 Degree Capital nor Mount Logan is responsible for the contents of third-party websites.

The MIL Network –

January 30, 2025

MIL-OSI Europe: Federal Council initiates consultation on exchange of information under the OECD minimum tax

Source: Switzerland – Department of Finance

During its meeting on 29 January 2025, the Federal Council initiated the consultation on approving the basis under international law for the exchange of information under the OECD minimum tax. In the future, it should be possible for the multinational enterprise (MNE) groups concerned to submit the information centrally in a single jurisdiction. The implementing jurisdictions should also be able to check whether the tax calculations of MNE groups are correct. The consultation will run until 8 May 2025. This proposal does not address national implementation. The Federal Council is closely monitoring international developments.

MIL OSI Europe News –

January 30, 2025

MIL-OSI Europe: Federal Council to remove EU from stock exchange protection list as of 1 May 2025

Source: Switzerland – Department of Finance

During its meeting on 29 January 2025, the Federal Council decided to remove the European Union (EU) from the list of jurisdictions affected by the measure to protect the Swiss stock exchange infrastructure (protective measure) with effect from 1 May 2025. The Federal Council had activated the protective measure in 2019 to temporarily protect the Swiss stock exchange infrastructure in response to the non-recognition by the EU of the equivalence of Switzerland’s stock exchange regulations. As the EU has since revised the corresponding legal basis, the Swiss protective measure with respect to the EU is now no longer necessary and is to be deactivated for the benefit of Swiss companies. Switzerland will continue to seek recognition of equivalence and improved market access for financial service providers in the regulatory dialogue with the EU concerning the financial sector.

MIL OSI Europe News –

January 30, 2025

MIL-OSI: The New Force in Platform Tokens: How WXT Succeeds Like BNB?

Source: GlobeNewswire (MIL-OSI)

VICTORIA, Seychelles, Jan. 29, 2025 (GLOBE NEWSWIRE) — In recent years, the cryptocurrency market has experienced dramatic changes, with platform tokens stepping into the spotlight to become core pillars of exchange ecosystems. Evolving from simple transaction fee discount tools to drivers of ecosystem innovation, platform tokens are unlocking new potential. WXT, the native token of the WEEX exchange, is steadily following the successful trajectory of BNB, garnering widespread attention with its innovative mechanisms and ecosystem integration.

From the Shadows to the Spotlight: The Breakthrough of Platform Token Value

The evolution of platform tokens has been remarkable. Initially serving as tools for fee discounts, they have expanded into diverse use cases such as DeFi mining, staking rewards, project governance, NFT trading, and cross-chain payments. This evolution has transformed platform tokens into vital connectors of users, technology, and capital.

BNB: A Benchmark for Platform Tokens

Launched in 2017 as Binance’s native token, BNB rapidly built a loyal user base through fee discounts, airdrop rewards, and a strategic buyback-and-burn mechanism. The 2019 launch of Binance Smart Chain (BSC) further amplified BNB’s utility, extending its applications to DeFi, NFT ecosystems, and smart contract development.

By 2024, BNB’s market capitalization soared from $32.7 billion in 2023 to $110 billion, with its price rising from $200 to $793. This trajectory illustrates how platform tokens can achieve exponential growth through ecosystem expansion and innovative strategies.

BGB: A Rising Star Among Secondary Tokens

BGB capitalized on Bitget’s aggressive market expansion, surging from $1.5 at the beginning of 2024 to $8 by year’s end—a remarkable 400% growth. BGB’s success demonstrates that secondary platform tokens with innovative features and precise positioning can achieve explosive results, even in markets dominated by major exchanges.

WXT: The Emerging Star Following BNB

WXT, the native token of WEEX, has drawn inspiration from the successes of BNB and BGB. With a strong foundation in innovation and ecosystem growth, WXT has risen from $0.01 at its August 2023 launch to $0.0339—a cumulative 384% increase—making it a standout in the market.

What’s Driving WXT’s Rapid Growth?

1）Comprehensive Ecosystem Empowerment

As a top 10 global derivatives exchange, WEEX boasts over 5 million registered users and achieved stable profitability as early as the 2022 “crypto winter.” Its monthly trading volumes have consistently doubled, supported by over 1,500 trading pairs and industry-leading liquidity.

WXT plays a critical role in this ecosystem, offering transaction fee discounts (30% for spot trading, up to 20% for derivatives), staking rewards, cross-chain payments, and NFT trading opportunities.

2）Innovative Burn Mechanism Fuels Market Optimism

Starting in 2025, WEEX plans to implement quarterly buybacks and burns for WXT, with an initial burn of 4 billion tokens—40% of the total supply, valued at approximately $120 million. This strategy reduces circulating supply, increases scarcity, and strengthens price support, boosting long-term value expectations.

3）Global Reach and Rapid Growth

Operating in over 206 countries and regions with a daily trading volume exceeding $2 billion, WEEX provides strong liquidity and a seamless trading experience, further enhancing WXT’s growth potential.

A Window of Opportunity Amid Market Shifts

Data from 0xScope reveals that Binance’s market share fell from 51.2% in 2023 to 41.68% in 2024. Meanwhile, secondary exchanges like Bitget, Gate.io, Bybit, and WEEX have risen rapidly, with their platform tokens delivering exceptional returns:

BGB: Climbed from $1.5 to $8.
OKB: Market capitalization increased from $2.5 billion to $4.3 billion.

Compared to mature tokens like BNB, emerging tokens like WXT offer a more attractive investment opportunity due to their low valuations and high growth potential.

The Road Ahead: Multi-Driver Growth for WXT

Ecosystem Expansion and Global Compliance

WEEX has secured multiple compliance licenses and is actively pursuing approvals in regions like Australia and Malta. As regulatory frameworks develop globally, demand and value for WXT are expected to grow steadily.

Brand Development and Community Trust

In November 2024, WEEX announced football legend Michael Owen as its global brand ambassador. Additionally, collaborations with over 1,000 KOLs and global communities are elevating WEEX’s international brand profile and user trust.

Engaging Platform Activities

WEEX regularly hosts trading competitions, airdrops, and daily lotteries, offering generous rewards like token airdrops and luxury prizes. These initiatives ensure fair and inclusive participation, boosting user engagement and loyalty.

Low Valuation, High Growth Potential

As WEEX’s influence grows, WXT remains at an early stage with significant room for appreciation. The robust burn mechanism, targeting a reduction in total supply to 1 billion tokens, further enhances scarcity and long-term value, unlocking more growth potential for investors.

WXT: An Investment Opportunity with Long-Term Potential

Just as BNB leveraged ecosystem expansion to solidify its value and BGB achieved explosive growth through precise positioning, WXT is poised to unlock immense growth through its burn mechanism and comprehensive ecosystem strategy. Currently undervalued, WXT offers an ideal entry point for investors looking to capitalize on its high growth potential.

For investors, this is the perfect time to explore and invest in WXT. Still in its early stages, WXT is poised for exponential growth, with its potential and market position significantly underestimated. By acting early, investors could position themselves as the “biggest winners” of the 2025 crypto market, reaping substantial returns.

About WEEX
Official Website: https://www.weex.com

Contact:
Joyce
joyce@weexglobal.com

Disclaimer: This content is provided by WEEX. The statements, views and opinions expressed in this column are solely those of the content provider. The information provided in this press release is not a solicitation for investment, nor is it intended as investment advice, financial advice, or trading advice. It is strongly recommended you practice due diligence, including consultation with a professional financial advisor, before investing in or trading cryptocurrency and securities. Please conduct your own research and invest at your own risk.

Photos accompanying this announcement are available at:

https://www.globenewswire.com/NewsRoom/AttachmentNg/13bde475-43a9-4782-8eca-ffcb1bf62e42

https://www.globenewswire.com/NewsRoom/AttachmentNg/6a269fe9-63af-40c9-9b2d-5aab866284f7

https://www.globenewswire.com/NewsRoom/AttachmentNg/88319190-e5a4-45e3-a6af-7b3a4fab556e

The MIL Network –

January 29, 2025

MIL-OSI Economics: Private Placement of Non-Convertible Debentures (NCDs) with maturity period of more than one year by HFCs – Review of guidelines

Source: Reserve Bank of India

RBI/2024-25/107
DOR.FIN.REC.No.58/03.10.136/2024-25

January 29, 2025

All Housing Finance Companies (HFCs)

Dear Sir/ Madam,

Private Placement of Non-Convertible Debentures (NCDs) with maturity period of more than one year by HFCs – Review of guidelines

Please refer to Chapter XI of Master Direction – Non-Banking Financial Company – Housing Finance Company (Reserve Bank) Directions, 2021 wherein guidelines on private placement of NCDs by HFCs have been prescribed.

2. On a review, it has been decided that the Guidelines on Private Placement of NCDs (with maturity more than one year) by NBFCs, as contained in para 58 of the Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023 (as amended from time to time) shall be applicable, mutatis-mutandis, to HFCs. Accordingly, the existing guidelines under Chapter XI of Master Direction – Non-Banking Financial Company – Housing Finance Company (Reserve Bank) Directions, 2021 stand repealed. The revised guidelines shall be applicable to all fresh private placements of NCDs (with maturity more than one year) by HFCs from the date of this circular.

3. The Master Direction – Non-Banking Financial Company – Housing Finance Company (Reserve Bank) Directions, 2021 is being modified as detailed in Annex.

Yours faithfully,

(J.P. Sharma)
Chief General Manager

Annex to circular no.DOR.FIN.REC.No.58/03.10.136/2024-25 dated January 29, 2025

Annex

New paragraph

56A. The instructions regarding “Raising Money through Private Placement by NBFCs” as contained in para 58 of the Master Direction – Reserve Bank of India (Non-Banking Financial Company – Scale Based Regulation) Directions, 2023 (as amended from time to time) shall be applicable, mutatis-mutandis, to HFCs.

Deleted Paragraphs

Paragraphs 57 to 68A under Chapter XI of Master Direction – Non-Banking Financial Company – Housing Finance Company (Reserve Bank) Directions, 2021 stand deleted.

MIL OSI Economics –

January 29, 2025

MIL-OSI Africa: Africa Energy Summit, leaders commit to energy transformation with more than $50billion backing from global partners

Source: Africa Press Organisation – English (2) – Report:

DAR ES SALAAM, Tanzania, January 29, 2025/APO Group/ —

Thirty African Heads of State and government today committed to concrete reforms and actions to expand access to reliable, affordable, and sustainable electricity to power economic growth, improve quality of life, and drive job creation across the continent. The leaders pledged their commitment in a declaration during the two-day Mission 300 Africa Energy Summit in the Tanzanian commercial capital, Dar es Salaam. Mission 300 partners pledged more than $50 billion in support of increasing energy access across Africa.

The Dar es Salaam Energy Declaration represents a key milestone in addressing the energy gap in Africa, where more than 600 million people currently live without electricity. The commitments in the Declaration are a critical piece of the Mission 300 initiative, which unites governments, development banks, partners, philanthropies, and the private sector to connect 300 million Africans to electricity by 2030. The Declaration will now be submitted to the African Union Summit in February for adoption.

By addressing the fundamental challenge of energy access, Mission 300 serves as the cornerstone of the jobs agenda for Africa’s growing youth population and the foundation for future development.

Twelve countries—Chad, Côte d’Ivoire, Democratic Republic of Congo, Liberia, Madagascar, Malawi, Mauritania, Niger, Nigeria, Senegal, Tanzania, and Zambia—presented detailed National Energy Compacts that set targets to scale up electricity access, increase the use of renewable energy and attract additional private capital. These country-specific plans are time-bound, rooted in data, endorsed at the highest level and focus on affordable power generation, expanding connections, and regional integration. They aim to boost utility efficiency, attract private investment, and expand clean cooking solutions. Deploying satellite and electronic mapping technologies, these compacts identify the most cost-effective solutions to bring electricity to underserved areas.

“Tanzania is honored to have hosted such a monumental summit to discuss how, as leaders, we will be able to deliver on our promise to our citizens to provide power and clean cooking solutions that will transform lives and economies,” said H.E. Dr. Samia Suluhu Hassan, President of the United Republic of Tanzania.

Implementing the National Energy Compacts will require political will, long-term vision and the full support from Mission 300 partners. Governments are paving the way through comprehensive reforms, complemented by increased concessional financing and strategic partnerships with philanthropies and development banks to catalyze increased private sector investment.

Dr. Akinwumi A. Adesina, President of the African Development Bank Group, emphasized the need for decisive action to accelerate electrification across the continent. “Critical reforms will be needed to expand the share of renewables, improve utility performance utilities, ensure transparency in licensing and power purchase agreements, and establish predictable tariff regimes that reflect production costs. Our collective effort is to support you, heads of state and government, in developing and implementing clear, country-led national energy compacts to deliver on your visions for electricity in your respective countries.”

“Access to electricity is a fundamental human right. Without it, countries and people cannot thrive,” said Ajay Banga, President of the World Bank Group. “Our mission to provide electricity to half of the 600 million people in Africa without access is a critical first step. To succeed, we must embrace a simple truth: no one can do it alone. Governments, businesses, philanthropies, and development banks each have a role—and only through collaboration can we achieve our goal.”

During the summit, partners announced a series of commitments:

African Development Bank Group and the World Bank Group plan to allocate $48 billion in financing for Mission 300 through 2030, which may evolve to fit implementation needs
Agence Francaise de Development (AFD): €1 billion to support energy access in Africa
Asian Infrastructure Investment Bank (AIIB): $1 billion to $1.5 billion to support Mission 300
Islamic Development Bank (IsDB) Group: $2.65 billion in support of Mission 300 and energy access in Africa from 2025-2030
OPEC Fund: An initial commitment of $1 billion in support of Mission 300 with additional financing to follow
World Bank Group and the African Development Bank Group: Launched Zafiri, an investment company that supports private sector-led solutions, such as renewable mini-grids and solar home systems. Zafiri anchor partners will invest up to $300 million in the first phase and mobilize up to $1 billion to address the persistent equity gap in Africa in these markets.

The firm commitments made by governments and partners at the summit demonstrate the unique power of the Mission 300 partnership. By combining government reforms, increased financing, and leveraging public-private partnerships, African countries are positioned to turn plans into action, delivering tangible benefits to millions of people.

The Mission 300 Africa Energy Summit was hosted by the United Republic of Tanzania, the African Union, the African Development Bank Group (AfDB), and the World Bank Group (WBG), with support from the Rockefeller Foundation, ESMAP, Global Energy Alliance for People and Planet (GEAPP), Sustainable Energy for All (SEforALL) and the Sustainable Energy Fund for Africa.

MIL OSI Africa –

January 29, 2025

MIL-OSI United Kingdom: Manchester firm which targeted Germans with fake prepaid card scam is shut down

Source: United Kingdom – Executive Government & Departments

Advantia Card Limited was subject to a winding-up order following more than 190 complaints from members of the public in Germany

Advantia Card Ltd, registered in the UK, scammed customers in Germany using fake prepaid cards.
The company sent the cards to customers against their wishes then demanded payment through a debt collection agency.
Advantia was shut down at a winding-up hearing at London’s High Court.

A Manchester firm which sent out fake prepaid cards to people in Germany then demanded repayments has been shut down following an investigation by the Insolvency Service.

Advantia Card Ltd, which was registered at an address in Moston Lane Manchester, sent prepaid cards to people in Germany against their wishes – including a 12-year-old boy.

The company was subject to a winding-up order following more than 190 complaints from members of the public in Germany.

Investigations in the UK and Germany discovered the company issued fake prepaid cards and filed false accounts.

Some customers were subject to cold calls and received a prepaid card without their agreement, while others agreed to receive one after being told there would be no costs involved.

Advantia Card Ltd then employed a debt collection agency to make high-pressure calls to customers – in some cases demanding a 400 Euro payment for the provision of the prepaid card.

The company was shut down on 28 January 2025 after a hearing at the High Court in London.

Insolvency Service Chief Investigator Mark George said:

This was clearly a company with no intention of operating legitimately and with the sole intention of defrauding and distressing its customers.

Shutting down Advantia Card Ltd is a significant step in protecting the public – both here and in Germany – from suffering as a result of their fake prepaid cards.

The Insolvency Service collaborated with the Federation of German Consumer Organisations (FGCO) – the equivalent of Trading Standards in the UK – to investigate Advantia Card Ltd, after they received more than 190 complaints from members of the public in Germany.

One of the complaints included a 12-year-old boy who clicked a link for a prepaid card offer through an Instagram advert. No proof of age was taken, and he did not sign any contract.

It was also found that Advantia Card Ltd filed false or misleading accounts with Companies House, having declared the company dormant from April 2022 to April 2023 when the FGCO investigation showed the company was active from at least 2021 to 2023.

The company did not cooperate with the investigation, did not defend the winding up and was not represented at the hearing.

All enquiries concerning the affairs of the company should be made to the Official Receiver of the Public Interest Unit: 16th Floor, 1 Westfield Avenue, Stratford, London, E20 1HZ. Email: piu.or@insolvency.gov.uk.

Further information

On 28 January 2025, at the High Court in London, it was agreed that it was in the public interest to wind-up Advantia Card Ltd in the UK (section 124A of the Insolvency Act 1986).
Advantia Card Ltd is registered at Moston Lane, Manchester and incorporated in April 2021 (company number: 13334166).
The Insolvency Service can investigate complaints about corporate abuse by live companies. This may include serious misconduct, fraud, scams or dishonest practice in the way the company operates. Further information on our live investigations can be found here 
Further information about the work of the Insolvency Service, and how to complain about financial misconduct, is available here.

Published 29 January 2025

MIL OSI United Kingdom –

January 29, 2025

MIL-OSI Security: Nigerian who defrauded U.S. pandemic aid programs of more than $1 million sentenced to 54 months in prison

Source: United States Department of Justice (National Center for Disaster Fraud)

Defendant defrauded Americans for a decade with trove of over 14,000 stolen identities

Tacoma – The second of two Nigerian men residing in Canada who defrauded pandemic aid programs of millions was sentenced today in U.S. District Court in Tacoma to 54 months in prison for wire fraud and aggravated identity theft announced U.S. Attorney Tessa M. Gorman. Fatiu Ismaila Lawal, 46, was extradited from Canada last July, and pleaded guilty in September 2024. At today’s sentencing hearing U.S. District Judge Tiffany M. Cartwright said, the crime required substantial planning. “This took advantage of programs designed to help people who were really struggling in an international emergency,” Judge Cartwright said.

“This defendant made it his full-time job to defraud the U.S. for years before the pandemic, but he kicked it into high gear once critical aid to Americans workers was flowing,” said U.S. Attorney Gorman. “His fraud included using stolen identities of Washington residents to file dozens of unemployment claims in the first few weeks of the pandemic, contributing to the flood of fraudulent claims that caused the state to pause all unemployment payments. In this way his fraud harmed all Washingtonians who desperately needed assistance at the onset of the pandemic.”

According to records filed in the case, Lawal, and codefendant Sakiru Olanrewaju Ambali, 46, used the stolen identities of thousands of workers to submit over 1,700 claims for pandemic unemployment benefits to over 25 different states, including Washington State. In total, the claims sought approximately $25 million, but the conspirators obtained approximately $2.7 million, primarily from pandemic unemployment benefits. Lawal admits that he personally submitted claims for $1,345,472.

Lawal personally submitted at least 790 unemployment claims using the stolen identities of 790 workers. He submitted claims for pandemic unemployment benefits to New York, Maryland, Michigan, Nevada, California, Washington and some 19 other states. Lawal also established four internet domain names that were subsequently used for fraud – creating some 800 different email addresses that were used in this scheme.

Additionally, between 2018 and November 2022, Lawal used stolen personal information to submit 3,000 income tax returns for $7.5 million in refunds. The IRS detected the fraud and paid just $30,000.

“While Mr. Lawal may not have secured the $7.5 million he sought from fraudulent tax refunds, each of the 3,000 returns he filed represents a life he disrupted,” said Adam Jobes, Special Agent in Charge of IRS Criminal Investigation’s Seattle Field Office.

Lawal and co-defendant Ambali also attempted to use the stolen American identities for Economic Injury Disaster Loans (EIDL) to defraud the Small Business Administration (SBA). The pair submitted some 38 applications, but SBA caught most of the fraud and paid only $2,500.

Lawal and Ambali had the proceeds of their fraud sent to cash cards or to “money mules” who transferred the funds according to instructions given by the co-conspirators. They also allegedly used stolen identities to open bank accounts and have the money deposited directly into those accounts for their use.

Evidence gathered in the case shows that Lawal personally received a substantial portion of the criminal proceeds. Lawal was ordered to pay restitution of $1,345,472.

Co-defendant Ambali was sentenced to 42 months in prison in March 2024.

In asking for a 65-month prison sentence, the government argued, “During major disasters and nationwide emergencies, it is particularly importantfor the government to be able to disburse aid quickly to real victims to mitigate the impact of the crisis. The actual monetary loss to the government comes secondary to the fact that a real person or business behind each stolen identity had difficulty accessing assistance because a fraudulent claim was already paid in their identity. These difficulties were further compounded by the onslaught of fraudulent claims that clogged the infrastructure in place to distribute the aid. The estimated loss from these fraudulent pandemic unemployment claims is over $100 billion.”

The National Unemployment Fraud Task Force provided a lead on this case to the investigative team in Western Washington. The case was investigated by the FBI with assistance from U.S. Postal Inspection Service (USPIS) and the Department of Labor Office of Inspector General (DOL-OIG). Also contributing to the investigation were Internal Revenue Service Criminal Investigation (IRS-CI), Washington State Employment Security Division (ESD), and the Small Business Administration (SBA).

The case was prosecuted by Assistant United States Attorney Cindy Chang of the Western District of Washington. DOJ’s Office of International Affairs assisted with extradition on this matter.

The COVID-19 Fraud Enforcement Task Force was established to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.

Anyone with information about allegations of attempted fraud related to COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.

MIL Security OSI –

January 29, 2025

MIL-OSI United Kingdom: Criminals denied £7.5m in profits from the illegal trade in medicines

Source: United Kingdom – Executive Government & Departments

The Medicines and Healthcare products Regulatory Agency (MHRA) last year stopped criminals making more than £7.5 million linked to the illegal trade in medicines.

Person holding seized medicines in MHRA storeroom. Credit: MHRA

As part of the crackdown on criminal profits, more than 17 million doses of illegally traded medicines, with a potential street value of more than £40 million, were taken out of circulation last year by the MHRA and its law enforcement partners. These included painkillers, sleeping tablets and erectile dysfunction treatments.

Andy Morling, who heads the MHRA’s Criminal Enforcement Unit (CEU), said:

Criminals are in the illegal medicines trade for one reason only, to make money. By seizing their profits, we’re removing that single motivation. Whether held in Bitcoin or banknotes, we can take these criminal profits out of the hands of offenders. We can also use some of the money to strengthen our enforcement efforts against them. It’s a win for the safety of the public, and a serious blow for organised crime.

Following the money

The MHRA’s CEU leads efforts to disrupt medicine crime by denying criminals the profits that fuel it. Using its legislative powers, the CEU can freeze bank accounts, intercept digital currencies, seize luxury goods and confiscate the proceeds of crime following conviction. During 2024, the CEU’s financial investigators denied these criminals access to a total of £7.5 million in criminal assets.

Protecting the public from illegally traded medicines

The CEU deployed teams to work in partnership with the Home Office’s Border Force at ports across the UK to identify and seize medicines illegally entering the UK.

Most of the seized medicines are not licensed for sale in the UK, so can contain too much or too little of the declared active ingredient and may also contain other ingredients that are not approved for use.

The CEU also continued to target those individuals and networks illegally trading in medicines online, disrupting more than 1,500 websites and posts on social media accounts selling medicinal products illegally.

Andy Morling said:

Buying from unverified sources risks your health, as there is no guarantee that the products are safe or effective.

We work tirelessly to protect patients by preventing medicines crime, disrupting it, and bringing offenders to justice. We do this by working with partners to remove illegally traded medicines from circulation, deny the criminal networks the proceeds of their crimes and disrupt online criminality.

Where appropriate we will also use the full range of our powers to bring offenders before the courts. These actions help ensure the public can trust the medicines they rely on every day.

Minister of State for Health, Karin Smyth, said:

Shameful criminals selling unregulated and illegal medicines must feel the full force of the law.

We are cracking down on these rogue retailers, taking illicit medicines off the streets, and keeping the public safe.

The MHRA will use the funds made through this to strengthen future action against criminals.

Notes to editors

The 17 million doses seized include 5.5 million doses of erectile dysfunction medicines, 5.5 million doses of pain treatments, 2.8 million doses of sedatives, 1.6 million doses of sleep disorder treatments, and 1.9 million doses of other medicines.
Anyone who suspects they are having a side effect from a medicine are encouraged to talk to their doctor, pharmacist or nurse and report it directly to the MHRA Yellow Card scheme, either through the Yellow Card website or by searching the Google Play or Apple App stores for MHRA Yellow Card.
The MHRA’s Accredited Financial Investigators are authorised by the National Crime Agency under the Proceeds of Crime Act 2002 (POCA). They support investigations by tracing, freezing, and confiscating assets linked to crime, including money laundering and the illegal supply of medicines. Their work includes seizing cash, valuable items, and freezing bank accounts or cryptocurrency suspected of criminal origins. The Home Office’s Asset Recovery Incentivisation Scheme (ARIS) allows a proportion of the proceeds of crime recovered under POCA, to be redistributed to agencies involved in the asset recovery process. The Home Office encourages agencies to invest ARIS funds to drive up performance on asset recovery or, where appropriate, to fund local crime fighting priorities for the benefit of the community.
The Medicines and Healthcare products Regulatory Agency (MHRA) is responsible for regulating all medicines and medical devices in the UK by ensuring they work and are acceptably safe.  All our work is underpinned by robust and fact-based judgements to ensure that the benefits justify any risks. 
The MHRA is an executive agency of the Department of Health and Social Care. 
For media enquiries, please contact the newscentre@mhra.gov.uk, or call on 020 3080 7651.

Published 29 January 2025

MIL OSI United Kingdom –

January 29, 2025

MIL-OSI Russia: Aviation technical center to be built in Vnukovo district as part of MAIP

Translartion. Region: Russians Fedetion –

Source: Moscow Government – Government of Moscow –

A new aviation technical center will appear in the Vnukovo area. It will be built during the implementation of a large-scale investment project (MaIP). This was announced by the Deputy Mayor of Moscow for Transport and Industry Maxim Liksutov.

“In accordance with the order of Sergei Sobyanin, since 2016 we have been providing investors with land on special terms for the construction of important objects for the city. This allows us to develop infrastructure and create new jobs in various sectors of the economy. Thus, thanks to the construction of the aviation technical center, more than 300 specialists will be able to find employment,” said Maxim Liksutov.

The new aviation technical center is planned to be put into operation at the end of 2026. It will train technical, flight and other personnel of airlines.

“Moscow pays special attention to training specialists in strategically important sectors of the economy, and educates personnel for smart production of the present and future. Investments in the construction of the aviation technical center will amount to more than 0.5 billion rubles. The area of the facility will exceed 3.4 thousand square meters,” noted the Minister of the Moscow Government, head of the capital’s Department of Investment and Industrial Policy

Anatoly Garbuzov.

The city provides land plots for the construction of facilities within the framework of the MaIP without holding tenders. More than 1.1 hectares of land have been allocated to Vnukovo Airport for the new aviation technical center. The lease agreement has been concluded for five years, added the Minister of the Moscow Government, head of the capital’s Department of City Property Maxim Gaman.

Today, over 90 MAIPs are being implemented in the capital. As a result, industrial enterprises will appear in different areas of the city, where about 60 thousand jobs will be created.

Please note: This information is raw content directly from the source of the information. It is exactly what the source states and does not reflect the position of MIL-OSI or its clients.

Please Note; This Information is Raw Content Directly from the Information Source. It is access to What the Source Is Stating and Does Not Reflect

https: //vv.mos.ru/nevs/ite/149446073/

MIL OSI Russia News –

January 29, 2025

MIL-OSI: Municipality Finance issues a NOK 1 billion tap under its MTN programme

Source: GlobeNewswire (MIL-OSI)

Municipality Finance Plc
Stock exchange release
29 January 2025 at 10:00 am (EET)

Municipality Finance issues a NOK 1 billion tap under its MTN programme

On 30 January 2025 Municipality Finance Plc issues a new tranche in an amount of NOK 1 billion to an existing series of notes issued on 15 January 2025. With the new tranche, the aggregate nominal amount of the notes is NOK 4 billion. The maturity date of the notes is 15 January 2030. The notes bear interest at a floating rate equal to 3-month Nibor plus 25 bps per annum.

The new tranche is issued under MuniFin’s EUR 50 billion programme for the issuance of debt instruments. The offering circular, the supplemental offering circular and final terms of the notes are available in English on the company’s website at https://www.kuntarahoitus.fi/en/for-investors.

MuniFin has applied for the new tranche to be admitted to trading on the Helsinki Stock Exchange maintained by Nasdaq Helsinki. The public trading is expected to commence on 30 January 2025. The existing notes in the series are admitted to trading on the Helsinki Stock Exchange.

Nordea Bank Abp acts as the Dealer for the issue of the new tranche.

MUNICIPALITY FINANCE PLC

Further information:

Joakim Holmström
Executive Vice President, Capital Markets and Sustainability
tel. +358 50 444 3638

MuniFin (Municipality Finance Plc) is one of Finland’s largest credit institutions. The owners of the company include Finnish municipalities, the public sector pension fund Keva and the Republic of Finland. The Group’s balance sheet totals over EUR 50 billion.

MuniFin builds a better and more sustainable future with its customers. Our customers include municipalities, joint municipal authorities, wellbeing services counties, joint county authorities, corporate entities under the control of the above-mentioned organisations, and affordable social housing. Lending is used for environmentally and socially responsible investment targets such as public transportation, sustainable buildings, hospitals and healthcare centres, schools and day care centres, and homes for people with special needs.

MuniFin’s customers are domestic but the company operates in a completely global business environment. The company is an active Finnish bond issuer in international capital markets and the first Finnish green and social bond issuer. The funding is exclusively guaranteed by the Municipal Guarantee Board.

Important Information

The information contained herein is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into any such country or jurisdiction or otherwise in such circumstances in which the release, publication or distribution would be unlawful. The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, any securities or other financial instruments in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.

This communication does not constitute an offer of securities for sale in the United States. The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

The MIL Network –

January 29, 2025

MIL-OSI: Municipality Finance issues a GBP 75 million tap under its MTN programme

Source: GlobeNewswire (MIL-OSI)

Municipality Finance Plc
Stock exchange release
29 January 2025 at 10:00 am (EET)

Municipality Finance issues a GBP 75 million tap under its MTN programme

On 30 January 2025 Municipality Finance Plc issues a new tranche in an amount of GBP 75 million to an existing benchmark issued on 7 March 2024. With the new tranche, the aggregate nominal amount of the benchmark is GBP 500 million. The maturity date of the benchmark is 2 October 2028. The benchmark bears interest at a fixed rate of 4.375 % per annum.

The new tranche is issued under MuniFin’s EUR 50 billion programme for the issuance of debt instruments. The offering circular, the supplemental offering circular and final terms of the notes are available in English on the company’s website at https://www.kuntarahoitus.fi/en/for-investors.

MuniFin has applied for the new tranche to be admitted to trading on the Helsinki Stock Exchange maintained by Nasdaq Helsinki. The public trading is expected to commence on 30 January 2025. The existing notes in the series are admitted to trading on the Helsinki Stock Exchange.

Citigroup Global Market Limited acts as the Dealer for the issue of the new tranche.

MUNICIPALITY FINANCE PLC

Further information:

Joakim Holmström
Executive Vice President, Capital Markets and Sustainability
tel. +358 50 444 3638

MuniFin (Municipality Finance Plc) is one of Finland’s largest credit institutions. The owners of the company include Finnish municipalities, the public sector pension fund Keva and the Republic of Finland. The Group’s balance sheet totals over EUR 50 billion.

MuniFin builds a better and more sustainable future with its customers. Our customers include municipalities, joint municipal authorities, wellbeing services counties, joint county authorities, corporate entities under the control of the above-mentioned organisations, and affordable social housing. Lending is used for environmentally and socially responsible investment targets such as public transportation, sustainable buildings, hospitals and healthcare centres, schools and day care centres, and homes for people with special needs.

MuniFin’s customers are domestic but the company operates in a completely global business environment. The company is an active Finnish bond issuer in international capital markets and the first Finnish green and social bond issuer. The funding is exclusively guaranteed by the Municipal Guarantee Board.

Read more: www.munifin.fi

Important Information

The information contained herein is not for release, publication or distribution, in whole or in part, directly or indirectly, in or into any such country or jurisdiction or otherwise in such circumstances in which the release, publication or distribution would be unlawful. The information contained herein does not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of, any securities or other financial instruments in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of any such jurisdiction.

This communication does not constitute an offer of securities for sale in the United States. The notes have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”) or under the applicable securities laws of any state of the United States and may not be offered or sold, directly or indirectly, within the United States or to, or for the account or benefit of, U.S. persons except pursuant to an applicable exemption from, or in a transaction not subject to, the registration requirements of the Securities Act.

The MIL Network –

January 29, 2025

MIL-OSI: Offentliggørelse af prospekt samt formue og investorer for afdelingen I&T Obligationer KL i Investeringsforeningen Wealth Invest

Source: GlobeNewswire (MIL-OSI)

Hermed offentliggøres prospekt samt formue og antal investorer for afdelingen I&T Obligationer KL, som optages til handel på Nasdaq Copenhagen A/S med første handelsdag 31. januar 2025.

Afdeling	Formue DKK	Antal navnenoterede investorer
I&T Obligationer	17.765.000	169

Hvis der måtte være spørgsmål i relation til ovenstående, kan der rettes henvendelse til direktør i Wealth Fund Partners A/S, Lise Bøgelund Jensen på telefon 3328 2828.

Med venlig hilsen
Investeringsforeningen Wealth Invest

Attachment

2025 01 31 WI I&T_børsprospekt_final

The MIL Network –

January 29, 2025

MIL-OSI: Bitwise Rebrands European ETPs, Looks to Reinforce Position as Market Leader in Pivotal Year for Crypto

Source: GlobeNewswire (MIL-OSI)

Rebrands European product suite after strong 2024: Bitwise surpassed $12 billion in client assets, launched new products such as Solana and Aptos Staking ETPs
TER of the Bitwise Core Bitcoin ETP (BTC1) lowered to 0.20% p.a.
Crypto poised to soar in 2025: Bitwise research forecasts record valuations and inflows in crypto markets this year amid reduced regulatory risk
Continued innovation: Bitwise looks to cement position as market leader by providing new best-in-class products, broadening access to crypto for investors

January 29, 2025. Frankfurt, Germany: Bitwise today announced the company has completed the rebranding of all ETPs in its European product suite following last year’s acquisition of ETC Group. The move comes as Bitwise looks to expand its position as a market leader in crypto markets in 2025, a year in which a number of structural upward trends are likely to bolster crypto markets.

Among the renamed products are the Bitwise Core Bitcoin ETP (BTC1), the Bitwise Ethereum Staking ETP (ET32), the Bitwise MSCI Digital Assets Select 20 ETP (DA20), and the company’s flagship product: – the Bitwise Physical Bitcoin ETP (BTCE). Launched in 2020, BTCE is the most heavily traded bitcoin ETP in Europe. For an overview of all products with their rebranded names, please refer to the table below.

Bitwise will continue to broaden crypto access for investors, provide best-in-class innovative products, timely insights on the latest market developments, and champion transparency and accountability in a landmark year for the crypto industry.

Hunter Horsley, CEO and Co-Founder of Bitwise: “We expect 2025 will be a pivotal year for crypto, with Bitcoin, Ethereum, and Solana each hitting record highs, and a more crypto-friendly environment in Washington bringing welcome clarity to the space. Bitwise is looking forward to using this moment to reinforce our position as a market leader both in the U.S. and Europe.”

Bitwise saw significant growth in 2024, a year in which Bitcoin soared to an all-time high of $103,992 after the record-setting launch of spot bitcoin ETFs in the U.S. The company crossed over $12 billion in client assets, using its momentum to launch new institutional-grade crypto staking ETPs, namely the recently launched Bitwise Solana Staking ETP, and the Bitwise Aptos Staking ETP, in addition to filing a Form S-1 for an XRP spot ETF in the U.S. The company’s Bitwise Core Bitcoin ETP (BTC1 | DE000A4AER62), an institutionally focused and cost-efficient Bitcoin ETP with a Total Expense Ratio (TER) of 0.20%, is also experiencing increased popularity among investors.

Another highlight of 2024 for Bitwise was the launch of Bitwise Onchain Solutions after the company’s acquisition of Attestant Limited, an institutional-grade Ethereum staking provider with $3.7 billion in staked assets at the time of the acquisition.

Crypto poised to soar in 2025

In 2025, adoption of bitcoin and other crypto assets by corporate treasurers are set to be another major driver supporting the asset class, Bitwise Head of Research Europe Dr Andre Dragosch said in a study this month. At the moment, companies hold only 4% of the total available Bitcoin supply, a number that already doubled last year. With total free cash flow between S&P 500 companies standing at $1.5 trillion – more than twice the capital ever invested in Bitcoin – this offers an unprecedented growth opportunity.

Bitwise will continue to position itself as a thought leader with studies like the above and several others, providing a rich stream of research and market analysis for investors. This research is available through blog posts on the Bitwise website, such as on this link and here.

The following table shows Bitwise’s renamed European Crypto ETP suite:

The complete list of Bitwise European ETP products, including all stock exchange listings and trading information, is available at https://bitwiseinvestments.com/eu.

About Bitwise

Bitwise is one of the world’s leading crypto specialist asset managers. Thousands of financial advisors, family offices, and institutional investors across the globe have partnered with us to understand and access the opportunities in crypto. Since 2017, Bitwise has established a track record of excellence managing a broad suite of index and active solutions across ETPs, separately managed accounts, private funds, and hedge fund strategies – spanning both the U.S. and Europe.

In Europe, for the past four years Bitwise (formerly ETC Group) has developed an extensive and innovative suite of crypto ETPs, including Europe’s most traded bitcoin ETP, or the first diversified Crypto Basket ETP replicating an MSCI digital assets index.

This family of crypto ETPs is domiciled in Germany and approved by BaFin. We exclusively partner with reputable entities from the traditional financial industry, ensuring that 100% of the assets are securely stored offline (cold storage) through regulated custodians.

Our European products comprise a collection of carefully designed financial instruments that seamlessly integrate into any professional portfolio, providing comprehensive exposure to crypto as an asset class. Access is straightforward via major European stock exchanges, with primary listings on Xetra, the most liquid exchange for ETF trading in Europe. Retail investors benefit from easy access through numerous DIY/online brokers, coupled with our robust and secure physical ETP structure, which includes a redemption feature. For more information, visit www.bitwiseinvestments.com/eu

Media contacts:

JEA Associates
John McLeod
00 44 7886 920436
john@jeaassociates.com

Important information
This press release does not constitute investment advice, nor does it constitute an offer or solicitation to buy financial products. This press release is issued by Bitwise Europe GmbH (“BEU”), a limited company domiciled in Germany, for information only and in accordance with all applicable laws and regulations. BEU gives no explicit or implicit assurance or guarantee regarding the fairness, accuracy, completeness, or correctness of this article or the opinions contained therein. It is advised not to rely on the fairness, accuracy, completeness, or correctness of this article or the opinions contained therein. Please note that this article is neither investment advice nor an offer or solicitation to acquire financial products or cryptocurrencies.

Before investing in crypto Exchange Traded Products (“ETPs”), potential investors should consider the following:
Potential investors should seek independent advice and consider relevant information contained in the base prospectus and the final terms for the ETPs, especially the risk factors. ETPs issued by BEU are suitable only for persons experienced in investing in cryptocurrencies and risks of investing can be found in the prospectus and final terms available on www.bitwiseinvestments.com./eu. The invested capital is at risk, and losses up to the amount invested are possible. ETPs backed by cryptocurrencies are highly volatile assets and performance is unpredictable. Past performance is not a reliable indicator of future performance. The market price of ETPs will vary and they do not offer a fixed income or match precisely the performance of the underlying cryptocurrency. Investing in ETPs involves numerous risks including general market risks relating to underlying, adverse price movements, currency, liquidity, operational, legal and regulatory risks.

The MIL Network –

January 29, 2025

MIL-OSI Economics: 29 January 2025 The ‘Arctic – Territory of Dialogue’ International Arctic Forum to be held under the slogan “The North – the place to live!” A meeting has been held in Moscow between Anton Kobyakov, Adviser to the President of the Russian Federation, Executive Secretary of the Organizing Committee for the ‘Arctic – Territory of Dialogue’ International Arctic Forum, and Andrey Chibis, Governor of the Murmansk Region.

Source: Eastern Economic Forum

MIL OSI Economics –

January 29, 2025

MIL-OSI Australia: Press conference, Whyalla

Source: Australian Executive Government Ministers

PHILL STONE (MAYOR, WHYALLA COUNCIL): Well, perhaps I can just thank everybody for being here. Today is a fantastic day. The start of what I would like to think is quite a few good announcements coming up, but we are able to move forward thanks to the Minister being here with a special announcement that our community is hanging out for. Minister.

CATHERINE KING: Well, thanks, it’s lovely to be here with you, Mayor Stone. It’s terrific– or Phill, I have to call you.

PHILL STONE: Yes, Phill.

CATHERINE KING: To really announce– we’re announcing today South Australia’s successful Growing Regions Round 2 projects. And here, of course, in Whyalla, we’re announcing $3.14 million for the play and splash park at the foreshore.

What I do want to say is congratulations to the council staff and councillors for working closely with your community on this project. These grants are very competitive, and you’ve got this on absolutely and utterly your merits. I know that place is really important for people. And as towns change what we want to do in our recreation time changes as well. Often the council facilities have not been able to keep up to date, and it’s really hard to get and attract the sort of money needed to do these big scale projects.

So, we’re really delighted, as the Albanese Labor Government, to partner with councils as a really trusted delivery partner, to really make sure we’re improving the places that people live. I know this is just one part of the foreshore redevelopment overall, but it is really the cornerstone of it, providing that first possibility of having a meeting space, a gathering space for families, improving accessibility, making sure you can actually use this amazing foreshore. Whether it’s wind, hopefully not hail, but certainly when the sun is shining as well. So delighted to make that announcement, alongside over $11 million that were announcing under Round 2, which of course builds here in this local community on our recent announcement around the Whyalla Airport. Investing some $16.3 million, knowing that you are going to need a longer and stronger runway for all of the development that is to come here in this community.

So, Mayor Stone, it’s lovely to be here to make that announcement. And as I said, congratulations to the local community for the work and effort that you’ve put in to get this project to this point.

PHILL STONE: Thank you very much, Minister. And do I say, you are experiencing just one of our 301 days of beautiful sunshine here in Whyalla. Welcome.

CATHERINE KING: Beautiful. Happy to take some questions.

UNIDENTIFIED SPEAKER: Jack, do you want to start?

JOURNALIST: Yeah. So, Funding for this project has sort of been in the works for quite a while. It was not approved in May of last year. Has anything changed for the Federal Government to allow it to come to fruition this time?

CATHERINE KING: Yeah. Well, what happens with these projects is we have a– you know, I’ve really cleaned up the grants process because what we saw previously, frankly, were colour coded spreadsheets. And you may have not always seen projects of the most merit getting up. What we’ve done now is there’s a panel that assesses the first applic– sorry, so the Business Grant Hub assesses applications, and this initially determines whether they’re eligible or not eligible. I then have a panel of politicians from National Party, Liberal Party, Labor Party, independents having a look at those applications and making a recommendation to my department about how the merit rankings should be done. And then my department will then make recommendations to me. And that’s what’s happened, and I’ve gone down the list.

On this occasion, I think what’s happened is the council has listened. They weren’t successful in that first application. Listened, got feedback from the Grants Hub about what they could do to strengthen their application. And that’s what they’ve done.

JOURNALIST: This is probably more for Phill. Will council be targeting local contractors and businesses to take up the works for the development project?

PHILL STONE: They will certainly have the opportunity. Whatever works fall within the capabilities of our locals. We keep saying this: we will always favour local contractors. If they can come up with the goods, they come up with the price, and we can all move forward. And this will certainly be taken into account. No question about that at all.

CATHERINE KING: And I think you’ve estimated around 42 people will be employed in the construction of this project. And I always like to hear that as many locals as possible get those jobs, but they’ve got tender processes they’ll have to go through. Thank you.

JOURNALIST: That’s it from me.

CATHERINE KING: Yep. ABC?

UNIDENTIFIED SPEAKER: Dan. You’re up.

JOURNALIST: Hello? Yes. Sorry, thanks so much for having me via the phone. One for Phill first. Is this something that– sorry, this specific splash and play plaza, is this something that the community have been yearning for?

PHILL STONE: Yes. It was one of the features in the original master plan put together by the community. Very much wanted a focus on water activities, sport. We always told the community it would take time. We would need extra funding to top up what council could provide. This funding now allows us to proceed. But the water feature was what the community wanted, and they’re now going to be able to get it.

JOURNALIST: Fantastic. Thanks very much Phill. Just a couple for the Minister. The question for you, Minister, you’re the Minister for Regional Development. How much is Whyalla on your radar in terms of regional cities [Indistinct]?

CATHERINE KING: Well, certainly the council has made sure Whyalla is on my radar. I think they were one of the first council groups to reach out to me when I became a new minister almost two and a half years ago now, so that is part of the job of council. We have lots and lots of local governments come to Canberra regularly, contact my office and talk about their projects. All regions are on my radar. Whyalla is incredibly important, not just to the state of South Australia but, obviously, in terms of the nation as a whole. The steel you produce here goes into many of my infrastructure projects that are right the way around the country, incredibly important for the entire community.

But I also care deeply. I live in a regional town myself and it’s got a long and deep history. I really love regional communities. I want to see them thrive. I want to see– they’re changing all the time; their economies are changing all the time. And part of my role as Regional Development Minister is trying to help make sure that they continue to become great places for people to live, to grow, to raise their families, as well as providing opportunities for tourism and bringing more money into the economy from other sources.

JOURNALIST: Minister, you did touch on it but, obviously, Whyalla’s industries kind of hinges on the steelworks. You guys have made a commitment of $63 million for a new green steel production system in Whyalla. Can you tell us how much of that you have already delivered? And what thresholds are we waiting to see the rest of the $63 million going to GFG?

CATHERINE KING: Yeah. Look, that will be questions for Minister Ed Husic, the Industry Minister. But the commitment that we have made is that we want to see the steelworks continue. We want to see it thrive. We know how important it is as I said, not just for South Australia but for the entire country. We know there are challenges as we head to net zero, in steel in particular – how we produce steel, how we make sure we reduce the energy intensity, the emissions intensity from a whole range of manufacturing, and steel is a really important component of that.

So, the questions in terms of the grant and thresholds really are for Minister Husic. But I know from the Albanese Labor Government’s point of view, we treat this very seriously. We want to make sure this is successful, and we’ll continue to work with council and our partners in the South Australian Labor Government to deliver for Whyalla.

JOURNALIST: I appreciate that. You have mentioned this is Minister Husic’s portfolio but, within Cabinet, how concerned is the Cabinet and the government about the situation at the steelworks at the moment and GFG’s ownership of that?

CATHERINE KING: Yeah. Well, obviously the commitment we’ve made is to that $63 million and we will continue to work very closely with the Malinauskas Labor Government. As the steelworks continue and the future of the steelworks continues we’ll continue talking to the South Australian Government about those matters.

JOURNALIST: No worries. Thanks very much, Minister. Appreciate your time.

CATHERINE KING: You are most welcome.

[Unrelated content – casual conversation]

PHILL STONE: Look, I just want to emphasise, I see today, as a result of a lot of hard work and negotiation, collaboration, sitting down, talking, Federal Government and particularly the funding we’ve already got for the airport, today’s announcement, other announcements that might just be around the corner, they’ve resulted through collaboration, through three parties sitting down, working together. And while we do that we can do nothing but succeed. And that is the crux.

There are some people that think we should go in, thumping on tables. While I’m Mayor that’s not my style and it’s not my team’s style. And I think you see the results of a whole team effort and we thank you so much for giving us this kick-start to get this underway. The community will certainly be waiting for that news. They’ll want us to start probably by yesterday.

CATHERINE KING: [Laughs] I’m sure they do.

PHILL STONE: I will now say, why have–

CATHERINE KING: [Interrupts] Where is it?

PHILL STONE: Yes. A week’s gone by, why haven’t you started? Obviously, there’s still a lot of work now behind the scenes, but you’ve really given us a good start. And while we continue to collaborate, work with both governments, we can’t do anything but succeed. And I thank you again very much for what you’ve done.

CATHERINE KING: You’re most welcome. Thanks, everybody.

[Applause]

[Unrelated content – casual conversation]

CATHERINE KING: Sorry, Dan*.

JOURNALIST: Sorry, one more very quick question. I’m told the Premier’s heading up to Whyalla tomorrow. Do you have any plans to meet with him or anyone from the State Government tomorrow?

CATHERINE KING: I think there will be someone else here with the Premier, as I understand it not from the Federal Government. But I’m heading to Katherine straight after this.

JOURNALIST: No worries. Enjoy the trip.

CATHERINE KING: Thank you.

MIL OSI News –

January 29, 2025

	Three Months Ended										Year Ended
(000s, except per share amounts)	12/31/2024		12/31/2023		% Change		9/30/2024		% Change		12/31/2024		12/31/2023		% Change
Revenues:
Commissions	$	203,786	$	173,614	17.4		$	183,445	11.1		$	756,024	$	673,597	12.2
Principal transactions		174,887		154,377	13.3			137,089	27.6			604,564		490,440	23.3
Investment banking		304,419		205,664	48.0			243,182	25.2			994,831		731,255	36.0
Asset management		405,825		330,536	22.8			382,616	6.1			1,536,674		1,299,496	18.3
Other income		3,294		9,687	(66.0	)		18,705	(82.4	)		43,129		8,747	393.1
Operating revenues		1,092,211		873,878	25.0			965,037	13.2			3,935,222		3,203,535	22.8
Interest revenue		500,661		516,213	(3.0	)		510,823	(2.0	)		2,016,464		1,955,745	3.1
Total revenues		1,592,872		1,390,091	14.6			1,475,860	7.9			5,951,686		5,159,280	15.4
Interest expense		228,190		243,712	(6.4	)		251,192	(9.2	)		981,366		810,336	21.1
Net revenues		1,364,682		1,146,379	19.0			1,224,668	11.4			4,970,320		4,348,944	14.3
Non-interest expenses:
Compensation and benefits		795,750		674,437	18.0			718,065	10.8			2,916,229		2,554,581	14.2
Non-compensation operating expenses		302,731		265,947	13.8			289,945	4.4			1,125,647		1,087,671	3.5
Total non-interest expenses		1,098,481		940,384	16.8			1,008,010	9.0			4,041,876		3,642,252	11.0
Income before income taxes		266,201		205,995	29.2			216,658	22.9			928,444		706,692	31.4
Provision for income taxes		22,196		43,511	(49.0	)		58,153	(61.8	)		197,065		184,156	7.0
Net income		244,005		162,484	50.2			158,505	53.9			731,379		522,536	40.0
Preferred dividends		9,320		9,320	0.0			9,320	0.0			37,281		37,281	0.0
Net income available to common shareholders	$	234,685	$	153,164	53.2		$	149,185	57.3		$	694,098	$	485,255	43.0
Earnings per common share:
Basic	$	2.26	$	1.47	53.7		$	1.43	58.0		$	6.67	$	4.55	46.6
Diluted	$	2.09	$	1.38	51.4		$	1.34	56.0		$	6.25	$	4.28	46.0
Cash dividends declared per common share	$	0.42	$	0.36	16.7		$	0.42	0.0		$	1.68	$	1.44	16.7
Weighted average number of common shares outstanding:
Basic		103,856		103,934	(0.1	)		103,966	(0.1	)		104,066		106,661	(2.4	)
Diluted		112,089		111,330	0.7			110,994	1.0			110,975		113,453	(2.2	)

	Three Months Ended				Year Ended
(000s)	12/31/2024		12/31/2023		12/31/2024		12/31/2023
GAAP compensation and benefits	$795,750		$674,437		$2,916,229		$2,554,581
As a percentage of net revenues		58.3%		58.8%		58.7%		58.7%
Non-GAAP adjustments:
Merger-related ⁽¹⁰⁾		(4,641)		(9,203)		(22,039)		(32,150)
Restructuring and severance ⁽¹¹⁾		430		—		(10,792)		—
Total non-GAAP adjustments		(4,211)		(9,203)		(32,831)		(32,150)
Non-GAAP compensation and benefits	$791,539		$665,234		$2,883,398		$2,522,431
As a percentage of non-GAAP net revenues		58.0%		58.0%		58.0%		58.0%

GAAP non-compensation expenses	$302,731		$265,947		$1,125,647		$1,087,671
As a percentage of net revenues		22.2%		23.2%		22.6%		25.1%
Non-GAAP adjustments:
Merger-related ⁽¹⁰⁾		(12,140)		(7,678)		(37,975)		(31,058)
Non-GAAP non-compensation expenses	$290,591		$258,269		$1,087,672		$1,056,613
As a percentage of non-GAAP net revenues		21.3%		22.6%		21.9%		24.3%
Total adjustments	$16,390		$16,921		$71,537		$63,222

Category: Finance

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