Q4 Results Highlighted by Record Fees and
Loan Growth, Sustained Deposit Growth and Sequential
Expansion of Net Interest Income
2024 Fourth-Quarter Highlights:
- Earnings per common share (EPS) for the quarter were
$0.34, higher by $0.01 from the prior quarter, and $0.19 higher than the year-ago quarter. Excluding
the after-tax impact of Notable Items, EPS was higher by
$0.07 from the year-ago quarter.
- The previously announced sale of approximately $1 billion of corporate debt investment
securities decreased pre-tax income by $21
million, or $0.01 on an
after-tax EPS basis.
- Net interest income increased $44
million, or 3%, from the prior quarter, and increased
$79 million, or 6%, from the year-ago
quarter.
- Total deposit costs were 2.16%, down 24 basis points from the
prior quarter.
- Noninterest income increased $36
million, or 7%, from the prior quarter, to $559 million. From the year-ago quarter,
noninterest income increased $154
million, or 38%. Excluding the impact of mark-to-market on
pay-fixed swaptions, credit risk transfer transactions, and the
loss on sales of securities, noninterest income increased by
$49 million, or 9%, from the prior
quarter and $96 million, or 20%, from
the year-ago quarter.
- Average total loans and leases increased $3.7 billion, or 3%, from the prior quarter to
$128.2 billion, and increased
$6.9 billion, or 6%, from the
year-ago quarter.
- Average commercial loans grew $2.7
billion or 4% from the prior quarter and $4.3 billion or 6% from the year-ago quarter.
- Average consumer loans grew $930
million or 2% from the prior quarter and $2.7 billion or 5% from the year-ago
quarter.
- Average total deposits increased $2.9
billion, or 2%, from the prior quarter and $9.8 billion, or 7%, from the year-ago
quarter.
- Net charge-offs of 0.30% of average total loans and leases for
the quarter.
- Nonperforming asset ratio of 0.63% at quarter end.
- Allowance for credit losses (ACL) of $2.4 billion, or 1.88% of total loans and leases,
at quarter end.
- Common Equity Tier 1 (CET1) risk-based capital ratio was 10.5%,
at December 31, 2024, up from 10.4%
in the prior quarter.
- Adjusted Common Equity Tier 1, including the effect of AOCI,
was 8.7%, down from 8.9% in the prior quarter.
- Tangible common equity (TCE) ratio of 6.1%, down from 6.4% in
the prior quarter and equal to a year ago.
- Tangible book value per share of $8.33, down $0.32,
or 4%, from the prior quarter and up $0.54, or 7%, from a year ago.
COLUMBUS, Ohio, Jan. 17,
2025 /PRNewswire/ -- Huntington Bancshares
Incorporated (Nasdaq: HBAN) reported net income for the 2024 fourth
quarter of $530 million, or
$0.34 per common share, an increase
of $13 million from the prior
quarter, and an increase of $287
million, or $0.19, from the
year-ago quarter.
Return on average assets was 1.05%, return on average common
equity was 11.0%, and return on average tangible common equity
(ROTCE) was 16.4%.
CEO Commentary:
"We delivered exceptional fourth quarter results highlighted by
record fee income, accelerated loan growth, and sustained deposit
gathering," said Steve Steinour,
chairman, president, and CEO. "Our results reflect the success of
our core businesses and investments in new geographies and
commercial verticals. Our teams have executed very well, managing
overall funding costs lower and increasing fee revenues from
payments, wealth management, and capital markets. Additionally, our
capital markets team delivered record revenue during the
quarter."
"During 2024, we delivered peer-leading organic growth, across
both loans and deposits, supported by the combination of existing
and new businesses. Throughout the year, we leveraged our position
of strength, with strong liquidity, capital and credit, and
invested in building existing businesses while adding new ones.
These strategic growth investments helped drive results in the
fourth quarter and will grow revenues in future years. We delivered
strong fee growth in our core, while adding capabilities, products,
and services. We believe we have a multi-year opportunity to
leverage our investments and momentum."
"Our credit continues to perform well, consistent with our
aggregate moderate-to-low risk appetite. Our credit results for the
quarter, including net charge-offs, reflect stability, supported by
a positive economic environment."
"We expect the momentum from our core businesses and our
strategic investments to carry us through 2025 and beyond, with a
robust growth outlook and expanded profitability. "
The fourth quarter 2024 earnings materials, including the
detailed earnings press release, quarterly financial supplement,
and conference call slide presentation, are available on the
Investor Relations section of Huntington's website,
http://huntington.com/. In addition, the financial results will be
furnished on a Form 8-K that will be available on the Securities
and Exchange Commission website at www.sec.gov.
Conference Call / Webcast Information
Huntington's senior management will host an earnings conference
call on January 17, 2025, at 9:00 a.m. (Eastern Time).
The call may be accessed via a live Internet webcast at the
Investor Relations section of Huntington's website,
www.huntington.com, or through a dial-in telephone number at
(877) 407-8029; Conference ID #13750835. Slides will be
available in the Investor Relations section of Huntington's website
about an hour prior to the call. A replay of the webcast will be
archived in the Investor Relations section of Huntington's website.
A telephone replay will be available approximately two hours after
the completion of the call through January 25, 2025 at
(877) 660-6853 or (201) 612-7415; conference ID
#13750835.
Please see the 2024 Fourth Quarter Quarterly Financial
Supplement for additional detailed financial performance metrics.
This document can be found on the Investor Relations section of
Huntington's website, http://www.huntington.com.
About Huntington
Huntington Bancshares Incorporated is a $204 billion asset regional bank holding company
headquartered in Columbus, Ohio.
Founded in 1866, The Huntington National Bank and its affiliates
provide consumers, small and middle‐market businesses,
corporations, municipalities, and other organizations with a
comprehensive suite of banking, payments, wealth management, and
risk management products and services. Huntington operates 978
branches in 12 states, with certain businesses operating in
extended geographies. Visit Huntington.com for more
information.
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