Ameris Bancorp Q4 FY2024 earnings call

• Palmer emphasized strong fourth-quarter and full-year 2024 financial performance, including growth in earnings per share, adjusted ROA, capital base, and deposit growth.
• Nicole discussed net income details, margin expansion due to deposit and funding mix, capital redemption, credit loss provision, non-interest income increase, balance sheet changes including loan production and deposit growth.
• Focus on expense control, positive operating leverage, and strategic focus on 2025 with top-tier profitability, revenue generation, and capital position.

For the fourth quarter, net income was $94.4 million or $1.37 per diluted share, with adjusted net income at $95.1 million or $1.38 per diluted share. Full-year 2024 net income was $358.7 million or $5.19 per diluted share, and adjusted net income was $346.6 million or $5.02 per diluted share. The adjusted ROA for full-year 2024 was 1.33% and adjusted ROTCE was 13.93%. The margin expanded to 3.64% in Q4 from 3.51% prior quarter. Core deposits grew by $675 million while broker deposits were reduced by $832 million in the fourth quarter.

• Margin is expected to be in the 3.50%-3.55% range, considering repricing lags and funding mix changes.
• Fee income is expected to increase by 5%-7% excluding mortgage noise.
• Anticipate mid-single-digit loan and deposit growth in 2025, with deposit growth guiding loan growth.
• The $100 million buyback authorization remains in place through October 2025.

• Factors affecting margin such as repricing lags of loans, seasonal fluctuations in deposits (e.g., municipal deposits running out), and market-dependent elements for fee income.
• M&A opportunities need to be strategic, culturally fit, and meet specific size and geographic criteria.

Q: Catherine Mealor asked about margin outlook and fee income run rate.

A: Nicole discussed margin repricing lags and fee income starting from the SBA group level.

Q: David Feaster asked about loan production drivers.

A: Palmer attributed to consumer optimism and market clarity.

Q: Russell Gunther asked about mortgage gain on sale and capital deployment.

A: Nicole guided mortgage gain on sale range, Palmer discussed organic growth, M&A, and buyback priority.

Q: Christopher Marinac asked about reserve and M&A characteristics.

A: Doug Strange talked about CECL model, Palmer discussed M&A criteria.

Q: Manuel Navas asked about NIM and deposit/loan repricing.

A: Nicole provided details on loan and deposit production rates and repricing lags.

Q: Russell Gunther followed up on deposit costs.

A: Nicole provided spot cost details and trends.