Lakeland Financial ( (LKFN) ) has released its Q4 earnings. Here is a breakdown of the information Lakeland Financial presented to its investors.
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Lakeland Financial Corporation, the parent company of Lake City Bank, operates within the financial services sector and focuses on providing a range of banking products and services in Indiana. The company reported a net income of $93.5 million for 2024, slightly down from $93.8 million in 2023, with diluted earnings per share of $3.63. Despite a decrease in net income for the fourth quarter, the company experienced growth in loan and deposit portfolios, contributing to an 11% increase in pretax pre-provision earnings.
Key financial metrics for Lakeland Financial indicate a 5% growth in average loans to $5.09 billion and a 5% increase in core deposits to $5.9 billion. The tangible book value per share rose by 5% to $26.47, and the total risk-based capital ratio improved to 15.90%. However, the return on average equity declined to 13.87% from 20.52%. The company also reported a 9-basis point increase in net interest margin, reflecting effective balance sheet management amid changing interest rates.
Lakeland Financial continues to demonstrate robust capital strength, with a total capital ratio of 15.90%, well above the regulatory requirement. The company has maintained a strong liquidity position, with core deposits representing 99% of total deposits. Despite a rise in provision expenses due to an industrial credit downgrade, the company managed to decrease its non-performing assets on a linked quarter basis.
Looking ahead, Lakeland Financial remains optimistic about sustaining its growth trajectory in 2025, supported by strategic initiatives in loan and deposit growth across its Indiana markets. The company’s management continues to focus on leveraging its community banking model while expanding market share through enhanced business development efforts.
