The earnings call reflected a positive outlook with successful bond sales, reduced deposit costs, and efficient expense management. However, challenges such as a competitive deposit environment and modest loan growth tempered the optimism. The company is optimistic about future improvements in NIM and profitability.
Company Guidance
In the third quarter earnings call for Simmons First National Corporation, several key metrics and strategic initiatives were discussed. The executives highlighted a successful bond sale, taking advantage of favorable market conditions, specifically noting the 10-year rate movement and the economic return of the transaction. They reported a peak in deposit costs at 2.81%, which decreased to 2.75% in September following a 50 basis point rate cut. The company emphasized its approach to deposit pricing through strategic changes in money market and CD rates. Additionally, the executives pointed out the significance of maintaining a strong deposit base, particularly focusing on customer account growth as an integral part of their Better Bank initiative. The bank's loan growth strategy remains focused on profitability and soundness, with a pipeline poised for potential growth should economic conditions improve. Operating expenses were managed effectively, with expectations to come in under the $555 million guidance for the year, positioning the bank for positive operating leverage in 2025.
Opportunistic Bond Sale
The company successfully conducted a bond sale, taking advantage of favorable market conditions, particularly when the 10-year rate moved significantly during the quarter.
Deposit Cost Reduction
Deposit costs peaked at $2.81 but reduced to $2.75 by September after a management decision to cut rates by 50 basis points.
Expense Management and Branch Optimization
The company has managed to reduce expenses by renegotiating vendor contracts, closing branches, and reinvesting savings, coming in below the guidance of $555 million.
Strong Loan Pipeline and Relationship Wins
The company has secured large relationship wins in the commercial sector, indicating a strong pipeline and disciplined growth strategy.
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Simmons 1st Nat'l (SFNC) Earnings, Revenues Date & History
The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
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SFNC Earnings-Related Price Changes
Report Date
Price 1 Day Before
Price 1 Day After
Percentage Change
Oct 18, 2024
$23.10
$23.08
-0.09%
Jul 24, 2024
$21.09
$20.70
-1.85%
Apr 24, 2024
$18.22
$17.66
-3.07%
Jan 24, 2024
$18.39
$19.42
+5.60%
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
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FAQ
When does Simmons First National (SFNC) report earnings?
Simmons First National (SFNC) is schdueled to report earning on Jan 21, 2025, TBA Not Confirmed.
What is Simmons First National (SFNC) earnings time?
Simmons First National (SFNC) earnings time is at Jan 21, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.