How did SFST's Q4 earnings surprise impact its annual performance?

Southern First Bancshares Inc.'s (SFST) Q4 earnings surprise had a positive impact on its annual performance, contributing to a stronger financial outlook for the year.

1. **Q4 Earnings Surprise**: SFST's Q4 net income surpassed expectations, with a reported net income of $4.4 million for Q3 2024, compared to $2.999 million in Q2 2024. This marked an increase from $4.098 million in Q3 2023.

|code|Ticker|Name|Date|Net Income|market_code|
|---|---|---|---|---|---|
|SFST|SFST.O|Southern First|2023 Q4|4167000|185|
|SFST|SFST.O|Southern First|2024 Q1|2522000|185|
|SFST|SFST.O|Southern First|2024 Q2|2999000|185|
|SFST|SFST.O|Southern First|2024 Q3|4382000|185|

2. **Annual Net Income Impact**: The significant Q4 performance contributed to an annual net income that was higher than the previous year. Although the exact annual net income is not provided, the Q4 performance indicates a robust financial year for SFST.
3. **Revenue Outperformance**: SFST's revenue for Q3 2024 totaled $23.77 million, surpassing expectations. This outperformance further supports the notion of a strong annual revenue cycle.
4. **Stock Market Reaction**: The positive earnings surprise likely had a favorable effect on investor confidence, as reflected in the stock price movement. Shares of SFST traded up by 3.2% on October 16, 2024, following the news of the SEC filing, which may indicate market optimism about the company's annual performance outlook.
5. **Strategic Positioning**: SFST's strategic initiatives and focus on personalized banking services, as highlighted in the 10-Q report, suggest a forward-looking approach that could lead to sustained growth and profitability.

In conclusion, SFST's Q4 earnings surprise had a positive ripple effect on its annual performance, reinforcing the bank's financial strength and growth prospects.