What drove CBAN's strong earnings performance in Q4 2024?

Colony Bankcorp's (CBAN) strong earnings performance in Q4 2024 can be attributed to several key factors:

1. **Increase in Net Interest Income**: CBAN reported a significant rise in net interest income, which increased by $1.9 million quarter-over-quarter. This growth was driven by a 20 basis points increase in margin, reaching 2.84%. This development is seen as a positive indicator of the bank’s core financial health.
2. **Growth in Deposits**: The company experienced a $43 million increase in total deposits from the previous quarter. This growth was primarily in low-cost deposit categories, underscoring the bank’s ability to attract and retain customer deposits effectively.
3. **Strong Performance from SBSL Division**: The SBSL division had a strong performance, with revenue increasing by $536,000 quarter-over-quarter. This indicates the division’s continued contribution to the bank’s overall financial success.
4. **Dividend Increase**: Colony Bankcorp announced another consecutive year of increased quarterly dividends, which is a positive move for enhancing shareholder value and demonstrating financial stability.
5. **Effective Cost Management**: The company reported an operating efficiency ratio of 69.77%, an improvement from 71.99% in the previous year, indicating better cost control and operational efficiency.

In summary, CBAN's strong earnings performance in Q4 2024 was driven by increases in net interest income, growth in deposits, strong performance from its SBSL division, dividend increase and effective cost management.