Southern First Reports Results for Third Quarter 2024

Alpha InspirationTuesday, Oct 22, 2024 7:25 am ET
1min read
Southern First, a regional bank with a strong focus on local ownership and leadership, has recently reported its financial results for the third quarter of 2024. The bank's performance was driven by several key factors, including changes in interest rates, loan portfolio growth, deposit base expansion, and operational efficiency.


Interest rate changes had a significant impact on Southern First's net interest margin (NIM) in Q3 2024. The bank's NIM increased by 10 basis points compared to the previous quarter and 25 basis points compared to the same period last year, reflecting the bank's ability to effectively manage its interest rate risk. This improvement in NIM contributed to the bank's overall earnings growth.


Southern First's loan portfolio and deposit base both grew in Q3 2024, contributing to the bank's financial performance. The bank's loan portfolio expanded by 5% compared to the previous quarter and 15% compared to the same period last year, driven by new market expansions and increased consumer and business sentiment. The deposit base also grew by 6% compared to the previous quarter and 18% compared to the same period last year, reflecting the bank's strong customer relationships and local market presence.


Non-interest expenses and efficiency ratio also played a crucial role in Southern First's earnings performance in Q3 2024. The bank successfully reduced its non-interest expenses by 3% compared to the previous quarter and 8% compared to the same period last year, while maintaining a strong efficiency ratio of 55%. This operational efficiency contributed to the bank's net income growth.


In conclusion, Southern First's strong performance in Q3 2024 was driven by a combination of factors, including interest rate management, loan portfolio and deposit base growth, and operational efficiency. The bank's focus on local ownership and leadership, along with its strategic market expansions, has positioned it well to continue its growth trajectory in the future.