Westamerica Bancorporation, the parent company of Westamerica Bank, is a commercial banking institution operating primarily in Northern and Central California. For the fourth quarter of 2024, Westamerica reported net income of $31.7 million, or diluted earnings per share (EPS) of $1.19, down from $35.1 million and $1.31 in the third quarter of the same year. The decline in net income of 9.7% and EPS of 9.1% from the previous quarter aligns with an adjusted tax provision that reduced EPS by $0.01.

Net interest income for this quarter was reported at $59.2 million on a fully taxable equivalent (FTE) basis, a decrease of 15.0% from $62.5 million in the prior quarter. The annualized yield on loans, bonds, and cash declined to 4.25%, compared to 4.45% in Q3, while the cost of funding the loan and bond portfolios was reduced to 0.24% from 0.37%.

Noninterest income in Q4 totaled $10.6 million, down 10.8% from the previous quarter when it was $11.9 million. This decrease is attributed to the absence of $1.6 million in gains from life insurance and asset sales recognized in Q3. Noninterest expenses were stable, totaling $25.9 million, a slight decline from $26.3 million in Q3.

The company’s efficiency ratio, which measures operating expenses as a percentage of revenue, increased to 37.0% from 35.4% in the previous quarter. No provisions for credit losses were needed, with nonperforming assets remaining stable at $0.7 million.

For the full year ending December 31, 2024, Westamerica reported net income of $138.6 million, translating to diluted EPS of $5.20, a decline of 14.2% compared to the $6.06 reported in the previous year. The total assets decreased by 6.3% year-over-year, standing at $6.2 billion. Deposits also fell 10.6% year-over-year, totaling approximately $5.2 billion at the end of 2024.

Throughout 2024, the company’s return on assets (ROA) and return on common equity (ROE) were reported at 2.15% and 13.8%, respectively, compared to 2.35% and 18.1% the previous year. Westamerica continued to pay a quarterly dividend of $0.44 per share, maintaining a common dividend payout ratio of 37% in Q4. As of December 31, 2024, total shareholders’ equity stood at $889.9 million, a year-over-year increase of 15.1%.