Executive Summary

Q4 2024 delivered a strong headline beat: diluted EPS was $0.72 and net revenue was $46.18M, driven by an $11.8M gain on sale-leaseback and higher Victor Technologies revenue; consensus EPS was $0.33 and consensus revenue was $33.60M, implying beats of $0.39 and $12.58M respectively .
Net interest margin compressed to 3.46% (tax-equivalent) from 3.61% in Q3 and 4.06% a year ago, reflecting lower loan balances and an unfavorable funding mix, partly offset by lower brokered deposit costs .
Deposits fell to $2.69B from $3.00B in Q3 on greater use of off-balance sheet networks; noninterest-bearing deposits were $0.941B (34.9% of total), sustaining a best-in-class core funding profile per management .
Capital strengthened further (CBLR 11.2%, Tier 1 15.1%, Total RBC 15.8%) and tangible book value per share rose to $23.37 (+0.7% q/q), supporting medium-term flexibility .
S&P Global (SPGI) Wall Street consensus data could not be retrieved due to API limits; beats vs consensus are anchored to third‑party MarketBeat data (see Estimates Context) .

What Went Well and What Went Wrong

What Went Well

Noninterest income surged to $21.3M (+219.7% q/q), led by a $11.8M gain on sale-leaseback, plus increases in Victor revenue and gain on loan sales; management highlighted “laser focus” on payments and strengthening the team .
Core funding quality remained strong: NIB deposits were 34.9% of total; cost of funds fell 21 bps q/q to 2.56% as brokered CD costs declined .
Capital and tangible book strengthened: CBLR 11.2%, Tier 1 15.1%, Total RBC 15.8%; TBVPS $23.37 (+0.7% q/q) .

Quote: “Our laser focus on payments continues to drive meaningful progress… MVB is well-positioned to adapt to future opportunities and create long-term value.” — Larry F. Mazza, CEO .

What Went Wrong

Net interest margin contracted to 3.46% (−15 bps q/q, −60 bps y/y), driven by lower earning asset balances and mix; net interest income fell to $24.9M (−6.3% q/q, −19.8% y/y) .
Deposits declined to $2.69B (−10.3% q/q), including NIB deposits down $48.2M (−4.9% q/q), as off-balance sheet deposit networks were utilized more aggressively, pressuring on-balance sheet liquidity and volume .
Noninterest expense rose to $33.6M (+14.0% q/q), with higher employee benefits/incentives, professional fees (internal audit and legal), and correspondent banking fees reflecting transaction volume .

Financial Results

Metric	Q4 2023	Q3 2024	Q4 2024
Net Revenue ($USD Millions)	$35.545 (NI $31.107 + NII $4.438)	$33.242 (NI $26.585 + NII $6.657)	$46.184 (NI $24.904 + NII $21.280)
Diluted EPS ($)	$0.61	$0.16	$0.72
Net Interest Margin % (tax-equivalent)	4.06%	3.61%	3.46%
Efficiency Ratio %	79.6%	88.7%	72.8%

Actual vs Consensus (Q4 2024):

Metric	Actual (Q4 2024)	Consensus	Beat/(Miss)
Diluted EPS ($)	$0.72	$0.33	+$0.39
Net Revenue ($USD Millions)	$46.18	$33.60	+$12.58

Segment/Noninterest Income Breakdown ($USD Thousands):

Category	Q4 2023	Q3 2024	Q4 2024
Card acquiring income	$1,348	$336	$489
Service charges on deposits	$174	$1,088	$859
Interchange income	$2,289	$2,428	$2,470
Equity method investments income (loss)	$(2,429)	$746	$1,319
Compliance & consulting income	$986	$1,291	$1,110
Gain (loss) on sale of loans	$271	$26	$1,012
Investment portfolio gains (losses)	$75	$498	$721
Gain (loss) on sale of assets	$—	$(2)	$11,771
Other noninterest income	$1,724	$244	$1,529
Total noninterest income	$4,438	$6,657	$21,280

Key KPIs and Balance Sheet:

KPI	Q4 2023	Q3 2024	Q4 2024
Loans receivable ($USD Billions)	$2.32	$2.17	$2.10
Total deposits ($USD Billions)	$2.90 (IB $1.70 + NIB $1.20)	$3.00 (IB $2.01 + NIB $0.99)	$2.69 (IB $1.75 + NIB $0.94)
NIB deposits ($USD Billions)	$1.20	$0.99	$0.94
NIB deposits (% of total)	41.3% (calc)	33.0%	34.9%
Net charge-offs ($USD Millions)	$0.5	$0.7	$1.5
Provision for credit losses ($USD Millions)	$(2.103)	$0.959	$0.331
Allowance for credit losses / Total loans (%)	0.95%	0.99%	0.94%
Tangible book value per share ($)	$22.43	$23.20	$23.37
CBLR (%)	10.5%	10.9%	11.2%
Tier 1 RBC (%)	14.4%	14.9%	15.1%
Total RBC (%)	15.1%	15.7%	15.8%
Book value per share ($)	$22.68	$23.44	$23.61

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Quarterly cash dividend ($/share)	Q4 2024	$0.17 (Q3 2024)	$0.17	Maintained
Financial guidance (revenue, margins, OpEx, tax rate)	Q4 2024 / 2025	None provided in releases	None provided	N/A

Note: The Q4 2024 press materials and 8‑K did not include quantitative forward guidance beyond the dividend declaration .

Earnings Call Themes & Trends

Transcript access: An earnings call was held on Feb 13, 2025, but the full Q4 2024 transcript was not available via our document tools; we relied on the press release and investor materials to assess themes .

Topic	Previous Mentions (Q2 2024)	Previous Mentions (Q3 2024)	Current Period (Q4 2024)	Trend
Payments strategy and Fintech	Appointed Fintech President; renewed Intuit-Credit Karma; payments as key driver of deposits/fee income	Payments/gaming deposits drove deposit growth; positive pipeline	“Laser focus on payments” and Victor revenue cited as growth driver	Strengthening
Digital asset program exit	Exit initiated; reduced EPS by $0.08; lowered NIB deposits	Wind-down mostly complete; NIM compressed; cost of funds up on mix shift	Year-over-year effects linger in lower cash balances and mix; NIM down y/y	De‑risking completed; revenue headwind easing
Funding mix/brokered CDs	CDs up; cost of funds stable q/q; higher vs prior year	Cost of funds rose to 2.77% with brokered CD termination costs	Cost of funds fell to 2.56%; one CD called ($0.2M termination)	Improving cost
Capital and TBVPS	CBLR/Tier 1 up; TBVPS grew	Capital position enhanced; TBVPS up 2.2% q/q	CBLR/Tier 1/Total RBC up again; TBVPS up 0.7% q/q	Strengthening
Asset quality (NPLs/criticized loans)	NPLs rose on one multifamily construction loan; ACL ~1.00%	NPLs increased to 1.3% of loans; criticized loans 5.7%	NPLs declined to 1.2% of loans; criticized loans 6.2%; net charge-offs $1.5M	Mixed (slight NPL improvement; criticized up)
Leadership/risk management	Named Fintech President	Strategy simplified to five initiatives	Named Chief Risk Officer (Joe Rodriguez) and Chief Deposit Officer (Jeff Weidley)	Organizational upgrades

Management Commentary

Prepared remarks emphasized strategic focus: “The fourth quarter marked the end of a pivotal transition year, during which we simplified our growth strategy… Our laser focus on payments continues to drive meaningful progress” — Larry F. Mazza, CEO .
On leadership and risk: appointments of Joe Rodriguez (Chief Risk Officer) and Jeffrey Weidley (Chief Deposit Officer) to bolster deposit growth and transform risk into a business driver .
On funding and liquidity: management underscored “best-in-class core funding profile, strong liquidity position, capital management strength and stable asset quality” as the foundation for 2025 .

Q&A Highlights

The Q4 2024 earnings call transcript was not retrievable via our tools; therefore detailed Q&A themes and any clarifications provided during the call cannot be cited here. Reference: MVBF IR quarterly results page listing the Q4 2024 report and call resources .

Estimates Context

S&P Global consensus data was unavailable due to API limits at the time of query (SPGI daily request limit exceeded). As a proxy, MarketBeat reported Q4 2024 consensus EPS of $0.33 and revenue of $33.60M, versus actual diluted EPS of $0.72 and revenue of $46.18M, implying beats of $0.39 and $12.58M, respectively .

Where estimates may need to adjust:

Noninterest income run-rate: the $11.8M sale-leaseback gain is nonrecurring; consensus models should remove this one-off while incorporating sustained payments-related fee growth (Victor revenue, deposit network fees) evident in Q4 .
Net interest income trajectory: lower loan balances and NIM compression weighed on NI; however, declining cost of funds and potential loan pipeline improvement could support modest NI stabilization; consensus should reflect deposit mix normalization and brokered CD reductions .

Key Takeaways for Investors

The quarter’s headline beat was largely driven by nonrecurring gain on sale-leaseback ($11.8M) and stronger fee income; underlying NIM remains pressured, so normalize earnings power accordingly .
Funding cost relief (2.56% cost of funds, −21 bps q/q) and high NIB share (34.9%) underpin margin resilience as balance sheet mix improves .
Capital strength (CBLR 11.2%, Tier 1 15.1%, Total RBC 15.8%) and rising TBVPS ($23.37) provide strategic optionality for growth and repositioning .
Asset quality mixed: NPLs improved q/q to 1.2% of loans, but criticized loans rose to 6.2%; net charge-offs increased to $1.5M, warranting ongoing credit monitoring (multifamily exposure) .
Payments and Fintech initiatives are core to the forward narrative; Victor-related revenue and deposit network fees showed momentum, and leadership additions (CRO, Chief Deposit Officer) should accelerate execution .
Deposit totals fell with greater off-balance sheet network use; watch on-balance sheet deposit growth versus fee income trade-offs and regulatory clarity around brokered deposit classifications .
Dividend maintained at $0.17/share, signaling confidence in capital and liquidity; assess sustainability in context of earnings normalization and expense trajectory .

Appendix: Prior Two Quarters’ Context (for trajectory)

Q3 2024: EPS $0.16; NIM 3.61%; deposits $3.00B; cost of funds 2.77% (incl. brokered CD termination costs); noninterest income $6.657M .
Q2 2024: EPS $0.31 (diluted); NIM 3.75%; total deposits $2.88B; initiation of digital asset program exit; noninterest income $7.142M .

Notes:

All data cited from company filings and press releases are referenced by document IDs. Consensus estimates are cited from MarketBeat due to S&P Global API access limits (see link).

MVB FINANCIAL CORP (MVBF)·Q4 2024 Earnings Summary