Executive Summary

Q4 2024 EPS was $0.33 on net income of $1.53M, down from $0.37 and $1.72M in Q4 2023, as higher deposit costs and increased noninterest expense offset stable fee income; Q3 2024 EPS of $3.31 reflected a discrete tax benefit that did not recur in Q4 .
The company authorized a new stock repurchase program for up to the lesser of 40,000 shares or $0.75M through Dec 31, 2025, replacing its 2024 program ($1.0M cap or 64,000 shares; 44,220 repurchased), and set the 2025 annual meeting for April 23; shares outstanding were 4,617,466 at year‑end .
Balance sheet trends improved sequentially: deposits rose to $720.73M (from $666.09M in Q3) on seasonal public fund inflows, while capital strengthened with year-end equity of $90.00M and a 13.95% leverage ratio; AFS unrealized losses were $38.01M at 12/31/24 .
No earnings call transcript was located for Q4; comparisons to Wall Street consensus are not provided due to unavailability via S&P Global during this review window. Management reiterated vigilance on asset quality and interest-rate dynamics .

What Went Well and What Went Wrong

What Went Well
- Announced a new buyback program (up to 40,000 shares or $0.75M) after completing repurchases under the 2024 plan; equity ended the year at $90.00M, aided by lower AFS unrealized losses vs. 2023 and prior tax valuation allowance reversal in Q3 .
- Sequential deposit growth to $720.73M at year‑end from $666.09M at 9/30/24 on public fund tax inflows, supporting liquidity; leverage ratio improved to 13.95% .
- Management emphasized continued focus on asset quality: nonaccrual loans remained modest at $418K and ACL/loans at 1.28% at year‑end; reiterated vigilance on macro/interest-rate changes (“committed to maintaining high-quality assets… vigilant for any potential changes in interest rates”) .
What Went Wrong
- Net income and EPS declined year over year in Q4 (EPS $0.33 vs $0.37; net income $1.53M vs $1.72M) as higher deposit costs lifted interest expense and noninterest expense rose ($5.55M vs $5.25M) largely from employee benefits .
- Net interest income contracted vs Q4 2023 ($5.58M vs $5.87M) with lower securities balances/yields; interest expense increased ($2.06M vs $1.83M) on higher deposit rates .
- Efficiency ratio worsened for FY24 to 73% (vs 67% in FY23), reflecting pressure from the rate environment; net interest margin ran lower year over year (3.05% vs 3.29% on FY basis) .

Financial Results

Metric (USD Millions unless noted)	Q4 2023	Q3 2024	Q4 2024
Net interest income	$5.87	$5.28	$5.58
Noninterest income	$1.64	$1.75	$1.76
Provision for credit losses	$0.00 (≈$0.003M)	$(0.05)	$(0.11)
Noninterest expense	$5.25	$5.74	$5.55
Income tax expense (benefit)	$0.54	$(14.10)	$0.37
Net income	$1.72	$15.43	$1.53
Diluted EPS	$0.37	$3.31	$0.33

Notes:

Q3 2024 benefited from a one-time discrete tax benefit of $15.19M related to reversal of the deferred tax asset valuation allowance; not repeated in Q4 .
For banks, we present net interest income and noninterest income in lieu of “revenue.”

KPIs and Balance Sheet

KPI	12/31/2023	9/30/2024	12/31/2024
Total assets ($MM)	$797.74	$814.15	$831.85
Securities ($MM)	$490.39	$475.51	$431.80
Loans, net ($MM)	$235.12	$236.17	$230.59
Total deposits ($MM)	$688.49	$666.09	$720.73
Shareholders’ equity ($MM)	$69.28	$96.39	$90.00
Leverage ratio (%)	12.59	12.80	13.95
AFS unrealized losses ($MM)	$39.88	$32.11	$38.01
Nonaccrual loans ($K)	$213	$427	$418
ACL/Loans (%)	1.35	1.29	1.28
Efficiency ratio (FY/YTD)	67 (FY23)	72 (9M24)	73 (FY24)
Net interest margin (FY/YTD, %)	3.29 (FY23)	3.00 (9M24)	3.05 (FY24)

Segment breakdown: Not applicable; the company does not report operating segments in the press releases for the quarter .

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Dividend	Payable Dec 13, 2024	N/A disclosed in Q3 release	Regular $0.18 and Special $0.08 per share (total $0.26) declared Nov 26, 2024	Announced/paid
Share repurchase authorization	2025	2024 program: up to $1.0M or 64,000 shares; 44,220 repurchased; expired 12/31/24	New 2025 program: up to the lesser of $0.75M or 40,000 shares; expires 12/31/25	New authorization

No quantitative guidance for revenue, margins, OpEx, OI&E, or tax rate was provided in the Q4 materials. FY24 tax effective rate excluding the discrete item was 22.33% (context, not forward guidance) .

Earnings Call Themes & Trends

Note: No Q4 2024 earnings call transcript was located; themes are drawn from Q2–Q4 press releases.

Topic	Previous Mentions (Q2 2024, Q3 2024)	Current Period (Q4 2024)	Trend
Deposit trends/costs	Q2: Deposits down $13.58M YTD, loss of certain public fund deposits; rising cost of funds . Q3: Deposits down $22.40M YTD; cost pressures persisted .	Deposits rose to $720.73M on public fund tax inflows; cost of funds remained elevated .	Stabilizing sequentially with seasonal inflows; cost pressure persists.
Asset quality	Management committed to high-quality assets; nonaccrual $455K at 6/30 . Q3 nonaccrual $427K .	Nonaccrual $418K; ACL/loans 1.28% ; continued vigilance (“committed to maintaining high-quality assets… vigilant for interest rates”) .	Stable, low nonaccruals.
AFS unrealized losses/capital	Unrealized losses $38.87M (6/30); equity $74.20M; leverage 11.84% . Q3 unrealized $32.11M; equity $96.39M; leverage 12.80% .	Unrealized losses $38.01M (12/31); equity $90.00M; leverage 13.95% .	Capital strong; AFS marks fluctuate with rates.
Tax valuation allowance reversal	Not applicable in Q2. Q3: $15.19M discrete tax benefit, driving EPS .	FY24 view reiterates Q3 reversal; FY24 effective tax rate ex-discrete 22.33% .	One-time item recognized in Q3; no repeat in Q4.
Liquidity	Well-capitalized with strong liquidity reiterated in Q2 and Q3 .	Liquidity and capital characterized as strong; majority of deposits fully FDIC insured .	Consistently emphasized.

Management Commentary

“The Bank’s leadership remains committed to maintaining high-quality assets. We are closely monitoring economic conditions and staying vigilant for any potential changes in interest rates.” — Chevis C. Swetman, Chairman, President and CEO .
“The Company just experienced its third best year of earnings ever.” .
Capital return actions: the Board approved a new 2025 repurchase program (≤40,000 shares or $0.75M) after the 2024 plan expired (44,220 shares repurchased) .

Q&A Highlights

No Q4 2024 earnings call transcript was available; therefore, there are no Q&A highlights to report.

Estimates Context

Wall Street consensus (S&P Global) for Q4 2024 EPS and revenue was unavailable during this review window; we could not provide estimate comparisons.
Given the company’s OTC listing and limited coverage, investors should anchor to reported results and intra-quarter disclosures for expectations .

Key Takeaways for Investors

Core earnings normalized in Q4 after the one-time tax benefit in Q3; YoY Q4 pressure reflects higher deposit costs, lower securities income, and modestly higher opex .
Sequential deposit growth (seasonal public funds) and strong leverage ratio (13.95%) bolster capital and liquidity heading into 2025 .
New buyback authorization provides a shareholder return catalyst alongside the November dividend ($0.26 per share total) .
AFS unrealized losses remain sensitive to rate moves ($38.01M at 12/31/24), but management reiterates no expectation to sell securities to crystallize losses, and regulatory capital opt-out protects leverage ratio .
Asset quality metrics remain solid (nonaccruals ~$418K; ACL/loans 1.28%), limiting credit cost volatility near term .
Efficiency ratio deterioration to 73% for FY24 underscores the need for expense discipline and/or NIM stabilization to improve profitability as rates evolve .
Without published consensus, trading is likely to key off reported fundamentals, rate trajectory, deposit dynamics, and execution on buybacks/dividends .

PEOPLES FINANCIAL CORP /MS/ (PFBX)·Q4 2024 Earnings Summary