Sandy Spring Bancorp Reports Third Quarter Earnings

Sandy Spring Bancorp, Inc., headquartered in Olney, Maryland, has released its financial results for the third quarter of 2024. The company, which is the parent of Sandy Spring Bank, reported a net income of $16.2 million for the quarter ended September 30, 2024, a decrease from $22.8 million in the previous quarter and $20.7 million in the same quarter last year.

Financial Highlights

For the third quarter of 2024, Sandy Spring Bancorp reported:

• Net income of $16.2 million, or $0.36 per diluted common share, down from $22.8 million, or $0.51 per diluted common share, in the second quarter of 2024.
• Core earnings of $17.9 million, or $0.40 per diluted common share, compared to $24.4 million, or $0.54 per diluted common share, in the previous quarter.
• Net interest income increased by $1.1 million or 1% compared to the previous quarter but decreased by $3.7 million or 4% compared to the third quarter of 2023.
• Net interest margin was 2.44%, slightly down from 2.46% in the second quarter of 2024 and 2.55% in the third quarter of 2023.
• Provision for credit losses was $6.3 million, up from $1.0 million in the previous quarter and $2.4 million in the third quarter of 2023.

Business and Operational Highlights

During the third quarter of 2024, Sandy Spring Bancorp saw several key business developments:

• Total assets increased by 3% to $14.4 billion compared to $14.0 billion at the end of the second quarter of 2024.
• Total loans remained stable at $11.5 billion, with growth in AD&C and commercial business loans offset by a decline in commercial investor real estate loans.
• Deposits increased by $397.5 million or 4% to $11.7 billion, driven by growth in interest-bearing deposits.
• The ratio of non-performing loans to total loans increased to 1.09% from 0.81% in the previous quarter.

Strategic Initiatives and Corporate Developments

Notable corporate developments during the quarter include:

• A $50.0 million pay down of FHLB advances, reducing total borrowings by $54.1 million or 6%.
• Available unused sources of liquidity totaled $6.3 billion, representing 146% of uninsured deposits.
• The tangible common equity to tangible assets ratio slightly declined to 8.83% from 8.85% in the previous quarter.

Management's Perspective

Daniel J. Schrider, Chair, President & CEO of Sandy Spring Bank, commented on the results, stating, "We have a solid capital position and are seeing ongoing success with our core deposit strategies and our wealth management lines of business. Our wealth teams have an expanding number of referrals from current clients and work closely with business owners from early growth through maturity."

Future Outlook

The company has not provided specific guidance for the next reporting period. However, the management's focus remains on maintaining a strong capital position and continuing to grow its core deposit and wealth management businesses.

SEC Filing: SANDY SPRING BANCORP INC [ SASR ] - 8-K - Oct. 21, 2024