TACOMA, Wash., Jan. 23, 2025 /PRNewswire/ --


$143 million	$150 million	$0.68	$0.71
Net income	Operating net income ¹	Earnings per diluted common share	Operating earnings per diluted common share ¹

CEO Commentary

"Our fourth quarter and 2024 results reflect significant strides toward top-quartile performance," said Clint Stein, President and CEO. "Our optimized expense base, improved pricing strategies, and targeted franchise investments have not only strengthened our financial position but also supported our commitment to deliver exceptional value to our customers and shareholders alike. Relative to the first quarter, our fourth quarter results reflect deposit-driven net interest margin expansion, relationship-driven commercial loan growth, and higher income from core fee-generating products in support of our customers' needs. I want to thank our associates for their hard work and dedication during our first full year as a combined organization. Their accomplishments contribute to the building momentum that supports long-term, consistent, repeatable performance."

–Clint Stein, President and CEO of Columbia Banking System, Inc.

4Q24 HIGHLIGHTS (COMPARED TO 3Q24)

Net Interest Income and NIM	• Net interest income increased by $7 million from the prior quarter, as lower funding costs more than offset lower interest income.
Net Interest Income and NIM	• Net interest margin was 3.64%, up 8 basis points from the prior quarter, as a reduction in deposit costs more than offset lower loan yields. A favorable balance sheet funding mix shift into lower-cost sources also occurred throughout the quarter.

Non-Interest Income and Expense	• Non-interest income decreased by $16 million due to the quarterly fluctuation in cumulative fair value accounting and hedges, which drove $12 million of the change. Income was also lower due to loan sale activity, slightly offset by higher core banking activity.
Non-Interest Income and Expense	• Non-interest expense decreased by $5 million due to lower benefits expense, which was partially affected by elevated group insurance costs in the third quarter.

Credit Quality	• Net charge-offs were 0.27% of average loans and leases (annualized), compared to 0.31% in the prior quarter. Lower activity in the FinPac portfolio contributed to the decline.
	• Provision expense of $28 million compares to $29 million in the prior quarter.
	• Non-performing assets to total assets was 0.33%, compared to 0.32% as of September 30, 2024.

Capital	• Estimated total risk-based capital ratio of 12.6% and estimated common equity tier 1 risk-based capital ratio of 10.5%.
Capital	• Declared a quarterly cash dividend of $0.36 per common share on November 15, 2024, which was paid December 16, 2024.

Notable Items	• Executed three successful small business campaigns in 2024, following program buildout and associate training in 2023. Our campaigns use bundled solutions for customers without promotional pricing, and they generated approximately $700 million in new deposits to the bank in 2024.
Notable Items	• Our 2025 branch plans include the opening of five additional locations in strategic growth markets throughout our footprint. The expansion reflects the reinvestment of savings generated from four net branch consolidations in 2024.

4Q24 KEY FINANCIAL DATA

PERFORMANCE METRICS	4Q24	3Q24	4Q23
Return on average assets	1.10 %	1.12 %	0.72 %
Return on average common equity	10.91 %	11.36 %	7.90 %
Return on average tangible common equity¹	15.41 %	16.34 %	12.19 %
Operating return on average assets ¹	1.15 %	1.10 %	0.89 %
Operating return on average common equity ¹	11.40 %	11.15 %	9.81 %
Operating return on average tangible common equity ¹	16.11 %	16.04 %	15.14 %
Net interest margin	3.64 %	3.56 %	3.78 %
Efficiency ratio	54.61 %	54.56 %	64.81 %
Operating efficiency ratio, as adjusted ¹	52.51 %	53.89 %	57.31 %

INCOME STATEMENT ($ in 000s, excl. per share data)

COLUMBIA BANKING SYSTEM, INC. REPORTS FOURTH QUARTER 2024 RESULTS