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Dec 31, 2023
WesBanco Q4 2023 Earnings Report
Net income decreased due to record interest rate escalation by the Federal Reserve.
Key Takeaways
WesBanco reported a decrease in net income available to common shareholders for Q4 2023 to $32.4 million, with diluted earnings per share of $0.55, compared to $49.7 million and $0.84 per diluted share for Q4 2022. The bank saw deposit and loan growth while maintaining a stable net interest margin.
Deposits increased both year-over-year and sequentially, reflecting deposit gathering and retention efforts across retail and business customers
Total loan growth was 8.7% year-over-year and 2.9% quarter-over-quarter, reflecting the strength of our markets and lending teams
Non-interest income increased 8.0% year-over-year, supported by new commercial loan swap and wealth management fees
Net interest margin of 3.02% was stable to the third quarter of 2023
Revenue by Segment
Forward Guidance
WesBanco remains well-capitalized with solid liquidity and a strong balance sheet to fund loan growth, positioning the company well to continue generating value for its stakeholders.
Positive Outlook
- The company achieved sustained loan, deposit, and fee income growth.
- WesBanco maintained strong capital levels and credit quality.
- The company focused on further diversifying revenue streams with new fee-based services driving positive non-interest income trends.
- WesBanco remains well-capitalized with solid liquidity.
- The company has a strong balance sheet to fund loan growth.
Challenges Ahead
- Record interest rate escalation by the Federal Reserve had a significant impact on all banks, including WesBanco.
- Net interest margin decreased 47 basis points year-over-year primarily due to higher funding costs from increasing deposit costs.
- There continued to be some mix shift in the composition of total deposits.
Historical Earnings Impact
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Avg. Return Before/After Earnings
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