Company: BOH
Filing Date: 2025-03-04
Form Type: 10-K
Source: 0000950170-25-031193
Chunk: 190

Company: BANK OF HAWAII CORP
Filing Date: 2025-03-04
Form: 10-K
Item: Item 7
Chunk 190
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 5 presents our provision for income taxes and effective tax rates for 2024 and 2023:

    Provision for Income Taxes and Effective Tax Rates
    Table 5

    (dollars in thousands)
     
    Provision for Income Taxes

    Effective Tax Rates

    2024
     
    $
    47,857

    24.19
    %

    2023
     
    $
    55,914

    24.62
    %

31

The provision for income taxes was $47.9 million in 2024, a decrease of $8.1 million compared to the prior year. The effective tax rate for 2024 was 24.19%, a decrease from 24.62% for the prior year. The lower effective tax rate in 2024 compared to the prior year was primarily due to return to provision adjustments and discrete items partially offset by changes to uncertain tax positions.

Analysis of Business Segments

Our business segments are Consumer Banking, Commercial Banking, and Treasury and Other. Table 6 summarizes net income from our business segments for 2024 and 2023. Additional information about segment performance is presented in Note 13 in Item 8. “Notes to Consolidated Financial Statements.”

    Business Segment Net Income

    Table 6

    Year Ended December 31,

    (dollars in thousands)
     
    2024

    2023 1

    Consumer Banking
     
    $
    129,502

    $
    127,433

    Commercial Banking

    119,423

    123,813

    Total

    248,925

    251,246

    Treasury and Other

    (98,931
    )

    (80,044
    )

    Consolidated Total
     
    $
    149,994

    $
    171,202

1.Certain prior period information has been reclassified to conform to current presentation.

Consumer Banking

Net income increased by $2.1 million or 2% in 2024 compared to the prior year, primarily due an increase in noninterest income, partially offset by an increase in the provision for credit losses. Noninterest income increased by $8.2 million or 6% in 2024 compared to the prior year, primarily due to higher trust and asset management fees, overdraft fees, shareholder servicing fees, annuity and insurance fees, and debit card fees. The