Company: FSBC
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001275168-25-000038
Chunk: 121

Company: FIVE STAR BANCORP
Filing Date: 2025-02-28
Form: 10-K
Item: Item 7
Chunk 121
---
.75%, primarily due to loan growth as loan originations in the year ended December 31, 2024 were almost double those for the year ended December 31, 2023.

Non-interest Income

Non-interest income is a secondary contributor to our net income, following interest income. Non-interest income consists of service charges on deposit accounts, net gain on sale of securities, gain on sale of loans, loan-related fees, FHLB stock dividends, earnings on BOLI, and other income.

Table 5 details the components of non-interest income for the periods indicated.

Table 5: Non-interest Income(dollars in thousands)For the year ended$ Change% ChangeDecember 31, 2024December 31, 2023Service charges on deposit accounts$721 $575 $146 25.39 %Net gain (loss) on sale of securities— (167)167 (100.00)%Gain on sale of loans1,274 1,952 (678)(34.73)%Loan-related fees1,605 1,719 (114)(6.63)%FHLB stock dividends1,320 970 350 36.08 %Earnings on BOLI644 510 134 26.27 %Other income889 1,952 (1,063)(54.46)%Total non-interest income$6,453 $7,511 $(1,058)(14.09)%

Service charges on deposit accounts. The increase resulted primarily from a $0.2 million increase in wire transfer fees recognized, partially offset by a small decrease in other fees recognized during the year ended December 31, 2024 compared to the year ended December 31, 2023.

Net gain (loss) on sale of securities. The decrease in the net loss on sale of securities resulted from the sale of two municipal securities with a par value of approximately $0.8 million for a loss of approximately $0.2 million during the year ended December 31, 2023, with no sales occurring during the year ended December 31, 2024.

Gain on sale of loans. The decrease related primarily to an overall decline in the volume of loans sold during the year ended December 31, 2024 compared to the year ended December 31, 2023. During the year ended December 31, 2024, 56 SBA 7(a) loans with government guaranteed portions totaling approximately