Company: SYBT
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001437749-25-033206
Chunk: 76

Company: Stock Yards Bancorp, Inc.
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 8
Chunk 76
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 The yield on the overall loan portfolio increased 2 bps to 6.19% for the three months ended September 30, 2025 compared to 6.17% for the same period of the prior year.

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			Despite the decline in average investment securities, there was a $136,000, or 2%, increase in interest income (FTE) on the portfolio for the three months ended September 30, 2025 compared to the same period of 2024. This increase was driven by reinvesting a portion of lower-yielding maturities at significantly higher rates to satisfy collateral pledging requirements over the past 12 months. As a result, the corresponding yield on the portfolio grew to 2.42% for the three months ended September 30, 2025, compared to 2.07% for the prior year period.

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			Interest income on FFS and interest bearing due from bank balances increased $3.1 million, or 157% for the three months ended September 30, 2025, consistent with the increase in corresponding average balances. The yield on these assets decreased 78 bps to 4.42% for the three months ended September 30, 2025 compared to the same period of 2024 due to rate reductions enacted by the FRB.

Total average interest bearing liabilities increased $738 million, or 13%, to $6.44 billion for the three month period ended September 30, 2025 compared with the same period in 2024.

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			Average interest bearing deposits increased $954 million, or 19%, for the three months ended September 30, 2025 compared to the same period in 2024. Bancorp experienced a $572 million, or 51%, increase in average time deposits and increases of $245 million, or 11%, and $137 million, or 11%, increase in average interest bearing demand and money market deposits, respectively, consistent with the success of Bancorp’s competitive CD offerings and depositors seeking higher-yielding deposit products in the current environment.

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			Average FHLB advances decreased $161 million, or 35%, for the three months ended September 30, 2025 compared to the same period of the prior year, as significant interest-bearing deposit growth eliminated the need for more expensive overnight borrowings through the FHLB during the third quarter of 2025. Bancorp