Company: STBA
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0000719220-25-000013
Chunk: 67

Company: S&T BANCORP INC
Filing Date: 2025-03-03
Form: 10-K
Item: Item 7
Chunk 67
---
02 %Net Interest Margin on an FTE Basis (Non-GAAP)3.82 %4.13 %3.76 %

28

Table of ContentsS&T BANCORP, INC. AND SUBSIDIARIESItem 7.  MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

 The efficiency ratio is noninterest expense divided by noninterest income plus net interest income, on an FTE basis (non-GAAP), which ensures comparability of net interest income arising from both taxable and tax-exempt sources and is consistent with industry practice. Below is a reconciliation of the non-GAAP efficiency ratio. 

Years ended December 31,(dollars in thousands)202420232022Efficiency Ratio (Non-GAAP)Noninterest expense$218,938 $210,334 $196,746 Net interest income $334,806 $349,410 $315,783 Plus: taxable equivalent adjustment2,706 2,550 2,052 Net interest income (FTE) (non-GAAP)337,512 351,960 317,835 Noninterest income49,083 57,620 58,259 Plus: net losses (gains) on sale of securities7,938 — (198)Less: gain on Visa class B-1 exchange(3,492)— — Net interest income (FTE) (non-GAAP) plus noninterest income$391,041 $409,580 $375,896 Efficiency Ratio (Non-GAAP)55.99 %51.35 %52.34 %

Return on average tangible shareholders' equity (non-GAAP) is a key profitability metric used by management to measure financial performance. The following table provides a reconciliation of return on average tangible shareholders' equity (non-GAAP) by reconciling net income (GAAP) per the Consolidated Statements of Net Income to net income before amortization of intangibles and average shareholder's equity to average tangible shareholders' equity for the periods presented:

Years ended December 31,(dollars in thousands)202420232022Net income  $131,265 $144,781 $135,520 Plus: amortization of intangibles net of tax904 1,042 1,199 Net income before amortization of intangibles $132,169 $145,823 $136,