Company: RNST
Filing Date: 2025-03-12
Form Type: DEF 14A
Source: 0000715072-25-000085
Chunk: 7

Company: RENASANT CORP
Filing Date: 2025-03-12
Form: DEF 14A
Chunk 7
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1 million, which is net of transaction expenses.

• On the same day we announced the FBMS merger, we sold 7,187,500 shares of our common stock in a public offering that was completed on July 31, 2024. The net proceeds of the offering after deducting underwriting discounts and other offering expenses were approximately $217.0 million.

• Net income for 2024 was $195.5 million. Net income in 2024 was up from 2023 primarily due to the gain recognized from the sale of our insurance agency business, offset by the merger and conversion expenses incurred as part of the insurance agency sale and the FBMS merger. Our net interest income decreased $7.1 million for 2024 as compared to 2023 due to the continued increase in deposit costs offsetting the increase in interest income from higher yields and growth in our average earning assets.

• Total loans held for investment at December 31, 2024 were $12.9 billion, an increase from $12.4 billion at December 31, 2023. We capitalized on the rising interest rate environment in 2024, growing loans held for investment by approximately 4.3% and increasing the average yield on such loans by 40 basis points in 2024.

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• Our average cost of total deposits in 2024 increased 75 basis points from the average cost in 2023. Despite this headwind, we were able to maintain a strong base of core deposits and reduced our reliance on borrowings and other non-core funding; we did not hold any brokered deposits on our balance sheet by the end of 2024. These efforts are expected to assist us in managing deposit costs in the current interest rate environment. Although rising interest rates on deposits precipitated a $179.7 million year-over-year decline in noninterest-bearing deposits, we continue to have a solid base of low-cost deposits. Noninterest bearing deposits represented 23.4% of our total deposits at December 31, 2024, down from 25.5% at December 31, 2023.

• Noninterest expense increased $22.0 million in 2024 as compared to 2023, primarily due to merger and conversion expenses and unusual claims experience in our employee benefit plans. The gain recognized from the insurance agency sale offset these elevated noninterest expenses, such that our efficiency ratio for 2024 was 63.6%, an improvement from