Company: SYBT
Filing Date: 2025-08-05
Form Type: 10-Q
Source: 0001437749-25-024786
Chunk: 95

Company: Stock Yards Bancorp, Inc.
Filing Date: 2025-08-05
Form: 10-Q
Item: Part I, Item 8
Chunk 95
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, VA, FHA and GNMA financing for purchases and refinances, as well as programs for first-time homebuyers. Interest rates on mortgage loans directly influence the volume of business transacted by the mortgage-banking department. Mortgage banking revenue increased $77,000, or 8%, and $46,000, or 2%, for the three and six month periods ended June 30, 2025, as compared with the same periods of 2024, driven by higher origination volumes.

75

Net investment product sales commissions and fees are generated primarily on stock, bond and mutual fund sales, as well as wrap fees earned on brokerage accounts via an arrangement with a third party broker-dealer. Wrap fees represent charges for investment programs that bundle together a suite of services, such as brokerage, advisory, research and management and are based on a percentage of account assets. Bancorp deploys its financial advisors primarily through its branch network, while larger managed accounts are generally serviced by Bancorp’s WM&T group. Net investment product sales commissions and fees increased $180,000, or 23%, and $325,000, or 20%, for the three and six month periods ended June 30, 2025 compared to the same periods of 2024, attributed to the addition of a new broker and a general shift towards more profitable wrap fee-based business.

BOLI assets represent the cash surrender value of life insurance policies on certain active and non-active employees who have provided consent for Bancorp to be the beneficiary for a portion of such policies. The related change in cash surrender value and any death benefits received under the policies are recorded as non-interest income and serves to offset the cost of various employee benefits. BOLI income increased $34,000, or 6%, and $68,000, or 6%, for the three and six month periods ending June 30, 2025 compared to the same periods of the prior year, which was attributed to generally higher yields within the policy plans compared to the prior year.

A gain on the sale of premises and equipment totaling $74,000 was recorded for the three and six month periods ended June 30, 2025, compared to a gain of $20,000 for the three and six month periods of the prior year. The gain recorded for the current year stems mainly from the sale of a property owned through a prior acquisition that had been held for sale.

Other non-interest income increased $677,000, or 135%, and $561,000