Company: SYBT
Filing Date: 2025-11-05
Form Type: 10-Q
Source: 0001437749-25-033206
Chunk: 118

Company: Stock Yards Bancorp, Inc.
Filing Date: 2025-11-05
Form: 10-Q
Item: Part I, Item 8
Chunk 118
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 bearing deposits totaled $672 million and $212 million at September 30, 2025 and December 31, 2024, respectively. The increase experienced for the nine months of 2025 was attributed largely to deposit growth associated with successful deposit promotions and maturity activity within the investment securities portfolio. FFS normally have overnight maturities while interest-bearing deposits in banks are accessible on demand. These investments are generally used for daily liquidity purposes.

The fair value of the AFS debt security portfolio was $738 million and $990 million at September 30, 2025 and December 31, 2024, respectively. The decrease in AFS debt security portfolio for the first nine months of 2025 was attributed mainly to scheduled treasury maturities, and to a lesser extent, normal amortization. The investment portfolio (HTM and AFS) includes total cash flows on amortizing debt securities of approximately $178 million (based on assumed prepayment speeds and contractual maturities as of September 30, 2025) expected over the next 12 months. Combined with FFS and interest bearing deposits from banks, AFS debt securities offer substantial resources to meet either loan growth or reductions in Bancorp’s deposit funding base. Bancorp pledges portions of its investment securities portfolio to secure public funds, cash balances of certain WM&T accounts and SSUAR. At September 30, 2025, the total carrying value of investment securities pledged for these purposes comprised 60% of the debt securities portfolio, leaving approximately $373 million of unpledged debt securities, compared to 63% and $508 million at December 31, 2024.

Bancorp’s deposit base consists mainly of core deposits, which are defined as demand, savings, and money market deposit accounts, time deposits less than or equal to $250,000, and excludes public funds and brokered deposits. At September 30, 2025, such deposits totaled $6.56 billion and represented 86% of Bancorp’s total deposits, as compared with $6.14 billion, or 86% of total deposits at December 31, 2024. Because these core deposits are less volatile and are often tied to other products of Bancorp through long lasting relationships, they are not expected to place undue pressure on liquidity.

As of September 30, 2025 and December 31, 2024, Bancorp held no brokered deposits. 

Included in total deposit balances at September 30, 2025 are