Company: SYBT
Filing Date: 2025-05-06
Form Type: 10-Q
Source: 0001437749-25-014698
Chunk: 87

Company: Stock Yards Bancorp, Inc.
Filing Date: 2025-05-06
Form: 10-Q
Item: Part I, Item 8
Chunk 87
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8.86 billion at December 31, 2024. The increase for the first quarter of 2025 was attributed to solid loan growth of $126 million, or 2%, and a $113 million, or 39%, increase in cash and cash equivalents, which was partially offset by a decline of $114 million, or 8%, in the investment securities portfolio attributed mainly to scheduled maturity activity.

Total liabilities increased $99 million, or 1%, to $8.02 billion at March 31, 2025 from $7.92 billion at December 31, 2024, with total deposits growing $128 million, or 2%, driven mainly by successful deposit promotions, and offset partially by smaller declines in SSURA and other liabilities.

Stockholders’ equity increased $35 million, or 4%, to $975 million at March 31, 2025 from $940 million at December 31, 2024, as net income of $33.3 million and a $11.3 million improvement in AOCI was offset by $9.1 million of cash dividends declared during the first quarter of 2025. The improvement in AOCI was associated with changes in the interest rate environment and the corresponding impact on the valuation of the AFS debt securities portfolio and cash flow hedging derivatives.

Cash and Cash Equivalents

Cash and cash equivalents increased $113 million, or 39%, ending at $404 million at March 31, 2025 compared to $291 million at December 31, 2024, which was attributed largely to the previously mentioned deposit growth and maturity activity within the investment securities portfolio.

Investment Securities

The primary purpose of the investment securities portfolio is to provide another source of interest income, as well as a tool for liquidity management. In managing the composition of the balance sheet, Bancorp seeks a balance between earnings sources, credit and liquidity considerations.

Investment securities decreased $114 million, or 8%, to $1.25 billion at March 31, 2025 compared to $1.36 billion at December 31, 2024. This decline was driven mainly by scheduled maturities within the treasury portfolio specifically, and to a lesser extent, normal pay down activity. Investment in the securities portfolio during the first quarter of 2025 consisted of purchasing short term treasury securities to put excess liquidity to work and provide collateral to meet pledging requirements, while still offering the funding flexibility allowed by their short duration.

FHLB Stock

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