MetroCity Bankshares, Inc. reported a solid performance for the third quarter and the first nine months of 2024, showcasing significant growth in net income and improvements in key financial metrics compared to the same periods in 2023.

For the three months ended September 30, 2024, net income reached $16.7 million, a 46.1% increase from $11.4 million in the same quarter of 2023. Basic earnings per share rose to $0.66 from $0.45, while diluted earnings per share also increased to $0.65 from $0.45. For the nine months ended September 30, 2024, net income totaled $48.3 million, up 19.9% from $40.3 million in the prior year, with basic earnings per share climbing to $1.91 from $1.60.

Total interest income for the third quarter was $53.8 million, reflecting a 10.5% increase from $48.7 million in the same quarter of 2023. Net interest income also improved, rising to $30.3 million from $24.2 million year-over-year. The net interest margin expanded to 3.58%, up from 2.94% in the prior year, driven by a favorable change in yield and volume of earning assets.

Noninterest income surged to $6.6 million for the third quarter, a substantial increase of 149% from $2.7 million in the same period last year. This growth was attributed to various factors, including gains on the sale of residential mortgage loans and increased mortgage servicing income. For the nine months, noninterest income totaled $17.7 million, up 31.5% from $13.5 million in 2023.

Total assets increased by $66.4 million, or 1.9%, to $3.57 billion as of September 30, 2024. This growth was primarily driven by an increase in cash and due from banks, which rose to $278.8 million from $142.2 million at the end of 2023. However, total loans decreased by 1.8% to $3.10 billion, with notable declines in residential real estate loans and construction and development loans.

Total deposits slightly decreased by $7.8 million to $2.72 billion, influenced by declines in money market accounts and interest-bearing demand deposits, although time deposits and noninterest-bearing deposits saw increases. The company maintained a strong capital position, categorized as "well-capitalized" under regulatory standards.

MetroCity Bankshares adopted the Current Expected Credit Loss (CECL) model in January 2023, which impacted the allowance for credit losses. As of September 30, 2024, the allowance for credit losses was $18.6 million, up from $18.1 million at the end of 2023.

Overall, MetroCity Bankshares demonstrated robust financial health and strategic growth, positioning itself well for future opportunities in the banking sector.