S&T Bancorp Inc. Files 10-Q for Q1 2024

TL;DR

<b>S&T Bancorp Inc. has submitted its quarterly report (10-Q) for the first quarter of 2024, detailing financial performance and position.</b>

AI Summary

S&T BANCORP INC (STBA) filed a Quarterly Report (10-Q) with the SEC on May 2, 2024. S&T Bancorp Inc. filed its 10-Q report for the period ending March 31, 2024. The filing covers the first quarter of fiscal year 2024. The company is incorporated in Pennsylvania and operates in the State Commercial Banks sector. The filing includes data related to common stock, additional paid-in capital, retained earnings, and treasury stock. Financial data for the periods ending December 31, 2022, March 31, 2023, December 31, 2023, and March 31, 2024, are referenced.

Why It Matters

For investors and stakeholders tracking S&T BANCORP INC, this filing contains several important signals. This 10-Q filing provides investors with an updated view of S&T Bancorp's financial health and operational performance for the first three months of 2024. The report is crucial for understanding the company's current financial standing, including its capital structure and equity components, as it navigates the current economic landscape.

Risk Assessment

Risk Level: — S&T BANCORP INC shows moderate risk based on this filing. The filing is a standard quarterly report and does not contain immediate red flags, indicating a routine disclosure of financial information.

Analyst Insight

Monitor future filings for trends in retained earnings and accumulated other comprehensive income to assess long-term profitability and market impact.

Key Numbers

• 2024-03-31 — Period of Report (CONFORMED PERIOD OF REPORT)
• 2024-05-02 — Filed As Of Date (FILED AS OF DATE)
• 2024-01-01 — Quarter Start Date (2024 Q1)
• 2024-03-31 — Quarter End Date (2024 Q1)

Key Players & Entities

• S&T BANCORP INC (company) — FILER
• PA (location) — STATE OF INCORPORATION
• 800 PHILADELPHIA STREET (address) — BUSINESS ADDRESS
• INDIANA (city) — BUSINESS ADDRESS
• PA (state) — BUSINESS ADDRESS
• 15701 (zip) — BUSINESS ADDRESS
• 724-427-2347 (phone) — BUSINESS PHONE
• STBA (ticker) — tk

FAQ

Industry Context

S&T Bancorp Inc. operates within the State Commercial Banks industry.

Regulatory Implications

The filing is made under the Securities Exchange Act of 1934.

What Investors Should Do

1. Review the detailed financial statements within the 10-Q for specific revenue and net income figures.
2. Analyze changes in equity components like retained earnings and additional paid-in capital compared to previous periods.
3. Track any disclosures related to new accounting standards or regulatory changes impacting the banking sector.

Key Dates

• 2024-03-31: Quarter End — End of reporting period for the 10-Q filing.
• 2024-05-02: Filing Date — Date the 10-Q was officially filed with the SEC.

Year-Over-Year Comparison

This filing represents the standard quarterly report for S&T Bancorp Inc. for the period ending March 31, 2024, following previous filings.

Key Financial Figures

• $2.50 — ange on which registered Common Stock, $2.50 par value STBA NASDAQ Global Select Mar

Filing Documents

• stba-20240331.htm (10-Q) — 3169KB
• exhibit311.htm (EX-31.1) — 9KB
• exhibit312.htm (EX-31.2) — 9KB
• exhibit32.htm (EX-32.0) — 6KB
• 0000719220-24-000037.txt (&nbsp;) — 15163KB
• stba-20240331.xsd (EX-101.SCH) — 41KB
• stba-20240331_cal.xml (EX-101.CAL) — 114KB
• stba-20240331_def.xml (EX-101.DEF) — 365KB
• stba-20240331_lab.xml (EX-101.LAB) — 648KB
• stba-20240331_pre.xml (EX-101.PRE) — 545KB
• stba-20240331_htm.xml (XML) — 4010KB

FINANCIAL INFORMATION

PART I. FINANCIAL INFORMATION Item 1.

Financial Statements

Financial Statements Consolidated Balance Sheets 2 Condensed Consolidated Statements of Comprehensive Income 3 Consolidated Statements of Changes in Shareholders' Equity 4 Condensed Consolidated Statements of Cash Flows 5

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements 6 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 26 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 40 Item 4.

Controls and Procedures

Controls and Procedures 41

OTHER INFORMATION

PART II. OTHER INFORMATION Item 1.

Legal Proceedings

Legal Proceedings 42 Item 1A.

Risk Factors

Risk Factors 42 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 42 Item 3. Defaults Upon Senior Securities 42 Item 4. Mine Safety Disclosures 42 Item 5. Other Information 42 Item 6. Exhibits 43

Signatures

Signatures 44 1 Table of Contents S&T BANCORP, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Unaudited) March 31, 2024 December 31, 2023 (in thousands, except share and per share data) (Unaudited) (Audited) ASSETS Cash and due from banks, including interest-bearing deposits of $ 143,927 and $ 160,802 at March 31, 2024 and December 31, 2023 $ 207,462 $ 233,612 Securities available for sale, at fair value 970,728 970,391 Loans held for sale — 153 Portfolio loans, net of unearned income 7,656,034 7,653,341 Allowance for credit losses ( 104,802 ) ( 107,966 ) Portfolio loans, net 7,551,232 7,545,375 Bank owned life insurance 83,900 84,008 Premises and equipment, net 47,956 49,006 Federal Home Loan Bank and other restricted stock, at cost 13,703 25,082 Goodwill 373,424 373,424 Other assets 290,698 270,475 Total Assets $ 9,539,103 $ 9,551,526 LIABILITIES Deposits: Noninterest-bearing demand $ 2,188,927 $ 2,221,942 Interest-bearing demand 848,729 825,787 Money market 1,882,157 1,941,842 Savings 936,056 950,546 Certificates of deposit 1,744,478 1,581,652 Total Deposits 7,600,347 7,521,769 Short-term borrowings 285,000 415,000 Long-term borrowings 39,156 39,277 Junior subordinated debt securities 49,373 49,358 Other liabilities 270,153 242,677 Total Liabilities 8,244,029 8,268,081 SHAREHOLDERS' EQUITY Common stock ($ 2.50 par value) Authorized— 50,000,000 shares Issued— 41,449,444 shares at March 31, 2024 and December 31, 2023 Outstanding— 38,233,280 shares at March 31, 2024 and 38,232,806 shares at December 31, 2023 103,623 103,623 Additional paid-in capital 409,857 409,034 Retained earnings 977,195 959,604 Accumulated other comprehensive loss ( 97,697 ) ( 90,901 ) Treasury stock — 3,216,164 shares at March 31, 2024 and 3,216,638 shares at December 31, 2023, at cost ( 97,904 ) ( 97,915 ) Total Shareholders' Equity 1,295,074 1,283,445 Total Liabilities and Shareholders' Equity $ 9,539,103 $ 9,551,526 See Notes to Conso

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 1. BASIS OF PRESENTATION Principles of Consolidation The interim Consolidated Financial Statements include the accounts of S&T Bancorp, Inc., or S&T, and its wholly owned subsidiaries. All significant intercompany transactions have been eliminated in consolidation. Investments of 20 percent to 50 percent of the outstanding common stock of investees are accounted for using the equity method of accounting. Basis of Presentation The accompanying unaudited interim Consolidated Financial Statements of S&T have been prepared in accordance with generally accepted accounting principles, or GAAP, in the United States for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by GAAP for complete financial statements and should be read in conjunction with the audited Consolidated Financial Statements included in our Annual Report on Form 10-K for the year ended December 31, 2023, filed with the Securities and Exchange Commission, or SEC, on February 27, 2024 (2023 Form 10-K). In the opinion of management, the accompanying interim financial information reflects all adjustments, consisting of normal recurring adjustments, necessary to present fairly our financial position and the results of operations for each of the interim periods presented. Results of operations for interim periods are not necessarily indicative of the results of operations that may be expected for a full year or any future period. Reclassification A mounts in prior period financial statements and footnotes are reclassified whenever necessary to conform to the current period presentation. Reclassifications had no effect on our results of operations or financial condition. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the report

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Recently Issued Accounting Standards Not Yet Adopted Segment Reporting (Topic 280) Improvements to Reportable Segment Disclosures In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures to improve disclosure requirements, primarily through enhanced disclosures about significant segment expenses. This update does not change how a public entity identifies its operating segments; however, it does require that an entity that has a single reportable segment provide all the disclosures required by the amendments in this update. The amendments in this update are effective for fiscal years beginning after December 15, 2023, and interim periods within fiscal years beginning after December 15, 2024. A public entity should apply the amendments in this update retrospectively to all prior periods presented in the consolidated financial statements. Early adoption is permitted. We currently have one reportable operating segment, Community Banking. This ASU will not impact our consolidated financial statements and will have minimal impact to our disclosures, requiring identification of the chief operating decision maker and the information used to make operating decisions and to allocate resources. Income Taxes (Topic 740) Improvements to Income Tax Disclosures In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures to enhance the transparency and decision usefulness of the disclosures. The amendments in this update address investor requests for more transparency about income tax information through improvements to disclosures primarily related to the rate reconciliation and income taxes paid information. The amendments in this update are effective for fiscal years beginning after December 15, 2024. Early adoption is permitted for annual consolidated financial statements that have not yet been issued. This ASU

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 3. FAIR VALUE MEASUREMENTS We use fair value measurements when recording and disclosing certain financial assets and liabilities. Debt securities, equity securities and derivative financial instruments are recorded at fair value on a recurring basis. Additionally, from time to time, we may be required to record other financial instruments at fair value on a nonrecurring basis, such as loans held for sale, individually assessed loans, other real estate owned, or OREO, and other repossessed assets, mortgage servicing rights, or MSRs, and certain other assets. Fair value is the price that would be received to sell an asset or paid to transfer a liability in the principal or most advantageous market in an orderly transaction between market participants at the measurement date. An orderly transaction is a transaction that assumes exposure to the market for a period prior to the measurement date to allow for marketing activities that are usual and customary for transactions involving such assets or liabilities; it is not a forced transaction. In determining fair value, we use various valuation approaches, including market, income and cost approaches. The fair value standard establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing an asset or liability, which are developed based on market data that we have obtained from independent sources. Unobservable inputs reflect our estimates of assumptions that market participants would use in pricing an asset or liability, which are developed based on the best information available in the circumstances. The fair value hierarchy gives the highest priority to unadjusted quoted market prices in active markets for identical assets or liabilities (Level 1 m

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS Assets and Liabilities Recorded at Fair Value on a Recurring Basis The following tables present our assets and liabilities that are measured at fair value on a recurring basis by fair value hierarchy level at the dates presented: March 31, 2024 (dollars in thousands) Level 1 Level 2 Level 3 Total ASSETS Available-for-sale debt securities: U.S. Treasury securities $ 132,586 $ — $ — $ 132,586 Obligations of U.S. government corporations and agencies — 32,593 — 32,593 Collateralized mortgage obligations of U.S. government corporations and agencies — 467,198 — 467,198 Residential mortgage-backed securities of U.S. government corporations and agencies — 36,662 — 36,662 Commercial mortgage-backed securities of U.S. government corporations and agencies — 275,749 — 275,749 Obligations of states and political subdivisions — 25,005 — 25,005 Total Available-for-Sale Debt Securities 132,586 837,207 — 969,793 Equity securities 935 — — 935 Total Securities Available for Sale 133,521 837,207 — 970,728 Securities held in a deferred compensation plan 10,257 — — 10,257 Derivative financial assets: Interest rate swaps - commercial loans — 72,093 — 72,093 Total Assets $ 143,778 $ 909,300 $ — $ 1,053,078 LIABILITIES Derivative financial liabilities: Interest rate swaps - commercial loans $ — $ 72,578 $ — $ 72,578 Interest rate swaps - cash flow hedge — 18,404 — 18,404 Total Liabilities $ — $ 90,982 $ — $ 90,982 December 31, 2023 (dollars in thousands) Level 1 Level 2 Level 3 Total ASSETS Available-for-sale debt securities: U.S. Treasury securities $ 133,786 $ — $ — $ 133,786 Obligations of U.S. government corporations and agencies — 32,513 — 32,513 Collateralized mortgage obligations of U.S. government corporations and agencies — 460,939 — 460,939 Residential mortgage-backed securities of U.S. government corporations and agencies — 38,177 — 38,177 Commercial mortgage-backed securities of U.S. government corp

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS value on a nonrecurring basis as of March 31, 2024 or December 31, 2023. There was one Level 2 individually assessed loan measured at fair value on a nonrecurring basis for $ 13.4 million at March 31, 2024 and $ 5.9 million at December 31, 2023. Fair Value of Financial Instruments The following tables present the carrying values and fair values of our financial instruments at the dates presented: Carrying Value (1) Fair Value Measurements at March 31, 2024 (dollars in thousands) Total Level 1 Level 2 Level 3 ASSETS Cash and due from banks, including interest-bearing deposits $ 207,462 $ 207,462 $ 207,462 $ — $ — Securities available for sale 970,728 970,728 133,521 837,207 — Portfolio loans, net 7,551,232 7,247,276 — — 7,247,276 Collateral receivable 6,770 6,770 6,770 — — Securities held in a deferred compensation plan 10,257 10,257 10,257 — — Mortgage servicing rights 6,153 8,809 — — 8,809 Interest rate swaps - commercial loans 72,093 72,093 — 72,093 — LIABILITIES Deposits $ 7,600,347 $ 7,588,523 $ 5,855,869 $ 1,732,654 $ — Collateral payable 58,587 58,587 58,587 — — Short-term borrowings 285,000 284,631 — 284,631 — Long-term borrowings 39,156 38,924 — 38,924 — Junior subordinated debt securities 49,373 49,373 — 49,373 — Interest rate swaps - commercial loans 72,578 72,578 — 72,578 — Interest rate swaps - cash flow hedge 18,404 18,404 — 18,404 — (1) As reported in the Consolidated Balance Sheets Carrying Value (1) Fair Value Measurements at December 31, 2023 (dollars in thousands) Total Level 1 Level 2 Level 3 ASSETS Cash and due from banks, including interest-bearing deposits $ 233,612 $ 233,612 $ 233,612 $ — $ — Securities available for sale 970,391 970,391 134,796 835,595 — Loans held for sale 153 153 — 153 — Portfolio loans, net 7,545,375 7,263,270 — — 7,263,270 Collateral receivable 5,356 5,356 5,356 — — Securities held in a deferred compensation plan 9,399 9,399 9,399 — — Mor

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NOTE 4. SECURITIES The following table presents the fair values of our securities portfolio at the dates presented: (dollars in thousands) March 31, 2024 December 31, 2023 Debt securities $ 969,793 $ 969,308 Equity securities 935 1,083 Total Securities Available for Sale $ 970,728 $ 970,391 The following tables present the amortized cost and fair value of available-for-sale debt securities as of the dates presented: March 31, 2024 December 31, 2023 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Amortized Cost Gross Unrealized Gains

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