On this page of StockholderLetter.com we present the latest annual shareholder letter from Northwest Bancshares, Inc. — ticker symbol NWBI. Reading current and past NWBI letters to shareholders can bring important insights into the investment thesis.
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3/7/2025 Letter Continued (Full PDF)
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3/9/2023 NWBI Stockholder Letter
• 3/8/2024 NWBI Stockholder Letter
• More "Banking & Savings" Category Stockholder Letters
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NWBI Benford's Law Stock Score = 98
3/7/2025 Letter Continued (Full PDF)
•
3/9/2023 NWBI Stockholder Letter•
3/8/2024 NWBI Stockholder Letter•
More "Banking & Savings" Category Stockholder Letters•
NWBI Benford's Law Stock Score = 98NWBI Shareholder/Stockholder Letter Transcript:
2024 SUMMARY ANNUAL REPORT TRANSFORMING FOR WHAT S NEXT Directors and Officers Board of Directors Timothy B. Fannin Chairman of the Board Retired Partner Catalano, Case, Catalano & Clark-Radzieta, LLP Timothy M. Hunter Vice Chairman of the Board President and Chief Executive Officer McInnes Rolled Rings Robert M. Campana Chief Executive Officer Campana Development Deborah J. Chadsey Attorney and Partner Kavinoky Cook, LLP Wilbur R. Davis Retired Co-Founder and Chief Executive Officer Ontario Systems, LLC Executive Management Mark A. Paup President and Chief Executive Officer Zippo Manufacturing, W.R. Case and Sons Cutlery Company Louis J. Torchio President and Chief Executive Officer Louis J. Torchio President and Chief Executive Officer Northwest Bancshares, Inc. Gregory J. Betchkal Chief Risk Officer David M. Tullio President and Chief Executive Officer Custom Engineering Company, LAMJEN, Inc. Pablo A. Vegas President and Chief Executive Officer of the Electric Reliability Council of Texas Amber L. Williams Senior Vice President, Deputy General Counsel at Bath & Body Works Carey A. Barnum Chief Auditor Urich T. Bowers Chief Consumer Banking and Strategy Officer James M. Colestro Chief Retail Lending Officer Thomas K. Creal IV Chief Credit Officer Devin T. Cygnar Chief Marketing and Communications Officer Jay M. DesMarteau Chief Commercial Banking Officer Kyle P. Kane Chief People Officer John P. Meegan Retired Executive Vice President and Chief Operating Officer Hefren-Tillotson, Inc. Richard K. Laws Chief Legal Counsel and Corporate Secretary Douglas M. Schosser Chief Financial Officer Scott J. Watson Chief Information Officer DISCLOSURE STATEMENT This report may contain forward-looking statements with respect to the financial condition and results of operations of Northwest Bancshares, Inc. (the Company ) and the proposed merger between the Company and Penns Woods Bancorp, Inc. (the Merger ), including, without limitation, statements relating to certain plans and expectations relating to the Merger. These forward-looking statements involve certain risks and uncertainties. Factors that may cause actual results to differ materially from those contemplated by such forwardlooking statements, include among others, the following possibilities: (1) changes in the interest rate environment; (2) competitive pressure among financial services companies; (3) general economic conditions including inflation and an increase in non-performing loans; (4) changes in legislation or regulatory requirements; (5) difficulties in continuing to improve operating efficiencies; (6) difficulties in the integration of acquired businesses or the ability to complete sales transactions; (7) increased risk associated with commercial real-estate and business loans; (8) changes in liquidity, including the size and composition of our deposit portfolio; (9) reduction in the value of our goodwill and other intangible assets; (10) the failure of the Merger to close for any reason or the possibility that any of the anticipated benefits of the Merger will not be realized; and (11) the effect of any pandemic, war or act of terrorism. These and other risk factors are more fully described in the Company s Annual Report on Form 10-K for the year ended December 31, 2024 under the section entitled Item 1A - Risk Factors, and from time to time in other filings made by the Company with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, as actual results may differ materially from those expressed or implied. Management has no obligation to revise or update these forward-looking statements to reflect events or circumstances that arise after the date of this release, except as required by law. 2025 Northwest Bancshares, Inc. 2 2024 | SUMMARY ANNUAL REPORT Who We Are Headquartered in Columbus, Ohio, Northwest Bancshares, Inc. is the bank holding company of Northwest Bank. Founded in 1896 and headquartered in Warren, Pennsylvania, Northwest Bank is a Pennsylvania-chartered savings bank offering a complete line of business and personal banking products, as well as employee benefits and wealth management services. As of December 31, 2024, we held assets of $14.4 billion and operated 130 full-service financial centers and 11 free standing drive-up facilities in Pennsylvania, New York, Ohio and Indiana. Since 1896, we have helped our customers reach their financial goals and served our communities. Today, we are transforming for what s next. NY Market Coverage Erie PA Erie rd Crawfo Forest C am er on Elk Venango Cuyahoga Elkhart Warren Clarion it Lorain Mercer Butler m Clearfield C lin to n Centre m ia br am Allegheny Was h ingto n Blair Leb C o sk Allen ano n hin p au D ciu Ar s Ko Su Tioga Potter n McKea m Saint Joseph OH ua Chautauq st ro ng IN Monroe Niagara Mo ntg om e ry ter Lancas York Philadelphia Delaware Grant De law ar e Ha m Ra nd olp h Franklin ilt on M on Northwest Bancshares, Inc. Columbus, Ohio ro e Greene Northwest Bank Warren, Pennsylvania We support customers nationwide in the commercial business segments of Corporate Finance, Sponsor Finance, Equipment Finance, Sports Finance, Restaurant and Franchise Finance and Small Business Administration (SBA) lending. 2024 | SUMMARY ANNUAL REPORT 3 Dear Shareholders, On behalf of Northwest Bank, I am pleased to share that we delivered solid financial results in 2024 thanks to our multi-year transformation focused on sustainable, responsible growth and the hard work and dedication of our talented team. We continue to enhance services and capabilities, expand our footprint and focus on our customers and communities to provide long-term value to the people we serve and ensure we re always ready for what s next. Our core operating performance in 2024 has positioned us for continued, sustainable growth in the years to come, with adjusted net income1 of $132.8 million, or $1.04 per share. Our balance sheet and capital ratios remain strong with tangible common equity to tangible assets1 of 8.65%, which provides us with flexibility for continued growth. Our adjusted return on average equity1 (adjusted ROAE) was 8.49%, and our adjusted return on average assets1 (adjusted ROAA) was 0.70%. Serving our neighbors, small businesses and commercial clients is central to our mission. Our multi-year transformation into a more innovative and forwardlooking bank with enhanced commercial and consumer capabilities is well underway and delivering results. Over the past several years, we have been focused on increasing our commercial capabilities, launching new verticals in Sponsor Finance, Restaurant and Franchise Finance, Sports Finance, Equipment Finance and Small Business Administration (SBA) lending to serve commercial clients across the country. This expansion began to deliver for us in 2024, growing our commercial loan portfolio by $348.7 million. Amid a dyanmic rate environment, Northwest deposits grew by $164.7 million as a result of our team s focus on deposit gathering and retention through our suite of products that offer competitive pricing. This growth has positively impacted our balance sheet by allowing us to reduce our reliance on more expensive wholesale funding sources. As part of our growth strategy, Northwest Bancshares, Inc. announced in 2024 a definitive agreement to acquire Penns Woods Bancorp, serving North Central and Northeastern Pennsylvania. The all-stock transaction is valued at approximately $270 million as of the date the merger agreement was executed and is expected to be completed on or before the third quarter of 2025. Total assets of the combined company are expected to be in excess of $17 billion total pro forma assets, placing us among the nation s top 100 largest banks. THE COMPANY S CORE EARNINGS AND STRONG BALANCE SHEET UNDERSCORE OUR ONGOING COMMITMENT TO SUSTAINABLE, RESPONSIBLE GROWTH. 1 TOP 100 ONCE COMPLETE, THE ACQUISITION OF PENNS WOODS BANCORP WOULD PLACE US AMONG THE NATION S 100 LARGEST BANKS. See reconciliation of non-GAAP financial measures on page 18 4 2024 | SUMMARY ANNUAL REPORT Serving our neighbors, small businesses and commercial clients is central to our mission. Our multi-year transformation into a more innovative and forward-looking bank with enhanced commercial and consumer capabilities is well underway and delivering results. Thanks to our strong financial health, we continue to provide meaningful return to our valued shareholders. I am pleased that in the fourth quarter of 2024, we delivered a cash dividend for the 121st consecutive quarter, representing an annualized dividend yield of approximately 6.1%. As we look ahead, we are excited for what s next. I d like to thank the dedicated members of our Northwest team for making it all possible. We appreciate your service, expertise and commitment to doing what s right for your colleagues, customers and communities. Together, we are forging ahead in an evolving marketplace and continue to deliver long-term value for our shareholders. As you will see in the pages of this report, we continue to chart a course into the new era. Thank you for your trust and support. Sincerely, 2024 HIGHLIGHTS $100M NET INCOME $164.7M DEPOSIT GROWTH $348.7M COMMERCIAL LOAN GROWTH Louis J. Torchio President and Chief Executive Officer $14.4B TOTAL ASSETS 2024 | SUMMARY ANNUAL REPORT 5