Wintrust Financial Corp (NASDAQ:WTFC) stock rose 0.84% (As on January 18, 11:14:27 AM UTC-4, Source: Google Finance) after the company posted lower than expected results for the fourth quarter of FY 23. The company has reported quarterly net income of $123.5 million for the fourth quarter of 2023 as compared to $164.2 million for the third quarter of 2023. Pre-tax, pre-provision income (non-GAAP) totaled $208.2 million as compared to $244.8 million for the third quarter of 2023. During the fourth quarter of 2023, the Company recognized an accrual of $34.4 million for the estimated amount owed as a result of the FDIC special assessment on uninsured deposits in response to certain bank failures occurring earlier in 2023 as well as a $9.7 million unfavorable net valuation adjustment from certain mortgage-related assets held at fair value.

Moreover, for the fourth quarter of 2023, net interest income totaled $470.0 million, an increase of $7.6 million as compared to the third quarter of 2023. The $7.6 million increase in net interest income in the fourth quarter of 2023 compared to the third quarter of 2023 was primarily due to a $509.1 million increase in average earning assets and a two basis point increase in net interest margin. Total assets increased $704.7 million in the fourth quarter of 2023 as compared to the third quarter of 2023. Total loans increased by $685.8 million as compared to the third quarter of 2023. The increase in loans was primarily the result of draws on existing commercial real estate loan facilities as well as growth in our property and casualty premium finance portfolio due to favorable market conditions and seasonally strong originations in the fourth quarter of the year. Total liabilities increased by $320.8 million in the fourth quarter of 2023 as compared to the third quarter of 2023 primarily due to a $404.5 million increase in total deposits. Non-interest bearing deposits as a percentage of total deposits was 23% at both December 31, 2023 and September 30, 2023. The Company’s loans to deposits ratio ended the quarter at 92.8%.

WTFC in the fourth quarter of FY 23 has reported the adjusted earnings per share of $1.87, missing the analysts’ estimates for the adjusted earnings per share of $2.44. The company had reported the adjusted revenue of $570.8 million in the fourth quarter of FY 23, missing the analysts’ estimates for revenue of $575.32 million.