Curious about Old National Bank net worth and its financial health in 2024? In this article, Ando Money dives into the bank’s revenue, asset growth, and recent market cap figures. Keep reading for key insights!
Quick Facts
| FACT | DETAIL |
|---|---|
| Name | Old National Bank |
| Full Name | Old National Bancorp |
| Traded as | NASDAQ: ONB |
| ISIN | N/A |
| Founded | 1834 |
| Founders | N/A |
| Country/Territory | United States |
| Headquarters | Evansville, Indiana |
| Chief Executive Officer | Jim Ryan |
| Number of Employees | 4,267 |
| Market Cap | $5.91 Billion (as of September 2024) |
| Total Assets | $53 Billion (as of June 2024) |
| Total Equity | $6.07 Billion (as of June 2024) |
| Revenue | $1.26 Billion (for the first half of 2024) |
| Net Income | $233.4 Million (for the first half of 2024) |
What is the Net Worth/Market Cap Of Old National Bank in 2024?
As of September 2024, Old National Bank holds a market cap of $5.91 billion, positioning it as a mid-tier financial institution in the U.S. banking industry.
While Old National’s market capitalization reflects steady growth, it is relatively smaller compared to some of the biggest global banks.
This size allows it to maintain a strong regional presence while competing effectively in the Midwest and Southeast markets.
In comparison to other banks in the industry:
- JPMorgan Chase
- Bank of America
- Wells Fargo
- U.S. Bancorp
- PNC Financial Services
- Truist Financial
- Fifth Third Bank
- KeyBank
- Citizens Financial Group
- Regions Financial Corporation
To explore further insights into the largest banks and their market positions, visit this detailed guide on the largest banks.
Financial Performance Overview
Revenue Streams and Contributions to Financial Success
Old National Bank’s revenue is driven by multiple sources, each playing a critical role in the bank’s financial performance. A significant portion comes from interest income, which totaled $1.26 billion for the first half of 2024.
This includes income from loans and investment securities, both key elements in the bank’s profitability. The net interest margin, which stood at 3.33%, reflects Old National’s efficient management of interest-bearing assets and liabilities.
Additionally, the acquisition of CapStar Financial Holdings boosted the bank’s loan and deposit base, helping to increase both revenue and assets.
Wealth management services and capital markets income also provided additional revenue streams, contributing to the overall growth.
Loan and Deposit Growth Impact
Loan and deposit growth are central to Old National Bank’s business strategy. By the end of June 2024, the bank’s loan portfolio had reached $36.2 billion, reflecting a 5.9% growth excluding the CapStar acquisition.
Commercial loans, in particular, were a significant driver, with total commercial loan production amounting to $1.5 billion during the second quarter.
At the same time, total deposits increased to $40 billion, with a core deposit increase of $1.7 billion.
The bank’s loan-to-deposit ratio of 91% demonstrates its ability to effectively use deposits to fund its loan operations, further bolstering its revenue.
Impact of CapStar Acquisition
One of the most significant events for Old National Bank in 2024 was the completion of its acquisition of CapStar Financial Holdings.
This acquisition, which closed in April 2024, added approximately $2.1 billion in loans and $2.6 billion in deposits to Old National’s balance sheet.
The acquisition strengthened the bank’s presence in Nashville, Tennessee, and other Southeast markets, providing a new growth avenue.
The $417.6 million CapStar deal also brought an immediate impact to Old National’s financial performance.
In the second quarter alone, CapStar contributed $6.5 million to non-interest income and $17.7 million to non-interest expenses.
This move significantly expanded the bank’s customer base and enhanced its competitive positioning in high-growth markets.
Managing Operating Expenses for Profitability
Despite the costs associated with the CapStar acquisition, Old National has maintained a disciplined approach to expense management.
In the second quarter of 2024, total non-interest expenses amounted to $283 million, with $19.4 million related to merger charges.
Excluding these charges, the adjusted non-interest expense was $263.6 million, primarily driven by operating costs associated with the integration of CapStar.
The bank’s efficiency ratio, which measures how effectively it manages expenses relative to its revenue, improved to 52.6% in the second quarter. This indicates that Old National has successfully maintained cost discipline while growing its operations.
Credit Quality and Stability
Maintaining strong credit quality is a core focus for Old National Bank. In 2024, the bank continued to show strong performance in this area, with a provision for credit losses of $36.2 million in the second quarter.
Net charge-offs, which represent the value of loans the bank does not expect to recover, stood at $14 million or 16 basis points of average loans, indicating a relatively low level of credit risk.
Moreover, non-performing loans accounted for just 0.94% of total loans, down from 0.98% in the previous quarter.
The bank’s proactive management of credit risk helps safeguard its profitability and ensures that it remains financially stable in the face of economic fluctuations.
Shareholder Returns
Old National Bank consistently delivers value to its shareholders through dividend payments and stock performance.
In 2024, the bank maintained a quarterly dividend of $0.14 per share, representing a dividend payout ratio of 38%.
This steady return underscores the bank’s commitment to rewarding its investors while continuing to invest in growth opportunities.
The bank’s stock price, which was $17.19 as of June 2024, reflects investor confidence in its long-term financial performance.
With a strategic focus on loan growth, expense management, and maintaining credit quality, Old National Bank is well-positioned to continue delivering strong financial results for both its shareholders and customers.
FAQs about Old National Bank
What is Old National Bank known for?
It is a regional bank offering consumer and commercial banking, wealth management, and capital markets services. It has a strong presence in the Midwest and Southeast.
When was the bank founded?
It was founded in 1834 and has grown into a leading financial institution with a focus on long-term relationships.
Who is the CEO of Old National Bank?
The current CEO is Jim Ryan. Under his leadership, the bank has expanded through strategic acquisitions like CapStar in 2024.
Where is the bank located?
Its headquarters is in Evansville, Indiana. The bank has a strong regional presence and has expanded into the Southeast.
What services does it provide?
The bank provides:
- Consumer banking
- Commercial banking
- Wealth management
- Capital markets
How has the Old National Bank performed in 2024?
In 2024, it reported total assets of $53 billion and revenue of $1.26 billion. Net income reached $233.4 million, driven by acquisitions.
What is its strategy for growth?
Its strategy focuses on acquisitions and expansion into high-growth markets. The acquisition of CapStar strengthened its presence in the Southeast.
Conclusion
Old National Bank’s financial success continues to grow, and we encourage you to explore more about the largest banks in the U.S.
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