Posted: 05/14/2025 07:36 am
In recent years, First US Bancshares, Inc. (NASDAQ: FUSB) has demonstrated both growth and stability, with its leadership team playing a crucial role in navigating the financial landscape. This analysis focuses on the compensation trends within the company, particularly focusing on its President and Chief Executive Officer, James F. House.
According to recent disclosure, for the fiscal year 2024, James F. House received a total compensation package of $644,151. This includes a base salary of $400,000, stock awards valued at $85,362, incentive plan compensation of $134,890, and additional miscellaneous compensation amounting to $23,899. Compared to 2023, this total compensation reflects a decrease from the previous total of $738,697. The decline was primarily noted in the incentive plan compensation and stock awards, though his base salary experienced a modest increase over the years from $353,625 in 2021 to the current $400,000. This steady rise in the fixed salary component highlights FUSB's strategy to ensure a stable income for its CEO amidst varying market conditions.1
Simultaneously, current performance and market conditions seem to echo the compensation trends. For the full-year 2024, First US Bancshares reported a net income of $8.2 million, with a diluted EPS of $1.33. The return on average assets was 0.76%, and the return on average common equity was 8.62%. These figures, while solid, indicate some pressure compared to earnings from previous periods. For instance, the fourth quarter of 2024 saw a reduced net income of $1.7 million compared to $2.2 million in the third quarter of the same year.2
These figures are reflective of a broader trend of cautious financial management and conservative compensation practices within the company. In line with this, FUSB's current stock price hovers around $13, having appreciated by 1.96% over recent evaluations, reflecting moderate market confidence in its management.3 This aligns with the company's emphasis on maintaining value through steady, if not spectacular, financial returns, ensuring shareholder satisfaction alongside stable executive payouts.
William C. Mitchell, the Senior Executive Vice President of Consumer Banking, has also seen a consistent compensation trajectory. His 2021 total compensation was $374,011, showing a conservative salary package compared to industry peers.4 This is indicative of the company's broader compensation strategy focused on managing costs prudently while rewarding performance-based metrics.
Overall, First US Bancshares adopts a balanced approach to executive compensation, aligning it with both corporate performance and shareholder return metrics, thus preserving shareholder value while ensuring motivated leadership navigating through economic fluctuations.
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1. First US Bancshares, Inc. Executive Compensation Data, SEC Filing: 2024.
2. First US Bancshares, Inc. Reports Fourth Quarter and Full-Year 2024 Earnings, PRNewswire, January 27, 2025.
3. Market Snapshot of First US Bancshares, April 30, 2025.
4. First US Bancshares, Inc. Executive Compensation Data, SEC Filing: 2021.
