- Classified loans declined $24.4 million or 5.1%; nonperforming loans declined modestly; criticized loans increased $176.9 million or 17.2%, mainly due to slower lease-up in multifamily loans.
- Common equity Tier 1 capital ratio improved 90 basis points to 13.43%.
- Deposits declined $102.2 million sequentially, approximately flat year-over-year adjusted for a large temporary deposit in Q2 2024.
- Dividend declared of $0.47 per share, yielding 7.0%.
- Interest-bearing deposit costs declined 1 basis point; total funding costs declined 9 basis points due to mix shift.
- Loans held for investment declined $1 billion, including $338 million moved to held-for-sale related to branch transaction, $74 million sold with credit card outsourcing, and $73 million amortization of indirect lending portfolio.
- Net charge-offs were $5.8 million or 14 basis points annualized; provision expense reduced by $0.3 million.
- Net income for Q2 2025 was $71.7 million or $0.69 per diluted share, up from $50.2 million or $0.49 per diluted share in Q1 2025.
- Net interest income increased by $2.2 million to $207.2 million, driven by reduced interest expense and lower average loan balances.
- Net interest margin was 3.32% fully tax equivalent, or 3.26% excluding purchase accounting accretion, up 12 basis points from prior quarter.
- Noninterest expense declined $5.5 million to $155.1 million due to lower seasonal payroll taxes and incentive compensation estimates, partially offset by $1.5 million in property valuation and lease termination fees.
- Noninterest income was $41.1 million, down $0.9 million sequentially, including a $7.3 million valuation allowance and a $4.3 million gain on sale from credit card outsourcing.
- Other borrowed funds declined to $250 million, down $2.2 billion year-over-year and $710 million sequentially.
- Yield on average loans increased 6 basis points to 5.65%, driven by repricing and payoffs of lower-yielding loans.
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- The merger with Southern States Bankshares was completed on July 1, 2025, and fully integrated by Labor Day weekend, marking the first quarter reporting on the combined entity.
- Southern States portfolios contributed to margin expansion, adding approximately 6-8 basis points on a core basis, which positively impacted the overall net interest margin.
- The company benefited from purchase accounting accretion of about $6 million in the quarter, which supported margin growth.
- The full impact of the merger, including system conversions and integration costs, was reflected in the financial results, with a focus on achieving synergies earlier than initially planned.
- Adjusted pretax operating loss for All Other was $16.4 million, primarily due to mark-to-market changes on residential mortgage loans held for sale.
- Book value per share increased 12% year-over-year to $33.18, including $2.02 of unrealized net loss on investments expected to accrete over time.
- Operating expenses totaled $89 million for the quarter, with full-year 2025 expenses expected at $320 million, an 8% decrease from 2024.
- Primary mortgage insurance in force grew to an all-time high of $277 billion, with new insurance written at $14.3 billion, a 3% increase year-over-year.
- Provision for losses was a net expense of $12 million, down from $15 million in Q1, supported by strong cure activity and low claim levels.
- Radian reported net income of $142 million in Q2 2025, with a return on equity of 12.5%.
- Total revenues were $318 million, with net premiums earned at $234 million, consistent with previous quarters.
- Balance sheet remained liquid and conservatively positioned with deposits increasing to $12.8 billion, partly due to FX effects.
- Butterfield reported net income of $53.3 million and core net income of $53.7 million in Q2 2025.
- Core earnings per share were $1.26 with a core return on average tangible common equity of 22.3%.
- Credit quality improved with negligible net charge-offs and nonaccrual loans decreasing to 2% of gross loans.
- Net interest income before provision for credit losses increased to $89.4 million, driven by higher average interest-earning assets but offset by lower treasury yields.
- Net interest margin (NIM) was 2.64%, a decline of 6 basis points from the prior quarter, partly due to early redemption of $100 million subordinated debt causing a 2 basis point one-time negative impact.
- Noninterest expenses were $91.4 million, higher than the prior quarter's $98.3 million, influenced by FX impacts, increased incentive accruals, and lower prior quarter healthcare costs.
- Noninterest income totaled $57 million, down $1.4 million linked quarter due to seasonal reductions in merchant and international money transfer volumes and foreign exchange revenue, partially offset by increased trust revenue.
- Assets under custody and administration (AUCA) grew 13% year over year to $55.8 trillion, while assets under management (AUM) increased 3% to $2.1 trillion.
- Capital ratios remained strong with CET1 at 11.5% and Tier 1 leverage ratio at 6.1%, and the company returned $1.2 billion in capital to shareholders in Q2.
- Operating expenses increased 4% year over year, resulting in significant positive operating leverage of roughly 500 basis points.
- Pretax margin improved to 37%, and return on tangible common equity (ROTCE) rose to 28%, reflecting the success of the company’s multiyear transformation.
- Segment highlights included Security Services revenue up 10%, Markets and Wealth Services revenue up 13%, and Investment and Wealth Management revenue down 2%.
- The Bank of New York Mellon Corporation delivered strong Q2 2025 results with earnings per share of $1.93, up 27% year over year on a reported basis and 28% excluding notable items.
- Total revenue exceeded $5 billion for the first time in a quarter, up 9% year over year, driven by fee revenue growth of 7% and net interest income up 17%.
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