Adjusted CET1 capital ratio was 9%, at the lower bound of the target range of 9% to 10%.
Average deposits increased by $1.8 billion (1.1%) sequentially and nearly $10 billion year-over-year, with disciplined deposit pricing.
Average loans grew by $2.3 billion (1.8%) sequentially and 7.9% year-over-year, driven by commercial loans and new initiatives.
Credit quality remains strong with net charge-offs at 20 basis points and allowance for credit losses at 1.86%.
Earnings per common share were $0.34, including a $0.04 impact from securities repositioning and notable items, with adjusted EPS growing 27% year-over-year.
Net interest income grew 2.9% sequentially and 12% year-over-year, with net interest margin at 3.11%, up 1 basis point sequentially.
Noninterest expense was $1.2 billion, in line with guidance, with growth driven by incentive compensation and volume-related costs.
Noninterest income increased 7% year-over-year, with payments, wealth, and capital markets fees growing 11%.
Return on tangible common equity (ROTCE) was 16.1% reported, 17.6% adjusted for notable items.
Tangible book value per share increased 16% year-over-year, illustrating strong capital growth and value creation.
Strategic Focus on Profitability and Balance Sheet Optimization
The company emphasized its focus on profitability, balance sheet optimization, and operational efficiency, which has been evident over the past 6 quarters.
Net interest margin (NIM) expanded by 15 basis points, driven by higher asset yields and lower funding costs.
The company maintained disciplined expense management and healthy credit metrics, with a loan portfolio that is slightly up and well remixing.
Dafinchi