- Credit Sensitive Strategies contributed $22 million to pretax income, including $17 million from organically created CRT investments.
- Interest Rate Sensitive Strategies had a pretax loss of $5 million, with fair value increases on MSR investments offset by declines in MBS and interest rate hedges.
- Net income excluding market-driven value changes was $36 million, down from $41 million in the prior quarter due to higher realized and projected prepayment activity.
- PMT declared a second quarter common dividend of $0.40 per share; book value per share at June 30 was $15, down modestly from March 31.
- PMT reported a net loss to common shareholders of $3 million or loss per share of $0.04 in Q2 2025, driven by fair value declines and a $14 million nonrecurring tax adjustment.
- Total correspondent loan acquisition volume was $30 billion, up 30% from the prior quarter, with $3 billion acquired for PMT's account, up 11%.
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- Asset quality remained stable with criticized loans down 8% quarter-over-quarter and allowance coverage at 1.04%.
- Charge-offs increased to $12 million annualized (33 bps) from $8 million (25 bps) in Q1.
- Earnings per diluted share excluding notable items remained flat at $0.19 due to 7 million shares issued in the Territorial acquisition.
- Net income excluding notable items was $24.5 million in Q2 2025, up 7% from $22.9 million in Q1 2025.
- Net interest income increased 17% quarter-over-quarter to $118 million, driven by Territorial acquisition, organic loan growth, and margin expansion.
- Net interest margin expanded 15 basis points to 2.69%.
- Noninterest expense excluding notable items increased to $92 million from $81 million due to Territorial operations addition.
- Noninterest income excluding notable items rose 44% year-over-year to $15.9 million.
- Pretax pre-provision net revenue excluding notable items grew 17% quarter-over-quarter to $41.2 million.
- Provision for credit losses excluding notable items was $10.5 million, up from $5 million in Q1.
- Allowance for credit losses increased to $43 million or 1.08% of total loans from $41.6 million or 1.05%.
- Common equity Tier 1 was 13.77%, up from 13.47% last quarter.
- Efficiency ratio adjusted for certain costs was 54.54%, improved from 55.48% last quarter.
- Loan-to-deposit ratio was 83.3%, up from 81.2% last quarter but down from 87.9% a year ago.
- Mortgage banking income was slightly up quarter-over-quarter excluding MSR mark-to-market volatility.
- Net income was $21.8 million or $0.48 per diluted share in the second quarter.
- Net interest margin improved 22 basis points year-over-year and decreased 3 basis points quarter-over-quarter.
- Noninterest expense was $1.1 million less than prior quarter, with strong expense discipline.
- Noninterest income grew with wealth management fees up 11.7% and service charges on deposits up 11.2%.
- Return on assets was 1.53%.
- Return on average tangible common equity was 15.29%.
- Second quarter earnings were impacted by $531,000 MSR mark-to-market losses and $810,000 merger-related expenses.
- Tangible equity ratio increased by 49 basis points from last quarter to 10.83%, and by 144 basis points year-over-year.
- Tax equivalent efficiency ratio was 54.54%.
- Total loans increased by $58.4 million from last quarter, driven by construction and lease portfolios.
- Classified and nonperforming loans increased due to 4 downgraded loans totaling $18 million, but no expected losses due to conservative underwriting and collateral.
- Deposits increased at an 11% annual rate, with noninterest-bearing deposits up $41.9 million, comprising 27% of total deposits.
- Home Bancorp reported Q2 2025 net income of $11.3 million or $1.45 per share, up $0.08 from Q1 and $0.43 from a year ago.
- Loans grew by $17.3 million (3%) in Q2, impacted by slower commercial construction activity and paydowns of about $20 million.
- Net charge-offs were low at $335,000 for the quarter, or 3 basis points year-to-date.
- Net interest margin (NIM) expanded for the fifth consecutive quarter to 4.04%, driven by an 8 basis point increase in earning asset yields and stable deposit costs.
- Noninterest income was $3.7 million, in line with expectations, while noninterest expenses increased to $22.4 million due to compensation and a $987,000 SBA receivables write-down.
- Share repurchases totaled 147,000 shares at an average price of $43.72, with 391,000 shares remaining on the buyback plan.
- Average loans decreased 1% to $17.7 billion due to macroeconomic challenges and elevated gross credit losses impacting loan growth.
- Bread Financial reported adjusted net income of $149 million and adjusted EPS of $3.15 for Q2 2025, excluding $10 million post-tax debt repurchase expenses.
- Credit reserve rate improved to 11.9%, a 30 basis point improvement year-over-year and sequentially.
- Credit sales grew 4% year-over-year to $6.8 billion, driven by new partner growth and higher general purpose spending.
- Delinquency rate improved to 5.7%, down 30 basis points year-over-year; net loss rate improved to 7.9%, down 70 basis points year-over-year despite hurricane impacts.
- Direct-to-consumer deposits grew 12% year-over-year to $8.1 billion, accounting for 45% of average total funding, improving funding mix.
- Net interest income decreased 1% year-over-year due to lower billed late fees and a shift in risk and product mix, partially offset by lower interest expense and pricing changes.
- Net interest margin was 17.7%, down 30 basis points year-over-year, impacted by elevated cash mix and lower loan yields.
- Noninterest income increased $3 million, mainly from paper statement pricing changes, offset by lower net interchange revenue.
- Return on average tangible common equity was 22.7% for the quarter.
- Revenue was $929 million, down 1% year-over-year, primarily due to lower finance charges and late fees, partially offset by lower interest expense.
- Total noninterest expenses increased 3% year-over-year to $12 million higher, mainly due to $13 million debt extinguishment costs; adjusted expenses were nearly flat.
- Allowance for credit losses to total loans was 1.28%, consistent with prior periods, and allowance to nonperforming loans improved to 175% from 122%.
- Effective tax rate was 14.6% for the quarter and 14.7% year-to-date.
- Efficiency ratio improved to 64.5% from 64.9% in the linked quarter and 72.6% in Q2 2024.
- Loan and lease portfolio grew at an annualized rate of 6.1%, with residential loans increasing by $42 million.
- Loan-to-deposit ratio was 98.6%, higher than targeted, with plans to reduce it to 90%-95%.
- Margin expanded by 13 basis points to 3.64% compared to the linked quarter.
- Net income for Q2 2025 was $11 million or $0.71 per diluted share, a 56% increase over Q2 2024 and a $847,000 increase over the linked quarter.
- Net interest income was $34.8 million, up 6.2% from the linked quarter, driven by a 13 basis point increase in earning asset yield to 5.84%.
- Noninterest expense was $27.5 million, a 1.3% increase over the first quarter due to merit increases and salary adjustments, but declined 3.2% from Q2 2024 due to fewer FTEs and reduced equipment expense.
- Noninterest income declined $1.3 million or 16.2% from the first quarter and $3.8 million from Q2 2024, mainly due to nonrecurring adjustments related to leasing operations.
- Pre-provision net revenue increased by $3.3 million or 37.5% over Q2 2024 and $770,000 or 6.7% over the linked quarter.
- Tier 1 leverage ratio was 8.8%, tangible common equity ratio was 6.7%, both improving post capital raise and acquisition.
- Assets under management (AUM) reached a record $5.4 trillion, up 15% year over year.
- Expenses increased 5% year over year to $2.4 billion, driven by investments in technology and strategic initiatives, partially offset by productivity savings.
- FX trading revenue increased 16% and securities finance revenues grew 19% year over year, excluding notable items.
- Management fees rose 16% to a quarterly record of $612 million, supported by higher market levels and net inflows.
- Net interest income (NII) was $715 million, down 1% year over year, reflecting margin compression and deposit mix shifts.
- Pretax margin expanded by approximately 270 basis points to 31%.
- Return on tangible common equity rose about 160 basis points to 21%.
- Servicing fees increased 7% driven by higher market levels, net new business, and currency translation.
- Third quarter earnings per share (EPS) increased 23% year over year to $2.78.
- Total revenue grew 9% year over year to approximately $3.5 billion, with fee revenue up nearly 12% excluding notable items.
Dafinchi