- Credit quality remained strong with NPAs at 0.19% of total assets and net charge-offs at 0.01% annualized.
- Deposit growth was sound at 5% quarter-over-quarter annualized with noninterest-bearing deposits holding steady at 90% of total deposits.
- Loan growth was strong at a 13% annualized pace for Q2, slightly ahead of expectations.
- Net interest income expanded to $40.3 million, up $2.1 million from the prior quarter, driven by higher loan yields.
- Net interest margin increased to 3.29%, an 8 basis point improvement over the previous quarter.
- Operating expenses were $32.6 million, at the low end of guidance, with increases mainly from merit increases and incentive compensation.
- Operating noninterest income rose by $300,000 to $8.9 million, exceeding projections due to insurance, mortgage banking, and capital markets revenues.
- SmartFinancial posted net income GAAP and operating of $11.7 million or $0.69 per diluted share for Q2 2025.
- Tangible book value increased to $24.42 per share including AOCI impact, representing over 13% annualized quarter-over-quarter growth.
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- Depreciation and amortization expenses increased significantly due to intangible asset amortization from acquisitions.
- Earnings from equity method investments turned negative, with losses of $0.8 million in Q4 and $2.8 million for the full year.
- Fiscal year 2025 net income was $17.3 million with non-GAAP adjusted net income before income taxes of $53.1 million and diluted EPS of $0.71.
- Full year gross profit increased 22% to $210.9 million or 1.92% of revenue, with higher profits from direct-to-consumer segment.
- Interest income decreased 34% in Q4 and 4% for the full year, while interest expense increased 34% in Q4 and 17% for the full year.
- Q4 2025 net income was $10.3 million with non-GAAP adjusted net income before income taxes of $19.2 million and diluted EPS of $0.41.
- Q4 gross profit increased 90% to $81.7 million, representing 3.25% of revenue, driven by acquisitions.
- SG&A expenses rose 135% in Q4 to $53.4 million due to compensation, advertising, consulting, and acquisition-related costs.
- In Q2 2025, Open Lending facilitated 26,522 certified loans, down from 28,963 in Q2 2024, reflecting tighter lending standards and targeted rate increases.
- Net income was $1 million in Q2 2025, down from $2.9 million in Q2 2024, and adjusted EBITDA was $4.1 million compared to $6.8 million in the prior year period.
- Operating expenses increased 9% year-over-year to $18.6 million, partly due to one-time severance charges, with further cost-saving measures planned for 2026.
- Profit share revenue per certified loan decreased to $289 in Q2 2025 from $552 in Q2 2024, reflecting a 72.5% loss ratio assumption and pricing adjustments.
- Program fee revenues were $14.9 million, profit share revenue was $8 million, and claims administration and other revenue totaled $2.4 million.
- The company repurchased approximately 2 million shares for $4 million in Q2 2025, with $21 million remaining in the repurchase program.
- Total revenue for Q2 2025 was $25.3 million, including an $8.3 million reduction in estimated profit share revenue from new originations compared to the prior year.
- Credit quality improved materially with net charge-offs less than $1 million when normalized for USPS and acquired portfolio impacts.
- EBITDA margin for the payments segment improved to approximately 14%, with a long-term goal of exceeding 40%.
- Factoring invoice size was influenced by customer mix and market pressures, with a diverse portfolio including both small and large carriers.
- Noninterest-bearing deposit growth was strong, driven by mortgage warehouse deposits and payments float.
- The Greenscreens acquisition added roughly $10 million in contracted ARR with an expected drag of about $3 million per quarter on earnings due to amortization and expenses.
- The second quarter 2025 results showed positive revenue growth, particularly in the transportation businesses.
- Consolidated net investment income increased 2% to $59.3 million due to higher portfolio yields.
- Diluted earnings per share increased to $1.93 from $1.91 year-over-year and $1.69 sequentially.
- Essent Group Ltd. reported net income of $195 million for Q2 2025, slightly down from $204 million a year ago.
- Essent Re's risk in force was $2.3 billion, supporting diversification and growth.
- Mortgage insurance in force grew 3% year-over-year to $247 billion with strong credit quality (weighted average FICO 746, original LTV 93%).
- Mortgage insurance net premium earned was $234 million, including $13.6 million from Essent Re third-party business.
- Operating expenses declined to $36.3 million with an expense ratio of 15.5%.
- Persistency remained stable at 86% for 12-months ending June 30, 2025.
- Provision for losses and loss adjustment expenses decreased to $15.4 million from $30.7 million in the prior quarter.
- Return on average equity was 14% annualized for the quarter.
- The company repurchased nearly 7 million shares year-to-date for approximately $390 million and declared a $0.31 dividend for Q3 2025.
Dafinchi