分组1 - Cathay General (CATY) reported quarterly earnings of $1.1 per share, matching the Zacks Consensus Estimate, and showing an increase from $0.97 per share a year ago [1] - The company posted revenues of $196.61 million for the quarter ended June 2025, exceeding the Zacks Consensus Estimate by 0.31% and up from $178.53 million year-over-year [2] - Cathay has surpassed consensus revenue estimates three times over the last four quarters [2] 分组2 - The stock's immediate price movement will depend on management's commentary during the earnings call [3] - Cathay shares have increased about 1% since the beginning of the year, compared to a 7.2% gain in the S&P 500 [3] 分组3 - The current consensus EPS estimate for the upcoming quarter is $1.13 on revenues of $202 million, and for the current fiscal year, it is $4.47 on revenues of $795 million [7] - The Zacks Industry Rank for Banks - West is in the top 28% of over 250 Zacks industries, indicating a favorable outlook for the industry [8]

Financial Performance - Net income for the second quarter of 2025 was $77.4 million, with diluted EPS of $1.10[5, 64] - Return on average assets (ROAA) was 1.15% and return on average equity (ROAE) was 9.84% for 2Q25[5] - Pre-Tax Pre-Provision (PTPP) income was $119 million, with a PTPP ratio of 2.03%[8] - Net interest income increased to $181.2 million, a 3% increase compared to the previous quarter[64] - Total noninterest income was $15.4 million, a 37% increase compared to the previous quarter[64] Balance Sheet - Total assets reached $23.724 billion, a $520 million increase from the previous quarter[11] - Gross loans, net of fees, amounted to $19.771 billion, a $430 million increase from the previous quarter[11] - Total deposits reached $20.006 billion, a $189 million increase from the previous quarter[11] - The net loans-to-deposit ratio was 98%[13] Loan Portfolio - Total loans amounted to $19.8 billion, with Commercial Real Estate (CRE) comprising 52% of the portfolio[9, 15] - Average loan growth quarter-over-quarter annualized was +1.6%[15] - The total CRE portfolio was $10.4 billion, with a weighted average LTV of 49%[15, 29]

[Financial Performance and Highlights](index=1&type=section&id=Financial%20Performance%20and%20Highlights) The company reported strong Q2 2025 net income growth, an improved net interest margin, and a new stock repurchase program [Overall Financial Performance](index=1&type=section&id=Overall%20Financial%20Performance) Cathay General Bancorp reported strong Q2 2025 net income of $77.5 million with improved profitability and efficiency ratios Q2 2025 Financial Performance Summary | Metric | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Net Income (millions) | $77.5 | $69.5 | $66.8 | | Diluted EPS | $1.10 | $0.98 | $0.92 | | Return on Average Assets | 1.33% | 1.22% | 1.15% | | Return on Average Equity | 10.72% | 9.84% | 9.63% | | Efficiency Ratio | 45.34% | 45.60% | 55.65% | [Second Quarter Highlights](index=1&type=section&id=Second%20Quarter%20Highlights) Key highlights include a rising net interest margin, a new $150.0 million stock repurchase program, and growth in total loans and deposits - The net interest margin increased to **3.27%** in Q2 2025 from 3.25% in Q1 2025[8](index=8&type=chunk) - A new stock repurchase program of up to **$150.0 million** was announced; in Q2 2025, the company repurchased 804,179 shares for a total of **$35.6 million**[5](index=5&type=chunk) - Total loans grew by **2.23%** to **$19.78 billion**, and total deposits increased by **0.95%** to **$20.01 billion** during the second quarter[8](index=8&type=chunk) [Detailed Financial Analysis (Q2 2025 vs. Q1 2025)](index=1&type=section&id=Detailed%20Financial%20Analysis%20(Q2%202025%20vs.%20Q1%202025)) This chapter provides a detailed comparison of the company's income statement and balance sheet between Q2 and Q1 2025 [Income Statement Review](index=1&type=section&id=Income%20Statement%20Review) Net income grew 11.5% quarter-over-quarter, driven by higher net interest and non-interest income and a lower credit provision - Net income increased by **11.5%** to **$77.5 million**, and diluted EPS rose to **$1.10** from $0.98 in the prior quarter[6](index=6&type=chunk) - Return on average stockholders' equity improved to **10.72%** from 9.84%, and return on average assets increased to **1.33%** from 1.22% in Q1 2025[7](index=7&type=chunk) [Net Interest Income](index=2&type=section&id=Net%20interest%20income%20before%20provision%20for%20credit%20losses) Net interest income rose 2.6% to $181.2 million, supported by an expanded net interest margin of 3.27% - Net interest income increased by **$4.6 million (2.6%)** to **$181.2 million** compared to Q1 2025[9](index=9&type=chunk) Key Interest Rate Metrics (Q2 2025 vs Q1 2025) | Metric | Q2 2025 | Q1 2025 | | :--- | :--- | :--- | | Net Interest Margin | 3.27% | 3.25% | | Yield on Avg. Interest-Earning Assets | 5.83% | 5.89% | | Cost of Funds on Avg. Interest-Bearing Liabilities | 3.37% | 3.46% | | Net Interest Spread | 2.46% | 2.43% | [Provision for Credit Losses](index=2&type=section&id=Provision%20for%20credit%20losses) The provision for credit losses decreased to $11.2 million, though net charge-offs increased significantly to $12.7 million - Provision for credit losses was **$11.2 million** in Q2 2025, down from $15.5 million in Q1 2025[11](index=11&type=chunk) Net Charge-offs (in thousands) | Period | Q2 2025 | Q1 2025 | Q2 2024 | | :--- | :--- | :--- | :--- | | Total Charge-offs | $13,030 | $2,344 | $8,257 | | Total Recoveries | $289 | $367 | $260 | | **Net Charge-offs** | **$12,741** | **$1,977** | **$7,997** | - The allowance for credit losses decreased to **$183.4 million (0.93% of gross loans)** from $185.0 million (0.96% of gross loans) at the end of Q1 2025[11](index=11&type=chunk) [Non-interest Income](index=3&type=section&id=Non-interest%20income) Non-interest income grew 37.5% to $15.4 million, mainly from lower equity security losses and higher swap fees - Non-interest income rose **$4.2 million (37.5%)** to **$15.4 million** in Q2 2025[13](index=13&type=chunk) - Key drivers for the increase were a lower loss on equity securities (by **$2.8 million**) and higher fees from interest rate swaps (by **$1.8 million**)[13](index=13&type=chunk) [Non-interest Expense](index=3&type=section&id=Non-interest%20expense) Non-interest expense increased 4.0% to $89.1 million, yet the efficiency ratio improved to 45.34% - Non-interest expense increased by **$3.4 million (4.0%)** to **$89.1 million** in Q2 2025[14](index=14&type=chunk) - The efficiency ratio improved to **45.34%** in Q2 2025 from 45.60% in Q1 2025[14](index=14&type=chunk) [Income Taxes](index=3&type=section&id=Income%20taxes) The effective tax rate for Q2 2025 was 19.56%, slightly down from the previous quarter - The effective tax rate was **19.56%** for Q2 2025, compared to 19.82% for Q1 2025[15](index=15&type=chunk) [Balance Sheet Review](index=3&type=section&id=BALANCE%20SHEET%20REVIEW) The balance sheet expanded with gross loans growing 2.23% to $19.78 billion and total deposits up 1.0% to $20.01 billion Loan Composition (in thousands) | Loan Type | June 30, 2025 | March 31, 2025 | % Change | | :--- | :--- | :--- | :--- | | Commercial loans | $3,194,724 | $2,998,423 | 6.5% | | Construction loans | $301,125 | $332,729 | -9.5% | | Commercial real estate | $10,363,109 | $10,160,934 | 2.0% | | Residential mortgage | $5,692,142 | $5,623,564 | 1.2% | | **Gross loans** | **$19,784,702** | **$19,353,003** | **2.2%** | Deposit Composition (in thousands) | Deposit Type | June 30, 2025 | March 31, 2025 | % Change | | :--- | :--- | :--- | :--- | | Non-interest-bearing | $3,381,407 | $3,361,245 | 0.6% | | NOW deposits | $2,174,108 | $2,131,445 | 2.0% | | Money market deposits | $3,431,060 | $3,423,953 | 0.2% | | Savings deposits | $1,317,104 | $1,266,561 | 4.0% | | Time deposits | $9,702,651 | $9,634,324 | 0.7% | | **Total deposits** | **$20,006,330** | **$19,817,528** | **1.0%** | [Asset Quality and Capital Adequacy](index=4&type=section&id=Asset%20Quality%20and%20Capital%20Adequacy) This chapter reviews the company's asset quality metrics and strong capital position as of Q2 2025 [Asset Quality Review](index=4&type=section&id=ASSET%20QUALITY%20REVIEW) Asset quality weakened slightly with non-performing assets increasing 14.9% to $199.5 million Non-Performing Assets (in thousands) | Category | June 30, 2025 | March 31, 2025 | % Change | | :--- | :--- | :--- | :--- | | Total non-accrual loans | $174,153 | $154,626 | 12.6% | | Total non-performing loans | $180,542 | $155,221 | 16.3% | | Other real estate owned | $18,990 | $18,484 | 2.7% | | **Total non-performing assets** | **$199,532** | **$173,705** | **14.9%** | Key Asset Quality Ratios | Ratio | June 30, 2025 | March 31, 2025 | | :--- | :--- | :--- | | Allowance for loan losses to gross loans | 0.88% | 0.90% | | Allowance for loan losses to non-performing loans | 96.12% | 112.06% | | Non-performing assets to total assets | 0.84% | 0.75% | [Capital Adequacy Review](index=5&type=section&id=CAPITAL%20ADEQUACY%20REVIEW) The company maintained a robust capital position, exceeding all "well capitalized" regulatory requirements - The company continues to be classified as **"well capitalized"** for regulatory purposes[22](index=22&type=chunk) Capital Ratios | Ratio | June 30, 2025 | March 31, 2025 | | :--- | :--- | :--- | | Tier 1 risk-based capital ratio | 13.35% | 13.58% | | Total risk-based capital ratio | 14.92% | 15.19% | | Tier 1 leverage capital ratio | 11.09% | 11.06% | [Year-to-Date Performance Review](index=5&type=section&id=Year-to-Date%20Performance%20Review) This chapter summarizes the company's financial performance for the first six months of 2025 compared to the prior year [Six-Month Performance Summary (YTD 2025 vs. YTD 2024)](index=5&type=section&id=Six-Month%20Performance%20Summary%20(YTD%202025%20vs.%20YTD%202024)) Year-to-date net income grew 6.3% to $147.0 million, driven by margin expansion and improved efficiency Year-to-Date Financial Performance | Metric | Six months ended June 30, 2025 | Six months ended June 30, 2024 | | :--- | :--- | :--- | | Net Income (millions) | $147.0 | $138.3 | | Diluted EPS | $2.09 | $1.90 | | Net Interest Margin | 3.26% | 3.03% | | Return on Average Assets | 1.27% | 1.19% | | Return on Average Equity | 10.28% | 10.01% | | Efficiency Ratio | 45.46% | 54.45% | [Consolidated Financial Statements](index=8&type=section&id=Consolidated%20Financial%20Statements) This section presents the detailed consolidated financial statements and supplementary financial data for the period [Consolidated Financial Highlights](index=8&type=section&id=CONSOLIDATED%20FINANCIAL%20HIGHLIGHTS) This section provides a detailed tabular summary of key financial performance metrics and ratios for comparative periods - The table presents key financial data including net interest income, net income, earnings per share, profitability ratios (ROA, ROE), efficiency ratio, and yield analysis for comparative quarterly and six-month periods[31](index=31&type=chunk) [Condensed Consolidated Balance Sheets](index=9&type=section&id=CONDENSED%20CONSOLIDATED%20BALANCE%20SHEETS) The company's financial position shows total assets grew to $23.72 billion as of June 30, 2025 - The balance sheet details assets such as loans and securities, and liabilities including deposits and borrowings, providing a snapshot of the company's financial health at the end of the period[33](index=33&type=chunk) [Condensed Consolidated Statements of Operations](index=10&type=section&id=CONDENSED%20CONSOLIDATED%20STATEMENTS%20OF%20OPERATIONS) This statement details the components of revenue and expenses that resulted in the company's quarterly net income - This statement shows the components of revenue and expenses, illustrating how the company arrived at its net income of **$77.5 million** for Q2 2025[35](index=35&type=chunk) [Average Balances and Yields](index=12&type=section&id=AVERAGE%20BALANCES%20%E2%80%93%20SELECTED%20CONSOLIDATED%20FINANCIAL%20INFORMATION) This analysis of average balances, yields, and costs explains the key drivers of the net interest margin - The tables show average balances for interest-earning assets and interest-bearing liabilities, along with the calculated yields and rates, which are used to determine net interest spread and margin[37](index=37&type=chunk)[38](index=38&type=chunk) [GAAP to Non-GAAP Reconciliation](index=14&type=section&id=GAAP%20to%20NON-GAAP%20RECONCILIATION) This section reconciles GAAP measures to non-GAAP metrics like tangible book value per share, which was $36.16 - The company provides a reconciliation for tangible equity and tangible assets, which are considered supplemental measures of performance[41](index=41&type=chunk) Key Non-GAAP Metrics (as of June 30, 2025) | Metric | Value | | :--- | :--- | | Tangible equity to tangible assets ratio | 10.74% | | Tangible book value per share | $36.16 | | Return on tangible common equity (annualized) | 12.39% | [Other Information](index=6&type=section&id=Other%20Information) This section provides details on the upcoming conference call, company background, and forward-looking statements [Conference Call Information](index=6&type=section&id=CONFERENCE%20CALL) A conference call to discuss Q2 2025 financial results is scheduled for July 22, 2025 - A conference call is scheduled for **July 22, 2025, at 3:00 p.m. PT** to discuss the quarterly results[26](index=26&type=chunk) [About Cathay General Bancorp](index=6&type=section&id=ABOUT%20CATHAY%20GENERAL%20BANCORP) Cathay General Bancorp is the holding company for Cathay Bank, which operates branches across the U.S. and Asia - Cathay General Bancorp is the holding company for Cathay Bank, which was founded in 1962 and operates over 60 branches in the U.S. and has an international presence in Asia[27](index=27&type=chunk) [Forward-Looking Statements](index=6&type=section&id=FORWARD-LOOKING%20STATEMENTS) This section contains a legal disclaimer regarding forward-looking statements and associated risks and uncertainties - The press release includes forward-looking statements that are subject to risks and uncertainties, and readers are cautioned not to place undue reliance on them[28](index=28&type=chunk)[29](index=29&type=chunk)

Core Viewpoint - Cathay General (CATY) is anticipated to report a year-over-year increase in earnings driven by higher revenues, with the actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The upcoming earnings report is expected to be released on July 22, with a consensus EPS estimate of $1.10 per share, reflecting a year-over-year increase of +13.4% [3]. - Revenues are projected to reach $196 million, which is a 9.8% increase from the same quarter last year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised 0.44% higher, indicating a positive reassessment by analysts [4]. - The Most Accurate Estimate for Cathay is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +0.76%, suggesting a bullish outlook on the company's earnings prospects [12]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [10]. - Cathay currently holds a Zacks Rank of 2, which, combined with the positive Earnings ESP, suggests a high likelihood of beating the consensus EPS estimate [12]. Historical Performance - In the last reported quarter, Cathay exceeded the expected earnings of $0.95 per share by delivering $0.98, resulting in a surprise of +3.16% [13]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [14].

Core Viewpoint - Momentum investing focuses on following a stock's recent price trends, aiming to buy high and sell higher, with the expectation that established trends will continue [1] Company Summary: Cathay General (CATY) - Cathay General currently holds a Momentum Style Score of B, indicating potential as a solid momentum pick [2][3] - The company has a Zacks Rank of 2 (Buy), which historically outperforms the market when combined with a Style Score of A or B [3] Price Performance - Over the past week, CATY shares increased by 5.62%, outperforming the Zacks Banks - West industry, which rose by 5.2% [5] - In the last month, CATY's price change was 10.23%, compared to the industry's 11.14% [5] - Over the past quarter, CATY shares rose by 27.58%, and over the last year, they increased by 31.14%, while the S&P 500 only moved 16.66% and 14.76% respectively [6] Trading Volume - The average 20-day trading volume for CATY is 467,017 shares, which serves as a bullish indicator when combined with rising stock prices [7] Earnings Outlook - In the past two months, one earnings estimate for CATY increased, while none decreased, raising the consensus estimate from $4.46 to $4.47 [9] - For the next fiscal year, one estimate has moved upwards with no downward revisions during the same period [9] Conclusion - Considering the positive price trends, trading volume, and earnings outlook, CATY is positioned as a 2 (Buy) stock with a Momentum Score of B, making it a potential candidate for near-term investment [11]

Industry Overview - A number of regional banks have announced significant new share buyback authorizations, indicating a level of industry-wide confidence and suggesting these firms are well-capitalized to return excess funds to shareholders [1][17]. Fifth Third Bancorp (FITB) - Fifth Third Bancorp has initiated a buyback program allowing for the repurchase of up to 100 million shares, representing approximately 15% of its outstanding shares as of June 20 [2]. - The bank's Common Equity Tier 1 (CET1) ratio is nearly 10.5%, exceeding the regulatory requirement of approximately 7.7%, which supports its ability to buy back shares [5][6]. - The firm generates around $1 billion in cash flow per quarter from its bond portfolio, further bolstering its confidence in executing buybacks [7]. Citizens Financial Group (CFG) - Citizens Financial Group has increased its share buyback authorization to $1.5 billion, which is about 8.3% of its market capitalization [9]. - The company's CET1 ratio stands at 10.6%, reflecting strong financial performance and confidence in its capital return strategy [9]. Cathay General Bancorp (CATY) - Cathay General Bancorp announced a $150 million share repurchase program, equating to around 5% of its $3 billion market cap [11]. - The bank's CET1 ratio is nearly 13.6%, indicating strong capital strength to support ongoing shareholder returns [12]. Third Coast Bancshares (TCBX) - Third Coast Bancshares announced a $30 million buyback authorization, which is approximately 7.1% of its $424 million market cap [14]. - The company's CET1 ratio has improved to 8.7%, up from 8% a year ago, indicating enhanced financial stability [15]. RBB Bancorp (RBB) - RBB Bancorp announced an $18 million buyback program, equal to around 6.2% of its $291 million market cap [16]. - The company's CET1 ratio is approximately 17.9%, showcasing strong capital adequacy [16].

Financial Performance - Net income for the first quarter of 2025 was $69,506 thousand, down 2.6% from $71,435 thousand in Q1 2024[18]. - Basic net income per common share of $0.99 for Q1 2025, slightly up from $0.98 in Q1 2024[19]. - Total comprehensive income for Q1 2025 was $83,366 thousand, compared to $64,572 thousand in Q1 2024, an increase of 29.1%[18]. - Net income for Q1 2025 was $69,506,000, a decrease from $71,435,000 in Q1 2024, representing a decline of approximately 2%[32]. - Non-interest income for the three months ended March 31, 2025, was $11.2 million, a significant increase from $6.6 million in the same period of 2024, reflecting a growth of approximately 69.5%[146]. - The company reported a non-interest loss of $1.884 million for Q1 2025, an improvement from a loss of $5.315 million in Q1 2024[146]. Asset and Deposit Growth - Total assets increased to $23,205,022 thousand as of March 31, 2025, compared to $23,054,681 thousand at December 31, 2024, reflecting a growth of 0.65%[15]. - Total deposits rose to $19,817,528 thousand as of March 31, 2025, up from $19,686,199 thousand at the end of 2024, marking an increase of 0.66%[15]. - Cash and due from banks increased to $175,027 thousand as of March 31, 2025, compared to $157,167 thousand at December 31, 2024, reflecting a growth of 11.4%[15]. - The company reported an increase in cash, cash equivalents, and restricted cash to $1,384,514,000 as of March 31, 2025, compared to $1,175,935,000 at the end of Q1 2024, marking an increase of approximately 17.7%[23]. Credit Losses and Provisions - The provision for credit losses increased significantly to $15,500 thousand in Q1 2025, compared to only $1,900 thousand in Q1 2024, indicating a heightened risk environment[18]. - The allowance for loan losses increased to $173,936 thousand as of March 31, 2025, compared to $161,765 thousand as of December 31, 2024, reflecting an increase of approximately 7.5%[48]. - The allowance for credit losses (ACL) is based on management's estimates of lifetime expected credit losses, considering historical experience and economic forecasts[73]. Loan Performance - Total gross loans amounted to $19,353,003 thousand, a slight decrease from $19,375,955 thousand as of December 31, 2024, representing a decline of approximately 0.12%[48]. - The recorded investment in non-accrual loans was $154.6 million as of March 31, 2025, down from $169.2 million as of December 31, 2024, indicating a reduction of about 8.5%[48]. - Non-accrual loans represented 11.9% of the contractual balances as of March 31, 2025, slightly up from 11.8% as of December 31, 2024[48]. - The company has no specific industry concentration, with loan clients primarily located in high-density Asian-populated areas across several major U.S. cities and Hong Kong[47]. Expenses and Dividends - Non-interest expense decreased to $85,656 thousand in Q1 2025, down from $93,239 thousand in Q1 2024, a reduction of 8.1%[18]. - Cash dividends paid were $23,855,000 in Q1 2025, slightly down from $24,708,000 in Q1 2024[23]. - The company maintained a cash dividend of $0.34 per common share for both Q1 2025 and Q1 2024, indicating stable dividend policy[19]. Stock and Equity - The company repurchased 876,906 shares at an average cost of $46.83, totaling $41.1 million, completing its stock buyback program initiated in May 2024[156]. - The total stockholders' equity rose to $2,865,159 thousand as of March 31, 2025, compared to $2,845,704 thousand at the end of 2024, an increase of 0.68%[15]. - Total equity increased to $2.87 billion as of March 31, 2025, up by $19.5 million from $2.85 billion as of December 31, 2024, driven by net income of $69.5 million and other comprehensive income of $13.9 million[153]. Securities and Fair Value - As of March 31, 2025, the total amortized cost of available-for-sale (AFS) securities was $1,535,896 thousand, with a fair value of $1,434,040 thousand, reflecting a decrease in fair value of approximately 6.6%[40]. - The company recognized an unrealized net loss of $4.2 million for equity securities in Q1 2025, a significant improvement compared to a net loss of $9.0 million in Q1 2024[42]. - The total fair value of financial assets measured at fair value on a recurring basis as of March 31, 2025, was $1,495.8 million, compared to $1,620.5 million as of December 31, 2024[110]. Economic Outlook and Strategy - The company plans to continue expanding its market presence, particularly in affordable housing investments[25]. - The company expects loans to be paid off from borrowers' operating profits, refinancing, or sale of secured collateral, indicating a focus on borrower performance for loan recovery[47]. - The company has adopted ASU 2022-02, impacting the accounting for troubled debt restructurings and allowing for a more tailored approach to loan modifications[54].

Group 1 - The article discusses the challenges faced by Cathay General Bancorp in increasing its net interest margin due to high deposit costs and a loan-to-deposit ratio close to 100% [1] - The management's limited flexibility in adjusting financial strategies is highlighted, indicating potential difficulties in improving profitability [1] Group 2 - The author emphasizes a fundamental analysis approach, focusing on actual company performance rather than market trends, which is crucial for long-term investment strategies [1] - The article serves as a platform for sharing insights and engaging with the investment community, reflecting the author's commitment to continuous learning in the financial markets [1]

Core Viewpoint - Cathay General Bancorp is conducting its Q1 2025 Earnings Conference Call to discuss financial results and future outlook [1]. Group 1: Company Participants - The call features key company participants including Georgia Lo (Investor Relations), Chang Liu (President and CEO), and Heng Chen (EVP, CFO and Treasurer) [2][3]. Group 2: Conference Call Structure - The conference call is structured with an initial presentation followed by a question and answer session, and it is being recorded for future access [1][2].

Financial Performance - Net income for the first quarter of 2025 was $69.5 million[5], with diluted earnings per share (EPS) at $0.98[5] - The return on average assets (ROAA) was 1.23% and the return on average equity (ROAE) was 10.40%[5] - Pre-Tax Pre-Provision (PTPP) income was $111 million[8], with a PTPP ratio of 1.92%[8] - Net interest income increased to $176.6 million, a 3% increase compared to the previous quarter[64] Balance Sheet Summary - Total assets reached $23.204 billion, an increase of $149 million from the previous quarter[11] - Gross loans, net of fees, amounted to $19.341 billion[11] - Total deposits were $19.818 billion, up by $131 million from the previous quarter[11] - The net loans-to-deposit ratio was 97%[13] Loan Portfolio - Total loans amounted to $19.4 billion[9] - Commercial Real Estate (CRE) loans comprised 53% of the total loan portfolio, totaling $10.2 billion[15, 26] - Residential mortgage loans accounted for 30% of the total loan portfolio, totaling $5.9 billion[15, 26] - C&I loans represented 15% of the total loan portfolio, amounting to $3.0 billion[15, 26] Asset Quality - The allowance for credit losses (ALLL) totaled $175 million[11] - Classified loans represented 1.96% of total gross loans[48] - Non-performing assets (NPA) accounted for 0.75% of total assets[51] Deposits - Total deposits reached $19.8 billion[9] - Time deposits accounted for 49% of total deposits[56]