Core Viewpoint - Meridian Corporation reported strong financial performance for the second quarter of 2025, with significant increases in net income and pre-provision net revenue, driven by improved margins and strong loan sales [2][5][7]. Financial Performance - Net income for Q2 2025 was $5.6 million, or $0.49 per diluted share, representing a 133% increase from the previous quarter [5][30]. - Pre-provision net revenue (PPNR) rose to $11.1 million, up 57% from Q2 2024 [5][30]. - The net interest margin improved to 3.54%, with loan yield increasing to 7.24% [5][30]. Loan and Deposit Growth - Loan growth for the quarter was 2.5%, with management forecasting an annual growth rate of 8-10% [2][5]. - Total assets remained stable at $2.5 billion, with portfolio loans growing by $36.2 million, or 1.7% quarter-over-quarter [19][20]. - Total deposits decreased by $18.4 million, or 0.9%, primarily due to a decline in non-interest bearing deposits [22][23]. Non-Interest Income - Total non-interest income increased by $4.0 million, or 54.1%, driven by a significant rise in mortgage banking income and SBA loan income [15][16]. - Mortgage banking income reached $5.8 million, a 69.8% increase from the previous quarter [15][16]. Non-Interest Expense - Total non-interest expense rose by $2.6 million, or 13.9%, with notable increases in salaries and employee benefits [18][30]. - Salaries and employee benefits increased by $1.8 million, reflecting the hiring of additional staff [18]. Asset Quality - Non-performing loans decreased by $1.7 million to $50.5 million, improving the ratio of non-performing loans to total loans to 2.35% [24][26]. - Net charge-offs increased to $3.6 million, or 0.17% of total average loans, compared to 0.14% in the previous quarter [25][30]. Capital and Equity - Total stockholders' equity increased by $4.5 million to $178.0 million, supported by net income and dividends paid [23][30]. - The Community Bank Leverage Ratio was reported at 9.32% as of June 30, 2025 [23][30].

Exhibit 99.1 Meridian Corporation Reports Second Quarter 2025 Results and Announces a Quarterly Dividend of $0.125 per Common Share. MALVERN, PA., July 24, 2025 — Meridian Corporation (Nasdaq: MRBK) today reported: | | | | Three Months Ended | | | | | --- | --- | --- | --- | --- | --- | --- | | | | June 30, | March 31, | | June 30, | | | (Dollars in thousands, except per share data)((Unaudited) | 2025 | | 2025 | | 2024 | | | Income: | | | | | | | | Net income | | $ 5,592 | $ | 2,399 | $ | 3,326 | | Diluted ...

In Illinois, 34.3% of counties are considered maternity healthcare deserts, according to the March of Dimes, with those living in some counties needing to travel between 47 and 59 miles to a birthing hospital. The program expansion connects patients to an in-person care team based on the patient's location and ability to access in-person care. If in-person care remains a challenge, the mobile clinic will offer scheduled prenatal and postpartum care where and when it's convenient for patients who are within ...

Highlights:Meridian drills more multiple stacked layers of shallow high-grade Au-Cu-Ag ore at Cabaçal;— CD-702: 28.6m @ 3.5g/t AuEq (2.6% CuEq) from 127.6m; including:3.9m @ 6.1g/t AuEq (4.5% CuEq) from 136.7m;2.8m @ 9.4g/t AuEq (6.9% CuEq) from 143.8;1.8m @ 5.7g/t AuEq (4.3% CuEq) from 149.1m;2.8m @ 9.0g/t AuEq (6.7% CuEq) from 155.9m;Multiple zones of high-grade copper with peak grades assaying 10.6% Cu and 11.0% Cu;— CD-693: 14.3m @ 2.9g/t AuEq (2.1% CuEq) from 77.3m; including:2.3m @ 9.4g/t AuEq (7.0% ...

Back at the tail end of December of last year, I made the tough decision to downgrade Meridian Corporation (NASDAQ: MRBK ) from a ‘buy’ to a ‘hold’. Leading up to that point, shares of the company had risen by 18% atCrude Value Insights offers you an investing service and community focused on oil and natural gas. We focus on cash flow and the companies that generate it, leading to value and growth prospects with real potential.Subscribers get to use a 50+ stock model account, in-depth cash flow analyses of ...

Group 1 - The company is reducing its mortgage banking income estimate due to a weak housing market [1] - The expected EPS for the company in 2025 has been revised down to $1.43 from a previous estimate of $1.67 [1]

[Part I - Financial Information](index=6&type=section&id=PART%20I%20FINANCIAL%20INFORMATION) This section presents the unaudited financial statements, management's discussion, market risk disclosures, and internal controls [Financial Statements (Unaudited)](index=6&type=section&id=Item%201%20Financial%20Statements%20(Unaudited)) This section presents Meridian Corporation's unaudited consolidated financial statements, detailing financial position, performance, and cash flows [Consolidated Balance Sheets](index=6&type=section&id=Consolidated%20Balance%20Sheets) This section details the company's financial position, including assets, liabilities, and equity, at specific quarter-end dates Consolidated Balance Sheet Highlights (in millions USD) | Financial Metric | March 31, 2025 (USD) | December 31, 2024 (USD) | | :--- | :--- | :--- | | **Total Assets** | $2,528.9 million | $2,385.9 million | | **Loans, net of ACL** | $2,050.8 million | $2,012.0 million | | **Total Deposits** | $2,128.7 million | $2,005.4 million | | **Total Liabilities** | $2,355.3 million | $2,214.3 million | | **Total Stockholders' Equity** | $173.6 million | $171.5 million | [Consolidated Statements of Income](index=7&type=section&id=Consolidated%20Statements%20of%20Income) This section presents the company's revenues, expenses, and net income over the quarter, reflecting its operational profitability Consolidated Statements of Income Highlights (in millions USD) | Financial Metric | Q1 2025 (USD) | Q1 2024 (USD) | | :--- | :--- | :--- | | **Net Interest Income** | $19.8 million | $16.6 million | | **Provision for Credit Losses** | $5.2 million | $2.9 million | | **Total Non-interest Income** | $7.3 million | $8.0 million | | **Total Non-interest Expense** | $18.7 million | $18.2 million | | **Net Income** | $2.4 million | $2.7 million | | **Diluted EPS** | $0.21 | $0.24 | [Consolidated Statements of Cash Flows](index=10&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) This section details the sources and uses of cash across operating, investing, and financing activities for the period - Net cash provided by operating activities was **$18.1 million** in Q1 2025, a significant improvement from a net use of **$1.7 million** in Q1 2024[22](index=22&type=chunk) - Net cash used in investing activities decreased to **$51.8 million** in Q1 2025 from **$78.7 million** in Q1 2024, primarily due to a lower net increase in loans[22](index=22&type=chunk) - Net cash from financing activities increased substantially to **$137.5 million** in Q1 2025 from **$46.8 million** in Q1 2024, driven by a large net increase in deposits[22](index=22&type=chunk) [Notes to Consolidated Financial Statements](index=12&type=section&id=Notes%20to%20Consolidated%20Financial%20Statements) These notes provide detailed disclosures on accounting policies, financial statement items, and segment performance, offering deeper insights - The investment portfolio's unrealized loss position of **$9.5 million** on available-for-sale securities is primarily due to changes in market interest rates, and management does not believe an allowance for credit losses is warranted for these securities[35](index=35&type=chunk)[36](index=36&type=chunk) - Nonaccrual loans increased to **$51.8 million** as of March 31, 2025, from **$45.1 million** at December 31, 2024, mainly due to risk rating downgrades in the SBA loan portfolio[54](index=54&type=chunk) - The Allowance for Credit Losses (ACL) increased to **$20.8 million** at March 31, 2025, from **$18.4 million** at year-end 2024, with a provision of **$5.2 million** recorded for the quarter[57](index=57&type=chunk) - The company utilizes interest rate swaps as cash flow hedges to manage interest rate risk on borrowings and as fair value hedges on certain residential mortgage loans[124](index=124&type=chunk)[125](index=125&type=chunk) Segment Income (Loss) Before Taxes (Q1 2025, in millions USD) | Segment (Q1 2025) | Income (Loss) Before Taxes (USD) | | :--- | :--- | | Banking | $3.6 million | | Wealth Management | $0.7 million | | Mortgage | ($1.2 million) | [Management's Discussion and Analysis (MD&A)](index=39&type=section&id=Item%202%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses the company's financial condition, operational results, asset quality, and capital, highlighting key drivers and trends [Financial Condition](index=39&type=section&id=Financial%20Condition) This section analyzes the company's balance sheet, focusing on changes in assets, liabilities, and equity over the period - Total assets increased by **$143.0 million (6.0%)** to **$2.5 billion** from December 31, 2024, to March 31, 2025[141](index=141&type=chunk) - Portfolio loans grew by **$42.0 million (2.1%)**, driven by increases in commercial real estate (**$21.2 million**) and construction loans (**$18.3 million**)[141](index=141&type=chunk)[164](index=164&type=chunk) - Total deposits grew by **$123.4 million (6.2%)**, highlighted by a significant **$82.6 million (34.3%)** increase in non-interest bearing deposits[141](index=141&type=chunk)[166](index=166&type=chunk) [Results of Operations](index=40&type=section&id=Results%20of%20Operations) This section analyzes the company's income statement, detailing revenue, expenses, and profitability drivers for the quarter Key Operating Results (in millions USD, except EPS and percentages) | Metric | Q1 2025 (USD) | Q1 2024 (USD) | | :--- | :--- | :--- | | **Net Income** | $2.4 million | $2.7 million | | **Diluted EPS** | $0.21 | $0.24 | | **Return on Average Assets** | 0.40% | 0.47% | | **Return on Average Equity** | 5.57% | 6.73% | - Net interest income increased **19.1%** YoY to **$19.8 million**, and the net interest margin expanded to **3.46%** from **3.09%**, largely due to lower deposit and borrowing costs[145](index=145&type=chunk)[155](index=155&type=chunk) - The provision for credit losses increased by **$2.3 million** YoY, driven by loan growth, charge-offs, and unfavorable changes in macroeconomic forecasts[157](index=157&type=chunk) - Non-interest income decreased **8.3%** YoY to **$7.3 million**, primarily due to declines in mortgage banking income (**-$0.241 million**) and SBA loan income (**-$0.238 million**)[145](index=145&type=chunk)[159](index=159&type=chunk) - Non-interest expense increased **3.1%** YoY to **$18.7 million**, mainly from a **$0.812 million** rise in salaries and employee benefits[145](index=145&type=chunk)[161](index=161&type=chunk) [Asset Quality](index=49&type=section&id=Asset%20Quality) This section assesses the quality of the company's loan portfolio and other assets, including non-performing assets and credit loss allowances - The ratio of non-performing assets to total assets increased to **2.07%** at March 31, 2025, from **1.90%** at December 31, 2024[172](index=172&type=chunk)[177](index=177&type=chunk) - Total non-performing loans rose by **$7.1 million** to **$52.2 million** since year-end, largely due to downgrades in the SBA loan portfolio[172](index=172&type=chunk) - The allowance for credit losses as a percentage of total loans (excluding fair value loans) increased to **1.01%** from **0.91%** at year-end 2024[174](index=174&type=chunk) [Capital and Liquidity](index=49&type=section&id=Capital%20and%20Liquidity) This section evaluates the company's capital adequacy and liquidity position, crucial for financial stability and operational resilience - The Bank remains well-capitalized, with a Tier 1 leverage ratio of **9.30%** as of March 31, 2025, well above the **5.00%** regulatory minimum[171](index=171&type=chunk) - Stockholders' equity was **$173.6 million**, representing **6.9%** of total assets[169](index=169&type=chunk) - The company maintains access to approximately **$640.5 million** in liquidity from various sources, including the FHLB and other correspondent banks[179](index=179&type=chunk) [Market Risk Disclosures](index=53&type=section&id=Item%203%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) The company assesses interest rate risk through simulations of Net Interest Income (NII) and Economic Value of Equity (EVE), indicating sensitivity to rate changes Net Interest Income (NII) Sensitivity Simulation (12-month ramp) | NII Simulation (12-month ramp) | % Change in NII | | :--- | :--- | | +100 basis points | +0.94% | | -100 basis points | -1.12% | Economic Value of Equity (EVE) Sensitivity Simulation (Immediate shock) | EVE Simulation (Immediate shock) | % Change in EVE | | :--- | :--- | | +100 basis points | +5% | | -100 basis points | -9% | [Controls and Procedures](index=54&type=section&id=Item%204%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal control over financial reporting during the quarter - The CEO and CFO concluded that disclosure controls and procedures were effective as of March 31, 2025[204](index=204&type=chunk) - No changes in internal control over financial reporting were identified that have materially affected, or are reasonably likely to materially affect, the Corporation's internal controls[205](index=205&type=chunk) [Part II - Other Information](index=55&type=section&id=PART%20II%20OTHER%20INFORMATION) This section confirms no new legal proceedings, no material changes to risk factors, and no unregistered equity sales or senior security defaults - The company reports no legal proceedings for the period[207](index=207&type=chunk) - There have been no material changes in risk factors from those disclosed in the Annual Report on Form 10-K for the year ended December 31, 2024[207](index=207&type=chunk)

Company Performance - Meridian Bank reported quarterly earnings of $0.21 per share, missing the Zacks Consensus Estimate of $0.33 per share, and down from $0.24 per share a year ago, representing an earnings surprise of -36.36% [1] - The bank posted revenues of $27.1 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 4.24%, compared to year-ago revenues of $24.59 million [2] - Over the last four quarters, the company has surpassed consensus EPS estimates two times and topped consensus revenue estimates three times [2] Stock Performance - Meridian Bank shares have increased by approximately 3.4% since the beginning of the year, contrasting with the S&P 500's decline of -6.8% [3] - The current consensus EPS estimate for the upcoming quarter is $0.44, with expected revenues of $30.32 million, and for the current fiscal year, the EPS estimate is $1.72 on revenues of $121.52 million [7] Industry Outlook - The Zacks Industry Rank for Banks - Northeast is currently in the top 26% of over 250 Zacks industries, indicating a favorable outlook for the industry [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that the industry outlook can significantly impact stock performance [5][8]

[Financial Highlights and CEO Commentary](index=1&type=section&id=Financial%20Highlights%20and%20CEO%20Commentary) The company reported Q1 2025 results, highlighting strong PPNR growth despite lower net income and providing CEO commentary on key business drivers [Q1 2025 Financial Highlights](index=1&type=section&id=Q1%202025%20Financial%20Highlights) The company reported Q1 2025 net income of $2.4 million, with strong PPNR growth offset by lower earnings compared to prior periods **Q1 2025 Key Financial Metrics** | (Dollars in thousands, except per share data) | March 31, 2025 | December 31, 2024 | March 31, 2024 | |---|---|---|---| | Net income | $2,399 | $5,600 | $2,676 | | Diluted earnings per common share | $0.21 | $0.49 | $0.24 | | Pre-provision net revenue (PPNR) (Non-GAAP) | $8,357 | $11,167 | $6,419 | - The Board of Directors declared a quarterly cash dividend of **$0.125 per common share**, payable May 19, 2025[7](index=7&type=chunk) - Key performance metrics for Q1 2025 include a **3.46% net interest margin**, **$2.5 billion in total assets**, **3% quarterly commercial loan growth**, and **6% quarterly deposit growth**[7](index=7&type=chunk) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) The CEO noted strong PPNR growth and improved net interest margin, despite earnings being impacted by higher provisions for distressed SBA loans - Q1 2025 earnings were negatively affected by higher provisioning for distressed SBA loans, which have been impacted by dramatic rate rises[2](index=2&type=chunk) - The net interest margin showed consistent improvement, reaching **3.46% in Q1 2025**[2](index=2&type=chunk) - Annualized loan growth was **12% in the first quarter**, with commercial/industrial lending benefiting from strategic hiring[3](index=3&type=chunk) - Meridian Wealth Partners continued its strong performance, with pre-tax income of **$726 thousand** for the quarter[4](index=4&type=chunk) - The mortgage group experienced a larger pre-tax loss compared to Q1 2024, primarily due to lower volume and a reduced number of loan officers[5](index=5&type=chunk) [Financial Performance Analysis](index=3&type=section&id=Financial%20Performance%20Analysis) This section details the quarter-over-quarter changes in the income statement and balance sheet, analyzing key drivers of performance [Income Statement Analysis (Q1 2025 vs Q4 2024)](index=3&type=section&id=Income%20Statement%20Analysis%20(Q1%202025%20vs%20Q4%202024)) Net income decreased to $2.4 million, driven by lower non-interest income and higher credit provisions, partially offset by improved net interest income [Net Interest Income](index=3&type=section&id=Net%20Interest%20Income) Net interest income rose to $19.8 million, with the net interest margin expanding to 3.46% due to a lower cost of deposits - Net interest income increased by **$477 thousand** quarter-over-quarter[10](index=10&type=chunk) - The net interest margin increased by **17 basis points to 3.46%** as the cost of funds declined[14](index=14&type=chunk) - The overall cost of deposits dropped by **21 basis points**, and total interest expense decreased by $1.3 million[13](index=13&type=chunk) [Provision for Credit Losses](index=4&type=section&id=Provision%20for%20Credit%20Losses) The provision for credit losses increased by $1.6 million to $5.2 million, driven by a rise in non-performing SBA loans - The provision for credit losses increased by **$1.6 million to $5.2 million** in Q1 2025[15](index=15&type=chunk) - The increase was driven by a **$7.1 million rise in non-performing loans**, leading to a $2.3 million increase in specific reserves[15](index=15&type=chunk) [Non-interest Income](index=4&type=section&id=Non-interest%20Income) Non-interest income fell by 44.8% to $7.3 million, primarily due to a non-recurring gain on MSR sales in the prior quarter **Non-interest Income Breakdown** | (Dollars in thousands) | Q1 2025 | Q4 2024 | $ Change | % Change | |---|---|---|---|---| | Mortgage banking income | $3,393 | $5,516 | $(2,123) | (38.5)% | | Net (loss) gain on sale of MSRs | $(52) | $3,992 | $(4,044) | (101.3)% | | SBA loan income | $748 | $1,143 | $(395) | (34.6)% | | **Total non-interest income** | **$7,324** | **$13,279** | **$(5,955)** | **(44.8)%** | - SBA loan sales totaled **$12.1 million**, a decrease of $7.8 million (39.1%) from the previous quarter, leading to lower SBA loan income[17](index=17&type=chunk) [Non-interest Expense](index=4&type=section&id=Non-interest%20Expense) Non-interest expense decreased by 12.5% to $18.7 million, driven by lower salary and occupancy costs **Non-interest Expense Breakdown** | (Dollars in thousands) | Q1 2025 | Q4 2024 | $ Change | % Change | |---|---|---|---|---| | Salaries and employee benefits | $11,385 | $12,429 | $(1,044) | (8.4)% | | Occupancy and equipment | $1,338 | $2,270 | $(932) | (41.1)% | | Professional fees | $763 | $1,134 | $(371) | (32.7)% | | **Total non-interest expense** | **$18,743** | **$21,411** | **$(2,668)** | **(12.5)%** | [Balance Sheet Analysis (March 31, 2025 vs Dec 31, 2024)](index=6&type=section&id=Balance%20Sheet%20Analysis%20(March%2031%2C%202025%20vs%20Dec%2031%2C%202024)) Total assets grew 6.0% to $2.5 billion, driven by loan growth and a significant temporary customer deposit - Total assets increased by **$142.7 million (6.0%) to $2.5 billion**, partly due to a temporary $103 million deposit from a customer[20](index=20&type=chunk) - Portfolio loan growth was **$42.0 million (2.1%)**, driven by increases in commercial mortgage ($21.2M), construction ($18.3M), and small business loans ($5.3M)[21](index=21&type=chunk) - Total deposits grew by **$123.4 million (6.2%)**, led by an $82.6 million increase in non-interest bearing deposits[22](index=22&type=chunk) - Total stockholders' equity increased by **$1.7 million to $173.3 million**, after accounting for net income of $2.4 million and dividends paid of $1.4 million[23](index=23&type=chunk) [Asset Quality](index=6&type=section&id=Asset%20Quality) Asset quality deteriorated as non-performing loans rose to 2.49% of total loans, though net charge-offs decreased - Non-performing loans increased by **$7.1 million to $52.2 million** at March 31, 2025, compared to the prior quarter[24](index=24&type=chunk) - The ratio of non-performing loans to total loans rose to **2.49% from 2.19%** quarter-over-quarter, led by a $6.9 million increase in non-performing SBA loans[25](index=25&type=chunk) - Net charge-offs as a percentage of total average loans decreased to **0.14%** for Q1 2025, down from 0.34% in Q4 2024[26](index=26&type=chunk) - The allowance for credit losses to total loans increased to **1.01% from 0.91%** at the end of the prior quarter[27](index=27&type=chunk) [Financial Statements and Ratios](index=3&type=section&id=Financial%20Statements%20and%20Ratios) This section presents key financial statements and performance ratios for the company over recent periods [Key Financial Data and Ratios](index=3&type=section&id=Key%20Financial%20Data%20and%20Ratios) Key ratios for Q1 2025 show decreased profitability and deteriorating asset quality, but an improved net interest margin **Selected Financial Ratios** | (Annualized Ratios) | Q1 2025 | Q4 2024 | Q1 2024 | |---|---|---|---| | Return on average assets | 0.40% | 0.92% | 0.47% | | Return on average equity | 5.57% | 13.01% | 6.73% | | Net interest margin (tax-equivalent) | 3.46% | 3.29% | 3.09% | | Non-performing loans to total loans | 2.49% | 2.19% | 1.93% | [Condensed Consolidated Statements of Income](index=10&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) The company reported net income of $2.4 million on total revenues of $27.1 million for the first quarter of 2025 **Income Statement Summary** | (Dollars in thousands) | Q1 2025 | Q4 2024 | Q1 2024 | |---|---|---|---| | Net interest income | $19,776 | $19,299 | $16,609 | | Provision for credit losses | $5,212 | $3,572 | $2,866 | | Total non-interest income | $7,324 | $13,279 | $7,984 | | Total non-interest expense | $18,743 | $21,411 | $18,174 | | **Net income** | **$2,399** | **$5,600** | **$2,676** | [Condensed Consolidated Statements of Condition (Balance Sheet)](index=11&type=section&id=Condensed%20Consolidated%20Statements%20of%20Condition%20(Balance%20Sheet)) The balance sheet shows total assets of $2.53 billion and total stockholders' equity of $173.3 million as of March 31, 2025 **Balance Sheet Summary** | (Dollars in thousands) | March 31, 2025 | December 31, 2024 | |---|---|---| | **Total assets** | **$2,528,586** | **$2,385,867** | | Loans and other finance receivables, net | $2,050,848 | $2,011,999 | | Total deposits | $2,128,742 | $2,005,368 | | Total liabilities | $2,355,320 | $2,214,345 | | **Total stockholders' equity** | **$173,266** | **$171,522** | [Segment Information](index=13&type=section&id=Segment%20Information) The Bank and Wealth segments remained profitable in Q1 2025, while the Mortgage segment reported a wider pre-tax loss **Segment Pre-Tax Income** | Income (loss) before income taxes (in thousands) | Q1 2025 | Q1 2024 | |---|---|---| | Bank | $3,648 | $3,540 | | Wealth | $726 | $478 | | Mortgage | $(1,229) | $(465) | | **Total** | **$3,145** | **$3,553** | [Appendix: Non-GAAP Measures](index=14&type=section&id=Appendix%3A%20Non-GAAP%20Measures) This appendix provides reconciliations of non-GAAP financial measures to their most directly comparable GAAP measures [Non-GAAP Reconciliations](index=14&type=section&id=Non-GAAP%20Reconciliations) Reconciliations show Q1 2025 PPNR of $8.4 million and a tangible book value per share of $15.03 **Reconciliation of Pre-Provision Net Revenue (Non-GAAP)** | (Dollars in thousands) | Q1 2025 | Q4 2024 | Q1 2024 | |---|---|---|---| | Income before income tax expense (GAAP) | $3,145 | $7,595 | $3,553 | | Provision for credit losses | $5,212 | $3,572 | $2,866 | | **Pre-provision net revenue (Non-GAAP)** | **$8,357** | **$11,167** | **$6,419** | **Reconciliation of Tangible Book Value per Common Share (Non-GAAP)** | (Per share data) | March 31, 2025 | December 31, 2024 | |---|---|---| | Book value per common share (GAAP) | $15.35 | $15.26 | | **Tangible book value per common share (Non-GAAP)** | **$15.03** | **$14.93** | - The Tangible Common Equity to Tangible Assets ratio for the Corporation was **6.72%** as of March 31, 2025, down from 7.05% at the end of the prior quarter[43](index=43&type=chunk)

Core Insights - Meridian Corporation reported a net income of $2.4 million for Q1 2025, a decrease from $2.7 million in Q1 2024, while pre-provision net revenue (PPNR) increased by 30.2% to $8.4 million [1][2][5] - The company faced challenges due to higher provisioning related to distressed SBA loans, impacted by rising interest rates, but showed improvement in net interest margin, which reached 3.46% [2][5][6] Financial Performance - Net income for Q1 2025 was $2.4 million, or $0.21 per diluted share, down from $5.6 million, or $0.49 per diluted share in Q4 2024 [1][5][31] - PPNR increased by $1.9 million, or 30.2%, compared to Q1 2024 [5][31] - Total assets grew to $2.5 billion, a 6.0% increase from $2.4 billion at the end of Q4 2024 [18][21] Loan and Deposit Growth - Loan growth was annualized at 12%, with commercial loans increasing by $49.5 million, or 3% for the quarter [3][19] - Total deposits increased by $123.4 million, or 6.2%, with non-interest-bearing deposits rising by $82.6 million, or 34% [20][21] Non-Interest Income and Expenses - Total non-interest income decreased by $6.0 million, or 44.8%, primarily due to a lack of gains on the sale of mortgage servicing rights (MSRs) [15][16] - Non-interest expenses decreased by $2.7 million, or 12.5%, driven by reductions in salaries and employee benefits, occupancy costs, and professional fees [17][32] Asset Quality - Non-performing loans increased by $7.1 million to $52.2 million, with a ratio of non-performing loans to total loans rising to 2.49% [22][23] - The provision for credit losses increased to $5.2 million, reflecting the rise in non-performing loans [14][31] Wealth Management Performance - Meridian Wealth Partners reported pre-tax income of $726 thousand for the quarter, supported by a slight increase in assets under management [4]