Financial Data and Key Metrics Changes - The company reported net income of $12.2 million, or $0.63 per share, with adjusted net income at $11.8 million, or $0.61 per share [11] - Net interest income increased to $36.4 million, up by $3.5 million or 11% on a linked quarter basis, with a margin of 229 basis points, reflecting a 34 basis point improvement [12] - Total loans decreased by $42 million or 1% from the previous quarter, including a 1% reduction in both residential and commercial loans [16] - In-market deposits reached an all-time high of $5.13 billion, up by $195 million or 4% [17] - Total equity increased to $522 million, up by $22 million from the end of Q4 [17] - The CET1 capital ratio improved by 56 basis points to 11.76% [18] Business Line Data and Key Metrics Changes - Wealth management revenues decreased to $9.9 million, down by $158,000 or 2% [13] - Mortgage banking revenues totaled $2.3 million, down by $544,000 or 19% [13] - The mortgage pipeline at March 31 was $95 million, up by $35 million or 59% from the end of December [14] Market Data and Key Metrics Changes - Broker deposits decreased by $270 million, and FHLB borrowings were down by $275 million, reflecting increases in deposits and cash redeployment [17] - The loan-to-deposit ratio decreased from 105.5% to 100.7% [17] Company Strategy and Development Direction - The company is focused on deposit growth strategies, achieving results in both in-market deposits and new households [7] - Retail branches are competing effectively, supplemented by a team of retail sales officers dedicated to enhancing loan and deposit opportunities [8] - The company aims for low single-digit growth in loans, with a strong pipeline building [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving low single-digit growth in loans despite challenges in the mortgage portfolio [30] - The company is closely monitoring the Fed's rate policy, with expectations for a net interest margin of 235 basis points for the next quarter [35] - Management indicated that the effective tax rate for the full year is expected to be 22.4% [16] Other Important Information - A pre-tax non-cash pension settlement charge of $6.4 million was recognized within non-interest expenses [14] - The allowance for credit losses totaled $41.1 million, providing MPL coverage of 190% [18] Q&A Session Summary Question: Impact of sale-leaseback and pension curtailment on operating costs - The sale-leaseback adds about $700,000 to occupancy and equipment costs annually, and there are no ongoing expenses related to the pension [24][26] Question: Size and complexion of loan pipelines - The commercial pipeline is a little over $100 million, with strong early-stage activity [30] Question: Expectations for net interest margin - The company anticipates a steady rise in net interest margin, with guidance limited to the next quarter [35] Question: Dividend payout ratio targets - The company aims to lower the dividend payout ratio, expecting to be in the mid to low 80s by the end of the year [37] Question: Interest rate sensitivity changes - The company has moved closer to rate neutral due to recent restructuring, reducing liability sensitivity [45] Question: Drivers of in-market core deposit growth - Strong organic deposit growth and targeted efforts by newly hired retail sales officers contributed to deposit growth [48] Question: Details on credit quality and specific loans - Management provided updates on non-accruing loans and ongoing efforts to resolve issues with specific properties [66][70]

For the quarter ended March 2025, Washington Trust Bancorp (WASH) reported revenue of $59.07 million, up 21% over the same period last year. EPS came in at $0.61, compared to $0.64 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $52.98 million, representing a surprise of +11.50%. The company delivered an EPS surprise of -1.61%, with the consensus EPS estimate being $0.62.While investors scrutinize revenue and earnings changes year-over-year and how they compare with ...

Washington Trust Bancorp (WASH) came out with quarterly earnings of $0.61 per share, missing the Zacks Consensus Estimate of $0.62 per share. This compares to earnings of $0.64 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -1.61%. A quarter ago, it was expected that this holding company for The Washington Trust Co. Would post earnings of $0.58 per share when it actually produced earnings of $0.59, delivering a surprise of 1. ...

Financial Performance - Washington Trust reported first quarter 2025 net income of $12.2 million, or $0.63 per diluted share, compared to a net loss of $60.8 million in the fourth quarter of 2024[2][3]. - Noninterest income was $22.6 million for the first quarter, a significant recovery from a loss of $77.9 million in the fourth quarter of 2024[6]. - Net income for the first quarter of 2025 was $12,179 thousand, a significant recovery from a net loss of $60,791 thousand in the previous quarter[30]. - Adjusted net income available to common shareholders was $11,762 thousand for the quarter ended March 31, 2025, compared to $9,356 thousand in the same quarter last year, representing a 25.7% increase[63]. - Basic earnings per common share for the first quarter of 2025 was $0.63, a recovery from a loss of $3.48 per share in the previous quarter[30]. Asset and Loan Management - Total loans amounted to $5.1 billion, down by 1% from the end of the preceding quarter, while in-market deposits increased to $5.0 billion, up by 4%[10][11]. - Total loans decreased to $5,096,210 thousand as of March 31, 2025, down from $5,137,838 thousand at December 31, 2024, indicating a reduction of approximately 1%[29]. - Residential mortgage loan originations for retention in portfolio increased to $27,662,000 for the three months ended March 31, 2025, compared to $15,155,000 in the previous quarter, a growth of 82.8%[38]. - Total commercial real estate loans decreased to $2,134,107 million as of March 31, 2025, from $2,154,504 million at December 31, 2024, reflecting a decline of approximately 0.93%[46]. Capital and Equity - Total shareholders' equity increased to $521.7 million, up by 4% from December 31, 2024, with a total risk-based capital ratio of 13.13%[20][21]. - Shareholders' equity increased to $521,680 thousand as of March 31, 2025, up from $499,728 thousand at December 31, 2024, representing an increase of approximately 4%[29]. - Tangible book value per share increased to $23.61 in Q1 2025 from $23.45 in Q1 2024[72]. - Tangible equity to tangible assets ratio improved to 6.98% in Q1 2025 from 5.56% in Q1 2024[72]. Income and Expense Metrics - The net interest margin increased to 2.29%, up by 34 basis points from 1.95% in the previous quarter, reflecting benefits from balance sheet repositioning transactions[4][5]. - Net interest income increased to $36,422 thousand for the three months ended March 31, 2025, compared to $31,665 thousand for the same period in 2024, reflecting an increase of about 15%[30]. - The efficiency ratio improved to 71.4% for the three months ended March 31, 2025, compared to 76.3% in the previous quarter, indicating better operational efficiency[33]. - Adjusted efficiency ratio improved to 68.7% in Q1 2025 from 73.5% in Q1 2024[65]. Credit Quality - The provision for credit losses was $1.2 million, up by $200 thousand from the previous quarter, with net charge-offs amounting to $2.3 million[17]. - Nonaccrual loans decreased to $21.6 million, or 0.42% of total loans, down from 0.45% at the end of the previous quarter[14]. - Nonperforming assets to total assets ratio improved to 0.33% as of March 31, 2025, compared to 0.34% at December 31, 2024[55]. - The allowance for credit losses on loans to nonaccrual loans ratio increased to 189.85% as of March 31, 2025, from 180.03% at December 31, 2024[55]. Dividends and Shareholder Returns - The Board declared a quarterly dividend of $0.56 per share, paid on April 11, 2025[21]. - The company declared cash dividends of $0.56 per share for the first quarter of 2025, consistent with the previous quarters[30]. Market Position and Deposits - Total deposits decreased to $5,040,581 thousand as of March 31, 2025, down from $5,115,800 thousand at December 31, 2024, a decline of about 1.5%[29]. - Noninterest-bearing demand deposits decreased to $625,590 million from $661,776 million, a decline of about 5.47%[49]. - Uninsured deposits increased to $1,378,312 million as of March 31, 2025, from $1,363,689 million at December 31, 2024, reflecting a growth of about 1.07%[50].

Equivalent of More Than 4.2 tons of Peanut Butter CollectedWESTERLY, R.I., April 16, 2025 /PRNewswire/ -- Washington Trust ("the Bank") today announced their 25th Annual Peanut Butter Drive collected 4,710 jars of peanut butter, and more than $6,100 in monetary donations, to benefit partner food banks and hunger relief agencies throughout the Bank's footprint - a 68% increase in donations from last year. Washington Trust's 25th annual Peanut Butter Drive resulted in more than 4,700 jars of peanut butter ...

In its upcoming report, Washington Trust Bancorp (WASH) is predicted by Wall Street analysts to post quarterly earnings of $0.62 per share, reflecting a decline of 3.1% compared to the same period last year. Revenues are forecasted to be $52.98 million, representing a year-over-year increase of 8.5%.The current level reflects no revision in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial proje ...

WESTERLY, R.I., April 10, 2025 /PRNewswire/ -- Washington Trust Bancorp, Inc. (NASDAQ: WASH), the publicly owned holding company of The Washington Trust Company, will release first quarter 2025 earnings and host a conference call with the Corporation's executives as follows: Earnings Release:        Monday, April 21, 2025, 8:00 a.m. ET Conference Call:            Monday, April 21, 2025, 10:00 a.m. ET Participant Dial In:          1-833-470-1428 (Toll-Free) International Dial In:        Globa ...

For transformation of former Union Station into reimagined food hall PROVIDENCE, R.I., March 31, 2025 /PRNewswire/ -- Washington Trust's Commercial Banking Group recently provided $11 million in financing to Track 15 Operating, LLC for construction and equipment financing for Track 15, an 18,000 square foot food hall located in the former Union Station, One Union Station, Providence, R.I. Washington Trust recently provided $11 million in financing to help launch Track 15, a modern food hall in Providence. P ...

Core Points - Washington Trust Charitable Foundation donated a total of $7,000 to local nonprofits in honor of seven employees recognized for their leadership and community service [1][2] - Each of the recognized employees selected a local nonprofit to receive a $1,000 contribution, with beneficiaries including Cranston League for Cranston's Future, Amos House, and Mentor Rhode Island [2][3] - In 2024, Washington Trust employees volunteered over 8,100 hours with more than 225 local nonprofit and community organizations [3] Company Overview - Washington Trust, founded in 1800, is the oldest community bank in the U.S. and the largest state-chartered bank headquartered in Rhode Island [5] - The bank offers a wide range of financial services including commercial banking, mortgage banking, personal banking, and wealth management across Rhode Island, Connecticut, and Massachusetts [5] - Washington Trust is a publicly-owned holding company traded on NASDAQ under the ticker symbol WASH [5]

Financial Position - As of December 31, 2024, Washington Trust had total assets of $6.9 billion, total deposits of $5.1 billion, and total shareholders' equity of $499.7 million[20]. - The total loan portfolio amounted to $5.1 billion, representing 74% of total assets, with commercial loans making up 52% of total loans[21][23]. - Commercial real estate (CRE) loans accounted for 80% of the commercial loan portfolio and 42% of the total loan portfolio as of December 31, 2024[24]. - The residential real estate loan portfolio represented 41% of total loans, with loans originated for sale to the secondary market providing funds for additional lending[27]. - Consumer loans constituted 7% of total loans, with home equity lines and loans representing 94% of the total consumer portfolio[29]. - Washington Trust's investment securities portfolio amounted to $916.3 million, or 13% of total assets, as of December 31, 2024[33]. - The Bank had advances payable to the Federal Home Loan Bank (FHLB) of $1.1 billion, with available borrowing capacity of $753 million as of December 31, 2024[36]. Income and Profitability - Adjusted noninterest income for 2024 was $63.05 million, compared to $56.14 million in 2023, reflecting an increase of approximately 12.5%[201]. - The adjusted income before income taxes for 2024 was $52.03 million, down from $56.48 million in 2023, indicating a decrease of about 7.9%[201]. - The adjusted net income available to common shareholders for 2024 was $40.87 million, compared to $44.84 million in 2023, representing a decline of approximately 8.8%[204]. - The effective tax rate for 2024 was 27.7%, while the adjusted effective tax rate was 21.5%, showing a significant impact from adjustments[201]. - The company reported a net loss of $28.06 million for 2024, compared to a net income of $48.18 million in 2023, indicating a substantial decline in profitability[201]. - Adjusted diluted earnings per common share for 2024 is $2.37, down from $2.63 in 2023, while reported diluted (loss) earnings per common share is ($1.63) compared to $2.82 in 2023[206]. - Adjusted dividend payout ratio increased to 94.51% in 2024 from 85.17% in 2023, while the reported dividend payout ratio is (137.4%) compared to 79.43% in 2023[206]. - Adjusted return on average assets for 2024 is 0.57%, slightly down from 0.64% in 2023, while reported return on average assets is (0.39%) compared to 0.69% in 2023[208]. - Adjusted return on average equity for 2024 is 8.52%, down from 9.85% in 2023, while reported return on average equity is (5.84%) compared to 10.57% in 2023[208]. Regulatory Environment - The Bank is subject to regulation and supervision by the FDIC, RI Division of Banking, and Connecticut Department of Banking[66]. - The Dodd-Frank Act allows state-chartered banks to establish new branches on an interstate basis[72]. - The Bank must obtain prior approval from the RI Division of Banking and the FDIC to acquire another bank or establish a new branch office[72]. - The Federal Reserve may require a banking organization to maintain capital above minimum levels due to financial condition or anticipated growth[78]. - The Bancorp is required to maintain a minimum common equity Tier 1 capital to risk-weighted assets ratio of 4.5%, a minimum Tier 1 capital to risk-weighted assets ratio of 6.0%, and a minimum total capital to risk-weighted assets ratio of 8.0%[81]. - The Bancorp is considered "well capitalized" under the FDIC's prompt corrective action rules if it maintains a total capital to risk-weighted assets ratio of 10.0% or greater[82]. - The Bancorp's ability to pay dividends is restricted if it does not maintain the required capital conservation buffer[87]. - The Federal Reserve may prohibit bank holding companies from paying dividends if such payment is deemed unsafe or unsound, particularly if it exceeds earnings for the period[87]. - The Bank is required to report any cash transactions involving at least $10,000 to the U.S. Treasury under the Bank Secrecy Act[94]. - Financial institutions must file suspicious activity reports for transactions over $5,000 that are suspected to involve illegal funds[94]. - The Bancorp and the Bank made a one-time, permanent election to exclude AOCI from capital[80]. - The capital adequacy rules specify minimum amounts of capital as a percentage of assets that banking organizations must maintain[81]. - The Bancorp's currently outstanding trust preferred securities were grandfathered under the Federal Reserve's capital rule[81]. Market and Economic Conditions - The company faces inflationary pressures, with elevated inflation levels continuing into 2024 and potentially remaining high in 2025, impacting operational results[102]. - The Federal Reserve raised the federal funds rate several times in 2023, which may affect the company's loan origination volume and interest rate spread[102]. - Increased market volatility and adverse changes in financial conditions may negatively impact the company's liquidity and competitive position[110]. - The company may experience higher rates of default in its commercial loan portfolio compared to residential mortgage loans due to economic conditions and borrower financial health[117]. - The company is exposed to credit and market risks in its investment securities portfolio, which could be adversely affected by reduced market liquidity and increased interest rates[125]. - A downgrade of U.S. government agency securities could materially impact the company's operations, earnings, and financial condition[126]. Strategic Initiatives - The company has adopted asset and liability management policies to mitigate adverse effects of interest rate changes on net interest income[106]. - The company relies on third-party vendors for key business infrastructure, and any issues with these vendors could adversely affect service delivery[134]. - The company competes with both financial and non-financial services firms, and emerging technologies may intensify competition in the financial services industry[142]. - The corporation's strategy focuses on leveraging its regional brand to build market share and enhance customer service through both in-person and digital banking solutions[212]. - The Bank agreed to provide $7.0 million in loan subsidies over a five-year period to increase home mortgage loans, home improvement loans, and home refinance loans in specific census tracts in Rhode Island[160]. - The Bank committed to $2.0 million for focused community outreach and marketing efforts over a five-year period, consistent with historical spending levels[160]. - The Bank plans to open two full-service branches in specific census tracts in Rhode Island, including a new branch in Olneyville[160]. - The corporation completed a public offering of 2,198,528 shares at $34.00 per share, raising net proceeds of $70.5 million for investments and balance sheet optimization[214]. - The corporation sold available for sale debt securities with an amortized cost of $409.5 million, realizing a net pre-tax loss of $31.0 million, and reinvested $378.4 million into higher-yielding securities[215]. - The corporation committed to sell residential mortgage loans with an amortized cost of $344.6 million, resulting in a net pre-tax loss of $62.9 million recognized in Q4 2024[216]. - The corporation's risk management program includes oversight of credit risk, interest rate risk, liquidity risk, and operational risk to ensure informed decision-making[218]. Operational Risks - The company faces significant cybersecurity risks that could disrupt operations and damage customer trust[133]. - The company has implemented comprehensive cybersecurity measures, including regular assessments and third-party audits, to mitigate risks associated with cybersecurity threats[165]. - The Audit Committee oversees the cybersecurity program, receiving regular reports on the status of control environments and material security risks[175]. - The Bank may face significant legal risks from regulatory investigations and private actions, which could result in financial liability and reputational damage[162]. - Changes in tax laws and regulations could adversely impact the Bank's financial statements and effective income tax rate[148]. - The Bank's ability to raise additional capital may be affected by market conditions and financial performance, which could lead to regulatory restrictions[151]. - The Bank's stock price and trading volume can be volatile, influenced by various factors including operating results and market conditions[150]. - The Bank's wealth management business is subject to extensive regulation, which could limit activities and impose fines[157]. - The Bank's operations may be adversely affected by natural disasters, acts of terrorism, and other external events, impacting financial condition and results[144].