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Enterprise Bancorp(EBTC) - 2025 Q1 - Quarterly Results
EBTCEnterprise Bancorp(EBTC)2025-04-17 21:15

Financial Performance - Net income for Q1 2025 was 10.4million,or10.4 million, or 0.84 per diluted share, compared to 10.7million,or10.7 million, or 0.86 per diluted share in Q4 2024, and 8.5million,or8.5 million, or 0.69 per diluted share in Q1 2024[1]. - Net income for the first quarter of 2025 was 10,435thousand,adecreaseof2.710,435 thousand, a decrease of 2.7% compared to 10,727 thousand in the previous quarter[35]. - The diluted earnings per common share for the quarter was 0.84,adecreasefrom0.84, a decrease from 0.86 in the previous quarter, reflecting a decline of 2.33%[37]. Loan and Deposit Growth - Total loans increased by 1.7% to 4.05billioncomparedtothepreviousquarter,withayear−over−yeargrowthof114.05 billion compared to the previous quarter, with a year-over-year growth of 11%[3][7]. - Total deposits increased to 4,300,643 thousand as of March 31, 2025, compared to 4,187,698thousandatDecember31,2024,reflectingagrowthof2.74,187,698 thousand at December 31, 2024, reflecting a growth of 2.7%[33]. - Total customer deposits decreased to 4,150,668 thousand as of March 31, 2025, down from 4,187,698thousandatDecember31,2024,adeclineof0.874,187,698 thousand at December 31, 2024, a decline of 0.87%[39]. Interest Income and Margin - Net interest income for Q1 2025 was 38.7 million, an increase of 3.5million,or103.5 million, or 10%, compared to Q1 2024[4]. - Net interest margin improved to 3.32% in Q1 2025, up from 3.20% in Q1 2024[5]. - Net interest income for the three months ended March 31, 2025, was 38,690 thousand, up 1.0% from 38,493thousandinthepreviousquarter[35].Non−InterestIncomeandExpenses−Non−interestincomedecreasedby38,493 thousand in the previous quarter[35]. Non-Interest Income and Expenses - Non-interest income decreased by 307 thousand, or 6%, to 5.2millioncomparedtoQ12024,primarilyduetoadecreaseingainsonequitysecurities[13].−Non−interestexpenseincreasedby5.2 million compared to Q1 2024, primarily due to a decrease in gains on equity securities[13]. - Non-interest expense increased by 1.0 million, or 4%, to 29.9millioncomparedtoQ12024,drivenbyhighersalariesandmerger−relatedexpenses[14].−Non−interestincomeforthefirstquarterof2025was29.9 million compared to Q1 2024, driven by higher salaries and merger-related expenses[14]. - Non-interest income for the first quarter of 2025 was 5,188 thousand, down from 5,616thousandinthepreviousquarter,adeclineof7.65,616 thousand in the previous quarter, a decline of 7.6%[35]. Asset Growth - Total assets increased by 2% to 4.90 billion at March 31, 2025, compared to 4.83billionatDecember31,2024[16].−Totalassetsincreasedto4.83 billion at December 31, 2024[16]. - Total assets increased to 4,900,489 thousand as of March 31, 2025, up from 4,827,726thousandatDecember31,2024,representingagrowthof1.54,827,726 thousand at December 31, 2024, representing a growth of 1.5%[33]. - The total assets of the company were 4,847,481 thousand, reflecting an increase from 4,786,191thousandinthepreviousquarter[40].CreditLossesandReserves−Theprovisionforcreditlossesdecreasedby4,786,191 thousand in the previous quarter[40]. Credit Losses and Reserves - The provision for credit losses decreased by 291 thousand to 331thousandcomparedtoQ12024,mainlyduetoanetdecreaseinreservesonindividuallyevaluatedloans[11].−Provisionforcreditlosseswas331 thousand compared to Q1 2024, mainly due to a net decrease in reserves on individually evaluated loans[11]. - Provision for credit losses was 331 thousand for Q1 2025, compared to a reversal of 106thousandinthepreviousquarter[35].−Non−performingloansincreasedto106 thousand in the previous quarter[35]. - Non-performing loans increased to 28,479 thousand, representing 0.70% of total loans as of March 31, 2025, compared to 0.67% in the previous quarter[37]. Equity and Capital - Total shareholders' equity increased by 7% to 385.4millionatMarch31,2025,comparedto385.4 million at March 31, 2025, compared to 360.7 million at December 31, 2024[21]. - The book value per common share increased to 30.80asofMarch31,2025,upfrom30.80 as of March 31, 2025, up from 28.98 at December 31, 2024, a growth of 6.28%[37]. - The Tier 1 capital to risk-weighted assets ratio remained stable at 10.39% as of March 31, 2025, compared to 10.38% in the previous quarter[37]. Mergers and Future Outlook - The anticipated merger with Rockland Trust is expected to close in the second half of 2025, with shareholder approval received on April 3, 2025[2][3]. - The company is in the process of a proposed merger with Independent, which may impact future performance and market position[30].