OFG Bancorp(OFG) - 2025 Q1 - Quarterly Results

Financial Performance - 1Q25 diluted EPS was $1.00, down from$ 1.09 in 4Q24 and $1.05 in 1Q24[1] - Total core revenues for 1Q25 were$ 178.3 million, compared to $181.9 million in 4Q24 and$ 174.2 million in 1Q24[1] - Net income available to common stockholders for Q1 2025 was $45,572, down from$ 50,347 in Q4 2024, a decline of 15.0%[28] - The efficiency ratio improved to 52.42% in Q1 2025 from 54.82% in Q4 2024[26] Interest Income and Margin - Net interest margin for 1Q25 was 5.42%, with a return on average assets of 1.56% and return on average tangible common equity of 15.28%[3] - Total interest income decreased to $189.2 million in 1Q25 from$ 190.2 million in 4Q24, impacted by two fewer business days[4] - Net interest income for Q1 2025 was $149,071, a slight decrease from$ 149,138 in Q4 2024[26] Loans and Credit Losses - Total provision for credit losses was $25.7 million in 1Q25, compared to$ 30.2 million in 4Q24, reflecting increased loan volume[7] - New loan production for 1Q25 was $558.9 million, down from$ 609.0 million in 4Q24, with seasonal declines in Puerto Rico lending[12] - Total loans held for investment increased to $7,852,644 thousand in Q1 2025 from$ 7,791,962 thousand in Q4 2024, representing a growth of 0.78%[37] - The net charge-off rate for Q1 2025 was 1.05%, up from 0.82% in Q4 2024[26] Deposits and Capital - Customer deposits increased by $308.4 million to$ 9.76 billion in 1Q25, driven by growth in demand, savings, and time deposits[13] - CET1 ratio was 14.3% in 1Q25, reflecting strong capital levels[2] - The company repurchased $23.4 million of common shares and increased the common dividend by 20% during the quarter[2] Asset and Equity Growth - Total assets increased to$ 11,729,257 thousand as of March 31, 2025, up from $11,500,734 thousand in the previous quarter, representing a growth of 1.99%[29] - Total stockholders' equity increased to$ 1,295,361,000 in Q1 2025 from $1,254,371,000 in Q4 2024, indicating a growth of approximately 3.4%[42] - Book value per common share increased to$ 28.83 in Q1 2025 from $27.60 in Q4 2024[26] Nonperforming Loans and Delinquency - Total nonperforming loans decreased to$ 87,484 thousand in Q1 2025 from $82,983 thousand in Q4 2024, indicating a reduction of 5.69%[37] - The total delinquency rate (30 days and over past due) for all loans was 3.49% in Q4 2024, down from 4.38% in Q3 2024, showing a decline of 20.27%[35] - Early delinquency rates (30 - 89 days past due) for auto loans were 4.96% in Q1 2025, down from 6.67% in Q4 2024, a decrease of 25.66%[35] Charge-Offs - Total net charge-offs for Q1 2025 were$ 20,370,000, an increase from $15,862,000 in Q4 2024, representing a 28.5% rise[33] - Consumer charge-offs in Q1 2025 reached$ 8,252,000, slightly up from $8,242,000 in Q4 2024, indicating a marginal increase of 0.1%[33] - Total mortgage charge-offs in Q1 2025 were$ 23,000, compared to $24,000 in Q4 2024, indicating a decrease of 4.2%[33] Ratios and Capital Calculations - The tangible common equity (TCE) ratio for Q1 2025 was reported at 10.30%, an increase from 10.13% in Q4 2024[41] - Common equity Tier 1 capital ratio is calculated based on Common equity Tier 1 capital divided by risk-weighted assets [16] - Total risk-based capital ratio is calculated based on Total risk-based capital divided by risk-weighted assets [18]