Enterprise Bancorp(US:EBTC)2025-04-17 21:15Financial Performance - Net income for Q1 2025 was $10.4 million, or $0.84 per diluted share, compared to $10.7 million, or $0.86 per diluted share in Q4 2024, and $8.5 million, or $0.69 per diluted share in Q1 2024[1]. - Net income for the first quarter of 2025 was $10,435 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, 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 $4.05 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 $4,187,698 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 $4,187,698 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 $3.5 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 $38,493 thousand in the previous quarter[35]. Non-Interest Income and Expenses - Non-interest income decreased by $307 thousand, or 6%, to $5.2 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 $29.9 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 $5,616 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 $4.83 billion at December 31, 2024[16]. - Total assets increased to $4,900,489 thousand as of March 31, 2025, up from $4,827,726 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 $4,786,191 thousand in the previous quarter[40]. Credit Losses and Reserves - The provision for credit losses decreased by $291 thousand to $331 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 $106 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 $385.4 million at March 31, 2025, compared to $360.7 million at December 31, 2024[21]. - The book value per common share increased to $30.80 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].