ServisFirst Bancshares(US:SFBS)2025-04-21 20:05Financial Performance - Net income for Q1 2025 was $63.2 million, a decrease of 3.0% from Q4 2024 but an increase of 26.4% from Q1 2024[4] - Diluted earnings per share for Q1 2025 were $1.16, down 2.5% from Q4 2024 but up 26.1% from Q1 2024[4] - Net income for Q1 2025 reached $63,224,000, compared to $50,026,000 in Q1 2024, reflecting a 26.3% increase[24] - Basic earnings per common share rose to $1.16 in Q1 2025, compared to $0.92 in Q1 2024[27] - Net income available to common stockholders for Q1 2025 was $63,224 thousand, a slight decrease from $65,142 thousand in Q4 2024, showing resilience amid challenging conditions[31] Asset and Deposit Growth - Total deposits increased by $886 million, or 26.3% annualized, from Q4 2024, and by $1.68 billion, or 13.2%, from Q1 2024[11] - Total deposits increased to $14,429,061,000 in Q1 2025, compared to $12,751,448,000 in Q1 2024, a growth of 13.2%[20] - Total assets as of March 31, 2025, were $18,636,766,000, up from $15,721,630,000 a year earlier, indicating a growth of 18.3%[20] - Total assets increased by 19% to $18,636,766 thousand in March 2025 from $15,721,630 thousand in March 2024[26] Loan Performance - Loans grew by $281 million, or 9.0% annualized, from Q4 2024, and by $1.01 billion, or 8.5%, from Q1 2024[10] - Loans increased by 9% to $12,886,831 thousand in Q1 2025 from $11,880,696 thousand in Q1 2024[28] - Interest income from loans increased to $196,936 thousand in Q1 2025, up from $186,978 thousand in Q1 2024[27] Credit Quality and Provisions - Non-performing assets to total assets were 0.40%, an increase from 0.22% in Q1 2024[12] - The allowance for credit losses as a percentage of total loans was 1.28% as of March 31, 2025[12] - The provision for credit losses was $6,630,000 in Q1 2025, compared to $4,535,000 in Q1 2024, indicating a cautious approach to credit risk management[20] - Nonperforming loans to total loans ratio increased to 0.57% in Q1 2025 from 0.34% in Q4 2024, indicating a rise in troubled loans[29] - Net charge-offs increased to $5,894 thousand in Q1 2025 from $2,695 thousand in Q4 2024, highlighting a significant rise in loan defaults[29] Income and Expense Analysis - Net interest income for Q1 2025 was $123.6 million, compared to $102.5 million in Q1 2024[9] - Non-interest income decreased by $631,000, or 7.1%, to $8.3 million for Q1 2025 compared to Q1 2024[13] - Non-interest expense decreased by $124,000, or 0.3%, to $46.1 million for Q1 2025 compared to Q1 2024[14] - Salary and benefit expense decreased by $107,000, or 0.5%, to $22.9 million for Q1 2025 from $23.0 million in Q1 2024[14] Efficiency and Profitability Ratios - Return on average common stockholders' equity was 15.63%, up from 13.82% in Q1 2024[8] - The efficiency ratio improved to 34.97% in Q1 2025 from 43.30% in Q1 2024[14] - Return on average assets for Q1 2025 was 1.45%, an increase from 1.26% in Q1 2024, indicating improved profitability[24] Market Expansion and Strategic Initiatives - Management is exploring opportunities for new market expansions in the Southeast[3]