Cathay General Bancorp(CATY) - 2025 Q1 - Quarterly Results

Financial Performance - Net income for the first quarter of 2025 was $69.5 million, a decrease of$ 10.7 million, or 13.3%, compared to $80.2 million in the fourth quarter of 2024[6] - Net income for the three months ended March 31, 2025, was$ 69,506,000, down from $80,201,000 in the same period last year, a decrease of 13.5%[39] - Tangible net income decreased to$ 69,705,000 from $80,381,000, reflecting a decline of 13.3% year-over-year[39] - The effective tax rate for the first quarter of 2025 was 19.82%, compared to 7.57% for the fourth quarter of 2024[17] Loans and Credit Losses - Total loans decreased to$ 19.35 billion, or 0.12%, from $19.38 billion in the fourth quarter of 2024[8] - The provision for credit losses was$ 15.5 million in the first quarter of 2025, compared to $14.5 million in the fourth quarter of 2024[12] - Provision for credit losses rose to$ 15.5 million for the first quarter of 2025, up from $14.5 million in the previous quarter[30] - Allowance for loan losses increased by 8% to$ 173.9 million as of March 31, 2025, from $161.8 million as of December 31, 2024[23] - Total non-accrual loans decreased by$ 14.6 million, or 8.6%, to $154.6 million as of March 31, 2025[21] - Non-accrual loans decreased by$ 14.5 million, or 8.6%, primarily contributing to the reduction in non-performing assets[23] Deposits and Assets - Total deposits increased by $131.3 million, or 0.7%, to$ 19.82 billion in the first quarter of 2025[8] - Total deposits rose to $19,817,528 thousand as of March 31, 2025, compared to$ 19,686,199 thousand at December 31, 2024, indicating an increase of 0.67%[32] - Total assets increased to $23,205,022 thousand as of March 31, 2025, compared to$ 23,054,681 thousand at December 31, 2024, reflecting a growth of 0.65%[32] - Total assets reached $23,205,022,000, a slight increase from$ 23,054,681,000, representing a growth of 0.7%[39] Income and Expenses - Net interest income before provision for credit losses increased by $5.6 million, or 3.3%, to$ 176.6 million during the first quarter of 2025[9] - Non-interest income decreased by $4.3 million, or 27.6%, to$ 11.2 million for the first quarter of 2025[15] - Non-interest expense increased by $0.5 million, or 0.6%, to$ 85.7 million in the first quarter of 2025[16] - Total non-interest expense was $85,656 thousand for the three months ended March 31, 2025, slightly up from$ 85,219 thousand in the same period of 2024[34] Capital and Equity - The Tier 1 risk-based capital ratio was 13.57% as of March 31, 2025, compared to 13.54% as of December 31, 2024, indicating strong capital adequacy[24] - Stockholders' equity increased to $2,865,159,000 as of March 31, 2025, compared to$ 2,845,704,000 as of March 31, 2024, reflecting a growth of 0.5%[39] - Tangible equity rose to $2,486,362,000, up from$ 2,466,673,000 year-over-year, indicating a 0.8% increase[39] - The total stockholders' equity to total assets ratio improved slightly to 12.35% from 12.34% year-over-year[39] Shareholder Information - Cash dividends paid per common share remained stable at $0.34 for the first quarter of 2025, consistent with the previous quarter[30] - The number of common shares outstanding decreased to 70,034,708 as of March 31, 2025, from 70,863,324 at December 31, 2024, a reduction of 1.17%[32] - The number of common shares outstanding decreased to 70,034,708 from 70,863,324, a reduction of 1.2%[39] - Book value per common share increased to$ 40.91 as of March 31, 2025, compared to $40.16 at December 31, 2024, marking a growth of 1.87%[32] - Tangible book value per share increased to$ 35.50, compared to $34.81 a year ago, marking a growth of 2.0%[39] Performance Ratios - The net interest margin increased to 3.25% during the first quarter from 3.07% in the fourth quarter of 2024[10] - The efficiency ratio improved slightly to 45.60% for the first quarter of 2025, compared to 45.70% in the previous quarter[30] - Return on tangible common equity was 11.21% for the three months ended March 31, 2025, down from 13.03% in the previous year[39] - Net interest income after provision for credit losses was$ 161,139 thousand for the three months ended March 31, 2025, up from $156,512 thousand in the same period of 2024, representing a year-over-year increase of 3.9%[34]