Bankwell Financial Group(BWFG) - 2025 Q1 - Quarterly Results

Financial Performance - GAAP net income for Q1 2025 was $6.9 million, or $0.87 per share, compared to $3.0 million, or $0.37 per share, in Q4 2024[1] - Net income for the quarter ended March 31, 2025, was $6,888, representing a significant increase of 132.5% compared to $2,963 in the previous quarter[30] - Net income for Q1 2025 was $6,888,000, compared to $3,763,000 in Q1 2024, representing an increase of 83.5%[32] - Basic earnings per common share for Q1 2025 was $0.88, up from $0.48 in Q1 2024, reflecting an increase of 83.3%[32] Revenue and Income - Pre-tax, pre-provision net revenue (PPNR) increased by 10.7% to $9.4 million, or $1.22 per share, from $8.5 million, or $1.11 per share, in Q4 2024[2][11] - Total revenues for Q1 2025 were $23.6 million, up from $22.1 million in Q4 2024, driven by improved funding costs and gains on SBA loans[12][14] - Net interest income for the quarter ended March 31, 2025, was $22,066, an increase of 9.2% from $20,199 in the previous quarter[30] - Total noninterest income increased to $1,505 for the quarter ended March 31, 2025, compared to $964 in the previous quarter, reflecting a growth of 56.2%[30] Asset Quality - Nonperforming assets as a percentage of total assets decreased to 0.83% from 1.88% as of December 31, 2024, reflecting improved asset quality[3][16] - Nonperforming loans as a percentage of total loans improved to 1.00% as of March 31, 2025, from 1.97% as of December 31, 2024[19] - Total nonaccrual loans decreased to $26.4 million as of March 31, 2025, from $53.3 million as of December 31, 2024[19] Deposits and Loans - Core deposits increased by $43.4 million, including a $27.7 million growth in non-interest bearing deposits[8] - Total deposits decreased by $37.1 million, or 1.3%, to $2.8 billion as of March 31, 2025, compared to December 31, 2024[19] - Gross loans decreased by $61.0 million, or 2.3%, to $2.6 billion as of March 31, 2025, compared to December 31, 2024[19] Capital and Equity - Shareholders' equity increased by $4.7 million to $275.2 million as of March 31, 2025, primarily due to net income of $6.9 million[21] - The Company’s regulatory capital ratios were all above 'well capitalized' values, with total risk-based capital at 13.22% as of March 31, 2025[22] - Tangible common equity as of March 31, 2025, was $272,625,000, compared to $267,931,000 as of December 31, 2024, an increase of 1.0%[31] Operational Efficiency - The efficiency ratio for Q1 2025 was 59.9%, compared to 56.4% in Q4 2024, indicating a slight increase in operational costs relative to revenues[9] - Interest expense on deposits was $24,772 for the quarter ended March 31, 2025, a decrease of 3.4% from $25,640 in the previous quarter[30] Shareholder Returns - The company declared a cash dividend of $0.20 per share, payable on May 20, 2025[1] - The Company repurchased 29,924 shares at a weighted average price of $30.46 per share during the quarter ended March 31, 2025[22]