umbia Financial(US:CLBK)2025-04-30 20:10Financial Performance - Columbia Financial, Inc. reported net income of $8.9 million for Q1 2025, a significant increase of $10.1 million compared to a net loss of $1.2 million in Q1 2024[2][4] - Non-interest income increased to $8.5 million, up $1.0 million or 13.7% from $7.5 million in Q1 2024, largely due to the absence of a loss on securities transactions recorded in the previous year[10][4] - The company's effective tax rate was 25.9% for Q1 2025, up from 10.0% in Q1 2024, primarily due to an increase in pre-tax income[12] - Core net income for the three months ended March 31, 2025, was $9,063 thousand, a significant increase from $455 thousand in the same period of 2024[50] - Return on average assets improved to 0.34% for the three months ended March 31, 2025, compared to a loss of 0.04% in the prior year[51] Income and Expenses - Net interest income rose to $50.3 million, an increase of $8.1 million or 19.3% from $42.2 million in Q1 2024, driven by higher interest income and lower interest expense[5][4] - The provision for credit losses decreased to $2.9 million, down $2.3 million from $5.3 million in Q1 2024, primarily due to a reduction in net charge-offs[9][4] - The efficiency ratio improved to 74.57% in Q1 2025 from 91.96% in Q1 2024, indicating better cost management[45] - Total non-interest income for the three months ended March 31, 2025, was $8,471, up from $7,452 in the same period of 2024, representing an increase of approximately 13.7%[37] Assets and Loans - Total assets increased by $132.4 million, or 1.3%, to $10.6 billion at March 31, 2025, compared to $10.5 billion at December 31, 2024[13] - Loans receivable, net, increased by $108.3 million, or 1.4%, to $8.0 billion at March 31, 2025, with notable growth in multifamily and commercial real estate loans[16] - Total gross loans increased to $7,980,973 thousand as of March 31, 2025, up from $7,869,447 thousand at December 31, 2024, representing a growth of 1.41%[47] - Commercial real estate loans reached $2,429,429 thousand as of March 31, 2025, an increase from $2,339,883 thousand at December 31, 2024[47] Deposits and Equity - Total deposits rose by $98.8 million, or 1.2%, to $8.2 billion at March 31, 2025, with increases in non-interest-bearing demand deposits and money market accounts[17][24] - Total stockholders' equity increased to $1,100,343 as of March 31, 2025, compared to $1,080,376 as of December 31, 2024, reflecting a growth of approximately 1.8%[35] - Book value per share increased to $10.49 as of March 31, 2025, up from $10.31 at December 31, 2024[49] Credit Quality - Non-performing loans totaled $24.9 million, or 0.31% of total gross loans, an increase from $21.7 million, or 0.28%, at December 31, 2024[20] - The allowance for credit losses on loans (ACL) increased to $62,034 thousand, with an ACL to gross loans ratio of 0.78%[46] - The provision for credit losses decreased to $2,933 for the three months ended March 31, 2025, down from $5,278 for the same period in 2024, indicating improved credit quality[37] Interest Rates and Margins - The net interest margin improved by 36 basis points to 2.11% for Q1 2025, compared to 1.75% in Q1 2024, due to higher yields on interest-earning assets[8] - The yield on loans increased to 4.89% in Q1 2025 from 4.79% in Q1 2024, while the yield on total interest-earning assets rose to 4.69% from 4.50%[42] - The interest rate spread widened to 1.48% in Q1 2025 from 1.12% in Q1 2024, reflecting improved profitability on interest-earning assets[45]