Fulton Financial (US:FULT)2025-07-15 20:33Financial Performance - Net income available to common shareholders for Q2 2025 was $96.6 million, or $0.53 per diluted share, an increase of $6.2 million, or $0.04 per diluted share, compared to Q1 2025[2] - Operating net income for Q2 2025 was $100.6 million, or $0.55 per diluted share, an increase of $5.2 million, or $0.03 per diluted share, compared to Q1 2025[2] - The company achieved a record operating net income of $100.6 million in Q2 2025, reflecting the success of its community banking strategy[2] - Net income for Q2 2025 reached $99,198,000, compared to $92,987,000 in Q1 2025 and $63,206,000 in Q2 2024, marking a significant year-over-year increase of 57%[19] - Operating net income available to common shareholders for the three months ended June 30, 2025, was $100,639 thousand, up from $95,454 thousand in the previous quarter, marking an increase of 1.2%[26] - Adjusted net income available to common shareholders for the three months ended June 30, 2025, was $100,729 million, compared to $95,544 million in the previous quarter[27] Income and Expenses - Non-interest income increased by $1.9 million to $69.1 million compared to $67.2 million in the prior quarter[3] - Non-interest expense increased by $3.4 million to $192.8 million compared to $189.5 million in the prior quarter[3] - Total non-interest expense for Q2 2025 was $192,811,000, slightly up from $189,460,000 in Q1 2025, but down from $199,488,000 in Q2 2024[19] - The efficiency ratio improved to 57.1% from 56.7% in the previous quarter, reflecting better operational efficiency[16] Loans and Credit Quality - Net loans increased by $150.0 million, or 2.5% annualized, totaling $24.0 billion as of June 30, 2025[10] - Provision for credit losses was $8.6 million, resulting in an allowance for credit losses of $377.3 million, or 1.57% of total net loans as of June 30, 2025[10] - Annualized net charge-offs for Q2 2025 were 0.20% of total average loans, compared to 0.21% in the prior quarter[10] - The provision for credit losses related to net loans was $9,374 thousand for the three months ended June 30, 2025, down from $13,112 thousand in the previous quarter, a decrease of 28.0%[25] - Non-performing loans to total net loans ratio rose to 0.89% from 0.82% in the prior quarter, indicating a deterioration in asset quality[16] - Total loans charged off amounted to $15,916 thousand for the three months ended June 30, 2025, compared to $20,034 thousand for the previous quarter, representing a decrease of 10.6%[25] Capital and Equity - Common equity tier 1 capital ratio increased to approximately 11.3% compared to 11.1% in the prior quarter[5] - Shareholders' equity increased to $17.20 billion from $16.91 billion in the previous quarter, reflecting a growth of 1.71%[15] - The tangible common equity ratio improved to 8.0% from 7.8% in the previous quarter, indicating a stronger capital position[16] - Tangible common shareholders' equity per share was $13.78 as of June 30, 2025, an increase from $13.46 in the previous quarter, reflecting a growth of 2.4%[26] - Shareholders' equity rose to $3,279,208 thousand in 2025, compared to $2,859,808 thousand in 2024, reflecting a growth of 14.7%[23] Assets and Liabilities - Total assets decreased slightly to $32.04 billion from $32.13 billion in the previous quarter[18] - Total liabilities decreased to $28.71 billion from $28.86 billion in the previous quarter, indicating a reduction in financial obligations[18] - Total deposits decreased to $26.14 billion from $26.33 billion in the previous quarter, reflecting a decline in customer deposits[18] - Total interest-bearing liabilities increased to $22,545,474 thousand in 2025 from $20,275,338 thousand in 2024, a rise of 11.2%[23] Interest Income and Margin - Net interest income for Q2 2025 was $254,921,000, an increase from $251,187,000 in Q1 2025, and $241,720,000 in Q2 2024, reflecting a year-over-year growth of 5.5%[19] - Net interest income for the quarter was $254,921, up from $251,187 in the previous quarter[21] - Net interest income after provision for credit losses was $246,314,000 in Q2 2025, compared to $237,289,000 in Q1 2025, indicating a positive trend in profitability[19] - Net interest margin increased to 3.47% from 3.43% in the prior quarter, suggesting better interest income generation[16] Shareholder Information - Basic net income per share for Q2 2025 was $0.53, up from $0.50 in Q1 2025 and $0.53 in Q2 2024[20] - Cash dividends remained stable at $0.18 per share for both Q2 2025 and Q1 2025, compared to $0.17 in Q2 2024[20] - Weighted average shares outstanding (basic) increased to 182,261,000 in Q2 2025 from 182,179,000 in Q1 2025, reflecting a slight increase in share count[20]