Central Pacific Financial (US:CPF)2026-01-28 12:09Financial Performance - Net income for Q4 2025 was $22.9 million, or $0.85 per diluted share, compared to $18.6 million, or $0.69 in the prior quarter, and $11.3 million, or $0.42 in the same quarter last year[2] - For the full year 2025, net income was $77.5 million, or $2.86 per diluted share, up from $53.4 million, or $1.97 in 2024[2] - Net income for Q4 2025 was $22,875,000, an increase from $18,574,000 in Q3 2025 and $11,345,000 in Q4 2024[46] - Basic earnings per share increased to $0.86 in Q4 2025 from $0.42 in Q4 2024, representing a 104.8% growth[30] - Adjusted net income (non-GAAP) for the year ended December 31, 2025 was $78,647,000, up from $63,423,000 in 2024[48] - Adjusted diluted EPS (non-GAAP) for the year ended December 31, 2025 was $2.91, compared to $2.34 in 2024[48] Revenue and Income Sources - Total revenue for Q4 2025 was $76,288,000, compared to $74,808,000 in Q3 2025 and $58,398,000 in Q4 2024[49] - Total interest income for Q4 2025 was $78,877,000, a slight decrease from $79,959,000 in Q3 2025[35] - Total other operating income for Q4 2025 was $14,201,000, an increase from $13,507,000 in Q3 2025[35] - Net interest income for Q4 2025 totaled $62.1 million, an increase of $0.8 million, or 1.3% from the prior quarter, and an increase of $6.3 million, or 11.3% year-over-year[4] Asset and Liability Management - Total assets as of December 31, 2025, were $7.41 billion, a decrease of $12.2 million, or 0.2% from the prior quarter[11] - Total liabilities were $6,816,660 as of December 31, 2025, a slight decrease from $6,833,412 on September 30, 2025[34] - Total equity increased to $592,581 as of December 31, 2025, from $588,066 on September 30, 2025, representing a growth of 0.3%[34] - Total loans were $5.29 billion at December 31, 2025, a decrease of $78.1 million, or 1.5% from the prior quarter[12] - Total deposits increased to $6,609,764 as of December 31, 2025, compared to $6,577,684 on September 30, 2025, reflecting a growth of 0.5%[34] Efficiency and Ratios - The efficiency ratio improved to 59.88% in Q4 2025, compared to 62.84% in the prior quarter and 75.65% in the same quarter last year[9] - Return on Assets (ROA) for Q4 2025 was 1.25%, up from 1.01% in Q3 2025 and 0.62% in Q4 2024[51] - Return on Equity (ROE) for Q4 2025 was 15.41%, an increase from 12.89% in Q3 2025 and 8.37% in Q4 2024[51] - The leverage ratio for Central Pacific Financial Corp. was 9.8% in Q4 2025, up from 9.3% in Q4 2024[32] - The common equity tier 1 capital ratio increased to 12.7% in Q4 2025 from 12.3% in Q4 2024, reflecting stronger capital position[32] Credit Quality - Provision for credit losses decreased to $2,396,000 in Q4 2025 from $4,172,000 in Q4 2024, reflecting improved asset quality[30] - Nonperforming assets totaled $14.4 million, or 0.19% of total assets, unchanged from the prior quarter[14] - The ratio of allowance for credit losses to total loans remained stable at 1.13% in Q4 2025, consistent with Q4 2024[33] - The company reported net charge-offs of $2,457 thousand for the quarter ended December 31, 2025, compared to $2,658 thousand in the previous quarter, a decrease of 7.6%[42] Shareholder Returns - The Board of Directors declared a quarterly cash dividend of $0.29 per share, an increase of 3.6% from the previous quarter[20] - Cash dividends declared increased to $0.28 per share in Q4 2025, up from $0.27 in Q3 2025[35] - The Company repurchased 529,613 shares of common stock at a total cost of $16.3 million during Q4 2025[18] Non-GAAP Measures - The company utilized non-GAAP financial measures to provide additional insights into its financial performance, excluding certain non-recurring transactions[43] - The tangible common equity (TCE) ratio as of December 31, 2025 was 8.00%, an increase from 7.21% in 2024[51] - Adjusted tangible common equity (non-GAAP) reached $593,748 thousand, reflecting a quarterly increase from $589,233 thousand[52]