First Hawaiian, Inc. Reports First Quarter 2025 Financial Results and Declares Dividend

Core Viewpoint - First Hawaiian, Inc. reported solid financial results for the first quarter of 2025, highlighting growth in retail deposits, an increase in net interest income, well-managed expenses, and strong credit quality despite economic uncertainties [2][11]. Financial Highlights - Net income for the first quarter of 2025 was $59.2 million, or $0.47 per diluted share, compared to $52.5 million, or $0.41 per diluted share in the previous quarter [11][24]. - Total assets were $23.7 billion as of March 31, 2025, slightly down from $23.8 billion at the end of 2024 [4]. - Gross loans and leases decreased by $115.2 million, or 0.8%, to $14.3 billion [4]. - Total deposits fell by $106.4 million, or 0.5%, to $20.2 billion [4]. Net Interest Income - Net interest income increased to $160.5 million, up $1.8 million, or 1.1%, from the prior quarter [5][20]. - The net interest margin improved to 3.08%, an increase of 5 basis points from 3.03% in the previous quarter [5][20]. Provision for Credit Losses - The company recorded a provision for credit losses of $10.5 million in the first quarter of 2025, compared to a negative provision of $0.8 million in the previous quarter [6][20]. Noninterest Income and Expense - Noninterest income rose significantly to $50.5 million, an increase of $21.1 million from $29.4 million in the prior quarter [7][20]. - Noninterest expense decreased slightly to $123.6 million, down $0.6 million from $124.1 million in the previous quarter [8][20]. Asset Quality - The allowance for credit losses was $166.6 million, or 1.17% of total loans and leases, up from $160.4 million, or 1.11%, at the end of 2024 [10][20]. - Net charge-offs were $3.8 million, or 0.11% of average loans and leases on an annualized basis, compared to $3.4 million, or 0.09%, in the previous quarter [10][20]. Capital Position - Total stockholders' equity remained stable at $2.6 billion as of March 31, 2025 [12]. - The tier 1 leverage ratio was 9.01%, while the common equity tier 1 and total capital ratios were 12.93% and 14.17%, respectively [12][20]. - The company repurchased 974 thousand shares of common stock at a total cost of $25.0 million during the first quarter [12][20]. Dividend Declaration - The Board of Directors declared a quarterly cash dividend of $0.26 per share, payable on May 30, 2025, to stockholders of record as of May 19, 2025 [2][11].