First Financial Bankshares(US:FFIN) Prnewswireยท2025-10-23 20:05Core Viewpoint - First Financial Bankshares, Inc. reported a decline in net income for Q3 2025, primarily due to a significant credit loss related to fraudulent activity, but core earnings trends remain positive with year-to-date growth of nearly 12% compared to 2024 [2][3]. Financial Performance - Net income for Q3 2025 was $52.27 million, down from $55.31 million in Q3 2024 and $66.66 million in Q2 2025 [1]. - Diluted earnings per share decreased to $0.36 from $0.39 in Q3 2024 and $0.47 in Q2 2025 [1]. - Net interest income increased to $127.00 million from $107.11 million in Q3 2024 and $123.73 million in Q2 2025 [2]. - The net interest margin was 3.80% for Q3 2025, compared to 3.50% in Q3 2024 and 3.81% in Q2 2025 [2]. Credit Losses and Provisions - The company recorded a provision for credit losses of $24.44 million in Q3 2025, significantly higher than $6.12 million in Q3 2024 and $3.13 million in Q2 2025 [3]. - Net charge-offs totaled $22.34 million in Q3 2025, compared to $786 thousand in Q3 2024 [4]. - The allowance for credit losses was $105.96 million, or 1.29% of loans, consistent with the previous year [3]. Asset and Loan Growth - Total assets increased to $14.84 billion as of September 30, 2025, from $13.58 billion a year earlier [5]. - Loans held-for-investment grew to $8.24 billion, up from $7.72 billion in Q3 2024 [5]. - Core deposits and repurchase agreements increased by $250.45 million, or 7.95% annualized, compared to Q2 2025 [5]. Noninterest Income and Expenses - Noninterest income for Q3 2025 was $34.26 million, up from $32.36 million in Q3 2024 [5]. - Noninterest expenses totaled $73.67 million, compared to $66.01 million in Q3 2024 [5]. - The efficiency ratio improved to 44.74% from 46.45% in Q3 2024, primarily due to increased net interest income [5]. Shareholder Equity and Market Position - Shareholders' equity rose to $1.83 billion as of September 30, 2025, compared to $1.66 billion a year earlier [5]. - The company continues to focus on maintaining growth and profitability while addressing the recent credit loss incident [2].