Loading...
•
Mar 31
Cathay General Q1 2025 Earnings Report
Cathay General reported a decrease in net income and EPS in Q1 2025 driven by lower non-interest income and increased provision for credit losses.
Key Takeaways
Cathay General Bancorp posted a net income of $69.5M and diluted EPS of $0.98 in Q1 2025. While net interest income rose and deposits increased, earnings were affected by lower non-interest income and higher credit loss provisions.
Net income reached $69.5M, down from $80.2M in the prior quarter.
Net interest margin improved to 3.25% from 3.07%.
Deposits grew to $19.82B, an increase of $131.3M.
The company repurchased $41.1M in shares during the quarter.
Cathay General
Cathay General
Cathay General Revenue by Segment
Revenue by Segment
Loan receivable Revenue
CapyFin.comInvestment securities Revenue
CapyFin.comFHLB stock Revenue
CapyFin.comDeposits with banks Revenue
CapyFin.com Forward Guidance
Cathay General did not provide quantitative forward guidance but emphasized continued focus on margin performance and credit quality in a dynamic interest rate environment.
Positive Outlook
- Net interest margin improved quarter-over-quarter.
- Deposit base grew by 0.7%.
- Share buybacks of $41.1M completed in Q1.
- Capital ratios remained well above regulatory requirements.
- Provision for credit losses increased to reflect conservative credit stance.
Challenges Ahead
- Net income declined 13.3% from Q4 2024.
- Non-interest income dropped by 27.6%.
- EPS declined from $1.12 to $0.98 QoQ.
- Non-performing assets remained elevated at $173.7M.
- Effective tax rate increased significantly to 19.82%.