Loading...
Bancorp Q1 2025 Earnings Report
The Bancorp, Inc. reported its financial results for the first quarter of 2025, showing an increase in net income and diluted EPS compared to the prior year.
Key Takeaways
The Bancorp, Inc. reported net income of $57.2 million, or $1.19 per diluted share, for the first quarter of 2025. This represents a 1% increase in net income and a 12% increase in diluted EPS compared to the first quarter of 2024, primarily due to reduced outstanding shares from repurchases. Net interest income decreased by 3% to $91.7 million, while non-interest income significantly increased to $83.6 million.
Net income for Q1 2025 was $57.2 million, a 1% increase from Q1 2024.
Diluted EPS increased by 12% to $1.19 in Q1 2025, compared to $1.06 in Q1 2024, driven by share repurchases.
Net interest income decreased by 3% to $91.7 million in Q1 2025, while non-interest income saw a substantial increase to $83.6 million.
Loans, net of deferred fees and costs, grew by 17% year-over-year to $6.38 billion at March 31, 2025.
Bancorp
Bancorp
Bancorp Revenue by Segment
Revenue by Segment
Total Fintech Fees Revenue
CapyFin.comACH & Card Fees Revenue
CapyFin.comPrepaid & Debit Card Fees Revenue
CapyFin.comConsumer Fintech Fees Revenue
CapyFin.comLeasing Income Revenue
CapyFin.comFintech Loan Credit Enhancement Revenue
CapyFin.com Forward Guidance
The Bancorp is confirming its EPS guidance of $5.25 per share for 2025, which does not include the impact of authorized stock buybacks.
Positive Outlook
- Fintech Solutions continues to show significant momentum in both Gross Dollar Volume (GDV) and fee growth.
- The company's balance sheet strategy and deposit growth are mitigating pressure on revenue from rates.
- The company has authorized $150 million in stock buybacks for 2025, which is not yet included in the EPS guidance.
- The company's risk profile, inherent in its loan portfolios, funding, and earnings levels, may present opportunities to further increase stockholder value.
- The company maintains lines of credit exceeding potential liquidity requirements and has access to other substantial sources of liquidity.
Challenges Ahead
- The EPS guidance of $5.25 per share for 2025 does not include the impact of $150 million of authorized stock buybacks in 2025.
- The company experienced some pressure on revenue from rates in the first quarter of 2025.
- While the macro-economic environment has challenged the multifamily bridge space, the stability of the REBL portfolio is evidenced by estimated values of the underlying collateral.
- The company's exposure to changes in rates is projected to reduce to modest levels due to fixed rate government sponsored entity backed commercial and residential mortgage securities purchases.
- The company deferred adding fixed rate securities in prior years when yields were particularly low, which could have limited some past benefits.