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Mar 31

Western Alliance Q1 2025 Earnings Report

Western Alliance reported strong Q1 2025 results with growth in loans and deposits, stable asset quality, and solid profitability metrics.

Key Takeaways

Western Alliance Bancorporation delivered solid results in Q1 2025, marked by $199.1 million in net income and robust loan and deposit growth. The bank maintained strong capital levels and stable asset quality, with a notable increase in tangible book value per share.

Net income reached $199.1 million and EPS was $1.79.

Loans grew by $1.1 billion and deposits rose by $3.0 billion quarter-over-quarter.

Pre-provision net revenue totaled $277.6 million, highlighting earnings strength.

Asset quality improved with a decline in nonperforming assets to 0.60% of total assets.

Total Revenue
$778M
Previous year: $729M
+6.8%
EPS
$1.79
Previous year: $1.72
+4.1%
Net Interest Margin
3.47%
Previous year: 3.6%
-3.6%
Efficiency Ratio (Adj.)
55.8%
Previous year: 57.3%
-2.6%
Return on Avg. Assets
0.97%
Previous year: 0.98%
-1.0%
Total Assets
$83B
Previous year: $77B
+7.9%

Western Alliance

Western Alliance

Forward Guidance

Western Alliance expects continued strength in loan and deposit growth while navigating a complex macroeconomic landscape with a focus on credit quality and liquidity.

Positive Outlook

  • Strong capital and liquidity positions support growth.
  • Tangible book value increased 14.4% YoY.
  • Loan growth of $1.1 billion during Q1 2025.
  • Deposit growth of $3.0 billion reflects customer confidence.
  • Asset quality metrics remain stable with improving trends.

Challenges Ahead

  • Net interest margin slightly declined from prior quarter.
  • Non-interest income declined significantly QoQ.
  • Efficiency ratio worsened from Q4 2024.
  • Provision for credit losses increased YoY.
  • Nonaccrual loans and classified assets showed mild increases YoY.