• Simmons First National (NASDAQ: SFNC) reported a net income of $32.4 million for Q1 2025, with diluted earnings per share of $0.26.
• The total revenue for the quarter was $209.6 million, a slight increase from $208.5 million in the previous quarter.
• The net interest margin improved to 2.95%, marking the fourth consecutive increase, while the cost of deposits decreased to 2.44%.
Simmons First National Corporation (NASDAQ: SFNC) released its financial results for the first quarter of 2025, reporting a net income of $32.4 million or $0.26 per diluted share. This reflects a decrease from $48.3 million or $0.38 per share in the fourth quarter of 2024. Despite this decline, the company's total revenue rose slightly to $209.6 million from $208.5 million in the previous quarter.
The bank's net interest margin increased to 2.95%, continuing its upward trajectory for the fourth consecutive quarter. This improvement was fueled by a reduction in the cost of deposits, which fell to 2.44%, down 16 basis points from the previous quarter.
Challenges were noted during the quarter, including two specific credit relationships—one a $26.9 million loan for a hotel in downtown St. Louis and another a $22.9 million loan to a fast-food operator—that transitioned to nonperforming status. These situations contributed to a $15.6 million incremental provision expense. Moreover, a customer deposit fraud event resulted in a $4.3 million charge in noninterest expense.
Simmons First National's total loans stood at $17.1 billion, reflecting a growth in its commercial real estate, mortgage warehouse, and agricultural portfolios. Despite these positives, total deposits saw a slight decline to $21.7 billion from $21.9 billion at the end of the fourth quarter of 2024.
