- Independent Bank Corp. (INDB, Financial) reported Q1 2025 net income of $44.4 million, a decline from Q4 2024 due to increased loan loss provisions.
- Deposits increased by $370 million, reaching $15.7 billion, reflecting a 2.4% growth from the previous quarter.
- The bank's asset quality showed improvement with nonperforming loans decreasing to 0.62% of total loans.
Independent Bank Corp. (INDB) has announced its financial results for the first quarter of 2025, reporting a net income of $44.4 million, or $1.04 per diluted share. This marks a decrease from the fourth quarter of 2024, where the bank posted a net income of $50.0 million ($1.18 per diluted share). The decline was largely influenced by an increase in loan loss provisions.
The bank's net interest margin improved to 3.42%, with an increase of 9 basis points. Meanwhile, deposits saw a significant boost, rising by $370 million to a total of $15.7 billion, signifying a 2.4% increase. Loan balances remained stable at $14.5 billion.
Asset quality metrics presented mixed outcomes. Net charge-offs surged to $40.9 million, which accounts for 1.14% of average loans annualized, primarily driven by three commercial loans. Despite this, nonperforming loans decreased from $101.5 million in Q4 2024 to $89.5 million, representing 0.62% of total loans.
The quarter also saw the issuance of $300 million in subordinated debt, enhancing the company's capital structure. INDB increased its quarterly dividend by 4%, marking continuous growth in shareholder returns. The bank's tangible book value per share grew to $47.81, supported by a strong tangible common equity ratio of 10.78%.
