- City Holding Company (CHCO, Financial) reported net income of $30.3 million and diluted earnings of $2.06 per share for Q1 2025.
- The company declared a quarterly cash dividend of $0.79 per share, payable on April 30, 2025.
- Net interest margin improved to 3.84% in Q1 2025.
City Holding Company (NASDAQ: CHCO), headquartered in Charleston, West Virginia, has announced its financial results for the first quarter ending March 31, 2025. The company reported a net income of $30.3 million, translating to diluted earnings of $2.06 per share, showcasing a strong financial performance.
The company achieved a return on assets of 1.89% and a return on tangible equity of 20.7% during the quarter. The net interest income saw a marginal increase of approximately $0.2 million, or 0.4%, to $55.8 million compared to the previous quarter. This improvement was driven by increased loan balances and yields on investment securities.
City Holding's net interest margin showed positive movement, increasing from 3.75% in the previous quarter to 3.84% in the first quarter of 2025. The company also reported strong credit quality, with nonperforming assets to total loans ratio slightly increasing to 0.38% from 0.35% at the end of 2024.
Non-interest income for the quarter was $18.7 million, showing an increase from $17.9 million during the same quarter last year. This was attributed to a rise in wealth and investment management fee income as well as bank-owned life insurance income.
City Holding's balance sheet remains robust with loans increasing by $11.0 million, driven by gains in residential real estate and home equity loans. The company also reported a significant increase of $114.3 million in period-end deposit balances during the quarter.
The Board of Directors approved a quarterly cash dividend of $0.79 per share, reflecting the company's commitment to returning value to its shareholders. Additionally, during Q1 2025, City Holding repurchased 80,600 shares at an average price of $117.42 per share under its one million share repurchase plan.
As of March 31, 2025, City Holding Company remained strongly capitalized with a tangible equity of $597 million, highlighting a robust financial position and continued growth opportunities.
