- Commencement Bancorp, Inc. (CBWA, Financial) reported a 141% increase in net income for Q1 2025, reaching $1.3 million or $0.34 per share.
- Net interest margin improved by 22 basis points, hitting 3.96%.
- Total deposits saw a decrease of $12.5 million, ending at $579.4 million by March 31, 2025.
Commencement Bancorp, Inc. (CBWA) announced strong financial results for the first quarter of 2025. The net income rose significantly to $1.3 million, or $0.34 per share, compared to $539,000, or $0.14 per share, in the previous quarter. This marks a substantial improvement demonstrating effective strategies and operational efficiencies.
The company's net interest margin increased by 22 basis points, standing at 3.96% for the first quarter, an achievement attributed to reduced cost of funds and strategic financial adjustments made in prior quarters.
Despite the positive income growth, total deposits decreased by $12.5 million, or 2.1%, to $579.4 million. Of these deposits, 29.1% were noninterest bearing, a reflection of the company's customer relationship strategies.
No nonperforming assets were reported for the quarter, maintaining Commencement Bancorp's strong credit quality, with an allowance for credit losses at 1.21% of loans receivable.
The bank maintains a robust liquidity position with $121.0 million in on-balance sheet liquidity, representing 18.8% of total assets. Additionally, Commencement Bancorp has access to $227.7 million from various funding sources, providing a strong cushion for potential financial needs.
In a strategic move to increase operational efficiency, the company relocated its headquarters to the newly inaugurated Commencement Bank Plaza in Tacoma, WA, which is expected to enhance collaboration and efficiency among the teams.
