- Independent Bank (NASDAQ: IBCP) reported Q1 2025 net income of $15.6 million, or $0.74 per diluted share.
- Net interest margin improved to 3.49%, up from 3.30% compared to the previous year.
- Annualized loan growth was 3.4%, increasing by $33.9 million.
Independent Bank Corporation (NASDAQ: IBCP) announced its first quarter 2025 financial results, showing stability and positive operational performance despite a slight decrease in net income. The bank reported a net income of $15.6 million, or $0.74 per diluted share, compared to $16.0 million, or $0.76 per share, in the same period last year.
The bank's net interest income rose by 8.7% year-over-year to $43.7 million, supported by an improved net interest margin of 3.49%, up from 3.30% last year. This was accompanied by a $0.8 million increase in net interest income quarter-over-quarter.
Independent Bank's loan portfolio expanded by $33.9 million, achieving an annualized growth rate of 3.4% from year-end. Additionally, core deposits rose by $9.1 million, reflecting a 0.8% annualized growth.
Maintaining a strong financial stance, Independent Bank's tangible book value per share increased by 13.2% year-over-year, reaching $20.87. Despite the decline in non-interest income to $10.4 million, primarily due to a strategic sale of $931 million in mortgage servicing rights, the company preserved its strong credit metrics with non-performing assets constituting just 0.14% of total assets.
The bank's allowance for credit losses held steady at 1.47% of total loans, showcasing prudent risk management amidst market volatilities. This financial stability was further fortified by unused credit lines totaling approximately $1.59 billion and robust regulatory capital ratios, underscoring the bank's well-capitalized status.
