- Third Coast Bancshares (TCBX, Financial) reported net income of $13.6 million in Q1 2025, slightly down from $13.7 million in Q4 2024.
- Net interest margin improved to 3.80% from 3.71% quarter-over-quarter, with gross loans reaching $3.99 billion.
- The efficiency ratio increased to 61.23% from 58.80% in the previous quarter, indicating higher operational costs.
Third Coast Bancshares, Inc. (TCBX) released its financial results for the first quarter of 2025, posting a net income of $13.6 million, a marginal decrease from the $13.7 million recorded in the fourth quarter of 2024. Despite this slight drop, the company's basic and diluted earnings per share remained stable at $0.90 and $0.78, respectively.
The quarter was marked by an improvement in net interest income, which was driven by consistent loan growth and strong asset quality. The net interest margin increased to 3.80%, up from 3.71% in the previous quarter, and gross loans expanded to $3.99 billion as of March 31, 2025.
However, Third Coast Bancshares faced challenges from increased credit loss provisions and rising operational expenses, particularly in salaries and employee benefits. As a result, the efficiency ratio deteriorated to 61.23% from 58.80% quarter-over-quarter. The company remains committed to enhancing operational efficiency through its 1% improvement initiative, although upcoming securitization plans could impact this strategy.
