Cathay General Bancorp Reports Strong Q2 2025 Results

Cathay General ( (CATY) ) has released its Q2 earnings. Here is a breakdown of the information Cathay General presented to its investors.

Cathay General Bancorp, a publicly traded holding company for Cathay Bank, operates in the financial services sector with over 60 branches across the United States and international offices in Asia. The company recently released its second quarter 2025 financial results, showcasing a strong performance with notable increases in net income and earnings per share compared to previous quarters.

For the second quarter of 2025, Cathay General Bancorp reported a net income of $77.5 million, or $1.10 per diluted share, marking an 11.5% increase from the first quarter. The company’s return on average assets improved to 1.33%, and return on average stockholders’ equity rose to 10.72%. Additionally, the net interest margin saw a slight increase to 3.27%, and total loans grew by 2.23% to $19.78 billion. Total deposits also increased by 0.95% to $20.01 billion.

The company highlighted a successful stock repurchase program, buying back 804,179 shares at an average cost of $44.22 per share. Non-interest income rose significantly by 37.5%, driven by a decrease in losses on equity securities and increased fees from interest rate swaps. However, non-interest expenses also saw a rise, primarily due to higher amortization expenses related to investments in low-income housing and alternative energy partnerships.

Looking ahead, Cathay General Bancorp remains well-capitalized, with a Tier 1 risk-based capital ratio of 13.35% and a total risk-based capital ratio of 14.92%. The company’s management continues to focus on strategic growth and maintaining strong financial performance, positioning itself favorably in the competitive financial services market.