Peoples Bancorp ( (PEBO) ) has released its Q2 earnings. Here is a breakdown of the information Peoples Bancorp presented to its investors.
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Peoples Bancorp Inc., a diversified financial services holding company headquartered in Marietta, Ohio, offers a comprehensive range of banking, trust, investment, insurance, and premium financing solutions through its subsidiaries. The company operates primarily in the banking sector with a focus on community impact and financial stability.
In its second-quarter 2025 earnings report, Peoples Bancorp Inc. reported a net income of $21.2 million, translating to earnings per diluted common share of $0.59. This marks a decrease from the previous quarter’s net income of $24.3 million and the previous year’s $29.0 million for the same period. Despite the decline in net income, the company experienced strong annualized loan growth and an expansion in net interest margin.
Key financial metrics revealed a 3% increase in net interest income to $87.6 million, driven by lower funding costs, while the net interest margin rose slightly to 4.15%. However, the provision for credit losses increased significantly to $16.6 million, impacting earnings per share by $0.36. The company’s total non-interest income saw a minor decrease due to lower insurance income, while non-interest expenses decreased slightly, reflecting lower salaries and benefit costs.
The balance sheet showed an 11% annualized increase in total loan and lease balances, primarily due to growth in commercial and industrial loans and residential real estate loans. However, total deposit balances decreased by 1% due to seasonal factors affecting governmental deposits. Asset quality remained stable, with improved delinquency trends and a slight increase in criticized loans.
Looking ahead, Peoples Bancorp Inc. remains focused on sustainable growth and delivering strong returns for shareholders. The management is committed to controlling expenses while recognizing necessary costs to support business growth. The company continues to navigate economic challenges, including interest rate fluctuations and credit risk, with a strategic approach to maintaining financial stability.