Westamerica reports Q1 EPS $1.16, consensus $1.11

The company recognized a $550,000 reversal of provision for credit losses in Q1. The allowance for credit losses on loans was $13.9M at March 31. It said, “Westamerica’s (WABC) first quarter 2025 results benefited from the Company’s valuable low-cost deposit base, of which 46 percent was represented by non-interest bearing checking accounts during the quarter; the annualized cost of funding our loan and bond portfolios was 0.24 percent in the quarter. Operating expenses remained well controlled at 38 percent of total revenues and credit quality remained stable with nonperforming assets of $277 thousand at March 31, 2025. First quarter 2025 results generated an annualized 11.9 percent return on average common equity. Shareholders were paid a $0.44 per common share dividend during the first quarter 2025.”