Westamerica reports Q2 EPS $1.12 vs. $1.33 last year

The company provided no provision for credit losses in the second quarter 2025 compared to a $550,000 reversal of provision for credit losses in the first quarter of 2025. The allowance for credit losses on loans was $13.8M at June 30, 2025 compared to $13.9 million at March 31, 2025. Noninterest income for the second quarter 2025 totaled $10.3M compared to $10.3M for the first quarter 2025. “Westamerica’s (WABC) second quarter 2025 results benefited from the Company’s low-cost operating principles. The annualized cost of funding interest-earning loans, bonds and cash was 0.22 percent for the second quarter 2025. The Company recognized no provision for credit losses in the second quarter 2025. At June 30, 2025, nonperforming assets were $5.0 million and the allowance for credit losses on loans was $13.8 million. Westamerica operated efficiently, spending 39 percent of its revenue on operating costs in the second quarter 2025. Second quarter 2025 results generated an annualized 11.2 percent return on average common equity. Westamerica paid a $0.46 per common share dividend during the second quarter 2025, and retired 773 thousand common shares using its share repurchase plan. Westamerica’s capital ratios remain at historically high levels exceeding the highest regulatory guidelines,” said Chairman, President and CEO David Payne.