Loan Growth and Commercial Banking Expansion
Total loans grew by $91.7 million or 9% annualized. Commercial loans increased by $75.8 million, reflecting 15.3% annualized growth. The bank added three experienced commercial bankers, expanding their team to 50 bankers.
Net Interest Margin Improvement
The tax equivalent net interest margin increased to 3.58% in Q2 2025, up from 3.40% in Q2 2024 and 9 basis points higher than the first quarter of 2025.
Strong Credit Metrics
Nonperforming loans were $8.2 million or 20 basis points of total loans at quarter end. The allowance for credit losses was 1.47% of total loans, with net charge-offs at 2 basis points of average loans annualized.
Technology and Operational Efficiency
Several new technologies were rolled out, including an AI chat function, enhancing customer service and operational efficiency.
Regulatory Capital Position
The bank maintained a strong regulatory capital position, supporting its financial stability and growth potential.