Tue, May 13, 8:12 PM (36 days ago)
**FinWise Bancorp (FINW) Q1 2025 Financial Summary** **Financial Health & Performance:** - **Revenue:** $18.5 million (up 5.0% YoY) - **Net Income:** $3.2 million (down 3.8% YoY) - **Earnings per Share (EPS):** $0.24 (down from $0.26 YoY) - **Profit Margins:** Net interest margin decreased to 8.27% from 10.12% YoY - **Cash Flow:** Positive cash flow from operations, with $11.1 million increase in cash and cash equivalents **Key Metrics:** - **Loans:** Total loans held-for-investment increased by 5.5% to $472.4 million - **Deposits:** Total deposits increased by 11.2% to $605.8 million - **Assets:** Total assets increased by 7.8% to $804.1 million - **Liabilities:** Total liabilities increased by 9.5% to $626.8 million - **Shareholders' Equity:** Increased by 2.1% to $177.4 million **Trends & Uncertainties:** - **Loan Growth:** Driven by Strategic Programs and organic growth - **Interest Rates:** Decline in net interest margin due to repricing of variable rate loan portfolio - **Credit Quality:** Increased provision for credit losses due to growth in loans held-for-investment - **Economic Conditions:** Elevated risk of default due to high interest rates and slowdown in consumer spending - **Future Operations:** Continued focus on loan originations, deposit growth, and maintaining strong capital levels **Impact on Future Operations:** - **Growth Strategy:** Continued investment in product offerings and business infrastructure - **Capital Management:** Maintaining well-capitalized status to support growth and potential dividends - **Risk Management:** Monitoring credit risk, interest rate sensitivity, and economic conditions **Conclusion:** FinWise Bancorp's Q1 2025 results reflect steady growth in loans and deposits, but also highlight challenges in maintaining net interest margins and managing credit risk. The company's focus on strategic loan originations and deposit growth, along with prudent capital management, positions it for continued growth amidst economic uncertainties.