Mon, May 5, 7:24 PM (12 days ago)
**International Bancshares Corporation (IBOC) Q1 2025 Financial Summary** **Financial Health and Performance:** - **Revenue:** Total revenue for Q1 2025 was $214,639,000, showing a 1.2% increase from Q1 2024. - **Profit Margins:** Net income for Q1 2025 was $96,892,000, a slight decrease of 0.5% compared to Q1 2024. - **Cash Flow:** Net cash provided by operating activities was $140,464,000, up from $135,395,000 in Q1 2024. - **Earnings Changes:** Basic earnings per share were $1.56, down slightly from $1.57 in Q1 2024. **Quarterly Performance Discussion:** - **Interest Income:** Increased by 1.2% due to higher interest rates and portfolio growth. - **Interest Expense:** Rose by 10.2% due to higher rates paid on deposits. - **Net Interest Income:** Decreased by 1.5% due to higher interest expenses. - **Provision for Credit Losses:** Significantly lower at $3,329,000 compared to $12,978,000 in Q1 2024. - **Non-Interest Income:** Decreased by 12.4% due to losses on merchant banking investments. - **Non-Interest Expense:** Increased by 5.9% due to higher employee compensation and benefits. **Trends and Uncertainties:** - **Economic Conditions:** Uncertain economic conditions may impact customer ability to transact profitable business. - **Interest Rates:** Volatility in interest rates affects net interest income and expense. - **Regulatory Environment:** Changes in regulations may impact capital requirements and operational costs. - **Technological Risks:** Cybersecurity threats and technological changes pose operational and security risks. **Future Operations Impact:** - **Deposit Management:** Continued monitoring of deposit rates to retain customers. - **Credit Quality:** Ongoing assessment of credit quality and provision for credit losses. - **Capital Adequacy:** Maintaining strong capital ratios to meet regulatory requirements. - **Interest Rate Risk:** Managing interest rate sensitivity through gap analysis and simulation models. **Capital Ratios (as of March 31, 2025):** - **CET1 to Risk-Weighted Assets:** 22.41% - **Tier 1 Capital-to-Average-Total-Asset (Leverage) Ratio:** 18.91% - **Risk-Weighted Tier 1 Capital Ratio:** 23.03% - **Risk-Weighted Total Capital Ratio:** 24.28% **Ticker:** IBOC **Note:** This summary is based on the provided financial data and does not include all details from the full report. For a comprehensive understanding, refer to the complete Q1 2025 10-Q filing.