CoastalSouth Bancshares (COSO) Q1 2025 earnings summary

Executive summary

• Net income for Q1 2025 was $5.1 million ($0.47 per diluted share), down from $5.7 million in Q4 2024 but up from $2.4 million in Q1 2024, driven by prior-year AFS securities repositioning.

• Total assets reached $2.19 billion, with loans held for investment increasing by $62.8 million and total deposits rising by $102.9 million from the prior quarter.

• Tangible book value per share increased to $19.17 from $18.51 at year-end 2024.

Financial highlights

• Net interest income was $16.8 million, up from $16.3 million in Q4 2024 and $15.4 million in Q1 2024.

• Net interest margin improved to 3.38% from 3.21% in both Q4 2024 and Q1 2024.

• Efficiency ratio rose to 61.26% from 56.70% in Q4 2024 but improved from 76.55% in Q1 2024.

• Return on average assets (ROAA) was 0.97%, down from 1.07% in Q4 2024 but up from 0.48% in Q1 2024.

• Noninterest income was $1.9 million, up $3.9 million year-over-year due to the absence of a prior-year AFS securities loss.

Outlook and guidance

• Loan and deposit pipelines remain strong, with continued robust demand and production across all regions and business lines.

• Management remains attentive to economic uncertainty and interest rate risks as highlighted by recent FOMC statements.