NYSE$CUBI

Customers Bancorp Inc · Q4 2024 earnings

Q4 2024 earnings · · After market close · Investor relations

Briefing

Customers Bancorp's Q4 2024 performance was marked by solid deposit growth and a strategic securities portfolio repositioning.

Customers Bancorp reported a Q4 2024 net income available to common shareholders of $23.3 million, or $0.71 per diluted share. Core earnings were $44.2 million, or $1.36 per diluted share. The company experienced growth in total loans and leases, as well as total deposits during the quarter. It strategically repositioned its securities portfolio to enhance liquidity and reduce asset sensitivity.

  • Net income available to common shareholders was $23.3 million, or $0.71 per diluted share.
  • Core earnings were $44.2 million, or $1.36 per diluted share.
  • Total loans and leases held for investment grew by $671.1 million.
  • Total deposits increased by $777.1 million, with non-interest bearing demand deposits increasing by $937.5 million.

Headline financials

Total Revenue

$168M

Previous: $173M-2.7%
EPS (adj)

$1.36

Previous: $1.90-28.4%
ROAA

0.5%

No prior period
ROCE

5.5%

No prior period
Net Interest Margin

3.1%

No prior period
Efficiency Ratio

56.9%

No prior period
Core Earnings

$44.2M

No prior period
Core ROAA

0.9%

No prior period
Core ROCE

10.4%

No prior period
Core Efficiency Ratio

56.1%

No prior period
Net Charge-Offs

$14.6M

No prior period
Net Charge-Off Ratio

0.4%

No prior period
NPL Ratio

0.3%

No prior period
Reserves to NPLs

316.1%

No prior period
NPA Ratio

0.3%

No prior period
TCE / TA

7.6%

No prior period
Capital Expenditures

-$499K

Previous: $69K-823.2%
Net Income

$26.9M

Previous: $62.1M-56.7%
Operating Income

$35.9M

Previous: $83.9M-57.3%

Revenue & EPS history

Customers Bancorp · Revenue · Quarterly

$168M

Q4 2024-2.7%vs Q4 2023
Beat estimate in 8 of 13 quarters(62%)
ActualEstimate

Forward guidance

Customers Bancorp anticipates continued deposit growth, loan portfolio expansion, and net interest income increase in 2025, along with maintaining strong capital ratios and focusing on operational efficiency.

Tailwinds

  • Expects deposit growth of 5% to 9% during 2025.
  • Targets to increase the loan portfolio by about 7% to 10% in 2025.
  • Anticipates net interest income to increase between 3% to 7% in 2025.
  • Sees core efficiency ratio in the low to mid 50’s.
  • Remains committed to maintaining higher levels of capital with CET 1 ratio target of 11.5% in 2025.

Headwinds

  • Expects professional services expense to remain elevated for the next quarter.
  • Remixing out less strategic deposits especially in the first half of the year.
  • Investments in risk management infrastructure.
  • Managing risk and maintaining robust capital levels.
  • Focus on loan production where the company has a holistic and primary relationship.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+1.5%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+4.2%

Avg return

30 days after

61%

37 / 61 earnings

Positive

+23.2%

Q3 2023

Best reaction

-18.9%

Q2 2015

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-3.5%-2.1%-3.5%
Q4 2025-7.8%-5.8%-10.2%
Q3 2025+7.3%+2.9%+0.7%
Q2 2025-1.2%-1.3%+1.8%
Q1 2025-2.9%-0.7%+0.8%
Q4 2024+13.9%+13.6%+5.8%
Q3 2024+0.0%+1.7%+23.6%
Q2 2024+9.2%+2.8%-16.7%
Q1 2024-6.5%-8.8%-9.8%
Q4 2023+2.6%+6.3%-0.8%
Q3 2023+23.2%+24.6%+39.8%
Q2 2023+0.0%-2.8%-17.2%
Q1 2023+20.8%+0.8%+36.5%
Q4 2022-15.3%-11.0%-1.4%
Q3 2022-4.2%+1.8%-2.6%
Q2 2022-1.4%-1.9%-6.2%
Q1 2022+5.4%+3.1%-0.4%
Q4 2021-4.4%-6.7%-4.1%
Q3 2021+7.4%+15.3%+17.8%
Q2 2021-1.9%-3.7%+15.3%
Q1 2021+1.7%+7.4%+16.2%
Q4 2020+1.3%+3.0%+21.7%
Q3 2020+5.3%+8.6%+36.9%
Q2 2020+9.3%+6.9%+18.9%
Q1 2020-2.6%-4.5%+1.4%
Q4 2019+6.0%+3.3%+0.0%
Q3 2019+4.8%+11.3%+11.4%
Q2 2019-1.8%+1.6%-8.2%
Q1 2019-2.9%+0.4%-7.6%
Q4 2018-3.1%-2.1%+7.0%
Q3 2018+13.3%+13.1%+4.6%
Q2 2018-10.0%-12.8%-13.3%
Q1 2018+3.1%+1.3%+5.8%
Q4 2017+2.9%-0.5%+0.6%
Q3 2017-7.6%-10.3%-14.0%
Q2 2017+0.7%+4.8%+0.8%
Q1 2017+3.5%+3.9%-4.5%
Q4 2016+0.1%-1.0%+0.4%
Q3 2016+7.3%+6.6%+22.5%
Q2 2016-2.9%-3.9%-3.4%
Q1 2016+2.0%
Q4 2015+6.5%
Q3 2015-2.1%
Q2 2015-18.9%
Q1 2015+3.2%
Q4 2014+3.3%
Q3 2014+4.2%
Q2 2014+4.4%
Q1 2014+0.5%
Q2 2013+0.4%
Q4 2013+0.4%
Q3 2013+1.1%
Q1 2013-1.0%
Q4 2012+1.2%
Q2 2012+1.2%
Q3 2012-8.5%
Q2 2011+0.0%
Q1 2012+13.6%
Q1 2011+13.6%
Q4 2011+0.0%
Q4 2009+0.0%
Q3 2010
Q4 2010
Q3 2011

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