Heritage Financial Corporation (NASDAQ GS: HFWA) has released its first quarter 2025 financial results, showcasing a strong performance compared to the previous quarter and the same period in 2024.
In the first quarter of 2025, the company reported a net income of $13.9 million, a significant increase from $11.9 million in the fourth quarter of 2024 and $5.7 million in the first quarter of 2024. Diluted earnings per share also rose to $0.40 from $0.34 in the previous quarter and $0.16 in the same period last year.
Net interest margin improved to 3.44% from 3.36% in the fourth quarter of 2024, and deposits saw a notable increase of $160.7 million, or 2.8% (11.4% annualized). The cost of interest-bearing deposits decreased to 1.92% from 1.98% in the fourth quarter of 2024.
The company's total assets stood at $7,129,862 at the end of the first quarter of 2025, slightly up from $7,106,278 in the previous quarter. Loans receivable decreased to $4.76 billion from $4.80 billion in the fourth quarter of 2024.
Furthermore, total deposits increased to $5.85 billion from $5.68 billion in the previous quarter, with non-maturity deposits accounting for a significant portion of the growth, showing an increase of $152.7 million.
The company's liquidity position also strengthened, with total liquidity sources available at $2.54 billion at the end of the first quarter of 2025, representing a coverage ratio of 43.5% of total deposits and 109.3% of estimated uninsured deposits.
Heritage Financial Corporation also declared a regular cash dividend of $0.24 per share on April 23, 2025, indicating the company's commitment to delivering value to its shareholders.
Following these announcements, the company's shares moved -2.0%, and are now trading at a price of $22.52. For the full picture, make sure to review Heritage Financial's 8-K report.
