Coastal Financial Corp has recently released its 10-Q report, revealing a comprehensive view of its financial health and operations. The company operates as a bank holding company for Coastal Community Bank, providing various banking products and services to small and medium-sized businesses, professionals, and individuals in the Puget Sound region in Washington.
As of June 30, 2025, Coastal Financial Corp reported total assets of $4.48 billion, total loans receivable of $3.54 billion, total deposits of $3.91 billion, and total shareholders' equity of $461.7 million. The company's business is conducted through three reportable segments: the community bank, CCBX, and treasury & administration. The community bank segment focuses on providing banking products and services to consumers and small to medium-sized businesses in the Puget Sound region. The CCBX segment provides banking as a service, allowing digital financial service providers, companies, and brands to offer their customers banking services. The treasury & administration segment includes investments, debt, and other reporting items not specific to the community bank or CCBX segments.
Coastal Financial Corp's net income for the three months ended June 30, 2025, was $11.0 million, or $0.71 per diluted share, compared to $11.6 million, or $0.84 per diluted share, for the same period in 2024. The decrease in net income was primarily attributable to a $14.9 million increase in noninterest expenses partially offset by a $10.4 million increase in interest income. The company's financial summary also highlighted that total loans, net of deferred fees, increased by $23.0 million, or 0.7%, during the three months ended June 30, 2025, reaching $3.54 billion. Additionally, deposits increased by $122.3 million, or 3.2%, to $3.91 billion as of June 30, 2025, compared to $3.79 billion as of March 31, 2025.
The company's CCBX segment continues to evolve, with 29 relationships at varying stages as of June 30, 2025. Coastal Financial Corp aims to refine the criteria for CCBX partnerships, exploring relationships with larger, more established partners, while also considering medium and smaller-sized partners that align with their approach and terms. The company plans to continue selling loans as part of its strategy to balance partner and lending limits, manage the loan portfolio, and credit quality. Moreover, the introduction of new deposit products through strategic partnerships with Robinhood and Dave is expected to diversify and grow deposits.
The market has reacted to these announcements by moving the company's shares 2.47% to a price of $97.865. For more information, read the company's full 10-Q submission here.
