Customers Bancorp Reports 71.7% Increase in Q3 Net Income, Total Assets Reach $24.3 Billion

Customers Bancorp, Inc. reported a significant increase in its financial performance for the third quarter and the first nine months of 2025, as detailed in its latest 10-Q filing. The company achieved net income available to common shareholders of $73.7 million for the three months ended September 30, 2025, a 71.7% increase from $42.9 million in the same period last year. For the nine months ended September 30, 2025, net income available to common shareholders was $139.1 million, slightly down from $143.2 million in 2024. The increase in quarterly net income was primarily driven by a rise in net interest income, which increased by 27.4% to $201.9 million, attributed to lower interest expenses on deposits and higher average loan balances.

The company’s total assets grew to $24.3 billion as of September 30, 2025, up from $22.3 billion at the end of 2024. This increase was largely due to a $1.5 billion rise in loans and leases receivable, which reached $16.1 billion, and a $399.7 million increase in cash and cash equivalents. Total deposits also rose by 8.3% to $20.4 billion, with notable increases in savings accounts and non-interest-bearing demand deposits. The allowance for credit losses (ACL) on loans and leases increased to $151.8 million, reflecting a proactive approach to managing credit risk amid rising loan balances.

Strategically, Customers Bancorp has been active in managing its capital structure and liquidity. The company redeemed all outstanding shares of its Series E Preferred Stock in June 2025, resulting in a decrease in preferred stock outstanding. Additionally, Customers Bancorp executed a public offering of common stock, raising approximately $163.5 million, which will be used for general corporate purposes and to support organic growth. The company also maintained a strong liquidity position, with $4.2 billion in cash and cash equivalents and $5.7 billion in available liquidity from the Federal Reserve Bank and Federal Home Loan Bank.

Operationally, Customers Bancorp has focused on expanding its commercial lending portfolio, which now constitutes approximately 91% of its total loan and lease portfolio. The company has emphasized specialized lending and commercial equipment financing, which have shown growth. As of September 30, 2025, the company reported a total of $14.8 billion in commercial loans, up from $13.2 billion at the end of 2024. The company continues to monitor macroeconomic conditions and adjust its strategies accordingly, particularly in light of recent interest rate changes and economic uncertainties.

Looking ahead, Customers Bancorp remains cautious yet optimistic about its growth trajectory. The company is focused on maintaining its capital ratios above regulatory requirements and managing its interest rate risk through various hedging strategies. The management anticipates that ongoing economic conditions, including inflation and interest rate fluctuations, will continue to influence its financial performance. The company is committed to enhancing its operational efficiency and expanding its market presence while ensuring robust risk management practices are in place.