First Financial Bankshares Reports $61.35 Million Net Income for Q1 2025, Up 14.89%

First Financial Bankshares, Inc. reported a net income of $61.35 million for the first quarter of 2025, reflecting a 14.89% increase from $53.40 million in the same period of 2024. The diluted earnings per share rose to $0.43, up from $0.37 year-over-year. The company's return on average assets improved to 1.78% from 1.62%, while the return on average equity increased to 15.12% from 14.43%. The growth in net earnings was primarily driven by an increase in net interest income, which reached $121.49 million, compared to $102.82 million in the prior year, largely due to higher average loans and taxable securities.

Total assets for First Financial Bankshares stood at $14.31 billion as of March 31, 2025, up from $13.19 billion a year earlier. The company's loan portfolio increased to $7.95 billion, a rise of $32.51 million from the end of 2024, with notable growth in real estate and consumer loans. The allowance for credit losses was $101.08 million, representing 1.27% of total loans, slightly up from 1.24% in the previous year. The company also reported a total deposit increase to $12.47 billion, compared to $11.29 billion a year prior, indicating strong customer retention and growth.

In terms of operational developments, First Financial Bankshares maintained a robust customer base with 79 locations across Texas. The bank's strategic focus on enhancing its loan portfolio and expanding its service offerings has contributed to its market position. The company has also extended its stock repurchase program, allowing for the repurchase of up to 5 million shares through July 31, 2025, although no shares have been repurchased under the current authorization as of the reporting date.

Looking ahead, First Financial Bankshares expressed optimism regarding its growth trajectory, supported by a solid capital position and a commitment to maintaining regulatory capital ratios well above the minimum requirements. The company’s total risk-based capital ratio was reported at 20.31%, significantly exceeding the regulatory minimum. Management remains focused on navigating potential economic challenges while leveraging opportunities for expansion and enhancing shareholder value. The bank's proactive approach to managing interest rate risk and maintaining liquidity positions it favorably for future growth.