TriCo Bancshares Reports Q1 2025 Financial Results with $26.4 Million Net Income

TriCo Bancshares reported its financial results for the first quarter of 2025, revealing a net income of $26.4 million, or $0.80 per diluted share, compared to $27.7 million, or $0.83 per diluted share, in the same period last year. The company's total interest income for the quarter was $114.1 million, slightly down from $115.4 million a year earlier, while interest expense decreased to $31.5 million from $32.7 million. As a result, net interest income remained relatively stable at $82.5 million, reflecting a net interest margin of 3.73%, a slight increase from 3.68% in the prior year.

In terms of operational performance, TriCo Bancshares saw a modest increase in total loans, which rose to $6.82 billion, up from $6.77 billion at the end of 2024. The company’s total deposits also increased, reaching $8.21 billion, a rise of $117.8 million from the previous quarter. The allowance for credit losses on loans stood at $128.4 million, representing 1.88% of total loans, compared to 1.85% at the end of 2024. The provision for credit losses was approximately $3.7 million, up from $1.7 million in the previous quarter, attributed to an increase in reserves for individually evaluated loans.

Strategically, TriCo Bancshares has continued to focus on enhancing its loan portfolio and deposit base. The company reported a significant increase in its non-interest income, which totaled $16.1 million, up from $15.8 million in the same quarter last year. This growth was driven by higher asset management and commission income, as well as gains from the sale of loans. However, the company incurred a loss of $1.1 million on the sale of investment securities during the quarter.

Looking ahead, TriCo Bancshares remains optimistic about its growth prospects, despite the challenges posed by the current economic environment. The company plans to leverage its strong liquidity position, with total primary liquidity at $4.08 billion, to support its lending activities and investment strategies. Management is also closely monitoring credit quality indicators, as non-performing assets increased to $57.5 million, or 0.59% of total assets, reflecting ongoing efforts to manage and mitigate credit risk effectively. The company’s capital ratios remain strong, with total capital to risk-weighted assets at 15.78%, well above regulatory requirements, positioning TriCo Bancshares for continued stability and growth.