Triumph Financial Reports $784,000 Net Loss in Q1 2025, Total Assets Rise to $6.268 Billion

Triumph Financial, Inc. reported a net loss of $784,000, or $(0.03) per diluted share, for the first quarter of 2025, a significant decline from the net income of $3.4 million, or $0.14 per diluted share, recorded in the same period of 2024. The company's total assets increased to $6.268 billion as of March 31, 2025, up from $5.949 billion at the end of 2024. This growth was primarily driven by an increase in loans held for investment, which rose to $4.666 billion, compared to $4.547 billion at the end of the previous year. The increase in loans was attributed to a rise in factored receivables, which grew by 12.1% to $1.351 billion, while banking loans decreased slightly by 0.8%.

The company's interest income for the quarter was $102.3 million, a marginal increase from $101.9 million in the prior year, while interest expense rose to $17.9 million, up from $15.9 million. This resulted in a net interest income of $84.4 million, down from $86.0 million year-over-year. The net interest margin also decreased to 6.49% from 7.29%, primarily due to lower yields on loans and an increase in the cost of interest-bearing liabilities. Noninterest income increased by 14.6% to $17.2 million, driven by higher fee income and gains on the sale of loans.

Operationally, Triumph Financial has made strategic moves, including the merger of Triumph Financial Services LLC into TBK Bank, effective January 1, 2025, which consolidates its factoring operations. Additionally, the company announced the planned acquisition of GreenScreens AI, Inc. for $140 million in cash and $20 million in stock, aimed at enhancing its pricing intelligence capabilities in the logistics sector. The acquisition is expected to close in the second quarter of 2025, pending regulatory approval.

As of March 31, 2025, Triumph Financial's total liabilities stood at $5.374 billion, with total deposits increasing to $4.977 billion, reflecting a $155.9 million rise during the quarter. The company maintained a strong capital position, with total stockholders' equity of $893.9 million and capital ratios that exceeded regulatory requirements. The allowance for credit losses on loans decreased to $36.2 million, representing 0.78% of total loans, down from 0.90% at the end of 2024. The company continues to focus on managing credit risk, particularly in light of ongoing challenges in the transportation sector, which is a significant part of its factoring business. Looking ahead, Triumph Financial aims to leverage its technology initiatives and operational efficiencies to navigate the current market conditions and enhance profitability.