Fulton Financial Reports $90.4M Net Income in Q1 2025, Operating EPS Hits $0.52

Fulton Financial Corporation (NASDAQ: FULT) reported a strong start to the year, posting net income available to common shareholders of $90.4 million, or $0.49 per diluted share, for the first quarter of 2025. Operating net income—which excludes acquisition-related and other non-core items—rose to $95.5 million, or $0.52 per diluted share.

Chairman and CEO Curtis J. Myers highlighted the performance, stating, “We are pleased with our first quarter operating earnings of $0.52 per diluted share and encouraged by the strong start to the year. Our team continues to focus on long-term value creation despite the uncertain economic environment.”

Key Financial Metrics:

Net interest margin stood at 3.43%, supported by a 12 basis point drop in total cost of funds.

Non-interest expense declined sharply to $189.5 million from $216.6 million in Q4 2024.

Provision for credit losses was $13.9 million, with total allowance reaching $379.7 million, or 1.59% of total net loans.

Customer deposits, excluding brokered deposits, increased $304.9 million, annualized at 4.9%.

Common equity Tier 1 capital ratio improved to 11.0% from 10.8% in the previous quarter.

Loan and Deposit Trends:

Total net loans stood at $23.9 billion, reflecting a $182.3 million decrease driven by a $244.3 million drop in commercial and other loans—partially offset by a $62 million rise in consumer loans. Deposits grew by $199.5 million to $26.3 billion, boosted by savings inflows despite declines in brokered and demand deposits.

Asset Quality:

Fulton reported continued stability in asset quality:

Non-performing assets dropped to $199 million (0.62% of total assets), down from $222.7 million in Q4.

Net charge-offs represented 0.21% of average loans, slightly down from 0.22% in the prior quarter.

Efficiency and Profitability:

The company improved its efficiency ratio to 56.7% from 58.4% in Q4. Return on average assets reached 1.18%, and operating return on tangible common equity rose to 15.95%.

Fulton attributes part of its performance to efficiencies gained through the integration of Republic Bank assets acquired in 2024. The bank continues to show resilience amid ongoing industry-wide rate and regulatory shifts.