Central Pacific Financial Corp. reported net income of $22.9 million for Q4 2025, up from $18.6 million in the prior quarter and $11.3 million a year earlier. Diluted EPS rose to $0.85, exceeding the consensus estimate of $0.73 and marking a year-over-year increase of 102%. Net interest income reached $62.1 million, a 1.3% sequential gain and an 11.3% advance year over year, driven by disciplined balance sheet management and favorable funding costs. The company’s net interest margin expanded by 7 basis points quarter-on-quarter to 3.56%, while provision for credit losses declined to $2.4 million from $4.2 million in Q3, reflecting improved macroeconomic forecasts and a modest reduction in loan balances.

As of December 31, 2025, total assets stood at $7.41 billion, essentially flat with the prior quarter. Loans, net of fees, were $5.29 billion, down 1.5% sequentially, while core deposits climbed 1.3% to $6.06 billion. The allowance for credit losses remained stable at 1.13% of total loans. Nonperforming assets totaled $14.4 million, or 0.19% of assets, consistent with the prior quarter, and net charge-offs annualized improved to 0.18% of average loans. Regulatory capital ratios remained robust, with a Common Equity Tier 1 ratio of 12.7% and a total risk-based capital ratio of 14.8%.

During Q4, the company returned $16.3 million to shareholders through the repurchase of 529,613 shares at an average cost of $30.82 per share. For full-year 2025, share repurchases totaled $23.3 million and dividends paid were $29.4 million. In January 2026, the board approved a new $55 million share repurchase plan and raised the quarterly dividend by 3.6% to $0.29 per share, payable March 16 to holders of record as of February 27. These actions underscore management’s confidence in cash flow generation and capital position while maintaining a disciplined payout ratio of approximately 46%.