First Financial Q1 Net Income Rises 16.6%, Loans Up 6.3%
First Financial Bankshares reported Q1 net income of $71.54 million, a 16.6% annual increase, with EPS of $0.50 and net interest income of $134.8 million on a 3.86% margin. Loans grew 6.3% annualized to $8.29 billion and the efficiency ratio improved to 44.98%.
1. Q1 Earnings Performance
First Financial Bankshares delivered net income of $71.54 million in the first quarter, up from $61.35 million a year earlier, with diluted EPS of $0.50. Net interest income reached $134.79 million, driving a tax-equivalent margin of 3.86% compared to 3.74% in Q1 2025.
2. Loan and Deposit Trends
Loans held-for-investment increased to $8.29 billion at March 31, reflecting a 6.31% annualized growth from year-end, while deposits and repurchase agreements totaled $13.31 billion, nearly flat sequentially. Total consolidated assets stood at $15.39 billion.
3. Noninterest Income and Efficiency
Noninterest income rose to $32.10 million, led by trust fees of $13.36 million as trust assets grew to $11.91 billion. Noninterest expense totaled $76.77 million, yielding an efficiency ratio improvement to 44.98%.
4. Credit Quality
The provision for credit losses was $2.29 million versus a $2.49 million reversal in Q4, and the allowance for credit losses increased to $107.92 million, or 1.30% of loans. Nonperforming assets fell to 0.66% of loans at quarter-end.