USCB Financial Holdings, Inc. Reports Record Fully Diluted EPS of $0.40 for Q2 2025; ROAA of 1.22% and ROAE of 14.29%
MIAMI, July 24, 2025 (GLOBE NEWSWIRE) -- USCB Financial Holdings, Inc. (the "Company") (NASDAQ:USCB), the holding company for U.S. Century Bank (the "Bank"), reported net income of $8.1 million or $0.40 per fully diluted share for the three months ended June 30, 2025, compared with net income of $6.2 million or $0.31 per fully diluted share for the same period in 2024.
"We are proud to report another consecutive record quarter, with continued improvement in our profitability ratios reflecting the strength of our core operations," said Luis de la Aguilera, Chairman, President and CEO. "This quarter, NIM reached 3.28%, driven by healthy loan growth and disciplined deposit pricing. We remain focused on sustaining this momentum while prudently managing risk and capital allocation to deliver long-term value to our shareholders."
Unless otherwise stated, all percentage comparisons in the bullet points below are calculated at or for the quarter ended June 30, 2025 compared to at or for the quarter ended June 30, 2024 and annualized where appropriate.
Profitability
Annualized return on average assets for the quarter ended June 30, 2025 was 1.22% compared to 1.01% for the second quarter of 2024.
Annualized return on average stockholders' equity for the quarter ended June 30, 2025 was 14.29% compared to 12.63% for the second quarter of 2024.
The efficiency ratio for the quarter ended June 30, 2025 was 51.77% compared to 56.33% for the second quarter of 2024.
Net interest margin for the quarter ended June 30, 2025 was 3.28% compared to 2.94% for the second quarter of 2024.
Net interest income before provision for credit losses was $21.0 million for the quarter ended June 30, 2025, an increase of $3.7 million or 21.5% compared to $17.3 million for the same period in 2024.
Balance Sheet
Total assets were $2.7 billion at June 30, 2025, representing an increase of $261.2 million or 10.6% from $2.5 billion at June 30, 2024.
Total loans held for investment were $2.1 billion at June 30, 2025, representing an increase of $244.1 million or 13.1% from $1.9 billion at June 30, 2024.
Total deposits were $2.3 billion at June 30, 2025, representing an increase of $279.0 million or 13.6% from $2.1 billion at June 30, 2024.
Total stockholders' equity was $231.6 million at June 30, 2025, representing an increase of $30.6 million or 15.2% from $201.0 million at June 30, 2024. Total stockholders' equity included accumulated comprehensive loss of $41.8 million at June 30, 2025 compared to accumulated comprehensive loss of $44.7 million at June 30, 2024.
Asset Quality
The allowance for credit losses ("ACL") increased by $2.7 million to $24.9 million at June 30, 2025 from $22.2 million at June 30, 2024.
The ACL represented 1.18% of total loans at June 30, 2025 and 1.19% at June 30, 2024.
The provision for credit loss was $1.0 million for the quarter ended June 30, 2025, an increase of $245 thousand compared to $786 thousand for the same period in 2024.
The ratio of non-performing loans to total loans was 0.06% at June 30, 2025 and 0.04% at June 30, 2024. Non-performing loans totaled $1.4 million at June 30, 2025 and $758 thousand at June 30, 2024.
Non-interest Income and Non-interest Expense
Non-interest income was $3.4 million for the three months ended June 30, 2025, an increase of $159 thousand or 5.0% compared to $3.2 million for the same period in 2024.
Non-interest expense was $12.6 million for the three months ended June 30, 2025, an increase of $1.1 million or 9.3% compared to $11.6 million for the same period in 2024.
Capital
On July 21, 2025, the Company's Board of Directors declared a quarterly cash dividend of $0.10 per share of the Company's Class A common stock. The dividend will be paid on September 5, 2025 to shareholders of record at the close of business on August 15, 2025.
As of June 30, 2025, total risk-based capital ratios for the Company and the Bank were 13.73% and 13.67%, respectively, well in excess of regulatory requirements.
Tangible book value per common share (a non-GAAP measure) was $11.53 at June 30, 2025, representing an increase of $0.30 or 10.7% annualized from $11.23 at March 31, 2025. At June 30, 2025, tangible book value per common share was negatively affected by ($2.08) per share due to an accumulated comprehensive loss of $41.8 million mostly due to changes in the market value of the Company's available for sale securities. At March 31, 2025, tangible book value per common share was negatively affected by ($2.05) per share due to an accumulated comprehensive loss of $41.1 million.
Conference Call and Webcast
The Company will host a conference call on Friday, July 25, 2025, at 11:00 a.m. Eastern Time to discuss the Company's unaudited financial results for the quarter ended June 30, 2025. To access the conference call, dial (833) 816-1416 (U.S. toll-free) and ask to join the USCB Financial Holdings Call.
Additionally, interested parties can listen to a live webcast of the call in the "Investor Relations" section of the Company's website at www.uscentury.com. An archived version of the webcast will be available in the same location shortly after the live call has ended.
About USCB Financial Holdings, Inc.
USCB Financial Holdings, Inc. is the bank holding company for U.S. Century Bank. Established in 2002, U.S. Century Bank is one of the largest community banks headquartered in Miami, and one of the largest community banks in the State of Florida. U.S. Century Bank is rated 5-Stars by BauerFinancial, the nation's leading independent bank rating firm. U.S. Century Bank offers customers a wide range of financial products and services and supports numerous community organizations, including the Greater Miami Chamber of Commerce, the South Florida Hispanic Chamber of Commerce, and ChamberSouth. For more information about us or to find a banking center near you, please call (305) 715-5200 or visit www.uscentury.com.
Forward-Looking Statements
This earnings release may contain statements that are not historical in nature and are intended to be, and are hereby identified as, forward-looking statements for purposes of the safe harbor provided by Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are those that are not historical facts. The words "may," "will," "anticipate," "could," "should," "would," "believe," "contemplate," "expect," "aim," "plan," "estimate," "seek," "continue," and "intend,", the negative of these terms, as well as other similar words and expressions of the future, are intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements related to our projected growth, anticipated future financial performance, and management's long-term performance goals, as well as statements relating to the anticipated effects on our results of operations and financial condition from expected or potential developments or events, or business and growth strategies, including anticipated internal growth and balance sheet restructuring.
These forward-looking statements involve significant risks and uncertainties that could cause our actual results to differ materially from those anticipated in such statements. Potential risks and uncertainties include, but are not limited to:
the strength of the United States economy in general and the strength of the local economies in which we conduct operations;
our ability to successfully manage interest rate risk, credit risk, liquidity risk, and other risks inherent to our industry;
the accuracy of our financial statement estimates and assumptions, including the estimates used for our credit loss reserve and deferred tax asset valuation allowance;
the efficiency and effectiveness of our internal control procedures and processes;
our ability to comply with the extensive laws and regulations to which we are subject, including the laws for each jurisdiction where we operate;
adverse changes or conditions in capital and financial markets, including actual or potential stresses in the banking industry;
deposit attrition and the level of our uninsured deposits;
legislative or regulatory changes and changes in accounting principles, policies, practices or guidelines, including the on-going effects of the Current Expected Credit Losses ("CECL") standard;
the lack of a significantly diversified loan portfolio and our concentration in the South Florida market, including the risks of geographic, depositor, and industry concentrations, including our concentration in loans secured by real estate, in particular, commercial real estate;
the effects of climate change;
the concentration of ownership of our common stock;
fluctuations in the price of our common stock;
our ability to fund or access the capital markets at attractive rates and terms and manage our growth, both organic growth as well as growth through other means, such as future acquisitions;
inflation, interest rate, unemployment rate, and market and monetary fluctuations;
the effects of potential new or increased tariffs and trade restrictions;
the impact of international hostilities and geopolitical events;
increased competition and its effect on the pricing of our products and services as well as our interest rate spread and net interest margin;
the loss of key employees;
the effectiveness of our risk management strategies, including operational risks, including, but not limited to, client, employee, or third-party fraud and security breaches; and
other risks described in this earnings release and other filings we make with the Securities and Exchange Commission ("SEC").
All forward-looking statements are necessarily only estimates of future results, and there can be no assurance that actual results will not differ materially from expectations. Therefore, you are cautioned not to place undue reliance on any forward-looking statements. Further, forward-looking statements included in this earnings release are made only as of the date hereof, and we undertake no obligation to update or revise any forward-looking statement to reflect events or circumstances after the date on which the statements are made or to reflect the occurrence of unanticipated events, unless required to do so under the federal securities laws. You should also review the risk factors described in the reports the Company filed or will file with the SEC.
Non-GAAP Financial Measures
This earnings release includes financial information determined by methods other than in accordance with generally accepted accounting principles ("GAAP"). This financial information includes certain operating performance measures. Management has included these non-GAAP measures because it believes these measures may provide useful supplemental information for evaluating the Company's operations and underlying performance trends. Further, management uses these measures in managing and evaluating the Company's business and intends to refer to them in discussions about our operations and performance. Operating performance measures should be viewed in addition to, and not as an alternative to or substitute for, measures determined in accordance with GAAP, and are not necessarily comparable to non-GAAP measures that may be presented by other companies. Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures can be found in the ‘Non-GAAP Reconciliation Tables' included in the exhibits to this earnings release.
All numbers included in this press release are unaudited unless otherwise noted.
Contacts:
Investor
Media RelationsMartha Guerra-Kattou
USCB FINANCIAL HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(Dollars in thousands, except per share data)
Three Months Ended June 30,
Six Months Ended June 30,
2025
2024
2025
2024
Interest income:
Loans, including fees
$
31,946
$
28,017
$
62,191
$
54,660
Investment securities
3,432
3,069
6,456
5,880
Interest-bearing deposits in financial institutions
776
1,531
1,485
2,964
Total interest income
36,154
32,617
70,132
63,504
Interest expense:
Interest-bearing checking deposits
285
391
623
760
Savings and money market deposits
9,410
10,071
18,745
20,465
Time deposits
4,343
3,222
8,261
6,516
FHLB advances and other borrowings
1,082
1,622
2,354
3,294
Total interest expense
15,120
15,306
29,983
31,035
Net interest income before provision for credit losses
21,034
17,311
40,149
32,469
Provision for credit losses
1,031
786
1,712
1,196
Net interest income after provision for credit losses
20,003
16,525
38,437
31,273
Non-interest income:
Service fees
2,402
1,977
4,733
3,628
Gain on sale of securities available for sale, net
-
14
-
14
Gain on sale of loans held for sale, net
151
417
676
484
Other non-interest income
817
803
1,677
1,549
Total non-interest income
3,370
3,211
7,086
5,675
Non-interest expense:
Salaries and employee benefits
7,954
7,353
15,590
13,663
Occupancy
1,337
1,266
2,621
2,580
Regulatory assessments and fees
396
476
817
909
Consulting and legal fees
263
263
456
855
Network and information technology services
564
479
1,069
986
Other operating expense
2,120
1,723
4,133
3,741
Total non-interest expense
12,634
11,560
24,686
22,734
Net income before income tax expense
10,739
8,176
20,837
14,214
Income tax expense
2,599
1,967
5,039
3,393
Net income
$
8,140
$
6,209
$
15,798
$
10,821
Per share information:
Net income per common share, basic
$
0.41
$
0.32
$
0.79
$
0.55
Net income per common share, diluted
$
0.40
$
0.31
$
0.78
$
0.55
Cash dividends declared
$
0.10
$
0.05
$
0.20
$
0.10
Weighted average shares outstanding:
Common shares, basic
20,059,264
19,650,681
20,040,205
19,642,006
Common shares, diluted
20,295,794
19,717,167
20,299,585
19,707,561
USCB FINANCIAL HOLDINGS, INC.
SELECTED FINANCIAL DATA (UNAUDITED)
(Dollars in thousands, except per share data)
As of or For the Three Months Ended
6/30/2025
3/31/2025
12/31/2024
9/30/2024
6/30/2024
Income statement data:
Net interest income before provision for credit losses
$
21,034
$
19,115
$
19,358
$
18,109
$
17,311
Provision for credit losses
1,031
681
1,030
931
786
Net interest income after provision for credit losses
20,003
18,434
18,328
17,178
16,525
Service fees
2,402
2,331
2,667
2,544
1,977
Gain on sale of securities available for sale, net
-
-
-
-
14
Gain on sale of loans held for sale, net
151
525
154
109
417
Other non-interest income
817
860
806
785
803
Total non-interest income
3,370
3,716
3,627
3,438
3,211
Salaries and employee benefits
7,954
7,636
7,930
7,200
7,353
Occupancy
1,337
1,284
1,337
1,341
1,266
Regulatory assessments and fees
396
421
405
452
476
Consulting and legal fees
263
193
552
161
263
Network and information technology services
564
505
494
513
479
Other operating expense
2,120
2,013
2,136
1,787
1,723
Total non-interest expense
12,634
12,052
12,854
11,454
11,560
Net income before income tax expense
10,739
10,098
9,101
9,162
8,176
Income tax expense
2,599
2,440
2,197
2,213
1,967
Net income
$
8,140
$
7,658
$
6,904
$
6,949
$
6,209
Per share information:
Net income per common share, basic
$
0.41
$
0.38
$
0.35
$
0.35
$
0.32
Net income per common share, diluted
$
0.40
$
0.38
$
0.34
$
0.35
$
0.31
Cash dividends declared
$
0.10
$
0.10
$
0.05
$
0.05
$
0.05
Balance sheet data (at period-end):
Cash and cash equivalents
$
54,819
$
97,984
$
77,035
$
38,486
$
77,261
Securities available-for-sale
$
285,382
$
275,139
$
260,221
$
259,527
$
236,444
Securities held-to-maturity
$
158,740
$
161,790
$
164,694
$
167,001
$
169,606
Total securities
$
444,122
