1st Source Corporation Reports Record Third Quarter Results

1st Source Corporation, the parent company of 1st Source Bank, has released its latest SEC 8-K filing, detailing record financial results for the third quarter of 2025. The company has shown significant growth in key financial metrics, reflecting its robust performance and strategic initiatives.

Financial Highlights

For the third quarter of 2025, 1st Source Corporation reported a net income of $42.30 million, marking a 13.34% increase from the previous quarter and a 21.06% rise from the same period in 2024. The diluted net income per common share was $1.71, up 13.25% from the previous quarter and 21.28% from the third quarter of 2024. The company's return on average assets increased to 1.86%, and the return on average common shareholders’ equity rose to 13.76%.

Business and Operational Highlights

Average loans and leases grew by $46.93 million in the third quarter, a 0.67% increase from the previous quarter, and by $409.71 million, or 6.20%, from the third quarter of 2024. Average deposits also saw an increase, rising by $75.03 million, or 1.02%, from the previous quarter and by $289.69 million, or 4.06%, from the same period last year. The tax-equivalent net interest income was $88.90 million, up 4.17% from the previous quarter and 17.55% from the third quarter of 2024.

Strategic Initiatives and Corporate Developments

The Board of Directors approved a cash dividend increase of two cents per share to $0.40 per common share for the quarter, an 11.11% increase from the cash dividend declared a year ago. Additionally, the company repurchased 105,381 shares for treasury, reducing common shareholders’ equity by $6.38 million during the third quarter.

Management's Perspective

Andrea G. Short, President and Chief Executive Officer, expressed satisfaction with the record quarterly net income and continued net interest margin expansion. She highlighted the company's strong balance sheet and disciplined financial management, which positions 1st Source well to navigate ongoing macroeconomic uncertainties. Christopher J. Murphy III, Executive Chairman, emphasized the successful transition of senior leadership and the company's recognition in Bank Director Magazine’s Best U.S. Banks list.

Future Outlook

While the report did not provide specific forward-looking statements, the management's commentary suggests a positive outlook based on the company's strong financial foundation and strategic initiatives aimed at long-term value creation for shareholders.

Original SEC Filing: 1ST SOURCE CORP [ SRCE ] - 8-K - Oct. 23, 2025