Ameris Bancorp Posts 36% EPS Jump in Q2
Key Takeaways
From what the evidence shows, Ameris Bancorp (ABCB -0. 03%), a regional banking company with a strong presence in the Southeast, reported results for Q2 2025 on July 28, 2025....
Article Overview
Quick insights and key information
6 min read
Estimated completion
real estate
Article classification
July 28, 2025
09:40 PM
The Motley Fool
Original publisher
From what the evidence shows, Ameris Bancorp (ABCB -0. 03%), a regional banking company with a strong presence in the Southeast, reported results for Q2 2025 on July 28, 2025
The most notable headline was a beat on non-GAAP earnings per, which came in at $1
Moreover, 59 compared to the $1
Additionally, 33 non-GAAP consensus estimate
Additionally, However, the company’s reported GAAP revenue of $231, in light of current trends. 8 million missed analyst expectations by $65, amid market uncertainty
Moreover, 6 million (GAAP), a 22. 0% shortfall (GAAP revenue)
Despite this, The period was marked by higher fitability, with strong capital growth and imved key efficiency and return measures (an important development)
On the other hand, Overall, it was a mixed performance: Ameris dered robust earnings and capital results, but investors may note the underlying top-line revenue softness and modest loan and deposit growth remaining areas for focus
MetricQ2 2025Q2 2025 EstimateQ2 2024Y/Y ChangeEPS (Non-GAAP)$1. 0%Revenue (Non-GAAP)$301
Furthermore, 3 million$297, in today's financial world
Nevertheless, 4 million$284. 1 million6 (which is quite significant)
On the other hand, At the same time, 1%Net Interest Margin (Non-GAAP)3
In contrast, 19 ppEfficiency Ratio (Non-GAAP)51. 42 pp)Return on Average Tangible Common Equity (Non-GAAP)15. 41 pp Source: Analyst estimates for the quarter vided by FactSet
Meanwhile, Ameris Bancorp and Its ModelAmeris Bancorp operates as a regional bank dedicated to personal and commercial banking, including mortgage and specialty finance, amid market uncertainty
Its core franchise stretches across Georgia, Florida, Alabama, North Carolina, and South Carolina
The company’s primary lines of include traditional deposit-taking, lending, mortgage banking, and fee-generating financial services (quite telling)
The evidence shows company’s strategic focus has recently emphasized measured organic growth and selective acquisitions, with a priority on expanding its core banking presence in the Southeast
Key priorities include careful management and diversification of its loan portfolio, expanding core deposits, and keeping a disciplined apach to operating expenses
On the other hand, Maintaining strong credit quality, a resilient funding mix, and compliance with banking regulations are also central to its success (fascinating analysis)
Quarter in Review: Financial and Operational HighlightsDuring the quarter, Ameris reported higher non-GAAP earnings per and fit growth
Net income (GAAP) increased to $109, given current economic conditions. 8 million, up 21. 0% from $90 (noteworthy indeed), in this volatile climate. 8 million in the prior-year period
Furthermore, This tells us that return on average assets imved to 1, in today's financial world. 65%, and return on average tangible common equity (non-GAAP) reached 15, given the current landscape
Moreover, Tangible book value per (non-GAAP) rose 15
However, 5% annualized to $41
These trends reflect strong internal capital generation supported by both core net interest income and imvement in efficiency
However, Nevertheless, Ameris grew its total assets by only 0. 6% from the prior quarter, ending at $26
Additionally, 68 billion, considering recent developments
Loan growth was measured: total loans, net of unearned income, rose $335 million sequentially to $21. 04 billion
Moreover, Moreover, The loan book remained well diversified across commercial, residential, and specialty segments, in light of current trends
Commercial & industrial loans totaled $3
Additionally, 18 billion, while commercial and farmland real estate loans reached $8 (something worth watching)
However, 88 billion as of June 30, 2025
Mortgage warehouse balances increased to $1
Moreover, 09 billion, up from $0, considering recent developments. 89 billion in the prior quarter, in today's financial world
Revenue generation ved weaker than hoped, in today's financial world
Net interest income (tax-equivalent) increased to $232
At the same time, 7 million--up 9 (quite telling) (an important development). 3% year over year, in today's market environment
The net interest margin imved to 3, in this volatile climate
This was helped by stable funding costs and a favorable mix of noninterest-bearing deposits, which accounted for 31. 0% of total deposits, in today's market environment
Nevertheless, Deposit costs decreased to 1 (this bears monitoring). 95%, and the cost of interest-bearing deposits was 2, given current economic conditions
Noninterest income grew nearly 8% quarter-on-quarter to $68
However, 9 million, driven by a rebound in mortgage banking revenue
The Retail Mortgage Division dered $15
On the other hand, 6 million net income, while mortgage duction jumped to $1. 27 billion (quite telling)
That said, The end-of-period mortgage pipeline fell 7% to $719
In contrast, 1 million compared to Q1 2025, in today's market environment
Efficiency imved: the adjusted efficiency ratio dropped to 51
Ameris continued to imve its asset quality
Vision for credit losses (GAAP) was $2. 8 million--a sharp reduction from $24 (something worth watching). 7 million a year earlier
Nevertheless, Nonperforming assets fell to 0. 36% of total assets, down from 0
Additionally, 74% in the prior-year quarter
On the other hand, Net charge-offs, a measure of loans unly to be recovered, dropped to 0. 14% annualized
Furthermore, 1% of nonperforming assets were government-guaranteed as of June 30, 2025, limiting loss exposure
However, This tells us that allowance for credit losses stood stable at 1, in today's market environment. 62% of loans as of June 30, 2025
Moreover, Holder value remained a focus
Furthermore, The company repurchased 212,472 s during the quarter and the quarterly dividend was $0. 20 per, compared to $0 (this bears monitoring). 15 per in Q1 2025
Capital strength imved, as reflected by the tangible common equity (TCE) ratio (non-GAAP) increasing to 11. 09%, up from 9
However, 72% a year ago
Ameris also announced its intent in July 2025 to redeem $74 million of subordinated debt at a fixed rate of 8
Headcount dropped by 38 full-time equivalents
Looking Forward: Guidance and Investor ConsiderationsManagement reiterated a constructive outlook
Moreover, It continues to anticipate loan and deposit growth in the mid-single digits for 2025, with most growth expected in the second half of the year
Nevertheless, Margin guidance was adjusted slightly lower: leadership indicated that the net interest margin is ly to settle above 3. 60% in coming quarters as deposit competition increases and loan growth picks up pace
Expense discipline remains a priority, with annual merit increases for employees in April and a renewed push to balance margin against future growth opportunities (something worth watching), amid market uncertainty
Ameris Bancorp does pay a dividend
Nevertheless, Nevertheless, The quarterly dividend was increased to $0
However, 20 per in Q1 2025, up from $0. 15 per in the previous quarter
The data indicates that company’s leadership did not vide detailed forward earnings or revenue guidance beyond these broad directional s
Key factors to watch ahead include any renewed momentum in top-line revenue growth, how well Ameris maintains its margin and efficiency imvements, and any material change in credit conditions given the current economic and policy landscape
On the other hand, Revenue and net income presented using U, in today's financial world
Generally accepted accounting principles (GAAP) unless otherwise noted (this bears monitoring) (this bears monitoring).
Related Articles
More insights from FinancialBooklet