Origin Bancorp, Inc. ( (OBK) ) has released its Q1 earnings. Here is a breakdown of the information Origin Bancorp, Inc. presented to its investors.
Origin Bancorp, Inc., a financial holding company headquartered in Ruston, Louisiana, operates through its subsidiary, Origin Bank, providing a range of financial services across several U.S. states, including Texas and Louisiana. The company is known for its personalized relationship banking approach and has been serving communities since 1912.
In the first quarter of 2025, Origin Bancorp, Inc. reported a net income of $22.4 million, marking a significant increase from the previous quarter. The company also highlighted its ‘Optimize Origin’ initiative, aimed at achieving elite financial performance through strategic measures such as branch consolidation and balance sheet optimization.
Key financial metrics for the quarter include a net interest income of $78.5 million, the highest in eight quarters, and a net interest margin expansion to 3.44%. The company’s return on average assets increased to 0.93%, while total deposits grew by 1.4% to $8.34 billion. The ‘Optimize Origin’ initiative is expected to drive annual earnings improvement by approximately $23.4 million on a pre-tax pre-provision basis.
Despite the positive financial performance, the company experienced an increase in past due loans and nonperforming loans, which were partly attributed to litigation issues. However, Origin Bancorp continues to focus on enhancing its financial health through strategic initiatives and operational efficiencies.
Looking ahead, Origin Bancorp remains committed to its strategic goals, with management expressing confidence in achieving a top quartile return on average assets by the end of 2025. The company aims to continue optimizing its operations to sustain its financial growth and strengthen its market position.