Customers Bancorp Q4 Earnings Call Highlights

Customers Bancorp (NYSE:CUBI) executives utilized the company’s fourth-quarter and full-year 2025 net telephone to item what they described arsenic beardown profitability, continued deposit and indebtedness growth, and expanding payments capabilities, portion besides outlining archetypal fiscal targets for 2026.

Executive Chairman Jay Sidhu opened the telephone by noting the company’s CEO modulation to Sam Sidhu, describing the alteration arsenic the effect of a succession readying process that began much than 5 years ago. Jay Sidhu besides reviewed the company’s improvement since its founding successful precocious 2009, erstwhile it began arsenic an astir $175 cardinal troubled slope and has since grown into a $25 cardinal plus institution.

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Jay Sidhu emphasized multi-year maturation successful revenue, earnings, and tangible publication value, and pointed to what helium described arsenic industry-leading compounding successful halfway net per stock implicit the past six years. He besides said the bank’s five-year full shareholder instrumentality has been implicit 300% and referenced profitability improvements, including higher margin, instrumentality connected assets, and instrumentality connected equity alongside accrued superior levels.

CEO Sam Sidhu described 2025 arsenic an “exceptional year,” citing aggregate operating highlights. He said deposits grew by astir $2 billion, oregon 10%, led by caller commercialized banking teams that added $1.6 cardinal successful deposits. Loans grew 15%, and the institution posted grounds nett involvement income that accrued 15%. He besides noted the ratio ratio dropped by much than six percent points and tangible publication worth per stock accrued much than 14% for the year.

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On a halfway basis, absorption reported:

• Fourth-quarter halfway EPS: $2.06

• Fourth-quarter halfway ROE: 13.8%

• Fourth-quarter ROA: astir 1.2%

• Full-year 2025 halfway EPS: $7.61, up 36% from 2024

CFO Mark McCollum said full deposits roseate astir $400 cardinal successful the 4th fourth to conscionable nether $21 billion. He said non-interest-bearing deposits accrued by astir $150 cardinal successful the 4th and by implicit $500 cardinal successful 2025, excluding ample increases associated with Qubix clients. McCollum besides discussed what helium characterized arsenic a continued displacement toward “relationship-based, granular, high-quality deposits,” noting that teams recruited implicit the past 2 and a fractional years negociate implicit $3.3 cardinal successful deposits (excluding Qubix) crossed much than 8,000 commercialized accounts. In the 4th quarter, those teams added $585 cardinal successful deposits, which helium said were 40% non-interest-bearing.