East West Bancorp (EWBC) shares surged 5.79% in pre-market trading on Wednesday following the release of its impressive first-quarter 2025 earnings report. The bank holding company reported record revenue and solid loan growth, demonstrating resilience in a challenging economic environment.
Key highlights from the earnings report include: - Record revenue for the first quarter - End-of-period loans increased by 1% quarter-over-quarter to $54 billion - Fee income rose by 8% quarter-over-quarter - Net interest income increased by $12 million from Q4 to $600 million - Net interest margin expanded by 11 basis points to 3.35% - Return on tangible common equity of nearly 16% for the quarter
Despite economic uncertainties and potential rate cuts on the horizon, East West Bancorp maintained strong capital levels with a CET1 capital ratio of 14.3% and a tangible common equity ratio of 9.9%. The bank's solid performance and positive outlook have instilled confidence in investors, driving the stock's pre-market rally.