Customers Bancorp (NYSE: CUBI) saw its stock price surge 6.79% in after-hours trading on Thursday following the release of its impressive third-quarter 2025 financial results. The bank holding company significantly outperformed analyst expectations, demonstrating robust growth and improved capital strength.
The company reported core earnings per share of $2.20 for the quarter, handily beating the consensus estimate of $1.93. This represents a substantial 64.18% increase from the $1.34 per share earned in the same period last year. Customers Bancorp's net income for Q3 reached $73.726 million, reflecting strong financial performance across its operations.
Notably, Customers Bancorp showed significant improvement in its capital position. The CET1 ratio, a key measure of a bank's financial strength, increased to 13.0% at the end of September, up from 12.1% at the end of June. This enhancement was primarily driven by a successful common equity raise, which brought in $163 million and bolstered the bank's capital base.
The company also reported impressive profitability metrics, with a core return on common equity (ROCE) of 15.52% for the quarter. Total net interest income came in at $201.9 million, surpassing analyst projections and marking a 27.35% increase year-over-year. This growth was attributed to higher interest income from loans and leases, as well as increased average non-interest bearing deposit balances.
Investors responded positively to these results, as the strong earnings and improved capital position suggest Customers Bancorp is well-positioned for continued growth and stability in the current economic environment. The after-hours stock price jump reflects growing confidence in the company's financial health and future prospects.