Northwest Bancshares, Inc. Announces Second Quarter 2025 net income of $34 million, or $0.26 per diluted share

Rhea-AI Summary

Northwest Bancshares (NASDAQ:NWBI) reported Q2 2025 net income of $34 million, or $0.26 per diluted share, up from $5 million in Q2 2024 but down from $43 million in Q1 2025. The company achieved a strong net interest margin of 3.56% and total revenue growth of 54% year-over-year.

Key highlights include 19% growth in Commercial C&I lending, successful completion of the Penns Woods merger, and a 9% increase in noninterest income over the previous quarter. The Board declared a quarterly dividend of $0.20 per share, representing an annualized yield of 6.3%. The company's average loans receivable stood at $11.25 billion, with deposits at $12.15 billion.

Positive

• None.

Negative

• Net income decreased $10 million from previous quarter
• Classified loans increased to $518 million (4.57% of total loans) from $257 million year-over-year
• Provision for credit losses increased to $9 million due to commercial real estate portfolio downgrades
• Average loans receivable decreased $120 million year-over-year

Insights

Banking Financial Analyst

Northwest Bancshares posted solid Q2 results with improved YoY performance despite QoQ declines following a non-recurring interest recovery.

Northwest Bancshares delivered $34 million in Q2 2025 net income ($0.26 per share), a substantial improvement from the $5 million ($0.04 per share) in Q2 2024, though down from $43 million in Q1 2025. On an adjusted basis, the bank earned $38 million ($0.30 per share). The bank's performance demonstrates both strengths and challenges worth noting.

The company's net interest margin remained healthy at 3.56%, up significantly from 3.20% a year ago but down from 3.87% in Q1. However, this sequential decline is largely explained by a $13.1 million non-accrual interest recovery in Q1 that artificially boosted the previous quarter's results. Excluding this one-time item, Q1's margin would have been 3.48%, meaning Q2 actually showed marginal improvement.

Northwest's strategic shift toward commercial lending is bearing fruit, with 19% growth in C&I lending over the past year. This portfolio reshaping has helped maintain loan yields at 5.55% despite challenging interest rate conditions. Meanwhile, the bank has effectively controlled funding costs, with interest-bearing liability costs decreasing to 2.09% from 2.40% a year ago.

Credit quality warrants attention, as classified loans increased substantially to $518 million (4.57% of total loans) from $279 million in Q1 and $257 million a year ago. This 86% quarterly increase in classified loans, primarily in commercial real estate, prompted higher loan loss provisions of $11.5 million, up from $8.3 million in Q1.

The recently completed Penns Woods merger appears to be integrating well, with systems conversion completed. The bank's strong capital position supports its generous $0.20 quarterly dividend, representing an attractive 6.3% annualized yield, which has now been paid for 123 consecutive quarters.

With a strengthening core business evidenced by improving fee income (up 9% QoQ) and effective expense management, Northwest is balancing growth initiatives with credit vigilance in what management describes as a "still unpredictable operating environment."

Total revenue grew 54% and net interest income increased 12% over prior year quarter

Successful completion and systems conversion of Penns Woods merger

Strong 2Q net interest margin at 3.56% as we continue to manage our funding costs and maintain our loan yield

Noninterest income grew 9% over prior quarter

2Q25 adjusted (non-GAAP) net income of $38 million, or $0.30 per diluted share

Commercial C&I lending momentum continues with 19% growth in the last year

COLUMBUS, Ohio, July 29, 2025 /PRNewswire/ -- Northwest Bancshares, Inc., (the "Company"), (Nasdaq: NWBI) announced net income for the quarter ended June 30, 2025 of $34 million, or $0.26 per diluted share. This represents an increase of $29 million compared to the same quarter last year, when net income was $5 million, or $0.04 per diluted share, and a decrease of $10 million compared to the prior quarter, when net income was $43 million, or $0.34 per diluted share. The annualized returns on average shareholders' equity and average assets for the quarter ended June 30, 2025 were 8.26% and 0.93% compared to 1.24% and 0.13% for the same quarter last year and 10.90% and 1.22% from the prior quarter.

Adjusted net income (non-GAAP) for the quarter ended June 30, 2025 was $38 million, or $0.30, per diluted share, which decreased by $6 million from $44 million, or $0.35, per diluted share, in the prior quarter. This decrease was primarily driven by an $8 million decrease in net interest income impacted by a large non-accrual interest income recovery in the prior quarter. The adjusted annualized returns on average shareholders' equity (non-GAAP) and average assets (non-GAAP) for the quarter ended June 30, 2025 were 9.36% and 1.06% compared to 11.11% and 1.25% for the prior quarter.

The Company also announced that its Board of Directors declared a quarterly cash dividend of $0.20 per share payable on August 19, 2025 to shareholders of record as of August 8, 2025. This is the 123rd consecutive quarter in which the Company has paid a cash dividend. Based on the market value of the Company's common stock as of June 30, 2025, this represents an annualized dividend yield of approximately 6.3%.

Louis J. Torchio, President and CEO, Northwest Bancshares commented, "I am pleased with our performance in the second quarter of 2025, as we continue to execute our strategy, delivering on our commitment to sustainable, responsible and profitable growth. Overall, we built on our strong start to the year, with net interest margin expansion and revenue growth, and we continued to exercise prudent expense control, resulting in further improvements in our efficiency ratio.

"Despite a still unpredictable operating environment, I am confident and excited about Northwest's prospects for the year ahead. Although we are always evaluating acquisition opportunities for additional scale and strategic benefits, with the Penns Woods acquisition and conversion just behind us, we are primarily focused on optimizing the operations and financial performance of the newly combined entity. We continue to enhance our capabilities, expand our footprint thru new branch openings, and provide personalized services and expertise to our customers and communities we serve."

Dollars in thousands							Change 2Q25 vs.
	2Q25		1Q25		2Q24		1Q25		2Q24
Average loans receivable	$    11,248,954		11,176,516		11,368,749		0.6 %		(1.1) %
Average investments	2,056,476		2,037,227		2,021,347		0.9 %		1.7 %
Average deposits	12,154,001		12,088,371		12,086,362		0.5 %		0.6 %
Average borrowed funds	208,342		224,122		323,191		(7.0) %		(35.5) %

 

• Average loans receivable decreased $120 million from the quarter ended June 30, 2024 driven by our personal banking portfolio, which decreased by $265 million as cash flows from this portfolio were reinvested in our commercial portfolios. This was partially offset by growth in our commercial banking portfolio, which grew by $145 million in total, including a $332 million increase in our commercial and industrial portfolio as we have continued to build-out our commercial lending verticals. Compared to the first quarter of 2025, average loans receivable increased by $72 million with growth in our personal banking portfolio of $66 million.
• Average investments grew $35 million from the quarter ended June 30, 2024 and $19 million from the quarter ended March 31, 2025. The growth in average investments was primarily due to an increase in net portfolio purchases during the quarter to reach a normalized percentage of total assets for liquidity purposes.
• Average deposits grew $68 million from the quarter ended June 30, 2024 and $66 million from the quarter ended March 31, 2025. The growth in both periods was primarily driven by an increase in money market, interest-bearing checking and saving account balances partly due to customers shifting funds to these competitively priced products as their time deposits matured. These increases were partially offset by a decrease in brokered time deposit balances as growth in core deposits provided sufficient funding.
• Average borrowings decreased $115 million compared to the quarter end June 30, 2024 and decreased $16 million compared to the quarter ended March 31, 2025. The decrease in average borrowings from the prior year is primarily attributable to the strategic pay-down of wholesale borrowings with the proceeds from our investment portfolio restructuring in the second quarter of 2024.

Income Statement Highlights

Dollars in thousands							Change 2Q25 vs.
	2Q25		1Q25		2Q24		1Q25		2Q24
Interest income	$   171,570		180,595		166,854		(5.0) %		2.8 %
Interest expense	52,126		52,777		60,013		(1.2) %		(13.1) %
Net interest income	$   119,444		127,818		106,841		(6.6) %		11.8 %
	‌
Net interest margin	3.56 %		3.87 %		3.20 %

 

Compared to the quarter ended June 30, 2024, net interest income increased $13 million and net interest margin increased to 3.56% from 3.20% for the quarter ended June 30, 2024. This increase in net interest income resulted primarily from:

• A $5 million increase in interest income that was the result of higher average yields, partly offset by lower average earning assets. The average yield on loans improved to 5.55% for the quarter ended June 30, 2025 from 5.47% for the quarter ended June 30, 2024. This increase was driven by a loan mix shift towards higher yielding commercial loans. The average yields on investments increased due to a portfolio restructuring completed in the second quarter of 2024.
• A $8 million decrease in interest expense was the result of a decline in the cost of deposits in conjunction with a decrease in the average balance of borrowings. The cost of interest-bearing liabilities decreased to 2.09% for the quarter ended June 30, 2025 from 2.40% for the quarter ended June 30, 2024.

Compared to the quarter ended March 31, 2025, net interest income decreased $8 million and net interest margin decreased to 3.56% for the quarter ended June 30, 2025 from 3.87%. This decrease in net interest income resulted from the following:

• A $9 million decrease in interest income driven by an interest recovery of $13.1 million on a non-accrual commercial loan payoff during the quarter ended March 31, 2025. This was partially offset by higher growth in the average loan balances and an increase on investments yields compared to the prior quarter. The average yield on loans decreased to 5.55% from 6.00% and average investment yields increased to 2.69% from 2.62% for the quarter ended March 31, 2025. The decrease in loan yields was impacted by the non-accrual interest recoveries in the prior quarter. Excluding this interest recovery, the yield on loans for the quarter ended March 31, 2025 was 5.52% and the net interest margin was 3.48%.
• A $1 million decrease in interest expense driven by lower interest expense on deposits as average cost declined compared to the prior quarter to 1.97% from 2.02% for the quarter ended March 31, 2025.

Dollars in thousands							Change 2Q25 vs.
	2Q25		1Q25		2Q24		1Q25		2Q24
Provision for credit losses - loans	$        11,456		8,256		2,169		38.8 %		428.2 %
Provision for credit losses - unfunded commitments	(2,712)		(345)		(2,539)		686.1 %		6.8 %
Total provision for credit losses expense	$          8,744		7,911		(370)		10.5 %		(2463.2) %

 

The total provision for credit losses for the quarter ended June 30, 2025 was $9 million primarily driven by downgrades and individual assessments within our commercial real estate portfolio offset by changes in the economic forecasts coupled with a decline in our reserves for unfunded commitments in the current period. This decline is based on the timing of origination and funding of commercial construction loans and lines of credit.

The Company saw an increase in classified loans to $518 million, or 4.57% of total loans, at June 30, 2025 from $257 million, or 2.26% of total loans, at June 30, 2024 and $279 million, or 2.49% of total loans, at March 31, 2025. This increase was driven by changes in our commercial real estate portfolio which increased $195 million.

Dollars in thousands							Change 2Q25 vs.
	2Q25		1Q25		2Q24		1Q25		2Q24
Noninterest income:
Loss on sale of investments	$              —		—		(39,413)		NA		NA
Gain on sale of SBA loans	819		1,238		1,457		(33.8) %		(43.8) %
Service charges and fees	15,797		14,987		15,527		5.4 %		1.7 %
Trust and other financial services income	7,948		7,910		7,566		0.5 %		5.0 %
Gain on real estate owned, net	258		84		487		207.1 %		(47.0) %
Income from bank-owned life insurance	1,421		1,331		1,371		6.8 %		3.6 %
Mortgage banking income	1,075		696		901		54.5 %		19.3 %
Other operating income	3,620		2,109		3,255		71.6 %		11.2 %
Total noninterest income	$        30,938		28,355		(8,849)		9.1 %		(449.6) %

 

Noninterest income increased $40 million from the quarter ended June 30, 2024 driven by a $39 million loss on the sale of investment securities in the prior year quarter. Excluding the loss on sale of securities, noninterest income was flat from the second quarter of 2024. Noninterest income increased by $3 million from the quarter ended March 31, 2025, due primarily to an increase in other operating income, driven by a gain on equity method investments, coupled with an increase in service charges and fees driven by commercial loan fees and deposit related fees based on customer activity.

Dollars in thousands							Change 2Q25 vs.
	2Q25		1Q25		2Q24		1Q25		2Q24
Noninterest expense:
Personnel expense	$        55,213		54,540		53,531		1.2 %		3.1 %
Non-personnel expense	42,327		37,197		38,889		13.8 %		8.8 %
Total noninterest expense	$        97,540		91,737		92,420		6.3 %		5.5 %

 

Noninterest expense increased from the quarter ended June 30, 2024 due to a $2 million increase in personnel expenses driven by an increase in core and incentive compensation coupled with an increase in non-personnel expense of $3 million due to merger and restructuring expenses in the current period.

Compared to the quarter ended March 31, 2025, noninterest expense increased due to an increase in non-personnel expense of $5 million due to merger and restructuring expenses in the quarter ended June 30, 2025.

Dollars in thousands							Change 2Q25 vs.
	2Q25		1Q25		2Q24		1Q25		2Q24
Income before income taxes	$        44,098		56,525		5,942		(22.0) %		642.1 %
Income tax expense	10,423		13,067		1,195		(20.2) %		772.2 %
Net income	$        33,675		43,458		4,747		(22.5) %		609.4 %

 

The provision for income taxes increased by $9 million from the quarter ended June 30, 2024 and decreased $3 million from the quarter ended March 31, 2025 primarily due to the quarterly change in income before income taxes.

Net income increased from the quarter ended June 30, 2024 and decreased from the quarter ended March 31, 2025 due to the factors discussed above.

Headquartered in Columbus, Ohio, Northwest Bancshares, Inc. is the bank holding company of Northwest Bank. Founded in 1896 Northwest Bank is a full-service financial institution offering a complete line of business and personal banking products, as well as employee benefits and wealth management services. As of June 30, 2025, Northwest operated 131 full-service financial centers and ten free standing drive-up facilities in Pennsylvania, New York, Ohio and Indiana. Northwest Bancshares, Inc.'s common stock is listed on The Nasdaq Stock Market LLC ("NWBI"). Additional information regarding Northwest Bancshares, Inc. and Northwest Bank can be accessed online at www.northwest.com.

Investor Contact: Michael Perry, Corporate Development & Strategy (814) 726-2140
Media Contact: Ian Bailey, External Communications (380) 400-2423

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Forward-Looking Statements - This release may contain forward-looking statements with respect to the financial condition and results of operations of Northwest Bancshares, Inc. including, without limitation, statements relating to the earnings outlook of the Company. These forward-looking statements involve certain risks and uncertainties. Factors that may cause actual results to differ materially from those contemplated by such forward-looking statements include, among others, the following possibilities: (1) changes in the interest rate environment; (2) competitive pressure among financial services companies or instability or breakdown in the financial services sector; (3) general economic conditions including inflation, an increase in non-performing loans or changes in monetary, fiscal, regulatory and tariff policies of the U.S. government; (4) changes in legislation or regulatory requirements, including as part of the regulatory reform agenda of the Trump administration; (5) difficulties in continuing to improve operating efficiencies; (6) difficulties in the integration of acquired businesses or the ability to complete sales transactions; (7) increased risk associated with commercial real-estate and business loans; (8) changes in liquidity, including the size and composition of our deposit portfolio; (9) reduction in the value of our goodwill and other intangible assets; and (10) the effect of any pandemic, war or act of terrorism. Management has no obligation to revise or update these forward-looking statements to reflect events or circumstances that arise after the date of this release, except as required by law.

 

Northwest Bancshares, Inc. and Subsidiaries Consolidated Statements of Financial Condition (Unaudited) (dollars in thousands, except per share amounts)
‌
	June 30, 2025		December 31, 2024		June 30, 2024
Assets
Cash and cash equivalents	$       267,075		288,378		228,433
Marketable securities available-for-sale (amortized cost of $1,341,651, $1,278,665 and $1,202,354, respectively)	1,194,883		1,108,944		1,029,191
Marketable securities held-to-maturity (fair value of $628,936, $637,948 and $663,292, respectively)	719,561		750,586		784,208
Total cash and cash equivalents and marketable securities	2,181,519		2,147,908		2,041,832
‌
Loans held-for-sale	13,104		76,331		9,445
Residential mortgage loans	3,052,126		3,178,269		3,315,303
Home equity loans	1,157,520		1,149,396		1,180,486
Consumer loans	2,211,275		1,995,085		2,080,058
Commercial real estate loans	2,782,404		2,849,862		3,026,958
Commercial loans	2,138,499		2,007,402		1,742,114
Total loans receivable	11,341,824		11,180,014		11,354,364
Allowance for credit losses	(129,159)		(116,819)		(125,070)
Loans receivable, net	11,212,665		11,063,195		11,229,294
‌
FHLB stock, at cost	17,809		21,006		20,842
Accrued interest receivable	46,987		46,356		48,739
Real estate owned, net	48		35		74
Premises and equipment, net	123,402		124,246		128,208
Bank-owned life insurance	255,708		253,137		253,890
Goodwill	380,997		380,997		380,997
Other intangible assets, net	1,897		2,837		3,954
Other assets	250,971		292,176		277,723
Total assets	$   14,485,107		14,408,224		14,385,553
Liabilities and shareholders' equity
Liabilities
Noninterest-bearing demand deposits	$     2,643,099		2,621,415		2,581,699
Interest-bearing demand deposits	2,622,695		2,666,504		2,565,750
Money market deposit accounts	2,153,078		2,007,739		1,964,841
Savings deposits	2,211,509		2,171,251		2,148,727
Time deposits	2,570,648		2,677,645		2,826,362
Total deposits	12,201,029		12,144,554		12,087,379
‌
Borrowed funds	198,008		200,331		242,363
Subordinated debt	114,713		114,538		114,364
Junior subordinated debentures	129,964		129,834		129,703
Advances by borrowers for taxes and insurance	47,865		42,042		52,271
Accrued interest payable	7,729		6,935		21,423
Other liabilities	143,731		173,134		181,452
Total liabilities	12,843,039		12,811,368		12,828,955
Shareholders' equity
Preferred stock, $0.01 par value: 50,000,000 shares authorized, no shares issued	—		—		—
Common stock, $0.01 par value: 500,000,000 shares authorized, 127,842,403, 127,508,003 and 127,307,997 shares issued and outstanding, respectively	1,278		1,275		1,273
Additional paid-in capital	1,037,615		1,033,385		1,027,703
Retained earnings	699,049		673,110		657,706
Accumulated other comprehensive loss	(95,874)		(110,914)		(130,084)
Total shareholders' equity	1,642,068		1,596,856		1,556,598
Total liabilities and shareholders' equity	$   14,485,107		14,408,224		14,385,553
‌
Equity to assets	11.34 %		11.08 %		10.82 %
Tangible common equity to tangible assets *	8.93 %		8.65 %		8.37 %
Book value per share	$            12.84		12.52		12.23
Tangible book value per share *	$              9.85		9.51		9.20
Closing market price per share	$            12.78		13.19		11.55
Full time equivalent employees	1,998		1,956		1,991
Number of banking offices	141		141		139

*	Excludes goodwill and other intangible assets (non-GAAP). See reconciliation of non-GAAP financial measures for additional information relating to these items.

 

Northwest Bancshares, Inc. and Subsidiaries Consolidated Statements of Income (Unaudited) (dollars in thousands, except per share amounts)
‌
	Quarter ended
	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024
Interest income:
Loans receivable	$      154,914		164,638		155,838		156,413		153,954
Mortgage-backed securities	12,154		11,730		11,515		10,908		9,426
Taxable investment securities	999		933		910		842		728
Tax-free investment securities	512		512		515		512		457
FHLB stock dividends	318		366		392		394		498
Interest-earning deposits	2,673		2,416		1,552		2,312		1,791
Total interest income	171,570		180,595		170,722		171,381		166,854
Interest expense:
Deposits	46,826		47,325		50,854		54,198		52,754
Borrowed funds	5,300		5,452		5,671		5,881		7,259
Total interest expense	52,126		52,777		56,525		60,079		60,013
Net interest income	119,444		127,818		114,197		111,302		106,841
Provision for credit losses - loans	11,456		8,256		15,549		5,727		2,169
Provision for credit losses - unfunded commitments	(2,712)		(345)		1,016		(852)		(2,539)
Net interest income after provision for credit losses	110,700		119,907		97,632		106,427		107,211
Noninterest income:
Loss on sale of investments	—		—		—		—		(39,413)
Gain on sale of SBA loans	819		1,238		822		667		1,457
Service charges and fees	15,797		14,987		15,975		15,932		15,527
Trust and other financial services income	7,948		7,910		7,485		7,924		7,566
Gain on real estate owned, net	258		84		238		105		487
Income from bank-owned life insurance	1,421		1,331		2,020		1,434		1,371
Mortgage banking income	1,075		696		224		744		901
Other operating income	3,620		2,109		13,299		1,027		3,255
Total noninterest income/(loss)	30,938		28,355		40,063		27,833		(8,849)
Noninterest expense:
Compensation and employee benefits	55,213		54,540		53,198		56,186		53,531
Premises and occupancy costs	7,122		8,400		7,263		7,115		7,464
Office operations	2,910		2,977		3,036		2,811		3,819
Collections expense	838		328		905		474		406
Processing expenses	12,973		13,990		15,361		14,570		14,695
Marketing expenses	3,018		1,880		2,327		2,004		2,410
Federal deposit insurance premiums	2,296		2,328		2,949		2,763		2,865
Professional services	3,990		2,756		3,788		3,302		3,728
Amortization of intangible assets	436		504		526		590		635
Merger, asset disposition and restructuring expense	6,244		1,123		2,850		43		1,915
Other expenses	2,500		2,911		3,123		909		952
Total noninterest expense	97,540		91,737		95,326		90,767		92,420
Income before income taxes	44,098		56,525		42,369		43,493		5,942
Income tax expense	10,423		13,067		9,619		9,875		1,195
Net income	$        33,675		43,458		32,750		33,618		4,747
‌
Basic earnings per share	$            0.26		0.34		0.26		0.26		0.04
Diluted earnings per share	$            0.26		0.34		0.26		0.26		0.04
Weighted average common shares outstanding - diluted	128,114,509		128,299,013		127,968,910		127,714,511		127,199,039
‌
Annualized return on average equity	8.26 %		10.90 %		8.20 %		8.50 %		1.24 %
Annualized return on average assets	0.93 %		1.22 %		0.91 %		0.93 %		0.13 %
Annualized return on average tangible common equity *	10.78 %		14.29 %		10.81 %		11.26 %		1.65 %
Efficiency ratio	64.86 %		58.74 %		61.80 %		65.24 %		94.31 %
Efficiency ratio, excluding certain items **	60.42 %		57.70 %		59.61 %		64.78 %		65.41 %

*	Excludes goodwill and other intangible assets (non-GAAP). See reconciliation of non-GAAP financial measures for additional information relating to these items.
**	Excludes loss on sale of investments, amortization of intangible assets and merger, asset disposition and restructuring expenses (non-GAAP). See reconciliation of non-GAAP financial measures for additional information relating to these items.

 

Northwest Bancshares, Inc. and Subsidiaries Consolidated Statements of Income (Unaudited) (dollars in thousands, except per share amounts)
‌
	Six months ended June 30,
	2025		2024
Interest income:
Loans receivable	$          319,552		303,525
Mortgage-backed securities	23,884		17,370
Taxable investment securities	1,932		1,522
Tax-free investment securities	1,024		948
FHLB stock dividends	684		1,105
Interest-earning deposits	5,089		2,623
Total interest income	352,165		327,093
Interest expense:
Deposits	94,151		100,440
Borrowed funds	10,752		16,574
Total interest expense	104,903		117,014
Net interest income	247,262		210,079
Provision for credit losses - loans	19,712		6,403
Provision for credit losses - unfunded commitments	(3,057)		(3,338)
Net interest income after provision for credit losses	230,607		207,014
Noninterest income:
Loss on sale of investments	—		(39,413)
Gain on sale of SBA loans	2,057		2,330
Service charges and fees	30,784		31,050
Trust and other financial services income	15,858		14,693
Gain on real estate owned, net	342		544
Income from bank-owned life insurance	2,752		2,873
Mortgage banking income	1,771		1,353
Other operating income	5,729		5,684
Total noninterest income	59,293		19,114
Noninterest expense:
Compensation and employee benefits	109,753		105,071
Premises and occupancy costs	15,522		15,091
Office operations	5,887		6,586
Collections expense	1,166		742
Processing expenses	26,963		29,420
Marketing expenses	4,898		4,559
Federal deposit insurance premiums	4,624		5,888
Professional services	6,746		7,793
Amortization of intangible assets	940		1,336
Merger, asset disposition and restructuring expense	7,367		2,870
Other expenses	5,411		3,088
Total noninterest expense	189,277		182,444
Income before income taxes	100,623		43,684
Income tax expense	23,490		9,774
Net income	$           77,133		33,910
‌
Basic earnings per share	$               0.60		0.27
Diluted earnings per share	$               0.60		0.27
‌
Weighted average common shares outstanding - diluted	128,347,141		127,345,379
‌
Annualized return on average equity	9.56 %		4.41 %
Annualized return on average assets	1.08 %		0.47 %
Annualized return on tangible common equity *	12.51 %		5.88 %
‌
Efficiency ratio	61.74 %		79.60 %
Efficiency ratio, excluding certain items **	59.03 %		66.36 %

*	Excludes goodwill and other intangible assets (non-GAAP). See reconciliation of non-GAAP financial measures for additional information relating to these items.
**	Excludes loss on sale of investments, amortization of intangible assets and merger, asset disposition and restructuring expenses (non-GAAP). See reconciliation of non-GAAP financial measures for additional information relating to these items.

 

Northwest Bancshares, Inc. and Subsidiaries Reconciliation of Non-GAAP Financial Measures (Unaudited) * (dollars in thousands, except per share amounts)
‌
	Quarter ended						Six months ended June 30,
	June 30, 2025		March 31, 2025		June 30, 2024		2025		2024
Reconciliation of net income to adjusted net income:
Net income (GAAP)	$     33,675		43,458		4,747		77,133		33,910
Non-GAAP adjustments
Add: merger, asset disposition and restructuring expense	6,244		1,123		1,915		7,367		2,870
Add: loss on the sale of investments	—		—		39,413		—		39,413
Less: tax benefit of non-GAAP adjustments	(1,748)		(314)		(11,572)		(2,063)		(11,839)
Adjusted net income (non-GAAP)	$    38,171		44,267		34,503		82,437		64,354
Diluted earnings per share (GAAP)	$        0.26		0.34		0.04		0.60		0.27
Diluted adjusted earnings per share (non-GAAP)	$        0.30		0.35		0.27		0.64		0.51
‌
Average equity	$ 1,635,966		1,616,611		1,541,434		1,626,342		1,545,651
Average assets	14,468,197		14,402,483		14,458,592		14,435,522		14,433,602
Annualized return on average equity (GAAP)	8.26 %		10.90 %		1.24 %		9.56 %		4.41 %
Annualized return on average assets (GAAP)	0.93 %		1.22 %		0.13 %		1.08 %		0.47 %
Annualized return on average equity, excluding merger, asset disposition and restructuring expense and loss on the sale of investments, net of tax (non-GAAP)	9.36 %		11.11 %		9.00 %		10.22 %		8.37 %
Annualized return on average assets, excluding merger, asset disposition and restructuring expense and loss on sale of investments, net of tax (non-GAAP)	1.06 %		1.25 %		0.96 %		1.15 %		0.90 %

 

The following non-GAAP financial measures used by the Company provide information useful to investors in understanding our operating performance and trends, and facilitate comparisons with the performance of our peers. The following table summarizes the non-GAAP financial measures derived from amounts reported in the Company's Consolidated Statements of Financial Condition.

 

	June 30, 2025		December 31, 2024		June 30, 2024
Tangible common equity to assets
Total shareholders' equity	$     1,642,068		1,596,856		1,556,598
Less: goodwill and intangible assets	(382,894)		(383,834)		(384,951)
Tangible common equity	$     1,259,174		1,213,022		1,171,647
‌
Total assets	$   14,485,107		14,408,224		14,385,553
Less: goodwill and intangible assets	(382,894)		(383,834)		(384,951)
Tangible assets	$   14,102,213		14,024,390		14,000,602
‌
Tangible common equity to tangible assets	8.93 %		8.65 %		8.37 %
‌
Tangible book value per share
Tangible common equity	$     1,259,174		1,213,022		1,171,647
Common shares outstanding	127,842,403		127,508,003		127,307,997
Tangible book value per share	9.85		9.51		9.20

 

Northwest Bancshares, Inc. and Subsidiaries Reconciliation of Non-GAAP Financial Measures (Unaudited) * (dollars in thousands, except per share amounts)
‌
The following table summarizes the non-GAAP financial measures derived from amounts reported in the Company's Consolidated Statements of Income.
‌
	Quarter ended										Six months ended June 30,
	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024		2025		2024
Annualized return on average tangible common equity
Net income	$        33,675		43,458		32,750		33,618		4,747		77,133		33,910
Average shareholders' equity	1,635,966		1,616,611		1,589,228		1,572,897		1,541,434		1,626,342		1,545,651
Less: average goodwill and intangible assets	(383,152)		(383,649)		(384,178)		(384,730)		(385,364)		(383,399)		(385,701)
Average tangible common equity	$   1,252,814		1,232,962		1,205,050		1,188,167		1,156,070		1,242,943		1,159,950
‌
Annualized return on average tangible common equity	10.78 %		14.29 %		10.81 %		11.26 %		1.65 %		12.51 %		5.88 %
‌
Efficiency ratio, excluding loss on the sale of investments, amortization and merger, asset disposition and restructuring expenses
Non-interest expense	$        97,540		91,737		95,326		90,767		92,420		189,277		182,444
Less: amortization expense	(436)		(504)		(526)		(590)		(635)		(940)		(1,336)
Less: merger, asset disposition and restructuring expenses	(6,244)		(1,123)		(2,850)		(43)		(1,915)		(7,367)		(2,870)
Non-interest expense, excluding amortization and merger, assets disposition and restructuring expenses	$        90,860		90,110		91,950		90,134		89,870		180,970		178,238
‌
Net interest income	$      119,444		127,818		114,197		111,302		106,841		247,262		210,079
Non-interest income	30,938		28,355		40,063		27,833		(8,849)		59,293		19,114
Add: loss on the sale of investments	—		—		—		—		39,413		—		39,413
Net interest income plus non-interest income, excluding loss on sale of investments	$      150,382		156,173		154,260		139,135		137,405		306,555		268,606
‌
Efficiency ratio, excluding loss on sale of investments, amortization and merger, asset disposition and restructuring expenses	60.42 %		57.70 %		59.61 %		64.78 %		65.41 %		59.03 %		66.36 %

*

The table summarizes the Company's results from operations on a GAAP basis and on an operating (non-GAAP) basis for the periods indicated. Operating results exclude merger, asset disposition and restructuring expense, amortization expense and loss on sale of investments. The net tax effect was calculated using statutory tax rates of approximately 28.0%. The Company believes this non-GAAP presentation provides a meaningful comparison of operational performance and facilitates a more effective evaluation and comparison of results to assess performance in relation to ongoing operations.

 

Northwest Bancshares, Inc. and Subsidiaries Deposits (Unaudited) (dollars in thousands)
‌
Generally, deposits in excess of $250,000 per depositor are not insured by the Federal Deposit Insurance Corporation. The following table provides details regarding the Company's uninsured deposits portfolio:
‌
	As of June 30, 2025
	Balance		Percent of total deposits		Number of relationships
Uninsured deposits per the Call Report (1)	$        3,274,416		26.8 %		5,418
Less intercompany deposit accounts	1,322,820		10.8 %		12
Less collateralized deposit accounts	404,411		3.3 %		253
Uninsured deposits excluding intercompany and collateralized accounts	$        1,547,185		12.7 %		5,153

(1)	Uninsured deposits presented may be different from actual amounts due to titling of accounts.

 

Our largest uninsured depositor, excluding intercompany and collateralized deposit accounts, had an aggregate uninsured deposit balance of $39.5 million, or 0.24% of total deposits, as of June 30, 2025. Our top ten largest uninsured depositors, excluding intercompany and collateralized deposit accounts, had an aggregate uninsured deposit balance of $194 million, or 1.59% of total deposits, as of June 30, 2025. The average uninsured deposit account balance, excluding intercompany and collateralized accounts, was $300,249 as of June 30, 2025.

The following table provides additional details for the Company's deposit portfolio:

 

	As of June 30, 2025
	Balance		Percent of total deposits		Number of accounts
Personal noninterest bearing demand deposits	$        1,385,555		11.4 %		284,252
Business noninterest bearing demand deposits	1,257,544		10.3 %		42,811
Personal interest-bearing demand deposits	1,345,985		11.0 %		54,853
Business interest-bearing demand deposits	1,276,710		10.5 %		7,425
Personal money market deposits	1,513,265		12.4 %		25,159
Business money market deposits	639,813		5.2 %		2,689
Savings deposits	2,211,509		18.1 %		175,659
Time deposits	2,570,648		21.1 %		77,685
Total deposits	$      12,201,029		100.0 %		670,533

 

Our average deposit account balance as of June 30, 2025 was $18,196. The Company's insured cash sweep deposit balance was $608 million as of June 30, 2025.

 

Northwest Bancshares, Inc. and Subsidiaries Regulatory Capital Requirements (Unaudited) (dollars in thousands)
	At June 30, 2025
	Actual (1)				Minimum capital requirements (2)				Well capitalized requirements
	Amount		Ratio		Amount		Ratio		Amount		Ratio
Total capital (to risk weighted assets)
Northwest Bancshares, Inc.	$     1,756,799		16.32 %		$     1,130,037		10.50 %		$     1,076,226		10.00 %
Northwest Bank	1,521,646		14.15 %		1,129,018		10.50 %		1,075,255		10.00 %
‌
Tier 1 capital (to risk weighted assets)
Northwest Bancshares, Inc.	1,507,385		14.01 %		914,792		8.50 %		645,735		6.00 %
Northwest Bank	1,387,064		12.90 %		913,967		8.50 %		860,204		8.00 %
‌
Common equity tier 1 capital (to risk weighted assets)
Northwest Bancshares, Inc.	1,381,410		12.84 %		753,358		7.00 %		N/A		N/A
Northwest Bank	1,387,064		12.90 %		752,679		7.00 %		698,916		6.50 %
‌
Tier 1 capital (leverage) (to average assets)
Northwest Bancshares, Inc.	1,507,385		10.55 %		571,623		4.00 %		N/A		N/A
Northwest Bank	1,387,064		9.71 %		571,230		4.00 %		714,037		5.00 %

(1)	June 30, 2025 figures are estimated.
(2)	Amounts and ratios include the capital conservation buffer of 2.5%, which does not apply to Tier 1 capital to average assets (leverage ratio). For further information related to the capital conservation buffer, see "Item 1. Business - Supervision and Regulation" of our 2024 Annual Report on Form 10-K.

 

Northwest Bancshares, Inc. and Subsidiaries Marketable Securities (Unaudited) (dollars in thousands)
‌
		June 30, 2025
Marketable securities available-for-sale		Amortized cost		Gross unrealized holding gains		Gross unrealized holding losses		Fair value		Weighted average duration
Debt issued by the U.S. government and agencies:
Due after ten years		$              43,461		—		(8,531)		34,930		5.91
‌
Debt issued by government sponsored enterprises:
Due after one year through five years		84		—		(4)		80		1.11
‌
Municipal securities:
Due after one year through five years		853		12		—		865		1.32
Due after five years through ten years		17,774		109		(1,772)		16,111		7.14
Due after ten years		50,029		25		(9,189)		40,865		9.79
‌
Corporate debt issues:
Due after one year through five years		7,929		56		(67)		7,918		3.87
Due after five years through ten years		22,049		873		—		22,922		4.04
‌
Mortgage-backed agency securities:
Fixed rate pass-through		265,566		1,452		(13,350)		253,668		6.42
Variable rate pass-through		3,309		55		(2)		3,362		3.54
Fixed rate agency CMOs		887,740		1,996		(118,226)		771,510		4.38
Variable rate agency CMOs		42,857		30		(235)		42,652		4.99
Total mortgage-backed agency securities		1,199,472		3,533		(131,813)		1,071,192		4.88
Total marketable securities available-for-sale		$         1,341,651		4,608		(151,376)		1,194,883		5.08
‌
Marketable securities held-to-maturity
Government sponsored
Due in one year or less		$              16,477		—		(381)		16,096		0.73
Due after one year through five years		107,986		—		(10,215)		97,771		3.46
‌
Mortgage-backed agency securities:
Fixed rate pass-through		125,996		—		(15,293)		110,703		4.48
Variable rate pass-through		346		3		—		349		4.81
Fixed rate agency CMOs		468,228		—		(64,736)		403,492		5.56
Variable rate agency CMOs		528		—		(3)		525		4.18
Total mortgage-backed agency securities		595,098		3		(80,032)		515,069		5.33
Total marketable securities held-to-maturity		$            719,561		3		(90,628)		628,936		4.95

 

Northwest Bancshares, Inc. and Subsidiaries Asset Quality (Unaudited) (dollars in thousands)
‌
	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024
Nonaccrual loans:
Residential mortgage loans	$           8,482		7,025		6,951		7,541		6,403
Home equity loans	3,507		3,004		3,332		4,041		4,055
Consumer loans	4,418		5,201		5,028		5,205		4,609
Commercial real estate loans	62,091		31,763		36,967		43,471		74,972
Commercial loans	23,896		11,757		9,123		16,570		12,120
Total nonaccrual loans	102,394		58,750		61,401		76,828		102,159
Loans 90 days past due and still accruing	493		603		656		1,045		2,511
Nonperforming loans	102,887		59,353		62,057		77,873		104,670
Real estate owned, net	48		80		35		76		74
Other nonperforming assets (1)	—		16,102		16,102		—		—
Nonperforming assets	$       102,935		75,535		78,194		77,949		104,744
‌
Nonperforming loans to total loans	0.91 %		0.53 %		0.56 %		0.69 %		0.92 %
Nonperforming assets to total assets	0.71 %		0.52 %		0.54 %		0.54 %		0.73 %
Allowance for credit losses to total loans	1.14 %		1.09 %		1.04 %		1.11 %		1.10 %
Allowance for credit losses to nonperforming loans	125.53 %		206.91 %		188.24 %		161.56 %		119.49 %

(1)	Other nonperforming assets includes nonaccrual loans held-for-sale.

 

Northwest Bancshares, Inc. and Subsidiaries Loans by Credit Quality Indicators (Unaudited) (dollars in thousands)
‌
At June 30, 2025		Pass		Special    mention *		Substandard **		Doubtful		Loss		Loans receivable
Personal Banking:
Residential mortgage loans		$       3,039,809		—		12,317		—		—		3,052,126
Home equity loans		1,153,808		—		3,712		—		—		1,157,520
Consumer loans		2,206,363		—		4,912		—		—		2,211,275
Total Personal Banking		6,399,980		—		20,941		—		—		6,420,921
Commercial Banking:
Commercial real estate loans		2,266,057		112,852		403,495		—		—		2,782,404
Commercial loans		1,956,751		87,951		93,797		—		—		2,138,499
Total Commercial Banking		4,222,808		200,803		497,292		—		—		4,920,903
Total loans		$     10,622,788		200,803		518,233		—		—		11,341,824
At March 31, 2025
Personal Banking:
Residential mortgage loans		$       3,110,770		—		10,877		—		—		3,121,647
Home equity loans		1,138,367		—		3,210		—		—		1,141,577
Consumer loans		2,075,719		—		5,750		—		—		2,081,469
Total Personal Banking		6,324,856		—		19,837		—		—		6,344,693
Commercial Banking:
Commercial real estate loans		2,497,722		86,779		208,233		—		—		2,792,734
Commercial loans		1,964,699		63,249		51,070		—		—		2,079,018
Total Commercial Banking		4,462,421		150,028		259,303		—		—		4,871,752
Total loans		$     10,787,277		150,028		279,140		—		—		11,216,445
At December 31, 2024
Personal Banking:
Residential mortgage loans		$       3,167,447		—		10,822		—		—		3,178,269
Home equity loans		1,145,856		—		3,540		—		—		1,149,396
Consumer loans		1,989,479		—		5,606		—		—		1,995,085
Total Personal Banking		6,302,782		—		19,968		—		—		6,322,750
Commercial Banking:
Commercial real estate loans		2,571,915		72,601		205,346		—		—		2,849,862
Commercial loans		1,923,382		37,063		46,957		—		—		2,007,402
Total Commercial Banking		4,495,297		109,664		252,303		—		—		4,857,264
Total loans		$     10,798,079		109,664		272,271		—		—		11,180,014
At September 30, 2024
Personal Banking:
Residential mortgage loans		$       3,237,357		—		11,431		—		—		3,248,788
Home equity loans		1,162,951		—		4,251		—		—		1,167,202
Consumer loans		1,992,110		—		5,922		—		—		1,998,032
Total Personal Banking		6,392,418		—		21,604		—		—		6,414,022
Commercial Banking:
Commercial real estate loans		2,634,987		87,693		271,699		—		—		2,994,379
Commercial loans		1,808,433		51,714		26,640		—		—		1,886,787
Total Commercial Banking		4,443,420		139,407		298,339		—		—		4,881,166
Total loans		$     10,835,838		139,407		319,943		—		—		11,295,188
At June 30, 2024
Personal Banking:
Residential mortgage loans		$       3,303,603		—		11,700		—		—		3,315,303
Home equity loans		1,176,187		—		4,299		—		—		1,180,486
Consumer loans		2,074,869		—		5,189		—		—		2,080,058
Total Personal Banking		6,554,659		—		21,188		—		—		6,575,847
Commercial Banking:
Commercial real estate loans		2,682,086		130,879		213,993		—		—		3,026,958
Commercial loans		1,673,052		47,400		21,662		—		—		1,742,114
Total Commercial Banking		4,355,138		178,279		235,655		—		—		4,769,072
Total loans		$     10,909,797		178,279		256,843		—		—		11,344,919

*	Includes $4.0 million, $4.7 million, $2.7 million, $2.9 million, and $2.5 million of acquired loans at June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024, and June 30, 2024, respectively.
**	Includes $19.2 million, $18.0 million, $19.8 million, $26.0 million, and $24.3 million of acquired loans at June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024, and June 30, 2024, respectively.

 

Northwest Bancshares, Inc. and Subsidiaries Loan Delinquency (Unaudited) (dollars in thousands)
‌
	June 30, 2025		*		March 31, 2025		*		December 31, 2024		*		September 30, 2024		*		June 30, 2024		*
Loans delinquent 30 days to 59 days:
Residential mortgage loans	$           561		— %		$    32,840		1.0 %		$            28,690		0.9 %		$                685		— %		$          616		— %
Home equity loans	4,664		0.4 %		3,882		0.3 %		5,365		0.5 %		3,907		0.3 %		3,771		0.3 %
Consumer loans	9,174		0.4 %		8,792		0.4 %		11,102		0.6 %		10,777		0.5 %		10,372		0.5 %
Commercial real estate loans	4,585		0.2 %		8,536		0.3 %		5,215		0.2 %		5,919		0.2 %		4,310		0.1 %
Commercial loans	5,569		0.3 %		6,841		0.3 %		5,632		0.3 %		3,260		0.2 %		4,366		0.3 %
Total loans delinquent 30 days to 59 days	$       24,553		0.2 %		$    60,891		0.5 %		$            56,004		0.5 %		$           24,548		0.2 %		$      23,435		0.2 %
‌
Loans delinquent 60 days to 89 days:
Residential mortgage loans	$         8,958		0.3 %		$      3,074		0.1 %		$            10,112		0.3 %		$             9,027		0.3 %		$       8,223		0.2 %
Home equity loans	985		0.1 %		1,290		0.1 %		1,434		0.1 %		882		0.1 %		1,065		0.1 %
Consumer loans	3,233		0.1 %		2,808		0.1 %		3,640		0.2 %		3,600		0.2 %		3,198		0.2 %
Commercial real estate loans	13,240		0.5 %		2,001		0.1 %		915		— %		7,643		0.3 %		3,155		0.1 %
Commercial loans	2,031		0.1 %		2,676		0.1 %		1,726		0.1 %		753		— %		8,732		0.5 %
Total loans delinquent 60 days to 89 days	$       28,447		0.3 %		$    11,849		0.1 %		$            17,827		0.2 %		$           21,905		0.2 %		$      24,373		0.2 %
‌
Loans delinquent 90 days or more: **
Residential mortgage loans	$         6,905		0.2 %		$      4,005		0.1 %		$              4,931		0.2 %		$             5,370		0.2 %		$       5,553		0.2 %
Home equity loans	1,879		0.2 %		1,893		0.2 %		2,250		0.2 %		2,558		0.2 %		2,506		0.2 %
Consumer loans	3,486		0.2 %		4,026		0.2 %		3,967		0.2 %		3,983		0.2 %		3,012		0.1 %
Commercial real estate loans	41,875		1.5 %		23,433		0.8 %		7,702		0.3 %		6,167		0.2 %		6,034		0.2 %
Commercial loans	10,433		0.5 %		5,994		0.3 %		7,335		0.4 %		14,484		0.8 %		3,385		0.2 %
Total loans delinquent 90 days or more	$       64,578		0.6 %		$    39,351		0.3 %		$            26,185		0.2 %		$           32,562		0.3 %		$      20,490		0.2 %
‌
Total loans delinquent	$     117,578		1.0 %		$  112,091		1.0 %		$          100,016		0.9 %		$           79,015		0.7 %		$      68,298		0.6 %

*	Represents delinquency, in dollars, divided by the respective total amount of that type of loan outstanding.
**	Includes purchased credit deteriorated loans of $0.3 million, $0.2 million, $0.2 million, $0.2 million, and $0.1 million at June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024, and June 30, 2024, respectively.

 

Northwest Bancshares, Inc. and Subsidiaries Allowance for Credit Losses (Unaudited) (dollars in thousands)
‌
	Quarter ended
	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024
Beginning balance	$      122,809		116,819		125,813		125,070		124,897
Provision	11,456		8,256		15,549		5,727		2,169
Charge-offs residential mortgage	(273)		(588)		(176)		(255)		(252)
Charge-offs home equity	(413)		(273)		(197)		(890)		(237)
Charge-offs consumer	(3,331)		(3,805)		(4,044)		(3,560)		(2,561)
Charge-offs commercial real estate	(293)		(116)		(13,997)		(475)		(500)
Charge-offs commercial	(3,597)		(571)		(10,400)		(1,580)		(1,319)
Recoveries	2,801		3,087		4,271		1,776		2,873
Ending balance	$      129,159		122,809		116,819		125,813		125,070
Net charge-offs to average loans, annualized	0.18 %		0.08 %		0.87 %		0.18 %		0.07 %

 

	Six months ended June 30,
	2025		2024
Beginning balance	$                    116,819		125,243
Provision	19,712		6,403
Charge-offs residential mortgage	(861)		(414)
Charge-offs home equity	(686)		(649)
Charge-offs consumer	(7,136)		(7,134)
Charge-offs commercial real estate	(409)		(849)
Charge-offs commercial	(4,168)		(2,482)
Recoveries	5,888		4,952
Ending balance	$                    129,159		125,070
Net charge-offs to average loans, annualized	0.13 %		0.12 %

 

Northwest Bancshares, Inc. and Subsidiaries Average Balance Sheet (Unaudited) (dollars in thousands)
‌
The following table sets forth certain information relating to the Company's average balance sheet and reflects the average yield on assets and average cost of liabilities for the periods indicated. Such yields and costs are derived by dividing income or expense by the average balance of assets or liabilities, respectively, for the periods presented. Average balances are calculated using daily averages.
‌
	Quarter ended
	June 30, 2025						March 31, 2025						December 31, 2024						September 30, 2024						June 30, 2024
	Average balance		Interest		Avg. yield/ cost		Average balance		Interest		Avg. yield/ cost		Average balance		Interest		Avg. yield/ cost		Average balance		Interest		Avg. yield/ cost		Average balance		Interest		Avg. yield/ cost
Assets:
Interest-earning assets:
Residential mortgage loans	$  3,091,324		29,978		3.88 %		$  3,155,738		30,394		3.85 %		$  3,215,596		31,107		3.87 %		$  3,286,316		31,537		3.84 %		$  3,342,749		32,182		3.85 %
Home equity loans	1,145,655		16,265		5.69 %		1,139,728		16,164		5.75 %		1,154,456		16,801		5.79 %		1,166,866		17,296		5.90 %		1,183,497		17,303		5.88 %
Consumer loans	2,073,103		28,648		5.54 %		1,948,230		26,273		5.47 %		1,918,356		26,293		5.45 %		1,955,988		26,034		5.29 %		2,048,396		26,334		5.17 %
Commercial real estate loans	2,836,757		43,457		6.06 %		2,879,607		56,508		7.85 %		2,983,946		46,933		6.15 %		2,995,032		47,473		6.31 %		3,023,762		45,658		5.97 %
Commercial loans	2,102,115		37,287		7.02 %		2,053,213		36,012		7.02 %		1,932,427		35,404		7.17 %		1,819,400		34,837		7.62 %		1,770,345		33,229		7.43 %
Total loans receivable (a) (b) (d)	11,248,954		155,635		5.55 %		11,176,516		165,351		6.00 %		11,204,781		156,538		5.56 %		11,223,602		157,177		5.57 %		11,368,749		154,706		5.47 %
Mortgage-backed securities (c)	1,790,423		12,154		2.72 %		1,773,402		11,730		2.65 %		1,769,151		11,514		2.60 %		1,735,728		10,908		2.51 %		1,734,085		9,426		2.17 %
Investment securities (c) (d)	266,053		1,668		2.51 %		263,825		1,599		2.43 %		264,840		1,575		2.38 %		263,127		1,504		2.29 %		287,262		1,316		1.83 %
FHLB stock, at cost	17,838		318		7.15 %		20,862		366		7.11 %		21,237		392		7.35 %		20,849		394		7.51 %		25,544		498		7.84 %
Other interest-earning deposits	220,416		2,673		4.85 %		243,412		2,416		3.97 %		132,273		1,554		4.60 %		173,770		2,312		5.29 %		135,520		1,791		5.23 %
Total interest-earning assets	13,543,684		172,448		5.11 %		13,478,017		181,462		5.46 %		13,392,282		171,573		5.10 %		13,417,076		172,295		5.11 %		13,551,160		167,737		4.98 %
Noninterest-earning assets (e)	924,513						924,466						930,582						934,593						907,432
Total assets	$   14,468,197						$   14,402,483						$   14,322,864						$   14,351,669						$   14,458,592
Liabilities and shareholders' equity:
Interest-bearing liabilities:
Savings deposits	$  2,212,175		6,521		1.18 %		$  2,194,305		6,452		1.19 %		$  2,152,955		6,549		1.21 %		$  2,151,933		6,680		1.23 %		$  2,144,278		5,957		1.12 %
Interest-bearing demand deposit	2,609,887		7,192		1.11 %		2,593,228		7,063		1.10 %		2,636,279		7,894		1.19 %		2,567,682		7,452		1.15 %		2,555,863		6,646		1.05 %
Money market deposit accounts	2,121,088		9,658		1.83 %		2,082,948		9,306		1.81 %		1,980,769		8,880		1.78 %		1,966,684		9,170		1.85 %		1,957,990		8,601		1.77 %
Time deposits	2,599,254		23,455		3.62 %		2,629,388		24,504		3.78 %		2,671,343		27,531		4.10 %		2,830,737		30,896		4.34 %		2,832,720		31,550		4.48 %
Total interesting bearing deposits (g)	9,542,404		46,826		1.97 %		9,499,869		47,325		2.02 %		9,441,346		50,854		2.14 %		9,517,036		54,198		2.27 %		9,490,851		52,754		2.24 %
Borrowed funds (f)	208,342		2,046		3.94 %		224,122		2,206		3.99 %		222,506		2,246		4.02 %		220,677		2,266		4.09 %		323,191		3,662		4.56 %
Subordinated debt	114,661		1,148		4.00 %		114,576		1,148		4.01 %		114,488		1,148		4.01 %		114,396		1,148		4.01 %		114,308		1,148		4.02 %
Junior subordinated debentures	129,921		2,106		6.41 %		129,856		2,098		6.46 %		129,791		2,277		6.87 %		129,727		2,467		7.56 %		129,663		2,449		7.47 %
Total interest-bearing liabilities	9,995,328		52,126		2.09 %		9,968,423		52,777		2.15 %		9,908,131		56,525		2.27 %		9,981,836		60,079		2.39 %		10,058,013		60,013		2.40 %
Noninterest-bearing demand deposits (g)	2,611,597						2,588,502						2,587,071						2,579,775						2,595,511
Noninterest-bearing liabilities	225,306						228,947						238,434						217,161						263,634
Total liabilities	12,832,231						12,785,872						12,733,636						12,778,772						12,917,158
Shareholders' equity	1,635,966						1,616,611						1,589,228						1,572,897						1,541,434
Total liabilities and shareholders' equity	$   14,468,197						$   14,402,483						$   14,322,864						$   14,351,669						$   14,458,592
Net interest income/Interest rate spread FTE			120,322		3.02 %				128,685		3.31 %				115,048		2.83 %				112,216		2.72 %				107,724		2.58 %
Net interest-earning assets/Net interest margin FTE	$  3,548,356				3.56 %		$  3,509,594				3.87 %		$  3,484,151				3.42 %		$  3,435,240				3.33 %		$  3,493,147				3.20 %
Tax equivalent adjustment (d)			878						867						851						914						883
Net interest income, GAAP basis			119,444						127,818						114,197						111,302						106,841
Ratio of interest-earning assets to interest-bearing liabilities	1.36X						1.35X						1.35X						1.34X						1.35X

(a)	Average gross loans receivable includes loans held as available-for-sale and loans placed on nonaccrual status.
(b)	Interest income includes accretion/amortization of deferred loan fees/expenses, which was not material.
(c)	Average balances do not include the effect of unrealized gains or losses on securities held as available-for-sale.
(d)	Interest income on tax-free investment securities and tax-free loans are presented on a fully taxable equivalent ("FTE") basis.
(e)	Average balances include the effect of unrealized gains or losses on securities held as available-for-sale.
(f)	Average balances include FHLB borrowings and collateralized borrowings.
(g)	Average cost of total deposits were 1.55%, 1.59%, 1.68%, 1.78%, and 1.76%, respectively.

 

Northwest Bancshares, Inc. and Subsidiaries Average Balance Sheet (Unaudited) (in thousands)
‌
The following table sets forth certain information relating to the Company's average balance sheet and reflects the average yield on interest-earning assets and average cost of interest-bearing liabilities for the periods indicated. Such yields and costs are derived by dividing income or expense by the average balance of assets or liabilities, respectively, for the periods presented. Average balances are calculated using daily averages.
‌
	Six months ended June 30,
	2025						2024
	Average balance		Interest		Avg. yield/ cost (h)		Average balance		Interest		Avg. yield/ cost (h)
Assets
Interest-earning assets:
Residential mortgage loans	$     3,123,353		60,372		3.87 %		$     3,367,636		64,855		3.85 %
Home equity loans	1,142,708		32,429		5.72 %		1,194,385		34,596		5.83 %
Consumer loans	2,011,012		54,921		5.51 %		2,041,008		51,367		5.06 %
Commercial real estate loans	2,858,064		99,973		6.96 %		3,011,493		89,066		5.85 %
Commercial loans	2,077,799		73,299		7.02 %		1,742,506		65,083		7.39 %
Loans receivable (a) (b) (d)	11,212,936		320,994		5.77 %		11,357,028		304,967		5.40 %
Mortgage-backed securities (c)	1,781,959		23,884		2.68 %		1,725,696		17,370		2.01 %
Investment securities (c) (d)	264,945		3,269		2.47 %		310,507		2,742		1.77 %
FHLB stock, at cost	19,342		684		7.13 %		28,897		1,105		7.69 %
Other interest-earning deposits	231,914		5,089		4.36 %		99,252		2,623		5.23 %
Total interest-earning assets	13,511,096		353,920		5.28 %		13,521,380		328,807		4.89 %
Noninterest-earning assets (e)	924,426						912,222
‌
Total assets	$   14,435,522						$   14,433,602
‌
Liabilities and shareholders' equity
Interest-bearing liabilities:
Savings deposits	$     2,203,289		12,973		1.19 %		$     2,133,157		10,993		1.04 %
Interest-bearing demand deposits	2,601,604		14,255		1.10 %		2,547,343		12,048		0.95 %
Money market deposit accounts	2,102,124		18,964		1.82 %		1,959,661		16,514		1.69 %
Time deposits	2,614,238		47,959		3.70 %		2,765,351		60,885		4.43 %
Total interesting bearing deposits (g)	9,521,255		94,151		1.99 %		9,405,512		100,440		2.15 %
Borrowed funds (f)	216,189		4,252		3.97 %		396,444		9,370		4.75 %
Subordinated debt	114,618		2,296		4.01 %		114,267		2,296		4.02 %
Junior subordinated debentures	129,889		4,204		6.44 %		129,630		4,908		7.49 %
Total interest-bearing liabilities	9,981,951		104,903		2.12 %		10,045,853		117,014		2.34 %
Noninterest-bearing demand deposits (g)	2,600,113						2,581,646
Noninterest-bearing liabilities	227,116						260,452
‌
Total liabilities	12,809,180						12,887,951
‌
Shareholders' equity	1,626,342						1,545,651
‌
Total liabilities and shareholders' equity	$   14,435,522						$   14,433,602
‌
Net interest income/Interest rate spread			249,017		3.16 %				211,793		2.55 %
‌
Net interest-earning assets/Net interest margin	$     3,529,145				3.72 %		$     3,475,527				3.15 %
‌
Tax equivalent adjustment (d)			1,755						1,714
Net interest income, GAAP basis			247,262						210,079
‌
Ratio of interest-earning assets to interest-bearing liabilities	1.35X						1.35X

(a)	Average gross loans receivable includes loans held as available-for-sale and loans placed on nonaccrual status.
(b)	Interest income includes accretion/amortization of deferred loan fees/expenses, which were not material.
(c)	Average balances do not include the effect of unrealized gains or losses on securities held as available-for-sale.
(d)	Interest income on tax-free investment securities and tax-free loans are presented on a fully taxable equivalent ("FTE") basis.
(e)	Average balances include the effect of unrealized gains or losses on securities held as available-for-sale.
(f)	Average balances include FHLB borrowings and collateralized borrowings.
(g)	Average cost of deposits were 1.57% and 1.69%, respectively.

 

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SOURCE Northwest Bancshares, Inc.

FAQ

What was Northwest Bancshares (NWBI) earnings per share in Q2 2025?

Northwest Bancshares reported earnings of $0.26 per diluted share in Q2 2025, compared to $0.04 in Q2 2024 and $0.34 in Q1 2025.

How much did Northwest Bancshares (NWBI) commercial lending grow in 2025?

Northwest Bancshares' Commercial C&I lending portfolio achieved 19% growth year-over-year, with a $332 million increase in their commercial and industrial portfolio.

What is Northwest Bancshares' (NWBI) dividend yield for Q2 2025?

Northwest Bancshares declared a quarterly dividend of $0.20 per share, representing an annualized dividend yield of approximately 6.3% based on the market value as of June 30, 2025.

How did Northwest Bancshares' (NWBI) net interest margin perform in Q2 2025?

Northwest Bancshares reported a net interest margin of 3.56% in Q2 2025, compared to 3.87% in Q1 2025 and 3.20% in Q2 2024.

What was Northwest Bancshares' (NWBI) total loan portfolio size in Q2 2025?

Northwest Bancshares reported average loans receivable of $11.25 billion in Q2 2025, a slight increase of $72 million from Q1 2025.