First Busey Corporation reported a net loss of $(30.0) million, or $(0.44) per diluted common share, for the first quarter of 2025. This result was significantly impacted by the CrossFirst acquisition, which became effective on March 1, 2025.
The reported loss included substantial non-recurring pre-tax adjustments totaling $71.6 million, comprising $26.0 million in acquisition and restructuring expenses, $3.1 million for unfunded commitments, and a $42.4 million provision for credit losses on acquired non-PCD loans. Additionally, net securities losses of $15.8 million were recorded as part of a strategic balance sheet repositioning.
Despite the GAAP loss, adjusted net income for the quarter was $39.9 million, or $0.57 per diluted common share. Net interest income increased to $103.7 million, and the net interest margin expanded to 3.16%, with CrossFirst Bank contributing approximately 12 basis points to this increase.
Total assets grew substantially by 61.6% to $19.46 billion, and portfolio loans increased by 80.2% to $13.87 billion, primarily due to the addition of $6.04 billion in loans from CrossFirst Bank. The acquisition was accretive to tangible book value, exceeding initial projections for a six-month earn back period.
Non-performing loans increased by $31.5 million, with CrossFirst Bank's non-performing loans accounting for $47.9 million of the total. However, the allowance for credit losses grew to $195.2 million, providing 3.57 times coverage of non-performing loans. Annual pre-tax expense synergy estimates from the CrossFirst acquisition remain on track at $25.0 million, with 50% realization anticipated in 2025.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.