Popular, Inc. Announces Fourth Quarter 2025 Financial Results

Net income of $233.9 million in Q4 2025, compared to net income of $211.3 million in Q3 2025. Excluding the partial reversal of the FDIC special assessment reserve of $9.7 million, net of tax, adjusted net income for the fourth quarter of 2025 was $224.2 million. Earnings per share (“EPS”) of $3.53 in Q4 2025 vs. $3.15 in Q3 2025. Net income of $833.2 million for the year 2025, compared to net income of $614.2 million for the year 2024.  Excluding the partial reversal of the FDIC special assessment reserve, adjusted net income for 2025 was $823.5 million, compared to adjusted net income of $646.1 million in 2024, which excluded expenses incurred in connection to the FDIC special assessment and prior period tax withholdings of $9.1 million and $22.9 million, net of tax, respectively. Net interest income of $657.6 million in Q4 2025, an increase of $11.0 million compared to Q3 2025: Net interest margin of 3.61% in Q4 2025, compared to 3.51% in Q3 2025; net interest margin on a taxable equivalent basis of 4.03% in Q4 2025, compared to 3.90% in Q3 2025. Non-interest income of $166.3 million in Q4 2025, compared to $171.2 million in Q3 2025. Operating expenses amounted to $473.2 million, compared to $495.3 million in Q3 2025. Excluding the partial reversal of the FDIC special assessment reserve described above, operating expenses amounted to $488.5 million in Q4 2025. Credit quality metrics: Non-performing loans held-in-portfolio (“NPLs”) decreased by $3.9 million from Q3 2025; NPLs to loans ratio decreased to 1.27% from 1.30% in Q3 2025. Net charge-offs (“NCOs”) decreased by $8.2 million from Q3 2025 to $49.6 million, including $5.3 million in recoveries from the sale of fully charged off loans in Q4 2025; annualized NCOs to average loans held-in-portfolio at 0.51% vs. 0.60% in Q3 2025. Allowance for credit losses (“ACL”) to loans held-in-portfolio at 2.05% vs. 2.03% in Q3 2025; and ACL to NPLs at 162.2% vs. 156.6% in Q3 2025. Loans held-in-portfolio, excluding loans held-for-sale, amounted to $39.3 billion, an increase of $640.4 million from Q3 2025; average quarterly loan balances, excluding loans held-for-sale, higher by $397.2 million. Money market and investment securities decreased by $330.6 million from Q3 2025 to $32.8 billion; average quarterly balances decreased by $1.2 billion. Deposits at $66.2 billion, decreased by $323.3 million from Q3 2025. This includes a decrease of $662.3 million in P.R. public deposits; excluding these, total deposits increased by $339.0 million; average quarterly deposits lower by $879.8 million, including a decrease of $1.1 billion in P.R. public deposits. Common Equity Tier 1 ratio of 15.72%, Common Equity per share of $94.75 and Tangible Book Value per share of $82.65 ($3.53 above Q3 2025). Capital actions for the fourth quarter of 2025 included the repurchase of 1,252,303 shares of common stock for $147.8 million, at an average price of $118.04 per share, and the payment and declaration of a quarterly common stock dividend of $0.75 per share. For the year 2025, the Corporation repurchased a total of 4,660,124 shares of common stock for $501.5 million at an average price of $107.61 per share under the announced repurchase authorizations. As of December 31, 2025, a total of $281.2 million remained available for stock repurchases under the active authorization.