Associated Banc-Corp Posts Record Earnings of $0.65 per Share for Q2 2025 Driven by Strong Net Interest Income

Associated Banc-Corp Reports Strong Earnings for Q2 2025

Associated Banc-Corp, a prominent banking institution located in Wisconsin, has reported impressive financial results for the second quarter of 2025. The company announced a net income available to common equity of $108 million, translating to earnings of $0.65 per common share. This marks a significant increase compared to the previous quarter's earnings of $99 million or $0.59 per share, although it reflects a slight decrease compared to $113 million or $0.74 per common share reported in the same quarter of the prior year.

Highlights of Q2 2025

One of the most notable achievements in this quarter is the record net interest income of $300 million, which reflects a growth of 5% from the first quarter of 2025 and a substantial 17% from Q2 of 2024. This growth in net interest income has been driven by strategic initiatives, including a remarkable increase in commercial and business lending, which saw an uptick of $371 million from the previous quarter, bringing the total to $12.1 billion.

Moreover, total period end loans for Q2 have increased by 1% compared to the previous quarter, amounting to $30.6 billion and showing a growth of 3% from the same period last year.

Stronger Deposit Position

On the deposits front, total period end deposits stood at $34.1 billion, reflecting a 3% decrease from the previous quarter but a 4% increase year-over-year. Interestingly, core customer deposits experienced a similar trend, decreasing by 3% vs. Q1 2025 but increasing by 4% compared to Q2 2024. The noninterest income also recorded improvements, showing an increase to $67 million from the previous quarter.

CEO Insights

According to Andy Harmening, the President and CEO of Associated Banc-Corp, this strong momentum in the financial performance is a testament to the strategic actions taken in preceding quarters. Harmening stated, “We delivered over $350 million in additional CI loan growth and experienced the best checking household growth since we began tracking a decade ago.” He further emphasized the company’s robust profitability profile and strong capital position which positions the bank favorably for growth in the second half of the year.

Looking Forward

The bank anticipates a 5% to 6% growth in loans by the end of 2025, showcasing positive indicators despite ongoing macroeconomic uncertainties. The effective management of credit losses was also highlighted, with provisions totaling $18 million in Q2 against $13 million in the previous quarter. Nonaccrual loans decreased by $22 million from the prior quarter, demonstrating improved credit quality.

Conference Call

In light of these robust earnings, Associated Banc-Corp will be hosting an earnings call for investors and analysts on July 24, 2025, at 4:00 p.m. Central Time. This call will provide further insights into the financial results and projected developments for the remainder of 2025. Interested parties can access the live webcast through the Investor Relations section of the company's website.

About Associated Banc-Corp

Founded and headquartered in Green Bay, Wisconsin, Associated Banc-Corp is a leading Midwest banking franchise dedicated to offering a full spectrum of financial products and services. With nearly 200 banking locations extending across Wisconsin, Illinois, Minnesota, and Missouri, the bank continues to uphold its commitment to providing exceptional service to its diverse clientele while maintaining a solid financial framework.