# Synovus Financial Corp (NYSE: SNV) Releases Q2 2025 Earnings Report
Synovus Financial Corp. (NYSE: SNV) announced its financial results for the second quarter ended June 30, 2025, on July 16, 2025. This report highlights the company’s performance across several key financial metrics.
## Key Highlights from Q2 2025
– **Net Income**:
– Available to common shareholders was **$206.3 million**, or **$1.48 per diluted share**, compared to **$183.7 million**, or **$1.30** in Q1 2025, and **$(23.7) million**, or **$(0.16)** in Q2 2024. (Year-over-year change: **NM**)
– **Adjusted Net Income**:
– Available to common shareholders was **$206.4 million**, or **$1.48 per diluted share**, compared to **$184.4 million**, or **$1.30** in Q1 2025, and **$169.6 million**, or **$1.16** in Q2 2024. (Year-over-year change: **28%** increase)
– **Pre-Provision Net Revenue**:
– Reported at **$278.0 million**, a **6%** increase from Q1 2025, and sharply higher compared to Q2 2024 impacted due to a **$257 million** loss in securities from the previous year. Adjusted value was **$279.7 million**, up **5%** from Q1 and **7%** year-over-year.
– **Net Interest Income**:
– Grew by **1%** from Q1 and **6%** year-over-year to **$459.6 million**.
– **Net Interest Margin**:
– Expanded by **2 basis points** to **3.37%** attributed to declining deposit costs.
– **Loans**:
– Period-end loans totaled **$43.5 billion**, an increase of **$888 million** or **2%** from Q1 2025, driven by specialty lending and corporate investments.
– **Core Deposits**:
– Declined **$788 million** sequentially, totaling **$45.2 billion**. Average deposit costs fell **4 basis points** to **2.22%**.
– **Non-Interest Revenue**:
– Increased **15%** sequentially to **$134.1 million**, showing a rising trend compared to previous quarters.
– **Non-Interest Expense**:
– Totaled **$315.7 million**, a **1%** increase from Q1 mostly due to rising employment costs.
– **Credit Quality**:
– Non-performing loans decreased to **0.59%** from **0.67%** in Q1, while net charge-offs fell **17%** sequentially.
– **Provision for Credit Losses**:
– Reported at **$3.2 million**, a decline of **70%** from Q1 and **88%** compared to **$26.4 million** in Q2 2024.
– **Common Equity Tier 1 Ratio**:
– Rose to **10.91%**, up from **10.77%** in Q1 2025, despite $21 million in common stock repurchases impacting the figures.
### Dividends and Share Repurchase
– **Quarterly Dividend**: Synovus declared a cash dividend of **$0.39 per common share**, representing a **3%** increase from the previous year.
– **Share Repurchases**: The company repurchased approximately **$21 million** in common stock during this quarter.
### Summary of Overall Performance Metrics
– **Return on Average Assets**: At **1.46%**, compared to **1.32%** in Q1 2025 and **1.21%** a year earlier.
– **Return on Average Common Equity**: Improved to **16.71%**, higher than the **15.48%** last quarter and **14.75%** from the previous year.
– **Weighted Average Shares Outstanding**: Declined by **2%** sequentially and **4%** year-over-year.
Synovus Financial Corp has showcased a strong operational performance in Q2 2025, with significant growth in earnings and improvements in credit quality, reflecting resilience amid economic uncertainties.
# INCOME STATEMENT DATA (Dollars in thousands, except per share data)
| 2025 | % Change | 2024 | |
|---|---|---|---|
| Interest income | $1,538,407 | -3% | $1,583,952 |
| Interest expense | 624,462 | -14 | 730,108 |
| Net interest income | 913,945 | 7 | 853,844 |
| Provision for (reversal of) credit losses | 14,166 | -82 | 80,384 |
| Net interest income after provision for credit losses | 899,779 | 16 | 773,460 |
| Non-interest revenue: | |||
| Service charges on deposit accounts | 48,372 | 8 | 44,720 |
| Fiduciary and asset management fees | 40,249 | 4 | 38,741 |
| Card fees | 41,359 | 6 | 38,904 |
| Brokerage revenue | 41,107 | -5 | 43,164 |
| Mortgage banking income | 7,773 | 6 | 7,362 |
| Capital markets income | 19,901 | -8 | 21,704 |
| Income from bank-owned life insurance | 18,363 | 19 | 15,444 |
| Investment securities gains (losses), net | — | nm | -256,660 |
| Other non-interest revenue | 33,477 | -9 | 36,658 |
| Total non-interest revenue | 250,601 | nm | -9,963 |
| Non-interest expense: | |||
| Salaries and other personnel expense | 377,692 | 3 | 367,928 |
| Net occupancy, equipment, and software expense | 97,241 | 4 | 93,223 |
| Third-party processing and other services | 45,409 | 8 | 42,041 |
| Professional fees | 19,976 | -14 | 23,286 |
| FDIC insurance and other regulatory fees | 16,078 | -47 | 30,312 |
| Restructuring charges (reversals) | -1,220 | nm | 866 |
| Other operating expenses | 68,559 | 3 | 66,886 |
| Total non-interest expense | 623,735 | — | 624,542 |
| Income before income taxes | 526,645 | 279 | 138,955 |
| Income tax expense | 114,654 | 288 | 29,565 |
| Net income | 411,991 | 277 | 109,390 |
| Less: Net income (loss) attributable to noncontrolling interest | -738 | 32 | -1,089 |
| Net income attributable to Synovus Financial Corp. | 412,729 | 274 | 110,479 |
| Less: Preferred stock dividends | 22,718 | 17 | 19,398 |
| Net income available to common shareholders | $390,011 | 328 | $91,081 |
| Net income per common share, basic | $2.79 | 350 | $0.62 |
| Net income per common share, diluted | 2.77 | 347 | 0.62 |
| Cash dividends declared per common share | 0.78 | 3 | 0.76 |
| Return on average assets * | 1.39% | 102 bps | 0.37% |
| Return on average common equity * | 16.11 | nm | 4.07 |
| Weighted average common shares outstanding, basic | 139,783 | -4 | 145,998 |
| Weighted average common shares outstanding, diluted | 140,770 | -4 | 146,568 |
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# BALANCE SHEET DATA (In thousands, except share data)
| ASSETS | June 30, 2025 | December 31, 2024 | June 30, 2024 |
|---|---|---|---|
| Interest-earning deposits with banks and other cash and cash equivalents | $2,820,054 | $2,977,667 | $2,263,545 |
| Federal funds sold and securities purchased under resale agreements | 32,262 | 16,320 | 31,063 |
| Cash, cash equivalents, and restricted cash | 2,852,316 | 2,993,987 | 2,294,608 |
| Investment securities held to maturity | 2,502,639 | 2,581,469 | 2,668,068 |
| Investment securities available for sale | 7,798,824 | 7,551,018 | 7,043,681 |
| Loans held for sale (includes $45,136, $33,448 and $41,823 measured at fair value, respectively) | 153,037 | 90,111 | 139,323 |
| Loans, net of deferred fees and costs | 43,536,716 | 42,609,028 | 43,093,397 |
| Allowance for loan losses | -464,831 | -486,845 | -485,101 |
| Loans, net | 43,071,885 | 42,122,183 | 42,608,296 |
| Cash surrender value of bank-owned life insurance | 1,150,853 | 1,139,988 | 1,125,928 |
| Premises, equipment, and software, net | 378,739 | 383,724 | 375,455 |
| Goodwill | 480,440 | 480,440 | 480,440 |
| Other intangible assets, net | 29,063 | 34,318 | 40,114 |
| Other assets | 2,638,989 | 2,856,406 | 2,830,430 |
| Total assets | $61,056,785 | $60,233,644 | $59,606,343 |
| LIABILITIES AND EQUITY | |||
|---|---|---|---|
| Liabilities: | |||
| Deposits: | |||
| Non-interest-bearing deposits | $11,658,129 | $11,596,119 | $11,655,811 |
| Interest-bearing deposits | 38,266,878 | 39,499,240 | 38,539,967 |
| Total deposits | 49,925,007 | 51,095,359 | 50,195,778 |
| Federal funds purchased and securities sold under repurchase agreements, and other short-term borrowings | 85,327 | 131,728 | 97,020 |
| Long-term debt | 3,909,478 | 1,733,109 | 2,283,767 |
| Other liabilities | 1,498,331 | 2,007,197 | 1,953,106 |
| Total liabilities | 55,418,143 | 54,967,393 | 54,529,671 |
| Equity: | |||
| Shareholders’ equity:</ |
