EX-99.1 2 q125pressrelease.htm EX-99.1 Document

Exhibit 99.1
customersbancorp_logoxprima.jpg
Customers Bancorp, Inc. (NYSE:CUBI)
701 Reading Avenue
West Reading, PA 19611

Contacts:
Jordan Baucum, Head of Corporate Communications 951-608-8314
Customers Bancorp Reports Results for First Quarter 2025
First Quarter 2025 Highlights
•Q1 2025 net income available to common shareholders was $9.5 million, or $0.29 per diluted share; ROAA was 0.23% and ROCE was 2.23%.
•Q1 2025 core earnings*1 were $50.0 million, or $1.54 per diluted share; Core ROAA* was 0.97% and Core ROCE* was 11.72%.
•Q1 2025 net income available to common shareholders included $39.9 million of post-tax losses in connection with a securities portfolio repositioning to improve structural liquidity, enhance credit profile, reduce asset sensitivity and benefit margin.
•Total loans and leases held for investment grew by $611.7 million, or 4.2%, in Q1 2025 from Q4 2024.
•Total deposits increased by $86.5 million or 0.5% in Q1 2025 from Q4 2024.
•Non-interest bearing demand deposits decreased $55.7 million or 1.0% in Q1 2025 from Q4 2024; non-interest bearing deposits represented 29.3% of total deposits at March 31, 2025.
•Q1 2025 average cost of deposits was 2.82% compared to Q4 2024 of 3.07%, a decrease of 25 basis points.
•Q1 2025 net interest margin, tax equivalent (“NIM”) was 3.13%, compared to Q4 2024 NIM of 3.11%, an increase of 2 basis points primarily due to lower deposit costs.
•Ratio of non-performing assets to total assets was 0.26% at March 31, 2025 compared to 0.25% at December 31, 2024.
•Q1 2025 provision for credit losses was $28.3 million compared to $21.2 million in Q4 2024.
•The allowance for credit losses on loans and leases equaled 324% of non-performing loans at March 31, 2025, compared to 316% at December 31, 2024.
•CET 1 ratio of 11.7%2 at March 31, 2025, compared to 12.1% at December 31, 2024.
•TCE / TA ratio* of 7.7% at March 31, 2025, compared to 7.6% at December 31, 2024.
•Q1 2025 book value per share and tangible book value per share* both grew by approximately $0.66, or 1.2% over Q4 2024, or 4.9% annualized, with a tangible book value per share* of $54.74 at March 31, 2025. This was driven by current quarter earnings and a decrease in AOCI losses of $28.9 million.



*Non-GAAP measure. Customers’ reasons for the use of the non-GAAP measure and a detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document.
1 Excludes pre-tax impairment loss on investment securities of $51.3 million, unrealized losses on loans held for sale of $0.7 million, derivative credit valuation adjustment of $0.3 million and gains on investment securities of $0.2 million.
2 Regulatory capital ratios as of March 31, 2025 are estimates.
1

CEO Commentary
West Reading, Pa, April 24, 2025 - “We are pleased to share our first quarter results that highlight the company’s continuing incredible deposit transformation and underscore our success in growing franchise value. Though there is currently a high degree of economic uncertainty and volatility in the macro environment, we believe that Customers’ differentiated business model positions us well to navigate these challenges while we remain flexible and responsive to changes in the external environment. And importantly, with our customer-centric mindset and commitment to service provided by our extraordinary colleagues, we are here to serve our clients as the business environment continues to evolve,” said Customers Bancorp Chairman and CEO Jay Sidhu.
“In the first quarter, we once again demonstrated the power of our deposit remix efforts. The impact can be seen in a 24 basis points lower average cost of interest bearing deposits in Q1 2025 compared to last quarter as we continue to improve the quality of our deposit franchise. Non-interest bearing deposits remained at a healthy level of 29.3% of total deposits. As a result of these efforts we had a 25 basis point reduction in our total cost of deposits during the quarter.
Our deposit pipelines continue to expand with a significant conversion ratio. In addition, deposit focused teams we have recruited since March 2023 managed $2.1 billion or 11% of total deposits. Enhanced by their efforts, we’ve increased commercial deposit accounts by 53% since year end 2022, adding granular and sticky relationships while significantly lowering our cost of deposits, increasing our non-interest bearing deposits, and driving franchise value. We believe the company is extremely well-positioned to continue to strengthen our deposit franchise, improve our profitability, and maintain our already strong capital ratios,” stated Jay Sidhu.
“Our Q1 2025 GAAP earnings were $9.5 million, or $0.29 per diluted share, and core earnings* were $50.0 million, or $1.54 per diluted share. First quarter GAAP results include an impact in connection with a balance sheet optimization through a securities portfolio repositioning that the Bank decided to undertake as of March 31, 2025 designed to enhance structural liquidity, extend duration and benefit margin while reducing the credit sensitive portion of the portfolio given the volatile and uncertain macroeconomic environment. Even with the impact of the balance sheet optimization transaction and balance sheet growth we experienced during the quarter, our TCE / TA ratio* increased by 9 basis points. We maintain a strong liquidity position, with $8.7 billion of liquidity immediately available, which covers approximately 155% of uninsured deposits1 and our loan to deposit ratio was 80%, at March 31, 2025. We continue to focus on loan production where we have a holistic and primary relationship. Total loans and leases held for investment grew by $611.7 million driven by strong commercial loan growth of $460.3 million led by growth in our existing specialized lending verticals. Asset quality remains strong with our NPA ratio at just 0.26% of total assets and reserve levels are robust at 324% of total non-performing loans at the end of Q1 2025. Our exposure to the higher risk commercial real estate office sector is minimal, representing approximately 1% of the loan portfolio. We will remain disciplined, but opportunistic, with our balance sheet capacity to manage risk and maintain robust capital levels. Tangible Book Value per share* grew to $54.74. We believe that our unique strategy and the investments we have and are making, along with the exceptional talent in our organization, will position us for success in 2025 and beyond,” Jay Sidhu continued.






*Non-GAAP measure. Customers’ reasons for the use of the non-GAAP measure and a detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document.
1 Uninsured deposits (estimate) of $7.3 billion to be reported on the Bank’s call report, less deposits of $1.5 billion collateralized by standby letters of credit from the FHLB and from our affiliates of $198.9 million.
2

Financial Highlights
(Dollars in thousands, except per share data)
At or Three Months EndedIncrease (Decrease)
March 31, 2025December 31, 2024
Profitability Metrics:
Net income available for common shareholders$9,523 $23,266 $(13,743)(59.1)%
Diluted earnings per share$0.29 $0.71 $(0.42)(59.2)%
Core earnings*$50,002 $44,168 $5,834 13.2 %
Adjusted core earnings*
$50,002 $44,168 $5,834 13.2 %
Core earnings per share*$1.54 $1.36 $0.18 13.2 %
Adjusted core earnings per share*
$1.54 $1.36 $0.18 13.2 %
Return on average assets (“ROAA”)
0.23 %0.48 %(0.25)
Core ROAA*0.97 %0.86 %0.11 
Adjusted core ROAA*
0.97 %0.86 %0.11 
Return on average common equity (“ROCE”)
2.23 %5.50 %(3.27)
Core ROCE*11.72 %10.44 %1.28 
Adjusted core ROCE*
11.72 %10.44 %1.28 
Net interest margin, tax equivalent3.13 %3.11 %0.02 
Yield on loans (Loan yield)
6.57 %6.78 %(0.21)
Cost of deposits2.82 %3.07 %(0.25)
Efficiency ratio52.94 %56.86 %(3.92)
Core efficiency ratio*52.69 %56.12 %(3.43)
Adjusted core efficiency ratio*
52.69 %56.12 %(3.43)
Balance Sheet Trends:
Total assets$22,423,044 $22,308,241 $114,803 0.5 %
Total cash and investment securities
$6,424,406 $6,797,562 $(373,156)(5.5)%
Total loans and leases$15,097,968 $14,653,556 $444,412 3.0 %
Non-interest bearing demand deposits$5,552,605 $5,608,288 $(55,683)(1.0)%
Total deposits$18,932,925 $18,846,461 $86,464 0.5 %
Capital Metrics:
Common Equity to Total Assets7.7 %7.6 %0.1 
Tangible Common Equity to Tangible Assets*7.7 %7.6 %0.1 
Book Value per common share$54.85 $54.20 $0.65 1.2 %
Tangible Book Value per common share*$54.74 $54.08 $0.66 1.2 %
Common equity Tier 1 capital ratio (1)
11.7 %12.1 %(0.4)
Total risk based capital ratio (1)
14.6 %14.9 %(0.3)
(1) Regulatory capital ratios as of March 31, 2025 are estimates.
*Non-GAAP measure. Customers’ reasons for the use of the non-GAAP measure and a detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document.
3

Financial Highlights
(Dollars in thousands, except per share data)
At or Three Months EndedIncrease (Decrease)
March 31, 2025March 31, 2024
Profitability Metrics:
Net income available for common shareholders$9,523 $45,926 $(36,403)(79.3)%
Diluted earnings per share$0.29 $1.40 $(1.11)(79.3)%
Core earnings*$50,002 $46,532 $3,470 7.5 %
Adjusted core earnings*
$50,002 $55,137 $(5,135)(9.3)%
Core earnings per share*$1.54 $1.42 $0.12 8.5 %
Adjusted core earnings per share*
$1.54 $1.68 $(0.14)(8.3)%
Return on average assets (“ROAA”)
0.23 %0.94 %(0.71)
Core ROAA*0.97 %0.95 %0.02 
Adjusted core ROAA*
0.97 %1.11 %(0.14)
Return on average common equity (“ROCE”)
2.23 %12.08 %(9.85)
Core ROCE*11.72 %12.24 %(0.52)
Adjusted core ROCE*
11.72 %14.50 %(2.78)
Net interest margin, tax equivalent3.13 %3.10 %0.03 
Yield on loans (Loan yield)
6.57 %7.05 %(0.48)
Cost of deposits2.82 %3.45 %(0.63)
Efficiency ratio52.94 %54.58 %(1.64)
Core efficiency ratio*52.69 %54.24 %(1.55)
Adjusted core efficiency ratio*
52.69 %48.02 %4.67 
Balance Sheet Trends:
Total assets$22,423,044 $21,347,367 $1,075,677 5.0 %
Total cash and investment securities
$6,424,406 $7,338,025 $(913,619)(12.5)%
Total loans and leases$15,097,968 $13,256,871 $1,841,097 13.9 %
Non-interest bearing demand deposits$5,552,605 $4,688,880 $863,725 18.4 %
Total deposits$18,932,925 $17,961,383 $971,542 5.4 %
Capital Metrics:
Common Equity to Total Assets7.7 %7.3 %0.4 
Tangible Common Equity to Tangible Assets*7.7 %7.3 %0.4 
Book Value per common share$54.85 $49.29 $5.56 11.3 %
Tangible Book Value per common share*$54.74 $49.18 $5.56 11.3 %
Common equity Tier 1 capital ratio (1)
11.7 %12.6 %(0.9)
Total risk based capital ratio (1)
14.6 %15.9 %(1.3)
(1) Regulatory capital ratios as of March 31, 2025 are estimates.
*Non-GAAP measure. Customers’ reasons for the use of the non-GAAP measure and a detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document.
4

Key Balance Sheet Trends
Loans and Leases
The following table presents the composition of total loans and leases as of the dates indicated:
(Dollars in thousands)March 31, 2025% of TotalDecember 31, 2024% of TotalMarch 31, 2024% of Total
Loans and Leases Held for Investment
Commercial:
Commercial & industrial:
Specialized lending$6,070,093 40.3 %$5,842,420 40.4 %$5,104,405 39.6 %
Other commercial & industrial
1,062,933 7.0 1,062,631 7.4 1,113,517 8.6 
Mortgage finance1,477,896 9.8 1,440,847 10.0 1,071,146 8.3 
Multifamily2,322,123 15.4 2,252,246 15.6 2,123,675 16.5 
Commercial real estate owner occupied1,139,126 7.6 1,100,944 7.6 806,278 6.3 
Commercial real estate non-owner occupied1,438,906 9.6 1,359,130 9.4 1,182,084 9.2 
Construction154,647 1.0 147,209 1.0 185,601 1.3 
Total commercial loans and leases13,665,724 90.7 13,205,427 91.4 11,586,706 89.8 
Consumer:
Residential496,772 3.3 496,559 3.4 482,537 3.8 
Manufactured housing31,775 0.2 33,123 0.3 37,382 0.3 
Installment:
Personal493,276 3.3 463,854 3.2 492,892 3.8 
Other372,892 2.5 249,799 1.7 299,714 2.3 
Total installment loans866,168 5.8 713,653 4.9 792,606 6.1 
Total consumer loans1,394,715 9.3 1,243,335 8.6 1,312,525 10.2 
Total loans and leases held for investment$15,060,439 100.0 %$14,448,762 100.0 %$12,899,231 100.0 %
Loans Held for Sale
Residential$1,465 3.9 %$1,836 0.9 %$870 0.2 %
Installment:
Personal36,000 95.9 40,903 20.0 137,755 38.5 
Other64 0.2 162,055 79.1 219,015 61.3 
Total installment loans36,064 96.1 202,958 99.1 356,770 99.8 
Total loans held for sale$37,529 100.0 %$204,794 100.0 %$357,640 100.0 %
Total loans and leases portfolio$15,097,968 $14,653,556 $13,256,871 
Loans and Leases Held for Investment
Loans and leases held for investment were $15.1 billion at March 31, 2025, up $611.7 million, or 4.2%, from December 31, 2024. Specialized lending increased by $227.7 million, or 3.9% quarter-over-quarter, to $6.1 billion. Non-owner occupied commercial real estate loans increased by $79.8 million, or 5.9% to $1.4 billion. Multifamily loans increased by $69.9 million, or 3.1% to $2.3 billion. Mortgage finance loans increased by $37.0 million, or 2.6% to $1.5 billion. Owner-occupied commercial real estate loans increased by $38.2 million, or 3.5% to $1.1 billion. Consumer installment loans increased by $152.5 million, or 21.4% to $866.2 million, inclusive of the transfer of $133.8 million from loans held for sale in Q1 2025 as it elected to retain these loans in connection with the sunsetting of an arrangement with a fintech company, which recently was acquired by a bank.
Loans and leases held for investment of $15.1 billion at March 31, 2025 were up $2.2 billion, or 16.8%, year-over-year. Specialized lending increased by $965.7 million, or 18.9% year-over-year. Mortgage finance loans increased by $406.8 million. Owner-occupied commercial real estate loans increased by $332.8 million. Non-owner occupied commercial real estate loans increased by $256.8 million. Multifamily loans increased by $198.4 million. Consumer installment loans increased $73.6 million, inclusive of the transfer from loans held for sale in Q1 2025. These increases were partially offset by a decrease in other commercial and industrial loans of $50.6 million.
5

Loans Held for Sale
Loans held for sale decreased $167.3 million quarter-over-quarter, and were $37.5 million at March 31, 2025. In Q1 2025, the Bank transferred $133.8 million of other consumer installment loans from held for sale to held for investment as it elected to retain these loans in connection with the sunsetting of an arrangement with a fintech company, which recently was acquired by a bank, whereby the Bank has been originating and holding these loans prior to sale.
Allowance for Credit Losses on Loans and Leases
The following table presents the allowance for credit losses on loans and leases as of the dates and for the periods presented:
At or Three Months EndedIncrease (Decrease)At or Three Months EndedIncrease (Decrease)
(Dollars in thousands)March 31, 2025December 31, 2024March 31, 2025March 31, 2024
Allowance for credit losses on loans and leases$141,076 $136,775 $4,301 $141,076 $133,296 $7,780 
Provision (benefit) for credit losses on loans and leases
$21,445 $18,229 $3,216 $21,445 $15,953 $5,492 
Net charge-offs from loans held for investment$17,144 $14,612 $2,532 $17,144 $17,968 $(824)
Annualized net charge-offs to average loans and leases0.48 %0.41 %0.48 %0.55 %
Coverage of credit loss reserves for loans and leases held for investment1.04 %1.04 %1.04 %1.12 %
Net charge-offs increased with $17.1 million in Q1 2025, compared to $14.6 million in Q4 2024, and decreased slightly from $18.0 million in Q1 2024.
Provision (benefit) for Credit Losses
Three Months EndedIncrease (Decrease)Three Months EndedIncrease (Decrease)
(Dollars in thousands)March 31, 2025December 31, 2024March 31, 2025March 31, 2024
Provision (benefit) for credit losses on loans and leases
$21,445 $18,229 $3,216 $21,445 $15,953 $5,492 
Provision (benefit) for credit losses on available for sale debt securities6,852 2,965 3,887 6,852 1,117 5,735 
Provision for credit losses28,297 21,194 7,103 28,297 17,070 11,227 
Provision (benefit) for credit losses on unfunded commitments1,208 (664)1,872 1,208 430 778 
Total provision for credit losses$29,505 $20,530 $8,975 $29,505 $17,500 $12,005 
The provision for credit losses on loans and leases in Q1 2025 was $21.4 million, compared to $18.2 million in Q4 2024. The higher provision in Q1 2025 was primarily due to slight deterioration in macroeconomic forecasts and an increase in loan balances held for investment.
The provision for credit losses on available for sale investment securities in Q1 2025 was $6.9 million, compared to $3.0 million in Q4 2024.
The provision for credit losses on loans and leases in Q1 2025 was $21.4 million, compared to $16.0 million in Q1 2024. The higher provision in Q1 2025 compared to the year ago period was primarily due to slight deterioration in macroeconomic forecasts and an increase in loan balances held for investment.
The provision for credit losses on available for sale investment securities in Q1 2025 was $6.9 million compared to $1.1 million in Q1 2024.
6

Asset Quality
The following table presents asset quality metrics as of the dates indicated:
(Dollars in thousands)March 31, 2025December 31, 2024Increase (Decrease)March 31, 2025March 31, 2024Increase (Decrease)
Non-performing assets (“NPAs”):
Nonaccrual / non-performing loans (“NPLs”)
$43,513 $43,275 $238 $43,513 $35,654 $7,859 
Non-performing assets$57,960 $55,807 $2,153 $57,960 $35,753 $22,207 
NPLs to total loans and leases
0.29 %0.30 %0.29 %0.27 %
Reserves to NPLs
324.22 %316.06 %324.22 %373.86 %
NPAs to total assets0.26 %0.25 %0.26 %0.17 %
Loans and leases (1) risk ratings:
Commercial loans and leases
Pass$11,818,846 $11,403,930 $414,916 $11,818,846 $10,095,611 $1,723,235 
Special Mention
189,155 175,055 14,100 189,155 194,365 (5,210)
Substandard
272,575 282,563 (9,988)272,575 282,163 (9,588)
Total commercial loans and leases12,280,576 11,861,548 419,028 12,280,576 10,572,139 1,708,437 
Consumer loans
Performing1,242,753 1,227,359 15,394 1,242,753 1,293,457 (50,704)
Non-performing13,803 15,976 (2,173)13,803 19,068 (5,265)
Total consumer loans1,256,556 1,243,335 13,221 1,256,556 1,312,525 (55,969)
Loans and leases receivable (1)
$13,537,132 $13,104,883 $432,249 $13,537,132 $11,884,664 $1,652,468 
(1)    Risk ratings are assigned to loans and leases held for investment, and excludes loans held for sale, loans receivable, mortgage finance, at fair value, loans held for sale, loans receivable, installment, at fair value and eligible PPP loans that are fully guaranteed by the Small Business Administration.
Over the last decade, the Bank has developed a suite of commercial loan products with one particularly important common denominator: a relatively low credit risk assumption. The Bank’s commercial and industrial (“C&I”), mortgage finance, corporate and specialized lending lines of business, and multifamily loans for example, are characterized by conservative underwriting standards and historically low loss rates. Because of this emphasis, the Bank’s credit quality to date has been incredibly healthy despite a challenging economic and rate environment. Maintaining strong asset quality also requires a highly active portfolio monitoring process. In addition to frequent client outreach and monitoring at the individual loan level, management employs a bottom-up data driven approach to analyze the commercial portfolio.
Total consumer installment loans held for investment at March 31, 2025 were less than 4% of total assets and approximately 6% of total loans and leases held for investment, and were supported by an allowance for credit losses of $51.6 million. At March 31, 2025, the consumer installment portfolio had the following characteristics: average original FICO score of 739, average debt-to-income of 20% and average borrower income of $104 thousand.
Non-performing loans at March 31, 2025 decreased to 0.29% of total loans and leases, compared to 0.30% at December 31, 2024 and increased, compared to 0.27% at March 31, 2024.
Investment Securities
The investment securities portfolio, including debt securities classified as available for sale (“AFS”) and held to maturity (“HTM”) provides periodic cash flows through regular maturities and amortization, can be used as collateral to secure additional funding, and is an important component of the Bank’s liquidity position.
The following table presents the composition of the investment securities portfolio as of the dates indicated:
(Dollars in thousands)March 31, 2025December 31, 2024March 31, 2024
Debt securities, available for sale$2,024,437 $1,985,438 $2,571,139 
Equity securities33,118 34,256 33,729 
Investment securities, at fair value2,057,555 2,019,694 2,604,868 
Debt securities, held to maturity938,161 991,937 1,032,037 
Total investment securities portfolio$2,995,716 $3,011,631 $3,636,905 
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Customers’ securities portfolio is highly liquid, short in duration, and high in yield. At March 31, 2025, the AFS debt securities portfolio, excluding the securities that the Bank decided to sell, had a spot yield of 5.50%, an effective duration of approximately 3.6 years, and approximately 22% are variable rate. Additionally, 66% of the AFS securities portfolio was AAA rated at March 31, 2025.
At March 31, 2025, the HTM debt securities portfolio represented only 4.2% of total assets at March 31, 2025, had a spot yield of 3.95% and an effective duration of approximately 4.1 years. Additionally, at March 31, 2025, approximately 51% of the HTM securities were AAA rated and $0.4 billion were credit enhanced asset backed securities with no current expectation of credit losses.
Deposits
The following table presents the composition of our deposit portfolio as of the dates indicated:
(Dollars in thousands)March 31, 2025% of TotalDecember 31, 2024% of TotalMarch 31, 2024% of Total
Demand, non-interest bearing$5,552,605 29.3 %$5,608,288 29.7 %$4,688,880 26.1 %
Demand, interest bearing5,137,961 27.2 5,553,698 29.5 5,661,775 31.5 
Total demand deposits10,690,566 56.5 11,161,986 59.2 10,350,655 57.6 
Savings1,327,854 7.0 1,131,819 6.0 2,080,374 11.6 
Money market4,057,458 21.4 3,844,451 20.4 3,347,843 18.6 
Time deposits2,857,047 15.1 2,708,205 14.4 2,182,511 12.2 
Total deposits$18,932,925 100.0 %$18,846,461 100.0 %$17,961,383 100.0 %
Total deposits increased $86.5 million, or 0.5%, to $18.9 billion at March 31, 2025 as compared to the prior quarter. Money market deposits increased $213.0 million, or 5.5%, to $4.1 billion, savings deposits increased $196.0 million, or 17.3%, to $1.3 billion and time deposits increased $148.8 million, or 5.5%, to $2.9 billion. These increases were offset by decreases in interest bearing demand deposits of $415.7 million, or 7.5%, to $5.1 billion and non-interest bearing demand deposits of $55.7 million, or 1.0%, to $5.6 billion. The total average cost of deposits decreased by 25 basis points to 2.82% in Q1 2025 from 3.07% in the prior quarter primarily due to a favorable shift in deposit mix and lower market interest rates. Total estimated uninsured deposits were $5.6 billion1, or 30% of total deposits (inclusive of accrued interest) at March 31, 2025 with immediately available liquidity covering approximately 155% of these deposits.
Total deposits increased $971.5 million, or 5.4%, to $18.9 billion at March 31, 2025 as compared to a year ago. Non-interest bearing demand deposits increased $863.7 million, or 18.4%, to $5.6 billion, money market deposits increased $709.6 million, or 21.2%, to $4.1 billion and time deposits increased $674.5 million, or 30.9% to $2.9 billion. These increases were offset by decreases in savings deposits of $752.5 million, or 36.2%, to $1.3 billion and interest bearing demand deposits of $523.8 million, or 9.3%, to $5.1 billion. The total average cost of deposits decreased by 63 basis points to 2.82% in Q1 2025 from 3.45% in the prior year primarily due to a favorable shift in deposit mix and lower market interest rates.
On April 1, 2025, Customers transferred approximately $166.7 million of deposits serviced by BM Technologies, Inc. under a white label relationship to a new sponsor bank.
Borrowings
The following table presents the composition of our borrowings as of the dates indicated:
(Dollars in thousands)March 31, 2025December 31, 2024March 31, 2024
FHLB advances$1,133,456 $1,128,352 $1,195,088 
Senior notes99,103 99,068 123,905 
Subordinated debt182,579 182,509 182,300 
Total borrowings$1,415,138 $1,409,929 $1,501,293 
1 Uninsured deposits (estimate) of $7.3 billion to be reported on the Bank’s call report, less deposits of $1.5 billion collateralized by standby letters of credit from the FHLB and from our affiliates of $198.9 million.
8

Total borrowings increased $5.2 million, or 0.4%, to $1.4 billion at March 31, 2025 as compared to the prior quarter. As of March 31, 2025, Customers’ immediately available borrowing capacity with the FRB and FHLB was approximately $7.9 billion, of which $1.1 billion of available capacity was utilized in borrowings and $1.5 billion was utilized to collateralize deposits.
Total borrowings decreased $86.2 million, or 5.7%, to $1.4 billion at March 31, 2025 as compared to a year ago. This decrease primarily resulted from net repayments of $70.0 million in FHLB advances and $25.0 million in senior notes upon maturity.
Capital
The following table presents certain capital amounts and ratios as of the dates indicated:
(Dollars in thousands except per share data)March 31, 2025December 31, 2024March 31, 2024
Customers Bancorp, Inc.
Common Equity$1,726,766 $1,698,889 $1,553,823 
Tangible Common Equity*$1,723,137 $1,695,260 $1,550,194 
Common Equity to Total Assets7.7 %7.6 %7.3 %
Tangible Common Equity to Tangible Assets*7.7 %7.6 %7.3 %
Book Value per common share$54.85 $54.20 $49.29 
Tangible Book Value per common share*$54.74 $54.08 $49.18 
Common equity Tier 1 (“CET 1”) capital ratio (1)
11.7 %12.1 %12.6 %
Total risk based capital ratio (1)
14.6 %14.9 %15.9 %
(1) Regulatory capital ratios as of March 31, 2025 are estimates.
*Non-GAAP measure. Customers’ reasons for the use of the non-GAAP measure and a detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document.
Customers Bancorp’s common equity increased $27.9 million to $1.7 billion, and tangible common equity* increased $27.9 million to $1.7 billion, at March 31, 2025 compared to the prior quarter, respectively, primarily from earnings of $9.5 million and decreased unrealized losses on investment securities of $28.9 million (net of taxes) deferred in accumulated other comprehensive income (“AOCI”). These increases were offset in part by $5.6 million of common share repurchases in Q1 2025. Similarly, book value per common share increased to $54.85 from $54.20, and tangible book value per common share* increased to $54.74 from $54.08, at March 31, 2025 and December 31, 2024, respectively.
Customers Bancorp’s common equity increased $172.9 million to $1.7 billion, and tangible common equity* increased $172.9 million to $1.7 billion, at March 31, 2025 compared to a year ago, respectively, primarily from earnings of $130.0 million and decreased unrealized losses on investment securities in AOCI of $64.7 million (net of taxes), offset in part by $24.9 million of common share repurchases. Similarly, book value per common share increased to $54.85 from $49.29, and tangible book value per common share* increased to $54.74 from $49.18, at March 31, 2025 and March 31, 2024, respectively.
At the Customers Bancorp level, the CET 1 ratio (estimate), total risk based capital ratio (estimate), common equity to total assets ratio and tangible common equity to tangible assets ratio* (“TCE / TA ratio”) were 11.7%, 14.6%, 7.7%, and 7.7%, respectively, at March 31, 2025.
At the Customers Bank level, capital levels remained strong and well above regulatory minimums. At March 31, 2025, Tier 1 capital (estimate) and total risk based capital (estimate) were 12.4% and 13.9%, respectively.
9

Key Profitability Trends
Net Interest Income
Net interest income totaled $167.4 million in Q1 2025, a decrease of $0.4 million from Q4 2024. This decrease was driven by a decrease in interest income of $15.0 million primarily due to lower interest income from interest-earning deposits and investment securities, partially offset by lower interest expense of $14.6 million due to a favorable shift in deposit mix and lower market interest rates.
“Net interest margin expanded in the quarter primarily driven by improvements in the liability side of the balance sheet as we lowered interest bearing deposit costs and had higher levels of average non-interest bearing deposits. This is evident in the fact that our total cost of deposits declined by 25 basis points during the quarter.
Additionally, diversified and robust loan growth late in the quarter which we achieved through taking market share should provide a strong foundation for our net interest income throughout the remainder of 2025,” stated Customers Bancorp President Sam Sidhu. “We have positive drivers to net interest income on both sides of the balance sheet though we continue to believe the best opportunity remains in reducing our interest expense with continued momentum from our new deposit focused commercial banking teams and across our franchise,” stated Sam Sidhu.
Net interest income totaled $167.4 million in Q1 2025, an increase of $7.1 million from Q1 2024. This increase was primarily due to lower interest expense from a favorable shift in deposit mix and lower market interest rates, partially offset by lower interest income from interest-earning deposits and investment securities.
Non-Interest Income (Loss)
The following table presents details of non-interest income (loss) for the periods indicated:
Three Months EndedIncrease (Decrease)Three Months EndedIncrease (Decrease)
(Dollars in thousands)March 31, 2025December 31, 2024March 31, 2025March 31, 2024
Commercial lease income$10,668 $10,604 $64 $10,668 $9,683 $985 
Loan fees7,235 8,639 (1,404)7,235 5,280 1,955 
Bank-owned life insurance 4,660 2,125 2,535 4,660 3,261 1,399 
Mortgage finance transactional fees933 1,010 (77)933 946 (13)
Net gain (loss) on sale of loans and leases2 (852)854 2 10 (8)
Net gain (loss) on sale of investment securities— (26,260)26,260 — (30)30 
Impairment loss on investment securities(51,319)— (51,319)(51,319)— (51,319)
Unrealized gain on equity method investments— 389 (389)— — — 
Other3,331 3,954 (623)3,331 2,081 1,250 
Total non-interest income (loss)$(24,490)$(391)$(24,099)$(24,490)$21,231 $(45,721)
Reported non-interest income totaled a loss of $24.5 million for Q1 2025, an increase of $24.1 million compared to a loss of $0.4 million for Q4 2024. The increase in losses was primarily due to $51.3 million of impairment loss on certain AFS debt securities that the Bank decided to sell as of March 31, 2025, in order to further improve structural liquidity, enhance credit profile, reduce asset sensitivity and benefit margin, partially offset by a decrease of $26.3 million in net realized loss on sale of investment securities and an increase in bank-owned life insurance income of $2.5 million primarily due to death benefits received from insurance carriers.
Excluding the impact of the securities repositioning in Q1 2025 and Q4 2024, non-interest income was $26.8 million in Q1 2025 compared to $25.9 million in Q4 2024.
Non-interest income totaled a loss of $24.5 million for Q1 2025, a decrease of $45.7 million compared to Q1 2024. The increase in losses was primarily due to $51.3 million of impairment loss on certain AFS debt securities that the Bank decided to sell as of March 31, 2025, partially offset by increases in commercial lease income of $1.0 million, loan fees of $2.0 million primarily resulting from increased unused line of credit fees, bank-owned life insurance income of $1.4 million primarily due to death benefits received from insurance carriers and deposit account fees of $2.1 million.
10

Non-Interest Expense
The following table presents details of non-interest expense for the periods indicated:
Three Months EndedIncrease (Decrease)Three Months EndedIncrease (Decrease)
(Dollars in thousands)March 31, 2025December 31, 2024March 31, 2025March 31, 2024
Salaries and employee benefits$42,674 $47,147 $(4,473)$42,674 $36,025 $6,649 
Technology, communication and bank operations11,312 13,435 (2,123)11,312 21,904 (10,592)
Commercial lease depreciation8,463 8,933 (470)8,463 7,970 493 
Professional services11,857 13,473 (1,616)11,857 6,353 5,504 
Loan servicing4,630 4,584 46 4,630 4,031 599 
Occupancy3,412 3,335 77 3,412 2,347 1,065 
FDIC assessments, non-income taxes and regulatory fees11,750 10,077 1,673 11,750 13,469 (1,719)
Advertising and promotion528 1,645 (1,117)528 682 (154)
Other8,145 7,746 399 8,145 6,388 1,757 
Total non-interest expense$102,771 $110,375 $(7,604)$102,771 $99,169 $3,602 
Non-interest expenses totaled $102.8 million in Q1 2025, a decrease of $7.6 million compared to Q4 2024. The decrease was primarily attributable to decreases of $4.5 million in salaries and employee benefits primarily due to lower headcount, severance and incentives, $2.1 million in technology, communication and bank operations primarily due to lower software-as-a-service expenses and $1.6 million in professional fees, partially offset by an increase of $1.7 million in FDIC assessments, non-income taxes and regulatory fees primarily due to higher FDIC assessments.
“During the quarter we realized the benefit of our operational excellence initiatives which are providing the capacity for the continued investments which we are making in our franchise to position us for success in the both the near-term and over the long-term. While we are pleased with the results of these efforts, we will look for continued opportunities to build on this success in the future,” stated Sam Sidhu.
Non-interest expenses totaled $102.8 million in Q1 2025, an increase of $3.6 million compared to Q1 2024. The increase was primarily attributable to increases of $6.6 million in salaries and employee benefits primarily due to higher headcount including the addition of new banking teams in April 2024 and annual merit increases, and $5.5 million in professional fees including the investment in our risk management infrastructure. These increases were partially offset by decreases in technology, communication and bank operations primarily due to $7.1 million of deposit servicing fees and FDIC assessments, non-income taxes and regulatory fees, primarily due to $4.2 million of FDIC premiums recorded in Q1 2024, both of which relate to periods prior to 2024.
Taxes
Income tax expense decreased by $10.0 million to a benefit of $1.0 million in Q1 2025 from a provision of $8.9 million in Q4 2024 primarily due to lower pre-tax income and an increase in discrete tax benefits from share-based compensation for 2025, partially offset by lower investment tax credits estimated in 2025 as compared to 2024.
Income tax expense decreased by $16.7 million to a benefit of $1.0 million in Q1 2025 from a provision of $15.7 million in Q1 2024 primarily due to lower pre-tax income and an increase in discrete tax benefits from share-based compensation for 2025. The effective tax rate was (8.6)% for Q1 2025.
11

Outlook
“Looking forward, our strategy remains unchanged. We are focused on continuing the transformation of our deposit franchise, further strengthening our risk management and compliance infrastructure, improving our profitability and growing net interest income, and maintaining strong capital ratios, liquidity, and credit quality. We began the year with strong performance toward achievement of our loan, deposit, and net interest income growth targets as well as our target of lowering our core efficiency ratio. We remain focused on executing in those areas which differentiate us from our peers and believe that providing truly exceptional service, sophisticated product offerings and a single-point-of-contact service model will deliver strategic, organic growth. We believe we are incredibly well positioned to continue to take market share winning new client relationships and that we have the right strategy, the right team, and a client-centric culture to achieve our goals in 2025 and beyond,” concluded Sam Sidhu.























*Non-GAAP measure. Customers’ reasons for the use of the non-GAAP measure and a detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document.
12

Webcast
Date:            Friday, April 25, 2025        
Time:            9:00 AM EDT
The live audio webcast, presentation slides, and earnings press release will be made available at https://www.customersbank.com and at the Customers Bancorp 1st Quarter Earnings Webcast.
You may submit questions in advance of the live webcast by emailing our Head of Corporate Communications, Jordan Baucum at jbaucum@customersbank.com.
The webcast will be archived for viewing on the Customers Bank Investor Relations page and available beginning approximately two hours after the conclusion of the live event.
Institutional Background
Customers Bancorp, Inc. (NYSE:CUBI) is one of the nation’s top-performing banking companies with over $22 billion in assets making it one of the 80 largest bank holding companies in the U.S. Customers Bank’s commercial and consumer clients benefit from a full suite of technology-enabled tailored product experiences delivered by best-in-class customer service distinguished by a Single Point of Contact approach. In addition to traditional lines such as C&I lending, commercial real estate lending and multifamily lending, Customers Bank also provides a number of national corporate banking services to specialized lending clients. Major accolades include:
•No. 1 on American Banker 2024 list of top-performing banks with $10B to $50B in assets
•No. 72 out of the 100 largest publicly traded banks in 2025 Forbes Best Banks list
•2024 Inc. Magazine Best in Business List in Financial Services Category
A member of the Federal Reserve System with deposits insured by the Federal Deposit Insurance Corporation, Customers Bank is an equal opportunity lender. Learn more: www.customersbank.com.
“Safe Harbor” Statement
In addition to historical information, this press release may contain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements with respect to Customers Bancorp, Inc.’s strategies, goals, beliefs, expectations, estimates, intentions, capital raising efforts, financial condition and results of operations, future performance and business. Statements preceded by, followed by, or that include the words “may,” “could,” “should,” “pro forma,” “looking forward,” “would,” “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “project,” or similar expressions generally indicate a forward-looking statement. These forward-looking statements involve risks and uncertainties that are subject to change based on various important factors (some of which, in whole or in part, are beyond Customers Bancorp, Inc.’s control). Numerous competitive, economic, regulatory, legal and technological events and factors, among others, could cause Customers Bancorp, Inc.’s financial performance to differ materially from the goals, plans, objectives, intentions and expectations expressed in such forward-looking statements, including: a continuation of the recent turmoil in the banking industry, responsive measures taken by us and regulatory authorities to mitigate and manage related risks, regulatory actions taken that address related issues and the costs and obligations associated therewith, such as the FDIC special assessments; the potential for negative consequences resulting from regulatory violations, investigations and examinations, including potential supervisory actions, the assessment of fines and penalties, the imposition of sanctions, the need to undertake remedial actions and possible damage to our reputation; effects of competition on deposit rates and growth, loan rates and growth and net interest margin; failure to identify and adequately and promptly address cybersecurity risks, including data breaches and cyberattacks; public health crises and pandemics and their effects on the economic and business environments in which we operate; geopolitical conditions, including acts or threats of terrorism, actions taken by the United States or other governments in response to acts or threats of terrorism and military conflicts, including the war between Russia and Ukraine and ongoing conflict in the Middle East, which could impact economic conditions in the United States; the impact that changes in the economy
13

have on the performance of our loan and lease portfolio, the market value of our investment securities, the demand for our products and services and the availability of sources of funding; the effects of actions by the federal government, including the Board of Governors of the Federal Reserve System and other government agencies, that affect market interest rates and the money supply; actions that we and our customers take in response to these developments and the effects such actions have on our operations, products, services and customer relationships; higher inflation and its impacts; the effects of changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs on its trading partners; and the effects of any changes in accounting standards or policies. Customers Bancorp, Inc. cautions that the foregoing factors are not exclusive, and neither such factors nor any such forward-looking statement takes into account the impact of any future events. All forward-looking statements and information set forth herein are based on management’s current beliefs and assumptions as of the date hereof and speak only as of the date they are made. For a more complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review Customers Bancorp, Inc.’s filings with the Securities and Exchange Commission, including its most recent annual report on Form 10-K for the year ended December 31, 2024, subsequently filed quarterly reports on Form 10-Q and current reports on Form 8-K, including any amendments thereto, that update or provide information in addition to the information included in the Form 10-K and Form 10-Q filings, if any. Customers Bancorp, Inc. does not undertake to update any forward-looking statement whether written or oral, that may be made from time to time by Customers Bancorp, Inc. or by or on behalf of Customers Bank, except as may be required under applicable law.
14

Q1 2025 Overview
The following table presents a summary of key earnings and performance metrics for the quarter ended March 31, 2025 and the preceding four quarters:
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
EARNINGS SUMMARY - UNAUDITED
(Dollars in thousands, except per share data and stock price data)
Q1Q4Q3Q2Q1
20252024202420242024
GAAP Profitability Metrics:
Net income available to common shareholders
$9,523 $23,266 $42,937 $54,300 $45,926 
Per share amounts:
Earnings per share - basic
$0.30 $0.74 $1.36 $1.72 $1.46 
Earnings per share - diluted$0.29 $0.71 $1.31 $1.66 $1.40 
Book value per common share (1)
$54.85 $54.20 $53.07 $50.81 $49.29 
CUBI stock price (1)
$50.20 $48.68 $46.45 $47.98 $53.06 
CUBI stock price as % of book value (1)
92 %90 %88 %94 %108 %
Average shares outstanding - basic31,447,623 31,346,920 31,567,797 31,649,715 31,473,424 
Average shares outstanding - diluted32,490,572 32,557,621 32,766,488 32,699,149 32,854,534 
Shares outstanding (1)
31,479,132 31,346,507 31,342,107 31,667,655 31,521,931 
Return on average assets (“ROAA”)
0.23 %0.48 %0.88 %1.11 %0.94 %
Return on average common equity (“ROCE”)
2.23 %5.50 %10.44 %13.85 %12.08 %
Net interest margin, tax equivalent 3.13 %3.11 %3.06 %3.29 %3.10 %
Efficiency ratio52.94 %56.86 %62.40 %51.87 %54.58 %
Non-GAAP Profitability Metrics (2):
Core earnings$50,002 $44,168 $43,838 $48,567 $46,532 
Core pre-tax pre-provision net income
$93,489 $84,224 $64,824 $89,220 $83,674 
Per share amounts:
Core earnings per share - diluted$1.54 $1.36 $1.34 $1.49 $1.42 
Tangible book value per common share (1)
$54.74 $54.08 $52.96 $50.70 $49.18 
CUBI stock price as % of tangible book value (1)
92 %90 %88 %95 %108 %
Core ROAA0.97 %0.86 %0.89 %1.00 %0.95 %
Core ROCE11.72 %10.44 %10.66 %12.39 %12.24 %
Core pre-tax pre-provision ROAA
1.70 %1.51 %1.21 %1.71 %1.58 %
Core pre-tax pre-provision ROCE
21.11 %19.04 %14.84 %21.79 %21.01 %
Core efficiency ratio52.69 %56.12 %61.69 %53.47 %54.24 %
Asset Quality:
Net charge-offs $17,144 $14,612 $17,044 $18,711 $17,968 
Annualized net charge-offs to average total loans and leases0.48 %0.41 %0.50 %0.56 %0.55 %
Non-performing loans (“NPLs”) to total loans and leases (1)
0.29 %0.30 %0.34 %0.35 %0.27 %
Reserves to NPLs (1)
324.22 %316.06 %281.36 %279.52 %373.86 %
Non-performing assets (“NPAs”) to total assets
0.26 %0.25 %0.22 %0.23 %0.17 %
Customers Bank Capital Ratios (3):
Common equity Tier 1 capital to risk-weighted assets12.4 %12.96 %13.64 %14.17 %14.16 %
Tier 1 capital to risk-weighted assets 12.4 %12.96 %13.64 %14.17 %14.16 %
Total capital to risk-weighted assets 13.9 %14.34 %15.06 %15.64 %15.82 %
Tier 1 capital to average assets (leverage ratio) 8.4 %8.65 %9.08 %9.16 %8.82 %
(1) Metric is a spot balance for the last day of each quarter presented.
(2) Customers’ reasons for the use of these non-GAAP measures and a detailed reconciliation between the non-GAAP measures and the comparable GAAP amounts are included at the end of this document.
(3) Regulatory capital ratios are estimated for Q1 2025 and actual for the remaining periods. In accordance with regulatory capital rules, Customers elected to apply the CECL capital transition provisions which delayed the effects of CECL on regulatory capital for two years until January 1, 2022, followed by a three-year transition period. The cumulative CECL capital transition impact as of December 31, 2021 which amounted to $61.6 million was phased in at 25% per year beginning on January 1, 2022 through December 31, 2024. As of March 31, 2025, our regulatory capital ratios reflected the full effect of CECL on regulatory capital.

15

CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS - UNAUDITED
(Dollars in thousands, except per share data)
Q1Q4Q3Q2Q1
20252024202420242024
Interest income:
Loans and leases$231,008 $230,534 $228,659 $224,265 $217,999 
Investment securities34,339 39,638 46,265 47,586 46,802 
Interest earning deposits42,914 48,147 44,372 45,506 52,817 
Loans held for sale4,761 9,447 10,907 13,671 12,048 
Other1,887 2,140 1,910 3,010 2,111 
Total interest income314,909 329,906 332,113 334,038 331,777 
Interest expense:
Deposits131,308 144,974 155,829 148,784 153,725 
FHLB advances11,801 12,595 12,590 13,437 13,485 
Subordinated debt3,212 3,349 3,537 2,734 2,689 
Other borrowings1,142 1,167 1,612 1,430 1,493 
Total interest expense147,463 162,085 173,568 166,385 171,392 
Net interest income167,446 167,821 158,545 167,653 160,385 
Provision for credit losses28,297 21,194 17,066 18,121 17,070 
Net interest income after provision for credit losses139,149 146,627 141,479 149,532 143,315 
Non-interest income:
Commercial lease income10,668 10,604 10,093 10,282 9,683 
Loan fees7,235 8,639 8,011 5,233 5,280 
Bank-owned life insurance 4,660 2,125 2,049 2,007 3,261 
Mortgage finance transactional fees933 1,010 1,087 1,058 946 
Net gain (loss) on sale of loans and leases2 (852)(14,548)(238)10 
Net gain (loss) on sale of investment securities— (26,260)— (719)(30)
Impairment loss on investment securities(51,319)— — — — 
Unrealized gain on equity method investments— 389 — 11,041 — 
Other3,331 3,954 1,865 2,373 2,081 
Total non-interest income (loss)(24,490)(391)8,557 31,037 21,231 
Non-interest expense:
Salaries and employee benefits42,674 47,147 47,717 44,947 36,025 
Technology, communication and bank operations11,312 13,435 13,588 16,227 21,904 
Commercial lease depreciation8,463 8,933 7,811 7,829 7,970 
Professional services11,857 13,473 9,048 6,104 6,353 
Loan servicing4,630 4,584 3,778 3,516 4,031 
Occupancy3,412 3,335 2,987 3,120 2,347 
FDIC assessments, non-income taxes and regulatory fees11,750 10,077 7,902 10,236 13,469 
Advertising and promotion528 1,645 908 1,254 682 
Other8,145 7,746 10,279 10,219 6,388 
Total non-interest expense102,771 110,375 104,018 103,452 99,169 
Income before income tax expense (benefit)11,888 35,861 46,018 77,117 65,377 
Income tax expense (benefit)(1,024)8,946 (725)19,032 15,651 
Net income12,912 26,915 46,743 58,085 49,726 
Preferred stock dividends3,389 3,649 3,806 3,785 3,800 
Net income available to common shareholders$9,523 $23,266 $42,937 $54,300 $45,926 
Basic earnings per common share$0.30 $0.74 $1.36 $1.72 $1.46 
Diluted earnings per common share 0.29 0.71 1.31 1.66 1.40 
16

CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET - UNAUDITED
(Dollars in thousands)
March 31,December 31,September 30,June 30,March 31,
20252024202420242024
ASSETS
Cash and due from banks$62,146 $56,787 $39,429 $45,045 $51,974 
Interest earning deposits3,366,544 3,729,144 3,048,593 3,003,542 3,649,146 
Cash and cash equivalents3,428,690 3,785,931 3,088,022 3,048,587 3,701,120 
Investment securities, at fair value2,057,555 2,019,694 2,412,069 2,511,650 2,604,868 
Investment securities held to maturity938,161 991,937 1,064,437 962,799 1,032,037 
Loans held for sale37,529 204,794 275,420 375,724 357,640 
Loans and leases receivable13,555,820 13,127,634 12,527,283 12,254,204 11,936,621 
Loans receivable, mortgage finance, at fair value1,366,460 1,321,128 1,250,413 1,002,711 962,610 
Loans receivable, installment, at fair value138,159 — — — — 
Allowance for credit losses on loans and leases(141,076)(136,775)(133,158)(132,436)(133,296)
Total loans and leases receivable, net of allowance for credit losses on loans and leases14,919,363 14,311,987 13,644,538 13,124,479 12,765,935 
FHLB, Federal Reserve Bank, and other restricted stock96,758 96,214 95,035 92,276 100,067 
Accrued interest receivable105,800 108,351 115,588 112,788 120,123 
Bank premises and equipment, net6,653 6,668 6,730 7,019 7,253 
Bank-owned life insurance298,551 297,641 295,531 293,108 293,400 
Goodwill and other intangibles3,629 3,629 3,629 3,629 3,629 
Other assets530,355 481,395 455,083 410,916 361,295 
Total assets$22,423,044 $22,308,241 $21,456,082 $20,942,975 $21,347,367 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Demand, non-interest bearing deposits$5,552,605 $5,608,288 $4,670,809 $4,474,862 $4,688,880 
Interest bearing deposits13,380,320 13,238,173 13,398,580 13,203,231 13,272,503 
Total deposits18,932,925 18,846,461 18,069,389 17,678,093 17,961,383 
FHLB advances1,133,456 1,128,352 1,117,229 1,018,349 1,195,088 
Other borrowings99,103 99,068 99,033 123,970 123,905 
Subordinated debt182,579 182,509 182,439 182,370 182,300 
Accrued interest payable and other liabilities210,421 215,168 186,812 193,328 193,074 
Total liabilities20,558,484 20,471,558 19,654,902 19,196,110 19,655,750 
Preferred stock137,794 137,794 137,794 137,794 137,794 
Common stock35,995 35,758 35,734 35,686 35,540 
Additional paid in capital570,172 575,333 571,609 567,345 567,490 
Retained earnings1,335,534 1,326,011 1,302,745 1,259,808 1,205,508 
Accumulated other comprehensive income (loss), net(67,641)(96,560)(106,082)(131,358)(132,305)
Treasury stock, at cost(147,294)(141,653)(140,620)(122,410)(122,410)
Total shareholders’ equity1,864,560 1,836,683 1,801,180 1,746,865 1,691,617 
Total liabilities and shareholders’ equity$22,423,044 $22,308,241 $21,456,082 $20,942,975 $21,347,367 

17

CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
AVERAGE BALANCE SHEET / NET INTEREST MARGIN - UNAUDITED
(Dollars in thousands)
Three Months Ended
March 31, 2025December 31, 2024March 31, 2024
Average BalanceInterest Income or Expense
Average Yield or Cost (%)
Average BalanceInterest Income or ExpenseAverage Yield or Cost (%)Average BalanceInterest Income or ExpenseAverage Yield or Cost (%)
Assets
Interest earning deposits $3,857,617 $42,914 4.51%$3,973,262 $48,147 4.82%$3,865,028 $52,817 5.50%
Investment securities (1)
3,100,429 34,339 4.49%3,392,850 39,638 4.65%3,771,097 46,802 4.99%
Loans and leases:
Commercial & industrial:
Specialized lending loans and leases (2)
6,474,034 120,951 7.58%6,022,062 121,818 8.05%5,268,345 115,590 8.82%
Other commercial & industrial loans (2)
1,542,846 23,933 6.29%1,529,478 25,514 6.64%1,654,665 26,714 6.49%
Mortgage finance loans1,252,602 14,752 4.78%1,316,884 16,704 5.05%1,033,177 12,830 4.99%
Multifamily loans2,273,893 23,664 4.22%2,162,825 22,400 4.12%2,121,650 21,255 4.03%
Non-owner occupied commercial real estate loans1,550,372 21,564 5.64%1,491,170 21,770 5.81%1,348,468 20,179 6.02%
Residential mortgages530,613 6,228 4.76%535,833 6,301 4.68%522,528 5,708 4.39%
Installment loans938,193 24,677 10.67%1,023,569 25,474 9.90%1,179,721 27,771 9.47%
Total loans and leases (3)
14,562,553 235,769 6.57%14,081,821 239,981 6.78%13,128,554 230,047 7.05%
Other interest-earning assets127,793 1,887 5.99%122,784 2,140 6.93%107,525 2,111 7.90%
Total interest-earning assets21,648,392 314,909 5.89%21,570,717 329,906 6.09%20,872,204 331,777 6.39%
Non-interest-earning assets666,571 609,253 463,025 
Total assets $22,314,963 $22,179,970 $21,335,229 
Liabilities
Interest checking accounts$5,358,206 $49,903 3.78%$5,597,302 $57,268 4.07%$5,538,846 $61,531 4.47%
Money market deposit accounts3,882,855 37,767 3.94%3,974,776 42,492 4.25%3,233,103 36,811 4.58%
Other savings accounts1,151,439 10,691 3.77%1,258,018 12,939 4.09%1,753,118 21,399 4.91%
Certificates of deposit2,749,720 32,947 4.86%2,612,246 32,275 4.92%2,750,788 33,984 4.97%
Total interest-bearing deposits (4)
13,142,220 131,308 4.05%13,442,342 144,974 4.29%13,275,855 153,725 4.66%
Borrowings1,346,941 16,155 4.86%1,364,138 17,111 4.99%1,506,707 17,667 4.72%
Total interest-bearing liabilities14,489,161 147,463 4.13%14,806,480 162,085 4.36%14,782,562 171,392 4.66%
Non-interest-bearing deposits (4)
5,710,644 5,346,912 4,620,986 
Total deposits and borrowings20,199,805 2.96%20,153,392 3.20%19,403,548 3.55%
Other non-interest-bearing liabilities246,455 204,947 264,677 
Total liabilities 20,446,260 20,358,339 19,668,225 
Shareholders’ equity1,868,703 1,821,631 1,667,004 
Total liabilities and shareholders’ equity$22,314,963 $22,179,970 $21,335,229 
Net interest income167,446 167,821 160,385 
Tax-equivalent adjustment363 377 394 
Net interest earnings$167,809 $168,198 $160,779 
Interest spread2.93%2.89%2.84%
Net interest margin3.13%3.10%3.09%
Net interest margin tax equivalent (5)
3.13%3.11%3.10%
(1) For presentation in this table, average balances and the corresponding average yields for investment securities are based upon historical cost, adjusted for amortization of premiums and accretion of discounts.
(2) Includes owner occupied commercial real estate loans.
(3) Includes non-accrual loans, the effect of which is to reduce the yield earned on loans and leases, and deferred loan fees.
(4) Total costs of deposits (including interest bearing and non-interest bearing) were 2.82%, 3.07% and 3.45% for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, respectively.
(5) Tax-equivalent basis, using an estimated marginal tax rate of 26% for the three months ended March 31, 2025, December 31, 2024 and March 31, 2024, presented to approximate interest income as a taxable asset.
18

CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
PERIOD END LOAN AND LEASE COMPOSITION - UNAUDITED
(Dollars in thousands)
March 31,December 31,September 30,June 30,March 31,
20252024202420242024
Loans and leases held for investment
Commercial:
Commercial & industrial:
Specialized lending$6,070,093 $5,842,420 $5,468,507 $5,528,745 $5,104,405 
Other commercial & industrial
1,062,933 1,062,631 1,087,222 1,092,146 1,113,517 
Mortgage finance
1,477,896 1,440,847 1,367,617 1,122,812 1,071,146 
Multifamily2,322,123 2,252,246 2,115,978 2,067,332 2,123,675 
Commercial real estate owner occupied1,139,126 1,100,944 981,904 805,779 806,278 
Commercial real estate non-owner occupied1,438,906 1,359,130 1,326,591 1,202,606 1,182,084 
Construction154,647 147,209 174,509 163,409 185,601 
Total commercial loans and leases13,665,724 13,205,427 12,522,328 11,982,829 11,586,706 
Consumer:
Residential496,772 496,559 500,786 481,503 482,537 
Manufactured housing31,775 33,123 34,481 35,901 37,382 
Installment:
Personal493,276 463,854 453,739 474,481 492,892 
Other372,892 249,799 266,362 282,201 299,714 
Total installment loans866,168 713,653 720,101 756,682 792,606 
Total consumer loans1,394,715 1,243,335 1,255,368 1,274,086 1,312,525 
Total loans and leases held for investment$15,060,439 $14,448,762 $13,777,696 $13,256,915 $12,899,231 
Loans held for sale
Residential$1,465 $1,836 $2,523 $2,684 $870 
Installment:
Personal36,000 40,903 55,799 125,598 137,755 
Other64 162,055 217,098 247,442 219,015 
Total installment loans36,064 202,958 272,897 373,040 356,770 
Total loans held for sale$37,529 $204,794 $275,420 $375,724 $357,640 
Total loans and leases portfolio$15,097,968 $14,653,556 $14,053,116 $13,632,639 $13,256,871 

CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
PERIOD END DEPOSIT COMPOSITION - UNAUDITED
(Dollars in thousands)
March 31,December 31,September 30,June 30,March 31,
20252024202420242024
Demand, non-interest bearing$5,552,605 $5,608,288 $4,670,809 $4,474,862 $4,688,880 
Demand, interest bearing5,137,961 5,553,698 5,606,500 5,894,056 5,661,775 
Total demand deposits10,690,566 11,161,986 10,277,309 10,368,918 10,350,655 
Savings1,327,854 1,131,819 1,399,968 1,573,661 2,080,374 
Money market4,057,458 3,844,451 3,961,028 3,539,815 3,347,843 
Time deposits2,857,047 2,708,205 2,431,084 2,195,699 2,182,511 
Total deposits$18,932,925 $18,846,461 $18,069,389 $17,678,093 $17,961,383 

19


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
ASSET QUALITY - UNAUDITED
(Dollars in thousands)
As of March 31, 2025As of December 31, 2024As of March 31, 2024
Loan typeTotal loansAllowance for credit lossesTotal reserves to total loansTotal loansAllowance for credit lossesTotal reserves to total loansTotal loansAllowance for credit lossesTotal reserves to total loans
Commercial:
Commercial & industrial, including specialized lending
$7,244,462 $30,584 0.42 %$7,024,770 $29,379 0.42 %$6,326,458 $23,003 0.36 %
Multifamily2,322,123 18,790 0.81 %2,252,246 18,511 0.82 %2,123,675 18,307 0.86 %
Commercial real estate owner occupied1,139,126 10,780 0.95 %1,100,944 10,755 0.98 %806,278 10,201 1.27 %
Commercial real estate non-owner occupied1,438,906 18,058 1.25 %1,359,130 17,405 1.28 %1,182,084 18,320 1.55 %
Construction154,647 1,264 0.82 %147,209 1,250 0.85 %185,601 1,866 1.01 %
Total commercial loans and leases receivable12,299,264 79,476 0.65 %11,884,299 77,300 0.65 %10,624,096 71,697 0.67 %
Consumer:
Residential496,772 6,163 1.24 %496,559 5,968 1.20 %482,537 6,707 1.39 %
Manufactured housing31,775 3,800 11.96 %33,123 3,829 11.56 %37,382 4,160 11.13 %
Installment728,009 51,637 7.09 %713,653 49,678 6.96 %792,606 50,732 6.40 %
Total consumer loans receivable1,256,556 61,600 4.90 %1,243,335 59,475 4.78 %1,312,525 61,599 4.69 %
Loans and leases receivable held for investment
13,555,820 141,076 1.04 %13,127,634 136,775 1.04 %11,936,621 133,296 1.12 %
Loans receivable, mortgage finance, at fair value1,366,460 — — %1,321,128 — — %962,610 — — %
Loans receivable, installment, at fair value138,159 — — %— — — %— — — %
Loans held for sale37,529 — — %204,794 — — %357,640 — — %
Total loans and leases portfolio$15,097,968 $141,076 0.93 %$14,653,556 $136,775 0.93 %$13,256,871 $133,296 1.01 %
20


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
ASSET QUALITY - UNAUDITED (CONTINUED)
(Dollars in thousands)
As of March 31, 2025As of December 31, 2024As of March 31, 2024
Loan typeNon accrual /NPLsTotal NPLs to total loansTotal reserves to total NPLsNon accrual /NPLsTotal NPLs to total loansTotal reserves to total NPLsNon accrual /NPLsTotal NPLs to total loansTotal reserves to total NPLs
Commercial:
Commercial & industrial, including specialized lending
$18,754 0.26 %163.08 %$4,041 0.06 %727.02 %$3,608 0.06 %637.56 %
Multifamily— — %— %11,834 0.53 %156.42 %5,161 0.24 %354.72 %
Commercial real estate owner occupied7,793 0.68 %138.33 %8,090 0.73 %132.94 %8,920 1.11 %114.36 %
Commercial real estate non-owner occupied62 — %29125.81 %354 0.03 %4916.67 %62 0.01 %29548.39 %
Construction— — %— %— — %— %— — %— %
Total commercial loans and leases receivable26,609 0.22 %298.68 %24,319 0.20 %317.86 %17,751 0.17 %403.90 %
Consumer:
Residential8,151 1.64 %75.61 %8,714 1.75 %68.49 %8,089 1.68 %82.92 %
Manufactured housing1,653 5.20 %229.89 %1,852 5.59 %206.75 %2,268 6.07 %183.42 %
Installment4,659 0.64 %1108.33 %5,613 0.79 %885.05 %6,958 0.88 %729.12 %
Total consumer loans receivable14,463 1.15 %425.91 %16,179 1.30 %367.61 %17,315 1.32 %355.76 %
Loans and leases receivable41,072 0.30 %343.48 %40,498 0.31 %337.73 %35,066 0.29 %380.13 %
Loans receivable, mortgage finance, at fair value— — %— %— — %— %— — %— %
Loans receivable, installment, at fair value2,059 1.49 %— %— — %— %— — %— %
Loans held for sale382 1.02 %— %2,777 1.36 %— %588 0.16 %— %
Total loans and leases portfolio$43,513 0.29 %324.22 %$43,275 0.30 %316.06 %$35,654 0.27 %373.86 %
21


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
NET CHARGE-OFFS/(RECOVERIES) - UNAUDITED
(Dollars in thousands)
Q1Q4Q3Q2Q1
2025
2024
2024
2024
2024
Loan type
Commercial & industrial, including specialized lending$3,231 $3,653 $5,056 $5,665 $3,672 
Multifamily3,834 — 2,167 1,433 473 
Commercial real estate owner occupied16 339 4 — 22 
Commercial real estate non-owner occupied— 145 — — — 
Construction(3)— (3)(7)— 
Residential— (18)(21)(20)18 
Installment10,066 10,493 9,841 11,640 13,783 
Total net charge-offs (recoveries) from loans held for investment$17,144 $14,612 $17,044 $18,711 $17,968 
22


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED
We believe that the non-GAAP measurements disclosed within this document are useful for investors, regulators, management and others to evaluate our core results of operations and financial condition relative to other financial institutions. These non-GAAP financial measures are frequently used by securities analysts, investors, and other interested parties in the evaluation of companies in our industry. These non-GAAP financial measures exclude from corresponding GAAP measures the impact of certain elements that we do not believe are representative of our ongoing financial results, which we believe enhance an overall understanding of our performance and increases comparability of our period to period results. Investors should consider our performance and financial condition as reported under GAAP and all other relevant information when assessing our performance or financial condition. The non-GAAP measures presented are not necessarily comparable to non-GAAP measures that may be presented by other financial institutions. Although non-GAAP financial measures are frequently used in the evaluation of a company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of our results of operations or financial condition as reported under GAAP.
The following tables present reconciliations of GAAP to non-GAAP measures disclosed within this document.

Core Earnings and Adjusted Core Earnings - Customers Bancorp
Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
(Dollars in thousands, except per share data)
USD
Per share
USD
Per share
USD
Per share
USD
Per share
USD
Per share
GAAP net income to common shareholders$9,523 $0.29 $23,266 $0.71 $42,937 $1.31 $54,300 $1.66 $45,926 $1.40 
Reconciling items (after tax):
Severance expense— — 1,198 0.04 540 0.02 1,928 0.06 — — 
Impairment loss on investment securities39,875 1.23 — — — — — — — — 
Legal settlement— — 157 0.00 — — — — — — 
(Gains) losses on investment securities(124)0.00 20,035 0.62 (322)(0.01)561 0.02 57 0.00 
Derivative credit valuation adjustment210 0.01 (306)(0.01)185 0.01 (44)0.00 169 0.01 
FDIC special assessment— — — — — — 138 0.00 380 0.01 
Unrealized (gain) on equity method investments— — (292)(0.01)— — (8,316)(0.25)— — 
Unrealized losses on loans held for sale518 0.02 110 0.00 498 0.02 — — — — 
Core earnings$50,002 $1.54 $44,168 $1.36 $43,838 $1.34 $48,567 $1.49 $46,532 $1.42 
One-time non-interest expense items recorded in 2024 (after-tax):
Deposit servicing fees prior to 2024— — — — — — — — 5,405 0.16 
FDIC premiums prior to 2024— — — — — — — — 3,200 0.10 
Non-income taxes prior to 2024— — — — (2,457)(0.07)— — — — 
Total one-time non-interest expense items— — — — (2,457)(0.07)— — 8,605 0.26 
Adjusted core earnings (adjusted for one-time non-interest expense items)$50,002 $1.54 $44,168 $1.36 $41,381 $1.26 $48,567 $1.49 $55,137 $1.68 


23


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED (CONTINUED)
(Dollars in thousands, except per share data)

Core Return on Average Assets and Adjusted Core Return on Average Assets - Customers Bancorp
(Dollars in thousands, except per share data)Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
GAAP net income$12,912 $26,915 $46,743 $58,085 $49,726 
Reconciling items (after tax):
Severance expense— 1,198 540 1,928 — 
Impairment loss on investment securities39,875 — — — — 
Legal settlement— 157 — — — 
(Gains) losses on investment securities(124)20,035 (322)561 57 
Derivative credit valuation adjustment210 (306)185 (44)169 
FDIC special assessment— — — 138 380 
Unrealized (gain) on equity method investments— (292)— (8,316)— 
Unrealized losses on loans held for sale518 110 498 — — 
Core net income
$53,391 $47,817 $47,644 $52,352 $50,332 
One-time non-interest expense items recorded in 2024 (after-tax):
Deposit servicing fees prior to 2024— — — — 5,405 
FDIC premiums prior to 2024— — — — 3,200 
Non-income taxes prior to 2024— — (2,457)— — 
Total one-time non-interest expense items— — (2,457)— 8,605 
Adjusted core net income (adjusted for one-time non-interest expense items)
$53,391 $47,817 $45,187 $52,352 $58,937 
Average total assets
$22,314,963 $22,179,970 $21,230,404 $20,985,203 $21,335,229 
Core return on average assets0.97 %0.86 %0.89 %1.00 %0.95 %
Adjusted core return on average assets (adjusted for one-time non-interest expense items)
0.97 %0.86 %0.85 %1.00 %1.11 %





24


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED (CONTINUED)
(Dollars in thousands, except per share data)

Core Pre-Tax Pre-Provision Net Income and ROAA and Adjusted Core Pre-Tax Pre-Provision Net Income and ROAA - Customers Bancorp
(Dollars in thousands, except per share data)Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
GAAP net income$12,912 $26,915 $46,743 $58,085 $49,726 
Reconciling items:
Income tax expense (benefit)
(1,024)8,946 (725)19,032 15,651 
Provision (benefit) for credit losses
28,297 21,194 17,066 18,121 17,070 
Provision (benefit) for credit losses on unfunded commitments1,208 (664)642 1,594 430 
Severance expense— 1,595 659 2,560 — 
Impairment loss on investment securities51,319 — — — — 
Legal settlement— 209 — — — 
(Gains) losses on investment securities(160)26,678 (394)744 75 
Derivative credit valuation adjustment270 (407)226 (58)222 
FDIC special assessment— — — 183 500 
Unrealized (gain) on equity method investments— (389)— (11,041)— 
Unrealized losses on loans held for sale667 147 607 — — 
Core pre-tax pre-provision net income
$93,489 $84,224 $64,824 $89,220 $83,674 
One-time non-interest expense items recorded in 2024 (after-tax):
Deposit servicing fees prior to 2024— — — — 7,106 
FDIC premiums prior to 2024— — — — 4,208 
Non-income taxes prior to 2024— — (2,997)— — 
Total one-time non-interest expense items— — (2,997)— 11,314 
Adjusted core pre-tax pre-provision net income (adjusted for one-time non-interest expense items)
$93,489 $84,224 $61,827 $89,220 $94,988 
Average total assets
$22,314,963 $22,179,970 $21,230,404 $20,985,203 $21,335,229 
Core pre-tax pre-provision ROAA
1.70 %1.51 %1.21 %1.71 %1.58 %
Adjusted core pre-tax pre-provision ROAA (adjusted for one-time non-interest expense items)
1.70 %1.51 %1.16 %1.71 %1.79 %
25


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED (CONTINUED)
(Dollars in thousands, except per share data)
Core Return on Average Common Equity and Adjusted Core Return on Average Common Equity - Customers Bancorp
(Dollars in thousands, except per share data)Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
GAAP net income to common shareholders$9,523 $23,266 $42,937 $54,300 $45,926 
Reconciling items (after tax):
Severance expense— 1,198 540 1,928 — 
Impairment loss on investment securities39,875 — — — — 
Legal settlement— 157 — — — 
(Gains) losses on investment securities(124)20,035 (322)561 57 
Derivative credit valuation adjustment210 (306)185 (44)169 
FDIC special assessment— — — 138 380 
Unrealized (gain) on equity method investments— (292)— (8,316)— 
Unrealized losses on loans held for sale518 110 498 — — 
Core earnings$50,002 $44,168 $43,838 $48,567 $46,532 
One-time non-interest expense items recorded in 2024 (after-tax):
Deposit servicing fees prior to 2024— — — — 5,405 
FDIC premiums prior to 2024— — — — 3,200 
Non-income taxes prior to 2024— — (2,457)— — 
Total one-time non-interest expense items— — (2,457)— 8,605 
Adjusted core earnings (adjusted for one-time non-interest expense items)
$50,002 $44,168 $41,381 $48,567 $55,137 
Average total common shareholders’ equity
$1,730,910 $1,683,838 $1,636,242 $1,576,595 $1,529,211 
Core return on average common equity11.72 %10.44 %10.66 %12.39 %12.24 %
Adjusted core return on average common equity (adjusted for one-time non-interest expense items)
11.72 %10.44 %10.06 %12.39 %14.50 %




26


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED (CONTINUED)
(Dollars in thousands, except per share data)

Core Pre-Tax Pre-Provision ROCE and Adjusted Core Pre-Tax Pre-Provision ROCE - Customers Bancorp
(Dollars in thousands, except per share data)Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
GAAP net income to common shareholders$9,523 $23,266 $42,937 $54,300 $45,926 
Reconciling items:
Income tax expense (benefit)
(1,024)8,946 (725)19,032 15,651 
Provision (benefit) for credit losses
28,297 21,194 17,066 18,121 17,070 
Provision (benefit) for credit losses on unfunded commitments1,208 (664)642 1,594 430 
Severance expense— 1,595 659 2,560 — 
Impairment loss on investment securities51,319 — — — — 
Legal settlement— 209 — — — 
(Gains) losses on investment securities(160)26,678 (394)744 75 
Derivative credit valuation adjustment270 (407)226 (58)222 
FDIC special assessment— — — 183 500 
Unrealized (gain) on equity method investments— (389)— (11,041)— 
Unrealized losses on loans held for sale667 147 607 — — 
Core pre-tax pre-provision net income available to common shareholders
$90,100 $80,575 $61,018 $85,435 $79,874 
One-time non-interest expense items recorded in 2024 (after-tax):
Deposit servicing fees prior to 2024— — — — 7,106 
FDIC premiums prior to 2024— — — — 4,208 
Non-income taxes prior to 2024— — (2,997)— — 
Total one-time non-interest expense items— — (2,997)— 11,314 
Adjusted core pre-tax pre-provision net income available to common shareholders
$90,100 $80,575 $58,021 $85,435 $91,188 
Average total common shareholders’ equity
$1,730,910 $1,683,838 $1,636,242 $1,576,595 $1,529,211 
Core pre-tax pre-provision ROCE
21.11 %19.04 %14.84 %21.79 %21.01 %
Adjusted core pre-tax pre-provision ROCE (adjusted for one-time non-interest expense items)
21.11 %19.04 %14.11 %21.79 %23.98 %
27


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED (CONTINUED)
(Dollars in thousands, except per share data)
Core Efficiency Ratio and Adjusted Core Efficiency Ratio - Customers Bancorp
(Dollars in thousands, except per share data)Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
GAAP net interest income$167,446 $167,821 $158,545 $167,653 $160,385 
GAAP non-interest income (loss)
$(24,490)$(391)$8,557 $31,037 $21,231 
(Gains) losses on investment securities(160)26,678 (394)744 75 
Derivative credit valuation adjustment270 (407)226 (58)222 
Unrealized (gain) on equity method investments— (389)— (11,041)— 
Unrealized losses on loans held for sale667 147 607 — — 
Impairment loss on investment securities51,319 — — — — 
Core non-interest income27,606 25,638 8,996 20,682 21,528 
Core revenue$195,052 $193,459 $167,541 $188,335 $181,913 
GAAP non-interest expense$102,771 $110,375 $104,018 $103,452 $99,169 
Severance expense— (1,595)(659)(2,560)— 
FDIC special assessment— — — (183)(500)
Legal settlement— (209)— — — 
Core non-interest expense$102,771 $108,571 $103,359 $100,709 $98,669 
One-time non-interest expense items recorded in 2024:
Deposit servicing fees prior to 2024
— — — — (7,106)
FDIC premiums prior to 2024
— — — — (4,208)
Non-income taxes prior to 2024
— — 2,997 — — 
Total one-time non-interest expense items
— — 2,997 — (11,314)
Adjusted core non-interest expense
$102,771 $108,571 $106,356 $100,709 $87,355 
Core efficiency ratio (1)
52.69 %56.12 %61.69 %53.47 %54.24 %
Adjusted core efficiency ratio (adjusted for one-time non-interest expense items) (2)
52.69 %56.12 %63.48 %53.47 %48.02 %
(1) Core efficiency ratio calculated as core non-interest expense divided by core revenue.
(2) Adjusted core efficiency ratio calculated as adjusted core non-interest expense divided by core revenue.



28


CUSTOMERS BANCORP, INC. AND SUBSIDIARIES
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED (CONTINUED)
(Dollars in thousands, except per share data)
Tangible Common Equity to Tangible Assets - Customers Bancorp
(Dollars in thousands, except per share data)Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
GAAP total shareholders’ equity
$1,864,560 $1,836,683 $1,801,180 $1,746,865 $1,691,617 
Reconciling items:
   Preferred stock(137,794)(137,794)(137,794)(137,794)(137,794)
   Goodwill and other intangibles(3,629)(3,629)(3,629)(3,629)(3,629)
Tangible common equity$1,723,137 $1,695,260 $1,659,757 $1,605,442 $1,550,194 
GAAP total assets$22,423,044 $22,308,241 $21,456,082 $20,942,975 $21,347,367 
Reconciling items:
Goodwill and other intangibles(3,629)(3,629)(3,629)(3,629)(3,629)
Tangible assets$22,419,415 $22,304,612 $21,452,453 $20,939,346 $21,343,738 
Tangible common equity to tangible assets7.7 %7.6 %7.7 %7.7 %7.3 %


Tangible Book Value per Common Share - Customers Bancorp
(Dollars in thousands, except share and per share data)Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
GAAP total shareholders’ equity
$1,864,560 $1,836,683 $1,801,180 $1,746,865 $1,691,617 
Reconciling Items:
   Preferred stock(137,794)(137,794)(137,794)(137,794)(137,794)
   Goodwill and other intangibles(3,629)(3,629)(3,629)(3,629)(3,629)
Tangible common equity$1,723,137 $1,695,260 $1,659,757 $1,605,442 $1,550,194 
Common shares outstanding31,479,132 31,346,507 31,342,107 31,667,655 31,521,931 
Tangible book value per common share$54.74 $54.08 $52.96 $50.70 $49.18 
29