INDEPENDENT BANK CORP
For the period ended Mar 31, 2025. Filed May 7, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Mar 31, 2025 · Filed May 7, 2025
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Table 1 - Noninterest Expense
Noninterest Expense The following table sets forth information regarding noninterest expense for the periods shown:
Table 14 - Noninterest Expense
| Three Months Ended | ||||
|---|---|---|---|---|
| March 31 · Change | ||||
| 2025 | 2024 | Amount | % | |
| (Dollars in thousands) | ||||
| Salaries and employee benefits | $61,931 | $57,174 | $4,757 | 8.32% |
| Occupancy and equipment expenses | 13,859 | 13,467 | 392 | 2.91% |
| Data processing & facilities management | 2,642 | 2,483 | 159 | 6.40% |
| Software and subscriptions | 5,027 | 4,094 | 933 | 22.79% |
| FDIC assessment | 2,988 | 2,982 | 6 | 0.20% |
| Debit card expense | 1,935 | 2,478 | (543) | (21.91)% |
| Amortization of intangible assets | 1,344 | 1,563 | (219) | (14.01)% |
| Merger and acquisition expenses | 1,155 | — | 1,155 | 100.00% |
| Other noninterest expenses | 14,997 | 15,646 | (649) | (4.15)% |
| Total | $105,878 | $99,887 | $5,991 | 6.00% |
The primary reasons for significant variances in the noninterest expense categories shown in the preceding table are noted below:
Salaries and employee benefits were higher for the first quarter of 2025, attributable to increases in general salaries, equity compensation, commissions, incentive programs, medical plan insurance, and payroll taxes.
Occupancy and equipment were higher for the first quarter of 2025, driven by increases in snow removal and utilities costs, partially offset by a reduction in one-time lease exit costs recognized during the first quarter of 2024.
Software and subscriptions costs increased for the three months ended March 31, 2025 driven by the Company’s cont inued investment in its technology infrastructure.
Debit card expense decreased for the first quarter of 2025, driven primarily by a change in fee structure with a third party provider that became effective in the second half of 2024.
The Company incurred merger and acquisition expenses of $1.2 million in the first quarter of 2025 related to the Company’s pending acquisition of Enterprise. No such costs were recognized during the first quarter of 2024.
Other noninterest expense was lower for the first quarter of 2025, driven by decreases in other debit card losses of $1.1 million, reductions in card issuance costs of $404,000, and decreased consultant fees of $331,000, as well as decreases in various other miscellaneous costs. These decreases were partially offset by increases in advertising costs, contract labor, and recruitment costs.
Income Taxes The tax effect of all income and expense transactions is recognized by the Company in each year’s consolidated statements of income, regardless of the year in which the transactions are reported for income tax purposes. The following table sets forth information regarding the Company’s tax provision and applicable tax rates for the periods indicated:
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