FirstSun Capital Bancorp (FSUN) Financials

FirstSun Capital Bancorp (NASDAQ: FSUN) has delivered steady financial performance over the last four years, as reflected in its quarterly income statements, cash flow statements, and balance sheets.

Key Positive Trends:

• Consistent growth in consolidated net income, reaching $23.6 million in Q1 2025, up from $26.5 million in Q1 2023 (although slightly fluctuating, the recent quarter shows strong profitability).
• Net interest income remains robust, recording $74.5 million in Q1 2025, maintaining a healthy net interest margin despite some fluctuations over the periods analyzed.
• Increasing common equity base, with total common equity rising to approximately $1.07 billion in Q1 2025 from about $964 million in Q1 2024, indicating strengthened capital position.
• Substantial net cash flow from continuing operating activities in Q1 2025 at $26.4 million, reflecting healthy cash generating operations.
• Notable increase in deposits by $202 million in Q1 2025, showing strong customer funding and franchise growth.
• Reduction in provision for loan losses to $3.8 million in Q1 2025 compared to $16.5 million in Q1 2024, suggesting improving credit quality.
• Diluted earnings per share improved to $0.83 in Q1 2025 compared to $0.45 in Q1 2024, highlighting improved earnings per share performance.
• Long-term debt managed effectively with repayments outpacing issuances in recent quarters, supporting financial stability.
• Strong total assets growth to approximately $8.22 billion in Q1 2025 from $7.78 billion in Q1 2024, indicating expansion of the asset base.
• Investment income and other service charges remain solid contributors to non-interest income, totaling $21.7 million in Q1 2025.

Neutral Points:

• Fluctuating other investing activities causing significant swings in net cash from investing activities, such as a -$116 million in Q1 2025 and large negative activities in previous periods, warrant monitoring for impact on liquidity.
• Stable amortization and depreciation expenses continue to represent routine non-cash charges without major volatility.
• Accumulated other comprehensive income shows a negative balance around -$35.9 million in Q1 2025, reflecting unrealized losses on securities or other comprehensive income items.
• Basic and diluted shares outstanding have increased modestly over the years, illustrating some equity dilution or issuance activity.
• Fluctuating restructuring charges and occasional negative service charge income in certain quarters, though not materializing into consistent trend.

Key Negative Trends:

• Substantial net cash used in investing activities, largely due to purchase of investment securities and significant other investing activities, impacting free cash flow negatively.
• Episodes of higher non-interest expenses such as salaries, operating, and occupancy costs, for example $62.7 million in Q1 2025 compared to $61.8 million in Q1 2024, which may pressure margins.
• Interest expense on deposits and other borrowings remains significant, with cash interest paid rising to $33.9 million in Q1 2025, potentially squeezing net interest margins.
• Sensitivity to changes in operating assets and liabilities, sometimes showing negative impacts on cash flows (e.g., -$3.35 million in Q1 2025 and larger swings in prior years).
• Variable income tax expenses with occasional elevated charges, for example $6.1 million in Q1 2025, impacting net income net of taxes.

Overall, FirstSun Capital Bancorp demonstrated consistent profitability and capital growth accompanied by solid deposit growth and improving credit provisions. However, the company’s investing activities and interest expenses have created fluctuations in cash flows and margins, which management will need to carefully manage going forward. Retail investors should consider FSUN’s steady core earnings performance balanced against some short-term volatility in cash flow and expenses.