Bank of Hawai‘i Corporation Third Quarter 2025 Financial Results
HONOLULU--( BUSINESS WIRE)--Bank of Hawai‘i Corporation (NYSE: BOH) (the “Company”) today reported diluted earnings per common share of $1.20 for the third quarter of 2025, compared with $1.06 during the linked quarter and $0.93 during the same period last year. Net income for the third quarter of 2025 was $53.3 million, up 12.0% from the linked quarter and up 32.2% from the same period last year. The return on average common equity for the third quarter of 2025 was 13.59% compared with 12.50% during the linked quarter and 11.50% during the same period last year.
“Bank of Hawai‘i delivered another quarter of solid results in the third quarter of 2025,” said Peter Ho, Chairman and CEO. “We achieved our sixth consecutive quarter of net interest income and margin expansion. Average deposit balances increased by 7.1% annualized and end of period total loans and leases increased modestly. Our credit quality remains exceptional, and we remain focused on prudent expense management and long-term value creation for our stakeholders.”
Financial Highlights
Net interest income for the third quarter of 2025 was $136.7 million, an increase of 5.4% from the linked quarter and an increase of 16.2% as compared to the same period last year. The increase from the previous quarter was primarily driven by higher earning assets due to deposit growth and higher earning asset yields, as cash flows from fixed rate assets rolling off at lower interest rates reinvested at higher current rates (fixed asset repricing). The increase from the same period last year was primarily due to lower interest-bearing deposit rates and higher earning assets due to deposit growth.
Net interest margin was 2.46% in the third quarter of 2025, an increase of 7 basis points from the linked quarter and an increase of 28 basis points from the same period last year. As discussed above, the increase from the previous quarter was primarily due to higher earning assets and fixed asset repricing. The increase from the same period last year was primarily due to lower interest-bearing deposit rates.
The average yield on loans and leases was 4.86% in the third quarter of 2025, up 6 basis points from the linked quarter and up 4 basis points from the same period last year. The average yield on total earning assets was 4.08% in the third quarter of 2025, up 7 basis points from the linked quarter and up 2 basis points from the same period last year. The increase in loan yield from the linked quarter is due to new and existing loans earning higher rates than paid off loans. The average rate of interest-bearing deposits was 2.14% in the third quarter of 2025, down 2 basis points from the linked quarter and down 38 basis points from the same period last year. The average quarterly rate of total deposits, including noninterest-bearing deposits, was 1.59%, down 1 basis point from the linked quarter and down 28 basis points from the same period last year. The decrease from the linked quarter was primarily due to a decrease in time deposit rates. The decrease from the same period last year was primarily due to lower benchmark interest rates and overall decreases in rates.
Noninterest income was $46.0 million in the third quarter of 2025, an increase of 2.6% from the linked quarter and an increase of 1.9% from the same period in 2024. Noninterest income in the third quarter included a $0.8 million charge related to a Visa Class B share conversion ratio change, while the linked quarter included a $0.8 million gain related to a BOLI recovery. Adjusted for these items, noninterest income increased by 6.3% from the linked quarter and increased by 3.6% from the same period in 2024. The increases from the linked quarter and same period last year were primarily due to increases in income from trust and asset management, customer derivative program fees, and loan fees, partially offset by lower annuity and insurance income.
Noninterest expense was $112.4 million in the third quarter of 2025, an increase of 1.4% from the linked quarter and an increase of 4.9% from the same period last year. Noninterest expense in the third quarter included a severance-related charge of $2.1 million, while the linked quarter included a severance-related charge of $1.4 million. Adjusted for these items, noninterest expense increased by 0.8% from the linked quarter and increased by 3.0% from the same period in 2024. The increase from the linked quarter was primarily due to higher salaries and benefits, partially offset by other expenses. The increase from the same period last year was primarily due to higher salaries and benefits, partially offset by lower professional fees.
The effective tax rate for the third quarter of 2025 was 21.27% compared with 21.19% during the linked quarter and 23.33% during the same period last year. The lower effective tax rate in the current quarter as compared to the linked quarter was primarily due to an increase in tax-exempt income. Compared to the same period last year, the decrease was primarily due to a decrease in tax expense from discrete items and an increase in tax-exempt income.
Asset Quality
The Company’s overall asset quality remained strong during the third quarter of 2025. Provision for credit losses for the third quarter of 2025 was $2.5 million, down $0.8 million from the linked quarter and down $0.5 million in the same period last year.
Total non-performing assets were $16.9 million at September 30, 2025, down $1.0 million from June 30, 2025 and down $2.9 million from September 30, 2024. Non-performing assets as a percentage of total loans and leases and foreclosed real estate were 0.12% at the end of the quarter, a decrease of 1 basis point from the linked quarter and a decrease of 2 basis points from the same period last year.
Net loan and lease charge-offs during the third quarter of 2025 were $2.6 million or 7 basis points annualized of total average loans and leases outstanding and comprised of gross charge-offs of $4.0 million partially offset by gross recoveries of $1.4 million, consistent with net loan and lease charge-offs from the linked quarter. Compared to the same period last year, net loan and lease charge-offs decreased by $1.3 million or 4 basis points annualized on total average loans and leases outstanding.
The allowance for credit losses on loans and leases was $148.8 million at September 30, 2025, an increase of $0.2 million from June 30, 2025 and an increase of $1.4 million from September 30, 2024. The ratio of the allowance for credit losses to total loans and leases outstanding was 1.06% at the end of the quarter, unchanged from the linked quarter and the same period last year.
Balance Sheet
Total assets were $24.0 billion at September 30, 2025, an increase of 1.3% from June 30, 2025 and an increase of 0.9% from September 30, 2024. The increase from the linked quarter was primarily due to increases in cash and cash equivalents and available-for-sale securities, partially offset by a decrease in held-to-maturity securities. The increase from the same period last year was primarily due to increases in available-for-sale investment securities, partially offset by decreases in held-to-maturity securities and cash and cash equivalents.
The investment securities portfolio was $7.6 billion at September 30, 2025, an increase of 0.9% from June 30, 2025 and an increase of 5.0% from September 30, 2024. The increases from the prior periods were primarily due to the purchases of investment securities, partially offset by the amortization of the portfolio. The investment securities portfolio remains largely comprised of securities issued by U.S. government agencies and U.S. government-sponsored enterprises.
Total loans and leases were $14.0 billion at September 30, 2025, an increase of 0.1% from June 30, 2025 and an increase of 0.7% from September 30, 2024. Total commercial loans were $6.1 billion at September 30, 2025, a decrease of 0.1% from June 30, 2025 and an increase of 2.8% from September 30, 2024. The decrease from the linked quarter was primarily due to loan amortization and paydowns within our commercial and industrial portfolio. The increase from the same period last year was primarily due to healthy loan production within our commercial mortgage portfolio, partially offset by loan amortization and paydowns in our commercial and industrial portfolio. Total consumer loans were $7.9 billion at September 30, 2025, an increase of 0.4% from the linked quarter and a decrease of 0.8% from the same period last year. The increase from the linked quarter was primarily due to increased production in the residential mortgage portfolio, partially offset by amortization and paydowns in the automobile portfolio. The decrease from the same period last year was primarily due to declines in our automobile and home equity portfolios.
Total deposits were $21.1 billion at September 30, 2025, an increase of 1.4% from June 30, 2025 and an increase of 0.5% from September 30, 2024. Noninterest-bearing deposits made up 25.6% of total deposit balances at September 30, 2025, down from 26.1% at June 30, 2025 and down from 25.8% at September 30, 2024. Average total deposits were $21.1 billion for the third quarter of 2025, up 1.8% from the linked quarter and up 2.9% from the same period last year.
Capital and Dividends
The Company’s capital levels remain well above regulatory well-capitalized minimums.
The Tier 1 Capital Ratio was 14.34% at September 30, 2025 compared with 14.17% at June 30, 2025 and 14.05% at September 30, 2024. The increase from the linked quarter was due to retained earnings growth. The increase from the same period last year was primarily due to retained earnings growth, partially offset by an increase in risk-weighted assets. The Tier 1 Leverage Ratio was 8.44% at September 30, 2025, compared with 8.46% at June 30, 2025 and 8.38% at September 30, 2024. The decrease from the linked quarter was due to an increase in average total assets, partially offset by an increase in retained earnings. The increase from the same period last year was due to an increase in retained earnings, partially offset by an increase in average assets.
No shares of common stock were repurchased under the share repurchase program in the third quarter of 2025. Total remaining buyback authority under the share repurchase program was $126.0 million at September 30, 2025.
The Company’s Board of Directors declared a quarterly cash dividend of $0.70 per share on the Company’s outstanding common shares. The dividend will be payable on December 12, 2025 to shareholders of record at the close of business on November 28, 2025.
On October 3, 2025, the Company announced that the Board of Directors declared a quarterly dividend payment of $10.94 per share, equivalent to $0.2735 per depositary share, of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series A, and a quarterly dividend payment of $20.00 per share, equivalent to $0.5000 per depositary share, of Fixed Rate Non-Cumulative Perpetual Preferred Stock, Series B. The depositary shares representing the Series A Preferred Stock and Series B Preferred Stock are traded on the NYSE under the symbol “BOH.PRA” and “BOH.PRB”, respectively. The dividends on the Series A Preferred Stock and Series B Preferred Stock will be payable on November 3, 2025 to shareholders of record of the preferred stock as of the close of business on October 17, 2025.
Conference Call Information
The Company will review its third quarter financial results today at 8:00 a.m. Hawai‘i Time (2:00 p.m. Eastern Time). The live call, including a slide presentation, will be accessible on the investor relations link of Bank of Hawai‘i Corporation's website, www.boh.com. The webcast can be accessed via the link: https://register-conf.media-server.com/register/BI5601a213890442eb9322468299a2c8d5. A replay of the conference call will be available for one year beginning at approximately 11:00 a.m. Hawai‘i Time on Monday, October 27, 2025. The replay will be available on the Company's website, www.boh.com.
Investor Announcements
Investors and others should note that the Company intends to announce financial and other information to the Company’s investors using the Company’s investor relations website at https://ir.boh.com, social media channels, press releases, SEC filings and public conference calls and webcasts, all for purposes of complying with the Company’s disclosure obligations under Regulation FD. Accordingly, investors should monitor these channels, as information is updated, and new information is posted.
Forward-Looking Statements
This news release, and other statements made by the Company in connection with it may contain "forward-looking statements" (as defined in the Private Securities Litigation Reform Act of 1995) that involve risks and uncertainties that could cause results to be materially different from expectations. Forecasts of our financial results and condition, expectations for our operations and business prospects, and our assumptions used in those forecasts and expectations are examples of certain of these forward-looking statements. Do not unduly rely on forward-looking statements. Actual results might differ significantly from our forecasts and expectations because of a variety of factors. More information about these factors is contained in Bank of Hawai‘i Corporation's Annual Report on Form 10-K for the year ended December 31, 2024 and its Form 10-Q for fiscal quarters ended March 31, 2025 and June 30, 2025, which were filed with the U.S. Securities and Exchange Commission. These forward-looking statements are not guarantees of future performance and speak only as of the date made, and, except as required by law, the Company undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events, new information or future circumstances.
Bank of Hawai‘i Corporation is an independent regional financial services company serving businesses, consumers, and governments in Hawai‘i and the West Pacific. The Company's principal subsidiary, Bank of Hawai‘i, was founded in 1897. For more information about Bank of Hawai‘i Corporation, see the Company’s website, www.boh.com. Bank of Hawai‘i Corporation is a trade name of Bank of Hawaii Corporation.
Bank of Hawai‘i Corporation and Subsidiaries
Financial Highlights
Table 1
Three Months Ended
Nine Months Ended
(dollars in thousands, except per share amounts)
September 30, 2025
June 30, 2025
September 30, 2024
September 30, 2025
September 30, 2024
For the Period:
Operating Results
Net Interest Income
$
136,675
$
129,683
$
117,618
$
392,165
$
346,402
Provision for Credit Losses
2,500
3,250
3,000
9,000
7,400
Total Noninterest Income
45,966
44,795
45,110
134,819
129,482
Total Noninterest Expense
112,387
110,783
107,092
333,629
322,177
Pre-Provision Net Revenue
70,254
63,695
55,636
193,355
153,707
Net Income
53,345
47,637
40,358
144,967
110,832
Net Income Available to Common Shareholders
48,076
42,368
36,922
129,159
103,457
Basic Earnings Per Common Share
1.21
1.07
0.94
3.26
2.62
Diluted Earnings Per Common Share
1.20
1.06
0.93
3.24
2.61
Dividends Declared Per Common Share
0.70
0.70
0.70
2.10
2.10
Performance Ratios
Return on Average Assets
0.88
%
0.81
%
0.69
%
0.82
%
0.64
%
Return on Average Shareholders' Equity
12.10
11.21
9.90
11.34
9.92
Return on Average Common Equity
13.59
12.50
11.50
12.65
11.04
Efficiency Ratio 1
61.53
63.49
65.81
63.31
67.70
Net Interest Margin 2
2.46
2.39
2.18
2.39
2.15
Dividend Payout Ratio 3
57.85
65.42
74.47
64.42
80.15
Average Shareholders' Equity to Average Assets
7.29
7.22
6.95
7.20
6.42
Average Balances
Average Loans and Leases
$
13,982,003
$
14,049,025
$
13,809,977
$
14,030,773
$
13,836,760
Average Assets
23,995,037
23,596,955
23,338,529
23,744,661
23,255,372
Average Deposits
21,068,286
20,699,694
20,484,391
20,813,967
20,462,222
Average Shareholders' Equity
1,748,576
1,704,415
1,621,936
1,709,788
1,492,645
Per Share of Common Stock
Book Value
$
36.35
$
35.16
$
33.22
$
36.35
$
33.22
Tangible Book Value
35.56
34.37
32.43
35.56
32.43
Market Value
Closing
65.64
67.53
62.77
65.64
62.77
High
71.90
71.35
70.44
76.00
73.73
Low
60.32
57.45
55.75
57.45
54.50
September 30, 2025
June 30, 2025
December 31, 2024
September 30, 2024
As of Period End:
Balance Sheet Totals
Loans and Leases
$
14,021,579
$
14,002,178
$
14,075,980
$
13,918,583
Total Assets
24,014,609
23,709,752
23,601,114
23,799,174
Total Deposits
21,080,669
20,798,914
20,633,037
20,978,322
Other Debt
558,201
558,226
558,274
558,297
Total Shareholders' Equity
1,791,183
1,743,107
1,667,774
1,665,474
Asset Quality
Non-Performing Assets
$
16,864
$
17,881
$
19,300
$
19,781
Allowance for Credit Losses - Loans and Leases
148,778
148,543
148,528
147,331
Allowance to Loans and Leases Outstanding 4
1.06
%
1.06
%
1.06
%
1.06
%
Capital Ratios 5
Common Equity Tier 1 Capital Ratio
11.98
%
11.81
%
11.59
%
11.66
%
Tier 1 Capital Ratio
14.34
14.17
13.95
14.05
Total Capital Ratio
15.40
15.23
15.00
15.11
Tier 1 Leverage Ratio
8.44
8.46
8.31
8.38
Total Shareholders' Equity to Total Assets
7.46
7.35
7.07
7.00
Tangible Common Equity to Tangible Assets 6
5.90
5.77
5.48
5.42
Tangible Common Equity to Risk-Weighted Assets 6
9.95
9.62
9.08
9.17
Non-Financial Data
Full-Time Equivalent Employees
1,905
1,921
1,865
1,854
Branches
51
51
50
50
ATMs
322
317
317
317
1 Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income).
2 Net interest margin is defined as net interest income, on a taxable-equivalent basis, as a percentage of average earning assets.
3 Dividend payout ratio is defined as dividends declared per common share divided by basic earnings per common share.
4 The numerator comprises the Allowance for Credit Losses - Loans and Leases.
5 Regulatory capital ratios as of September 30, 2025 are preliminary.
6 Tangible common equity to tangible assets and tangible common equity to risk-weighted assets are Non-GAAP financial measures. Tangible common equity is defined by the Company as common shareholders' equity minus goodwill. See Table 2 “Reconciliation of Non-GAAP Financial Measures”.
Bank of Hawai‘i Corporation and Subsidiaries
Reconciliation of Non-GAAP Financial Measures
Table 2
(dollars in thousands)
September 30, 2025
June 30, 2025
December 31, 2024
September 30, 2024
Total Shareholders' Equity
$
1,791,183
$
1,743,107
$
1,667,774
$
1,665,474
Less: Preferred Stock
345,000
345,000
345,000
345,000
Goodwill
31,517
31,517
31,517
31,517
Tangible Common Equity
$
1,414,666
$
1,366,590
$
1,291,257
$
1,288,957
Total Assets
$
24,014,609
$
23,709,752
$
23,601,114
$
23,799,174
Less: Goodwill
31,517
31,517
31,517
31,517
Tangible Assets
$
23,983,092
$
23,678,235
$
23,569,597
$
23,767,657
Risk-Weighted Assets, determined in accordance with prescribed regulatory requirements 1
$
14,215,866
$
14,208,032
$
14,225,908
$
14,054,698
Total Shareholders' Equity to Total Assets
7.46
%
7.35
%
7.07
%
7.00
%
Tangible Common Equity to Tangible Assets (Non-GAAP)
5.90
%
5.77
%
5.48
%
5.42
%
Tier 1 Capital Ratio 1
14.34
%
14.17
%
13.95
%
14.05
%
Tangible Common Equity to Risk-Weighted Assets (Non-GAAP) 1
9.95
%
9.62
%
9.08
%
9.17
%
1 Regulatory capital ratios as of September 30, 2025 are preliminary.
Bank of Hawai‘i Corporation and Subsidiaries
Consolidated Statements of Income
Table 3
Three Months Ended
Nine Months Ended
(dollars in thousands, except per share amounts)
September 30, 2025
June 30, 2025
September 30, 2024
September 30, 2025
September 30, 2024
Interest Income
Interest and Fees on Loans and Leases
$
169,411
$
166,779
$
166,286
$
499,272
$
488,830
Income on Investment Securities
Available-for-Sale
29,702
27,007
23,257
81,077
66,482
Held-to-Maturity
19,332
19,835
21,107
59,458
64,838
Cash and Cash Equivalents
8,195
3,817
8,980
17,472
21,276
Other
1,068
1,097
1,018
3,250
3,108
Total Interest Income
227,708
218,535
220,648
660,529
644,534
Interest Expense
Deposits
84,590
82,476
96,067
248,758
276,665
Securities Sold Under Agreements to Repurchase
496
491
993
1,731
3,616
Other Debt
5,947
5,885
5,970
17,875
17,851
Total Interest Expense
91,033
88,852
103,030
268,364
298,132
Net Interest Income
136,675
129,683
117,618
392,165
346,402
Provision for Credit Losses
2,500
3,250
3,000
9,000
7,400
Net Interest Income After Provision for Credit Losses
134,175
126,433
114,618
383,165
339,002
Noninterest Income
Fees, Exchange, and Other Service Charges
15,219
14,383
14,945
44,039
42,837
Trust and Asset Management
12,598
12,097
11,916
36,436
35,328
Service Charges on Deposit Accounts
8,510
8,119
8,075
24,888
23,752
Bank-Owned Life Insurance
3,681
3,714
3,533
11,006
10,285
Annuity and Insurance
1,095
1,437
1,460
4,087
4,089
Mortgage Banking
906
849
1,188
2,743
3,167
Investment Securities Losses, Net
(1,945
)
(1,126
)
(1,103
)
(4,678
)
(4,201
)
Other
5,902
5,322
5,096
16,298
14,225
Total Noninterest Income
45,966
44,795
45,110
134,819
129,482
Noninterest Expense
Salaries and Benefits
62,905
61,308
58,626
187,097
173,874
Net Occupancy
10,932
10,499
10,806
31,990
31,821
Net Equipment
10,285
9,977
10,120
30,454
30,578
Data Processing
5,603
5,456
4,712
16,326
14,227
Professional Fees
4,022
4,263
4,725
12,549
14,331
FDIC Insurance
3,508
3,640
3,355
8,790
14,139
Other
15,132
15,640
14,748
46,423
43,207
Total Noninterest Expense
112,387
110,783
107,092
333,629
322,177
Income Before Provision for Income Taxes
67,754
60,445
52,636
184,355
146,307
Provision for Income Taxes
14,409
12,808
12,278
39,388
35,475
Net Income
$
53,345
$
47,637
$
40,358
$
144,967
$
110,832
Preferred Stock Dividends
5,269
5,269
3,436
15,808
7,375
Net Income Available to Common Shareholders
$
48,076
$
42,368
$
36,922
$
129,159
$
103,457
Basic Earnings Per Common Share
$
1.21
$
1.07
$
0.94
$
3.26
$
2.62
Diluted Earnings Per Common Share
$
1.20
$
1.06
$
0.93
$
3.24
$
2.61
Dividends Declared Per Common Share
$
0.70
$
0.70
$
0.70
$
2.10
$
2.10
Basic Weighted Average Common Shares
39,655,741
39,622,998
39,488,187
39,611,372
39,429,815
Diluted Weighted Average Common Shares
39,980,931
39,895,093
39,736,492
39,919,998
39,654,705
Bank of Hawai‘i Corporation and Subsidiaries
Consolidated Statements of Comprehensive Income
Table 4
Three Months Ended
Nine Months Ended
(dollars in thousands)
September 30, 2025
June 30, 2025
September 30, 2024
September 30, 2025
September 30, 2024
Net Income
$
53,345
$
47,637
$
40,358
$
144,967
$
110,832
Other Comprehensive Income, Net of Tax:
Net Change in Unrealized Gains on Investment Securities
22,711
18,970
38,833
66,441
60,823
Net Change in Defined Benefit Plans
232
233
168
697
505
Other Comprehensive Income
22,943
19,203
39,001
67,138
61,328
Comprehensive Income
$
76,288
$
66,840
$
79,359
$
212,105
$
172,160
Bank of Hawai‘i Corporation and Subsidiaries
Consolidated Statements of Condition
Table 5
(dollars in thousands, except per share amounts)
September 30, 2025
June 30, 2025
December 31, 2024
September 30, 2024
Assets
Cash and Cash Equivalents
$
985,223
$
768,683
$
763,571
$
1,272,763
Investment Securities
Available-for-Sale
3,280,410
3,111,504
2,689,528
2,550,324
Held-to-Maturity (Fair Value of $3,717,573; 3,754,794; $3,820,882; and $4,072,596)
4,340,032
4,441,353
4,618,543
4,710,245
Loans Held for Sale
1,236
1,867
2,150
5,048
Loans and Leases
14,021,579
14,002,178
14,075,980
13,918,583
Allowance for Credit Losses
(148,778
)
(148,543
)
(148,528
)
(147,331
)
Net Loans and Leases
13,872,801
13,853,635
13,927,452
13,771,252
Premises and Equipment, Net
196,093
192,221
184,480
191,899
Operating Lease Right-of-Use Assets
82,804
83,594
80,165
81,736
Accrued Interest Receivable
69,224
67,204
66,367
66,534
Mortgage Servicing Rights
17,927
18,362
19,199
19,571
Goodwill
31,517
31,517
31,517
31,517
Bank-Owned Life Insurance
494,041
488,028
481,184
475,263
Other Assets
643,301
651,784
736,958
623,022
Total Assets
$
24,014,609
$
23,709,752
$
23,601,114
$
23,799,174
Liabilities
Deposits
Noninterest-Bearing Demand
$
5,400,943
$
5,424,471
$
5,423,562
$
5,412,048
Interest-Bearing Demand
3,813,921
3,855,120
3,784,984
3,734,601
Savings
8,814,451
8,481,328
8,364,916
8,663,147
Time
3,051,354
3,037,995
3,059,575
3,168,526
Total Deposits
21,080,669
20,798,914
20,633,037
20,978,322
Securities Sold Under Agreements to Repurchase
50,000
50,000
100,000
100,490
Other Debt
558,201
558,226
558,274
558,297
Operating Lease Liabilities
91,690
92,381
88,794
90,356
Retirement Benefits Payable
23,352
23,528
23,760
22,870
Accrued Interest Payable
27,580
26,732
34,799
40,434
Other Liabilities
391,934
416,864
494,676
342,931
Total Liabilities
22,223,426
21,966,645
21,933,340
22,133,700
Shareholders’ Equity
Preferred Stock (Series A, $.01 par value; authorized 180,000 shares issued and outstanding)
180,000
180,000
180,000
180,000
Preferred Stock (Series B, $.01 par value; authorized 165,000 shares issued and outstanding)
165,000
165,000
165,000
165,000
Common Stock ($.01 par value; authorized 500,000,000 shares; issued / outstanding: September 30, 2025 - 58,779,666 / 39,785,201); June 30, 2025 - 58,775,870 / 39,765,375; December 31, 2024 - 58,765,907 / 39,762,255; and September 30, 2024 - 58,765,907 / 39,748,304)
587
587
585
585
Capital Surplus
659,922
655,479
647,403
643,620
Accumulated Other Comprehensive Loss
(276,251
)
(299,194
)
(343,389
)
(335,360
)
Retained Earnings
2,178,263
2,158,450
2,133,838
2,127,585
Treasury Stock, at Cost (Shares: September 30, 2025 - 18,994,465; June 30, 2025 - 19,010,495; December 31, 2024 - 19,003,609; and September 30, 2024 - 19,017,603)
(1,116,338
)
(1,117,215
)
(1,115,663
)
(1,115,956
)
Total Shareholders’ Equity
1,791,183
1,743,107
1,667,774
1,665,474
Total Liabilities and Shareholders’ Equity
$
24,014,609
$
23,709,752
$
23,601,114
$
23,799,174
Bank of Hawai‘i Corporation and Subsidiaries
Consolidated Statements of Shareholders' Equity
Table 6
(dollars in thousands, except per share amounts)
Preferred Shares Series A Outstanding
Preferred Series A Stock
Preferred Shares Series B Outstanding
Preferred Series B Stock
Common Shares Outstanding
Common Stock
Capital Surplus
Accum. Other Comprehensive Income (Loss)
Retained Earnings
Treasury Stock
Total
Balance as of December 31, 2024
180,000
$
180,000
165,000
$
165,000
39,762,255
$
585
$
647,403
$
(343,389
)
$
2,133,838
$
(1,115,663
)
$
1,667,774
Net Income
–
–
–
–
–
–
–
–
144,967
–
144,967
Other Comprehensive Income
–
–
–
–
–
–
–
67,138
–
–
67,138
Share-Based Compensation
–
–
–
–
–
–
11,680
–
–
–
11,680
Common Stock Issued under Purchase and Equity Compensation Plans
–
–
–
–
78,817
2
839
–
–
3,060
3,901
Common Stock Repurchased
–
–
–
–
(55,871
)
–
–
–
–
(3,735
)
(3,735
)
Cash Dividends Declared Common Stock ($2.10 per share)
–
–
–
–
–
–
–
–
(84,735
)
–
(84,735
)
Cash Dividends Declared Preferred Stock
–
–
–
–
–
–
–
–
(15,807
)
–
(15,807
)
Balance as of September 30, 2025
180,000
$
180,000
165,000
$
165,000
39,785,201
$
587
$
659,922
$
(276,251
)
$
2,178,263
$
(1,116,338
)
$
1,791,183
Balance as of December 31, 2023
180,000
$
180,000
–
$
–
39,753,138
$
583
$
636,422
$
(396,688
)
$
2,107,569
$
(1,113,644
)
$
1,414,242
Net Income
–
–
–
–
–
–
–
–
110,832
–
110,832
Other Comprehensive Income
–
–
–
–
–
–
–
61,328
–
–
61,328
Share-Based Compensation
–
–
–
–
–
–
11,051
–
–
–
11,051
Preferred Stock Issued, Net
–
–
165,000
165,000
–
–
(4,386
)
–
–
–
160,614
Common Stock Issued under Purchase and Equity Compensation Plans
–
–
–
–
78,753
2
533
–
768
2,829
4,132
Common Stock Repurchased
–
–
–
–
(83,587
)
–
–
–
–
(5,141
)
(5,141
)
Cash Dividends Declared Common Stock ($2.10 per share)
–
–
–
–
–
–
–
–
(84,209
)
–
(84,209
)
Cash Dividends Declared Preferred Stock
–
–
–
–
–
–
–
–
(7,375
)
–
(7,375
)
Balance as of September 30, 2024
180,000
$
180,000
165,000
$
165,000
39,748,304
$
585
$
643,620
$
(335,360
)
$
2,127,585
$
(1,115,956
)
$
1,665,474
Bank of Hawai‘i Corporation and Subsidiaries
Average Balances and Interest Rates - Taxable-Equivalent Basis 1
Table 7a
Three Months Ended September 30, 2025
Three Months Ended June 30, 2025
Three Months Ended September 30, 2024
(dollars in millions)
Average Balance
Income/Expense 2
Yield/Rate
Average Balance
Income/Expense 2
Yield/Rate
Average Balance
Income/Expense 2
Yield/Rate
Earning Assets
Cash and Cash Equivalents
$
744.3
$
8.2
4.31
%
$
353.7
$
3.8
4.27
%
$
667.8
$
9.0
5.27
%
Investment Securities
Available-for-Sale
Taxable
3,157.8
29.3
3.70
2,987.2
26.7
3.58
2,430.0
23.0
3.80
Non-Taxable
32.4
0.5
5.98
27.4
0.4
5.85
11.8
0.2
6.63
Held-to-Maturity
Taxable
4,363.9
19.2
1.76
4,462.1
19.7
1.77
4,735.5
21.0
1.77
Non-Taxable
33.8
0.2
2.10
34.0
0.2
2.10
34.4
0.2
2.10
Total Investment Securities
7,587.9
49.2
2.59
7,510.7
47.0
2.50
7,211.7
44.4
2.46
Loans Held for Sale
1.6
0.0
5.92
2.2
0.0
5.66
3.8
0.1
6.13
Loans and Leases 3
Commercial Mortgage
4,016.3
54.3
5.36
4,025.2
53.7
5.35
3,744.6
52.0
5.51
Commercial and Industrial
1,600.7
20.5
5.09
1,668.1
21.1
5.07
1,665.3
22.6
5.42
Construction
394.4
7.3
7.32
366.2
6.7
7.30
357.3
7.1
7.95
Commercial Lease Financing
93.0
1.0
4.11
93.4
1.0
4.07
59.6
0.4
2.58
Residential Mortgage
4,638.1
46.7
4.02
4,626.5
45.6
3.95
4,593.7
46.4
4.03
Home Equity
2,129.6
23.9
4.46
2,141.5
23.3
4.37
2,206.9
22.4
4.04
Automobile
706.9
9.5
5.35
730.1
9.4
5.19
795.7
9.4
4.72
Other
403.0
7.7
7.63
398.0
7.5
7.53
386.9
6.9
7.13
Total Loans and Leases
13,982.0
170.9
4.86
14,049.0
168.3
4.80
13,810.0
167.2
4.82
Other
65.3
1.1
6.54
65.2
1.1
6.72
63.2
0.9
6.43
Total Earning Assets
22,381.1
229.4
4.08
21,980.8
220.2
4.01
21,756.5
221.7
4.06
Non-Earning Assets
1,613.9
1,616.2
1,582.0
Total Assets
$
23,995.0
$
23,597.0
$
23,338.5
Interest-Bearing Liabilities
Interest-Bearing Deposits
Demand
$
3,781.0
$
7.8
0.81
%
$
3,705.5
$
7.6
0.82
%
$
3,775.6
$
8.9
0.94
%
Savings
8,831.0
50.6
2.28
8,578.6
48.1
2.25
8,402.9
55.7
2.63
Time
3,057.6
26.2
3.40
3,050.0
26.8
3.52
3,008.7
31.5
4.17
Total Interest-Bearing Deposits
15,669.6
84.6
2.14
15,334.1
82.5
2.16
15,187.2
96.1
2.52
Securities Sold Under Agreements to Repurchase
50.0
0.5
3.89
50.0
0.5
3.88
100.5
1.0
3.87
Other Debt
558.3
6.0
4.23
558.3
5.9
4.23
560.1
5.9
4.24
Total Interest-Bearing Liabilities
16,277.9
91.1
2.22
15,942.4
88.9
2.24
15,847.8
103.0
2.59
Net Interest Income
$
138.3
$
131.3
$
118.7
Interest Rate Spread
1.86
%
1.77
%
1.47
%
Net Interest Margin
2.46
%
2.39
%
2.18
%
Noninterest-Bearing Demand Deposits
5,398.7
5,365.6
5,297.2
Other Liabilities
569.8
584.6
571.6
Shareholders' Equity
1,748.6
1,704.4
1,621.9
Total Liabilities and Shareholders' Equity
$
23,995.0
$
23,597.0
$
23,338.5
1 Due to rounding, the amounts presented in this table may not tie to other amounts presented elsewhere in this report.
2 Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 21%, of $1.7 million, $1.6 million, and $1.0 million for the three months ended September 30, 2025, June 30, 2025, and September 30, 2024, respectively.
3 Non-performing loans and leases are included in the respective average loan and lease balances.
Bank of Hawai‘i Corporation and Subsidiaries
Average Balances and Interest Rates - Taxable-Equivalent Basis 1
Table 7b
Nine Months Ended September 30, 2025
Nine Months Ended September 30, 2024
(dollars in millions)
Average Balance
Income/Expense 2
Yield/Rate
Average Balance
Income/Expense 2
Yield/Rate
Earning Assets
Cash and Cash Equivalents
$
533.5
$
17.5
4.32
%
$
530.0
$
21.3
5.28
%
Investment Securities
Available-for-Sale
Taxable
2,979.8
80.2
3.59
2,373.1
66.4
3.73
Non-Taxable
27.0
1.2
5.85
5.0
0.2
5.59
Held-to-Maturity
Taxable
4,457.6
59.0
1.77
4,832.9
64.4
1.78
Non-Taxable
34.0
0.5
2.10
34.6
0.5
2.10
Total Investment Securities
7,498.4
140.9
2.51
7,245.6
131.5
2.42
Loans Held for Sale
2.0
0.1
5.89
2.5
0.1
6.16
Loans and Leases 3
Commercial Mortgage
4,018.9
160.5
5.34
3,728.3
153.9
5.52
Commercial and Industrial
1,657.1
62.9
5.07
1,673.6
67.1
5.36
Construction
366.6
20.0
7.28
329.0
19.0
7.71
Commercial Lease Financing
92.5
2.8
4.00
59.1
1.0
2.25
Residential Mortgage
4,627.2
137.1
3.95
4,613.0
137.0
3.96
Home Equity
2,141.8
69.7
4.35
2,229.5
65.3
3.91
Automobile
729.7
28.3
5.18
813.3
27.5
4.51
Other
397.0
22.3
7.52
391.0
20.2
6.91
Total Loans and Leases
14,030.8
503.6
4.80
13,836.8
491.0
4.74
Other
65.2
3.2
6.64
62.6
3.1
6.61
Total Earning Assets
22,129.9
665.3
4.01
21,677.5
647.0
3.98
Non-Earning Assets
1,614.8
1,577.9
Total Assets
$
23,744.7
$
23,255.4
Interest-Bearing Liabilities
Interest-Bearing Deposits
Demand
$
3,753.3
$
22.4
0.80
%
$
3,776.1
$
25.4
0.90
%
Savings
8,652.4
146.0
2.25
8,264.9
157.1
2.54
Time
3,048.4
80.4
3.53
3,008.6
94.2
4.18
Total Interest-Bearing Deposits
15,454.1
248.8
2.15
15,049.6
276.7
2.46
Securities Sold Under Agreements to Repurchase
58.8
1.7
3.88
124.2
3.6
3.82
Other Debt
564.9
17.8
4.23
561.3
17.8
4.25
Total Interest-Bearing Liabilities
16,077.8
268.3
2.23
15,735.1
298.1
2.53
Net Interest Income
$
397.0
$
348.8
Interest Rate Spread
1.78
%
1.45
%
Net Interest Margin
2.39
%
2.15
%
Noninterest-Bearing Demand Deposits
5,359.9
5,412.6
Other Liabilities
597.2
615.1
Shareholders' Equity
1,709.8
1,492.6
Total Liabilities and Shareholders' Equity
$
23,744.7
$
23,255.4
1 Due to rounding, the amounts presented in this table may not tie to other amounts presented elsewhere in this report.
2 Interest income includes taxable-equivalent basis adjustments, based upon a federal statutory tax rate of 21%, of $4.8 million and $2.5 million for the nine months ended September 30, 2025 and September 30, 2024, respectively.
3 Non-performing loans and leases are included in the respective average loan and lease balances.
Bank of Hawai‘i Corporation and Subsidiaries
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis
Table 8a
Three Months Ended September 30, 2025
Compared to June 30, 2025
(dollars in millions)
Volume 1
Rate 1
Total
Change in Interest Income:
Cash and Cash Equivalents
$
4.4
$
0.0
$
4.4
Investment Securities
Available-for-Sale
Taxable
1.6
1.0
2.6
Non-Taxable
0.1
0.0
0.1
Held-to-Maturity
Taxable
(0.4
)
(0.1
)
(0.5
)
Non-Taxable
0.0
0.0
0.0
Total Investment Securities
1.3
0.9
2.2
Loans Held for Sale
0.0
0.0
0.0
Loans and Leases
Commercial Mortgage
0.2
0.4
0.6
Commercial and Industrial
(0.7
)
0.1
(0.6
)
Construction
0.6
0.0
0.6
Commercial Lease Financing
0.0
0.0
0.0
Residential Mortgage
0.1
1.0
1.1
Home Equity
(0.1
)
0.7
0.6
Automobile
(0.2
)
0.3
0.1
Other
0.1
0.1
0.2
Total Loans and Leases
0.0
2.6
2.6
Other
0.0
0.0
0.0
Total Change in Interest Income
5.7
3.5
9.2
Change in Interest Expense:
Interest-Bearing Deposits
Demand
0.2
0.0
0.2
Savings
1.8
0.7
2.5
Time
0.1
(0.7
)
(0.6
)
Total Interest-Bearing Deposits
2.1
0.0
2.1
Securities Sold Under Agreements to Repurchase
—
0.0
0.0
Other Debt
0.1
0.0
0.1
Total Change in Interest Expense
2.2
0.0
2.2
Change in Net Interest Income
$
3.5
$
3.5
$
7.0
1 The change in interest income and expense due to both volume and rate has been allocated between the factors in proportion to the relationship of the absolute dollar amounts of the change in each.
Bank of Hawai‘i Corporation and Subsidiaries
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis
Table 8b
Three Months Ended September 30, 2025
Compared to September 30, 2024
(dollars in millions)
Volume 1
Rate 1
Total
Change in Interest Income:
Cash and Cash Equivalents
$
1.0
$
(1.8
)
$
(0.8
)
Investment Securities
Available-for-Sale
Taxable
6.8
(0.5
)
6.3
Non-Taxable
0.3
0.0
0.3
Held-to-Maturity
Taxable
(1.6
)
(0.2
)
(1.8
)
Non-Taxable
0.0
—
0.0
Total Investment Securities
5.5
(0.7
)
4.8
Loans Held for Sale
(0.1
)
0.0
(0.1
)
Loans and Leases
Commercial Mortgage
3.7
(1.4
)
2.3
Commercial and Industrial
(0.8
)
(1.3
)
(2.1
)
Construction
0.8
(0.6
)
0.2
Commercial Lease Financing
0.5
0.1
0.6
Residential Mortgage
0.4
(0.1
)
0.3
Home Equity
(0.8
)
2.3
1.5
Automobile
(1.1
)
1.2
0.1
Other
0.3
0.5
0.8
Total Loans and Leases
3.0
0.7
3.7
Other
0.1
0.1
0.2
Total Change in Interest Income
9.5
(1.7
)
7.8
Change in Interest Expense:
Interest-Bearing Deposits
Demand
0.0
(1.1
)
(1.1
)
Savings
2.7
(7.8
)
(5.1
)
Time
0.6
(5.9
)
(5.3
)
Total Interest-Bearing Deposits
3.3
(14.8
)
(11.5
)
Securities Sold Under Agreements to Repurchase
(0.5
)
0.0
(0.5
)
Other Debt
0.0
0.1
0.1
Total Change in Interest Expense
2.8
(14.7
)
(11.9
)
Change in Net Interest Income
$
6.7
$
13.0
$
19.7
1 The change in interest income and expense due to both volume and rate has been allocated between the factors in proportion to the relationship of the absolute dollar amounts of the change in each.
Bank of Hawai‘i Corporation and Subsidiaries
Analysis of Change in Net Interest Income - Taxable-Equivalent Basis
Table 8c
Nine Months Ended September 30, 2025
Compared to September 30, 2024
(dollars in millions)
Volume 1
Rate 1
Total
Change in Interest Income:
Cash and Cash Equivalents
$
0.1
$
(3.9
)
$
(3.8
)
Investment Securities
Available-for-Sale
Taxable
16.3
(2.5
)
13.8
Non-Taxable
1.0
0.0
1.0
Held-to-Maturity
Taxable
(5.0
)
(0.4
)
(5.4
)
Non-Taxable
0.0
0.0
0.0
Total Investment Securities
12.3
(2.9
)
9.4
Loans Held for Sale
0.0
0.0
0.0
Loans and Leases
Commercial Mortgage
11.7
(5.1
)
6.6
Commercial and Industrial
(0.6
)
(3.6
)
(4.2
)
Construction
2.1
(1.1
)
1.0
Commercial Lease Financing
1.4
0.4
1.8
Residential Mortgage
0.4
(0.3
)
0.1
Home Equity
(2.7
)
7.1
4.4
Automobile
(3.0
)
3.8
0.8
Other
0.3
1.8
2.1
Total Loans and Leases
9.6
3.0
12.6
Other
0.1
0.0
0.1
Total Change in Interest Income
22.1
(3.8
)
18.3
Change in Interest Expense:
Interest-Bearing Deposits
Demand
(0.2
)
(2.8
)
(3.0
)
Savings
7.1
(18.2
)
(11.1
)
Time
1.2
(15.0
)
(13.8
)
Total Interest-Bearing Deposits
8.1
(36.0
)
(27.9
)
Securities Sold Under Agreements to Repurchase
(2.0
)
0.1
(1.9
)
Other Debt
0.1
(0.1
)
0.0
Total Change in Interest Expense
6.2
(36.0
)
(29.8
)
Change in Net Interest Income
$
15.9
$
32.2
$
48.1
1 The change in interest income and expense due to both volume and rate has been allocated between the factors in proportion to the relationship of the absolute dollar amounts of the change in each.
Bank of Hawai‘i Corporation and Subsidiaries
Salaries and Benefits
Table 9
Three Months Ended
Nine Months Ended
(dollars in thousands)
September 30, 2025
June 30, 2025
September 30, 2024
September 30, 2025
September 30, 2024
Salaries
$
40,428
$
39,644
$
38,993
$
118,314
$
115,686
Incentive Compensation
4,280
5,067
5,086
14,920
11,285
Share-Based Compensation
3,979
3,668
3,364
11,148
10,459
Medical, Dental, and Life Insurance
3,908
3,610
3,512
12,055
9,935
Retirement and Other Benefits
3,895
3,894
3,692
12,850
11,952
Payroll Taxes
2,998
2,998
2,839
10,762
10,639
Separation Expense
2,091
1,374
161
3,546
1,428
Commission Expense
1,326
1,053
979
3,502
2,490
Total Salaries and Benefits
$
62,905
$
61,308
$
58,626
$
187,097
$
173,874
Bank of Hawai‘i Corporation and Subsidiaries
Loan and Lease Portfolio Balances
Table 10
(dollars in thousands)
September 30,
2025
June 30,
2025
March 31,
2025
December 31,
2024
September 30,
2024
Commercial
Commercial Mortgage
$
4,040,711
$
4,038,956
$
4,038,287
$
4,020,622
$
3,868,566
Commercial and Industrial
1,581,232
1,597,560
1,703,290
1,705,133
1,681,693
Construction
380,944
374,768
363,716
308,898
319,150
Lease Financing
92,213
92,842
92,456
90,756
60,665
Total Commercial
6,095,100
6,104,126
6,197,749
6,125,409
5,930,074
Consumer
Residential Mortgage
4,685,214
4,637,014
4,630,876
4,628,283
4,622,677
Home Equity
2,129,599
2,139,025
2,144,955
2,165,514
2,195,844
Automobile
699,244
715,688
740,390
764,146
786,910
Other
412,422
406,325
401,353
392,628
383,078
Total Consumer
7,926,479
7,898,052
7,917,574
7,950,571
7,988,509
Total Loans and Leases
$
14,021,579
$
14,002,178
$
14,115,323
$
14,075,980
$
13,918,583
Deposits
(dollars in thousands)
September 30,
2025
June 30,
2025
March 31,
2025
December 31,
2024
September 30,
2024
Consumer
$
10,393,932
$
10,429,271
$
10,522,627
$
10,397,777
$
10,340,466
Commercial
8,348,396
8,243,898
8,411,838
8,299,590
8,356,239
Public and Other
2,338,341
2,125,745
2,073,752
1,935,670
2,281,617
Total Deposits
$
21,080,669
$
20,798,914
$
21,008,217
$
20,633,037
$
20,978,322
Average Deposits
Three Months Ended
(dollars in thousands)
September 30,
2025
June 30,
2025
March 31,
2025
December 31,
2024
September 30,
2024
Consumer
$
10,387,715
$
10,435,867
$
10,408,747
$
10,327,928
$
10,345,772
Commercial
8,504,078
8,316,893
8,318,182
8,564,213
8,207,310
Public and Other
2,176,493
1,946,933
1,942,610
1,864,541
1,931,309
Total Deposits
$
21,068,286
$
20,699,693
$
20,669,539
$
20,756,682
$
20,484,391
Bank of Hawai‘i Corporation and Subsidiaries
Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More
Table 11
(dollars in thousands)
September 30,
2025
June 30,
2025
March 31,
2025
December 31,
2024
September 30,
2024
Non-Performing Assets
Non-Accrual Loans and Leases
Commercial
Commercial Mortgage
$
2,498
$
2,566
$
2,195
$
2,450
$
2,680
Commercial and Industrial
3,506
3,744
3,451
4,627
6,218
Total Commercial
6,004
6,310
5,646
7,077
8,898
Consumer
Residential Mortgage
5,628
5,842
4,686
5,052
4,269
Home Equity
5,107
5,387
5,759
4,514
3,947
Total Consumer
10,735
11,229
10,445
9,566
8,216
Total Non-Accrual Loans and Leases
16,739
17,539
16,091
16,643
17,114
Foreclosed Real Estate
125
342
1,360
2,657
2,667
Total Non-Performing Assets
$
16,864
$
17,881
$
17,451
$
19,300
$
19,781
Accruing Loans and Leases Past Due 90 Days or More
Consumer
Residential Mortgage
$
7,456
$
9,070
$
3,895
$
3,984
$
4,421
Home Equity
2,765
1,867
2,228
2,845
1,980
Automobile
525
680
486
776
580
Other
578
630
943
677
554
Total Consumer
11,324
12,247
7,552
8,282
7,535
Total Accruing Loans and Leases Past Due 90 Days or More
$
11,324
$
12,247
$
7,552
$
8,282
$
7,535
Total Loans and Leases
$
14,021,579
$
14,002,178
$
14,115,323
$
14,075,980
$
13,918,583
Ratio of Non-Accrual Loans and Leases to Total Loans and Leases
0.12
%
0.13
%
0.11
%
0.12
%
0.12
%
Ratio of Non-Performing Assets to Total Loans and Leases and Foreclosed Real Estate
0.12
%
0.13
%
0.12
%
0.14
%
0.14
%
Ratio of Non-Performing Assets to Total Assets
0.07
%
0.08
%
0.07
%
0.08
%
0.08
%
Ratio of Commercial Non-Performing Assets to Total Commercial Loans and Leases and Commercial Foreclosed Real Estate
0.10
%
0.10
%
0.09
%
0.12
%
0.15
%
Ratio of Consumer Non-Performing Assets to Total Consumer Loans and Leases and Consumer Foreclosed Real Estate
0.14
%
0.15
%
0.15
%
0.15
%
0.14
%
Ratio of Non-Performing Assets and Accruing Loans and Leases Past Due 90 Days or More to Total Loans and Leases and Foreclosed Real Estate
0.20
%
0.22
%
0.18
%
0.20
%
0.20
%
Quarter to Quarter Changes in Non-Performing Assets Balance at Beginning of Quarter
$
17,881
$
17,451
$
19,300
$
19,781
$
15,179
Additions 1
959
3,522
2,209
2,198
5,557
Reductions
Payments
(804
)
(1,424
)
(1,212
)
(708
)
(734
)
Return to Accrual Status
(321
)
(574
)
(244
)
(476
)
(81
)
Sales of Foreclosed Real Estate
(216
)
(1,040
)
(1,492
)
-
-
Charge-offs / Write-downs 1
(635
)
(54
)
(1,110
)
(1,495
)
(140
)
Total Reductions
(1,976
)
(3,092
)
(4,058
)
(2,679
)
(955
)
Balance at End of Quarter
$
16,864
$
17,881
$
17,451
$
19,300
$
19,781
1 Excludes loans that are fully charged-off and placed on non-accrual status during the same period.
Bank of Hawai‘i Corporation and Subsidiaries
Reserve for Credit Losses
Table 12
Three Months Ended
Nine Months Ended
(dollars in thousands)
September 30, 2025
June 30, 2025
September 30, 2024
September 30, 2025
September 30, 2024
Balance at Beginning of Period
$
150,128
$
149,496
$
151,155
$
150,649
$
152,429
Loans and Leases Charged-Off
Commercial
Commercial and Industrial
(171
)
(206
)
(1,021
)
(1,776
)
(2,256
)
Consumer
Residential Mortgage
—
—
—
—
(48
)
Home Equity
(28
)
(155
)
(125
)
(258
)
(362
)
Automobile
(1,368
)
(1,253
)
(1,651
)
(4,372
)
(3,794
)
Other
(2,392
)
(2,397
)
(2,539
)
(7,273
)
(7,461
)
Total Loans and Leases Charged-Off
(3,959
)
(4,011
)
(5,336
)
(13,679
)
(13,921
)
Recoveries on Loans and Leases Previously Charged-Off
Commercial
Commercial and Industrial
98
78
66
253
445
Consumer
Residential Mortgage
58
11
48
80
153
Home Equity
177
180
318
485
615
Automobile
559
557
552
1,749
1,559
Other
490
567
522
1,514
1,645
Total Recoveries on Loans and Leases Previously Charged-Off
1,382
1,393
1,506
4,081
4,417
Net Charged-Off - Loans and Leases
(2,577
)
(2,618
)
(3,830
)
(9,598
)
(9,504
)
Provision for Credit Losses:
Loans and Leases
2,812
3,454
3,684
9,848
10,432
Unfunded Commitments
(312
)
(204
)
(684
)
(848
)
(3,032
)
Total Provision for Credit Losses
2,500
3,250
3,000
9,000
7,400
Balance at End of Period
$
150,051
$
150,128
$
150,325
$
150,051
$
150,325
Components
Allowance for Credit Losses - Loans and Leases
$
148,778
$
148,543
$
147,331
$
148,778
$
147,331
Reserve for Unfunded Commitments
1,273
1,585
2,994
1,273
2,994
Total Reserve for Credit Losses
$
150,051
$
150,128
$
150,325
$
150,051
$
150,325
Average Loans and Leases Outstanding
$
13,982,003
$
14,049,025
$
13,809,977
$
14,030,773
$
13,836,760
Ratio of Net Loans and Leases Charged-Off to Average Loans and Leases Outstanding (annualized)
0.07
%
0.07
%
0.11
%
0.09
%
0.09
%
Ratio of Allowance for Credit Losses to Loans and Leases Outstanding 1
1.06
%
1.06
%
1.06
%
1.06
%
1.06
%
1 The numerator comprises the Allowance for Credit Losses - Loans and Leases.
Bank of Hawai‘i Corporation and Subsidiaries
Business Segments Selected Financial Information
Table 13
(dollars in thousands)
Consumer Banking
Commercial Banking
Treasury and Other
Consolidated Total
Three Months Ended September 30, 2025
Net Interest Income (Expense)
$
95,948
$
54,196
$
(13,469
)
$
136,675
Provision for (Recapture of) Credit Losses
2,578
(1
)
(77
)
2,500
Net Interest Income (Expense) After Provision for Credit Losses
93,370
54,197
(13,392
)
134,175
Noninterest Income
33,870
9,550
2,546
45,966
Salaries and Benefits
21,318
5,103
36,484
62,905
Net Occupancy
7,392
396
3,144
10,932
Other Noninterest Expense
58,412
13,759
(33,621
)
38,550
Noninterest Expense
87,122
19,258
6,007
112,387
Income (Loss) Before Provision for Income Taxes
40,118
44,489
(16,853
)
67,754
Provision (Benefit) for Income Taxes
10,200
11,398
(7,189
)
14,409
Net Income (Loss)
$
29,918
$
33,091
$
(9,664
)
$
53,345
Total Assets as of September 30, 2025
$
8,282,239
$
6,120,551
$
9,611,819
$
24,014,609
Three Months Ended September 30, 2024 ¹
Net Interest Income (Expense)
$
97,919
$
50,556
$
(30,857
)
$
117,618
Provision for (Recapture of) Credit Losses
3,058
772
(830
)
3,000
Net Interest Income (Expense) After Provision for Credit Losses
94,861
49,784
(30,027
)
114,618
Noninterest Income
34,133
7,786
3,191
45,110
Salaries and Benefits
20,419
5,035
33,172
58,626
Net Occupancy
6,864
475
3,467
10,806
Other Noninterest Expense
57,429
13,315
(33,084
)
37,660
Noninterest Expense
84,712
18,825
3,555
107,092
Income (Loss) Before Provision for Income Taxes
44,282
38,745
(30,391
)
52,636
Provision (Benefit) for Income Taxes
11,289
9,816
(8,827
)
12,278
Net Income (Loss)
$
32,993
$
28,929
$
(21,564
)
$
40,358
Total Assets as of September 30, 2024
$
8,308,389
$
5,952,321
$
9,538,464
$
23,799,174
Nine Months Ended September 30, 2025
Net Interest Income (Expense)
$
286,911
$
163,719
$
(58,465
)
$
392,165
Provision for (Recapture of) Credit Losses
8,492
1,106
(598
)
9,000
Net Interest Income (Expense) After Provision for Credit Losses
278,419
162,613
(57,867
)
383,165
Noninterest Income
101,349
23,448
10,022
134,819
Salaries and Benefits
63,455
15,400
108,242
187,097
Net Occupancy
21,601
1,198
9,191
31,990
Other Noninterest Expense
175,243
41,176
(101,877
)
114,542
Noninterest Expense
260,299
57,774
15,556
333,629
Income (Loss) Before Provision for Income Taxes
119,469
128,287
(63,401
)
184,355
Provision (Benefit) for Income Taxes
30,362
32,813
(23,787
)
39,388
Net Income (Loss)
$
89,107
$
95,474
$
(39,614
)
$
144,967
Total Assets as of September 30, 2025
$
8,282,239
$
6,120,551
$
9,611,819
$
24,014,609
Nine Months Ended September 30, 2024 ¹
Net Interest Income (Expense)
$
293,118
$
152,934
$
(99,650
)
$
346,402
Provision for (Recapture of) Credit Losses
8,218
1,239
(2,057
)
7,400
Net Interest Income (Expense) After Provision for Credit Losses
284,900
151,695
(97,593
)
339,002
Noninterest Income
99,768
21,278
8,436
129,482
Salaries and Benefits
61,493
15,636
96,745
173,874
Net Occupancy
20,476
1,343
10,002
31,821
Other Noninterest Expense
172,459
38,499
(94,476
)
116,482
Noninterest Expense
254,428
55,478
12,271
322,177
Income (Loss) Before Provision for Income Taxes
130,240
117,495
(101,428
)
146,307
Provision (Benefit) for Income Taxes
33,154
29,711
(27,390
)
35,475
Net Income (Loss)
$
97,086
$
87,784
$
(74,038
)
$
110,832
Total Assets as of September 30, 2024
$
8,308,389
$
5,952,321
$
9,538,464
$
23,799,174
1 Certain prior period information has been reclassified to conform to current presentation.
Bank of Hawai‘i Corporation and Subsidiaries
Selected Quarterly Financial Data
Table 14
Three Months Ended
(dollars in thousands, except per share amounts)
September 30, 2025
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
Quarterly Operating Results
Interest Income
Interest and Fees on Loans and Leases
$
169,411
$
166,779
$
163,082
$
164,785
$
166,286
Income on Investment Securities
Available-for-Sale
29,702
27,007
24,368
23,223
23,257
Held-to-Maturity
19,332
19,835
20,291
20,677
21,107
Cash and Cash Equivalents
8,195
3,817
5,460
9,425
8,980
Other
1,068
1,097
1,085
1,107
1,018
Total Interest Income
227,708
218,535
214,286
219,217
220,648
Interest Expense
Deposits
84,590
82,476
81,692
92,099
96,067
Securities Sold Under Agreements to Repurchase
496
491
744
992
993
Other Debt
5,947
5,885
6,043
5,948
5,970
Total Interest Expense
91,033
88,852
88,479
99,039
103,030
Net Interest Income
136,675
129,683
125,807
120,178
117,618
Provision for Credit Losses
2,500
3,250
3,250
3,750
3,000
Net Interest Income After Provision for Credit Losses
134,175
126,433
122,557
116,428
114,618
Noninterest Income
Fees, Exchange, and Other Service Charges
15,219
14,383
14,437
14,399
14,945
Trust and Asset Management
12,598
12,097
11,741
12,157
11,916
Service Charges on Deposit Accounts
8,510
8,119
8,259
8,678
8,075
Bank-Owned Life Insurance
3,681
3,714
3,611
3,283
3,533
Annuity and Insurance
1,095
1,437
1,555
1,347
1,460
Mortgage Banking
906
849
988
942
1,188
Investment Securities Losses, Net
(1,945
)
(1,126
)
(1,607
)
(3,306
)
(1,103
)
Other
5,902
5,322
5,074
5,547
5,096
Total Noninterest Income
45,966
44,795
44,058
43,047
45,110
Noninterest Expense
Salaries and Benefits
62,905
61,308
62,884
58,690
58,626
Net Occupancy
10,932
10,499
10,559
10,263
10,806
Net Equipment
10,285
9,977
10,192
10,308
10,120
Data Processing
5,603
5,456
5,267
5,313
4,712
Professional Fees
4,022
4,263
4,264
4,988
4,725
FDIC Insurance
3,508
3,640
1,642
3,711
3,355
Other
15,132
15,640
15,651
14,658
14,748
Total Noninterest Expense
112,387
110,783
110,459
107,931
107,092
Income Before Provision for Income Taxes
67,754
60,445
56,156
51,544
52,636
Provision for Income Taxes
14,409
12,808
12,171
12,382
12,278
Net Income
$
53,345
$
47,637
$
43,985
$
39,162
$
40,358
Preferred Stock Dividends
5,269
5,269
5,269
5,269
3,436
Net Income Available to Common Shareholders
$
48,076
$
42,368
$
38,716
$
33,893
$
36,922
Basic Earnings Per Common Share
$
1.21
$
1.07
$
0.98
$
0.86
$
0.94
Diluted Earnings Per Common Share
$
1.20
$
1.06
$
0.97
$
0.85
$
0.93
Balance Sheet Totals
Loans and Leases
$
14,021,579
$
14,002,178
$
14,115,323
$
14,075,980
$
13,918,583
Total Assets
24,014,609
23,709,752
23,885,056
23,601,114
23,799,174
Total Deposits
21,080,669
20,798,914
21,008,217
20,633,037
20,978,322
Total Shareholders' Equity
1,791,183
1,743,107
1,704,935
1,667,774
1,665,474
Performance Ratios
Return on Average Assets
0.88
%
0.81
%
0.75
%
0.66
%
0.69
%
Return on Average Shareholders' Equity
12.10
11.21
10.65
9.42
9.90
Return on Average Common Equity
13.59
12.50
11.80
10.30
11.50
Efficiency Ratio 1
61.53
63.49
65.03
66.12
65.81
Net Interest Margin 2
2.46
2.39
2.32
2.19
2.18
1 Efficiency ratio is defined as noninterest expense divided by total revenue (net interest income and total noninterest income).
2 Net interest margin is defined as net interest income, on a taxable-equivalent basis, as a percentage of average earning assets.
Bank of Hawai‘i Corporation and Subsidiaries
Hawaii Economic Trends
Table 15
Six Months Ended
Year Ended
(dollars in millions, jobs in thousands, 1-year percentage change)
June 30, 2025 1
December 31, 2024
December 31, 2023
Hawaii Economic Trends
State General Fund Revenues 2
$
4,895.8
(3.0
)%
$
10,124.9
6.5
%
$
9,504.1
0.7
%
General Excise and Use Tax Revenue 2
2,417.3
5.9
4,495.0
0.5
4,474.1
4.9
Jobs 3
669.0
661.6
657.7
August 31,
December 31,
2025
2024
2023
Unemployment, seasonally adjusted 3
Statewide
2.7
%
3.0
%
3.0
%
Honolulu County
2.5
2.9
2.5
Hawaii County
3.0
3.4
2.9
Maui County
3.0
3.7
5.8
Kauai County
2.6
3.0
2.5
September 30,
December 31,
(1-year percentage change, except months of inventory)
2025
2024
2023
2022
Housing Trends (Single Family Oahu) 4
Median Home Price
4.1
%
4.8
%
(5.0
)%
11.6
%
Home Sales Volume (units)
0.8
%
9.1
%
(26.3
)%
(23.2
)%
Months of Inventory
3.4
2.9
2.8
2.1
(in thousands, except percentage change)
Monthly Visitor Arrivals,
Not Seasonally Adjusted
Percentage Change
from Previous Year
Tourism 5
August 31, 2025
806.8
(2.6
)%
July 31, 2025
870.8
(4.6
)
June 30, 2025
855.7
(1.9
)
May 31, 2025
766.4
1.1
April 30, 2025
810.3
9.4
March 31, 2025
890.0
2.8
February 28, 2025
739.7
(1.7
)
January 31, 2025
773.1
3.7
December 31, 2024
892.0
5.3
November 30, 2024
762.7
5.7
October 31, 2024
739.0
5.5
September 30, 2024
688.8
6.3
August 31, 2024
828.3
8.1
July 31, 2024
912.8
(1.9
)
June 30, 2024
872.6
(1.5
)
May 31, 2024
757.8
(4.1
)
April 30, 2024
740.7
(8.1
)
March 31, 2024
865.8
(3.0
)
February 29, 2024
752.7
2.6
January 31, 2024
745.6
(3.8
)
December 31, 2023
847.3
(1.3
)
November 30, 2023
721.3
0.3
October 31, 2023
700.4
(3.7
)
September 30, 2023
648.1
(6.4
)
August 31, 2023
766.6
(7.6
)
1 Based on the latest available data
2 Source: Hawaii Department of Business, Economic Development & Tourism
3 Source: U.S. Bureau of Labor Statistics
4 Source: Honolulu Board of Realtors
5 Source: Hawaii Tourism Authority