Company: ASB
Filing Date: 2025-10-28
Form Type: 10-Q
Source: 0000007789-25-000179
Chunk: 186

Company: ASSOCIATED BANC-CORP
Filing Date: 2025-10-28
Form: 10-Q
Item: Part I, Item 1
Chunk 186
---
 ended September 30, 2024, primarily driven by growth in commercial and business lending.

•Provision for credit losses increased $12.2 million from nine months ended September 30, 2024, due to increased commercial loan balances coupled with general macroeconomic trends.

Community, Consumer, and Business

•Average earning assets and average loans decreased by $309.2 million and $311.4 million, respectively, from the nine months ended September 30, 2024, primarily driven by a decrease in residential mortgage loans due to the balance sheet restructuring announced in the fourth quarter of 2024 offset by increases in home equity and other consumer loans.

•Average deposits increased $1.1 billion from the nine months ended September 30, 2024, primarily driven by increases in all deposit types except for noninterest-bearing demand deposits. 

Risk Management and Shared Services

•Total revenue increased $121.0 million from the nine months ended September 30, 2024, primarily driven by organic net interest income growth primarily due to the investment portfolio actions taken as part of the balance sheet repositioning announced in the fourth quarter of 2024.

•Noninterest expense increased $23.8 million from the nine months ended September 30, 2024, primarily caused by increases in personnel expense due to higher variable compensation and healthcare costs as well as OREO write downs in 2025 offset by lower indirect expenses allocated to the segment. 

•Income tax benefit decreased $53.9 million from the nine months ended September 30, 2024, due to the strategic reallocation of the investment portfolio and the adaptation of a legal entity rationalization plan that resulted in the recognition of significant deferred tax benefits in 2024 and a lower net loss before taxes in the current year.

•Average earning assets increased $1.0 billion from the nine months ended September 30, 2024, driven by higher balances of investment securities in the portfolio due to the investment of a portion of the proceeds from the common stock offering in the fourth quarter of 2024 along with organic investment of additional available funds. 

•Average loans decreased $73.6 million from the nine months ended September 30, 2024, attributable to lower balances in all loan categories.

•Average deposits increased $297.5 million from the nine months ended September 30, 2024, driven by increases in all deposit types. 

Critical Accounting Estimates

In preparing the consolidated financial statements, management is required to make estimates and