Company: BOH
Filing Date: 2025-07-28
Form Type: 10-Q
Source: 0001628280-25-036240
Chunk: 65

Company: BANK OF HAWAII CORP
Filing Date: 2025-07-28
Form: 10-Q
Item: Part I, Item 1
Chunk 65
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 no significant changes in the Company’s application of critical accounting estimates since December 31, 2024.

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Overview

We are a regional financial services company serving businesses, consumers, and governments in Hawai‘i, Guam, and other Pacific Islands. Our principal operating subsidiary, the Bank, was founded in 1897.

Our business strategy is to use our unique market knowledge, prudent management discipline and brand strength to deliver exceptional value to our stakeholders. Our business plan is balanced between growth and risk management while maintaining flexibility to adjust to economic changes. We will continue to focus on providing customers with best-in-class service and an innovative mix of products and services. We will also remain focused on delivering strong financial results while maintaining prudent risk and capital management strategies and affirming our commitment to support our local communities.

Hawai‘i Economy

Although Hawai‘i’s economy began the year with modest gains in tourism and labor growth, as of June 30, 2025 we believe that expansive changes to federal policy may negatively impact our local economy. The impact of actual and threatened US tariffs, large-scale federal layoffs, and volatile immigration and fiscal policies have weakened consumer confidence and are expected to create headwinds in the Hawai‘i tourism sector. Construction remains a relative bright spot as of June 30, 2025, but tariffs on imported materials and labor are expected to cause construction employment to recede in the coming years. Hawai‘i’s unemployment rate was 2.8% in June 2025, which was below the U.S. unemployment rate of 4.1%.

For the first six months of 2025, the median price of single-family home and condominium sales on Oahu increased by 6.0% and decreased by 0.5%, respectively, compared to the same period in 2024. The volume of single-family homes sales on Oahu decreased 2.1% and condominium sales decreased 6.0% compared to the same period in 2024. Inventory of single-family homes and condominiums on Oahu was 3.7 months and 7.0 months, respectively, for the second quarter of 2025.

Earnings Summary

Net income for the second quarter of 2025 was $47.6 million, an increase of $13.6 million or 40% compared to the same period in 2024. Diluted earnings per common share was $1.06 for the second quarter of 2025, an increase of $0.25 or 31