Central Pacific Financial Corp New

presentation, all parties will be in listen-only mode. Following the presentation, the conference will be open for questions. This call is being recorded and will be available for replay shortly after its completion on the company's website at www.cpb.bank. I'd like to turn the call over to Ms. Diana Matsumoto, EVP, Chief Financial Officer. Please go ahead.

Thank you, Kate, and thank you all for joining us as we review the financial results of the first quarter of 2025 for Central Pacific Financial Corp. With me this morning are Arnold Martinez, Chairman, President, and Chief Executive Officer, David Morimoto, Vice Chairman and Chief Operating Officer, Ralph Misik, Senior Executive Vice President and Chief Risk Officer, and Anna Hu, Executive Vice President and Chief Credit Officer. We have prepared a supplemental slide presentation that provides additional details on our earnings release and is available in the investor relations section of our website at cpb.bank. During the course of today's call, management may make forward-looking statements. While we believe these statements are based on reasonable assumptions, they involve risks that may cause actual results to differ materially from those projected. For a complete discussion of the risks related to our forward-looking statements, please refer to slide two of our presentation. And now, I'll turn the call over to our Chairman, President, and CEO, Arnold Martinez.

Thank you, Dana, and aloha, everyone. We appreciate your interest in Central Pacific Financial Corp., and we are pleased to share our latest updates and results with you. Before I provide a market update for the state of Hawaii and we dive into our results, let me start with sharing our recent leadership appointments that went into effect on March 1st. David Morimoto has been appointed as Vice Chairman and Chief Operating Officer. David has been with us for over 30 years and has broad, extensive experience in the banking industry. In his new role, David will oversee all frontline revenue areas. With that change, Dana Matsumoto has been appointed Executive Vice President and Chief Financial Officer, taking David's previous role. Dana has been with us for nearly 20 years with prior leadership in our treasury and controller areas. These planned transitions recognize the valuable contributions David and Dana have made while aligning our executive team to the bank's future strategic, financial, and business objectives. Our financial Q1 results were solid across the board and continue to trend favorably. We achieved meaningful NIM and net interest income expansion. We maintained strong capital, liquidity, and asset quality which positions us well for any economic challenges that may occur in the future. All of these results reflect our focus on optimizing our balance sheet and executing on our strategies. We know we are in a time of market and economic uncertainty. We are confident that we will be able to effectively navigate through the changes that impact our industry and our customers and remain focused on delivering strong results regardless of external factors. The Hawaii construction industry continues to grow and is being led by residential and government construction. The total value of construction in 2024 for the first 10 months of the year increased an impressive 20.3% compared to the same period in 2023 and is forecasted to exceed 14 billion, a substantial increase from the prior year's high of 11.8 billion. On the tourism front through February, Average daily census statewide visitor arrivals were up 1.9% from the prior year and down 4.3% from 2019. Total visitor spending per day was up 6.3% from the same period the prior year and up 20.5% from 2019. The recovery of visitors from Japan remained slow and has continued to be offset by the strength of domestic travel. Travel to Maui showed signs of improvement year over year, with an increase of 13.3% for average daily census visitor arrivals, but is still recovering from the 2023 Maui wildfires. Hawaii's statewide seasonally adjusted unemployment rate remained very low at 2.9% in March and continued to outperform the national unemployment rate of 4.2%. In the area of Hawaii real estate, the market remained strong overall in the first quarter, despite some mixed trends. Single-family home prices on Oahu reached a new record high in February and remained at similar levels in March at $1.16 million median sales price. Home sales for the month of March dipped 10.4% for single-family homes but went up 7.3% for condos compared to the same month of the prior year. Active inventory of housing listings is starting to build, which bodes well for the industry and state. The state's economy has proven to be resilient in the past and was forecasted earlier this year to grow modestly. However, we continue to monitor the potential impacts from the policies of the current administration and are prepared to navigate any uncertainties in the operating environment. I'll now turn the call over to David.