What factors could drive MCBS's EPS surprise in Q1 2025?

MetroCity Bankshares (MCBS) could experience an EPS surprise in Q1 2025 due to several key factors:

1. **Net Interest Income Growth**: MCBS has seen an increase in net interest income, driven by higher loan yields and balances. This trend, combined with effective cost management as indicated by the efficiency ratio, could lead to better-than-expected earnings performance.
2. **Noninterest Income Contribution**: The bank's noninterest income has shown growth, particularly in areas such as gains from SBA and residential mortgage loan sales. Continued strong performance in these areas could enhance EPS.
3. **Asset Quality and Provision for Credit Losses**: MCBS has reported a slight decrease in nonperforming assets, which could indicate improved asset quality. If this trend continues, it might result in lower provisions for credit losses, thereby boosting EPS.
4. **Expense Management**: The bank has demonstrated effective cost management, as evidenced by the improvement in the efficiency ratio. Continued prudent expense management could contribute to a positive EPS surprise.
5. **Dividend Income**: MCBS has a history of declaring quarterly cash dividends, and the potential income from these dividends could positively impact EPS, especially if the bank maintains or increases dividend payouts.

In summary, MCBS's potential EPS surprise in Q1 2025 is likely to be driven by growth in net interest income, contributions from noninterest income, improvements in asset quality, effective expense management, and dividend income.