Press Release · Ponce Financial Group, Inc.
Ponce Financial Group, Inc. Reports Third Quarter 2026 Results
Distributed by News Today Lines · Originally issued via SEC EDGAR
NEW YORK, October 26, 2026 — Ponce Financial Group, Inc., (the “Company”) (Nasdaq: PDLB), the holding company for Ponce Bank, National Association ("Ponce Bank" or the “Bank”), today announced results for the third quarter of 2026.
Third Quarter 2026 Highlights (Compared to Prior Periods):
Net income available to common stockholders was $18.0 million, or $0.76 per diluted share for the three months ended September 30, 2026, as compared to net income available to common stockholders of $8.2 million, or $0.35 per diluted share for the three months ended June 30, 2026 and net income available to common stockholders of $6.2 million, or $0.27 per diluted share for the three months ended September 30, 2025. Net income for the three months ended September 30, 2026 was $18.2 million. The Company paid dividends of $0.3 million on its preferred stock during the three months ended September 30, 2026.
Included in the $18.0 million of net income available to common stockholders for the third quarter of 2026 results is $57.5 million in total interest and dividend income, $5.9 million in benefit for income taxes and $0.9 million in non-interest income, offset by $23.5 million in interest expense, $19.2 million in non-interest expense, $3.2 million in provision for credit losses and $0.3 million in dividends on preferred shares.
The third quarter of 2026 results include certain unusual, non-recurring items. Specifically, the benefit for income taxes includes the release of the $10.5 million valuation allowance against the Company’s New York State and New York City deferred tax assets. The $1.2 million loss on real property included in non-interest income is due to the move of our Flushing property to held for sale. Non-interest income also includes a $0.4 million gain from the Company’s investment in Oaktree and Silvergate funds.
Net interest income of $34.0 million for the third quarter of 2026 increased $3.9 million, or 13.07%, from the prior quarter and increased $8.7 million, or 34.62%, from the same quarter last year. Interest income for the quarter includes $0.8 million from a satisfied, former non-accrual loan.
Net interest margin was 3.86% for the third quarter of 2026, versus 3.66% for the prior quarter and 3.30% for the same quarter last year.
Nine Months 2026 Highlights (Compared to 2025)
Net income available to common stockholders was $34.5 million, or $1.47 per diluted share for the nine months ended September 30, 2026, as compared to net income available to common stockholders of $17.7 million, or $0.77
per diluted share for the nine months ended September 30, 2025. Net income for the nine months ended September 30, 2026 and 2025 was $35.4 million and $18.6 million, respectively. The Company paid dividends of $0.8 million on its preferred stock during both the nine months ended September 30, 2026 and 2025.
Net interest income for the nine months ended September 30, 2026 was $92.3 million, an increase of $20.4 million, or 28.38%, compared to $71.9 million for the nine months ended September 30, 2025.
Non-interest income for the nine months ended September 30, 2026 was $4.4 million, a decrease of $1.5 million, or 25.52%, from $5.9 million for the nine months ended September 30, 2025.
Non-interest expense for the nine months ended September 30, 2026 was $54.6 million, an increase of $4.2 million, or 8.41%, compared to $50.4 million for the nine months ended September 30, 2025.
Cash and equivalents were $132.2 million as of September 30, 2026, an increase of $6.1 million, or 4.80%, from $126.2 million as of December 31, 2025.
Securities totaled $320.7 million as of September 30, 2026, a decrease of $44.5 million, or 12.19%, from $365.2 million as of December 31, 2025 primarily due to regular principal payments and the maturity of one available-for-sale security in the amount of $3.0 million.
Net loans receivable were $3.08 billion as of September 30, 2026, an increase of $481.8 million, or 18.54%, from $2.60 billion as of December 31, 2025.
Deposits were $2.37 billion as of September 30, 2026, an increase of $321.1 million, or 15.69%, from $2.05 billion as of December 31, 2025.
1
President and Chief Executive Officer’s Comments
Carlos P. Naudon, Ponce Financial Group, Inc.’s President and CEO, stated “Ponce continues to show strong results and deliver shareholder value. While the quarter includes some non-recurring items, our performance was robust even before accounting for those one-time events. Book value per share stands at $14.60, representing a $1.90 increase over the last twelve months. Furthermore, our net interest income continues to benefit from disciplined pricing and growth in earning assets, while non-performing assets decreased during the quarter to 50 basis points. Our capital position remains exceptionally strong and well in excess of regulatory requirements. We remain deeply committed to the communities we serve, and we will continue investing in both our people and technology to drive further operational efficiency.”
Executive Chairman’s Comment
Steven A. Tsavaris, Ponce Financial Group’s Executive Chairman added “We are pleased with our robust business activity during the quarter. As previously reported, we filed our second-quarter Quarterly Supplemental Report (QSR), which marks 16 consecutive quarters of deep impact lending above the 60% required threshold to repurchase our Preferred Stock. The U.S. Department of the Treasury has confirmed that the Company met this deep impact threshold. Consequently, we are actively collaborating with Treasury and its legal counsel to finalize the next steps for the Preferred Stock repurchase.”
ECIP
The consummation of any such repurchase of our Preferred Stock is subject to the satisfaction of additional conditions, including satisfying certain eligibility criteria. Although the Company currently expects that it will satisfy all other necessary conditions, there can be no assurance if and when such repurchase will be consummated with Treasury.
The table below indicates the Key Metrics at or for the three months ended:
At or for the Three Months Ended |
|||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
|||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
|||||||||||||||
Performance Ratios: |
|||||||||||||||||||
Return on average assets (1) |
1.99 |
% |
1.00 |
% |
1.07 |
% |
1.26 |
% |
0.82 |
% |
|||||||||
Return on common equity (1) |
20.18 |
% |
9.81 |
% |
10.37 |
% |
12.50 |
% |
8.10 |
% |
|||||||||
Net interest margin (1) (2) |
3.86 |
% |
3.66 |
% |
3.61 |
% |
3.57 |
% |
3.30 |
% |
|||||||||
Non-interest expense to average assets (1) |
2.13 |
% |
2.14 |
% |
2.14 |
% |
2.06 |
% |
2.10 |
% |
|||||||||
Efficiency ratio (3) |
55.21 |
% |
57.41 |
% |
56.96 |
% |
52.95 |
% |
62.15 |
% |
|||||||||
Capital Ratios: |
|||||||||||||||||||
Total capital to risk-weighted assets (Ponce Financial Group) |
18.66 |
% |
20.00 |
% |
21.23 |
% |
23.00 |
% |
24.08 |
% |
|||||||||
Common equity Tier 1 capital to risk-weighted assets (Ponce Financial Group) |
10.93 |
% |
11.51 |
% |
12.11 |
% |
12.98 |
% |
13.39 |
% |
|||||||||
Tier 1 capital to total assets (Ponce Financial Group) |
16.46 |
% |
16.85 |
% |
17.22 |
% |
17.27 |
% |
17.33 |
% |
|||||||||
Total capital to risk-weighted assets (Bank only) |
16.98 |
% |
18.88 |
% |
20.00 |
% |
21.63 |
% |
21.79 |
% |
|||||||||
Common equity Tier 1 capital to risk-weighted assets (Bank only) |
15.98 |
% |
17.87 |
% |
18.97 |
% |
20.53 |
% |
20.66 |
% |
|||||||||
Tier 1 capital to total assets (Bank only) |
14.85 |
% |
15.81 |
% |
16.09 |
% |
16.12 |
% |
16.08 |
% |
|||||||||
Asset Quality Ratios: |
|||||||||||||||||||
Allowance for credit losses on loans as a percentage of total loans |
0.94 |
% |
0.95 |
% |
0.96 |
% |
0.97 |
% |
0.98 |
% |
|||||||||
Allowance for credit losses on loans as a percentage of nonperforming loans |
156.85 |
% |
116.91 |
% |
128.93 |
% |
94.74 |
% |
88.88 |
% |
|||||||||
Net (charge-offs) recoveries to average outstanding loans (1) |
(0.05 |
%) |
(0.05 |
%) |
(0.08 |
%) |
(0.13 |
%) |
(0.03 |
%) |
|||||||||
Non-performing assets as a percentage of total assets |
0.50 |
% |
0.67 |
% |
0.62 |
% |
0.83 |
% |
0.88 |
% |
|||||||||
Other: |
|||||||||||||||||||
Number of offices |
17 |
17 |
17 |
17 |
18 |
||||||||||||||
Number of full-time equivalent employees |
236 |
229 |
218 |
216 |
209 |
||||||||||||||
Annualized.
Net interest margin represents net interest income divided by average total interest-earning assets.
Efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income.
2
Summary of Results of Operations
Net income for the three months ended September 30, 2026 was $18.2 million, increased $9.8 million, or 114.82%, compared to net income of $8.5 million for the three months ended June 30, 2026 and increased $11.7 million or 180.41% compared to net income of $6.5 million for the three months ended September 30, 2025.
The $9.8 million increase of net income for the three months ended September 30, 2026 compared to the three months ended June 30, 2026 was attributed mainly to an increase of $3.9 million in net interest income and $8.7 million in benefit for income taxes, offset by increases of $1.1 million in non-interest expense, $1.1 million in provision for credit losses and a decrease of $0.7 million in non-interest income.
The $11.7 million increase of net income for the three months ended September 30, 2026 compared to the three months ended September 30, 2025 was largely due to an increase of $8.7 million in net interest income and $8.1 million in benefit for income taxes, offset by increases of $2.6 million in non-interest expense and $1.9 million in provision for credit losses and a decrease of $0.6 million in non-interest income largely due to a $1.2 million loss on real property.
Net income for the nine months ended September 30, 2026 was $35.4 million, increased $16.8 million, or 90.48%, compared to net income of $18.6 million for the nine months ended September 30, 2025. The $16.8 million increase in net income was attributed mainly to an increase of $20.4 million in net interest income and $6.5 million in benefit for income taxes, offset by increases of $4.3 million in provision for credit losses and $4.2 million in non-interest expense and a decrease of $1.5 million in non-interest income largely due to a $1.2 million loss on real property.
Net Interest Income and Net Interest Margin
Net interest income for the three months ended September 30, 2026, increased $3.9 million, or 13.07%, to $34.0 million compared to $30.1 million for the three months ended June 30, 2026 and increased $8.7 million, or 34.62%, compared to $25.2 million for the three months ended September 30, 2025.
The $3.9 million increase in net interest income from the three months ended June 30, 2026 was attributable to an increase of $5.9 million in total interest and dividend income, offset by an increase of $1.9 million in total interest expense. The $8.7 million increase in net interest income from the three months ended September 30, 2025 was attributable to an increase of $10.7 million in total interest and dividend income, offset by an increase of $1.9 million in total interest expense.
Net interest income for the nine months ended September 30, 2026, increased $20.4 million, or 28.38%, to $92.3 million compared to $71.9 million for the nine months ended September 30, 2025. The $20.4 million increase in net interest income from the nine months ended September 30, 2025 was attributable to an increase of $21.1 million in total interest and dividend income, offset by an increase of $0.7 million in total interest expense.
Net interest margin was 3.86% for the three months ended September 30, 2026 compared to 3.66% for the prior quarter, an increase of 20bps and 3.30% for the same period last year, an increase of 56bps.
Net interest margin was 3.72% for the nine months ended September 30, 2026 compared to 3.18% for the nine months ended September 30, 2025, an increase of 54bps.
Non-interest Income
Non-interest income for the three months ended September 30, 2026, was $0.9 million, decreased $0.7 million, or 44.34%, compared to $1.5 million for the three months ended June 30, 2026, and decreased $0.6 million, or 43.03%, compared to $1.5 million for the three months ended September 30, 2025.
The $0.7 million decrease in non-interest income from the three months ended June 30, 2026 was largely attributable to a $1.2 million loss on real property, offset by an increase of $0.4 million in other non-interest income.
3
The $0.6 million decrease in non-interest income from the three months ended September 30, 2025 was largely attributable to a loss of $1.2 million on real property recognized in the third quarter of 2026, $0.4 million in grant income recognized in the third quarter of 2025 and a decrease of $0.2 million in late and prepayment charges, offset by an increase of $1.0 million in other non-interest income.
Non-interest income for the nine months ended September 30, 2026, was $4.4 million, a decrease of $1.5 million, or 25.52%, compared to $5.9 million for the nine months ended September 30, 2025. The $1.5 million decrease in non-interest income from the nine months ended September 30, 2025 was largely attributable to $1.2 million loss on real property, $0.8 million in grant income that was recognized during the nine months ended September 30, 2025, decreases of $0.5 million in late and prepayment charges and $0.4 million in income on sale of SBA loans, offset by increases of $1.3 million in other non-interest income and $0.2 million in service charges and fees.
Non-interest Expense
Non-interest expense for the three months ended September 30, 2026 was $19.2 million, increased $1.1 million, or 6.07%, compared to $18.1 million for the three months ended June 30, 2026 and increased $2.6 million, or 15.75%, compared to $16.6 million for the three months ended September 30, 2025.
The $1.1 million increase in non-interest expense from the three months ended June 30, 2026 was mainly attributable to an increase of $1.4 million in compensation and benefits as a result of new hires, partially offset by a decrease of $0.2 million in professional fees.
The $2.6 million increase in non-interest expense from the three months ended September 30, 2025 was mainly attributable to an increase of $2.6 million in compensation and benefits as a result of new hires.
Non-interest expense for the nine months ended September 30, 2026 was $54.6 million, increased $4.2 million, or 8.41%, compared to $50.4 million for the nine months ended September 30, 2025. The $4.2 million increase in non-interest expense from the nine months ended September 30, 2025 was mainly attributable to an increase of $5.0 million in compensation and benefits as a result of new hires, partially offset by decreases of $0.4 million in direct loan expenses, $0.3 million in occupancy and equipment and $0.1 million in other non-interest expense.
Credit Quality:
Total non-performing assets and accruing modifications to borrowers experiencing financial difficulty were $21.8 million at September 30, 2026 compared to $26.8 million at June 30, 2026 and $32.4 million at September 30, 2025.
During the three months ended September 30, 2026, a credit loss provision of $3.2 million on loans was recorded, consisting of $2.0 million charged on the funded portion and $1.2 million charged on the unfunded portion on loans. During the three months ended June 30, 2026, a credit loss provision of $2.1 million on loans was recorded, consisting of $1.7 million charged on the funded portion and $0.4 million charged on the unfunded portion on loans. During the three months ended September 30, 2025, a credit loss provision of $1.4 million on loans was recorded, consisting of $0.9 million charged on the funded portion on loans and $0.5 million charged on the unfunded portion on loans.
During the nine months ended September 30, 2026, a credit loss provision of $7.0 million on loans was recorded, consisting of $4.9 million charged on the funded portion and $2.1 million charged on the unfunded portion on loans. During the nine months ended September 30, 2025, a credit loss provision of $2.7 million on loans was recorded, consisting of $2.9 million charged on the funded portion on loans and a $0.2 million benefit on the unfunded portion on loans.
4
Balance Sheet Summary
Total assets increased $462.7 million, or 14.35%, to $3.69 billion as of September 30, 2026 from $3.22 billion as of December 31, 2025. The increase in total assets is largely attributable to increases of $481.8 million in net loans receivable, $14.3 million in deferred tax assets, $6.1 million in cash and cash equivalents, $4.8 million in Federal Home Loan Bank of New York stock, $3.7 million in accrued interest receivable and $2.2 million in other assets, partially offset by decreases of $31.8 million in held-to-maturity securities, $12.7 million in available-for-sale securities, $4.7 million in premises and equipment, net, and $1.3 million in right of use assets. The $4.7 million decrease in premises and equipment, net was largely attributable to $1.8 million of real property that was reclassified to held for sale and is reflected in other assets in the Consolidated Statements of Financial Condition and a $1.2 million loss on real property that is reflected in total non-interest income in the Consolidated Statements of Operations.
Total liabilities increased $426.0 million, or 15.88%, to $3.11 billion as of September 30, 2026 from $2.68 billion as of December 31, 2025. The increase in total liabilities was largely attributable to increases of $321.1 million in deposits, $100.0 million in borrowings and $6.0 million in other liabilities, partially offset by a decrease of $1.2 million in operating lease liabilities.
Total stockholders’ equity increased $36.7 million, or 6.78%, to $578.3 million as of September 30, 2026, from $541.5 million as of December 31, 2025. The $36.7 million increase in stockholders’ equity was largely attributable to $35.4 million in net income, $1.9 million impact to additional paid in capital as a result of share-based compensation, $1.9 million from release of ESOP shares and $0.2 million from exercise of stock options, offset by $1.8 million in other comprehensive loss and $0.8 million related to the dividend paid on preferred shares during the nine months ended September 30, 2026.
About Ponce Financial Group, Inc.
Ponce Financial Group, Inc. is the holding company for Ponce Bank, N.A. Ponce Bank, N.A. is a Minority Depository Institution, a Community Development Financial Institution, and a certified Small Business Administration lender. Ponce Bank, N.A.’s business primarily consists of taking deposits from the general public and to a lesser extent alternative funding sources and investing those funds, together with funds generated from operations and borrowings, in mortgage loans, consisting of 1-4 family residences (investor-owned and owner-occupied), multifamily residences, nonresidential properties, construction and land, and, to a lesser extent, in business and consumer loans. Ponce Bank, N.A. also invests in securities, which consist of U.S. Government and federal agency securities and securities issued by government-sponsored or government-owned enterprises, as well as, mortgage-backed securities, corporate bonds and obligations, Federal Home Loan Bank stock and Federal Reserve Bank stock.
5
Forward Looking Statements
Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause such differences to exist include, but are not limited to, adverse conditions in the capital and debt markets and the impact of such conditions on business activities; changes in interest rates; competitive pressures from other financial institutions; the effects of general economic conditions on a national basis or in the local markets in which Ponce Bank, N.A. operates, including changes that adversely affect borrowers’ ability to service and repay Ponce Bank, N.A.’s loans; changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, and their related impacts on the economy; changes in the global economy, including negative changes that may arise from armed conflict and geopolitical instability; changes in the value of securities in the investment portfolio; changes in loan default and charge-off rates; fluctuations in real estate values; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; changes in government regulation; changes in accounting standards and practices; the risk that intangibles recorded in the financial statements will become impaired; demand for loans in Ponce Bank, N.A.’s market area; Ponce Bank, N.A.’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that Ponce Financial Group, Inc. may not be successful in the implementation of its business strategy; the risk that the repurchase of Ponce Financial Group, Inc.’s Preferred Stock issued under the ECIP may not be consummated on the anticipated timeline, on the anticipated terms, or at all; changes in assumptions used in making such forward-looking statements and the risk factors described in Ponce Financial Group, Inc.’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Ponce Financial Group, Inc. disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as may be required by applicable law or regulation.
6
Ponce Financial Group, Inc. and Subsidiaries
Consolidated Statements of Financial Condition
(Dollars in thousands, except for share data)
As of |
|||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
|||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
|||||||||||||||
ASSETS |
|||||||||||||||||||
Cash and due from banks: |
|||||||||||||||||||
Cash |
$ |
27,725 |
$ |
25,567 |
$ |
27,429 |
$ |
28,511 |
$ |
29,296 |
|||||||||
Interest-bearing deposits |
104,486 |
114,443 |
89,817 |
97,643 |
117,283 |
||||||||||||||
Total cash and cash equivalents |
132,211 |
140,010 |
117,246 |
126,154 |
146,579 |
||||||||||||||
Available-for-sale securities, at fair value |
79,475 |
84,774 |
87,150 |
92,196 |
94,822 |
||||||||||||||
Held-to-maturity securities, at amortized cost |
241,176 |
253,616 |
263,514 |
272,982 |
285,125 |
||||||||||||||
Placement with banks |
249 |
249 |
249 |
249 |
249 |
||||||||||||||
Mortgage loans held for sale, at fair value |
3,701 |
3,050 |
2,127 |
3,388 |
5,794 |
||||||||||||||
Loans receivable, net |
3,081,101 |
2,879,740 |
2,698,649 |
2,599,258 |
2,490,046 |
||||||||||||||
Accrued interest receivable |
21,624 |
19,939 |
19,274 |
17,905 |
18,903 |
||||||||||||||
Premises and equipment, net |
10,924 |
14,645 |
15,159 |
15,638 |
16,129 |
||||||||||||||
Right of use assets |
26,331 |
27,055 |
27,633 |
27,583 |
28,295 |
||||||||||||||
Federal Home Loan Bank of New York stock (FHLBNY), at cost |
34,064 |
30,689 |
28,180 |
29,309 |
25,945 |
||||||||||||||
Federal Reserve Bank of New York stock (FRBNY), at cost |
10,725 |
10,714 |
10,706 |
10,698 |
— |
||||||||||||||
Deferred tax assets |
25,770 |
12,979 |
11,729 |
11,501 |
12,402 |
||||||||||||||
Other assets |
19,326 |
17,251 |
19,141 |
17,109 |
32,790 |
||||||||||||||
Total assets |
$ |
3,686,677 |
$ |
3,494,711 |
$ |
3,300,757 |
$ |
3,223,970 |
$ |
3,157,079 |
|||||||||
LIABILITIES AND STOCKHOLDERS' EQUITY |
|||||||||||||||||||
Liabilities: |
|||||||||||||||||||
Deposits |
$ |
2,367,708 |
$ |
2,271,809 |
$ |
2,133,795 |
$ |
2,046,635 |
$ |
2,063,081 |
|||||||||
Borrowings |
696,100 |
621,100 |
571,100 |
596,100 |
521,100 |
||||||||||||||
Operating lease liabilities |
28,171 |
28,874 |
29,429 |
29,353 |
30,028 |
||||||||||||||
Accrued interest payable |
3,862 |
3,837 |
4,338 |
3,788 |
4,372 |
||||||||||||||
Other liabilities |
12,576 |
8,121 |
10,732 |
6,545 |
8,663 |
||||||||||||||
Total liabilities |
3,108,417 |
2,933,741 |
2,749,394 |
2,682,421 |
2,627,244 |
||||||||||||||
Commitments and contingencies |
|||||||||||||||||||
Stockholders' Equity: |
|||||||||||||||||||
Preferred stock, $0.01 par value; 100,000,000 shares authorized |
225,000 |
225,000 |
225,000 |
225,000 |
225,000 |
||||||||||||||
Common stock, $0.01 par value; 200,000,000 shares authorized |
249 |
249 |
249 |
249 |
249 |
||||||||||||||
Treasury stock, at cost |
(5,738 |
) |
(5,738 |
) |
(5,738 |
) |
(6,164 |
) |
(7,270 |
) |
|||||||||
Additional paid-in-capital |
211,317 |
210,339 |
209,219 |
208,604 |
208,909 |
||||||||||||||
Retained earnings |
169,855 |
151,887 |
143,674 |
135,332 |
125,477 |
||||||||||||||
Accumulated other comprehensive loss |
(12,645 |
) |
(10,698 |
) |
(10,680 |
) |
(10,820 |
) |
(11,586 |
) |
|||||||||
Unearned compensation ─ ESOP |
(9,778 |
) |
(10,069 |
) |
(10,361 |
) |
(10,652 |
) |
(10,944 |
) |
|||||||||
Total stockholders' equity |
578,260 |
560,970 |
551,363 |
541,549 |
529,835 |
||||||||||||||
Total liabilities and stockholders' equity |
$ |
3,686,677 |
$ |
3,494,711 |
$ |
3,300,757 |
$ |
3,223,970 |
$ |
3,157,079 |
|||||||||
7
Ponce Financial Group, Inc. and Subsidiaries
Consolidated Statements of Operations
(Dollars in thousands, except per share data)
Three Months Ended |
|||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
|||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
|||||||||||||||
Interest and dividend income: |
|||||||||||||||||||
Interest on loans receivable |
$ |
52,910 |
$ |
46,835 |
$ |
43,982 |
$ |
43,599 |
$ |
41,486 |
|||||||||
Interest on deposits due from banks |
901 |
954 |
770 |
1,209 |
978 |
||||||||||||||
Interest and dividend on securities and FHLBNY stock |
3,693 |
3,863 |
3,910 |
4,013 |
4,383 |
||||||||||||||
Total interest and dividend income |
57,504 |
51,652 |
48,662 |
48,821 |
46,847 |
||||||||||||||
Interest expense: |
|||||||||||||||||||
Interest on certificates of deposit |
7,313 |
6,785 |
6,415 |
6,706 |
6,553 |
||||||||||||||
Interest on other deposits |
10,430 |
9,544 |
8,630 |
9,106 |
9,996 |
||||||||||||||
Interest on borrowings |
5,772 |
5,262 |
5,391 |
5,075 |
5,050 |
||||||||||||||
Total interest expense |
23,515 |
21,591 |
20,436 |
20,887 |
21,599 |
||||||||||||||
Net interest income |
33,989 |
30,061 |
28,226 |
27,934 |
25,248 |
||||||||||||||
Provision for credit losses |
3,219 |
2,148 |
1,656 |
1,078 |
1,364 |
||||||||||||||
Net interest income after provision for credit losses |
30,770 |
27,913 |
26,570 |
26,856 |
23,884 |
||||||||||||||
Non-interest income: |
|||||||||||||||||||
Service charges and fees |
611 |
600 |
539 |
542 |
539 |
||||||||||||||
Brokerage commissions |
— |
— |
— |
23 |
8 |
||||||||||||||
Late and prepayment charges |
232 |
138 |
726 |
1,173 |
385 |
||||||||||||||
Income on sale of mortgage loans |
188 |
161 |
120 |
139 |
166 |
||||||||||||||
Grant income |
— |
— |
— |
428 |
429 |
||||||||||||||
Loss on real property |
(1,166 |
) |
— |
— |
— |
— |
|||||||||||||
Other |
985 |
628 |
657 |
1,174 |
(35 |
) |
|||||||||||||
Total non-interest income |
850 |
1,527 |
2,042 |
3,479 |
1,492 |
||||||||||||||
Non-interest expense: |
|||||||||||||||||||
Compensation and benefits |
10,509 |
9,070 |
8,663 |
8,113 |
7,868 |
||||||||||||||
Occupancy and equipment |
3,879 |
3,901 |
3,672 |
4,033 |
3,934 |
||||||||||||||
Data processing expenses |
1,202 |
1,195 |
1,219 |
1,223 |
1,296 |
||||||||||||||
Direct loan expenses |
89 |
187 |
121 |
116 |
155 |
||||||||||||||
Insurance and surety bond premiums |
332 |
332 |
333 |
324 |
318 |
||||||||||||||
Office supplies, telephone and postage |
147 |
152 |
193 |
186 |
170 |
||||||||||||||
Professional fees |
1,305 |
1,470 |
1,346 |
1,392 |
1,409 |
||||||||||||||
Marketing and promotional expenses |
144 |
190 |
228 |
94 |
184 |
||||||||||||||
Federal deposit insurance and regulatory assessment |
495 |
408 |
409 |
97 |
266 |
||||||||||||||
Other operating expenses |
1,134 |
1,230 |
1,056 |
1,056 |
1,018 |
||||||||||||||
Total non-interest expense |
19,236 |
18,135 |
17,240 |
16,634 |
16,618 |
||||||||||||||
Income before income taxes |
12,384 |
11,305 |
11,372 |
13,701 |
8,758 |
||||||||||||||
(Benefit) provision for income taxes |
(5,865 |
) |
2,810 |
2,749 |
3,565 |
2,250 |
|||||||||||||
Net income |
$ |
18,249 |
$ |
8,495 |
$ |
8,623 |
$ |
10,136 |
$ |
6,508 |
|||||||||
Dividends on preferred shares |
281 |
282 |
281 |
281 |
281 |
||||||||||||||
Net income available to common stockholders |
$ |
17,968 |
$ |
8,213 |
$ |
8,342 |
$ |
9,855 |
$ |
6,227 |
|||||||||
Earnings per common share: |
|||||||||||||||||||
Basic |
$ |
0.78 |
$ |
0.36 |
$ |
0.36 |
$ |
0.43 |
$ |
0.27 |
|||||||||
Diluted |
$ |
0.76 |
$ |
0.35 |
$ |
0.36 |
$ |
0.42 |
$ |
0.27 |
|||||||||
Weighted average common shares outstanding: |
|||||||||||||||||||
Basic |
23,086,892 |
23,053,460 |
22,988,317 |
22,837,044 |
22,766,195 |
||||||||||||||
Diluted |
23,650,370 |
23,508,153 |
23,331,314 |
23,263,708 |
23,135,448 |
||||||||||||||
8
Ponce Financial Group, Inc. and Subsidiaries
Consolidated Statements of Operations
(Dollars in thousands, except per share data)
For the Nine Months Ended September 30, |
||||||||||||||||
2026 |
2025 |
Variance $ |
Variance % |
|||||||||||||
Interest and dividend income: |
||||||||||||||||
Interest on loans receivable |
$ |
143,727 |
$ |
118,913 |
$ |
24,814 |
20.87 |
% |
||||||||
Interest on deposits due from banks |
2,625 |
3,453 |
(828 |
) |
(23.98 |
%) |
||||||||||
Interest and dividend on securities and FHLBNY stock |
11,466 |
14,338 |
(2,872 |
) |
(20.03 |
%) |
||||||||||
Total interest and dividend income |
157,818 |
136,704 |
21,114 |
15.45 |
% |
|||||||||||
Interest expense: |
||||||||||||||||
Interest on certificates of deposit |
20,513 |
21,689 |
(1,176 |
) |
(5.42 |
%) |
||||||||||
Interest on other deposits |
28,604 |
27,608 |
996 |
3.61 |
% |
|||||||||||
Interest on borrowings |
16,425 |
15,530 |
895 |
5.76 |
% |
|||||||||||
Total interest expense |
65,542 |
64,827 |
715 |
1.10 |
% |
|||||||||||
Net interest income |
92,276 |
71,877 |
20,399 |
28.38 |
% |
|||||||||||
Provision for credit losses |
7,023 |
2,705 |
4,318 |
159.63 |
% |
|||||||||||
Net interest income after provision for credit losses |
85,253 |
69,172 |
16,081 |
23.25 |
% |
|||||||||||
Non-interest income: |
||||||||||||||||
Service charges and fees |
1,750 |
1,575 |
175 |
11.11 |
% |
|||||||||||
Brokerage commissions |
— |
12 |
(12 |
) |
(100.00 |
%) |
||||||||||
Late and prepayment charges |
1,096 |
1,612 |
(516 |
) |
(32.01 |
%) |
||||||||||
Income on sale of mortgage loans |
469 |
483 |
(14 |
) |
(2.90 |
%) |
||||||||||
Income on sale of SBA loans |
— |
404 |
(404 |
) |
(100.00 |
%) |
||||||||||
Grant income |
— |
857 |
(857 |
) |
(100.00 |
%) |
||||||||||
Loss on real property |
(1,166 |
) |
— |
(1,166 |
) |
— |
% |
|||||||||
Other |
2,270 |
990 |
1,280 |
129.29 |
% |
|||||||||||
Total non-interest income |
4,419 |
5,933 |
(1,514 |
) |
(25.52 |
%) |
||||||||||
Non-interest expense: |
||||||||||||||||
Compensation and benefits |
28,242 |
23,275 |
4,967 |
21.34 |
% |
|||||||||||
Occupancy and equipment |
11,452 |
11,754 |
(302 |
) |
(2.57 |
%) |
||||||||||
Data processing expenses |
3,616 |
3,636 |
(20 |
) |
(0.55 |
%) |
||||||||||
Direct loan expenses |
397 |
784 |
(387 |
) |
(49.36 |
%) |
||||||||||
Insurance and surety bond premiums |
997 |
930 |
67 |
7.20 |
% |
|||||||||||
Office supplies, telephone and postage |
492 |
514 |
(22 |
) |
(4.28 |
%) |
||||||||||
Professional fees |
4,121 |
4,140 |
(19 |
) |
(0.46 |
%) |
||||||||||
Marketing and promotional expenses |
562 |
533 |
29 |
5.44 |
% |
|||||||||||
Federal deposit insurance and regulatory assessments |
1,312 |
1,273 |
39 |
3.06 |
% |
|||||||||||
Other operating expenses |
3,420 |
3,536 |
(116 |
) |
(3.28 |
%) |
||||||||||
Total non-interest expense |
54,611 |
50,375 |
4,236 |
8.41 |
% |
|||||||||||
Income before income taxes |
35,061 |
24,730 |
10,331 |
41.78 |
% |
|||||||||||
(Benefit) provision for income taxes |
(306 |
) |
6,163 |
(6,469 |
) |
(104.97 |
%) |
|||||||||
Net income |
$ |
35,367 |
$ |
18,567 |
$ |
16,800 |
90.48 |
% |
||||||||
Dividends on preferred shares |
844 |
844 |
— |
— |
% |
|||||||||||
Net income available to common stockholders |
$ |
34,523 |
$ |
17,723 |
$ |
16,800 |
94.79 |
% |
||||||||
Earnings per common share: |
||||||||||||||||
Basic |
$ |
1.50 |
$ |
0.78 |
$ |
0.72 |
92.31 |
% |
||||||||
Diluted |
$ |
1.47 |
$ |
0.77 |
$ |
0.70 |
90.91 |
% |
||||||||
Weighted average common shares outstanding: |
||||||||||||||||
Basic |
23,043,250 |
22,715,620 |
327,630 |
1.44 |
% |
|||||||||||
Diluted |
23,496,728 |
22,992,655 |
504,073 |
2.19 |
% |
|||||||||||
9
Ponce Financial Group, Inc. and Subsidiaries
Loans Receivable excluding Mortgage Loans Held for Sale
As of |
||||||||||||||||||||||||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
||||||||||||||||||||||||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
||||||||||||||||||||||||||||||||||||
Amount |
Percent |
Amount |
Percent |
Amount |
Percent |
Amount |
Percent |
Amount |
Percent |
|||||||||||||||||||||||||||||||
(Dollars in thousands) |
||||||||||||||||||||||||||||||||||||||||
Mortgage loans: |
||||||||||||||||||||||||||||||||||||||||
1-4 family residential |
$ |
413,064 |
13.26 |
% |
$ |
426,343 |
14.65 |
% |
$ |
431,377 |
15.82 |
% |
$ |
434,374 |
16.54 |
% |
$ |
444,602 |
17.67 |
% |
||||||||||||||||||||
Multifamily residential |
1,051,642 |
33.76 |
% |
1,057,612 |
36.35 |
% |
915,333 |
33.58 |
% |
756,542 |
28.83 |
% |
688,574 |
27.39 |
% |
|||||||||||||||||||||||||
Nonresidential properties |
557,449 |
17.89 |
% |
535,521 |
18.41 |
% |
534,256 |
19.60 |
% |
526,210 |
20.05 |
% |
436,175 |
17.35 |
% |
|||||||||||||||||||||||||
Construction and land |
1,016,809 |
32.64 |
% |
817,151 |
28.08 |
% |
763,990 |
28.03 |
% |
854,096 |
32.54 |
% |
886,369 |
35.25 |
% |
|||||||||||||||||||||||||
Total mortgage loans |
3,038,964 |
97.55 |
% |
2,836,627 |
97.49 |
% |
2,644,956 |
97.03 |
% |
2,571,222 |
97.96 |
% |
2,455,720 |
97.66 |
% |
|||||||||||||||||||||||||
Non-mortgage loans: |
||||||||||||||||||||||||||||||||||||||||
Business loans |
75,852 |
2.43 |
% |
72,438 |
2.49 |
% |
80,366 |
2.95 |
% |
53,063 |
2.02 |
% |
58,012 |
2.31 |
% |
|||||||||||||||||||||||||
Consumer loans |
581 |
0.02 |
% |
577 |
0.02 |
% |
596 |
0.02 |
% |
625 |
0.02 |
% |
727 |
0.03 |
% |
|||||||||||||||||||||||||
Total non-mortgage loans |
76,433 |
2.45 |
% |
73,015 |
2.51 |
% |
80,962 |
2.97 |
% |
53,688 |
2.04 |
% |
58,739 |
2.34 |
% |
|||||||||||||||||||||||||
Total loans, gross |
3,115,397 |
100.00 |
% |
2,909,642 |
100.00 |
% |
2,725,918 |
100.00 |
% |
2,624,910 |
100.00 |
% |
2,514,459 |
100.00 |
% |
|||||||||||||||||||||||||
Net deferred loan origination fees |
(5,128 |
) |
(2,348 |
) |
(1,031 |
) |
(203 |
) |
351 |
|||||||||||||||||||||||||||||||
Allowance for credit losses on loans |
(29,168 |
) |
(27,554 |
) |
(26,238 |
) |
(25,449 |
) |
(24,764 |
) |
||||||||||||||||||||||||||||||
Loans, net |
$ |
3,081,101 |
$ |
2,879,740 |
$ |
2,698,649 |
$ |
2,599,258 |
$ |
2,490,046 |
||||||||||||||||||||||||||||||
10
Ponce Financial Group, Inc. and Subsidiaries
Allowance for Credit Losses on Loans
For the Three Months Ended |
|||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
|||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
|||||||||||||||
(Dollars in thousands) |
|||||||||||||||||||
Allowance for credit losses on loans at beginning of the period |
$ |
27,554 |
$ |
26,238 |
$ |
25,449 |
$ |
24,764 |
$ |
24,100 |
|||||||||
Provision for credit losses on loans |
1,996 |
1,669 |
1,293 |
1,526 |
864 |
||||||||||||||
Charge-offs: |
|||||||||||||||||||
Mortgage loans: |
|||||||||||||||||||
1-4 family residential |
(5 |
) |
— |
— |
(32 |
) |
— |
||||||||||||
Multifamily residences |
(65 |
) |
— |
— |
— |
— |
|||||||||||||
Non-mortgage loans: |
|||||||||||||||||||
Business |
(317 |
) |
(354 |
) |
(504 |
) |
(801 |
) |
(200 |
) |
|||||||||
Consumer |
— |
— |
— |
(44 |
) |
— |
|||||||||||||
Total charge-offs |
(387 |
) |
(354 |
) |
(504 |
) |
(877 |
) |
(200 |
) |
|||||||||
Recoveries: |
|||||||||||||||||||
Mortgage loans: |
|||||||||||||||||||
1-4 family residential |
— |
1 |
— |
1 |
— |
||||||||||||||
Non-mortgage loans: |
|||||||||||||||||||
Business |
5 |
— |
— |
35 |
— |
||||||||||||||
Total recoveries |
5 |
1 |
— |
36 |
— |
||||||||||||||
Net (charge-offs) recoveries |
(382 |
) |
(353 |
) |
(504 |
) |
(841 |
) |
(200 |
) |
|||||||||
Allowance for credit losses on loans at end of the period |
$ |
29,168 |
$ |
27,554 |
$ |
26,238 |
$ |
25,449 |
$ |
24,764 |
|||||||||
11
Ponce Financial Group, Inc. and Subsidiaries
Deposits
As of |
||||||||||||||||||||||||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
||||||||||||||||||||||||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
||||||||||||||||||||||||||||||||||||
Amount |
Percent |
Amount |
Percent |
Amount |
Percent |
Amount |
Percent |
Amount |
Percent |
|||||||||||||||||||||||||||||||
(Dollars in thousands) |
||||||||||||||||||||||||||||||||||||||||
Demand |
$ |
244,860 |
10.34 |
% |
$ |
251,919 |
11.10 |
% |
$ |
241,012 |
11.29 |
% |
$ |
208,250 |
10.18 |
% |
$ |
192,595 |
9.34 |
% |
||||||||||||||||||||
Interest-bearing deposits: |
||||||||||||||||||||||||||||||||||||||||
NOW/IOLA accounts |
76,392 |
3.23 |
% |
71,987 |
3.17 |
% |
78,192 |
3.66 |
% |
84,012 |
4.10 |
% |
75,051 |
3.64 |
% |
|||||||||||||||||||||||||
Money market accounts |
898,719 |
37.96 |
% |
929,002 |
40.89 |
% |
811,982 |
38.05 |
% |
779,532 |
38.09 |
% |
821,844 |
39.84 |
% |
|||||||||||||||||||||||||
Reciprocal deposits |
188,016 |
7.94 |
% |
164,883 |
7.26 |
% |
162,926 |
7.64 |
% |
152,630 |
7.46 |
% |
154,548 |
7.49 |
% |
|||||||||||||||||||||||||
Savings accounts |
118,727 |
5.01 |
% |
115,233 |
5.07 |
% |
118,373 |
5.55 |
% |
117,708 |
5.75 |
% |
117,401 |
5.69 |
% |
|||||||||||||||||||||||||
Total NOW, money market, reciprocal and savings accounts |
1,281,854 |
54.14 |
% |
1,281,105 |
56.39 |
% |
1,171,473 |
54.90 |
% |
1,133,882 |
55.40 |
% |
1,168,844 |
56.66 |
% |
|||||||||||||||||||||||||
Certificates of deposit of $250K or more |
202,702 |
8.56 |
% |
194,462 |
8.56 |
% |
258,093 |
12.10 |
% |
202,500 |
9.89 |
% |
209,819 |
10.17 |
% |
|||||||||||||||||||||||||
Brokered certificates of deposit (1) |
144,569 |
6.11 |
% |
94,557 |
4.16 |
% |
54,553 |
2.56 |
% |
67,942 |
3.32 |
% |
67,952 |
3.29 |
% |
|||||||||||||||||||||||||
Listing service deposits (1) |
994 |
0.04 |
% |
994 |
0.04 |
% |
1,243 |
0.06 |
% |
4,150 |
0.20 |
% |
4,150 |
0.20 |
% |
|||||||||||||||||||||||||
All other certificates of deposit less than $250K |
492,729 |
20.81 |
% |
448,772 |
19.75 |
% |
407,421 |
19.09 |
% |
429,911 |
21.01 |
% |
419,721 |
20.34 |
% |
|||||||||||||||||||||||||
Total certificates of deposit |
840,994 |
35.52 |
% |
738,785 |
32.51 |
% |
721,310 |
33.81 |
% |
704,503 |
34.42 |
% |
701,642 |
34.00 |
% |
|||||||||||||||||||||||||
Total interest-bearing deposits |
2,122,848 |
89.66 |
% |
2,019,890 |
88.90 |
% |
1,892,783 |
88.71 |
% |
1,838,385 |
89.82 |
% |
1,870,486 |
90.66 |
% |
|||||||||||||||||||||||||
Total deposits |
$ |
2,367,708 |
100.00 |
% |
$ |
2,271,809 |
100.00 |
% |
$ |
2,133,795 |
100.00 |
% |
$ |
2,046,635 |
100.00 |
% |
$ |
2,063,081 |
100.00 |
% |
||||||||||||||||||||
At September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025, there were no individual listing service deposits amounting to $250,000 or more, and no individual brokered certificates of deposits amounting to $250,000 or more.
12
Ponce Financial Group, Inc. and Subsidiaries
Nonperforming Assets
As of |
|||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
|||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
|||||||||||||||
(Dollars in thousands) |
|||||||||||||||||||
Non-accrual loans: |
|||||||||||||||||||
Mortgage loans: |
|||||||||||||||||||
1-4 family residential |
$ |
2,767 |
$ |
5,843 |
$ |
3,158 |
$ |
4,427 |
$ |
3,176 |
|||||||||
Multifamily residential |
11,100 |
12,133 |
9,228 |
13,112 |
14,202 |
||||||||||||||
Nonresidential properties |
— |
— |
— |
— |
— |
||||||||||||||
Construction and land |
4,100 |
5,040 |
7,061 |
8,247 |
8,907 |
||||||||||||||
Non-mortgage loans: |
|||||||||||||||||||
Business |
146 |
77 |
427 |
667 |
880 |
||||||||||||||
Consumer |
— |
— |
— |
— |
— |
||||||||||||||
Total non-accrual loans (not including non-accruing modifications to borrowers experiencing financial difficulty) (1) |
$ |
18,113 |
$ |
23,093 |
$ |
19,874 |
$ |
26,453 |
$ |
27,165 |
|||||||||
Non-accruing modifications to borrowers experiencing financial difficulty (1): |
|||||||||||||||||||
Mortgage loans: |
|||||||||||||||||||
1-4 family residential |
483 |
475 |
477 |
410 |
698 |
||||||||||||||
Total non-accruing modifications to borrowers experiencing financial difficulty (1) |
483 |
475 |
477 |
410 |
698 |
||||||||||||||
Total non-performing assets (2) |
$ |
18,596 |
$ |
23,568 |
$ |
20,351 |
$ |
26,863 |
$ |
27,863 |
|||||||||
Accruing modifications to borrowers experiencing financial difficulty (1): |
|||||||||||||||||||
Mortgage loans: |
|||||||||||||||||||
1-4 family residential |
2,431 |
2,456 |
2,481 |
2,574 |
3,725 |
||||||||||||||
Nonresidential properties |
598 |
618 |
613 |
621 |
629 |
||||||||||||||
Non-mortgage loans: |
|||||||||||||||||||
Business |
168 |
175 |
185 |
190 |
196 |
||||||||||||||
Total accruing modifications to borrowers experiencing financial difficulty (1) |
$ |
3,197 |
$ |
3,249 |
$ |
3,279 |
$ |
3,385 |
$ |
4,550 |
|||||||||
Total non-performing assets and accruing modifications to borrowers experiencing financial difficulty (1) |
$ |
21,793 |
$ |
26,817 |
$ |
23,630 |
$ |
30,248 |
$ |
32,413 |
|||||||||
Total non-performing assets to total assets |
0.50 |
% |
0.67 |
% |
0.62 |
% |
0.83 |
% |
0.88 |
% |
|||||||||
(1) Balances include both modifications to borrowers experiencing financial difficulty, in accordance with ASU 2022-02 adopted on January 1, 2023, and previously existing troubled debt restructurings.
(2) Includes nonperforming mortgage loans held for sale.
13
Ponce Financial Group, Inc. and Subsidiaries
Average Balance Sheets
For the Three Months Ended September 30, |
|||||||||||||||||||
2026 |
2025 |
||||||||||||||||||
Average |
Average |
||||||||||||||||||
Outstanding |
Average |
Outstanding |
Average |
||||||||||||||||
Balance |
Interest |
Yield/Rate (1) |
Balance |
Interest |
Yield/Rate (1) |
||||||||||||||
(Dollars in thousands) |
|||||||||||||||||||
Interest-earning assets: |
|||||||||||||||||||
Loans (2) |
$ |
3,025,085 |
$ |
52,910 |
6.94% |
$ |
2,499,268 |
$ |
41,486 |
6.59% |
|||||||||
Securities (3) |
332,919 |
3,067 |
3.65% |
418,513 |
3,913 |
3.71% |
|||||||||||||
Other (4) |
133,827 |
1,527 |
4.53% |
119,262 |
1,448 |
4.82% |
|||||||||||||
Total interest-earning assets |
3,491,831 |
57,504 |
6.53% |
3,037,043 |
46,847 |
6.12% |
|||||||||||||
Non-interest-earning assets |
97,667 |
96,095 |
|||||||||||||||||
Total assets |
$ |
3,589,498 |
$ |
3,133,138 |
|||||||||||||||
Interest-bearing liabilities: |
|||||||||||||||||||
NOW/IOLA |
$ |
76,801 |
$ |
145 |
0.75% |
$ |
78,526 |
$ |
137 |
0.69% |
|||||||||
Money market |
1,109,784 |
10,254 |
3.67% |
958,277 |
9,831 |
4.07% |
|||||||||||||
Savings |
119,109 |
31 |
0.10% |
119,159 |
28 |
0.09% |
|||||||||||||
Certificates of deposit |
794,477 |
7,313 |
3.65% |
698,019 |
6,553 |
3.72% |
|||||||||||||
Total deposits |
2,100,171 |
17,743 |
3.35% |
1,853,981 |
16,549 |
3.54% |
|||||||||||||
Borrowings |
624,361 |
5,772 |
3.67% |
521,100 |
5,050 |
3.84% |
|||||||||||||
Total interest-bearing liabilities |
2,724,532 |
23,515 |
3.42% |
2,375,081 |
21,599 |
3.61% |
|||||||||||||
Non-interest-bearing liabilities: |
|||||||||||||||||||
Non-interest-bearing demand |
251,823 |
— |
199,922 |
— |
|||||||||||||||
Other non-interest-bearing liabilities |
43,730 |
— |
31,406 |
— |
|||||||||||||||
Total non-interest-bearing liabilities |
295,553 |
— |
231,328 |
— |
|||||||||||||||
Total liabilities |
3,020,085 |
23,515 |
2,606,409 |
21,599 |
|||||||||||||||
Total equity |
569,413 |
526,729 |
|||||||||||||||||
Total liabilities and total equity |
$ |
3,589,498 |
3.42% |
$ |
3,133,138 |
3.61% |
|||||||||||||
Net interest income |
$ |
33,989 |
$ |
25,248 |
|||||||||||||||
Net interest rate spread (5) |
3.11% |
2.51% |
|||||||||||||||||
Net interest-earning assets (6) |
$ |
767,299 |
$ |
661,962 |
|||||||||||||||
Net interest margin (7) |
3.86% |
3.30% |
|||||||||||||||||
Average interest-earning assets to interest-bearing liabilities |
128.16% |
127.87% |
|||||||||||||||||
Annualized where appropriate.
Loans include loans and mortgage loans held for sale, at fair value.
Securities include available-for-sale securities and held-to-maturity securities.
Includes FHLBNY demand account, FHLBNY stock dividends and FRBNY demand deposits.
Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.
Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.
Net interest margin represents net interest income divided by average total interest-earning assets.
14
Ponce Financial Group, Inc. and Subsidiaries
Average Balance Sheets
For the Nine Months Ended September 30, |
|||||||||||||||||||||||
2026 |
2025 |
||||||||||||||||||||||
Average |
Average |
||||||||||||||||||||||
Outstanding |
Average |
Outstanding |
Average |
||||||||||||||||||||
Balance |
Interest |
Yield/Rate (1) |
Balance |
Interest |
Yield/Rate (1) |
||||||||||||||||||
(Dollars in thousands) |
|||||||||||||||||||||||
Interest-earning assets: |
|||||||||||||||||||||||
Loans (2) |
$ |
2,836,725 |
$ |
143,727 |
6.77 |
% |
$ |
2,439,280 |
$ |
118,913 |
6.52 |
% |
|||||||||||
Securities (3) |
346,223 |
9,474 |
3.66 |
% |
445,130 |
12,680 |
3.81 |
% |
|||||||||||||||
Other (4) |
136,792 |
4,617 |
4.51 |
% |
135,600 |
5,111 |
5.04 |
% |
|||||||||||||||
Total interest-earning assets |
3,319,740 |
157,818 |
6.36 |
% |
3,020,010 |
136,704 |
6.05 |
% |
|||||||||||||||
Non-interest-earning assets |
96,477 |
103,059 |
|||||||||||||||||||||
Total assets |
$ |
3,416,217 |
$ |
3,123,069 |
|||||||||||||||||||
Interest-bearing liabilities: |
|||||||||||||||||||||||
NOW/IOLA |
$ |
76,737 |
$ |
397 |
0.69 |
% |
$ |
73,034 |
$ |
352 |
0.64 |
% |
|||||||||||
Money market |
1,029,534 |
28,120 |
3.65 |
% |
884,115 |
27,172 |
4.11 |
% |
|||||||||||||||
Savings |
120,029 |
87 |
0.10 |
% |
118,656 |
84 |
0.09 |
% |
|||||||||||||||
Certificates of deposit |
752,638 |
20,513 |
3.64 |
% |
754,531 |
21,689 |
3.84 |
% |
|||||||||||||||
Total deposits |
1,978,938 |
49,117 |
3.32 |
% |
1,830,336 |
49,297 |
3.60 |
% |
|||||||||||||||
Borrowings |
594,800 |
16,425 |
3.69 |
% |
536,851 |
15,530 |
3.87 |
% |
|||||||||||||||
Total interest-bearing liabilities |
2,573,738 |
65,542 |
3.40 |
% |
2,367,187 |
64,827 |
3.66 |
% |
|||||||||||||||
Non-interest-bearing liabilities: |
|||||||||||||||||||||||
Non-interest-bearing demand |
239,239 |
— |
199,978 |
— |
|||||||||||||||||||
Other non-interest-bearing liabilities |
44,440 |
— |
37,206 |
— |
|||||||||||||||||||
Total non-interest-bearing liabilities |
283,679 |
— |
237,184 |
— |
|||||||||||||||||||
Total liabilities |
2,857,417 |
65,542 |
2,604,371 |
64,827 |
|||||||||||||||||||
Total equity |
558,800 |
518,698 |
|||||||||||||||||||||
Total liabilities and total equity |
$ |
3,416,217 |
3.40 |
% |
$ |
3,123,069 |
3.66 |
% |
|||||||||||||||
Net interest income |
$ |
92,276 |
$ |
71,877 |
|||||||||||||||||||
Net interest rate spread (5) |
2.96 |
% |
2.39 |
% |
|||||||||||||||||||
Net interest-earning assets (6) |
$ |
746,002 |
$ |
652,823 |
|||||||||||||||||||
Net interest margin (7) |
3.72 |
% |
3.18 |
% |
|||||||||||||||||||
Average interest-earning assets to |
|||||||||||||||||||||||
interest-bearing liabilities |
128.99 |
% |
127.58 |
% |
|||||||||||||||||||
Annualized where appropriate.
Loans include loans and mortgage loans held for sale, at fair value.
Securities include available-for-sale securities and held-to-maturity securities.
Includes FHLBNY demand account, FHLBNY stock dividends and FRBNY demand deposits.
Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.
Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.
Net interest margin represents net interest income divided by average total interest-earning assets.
15
Ponce Financial Group, Inc. and Subsidiaries
Other Data
As of |
|||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
|||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
|||||||||||||||
Other Data |
|||||||||||||||||||
Common shares issued |
24,886,711 |
24,886,711 |
24,886,711 |
24,886,711 |
24,886,711 |
||||||||||||||
Less treasury shares |
698,810 |
698,810 |
698,810 |
750,785 |
885,586 |
||||||||||||||
Common shares outstanding at end of period |
24,187,901 |
24,187,901 |
24,187,901 |
24,135,926 |
24,001,125 |
||||||||||||||
Book value per common share |
$ |
14.60 |
$ |
13.89 |
$ |
13.49 |
$ |
13.12 |
$ |
12.70 |
|||||||||
Tangible book value per common share (1) |
$ |
14.60 |
$ |
13.89 |
$ |
13.49 |
$ |
13.12 |
$ |
12.70 |
|||||||||
Tangible book value per common share is a non-GAAP financial measure and is calculated by dividing tangible common equity by common shares outstanding. Tangible common equity is defined as total common shareholders’ equity less goodwill and other intangible assets, net of applicable deferred taxes. The Company believes that tangible book value per common share is a useful measure for investors, regulators, and analysts because it reflects the Company’s capital position excluding the impact of goodwill and other intangible assets, which may not be realizable in a liquidation scenario. This measure is commonly used in the banking industry to assess financial condition and capital adequacy. Tangible book value per common share should not be considered a substitute for book value per common share, which is calculated in accordance with GAAP, and the Company’s definition of tangible book value per common share may differ from similarly titled measures used by other companies. During the periods presented, the Company did not make any adjustments for goodwill and other intangible assets, so tangible book value per common share is equal to the book value per common share as calculated in accordance with GAAP.
16