Executive Snapshot:
-- Financial results:
-- Key metrics for the third quarter 2025 compared to the third
quarter of 2024:
-- Net income of $16.3 million, or $0.86 diluted earnings per
share, increased 26.3% compared to $12.9 million, or $0.68
diluted earnings per share
-- Net interest margin of 2.79%, up 18 basis points from 2.61%
-- Return on Average Assets of 1.02%, up 21.4%
-- Return on Average Equity of 9.29%, up 20.0%
-- Net interest income of $43.1 million, up 11.5% from $38.7
million
-- Average loans were up $125.9 million
-- Average deposits were up $251.1 million
-- Capital position and Stock Repurchase Program:
-- Book value per share as of September 30, 2025 was $37.30, up from
$35.19 as of September 30, 2024
-- 467 thousand shares, or 2.5%, of TrustCo common stock were
purchased under the stock repurchase program during 2025. We have
an additional 533 thousand, or 2.8% of our outstanding shares,
available for future repurchases under the stock repurchase
program.
-- Continued Improvement in Credit Quality:
-- Nonperforming loans (NPLs) declined to $18.5 million as of
September 30, 2025, from $19.4 million as of September 30, 2024,
and continue to remain at low levels
-- NPLs to total loans decreased to 0.36% as of September 30, 2025
compared to 0.38% as of September 30, 2024
-- Nonperforming assets (NPAs) to total assets was reduced to 0.31%
as of September 30, 2025 compared to 0.36% as of September 30,
2024
GLENVILLE, N.Y., Oct. 21, 2025 (GLOBE NEWSWIRE) --
TrustCo Bank Corp NY (TrustCo, NASDAQ: TRST) today announced strong financial results for the third quarter of 2025 highlighted by a substantial increase in net interest income, continued margin expansion, and sustained loan and deposit growth across key portfolios. For the three months ended September 30, 2025, net interest income increased 11.5% year over year to $43.1 million, fueled by the continued repricing of the loan portfolio to higher yields and careful control of deposit costs, despite persistent competitive challenges. For the three months ended September 30, 2025, net interest margin expanded to 2.79% from 2.61% in the prior year period, driven by enhanced asset yields and disciplined deposit pricing strategies. This resulted in third quarter 2025 net income of $16.3 million or $0.86 diluted earnings per share, compared to net income of $12.9 million or $0.68 diluted earnings per share for the third quarter 2024; and net income of $45.6 million or $2.41 diluted earnings per share for the nine months ended September 30, 2025, compared to net income of $37.6 million or $1.97 diluted earnings per share for the nine months ended September 30, 2024. Loan balances expanded throughout the quarter, with total average loans increasing $125.9 million or 2.5% for the third quarter 2025 over the same period in 2024. Following a period of sustained growth, TrustCo remains confident in the quality of its loan portfolio amid broader market concerns. Our continued focus on solid underwriting within our loan portfolio and conservative lending standards positions us to manage credit risk effectively in the current environment.
Overview
Chairman, President, and CEO, Robert J. McCormick said, "Solid strategic vision accompanied by effective tactical decisions throughout the year are combining to create exceptional results and build momentum that we expect will continue to yield favorable returns to our shareholders. Our strategy is to deliver market-leading loan and deposit products, treat people fairly, and build lasting customer relationships. Tactically, we have held the line on cost of funds, grown loans and deposits, and meaningfully impacted our customers and communities through our service to food banks, the Ronald McDonald House Charities, various Veteran groups, and hospitals. The impact is dramatic. Return metrics are up significantly year to date, with ROAA, and ROAE up 18%, and 15%, respectively. Perhaps most dramatically, we impacted shareholder value by executing our share repurchase program, acquiring 467 thousand shares, with authorization remaining. This contributed to earnings per share growth of 22% year to date. A lesser company would be proud to have results like these for the entire year. Staying true to strategic vision consistently yields dividends, literally."
Details
As the year progresses we expect to continue to see meaningful net interest income upside for quarters to come. The Bank's loan and investment portfolios continue to reprice upward as lower yielding assets mature and are replaced with higher rate loan originations and bond purchases, driving steady improvement in overall asset yields. We believe that this ongoing repricing reflects disciplined loan production aligned with current market conditions. Complementing this, the Bank maintains a strong liquidity position, providing flexibility to support future growth while navigating evolving funding dynamics. Together, these factors position the Bank to sustain healthy net interest income growth in the coming quarters and deliver long-term value to shareholders. Net interest income was $43.1 million for the third quarter 2025, an increase of $4.4 million, or 11.5%, compared to the third quarter of 2024, driven by loan growth at higher interest rates, and an increase in interest income on federal funds sold and other short-term investments. The net interest margin for the third quarter 2025 was 2.79%, up 18 basis points from 2.61% in the third quarter of 2024. The yield on interest earnings assets increased to 4.25% in the third quarter of 2025, up 14 basis points from 4.11% in the third quarter of 2024. The cost of interest bearing liabilities decreased to 1.90% in the third quarter 2025, down from 1.94% in the third quarter 2024.
Average loans were up $125.9 million, or 2.5%, in the third quarter 2025 over the same period in 2024. Average residential loans and HECLs, our primary lending focus, were up $34.0 million, or 0.8%, and $59.9 million, or 15.7%, respectively, in the third quarter 2025 over the same period in 2024. Average commercial loans also increased $34.6 million, or 12.4%, in the third quarter 2025 over the same period in 2024. We believe that this upward trend reflects improving economic confidence among borrowers, strong credit quality, and the Bank's focus on relationship lending. The sustained growth in the loan portfolio will likely enhance net interest income in the quarters ahead. Average deposits were up $251.1 million, or 4.8%, for the third quarter 2025 over the same period in 2024, primarily as a result of an increase in time deposits, interest bearing checking accounts, and demand deposits. The Bank's continued emphasis on relationship banking, combined with competitive product offerings and digital capabilities, has contributed to a stable deposit base that supports ongoing loan growth and expansion.
During the third quarter of 2025, the Bank has remained a prudent steward of capital, steadfastly committed to enhancing shareholder value through a disciplined strategic share repurchase program. This reflects our confidence in the long-term strength of the franchise and our focus on capital optimization. For the three and nine months ended September 30, 2025, TrustCo purchased 298 thousand, or 1.6%, and 467 thousand, or 2.5%, respectively, of total shares outstanding of TrustCo common stock under the previously announced stock repurchase program. As a result, we have 533 thousand, or 2.8%, of outstanding shares available for repurchase remaining in this program, which if completed will represent a repurchase of one million shares, or 5.3%, of total outstanding shares. Our approach ensures every dollar of capital is working to generate solid returns, strengthen customer relationships, and enhance shareholder value. As of September 30, 2025, our equity to asset ratio was 10.90%, compared to 10.95% as of September 30, 2024. Book value per share as of September 30, 2025 was $37.30, up 6.0% compared to $35.19 as of a year earlier.
Asset quality remains strong and has been consistent over the past twelve months. TrustCo recorded a provision for credit losses on loans of $250 thousand in the third quarter of 2025, compared to $500 thousand for the same period in 2024. For the three months ended September 30, 2025 the provision for credit losses was the result of a provision for credit losses on loans of $450 thousand, and a benefit for credit losses on unfunded commitments of $200 thousand. The ratio of allowance for credit losses on loans to total loans was 1.00% and 0.99% as of September 30, 2025 and 2024, respectively. The allowance for credit losses on loans was $51.9 million as of September 30, 2025, compared to $50.0 million as of September 30, 2024. Nonperforming loans (NPLs) were $18.5 million as of September 30, 2025, compared to $19.4 million as of September 30, 2024. NPLs were 0.36% and 0.38% of total loans as of September 30, 2025 and 2024, respectively. The coverage ratio, or allowance for credit losses on loans to NPLs, was 280.8% as of September 30, 2025, compared to 256.9% as of September 30, 2024. Nonperforming assets (NPAs) were $19.7 million as of September 30, 2025, compared to $21.9 million as of September 30, 2024.
A conference call to discuss third quarter 2025 results will be held at 9:00 a.m. Eastern Time on October 22, 2025. Those wishing to participate in the call may dial toll-free for the United States at 1-833-470-1428, and for Canada at 1-833-950-0062, Access code 142665. A replay of the call will be available for thirty days by dialing toll-free for the United States at 1-866-813-9403, Access code 156241. The call will also be audio webcast at https://events.q4inc.com/attendee/516669384, and will be available for one year.
About TrustCo Bank Corp NY
TrustCo Bank Corp NY is a $6.3 billion savings and loan holding company and through its subsidiary, Trustco Bank, operated 136 offices in New York, New Jersey, Vermont, Massachusetts, and Florida as of September 30, 2025.
In addition, the Bank's Wealth Management Department offers a full range of investment services, retirement planning and trust and estate administration services. The common shares of TrustCo are traded on the NASDAQ Global Select Market under the symbol TRST.
Forward-Looking Statements
All statements in this news release and the related earnings call that are not historical are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "will" and similar references to future development, results or periods. Examples of forward-looking statements include, among others, statements we make regarding our expectations for our future performance, including our expectations regarding net interest income for future quarters; the impact of our loan portfolio's growth, as well as the continued repricing of our loan and investment portfolios, on net interest income; and the anticipated effects of our capital management strategy, including our stock repurchase program. Forward-looking statements are based on management's current expectations as well as certain assumptions and estimates made by, and information available to, management at the time the statements are made. Such forward-looking statements are subject to factors and uncertainties that could cause actual results to differ materially for TrustCo from the views, beliefs and projections expressed in such statements. TrustCo wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made. The following important factors, among others, in some cases have affected and in the future could affect TrustCo's actual results and could cause TrustCo's actual financial performance to differ materially from that expressed in any forward-looking statement: future changes in interest rates; external economic factors, such as changes in monetary policy, ongoing inflationary pressures and continued elevated prices; exposure to credit risk in our lending activities; the risk of weakness in residential real estate markets; our increasing commercial loan portfolio; the sufficiency of our allowance for credit losses on loans to cover actual loan losses; our ability to meet the cash flow requirements of our depositors or borrowers or meet our operating cash needs to fund corporate expansion and other activities; claims and litigation pertaining to fiduciary responsibility and lender liability; the enforcement of federal cannabis laws and regulations and its impact on our ability to provide services in the cannabis industry; our dependency upon the services of the management team; our disclosure controls and procedures' ability to prevent or detect errors or acts of fraud; the adequacy of our business continuity and disaster recovery plans; the effectiveness of our risk management framework; the impact of any expansion by us into new lines of business or new products and services; an increase in the prevalence of fraud and other financial crimes; the impact of severe weather events and climate change on us and the communities we serve, including societal responses to climate change; environmental, social and governance risks, as well as diversity, equity, and inclusion-related risks, and their impact on our reputation and relationships; the chance of a prolonged economic downturn, especially one affecting our geographic market area; instability in global economic conditions and geopolitical matters, as well as volatility in financial markets; the soundness of other financial institutions; U.S. government shutdowns, credit rating downgrades, or failure to increase the debt ceiling; fluctuations in the trust wealth management fees we receive as a result of investment performance; the impact of regulatory capital rules on our growth; changes in laws and regulations, including changes in cybersecurity or privacy regulations; restrictions on data collection and use; our compliance with the USA PATRIOT Act, Bank Secrecy Act, and other laws and regulations that could result in material fines or sanctions; changes in tax laws; limitations on our ability to pay dividends; TrustCo Realty Corp.'s ability to qualify as a real estate investment trust; changes in accounting standards; competition within our market areas; consumers and businesses' use of non-banks to complete financial transactions; our reliance on third-party service providers; the impact of data breaches and cyber-attacks; the development and use of artificial intelligence; the impact of a failure in or breach of our operational or security systems or infrastructure, or those of third parties; the impact of an unauthorized disclosure of sensitive or confidential client or customer information; the impact of interruptions in the effective operation of our computer systems; the impact of anti-takeover provisions in our organizational documents; the impact of the manner in which we allocate capital; and other risks and uncertainties set forth in our public filings made with the Securities and Exchange Commission (the "SEC"), including our most recent Annual Report on Form 10-K for the year ended December 31, 2024, our Quarterly Reports on Form 10-Q for the quarters ended March 31, 2025 and June 30, 2025, and our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2025 to be filed with the SEC. The forward-looking statements contained in this news release represent TrustCo management's judgment as of the date of this news release. TrustCo disclaims, however, any intent or obligation to update forward-looking statements, either as a result of future developments, new information or otherwise, except as may be required by law.
Subsidiary: Trustco Bank
Contact:
Robert Leonard
Executive Vice President
(518) 381-3693
TRUSTCO BANK CORP NY
GLENVILLE, NY
FINANCIAL HIGHLIGHTS
(dollars in thousands, except per share data)
(Unaudited)
Three months ended
9/30/2025 6/30/2025 9/30/2024
Summary of operations
Net interest income $ 43,119 $ 41,746 $ 38,671
Provision for credit losses 250 650 500
Net gains on equity
securities - - 23
Noninterest income, excluding
net gains on equity
securities 4,689 4,852 4,908
Noninterest expense 26,242 26,223 26,200
Net income 16,258 15,039 12,875
Per share
Net income per share:
- Basic $ 0.87 $ 0.79 $ 0.68
- Diluted 0.86 0.79 0.68
Cash dividends 0.38 0.36 0.36
Book value at period end 37.30 36.75 35.19
Market price at period end 36.30 33.42 33.07
At period end
Full time equivalent
employees 738 733 735
Full service banking offices 136 136 138
Performance ratios
Return on average assets 1.02 % 0.96 % 0.84 %
Return on average equity 9.29 8.73 7.74
Efficiency ratio (GAAP) 54.89 56.27 60.09
Adjusted Efficiency ratio (1) 54.87 55.15 59.65
Net interest spread 2.35 2.28 2.17
Net interest margin 2.79 2.71 2.61
Dividend payout ratio 43.68 45.27 53.16
Capital ratios at period
end
Consolidated equity to assets 10.90 % 10.91 % 10.95 %
Consolidated tangible equity
to tangible assets (1) 10.89 % 10.91 % 10.94 %
Asset quality analysis at
period end
Nonperforming loans to total
loans 0.36 % 0.35 % 0.38 %
Nonperforming assets to total
assets 0.31 0.30 0.36
Allowance for credit losses
on loans to total loans 1.00 0.99 0.99
Coverage ratio (2) 2.8x 2.9x 2.6x
(1) Non-GAAP Financial Measure, see Non-GAAP Financial
Measures Reconciliation.
(2) Calculated as allowance for credit losses on loans
divided by total nonperforming loans.
FINANCIAL HIGHLIGHTS,
Continued
(dollars in thousands,
except per share data)
(Unaudited)
Nine Months Ended
09/30/25 09/30/24
Summary of operations
Net interest income $ 125,238 $ 113,037
Provision for credit losses 1,200 1,600
Net gains on equity
securities - 1,383
Noninterest income, excluding
net gains on equity
securities 14,515 14,042
Noninterest expense 78,794 77,562
Net income 45,572 37,552
Per share
Net income per share:
- Basic $ 2.41 $ 1.97
- Diluted 2.41 1.97
Cash dividends 1.10 1.08
Book value at period end 37.30 35.19
Market price at period end 36.30 33.07
Performance ratios
Return on average assets 0.97 % 0.82 %
Return on average equity 8.84 7.68
Efficiency ratio (GAAP) 56.38 60.80
Adjusted Efficiency ratio (1) 55.98 60.80
Net interest spread 2.28 2.08
Net interest margin 2.71 2.52
Dividend payout ratio 45.55 54.70
(1) Non-GAAP Financial Measure, see Non-GAAP Financial
Measures Reconciliation.
CONSOLIDATED STATEMENTS OF INCOME
(dollars in thousands,
except per share data)
(Unaudited)
Three months ended
9/30/2025 6/30/2025 3/31/2025 12/31/2024 9/30/2024
Interest and dividend
income:
Interest and fees on loans $ 55,953 $ 54,557 $ 53,450 $ 53,024 $ 52,112
Interest and dividends on
securities available for
sale:
U. S. government sponsored
enterprises 599 614 596 680 718
State and political
subdivisions 1 - - - -
Mortgage-backed
securities and
collateralized mortgage
obligations - residential 1,583 1,613 1,483 1,418 1,397
Corporate bonds 265 210 260 358 361
Small Business
Administration -
guaranteed
participation securities 72 75 81 84 90
Other securities 7 8 7 6 2
Total interest and dividends
on securities available for
sale 2,527 2,520 2,427 2,546 2,568
--------- --------- --------- --------- ---------
Interest on held to
maturity securities:
obligations - residential 52 54 57 59 62
Total interest on held to
maturity securities 52 54 57 59 62
--------- --------- --------- --------- ---------
Federal Home Loan Bank stock 125 129 151 152 153
Interest on federal funds sold
and other short-term
investments 7,376 7,212 6,732 6,128 6,174
Total interest income 66,033 64,472 62,817 61,909 61,069
--------- --------- --------- --------- ---------
Interest expense:
Interest on deposits:
Interest-bearing checking 483 536 558 397 311
Savings 741 733 734 719 770
Money market deposit
accounts 2,065 2,086 1,989 2,024 2,154
Time deposits 19,427 19,195 18,983 19,680 18,969
Interest on short-term
borrowings 198 176 180 187 194
Total interest expense 22,914 22,726 22,444 23,007 22,398
--------- --------- --------- --------- ---------
Net interest income 43,119 41,746 40,373 38,902 38,671
Less: Provision for credit
losses 250 650 300 400 500
Net interest income after
provision for credit losses 42,869 41,096 40,073 38,502 38,171
Noninterest income:
Trustco Financial Services
income 1,967 1,818 2,120 1,778 2,044
Fees for services to
customers 2,429 2,266 2,645 2,226 2,482
Net gains on equity
securities - - - - 23
Other 293 768 209 405 382
Total noninterest income 4,689 4,852 4,974 4,409 4,931
--------- --------- --------- --------- ---------
Noninterest expenses:
Salaries and employee
benefits 12,727 11,876 11,894 12,068 12,134
Net occupancy expense 4,470 4,518 4,554 4,563 4,271
Equipment expense 1,938 1,918 1,944 2,404 1,757
Professional services 1,571 1,886 1,726 1,782 1,863
Outsourced services 2,492 2,460 2,700 3,051 2,551
Advertising expense 290 304 361 590 339
FDIC and other insurance 1,052 1,136 1,188 1,113 1,112
Other real estate expense,
net 8 522 28 476 204
Other 1,694 1,603 1,934 2,118 1,969
Total noninterest expenses 26,242 26,223 26,329 28,165 26,200
--------- --------- --------- --------- ---------
Income before taxes 21,316 19,725 18,718 14,746 16,902
Income taxes 5,058 4,686 4,443 3,465 4,027
Net income $ 16,258 $ 15,039 $ 14,275 $ 11,281 $ 12,875
Net income per common
share:
- Basic $ 0.87 $ 0.79 $ 0.75 $ 0.59 $ 0.68
- Diluted 0.86 0.79 0.75 0.59 0.68
Average basic shares (in
thousands) 18,755 18,965 19,020 19,015 19,010
Average diluted shares (in
thousands) 18,805 18,994 19,044 19,045 19,036
CONSOLIDATED STATEMENTS OF INCOME, Continued
(dollars in thousands, except per share data)
(Unaudited)
Nine Months Ended
09/30/25 09/30/24
Interest and dividend
income:
Interest and fees on
loans $ 163,960 152,576
Interest and dividends on
securities available for
sale:
U. S. government sponsored
enterprises 1,809 2,533
State and political
subdivisions 1 1
Mortgage-backed
securities and
collateralized mortgage
obligations - residential 4,679 4,342
Corporate bonds 735 1,199
Small Business
Administration -
guaranteed
participation securities 228 284
Other securities 22 7
Total interest and
dividends on securities
available for sale 7,474 8,366
--------- ---------
Interest on held to
maturity securities:
Mortgage-backed
securities-residential 163 195
Total interest on held to
maturity securities 163 195
--------- ---------
Federal Home Loan Bank stock 405 452
Interest on federal funds sold
and other short-term
investments 21,320 19,818
Total interest income 193,322 181,407
--------- ---------
Interest expense:
Interest on deposits:
Interest-bearing checking 1,577 839
Savings 2,208 2,157
Money market deposit
accounts 6,140 6,724
Time deposits 57,605 58,046
Interest on short-term
borrowings 554 604
Total interest expense 68,084 68,370
Net interest income 125,238 113,037
Less: Provision for credit
losses 1,200 1,600
Net interest income after
provision for credit losses 124,038 111,437
--------- ---------
Noninterest income:
Trustco Financial Services
income 5,905 5,469
Fees for services to
customers 7,340 7,626
Net gains on equity
securities - 1,383
Other 1,270 947
Total noninterest income 14,515 15,425
--------- ---------
Noninterest expenses:
Salaries and employee
benefits 36,497 36,081
Net occupancy expense 13,542 13,257
Equipment expense 5,800 5,485
Professional services 5,183 4,893
Outsourced services 7,652 7,807
Advertising expense 955 1,213
FDIC and other insurance 3,376 3,003
Other real estate expense,
net 558 294
Other 5,231 5,529
Total noninterest expenses 78,794 77,562
--------- ---------
Income before taxes 59,759 49,300
Income taxes 14,187 11,748
Net income $ 45,572 37,552
Net income per common
share:
- Basic $ 2.41 1.97
- Diluted 2.41 1.97
Average basic shares (in
thousands) 18,912 19,019
Average diluted shares (in
thousands) 18,947 19,034
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(dollars in thousands)
(Unaudited)
9/30/2025 6/30/2025 3/31/2005 12/31/2024 9/30/2024
ASSETS:
Cash and due from banks $ 42,026 $ 45,218 $ 48,782 $ 47,364 $ 49,659
Federal funds sold and other
short term investments 653,530 668,373 707,355 594,448 473,306
Total cash and cash
equivalents 695,556 713,591 756,137 641,812 522,965
Securities available for
sale:
U. S. government sponsored
enterprises 51,557 71,241 65,942 85,617 90,588
States and political
subdivisions 18 18 18 18 26
Mortgage-backed
securities and
collateralized mortgage
obligations - residential 215,466 221,721 219,333 213,128 222,841
Small Business
Administration -
guaranteed
participation securities 12,330 12,945 13,683 14,141 15,171
Corporate bonds 39,800 29,943 24,779 44,581 54,327
Other securities 701 698 698 700 701
Total securities available
for sale 319,872 336,566 324,453 358,185 383,654
Held to maturity
securities:
Mortgage-backed
securities and
collateralized mortgage
obligations-residential 4,593 4,836 5,090 5,365 5,636
Total held to maturity
securities 4,593 4,836 5,090 5,365 5,636
Federal Reserve Bank and
Federal Home Loan Bank stock 6,601 6,601 6,507 6,507 6,507
Loans:
Commercial 311,491 314,273 302,753 286,857 280,261
Residential mortgage loans 4,420,813 4,394,317 4,380,561 4,388,302 4,382,674
Home equity line of credit 447,235 435,433 419,806 409,261 393,418
Installment loans 12,231 12,678 13,017 13,638 14,503
Loans, net of deferred net
costs 5,191,770 5,156,701 5,116,137 5,098,058 5,070,856
---------
Less: Allowance for credit
losses on loans 51,891 51,265 50,606 50,248 49,950
Net loans 5,139,879 5,105,436 5,065,531 5,047,810 5,020,906
Bank premises and equipment,
net 39,718 38,129 37,178 33,782 33,324
Operating lease right-of-use
assets 35,291 36,322 34,968 36,627 37,958
Other assets 107,514 106,894 108,681 108,656 98,730
Total assets $6,349,024 $6,348,375 $6,338,545 $6,238,744 $6,109,680
LIABILITIES:
Deposits:
Demand $ 795,508 $ 784,351 $ 793,306 $ 762,101 $ 753,878
Interest-bearing checking 1,025,582 1,045,043 1,067,948 1,027,540 988,527
Savings accounts 1,063,763 1,082,489 1,094,968 1,086,534 1,092,038
Money market deposit accounts 455,488 467,087 478,872 465,049 477,113
Time deposits 2,140,932 2,111,344 2,061,576 2,049,759 1,952,635
Total deposits 5,481,273 5,490,314 5,496,670 5,390,983 5,264,191
Short-term borrowings 97,749 82,370 82,275 84,781 91,450
Operating lease liabilities 38,180 39,350 38,324 40,159 41,469
Accrued expenses and other
liabilities 39,809 43,536 33,468 46,478 43,549
Total liabilities 5,657,011 5,655,570 5,650,737 5,562,401 5,440,659
SHAREHOLDERS' EQUITY:
Capital stock 20,103 20,097 20,097 20,097 20,058
Surplus 259,980 259,490 259,182 258,874 257,644
Undivided profits 471,314 462,158 453,931 446,503 442,079
Accumulated other comprehensive
income (loss), net of tax 2,955 1,663 (132) (3,861) (6,600)
Treasury stock at cost (62,339) (50,603) (45,270) (45,270) (44,160)
Total shareholders' equity 692,013 692,805 687,808 676,343 669,021
Total liabilities and
shareholders' equity $6,349,024 $6,348,375 $6,338,545 $6,238,744 $6,109,680
Outstanding shares (in
thousands) 18,554 18,851 19,020 19,020 19,010
NONPERFORMING ASSETS
(dollars in thousands)
(Unaudited)
9/30/2025 6/30/2025 3/31/2025 12/31/2024 9/30/2024
Nonperforming
Assets
New York and
other states*
Loans in
nonaccrual
status:
Commercial $ 292 $ 684 $ 688 $ 343 $ 466
Real estate
mortgage - 1
to 4 family 14,568 14,048 14,795 14,671 15,320
Installment 30 34 139 108 163
------ ------ ------ ------ ------
Total
nonperforming
loans 14,890 14,766 15,622 15,122 15,949
Other real
estate owned 1,234 1,136 2,107 2,175 2,503
------ ------ ------ ------ ------
Total
nonperforming
assets $16,124 $15,902 $17,729 $ 17,297 $18,452
====== ====== ====== ====== ======
Florida
Loans in
nonaccrual
status:
Commercial $ - $ - $ - $ - $ 314
Real estate
mortgage - 1
to 4 family 3,574 3,132 3,135 3,656 3,176
Installment 13 12 3 22 5
------ ------ ------ ------ ------
Total
nonperforming
loans 3,587 3,144 3,138 3,678 3,495
Other real
estate owned - - - - -
------ ------ ------ ------ ------
Total
nonperforming
assets $ 3,587 $ 3,144 $ 3,138 $ 3,678 $ 3,495
====== ====== ====== ====== ======
Total
Loans in
nonaccrual
status:
Commercial $ 292 $ 684 $ 688 $ 343 $ 780
Real estate
mortgage - 1
to 4 family 18,142 17,180 17,930 18,327 18,496
Installment 43 46 142 130 168
------ ------ ------ ------ ------
Total
nonperforming
loans 18,477 17,910 18,760 18,800 19,444
Other real
estate owned 1,234 1,136 2,107 2,175 2,503
------ ------ ------ ------ ------
Total
nonperforming
assets $19,711 $19,046 $20,867 $ 20,975 $21,947
====== ====== ====== ====== ======
Quarterly Net
(Recoveries)
Chargeoffs
New York and
other states*
Commercial $ - $ - $ (3) $ 62 $ 65
Real estate
mortgage - 1 to
4 family (194) (121) 41 (316) 104
Installment (2) 18 4 41 11
------ ------ ------ ------ ------
Total net
chargeoffs
(recoveries) $ (196) $ (103) $ 42 $ (213) $ 180
====== ====== ====== ====== ======
Florida
Commercial $ - $ - $ (315) $ 314 $ -
Real estate
mortgage - 1 to
4 family - - - - -
Installment 20 94 15 1 42
------ ------ ------ ------ ------
Total net
(recoveries)
chargeoffs $ 20 $ 94 $ (300) $ 315 $ 42
====== ====== ====== ====== ======
Total
Commercial $ - $ - $ (318) $ 376 $ 65
Real estate
mortgage - 1 to
4 family (194) (121) 41 (316) 104
Installment 18 112 19 42 53
------ ------ ------ ------ ------
Total net
(recoveries)
chargeoffs $ (176) $ (9) $ (258) $ 102 $ 222
====== ====== ====== ====== ======
Asset Quality
Ratios
Total
nonperforming
loans (1) $18,477 $17,910 $18,760 $ 18,800 $19,444
Total
nonperforming
assets (1) 19,711 19,046 20,867 20,975 21,947
Total net
(recoveries)
chargeoffs (2) (176) (9) (258) 102 222
Allowance for
credit losses
on loans (1) 51,891 51,265 50,606 50,248 49,950
Nonperforming
loans to total
loans 0.36% 0.35% 0.37% 0.37% 0.38%
Nonperforming
assets to total
assets 0.31% 0.30% 0.33% 0.34% 0.36%
Allowance for
credit losses
on loans to
total loans 1.00% 0.99% 0.99% 0.99% 0.99%
Coverage ratio
(1) 280.8% 286.2% 269.8% 267.3% 256.9%
Annualized net
(recoveries)
chargeoffs to
average loans
(2) -0.01% 0.00% -0.02% 0.01% 0.02%
Allowance for N/A N/A N/A 123.2x 56.3x
credit losses
on loans to
annualized net
chargeoffs (2)
* Includes New York, New Jersey, Vermont and Massachusetts.
(1) At period-end
(2) For the three-month period ended
DISTRIBUTION OF ASSETS, LIABILITIES AND SHAREHOLDERS'
EQUITY -
INTEREST RATES AND INTEREST DIFFERENTIAL
(dollars in thousands)
(Unaudited) Three months ended Three months ended
September 30, 2025 September 30, 2024
------------------------------ ------------------------------
Average Interest Average Average Interest Average
Balance Rate Balance Rate
Assets
Securities available
for sale:
U. S. government
sponsored enterprises $ 69,294 $ 599 3.46% $ 95,073 $ 718 3.02%
Mortgage backed
securities and
collateralized
mortgage
obligations -
residential 237,092 1,583 2.65 241,792 1,397 2.29
State and political
subdivisions 18 1 6.77 26 0 6.75
Corporate bonds 26,512 265 4.00 55,041 361 2.63
Small Business
Administration -
guaranteed
participation securities 13,385 72 2.15 16,663 90 2.15
Other 700 7 4.00 701 2 1.14
Total securities
available for sale 347,001 2,527 2.91 409,296 2,568 2.51
Federal funds sold and
other short-term
Investments 662,737 7,376 4.42 465,922 6,174 5.27
Held to maturity
securities:
Mortgage backed
securities and
collateralized
mortgage
obligations -
residential 4,709 52 4.40 5,779 62 4.29
Total held to maturity
securities 4,709 52 4.40 5,779 62 4.29
Federal Home Loan Bank
stock 6,601 125 7.57 6,507 153 9.41
Commercial loans 313,800 4,426 5.64 279,199 3,807 5.45
Residential mortgage loans 4,409,645 44,089 4.00 4,375,641 41,811 3.82
Home equity lines of credit 440,288 7,215 6.50 380,422 6,245 6.53
Installment loans 11,842 223 7.48 14,443 249 6.87
Loans, net of unearned
income 5,175,575 55,953 4.32 5,049,705 52,112 4.12
Total interest earning
assets 6,196,623 $ 66,033 4.25 5,937,209 $ 61,069 4.11
Allowance for credit losses
on loans (51,706) (49,973)
Cash & non-interest earning
assets 208,701 187,166
--------- ---------
Total assets $6,353,618 $6,074,402
========= =========
Liabilities and
shareholders' equity
Deposits:
Interest bearing checking
accounts $1,035,366 $ 483 0.18% $1,000,333 $ 311 0.12%
Money market accounts 464,334 2,065 1.76 499,408 2,154 1.72
Savings 1,077,441 741 0.27 1,122,673 770 0.27
Time deposits 2,125,920 19,427 3.63 1,880,021 18,969 4.01
Total interest bearing
deposits 4,703,061 22,716 1.92 4,502,435 22,204 1.96
Short-term borrowings 87,348 198 0.90 87,677 194 0.88
Total interest bearing
liabilities 4,790,409 $ 22,914 1.90 4,590,112 $ 22,398 1.94
------- -------
Demand deposits 792,621 742,164
Other liabilities 76,502 80,502
Shareholders' equity 694,086 661,624
--------- ---------
Total liabilities and
shareholders' equity $6,353,618 $6,074,402
========= =========
Net interest income $ 43,119 $ 38,671
------- -------
Net interest spread 2.35% 2.17%
Net interest margin
(net interest income
to
total interest earning
assets) 2.79% 2.61%
DISTRIBUTION OF ASSETS, LIABILITIES AND SHAREHOLDERS'
EQUITY -
INTEREST RATES AND INTEREST DIFFERENTIAL, Continued
(dollars in thousands)
(Unaudited) Nine Months Ended Nine Months Ended
September 30, 2025 September 30, 2024
------------------------------ ------------------------------
Average Interest Average Average Interest Average
Balance Rate Balance Rate
Assets
Securities available
for sale:
U. S. government
sponsored
enterprises $ 72,461 1,809 3.33% $ 111,570 2,533 3.03%
Mortgage backed
securities and
collateralized
mortgage
obligations -
residential 240,401 4,679 2.59 250,343 4,342 2.31
State and political
subdivisions 18 1 6.77 26 1 6.80
Corporate bonds 30,696 735 3.19 61,221 1,199 2.61
Small Business
Administration -
guaranteed
participation securities 14,151 228 2.15 17,438 284 2.17
Mortgage backed
securities and
collateralized
mortgage
obligations -
commercial - -
Other 698 22 4.20 697 7 1.34
Total securities
available for sale 358,425 7,474 2.78 441,295 8,366 2.53
Federal funds sold and
other short-term
Investments 641,793 21,320 4.44 489,934 19,818 5.40
Held to maturity
securities:
Mortgage backed
securities and
collateralized
mortgage
obligations -
residential 4,969 163 4.37 6,053 195 4.29
Total held to maturity
securities 4,969 163 4.37 6,053 195 4.29
Federal Home Loan Bank
stock 6,567 405 8.22 6,350 452 9.49
Commercial loans 306,091 12,851 5.60 278,981 11,232 5.37
Residential mortgage loans 4,394,245 129,940 3.94 4,364,821 123,046 3.76
Home equity lines of credit 427,830 20,480 6.40 365,932 17,522 6.40
Installment loans 12,440 689 7.40 15,319 776 6.76
Loans, net of unearned
income 5,140,606 163,960 4.25 5,025,053 152,576 4.05
Total interest
earning assets 6,152,360 193,322 4.19 5,968,685 181,407 4.05
Allowance for credit losses
on loans (50,991) (49,419)
Cash & non-interest earning
assets 204,651 187,963
--------- ---------
Total assets $ 6,306,020 $ 6,107,229
========= =========
Liabilities and
shareholders' equity
Deposits:
Interest bearing
checking accounts $ 1,037,598 1,577 0.20% $ 999,839 839 0.11%
Money market accounts 468,059 6,140 1.75 522,636 6,724 1.72
Savings 1,084,712 2,208 0.27 1,142,313 2,157 0.25
Time deposits 2,088,844 57,605 3.69 1,881,027 58,046 4.12
Total interest bearing
deposits 4,679,213 67,530 1.93 4,545,815 67,766 1.99
Short-term borrowings 83,885 554 0.88 91,551 604 0.88
Total interest bearing
liabilities 4,763,098 68,084 1.91 4,637,366 68,370 1.97
------- -------
Demand deposits 777,573 734,604
Other liabilities 76,372 82,233
Shareholders' equity 688,977 653,026
--------- ---------
Total liabilities and
shareholders' equity $ 6,306,020 $ 6,107,229
========= =========
Net interest income 125,238 113,037
------- -------
Net interest spread 2.28% 2.08%
Net interest margin
(net interest income
to
total interest earning
assets) 2.71% 2.52%
Non-GAAP Financial Measures Reconciliation
Tangible book value per share is a non-GAAP financial measure derived from GAAP-based amounts. We calculate tangible book value by excluding the balance of intangible assets from total shareholders' equity divided by shares outstanding. We believe that this is consistent with the treatment by bank regulatory agencies, which exclude intangible assets from the calculation of risk-based capital ratios. Additionally, we believe that this measure is important to many investors in the marketplace who are interested in relative changes from period to period in equity exclusive of changes in intangible assets.
Tangible equity as a percentage of tangible assets at period end is a non-GAAP financial measure derived from GAAP-based amounts. We calculate tangible equity and tangible assets by excluding the balance of intangible assets from total shareholders' equity and total assets, respectively. We calculate tangible equity as a percentage of tangible assets at period end by dividing tangible equity by tangible assets at period end. We believe that this is consistent with the treatment by bank regulatory agencies, which exclude intangible assets from the calculation of risk-based capital ratios. Additionally, we believe that this measure is important to many investors in the marketplace who are interested in relative changes from period to period in equity and total assets, each exclusive of changes in intangible assets.
Adjusted efficiency ratio is a non-GAAP measures of expense control relative to revenue from net interest income and non-interest fee income. We calculate the efficiency ratio by dividing total non-interest expense by the sum of net interest income and total non-interest income. We calculate the adjusted efficiency ratio by dividing total noninterest expenses as determined under GAAP, excluding other real estate expense, net, by net interest income and total noninterest income as determined under GAAP, excluding net gains on equity securities. We believe that this provides a reasonable measure of primary banking expenses relative to primary banking revenue. Additionally, we believe this measure is important to investors looking for a measure of efficiency in our productivity measured by the amount of revenue generated for each dollar spent.
We believe that these non-GAAP financial measures provide information that is important to investors and that is useful in understanding our financial results. Our management internally assesses our performance based, in part, on these measures. However, these non-GAAP financial measures are supplemental and not a substitute for an analysis based on GAAP measures. As other companies may use different calculations for these measures, this presentation may not be comparable to other similarly titled measures reported by other companies. A reconciliation of the non-GAAP measures of tangible book value to shares outstanding, tangible equity as a percentage of tangible assets, and efficiency ratio to the most directly comparable GAAP measures is set forth below.
NON-GAAP FINANCIAL
MEASURES
RECONCILIATION
(dollars in thousands)
(Unaudited)
9/30/2025 6/30/2025 9/30/2024
Tangible Book Value Per
Share
Equity (GAAP) $ 692,013 $ 692,805 $ 669,021
Less: Intangible assets 553 553 553
Tangible equity (Non-GAAP) $ 691,460 $ 692,252 $ 668,468
--------- --------- ---------
Shares outstanding 18,554 18,851 19,010
--------- --------- ---------
Tangible book value per share
(Non-GAAP) 37.27 36.72 35.16
Book value per share 37.30 36.75 35.19
Tangible Equity to
Tangible Assets
Total Assets (GAAP) $6,349,024 $6,348,375 $6,109,680
Less: Intangible assets 553 553 553
Tangible assets (Non-GAAP) $6,348,471 $6,347,822 $6,109,127
--------- --------- ---------
Consolidated Equity to Assets
(GAAP) 10.90% 10.91% 10.95%
Consolidated Tangible Equity to
Tangible Assets (Non-GAAP) 10.89% 10.91% 10.94%
Three months ended Nine Months Ended
---------------------------------------------- --------------------------
Efficiency and Adjusted
Efficiency Ratios 9/30/2025 6/30/2025 9/30/2024 9/30/2025 9/30/2024
Net interest income
(GAAP) A $ 43,119 $ 41,746 $ 38,671 $125,238 $113,037
Non-interest income
(GAAP) B 4,689 4,852 4,931 14,515 15,425
Less: Net gains on equity
securities - - 23 - 1,383
Revenue used for
efficiency ratio
(Non-GAAP) C $ 47,808 $ 46,598 $ 43,579 $139,753 $127,079
--------- --------- --------- ------- -------
Total noninterest
expense (GAAP) D $ 26,242 $ 26,223 $ 26,200 $ 78,794 $ 77,562
Less: Other real estate
expense, net E 8 522 204 558 294
Expense used for
efficiency ratio
(Non-GAAP) F $ 26,234 $ 25,701 $ 25,996 $ 78,236 $ 77,268
--------- --------- --------- ------- -------
Efficiency Ratio (GAAP) D/(A+B) 54.89% 56.27% 60.09% 56.38% 60.38%
Adjusted Efficiency
Ratio (Non-GAAP) F/C 54.87% 55.15% 59.65% 55.98% 60.80%
(END) Dow Jones Newswires
October 21, 2025 16:00 ET (20:00 GMT)
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