CATSKILL, N.Y., Jan. 21, 2026 (GLOBE NEWSWIRE) -- Greene County Bancorp, Inc. (the "Company") $(GCBC)$, the holding company for the Bank of Greene County and its subsidiary Greene County Commercial Bank, today reported net income for the three and six months ended December 31, 2025, which is the second quarter of the Company's fiscal year ending June 30, 2026. Net income for the three and six months ended December 31, 2025, was $10.3 million, or $0.60 per basic and diluted share, and $19.2 million, or $1.13 per basic and diluted share, respectively, as compared to $7.5 million, or $0.44 per basic and diluted share, and $13.8 million, or $0.81 per basic and diluted share, for the three and six months ended December 31, 2024, respectively. Net income increased $5.4 million, or 39.3%, when comparing the six months ended December 31, 2025 and 2024.
Highlights:
-- Net Income: $19.2 million for the six months ended December 31, 2025, a
new record high
-- Total Assets: $3.1 billion at December 31, 2025, a new record high
-- Net Loans: $1.7 billion at December 31, 2025, a new record high
-- Return on Average Assets: 1.27% for the six months ended December 31,
2025
-- Return on Average Equity: 15.45% for the six months ended December 31,
2025
-- Recognized as Top-Performing Bank in Piper Sandler's Class of 2025 Sm-All
Stars
Donald Gibson, President & CEO stated: "This quarter represents a defining milestone for our organization, achieving the highest earnings in our 137-year history while successfully launching our first Saratoga County office, on time and under budget. This demonstrates the strength of our strategy, the discipline of our execution and the dedication of our entire team. Our expansion positions us in a high-growth market and aligns with our strategy of disciplined capital deployment to enhance long-term shareholder value."
Mr. Gibson added: "The Company continues to see strong momentum across its core business lines, supported by conservative risk management and a focus on operating fundamentals. Our performance underscores our long-standing commitment to building shareholder value while serving the financial needs of our communities. We are proud of our legacy and even more excited about the opportunities ahead."
Greene County Bancorp, Inc. was recognized as a top-performing bank in Piper Sandler's Class of 2025 Bank & Thrift Small-Cap All Stars, an honor recognizing top-performing banks in the small cap segment. The Company ranked 9th out of 24 recognized banks and thrifts and has been included on the list a total of nine times since its inception in 2004, which is more than any other bank in the 2025 class.
Total consolidated assets for the Company were $3.1 billion at December 31, 2025, primarily consisting of $1.7 billion of net loans and $1.2 billion of total securities available-for-sale and held-to-maturity. Consolidated deposits totaled $2.6 billion at December 31, 2025, consisting of retail, business, municipal and private banking relationships.
Pre-provision net income was $20.6 million for the six months ended December 31, 2025 as compared to $14.9 million for the six months ended December 31, 2024, an increase of $5.7 million, or 38.7%. Pre-provision net income measures the Company's net income not including the provision for credit losses. Management believes that this non-GAAP measure assists investors in comprehending the impact of the provision for credit losses on the Company's reported results, offering an alternative view of the Company's performance and the Company's ability to generate income in excess of its provision for credit losses. The Company strategically managed its balance sheet by focusing on higher-yielding loans and securities and lowering deposit rates to align with the Federal Reserve's recent interest rate cuts. This resulted in a higher net interest margin for the three and six months ended December 31, 2025 as compared to the three and six months ended December 31, 2024. The Company will continue to monitor the Federal Reserve and interest rates paid on deposits, while maintaining our long-term customer relationships.
Selected highlights for the three and six months ended December 31, 2025, are as follows:
Net Interest Income and Margin
-- Net interest income increased $5.0 million to $19.1 million for the three
months ended December 31, 2025, from $14.1 million for the three months
ended December 31, 2024. Net interest income increased $9.4 million to
$36.6 million for the six months ended December 31, 2025, from $27.2
million for the six months ended December 31, 2024. The increase in net
interest income for the three and six months ended December 31, 2025, was
due to an increase in the average balance of interest-earning assets,
which increased $241.1 million and $240.4 million when comparing the
three and six months ended December 31, 2025 and 2024, respectively, an
increase in interest rates earned on interest-earning assets, which
increased 20 and 19 basis points when comparing the three and six months
ended December 31, 2025 and 2024, respectively, and a . The increase in
net interest income was offset by an increase in the average balance of
interest-bearing liabilities, which increased $220.1 million and $221.6
million when comparing the three and six months ended December 31, 2025
and 2024, respectively.Average loan balances increased $162.6 million and
$160.2 million and the yield on loans increased 21 and 19 basis points
when comparing the three and six months ended December 31, 2025 and 2024,
respectively. The average balance of securities increased $107.4 million
and $97.6 million and the yield on such securities increased 27 and 26
basis points when comparing the three and six months ended December 31,
2025 and 2024, respectively. Average interest-bearing bank balances and
federal funds decreased $29.9 million and $18.4 million and the yield on
interest-bearing bank balances and federal funds decreased 56 and 72
basis points when comparing the three and six months ended December 31,
2025 and 2024, respectively.The cost of NOW deposits decreased 41 basis
points for both the three and six months ended December 31, 2025 and
2024, respectively, and the cost of certificates of deposit decreased 63
and 74 basis points when comparing the three and six months ended
December 31, 2025 and 2024, respectively. The growth in interest-bearing
liabilities was primarily due to an increase in average NOW deposits of
$202.3 million and $196.0 million and an increase in average certificates
of deposits of $39.3 million and $50.5 million when comparing the three
and six months ended December 31, 2025 and 2024, respectively. This was
partially offset by a decrease in average savings and money market
deposits of $16.4 million and $16.1 million, and a decrease in borrowings
of $5.2 million and $8.8 million when comparing the three and six months
ended December 31, 2025 and 2024. Yields on interest-earning assets
increased and costs of interest-bearing deposits decreased when comparing
the three and six months ended December 31, 2025 and 2024, as the Company
continued to reprice assets into the higher interest rate environment,
and continued a strategic reduction in deposit rates that aligns with the
Federal Reserve's rate cuts.
-- Net interest rate spread increased 54 basis points to 2.34% for the three
months ended December 31, 2025 as compared to 1.80% for the three months
ended December 31, 2024. Net interest rate spread increased 51 basis
points to 2.29% for the six months ended December 31, 2025 as compared to
1.78% for the six months ended December 31, 2024.Net interest margin
increased 50 basis points to 2.54% for the three months ended December
31, 2025 as compared to 2.04% for the three months ended December 31,
2024. Net interest margin increased 47 basis points to 2.51% for the six
months ended December 31, 2025 as compared to 2.04% for the six months
ended December 31, 2024. The increase in net interest rate spread and
margin during the three and six months ended December 31, 2025, was due
to increases in interest income on loans and securities, as they continue
to reprice at higher yields and the interest rates earned on new balances
were higher than the historic low levels from the prior periods, and the
reduction in deposit rates.
-- Net interest income on a taxable-equivalent basis includes the additional
amount of interest income that would have been earned if the Company's
investment in tax-exempt securities and loans had been subject to federal
and New York State income taxes yielding the same after-tax income. Tax
equivalent net interest margin was 2.83% and 2.31% for the three months
ended December 31, 2025 and 2024, respectively, and was 2.81% and 2.30%
for the six months ended December 31, 2025 and 2024, respectively.
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