OCFC 8-K
Oceanfirst Financial Corp (OCFC)
8-K
2025-10-22
For: 2025-10-22
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Added on
July 04, 2026
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of report (Date of earliest event reported): October 22, 2025
(Exact name of registrant as specified in its charter)
| (State or other jurisdiction of incorporation or organization) | (Commission File No.) | (IRS Employer Identification No.) | ||||||||||||
(Address of principal executive offices, including zip code)
(732 )240-4500
(Registrant’s telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
| Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |||||
| Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |||||
| Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |||||
| Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |||||
Securities registered pursuant to Section 12(b) of the Act:
| Title of each class | Trading symbol | Name of each exchange in which registered | ||||||||||||
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR 230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR 240.12b-2).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
ITEM 2.02RESULTS OF OPERATIONS AND FINANCIAL CONDITION
On October 22, 2025, OceanFirst Financial Corp. (the “Company”) issued a press release announcing its financial results for the quarter ended September 30, 2025. That press release is attached to this Report as Exhibit 99.1. The information included in this item and the related presentation is being furnished to the SEC and shall not be deemed “filed” for any purpose.
ITEM 7.01 REGULATION FD DISCLOSURE
The Company is scheduled to make presentations to current and prospective investors after October 22, 2025. Attached as Exhibit 99.2 of this Form 8-K is a copy of the presentation which OceanFirst Financial Corp. will make available at these presentations and will post on its website at www.oceanfirst.com. The information included in this item and the related press release is being furnished to the SEC and shall not be deemed “filed” for any purpose.
ITEM 8.01OTHER EVENTS
In the press release described in Item 2.02, the Company announced that the Board of Directors declared a regular quarterly cash dividend on the Company’s outstanding common stock. The cash dividend will be in the amount of $0.20 per share and will be payable on November 14, 2025 to the stockholders of record at the close of business on November 3, 2025.
ITEM 9.01FINANCIAL STATEMENTS AND EXHIBITS
| (d) | EXHIBITS | |||||||
| Press Release dated | October 22, 2025 | |||||||
Text of written presentation which OceanFirst Financial Corp. intends to provide to current and prospective investors after October 22, 2025. | ||||||||
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| OCEANFIRST FINANCIAL CORP. | ||||||||
| Dated: | October 22, 2025 | /s/ Patrick S. Barrett | ||||||
| Patrick S. Barrett | ||||||||
| Senior Executive Vice President and Chief Financial Officer | ||||||||
 | Press Release | |||||||
Exhibit 99.1
Company Contact:
Patrick S. Barrett
Chief Financial Officer
OceanFirst Financial Corp.
Tel: (732) 240-4500, ext. 27507
Email: [email protected]
FOR IMMEDIATE RELEASE
OCEANFIRST FINANCIAL CORP.
ANNOUNCES THIRD QUARTER
FINANCIAL RESULTS
RED BANK, NEW JERSEY, October 22, 2025 - OceanFirst Financial Corp. (NASDAQ:OCFC) (the “Company”), the holding company for OceanFirst Bank N.A. (the “Bank”), announced net income available to common stockholders of $17.3 million, or $0.30 per diluted share, for the three months ended September 30, 2025, a decrease from $24.1 million, or $0.42 per diluted share, for the corresponding prior year period, and an increase from $16.2 million, or $0.28 per diluted share, for the linked quarter. For the nine months ended September 30, 2025, the Company reported net income available to common stockholders of $54.0 million, or $0.94 per diluted share, a decrease from $75.1 million, or $1.29 per diluted share, for the corresponding prior year period. Selected performance metrics are as follows (refer to “Selected Quarterly Financial Data” for additional information):
| For the Three Months Ended, | For the Nine Months Ended, | ||||||||||||||||||||||||||||
| Performance Ratios (Annualized): | September 30, | June 30, | September 30, | September 30, | September 30, | ||||||||||||||||||||||||
| 2025 | 2025 | 2024 | 2025 | 2024 | |||||||||||||||||||||||||
| Return on average assets | 0.51 | % | 0.49 | % | 0.71 | % | 0.54 | % | 0.74 | % | |||||||||||||||||||
| Return on average stockholders’ equity | 4.15 | 3.86 | 5.68 | 4.29 | 5.98 | ||||||||||||||||||||||||
Return on average tangible stockholders’ equity (a) | 6.13 | 5.66 | 8.16 | 6.28 | 8.62 | ||||||||||||||||||||||||
Return on average tangible common equity (a) | 6.13 | 5.66 | 8.57 | 6.28 | 9.05 | ||||||||||||||||||||||||
| Efficiency ratio | 74.13 | 71.93 | 65.77 | 70.64 | 62.71 | ||||||||||||||||||||||||
| Net interest margin | 2.91 | 2.91 | 2.67 | 2.91 | 2.73 | ||||||||||||||||||||||||
(a) Return on average tangible stockholders’ equity and return on average tangible common equity (“ROTCE”) are non-GAAP (“generally accepted accounting principles”) financial measures. Refer to “Explanation of Non-GAAP Financial Measures,” “Selected Quarterly Financial Data” and “Other Items - Non-GAAP Reconciliation” tables for reconciliation and additional information regarding non-GAAP financial measures.
Core earnings1 for the three and nine months ended September 30, 2025 were $20.3 million and $58.4 million, respectively, or $0.36 and $1.01 per diluted share, a decrease from $23.2 million and $71.5 million, respectively, or $0.39 and $1.22 per diluted share, for the corresponding prior year periods, and an increase from $17.7 million, or $0.31 per diluted share, for the linked quarter.
Core earnings PTPP1 for the three and nine months ended September 30, 2025 was $30.5 million and $89.3 million, or $0.54 and $1.55 per diluted share, a decrease from $30.9 million and $99.8 million, respectively, or $0.53 and $1.71 per diluted share, for the corresponding prior year periods, and an increase from $26.4 million or $0.46 per diluted share, for the linked quarter. Selected performance metrics are as follows:
| For the Three Months Ended, | For the Nine Months Ended, | ||||||||||||||||||||||||||||
| September 30, | June 30, | September 30, | September 30, | September 30, | |||||||||||||||||||||||||
Core Ratios1 (Annualized): | 2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||||
| Return on average assets | 0.60 | % | 0.53 | % | 0.69 | % | 0.58 | % | 0.71 | % | |||||||||||||||||||
| Return on average tangible stockholders’ equity | 7.19 | 6.17 | 7.85 | 6.79 | 8.20 | ||||||||||||||||||||||||
| Return on average tangible common equity | 7.19 | 6.17 | 8.24 | 6.79 | 8.61 | ||||||||||||||||||||||||
| Efficiency ratio | 70.30 | 72.28 | 66.00 | 69.49 | 63.49 | ||||||||||||||||||||||||
| Diluted earnings per share | $ | 0.36 | $ | 0.31 | $ | 0.39 | $ | 1.01 | $ | 1.22 | |||||||||||||||||||
| PTPP diluted earnings per share | 0.54 | 0.46 | 0.53 | 1.55 | 1.71 | ||||||||||||||||||||||||
1 Core earnings and core earnings before income taxes and provision for credit losses (“PTPP” or “Pre-Tax-Pre-Provision”), and ratios derived therefrom, are non-GAAP financial measures. For the periods presented, merger related expenses, restructuring charges, net (gain) loss on equity investments, net gain on sale of trust business, the opening provision for credit losses in connection with the acquisition of Spring Garden Capital Group, LLC (“Spring Garden”), the Federal Deposit Insurance Corporation (“FDIC”) special assessment (release) expense, and the income tax effect of these items, as well as loss on redemption of preferred stock (collectively referred to as “non-core” operations). PTPP excludes the aforementioned pre-tax “non-core” items along with income tax expense (benefit) and provision for credit losses (exclusive of the Spring Garden opening provision). Refer to “Explanation of Non-GAAP Financial Measures,” “Selected Quarterly Financial Data” and the “Other Items - Non-GAAP Reconciliation” tables for additional information regarding non-GAAP financial measures.
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Key developments for the quarter are described below:
•Loan Growth: Total loans increased $372.9 million, representing a 14% annualized growth rate, which included $219.1 million of commercial and industrial loan growth. Commercial loan originations increased 74% to $739.2 million, from $425.9 million in the linked quarter, and the commercial loan pipeline remains robust at $710.9 million, as compared to a record high of $790.8 million in the linked quarter.
•Deposit Growth: Total deposits increased to $10.4 billion from $10.2 billion in the linked quarter. Deposits, excluding $117.7 million of brokered deposit run-off, increased $321.2 million.
•Residential Outsourcing: The current quarter results include the impact of the Company’s strategic decision to outsource residential loan originations and title business. In connection with this decision, the Company recognized $4.1 million of restructuring charges during the quarter and will incur approximately $8 million of additional charges next quarter. The residential outsourcing initiative will result in an 11% reduction in workforce and result in an anticipated annual expense savings of $14 million offset in part by a reduction in gain on sale of loans starting in 2026.
Chairman and Chief Executive Officer, Christopher D. Maher, commented on the Company’s results, “We are pleased to present our current quarter results, which reflect increased earnings, driven by strong organic loan and deposit growth while maintaining a robust commercial loan pipeline. We are also announcing a shift in our residential business where we have partnered with a national mortgage banking company to originate residential loans, materially reducing the number of employees and operating expenses as we move into 2026.” Mr. Maher added, “Additionally, the Bank hosted its annual CommUNITYFirst Day last month. Thank you to our exceptional employees and nonprofit partners who help enrich our communities, not only during this event, but throughout the year.”
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The Company’s Board of Directors declared its 115th consecutive quarterly cash dividend on common stock. The quarterly cash dividend on common stock of $0.20 per share will be paid on November 14, 2025 to common stockholders of record on November 3, 2025.
Results of Operations
During the current quarter, the Company recognized $4.1 million of restructuring charges related to the Company’s residential outsourcing initiative.
Net Interest Income and Margin
Three months ended September 30, 2025 vs. September 30, 2024
Net interest income increased to $90.7 million, from $82.2 million, primarily due to increased balances and net interest margin. Net interest margin increased to 2.91%, from 2.67%, which included the impact of purchase accounting accretion and prepayment fees of 0.02% for both periods. Net interest margin increased primarily due to the decrease in cost of funds.
Average interest-earning assets increased by $131.3 million, primarily due to increases in commercial and residential loans, partly offset by a reduction in cash and securities. The average yield for interest-earning assets decreased to 5.21%, from 5.26%, due to the lower interest rate environment.
The cost of average interest-bearing liabilities decreased to 2.85%, from 3.20%, primarily due to lower cost of deposits and, to a lesser extent, Federal Home Loan Bank (“FHLB”) advances, partly offset by an increase in the cost of other borrowings. The total cost of deposits decreased 38 basis points to 2.06%, from 2.44%. Average interest-bearing liabilities increased by $100.7 million, primarily due to increases in FHLB advances, partly offset by a decrease in other borrowings.
Nine months ended September 30, 2025 vs. September 30, 2024
Net interest income increased to $264.9 million, from $250.7 million, reflecting the net impact of the decreasing interest rate environment. Net interest margin increased to 2.91%, from 2.73%, which included the impact of purchase accounting accretion and prepayment fees of 0.03% and 0.04% for the respective periods.
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Average interest-earning assets decreased by $79.0 million, primarily driven by a decrease in securities and, to a lesser extent, interest-earning deposits and short term investments, partly offset by an increase in residential loans. The average yield decreased to 5.16%, from 5.25%.
The cost of average interest-bearing liabilities decreased to 2.80%, from 3.12%. The total cost of deposits decreased to 2.06%, from 2.37%. Average interest-bearing liabilities decreased by $85.2 million, primarily due to decreases in other borrowings and total deposits, partly offset by an increase in FHLB advances.
Three months ended September 30, 2025 vs. June 30, 2025
Net interest income increased by $3.0 million, to $90.7 million from $87.6 million and net interest margin was 2.91% for both periods, primarily reflecting a net increase in interest-earning assets and yields. Net interest income included the impact of purchase accounting accretion and prepayment fees of 0.02% and 0.04%, respectively.
Average interest-earning assets increased by $298.5 million, primarily due to increases in commercial loans, residential loans, and securities. The yield on average interest-earning assets increased to 5.21%, from 5.14%.
The cost of average interest-bearing liabilities increased to 2.85%, from 2.77%, primarily due to an increase in the cost of other borrowings related to subordinated debt that repriced to a variable rate in May 2025. The total cost of deposits remained stable at 2.06% for both periods. Average interest-bearing liabilities increased by $235.3 million, primarily due to an increase in FHLB advances.
Provision for Credit Losses
Provision for credit losses for the three and nine months ended September 30, 2025 was $4.1 million and $12.5 million, respectively, as compared to $517,000 and $4.2 million for the corresponding prior year periods, and $3.0 million for the linked quarter. The current quarter provision was primarily driven by net loan growth and an increase in unfunded loan balances and commitments, partly offset by overall improvements in criticized and classified loans.
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Net loan charge-offs were $617,000 and $3.5 million for the three and nine months ended September 30, 2025, respectively, as compared to net loan recoveries of $88,000 and net loan charge-offs of $1.7 million for the corresponding prior year periods and $2.2 million for the linked quarter. The linked quarter included charge-offs of $1.6 million for two commercial relationships related to the Company’s recent acquisition and charge-offs of $445,000 related to sales of non-performing residential and consumer loans of $2.2 million. The nine months ended September 30, 2024 includes the impact of a $1.6 million charge-off related to a single commercial real estate relationship that was sold in the prior year.
Non-interest Income
Three months ended September 30, 2025 vs. September 30, 2024
Other income decreased to $12.3 million, as compared to $14.7 million. Other income was adversely impacted by non-core operations related to net losses on equity investments of $7,000 in the current quarter. Other income was favorably impacted by net gains on equity investments of $1.4 million and a $1.4 million gain on sale of a portion of the Company’s trust business in the prior year quarter.
Excluding non-core operations, other income increased by $485,000. The primary drivers were increases in commercial loan swap income of $1.3 million due to new swaps, and net gain on sale of loans of $395,000, partly offset by a decrease in fees and service charges of $906,000, primarily due to lower retail deposit fees. In addition, the prior period included a non-recurring gain on sale of assets held for sale of $855,000.
Nine months ended September 30, 2025 vs. September 30, 2024
Other income decreased to $35.3 million, as compared to $38.0 million. Other income was favorably impacted by non-core operations related to net gains on equity investments of $686,000 and
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$4.2 million, for the respective periods, and a $2.6 million gain on sale of a portion of the Company’s trust business for the prior year period.
Excluding non-core operations, other income increased by $3.5 million. The primary drivers were increases related to commercial loan swap income of $1.7 million due to new swaps, net gain on sale of loans of $1.7 million, and non-recurring other income of $1.9 million in the current period. These were partly offset by a decrease of $855,000 related to a non-recurring gain on sale of assets held for sale in the prior year and a decrease in fees and service charges of $713,000, primarily due to lower retail deposit fees.
Three months ended September 30, 2025 vs. June 30, 2025
Other income in the linked quarter was $11.7 million and was favorably impacted by non-core operations of $488,000 related to net gain on equity investments. Excluding non-core operations, other income increased by $1.1 million. The primary drivers were an increase in commercial loan swap income of $1.5 million and a decrease in net loss on other real estate operations of $261,000, partly offset by non-recurring other income of $1.1 million in the prior quarter.
Non-interest Expense
Three months ended September 30, 2025 vs. September 30, 2024
Operating expenses increased to $76.3 million, as compared to $63.7 million. Operating expenses in the current quarter were adversely impacted by non-core operations of $3.9 million, related to restructuring charges partly offset by a reversal of FDIC special assessment fees. Operating expenses in the prior year were adversely impacted by non-core operations of $1.7 million for merger related expenses.
Excluding non-core operations, operating expenses increased by $10.3 million. The primary driver was an increase in compensation and benefits of $5.5 million, mostly due to additional commercial banking team hires, acquisitions at the end of the prior year and annual merit increases. Additional drivers were increases in professional fees of $1.5 million, partly due to higher consulting
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fees, data processing expense of $1.2 million, occupancy expense of $941,000, partly due to additional space for commercial banking hires, addition of a new branch and acquisitions at the end of the prior year, and other operating expenses of $738,000, mostly due to additional loan servicing expense.
Nine months ended September 30, 2025 vs. September 30, 2024
Operating expenses increased to $212.1 million, as compared to $181.0 million. Operating expenses in the current year were adversely impacted by non-core operations of $3.9 million, related to restructuring charges partly offset by a reversal of FDIC special assessment fees. Operating expenses in the prior year were adversely impacted by non-core operations of $2.1 million from merger related expenses and an FDIC special assessment expense.
Excluding non-core operations, operating expenses increased by $29.2 million. The primary driver was an increase in compensation and benefits of $16.6 million, mostly due to acquisitions at the end of the prior year, additional commercial banking team hires, and annual merit increases. Additional drivers were increases in other operating expenses of $3.7 million, mostly due to additional loan servicing expense, professional fees of $3.4 million, partly due to the recruitment of commercial bankers, data processing of $2.7 million, partly due to acquisitions at the end of the prior year, occupancy of $1.5 million, partly due to additional space for commercial banking hires, addition of a new branch and acquisitions from end of the prior year, and marketing of $637,000.
Three months ended September 30, 2025 vs. June 30, 2025
Operating expenses in the linked quarter were $71.5 million. Excluding non-core operations in the current quarter, operating expenses increased by $916,000. The primary drivers were increases in compensation and benefits of $1.1 million due to additional banking team hires in the prior quarter, and occupancy expense of $644,000, partly offset by a decrease in professional fees of $869,000, primarily due to recruitment fees in the prior quarter.
Income Tax Expense
The provision for income taxes was $5.2 million and $17.7 million for the three and nine months
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ended September 30, 2025, as compared to $7.5 million and $25.2 million for the same prior year periods and $5.8 million for the linked quarter. The effective tax rate was 22.9% and 23.4% for the three and nine months ended September 30, 2025, as compared to 22.9% and 24.4% for the same prior year periods and 23.2% for the linked quarter. The effective tax rate for the prior year quarter was positively impacted by geographic mix and nine months ended September 30, 2024 was adversely impacted by a non-recurring write-off of a deferred tax asset of $1.2 million net of other state tax effects.
Financial Condition
September 30, 2025 vs. December 31, 2024
Total assets increased by $903.4 million to $14.32 billion, from $13.42 billion, primarily due to increases in loans and debt securities available-for-sale. Total loans increased by $439.9 million to $10.56 billion, from $10.12 billion, while the loan pipeline increased by $557.3 million to $863.9 million, from $306.7 million, primarily due to an increase in the commercial loan pipeline of $513.4 million. Debt securities available-for-sale increased by $434.1 million to $1.26 billion, from $827.5 million, primarily due to new purchases in the current quarter. Debt securities held-to-maturity decreased by $126.1 million to $919.7 million, from $1.05 billion, primarily due to principal repayments. Other assets decreased by $27.2 million to $158.5 million, from $185.7 million, primarily due to a decrease in market values associated with customer interest rate swap programs.
Total liabilities increased by $952.7 million to $12.67 billion, from $11.72 billion primarily related to an increase in FHLB advances and deposits. FHLB advances increased by $633.0 million to $1.71 billion, from $1.07 billion. Deposits increased by $369.7 million to $10.44 billion, from $10.07 billion, mostly driven by Premier banking deposits. Time deposits increased to $2.22 billion, from $2.08 billion, representing 21.2% and 20.7% of total deposits, respectively. Time deposits included an increase in brokered time deposits of $330.4 million, partly offset by a decrease in retail time deposits of $195.1 million. The loan-to-deposit ratio was 101.2%, as compared to 100.5%.
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Other liabilities decreased by $55.5 million to $242.9 million, from $298.4 million, mostly due to a decrease in the market values of derivatives associated with customer interest rate swaps and related collateral received from counterparties.
The Company completed its annual goodwill impairment test as of August 31, 2025. Based on a quantitative assessment, the Company concluded that goodwill was not impaired. However, the Company continues to monitor its goodwill, and negative industry and economic trends and possible declines in the Company’s stock price may result in a re-evaluation before the next required annual test.
Capital levels remain strong and in excess of “well-capitalized” regulatory levels at September 30, 2025, including the Company’s estimated common equity tier one capital ratio which declined to 10.6%, driven primarily by loan growth, increased lending commitments and stock repurchases.
Total stockholders’ equity decreased to $1.65 billion, as compared to $1.70 billion, primarily due to the redemption of preferred stock for $55.5 million and capital returns comprised of dividends and share repurchases, partially offset by net income. Additionally, accumulated other comprehensive loss decreased by $7.1 million primarily due to increases in the fair market value of available-for-sale debt securities, net of tax.
During the nine months ended September 30, 2025, the Company repurchased 1,404,253 shares totaling $24.4 million representing a weighted average cost of $17.17, which includes repurchases of exercised options and awards from employees outside of the share repurchase program. On July 16, 2025, the Company announced its Board of Directors authorized a 2025 Stock Repurchase Program to repurchase up to an additional 3.0 million shares. As of September 30, 2025, the Company had 3,226,284 shares available for repurchase under the authorized repurchase programs.
The Company’s tangible common equity2 increased by $8.9 million to $1.12 billion. The Company’s stockholders’ equity to assets ratio was 11.54% at September 30, 2025, and tangible
2 Tangible book value per common share and tangible common equity to tangible assets are non-GAAP financial measures and exclude the impact of intangible assets, goodwill, and preferred equity from both stockholders’ equity and total assets. Refer to “Explanation of Non-GAAP Financial Measures” and the “Other Items - Non-GAAP Reconciliation” tables for additional information regarding non-GAAP financial measures.
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common equity to tangible assets ratio decreased by 50 basis points during the year to 8.12%, primarily due to the drivers described above.
Book value per common share decreased to $28.81, as compared to $29.08. Tangible book value per common share2 increased to $19.52, as compared to $18.98.
Asset Quality
September 30, 2025 vs. December 31, 2024
The Company’s non-performing loans increased to $41.3 million, from $35.5 million, and represented 0.39% and 0.35% of total loans, respectively. The allowance for loan credit losses as a percentage of total non-performing loans was 196.87%, as compared to 207.19%. The level of 30 to 89 days delinquent loans decreased to $19.8 million, from $36.6 million, primarily related to residential loans. Criticized and classified loans and other real estate owned decreased to $131.2 million, from $159.9 million. The Company’s allowance for loan credit losses was 0.77% of total loans, as compared to 0.73%. Refer to “Provision for Credit Losses” section for further discussion.
The Company’s asset quality, excluding purchased with credit deterioration (“PCD”) loans, was as follows. Non-performing loans increased to $35.6 million, from $27.6 million. The allowance for loan credit losses as a percentage of total non-performing loans was 228.28%, as compared to 266.73%. The level of 30 to 89 days delinquent loans, excluding non-performing loans, decreased to $16.8 million, from $33.6 million.
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Explanation of Non-GAAP Financial Measures
Reported amounts are presented in accordance with GAAP. The Company’s management believes that the supplemental non-GAAP information, which consists of reported net income excluding non-core operations and in some instances excluding income taxes and provision for credit losses, and reporting equity and asset amounts excluding intangible assets, goodwill or preferred stock, all of which can vary from period to period, provides a better comparison of period-to-period operating performance. Additionally, the Company believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and, therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for financial results in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures, which may be presented by other companies. Refer to the Non-GAAP Reconciliation table at the end of this document for details on the earnings impact of these items.
Conference Call
As previously announced, the Company will host an earnings conference call on Thursday, October 23, 2025 at 8:00 a.m. Eastern Time. The direct dial number for the call is (833) 470-1428, using the access code 969824. For those unable to participate in the conference call, a replay will be available. To access the replay, dial (866) 813-9403 using the access code 865080, from one hour after the end of the call until October 31, 2025. The conference call, as well as the replay, are also available (listen-only) by internet webcast at www.oceanfirst.com in the Investor Relations section.
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OceanFirst Financial Corp.’s subsidiary, OceanFirst Bank N.A., founded in 1902, is a $14.3 billion regional bank providing financial services throughout New Jersey and in the major metropolitan areas between Massachusetts and Virginia. OceanFirst Bank delivers commercial and residential financing, treasury management, trust and asset management, and deposit services and is one of the largest and oldest community-based financial institutions headquartered in New Jersey. To learn more about OceanFirst, go to www.oceanfirst.com.
Forward-Looking Statements
In addition to historical information, this news release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on certain assumptions and describe future plans, strategies and expectations of the Company. These forward-looking statements are generally identified by use of the words “believe”, “expect”, “intend”, “anticipate”, “estimate”, “project”, “will”, “should”, “may”, “view”, “opportunity”, “potential”, or similar expressions or expressions of confidence. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to: changes in interest rates, inflation, general economic conditions, including potential recessionary conditions, levels of unemployment in the Company’s lending area, real estate market values in the Company’s lending area, potential goodwill impairment, natural disasters, potential increases to flood insurance premiums, the current or anticipated impact of military conflict, terrorism or other geopolitical events, the imposition of tariffs or other domestic or international governmental policies, and retaliatory responses, the effects of the federal government shutdown, the level of prepayments on loans and mortgage-backed securities, legislative/regulatory changes, monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Board of Governors of the Federal Reserve System, the quality or composition of the loan or investment portfolios, demand for loan products, deposit flows, the availability of low-cost funding, changes in liquidity, including the size and composition of the Company’s deposit portfolio, and the percentage of uninsured deposits in the portfolio, changes in capital management and balance sheet strategies and the ability to successfully implement such strategies, competition, demand for financial services in the Company’s market area, changes in investor sentiment and consumer spending, borrowing and saving habits, changes in accounting principles, a failure in or breach of the Company’s operational or security systems or infrastructure, including cyberattacks, the failure to maintain current technologies, failure to retain or attract employees, the impact of pandemics on our operations and financial results and those of our customers and the Bank’s ability to successfully integrate acquired operations. These risks and uncertainties are further discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, under Item 1A - Risk Factors and elsewhere, and subsequent securities filings and should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
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OceanFirst Financial Corp.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(dollars in thousands)
| September 30, | June 30, | December 31, | September 30, | |||||||||||||||||||||||
| 2025 | 2025 | 2024 | 2024 | |||||||||||||||||||||||
| (Unaudited) | (Unaudited) | (Unaudited) | ||||||||||||||||||||||||
| Assets | ||||||||||||||||||||||||||
| Cash and due from banks | $ | 274,125 | $ | 170,599 | $ | 123,615 | $ | 214,171 | ||||||||||||||||||
| Debt securities available-for-sale, at estimated fair value | 1,261,580 | 735,561 | 827,500 | 911,753 | ||||||||||||||||||||||
Debt securities held-to-maturity, net of allowance for securities credit losses of $968 at September 30, 2025, $809 at June 30, 2025, $967 at December 31, 2024 and $902 at September 30, 2024 (estimated fair value of $856,550 at September 30, 2025, $896,090 at June 30, 2025, $952,917 at December 31, 2024 and $1,007,781 at September 30, 2024) | 919,734 | 968,969 | 1,045,875 | 1,075,131 | ||||||||||||||||||||||
| Equity investments | 90,731 | 87,808 | 84,104 | 95,688 | ||||||||||||||||||||||
| Restricted equity investments, at cost | 142,398 | 106,538 | 108,634 | 98,545 | ||||||||||||||||||||||
Loans receivable, net of allowance for loan credit losses of $81,236 at September 30, 2025, $79,266 at June 30, 2025, $73,607 at December 31, 2024 and $69,066 at September 30, 2024 | 10,489,852 | 10,119,781 | 10,055,429 | 9,963,598 | ||||||||||||||||||||||
| Loans held-for-sale | 17,766 | 15,744 | 21,211 | 23,036 | ||||||||||||||||||||||
| Interest and dividends receivable | 47,606 | 44,032 | 45,914 | 48,821 | ||||||||||||||||||||||
| Other real estate owned | 7,498 | 7,680 | 1,811 | — | ||||||||||||||||||||||
| Premises and equipment, net | 112,449 | 113,474 | 115,256 | 116,087 | ||||||||||||||||||||||
| Bank owned life insurance | 269,136 | 271,184 | 270,208 | 269,138 | ||||||||||||||||||||||
| Goodwill | 523,308 | 523,308 | 523,308 | 506,146 | ||||||||||||||||||||||
| Intangibles | 9,934 | 10,834 | 12,680 | 7,056 | ||||||||||||||||||||||
| Other assets | 158,547 | 152,335 | 185,702 | 159,313 | ||||||||||||||||||||||
| Total assets | $ | 14,324,664 | $ | 13,327,847 | $ | 13,421,247 | $ | 13,488,483 | ||||||||||||||||||
| Liabilities and Stockholders’ Equity | ||||||||||||||||||||||||||
| Deposits | $ | 10,435,994 | $ | 10,232,442 | $ | 10,066,342 | $ | 10,116,167 | ||||||||||||||||||
| Federal Home Loan Bank advances | 1,705,585 | 938,687 | 1,072,611 | 891,860 | ||||||||||||||||||||||
| Securities sold under agreements to repurchase with customers | 64,869 | 61,490 | 60,567 | 81,163 | ||||||||||||||||||||||
| Other borrowings | 198,138 | 198,019 | 197,546 | 419,927 | ||||||||||||||||||||||
| Advances by borrowers for taxes and insurance | 23,708 | 18,759 | 23,031 | 27,282 | ||||||||||||||||||||||
| Other liabilities | 242,943 | 234,770 | 298,393 | 257,576 | ||||||||||||||||||||||
| Total liabilities | 12,671,237 | 11,684,167 | 11,718,490 | 11,793,975 | ||||||||||||||||||||||
| Stockholders’ equity: | ||||||||||||||||||||||||||
| OceanFirst Financial Corp. stockholders’ equity | 1,652,537 | 1,642,846 | 1,701,650 | 1,693,654 | ||||||||||||||||||||||
| Non-controlling interest | 890 | 834 | 1,107 | 854 | ||||||||||||||||||||||
| Total stockholders’ equity | 1,653,427 | 1,643,680 | 1,702,757 | 1,694,508 | ||||||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 14,324,664 | $ | 13,327,847 | $ | 13,421,247 | $ | 13,488,483 | ||||||||||||||||||
14
OceanFirst Financial Corp.
CONSOLIDATED STATEMENTS OF INCOME
(in thousands, except per share amounts)
| For the Three Months Ended, | For the Nine Months Ended, | |||||||||||||||||||||||||||||||
| September 30, | June 30, | September 30, | September 30, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2024 | 2025 | 2024 | ||||||||||||||||||||||||||||
| |---------------------- (Unaudited) ----------------------| | |---------- (Unaudited) -----------| | |||||||||||||||||||||||||||||||
| Interest income: | ||||||||||||||||||||||||||||||||
| Loans | $ | 141,847 | $ | 135,478 | $ | 136,635 | $ | 410,344 | $ | 409,805 | ||||||||||||||||||||||
| Debt securities | 17,156 | 15,950 | 19,449 | 50,376 | 58,349 | |||||||||||||||||||||||||||
| Equity investments and other | 3,191 | 3,397 | 5,441 | 10,002 | 14,399 | |||||||||||||||||||||||||||
| Total interest income | 162,194 | 154,825 | 161,525 | 470,722 | 482,553 | |||||||||||||||||||||||||||
| Interest expense: | ||||||||||||||||||||||||||||||||
| Deposits | 53,246 | 52,273 | 62,318 | 156,565 | 182,244 | |||||||||||||||||||||||||||
| Borrowed funds | 18,291 | 14,916 | 16,988 | 49,212 | 49,603 | |||||||||||||||||||||||||||
| Total interest expense | 71,537 | 67,189 | 79,306 | 205,777 | 231,847 | |||||||||||||||||||||||||||
| Net interest income | 90,657 | 87,636 | 82,219 | 264,945 | 250,706 | |||||||||||||||||||||||||||
| Provision for credit losses | 4,092 | 3,039 | 517 | 12,471 | 4,222 | |||||||||||||||||||||||||||
| Net interest income after provision for credit losses | 86,565 | 84,597 | 81,702 | 252,474 | 246,484 | |||||||||||||||||||||||||||
| Other income (loss): | ||||||||||||||||||||||||||||||||
| Bankcard services revenue | 1,663 | 1,619 | 1,615 | 4,745 | 4,602 | |||||||||||||||||||||||||||
| Trust and asset management revenue | 384 | 374 | 384 | 1,164 | 1,329 | |||||||||||||||||||||||||||
| Fees and service charges | 5,190 | 4,969 | 6,096 | 14,871 | 15,584 | |||||||||||||||||||||||||||
| Net gain on sales of loans | 900 | 1,177 | 505 | 2,935 | 1,282 | |||||||||||||||||||||||||||
| Net (loss) gain on equity investments | (7) | 488 | 1,420 | 686 | 4,230 | |||||||||||||||||||||||||||
| Net gain (loss) from other real estate operations | 1 | (260) | — | (275) | — | |||||||||||||||||||||||||||
| Income from bank owned life insurance | 1,988 | 1,786 | 1,779 | 5,626 | 5,367 | |||||||||||||||||||||||||||
| Commercial loan swap income | 1,703 | 207 | 414 | 2,530 | 793 | |||||||||||||||||||||||||||
| Other | 482 | 1,373 | 2,471 | 3,008 | 4,768 | |||||||||||||||||||||||||||
| Total other income | 12,304 | 11,733 | 14,684 | 35,290 | 37,955 | |||||||||||||||||||||||||||
| Operating expenses: | ||||||||||||||||||||||||||||||||
| Compensation and employee benefits | 41,387 | 40,242 | 35,844 | 118,369 | 101,739 | |||||||||||||||||||||||||||
| Occupancy | 6,098 | 5,454 | 5,157 | 17,049 | 15,531 | |||||||||||||||||||||||||||
| Equipment | 931 | 869 | 1,026 | 2,721 | 3,224 | |||||||||||||||||||||||||||
| Marketing | 1,538 | 1,541 | 1,385 | 4,187 | 3,550 | |||||||||||||||||||||||||||
| Federal deposit insurance and regulatory assessments | 2,616 | 2,898 | 2,618 | 8,497 | 8,438 | |||||||||||||||||||||||||||
| Data processing | 7,164 | 6,808 | 5,940 | 20,619 | 17,914 | |||||||||||||||||||||||||||
| Check card processing | 1,170 | 1,156 | 1,153 | 3,496 | 3,278 | |||||||||||||||||||||||||||
| Professional fees | 3,467 | 4,336 | 1,970 | 10,228 | 6,863 | |||||||||||||||||||||||||||
| Amortization of intangibles | 900 | 906 | 803 | 2,746 | 2,457 | |||||||||||||||||||||||||||
| Merger related expenses | — | — | 1,669 | — | 1,669 | |||||||||||||||||||||||||||
| Restructuring charges | 4,147 | — | — | 4,147 | — | |||||||||||||||||||||||||||
| Other operating expenses | 6,909 | 7,264 | 6,171 | 20,036 | 16,365 | |||||||||||||||||||||||||||
| Total operating expenses | 76,327 | 71,474 | 63,736 | 212,095 | 181,028 | |||||||||||||||||||||||||||
| Income before provision for income taxes | 22,542 | 24,856 | 32,650 | 75,669 | 103,411 | |||||||||||||||||||||||||||
| Provision for income taxes | 5,156 | 5,771 | 7,464 | 17,735 | 25,183 | |||||||||||||||||||||||||||
| Net income | 17,386 | 19,085 | 25,186 | 57,934 | 78,228 | |||||||||||||||||||||||||||
| Net income attributable to non-controlling interest | 56 | 39 | 70 | 49 | 72 | |||||||||||||||||||||||||||
| Net income attributable to OceanFirst Financial Corp. | 17,330 | 19,046 | 25,116 | 57,885 | 78,156 | |||||||||||||||||||||||||||
| Dividends on preferred shares | — | 1,004 | 1,004 | 2,008 | 3,012 | |||||||||||||||||||||||||||
| Loss on redemption of preferred stock | — | 1,842 | — | 1,842 | — | |||||||||||||||||||||||||||
| Net income available to common stockholders | $ | 17,330 | $ | 16,200 | $ | 24,112 | $ | 54,035 | $ | 75,144 | ||||||||||||||||||||||
| Basic earnings per share | $ | 0.30 | $ | 0.28 | $ | 0.42 | $ | 0.94 | $ | 1.29 | ||||||||||||||||||||||
| Diluted earnings per share | $ | 0.30 | $ | 0.28 | $ | 0.42 | $ | 0.94 | $ | 1.29 | ||||||||||||||||||||||
| Average basic shares outstanding | 57,031 | 57,738 | 58,065 | 57,599 | 58,405 | |||||||||||||||||||||||||||
| Average diluted shares outstanding | 57,036 | 57,740 | 58,068 | 57,602 | 58,407 | |||||||||||||||||||||||||||
15
OceanFirst Financial Corp.
SELECTED LOAN AND DEPOSIT DATA
(dollars in thousands)
| LOANS RECEIVABLE | At | ||||||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | |||||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | |||||||||||||||||||||||||||||||
| Commercial: | |||||||||||||||||||||||||||||||||||
| Commercial real estate - investor | $ | 5,211,220 | $ | 5,068,125 | $ | 5,200,137 | $ | 5,287,683 | $ | 5,273,159 | |||||||||||||||||||||||||
| Commercial and industrial: | |||||||||||||||||||||||||||||||||||
Commercial and industrial - real estate | 997,122 | 914,406 | 896,647 | 902,219 | 841,930 | ||||||||||||||||||||||||||||||
| Commercial and industrial - non-real estate | 998,860 | 862,504 | 748,575 | 647,945 | 660,879 | ||||||||||||||||||||||||||||||
| Total commercial and industrial | 1,995,982 | 1,776,910 | 1,645,222 | 1,550,164 | 1,502,809 | ||||||||||||||||||||||||||||||
| Total commercial | 7,207,202 | 6,845,035 | 6,845,359 | 6,837,847 | 6,775,968 | ||||||||||||||||||||||||||||||
| Consumer: | |||||||||||||||||||||||||||||||||||
| Residential real estate | 3,135,200 | 3,119,232 | 3,053,318 | 3,049,763 | 3,003,213 | ||||||||||||||||||||||||||||||
| Home equity loans and lines and other consumer ("other consumer") | 215,581 | 220,820 | 226,633 | 230,462 | 242,975 | ||||||||||||||||||||||||||||||
| Total consumer | 3,350,781 | 3,340,052 | 3,279,951 | 3,280,225 | 3,246,188 | ||||||||||||||||||||||||||||||
| Total loans | 10,557,983 | 10,185,087 | 10,125,310 | 10,118,072 | 10,022,156 | ||||||||||||||||||||||||||||||
| Deferred origination costs (fees), net | 13,105 | 13,960 | 11,560 | 10,964 | 10,508 | ||||||||||||||||||||||||||||||
| Allowance for loan credit losses | (81,236) | (79,266) | (78,798) | (73,607) | (69,066) | ||||||||||||||||||||||||||||||
| Loans receivable, net | $ | 10,489,852 | $ | 10,119,781 | $ | 10,058,072 | $ | 10,055,429 | $ | 9,963,598 | |||||||||||||||||||||||||
| Mortgage loans serviced for others | $ | 340,740 | $ | 288,211 | $ | 222,963 | $ | 191,279 | $ | 142,394 | |||||||||||||||||||||||||
| At September 30, 2025 Average Yield | |||||||||||||||||||||||||||||||||||
Loan pipeline (1): | |||||||||||||||||||||||||||||||||||
| Commercial | 6.74 | % | $ | 710,933 | $ | 790,768 | $ | 375,622 | $ | 197,491 | $ | 199,818 | |||||||||||||||||||||||
| Residential real estate | 6.23 | 136,797 | 146,921 | 116,121 | 97,385 | 137,978 | |||||||||||||||||||||||||||||
| Other consumer | 8.40 | 16,184 | 17,110 | 12,681 | 11,783 | 13,788 | |||||||||||||||||||||||||||||
| Total | 6.69 | % | $ | 863,914 | $ | 954,799 | $ | 504,424 | $ | 306,659 | $ | 351,584 | |||||||||||||||||||||||
| For the Three Months Ended | |||||||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | |||||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | |||||||||||||||||||||||||||||||
| Average Yield | |||||||||||||||||||||||||||||||||||
| Loan originations: | |||||||||||||||||||||||||||||||||||
Commercial (2) | 6.80 | % | $ | 739,154 | $ | 425,877 | $ | 233,968 | $ | 268,613 | $ | 245,886 | |||||||||||||||||||||||
| Residential real estate | 6.41 | 250,066 | 274,314 | 167,162 | 235,370 | 169,273 | |||||||||||||||||||||||||||||
| Other consumer | 8.49 | 18,087 | 15,813 | 15,825 | 11,204 | 15,760 | |||||||||||||||||||||||||||||
| Total | 6.73 | % | $ | 1,007,307 | $ | 716,004 | $ | 416,955 | $ | 515,187 | $ | 430,919 | |||||||||||||||||||||||
Loans sold (3) | $ | 145,735 | $ | 142,431 | $ | 104,991 | $ | 127,508 | $ | 65,296 | |||||||||||||||||||||||||
(1)Loan pipeline includes loans approved but not funded.
(2)Excludes commercial loan pool purchases of $24.3 million and $76.1 million for the three months ended March 31, 2025 and December 31, 2024, respectively.
(3)Excludes sale of non-performing residential and consumer loans of $2.2 million and $5.1 million for the three months ended June 30, 2025 and March 31, 2025, respectively.
| DEPOSITS | At | ||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | |||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | |||||||||||||||||||||||||
| Type of Account | |||||||||||||||||||||||||||||
| Non-interest-bearing | $ | 1,731,760 | $ | 1,686,627 | $ | 1,660,738 | $ | 1,617,182 | $ | 1,638,447 | |||||||||||||||||||
| Interest-bearing checking | 4,090,930 | 3,845,602 | 4,006,653 | 4,000,553 | 3,896,348 | ||||||||||||||||||||||||
| Money market | 1,397,434 | 1,377,999 | 1,337,570 | 1,301,197 | 1,288,555 | ||||||||||||||||||||||||
| Savings | 1,000,488 | 1,022,918 | 1,052,504 | 1,066,438 | 1,071,946 | ||||||||||||||||||||||||
Time deposits (1) | 2,215,382 | 2,299,296 | 2,119,558 | 2,080,972 | 2,220,871 | ||||||||||||||||||||||||
| Total deposits | $ | 10,435,994 | $ | 10,232,442 | $ | 10,177,023 | $ | 10,066,342 | $ | 10,116,167 | |||||||||||||||||||
(1)Includes brokered time deposits of $405.1 million, $522.8 million, $370.5 million, $74.7 million, and $201.0 million at September 30, 2025, June 30, 2025, March 31, 2025, December 31, 2024, and September 30, 2024, respectively.
16
OceanFirst Financial Corp.
ASSET QUALITY
(dollars in thousands)
ASSET QUALITY (1) | September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | |||||||||||||||||||||||||
| Non-performing loans: | |||||||||||||||||||||||||||||
| Commercial real estate - investor | $ | 23,570 | $ | 20,457 | $ | 23,595 | $ | 17,000 | $ | 12,478 | |||||||||||||||||||
| Commercial and industrial: | |||||||||||||||||||||||||||||
| Commercial and industrial - real estate | 7,469 | 4,499 | 4,690 | 4,787 | 4,368 | ||||||||||||||||||||||||
| Commercial and industrial - non-real estate | 394 | 311 | 22 | 32 | 122 | ||||||||||||||||||||||||
| Total commercial and industrial | 7,863 | 4,810 | 4,712 | 4,819 | 4,490 | ||||||||||||||||||||||||
| Residential real estate | 7,334 | 5,318 | 5,709 | 10,644 | 9,108 | ||||||||||||||||||||||||
| Other consumer | 2,496 | 2,926 | 2,954 | 3,064 | 2,063 | ||||||||||||||||||||||||
Total non-performing loans (1) | $ | 41,263 | $ | 33,511 | $ | 36,970 | $ | 35,527 | $ | 28,139 | |||||||||||||||||||
| Other real estate owned | 7,498 | 7,680 | 1,917 | 1,811 | — | ||||||||||||||||||||||||
Total non-performing assets | $ | 48,761 | $ | 41,191 | $ | 38,887 | $ | 37,338 | $ | 28,139 | |||||||||||||||||||
| Delinquent loans 30 to 89 days | $ | 19,817 | $ | 14,740 | $ | 46,246 | $ | 36,550 | $ | 15,458 | |||||||||||||||||||
Modifications to borrowers experiencing financial difficulty (2) | |||||||||||||||||||||||||||||
| Non-performing (included in total non-performing loans above) | $ | 7,693 | $ | 8,129 | $ | 8,307 | $ | 3,232 | $ | 3,043 | |||||||||||||||||||
| Performing | 23,952 | 31,986 | 27,592 | 27,631 | 20,652 | ||||||||||||||||||||||||
Total modifications to borrowers experiencing financial difficulty (2) | $ | 31,645 | $ | 40,115 | $ | 35,899 | $ | 30,863 | $ | 23,695 | |||||||||||||||||||
| Allowance for loan credit losses | $ | 81,236 | $ | 79,266 | $ | 78,798 | $ | 73,607 | $ | 69,066 | |||||||||||||||||||
| Allowance for unfunded commitments | 4,636 | 3,289 | 2,846 | 3,264 | 2,797 | ||||||||||||||||||||||||
Allowance for loan credit losses as a percent of total loans receivable (3) | 0.77 | % | 0.78 | % | 0.78 | % | 0.73 | % | 0.69 | % | |||||||||||||||||||
Allowance for loan credit losses as a percent of total non-performing loans (3) | 196.87 | 236.54 | 213.14 | 207.19 | 245.45 | ||||||||||||||||||||||||
| Non-performing loans as a percent of total loans receivable | 0.39 | 0.33 | 0.37 | 0.35 | 0.28 | ||||||||||||||||||||||||
| Non-performing assets as a percent of total assets | 0.34 | 0.31 | 0.29 | 0.28 | 0.21 | ||||||||||||||||||||||||
| Supplemental PCD and non-performing loans | |||||||||||||||||||||||||||||
| PCD loans, net of allowance for loan credit losses | $ | 19,003 | $ | 20,934 | $ | 21,737 | $ | 22,006 | $ | 15,323 | |||||||||||||||||||
| Non-performing PCD loans | 5,677 | 6,800 | 7,724 | 7,931 | 2,887 | ||||||||||||||||||||||||
| Delinquent PCD and non-performing loans 30 to 89 days | 2,987 | 2,590 | 10,489 | 2,997 | 1,279 | ||||||||||||||||||||||||
PCD modifications to borrowers experiencing financial difficulty (2) | 20 | 20 | 22 | 23 | 24 | ||||||||||||||||||||||||
| Asset quality, excluding PCD loans | |||||||||||||||||||||||||||||
Non-performing loans (1) | 35,586 | 26,711 | 29,246 | 27,596 | 25,252 | ||||||||||||||||||||||||
Non-performing assets | 43,084 | 34,391 | 31,163 | 29,407 | 25,252 | ||||||||||||||||||||||||
Delinquent loans 30 to 89 days (excludes non-performing loans) | 16,830 | 12,150 | 35,757 | 33,553 | 14,179 | ||||||||||||||||||||||||
Modifications to borrowers experiencing financial difficulty (2) | 31,625 | 40,095 | 35,877 | 30,840 | 23,671 | ||||||||||||||||||||||||
Allowance for loan credit losses as a percent of total non-performing loans (3) | 228.28 | % | 296.75 | % | 269.43 | % | 266.73 | % | 273.51 | % | |||||||||||||||||||
Non-performing loans as a percent of total loans receivable | 0.34 | 0.26 | 0.29 | 0.27 | 0.25 | ||||||||||||||||||||||||
| Non-performing assets as a percent of total assets | 0.30 | 0.26 | 0.23 | 0.22 | 0.19 | ||||||||||||||||||||||||
(1)The quarters ended June 30, 2025 and March 31, 2025 included the sale of non-performing residential and consumer loans of $2.2 million and $5.1 million, respectively.
(2)Balances represent only modifications to borrowers experiencing financial difficulty, in accordance with ASU 2022-02 adopted on January 1, 2023.
(3)Loans acquired from acquisitions were recorded at fair value. The net unamortized credit and PCD marks on these loans, not reflected in the allowance for loan credit losses, was $4.4 million, $5.0 million, $5.6 million, $6.0 million and $5.7 million at September 30, 2025, June 30, 2025, March 31, 2025, December 31, 2024, and September 30, 2024, respectively.
17
(continued)
| NET LOAN (CHARGE-OFFS) RECOVERIES | For the Three Months Ended | |||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||||||
| Net loan (charge-offs) recoveries: | ||||||||||||||||||||||||||||||||
| Loan charge-offs | $ | (850) | $ | (2,415) | $ | (798) | $ | (55) | $ | (124) | ||||||||||||||||||||||
| Recoveries on loans | 233 | 197 | 162 | 213 | 212 | |||||||||||||||||||||||||||
| Net loan (charge-offs) recoveries | $ | (617) | $ | (2,218) | $ | (636) | $ | 158 | $ | 88 | ||||||||||||||||||||||
| Net loan (charge-offs) recoveries to average total loans (annualized) | 0.02 | % | 0.09 | % | 0.03 | % | NM* | NM* | ||||||||||||||||||||||||
| Net loan (charge-offs) recoveries detail: | ||||||||||||||||||||||||||||||||
Commercial (1) | $ | (522) | $ | (1,666) | $ | 25 | $ | 92 | $ | 129 | ||||||||||||||||||||||
Residential real estate (2) | (24) | (348) | (720) | (17) | (6) | |||||||||||||||||||||||||||
Other consumer (2) | (71) | (204) | 59 | 83 | (35) | |||||||||||||||||||||||||||
| Net loan (charge-offs) recoveries | $ | (617) | $ | (2,218) | $ | (636) | $ | 158 | $ | 88 | ||||||||||||||||||||||
(1)The three months ended June 30, 2025 included charge-offs related to two commercial relationships of $1.6 million.
(2)The three months ended June 30, 2025 and March 31, 2025 included charge-offs of $445,000 and $720,000, respectively, related to the sale of non-performing residential and consumer loans.
* Not meaningful as amounts are net loan recoveries.
18
OceanFirst Financial Corp.
ANALYSIS OF NET INTEREST INCOME
| For the Three Months Ended | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| September 30, 2025 | June 30, 2025 | September 30, 2024 | |||||||||||||||||||||||||||||||||||||||||||||||||||
| (dollars in thousands) | Average Balance | Interest | Average Yield/ Cost (1) | Average Balance | Interest | Average Yield/ Cost (1) | Average Balance | Interest | Average Yield/ Cost (1) | ||||||||||||||||||||||||||||||||||||||||||||
| Assets: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-earning deposits and short-term investments | $ | 94,470 | $ | 1,115 | 4.68 | % | $ | 111,631 | $ | 1,090 | 3.92 | % | $ | 210,245 | $ | 2,971 | 5.62 | % | |||||||||||||||||||||||||||||||||||
Securities (2) | 1,990,917 | 19,232 | 3.83 | 1,917,114 | 18,257 | 3.82 | 2,063,633 | 21,919 | 4.23 | ||||||||||||||||||||||||||||||||||||||||||||
Loans receivable, net (3) | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Commercial | 6,975,780 | 105,587 | 6.01 | 6,786,611 | 100,004 | 5.91 | 6,782,777 | 102,881 | 6.03 | ||||||||||||||||||||||||||||||||||||||||||||
| Residential real estate | 3,151,177 | 32,685 | 4.15 | 3,091,227 | 31,861 | 4.12 | 2,992,138 | 29,677 | 3.97 | ||||||||||||||||||||||||||||||||||||||||||||
| Other consumer | 218,465 | 3,575 | 6.49 | 225,311 | 3,613 | 6.43 | 242,942 | 4,077 | 6.68 | ||||||||||||||||||||||||||||||||||||||||||||
| Allowance for loan credit losses, net of deferred loan costs and fees | (66,812) | — | — | (66,364) | — | — | (59,063) | — | — | ||||||||||||||||||||||||||||||||||||||||||||
| Loans receivable, net | 10,278,610 | 141,847 | 5.49 | 10,036,785 | 135,478 | 5.41 | 9,958,794 | 136,635 | 5.46 | ||||||||||||||||||||||||||||||||||||||||||||
| Total interest-earning assets | 12,363,997 | 162,194 | 5.21 | 12,065,530 | 154,825 | 5.14 | 12,232,672 | 161,525 | 5.26 | ||||||||||||||||||||||||||||||||||||||||||||
| Non-interest-earning assets | 1,187,197 | 1,182,543 | 1,206,024 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Total assets | $ | 13,551,194 | $ | 13,248,073 | $ | 13,438,696 | |||||||||||||||||||||||||||||||||||||||||||||||
| Liabilities and Stockholders’ Equity: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||||||||||||||||||||||||||||||||||
| Interest-bearing checking | $ | 4,000,804 | 21,253 | 2.11 | % | $ | 3,990,602 | 20,605 | 2.07 | % | $ | 3,856,281 | 21,731 | 2.24 | % | ||||||||||||||||||||||||||||||||||||||
| Money market | 1,426,586 | 10,507 | 2.92 | 1,342,194 | 9,718 | 2.90 | 1,256,536 | 11,454 | 3.63 | ||||||||||||||||||||||||||||||||||||||||||||
| Savings | 1,009,742 | 1,674 | 0.66 | 1,029,490 | 1,680 | 0.65 | 1,088,926 | 2,218 | 0.81 | ||||||||||||||||||||||||||||||||||||||||||||
| Time deposits | 2,105,734 | 19,812 | 3.73 | 2,175,564 | 20,270 | 3.74 | 2,339,370 | 26,915 | 4.58 | ||||||||||||||||||||||||||||||||||||||||||||
| Total | 8,542,866 | 53,246 | 2.47 | 8,537,850 | 52,273 | 2.46 | 8,541,113 | 62,318 | 2.90 | ||||||||||||||||||||||||||||||||||||||||||||
| FHLB Advances | 1,123,946 | 12,793 | 4.52 | 880,746 | 9,933 | 4.52 | 757,535 | 9,140 | 4.80 | ||||||||||||||||||||||||||||||||||||||||||||
| Securities sold under agreements to repurchase | 59,017 | 438 | 2.94 | 60,477 | 419 | 2.78 | 75,871 | 491 | 2.57 | ||||||||||||||||||||||||||||||||||||||||||||
| Other borrowings | 249,233 | 5,060 | 8.05 | 260,655 | 4,564 | 7.02 | 499,839 | 7,357 | 5.86 | ||||||||||||||||||||||||||||||||||||||||||||
| Total borrowings | 1,432,196 | 18,291 | 5.07 | 1,201,878 | 14,916 | 4.98 | 1,333,245 | 16,988 | 5.07 | ||||||||||||||||||||||||||||||||||||||||||||
| Total interest-bearing liabilities | 9,975,062 | 71,537 | 2.85 | 9,739,728 | 67,189 | 2.77 | 9,874,358 | 79,306 | 3.20 | ||||||||||||||||||||||||||||||||||||||||||||
| Non-interest-bearing deposits | 1,720,657 | 1,639,045 | 1,634,743 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Non-interest-bearing liabilities | 199,582 | 186,653 | 240,560 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Total liabilities | 11,895,301 | 11,565,426 | 11,749,661 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Stockholders’ equity | 1,655,893 | 1,682,647 | 1,689,035 | ||||||||||||||||||||||||||||||||||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 13,551,194 | $ | 13,248,073 | $ | 13,438,696 | |||||||||||||||||||||||||||||||||||||||||||||||
| Net interest income | $ | 90,657 | $ | 87,636 | $ | 82,219 | |||||||||||||||||||||||||||||||||||||||||||||||
Net interest rate spread (4) | 2.36 | % | 2.37 | % | 2.06 | % | |||||||||||||||||||||||||||||||||||||||||||||||
Net interest margin (5) | 2.91 | % | 2.91 | % | 2.67 | % | |||||||||||||||||||||||||||||||||||||||||||||||
| Total cost of deposits (including non-interest-bearing deposits) | 2.06 | % | 2.06 | % | 2.44 | % | |||||||||||||||||||||||||||||||||||||||||||||||
19
(continued)
| For the Nine Months Ended September 30, | |||||||||||||||||||||||||||||||||||
| 2025 | 2024 | ||||||||||||||||||||||||||||||||||
| (dollars in thousands) | Average Balance | Interest | Average Yield/ Cost (1) | Average Balance | Interest | Average Yield/ Cost (1) | |||||||||||||||||||||||||||||
| Assets: | |||||||||||||||||||||||||||||||||||
| Interest-earning assets: | |||||||||||||||||||||||||||||||||||
| Interest-earning deposits and short-term investments | $ | 102,267 | $ | 3,188 | 4.17 | % | $ | 168,822 | $ | 6,966 | 5.51 | % | |||||||||||||||||||||||
Securities (2) | 1,970,368 | 57,190 | 3.88 | 2,073,552 | 65,782 | 4.24 | |||||||||||||||||||||||||||||
Loans receivable, net (3) | |||||||||||||||||||||||||||||||||||
| Commercial | 6,848,512 | 303,852 | 5.93 | 6,851,021 | 309,922 | 6.04 | |||||||||||||||||||||||||||||
| Residential real estate | 3,103,008 | 95,816 | 4.12 | 2,981,822 | 87,345 | 3.91 | |||||||||||||||||||||||||||||
| Other consumer | 224,073 | 10,676 | 6.37 | 245,777 | 12,538 | 6.81 | |||||||||||||||||||||||||||||
| Allowance for loan credit losses, net of deferred loan costs and fees | (65,028) | — | — | (58,825) | — | — | |||||||||||||||||||||||||||||
| Loans receivable, net | 10,110,565 | 410,344 | 5.42 | 10,019,795 | 409,805 | 5.46 | |||||||||||||||||||||||||||||
| Total interest-earning assets | 12,183,200 | 470,722 | 5.16 | 12,262,169 | 482,553 | 5.25 | |||||||||||||||||||||||||||||
| Non-interest-earning assets | 1,188,063 | 1,216,562 | |||||||||||||||||||||||||||||||||
| Total assets | $ | 13,371,263 | $ | 13,478,731 | |||||||||||||||||||||||||||||||
| Liabilities and Stockholders’ Equity: | |||||||||||||||||||||||||||||||||||
| Interest-bearing liabilities: | |||||||||||||||||||||||||||||||||||
| Interest-bearing checking | $ | 4,041,710 | 63,292 | 2.09 | % | $ | 3,881,344 | 63,570 | 2.19 | % | |||||||||||||||||||||||||
| Money market | 1,363,977 | 29,577 | 2.90 | 1,177,612 | 31,107 | 3.53 | |||||||||||||||||||||||||||||
| Savings | 1,032,239 | 5,138 | 0.67 | 1,202,533 | 9,284 | 1.03 | |||||||||||||||||||||||||||||
| Time deposits | 2,066,745 | 58,558 | 3.79 | 2,363,542 | 78,283 | 4.42 | |||||||||||||||||||||||||||||
| Total | 8,504,671 | 156,565 | 2.46 | 8,625,031 | 182,244 | 2.82 | |||||||||||||||||||||||||||||
| FHLB Advances | 1,000,796 | 34,086 | 4.55 | 704,911 | 25,657 | 4.86 | |||||||||||||||||||||||||||||
| Securities sold under agreements to repurchase | 61,250 | 1,284 | 2.80 | 72,239 | 1,380 | 2.55 | |||||||||||||||||||||||||||||
| Other borrowings | 264,222 | 13,842 | 7.00 | 513,951 | 22,566 | 5.86 | |||||||||||||||||||||||||||||
| Total borrowings | 1,326,268 | 49,212 | 4.96 | 1,291,101 | 49,603 | 5.13 | |||||||||||||||||||||||||||||
| Total interest-bearing liabilities | 9,830,939 | 205,777 | 2.80 | 9,916,132 | 231,847 | 3.12 | |||||||||||||||||||||||||||||
| Non-interest-bearing deposits | 1,653,007 | 1,631,841 | |||||||||||||||||||||||||||||||||
| Non-interest-bearing liabilities | 202,976 | 251,878 | |||||||||||||||||||||||||||||||||
| Total liabilities | 11,686,922 | 11,799,851 | |||||||||||||||||||||||||||||||||
| Stockholders’ equity | 1,684,341 | 1,678,880 | |||||||||||||||||||||||||||||||||
| Total liabilities and stockholders’ equity | $ | 13,371,263 | $ | 13,478,731 | |||||||||||||||||||||||||||||||
| Net interest income | $ | 264,945 | $ | 250,706 | |||||||||||||||||||||||||||||||
Net interest rate spread (4) | 2.36 | % | 2.13 | % | |||||||||||||||||||||||||||||||
Net interest margin (5) | 2.91 | % | 2.73 | % | |||||||||||||||||||||||||||||||
| Total cost of deposits (including non-interest-bearing deposits) | 2.06 | % | 2.37 | % | |||||||||||||||||||||||||||||||
(1) Average yields and costs are annualized.
(2) Amounts represent debt and equity securities, including FHLB and Federal Reserve Bank stock, and are recorded at average amortized cost, net of allowance for securities credit losses.
(3) Amount is net of deferred loan costs and fees, undisbursed loan funds, discounts and premiums and allowance for loan credit losses, and includes loans held-for-sale and non-performing loans.
(4) Net interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities.
(5) Net interest margin represents net interest income divided by average interest-earning assets.
20
OceanFirst Financial Corp.
SELECTED QUARTERLY FINANCIAL DATA
(in thousands, except per share amounts)
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||||||
| Selected Financial Condition Data: | ||||||||||||||||||||||||||||||||
| Total assets | $ | 14,324,664 | $ | 13,327,847 | $ | 13,309,278 | $ | 13,421,247 | $ | 13,488,483 | ||||||||||||||||||||||
Debt securities available-for-sale, at estimated fair value | 1,261,580 | 735,561 | 746,168 | 827,500 | 911,753 | |||||||||||||||||||||||||||
| Debt securities held-to-maturity, net of allowance for securities credit losses | 919,734 | 968,969 | 1,005,476 | 1,045,875 | 1,075,131 | |||||||||||||||||||||||||||
| Equity investments | 90,731 | 87,808 | 87,365 | 84,104 | 95,688 | |||||||||||||||||||||||||||
| Restricted equity investments, at cost | 142,398 | 106,538 | 102,172 | 108,634 | 98,545 | |||||||||||||||||||||||||||
| Loans receivable, net of allowance for loan credit losses | 10,489,852 | 10,119,781 | 10,058,072 | 10,055,429 | 9,963,598 | |||||||||||||||||||||||||||
| Deposits | 10,435,994 | 10,232,442 | 10,177,023 | 10,066,342 | 10,116,167 | |||||||||||||||||||||||||||
| Federal Home Loan Bank advances | 1,705,585 | 938,687 | 891,021 | 1,072,611 | 891,860 | |||||||||||||||||||||||||||
| Securities sold under agreements to repurchase from customers and other borrowings | 263,007 | 259,509 | 262,940 | 258,113 | 501,090 | |||||||||||||||||||||||||||
| Total stockholders’ equity | 1,653,427 | 1,643,680 | 1,709,117 | 1,702,757 | 1,694,508 | |||||||||||||||||||||||||||
| For the Three Months Ended, | ||||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||||||
| Selected Operating Data: | ||||||||||||||||||||||||||||||||
| Interest income | $ | 162,194 | $ | 154,825 | $ | 153,703 | $ | 159,620 | $ | 161,525 | ||||||||||||||||||||||
| Interest expense | 71,537 | 67,189 | 67,051 | 76,291 | 79,306 | |||||||||||||||||||||||||||
| Net interest income | 90,657 | 87,636 | 86,652 | 83,329 | 82,219 | |||||||||||||||||||||||||||
| Provision for credit losses (excluding Spring Garden) | 4,092 | 3,039 | 5,340 | 2,041 | 517 | |||||||||||||||||||||||||||
| Spring Garden opening provision for credit losses | — | — | — | 1,426 | — | |||||||||||||||||||||||||||
| Net interest income after provision for credit losses | 86,565 | 84,597 | 81,312 | 79,862 | 81,702 | |||||||||||||||||||||||||||
| Other income (excluding equity investments and sale of trust) | 12,311 | 11,245 | 11,048 | 12,237 | 11,826 | |||||||||||||||||||||||||||
| Net (loss) gain on equity investments | (7) | 488 | 205 | (5) | 1,420 | |||||||||||||||||||||||||||
| Net gain on sale of trust business | — | — | — | — | 1,438 | |||||||||||||||||||||||||||
| Operating expenses (excluding merger related expenses, restructuring charges, and FDIC special assessment release) | 72,390 | 71,474 | 64,294 | 64,739 | 62,067 | |||||||||||||||||||||||||||
| Merger related expenses | — | — | — | 110 | 1,669 | |||||||||||||||||||||||||||
| Restructuring charges | 4,147 | — | — | — | — | |||||||||||||||||||||||||||
| FDIC special assessment release | (210) | — | — | — | — | |||||||||||||||||||||||||||
| Income before provision for income taxes | 22,542 | 24,856 | 28,271 | 27,245 | 32,650 | |||||||||||||||||||||||||||
| Provision for income taxes | 5,156 | 5,771 | 6,808 | 5,083 | 7,464 | |||||||||||||||||||||||||||
| Net income | 17,386 | 19,085 | 21,463 | 22,162 | 25,186 | |||||||||||||||||||||||||||
| Net income (loss) attributable to non-controlling interest | 56 | 39 | (46) | 253 | 70 | |||||||||||||||||||||||||||
| Net income attributable to OceanFirst Financial Corp. | $ | 17,330 | $ | 19,046 | $ | 21,509 | $ | 21,909 | $ | 25,116 | ||||||||||||||||||||||
| Net income available to common stockholders | $ | 17,330 | $ | 16,200 | $ | 20,505 | $ | 20,905 | $ | 24,112 | ||||||||||||||||||||||
| Diluted earnings per share | $ | 0.30 | $ | 0.28 | $ | 0.35 | $ | 0.36 | $ | 0.42 | ||||||||||||||||||||||
| Net accretion/amortization of purchase accounting adjustments included in net interest income | $ | 510 | $ | 420 | $ | 219 | $ | 20 | $ | 741 | ||||||||||||||||||||||
21
(continued)
| At or For the Three Months Ended | ||||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||||||
Selected Financial Ratios and Other Data(1) (2): | ||||||||||||||||||||||||||||||||
| Performance Ratios (Annualized): | ||||||||||||||||||||||||||||||||
Return on average assets (3) | 0.51 | % | 0.49 | % | 0.62 | % | 0.61 | % | 0.71 | % | ||||||||||||||||||||||
Return on average tangible assets (3) (4) | 0.53 | 0.51 | 0.65 | 0.64 | 0.74 | |||||||||||||||||||||||||||
Return on average stockholders’ equity (3) | 4.15 | 3.86 | 4.85 | 4.88 | 5.68 | |||||||||||||||||||||||||||
Return on average tangible stockholders’ equity (3) (4) | 6.13 | 5.66 | 7.05 | 7.12 | 8.16 | |||||||||||||||||||||||||||
Return on average tangible common equity (3) (4) | 6.13 | 5.66 | 7.40 | 7.47 | 8.57 | |||||||||||||||||||||||||||
| Stockholders’ equity to total assets | 11.54 | 12.33 | 12.84 | 12.69 | 12.56 | |||||||||||||||||||||||||||
Tangible stockholders’ equity to tangible assets (4) | 8.12 | 8.67 | 9.19 | 9.06 | 9.10 | |||||||||||||||||||||||||||
Tangible common equity to tangible assets (4) | 8.12 | 8.67 | 8.76 | 8.62 | 8.68 | |||||||||||||||||||||||||||
| Net interest rate spread | 2.36 | 2.37 | 2.35 | 2.11 | 2.06 | |||||||||||||||||||||||||||
| Net interest margin | 2.91 | 2.91 | 2.90 | 2.69 | 2.67 | |||||||||||||||||||||||||||
| Operating expenses to average assets | 2.23 | 2.16 | 1.96 | 1.90 | 1.89 | |||||||||||||||||||||||||||
Efficiency ratio (5) | 74.13 | 71.93 | 65.67 | 67.86 | 65.77 | |||||||||||||||||||||||||||
| Loan-to-deposit ratio | 101.20 | 99.50 | 99.50 | 100.50 | 99.10 | |||||||||||||||||||||||||||
| For the Nine Months Ended September 30, | ||||||||||||||
| 2025 | 2024 | |||||||||||||
| Performance Ratios (Annualized): | ||||||||||||||
Return on average assets (3) | 0.54 | % | 0.74 | % | ||||||||||
Return on average tangible assets (3) (4) | 0.56 | 0.77 | ||||||||||||
Return on average stockholders’ equity (3) | 4.29 | 5.98 | ||||||||||||
Return on average tangible stockholders’ equity (3) (4) | 6.28 | 8.62 | ||||||||||||
Return on average tangible common equity (3) (4) | 6.28 | 9.05 | ||||||||||||
| Net interest rate spread | 2.36 | 2.13 | ||||||||||||
| Net interest margin | 2.91 | 2.73 | ||||||||||||
| Operating expenses to average assets | 2.12 | 1.79 | ||||||||||||
Efficiency ratio (5) | 70.64 | 62.71 | ||||||||||||
22
(continued)
| At or For the Three Months Ended | ||||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||||||
| Trust and Asset Management: | ||||||||||||||||||||||||||||||||
| Wealth assets under administration and management (“AUA/M”) | $ | 143,708 | $ | 141,921 | $ | 149,106 | $ | 147,956 | $ | 152,797 | ||||||||||||||||||||||
| Nest Egg AUA/M | 463,906 | 462,664 | 453,803 | 431,434 | 430,413 | |||||||||||||||||||||||||||
| Total AUA/M | 607,614 | 604,585 | 602,909 | 579,390 | 583,210 | |||||||||||||||||||||||||||
| Per Share Data: | ||||||||||||||||||||||||||||||||
| Cash dividends per common share | $ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.20 | $ | 0.20 | ||||||||||||||||||||||
| Book value per common share at end of period | 28.81 | 28.64 | 29.27 | 29.08 | 29.02 | |||||||||||||||||||||||||||
Tangible book value per common share at end of period (4) | 19.52 | 19.34 | 19.16 | 18.98 | 19.28 | |||||||||||||||||||||||||||
| Common shares outstanding at end of period | 57,388,603 | 57,383,975 | 58,383,525 | 58,554,871 | 58,397,094 | |||||||||||||||||||||||||||
| Preferred shares outstanding at end of period | — | — | 57,370 | 57,370 | 57,370 | |||||||||||||||||||||||||||
| Number of full-service customer facilities: | 40 | 40 | 39 | 39 | 39 | |||||||||||||||||||||||||||
| Quarterly Average Balances | ||||||||||||||||||||||||||||||||
| Total securities | $ | 1,990,917 | $ | 1,917,114 | $ | 2,003,206 | $ | 2,116,911 | $ | 2,063,633 | ||||||||||||||||||||||
| Loans receivable, net | 10,278,610 | 10,036,785 | 10,013,383 | 10,018,742 | 9,958,794 | |||||||||||||||||||||||||||
| Total interest-earning assets | 12,363,997 | 12,065,530 | 12,112,028 | 12,331,483 | 12,232,672 | |||||||||||||||||||||||||||
| Total goodwill and intangibles | 533,835 | 534,734 | 535,657 | 534,942 | 513,731 | |||||||||||||||||||||||||||
| Total assets | 13,551,194 | 13,248,073 | 13,311,893 | 13,545,052 | 13,438,696 | |||||||||||||||||||||||||||
| Time deposits | 2,105,734 | 2,175,564 | 1,916,109 | 2,212,750 | 2,339,370 | |||||||||||||||||||||||||||
| Total deposits (including non-interest-bearing deposits) | 10,263,523 | 10,176,895 | 10,030,051 | 10,286,489 | 10,175,856 | |||||||||||||||||||||||||||
| Total borrowings | 1,432,196 | 1,201,878 | 1,343,757 | 1,328,016 | 1,333,245 | |||||||||||||||||||||||||||
| Total interest-bearing liabilities | 9,975,062 | 9,739,728 | 9,775,836 | 9,987,129 | 9,874,358 | |||||||||||||||||||||||||||
| Non-interest bearing deposits | 1,720,657 | 1,639,045 | 1,597,972 | 1,627,376 | 1,634,743 | |||||||||||||||||||||||||||
| Stockholders' equity | 1,655,893 | 1,682,647 | 1,715,134 | 1,703,326 | 1,689,035 | |||||||||||||||||||||||||||
Tangible stockholders’ equity (4) | 1,122,058 | 1,147,913 | 1,179,477 | 1,168,384 | 1,175,304 | |||||||||||||||||||||||||||
| Quarterly Yields and Costs | ||||||||||||||||||||||||||||||||
| Total securities | 3.83 | % | 3.82 | % | 3.99 | % | 4.09 | % | 4.23 | % | ||||||||||||||||||||||
| Loans receivable, net | 5.49 | 5.41 | 5.37 | 5.38 | 5.46 | |||||||||||||||||||||||||||
| Total interest-earning assets | 5.21 | 5.14 | 5.13 | 5.15 | 5.26 | |||||||||||||||||||||||||||
| Time deposits | 3.73 | 3.74 | 3.91 | 4.34 | 4.58 | |||||||||||||||||||||||||||
| Total cost of deposits (including non-interest-bearing deposits) | 2.06 | 2.06 | 2.06 | 2.32 | 2.44 | |||||||||||||||||||||||||||
| Total borrowed funds | 5.07 | 4.98 | 4.83 | 4.91 | 5.07 | |||||||||||||||||||||||||||
| Total interest-bearing liabilities | 2.85 | 2.77 | 2.78 | 3.04 | 3.20 | |||||||||||||||||||||||||||
| Net interest spread | 2.36 | 2.37 | 2.35 | 2.11 | 2.06 | |||||||||||||||||||||||||||
| Net interest margin | 2.91 | 2.91 | 2.90 | 2.69 | 2.67 | |||||||||||||||||||||||||||
(1) With the exception of end of quarter ratios, all ratios are based on average daily balances.
(2) Performance ratios for each period are presented on a GAAP basis and include non-core operations. Refer to “Other Items - Non-GAAP Reconciliation.”
(3) Ratios for each period are based on net income available to common stockholders.
(4) Tangible stockholders’ equity and tangible assets exclude goodwill and other intangibles. Tangible common equity (also referred to as “tangible book value”) excludes goodwill, intangibles and preferred equity. Refer to “Other Items - Non-GAAP Reconciliation.”
(5) Efficiency ratio represents the ratio of operating expenses to the aggregate of other income and net interest income.
23
OceanFirst Financial Corp.
OTHER ITEMS
(dollars in thousands, except per share amounts)
NON-GAAP RECONCILIATION
| For the Three Months Ended | ||||||||||||||||||||||||||||||||
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||||||
| Core Earnings: | ||||||||||||||||||||||||||||||||
Net income available to common stockholders (GAAP) | $ | 17,330 | $ | 16,200 | $ | 20,505 | $ | 20,905 | $ | 24,112 | ||||||||||||||||||||||
| Adjustments to exclude the impact of non-recurring and non-core items: | ||||||||||||||||||||||||||||||||
| Spring Garden opening provision for credit losses | — | — | — | 1,426 | — | |||||||||||||||||||||||||||
| Net loss (gain) on equity investments | 7 | (488) | (205) | 5 | (1,420) | |||||||||||||||||||||||||||
| Net gain on sale of trust business | — | — | — | — | (1,438) | |||||||||||||||||||||||||||
| Restructuring charges | 4,147 | — | — | — | — | |||||||||||||||||||||||||||
| FDIC special assessment release | (210) | — | — | — | — | |||||||||||||||||||||||||||
| Merger related expenses | — | — | — | 110 | 1,669 | |||||||||||||||||||||||||||
| Income tax (benefit) expense on items | (926) | 115 | 49 | (388) | 270 | |||||||||||||||||||||||||||
| Loss on redemption of preferred stock | — | 1,842 | — | — | — | |||||||||||||||||||||||||||
Core earnings (Non-GAAP) | $ | 20,348 | $ | 17,669 | $ | 20,349 | $ | 22,058 | $ | 23,193 | ||||||||||||||||||||||
| Income tax expense | $ | 5,156 | $ | 5,771 | $ | 6,808 | $ | 5,083 | $ | 7,464 | ||||||||||||||||||||||
| Provision for credit losses | 4,092 | 3,039 | 5,340 | 3,467 | 517 | |||||||||||||||||||||||||||
| Less: non-core provision for credit losses | — | — | — | 1,426 | — | |||||||||||||||||||||||||||
| Less: income tax (benefit) expense on non-core items | (926) | 115 | 49 | (388) | 270 | |||||||||||||||||||||||||||
Core earnings PTPP (Non-GAAP) | $ | 30,522 | $ | 26,364 | $ | 32,448 | $ | 29,570 | $ | 30,904 | ||||||||||||||||||||||
| Core earnings diluted earnings per share | $ | 0.36 | $ | 0.31 | $ | 0.35 | $ | 0.38 | $ | 0.39 | ||||||||||||||||||||||
| Core earnings PTPP diluted earnings per share | $ | 0.54 | $ | 0.46 | $ | 0.56 | $ | 0.51 | $ | 0.53 | ||||||||||||||||||||||
| Core Ratios (Annualized): | ||||||||||||||||||||||||||||||||
| Return on average assets | 0.60 | % | 0.53 | % | 0.62 | % | 0.65 | % | 0.69 | % | ||||||||||||||||||||||
| Return on average tangible stockholders’ equity | 7.19 | 6.17 | 7.00 | 7.51 | 7.85 | |||||||||||||||||||||||||||
| Return on average tangible common equity | 7.19 | 6.17 | 7.34 | 7.89 | 8.24 | |||||||||||||||||||||||||||
| Efficiency ratio | 70.30 | 72.28 | 65.81 | 67.74 | 66.00 | |||||||||||||||||||||||||||
24
(continued)
| For the Nine Months Ended September 30, | ||||||||||||||
| 2025 | 2024 | |||||||||||||
| Core Earnings: | ||||||||||||||
Net income available to common stockholders (GAAP) | $ | 54,035 | $ | 75,144 | ||||||||||
| Adjustments to exclude the impact of non-recurring and non-core items: | ||||||||||||||
| Net gain on equity investments | (686) | (4,230) | ||||||||||||
| Net gain on sale of trust business | — | (2,600) | ||||||||||||
| Restructuring charges | 4,147 | — | ||||||||||||
| FDIC special assessment (release) expense | (210) | 418 | ||||||||||||
| Merger related expenses | — | 1,669 | ||||||||||||
| Income tax (benefit) expense on items | (762) | 1,100 | ||||||||||||
| Loss on redemption of preferred stock | 1,842 | — | ||||||||||||
Core earnings (Non-GAAP) | $ | 58,366 | $ | 71,501 | ||||||||||
| Income tax expense | $ | 17,735 | $ | 25,183 | ||||||||||
| Provision for credit losses | 12,471 | 4,222 | ||||||||||||
| Less: income tax (benefit) expense on non-core items | (762) | 1,100 | ||||||||||||
Core earnings PTPP (Non-GAAP) | $ | 89,334 | $ | 99,806 | ||||||||||
| Core diluted earnings per share | $ | 1.01 | $ | 1.22 | ||||||||||
| Core earnings PTPP diluted earnings per share | $ | 1.55 | $ | 1.71 | ||||||||||
| Core Ratios (Annualized): | ||||||||||||||
| Return on average assets | 0.58 | % | 0.71 | % | ||||||||||
| Return on average tangible stockholders’ equity | 6.79 | 8.20 | ||||||||||||
| Return on average tangible common equity | 6.79 | 8.61 | ||||||||||||
| Efficiency ratio | 69.49 | 63.49 | ||||||||||||
25
(continued)
| September 30, | June 30, | March 31, | December 31, | September 30, | ||||||||||||||||||||||||||||
| 2025 | 2025 | 2025 | 2024 | 2024 | ||||||||||||||||||||||||||||
| Tangible Equity: | ||||||||||||||||||||||||||||||||
| Total stockholders' equity | $ | 1,653,427 | $ | 1,643,680 | $ | 1,709,117 | $ | 1,702,757 | $ | 1,694,508 | ||||||||||||||||||||||
| Less: | ||||||||||||||||||||||||||||||||
| Goodwill | 523,308 | 523,308 | 523,308 | 523,308 | 506,146 | |||||||||||||||||||||||||||
| Intangibles | 9,934 | 10,834 | 11,740 | 12,680 | 7,056 | |||||||||||||||||||||||||||
| Tangible stockholders' equity | 1,120,185 | 1,109,538 | 1,174,069 | 1,166,769 | 1,181,306 | |||||||||||||||||||||||||||
| Less: | ||||||||||||||||||||||||||||||||
| Preferred stock | — | — | 55,527 | 55,527 | 55,527 | |||||||||||||||||||||||||||
| Tangible common equity | $ | 1,120,185 | $ | 1,109,538 | $ | 1,118,542 | $ | 1,111,242 | $ | 1,125,779 | ||||||||||||||||||||||
| Tangible Assets: | ||||||||||||||||||||||||||||||||
| Total assets | $ | 14,324,664 | $ | 13,327,847 | $ | 13,309,278 | $ | 13,421,247 | $ | 13,488,483 | ||||||||||||||||||||||
| Less: | ||||||||||||||||||||||||||||||||
| Goodwill | 523,308 | 523,308 | 523,308 | 523,308 | 506,146 | |||||||||||||||||||||||||||
| Intangibles | 9,934 | 10,834 | 11,740 | 12,680 | 7,056 | |||||||||||||||||||||||||||
| Tangible assets | $ | 13,791,422 | $ | 12,793,705 | $ | 12,774,230 | $ | 12,885,259 | $ | 12,975,281 | ||||||||||||||||||||||
| Tangible stockholders' equity to tangible assets | 8.12 | % | 8.67 | % | 9.19 | % | 9.06 | % | 9.10 | % | ||||||||||||||||||||||
| Tangible common equity to tangible assets | 8.12 | % | 8.67 | % | 8.76 | % | 8.62 | % | 8.68 | % | ||||||||||||||||||||||
26
. . . (1) The 3Q 2025 Earnings Release Supplement should be read in conjunction with the Earnings Release furnished as Exhibit 99.1 to the Form 8-K filed with the SEC on October 22, 2025. OceanFirst Financial Corp. 3Q 2025 Earnings Release Supplement(1) October 2025 Exhibit 99.2
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Legal Disclaimer FORWARD LOOKING STATEMENTS. In addition to historical information, this presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on certain assumptions and describe future plans, financial results, strategies and expectations of the Company. These forward-looking statements are generally identified by use of the words “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” “will,” “should,” “may,” “view,” “opportunity,” “potential,” or similar expressions or expressions of confidence. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to: changes in interest rates, inflation, general economic conditions, including potential recessionary conditions, levels of unemployment in the Company’s lending area, real estate market values in the Company’s lending area, potential goodwill impairment, natural disasters, potential increases to flood insurance premiums, the current or anticipated impact of military conflict, terrorism or other geopolitical events, the imposition of tariffs or other domestic or international governmental policies and retaliatory responses, the effects of the federal government shutdown, the level of prepayments on loans and mortgage-backed securities, legislative/regulatory changes, monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Board of Governors of the Federal Reserve System, the quality or composition of the loan or investment portfolios, demand for loan products, deposit flows, the availability of low-cost funding, changes in liquidity, including the size and composition of the Company’s deposit portfolio and the percentage of uninsured deposits in the portfolio, changes in capital management and balance sheet strategies and the ability to successfully implement such strategies, competition, demand for financial services in the Company’s market area, changes in investor sentiment and consumer spending, borrowing and saving habits, changes in accounting principles, a failure in or breach of the Company’s operational or security systems or infrastructure, including cyberattacks, the failure to maintain current technologies, failure to retain or attract employees, the impact of pandemics on our operations and financial results and those of our customers and the Bank’s ability to successfully integrate acquired operations. These risks and uncertainties are further discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, under Item 1A - Risk Factors and elsewhere, and subsequent securities filings and should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. NON-GAAP FINANCIAL INFORMATION. This presentation contains certain non-GAAP (generally accepted accounting principles) measures. These non-GAAP measures, as calculated by the Company, are not necessarily comparable to similarly titled measures reported by other companies. Additionally, these non-GAAP measures are not measures of financial performance or liquidity under GAAP and should not be considered alternatives to the Company's other financial information determined under GAAP. See reconciliations of certain non-GAAP measures included at the end of this presentation and in the Company’s Earnings Release furnished as Exhibit 99.1 to the Form 8-K as filed with the SEC on October 22, 2025. MARKET AND INDUSTRY DATA. This presentation references certain market, industry and demographic data, forecasts and other statistical information. We have obtained this data, forecasts and information from various independent, third-party industry sources and publications. Nothing in the data, forecasts or information used or derived from third-party sources should be construed as advice. Some data and other information are also based on our good faith estimates, which are derived from our review of industry publications and surveys and independent sources. We believe that these sources and estimates are reliable but have not independently verified them. Statements as to our market position are based on market data currently available to us. These estimates involve inherent risks and uncertainties and are based on assumptions that are subject to change. 2
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Tailored Footprint Across Key Markets Overview of OceanFirst Corporate Overview & Market Data Ticker OCFC (NASDAQ) HQ Red Bank, NJ Branch Network 40 branches; 9 commercial banking centers Core Markets New Jersey, New York City, Greater Philadelphia Expansion Markets Boston, Northern Virginia, and Baltimore Balance Sheet and Capital (Q1-23) Assets $14.3 billion Net Loans $10.5 billion Deposits $10.4 billion Non-performing Loans / Loans(1) 0.34% Tang. Equity / Tang. Assets(2) 8.1% CET1 Ratio (3) 10.6% Q3-25 Loan Portfolio ($’millions) Q3-25 Deposit Base ($’millions) Core Profitability (Q1-23)2 Net Income $20.3 million EPS $0.36 Net Interest Margin (%)(4) 2.89% Efficiency Ratio (%) 70.3% ROAA (%) 0.60% ROTCE (%) 7.19% Corporate Overview and Market Data Balance Sheet and ital (Q3-25) Core Profitability (Q3-25)(2) $5,211 CRE Investor -Owned $997 C&I - real estate $999 C&I - non-real estate $3,135 Residential $216 Home Eq. & Consumer Note: All data presented is as of September 30, 2025. (1) PCD loans are not included in these metrics. (2) For non-GAAP financial measures, please refer to the “Non-GAAP Reconciliations” in the Appendix for a reconciliation to GAAP financial information. (3) Q3-25 CET1 Ratio – Preliminary Estimate. (4) Core NIM excludes purchase accounting and prepayment fee income. (5) See details on slide 11. $1,732 Non-interest $4,091 Interest-bearing $1,398 Money market $1,000Savings $2,215 Time deposits 3 3 Baltimore and Northern VA Boston Area PA, NJ, NYC 1 2 Commercial Banking Centers Retail Branches Premier Locations 2 3 1 Commercial Banking Centers Retail Branches Premier Locations(5)
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Proven Historical Net Interest Income and Loan Growth 120,262 169,218 240,502 255,971 312,951 305,338 377,477 369,731 334,035 264,945 3.46% 2016 3.52% 2017 3.71% 2018 3.62% 2019 3.16% 2020 2.93% 2021 3.37% 2022 3.02% 2023 2.72% 2024 2.91% 354,230 YTD Sep-25 Net Interest Margin YTD Net Interest Income Annualized Net Interest Income Net Interest Income Growth ($’thousands) Net Interest Income CAGR 13% 1,135 1,187 2,023 2,296 3,492 4,378 5,172 5,354 5,288 5,211 687 758 1,046 1,189 1,616 1,504 1,620 1,610 1,550 1,996 1,704 1,749 2,045 2,321 2,309 2,480 2,862 2,980 3,050 3,135 475 2018 408 2019 339 2020 261 2021 264 2022 251 2023 230 291 216 Q3-25 3,817 3,975 5,589 6,214 7,756 8,623 9,918 10,195 10,118 10,558 2016 281 2017 2024 Home Equity & Consumer Residential C&I Investor-Owned CRE Significant Growth in Commercial Loan Portfolio ($’millions) Investor-Owned CRE CAGR 19% C&I CAGR 13% 4
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Successful Commercial Loan Growth and Geographic DiversificationFont 48% 68% 2016 Q3-25 +21% (Commercial % of Loan Portfolio) Commercial Loans by Geography(1) as of Q3-25 Emphasis on Commercial Increase of $5.4B in commercial loans since 2016 Total: $7.2B 38% 30% 22% 5% New Jersey New York Philadelphia Boston 3% Baltimore 2% Other Markets (2) 5 (1) Based on location the loan is managed. (2) Other includes Washington DC, Northern Virginia, Pittsburgh and Columbus.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Balanced Approach to Deposit Pricing and Growth Deposit Composition ($’millions) 646 607 867 937 1,373 775 1,542 2,445 2,081 2,215673 661 877 898 1,491 1,608 1,488 1,399 1,066 1,000 459 364 570 784 736 714 1,022 1,301 1,398 1,627 1,954 2,350 2,539 3,647 4,202 3,830 3,912 4,001 4,091 783 757 1,151 1,377 2,133 2,412 2,101 1,657 1,617 1,732 2016 2017 2018 578 2019 2020 2021 2022 2023 2024 Q3-25 4,188 4,343 5,815 6,329 9,428 9,733 9,675 10,435 10,066 10,436 Non-interest-bearing deposits Interest-bearing deposits Money Market Savings Time deposits Organic Deposit Growth ($’millions) 4,343 9,733 9,675 10,435 10,066 10,436 2,123 1,616 1,894 2016 2017 2018 449 2019 2020 2021 2022 2023 2024 Q3-25 4,188 5,815 6,329 9,428 Acquired Deposits Organic Deposits 56% 44% Commercial Consumer Total: $10.4B Deposit Stratification 6
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Conservative Credit Risk ProfileFont 0.05% 2017 0.09% 0.01% 0.03% 0.13% 0.05% 2018 0.05% 0.08% 0.00% 0.12% 0.04% 2019 0.14% 0.17% 0.02% 0.11% 0.03% 2020 0.02% 0.10% 0.00% 0.07% 0.02% 2021 0.07% 0.04% 0.00% 0.06% 0.02% 2022 0.18% 0.00% 0.05% 0.02% 2023 0.10% 0.04% 0.00% 0.10% 0.03% 2024 0.18% 0.07% 0.21% 0.07% 0.02% Q3-25 0.52% 0.31% 0.29% 0.47% 0.00% 0.19% 0.26% 0.27% 0.34% 0.15% 0.01% 0.11% 0.22% CRE: IO C&I - Real Estate C&I - Non-Real Estate Residential Consumer (1) PCD loans are not included in these metrics. Refer to the “Asset Quality” section in the Earnings Release for additional information. (2) Peer reporting is on a one quarter lag. 0.54 0.69 2017 0.25 0.60 2018 0.22 2022 0.19 0.38 2023 0.22 0.55 2024 0.26 0.56 0.64 0.30 Q3-25 0.16 0.44 0.32 2020 20212019 0.15 0.40 0.59 Q2-25 NPA/Assets Peer Average NPA/Assets Continued Focus on Credit Risk(1)Non-performing Loans by Type as % of Loans(1) 0.01% 7 (2)
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Business Model Strength Driving Significant Capital ReturnFont $12.33 $0.49 $0.55 $1.01 $13.67 2015 $1.04 $1.55 $12.94 2016 $1.09 $2.15 $13.58 2017 $1.39 $2.77 $14.26 2018 $1.97 $3.45 $15.13 2019 $2.25 $4.13 $14.98 2020 $2.86 $4.81 $15.93 2021 $2.98 $5.55 $17.08 2022 $2.98 $6.35 $18.35 2023 $3.35 $7.15 $18.98 2024 $3.74 $7.75 $19.52 2013 $13.95 $15.62 $15.53 $16.82 $18.42 $20.55 $21.36 Q3-25 $25.61 $27.68 $29.48 $31.01 $12.91 2014 $0.94 $23.60 The growth in TBV per common share(1) (TBVPS) is attributed to: ▪ Minimally dilutive and strategic acquisitions including in critical new markets ▪ Stable and competitive dividend ▪ 115th consecutive quarter ▪ Historical target Payout Ratio of 30% to 50% Growth Since 2013 Tangible Book Value per Share (1) 58.3% Total Capital Return per Share 151.5% Cumulative Share Repurchase/Share Cumulative Dividends/Share TBVPS 8 (1) For non-GAAP financial measures, please refer to the “Non-GAAP Reconciliations” in the Appendix for a reconciliation to GAAP financial information.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Quarterly Earnings Update 9
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Q3-25 Financial Highlights (1) For non-GAAP financial measures, please refer to the “Non-GAAP Reconciliations” in the Appendix for a reconciliation to GAAP financial information (2) Q3-25 CET1 Ratio – Preliminary Estimate. (3) See details on slide 11 Financial Highlights $0.36 Core Diluted EPS(1) $91 million Net Interest Income 0.60% Core ROAA(1) 7.19% Core ROTCE(1) $0.54 Core PTPP Diluted EPS(1) 10.6% CET1 Ratio(2) ▪ Total loans increased $373 million (or 14% annualized), including $219 million of commercial and industrial loan growth. The commercial loan pipeline remained robust at $711 million and will help drive continued growth in Q4-25. ▪ Deposits, excluding brokered deposit run-off of $118 million, increased $321 million from the linked quarter showing continued strength in funding. ▪ Premier Banking(3) teams (hired in April) have contributed $242 million of deposits – an increase of $127 million from the linked quarter – at a weighted average cost of 2.64%. Based on performance and pipeline to date, we remain optimistic on the trajectory of the Premier Bank’s growth. ▪ We announced the strategic decision to outsource our residential loan originations and title business platforms. This will drive an anticipated annual expense savings of approximately $14 million offset in part by a reduction of residential loan sales in 2026. One-time costs associated with this initiative totaled $4 million in Q3-25 and approximately $8 million in Q4-25. 10
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Premier Bank Update Multi-Year Aspiration Goals Performance To Date ▪ Teams to achieve their full run-rate in 2 to 3 years. ▪ Target deposits of $2 to $3 billion by end of 2027. ▪ 9 Teams hired and onboarded, totaling 36 FTEs. ▪ $242 million of deposits through 9/30/25 at a weighted average cost of 2.64%. ▪ Added +1,100 new accounts across ~300 relationships. ▪ Target $500 million in deposits in 2025. Strategic Deployment of Funding Channel ▪ Reduce wholesale funding and higher cost retail deposits in the near term. ▪ Create meaningful margin and profitability expansion through a stable low-cost deposit vertical supporting future C&I growth. Geography and Reach ▪ New York City – Expanding existing Midtown, NY branch and adding non-retail space. ▪ Long Island – New commercial banking center in Melville, NY. ▪ Westchester – Leveraging existing Scarsdale, NY full-service branch. 11 Business Model ▪ Relationship driven, team-based approach to service, resulting in superior high-touch client experience. ▪ Differentiated Commercial Organic Deposit Channel leveraging our existing infrastructure and products.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Loan Portfolio Trends Moderated Loan Growth in the Portfolio ($’millions) ▪ Total loans increased $373 million (or 14% annualized), including $219 million of commercial and industrial loan growth. ▪ Total loan pipeline at Q3-25 is $864 million with a robust commercial loan pipeline of $711 million. ▪ NDFI(1) loan exposure remains minimal, totaling $295 million (or 3% of total loans) at Q3-25. 5,273 5,288 5,200 5,068 5,211 842 902 897 914 997 661 648 749 863 999 3,003 3,050 3,053 3,119 3,135 5.46% 243 Q3-24 5.38% 230 Q4-24 5.37% 226 Q1-25 5.41% 221 Q2-25 5.49% 216 Q3-25 10,022 10,118 10,125 10,185 10,558 Average Loan Yield Home Equity & Consumer Residential C&I - non-real estate C&I - real estate CRE Investor-Owned 12 (1) Non-Depository Financial Institution
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 103,384 103,534 125,454 124,112 104,773 85,721 54,526 23,811 21,521 18,972 3.58% 1.89% Q3-24 3.49% 1.56% Q4-24 3.70% 1.47% Q1-25 3.82% 1.43% Q2-25 1.17% Q3-25 Strong asset quality trends driven by prudent growth and strong credit risk management Quarterly Credit Trends (1 of 2) Non-Performing Loans and Assets ($’000)(1) Special Mention and Substandard Loans ($’000) Criticized loans as a % of total loans remain low at 1.17% as of Q3-25 compared to 2.06% as of Q4-19 (pre-pandemic). 0.20% 25,252 27,596 29,246 26,711 35,586 7,680 7,498 0.25% 0.19% Q3-24 0.27% 0.22% 1,811 Q4-24 0.29% 0.23% 1,917 Q1-25 0.26% Q2-25 0.34% 0.30% Q3-25 NPL to total loans NPA to total assets OREO Non-performing loans Peer Average Criticized Loans / Total Loans OCFC Criticized Loans / Total Loans Special Mention Substandard 13 OCFC 10-Year (2015-2024) Average Criticized Loans / Total Loans = 2.24% (2) (1) Note: At September 30, 2025, of the Special Mention loans and Substandard loans represented above, 76.6% and 71.4% were current on payments, respectively. (1) OCFC criticized loans exclude OREO. (2) Peer data is on a one quarter lag. (1) PCD loans are not included in these metrics. Refer to Asset Quality section in the Earnings Release for additional information.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Quarterly Credit Trends (2 of 2) Loan Allowance for Credit Losses (ACL) Plus PCD & General Credit Marks / Total Loans NCOs / (Recoveries) and Provision for Credit Loss Expense ($’thousands) 0.06% 0.69% Q3-24 0.06% 0.73% Q4-24 0.05% 0.78% Q1-25 0.05% 0.78% Q2-25 0.04% 0.77% Q3-25 0.75% 0.79% 0.83% 0.83% 0.81% PCD & General Credit Marks ACL -88 -158 636 2,218 617 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Provision Expense Net Charge-offs (Recoveries) 517 3,467 Includes $1.4 million non-core day 1 provision relating to Spring Garden acquisition. 2,041 Includes $3.3 million of increased provision related to elevated uncertainty in the macroeconomic environment despite strong asset quality metrics. 5,340 2,086 14 3,039 4,092 Note: The allowance for credit losses plus the unamortized credit and PCD marks amounted to $85.6 million, or 0.81% of total loans at Q3-25, as compared to $84.2 million, or 0.83% of total loans at Q2-25. Note: Q2-25 charge-offs primarily relate to two commercial relationships of $1.6 million and $445K for NPL sale.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Deposit Trends ▪ Deposits increased by $204 million (or 2.0%), driven by an increase in non-maturity deposits of $287 million (or 3.6%) from the prior quarter. ▪ The decrease in time deposits was primarily driven by brokered CD run-off of $118 million. ▪ We expect Q4-25 deposit growth to be in line with loan growth with a modest increase to deposit costs relating to net deposit growth targets being priced above current rates. Deposit Mix Remains Stable ($’millions) 2,221 2,081 2,120 2,299 2,215 1,072 1,066 1,052 1,023 1,000 1,289 1,301 1,337 1,378 1,398 3,896 4,001 4,007 3,845 4,091 1,638 1,617 1,661 1,687 1,732 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 10,116 10,066 10,177 10,232 10,436 Non-Int. Bearing Int. Bearing Checking Money Market Savings Time Deposits Deposit Beta(1) Up Cycle Down Cycle 42% 29% 15 Cost of Deposits Spot Avg Type of Account Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Q3-25 Int. Bearing Checking 2.27% 2.11% 2.04% 2.02% 2.08% 2.11% Money Market 3.37% 3.00% 2.83% 2.94% 2.75% 2.92% Savings 0.81% 0.72% 0.67% 0.66% 0.63% 0.66% Time Deposits 4.47% 4.18% 3.75% 3.75% 3.74% 3.73% Total (incl. non-int. bearing) 2.38% 2.17% 2.03% 2.07% 2.04% 2.06% (1) Deposit beta is calculated as the increase in rate paid on total deposits per quarter divided by the incremental increase in the fed funds rate since January 1, 2022. Up cycle is the period from January 1, 2022 to June 30, 2024. The down cycle is from July 1, 2024 to September 30, 2025.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Net Interest Income and Net Interest Margin Trends Net Interest Margin NIM Bridge 2.67% Q3-24 2.69% Q4-24 2.90% Q1-25 2.91% Q2-25 2.91% Q3-25 NIM Net Interest Income ($’000) 82,219 Q3-24 83,329 Q4-24 86,652 Q1-25 87,636 Q2-25 90,657 Q3-25 Net Interest Income Headwinds ▪ Competitive market environment as peers compete on rate for quality credit. Tailwinds ▪ Continued growth in lower cost deposits from the Premier Bank teams. 16 Q2-25 NIM -0.02% Impact of prepayment fees -0.02% Impact of subordinated debt repricing 0.04% Increase in int- earning asset yields, net of liability costs Q3-25 NIM 2.91% 2.91%
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Core Efficiency Ratio(1) Expense Discipline and Focused Investment Core Non-Interest Expense(1) ($’000) 9,512 10,328 9,081 10,867 10,517 1,970 2,620 2,425 4,336 3,467 5,940 6,366 6,647 6,808 7,164 2,618 2,517 2,983 2,898 2,8266,183 6,306 6,418 6,323 7,029 35,844 36,602 36,740 40,242 41,387 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 62,067 64,739 64,294 71,474 72,390 Compensation & employee benefits Occupancy & equipment FDIC & regulatory assessments Data processing Professional fees Other Opex ▪ Q3-25 core non-interest expenses increased by $0.9 million (or 1%) from the linked quarter driven primarily by a full quarter of compensation and occupancy expenses related to recent commercial hires. (2) 17 66.00% Q3-24 67.74% Q4-24 65.81% Q1-25 72.28% Q2-25 70.30% Q3-25 1.84% 1.90% 1.96% 2.16% 2.12% Core Efficiency Ratio Core Non-Interest Expense to Average Assets (Annualized) (1) For non-GAAP financial measures, please refer to the “Non-GAAP Reconciliations” in the Appendix for a reconciliation to GAAP financial information. (2) Other Opex includes marketing, check card processing, amortization of intangibles, and other expenses.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Generating Consistent Returns Book Value and Tangible Book Value per Common Share(1) ($) Core ROAA(1), ROTE(1), and ROTCE(1) ▪ Capital remains strong and above “well capitalized” levels. ▪ Tangible book value per common share increased $0.24 or 1% from the same quarter last year. Capital Management ($’millions) 19.28 18.98 19.16 19.34 19.52 29.02 29.08 29.27 28.64 28.81 Q3-24 Q4-24 Q1-25 Q2-25 Q3-25 Book Value per Share Tangible Book Value per Common Share 7.85% 8.24% 0.69% Q3-24 7.51% 7.89% 0.65% Q4-24 7.00% 7.34% 0.62% Q1-25 6.17% 0.53% Q2-25 7.19% 0.60% Q3-25 Core ROTE Core ROTCE Core ROAA 12 12 12 12 12 7 17 9.1% 11.3% 1 Q3-24 9.1% 11.2% 0 Q4-24 9.2% 11.2% Q1-25 8.7% 11.0% Q2-25 8.1% 10.6% 0 Q3-25 Tangible Stockholders’ Equity to Tangible Assets (1) CET1(2) Share Repurchases Common Dividend 18 (1) For non-GAAP financial measures, please refer to the “Non-GAAP Reconciliations” in the Appendix for a reconciliation to GAAP financial information. (2) Q3-25 CET1 Ratio – Preliminary Estimate.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Management Q4-25 Outlook 19 Outlook Comments Loans 2-3% growth sequentially • Expecting continued steady growth, subject to unanticipated payoffs and supported by our strong pipeline. • Growth will be predominately driven by C&I with muted growth on CRE and Construction. • Credit expected to remain benign. Deposits Consistent with loan growth • Maintain loan-to-deposit ratio ~100%. Net Interest Income Modest decline to NIM% • Modest decline to NIM % driven by net deposit growth targets priced above current rates with NIM expansion expected to return in Q1-26. • Subject to expected growth and interest rate trends, we expect net interest income dollars to grow in-line with loans. • Two rate cuts modeled in Q4-25 totaling 50 bps. Other Income $8 to $9 million • Subject to loan swap activity and growth in services charges. Operating Expenses $70 to $71 million • Excludes one-time charges from the outsourcing of residential and title platforms of approximately $8 million in Q4-25. Capital Strong CET1 ratio (>10.5%) • Sufficient capital to fund near-term growth.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Outlook Comments Loans 7-9% growth • Expecting continued steady growth, subject to unanticipated payoffs and supported by our strong pipeline. • Growth will be driven by C&I verticals offset by run-off on the Residential portfolio. • Credit is expected to remain benign. Deposits Consistent with loan growth • Maintain loan-to-deposit ratio ~100%. Net Interest Income > 3.00% NIM • Subject to expected growth and interest rate trends, we expect net interest income dollars to grow in-line with loans. • Three rate cuts (25 bps each) modeled through the year with a terminal rate of 3.00%. Other Income $25 to $35 million • Levels reduced year-over-year related to the outsourcing of residential and title platforms. Operating Expenses $275 to $285 million • Reflects the impact of savings from the outsourcing of our residential and title platforms. • Includes anticipated inflationary increases relate to compensation and contractual vendor increases. Capital Strong CET1 ratio (>10.5%) • Continuing to explore ways to optimize capital in relation to loan growth. Management 2026 Outlook 20
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Appendix 21
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Diversified CRE Portfolio with Conservative Risk Profile ▪ Underlying collateral is diversified. ▪ Low concentration in the Multi-Family portfolio, which represents 6% of total assets. ▪ Maturity wall is modest and has a minimal impact: Our CRE Investor- Owned maturity wall, totaling $833 million (or 8% of total loans), is set to mature in 2025 and 2026 with weighted average rates of 5.41% and 4.35%, for each respective cohort. The impact of repriced loans to-date has been benign. CRE Investor-Owned Portfolio by Geography(3) Notes: • All data represents CRE Investor-Owned balances, excluding purchase accounting marks and Construction as of September 30, 2025, unless otherwise noted. • WA rate includes borrower fixed-rate exposure for loans with swap contracts and excludes any benefit from back-to-back rate swaps • WA LTV represents the weighted average of loan balances as of September 30, 2025 divided by their most recent appraisal value, which is generally obtained at the time of origination. • WA DSCR represents the weighted average of net operating income on the property before debt service divided by the loan’s respective annual debt service based on the most recent credit review of the borrower. Footnotes: (1) Other includes underlying co-operatives, single purpose, stores and some living units / mixed use, investor-owned 1-4 family, land / development, and other. (2) Rent-regulated multi-family is defined as buildings with >50% rent-regulated units. (3) Based on location of collateral. 31% 27% 27% 9% NY PA/DE NJ 3% MA 3% MD/DC Other Limited underlying concentration exposure: • NYC rent-regulated(2) multi-family: $30.4 million • NYC Office Central Business District (CBD): $7.0 million 22 CRE Investor-Owned - Collateral Details $'millions CRE: Investor-Owned % of Total WA LTV (%) WA DSCR (x) Office 1,035 22.5% 55.0% 1.80x Retail 1,044 22.7% 52.4% 1.91x Multi-Family 879 19.1% 61.3% 1.64x Industrial / Warehouse 755 16.4% 46.0% 2.11x Hospitality 180 3.9% 46.8% 1.87x Other (1) 702 15.3% 45.1% 1.33x CRE: Investor-Owned 4,595 100.0% 52.3% 1.78x Construction 616 CRE IO and Construction Total 5,211 CRE Investor-Owned - Maturity Wall Balance Weighted Average % of Maturity Year ($'millions) Rate (%) LTV (%) DSCR (x) Loans 2025 226 5.41% 49.4% 1.92x 2.14% 2026 607 4.35% 53.9% 2.04x 5.75% Total 833 4.64% 52.7% 2.01x 7.89%
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Conservative Risk Profile of CRE IO Office & Construction Portfolio Highlights ▪ 97% of Office & Construction loans are pass-rated (not classified or criticized). ▪ 93% of Office & Construction loans are classified as non-Central Business District loans. ▪ CBD loans comprise < 1% of total assets and have a weighted average LTV of 53.5% and weighted average DSCR of 1.85x. ▪ Office portfolio is primarily secured by small properties with 72% of the portfolio secured by properties of 300K SF or smaller. ▪ The average loan size of the office portfolio is $4.7 million with 45% of the portfolio under $1 million and 79% under $5 million. In the above tables, Construction consists of all property segments (e.g., co-op, hospitality, industrial / warehouse, etc.) 23 Notes: • All data represents CRE Investor-Owned balances, excluding purchase accounting marks and Construction as of September 30, 2025, unless otherwise noted. • WA LTV represents the weighted average of loan balances as of September 30, 2025 divided by their most recent appraisal value, which is generally obtained at the time of origination. • WA DSCR represents the weighted average of net operating income on the property before debt service divided by the loan’s respective annual debt service based on the most recent credit review of the borrower. CRE Investor-Owned: Office + Construction $'millions Balance % of Office % of Total Loans WA LTV (%) WA DSCR (x) General Office 507 49.0% 4.8% 49.9% 1.87x Life Sciences & Medical 271 26.2% 2.6% 55.7% 1.83x Credit Tenant 257 24.8% 2.4% 64.5% 1.62x Office 1,035 100.0% 9.8% 55.0% 1.80x Construction (all property segments) 616 5.8% Office + Construction 1,651 15.6% CRE Investor-Owned: Office + Construction CBD Bifurcation $'millions Balance % of Total % of CBD MA 45 2.7% 38.1% NJ 42 2.6% 35.5% PA 24 1.5% 20.5% NY 7 0.4% 5.9% Central Business District 119 7.2% 100.0% Non Central Business District 1,532 92.8% Office + Construction 1,651 100.0% Central Business District (CBD): Office + Construction $'millions Balance % of Total WA LTV (%) WA DSCR (x) Credit Tenant 42 35.5% 59.0% 2.12x General Office 35 29.1% 53.1% 2.15x Life Sciences & Medical 42 35.3% 48.2% 1.34x CBD - Office & Construction 119 100.0% 53.5% 1.85x
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 COVID-19 Pandemic Track Record of Strong Credit Performance ▪ From 2006 to Q3-25, inclusive of the Global Financial Crisis, Hurricane Sandy, and the COVID-19 Pandemic, OCFC’s NCO to average loans totaled 13 bps per year compared to 71 bps for all commercial banks between $10 - $50 billion in assets. ▪ From 2006 to Q3-25, peak net charge-offs to average loans for OCFC totaled 56 bps in 2011. Peak charge-offs for commercial banks between $10 - $50 billion in assets were 253 bps in 2009. Global Financial Crisis Hurricane Sandy 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q2-25 Q3-25 OCFC NCO / Avg Loans Commercial Banks ($10-50 bn) NCO / Avg Loans (1) 24 Source: S&P Global. Note: Commercial bank reporting is on a one quarter lag. (1) Any period with net recoveries is denoted as 0% NCO / Avg Loans in the graph.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 0.29% 0.32% 0.51% 0.63% 0.80% 1.43% Northeast Midwest Mid Atlantic Southeast Southwest West COVID-19 Pandemic Hurricane Sandy Global Financial Crisis Northeast Outperforms Through Credit Cycles… ▪ Historically, net charge-offs for Northeastern headquartered banks have greatly outperformed major exchange traded U.S. banks headquartered in other regions ▪ Median net charge-offs / average assets for Northeastern banks averaged 20 bps during the Global Financial Crisis compared to 50 bps for other regions. GFC Peak NCOs 1.1x 1.8x 2.2x 4.9x2.8x 25 Source: S&P Global. Note: Commercial bank reporting is on a one quarter lag.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Hurricane Sandy Global Financial Crisis COVID-19 Pandemic …With a Similar Story in Commercial Real Estate Portfolios 0.03% 0.04% 0.09% 0.10% 0.11% 0.16% Northeast Southwest Southeast Mid Atlantic Midwest West GFC Peak CRE NCOs ▪ Northeastern banks’ CRE portfolio net charge-offs have also historically outperformed major exchange traded banks in other regions ▪ Median CRE net charge-offs / average assets for Northeastern banks averaged 2 bps during the Global Financial Crisis compared to 6 bps for other regions 26 Source: S&P Global. Note: Commercial bank reporting is on a one quarter lag.
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Non-GAAP Reconciliations (1 of 2) 27 Non-GAAP Reconciliation For the Three Months Ended September 30, June 30, March 31, December 31, September 30, 2025 2025 2025 2024 2024 Core Earnings: Net income available to common stockholders (GAAP) $ 17,330 $ 16,200 $ 20,505 $ 20,905 $ 24,112 Adjustments to exclude the impact of non-recurring and non-core items: Spring Garden opening provision for credit losses - - - 1,426 - Net loss (gain) on equity investments 7 (488) (205) 5 (1,420) Net gain on sale of trust business - - - - (1,438) Restructuring charges 4,147 - - - - FDIC special assessment release (210) - - - - Merger related expenses - - - 110 1,669 Income tax (benefit) expense on items (926) 115 49 (388) 270 Loss on redemption of preferred stock - 1,842 - - - Core earnings (Non-GAAP) $ 20,348 $ 17,669 $ 20,349 $ 22,058 $ 23,193 Income tax expense 5,156 5,771 6,808 5,083 7,464 Provision for credit losses 4,092 3,039 5,340 3,467 517 Less: non-core provision for credit losses - - - 1,426 - Less: income tax (benefit) expense on non-core items (926) 115 49 (388) 270 Core earnings PTPP (Non-GAAP) $ 30,522 $ 26,364 $ 32,448 $ 29,570 $ 30,904 Core earnings diluted earnings per share $ 0.36 $ 0.31 $ 0.35 $ 0.38 $ 0.39 Core earnings PTPP diluted earnings per share $ 0.54 $ 0.46 $ 0.56 $ 0.51 $ 0.53 Core Ratios (Annualized): Return on average assets 0.60% 0.53% 0.62% 0.65% 0.69% Return on average tangible stockholders’ equity 7.19 6.17 7.00 7.51 7.85 Return on average tangible common equity 7.19 6.17 7.34 7.89 8.24 Efficiency ratio 70.30 72.28 65.81 67.74 66.00
. . . 0-51-141 0-171-232 0-169-83 0-176-80 238-112-8 144-187-35 Non-GAAP Reconciliations (2 of 2) 28 Non-GAAP Reconciliation For the Three Months Ended September 30, June 30, March 31, December 31, September 30, 2025 2025 2025 2024 2024 Tangible Equity: Total stockholders' equity $ 1,653,427 $ 1,643,680 $ 1,709,117 $ 1,702,757 $ 1,694,508 Less: Goodwill 523,308 523,308 523,308 523,308 506,146 Intangibles 9,934 10,834 11,740 12,680 7,056 Tangible stockholders' equity 1,120,185 1,109,538 1,174,069 1,166,769 1,181,306 Less: Preferred stock - - 55,527 55,527 55,527 Tangible common equity $ 1,120,185 $ 1,109,538 $ 1,118,542 $ 1,111,242 $ 1,125,779 Tangible Assets: Total Assets $ 14,324,664 $ 13,327,847 $ 13,309,278 $ 13,421,247 $ 13,488,483 Less: Goodwill 523,308 523,308 523,308 523,308 506,146 Intangibles 9,934 10,834 11,740 12,680 7,056 Tangible Assets $ 13,791,422 $ 12,793,705 $ 12,774,230 $ 12,885,259 $ 12,975,281 Tangible stockholders' equity to tangible assets 8.12% 8.67% 9.19% 9.06% 9.10% Tangible common equity to tangible assets 8.12% 8.67% 8.76% 8.62% 8.68%