Eastern Bankshares, Inc. (EBC) closed the last trading session at $14.78, gaining 0.1% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $19.25 indicates a 30.2% upside potential.The average comprises four short-term price targets ranging from a low of $16 to a high of $23, with a standard deviation of $2.99. While the lowest estimate indicates an increase of 8.3% from the current pr ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Commission File Number 001-39610 ___________________________ Eastern Bankshares, Inc. _____________________________________________ FORM 10-Q _____________________________________________ (Mark one) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2025 Or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (Registrant ...

Shares of Eastern Bankshares, Inc. (EBC) have gained 0.2% over the past four weeks to close the last trading session at $14.95, but there could still be a solid upside left in the stock if short-term price targets of Wall Street analysts are any indication. Going by the price targets, the mean estimate of $19.25 indicates a potential upside of 28.8%.The mean estimate comprises four short-term price targets with a standard deviation of $2.99. While the lowest estimate of $16 indicates a 7% increase from the ...

Investors might want to bet on Eastern Bankshares, Inc. (EBC) , as it has been recently upgraded to a Zacks Rank #2 (Buy). An upward trend in earnings estimates -- one of the most powerful forces impacting stock prices -- has triggered this rating change.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.Individual invest ...

Financial Data and Key Metrics Changes - The company reported operating earnings of $67.5 million, benefiting from a 33 basis point expansion in the net interest margin and an improvement in the operating efficiency ratio to 53.7% [9][16] - Operating return on average tangible common equity increased by 40 basis points to 11.7%, while operating return on average assets rose by 3 basis points to 1.09% [9][15] - GAAP net loss was reported at $1.08 per diluted share due to the strategic repositioning of $1.3 billion of securities, which is expected to be $0.13 accretive to 2025 operating EPS [14][39] Business Line Data and Key Metrics Changes - The lending environment showed a 3% annualized loan growth primarily due to higher commercial and industrial (C&I) balances, despite a cautious outlook for the remainder of the year [10][22] - Wealth management assets under management increased to $8.4 billion, driven by net client flows, although a large short-term inflow is expected to reverse in the second quarter [12][19] - Noninterest income was reported as a loss of $236.9 million due to non-operating losses on the sale of AFS securities, while operating noninterest income decreased by $2.7 million [17][18] Market Data and Key Metrics Changes - Period-end deposits totaled $20.8 billion, a decrease of $522 million primarily due to seasonal outflows and runoff of high-cost CDs [20] - The company maintains a favorable deposit mix with 50% of deposits in checking accounts, providing a stable low-cost funding base [20] - The commercial real estate loan portfolio stands at $7.2 billion, with a focus on local markets and diversified by sector [28] Company Strategy and Development Direction - The announced merger with Harbor One Corp. is expected to create a $30 billion bank, enhancing Eastern's market presence in Greater Boston and Rhode Island [6][34] - The merger is projected to deliver approximately 16% EPS accretion and improve operating efficiency, with a tangible book value earn-back of 2.8 years [39][40] - The company aims to deepen the alignment between its wealth management and banking businesses, capitalizing on synergies from the merger [11][35] Management's Comments on Operating Environment and Future Outlook - Management expressed caution regarding the lending environment due to economic uncertainty and ongoing changes in trade policies [10] - The company remains optimistic about achieving its projections for the year, despite the fluid economic environment [31] - Management highlighted the importance of monitoring evolving economic conditions and policies that could impact business and communities [12][32] Other Important Information - The company repurchased $48.7 million worth of shares during the quarter and announced an 8% increase in the quarterly dividend [6][26] - The company has no equity capital raise or debt needed to complete the merger, which is expected to enhance earnings power and profitability [46] Q&A Session Summary Question: Will the company continue share buybacks during the merger process? - The company will pause share buybacks while using an equity component in the merger consideration until after shareholder approval [54] Question: What is the expected closing date for the merger? - The merger is targeted to close by October 31, pending regulatory approvals, with a possibility of deferring to Q1 2026 if necessary [55] Question: Can you elaborate on the franchise lending group that was recently hired? - The company hired two seasoned lenders to enhance its franchise lending capabilities, focusing on various sectors including fast food, with expectations for continued growth [56] Question: What is the effective tax rate for the remainder of the year? - The company expects an effective tax rate of about 11% for the full year, despite a large GAAP loss in the first quarter [62] Question: How does the company plan to integrate Harbor One's mortgage business? - The company plans to optimize the combined mortgage business, recognizing that Harbor One is currently a larger player in the mortgage market [64] Question: What is the company's outlook for charge-off rates in the coming years? - Management expressed caution in providing specific charge-off rate projections due to economic uncertainties but noted strong credit performance in the current quarter [96]

Q1 Earnings Presentation April 24, 2025 Q1 2025 financial highlights Key Metrics Highlights $(217.7) million Net loss $67.5 million Operating net income* | $(1.08) | $0.34 | | --- | --- | | Diluted EPS | Diluted operating EPS* | | 3.38% | 1.48% | | NIM* | Total deposit cost | | 0.51% | 0.26% | | NPLs / total loans | NCOs / avg. loans | | $0.13 per share | | Dividend declared $16.94 $12.01 BV/Share TBV/Share* *Non-GAAP Financial Measure. Please refer to Appendices A-D for applicable reconciliation. 1CET1 rat ...

Core Insights - Eastern Bankshares, Inc. (EBC) reported a revenue of $222.4 million for the quarter ended March 2025, reflecting a year-over-year increase of 41.1% [1] - The earnings per share (EPS) for the quarter was $0.34, up from $0.23 in the same quarter last year, with an EPS surprise of +3.03% compared to the consensus estimate of $0.33 [1] - The reported revenue was slightly below the Zacks Consensus Estimate of $228.01 million, resulting in a revenue surprise of -2.46% [1] Financial Performance Metrics - Net Interest Margin stood at 3.4%, exceeding the four-analyst average estimate of 3.3% [4] - Average balance of total interest-earning assets was $23.24 billion, lower than the $23.97 billion average estimate [4] - The efficiency ratio (GAAP) was reported at -275.6%, significantly worse than the average estimate of 58.6% [4] - Total non-performing assets were $91.60 million, compared to the estimated $154.96 million [4] - Net Interest Income was $188.90 million, below the average estimate of $193.81 million [4] - Debit card processing fees reached $3.90 million, surpassing the average estimate of $3.64 million [4] - Trust and investment advisory fees were reported at $16.40 million, higher than the average estimate of $15.59 million [4] - Total Noninterest Income was $33.50 million, slightly below the average estimate of $34.31 million [4] Stock Performance - Shares of Eastern Bankshares have returned -7.6% over the past month, compared to a -5.1% change in the Zacks S&P 500 composite [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]

Eastern Bankshares, Inc. (EBC) came out with quarterly earnings of $0.34 per share, beating the Zacks Consensus Estimate of $0.33 per share. This compares to earnings of $0.23 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 3.03%. A quarter ago, it was expected that this company would post earnings of $0.30 per share when it actually produced earnings of $0.34, delivering a surprise of 13.33%.Over the last four quarters, the c ...

Exhibit 99.1 Eastern Bankshares, Inc. Reports First Quarter 2025 Financial Results Completed $1.3 Billion Investment Portfolio Repositioning Announces 8% Increase to Quarterly Dividend BOSTON, April 24, 2025 — Eastern Bankshares, Inc. (the "Company") (NASDAQ: EBC), the holding company of Eastern Bank, today announced its first quarter 2025 financial results. Denis Sheahan, Chief Executive Officer, added, "Our first quarter performance marked a solid start to the year. Operating income of $67.5 million gener ...

Risks and Challenges - The company faces various risks including credit risk, market risk, and operational risk, which could adversely affect its financial condition and results of operations [176]. - The company may not realize the expected benefits from the Cambridge acquisition due to integration challenges, which could negatively impact financial results [182]. - Regulatory approvals for acquisitions may take longer than expected or impose burdensome conditions, potentially delaying or preventing completion [189]. - The company may face challenges in retaining key employees during the integration of acquired businesses, which could disrupt operations [187]. - The company is subject to extensive state and federal regulations that may limit its activities and impose financial requirements [184]. - The company faces significant competition from various financial institutions, including fintechs and internet banks, which may have lower operational costs [216]. - The company faces challenges in attracting and retaining skilled personnel, which is critical for executing its strategic plan [223]. - The company may experience higher rates of default in its commercial loan portfolio due to economic stress and changing market conditions [227]. - The company is subject to significant legal risks, including regulatory investigations and private actions, which could materially affect its business and financial condition [238]. - The company may face costly litigation due to potential infringement of third-party intellectual property rights, which could divert management's attention and resources [260]. Financial Performance and Condition - Increases in interest rates have already had a material adverse effect on net interest income and may continue to do so, affecting loan delinquency rates [182]. - The fair value of the company's investments has declined due to rising interest rates, impacting shareholders' equity and tangible book value per share [184]. - The company incurs significant non-recurring costs related to acquisitions, which may not be offset by the expected benefits from integration [188]. - The company anticipates that future acquisitions may involve significant premiums over book values, potentially diluting tangible book value and net income per share [194]. - The fair value of Eastern Bank's investment portfolio has declined due to increases in interest rates in 2022 and 2023, impacting shareholders' equity [225]. - The fair value of the company's available-for-sale investment portfolio has declined, resulting in a net unrealized loss position, which may lead to recognized losses in future operating results [245]. - The company has approximately $222.7 million invested in projects generating tax credits, with $17.0 million in credits recorded for the year ended December 31, 2024 [256]. - The company faces increased funding costs due to a decline in deposits, which began in 2022, potentially leading to reliance on more expensive funding sources [241]. - The company’s liquidity management includes various funding sources, and adverse operating results could constrain financial flexibility [242]. - Changes in management's estimates and assumptions could materially impact the company's consolidated financial statements and financial condition [253]. Market and Economic Conditions - Higher interest rates are associated with a lower volume of loan originations and refinancings, impacting the ability to generate gains on sales of mortgage loans [198]. - A decline in local economic conditions could lead to higher loan and lease losses, adversely affecting net income [206]. - Economic conditions, including weakness in the U.S. economy, could adversely affect the credit quality of loans, leading to increased loan delinquencies and defaults [261]. - Economic downturns could decrease the level of assets under management, negatively affecting investment management revenue [266]. - Climate change and natural disasters could disrupt operations and negatively impact the value of collateral for loans, affecting financial results [267]. - The prevalence of remote and hybrid working arrangements may reduce demand for office space, adversely impacting loan demand and collateral values [276]. Regulatory and Compliance Issues - The company is subject to stringent capital requirements and may need to raise additional capital in the future [235]. - Regulatory compliance costs may increase due to changes in laws and regulations, potentially affecting profitability and operational results [292]. - The company may face fines or sanctions for non-compliance with the USA PATRIOT Act and Bank Secrecy Act, which could restrict business operations [285]. - The company is subject to various privacy and data protection laws, which may impose additional compliance costs and impact operational results [289]. - Changes in accounting standards may materially impact how the company records and reports its financial condition and results of operations, potentially requiring costly technology changes [263]. - Changes in the legal and regulatory framework may require updates to information systems, complicating compliance and operational efficiency [282]. Strategic Initiatives and Market Position - The company aims to expand its profitable loan and deposit market share through both organic growth and opportunistic strategic transactions [220]. - The competitive landscape is intensifying with the rise of fintechs and technology companies offering banking-like products and services [218]. - Market changes, including a shift towards online and mobile banking, may reduce demand for traditional branch services, impacting revenue [265]. - Changes in public policy priorities, particularly regarding digital assets, could impact customer engagement with traditional banking systems [297]. Corporate Governance and Shareholder Matters - Provisions in the company's articles of organization may make takeover attempts more difficult, potentially affecting the market price of its common stock [300]. - Eastern Bankshares, Inc. has established that Massachusetts courts will be the exclusive forum for most disputes, potentially limiting shareholders' options for favorable judicial forums [303]. - The company has received three notices of non-objection for proposed share repurchase programs, each covering an approximately 12-month period [304]. - The exclusive forum provision may discourage lawsuits against the company and its directors, but could lead to additional costs if found unenforceable [303]. - The company has adopted an Equity Plan that will increase annual compensation and benefit expenses related to stock awards granted to participants [298]. - Section 162(m) of the Internal Revenue Code limits the deductibility of executive compensation to $1 million, potentially increasing income taxes and reducing net income [291]. - The company may be required to act as a "source of strength" to its banking subsidiaries, which could adversely affect its financial condition [288].