Barrett said total deposit costs increased modestly due to “very isolated upward repricing” for certain interest-bearing accounts and continued competitive deposit pricing. Borrowing costs also contributed modest pressure on margin due to subordinated debt issuance and retirement during the quarter. He added that growth in interest-earning assets included increases in both securities and loans, with securities growth tied to late third-quarter opportunistic purchases that also modestly compressed margin.Chi ...

Financial Data and Key Metrics Changes - The company reported earnings per share of $0.23 on a fully diluted GAAP basis and $0.41 on a core basis for Q4 2025 [3] - Net interest income grew by $5 million, or 5%, compared to the prior quarter, and increased by 14% year-over-year [4] - The net interest margin declined modestly to 2.87% compared to the previous quarter [4] - Total loans increased by $474 million, representing an 18% annualized growth rate, driven by $1 billion in originations [4] Business Line Data and Key Metrics Changes - The C&I business grew by 42% for the year, contributing significantly to loan growth [9] - Non-interest income decreased by $3.3 million to $9 million during the quarter, primarily due to lower title fees and a reduction in the gain on sale of loans [11] - Total deposits increased by $528 million, with $323 million driven by organic growth across various business lines [10] Market Data and Key Metrics Changes - The company’s asset quality remained strong, with total loans classified as special mention and substandard decreasing by 10% to $112 million, or just 1% of total loans [5] - Non-performing loans to total loans stood at 0.2%, and non-performing assets to total assets were at 0.22% [14] Company Strategy and Development Direction - The company announced a merger agreement with Flushing Financial Corporation, which is expected to enhance organic growth initiatives in New York and improve profitability [7] - The focus remains on continued organic growth efforts, which have shown success in the current quarter [8] Management's Comments on Operating Environment and Future Outlook - Management expects high single-digit growth in net interest income for the year, despite the typical seasonal slowdown in Q1 [22] - The effective tax rate is expected to remain in the 23%-25% range quarterly, absent any changes in tax policy [16] - The company anticipates continued growth in loans and deposits, with net interest income and margin expected to improve throughout the year [16] Other Important Information - The company did not repurchase any shares this quarter, as capital was utilized to support loan growth [7] - The quarterly cash dividend of $0.20 per common share was approved, marking the 116th consecutive quarterly cash dividend [7] Q&A Session Summary Question: Clarity on net interest income guidance - Management indicated that net interest income growth is expected to outpace loan balance growth due to the compounding effect of the balance sheet [21][22] Question: Commentary on loan sales post-merger - Management stated it is too early to provide precise figures on loan sales after the merger, but they expect to improve margins and reduce credit risk over time [23] Question: Expense line clarification - The recurring CRT premium expense is categorized under other expenses, similar to insurance premium expenses [24][25] Question: C&I growth expectations for 2026 - Management expects C&I growth rates to remain in the 7%-9% range, with a strong focus on talent recruitment [35] Question: Deposit growth outlook for Premier Banking - Management confirmed that the target for $2 billion-$3 billion in deposits by the end of 2027 remains intact, despite some seasonal fluctuations [38] Question: Deposit costs outlook - Management expects deposit costs to decrease over the year, with a lag in repricing relative to rate cuts [73]

Financial Data and Key Metrics Changes - The company reported earnings per share of $0.23 on a fully diluted GAAP basis and $0.41 on a core basis for Q4 2025 [3] - Net interest income grew by $5 million, or 5%, compared to the prior quarter, and increased by 14% year-over-year [4] - The net interest margin declined modestly to 2.87% compared to the previous quarter [4] - Total loans increased by $474 million, representing an 18% annualized growth rate, driven by $1 billion in originations [4] Business Line Data and Key Metrics Changes - The C&I business grew by 42% for the year, benefiting from talent recruitment and favorable borrower conditions [9] - Non-interest income decreased by $3.3 million to $9 million during the quarter, primarily due to lower title fees and a reduction in loan sale gains [11] - Total deposits increased by $528 million, with $323 million driven by organic growth across various business lines [10] Market Data and Key Metrics Changes - The company’s asset quality remained strong, with total loans classified as special mention and substandard decreasing by 10% to $112 million, or just 1% of total loans [5] - Non-performing loans to total loans stood at 0.2%, and non-performing assets to total assets were at 0.22% [14] Company Strategy and Development Direction - The company announced a merger agreement with Flushing Financial Corporation, which is expected to enhance organic growth initiatives in New York and improve profitability and operating scale [7] - The company aims to maintain a loan-to-deposit ratio under 100, with a focus on opportunistic earnings and robust deposit verticals [68] Management's Comments on Operating Environment and Future Outlook - Management expects high single-digit growth in net interest income for the year, despite the typical seasonal slowdown in Q1 [22] - The effective tax rate is expected to remain in the 23%-25% range quarterly, absent any changes in tax policy [16] - Management remains optimistic about continued organic growth efforts, as evidenced by the results of the current quarter [8] Other Important Information - The company did not repurchase any shares this quarter, as capital was utilized to support loan growth [7] - The quarterly cash dividend of $0.20 per common share marks the company's 116th consecutive quarterly cash dividend [7] Q&A Session Summary Question: Clarity on net interest income guidance - Management indicated that net interest income growth is expected to exceed loan balance growth due to the compounding effect of the larger balance sheet [21][22] Question: Commentary on loan sales post-merger - Management stated it is too early to provide precise figures on loan sales, but they expect to improve margins and reduce credit risk over time [23] Question: Expense line clarification - The recurring CRT premium expense is categorized under other expenses, similar to insurance premium expenses [24][25] Question: C&I growth expectations for 2026 - Management anticipates growth rates in the 7%-9% range for C&I, with a focus on talent recruitment and strong deposit growth [35] Question: Deposit growth outlook for Premier Banking - Management confirmed that the target for $2 billion-$3 billion in deposits by the end of 2027 remains intact, despite some seasonal fluctuations [38] Question: Deposit costs outlook for the year - Management expects deposit costs to continue decreasing, lagging behind rate cuts, and anticipates a steady improvement in margins [73][74]

Financial Data and Key Metrics Changes - The company reported earnings per share of $0.23 on a fully diluted GAAP basis and $0.41 on a core basis [3] - Net interest income grew by $5 million, or 5%, compared to the prior quarter, and increased by 14% compared to the prior year quarter [4] - The net interest margin declined modestly to 2.87% compared to the third quarter [4] - Total loans increased by $474 million, representing an 18% annualized growth rate, driven by $1 billion in originations [4][10] - Asset quality remained strong, with non-performing loans to total loans at 0.2% and non-performing assets to total assets at 0.22% [13] Business Line Data and Key Metrics Changes - The C&I business grew by 42% for the year, benefiting from talent recruitment and favorable conditions for borrowers [9] - Non-interest income decreased by $3.3 million to $9 million during the quarter, primarily due to lower title fees and a reduction in the gain on sale of loans [11] - Total deposits increased by $528 million, with $323 million driven by organic growth across various business lines [10] Market Data and Key Metrics Changes - The Premier Bank team grew deposits by $90 million, or 37%, from the linked quarter, with a weighted average cost of their deposit portfolio declining by 36 basis points to 2.28% [10] - Approximately 21% of the new deposits are in non-interest-bearing DDA accounts [10] Company Strategy and Development Direction - The company announced a merger agreement with Flushing Financial Corporation, which is expected to enhance organic growth initiatives in New York [6][7] - The merger is anticipated to improve profitability and increase operating scale, providing meaningful upside to shareholders [7] - The company remains focused on continued organic growth efforts, which have shown success in the current quarter [8] Management's Comments on Operating Environment and Future Outlook - Management expects high single-digit growth in net interest income for the year, despite the typical seasonal slowdown in Q1 [21] - The effective tax rate is expected to remain in the 23%-25% range quarterly, absent any changes in tax policy [16] - The company anticipates continued strong asset quality, with low levels of criticized and classified loans [13] Other Important Information - The company did not repurchase any shares this quarter, as capital was utilized to support loan growth [6] - The quarterly cash dividend of $0.20 per common share was approved, marking the 116th consecutive quarterly cash dividend [6] Q&A Session Summary Question: Clarity on net interest income guidance - Management indicated that net interest income growth will likely exceed loan balance growth due to the compounding effect of the larger balance sheet [21] Question: Commentary on loan sales post-merger - Management stated it is too early to provide precise figures on loan sales, as they are currently reviewing portfolios [22] Question: Expense line clarification - The recurring CRT premium expense is categorized under other expenses, similar to insurance premium expenses [23] Question: C&I growth expectations for 2026 - Management expects C&I growth rates to remain in the 7%-9% range, with strong deposit growth anticipated [35] Question: Deposit growth outlook for Premier Banking - Management confirmed the target of $2 billion-$3 billion in deposits by the end of 2027 remains intact [39] Question: Deposit costs outlook for the year - Management expects deposit costs to decrease, lagging behind rate cuts, and anticipates steady improvement in margins [76]

OceanFirst Financial Corp. 4Q 2025 Earnings Release Supplement(1) January 2026 (1) The 4Q 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 January 22, 2026. OCEANFIRST BANK | January 22, 2026 Exhibit 99.2 . . . 1 OceanFirst Bank Legal Disclaimer . . . FORWARD LOOKING STATEMENTS. In addition to historical information, this presentation contains certain forward-looking statements within the meaning of the P ...

Core Viewpoint - OceanFirst Financial Corp. (OCFC) has demonstrated strong earnings and revenue growth, although net income has declined year-over-year, indicating mixed financial performance in the recent quarters [2][3]. Financial Performance - On January 22, 2026, OCFC reported earnings per share (EPS) of $0.41, exceeding the estimated $0.39, resulting in a +6.03% earnings surprise [2] - The company reported revenue of approximately $104.7 million, surpassing the estimated $103.7 million by 1.94%, and showing a significant increase from $95.56 million in the same period the previous year [2] - For the fourth quarter of 2025, net income available to common stockholders was $13.1 million, or $0.23 per diluted share, down from $20.9 million, or $0.36 per diluted share, in the same quarter of the previous year [3] - For the full year of 2025, net income was $67.1 million, or $1.17 per diluted share, a decline from $96 million, or $1.65 per diluted share, in the prior year [3] Financial Ratios - OCFC has a price-to-earnings (P/E) ratio of approximately 13.72 and a price-to-sales ratio of about 1.64, indicating its market valuation [4] - The enterprise value to sales ratio is around 4.15, while the enterprise value to operating cash flow ratio is approximately 29.12, reflecting its operational efficiency [4] - The debt-to-equity ratio is 1.19, indicating a moderate level of debt relative to equity, and the current ratio is 0.15, reflecting its short-term liquidity position [4]

Core Insights - OceanFirst Financial (OCFC) reported a revenue of $104.69 million for the quarter ended December 2025, reflecting a year-over-year increase of 9.6% and a surprise of +1.94% over the Zacks Consensus Estimate of $102.7 million [1] - The earnings per share (EPS) for the quarter was $0.41, up from $0.38 in the same quarter last year, with an EPS surprise of +6.03% compared to the consensus estimate of $0.39 [1] Financial Performance Metrics - The efficiency ratio for OceanFirst was reported at 80.4%, significantly higher than the average estimate of 68.9% based on two analysts [4] - The net interest margin stood at 2.9%, matching the average estimate from two analysts [4] - Total non-interest income was $9.41 million, exceeding the average estimate of $8.85 million from two analysts [4] - Net interest income was reported at $95.28 million, surpassing the average estimate of $94.35 million based on two analysts [4] Stock Performance - Over the past month, shares of OceanFirst have returned -3.2%, contrasting with the Zacks S&P 500 composite's increase of +0.7% [3] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [3]

分组1 - OceanFirst Financial reported quarterly earnings of $0.41 per share, exceeding the Zacks Consensus Estimate of $0.39 per share, and showing an increase from $0.38 per share a year ago, resulting in an earnings surprise of +6.03% [1] - The company achieved revenues of $104.69 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 1.94%, and up from $95.56 million in the same quarter last year [2] - OceanFirst has outperformed the S&P 500 with a share price increase of about 6.4% since the beginning of the year, compared to the S&P 500's gain of 0.4% [3] 分组2 - The current consensus EPS estimate for the upcoming quarter is $0.38 on revenues of $102.35 million, and for the current fiscal year, it is $1.76 on revenues of $426.8 million [7] - The Zacks Industry Rank for Financial - Savings and Loan is in the top 22% of over 250 Zacks industries, indicating a favorable outlook for the industry [8] - The estimate revisions trend for OceanFirst was unfavorable prior to the earnings release, resulting in a Zacks Rank 4 (Sell) for the stock, suggesting expected underperformance in the near future [6]

Financial Performance - Net income available to common stockholders for Q4 2025 was $13.1 million, or $0.23 per diluted share, down from $20.9 million, or $0.36 per diluted share in Q4 2024[2]. - Core earnings for Q4 2025 were $23.5 million, or $0.41 per diluted share, an increase from $22.1 million, or $0.38 per diluted share in Q4 2024[3]. - Net income for the year ended December 31, 2025, was $71.027 million, a decrease from $100.390 million in 2024, representing a decline of 29.2%[58]. - Basic earnings per share for the three months ended December 31, 2025, were $0.23, down from $0.30 in the previous quarter, showing a decrease of 23.3%[58]. - Net income attributable to OceanFirst Financial Corp. was $13,093 million for the quarter, compared to $17,330 million in the previous quarter[77]. - Core diluted earnings per share increased to $0.41, up from $0.36 in the previous quarter, marking a growth of 13.9%[83]. Loans and Assets - Total loans increased by $474.0 million, representing an 18% annualized growth rate, with loan originations at $1.05 billion for the quarter[6]. - Total loans receivable as of December 31, 2025, reached $11.032 billion, up from $10.558 billion at the end of the previous quarter, indicating a growth of 4.5%[60]. - Loans receivable net of allowance for loan credit losses increased to $10,970,666 thousand as of December 31, 2025, compared to $10,489,852 thousand on September 30, 2025, and $10,055,429 thousand on December 31, 2024[56]. - The loan pipeline increased by $167.4 million to $474.1 million, primarily due to an increase in the commercial loan pipeline of $267.1 million[33]. - Total assets rose by $1.14 billion to $14.56 billion, driven by a $913.9 million increase in total loans, reaching $11.03 billion[33]. Deposits and Equity - Deposits increased by $898.1 million to $10.96 billion, with time deposits rising by $387.9 million to $2.47 billion, representing 22.5% of total deposits[34]. - Total stockholders' equity decreased to $1.66 billion, primarily due to the redemption of preferred stock for $55.5 million and capital returns[38]. - Total deposits increased to $10,964,405 million as of December 31, 2025, up from $10,435,994 million in the previous quarter, representing a growth of 5.06%[63]. - Total stockholders' equity was $1,662,550 million, slightly up from $1,653,427 million in the previous quarter[77]. - Tangible common equity increased by $24.8 million to $1.14 billion, while the tangible book value per common share increased to $19.79[40]. Operating Expenses - Operating expenses increased to $84.1 million in Q4 2025, impacted by non-core operations of $12.9 million related to restructuring and merger expenses[26]. - Total operating expenses for the three months ended December 31, 2025, were $84.142 million, an increase from $76.327 million in the previous quarter, reflecting an increase of 10.7%[58]. - Operating expenses increased to $296.2 million for the year ended December 31, 2025, compared to $245.9 million in 2024, with non-core operations impacting expenses by $16.9 million[28]. Credit Quality - Provision for credit losses for Q4 2025 was $3.7 million, compared to $3.5 million in Q4 2024[17]. - The allowance for loan credit losses was 0.76% of total loans, up from 0.73% in the previous year, while non-performing loans decreased to $27.8 million, representing 0.25% of total loans[41]. - Non-performing loans decreased to $27,791 million from $41,263 million in the previous quarter, a reduction of 32.5%[65]. - The company reported a total of $2.5 million in non-performing residential and consumer loans sold during the quarter ended December 31, 2025[66]. - The allowance for loan credit losses as a percentage of total non-performing loans was 301.27% as of December 31, 2025[65]. Mergers and Acquisitions - The company announced a merger agreement with Flushing Financial Corporation, expected to close in Q2 2026, subject to regulatory approvals[5]. - The company has proposed a transaction with Flushing Financial Corporation, which is subject to various risks and uncertainties, including regulatory approvals and market conditions[48]. - OceanFirst anticipates filing a registration statement on Form S-4 with the SEC regarding the proposed transaction, which will include a joint proxy statement/prospectus[52]. - The company emphasizes the importance of reading the registration statement and joint proxy statement/prospectus for detailed information about the proposed transaction[53]. Future Outlook - The company plans to host an earnings conference call on January 23, 2026, to discuss financial results and future outlook[45]. - OceanFirst's financial performance estimates may be affected by changes in economic conditions, including inflation and labor shortages[48].

Core Financial Performance - The company reported net income available to common stockholders of $13.1 million, or $0.23 per diluted share, for Q4 2025, down from $20.9 million, or $0.36 per diluted share, in Q4 2024 [1] - For the year ended December 31, 2025, net income was $67.1 million, or $1.17 per diluted share, compared to $96.0 million, or $1.65 per diluted share, in 2024 [1] - Core earnings for Q4 2025 were $23.5 million, or $0.41 per diluted share, an increase from $22.1 million, or $0.38 per diluted share, in Q4 2024 [2] - Core earnings before taxes and provision for credit losses (PTPP) for Q4 2025 were $33.2 million, or $0.58 per diluted share, up from $29.6 million, or $0.51 per diluted share, in Q4 2024 [3] Loan and Deposit Growth - Total loans increased by $474.0 million, representing an 18% annualized growth rate, primarily driven by commercial loans [5] - Loan originations for the quarter were robust at $1.05 billion, with a strong loan pipeline of $474.1 million [5] - Total deposits increased by $898.1 million to $10.96 billion, with significant growth in time deposits and interest-bearing deposits [33] Net Interest Income and Margin - Net interest income rose by $4.6 million, or 5%, to $95.3 million for Q4 2025, with a net interest margin of 2.87%, up from 2.69% in Q4 2024 [5][9] - For the year ended December 31, 2025, net interest income increased to $360.2 million from $334.0 million, with a net interest margin of 2.90%, up from 2.72% [12] Capital and Equity - The estimated common equity tier one capital ratio was 10.7% as of December 31, 2025, indicating strong capital levels [5][35] - Total stockholders' equity decreased to $1.66 billion from $1.70 billion, primarily due to the redemption of preferred stock and capital returns [36] Asset Quality - Non-performing loans decreased to $27.8 million, representing 0.25% of total loans, down from 0.35% in the previous year [40] - The allowance for loan credit losses as a percentage of total non-performing loans increased to 301.27% from 207.19% [40] Strategic Initiatives - The company announced a merger agreement with Flushing Financial Corporation and an investment from Warburg Pincus to enhance financial performance and operational scale [4] - The anticipated closing of the merger transaction is expected in Q2 2026, subject to regulatory approvals and shareholder consent [4]