Amalgamated Financial (AMAL) - 2025 Q1 - Quarterly Report

Financial Performance - Net income for Q1 2025 was $25.0 million, or$0.81 per diluted share, compared to $27.2 million, or$0.89 per diluted share for Q1 2024, reflecting a decrease of $2.2 million [159]. - Net interest income for Q1 2025 was$70.6 million, a 3.8% increase from $68.0 million in Q1 2024 [163]. - The company experienced a$3.8 million decrease in non-interest income and a $3.5 million increase in non-interest expense in Q1 2025 [159]. - Non-interest income decreased to$6.4 million in Q1 2025, down from $10.2 million in Q1 2024, primarily due to a$4.6 million decrease in income from equity investments [173]. - Non-interest expense rose to $41.7 million in Q1 2025, an increase of$3.5 million from $38.2 million in Q1 2024 [175]. - The effective tax rate for Q1 2025 was 28.0$8.29 billion, total loans net of allowance for credit losses were $4.62 billion, total deposits were$7.41 billion, and stockholders' equity was $736.0 million [139]. - Total assets increased to$8.29 billion as of March 31, 2025, compared to $8.26 billion at December 31, 2024 [177]. - Total deposits grew to$7.41 billion at March 31, 2025, compared to $7.18 billion at December 31, 2024 [215]. - The total available for sale securities amounted to$1.71 billion, an increase from $1.63 billion at December 31, 2024, representing a growth of approximately 4.9$3.28 billion as of March 31, 2025, compared to $3.22 billion at December 31, 2024, marking an increase of approximately 2.0$1.57 billion as of March 31, 2025, slightly down from $1.59 billion at December 31, 2024, indicating a decrease of about 1.3$4.62 billion as of March 31, 2025, compared to $4.61 billion at December 31, 2024, reflecting a marginal increase [192]. - The allowance for credit losses decreased to$57.7 million, representing 1.23% of total loans, down from 1.29% at December 31, 2024 [205]. - Nonperforming assets increased to $33.940 million, or 0.41$25.870 million, or 0.31% of total assets, at December 31, 2024 [209]. - The net charge-offs for the quarter were $2.58 million, compared to$2.18 million in the same period last year [205]. - The commercial loan portfolio represented 63.8% of the total loan portfolio, increasing from 63.3% at the end of 2024 [194]. Investment and Strategy - The company’s investment strategy includes a significant portion in U.S. GSE obligations, which helps minimize credit risk through diversification and concentration limits [179]. - The company focuses on C&I, multifamily, and CRE lending within its commercial loan portfolio as part of its strategic growth plan [192]. - Approximately 82% of the non-agency securities in the portfolio carry AAA credit ratings, while 18% carry A credit ratings or higher, indicating a strong credit quality [191]. Capital and Liquidity - Total stockholders' equity increased to $736.0 million at March 31, 2025, up from$707.7 million at December 31, 2024, driven by $25.0 million of net income [232]. - The company maintained sufficient liquidity to meet capital and debt service obligations for 24 months without subsidiary dividends and for 12 months under adverse conditions [227]. - Total capital to risk-weighted assets ratio was 16.61$3.32 billion in immediately available funds, covering 94% of total uninsured deposits [231]. Corporate Social Responsibility - The company has obtained B Corporation certification, indicating a commitment to social and environmental performance [142]. - The company is a member of the Global Alliance for Banking on Values, promoting positive change in the banking sector [142].