New York munity Bancorp(NYCB) - 2025 Q1 - Quarterly Results

Financial Performance - First quarter 2025 net loss attributable to common stockholders was $108 million, or $0.26 per diluted share, an improvement from a net loss of $196 million, or $0.47 per diluted share in Q4 2024[4] - For the three months ended March 31, 2025, net interest income was $410 million, down 11% from $461 million in the previous quarter and down 34% from $624 million in the same quarter last year[29] - Total revenues for the first quarter 2025 were $490 million, down 22% from $625 million in the previous quarter and down 23% from $633 million in the same quarter last year[29] - Net (loss) income for the three months ended March 31, 2025, was $(100) million, compared to $(188) million in the previous quarter and $(327) million in the same period last year[64] - The return on average assets for the three months ended March 31, 2025, was (0.40)%, an improvement from (0.68)% in the previous quarter and (1.13)% in the same period last year[71] - The efficiency ratio for the three months ended March 31, 2025, was 108.70%, compared to 114.98% in the previous quarter and 110.51% in the same period last year[71] - The diluted (loss) earnings per common share for the three months ended March 31, 2025, was $(0.26), an improvement from $(0.47) in the previous quarter and $(1.36) in the same period last year[64] Credit Quality - Total allowance for credit losses (ACL) was $1,215 million, representing 1.82% of total loans held for investment, slightly down from 1.83% in the previous quarter[2] - Criticized loans declined by $885 million, or 6%, while non-charge-offs (NCOs) decreased by $107 million, or 48% to $115 million[2][3] - The provision for credit losses decreased by $66 million compared to the previous quarter, primarily due to lower net charge-offs and ongoing credit reviews[27] - Net charge-offs for the first quarter 2025 totaled $115 million, down 48% from $222 million in the previous quarter but up 42% from $81 million in the same quarter last year[28] - Total non-accrual loans held for investment increased to $3,280 million, up 25% from $2,615 million as of December 31, 2024, and up 311% from $798 million as of March 31, 2024[38] - Non-performing loans (NPLs) to total loans held for investment rose to 4.93% at March 31, 2025, compared to 3.83% at December 31, 2024, and 0.97% at March 31, 2024[40] - Total non-accrual loans, including held-for-sale, reached $3,301 million, a 12% increase from December 31, 2024, primarily due to higher non-accrual multi-family loans[39] - Total loans 30 to 89 days past due increased by 6% to $1,020 million from $965 million in the previous quarter[78] Assets and Liabilities - Total assets as of March 31, 2025, were $97.6 billion, down $2.5 billion, or 3% from December 31, 2024, driven by a decrease in total loans and leases held for investment[11] - Total interest-earning assets decreased by 10% to $95.623 billion compared to $106.122 billion in the previous quarter and down 13% from $110.044 billion in the same quarter last year[26] - Total deposits decreased by $2.0 billion, or 3%, to $73.9 billion, primarily due to the sale of the mortgage servicing business[15] - Total interest-bearing liabilities decreased by 9% to $76.104 billion compared to $83.516 billion in the previous quarter and down 11% from $85.267 billion in the same quarter last year[26] - Total loans and leases held for investment decreased by 2% to $66,592 million compared to $68,272 million in December 2024, and down 19% from $82,327 million in March 2024[55] Income and Expenses - Non-interest income totaled $80 million, a decrease of 51% from $164 million in the previous quarter and an increase of 789% from $9 million in the same quarter last year[31] - Non-interest expense for the first quarter 2025 was $532 million, down 26% from $718 million in the previous quarter and down 24% from $699 million in the same quarter last year[34] - Total non-interest expense decreased by 26% to $532 million compared to $718 million in December 2024, and fell by 24% from $699 million in March 2024[57] - The effective tax rate for the first quarter 2025 was 17.82%, compared to 21.32% in the previous quarter and 14.32% in the same quarter last year[37] Capital Position - The CET1 capital ratio improved to 11.9%, indicating a strong capital position relative to peers[2][5] - The company's common equity tier 1 ratio improved to 11.90% at March 31, 2025, from 11.83% at December 31, 2024[45] - The tangible common stockholders' equity to tangible assets ratio was 7.40% for the three months ended March 31, 2025, compared to 7.20% in the previous quarter and 6.50% in the same period last year[66] - The average common stockholders' equity for the three months ended March 31, 2025, was $7,700 million, down from $8,070 million in the previous quarter and up from $7,900 million in the same period last year[66] Future Outlook - The company aims to achieve $600 million in cost savings, with adjusted operating expenses declining 22% year-over-year[3][6] - The company will host a conference call on April 25, 2025, to discuss its first quarter 2025 performance[47]