BCB Bancorp(BCBP) - 2025 Q3 - Quarterly Results

Financial Performance - Net income for the third quarter of 2025 was $4.3 million, an increase from $3.6 million in the second quarter of 2025 but a decrease from $6.7 million in the third quarter of 2024[2][15] - Earnings per diluted share for the third quarter were $0.22, compared to $0.18 in the preceding quarter and $0.36 in the third quarter of 2024[2] - Net income for the third quarter of 2025 was $4.262 million, a 19.6% increase from $3.564 million in the previous quarter[39] - Basic and diluted net income per common share for the third quarter of 2025 was $0.22, reflecting a 22.0% increase from $0.18 in the previous quarter[39] - Net loss available to common stockholders was $1,944,000, a decrease of 113.9% from $13,994,000 profit in the previous year[40] - Basic and diluted net loss per common share was $(0.11), down from $0.82 in the prior year, reflecting a 113.8% decline[40] Asset and Liability Management - Total assets decreased by $246.0 million, or 6.8 percent, to $3.353 billion at September 30, 2025, from $3.599 billion at December 31, 2024[8] - Total assets decreased to $3,353,065 thousand in Q3 2025 from $3,380,461 thousand in Q2 2025, a decline of 0.8%[46] - Total assets decreased to $3,380,310 thousand in Q3 2025 from $3,702,875 thousand in Q3 2024, a decline of 8.69%[42] - Total liabilities decreased to $3,064,329 thousand in Q3 2025 from $3,381,092 thousand in Q3 2024, a reduction of 9.36%[42] Deposits and Loans - Total deposits increased to $2.687 billion at September 30, 2025, from $2.662 billion at June 30, 2025[6] - Deposits increased to $2,687,387 thousand in Q3 2025, up from $2,661,534 thousand in Q2 2025, reflecting a growth of 1.0%[49] - Total loans receivable decreased by $207.3 million, or 6.9 percent, to $2.789 billion at September 30, 2025, from $2.996 billion at December 31, 2024[7][10] - Total loans, net decreased to $2,788,932 thousand in Q3 2025 from $2,860,453 thousand in Q2 2025, a decline of 2.5%[49] Income and Expenses - Non-interest expense increased by $2.6 million, or 19.0 percent, to $16.6 million for the third quarter of 2025 compared to $13.9 million for the third quarter of 2024[21] - Non-interest expense rose by $3.7 million, or 8.8%, to $46.5 million for the first nine months of 2025, driven primarily by a $2.3 million increase in salaries and employee benefits[29] - Total interest and dividend income for the third quarter of 2025 was $43.042 million, a decrease of 11.5% compared to $48.626 million for the same period in 2024[39] - Total interest and dividend income decreased by 11.5% to $130,415,000 compared to $147,356,000 in the previous year[40] - Net interest income after provision for credit losses increased by 7.8% to $19.631 million for the third quarter of 2025, compared to $20.155 million for the same period in 2024[39] - Net interest income after provision for credit losses fell by 37.5% to $39,002,000 from $62,411,000 year-over-year[40] Credit Quality - The provision for credit losses was $4.1 million in the third quarter of 2025, down from $4.9 million in the second quarter of 2025 but up from $2.9 million in the third quarter of 2024[6][19] - Net charge-offs for the third quarter of 2025 were $16.9 million, significantly higher than the $3.4 million recorded in the third quarter of 2024[31] - Non-accrual loans totaled $93.5 million, or 3.31% of gross loans, at September 30, 2025, up from $35.3 million, or 1.13% of gross loans, at September 30, 2024[32] - The allowance for credit losses was $37.8 million, or 1.34% of gross loans, at September 30, 2025, compared to $34.7 million, or 1.11% of gross loans, at September 30, 2024[32] - The allowance for credit losses as a percentage of non-accrual loans was 40.4 percent at September 30, 2025, down from 49.8 percent at the prior quarter-end[6] Efficiency and Returns - The annualized return on average assets ratio for the third quarter was 0.50 percent, compared to 0.42 percent in the prior quarter and 0.72 percent in the third quarter of 2024[6] - The efficiency ratio for Q3 2025 was 62.63%, up from 60.64% in Q2 2025, indicating a decrease in operational efficiency[50] - Return on average assets improved to 0.50% in Q3 2025 from 0.42% in Q2 2025[50] Interest Rates and Margins - Net interest margin rose to 2.88 percent for the third quarter of 2025, up from 2.80 percent in the second quarter of 2025 and 2.58 percent in the third quarter of 2024[6][18] - Net interest margin improved to 2.88% in Q3 2025 from 2.58% in Q3 2024[42] - Net interest rate spread increased to 2.17% in Q3 2025 from 1.82% in Q3 2024[42]