Pathfinder Bancorp(US:PBHC)2026-02-27 21:11Financial Performance - Pathfinder Bancorp reported a net loss of $7.0 million, or $1.11 per diluted share, for Q4 2025, and a net loss of $3.4 million, or $0.54 per diluted share, for the full year 2025[2]. - Net loss attributable to common shareholders was $7.0 million in Q4 2025, compared to a net income of $626,000 in the linked quarter and $3.9 million in the year-ago period[31]. - Net loss attributable to Pathfinder Bancorp Inc. was $3,417 million in 2025, compared to a net income of $3,383 million in 2024[59]. - Return on average assets decreased to -0.23% in 2025 from 0.23% in 2024[62]. - Basic earnings per share for voting shares was $(0.54) in 2025, down from $0.54 in 2024[62]. - Net (loss) income for Q4 2025 was $(3,417) million, compared to a net income of $3,383 million in Q4 2024[70]. Loan and Credit Quality - The company increased its allowance for credit losses (ACL) by $10.8 million to $29.4 million, representing 3.28% of total loans as of December 31, 2025[4]. - Nonperforming loans rose to $27.6 million at December 31, 2025, compared to $23.3 million at September 30, 2025, and $22.1 million at December 31, 2024[4]. - Loans totaled $896.7 million on December 31, 2025, decreasing by $1.9 million or 0.2% during Q4 2025 and $22.3 million or 2.4% from one year prior[33]. - Provision for credit loss expense was $11.2 million in Q4 2025, reflecting a $10.8 million increase in the Company's allowance for credit losses[40]. - Nonperforming loans were $27.6 million, or 3.07% of total loans on December 31, 2025, compared to 2.59% on September 30, 2025[38]. - The allowance for credit losses at the end of 2025 was $29,436 million, significantly higher than $17,243 million in 2024, suggesting a more conservative approach to credit risk[66]. Deposits and Assets - Total loans decreased to $896.7 million at December 31, 2025, down from $898.5 million at September 30, 2025, and $919.0 million at December 31, 2024[4]. - Deposits totaled $1.18 billion at December 31, 2025, down from $1.23 billion at September 30, 2025, and $1.20 billion at December 31, 2024[9]. - Total assets were $1.43 billion as of December 31, 2025, down from $1.47 billion on September 30, 2025[32]. - Total deposits decreased to $1,183,848 thousand in December 2025 from $1,225,081 thousand in September 2025, reflecting a decline of approximately 3.4%[57]. - Total liabilities decreased to $1,304,185 thousand in December 2025 from $1,345,929 thousand in September 2025, a decrease of about 3.1%[57]. Income and Expenses - Net interest income for Q4 2025 was $10.5 million, with a net interest margin (NIM) of 3.09%, compared to $11.6 million and 3.34% in the linked quarter[9]. - Noninterest income for Q4 2025 was $1.3 million, down from $1.5 million in the linked quarter and $4.9 million in the year-ago quarter[21]. - Noninterest expense increased to $9.2 million in Q4 2025, compared to $8.9 million in the linked quarter and $8.5 million in the year-ago quarter[25]. - The efficiency ratio for Q4 2025 was 74.96%, compared to 68.78% in the linked quarter and 72.25% in the year-ago quarter[9]. - Total noninterest expense rose slightly to $34,581 million in 2025 from $34,417 million in 2024, an increase of 0.5%[59]. Future Outlook - Pathfinder aims to generate more consistent earnings in 2026 with reduced incremental reserve pressure and improved capital ratios[10]. - The efficiency ratio improved to 69.12% in 2025 from 72.82% in 2024, indicating better cost management[62]. - Pre-tax, pre-provision net income rose to $15,447 million in 2025 compared to $12,848 million in 2024, an increase of 20.19%[62].