Provident Financial Services, Inc. Announces First Quarter Earnings and Declares Quarterly Cash Dividend

Core Insights - Provident Financial Services, Inc. reported a net income of $64.0 million, or$0.49 per share, for Q1 2025, a significant increase from $32.1 million, or$0.43 per share, in Q1 2024, and up from $48.5 million, or$0.37 per share, in Q4 2024 [1][14]. Financial Performance - Net interest income for Q1 2025 was $181.7 million, an increase from$93.7 million in Q1 2024, primarily due to the acquisition of Lakeland Bancorp [6][15]. - The net interest margin increased to 3.34% in Q1 2025 from 2.87% in Q1 2024, with the weighted average yield on interest-earning assets rising to 5.63% [7][16]. - Non-interest income totaled $27.0 million in Q1 2025, up from$20.8 million in Q1 2024, driven by increases in fee income and insurance agency income [10][18]. Credit Quality - The provision for credit losses on loans was $325,000 in Q1 2025, a decrease from$7.8 million in Q4 2024, reflecting improved credit quality [9][17]. - Non-performing loans increased to $103.2 million, or 0.54$35.5 million, or 0.35%, in Q1 2024 [22][21]. Expenses and Efficiency - Non-interest expense decreased to $116.3 million in Q1 2025 from$134.3 million in Q4 2024, largely due to the completion of merger-related expenses [11][19]. - The efficiency ratio improved to 54.43% in Q1 2025 from 60.82% in Q1 2024, indicating better cost management [12][20]. Balance Sheet Highlights - Total assets increased to $24.22 billion as of March 31, 2025, up from$24.05 billion at the end of 2024, driven by growth in loans and investments [28]. - The loan portfolio totaled $18.79 billion, with commercial loans representing 86.1$175.0 million to $18.45 billion, with a notable decline in savings and demand deposit accounts [32]. Shareholder Returns - The Board of Directors declared a quarterly cash dividend of$0.24 per common share, payable on May 30, 2025 [4].