Apple Inc. (NASDAQ:AAPL) has chosen JPMorgan Chase (NYSE:JPM) as the new issuer of the Apple Card, ending Goldman Sachs' (NYSE:GS) role in a move that significantly reshapes the consumer finance ambitions of all three companies. JPMorgan Chase Takes Over Apple Card From Goldman Sachs On Wednesday, JPMorgan Chase announced that it has reached an agreement with Apple to become the new issuer of the Apple Card, replacing Goldman Sachs. The deal expands the largest U.S. bank's already massive credit card busi ...

Core Insights - The provision for credit losses increased by 102% year-over-year, indicating a significant rise in expected credit losses [1] - The provision as a percentage of Gross Merchandise Volume (GMV) rose to 0.72%, which is 38% higher than the prior 12-month period, reflecting increased lending risk [1] - The increases in provisions were driven by the upfront provisions required to support a 139% growth in the Fair Financing portfolio, suggesting aggressive expansion strategies [1] Financial Metrics - Provision for Credit Losses: Increased by 102% year-over-year [1] - Provision as a percentage of GMV: Rose to 0.72%, a 38% increase compared to the previous year [1] - Growth in Fair Financing portfolio: 139% increase, necessitating higher upfront provisions [1] Legal Focus - There are concerns regarding whether the Offering Documents misled investors about expected provision trends and lending risk [1] - Questions arise about whether the Offering Documents obscured the credit loss risk associated with GMV growth [1] - Legal scrutiny is focused on whether the Offering Documents failed to disclose the adverse impact of aggressive Fair Financing expansion on the company's financial health [1]

Financial Data and Key Metrics Changes - The company reported net income of $2 million, or $0.03 per unit, and cash available for distribution (CAD) of $4.6 million, or $0.20 per unit for Q3 2025 [14] - Book value per unit increased to $12.36, up $0.53 from June 30, primarily due to an increase in unrealized gains on the mortgage revenue bond portfolio [15] - The closing unit price was $8.24, representing a 33% discount to the book value per unit as of September 30 [16] Business Line Data and Key Metrics Changes - Fiscal occupancy for the stabilized mortgage revenue bond portfolio was 87.8% as of September 30, down from 88.4% as of June 30, mainly due to higher vacancies in Texas [5][6] - The company has 11 current investments, with 7 completed and leasing, 2 nearly completed, and 2 in future development [6][8] - The joint venture equity investments portfolio had a carrying value of approximately $154 million as of September 30, with remaining funding commitments totaling $19.5 million [20] Market Data and Key Metrics Changes - The U.S. municipal bond market saw improvement, with 10-year MMD decreasing from 3.21% to 2.92% and 30-year MMD from 4.58% to 4.24% during Q3 2025 [25] - The trend of heavy municipal bond issuance continued, with high fund flows into the muni market [25] - The company noted that only 9% of its debt investments are secured by projects receiving Section 8 subsidies, which may be impacted by the federal government shutdown [26] Company Strategy and Development Direction - The company plans to reduce capital allocation to joint venture equity investments in market-rate multifamily properties and focus more on tax-exempt mortgage revenue bonds [10][11] - The strategy aims to provide more stable earnings and increase the proportion of tax-exempt income allocated to unit holders [12] - The company remains positive on the market-rate seniors' housing segment and will continue to evaluate investment opportunities in that area [9] Management's Comments on Operating Environment and Future Outlook - Management acknowledged that higher interest rates and multifamily capitalization rates are negatively impacting asset values and returns on sales [9] - The company expects occupancy levels to recover as new supply deliveries decline and available units are absorbed [6] - Management is assessing the potential impact of the strategic shift on short-term and long-term earnings expectations and unit holder distributions [13] Other Important Information - The company reported no forbearance requests for mortgage revenue bonds and governmental issuer loans, with all borrowers current on payments as of September 30 [19] - The company issued Series B preferred units for gross proceeds of $5 million in October 2025 to support investment commitments and operations [16][24] Q&A Session Summary Question: Capital allocation targets for multifamily units - Management indicated that future capital allocation will depend on the timing of capital returns from existing joint venture equity exits and current opportunities, with no set percentage at this time [30] Question: Expected pace of asset sales and occupancy stabilization - Management noted that the timeline for sales may be extended due to slower leasing activity in Texas and the need to reach critical occupancy levels before listing properties for sale [32] Question: Strategic shift away from joint venture investments and expected earnings pickup - Management highlighted the benefits of reduced earnings volatility and increased tax-exempt income from new investments, but stated it is too early to provide specific guidance on earnings pickup [35] Question: Cap rates for senior housing investments - Management clarified that they did not purchase properties during low cap rate periods but invested in to-be-built properties, and they continue to evaluate opportunities based on risk-adjusted returns [41][42] Question: Provision for credit losses despite improving municipal bond market - Management explained that the provision for credit losses was related to specific underperforming properties, and the overall portfolio quality remained consistent [50][54]

Financial Data and Key Metrics Changes - Core pre-tax, pre-provision income for Q3 2025 was $54.4 million, up from $49.4 million in Q2 2025 and $29.8 million year-over-year [3][4] - Core EPS for Q3 was $0.61, representing a 110% year-over-year increase [10] - Reported NIM increased to 3.01%, with a significant increase in the spread between loans and deposits following the Fed rate cut [10][5] Business Line Data and Key Metrics Changes - Business loans grew over $160 million in Q3, compared to $110 million in Q2, with year-over-year growth exceeding $400 million [7] - Loan originations, including new lines of credit, increased to $535 million, with a weighted average rate of approximately 6.95% [7] - Core deposits increased by $1 billion year-over-year, with total deposits up approximately $320 million from the prior quarter [4][10] Market Data and Key Metrics Changes - Non-performing assets (NPAs) were up slightly but represented only 50 basis points of total assets, which is favorable compared to peers [4] - The company maintained a strong liquidity position with a core deposit-funded balance sheet [4] Company Strategy and Development Direction - The company is focused on organic growth, particularly in business loans and core deposits, while managing its commercial real estate concentration ratio [8][38] - New branch openings in Manhattan and New Jersey are part of the strategy to expand market presence [8] - The company aims for NIM expansion in the fourth quarter and significant opportunities in 2026 based on loan repricing [8][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the credit quality and expects resolution of legacy NPAs in Q4 [22] - The company anticipates a gradual improvement in NIM due to reduced deposit costs and stable loan yields [12][13] - Management believes the industry is in the later innings of the credit cycle, with a strong local economy and no significant stress expected [49] Other Important Information - Non-interest income for the quarter was $12.2 million, including a $1.5 million fraud recovery [11][46] - The common equity tier 1 ratio grew to over 11.5%, and total capital ratio increased to over 16% [11][12] Q&A Session Summary Question: Inquiry about charge-offs related to non-performing loans - Management clarified that charge-offs were primarily related to owner-occupied and non-owner-occupied commercial real estate, with no multifamily loans involved [21][22] Question: Expectations on multifamily payoffs and future prepayments - Management indicated that while there were significant payoffs this quarter, future prepayments are expected to normalize [24] Question: Discussion on normalized charge-offs and future expectations - Management stated that charge-offs are currently at 31 basis points and expect to return to historical levels as new businesses are built out [30][31] Question: Insights on deposit betas with potential rate cuts - Management noted that gradual rate cuts would help maintain deposit costs, with current costs in the low 190s [34][35] Question: Thoughts on M&A and strategic alternatives - Management emphasized a focus on organic growth and deploying excess liquidity rather than pursuing M&A at this time [38][45] Question: Discussion on stock repurchases given capital ratios - Management confirmed that discussions on stock repurchases have begun, with a focus on deploying capital effectively before considering buybacks [44][45]

Financial Data and Key Metrics Changes - The company reported a net income of $10.8 million or $0.56 per share for Q3 2025, down from $13.2 million or $0.68 per share in the previous quarter [4][6] - Pre-provision pre-tax revenue (PP&R) increased by 17% from Q2 and 48% year-over-year [6] - Net interest income for Q3 was $38.8 million, up by $1.6 million or 4% from the previous quarter, and up by $6.6 million or 20% year-over-year [6][7] - Non-interest income comprised 31% of revenue in Q3, up 3% from Q2 and 8% year-over-year [7] - Non-interest expense totaled $35.7 million in Q3, down by $804,000 or 2% [7] Business Line Data and Key Metrics Changes - Wealth management revenues increased by 3%, with a 6% rise in asset-based revenues due to market appreciation and the acquisition of $195 million in managed assets [6][7] - Mortgage banking revenues reached $3.5 million, up 15% for the quarter and 22% year-over-year [7] Market Data and Key Metrics Changes - End-of-period assets under administration (AUA) totaled $7.7 billion, up $501 million or 7% [7] - In-market deposits increased by $179 million or 4% from the end of Q2 and by $431 million or 9% year-over-year [7][8] Company Strategy and Development Direction - The company is focused on long-term value creation and has made key investments to drive growth, including an asset purchase from Lighthouse Financial management [5] - The hiring of Jim Brown as Senior Executive Vice President and Chief Commercial Banking Officer aims to strengthen commercial relationships and integrate services with the wealth division [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the current portfolio quality despite elevated provisions for credit losses due to resolved credit exposures [4][6] - The company anticipates low single-digit loan growth for the year, with a healthy pipeline of approximately $180 million [35] - Management expects margin expansion of about 5 basis points in Q4 [27] Other Important Information - The company repurchased 237,000 shares at an average price of $27.18 per share, totaling $6.4 million, and an additional 21,000 shares in October [8] - The effective tax rate for the full year is expected to be 22.5% [7] Q&A Session Summary Question: Remaining shared national credits size - The remaining shared national credits amount to about $173 million, split between commercial and industrial (CNI) and commercial real estate [17][47] Question: Change in specific reserves on a credit - The change was due to reduced recovery expectations from a Chapter 11 situation, leading to a significant loss [18] Question: Confidence in appraisals of other office properties - Confidence is based on different properties in various markets, with some showing leasing momentum [19][20] Question: Client flows in wealth management - The company is no longer disclosing client flows to align with peers [25] Question: Margin expectations - The company anticipates a margin expansion of about 5 basis points in Q4 [27] Question: Buyback plans - The company is pausing buybacks to evaluate capital levels for growth opportunities [38][46] Question: Breakdown of shared national credits - The breakdown includes $90 million in commercial real estate and $84 million in commercial and industrial [47] Question: NDFI exposure - The company has no NDFI exposure [49]

Core Insights - PNC Financial Services reported mixed results in its retail and corporate banking units, indicating a cautious approach towards consumer credit while showing confidence in corporate lending [1][2]. Retail Banking Unit - The provision for credit losses in the retail banking unit was $126 million for Q3, which is an increase of $43 million from Q2 and up $15 million compared to Q3 of 2024 [2]. Corporate and Institutional Banking Unit - The provision for credit losses in the corporate and institutional banking unit was $44 million for Q3, down $140 million from Q2 and down $90 million from Q3 of 2024 [2].

Core Insights - The banking sector is experiencing a strong year, with major banks like JP Morgan Chase, Wells Fargo, Citigroup, and Goldman Sachs reporting earnings that beat estimates for Q3 [1][3] JP Morgan Chase Earnings Report - JP Morgan Chase reported a profit increase of 12% year-over-year, reaching $5.7 billion, with revenue of $47.12 billion, up 9% [3] - Trading revenue hit a record of $8.9 billion, driven by investor repositioning during a volatile quarter, with the trading division up 25% year-over-year [3][4] - Investment banking fees rose 16% to $2.6 billion, making JP Morgan the top bank for investment banking fees this year according to Deal Logic [4] CEO Jamie Dimon's Remarks - Jamie Dimon highlighted a generally resilient US economy but noted signs of softening in job growth and expressed concerns over geopolitical issues, tariffs, trade uncertainty, elevated asset prices, and inflation risks [5][6] - JP Morgan's provision for credit losses increased by 9% to $3.4 billion, indicating potential preparations for higher loan defaults [6] Market Reaction - Despite strong earnings, JP Morgan's stock saw a decline of about 1.3% following the earnings report, likely due to concerns raised during the earnings call [7] - The bank raised its full-year forecast for net income interest, which was viewed positively by the market [7]

Core Viewpoint - Landmark Bancorp, Inc. (LARK) experienced a decline in share price of 3.8% following its second-quarter 2025 results, contrasting with a 0.6% increase in the S&P 500 index during the same period [1] Financial Performance - For Q2 2025, Landmark Bancorp reported diluted earnings per share (EPS) of 75 cents, a 44% increase year-over-year from 52 cents, but a decrease from 81 cents in Q1 2025. Net income was $4.4 million, up from $3 million year-over-year but down from $4.7 million sequentially [2] - Total revenues were primarily driven by net interest income, which rose 24.7% year-over-year to $13.7 million and improved 4.3% sequentially. Return on average assets was 1.11%, and return on average equity was 12.25%, both up from the prior year [3] Net Interest & Non-Interest Metrics - The net interest margin improved by 62 basis points year-over-year to 3.83%, attributed to higher loan yields and controlled funding costs. Average loan balances increased by $33.3 million, with loan yields rising by 3 basis points to 6.37% [4] - Non-interest income was $3.6 million, up $268,000 from Q1 but slightly down from $3.7 million year-over-year. Gains on mortgage loan sales increased by $178,000 sequentially, while fee and service charge income grew by $88,000 [5] Expense Management - Non-interest expenses totaled $11 million, up $200,000 from Q1, driven by higher data processing costs and increased losses at the captive insurance subsidiary. Year-over-year, expenses declined by $134,000 due to the absence of a prior-year valuation adjustment [6] Management Commentary - CEO Abigail Wendel highlighted loan growth and margin expansion as key earnings drivers, with strong demand across commercial, commercial real estate, and residential mortgage lending contributing to a $42.9 million increase in gross loans. Minimal net charge-offs of $40,000 were noted [7] - CFO Mark Herpich pointed out a strong capital base, with stockholders' equity rising by $5.7 million, increasing book value per share to $25.66 from $24.69. The efficiency ratio improved to 62.8% from 67.9% year-over-year, indicating better operational leverage [8] Credit Quality & Provision - Landmark Bancorp recorded a $1 million provision for credit losses in Q2, reflecting growth in loan balances and a conservative reserve stance. The allowance for credit losses increased to $13.8 million, or 1.23% of gross loans [9] - Non-performing loans rose to $17 million from $13.3 million in the prior quarter, attributed to two newly impaired commercial real estate credits. However, loans 30-89 days delinquent fell to $4.3 million from $10 million in Q1, indicating improving performance metrics [10] Deposit Dynamics & Funding Strategy - Total deposits decreased by $61.9 million from the prior quarter to $1.3 billion, mainly due to brokered deposit outflows and lower balances in money market and checking accounts. Year-over-year, deposits rose by $23.4 million, or 1.9%. To support loan growth, borrowings from the Federal Home Loan Bank increased by $105.9 million [12] - Management expressed confidence in liquidity, noting significant capacity for additional borrowing and plans to reduce borrowings through investment portfolio cash flows in the coming quarters [13] Strategic Outlook - Management reiterated plans to deepen customer relationships and grow deposits through its 29 community bank branches in Kansas, with deposit-gathering initiatives set to roll out in the second half of 2025 [14] Other Developments - Landmark Bancorp's board declared a quarterly cash dividend of 21 cents per share, marking the 96th consecutive quarterly dividend since the company's formation in 2001 [15]

Financial Data and Key Metrics Changes - The company reported a net income of $77.4 million for Q2 2025, an 11.4% increase compared to $69.5 million for Q1 2025 [6][14] - Diluted earnings per share increased by 12.2% to $1.10 for Q2 2025 from $0.98 in Q1 2025 [6] - Net interest margin increased from 2.25% in Q1 2025 to 3.27% in Q2 2025, attributed to a lower cost of funds [14][17] - Total deposits increased by $189 million or 3.8% annualized during Q2 2025 [12] Business Line Data and Key Metrics Changes - Total gross loans increased by $432 million or 8.9% annualized, driven by increases in commercial loans, commercial real estate loans, and residential loans [6][12] - Noninterest income for Q2 2025 increased by $4.2 million to $15.4 million compared to $11.2 million in Q1 2025 [15] - Noninterest expense increased by 4% to $89.1 million in Q2 2025 from $85.7 million in Q1 2025 [16] Market Data and Key Metrics Changes - The average loan-to-value ratio for commercial real estate loans remained at 49% as of June 30, 2025 [9] - Nonaccrual loans were 0.9% of total loans as of June 30, 2025, increasing by $19.6 million compared to Q1 2025 [11] Company Strategy and Development Direction - The company revised its 2025 loan growth guidance to 3% to 4% from a previous range of 1% to 4% due to strong Q2 loan growth [7] - The management emphasized a balanced growth in both commercial and industrial (C&I) loans and commercial real estate [29] Management Comments on Operating Environment and Future Outlook - Management expressed caution regarding the economic landscape, noting potential impacts from external factors such as terrorism and CPI adjustments [29] - The company is optimistic about maintaining a strong pipeline for the second half of the year [29] Other Important Information - The effective tax rate for Q2 2025 was 19.56%, with guidance updated to between 18.5% to 19% due to recent California tax legislation [17] - The company has an unused borrowing capacity from the Federal Home Loan Bank of $7 billion and the Federal Reserve Bank of $1.5 billion as of June 30, 2025 [13] Q&A Session Summary Question: Impact of California state tax change on income tax rate - The CFO confirmed a direct impact of $3.4 million due to writing off a portion of the deferred tax asset [20] Question: Allowance for Credit Losses (ACL) refill drivers - The CFO explained that the refill was primarily driven by economic factors in Moody's model rather than specific portfolio issues [21][23] Question: Loan growth guidance and pipeline outlook - Management indicated a strong pipeline for the second half of the year but maintained caution regarding potential loan demand drops [29][30] Question: Federal Home Loan Bank borrowing details - The CFO clarified that the recent borrowings were mainly two-week borrowings at a rate of approximately 4.6% [32] Question: Increase in classified loans - The CFO noted that the increase was due to one commercial relationship experiencing cash flow issues, but they are expected to catch up [37][39]

Core Points - Blue Foundry Bancorp reported a net loss of $2.7 million, or $0.13 per diluted common share, for Q1 2025, consistent with the previous quarter and slightly improved from a net loss of $2.8 million in Q1 2024 [1][34]. Financial Performance - The net interest margin increased by 27 basis points to 2.16%, driven by improved yields on assets and reduced costs of liabilities [2][12]. - Interest income for the quarter was $22.7 million, up by $928 thousand, or 4.3%, compared to the previous quarter [6]. - Interest expense decreased by $343 thousand, or 2.8%, to $12.0 million compared to the linked quarter [6]. Loan and Deposit Growth - Total loans increased by $42.2 million to $1.63 billion, with significant growth in commercial real estate and consumer portfolios [4][22]. - Deposits rose by $43.9 million to $1.39 billion, with increases in NOW and demand accounts and time deposits [7][22]. Asset Quality - The non-performing asset ratio was 0.27%, with non-performing loans totaling $5.7 million, or 0.35% of total loans [28][36]. - The allowance for credit losses on loans was 0.81% of gross loans, with a provision for credit losses of $201 thousand recorded for Q1 2025 [28][36]. Capital Position - Tangible book value per share increased to $14.81, and the company maintained a strong capital position [2][28]. - Shareholders' equity decreased by $5.5 million to $326.7 million, primarily due to share repurchases [28].