Blue Foundry Bancorp(US:BLFY)2025-04-30 16:02Financial Data and Key Metrics Changes - The company reported a net loss of $2.7 million or 13¢ per diluted share for the first quarter, similar to the prior quarter [8] - Net interest income increased by $1.3 million or 13.4%, driven by a 27 basis point expansion in net interest margin [8][9] - Tangible book value per share increased to $14.81, up 7¢ from the prior quarter [6] Business Line Data and Key Metrics Changes - Loan production totaled $90 million during the quarter with a weighted average yield of approximately 7.1% [5] - The company achieved 3% loan growth while improving the yield on the loan portfolio by 15 basis points [4] - The growth in commercial real estate loans, particularly owner-occupied properties, and construction lending reflects the company's strategy to support local businesses [5][6] Market Data and Key Metrics Changes - Deposits increased by $43.9 million or 3.2%, with core deposit count growing by $24.4 million or 3.8% [12][13] - The company maintains a strong liquidity position with $413 million in untapped borrowing capacity [7] Company Strategy and Development Direction - The strategic priorities for 2025 focus on driving loan growth, maintaining strong credit quality, and diversifying low-cost funding sources [3] - The company is emphasizing asset classes that deliver higher yield and better risk-adjusted returns [5][6] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the momentum of lending and deposit gathering activities despite reporting a net loss [4] - The company expects additional margin expansion of about 5 to 10 basis points in the second quarter [16] Other Important Information - The company repurchased 464,000 shares at a weighted average price of $9.52, enhancing shareholder value [6][7] - Nonperforming assets increased slightly but remain low at 27 basis points of total assets [14] Q&A Session Summary Question: Margin for the quarter - Management expects margin expansion of about 5 to 10 basis points in the second quarter [16] Question: Loan maturities and resets - Approximately $220 million in loans will mature or reprice within 2025, with yields just shy of 7% [17] Question: Deposit side and CD book - The current cost of CDs is $4.11, with room to lower rates as they transition to core deposits [19][20] Question: Unsecured consumer loans - The yield on unsecured consumer loans is around 7%, and they come with credit reserves [21][23] Question: Future loan purchases - The company may purchase additional loans to augment organic growth but does not plan to rely heavily on this strategy long-term [24] Question: Buyback program - The company plans to continue executing the share buyback program while being mindful of capital deployment [49][52]