NorthEast Community Bancorp, Inc. Reports Results for the Three and Six Months Ended June 30, 2025
NorthEast Community Bancorp (Nasdaq: NECB) reported Q2 2025 financial results, with net income of $11.2 million ($0.85 per basic share), down from $12.8 million in Q2 2024. For H1 2025, net income was $21.7 million ($1.65 per basic share), compared to $24.2 million in H1 2024.
Key performance metrics remained strong with 2.27% return on assets, 13.37% return on equity, and a 40.52% efficiency ratio for Q2 2025. Total assets decreased 1.8% to $2.0 billion, while stockholders' equity increased 5.8% to $336.7 million. The bank maintained strong asset quality with zero non-performing loans and a 0.04% non-performing assets ratio.
Notable changes included a $191.2 million decrease in deposits, offset by $135.0 million in new borrowings, reflecting management's strategy to diversify funding sources. The loan portfolio saw shifts with decreases in construction loans balanced by increases in multi-family and cooperative building loans.
NorthEast Community Bancorp (Nasdaq: NECB) ha comunicato i risultati finanziari del secondo trimestre 2025, con un utile netto di 11,2 milioni di dollari (0,85 dollari per azione base), in calo rispetto ai 12,8 milioni di dollari del secondo trimestre 2024. Nel primo semestre 2025, l'utile netto è stato di 21,7 milioni di dollari (1,65 dollari per azione base), rispetto a 24,2 milioni di dollari nel primo semestre 2024.
I principali indicatori di performance sono rimasti solidi con un rendimento degli attivi del 2,27%, un rendimento del patrimonio netto del 13,37% e un indice di efficienza del 40,52% per il secondo trimestre 2025. Gli attivi totali sono diminuiti dell'1,8% a 2,0 miliardi di dollari, mentre il patrimonio netto degli azionisti è aumentato del 5,8%, raggiungendo 336,7 milioni di dollari. La banca ha mantenuto un'elevata qualità degli attivi, con nessun prestito in sofferenza e un rapporto di attività non performanti dello 0,04%.
Tra le variazioni significative si segnala una riduzione dei depositi di 191,2 milioni di dollari, compensata da nuovi finanziamenti per 135,0 milioni di dollari, a conferma della strategia di diversificazione delle fonti di finanziamento adottata dalla direzione. Il portafoglio prestiti ha subito cambiamenti, con una diminuzione dei prestiti per costruzioni bilanciata da un aumento dei prestiti per edifici multifamiliari e cooperative.
NorthEast Community Bancorp (Nasdaq: NECB) informó sus resultados financieros del segundo trimestre de 2025, con un ingreso neto de 11.2 millones de dólares (0.85 dólares por acción básica), una disminución respecto a los 12.8 millones de dólares del segundo trimestre de 2024. En el primer semestre de 2025, el ingreso neto fue de 21.7 millones de dólares (1.65 dólares por acción básica), comparado con 24.2 millones en el primer semestre de 2024.
Las métricas clave de desempeño se mantuvieron sólidas con un retorno sobre activos del 2.27%, un retorno sobre patrimonio del 13.37% y una relación de eficiencia del 40.52% para el segundo trimestre de 2025. Los activos totales disminuyeron un 1.8% a 2.0 mil millones de dólares, mientras que el patrimonio de los accionistas aumentó un 5.8% hasta 336.7 millones de dólares. El banco mantuvo una alta calidad de activos con cero préstamos morosos y una tasa de activos morosos del 0.04%.
Entre los cambios notables se incluye una disminución de depósitos de 191.2 millones de dólares, compensada por nuevos préstamos por 135.0 millones de dólares, reflejando la estrategia de la administración para diversificar las fuentes de financiamiento. La cartera de préstamos mostró cambios con disminuciones en préstamos para construcción equilibradas por aumentos en préstamos para edificios multifamiliares y cooperativas.
NorthEast Community Bancorp (나스닥: NECB)는 2025년 2분기 재무 실적을 발표했으며, 순이익은 1,120만 달러 (기본 주당 0.85달러)로 2024년 2분기의 1,280만 달러에서 감소했습니다. 2025년 상반기 순이익은 2,170만 달러 (기본 주당 1.65달러)로, 2024년 상반기의 2,420만 달러와 비교됩니다.
주요 성과 지표는 2025년 2분기에 자산 수익률 2.27%, 자기자본 수익률 13.37%, 효율성 비율 40.52%로 견조한 상태를 유지했습니다. 총 자산은 1.8% 감소하여 20억 달러가 되었고, 주주 자본은 5.8% 증가하여 3억 3,670만 달러에 달했습니다. 은행은 부실 대출이 전혀 없고 부실 자산 비율이 0.04%로 자산 건전성을 유지했습니다.
주요 변화로는 1억 9,120만 달러의 예금 감소가 있었으나, 1억 3,500만 달러의 신규 차입으로 상쇄되어 경영진의 자금 조달원 다변화 전략을 반영했습니다. 대출 포트폴리오에서는 건설 대출 감소가 다가구 및 협동조합 건물 대출 증가로 균형을 이루었습니다.
NorthEast Community Bancorp (Nasdaq : NECB) a publié ses résultats financiers du deuxième trimestre 2025, avec un bénéfice net de 11,2 millions de dollars (0,85 dollar par action de base), en baisse par rapport à 12,8 millions de dollars au deuxième trimestre 2024. Pour le premier semestre 2025, le bénéfice net s’est élevé à 21,7 millions de dollars (1,65 dollar par action de base), contre 24,2 millions de dollars au premier semestre 2024.
Les indicateurs clés de performance sont restés solides avec un rendement des actifs de 2,27%, un rendement des capitaux propres de 13,37% et un ratio d’efficacité de 40,52% pour le deuxième trimestre 2025. Les actifs totaux ont diminué de 1,8% pour atteindre 2,0 milliards de dollars, tandis que les capitaux propres des actionnaires ont augmenté de 5,8% pour atteindre 336,7 millions de dollars. La banque a maintenu une excellente qualité d’actifs avec zéro prêt non performant et un ratio d’actifs non performants de 0,04%.
Parmi les changements notables, on note une baisse des dépôts de 191,2 millions de dollars, compensée par 135,0 millions de dollars d’emprunts nouveaux, reflétant la stratégie de la direction visant à diversifier les sources de financement. Le portefeuille de prêts a connu des évolutions, avec une diminution des prêts à la construction compensée par une augmentation des prêts pour immeubles multifamiliaux et coopératifs.
NorthEast Community Bancorp (Nasdaq: NECB) meldete die Finanzergebnisse für das zweite Quartal 2025 mit einem Nettogewinn von 11,2 Millionen US-Dollar (0,85 US-Dollar je Stammaktie), was einen Rückgang gegenüber 12,8 Millionen US-Dollar im zweiten Quartal 2024 darstellt. Für das erste Halbjahr 2025 betrug der Nettogewinn 21,7 Millionen US-Dollar (1,65 US-Dollar je Stammaktie) im Vergleich zu 24,2 Millionen US-Dollar im ersten Halbjahr 2024.
Wichtige Leistungskennzahlen blieben mit einer Rendite auf das Vermögen von 2,27%, einer Eigenkapitalrendite von 13,37% und einer Effizienzquote von 40,52% im zweiten Quartal 2025 stark. Die Gesamtaktiva sanken um 1,8 % auf 2,0 Milliarden US-Dollar, während das Eigenkapital der Aktionäre um 5,8 % auf 336,7 Millionen US-Dollar zunahm. Die Bank behielt eine starke Vermögensqualität bei, mit null notleidenden Krediten und einer Quote notleidender Vermögenswerte von 0,04 %.
Zu den bemerkenswerten Veränderungen gehörte ein Rückgang der Einlagen um 191,2 Millionen US-Dollar, der durch neue Kreditaufnahmen in Höhe von 135,0 Millionen US-Dollar ausgeglichen wurde, was die Strategie des Managements widerspiegelt, die Finanzierungsquellen zu diversifizieren. Das Kreditportfolio verzeichnete Verschiebungen, wobei Rückgänge bei Baukrediten durch Zunahmen bei Mehrfamilien- und Genossenschaftswohnungsdarlehen ausgeglichen wurden.
- Strong asset quality with zero non-performing loans and 0.04% non-performing assets ratio
- Robust performance metrics with 2.27% return on assets and 13.37% return on equity
- Stockholders' equity increased by $18.3 million (5.8%) to $336.7 million
- Efficient operations demonstrated by 40.52% efficiency ratio
- Substantial unfunded loan commitments of $636 million indicating strong pipeline
- Net income decreased to $11.2 million in Q2 2025 from $12.8 million in Q2 2024
- Total deposits declined by $191.2 million (11.5%)
- Net interest margin decreased 44 basis points to 5.35%
- Total assets decreased by $35.7 million (1.8%)
- Net loans decreased by $14.9 million (0.8%)
Insights
NECB reported lower Q2 earnings with net income down 12.5% YoY, though strong asset quality and capital position remain key strengths.
NorthEast Community Bancorp reported Q2 net income of $11.2 million ($0.85 per basic share), down 12.5% from $12.8 million ($0.98 per basic share) in Q2 2024. For the first half of 2025, net income was $21.7 million ($1.65 per basic share), a 10.3% decrease from $24.2 million in the same period last year.
Despite the earnings decline, the bank's performance metrics remain robust with a 2.27% return on assets, 13.37% return on equity, and an impressive 40.52% efficiency ratio for Q2. The bank's asset quality is exceptional with zero non-performing loans and non-performing assets representing just 0.04% of total assets.
The bank's loan portfolio decreased slightly by 0.8% to $1.8 billion since year-end 2024, with construction loans declining by $102.7 million as projects completed. This was partially offset by an $85.9 million increase in multi-family loans, including $43.2 million in cooperative building loans.
On the funding side, total deposits decreased by 11.5% to $1.5 billion, driven by a significant 25.1% reduction in certificates of deposit. Management strategically reduced higher-cost brokered deposits while increasing borrowings to $135 million to diversify funding sources. This funding mix shift contributed to a 45 basis point reduction in funding costs (from 4.33% to 3.88% year-over-year).
The bank's net interest margin compressed to 5.35%, down 44 basis points from 5.79% in Q2 2024, reflecting the impact of the Fed's 100 basis point rate cuts in late 2024. This margin pressure was the primary driver of the earnings decline.
Capital levels strengthened with stockholders' equity increasing 5.8% to $336.7 million, representing 17.06% of total assets compared to 15.84% at year-end 2024. This capital strength positions the bank well for future growth opportunities.
Notable is the bank's strong construction loan pipeline with unfunded commitments exceeding $636 million, indicating continued loan demand despite economic uncertainty. During the first half of 2025, NECB originated $462.7 million in new loans, predominantly in construction and multi-family segments.
WHITE PLAINS, N.Y., July 24, 2025 (GLOBE NEWSWIRE) -- NorthEast Community Bancorp, Inc. (Nasdaq: NECB) (the “Company”), the parent holding company of NorthEast Community Bank (the “Bank”), reported net income of
Kenneth A. Martinek, Chairman of the Board and Chief Executive Officer, stated “We are once again pleased to be able to report continued strong performance throughout our entire loan portfolio, with continuing focus on construction lending in high demand, high absorption sub-markets, as well as our growing cooperative building lending program throughout Manhattan, Brooklyn, the Bronx, and Queens. Despite the uncertainty throughout the national economy during the first half of the year, loan demand continues to increase with outstanding unfunded commitments exceeding
Highlights for the three months and six months ended June 30, 2025 are as follows:
- Performance metrics continue to be strong with a return on average total assets ratio of
2.27% , a return on average shareholders’ equity ratio of13.37% , and an efficiency ratio of40.52% for the three months ended June 30, 2025. For the six months ended June 30, 2025, the Company reported a return on average total assets ratio of2.20% , a return on average shareholders’ equity ratio of13.18% , and an efficiency ratio of41.08% . - Asset quality metrics continue to remain strong with no non-performing loans at either June 30, 2025 or December 31, 2024, and non-performing assets to total assets of
0.04% and0.25% at June 30, 2025 and at December 31, 2024, respectively. Our allowance for credit losses related to loans totaled$4.7 million , or0.26% of total loans at June 30, 2025 compared to$4.8 million , or0.27% of total loans at December 31, 2024. - Total stockholders’ equity increased by
$18.3 million , or5.8% , to$336.7 million , or17.06% of total assets as of June 30, 2025 from$318.3 million , or15.84% of total assets as of December 31, 2024.
Balance Sheet Summary
Total assets decreased
Cash and cash equivalents decreased
Equity securities increased
Securities held-to-maturity decreased
Loans, net of the allowance for credit losses, decreased
During the six months ended June 30, 2025, we originated loans totaling
The allowance for credit losses related to loans decreased to
Premises and equipment increased
Federal Home Loan Bank stock increased
Bank owned life insurance (“BOLI”) increased
Accrued interest receivable decreased
Real estate owned decreased
Property held for investment was
Right of use assets — operating increased
Other assets decreased
Total deposits decreased
The decrease in retail certificates of deposit was due to a shift in deposits to our retail high yield money market accounts. The decrease in brokered certificates of deposit was due to management’s strategy to reduce the cost of funds by “calling” higher rate brokered deposits on their call dates.
Advance payments by borrowers for taxes and insurance increased
Borrowings increased to
Lease liability – operating increased
Accounts payable and accrued expenses increased
The allowance for credit losses for off-balance sheet commitments increased
Stockholders’ equity increased
Results of Operations for the Three Months Ended June 30, 2025 and 2024
Net Interest Income
Net interest income was
Total interest and dividend income decreased
Interest expense decreased
Our net interest margin decreased 44 basis points, or
Credit Loss Expense
The Company recorded no credit loss expense for the three months ended June 30, 2025 compared to a credit loss expense reduction of
The credit loss expense reduction of
With respect to the allowance for credit losses for loans, we charged-off
We recorded recoveries of
Non-Interest Income
Non-interest income for the three months ended June 30, 2025 was
The increase in unrealized gain on equity securities was due to an unrealized gain of
The increase of
Non-Interest Expense
Non-interest expense increased
Income Taxes
We recorded income tax expense of
Results of Operations for the Six Months Ended June 30, 2025 and 2024
Net Interest Income
Net interest income was
Total interest and dividend income decreased
Interest expense decreased
Net interest margin decreased 54 basis points, or
Credit Loss Expense
The Company recorded a credit loss expense of
The credit loss expense for loans of
The credit loss expense reduction of
With respect to the allowance for credit losses for loans, we charged-off
We recorded recoveries of
Non-Interest Income
Non-interest income for the six months ended June 30, 2025 was
The increase in unrealized gain on equity securities was due to an unrealized gain of
The increase of
Non-Interest Expense
Non-interest expense increased
Income Taxes
We recorded income tax expense of
Asset Quality
Non-performing assets were
Our ratio of non-performing assets to total assets remained low at
The Company’s allowance for credit losses related to loans was
In addition, at June 30, 2025, the Company’s allowance for credit losses related to off-balance sheet commitments totaled
Capital
The Company’s total stockholders’ equity to assets ratio was
The Bank’s capital position remains strong relative to current regulatory requirements and the Bank is considered a well-capitalized institution under the Prompt Corrective Action framework. As of June 30, 2025, the Bank had a tier 1 leverage capital ratio of
The Company completed its first stock repurchase program on April 14, 2023 whereby the Company repurchased 1,637,794 shares, or
The Company commenced its second stock repurchase program on May 30, 2023 whereby the Company will repurchase 1,509,218, or
About NorthEast Community Bancorp
NorthEast Community Bancorp, headquartered at 325 Hamilton Avenue, White Plains, New York 10601, is the holding company for NorthEast Community Bank, which conducts business through its eleven branch offices located in Bronx, New York, Orange, Rockland, and Sullivan Counties in New York and Essex, Middlesex, and Norfolk Counties in Massachusetts and three loan production offices located in New City, New York, White Plains, New York, and Danvers, Massachusetts. For more information about NorthEast Community Bancorp and NorthEast Community Bank, please visit www.necb.com.
Forward Looking Statement
This press release contains certain forward-looking statements. Forward-looking statements include statements regarding anticipated future events and can be identified by the fact that they do not relate strictly to historical or current facts. They often include words such as “believe,” “expect,” “anticipate,” “estimate,” and “intend” or future or conditional verbs such as “will,” “would,” “should,” “could,” or “may.” These statements are based upon the current beliefs and expectations of the Company’s management and are subject to significant risks and uncertainties. Actual results may differ materially from those set forth in the forward-looking statements as a result of numerous factors. Factors that could cause actual results to differ materially from expected results include, but are not limited to, changes in market interest rates, regional and national economic conditions (including higher inflation or recessionary conditions and their impact on regional and national economic conditions), legislative and regulatory changes, monetary and fiscal policies of the United States government, including policies of the United States Treasury and the Federal Reserve Board, the impacts of tariffs, sanctions and other trade policies of the United States and its global trading counterparts, the quality and composition of the loan or investment portfolios, demand for loan products, decreases in deposit levels necessitating increased borrowing to fund loans and securities, competition, demand for financial services in NorthEast Community Bank’s market area, changes in the real estate market values in NorthEast Community Bank’s market area, the impact of failures or disruptions in or breaches of the Company’s operational or security systems, data or infrastructure, or those of third parties, including as a result of cyberattacks or campaigns, and changes in relevant accounting principles and guidelines. Additionally, other risks and uncertainties may be described in our annual and quarterly reports filed with the U.S. Securities and Exchange Commission (the “SEC”), which are available through the SEC’s website located at www.sec.gov. These risks and uncertainties should be considered in evaluating any forward-looking statements and undue reliance should not be placed on such statements. Except as required by applicable law or regulation, the Company does not undertake, and specifically disclaims any obligation, to release publicly the result of any revisions that may be made to any forward-looking statements to reflect events or circumstances after the date of the statements or to reflect the occurrence of anticipated or unanticipated events.
| CONTACT: | Kenneth A. Martinek |
| Chairman and Chief Executive Officer | |
| PHONE: | (914) 684-2500 |
| NORTHEAST COMMUNITY BANCORP, INC. CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Unaudited) | ||||||||
| June 30, | December 31, | |||||||
| 2025 | 2024 | |||||||
| (In thousands, except share | ||||||||
| and per share amounts) | ||||||||
| ASSETS | ||||||||
| Cash and amounts due from depository institutions | $ | 19,042 | $ | 13,700 | ||||
| Interest-bearing deposits | 40,331 | 64,559 | ||||||
| Total cash and cash equivalents | 59,373 | 78,259 | ||||||
| Certificates of deposit | 100 | 100 | ||||||
| Equity securities | 25,345 | 21,994 | ||||||
| Securities held-to-maturity (net of allowance for credit losses of | 14,398 | 14,616 | ||||||
| Loans receivable | 1,797,618 | 1,812,647 | ||||||
| Deferred loan fees, net | (62 | ) | (49 | ) | ||||
| Allowance for credit losses | (4,724 | ) | (4,830 | ) | ||||
| Net loans | 1,792,832 | 1,807,768 | ||||||
| Premises and equipment, net | 25,341 | 24,805 | ||||||
| Investments in restricted stock, at cost | 1,085 | 397 | ||||||
| Bank owned life insurance | 26,074 | 25,738 | ||||||
| Accrued interest receivable | 12,119 | 13,481 | ||||||
| Real estate owned | 767 | 5,120 | ||||||
| Property held for investment | 1,352 | 1,370 | ||||||
| Right of Use Assets – Operating | 4,383 | 4,001 | ||||||
| Right of Use Assets – Financing | 345 | 347 | ||||||
| Other assets | 10,370 | 11,585 | ||||||
| Total assets | $ | 1,973,884 | $ | 2,009,581 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Liabilities: | ||||||||
| Deposits: | ||||||||
| Non-interest bearing | $ | 287,741 | $ | 287,135 | ||||
| Interest bearing | 1,191,420 | 1,383,240 | ||||||
| Total deposits | 1,479,161 | 1,670,375 | ||||||
| Advance payments by borrowers for taxes and insurance | 2,422 | 1,618 | ||||||
| Borrowings | 135,000 | - | ||||||
| Lease Liability – Operating | 4,497 | 4,108 | ||||||
| Lease Liability – Financing | 628 | 609 | ||||||
| Accounts payable and accrued expenses | 15,500 | 14,530 | ||||||
| Total liabilities | 1,637,208 | 1,691,240 | ||||||
| Stockholders’ equity: | ||||||||
| Preferred stock, | $ | — | $ | — | ||||
| Common stock, | 140 | 140 | ||||||
| Additional paid-in capital | 111,624 | 110,091 | ||||||
| Unearned Employee Stock Ownership Plan (“ESOP”) shares | (5,653 | ) | (6,088 | ) | ||||
| Retained earnings | 230,345 | 213,974 | ||||||
| Accumulated other comprehensive gain | 220 | 224 | ||||||
| Total stockholders’ equity | 336,676 | 318,341 | ||||||
| Total liabilities and stockholders’ equity | $ | 1,973,884 | $ | 2,009,581 | ||||
| NORTHEAST COMMUNITY BANCORP, INC. CONSOLIDATED STATEMENTS OF INCOME (Unaudited) | ||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| (In thousands, except per share amounts) | (In thousands, except per share amounts) | |||||||||||||||
| INTEREST INCOME: | ||||||||||||||||
| Loans | $ | 36,740 | $ | 38,634 | $ | 73,622 | $ | 75,337 | ||||||||
| Interest-earning deposits | 1,027 | 1,385 | 2,108 | 2,585 | ||||||||||||
| Securities | 272 | 218 | 516 | 436 | ||||||||||||
| Total Interest Income | 38,039 | 40,237 | 76,246 | 78,358 | ||||||||||||
| INTEREST EXPENSE: | ||||||||||||||||
| Deposits | 12,053 | 13,435 | 25,986 | 25,829 | ||||||||||||
| Borrowings | 902 | 570 | 902 | 1,302 | ||||||||||||
| Financing lease | 10 | 10 | 20 | 19 | ||||||||||||
| Total Interest Expense | 12,965 | 14,015 | 26,908 | 27,150 | ||||||||||||
| Net Interest Income | 25,074 | 26,222 | 49,338 | 51,208 | ||||||||||||
| Provision for (reversal of) credit loss | — | (226 | ) | 237 | (391 | ) | ||||||||||
| Net Interest Income after Provision for (Reversal of) Credit Loss | 25,074 | 26,448 | 49,101 | 51,599 | ||||||||||||
| NON-INTEREST INCOME: | ||||||||||||||||
| Other loan fees and service charges | 611 | 563 | 1,351 | 1,025 | ||||||||||||
| Earnings on bank owned life insurance | 170 | 162 | 336 | 319 | ||||||||||||
| Unrealized gain (loss) on equity securities | 51 | (20 | ) | 351 | (102 | ) | ||||||||||
| Other | 26 | 26 | 55 | 43 | ||||||||||||
| Total Non-Interest Income | 858 | 731 | 2,093 | 1,285 | ||||||||||||
| NON-INTEREST EXPENSES: | ||||||||||||||||
| Salaries and employee benefits | 5,650 | 5,252 | 11,583 | 10,603 | ||||||||||||
| Occupancy expense | 743 | 674 | 1,489 | 1,381 | ||||||||||||
| Equipment | 253 | 221 | 470 | 474 | ||||||||||||
| Outside data processing | 758 | 607 | 1,494 | 1,243 | ||||||||||||
| Advertising | 123 | 94 | 225 | 182 | ||||||||||||
| Real estate owned expense | 247 | 27 | 277 | 39 | ||||||||||||
| Other | 2,734 | 2,623 | 5,589 | 5,257 | ||||||||||||
| Total Non-Interest Expenses | 10,508 | 9,498 | 21,127 | 19,179 | ||||||||||||
| INCOME BEFORE PROVISION FOR INCOME TAXES | 15,424 | 17,681 | 30,067 | 33,705 | ||||||||||||
| PROVISION FOR INCOME TAXES | 4,254 | 4,883 | 8,330 | 9,533 | ||||||||||||
| NET INCOME | $ | 11,170 | $ | 12,798 | $ | 21,737 | $ | 24,172 | ||||||||
| NORTHEAST COMMUNITY BANCORP, INC. SELECTED CONSOLIDATED FINANCIAL DATA (Unaudited) | ||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| (In thousands, except per share amounts) | (In thousands, except per share amounts) | |||||||||||||||
| Per share data: | ||||||||||||||||
| Earnings per share - basic | $ | 0.85 | $ | 0.98 | $ | 1.65 | $ | 1.84 | ||||||||
| Earnings per share - diluted | 0.82 | 0.97 | 1.60 | 1.83 | ||||||||||||
| Weighted average shares outstanding - basic | 13,216 | 13,084 | 13,204 | 13,119 | ||||||||||||
| Weighted average shares outstanding - diluted | 13,568 | 13,181 | 13,563 | 13,205 | ||||||||||||
| Performance ratios/data: | ||||||||||||||||
| Return on average total assets | 2.27 | % | 2.70 | % | 2.20 | % | 2.60 | % | ||||||||
| Return on average shareholders' equity | 13.37 | % | 17.28 | % | 13.18 | % | 16.59 | % | ||||||||
| Net interest income | $ | 25,074 | $ | 26,222 | $ | 49,338 | $ | 51,208 | ||||||||
| Net interest margin | 5.35 | % | 5.79 | % | 5.23 | % | 5.77 | % | ||||||||
| Efficiency ratio | 40.52 | % | 35.24 | % | 41.08 | % | 36.54 | % | ||||||||
| Net charge-off ratio | 0.09 | % | 0.00 | % | 0.01 | % | 0.00 | % | ||||||||
| Loan portfolio composition: | June 30, 2025 | December 31, 2024 | ||||||||||||||
| One-to-four family | $ | 3,398 | $ | 3,472 | ||||||||||||
| Multi-family | 292,552 | 206,606 | ||||||||||||||
| Mixed-use | 26,089 | 26,571 | ||||||||||||||
| Total residential real estate | 322,039 | 236,649 | ||||||||||||||
| Non-residential real estate | 28,971 | 29,446 | ||||||||||||||
| Construction | 1,323,477 | 1,426,167 | ||||||||||||||
| Commercial and industrial | 123,084 | 118,736 | ||||||||||||||
| Consumer | 47 | 1,649 | ||||||||||||||
| Gross loans | 1,797,618 | 1,812,647 | ||||||||||||||
| Deferred loan fees, net | (62 | ) | (49 | ) | ||||||||||||
| Total loans | $ | 1,797,556 | $ | 1,812,598 | ||||||||||||
| Asset quality data: | ||||||||||||||||
| Loans past due over 90 days and still accruing | $ | - | $ | - | ||||||||||||
| Non-accrual loans | - | - | ||||||||||||||
| OREO property | 767 | 5,120 | ||||||||||||||
| Total non-performing assets | $ | 767 | $ | 5,120 | ||||||||||||
| Allowance for credit losses to total loans | 0.26 | % | 0.27 | % | ||||||||||||
| Allowance for credit losses to non-performing loans | 0.00 | % | 0.00 | % | ||||||||||||
| Non-performing loans to total loans | 0.00 | % | 0.00 | % | ||||||||||||
| Non-performing assets to total assets | 0.04 | % | 0.25 | % | ||||||||||||
| Bank's Regulatory Capital ratios: | ||||||||||||||||
| Total capital to risk-weighted assets | 14.99 | % | 13.92 | % | ||||||||||||
| Common equity tier 1 capital to risk-weighted assets | 14.71 | % | 13.65 | % | ||||||||||||
| Tier 1 capital to risk-weighted assets | 14.71 | % | 13.65 | % | ||||||||||||
| Tier 1 leverage ratio | 15.87 | % | 14.44 | % | ||||||||||||
| NORTHEAST COMMUNITY BANCORP, INC. NET INTEREST MARGIN ANALYSIS (Unaudited) | ||||||||||||||||||||||
| Three Months Ended June 30, 2025 | Three Months Ended June 30, 2024 | |||||||||||||||||||||
| Average | Interest | Average | Average | Interest | Average | |||||||||||||||||
| Balance | and dividend | Yield | Balance | and dividend | Yield | |||||||||||||||||
| (In thousands, except yield/cost information) | (In thousands, except yield/cost information) | |||||||||||||||||||||
| Loan receivable gross | $ | 1,754,363 | $ | 36,740 | 8.38 | % | $ | 1,687,029 | $ | 38,634 | 9.16 | % | ||||||||||
| Securities | 37,839 | 265 | 2.80 | % | 33,438 | 199 | 2.38 | % | ||||||||||||||
| Federal Home Loan Bank stock | 438 | 7 | 6.39 | % | 704 | 19 | 10.80 | % | ||||||||||||||
| Other interest-earning assets | 83,135 | 1,027 | 4.94 | % | 89,736 | 1,385 | 6.17 | % | ||||||||||||||
| Total interest-earning assets | 1,875,775 | 38,039 | 8.11 | % | 1,810,907 | 40,237 | 8.89 | % | ||||||||||||||
| Allowance for credit losses | (5,122 | ) | (4,927 | ) | ||||||||||||||||||
| Non-interest-earning assets | 95,651 | 91,085 | ||||||||||||||||||||
| Total assets | $ | 1,966,304 | $ | 1,897,065 | ||||||||||||||||||
| Interest-bearing demand deposit | $ | 298,689 | $ | 2,401 | 3.22 | % | $ | 205,536 | $ | 1,930 | 3.76 | % | ||||||||||
| Savings and club accounts | 141,238 | 761 | 2.16 | % | 158,292 | 982 | 2.48 | % | ||||||||||||||
| Certificates of deposit | 815,000 | 8,891 | 4.36 | % | 884,626 | 10,523 | 4.76 | % | ||||||||||||||
| Total interest-bearing deposits | 1,254,927 | 12,053 | 3.84 | % | 1,248,454 | 13,435 | 4.30 | % | ||||||||||||||
| Borrowed money | 82,712 | 912 | 4.41 | % | 47,276 | 580 | 4.91 | % | ||||||||||||||
| Total interest-bearing liabilities | 1,337,639 | 12,965 | 3.88 | % | 1,295,730 | 14,015 | 4.33 | % | ||||||||||||||
| Non-interest-bearing demand deposit | 274,466 | 285,368 | ||||||||||||||||||||
| Other non-interest-bearing liabilities | 20,114 | 19,641 | ||||||||||||||||||||
| Total liabilities | 1,632,219 | 1,600,739 | ||||||||||||||||||||
| Equity | 334,085 | 296,326 | ||||||||||||||||||||
| Total liabilities and equity | $ | 1,966,304 | $ | 1,897,065 | ||||||||||||||||||
| Net interest income / interest spread | $ | 25,074 | 4.23 | % | $ | 26,222 | 4.56 | % | ||||||||||||||
| Net interest rate margin | 5.35 | % | 5.79 | % | ||||||||||||||||||
| Net interest earning assets | $ | 538,136 | $ | 515,177 | ||||||||||||||||||
| Average interest-earning assets to interest-bearing liabilities | 140.23 | % | 139.76 | % | ||||||||||||||||||
| NORTHEAST COMMUNITY BANCORP, INC. NET INTEREST MARGIN ANALYSIS (Unaudited) | ||||||||||||||||||||||
| Six Months Ended June 30, 2025 | Six Months Ended June 30, 2024 | |||||||||||||||||||||
| Average | Interest | Average | Average | Interest | Average | |||||||||||||||||
| Balance | and dividend | Yield | Balance | and dividend | Yield | |||||||||||||||||
| (In thousands, except yield/cost information) | (In thousands, except yield/cost information) | |||||||||||||||||||||
| Loan receivable gross | $ | 1,761,069 | $ | 73,622 | 8.36 | % | $ | 1,649,686 | $ | 75,337 | 9.13 | % | ||||||||||
| Securities | 37,298 | 500 | 2.68 | % | 33,643 | 396 | 2.35 | % | ||||||||||||||
| Federal Home Loan Bank stock | 418 | 16 | 7.66 | % | 773 | 40 | 10.35 | % | ||||||||||||||
| Other interest-earning assets | 88,277 | 2,108 | 4.78 | % | 90,644 | 2,585 | 5.70 | % | ||||||||||||||
| Total interest-earning assets | 1,887,062 | 76,246 | 8.08 | % | 1,774,746 | 78,358 | 8.83 | % | ||||||||||||||
| Allowance for credit losses | (4,978 | ) | (5,009 | ) | ||||||||||||||||||
| Non-interest-earning assets | 96,071 | 89,972 | ||||||||||||||||||||
| Total assets | $ | 1,978,155 | $ | 1,859,709 | ||||||||||||||||||
| Interest-bearing demand deposit | $ | 286,726 | $ | 4,846 | 3.38 | % | $ | 188,510 | $ | 3,483 | 3.70 | % | ||||||||||
| Savings and club accounts | 140,077 | 1,491 | 2.13 | % | 170,531 | 2,184 | 2.56 | % | ||||||||||||||
| Certificates of deposit | 888,136 | 19,649 | 4.42 | % | 847,606 | 20,162 | 4.76 | % | ||||||||||||||
| Total interest-bearing deposits | 1,314,939 | 25,986 | 3.95 | % | 1,206,647 | 25,829 | 4.28 | % | ||||||||||||||
| Borrowed money | 41,584 | 922 | 4.43 | % | 54,184 | 1,321 | 4.88 | % | ||||||||||||||
| Total interest-bearing liabilities | 1,356,523 | 26,908 | 3.97 | % | 1,260,831 | 27,150 | 4.31 | % | ||||||||||||||
| Non-interest-bearing demand deposit | 272,680 | 288,639 | ||||||||||||||||||||
| Other non-interest-bearing liabilities | 19,107 | 18,865 | ||||||||||||||||||||
| Total liabilities | 1,648,310 | 1,568,335 | ||||||||||||||||||||
| Equity | 329,845 | 291,374 | ||||||||||||||||||||
| Total liabilities and equity | $ | 1,978,155 | $ | 1,859,709 | ||||||||||||||||||
| Net interest income / interest spread | $ | 49,338 | 4.11 | % | $ | 51,208 | 4.52 | % | ||||||||||||||
| Net interest rate margin | 5.23 | % | 5.77 | % | ||||||||||||||||||
| Net interest earning assets | $ | 530,539 | $ | 513,915 | ||||||||||||||||||
| Average interest-earning assets to interest-bearing liabilities | 139.11 | % | 140.76 | % | ||||||||||||||||||
FAQ
What was NECB's net income for Q2 2025 compared to Q2 2024?
How did NECB's deposits and borrowings change in H1 2025?
What were NECB's key performance metrics in Q2 2025?
How strong was NECB's asset quality in Q2 2025?
What was NECB's capital position as of June 30, 2025?
