PONCE FINANCIAL GROUP INC Stock Price, News & Analysis

Ponce Financial Group (NASDAQ: PDLB) announced the opening of its first representative office in Coral Gables, Florida. Located at 1600 Ponce de Leon Drive, this office will be managed by Customer Relationship Officer Jay Sanchez, who will split his time between this office and his previous location in Bergen County, New Jersey. The new office aims to serve the bank's dual-state clientele, especially the Hispanic community. Ponce Bank's digital platform, PonceBank+Direct℠, along with Sanchez's extensive network among small business owners, will facilitate a range of services including commercial lending, mortgages, and small-business banking. The office will leverage online banking, SBA Lending, and online account opening via a convenient app interface. CEO Carlos Naudon and COO Luis Gonzalez expressed confidence in the growth potential in the Miami area.

Ponce Financial Group, Inc. (NASDAQ: PDLB) announced that its Ponce Bank Westchester Avenue Branch in the Bronx has been approved as a Banking Development District (BDD). This designation, covering Bronx Community District 9, is part of New York State's program to support bank branches in underserved areas. As a result, Ponce Bank received $35 million in program deposits on July 30, 2024.

The bank has also applied for designation under the New York City BDD program, which could potentially bring in an additional $20 million in subsidized deposits. Ponce Bank aims to use this designation to expand access to affordable financial services, offer competitive products, and provide financial education to local residents and small businesses in the community.

Ponce Financial Group, Inc. (NASDAQ: PDLB) reported its Q2 2024 results. Net income available to common stockholders was $3.1 million, or $0.14 per diluted share, compared to $2.4 million in Q1 2024 and a net loss of $0.1 million in Q2 2023. Net interest income decreased 4.88% from Q1 2024 but increased 9.96% year-over-year. The net interest margin was 2.62%, down from 2.71% in Q1 2024 and 2.65% in Q2 2023. For the first half of 2024, net income available to common stockholders was $5.5 million, up from $0.2 million in H1 2023. Total assets increased 3.32% to $2.84 billion, with net loans receivable up 6.66% and deposits up 6.53% from December 31, 2023.

Ponce Bank celebrated the graduation of its Small Business Bootcamp in Bronx, Manhattan, and New Jersey, awarding six local businesses with funds to support their growth. The program, launched in 2020, has seen over 1,100 participants and provides free business planning, strategies, and tools for local entrepreneurs. Fiserv, a leading financial technology provider, sponsored the awards.

The top winners, receiving $10,000 each, were Jennifer Silvestre's Nasir + Idie Kids (Bronx) and Wioletta Sudol's The Helper Bears, (Manhattan/NJ). The initiative, supported by The Business Outreach Center Network, aims to improve economic prospects for traditionally underserved groups. Ponce Bank President and CEO Carlos Naudon emphasized the importance of small businesses as 'beating hearts of our communities'.

Ponce Financial Group, the holding company for Ponce Bank (NASDAQ: PDLB), announced that it surpassed its ECIP targets and qualified for a reduced dividend rate on its preferred stock. From June 8, 2023, to March 31, 2024, the bank's qualified lending reached $1.162 billion. This achievement lowers the quarterly dividend rate on the company's $225 million of preferred stock payable to the U.S. Treasury from 2.0% to 0.5%, resulting in an annualized savings of $3.375 million through June 2025. The ECIP program supports low- and moderate-income community financial institutions, and Ponce Bank's efforts included $717.73 million in qualified lending, with $445.08 million designated as Deep Impact Lending, which receives double credit.

State Street (NYSE: STT) announced new deposits in three minority depository institutions (MDIs) as part of its $100 million initiative to support MDIs and Community Development Financial Institutions (CDFIs). The deposits have been made with Carver State Bank, Citizens Trust Bank, and Ponce Bank. This effort aims to foster economic empowerment in underserved communities. State Street's initiative builds on its 2020 commitment to racial equity, which includes a 10-point action plan to address racism and inequality. The firm has also earned certifications for Black and Hispanic equity at work.

BNY Mellon (NYSE:BK) has announced a collaboration with Ponce Bank through the U.S. Department of Treasury Financial Agent Mentor-Protégé Program. This partnership aims to support local businesses, housing, and services in underserved communities by providing mentorship and financial services to Ponce Bank. The alliance seeks to enhance Ponce Bank's role in economic growth and community development within the New York metro area.

Ponce Financial Group, Inc. reported solid first quarter 2024 results with a net income of $2.4 million, or $0.11 per diluted share, marking significant growth from the previous periods. The company demonstrated notable increases in net interest income, total assets, net loans receivable, and deposits. President Carlos P. Naudon highlighted operational progress, showcasing improved net interest income and margin, reduced expenses, and strong capital and liquidity positions. Executive Chairman Steven A. Tsavaris emphasized balanced growth in loans and deposits while maintaining credit quality.