Dime Community beats Q4 profit estimates as margins rise

Overview

• U.S. bank's Q4 revenue hit record $124 mln, driven by core deposit and loan growth

• Adjusted EPS for Q4 beat analyst expectations, rising to $0.79

• Non-performing assets declined 27% on a linked quarter basis

Outlook

• Dime anticipates continued revenue growth due to loan repricing opportunities through 2027

• Company expects growth in core deposits and business loans to benefit over time

• Dime's liquidity position allows flexibility for opportunistic lending

Result Drivers

• CORE DEPOSITS - Dime reported a $1.26 bln year-over-year increase in core deposits, excluding brokered and time deposits

• BUSINESS LOANS - Business loans grew $177.9 mln on a linked quarter basis and $514.0 mln year-over-year

• NET INTEREST MARGIN - The net interest margin increased to 3.11% for Q4 2025 from 3.01% in the prior quarter

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy"

• Wall Street's median 12-month price target for Dime Community Bancshares Inc is $34.50, about 14.5% above its January 20 closing price of $30.12

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nGNX8w7qQ1

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