PDLB

Ponce Financial (PDLB) came out with quarterly earnings of $0.35 per share, missing the Zacks Consensus Estimate of $0.37 per share. This compares to earnings of $0.25 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -5.41%. A quarter ago, it was expected that this holding company of Ponce Bank would post earnings of $0.27 per share when it actually produced earnings of $0.36, delivering a surprise of +33.33%. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Ponce Financial, which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $31.59 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 2.23%. This compares to year-ago revenues of $26.49 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Ponce Financial shares have added about 23.6% since the beginning of the year versus the S&P 500's gain of 8.3%. While Ponce Financial has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Ponce Financial was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $9.40 on $31.8 million in revenues for the coming quarter and $10.53 on $125 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Miscellaneous Services is currently in the bottom 26% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Houlihan Lokey (HLI), another stock in the same industry, has yet to report results for the quarter ended June 2026. The results are expected to be released on July 29. This investment banking company is expected to post quarterly earnings of $1.64 per share in its upcoming report, which represents a year-over-year change of -23.4%. The consensus EPS estimate for the quarter has been revised 9.6% lower over the last 30 days to the current level. Houlihan Lokey's revenues are expected to be $614.11 million, up 1.5% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Ponce Financial Group, Inc. (PDLB) : Free Stock Analysis Report Houlihan Lokey, Inc. (HLI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

NEW YORK, July 27, 2026 (GLOBE NEWSWIRE) -- Ponce Financial Group, Inc., (the “Company”) (Nasdaq: PDLB), the holding company for Ponce Bank, National Association ("Ponce Bank" or the “Bank”), today announced results for the second quarter of 2026. Second Quarter 2026 Highlights (Compared to Prior Periods): Net income available to common stockholders was $8.2 million, or $0.35 per diluted share for the three months ended June 30, 2026, as compared to net income available to common stockholders of $8.3 million, or $0.36 per diluted share for the three months ended March 31, 2026 and net income available to common stockholders of $5.8 million, or $0.25 per diluted share for the three months ended June 30, 2025. Total net income for the three months ended June 30, 2026 was $8.5 million. The Company paid dividends of $0.3 million on its preferred stock during the three months ended June 30, 2026. Included in the $8.2 million of net income available to common stockholders for the second quarter of 2026 results is $51.7 million in total interest and dividend income and $1.5 million in non-interest income, offset by $21.6 million in interest expense, $18.1 million in non-interest expense, $2.8 million in provision for income taxes, $2.1 million in provision for credit losses and $0.3 million in dividends on preferred shares. Net interest income of $30.1 million for the second quarter of 2026 increased $1.8 million, or 6.50%, from the prior quarter and increased $5.6 million, or 23.07%, from the same quarter last year. Net interest margin was 3.66% for the second quarter of 2026, versus 3.61% for the prior quarter and 3.27% for the same quarter last year. Six Months 2026 Highlights (Compared to 2025) Net income available to common stockholders was $16.6 million, or $0.71 per diluted share for the six months ended June 30, 2026, as compared to net income available to common stockholders of $11.5 million, or $0.50 per diluted share for the six months ended June 30, 2025. The Company paid dividends of $0.6 million on its preferred stock during each of the six months ended June 30, 2026 and June 30, 2025. Net interest income for the six months ended June 30, 2026 was $58.3 million, an increase of $11.7 million, or 25.0%, compared to $46.6 million for the six months ended June 30, 2025. Non-interest income for six months ended June 30, 2026 was $3.6 million, a decrease of $0.9 million, or 19.6%, from $4.4 million for the six months ended June 30, 2025. Non-interest expense for the six months ended June 30, 2026 was $35.4 million, an increase of $1.6 million, or 4.8%, compared to $33.8 million for the six months ended June 30, 2025. Cash and equivalents were $140.0 million as of June 30, 2026, an increase of $13.9 million, or 10.98%, from $126.2 million as of December 31, 2025. Securities totaled $338.4 million as of June 30, 2026, a decrease of $26.8 million, or 7.34%, from $365.2 million as of December 31, 2025 primarily due to regular principal payments and the maturity of one available-for-sale security in the amount of $3.0 million. Net loans receivable were $2.88 billion as of June 30, 2026, an increase of $280.5 million, or 10.79%, from $2.60 billion as of December 31, 2025. Deposits were $2.27 billion as of June 30, 2026, an increase of $225.2 million, or 11.00%, from $2.05 billion as of December 31, 2025. President and Chief Executive Officer’s Comments Carlos P. Naudon, Ponce Financial Group, Inc.’s President and CEO, stated “The consistent execution of our strategy continues to produce strong growth and financial results. Our diluted earnings per share of $0.71 year to date are up 42% versus the same period last year and our book value per share of $13.89 is up $1.55 or 13% over the same period. Net interest margin is up 5 basis points versus last quarter and 39 basis points versus the same quarter last year. Our capital ratios continue to be well in excess of regulatory requirements. We remain committed to the communities we serve, and we’ll continue investing in our people and in technology to improve our efficiency.” Executive Chairman’s Comment Steven A. Tsavaris, Ponce Financial Group’s Executive Chairman added “We’re pleased with our strong loan and deposit growth this quarter. We’ve filed our 2nd quarter of 2026 QSR (Quarterly Supplemental Report) and believe we have met the necessary lending conditions to repurchase our Preferred Stock under the terms of the ECIP Purchase Option Agreement that we previously entered into with the U.S. Department of the Treasury in late 2024. We are excited about this milestone and the possibilities that the repurchase regulatory process will bring to the Company.” ECIP The consummation of any such repurchase of our Preferred Stock is subject to the satisfaction of additional conditions, including satisfying certain eligibility criteria. Although the Company currently expects that it will satisfy all other necessary conditions, there can be no assurance if and when such repurchase will be consummated with Treasury. The table below indicates the Key Metrics at or for the three months ended: (1) Annualized.(2) Net interest margin represents net interest income divided by average total interest-earning assets.(3) Efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income. Summary of Results of Operations Net income for the three months ended June 30, 2026 was $8.5 million compared to net income of $8.6 million for the three months ended March 31, 2026 and net income of $6.1 million for the three months ended June 30, 2025. The $0.1 million decrease of net income for the three months ended June 30, 2026 compared to the three months ended March 31, 2026 was attributed mainly to an increase of $0.9 million non-interest expense, a decrease of $0.5 million in non-interest income and an increase of $0.5 million in provision for credit losses, offset by an increase of $1.8 million in net interest income. The $2.4 million increase of net income for the three months ended June 30, 2026 compared to the three months ended June 30, 2025 was largely due to an increase of $5.6 million in net interest income, offset by increases of $1.3 million in non-interest expense, $0.9 million in provision for income taxes and $0.5 million in provision for credit losses and a decrease of $0.5 million in non-interest income recognized in the second quarter of 2025. Net income for the six months ended June 30, 2026 was $17.1 million compared to net income of $12.1 million for the six months ended June 30, 2025. The $5.1 million increase in net income was attributed mainly to an increase of $11.7 million in net interest income, offset by increases of $2.5 million in provision for credit losses, $1.6 million in non-interest expense, $1.6 million in provision for income taxes and a decrease of $0.9 million in non-interest income. Net Interest Income and Net Interest Margin Net interest income for the three months ended June 30, 2026, increased $1.8 million, or 6.50%, to $30.1 million compared to $28.2 million for the three months ended March 31, 2026 and increased $5.6 million, or 23.07%, compared to $24.4 million for the three months ended June 30, 2025. The $1.8 million increase in net interest income from the three months ended March 31, 2026 was attributable to an increase of $3.0 million in total interest and dividend income, offset by an increase of $1.2 million in total interest expense. The $5.6 million increase in net interest income from the three months ended June 30, 2025 was attributable to an increase of $5.8 million in total interest and dividend income, offset by an increase of $0.2 million in total interest expense. Net interest income for the six months ended June 30, 2026, increased $11.7 million, or 25.00%, to $58.3 million compared to $46.6 million for the six months ended June 30, 2025. The $11.7 million increase in net interest income from the six months ended June 30, 2025 was attributable to an increase of $10.5 million in total interest and dividend income and a decrease of $1.2 million in total interest expense. Net interest margin was 3.66% for the three months ended June 30, 2026 compared to 3.61% for the prior quarter, an increase of 5bps and 3.27% for the same period last year, an increase of 39bps. Net interest margin was 3.64% for the six months ended June 30, 2026 compared to 3.12% for the six months ended June 30, 2025, an increase of 52bps. Non-interest Income Non-interest income for the three months ended June 30, 2026, was $1.5 million, a decrease of $0.5 million, or 25.22%, compared to $2.0 million for the three months ended March 31, 2026, and a decrease of $0.5 million, or 25.87%, compared to the three months ended June 30, 2025. The $0.5 million decrease in non-interest income from the three months ended March 31, 2026 was largely attributable to a decrease of $0.6 million in late and prepayment charges. The $0.5 million decrease in non-interest income from the three months ended June 30, 2025 was largely attributable to decreases of $0.4 million in late and prepayment charges and $0.4 million in grant income recognized in the second quarter of 2025, offset by an increase of $0.2 million in other non-interest income. Non-interest income for the six months ended June 30, 2026, was $3.6 million, a decrease of $0.9 million, or 19.64%, compared to $4.4 million for the six months ended June 30, 2025. The $0.9 million decrease in non-interest income from the six months ended June 30, 2025 was largely attributable to decreases of $0.4 million in late and prepayment charges, $0.4 million in income on sale of SBA loans and $0.4 million in grant income recognized in the second quarter of 2025, offset by increases on $0.3 million in other non-interest income and $0.1 million in service charges and fees. Non-interest Expense Non-interest expense for the three months ended June 30, 2026 was $18.1 million, an increase of $0.9 million, or 5.19%, compared to $17.2 million for the three months ended March 31, 2026 and an increase of $1.3 million, or 7.50%, compared to $16.9 million for the three months ended June 30, 2025. The $0.9 million increase in non-interest expense from the three months ended March 31, 2026 was mainly attributable to increases of $0.4 million in compensation and benefits, $0.2 million in occupancy and equipment, $0.2 million in other non-interest expenses and $0.1 million in professional fees. The $1.3 million increase in non-interest expense from the three months ended June 30, 2025 was mainly attributable to an increase of $1.4 million in compensation and benefits, partially offset by a decrease of $0.1 million in federal deposit insurance and regulatory assessment. Non-interest expense for the six months ended June 30, 2026 was $35.4 million, an increase of $1.6 million, or 4.79%, compared to $33.8 million for the six months ended June 30, 2025. The $1.6 million increase in non-interest expense from the six months ended June 30, 2025 was mainly attributable to an increase of $2.3 million in compensation and benefits, partially offset by decreases of $0.3 million in direct loan expenses, $0.2 million in occupancy and equipment, $0.2 million in other non-interest expenses and $0.2 million in federal deposit insurance and regulatory assessment. Credit Quality: Total non-performing assets and accruing modifications to borrowers experiencing financial difficulty were $26.8 million at June 30, 2026 compared to $23.6 million at March 31, 2026 and $28.5 million at June 30, 2025. During the three months ended June 30, 2026, a credit loss provision of $2.1 million on loans was recorded, consisting of $1.7 million charged on the funded portion and $0.4 million charged on the unfunded portion on loans. During the three months ended March 31, 2026, a credit loss provision of $1.7 million on loans was recorded, consisting of $1.3 million charged on the funded portion and $0.4 million charged on the unfunded portion on loans. During the three months ended June 30, 2025, a credit loss provision of $1.6 million on loans was recorded, consisting of $1.3 million charged on the funded portion on loans and $0.3 million charged on the unfunded portion on loans. During the six months ended June 30, 2026, a credit loss provision of $3.8 million on loans was recorded, consisting of $3.0 million charged on the funded portion and $0.8 million charged on the unfunded portion on loans. During the six months ended June 30, 2025, a credit loss provision of $1.3 million on loans was recorded, consisting of $2.0 million charged on the funded portion on loans and a $0.7 million benefit on the unfunded portion on loans. Balance Sheet Summary Total assets increased $270.7 million, or 8.40%, to $3.49 billion as of June 30, 2026 from $3.22 billion as of December 31, 2025. The increase in total assets is largely attributable to increases of $280.5 million in net loans receivable, $13.9 million in cash and cash equivalents, $2.0 million in accrued interest receivable, $1.5 million in deferred tax assets, $1.4 million in Federal Home Loan Bank of New York stock and $0.1 million in other assets, partially offset by decreases of $19.4 million in held-to-maturity securities, $7.4 million in available-for-sale securities, $1.0 million in premises and equipment, net, $0.5 million in right of use assets and $0.3 million in mortgage loans held for sale, at fair value. Total liabilities increased $251.3 million, or 9.37%, to $2.93 billion as of June 30, 2026 from $2.68 billion as of December 31, 2025. The increase in total liabilities was largely attributable to increases of $225.2 million in deposits, $25.0 million in borrowings and $1.6 million in other liabilities, partially offset by a decrease of $0.5 million in operating lease liabilities. Total stockholders’ equity increased $19.4 million, or 3.59%, to $561.0 million as of June 30, 2026, from $541.5 million as of December 31, 2025. The $19.4 million increase in stockholders’ equity was largely attributable to $17.1 million in net income, $0.2 million from exercise of stock options, $1.3 million impact to additional paid in capital as a result of share-based compensation, $1.2 million from release of ESOP shares, and $0.1 million in other comprehensive income, offset by $0.6 million related to the dividend paid on preferred shares during the six months ended June 30, 2026. About Ponce Financial Group, Inc. Ponce Financial Group, Inc. is the holding company for Ponce Bank, N.A. Ponce Bank, N.A. is a Minority Depository Institution, a Community Development Financial Institution, and a certified Small Business Administration lender. Ponce Bank, N.A.’s business primarily consists of taking deposits from the general public and to a lesser extent alternative funding sources and investing those funds, together with funds generated from operations and borrowings, in mortgage loans, consisting of 1-4 family residences (investor-owned and owner-occupied), multifamily residences, nonresidential properties, construction and land, and, to a lesser extent, in business and consumer loans. Ponce Bank. N.A. also invests in securities, which consist of U.S. Government and federal agency securities and securities issued by government-sponsored or government-owned enterprises, as well as, mortgage-backed securities, corporate bonds and obligations, Federal Home Loan Bank stock and Federal Reserve Bank stock. Forward Looking Statements Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of 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 such differences to exist include, but are not limited to, adverse conditions in the capital and debt markets and the impact of such conditions on business activities; changes in interest rates; competitive pressures from other financial institutions; the effects of general economic conditions on a national basis or in the local markets in which Ponce Bank, N.A. operates, including changes that adversely affect borrowers’ ability to service and repay Ponce Bank, N.A.’s loans; changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, and their related impacts on the economy; changes in the global economy, including negative changes that may arise from armed conflict and geopolitical instability; changes in the value of securities in the investment portfolio; changes in loan default and charge-off rates; fluctuations in real estate values; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; changes in government regulation; changes in accounting standards and practices; the risk that intangibles recorded in the financial statements will become impaired; demand for loans in Ponce Bank, N.A.’s market area; Ponce Bank, N.A.’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that Ponce Financial Group, Inc. may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in Ponce Financial Group, Inc.’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Ponce Financial Group, Inc. disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as may be required by applicable law or regulation. Ponce Financial Group, Inc. and SubsidiariesConsolidated Statements of Operations(Dollars in thousands, except per share data) Ponce Financial Group, Inc. and SubsidiariesConsolidated Statements of Operations(Dollars in thousands, except per share data) Ponce Financial Group, Inc. and SubsidiariesLoans Receivable excluding Mortgage Loans Held for Sale Ponce Financial Group, Inc. and SubsidiariesAllowance for Credit Losses on Loans Ponce Financial Group, Inc. and SubsidiariesDeposits (1) At June 30, 2026, there was $50.2 million in brokered deposits. At March 31, 2026, December 31, 2025, September 30, 2025 and June 30, 2025, there were $0.3 million each in brokered deposits. (2) As of June 30, 2025, Advance payments by borrowers for taxes and insurance in the amounts of $10.9 million were reclassified to Deposits. (3) At June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025. there were no individual listing service deposits amounting to $250,000 or more. At June 30, 2025, there was $1.5 million in individual listing service deposits amounting to $250,000 or more. All other brokered certificates of deposit individually amounted to less than $250,000. Ponce Financial Group, Inc. and Subsidiaries Nonperforming Assets (1) Balances include both modifications to borrowers experiencing financial difficulty, in accordance with ASU 2022-02 adopted on January 1, 2023, and previously existing troubled debt restructurings. (2) Includes nonperforming mortgage loans held for sale. Ponce Financial Group, Inc. and SubsidiariesAverage Balance Sheets (1) Annualized where appropriate.(2) Loans include loans and mortgage loans held for sale, at fair value.(3) Securities include available-for-sale securities and held-to-maturity securities.(4) Includes FHLBNY demand account, FHLBNY stock dividends and FRBNY demand deposits.(5) For the three months ended June 30, 2025, Advance payments by borrowers for taxes and insurance in the amount of $14.9 million, were reclassified to Savings.(6) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.(7) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.(8) Net interest margin represents net interest income divided by average total interest-earning assets. Ponce Financial Group, Inc. and Subsidiaries Average Balance Sheets (1) Annualized where appropriate.(2) Loans include loans and mortgage loans held for sale, at fair value.(3) Securities include available-for-sale securities and held-to-maturity securities.(4) Includes FHLBNY demand account, FHLBNY stock dividends and FRBNY demand deposits.(5) For the six months ended June 30, 2025, Advance payments by borrowers for taxes and insurance in the amount of $13.7 million, were reclassified to Savings.(6) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.(7) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.(8) Net interest margin represents net interest income divided by average total interest-earning assets. Ponce Financial Group, Inc. and SubsidiariesOther Data (1) Tangible book value per common share is a non-GAAP financial measure and is calculated by dividing tangible common equity by common shares outstanding. Tangible common equity is defined as total shareholders’ equity less goodwill and other intangible assets, net of applicable deferred taxes. The Company believes that tangible book value per common share is a useful measure for investors, regulators, and analysts because it reflects the Company’s capital position excluding the impact of goodwill and other intangible assets, which may not be realizable in a liquidation scenario. This measure is commonly used in the banking industry to assess financial condition and capital adequacy. Tangible book value per common share should not be considered a substitute for book value per common share, which is calculated in accordance with GAAP, and the Company’s definition of tangible book value per common share may differ from similarly titled measures used by other companies. During the periods presented, the Company did not make any adjustments for goodwill and other intangible assets, so tangible book value per common share is equal to the book value per common share as calculated in accordance with GAAP. Contact:Sergio J. [email protected]

Burke & Herbert Financial Services (BHRB) came out with quarterly earnings of $2.03 per share, missing the Zacks Consensus Estimate of $2.1 per share. This compares to earnings of $1.97 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -3.33%. A quarter ago, it was expected that this bank holding company would post earnings of $1.87 per share when it actually produced earnings of $1.87, delivering no surprise. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Burke & Herbert, which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $106.9 million for the quarter ended June 2026, missing the Zacks Consensus Estimate by 4.04%. This compares to year-ago revenues of $87.11 million. The company has topped consensus revenue estimates just once over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Burke & Herbert shares have added about 14% since the beginning of the year versus the S&P 500's gain of 9.6%. While Burke & Herbert has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Burke & Herbert was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.17 on $122.4 million in revenues for the coming quarter and $8.25 on $442.8 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Miscellaneous Services is currently in the bottom 25% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Ponce Financial (PDLB), has yet to report results for the quarter ended June 2026. This holding company of Ponce Bank is expected to post quarterly earnings of $0.37 per share in its upcoming report, which represents a year-over-year change of +48%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Ponce Financial's revenues are expected to be $30.9 million, up 16.7% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Burke & Herbert Financial Services Corp. (BHRB) : Free Stock Analysis Report Ponce Financial Group, Inc. (PDLB) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Ponce Financial (PDLB) came out with quarterly earnings of $0.36 per share, beating the Zacks Consensus Estimate of $0.27 per share. This compares to earnings of $0.25 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +33.33%. A quarter ago, it was expected that this holding company of Ponce Bank would post earnings of $0.28 per share when it actually produced earnings of $0.42, delivering a surprise of +50%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Ponce Financial, which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $30.27 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 13.36%. This compares to year-ago revenues of $24.58 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Ponce Financial shares have added about 7.2% since the beginning of the year versus the S&P 500's gain of 3.8%. While Ponce Financial has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Ponce Financial was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.29 on $27.6 million in revenues for the coming quarter and $10.22 on $111.8 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Miscellaneous Services is currently in the top 33% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Core Scientific, Inc. (CORZ), is yet to report results for the quarter ended March 2026. This company is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of +80%. The consensus EPS estimate for the quarter has been revised 89.3% lower over the last 30 days to the current level. Core Scientific, Inc.'s revenues are expected to be $120.2 million, up 51.1% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Ponce Financial Group, Inc. (PDLB) : Free Stock Analysis Report Core Scientific, Inc. (CORZ) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

NEW YORK, April 24, 2026 (GLOBE NEWSWIRE) -- Ponce Financial Group, Inc., (the “Company”) (Nasdaq: PDLB), the holding company for Ponce Bank, National Association ("Ponce Bank" or the “Bank”), today announced results for the first quarter of 2026. First Quarter 2026 Highlights (Compared to Prior Periods): Net income available to common stockholders was $8.3 million, or $0.36 per diluted share for the three months ended March 31, 2026, as compared to net income available to common stockholders of $9.9 million, or $0.42 per diluted share for the three months ended December 31, 2025 and net income available to common stockholders of $5.7 million, or $0.25 per diluted share for the three months ended March 31, 2025. Total net income for the three months ended March 31, 2026 was $8.6 million. The Company paid dividends of $0.3 million on its preferred stock during the three months ended March 31, 2026. Included in the $8.3 million of net income available to common stockholders for the first quarter of 2026 results is $48.7 million in total interest and dividend income and $2.0 million in non-interest income, offset by $20.4 million in interest expense, $17.2 million in non-interest expense, $2.7 million in provision for income taxes, $1.7 million in provision for credit losses and $0.3 million in dividends on preferred shares. Net interest income of $28.2 million for the first quarter of 2026 increased $0.3 million, or 1.05%, from the prior quarter and increased $6.0 million, or 27.13%, from the same quarter last year. Net interest margin was 3.61% for the first quarter of 2026, versus 3.57% for the prior quarter and 2.98% for the same quarter last year. Cash and equivalents were $117.2 million as of March 31, 2026, a decrease of $8.9 million, or 7.06%, from $126.2 million as of December 31, 2025. Securities totaled $350.7 million as of March 31, 2026, a decrease of $14.5 million, or 3.97%, from $365.2 million as of December 31, 2025 primarily due to regular principal payments and the maturity of one available-for-sale security in the amount of $3.0 million. Net loans receivable were $2.70 billion as of March 31, 2026, an increase of $99.4 million, or 3.82%, from $2.60 billion as of December 31, 2025. Deposits were $2.13 billion as of March 31, 2026, an increase of $87.2 million, or 4.26%, from $2.05 billion as of December 31, 2025. President and Chief Executive Officer’s Comments Carlos P. Naudon, Ponce Financial Group, Inc.’s President and CEO, stated “Our disciplined execution continues to serve Ponce well. Our diluted earnings per share of $0.36 this quarter is up 44% vs the same quarter last year and our book value per share of $13.49 is up $1.44 or 12% over the same period. Net interest margin is up 4 basis points versus last quarter and 63 basis points vs the same quarter last year. Our non-performing assets went down this quarter by 22 basis points and now stand at 62 basis points of total assets. Our capital ratios continue to be well in excess of regulatory requirements. We remain committed to the communities we serve, and we’ll continue investing in our people and in technology to improve our efficiency.” Executive Chairman’s Comment Steven A. Tsavaris, Ponce Financial Group’s Executive Chairman added “We’re pleased with our business activity during the quarter and by our loan and deposit growth. We continue to make progress towards our commitments under the U.S. Treasury’s Emergency Capital Investment Program and we’re one quarter away from achieving 16 quarters of a cumulative deep impact lending percentage of more than 60%. After 15 quarters, including the quarter ended March 31, 2026, we are at 82% deep impact lending.” The table below indicates the Key Metrics at or for the three months ended: (1) Annualized. (2) Net interest margin represents net interest income divided by average total interest-earning assets. (3) Efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income. Summary of Results of Operations Net income for the three months ended March 31, 2026 was $8.6 million compared to net income of $10.1 million for the three months ended December 31, 2025 and net income of $6.0 million for the three months ended March 31, 2025. The $1.5 million decrease of net income for the three months ended March 31, 2026 compared to the three months ended December 31, 2025 was attributed mainly to a decrease of $1.4 million in non-interest income and increases of $0.6 million non-interest expense and $0.6 million in provision for credit losses, offset by an increase of $0.3 million in net interest income and a decrease of $0.8 million in provision for income taxes. The $2.7 million increase of net income for the three months ended March 31, 2026 compared to the three months ended March 31, 2025 was largely due to an increase of $6.0 million in net interest income, offset by increases of $1.9 million in provision for credit losses, $0.7 million in provision for income taxes and $0.4 million in non-interest expense and a decrease of $0.3 million in non-interest income. Net Interest Income and Net Interest Margin Net interest income for the three months ended March 31, 2026, increased $0.3 million, or 1.05%, to $28.2 million compared to $27.9 million for the three months ended December 31, 2025 and increased $6.0 million, or 27.13%, compared to $22.2 million for the three months ended March 31, 2025. The $0.3 million increase in net interest income from the three months ended December 31, 2025 was attributable to decreases of $0.5 million in total interest expense and $0.2 million in total interest and dividend income. The $6.0 million increase in net interest income from the three months ended March 31, 2025 was attributable to an increase of $4.7 million in total interest and dividend income and a decrease of $1.4 million in total interest expense. Net interest margin was 3.61% for the three months ended March 31, 2026 compared to 3.57% for the prior quarter, an increase of 4bps and 2.98% for the same period last year, an increase of 63bps. Non-interest Income Non-interest income for the three months ended March 31, 2026, was $2.0 million, a decrease of $1.4 million, or 41.30%, compared to $3.5 million for the three months ended December 31, 2025, a decrease of $0.3 million, or 14.24%, compared to the three months ended March 31, 2025. The $1.4 million decrease in non-interest income from the three months ended December 31, 2025 was largely attributable to a decrease of $0.5 million in other non-interest income, grant income of $0.4 million which had been recognized in the prior quarter and a decrease of $0.4 million in late and prepayment charges. The $0.3 million decrease in non-interest income from the three months ended March 31, 2025 was largely attributable to a decrease of $0.4 million in income on sale of SBA loans. Non-interest Expense Non-interest expense for the three months ended March 31, 2026 was $17.2 million, an increase of $0.6 million, or 3.64%, compared to $16.6 million for the three months ended December 31, 2025 and an increase of $0.4 million, or 2.08%, compared to $16.9 million for the three months ended March 31, 2025. The $0.6 million increase in non-interest expense from the three months ended December 31, 2025 was mainly attributable to increases of $0.6 million in compensation and benefits, $0.3 million in federal deposit insurance and regulatory assessment and $0.1 million in marketing and promotional expenses, partially offset by a decrease of $0.4 million in occupancy and equipment. The $0.4 million increase in non-interest expense from the three months ended March 31, 2025 was mainly attributable to increases of $0.8 million in compensation and benefit and $0.1 million in marketing and promotional expenses, partially offset by decreases of $0.3 million in direct loan expenses, $0.2 million in occupancy and equipment and $0.2 million in other operating expenses. Credit Quality: Total non-performing assets and accruing modifications to borrowers experiencing financial difficulty were $23.6 million at March 31, 2026 compared to $30.2 million at December 31, 2025 and $32.0 million at March 31, 2025. During the three months ended March 31, 2026, a credit loss provision of $1.7 million on loans was recorded, consisting of $1.3 million charged on the funded portion and $0.4 million charged on the unfunded portion on loans. During the three months ended December 31, 2025, a credit loss provision of $1.1 million on loans was recorded, consisting of $1.5 million charged on the funded portion and $0.4 million benefit on the unfunded portion on loans. During the three months ended March 31, 2025, a credit loss benefit of $0.3 million on loans was recorded, consisting of $0.7 million charged on the funded portion on loans and a benefit of $1.0 million on the unfunded portion on loans. Balance Sheet Summary Total assets increased $76.8 million, or 2.38%, to $3.30 billion as of March 31, 2026 from $3.22 billion as of December 31, 2025. The increase in total assets is largely attributable to increases of $99.4 million in net loans receivable, $2.0 million in other assets, $1.4 million in accrued interest receivable and $0.2 million in deferred tax assets, partially offset by decreases of $9.5 million in held-to-maturity securities, $8.9 million in cash and cash equivalents, $5.0 million in available-for-sale securities, $1.3 million in mortgage loans held for sale, $1.1 million in Federal Home Loan Bank of New York stock and $0.5 million in premises and equipment, net. Total liabilities increased $67.0 million, or 2.50%, to $2.75 billion as of March 31, 2026 from $2.68 billion as of December 31, 2025. The increase in total liabilities was largely attributable to increases of $87.2 million in deposits, $4.2 million in other liabilities and $0.6 million in accrued interest payable, partially offset by a decrease of $25.0 million in borrowings. Total stockholders’ equity increased $9.8 million, or 1.81%, to $551.4 million as of March 31, 2026, from $541.5 million as of December 31, 2025. The $9.8 million increase in stockholders’ equity was largely attributable to $8.6 million in net income, $0.6 million impact to additional paid in capital as a result of share-based compensation, $0.6 million from release of ESOP shares and $0.2 million from exercise of stock options and $0.1 million in other comprehensive income, offset by $0.3 million related to the dividend paid on preferred shares during the quarter ended March 31, 2026. About Ponce Financial Group, Inc. Ponce Financial Group, Inc. is the holding company for Ponce Bank, N.A. Ponce Bank, N.A. is a Minority Depository Institution, a Community Development Financial Institution, and a certified Small Business Administration lender. Ponce Bank, N.A.’s business primarily consists of taking deposits from the general public and to a lesser extent alternative funding sources and investing those funds, together with funds generated from operations and borrowings, in mortgage loans, consisting of 1-4 family residences (investor-owned and owner-occupied), multifamily residences, nonresidential properties, construction and land, and, to a lesser extent, in business and consumer loans. Ponce Bank. N.A. also invests in securities, which consist of U.S. Government and federal agency securities and securities issued by government-sponsored or government-owned enterprises, as well as, mortgage-backed securities, corporate bonds and obligations, Federal Home Loan Bank stock and Federal Reserve Bank stock. Forward Looking Statements Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of 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 such differences to exist include, but are not limited to, adverse conditions in the capital and debt markets and the impact of such conditions on business activities; changes in interest rates; competitive pressures from other financial institutions; the effects of general economic conditions on a national basis or in the local markets in which Ponce Bank, N.A. operates, including changes that adversely affect borrowers’ ability to service and repay Ponce Bank, N.A.’s loans; changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, and their related impacts on the economy; changes in the global economy, including negative changes that may arise from armed conflict and geopolitical instability; changes in the value of securities in the investment portfolio; changes in loan default and charge-off rates; fluctuations in real estate values; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; changes in government regulation; changes in accounting standards and practices; the risk that intangibles recorded in the financial statements will become impaired; demand for loans in Ponce Bank, N.A.’s market area; Ponce Bank, N.A.’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that Ponce Financial Group, Inc. may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in Ponce Financial Group, Inc.’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Ponce Financial Group, Inc. disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as may be required by applicable law or regulation. (1) As of June 30, 2025 and March 31, 2025, Advance payments by borrowers for taxes and insurance in the amounts of $10.9 million and $12.9 million, respectively, were reclassified to Deposits. (2) There were no individual listing service deposits or brokered certificates of deposit amounting to $250,000 or more. (1) Balances include both modifications to borrowers experiencing financial difficulty, in accordance with ASU 2022-02 adopted on January 1, 2023, and previously existing troubled debt restructurings. (2) Includes nonperforming mortgage loans held for sale. (1) Annualized where appropriate. (2) Loans include loans and mortgage loans held for sale, at fair value. (3) Securities include available-for-sale securities and held-to-maturity securities. (4) Includes FHLBNY demand account, FHLBNY stock dividends and FRBNY demand deposits. (5) For the three months ended March 31, 2025, advance payments by borrowers for taxes and insurance in the amounts of $12.4 million, were reclassified to savings. (6) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities. (7) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities. (8) Net interest margin represents net interest income divided by average total interest-earning assets. Contact: Sergio Vaccaro [email protected] 718-931-9000

NEW YORK, Jan. 27, 2026 (GLOBE NEWSWIRE) -- Ponce Financial Group, Inc., (the “Company”) (NASDAQ: PDLB), the holding company for Ponce Bank, N.A. (the “Bank”), today announced results for the fourth quarter of 2025. Fourth Quarter 2025 Highlights (Compared to Prior Periods): Net income available to common stockholders was $9.9 million, or $0.42 per diluted share for the three months ended December 31, 2025, as compared to net income available to common stockholders of $6.2 million, or $0.27 per diluted share for the three months ended September 30, 2025 and net income available to common stockholders of $2.7 million, or $0.12 per diluted share for the three months ended December 31, 2024. Total net income for the three months ended December 31, 2025 was $10.1 million. The Company paid dividends of $0.3 million on its preferred stock during the three months ended December 31, 2025. Included in the $9.9 million of net income available to common stockholders for the fourth quarter of 2025 results is $48.8 million in interest and dividend income and $3.5 million in non-interest income, offset by $20.9 million in interest expense, $16.6 million in non-interest expense, $3.6 million in provision for income taxes, $1.1 million in provision for credit losses and $0.3 million in dividends on preferred shares. Net interest income of $27.9 million for the fourth quarter of 2025 increased $2.7 million, or 10.64%, from the prior quarter and increased $7.2 million, or 34.75%, from the same quarter last year. Net interest margin was 3.57% for the fourth quarter of 2025, versus 3.30% for the prior quarter and 2.80% for the same quarter last year. Full Year 2025 Highlights (Compared to 2024): Net income available to common stockholders was $27.6 million, or $1.20 per diluted share for the year ended December 31, 2025, as compared to net income available to common stockholders of $10.3 million, or $0.46 per diluted share for the year ended December 31, 2024. The Company paid dividends of $1.1 million on its preferred stock during the for the year ended December 31, 2025 and $0.6 million for the year ended December 31, 2024. Net interest income for the year ended December 31, 2025 was $99.8 million, an increase of $23.3 million, or 30.51%, compared to $76.5 million for the year ended December 31, 2024. Non-interest income for the year ended December 31, 2025 was $9.4 million, an increase of $2.2 million, or 30.49%, from $7.2 million for the year ended December 31, 2024. Non-interest expense for the year ended December 31, 2025 was $67.0 million, a decrease of $0.4 million, or 0.66%, compared to $67.5 million for the year ended December 31, 2024. Cash and equivalents were $126.2 million as of December 31, 2025, a decrease of $13.7 million, or 9.79%, from $139.8 million as of December 31, 2024. Securities totaled $365.2 million as of December 31, 2025, a decrease of $107.7 million, or 22.78%, from $472.9 million as of December 31, 2024 primarily due to regular principal payments, the call of four available-for-sale securities in the total amount of $8.3 million and the maturity/call of three held-to-maturity securities in the amount of $50.0 million. Net loans receivable were $2.60 billion as of December 31, 2025, an increase of $312.7 million, or 13.67%, from $2.29 billion as of December 31, 2024. Deposits were $2.05 billion as of December 31, 2025, an increase of $151.4 million, or 7.99%, from $1.90 billion as of December 31, 2024. President and Chief Executive Officer’s Comments Carlos P. Naudon, Ponce Financial Group, Inc.’s President and CEO, stated “The focused execution of our long-term strategy continues to bear fruits. We’re pleased with the increase in profitability over the last several quarters driven by incremental net interest income and controlled operating expenses. Our net interest margin grew 78bps this quarter versus the same quarter last year, and our non-interest expense remains flat for the last three consecutive years. Our capital ratios continue to be well in excess of regulatory requirements. We remain committed to the communities we serve and we’ll continue investing in our people and in technology to improve our efficiency.” Executive Chairman’s Comment Steven A. Tsavaris, Ponce Financial Group’s Executive Chairman added “We’re pleased with our levels of loan growth as we continue to make progress towards our commitments under the U.S. Treasury’s Emergency Capital Investment Program. As previously reported, we expect that our dividend yield will continue at the 0.50% level in the next dividend period starting later this year and we’re close to achieving 16 quarters of a cumulative deep impact lending percentage of more than 60%. After 14 quarters, including the quarter ended December 31, 2025, we are at 82% deep impact lending.” The table below indicate the Key Metrics at or for the three months ended: (1) Annualized. (2) Net interest margin represents net interest income divided by average total interest-earning assets. (3) Efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income. Summary of Results of Operations Net income for the three months ended December 31, 2025 was $10.1 million compared to net income of $6.5 million for the three months ended September 30, 2025 and net income of $2.9 million for the three months ended December 31, 2024. The $3.6 million increase of net income for the three months ended December 31, 2025 compared to the three months ended September 30, 2025 was attributed mainly to increases of $2.7 million in net interest income and $2.0 million in non-interest income and a decrease of $0.3 million in provision for credit losses, offset by and an increase of $1.3 million in provision for income taxes while remaining relatively flat on non-interest expense. The $7.2 million increase of net income for the three months ended December 31, 2025 compared to the three months ended December 31, 2024 was largely due to increases of $7.2 million in net interest income and $1.4 million in non-interest income and a decrease of $0.8 million in non-interest expense, offset by increases of $2.0 million in provision for income taxes and $0.2 million in provision for credit losses. Net income for the year ended December 31, 2025 was $28.7 million compared to net income of $11.0 million for the year ended December 31, 2024. The $17.7 million increase of net income for the year ended December 31, 2025 compared to the year ended December 31, 2024 was attributed mainly to increases of $23.3 million in net interest income as a result of a $22.9 million increase in total interest and dividend and a $0.4 million decrease in total interest expense, and $2.2 million in non-interest income and a decrease of $0.4 million in non-interest expense, partially offset by increases of $5.0 million in provision for income taxes, $3.2 million in provision for credit losses and $0.5 million in dividend on preferred shares. Net Interest Income and Net Interest Margin Net interest income for the three months ended December 31, 2025, increased $2.7 million, or 10.64%, to $27.9 million compared to $25.2 million for the three months ended September 30, 2025 and increased $7.2 million, or 34.75%, compared to $20.7 million for the three months ended December 31, 2024. The $2.7 million increase in net interest income from the three months ended September 30, 2025 was attributable to an increase of $2.0 million in total interest and dividend income and a decrease of $0.7 million in total interest expense. The $7.2 million increase in net interest income from the three months ended December 31, 2024 was attributable to an increase of $5.9 million in total interest and dividend income and a decrease of $1.3 million in total interest expense. Net interest income for the year ended December 31, 2025, increased $23.3 million, or 30.51%, to $99.8 million compared to $76.5 million for the year ended December 31, 2024. The $23.3 million increase in net interest income was attributable to an increase of $22.9 million in total interest and dividend income and a decrease of $0.4 million in total interest expense. Net interest margin was 3.57% for the three months ended December 31, 2025 compared to 3.30% for the prior quarter, an increase of 27bps and 2.80% for the same period last year, an increase of 77bps. Net interest margin was 3.28% for the year ended December 31, 2025 compared to 2.70% for the year ended December 31, 2024, an increase of 58bps. Non-interest Income Non-interest income for the three months ended December 31, 2025, was $3.5 million, an increase of $2.0 million, or 133.18%, compared to $1.5 million for the three months ended September 30, 2025 and an increase of $1.4 million, or 65.90%, compared to $2.1 million for the three months ended December 31, 2024. The $2.0 million increase in non-interest income from the three months ended September 30, 2025 was largely attributable to increases of $1.2 million in other non-interest income and $0.8 million in late and prepayment charges. The increase of $1.2 million in other non-interest income is largely attributable to positive valuation adjustments of the Bank's investments in Oaktree SBIC Fund, L.P. ("Oaktree") and EJF Silvergate Ventures Fund LP ("Silvergate"). The $1.4 million increase in non-interest income from the three months ended December 31, 2024 was largely attributable to increases of $0.9 million in late and prepayment charges, $0.4 million in grant income and $0.3 million in other non-interest income attributable to positive valuation adjustments for the Bank's investments in Oaktree and Silvergate, partially offset by decreases of $0.1 million in income on sale of SBA loans and $0.1 million in income on the sale of mortgage loans. Non-interest income for the year ended December 31, 2025, was $9.4 million, an increase of $2.2 million, or 30.49%, compared to $7.2 million for the year ended December 31, 2024. The $2.2 million increase in non-interest income was largely attributable to increases of $1.6 million in late and prepayment charges, $1.3 million in grant income and $0.3 million in income on sale of SBA loans, partially offset by decreases of $0.6 million in other non-interest income and $0.4 million in income on the sale of mortgage loans. Non-interest Expense Non-interest expense for the three months ended December 31, 2025 was $16.6 million, remaining flat compared to the three months ended September 30, 2025 and a decrease of $0.8 million compared to $17.5 million when compared to the three months ended December 31, 2024. The $0.8 million decrease in non-interest expense from the three months ended December 31, 2024 was mainly attributable to decreases of $0.5 million in direct loan expenses, $0.3 million in federal deposit insurance and regulatory assessment, and $0.3 million in professional fees, partially offset by an increase of $0.4 million in compensation and benefits. Non-interest expense for the year ended December 31, 2025, was $67.0 million, a decrease of $0.4 million, or 0.66%, compared to $67.5 million for the year ended December 31, 2024. The $0.4 million decrease in non-interest expense was mainly attributable to decreases of $1.7 million in direct loan expenses and $0.6 million in professional fees, $0.3 million in federal deposit insurance and regulatory assessment, and $0.3 million in office supplies, telephone and postage, partially offset by increases of $0.9 million in occupancy and equipment, $0.5 million in compensation and benefits, $0.5 million in data processing expenses and $0.2 million in other operating expense. Credit Quality: Total non-performing assets and accruing modifications to borrowers experiencing financial difficulty were $30.2 million at December 31, 2025 compared to $32.4 million at September 30, 2025 and $32.1 million at December 31, 2024. During the three months ended December 31, 2025, a credit loss provision of $1.1 million on loans was recorded, consisting of $1.5 million charged on the funded portion and $0.4 million benefit on the unfunded portion on loans. During the three months ended September 30, 2025, a credit loss provision of $1.4 million on loans was recorded, consisting of $0.9 million charged on the funded portion and $0.5 million charged on the unfunded portion on loans. During the three months ended December 31, 2024, a credit loss provision of $0.9 million on loans was recorded, consisting of $1.1 million charged on the funded portion on loans and a benefit of $0.2 million on the unfunded portion on loans. During the year ended December 31, 2025, a credit loss provision of $3.8 million on loans was recorded, consisting of $4.5 million charged on the funded portion and a benefit of $0.7 million on the unfunded portion on loans. During the year ended December 31, 2024, a credit loss provision of $0.8 million on loans was recorded, consisting of $1.5 million charged on the funded portion on loans and a benefit of $0.7 million on unfunded portion on loans. Balance Sheet Summary Total assets increased $184.0 million, or 6.05%, to $3.22 billion as of December 31, 2025 from $3.04 billion as of December 31, 2024. The increase in total assets is largely attributable to increases of $312.7 million in net loans receivable and $10.7 million in purchases of Federal Reserve Bank of New York stock, partially offset by decreases of $95.0 million in held-to-maturity securities, $13.7 million in cash and cash equivalents, $12.8 million in available-for-sale securities, $7.6 million in other assets, $7.3 million in mortgage loans held for sale, $1.5 million in right of use asset, $1.2 million in premises and equipment, net and $0.6 million in deferred tax assets. Total liabilities increased $148.0 million, or 5.84%, to $2.68 billion as of December 31, 2025 from $2.53 billion as of December 31, 2024. The increase in total liabilities was largely attributable to an increase of $151.4 million in deposits, partially offset by decreases of $2.2 million in other liabilities and $1.3 million in operating lease liabilities. Total stockholders’ equity increased $36.0 million, or 7.13%, to $541.5 million as of December 31, 2025, from $505.5 million as of December 31, 2024. The $36.0 million increase in stockholders’ equity was largely attributable to $28.7 million in net income, $4.5 million in other comprehensive income, $1.9 million impact to additional paid in capital as a result of share-based compensation, $1.9 million from release of ESOP shares and $0.1 million from exercise of stock options, offset by $1.1 million in dividends on preferred shares. About Ponce Financial Group, Inc. Ponce Financial Group, Inc. is the holding company for Ponce Bank, N.A.. Ponce Bank, N.A. is a Minority Depository Institution, a Community Development Financial Institution, and a certified Small Business Administration lender. Ponce Bank, N.A.’s business primarily consists of taking deposits from the general public and to a lesser extent alternative funding sources and investing those funds, together with funds generated from operations and borrowings, in mortgage loans, consisting of 1-4 family residences (investor-owned and owner-occupied), multifamily residences, nonresidential properties, construction and land, and, to a lesser extent, in business and consumer loans. Ponce Bank. N.A. also invests in securities, which consist of U.S. Government and federal agency securities and securities issued by government-sponsored or government-owned enterprises, as well as, mortgage-backed securities, corporate bonds and obligations, Federal Home Loan Bank stock and Federal Reserve Bank stock. Forward Looking Statements Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of 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 such differences to exist include, but are not limited to, adverse conditions in the capital and debt markets and the impact of such conditions on business activities; changes in interest rates; competitive pressures from other financial institutions; the effects of general economic conditions on a national basis or in the local markets in which Ponce Bank, N.A. operates, including changes that adversely affect borrowers’ ability to service and repay Ponce Bank, N.A.’s loans; changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, and their related impacts on the economy; changes in the value of securities in the investment portfolio; changes in loan default and charge-off rates; fluctuations in real estate values; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; changes in government regulation; changes in accounting standards and practices; the risk that intangibles recorded in the financial statements will become impaired; demand for loans in Ponce Bank, N.A.’s market area; Ponce Bank, N.A.’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that Ponce Financial Group, Inc. may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in Ponce Financial Group, Inc.’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Ponce Financial Group, Inc. disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as may be required by applicable law or regulation. Ponce Financial Group, Inc. and Subsidiaries Consolidated Statements of Financial Condition (Dollars in thousands, except for share data) Ponce Financial Group, Inc. and Subsidiaries Consolidated Statements of Operations (Dollars in thousands, except per share data) Ponce Financial Group, Inc. and Subsidiaries Consolidated Statements of Operations (Dollars in thousands, except per share data) Ponce Financial Group, Inc. and Subsidiaries Loans Receivable excluding Mortgage Loans Held for Sale Ponce Financial Group, Inc. and Subsidiaries Allowance for Credit Losses on Loans Ponce Financial Group, Inc. and Subsidiaries Deposits (1) As of June 30, 2025, March 31, 2025 and December 31, 2024, Advance payments by borrowers for taxes and insurance in the amounts of $10.9 million, $12.9 million and $10.3 million, respectively, were reclassified to Deposits. (2) There were no individual listing service deposits or brokered certificates of deposit amounting to $250,000 or more. Ponce Financial Group, Inc. and Subsidiaries Nonperforming Assets (1) Balances include both modifications to borrowers experiencing financial difficulty, in accordance with ASU 2022-02 adopted on January 1, 2023, and previously existing troubled debt restructurings. (2) Includes nonperforming mortgage loans held for sale. Ponce Financial Group, Inc. and Subsidiaries Average Balance Sheets (1) Annualized where appropriate. (2) Loans include loans and mortgage loans held for sale, at fair value. (3) Securities include available-for-sale securities and held-to-maturity securities. (4) Includes FHLBNY demand account, FHLBNY stock dividends and FRBNY demand deposits. (5) For the three months ended December 31, 2024, advance payments by borrowers for taxes and insurance in the amounts of $15.1 million, were reclassified to savings. (6) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities. (7) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities. (8) Net interest margin represents net interest income divided by average total interest-earning assets. Ponce Financial Group, Inc. and Subsidiaries Average Balance Sheets (1) Loans include loans and mortgage loans held for sale, at fair value. (2) Securities include available-for-sale securities and held-to-maturity securities. (3) Includes FHLBNY demand account, FHLBNY stock dividends and FRBNY demand deposits. (4) For the year ended December 31, 2024, advance payments by borrowers for taxes and insurance in the amounts of $14.0 million, were reclassified to savings. (5) Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities. (6) Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities. (7) Net interest margin represents net interest income divided by average total interest-earning assets. Ponce Financial Group, Inc. and Subsidiaries Other Data Contact: Sergio Vaccaro [email protected] 718-931-9000

NEW YORK, Oct. 24, 2025 (GLOBE NEWSWIRE) -- Ponce Financial Group, Inc., (the “Company”) (NASDAQ: PDLB), the holding company for Ponce Bank, N.A. (the “Bank”), today announced results for the third quarter of 2025. Third Quarter 2025 Highlights (Compared to Prior Periods): Net income available to common stockholders was $6.2 million, or $0.27 per diluted share for the three months ended September 30, 2025, as compared to net income available to common stockholders of $5.8 million, or $0.25 per diluted share for the three months ended June 30, 2025 and net income available to common stockholders of $2.2 million, or $0.10 per diluted share for the three months ended September 30, 2024. Total net income for the three months ended September 30, 2025 was $6.5 million. The Company paid dividends of $0.3 million on its preferred stock during the three months ended September 30, 2025. Included in the $6.2 million of net income available to common stockholders for the third quarter of 2025 results is $46.8 million in interest and dividend income and $1.5 million in non-interest income, offset by $21.6 million in interest expense, $16.6 million in non-interest expense, $2.3 million in provision for income taxes, $1.5 million in provision for credit losses and $0.3 million in dividends on preferred shares. Net interest income of $25.2 million for the third quarter of 2025 increased $0.8 million, or 3.37%, from the prior quarter and increased $6.2 million, or 32.72%, from the same quarter last year. Net interest margin was 3.30% for the third quarter of 2025, versus 3.27% for the prior quarter and 2.65% for the same quarter last year. Nine Months 2025 Highlights (Compared to 2024): Net income available to common stockholders was $17.7 million, or $0.77 per diluted share for the nine months ended September 30, 2025, as compared to net income available to common stockholders of $7.7 million, or $0.34 per diluted share for the nine months ended September 30, 2024. Total net income for the nine months ended September 30, 2025 was $18.6 million. The Company paid dividends of $0.8 million on its preferred stock during the nine months ended September 30, 2025. Net interest income for the nine months ended September 30, 2025 was $71.9 million, an increase of $16.1 million, or 28.93%, compared to $55.8 million for the nine months ended September 30, 2024. Non-interest income for the nine months ended September 30, 2025 was $5.9 million, an increase of $0.8 million, or 15.97%, from $5.1 million for the nine months ended September 30, 2024. Non-interest expense for the nine months ended September 30, 2025 was $50.4 million, an increase of $0.4 million, or 0.77%, compared to $50.0 million for the nine months ended September 30, 2024. Cash and equivalents were $146.6 million as of September 30, 2025, an increase of $6.7 million, or 4.82%, from $139.8 million as of December 31, 2024. Securities totaled $379.9 million as of September 30, 2025, a decrease of $93.0 million, or 19.66%, from $472.9 million as of December 31, 2024 primarily due to regular principal payments, the call of three available-for-sale securities in the total amount of $7.0 million and the maturity/call of three held-for-sale securities in the amount of $50.0 million. Net loans receivable were $2.49 billion as of September 30, 2025, an increase of $203.4 million, or 8.90%, from $2.29 billion as of December 31, 2024. Deposits were $2.06 billion as of September 30, 2025, an increase of $167.9 million, or 8.86%, from $1.90 billion as of December 31, 2024. President and Chief Executive Officer’s Comments Carlos P. Naudon, Ponce Financial Group, Inc.’s President and CEO, stated “In these uncertain times, we continue to execute on our long-term strategy of increasing margin through yield improvement and controlled cost of funds and operating expenses. We are very pleased with the results. We note our incremental profitability year-on-year and the consistency of our earnings. Our diluted earnings per share of $0.77 for the nine months ended September 30, 2025, more than doubled from the same period last year, driven by incremental net interest and non-interest income, achieved while keeping non-interest expenses almost flat. Our net interest margin this quarter increased by 3 basis points compared to the prior quarter, reflecting our decreasing funding costs. We were also busy working on the future and opened a new branch in the Inwood neighborhood of Manhattan and modernized our charter, becoming both a financial holding company and a bank holding company while Ponce Bank converted to a national bank. These developments should enhance our funding sources and level our playing fields." Executive Chairman’s Comment Steven A. Tsavaris, Ponce Financial Group’s Executive Chairman added “We continue to make progress towards our commitments under the U.S. Treasury’s Emergency Capital Investment Program. Our strong level of loan originations from April 2025 to September 2025 ensures that our dividend yield will continue at the 0.50% level in the next dividend period starting in 2026. Also, we’re mindful of our percentage of deep impact lending, as we need to be at 60% or above for 16 quarters cumulatively, as a condition to buy the preferred stock back. After 13 quarters, including the quarter ended September 30, 2025, we are at 81% deep impact lending.” The table below indicate the Key Metrics at or for the three months ended: (1) Annualized where appropriate. (2) Net interest margin represents net interest income divided by average total interest-earning assets. (3) Efficiency ratio represents noninterest expense divided by the sum of net interest income and noninterest income. Summary of Results of Operations Net income for the three months ended September 30, 2025 was $6.5 million compared to net income of $6.1 million for the three months ended June 30, 2025 and net income of $2.4 million for the three months ended September 30, 2024. The $0.4 million increase of net income for the three months ended September 30, 2025 compared to the three months ended June 30, 2025 was attributed mainly to an increase of $0.8 million in net interest income and decreases of $0.3 million in provision for credit losses and $0.3 million in non-interest expense, offset by a decrease of $0.6 million in non-interest income and an increase of $0.4 million in provision for income taxes. The $4.1 million increase of net income for the three months ended September 30, 2025 compared to the three months ended September 30, 2024 was largely due to increases of $6.2 million in net interest income and $0.3 million in non-interest income, offset by increases of $1.6 million in provision for income taxes and $0.8 million in provision for credit losses while remain flat on non-interest expense Net income for the nine months ended September 30, 2025 was $18.6 million compared to net income of $8.0 million for the nine months ended September 30, 2024. The $10.5 million increase of net income for the nine months ended September 30, 2025 compared to the nine months ended September 30, 2024 was attributed mainly to increases of $16.1 million in net interest income and $0.8 million in non-interest income, partially offset by increases of $3.1 million in provision for credit losses, $2.9 million in provision for income taxes and $0.4 million in non-interest expense. Net Interest Income and Net Interest Margin Net interest income for the three months ended September 30, 2025, increased $0.8 million, or 3.37%, to $25.2 million compared to $24.4 million for the three months ended June 30, 2025 and increased $6.2 million, or 32.72%, compared to $19.0 million for the three months ended September 30, 2024. The $0.8 million increase in net interest income from the three months ended June 30, 2025 was attributable to an increase of $1.0 million in total interest and dividend income, offset by an increase of $0.2 million in total interest expense. The $6.2 million increase in net interest income from the three months ended September 30, 2024 was attributable to an increase of $5.6 million in total interest and dividend income and a decrease of $0.7 million in total interest expense. Net interest income for the nine months ended September 30, 2025, increased $16.1 million, or 28.93%, to $71.9 million compared to $55.8 million for the nine months ended September 30, 2024. The $16.1 million increase in net interest income was attributable to an increase of $17.0 million in total interest and dividend income, offset by an increase of $0.8 million in total interest expense. Net interest margin was 3.30% for the three months ended September 30, 2025 compared to 3.27% for the prior quarter, an increase of 3bps and 2.65% for the same period last year, an increase of 65bps. Net interest margin was 3.18% for the nine months ended September 30, 2025 compared to 2.66% for the nine months ended September 30, 2024, an increase of 52bps. Non-interest Income Non-interest income for the three months ended September 30, 2025, was $1.5 million, a decrease of $0.6 million, or 27.57%, compared to $2.1 million for the three months ended June 30, 2025 and an increase of $0.3 million, or 29.63%, compared to $1.2 million for the three months ended September 30, 2024. The $0.6 million decrease in non-interest income from the three months ended June 30, 2025 was largely attributable to decreases of $0.5 million in other non-interest income attributable to the Bank's investment in Oaktree SBIC Fund, L.P. ("Oaktree") as a result of a loss from Oaktree's investment and $0.1 million in late and prepayment charges. The $0.3 million increase in non-interest income from the three months ended September 30, 2024 was largely attributable to increases of $0.4 million in grant income and $0.3 million in late and prepayment charges, partially offset by a decrease of $0.4 million in other non-interest income attributable to the Bank's investment in Oaktree as a result of a loss from Oaktree's investment. Non-interest income for the nine months ended September 30, 2025, was $5.9 million, an increase of $0.8 million, or 15.97%, compared to $5.1 million for the nine months ended September 30, 2024. The $0.8 million increase in non-interest income was largely attributable to increases of $0.9 million in grant income, $0.8 million in late and prepayment charges and $0.4 million in income on sale of SBA loans, partially offset by decreases of $1.0 million in other non-interest income attributable to the Bank's investment in Oaktree as a result of a loss from Oaktree's investment and $0.3 million in income on the sale of mortgage loans. Non-interest Expense Non-interest expense for the three months ended September 30, 2025 was $16.6 million, a decrease of $0.3 million, or 1.49%, compared to $16.9 million for the three months ended June 30, 2025 and remained flat at $16.6 million when compared to the three months ended September 30, 2024. The $0.3 million decrease in non-interest expense from the three months ended June 30, 2025 was mainly attributable to decreases of $0.3 million in federal deposit insurance and regulatory assessment, $0.2 million in other non-interest expense, partially offset by an increase of $0.2 million in compensation and benefits. Non-interest expense for the nine months ended September 30, 2025, was $50.4 million, an increase of $0.4 million, or 0.77%, compared to $50.0 million for the nine months ended September 30, 2024. The $0.4 million increase in non-interest expense was mainly attributable to increases of $0.7 million in occupancy and equipment, $0.4 million in data processing expenses and $0.4 million in other operating expense, partially offset by decreases of $1.2 million in direct loan expenses and $0.3 million in professional fees. Credit Quality: Total non-performing assets and accruing modifications to borrowers experiencing financial difficulty were $32.4 million at September 30, 2025 compared to $28.5 million at June 30, 2025 and $22.0 million at September 30, 2024. During the three months ended September 30, 2025, a credit loss provision of $1.4 million on loans was recorded, consisting of $0.9 million charged on the funded portion and $0.5 million charged on the unfunded portion on loans. During the three months ended June 30, 2025, a credit loss provision of $1.6 million on loans was recorded, consisting of $1.3 million charged on the funded portion and $0.3 million charged on the unfunded portion on loans. During the three months ended September 30, 2024, a credit loss provision of $0.5 million on loans was recorded, consisting of $0.8 million charged on the funded portion on loans and a benefit of $0.3 million on the unfunded portion on loans. During the nine months ended September 30, 2025, a credit loss provision of $2.7 million on loans was recorded, consisting of $2.9 million charged on the funded portion and a benefit of $0.2 million on the unfunded portion on loans. During the nine months ended September 30, 2024, a credit loss benefit of $0.2 million on loans was recorded, consisting of $0.4 million charged on the funded portion on loans and a benefit of $0.6 million on unfunded portion on loans. Balance Sheet Summary Total assets increased $117.1 million, or 3.85%, to $3.16 billion as of September 30, 2025 from $3.04 billion as of December 31, 2024. The increase in total assets is largely attributable to increases of $203.4 million in net loans receivable, $8.1 million in other assets, $6.7 million in cash and cash equivalents, $1.1 million in accrued interest receivable and $0.3 million in deferred tax asset, partially offset by decreases of $82.8 million in held-to-maturity securities, $10.1 million in available-for-sale securities, $4.9 million in mortgage loans held for sale, $3.2 million in Federal Home Loan Bank of New York stock, $0.8 million in right of use asset and $0.7 million in premises and equipment, net. Total liabilities increased $92.8 million, or 3.66%, to $2.63 billion as of September 30, 2025 from $2.53 billion as of December 31, 2024. The increase in total liabilities was largely attributable to increases of $164.0 million in deposits, $3.9 million in advance payments by borrowers for taxes and insurance and $0.7 million in accrued interest payable, partially offset by decreases of $75.0 million in borrowings and $0.7 million in operating lease liabilities. Total stockholders’ equity increased $24.3 million, or 4.81%, to $529.8 million as of September 30, 2025, from $505.5 million as of December 31, 2024. The $24.3 million increase in stockholders’ equity was largely attributable to $18.6 million in net income, $3.7 million in other comprehensive income, $1.4 million impact to additional paid in capital as a result of share-based compensation, $1.4 million from release of ESOP shares and $0.1 million from exercise of stock options, offset by $0.8 million in dividends on preferred shares. About Ponce Financial Group, Inc. Ponce Financial Group, Inc. is the holding company for Ponce Bank, N.A.. Ponce Bank, N.A. is a Minority Depository Institution, a Community Development Financial Institution, and a certified Small Business Administration lender. Ponce Bank, N.A.’s business primarily consists of taking deposits from the general public and to a lesser extent alternative funding sources and investing those funds, together with funds generated from operations and borrowings, in mortgage loans, consisting of 1-4 family residences (investor-owned and owner-occupied), multifamily residences, nonresidential properties, construction and land, and, to a lesser extent, in business and consumer loans. Ponce Bank. N.A. also invests in securities, which consist of U.S. Government and federal agency securities and securities issued by government-sponsored or government-owned enterprises, as well as, mortgage-backed securities, corporate bonds and obligations, Federal Home Loan Bank stock and Federal Reserve Bank stock. Forward Looking Statements Certain statements herein constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Exchange Act and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by words such as “believes,” “will,” “would,” “expects,” “project,” “may,” “could,” “developments,” “strategic,” “launching,” “opportunities,” “anticipates,” “estimates,” “intends,” “plans,” “targets” and similar expressions. These statements are based upon the current beliefs and expectations of 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 such differences to exist include, but are not limited to, adverse conditions in the capital and debt markets and the impact of such conditions on business activities; changes in interest rates; competitive pressures from other financial institutions; the effects of general economic conditions on a national basis or in the local markets in which Ponce Bank, N.A. operates, including changes that adversely affect borrowers’ ability to service and repay Ponce Bank, N.A.’s loans; changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, and their related impacts on the economy; changes in the value of securities in the investment portfolio; changes in loan default and charge-off rates; fluctuations in real estate values; the adequacy of loan loss reserves; decreases in deposit levels necessitating increased borrowing to fund loans and investments; operational risks including, but not limited to, cybersecurity, fraud and natural disasters; changes in government regulation; changes in accounting standards and practices; the risk that intangibles recorded in the financial statements will become impaired; demand for loans in Ponce Bank, N.A.’s market area; Ponce Bank, N.A.’s ability to attract and maintain deposits; risks related to the implementation of acquisitions, dispositions, and restructurings; the risk that Ponce Financial Group, Inc. may not be successful in the implementation of its business strategy; changes in assumptions used in making such forward-looking statements and the risk factors described in Ponce Financial Group, Inc.’s Annual Report on Form 10-K and Quarterly Reports on Form 10-Q as filed with the Securities and Exchange Commission (the “SEC”), which are available at the SEC’s website, www.sec.gov. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this release. Ponce Financial Group, Inc. disclaims any obligation to publicly update or revise any forward-looking statements to reflect changes in underlying assumptions or factors, new information, future events or other changes, except as may be required by applicable law or regulation. (1) As of June 30, 2025, March 31. 2025, December 31, 2024 and September 30, 2024, Advance payments by borrowers for taxes and insurance in the amounts of $10.9 million, $12.9 million, $10.3 million and $13.7 million, respectively, were reclassified to Deposits. (1) For the three months ended December 31, 2024, and September 30, 2024, benefit for contingencies in the amounts of $0.2 million and $0.3 million were reclassified from total non-interest expense to benefit for credit losses. (2) For the three months ended September 30, 2024, $0.3 million of federal deposit insurance was reclassified from other operating expenses to federal deposit insurance and regulatory assessments and $0.1 million of directors' fees were reclassified from federal deposit insurance and regulatory assessments to other operating expenses for each of the periods. Ponce Financial Group, Inc. and Subsidiaries Average Balance Sheets Contact: Sergio J. Vaccaro [email protected] 718-931-9000

Investors are often guided by the idea of discovering 'the next big thing', even if that means buying 'story stocks' without any revenue, let alone profit. Sometimes these stories can cloud the minds of investors, leading them to invest with their emotions rather than on the merit of good company fundamentals. Loss making companies can act like a sponge for capital - so investors should be cautious that they're not throwing good money after bad. If this kind of company isn't your style, you like companies that generate revenue, and even earn profits, then you may well be interested in Ponce Financial Group (NASDAQ:PDLB). While profit isn't the sole metric that should be considered when investing, it's worth recognising businesses that can consistently produce it. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. If you believe that markets are even vaguely efficient, then over the long term you'd expect a company's share price to follow its earnings per share (EPS) outcomes. So it makes sense that experienced investors pay close attention to company EPS when undertaking investment research. We can see that in the last three years Ponce Financial Group grew its EPS by 14% per year. That growth rate is fairly good, assuming the company can keep it up. Top-line growth is a great indicator that growth is sustainable, and combined with a high earnings before interest and taxation (EBIT) margin, it's a great way for a company to maintain a competitive advantage in the market. It's noted that Ponce Financial Group's revenue from operations was lower than its revenue in the last twelve months, so that could distort our analysis of its margins. Ponce Financial Group maintained stable EBIT margins over the last year, all while growing revenue 16% to US$91m. That's encouraging news for the company! In the chart below, you can see how the company has grown earnings and revenue, over time. Click on the chart to see the exact numbers. Check out our latest analysis for Ponce Financial Group While it's always good to see growing profits, you should always remember that a weak balance sheet could come back to bite. So check Ponce Financial Group's balance sheet strength, before getting too excited. It's pleasing to see company leaders with putting their money on the line, so to speak, because it increases alignment of incentives between the people running the business, and its true owners. Ponce Financial Group followers will find comfort in knowing that insiders have a significant amount of capital that aligns their best interests with the wider shareholder group. To be specific, they have US$23m worth of shares. That shows significant buy-in, and may indicate conviction in the business strategy. That amounts to 6.9% of the company, demonstrating a degree of high-level alignment with shareholders. It's good to see that insiders are invested in the company, but are remuneration levels reasonable? A brief analysis of the CEO compensation suggests they are. Our analysis has discovered that the median total compensation for the CEOs of companies like Ponce Financial Group with market caps between US$200m and US$800m is about US$2.5m. The Ponce Financial Group CEO received total compensation of just US$1.2m in the year to December 2024. That's clearly well below average, so at a glance that arrangement seems generous to shareholders and points to a modest remuneration culture. While the level of CEO compensation shouldn't be the biggest factor in how the company is viewed, modest remuneration is a positive, because it suggests that the board keeps shareholder interests in mind. Generally, arguments can be made that reasonable pay levels attest to good decision-making. One positive for Ponce Financial Group is that it is growing EPS. That's nice to see. The growth of EPS may be the eye-catching headline for Ponce Financial Group, but there's more to bring joy for shareholders. With a meaningful level of insider ownership, and reasonable CEO pay, a reasonable mind might conclude that this is one stock worth watching. Now, you could try to make up your mind on Ponce Financial Group by focusing on just these factors, or you could also consider how its price-to-earnings ratio compares to other companies in its industry. There's always the possibility of doing well buying stocks that are not growing earnings and do not have insiders buying shares. But for those who consider these important metrics, we encourage you to check out companies that do have those features. You can access a tailored list of companies which have demonstrated growth backed by significant insider holdings. Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.