Loading...
•
Sep 30
OceanFirst Q3 2025 Earnings Report
OceanFirst Financial Corp. reported lower earnings due to higher operating expenses but maintained strong loan and deposit growth in Q3 2025.
Key Takeaways
OceanFirst Financial Corp. posted net income of $17.3 million ($0.30 per diluted share) for Q3 2025, down from $24.1 million in Q3 2024. Core earnings were $20.3 million ($0.36 per diluted share). The quarter reflected strong loan and deposit growth, stable net interest margin, and restructuring charges linked to residential outsourcing.
Net income was $17.3 million, down 28% year-over-year.
Core diluted EPS was $0.36 compared to $0.39 in Q3 2024.
Net interest margin improved to 2.91%, up from 2.67% a year earlier.
Total loans increased $372.9 million and deposits grew to $10.44 billion.
OceanFirst
OceanFirst
OceanFirst Revenue by Segment
OceanFirst Revenue by Geographic Location
Revenue by Segment
Loans Interest Income Revenue
CapyFin.comDebt Securities & Other Income Revenue
CapyFin.comRevenue by Geographic Location
United States Revenue
CapyFin.com Forward Guidance
OceanFirst expects continued organic loan and deposit growth supported by its commercial pipeline but anticipates short-term expense pressures from the residential outsourcing transition.
Positive Outlook
- Strong commercial loan pipeline of $710.9 million supports near-term growth.
- Net interest margin expected to remain stable.
- Annualized expense savings of approximately $14 million from outsourcing initiative beginning in 2026.
- Capital ratios remain well above regulatory requirements.
- Loan growth momentum continues across commercial and residential portfolios.
Challenges Ahead
- Short-term restructuring charges of approximately $8 million expected in Q4 2025.
- Elevated efficiency ratio driven by higher operating expenses.
- Lower net income compared to prior year period.
- Potential volatility in non-interest income due to reduced gain on loan sales.
- Slight decline in tangible equity ratios due to share repurchases and loan growth.