Valley National Q1 2020 Earnings Report
Key Takeaways
Valley National Bancorp reported a net income of $87.3 million, or $0.21 per diluted common share, for the first quarter of 2020. The results reflect strong loan growth and an increase in the net interest margin. The bank dedicated resources to support customers through the CARES Act and Paycheck Protection Program, facilitating $1.6 billion in assistance.
Loans increased by $728.9 million, or 9.8% annualized, driven by commercial real estate, commercial and industrial, and residential loan growth.
Net interest income on a tax equivalent basis increased to $266.4 million, up $26.8 million from the previous quarter, due to lower funding costs and the Oritani Financial Corp. acquisition.
Net interest margin on a tax equivalent basis rose to 3.07%, an 11 basis point increase from the fourth quarter of 2019.
The provision for credit losses for loans was $33.9 million, influenced by adverse economic conditions and loan growth.
Valley National
Valley National
Valley National Revenue by Segment
Forward Guidance
The document does not contain explicit forward guidance. It expresses management's expectations about programs, products, acquisitions, relationships, opportunities, taxation, technology, market conditions, and economic expectations, including the potential effects of the COVID-19 pandemic.