Valley National Bancorp Pref Share VLYPP 6.25 06/30/25 | 8-K: FY2025 Q2 Revenue: USD 495.01 M
Revenue: As of FY2025 Q2, the actual value is USD 495.01 M.
EPS: As of FY2025 Q2, the actual value is USD 0.22.
EBIT: As of FY2025 Q2, the actual value is USD 173.09 M.
Net Income
Valley National Bancorp reported net income for the second quarter of 2025 at $133.2 million, an increase from $106.1 million in the first quarter of 2025 and $70.4 million in the second quarter of 2024.
Net Interest Income and Margin
Net interest income on a tax equivalent basis was $433.7 million for the second quarter of 2025, up from $421.4 million in the first quarter of 2025 and $403.0 million in the second quarter of 2024. The net interest margin increased to 3.01% from 2.96% in the first quarter of 2025 and 2.84% in the second quarter of 2024.
Loan Portfolio
Total loans increased by $734.3 million to $49.4 billion at June 30, 2025, driven by increases in commercial and industrial loans and automobile loans, while commercial real estate loans decreased.
Allowance and Provision for Credit Losses
The allowance for credit losses for loans was $594.0 million at June 30, 2025, representing 1.20% of total loans. The provision for credit losses for loans was $37.8 million, down from $62.7 million in the first quarter of 2025 and $82.1 million in the second quarter of 2024.
Deposits
Total deposit balances increased by $759.4 million to $50.7 billion at June 30, 2025, with non-interest bearing deposits increasing by $118.2 million.
Non-Interest Income and Expense
Non-interest income rose to $62.6 million, driven by increases in capital markets income and service charges on deposit accounts. Non-interest expense increased to $284.1 million, largely due to higher professional and legal fees and salary expenses.
Efficiency Ratio
The efficiency ratio improved to 55.20% for the second quarter of 2025 from 55.87% in the first quarter of 2025 and 59.62% in the second quarter of 2024.
Pre-Provision Net Revenue (PPNR)
2Q25 PPNR was $210.9 million, compared to $201.8 million in 1Q25 and $175.4 million in 2Q24.
Return on Average Assets
Annualized Return on Average Assets for 2Q25 was 0.86%, compared to 0.69% in 1Q25 and 0.46% in 2Q24.
Outlook / Guidance
Valley National Bancorp expects gross loan growth at the low end of a 9% - 12% range for 2025, with net interest income growth at the low end of 8% - 10%. Adjusted non-interest income is expected to grow at the midpoint of a 6% - 10% range, while adjusted non-interest expense is anticipated to grow at the low-to-mid of a 3% - 5% range. The tax rate is expected to be at the midpoint of a 23% - 25% range, assuming approximately $35 million of tax credit amortization in 2025.
