Valley National Bancorp Pref Share VLYPO 5.5 09/30/22 | 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

• Net income for the second quarter of 2025 was $133.2 million, compared to $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, an increase of $12.3 million from the first quarter of 2025 and $30.7 million from the second quarter of 2024.
• The net interest margin on a tax equivalent basis increased to 3.01% in the second quarter of 2025 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, primarily due to increases in commercial and industrial (C&I) and automobile loans.

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.
• Provision for credit losses for loans was $37.8 million in the second quarter of 2025, compared to $62.7 million in the first quarter of 2025 and $82.1 million in the second quarter of 2024.

Deposits

• Total deposits increased by $759.4 million to $50.7 billion at June 30, 2025.

Non-Interest Income and Expense

• Non-interest income increased by $4.3 million to $62.6 million in the second quarter of 2025.
• Non-interest expense increased by $7.5 million to $284.1 million in the second quarter of 2025.

Efficiency Ratio

• The efficiency ratio improved to 55.20% in the second quarter of 2025 from 55.87% in the first quarter of 2025 and 59.62% in the second quarter of 2024.

Return on Average Assets

• The annualized return on average assets was 0.86% in the second quarter of 2025, up from 0.69% in the first quarter of 2025 and 0.46% in the second quarter of 2024.

Pre-Provision Net Revenue (PPNR)

• PPNR for the second quarter of 2025 was $210.9 million, showing a quarter-over-quarter increase from $201.8 million in the first quarter of 2025 and a year-over-year increase from $175.4 million in the second quarter of 2024.

Loan Loss Provision

• The loan loss provision continued to decline, aligning with expectations for further profitability normalization.

Outlook / Guidance

• The company expects continued balance sheet strength and commercial loan growth, with a focus on growing low-cost deposits to support aspirations in 2025 and beyond.
• Credit results are expected to remain stable, with a comfortable allowance coverage ratio.
• The company 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 an 8% - 10% range. Adjusted non-interest income is expected to grow within a 6% - 10% range, while the tax rate is anticipated to be between 23% - 24%.