Amalgamated Financial (AMAL) investor relations material

Executive summary

• Net revenue grew 9.7% year-over-year to $93.4 million, with net interest margin rising 9 basis points sequentially to 3.75%.

• Net income was $25.2 million ($0.84 per diluted share), with core net income at $24.1 million ($0.80 per share), reflecting a $9.2 million provision for a single multifamily borrower.

• Deposits increased by $229 million to $8.2 billion, and loan balances rose by $66 million to $5.0 billion, with strong growth across core segments.

• Tier 1 capital remained robust above 9.3%, supporting continued growth and resilience.

• Guidance for the year and 2026 was raised, reflecting confidence in continued revenue and earnings growth.

Financial highlights

• Net interest income increased to $80.2 million, with non-interest income up to $13.3 million, and non-interest expense at $45.9 million.

• Core efficiency ratio improved to 49.55%, and expenses were well managed, tracking to a $188 million full-year target.

• Non-performing assets increased to $99.3 million (1.08% of total assets) due to the single borrower event.

• Allowance for credit losses increased to $68.2 million (1.35% of total loans).

• Tangible book value per share rose 1.6% to $26.59, driven by net income.

Outlook and guidance

• Net interest income target raised to $333 million for 2026; core pre-tax, pre-provision earnings target raised to $183 million.

• Annual balance sheet growth target increased to 8%, with projected NII of $81–$83 million for Q2.

• Annual core ROAA revised to ~1.26%, core ROTCE on track at ~15%, and core non-interest income growth trending higher at ~4%.

• Expect modest NIM compression in Q2, followed by expansion later in the year.

• Fee income expected to remain stable at $9.8–$10 million per quarter, with growth in commercial banking and trust revenue.