Dime Commercial Bancshares (DCOM) investor relations material

Executive summary

• Achieved record quarterly revenue of $126 million, driven by net interest margin expansion and strong business loan growth year-over-year.

• Core EPS up 23% year-over-year, with adjusted diluted EPS of $0.79.

• Completed rebrand to Dime Commercial Bank, reflecting a shift to commercial and municipal focus.

• Announced plans to resume share buybacks in Q3 2026, reflecting strong capital and improved profitability.

• Significant transformation with over 15 new deposit teams, six lending verticals, and three new branches added in recent years.

Financial highlights

• Net interest income rose to $115.2 million, up from $98.1 million in Q2 2025; net interest margin increased to 3.28% from 2.98% year-over-year.

• Core EPS for Q2 was $0.79 per share; core pre-tax, pre-provision net revenue was $64 million (173 bps of average assets).

• Business loans grew $743 million year-over-year; loan portfolio WAR increased to 5.36%.

• Total deposits grew to $12.68 billion, up $937 million year-over-year; core deposits increased $948.3 million.

• Book value per common share rose to $31.79; tangible common book value per share reached $28.21.

Outlook and guidance

• Expect modest NIM expansion in Q3 and more pronounced expansion in Q4 and 2027.

• Project CET1 ratio to operate between 11.25%-11.5% near to medium term.

• $2.5 billion in loans at 4.25% to reprice/mature over next 18 months, supporting NIM growth.

• Core cash operating expenses for the remainder of the year expected at $130-$131 million.

• Management anticipates continued loan repricing opportunities through 2027 and expects revenue growth to further improve efficiency ratios.