Amalgamated Financial (AMAL) Q2 2025 earnings summary

Executive summary

• Core net income for Q2 2025 was $27.0 million ($0.88 per share), with GAAP net income at $26.0 million ($0.84 per share); results were flat sequentially and recognized among top-performing banks nationally.

• Total assets reached $8.62 billion, deposits $7.73 billion, and net loans $4.66 billion at June 30, 2025.

• Tangible book value per share increased 3.5% to $24.33, up $0.82 sequentially and 18% year-over-year.

• Deposit growth was stable, with political deposits rising to $1.2 billion and not-for-profit deposits up over $100 million.

• The company maintains a strong capital position, with CET1 ratio at 14.13% and total capital ratio at 16.43%.

Financial highlights

• Net interest income for Q2 2025 was $72.9 million, up 5.4% year-over-year, with net interest margin steady at 3.55%.

• Allowance for credit losses on loans was $59.0 million (1.25% of total loans); nonperforming assets rose to $35.2 million (0.41% of assets).

• Non-interest income was $8.0 million, with core non-interest income at $9.3 million; non-interest expense was $40.6 million.

• Political deposits increased to $1.21 billion, now 15.6% of GAAP deposits.

• Return on average assets was 1.23%; core ROAA was 1.28%; core ROATCE was 14.90%.

Outlook and guidance

• 2025 guidance maintained: core pre-tax pre-provision earnings of $159M–$163M, net interest income of $293M–$297M, and modest balance sheet growth.

• Q3 2025 net interest income expected between $74M–$76M; net interest margin to remain flat.

• Core efficiency ratio expected to rise in Q3 due to investments; outer band set at 52%.

• Effective tax rate expected to be 27.3% going forward.

• Management expects no material impact from recent tax legislation.