Eastern Bankshares (EBC) Q3 2025 earnings summary

Executive summary

• Celebrated five years as a public company, growing assets by 95% and deposits by 241% since IPO, now a $25.5 billion organization with the largest independent deposit market share in Greater Boston and Massachusetts.

• Q3 2025 net income was $106.1 million ($0.53 per diluted share), reversing a prior year loss; operating net income was $74.1 million ($0.37 per diluted share), up 44% year-over-year.

• Wealth management assets under management reached a record $9.2 billion, with the bank ranked #1 in MA by AUM.

• Announced and authorized a 5% share repurchase program (up to 11.9 million shares) and declared a $0.13 per share dividend.

• Completed the HarborOne Bancorp merger on November 1, 2025, issuing 26.9 million shares and paying $74.6 million in cash; integration and purchase accounting are ongoing.

Financial highlights

• Net interest income for Q3 2025 was $200.2 million, up 17.9% year-over-year, with a net interest margin of 3.47%.

• Operating earnings were $74.1 million, up 44% year-over-year; return on average assets was 1.66% (1.16% operating), and return on average tangible common equity was 16.4% (11.7% operating).

• Efficiency ratio improved to 58.2% (GAAP) and 52.8% (operating).

• Book value per share increased to $17.99; tangible book value per share rose to $13.14, up 5% sequentially and 10% year-to-date.

• Noninterest income for Q3 2025 was $41.3 million, up 23% year-over-year; noninterest expense was $140.4 million, including $3.2 million in merger-related costs.

Outlook and guidance

• Management expects meaningful earnings accretion from the HarborOne merger, continued focus on organic growth, and prudent risk management amid evolving interest rate and economic conditions.

• Margin expected to remain roughly flat in Q4, with deposit costs staying elevated due to competition; original margin expansion guidance for the combined institution remains valid.

• Medium-term CET1 capital target set at approximately 12%.

• No near-term plans for additional M&A; focus remains on integration and organic growth.