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Dime Community Bancshares, Inc. Reports Strong Fourth Quarter Results with Earnings Per Share Increasing By 15% On a Linked Quarter Basis

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Record Quarterly Revenue of $124 Million Organic Growth Strategy and The Hiring of Teams is Paying D...

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Dime Community Bancshares (DCOM) achieved record quarterly revenue of $124 million and robust annual net income of $103.4 million for 2025. The bank's organic growth strategy and enhanced recruiting efforts have led to significant increases in core deposits and adjusted EPS, with strong growth anticipated from loan repricing through 2027, which could drive further gains.

Sentiment Rationale

The substantial increase in revenue, net income, and adjusted EPS demonstrates strong operational performance, comparable to past instances where positive earnings reports led to price appreciation in banking stocks.

Trading Thesis

Buy DCOM; expect continued upward momentum in share price over the next 6-12 months.

Market-Moving

  • Record revenue and growth in core deposits may drive investor confidence.
  • Strong adjusted EPS could attract institutional investors, influencing share price positively.
  • Anticipated continued growth from loan repricing will enhance profitability outlook.
  • Improved efficiency ratios hint at stronger cost management, positively impacting net income.

Key Facts

  • Dime Community Bancshares reported record revenue of $124 million.
  • Annual net income for 2025 surged to $103.4 million from $21.8 million in 2024.
  • Adjusted diluted EPS rose 88% year-over-year to $0.79 in Q4 2025.
  • Core deposits grew by $1.26 billion year-over-year, signaling strong financial health.
  • Expect continued growth from loan repricing opportunities into 2027.

Companies Mentioned

  • Dime Community Bancshares, Inc. (DCOM): Strong financial results indicate robust growth potential.

Corporate Developments

This falls under 'Corporate Developments' as Dime's financial reporting showcases significant growth and strategic management enhancements, which are crucial for investor decision-making and market positioning. The solid fundamentals and future outlook align positively with investor interests, making it a relevant development in the banking sector.

Dime Community Bancshares, Inc. Reports Strong Fourth Quarter Results

HAUPPAUGE, N.Y., Jan. 21, 2026 (GLOBE NEWSWIRE) - Dime Community Bancshares, Inc. (NASDAQ: DCOM) has reported impressive financial results for the fourth quarter and full year ending December 31, 2025. The company achieved a net income of $103.4 million, or $2.36 per diluted common share, representing a significant increase from $21.8 million, or $0.55 per diluted common share, in the previous year.

Quarterly Performance Overview

For the fourth quarter of 2025, Dime Community Bancshares (DCOM) recorded net income of $30.0 million, or $0.68 per diluted common share. This marks a rise from $25.8 million, or $0.59 per diluted common share, in the third quarter of 2025, and a notable improvement from a net loss of $22.2 million, or ($0.54) per diluted common share, in the fourth quarter of 2024.

The adjusted net income available to common stockholders (non-GAAP) for the same period was $34.5 million, with an adjusted diluted earnings per share of $0.79, up from $0.61 for the preceding quarter and $0.42 a year ago.

Key Financial Highlights

Dime Community Bancshares reported record quarterly revenue of $124 million. Key financial highlights for the fourth quarter of 2025 include:

  • Adjusted diluted EPS of $0.79 per share, a significant increase from $0.61 in Q3 2025.
  • Total deposits increased $1.16 billion year-over-year.
  • Core deposits rose by $1.26 billion compared to the previous year.
  • Business loans grew by $177.9 million on a linked quarter basis.
  • Average non-interest-bearing deposits constituted 30.5% of total deposits.
  • The net interest margin improved to 3.11%, up from 3.01% in the prior quarter.
  • Efficiency ratio decreased to 52.6%.
  • The Common Equity Tier 1 Ratio rose to 11.66%.
  • Non-performing assets declined by 27% from the previous quarter, accounting for 0.34% of total assets.

Strategic Initiatives and Future Outlook

Stuart H. Lubow, President and CEO of Dime Community Bancshares (DCOM), attributed the company’s robust performance to effective execution of its strategic plan, which encompasses growth in core deposits and business loans, alongside empirical improvements in asset quality and return metrics.

“We anticipate continued revenue growth in the years ahead due to significant loan repricing opportunities extending through 2027. Our organic growth strategy and the addition of new teams are yielding substantial benefits,” Lubow noted.

Loan Portfolio Performance

The weighted average rate (WAR) on the total loan portfolio was 5.27% at December 31, 2025. Notable loan categories and their respective WARs include:

  • Business loans: $3,240,600 at 6.32%
  • One-to-four family residential loans: $1,035,983 at 4.94%
  • Non-owner-occupied commercial real estate: $2,933,287 at 5.07%

Conclusion

As Dime Community Bancshares (DCOM) advances through its growth strategy, the outlook remains promising with robust financial health, a solid liquidity position, and proactive management of resources. Looking ahead, the company is well-positioned to leverage ongoing opportunities in the market.

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