OceanFirst Financial Corp. Announces Second Quarter Financial Results

RED BANK, N.J., July 24, 2025 (GLOBE NEWSWIRE) -- OceanFirst Financial Corp. (NASDAQ:OCFC) (the “Company”), the holding company for OceanFirst Bank N.A. (the “Bank”), announced net income available to common stockholders of $16.2 million, or $0.28 per diluted share, for the three months ended June 30, 2025, a decrease from $23.4 million, or $0.40 per diluted share, for the corresponding prior year period, and a decrease from $20.5 million, or $0.35 per diluted share, for the linked quarter. For the six months ended June 30, 2025, the Company reported net income available to common stockholders of $36.7 million, or $0.63 per diluted share, a decrease from $51.0 million, or $0.87 per diluted share, for the corresponding prior year period. Selected performance metrics are as follows (refer to “Selected Quarterly Financial Data” for additional information): For the Three Months Ended, For the Six Months Ended, Performance Ratios (Annualized):June 30,2025 March 31,2025 June 30,2024 June 30,2025 June 30,2024 Return on average assets0.49% 0.62% 0.70% 0.56% 0.76% Return on average stockholders’ equity3.86 4.85 5.61 4.36 6.13 Return on average tangible stockholders’ equity (a)5.66 7.05 8.10 6.36 8.86 Return on average tangible common equity (a)5.66 7.40 8.51 6.36 9.30 Efficiency ratio71.93 65.67 62.86 68.82 61.17 Net interest margin2.91 2.90 2.71 2.91 2.76 (a) Return on average tangible stockholders’ equity and return on average tangible common equity (“ROTCE”) are non-GAAP (“generally accepted accounting principles”) financial measures. Refer to “Explanation of Non-GAAP Financial Measures,” “Selected Quarterly Financial Data” and “Non-GAAP Reconciliation” tables for reconciliation and additional information regarding non-GAAP financial measures. Core earnings1 for the three and six months ended June 30, 2025 were $17.7 million and $38.0 million, respectively, or $0.31 and $0.66 per diluted share, a decrease from $22.7 million and $48.3 million, respectively, or $0.39 and $0.83 per diluted share, for the corresponding prior year periods, and a decrease from $20.3 million, or $0.35 per diluted share, for the linked quarter. Core earnings PTPP1 for the three and six months ended June 30, 2025 was $26.4 million and $58.8 million, or $0.46 and $1.02 per diluted share, as compared to $32.7 million and $68.9 million, respectively, or $0.56 and $1.18 per diluted share, for the corresponding prior year periods, and $32.4 million, or $0.56 per diluted share, for the linked quarter. Selected performance metrics are as follows: For the Three Months Ended, For the Six Months Ended, Core Ratios1 (Annualized):June 30,2025 March 31,2025 June 30,2024 June 30,2025 June 30,2024 Return on average assets 0.53% 0.62% 0.68% 0.58% 0.72% Return on average tangible stockholders’ equity 6.17 7.00 7.86 6.59 8.38 Return on average tangible common equity 6.17 7.34 8.26 6.59 8.81 Efficiency ratio 72.28 65.81 63.47 69.06 62.24 Diluted earnings per share$0.31 $0.35 $0.39 $0.66 $0.83 PTPP diluted earnings per share 0.46 0.56 0.56 1.02 1.18 Key developments for the recent quarter are described below: Loan Growth: Total loans increased $59.8 million, representing a 2% annualized growth rate, which included $131.7 million of commercial and industrial loan growth. The commercial loan pipeline reached a record high of $790.8 million, which increased 111% from $375.6 million in the linked quarter. Premier Banking: Launched in mid-April and is demonstrating strong progress with approximately 200 new relationships and $115.0 million in new deposits in the first few weeks of operation. Capital: The Company repurchased 1,003,550 shares during the quarter and redeemed all of its preferred stock. Book value per share decreased $0.63 to $28.64 while tangible book value per share increased $0.18 to $19.34 as compared to the linked quarter. Chairman and Chief Executive Officer, Christopher D. Maher, commented on the Company’s results, “We are pleased to present our current quarter results, which reflected loan and deposit growth, stable asset quality metrics, capital returns through share repurchases, and modest net interest income and margin expansion.” Mr. Maher added, “Looking ahead, we expect to continue to build on this momentum from our commercial banking teams with a record commercial loan pipeline and new deposit relationship opportunities.” The Company’s Board of Directors declared its 114th consecutive quarterly cash dividend on common stock. The quarterly cash dividend on common stock of $0.20 per share will be paid on August 15, 2025 to common stockholders of record on August 4, 2025. 1 Core earnings and core earnings before income taxes and provision for credit losses (“PTPP” or “Pre-Tax-Pre-Provision”), and ratios derived therefrom, are non-GAAP financial measures. For the periods presented, core earnings exclude merger related expenses, net (gain) loss on equity investments, net gain on sale of trust business, the opening provision for credit losses in connection with the acquisition of Spring Garden Capital Group, LLC (“Spring Garden”), the Federal Deposit Insurance Corporation (“FDIC”) special assessment and the income tax effect of these items, as well as loss on redemption of preferred stock (collectively referred to as “non-core” operations). PTPP excludes the aforementioned pre-tax “non-core” items along with income tax expense (benefit) and provision for credit losses (exclusive of the Spring Garden opening provision). Refer to “Explanation of Non-GAAP Financial Measures,” “Selected Quarterly Financial Data” and the “Non-GAAP Reconciliation” tables for additional information regarding non-GAAP financial measures. Results of Operations During the current quarter, the Company redeemed all of its preferred stock for an aggregate payment of $57.4 million, at a redemption price of $25.00 per share, which resulted in a net loss on redemption of $1.8 million. Additionally, the current quarter included professional fees of $1.6 million related to recruitment fees for the Company’s recent commercial banking hires and non-recurring benefits of $1.1 million in other income. Net Interest Income and Margin Three months ended June 30, 2025 vs. June 30, 2024 Net interest income increased to $87.6 million, from $82.3 million, primarily reflecting the net impact of the decreasing interest rate environment. Net interest margin increased to 2.91%, from 2.71%, which included the impact of purchase accounting accretion and prepayment fees of 0.04% for both periods. Net interest margin increased primarily due to the decrease in cost of funds outpacing the decrease in the yield on average interest-earning assets. Average interest-earning assets decreased by $138.2 million primarily due to a decrease in securities and, to a lesser extent, commercial loans, partly offset by an increase in residential loans. The average yield for interest-earning assets decreased to 5.14%, from 5.25%. The cost of average interest-bearing liabilities decreased to 2.77%, from 3.14%, primarily due to lower cost of deposits and, to a lesser extent, Federal Home Loan Bank (“FHLB”) advances. The total cost of deposits decreased 31 basis points to 2.06%, from 2.37%. Average interest-bearing liabilities decreased by $132.8 million, primarily due to decreases in other borrowings, partly offset by an increase in FHLB advances. Six months ended June 30, 2025 vs. June 30, 2024 Net interest income increased to $174.3 million, from $168.5 million, reflecting the net impact of the decreasing interest rate environment. Net interest margin increased to 2.91%, from 2.76%, which included the impact of purchase accounting accretion and prepayment fees of 0.04% for both periods. Average interest-earning assets decreased by $185.8 million, primarily driven by a decrease in securities and, to a lesser extent, loans. The average yield decreased to 5.14%, from 5.25%. The cost of average interest-bearing liabilities decreased to 2.77%, from 3.09%. The total cost of deposits decreased to 2.06%, from 2.34%. Average interest-bearing liabilities decreased by $179.6 million, primarily due to decreases in total deposits and other borrowings, partly offset by an increase in FHLB advances. Three months ended June 30, 2025 vs. March 31, 2025 Net interest income increased by $1.0 million, to $87.6 million from $86.7 million and net interest margin increased to 2.91%, from 2.90%, primarily reflecting the impact of purchase accounting and prepayment fees of 0.04% and 0.03%, respectively. Average interest-earning assets decreased by $46.5 million, primarily due to a decrease in securities. The yield on average interest-earning assets increased to 5.14%, from 5.13%. Average interest-bearing liabilities decreased by $36.1 million, primarily due to decreases in interest-bearing checking deposits and FHLB advances, partly offset by an increase in time deposits. The total cost of average interest-bearing liabilities decreased to 2.77%, from 2.78%, primarily due to lower cost of time deposits, partly offset by an increase in the cost of other borrowings. The total cost of deposits remained stable at 2.06% for both periods. Provision for Credit Losses Provision for credit losses for the three and six months ended June 30, 2025 was $3.0 million and $8.4 million, respectively, as compared to $3.1 million and $3.7 million for the corresponding prior year periods, and $5.3 million for the linked quarter. The current quarter provision was primarily driven by net loan charge-offs of $2.2 million, a net reserve build due to mix-shift into commercial and industrial loans, and an increase in unfunded credit commitments. Net loan charge-offs were $2.2 million and $2.9 million for the three and six months ended June 30, 2025, respectively, as compared to net loan charge-offs of $1.5 million and $1.8 million for the corresponding prior year periods and $636,000 for the linked quarter. The current and linked quarter includes charge-offs of $445,000 and $720,000 related to sales of non-performing residential and consumer loans of $2.2 million and $5.1 million, respectively. The current quarter includes $1.6 million of charge-offs related to two commercial relationships related to the Company’s recent acquisition. The prior year includes the impact of a $1.6 million charge-off on a single commercial real estate relationship. Non-interest Income Three months ended June 30, 2025 vs. June 30, 2024 Other income increased to $11.7 million, as compared to $11.0 million. Other income was favorably impacted by non-core operations related to net gains on equity investments of $488,000 in the current quarter, and $887,000 for the prior year quarter. Excluding non-core operations, other income increased by $1.1 million. The primary drivers were increases related to net gain on sale of loans of $757,000 and non-recurring other income of $1.1 million, partly offset by a loss on other real estate operations of $260,000. Six months ended June 30, 2025 vs. June 30, 2024 Other income decreased to $23.0 million, as compared to $23.3 million. Other income was favorably impacted by non-core operations of $693,000 related to net gains on equity investments in the current quarter. The prior year other income was favorably impacted by non-core operations of $4.0 million related to net gains on equity investments and sale of a portion of the Company’s trust business. Excluding non-core operations, other income increased by $3.0 million. The primary drivers were increases related to net gain on sale of loans of $1.3 million, commercial loan swap income of $448,000 and non-recurring other income of $1.9 million in the current period, partly offset by a loss on other real estate operations of $276,000. Three months ended June 30, 2025 vs. March 31, 2025 Other income in the linked quarter was $11.3 million and was favorably impacted by non-core operations of $205,000 related to net gains on equity investments. Excluding non-core operations, other income increased by $197,000. The primary driver was non-recurring other income of $1.1 million as noted above, partly offset by non-recurring other income of $842,000 in the prior quarter and a decrease in commercial loan swap income of $413,000. Non-interest Expense Three months ended June 30, 2025 vs. June 30, 2024 Operating expenses increased by $12.9 million to $71.5 million, as compared to $58.6 million. The primary driver was an increase in compensation and benefits of $7.1 million, mostly due to acquisitions at the end of the prior year, annual merit increases, and the additional commercial banking teams hired during the current quarter. Additional drivers were increases in professional fees of $2.2 million, primarily due to recruitment fees, other operating expenses of $1.9 million, mostly due to additional loan servicing expense, data processing expense of $790,000, partly due to acquisitions at the end of the prior year, and increased marketing spend of $366,000. Six months ended June 30, 2025 vs. June 30, 2024 Operating expenses increased to $135.8 million, as compared to $117.3 million. Operating expenses were adversely impacted by non-core operations related to FDIC special assessment in the prior year of $418,000. Excluding non-core operations, operating expenses increased by $18.9 million. The primary driver was an increase in compensation and benefits of $11.1 million, mostly due to acquisitions at the end of the prior year, annual merit increases, and the additional commercial banking team hires. Additional drivers were increases in other operating expenses of $2.9 million, mostly due to additional loan servicing expense, professional fees of $1.9 million, primarily due to the recruitment fees, data processing of $1.5 million, partly due to acquisitions at the end of the prior year, occupancy of $577,000, and marketing of $484,000. Three months ended June 30, 2025 vs. March 31, 2025 Operating expenses increased by $7.2 million to $71.5 million, as compared to $64.3 million. The primary drivers were increases in compensation and benefits of $3.5 million due to additional banking team hires, partly offset by $1.3 million of normal incentive-related adjustments in the prior quarter, and professional fees of $1.9 million primarily due to recruitment of commercial bankers noted above. Additionally, other operating expense increased by $1.4 million, partly related to higher title costs. Income Tax Expense The provision for income taxes was $5.8 million and $12.6 million for the three and six months ended June 30, 2025, as compared to $7.1 million and $17.7 million for the same prior year periods and $6.8 million for the linked quarter. The effective tax rate was 23.2% and 23.7% for the three and six months ended June 30, 2025, as compared to 22.5% and 25.0% for the same prior year periods and 24.1% for the linked quarter. The effective tax rate for the six months ended June 30, 2024 was negatively impacted by 1.6% due to a non-recurring write-off of a deferred tax asset of $1.2 million. Financial Condition June 30, 2025 vs. December 31, 2024 Total assets decreased by $93.4 million to $13.33 billion, from $13.42 billion, primarily due to decreases in total debt securities. Debt securities available-for-sale decreased by $91.9 million to $735.6 million, from $827.5 million, primarily due to principal reductions, maturities and calls. Debt securities held-to-maturity decreased by $76.9 million to $969.0 million, from $1.05 billion, primarily due to principal repayments. Total loans increased by $67.0 million to $10.19 billion, from $10.12 billion, while the loan pipeline increased by $648.1 million to $954.8 million, from $306.7 million, primarily due to an increase in commercial loans of $593.3 million. Other assets decreased by $33.4 million to $152.3 million, from $185.7 million, primarily due to a decrease in market values associated with customer interest rate swap programs. Total liabilities decreased by $34.3 million to $11.68 billion, from $11.72 billion primarily related to a funding mix-shift. Deposits increased by $166.1 million to $10.23 billion, from $10.07 billion, primarily due to an increase in time deposits. Time deposits increased to $2.30 billion, from $2.08 billion, representing 22.5% and 20.7% of total deposits, respectively. Time deposits included an increase in brokered time deposits of $448.1 million, partly offset by a decrease in retail time deposits of $229.4 million. The loan-to-deposit ratio was 99.5%, as compared to 100.5%. FHLB advances decreased by $133.9 million to $938.7 million, from $1.07 billion partly driven by a shift to slightly favorably priced brokered deposits. Other liabilities decreased by $63.6 million to $234.8 million, from $298.4 million, primarily due to a decrease in the market values of derivatives associated with customer interest rate swaps and related collateral received from counterparties. Capital levels remain strong and in excess of “well-capitalized” regulatory levels at June 30, 2025, including the Company’s estimated common equity tier one capital ratio which declined to 11.0%, driven primarily by stock repurchases and increased lending commitments. Total stockholders’ equity decreased to $1.64 billion, as compared to $1.70 billion, primarily due to the redemption of preferred stock for $55.5 million and capital returns comprised of dividends and share repurchases, partially offset by net income. Additionally, accumulated other comprehensive loss decreased by $4.4 million primarily due to increases in the fair market value of available-for-sale debt securities, net of tax. During the six months ended June 30, 2025, the Company repurchased 1,401,945 shares totaling $24.3 million representing a weighted average cost of $17.17. As of June 30, 2025, the Company had 226,284 shares available for repurchase under the authorized repurchase program. On July 16, 2025, the Company announced its Board of Directors authorized a 2025 Stock Repurchase Program to repurchase up to an additional 3.0 million shares. The Company’s tangible common equity2 decreased by $1.7 million to $1.11 billion. The Company’s stockholders’ equity to assets ratio was 12.33% at June 30, 2025, and tangible common equity to tangible assets ratio increased by 5 basis points during the year to 8.67%, primarily due to the drivers described above. Book value per common share decreased to $28.64, as compared to $29.08. Tangible book value per common share2 increased to $19.34, as compared to $18.98. 2 Tangible book value per common share and tangible common equity to tangible assets are non-GAAP financial measures and exclude the impact of intangible assets, goodwill, and preferred equity from both stockholders’ equity and total assets. Refer to “Explanation of Non-GAAP Financial Measures” and the “Non-GAAP Reconciliation” tables for additional information regarding non-GAAP financial measures. Asset Quality June 30, 2025 vs. December 31, 2024 The Company’s non-performing loans decreased to $33.5 million, from $35.5 million, and represented 0.33% and 0.35% of total loans, respectively. The allowance for loan credit losses as a percentage of total non-performing loans was 236.54%, as compared to 207.19%. The level of 30 to 89 days delinquent loans decreased to $14.7 million, from $36.6 million, primarily related to residential loans. Criticized and classified loans and other real estate owned decreased to $153.3 million, from $159.9 million. The Company’s allowance for loan credit losses was 0.78% of total loans, as compared to 0.73%. Refer to “Provision for Credit Losses” section for further discussion. The Company’s asset quality, excluding purchased with credit deterioration (“PCD”) loans, was as follows. Non-performing loans decreased to $26.7 million, from $27.6 million. The allowance for loan credit losses as a percentage of total non-performing loans was 296.75%, as compared to 266.73%. The level of 30 to 89 days delinquent loans, excluding non-performing loans, decreased to $12.2 million, from $33.6 million. Explanation of Non-GAAP Financial Measures Reported amounts are presented in accordance with GAAP. The Company’s management believes that the supplemental non-GAAP information, which consists of reported net income excluding non-core operations and in some instances excluding income taxes and provision for credit losses, and reporting equity and asset amounts excluding intangible assets, goodwill or preferred stock, all of which can vary from period to period, provides a better comparison of period-to-period operating performance. Additionally, the Company believes this information is utilized by regulators and market analysts to evaluate a company’s financial condition and, therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for financial results in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures, which may be presented by other companies. Refer to the Non-GAAP Reconciliation table at the end of this document for details on the earnings impact of these items. Conference Call As previously announced, the Company will host an earnings conference call on Friday, July 25, 2025 at 11:00 a.m. Eastern Time. The direct dial number for the call is (833) 470-1428, using the access code 170810. For those unable to participate in the conference call, a replay will be available. To access the replay, dial (866) 813-9403, from one hour after the end of the call until August 1, 2025. The conference call, as well as the replay, are also available (listen-only) by internet webcast at www.oceanfirst.com in the Investor Relations section. OceanFirst Financial Corp.’s subsidiary, OceanFirst Bank N.A., founded in 1902, is a $13.3 billion regional bank providing financial services throughout New Jersey and in the major metropolitan areas between Massachusetts and Virginia. OceanFirst Bank delivers commercial and residential financing, treasury management, trust and asset management, and deposit services and is one of the largest and oldest community-based financial institutions headquartered in New Jersey. To learn more about OceanFirst, go to www.oceanfirst.com. Forward-Looking Statements In addition to historical information, this news release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on certain assumptions and describe future plans, strategies and expectations of the Company. These forward-looking statements are generally identified by use of the words “believe”, “expect”, “intend”, “anticipate”, “estimate”, “project”, “will”, “should”, “may”, “view”, “opportunity”, “potential”, or similar expressions or expressions of confidence. The Company’s ability to predict results or the actual effect of future plans or strategies is inherently uncertain. Factors which could have a material adverse effect on the operations of the Company and its subsidiaries include, but are not limited to: changes in interest rates, inflation, general economic conditions, including potential recessionary conditions, levels of unemployment in the Company’s lending area, real estate market values in the Company’s lending area, potential goodwill impairment, natural disasters, potential increases to flood insurance premiums, the current or anticipated impact of military conflict, terrorism or other geopolitical events, the imposition of tariffs or other domestic or international governmental policies, and retaliatory responses, the level of prepayments on loans and mortgage-backed securities, legislative/regulatory changes, monetary and fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Board of Governors of the Federal Reserve System, the quality or composition of the loan or investment portfolios, demand for loan products, deposit flows, the availability of low-cost funding, changes in liquidity, including the size and composition of the Company’s deposit portfolio, and the percentage of uninsured deposits in the portfolio, changes in capital management and balance sheet strategies and the ability to successfully implement such strategies, competition, demand for financial services in the Company’s market area, changes in investor sentiment and consumer spending, borrowing and saving habits, changes in accounting principles, a failure in or breach of the Company’s operational or security systems or infrastructure, including cyberattacks, the failure to maintain current technologies, failure to retain or attract employees, the impact of pandemics on our operations and financial results and those of our customers and the Bank’s ability to successfully integrate acquired operations. These risks and uncertainties are further discussed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2024, under Item 1A - Risk Factors and elsewhere, and subsequent securities filings and should be considered in evaluating forward-looking statements and undue reliance should not be placed on such statements. The Company does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events. OceanFirst Financial Corp.CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION(dollars in thousands) June 30,2025 March 31,2025 December 31,2024 June 30,2024 (Unaudited) (Unaudited) (Unaudited) Assets Cash and due from banks$170,599 $163,721 $123,615 $181,198 Debt securities available-for-sale, at estimated fair value 735,561 746,168 827,500 721,484 Debt securities held-to-maturity, net of allowance for securities credit losses of $809 at June30, 2025, $898 at March 31, 2025, $967 at December 31, 2024 and $958 at June 30, 2024(estimated fair value of $896,090 at June 30, 2025, $926,075 at March 31, 2025, $952,917 atDecember 31, 2024 and $1,003,850 at June 30, 2024) 968,969 1,005,476 1,045,875 1,105,843 Equity investments 87,808 87,365 84,104 104,132 Restricted equity investments, at cost 106,538 102,172 108,634 92,679 Loans receivable, net of allowance for loan credit losses of $79,266 at June 30, 2025,$78,798 at March 31, 2025, $73,607 at December 31, 2024 and $68,839 at June 30, 2024 10,119,781 10,058,072 10,055,429 9,961,117 Loans held-for-sale 15,744 9,698 21,211 2,062 Interest and dividends receivable 44,032 44,843 45,914 50,976 Other real estate owned 7,680 1,917 1,811 — Premises and equipment, net 113,474 114,588 115,256 117,392 Bank owned life insurance 271,184 269,398 270,208 267,867 Assets held-for-sale — — — 28 Goodwill 523,308 523,308 523,308 506,146 Intangibles 10,834 11,740 12,680 7,859 Other assets 152,335 170,812 185,702 202,972 Total assets$13,327,847 $13,309,278 $13,421,247 $13,321,755 Liabilities and Stockholders’ Equity Deposits$10,232,442 $10,177,023 $10,066,342 $9,994,017 Federal Home Loan Bank advances 938,687 891,021 1,072,611 789,337 Securities sold under agreements to repurchase with customers 61,490 65,132 60,567 80,000 Other borrowings 198,019 197,808 197,546 424,490 Advances by borrowers for taxes and insurance 18,759 28,789 23,031 25,168 Other liabilities 234,770 240,388 298,393 332,074 Total liabilities 11,684,167 11,600,161 11,718,490 11,645,086 Stockholders’ equity: OceanFirst Financial Corp. stockholders’ equity 1,642,846 1,708,322 1,701,650 1,675,885 Non-controlling interest 834 795 1,107 784 Total stockholders’ equity 1,643,680 1,709,117 1,702,757 1,676,669 Total liabilities and stockholders’ equity$13,327,847 $13,309,278 $13,421,247 $13,321,755 OceanFirst Financial Corp.CONSOLIDATED STATEMENTS OF INCOME(in thousands, except per share amounts) For the Three Months Ended, For the Six Months Ended, June 30,2025 March 31,2025 June 30,2024 June 30,2025 June 30,2024 |---------------------- (Unaudited) ----------------------| |---------- (Unaudited) -----------| Interest income: Loans$135,478 $133,019 $136,049 $268,497 $273,170 Debt securities 15,950 17,270 19,039 33,220 38,900 Equity investments and other 3,397 3,414 4,338 6,811 8,958 Total interest income 154,825 153,703 159,426 308,528 321,028 Interest expense: Deposits 52,273 51,046 60,071 103,319 119,926 Borrowed funds 14,916 16,005 17,092 30,921 32,615 Total interest expense 67,189 67,051 77,163 134,240 152,541 Net interest income 87,636 86,652 82,263 174,288 168,487 Provision for credit losses 3,039 5,340 3,114 8,379 3,705 Net interest income after provision for credit losses 84,597 81,312 79,149 165,909 164,782 Other income (loss): Bankcard services revenue 1,619 1,463 1,571 3,082 2,987 Trust and asset management revenue 374 406 419 780 945 Fees and service charges 4,969 4,712 5,015 9,681 9,488 Net gain on sales of loans 1,177 858 420 2,035 777 Net gain on equity investments 488 205 887 693 2,810 Net loss from other real estate operations (260) (16) — (276) — Income from bank owned life insurance 1,786 1,852 1,726 3,638 3,588 Commercial loan swap income 207 620 241 827 379 Other 1,373 1,153 706 2,526 2,297 Total other income 11,733 11,253 10,985 22,986 23,271 Operating expenses: Compensation and employee benefits 40,242 36,740 33,136 76,982 65,895 Occupancy 5,454 5,497 5,175 10,951 10,374 Equipment 869 921 1,068 1,790 2,198 Marketing 1,541 1,108 1,175 2,649 2,165 Federal deposit insurance and regulatory assessments 2,898 2,983 2,685 5,881 5,820 Data processing 6,808 6,647 6,018 13,455 11,974 Check card processing 1,156 1,170 1,075 2,326 2,125 Professional fees 4,336 2,425 2,161 6,761 4,893 Amortization of intangibles 906 940 810 1,846 1,654 Other operating expenses 7,264 5,863 5,317 13,127 10,194 Total operating expenses 71,474 64,294 58,620 135,768 117,292 Income before provision for income taxes 24,856 28,271 31,514 53,127 70,761 Provision for income taxes 5,771 6,808 7,082 12,579 17,719 Net income 19,085 21,463 24,432 40,548 53,042 Net income (loss) attributable to non-controlling interest 39 (46) 59 (7) 2 Net income attributable to OceanFirst Financial Corp. 19,046 21,509 24,373 40,555 53,040 Dividends on preferred shares 1,004 1,004 1,004 2,008 2,008 Loss on redemption of preferred stock 1,842 — — 1,842 — Net income available to common stockholders$16,200 $20,505 $23,369 $36,705 $51,032 Basic earnings per share$0.28 $0.35 $0.40 $0.63 $0.87 Diluted earnings per share$0.28 $0.35 $0.40 $0.63 $0.87 Average basic shares outstanding 57,738 58,102 58,356 57,889 58,489 Average diluted shares outstanding 57,740 58,111 58,357 57,891 58,490 OceanFirst Financial Corp.SELECTED LOAN AND DEPOSIT DATA(dollars in thousands) LOANS RECEIVABLEAt June 30,2025 March 31,2025 December 31,2024 September 30,2024June 30,2024 Commercial: Commercial real estate - investor $5,068,125 $5,200,137 $5,287,683 $5,273,159 $5,324,994 Commercial and industrial: Commercial and industrial - real estate 914,406 896,647 902,219 841,930 857,710 Commercial and industrial - non-real estate 862,504 748,575 647,945 660,879 616,400 Total commercial and industrial 1,776,910 1,645,222 1,550,164 1,502,809 1,474,110 Total commercial 6,845,035 6,845,359 6,837,847 6,775,968 6,799,104 Consumer: Residential real estate 3,119,232 3,053,318 3,049,763 3,003,213 2,977,698 Home equity loans and lines and other consumer ("otherconsumer") 220,820 226,633 230,462 242,975 242,526 Total consumer 3,340,052 3,279,951 3,280,225 3,246,188 3,220,224 Total loans 10,185,087 10,125,310 10,118,072 10,022,156 10,019,328 Deferred origination costs (fees), net 13,960 11,560 10,964 10,508 10,628 Allowance for loan credit losses (79,266) (78,798) (73,607) (69,066) (68,839) Loans receivable, net $10,119,781 $10,058,072 $10,055,429 $9,963,598 $9,961,117 Mortgage loans serviced for others $288,211 $222,963 $191,279 $142,394 $104,136 At June 30, 2025Average Yield Loan pipeline (1): Commercial6.98% $790,768 $375,622 $197,491 $199,818 $166,206 Residential real estate6.51 146,921 116,121 97,385 137,978 80,330 Other consumer8.51 17,110 12,681 11,783 13,788 12,586 Total6.94% $954,799 $504,424 $306,659 $351,584 $259,122 For the Three Months Ended June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Average Yield Loan originations: Commercial (2)7.14% $425,877 $233,968 $268,613 $245,886 $56,053 Residential real estate6.37 274,314 167,162 235,370 169,273 121,388 Other consumer8.52 15,813 15,825 11,204 15,760 16,970 Total6.88% $716,004 $416,955 $515,187 $430,919 $194,411 Loans sold (3) $142,431 $104,991 $127,508 $65,296 $45,045 (1) Loan pipeline includes loans approved but not funded.(2) Excludes commercial loan pool purchases of $24.3 million and $76.1 million for the threemonths ended March 31, 2025 and December 31, 2024, respectively.(3) Excludes sale of non-performing residential and consumer loans of $2.2 million and $5.1 million for the three months ended June 30, 2025 and March 31, 2025, respectively. DEPOSITSAt June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Type of Account Non-interest-bearing$1,686,627 $1,660,738 $1,617,182 $1,638,447 $1,632,521 Interest-bearing checking 3,845,602 4,006,653 4,000,553 3,896,348 3,667,837 Money market 1,377,999 1,337,570 1,301,197 1,288,555 1,210,312 Savings 1,022,918 1,052,504 1,066,438 1,071,946 1,115,688 Time deposits (1) 2,299,296 2,119,558 2,080,972 2,220,871 2,367,659 Total deposits$10,232,442 $10,177,023 $10,066,342 $10,116,167 $9,994,017 (1) Includes brokered time deposits of $522.8 million, $370.5 million, $74.7 million, $201.0 million, and $401.6 million at June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024,and June 30, 2024, respectively. OceanFirst Financial Corp.ASSET QUALITY(dollars in thousands) ASSET QUALITY (1)June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Non-performing loans: Commercial real estate - investor$20,457 $23,595 $17,000 $12,478 $19,761 Commercial and industrial: Commercial and industrial - real estate 4,499 4,690 4,787 4,368 4,081 Commercial and industrial - non-real estate 311 22 32 122 434 Total commercial and industrial 4,810 4,712 4,819 4,490 4,515 Residential real estate 5,318 5,709 10,644 9,108 7,213 Other consumer 2,926 2,954 3,064 2,063 1,933 Total non-performing loans (1)$33,511 $36,970 $35,527 $28,139 $33,422 Other real estate owned 7,680 1,917 1,811 — — Total non-performing assets$41,191 $38,887 $37,338 $28,139 $33,422 Delinquent loans 30 to 89 days$14,740 $46,246 $36,550 $15,458 $9,655 Modifications to borrowers experiencing financial difficulty (2) Non-performing (included in total non-performing loans above)$8,129 $8,307 $3,232 $3,043 $3,210 Performing 31,986 27,592 27,631 20,652 20,529 Total modifications to borrowers experiencing financial difficulty (2)$40,115 $35,899 $30,863 $23,695 $23,739 Allowance for loan credit losses$79,266 $78,798 $73,607 $69,066 $68,839 Allowance for loan credit losses as a percent of total loans receivable (3) 0.78% 0.78% 0.73% 0.69% 0.69% Allowance for loan credit losses as a percent of total non-performing loans (3) 236.54 213.14 207.19 245.45 205.97 Non-performing loans as a percent of total loans receivable 0.33 0.37 0.35 0.28 0.33 Non-performing assets as a percent of total assets 0.31 0.29 0.28 0.21 0.25 Supplemental PCD and non-performing loans PCD loans, net of allowance for loan credit losses$20,934 $21,737 $22,006 $15,323 $16,058 Non-performing PCD loans 6,800 7,724 7,931 2,887 2,841 Delinquent PCD and non-performing loans 30 to 89 days 2,590 10,489 2,997 1,279 1,188 PCD modifications to borrowers experiencing financial difficulty (2) 20 22 23 24 26 Asset quality, excluding PCD loans Non-performing loans (1) 26,711 29,246 27,596 25,252 30,581 Non-performing assets 34,391 31,163 29,407 25,252 30,581 Delinquent loans 30 to 89 days (excludes non-performing loans) 12,150 35,757 33,553 14,179 8,467 Modifications to borrowers experiencing financial difficulty (2) 40,095 35,877 30,840 23,671 23,713 Allowance for loan credit losses as a percent of total non-performing loans (3) 296.75% 269.43% 266.73% 273.51% 225.10% Non-performing loans as a percent of total loans receivable 0.26 0.29 0.27 0.25 0.31 Non-performing assets as a percent of total assets 0.26 0.23 0.22 0.19 0.23 (1) The quarters ended June 30, 2025 and March 31, 2025 included the sale of non-performing residential and consumer loans of $2.2 million and $5.1 million, respectively, and the quarter ended September 30, 2024 included the resolution of a single commercial relationship exposure of $7.2 million.(2) Balances represent only modifications to borrowers experiencing financial difficulty, in accordance with ASU 2022-02 adopted on January 1, 2023. (3) Loans acquired from acquisitions were recorded at fair value. The net unamortized credit and PCD marks on these loans, not reflected in the allowance for loan credit losses, was $5.0 million, $5.6 million, $6.0 million, $5.7 million and $6.1 million at June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024, and June 30, 2024, respectively. NET LOAN (CHARGE-OFFS) RECOVERIESFor the Three Months Ended June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Net loan (charge-offs) recoveries: Loan charge-offs$(2,415) $(798) $(55) $(124) $(1,600) Recoveries on loans 197 162 213 212 148 Net loan (charge-offs) recoveries$(2,218) $(636) $158 $88 $(1,452) Net loan (charge-offs) recoveries to average total loans (annualized) 0.09% 0.03% NM* NM* 0.06% Net loan (charge-offs) recoveries detail: Commercial (1)$(1,666) $25 $92 $129 $(1,576) Residential real estate (2) (348) (720) (17) (6) 87 Other consumer (2) (204) 59 83 (35) 37 Net loan (charge-offs) recoveries$(2,218) $(636) $158 $88 $(1,452) (1) The three months ended June 30, 2025 and June 30, 2024 included charge-offs related to two commercial relationships of $1.6 million and a single commercial real estate relationship of $1.6 million, respectively.(2) The three months ended June 30, 2025 and March 31, 2025 included charge-offs of $445,000 and $720,000, respectively, related to the sale of non-performing residential and consumer loans.* Not meaningful as amounts are net loan recoveries. OceanFirst Financial Corp.ANALYSIS OF NET INTEREST INCOME For the Three Months Ended June 30, 2025 March 31, 2025 June 30, 2024(dollars in thousands)AverageBalance Interest AverageYield/Cost (1) AverageBalance Interest AverageYield/Cost (1) AverageBalance Interest AverageYield/Cost (1)Assets: Interest-earning assets: Interest-earning deposits and short- term investments$111,631 $1,090 3.92% $95,439 $983 4.18% $132,574 $1,770 5.37%Securities (2) 1,917,114 18,257 3.82 2,003,206 19,701 3.99 2,058,711 21,607 4.22 Loans receivable, net (3) Commercial 6,786,611 100,004 5.91 6,781,005 98,260 5.88 6,845,988 102,620 6.03 Residential real estate 3,091,227 31,861 4.12 3,065,679 31,270 4.08 2,978,749 29,072 3.90 Other consumer 225,311 3,613 6.43 228,553 3,489 6.19 246,024 4,357 7.12 Allowance for loan creditlosses, net of deferred loancosts and fees (66,364) — — (61,854) — — (58,270) — — Loans receivable, net 10,036,785 135,478 5.41 10,013,383 133,019 5.37 10,012,491 136,049 5.46 Total interest-earning assets 12,065,530 154,825 5.14 12,112,028 153,703 5.13 12,203,776 159,426 5.25 Non-interest-earning assets 1,182,543 1,199,865 1,237,442 Total assets$13,248,073 $13,311,893 $13,441,218 Liabilities and Stockholders’Equity: Interest-bearing liabilities: Interest-bearing checking$3,990,602 20,605 2.07% $4,135,952 21,433 2.10% $3,862,060 21,043 2.19%Money market 1,342,194 9,718 2.90 1,322,003 9,353 2.87 1,183,429 10,482 3.56 Savings 1,029,490 1,680 0.65 1,058,015 1,785 0.68 1,164,203 2,604 0.90 Time deposits 2,175,564 20,270 3.74 1,916,109 18,475 3.91 2,337,458 25,942 4.46 Total 8,537,850 52,273 2.46 8,432,079 51,046 2.46 8,547,150 60,071 2.83 FHLB Advances 880,746 9,933 4.52 996,293 11,359 4.62 711,801 8,746 4.94 Securities sold underagreements to repurchase 60,477 419 2.78 64,314 428 2.70 72,305 478 2.66 Other borrowings 260,655 4,564 7.02 283,150 4,218 6.04 541,266 7,868 5.85 Total borrowings 1,201,878 14,916 4.98 1,343,757 16,005 4.83 1,325,372 17,092 5.19 Total interest-bearingliabilities 9,739,728 67,189 2.77 9,775,836 67,051 2.78 9,872,522 77,163 3.14 Non-interest-bearing deposits 1,639,045 1,597,972 1,626,165 Non-interest-bearing liabilities 186,653 222,951 268,078 Total liabilities 11,565,426 11,596,759 11,766,765 Stockholders’ equity 1,682,647 1,715,134 1,674,453 Total liabilities andstockholders’ equity$13,248,073 $13,311,893 $13,441,218 Net interest income $87,636 $86,652 $82,263 Net interest rate spread (4) 2.37% 2.35% 2.11%Net interest margin (5) 2.91% 2.90% 2.71%Total cost of deposits (includingnon-interest-bearing deposits) 2.06% 2.06% 2.37% For the Six Months Ended June 30, 2025 2024 (dollars in thousands)AverageBalance Interest AverageYield/Cost (1) AverageBalance Interest AverageYield/Cost (1) Assets: Interest-earning assets: Interest-earning deposits and short-term investments$106,230 $2,073 3.94% $147,883 $3,995 5.43% Securities (2) 1,959,922 37,958 3.91 2,078,566 43,863 4.24 Loans receivable, net (3) Commercial 6,783,823 198,265 5.89 6,885,518 207,041 6.05 Residential real estate 3,078,524 63,131 4.10 2,976,608 57,668 3.87 Other consumer 226,923 7,101 6.31 247,210 8,461 6.88 Allowance for loan credit losses, net of deferredloan costs and fees (64,121) — — (58,705) — — Loans receivable, net 10,025,149 268,497 5.39 10,050,631 273,170 5.46 Total interest-earning assets 12,091,301 308,528 5.14 12,277,080 321,028 5.25 Non-interest-earning assets 1,188,506 1,221,889 Total assets$13,279,807 $13,498,969 Liabilities and Stockholders’ Equity: Interest-bearing liabilities: Interest-bearing checking$4,062,502 42,039 2.09% $3,894,013 41,838 2.16% Money market 1,332,154 19,070 2.89 1,137,716 19,653 3.47 Savings 1,043,674 3,465 0.67 1,259,960 7,066 1.13 Time deposits 2,046,927 38,745 3.82 2,375,760 51,369 4.35 Total 8,485,257 103,319 2.46 8,667,449 119,926 2.78 FHLB Advances 938,200 21,293 4.58 678,309 16,517 4.90 Securities sold under agreements to repurchase 62,385 846 2.73 70,403 889 2.54 Other borrowings 271,840 8,782 6.51 521,084 15,209 5.87 Total borrowings 1,272,425 30,921 4.90 1,269,796 32,615 5.17 Total interest-bearing liabilities 9,757,682 134,240 2.77 9,937,245 152,541 3.09 Non-interest-bearing deposits 1,618,622 1,630,374 Non-interest-bearing liabilities 204,702 257,603 Total liabilities 11,581,006 11,825,222 Stockholders’ equity 1,698,801 1,673,747 Total liabilities and stockholders’ equity$13,279,807 $13,498,969 Net interest income $174,288 $168,487 Net interest rate spread (4) 2.37% 2.16% Net interest margin (5) 2.91% 2.76% Total cost of deposits (including non-interest-bearing deposits) 2.06% 2.34% (1) Average yields and costs are annualized. (2) Amounts represent debt and equity securities, including FHLB and Federal Reserve Bank stock, and are recorded at average amortized cost, net of allowance for securities credit losses. (3) Amount is net of deferred loan costs and fees, undisbursed loan funds, discounts and premiums and allowance for loan credit losses, and includes loans held-for-sale and non-performing loans. (4) Net interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities. (5) Net interest margin represents net interest income divided by average interest-earning assets. OceanFirst Financial Corp.SELECTED QUARTERLY FINANCIAL DATA(in thousands, except per share amounts) June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024Selected Financial Condition Data: Total assets$13,327,847 $13,309,278 $13,421,247 $13,488,483 $13,321,755 Debt securities available-for-sale, at estimated fair value 735,561 746,168 827,500 911,753 721,484 Debt securities held-to-maturity, net of allowance for securities credit losses 968,969 1,005,476 1,045,875 1,075,131 1,105,843 Equity investments 87,808 87,365 84,104 95,688 104,132 Restricted equity investments, at cost 106,538 102,172 108,634 98,545 92,679 Loans receivable, net of allowance for loan credit losses 10,119,781 10,058,072 10,055,429 9,963,598 9,961,117 Deposits 10,232,442 10,177,023 10,066,342 10,116,167 9,994,017 Federal Home Loan Bank advances 938,687 891,021 1,072,611 891,860 789,337 Securities sold under agreements to repurchase from customers and other borrowings 259,509 262,940 258,113 501,090 504,490 Total stockholders’ equity 1,643,680 1,709,117 1,702,757 1,694,508 1,676,669 For the Three Months Ended, June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Selected Operating Data: Interest income$154,825 $153,703 $159,620 $161,525 $159,426 Interest expense 67,189 67,051 76,291 79,306 77,163 Net interest income 87,636 86,652 83,329 82,219 82,263 Provision for credit losses (excluding Spring Garden) 3,039 5,340 2,041 517 3,114 Spring Garden opening provision for credit losses — — 1,426 — — Net interest income after provision for credit losses 84,597 81,312 79,862 81,702 79,149 Other income (excluding equity investments and sale of trust) 11,245 11,048 12,237 11,826 10,098 Net gain (loss) on equity investments 488 205 (5) 1,420 887 Net gain on sale of trust business — — — 1,438 — Operating expenses (excluding merger related expenses) 71,474 64,294 64,739 62,067 58,620 Merger related expenses — — 110 1,669 — Income before provision for income taxes 24,856 28,271 27,245 32,650 31,514 Provision for income taxes 5,771 6,808 5,083 7,464 7,082 Net income 19,085 21,463 22,162 25,186 24,432 Net income (loss) attributable to non-controlling interest 39 (46) 253 70 59 Net income attributable to OceanFirst Financial Corp.$19,046 $21,509 $21,909 $25,116 $24,373 Net income available to common stockholders$16,200 $20,505 $20,905 $24,112 $23,369 Diluted earnings per share$0.28 $0.35 $0.36 $0.42 $0.40 Net accretion/amortization of purchase accounting adjustments included in net interest income$420 $219 $20 $741 $1,086 At or For the Three Months Ended June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Selected Financial Ratios and Other Data(1) (2): Performance Ratios (Annualized): Return on average assets (3)0.49% 0.62% 0.61% 0.71% 0.70% Return on average tangible assets (3) (4)0.51 0.65 0.64 0.74 0.73 Return on average stockholders’ equity (3)3.86 4.85 4.88 5.68 5.61 Return on average tangible stockholders’ equity (3) (4)5.66 7.05 7.12 8.16 8.10 Return on average tangible common equity (3) (4)5.66 7.40 7.47 8.57 8.51 Stockholders’ equity to total assets12.33 12.84 12.69 12.56 12.59 Tangible stockholders’ equity to tangible assets (4) 8.67 9.19 9.06 9.10 9.08 Tangible common equity to tangible assets (4) 8.67 8.76 8.62 8.68 8.64 Net interest rate spread2.37 2.35 2.11 2.06 2.11 Net interest margin2.91 2.90 2.69 2.67 2.71 Operating expenses to average assets2.16 1.96 1.90 1.89 1.75 Efficiency ratio (5)71.93 65.67 67.86 65.77 62.86 Loan-to-deposit ratio99.50 99.50 100.50 99.10 100.30 For the Six Months Ended June 30, 2025 2024 Performance Ratios (Annualized): Return on average assets (3)0.56% 0.76% Return on average tangible assets (3) (4)0.58 0.79 Return on average stockholders’ equity (3) 4.36 6.13 Return on average tangible stockholders’ equity (3) (4) 6.36 8.86 Return on average tangible common equity (3) (4) 6.36 9.30 Net interest rate spread2.37 2.16 Net interest margin2.91 2.76 Operating expenses to average assets2.06 1.75 Efficiency ratio (5)68.82 61.17 At or For the Three Months Ended June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Trust and Asset Management: Wealth assets under administration and management (“AUA/M”)$141,921 $149,106 $147,956 $152,797 $150,519 Nest Egg AUA/M 462,664 453,803 431,434 430,413 403,647 Total AUA/M 604,585 602,909 579,390 583,210 554,166 Per Share Data: Cash dividends per common share$0.20 $0.20 $0.20 $0.20 $0.20 Book value per common share at end of period 28.64 29.27 29.08 29.02 28.67 Tangible book value per common share at end of period (4) 19.34 19.16 18.98 19.28 18.93 Common shares outstanding at end of period 57,383,975 58,383,525 58,554,871 58,397,094 58,481,418 Preferred shares outstanding at end of period — 57,370 57,370 57,370 57,370 Number of full-service customer facilities: 40 39 39 39 39 Quarterly Average Balances Total securities$1,917,114 $2,003,206 $2,116,911 $2,063,633 $2,058,711 Loans receivable, net 10,036,785 10,013,383 10,018,742 9,958,794 10,012,491 Total interest-earning assets 12,065,530 12,112,028 12,331,483 12,232,672 12,203,776 Total goodwill and intangibles 534,734 535,657 534,942 513,731 514,535 Total assets 13,248,073 13,311,893 13,545,052 13,438,696 13,441,218 Time deposits 2,175,564 1,916,109 2,212,750 2,339,370 2,337,458 Total deposits (including non-interest-bearing deposits) 10,176,895 10,030,051 10,286,489 10,175,856 10,173,315 Total borrowings 1,201,878 1,343,757 1,328,016 1,333,245 1,325,372 Total interest-bearing liabilities 9,739,728 9,775,836 9,987,129 9,874,358 9,872,522 Non-interest bearing deposits 1,639,045 1,597,972 1,627,376 1,634,743 1,626,165 Stockholders' equity 1,682,647 1,715,134 1,703,326 1,689,035 1,674,453 Tangible stockholders’ equity (4) 1,147,913 1,179,477 1,168,384 1,175,304 1,159,918 Quarterly Yields and Costs Total securities 3.82% 3.99% 4.09% 4.23% 4.22% Loans receivable, net 5.41 5.37 5.38 5.46 5.46 Total interest-earning assets 5.14 5.13 5.15 5.26 5.25 Time deposits 3.74 3.91 4.34 4.58 4.46 Total cost of deposits (including non-interest-bearing deposits) 2.06 2.06 2.32 2.44 2.37 Total borrowed funds 4.98 4.83 4.91 5.07 5.19 Total interest-bearing liabilities 2.77 2.78 3.04 3.20 3.14 Net interest spread 2.37 2.35 2.11 2.06 2.11 Net interest margin 2.91 2.90 2.69 2.67 2.71 (1) With the exception of end of quarter ratios, all ratios are based on average daily balances. (2) Performance ratios for each period are presented on a GAAP basis and include non-core operations. Refer to “Non-GAAP Reconciliation.” (3) Ratios for each period are based on net income available to common stockholders. (4) Tangible stockholders’ equity and tangible assets exclude goodwill and other intangibles. Tangible common equity (also referred to as “tangible book value”) excludes goodwill, intangibles and preferred equity. Refer to “Non-GAAP Reconciliation.” (5) Efficiency ratio represents the ratio of operating expenses to the aggregate of other income and net interest income. OceanFirst Financial Corp.OTHER ITEMS(dollars in thousands, except per share amounts) NON-GAAP RECONCILIATION For the Three Months Ended June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Core Earnings: Net income available to common stockholders (GAAP)$16,200 $20,505 $20,905 $24,112 $23,369 Adjustments to exclude the impact of non-recurring and non-coreitems: Spring Garden opening provision for credit losses — — 1,426 — — Net (gain) loss on equity investments (488) (205) 5 (1,420) (887) Net gain on sale of trust business — — — (1,438) — Merger related expenses — — 110 1,669 — Income tax expense (benefit) on items 115 49 (388) 270 188 Loss on redemption of preferred stock 1,842 — — — — Core earnings (Non-GAAP)$17,669 $20,349 $22,058 $23,193 $22,670 Income tax expense$5,771 $6,808 $5,083 $7,464 $7,082 Provision for credit losses 3,039 5,340 3,467 517 3,114 Less: non-core provision for credit losses — — 1,426 — — Less: income tax expense (benefit) on non-core items 115 49 (388) 270 188 Core earnings PTPP (Non-GAAP)$26,364 $32,448 $29,570 $30,904 $32,678 Core earnings diluted earnings per share$0.31 $0.35 $0.38 $0.39 $0.39 Core earnings PTPP diluted earnings per share$0.46 $0.56 $0.51 $0.53 $0.56 Core Ratios (Annualized): Return on average assets 0.53% 0.62% 0.65% 0.69% 0.68% Return on average tangible stockholders’ equity 6.17 7.00 7.51 7.85 7.86 Return on average tangible common equity 6.17 7.34 7.89 8.24 8.26 Efficiency ratio 72.28 65.81 67.74 66.00 63.47 For the Six Months Ended June 30, 2025 2024 Core Earnings: Net income available to common stockholders (GAAP)$36,705 $51,032 Adjustments to exclude the impact of non-recurring and non-core items: Net gain on equity investments(1) (693) (2,810) Net gain on sale of trust business — (1,162) FDIC special assessment — 418 Income tax expense on items 164 830 Loss on redemption of preferred stock 1,842 — Core earnings (Non-GAAP)$38,018 $48,308 Income tax expense$12,579 $17,719 Provision for credit losses 8,379 3,705 Less: income tax expense on non-core items 164 830 Core earnings PTPP (Non-GAAP)$58,812 $68,902 Core diluted earnings per share$0.66 $0.83 Core earnings PTPP diluted earnings per share$1.02 $1.18 Core Ratios (Annualized): Return on average assets 0.58% 0.72% Return on average tangible stockholders’ equity 6.59 8.38 Return on average tangible common equity 6.59 8.81 Efficiency ratio 69.06 62.24 June 30,2025 March 31,2025 December 31,2024 September 30,2024 June 30,2024 Tangible Equity: Total stockholders' equity$1,643,680 $1,709,117 $1,702,757 $1,694,508 $1,676,669 Less: Goodwill 523,308 523,308 523,308 506,146 506,146 Intangibles 10,834 11,740 12,680 7,056 7,859 Tangible stockholders' equity 1,109,538 1,174,069 1,166,769 1,181,306 1,162,664 Less: Preferred stock — 55,527 55,527 55,527 55,527 Tangible common equity$1,109,538 $1,118,542 $1,111,242 $1,125,779 $1,107,137 Tangible Assets: Total assets$13,327,847 $13,309,278 $13,421,247 $13,488,483 $13,321,755 Less: Goodwill 523,308 523,308 523,308 506,146 506,146 Intangibles 10,834 11,740 12,680 7,056 7,859 Tangible assets$12,793,705 $12,774,230 $12,885,259 $12,975,281 $12,807,750 Tangible stockholders' equity to tangible assets 8.67% 9.19% 9.06% 9.10% 9.08% Tangible common equity to tangible assets 8.67% 8.76% 8.62% 8.68% 8.64% Company Contact: Patrick S. BarrettChief Financial OfficerOceanFirst Financial Corp.Tel: (732) 240-4500, ext. 27507Email: pbarrett@oceanfirst.com

OceanFirst Financial Corp. Announces Second Quarter Financial Results

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