Dime Community (DCOM) Q1 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Mon, May 4, 2026 astatine 9:09 AM CDT 31 min read

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DATE

Tuesday, April 22, 2025 astatine 8:30 a.m. ET

CALL PARTICIPANTS

• President & Chief Executive Officer — Stuart H. Lubow

• Executive Vice President & Chief Financial Officer — Avinash Reddy

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Full Conference Call Transcript

Stuart Lubow: Good greeting and convey you, Shannon, and convey you each for joining america this greeting for our archetypal 4th net call. With maine this greeting is Avi Reddy, our CFO. In my prepared remarks, I volition interaction upon cardinal highlights for the archetypal 4th of 2025. Avi volition past supply immoderate details connected the 4th and thoughts for the remainder of the year. Core deposits were up $1.3 cardinal connected a year-over-year basis. The deposit teams hired since 2023 person grown their deposit portfolios to $1.9 billion. This has allowed america to wage down our brokered deposits to a reasonably minimal level arsenic good arsenic trim our FHLB borrowing position.

We person made important advancement successful creating a halfway deposit funded equilibrium sheet. We reduced our outgo of deposits to 2.09% successful the archetypal quarter. Our NIM has present accrued for the 4th consecutive 4th to the 2.9% range. We proceed to person respective catalysts to proceed to turn our NIM implicit the mean to long-term, including a important backmost publication indebtedness repricing opportunity. Even with the existent uncertain complaint environment, we stay precise bullish connected our continued NIM betterment implicit the mean and long-term. I volition -- Avi volition get into that successful much item successful his remarks. On the indebtedness front, we proceed to execute connected our stated program of increasing concern loans and reducing our CRE concentration.

Business loans grew implicit $60 cardinal successful the archetypal 4th and implicit $400 cardinal connected a year-over-year basis. Typically, our archetypal 4th is our slowest maturation 4th of the year. We person rebuilt our indebtedness pipeline since year-end and the pipeline presently stands astatine astir $1.1 cardinal with an mean output of 7.22%. This compares to $750 cardinal erstwhile we reported net successful January. In addition, we person made respective caller hires, who, erstwhile they find their feet, volition lend to the indebtedness maturation towards the year-end. Our halfway net powerfulness has accrued importantly implicit the past year. Core pre-tax proviso income was $46 cardinal successful the archetypal 4th of 2025 compared to $28 cardinal a twelvemonth ago.

This translated into a halfway ROA of 77 ground points for the quarter. Finally, I volition interaction connected our recruiting efforts. Disruption successful our section marketplace remains precise precocious and our recruiting pipelines proceed to beryllium strong. As outlined successful our net release, we person added galore bankers crossed the organization. Our hiring efforts this twelvemonth person been focused connected increasing some sides of the equilibrium sheet. Many of you who are acquainted with the New York City banking country are acquainted with Tom Geisel, who was a cardinal portion of the maturation and occurrence of Sterling. We expect Tom to beryllium an integral portion of our continued translation to a highly profitable commercialized bank.