Provident Financial Services, Inc. Reports Third Quarter Earnings
ISELIN, N.J., Oct. 28, 2026 (GLOBE NEWSWIRE) -- Provident Financial Services, Inc. (NYSE: PFS) (the “Company”) reported net income of $69.2 million, or $0.53 per basic and diluted share for the three months ended September 30, 2026, compared to $78.1 million, or $0.60 per basic and diluted share, for the three months ended June 30, 2026 and $71.7 million, or $0.55 per basic and diluted share, for the three months ended September 30, 2025. For the nine months ended September 30, 2026, net income totaled $226.7 million, or $1.74 per basic and diluted share, compared to $207.7 million, or $1.59 per basic and diluted share, for the nine months ended September 30, 2025. Results for the quarter were impacted by a $17.5 million one-time loss on extinguishment of debt due to the accelerated amortization of purchase accounting adjustments, core conversion related costs of $3.7 million and $465,000 of branch restructuring expenses. Excluding these expenses, core net income (1) for the three and nine months ended September 30, 2026, totaled $84.3 million, or $0.65 per basic and diluted share, and $243.5 million, or $1.87 per basic and diluted share, respectively.
Core pre-provision, net revenue ("PPNR") (2) for the three months ended September 30, 2026 was $119.5 million, or $0.92 per basic and diluted share, for the three months ended September 30, 2026, compared to $108.7 million, or $0.83 per basic and diluted share, for the three months ended September 30, 2025.
Anthony J. Labozzetta, President and Chief Executive Officer commented, “We continued our strong performance, delivering another quarter of solid financial results including record revenues. Building momentum in both our spread and fee-based businesses drove 10% year-over-year growth in our pre-provision net revenue, while core deposits grew nearly 6% annualized. During the quarter, we successfully completed our previously-announced core conversion, while also maintaining an adjusted efficiency ratio below 50%. Our robust loan pipeline and strong asset quality leave me optimistic that we will keep driving profitable organic growth going forward."
Key Points for the Third Quarter
Balance Sheet Summary
Assets:
Liabilities and Capital:
Asset Quality:
The following table sets forth accruing past due loans and non-accrual loans held for investment on the dates indicated, as well as delinquency statistics and certain asset quality ratios.
As of September 30, 2026 and December 31, 2025, the Company held foreclosed assets of $1.0 million and $2.0 million, respectively. Foreclosed assets as of September 30, 2026 was comprised of one commercial real estate property. Total non-performing assets at September 30, 2026 increased $60.7 million to $141.1 million, or 0.55% of total assets, from $80.4 million, or 0.32% of total assets at December 31, 2025.
Results of Operations
Third quarter of 2026 compared to the second quarter of 2026:
Net interest income
Provision for credit losses
Non-interest income and non-interest expense
Income tax expense
Third quarter of 2026 compared to the third quarter of 2025:
Net interest income
Provision for credit losses
Non-interest income and non-interest expense
Income tax expense
About the Company
Provident Financial Services, Inc. is the holding company for Provident Bank, a community-oriented bank offering "Commitment you can count on" since 1839. Provident Bank provides a comprehensive array of financial products and services through its network of branches throughout New Jersey, Bucks, Lehigh and Northampton counties in Pennsylvania, as well as Orange, Queens and Nassau Counties in New York. The Bank also provides fiduciary and wealth management services through its wholly owned subsidiary, Beacon Trust Company and insurance services through its wholly owned subsidiary, Provident Protection Plus, Inc.
Post Earnings Conference Call
Representatives of the Company will hold a conference call for investors on Thursday, October 29, 2026 at 10:00 a.m. Eastern Time to discuss the Company’s financial results for the quarter ended September 30, 2026. The call may be accessed by dialing 1-833-461-5787 (United States Toll Free) and 1-626-884-3620 (United States Local). Speakers will need to enter meeting ID code (178 464 522) before being met by a live operator. Internet access to the call is also available (listen only) at provident.bank by going to Investor Relations and clicking on "Webcast."
A supplemental 3rd Quarter 2026 results investor presentation is also available on our investor relations website under “Presentations.”
Forward Looking Statements
Certain statements contained herein are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements may be identified by reference to a future period or periods, or by the use of forward-looking terminology, such as “may,” “will,” “believe,” “expect,” “estimate,” "project," "intend," “anticipate,” “continue,” or similar terms or variations on those terms, or the negative of those terms. Forward-looking statements are subject to numerous risks and uncertainties, including, but not limited to, those set forth in Item 1A of the Company's Annual Report on Form 10-K, as supplemented by its Quarterly Reports on Form 10-Q, and those related to the economic environment, particularly in the market areas in which the Company operates, inflation and unemployment, competitive products and pricing, real estate values, fiscal and monetary policies of the U.S. Government, tariffs, changes in accounting policies and practices that may be adopted by the regulatory agencies and the accounting standards setters, changes in government regulations affecting financial institutions, including regulatory fees and capital requirements, changes in prevailing interest rates, potential goodwill impairment, acquisitions and the integration of acquired businesses, credit risk management, asset-liability management, the financial and securities markets and the availability of and costs associated with sources of liquidity.
The Company cautions readers not to place undue reliance on any such forward-looking statements which speak only as of the date they are made. The Company advises readers that the factors listed above could affect the Company's financial performance and could cause the Company's actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. The Company does not assume any duty, and does not undertake, to update any forward-looking statements to reflect events or circumstances after the date of this statement.
Non-GAAP Financial Measures
(1) Core net income, pre-provision, net-revenue annualized core return on average assets, annualized return on average tangible equity, tangible common equity capital ratio, tangible book value per share, annualized core non-interest expense as a percentage of average assets and the core efficiency ratio are non-GAAP financial measures. Please refer to the Notes following the Consolidated Financial Highlights which contain the reconciliation of GAAP to non-GAAP financial measures and the associated calculations.
Notes and Reconciliation of GAAP and Non-GAAP Financial Measures
(Dollars in Thousands, except share data)
The Company has presented the following non-GAAP (U.S. Generally Accepted Accounting Principles) financial measures because it believes that these measures provide useful and comparative information to assess trends in the Company’s results of operations and financial condition. Presentation of these non-GAAP financial measures is consistent with how the Company evaluates its performance internally and these non-GAAP financial measures are frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Investors should recognize that the Company’s presentation of these non-GAAP financial measures might not be comparable to similarly-titled measures of other companies. These non-GAAP financial measures should not be considered a substitute for GAAP basis measures and the Company strongly encourages a review of its condensed consolidated financial statements in their entirety.
SOURCE: Provident Financial Services, Inc.
CONTACT: Investor Relations, 1-732-590-9300
Web Site: http://www.Provident.Bank