NIM Expansion and Average Deposit Growth. The Company reported 2Q25 GAAP EPS of $0.41 and Core EPS of $0.32, an increase of 127.8% and 77.8% YoY, respectively. The primary differences between GAAP and Core earnings were fair value adjustments on debt and the reversal of a valuation allowance upon the reclassification of loans held for sale to loans held for investment.During the quarter, the NIM expanded on both a GAAP and Core basis by 3 bps QoQ to 2.54% and 2.52%, respectively as loan repricing largely offset the impact from maturing swaps. Average loans decreased 1.0% YoY but increased 0.1% QoQ, due to maintaining pricing and quality standards. Adherence to these standards, the Bank's CRE concentration declined to 493% at June 30, 2025, compared to 522% a year ago and 511% at the prior quarter end. Average deposits increased 5.7% YoY and 0.6% QoQ. Average noninterest bearing deposits increased 6.4% YoY and 2.4% QoQ. GAAP and Core pre-provision pre-tax net revenue increased 191.1% and 134.5% YoY to their highest quarterly level since 3Q22 and 4Q22, respectively.
Credit Metrics Stable to Improving and Capital Expands QoQ. NPAs to assets were 75 bps compared to 71 bps the prior quarter. Criticized and classified loans totaled 108 bps of gross loans compared to 133 bps in the prior quarter. Net charge-offs to average loans were 15 bps in 2Q25 compared to 27 bps in 1Q25. TCE/TA1 was 8.04% at June 30, 2025, compared to 7.79% at March 31, 2025.
Key Financial Metrics2
2Q25
1Q25
4Q24
3Q24
2Q24
1H25
1H24
GAAP:
Earnings (Loss) per Share
$
0.41
$
(0.29
)
$
(1.64
)
$
0.30
$
0.18
$
0.12
$
0.30
ROAA (%)
0.64
(0.43
)
(2.17
)
0.39
0.24
0.10
0.21
ROAE (%)
8.00
(5.36
)
(29.24
)
5.30
3.19
1.22
2.69
NIM FTE3 (%)
2.54
2.51
2.39
2.10
2.05
2.52
2.06
Core:
EPS
$
0.32
$
0.23
$
0.14
$
0.26
$
0.18
$
0.55
$
0.33
ROAA (%)
0.50
0.35
0.19
0.34
0.25
0.43
0.22
ROAE (%)
6.29
4.34
2.54
4.59
3.27
5.30
2.92
Core NIM FTE (%)
2.52
2.49
2.25
2.07
2.03
2.51
2.05
Credit Quality:
NPAs/Loans & OREO (%)
0.99
0.95
0.76
0.81
0.82
0.99
0.82
ACLs/Loans (%)
0.62
0.59
0.60
0.59
0.61
0.62
0.61
ACLs/NPLs (%)
83.76
86.54
120.51
117.75
120.58
83.76
120.58
NCOs/Avg Loans (%)
0.15
0.27
0.28
0.18
(0.01
)
0.21
-
Balance Sheet:
Avg Loans ($B)
$
6.7
$
6.7
$
6.8
$
6.7
$
6.7
$
6.7
$
6.8
Avg Dep ($B)
$
7.6
$
7.6
$
7.4
$
7.5
$
7.2
$
7.6
$
7.1
Book Value/Share
$
20.91
$
20.81
$
21.53
$
22.94
$
22.89
$
20.91
$
22.89
Tangible BV/Share
$
20.89
$
20.78
$
20.97
$
22.29
$
22.24
$
20.89
$
22.24
TCE/TA (%)
8.04
7.79
7.82
7.00
7.12
8.04
7.12
Note: In certain circumstances, reclassifications have been made to prior periods to conform to the current presentation.
1 Tangible Common Equity ("TCE")/Total Assets ("TA"). 2 See "Reconciliation of GAAP Earnings (Loss) and Core Earnings", "Reconciliation of GAAP Revenue and Pre-Provision Pre-Tax Net Revenue", and "Reconciliation of GAAP Net Interest Income Net Interest Margin to Core Net Interest Income and Net Interest Margin." 3 Net Interest Margin ("NIM") Fully Taxable Equivalent ("FTE").
2Q25 Highlights
Net interest margin FTE increased 49 bps YoY and 3 bps QoQ to 2.54%; Core net interest margin FTE increased 49 bps YoY and 3 bps QoQ to 2.52%; Prepayment penalty income, net reversals and recovered interest from nonaccrual and delinquent loans, swap termination fees, net gains and losses from fair value adjustments on hedges, and purchase accounting accretion totaled 6 bps in 2Q25 compared to 3 bps in both 2Q24 and 1Q25
Average total deposits increased 5.7% YoY and 0.6% QoQ to $7.6 billion; Average noninterest bearing deposits increased 6.4% YoY and 2.4% QoQ and totaled 11.5% of total average deposits compared to 11.4% in 2Q24 and 11.3% in 1Q25; Average CDs were $2.5 billion, up 1.4% YoY, but down 4.6% QoQ
Period end net loans decreased 1.0% YoY and 0.5% QoQ to $6.7 billion; Loan closings were $159.1 million, up 26.3% YoY, but down 8.6% QoQ; Back-to-back swap loan originations were $38.7 million compared to $18.0 million in 1Q25 and generated $0.6 million and $0.3 million of noninterest income, respectively; Loan pipeline decreased 44.8% YoY and 14.4% QoQ to $181.0 million; Approximately 23% of the loan pipeline consists of back-to-back swap loans
NPAs totaled $66.1 million (75 bps of assets) in 2Q25 compared to $55.8 million (61 bps) a year ago and $64.3 million (71 bps) in the prior quarter
Provision for credit losses was $4.2 million in 2Q25 compared to $0.8 million in 2Q24 and $4.3 million in 1Q25; Net charge-offs (recoveries) were $2.5 million in 2Q25 compared to $(92,000) in 2Q24 and $4.4 million in 1Q25
Tangible Common Equity to Tangible Assets was 8.04% at June 30, 2025, compared to 7.12% at June 30, 2024, and 7.79% at March 31, 2025; Tangible book value per share was $20.89 at June 30, 2025, compared to $22.24 a year ago and $20.78 for the prior quarter
Areas of Focus
Improve Profitability
GAAP and Core NIM expanded 3 bps each QoQ to 2.54% and 2.52%, respectively
GAAP ROAA and ROAE increased 107 bps and 1,336 bps QoQ; Core ROAA and ROAE improved 15 bps and 195 bps QoQ
Tangible book value per share increased 0.5% QoQ to $20.89 at June 30, 2025
Maintain Credit Discipline
Approximately 90% of the loan portfolio is collateralized by real estate with an average loan to value of less than 35%1
Weighted average debt service coverage ratio is approximately 1.8x for multifamily and investor commercial real estate loans
Criticized and classified loans are 108 bps of gross loans compared to 113 bps a year ago and 133 bps for the prior quarter
Manhattan office buildings exposure is minimal at approximately 0.50% of gross loans
Preserve Strong Liquidity and Capital
Maintaining ample liquidity with $3.6 billion of undrawn lines and resources as of June 30, 2025
Uninsured and uncollateralized deposits were 17% of total deposits, while uninsured deposits were 35% of total deposits
Total average deposits increased by 5.7% YoY and 0.6% QoQ
Tangible Common Equity to Tangible Assets was 8.04% at June 30, 2025, up 92 bps YoY and 25 bps QoQ
1 See Reconciliation of GAAP (Loss) Earnings and Core Earnings
Net interest income increased YoY and QoQ.
Net Interest Margin FTE of 2.54% increased 49 bps YoY and 3 bps QoQ; The cost of funds increased 6 bps QoQ primarily due to swap maturities and forward starting swaps at higher rates; The yield on interest earning assets increased 8 bps QoQ
Prepayment penalty income, swap termination fees, net reversals and recoveries of interest from nonaccrual and delinquent loans, net gains and losses from fair value adjustments on hedges, and purchase accounting accretion totaled $1.2 million (6 bps to NIM) in 2Q25 compared to $0.7 million (3 bps to NIM) in 2Q24 and $0.6 million (3 bps to NIM) in 1Q25
Excluding the items in the previous bullet, the net interest margin was 2.48% in 2Q25 compared to 2.02% in 2Q24 and 2.48% in 1Q25
The provision for credit losses increased YoY but declined QoQ.
Net charge-offs (recoveries) were $2.5 million (15 bps of average loans) in 2Q25 compared to $(92,000) ((1) bp of average loans) in 2Q24 and $4.4 million (27 bps of average loans) in 1Q25
Noninterest income increased YoY and QoQ.
Back-to-back swap loan closings of $38.7 million in 2Q25 (compared to $27.4 million in 2Q24 and $18.0 million in 1Q25) generated $0.6 million of noninterest income (compared to $0.5 million in 2Q24 and $0.3 million in 1Q25)
Net gains (losses) from fair value adjustments were $1.7 million ($0.04 per share, net of tax) in 2Q25 compared to $0.1 million (less than $0.01 per share, net of tax) in 2Q24 and $(0.2) million (less than $0.01 per share, net of tax) in 1Q25
During 2Q25, the Company reclassified $29.5 million of loans held for sale to loans held of investment and reclassifying a $2.6 million mark to market adjustment in net gain (loss) on sale of loans
Absent the items in the previous two bullets and other immaterial adjustments, core noninterest income was $6.0 million in 2Q25, up 45.0% YoY and 11.3% QoQ
Noninterest expense increased YoY, but decreased QoQ.
Core noninterest expenses were $39.9 million in 2Q25, up 3.7% YoY, but down 4.9% QoQ
Seasonal compensational expense was $1.6 million both in 1Q25 and 1Q24
The Company recorded a non-recurring, non-cash goodwill impairment charge of approximately $17.6 million ($0.51 per share) in 1Q25; As a result, there is no remaining goodwill
Provision for income taxes was $4.7 million in 2Q25 compared to $1.8 million in 2Q24 and $3.9 million in 1Q25.
The effective tax rate was 25.0% in 2Q25 compared to 25.4% in 2Q24 and (65.2)% in 1Q25
The effective tax rate in 1Q25 was primarily related to the non-tax deductible goodwill impairment
Balance Sheet, Credit Quality, and Capital Highlights
2Q25
1Q25
4Q24
3Q24
2Q24
YoY Change
QoQ Change
Averages ($MM)
Loans
$
6,678
$
6,672
$
6,780
$
6,737
$
6,748
(1.0
)%
0.1
%
Total Deposits
7,607
7,561
7,450
7,464
7,196
5.7
0.6
Credit Quality ($000s)
Nonperforming Loans
$
49,247
$
46,263
$
33,318
$
34,261
$
34,540
42.6
%
6.5
%
Nonperforming Assets
66,125
64,263
51,318
54,888
55,832
18.4
2.9
Criticized and Classified Loans
72,005
89,673
72,207
68,338
76,485
(5.9
)
(19.7
)
Criticized and Classified Assets
88,883
107,673
90,207
88,965
97,777
(9.1
)
(17.5
)
Allowance for Credit Losses/Loans (%)
0.62
0.59
0.60
0.59
0.61
1
bp
3
bps
Capital
Book Value/Share
$
20.91
$
20.81
$
21.53
$
22.94
$
22.89
(8.7
)%
0.5
%
Tangible Book Value/Share
20.89
20.78
20.97
22.29
22.24
(6.1
)
0.5
Tang. Common Equity/Tang. Assets (%)
8.04
7.79
7.82
7.00
7.12
92
bps
25
bps
Leverage Ratio (%)
8.31
8.12
8.04
7.91
8.18
13
19
Average loans decreased YoY, but increased QoQ.
Period end net loans totaled $6.7 billion, down 1.0% YoY and 0.5% QoQ
Total loan closings were $159.1 million in 2Q25 compared to $126.0 million in 2Q24 and $174.1 million in 1Q25; the loan pipeline was $181.0 million at June 30, 2025, down 44.8% YoY and 14.4% QoQ
The diversified loan portfolio is approximately 90% collateralized by real estate with an average loan-to-value ratio of less than 35%
Average total deposits increased YoY and QoQ.
Average noninterest bearing deposits increased 6.4% YoY and 2.4% QoQ and comprised 11.5% of average total deposits in 2Q25 compared to 11.4% a year ago
Average CDs totaled $2.5 billion, up 1.4% YoY, but down 4.6% QoQ; approximately $391.2 million of retail CDs are due to mature at an average rate of 3.93% in 3Q25
Credit Quality: Nonperforming loans increased YoY and QoQ.
Nonperforming loans were 74 bps of loans in 2Q25 compared to 51 bps in 2Q24 and 69 bps of loans in 1Q25
Criticized and classified loans were 108 bps of gross loans at 2Q25 compared to 113 bps at 2Q24 and 133 bps at 1Q25
Capital: Book value per common share and tangible book value per common share, a non-GAAP measure, decreased 8.7% and 6.1% YoY to $20.91 and $20.89, respectively.
The Company paid a dividend of $0.22 per share in 2Q25; 807,964shares remaining subject to repurchase under the authorized stock repurchase program, which has no expiration date or maximum dollar limit
Tangible common equity to tangible assets was 8.04% at June 30, 2025, compared to 7.12% at June 30, 2024, and 7.79% at March 31, 2025
Conference Call Information
Conference Call Information:
John R. Buran, President and Chief Executive Officer, and Susan K. Cullen, Senior Executive Vice President and Chief Financial Officer and Treasurer, will host a conference call on Friday, July 25, 2025, at 11:00 AM (ET) to discuss the Company's second quarter results and strategy.
Dial-in for Live Call: 1-877-509-5836; Canada 855-669-9657
Dial-in for Replay: 1-877-344-7529; Canada 855-669-9658
Replay Access Code: 8971272
The conference call will be simultaneously webcast and archived
Third Quarter 2025 Earnings Release Date:
The Company plans to release Third Quarter 2025 financial results after the market close on October 28, 2025, followed by a conference call at 9:30 AM (ET) on October 29, 2025.
A detailed announcement will be issued prior to the third quarter's close confirming the date and the time of the release.
About Flushing Financial Corporation
Flushing Financial Corporation (Nasdaq:FFIC) is the holding company for Flushing Bank®, an FDIC insured, New York State -chartered commercial bank that operates banking offices in Queens, Brooklyn, Manhattan, and on Long Island. The Bank has been building relationships with families, business owners, and communities since 1929. Today, it offers the products, services, and conveniences associated with large commercial banks, including a full complement of deposit, loan, equipment finance, and cash management services. Rewarding customers with personalized attention and bankers that can communicate in the languages prevalent within these multicultural markets is what makes the Bank uniquely different. As an Equal Housing Lender and leader in real estate lending, the Bank's experienced lending teams create mortgage solutions for real estate owners and property managers both within and outside the New York City metropolitan area. The Bank also fosters relationships with consumers nationwide through its online banking division with the iGObanking® and BankPurely® brands.
Additional information on Flushing Bank and Flushing Financial Corporation may be obtained by visiting the Company's website at FlushingBank.com. Flushing Financial Corporation's earnings release and presentation slides will be available prior to the conference call at www.FlushingBank.com under Investor Relations.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this Press Release relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, risk factors discussed in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2024 and in other documents filed by the Company with the Securities and Exchange Commission from time to time. Forward-looking statements may be identified by terms such as "may", "will", "should", "could", "expects", "plans", "intends", "anticipates", "believes", "estimates", "predicts", "forecasts", "goals", "potential" or "continue" or similar terms or the negative of these terms. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance, or achievements. The Company has no obligation to update these forward-looking statements.
- Statistical Tables Follow -
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES FINANCIAL HIGHLIGHTS (Unaudited)
At or for the three months ended
At or for the six months ended
(Dollars in thousands, except per share data)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
Performance Ratios (1)
Return on average assets
0.64
%
(0.43
)%
(2.17
)%
0.39
%
0.24
%
0.10
%
0.21
%
Return on average equity
8.00
(5.36
)
(29.24
)
5.30
3.19
1.22
2.69
Yield on average interest-earning assets (2)
5.59
5.51
5.60
5.63
5.43
5.55
5.37
Cost of average interest-bearing liabilities
3.58
3.50
3.75
4.10
3.95
3.54
3.89
Cost of funds
3.19
3.13
3.35
3.69
3.54
3.16
3.48
Net interest rate spread during period (2)
2.01
2.01
1.85
1.53
1.48
2.01
1.48
Net interest margin (2)
2.54
2.51
2.39
2.10
2.05
2.52
2.06
Noninterest expense to average assets
1.81
2.65
2.01
1.68
1.77
2.23
1.80
Efficiency ratio (3)
67.69
72.21
79.01
77.20
82.57
69.93
84.31
Average interest-earning assets to average interest-bearing liabilities
1.17
X
1.17
X
1.17
X
1.16
X
1.17
X
1.17
X
1.17
X
Average Balances
Total loans, net
$
6,678,494
$
6,671,922
$
6,780,268
$
6,737,261
$
6,748,140
$
6,675,226
$
6,776,128
Total interest-earning assets
8,402,582
8,468,913
8,587,482
8,709,671
8,354,994
8,435,565
8,295,076
Total assets
8,918,075
9,015,880
9,071,879
9,203,884
8,830,665
8,966,707
8,769,085
Total deposits
7,607,080
7,560,956
7,449,504
7,463,783
7,195,940
7,584,144
7,138,720
Total interest-bearing liabilities
7,176,399
7,261,100
7,339,707
7,504,517
7,140,068
7,218,514
7,077,498
Stockholders' equity
709,839
731,592
673,588
672,762
667,557
720,656
668,371
Per Share Data
Book value per common share (4)
$
20.91
$
20.81
$
21.53
$
22.94
$
22.89
$
20.91
$
22.89
Tangible book value per common share (5)
$
20.89
$
20.78
$
20.97
$
22.29
$
22.24
$
20.89
$
22.24
Stockholders' Equity
Stockholders' equity
$
706,377
$
702,851
$
724,539
$
666,891
$
665,322
$
706,377
$
665,322
Tangible stockholders' equity
705,437
701,822
705,780
648,035
646,364
705,437
646,364
Consolidated Regulatory Capital Ratios
Tier 1 capital
$
740,871
$
730,950
$
731,958
$
735,984
$
733,308
$
740,871
$
733,308
Common equity Tier 1 capital
695,099
683,670
685,004
689,902
686,630
695,099
686,630
Total risk-based capital
972,517
961,704
962,272
967,242
965,819
972,517
965,819
Risk Weighted Assets
6,675,621
6,719,291
6,762,048
6,790,253
6,718,568
6,675,621
6,718,568
Tier 1 leverage capital (well capitalized = 5%)
8.31
%
8.12
%
8.04
%
7.91
%
8.18
%
8.31
%
8.18
%
Common equity Tier 1 risk-based capital (well capitalized = 6.5%)
10.41
10.17
10.13
10.16
10.22
10.41
10.22
Tier 1 risk-based capital (well capitalized = 8.0%)
11.10
10.88
10.82
10.84
10.91
11.10
10.91
Total risk-based capital (well capitalized = 10.0%)
14.57
14.31
14.23
14.24
14.38
14.57
14.38
Capital Ratios
Average equity to average assets
7.96
%
8.11
%
7.43
%
7.31
%
7.56
%
8.04
%
7.62
%
Equity to total assets
8.05
7.80
8.02
7.19
7.31
8.05
7.31
Tangible common equity to tangible assets (6)
8.04
7.79
7.82
7.00
7.12
8.04
7.12
Asset Quality
Nonaccrual loans
$
49,247
$
46,263
$
33,318
$
34,261
$
34,540
$
49,247
$
34,540
Nonperforming loans
49,247
46,263
33,318
34,261
34,540
49,247
34,540
Nonperforming assets
66,125
64,263
51,318
54,888
55,832
66,125
55,832
Net charge-offs (recoveries)
2,549
4,427
4,736
3,036
(92
)
6,976
(88
)
Asset Quality Ratios
Nonperforming loans to gross loans
0.74
%
0.69
%
0.49
%
0.50
%
0.51
%
0.74
%
0.51
%
Nonperforming assets to total assets
0.75
0.71
0.57
0.59
0.61
0.75
0.61
Allowance for credit losses to gross loans
0.62
0.59
0.60
0.59
0.61
0.62
0.61
Allowance for credit losses to nonperforming assets
62.38
62.30
78.24
73.50
74.60
62.38
74.60
Allowance for credit losses to nonperforming loans
83.76
86.54
120.51
117.75
120.58
83.76
120.58
Net charge-offs (recoveries) to average loans
0.15
0.27
0.28
0.18
(0.01
)
0.21
-
Full-service customer facilities
29
28
28
28
27
29
27
(1) Ratios are presented on an annualized basis, where appropriate. (2) Yields are calculated on the tax equivalent basis using the statutory federal income tax rate of 21% for the periods presented. (3) Efficiency ratio, a non-GAAP measure, was calculated by dividing core noninterest expense (excluding OREO expense and the net gain/loss from the sale of OREO) by the total of core net interest income and core noninterest income. (4) Calculated by dividing stockholders' equity by shares outstanding. (5) Calculated by dividing tangible stockholders' common equity, a non-GAAP measure, by shares outstanding. Tangible stockholders' common equity is stockholders' equity less intangible assets. See "Calculation of Tangible Stockholders' Common Equity to Tangible Assets". (6) See "Calculation of Tangible Stockholders' Common Equity to Tangible Assets".
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (LOSS) (Unaudited)
For the three months ended
For the six months ended
(In thousands, except per share data)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
Interest and Dividend Income
Interest and fees on loans
$
95,005
$
93,032
$
94,111
$
95,780
$
92,728
$
188,037
$
185,687
Interest and dividends on securities:
Interest
20,186
21,413
24,111
24,215
18,209
41,599
30,750
Dividends
28
28
31
33
33
56
66
Other interest income
2,183
2,063
1,787
2,565
2,260
4,246
6,226
Total interest and dividend income
117,402
116,536
120,040
122,593
113,230
233,938
222,729
Interest Expense
Deposits
59,037
57,174
59,728
66,150
60,893
116,211
118,758
Other interest expense
5,156
6,373
9,077
10,840
9,561
11,529
18,798
Total interest expense
64,193
63,547
68,805
76,990
70,454
127,740
137,556
Net Interest Income
53,209
52,989
51,235
45,603
42,776
106,198
85,173
Provision for credit losses
4,194
4,318
6,440
1,727
809
8,512
1,401
Net Interest Income After Provision for Credit Losses
49,015
48,671
44,795
43,876
41,967
97,686
83,772
Noninterest Income (Loss)
Banking services fee income
1,948
1,521
2,180
1,790
1,583
3,469
2,977
Net loss on sale of securities
-
-
(72,315
)
-
-
-
-
Net gain (loss) on sale of loans
2,757
630
(3,836
)
137
26
3,387
136
Net gain (loss) from fair value adjustments
1,656
(152
)
(1,136
)
974
57
1,504
(777
)
Federal Home Loan Bank of New York stock dividends
428
697
754
624
669
1,125
1,412
Life insurance proceeds
-
-
284
1
-
-
-
Bank owned life insurance
2,835
1,574
2,322
1,260
1,223
4,409
2,423
Other income
653
804
725
1,491
658
1,457
1,129
Total noninterest income (loss)
10,277
5,074
(71,022
)
6,277
4,216
15,351
7,300
Noninterest Expense
Salaries and employee benefits
22,648
22,896
25,346
22,216
21,723
45,544
43,836
Occupancy and equipment
4,005
4,092
3,880
3,745
3,713
8,097
7,492
Professional services
3,452
2,885
2,516
2,752
2,786
6,337
5,578
FDIC deposit insurance
1,508
1,709
2,005
1,318
1,322
3,217
2,974
Data processing
1,806
1,868
1,697
1,681
1,785
3,674
3,512
Depreciation and amortization
1,367
1,373
1,412
1,436
1,425
2,740
2,882
Other real estate owned/foreclosure expense
220
345
276
135
125
565
270
Gain on sale of other real estate owned
-
-
-
(174
)
-
-
-
Prepayment penalty on borrowings
-
-
2,572
-
-
-
-
Impairment of goodwill
-
17,636
-
-
-
17,636
-
Other operating expenses
5,350
6,872
5,926
5,587
6,168
12,222
12,395
Total noninterest expense
40,356
59,676
45,630
38,696
39,047
100,032
78,939
Income (Loss) Before Provision ( Benefit ) for Income Taxes
Common stock ($0.01 par value; 100,000,000 shares authorized)
387
387
387
341
341
Additional paid-in capital
325,162
324,290
326,671
261,274
260,585
Retained earnings
481,077
474,472
492,003
547,708
545,345
Treasury stock
(98,985
)
(98,993
)
(101,655
)
(101,633
)
(101,633
)
Accumulated other comprehensive loss, net of taxes
(1,264
)
2,695
7,133
(40,799
)
(39,316
)
Total stockholders' equity
706,377
702,851
724,539
666,891
665,322
Total liabilities and stockholders' equity
$
8,776,524
$
9,008,396
$
9,038,972
$
9,280,886
$
9,097,240
(In thousands)
Issued shares
38,678
38,678
38,678
34,088
34,088
Outstanding shares
33,777
33,777
33,659
29,069
29,069
Treasury shares
4,901
4,901
5,019
5,019
5,019
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES AVERAGE BALANCE SHEETS (Unaudited)
For the three months ended
For the six months ended
(In thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
Interest-earning Assets:
Loans held for sale
$
24,708
$
64,085
$
762
$
-
$
-
$
44,288
$
-
Mortgage loans, net
5,260,610
5,261,261
5,358,490
5,337,170
5,338,614
5,260,934
5,346,110
Commercial Business loans, net
1,417,884
1,410,661
1,421,778
1,400,091
1,409,526
1,414,292
1,430,018
Total loans, net
6,678,494
6,671,922
6,780,268
6,737,261
6,748,140
6,675,226
6,776,128
Mortgage-backed securities
863,573
895,097
919,587
984,383
691,802
879,248
577,368
Other taxable securities, net
573,730
585,219
652,755
714,161
663,975
579,443
627,089
Other tax-exempt securities
43,489
43,813
64,531
65,070
65,451
43,650
65,695
Total securities, net
1,480,792
1,524,129
1,636,873
1,763,614
1,421,228
1,502,341
1,270,152
Interest-earning deposits and federal funds sold
218,588
208,777
169,579
208,796
185,626
213,710
248,796
Total interest-earning assets
8,402,582
8,468,913
8,587,482
8,709,671
8,354,994
8,435,565
8,295,076
Other assets
515,493
546,967
484,397
494,213
475,671
531,142
474,009
Total assets
$
8,918,075
$
9,015,880
$
9,071,879
$
9,203,884
$
8,830,665
$
8,966,707
$
8,769,085
Interest-bearing Liabilities:
Deposits:
Savings accounts
$
94,884
$
98,224
$
99,669
$
102,196
$
103,335
$
96,545
$
104,774
NOW accounts
2,388,559
2,215,683
2,024,600
1,886,387
2,017,085
2,302,598
1,976,168
Money market accounts
1,665,625
1,716,358
1,686,614
1,673,499
1,714,085
1,690,851
1,719,899
Certificate of deposit accounts
2,477,716
2,596,714
2,681,742
2,884,280
2,443,047
2,536,886
2,424,665
Total due to depositors
6,626,784
6,626,979
6,492,625
6,546,362
6,277,552
6,626,880
6,225,506
Mortgagors' escrow accounts
104,761
78,655
87,120
71,965
95,532
91,780
84,677
Total interest-bearing deposits
6,731,545
6,705,634
6,579,745
6,618,327
6,373,084
6,718,660
6,310,183
Borrowings
444,854
555,466
759,962
886,190
766,984
499,854
767,315
Total interest-bearing liabilities
7,176,399
7,261,100
7,339,707
7,504,517
7,140,068
7,218,514
7,077,498
Noninterest-bearing demand deposits
875,535
855,322
869,759
845,456
822,856
865,484
828,537
Other liabilities
156,302
167,866
188,825
181,149
200,184
162,053
194,679
Total liabilities
8,208,236
8,284,288
8,398,291
8,531,122
8,163,108
8,246,051
8,100,714
Equity
709,839
731,592
673,588
672,762
667,557
720,656
668,371
Total liabilities and equity
$
8,918,075
$
9,015,880
$
9,071,879
$
9,203,884
$
8,830,665
$
8,966,707
$
8,769,085
Net interest-earning assets
$
1,226,183
$
1,207,813
$
1,247,775
$
1,205,154
$
1,214,926
$
1,217,051
$
1,217,578
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES NET INTEREST INCOME AND NET INTEREST MARGIN (Unaudited)
For the three months ended
For the six months ended
(Dollars in thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
Interest Income:
Loans held for sale
$
247
$
664
$
7
$
-
$
-
$
911
$
-
Mortgage loans, net
74,240
72,391
73,252
74,645
71,968
146,631
143,540
Commercial Business loans, net
20,518
19,977
20,852
21,135
20,760
40,495
42,147
Total loans, net
94,758
92,368
94,104
95,780
92,728
187,126
185,687
Mortgage-backed securities
11,709
12,528
13,884
12,443
7,462
24,237
11,158
Other taxable securities, net
8,143
8,553
9,887
11,431
10,408
16,696
18,912
Other tax-exempt securities
458
456
469
474
470
914
944
Total securities, net
20,310
21,537
24,240
24,348
18,340
41,847
31,014
Interest-earning deposits and federal funds sold
2,183
2,063
1,787
2,565
2,260
4,246
6,226
Total interest-earning assets
117,498
116,632
120,138
122,693
113,328
234,130
222,927
Interest Expense:
Deposits:
Savings accounts
$
98
$
110
$
113
$
122
$
115
$
208
$
237
NOW accounts
21,111
18,915
18,390
18,795
20,007
40,026
38,498
Money market accounts
15,323
15,372
15,909
17,485
17,326
30,695
34,598
Certificate of deposit accounts
22,443
22,710
25,258
29,676
23,383
45,153
45,301
Total due to depositors
58,975
57,107
59,670
66,078
60,831
116,082
118,634
Mortgagors' escrow accounts
62
67
58
72
62
129
124
Total interest-bearing deposits
59,037
57,174
59,728
66,150
60,893
116,211
118,758
Borrowings
5,156
6,373
9,077
10,840
9,561
11,529
18,798
Total interest-bearing liabilities
64,193
63,547
68,805
76,990
70,454
127,740
137,556
Net interest income- tax equivalent
$
53,305
$
53,085
$
51,333
$
45,703
$
42,874
$
106,390
$
85,371
Included in net interest income above:
Episodic items (1)
$
878
$
294
$
648
$
1,647
$
369
$
1,172
$
1,297
Net gains/(losses) from fair value adjustments on hedges included in net interest income
64
56
2,911
554
177
120
(10
)
Purchase accounting adjustments
257
252
191
155
182
509
453
Interest-earning Assets Yields:
Loans held for sale
4.00
%
4.14
%
3.67
%
-
%
-
%
4.11
%
-
%
Mortgage loans, net
5.64
5.50
5.47
5.59
5.39
5.57
5.37
Commercial Business loans, net
5.79
5.66
5.87
6.04
5.89
5.73
5.89
Total loans, net
5.68
5.54
5.55
5.69
5.50
5.61
5.48
Mortgage-backed securities
5.42
5.60
6.04
5.06
4.31
5.51
3.87
Other taxable securities, net
5.68
5.85
6.06
6.40
6.27
5.76
6.03
Other tax-exempt securities(2)
4.21
4.16
2.91
2.91
2.87
4.19
2.87
Total securities, net
5.49
5.65
5.92
5.52
5.16
5.57
4.88
Interest-earning deposits and federal funds sold
3.99
3.95
4.22
4.91
4.87
3.97
5.00
Total interest-earning assets (1)
5.59
%
5.51
%
5.60
%
5.63
%
5.43
%
5.55
%
5.37
%
Interest-bearing Liabilities Yields:
Deposits:
Savings accounts
0.41
%
0.45
%
0.45
%
0.48
%
0.45
%
0.43
%
0.45
%
NOW accounts
3.54
3.41
3.63
3.99
3.97
3.48
3.90
Money market accounts
3.68
3.58
3.77
4.18
4.04
3.63
4.02
Certificate of deposit accounts
3.62
3.50
3.77
4.12
3.83
3.56
3.74
Total due to depositors
3.56
3.45
3.68
4.04
3.88
3.50
3.81
Mortgagors' escrow accounts
0.24
0.34
0.27
0.40
0.26
0.28
0.29
Total interest-bearing deposits
3.51
3.41
3.63
4.00
3.82
3.46
3.76
Borrowings
4.64
4.59
4.78
4.89
4.99
4.61
4.90
Total interest-bearing liabilities
3.58
%
3.50
%
3.75
%
4.10
%
3.95
%
3.54
%
3.89
%
Net interest rate spread (tax equivalent) (1)
2.01
%
2.01
%
1.85
%
1.53
%
1.48
%
2.01
%
1.48
%
Net interest margin (tax equivalent) (1)
2.54
%
2.51
%
2.39
%
2.10
%
2.05
%
2.52
%
2.06
%
Ratio of interest-earning assets to interest-bearing liabilities
1.17
X
1.17
X
1.17
X
1.16
X
1.17
X
1.17
X
1.17
X
(1) Episodic items include prepayment penalty income, net reversals and recovered interest from nonaccrual and delinquent loans, and swap terminations fees. (2) Yields are calculated on the tax equivalent basis using the statutory federal income tax rate of 21% for the periods presented.
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES DEPOSIT and LOAN COMPOSITION (Unaudited)
Deposit Composition
(Dollars in thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
2Q25 vs. 1Q25 % Change
2Q25 vs. 2Q24 % Change
Noninterest bearing
$
899,602
$
863,714
$
836,545
$
860,930
$
825,327
4.2
%
9.0
%
Interest bearing:
Certificate of deposit accounts
2,452,624
2,592,026
2,650,164
2,875,486
2,435,894
(5.4
)
0.7
Savings accounts
92,699
97,624
98,964
100,279
103,296
(5.0
)
(10.3
)
Money market accounts
1,601,948
1,681,608
1,686,109
1,659,027
1,710,376
(4.7
)
(6.3
)
NOW accounts
2,174,124
2,393,482
1,854,069
2,003,301
1,774,268
(9.2
)
22.5
Total interest-bearing deposits
6,321,395
6,764,740
6,289,306
6,638,093
6,023,834
(6.6
)
4.9
Total due to depositors
7,220,997
7,628,454
7,125,851
7,499,023
6,849,161
(5.3
)
5.4
Mortgagors' escrow deposits
68,355
89,764
53,082
73,372
57,702
(23.9
)
18.5
Total deposits
$
7,289,352
$
7,718,218
$
7,178,933
$
7,572,395
$
6,906,863
(5.6
)%
5.5
%
Loan Composition
(Dollars in thousands)
June 30,
2025
March 31,
2025
December 31,
2024
September 30,
2024
June 30,
2024
2Q25 vs. 1Q25 % Change
2Q25 vs. 2Q24 % Change
Multifamily residential
$
2,487,610
$
2,531,628
$
2,527,222
$
2,638,863
$
2,631,751
(1.7
)%
(5.5
)%
Commercial real estate
1,987,523
1,953,710
1,973,124
1,929,093
1,894,509
1.7
4.9
One-to-four family - mixed use property
493,846
501,562
511,222
515,511
518,510
(1.5
)
(4.8
)
One-to-four family - residential
258,608
269,492
244,282
252,293
261,716
(4.0
)
(1.2
)
Construction
46,798
63,474
60,399
63,674
65,161
(26.3
)
(28.2
)
Mortgage loans
5,274,385
5,319,866
5,316,249
5,399,434
5,371,647
(0.9
)
(1.8
)
Small Business Administration
15,473
14,713
19,925
19,368
13,957
5.2
10.9
Commercial business and other
1,407,792
1,396,597
1,401,602
1,387,965
1,389,711
0.8
1.3
Commercial Business loans
1,423,265
1,411,310
1,421,527
1,407,333
1,403,668
0.8
1.4
Gross loans
6,697,650
6,731,176
6,737,776
6,806,767
6,775,315
(0.5
)
(1.1
)
Net unamortized (premiums) and unearned loan (cost) fees (1)
11,951
10,659
8,072
11,561
1,711
12.1
598.5
Allowance for credit losses
(41,247
)
(40,037
)
(40,152
)
(40,342
)
(41,648
)
3.0
(1.0
)
Net loans
$
6,668,354
$
6,701,798
$
6,705,696
$
6,777,986
$
6,735,378
(0.5
)%
(1.0
)%
(1) Includes $2.3 million, $2.6 million, $2.8 million, $3.1 million, and $3.4 million of purchase accounting unamortized discount resulting from the acquisition of Empire Bancorp at June 30, 2025, March 31, 2025, December 31, 2024, September 30, 2024, and June 30, 2024, respectively.
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES LOAN CLOSINGS and RATES (Unaudited)
Loan Closings
For the three months ended
For the six months ended
(In thousands)
June 30,
2025
March 31,
2025
December 31,
2024
September 30,
2024
June 30,
2024
June 30, 2025
June 30,
2024
Multifamily residential
$
8,546
$
21,183
$
25,232
$
50,528
$
27,966
$
29,729
$
39,771
Commercial real estate
57,533
22,916
75,285
56,713
20,573
80,449
30,613
One-to-four family - mixed use property
3,039
1,842
6,622
5,709
3,980
4,881
4,730
One-to-four family - residential
411
35,206
739
1,705
689
35,617
53,228
Construction
2,469
3,275
9,338
5,063
4,594
5,744
6,489
Mortgage loans
71,998
84,422
117,216
119,718
57,802
156,420
134,831
Small Business Administration
2,457
1,250
1,368
5,930
-
3,707
-
Commercial business and other
84,721
88,404
106,580
91,447
68,162
173,125
121,117
Commercial Business loans
87,178
89,654
107,948
97,377
68,162
176,832
121,117
Total Closings
$
159,176
$
174,076
$
225,164
$
217,095
$
125,964
$
333,252
$
255,948
Weighted Average Rate on Loan Closings
For the three months ended
Loan type
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
Mortgage loans
6.87
%
6.68
%
7.12
%
7.31
%
7.58
%
Commercial Business loans
7.25
7.28
7.45
7.75
7.94
Total loans
7.08
%
6.99
%
7.28
%
7.51
%
7.77
%
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES ASSET QUALITY (Unaudited)
Allowance for Credit Losses
For the three months ended
For the six months ended
(Dollars in thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
Allowance for credit losses - loans
Beginning balances
$
40,037
$
40,152
$
40,342
$
41,648
$
40,752
$
40,152
$
40,161
Net loan charge-off (recoveries):
Multifamily residential
1,677
4
(1
)
-
(1
)
1,681
(1
)
Commercial real estate
72
-
421
-
-
72
-
One-to-four family - mixed-use property
-
-
-
-
(2
)
-
(2
)
One-to-four family - residential
-
-
(41
)
(58
)
(2
)
-
11
Small Business Administration
(4
)
(40
)
(4
)
(1
)
(91
)
(44
)
(96
)
Commercial business and other
804
4,463
4,361
3,095
4
5,267
-
Total net loan charge-offs (recoveries)
2,549
4,427
4,736
3,036
(92
)
6,976
(88
)
Provision (benefit) for loan losses
3,759
4,312
4,546
1,730
804
8,071
1,399
Ending balance
$
41,247
$
40,037
$
40,152
$
40,342
$
41,648
$
41,247
$
41,648
Gross charge-offs
$
2,857
$
4,471
$
4,790
$
3,110
$
11
$
7,328
$
69
Gross recoveries
308
44
54
74
103
352
157
Allowance for credit losses - loans to gross loans
0.62
%
0.59
%
0.60
%
0.59
%
0.61
%
0.62
%
0.61
%
Net loan charge-offs (recoveries) to average loans
0.15
0.27
0.28
0.18
(0.01
)
0.21
-
Nonperforming Assets
(Dollars in thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
Nonaccrual Loans:
Multifamily residential
12,364
25,952
11,031
9,478
13,774
Commercial real estate
23,481
6,703
6,283
6,705
-
One-to-four family - mixed-use property
422
426
116
369
909
One-to-four family - residential
2,277
1,225
1,428
1,493
3,633
Small Business Administration
2,445
2,445
2,445
2,445
2,552
Commercial business and other
8,258
9,512
12,015
13,771
13,672
Total Nonaccrual loans
49,247
46,263
33,318
34,261
34,540
Total Nonperforming Loans (NPLs)
49,247
46,263
33,318
34,261
34,540
Other Nonperforming Assets:
Real estate acquired through foreclosure
-
-
-
-
665
Total Other nonperforming assets
-
-
-
-
665
Total Nonaccrual HTM Securities
16,878
18,000
18,000
20,627
20,627
Total Nonperforming Assets
$
66,125
$
64,263
$
51,318
$
54,888
$
55,832
Nonperforming Assets to Total Assets
0.75
%
0.71
%
0.57
%
0.59
%
0.61
%
Allowance for Credit Losses to NPLs
83.8
%
86.5
%
120.5
%
117.7
%
120.6
%
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES RECONCILIATION OF GAAP EARNINGS (LOSS) and CORE EARNINGS
Non-cash Fair Value Adjustments to GAAP Earnings (Loss)
The variance in GAAP earnings (loss) and core earnings is partly driven by the impact of non-cash net gains and losses from fair value adjustments. These fair value adjustments relate primarily to borrowings carried at fair value under the fair value option.
Core Net Income, Core Diluted EPS, Core ROAE, Core ROAA, Pre-provision Pre-tax Net Revenue, Core Net Interest Income FTE, Core Net Interest Margin FTE, Core Interest Income and Yield on Total Loans, Core Noninterest Income, Core Noninterest Expense and Tangible Book Value per common share are each non-GAAP measures used in this release. A reconciliation to the most directly comparable GAAP financial measures appears below in tabular form. The Company believes that these measures are useful for both investors and management to understand the effects of certain interest and noninterest items and provide an alternative view of the Company's performance over time and in comparison, to the Company's competitors. These measures should not be viewed as a substitute for net income. The Company believes that tangible book value per common share is useful for both investors and management as this measure is commonly used by financial institutions, regulators, and investors to measure the capital adequacy of financial institutions. The Company believes these measures facilitate comparison of the quality and composition of the Company's capital over time and in comparison, to its competitors. These measures should not be viewed as a substitute for total shareholders' equity.
These non-GAAP measures have inherent limitations, are not required to be uniformly applied and are not audited. They should not be considered in isolation or as a substitute for analysis of results reported under GAAP. These non-GAAP measures may not be comparable to similarly titled measures reported by other companies.
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES RECONCILIATION OF GAAP EARNINGS (LOSS) and CORE EARNINGS (Unaudited)
(Dollars in thousands, except per share data)
For the three months ended
For the six months ended
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
GAAP income (loss) before income taxes
$
18,936
$
(5,931
)
$
(71,857
)
$
11,457
$
7,136
$
13,005
$
12,133
Net (gain) loss from fair value adjustments (Noninterest income (loss))
(1,656
)
152
1,136
(974
)
(57
)
(1,504
)
777
Net loss on sale of securities (Noninterest income (loss))
-
-
72,315
-
-
-
-
Life insurance proceeds (Noninterest income (loss))
-
-
(284
)
(1
)
-
-
-
Valuation allowance on loans transferred to held for sale (Noninterest income (loss))
(2,590
)
194
3,836
-
-
(2,396
)
-
Net (gain) loss from fair value adjustments on hedges (Net interest income)
(64
)
(56
)
(2,911
)
(554
)
(177
)
(120
)
10
Prepayment penalty on borrowings (Noninterest expense)
-
-
2,572
-
-
-
-
Net amortization of purchase accounting adjustments and intangibles (Various)
(176
)
(167
)
(101
)
(62
)
(85
)
(343
)
(254
)
Impairment of goodwill (Noninterest expense)
-
17,636
-
-
-
17,636
-
Miscellaneous expense (Professional services)
395
(1
)
218
10
494
394
494
Core income before taxes
14,845
11,827
4,924
9,876
7,311
26,672
13,160
Provision for core income taxes
3,683
3,896
715
2,153
1,855
7,579
3,392
Core net income
$
11,162
$
7,931
$
4,209
$
7,723
$
5,456
$
19,093
$
9,768
GAAP diluted earnings (loss) per common share
$
0.41
$
(0.29
)
$
(1.64
)
$
0.30
$
0.18
$
0.12
$
0.30
Net (gain) loss from fair value adjustments, net of tax
(0.04
)
-
0.03
(0.02
)
(0.01
)
(0.03
)
0.02
Net loss on sale of securities, net of tax
-
-
1.65
-
-
-
-
Life insurance proceeds
-
-
(0.01
)
-
-
-
-
Valuation allowance on loans transferred to held for sale, net of tax
(0.06
)
-
0.09
-
-
(0.05
)
-
Net (gain) loss from fair value adjustments on hedges, net of tax
-
-
(0.05
)
(0.01
)
-
-
-
Prepayment penalty on borrowings, net of tax
-
-
0.04
-
-
-
-
Net amortization of purchase accounting adjustments, net of tax
-
-
-
-
-
(0.01
)
(0.01
)
Impairment of goodwill
-
0.51
-
-
-
0.51
-
Miscellaneous expense, net of tax
0.01
-
-
-
0.01
0.01
0.01
Loss not attributable to participating securities
-
-
0.03
-
-
-
-
Core diluted earnings per common share(1)
$
0.32
$
0.23
$
0.14
$
0.26
$
0.18
$
0.55
$
0.33
Core net income, as calculated above
$
11,162
$
7,931
$
4,209
$
7,723
$
5,456
$
19,093
$
9,768
Average assets
8,918,075
9,015,880
9,060,481
9,203,884
8,830,665
8,966,707
8,769,085
Average equity
709,839
731,592
662,190
672,762
667,557
720,656
668,371
Core return on average assets(2)
0.50
%
0.35
%
0.19
%
0.34
%
0.25
%
0.43
%
0.22
%
Core return on average equity(2)
6.29
%
4.34
%
2.54
%
4.59
%
3.27
%
5.30
%
2.92
%
(1) Core diluted earnings per common share may not foot due to rounding. (2) Ratios are calculated on an annualized basis.
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES RECONCILIATION OF GAAP REVENUE and PRE-PROVISION PRE-TAX NET REVENUE (Unaudited)
For the three months ended
For the six months ended
(Dollars in thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
GAAP Net interest income
$
53,209
$
52,989
$
51,235
$
45,603
$
42,776
$
106,198
$
85,173
Net (gain) loss from fair value adjustments on hedges
(64
)
(56
)
(2,911
)
(554
)
(177
)
(120
)
10
Net amortization of purchase accounting adjustments
(257
)
(252
)
(191
)
(155
)
(182
)
(509
)
(453
)
Core Net interest income
$
52,888
$
52,681
$
48,133
$
44,894
$
42,417
$
105,569
$
84,730
GAAP Noninterest income (loss)
$
10,277
$
5,074
$
(71,022
)
$
6,277
$
4,216
$
15,351
$
7,300
Net (gain) loss from fair value adjustments
(1,656
)
152
1,136
(974
)
(57
)
(1,504
)
777
Net loss on sale of securities
-
-
72,315
-
-
-
-
(Reversal) Valuation allowance on loans transferred to held for sale
(2,590
)
194
3,836
-
-
(2,396
)
-
Life insurance proceeds
-
-
(284
)
(1
)
-
-
-
Core Noninterest income
$
6,031
$
5,420
$
5,981
$
5,302
$
4,159
$
11,451
$
8,077
GAAP Noninterest expense
$
40,356
$
59,676
$
45,630
$
38,696
$
39,047
$
100,032
$
78,939
Prepayment penalty on borrowings
-
-
(2,572
)
-
-
-
-
Net amortization of purchase accounting adjustments
(81
)
(85
)
(90
)
(93
)
(97
)
(166
)
(199
)
Impairment of goodwill
-
(17,636
)
-
-
-
(17,636
)
-
Miscellaneous expense
(395
)
1
(218
)
(10
)
(494
)
(394
)
(494
)
Core Noninterest expense
$
39,880
$
41,956
$
42,750
$
38,593
$
38,456
$
81,836
$
78,246
Net interest income
$
53,209
$
52,989
$
51,235
$
45,603
$
42,776
$
106,198
$
85,173
Noninterest income (loss)
10,277
5,074
(71,022
)
6,277
4,216
15,351
7,300
Noninterest expense
(40,356
)
(59,676
)
(45,630
)
(38,696
)
(39,047
)
(100,032
)
(78,939
)
Pre-provision pre-tax net (loss) revenue
$
23,130
$
(1,613
)
$
(65,417
)
$
13,184
$
7,945
$
21,517
$
13,534
Core:
Net interest income
$
52,888
$
52,681
$
48,133
$
44,894
$
42,417
$
105,569
$
84,730
Noninterest income
6,031
5,420
5,981
5,302
4,159
11,451
8,077
Noninterest expense
(39,880
)
(41,956
)
(42,750
)
(38,593
)
(38,456
)
(81,836
)
(78,246
)
Pre-provision pre-tax net revenue
$
19,039
$
16,145
$
11,364
$
11,603
$
8,120
$
35,184
$
14,561
Efficiency Ratio
67.7
%
72.2
%
79.0
%
77.2
%
82.6
%
69.9
%
84.3
%
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES RECONCILIATION OF GAAP NET INTEREST INCOME and NET INTEREST MARGIN to CORE NET INTEREST INCOME (Unaudited)
For the three months ended
For the six months ended
(Dollars in thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
June 30, 2025
June 30, 2024
GAAP net interest income
$
53,209
$
52,989
$
51,235
$
45,603
$
42,776
$
106,198
$
85,173
Net (gain) loss from fair value adjustments on hedges
(64
)
(56
)
(2,911
)
(554
)
(177
)
(120
)
10
Net amortization of purchase accounting adjustments
(257
)
(252
)
(191
)
(155
)
(182
)
(509
)
(453
)
Tax equivalent adjustment
96
96
98
100
98
192
198
Core net interest income FTE
$
52,984
$
52,777
$
48,231
$
44,994
$
42,515
$
105,761
$
84,928
Episodic items (1)
(878
)
(294
)
(648
)
(1,647
)
(369
)
(1,172
)
(1,297
)
Net interest income FTE excluding episodic items
$
52,106
$
52,483
$
47,583
$
43,347
$
42,146
$
104,589
$
83,631
Total average interest-earning assets (2)
$
8,405,053
$
8,471,609
$
8,590,022
$
8,712,443
$
8,358,006
$
8,438,149
$
8,298,199
Core net interest margin FTE
2.52
%
2.49
%
2.25
%
2.07
%
2.03
%
2.51
%
2.05
%
Net interest margin FTE excluding episodic items
2.48
%
2.48
%
2.22
%
1.99
%
2.02
%
2.48
%
2.02
%
GAAP interest income on total loans, net (3)
$
94,758
$
92,368
$
94,104
$
95,780
$
92,728
$
187,126
$
185,687
Net (gain) loss from fair value adjustments on hedges - loans
(64
)
(56
)
29
(364
)
(137
)
(120
)
(14
)
Net amortization of purchase accounting adjustments
(260
)
(252
)
(216
)
(168
)
(198
)
(512
)
(493
)
Core interest income on total loans, net
$
94,434
$
92,060
$
93,917
$
95,248
$
92,393
$
186,494
$
185,180
Average total loans, net (2)
$
6,681,009
$
6,674,665
$
6,783,264
$
6,740,579
$
6,751,715
$
6,677,855
$
6,779,829
Core yield on total loans
5.65
%
5.52
%
5.54
%
5.65
%
5.47
%
5.59
%
5.46
%
(1) Episodic items include prepayment penalty income, net reversals and recovered interest from nonaccrual and delinquent loans, and swap terminations fees. (2) Excludes purchase accounting average balances for all periods presented. (3) Excludes interest income from loans held for sale.
FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES CALCULATION OF TANGIBLE STOCKHOLDERS' COMMON EQUITY to TANGIBLE ASSETS (Unaudited)
(Dollars in thousands)
June 30, 2025
March 31, 2025
December 31, 2024
September 30, 2024
June 30, 2024
Total Equity
$
706,377
$
702,851
$
724,539
$
666,891
$
665,322
Less:
Goodwill
-
-
(17,636
)
(17,636
)
(17,636
)
Core deposit intangibles
(940
)
(1,029
)
(1,123
)
(1,220
)
(1,322
)
Tangible Stockholders' Common Equity
$
705,437
$
701,822
$
705,780
$
648,035
$
646,364
Total Assets
$
8,776,524
$
9,008,396
$
9,038,972
$
9,280,886
$
9,097,240
Less:
Goodwill
-
-
(17,636
)
(17,636
)
(17,636
)
Core deposit intangibles
(940
)
(1,029
)
(1,123
)
(1,220
)
(1,322
)
Tangible Assets
$
8,775,584
$
9,007,367
$
9,020,213
$
9,262,030
$
9,078,282
Tangible Stockholders' Common Equity to Tangible Assets
