OceanFirst Reports Q1 EPS Beat, 2.93% NIM and 3% Loan Growth
OceanFirst reported Q1 net income $20.5M and adjusted earnings $0.43 per share, topping estimates, on revenue $175M with adjusted revenue of $103.2M missing forecasts. Net interest margin rose six basis points to 2.93%, loans grew $91.9M and non-interest expense fell 13% to $73.4M as the Flushing merger awaits approval.
1. First-Quarter Results
OceanFirst posted net income of $20.5 million for Q1 2026, or $0.36 per diluted share, and adjusted earnings of $0.43 per share. Total revenue reached $175 million while adjusted revenue of $103.2 million fell short of analyst projections.
2. Net Interest and Loan Growth
Net interest margin expanded to 2.93%, up six basis points from the prior quarter, driving net interest income to $96.4 million. Total loans increased by $91.9 million, with commercial and industrial loans up $105.1 million on a 19% annualized basis.
3. Expense Management and Core Earnings
Non-interest expense decreased 13% to $73.4 million, with operating expenses excluding non-core items at $69.1 million. Core earnings rose to $24.3 million, or $0.43 per share, and pre-tax, pre-provision earnings (PTPP) reached $34.4 million, or $0.60 per share.
4. Merger Update and Dividend
Shareholders and state regulators have approved the merger with Flushing Financial, with final Federal Reserve approval expected before a second-quarter closing. The Board declared a quarterly dividend of $0.20 per share payable May 8, 2026, to shareholders of record April 27, 2026.