Peapack-Gladstone Financial Reports Strong Q3 2025 Growth Fueled by Metro New York Expansion

Peapack-Gladstone Financial Corporation reported net income of $9.6 million and diluted earnings per share of $0.54 for the quarter ended September 30, 2025, representing a 21% increase compared to the previous quarter. The company's strategic expansion into Metro New York continues to drive growth, with newly hired teams onboarding more than 850 new client relationships over the past two years, adding over $1.75 billion in core relationship deposits and more than $900 million in new loans.

Deposit growth remained robust through the first nine months of the year, with total deposits increasing $433 million, or 7%, to $6.6 billion as of September 30, 2025. Core relationship deposits increased $708 million during this period, with noninterest-bearing deposits growing by $211 million, or 19%. This deposit growth funded $506 million of loan growth at a weighted average coupon of 6.75%, resulting in an incremental spread of more than 400 basis points.

Net interest income increased $2.3 million, or 5%, on a linked quarter basis to $50.6 million for the third quarter of 2025. The net interest margin expanded to 2.81% for the quarter ended September 30, 2025, compared to 2.77% for the previous quarter and 2.34% for the same period last year. The company's wealth management division showed strong performance, with assets under management and administration growing by $1.0 billion to $12.9 billion at September 30, 2025, compared to $11.9 billion at December 31, 2024.

President and CEO Douglas L. Kennedy emphasized the company's transformation into Peapack Private Bank & Trust, stating that the expansion reflects the evolution toward becoming the premier boutique private bank serving Metro New York. The company continued to add talent in the third quarter, expanding its equipment finance group with an experienced team in Long Island and hiring three New York-based wealth advisors to capitalize on the growing market presence.

Asset quality showed improvement as nonperforming assets declined by $31 million in the quarter to $84.1 million. The company aggressively addressed problem credits while maintaining strong capital ratios that remain significantly above well capitalized standards. Tangible book value per share increased 7% to $34.10 per share at September 30, 2025, compared to $31.89 at December 31, 2024. Additional financial details are available in the company's Q3 2025 Investor Update and via a Current Report on Form 8-K on the Securities and Exchange Commission website.

The company's commercial banking segment demonstrated strength with total loans increasing $506 million to $6.0 billion at September 30, 2025. Commercial and industrial lending accounted for 69% of new business originations during the third quarter, with C&I balances representing 44% of the total loan portfolio. The company maintained strong liquidity with total on and off-balance sheet liquidity totaling $4.9 billion at September 30, 2025, representing 267% of total uninsured and uncollateralized deposits.