Amalgamated Financial Corp. Reports Strong Q3 and Nine-Month Results, Driven by Asset Growth and Increased Interest Income

Amalgamated Financial Corp. reported significant growth in its financial performance for the third quarter and the nine months ended September 30, 2024, compared to the same periods in 2023. Total assets increased to $8.41 billion, up from $7.97 billion at the end of 2023, driven by a $582.6 million rise in deposits and a $199 million increase in securities. Cash and cash equivalents also saw a notable increase, rising to $149.2 million from $90.6 million.

For the three months ended September 30, 2024, net income reached $27.9 million, or $0.90 per diluted share, compared to $22.3 million, or $0.73 per diluted share, in the prior year. This increase of $5.6 million was primarily attributed to a $6.5 million rise in interest income on securities and a $4.5 million increase in interest income on loans. However, this was partially offset by a $3.2 million increase in interest expense and a $3.6 million rise in non-interest expenses.

For the nine months ended September 30, 2024, net income totaled $81.9 million, or $2.65 per diluted share, compared to $65.3 million, or $2.12 per diluted share, in the same period of 2023. The increase of $16.6 million was largely due to a $17.7 million rise in interest income on loans and a $14.8 million increase in interest income on securities.

Net interest income for the third quarter of 2024 was $72.1 million, reflecting a 13.2% increase from $63.7 million in the same quarter of 2023. The net interest margin improved to 3.51%, up from 3.29% a year earlier, while the net interest spread decreased to 1.90% from 2.20%. For the nine-month period, net interest income was $209.3 million, a 7.9% increase from $194 million in 2023.

Total non-interest income for the third quarter increased to $8.9 million from $6.8 million, with significant contributions from service charges on deposit accounts. For the nine months, non-interest income rose to $28.4 million, compared to $19.9 million in the prior year.

The company’s allowance for credit losses on loans decreased to $61.5 million as of September 30, 2024, from $63.4 million a year earlier. Nonperforming assets also declined to $28.6 million, representing 0.34% of total assets, down from 0.43% at the end of 2023.

Amalgamated Financial Corp. continues to focus on its core values, emphasizing lending to small and medium-sized businesses, particularly in sustainable sectors. The company has also maintained its commitment to social and environmental performance, holding a B Corporation certification.