NYSE$PFS

Provident Financial Services Inc · Q1 2023 earnings

Q1 2023 earnings · · Investor relations

Briefing

Reported a decrease in net income due to increased funding costs, provision for credit losses, and non-interest expense, partially offset by increased non-interest income.

Provident Financial Services reported a net income of $40.5 million, or $0.54 per basic and diluted share, for the three months ended March 31, 2023. The results were negatively impacted by merger-related expenses and costs associated with maintaining additional on-balance sheet liquidity, but the balance sheet, deposit franchise, liquidity, and capital position remained strong.

  • Net income was $40.5 million, or $0.54 per share, compared to $49.0 million in the previous quarter and $44.0 million in the same quarter last year.
  • Tangible book value per share increased by $0.52, or 3.4%, to $15.64 at March 31, 2023.
  • Asset quality improved, with non-performing loans declining to $35.5 million, or 0.35% of total loans.
  • Net interest margin decreased 14 basis points to 3.48% for the quarter.

Headline financials

Total Revenue

$130M

Previous: $115M+13.8%
EPS (adj)

$0.54

Previous: $0.58-6.9%
Efficiency Ratio

51.9%

Previous: 56.0%-7.5%
Net Interest Margin

3.5%

Previous: 3.0%+15.2%
Non-perf. Loans/Loans

0.3%

No prior period
Loan Loss Allowance

0.9%

No prior period
Tang. Book Value/Share

$15.64

No prior period
Capital Expenditures

-$613K

Previous: -$8.84M+93.1%
Free Cash Flow

$39.9M

Previous: $35.1M+13.7%
Net Income

$40.5M

Previous: $44M-7.8%
Operating Income

$78.4M

Previous: $88.4M-11.3%
Gross Profit

$124M

Previous: $108M+15.0%
Cash & Equivalents

$234M

Previous: $428M-45.4%
Total Assets

$13.8B

Previous: $13.6B+1.2%

Revenue & EPS history

Provident Financial · Revenue · Quarterly

$130M

Q1 2023+13.8%vs Q1 2022
Beat estimate in 7 of 14 quarters(50%)
ActualEstimate

Revenue by segment

Provident Financial · $9.09M total across 3 segments · Q3 2023

  • Fees
    $6.13M
  • BOLI
    $1.82M
  • Other Income
    $1.14M

Forward guidance

The company continues to work towards obtaining regulatory approvals for the pending merger with Lakeland Bancorp, Inc.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q1 2023

Historical avgQ1 2023

-0.1%

Avg return

Earnings day

-0.3%

Avg return

5 days after

+0.6%

Avg return

30 days after

49%

34 / 69 earnings

Positive

+10.8%

Q4 2018

Best reaction

-15.1%

Q1 2020

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-1.3%-0.3%-2.2%
Q4 2025+6.8%+9.0%+1.0%
Q3 2025-1.1%-1.5%+3.3%
Q2 2025-2.6%-2.0%+2.9%
Q1 2025-2.0%-3.0%-2.3%
Q4 2024-4.6%-5.0%-4.9%
Q3 2024-1.5%-2.4%+10.4%
Q2 2024+0.4%-0.1%+3.0%
Q1 2024+6.2%+14.0%+18.8%
Q4 2023+1.2%+1.8%-13.2%
Q3 2023+1.6%+1.4%+9.7%
Q2 2023-1.0%-3.7%-15.8%
Q1 2023+1.0%-9.7%-5.5%
Q4 2022+2.5%+5.9%+4.3%
Q3 2022+7.0%+4.7%+8.1%
Q2 2022+1.3%-0.2%-0.0%
Q1 2022-1.0%+3.3%+4.7%
Q4 2021+2.5%+1.0%+0.4%
Q3 2021+2.2%+3.1%-2.4%
Q2 2021-1.3%-1.1%+2.4%
Q1 2021+1.1%+3.0%+5.1%
Q4 2020-3.7%-2.5%+8.1%
Q3 2020+6.0%+1.3%+21.3%
Q2 2020-6.4%-8.0%-8.1%
Q1 2020-15.1%-20.1%-19.0%
Q4 2019-1.7%-0.4%-15.2%
Q3 2019+0.8%+0.6%-3.2%
Q2 2019-3.6%-2.4%-6.4%
Q1 2019+0.6%-2.1%-9.0%
Q4 2018+10.8%+11.3%+11.8%
Q3 2018+8.5%+6.5%+7.9%
Q2 2018-7.1%-7.8%-7.4%
Q1 2018-1.5%-1.0%+5.2%
Q4 2017-3.6%-4.5%-5.8%
Q3 2017-1.3%-2.1%-2.1%
Q2 2017+3.0%+2.4%-3.5%
Q1 2017-2.6%-2.6%-9.4%
Q4 2016-1.5%-1.7%-0.0%
Q3 2016+4.9%+1.7%+25.7%
Q2 2016-0.2%+0.3%+5.3%
Q1 2016-1.5%
Q4 2015+4.2%
Q3 2015-3.5%
Q2 2015+3.7%
Q1 2015-3.3%
Q4 2014+3.4%
Q3 2014+2.2%
Q2 2014-0.5%
Q1 2014-3.3%
Q4 2013-6.7%
Q3 2013+6.2%
Q2 2013+0.5%
Q1 2013+0.5%
Q4 2012-0.2%
Q3 2012-3.7%
Q2 2012+0.9%
Q1 2012+1.3%
Q4 2011-3.4%
Q3 2011-4.2%
Q2 2011-1.7%
Q1 2010+0.3%
Q1 2011+0.4%
Q4 2009-1.1%
Q4 2010-1.1%
Q4 2008-1.1%
Q3 2009+0.7%
Q3 2010+0.7%
Q2 2009+0.7%
Q2 2010+0.7%

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