ConnectOne Bancorp, Inc. has reported its fourth-quarter and full-year 2025 results, showcasing various changes in performance metrics compared to the previous periods.
Net interest margin widened by 16 basis points to 3.27% in the fourth quarter of 2025 from 3.11% in the third quarter of 2025, and increased significantly by 41 basis points from 2.86% in the fourth quarter of 2024.
Net income available to common stockholders was $38.0 million for the fourth quarter of 2025, down from $39.5 million in the third quarter of 2025, yet significantly higher than the $18.9 million reported in the fourth quarter of 2024. Diluted earnings per share followed a similar pattern, decreasing from $0.78 in the third quarter of 2025 to $0.75 in the fourth quarter of 2025, but showing a significant rise from $0.49 in the fourth quarter of 2024.
Return on average assets increased to 1.12% for the three months ended December 31, 2025, from 1.16% in the third quarter of 2025, and notably improved from 0.84% in the fourth quarter of 2024. Similarly, return on average tangible common equity rose to 13.66% in the fourth quarter of 2025, up from 14.74% in the third quarter of 2025, and significantly higher than 8.27% in the fourth quarter of 2024.
Operating net income available to common stockholders saw a substantial increase to $42.0 million in the fourth quarter of 2025 from $35.5 million in the third quarter of 2025, and $20.2 million in the fourth quarter of 2024. Operating diluted earnings per share also exhibited a similar trend, reaching $0.83 in the fourth quarter of 2025, up from $0.70 in the third quarter of 2025, and $0.52 in the fourth quarter of 2024.
The company's total assets increased to $14.0 billion as of December 31, 2025, from $9.9 billion as of December 31, 2024. Loans receivable and total deposits also saw substantial growth, primarily due to the merger with the First of Long Island Corporation ("FLIC").
ConnectOne Bancorp, Inc. declared a cash dividend on its common stock of $0.18 per share, to be paid on March 2, 2026. A dividend of $0.328125 per depositary share, representing a 1/40th interest in a share of the company’s 5.25% fixed rate reset non-cumulative perpetual preferred stock, series A, was also announced.
The press release also detailed non-GAAP financial measures and highlighted the inherent limitations and differences in comparison to GAAP measures.
The market has reacted to these announcements by moving the company's shares -0.95% to a price of $27.00. For more information, read the company's full 8-K submission here.
