NET LOANS RECEIVABLE

3 Months Ended

Mar. 31, 2026

NET LOANS RECEIVABLE

NET LOANS RECEIVABLE

5.NET LOANS RECEIVABLE

A summary of net loans receivable is as follows (dollars in thousands):



		March 31, 2026			December 31, 2025
Commercial:
Real estate		$	457,908		$	466,449
Commercial and industrial			130,267			124,895
Construction			201,366			169,724
Total commercial			789,541			761,068
Residential mortgages			820,775			793,657
Home equity loans and lines			97,492			97,629
Consumer			19,162			19,206
			1,726,970			1,671,560
Allowance for credit losses			(26,012)			(25,305)
Net loans receivable		$	1,700,958		$	1,646,255

Accrued interest receivable on loans totaled $7.6 million and $7.4 million at March 31, 2026 and December 31, 2025, respectively. Accrued interest receivable on loans is included in accrued interest receivable on the consolidated statements of condition, and is excluded from the estimate of credit losses.

Net deferred loan costs totaled $12.0 million and $11.7 million at March 31, 2026 and December 31, 2025, respectively, and are included in net loans receivable.

The allowance for credit losses on loans estimate uses a four quarter reasonable and supportable forecast period based on economic forecast from the Federal Open Market Committee (“FOMC”) of the Federal Reserve's projections of civilian unemployment and year-over-year U.S. gross domestic product (“GDP”) growth. The forecast will revert to long-term economic conditions over a four quarter reversion period on a straight-line basis. A qualitative factor framework has been developed to adjust the quantitative loss rates for asset-specific risk characteristics or current conditions at the reporting date.

The following tables present the activity in the allowance for credit losses by portfolio segment (dollars in thousands):


		For the Three Months Ended March 31, 2026
		Beginning												Ending
		Balance			Provisions			Charge-offs			Recoveries			Balance
Commercial		$	14,709			460		$	(70)		$	33		$	15,132
Residential mortgages			8,837			291			—			3			9,131
Home equity loans and lines of credit			1,154			(1)			—			—			1,153
Consumer			605			(1)			(13)			5			596
Allowance for credit losses - loans			25,305			749			(83)			41			26,012
Allowance for credit losses - off-balance sheet credit exposures			2,003			(3)			—			—			2,000
Total		$	27,308		$	746		$	(83)		$	41		$	28,012


		For the Three Months Ended March 31, 2025
		Beginning												Ending
		Balance			Provisions			Charge-offs			Recoveries			Balance
Commercial		$	12,067			568		$	—		$	6		$	12,641
Residential mortgages			7,930			321			(4)			29			8,276
Home equity loans and lines of credit			1,185			(8)			(23)			—			1,154
Consumer			572			190			(29)			6			739
Allowance for credit losses - loans			21,754			1,071			(56)			41			22,810
Allowance for credit losses - off-balance sheet credit exposures			2,190			(330)			—			—			1,860
Total		$	23,944		$	741		$	(56)		$	41		$	24,670

The following tables present the balance in the allowance for credit losses and the recorded investment in loans by portfolio segment (dollars in thousands):


		March 31, 2026
					Residential
		Commercial			Mortgages			Home Equity			Consumer			Total
Allowance for credit losses:
Related to loans individually evaluated		$	199		$	—		$	—		$	—		$	199
Related to loans collectively evaluated			14,933			9,131			1,153			596			25,813
Ending balance		$	15,132		$	9,131		$	1,153		$	596		$	26,012

Loans:
Individually evaluated		$	3,433		$	1,101		$	—		$	—		$	4,534
Loans collectively evaluated			786,108			819,674			97,492			19,162			1,722,436
Ending balance		$	789,541		$	820,775		$	97,492		$	19,162		$	1,726,970


		December 31, 2025
					Residential
		Commercial			Mortgages				Home Equity		Consumer			Total
Allowance for credit losses:
Related to loans individually evaluated		$	123		$	—		$	—		$	—		$	123
Related to loans collectively evaluated			14,586			8,837			1,154			605			25,182
Ending balance		$	14,709		$	8,837		$	1,154		$	605		$	25,305

Loans:
Individually evaluated		$	6,074		$	521		$	—		$	—		$	6,595
Loans collectively evaluated			754,994			793,136			97,629			19,206			1,664,965
Ending balance		$	761,068		$	793,657		$	97,629		$	19,206		$	1,671,560

Interest income on nonaccrual loans is recognized using the cost recovery method. Interest income on impaired loans that were on nonaccrual status and cash-basis interest income for the three months ended March 31, 2026 and 2025 was immaterial.

The Company may occasionally make modifications to loans where the borrower is considered to be experiencing financial difficulty. Substantially all of these modifications include one or a combination of the following: extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; temporary reduction in the interest rate; change in scheduled payment amount including interest only; or extensions of additional credit for payment of delinquent real estate taxes or other costs.

There were no modifications to loans where the borrower is considered to be experiencing financial difficulty for the three months ended March 31, 2026 and 2025.

The Company closely monitors the performance of the loans that are modified. The loans that were modified during the prior twelve months preceding March 31, 2026 were all performing within their modified terms with no payment defaults.

At March 31, 2026, loans modified to borrowers experiencing financial difficulty were on non-accrual status. Non-accrual loans that are modified to borrowers experiencing financial difficulty remain on non-accrual status until the borrower has demonstrated performance under the modified terms.

The following tables present the recorded investment in nonaccrual and loans past due over 90 days still on accrual by class of loans (dollars in thousands):


		March 31, 2026
					Nonaccrual			Past Due
					Loans With			90 Days
					No Related			Still on			Recognized
		Nonaccrual			Allowance			Accrual			Interest Income
Commercial:
Real estate		$	3,433		$	2,592		$	1		$	—
Commercial and industrial			1			—			—			—
Construction			—			—			—			—
Residential mortgages			4,311			1,101			—			—
Home equity loans and lines			1,162			—			—			—
Consumer			—			—			—			—
		$	8,907		$	3,693		$	1		$	—


		December 31, 2025
					Nonaccrual			Past Due
					Loans With			90 Days
					No Related			Still on			Recognized
		Nonaccrual			Allowance			Accrual			Interest Income
Commercial:
Real estate		$	6,074		$	5,231		$	6		$	—
Commercial and industrial			3			—			—			—
Construction			—			—			—			—
Residential mortgages			3,860			521			—			—
Home equity loans and lines			1,307			—			—			—
Consumer			—			—			—			—
		$	11,244		$	5,752		$	6		$	—

Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually evaluated loans.

A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment of the loan is expected to be provided substantially through the operation or sale of the collateral.

The following tables present the amortized cost basis of collateral-dependent loans by class of loans (dollars in thousands):


		March 31, 2026
		Amortized Cost			Collateral Type
Commercial:
Real estate		$	3,433		Commercial real estate property
Commercial and industrial			—
Construction			—
Residential mortgages			1,101		Residential real estate property
Home equity loans and lines			—
Consumer			—
		$	4,534


		December 31, 2025
		Amortized Cost			Collateral Type
Commercial:
Real estate		$	6,074		Commercial real estate property
Commercial and industrial			—
Construction			—
Residential mortgages			521		Residential real estate property
Home equity loans and lines			—
Consumer			—
		$	6,595

The following tables present the aging of the recorded investment in loans by class of loans (dollars in thousands):


		March 31, 2026
		30 - 59			60 - 89			90 or more
		Days			Days			Days			Total			Loans Not
		Past Due			Past Due			Past Due			Past Due			Past Due			Total
Commercial:
Real estate		$	2		$	—		$	3,434		$	3,436		$	454,472		$	457,908
Commercial and industrial			670			19			—			689			129,578			130,267
Construction			1,000			—			—			1,000			200,366			201,366
Residential mortgages			1,657			1,219			99			2,975			817,800			820,775
Home equity loans and lines			1,018			125			33			1,176			96,316			97,492
Consumer			18			40			—			58			19,104			19,162
Total		$	4,365		$	1,403		$	3,566		$	9,334		$	1,717,636		$	1,726,970


		December 31, 2025
		30 - 59			60 - 89			90 or more
		Days			Days			Days			Total			Loans Not
		Past Due			Past Due			Past Due			Past Due			Past Due			Total
Commercial:
Real estate		$	1		$	3		$	6,080		$	6,084		$	460,365		$	466,449
Commercial and industrial			23			—			—			23			124,872			124,895
Construction			—			—			—			—			169,724			169,724
Residential mortgages			—			2,322			471			2,793			790,864			793,657
Home equity loans and lines			660			216			392			1,268			96,361			97,629
Consumer			2,585			—			—			2,585			16,621			19,206
Total		$	3,269		$	2,541		$	6,943		$	12,753		$	1,658,807		$	1,671,560

The Company categorizes commercial loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. The Company analyzes commercial loans individually by classifying the loans as to credit risk. The Company uses the following definitions for risk ratings:

Special Mention – Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date.

Substandard – Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected.

Doubtful – Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable.

Commercial loans not meeting the criteria above are considered to be pass rated loans.

The Company grades residential mortgages, home equity loans and lines of credit and consumer loans as either non-performing or performing.

Non-performing – Loans that are over 90 days past due and still accruing interest or on nonaccrual.

Performing – Loans not meeting any of the above criteria are considered to be performing loans.

The following table presents loans summarized by segment and class, and the risk category (dollars in thousands):


			Term Loans Amortized Cost Basis by Origination Year																	Revolving			Revolving
								2024												Loans			Loans
								Transition												Amortized			Converted
March 31, 2026		2026			2025			Period			2024			2023			Prior			Cost Basis			to Term			Total
Commercial real estate
Risk Rating
Pass		$	13,196		$	56,591		$	13,855		$	49,652		$	40,031		$	273,729		$	836		$	—		$	447,890
Special mention			—			—			—			—			447			712			—			—			1,159
Substandard			—			—			—			—			222			7,345			451			—			8,018
Doubtful			—			—			—			—			—			841			—			—			841
Total commercial real estate		$	13,196		$	56,591		$	13,855		$	49,652		$	40,700		$	282,627		$	1,287		$	—		$	457,908

Current period gross charge-offs		$	—		$	—		$	—		$	—		$			$	—		$	—		$	—		$	—

Commercial and industrial
Risk Rating
Pass		$	1,323		$	29,328		$	8,677		$	10,947		$	3,214		$	9,258		$	63,939		$	—		$	126,686
Special mention			—			—			—			—			—			—			—			—			—
Substandard			—			—			—			—			—			3,496			16			—			3,512
Doubtful			—			—			—			—			—			69			—			—			69
Total commercial and industrial		$	1,323		$	29,328		$	8,677		$	10,947		$	3,214		$	12,823		$	63,955		$	—		$	130,267

Current period gross charge-offs		$	—		$	—		$	—		$	70		$	—		$			$	—		$	—		$	70

Commercial construction
Risk Rating
Pass		$	18,629		$	41,735		$	54,478		$	48,375		$	5,113		$	33,036		$	—		$	—		$	201,366
Special mention			—			—			—			—			—			—			—			—			—
Substandard			—			—			—			—			—			—			—			—			—
Doubtful			—			—			—			—			—			—			—			—			—
Total commercial construction		$	18,629		$	41,735		$	54,478		$	48,375		$	5,113		$	33,036		$	—		$	—		$	201,366

Current period gross charge-offs		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—

Residential mortgages
Performing		$	11,861		$	176,809		$	86,737		$	165,023		$	176,029		$	199,889		$	116		$	—		$	816,464
Non-performing			—			—						493			1,663			2,155			—			—			4,311
Total residential mortgages		$	11,861		$	176,809		$	86,737		$	165,516		$	177,692		$	202,044		$	116		$	—		$	820,775

Current period gross charge-offs		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—

Home equity loans and lines of credit
Performing		$	211		$	2,755		$	2,172		$	4,686		$	4,960		$	21,189		$	57,868		$	2,489		$	96,330
Non-performing			—			—			—			—			—			126			1,036			—			1,162
Total home equity loans and lines of credit		$	211		$	2,755		$	2,172		$	4,686		$	4,960		$	21,315		$	58,904		$	2,489		$	97,492

Current period gross charge-offs		$	—		$	—		$	—		$	—		$	—		$			$	—		$	—		$	—

Consumer
Performing		$	261		$	1,582		$	4,036		$	3,106		$	246		$	2,883		$	7,048		$	—		$	19,162
Non-performing			—			—			—			—			—			—			—			—			—
Total consumer		$	261		$	1,582		$	4,036		$	3,106		$	246		$	2,883		$	7,048		$	—		$	19,162

Current period gross charge-offs		$	13		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	13


			Term Loans Amortized Cost Basis by Origination Year																	Revolving			Revolving
					2024															Loans			Loans
					Transition															Amortized			Converted
December 31, 2025		2025			Period			2024			2023			2022			Prior			Cost Basis			to Term			Total
Commercial real estate
Risk Rating
Pass		$	58,001		$	13,931		$	49,810		$	43,497		$	53,003		$	221,781		$	804		$	—		$	440,827
Special mention			—			—			—			451			—			5,571			—			—			6,022
Substandard			—			—			—			224			2,072			15,442			1,018			—			18,756
Doubtful			—			—			—			—			—			844			—			—			844
Total commercial real estate		$	58,001		$	13,931		$	49,810		$	44,172		$	55,075		$	243,638		$	1,822		$	—		$	466,449

Current period gross charge-offs		$	—		$	—		$	—		$	—		$	69		$	—		$	—		$	—		$	69

Commercial and industrial
Risk Rating
Pass		$	31,169		$	9,030		$	12,433		$	3,588		$	2,533		$	7,307		$	55,233		$	—		$	121,293
Special mention			—			—			—			—			—			1,382			—			—			1,382
Substandard			—			—			—			—			12			2,130			3			—			2,145
Doubtful			—			—			—			—			—			75			—			—			75
Total commercial and industrial		$	31,169		$	9,030		$	12,433		$	3,588		$	2,545		$	10,894		$	55,236		$	—		$	124,895

Current period gross charge-offs		$	—		$	—		$	—		$	—		$	—		$	27		$	—		$	—		$	27

Commercial construction
Risk Rating
Pass		$	34,766		$	49,481		$	46,500		$	5,237		$	18,007		$	15,733		$	—		$	—		$	169,724
Special mention			—			—			—			—			—			—			—			—			—
Substandard			—			—			—			—			—			—			—			—			—
Doubtful			—			—			—			—			—			—			—			—			—
Total commercial construction		$	34,766		$	49,481		$	46,500		$	5,237		$	18,007		$	15,733		$	—		$	—		$	169,724

Current period gross charge-offs		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—		$	—

Residential mortgages
Performing		$	144,861		$	88,510		$	172,024		$	179,426		$	38,112		$	166,745		$	119		$	—		$	789,797
Non-performing			—			—			495			1,104			483			1,778			—			—			3,860
Total residential mortgages		$	144,861		$	88,510		$	172,519		$	180,530		$	38,595		$	168,523		$	119		$	—		$	793,657

Current period gross charge-offs		$	—		$	—		$	—		$	4		$	—		$	—		$	—		$	—		$	4

Home equity loans and lines of credit
Performing		$	2,791		$	2,214		$	5,178		$	5,141		$	8,088		$	14,306		$	56,032		$	2,572		$	96,322
Non-performing			—			—			—			—			—			135			1,172			—			1,307
Total home equity loans and lines of credit		$	2,791		$	2,214		$	5,178		$	5,141		$	8,088		$	14,441		$	57,204		$	2,572		$	97,629

Current period gross charge-offs		$	—		$	—		$	—		$	—		$	—		$	23		$	—		$	—		$	23

Consumer
Performing		$	1,595		$	4,265		$	3,317		$	303		$	25		$	2,910		$	6,791		$	—		$	19,206
Non-performing			—			—			—			—			—			—			—			—			—
Total consumer		$	1,595		$	4,265		$	3,317		$	303		$	25		$	2,910		$	6,791		$	—		$	19,206

Current period gross charge-offs		$	98		$	—		$	—		$	6		$	4		$	1		$	—		$	—		$	109

As of March 31, 2026 and December 31, 2025, the Company had pledged $807.0 million and $777.1 million respectively, of residential mortgage, home equity and commercial loans as collateral for FHLBNY borrowings and stand-by letters of credit.