Question · Q4 2025
Freddie Strickland asked about the near-term outlook for the core margin, including factors like deposit growth and the integration of HarborOne deposits, and later inquired about the current pipeline mix between commercial and industrial (C&I) lending, commercial real estate (CRE), and home equity lines of credit (HELOCs). He also followed up on the seasonality of loan growth throughout the year.
Answer
CFO David Rosato confirmed expectations for a relatively flat core margin near-term, with anticipated expansion in the latter half of the year, contingent on market forward rate cut projections. CEO Denis Sheahan detailed the commercial pipeline mix, noting it's currently over 50% CRE and community development lending, with the remainder in C&I, and expects continued growth after a strong Q4. Regarding seasonality, CEO Denis Sheahan explained that the first quarter is typically slower for loan growth, with production generally accelerating in late Q1, Q2, and Q3, a point CFO David Rosato concurred with.
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