Thomas Bernard Reid's questions to Provident Financial Services Inc (PFS) leadership • Q2 2025
Question
Thomas Bernard Reid, on behalf of Steve Moss at Raymond James, asked about the key drivers of the strong C&I loan growth, potential hiring for C&I lenders, and the reasons for the decline in wealth management fees during the quarter.
Answer
President and CEO Anthony Labozzetta attributed the C&I growth to a diversified product set including ABL, healthcare, and SBA lending, which is part of a strategic effort to reduce CRE concentration. Senior EVP and CFO Thomas M. Lyons added that growth was primarily from new originations, though line utilization also normalized to around 45%. Regarding wealth management, Lyons explained that fees were lower due to a dip in the average market value of AUM during the quarter, but balances had recovered by quarter-end.