Executive Summary

Q1 2025 was solid: diluted EPS rose to $0.16 from $0.07 YoY on higher net interest and dividend income and a small credit loss benefit; sequential EPS dipped from $0.17 in Q4 2024 as total net revenue declined with a lower NIM versus Q4 .
Net interest margin expanded YoY by 5 bps to 1.89% (Q1 2024: 1.84%) on higher earning asset balances/yields, though it was down versus 1.94% in Q4 2024; management emphasized “orderly and disciplined growth” and deposit-led funding supporting loan growth .
Balance sheet growth continued: loans +3.6% QoQ to $1.19B and deposits +3.8% QoQ to $1.04B; mix moved toward CDs and money market deposits; asset quality strengthened (NPA ratio 0.09% vs 0.14% at year-end) .
No formal financial guidance or call transcript was available; initial stock repurchase program was completed, with book value/share up to $18.63 (from $18.50) .
Consensus from S&P Global was not available for EPS or revenue, limiting beat/miss framing; investors should focus on NIM trajectory, funding mix, and credit quality as near-term stock catalysts (S&P Global consensus unavailable).

What Went Well and What Went Wrong

What Went Well
- YoY earnings leverage: net income rose to $1.30M (vs $0.62M) and diluted EPS to $0.16 (vs $0.07) on higher NII and a modest credit loss benefit; NIM improved YoY to 1.89% from 1.84% .
- Funding and growth: deposits grew $38.1M QoQ to $1.04B, enabling $41.1M QoQ loan growth; CEO highlighted enhanced cash management offerings and relationship-driven deposit growth supporting loan additions .
- Credit quality: NPAs fell to 0.09% of assets (from 0.14% at YE), ACL ratio edged down with low charge-offs ($82k), evidencing stable asset quality .
What Went Wrong
- Sequential revenue/NIM: total net revenue fell sequentially (see table) and NIM decreased to 1.89% vs 1.94% in Q4 2024, reflecting ongoing funding cost/mix dynamics despite YoY improvement .
- Noninterest income softness: noninterest income decreased YoY to $0.27M (from $0.31M), driven by lower loan sale gains (no sales this quarter) .
- Deposit mix shift: growth skewed to higher-cost categories—CDs +$31.4M and money market +$19.7M QoQ—while demand/savings/checking declined, a headwind to the cost of funds if sustained .

Financial Results

Metric	Q3 2024	Q4 2024	Q1 2025
Net interest & dividend income ($USD Millions)	$6.29	$6.78	$6.65
Noninterest income ($USD Millions)	$0.30	$0.33	$0.27
Total net revenue = NII + Noninterest ($USD Millions)	$6.60	$7.11	$6.92
(Benefit)/Provision for credit losses ($USD Millions)	$0.05	($0.31)	($0.01)
Net income ($USD Millions)	$1.13	$1.45	$1.30
Diluted EPS ($)	$0.14	$0.17	$0.16
Net interest margin (%)	1.85%	1.94%	1.89%

Notes: Q1 2024 reference points—diluted EPS $0.07 and NIM 1.84%—for YoY comparison .

Segment/Loan Mix (Balances)

Loan Category ($USD Millions)	12/31/2024	3/31/2025
Multi-family real estate	$344.0	$371.0
Commercial real estate	$229.0	$255.1
Residential real estate	$422.8	$434.4
Construction	$90.9	$69.7
Commercial (C&I)	$13.8	$12.6
Home equity lines of credit	$45.2	$44.0

Key Balance Sheet/Capital KPIs

KPI	Q4 2024	Q1 2025
Total assets	$1.418B	$1.452B
Total deposits	$0.999B	$1.037B
FHLB advances	$234.0M	$234.0M
Book value per share	$18.50	$18.63
NPAs / total assets	0.14%	0.09%
ACL on loans ($)	$8.884M	$8.808M
ACL / total loans	0.78%	0.74%
Net charge-offs (quarter)	—	$0.082M
Tier 1 leverage (Bank)	10.47%	10.31%
Total risk-based capital (Bank)	16.58%	16.23%

Deposit Mix (QoQ)

Deposit Category ($USD Millions)	12/31/2024	3/31/2025	QoQ Δ
Certificates of deposit	$605.5	$636.9	+$31.4
Money market	$184.6	$204.3	+$19.7
Demand (DDA)	$85.0	$79.9	-$5.1
Savings	$102.9	$98.6	-$4.4
Interest-bearing checking	$20.5	$17.0	-$3.5

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Formal financial guidance	2025 outlook	Not provided in prior press releases reviewed	Not provided in Q1 2025 press release	Maintained “no formal guidance”

Note: No explicit revenue, margin, OpEx, OI&E, tax, or dividend guidance was disclosed in the Q1 2025 press release or the prior two quarterly 8-K press releases reviewed .

Earnings Call Themes & Trends

Note: No Q1 2025 earnings call transcript was available; themes summarized from press releases.

Topic	Previous Mentions (Q-2 and Q-1)	Current Period (Q1 2025)	Trend
Deposit-led growth and cash management	Highlighted deposit growth outpacing loans in Q4; focus on cash management and expense control . Q3 noted Woburn branch’s deposits reaching $68M and new relationships .	Deposits +$38.1M QoQ; CEO emphasized expanded cash management/deposit products driving relationship growth .	Strengthening deposit franchise .
Net interest margin trajectory	Q3 NIM 1.85%; headwinds from funding costs . Q4 NIM improved to 1.94% as asset yield growth outpaced liability costs .	NIM 1.89% (up 5 bps YoY; down QoQ vs 1.94%) .	Mixed: YoY better, QoQ slightly lower .
Asset quality	Stable with low NPAs: Q3 NPAs 0.08%; Q4 0.14% .	Improved: NPAs 0.09%; small net charge-offs ($82k) .	Stable-to-improving .
Share repurchase/capital	Ongoing repurchases reduced APIC; BVPS rose in Q3 and Q4 .	Initial repurchase program completed; BVPS rose to $18.63; capital ratios remain “well capitalized” .	Repurchase transition to completed phase .
Loan growth/mix	Growth in multi-family and CRE; construction declining in Q3/Q4 .	Multi-family +$27.0M QoQ; CRE +$26.1M; construction -$21.2M .	Continued tilt to MF/CRE; construction runoff .

Management Commentary

Strategic message: “We continue to maintain our focus on orderly and disciplined growth… deposit growth has enabled our lending team to add quality loans supported by strong sponsors… We recently completed our initial stock repurchase program… we have maintained our standing as a ‘well capitalized’ institution” — Richard J. O’Neil, Jr., President & CEO .
Margin/earning assets: NIM up 5 bps YoY to 1.89% on higher average balances and yields on interest-earning assets .
Cost discipline: Noninterest expense was essentially flat YoY (down $23k) at $5.21M, reflecting ongoing expense control .

Q&A Highlights

No earnings call transcript for Q1 2025 was available from our sources and company document catalog, so Q&A themes and guidance clarifications were not accessible at this time (ListDocuments returned no transcript for the period).

Estimates Context

S&P Global (Capital IQ) Wall Street consensus for ECBK’s Q1 2025 EPS and revenue was not available; as a result, we cannot determine beat/miss versus Street for this quarter (S&P Global coverage unavailable). Actuals: diluted EPS $0.16; total net revenue $6.92M (NII $6.65M + noninterest income $0.27M) .
Implication: In the absence of consensus, investor focus should be on NIM trajectory, funding mix, and credit quality to gauge forward earnings power .

Key Takeaways for Investors

EPS inflected YoY ($0.16 vs $0.07) on higher NII and stable expenses; sequential EPS modestly below Q4’s $0.17 as NIM eased from 1.94% to 1.89% .
Funding momentum remains a bright spot (deposits +3.8% QoQ), particularly CDs and money market, which supported $41.1M QoQ loan growth; watch cost-of-funds as mix shifts .
Credit quality is a support: NPAs improved to 0.09%; charge-offs were minimal; ACL coverage remains solid at 0.74% of loans .
Capital and book value/share continue to improve; BVPS rose to $18.63; bank-level capital ratios remain well above “well-capitalized” thresholds .
No formal guidance provided and no transcript available; qualitative cues emphasize disciplined growth and deposit franchise expansion as key drivers .
Near-term trading focus: NIM direction into Q2/Q3, deposit mix/cost trajectory, and loan mix (MF/CRE growth vs construction runoff) likely drive narrative .
Medium-term: Completion of the initial repurchase and balance-sheet growth strategy provide levers for ROE accretion if funding costs stabilize and asset yields hold .

Additional Detail and Trend Context (Prior Two Quarters)

Q4 2024: EPS $0.17; NIM 1.94%; total net revenue ~$7.11M; deposits outpaced loans; expense growth tied to incentives and software/cash management rollouts .
Q3 2024: EPS $0.14; NIM 1.85%; total net revenue ~$6.60M; Woburn branch reached $68M deposits since opening, with relationship expansion .

ECB Bancorp, Inc. /MD/ (ECBK)·Q1 2025 Earnings Summary