Executive Summary

Q1 FY2026 net income was $8.9M and EPS $0.52, up 41.7% YoY; net interest margin rose 45 bps to 2.48% as management repriced assets and reduced deposit rates in line with recent Fed cuts .
Pre-provision net income was $10.1M (+46.9% YoY) and the efficiency ratio improved to 46.78% from 56.60% YoY, reflecting stronger core profitability .
Balance sheet reached record highs: assets $3.06B, net loans $1.65B, deposits $2.72B; borrowings fell to $54.1M, bolstering balance sheet resilience .
The Board declared a $0.10 quarterly dividend; management finalized expansion into Saratoga County (Clifton Park office opening Oct 25, 2025), which should support deposit growth and franchise value .
Credit remains sound despite a higher provision ($1.3M) tied to loan growth and CRE model updates; NPAs were 0.12% of assets and NPLs 0.22% of net loans .

What Went Well and What Went Wrong

What Went Well

Net interest income rose $4.4M YoY to $17.5M; NIM climbed 45 bps to 2.48% on asset repricing and lower deposit rates: “strategically managed [the] balance sheet by focusing on higher-yielding loans and securities and lowering deposit rates to align with the Federal Reserve’s recent interest rate cuts” .
Record balance sheet levels across assets, loans, deposits, and equity; CEO: “we reached record highs in total assets, loans, deposits, and equity, underscoring the strength of our balance sheet and resilience of our business model” .
Operating efficiency improved: efficiency ratio at 46.78% vs 56.60% YoY; ROAA 1.21%, ROAE 14.59% indicating stronger returns on a growing balance sheet .

What Went Wrong

Provision for credit losses increased to $1.3M, driven by loan growth and a higher CRE quantitative reserve from construction-to-perm conversions; allowance rose to 1.27% of loans .
Noninterest expense increased 5.4% YoY to $10.1M, including higher salaries/benefits and a $250K charitable donation; some fee categories also rose .
NPLs ticked up to $3.6M (0.22% of net loans) and NPAs to 0.12% of assets; while still low, the directional uptick merits monitoring .

Financial Results

Core Income and Profitability (sequential trend)

Metric	Q3 FY2025 (Mar 31)	Q4 FY2025 (Jun 30)	Q1 FY2026 (Sep 30)
EPS ($)	$0.47	$0.55	$0.52
Net Interest Income ($USD Millions)	$16.21	$16.71	$17.52
Noninterest Income ($USD Millions)	$3.86	$3.77	$3.99
Total Net Revenue ($USD Millions)	$20.07	$20.48	$21.51
Net Interest Margin (%)	2.32%	2.37%	2.48%
Net Interest Rate Spread (%)	2.12%	2.14%	2.25%
Efficiency Ratio (%)	50.04%	50.77%	46.78%
Pre-Provision Net Income ($USD Millions)	$9.14	$8.45	$10.13

Note: Total Net Revenue calculated as Net Interest Income + Noninterest Income using cited values .

YoY Comparison (Q1 FY2026 vs Q1 FY2025)

Metric	Q1 FY2025 (Sep 30, 2024)	Q1 FY2026 (Sep 30, 2025)
EPS ($)	$0.37	$0.52
Net Income ($USD Millions)	$6.26	$8.87
Net Interest Income ($USD Millions)	$13.14	$17.52
Noninterest Income ($USD Millions)	$3.74	$3.99
Net Interest Margin (%)	2.03%	2.48%
Net Interest Rate Spread (%)	1.76%	2.25%
Efficiency Ratio (%)	56.60%	46.78%

KPIs and Balance Sheet (point-in-time)

KPI	Mar 31, 2025	Jun 30, 2025	Sep 30, 2025
Total Assets ($USD Billions)	$3.01B	$3.04B	$3.06B
Net Loans ($USD Billions)	$1.60B	$1.61B	$1.65B
Deposits ($USD Billions)	$2.65B	$2.64B	$2.72B
Borrowings ($USD Millions)	$94.0M	$128.1M	$54.1M
Shareholders’ Equity ($USD Millions)	$229.0M	$238.8M	$248.2M
ROAA (%)	1.12%	1.28%	1.21%
ROAE (%)	14.41%	15.98%	14.59%
NPLs / Net Loans (%)	0.18%	0.19%	0.22%

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Corporate guidance (Revenue, margins, OpEx, tax rate)	FY2026 / Q1 FY2026	None provided	None provided	Maintained (no guidance)
Dividend per share ($)	Q1 FY2026	$0.09 (Q4 FY2025 declared per share)	$0.10 (approved Oct 22, 2025)	Raised
Capital actions	Q1 FY2026	N/A	Redeemed $20.0M 4.75% subordinated notes on Oct 1, 2025 (funded by cash on hand)	Deleveraging

Earnings Call Themes & Trends

No public Q1 FY2026 earnings call transcript was available; GCBC appears to communicate via press releases and 8-Ks rather than a public conference call for this period [Search attempted; none found].

Topic	Previous Mentions (Q3 FY2025)	Previous Mentions (Q4 FY2025)	Current Period (Q1 FY2026)	Trend
Deposit pricing vs Fed cuts	Reduced rates aided NIM expansion; lower costs on NOW/CDs	Continued reductions; NIM expanded QoQ	Further reductions; spread +49 bps YoY, NIM +45 bps YoY	Positive margin trajectory
Asset repricing (loans/securities)	Higher yields; avg loans +$113M; securities +$105M	Higher yields; avg loans +$146M; securities +$87M	Yields up; avg loans +$158M; securities +$88M YoY	Continuing tailwind
Credit quality	Low NPAs/NPLs; allowance 1.31%	NPLs 0.19%; minimal charge-offs	NPAs 0.12%; NPLs 0.22%; provision higher on growth/CRE modeling	Stable with slight uptick
Expansion/geography	Record assets; milestone >$3B	Announced Saratoga County expansion	Clifton Park opening Oct 25, 2025; entering vibrant market	Growth focus
Funding/borrowings	FHLB overnight down vs prior year	Borrowings $128.1M including FHLB/notes	Borrowings fell to $54.1M; redeemed $20M notes Oct 1	Deleveraging
Noninterest income	Swap fees and ERTC uplift (Q3)	Swap fee increase; mixed other categories	Noninterest income +6.7% YoY; swaps +$170K, service fees +$81K	Modest growth

Management Commentary

CEO: “we reached record highs in total assets, loans, deposits, and equity, underscoring the strength of our balance sheet and resilience of our business model… finalized our expansion plans into Saratoga County… focused on delivering value… through prudent growth” .
Strategy: Balance sheet optimization via asset repricing and deposit rate management drove higher NIM; ongoing monitoring of Fed policy and deposit pricing while preserving long-term relationships .
Credit stance: Provision elevated primarily due to loan growth, CRE model reserve from construction-to-perm conversions, and allowance on held-to-maturity securities .

Q&A Highlights

No Q1 FY2026 earnings call/Q&A transcript was found or filed; no additional guidance clarifications beyond the earnings release and 8-K materials [Search attempted; none found].

Estimates Context

Consensus coverage appears limited; S&P Global shows no published consensus for Q1 FY2026 EPS or revenue (# of estimates unavailable). Actuals recorded in S&P datasets: Revenue $20.249M* and Net Income Normalized $8.870M* for Q1 FY2026; consensus means and counts not available [GetEstimates output].
With no Street consensus, near-term estimate adjustments will likely focus on modeling higher net interest margin, deposit cost trajectory, and credit provision tied to loan growth and CRE transitions .

Values retrieved from S&P Global.*

Estimates Table

Metric	Q1 FY2026 Consensus	Q1 FY2026 Actual
EPS ($)	N/A*	$0.52
Revenue ($USD Millions)	N/A*	$20.249*
Net Income Normalized ($USD Millions)	N/A*	$8.870*

Key Takeaways for Investors

Margin expansion is the core driver: asset repricing and disciplined deposit pricing lifted NIM to 2.48% and spread to 2.25%; this is a key profitability catalyst absent market headwinds .
Credit remains conservative: low NPAs/NPLs with a higher provision linked to growth and CRE modeling; watch CECL dynamics as construction converts to permanent financing .
Balance sheet strength: record deposits and loans, equity up to $248M, and borrowings cut to $54M (plus $20M note redemption) support capital flexibility and lower interest expense run-rate .
Operating efficiency improved materially (46.78% vs 56.60% YoY); sustained efficiency plus margin gains can underpin higher ROA/ROE in FY2026 .
Franchise growth: Saratoga County entry (Clifton Park) should bolster deposits and fee opportunities in a vibrant market, offering medium-term organic growth potential .
Dividend continuity at $0.10 per share and stronger earnings provide income support; MHC continues dividend waivers, modestly enhancing capital retention .
With sparse sell-side coverage, the stock may react more to reported fundamentals and local franchise developments than to “beat/miss” headlines; near-term focus should be on NIM trajectory, deposit mix shifts, and credit provisioning trends .

GREENE COUNTY BANCORP INC (GCBC)·Q1 2026 Earnings Summary