Peapack‑Gladstone Financial Corp. reported first‑quarter 2026 results that surpassed analyst expectations, delivering net income of $14.2 million and diluted earnings per share of $0.80—an 86% year‑over‑year increase and a $0.14 beat over the consensus estimate of $0.66.
Net interest income rose to $59.9 million, up 6% from the fourth quarter and 32% from the same period a year earlier, while the net interest margin expanded to 3.26% from 3.08% in the prior quarter. Deposits grew 9% to $6.8 billion, with non‑interest‑bearing deposits increasing 28% to $1.4 billion, underscoring the strength of the bank’s relationship‑driven private‑banking model. Loan growth for the quarter reached $184 million, bringing total loans to $6.4 billion, a 12% year‑over‑year gain that helped support the margin expansion.
Capital ratios remained robust, with a Tier 1 leverage ratio of 9.02% and a common equity Tier 1 ratio of 10.55%. The bank also closed a $30 million preferred equity placement in March, further bolstering its capital base and providing additional flexibility for future growth initiatives.
The wealth‑management segment contributed $16.5 million in fee income, up from $16.1 million in the prior quarter, driven by client inflows of $227 million. The combination of strong loan and deposit growth, coupled with disciplined cost management, enabled the bank to maintain profitability while expanding its asset‑under‑management portfolio to $13.1 billion.
Management guided for loan and deposit growth of $175 million to $200 million for the remainder of 2026 and reiterated its target to achieve a 1.0% return on assets and a 10% return on capital by late 2026 or early 2027, signaling confidence in continued execution of its private‑banking strategy.
Analysts welcomed the results, noting the strong earnings beat and margin expansion, and reaffirmed confidence in the bank’s private‑banking strategy.
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