Valley National Bancorp Non-cum Perp Pfd Shs Series A Stock Earnings Reports

Valley National Bancorp reported a solid Q1 2026: net income was ~$164 million ($0.28/share) and adjusted net income was $169 million ($0.29/share). Core highlights include continued core deposit strength (direct customer deposits +$900 million), which funded paydowns of higher-cost brokered deposits (~$300 million) and FHLB advances (~$350 million) and drove down total deposit costs by 18 basis points. Net interest income is expected to trend toward the higher end of prior guidance with acceleration in H2, supported by loan growth (total loans +$700 million, 5.5% annualized) and favorable yield curve dynamics. Loan growth outlook for 2026 was reiterated at the midpoint to high end of the 4%–6% range, with C&I and owner-occupied CRE (notably health care) as primary drivers. Efficiency improved (efficiency ratio 53.1% vs. 55.9% a year ago) and management expects positive operating leverage to push toward a ~50% efficiency ratio by 2026. Asset quality remains stable: net charge-offs fell to 14 bps, criticized/classified loans are trending down, and the allowance coverage is ~1.2%. Tangible book value rose ~1% and regulatory capital dipped modestly due to loan growth and buybacks; management noted the proposed Basel III standardized approach would likely increase regulatory ratios by 80–100 bps if adopted. Strategic priorities emphasized: building a resilient, relationship-focused funding franchise, targeted, relationship-driven loan growth, operating leverage/scalability, and pragmatic deployment of AI to boost productivity and client experience. Capital allocation: buybacks continue but may be modestly lower going forward to preserve capital for loan growth; Q1 buybacks were ~$52 million.