0001104659-26-027092
SEC filingPioneer Bancorp, Inc. reported net income of $20.3 million for the fiscal year ended December 31, 2025, a 32.9% increase from $15.3 million in the prior fiscal year ended June 30, 2024. This growth was primarily driven by a $21.2 million (24.0%) increase in interest and dividend income to $109.5 million, partially offset by an $8.6 million (39.3%) increase in interest expense to $30.4 million. Net interest income rose 19.0% to $79.1 million, while non-interest income increased 5.0% to $17.1 million. Total assets grew 8.6% to $2.15 billion, with net loans receivable increasing 14.8% to $1.65 billion. The company's return on average assets was 0.98% and return on average equity was 6.47% for the year. The company changed its fiscal year end from June 30 to December 31 during 2024, making year-over-year comparisons complex.
Pioneer Bancorp, Inc. reported strong financial results for the fiscal year ended December 31, 2025, with net income increasing 32.9% to $20.3 million from $15.3 million in the prior fiscal year ended June 30, 2024. The company's performance was driven by significant growth in net interest income, which increased 19.0% to $79.1 million, primarily due to a $21.2 million increase in interest and dividend income. This was partially offset by an $8.6 million increase in interest expense. Total assets grew 8.6% to $2.15 billion, with net loans receivable increasing 14.8% to $1.65 billion. The company's return on average assets was 0.98% and return on average equity was 6.47% for the year. It's important to note that the company changed its fiscal year end from June 30 to December 31 during 2024, which complicates year-over-year comparisons.
Interest and dividend income increased 24.0% to $109.5 million for the year ended December 31, 2025, from $88.3 million for the prior fiscal year ended June 30, 2024. This growth was driven by a 61 basis point increase in the average yield on interest-earning assets to 5.63% and a $185.3 million increase in the average balance of interest-earning assets to $1.95 billion. Interest income on loans increased $19.2 million (26.6%) to $91.6 million, primarily due to an 18 basis point increase in average yield to 5.90% and a $287.2 million increase in average loan balances. Non-interest income increased 5.0% to $17.1 million, primarily due to growth in insurance and wealth management services income and other non-interest income.
Net interest margin increased 29 basis points to 4.07% for the year ended December 31, 2025, from 3.78% for the prior fiscal year ended June 30, 2024. The net interest rate spread increased 21 basis points to 3.22%. The provision for credit losses was $3.7 million for the year ended December 31, 2025, compared to $2.7 million for the prior fiscal year. Non-interest expense increased 8.8% to $66.1 million, primarily due to increases in salaries and employee benefits, a $2.0 million goodwill impairment expense, and other non-interest expenses. The efficiency ratio was 68.65% for the year ended December 31, 2025, improved from 73.31% in the prior fiscal year.
Net cash provided by operating activities was $11.1 million for the year ended December 31, 2025. Cash and cash equivalents increased $37.2 million to $133.7 million at December 31, 2025. Total deposits increased 9.6% to $1.74 billion, with certificates of deposit increasing 54.2% to $269.5 million. Shareholders' equity increased 6.3% to $323.9 million, primarily due to net income of $20.3 million and an increase in accumulated other comprehensive income of $8.5 million, partially offset by common stock repurchases of $11.3 million. The company had $50.0 million in FHLBNY borrowings outstanding at December 31, 2025.
The company's business strategy focuses on operating as a well-capitalized and profitable diversified financial institution with a relationship-based model. Key elements include strategically growing through deepening customer relationships, continuing emphasis on commercial customer acquisition with targeted focus on commercial lending, diversifying products and services to increase non-interest income, selective acquisition growth, increasing share of lower-cost core deposits, and ongoing focus on employee engagement. The company formed Pioneer Capital Markets, Inc., a broker-dealer subsidiary, in December 2025 to enhance financial services capabilities. Risk factors include legal proceedings related to the Mann Entities fraudulent activity, with estimated possible losses of $0 to $38.8 million in excess of accrued liabilities as of December 31, 2025.