Overview

* OceanFirst Q3 net income falls to $17.3 mln, down from $24.1 mln last year

* Net interest income rises to $90.7 mln, driven by increased balances and margin

* Company outsources residential loan originations, incurring $4.1 mln restructuring charges

Outlook

* Company anticipates annual expense savings of $14 mln from residential outsourcing initiative starting in 2026

* OceanFirst Financial ( OCFC ) to incur $8 mln in restructuring charges next quarter

* Company maintains robust commercial loan pipeline at $710.9 mln

Result Drivers

* LOAN GROWTH - Total loans increased $372.9 mln, driven by commercial and industrial loan growth

* DEPOSIT GROWTH - Deposits rose to $10.4 bln

* RESIDENTIAL OUTSOURCING - Co incurs $4.1 mln restructuring charges due to outsourcing residential loan originations

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Net $17.3

Income mln

Q3 Net $90.7

Interest mln

Income

Q3 Net 2.91%

Interest

Margin

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the banks peer group is "buy"

* Wall Street's median 12-month price target for OceanFirst Financial Corp ( OCFC ) is $20.50, about 7.2% above its October 21 closing price of $19.02

* The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)