Greene County Bancorp Posts Record Profit of $12.5 Million, Up 40.9%

Key Facts

Greene County Bancorp reported record quarterly net income of $12.5 million, according to its earnings release filed with the U.S. Securities and Exchange Commission. The results cover the first quarter of fiscal year 2027, ended September 30, 2026. The company published its release on October 22, 2026, announcing a 40.9% increase in net income from the same quarter a year earlier. Basic and diluted earnings per share were $0.73 for the period, according to the same release. The increase in earnings came as the net interest margin improved, benefiting from higher yields on loans and securities and lower deposit costs.

Net interest income totaled $21.9 million for the quarter ended in September, according to the company's release. The net interest margin reached 2.93% for the same fiscal period. By comparison, the margin was 2.48% in the quarter ended September 30, 2025, the corresponding quarter a year earlier. The company attributed the improvement in the margin to higher yields on its loan and securities portfolios. On the funding side, lower deposit costs also helped support the margin, according to the company's explanation of changes in interest income and expenses. Alongside these developments, deposits increased 5.0% at the end of September from their level on June 30, 2026. Total borrowings declined to $66.2 million at the end of the period, according to figures in the release.

In other income items, the company reported a 27.0% decline in noninterest income from the same quarter a year earlier. It attributed the decline primarily to losses on securities sales and lower income from customer swap transactions. Losses on securities sales were one of the two factors cited in the release to explain the decline in this item during the first quarter. On the expense side, noninterest expenses rose 7.4% year on year, according to the reported results. The company said personnel costs were among the main drivers of the increase in expenses. Credit loss expenses related to unfunded commitments also contributed to higher expenses during the period.

The quarterly results included a positive impact of $432,000 from the provision for credit losses, according to the company's release. Greene County Bancorp linked this impact to a loan repayment and an improvement in the economic forecasts used to estimate provisions. The credit loss item thus helped support results for the fiscal period ended in September. In the lending portfolio, net loans increased 1.3% from their level at the end of June 2026. Commercial real estate lending led the increase in net loans, according to the company's account of portfolio growth. On credit quality, nonperforming loans declined to $3.2 million on September 30, 2026.

In shareholder-related decisions, the board approved "a quarterly cash dividend of $0.11 per share," according to the dividend announcement carried by Investing.com. The declared dividend applies to each common share for the quarter ended September 30, 2026. At the next upcoming event, shareholders will consider a proposal to change the holding company's name at the annual meeting scheduled for November 7, 2026, according to the earnings release. The proposal calls for changing the holding company's name to Greene Bancorp and will be presented to shareholders for consideration at the meeting. The cash dividend will be payable to shareholders of record on November 13, 2026, according to the dividend announcement. Payment is expected on November 27, 2026, according to the announced schedule.