HarborOne Bancorp, Inc. Reports Second Quarter 2025 Financial Results

Strategic Insights -

HarborOne Bancorp, Inc., the holding company for HarborOne Bank, announced a 46.5% increase in net income to $8.1 million, or $0.20 per diluted share, for the quarter ended June 30, 2025. This marked a significant improvement from the quarter ended March 31, 2025, where net income was $5.5 million, or $0.14 per diluted share. HarborOne also reported a 13.6% decrease in total assets to $5.61 billion, with loans declining by $93.8 million, or 1.9%, to $4.73 billion.

Key Takeaways:

  • Net interest income increased $1.7 million, or 5.4%, to $33.2 million, primarily due to a 21 basis-point improvement in net interest margin, driven by higher prepayment fees and lower funding costs.
  • Noninterest income grew $2.3 million, or 23.6%, to $12.2 million, led by a $3.4 million gain on loan sales and an economic hedging gain of $349,000.
  • Total noninterest expense rose $1.2 million, but decreased by $926,000 excluding $1.7 million in merger-related expenses.
  • The Company's share repurchase program was suspended pending completion of the merger with Eastern Bankshares, Inc.
  • Asset quality and allowance for credit losses showed a $739,000 provision for credit losses, primarily due to a specific reserve allocation for a classified commercial and industrial loan.
  • Total nonperforming assets were $32.7 million, or 0.58% of total assets, at June 30, 2025, with a quarterly increase of $784,000 in non-performing commercial real estate loans.
  • HarborOne's tangible-common-equity-to-tangible-assets ratio remained strong at 9.38% at June 30, 2025, with book value per share and tangible book value per share increasing quarter over quarter to $13.47 and $12.09, respectively.

Statistics:

  • $8.1 million: Net income for the quarter ended June 30, 2025.
  • $0.20: Net income per diluted share for the quarter ended June 30, 2025.
  • 46.5%: Increase in net income compared to the quarter ended March 31, 2025.
  • $5.61 billion: Total assets at June 30, 2025, decreased by $91.3 million, or 1.6%, from the prior quarter end.
  • $4.73 billion: Loans at June 30, 2025, decreased by $93.8 million, or 1.9%, from the prior quarter end.
  • $13.6 million: Net income for the six months ended June 30, 2025, decreased by $1 million compared to the same period in 2024.
  • $580.1 million: Total stockholders' equity at June 30, 2025, increased by 0.7% from the prior quarter end.
  • $1.28 billion: Available borrowing capacity across multiple relationships as of June 30, 2025.
  • 73%: FDIC-insured deposits as a percentage of total deposits as of June 30, 2025.

Sources:

  • "HarborOne Bancorp, Inc. Reports Second Quarter 2025 Financial Results" - In this news release.
  • "Second Quarter Financial Highlights" - Provided by HarborOne Bancorp, Inc.
  • "Reconciliation of Non-GAAP Financial Measures" - HarborOne Bancorp, Inc.