OceanFirst Financial : Q1-26 - Investor Presentation (05-01-2026) (Q1-26-Investor-Presentation-05-01-2026)

Published: 2026-05-01 16:41:11 ET OCFC

Published on 05/01/2026 at 04:41 pm EDT

May 2026

(1) The Q1 2026 Investor Presentation should be read in conjunction with the Earnings Release furnished as Exhibit 99.1 to the Form 8-K filed with the SEC on April 23, 2026.

Corporate Overview and Market Data

Tailored Footprint Across Key Markets

Ticker OCFC (NASDAQ)

HQ Red Bank, NJ

Branch Network 41 branches; 9 commercial banking centers

Core Markets New Jersey, New York City, Greater Philadelphia

Expansion Markets Baltimore, Boston and Northern Virginia

Balance Sheet and Capital Q1-26

Core Profitability Q1-26(2)

Net Income

$24.3 million

EPS

$0.43

Net Interest Margin (%)(3)

2.92%

Efficiency Ratio (%)

66.8%

ROAA (%)

0.68%

ROTCE (%)

8.56%

Assets $14.6 billion

Net Loans $11.1 billion

Deposits $11.2 billion

Boston Area

PA, NJ, NYC

1

Non-performing Loans / Loans(1)

0.26% 2

Q1-26 Loan Portfolio ($'millions)

Tang. Equity / Tang. Assets(2) 8.2% CET1 Ratio 10.7%

Home Eq. & Consumer

$198

Residential

$3,128

Time deposits

$2,387

3

Q1-26 Deposit Base ($'millions)

Non-interest

$1,757

$1,302

CRE Investor

$5,479

-Owned

Savings

$986

$1,489

$4,537

Commercial Banking Centers

Retail Branches

Premier Locations

Commercial Banking Centers

Retail Branches Premier Locations(4)

Baltimore and Northern VA

C&I - non-real estate

C&I - real estate

$1,017

Money market

Interest-bearing

Note: All data presented is as of March 31, 2026.

PCD loans are not included in these metrics.

For non-GAAP financial measures, please refer to the "Non-GAAP Reconciliations" in the Appendix for a reconciliation to GAAP financial information.

Net Interest Income Growth ($'thousands)

14%

Net Interest Income CAGR

3.46%

3.52%

3.71%

3.62%

3.16%

3.37%

2.93%

3.02%

2.72%

2.90%

2.93%

377,477

369,731

391,146

334,035

360,223

240,502

255,971

312,951

305,338

120,262

169,218

96,447

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

Q1-26

Significant Growth in Commercial Loan Portfolio ($'millions)

10,195

251

2,980

10,118

230

3,050

203

3,194

198

3,128

3,817

291 1,704

687

1,135

5,589

475

2,045

1,046

2,023

6,214

408 2,321

1,189

2,296

7,756

339

2,309

8,623

261

2,480

9,918

264

2,862

1,620

1,610

1,550

2,214

2,319

3,975

281 1,749

758

1,187

1,504

1,616

3,492

4,378

5,172

5,354

5,288

5,421

5,479

11,032 11,124

14%

C&I CAGR

19%

Investor-Owned CRE CAGR

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

Q1-26

Emphasis on Commercial

(Commercial % of Loan Portfolio)

Commercial Loans by Geography(1) as of Q1-26

Increase of $6.0B in commercial loans since 2016

+22%

48%

70%

Baltimore

(2)

Other Markets

Boston

3%

4%

2%

Philadelphia

22%

Total:

$7.8B

40%

New Jersey

2016

Q1-26

29%

New York

Based on location where loan is managed.

Deposit Composition ($'millions)

459

937

1,373

775

1,413

986

2,469

2,387

9,733

1,301

1,066

2,081

673

867

1,627

4,354

10,435

1,657

10,066

1,617

10,964

1,742

11,156

1,757

1,954

364 661

3,830

784

1,491

6,329

3,912

4,001

9,675

2,101

4,537

4,188

783

4,343

757

3,647

646 607

5,815

714

1,488

1,022

1,399

2,445

1,489

986

1,542

2,412

4,202

736

1,608

9,428

2,133

42%

Total:

$11.2B

58%

Deposit Stratification

1,151

2,350

570

877

1,377

2,539

578

898

2016

2017

2018

2019 2020 2021 2022 2023 2024 2025 Q1-26

Non-interest-bearing deposits

Organic Deposit Growth ($'millions)

9,428

9,733

9,675

10,435

10,066

10,964

11,156

6,329

449

4,188

2,123

4,343

5,815

1,616

1,894

Q1-26

Avg. Cost of Deposits

1.97%

2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Q1-26

6

Non-performing Loans by Type as % of Loans(1)

Continued Focus on Credit Risk(1)

0.69%

0.64%

0.60% 0.59%

0.54%

0.55%

0.47%

0.44%

0.40%

0.38%

0.32%

0.25%

0.27%

0.22%

0.22% 0.22%

0.16% 0.19%

0.52%

0.22%

0.02%

0.31%

0.11%

0.01%

0.03%

0.17%

0.15%

0.26%

0.27%

0.26%

0.05%

0.09%

0.29%

0.19%

0.10%

0.20%

0.13%

0.18%

0.01%

0.00%

0.02%

0.10%

0.04%

0.00%

0.13%

0.08%

0.04%

0.03%

0.05%

0.12%

0.06%

0.07%

0.00%

0.01%

0.10%

0.01%

0.00%

0.05%

0.00%

0.11%

0.04%

0.05%

0.04%

0.14%

0.02%

0.02%

0.02%

0.03%

0.02%

0.03%

0.06%

0.04%

0.00%

0.06%

0.07%

0.08%

0.47%

0.21%

0.15%

2017

2018

2019

2020

2021

2022

2023

2024

2025

Q1-26

2017

2018

2019

2020

2021

2022

2023

2024

2025

Q1-26

7

PCD loans are not included in these metrics. Refer to the "Asset Quality" section in the Earnings Release for additional information.

Peer reporting is on a one quarter lag.

Growth Since 2013

Tangible Book Value per Share (1) 61.1%

$27.68

$29.48

$31.48 $31.81

The growth in TBV per common share(1) (TBVPS) is attributed to:

Minimally dilutive and strategic acquisitions including in critical new markets

Stable and competitive dividend

117th consecutive quarter

Historical target Payout Ratio of 30% to 50%

Total share repurchases of 177,450 for employee related awards in Q1-26(2)

2013

2014

2015

2016

2017

2018

2019

2020

2021

2022

2023

2024

2025

Q1-26

Total Capital Return per Share

158.0%

$25.61

$23.60

$7.95

$8.15

$21.36

$7.15

$20.55

$6.35

$1.97

$5.55

$13.95

$15.62

$0.94

$1.01

$16.82

$1.09

$2.15

$18.42

$1.39

$4.81

$3.45

$4.13

$15.53

$1.04

$1.55

$2.77

$0.49

$12.33

$18.35 $18.98

$19.86

$13.67

$12.94

$13.58 $14.26

$17.08

$14.98 $15.93

$3.35

$3.74

$3.80

$12.91

$15.13

$19.79

$2.25

$2.86

$2.98

$2.98

Cumulative Share Repurchase/Share

(1) For non-GAAP financial measures, please refer to the "Non-GAAP Reconciliations" in the Appendix for a reconciliation to GAAP financial information.

DIFFERENTIATION

Personalized next-best-products

Enterprise model lifecycle management

Controlled AI innovation sandbox

Embedded AI across business lines

Proprietary data and

intelligence advantage

Optimization & Innovation

Data Lake / Data Warehouse developed through Databricks.

kore.ai (HAILEY) deployed in 2024 - Conversational AI platform

that compliments our existing omni-channel platform.

Microsoft CoPilot (OpenAI and Claude infrastructure) deployed across all departments.

Current State of Automation

Drive operating leverage and scale through automation.

Enhance the customer experience through best in-class speed to

market and service quality.

Strengthen risk management and operational controls through automation.

Long-term Strategic Vision

2023-

2025

2026-

2027

2028 &

onward

INFRASTRUCTURE

Cloud data lakehouse

Loan decisioning pilot (ML)

AI governance framework

Employee AI rollout

Model risk management policy

EXPANSION

Advanced credit underwriting

Embedded AI across business lines

Advanced analytics and AI for Fraud/BSA review

AI-driven KYC/AML compliance

Scale & Integration

Foundation & Quick Wins

Financial Highlights

$0.43

Core Diluted EPS(1)

$96 million

Net Interest Income

0.68%

Core ROAA(1)

8.56%

Core ROTCE(1)

$0.60

Core PTPP Diluted EPS(1)

10.7%

CET1 Ratio

Net interest income increased $1 million (or 1%) from the linked quarter and $10 million (or 11%) compared to Q1-25 showing the continued momentum from interest earning asset growth.

Total loans grew by $92 million (3% annualized), led by an increase of $105 million (19% annualized) in commercial and

industrial loans. With $429 million in originations and a $418 million pipeline, the company's growth trajectory remains strong.

Non-interest expense decreased by 13%, or $11 million, to $73 million, and operating expenses, excluding non-core operations, decreased to $69 million from $71 million(1).

Our announced merger on December 29, 2025, with Flushing Financial Corporation, which has recently been approved by shareholders, the New York State Department of Financial Services, and the Office of the Comptroller of the Currency, remains subject to regulatory approval by the Board of Governors of the Federal Reserve System and to other customary closing conditions.

Moderated Loan Growth ($'millions)

5.37%

5.41%

5.49%

5.43%

5.34%

Total loans increased $92 million (3% annualized), including $105 million (19% annualized) of commercial and industrial

216

10,125 10,185 10,558

11,032 11,124

198

loan growth.

3,128

999

1,302

226

749

5,200

3,053

203

3,194

1,228

986

1,017

997

897

3,119

863

221

5,211

5,068

5,479

5,421

914

3,135

The company maintained strong momentum, delivering $429 million in loan originations and a $418 million pipeline.

NDFI(1) loan balances remain minimal, totaling $351 million (or ~3% of total loans) at Q1-26.

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

C&I - non-real estate C&I - real estate CRE Investor-Owned

Strong asset quality trends driven by prudent growth and strong credit risk management

Non-Performing Loans and Assets ($'000)(1) Special Mention and Substandard Loans ($'000)

Criticized loans as a % of total loans remain low at 1.53% as of Q1-26 compared to 2.06% as of Q4-19 (pre-pandemic).

0.34%

0.29%

0.30%

0.27%

0.23%

0.26%

0.22%

35,586

0.26%

7,498

10,393

7,680

10,266

22,359

26,711

28,738

29,246

3.82%

3.70%

3.68%

3.47%

1,917

0.20%

OCFC 10-Year (2015-2025) Average Criticized Loans / Total Loans = 1.78%

1.47%

1.43%

1.53%

1.17%

1.01%

18,972

18,161

(3)

93,715

104,773

124,112

125,454

154,441

21,521

23,811

15,901

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

Q1-25

Q2-25

Q3-25

Q4-25 Q1-26

(1) PCD loans are not included in these metrics. Refer to Asset Quality section in the Earnings Release for additional information.

Note: At March 31, 2026, of the Special Mention loans and Substandard loans represented above, 88.2% and 66.8% were current on payments, respectively.

(1) OCFC criticized loans exclude other real estate owned.

(2) Peer data is on a one quarter lag.

Loan Allowance for Credit Losses (ACL) Plus PCD & General Credit Marks / Total Loans

NCOs / (Recoveries) and Provision for Credit Loss Expense

4,092

3,700

3,039

2,738

2,218

1,974

617

701

636

2,086

Includes $3.3 million of increased provision related to elevated uncertainty in the macroeconomic environment despite strong asset quality metrics.

($'thousands)

0.78%

0.77%

0.77%

0.76%

0.78%

0.05%

0.83% 0.83% 0.81% 0.80% 0.81%

5,340

0.05%

0.04%

0.04%

0.04%

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

Q1-25 Q2-25 Q3-25 Q4-25 Q1-26

PCD & General Credit Marks

Note: The allowance for credit losses plus the unamortized credit and PCD marks amounted to $89.9 million, or 0.81% of

total loans at Q1-26, as compared to $87.7 million, or 0.80% of total loans at Q4-25.

Note: Q2-25 charge-offs primarily relate to two commercial relationships of $1.6 million and $445K for NPL sale.

Global Financial Crisis Hurricane Sandy

COVID-19

Pandemic

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Q1-26

OCFC NCO / Avg Loans

( 1) Commercial Banks ($10-50 bn) NCO / Avg Loans

(2)

From 2006 to Q1-26, inclusive of the Global Financial Crisis, Hurricane Sandy, and the COVID-19 Pandemic, OCFC's NCO to average loans

totaled 14 bps per year compared to 72 bps for all commercial banks between $10 - $50 billion in assets.

From 2006 to Q1-26, peak net charge-offs to average loans for OCFC totaled 56 bps in 2011. Peak charge-offs for commercial banks between $10 - $50 billion in assets were 253 bps in 2009.

Source: S&P Global.

Deposit Mix Remains Stable ($'millions)

10,177

1,661

10,232

1,687

10,436

1,732

10,964

1,742

11,156

1,757

4,007

3,845

4,091

4,354

4,537

1,337

1,052

1,378

1,023

1,398

1,000

1,413

986

1,489

986

2,120

2,299

2,215

2,469

2,387

Deposits increased by $192 million (or 1.7%), driven by an increase in non-maturity deposits of $273 million (or 3.2%) from the prior quarter.

The decrease in time deposits by $82 million was primarily

driven by lower brokered CD's of $122 million.

Q1-25 Q2-25 Q3-25 Q4-25 Q1-26

Deposit Beta(1)

42%

22%

Cost of Deposits

Type of Account

Spot

Avg

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

Q1-26

Int. Bearing Checking

2.04%

2.02%

2.08%

2.05%

2.15%

2.05%

Money Market

2.83%

2.94%

2.75%

2.43%

2.43%

2.43%

Savings

0.67%

0.66%

0.63%

0.55%

0.52%

0.54%

Time Deposits

3.75%

3.75%

3.74%

3.64%

3.48%

3.55%

Total (incl. non-int. bearing)

2.03%

2.07%

2.04%

2.00%

1.99%

1.97%

Up Cycle Down Cycle

(1) Deposit beta is calculated as the increase in rate paid on total deposits per quarter divided by the incremental increase in the fed funds rate since January 1, 2022. Up cycle is the period from

Net Interest Income ($'000)

96,447

NIM Bridge

2.87%

0.04%

0.02%

2.93%

95,278

90,657

87,636

86,652

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

Q4-25 NIM

Mix-shift in balances and rates excluding subordinated debt

Subordinated debt impact

Q1-26 NIM

Net Interest Margin

2.91%

2.91%

2.90%

2.87%

2.93%

Net interest income increased 1% and 11% compared to Q4-25 and Q1-25, respectively.

Net interest margin increased 6 bps and 3 bps compared to Q4-25 and Q1-25, respectively.

Competitive market environment may pressure margin as peers compete on rate for quality credit and deposits.

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

Core Non-Interest Expense(1) ($'000)

9,081

10,517

10,867

2,425

3,222

40,984

4,336

9,757

9,399

3,579

7,104

3,102

6,701

7,164

6,418

41,387

6,753

6,323

36,740

39,484

40,242

3,467

6,647

2,826

7,029

2,898

3,215

6,808

2,983

7,052

71,474 72,390 71,227

64,294

69,125

Core Efficiency Ratio(1)

70.30%

68.19%

65.81%

66.76%

2.16%

2.12%

1.96%

1.97%

1.93%

72.28%

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

Q1-26 core non-interest expenses decreased by $2.1 million (or 3%) from the linked quarter driven primarily by lower compensation expenses.

Q1-25 Q2-25 Q3-25 Q4-25 Q1-26

Occupancy & equipment

(1) For non-GAAP financial measures, please refer to the "Non-GAAP Reconciliations" in the Appendix for a reconciliation to GAAP financial information.

Book Value and Tangible Book Value per Common Share(1) ($) Core ROAA(1), ROTE(1), and ROTCE(1)

7.00%

0.62%

7.34%

6.17%

7.19%

0.68%

0.53%

0.60%

0.65%

29.27 28.64 28.81 28.97 28.98

8.21%

8.56%

19.79

19.86

19.52

19.34

19.16

Q1-25 Q2-25 Q3-25 Q4-25 Q1-26

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

Capital Management ($'millions)

Capital remains strong and above "well capitalized" levels.

12

17

7

12

12

3

0

12

0

12

11.2%

9.2%

11.0%

8.7%

10.6%

8.1%

10.7%

8.1%

10.7%

8.2%

Tangible book value per common share increased $0.70 or 4% from the same quarter last year.

Total share repurchases of 177,450 for employee related

awards in Q1-26(2).

Q1-25

Q2-25

Q3-25

Q4-25

Q1-26

19

For non-GAAP financial measures, please refer to the "Non-GAAP Reconciliations" in the Appendix for a reconciliation to GAAP financial information.

Represents share repurchases from employees that have elected to sell shares to cover withholding taxes. These shares are not included as repurchases under the authorized share repurchase programs.

Outlook

Comments

Loans

1-2% growth sequentially

Expecting continued steady growth, subject to unanticipated payoffs.

Growth will be predominately driven by C&I with muted growth in CRE and Construction.

Credit expected to remain benign.

Deposits

Consistent with loan growth

Maintain loan-to-deposit ratio <=100%.

Net Interest Income

1-2% growth sequentially

NIM is expected to remain stable with modest expansion.

Subject to expected growth and interest rate trends, we expect net interest income dollars to grow in-line with loans.

Other Income

$7 to $8 million

Subject to loan swap activity.

Operating Expenses

$70 to $71 million

Includes anticipated increases related to new commercial banking hires, partly offset by lower data processing spend.

Capital

Strong CET1 ratio (>10.5%)

Sufficient capital to fund near-term growth.

20 (1) Management Outlook is for OCFC Standalone and does not include the pending Flushing Financial Corporation merger impact.

Disclaimer

OceanFirst Financial Corporation published this content on May 01, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 01, 2026 at 20:40 UTC.