Greene County Bancorp Reports 41.5% Increase in Net Income to $8.87 Million

Greene County Bancorp, Inc. reported a net income of $8.87 million for the three months ending September 30, 2025, reflecting a 41.5% increase from $6.26 million in the same period last year. This growth in profitability was driven by a rise in net interest income, which increased to $17.52 million from $13.14 million, primarily due to higher average balances and yields on loans and securities. The company's total interest income rose to $31.62 million, up from $27.77 million, while interest expense decreased slightly to $14.10 million from $14.63 million, contributing to an improved net interest margin of 2.48%, compared to 2.03% a year earlier.

In terms of financial position, total assets increased to $3.06 billion as of September 30, 2025, up from $3.04 billion at the end of June 2025. This growth was supported by a 2.6% increase in net loans receivable, which reached $1.65 billion, driven by a $32.3 million rise in commercial real estate loans. The allowance for credit losses on loans also increased to $21.29 million, reflecting a conservative approach to managing credit risk amid rising loan volumes.

Operationally, Greene County Bancorp expanded its customer base, with total deposits rising to $2.72 billion, a 3.2% increase from $2.64 billion in the previous quarter. The growth in deposits was primarily attributed to an increase in NOW deposits and noninterest-bearing deposits, which rose by $96.1 million and $12.7 million, respectively. The company continues to focus on maintaining a diversified deposit base, with municipal deposits making up a significant portion of total deposits.

Strategically, the company has made organizational changes, including the termination of its defined benefit pension plan effective September 30, 2025, which is expected to streamline its employee benefit structure. Additionally, the company has been actively managing its interest rate risk and liquidity, maintaining a strong capital position with shareholders' equity increasing to $248.18 million from $238.84 million. The company’s outlook remains positive, with management emphasizing continued growth in loans and deposits while navigating the challenges posed by fluctuating interest rates and economic conditions.