NB Bancorp Reports 83.3% Increase in Net Income, Announces Merger with Provident Bancorp

NB Bancorp, Inc. reported significant financial growth in its latest quarterly filing, with net income reaching $15.4 million for the three months ended September 30, 2025, compared to $8.4 million for the same period in 2024, marking an increase of 83.3%. For the nine months ended September 30, 2025, net income was $42.6 million, up 60.5% from $26.5 million in the prior year. The increase in profitability was driven by a $20 million rise in net interest income, which totaled $138.7 million for the nine-month period, alongside a notable decrease in the provision for credit losses.

The company's total assets increased by 5.5%, reaching $5.44 billion as of September 30, 2025, up from $5.16 billion at the end of 2024. This growth was primarily attributed to an increase in net loans, which rose by 8.8% to $4.67 billion, driven by expansions in multi-family residential and commercial real estate loans. Additionally, non-public investments surged by 82.8% to $44.5 million, reflecting new solar tax credit equity investments. However, cash and cash equivalents decreased by 18.8% to $295.4 million, largely due to increased loan originations and share repurchases.

In terms of strategic developments, NB Bancorp announced a definitive merger agreement to acquire Provident Bancorp, Inc. and its subsidiary BankProv, valued at approximately $211.8 million. This merger is expected to close in the fourth quarter of 2025, pending regulatory approvals. The company also repurchased 4.16 million shares during the nine months ended September 30, 2025, contributing to a decrease in total shareholders' equity, which fell to $737 million from $765 million at the end of 2024.

Operationally, the bank's customer base and engagement metrics showed positive trends, with total deposits increasing by 9.3% to $4.57 billion. Core deposits grew by 8% to $4.18 billion, driven by significant increases in money market and time deposits. The bank's focus on diversifying its loan portfolio has resulted in a substantial presence in the cannabis industry, with $418.6 million in loans to cannabis-related borrowers as of September 30, 2025.

Looking ahead, NB Bancorp's management expressed confidence in maintaining strong liquidity and capital positions, with the bank categorized as well-capitalized under regulatory standards. The company anticipates continued growth in its loan portfolio and overall financial performance, supported by its strategic initiatives and market conditions.