Dime Commercial Bancshares reports record quarterly revenue of $135 million

Dime Commercial Bancshares, Inc. (NYSE: DCOM) reported net income available to common stockholders of $39.7 million for the quarter ended September 30, 2026, a figure that equates to $0.90 per diluted common share. This result marks a 53% year-over-year increase in earnings per share, driven by record quarterly revenue of $135 million and continued expansion in the net interest margin.

Stuart H. Lubow, President and Chief Executive Officer of Dime Commercial Bancshares, stated that the third quarter results were characterized by strong growth in core deposits and business loans. The company's return on average assets improved to 1.10% for the period, up from 0.94% in the prior quarter. Lubow noted that the balance sheet, which includes $2.2 billion in cash and an 83% loan-to-deposit ratio, was constructed to accommodate an elevated interest rate environment. He anticipates continued expansion in the net interest margin and growth in net interest income through 2027 due to a significant loan repricing opportunity.

The operational foundation for these results includes substantial growth in the loan portfolio. Business loans increased by $346.6 million on a linked-quarter basis and by $929.1 million on a year-over-year basis. The total loan portfolio reached a weighted average rate of 5.50% at September 30, 2026, a 14-basis point increase from the 5.36% recorded at June 30, 2026.

Deposit growth provided stability to the funding structure during the quarter. Total deposits increased by $1.08 billion on a year-over-year basis to reach $13.14 billion at September 30, 2026. Core deposits, excluding brokered and time deposits, rose by $1.18 billion year-over-year. The ratio of average non-interest-bearing deposits to average total deposits increased to 32.1% for the third quarter of 2026. Brokered deposits remained flat at $200 million compared to both the prior quarter and the same period last year.

Net interest income for the third quarter of 2026 stood at $121.2 million, compared to $115.2 million in the second quarter of 2026 and $103.4 million in the third quarter of 2025. The net interest margin expanded to 3.35% for the current quarter, up from 3.28% in the second quarter of 2026 and 3.01% in the third quarter of 2025. Non-interest income contributed an additional $14.1 million during the quarter, while total non-interest expense was $65.5 million.

The company also announced its intention to acquire ES Bancshares, Inc., the parent company of Empire State Bank headquartered in Staten Island. Lubow described this transaction as a logical step in Dime's growth strategy. Additionally, the firm launched a dedicated group for affordable housing led by Michael Camoia, Senior Vice President and Head of Affordable Housing, while proactively managing its Consolidated Commercial Real Estate Concentration ratio lower to 338%. The company repurchased 298,003 shares of common stock during the period at a weighted-average price of $40.64 per share.