Executive Summary
Greene County Bancorp Inc. reported QQ1 2025 results with revenue of $16.873 million and net income of $6.261 million, translating to a net margin of 37.1% and an EPS of $0.37. Operating income stood at $6.689 million, yielding an operating margin of 39.64%. Year-over-year revenue was flat-to-slightly higher (+0.81%), while net income declined modestly versus the prior year period (-3.22%). On a quarter-over-quarter basis, revenue rose by 1.79% and net income declined by 7.00%, underscoring a period of stable topline performance but evolving cost dynamics. A notable feature of QQ1 2025 is the substantial interest expense of $14.633 million, which implies funding costs that weigh on pretax profitability and highlight the bank’s atypical — relative to classic loan-margin drivers — earnings mix for a small regional bank.
The balance sheet shows a very strong liquidity position and an investment-heavy asset base. Total assets are $2.874 billion, with cash and short-term investments of $580.6 million and long-term investments of $2.183 billion, contributing to an exceptionally high current ratio of 29.93x. However, liabilities also run high, with total liabilities of $2.659 billion against $216.3 million in equity, yielding a leveraged but conservatively funded balance sheet by some liquidity metrics. The company reports a modest leverage profile by traditional debt ratios (debt ratio of 4.96% and debt-to-capitalization around 39.7%), and a price-to-book multiple of 2.43x, suggesting the market is pricing in both the bank’s capital position and its investment-portfolio risk/return profile.
Looking forward, management did not publish explicit.qq_forward-looking guidance in the provided materials. Investors should monitor deposit growth, loan origination trends within the Bank of Greene County franchise, and changes in the yield on the investment portfolio as rates move. The near-term earnings trajectory appears sensitive to funding costs and investment valuations, even as the base business demonstrates cash-generating capability and solid quarterly profitability. Overall, the QQ1 2025 results depict a resilient regional bank with ample liquidity and a meaningful investment portfolio, balanced by elevated interest costs and a lean equity base.
Key Performance Indicators
QoQ: -2.06% | YoY:-21.61%
Key Insights
Revenue: $16.873 million, YoY +0.81%, QoQ +1.79%
Gross Profit: $16.873 million; Gross Margin: 100.0% (as reported); YoY +0.81%, QoQ +0.87%
Operating Income: $6.689 million; Operating Margin: 39.64% (0.3964x); YoY -21.61%, QoQ -2.06%
Net Income: $6.261 million; Net Margin: 37.11% (0.3711x); YoY -3.22%, QoQ -7.00%
EPS: $0.37; Diluted EPS: $0.37; YoY -2.63%, QoQ -7.50%
Interest Expense: $14.633 million; indicates material funding costs relative to income
Weighted Average Shares: 17.0268 million
Bal...
Financial Highlights
Revenue: $16.873 million, YoY +0.81%, QoQ +1.79%
Gross Profit: $16.873 million; Gross Margin: 100.0% (as reported); YoY +0.81%, QoQ +0.87%
Operating Income: $6.689 million; Operating Margin: 39.64% (0.3964x); YoY -21.61%, QoQ -2.06%
Net Income: $6.261 million; Net Margin: 37.11% (0.3711x); YoY -3.22%, QoQ -7.00%
EPS: $0.37; Diluted EPS: $0.37; YoY -2.63%, QoQ -7.50%
Interest Expense: $14.633 million; indicates material funding costs relative to income
Weighted Average Shares: 17.0268 million
Balance Sheet (highlights): Total assets $2.874 billion; Total liabilities $2.659 billion; Total stockholders’ equity $216.3 million; Cash & cash equivalents $216.0 million; Cash & short-term investments $580.6 million; Long-term investments $2.184 billion; Short-term debt $63.0 million; Long-term debt $79.51 million; Total debt $142.51 million; Net debt negative $73.54 million (due to cash/investments exceed debt)
Liquidity: Current ratio 29.93x; Quick ratio 29.93x; Cash ratio 0.394x
Capital & Valuation: Price-to-book 2.43x; Price-earnings 21.01x; Dividend yield 0.29%
Cash Flow: Operating cash flow $2.15 million; Free cash flow $1.997 million; Net cash provided by financing activities $38.44 million; Net cash used in investing activities $-17.52 million; Net cash change $23.07 million; Cash at end of period $213.469 million
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
16.87M |
0.81% |
1.79% |
| Gross Profit |
16.87M |
0.81% |
0.87% |
| Operating Income |
6.69M |
-21.61% |
-2.06% |
| Net Income |
6.26M |
-3.22% |
-7.00% |
| EPS |
0.37 |
-2.63% |
-7.50% |
Key Financial Ratios
operatingProfitMargin
39.6%
operatingCashFlowPerShare
$0.13
freeCashFlowPerShare
$0.12
dividendPayoutRatio
24.5%
Management Commentary
Note: The earnings transcript data was not provided in the prompt. No management quotes or themes from a QQ1 2025 call are available in the supplied material. When transcript text is available, this section should be populated with theme-by-theme quotes (e.g., strategy shifts, cost controls, deposit-taking initiatives, asset-quality updates) and context for their significance.
Forward Guidance
No formal forward guidance appears in the provided materials. Given the current balance sheet and earnings dynamics, a forward-looking assessment centers on: (i) sustaining deposit growth to support liquidity and funding costs; (ii) the sensitivity of earnings to investment portfolio valuations and rates (the substantial long-term investment base could be a source of compression or expansion in earnings with rate changes); (iii) disciplined expense management to offset elevated interest expense; (iv) prudent credit and asset-quality oversight as loan growth progresses in the Bank of Greene County franchise. Key factors to monitor include: net interest income sensitivity to rate shifts, deposit beta, loan origination trends in the regional market, investment portfolio performance, and capital deployment decisions (dividends vs. share repurchases vs. balance sheet growth).