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Operating Segments
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Operating Segments Operating Segments
Valley manages its business operations under operating segments consisting of Consumer Banking and Commercial Banking. Activities not assigned to the operating segments are included in Treasury and Corporate Other.
The CEO of Valley is the CODM who assesses performance of each operating segment to better understand their cost, opportunity value and impact to Valley's consolidated earnings. Each operating segment is reviewed routinely for its asset growth, contribution to our income before income taxes, return on average interest earning assets and impairment (if events or circumstances indicate a possible inability to realize the carrying amount). Valley regularly assesses its strategic plans, operations, and reporting structures to identify its reportable segments. No changes to the operating segments were determined necessary during the six months ended June 30, 2025.
The Consumer Banking segment is mainly comprised of residential mortgages and automobile loans, and to a lesser extent, secured personal lines of credit, home equity loans and other consumer loans. The duration of the residential mortgage loan portfolio is subject to movements in the market level of interest rates and forecasted prepayment speeds. The average weighted life of the automobile loans within the portfolio is relatively unaffected by movements in the market level of interest rates. However, the average life may be impacted by new loans as a result of the availability of credit within the automobile marketplace and consumer demand for purchasing new or used automobiles. Consumer Banking also includes the Wealth Management and Insurance Services Division, comprised of asset management advisory, brokerage, trust, personal and title insurance, tax credit advisory services, and international and domestic private banking businesses.
The Commercial Banking segment is comprised of floating rate and adjustable rate commercial and industrial loans and construction loans, as well as adjustable and fixed rate owner occupied and commercial real estate loans. Due to the portfolio’s interest rate characteristics, Commercial Banking is Valley’s operating segment that is most sensitive to movements in market interest rates.
Treasury and Corporate Other largely consists of the Treasury managed HTM debt securities and AFS debt securities portfolios mainly utilized in the liquidity management needs of our lending segments and income and expense items resulting from support functions not directly attributable to a specific segment. Interest income is generated through investments in various types of securities (mainly comprised of fixed rate securities) and interest-bearing deposits with other banks (primarily the Federal Reserve Bank of New York). Expenses related to the branch network, all other components of retail banking, along with the back office departments of the Bank are allocated from Treasury and Corporate Other to operating segments. Other non-interest income items and general expenses are allocated from Treasury and Corporate Other to each operating segment utilizing a methodology that involves an allocation of operating and funding costs based on each segment's respective mix of average interest earning assets outstanding for the period, number of deposits, or direct allocation to the segments based on the nature of income and expense. Unallocated items included in Treasury and Corporate Other consist of net gains and losses on AFS and HTM securities transactions, amortization of tax credit investments, as well as other non-core items, including loss on extinguishment of debt, corporate restructuring charges and the FDIC special assessment.
The accounting for each operating segment and Treasury and Corporate Other includes internal accounting policies designed to measure consistent and reasonable financial reporting and may result in income and expense measurements that differ from amounts under GAAP. The financial reporting for each segment contains allocations and reporting in line with Valley’s operations, which may not necessarily be comparable to any other financial institution. Furthermore, changes in management structure or allocation methodologies and procedures may result in changes in reported segment financial data. Certain prior period amounts have been reclassified to conform to the current presentation for each operating segment and Treasury and Corporate Other.
The following tables represent the financial data for Valley’s operating segments and Treasury and Corporate Other for the three and six months ended June 30, 2025 and 2024:
 Three Months Ended June 30, 2025
 Consumer
Banking		Commercial
Banking		Treasury and Corporate OtherTotal
 ($ in thousands)
Average interest earning assets
$10,428,625 $38,604,012 $8,520,987$57,553,624 
Interest income$130,616 $588,422 $85,974$805,012 
Interest expense68,915 248,524 55,165372,604 
Net interest income61,701 339,898 30,809432,408 
Provision for credit losses717 37,078 437,799 
Net interest income after provision for credit losses60,984 302,820 30,805394,609 
Non-interest income32,192 24,999 5,41362,604 
Non-interest expense
Salary and employee benefits expense32,294 99,173 13,955145,422 
Net occupancy expense4,772 16,960 3,75125,483 
Technology, furniture, and equipment expense6,266 20,469 3,93230,667 
FDIC insurance assessment2,650 9,542 —12,192 
Professional and legal fees3,344 14,191 2,43519,970 
Loss on extinguishment of debt— — 922 922 
Other segment items *12,021 17,337 20,10849,466
Total non-interest expense$61,347 $177,672 $45,103 $284,122 
Income (loss) before income taxes$31,829 $150,147 $(8,885)$173,091 
Return on average interest earning assets (pre-tax)
1.22 %1.56 %(0.42)%1.20 %
Net interest margin2.37 %3.52 %1.45 %3.01 %
 Three Months Ended June 30, 2024
 Consumer
Banking		Commercial
Banking		Treasury and Corporate OtherTotal
 ($ in thousands)
Average interest earning assets
$9,836,298 $40,184,603 $6,752,049$56,772,950 
Interest income$118,537 $652,427 $62,502$833,466 
Interest expense74,780 305,635 51,366431,781 
Net interest income43,757 346,792 11,136401,685 
Provision (credit) for credit losses4,820 77,291 (41)82,070 
Net interest income after provision for credit losses38,937 269,501 11,177319,615 
Non-interest income31,568 16,494 3,15151,213 
Non-interest expense
Salary and employee benefits expense29,776 99,422 11,617140,815 
Net occupancy expense4,262 17,147 2,84324,252 
Technology, furniture, and equipment expense6,589 24,740 3,87435,203 
FDIC insurance assessment2,570 10,513 1,36314,446 
Professional and legal fees2,377 14,256 1,30517,938 
Other segment items *12,940 11,645 20,25844,843 
Total non-interest expense$58,514 $177,723 $41,260 $277,497 
Income (loss) before income taxes$11,991 $108,272 $(26,932)$93,331 
Return on average interest earning assets (pre-tax)
0.49 %1.08 %(1.60)%0.66 %
Net interest margin1.78 %3.45 %0.66 %2.83 %
 Six Months Ended June 30, 2025
 Consumer
Banking		Commercial
Banking		Treasury and Corporate OtherTotal
 ($ in thousands)
Average interest earning assets
$10,428,621 $38,416,202 $8,379,663$57,224,486 
Interest income$253,079 $1,168,318 $168,367$1,589,764 
Interest expense134,357 494,934 107,960737,251 
Net interest income118,722 673,384 60,407852,513 
 (Credit) provision for credit losses(8,016)108,486 (10)100,460 
Net interest income after provision for credit losses126,738 564,898 60,417752,053 
Non-interest income66,546 44,001 10,351120,898 
Non-interest expense
Salary and employee benefits expense64,268 202,163 21,609288,040 
Net occupancy expense9,477 34,417 7,47751,371 
Technology, furniture, and equipment expense12,503 40,322 7,73860,563 
FDIC insurance assessment5,350 19,709 —25,059 
Professional and legal fees6,243 25,134 4,26335,640 
Loss on extinguishment of debt— — 922 922 
Other segment items *26,307 32,780 40,05899,145 
Total non-interest expense$124,148 $354,525 $82,067 $560,740 
Income (loss) before income taxes$69,136 $254,374 $(11,299)$312,211 
Return on average interest earning assets (pre-tax)
1.33 %1.32 %(0.27)%1.09 %
Net interest margin2.27 %3.50 %1.44 %2.98 %
 Six Months Ended June 30, 2024
 Consumer
Banking		Commercial
Banking		Treasury and Corporate OtherTotal
 ($ in thousands)
Average interest earning assets
$9,814,532 $40,319,214 $6,562,128$56,695,874 
Interest income$232,299 $1,310,218 $119,605$1,662,122 
Interest expense150,066 616,487 100,336866,889 
Net interest income82,233 693,731 19,269795,233 
Provision for credit losses7,892 119,493 (115)127,270 
Net interest income after provision for credit losses74,341 574,238 19,384667,963 
Non-interest income64,733 39,624 8,271112,628 
Non-interest expense
Salary and employee benefits expense58,434 201,280 22,932282,646 
Net occupancy expense8,530 34,510 5,53548,575 
Technology, furniture, and equipment expense13,126 50,004 7,53570,665 
FDIC insurance assessment4,684 19,242 8,75632,682 
Professional and legal fees5,204 26,337 2,86234,403 
Other segment items *25,531 24,848 38,45788,836 
Total non-interest expense$115,509 $356,221 $86,077 $557,807 
Income (loss) before income taxes$23,565 $257,641 $(58,422)$222,784 
Return on average interest earning assets (pre-tax)
0.48 %1.28 %(1.78)%0.79 %
Net interest margin1.67 %3.44 %0.59 %2.80 %
*Other segment items include amortization of intangible assets, amortization of tax credit investments and other general operating expenses.