Operating Segments (Tables)

6 Months Ended

Jun. 30, 2025

Schedule of Financial Data for Business Segments

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 Other			Total
	($ 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 expense	68,915			248,524			55,165			372,604
Net interest income	61,701			339,898			30,809			432,408
Provision for credit losses	717			37,078			4			37,799
Net interest income after provision for credit losses	60,984			302,820			30,805			394,609
Non-interest income	32,192			24,999			5,413			62,604
Non-interest expense
Salary and employee benefits expense	32,294			99,173			13,955			145,422
Net occupancy expense	4,772			16,960			3,751			25,483
Technology, furniture, and equipment expense	6,266			20,469			3,932			30,667
FDIC insurance assessment	2,650			9,542			—			12,192
Professional and legal fees	3,344			14,191			2,435			19,970
Loss on extinguishment of debt	—			—			922			922
Other segment items *	12,021			17,337			20,108			49,466
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 margin	2.37		%	3.52		%	1.45		%	3.01		%


	Three Months Ended June 30, 2024
	Consumer Banking			Commercial Banking			Treasury and Corporate Other			Total
	($ 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 expense	74,780			305,635			51,366			431,781
Net interest income	43,757			346,792			11,136			401,685
Provision (credit) for credit losses	4,820			77,291			(41)			82,070
Net interest income after provision for credit losses	38,937			269,501			11,177			319,615
Non-interest income	31,568			16,494			3,151			51,213
Non-interest expense
Salary and employee benefits expense	29,776			99,422			11,617			140,815
Net occupancy expense	4,262			17,147			2,843			24,252
Technology, furniture, and equipment expense	6,589			24,740			3,874			35,203
FDIC insurance assessment	2,570			10,513			1,363			14,446
Professional and legal fees	2,377			14,256			1,305			17,938
Other segment items *	12,940			11,645			20,258			44,843
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 margin	1.78		%	3.45		%	0.66		%	2.83		%


	Six Months Ended June 30, 2025
	Consumer Banking			Commercial Banking			Treasury and Corporate Other			Total
	($ 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 expense	134,357			494,934			107,960			737,251
Net interest income	118,722			673,384			60,407			852,513
(Credit) provision for credit losses	(8,016)			108,486			(10)			100,460
Net interest income after provision for credit losses	126,738			564,898			60,417			752,053
Non-interest income	66,546			44,001			10,351			120,898
Non-interest expense
Salary and employee benefits expense	64,268			202,163			21,609			288,040
Net occupancy expense	9,477			34,417			7,477			51,371
Technology, furniture, and equipment expense	12,503			40,322			7,738			60,563
FDIC insurance assessment	5,350			19,709			—			25,059
Professional and legal fees	6,243			25,134			4,263			35,640
Loss on extinguishment of debt	—			—			922			922
Other segment items *	26,307			32,780			40,058			99,145
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 margin	2.27		%	3.50		%	1.44		%	2.98		%


	Six Months Ended June 30, 2024
	Consumer Banking			Commercial Banking			Treasury and Corporate Other			Total
	($ 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 expense	150,066			616,487			100,336			866,889
Net interest income	82,233			693,731			19,269			795,233
Provision for credit losses	7,892			119,493			(115)			127,270
Net interest income after provision for credit losses	74,341			574,238			19,384			667,963
Non-interest income	64,733			39,624			8,271			112,628
Non-interest expense
Salary and employee benefits expense	58,434			201,280			22,932			282,646
Net occupancy expense	8,530			34,510			5,535			48,575
Technology, furniture, and equipment expense	13,126			50,004			7,535			70,665
FDIC insurance assessment	4,684			19,242			8,756			32,682
Professional and legal fees	5,204			26,337			2,862			34,403
Other segment items *	25,531			24,848			38,457			88,836
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 margin	1.67		%	3.44		%	0.59		%	2.80		%


*			Other segment items include amortization of intangible assets, amortization of tax credit investments and other general operating expenses.