RUTHERFORD, N.J., July 30, 2025 (GLOBE NEWSWIRE) -- Blue Foundry Bancorp (NASDAQ:BLFY) (the "Company"), the holding company for Blue Foundry Bank (the "Bank"), today reported a net loss of $2.0 million, or $0.10 per diluted common share, for the three months ended June 30, 2025, compared to net loss of $2.7 million, or $0.13 per diluted common share, for the three months ended March 31, 2025, and a net loss of $2.3 million, or $0.11 per diluted common share, for the three months ended June 30, 2024.

James D. Nesci, President and Chief Executive Officer, commented, "We are encouraged by the continued improvement experienced this quarter, highlighted by net interest margin expansion, stable expenses, and continued strong credit metrics."

Mr. Nesci further noted, "The net interest margin expanded due to improvements in both asset yields and the cost of liabilities. We continue to execute on our strategy of diversifying our loan portfolio, emphasizing asset classes that provide higher yields and better risk-adjusted returns. Additionally, our focus on attracting the full banking relationship has contributed to core deposit growth, especially among commercial customers. We believe these efforts will position us well for continued balance sheet and interest income growth."

Highlights for the second quarter of 2025:

Loans increased $47.4 million to $1.67 billion.
Deposits increased $29.1 million to $1.42 billion compared to the linked quarter. Core deposits increased by $25.2 million compared to the linked quarter.
Net interest margin increased 12 basis points to 2.28% compared to the linked quarter .
Interest income for the quarter was $23.4 million, an increase of $725 thousand, or 3.2%, compared to the linked quarter.
Interest expense for the quarter was $11.8 million, a decrease of $171 thousand, or 1.4%, compared to the linked quarter.
Provision for credit losses of $463 thousand was primarily due to the increase in the provision for off-balance-sheet commitments.
Book value per share was $14.88 and tangible book value per share was $14.87. See the "Supplemental Information - Non-GAAP Financial Measures" tables below for additional information regarding our non-GAAP measures.
406,391 shares were repurchased under our share repurchase plans at a weighted average share price of $9.42 per share.
On June 20, 2025, the Company commenced its sixth stock repurchase program for up to 1,082,533 shares of its common stock, approximately 5% of the outstanding common stock.

Loans

Loans increased by $89.6 million during the first six months of 2025. The Company continues to focus on diversifying its lending portfolio by growing its commercial portfolios. Additionally, during the first six months of 2025, we purchased unsecured consumer loans with credit reserves, which is cash collateral held at the Bank in excess of the expected losses. These loans have helped improve yields while having lower exposure to credit loss. During the first six months of 2025, the consumer loan portfolio increased by $76.5 million as a result of these purchases. In addition, the commercial real estate portfolio increased by $33.5 million, of which $20.8 million was owner-occupied properties and the construction portfolio increased by $11.7 million. The multifamily portfolio decreased by $37.3 million.

The details of the loan portfolio are below:

	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024
	(In thousands)
Residential	$	519,370	$	512,793	$	518,243	$	516,754	$	526,453
Multifamily		633,849		645,399		671,116		666,304		671,185
Commercial real estate		293,179		288,151		259,633		241,711		241,867
Construction		97,207		92,813		85,546		80,081		71,882
Junior liens		27,996		26,902		25,422		24,174		23,653
Commercial and industrial		17,729		18,079		16,311		14,228		12,261
Consumer and other		83,706		41,518		7,211		7,731		83
Total loans		1,673,036		1,625,655		1,583,482		1,550,983		1,547,384
Less: Allowance for credit losses		13,304		13,152		12,965		13,012		13,027
Loans receivable, net	$	1,659,732	$	1,612,503	$	1,570,517	$	1,537,971	$	1,534,357

Deposits

Deposits totaled $1.42 billion as of June 30, 2025, an increase of $73.0 million, or 5.43%, from December 31, 2024, driven by increases of $61.9 million and $23.4 million in NOW and demand accounts and time deposits, respectively, partially offset by a decrease in savings accounts of $11.5 million. The Company's strategy is to focus on attracting the full banking relationship of small- to medium-sized businesses through an extensive suite of deposit products. While there is strong competition for deposits in the northern New Jersey market, we were able to increase core customer deposits by $49.6 million during the six months ended June 30, 2025. In addition, commercial deposits increased $25.5 million during year-to-date period. Brokered deposits increased $70.0 million during the first half of 2025 as higher cost customer time deposits matured and were supplemented with brokered deposits. Uninsured deposits to third-party customers totaled approximately 12% of total deposits as of June 30, 2025.

The details of deposits are below:

	June 30, 2025		March 31, 2025		December 31, 2024		September 30, 2024		June 30, 2024
	(In thousands)
Non-interest bearing deposits	$	25,161	$	25,222	$	26,001	$	22,254	$	24,733
NOW and demand accounts		431,485		398,332		369,554		357,503		368,386
Savings		228,897		236,779		240,426		237,651		246,559
Core deposits		685,543		660,333		635,981		617,408		639,678
Time deposits		730,778		726,908		707,339		701,262		671,478
Total deposits	$	1,416,321	$	1,387,241	$	1,343,320	$	1,318,670	$	1,311,156

Financial Performance Overview:

Second quarter of 2025 compared to the first quarter of 2025

Net interest income compared to the first quarter of 2025:

Net interest income was $11.6 million for the second quarter of 2025 compared to $10.7 million for the first quarter of 2025 as interest earned on interest-earning assets increased $725 thousand and interest paid on interest-bearing liabilities decreased $171 thousand.
Net interest margin increased by 12 basis points to 2.28%.
The yield on average interest-earning assets increased seven basis points to 4.58%, while the cost of average interest-bearing liabilities decreased 13 basis points to 2.76%.
Average interest-earning assets increased by $30.3 million and average interest-bearing liabilities increased by $36.6 million.

Non-interest expense compared to the first quarter of 2025:

Non-interest expense decreased $90 thousand primarily driven by a decrease of $94 thousand in occupancy and equipment, largely due to seasonal expenses in the first quarter that were not present in the second quarter. Advertising expense increased by $73 thousand due to increased marketing efforts, which were offset by slight decreases in other categories.

Income tax expense compared to the first quarter of 2025:

The Company did not record a tax benefit for the losses incurred during the second quarter of 2025 and the first quarter of 2025 due to the full valuation allowance required on its deferred tax assets.
The Company's current tax position reflects the previously established full valuation allowance on its deferred tax assets. At June 30, 2025, the valuation allowance on deferred tax assets was $25.6 million.

Second quarter of 2025 compared to the second quarter of 2024

Net interest income compared to the second quarter of 2024:

Net interest income was $11.6 million for the second quarter of 2025 compared to $9.6 million for the same period in 2024. The increase was largely due to increases in interest earned on loans and lower interest costs on time deposits.
Net interest margin increased by 32 basis points to 2.28%.
The yield on average interest-earning assets increased 21 basis points to 4.58% and the cost of average interest-bearing liabilities decreased by 18 basis points.
Average interest-earning assets and average interest-bearing liabilities increased by $83.9 million and $111.6 million, respectively. Average loans drove the growth in interest-earning assets, with an increase of $97.0 million. Average interest-bearing deposits increased by $105.4 million.

Non-interest expense compared to the second quarter of 2024:

Non-interest expense was $13.5 million and $13.2 million for the second quarter of 2025 and 2024, respectively, an increase of $324 thousand. Compensation and benefits expense increased by $185 thousand primarily due to increases in variable compensation accruals. Data processing and advertising expenses increased by $133 thousand and $88 thousand, respectively. As noted above, the Company increased its marketing efforts in the second quarter of 2025.

Income tax expense compared to the second quarter of 2024:

The Company did not record a tax benefit for the losses incurred during the second quarters of 2025 and 2024 due to the full valuation allowance required on its deferred tax assets.
The Company's current tax position reflects the previously established full valuation allowance on its deferred tax assets. At June 30, 2025, the valuation allowance on deferred tax assets was $25.6 million.

Six Months Ended June 30, 2025 compared to the six months ended June 30, 2024

Net interest income compared to the six months ended June 30, 2024:

Net interest income was $22.4 million, an increase of $3.4 million.
Net interest margin increased 28 basis points to 2.22%.
The yield on average interest-earning assets increased 25 basis points to 4.55% while the cost of average interest-bearing liabilities decreased seven basis points to 2.82%.
Average loans increased by $71.5 million and average interest-bearing deposits increased by $101.1 million.
Average borrowings decreased by $10.2 million.

Non-interest income compared to the six months ended June 30, 2024:

Non-interest income decreased $188 thousand primarily due to the gains on the sale of loans and REO property that occurred during the first half of 2024.

Non-interest expense compared to the six months ended June 30, 2024:

Non-interest expense was $27.2 million, an increase of $711 thousand.
Compensation and benefits expense increased by $474 thousand and data processing expense increased $233 thousand. Additionally, advertising, FDIC insurance and occupancy and equipment expenses increased by $83 thousand, $61 thousand and $58 thousand, respectively.

Income tax expense compared to the six months ended June 30, 2024:

The Company did not record a tax benefit for the losses incurred during the six months ended June 30, 2025 and 2024 due to the full valuation allowance required on its deferred tax assets.
The Company's current tax position reflects the previously established full valuation allowance on its deferred tax assets. At June 30, 2025, the valuation allowance on deferred tax assets was $25.6 million.

Balance Sheet Summary:

June 30, 2025 compared to December 31, 2024

Cash and cash equivalents:

Cash and cash equivalents decreased $625 thousand to $41.9 million.

Securities available-for-sale:

Securities available-for-sale decreased $12.8 million to $284.2 million due to maturities, calls and pay downs, partially offset by purchases and a decrease in unrealized losses of $5.8 million.

Securities held-to-maturity

Securities held-to-maturity decreased $4.0 million due to calls and pay downs in the portfolio.

Total loans:

Total loans held for investment increased $89.6 million to $1.67 billion.
Consumer, commercial real estate and construction loans increased $76.5 million, $33.5 million, and $11.7 million, respectively. Partially offsetting these increases was a decrease in multifamily loans of $37.3 million.
During the six months ended June 30, 2025, the Company purchased consumer and residential loans totaling $80.4 million and $25.5 million, respectively.

Deposits:

Deposits increased $73.0 million from $1.34 billion at December 31, 2024 to $1.42 billion at June 30, 2025. This was largely the result of a $61.9 million increase in NOW and demand accounts and a $23.4 million increase in certificates of deposits, partially offset by a decrease of $11.5 million in savings accounts.
Core deposits (defined as non-interest bearing checking, NOW and demand accounts and savings accounts) increased $49.6 million and represented 48.4% of total deposits at June 30, 2025, compared to 47.3% at December 31, 2024.
Brokered deposits totaled $225.0 million and $155.0 million at June 30, 2025 and December 31, 2024, respectively. The increase in brokered deposits offset the reduction in retail time deposits and helped fund loan growth.
Uninsured and uncollateralized deposits to third-party customers were $168.6 million, or 12% of total deposits, at the end of the second quarter.

Borrowings:

FHLB borrowings increased $3.5 million to $343.0 million.
As of June 30, 2025, the Company had $256.1 million of additional borrowing capacity at the FHLB, $110.3 million in secured lines at the Federal Reserve Bank and $30.0 million of other unsecured lines of credit.

Capital:

Shareholders' equity was $321.3 million at June 30, 2025, a decrease of $10.9 million from December 31, 2024. The decrease was primarily driven by the repurchase of shares, including shares netted for income tax withholding on vested equity awards, at a cost of $8.5 million. Additionally, the year-to-date loss, partially offset by favorable changes in accumulated other comprehensive income, contributed to the decrease in shareholders' equity.
Tangible equity to tangible assets was 15.10% and tangible common equity per share outstanding was $14.87. See the "Supplemental Information - Non-GAAP Financial Measures" tables below for additional information regarding our non-GAAP measures.
The Bank's capital ratios remain above the FDIC's "well capitalized" standards.

Asset quality:

The allowance for credit losses ("ACL") on loans as a percentage of gross loans was 0.80% as of June 30, 2025.
The Company recorded a provision for credit losses of $463 thousand for the second quarter of 2025. The provision was primarily driven by the increase in loan commitments and the shift in the composition of the loan portfolio. The provision for the ACL on off-balance-sheet commitments was $323 thousand and the net provision for the ACL for loans was $147 thousand, while there was a release of $7 thousand in the ACL for held-to-maturity securities. The provision for credit losses for the six months ended June 30, 2025 was $664 thousand. The provision in the ACL for loans totaled $350 thousand and for off-balance-sheet commitments totaled $322 thousand, while there was a release of $8 thousand in the ACL for held-to-maturity securities.
Non-performing loans totaled $6.3 million, or 0.38% of total loans compared to $5.1 million, or 0.33% of total loans at December 31, 2024.
Net recoveries for the three months ended June 30, 2025 were $5 thousand and net charge-offs were $11 thousand for the six months ended June 30, 2025.
The ratio of allowance for credit losses on loans to non-performing loans was 211.81% at June 30, 2025 compared to 254.02% at December 31, 2024.

About Blue Foundry

Blue Foundry Bancorp is the holding company for Blue Foundry Bank, a place where things are made, purpose is formed, and ideas are crafted. Headquartered in Rutherford NJ, with a presence in Bergen, Essex, Hudson, Middlesex, Morris, Passaic, Somerset and Union counties, Blue Foundry Bank is a full-service, innovative bank serving the doers, movers, and shakers in our communities. We offer individuals and businesses alike the tailored products and services they need to build their futures. With a rich history dating back more than 145 years, Blue Foundry Bank has a longstanding commitment to its customers and communities. To learn more about Blue Foundry Bank visit BlueFoundryBank.com or call (888) 931-BLUE. Member FDIC.

Conference Call Information

A conference call covering Blue Foundry's second quarter 2025 earnings announcement will be held today, Wednesday, July 30, 2025 at 11:00 a.m. (EDT). To listen to the live call, please dial 1-833-470-1428 (toll free) or +1-404-975-4839 (international) and use access code 243510. The webcast (audio only) will be available on ir.bluefoundrybank.com. The conference call will be recorded and will be available on the Company's website for one month.

Contact:

James D. Nesci

President and Chief Executive Officer

BlueFoundryBank.com

jnesci@bluefoundrybank.com

201-972-8900

Forward Looking Statements

Certain statements contained herein are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act") and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements, which are based on certain current assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of the words "may," "will," "should," "could," "would," "plan," "potential," "estimate," "project," "believe," "intend," "anticipate," "expect," "target" and similar expressions.

Forward-looking statements are based on current beliefs and expectations of management and are inherently subject to significant business, economic and competitive uncertainties and contingencies, many of which are beyond our control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: inflation and changes in the interest rate environment that reduce our margins and yields, the fair value of financial instruments or our level of loan originations, or increase in the level of defaults, losses and prepayments on loans we have made and make; general economic conditions, either nationally or in our market areas, that are worse than expected, including potential recessionary conditions, the imposition of tariffs or other domestic or international governmental policies and potential retaliatory responses; changes in the level and direction of loan delinquencies and write-offs and changes in estimates of the adequacy of the allowance for credit losses; our ability to access cost-effective funding; fluctuations in real estate values and both residential and commercial real estate market conditions; demand for loans and deposits in our market area; our ability to implement and change our business strategies; competition among depository and other financial institutions; adverse changes in the securities or secondary mortgage markets; changes in laws or government regulations or policies affecting financial institutions, including changes in regulatory fees, capital requirements and insurance premiums; changes in monetary or fiscal policies of the U.S. Government, including policies of the U.S. Treasury and the Federal Reserve Board; changes in the quality or composition of our loan or investment portfolios; technological changes that may be more difficult or expensive than expected; a failure or breach of our operational or security systems or infrastructure, including cyber-attacks; the inability of third party providers to perform as expected; our ability to manage market risk, credit risk and operational risk in the current economic environment; changes in consumer spending, borrowing and savings habits; changes in accounting policies and practices, as may be adopted by the bank regulatory agencies, the Financial Accounting Standards Board, the Securities and Exchange Commission or the Public Company Accounting Oversight Board; our ability to retain key employees; the current or anticipated impact of military conflict, terrorism or other geopolitical events; the ability of the U.S. Government to manage federal debt limits; and changes in the financial condition, results of operations or future prospects of issuers of securities that we own.

Because of these and other uncertainties, our actual future results may be materially different from the results indicated by these forward-looking statements. Except as required by applicable law or regulation, we do not undertake, and we specifically disclaim any obligation, to release publicly the results of any revisions that may be made to any forward-looking statements to reflect events or circumstances after the date of the statements or to reflect the occurrence of anticipated or unanticipated events.

BLUE FOUNDRY BANCORP AND SUBSIDIARY Consolidated Statements of Financial Condition
	June 30, 2025		March 31, 2025		December 31, 2024		June 30, 2024
	(unaudited)		(unaudited)		(audited)		(unaudited)
	(Dollars in thousands)
ASSETS
Cash and cash equivalents	$	41,877	$	46,220	$	42,502	$	60,262
Securities available-for-sale, at fair value		284,239		286,620		297,028		297,790
Securities held to maturity		29,062		32,038		33,076		33,169
Other investments		18,112		17,605		17,791		17,942
Loans, net		1,659,732		1,612,503		1,570,517		1,534,357
Interest and dividends receivable		8,817		8,746		8,014		7,882
Premises and equipment, net		28,187		28,805		29,486		30,858
Right-of-use assets		22,101		22,778		23,470		24,596
Bank owned life insurance		22,761		22,638		22,519		22,274
Other assets		12,616		14,253		16,280		16,322
Total assets	$	2,127,504	$	2,092,206	$	2,060,683	$	2,045,452

LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities
Deposits	$	1,416,321	$	1,387,241	$	1,343,320	$	1,311,156
Advances from the Federal Home Loan Bank		343,000		334,000		339,500		342,500
Advances by borrowers for taxes and insurance		10,079		9,743		9,356		9,875
Lease liabilities		23,820		24,490		25,168		26,243
Other liabilities		12,984		10,069		11,141		10,081
Total liabilities		1,806,204		1,765,543		1,728,485		1,699,855
Shareholders' equity		321,300		326,663		332,198		345,597
Total liabilities and shareholders' equity	$	2,127,504	$	2,092,206	$	2,060,683	$	2,045,452

BLUE FOUNDRY BANCORP AND SUBSIDIARY Consolidated Statements of Operations (Dollars in Thousands Except Per Share Data) (Unaudited)
	Three months ended									Six months ended
	June 30, 2025			March 31, 2025			June 30, 2024			June 30, 2025			June 30, 2024
	(Dollars in thousands)
Interest income:
Loans	$	19,763		$	18,892		$	17,570		$	38,655		$	34,762
Taxable investment income		3,639			3,785			3,686			7,424			7,300
Non-taxable investment income		36			36			36			72			72
Total interest income		23,438			22,713			21,292			46,151			42,134
Interest expense:
Deposits		8,968			9,026			9,132			17,994			17,545
Borrowed funds		2,830			2,943			2,587			5,773			5,599
Total interest expense		11,798			11,969			11,719			23,767			23,144
Net interest income		11,640			10,744			9,573			22,384			18,990
Provision for (release of) credit losses		463			201			(762	)		664			(1,297	)
Net interest income after provision for (release of) credit losses		11,177			10,543			10,335			21,720			20,287
Non-interest income:
Fees and service charges		289			243			296			532			625
Gain on sale of loans		—			—			—			—			36
Other income		116			151			240			267			326
Total non-interest income		405			394			536			799			987
Non-interest expense:
Compensation and employee benefits		7,820			7,838			7,635			15,658			15,184
Occupancy and equipment		2,209			2,303			2,262			4,512			4,454
Data processing		1,468			1,487			1,335			2,955			2,722
Advertising		140			67			52			207			124
Professional services		686			699			623			1,385			1,353
Federal deposit insurance		231			223			194			454			393
Other		985			1,012			1,114			1,997			2,227
Total non-interest expense		13,539			13,629			13,215			27,168			26,457
Loss before income tax expense		(1,957	)		(2,692	)		(2,344	)		(4,649	)		(5,183	)
Income tax expense		—			—			—			—			—
Net loss	$	(1,957	)	$	(2,692	)	$	(2,344	)	$	(4,649	)	$	(5,183	)
Basic loss per share	$	(0.10	)	$	(0.13	)	$	(0.11	)	$	(0.23	)	$	(0.24	)
Diluted loss per share	$	(0.10	)	$	(0.13	)	$	(0.11	)	$	(0.23	)	$	(0.24	)
Weighted average shares outstanding
Basic		19,843,710			20,404,941			21,735,002			20,122,623			21,914,811
Diluted ⁽¹⁾		19,843,710			20,404,941			21,735,002			20,122,623			21,914,811
(1) The assumed vesting of outstanding restricted stock units had an anti-dilutive effect on diluted earnings per share due to the Company's net loss for the 2025 and 2024 periods.

BLUE FOUNDRY BANCORP AND SUBSIDIARY Consolidated Financial Highlights (Dollars in Thousands Except Per Share Data) (Unaudited)
	Three months ended
	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
	(Dollars in thousands)
Performance Ratios (%):
Loss on average assets		(0.37	)		(0.53	)		(0.52	)		(0.79	)		(0.47	)
Loss on average equity		(2.42	)		(3.29	)		(3.17	)		(4.68	)		(2.71	)
Interest rate spread ⁽¹⁾		1.82			1.62			1.40			1.29			1.43
Net interest margin ⁽²⁾		2.28			2.16			1.89			1.82			1.96
Efficiency ratio ^{(3) (4)}		112.40			122.36			130.20			140.04			130.73
Average interest-earning assets to average interest-bearing liabilities		119.22			120.01			120.84			121.37			122.28
Tangible equity to tangible assets ⁽⁴⁾		15.10			15.61			16.11			16.50			16.88
Book value per share ⁽⁵⁾	$	14.88		$	14.82		$	14.75		$	14.76		$	14.70
Tangible book value per share ^{(4) (5)}	$	14.87		$	14.81		$	14.74		$	14.74		$	14.69

Asset Quality:
Non-performing loans	$	6,281		$	5,723		$	5,104		$	5,146		$	6,208
Real estate owned, net		—			—			—			—			—
Non-performing assets	$	6,281		$	5,723		$	5,104		$	5,146		$	6,208
Allowance for credit losses to total loans (%)		0.80			0.81			0.83			0.84			0.84
Allowance for credit losses to non-performing loans (%)		211.81			229.81			254.02			252.86			209.84
Non-performing loans to total loans (%)		0.38			0.35			0.33			0.33			0.40
Non-performing assets to total assets (%)		0.30			0.27			0.25			0.25			0.30
Net charge-offs to average outstanding loans during the period (%)		—			—			—			—			—
(1) Interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities. (2) Net interest margin represents net interest income divided by average interest-earning assets. (3) Efficiency ratio represents adjusted non-interest expense divided by the sum of net interest income plus non-interest income. (4) See the "Supplemental Information - Non-GAAP Financial Measures" tables below for additional information regarding our non-GAAP measures. (5) June 30, 2025 per share metrics computed using 21,591,757 total shares outstanding.

BLUE FOUNDRY BANCORP AND SUBSIDIARY Analysis of Net Interest Income (Dollars in Thousands) (Unaudited)
	Three Months Ended,
	June 30, 2025						March 31, 2025						June 30, 2024
	Average Balance		Interest		Average Yield/Cost		Average Balance		Interest		Average Yield/Cost		Average Balance		Interest		Average Yield/Cost
	(Dollars in thousands)
Assets:
Loans ⁽¹⁾	$	1,647,763	$	19,763	4.80	%	$	1,601,262	$	18,892	4.72	%	$	1,550,736	$	17,570	4.56	%
Mortgage-backed securities		184,572		1,274	2.76	%		189,820		1,323	2.79	%		167,219		960	2.31	%
Other investment securities		153,985		1,638	4.26	%		163,590		1,689	4.13	%		175,394		1,688	3.87	%
FHLB stock		17,490		349	7.98	%		17,680		399	9.02	%		17,223		447	10.44	%
Cash and cash equivalents		41,998		414	3.95	%		43,195		410	3.80	%		51,290		627	4.92	%
Total interest-earning assets		2,045,808		23,438	4.58	%		2,015,547		22,713	4.51	%		1,961,862		21,292	4.37	%
Non-interest earning assets		61,060						61,518						56,826
Total assets	$	2,106,868					$	2,077,065					$	2,018,688
Liabilities and shareholders' equity:
NOW, savings, and money market deposits	$	642,063		2,244	1.40	%	$	619,234		2,031	1.33	%	$	611,931		1,955	1.28	%
Time deposits		731,003		6,724	3.69	%		712,796		6,995	3.98	%		655,755		7,177	4.40	%
Interest-bearing deposits		1,373,066		8,968	2.62	%		1,332,030		9,026	2.75	%		1,267,686		9,132	2.90	%
FHLB advances		342,945		2,830	3.30	%		347,394		2,943	3.39	%		336,742		2,587	3.09	%
Total interest-bearing liabilities		1,716,011		11,798	2.76	%		1,679,424		11,969	2.89	%		1,604,428		11,719	2.94	%
Non-interest bearing deposits		24,885						25,411						25,076
Non-interest bearing other		41,824						40,679						41,061
Total liabilities		1,782,720						1,745,514						1,670,565
Total shareholders' equity		324,148						331,551						348,123
Total liabilities and shareholders' equity	$	2,106,868					$	2,077,065					$	2,018,688
Net interest income			$	11,640					$	10,744					$	9,573
Net interest rate spread ⁽²⁾					1.82	%					1.62	%					1.43	%
Net interest margin ⁽³⁾					2.28	%					2.16	%					1.96	%
(1) Average loan balances are net of deferred loan fees and costs, premiums and discounts and include non-accrual loans. (2) Net interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities. (3) Net interest margin represents net interest income divided by average interest-earning assets.

BLUE FOUNDRY BANCORP AND SUBSIDIARY Analysis of Net Interest Income (Dollars in Thousands) (Unaudited)
	Six Months Ended June 30,
		2025						2024
	Average Balance		Interest		Average Yield/Cost		Average Balance		Interest		Average Yield/Cost
	(Dollars in thousands)
Assets:
Loans ⁽¹⁾	$	1,624,641	$	38,655	4.76	%	$	1,553,135	$	34,762	4.49	%
Mortgage-backed securities		187,182		2,597	2.78	%		163,784		1,836	2.25	%
Other investment securities		158,761		3,327	4.19	%		179,555		3,340	3.73	%
FHLB stock		17,584		748	8.50	%		18,673		939	10.08	%
Cash and cash equivalents		42,593		824	3.87	%		51,426		1,257	4.90	%
Total interest-earning assets		2,030,761		46,151	4.55	%		1,966,573		42,134	4.30	%
Non-interest earning assets		61,288						58,108
Total assets	$	2,092,049					$	2,024,681
Liabilities and shareholders' equity:
NOW, savings, and money market deposits	$	630,711	$	4,275	1.37	%	$	614,049	$	3,891	1.27	%
Time deposits		721,950		13,719	3.83	%		637,488		13,654	4.30	%
Interest-bearing deposits		1,352,661		17,994	2.68	%		1,251,537		17,545	2.81	%
FHLB advances		345,158		5,773	3.35	%		355,308		5,599	3.16	%
Total interest-bearing liabilities		1,697,819		23,767	2.82	%		1,606,845		23,144	2.89	%
Non-interest bearing deposits		25,147						25,786
Non-interest bearing other		41,254						41,314
Total liabilities		1,764,220						1,673,945
Total shareholders' equity		327,829						350,736
Total liabilities and shareholders' equity	$	2,092,049					$	2,024,681
Net interest income			$	22,384					$	18,990
Net interest rate spread ⁽²⁾					1.72	%					1.41	%
Net interest margin ⁽³⁾					2.22	%					1.94	%
(1) Average loan balances are net of deferred loan fees and costs, premiums and discounts and include non-accrual loans. (2) Net interest rate spread represents the difference between the yield on interest-earning assets and the cost of interest-bearing liabilities. (3) Net interest margin represents net interest income divided by average interest-earning assets.

BLUE FOUNDRY BANCORP AND SUBSIDIARY Supplemental Information - Non-GAAP Financial Measures (Unaudited)
This press release contains certain supplemental financial information, described in the table below, which has been determined by methods other than U.S. Generally Accepted Accounting Principles ("GAAP") that management uses in its analysis of Blue Foundry's performance. Management believes these non-GAAP financial measures provide information useful to investors in understanding Blue Foundry's financial results. These non-GAAP measures should not be considered a substitute for GAAP basis measures and results and Blue Foundry strongly encourages investors to review its consolidated financial statements in their entirety and not to rely on any single financial measure. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names. Net income, as presented in the Consolidated Statements of Operations, includes the provision for credit losses and income tax expense, while pre-provision net revenue does not.
	Three months ended
	June 30, 2025			March 31, 2025			December 31, 2024			September 30, 2024			June 30, 2024
	(Dollars in thousands, except per share data)
Pre-provision net revenue and efficiency ratio:
Net interest income	$	11,640		$	10,744		$	9,473		$	9,087		$	9,573
Other income		405			394			420			387			536
Total revenue		12,045			11,138			9,893			9,474			10,109
Operating expenses		13,539			13,629			12,881			13,267			13,215
Pre-provision net loss	$	(1,494	)	$	(2,491	)	$	(2,988	)	$	(3,793	)	$	(3,106	)
Efficiency ratio		112.4	%		122.4	%		130.2	%		140.0	%		130.7	%

Core deposits:
Total deposits	$	1,416,321		$	1,387,241		$	1,343,320		$	1,318,670		$	1,311,156
Less: time deposits		730,778			726,908			707,339			701,262			671,478
Core deposits	$	685,543		$	660,333		$	635,981		$	617,408		$	639,678
Core deposits to total deposits		48.4	%		47.6	%		47.3	%		46.8	%		48.8	%

Total assets	$	2,127,504		$	2,092,206		$	2,060,683		$	2,055,093		$	2,045,452
Less: intangible assets		134			189			244			300			386
Tangible assets	$	2,127,370		$	2,092,017		$	2,060,439		$	2,054,793		$	2,045,066

Tangible equity:
Shareholders' equity	$	321,300		$	326,663		$	332,198		$	339,299		$	345,597
Less: intangible assets		134			189			244			300			386
Tangible equity	$	321,166		$	326,474		$	331,954		$	338,999		$	345,211

Tangible equity to tangible assets		15.10	%		15.61	%		16.11	%		16.50	%		16.88	%

Tangible book value per share:
Tangible equity	$	321,166		$	326,474		$	331,954		$	338,999		$	345,211
Shares outstanding		21,591,757			22,047,649			22,522,626			22,990,908			23,505,357
Tangible book value per share	$	14.87		$	14.81		$	14.74		$	14.74			14.69

Blue Foundry Bancorp Reports Second Quarter 2025 Results