Peapack-Gladstone Financial Corporation (PGC) SEC Filings & Earnings Calls

CRE concentration risk

“Total CRE concentration increased to 403 percent of the Bank's total regulatory capital at June 30, 2026 from 367 percent at December 31, 2025.” · word for word

Multifamily loan stress

“Multifamily loans represented approximately 63 percent of nonperforming assets as of June 30, 2026.” · word for word

Provision increase

“The provision for credit losses was $8.1 million and $6.6 million for the second quarters of 2026 and 2025, respectively.” · word for word

Operating expenses continue to grow, albeit at a slower pace; expense base may still be elevated relative to historical levels

“Operating expenses increased to $55.7 million from $51.9 million in prior year quarter”

Operating expenses increasing, though at a moderate pace.

“Operating expenses increased to $55.4 million from $53.5 million”

Dilution risk: conversion of preferred stock into common shares at $38.00 per share; potential dilution for existing shareholders.

“Each share of the Preferred Stock may be converted...into shares of the Company's common stock equal to the $1,000 Liquidation Preference divided by $38.00, or 26.3157 shares of common stock.” · word for word

Commitment obligation: company must pay $200,000 fee in installments; cannot sell preferred stock to others during commitment period.

“the Company will deliver to the Purchasers a total fee of $200,000 in four equal installments” · word for word

New York expansion execution risk

“While the expansion resulted in an increase in operating expenses during 2025 and a short-term negative impact on certain profitability metrics, including earnings per share (“EPS”) and total shareholder return (“TSR”), the Committee viewed these expansion investments within the context of the Company’s long-term strategic objectives.” · word for word

Performance share vesting risk due to expansion costs

“EPS Growth and TSR relative to peers were negatively affected by the expenses/investments related to the New York Expansion and Leadership Expansion.” · word for word

Key person retention risk

“The Committee felt it was important, and in the best interests of the Company and shareholders, to strive to retain these two key executives for at least a three-year period while the Company is in the midst of its strategic New York Expansion” · word for word

High CRE concentration risk

“At December 31, 2025 and 2024, the Bank had a concentration in commercial real estate loans as defined by applicable regulatory guidance. Total CRE concentration 367 %” · word for word

Geographic concentration in New Jersey and New York

“the majority of the Company’s loans are secured by real estate in New Jersey and the boroughs of New York City. Accordingly, the collectability of a substantial portion of the Company’s loan portfolio is susceptible to changes in local market conditions, rent control regulations and any adverse economic conditions.” · word for word

Increased provision and charge-offs

“Provision for credit losses 23,518 7,500 14,091 16,018 (6,591 ) Net charge-offs to average loans plus other real estate owned 0.44 0.01 0.17 0.43 (0.16 )” · word for word

Interest rate risk from floating-rate loans

“As of December 31, 2025, 30 percent of all loans will reprice within one month, 35 percent within three months and 51 percent within one year.” · word for word

Redemption reduces leverage but also reduces regulatory capital; company states it remains well capitalized.

“The Company will remain well capitalized following the redemption.” · word for word

No material risk identified; retention agreements are routine.

“No negative commentary; standard retention instruments.”

Provision for credit losses increased significantly, reflecting potential credit quality concerns.

“Provision for credit losses increased 214% YoY to $23.5 million for the full year.”

Spike in charge-offs

“Charge-offs totaled $18.0 million during the third quarter of 2025 compared to charge-offs of $47,000 during the third quarter of 2024.” · word for word

Elevated nonperforming loans

“Nonaccrual loans 84,142 at September 30, 2025.”

Rising operating expenses

“Operating expenses for the quarter ended September 30, 2025 and 2024 totaled $52.3 million and $44.6 million, respectively, reflecting an increase of $7.6 million, or 17 percent.” · word for word