Ponce Financial Group Inc (NASDAQ: PDLB) is a community banking holding company that operates Ponce Bank, a federally chartered savings bank serving customers in the New York metro area and beyond. The company makes money on the spread between interest earned on loans and securities and interest paid on deposits and borrowings, with net interest income of $99.8 million in FY2025 against $76.5 million in FY2024. Non-interest income, which includes fees and other banking revenue, contributed $9.4 million in FY2025. Total interest and dividend income reached $185.5 million in FY2025, up 14.1% from $162.6 million in FY2024. Ponce Bank operates as both a Community Development Financial Institution (CDFI) and a Minority Depository Institution (MDI), with a focus on Hispanic communities. The bank carries a net loan portfolio of approximately $2.3 billion as of December 31, 2024, and funds lending partly through advances from the Federal Home Loan Bank of New York and borrowings from the Federal Reserve Bank of New York.

Revenue model

Net interest income from the spread between loan and securities yields and deposit and borrowing costs. Fee-based non-interest income supplements spread income. FY2025 net interest income: $99.8 million; non-interest income: $9.4 million.

Products and services

Residential and commercial real estate loans, construction loans with conditional conversion to permanent mortgages, deposit accounts (checking, savings, time deposits), and commercial lending. Construction loan underwriting incorporates debt service coverage minimums of at least 1.2x stabilized rental net income.

Customers and end markets

Individual depositors, real estate developers, and business customers, with a focus on the Hispanic community in the New York metro area and, as of June 2024, South Florida. Customers include those with businesses in Florida or seasonal Florida residents.

Value-chain role

Retail and community bank originating and holding loans on balance sheet, funded by core deposits and non-core wholesale borrowings from FHLBNY and FRBNY. Operates branch network as community hubs, including a redesigned Westchester Avenue Branch reopened February 27, 2025, and a representative office in Coral Gables, Florida opened June 1, 2024.

Geographic exposure

Primary operations in the New York metropolitan area. Representative office in Coral Gables, Florida as of June 1, 2024, serving customers with Florida business ties and the South Florida Hispanic community.

Source: SEC 10-K, filed 2026-03-13

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