Flushing Financial 1Q25 Earnings Press Release;

Exhibit 99.1

0	● ●
	John R. Buran, President and CEO Commentary
Flushing Financial Corporation Reports 1Q25 Results; Net Interest Income and Margin Expand While Goodwill Impairment Causes Loss
"In a quarter marked by shifting economic conditions, Flushing Financial Corporation has demonstrated strategic progress amidst ongoing challenges. While navigating an inverted yield curve and increased economic uncertainty, we achieved important improvements in our core operations. Our GAAP and Core Net Interest Margins expanded by 12 and 24 basis points QoQ, respectively, reflecting our proactive approach to challenging market conditions. Although we recorded a non-cash goodwill impairment charge of $17.6 million in the recent quarter, this accounting adjustment has no impact on our regulatory capital ratios or liquidity position. Our liquidity remains strong with $4.0 billion in undrawn lines and resources, and our TCE/TA¹ ratio stands at a solid 7.79% as of March 31, 2025. While asset quality metrics showed some softening, our strong underwriting discipline, low loan-to-value ratios, and high debt service coverage ratios position us to effectively manage credit risk going forward. As we move through 2025, we remain focused on our strategic priorities: improving profitability, maintaining credit discipline, and preserving strong liquidity and capital – foundations that will enable us to navigate the current economic environment while continuing to build long-term value for our shareholders, customers, and communities." - John R. Buran, President and CEO
UNIONDALE, N.Y., April 29, 2025 – NIM Expansion and Average Deposit Growth. The Company reported first quarter 2025 GAAP Loss Per Share of $(0.29) and Core EPS of $0.23. The primary difference between GAAP and Core earnings was the goodwill impairment charge. Significantly, NIM expanded 12 bps on a GAAP basis QoQ to 2.51% and 24 bps on a Core basis to 2.49%. The NIM expansion was driven by the cost of funds declining 22 bps to 3.13%, partially offset by a 9 bps decline in the yield on interest earning assets to 5.51%. Average loans decreased 1.9% YoY and 1.6% QoQ, due to pricing and quality standards. Average deposits increased 6.8% YoY and 1.5% QoQ. Period end noninterest bearing deposits increased 5.9% YoY and 3.2% QoQ. Credit Metrics Remain Manageable and Capital Stable QoQ. NPAs to assets were 71 bps compared to 57 bps the prior quarter. The increase primarily related to one previously identified multifamily relationship. Criticized and classified loans totaled 133 bps of gross loans compared to 107 bps in the prior quarter. The increase primarily relates to one office credit, which lost its primary tenant. Net charge-offs to average loans were 27 bps in 1Q25 compared to 28 bps in 4Q24 and primarily related to three commercial business relationships, which had reserves previously allocated. TCE/TA was 7.79% at March 31, 2025, compared to 7.82% at December 31, 2024.

Key Financial Metrics²


	1Q25	4Q24	3Q24	2Q24	1Q24
GAAP:
(Loss) Earnings per Share	($0.29)	($1.64)	$0.30	$0.18	$0.12
ROAA (%)	(0.43)	(2.17)	0.39	0.24	0.17
ROAE (%)	(5.36)	(29.24)	5.30	3.19	2.20
NIM FTE³ (%)	2.51	2.39	2.10	2.05	2.06
Core:
EPS	$0.23	$0.14	$0.26	$0.18	$0.14
ROAA (%)	0.35	0.19	0.34	0.25	0.20
ROAE (%)	4.34	2.54	4.59	3.27	2.58
Core NIM FTE (%)	2.49	2.25	2.07	2.03	2.06
Credit Quality:
NPAs/Loans & OREO (%)	0.95	0.76	0.81	0.82	0.68
ACLs/Loans (%)	0.59	0.60	0.59	0.61	0.60
ACLs/NPLs (%)	86.54	120.51	117.75	120.58	164.13
NCOs/Avg Loans (%)	0.27	0.28	0.18	(0.01)	-
Balance Sheet:
Avg Loans ($B)	$6.7	$6.8	$6.7	$6.7	$6.8
Avg Dep ($B)	$7.6	$7.4	$7.5	$7.2	$7.1
Book Value/Share	$20.81	$21.53	$22.94	$22.89	$23.04
Tangible BV/Share	$20.78	$20.97	$22.29	$22.24	$22.39
TCE/TA (%)	7.79	7.82	7.00	7.12	7.40

Note: In certain circumstances, reclassifications have been made to prior periods to conform to the current presentation.

¹ Tangible Common Equity (“TCE”)/Total Assets (“TA”). ² See “Reconciliation of GAAP (Loss) Earnings and Core Earnings”, “Reconciliation of GAAP Revenue and Pre-Provision Pre-Tax Net Revenue”, and “Reconciliation of GAAP Net Interest Margin to Core Net Interest Income and Net Interest Margin.” ³ Net Interest Margin (“NIM”) Fully Taxable Equivalent (“FTE”).

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌1

Income Statement Highlights


						YoY		QoQ
($000s, except EPS)	1Q25	4Q24	3Q24	2Q24	1Q24	Change		Change

Net Interest Income	$52,989	$51,235	$45,603	$42,776	$42,397	25.0	%	3.4	%
Provision for Credit Losses	4,318	6,440	1,727	809	592	629.4		(33.0)
Noninterest Income (Loss)	5,074	(71,022)	6,277	4,216	3,084	64.5		(107.1)
Noninterest Expense	59,676	45,630	38,696	39,047	39,892	49.6		30.8
(Loss) Income Before Income Taxes	(5,931)	(71,857)	11,457	7,136	4,997	(218.7)		(91.7)
Provision (Benefit) for Income Taxes	3,865	(22,612)	2,551	1,814	1,313	194.4		(117.1)
Net (Loss) Income	($9,796)	($49,245)	$8,906	$5,322	$3,684	(365.9)		(80.1)
Diluted (Loss) Earnings per Common Share	($0.29)	($1.64)	$0.30	$0.18	$0.12	(341.7)		(82.3)

Core Net Income¹	$7,931	$4,209	$7,723	$5,456	$4,312	83.9		88.4
Core EPS¹	$0.23	$0.14	$0.26	$0.18	$0.14	64.3		64.3

¹ See Reconciliation of GAAP (Loss) Earnings and Core Earnings

Net interest income increased YoY and QoQ.

●

Net Interest Margin FTE of 2.51% increased 45 bps YoY and 12 bps QoQ; The cost of funds declined 22 bps QoQ partially offset by a 9 bp decrease in the yield on interest earning assets

●

Prepayment penalty income, swap termination fees, net reversals and recoveries of interest from nonaccrual and delinquent loans, net gains and losses from fair value adjustments on hedges, and purchase accounting accretion totaled $0.6 million (3 bps to NIM) in 1Q25 compared to $3.8 million (17 bps to NIM) in 4Q24, $2.4 million (11 bps to NIM) in 3Q24, $0.7 million (3 bps to NIM) in 2Q24, and $1.0 million (5 bps to NIM) in 1Q24

●

Excluding the items in the previous bullet, the net interest margin was 2.48% in 1Q25 compared to 2.22% in 4Q24, 1.99% in 3Q24, 2.02% in 2Q24, and 2.01% in 1Q24

The provision for credit losses increased YoY but declined QoQ.

●

Net charge-offs (recoveries) were $4.4 million (27 bps of average loans) in 1Q25 compared to $4.7 million (28 bps of average loans) in 4Q24, $3.0 million (18 bps of average loans) in 3Q24, $(92,000) ((1) bp of average loans) in 2Q24, and $4,000 (less than 1 bp of average loans) in 1Q24; Net charge-offs in 1Q25 were primarily related to three commercial business relationships, which had reserves previously allocated

Noninterest income increased YoY and QoQ.

●

Back-to-back swap loan closings of $18.0 million in 1Q25 (compared to $15.3 million in 1Q24 and $58.5 million in 4Q24) generated $0.3 million of noninterest income (compared to $0.2 million in 1Q24 and $0.9 million in 4Q24)

●

Net gains (losses) from fair value adjustments were $(0.2) million (less than $0.01 per share, net of tax) in 1Q25, $(1.1) million ($(0.03) per share, net of tax) in 4Q24, $1.0 million ($0.03 per share, net of tax) in 3Q24, $0.1 million (less than $0.01 per share, net of tax) in 2Q24, and $(0.8) million ($(0.02) per share, net of tax) in 1Q24

●

There were no gains on life insurance proceeds in 1Q25 compared to $0.3 million (about $0.01 per share) in 4Q24 and $1,000 (less than $0.01 per share) in 3Q24

●

The Company sold $36.8 million of loans held for sale during 1Q25 and incurred an additional interest rate mark of $0.2 million due to the change in the loan pool from December 31, 2024; the 4Q24 balance sheet restructuring incurred a pre-tax loss of $76.4 million from the sale of investment securities and the transfer of loans to held for sale

●

Absent the items in the previous three bullets and other immaterial adjustments, core noninterest income was $5.4 million in 1Q25, up 38.3% YoY but down 9.4% QoQ

Noninterest expense increased YoY and QoQ.

●

Seasonal compensational expense was $1.6 million both in 1Q25 and 1Q24; 1Q25 seasonal compensational expenses were largely offset by expense reductions and other adjustments that are not expected to recur in 2Q25

●

The Company recorded a non-recurring, non-cash goodwill impairment charge of approximately $17.6 million ($0.51 per share) in 1Q25 and a $2.6 million non-recurring pre-payment penalty from the prepayment of FHLB advances ($0.06 per share, net of tax) in 4Q24

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌3

●

Excluding the effects of the prior bullet and other immaterial adjustments, core noninterest expenses were $42.0 million in 1Q25, up 5.4% YoY but down 1.9% QoQ

Provision (benefit) for income taxes was $3.9 million in 1Q25 compared to $1.3 million in 1Q24 and $(22.6) million in 4Q24.

●

The effective tax rate was (65.2)% in 1Q25, 31.5% in 4Q24, 22.3% in 3Q24, 25.4% in 2Q24, and 26.3% in 1Q24

●

The effective tax rate in 1Q25 was primarily related to the non-tax deductible goodwill impairment; 4Q24 was impacted by the increased benefit of permanent differences relative to pre-tax income (loss); 3Q24 includes approximately $0.5 million of discrete tax benefits

Balance Sheet, Credit Quality, and Capital Highlights


						YoY		QoQ
	1Q25	4Q24	3Q24	2Q24	1Q24	Change		Change
Averages ($MM)
Loans	$6,672	$6,780	$6,737	$6,748	$6,804	(1.9)	%	(1.6)	%
Total Deposits	7,561	7,450	7,464	7,196	7,081	6.8		1.5

Credit Quality ($000s)
Nonperforming Loans	$46,263	$33,318	$34,261	$34,540	$24,829	86.3	%	38.9	%
Nonperforming Assets	64,263	51,318	54,888	55,832	46,254	38.9		25.2
Criticized and Classified Loans	89,673	72,207	68,338	76,485	59,021	51.9		24.2
Criticized and Classified Assets	107,673	90,207	88,965	97,777	80,446	33.8		19.4
Allowance for Credit Losses/Loans (%)	0.59	0.60	0.59	0.61	0.60	(1)	bp	(1)	bp

Capital
Book Value/Share	$20.81	$21.53	$22.94	$22.89	$23.04	(9.7)	%	(3.3)	%
Tangible Book Value/Share	20.78	20.97	22.29	22.24	22.39	(7.2)		(0.9)
Tang. Common Equity/Tang. Assets (%)	7.79	7.82	7.00	7.12	7.40	39	bps	(3)	bps
Leverage Ratio (%)	8.12	8.04	7.91	8.18	8.32	(20)		8

Average loans decreased YoY and QoQ.

●

Period end net loans totaled $6.7 billion, down 1.2% YoY and 0.1% QoQ

●

Total loan closings were $174.1 million in 1Q25, $225.2 million in 4Q24, $217.1 million in 3Q24, $126.0 million in 2Q24, and $130.0 million in 1Q24; the loan pipeline was $211.4 million at March 31, 2025, up 21.5% YoY and 6.3% QoQ

●

The diversified loan portfolio is approximately 90% collateralized by real estate with an average loan-to-value ratio of <35%

Average total deposits increased YoY and QoQ.

●

Average noninterest bearing deposits increased 2.5% YoY, but decreased 1.7% QoQ and comprised 11.3% of average total deposits in 1Q25 compared to 11.8% a year ago

●

Average CDs totaled $2.6 billion, up 7.9% YoY, but down 3.2% QoQ; approximately $601.9 million of retail CDs are due to mature at an average rate of 4.16% in 2Q25

Credit Quality: Nonperforming loans increased YoY and QoQ.

●

Nonperforming loans were 69 bps of loans in 1Q25 compared to 36 bps in 1Q24 and 49 bps in 4Q24; the NPL increase in 1Q25 primarily relates to a multifamily lending relationship

●

Criticized and classified loans were 133 bps of gross loans at 1Q25 compared to 107 bps at 4Q24, 100 bps at 3Q24, 113 bps at 2Q24, and 87 bps at 1Q24; the increase in 1Q25 primarily related to one office credit which lost its primary tenant

Capital: Book value per common share and tangible book value per common share, a non-GAAP measure, decreased 9.7% and 7.2% YoY to $20.81 and $20.78, respectively.

●

The Company paid a dividend of $0.22 per share in 1Q25; 807,964 shares remaining subject to repurchase under the authorized stock repurchase program, which has no expiration date or maximum dollar limit

●

Tangible common equity to tangible assets was 7.79% at March 31, 2025, compared to 7.40% at March 31, 2024, and 7.82% at December 31, 2024

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌4

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

FINANCIAL HIGHLIGHTS

(Unaudited)


	At or for the three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands, except per share data)	2025			2024			2024			2024			2024
Performance Ratios ⁽¹⁾
Return on average assets		(0.43)	%		(2.17)	%		0.39	%		0.24	%		0.17	%
Return on average equity		(5.36)			(29.24)			5.30			3.19			2.20
Yield on average interest-earning assets ⁽²⁾		5.51			5.60			5.63			5.43			5.32
Cost of average interest-bearing liabilities		3.50			3.75			4.10			3.95			3.83
Cost of funds		3.13			3.35			3.69			3.54			3.42
Net interest rate spread during period⁽²⁾		2.01			1.85			1.53			1.48			1.49
Net interest margin ⁽²⁾		2.51			2.39			2.10			2.05			2.06
Noninterest expense to average assets		2.65			2.01			1.68			1.77			1.83
Efficiency ratio ⁽³⁾		72.21			79.01			77.20			82.57			86.07
Average interest-earning assets to average interest-bearing liabilities		1.17	X		1.17	X		1.16	X		1.17	X		1.17	X

Average Balances
Total loans, net	$	6,671,922		$	6,780,268		$	6,737,261		$	6,748,140		$	6,804,117
Total interest-earning assets		8,468,913			8,587,482			8,709,671			8,354,994			8,235,160
Total assets		9,015,880			9,071,879			9,203,884			8,830,665			8,707,505
Total deposits		7,560,956			7,449,504			7,463,783			7,195,940			7,081,498
Total interest-bearing liabilities		7,261,100			7,339,707			7,504,517			7,140,068			7,014,927
Stockholders' equity		731,592			673,588			672,762			667,557			669,185

Per Share Data
Book value per common share ⁽⁴⁾	$	20.81		$	21.53		$	22.94		$	22.89		$	23.04
Tangible book value per common share ⁽⁵⁾	$	20.78		$	20.97		$	22.29		$	22.24		$	22.39

Stockholders' Equity
Stockholders' equity	$	702,851		$	724,539		$	666,891		$	665,322		$	669,827
Tangible stockholders' equity		701,822			705,780			648,035			646,364			650,763

Consolidated Regulatory Capital Ratios
Tier 1 capital	$	730,950		$	731,958		$	735,984		$	733,308		$	734,192
Common equity Tier 1 capital		683,670			685,004			689,902			686,630			687,458
Total risk-based capital		961,704			962,272			967,242			965,819			965,796
Risk Weighted Assets		6,719,291			6,762,048			6,790,253			6,718,568			6,664,496

Tier 1 leverage capital (well capitalized = 5%)		8.12	%		8.04	%		7.91	%		8.18	%		8.32	%
Common equity Tier 1 risk-based capital (well capitalized = 6.5%)		10.17			10.13			10.16			10.22			10.32
Tier 1 risk-based capital (well capitalized = 8.0%)		10.88			10.82			10.84			10.91			11.02
Total risk-based capital (well capitalized = 10.0%)		14.31			14.23			14.24			14.38			14.49

Capital Ratios
Average equity to average assets		8.11	%		7.43	%		7.31	%		7.56	%		7.69	%
Equity to total assets		7.80			8.02			7.19			7.31			7.61
Tangible common equity to tangible assets ⁽⁶⁾		7.79			7.82			7.00			7.12			7.40

Asset Quality
Nonaccrual loans	$	46,263		$	33,318		$	34,261		$	34,540		$	24,829
Nonperforming loans		46,263			33,318			34,261			34,540			24,829
Nonperforming assets		64,263			51,318			54,888			55,832			46,254
Net charge-offs (recoveries)		4,427			4,736			3,036			(92)			4

Asset Quality Ratios
Nonperforming loans to gross loans		0.69	%		0.49	%		0.50	%		0.51	%		0.36	%
Nonperforming assets to total assets		0.71			0.57			0.59			0.61			0.53
Allowance for credit losses to gross loans		0.59			0.60			0.59			0.61			0.60
Allowance for credit losses to nonperforming assets		62.30			78.24			73.50			74.60			88.10
Allowance for credit losses to nonperforming loans		86.54			120.51			117.75			120.58			164.13
Net charge-offs (recoveries) to average loans		0.27			0.28			0.18			(0.01)			—

Full-service customer facilities		28			28			28			27			27

⁽¹⁾

Ratios are presented on an annualized basis, where appropriate.

⁽²⁾

Yields are calculated on the tax equivalent basis using the statutory federal income tax rate of 21% for the periods presented.

⁽³⁾

Efficiency ratio, a non-GAAP measure, was calculated by dividing core noninterest expense (excluding OREO expense and the net gain/loss from the sale of OREO) by the total of core net interest income and core noninterest income.

⁽⁴⁾

Calculated by dividing stockholders’ equity by shares outstanding.

⁽⁵⁾

Calculated by dividing tangible stockholders’ common equity, a non-GAAP measure, by shares outstanding. Tangible stockholders’ common equity is stockholders’ equity less intangible assets. See “Calculation of Tangible Stockholders’ Common Equity to Tangible Assets”.

⁽⁶⁾

See “Calculation of Tangible Stockholders’ Common Equity to Tangible Assets”.

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌6

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

CONSOLIDATED STATEMENTS OF (LOSS) INCOME

(Unaudited)


	For the three months ended
	March 31,		December 31,		September 30,		June 30,		March 31,
(In thousands, except per share data)	2025		2024		2024		2024		2024
Interest and Dividend Income
Interest and fees on loans	$	93,032	$	94,111	$	95,780	$	92,728	$	92,959
Interest and dividends on securities:
Interest		21,413		24,111		24,215		18,209		12,541
Dividends		28		31		33		33		33
Other interest income		2,063		1,787		2,565		2,260		3,966
Total interest and dividend income		116,536		120,040		122,593		113,230		109,499
Interest Expense
Deposits		57,174		59,728		66,150		60,893		57,865
Other interest expense		6,373		9,077		10,840		9,561		9,237
Total interest expense		63,547		68,805		76,990		70,454		67,102
Net Interest Income		52,989		51,235		45,603		42,776		42,397
Provision for credit losses		4,318		6,440		1,727		809		592
Net Interest Income After Provision for Credit Losses		48,671		44,795		43,876		41,967		41,805
Noninterest Income (Loss)
Banking services fee income		1,521		2,180		1,790		1,583		1,394
Net loss on sale of securities		—		(72,315)		—		—		—
Net gain (loss) on sale of loans		630		(3,836)		137		26		110
Net gain (loss) from fair value adjustments		(152)		(1,136)		974		57		(834)
Federal Home Loan Bank of New York stock dividends		697		754		624		669		743
Life insurance proceeds		—		284		1		—		—
Bank owned life insurance		1,574		2,322		1,260		1,223		1,200
Other income		804		725		1,491		658		471
Total noninterest income (loss)		5,074		(71,022)		6,277		4,216		3,084
Noninterest Expense
Salaries and employee benefits		22,896		25,346		22,216		21,723		22,113
Occupancy and equipment		4,092		3,880		3,745		3,713		3,779
Professional services		2,885		2,516		2,752		2,786		2,792
FDIC deposit insurance		1,709		2,005		1,318		1,322		1,652
Data processing		1,868		1,697		1,681		1,785		1,727
Depreciation and amortization		1,373		1,412		1,436		1,425		1,457
Other real estate owned/foreclosure expense		345		276		135		125		145
Gain on sale of other real estate owned		—		—		(174)		—		—
Prepayment penalty on borrowings		—		2,572		—		—		—
Impairment of goodwill		17,636		—		—		—		—
Other operating expenses		6,872		5,926		5,587		6,168		6,227
Total noninterest expense		59,676		45,630		38,696		39,047		39,892
(Loss) Income Before Provision (Benefit) for Income Taxes		(5,931)		(71,857)		11,457		7,136		4,997

Provision (Benefit) for income taxes		3,865		(22,612)		2,551		1,814		1,313
Net (Loss) Income	$	(9,796)	$	(49,245)	$	8,906	$	5,322	$	3,684
Dividends paid and earnings allocated to participating securities		(132)		(90)		(126)		(99)		(104)
(Loss) Income attributable to common stock	$	(9,928)	$	(49,335)	$	8,780	$	5,223	$	3,580
Divided by:
Weighted average common shares outstanding and participating securities		34,474		30,519		29,742		29,789		29,742
Weighted average participating securities		(542)		(414)		(423)		(458)		(446)
Total weighted average common shares outstanding		33,932		30,105		29,319		29,331		29,296

Basic (loss) earnings per common share	$	(0.29)	$	(1.64)	$	0.30	$	0.18	$	0.12
Diluted (loss) earnings per common share ⁽¹⁾	$	(0.29)	$	(1.64)	$	0.30	$	0.18	$	0.12
Dividends per common share	$	0.22	$	0.22	$	0.22	$	0.22	$	0.22

⁽¹⁾

There were no common stock equivalents outstanding during the periods presented.

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌7

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION

(Unaudited)


	March 31,		December 31,		September 30,		June 30,		March 31,
(Dollars in thousands)	2025		2024		2024		2024		2024
ASSETS
Cash and due from banks	$	271,912	$	152,574	$	267,643	$	156,913	$	210,723
Securities held-to-maturity:
Mortgage-backed securities		7,831		7,836		7,841		7,846		7,850
Other securities, net		43,319		43,649		63,859		64,166		64,612
Securities available for sale:
Mortgage-backed securities		879,566		911,636		926,731		869,494		509,527
Other securities		570,578		586,269		687,518		679,117		667,156
Loans held for sale		29,624		70,098		—		—		—
Loans		6,741,835		6,745,848		6,818,328		6,777,026		6,821,943
Allowance for credit losses		(40,037)		(40,152)		(40,342)		(41,648)		(40,752)
Net loans		6,701,798		6,705,696		6,777,986		6,735,378		6,781,191
Interest and dividends receivable		61,510		62,036		64,369		62,752		61,449
Bank premises and equipment, net		18,181		17,852		18,544		19,426		20,102
Federal Home Loan Bank of New York stock		18,475		38,096		32,745		46,331		24,845
Bank owned life insurance		219,748		218,174		217,200		215,940		214,718
Goodwill		—		17,636		17,636		17,636		17,636
Core deposit intangibles		1,029		1,123		1,220		1,322		1,428
Right of use asset		43,870		45,800		44,787		46,636		37,631
Other assets		140,955		160,497		152,807		174,283		188,457
Total assets	$	9,008,396	$	9,038,972	$	9,280,886	$	9,097,240	$	8,807,325

LIABILITIES
Total deposits	$	7,718,218	$	7,178,933	$	7,572,395	$	6,906,863	$	7,253,207
Borrowed funds		421,542		916,054		846,123		1,316,565		671,474
Operating lease liability		44,385		46,443		45,437		47,485		38,674
Other liabilities		121,400		173,003		150,040		161,005		174,143
Total liabilities		8,305,545		8,314,433		8,613,995		8,431,918		8,137,498

STOCKHOLDERS' EQUITY
Preferred stock (5,000,000 shares authorized; none issued)		—		—		—		—		—
Common stock ($0.01 par value; 100,000,000 shares authorized)		387		387		341		341		341
Additional paid-in capital		324,290		326,671		261,274		260,585		260,413
Treasury stock		(98,993)		(101,655)		(101,633)		(101,633)		(101,641)
Retained earnings		474,472		492,003		547,708		545,345		546,530
Accumulated other comprehensive loss, net of taxes		2,695		7,133		(40,799)		(39,316)		(35,816)
Total stockholders' equity		702,851		724,539		666,891		665,322		669,827

Total liabilities and stockholders' equity	$	9,008,396	$	9,038,972	$	9,280,886	$	9,097,240	$	8,807,325

(In thousands)
Issued shares		38,678		38,678		34,088		34,088		34,088
Outstanding shares		33,777		33,659		29,069		29,069		29,069
Treasury shares		4,901		5,019		5,019		5,019		5,019

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌8

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

AVERAGE BALANCE SHEETS

(Unaudited)


	For the three months ended
	March 31,		December 31,		September 30,		June 30,		March 31,
(In thousands)	2025		2024		2024		2024		2024
Interest-earning Assets:
Loans held for sale	$	64,085	$	762	$	—	$	—	$	—
Mortgage loans, net		5,261,261		5,358,490		5,337,170		5,338,614		5,353,606
Commercial Business loans, net		1,410,661		1,421,778		1,400,091		1,409,526		1,450,511
Total loans, net		6,671,922		6,780,268		6,737,261		6,748,140		6,804,117
Taxable securities:
Mortgage-backed securities		895,097		919,587		984,383		691,802		462,934
Other securities, net		585,219		652,755		714,161		663,975		590,204
Total taxable securities		1,480,316		1,572,342		1,698,544		1,355,777		1,053,138
Tax-exempt securities:
Other securities		43,813		64,531		65,070		65,451		65,939
Total taxable and tax-exempt securities		1,524,129		1,636,873		1,763,614		1,421,228		1,119,077
Interest-earning deposits and federal funds sold		208,777		169,579		208,796		185,626		311,966
Total interest-earning assets		8,468,913		8,587,482		8,709,671		8,354,994		8,235,160
Other assets		546,967		484,397		494,213		475,671		472,345
Total assets	$	9,015,880	$	9,071,879	$	9,203,884	$	8,830,665	$	8,707,505

Interest-bearing Liabilities:
Deposits:
Savings accounts	$	98,224	$	99,669	$	102,196	$	103,335	$	106,212
NOW accounts		2,215,683		2,024,600		1,886,387		2,017,085		1,935,250
Money market accounts		1,716,358		1,686,614		1,673,499		1,714,085		1,725,714
Certificate of deposit accounts		2,596,714		2,681,742		2,884,280		2,443,047		2,406,283
Total due to depositors		6,626,979		6,492,625		6,546,362		6,277,552		6,173,459
Mortgagors' escrow accounts		78,655		87,120		71,965		95,532		73,822
Total interest-bearing deposits		6,705,634		6,579,745		6,618,327		6,373,084		6,247,281
Borrowings		555,466		759,962		886,190		766,984		767,646
Total interest-bearing liabilities		7,261,100		7,339,707		7,504,517		7,140,068		7,014,927
Noninterest-bearing demand deposits		855,322		869,759		845,456		822,856		834,217
Other liabilities		167,866		188,825		181,149		200,184		189,176
Total liabilities		8,284,288		8,398,291		8,531,122		8,163,108		8,038,320
Equity		731,592		673,588		672,762		667,557		669,185
Total liabilities and equity	$	9,015,880	$	9,071,879	$	9,203,884	$	8,830,665	$	8,707,505

Net interest-earning assets	$	1,207,813	$	1,247,775	$	1,205,154	$	1,214,926	$	1,220,233

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌9

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

NET INTEREST INCOME AND NET INTEREST MARGIN

(Unaudited)


	For the three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2025			2024			2024			2024			2024
Interest Income:
Loans held for sale	$	664		$	7		$	—		$	—		$	—
Mortgage loans, net		72,391			73,252			74,645			71,968			71,572
Commercial Business loans, net		19,977			20,852			21,135			20,760			21,387
Total loans, net		92,368			94,104			95,780			92,728			92,959
Taxable securities:
Mortgage-backed securities		12,528			13,884			12,443			7,462			3,696
Other securities		8,553			9,887			11,431			10,408			8,504
Total taxable securities		21,081			23,771			23,874			17,870			12,200
Tax-exempt securities:
Other securities		456			469			474			470			474
Total taxable and tax-exempt securities		21,537			24,240			24,348			18,340			12,674
Interest-earning deposits and federal funds sold		2,063			1,787			2,565			2,260			3,966
Total interest-earning assets		116,632			120,138			122,693			113,328			109,599
Interest Expense:
Deposits:
Savings accounts	$	110		$	113		$	122		$	115		$	122
NOW accounts		18,915			18,390			18,795			20,007			18,491
Money market accounts		15,372			15,909			17,485			17,326			17,272
Certificate of deposit accounts		22,710			25,258			29,676			23,383			21,918
Total due to depositors		57,107			59,670			66,078			60,831			57,803
Mortgagors' escrow accounts		67			58			72			62			62
Total interest-bearing deposits		57,174			59,728			66,150			60,893			57,865
Borrowings		6,373			9,077			10,840			9,561			9,237
Total interest-bearing liabilities		63,547			68,805			76,990			70,454			67,102
Net interest income- tax equivalent	$	53,085		$	51,333		$	45,703		$	42,874		$	42,497
Included in net interest income above:
Episodic items ⁽¹⁾	$	294		$	648		$	1,647		$	369		$	928
Net gains/(losses) from fair value adjustments on hedges included in net interest income		56			2,911			554			177			(187)
Purchase accounting adjustments		252			191			155			182			271
Interest-earning Assets Yields:
Loans held for sale		4.14	%		3.67	%		—	%		—	%		—	%
Mortgage loans, net		5.50			5.47			5.59			5.39			5.35
Commercial Business loans, net		5.66			5.87			6.04			5.89			5.90
Total loans, net		5.54			5.55			5.69			5.50			5.46
Taxable securities:
Mortgage-backed securities		5.60			6.04			5.06			4.31			3.19
Other securities		5.85			6.06			6.40			6.27			5.76
Total taxable securities		5.70			6.05			5.62			5.27			4.63
Tax-exempt securities: ⁽²⁾
Other securities		4.16			2.91			2.91			2.87			2.88
Total taxable and tax-exempt securities		5.65			5.92			5.52			5.16			4.53
Interest-earning deposits and federal funds sold		3.95			4.22			4.91			4.87			5.09
Total interest-earning assets⁽¹⁾		5.51	%		5.60	%		5.63	%		5.43	%		5.32	%
Interest-bearing Liabilities Yields:
Deposits:
Savings accounts		0.45	%		0.45	%		0.48	%		0.45	%		0.46	%
NOW accounts		3.41			3.63			3.99			3.97			3.82
Money market accounts		3.58			3.77			4.18			4.04			4.00
Certificate of deposit accounts		3.50			3.77			4.12			3.83			3.64
Total due to depositors		3.45			3.68			4.04			3.88			3.75
Mortgagors' escrow accounts		0.34			0.27			0.40			0.26			0.34
Total interest-bearing deposits		3.41			3.63			4.00			3.82			3.70
Borrowings		4.59			4.78			4.89			4.99			4.81
Total interest-bearing liabilities		3.50	%		3.75	%		4.10	%		3.95	%		3.83	%
Net interest rate spread (tax equivalent)⁽¹⁾		2.01	%		1.85	%		1.53	%		1.48	%		1.49	%
Net interest margin (tax equivalent)⁽¹⁾		2.51	%		2.39	%		2.10	%		2.05	%		2.06	%
Ratio of interest-earning assets to interest-bearing liabilities		1.17	X		1.17	X		1.16	X		1.17	X		1.17	X

⁽¹⁾

Episodic items include prepayment penalty income, net reversals and recovered interest from nonaccrual and delinquent loans, and swap terminations fees.

⁽²⁾

Yields are calculated on the tax equivalent basis using the statutory federal income tax rate of 21% for the periods presented.

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌10

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

DEPOSIT and LOAN COMPOSITION

(Unaudited)

Deposit Composition


											1Q25 vs.		1Q25 vs.
	March 31,		December 31,		September 30,		June 30,		March 31,		4Q24		1Q24
(Dollars in thousands)	2025		2024		2024		2024		2024		% Change		% Change
Noninterest bearing	$	863,714	$	836,545	$	860,930	$	825,327	$	815,937	3.2	%	5.9	%
Interest bearing:
Certificate of deposit accounts		2,592,026		2,650,164		2,875,486		2,435,894		2,529,095	(2.2)		2.5
Savings accounts		97,624		98,964		100,279		103,296		105,147	(1.4)		(7.2)
Money market accounts		1,681,608		1,686,109		1,659,027		1,710,376		1,717,298	(0.3)		(2.1)
NOW accounts		2,393,482		1,854,069		2,003,301		1,774,268		2,003,649	29.1		19.5
Total interest-bearing deposits		6,764,740		6,289,306		6,638,093		6,023,834		6,355,189	7.6		6.4
Total due to depositors		7,628,454		7,125,851		7,499,023		6,849,161		7,171,126	7.1		6.4
Mortgagors' escrow deposits		89,764		53,082		73,372		57,702		82,081	69.1		9.4
Total deposits	$	7,718,218	$	7,178,933	$	7,572,395	$	6,906,863	$	7,253,207	7.5	%	6.4	%

Loan Composition


											1Q25 vs.		1Q25 vs.
	March 31,		December 31,		September 30,		June 30,		March 31,		4Q24		1Q24
(Dollars in thousands)	2025		2024		2024		2024		2024		% Change		% Change
Multifamily residential	$	2,531,628	$	2,527,222	$	2,638,863	$	2,631,751	$	2,622,737	0.2	%	(3.5)	%
Commercial real estate		1,953,710		1,973,124		1,929,093		1,894,509		1,925,312	(1.0)		1.5
One-to-four family ― mixed use property		501,562		511,222		515,511		518,510		516,198	(1.9)		(2.8)
One-to-four family ― residential		269,492		244,282		252,293		261,716		267,156	10.3		0.9
Construction		63,474		60,399		63,674		65,161		60,568	5.1		4.8
Mortgage loans		5,319,866		5,316,249		5,399,434		5,371,647		5,391,971	0.1		(1.3)

Small Business Administration		14,713		19,925		19,368		13,957		16,244	(26.2)		(9.4)
Commercial business and other		1,396,597		1,401,602		1,387,965		1,389,711		1,411,725	(0.4)		(1.1)
Commercial Business loans		1,411,310		1,421,527		1,407,333		1,403,668		1,427,969	(0.7)		(1.2)

Gross loans		6,731,176		6,737,776		6,806,767		6,775,315		6,819,940	(0.1)		(1.3)
Net unamortized (premiums) and unearned loan (cost) fees ⁽¹⁾		10,659		8,072		11,561		1,711		2,003	32.0		432.2
Allowance for credit losses		(40,037)		(40,152)		(40,342)		(41,648)		(40,752)	(0.3)		(1.8)
Net loans	$	6,701,798	$	6,705,696	$	6,777,986	$	6,735,378	$	6,781,191	(0.1)	%	(1.2)	%

⁽¹⁾	Includes $2.6 million, $2.8 million, $3.1 million, $3.4 million, and $3.6 million of purchase accounting unamortized discount resulting from the acquisition of Empire Bancorp at March 31, 2025, December 31, 2024, September 30, 2024, June 30, 2024, and March 31, 2024, respectively.

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌11

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

LOAN CLOSINGS and RATES

(Unaudited)

Loan Closings


	For the three months ended
	March 31,		December 31,		September 30,		June 30,		March 31,
(In thousands)	2025		2024		2024		2024		2024
Multifamily residential	$	21,183	$	25,232	$	50,528	$	27,966	$	11,805
Commercial real estate		22,916		75,285		56,713		20,573		10,040
One-to-four family – mixed use property		1,842		6,622		5,709		3,980		750
One-to-four family – residential		35,206		739		1,705		689		52,539
Construction		3,275		9,338		5,063		4,594		1,895
Mortgage loans		84,422		117,216		119,718		57,802		77,029

Small Business Administration		1,250		1,368		5,930		—		—
Commercial business and other		88,404		106,580		91,447		68,162		52,955
Commercial Business loans		89,654		107,948		97,377		68,162		52,955

Total Closings	$	174,076	$	225,164	$	217,095	$	125,964	$	129,984

Weighted Average Rate on Loan Closings


	For the three months ended
	March 31,		December 31,		September 30,		June 30,		March 31,
Loan type	2025		2024		2024		2024		2024
Mortgage loans	6.68	%	7.12	%	7.31	%	7.58	%	6.36	%
Commercial Business loans	7.28		7.45		7.75		7.94		8.29
Total loans	6.99	%	7.28	%	7.51	%	7.77	%	7.13	%

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌12

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

ASSET QUALITY

(Unaudited)

Allowance for Credit Losses


	For the three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2025			2024			2024			2024			2024
Allowance for credit losses - loans
Beginning balances	$	40,152		$	40,342		$	41,648		$	40,752		$	40,161

Net loan charge-off (recoveries):
Multifamily residential		4			(1)			—			(1)			—
Commercial real estate		—			421			—			—			—
One-to-four family – mixed-use property		—			—			—			(2)			—
One-to-four family – residential		—			(41)			(58)			(2)			13
Small Business Administration		(40)			(4)			(1)			(91)			(5)
Commercial business and other		4,463			4,361			3,095			4			(4)
Total net loan charge-offs (recoveries)		4,427			4,736			3,036			(92)			4

Provision (benefit) for loan losses		4,312			4,546			1,730			804			595

Ending balance	$	40,037		$	40,152		$	40,342		$	41,648		$	40,752

Gross charge-offs	$	4,471		$	4,790		$	3,110		$	11		$	58
Gross recoveries		44			54			74			103			54

Allowance for credit losses - loans to gross loans		0.59	%		0.60	%		0.59	%		0.61	%		0.60	%
Net loan charge-offs (recoveries) to average loans		0.27			0.28			0.18			(0.01)			—

Nonperforming Assets


	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2025			2024			2024			2024			2024
Nonaccrual Loans:
Multifamily residential		25,952			11,031			9,478			13,774			4,669
Commercial real estate		6,703			6,283			6,705			—			—
One-to-four family - mixed-use property		426			116			369			909			911
One-to-four family - residential		1,225			1,428			1,493			3,633			3,768
Small Business Administration		2,445			2,445			2,445			2,552			2,552
Commercial business and other		9,512			12,015			13,771			13,672			12,929
Total Nonaccrual loans		46,263			33,318			34,261			34,540			24,829

Total Nonperforming Loans (NPLs)		46,263			33,318			34,261			34,540			24,829

Other Nonperforming Assets:
Real estate acquired through foreclosure		—			—			—			665			665
Total Other nonperforming assets		—			—			—			665			665

Total Nonaccrual HTM Securities		18,000			18,000			20,627			20,627			20,760

Total Nonperforming Assets	$	64,263		$	51,318		$	54,888		$	55,832		$	46,254

Nonperforming Assets to Total Assets		0.71	%		0.57	%		0.59	%		0.61	%		0.53	%
Allowance for Credit Losses to NPLs		86.5	%		120.5	%		117.7	%		120.6	%		164.1	%

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌13

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

RECONCILIATION OF GAAP (LOSS) EARNINGS and CORE EARNINGS

(Unaudited)


	For the three months ended
(Dollars in thousands,	March 31,			December 31,			September 30,			June 30,			March 31,
except per share data)	2025			2024			2024			2024			2024

GAAP (loss) income before income taxes	$	(5,931)		$	(71,857)		$	11,457		$	7,136		$	4,997

Net (gain) loss from fair value adjustments (Noninterest income (loss))		152			1,136			(974)			(57)			834
Net loss on sale of securities (Noninterest income (loss))		—			72,315			—			—			—
Life insurance proceeds (Noninterest income (loss))		—			(284)			(1)			—			—
Valuation allowance on loans transferred to held for sale (Noninterest income (loss))		194			3,836			—			—			—
Net (gain) loss from fair value adjustments on hedges (Net interest income)		(56)			(2,911)			(554)			(177)			187
Prepayment penalty on borrowings (Noninterest expense)		—			2,572			—			—			—
Net amortization of purchase accounting adjustments and intangibles (Various)		(167)			(101)			(62)			(85)			(169)
Impairment of goodwill (Noninterest expense)		17,636			—			—			—			—
Miscellaneous expense (Professional services)		(1)			218			10			494			—

Core income before taxes		11,827			4,924			9,876			7,311			5,849

Provision for core income taxes		3,896			715			2,153			1,855			1,537

Core net income	$	7,931		$	4,209		$	7,723		$	5,456		$	4,312

GAAP diluted (loss)earnings per common share	$	(0.29)		$	(1.64)		$	0.30		$	0.18		$	0.12
Net (gain) loss from fair value adjustments, net of tax		—			0.03			(0.03)			(0.01)			0.02
Net loss on sale of securities, net of tax		—			1.65			—			—			—
Life insurance proceeds		—			(0.01)			—			—			—
Valuation allowance on loans transferred to held for sale, net of tax		—			0.09			—			—			—
Net (gain) loss from fair value adjustments on hedges, net of tax		—			(0.06)			(0.01)			—			—
Prepayment penalty on borrowings, net of tax		—			0.06			—			—			—
Net amortization of purchase accounting adjustments, net of tax		—			—			—			—			—
Impairment of goodwill		0.51			—			—			—			—
Miscellaneous expense, net of tax		—			—			—			0.01			—
Loss not attributable to participating securities		—			0.03			—			—			—

Core diluted earnings per common share⁽¹⁾	$	0.23		$	0.14		$	0.26		$	0.18		$	0.14

Core net income, as calculated above	$	7,931		$	4,209		$	7,723		$	5,456		$	4,312
Average assets		9,015,880			9,060,481			9,203,884			8,830,665			8,707,505
Average equity		731,592			662,190			672,762			667,557			669,185
Core return on average assets⁽²⁾		0.35	%		0.19	%		0.34	%		0.25	%		0.20	%
Core return on average equity⁽²⁾		4.34	%		2.54	%		4.59	%		3.27	%		2.58	%

⁽¹⁾

Core diluted earnings per common share may not foot due to rounding.

⁽²⁾

Ratios are calculated on an annualized basis.

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌15

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

RECONCILIATION OF GAAP REVENUE and PRE-PROVISION

PRE-TAX NET REVENUE

(Unaudited)


	For the three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2025			2024			2024			2024			2024

GAAP Net interest income	$	52,989		$	51,235		$	45,603		$	42,776		$	42,397
Net (gain) loss from fair value adjustments on hedges		(56)			(2,911)			(554)			(177)			187
Net amortization of purchase accounting adjustments		(252)			(191)			(155)			(182)			(271)
Core Net interest income	$	52,681		$	48,133		$	44,894		$	42,417		$	42,313

GAAP Noninterest income (loss)	$	5,074		$	(71,022)		$	6,277		$	4,216		$	3,084
Net (gain) loss from fair value adjustments		152			1,136			(974)			(57)			834
Net loss on sale of securities		—			72,315			—			—			—
Valuation allowance on loans transferred to held for sale		194			3,836			—			—			—
Life insurance proceeds		—			(284)			(1)			—			—
Core Noninterest income	$	5,420		$	5,981		$	5,302		$	4,159		$	3,918

GAAP Noninterest expense	$	59,676		$	45,630		$	38,696		$	39,047		$	39,892
Prepayment penalty on borrowings		—			(2,572)			—			—			—
Net amortization of purchase accounting adjustments		(85)			(90)			(93)			(97)			(102)
Impairment of goodwill		(17,636)			—			—			—			—
Miscellaneous expense		1			(218)			(10)			(494)			—
Core Noninterest expense	$	41,956		$	42,750		$	38,593		$	38,456		$	39,790

Net interest income	$	52,989		$	51,235		$	45,603		$	42,776		$	42,397
Noninterest income (loss)		5,074			(71,022)			6,277			4,216			3,084
Noninterest expense		(59,676)			(45,630)			(38,696)			(39,047)			(39,892)
Pre-provision pre-tax net (loss) revenue	$	(1,613)		$	(65,417)		$	13,184		$	7,945		$	5,589

Core:
Net interest income	$	52,681		$	48,133		$	44,894		$	42,417		$	42,313
Noninterest income		5,420			5,981			5,302			4,159			3,918
Noninterest expense		(41,956)			(42,750)			(38,593)			(38,456)			(39,790)
Pre-provision pre-tax net revenue	$	16,145		$	11,364		$	11,603		$	8,120		$	6,441
Efficiency Ratio		72.2	%		79.0	%		77.2	%		82.6	%		86.1	%

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌16

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

RECONCILIATION OF GAAP NET INTEREST INCOME and NET INTEREST MARGIN

to CORE NET INTEREST INCOME

(Unaudited)


	For the three months ended
	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2025			2024			2024			2024			2024
GAAP net interest income	$	52,989		$	51,235		$	45,603		$	42,776		$	42,397
Net (gain) loss from fair value adjustments on hedges		(56)			(2,911)			(554)			(177)			187
Net amortization of purchase accounting adjustments		(252)			(191)			(155)			(182)			(271)
Tax equivalent adjustment		96			98			100			98			100
Core net interest income FTE	$	52,777		$	48,231		$	44,994		$	42,515		$	42,413
Episodic items ⁽¹⁾		(294)			(648)			(1,647)			(369)			(928)
Net interest income FTE excluding episodic items	$	52,483		$	47,583		$	43,347		$	42,146		$	41,485

Total average interest-earning assets ⁽²⁾	$	8,471,609		$	8,590,022		$	8,712,443		$	8,358,006		$	8,238,395
Core net interest margin FTE		2.49	%		2.25	%		2.07	%		2.03	%		2.06	%
Net interest margin FTE excluding episodic items		2.48	%		2.22	%		1.99	%		2.02	%		2.01	%

GAAP interest income on total loans, net ⁽³⁾	$	92,368		$	94,104		$	95,780		$	92,728		$	92,959
Net (gain) loss from fair value adjustments on hedges - loans		(56)			29			(364)			(137)			123
Net amortization of purchase accounting adjustments		(252)			(216)			(168)			(198)			(295)
Core interest income on total loans, net	$	92,060		$	93,917		$	95,248		$	92,393		$	92,787

Average total loans, net ⁽²⁾	$	6,674,665		$	6,783,264		$	6,740,579		$	6,751,715		$	6,807,944
Core yield on total loans		5.52	%		5.54	%		5.65	%		5.47	%		5.45	%

⁽¹⁾	Episodic items include prepayment penalty income, net reversals and recovered interest from nonaccrual and delinquent loans, and swap terminations fees.

⁽²⁾	Excludes purchase accounting average balances for all periods presented.

⁽³⁾	Excludes interest income from loans held for sale.

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌17

FLUSHING FINANCIAL CORPORATION and SUBSIDIARIES

CALCULATION OF TANGIBLE STOCKHOLDERS’

COMMON EQUITY to TANGIBLE ASSETS

(Unaudited)


	March 31,			December 31,			September 30,			June 30,			March 31,
(Dollars in thousands)	2025			2024			2024			2024			2024
Total Equity	$	702,851		$	724,539		$	666,891		$	665,322		$	669,827
Less:
Goodwill		—			(17,636)			(17,636)			(17,636)			(17,636)
Core deposit intangibles		(1,029)			(1,123)			(1,220)			(1,322)			(1,428)
Tangible Stockholders' Common Equity	$	701,822		$	705,780		$	648,035		$	646,364		$	650,763

Total Assets	$	9,008,396		$	9,038,972		$	9,280,886		$	9,097,240		$	8,807,325
Less:
Goodwill		—			(17,636)			(17,636)			(17,636)			(17,636)
Core deposit intangibles		(1,029)			(1,123)			(1,220)			(1,322)			(1,428)
Tangible Assets	$	9,007,367		$	9,020,213		$	9,262,030		$	9,078,282		$	8,788,261

Tangible Stockholders' Common Equity to Tangible Assets		7.79	%		7.82	%		7.00	%		7.12	%		7.40	%

Investor Contact: Susan K. Cullen, SEVP, CFO and Treasurer, 718-961-5400‌18


1Q25 Highlights
● Net interest margin FTE increased 45 bps YoY and 12 bps QoQ to 2.51%; Core net interest margin FTE increased 43 bps YoY and 24 bps QoQ to 2.49%; Prepayment penalty income, net reversals and recovered interest from nonaccrual and delinquent loans, swap termination fees, net gains and losses from fair value adjustments on hedges, and purchase accounting accretion totaled 3 bps in 1Q25 compared to 5 bps in 1Q24 and 17 bps in 4Q24 ● Average total deposits increased 6.8% YoY and 1.5% QoQ to $7.6 billion; Average noninterest bearing deposits increased 2.5% YoY, but decreased 1.7% QoQ and totaled 11.3% of total average deposits compared to 11.8% in 1Q24 and 11.7% in 4Q24; Average CDs were $2.6 billion, up 7.9% YoY, but down 3.2% QoQ ● Period end net loans decreased 1.2% YoY and 0.1% QoQ to $6.7 billion; Loan closings were $174.1 million, up 33.9% YoY, but down 22.7% QoQ; Back-to-back swap loan originations were $18.0 million compared to $58.5 million in 4Q24 and generated $0.3 million and $0.9 million of noninterest income, respectively; Loan pipeline increased 21.5% YoY and 6.3% QoQ to $211.4 million; Approximately 22% of the loan pipeline consists of back-to-back swap loans ● NPAs totaled $64.3 million (71 bps of assets) in 1Q25 compared to $46.3 million (53 bps) a year ago and $51.3 million (57 bps) in the prior quarter; the QoQ increase primarily related to a previously identified multifamily relationship ● Provision for credit losses was $4.3 million in 1Q25 compared to $0.6 million in 1Q24 and $6.4 million in 4Q24; Net charge-offs were $4.4 million in 1Q25 compared to $4,000 in 1Q24 and $4.7 million in 4Q24; Net charge-offs for 1Q25 were primarily related to three commercial business relationships, which had reserves previously allocated ● The Company had goodwill on its balance sheet primarily emanating from acquisitions completed over 20 years ago; Due to the declining stock price in the first quarter, the Company experienced a triggering event as defined by US GAAP; Consequently, a valuation of the goodwill was performed resulting in a non-cash, non-tax deductible impairment of $17.6 million ($0.51per share); After this impairment, the Company has no goodwill remaining; This impairment had no impact on regulatory capital ● Tangible Common Equity to Tangible Assets was 7.79% at March 31, 2025, compared to 7.40% at March 31, 2024, and 7.82% at December 31, 2024; Tangible book value per share was $20.78 at March 31, 2025, compared to $22.39 a year ago and $20.97 for the prior quarter
Areas of Focus
Improve Profitability	● GAAP and Core NIM expanded 12 bps and 24 bps QoQ to 2.51% and 2.49%, respectively ● GAAP ROAA and ROAE increased 174 bps and 2,388 bps QoQ; Core ROAA and ROAE improved 16 bps and 180 bps QoQ ● Tangible book value per share decreased 0.9% QoQ to $20.78 at March 31, 2025
Maintain Credit Discipline	● Approximately 90% of the loan portfolio is collateralized by real estate with an average loan to value of less than 35% ● Weighted average debt service coverage ratio is approximately 1.9x for multifamily and investor commercial real estate loans ● Criticized and classified loans are 133 bps of gross loans compared to 87 bps a year ago and 107 bps for the prior quarter ● Manhattan office buildings exposure is minimal at 0.5% of gross loans
Preserve Strong Liquidity and Capital	● Maintaining ample liquidity with $4.0 billion of undrawn lines and resources as of March 31, 2025 ● Uninsured and uncollateralized deposits were 16% of total deposits, while uninsured deposits were 35% of total deposits ● Total average deposits increased by 6.8% YoY and 1.5% QoQ ● Tangible Common Equity to Tangible Assets was 7.79% at March 31, 2025, up 39 bps YoY, but down 3 bps QoQ