INDEPENDENT BANK CORP
For the period ended Sep 30, 2025. Filed Nov 5, 2025.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 5, 2025
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Table 15 - Volume Rate Analysis
The following table presents certain information on a FTE basis regarding changes in the Company’s interest income and interest expense for the periods indicated. For each category of interest-earning assets and interest-bearing liabilities, information is provided with respect to changes attributable to: (1) changes in rate (change in rate multiplied by prior period volume), (2) changes in volume (change in volume multiplied by old rate), and (3) changes in volume/rate (change in volume multiplied by change in rate) which is allocated to the change due to rate column:
Table 15 - Volume Rate Analysis
| Three Months Ended September 30 · Nine Months Ended September 30 | ||||||||
|---|---|---|---|---|---|---|---|---|
| 2025 Compared To 2024 · 2025 Compared To 2024 | ||||||||
| ChangeDue toRate · ChangeDue toVolume · Total Change · ChangeDue toRate · ChangeDue toVolume · Total Change | ||||||||
| (Dollars in thousands) | ||||||||
| Income on interest-earning assets | ||||||||
| Interest earning deposits, federal funds sold and short term investments | $(1,424) | $7,034 | $5,610 | $(587) | $11,148 | $10,561 | ||
| Securities | ||||||||
| Securities - taxable investments | 6,733 | 2,506 | 9,239 | 10,575 | 1,616 | 12,191 | ||
| Securities - non-taxable investments (1) | 84 | 178 | 262 | (44) | 305 | 261 | ||
| Total securities | 9,501 | 12,452 | ||||||
| Loans held for sale | (8) | 6 | (2) | (28) | (45) | (73) | ||
| Loans | ||||||||
| Commercial and industrial (1) | 299 | 20,413 | 20,712 | 1,217 | 24,966 | 26,183 | ||
| Commercial real estate (1) | 2,921 | 19,036 | 21,957 | 3,391 | 17,485 | 20,876 | ||
| Commercial construction | (1,860) | 12,832 | 10,972 | (4,440) | 11,473 | 7,033 | ||
| Total commercial | 53,641 | 54,092 | ||||||
| Residential real estate | 2,716 | 5,180 | 7,896 | 4,976 | 6,160 | 11,136 | ||
| Home equity | (842) | 2,643 | 1,801 | (3,807) | 4,256 | 449 | ||
| Total consumer real estate | 9,697 | 11,585 | ||||||
| Other consumer | (123) | 102 | (21) | (398) | 350 | (48) | ||
| Total loans (1)(2) | 63,317 | 65,629 | ||||||
| Total income of interest-earning assets | $78,426 | $88,569 | ||||||
| Expense of interest-bearing liabilities | ||||||||
| Deposits | ||||||||
| Savings and interest checking accounts | $(5,259) | $6,208 | $949 | $(3,571) | $6,050 | $2,479 | ||
| Money market | 3,826 | 7,207 | 11,033 | 3,251 | 11,182 | 14,433 | ||
| Time certificates of deposits | (6,170) | 7,942 | 1,772 | (13,353) | 13,685 | 332 | ||
| Total interest bearing deposits | 13,754 | 17,244 | ||||||
| Borrowings | ||||||||
| Federal Home Loan Bank and other borrowings | (523) | (2,223) | (2,746) | (2,741) | (16,166) | (18,907) | ||
| Junior subordinated debentures | (163) | — | (163) | (500) | — | (500) | ||
| Subordinated debentures | 5,743 | — | 5,743 | 3,952 | 7,366 | 11,318 | ||
| Total borrowings | 2,834 | (8,089) | ||||||
| Total expense of interest-bearing liabilities | 16,588 | 9,155 | ||||||
| Change in net interest income | $61,838 | $79,414 | ||||||
(1)Reflects income determined on a FTE basis. See footnote (1) to Tables 13 and 14 in this Report for the related adjustments.
(2)Loans include portfolio loans and non-accrual loans; however, unpaid interest on non-accrual loans has not been included for purposes of determining interest income.
Provision For Credit Losses The provision for credit losses represents the charge to expense that is required to maintain an appropriate level of allowance for credit losses. The Company recorded a provision for credit loss of $38.5 million and $60.7 million for the three and nine months ended September 30, 2025, respectively, as compared to $19.5 million and $28.8 million for the three and nine months ended September 30, 2024, respectively. The increase in the current periods includes the $34.5 million related to non-PCD loans acquired from Enterprise.
The Company’s allowance for credit losses, as a percentage of total loans, was 1.03% at September 30, 2025, 1.17% at December 31, 2024, and 1.14% at September 30, 2024. The decrease from the prior periods is due to charge-offs taken on loans that were specifically reserved for at those periods. Refer to Note 5, “Loans, Allowance for Credit Losses and Credit Quality” within the Notes to Consolidated Financial Statements included in Part I. Item 1 of this Report, for further details surrounding the primary drivers of the provision for credit losses for the period.
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