OceanFirst Financial Corp (OCFC) 2024 Q2 法說會逐字稿

Good morning all, and thank you for attending the OceanFirst Financial Corp. Q2 '24 earnings release conference call. My name is Brika, and I will be your moderator for today. (Operator Instructions)

大家早安，感謝您參加 OceanFirst Financial Corp. 24 年第二季財報電話會議。我叫 Brika，我將擔任今天的主持人。（操作員說明）

I would now like to pass the conference over to your host, Alfred Goon, Investor Relations at OceanFirst Financial Corp. to begin.

現在我想將會議交給主持人、OceanFirst Financial Corp. 投資者關係部門的 Alfred Goon 開始。

Thank you. You may proceed, Alfred.

謝謝。你可以繼續了，阿爾弗雷德。

Thank you, Brika. Good morning, and welcome to the OceanFirst second-quarter 2024 earnings call. I am Alfred Goon, SVP of Corporate Development and Investor Relations.

謝謝你，布里卡。早安，歡迎參加 OceanFirst 2024 年第二季財報電話會議。我是 Alfred Goon，企業發展與投資者關係資深副總裁。

Before we kick off the call, we'd like to remind everyone that our quarterly earnings release and related earnings supplement can be found on the company website, oceanfirst.com. Our remarks today may contain forward-looking statements and may refer to non-GAAP financial measures.

在我們開始電話會議之前，我們想提醒大家，我們的季度收益發布和相關收益補充可以在公司網站 oceanfirst.com 上找到。我們今天的言論可能包含前瞻性陳述，並可能涉及非公認會計準則財務指標。

All participants should refer to our SEC filings, including those found on Forms 8-K, 10-Q, and 10-K, for a complete discussion of forward-looking statements and any factors that could cause actual results to differ from those statements. Thank you.

所有參與者應參考我們向 SEC 提交的文件，包括表格 8-K、10-Q 和 10-K 中的文件，以完整討論前瞻性陳述以及可能導致實際結果與這些陳述不同的任何因素。謝謝。

And now, I will turn the call over to Christopher Maher, Chairman and Chief Executive Officer.

現在，我將把電話轉給董事長兼執行長 Christopher Maher。

Thank you, Alfred. Good morning, and thank you to all who have been able to join our second-quarter 2024 earnings conference call.

謝謝你，阿爾弗雷德。早安，感謝所有能夠參加我們 2024 年第二季財報電話會議的人。

This morning, I'm joined by our President, Joe Lebel; and our Chief Financial Officer, Pat Barrett. We appreciate your interest in our performance and this opportunity to discuss our results with you. This morning, we will provide brief remarks about the financial and operating performance for the quarter and some color regarding the outlook for our business.

今天早上，我們的總統喬·勒貝爾也加入了我的行列。以及我們的財務長 Pat Barrett。我們感謝您對我們的表現感興趣並有機會與您討論我們的結果。今天早上，我們將簡要介紹本季度的財務和營運業績，以及有關我們業務前景的一些資訊。

We may refer to the slides filed in connection with the earnings release throughout the call. After our discussion, we look forward to taking your questions.

我們可能會在整個電話會議期間參考與收益發布相關的投影片。經過討論後，我們期待回答您的問題。

Anticipating that there may be some questions regarding the impact to bank operations as the result of the global CrowdStrike IT issue, I'm pleased to report that the bank is operating with minimal disruption. We've had no issues with customer access to our online banking; mobile banking; customer care center; OFD Connect, which is our mobile platform for business clients; ATM machines; card; and wire systems. Our branches are open and serving customers as well. We appreciate the hard work of our IT team this morning.

預計全球 CrowdStrike IT 問題可能會對銀行營運造成一些影響，我很高興地報告，該銀行的營運受到的干擾最小。我們的客戶造訪我們的網路銀行沒有遇到任何問題；手機銀行；客戶服務中心； OFD Connect，這是我們為商業客戶提供的行動平台；自動提款機；卡;和電線系統。我們的分公司開放並為客戶提供服務。我們感謝 IT 團隊今天早上的辛勤工作。

Our financial results for the second quarter included GAAP diluted earnings per share of $0.40. Our earnings reflect net interest income of $82 million, representing a decrease compared to the prior linked quarter of $86 million as the yield curve remains inverted and we experienced elevated paydowns in higher-yielding loans.

我們第二季的財務業績包括 GAAP 稀釋後每股收益 0.40 美元。我們的收益反映出淨利息收入為 8,200 萬美元，與上一季的 8,600 萬美元相比有所下降，因為收益率曲線仍然倒掛，而且我們經歷了高收益貸款的還款額增加。

Operating expenses remained stable at $59 million. Asset quality metrics continue to remain strong. Criticized and classified assets, which were already lower than our peers and below our long-term averages, decreased 15% or $25 million to $143 million.

營運支出穩定在 5900 萬美元。資產品質指標持續保持強勁。受到批評和分類的資產本來就低於我們的同行，也低於我們的長期平均水平，但現在下降了 15%，即 2500 萬美元，至 1.43 億美元。

The quarter included a net ACL build of $1.6 million and net charge-offs of $1.5 million, which includes a $1.6 million charge-off on a single commercial real estate relationship that was moved to non-accrual in the third quarter of 2023. The remaining exposure for this credit is $7.2 million and the sale of the collaterals contracted to settle during the third quarter.

該季度包括 ACL 淨增建 160 萬美元和淨沖銷 150 萬美元，其中包括對單一商業房地產關係的 160 萬美元沖銷，該關係在 2023 年第三季轉為非應計費用。該信貸的剩餘風險為 720 萬美元，抵押品的出售合約將於第三季結算。

Capital levels continue to build with our estimated common equity tier 1 capital ratio increasing to 11.2% and continued growth in tangible book value, which increased by $0.30 to $18.93. Tangible book value per share has grown 7% over the past year.

資本水準持續提高，我們估計的普通股一級資本比率增至 11.2%，有形帳面價值持續成長，增加 0.30 美元至 18.93 美元。過去一年，每股有形帳面價值成長了 7%。

Capital growth was sustained this quarter, while the company repurchased an incremental 338,000 shares under the company's repurchase program. Through June 30, 2024, we have purchased nearly 1.3 million shares at a weighted average cost of $15.35. The company has 1,638,524 shares available for repurchase under the authorized repurchase program.

本季資本持續成長，同時公司根據公司回購計畫增量回購了 338,000 股股票。截至 2024 年 6 月 30 日，我們已以 15.35 美元的加權平均成本購買了近 130 萬股股票。根據授權回購計劃，該公司有 1,638,524 股可供回購。

Further on capital management, the Board approved a quarterly cash dividend of $0.20 per common share. This is the company's 110th consecutive quarterly cash dividend and represents 50% of GAAP earnings. With solid credit metrics and our bolstered capital position, we are now increasingly focused on driving organic growth in the back half of the year into 2025.

在資本管理方面，董事會批准了每股普通股 0.20 美元的季度現金股利。這是該公司連續第 110 次季度現金股息，佔 GAAP 收益的 50%。憑藉可靠的信用指標和增強的資本狀況，我們現在越來越注重在 2025 年下半年推動有機成長。

At this point, I'll turn the call over to Joe to provide some more details regarding our performance during the second quarter and our efforts to increase organic growth rates.

此時，我將把電話轉給喬，提供有關我們第二季度業績以及我們為提高有機成長率所做的努力的更多詳細資訊。

Thanks, Chris. The bank's loan pipeline of $259 million reflects the marked increase over the $137 million in Q1 and was the highest in the past five quarters. This bank continues to pivot our organization engines -- or origination engines to growing and expanding C&I lending relationships from our historical CRE focus.

謝謝，克里斯。該銀行的貸款管道為 2.59 億美元，較第一季的 1.37 億美元顯著增加，是過去五個季度的最高水準。該銀行繼續將我們的組織引擎（或發起引擎）從我們歷史上的 CRE 重點轉向發展和擴大 C&I 貸款關係。

The recruitment of C&I lenders continues with the addition of five new bankers this year and four offers accepted or pending, with additional recruiting ongoing. This includes a new team build-out with a focus on middle-market C&I and government contracting.

工商業貸款機構的招募工作仍在繼續，今年新增了五名銀行家，四份報價已接受或待定，另外的招聘工作仍在進行中。這包括新的團隊建設，重點關注中間市場 C&I 和政府合約。

We've also added a middle market banker well known in the grocery space, which should expand opportunities for us in that industry. While originations of new loans were modest in Q2, I expect growth in the C&I business in the second half of the year, which will bring with it new deposits and fee income while offsetting any small decline in CRE.

我們還增加了一位在雜貨領域知名的中間市場銀行家，這應該會擴大我們在該行業的機會。雖然第二季新貸款發放量不大，但我預計下半年工商業業務將出現成長，這將帶來新的存款和費用收入，同時抵消商業房地產的小幅下降。

For the quarter, our C&I loan balances were impacted by five borrowers who paid down or paid off loans in the normal course of business in the amount of $86 million. Overall, the impact of declines in loan and other earning asset balances accounted for approximately $2 million of our decline in net interest income from the prior quarter. Our CRE portfolio continues to perform well, and we remain committed to methodically rebalancing our commercial loan portfolio towards C&I relationships over time.

本季度，我們的 C&I 貸款餘額受到五個借款人的影響，他們在正常業務過程中還清了貸款，金額為 8600 萬美元。總體而言，貸款和其他獲利資產餘額下降的影響導致我們上一季淨利息收入下降約 200 萬美元。我們的商業房地產投資組合繼續表現良好，並且我們仍然致力於隨著時間的推移，有條不紊地重新平衡我們的商業貸款組合，以建立商業與工業關係。

Moving to deposits. Balances declined by approximately 2% as non-maturity deposits decreased 4% compared to the prior quarter. This decline includes our continued run-off of brokered CDs of $142 million and decline in high-yield savings balances of $96 million, driven by targeted refinements to both marketing efforts and rates offered.

轉向存款。由於非到期存款較上一季減少 4%，餘額下降約 2%。這一下降包括我們持續流失 1.42 億美元的經紀 CD，以及由於對行銷工作和所提供的利率進行有針對性的改進，高收益儲蓄餘額下降了 9,600 萬美元。

As Chris noted, we booked a net ACL build of $1.6 million and net charge-offs of $1.5 million, representing a $3.1 million provision for credit losses during the quarter, increasing our coverage ratio to 0.69% of total loans. The net ACL build was driven by external macroeconomic forecasts and our modeling rather than credit quality indicators within our own portfolio.

正如 Chris 指出的那樣，我們預訂了 160 萬美元的淨 ACL 建設和 150 萬美元的淨沖銷，相當於本季度信貸損失準備金 310 萬美元，將我們的覆蓋率提高到貸款總額的 0.69%。ACL 淨值建構是由外部宏觀經濟預測和我們的建模驅動的，而不是我們自己投資組合中的信用品質指標。

Asset quality metrics remain strong with non-performing loans and criticized and classified assets representing only 0.33% and 1.42% of total loans, respectively. Meanwhile, loans 30 to 89 days past due as a percentage of total loans remained minimal at 0.10 basis points. These metrics remain low compared to pre-pandemic levels, and reflect strong credit performance in our portfolio.

資產品質指標依然強勁，不良貸款和批評及分類資產分別僅佔貸款總額的 0.33% 和 1.42%。同時，逾期 30 至 89 天的貸款佔貸款總額的比例仍維持在 0.10 個基點的最低水準。與疫情大流行前的水平相比，這些指標仍然較低，反映了我們投資組合中強勁的信用表現。

With that, I'll turn the call over to Pat to review margin and expense outlook.

這樣，我會將電話轉給帕特，以審查利潤率和費用前景。

Thanks, Joe, and good morning to everybody. Net interest income and net interest margin were $82 million and 2.7%, respectively, reflecting a combination of higher funding costs associated with the mix shift in funding and modestly lower average earning assets. Funding costs reflect cycle-to-date deposit betas of 42%, up from 40% in the prior quarter.

謝謝喬，大家早安。淨利息收入和淨利差分別為 8,200 萬美元和 2.7%，反映出與融資組合轉變相關的較高融資成本和適度較低的平均盈利資產的綜合影響。融資成本反映了周期至今存款貝塔值為 42%，高於上一季的 40%。

We continue to believe that we're at or very near our trough in both net interest income and margin, but our outlook for both could shift modestly subject to interest rates, loan growth, or repayments; and funding mix trends in future quarters. We've said in the past that we are in a very conservative posture around new business growth, and we're unlikely to expand our long-standing risk appetites to stimulate short-term growth.

我們仍然認為，我們的淨利息收入和利潤率都處於或非常接近低谷，但我們對兩者的前景可能會因利率、貸款成長或還款而略有變化；以及未來幾季的融資組合趨勢。我們過去曾說過，我們對新業務成長持非常保守的態度，我們不太可能擴大長期的風險偏好來刺激短期成長。

As Joe mentioned, we increased our provision by $3.1 million, increasing our coverage ratio to total loans to 0.69% and 0.75%, including purchase accounting credit marks. Despite strong asset quality metrics and stress test results, we've remained prudent and steadily continued to build reserve levels to address the uncertainty risk in the overall environment.

正如喬所提到的，我們增加了 310 萬美元的準備金，將貸款總額的覆蓋率提高到 0.69% 和 0.75%，其中包括購買會計信用分數。儘管資產品質指標和壓力測試結果強勁，但我們仍保持審慎態度，繼續穩步提高準備金水平，以應對整體環境的不確定性風險。

It's worth noting that we've nearly doubled our allowance coverage ratio since adopting CECL four years ago, despite reporting an average of only 7 basis points of annualized net charge-offs during that same time frame. Non-interest expenses remained flat from the prior quarter at $59 million. We continue to make every effort to hold operating expenses stable in the $58 million to $60-million-per-quarter range, but modest quarterly volatility may occur.

值得注意的是，自從四年前採用 CECL 以來，我們的撥備覆蓋率幾乎翻了一番，儘管同期報告的年化淨沖銷平均只有 7 個基點。非利息支出與上一季持平，為 5,900 萬美元。我們將繼續盡一切努力將營運支出穩定在每季 5,800 萬美元至 6,000 萬美元的範圍內，但季度可能會出現適度波動。

Finally, as Chris mentioned earlier, capital strengthened appreciably with growth in our CET1 ratio to 11.2%. And we're pleased to report capital accretion even while repurchasing the 338,000 shares or $5 million during the quarter. Looking ahead, we would not expect meaningful repurchases in the near term.

最後，正如克里斯之前提到的，隨著我們的 CET1 比率增長至 11.2%，資本明顯增強。我們很高興地報告，即使在本季回購 338,000 股或 500 萬美元的同時，資本也有所增加。展望未來，我們預期短期內不會出現有意義的回購。

At this point, we'll begin the Q&A portion of the call.

此時，我們將開始通話的問答部分。

Thank you. We will now begin the question-and-answer session. (Operator Instructions) Frank Schiraldi, Piper Sandler.

謝謝。我們現在開始問答環節。（操作說明）Frank Schiraldi、Piper Sandler。

Morning. Curious to talk about the margin here. Obviously, the quarter -- in terms of loan yields, you saw not as much pickup as you would otherwise expect, what you noted, and should be temporary. But just trying to think through some of the specifics around the potential pick-up in loan yield as the book turns over here and also, what it might mean for credit migration in terms of criticized classified balances.

早晨。很想在這裡談利潤。顯然，就貸款收益率而言，本季的回升幅度沒有您所預期的那麼大，正如您所指出的那樣，這應該是暫時的。但我只是想思考一下本書翻到這裡時貸款收益率可能上升的一些具體細節，以及就受到批評的分類餘額而言，這對信貸遷移可能意味著什麼。

So like the $300 million or nearly $300 million in CRE repricing, I guess, in the back half of the year, those are, at rates, looks like a 5.8%. Is that right? And then where are the new rates that you're repricing to? And do you expect a decent amount of this will migrate off balance sheet?

因此，就像 3 億美元或近 3 億美元的 CRE 重新定價一樣，我想，在今年下半年，這些利率看起來像是 5.8%。是這樣嗎？那麼您重新定價的新費率在哪裡？您預計其中相當一部分會轉移到資產負債表之外嗎？

Okay, Frank. There's a couple of things there. I'll give you -- a few things, and then we'll probably turn it over to Joe for more comments about loans and (inaudible) around margin. Just as we talk about margin first, I would say that the deposit -- the modest increase in deposit cost was expected by us. That's just the trend we've been on, and we anticipated that.

好吧，弗蘭克。那裡有一些事情。我會給你一些東西，然後我們可能會將其轉交給喬，以獲取有關貸款和（聽不清楚）保證金的更多評論。正如我們首先談論保證金一樣，我想說的是存款——存款成本的小幅增長是我們預期的。這就是我們一直以來的趨勢，我們也預料到了這一點。

The paydowns of higher-yielding loans surprised us a little bit on the earning asset side. So the compression we saw this quarter was more a function, at least from what we expected, of having the paydowns and loans that were yielding that -- weighted average coupon of those loans is north of 8%.

在獲利資產方面，高收益貸款的償還讓我們有點驚訝。因此，我們本季看到的壓縮更多是一個函數，至少從我們的預期來看，是因為還款和貸款產生的結果——這些貸款的加權平均息票高於 8%。

So we don't expect that to recur. That's actually probably a pretty good sign for credit. These are customers of ours who have the ample cash, and they're using it to reduce their leverage. So that's a good sign. In a minute, I'll ask Joe to talk more about perspective around the future loan growth and future loan bookings.

所以我們預計這種情況不會再發生。這實際上可能是信用的一個很好的跡象。這些是我們的客戶，他們擁有充足的現金，他們正在使用它來降低槓桿。所以這是一個好兆頭。稍後，我將請喬多談談對未來貸款成長和未來貸款預訂的看法。

Just on your comment about the credit and the rolling CRE loans. We do a lot of stress testing, as you can imagine, on the CRE portfolio. One of the most critical stress tests we do is to take a look at the rolling loans, look at the coupon they're paying today and their ability to service that coupon as they roll. And not just for the remainder of this year, but going -- looking at the totality of 2025 and even into 2026.

只是關於您對信貸和滾動商業房地產貸款的評論。正如您可以想像的那樣，我們對商業房地產投資組合進行了大量壓力測試。我們所做的最關鍵的壓力測試之一是查看滾動貸款，查看他們今天支付的息票以及他們在滾動時服務該息票的能力。不僅是今年剩餘時間，而且是展望 2025 年甚至 2026 年。

We have not identified any issue of any consequence around rolling loans. So we would expect that those loans would have the option to roll with us, pay current coupons, and stay at the bank.

我們尚未發現與滾動貸款有關的任何後果問題。因此，我們預計這些貸款可以選擇與我們一起滾動，支付當前的息票，並留在銀行。

There is a little bit of a pressure valve in some places. There are market players like [Freddie Mac] who're still offering very attractive rates out there. So you might see some pressure on that.

有些地方有一點壓力閥。像[房地美]這樣的市場參與者仍然提供非常有吸引力的利率。所以你可能會看到一些壓力。

And frankly, in the CRE side, if we're getting paid, we're happy to keep it. These are good clients. But we're not going to compete on price in that market. We'll be focused on C&I.

坦白說，在商業房地產方面，如果我們得到報酬，我們很樂意保留它。這些都是好客戶。但我們不會在該市場進行價格競爭。我們將重點關注 C&I。

So maybe I'd ask Joe to talk a little bit about the outlook for loan originations, Q3 and beyond? And then maybe, Pat, anything you want to add to the margin discussion?

所以也許我會請喬談談第三季及以後貸款發放的前景？帕特，也許您想在利潤討論中添加任何內容？

So I'll talk about just the outlook for loans. Look, Q2 was a pretty quiet quarter. It's evidenced by even our conservative approach in the way we report in terms of the pipeline as to where we're headed. The pipeline is very strong, and I anticipate that we'll have a significant increase in activity in Q3.

所以我只想談談貸款的前景。看，第二季度是一個非常安靜的季度。甚至我們在報告我們的發展方向時採取的保守態度也證明了這一點。通路非常強大，我預計第三季的活動將顯著增加。

That should bode well for Q4 as well not only with the existing team, but the team members that we're adding. So I think we had a very small amount, $56 million, in commercial closing in Q2, which is a very small number. I would anticipate that we're probably going to head back towards where we were in June of '23.

這對第四季來說應該是個好兆頭，不僅對現有團隊，而且對我們新增的團隊成員也是如此。因此，我認為我們在第二季的商業成交額非常小，即 5,600 萬美元，這是一個非常小的數字。我預計我們可能會回到 23 年 6 月的水平。

I think we had a much higher activity in that period of time. I think that's probably the [past]. And then yields are much better as well. I think that the pipeline shows that the weighted average yield of [7.98%]. That's a function of both floating rate C&I and floating rate construction, which dominate the pipeline content.

我認為那段時間我們的活動要高得多。我想這可能就是[過去的]。然後產量也會好得多。我認為管道顯示加權平均收益率[7.98%]。這是浮動利率 C&I 和浮動利率建設的函數，它們主導管道內容。

I guess -- this is Pat. On the margin that we saw and that we're expecting, like Chris said, the paydowns were the part of the margin decline that was a little bit unexpected for us. Notwithstanding that, we would have seen 3, maybe 4 basis points of compression on a combination of balance migration and rate change. But it was probably more mix than anything else.

我猜——這是帕特。正如克里斯所說，就我們看到的和我們預期的利潤率而言，付款是利潤率下降的一部分，這對我們來說有點意外。儘管如此，在平衡遷移和利率變化的組合上，我們可能會看到 3 個、也許 4 個基點的壓縮。但它可能比其他任何東西都更加混合。

On the funding side, we did continue to reduce brokered CD balances and some of our higher-cost institutional. Our non-interest-bearing balances, we were happy to see it remain pretty stable. So that wasn't a surprise.

在資金方面，我們確實繼續減少經紀定期存款餘額和一些成本較高的機構。我們的無息餘額，我們很高興看到它保持相當穩定。所以這並不奇怪。

I think going forward, notwithstanding the effect of any other paydowns we may see that were accelerated or growth, then I think that our margin should be relatively stable. But we're hopeful that we can generate some growth in the second half of the year that will be accretive to the margin. And we don't see further payoffs and paydowns. Sorry for all the hopes.

我認為，展望未來，儘管我們可能會看到任何其他付款加速或成長的影響，但我認為我們的利潤率應該相對穩定。但我們希望下半年能夠實現一些成長，從而增加利潤。我們看不到進一步的回報和回報。對不起所有的希望。

Right. So I guess as you guys grow in the back half of the year, do you feel like you're going to be in a place (inaudible) you're not going to see NIM contract further because of that growth? I mean, would you give up some NIM in the near term maybe to do something like position yourself a little bit better for a (inaudible) environment?

正確的。所以我想，隨著你們在今年下半年的成長，你們是否覺得你們將處於一個地方（聽不清楚），因為這種成長，你們不會看到 NIM 進一步收縮？我的意思是，你會在短期內放棄一些 NIM 來做一些事情，例如讓自己在（聽不清楚）環境中處於更好的位置嗎？

Is there any potential to see loan growth here and in the near term, exceed deposit growth and fund with short-term borrowings with the idea that maybe you could lock in some lower deposit costs down the road? Or how do you think about, as you grow the loan book, the loan-to-deposit ratio here in the near term?

是否有可能看到貸款成長在短期內超過存款成長，並透過短期借款進行融資，並認為未來可能會降低存款成本？或者，隨著貸款規模的增加，您如何看待近期的貸存比？

So I'll take that in two parts, Frank. It's Chris. There's no question that we're in the relationship business. We want to build those relationships. Every quarter, the margins may be a little bit better or worse because of that. So we find the opportunity to add good relationships, and we have to be a little more competitively priced to do it.

弗蘭克，我將把它分為兩部分。是克里斯。毫無疑問，我們從事關係業務。我們希望建立這些關係。每個季度，利潤率可能會因此好一點或差一點。因此，我們找到了建立良好關係的機會，我們必須以更具競爭力的價格來做到這一點。

I kind of differentiate between net interest income and margin. We have our eye more focused on net interest income and building that. So if we had the opportunity to grow the loan book a little bit, improve net interest income, and we have to give up a point or two on NIM, that's a good trade-off as long as we're bringing in high-quality clients and good relationships.

我對淨利息收入和利潤率進行了區分。我們更加關注淨利息收入並建立它。因此，如果我們有機會增加一點貸款規模，提高淨利息收入，並且我們必須在淨息差上放棄一兩點，那麼只要我們引入高品質的貸款，這就是一個很好的權衡。關係。

So that's the way we would look at things, and we're confident. We've got the teams in place. We know how to grow the loan book. We're just taking our time and doing it very thoughtfully and methodically.

這就是我們看待事物的方式，我們充滿信心。我們已經把團隊安排到位了。我們知道如何增加貸款規模。我們只是慢慢地、深思熟慮地、有條不紊地做這件事。

Great. Okay. I appreciate the

偉大的。好的。我很欣賞

Frank, one of the things I just -- you did mention the loan-to-deposit ratio. So our views have not changed on that. We're comfortable operating at or near 100% loan-to-deposit ratio. We like being in the [90s].

法蘭克，我剛才提到的一件事是──你確實提到了貸存比。所以我們對此的看法並沒有改變。我們樂於以 100% 或接近 100% 的貸存比率營運。我們喜歡置身於[90年代]。

If a quarter comes up, where we're at 100% or 101%, that's not a big deal for us. But we're not going to go to 110%, 120%. We're not going to push that measure. So we're comfortable we can originate deposits on loan growth in the second half of the year.

如果到了一個季度，我們處於 100% 或 101%，這對我們來說不是什麼大問題。但我們不會達到 110%、120%。我們不會推動這項措施。因此，我們可以放心地在下半年根據貸款成長來發放存款。

Appreciate it. Thanks for the color.

欣賞它。謝謝你的顏色。

Daniel Tamayo, Raymond James.

丹尼爾·塔馬約，雷蒙德·詹姆斯。

Thank you, guys. Hey. Good morning. So I guess I just wanted to ask more about on that loan growth topic.

謝謝你們，夥計們。嘿。早安.所以我想我只是想更多地了解貸款增長的話題。

You mentioned you're trying to reduce CRE concentration. You've got the C&I initiatives. How should we be thinking about the CRE book growth in the next couple of years? I mean, is that a book that you expect to see modest growth, stable? And as it relates to the CRE concentration, like, how quick do you expect that to come down?

您提到您正在嘗試降低 CRE 濃度。你已經有了 C&I 計劃。我們該如何看待未來幾年商業不動產帳面成長？我的意思是，您預期這本書會出現適度成長、穩定嗎？由於它與 CRE 濃度有關，您預計其下降速度有多快？

So I guess the best way to think about that is, first, we like our CRE book, notwithstanding the market tone around CRE. So we're not in any rush to move to a certain ratio. We don't have a target to reduce it in that sense.

因此，我認為考慮這個問題的最佳方法是，首先，我們喜歡我們的 CRE 書，儘管圍繞 CRE 的市場基調如何。因此，我們並不急於達到一定的比率。從這個意義上說，我們沒有減少它的目標。

But we also noted -- we would understand that we're going to be a more valuable franchise, that we have a little more diversification in our asset mix. So over time, I think you're going to see the C&I proportion of our balance sheet increase. The CRE proportion remain flat, maybe decrease a little bit.

但我們也注意到——我們會明白，我們將成為一個更有價值的特許經營商，我們的資產組合更加多元化。因此，隨著時間的推移，我認為您會看到我們資產負債表中的 C&I 比例不斷增加。CRE 比例保持不變，甚至可能略有下降。

And then within the CRE book, we're optimizing the best relationships we have. An interesting time. Because of the contraction in CRE lending across the industry, some of our best clients are bringing us really good and attractive opportunities.

然後在 CRE 書中，我們正在優化我們擁有的最佳關係。一段有趣的時光。由於整個行業商業房地產貸款的收縮，我們的一些最好的客戶為我們帶來了非常好的和有吸引力的機會。

So we're still in the business of doing CRE lending. But proportionally, I would expect that to fall on the balance sheet. And you might see our investor CRE ratios decrease over time as well. But we're not in any mad dash to go try and run off a portfolio of customers that we like.

所以我們仍在從事商業房地產貸款業務。但按比例來說，我預計這會落在資產負債表上。您可能會發現我們的投資者 CRE 比率也會隨著時間的推移而下降。但我們並不會瘋狂地嘗試甩掉我們喜歡的客戶群。

Okay. I appreciate that. And I recognize this is -- next one is a tricky question as it relates to regulators, conversations, and all that. But I think the market was spooked clearly by the (inaudible) the first foundation equity issuance in the quarter and -- especially for banks with high CRE concentration.

好的。我很欣賞這一點。我認識到，下一個問題是一個棘手的問題，因為它涉及監管機構、對話等等。但我認為，市場顯然被本季首次基礎股票發行（聽不清楚）嚇壞了——尤其是對於商業房地產高度集中的銀行而言。

So I mean, is there anything you can say or comment on regulatory discussions or pressure that they're putting on you guys? Or any kind of commentary around what those conversations are like with the regulators would be interesting. Thanks.

所以我的意思是，對於監管討論或他們給你們施加的壓力，你有什麼可以說或評論的嗎？或者任何與監管機構的對話的評論都會很有趣。謝謝。

Yeah, I understand the question. Well, we certainly can't talk about our conversations with our regulators. I think our financial statements, our outlook, and this discussion should give you some comfort.

是的，我明白這個問題。好吧，我們當然不能談論我們與監管機構的對話。我認為我們的財務報表、我們的前景以及這次討論應該會給您帶來一些安慰。

If you look at the way our portfolio is performed, if you look at the way we've handled concentrations both geographically and by asset class, we don't have a lot of anything. We got a lot of stuff put out in different geographies, different asset classes.

如果你看看我們投資組合的表現方式，如果你看看我們處理地理和資產類別集中的方式，你會發現我們沒有太多東西。我們在不同的地區、不同的資產類別中推出了許多產品。

We have not had a lot of CRE growth in the last couple of years. The growth factor is a really important consideration that regulators look at. If you're growing quickly, then you're going to attract more attention.

過去幾年，我們的商業房地產成長並不多。成長因素是監管機構關注的一個非常重要的考慮因素。如果你成長得很快，那麼你就會吸引更多的注意力。

So when you look at our credit metrics in our portfolio, we don't -- we think they're holding up well. There's no cause for concern. When you think about the stress testing that we share with you in our disclosures, that gives you a sense as to how we're thinking about interest rate risk over time in that portfolio, that kind of maturity wall issue. So when you look at all that stuff, we've got a very good portfolio. We feel good about it.

因此，當你查看我們投資組合中的信用指標時，我們認為它們表現良好。沒有理由擔心。當您考慮我們在披露中與您分享的壓力測試時，您會了解到我們如何考慮該投資組合中隨著時間的推移的利率風險，即期限牆問題。所以當你看看所有這些東西時，我們有一個非常好的產品組合。我們對此感覺很好。

But the second part of our consideration is we've always been pretty proactive about capital. So we went, 18 months ago, into a mode of preserving and building capital. It was very thoughtful. We wanted to protect ourselves from what might occur in the environment, and we're really happy with where capital is.

但我們考慮的第二部分是我們在資本方面一直非常積極。因此，18 個月前，我們進入了保存和建立資本的模式。這是非常周到的。我們希望保護自己免受環境中可能發生的情況的影響，而且我們對資本所在的位置感到非常滿意。

So I look at this two ways. The portfolio is performing well, and we feel good about it. There's not a lot of pressure. And then you look at your capital ratios and see that you've built them nicely over the last couple of years. That's the -- what I would say is a textbook way to manage our CRE concentration. We feel good about it, but I wouldn't make any comments attributable to our regulators.

所以我從兩個方面來看這個問題。該投資組合表現良好，我們對此感覺良好。壓力不大。然後你看看你的資本比率，發現你在過去幾年建立得很好。我想說的是，這是管理我們的商業房地產集中度的教科書式方法。我們對此感覺良好，但我不會對我們的監管機構發表任何評論。

I understand. I appreciate you gave me some commentary there, Chris. I'll step back. Thanks, guys.

我明白。我很感激你給了我一些評論，克里斯。我會退後一步。謝謝，夥計們。

Thank you. Tim Switzer, KBW.

謝謝。蒂姆·斯維策，KBW。

Hey. Thank you for taking my questions. I had a quick follow-up on your comments there about you're happy with where your capital is right now. You still have a good amount of capital, though, and you've been doing buybacks in the last two quarters.

嘿。感謝您回答我的問題。我對您的評論進行了快速跟進，並表示您對目前的資本狀況感到滿意。不過，您仍然擁有大量資本，並且在過去兩個季度中一直在進行回購。

Why do you not expect to do any more in the rest of the year? Is that given some sensitivity to valuation given the recent rise in shares? Or is it more you're trying to preserve capital for either potential downturn or maybe opportunities on the M&A side?

為什麼你不希望在今年剩下的時間裡做更多的事情？鑑於近期股價上漲，這是否對估值有些敏感性？或者您是否更多地試圖為潛在的經濟低迷或併購方面的機會保留資本？

First, I would say that there's no reason we wouldn't buy shares back. We're just thinking about the best use of capital, which is organic growth; and we're playing that off against the opportunity to repurchase shares over time.

首先，我想說我們沒有理由不回購股票。我們只是考慮資本的最佳利用，即有機成長；我們正在與隨著時間的推移回購股票的機會進行競爭。

So I think as Joe builds out his teams and the pipelines build and we get a sense to exactly how much capital we're going to use for organic growth, any excess capital beyond that, as long as we're trading below tangible book value, I think it's a pretty attractive financial decision for us to buy back shares.

因此，我認為，當喬組建他的團隊和管道時，只要我們的交易價格低於有形帳面價值，我們就會準確地了解我們將使用多少資本用於有機增長，除此之外的任何多餘資本，我認為回購股票對我們來說是一個相當有吸引力的財務決定。

So number one priority is supporting organic growth. Number two priority is taking advantage of a valuation we think is attractive. So I wouldn't say zero, but we just said it should maybe a little bit -- you might not see a lot of it.

因此，第一要務是支持有機成長。第二要務是利用我們認為有吸引力的估值。所以我不會說零，但我們只是說應該有一點——你可能不會看到很多。

Okay. So it's more based off of the anticipation of more loan growth given the pipeline you've seen?

好的。因此，考慮到您所看到的管道，這更多是基於對貸款成長更多的預期？

Yeah. And we think generally that we -- the capital levels we're at are adequate for the risk profile of our company. So we're not trying to use repurchases to lever the company at all. We're just taking excess earnings and applying them to repurchases. So to the extent we don't need it, we'll keep our capital ratios pretty much in this neighborhood and use any excess earnings for repurchases that we don't need to grow.

是的。我們普遍認為，我們目前的資本水準足以應對我們公司的風險狀況。因此，我們根本不會試圖利用回購來槓桿公司。我們只是將超額收益用於回購。因此，在我們不需要的情況下，我們將把資本比率保持在這個附近，並將任何超額收益用於我們不需要成長的回購。

Okay, understood. I was also interested in your comments about the hiring efforts you've made in the C&I space. I know the competition there has been -- I mean just for C&I loan growth, generally, it's been a little tough as banks try to diversify.

好的，明白了。我也對您對 C&I 領域招聘工作的評論感興趣。我知道競爭一直存在——我的意思是，就工商業貸款成長而言，總的來說，隨著銀行試圖實現多元化，競爭有點艱難。

What's the competition been like on the recruiting side? Has that been tough? And what's the pitch OceanFirst makes to potential new bankers?

招募方面的競爭怎麼樣？那很難嗎？OceanFirst 對潛在新銀行家的宣傳是什麼？

I think, one, I'd say that the competition is difficult in any environment, especially for revenue-producing people, whether it be classic C&I bankers, deposit gatherers -- you name it -- investment folks. But I think for us, the pitches have always been the very similar pitch, right?

我認為，第一，我想說，在任何環境下，競爭都是艱難的，尤其是對於創收人員來說，無論是傳統的工商銀行家、存款收集者——凡是你能想到的——投資人士。但我認為對我們來說，球場一直都是非常相似的，對吧？

We're steady. We're going to be in markets. We don't change our minds about whether or not we want to do things. It's been very clean, straightforward. Management team has been consistent.

我們很穩定。我們將進入市場。我們不會改變我們是否想做某事的想法。它非常乾淨、簡單。管理團隊一直保持一致。

And when people come here, they like it. and we don't have turnover. So I think we have a good reputation in the marketplace, and I think that helps salespeople.

當人們來到這裡時，他們會喜歡它。而且我們沒有營業額。因此，我認為我們在市場上擁有良好的聲譽，這對銷售人員很有幫助。

Salespeople want to make sure, especially the people we target, which are people largely from what I consider to be the large regional and national banks. Those folks get in and out of markets and businesses all the time. And we tend to be -- if we're in a business, we tend to stay in the business.

銷售人員想要確定，特別是我們的目標族群，這些人主要來自我認為的大型地區和國家銀行。這些人一直進出市場​​和企業。如果我們從事某項業務，我們往往會留在該業務中。

So we tell people that you don't have to worry about policy shifts and changes. If you bring us good business, we'll do it. So that seems to always resonate.

所以我們告訴人們，你不必擔心政策的轉變和改變。如果你帶給我們好的生意，我們就會做。所以這似乎總是能引起共鳴。

What we found over the years is that the best bankers just want to know they can support their clients. And as long as you can demonstrate to them that they're going to have the tools and the support and the capital and the balance sheet to do that, they're going to feel pretty comfortable.

多年來我們發現，最好的銀行家只是想知道他們能夠支持他們的客戶。只要你能夠向他們證明他們將擁有做到這一點的工具、支援、資本和資產負債表，他們就會感到非常舒適。

So -- and we have joked over the years. Some of these sales processes for new bankers can take a while. We've had bankers we've pursued for up to five years before they actually signed up. So the folks we bring on, we bring on deliberately. But they're top quality folks.

所以——多年來我們一直開玩笑。對於新銀行家來說，其中一些銷售流程可能需要一段時間。我們已經對一些銀行家進行了長達五年的追求，直到他們真正簽約。所以我們招來的人，是我們故意招來的。但他們都是高素質的人。

They stay with us a long time. They've built really durable relationships and extend our brands. So we're adding people every quarter. We're going to add more between now and the end of the year. And we've got a positive outlook for it.

他們和我們待了很久。他們建立了真正持久的關係並擴展了我們的品牌。所以我們每季都會增加人員。從現在到今年年底，我們將添加更多內容。我們對此抱持著正面的展望。

Great. That's a lot of good color. Thank you, guys.

偉大的。這是很多很好的顏色。謝謝你們，夥計們。

David Bishop, Hovde Group.

大衛畢肖普，霍夫德集團。

Yeah. Good morning, gentlemen. Chris or Pat, just curious. You spent a lot of time talking about the loan growth side. But on the funding side, you said you paid down some of the brokered and high cost savings accounts this quarter.

是的。早安，先生們。克里斯或帕特，只是好奇。您花了很多時間談論貸款成長方面。但在資金方面，您說您本季還清了一些經紀和高成本儲蓄帳戶。

Are there any sort of tranches or big tranches of maybe CDs or broker deposits that are maturing that there's an opportunity to reprice here in the next couple of quarters? Just curious what the funding side of the balance sheet looks like from a repricing perspective.

是否有任何類型或大筆的 CD 或經紀人存款即將到期，有機會在接下來的幾個季度內重新定價？只是好奇從重新定價的角度來看，資產負債表的融資面是什麼樣的。

Hey, David. It's Pat. It's actually pretty steady around, I don't know, $200-ish million, on average, that rolls every month, I guess, over the next six to nine months or so. So we deliberately ladder into these so that we don't have any big slugs of it coming due at any one time. So that gives us opportunities to manage how we roll.

嘿，大衛。是帕特。我不知道，實際上它相當穩定，平均每月有 2 億美元左右，我猜，在接下來的六到九個月左右的時間裡。因此，我們故意逐步進入這些領域，這樣我們就不會在任何時候出現任何大的問題。這讓我們有機會管理我們的滾動方式。

Brokered CDs are a little bit lumpier than that. I'm talking about more on the retail CD side. But we only have about $250 million, I think, that's rolling between now and year-end. And we'll continue to look at that and decide whether we want to keep it or not.

經紀 CD 比這要複雜一些。我談論的是零售 CD 方面的更多內容。但我認為，從現在到年底，我們只有大約 2.5 億美元。我們將繼續關注這一點並決定是否保留它。

If it's economic, we generally would roll the brokered CDs. It's proven to be less economic this year. You remember last year, when we layered in about 8% or 9% of our total deposit base. It was actually a 20 to 30-basis-point advantage over other sources of funding.

如果經濟的話，我們通常會滾動經紀CD。事實證明，今年的經濟效益較差。你還記得去年，我們分層存款佔總存款基礎的 8% 或 9% 左右。這實際上比其他資金來源有 20 到 30 個基點的優勢。

And so we thought it was a good deal. And we've been slowly letting it roll as it became less economic to do that. So it will be pretty steady in a normal way cash flows for us.

所以我們認為這是一筆很好的交易。我們一直在慢慢讓它發展，因為這樣做變得不那麼經濟了。因此，我們的現金流將以正常方式非常穩定。

Got it. Appreciate that. And then Chris, a holistic question. Maybe it's a tougher question maybe to answer than that. But obviously, our rate has been depressed here. It's been a tough yield curve over the past couple of years.

知道了。很欣賞這一點。然後是克里斯，一個整體問題。也許這是一個比這更難回答的問題。但顯然，我們的利率在這裡受到了抑制。過去幾年，殖利率曲線一直很艱難。

From a Board perspective, is there a sense that -- is there a bright line ROA that you have to hit to earn or maintain independence? Does that come up in the dialogue, if any? Is that something that's in the select economy states in terms of reaching a set return on equity or return on assets?

從董事會的角度來看，是否存在這樣一種感覺——是否存在必須達到的 ROA 明線才能獲得或保持獨立性？如果有的話，這會出現在對話中嗎？這是特定經濟體中達到設定股本報酬率或資產報酬率的東西嗎？

We -- as you can imagine, that comes up often. It comes up among management, certainly with the Board. If you back into the world this way and think about leverage, there's only a range of leverage that would be, I think, workable for a regional bank like us. Once you know that leverage, you're going to have to have a certain ROA in order to be able to return cost of capital.

我們——正如你可以想像的那樣，這種情況經常出現。它出現在管理階層中，當然也出現在董事會中。如果你以這種方式回到世界並考慮槓桿，我認為只有一系列槓桿對我們這樣的區域銀行來說是可行的。一旦你知道了槓桿率，你就必須有一定的資產報酬率才能回本資本成本。

We have four years. We felt that required investor return for us over the long haul should be in the upper teens that reflects our risk -- the risk position of our company, things like the dividend yield and liquidity and all that. So that's our aspiration.

我們還有四年。我們認為，從長遠來看，我們所需的投資者回報應該在十幾歲左右，這反映了我們的風險——我們公司的風險狀況，股息收益率和流動性等。這就是我們的願望。

If you back into our leverage position, that requires an ROA that is north of 1%, probably approaching 1.20%. We have done that in the past, and I think we can get there again. The last two years of the inverted yield curve has not helped with that, and I'm not sure that goes away in the next two or three quarters. I think that inversion may stick around for a bit.

如果您回到我們的槓桿位置，則需要高於 1% 的 ROA，可能接近 1.20%。我們過去已經做到了這一點，我認為我們可以再次做到這一點。過去兩年的殖利率曲線倒掛對此沒有任何幫助，而且我不確定這種情況會在未來兩三個季度內消失。我認為反轉可能會持續一段時間。

But our thought is with the loan growth. We're talking about building second half of this year going into 2025. Although margins may still be tight on that, the operating leverage will pick up. And we have an opportunity to build back to that level.

但我們的想法是隨著貸款的成長。我們正在討論從今年下半年到 2025 年的建設。儘管利潤率可能仍然緊張，但經營槓桿將會上升。我們有機會恢復到那個水準。

So we certainly recognize that to earn our independence, there's a little bit of a line in the sand that -- you better have a path to get yourself north of a 1% ROA. And we think we have the visibility on that for now, but there's a lot, obviously, going on with rate markets and things like that.

因此，我們當然認識到，要贏得獨立，就必須有一條界線——你最好有一條路可以讓自己的 ROA 超過 1%。我們認為目前我們已經了解了這一點，但顯然，利率市場和類似的事情正在發生很多事情。

Interestingly, with all the discussion about what is the Fed going to do or not do, we're probably more impacted over the next couple of years by what the five-year and the 10-year do. That's got a significant impact to our business. So the longer end of the yield curve is something we watch as much as the short end even though it gets less attention.

有趣的是，隨著所有關於聯準會將做什麼或不做什麼的討論，未來幾年我們可能會更容易受到五年期和十年期政策的影響。這對我們的業務產生了重大影響。因此，我們對殖利率曲線的較長端和較短端同樣關注，儘管它受到的關注較少。

Got it. Appreciate that color.

知道了。欣賞那個顏色。

Thank you. Manuel Navas, D.A. Davidson.

謝謝。曼努埃爾·納瓦斯，D.A.戴維森。

Hey. Just a quick follow-up on that 1.20% ROA long term. Does that also assume a return to, I think, more aspirational 10% loan growth?

嘿。只是對 1.20% 的長期 ROA 進行快速跟進。我認為，這是否也假設貸款成長回到更理想的 10%？

Yeah, I think that's the way you get there. That's the path, and you think about just building that over time. It's not something that's going to happen certainly this quarter.

是的，我想這就是你到達那裡的方式。這就是路徑，你會考慮隨著時間的推移來建立它。這肯定不是本季會發生的事情。

But -- and the other complication -- this may add a little bit of time to this -- is we're not just rebuilding or building the loan book. We're also doing a mix shift. And while we think that's really valuable for us over the long term of the company, it just takes a little bit longer.

但是，另一個複雜的情況是，這可能會增加一點時間，我們不僅僅是重建或建立貸款簿。我們也在進行混合轉變。雖然我們認為從公司的長遠來看這對我們來說確實很有價值，但只是需要更長的時間。

Most of these C&I relationships are only partially drawn. So you're not putting out dollar for dollar like you were in commercial real estate. Undoubtedly, we think that's much more valuable for our company, but it does complicate the time it takes to rebalance a little bit and achieve that 10% growth rate.

這些 C&I 關係中的大多數只是部分繪製的。所以你不會像商業地產那樣一分錢一分貨地投入。毫無疑問，我們認為這對我們公司來說更有價值，但這確實使重新平衡並實現 10% 成長率所需的時間變得複雜。

But we've always thought that that's a nice, prudent level of growth that you should be able to sustain year after year. And I'd point out that prior to COVID, fourth quarter of 2019, we achieved that 1.20% ROA after working on operating leverage for a few years. COVID set us back.

但我們一直認為這是一個良好、審慎的成長水平，你應該能夠年復一年地維持下去。我想指出的是，在新冠疫情爆發之前，即 2019 年第四季度，經過幾年的營運槓桿努力，我們實現了 1.20% 的 ROA。新冠疫情讓我們倒退了。

We had achieved it again fourth quarter 2022, and then we had the liquidity crisis we went into. So we know how to get there, and we're comfortable we'll get on the path to get there. But I would just hesitate to give you a very precise date on which we think we'll be there.

我們在 2022 年第四季再次實現了這一目標，然後我們陷入了流動性危機。所以我們知道如何到達那裡，並且我們很高興能夠走上到達那裡的道路。但我只是猶豫是否要給你一個我們認為我們會在那裡的非常準確的日期。

I appreciate that. Stepping back towards discussing the C&I team, some of the new lenders and those that are still to come, have they been ramping as expected? Or has competition slowed the ramp? Rates could be part of it, too. And how is the C&I team doing on the deposit generation as well?

我很欣賞這一點。退一步討論 C&I 團隊、一些新的貸款人和那些即將到來的貸款人，他們的成長是否符合預期？還是競爭減緩了成長速度？價格也可能是其中的一部分。C&I 團隊在存款產生方面的表現如何？

So I'd tell you that the folks that we've hired have met or exceeded expectations. I think that -- the interesting semi-answer to the question is -- I'll use the example of the last quarter. We had five of our better C&I borrowers pay us down on their loan balances because they're doing so well and they have cash.

所以我想告訴你，我們僱用的人員已經達到或超出了預期。我認為——這個問題的有趣的半答案是——我將使用上個季度的例子。我們有五個較好的商業和工業借款人向我們償還了他們的貸款餘額，因為他們做得很好並且有現金。

So the good news is I have cash from my C&I borrowers in the bank at reasonable rates and some in operating accounts where I'm not really paying a rate. The bad news is they're done so well with cash that they're paying down my (inaudible) rate yielding assets because they have the ability to do so. So it's a little bit of a balancing act.

因此，好消息是，我以合理的利率從 C&I 借款人處獲得了現金，還有一些現金存在於我並未真正支付利率的營運帳戶中。壞消息是，他們在現金方面做得很好，他們正在償還我的（聽不清楚）收益率資產，因為他們有能力這樣做。所以這是一種平衡行為。

Look, there's competition out there. The only thing I really worry about in the C&I space today in terms of competition is we have an environment where there are people getting into this space that don't understand the space. And you always worry about people putting on assets in the C&I space that are not structured properly.

瞧，外面有競爭。就競爭而言，今天 C&I 領域我真正擔心的唯一一件事是我們的環境中有些人不了解這個領域而進入這個領域。而且您總是擔心人們在 C&I 領域投入的資產結構不合理。

I'm happy to compete on price within reason. I'm not going to compete on the structure aspect. That's just long-term road to ruin. But our folks so far that we put in place has done fine.

我很樂意在合理的範圍內進行價格競爭。我不會在結構方面進行競爭。這只是長期的毀滅之路。但到目前為止，我們安排的人員做得很好。

That's good to hear. In terms of the NIM outlook, you talked about some of the wholesale funding that's coming up. Is -- what are the assumptions around wholesale funding? Is the assumption that they stay at current levels and just reprice or it's assumed in the guide that you pay them off?

很高興聽到這個消息。就淨利差前景而言，您談到了即將出現的一些批發融資。關於批發融資的假設是什麼？是假設它們保持在當前水平並重新定價，還是指南中假設您還清了它們？

Like, is deposit growth a wildcard here, potentially? How should I think about how you're viewing and planning for on wholesale funding payoffs?

例如，存款成長是否可能是一個通配符？我應該如何考慮您如何看待和規劃批發資金回報？

We don't have a ton of overnight wholesale funding that's out there. We've got about $800 million or so of borrowings, but $600 million of that is termed. It seems like years and years and years ago. I guess it was about five quarters ago, we termed out three buckets, $200 million per bucket FHLB borrowings. And those start to mature in 2025 and then 2026 and then 2027. So that's three quarters of that.

我們沒有大量的隔夜批發資金。我們有大約 8 億美元左右的借款，但其中 6 億美元已到期。這似乎是很多年以前的事了。我猜大約是五個季度前，我們向 FHLB 借款了三筆，每筆 2 億美元。這些將在 2025 年、2026 年和 2027 年開始成熟。這是其中的四分之三。

We also, aside from that, really don't have much in terms of longer-term funding that's out there even in our CD book. It's relatively short. So we're pretty well positioned to take advantage of lower funding costs as they occur.

除此之外，即使在我們的 CD 書中，我們確實沒有太多長期資金。它相對較短。因此，我們完全有能力利用較低的融資成本。

The flip side of that is just to maintain our current liquidity levels, growth means that we're funding at today's shorter-term higher rates, which, again, can squeeze profitability but does make us think carefully about the profitability of any loans that we're going to do. Because we are funding incrementally as we go along. Does that help or answer your question?

另一方面，只是為了維持我們當前的流動性水平，成長意味著我們以當今的短期較高利率提供資金，這再次會擠壓盈利能力，但確實讓我們仔細考慮我們所提供的任何貸款的盈利能力。因為我們會隨著進展逐步提供資金。這對您有幫助或回答您的問題嗎？

That does, that does. Shifting gears for my last question, can you discuss the upward trajectory of the loan loss reserve? It's just ticking up.

確實如此，確實如此。我的最後一個問題是，您能討論一下貸款損失準備金的上升軌跡嗎？它只是在滴答作響。

And you're not responding to regulatory pressure, but you are building capital and building reserves. Is that part of seeing the landscape and trying to be proactive? Is that the right way to think about it rather than being responsive to any particular regulatory concern on the CRE concentration issue?

你不是在應對監管壓力，而是在累積資本和儲備。這是看到風景並嘗試積極主動的一部分嗎？這是否是正確的思考方式，而不是對商業房地產集中度問題的任何特定監管問題做出回應？

It's exactly (multiple speakers)

正是如此（多個發言者）

And where (inaudible)

還有哪裡（聽不清楚）

So the first part of the question is easier than the second part. But I would say it's completely an external function, where we're thinking about the environment. We're thinking about peer loan loss reserves. We're looking out at what the credit conditions might be.

所以問題的第一部分比第二部分容易。但我想說這完全是一個外部功能，我們在其中考慮環境。我們正在考慮同儕貸款損失準備金。我們正在研究信貸條件可能是什麼。

Let's say the soft lending isn't quite as soft as people would like it to be. I just want to have a little bit of an extra margin there. It's not a giant difference. There is nothing inside our loan book that is driving us to feel that we need any significantly higher reserve than we have today.

假設軟貸款並不像人們希望的那麼軟。我只是想在那裡有一點額外的利潤。這並不是一個巨大的差異。我們的貸款帳簿中沒有任何內容讓我們覺得我們需要比現在更高的準備金。

So it's just been a gradual evolution as we've watched things like the Moody's forecast and where unemployment is going and things like that. We just want to make sure we're a little bit more prudent.

因此，這只是一個漸進的演變，因為我們觀察了穆迪的預測以及失業率的走向等等。我們只是想確保我們更加謹慎。

I would say that it is clear to us -- and CECL is terrible in this regard, but CECL really anchors you back to your loss histories. And our loss histories have been really good. So it's hard to satisfy the standard you would need around quantitative allowance.

我想說，我們很清楚——CECL 在這方面很糟糕，但 CECL 確實讓你回到了你的損失歷史。我們的損失歷史非常好。因此，很難滿足您在數量津貼方面所需的標準。

As we build the C&I book, I think we also have the opportunity to maybe have a little bit higher reserve level against C&I. First of all, it tends to deserve that anyway. And although we've done C&I for decades, this is a little larger concentration for us into some new verticals.

當我們建立 C&I 帳簿時，我認為我們也有機會針對 C&I 制定更高的準備金水準。首先，無論如何，它都是值得的。儘管我們從事 C&I 已有數十年，但這對我們來說是更集中於一些新的垂直領域。

So I think we're taking the opportunity. I wouldn't be surprised if you see us take the opportunity to build a little reserve as we build that book up to a bigger part of our balance sheet. But at the end of the day, we're not going to change our credit discipline.

所以我認為我們正在抓住這個機會。如果你看到我們趁機建立一點儲備金，因為我們將該帳簿擴大到資產負債表的更大部分，我不會感到驚訝。但最終，我們不會改變我們的信用紀律。

We don't expect different outcomes in credit performance. So I don't see us being heading towards a reserve-heavy bank, but you might see what you've seen over the last year. You might see if economic conditions continue to be a little questionable. You might see a couple of basis points a quarter from here from time to time. No big moves.

我們預期信用表現不會有不同的結果。因此，我不認為我們會走向一家儲備充足的銀行，但你可能會看到去年所看到的情況。您可能會發現經濟狀況是否仍有一些問題。您可能會不時看到一個季度的幾個基點。沒有大動作。

Thank you. I appreciate the commentary. I'll step back into the queue.

謝謝。我很欣賞你的評論。我將回到隊列中。

Thank you, Manuel. Matthew Breese, Stephens.

謝謝你，曼努埃爾。馬修·布里斯，史蒂芬斯。

Hey. Good morning. I was hoping you could provide an update on the percentage of loans at a pure floating rate, I mean, priced off something like prime or SOFR and what the blended yield is on those loans?

嘿。早安.我希望您能提供有關純浮動利率貸款百分比的最新信息，我的意思是，以優質利率或 SOFR 等定價，以及這些貸款的混合收益率是多少？

Sure. Hey, Matt. It's Pat. So our pure floating rate is just under 29% of our loan book, about $2.9 billion. And those are split about one-third prime, two-thirds SOFR. I don't have the exact numbers right in front of me.

當然。嘿，馬特。是帕特。因此，我們的純浮動利率略低於貸款帳面的 29%，約 29 億美元。其中大約有三分之一是質數，三分之二是 SOFR。我面前沒有確切的數字。

I want to say it's about $900 million that's based off prime. So the remainder -- when we talk about our fixed and floating rate makeup of being [55, 45-ish], which we've said in the past frequently. It's [54, 55] fixed rate. The floating includes adjustable when we talk about that, which is about $1.7 billion. And then the fixed rate is [5.5].

我想說的是，大約有 9 億美元是基於黃金期的。所以剩下的——當我們談論我們過去經常提到的固定利率和浮動利率組成[55, 45-ish]時。這是 [54, 55] 固定利率。當我們談論這個時，浮動包括可調整的，大約是17億美元。然後固定利率是[5.5]。

And is it safe to assume that the pure floating rate paper is capturing a spread of, call it, 2 points over SOFR, 2.5 points over SOFR? I'm trying to get a sense for -- if we look at that fixed rate portion of your book, what is that yielding and what's the repricing opportunity? And when does that start to kick in for the NIM?

是否可以安全地假設純浮動利率票據所捕獲的利差比 SOFR 高 2 個點，比 SOFR 高 2.5 個點？我試著去了解一下——如果我們看看你書中的固定利率部分，它的收益率是多少，重新定價的機會是什麼？NIM 何時開始發揮作用？

Yeah. I think historically -- it kind of depends on the age -- the vintage of it. But historically, we averaged about [250] over benchmark. That obviously is compressed over time with competition. It's probably more in the [2 to 2.25]. So I think you're in the right ZIP code.

是的。我認為從歷史上看——這有點取決於時代——它的年份。但從歷史上看，我們的平均值比基準高出約 [250]。隨著時間的推移，隨著競爭的加劇，這一點顯然會被壓縮。可能更多的是在[2至2.25]。所以我認為您的郵遞區號是正確的。

Hey, Matt. It's Chris. One of the things that we do watch really carefully -- this was my comment about watching, say, the five-year -- is a lot of those adjusting loans as they roll. They're indexed off the five-year. So as the five- and the 10-year fall a little bit, that can affect outcomes as well.

嘿，馬特。是克里斯。我們確實仔細觀察的事情之一——這是我對觀察五年期的評論——是許多在貸款滾動時進行調整的事情。它們是按五年期指數編制的。因此，隨著五年期和十年期利率略有下降，這也會影響結果。

So just for the fixed rate and the ARM book, what is kind of the roll-on versus roll-off dynamic that you're referring to, Chris?

那麼，就固定利率和 ARM 書籍而言，您所指的滾動與滾動動態是什麼樣的，Chris？

So I think if you look at our maturity wall, that's probably the best numbers you can see. You can see by period how many loans we have rolling through, what rate they're coming from.

所以我認為如果你看看我們的成熟度牆，這可能是你能看到的最好的數字。您可以按期間查看我們已辦理的貸款數量以及貸款利率。

Just to caution, we were trying to show a credit perspective in that, so we're using the rates the customer's paying, not the rate we are earning. We're actually earning a little higher than those rates because of swaps. So probably -- I mean, it's probably a 30, 40 basis points difference between the stated rates in that maturity wall slide in terms of what we're being paid today. And you roll that forward and look at -- pick a number, [225] over the curve as they roll.

需要注意的是，我們試圖展示信用觀點，因此我們使用的是客戶支付的利率，而不是我們賺取的利率。由於掉期，我們的收入實際上比這些利率高一些。所以，我的意思是，就我們今天的薪酬而言，期限牆幻燈片中規定的利率可能存在 30、40 個基點的差異。然後你將其向前滾動，然後在滾動時在曲線上選擇一個數字 [225]。

Okay. And just playing this out, I mean, at what point do we start to see this dynamic really take hold and propel the margin higher? In quarters past, we've talked about the natural landing point for the NIM for a bank like yours being the 3% to 3.25% range. When can we start to see meaningful progress towards that?

好的。我的意思是，我們什麼時候開始看到這種動態真正佔據主導地位並推高利潤率？在過去的幾個季度中，我們曾討論過對於像你們這樣的銀行來說，NIM 的自然著陸點是 3% 到 3.25% 的範圍。我們什麼時候才能開始看到這方面有有意義的進展？

I think -- look, we can make progress between where we are now and, just to pick a number, say, 3% over time. But to get much above 3%, you're not going to see that in an inverted yield curve. So we would need a normalization of the curve to get much beyond that.

我認為——看，我們可以在現在的水平和隨著時間的推移選擇一個數字（例如 3%）之間取得進展。但要達到遠高於 3% 的水平，你不會在殖利率曲線倒掛中看到這一點。因此，我們需要對曲線進行標準化才能遠遠超出這個範圍。

It is really important, the new growth we do and what rates that comes in at. As Joe mentioned, our pipeline today, we're really concentrating on that C&I borrower. It carries almost an 8% handle. That will help. That will help us get back towards 3%. But if you're looking at our long-term average, closer to 3.25%, I don't see us being able to achieve that without moving the yield curve.

我們所做的新成長以及成長速度非常重要。正如喬所提到的，我們今天的管道，我們真正關注的是 C&I 借款人。它的手柄幾乎有8%。那會有幫助的。這將幫助我們回到 3%。但如果你看看我們的長期平均水平，接近 3.25%，我認為我們無法在不移動殖利率曲線的情況下實現這一目標。

Okay. And then what is a good tax rate to use from here?

好的。那麼這裡使用的合適稅率是多少呢？

24%. I keep saying 25%, approximately, and we keep printing 24%. So I'm changing it. It's 24% now.

24%。我一直說大約是 25%，而我們一直在印 24%。所以我正在改變它。現在是24%。

Okay. And then just the last one for me. You have, I think, $125 million of sub-debt reaching its call date about this time next year, maybe a little earlier. One, what is the current thinking around that in terms of paying it off or reissuing?

好的。然後是我的最後一個。我認為，大約有 1.25 億美元的次級債務將於明年這個時候（也許更早）到達贖回日期。第一，目前在還清或重新發行方面的想法是什麼？

And then secondly, just curious. At this point in the game, does the something count towards the CRE concentration? Or have we moved to the Tier 1-plus allowance methodology?

其次，只是好奇。在遊戲的這個階段，該東西是否會計入 CRE 濃度？或者我們已經轉向一級+津貼方法？

I'll give you the first part of that, and then Pat will follow up in a second. So the thinking on it is -- look, when it matures next May, if rates are what they are today, it's going to be more expensive than we'd like. And we'd probably look to refi that.

我會給你第一部分，然後帕特會在第二部分跟進。所以我們的想法是——看，當它明年五月到期時，如果利率是現在的水平，它會比我們想要的更貴。我們可能會重新考慮這一點。

At the issuances that we've seen in the last, call it, 60 days, we're not excited or anxious to do anything with that today. We're watching carefully whatever the Fed does. We're watching carefully to see if capital markets activities by other regional bank issuers come out.

在我們過去看到的發行（稱之為 60 天）中，我們今天並不興奮或焦慮地對此採取任何行動。我們正在仔細觀察聯準會的任何舉動。我們正在仔細觀察其他地區銀行發行人的資本市場活動是否會公佈。

We're kind of watching that market. But it's conceivable. We might take an opportunity to issue in advance of that, but not at today's rates. And we don't feel any pressure on that.

我們正在關注這個市場。但這是可以想像的。我們可能會藉此機會提前發行，但不會以今天的利率發行。我們對此沒有任何壓力。

So -- and look, it still continues to be available to us next year, just reprices. And with the margins, it would be more expensive than today's issuance rates. So there is an opportunity for us to refi that. Pat, just on the capital treatment?

所以，你看，明年我們仍然可以繼續使用它，只是重新定價。考慮到利潤率，它的發行利率將比今天的發行利率更高。所以我們有機會重新調整這一點。帕特，只是關於資本待遇？

Yeah. So the sub-debt Tier 2 and, typically, everybody issues from the holding company, your listed vehicle. And then to the extent that you need or want to have Tier 1 treatment for your bank, you would then inject the capital down in the bank. So that would drive the denominator of the Tier 1-plus allowance as any sub-debt that's been put down into the bank, and it would be for the calculations of where all your loans are and where the bulk of your capital is residing, which would be in the bank.

是的。因此，二級次級債務通常是每個人都從控股公司（您的上市工具）發行的。然後，如果您需要或希望為您的銀行提供一級待遇，您將向銀行注入資本。因此，這將推動一級+津貼的分母作為存入銀行的任何次級債務，並將用於計算您所有貸款​​的所在地以及大部分資本的所在地，這將在銀行中。

We've also -- just remind you, it's May of next year. We have the [125] that we'll reprice. And we also have [57], I think, of preferred that also reprices in May of next year. And those are at 5.25% and 7%, respectively.

我們也提醒您，這是明年五月。我們有[125]，我們將重新定價。我認為，我們還有 [57] 的首選，也會在明年 5 月重新定價。分別為 5.25% 和 7%。

So the sub-debt issues is benchmarked off of a longer-term treasury. So the short-term rates are much less important when we think about it and where we think the longer end of the curve is today versus where it might be then. So it's not that big of a difference. It's really just the additional months of carry if we were to issue anything in advance of that date versus the higher interest rate that we'll pay once those coupons reset in May, which the shorter the time gets, the less it kind of matters.

因此，次級債務問題是以長期國債為基準的。因此，當我們考慮這個問題時，以及我們認為當前曲線的較長端與當時可能的位置相比，短期利率就不那麼重要了。所以差別並不是那麼大。如果我們在該日期之前發行任何東西，那麼實際上只是額外的幾個月的利息，一旦這些優惠券在五月份重置，我們將支付更高的利率，時間越短，它就越不重要。

And so with capital thinking, you like to do it when you can, rather than when you have to. And so we've been thinking about this and talking about it already for some -- for the better part of this year. And we'll be opportunistic and thoughtful about it.

因此，對於資本思維來說，你喜歡在可以的時候去做，而不是在不得已的時候去做。因此，在今年的大部分時間裡，我們一直在思考這個問題，並且已經為一些人討論過這個問題。我們會抓住機會並深思熟慮。

But net-net, in this environment, more capital is good, just like more allowance is good. So there's an intangible trade of the extra cost of carry for that capital versus the perception of the strength of your balance sheet. So --

但淨淨，在這種環境下，更多的資本是好的，就像更多的津貼是好的一樣。因此，資本的額外持有成本與資產負債表實力的感知之間存在著無形的交易。所以--

Understood. Any -- that sort of sub, any change in thinking on how to navigate the preferred prepricing?

明白了。關於如何導航首選預定價的想法有任何變化嗎？

Not really. Retail seems to be -- there's such a thirst for retail preferred, and folks seem to be relatively indifferent if it's rated. So that's a pretty easy out on the replacement of the preferred, and it's a fairly small issuance bucket.

並不真地。零售似乎是——人們對零售的渴望如此強烈，而人們似乎對它的評級相對漠不關心。因此，更換首選債券非常容易，而且發行量相當小。

The sub is generally, whether you price it institutional or retail or not, consumed almost entirely by institutional investors. So you need to be thoughtful about the timing and the competition for capital and how the issuance is going to be viewed by the street, of course, which we've seen positive reactions and negative reactions to capital issuance just in the last 90 days by banks of our size or community or small regionals. So we're also trying to navigate that perception. Challenge as well.

一般來說，無論你定價的是機構投資者還是散戶，該次級產品幾乎全部由機構投資者消費。因此，你需要仔細考慮資本發行的時機和競爭，以及市場將如何看待發行，當然，我們在過去 90 天內看到了對資本發行的積極反應和消極反應我們規模或社區或小區域的銀行。所以我們也在努力改變這種看法。挑戰也是如此。

Great. I appreciate all the color. I'll step back. Thank you.

偉大的。我欣賞所有的顏色。我會退後一步。謝謝。

Christopher Marinac, Janney Montgomery Scott.

克里斯多福·馬裡納克，珍妮·蒙哥馬利·斯科特。

Thanks for hosting us this morning. Chris, I wanted to follow up on the allowance point you made two calls ago. So when you have the idiosyncratic losses like you had this one-off credit, does that give you any positive evidence to build that component, particularly as you have new loan growth?

感謝您今天早上接待我們。克里斯，我想跟進你之前兩次打電話的津貼點。因此，當您遇到像一次性信貸這樣的特殊損失時，這是否會給您任何積極的證據來建立該組成部分，特別是當您有新的貸款增長時？

It would, Chris, if we could find other loans like that in the book. The problem is, we don't have them. Our central business district concentrations now $125 million. We've been through that with a fine-tooth comb. I understand everything about it, and we don't have any other credits that meet the same criteria as the one where we had the issue last year.

克里斯，如果我們能在書中找到其他類似的貸款，那就太好了。問題是，我們沒有它們。我們的中央商務區目前集中了 1.25 億美元。我們已經仔細梳理過這個問題。我了解這一切，而且我們沒有任何其他信用符合與去年遇到問題的信用相同的標準。

So it's hard to extrapolate and push that out. We did our stress tests looking at the maturity walls. We did our stress test looking at different asset classes, looking at all of our construction loans. As we go through all these things, we're obviously looking for information that would support either the allowance we have today or require us to adjust the allowance.

所以很難推斷並推出它。我們根據成熟度牆進行了壓力測試。我們對不同的資產類別和所有的建築貸款進行了壓力測試。當我們經歷所有這些事情時，我們顯然正在尋找支持我們今天擁有的津貼或要求我們調整津貼的資訊。

The positive news is those stress tests have been so positive that it hasn't really given us a lot of support to move the allowance in any particular way. But we understand that we're a little bit of an outlier in the total allowance. And we don't like being outliers and anything, so we look at it really carefully every quarter and make thoughtful decisions about it.

積極的消息是，這些壓力測試非常積極，以至於它並沒有真正給我們以任何特定方式調整津貼的大量支持。但我們知道，我們在總津貼方面有點異常。我們不喜歡成為異常值之類的，所以我們每季都會仔細地審視它，並做出深思熟慮的決定。

No, I understand. Thank you for that. And then just, I guess, a bigger picture question. The production that you anticipate the next two or so years, how much of that will come by region? I was just curious about -- would you have more in the Northeast and in the Baltimore, Washington , area, just as those are newer to contribute to a bigger percentage?

不，我明白。謝謝你。然後，我想，這是一個更大的問題。您預計未來兩年左右的產量，其中有多少將來自各地區？我只是好奇——東北部和華盛頓州巴爾的摩地區是否會有更多，就像這些較新的地區貢獻更大的比例一樣？

You're still going to see the majority of activity happen in our most concentrated market, which is the corridor between Philadelphia and New York. But we do get meaningful numbers out of the other regions as well. And some of the hiring we've done has been down in the Baltimore, Washington, area, especially that government contracting work.

您仍然會看到大部分活動發生在我們最集中的市場，即費城和紐約之間的走廊。但我們也確實從其他地區獲得了有意義的數字。我們在華盛頓州巴爾的摩地區所做的一些招聘工作已經減少，尤其是政府承包工作。

So there will be measured growth in other areas. But given the size of our franchise, we still -- our strongest markets are the ones closest to home. So I think you're still going to see the majority, call it, 50% to 75% of the growth comes right in our core market in the Northeast.

因此，其他領域也會出現可衡量的成長。但考慮到我們特許經營的規模，我們仍然——我們最強大的市場是離家最近的市場。因此，我認為您仍然會看到大部分成長，即 50% 到 75% 的成長來自我們東北部的核心市場。

We really like being in the Northeast, especially as we see some of the volatility. You've heard this around multi-family in certain parts of the country. You've seen residential home prices starting to waiver in certain places, rents falling. Fortunately, the Northeast tends to avoid both the up and down swings, so we feel pretty good about our market. And we're not going to change it materially.

我們真的很喜歡住在東北部，尤其是當我們看到一些波動時。您在該國某些地區的多戶家庭中都聽說過這種說法。您已經看到某些地方的住宅價格開始下降，租金下降。幸運的是，東北地區往往避免上下波動，所以我們對市場感覺很好。我們不會對其進行實質改變。

Great. Thanks again for taking all of our questions this morning.

偉大的。再次感謝您今天早上回答我們所有的問題。

Thank you. I would like to hand back to Chris Maher for some closing remarks.

謝謝。我想請克里斯·馬赫做一些結束語。

All right. Thank you. We appreciate your time today and your continued support of OceanFirst Financial Corp. We look forward to speaking with you again after our third-quarter results are published in October. Thanks very much.

好的。謝謝。我們感謝您今天抽出時間以及您對 OceanFirst Financial Corp 的持續支持。非常感謝。

Thank you all for joining. I can confirm that does conclude the OceanFirst Financial Corp. Q2 '24 earnings release conference call. Please enjoy the rest of your day, and you may now disconnect from the call.

感謝大家的加入。我可以確認 OceanFirst Financial Corp. '24 年第二季財報電話會議確實結束了。請享受您今天剩下的時間，您現在可以掛斷電話了。