Eastern Bank Q1 revenue and EPS miss estimates, raises dividend 15%

Eastern Bankshares

23/04/2026 21:25

Overview

U.S. regional bank's Q1 revenue and adjusted EPS missed analyst expectations

Company raised quarterly dividend by 15%

Non-performing loans fell to $137.7 mln, reflecting improved asset quality

Outlook

Eastern Bank expects strong commercial loan originations in coming quarters due to record pipelines

Company expects to finish current share repurchase program around mid-year, plans another authorization

Result Drivers

NET INTEREST INCOME - Net interest income rose 3% from the prior quarter, mainly due to a lower cost of funds, despite a decrease in loan yields

NONINTEREST INCOME DECLINE - Noninterest income fell, driven by a loss on investments for employee retirement benefits due to weaker equity markets, and lower interest rate swap and advisory fee income

OPERATING EXPENSES - Operating noninterest expense increased, mainly due to seasonally higher payroll and benefits and a full quarter impact of the HarborOne merger

Company press release: ID:nBw94Kprpa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Miss
$288.20 mln
$302.39 mln (4 Analysts)
Q1 Adjusted EPS
Miss
$0.40
$0.45 (7 Analysts)
Q1 Net Income
$65.30 mln
Q1 Net Interest Income
$244.70 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy"

Wall Street's median 12-month price target for Eastern Bankshares Inc is $23.00, about 13.6% above its April 22 closing price of $20.25

The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 10 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)