Unity Bancorp (UNTY) Q4 2025 earnings summary

Executive summary

• Achieved record annual net income of $58.0 million, up 39.8% year-over-year, and quarterly net income of $15.5 million, up 7.5% sequentially from Q3 2025.

• Diluted EPS was $5.67 for the year and $1.52 for Q4 2025; annual ROA was 2.17% and ROE was 18.07%.

• Organic growth strategy drove significant expansion in loans and deposits.

Financial highlights

• Net interest income for Q4 2025 was $31.4 million, up $1.5 million from Q3 2025; net interest margin increased 6 bps to 4.60%.

• Noninterest income rose to $3.9 million, primarily due to a $1.5 million unrealized gain on Patriot National Bancorp shares.

• Noninterest expense decreased to $13.3 million, aided by $0.7 million in one-time accrual reversals.

• Provision for credit losses increased to $2.2 million, reflecting loan growth and higher nonaccrual assets.

• Book value per share rose to $34.63, up from $29.48 a year ago.

Outlook and guidance

• Management expects continued healthy lending pipelines and a constructive economic backdrop to support ongoing high performance in 2026.

• Focus remains on customer experience, relationship deepening, and franchise growth.