Amalgamated Financial Corp. (NASDAQ:AMAL) shares climbed Thursday after the mission-driven bank reported record quarterly deposit growth of nearly $1 billion, fueled by a massive influx of political and non-profit funds.
The holding company for Amalgamated Bank posted fourth-quarter net income of $26.6 million, or $0.88 per diluted share, while core net income jumped to $30 million ($0.99 per share), comfortably beating analyst expectations of $0.95.
The standout metric for the quarter was a $968.4 million increase in total deposits (on and off-balance sheet), a 12% jump from the prior quarter.
Political deposits alone surged 19.9% to $1.7 billion, as the bank consolidated its position as the primary financial hub for progressive causes and advocacy groups.
This influx of low-cost funding helped the bank lower its average cost of deposits by 16 basis points to 1.51%, while its net interest margin (NIM) expanded to 3.66%.
"Our record deposit growth and margin expansion this quarter reflect the unique strength of our socially responsible banking model," said CEO Priscilla Sims Brown.
Beyond deposit strength, the bank’s "growth mode" loans—including commercial and multi-family lending—grew 7% to $3.3 billion.
With a CET1 capital ratio of 14.26% and a recently announced 21% dividend increase to $0.17 per share, Amalgamated enters 2026 with high liquidity and a robust capital position.