Parent-Only Financial Information

12 Months Ended

Dec. 31, 2023

Condensed Financial Information Disclosure [Abstract]

The following condensed statements of financial condition at December 31, 2023 and 2022 and condensed statements of operations and cash flows for the years ended December 31, 2023, 2022 and 2021 for OceanFirst Financial Corp. (parent company only) reflect the Company’s investment in its wholly-owned subsidiaries, the Bank, and OceanFirst Risk Management, Inc., and non-wholly owned subsidiary, Trident, using the equity method of accounting.

Condensed Statement of Financial Condition

(in thousands)


	December 31,
	2023		2022
Assets:
Cash and due from banks	$	12,083	$	10,623
Advances to Bank	67,289		32,840
Equity securities	93,387		95,261
ESOP loan receivable	4,241		6,751
Investment in subsidiaries	1,672,406		1,630,199
Goodwill	5,827		5,827
Other assets	6,059		1,760
Total assets	$	1,861,292	$	1,783,261
Liabilities and Stockholders’ Equity:
Borrowings	$	194,771	$	193,469
Other liabilities	4,576		4,328
OceanFirst Financial Corp. stockholders’ equity	1,661,163		1,584,662
Non-controlling interest	782		802
Total stockholders’ equity	1,661,945		1,585,464
Total liabilities and stockholders’ equity	$	1,861,292	$	1,783,261

Condensed Statements of Operations

(in thousands)


	For the Year Ended December 31,
	2023		2022		2021
Dividend income – subsidiaries	$	97,043	$	73,011	$	40,000
Interest and dividend income – debt and equity securities	2,981		2,387		2,070

Interest income – advances to subsidiary Bank	2,182		562		298
Interest income – ESOP loan receivable	183		227		289

Net (loss) gain on equity investments	(3,732)		7,973		7,499

Total income	98,657		84,160		50,156
Interest expense – borrowings	13,569		10,861		11,102

Operating expenses	4,050		4,258		3,307
Income before income taxes and undistributed earnings of subsidiaries	81,038		69,041		35,747
Benefit for income taxes	3,807		959		1,018
Income before undistributed earnings of subsidiaries	84,845		70,000		36,765
Undistributed earnings of subsidiaries	19,220		77,357		73,311
Net income	104,065		147,357		110,076
Net income attributable to non-controlling interest	36		754		—
Net income attributable to OceanFirst Financial Corp.	$	104,029	$	146,603	$	110,076

Condensed Statements of Cash Flows

(in thousands)


	For the Year Ended December 31,
	2023		2022		2021
Cash flows from operating activities:
Net income	$	104,065	$	147,357	$	110,076
(Increase) decrease in advances to subsidiary Bank	(34,449)		30,640		37,824
Undistributed earnings of subsidiary Bank	(19,220)		(77,357)		(73,311)
Net loss (gain) on equity investments	3,732		(7,973)		(7,499)
Net premium amortization in excess of discount accretion on securities	981		1,185		755
Amortization of deferred costs on borrowings	598		548		824
Net amortization of purchase accounting adjustments	704		684		542
Change in other assets and other liabilities	(3,995)		2,336		7,359
Net cash provided by operating activities	52,416		97,420		76,570
Cash flows from investing activities:
Proceeds from sales of equity investments	4,822		6,482		98,791
Purchase of equity investments	(7,661)		(7,207)		(86,462)
Increase in ESOP loan receivable	—		—		(3,200)
Repayments on ESOP loan receivable	2,510		2,480		2,040
Cash consideration for acquisition, net of cash received	—		(7,084)		—
Net cash (used in) provided by investing activities	(329)		(5,329)		11,169
Cash flows from financing activities:

Repayments of other borrowings	—		(35,000)		(7,500)
Dividends paid	(51,274)		(47,511)		(44,510)
Purchase of treasury stock	—		(7,396)		(36,059)

Exercise of stock options	702		424		1,946
Distributions to non-controlling interest	(55)		(788)		—
Net cash used in financing activities	(50,627)		(90,271)		(86,123)
Net increase in cash and due from banks	1,460		1,820		1,616
Cash and due from banks at beginning of year	10,623		8,803		7,187
Cash and due from banks at end of year	$	12,083	$	10,623	$	8,803