Newsletter Subscription

A Laser Focus World newsletter subscription is free to qualified professionals:

The Daily Beam

Showcases the newest content from Laser Focus World, including photonics- and optics-based applications, components, research, and trends. (Daily)

Product Watch

The latest in products within the photonics industry. (9x per year)

Bio & Life Sciences Product Watch

The latest in products within the biophotonics industry. (4x per year)

Laser Processing Product Watch

The latest in products within the laser processing industry. (3x per year)

INDB Q3 Deep Dive: Enterprise Integration Drives Growth and Margin Expansion

By: StockStory

October 20, 2025 at 09:30 AM EDT

INDB Cover Image

Regional banking company Independent Bank (NASDAQ: INDB) met Wall Street’s revenue expectations in Q3 CY2025, with sales up 39.1% year on year to $243.7 million. Its non-GAAP profit of $1.55 per share was 1% above analysts’ consensus estimates.

Is now the time to buy INDB? Find out in our full research report (it’s free for active Edge members).

Independent Bank (INDB) Q3 CY2025 Highlights:

Revenue: $243.7 million vs analyst estimates of $243.6 million (39.1% year-on-year growth, in line)
Adjusted EPS: $1.55 vs analyst estimates of $1.54 (1% beat)
Adjusted Operating Income: $68.28 million vs analyst estimates of $45.7 million (28% margin, 49.4% beat)
Market Capitalization: $3.30 billion

StockStory’s Take

Independent Bank’s third quarter saw a positive market response, as the company met Wall Street’s revenue expectations and delivered a slight beat on non-GAAP earnings per share. Management credited the quarter’s performance to the successful integration of the Enterprise acquisition, improved net interest margin, strong commercial and industrial loan growth, and effective cost management. CEO Jeffrey Tengel highlighted that the retention of key personnel and customer relationships from Enterprise contributed to a seamless transition, while new practices adopted from Enterprise have begun to benefit operations across the bank. Tengel noted, “We have already adopted some practices and approaches from Enterprise,” underscoring the value of this integration.

Looking ahead, Independent Bank’s outlook is shaped by continued focus on organic growth, further cost savings from the Enterprise integration, and a technology upgrade scheduled for next year. Management expects to leverage the combined strengths of Rockland Trust and Enterprise to deepen customer relationships and enhance efficiency. CFO Mark Ruggiero stated, “We reaffirm our original guidance of achieving 30% cost saves on the acquired Enterprise expense base,” signaling ongoing discipline in expense management. The company also plans to introduce new consumer lending products and complete a core banking system upgrade, which management believes will position the bank for scalable growth and improved profitability.

Key Insights from Management’s Remarks

Management attributed third quarter performance to acquisition integration, operating leverage, and loan book mix, while also highlighting progress on customer retention and deposit growth.

Enterprise acquisition integration: The successful completion of the Enterprise Bank acquisition, including systems conversion and cultural integration, led to minimal customer loss and high employee retention, setting the stage for future cross-selling opportunities.
Commercial loan growth focus: The bank emphasized strong growth in commercial and industrial (C&I) loans, particularly in legacy markets, with enhanced incentives for bankers and new hires in middle market lending driving origination activity.
Deposit franchise resilience: Organic growth in demand deposits remained robust, with low-cost deposits representing 28% of the overall base, reinforcing the strength of the bank’s funding profile even as industry competition for deposits continues.
Cost savings and operating leverage: The realization of early cost saves from the Enterprise integration contributed to improved margins. Management reiterated its 30% cost savings target on acquired expenses, with further efficiencies expected as integration progresses.
Wealth management expansion: Assets under administration grew to $9.2 billion, bolstered by the addition of $1.4 billion from Enterprise, supporting fee income and diversifying revenue streams.

Drivers of Future Performance

Independent Bank’s outlook centers on deepening customer relationships, executing further cost saves, and ongoing technology upgrades to support scalable growth.

Technology platform upgrade: The core banking system upgrade planned for next year is expected to enhance operational efficiency and scalability. Management believes this move will support future growth and improve customer experience across all channels.
Continued cost discipline: Achieving additional expense reductions from the Enterprise integration remains a key driver. Management anticipates core expenses will decrease as temporary post-merger salary costs subside and as further synergies are realized.
Organic loan and deposit growth: The company is prioritizing balanced loan growth, especially in C&I lending, and aims to sustain demand deposit momentum. Management noted that a clear path exists for loan growth to match deposit expansion, provided that market conditions remain stable.

Catalysts in Upcoming Quarters

In upcoming quarters, our team will monitor (1) execution of the core banking technology upgrade and its impact on operational efficiency, (2) realization of additional cost savings from the Enterprise integration, and (3) sustained organic loan and deposit growth, particularly in commercial lending. Progress on wealth management expansion and successful introduction of new consumer products will also be closely tracked as indicators of strategic momentum.

Independent Bank currently trades at $67.02, up from $64.54 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free for active Edge members).

Stocks That Trumped Tariffs

Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.

Take advantage of the rebound by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.

Symbol	Price	Change (%)
AMZN	216.48	+3.44 (1.61%)
AAPL	262.24	+9.95 (3.94%)
AMD	240.56	+7.48 (3.21%)
BAC	52.04	+0.76 (1.48%)
GOOG	257.02	+3.23 (1.27%)
META	732.17	+15.26 (2.13%)
MSFT	516.79	+3.21 (0.63%)
NVDA	182.64	-0.58 (-0.32%)
ORCL	277.18	-14.13 (-4.85%)
TSLA	447.43	+8.12 (1.85%)

Symbol

Price

Change (%)

AMZN

216.48

+3.44 (1.61%)

AAPL

262.24

+9.95 (3.94%)

AMD

240.56

+7.48 (3.21%)

BAC

52.04

+0.76 (1.48%)

GOOG

257.02

+3.23 (1.27%)

About Us

Laser Focus World Membership

Magazine Subscription

Newsletter Subscription

The Daily Beam

Product Watch

Bio & Life Sciences Product Watch

Laser Processing Product Watch

Get Published!

Photonics Hot List

Following the Photons: A Photonics Podcast

Social Media

Meet the Laser Focus World Team

Editorial

Sales

Editorial Advisory Board