Exhibit 99.1

Contact:

Jeffrey J. Carfora, SEVP and CFO

Peapack-Gladstone Financial Corporation

T: 908-719-4308

PEAPACK-GLADSTONE FINANCIAL CORPORATION

REPORTS A STRONG FIRST QUARTER AND

DECLARES ITS QUARTERLY CASH DIVIDEND

Bedminster, N.J. – April 25, 2017 – Peapack-Gladstone Financial Corporation (NASDAQ Global Select Market:PGC) (the “Company”) recorded record net income of $7.98 million and diluted earnings per share of $0.46 for the quarter ended March 31, 2017, compared to $5.49 million and $0.34, respectively, for the quarter ended March 31, 2016, reflecting increases of $2.49 million, or 45 percent, and $0.12 per share, or 35 percent, respectively.

The 2017 quarter included a $662 thousand benefit to income tax expense related to the adoption of ASU 2016-09, Compensation – Stock Compensation, improvements to employee share-based payment accounting. This increased net income by $662 thousand and earnings per share by 4 cents. Additionally, the 2017 first quarter reflected increases to net interest income, wealth management fee income, and other non-interest income, when compared to the same period in 2016. Expenses for 2017 included increased compensation and benefits expense, almost fully offset by decreased FDIC insurance expense.

The following table summarizes specified financial measures for the first quarters of 2017 and 2016, respectively.

Mr. Kennedy said, “We had a very strong start to 2017, and continue to be pleased with our progress since launching our Strategic Plan – Expanding our Reach – in early 2013.”

Select highlights follow:

Net Interest Income / Net Interest Margin

Net interest income and net interest margin was $25.59 million and 2.71 percent for the first quarter of 2017, compared to $24.58 million and 2.63 percent for the fourth quarter of 2016, and compared to $23.41 million and 2.82 percent for the same quarter last year, reflecting growth in net interest income of $2.18 million or 9 percent when compared to the same prior year period. Net interest income for the first quarter of 2017 benefitted from loan growth during 2016, and continuing into 2017. The March 2017 quarter included approximately $515 thousand of prepayment premiums received on the prepayment of certain loans, an increase from $464 thousand for the December 2016 quarter and $419 thousand for the March 2016 quarter.

Net interest margin for the first quarter of 2017 increased when compared to the fourth quarter of 2016, but decreased when compared to the first quarter of 2016. The increase was due to a reduction in our interest earning cash balances during the first quarter of 2017, as well as the effect of the increased market rates on our adjustable rate assets. The decrease when comparing the March 2017 quarter to the March 2016 quarter was due to the issuance of the $50 million in subordinated debt in June 2016, as well as the maintenance of higher liquidity in the 2017 first quarter when compared to the 2016 first quarter.

As noted above, the net interest margin is also affected by the maintenance of liquid assets on the Company’s balance sheet. Mr. Kennedy said, “In addition to $419 million of cash, cash equivalents and investment securities on our balance sheet, we also have over $1.1 billion of secured funding available from the Federal Home Loan Bank, of which we only have $93 million drawn as of March 31, 2017.”

The Company’s interest rate sensitivity models indicate that the Company’s net interest income and margin would continue to improve slightly in a rising interest rate environment, but such income and margin would also be impacted by competitive pressures in attracting new loans and deposits.

Wealth Management Business

In the March 2017 quarter, the Bank’s wealth management business generated $4.82 million in fee income compared to $4.61 million for the December 2016 quarter, and $4.30 million for the March 2016 quarter. 

Fee income for the March 2017 quarter increased by $523 thousand, or approximately 12 percent, from the March 2016 quarter.  Growth in fee income was due to net flows from solid new business results from existing and new clients, partially offset by normal levels of disbursements and outflows. 

The market value of the AUA of the wealth management division was $3.8 billion at March 31, 2017, an increase of $83 million, or 2 percent (9 percent on an annualized basis), from December 31, 2016 and an increase of $449 million, or 14 percent, from $3.3 billion at March 31, 2016.

John P. Babcock, President of PGB Private Wealth Management, said, “We had a solid Q1 2017 and our current pipeline is strong as we enter Q2 2017. We expect continued growth driven by organic new business, the expansion of existing relationships and potential strategic acquisitions of wealth management firms. In Q1 2017, we launched a new Unified Management Account (UMA) solution which expands our overall investment offerings, as we now have access to superior outside investment managers to complement our existing proprietary portfolio construction.  We will continue to expand the products, services, and advice we deliver to our clients.”  

Mr. Babcock also commented, “Our differentiator is the quality of our people and our pro-active, advice-led approach to wealth management.   We combine PGB’s investment, tax, financial, fiduciary, banking and lending capabilities into one integrated plan that helps our clients achieve their goals and objectives.  This approach is more personalized and dynamic than our large bank competitors and broader and more comprehensive than the technology-driven providers of investment products. It is this model and approach that will continue to drive our business forward and allow us to compete effectively in the market.”

Loan Originations / Loans

At March 31, 2017, loans totaled $3.44 billion compared to $3.31 billion at December 31, 2016 and compared to $3.07 billion at March 31, 2016, representing net increases of $128 million compared to the December 2016 quarter (4 percent or 15 percent on an annualized basis), and $374 million (12 percent) compared to a year ago at March 31, 2016. Mr. Kennedy noted, “We continue to believe we have a very high quality loan portfolio, as evidenced by very strong asset quality metrics.”

For the quarter ended March 31, 2017, residential mortgage originations totaled $68 million. Residential mortgage loans grew $102 million, or 22 percent, to $571 million at March 31, 2017 from $469 million one year ago at March 31, 2016.

For the March 2017 quarter, commercial real estate originations (not including multifamily loans) totaled $33 million. Commercial real estate mortgage loans (not including multifamily loans) grew $159 million, or 38 percent, to $573 million at March 31, 2017 from $415 million one year ago at March 31, 2016.

The March 2017 quarter included $47 million of multifamily loan originations, down significantly from the previous quarters. At March 31, 2017, the multifamily loan portfolio totaled $1.47 billion (or 42.7 percent of total loans) compared to $1.46 billion (or 44.1 percent of total loans) three months ago at December 31, 2016 and compared to $1.53 billion (or 50.0 percent of total loans) at March 31, 2016.

Mr. Kennedy said, “As I explained previously, we anticipated multifamily loan originations and growth would be less than prior years, as we manage our balance sheet such that multifamily loans decline as a percentage of the overall loan portfolio and C&I loans become a larger percentage of the overall loan portfolio. We made progress on this front late in 2015, throughout 2016, and into 2017.” Mr. Kennedy further noted that, “This balance sheet management will likely not be linear each quarter, but will rather be apparent over periods of time.”

For the quarter ended March 31, 2017, the Company closed $128 million of C&I loans and lines of credit (some of which were not yet funded). C&I loans grew $133 million, or 24 percent, to $688 million at March 31, 2017 from $555 million one year ago at March 31, 2016. At March 31, 2017 the commercial loan portfolio comprised 20.0 percent of the overall loan portfolio up from 19.2 percent at December 31, 2016, and up from 18.1 percent one year ago at March 31, 2016.

Mr. Kennedy said, “As a result of our continued investment in and commitment to C&I banking, we have seen, and believe we will continue to see, our C&I client base and corresponding loan portfolio grow. Additionally, we were recently successful in bringing on a team of very experienced bankers to focus on equipment financing, an area we believe will deliver strong risk adjusted returns. Robert R. Cobleigh, formerly of Santander Bank, will head this team and serve as President of Peapack Capital Corporation, our newly formed Equipment Financing subsidiary. While this team will be one of our drivers of profitability, we generally expect that revenue and profitability related to this new group will lag related expenses by several quarters.”

Mr. Kennedy went on to say, “Our private banking business model of addressing the sophisticated needs and expectations of successful business owners and entrepreneurs is being well received. The ability to engage in high level strategic debt, capital and valuation analysis coupled with succession, estate and wealth planning strategies, enables us to provide a unique boutique level of service to business owners and middle market clients.”

Eric H. Waser, Head of Commercial Banking noted, “We are extremely pleased with how our “Advice Led” approach is capturing the attention of the business community.”

Deposits / Funding / Balance Sheet Management

As noted previously, in June 2016, the Company issued $50 million of subordinated debt ($48.7 million net of underwriting fees and expenses) bearing interest at an annual rate of 6 percent for the first five years, and thereafter at an adjustable rate until maturity in June 2026 or earlier redemption.

During the March 2017 quarter, the increase in loans of $128 million was primarily funded by customer deposit growth of $19 million, net (principally noninterest-

bearing checking), increased capital of $17 million, decreased cash/cash equivalents of $44 million, and net increased other borrowings of $32 million.

Mr. Kennedy noted that, “Net customer deposit growth for the quarter was affected by several of our sophisticated clients re-allocating from liquidity to investment. Some of these withdrawals may be re-deposited over the balance of the year.”

Brokered interest-bearing demand (“overnight”) deposits declined $20 million to $180 million at March 31, 2017 compared to $200 million at March 31, 2016. The interest rate paid on these deposits allowed the Bank to fund at attractive rates and engage in interest rate swaps as part of its asset-liability interest rate risk management. As of March 31, 2017, the Company had transacted pay fixed, receive floating interest rate swaps totaling $180 million notional amount. The Company ensures ample available collateralized liquidity as a backup to these short term brokered deposits.

Mr. Kennedy noted, “The Company will continue to place an intense focus on providing high touch client service and growing its personal and commercial core deposit base. We expect that our full array of treasury management capabilities, as well as added treasury management sales professionals and private bankers, will help us grow commercial deposits.”

Other Noninterest Income

The Company’s total noninterest income for the March 2017 quarter totaled $7.02 million, or nearly 22 percent of total revenue.

The March 2017 quarter included $47 thousand of income from the sale of newly originated residential mortgage loans (mortgage banking), compared to $197 thousand for the December 2016 quarter, and $121 thousand for the March 2016 quarter. Originations of residential mortgage loans for sale were lower in the March 2017 quarter, compared to the other noted periods.

The company did not sell any multifamily loans during the March 2017 quarter, as such sales were not necessary for effective balance sheet management. The gain on sales of multifamily loans held for sale during the December 2016 quarter was $353 thousand, and was $124 thousand for the March 2016 quarter. The Company may employ loan sale strategies later in 2017, and beyond, if and as needed for effective balance sheet management.

The first quarter of 2017 included $155 thousand of income related to the Company’s SBA lending and sale program, compared to $121 thousand generated in the December 2016 quarter, and $47 thousand in the March 2016 quarter. The SBA program was fully implemented in the March 2016 quarter and is part of the Company’s normal ongoing operations.

The March 2017 quarter included $456 thousand of loan level, back-to-back swap income compared to $874 thousand in the December 2016 quarter and $94 thousand in the March 2016 quarter. This program, which helps manage the Company’s interest rate risk while contributing to income, remains part of the Company’s normal ongoing operations.

Other income for the March 2017 quarter totaled $450 thousand, compared to $322 thousand for the December 2016 quarter and to $332 thousand for the March 2016 quarter. The March 2017 quarter included higher letter of credit fees and increased unused line of credit fees compared to the December and March 2016 quarters.

Operating Expenses

The Company’s total operating expenses were $19.30 million for the quarter ended March 31, 2017, compared to $18.97 million for the December 2016 quarter and $19.21 million for the March 2016 quarter.

While the first quarter 2017 FDIC premium was relatively flat to the fourth quarter of 2016, it was down significantly from the March 2016 quarter. Beginning July 1, 2016 the FDIC assessment system was revised. Revisions for “small institutions” (under $10 billion in assets) resulted in, among other things, the elimination of risk categories and the utilization of a financial ratios method to determine assessment rates. The changes reduced the Company’s assessment rate by nearly 50 percent, when compared to the first quarter 2016 assessment rate.

Compensation and employee benefits expense for the March 2017 quarter was $11.91 million compared to $11.48 million for the December 2016 quarter, and $10.91 million for the March 2016 quarter. Strategic hiring that was in line with the Company’s Plan, normal salary increases and increased bonus/incentive accruals associated with the Company’s growth, all contributed to the increase from the March 2016 and December 2016 quarters.

Provision for Loan Losses / Asset Quality

For the quarter ended March 31, 2017, the Company’s provision for loan losses was $1.60 million, which was generally in line with the December 2016 provision of $1.50 million and the March 2016 provision of $1.70 million. The Company had $198 thousand of net charge-offs in the March 2017 quarter, compared to $92 thousand of net recoveries in December 2016 and $235 thousand of net charge-offs in the March 2016 quarter.

At March 31, 2017, the allowance for loan losses was $33.61 million, which was 292 percent of nonperforming loans and 0.98 percent of total loans, compared to $32.21 million at December 31, 2016, which was 286 percent of nonperforming loans and 0.97 percent of total loans, and $27.32 million at March 31, 2016, which was 375 percent of nonperforming loans and 0.90 percent of total loans.

The Company’s provision for loan losses and its allowance for loan losses continue to track consistently with the Company’s net loan growth and asset quality metrics.

Nonperforming assets at March 31, 2017 (which does not include troubled debt restructured loans that are performing in accordance with their terms) were $12.2 million, or 0.31 percent of total assets, compared to $11.8 million, or 0.30 percent of total assets, at December 31, 2016 and $8.1 million, or 0.23 percent of total assets, at March 31, 2016. Total loans past due 30 through 89 days and still accruing were $622 thousand at March 31, 2017, compared to $1.4 million at December 31, 2016 and $1.4 million at March 31, 2016.

Capital / Dividends

The Company’s capital position in the March 2017 quarter was benefitted by net income of $7.98 million and $8.84 million of voluntary share purchases under the Dividend Reinvestment Plan, which continues to be a source of capital for the Company.

At March 31, 2017, the Company’s GAAP capital as a percent of total assets was 8.64 percent. The Company’s regulatory leverage, common equity tier 1, tier 1 and total risk based capital ratios were 8.66 percent, 10.79 percent, 10.79 percent and 13.41 percent, respectively. The Bank’s regulatory leverage, common equity tier 1, tier 1 and total risk based capital ratios were 9.61 percent, 11.98 percent, 11.98 percent and 13.05 percent, respectively. The Bank’s regulatory capital ratios are all above the ratios to be considered well capitalized under regulatory guidance.

On April 20, 2017, the Company’s Board of Directors declared a regular cash dividend of $0.05 per share payable on May 19, 2017 to shareholders of record on May 5, 2017.

Mr. Kennedy said, “We continue to believe we have sufficient common equity to support our planned growth and expansion for the immediate future.”

ABOUT THE COMPANY

Peapack-Gladstone Financial Corporation is a New Jersey bank holding company with total assets of $3.95 billion as of March 31, 2017. Founded in 1921, Peapack-Gladstone Bank is a commercial bank that provides innovative private banking services to businesses, non-profits and consumers, which help them to establish, maintain and expand their legacy. Through its private banking locations in Bedminster, Morristown, Princeton and Teaneck, its wealth management division, and its branch network and online platforms, Peapack-Gladstone Bank offers an unparalleled commitment to client service.

The foregoing contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are not historical facts and include expressions about management’s confidence and strategies and management’s expectations about new and existing programs and products, investments, relationships, opportunities and market conditions. These statements may be identified by such forward-looking terminology as “expect”, “look”, “believe”, “anticipate”, “may”, or similar statements or variations of such terms. Actual results may differ materially from such forward-looking statements. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to

A discussion of these and other factors that could affect our results is included in our SEC filings, including our Annual Report on Form 10-K for the year ended December 31, 2016. We undertake no duty to update any forward-looking statement to conform the statement to actual results or changes in the Company’s expectations.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements.

(Tables to follow)

PEAPACK-GLADSTONE FINANCIAL CORPORATION

SELECTED CONSOLIDATED FINANCIAL DATA

(Dollars in Thousands, except share data)

(Unaudited)

PEAPACK-GLADSTONE FINANCIAL CORPORATION

CONSOLIDATED STATEMENTS OF CONDITION

(Dollars in Thousands)

(Unaudited)

PEAPACK-GLADSTONE FINANCIAL CORPORATION

SELECTED BALANCE SHEET DATA

(Dollars in Thousands)

(Unaudited)

PEAPACK-GLADSTONE FINANCIAL CORPORATION

SELECTED BALANCE SHEET DATA

(Dollars in Thousands, except share data)

(Unaudited)

PEAPACK-GLADSTONE FINANCIAL CORPORATION

LOANS CLOSED

(Dollars in Thousands)

(Unaudited)

(A)   Includes loans and lines of credit that closed in the period, but not necessarily funded.      

PEAPACK-GLADSTONE FINANCIAL CORPORATION

AVERAGE BALANCE SHEET

UNAUDITED

THREE MONTHS ENDED

(Tax-Equivalent Basis, Dollars in Thousands)

PEAPACK-GLADSTONE FINANCIAL CORPORATION

AVERAGE BALANCE SHEET

UNAUDITED

THREE MONTHS ENDED
(Tax-Equivalent Basis, Dollars in Thousands)
 

PEAPACK-GLADSTONE FINANCIAL CORPORATION

NON-GAAP FINANCIAL MEASURES RECONCILIATION

Tangible book value per share and tangible equity as a percentage of tangible assets at period end are non-GAAP financial measures derived from GAAP-based amounts. We calculate tangible equity and tangible assets by excluding the balance of intangible assets from shareholders’ equity and total assets, respectively. We calculate tangible book value per share by dividing tangible equity by period end common shares outstanding, as compared to book value per common share, which we calculate by dividing shareholders’ equity by period end common shares outstanding. We calculate tangible equity as a percentage of tangible assets at period end by dividing tangible equity by tangible assets at period end. We believe that this is consistent with the treatment by bank regulatory agencies, which exclude intangible assets from the calculation of risk-based capital ratios.

The efficiency ratio is a non-GAAP measure of expense control relative to recurring revenue. We calculate the efficiency ratio by dividing total noninterest expenses, excluding ORE provision, as determined under GAAP, by net interest income and total noninterest income as determined under GAAP, but excluding net gains/(losses) on loans held for sale at lower of cost or fair value and excluding net gains on securities from this calculation, which we refer to below as recurring revenue. We believe that this provides one reasonable measure of core expenses relative to core revenue.

We believe that these non-GAAP financial measures provide information that is important to investors and that is useful in understanding our financial position, results and ratios. Our management internally assesses our performance based, in part, on these measures. However, these non-GAAP financial measures are supplemental and are not a substitute for an analysis based on GAAP measures. As other companies may use different calculations for these measures, this presentation may not be comparable to other similarly titles measures reported by other companies. A reconciliation of the non-GAAP measures of tangible common equity, tangible book value per share and efficiency ratio to the underlying GAAP numbers is set forth below.

Non-GAAP Financial Reconciliation