Goodwill and Other Intangible Assets

12 Months Ended

Dec. 31, 2025

Goodwill and Intangible Assets Disclosure [Abstract]

GOODWILL AND OTHER INTANGIBLE ASSETS (Note 7)

The following table presents carrying amounts of goodwill allocated to Valley's reporting units at December 31, 2025 and 2024.


	Reporting Unit *
	Wealth Management		Consumer Banking		Commercial Banking		Total
	(in thousands)
Goodwill	$	78,142	$	349,646	$	1,441,148	$	1,868,936

* The Wealth Management and Consumer Banking reporting units are both components of the overall Consumer Banking operating segment, which is further described in Note 20.

During the second quarter 2025, Valley performed the annual goodwill impairment test at its normal assessment date. During the year ended December 31, 2025, there were no triggering events that would more likely than not reduce the fair value of any reporting unit below its carrying amount. There was no impairment of goodwill recognized during the years ended December 31, 2025, 2024 and 2023.

The following tables summarize other intangible assets at December 31, 2025 and 2024:


	Gross Intangible Assets		Accumulated Amortization		Net Intangible Assets
	(in thousands)
December 31, 2025
Loan servicing rights	$	128,603	$	(108,833)	$	19,770
Core deposits	215,620		(159,128)		56,492
Other	50,393		(25,780)		24,613
Total other intangible assets	$	394,616	$	(293,741)	$	100,875
December 31, 2024
Loan servicing rights	$	125,961	$	(104,833)	$	21,128
Core deposits	215,620		(138,080)		77,540
Other	50,393		(20,400)		29,993
Total other intangible assets	$	391,974	$	(263,313)	$	128,661

Core deposits are amortized using an accelerated method over a period of 10.0 years.

The line item labeled “Other” included in the table above primarily consists of customer lists, certain financial asset servicing contracts and covenants not to compete, which are amortized over their expected lives generally using a straight-line method and have a weighted average amortization period of 13.6 years.

Valley evaluates core deposits and other intangibles for impairment when an indication of impairment exists. No impairment was recognized during the years ended December 31, 2025, 2024 and 2023.

The following table summarizes the change in loan servicing rights during the years ended December 31, 2025, 2024 and 2023:


	2025		2024		2023
	(in thousands)

Beginning balance	$	21,128	$	21,950	$	23,807
Origination of loan servicing rights	2,642		3,375		2,643
Amortization expense	(4,000)		(4,197)		(4,500)
Ending balance	$	19,770	$	21,128	$	21,950

Loan servicing rights are accounted for using the amortization method. There was no valuation allowance at December 31, 2025, 2024 and 2023 and no net impairment recognized during the years ended December 31, 2025, 2024 and 2023.

The Bank services residential mortgage loans for others and is compensated for loan administrative services performed. The aggregate principal balances of residential mortgage loans serviced by the Bank for others approximated $3.1 billion at December 31, 2025 and $3.3 billion at December 31, 2024 and 2023, respectively. The outstanding balance of loans serviced for others is not included in the consolidated statements of financial condition.

Valley recognized amortization expense on other intangible assets of $30.4 million, $35.0 million and $39.8 million for the years ended December 31, 2025, 2024 and 2023, respectively.

The following table presents the estimated amortization expense of other intangible assets over the next five-year period:


Year	Loan Servicing Rights		Core Deposits		Other
	(in thousands)
2026	$	2,578	$	17,223	$	4,805
2027	2,265		13,544		4,205
2028	1,965		10,117		3,633
2029	1,711		7,500		3,081
2030	1,495		4,914		2,584