NEW YORK CITY, NY / ACCESS Newswire / July 22, 2026 / Southern Cross Acquisition I Corp. (NASDAQ:NCOOU) (the "Company"), a Cayman Islands exempted company, announced today the closing of its initial public offering of 11,500,000 units at $10.00 per unit, which includes the full exercise of the underwriters' option to purchase an additional 1,500,000 units to cover over-allotments. The gross proceeds from the offering were $115,000,000 before deducting underwriting discounts and estimated offering expenses. The units are listed on the Nasdaq Global Market ("Nasdaq") and began trading under the ticker symbol "NCOOU" on July 21, 2026. Each unit consists of one ordinary share, one redeemable warrant, and one right to receive one-fourth of one ordinary share upon consummation of an initial business combination. Each redeemable warrant entitles the holder thereof to purchase one ordinary share at an exercise price of $11.50 per share. Once the securities comprising the units begin separate trading, the ordinary shares, warrants and rights are expected to be listed on Nasdaq under "NCO," "NCOOW," and "NCOOR," respectively.
Concurrently with the closing of the initial public offering, the Company closed a private placement of 239,300 units at a price of $10.00 per unit, resulting in gross proceeds of $2,393,000. The private placement units are identical to the units sold in the initial public offering, subject to certain limited exceptions as described in the final prospectus.
D. Boral Capital LLC acted as sole book-running manager of the offering.
Robinson & Cole LLP served as legal counsel to the Company on the initial public offering. Norton Rose Fulbright US LLP served as legal counsel to D. Boral Capital LLC.
Of the net proceeds received from the consummation of the initial public offering and simultaneous private placement, $115,000,000.00 ($10.00 per unit sold in the public offering) was placed in trust. An audited balance sheet of the Company as of July 22, 2026, reflecting receipt of the proceeds upon the consummation of the initial public offering and the private placement, will be included as an exhibit to a Current Report on Form 8-K to be filed by the Company with the U.S. Securities and Exchange Commission (the "SEC").
A final prospectus relating to and describing the final terms of the offering was filed with the SEC on July 21, 2026. The offering is being made only by means of a prospectus. Copies of the prospectus may be obtained from D. Boral Capital LLC, 590 Madison Ave., 39th Floor, New York, New York 10022, by telephone at (212) 970-5150 or by email at [email protected]. Copies of the registration statement can also be obtained by visiting EDGAR on the SEC's website at www.sec.gov.
This press release shall not constitute an offer to sell or a solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Southern Cross Acquisition I Corp.
The Company is a blank check company formed to effect a merger, share exchange, asset acquisition, share purchase, recapitalization, reorganization or similar business combination with one or more businesses or entities. The Company's target search will not be limited to a particular industry or geographic region.
Forward-Looking Statements
This press release contains statements that constitute "forward-looking statements," including with respect to the initial public offering, the anticipated use of the net proceeds and the search for an initial business combination. No assurance can be given that the offering discussed above will be completed on the terms described, or at all, or that the net proceeds of the offering will be used as indicated. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including those set forth in the Risk Factors section of the Company's registration statement, preliminary prospectus and final prospectus for the Company's offering filed with the SEC. Copies are available on the SEC's website, www.sec.gov. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based, except as required by law.
2026 Second Quarter Conference Call Scheduled for August 5, 2026 July 22, 2026 16:10 ET | Source: Interparfums, Inc.
NEW YORK, July 22, 2026 (GLOBE NEWSWIRE) -- Interparfums, Inc. (NASDAQ GS: IPAR) (“Interparfums” or the “Company”) today announced net sales for three and six months ended June 30, 2026.
Net Sales
($ in millions)Three Months EndedSix Months EndedJune 30,June 30,2026
2025
% Change 2026
2025
% Change Total Interparfums, Inc.$341
$334
2%
$686
$673
2%
European based net sales$231
$241
(4%)
$483
$488
(1%)
United States based net sales$113
$96
18%
$209
$190
10%
Eliminations of intercompany sales($3)
($2)
n/a ($6)
($6)
n/a - The average dollar/euro exchange rate for the 2026 second quarter was 1.16 compared to 1.13 in the 2025 second quarter, while for the first six months of 2026, the average dollar/euro exchange rate was 1.17 compared to 1.09 in the first six months of 2025, leading to a positive 1% and 3% foreign exchange impact for the second quarter and first six months of 2026, respectively.Data may not foot due to rounding.
Management Commentary:
Jean Madar, Chairman & Chief Executive Officer of Interparfums, stated, “Consolidated sales rose 2% in the second quarter to $341 million, bringing first half net sales to $686 million, also up 2% from the prior year period. The diversity of our overall brand portfolio again showed its strength as we saw strong growth from several of our larger brands which helped offset softness in other brands and geographies. The war in the Middle East, which again weighed on our results, represented a headwind of 3% in the second quarter and 2% for the first 6 months of the year. Excluding this effect, organic sales increased 4% in the second quarter and 1% for the first 6 months of the year.
“Growth in the quarter was driven by an 18% increase in sales by our United States based operations, along with favorable foreign exchange dynamics. While we are very pleased with our U.S. performance, it is important to note that in last year’s second quarter U.S.-based results were adversely impacted by a weak innovation program and tariff generated supply chain disruptions. Conversely, sales from our European based operations declined owing to high growth comparisons to the prior year period, continuing headwinds from the war in the Middle East, and a challenging operating environment in Eastern Europe.
“The fragrance category remains durable despite the macroeconomic and geopolitical headwinds weighing on consumers and retail partners alike. We are encouraged by the trajectory of our business at the midpoint of the year and remain cautiously optimistic about the future, drawing on a long history of performing through uncertainty with an evolving portfolio of exciting brands, disciplined execution, and a pipeline of robust innovation.”
European Based Operations
Mr. Madar continued, “Sales from European based operations declined 4% in the 2026 second quarter, reflecting an organic decline of 5% partially offset by a positive foreign exchange impact of 1%. First half sales were down 1%, despite a 3% positive contribution from foreign exchange.
“Jimmy Choo fragrance sales rebounded strongly after a weak first quarter, rising 23% in the second quarter leading to 8% growth in the first half of 2026. The brand’s fragrances have continued gain traction, particularly in the United States. This performance is supported by the continued success of the I Want Choo women's franchise, launched in 2021, combined with the successful launch of the Jimmy Choo Man Parfum line launched earlier this year.
“Coach fragrance sales declined 8% in the second quarter, reflecting an exceptionally high comparison to last year’s second quarter where brand sales grew 42%. Brand sales rose 10% in the first half of 2026 due to strong performance in the United States, its primary market. Growth has been driven by strong continued demand across most existing lines and by the first shipments of new extensions in the Coach Woman and Coach Man franchises launched earlier this year.
“Montblanc fragrance sales were essentially flat in the second quarter and increased 6% in the first half of the year, driven by favorable exchange rates and the ongoing success of the Montblanc Explorer Extreme line as well as the strength of the Legend franchise which was enhanced by the first quarter launch of Montblanc Legend Elixir. We plan to launch a third franchise in 2027, reflecting our commitment to the brand’s growth through innovation.
“Lacoste fragrance sales declined by 19% and 16% during the second quarter and first half of 2026, respectively, which followed exceptionally strong respective prior-year period growth of 59% and 44% attributable to a series of highly successful launches in early 2025. Lingering challenges in Eastern Europe also continued to impact the brand’s performance. Our confidence in the brand's future remains strong ahead of several major initiatives planned for 2027 and 2028, which we believe will drive the brand's growth.”
United States Based Operations
Mr. Madar continued, “Sales by our United States operations grew by 18% during the 2026 second quarter reflecting impressive organic growth of 17% off a challenging base in 2025 and a positive foreign exchange impact of 1%. The strong second quarter led to 10% growth in the first half of 2026, which included 8% organic growth and a 2% favorable foreign exchange impact.
“Fragrance sales of GUESS, our largest United States based brand, rose by 10% and 11% during the second quarter and first half of 2026, respectively. Growth was driven by the ongoing success of the Iconic franchise, supported by the second quarter launch of Iconic Blue, the newest men’s extension within the franchise. Second quarter growth was also supported by the launch of the newest Amore extension, Amore Napoli.
“Donna Karan/DKNY fragrance sales increased 28% and 12% during the second quarter and first half of 2026, respectively. Brand sales growth reflected healthy consumer demand across product categories, fragrance franchises, and strengthening momentum across e-commerce channels.
“Ferragamo fragrance sales increased considerably during the second quarter and first half of 2026, rising 41% and 17%, respectively. This performance, helped by a weaker prior period comparison, was primarily driven by overall strength of the Signorina line thanks to the successful launch of Signorina Romantica, and the Ferragamo line, thanks to the successful launch of Ferragamo Sublime Leather.
“Roberto Cavalli fragrance sales declined 9% in the 2026 second quarter against a very high growth comparison of 23% in the prior year period, and a challenging macro-economic environment in the Middle East which is the brand’s largest market. Despite this challenging macro environment, in the first half of 2026, brand sales increased 8%, driven by new extensions launched earlier this year across multiple fragrance franchises as well as the ongoing success of last year’s blockbuster launch of Serpentine.”
Mr. Madar concluded, “With a rich lineup of fragrance extensions planned for the second half of 2026, a series of blockbuster launches planned for 2027 and 2028, and the proven strength of our business model, we remain well positioned to continue growing as we navigate a dynamic operating environment.”
2026 Second Quarter Results and Conference Call Details
The Company will issue financial results for the three and six months ended June 30, 2026, on Tuesday, August 4, 2026, after the close of the stock market. Management will host a conference call to discuss financial results and business operations beginning at 11:00 am ET on Wednesday, August 5, 2026.
Interested parties may participate in the live call by dialing:
U.S. / Toll-free: (877) 423-9820
International: (201) 493-6749
Participants are asked to dial-in approximately 10 minutes before the conference call is scheduled to begin.
A live audio webcast will also be available in the “Events” tab within the Investor Relations section of the Company’s website at www.interparfumsinc.com, or by clicking here. The conference call will be available for webcast replay for approximately 90 days following the live event.
About Interparfums, Inc.:
Operating in the global fragrance business since 1982, Interparfums, Inc. produces and distributes a wide array of prestige fragrance and fragrance related products under license and other agreements with brand owners. The Company manages its business in two operating segments, European based operations, through its 72% owned subsidiary, Interparfums SA, and United States based operations, through wholly owned subsidiaries in the United States and Italy.
Our portfolio of prestige brands includes Abercrombie & Fitch, Anna Sui, Annick Goutal, Boucheron, Coach, Donna Karan/DKNY, Emanuel Ungaro, Ferragamo, Graff, GUESS, Hollister, Jimmy Choo, Karl Lagerfeld, Kate Spade, Lacoste, Longchamp, MCM, Moncler, Montblanc, Off-White, Oscar de la Renta, Roberto Cavalli, and Van Cleef & Arpels, whose products are distributed in over 120 countries around the world through an extensive and diverse network of distributors. Interparfums, Inc. is also the registered owner of several trademarks including Lanvin, Rochas, and Solférino.
Forward-Looking Statements:
Statements in this release which are not historical in nature are forward-looking statements. Although we believe that our plans, intentions, and expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such plans, intentions, or expectations will be achieved. In some cases, you can identify forward-looking statements by forward-looking words such as “anticipate”, “believe”, “could”, “estimate”, “expect”, “intend”, “may”, “should”, “will”, and “would” or similar words. You should not rely on forward-looking statements, because actual events or results may differ materially from those indicated by these forward-looking statements as a result of a number of important factors. These factors include, but are not limited to, the risks and uncertainties discussed under the headings “Forward Looking Statements” and “Risk Factors” in Interparfums' annual report on Form 10-K for the fiscal year ended December 31, 2025, and the reports Interparfums files from time to time with the Securities and Exchange Commission. Interparfums does not intend to and undertakes no duty to update the information contained in this press release.
Contact Information:
Interparfums, Inc. or The Equity Group Inc.
Michel Atwood Devin Sullivan: (212) 836-9608 / [email protected]
Chief Financial Officer Conor Rodriguez: (212) 836-9628 / [email protected]
(212) 983-2640 www.theequitygroup.com
www.interparfumsinc.com
TROY, Mich.--(BUSINESS WIRE)--Champion Homes, Inc. (NYSE: SKY) (“Champion Homes”) will release its earnings results for the first quarter fiscal year 2027 after the market closes on Tuesday, August 4, 2026. Champion Homes will hold a conference call to discuss the results the following morning, Wednesday, August 5, 2026, at 8:00 A.M. Eastern Time
Interested investors and other parties can listen to a webcast of the live conference call here, and also by visiting the Investor Relations section of Champion Homes’ website at ir.championhomes.com. The online replay will be available on the same website immediately following the call.
The conference call can also be accessed by dialing (800) 225-9448 (domestic) or (203) 518-9708 (international) and using the Conference ID: CHAMPION when joining. A telephonic replay will be available approximately three hours after the call by dialing (844) 512-2921, or for international callers, (412) 317-6671. The passcode for the replay is 11162023. The telephonic replay will be available until 11:59 P.M. Eastern Time on August 19, 2026.
About Champion Homes, Inc.:
Champion Homes, Inc. (NYSE: SKY) is a leading producer of factory-built housing in North America and employs approximately 9,300 people. With more than 70 years of homebuilding experience and 46 manufacturing facilities throughout the United States and western Canada, Champion Homes is well positioned with an innovative portfolio of manufactured and modular homes, ADUs, park-models and modular buildings for the single-family, multi-family, and hospitality sectors.
In addition to its core home building business, Champion Homes provides construction services to install and set-up factory-built homes, operates a factory-direct retail business with 84 retail locations across the United States, and operates Star Fleet Trucking, providing transportation services to the manufactured housing and other industries from several dispatch locations across the United States.
Manufactured and Modular Homes
www.championhomes.com
www.skylinehomes.com
www.genesishomes.com
Vanguard Health Care ETF (VHT -0.70%) and Invesco Pharmaceuticals ETF (PJP -0.84%) differ primarily in scope and cost, as the Vanguard fund provides broad sector coverage for a fraction of the Invesco fund price.
Healthcare investors often choose between broad sector exposure and thematic niches. The Vanguard fund provides a wide net across the entire industry, whereas the Invesco fund targets the research and manufacturing segments of the U.S. drug market exclusively. The choice -- broad versus narrow -- impacts everything from volatility to income potential.
Snapshot (cost & size)MetricPJPVHTIssuerInvescoVanguardShare price$117.91 (as of 2026-07-20)$299.49 (as of 2026-07-20)Expense ratio0.57%0.09%1-yr return (as of July 20, 2026)45.10%25.20%Dividend yield0.90%1.60%Beta0.450.60AUM$435.5 million$20.4 billionBeta measures price volatility relative to the S&P 500; beta is calculated from monthly returns over the available fund history (up to five years). The 1-yr return represents total return over the trailing 12 months. Dividend yield is the trailing-12-month distribution yield.VHT is significantly more affordable, sporting an expense ratio of 0.09% compared to 0.57% for PJP. The Vanguard fund also offers a higher payout, with a yield gap of 0.68 percentage points over its peer.
Performance & risk comparisonMetricPJPVHTMax drawdown (5 yr)(17.50%)(17.70%)Growth of $1,000 over 5 years (total return)$1,540$1,281What's insideThe Vanguard fund tracks a wide range of medical firms, holding 411 stocks, nearly all of which are in the healthcare sector. The fund’s largest positions include Eli Lilly & Co (LLY -0.97%) at 14.2%, Johnson & Johnson (JNJ +2.00%) at 8.9%, and AbbVie Inc (ABBV -0.90%) at 6.5%. It was launched in 2004. Vanguard Health Care ETF has paid $4.72 per share over the trailing 12 months, which on its recent ~$299.49 share price works out to a 1.60% yield.
In contrast, the Invesco fund focuses narrowly on just 29 stocks within the pharmaceutical space. Its top holdings include AbbVie at 5.6%, Eli Lilly at 5.4%, and Johnson & Johnson at 5.2%. The fund was launched in 2005. Invesco Pharmaceuticals ETF has paid $1.06 per share over the trailing 12 months, which on its recent ~$117.91 share price works out to a 0.90% yield.
Which fund is the better buy?Healthcare has been on a good run the past year, as a sector it is up around 25% the past 52 weeks. Both these funds are good ways to add this sector-specific exposure to your portfolio, but they have distinct differences investors should take into account to decide which one to buy.
While the Vanguard fund, VHT, holds many more securities, the less diverse Invesco fund, PJP, has much more of its portfolio in small cap stocks, 43% of its holdings, compared to 12% for VHT. The Vanguard fund has 67% of its holdings in large-cap stocks, mostly value stocks, versus 43% for PJP. Both funds have roughly half their assets in their top 10 holdings.
The concentrated approach of Invesco’s PJP appears to be working well. The fund has returned 17.3%, 9.1%, and 7.5% over the 3-year, 5-year, and 10-year time frames.
VHT beats PJP in the 1-year look-back with 10.3% annualized returns, but it trails PJP notably in the 3- and 5-year time frames, with returns of 8.6% and 5.4%, respectively.
So which fund is the better buy? The Vanguard fund’s rock-bottom expense ratio is a strong trait in its favor, but it is hard to ignore the consistent outperformance of PJP over the past five years and year-to-date. The better buy for 2026 for healthcare exposure is PJP.
For more guidance on ETF investing, check out the full guide at this link.
CHARLOTTE, N.C., July 22, 2026 (GLOBE NEWSWIRE) -- Coca-Cola Consolidated, Inc. (NASDAQ: COKE) will issue a news release after the market closes on August 5, 2026, to announce its operating results for the second quarter ended July 3, 2026, and the first half of fiscal 2026.
CONTACTS: Brian K. Little (Media)
Vice President, Corporate Communications
Officer
(980) 378-5537 [email protected]
Matt Blickley (Investors)
Chief Financial Officer
and Chief Accounting Officer
(704) 557-4910 [email protected] About Coca-Cola Consolidated, Inc.
Headquartered in Charlotte, N.C., Coca-Cola Consolidated (NASDAQ: COKE) is the largest Coca-Cola bottler in the United States. We make, sell and distribute beverages of The Coca-Cola Company, and other partner companies, in more than 300 brands and flavors across 14 states and the District of Columbia, to approximately 60 million consumers.
For over 124 years, we have been deeply committed to the consumers, customers and communities we serve and passionate about the broad portfolio of beverages and services we offer. Our Purpose is to honor God in all we do, to serve others, to pursue excellence and to grow profitably.
More information about the Company is available at www.cokeconsolidated.com. Follow Coca-Cola Consolidated on Facebook, X, Instagram and LinkedIn.
STAMFORD, Conn.--(BUSINESS WIRE)--United Rentals, Inc. (NYSE: URI) today announced record financial results for the second quarter of 2026, and raised its 2026 full-year guidance.
Second Quarter 2026 Highlights1
Total revenue of $4.410 billion, including rental revenue2 of $3.849 billion. Net income of $753 million, at a margin3 of 17.1%. GAAP diluted earnings per share (“EPS”) of $12.03, and adjusted EPS4 of $12.76. Adjusted EBITDA4 of $2.056 billion, at a margin3 of 46.6%. Year-over-year, fleet productivity5 increased 3.4%. Year-to-date net cash provided by operating activities of $3.305 billion; free cash flow4 of $1.149 billion, including gross payments for purchases of rental equipment of $2.720 billion. Year-to-date gross rental capital expenditures of $2.931 billion. Returned $998 million to shareholders year-to-date, comprised of $750 million via share repurchases and $248 million via dividends paid. Net leverage ratio6 of 1.8x, with total liquidity6 of $2.999 billion, at June 30, 2026. CEO Comment
Matthew Flannery, chief executive officer of United Rentals, said, “As evidenced in our record second-quarter results across EPS, adjusted EBITDA and revenue, 2026 is on track to be a great year for United Rentals. Our growth accelerated in the quarter, customers remain optimistic, particularly around large projects, and we continue to demonstrate strong cost discipline. Our one-stop-shop value proposition, coupled with our technology, service levels, and unwavering focus on safety and customer productivity, continues to differentiate us in the industry.”
Flannery continued, “Looking ahead, I am very pleased that we are again raising our guidance for the year, supported by the tailwinds we see across large projects, customer backlogs, and the momentum witnessed year-to-date. We believe the healthy growth we’ve seen will continue and that we will deliver what our shareholders expect of us: profitable growth, strong free cash flow and compelling returns.”
_______________ 1.
The second quarter 2026 results include a gain of $49 million associated with the sale of part of the company's scaffolding business. The impact of the gain was a $37 million after-tax benefit, or $0.58 per diluted share, to net income and a $49 million benefit to adjusted EBITDA.
2.
Rental revenue includes owned equipment rental revenue, re-rent revenue and ancillary revenue.
3.
Net income margin and adjusted EBITDA margin represent net income or adjusted EBITDA divided by total revenue.
4.
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization), adjusted EPS (earnings per share) and free cash flow are non-GAAP financial measures as defined in the tables below. See the tables below for reconciliations to the most comparable GAAP measures.
5.
Fleet productivity reflects the combined impact of changes in rental rates, time utilization and mix on owned equipment rental revenue.
6.
The net leverage ratio reflects net debt (total debt less cash and cash equivalents) divided by adjusted EBITDA for the trailing 12 months. Total liquidity reflects cash and cash equivalents plus availability under the asset-based revolving credit facility (“ABL facility”) and the accounts receivable securitization facility.
2026 Outlook
The company has raised its 2026 outlook, as reflected below.
Current Outlook
Prior Outlook
Total revenue
$17.5 billion to $17.8 billion
$16.9 billion to $17.4 billion
Adjusted EBITDA7
$7.975 billion to $8.125 billion
$7.625 billion to $7.875 billion
Net rental capital expenditures after gross purchases
$3.4 billion to $3.8 billion, after gross purchases of $4.85 billion to $5.25 billion
$2.95 billion to $3.35 billion, after gross purchases of $4.4 billion to $4.8 billion
Net cash provided by operating activities
$5.85 billion to $6.65 billion
$5.4 billion to $6.2 billion
Free cash flow excluding restructuring related payments8
$2.15 billion to $2.45 billion
$2.15 billion to $2.45 billion
Summary of Second Quarter 2026 Financial Results
Rental revenue increased 12.7% year-over-year to a quarterly record of $3.849 billion. Average original equipment at cost (“OEC”) increased 7.1% year-over-year, while fleet productivity increased 3.4%. Used equipment sales in the quarter increased 4.1% year-over-year. Used equipment sales generated $330 million of proceeds at a GAAP gross margin of 46.7% and an adjusted gross margin9 of 47.3%, compared to a GAAP gross margin of 46.1% and an adjusted gross margin of 48.3% for the same period last year. The company realized a 52.9% OEC recovery rate on the fleet sold in the second quarter of 2026. Net income for the quarter increased 21.1% year-over-year to a second quarter record of $753 million, while net income margin increased 130 basis points to 17.1%, including the impact of the $37 million net after-tax gain on sale of business discussed in footnote 1 above. Excluding the gain on sale of business, net income margin for the second quarter of 2026 increased 40 basis points year-over-year, primarily due to increased rental gross margin (see below for a discussion of rental gross margin by segment). Adjusted EBITDA for the quarter increased 13.6% year-over-year to a quarterly record of $2.056 billion, while adjusted EBITDA margin increased 70 basis points to 46.6%, including the $49 million impact of the gain on sale of business discussed above. Excluding the gain on sale of business, adjusted EBITDA margin for the second quarter of 2026 decreased 40 basis points year-over-year. This margin decline primarily reflects decreased rental gross margin in the specialty rentals segment, attributable to changes in revenue mix driven by growth in lower-margin ancillary and re-rent revenues, partially offset by a reduction in labor and benefits expenses as a percentage of revenue, as discussed below. General rentals segment rental revenue increased 6.6% year-over-year to a quarterly record of $2.418 billion, while rental gross margin increased by 70 basis points year-over-year to 35.8%, primarily due to a reduction in depreciation as a percentage of revenue. Specialty rentals segment rental revenue increased 24.8% year-over-year to a quarterly record of $1.431 billion. Rental gross margin decreased by 140 basis points year-over-year to 44.4%, primarily due to changes in revenue mix driven by growth in lower-margin ancillary and re-rent revenues, partially offset by a reduction in labor and benefits expenses as a percentage of revenue. _______________ 7.
Information reconciling forward-looking adjusted EBITDA to the comparable GAAP financial measures is unavailable to the company without unreasonable effort, as discussed below.
8.
Free cash flow excludes restructuring related payments, which cannot be reasonably predicted for the 2026 outlook. Restructuring related payments were $20 million for the six months ended June 30, 2026.
9.
Used equipment sales adjusted gross margin is a non-GAAP financial measure that excludes the impact ($2 million and $7 million for the three months ended June 30, 2026 and 2025, respectively) of the fair value mark-up of fleet acquired in certain major acquisitions that was subsequently sold. This adjustment is explained further in the tables below, and represents the only difference between the GAAP gross margin and the adjusted gross margin.
Cash flow from operating activities increased 20.1% year-over-year to $3.305 billion for the first six months of 2026, and free cash flow, including restructuring related payments, decreased 4.1%, from $1.198 billion to $1.149 billion. Cash flow from operating activities and free cash flow in 2025 both included a $52 million merger termination benefit associated with the terminated H&E acquisition.10 Capital management. The company’s net leverage ratio was 1.8x at June 30, 2026, as compared to 1.9x at December 31, 2025. During the six months ended June 30, 2026, the company completed its prior $2.0 billion share repurchase11 program, and commenced its new $5.0 billion share repurchase program. During the six months ended June 30, 2026, the company repurchased $750 million of common stock under these programs, and paid dividends totaling $248 million. The company expects to complete $1.5 billion of share repurchases in 2026. Additionally, the company’s Board of Directors has declared a quarterly dividend of $1.97 per share, payable on August 26, 2026 to stockholders of record on August 12, 2026. Total liquidity was $2.999 billion as of June 30, 2026, including $112 million of cash and cash equivalents. Return on invested capital (ROIC)12 was 11.8% for the 12 months ended June 30, 2026. Conference Call
United Rentals will hold a conference call tomorrow, Thursday, July 23, 2026, at 8:30 a.m. Eastern Time. The conference call number is 800-579-2568 (international: 785-424-1222). The replay number for the call is 402-220-7209. The passcode for both the conference call and the replay is 48921. The conference call will also be available live by audio webcast at unitedrentals.com, where it will be archived until the next earnings call.
_______________ 10.
The six months ended June 30, 2025 include the impact of the merger termination benefit associated with the termination of the H&E Equipment Services, Inc. d/b/a H&E Rentals (“H&E”) merger agreement. For further information on this merger termination benefit, see the company’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2026 filed with the SEC.
11.
A 1% excise tax is imposed on “net repurchases” (certain purchases minus certain issuances) of common stock. All references to share repurchases above do not include the excise tax, which totaled $6 million year-to-date through June 30, 2026.
12.
The company’s ROIC metric uses after-tax operating income for the trailing 12 months divided by average stockholders’ equity, debt and deferred taxes, net of average cash. To mitigate the volatility related to fluctuations in the company’s tax rate from period to period, the U.S. federal corporate statutory tax rate of 21% was used to calculate after-tax operating income.
Non-GAAP Financial Measures
Free cash flow, earnings before interest, taxes, depreciation and amortization (EBITDA), adjusted EBITDA, adjusted earnings per share (adjusted EPS) and used equipment sales adjusted gross margin are non-GAAP financial measures as defined under the rules of the SEC. Free cash flow represents net cash provided by operating activities less payments for purchases of, and plus proceeds from, equipment and intangible assets. The equipment and intangible asset items are included in cash flows from investing activities. EBITDA represents the sum of net income, provision for income taxes, interest expense, net, depreciation of rental equipment and non-rental depreciation and amortization. Adjusted EBITDA represents EBITDA plus the sum of the restructuring charges, stock compensation expense, net, and the impact of the fair value mark-up of acquired fleet. Adjusted EPS represents EPS plus the sum of the restructuring charges, the impact on depreciation related to acquired fleet and property and equipment, the impact of the fair value mark-up of acquired fleet, merger related intangible asset amortization and asset impairment charge. Used equipment sales adjusted gross margin excludes the impact of the fair value mark-up of fleet acquired in certain major acquisitions that was subsequently sold (this adjustment is explained further in the adjusted EPS and EBITDA/adjusted EBITDA tables below). The company believes that: (i) free cash flow provides useful additional information concerning cash flow available to meet future debt service obligations and working capital requirements; (ii) EBITDA and adjusted EBITDA provide useful information about operating performance and period-over-period growth, and help investors gain an understanding of the factors and trends affecting our ongoing cash earnings, from which capital investments are made and debt is serviced; (iii) adjusted EPS provides useful information concerning future profitability; and (iv) used equipment sales adjusted gross margin provides information that is useful for evaluating the profitability of used equipment sales without regard to potential distortions. However, none of these measures should be considered as alternatives to net income, cash flows from operating activities, earnings per share or GAAP gross margin from used equipment sales under GAAP as indicators of operating performance or liquidity. See the tables below for further discussion of these non-GAAP financial measures.
Information reconciling forward-looking adjusted EBITDA to GAAP financial measures is unavailable to the company without unreasonable effort. The company is not able to provide reconciliations of adjusted EBITDA to GAAP financial measures because certain items required for such reconciliations are outside of the company’s control and/or cannot be reasonably predicted, such as the provision for income taxes. Preparation of such reconciliations would require a forward-looking balance sheet, statement of income and statement of cash flow, prepared in accordance with GAAP, and such forward-looking financial statements are unavailable to the company without unreasonable effort (as specified in the exception provided by Item 10(e)(1)(i)(B) of Regulation S-K). The company provides a range for its adjusted EBITDA forecast that it believes will be achieved, however it cannot accurately predict all the components of the adjusted EBITDA calculation. The company provides an adjusted EBITDA forecast because it believes that adjusted EBITDA, when viewed with the company’s results under GAAP, provides useful information for the reasons noted above. However, adjusted EBITDA is not a measure of financial performance or liquidity under GAAP and, accordingly, should not be considered as an alternative to net income or cash flow from operating activities as an indicator of operating performance or liquidity.
About United Rentals
United Rentals, Inc. is the largest equipment rental company in the world. The company has an integrated network of 1,665 rental locations in North America, 44 in Europe, 47 in Australia and 18 in New Zealand. In North America, the company operates in 49 states and every Canadian province. The company’s approximately 28,100 employees serve construction and industrial customers, utilities, municipalities, homeowners and others. The company offers a fleet of equipment for rent with a total original cost of $23.75 billion. United Rentals is a member of the Standard & Poor’s 500 Index, the Barron’s 400 Index and the Russell 3000 Index® and is headquartered in Stamford, Conn. Additional information about United Rentals is available at unitedrentals.com.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995, known as the PSLRA. These statements can generally be identified by the use of forward-looking terminology such as “believe,” “expect,” “may,” “will,” “should,” “seek,” “on-track,” “plan,” “project,” “forecast,” “intend” or “anticipate,” or the negative thereof or comparable terminology, or by discussions of vision, strategy or outlook. You are cautioned that our business and operations are subject to a variety of risks and uncertainties, many of which are beyond our control, and, consequently, our actual results may differ materially from those projected. Factors that could cause actual results to differ materially from those projected include, but are not limited to, the following: (1) the impact of global economic conditions (including inflation, interest rates, supply chain constraints, tariffs, trade wars and sanctions), geopolitical risks (including risks related to international conflicts) and public health crises and epidemics on us, our customers and our suppliers, in the United States and the rest of the world; (2) declines in construction or industrial activity, which can adversely impact our revenues and, because many of our costs are fixed, our profitability; (3) rates we charge and customer demand being less than anticipated; (4) changes in customer, fleet, geographic and segment mix; (5) excess fleet in the equipment rental industry; (6) inability to benefit from government spending, including spending associated with infrastructure projects, or a reduction or disruption in government spending, including as a result of a government shutdown; (7) trends in oil and natural gas, including significant fluctuations in the prices of oil or natural gas, which can adversely affect the demand for our services and products; (8) competition from existing and new competitors; (9) the cyclical nature of the industry in which we operate and the industries of our customers, such as those in the construction industry; (10) costs we incur being more than anticipated, including as a result of inflation or tariffs, and the inability to realize expected savings in the amounts or time frames planned; (11) our significant indebtedness requires a significant amount of cash for debt service, and can constrain our flexibility in responding to unanticipated or adverse business conditions; (12) inability to refinance our indebtedness on terms that are favorable to us, including as a result of volatility and uncertainty in capital or credit markets or increases in interest rates, or at all; (13) incurrence of additional debt, which could exacerbate the risks associated with our current level of indebtedness; (14) noncompliance with financial or other covenants in our debt agreements, which could result in our lenders terminating the agreements and requiring us to repay outstanding borrowings; (15) restrictive covenants and the amount of borrowings permitted under our debt instruments, which can limit our financial and operational flexibility; (16) inability to access the capital that our businesses or growth plans may require, including as a result of uncertainty in capital or credit markets; (17) the possibility that companies that we have acquired or may acquire could have undiscovered liabilities, or that companies or assets that we have acquired or may acquire could involve other unexpected costs, may strain our management capabilities, or may be difficult to integrate, and that we may not realize the expected benefits from an acquisition over the timeframe we expect, or at all; (18) incurrence of impairment charges; (19) fluctuations in the price of our common stock and inability to complete share repurchases or pay dividends in the time frames and/or on the terms anticipated; (20) our charter provisions as well as provisions of certain debt agreements and our significant indebtedness may have the effect of making more difficult or otherwise discouraging, delaying or deterring a takeover or other change of control of us; (21) inability to manage credit risk adequately or to collect on contracts with a large number of customers; (22) turnover in our management team and inability to attract and retain key personnel; (23) inability to obtain equipment and other supplies for our business from our key suppliers on acceptable terms or at all, as a result of insolvency, financial difficulties or other factors, including tariffs, affecting our suppliers; (24) increases in our maintenance and replacement costs, including as a result of tariffs, and/or decreases in the residual value of our equipment; (25) inability to sell our new or used fleet in the amounts, or at the prices, we expect; (26) risks related to security breaches, cybersecurity attacks, failure to protect personal information, compliance with privacy, data protection and cyber incident reporting laws and regulations, and other significant disruptions to our information technology systems; (27) risks related to our ability to respond adequately to changes in technology and customer demands; (28) risks related to the use of artificial intelligence, and challenges with properly managing such use; (29) risks related to severe weather events and other natural occurrences, and climate change regulation; (30) risks related to our aspirational sustainability and safety goals, including our greenhouse gas intensity reduction goal; (31) risks related to evolving requirements, expectations and perspectives from regulators and stakeholders on environmental, social and sustainability-related topics, and our ability to meet these requirements and expectations; (32) the fact that our holding company structure requires us to depend in part on distributions from subsidiaries and such distributions could be limited by contractual or legal restrictions; (33) shortfalls in our insurance coverage or inability to obtain coverage on reasonable terms or at all; (34) increases in our loss reserves to address business operations or other claims and any claims that exceed our established levels of reserves; (35) the outcome or other potential consequences of litigation, regulatory and investigatory matters; (36) incurrence of expenses (including indemnification obligations) and other costs in connection with litigation, regulatory and investigatory matters; (37) risks related to, and the costs of complying with, environmental and safety laws and regulations; (38) risks related to, and the costs of complying with, foreign laws and regulations, as well as other risks associated with non-U.S. operations, including currency exchange risk and tariffs; (39) labor shortages and/or disputes, work stoppages or other labor difficulties, which may impact our productivity and increase our costs, and changes in law that could affect our labor relations or operations generally; (40) the effect of changes in tax law; and (41) other factors described in our Annual Report on Form 10-K and in our other filings with the SEC.
For a more complete description of these and other possible risks and uncertainties, please refer to our Annual Report on Form 10-K for the year ended December 31, 2025, as well as to our subsequent filings with the SEC. The forward-looking statements contained herein speak only as of the date hereof, and we make no commitment to update or publicly release any revisions to forward-looking statements in order to reflect new information or subsequent events, circumstances or changes in expectations, except as required by law.
UNITED RENTALS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)
(In millions, except per share amounts)
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
Revenues:
Equipment rentals
$
3,849
$
3,415
$
7,268
$
6,560
Sales of rental equipment
330
317
680
694
Sales of new equipment
86
75
170
145
Contractor supplies sales
44
41
84
77
Service and other revenues
101
95
193
186
Total revenues
4,410
3,943
8,395
7,662
Cost of revenues:
Cost of equipment rentals, excluding depreciation
1,644
1,443
3,136
2,821
Depreciation of rental equipment
704
651
1,385
1,288
Cost of rental equipment sales
176
171
366
381
Cost of new equipment sales
68
61
138
117
Cost of contractor supplies sales
30
28
58
54
Cost of service and other revenues
56
56
111
112
Total cost of revenues
2,678
2,410
5,194
4,773
Gross profit
1,732
1,533
3,201
2,889
Selling, general and administrative expenses (1)
472
422
913
859
Restructuring charge
6
—
51
1
Non-rental depreciation and amortization
116
108
230
222
Operating income
1,138
1,003
2,007
1,807
Interest expense, net (1)
178
171
354
355
Other income, net (1)
(47
)
(7
)
(55
)
(75
)
Income before provision for income taxes
1,007
839
1,708
1,527
Provision for income taxes
254
217
424
387
Net income (1)
$
753
$
622
$
1,284
$
1,140
Diluted earnings per share (1)
$
12.03
$
9.59
$
20.44
$
17.48
Dividends declared per share
$
1.97
$
1.79
$
3.94
$
3.58
UNITED RENTALS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(In millions)
June 30, 2026
December 31,
2025
ASSETS
Cash and cash equivalents
$
112
$
459
Accounts receivable, net
2,797
2,510
Inventory
294
240
Prepaid expenses and other assets
390
399
Total current assets
3,593
3,608
Rental equipment, net
17,350
16,069
Property and equipment, net
1,134
1,134
Goodwill
7,201
7,119
Other intangible assets, net
561
477
Operating lease right-of-use assets
1,412
1,395
Other long-term assets
63
64
Total assets
$
31,314
$
29,866
LIABILITIES AND STOCKHOLDERS’ EQUITY
Short-term debt and current maturities of long-term debt
$
1,541
$
1,577
Accounts payable
1,610
776
Accrued expenses and other liabilities
1,552
1,466
Total current liabilities
4,703
3,819
Long-term debt
12,689
12,652
Deferred taxes
3,333
3,115
Operating lease liabilities
1,155
1,124
Other long-term liabilities
210
188
Total liabilities
22,090
20,898
Common stock
1
1
Additional paid-in capital
2,803
2,769
Retained earnings
16,879
15,843
Treasury stock
(10,152
)
(9,396
)
Accumulated other comprehensive loss
(307
)
(249
)
Total stockholders’ equity
9,224
8,968
Total liabilities and stockholders’ equity
$
31,314
$
29,866
UNITED RENTALS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (In millions)
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
Cash Flows From Operating Activities:
Net income
$
753
$
622
$
1,284
$
1,140
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization
820
759
1,615
1,510
Amortization of deferred financing costs and original issue discounts
4
4
8
8
Gain on sales of rental equipment
(154
)
(146
)
(314
)
(313
)
Gain on sales of non-rental equipment
(3
)
(6
)
(7
)
(10
)
Gain on sale of business (1)
(49
)
—
(49
)
—
Insurance proceeds from damaged equipment
(13
)
(12
)
(23
)
(23
)
Stock compensation expense, net
43
34
79
70
Restructuring charge
6
—
51
1
Debt related activity (2)
—
—
—
13
Increase (decrease) in deferred taxes
137
(22
)
220
(38
)
Changes in operating assets and liabilities, net of amounts acquired:
(Increase) decrease in accounts receivable
(243
)
(57
)
(272
)
5
Increase in inventory
(40
)
(14
)
(54
)
(41
)
(Increase) decrease in prepaid expenses and other assets
(45
)
(181
)
30
(114
)
Increase in accounts payable
425
296
623
529
Increase in accrued expenses and other liabilities
150
51
114
16
Net cash provided by operating activities
1,791
1,328
3,305
2,753
Cash Flows From Investing Activities:
Payments for purchases of rental equipment
(1,953
)
(1,460
)
(2,720
)
(2,121
)
Payments for purchases of non-rental equipment and intangible assets
(99
)
(98
)
(165
)
(182
)
Proceeds from sales of rental equipment
330
317
680
694
Proceeds from sales of non-rental equipment
13
17
26
31
Proceeds from sale of business (1)
82
—
82
—
Insurance proceeds from damaged equipment
13
12
23
23
Purchases of other companies, net of cash acquired
(4
)
1
(400
)
(16
)
Purchases of investments
—
—
—
(1
)
Proceeds from sales of investments
—
—
3
—
Net cash used in investing activities
(1,618
)
(1,211
)
(2,471
)
(1,572
)
Cash Flows From Financing Activities:
Proceeds from debt
2,448
2,731
4,503
4,829
Payments of debt
(2,145
)
(2,316
)
(4,594
)
(4,952
)
Payment of contingent consideration
—
—
(18
)
(23
)
Payments of financing and other debt related costs (2)
(1
)
(1
)
(1
)
(14
)
Common stock repurchased, including tax withholdings for share-based compensation (3)
(395
)
(431
)
(816
)
(720
)
Dividends paid
(123
)
(117
)
(248
)
(235
)
Net cash used in financing activities
(216
)
(134
)
(1,174
)
(1,115
)
Effect of foreign exchange rates
(1
)
23
(7
)
25
Net (decrease) increase in cash and cash equivalents
(44
)
6
(347
)
91
Cash and cash equivalents at beginning of period
156
542
459
457
Cash and cash equivalents at end of period
$
112
$
548
$
112
$
548
Supplemental disclosure of cash flow information:
Cash paid for income taxes, net
$
141
$
498
$
158
$
540
Cash paid for interest
146
117
342
339
UNITED RENTALS, INC.
RENTAL REVENUE
Fleet productivity is a comprehensive metric that provides greater insight into the decisions made by our managers in support of growth and returns. Specifically, we seek to optimize the interplay of rental rates, time utilization and mix in driving rental revenue. Fleet productivity aggregates, in one metric, the impact of changes in rates, utilization and mix on owned equipment rental revenue.
We believe that this metric is useful in assessing the effectiveness of our decisions on rates, time utilization and mix, particularly as they support the creation of shareholder value. The table below shows the components of the year-over-year change in rental revenue using the fleet productivity methodology:
Year-over-
year
change in
average
OEC
Assumed
year-over-
year inflation
impact (1)
Fleet
productivity
(2)
Contribution
from ancillary
and re-rent
revenue (3)
Total
change in
rental
revenue
Three Months Ended June 30, 2026
7.1%
(1.5)%
3.4%
3.7%
12.7%
Six Months Ended June 30, 2026
6.4%
(1.5)%
2.9%
3.0%
10.8%
Please refer to our Second Quarter 2026 Investor Presentation for additional detail on fleet productivity.
(1)
Reflects the estimated impact of inflation on the revenue productivity of fleet based on OEC, which is recorded at cost.
(2)
Reflects the combined impact of changes in rental rates, time utilization and mix on owned equipment rental revenue. Changes in customers, fleet, geographies and segments all contribute to changes in mix.
(3)
Reflects the combined impact of changes in other types of equipment rental revenue: ancillary and re-rent (excludes owned equipment rental revenue).
UNITED RENTALS, INC.
SEGMENT PERFORMANCE
($ in millions)
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
Change
2026
2025
Change
General Rentals
Reportable segment equipment rentals revenue
$
2,418
$
2,268
6.6
%
$
4,647
$
4,367
6.4
%
Reportable segment equipment rentals gross profit
865
796
8.7
%
1,618
1,475
9.7
%
Reportable segment equipment rentals gross margin
35.8
%
35.1
%
70 bps
34.8
%
33.8
%
100 bps
Specialty
Reportable segment equipment rentals revenue
$
1,431
$
1,147
24.8
%
$
2,621
$
2,193
19.5
%
Reportable segment equipment rentals gross profit
636
525
21.1
%
1,129
976
15.7
%
Reportable segment equipment rentals gross margin
44.4
%
45.8
%
(140) bps
43.1
%
44.5
%
(140) bps
Total United Rentals
Total equipment rentals revenue
$
3,849
$
3,415
12.7
%
$
7,268
$
6,560
10.8
%
Total equipment rentals gross profit
1,501
1,321
13.6
%
2,747
2,451
12.1
%
Total equipment rentals gross margin
39.0
%
38.7
%
30 bps
37.8
%
37.4
%
40 bps
UNITED RENTALS, INC.
DILUTED EARNINGS PER SHARE CALCULATION
(In millions, except per share data)
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
Numerator:
Net income available to common stockholders (1)
$
753
$
622
$
1,284
$
1,140
Denominator:
Denominator for basic earnings per share—weighted-average common shares
62.6
64.9
62.7
65.1
Effect of dilutive securities:
Employee stock options
—
—
—
—
Restricted stock units
—
—
0.1
0.1
Denominator for diluted earnings per share—adjusted weighted-average common shares
62.6
64.9
62.8
65.2
Diluted earnings per share (1)
$
12.03
$
9.59
$
20.44
$
17.48
UNITED RENTALS, INC.
ADJUSTED EARNINGS PER SHARE GAAP RECONCILIATION
We define “earnings per share – adjusted” as the sum of earnings per share – GAAP, as-reported plus the impact of the following special items: merger related intangible asset amortization, impact on depreciation related to acquired fleet and property and equipment, impact of the fair value mark-up of acquired fleet, restructuring charge and asset impairment charge. See below for further detail on the special items. Management believes that earnings per share - adjusted provides useful information concerning future profitability. However, earnings per share - adjusted is not a measure of financial performance under GAAP. Accordingly, earnings per share - adjusted should not be considered an alternative to GAAP earnings per share. The table below provides a reconciliation between earnings per share – GAAP, as-reported, and earnings per share – adjusted.
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
Earnings per share - GAAP, as-reported (1)
$12.03
$9.59
$20.44
$17.48
After-tax (2) impact of:
Merger related intangible asset amortization (3)
0.39
0.47
0.82
1.00
Impact on depreciation related to acquired fleet and property and equipment (4)
0.22
0.29
0.48
0.58
Impact of the fair value mark-up of acquired fleet (5)
0.03
0.08
0.10
0.21
Restructuring charge (6)
0.07
0.01
0.61
0.02
Asset impairment charge (7)
0.02
0.03
0.02
0.03
Earnings per share - adjusted (1)
$12.76
$10.47
$22.47
$19.32
Tax rate applied to above adjustments (2)
25.1%
25.2%
25.1%
25.2%
(1)
For the three and six months ended June 30, 2026, the impact of the gain on sale of business that is discussed above was a net benefit of $0.58 per diluted share. For the six months ended June 30, 2025, the impact of the merger termination benefit associated with the terminated H&E acquisition was a net benefit of $0.45 per diluted share.
(2)
The tax rates applied to the adjustments reflect the statutory rates in the applicable entities.
(3)
Reflects the amortization of the intangible assets acquired in the major acquisitions completed since 2012 that significantly impact our operations (the "major acquisitions," each of which had annual revenues of over $200 million prior to acquisition).
(4)
Reflects the impact of extending the useful lives of equipment acquired in certain major acquisitions, net of the impact of additional depreciation associated with the fair value mark-up of such equipment.
(5)
Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold.
(6)
Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed seven restructuring programs and have incurred total restructuring charges of $435 million. In the fourth quarter of 2025, we initiated a restructuring program associated with the consolidation of certain common functions and certain other cost reduction measures, and the charges above were primarily recognized under this program.
(7)
Reflects write-offs of leasehold improvements and other fixed assets.
UNITED RENTALS, INC.
EBITDA AND ADJUSTED EBITDA GAAP RECONCILIATIONS
($ in millions, except footnotes)
EBITDA represents the sum of net income, provision for income taxes, interest expense, net, depreciation of rental equipment, and non-rental depreciation and amortization. Adjusted EBITDA represents EBITDA plus the sum of the restructuring charges, stock compensation expense, net, and the impact of the fair value mark-up of acquired fleet. See below for further detail on each adjusting item. These items are excluded from adjusted EBITDA internally when evaluating our operating performance and for strategic planning and forecasting purposes, and allow investors to make a more meaningful comparison between our core business operating results over different periods of time, as well as with those of other similar companies. The net income and adjusted EBITDA margins represent net income or adjusted EBITDA divided by total revenue. Management believes that EBITDA and adjusted EBITDA, when viewed with the company’s results under GAAP and the accompanying reconciliation, provide useful information about operating performance and period-over-period growth, and provide additional information that is useful for evaluating the operating performance of our core business without regard to potential distortions. Additionally, management believes that EBITDA and adjusted EBITDA help investors gain an understanding of the factors and trends affecting our ongoing cash earnings, from which capital investments are made and debt is serviced.
The table below provides a reconciliation between net income and EBITDA and adjusted EBITDA.
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
Net income (1)
$
753
$
622
$
1,284
$
1,140
Provision for income taxes
254
217
424
387
Interest expense, net
178
171
354
355
Depreciation of rental equipment
704
651
1,385
1,288
Non-rental depreciation and amortization
116
108
230
222
EBITDA
$
2,005
$
1,769
$
3,677
$
3,392
Restructuring charge (2)
6
—
51
1
Stock compensation expense, net (3)
43
34
79
70
Impact of the fair value mark-up of acquired fleet (4)
2
7
8
18
Adjusted EBITDA (1)
$
2,056
$
1,810
$
3,815
$
3,481
Net income margin
17.1
%
15.8
%
15.3
%
14.9
%
Adjusted EBITDA margin
46.6
%
45.9
%
45.4
%
45.4
%
(1)
For the three and six months ended June 30, 2026, the impact of the gain on sale of business that is discussed above was a net after-tax benefit of $37 million for net income and a $49 million benefit for adjusted EBITDA. For the six months ended June 30, 2025, the impact of the merger termination benefit associated with the terminated H&E acquisition was a net after-tax benefit of $29 million for net income and a net $52 million benefit for adjusted EBITDA.
(2)
Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed seven restructuring programs and have incurred total restructuring charges of $435 million. In the fourth quarter of 2025, we initiated a restructuring program associated with the consolidation of certain common functions and certain other cost reduction measures, and the charges above were primarily recognized under this program.
(3)
Represents non-cash, share-based payments associated with the granting of equity instruments.
(4)
Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold.
UNITED RENTALS, INC.
EBITDA AND ADJUSTED EBITDA GAAP RECONCILIATIONS (continued)
(In millions, except footnotes)
The table below provides a reconciliation between net cash provided by operating activities and EBITDA and adjusted EBITDA.
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
Net cash provided by operating activities (1)
$
1,791
$
1,328
$
3,305
$
2,753
Adjustments for items included in net cash provided by operating activities but excluded from the calculation of EBITDA:
Amortization of deferred financing costs and original issue discounts
(4
)
(4
)
(8
)
(8
)
Gain on sales of rental equipment
154
146
314
313
Gain on sales of non-rental equipment
3
6
7
10
Gain on sale of business (1)
49
—
49
—
Insurance proceeds from damaged equipment
13
12
23
23
Restructuring charge (2)
(6
)
—
(51
)
(1
)
Stock compensation expense, net (3)
(43
)
(34
)
(79
)
(70
)
Debt related activity (4)
—
—
—
(13
)
Changes in assets and liabilities
(239
)
(300
)
(383
)
(494
)
Cash paid for interest
146
117
342
339
Cash paid for income taxes, net
141
498
158
540
EBITDA
$
2,005
$
1,769
$
3,677
$
3,392
Add back:
Restructuring charge (2)
6
—
51
1
Stock compensation expense, net (3)
43
34
79
70
Impact of the fair value mark-up of acquired fleet (5)
2
7
8
18
Adjusted EBITDA (1)
$
2,056
$
1,810
$
3,815
$
3,481
(1)
For the three and six months ended June 30, 2026, the impact of the gain on sale of business that is discussed above was a $49 million benefit for adjusted EBITDA. For the six months ended June 30, 2025, the impact of the merger termination benefit associated with the terminated H&E acquisition was a net $52 million benefit for both net cash provided by operating activities and adjusted EBITDA.
(2)
Primarily reflects severance and branch closure charges associated with our restructuring programs. We only include such costs that are part of a restructuring program as restructuring charges. The designated restructuring programs generally involve the closure of a large number of branches over a short period of time, often in periods following a major acquisition, and result in significant costs that we would not normally incur absent a major acquisition or other triggering event that results in the initiation of a restructuring program. Since the first such restructuring program was initiated in 2008, we have completed seven restructuring programs and have incurred total restructuring charges of $435 million. In the fourth quarter of 2025, we initiated a restructuring program associated with the consolidation of certain common functions and certain other cost reduction measures, and the charges above were primarily recognized under this program.
(3)
Represents non-cash, share-based payments associated with the granting of equity instruments.
(4)
The amount for the six months ended June 30, 2025 reflects bridge financing fees associated with the terminated H&E acquisition.
(5)
Reflects additional costs recorded in cost of rental equipment sales associated with the fair value mark-up of rental equipment acquired in certain major acquisitions and subsequently sold.
UNITED RENTALS, INC.
FREE CASH FLOW GAAP RECONCILIATION
(In millions, except footnotes)
We define “free cash flow” as net cash provided by operating activities less payments for purchases of, and plus proceeds from, equipment and intangible assets. The equipment and intangible asset items are included in cash flows from investing activities. Management believes that free cash flow provides useful additional information concerning cash flow available to meet future debt service obligations and working capital requirements. However, free cash flow is not a measure of financial performance or liquidity under GAAP. Accordingly, free cash flow should not be considered an alternative to net income or cash flow from operating activities as an indicator of operating performance or liquidity. The table below provides a reconciliation between net cash provided by operating activities and free cash flow.
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
Net cash provided by operating activities (1)
$
1,791
$
1,328
$
3,305
$
2,753
Payments for purchases of rental equipment
(1,953
)
(1,460
)
(2,720
)
(2,121
)
Payments for purchases of non-rental equipment and intangible assets
(99
)
(98
)
(165
)
(182
)
Proceeds from sales of rental equipment
330
317
680
694
Proceeds from sales of non-rental equipment
13
17
26
31
Insurance proceeds from damaged equipment
13
12
23
23
Free cash flow (1) (2)
$
95
$
116
$
1,149
$
1,198
The table below provides a reconciliation between 2026 forecasted net cash provided by operating activities and free cash flow.
Net cash provided by operating activities
$5,850-$6,650
Payments for purchases of rental equipment
$(4,750)-$(5,350)
Proceeds from sales of rental equipment
$1,350-$1,550
Payments for purchases of non-rental equipment and intangible assets, net of proceeds from sales and insurance proceeds from damaged equipment
$(300)-$(400)
Free cash flow excluding restructuring related payments
Key Takeaways Vicor's Q2 earnings rose 14.3% and beat estimates by 68%, while revenues increased 1.6%.Advanced Products revenues climbed 45% sequentially, while royalty revenues surged to $30.4 million.Vicor raised its 2026 revenue outlook above $600 million as backlog jumped 145% to about $380 million. Vicor (VICR - Free Report) reported second-quarter 2026 earnings of $1.04 per share, beating the Zacks Consensus Estimate by 68%. The figure increased 14.3% year over year.
Revenues increased 1.6% year over year to $143.4 million and surpassed the consensus estimate by 3.13%. Sequential growth in Advanced Products and a higher royalty contribution supported the quarterly results.
Vicor’s shares were 3.28% at the time of writing this article. Its shares have risen 95.9% in the year-to-date period.
VICR’s Advanced Products Revenues AccelerateAdvanced Products revenues increased 45% sequentially to $94.2 million. The business accounted for 65.7% of total revenues, up from 57.5% in the first quarter of 2026.
Brick Products revenues rose 2.4% sequentially to $49.2 million and represented 34.3% of total revenues.
Shipments to stocking distributors increased 4.2% sequentially and 38.8% year over year. Exports accounted for approximately 46% of revenues, down from 48.9% in the preceding quarter.
Vicor Benefits From Rising Royalty IncomeProduct revenues totaled $112.9 million, up 31.8% year over year. Royalty revenues surged to $30.4 million from $10.4 million, reflecting the growing contribution from the company’s intellectual-property licensing activities.
A recent licensing agreement contributed $15 million to second-quarter revenues. Under its accounting treatment, the agreement is expected to contribute $5 million in the third quarter and $10 million in each of the following four quarters. The contract provides for four quarterly payments of $5 million in its first year and four quarterly payments of $10 million in its second year.
Vicor’s Backlog Signals Broad-Based DemandThe book-to-bill ratio remained above 1, while one-year backlog increased 145% from $155 million a year earlier to approximately $380 million. Management said the licensing agreement accounted for relatively little of the backlog increase.
Demand remained strong across high-performance computing, automatic test equipment, industrial, aerospace and defense markets. The company highlighted growing automatic test equipment opportunities, where its low-noise performance and thin-package technology support differentiated power-system designs. Lead times extended modestly amid demand and capacity conditions.
VICR Margins Expand Despite Higher CostsGross profit increased sequentially to $83.1 million from $62.4 million. Gross margin expanded 280 basis points (bps) to 58%, aided by higher revenues and a more favorable contribution from royalties.
Operating expenses rose 6.1% sequentially to $48.2 million. The increase primarily reflected contingent legal expenses associated with the licensing agreement completed during the quarter. Management also cited costs tied to moving equipment within the first fabrication facility to accommodate incoming machinery, which weighed on product gross margin.
VICR Maintains a Strong Financial PositionAs of June 30, 2026, Cash and cash equivalents were $453.6 million compared with $404.25 million in the previous quarter.
Operating activities generated $34 million in cash compared with cash usage of $3.9 million in the first quarter of 2026.
Vicor is installing additional equipment at its first chip fabrication facility as demand absorbs available capacity. Capital expenditures totaled $11.2 million during the reported quarter. Construction in progress, primarily related to manufacturing equipment, stood at $18.2 million, with $23.5 million of remaining planned spending.
The company is also evaluating sites for a second fabrication facility, which management said will be required to reach its $2.5 billion long-term revenue objective. Initial development would effectively double capacity, while the selected site could eventually support two to three times the capacity of the first facility.
Vicor also received a $14.3 million CHIPS Act investment tax credit refund after quarter-end.
VICR Raises Its 2026 Revenue OutlookVicor expects third-quarter revenues to increase nearly 10% sequentially. The company also projects more than $600 million in revenues for 2026, supported by licensing income and double-digit sequential growth in Advanced Products revenues.
The outlook assumes no additional licensing agreements before the final determination in the company’s second International Trade Commission case in 2027.
Vicor expects gross-margin expansion as factory utilization and manufacturing-cost absorption improve.
Zacks Rank & Other Stocks to ConsiderVicor currently has a Zacks Rank #2 (Buy).
Some other top-ranked stocks in the broader Zacks Computer and Technology sector that are set to report their quarterly results are Amphenol (APH - Free Report) , Bandwidth (BAND - Free Report) and Fortinet (FTNT - Free Report) . Amphenol, Bandwidth and Fortinet sport a Zacks Rank #1 (Strong Buy) each. You can see the complete list of today’s Zacks #1 Rank stocks here.
Amphenol, Bandwidth and Fortinet are set to report their second-quarter 2026 results on July 29. Year to date, shares of Amphenol, Bandwidth and Fortinet have returned 16.8%, 355.4% and 99.1%, respectively.
, /PRNewswire/ -- Fidelity National Financial, Inc. (NYSE: FNF) (FNF), a leading provider of title insurance and transaction services to the real estate and mortgage industries and a leading provider of insurance solutions serving retail annuity and life customers and institutional clients through its majority-owned, publicly traded subsidiary F&G Annuities & Life, Inc. (NYSE: FG) (F&G), will release second quarter 2026 earnings after the close of regular market trading on Wednesday, August 5, 2026.
A webcast and conference call to discuss the results will follow at 11:00 a.m. Eastern Time on Thursday, August 6, 2026. Additional information about the quarterly financial results, including the earnings release, will be available on FNF's Investor Relations website at investor.fnf.com.
Webcast, Conference Call and Replay Information
The event can be accessed in the following ways:
Live Webcast: Register and access the webcast on FNF's Investor Relations website at investor.fnf.com Conference Call: Dial 1-877-407-0784 (U.S.) or 1-201-689-8560 (International) Replay: A webcast replay will be available on FNF's Investor Relations website after the live event About Fidelity National Financial, Inc.
Fidelity National Financial, Inc. (NYSE: FNF) is a leading provider of title insurance and transaction services to the real estate and mortgage industries, and a leading provider of insurance solutions serving retail annuity and life customers and institutional clients through its majority owned subsidiary F&G Annuities & Life, Inc. (NYSE: FG). FNF is the nation's largest title insurance company through its title insurance underwriters - Fidelity National Title, Chicago Title, Commonwealth Land Title, Alamo Title and National Title of New York - that collectively issue more title insurance policies than any other title company in the United States. More information about FNF can be found at www.fnf.com.
Contact:
Lisa Foxworthy-Parker
SVP of Investor & External Relations
[email protected]
515.330.3307
Bank OZK (OZK) Q2 2026 Earnings Call July 22, 2026 8:30 AM EDT
Company Participants
Jay Staley
George Gleason - Chairman & CEO
Jake Munn - President of Corporate & Institutional Banking
Paschall Hamblen - President
Tim Hicks - Chief Financial Officer
Conference Call Participants
Stephen Scouten - Piper Sandler & Co., Research Division
Matt Olney - Stephens Inc., Research Division
Manan Gosalia - Morgan Stanley, Research Division
Catherine Mealor - Keefe, Bruyette, & Woods, Inc., Research Division
Brian Martin - Brean Capital, LLC, Research Division
Timur Braziler - UBS Investment Bank, Research Division
Sun Young Lee - TD Cowen, Research Division
Presentation
Operator
Ladies and gentlemen, thank you for standing by. Welcome to Bank OZK Second Quarter 2026 Earnings Conference Call. [Operator Instructions].
Please be advised that today's conference is being recorded.
I would like to turn the conference over to Jay Staley, Managing Director of Investor Relations and Corporate Development. Please go ahead.
Jay Staley
Good morning. I'm Jay Staley, Managing Director of Investor Relations and Corporate Development for Bank OZK. Thank you for joining our call this morning and participating in our question-and-answer session.
In today's Q&A session, we may make forward-looking statements about our expectations, estimates and outlook for the future. Please refer to our earnings release, management comments, financial supplement and other public filings for more information on the various factors and risks that may cause actual results or outcomes to vary from those projected in or implied by such forward-looking statements.
Joining me on the call to take your questions are George Gleason, Chairman and CEO; Brannon Hamblen, President; Tim Hicks, Chief Financial Officer; and Jake Munn, President, Corporate and Institutional Banking.
We'll now open up the lines for your questions. Let me now ask our operator, Michelle, to remind our listeners how to queue in for questions.
St. Louis, July 22, 2026 (GLOBE NEWSWIRE) -- ESCO Technologies Inc. (NYSE:ESE) will report its third quarter financial results after the market close on Thursday, August 6, 2026, followed by a conference call where the financial results and related commentary will be discussed.
Event: Third Quarter 2026 Conference Call
Date: Thursday, August 6
Time: 4:00 p.m. Central Time
The conference call webcast and an accompanying slide presentation will be available in the Investor Center of ESCO’s website. The slide presentation will be utilized during the call and will be posted on the website prior to the call. Participants may also access the webcast using this registration link.
For those unable to participate, a webcast replay will be available after the call in the Investor Center of ESCO’s website.
ESCO Technologies is a global provider of highly engineered products and solutions serving diverse end-markets. It manufactures filtration and fluid control products, advanced composites, as well as signature and power management solutions for aviation, Navy, and industrial customers. ESCO is an industry leader in designing and manufacturing RF test and measurement products and systems; and provides diagnostic instruments, software and services to industrial power users and the electric utility and renewable energy industries. Headquartered in St. Louis, Missouri, ESCO and its subsidiaries have offices and manufacturing facilities worldwide. For more information on ESCO and its subsidiaries, visit ESCO’s website at www.escotechnologies.com.
SOURCE ESCO Technologies Inc.
Kate Lowrey, Vice President of Investor Relations, (314) 213-7277
Nuclear energy demand is on the rise, driven by the massive power needs of artificial intelligence (AI) data centers. Because nuclear power possesses high power density and provides reliable, 24/7 baseload energy, it is increasingly becoming a top choice among major hyperscalers.
In the nuclear energy industry, innovative companies like NuScale Power (SMR -0.57%) have the potential to reimagine nuclear energy deployment with their small modular reactors. Meanwhile, established utilities such as Constellation Energy (CEG +4.66%), with their extensive nuclear fleet, stand ready to meet today's power challenges.
If you're looking to diversify your portfolio with nuclear energy stocks, there are a few key things you need to consider when considering an investment between NuScale Power and Constellation Energy right now.
Image source: Getty Images.
Next-generation data centers need nuclear power Modern data centers require massive amounts of energy. Training large language models requires running thousands of high-performance graphical processing units (GPUs) for months on end, while AI queries provide steady demand for AI-generated answers. The emergence of autonomous AI agents is another massive driver of non-stop loops that require continuous, reliable operation of AI data centers.
To meet growing AI demand, data center chips are packed into compact clusters that handle parallel computing across billions of variables. Because servers generate significant heat, they also require large liquid-cooling systems that consume substantial energy.
According to Goldman Sachs, U.S. data center power demand could spike to 66 GW and account for up to 8.5% of U.S. peak summer demand by 2027. Bank of America analysts forecast that over the next five years, data centers could add 125 GW of new U.S. electric load, representing a compound annual growth rate of electricity demand of 4.1%.
Hyperscalers like Alphabet, Amazon, Meta Platforms, and Microsoft need reliable energy while also meeting their long-term carbon-reduction goals. These data centers can't afford interruptions, which means intermittent wind and solar power need an extra boost, which is where nuclear energy comes into play.
Over the last couple of years, hyperscalers have invested in small modular reactors (SMRs) and nuclear plant restarts to meet these massive future energy demands.
NuScale's small modular reactors could change how nuclear energy is deployed NuScale Power is uniquely positioned in the SMR space, as it is the only company with a Standard Design Approval (SDA) from the Nuclear Regulatory Commission for its SMR technology. The company has an SDA for its 50-megawatt (MW) and 77 MW modules, giving it a crucial first-mover advantage in the advanced nuclear reactor space, where NRC approval can be a long and drawn-out process.
Today's Change
(
-0.57
%) $
-0.05
Current Price
$
8.66
The company has one approved project in Romania, where it will look to install 462 MWe using six modules at a former coal plant site. The company received a Final Investment Decision from shareholders and the Romanian government. As part of the deal, NuScale will install one 77 MW module to ensure it is functional, with the remaining five modules contingent on the module proving operational. Operations for this power plant are planned to start in 2033.
Beyond this, NuScale hopes to deploy a massive 6 GW of its power modules with the Tennessee Valley Authority (TVA). The company is working closely with ENTRA1 to secure a firm power purchase agreement and hopes to finalize a deal by the end of the year.
Constellation Energy operates the biggest nuclear energy fleet in the U.S. While NuScale is an up-and-coming nuclear energy company with a long timeline until its plants begin operations, Constellation Energy is an established utility company with a massive nuclear energy fleet. Constellation controls 22 GW of U.S. nuclear generation capacity and operates 21 commercial reactors at 12 locations.
Constellation has secured major deals over the past few years. In 2024, the company announced a 20-year power purchase agreement (PPA) with Microsoft, which involves the launch of the Crane Clean Energy Center and the restart of Three Mile Island Unit 1. The Crane Clean Energy Center will come online in 2028.
Today's Change
(
4.66
%) $
12.23
Current Price
$
274.45
In June of last year, Constellation signed a 20-year power purchase agreement with Meta Platforms to provide 1,121 MW of nuclear energy, beginning in June 2027. As part of this agreement, Constellation will relicense and expand its Clinton nuclear facility located in Illinois.
The company also continues to build on its massive energy platform. On July 16, Constellation's venture capital arm, Constellation Technology Ventures, invested in Blue Energy, which builds prefabricated modular nuclear power plant structures off-site and ships them to their final location. The company uses phased delivery, meaning it deploys gas turbines first, which will eventually transition to nuclear plants when reactor installations are completed.
Which stock is a better buy today? NuScale Power has a first-mover advantage with its NRC-approved SMRs. However, the company faces risks from the Department of Energy's Reactor Pilot Program, in which the DOE is leveraging its authority to reduce red tape and fast-track the testing and licensing of new reactor technologies by competitors.
For investors seeking explosive upside potential, NuScale could be an appealing buy, but it also carries massive risk, as it needs to secure additional contracts and prove it can successfully deploy and commercialize its SMR technology over the coming decade.
In contrast, Constellation Energy has an established fleet of nuclear capacity and is well positioned to benefit from booming energy demand in the near term, making it the better stock for investors looking to gain exposure to the growing nuclear energy industry right now.
SummarySilgan Holdings is a rigid packaging global leader. The company has underperformed its peers over the past year, and it's set to announce Q2 results on July 29.While I don't expect too many positive fireworks from the reported numbers, the forward-looking guidance could be interesting, more so as SLGN approaches its seasonally stronger period.The Dispensing & Specialty Closures segment is expected to drive growth, offsetting near-term metal container volume headwinds and benefiting from innovation and market share gains.Compared to other packaging peers, SLGN's stock offers better value, both from an earnings perspective as well as an FCF perspective.SLGN, which is a mid-cap dividend aristocrat, looks to have negated its descending trendline and is trading above all its key moving averages. Mariya Borisova/iStock via Getty Images
Introduction Silgan Holdings Inc. (SLGN), which has been around for four decades, has been in the business of offering rigid packaging solutions for various categories of consumer goods (particularly in the food & beverages space). While Silgan’s offerings are used in over 100 countries
5.09K Followers
Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.
SYRACUSE, N.Y.--(BUSINESS WIRE)--Community Financial System, Inc. (NYSE: CBU) (the “Company”) announced that it has declared a quarterly cash dividend of $0.49 per share on its common stock, which represents a $0.02, or 4.26%, increase and an annualized yield of 2.89% based on the closing share price of $67.82 on July 21, 2026. The dividend will be payable on October 13, 2026 to Shareholders of record as of September 15, 2026.
President and Chief Executive Officer, Dimitar Karaivanov, commented, “Given the Company’s strong performance in 2026, the Board of Directors is pleased to provide its Shareholders with a larger increase to the dividend this year, and has raised the quarterly dividend from $0.47 per share of common stock to a quarterly dividend of $0.49 per share of common stock. This increase emphasizes our commitment to sustained shareholder returns. Our annual dividend increases over the last 34 years are supported by our strong balance sheet and cash flow generation that provide us with flexibility to return cash to our Shareholders while investing in our long-term future.”
About Community Financial System, Inc.
Community Financial System, Inc. is a diversified financial services company that is focused on four main business lines – banking services, employee benefit services, insurance services and wealth management services. Its banking subsidiary, Community Bank, N.A., is among the country’s 100 largest banking institutions with over $17 billion in assets and operates approximately 200 customer facilities across Upstate New York, Northeastern Pennsylvania, Vermont, Western Massachusetts and Southern New Hampshire. The Company’s Benefit Plans Administrative Services, Inc. subsidiary is a leading provider of employee benefits administration, trust services, collective investment fund administration, and actuarial consulting services to customers on a national scale. The Company’s OneGroup NY, Inc. subsidiary is a top 68 U.S. insurance agency. The Company also offers comprehensive financial planning, trust administration and wealth management services through its Nottingham Financial Group operating unit. The Company is listed on the New York Stock Exchange and the Company’s stock trades under the symbol CBU. For more information about the Company and each of its four main business lines visit https://ir.cfsi.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on the current beliefs and expectations of CBU’s management and are subject to significant risks and uncertainties. Actual results may differ from those set forth in the forward-looking statements. The following factors, among others, could cause the actual results of CBU’s operations to differ materially from its expectations: the macroeconomic and other challenges and uncertainties related to or resulting from current and future economic and market conditions, including the effects on CRE and housing or vehicle prices, unemployment rates, high inflation, U.S. fiscal debt, budget and tax matters, geopolitical matters, tariffs and global economic growth; fiscal and monetary policies of the Federal Reserve Board; the potential adverse effects of unusual and infrequently occurring events; litigation and actions of regulatory authorities; management’s estimates and projections of interest rates and interest rate policies; the effect of changes in the level of checking, savings, or money market account deposit balances and other factors that affect net interest margin; future provisions for credit losses on loans and debt securities; changes in nonperforming assets; ability to contain costs in inflationary conditions; the effect on financial market valuations on CBU’s fee income businesses, including its employee benefit services, wealth management services, and insurance services businesses; the successful integration of operations of its acquisitions and performance of new branches; competition; changes in legislation or regulatory requirements, including capital requirements; and the timing for receiving regulatory approvals and completing merger and acquisition transactions. For more information about factors that could cause actual results to differ materially from CBU’s expectations, refer to its annual, periodic and other reports filed with the Securities and Exchange Commission (“SEC”), including the discussion under the “Risk Factors” section of such reports filed with the SEC and available on CBU’s website at https://ir.cfsi.com and on the SEC’s website at https://sec.gov. Further, any forward-looking statement speaks only as of the date on which it is made, and CBU undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date on which the statement is made or to reflect the occurrence of unanticipated events.
Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact Company to Host Earnings Conference Call on August 5, 2026
, /PRNewswire/ -- Southwest Gas Holdings, Inc. (NYSE: SWX) ("Southwest Gas Holdings" or the "Company") will hold its second quarter earnings conference call and webcast on August 5, 2026, at 11:00 AM ET, following its news release to be issued before the markets open that day.
The conference call will be webcast live on the Company's website at www.swgasholdings.com.
Date:
Wednesday, August 5, 2026
Time:
11:00 AM ET
Telephone number:
(800) 836-8184
International number:
(646) 357-8785
If you are unable to participate during the live webcast, the call will also be archived on the Company's website at www.swgasholdings.com. Alternatively, a digital replay of the call can be accessed by dialing (888) 660-6345 or internationally at (646) 517-4150, beginning one hour after the end of the earnings call. The replay code is 48809#. The digital replay of the call will be available until 4:30 PM ET on August 12, 2026. The call will discuss results and may include business, financial or other information not contained in the earnings release.
Stifel Financial Corp. (SF) Q2 2026 Earnings Call July 22, 2026 9:30 AM EDT
Company Participants
Joel Jeffrey - Senior Vice President of Investor relations
Ronald J. Kruszewski - Chairman & CEO
James Marischen - Senior VP & CFO
Conference Call Participants
Steven Chubak - Wolfe Research, LLC
Michael Brown - UBS Investment Bank, Research Division
Devin Ryan - Citizens JMP Securities, LLC, Research Division
William Katz - TD Cowen, Research Division
Brennan Hawken - BMO Capital Markets Equity Research
Y. Cho - JPMorgan Chase & Co, Research Division
Presentation
Operator
Good day, and welcome to the Stifel Financial Q2 '26 Financial Results Conference Call. Today's conference is being recorded.
At this time, I would like to turn the conference over to Joel Jeffrey, Head of Investor Relations. Please go ahead.
Joel Jeffrey
Senior Vice President of Investor relations
Thank you, operator. Good morning, and welcome to Stifel Second Quarter 2026 Earnings Call. On behalf of Stifel Financial Corp., I will begin the call with the following information and disclaimers.
This call is being recorded. During today's presentation, we will refer to our earnings release and financial supplement, copies of which are available at stifel.com.
Today's presentation may include forward-looking statements that are subject to the risks and uncertainties that may cause actual results to differ materially. Stifel Financial Corp. does not undertake to update the forward-looking statements in this discussion. Please refer to our notices regarding forward-looking statements and non-GAAP measures that appear in our earnings release.
I will now turn the call over to our Chairman and Chief Executive Officer, Ronald Kruszewski.
Ronald J. Kruszewski
Chairman & CEO
Thanks, Joel. Good morning, everyone, and thank you for joining us. We entered 2026 with a clear plan. At the beginning of the year, we said we would grow revenue, increase our loan book by up to $4 billion, increase treasury deposits, improve operating leverage and
Ron Kruszewski, Stifel chairman and ceo, says artificial intelligence will lead to productivity gains. He says financial advisers are still valuable and AI can help them.
DUNMORE, Pa., July 22, 2026 (GLOBE NEWSWIRE) -- The Board of Directors of Fidelity D & D Bancorp, Inc. (NASDAQ: FDBC), parent company of The Fidelity Deposit and Discount Bank, announce their declaration of the Company’s third quarter dividend of $0.43 per share. The dividend is payable September 10, 2026, to shareholders of record at the close of business on August 14, 2026.
Fidelity D & D Bancorp, Inc., serves Lackawanna, Luzerne, Northampton and Lehigh Counties through The Fidelity Deposit and Discount Bank’s 21 full-service community banking offices, along with the Fidelity Bank Wealth Management Minersville Office in Schuylkill County. Fidelity Bank provides a digital and virtual experience via digital services and digital account opening through Online Banking and the Fidelity Mobile Banking app.
For more information visit our investor relations web site through www.bankatfidelity.com.
This press release may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results and trends could differ materially from those set forth in such statements due to various factors. These factors include the possibility that increased demand or prices for the company’s financial services and products may not occur, changing economic, interest rate and competitive conditions, technological developments and other risks and uncertainties, including those detailed in the company’s filings with the Securities and Exchange Commission.
Contacts: Daniel J. SantanielloSalvatore R. DeFrancesco, Jr. President and Chief Executive OfficerTreasurer and Chief Financial Officer 570-504-8035570-504-8000
PRINCETON, N.J.--(BUSINESS WIRE)--Princeton Bancorp, Inc. (the “Company”) (NASDAQ - BPRN), the bank holding company for The Bank of Princeton (the “Bank”), announced that its Board of Directors, at a meeting held on July 22, 2026, declared a cash dividend of $0.35 per share of the common stock of the Company. This dividend will be paid on August 28, 2026, to shareholders of record at the close of business on August 5, 2026. “This dividend reflects the Board of Directors continuing commitment in providing a return to shareholders,” stated Edward Dietzler, President and CEO.
Princeton Bancorp, Inc. Announces Declaration of a $0.35 Quarterly Cash Dividend
Share The paying of cash dividends on a quarterly basis is subject to a determination and declaration each quarter by its Board of Directors, which will take into account a number of factors, including the financial condition of the Company, and any applicable legal and regulatory restrictions on the payment of dividends by the Company and the Bank. If paid, such dividends may be reduced or eliminated in future periods.
About Princeton Bancorp, Inc. and The Bank of Princeton
Princeton Bancorp, Inc. is the holding company for The Bank of Princeton, a community bank founded in 2007. The Bank is a New Jersey state-chartered commercial bank with 29 branches in New Jersey, including three in Princeton and others in Bordentown, Browns Mills, Burlington, Chesterfield, Cherry Hill, Cranbury, Cream Ridge, Deptford, Fort Lee, Hamilton, Kingston, Lakewood, Lambertville, Lawrenceville, Medford, Monroe, Moorestown, New Brunswick, Palisades Park, Pennington, Piscataway, Princeton Junction, Quakerbridge, Sicklerville, Voorhees, and Woodbury. There are also five branches in the Philadelphia, Pennsylvania area and two in the New York City metropolitan area. The Bank of Princeton is a member of the Federal Deposit Insurance Corporation.
Forward-Looking Statements
The Company may from time to time make written or oral “forward-looking statements,” including statements contained in the Company’s filings with the Securities and Exchange Commission, in its reports to shareholders and in other communications by the Company (including this press release), which are made in good faith by the Company pursuant to the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended.
These forward-looking statements involve risks and uncertainties, such as statements of the Company’s plans, objectives, expectations, estimates and intentions that are subject to change based on various important factors (some of which are beyond the Company’s control). The most significant factors that could cause future results to differ materially from those anticipated by our forward-looking statements include the potential impact of the global impact of foreign military conflicts in Iran, the Middle East and elsewhere, any future Federal budget stalemates in Congress, higher tariffs imposed by the Trump administration, higher inflation levels, and general economic and recessionary concerns, all of which could impact economic growth and could cause an increase in loan delinquencies, a reduction in financial transactions and business activities including decreased deposits and reduced loan originations, difficulties in managing liquidity in a rapidly changing and unpredictable market, and supply chain disruptions. Other factors that could cause actual results to differ materially from those indicated by forward-looking statements include, but are not limited to, the following factors: the global impact of foreign military conflicts; the impact of any future pandemics or other natural disasters; civil unrest, rioting, acts or threats of terrorism, or actions taken by the local, state and Federal governments in response to such events, which could impact business and economic conditions in our market area; the strength of the United States economy in general and the strength of the local economies in which the Company and Bank conduct operations; the effects of, and changes in, trade, monetary and fiscal policies and laws, including interest rate policies of the Board of Governors of the Federal Reserve System; market and monetary fluctuations; market volatility; the value of the Bank’s products and services as perceived by actual and prospective customers, including the features, pricing and quality compared to competitors’ products and services; the willingness of customers to substitute competitors’ products and services for the Bank’s products and services; credit risk associated with the Bank’s lending activities; risks relating to the real estate market and the Bank’s real estate collateral; the impact of changes in applicable laws and regulations and requirements arising out of our supervision by banking regulators; other regulatory requirements applicable to the Company and the Bank; the timing and nature of the regulatory response to any applications filed by the Company and the Bank; developments in technology, such as artificial intelligence, and our ability to incorporate innovative technologies in our business and provide products and services that satisfy our customers' expectations for convenience and security; other acquisitions; changes in consumer spending and saving habits; those risks under the heading “Risk Factors” set forth in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025; and the success of the Company at managing the risks involved in the foregoing.
The Company cautions that the foregoing list of important factors is not exclusive. The Company does not undertake to update any forward-looking statement, whether written or oral, that may be made from time to time by or on behalf of the Company, except as required by applicable law or regulation.
July 22, 2026 16:00 ET | Source: Kish Bancorp, Inc.
STATE COLLEGE, Pa., July 22, 2026 (GLOBE NEWSWIRE) -- Kish Bancorp, Inc. (OTCQX: KISB) (“Kish” or the “Company”), parent company of Kish Bank, today announced the appointment of three members of its Kish Bank Board of Directors—Jim Foreman of Blair County, Michael Krentzman of Centre County, and John Pannizzo of Mifflin County—to also serve on Kish Bancorp’s Board of Directors.
“We are thrilled to announce the appointment of Jim, Michael, and John to Kish Bancorp’s Board of Directors,” said William P. Hayes, Executive Chairman. “They have all served on our Bank Board since August of 2025, and collectively bring extensive institutional knowledge, as well as a deep understanding of the communities we serve.”
Additionally, Brandon Zlupko of Centre County and Philip Bomberger of Juniata County have been appointed to the Kish Bank Board of Directors, effective immediately.
“We are very excited to welcome Brandon and Phil to Kish Bank’s Board,” said Gregory T. Hayes, President and Chief Executive Officer. “Their fresh perspectives, deep expertise across different sectors of our market, and shared commitment to Kish's mission will strengthen our Board and help guide us into our next chapter of growth.”
Brandon Zlupko serves as Vice President for Highland Holding Group, Inc., focusing on student housing, hospitality, and commercial real estate. He is a certified CPA with more than two decades of experience at Baker Tilly US, LLP, where he served as a partner from 2009 to 2025. Zlupko also serves on Kish Bank’s Centre County Regional Advisory Board and is heavily involved in community organizations and volunteerism throughout Centre and Huntingdon counties. Zlupko holds a Bachelor of Arts degree from Juniata College.
Philip Bomberger is a regional business leader with extensive experience in real estate development, construction, property management, and manufacturing in Central Pennsylvania. He serves as President of John E. Groninger Inc. and Republic Land and Development Company, as well as a partner at Juniata Concrete (now a division of Centre Concrete). In addition, Bomberger serves as a board member for Juniata Lumber and Supply. He holds a bachelor’s degree from Penn State University.
About Kish Bancorp, Inc.
Kish Bancorp, Inc. is a diversified financial services corporation headquartered in Belleville, PA, with executive offices in State College, PA and an Innovation Center in Reedsville, PA. Kish Bank, a subsidiary of Kish Bancorp, Inc., operates 20 locations serving Centre, Mifflin, Huntingdon, Blair, and Juniata counties in Pennsylvania, as well as northeastern Ohio. In addition to Kish Bank, other business units include: Kish Insurance, an independent property and casualty insurance agency; Kish Financial Solutions, which offers trust, fiduciary, and wealth management advisory services; Kish Benefits Consulting, which provides employee benefits consulting services; and Kish Travel, a full-service travel agency. KISB is the OTCQX stock ticker symbol for Kish Bancorp, Inc. For additional information, please visit ir.kishbancorp.com or otcmarkets.com/stock/KISB.
Contact: Amanda Dutrow, AVP, Executive Assistant to the CEO, 814-325-7252
HARRISBURG, Pa.--(BUSINESS WIRE)--Mid Penn Bancorp, Inc. (NASDAQ: MPB) ("Mid Penn"), the parent company of Mid Penn Bank (the "Bank") and MPB Financial Services, LLC, today reported net income available to common shareholders ("earnings") of $21.7 million, or $0.86 per basic common share and $0.85 per diluted common share, for the quarter ended June 30, 2026, compared to $4.8 million, or $0.22 per basic and diluted common share, for the second quarter of 2025. Earnings exceeded the consensus analyst estimate of $0.79 per diluted common share for the second quarter of 2026. Mid Penn also declared a quarterly cash dividend of $0.23 per common share, up 4.55% from the prior quarter.
Key Highlights of the Second Quarter of 2026:
Net income available to common shareholders for the second quarter of 2026 was $21.7 million, an increase of $16.9 million or 355.5% compared to the second quarter of 2025, and an increase of $13.0 million, or 149.2%, compared to the first quarter of 2026. The year-over-year increase reflects the William Penn and 1st Colonial acquisitions, while the linked-quarter comparison reflects a full quarter of 1st Colonial results. Earnings per basic common share for the second quarter of 2026 were $0.86 and $0.85 per diluted common share, an increase from $0.22 per both basic and diluted common share in the second quarter of 2025. Net interest margin increased to 4.06% for the quarter ended June 30, 2026, from 3.80% for the first quarter of 2026, and 3.44% for the second quarter of 2025. This represents increases of 26 and 62 basis points ("bps") compared to the first quarter of 2026 and second quarter of 2025, respectively. The increase from the second quarter of 2025 was driven by higher investment securities yields, higher loan yields, and lower funding costs. Loan balances increased $107.2 million, or 7.8% (annualized), during the second quarter of 2026 compared to the first quarter of 2026. Total loans increased $784.3 million, or 16.2%, to $5.6 billion at June 30, 2026, compared to $4.8 billion at June 30, 2025. Excluding the $597.5 million of loans acquired in the 1st Colonial acquisition, organic loan growth was $186.8 million from June 30, 2025. Deposits decreased $17.7 million, or 1.2% (annualized), during the second quarter of 2026 compared to the first quarter of 2026. Total deposits increased $503.6 million, or 9.2%, to $6.0 billion from June 30, 2025. Excluding $747.1 million of deposits from the 1st Colonial acquisition, organic deposits decreased $243.4 million, or 17.9% (annualized), from June 30, 2025, primarily reflecting the planned reduction of approximately $225 million in brokered certificates of deposit during 2025. The core efficiency ratio(1) improved to 59.82% in the second quarter of 2026, compared to 63.52% in the first quarter of 2026, and 62.56% in the second quarter of 2025. This improvement was driven by higher net interest income and disciplined management of noninterest expense following the 1st Colonial and William Penn acquisitions. Book value per common share improved to $35.62 as of June 30, 2026, compared to $35.08 as of March 31, 2026, and $33.85 as of June 30, 2025. Tangible book value per common share (1) was $28.18 as of June 30, 2026, compared to $27.56 and $27.22 as of March 31, 2026 and June 30, 2025, respectively. Mid Penn returned capital to shareholders through the repurchase of 76,000 shares of common stock during the second quarter of 2026. As a result of the foregoing, the Board of Directors declared a quarterly cash dividend of $0.23 per common share, payable on August 14, 2026, to shareholders of record as of August 3, 2026. Chair, President and CEO Rory G. Ritrievi provided the following statement:
"We are pleased to share our second quarter operating performance with our shareholders. Results include earnings above consensus expectations, meaningful organic loan growth, healthy net interest margin expansion, a reduction in the efficiency ratio to below 60%, stable asset quality, and improvements in both book value and tangible book value.
Comparisons to the second quarter of 2025 and the first quarter of 2026 are somewhat challenging, as both previous periods were impacted by merger and acquisition-related costs, as well as significant balance sheet expansion. However, when measured against analyst expectations and our own internal expectations, second quarter performance was favorable across nearly every key metric.
During the quarter, we were also active in common stock repurchases, placing 76,000 shares into treasury and returning approximately $2.5 million to the shareholders.
In light of this solid second quarter performance, the Board has also elected to increase the quarterly dividend by 4.55%, from $0.22 per share in the first quarter to $0.23 per share in the second quarter.
We look forward to building on this momentum through the remainder of 2026."
Net Interest Income
For the three months ended June 30, 2026, net interest income was $65.3 million, compared to net interest income of $55.3 million for the three months ended March 31, 2026, and $48.2 million for the three months ended June 30, 2025. Interest income for the quarter ended June 30, 2026, includes $4.3 million of loan accretion income related to fair value marks on acquired loans, which are accreted into interest income over the expected life of the assets. The tax-equivalent net interest margin(1) for the three months ended June 30, 2026 was 4.06% compared to 3.80% and 3.44% for the first quarter of 2026 and second quarter of 2025, respectively, representing a 26 bp increase from the first quarter of 2026, and a 62 bp increase compared to the same period in 2025.
The yield on interest-earning assets increased to 5.99% for the quarter ended June 30, 2026, from 5.75% and 5.69%, for the three months ended March 31, 2026, and June 30, 2025, respectively. The increase from the first quarter of 2026 was primarily due to higher yields on loans, including the impact of accretion income on acquired loans.
For the six months ended June 30, 2026, net interest income increased 32.9% to $120.5 million compared to net interest income of $90.7 million for the same period of 2025. The increase was primarily driven by a $26.4 million increase in interest income on loans and a $5.0 million increase in interest income on investment securities, compared to the same period in 2025.
Average Balances
Average balances continue to be impacted by the 1st Colonial acquisition given that the acquisition closed on February 27, 2026. Day one increases in loans, total assets, deposits, and total liabilities were $581.8 million, $842.5 million, $746.9 million, and $751.7 million, respectively.
Average loans increased $504.9 million to $5.6 billion for the quarter ended June 30, 2026, compared to $5.1 billion for the quarter ended March 31, 2026, and increased $863.5 million compared to $4.7 billion for the quarter ended June 30, 2025.
Average deposits were $5.9 billion for the second quarter of 2026, an increase of $545.9 million, or 10.1%, from $5.4 billion in the first quarter of 2026 and an increase of $779.7 million, or 15.1%, from $5.2 billion for the second quarter of 2025, primarily due to the 1st Colonial and William Penn acquisitions, and organic growth. The average cost of deposits was 2.07% for the second quarter of 2026, representing a 2 bp decrease from the first quarter of 2026, and a 34 bp decrease from the second quarter of 2025.
Cost of funds decreased to 2.09%, compared to 2.12% in the first quarter of 2026, primarily reflecting the repricing of higher-cost time deposits as well as a favorable shift in the funding mix, including an $82.8 million increase in noninterest-bearing deposits.
Asset Quality
The total provision for credit losses, including the benefit for credit losses on off-balance sheet credit exposures, was $528 thousand for the three months ended June 30, 2026, compared to the provision for credit losses of $1.6 million for the three months ended March 31, 2026, and a provision for credit losses of $2.3 million for the three months ended June 30, 2025. The quarter-over-quarter change in the provision for credit losses was primarily driven by qualitative adjustments to the CRE owner-occupied portfolio and improved macroeconomic assumptions, offset by an increase in reserve on one individually analyzed C&I loan. Credit quality remained stable during the quarter, supported by minimal net charge-offs and continued disciplined credit risk management. Net charge-offs for the three months ended June 30, 2026, were $22 thousand, or approximately 0.0004% of total average loans.
The provision for credit losses on loans was $2.2 million for the six months ended June 30, 2026, a decrease of $361 thousand compared to the provision for credit losses of $2.6 million for the six months ended June 30, 2025. The decrease for the six months ended June 30, 2026 was primarily attributable to improved macroeconomic assumptions, partially offset by increases from qualitative adjustments to several segments of the portfolio. The benefit for credit losses on off-balance sheet credit exposures was $29 thousand for the three months ended June 30, 2026, compared to the provision of $24 thousand for the three months ended June 30, 2025. The benefit for credit losses on off-balance sheet credit exposures was $83 thousand for the six months ended June 30, 2026, compared to the provision of $4 thousand for the six months ended June 30, 2025.
Allowance for credit losses - loans was 0.74%, 0.75%, and 0.78% of loans, net of unearned income at June 30, 2026, March 31, 2026, and June 30, 2025, respectively.
Total nonperforming assets were $36.8 million at June 30, 2026, compared to nonperforming assets of $38.1 million at March 31, 2026, and $28.0 million at June 30, 2025. The decrease during the second quarter of 2026 was primarily driven by the payoff of one commercial real estate loan with a balance of $1.3 million.
Delinquency, measured as loans past due 30 days or more, as a percentage of total loans was 0.71% at June 30, 2026, compared to 0.70% and 0.58% at March 31, 2026 and June 30, 2025, respectively.
Capital
Shareholders’ equity increased $14.5 million, or 1.6%, to $901.9 million as of June 30, 2026, from $887.4 million as of March 31, 2026. Retained earnings increased $16.1 million, or 7.2%, from $222.2 million as of March 31, 2026 to $238.2 million as of June 30, 2026. Regulatory capital ratios for Mid Penn and the Bank indicate regulatory capital levels in excess of the regulatory minimums and the levels necessary for the Bank to be considered "well capitalized" at June 30, 2026. Additionally, Mid Penn declared $5.6 million in dividends during the second quarter of 2026.
On April 21, 2026, Mid Penn’s Board of Directors authorized an increase to its treasury stock repurchase program ("the Program"), increasing the authorized repurchase amount to $50.0 million of Mid Penn’s outstanding common stock through April 30, 2027. During the second quarter of 2026, Mid Penn repurchased 76,000 shares under the program. As of June 30, 2026, Mid Penn repurchased a total of 595,891 shares of common stock at an average price of $24.82 per share under the Program.
Noninterest Income
For the three months ended June 30, 2026, noninterest income totaled $10.6 million, an increase of $1.0 million, or 10.2%, from $9.6 million for the first quarter of 2026. The increase was primarily driven by an $805 thousand increase in mortgage banking income, a $336 thousand increase in earnings from the cash surrender value of life insurance, and a $230 thousand increase in fiduciary and wealth management income, partially offset by a $415 thousand decrease in other noninterest income.
For the six months ended June 30, 2026, noninterest income totaled $20.2 million, an increase of $8.8 million, or 77.4%, compared to noninterest income of $11.4 million for the six months ended June 30, 2025. The increase was primarily driven by a $5.0 million increase in fiduciary and wealth management income, reflecting the Cumberland Advisors acquisition, a $981 thousand increase in earnings from the cash surrender value of life insurance, and a $2.0 million increase in other noninterest income, including a $653 thousand increase in insurance commissions, and a $558 thousand increase in death benefits received.
Noninterest Expense
For the three months ended June 30, 2026, noninterest expense totaled $47.8 million, a decrease of $4.2 million, or 8.1%, compared to $52.0 million in the first quarter of 2026. The decrease was primarily driven by a $7.6 million decrease in merger and acquisition expenses, partially offset by a $3.6 million increase in salaries and employee benefits, resulting from the acquisition of 1st Colonial.
For the six months ended June 30, 2026, noninterest expense totaled $99.7 million, an increase of $21.3 million, or 27.1%, compared to $78.4 million for the six months ended June 30, 2025. The increase was primarily driven by a $13.2 million increase in salaries and benefits, reflecting additional staff from the 1st Colonial, Cumberland Advisors, and William Penn acquisitions. Software licensing and utilization costs, occupancy expenses, and legal and professional fees increased $1.9 million, $1.5 million, and $2.0 million, respectively, primarily reflecting Mid Penn's increased size and operational complexity following these acquisitions. Intangible amortization also increased $1.9 million. These increases were partially offset by a $3.5 million decrease in merger and acquisition expenses compared to the same period of 2025.
The core efficiency ratio(1) was 59.8% for the second quarter of 2026, compared to 63.5% for the first quarter of 2026 and 62.6% for the second quarter of 2025. The linked-quarter improvement was primarily driven by growth in net interest income, which outpaced the increase in core noninterest expense associated with a full quarter of 1st Colonial operations. Mid Penn continues to evaluate opportunities to achieve cost synergies as integration progresses.
SPECIAL CAUTIONARY NOTICE REGARDING FORWARD-LOOKING STATEMENTS
This press release, and oral statements made regarding the subjects of this release, 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 current views and expectations about new and existing programs and products, relationships, opportunities, technology, and market conditions. These statements may be identified by such forward-looking terminology as "continues," "expect," "look," "believe," "anticipate," "may," "will," "should," "projects," "strategy" or similar statements. Actual results may differ materially from such forward-looking statements, and no reliance should be placed on any forward-looking statement. Factors that may cause results to differ materially from such forward-looking statements include, but are not limited to, changes in interest rates, spreads on earning assets and interest-bearing liabilities, and interest rate sensitivity; prepayment speeds, loan originations, credit losses and market values on loans, collateral securing loans, and other assets; sources of liquidity; common shares outstanding; common stock price volatility; fair value of and number of stock-based compensation awards to be issued in future periods; the impact of changes in market values on securities held in Mid Penn’s portfolio; legislation affecting the financial services industry as a whole, and Mid Penn and Mid Penn Bank individually or collectively, including tax legislation; results of the regulatory examination and supervision process and oversight, including changes in monetary policy and capital requirements; changes in accounting policies or procedures as may be required by the Financial Accounting Standards Board or regulatory agencies; increasing price and product/service competition by competitors, including new entrants; rapid technological developments and changes; the ability to continue to introduce competitive new products and services on a timely, cost-effective basis; the mix of products/services; containing costs and expenses; governmental and public policy changes; protection and validity of intellectual property rights; reliance on large customers; technological, implementation and cost/financial risks in large, multi-year contracts; the outcome of future litigation and governmental proceedings, including tax-related examinations and other matters; continued availability of financing; the availability of financial resources in the amounts, at the times and on the terms required to support Mid Penn and Mid Penn Bank’s future businesses; material differences in the actual financial results of merger, acquisition and investment activities compared with Mid Penn’s initial expectations, including the full realization of anticipated cost savings and revenue enhancements, the possibility that the anticipated benefits of a transaction are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of the companies or as a result of the strength of the economy and competitive factors in legacy Mid Penn and target markets; diversion of management’s attention from ongoing business operations and opportunities; potential adverse reactions or changes to business or employee relationships, including those resulting from the announcement or completion of a transaction; the ability to complete the integration of Mid Penn and its target successfully; the dilution caused by Mid Penn’s issuance of additional shares of its capital stock in connection with a transaction; and other factors that may affect the future results of Mid Penn.
For a more detailed description of these and other factors which would affect our results, please see Mid Penn’s filings with the SEC, including those risk factors identified in the "Risk Factors" section and elsewhere in our Annual Report on Form 10-K for the year ended December 31, 2025 and subsequent filings with the SEC. The statements in this press release are made as of the date of this press release, even if subsequently made available by Mid Penn on its website or otherwise. Mid Penn does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions which may be made to forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of unanticipated events, except as required by law.
SUMMARY FINANCIAL HIGHLIGHTS (Unaudited):
(Dollars in thousands, except per share data)
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30,
2025
Jun. 30,
2025
Ending Balances:
Investment securities
$
878,026
$
830,499
$
769,045
$
781,888
$
769,211
Loans, net of unearned income
5,617,169
5,509,940
4,862,838
4,821,134
4,832,898
Total assets
7,062,910
6,964,809
6,133,896
6,267,349
6,354,543
Total deposits
5,953,297
5,970,967
5,214,663
5,342,720
5,449,664
Shareholders' equity
901,907
887,405
814,058
796,323
775,708
Average Balances:
Investment securities
843,317
783,768
774,962
782,020
652,105
Loans, net of unearned income
5,588,129
5,083,240
4,844,308
4,804,163
4,724,638
Total assets
6,996,021
6,393,011
6,202,310
6,385,751
6,036,045
Total deposits
5,939,499
5,393,592
5,290,598
5,468,144
5,159,754
Shareholders' equity
892,092
845,553
803,093
783,547
670,491
Three Months Ended
Income Statement:
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30,
2025
Jun. 30,
2025
Net interest income
$
65,280
$
55,250
$
54,751
$
53,629
$
48,206
Provision/(benefit) for credit losses (4)
528
1,594
(839
)
(434
)
2,269
Noninterest income
10,586
9,604
7,277
8,183
6,143
Noninterest expense
47,767
51,959
35,848
37,982
47,798
Income before provision for income taxes
27,571
11,301
27,019
24,264
4,282
Provision/(benefit) for income taxes
5,880
2,595
7,572
5,967
(480
)
Net income available to shareholders
21,691
8,706
19,447
18,297
4,762
Net income excluding non-recurring income and expenses (1)
22,019
15,294
19,224
17,772
15,074
Per Share:
Basic earnings per common share
$
0.86
$
0.36
$
0.84
$
0.80
$
0.22
Diluted earnings per common share
0.85
0.36
0.83
0.79
0.22
Cash dividends declared
0.22
0.22
0.22
0.20
0.20
Book value per common share
35.62
35.08
35.32
34.56
33.85
Tangible book value per common share (1)
28.18
27.56
28.76
27.96
27.22
Asset Quality:
Net charge-offs to average loans (3)
0.002
%
0.084
%
0.038
%
0.008
%
0.069
%
Non-performing loans to total loans
0.51
0.54
0.47
0.37
0.38
Non-performing asset to total loans and other real estate
0.65
0.69
0.63
0.57
0.58
Non-performing asset to total assets
0.52
0.55
0.50
0.44
0.44
ACL on loans to total loans
0.74
0.75
0.74
0.77
0.78
ACL on loans to nonperforming loans
146.52
138.68
157.25
207.92
206.49
Profitability:
Return on average assets (3)
1.24
%
0.55
%
1.24
%
1.14
%
0.32
%
Return on average equity (3)
9.75
4.18
9.61
9.26
2.85
Return on average tangible common equity (1) (3)
13.20
5.82
12.29
11.95
4.05
Tax-equivalent net interest margin
4.06
3.80
3.79
3.60
3.44
Core Efficiency ratio (1)
59.82
63.52
55.26
58.80
62.56
Capital Ratios:
Tier 1 Capital (to Average Assets) (2)
10.7
%
11.4
%
11.0
%
10.4
%
10.6
%
Common Tier 1 Capital (to Risk Weighted Assets) (2)
12.8
12.8
13.5
13.9
12.8
Tier 1 Capital (to Risk Weighted Assets) (2)
12.8
12.8
13.5
13.9
12.8
Total Capital (to Risk Weighted Assets) (2)
13.5
13.6
14.3
15.5
14.4
(1)
Non-GAAP financial measure. Refer to the calculation in the section titled “Reconciliation of Non-GAAP Measures (Unaudited)” at the end of this document.
(2)
Regulatory capital ratios as of June 30, 2026 are preliminary estimates while prior period ratios are actual.
(3)
Annualized ratio
(4)
Includes $2.3 million related to non-PCD loans acquired in the William Penn acquisition on April 30, 2025. This amount reflects accounting guidance in effect prior to Mid Penn's adoption of ASU 2025-08, under which the allowance for certain purchased loans was recognized through provision expense.
CONSOLIDATED BALANCE SHEETS (Unaudited):
(Dollars in thousands, except share data)
Jun. 30, 2026
Mar. 31, 2026
Dec. 31, 2025
Sep. 30, 2025
Jun. 30, 2025
ASSETS
Cash and due from banks
$
55,168
$
60,967
$
46,695
$
18,013
$
52,671
Interest-bearing balances with other financial institutions
15,367
19,383
29,178
24,736
22,828
Federal funds sold
16,111
60,840
23,045
214,420
261,353
Total cash and cash equivalents
86,646
141,190
98,918
257,169
336,852
Investment Securities:
Held to maturity, at amortized cost
372,866
340,957
347,285
354,094
364,029
Available for sale, at fair value
499,773
484,130
416,314
427,352
404,745
Equity securities available for sale, at fair value
5,387
5,412
5,446
442
437
Loans held for sale
16,595
16,554
3,668
6,085
6,101
Loans, net of unearned income
5,617,169
5,509,940
4,862,838
4,821,134
4,832,898
Less: Allowance for credit losses
(41,640
)
(41,105
)
(36,091
)
(37,337
)
(37,615
)
Net loans
5,575,529
5,468,835
4,826,747
4,783,797
4,795,283
Premises and equipment, net
49,236
49,611
48,742
48,491
47,732
Operating lease right of use asset
15,872
16,803
15,169
15,700
15,026
Finance lease right of use asset
2,278
2,323
2,368
2,413
2,458
Cash surrender value of life insurance
117,515
116,474
95,351
95,015
94,770
Restricted investment in bank stocks
15,720
10,081
7,576
6,737
7,110
Accrued interest receivable
33,391
32,958
29,640
29,705
28,546
Deferred income taxes
23,227
23,798
21,416
27,475
35,333
Goodwill
157,121
157,121
136,620
136,620
135,473
Core deposit and other intangibles, net
31,173
33,013
14,657
15,586
16,531
Foreclosed assets held for sale
8,390
8,420
7,806
9,346
9,816
Other assets
52,191
57,129
56,173
51,322
54,301
Total Assets
$
7,062,910
$
6,964,809
$
6,133,896
$
6,267,349
$
6,354,543
LIABILITIES & SHAREHOLDERS’ EQUITY
Deposits:
Noninterest-bearing demand
$
973,371
$
933,497
$
834,013
$
836,374
$
857,072
Interest-bearing transaction accounts
3,299,576
3,357,497
2,829,175
2,852,361
2,770,877
Time
1,680,350
1,679,973
1,551,475
1,653,985
1,821,715
Total Deposits
5,953,297
5,970,967
5,214,663
5,342,720
5,449,664
Short-term borrowings
137,500
31,500
20,833
—
—
Long-term debt
2,902
3,021
23,139
23,258
23,374
Subordinated debt and trust preferred securities
—
—
—
37,149
37,303
Operating lease liability
16,275
17,186
15,405
15,973
15,342
Accrued interest payable
12,175
12,195
10,942
16,460
13,421
Other liabilities
38,854
42,535
34,856
35,466
39,731
Total Liabilities
6,161,003
6,077,404
5,319,838
5,471,026
5,578,835
Shareholders' Equity:
Common stock, par value $1.00 per share; 40.0 million shares
25,924
25,817
23,567
23,551
23,419
Additional paid-in capital
661,903
659,883
589,421
588,405
584,291
Retained earnings
238,224
222,154
219,685
205,320
191,574
Accumulated other comprehensive loss
(9,142
)
(8,157
)
(6,323
)
(8,907
)
(11,756
)
Treasury stock
(15,002
)
(12,292
)
(12,292
)
(12,046
)
(11,820
)
Total Shareholders’ Equity
901,907
887,405
814,058
796,323
775,708
Total Liabilities and Shareholders' Equity
$
7,062,910
$
6,964,809
$
6,133,896
$
6,267,349
$
6,354,543
CONSOLIDATED STATEMENTS OF INCOME (Unaudited):
Three Months Ended
(Dollars in thousands, except per share data)
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30,
2025
Jun. 30,
2025
INTEREST INCOME
Loans, including fees
$
88,574
$
76,798
$
76,916
$
76,262
$
72,469
Investment securities:
Taxable
7,558
6,501
6,590
6,614
4,637
Tax-exempt
284
297
320
331
344
Other interest-bearing balances
117
110
135
196
142
Federal funds sold
159
220
1,179
3,463
2,428
Total Interest Income
96,692
83,926
85,140
86,866
80,020
INTEREST EXPENSE
Deposits
30,619
27,848
29,930
32,631
30,981
Short-term borrowings
764
702
5
—
86
Long-term and subordinated debt
29
126
454
606
747
Total Interest Expense
31,412
28,676
30,389
33,237
31,814
Net Interest Income
65,280
55,250
54,751
53,629
48,206
Net provision/(benefit) for credit losses (1)
528
1,594
(839
)
(434
)
2,269
Net Interest Income After Provision for Credit Losses
64,752
53,656
55,590
54,063
45,937
NONINTEREST INCOME
Fiduciary and wealth management
3,891
3,661
1,412
1,340
1,406
ATM debit card interchange
1,169
1,035
1,053
1,019
958
Service charges on deposits
632
636
634
647
652
Mortgage banking
1,119
314
552
1,013
676
Mortgage hedging
113
81
(22
)
50
(7
)
Net gain on sales of SBA loans
27
163
100
—
63
Earnings from cash surrender value of life insurance
1,041
705
609
605
491
Net gain on sales of investment securities
—
—
10
—
—
Other
2,594
3,009
2,929
3,509
1,904
Total Noninterest Income
10,586
9,604
7,277
8,183
6,143
NONINTEREST EXPENSE
Salaries and employee benefits
26,945
23,346
20,026
20,941
20,753
Software licensing and utilization
4,155
3,598
3,406
3,310
3,272
Occupancy, net
2,891
3,253
2,624
2,642
2,365
Equipment
1,684
1,553
1,435
1,248
1,248
Shares tax
822
964
245
1,006
606
Legal and professional fees
2,157
1,688
992
1,070
993
ATM/card processing
689
757
771
557
621
Intangible amortization
1,819
1,300
930
944
744
FDIC assessment
663
800
1,046
422
994
Loss on sale or write-down of foreclosed assets, net
4
491
203
471
—
Merger and acquisition (2)
103
7,723
(39
)
233
11,011
Other
5,835
6,486
4,209
5,138
5,191
Total Noninterest Expense
47,767
51,959
35,848
37,982
47,798
INCOME BEFORE PROVISION FOR INCOME TAXES
27,571
11,301
27,019
24,264
4,282
Provision/(benefit) for income taxes
5,880
2,595
7,572
5,967
(480
)
NET INCOME AVAILABLE TO COMMON SHAREHOLDERS
$
21,691
$
8,706
$
19,447
$
18,297
$
4,762
PER COMMON SHARE DATA:
Basic Earnings Per Common Share
$
0.86
$
0.36
$
0.84
$
0.80
$
0.22
Diluted Earnings Per Common Share
0.85
0.36
0.83
0.79
0.22
Cash Dividends Declared
0.22
0.22
0.22
0.20
0.20
CONSOLIDATED – AVERAGE BALANCE SHEET AND NET INTEREST INCOME ANALYSIS (Unaudited):
Average Balances, Income and Interest Rates on a Taxable Equivalent Basis
For the Three Months Ended
June 30, 2026
March 31, 2026
June 30, 2025
(Dollars in thousands)
Average
Balance
Interest
Yield/
Rate(2)
Average
Balance
Interest
Yield/
Rate(2)
Average
Balance
Interest
Yield/
Rate(2)
ASSETS:
Interest Bearing Balances
$
19,067
$
117
2.46
%
$
19,647
$
110
2.27
%
$
23,271
$
142
2.45
%
Investment Securities:
Taxable
787,477
7,213
3.67
715,209
6,486
3.68
584,919
4,570
3.13
Tax-Exempt
55,840
284
2.04
68,559
297
1.76
67,186
344
2.05
Total Securities
843,317
7,497
3.57
783,768
6,783
3.51
652,105
4,914
3.02
Federal Funds Sold
11,748
159
5.43
16,994
220
5.25
236,037
2,428
4.13
Loans, Net of Unearned Income
5,588,129
88,574
6.36
5,083,240
76,798
6.13
4,724,638
72,469
6.15
Restricted Investment in Bank Stocks
12,292
345
11.26
10,864
15
0.56
6,945
67
3.87
Total Earning Assets
6,474,553
96,692
5.99
5,914,513
83,926
5.75
5,642,996
80,020
5.69
Cash and Due from Banks
55,360
55,545
50,376
Other Assets
466,108
422,953
342,673
Total Assets
$
6,996,021
$
6,393,011
$
6,036,045
LIABILITIES & SHAREHOLDERS' EQUITY:
Interest-bearing Demand
$
1,660,007
$
6,712
1.62
%
$
1,382,567
$
5,417
1.59
%
$
1,123,130
$
4,954
1.77
%
Money Market
1,243,822
7,838
2.53
1,216,581
7,470
2.49
1,179,295
8,350
2.84
Savings
433,917
711
0.66
363,593
300
0.33
307,634
70
0.09
Time
1,668,054
15,358
3.69
1,579,915
14,661
3.76
1,735,888
17,607
4.07
Total Interest-bearing Deposits
5,005,800
30,619
2.45
4,542,656
27,848
2.49
4,345,947
30,981
2.86
Short term borrowings
79,875
764
3.84
71,111
702
4.00
7,418
86
4.65
Long-term debt
2,886
29
4.03
11,733
126
4.36
23,417
252
4.32
Subordinated debt and trust preferred securities
—
—
—
—
—
—
45,264
495
4.39
Total Interest-bearing Liabilities
5,088,561
31,412
2.48
4,625,500
28,676
2.51
4,422,046
31,814
2.89
Noninterest-bearing Demand
933,699
850,936
813,807
Other Liabilities
81,669
71,022
129,701
Shareholders' Equity
892,092
845,553
670,491
Total Liabilities & Shareholders' Equity
$
6,996,021
$
6,393,011
$
6,036,045
Net Interest Income
$
65,280
$
55,250
$
48,206
Taxable Equivalent Adjustment (1)
231
236
245
Net Interest Income (taxable equivalent basis)
$
65,511
$
55,486
$
48,451
Total Yield on Earning Assets
5.99
%
5.75
%
5.69
%
Cost of funds
2.09
%
2.12
%
2.44
%
Rate on Supporting Liabilities
2.48
2.51
2.89
Average Interest Spread
3.51
3.24
2.80
Tax-Equivalent Net Interest Margin
4.06
3.80
3.44
ALLOWANCE FOR CREDIT LOSSES AND ASSET QUALITY (Unaudited):
(Dollars in thousands)
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30,
2025
Jun. 30,
2025
Allowance for Credit Losses on Loans:
Beginning balance
$
41,105
$
36,091
$
37,337
$
37,615
$
35,838
Allowance for credit losses on loans acquired
—
4,415
—
—
343
Loans Charged off
Commercial real estate
CRE Nonowner Occupied
(2
)
(499
)
(394
)
—
(691
)
CRE Owner Occupied
—
—
(346
)
—
—
Multifamily
—
—
—
—
—
Farmland
—
—
—
—
—
Commercial and industrial
—
—
—
(91
)
(203
)
Construction
Residential Construction
—
—
—
—
—
Other Construction
—
—
—
—
—
Residential mortgage
1-4 Family 1st Lien
—
—
—
—
—
1-4 Family Rental
—
(13
)
—
—
—
HELOC and Junior Liens
(48
)
—
—
—
—
Consumer
(11
)
(641
)
(28
)
(40
)
(15
)
Total loans charged off
(61
)
(1,153
)
(768
)
(131
)
(909
)
Recoveries of loans previously charged off
Commercial real estate
CRE Nonowner Occupied
—
—
294
9
1
CRE Owner Occupied
2
93
—
—
—
Multifamily
—
—
—
—
—
Farmland
—
—
—
—
—
Commercial and industrial
6
—
—
—
3
Construction
Residential Construction
—
—
—
—
—
Other Construction
—
—
—
—
—
Residential mortgage
1-4 Family 1st Lien
3
2
2
3
83
1-4 Family Rental
13
—
—
—
—
HELOC and Junior Liens
—
—
—
—
—
Consumer
15
9
7
28
11
Total loans recovered
39
104
303
40
98
Balance before provision
41,083
39,457
36,872
37,524
35,370
Provision/(benefit) for credit losses - loans (1)
557
1,648
(781
)
(187
)
2,245
Balance, end of quarter
$
41,640
$
41,105
$
36,091
$
37,337
$
37,615
Nonperforming Assets
Total nonaccrual loans
$
28,420
$
29,641
$
22,951
$
17,957
$
18,216
Foreclosed real estate
8,390
8,420
7,806
9,346
9,816
Total nonperforming assets
36,810
38,061
30,757
27,303
28,032
Accruing loans 90 days or more past due
213
—
—
160
—
Total risk elements
$
37,023
$
38,061
$
30,757
$
27,463
$
28,032
RECONCILIATION OF NON-GAAP MEASURES (Unaudited)
Explanatory note: This press release contains financial information determined by methods other than in accordance with U.S. Generally Accepted Accounting Principles ("GAAP"). Mid Penn’s management uses these non-GAAP financial measures in their analysis of Mid Penn’s performance. For tangible book value, the most directly comparable financial measure calculated in accordance with GAAP is book value. We believe that this measure is important to many investors in the marketplace who are interested in changes from period to period in book value per common share exclusive of changes in intangible assets. Goodwill and other intangible assets have the effect of increasing total book value while not increasing tangible book value. Income tax effects of non-GAAP adjustments are calculated using the applicable statutory tax rate for the jurisdictions in which the charges (benefits) are incurred, while taking into consideration any valuation allowances or non-deductible portions of the non-GAAP adjustments. Adjusted earnings per common share excludes from income available to common shareholders certain expenses related to significant non-core activities, including merger-related expenses, net of income taxes. For return on average tangible common equity, the most directly comparable financial measure calculated in accordance with GAAP is return on average equity. The core efficiency ratio is often used by management to measure its noninterest expense as a percentage of its revenue. This non-GAAP disclosure has limitations as an analytical tool, should not be viewed as a substitute for financial measures determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of Mid Penn’s results and financial condition as reported under GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies. Management believes that this non-GAAP supplemental information will be helpful in understanding Mid Penn’s ongoing operating results. This supplemental presentation should not be construed as an inference that Mid Penn’s future results will be unaffected by similar adjustments to be determined in accordance with GAAP. The reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in the tables below.
Tangible Book Value Per Common Share
(Dollars in thousands, except per share data)
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30,
2025
Jun. 30,
2025
Shareholders' Equity
$
901,907
$
887,405
$
814,058
$
796,323
$
775,708
Less: Goodwill
157,121
157,121
136,620
136,620
135,473
Less: Core Deposit and Other Intangibles
31,173
33,013
14,657
15,586
16,531
Tangible Equity
$
713,613
$
697,271
$
662,781
$
644,117
$
623,704
Common Shares Outstanding
25,320,686
25,296,763
23,047,203
23,039,223
22,915,194
Tangible Book Value per Share
$
28.18
$
27.56
$
28.76
$
27.96
$
27.22
Adjusted Earnings Per Common Share Excluding Non-Recurring Income and Expenses
Three Months Ended
(Dollars in thousands, except per share data)
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30,
2025
Jun. 30,
2025
Net Income Available to Common Shareholders
$
21,691
$
8,706
$
19,447
$
18,297
$
4,762
Less: BOLI Death Benefit Income
1
331
223
71
1
Less: Recoveries on loans previously acquired in business combinations (1)
—
—
—
534
—
Less: Swap cancellation gain
—
—
83
279
—
Less: Gain on the closing of an investment of a reinsurance entity acquired from another institution
—
—
—
420
—
Less: Gain on sale of pension assets
—
—
192
—
—
Plus: Merger and Acquisition Expenses (2)
103
7,723
(39
)
233
11,011
Plus: Compensation expense for accelerated vesting of stock options and restricted stock awards
314
370
314
753
2,043
Plus: Legal settlement expense
—
665
—
—
—
Less: Tax Effect of Non-Recurring Expenses
88
1,839
—
207
2,741
Net Income Excluding Non-Recurring Income and Expenses
$
22,019
$
15,294
$
19,224
$
17,772
$
15,074
Weighted-average Shares Outstanding
25,330,234
23,949,008
23,045,983
23,005,504
21,566,617
Adjusted Earnings Per Common Share Excluding Non-Recurring Income and Expenses
$
0.87
$
0.64
$
0.83
$
0.77
$
0.70
Return on Average Tangible Common Equity
Three Months Ended
(Dollars in thousands)
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30,
2025
Jun. 30,
2025
Net income available to common shareholders
$
21,691
$
8,706
$
19,447
$
18,297
$
4,762
Plus: Intangible amortization, net of tax
1,437
1,027
735
746
588
23,128
9,733
20,182
19,043
5,350
Average shareholders' equity
892,092
845,553
803,093
783,547
670,491
Less: Average goodwill
157,121
147,021
136,620
135,486
130,824
Less: Average core deposit and other intangibles
32,105
20,835
14,969
16,003
9,824
Average tangible common shareholders' equity
$
702,866
$
677,697
$
651,504
$
632,058
$
529,843
Return on average tangible common equity(1)
13.20
%
5.82
%
12.29
%
11.95
%
4.05
%
Core Efficiency Ratio (Non-GAAP)
Three Months Ended
(Dollars in thousands)
Jun. 30,
2026
Mar. 31,
2026
Dec. 31,
2025
Sep. 30, 2025
Jun. 30,
2025
Noninterest expense
$
47,767
$
51,959
$
35,848
$
37,982
$
47,798
Less: Merger and acquisition expenses (1)
103
7,723
(39
)
233
11,011
Less: Compensation expense for accelerated vesting of stock options and restricted stock awards
314
370
314
753
2,043
Less: Intangible amortization
1,819
1,300
930
944
744
Less: Loss on sale or write-down of foreclosed assets, net
4
491
203
471
—
Less: Other expenses on foreclosed assets
142
427
445
—
—
Less: Legal settlement expense
—
665
—
—
—
Efficiency ratio numerator
45,385
40,983
33,995
35,581
34,000
Net interest income
65,280
55,250
54,751
53,629
48,206
Noninterest income
10,586
9,604
7,277
8,183
6,143
Less: BOLI Death Benefit
1
331
223
71
1
Less: Recoveries on loans previously acquired in business combinations (2)
—
—
—
534
—
Less: Swap cancellation gain
—
—
83
279
—
Less: Gain on the closing of an investment of a reinsurance entity acquired from another institution
D-EPS was $1.22 per share for the second quarter of 2026 compared to $1.13 for the linked quarter and $0.93 for the like quarter. The net interest margin was 3.71% for the quarter ended June 30, 2026, an expansion of 0.04% from the linked quarter and 0.39% from the like quarter. The efficiency ratio for the quarter ended June 30, 2026 was 49.12%, compared to 49.05% for the linked quarter and 53.00% for the like quarter. Total assets exceeded $13 billion at June 30, 2026, the highest level in First Bancorp's history. Total loans were $9.0 billion at June 30, 2026, representing an increase of $194.9 million, or 8.9% annualized. Total loan yield was 5.67%, up 10 basis points from the linked quarter and 14 basis points from the like quarter. The yield on securities decreased 3 basis points to 2.71% from 2.74% for the linked quarter. Total cost of funds increased 3 basis points to 1.34% for the quarter ended June 30, 2026 from 1.31% for the linked quarter and decreased 14 basis points from the like quarter. Average core deposits were $11.0 billion, an increase of $181.0 million for the linked quarter and $268.1 million from the like quarter. Total cost of deposits was 1.31%, an increase of 3 basis points for the linked quarter and a decrease of 12 basis points from the like quarter. Noninterest expenses of $62.8 million represented a $2.5 million increase from the linked quarter and a $3.8 million increase from the like quarter. The linked quarter increase was driven by a $2.0 million increase in Total personnel expense. Noninterest-bearing demand deposits were $3.6 billion, representing 32% of total deposits at June 30, 2026. During the second quarter of 2026, period end customer deposits grew by 2.6% annualized. The loan-to-deposit ratio was 81.1% as of June 30, 2026. On July 14, 2026, First Bancorp announced its pending acquisition of First Carolina Bancshares Corporation, scheduled to close in late 2026 or early 2027. , /PRNewswire/ -- First Bancorp (the "Company") (NASDAQ - FBNC), the parent company of First Bank, reported unaudited second quarter earnings today. The Company reported net income of $50.5 million, or $1.22 diluted earnings per share ("D-EPS"), for the three months ended June 30, 2026 compared to $46.7 million, or $1.13 D-EPS, for the three months ended March 31, 2026 ("linked quarter") and $38.6 million, or $0.93 D-EPS, for the second quarter of 2025 ("like quarter").
On July 14, 2026, the Company announced an agreement to acquire First Carolina Bancshares Corporation ("First Carolina"), and its subsidiary, Carolina Bank & Trust Company ("Carolina Bank") headquartered in Florence, South Carolina, in a 75% stock and 25% cash transaction. This transaction is subject to regulatory approvals and approval of First Carolina's shareholders, and is expected to close in the late fourth quarter of 2026 or early first quarter of 2027. Carolina Bank operates 14 branches throughout the Pee Dee region of South Carolina and had approximately $831 million in total assets, $596 million in loans, and $714 million in deposits at June 30, 2026.
The Company continued to enhance net interest income and net interest margin ("NIM") during the second quarter of 2026. The Company recorded net interest income of $111.3 million for the current quarter, compared to $107.1 million for the linked quarter and $96.7 million for the like quarter. NIM for the second quarter of 2026 expanded to 3.71% from 3.67% for the linked quarter and 3.32% for the like quarter.
Noninterest expenses were $62.8 million for the second quarter of 2026, up from $60.2 million for the linked quarter, and $58.9 million for the like quarter. The efficiency ratio was 49.12% for the quarter ended June 30, 2026, compared to 49.05% for the linked quarter and 53.00% for the like quarter.
Richard H. Moore, Chairman and CEO of the Company, stated, "First Bancorp continued to build on its positive start to 2026 with strong second quarter financial results driven by continued margin expansion, prudent balance sheet execution, high quality loans and a controlled efficiency ratio. Earnings continue to benefit from the repositioning of lower-yielding assets into higher-yielding opportunities, while our liquidity position, capital levels, and credit quality remain strong. We are pleased with our performance through the first half of the year and remain confident in our ability to sustain positive momentum and deliver continued success in 2026. We are excited about the acquisition of First Carolina which brings talented bankers and will help us accelerate our South Carolina growth expansion."
Net Interest Income and Net Interest Margin
Net interest income for the second quarter of 2026 was $111.3 million, an increase of 3.9% from the linked quarter of $107.1 million and an increase of 15.1% from the like quarter of $96.7 million. The increase in net interest income from the linked and like quarters resulted from additional loan volume and increasing loan yield through originations as well as one additional earning day compared to the linked quarter. The increase from the like quarter also resulted from our focused efforts to manage deposit costs after the rate cuts by the Federal Reserve in 2025.
The Company's NIM for the second quarter of 2026 was 3.71%, an increase of 4 basis points from the linked quarter and 39 basis points from the like quarter.
The linked quarter expansion of NIM was driven a $114.9 million increase in average loans along with a 10 basis points expansion in loan yield. Additionally, short-term investments contributed an additional $1.5 million from increased balances partially reduced by lower yields. Offsetting these increases, the cost of interest bearing deposits increased 5 basis points on growth of $98.8 million in average balances. Driving these increases, the average balance of money market deposits increased $99.6 million while the cost of those deposits increased 8 basis points.
The like quarter expansion of NIM was driven by growth of $708.9 million in average loans, coupled with a 14 basis point yield increase as well as the cost of interest bearing deposits decreasing 20 basis points. The Company shifted its mix of interest-earning assets to higher yielding assets from the like quarter, with loans increasing from 70.1% of average interest-earning assets to 74.1% in the current quarter, while securities contracted from 25.6% of average interest-earning assets to 22.3% and short-term investments contracted from 4.3% of average interest-bearing assets to 3.7%.
For the Three Months Ended
YIELD INFORMATION
June 30,
2026
March 31,
2026
June 30,
2025
Yield on loans
5.67 %
5.57 %
5.53 %
Yield on securities
2.71 %
2.74 %
2.41 %
Yield on other earning assets
3.99 %
4.36 %
4.63 %
Yield on total interest-earning assets
4.95 %
4.88 %
4.69 %
Cost of interest-bearing deposits
1.94 %
1.89 %
2.14 %
Cost of borrowings
6.64 %
6.68 %
7.22 %
Cost of total interest-bearing liabilities
1.99 %
1.94 %
2.20 %
Total cost of funds
1.34 %
1.31 %
1.48 %
Cost of total deposits
1.31 %
1.28 %
1.43 %
Net interest margin (1)
3.71 %
3.67 %
3.32 %
Net interest margin - tax-equivalent (2)
3.73 %
3.69 %
3.32 %
Average prime rate
6.75 %
6.75 %
7.50 %
(1) Calculated by dividing annualized net interest income by average earning assets for the period.
(2) Calculated by dividing annualized tax-equivalent net interest income by average earning assets for the period. The tax-equivalent amount reflects the tax benefit that the Company receives related to its tax-exempt loans and securities, which carry interest rates lower than similar taxable investments due to their tax-exempt status. This amount has been computed using the expected tax rate and is reduced by the related nondeductible portion of interest expense.
See Appendix H regarding loan purchase discount accretion and its impact on the Company's NIM.
Provision for Credit Losses and Credit Quality
For the three months ended June 30, 2026, March 31, 2026 and June 30, 2025, the Company recorded $1.2 million, $3.1 million and $2.2 million in provision for credit losses, respectively. The provision for the second quarter of 2026 was driven by net charge-offs of $1.0 million. The Allowance for Credit Losses increased $0.2 million to $124.9 million, or 1.39% of loans. Additionally, the $22 thousand provision for unfunded commitments during the quarter was the result of additional unfunded lending commitments.
The Company did not adjust its incremental reserve for potential exposure from Hurricane Helene, maintaining a $1.9 million reserve as of June 30, 2026. The remaining incremental reserve contributed two basis points to the Allowance for Credit Losses at period end.
Asset quality remained strong with annualized net loan charge-offs of 0.04% for the second quarter of 2026. Total nonperforming assets ("NPAs") totaled $44.9 million at June 30, 2026, or 0.34% of total assets, up slightly from 0.32% at March 31, 2026 and 0.28% at June 30, 2025.
The following table presents the summary of NPAs and asset quality ratios for each period.
ASSET QUALITY DATA
($ in thousands)
June 30,
2026
March 31,
2026
June 30,
2025
Nonperforming assets
Nonaccrual loans
$ 44,283
$ 41,032
$ 34,625
Accruing loans > 90 days past due
—
—
—
Total nonperforming loans
44,283
41,032
34,625
Foreclosed real estate
659
740
1,218
Total nonperforming assets
$ 44,942
$ 41,772
$ 35,843
Asset Quality Ratios
Quarterly net charge-offs to average loans - annualized
0.04 %
0.06 %
0.06 %
Nonperforming loans to total loans
0.49 %
0.47 %
0.42 %
Nonperforming assets to total assets
0.34 %
0.32 %
0.28 %
Allowance for credit losses to total loans
1.39 %
1.42 %
1.47 %
Noninterest Income
Total noninterest income for the second quarter of 2026 was $16.0 million, a $0.9 million increase from the linked quarter, primarily related to a $0.7 million increase in Other income, net. The current quarter reflected a 12.2% increase from $14.3 million for the like quarter, primarily related to a $1.0 million increase in Other income net.
Noninterest Expenses
Noninterest expenses amounted to $62.8 million for the second quarter of 2026 compared to $60.2 million for the linked quarter and $58.9 million for the like quarter. The $2.5 million, or 4.2%, increase in noninterest expense from the linked quarter was driven by a $2.0 million increase in Total personnel expenses. The $3.8 million increase from the like quarter was driven by a $3.3 million increase in Total personnel expenses. While noninterest expenses have been increasing, they are the result of the Company's continued growth as the efficiency ratio was 49.12% for the quarter ended June 30, 2026, compared to 49.05% for the linked quarter and 53.00% for the like quarter.
Income Taxes
Income tax expense totaled $12.9 million for the second quarter of 2026 compared to $12.3 million for the linked quarter and $11.3 million for the like quarter, reflecting effective tax rates of 20.3%, 20.9% and 22.6% for the respective periods.
Balance Sheet
Total assets at June 30, 2026 were $13.0 billion, an increase of $93.9 million, or 2.9% annualized, from the linked quarter and $433.4 million, or 3.4%, from a year earlier.
Key period end balance sheet components are presented below.
BALANCES
($ in thousands)
June 30,
2026
March 31,
2026
June 30,
2025
Change
2Q26 vs 1Q26
Change
2Q26 vs 2Q25
Total assets
$ 13,041,615
$ 12,947,734
$ 12,608,265
0.7 %
3.4 %
Loans
8,988,748
8,793,814
8,225,650
2.2 %
9.3 %
Investment securities
2,448,787
2,491,035
2,661,236
(1.7) %
(8.0) %
Total cash and cash equivalents
550,332
597,991
711,286
(8.0) %
(22.6) %
Noninterest-bearing deposits
3,597,565
3,596,629
3,542,626
— %
1.6 %
Interest-bearing deposits
7,487,302
7,415,854
7,287,754
1.0 %
2.7 %
Borrowings
74,717
74,643
92,237
0.1 %
(19.0) %
Shareholders' equity
1,716,460
1,682,950
1,556,180
2.0 %
10.3 %
Driven by principal paydowns and maturities, total investment securities decreased to $2.4 billion at June 30, 2026, a $42.2 million decrease from the linked quarter. Total unrealized losses on available for sale investment securities were $204.5 million at June 30, 2026, as compared to $197.7 million at March 31, 2026 and $298.9 million at June 30, 2025.
Total loans were $9.0 billion at June 30, 2026, an increase of $194.9 million, or 8.9% annualized, from March 31, 2026 and an increase of $763.1 million, or 9.3%, from June 30, 2025. Adjusting for the paydown of one larger seasonal loan, loan growth for the current quarter was 10.9% annualized. Please see the below table for total loan portfolio mix. As of June 30, 2026, there were no notable concentrations in geographies within North Carolina or South Carolina or within industries, including in office or hospitality categories, which are included in the "commercial real estate - non-owner occupied" category in the table below. The Company's exposure to non-owner occupied office loans represented approximately 6.2% of the total portfolio at June 30, 2026, with the largest loan being $33.0 million and with an average loan outstanding balance of $1.4 million. Non-owner occupied office loans are generally in non-metro markets and the ten largest loans in this category represent less than 2% of the total loan portfolio.
The following table presents the period end balance and portfolio percentage by loan category.
LOAN PORTFOLIO
June 30, 2026
March 31, 2026
June 30, 2025
($ in thousands)
Amount
Percentage
Amount
Percentage
Amount
Percentage
Commercial and industrial
$ 1,014,295
11 %
$ 1,000,037
11 %
$ 911,227
11 %
Construction, development & other land
loans
847,912
10 %
821,826
10 %
633,529
8 %
Commercial real estate - owner occupied
1,358,100
15 %
1,352,473
15 %
1,254,596
15 %
Commercial real estate - non-owner
occupied
2,974,749
33 %
2,921,210
33 %
2,758,629
34 %
Multi-family real estate
619,489
7 %
545,586
6 %
509,419
6 %
Residential 1-4 family real estate
1,728,367
19 %
1,717,550
20 %
1,731,397
21 %
Home equity loans/lines of credit
377,949
4 %
369,062
4 %
355,876
4 %
Consumer loans
68,692
1 %
66,430
1 %
70,137
1 %
Loans, gross
8,989,553
100 %
8,794,174
100 %
8,224,810
100 %
Unamortized net deferred loan
fees/(costs)
(805)
(360)
840
Total loans
$ 8,988,748
$ 8,793,814
$ 8,225,650
Total deposits were $11.1 billion at June 30, 2026, an increase of $72.4 million, or 2.6% annualized, from March 31, 2026 and $254.5 million, or 2.3%, from June 30, 2025.
The Company has a diversified and granular deposit base which has remained a stable funding source with noninterest-bearing deposits comprising 32% of total deposits at June 30, 2026. As presented in the table below, our deposit mix has remained relatively consistent.
DEPOSIT PORTFOLIO
June 30, 2026
March 31, 2026
June 30, 2025
($ in thousands)
Amount
Percentage
Amount
Percentage
Amount
Percentage
Noninterest-bearing checking accounts
$ 3,597,565
32 %
$ 3,596,629
33 %
$ 3,542,626
33 %
Interest-bearing checking accounts
1,422,592
13 %
1,462,606
13 %
1,443,010
13 %
Money market accounts
4,754,782
43 %
4,631,619
42 %
4,446,485
41 %
Savings accounts
510,392
5 %
519,266
5 %
536,247
5 %
Other time deposits
475,744
4 %
489,257
4 %
514,865
5 %
Time deposits >$250,000
318,821
3 %
308,177
3 %
337,382
3 %
Total customer deposits
11,079,896
100 %
11,007,554
100 %
10,820,615
100 %
Brokered deposits
4,971
— %
4,929
— %
9,765
— %
Total deposits
$ 11,084,867
100 %
$ 11,012,483
100 %
$ 10,830,380
100 %
As of June 30, 2026 and March 31, 2026, estimated insured deposits totaled $6.5 billion, or 58.9%, and $6.5 billion, or 59.0%, of total deposits, respectively. In addition, at June 30, 2026 and March 31, 2026, there were collateralized deposits of $748.7 million and $723.8 million, respectively, such that approximately 65.7% and 65.6%, respectively, of our total deposits were insured or collateralized at those dates.
Capital
The Company maintains capital in excess of well-capitalized regulatory requirements, with an estimated total risk-based capital ratio at June 30, 2026 of 16.06%, down from the linked quarter ratio of 16.12% and from the like quarter ratio of 16.90%.
The Company has elected to exclude accumulated other comprehensive income ("AOCI") related primarily to available for sale securities from common equity tier 1 capital. AOCI is included in the Company's tangible common equity ("TCE") to tangible assets ratio (a non-GAAP financial measure) which was 9.83% at June 30, 2026, an increase of 20 basis points from the linked quarter and 100 basis points from June 30, 2025. The increase in TCE from the like quarter was driven by improvements in the level of unrealized losses on the available for sale securities portfolio, arising from market value improvements and the 2025 securities loss-earnback transactions. Please refer to Appendix A for a reconciliation of common equity to TCE (a non-GAAP measure) and Appendix C for a calculation of the TCE ratio (a non-GAAP measure).
CAPITAL RATIOS
June 30,
2026
(estimated)
March 31,
2026
June 30,
2025
Tangible common equity to tangible assets (non-GAAP)
9.83 %
9.63 %
8.83 %
Common equity tier I capital ratio
14.09 %
14.13 %
14.64 %
Tier I leverage ratio
11.60 %
11.46 %
11.23 %
Tier I risk-based capital ratio
14.81 %
14.87 %
15.45 %
Total risk-based capital ratio
16.06 %
16.12 %
16.90 %
Liquidity
Liquidity is evaluated as both on-balance sheet (primarily cash and cash-equivalents, unpledged securities and other marketable assets) and off-balance sheet (readily available lines of credit and other funding sources). The Company continues to manage liquidity sources, including unused lines of credit, at levels believed to be adequate to meet its operating needs for the foreseeable future.
The Company's on-balance sheet liquidity ratio (net liquid assets as a percent of net liabilities) at June 30, 2026 was 15.7%. In addition, the Company had approximately $2.4 billion in available lines of credit at that date resulting in a total liquidity ratio of 32.8%.
About First Bancorp
First Bancorp is a bank holding company headquartered in Southern Pines, North Carolina, with total assets of $13.0 billion. Its principal activity is the ownership and operation of First Bank, a state-chartered community bank that operates 113 branches in North Carolina and South Carolina. Since 1935, First Bank has taken a tailored approach to banking, combining best-in-class financial solutions, helpful local expertise, and technology to manage a home or business. First Bank also provides SBA loans to customers through its nationwide network of lenders. Member FDIC, Equal Housing Lender.
Please visit our website at www.LocalFirstBank.com for more information.
First Bancorp's common stock is traded on The NASDAQ Global Select Market under the symbol "FBNC."
Caution about Forward-Looking Statements: This News Release release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which statements are inherently subject to risks and uncertainties. Forward-looking statements are statements that include projections, predictions, expectations or beliefs about future events or results or otherwise are not statements of historical fact. Such statements are often characterized by the use of qualifying words (and their derivatives) such as "expect," "believe," "estimate," "plan," "project," "anticipate," or other words or phrases concerning opinions or judgments of the Company and its management about future events. Factors that could influence the accuracy of such forward-looking statements include, but are not limited to, the financial success or changing strategies of the Company's customers, the risks and uncertainties relating to the level of success in integrating acquisitions, (including the ability to successfully integrate First Carolina into First Bank; to realize the anticipated benefits of the acquisition; deposit attrition, customer loss or other revenue loss following completed acquisitions may be greater than anticipated; and the integration of operations and personnel may require more time and expense); actions of government regulators; the level of market interest rates; and general economic conditions. For additional information about the factors that could affect the matters discussed in this paragraph, see the "Risk Factors" section of the Company's most recent Annual Report on Form 10-K available at www.sec.gov. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update or revise forward-looking statements. The Company is also not responsible for changes made to this press release by wire services, internet services or other media.
Non-GAAP Measures
In this Earnings Release, we present certain measures of our performance that are calculated by methods other than in accordance with generally accepted accounting principles ("GAAP"). Company management uses these non-GAAP measures for purposes of evaluating our performance. Non-GAAP measures exclude or include amounts that are not normally excluded or included in the most directly comparable measure determined in accordance with GAAP. Company management believes an appropriate analysis of the Company's financial performance requires an understanding of the factors underlying such performance. Non-GAAP financial measures should not be viewed as substitutes for the most directly comparable financial measures calculated in accordance with GAAP. Please see the Appendices attached to this Earnings Release for reconciliations of return on tangible common equity, tangible common equity, tangible book value per share, the tangible common equity ratio, adjusted net income and adjusted diluted earnings per share.
First Bancorp and Subsidiaries
Financial Summary
CONSOLIDATED INCOME STATEMENT
For the Three Months Ended
For the Six Months Ended
($ in thousands, except per share data - unaudited)
June 30,
2026
March 31,
2026
June 30,
2025
June 30,
2026
June 30,
2025
Interest income
Interest and fees on loans
$ 125,845
$ 120,747
$ 112,921
$ 246,592
$ 223,418
Interest on investment securities:
Taxable interest income
16,925
17,556
16,857
34,481
32,381
Tax-exempt interest income
1,115
1,115
1,116
2,230
2,232
Other, principally overnight investments
4,430
2,972
5,837
7,402
11,324
Total interest income
148,315
142,390
136,731
290,705
269,355
Interest expense
Interest on deposits
35,812
34,046
38,405
69,858
76,524
Interest on borrowings
1,237
1,228
1,660
2,465
3,318
Total interest expense
37,049
35,274
40,065
72,323
79,842
Net interest income
111,266
107,116
96,666
218,382
189,513
Provision for credit losses
1,169
3,083
2,212
4,252
3,328
Net interest income after provision for
credit losses
110,097
104,033
94,454
214,130
186,185
Noninterest income
Service charges on deposit accounts
4,205
3,954
3,976
8,159
7,743
Other service charges and fees
5,986
5,942
6,605
11,928
12,524
Presold mortgage loan fees and gains on sale
660
669
315
1,329
765
Commissions from sales of financial products
1,707
1,492
1,388
3,199
2,796
SBA loan sale gains
529
903
151
1,432
203
Bank-owned life insurance income
1,358
1,340
1,221
2,698
2,449
Other Income, net
1,589
878
636
2,467
768
Total noninterest income
16,034
15,178
14,292
31,212
27,248
Noninterest expenses
Salaries, incentives and commissions expense
31,529
29,978
29,005
61,507
57,666
Employee benefit expense
6,958
6,516
6,187
13,474
12,282
Total personnel expense
38,487
36,494
35,192
74,981
69,948
Occupancy and equipment expense
4,961
5,355
5,195
10,316
10,387
Intangibles amortization expense
1,199
1,247
1,468
2,446
2,984
Other operating expenses
18,114
17,122
17,069
35,236
33,516
Total noninterest expenses
62,761
60,218
58,924
122,979
116,835
Income before income taxes
63,370
58,993
49,822
122,363
96,598
Income tax expense
12,851
12,334
11,256
25,185
21,626
Net income
$ 50,519
$ 46,659
$ 38,566
$ 97,178
$ 74,972
Earnings per common share:
Basic
$ 1.22
$ 1.13
$ 0.93
$ 2.35
$ 1.81
Diluted
1.22
1.13
0.93
2.35
1.81
First Bancorp and Subsidiaries
Financial Summary
CONSOLIDATED BALANCE SHEETS
($ in thousands - unaudited)
June 30,
2026
March 31,
2026
June 30,
2025
Assets
Cash and due from banks, noninterest-bearing
$ 128,424
$ 135,176
$ 139,486
Due from banks, interest-bearing
421,908
462,815
571,800
Total cash and cash equivalents
550,332
597,991
711,286
Securities available for sale
1,939,075
1,979,606
2,144,831
Securities held to maturity
509,712
511,429
516,405
Presold mortgages and SBA loans held for sale
12,304
11,191
8,928
Loans
8,988,748
8,793,814
8,225,650
Allowance for credit losses on loans
(124,894)
(124,734)
(120,545)
Net loans
8,863,854
8,669,080
8,105,105
Premises and equipment, net
138,129
139,374
141,661
Accrued interest receivable
38,272
37,296
36,681
Goodwill
478,750
478,750
478,750
Other intangible assets, net
14,786
15,985
19,920
Bank-owned life insurance
195,984
194,626
190,817
Other assets
300,417
312,406
253,881
Total assets
$ 13,041,615
$ 12,947,734
$ 12,608,265
Liabilities
Deposits:
Noninterest-bearing deposits
$ 3,597,565
$ 3,596,629
$ 3,542,626
Interest-bearing deposits
7,487,302
7,415,854
7,287,754
Total deposits
11,084,867
11,012,483
10,830,380
Borrowings
74,717
74,643
92,237
Accrued interest payable
3,813
3,733
4,340
Other liabilities
161,758
173,925
125,128
Total liabilities
11,325,155
11,264,784
11,052,085
Shareholders' equity
Common stock
966,777
968,675
973,041
Retained earnings
906,976
866,387
812,657
Stock in rabbi trust assumed in acquisition
(534)
(893)
(869)
Rabbi trust obligation
534
893
869
Accumulated other comprehensive loss
(157,293)
(152,112)
(229,518)
Total shareholders' equity
1,716,460
1,682,950
1,556,180
Total liabilities and shareholders' equity
$ 13,041,615
$ 12,947,734
$ 12,608,265
First Bancorp and Subsidiaries
Financial Summary
TREND INFORMATION
For the Three Months Ended
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
PERFORMANCE RATIOS (annualized)
ROA (1)
1.56 %
1.48 %
0.49 %
0.64 %
1.24 %
Adjusted ROA (2)
1.56 %
1.48 %
1.54 %
1.31 %
1.24 %
ROCE (3)
11.89 %
11.22 %
3.83 %
5.14 %
10.11 %
Adjusted ROCE (4)
11.89 %
11.22 %
12.01 %
10.55 %
10.11 %
ROTCE (5)
16.88 %
16.05 %
5.80 %
7.83 %
15.25 %
Adjusted ROTCE (6)
16.88 %
16.05 %
17.45 %
15.66 %
15.25 %
Efficiency ratio (7)
49.12 %
49.05 %
73.75 %
66.95 %
53.00 %
Adjusted efficiency ratio (7)
49.12 %
49.05 %
48.53 %
51.09 %
53.00 %
COMMON SHARE DATA
Cash dividends declared - common
$ 0.24
$ 0.24
$ 0.23
$ 0.23
$ 0.23
Book value per common share
$ 41.49
$ 40.68
$ 39.89
$ 38.67
$ 37.53
Tangible book value per share (8)
$ 29.84
$ 29.01
$ 28.23
$ 26.98
$ 25.82
Common shares outstanding at end of period
41,374,221
41,375,026
41,466,227
41,465,437
41,468,098
Weighted average shares outstanding - diluted
41,375,377
41,459,357
41,481,132
41,481,542
41,441,393
CAPITAL INFORMATION (preliminary for current quarter)
Tangible common equity to tangible assets (9)
9.83 %
9.63 %
9.61 %
9.12 %
8.83 %
Common equity tier I capital ratio
14.09 %
14.13 %
14.10 %
14.35 %
14.64 %
Total risk-based capital ratio
16.06 %
16.12 %
16.12 %
16.58 %
16.90 %
(1) Calculated by dividing annualized net income by average assets.
(2) See Appendix D for a reconciliation of ROA to adjusted ROA.
(3) Calculated by dividing annualized tangible net income (net income adjusted for intangible asset amortization, net of tax), by average common equity. See Appendix E for the components of the calculation.
(4) See Appendix E for a reconciliation of ROCE to adjusted ROCE.
(5) Return on average tangible common equity is a non-GAAP financial measure. See Appendix F for the components of the calculation and the reconciliation of average common equity to average TCE.
(6) See Appendix F for a reconciliation of ROTCE to adjusted ROTCE.
(7) See Appendix G for a reconciliation of the efficiency ratio to the adjusted efficiency ratio.
(8) Tangible book value per share is a non-GAAP financial measure. See Appendix A for a reconciliation of common equity to tangible common equity and Appendix B for the resulting calculation.
(9) Tangible common equity ratio is a non-GAAP financial measure. See Appendix A for a reconciliation of common equity to tangible common equity and Appendix C for the resulting calculation.
For the Three Months Ended
INCOME STATEMENT
($ in thousands except per share data)
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Net interest income
$ 111,266
$ 107,116
$ 106,199
$ 102,489
$ 96,666
Provision for credit losses
1,169
3,083
4,732
3,442
2,212
Noninterest income
16,034
15,178
(22,299)
(12,879)
14,292
Noninterest expense
62,761
60,218
62,223
60,211
58,924
Income before income taxes
63,370
58,993
16,945
25,957
49,822
Income tax expense
12,851
12,334
1,232
5,594
11,256
Net income
$ 50,519
$ 46,659
$ 15,713
$ 20,363
$ 38,566
Earnings per common share - diluted
$ 1.22
$ 1.13
$ 0.38
$ 0.49
$ 0.93
First Bancorp and Subsidiaries
Financial Summary
AVERAGE BALANCES AND NET INTEREST INCOME ANALYSIS - QUARTERS
Net yield on interest-earning assets and net interest income
$ 111,266
3.71 %
$ 107,116
3.67 %
$ 96,666
3.32 %
Net yield on interest-earning assets and net interest income –
tax-equivalent (3)
$ 111,732
3.73 %
$ 107,595
3.69 %
$ 96,877
3.32 %
Interest rate spread
2.96 %
2.94 %
2.49 %
Average prime rate
6.75 %
6.75 %
7.50 %
(1) Average loans include nonaccruing loans, the effect of which is to lower the average rate shown.
(2) Includes accretion of discount on acquired loans of $1.1 million, $1.1 million and $1.5 million for the three months ended June 30, 2026, March 31, 2026 and June 30, 2025, respectively.
(3) Includes tax-equivalent adjustments to reflect the net tax benefit that we receive related to tax-exempt securities and loans as reduced by the related nondeductible portion of interest expense.
First Bancorp and Subsidiaries
Financial Summary
AVERAGE BALANCES AND NET INTEREST INCOME ANALYSIS - YEAR-TO-DATE
Net yield on interest-earning assets and net interest income
$ 218,382
3.69 %
$ 189,513
3.28 %
Net yield on interest-earning assets and net interest income – tax-equivalent (3)
$ 219,327
3.71 %
$ 190,161
3.30 %
Interest rate spread
2.96 %
2.47 %
Average prime rate
6.75 %
7.50 %
(1) Average loans include nonaccruing loans, the effect of which is to lower the average rate shown.
(2) Includes accretion of discount on acquired loans of $2.1 million and $3.2 million for the six months ended June 30, 2026 and June 30, 2025, respectively.
(3) Includes tax-equivalent adjustments to reflect the net tax benefit that we receive related to tax-exempt securities and loans as reduced by the related nondeductible portion of interest expense.
Reconciliation of non-GAAP measures
APPENDIX A: Reconciliation of Common Equity to Tangible Common Equity ("TCE")
For the Three Months Ended
($ in thousands)
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Total shareholders' common equity
$ 1,716,460
$ 1,682,950
$ 1,654,168
$ 1,603,323
$ 1,556,180
Less: Goodwill and other intangibles, net of
related taxes
(481,673)
(482,640)
(483,644)
(484,623)
(485,657)
Tangible common equity
$ 1,234,787
$ 1,200,310
$ 1,170,524
$ 1,118,700
$ 1,070,523
APPENDIX B: Calculation of Tangible Book Value Per Share ("TBVPS")
For the Three Months Ended
($ in thousands except per share data)
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Tangible common equity (Appendix A)
$ 1,234,787
$ 1,200,310
$ 1,170,524
$ 1,118,700
$ 1,070,523
Common shares outstanding
41,374,221
41,375,026
41,466,227
41,465,437
41,468,098
Tangible book value per common share
$ 29.84
$ 29.01
$ 28.23
$ 26.98
$ 25.82
APPENDIX C: TCE Ratio
For the Three Months Ended
($ in thousands)
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Tangible common equity (Appendix A)
$ 1,234,787
$ 1,200,310
$ 1,170,524
$ 1,118,700
$ 1,070,523
Total assets
13,041,615
12,947,734
12,668,339
12,750,263
12,608,265
Less: Goodwill and other intangibles, net of
related taxes
(481,673)
(482,640)
(483,644)
(484,623)
(485,657)
Tangible assets ("TA")
$ 12,559,942
$ 12,465,094
$ 12,184,695
$ 12,265,640
$ 12,122,608
TCE to TA ratio
9.83 %
9.63 %
9.61 %
9.12 %
8.83 %
APPENDIX D: Calculation of Return on Average Assets ("ROA") and Adjusted ROA
For the Three Months Ended
($ in thousands)
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Net income (A)
$ 50,519
$ 46,659
$ 15,713
$ 20,363
$ 38,566
After-tax impact of loss-earnback
—
—
33,581
21,433
—
Adjusted net income (B)
$ 50,519
$ 46,659
$ 49,294
$ 41,796
$ 38,566
Average total assets (C)
$ 12,949,339
$ 12,762,814
$ 12,716,139
$ 12,640,016
$ 12,458,372
ROA (A/C)
1.56 %
1.48 %
0.49 %
0.64 %
1.24 %
Adjusted ROA (B/C)
1.56 %
1.48 %
1.54 %
1.31 %
1.24 %
APPENDIX E: Calculation of Return on Common Equity ("ROCE") and Adjusted ROCE
For the Three Months Ended
($ in thousands)
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Net income (A)
$ 50,519
$ 46,659
$ 15,713
$ 20,363
$ 38,566
After-tax impact of loss-earnback
—
—
33,581
21,433
—
Adjusted net income (B)
$ 50,519
$ 46,659
$ 49,294
$ 41,796
$ 38,566
Average common equity (C)
$ 1,704,388
$ 1,686,763
$ 1,627,976
$ 1,571,104
$ 1,530,550
ROCE (A/C)
11.89 %
11.22 %
3.83 %
5.14 %
10.11 %
Adjusted ROCE (B/C)
11.89 %
11.22 %
12.01 %
10.55 %
10.11 %
APPENDIX F: Calculation of Return on TCE ("ROTCE") and Adjusted ROTCE
For the Three Months Ended
($ in thousands)
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Net Income
$ 50,519
$ 46,659
$ 15,713
$ 20,363
$ 38,566
Intangible asset amortization, net of taxes
923
960
994
1,066
1,123
Tangible Net income (A)
51,442
47,619
16,707
21,429
39,689
After-tax impact of loss-earnback
—
—
33,581
21,433
—
Adjusted tangible net income (B)
$ 51,442
$ 47,619
$ 50,288
$ 42,862
$ 39,689
Average common equity
$ 1,704,388
$ 1,686,763
$ 1,627,976
$ 1,571,104
$ 1,530,550
Less: Average goodwill and other intangibles,
net of related taxes
(482,326)
(483,314)
(484,313)
(485,331)
(486,393)
Average TCE (C)
$ 1,222,062
$ 1,203,449
$ 1,143,663
$ 1,085,773
$ 1,044,157
ROTCE (A/C)
16.88 %
16.05 %
5.80 %
7.83 %
15.25 %
Adjusted ROTCE (B/C)
16.88 %
16.05 %
17.45 %
15.66 %
15.25 %
APPENDIX G: Efficiency Ratio and Adjusted Efficiency Ratio
For the Three Months Ended
June 30,
2026
March 31,
2026
December 31,
2025
September 30,
2025
June 30,
2025
Noninterest expenses (A)
$ 62,761
$ 60,218
$ 62,043
$ 60,171
$ 58,924
Nointerest income (B)
16,034
15,178
(22,479)
(12,951)
14,292
Securities losses, net
—
—
(43,722)
(27,905)
—
Adjusted nointerest income (C)
16,034
15,178
21,243
14,954
14,292
Net interest income – tax-equivalent (D)
111,732
107,595
106,601
102,829
96,877
Efficiency ratio A/(B+D)
49.12 %
49.05 %
73.75 %
66.95 %
53.00 %
Adjusted efficiency ratio A/(C+D)
49.12 %
49.05 %
48.53 %
51.09 %
53.00 %
Supplemental information
APPENDIX H: Loan purchase discount accretion and its impact on the Company's NIM
Included in interest income for the second quarter of 2026 was loan purchase accounting discount accretion of $1.1 million compared to $1.1 million for the linked quarter and $1.5 million for the like quarter, with the activity primarily related to the continued repayments/reduction of the loan portfolio acquired from GrandSouth Bancorporation in January of 2023. Loan discount accretion had positive impacts of three basis points, three basis points and four basis points, respectively, on the Company's NIM and NIM-T/E in the second quarter of 2026, the linked quarter and the like quarter.
The following table presents the impact to net interest income of the purchase accounting adjustments for each period.
For the Three Months Ended
NET INTEREST INCOME PURCHASE ACCOUNTING ADJUSTMENTS
($ in thousands)
June 30,
2026
March 31,
2026
June 30,
2025
Interest income - increased by accretion of loan discount on acquired loans
$ 1,083
$ 1,065
$ 1,457
Total interest income impact
1,083
1,065
1,457
Interest expense - increased by discount accretion on deposits
(62)
(61)
(102)
Interest expense - increased by discount accretion on borrowings
MICHIGAN CITY, Ind., July 22, 2026 (GLOBE NEWSWIRE) -- (NASDAQ GS: HBNC) – Horizon Bancorp, Inc. (“Horizon” or the “Company”), the parent company of Horizon Bank (the “Bank”), announced its unaudited financial results for the three months ended June 30, 2026.
"Horizon’s results through the first six months of 2026 demonstrated the consistency of our profitability profile and the strength of Horizon’s high quality community banking model. Annualized returns on average assets have maintained around the 1.60% mark, and the net interest margin has been above 4.30%. Despite a notable shift in the interest rate outlook, we believe Horizon’s peer leading profitability metrics will have resiliency going forward," President and CEO, Thomas Prame stated. "We are encouraged by the positive momentum and predictability we see in our business model. Over the first half of 2026, loans and deposits have grown $83 million and $125 million, respectively, which aligns well with our mid-single digit organic growth outlook that is complimented by continued advancement in our fee income verticals and disciplined approach to expense management. We expect this low-volatility, profitability first growth model to drive significant value for our shareholders over time as the business compounds capital at peer-leading levels."
Net income for the three months ended June 30, 2026 was $24.9 million, or $0.49 per diluted share, compared to net income of $26.2 million, or $0.51, for the first quarter of 2026 and net income of $20.6 million, or $0.47 per diluted share, for the second quarter of 2025. As previously announced, results for the second quarter of 2026 were negatively impacted by the pre-tax legal charge of $3.1 million, or $0.05 per diluted share.
Net income for the six months ended June 30, 2026 was $51.1 million, or $0.99 per diluted share, compared to net income of $44.6 million, or $1.01, for the six months ended June 30, 2025.
Second Quarter 2026 Highlights
Durability of top-tier performance metrics are reflective of the strong performance of Horizon’s community banking model. The Company generated a return on average assets of 1.54% and a return on average tangible common equity of 18.05%, despite the legal charge. Net interest income of $63.5 million increased 14.7% compared with $55.4 million in the year ago period. The net interest margin, on a fully taxable equivalent ("FTE") basis1, at 4.37% showed strong quarter over quarter expansion from 4.29% as of the three months ended March 31, 2026, and was significantly higher than the 3.23% reported in the comparable year ago period. Funding continues to trend favorably, with non-time deposit balances continuing to grow and total interest-bearing deposit costs remaining low, still down 33 basis points year over year. Total loans held for investment ("HFI") increased 6.6% compared to the linked quarter annualized, with strong organic commercial loan growth of $63.5 million, or 7.4% annualized, led by commercial and industrial loans. Loan pipelines continue to be consistent, reflective of Horizon’s attractive markets and embedded community banking model. Credit quality remained strong, with annualized net charge offs of 0.05% of average loans during the second quarter. Non-performing assets remain well within expected and historical ranges, with non-performing assets to total assets of 0.66%. Expenses for the second quarter were well managed at $43.8 million, including the $3.1 million legal charge, as the Company remains committed to generating positive operating leverage through a more efficient expense base. ___________________
1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
Financial Highlights (Dollars in Thousands Except Share and Per Share Data and Ratios) Three Months Ended June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025 Income statement: Net interest income$63,490 $62,240 $63,476 $58,386 $55,355 Provision for credit losses 916 391 1,630 (3,572) 2,462 Non-interest income (loss) 12,014 11,243 11,463 (295,334) 10,920 Non-interest expense 43,844 40,747 40,615 52,952 39,417 Income tax expense (benefit) 5,836 6,177 5,773 (64,338) 3,752 Net Income (Loss)$24,908 $26,168 $26,921 $(221,990) $20,644 Per share data: Basic earnings (loss) per share$0.49 $0.51 $0.53 $(4.69) $0.47 Diluted earnings (loss) per share 0.49 0.51 0.53 (4.69) 0.47 Cash dividends declared per common share 0.16 0.16 0.16 0.16 0.16 Book value per common share 14.21 13.69 13.50 12.96 18.06 Market value - high 20.29 18.68 18.47 16.88 15.88 Market value - low 16.76 15.57 15.04 15.01 12.92 Weighted average shares outstanding - Basic 51,082,827 50,987,426 50,975,693 47,311,642 43,794,490 Weighted average shares outstanding - Diluted 51,304,962 51,243,002 51,277,134 47,311,642 44,034,663 Common shares outstanding (end of period) 51,093,048 51,056,888 50,978,030 50,970,530 43,801,507 Key ratios: Return on average assets 1.54% 1.62% 1.63% (12.07)% 1.09%Return on average stockholders' equity 13.97 14.99 15.71 (120.37) 10.49 Total equity to total assets 11.05 10.65 10.69 9.84 10.34 Total loans to deposit ratio 91.93 90.15 92.62 87.41 87.52 Allowance for credit losses to HFI loans 1.05 1.05 1.05 1.04 1.09 Annualized net charge-offs of average total loans(1) 0.05 0.05 0.08 0.07 0.02 Efficiency ratio 58.07 55.45 54.20 (22.35) 59.47 Key metrics (Non-GAAP)(2) Net FTE interest margin 4.37% 4.29% 4.29% 3.52% 3.23%Return on average tangible common equity 18.05 19.02 20.66 (155.03) 13.24 Tangible common equity to tangible assets 8.81 8.39 8.38 7.60 8.37 Tangible book value per common share$11.06 $10.52 $10.32 $9.76 $14.32 (1)Average total loans includes loans held for investment and held for sale.(2)Non-GAAP financial metrics. See non-GAAP reconciliation included herein for the most directly comparable GAAP measures.
Income Statement Highlights
Net Interest Income
Net interest income was $63.5 million in the second quarter of 2026, compared to $62.2 million in the first quarter of 2026, driven by the continued strength of the Company's net FTE interest margin1, which increased to 4.37% for the second quarter of 2026, compared to 4.29% the first quarter of 2026. The margin's resilience is reflective of continued disciplined loan and deposit pricing, a favorable cash reinvestment profile and strong commercial loan growth during the quarter.
___________________
1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
Provision for Credit Losses
During the second quarter of 2026, the Company recorded a provision for credit losses of $0.9 million. This compares to a recorded provision for credit losses of $0.4 million during the first quarter of 2026, and $2.5 million during the second quarter of 2025. The increase in the provision for credit losses during the second quarter of 2026 when compared with the first quarter of 2026 was primarily due to net loan growth and an increase in specific reserves on select commercial loans.
For the second quarter of 2026, net charge-offs were $0.6 million, or an annualized 0.05% of average loans outstanding, compared to net charge-offs of $0.6 million, or an annualized 0.05% of average loans outstanding for the first quarter of 2026, and net charge-offs of $0.3 million, or an annualized 0.02% of average loans outstanding, in the second quarter of 2025.
The Company’s allowance for credit losses as a percentage of period-end loans HFI was 1.05% at June 30, 2026, consistent with March 31, 2026, and down from 1.09% at June 30, 2025.
Non-Interest Income
For the Quarter EndedJune 30, March 31, December 31, September 30, June 30,(Dollars in Thousands) 2026 2026 2025 2025 2025Non-interest (Loss) Income Service charges on deposit accounts$3,376 $3,524 $3,341 $3,474 $3,208Wire transfer fees 67 63 66 71 69Interchange fees 3,595 3,373 3,445 3,510 3,403Fiduciary activities 1,501 1,556 1,560 1,363 1,251Gain (loss) on sale of investment securities — — 1 (299,132) —Gain on sale of mortgage loans 1,576 1,090 1,296 1,208 1,219Mortgage servicing income net of impairment 350 337 352 351 375Increase in cash value of bank owned life insurance 345 333 360 379 346Other income (loss) 1,204 967 1,042 (6,558) 1,049Total non-interest (loss) income$12,014 $11,243 $11,463 $(295,334) $10,920
Total non-interest income was $12.0 million in the second quarter of 2026, compared to non-interest income of $11.2 million in the first quarter of 2026. The increase in non-interest income of $0.8 million is primarily attributable to an increase in gains on the sale of mortgage loans, due to increased volumes and wider margins on loan sales, and higher activity-based interchange fees. All other components of non-interest income remained relatively stable quarter over quarter.
Non-Interest Expense
For the Quarter EndedJune 30, March 31, December 31, September 30, June 30,(Dollars in Thousands) 2026 2026 2025 2025 2025Non-interest Expense Salaries and employee benefits$24,194 $23,187 $21,895 $22,698 $22,731Net occupancy expenses 3,698 4,197 3,718 3,321 3,127Data processing 3,631 3,353 3,128 2,933 2,951Professional fees (64) 929 1,083 808 735Outside services and consultants 2,537 2,764 3,035 3,844 3,278Loan expense 1,417 1,219 1,183 1,237 1,231FDIC insurance expense 1,003 1,023 1,251 1,345 1,216Core deposit intangible amortization 675 675 706 706 816Prepayment penalties — — — 12,680 —Other losses 115 192 732 131 245Other expense 6,638 3,208 3,884 3,249 3,087Total non-interest expense$43,844 $40,747 $40,615 $52,952 $39,417
Total non-interest expense was $43.8 million in the second quarter of 2026, compared to $40.7 million in the first quarter of 2026. The increase was driven by the previously announced legal charge for $3.1 million in other expense. The accrual will remain in place until the Company has finalized the appeal process. Apart from this item, increases in salary expense and planned marketing spend were offset by lower benefits expense, seasonal declines in occupancy costs and lower professional fees. All other components of non-interest expense remained relatively stable quarter over quarter.
Income Taxes
Horizon recorded a net tax expense of $5.8 million for the second quarter of 2026, resulting in an effective tax rate of 19.0%, which is consistent with the Company's estimated annual effective tax rate.
Balance Sheet Highlights
Total assets increased by $9.9 million, or 0.2%, to $6.6 billion as of June 30, 2026, compared to $6.6 billion as of March 31, 2026. Asset growth during the period was primarily driven by an increase in loans HFI and an increase in investment securities of $15.5 million, partially offset by a decrease in interest earning deposits of $45.1 million, a decrease in FHLB stock of $38.3 million and a decrease in loans held for sale of $4.7 million. Total loans were $5.0 billion at June 30, 2026, an increase of $75.9 million from March 31, 2026 balances, primarily driven by organic commercial loan growth.
Total deposits decreased by $22.1 million, or 0.4%, to $5.4 billion as of June 30, 2026 compared to March 31, 2026. The decrease was driven by a $59.5 million decrease in time deposits and a $39.1 million decrease in non-interest-bearing demand deposits. The decrease was partially offset by an increase of $52.6 million in interest-bearing deposits and a $23.9 million increase in savings and money market balances, reflecting continued success in core deposit gathering efforts.
Overall, balance sheet growth during the quarter reflected a combination of steady asset growth, proactive liquidity management, and ongoing efforts to optimize the deposit base. Management continues to focus on maintaining a strong funding position while supporting measured, relationship-driven loan growth aligned with long-term strategic objectives.
Capital
The following table presents the Consolidated Regulatory Capital Ratios of the Company for the previous three quarters, and the Company’s preliminary estimate of its consolidated regulatory capital ratios for the quarter ended June 30, 2026:
For the Quarter Ended June 30, March 31, December 31, September 30, 2026* 2026 2025 2025 Consolidated Capital Ratios Total capital (to risk-weighted assets) 15.01% 14.76% 14.36% 15.00%Tier 1 capital (to risk-weighted assets) 12.17 11.90 11.51 11.27 Common equity tier 1 capital (to risk-weighted assets) 11.09 10.81 10.42 10.17 Tier 1 capital (to average assets) 10.17 9.84 9.55 8.22 *Preliminary estimate - may be subject to change
As of June 30, 2026, the ratio of total stockholders’ equity to total assets is 11.05%. Book value per common share was $14.21, increasing $0.52 during the second quarter of 2026, as growth in retained earnings was partially offset by modestly higher levels of other comprehensive losses.
Tangible common equity1 totaled $565.1 million at June 30, 2026, and the ratio of tangible common equity to tangible assets1 was 8.81% at June 30, 2026, up from 8.39% at March 31, 2026. Tangible book value, which excludes intangible assets from total equity, per common share was $11.06, increasing $0.54 during the second quarter of 2026.
___________________
1 Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.
Credit Quality
As of June 30, 2026, total non-accrual loans decreased by $2.5 million from March 31, 2026, and represent 0.65% of total loans held for investment. Total non-performing assets decreased $0.3 million, to $43.7 million, compared with $44.0 million at March 31, 2026. Non-performing assets are 0.66% of total assets at quarter end, down slightly from 0.67% at March 31, 2026.
For the quarter ended June 30, 2026, net charge-offs were $0.6 million, or 0.05% annualized of average loans, consistent with $0.6 million as of March 31, 2026. Charge‑off levels during the quarter remained low and consistent with management’s expectations, reflecting a continued focus on disciplined underwriting and proactive portfolio monitoring. Overall, credit metrics remain stable, and management continues to closely monitor portfolio performance in the current economic environment.
Earnings Conference Call
As previously announced, Horizon will host a conference call to review its second quarter financial results and operating performance.
Participants may access the live conference call on July 23, 2026 at 7:30 a.m. CT (8:30 a.m. ET) by dialing 1-833-974-2379 from the United States and Canada or 1-412-317-5772 from international locations and requesting the “Horizon Bancorp, Inc. Call.” Participants are asked to dial in approximately 10 minutes prior to the call.
A telephone replay of the call will be available approximately one hour after the end of the conference through August 23, 2026. The replay may be accessed by dialing 1-855-669-9658 from the United States and Canada, or 1–412–317-0088 from other international locations, and entering the access code 6151989.
About Horizon Bancorp, Inc.
Horizon Bancorp, Inc. (NASDAQ GS: HBNC) is the $6.6 billion-asset commercial bank holding company for Horizon Bank, which serves customers across diverse and economically attractive Midwestern markets through convenient digital and virtual tools, as well as its Indiana and Michigan branches. Horizon's retail offerings include prime residential and other secured consumer lending to in-market customers, as well as a range of personal banking and wealth management solutions. Horizon also provides a comprehensive array of in-market business banking and treasury management services, as well as equipment financing solutions for customers regionally and nationally, with commercial lending representing over half of total loans. More information on Horizon, headquartered in Northwest Indiana's Michigan City, is available at horizonbank.com and investor.horizonbank.com.
Use of Non-GAAP Financial Measures
Certain information set forth in this press release refers to financial measures determined by methods other than in accordance with GAAP. Specifically, we have included non-GAAP financial measures relating to net income, diluted earnings per share, pre-tax, pre-provision net income, net interest margin, tangible stockholders’ equity and tangible book value per share, efficiency ratio, the return on average assets, the return on average common equity, and return on average tangible equity. In each case, we have identified special circumstances that we consider to be non-recurring and have excluded them. Horizon believes these non-GAAP financial measures are helpful to investors and provide a greater understanding of our business and financial results without giving effect to one-time costs and non–recurring items. These measures are not necessarily comparable to similar measures that may be presented by other companies and should not be considered in isolation or as a substitute for the related GAAP measure. See the tables and other information below and contained elsewhere in this press release for reconciliations of the non-GAAP information identified herein and its most comparable GAAP measures.
Forward Looking Statements
This press release may contain forward–looking statements regarding the financial performance, business prospects, growth and operating strategies of Horizon Bancorp, Inc. and its affiliates (collectively, “Horizon”). For these statements, Horizon claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Statements in this press release should be considered in conjunction with the other information available about Horizon, including the information in the filings we make with the Securities and Exchange Commission (the “SEC”). Forward-looking statements provide current expectations or forecasts of future events and are not guarantees of future performance. The forward-looking statements are based on management’s expectations and are subject to a number of risks and uncertainties. We have tried, wherever possible, to identify such statements by using words such as “anticipate,” “estimate,” “project,” “intend,” “plan,” “believe,” “will” and similar expressions in connection with any discussion of future operating or financial performance.
Although management believes that the expectations reflected in such forward-looking statements are reasonable, actual results may differ materially from those expressed or implied in such statements. Risks and uncertainties that could cause actual results to differ materially include: changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs, changes within the domestic and international macroeconomic environment, including trade policy, monetary and fiscal policy, inflation levels, and conditions in the investment, credit, interest rate, and derivatives markets, and their impact on Horizon and its customers; current financial conditions within the banking industry; changes in the level and volatility of interest rates, changes in spreads on earning assets and changes in interest bearing liabilities; increased interest rate sensitivity; loss of key Horizon personnel; increases in disintermediation; potential loss of fee income, including interchange fees, as new and emerging alternative payment platforms take a greater market share of the payment systems; estimates of fair value of certain of Horizon’s assets and liabilities; changes in prepayment speeds, loan originations, credit losses, market values, collateral securing loans and other assets; changes in sources of liquidity; legislative and regulatory actions and reforms; changes in accounting policies or procedures as may be adopted and required by regulatory agencies; litigation, regulatory enforcement, and legal compliance risk and costs; rapid technological developments and changes; cyber terrorism and data security breaches; the rising costs of cybersecurity; the ability of the U.S. federal government to manage federal debt limits; climate change and social justice initiatives; the inability to realize cost savings or revenues or to effectively implement integration plans and other consequences associated with mergers, acquisitions, and divestitures; acts of terrorism, war and global conflicts, and the effects of foreign and military policies of the U.S. government; and supply chain disruptions and delays. These and additional factors that could cause actual results to differ materially from those expressed in the forward-looking statements are discussed in Horizon’s reports (such as the Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K) filed with the SEC and available at the SEC’s website (www.sec.gov). Undue reliance should not be placed on the forward–looking statements, which speak only as of the date hereof. Horizon does not undertake, and specifically disclaims any obligation, to publicly release the result of any revisions that may be made to update any forward-looking statement to reflect the events or circumstances after the date on which the forward–looking statement is made, or reflect the occurrence of unanticipated events, except to the extent required by law.
Condensed Consolidated Statements of Income (Dollars in Thousands Except Per Share Data, Unaudited) Three Months Ended June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025Interest Income Loans receivable$77,740 $75,104 $77,238 $79,561 $78,618Investment securities - taxable 7,248 7,494 7,688 6,631 5,941Investment securities - tax-exempt 2,583 2,544 2,498 4,581 6,088Other 937 1,509 1,864 2,063 830Total interest income 88,508 86,651 89,288 92,836 91,477Interest Expense Deposits 20,479 19,944 21,228 25,726 26,053Borrowed funds 1,655 1,654 1,749 5,924 8,171Subordinated notes 1,904 1,830 1,811 1,731 829Junior subordinated debentures issued to capital trusts 980 983 1,024 1,069 1,070Total interest expense 25,018 24,411 25,812 34,450 36,123Net Interest Income 63,490 62,240 63,476 58,386 55,354Provision for credit losses 916 391 1,630 (3,572) 2,462Net Interest Income after Provision for Credit Losses 62,574 61,849 61,846 61,958 52,892Non-interest Income Service charges on deposit accounts 3,376 3,524 3,341 3,474 3,208Wire transfer fees 67 63 66 71 69Interchange fees 3,595 3,373 3,445 3,510 3,403Fiduciary activities 1,501 1,556 1,560 1,363 1,251Gain (loss) on sale of investment securities — — 1 (299,132) —Gain on sale of mortgage loans 1,576 1,090 1,296 1,208 1,219Mortgage servicing income net of impairment 350 337 352 351 375Increase in cash value of bank owned life insurance 345 333 360 379 346Other income (loss) 1,204 967 1,042 (6,558) 1,049Total non-interest income (loss) 12,014 11,243 11,463 (295,334) 10,920Non-interest Expense Salaries and employee benefits 24,194 23,187 21,895 22,698 22,731Net occupancy expenses 3,698 4,197 3,718 3,321 3,127Data processing 3,631 3,353 3,128 2,933 2,951Professional fees (64) 929 1,083 808 735Outside services and consultants 2,537 2,764 3,035 3,844 3,278Loan expense 1,417 1,219 1,183 1,237 1,231FDIC insurance expense 1,003 1,023 1,251 1,345 1,216Core deposit intangible amortization 675 675 706 706 816Prepayment penalties — — — 12,680 —Other losses 115 192 732 131 245Other expense 6,638 3,208 3,884 3,249 3,087Total non-interest expense 43,844 40,747 40,615 52,952 39,417Income (Loss) Before Income Taxes 30,744 32,345 32,694 (286,328) 24,395Income tax expense (benefit) 5,836 6,177 5,773 (64,338) 3,752Net Income (Loss)$24,908 $26,168 $26,921 $(221,990) $20,643Basic Earnings (Loss) Per Share$0.49 $0.51 $0.53 $(4.69) $0.47Diluted Earnings (Loss) Per Share 0.49 0.51 0.53 (4.69) 0.47 Condensed Consolidated Balance Sheet (Dollars in Thousands, Unaudited) Three Months Ended for the Period June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025 Assets Interest earning assets Federal funds sold$— $— $— $— $2,024 Interest earning deposits 145,571 190,717 72,646 381,860 34,174 Federal Home Loan Bank stock 7,418 45,713 45,713 45,713 45,412 Investment securities, held for trading 3,885 3,983 3,883 598 — Investment securities, available for sale 897,764 882,168 875,414 883,242 231,999 Investment securities, held to maturity — — — — 1,819,087 Loans held for sale 5,147 9,821 9,778 1,921 2,994 Gross loans held for investment (HFI) 4,959,120 4,878,549 4,876,542 4,823,669 4,985,582 Total Interest earning assets 6,018,905 6,010,951 5,883,976 6,137,003 7,121,272 Non-interest earning assets Allowance for credit losses (51,921) (51,297) (51,299) (50,178) (54,399)Cash 72,378 68,354 66,813 76,395 101,719 Cash value of life insurance 37,410 37,065 36,732 37,762 37,755 Other assets 215,032 217,649 215,460 226,247 148,773 Goodwill 155,211 155,211 155,211 155,211 155,211 Other intangible assets 5,829 6,505 7,180 7,886 8,592 Premises and equipment, net 90,939 90,763 92,805 93,413 93,398 Interest receivable 30,377 29,015 29,733 28,758 39,730 Total non-interest earning assets 555,255 553,265 552,635 575,494 530,779 Total assets$6,574,160 $6,564,216 $6,436,611 $6,712,497 $7,652,051 Liabilities Savings and money market deposits$3,195,553 $3,119,034 $3,094,231 $3,198,332 $3,385,413 Time deposits 1,104,316 1,163,807 1,102,478 1,199,681 1,193,180 Borrowings 153,707 159,825 160,118 160,206 880,336 Repurchase agreements 69,278 66,004 88,468 86,966 95,089 Subordinated notes 98,318 98,262 98,215 154,011 55,807 Junior subordinated debentures issued to capital trusts 57,789 57,740 57,688 57,636 57,583 Total interest earning liabilities 4,678,961 4,664,672 4,601,198 4,856,832 5,667,408 Non-interest bearing deposits 1,100,355 1,139,466 1,078,708 1,122,888 1,121,163 Interest payable 10,862 8,537 12,892 12,395 14,007 Other liabilities 57,793 52,514 55,562 59,611 58,621 Total liabilities 5,847,971 5,865,189 5,748,360 6,051,726 6,861,199 Stockholders’ Equity Preferred stock — — — — — Common stock — — — — — Additional paid-in capital 460,610 459,799 459,243 458,734 360,758 Retained earnings 289,594 272,941 255,004 236,312 466,497 Accumulated other comprehensive (loss) (24,015) (33,713) (25,996) (34,275) (36,403)Total stockholders’ equity 726,189 699,027 688,251 660,771 790,852 Total liabilities and stockholders’ equity$6,574,160 $6,564,216 $6,436,611 $6,712,497 $7,652,051 Loans and Deposits (Dollars in Thousands, Unaudited) June 30, March 31, December 31, September 30, June 30, % Change 2026 2026 2025 2025 2025 Q2'26 vs Q1'26 Q2'26 vs Q2'25Loans: Commercial real estate$2,445,173 $2,443,582 $2,421,863 $2,366,956 $2,321,951 —% 5%Commercial & Industrial 1,085,008 1,023,068 1,010,545 989,609 976,740 6% 11%Total commercial 3,530,181 3,466,650 3,432,408 3,356,565 3,298,691 2% 7%Residential Real estate 755,707 750,108 772,427 783,850 786,026 1% (4)%Consumer 673,232 661,791 671,707 683,254 900,865 2% (25)%Total loans held for investment 4,959,120 4,878,549 4,876,542 4,823,669 4,985,582 2% (1)%Loans held for sale 5,147 9,821 9,778 1,921 2,994 (48)% 72%Total loans$4,964,267 $4,888,370 $4,886,320 $4,825,590 $4,988,576 2% —% Deposits: Interest bearing deposits$1,664,367 $1,611,795 $1,639,857 $1,715,471 $1,713,058 3% (3)%Savings and money market deposits 1,531,186 1,507,239 1,454,374 1,482,861 1,672,355 2% (8)%Time deposits 1,104,316 1,163,807 1,102,478 1,199,681 1,193,180 (5)% (7)%Total Interest bearing deposits 4,299,869 4,282,841 4,196,709 4,398,013 4,578,593 —% (6)%Non-interest bearing deposits Non-interest bearing deposits 1,100,355 1,139,466 1,078,708 1,122,888 1,121,164 (3)% (2)%Total deposits$5,400,224 $5,422,307 $5,275,417 $5,520,901 $5,699,757 —% (5)% Average Balance Sheet (Dollars in Thousands, Unaudited) Three Months Ended June 30, 2026March 31, 2026June 30, 2025 Average
BalanceInterest(4)(6)Average
Rate(4)Average
BalanceInterest(4)(6)Average
Rate(4)Average
BalanceInterest(4)(6)Average
Rate(4)Assets Interest earning assets Interest earning deposits (incl. Fed Funds Sold)$101,650 $9363.69%$165,084 $1,5093.71%$72,993 $8304.56%Federal Home Loan Bank stock 15,834 2596.56% 45,713 5514.89% 45,412 1,0759.49%Investment securities - taxable (1) 584,471 6,9904.80% 581,146 6,9444.85% 959,238 4,8672.03%Investment securities - non-taxable (1) 314,064 3,2704.18% 319,276 3,2204.09% 1,100,731 7,7062.81%Total investment securities 898,535 10,2604.58% 900,422 10,1644.58% 2,059,969 12,5732.45%Loans receivable (2) (3) 4,916,799 78,1406.37% 4,873,753 75,4856.28% 4,947,093 79,0006.41%Total interest earning assets 5,932,818 89,5956.06% 5,984,972 87,7095.94% 7,125,467 93,4785.26%Non-interest earning assets Cash and due from banks 71,692 68,007 86,316 Allowance for credit losses (51,106) (51,217) (52,560) Other assets 535,339 533,989 472,175 Total average assets$6,488,743 $6,535,751 $7,631,398 Liabilities and Stockholders' Equity Interest bearing liabilities Interest bearing demand deposits$1,627,013 $5,0111.24%$1,638,208 $4,5861.14%$1,727,713 $6,8031.58%Saving and money market deposits 1,484,771 5,9811.62% 1,475,444 5,6191.54% 1,651,866 8,2001.99%Time deposits 1,116,139 9,4883.41% 1,153,484 9,7393.42% 1,233,582 11,0503.59%Total Deposits 4,227,923 20,4801.94% 4,267,136 19,9441.90% 4,613,161 26,0532.27%Borrowings 150,118 1,4353.83% 150,229 1,4213.84% 847,862 7,7773.68%Repurchase agreements 67,494 2191.30% 77,376 2331.22% 88,058 3941.79%Subordinated notes 98,279 1,9047.77% 98,231 1,8307.56% 55,785 8295.96%Junior subordinated debentures issued to capital trusts 57,758 9806.81% 57,706 9836.91% 57,550 1,0707.46%Total interest bearing liabilities 4,601,572 25,0182.18% 4,650,678 24,4112.13% 5,662,416 36,1232.56%Non-interest bearing liabilities Demand deposits 1,117,113 1,117,930 1,114,982 Accrued interest payable and other liabilities 55,032 59,227 64,465 Stockholders' equity 715,026 707,916 789,535 Total average liabilities and stockholders' equity$6,488,743 $6,535,751 $7,631,398 Net FTE interest income (non-GAAP) (5) $64,577 $63,298 $57,355 Less FTE adjustments (4) 1,087 1,058 2,001 Net Interest Income $63,490 $62,240 $55,354 Net FTE interest margin (Non-GAAP) (4)(5) 4.37% 4.29% 3.23%(1)Securities balances represent daily average balances for the fair value of securities. The average rate is calculated based on the daily average balance for the amortized cost of securities.(2)Includes fees on loans held for sale and held for investment. The inclusion of loan fees does not have a material effect on the average interest rate.(3)Non-accruing loans for the purpose of the computation above are included in the daily average loan amounts outstanding. Loan totals are shown net of unearned income and deferred loan fees.(4)Management believes fully taxable equivalent, or FTE, interest income is useful to investors in evaluating the Company's performance as a comparison of the returns between a tax-free investment and a taxable alternative. The Company adjusts interest income and average rates for tax-exempt loans and securities to an FTE basis utilizing a 21% tax rate.(5)Non-GAAP financial metric. See non-GAAP reconciliation included herein for the most directly comparable GAAP measure.(6)Includes dividend income on Federal Home Loan Bank stock Credit Quality (Dollars in Thousands Except Ratios, Unaudited) Quarter Ended June 30, March 31, December 31, September 30, June 30, % Change 2026 2026 2025 2025 2025 Q2'26 vs Q1'26 Q2'26 vs Q2'25Non-accrual loans Commercial$17,843 $15,761 $14,549 $12,303 $7,547 13% 136%Residential Real estate 8,454 10,607 10,087 9,256 9,525 (20)% (11)%Consumer 6,004 8,416 7,821 7,799 7,222 (29)% (17)%Total non-accrual loans 32,301 34,784 32,457 29,358 24,294 (7)% 33%90 days and greater delinquent - accruing interest 2,632 2,211 2,489 1,608 2,113 19% 25%Total non-performing loans$34,933 $36,995 $34,946 $30,966 $26,407 (6)% 32% Other real estate owned Commercial$463 $594 $539 $272 $176 (22)% 163%Residential Real estate 570 631 672 769 463 (10)% 23%Consumer 3,633 1,875 480 480 480 94% 657%Total other real estate owned 4,666 3,100 1,691 1,521 1,119 51% 317% Other non-performing assets(1)$4,094 $3,935 $3,991 $3,228 $2,937 4% 39% Total non-performing assets$43,693 $44,030 $40,628 $35,715 $30,463 (1)% 43% Loan data: Accruing 30 to 89 days past due loans$21,296 $19,379 $24,580 $24,784 $31,401 10% (32)%Substandard loans 64,564 63,419 59,365 63,236 64,100 2% 1%Net charge-offs (recoveries) Commercial$295 $339 $436 $294 $84 (13)% 251%Residential Real estate 46 1 (25) 19 52 4500% (12)%Consumer 264 285 559 518 118 (7)% 124%Total net charge-offs$605 $625 $970 $831 $254 (3)% 138% Allowance for credit losses Commercial$36,122 $34,997 $35,473 $34,390 $34,413 3% 5%Residential Real estate 2,958 3,183 3,183 3,082 3,229 (7)% (8)%Consumer 12,841 13,117 12,643 12,706 16,757 (2)% (23)%Total allowance for credit losses$51,921 $51,297 $51,299 $50,178 $54,399 1% (5)% Credit quality ratios Non-accrual loans to HFI loans 0.65% 0.71% 0.67% 0.61% 0.49% Non-performing assets to total assets 0.66% 0.67% 0.63% 0.53% 0.40% Annualized net charge-offs of average total loans 0.05% 0.05% 0.08% 0.07% 0.02% Allowance for credit losses to HFI loans 1.05% 1.05% 1.05% 1.04% 1.09% (1)Other non-performing assets consist of a single available for sale debt security placed on non-accrual status. Non–GAAP Reconciliation of Net Fully-Taxable Equivalent ("FTE") Interest Margin (Dollars in Thousands, Unaudited) Three Months Ended June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025 Interest income (GAAP)(A)$88,508 $86,651 $89,288 $92,836 $91,477 Taxable-equivalent adjustment: Investment securities - tax exempt (1) 686 676 665 1,218 1,619 Loan receivable (2) 402 381 390 379 382 Interest income (non-GAAP)(B) 89,596 87,708 90,343 94,433 93,478 Interest expense (GAAP)(C) 25,018 24,411 25,812 34,450 36,123 Net interest income (GAAP)(D) =(A) - (C)$63,490 $62,240 $63,476 $58,386 $55,354 Net FTE interest income (non-GAAP)(E) = (B) - (C)$64,578 $63,297 $64,531 $59,983 $57,355 Average interest earning assets(F) 5,932,818 5,984,972 5,967,328 6,766,742 7,125,467 Net FTE interest margin (non-GAAP)(G) = (E*) / (F) 4.37% 4.29% 4.29% 3.52% 3.23% (1)The following represents municipal securities interest income for investment securities classified as available-for-sale and held-to-maturity(2)The following represents municipal loan interest income for loan receivables classified as held for sale and held for investment*Annualized Non–GAAP Reconciliation of Return on Average Tangible Common Equity (Dollars in Thousands, Unaudited) Three Months Ended June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025 Net income (loss) (GAAP)(A)$24,908 $26,168 $26,921 $(221,990) $20,644 Average stockholders' equity(B)$715,026 $707,916 $679,821 $731,657 $789,535 Average intangible assets(C) 161,471 162,148 162,838 163,552 164,320 Average tangible equity (Non-GAAP)(D) = (B) - (C)$553,555 $545,768 $516,983 $568,105 $625,215 Return on average tangible common equity ("ROACE") (non-GAAP)(E) = (A*) / (D) 18.05% 19.02% 20.66% (155.03)% 13.24%*Annualized Non–GAAP Reconciliation of Tangible Common Equity to Tangible Assets (Dollars in Thousands, Unaudited) Three Months Ended June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025 Total stockholders' equity (GAAP)(A)$726,189 $699,027 $688,251 $660,771 $790,852 Intangible assets (end of period)(B) 161,041 161,716 162,391 163,097 163,803 Total tangible common equity (non-GAAP)(C) = (A) - (B)$565,148 $537,311 $525,860 $497,674 $627,049 Total assets (GAAP)(D)$6,574,160 $6,564,216 $6,436,612 $6,712,497 $7,652,051 Intangible assets (end of period)(B) 161,041 161,716 162,391 163,097 163,803 Total tangible assets (non-GAAP)(E) = (D) - (B)$6,413,119 $6,402,500 $6,274,221 $6,549,400 $7,488,248 Tangible common equity to tangible assets (Non-GAAP)(G) = (C) / (E) 8.81% 8.39% 8.38% 7.60% 8.37% Non–GAAP Reconciliation of Tangible Book Value Per Share (Dollars in Thousands, Unaudited) Three Months Ended June 30, March 31, December 31, September 30, June 30, 2026 2026 2025 2025 2025Total stockholders' equity (GAAP)(A)$726,189 $699,027 $688,251 $660,771 $790,852Intangible assets (end of period)(B) 161,041 161,716 162,391 163,097 163,803Total tangible common equity (non-GAAP)(C) = (A) - (B)$565,148 $537,311 $525,860 $497,674 $627,049Common shares outstanding(D) 51,093,048 51,056,888 50,978,030 50,970,530 43,801,507 Tangible book value per common share (non-GAAP)(E) = (C) / (D)$11.06 $10.52 $10.32 $9.76 $14.32 Contact:John R. Stewart, CFA EVP, Chief Financial OfficerPhone:(219) 814–5833Fax:(219) 874–9280Date:July 22, 2026
RUSTON, La., July 22, 2026 (GLOBE NEWSWIRE) -- Origin Bancorp, Inc. (NYSE: OBK) (“Origin,” “we,” “our” or the “Company”), the holding company for Origin Bank (the “Bank”), today announced net income of $33.8 million, or $1.09 diluted earnings per share (“EPS”) for the quarter ended June 30, 2026, compared to net income of $27.7 million, or $0.89 diluted EPS, for the quarter ended March 31, 2026. Pre-tax, pre-provision (“PTPP”)(1) earnings were $43.2 million for the quarter ended June 30, 2026, compared to $40.2 million for the linked quarter.
“This quarter’s results represent another meaningful step forward in the journey we began with Optimize Origin a year and a half ago,” said Drake Mills, chairman, president and CEO of Origin Bancorp, Inc. “As we move through the remainder of 2026, our objectives remain clear. We will continue to execute on Optimize Origin, invest strategically across our footprint, attract exceptional talent, and appropriately deploy excess capital.”
(1) PTPP earnings is a non-GAAP financial measure, please see the last few pages of this document for a reconciliation of this alternative financial measure to its most directly comparable GAAP measure.
Optimize Origin
In January 2025, we announced our Optimize Origin initiative to drive elite financial performance and enhance our award-winning culture, and it continues to be an important part of our corporate DNA.Built on three primary pillars: Productivity, Delivery & EfficiencyBalance Sheet OptimizationCulture & Employee Engagement As announced in our Fourth Quarter and Full Year 2025 Earnings Release, our near term ROAA run rate target is 1.15% or higher by 4Q26, as we continue towards our ultimate top quartile ROAA target. Financial Highlights
The Company delivered strong performance, and in some cases, record performance across numerous key financial metrics including, but not limited to, net income, net interest income, fully tax-equivalent net interest margin (“NIM-FTE”), annualized ROAA, annualized ROAE, and book value per common share.Net income was $33.8 million for the quarter ended June 30, 2026, reflecting an increase of $6.2 million, or 22.2%, compared to the linked quarter.Our NIM-FTE increased 21 basis points to 3.92% for the quarter ended June 30, 2026, compared to the quarter ended March 31, 2026. Our net interest spread increased to 3.07%, or 18 basis points, compared to the linked quarter.Annualized ROAA was 1.35% for the quarter ended June 30, 2026, reflecting an increase of 24 basis points, compared to the quarter ended March 31, 2026.Total loans held for investment (“LHFI”) were $8.07 billion at June 30, 2026, reflecting an increase of $209.4 million, or 2.7%, compared to March 31, 2026. LHFI, excluding mortgage warehouse lines of credit, were $7.48 billion at June 30, 2026, reflecting an increase of $141.9 million, or 1.9%, compared to March 31, 2026.During the quarter ended June 30, 2026, we repurchased 217,034 shares of our common stock at an average price of $46.60 per share, including commissions and applicable excise taxes. Also, in July 2026, our board of directors approved a $100 million increase in repurchase authority under our current stock repurchase program, which expires in July 2028. As of the date of this release, $121.6 million remains available for share repurchases under the stock repurchase program.During April 2026, our board approved an increase in our quarterly dividend from $0.15 to $0.25 per share, a 67% increase, reflecting balance sheet strength and earnings durability. Results of Operations for the Quarter Ended June 30, 2026
Net Interest Income and Net Interest Margin
Net interest income for the quarter ended June 30, 2026, was $92.2 million, an increase of $5.0 million, or 5.7%, compared to the quarter ended March 31, 2026. The expansion in net interest income was primarily driven by a $4.4 million increase in interest income and a $529,000 decrease in interest expense.
The $4.4 million increase in interest income was primarily due to a $7.7 million increase in interest income on loans held for investment, partially offset by a $3.6 million decrease in interest income on interest-earning balances due from banks. The increase in interest income on loans held for investment was mainly driven by higher average loan balances, which contributed $5.1 million of the increase. An additional $1.3 million resulted from one additional calendar day during the current quarter, while the remaining $1.3 million was attributable to higher loan yields. The decrease in interest income on interest-earning balances due from banks was primarily driven by lower average balances, which decreased to $309.5 million, from $714.0 million for the quarter ended March 31, 2026.
The $529,000 decrease in interest expense was primarily attributable to a $1.7 million decrease in interest expense on interest-bearing deposits, partially offset by a $1.2 million increase in interest expense on FHLB advances and other borrowings. The decrease in interest expense on interest-bearing deposits was primarily driven by lower average balances, which reduced interest expense on interest-bearing demand deposits by $1.0 million. Lower average balances and rates on time deposits decreased interest expense by $634,000. The increase in interest expense on FHLB and other borrowings was mainly attributable to higher average borrowing balances, which increased interest expense by approximately $841,000.
The Federal Reserve Board sets various benchmark rates, including the federal funds rate, and thereby influences the general market rates of interest, including loan and deposit rates offered by financial institutions. On October 29, 2025, and December 10, 2025, the Federal Reserve Board reduced the federal funds target rate range by 25 basis points each, to a range of 3.50% to 3.75%, and has maintained that target rate range.
Our NIM-FTE was 3.92% for the quarter ended June 30, 2026, up 21 basis points from the linked quarter and 31 basis points from the quarter ended June 30, 2025. The yield earned on interest-earning assets was 5.74%, representing an 18-basis-point increase and a 13-basis-point decrease compared to the linked quarter and the quarter ended June 30, 2025, respectively. The average rate paid on total interest-bearing liabilities was 2.67%, unchanged from the linked quarter and down 58 basis points compared to the quarter ended June 30, 2025.
Credit Quality
The table below includes key credit quality information:
At and For the Three Months Ended Change % Change(Dollars in thousands, unaudited)June 30,
2026 March 31,
2026 June 30,
2025 Linked
Quarter Linked
QuarterPast due 30 to 89 days and still accruing$5,203 $17,624 $12,495 $(12,421) (70.5)%Allowance for loan credit losses (“ALCL”) 98,188 99,015 92,426 (827) (0.8) Total nonperforming LHFI 78,522 87,266 85,315 (8,744) (10.0) Provision for credit losses 65 4,965 2,862 (4,900) (98.7) Net charge-offs 454 2,777 2,300 (2,323) (83.7) Credit quality ratios(1): ALCL to nonperforming LHFI 125.05% 113.46% 108.33% 11.59% N/AALCL to total LHFI 1.22 1.26 1.20 (0.04) N/AALCL to total LHFI, adjusted(2) 1.30 1.34 1.29 (0.04) N/ANonperforming LHFI to LHFI 0.97 1.11 1.11 (0.14) N/ANet charge-offs to total average LHFI (annualized) 0.02 0.15 0.12 (0.13) N/A _______________________
N/A = Not applicable.
(1) Please see the Loan Data schedule at the back of this document for additional information.
(2) The ALCL to total LHFI, adjusted, is calculated by excluding the ALCL for mortgage warehouse lines of credit loans from the total LHFI ALCL in the numerator and excluding the mortgage warehouse lines of credit loans from the LHFI in the denominator. Due to their low-risk profile, mortgage warehouse lines of credit loans require a disproportionately low allocation of the ALCL.
Our results included a total provision for credit losses of $65,000 during the quarter ended June 30, 2026, compared to $5.0 million for the linked quarter, which includes the provision for loan credit losses, the off-balance sheet commitment credit losses and any provision for security credit losses. The decrease was primarily the result of reduced risk embedded in our loan portfolio at June 30, 2026, resulting in a net benefit provision for loan credit losses of $373,000 compared to a provision expense of $5.0 million during the linked quarter and lower net charge-offs during the current quarter. For the current quarter, we recorded reserves of $5.5 million related to new loan production which was primarily offset by $4.5 million and $1.6 million in reserve releases related to net credit migration and the reduction in historical loss factors within the CECL model, respectively. Net credit migration reflects the combined impact of loan risk rating changes, specific reserve adjustments, and loan balance movements, such as loan balance changes and payoffs.
The ALCL totaled $98.2 million at June 30, 2026, an $827,000 decrease compared to the ALCL as of March 31, 2026, and was 1.22% as a percentage of LHFI at June 30, 2026, compared to 1.26% at March 31, 2026.
Past due 30 to 89 days and still accruing decreased $12.4 million to $5.2 million at June 30, 2026, when compared to March 31, 2026, and represented 0.06% of total LHFI, compared to 0.22% as of March 31, 2026. The decrease of 30 to 89 days and still accruing past dues was primarily driven by the decreases of $7.6 million and $3.1 million in the single-family residential real estate and commercial real estate sectors, respectively.
Total nonperforming LHFI decreased $8.7 million at June 30, 2026, when compared to March 31, 2026. The decrease in nonperforming LHFI was driven by decreases in the sectors of commercial real estate, construction/land/land development and single-family residential real estate offset by an increase in commercial and industrial nonperforming LHFI.
Net charge-offs were $454,000 for the quarter ended June 30, 2026, reflecting a decrease of $2.3 million compared to the quarter ended March 31, 2026. The decrease was primarily due to a decrease of $1.5 million in charge-offs and an increase of $856,000 in recoveries, both the result of charge-offs/recoveries in commercial and industrial loans.
Noninterest Income
Noninterest income for the quarter ended June 30, 2026, was $15.4 million, a decrease of $1.4 million from the linked quarter, primarily driven by a decrease of $2.7 million in insurance commission and fee income, which was partially offset by a $905,000 decrease in equity method investment losses.
The $2.7 million decrease in insurance commission and fee income was primarily driven by seasonality in renewals and contingency fee income recognized in the first quarter.
The $905,000 decrease in equity method investment loss was primarily driven by downward adjustments in two limited partnership investments during the linked quarter, compared to smaller downward adjustments of $1.3 million in limited partnership investments recorded during the current quarter. Of the $1.3 million total downward adjustments during the quarter ended June 30, 2026, $985,000 was from one limited partnership investment. Argent investment income declined $1.1 million compared to the linked quarter.
The components of equity method investment (loss) income are as follows:
At and For the Three Months Ended $ Change % Change(Dollars in thousands, unaudited)June 30,
2026 March 31,
2026 June 30,
2025 Linked
Quarter Linked
QuarterArgent investment income$668 $1,754 $— $(1,086) (61.9)%Limited partnership investment loss (1,280) (3,271) (1,909) 1,991 60.9 Total equity method investment loss$(612) $(1,517) $(1,909) $905 59.7% Noninterest Expense
Noninterest expense for the quarter ended June 30, 2026, was $64.4 million, an increase of $615,000, or 1.0% from the linked quarter. The increase was primarily due to an increase of $2.0 million in salaries and employee benefits expense, which was offset by decreases of $840,000 and $625,000 in professional services and other expense, respectively.
The $2.0 million increase in salaries and employee benefits was primarily attributed to an increase of $1.6 million in medical insurance expense, primarily due to favorable adjustments to prior estimates recognized during the linked quarter. Additionally contributing to the increase was a $549,000 increase in incentive compensation, including stock-based incentive compensation. These increases were slightly offset by a decrease of $416,000 primarily due to lower insurance commissions as a result of the seasonal decrease in revenue mentioned above.
The $840,000 decrease in professional services was primarily due to a decrease of $478,000 in expense related to the questioned banker activity previously disclosed. Also contributing to the decrease was a $280,000 decrease in consultant fees related to contract renegotiations that occurred during the linked period. Those negotiations, driven by our Optimize Origin initiative, resulted in meaningful reductions in electronic banking and data processing expenses during the current quarter.
The $625,000 decrease in other expense was primarily due to a $389,000 release of litigation reserve during the quarter ended June 30, 2026.
Financial Condition
Loans
Total LHFI at June 30, 2026, were $8.07 billion, an increase of $209.4 million, or 2.7%, from $7.86 billion at March 31, 2026, and an increase of $389.1 million, or 5.1%, compared to June 30, 2025.Excluding mortgage warehouse lines of credit, LHFI increased $141.9 million, or 1.9%, from March 31, 2026. The increase was primarily driven by increases of $72.0 million, $57.3 million and $49.1 million in non-owner-occupied commercial real estate, construction/land/land development and owner-occupied commercial real estate loans, respectively. These increases were partially offset by a decrease of $31.5 million in commercial and industrial loans.Mortgage warehouse lines of credit at June 30, 2026, were $589.7 million, an increase of $67.4 million, or 12.9%, from $522.3 million at March 31, 2026, and an increase of $15.0 million, or 2.6%, compared to June 30, 2025. Securities
Total securities at June 30, 2026, were $1.16 billion, a decrease of $9.5 million, or 0.8%, from $1.17 billion at March 31, 2026, and an increase of $14.6 million, or 1.3%, compared to June 30, 2025.Accumulated other comprehensive loss, net of taxes, primarily associated with unrealized losses within the available for sale portfolio, was $60.8 million at both June 30, 2026 and March 31, 2026, and decreased $12.7 million, or 17.3%, from June 30, 2025.The weighted average effective duration for the total securities portfolio was 4.08 years as of June 30, 2026, compared to 4.14 years as of March 31, 2026. Deposits
Total deposits at June 30, 2026, were $8.70 billion, a decrease of $53.0 million, or 0.6%, compared to March 31, 2026, and an increase of $580.2 million, or 7.1%, from June 30, 2025. The decrease was primarily due to a $270.2 million decrease in public funds due to seasonality. Also contributing were decreases of $79.7 million and $59.7 million in other and consumer deposits, respectively. Offsetting these decreases was an increase of $356.7 million in business deposits.At June 30, 2026, and March 31, 2026, noninterest-bearing deposits as a percentage of total deposits were 26.0% and 23.6%, respectively. At June 30, 2025, noninterest-bearing deposits as a percentage of total deposits were 22.7%. Borrowings
FHLB advances and other borrowings at June 30, 2026, were $136.9 million, an increase of $124.3 million from $12.6 million at March 31, 2026, and an increase of $9.0 million, or 7.1% from June 30, 2025. The increase in the current quarter compared to the linked quarter is primarily due to an increase in FHLB short-term borrowings of $125.0 million used primarily to meet seasonal liquidity needs.Average FHLB advances were $140.9 million for the quarter ended June 30, 2026, an increase of $124.5 million from $16.4 million for the quarter ended March 31, 2026, and an increase of $28.9 million from June 30, 2025. Subordinate debentures
Total subordinated debentures at June 30, 2026, were $16.6 million, a decrease of $73.1 million, or 81.5%, compared to June 30, 2025, due to the redemption of $74.0 million in subordinated debentures during the quarter ended December 31, 2025, in conjunction with our Optimize Origin initiative. Capital
Total stockholders’ equity at June 30, 2026, was $1.28 billion, an increase of $20.8 million, or 1.6%, compared to March 31, 2026, and an increase of $75.3 million, or 6.2%, from June 30, 2025. Uses of regulatory capital since the beginning of 2025 consist of the following: Repurchased 833,539 shares of our common stock at an average price of $39.29 per share, for a total of $32.7 million, including commissions and applicable excise taxes. Also, in July 2026, our board of directors approved a $100 million increase in repurchase authority under our current stock repurchase program, which expires in July 2028. As of the date of this release, $121.6 million remains available for share repurchases under the stock repurchase program.Redeemed $143.6 million of subordinated debentures, including the amortization of the original issue discount and fair value mark.Declared $31.6 million in dividends to our stockholders, excluding dividends declared in July 2026. Conference Call
Origin will hold a conference call to discuss its second quarter 2026 results on Thursday, July 23, 2026, at 8:00 a.m. Central Time (9:00 a.m. Eastern Time). To participate in the live conference call, please dial +1 (929) 272-1574 (U.S. Local / International 1); +1 (857) 999-3259 (U.S. Local / International 2); +1 (888) 700-7550 (U.S. Toll Free), enter Conference ID: 75275 and request to be joined into the Origin Bancorp, Inc. (OBK) call. A simultaneous audio-only webcast may be accessed via Origin’s website at www.origin.bank under the Investor Relations, News & Events, Events & Presentations link or directly by visiting https://dealroadshow.com/e/ORIGIN2Q26.
If you are unable to participate during the live webcast, the webcast will be archived on the Investor Relations section of Origin’s website at www.origin.bank, under Investor Relations, News & Events, Events & Presentations.
About Origin
Origin Bancorp, Inc. is a financial holding company headquartered in Ruston, Louisiana. Origin’s wholly owned bank subsidiary, Origin Bank, was founded in 1912 in Choudrant, Louisiana. Deeply rooted in Origin’s history is a culture committed to providing personalized relationship banking to businesses, municipalities, and personal clients to enrich the lives of the people in the communities it serves. Origin provides a broad range of financial services and currently operates more than 57 locations in Dallas/Fort Worth, East Texas, Houston, North Louisiana, Mississippi, Alabama and the Florida Panhandle. In addition, Origin provides a broad range of insurance agency products and services through its wholly owned insurance agency subsidiary, Forth Insurance, LLC. For more information, visit www.origin.bank and www.forthinsurance.com.
Non-GAAP Financial Measures
Origin reports its results in accordance with generally accepted accounting principles in the United States of America ("GAAP"). However, management believes that certain supplemental non-GAAP financial measures may provide meaningful information to investors that is useful in understanding Origin's results of operations and underlying trends in its business. These non-GAAP financial measures are supplemental and should be viewed in addition to, and not as an alternative for, Origin's reported results prepared in accordance with GAAP. The following are the non-GAAP measures used in this release: PTPP earnings, PTPP ROAA, tangible book value per common share, and ROATCE.
Please see the last few pages of this release for reconciliations of non-GAAP measures to the most directly comparable financial measures calculated in accordance with GAAP.
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include information regarding Origin Bancorp, Inc’s (“Origin”, “we”, “our” or the “Company”) future financial performance, business and growth strategies, projected plans and objectives, and any expected purchases of its outstanding common stock, and related transactions and other projections based on macroeconomic and industry trends, including changes to interest rates by the Federal Reserve and the resulting impact on Origin’s results of operations, estimated forbearance amounts and expectations regarding the Company’s liquidity, including in connection with advances obtained from the FHLB, which are all subject to change and may be inherently unreliable due to the multiple factors that impact broader economic and industry trends, and any such changes may be material. Such forward-looking statements are based on various facts and derived utilizing important assumptions and current expectations, estimates and projections about Origin and its subsidiaries, any of which may change over time and some of which may be beyond Origin’s control. Statements or statistics preceded by, followed by or that otherwise include the words “assumes,” “anticipates,” “believes,” “estimates,” “expects,” “foresees,” “intends,” “plans,” “projects,” and similar expressions or future or conditional verbs such as “could,” “may,” “might,” “should,” “will,” and “would” and variations of such terms are generally forward-looking in nature and not historical facts, although not all forward-looking statements include the foregoing words. Further, certain factors that could affect Origin’s future results and cause actual results to differ materially from those expressed in the forward-looking statements include, but are not limited to: (1) the impact of current and future economic conditions generally and in the financial services industry, nationally and within Origin’s primary market areas, including the impact of tariffs, as well as the financial stress on borrowers and changes to customer and client behavior as a result of the foregoing; (2) changes in benchmark interest rates and the resulting impacts on net interest income; (3) deterioration of Origin’s asset quality; (4) factors that can impact the performance of Origin’s loan portfolio, including real estate values and liquidity in Origin’s primary market areas; (5) the financial health of Origin’s commercial borrowers and the success of construction projects that Origin finances; (6) changes in the value of collateral securing Origin’s loans; (7) the impact of generative artificial intelligence; (8) Origin’s ability to anticipate interest rate changes and manage interest rate risk; (9) the impact of heightened regulatory requirements, reduced debit interchange and overdraft income and the possibility of facing related adverse business consequences if our total assets grow in excess of $10 billion as of December 31 of any calendar year; (10) the effectiveness of Origin’s risk management framework and quantitative models; (11) Origin’s inability to receive dividends from Origin Bank and to service debt, pay dividends to Origin’s common stockholders, repurchase Origin’s shares of common stock and satisfy obligations as they become due; (12) the impact of labor pressures; (13) changes in Origin’s operation or expansion strategy or Origin’s ability to prudently manage its growth and execute its strategy; (14) changes in management personnel; (15) Origin’s ability to maintain important customer relationships, reputation or otherwise avoid liquidity risks; (16) increasing costs as Origin grows deposits; (17) operational risks associated with Origin’s business; (18) significant turbulence or a disruption in the capital or financial markets and the effect of market disruption and interest rate volatility on our investment securities; (19) increased competition in the financial services industry, particularly from regional and national institutions, as well as from fintech companies; (20) compliance with governmental and regulatory requirements and changes in laws, rules, regulations, interpretations or policies relating to financial institutions; (21) periodic changes to the extensive body of accounting rules and best practices; (22) further government intervention in the U.S. financial system; (23) a deterioration of the credit rating for U.S. long-term sovereign debt; (24) Origin’s ability to comply with applicable capital and liquidity requirements, including its ability to generate liquidity internally or raise capital on favorable terms, including continued access to the debt and equity capital markets; (25) natural disasters and other adverse weather events, pandemics, acts of terrorism, war, and other matters beyond Origin’s control; (26) developments in our mortgage banking business, including loan modifications, general demand, and the effects of judicial or regulatory requirements or guidance; (27) fraud or misconduct by internal or external actors (including Origin employees); (28) cybersecurity threats or security breaches and the cost of defending against them; (29) Origin’s ability to maintain adequate internal controls over financial and non-financial reporting; and (30) potential claims, damages, penalties, fines, costs and reputational damage resulting from pending or future litigation, regulatory proceedings and enforcement actions. For a discussion of these and other risks that may cause actual results to differ from expectations, please refer to the sections titled “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors” in Origin’s most recent and future Annual Reports on Form 10-K filed with the Securities and Exchange Commission and any updates to those sections set forth in Origin’s subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. If one or more events related to these or other risks or uncertainties materialize, or if Origin’s underlying assumptions prove to be incorrect, actual results may differ materially from what Origin anticipates. Accordingly, you should not place undue reliance on any forward-looking statements. Any forward-looking statement speaks only as of the date on which it is made, and Origin does not undertake any obligation to publicly update or review any forward-looking statement, whether as a result of new information, future developments or otherwise.
New risks and uncertainties arise from time to time, and it is not possible for Origin to predict those events or how they may affect Origin. In addition, Origin cannot assess the impact of each factor on Origin’s business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. All forward-looking statements, expressed or implied, included in this communication are expressly qualified in their entirety by this cautionary statement. This cautionary statement should also be considered in connection with any subsequent written or oral forward-looking statements that Origin or persons acting on Origin’s behalf may issue. Annualized, pro forma, adjusted, projected, and estimated numbers are used for illustrative purposes only, are not forecasts, and may not reflect actual results.
This press release contains projected financial information with respect to Origin, including with respect to certain goals and strategic initiatives of Origin and the anticipated benefits thereof. This projected financial information constitutes forward-looking information and is for illustrative purposes only and should not be relied upon as necessarily being indicative of future results. The assumptions and estimates underlying such projected financial information are inherently uncertain and are subject to significant business, economic (including interest rate), competitive, and other risks and uncertainties. Actual results may differ materially from the results contemplated by the projected financial information contained herein and the inclusion of such projected financial information in this release should not be regarded as a representation by any person that such actions will be taken or accomplished or that the results reflected in such projected financial information with respect thereto will be achieved.
Origin Bancorp, Inc.
Selected Quarterly Financial Data
(Unaudited) Three Months Ended June 30,
2026 March 31,
2026 December 31,
2025 September 30,
2025 June 30,
2025 Income statement and share amounts(Dollars in thousands, except per share amounts)Net interest income$92,200 $87,244 $86,694 $83,704 $82,136 Provision for credit losses 65 4,965 3,158 36,820 2,862 Noninterest income 15,393 16,795 16,736 26,128 1,368 Noninterest expense 64,412 63,797 62,823 62,028 61,983 Income before income tax expense 43,116 35,277 37,449 10,984 18,659 Income tax expense 9,270 7,584 7,933 2,361 4,012 Net income$33,846 $27,693 $29,516 $8,623 $14,647 PTPP earnings(1)$43,181 $40,242 $40,607 $47,804 $21,521 Basic earnings per common share 1.10 0.89 0.95 0.28 0.47 Diluted earnings per common share 1.09 0.89 0.95 0.27 0.47 Dividends declared per common share 0.25 0.15 0.15 0.15 0.15 Weighted average common shares outstanding - basic 30,848,905 30,942,565 30,964,128 31,183,092 31,192,622 Weighted average common shares outstanding - diluted 31,157,927 31,203,348 31,168,548 31,363,571 31,327,818 Balance sheet data Total LHFI$8,073,577 $7,864,221 $7,670,917 $7,537,099 $7,684,446 Total LHFI excluding mortgage warehouse lines of credit 7,483,871 7,341,931 7,142,136 7,064,131 7,109,698 Total assets 10,276,930 10,188,144 9,724,722 9,791,306 9,678,158 Total deposits 8,703,251 8,756,268 8,307,247 8,331,830 8,123,036 Total stockholders’ equity 1,281,057 1,260,275 1,246,685 1,214,756 1,205,769 Performance metrics and capital ratios Yield on LHFI 6.14% 6.06% 6.22% 6.33% 6.33%Yield on interest-earning assets 5.74 5.56 5.76 5.89 5.87 Cost of interest-bearing deposits 2.64 2.66 2.90 3.20 3.20 Cost of total deposits 1.99 2.05 2.20 2.46 2.47 NIM - fully tax equivalent ("FTE") 3.92 3.71 3.73 3.65 3.61 Return on average assets (annualized) ("ROAA") 1.35 1.11 1.19 0.35 0.60 PTPP ROAA (annualized)(1) 1.73 1.61 1.64 1.95 0.89 Return on average stockholders’ equity (annualized) ("ROAE") 10.64 8.86 9.50 2.79 4.94 Return on average tangible common equity (annualized) ("ROATCE")(1) 12.17 10.15 10.95 3.22 5.74 Book value per common share$41.52 $40.81 $40.28 $39.23 $38.62 Tangible book value per common share (1) 36.37 35.61 35.04 33.95 33.33 Efficiency ratio(2) 59.87% 61.32% 60.74% 56.48% 74.23%Common equity tier 1 to risk-weighted assets(3) 13.42 13.60 13.54 13.59 13.47 Tier 1 capital to risk-weighted assets(3) 13.60 13.79 13.73 13.79 13.67 Total capital to risk-weighted assets(3) 14.76 14.99 14.91 15.90 15.68 Tier 1 leverage ratio(3) 12.05 11.74 11.86 11.69 11.70 _______________________
(1) PTPP earnings, PTPP ROAA, ROATCE and tangible book value per common share are either non-GAAP financial measures or use a non-GAAP contributor in the formula. For a reconciliation of these alternative financial measures to their most directly comparable GAAP measures, please see the last few pages of this release.
(2) Calculated by dividing noninterest expense by the sum of net interest income plus noninterest income.
(3) Ratios are calculated at the Company level, which is subject to the capital adequacy requirements of the Federal Reserve Board. June 30, 2026 ratios are estimated
Origin Bancorp, Inc.
Selected Year-To-Date Financial Data
(Unaudited) Six Months Ended June 30,(Dollars in thousands, except per share amounts) 2026 2025 Income statement and share amounts Net interest income$179,444 $160,595 Provision for credit losses 5,030 6,306 Noninterest income 32,188 16,970 Noninterest expense 128,209 124,051 Income before income tax expense 78,393 47,208 Income tax expense 16,854 10,150 Net income$61,539 $37,058 PTPP earnings(1)$83,423 $53,514 Basic earnings per common share 1.99 1.19 Diluted earnings per common share 1.97 1.18 Dividends declared per common share 0.40 0.30 Weighted average common shares outstanding - basic 30,895,477 31,199,151 Weighted average common shares outstanding - diluted 31,199,987 31,375,804 Performance metrics Yield on LHFI 6.10% 6.33%Yield on interest-earning assets 5.65 5.83 Cost of interest-bearing deposits 2.65 3.21 Cost of total deposits 2.02 2.49 NIM-FTE 3.82 3.52 ROAA (annualized) 1.23 0.77 PTPP ROAA (annualized)(1) 1.67 1.11 ROAE (annualized) 9.76 6.34 ROATCE (annualized)(1) 11.17 7.38 Efficiency ratio(2) 60.58 69.86 _______________________
(1) PTPP earnings, PTPP ROAA, and ROATCE are either non-GAAP financial measures or use a non-GAAP contributor in the formula. For a reconciliation of these alternative financial measures to their most directly comparable GAAP measures, please see the last few pages of this release.
(2) Calculated by dividing noninterest expense by the sum of net interest income plus noninterest income.
Origin Bancorp, Inc.
Consolidated Quarterly Statements of Income
(Unaudited) Three Months Ended June 30,
2026 March 31,
2026 December 31,
2025 September 30,
2025 June 30,
2025 Interest and dividend income(Dollars in thousands, except per share amounts)Interest and fees on loans$121,857 $114,161 $119,282 $120,096 $121,239 Investment securities-taxable 9,039 8,776 8,991 8,767 7,692 Investment securities-nontaxable 1,517 1,486 1,487 1,523 1,425 Interest and dividend income on assets held in other financial institutions 3,310 6,873 4,884 5,753 4,281 Total interest and dividend income 135,723 131,296 134,644 136,139 134,637 Interest expense Interest-bearing deposits 42,001 43,702 46,510 51,026 50,152 FHLB advances and other borrowings 1,283 111 102 273 1,216 Subordinated indebtedness 239 239 1,338 1,136 1,133 Total interest expense 43,523 44,052 47,950 52,435 52,501 Net interest income 92,200 87,244 86,694 83,704 82,136 Provision for credit losses 65 4,965 3,158 36,820 2,862 Net interest income after provision for credit losses 92,135 82,279 83,536 46,884 79,274 Noninterest income Insurance commission and fee income 6,883 9,597 5,931 6,598 6,661 Service charges and fees 5,334 4,951 5,043 4,965 4,927 Other fee income 2,321 2,295 2,128 2,262 2,809 Mortgage banking revenue 848 563 680 726 1,369 Swap fee income 32 54 58 1,387 1,435 Change in fair value of equity investments — — — 6,972 — Gain (loss) on sales of securities, net 1 — — — (14,448)Equity method investment (loss) income (612) (1,517) 1,859 550 (1,909)Other income 586 852 1,037 2,668 524 Total noninterest income 15,393 16,795 16,736 26,128 1,368 Noninterest expense Salaries and employee benefits 40,374 38,397 37,015 37,863 38,280 Occupancy and equipment, net 7,201 6,984 6,961 7,079 7,187 Data processing 3,738 4,050 3,672 3,526 3,432 Office and operations 3,174 2,937 3,243 3,184 3,337 Professional services 1,809 2,649 2,703 1,395 1,285 Intangible asset amortization 1,484 1,485 1,499 1,583 1,768 Electronic banking 935 1,442 1,545 1,470 1,359 Advertising and marketing 1,650 1,360 1,746 1,524 1,158 Regulatory assessments 1,364 1,335 1,528 1,269 1,345 Loan-related expenses 1,045 895 787 979 669 Other expenses 1,638 2,263 2,124 2,156 2,163 Total noninterest expense 64,412 63,797 62,823 62,028 61,983 Income before income tax expense 43,116 35,277 37,449 10,984 18,659 Income tax expense 9,270 7,584 7,933 2,361 4,012 Net income$33,846 $27,693 $29,516 $8,623 $14,647 Origin Bancorp, Inc.
Consolidated Balance Sheets
(Unaudited) (Dollars in thousands)June 30,
2026 March 31,
2026 December 31,
2025 September 30,
2025 June 30,
2025Assets Cash and due from banks$87,315 $90,641 $73,122 $94,062 $113,918 Interest-bearing deposits in banks 459,216 575,562 351,095 532,847 220,193 Total cash and cash equivalents 546,531 666,203 424,217 626,909 334,111 Securities: AFS 1,142,223 1,151,402 1,117,176 1,104,789 1,126,721 Held to maturity, net of allowance for credit losses 10,557 10,557 10,559 10,559 11,093 Securities carried at fair value through income 5,872 6,197 6,215 6,203 6,218 Total securities 1,158,652 1,168,156 1,133,950 1,121,551 1,144,032 Non-marketable equity securities held in other financial institutions 37,662 31,193 31,069 31,041 75,181 Equity method investments 63,141 66,091 67,502 65,643 15,863 Loans held for sale 1,146 2,935 1,032 312 8,878 LHFI 8,073,577 7,864,221 7,670,917 7,537,099 7,684,446 Less: ALCL 98,188 99,015 96,782 96,259 92,426 LHFI, net of ALCL 7,975,389 7,765,206 7,574,135 7,440,840 7,592,020 Premises and equipment, net 133,783 126,916 124,249 122,899 122,618 Cash surrender value of bank-owned life insurance 42,215 41,968 41,726 41,478 41,265 Goodwill 128,679 128,679 128,679 128,679 128,679 Other intangible assets, net 30,393 31,877 33,362 34,861 36,444 Accrued interest receivable and other assets 159,339 158,920 164,801 177,093 179,067 Total assets$10,276,930 $10,188,144 $9,724,722 $9,791,306 $9,678,158 Liabilities and Stockholders’ Equity Noninterest-bearing deposits$2,260,015 $2,062,982 $1,979,875 $2,000,324 $1,841,684 Interest-bearing deposits excluding brokered interest-bearing deposits, if any 5,684,879 5,895,932 5,497,920 5,516,821 5,450,710 Time deposits 758,357 797,354 829,452 814,685 805,642 Brokered deposits — — — — 25,000 Total deposits 8,703,251 8,756,268 8,307,247 8,331,830 8,123,036 FHLB advances and other borrowings 136,878 12,609 19,050 12,790 127,843 Subordinated indebtedness 16,594 16,569 16,544 89,715 89,657 Accrued expenses and other liabilities 139,150 142,423 135,196 142,215 131,853 Total liabilities 8,995,873 8,927,869 8,478,037 8,576,550 8,472,389 Stockholders’ equity: Common stock 154,252 154,397 154,762 154,839 156,124 Additional paid-in capital 530,959 532,773 533,541 532,975 537,819 Retained earnings 656,674 633,949 612,523 588,106 585,387 Accumulated other comprehensive loss (60,828) (60,844) (54,141) (61,164) (73,561)Total stockholders’ equity 1,281,057 1,260,275 1,246,685 1,214,756 1,205,769 Total liabilities and stockholders’ equity$10,276,930 $10,188,144 $9,724,722 $9,791,306 $9,678,158 Origin Bancorp, Inc.
Loan Data
(Unaudited) At and For the Three Months Ended June 30,
2026 March 31,
2026 December 31,
2025 September 30,
2025 June 30,
2025 LHFI(Dollars in thousands)Owner-occupied commercial real estate$1,048,534 $999,440 $1,004,801 $986,859 $972,788 Non-owner-occupied commercial real estate 1,583,170 1,511,138 1,519,104 1,520,020 1,455,771 Construction/land/land development 698,610 641,273 611,220 615,778 653,748 Single-family residential real estate 1,425,285 1,442,792 1,444,611 1,460,696 1,465,535 Multifamily residential real estate 568,445 555,527 553,149 540,601 529,899 Total real estate loans 5,324,044 5,150,170 5,132,885 5,123,954 5,077,741 Commercial and industrial 2,141,623 2,173,126 1,989,218 1,919,782 2,011,178 Mortgage warehouse lines of credit 589,706 522,290 528,781 472,968 574,748 Consumer 18,204 18,635 20,033 20,395 20,779 Total LHFI 8,073,577 7,864,221 7,670,917 7,537,099 7,684,446 Less: ALCL 98,188 99,015 96,782 96,259 92,426 LHFI, net$7,975,389 $7,765,206 $7,574,135 $7,440,840 $7,592,020 Nonperforming assets(1) Nonperforming LHFI Commercial real estate$15,479 $19,891 $13,212 $11,736 $12,814 Construction/land/land development 16,365 19,427 16,388 17,047 17,720 Single-family residential real estate 35,595 37,809 39,480 41,964 35,592 Multifamily residential real estate — — — 2,404 2,404 Commercial and industrial 11,015 10,074 11,919 15,043 16,655 Consumer 68 65 185 88 130 Total nonperforming LHFI 78,522 87,266 81,184 88,282 85,315 Other real estate owned/repossessed assets 759 1,007 694 577 1,991 Total nonperforming assets$79,281 $88,273 $81,878 $88,859 $87,306 Classified assets$144,410 $154,599 $148,322 $138,910 $129,628 Past due 30 to 89 days and still accruing 5,203 17,624 14,764 7,739 12,495 Allowance for loan credit losses Balance at beginning of period$99,015 $96,782 $96,259 $92,426 $92,011 Provision for loan credit losses (373) 5,010 3,693 35,216 2,715 Loans charged off 2,496 3,963 4,328 32,206 3,700 Loan recoveries 2,042 1,186 1,158 823 1,400 Net charge-offs 454 2,777 3,170 31,383 2,300 Balance at end of period$98,188 $99,015 $96,782 $96,259 $92,426 Credit quality ratios Total nonperforming assets to total assets 0.77% 0.87% 0.84% 0.91% 0.90%Total nonperforming assets to loans & OREO 0.98 1.12 1.07 1.18 1.14 Nonperforming LHFI to LHFI 0.97 1.11 1.06 1.17 1.11 Past due 30 to 89 days and still accruing to LHFI 0.06 0.22 0.19 0.10 0.16 ALCL to nonperforming LHFI 125.05 113.46 119.21 109.04 108.33 ALCL to total LHFI 1.22 1.26 1.26 1.28 1.20 ALCL to total LHFI excl. mortgage warehouse lines of credit (2) 1.30 1.34 1.34 1.35 1.29 Net charge-offs to total average LHFI (annualized) 0.02 0.15 0.17 1.65 0.12 _______________________
(1) Nonperforming assets consist of nonperforming/nonaccrual loans and property acquired through foreclosures or repossession, as well as bank-owned property not in use and listed for sale, if any.
(2) The ALCL to total LHFI excl. mortgage warehouse lines of credit, is calculated by excluding the ALCL for mortgage warehouse lines of credit loans from the total LHFI ALCL in the numerator and excluding the mortgage warehouse lines of credit loans from the LHFI in the denominator. Due to their low-risk profile, mortgage warehouse lines of credit loans require a disproportionately low allocation of the ALCL.
Origin Bancorp, Inc.
Average Balances and Yields/Rates
(Unaudited) Three Months Ended June 30, 2026 March 31, 2026 June 30, 2025 Average
Balance Income/
Expense Yield/
Rate(1) Average
Balance Income/
Expense Yield/
Rate(1) Average
Balance Income/
Expense Yield/
Rate(1) Assets(Dollars in thousands)Commercial real estate$2,563,643 $37,196 5.82% $2,506,193 $35,222 5.70% $2,407,632 $34,668 5.78%Construction/land/land development 675,151 11,603 6.89 628,332 10,402 6.71 739,601 12,759 6.92 Single-family residential real estate 1,428,511 19,627 5.51 1,448,774 19,765 5.53 1,462,025 19,904 5.46 Multifamily residential real estate 572,052 8,688 6.09 549,475 8,104 5.98 493,397 7,478 6.08 Commercial and industrial ("C&I") 2,212,814 36,675 6.65 2,076,837 33,910 6.62 2,068,175 37,619 7.30 Mortgage warehouse lines of credit 483,340 7,685 6.38 406,072 6,389 6.38 480,587 8,217 6.86 Consumer 19,158 351 7.35 19,823 345 7.06 21,851 397 7.29 LHFI 7,954,669 121,825 6.14 7,635,506 114,137 6.06 7,673,268 121,042 6.33 Loans held for sale 2,161 32 5.94 1,712 24 5.69 11,422 197 6.92 Loans receivable 7,956,830 121,857 6.14 7,637,218 114,161 6.06 7,684,690 121,239 6.33 Investment securities-taxable 992,478 9,039 3.65 1,017,777 8,776 3.50 980,430 7,692 3.15 Investment securities-nontaxable 185,851 1,517 3.27 183,691 1,486 3.28 175,101 1,425 3.26 Non-marketable equity securities held in other financial institutions 39,526 392 3.98 31,112 399 5.20 77,240 1,277 6.63 Interest-earning balances due from banks 309,510 2,918 3.78 713,959 6,474 3.68 276,372 3,004 4.36 Total interest-earning assets 9,484,195 135,723 5.74 9,583,757 131,296 5.56 9,193,833 134,637 5.87 Noninterest-earning assets 555,512 542,734 522,090 Total assets$10,039,707 $10,126,491 $9,715,923 Liabilities and Stockholders’ Equity Liabilities Interest-bearing liabilities Interest-bearing demand deposits$1,892,759 $11,051 2.34% $2,068,810 $11,901 2.33% $1,888,173 $13,634 2.90%Money market deposits 3,420,399 24,491 2.87 3,487,443 24,783 2.88 3,196,349 27,752 3.48 Savings deposits 304,088 866 1.14 301,161 852 1.15 324,835 1,304 1.61 Savings and interest-bearing transaction accounts 5,617,246 36,408 2.60 5,857,414 37,536 2.60 5,409,357 42,690 3.17 Time deposits 765,794 5,593 2.93 811,939 6,166 3.08 868,703 7,462 3.45 Total interest-bearing deposits 6,383,040 42,001 2.64 6,669,353 43,702 2.66 6,278,060 50,152 3.20 FHLB advances and other borrowings 140,897 1,283 3.65 16,434 111 2.74 111,951 1,216 4.36 Subordinated indebtedness 16,582 239 5.78 16,558 239 5.85 89,633 1,133 5.07 Total interest-bearing liabilities 6,540,519 43,523 2.67 6,702,345 44,052 2.67 6,479,644 52,501 3.25 Noninterest-bearing liabilities Noninterest-bearing deposits 2,080,382 1,978,098 1,881,301 Other liabilities 143,422 178,160 164,647 Total liabilities 8,764,323 8,858,603 8,525,592 Stockholders’ Equity 1,275,384 1,267,888 1,190,331 Total liabilities and stockholders’ equity$10,039,707 $10,126,491 $9,715,923 Net interest spread 3.07% 2.89% 2.62%NIM $92,200 3.90 $87,244 3.69 $82,136 3.58 NIM-FTE(2) $92,668 3.92 $87,748 3.71 $82,636 3.61 _______________________
(1) Yields/Rates are calculated on an actual/actual day count basis.
(2) In order to present pre-tax income and resulting yields on tax-exempt investments comparable to those on taxable investments, a tax-equivalent adjustment has been computed. This adjustment also includes income tax credits received on Qualified School Construction Bonds.
Origin Bancorp, Inc.
Notable Items
(Unaudited) At and For the Three Months Ended June 30,
2026 March 31,
2026 December 31,
2025 September 30,
2025 June 30,
2025 $ Impact EPS
Impact(1) $ Impact EPS
Impact(1) $ Impact EPS
Impact(1) $ Impact EPS
Impact(1) $ Impact EPS
Impact(1) (Dollars in thousands, except per share amounts)Notable interest income items: Interest income reversal related to borrower fraud$— $— $— $— $— $— $(206) $(0.01) $— $— Notable interest expense items: OID amortization - subordinated debenture redemption — — — — (783) (0.02) — — — — Notable provision expense items: Provision release (expense) on relationships related to or impacted by questioned banker activity 18 — — — (10) — (1,670) (0.04) — — Provision expense related to borrower fraud — — — — (13) — (29,545) (0.74) — — Notable noninterest income items(2): Gain (loss) on sales of securities, net 1 — — — — — — — (14,448) (0.36)Positive valuation adjustment on non-marketable equity securities — — — — — — 6,972 0.18 — — Net loss on OREO properties(2) — — — — — — — — (158) — Insurance recovery income related to questioned banker activity — — 438 0.01 483 0.01 2,077 0.05 — — Notable noninterest expense items: Operating benefit (expense) related to questioned banker activity 325 0.01 (542) (0.01) (698) (0.02) (112) — (530) (0.01)Operating expense related to strategic Optimize Origin initiatives(4) — — — — (51) — (577) (0.01) (428) (0.01)Operating expense related to borrower fraud (458) (0.01) (473) (0.01) (587) (0.01) (285) (0.01) — — Total notable items$(114) — $(577) (0.01) $(1,659) (0.04) $(23,346) (0.59) $(15,564) (0.39) _______________________
(1) The diluted EPS impact is calculated using a 21% effective tax rate. The total of the diluted EPS impact of each individual line item may not equal the calculated diluted EPS impact on the total notable items due to rounding.
(2) The $158,000 net loss on OREO properties for the quarter ended June 30, 2025, includes an $8,000 insurance settlement recovery that was included in noninterest income on the face of the income statement and $3,000 in repair costs that was included in noninterest expense.
(3) The $325,000 operating net benefit related to questioned banker activity for the quarter ended June 30, 2026, includes a $389,000 release of litigation reserve.
(4) Operating expenses related to strategic Optimize Origin initiatives are expected to be immaterial and, accordingly, will no longer be separately tracked beginning with the quarter ended March 31, 2026. The $51,000 and $577,000 operating expenses related to strategic Optimize Origin initiatives for the quarters ended December 31, 2025, and September 30, 2025, includes sub-lease income of $40,000 and $27,000, respectively, that were included in noninterest income on the face of the income statement.
Origin Bancorp, Inc.
Notable Items - Continued
(Unaudited) Six Months Ended June 30, 2026 2025 $ Impact EPS Impact(1) $ Impact EPS Impact(1) (Dollars in thousands, except per share amounts)Notable interest expense items: OID amortization - subordinated debenture redemption$— $— $(681) $(0.02)Notable provision expense items: Provision release on relationships related to or impacted by questioned banker activity 18 — 375 0.01 Notable noninterest income items: Gain (loss) on sales of securities, net 1 — (14,448) (0.36)Net loss on OREO properties(2) — — (370) (0.01)BOLI payout — — 208 0.01 Insurance recovery income related to questioned banker activity 438 0.01 — — Notable noninterest expense items: Operating expense related to questioned banker activity(3) (217) (0.01) (1,073) (0.03)Operating expense related to strategic Optimize Origin initiatives(4) — — (2,043) (0.05)Operating expense related to borrower fraud (931) (0.02) — — Employee Retention Credit — — 213 0.01 Total notable items$(691) (0.02) $(17,819) (0.45) _______________________
(1) The diluted EPS impact is calculated using a 21% effective tax rate. The total of the diluted EPS impact of each individual line item may not equal the calculated diluted EPS impact on the total notable items due to rounding.
(2) The $370,000 net loss on OREO properties for the six months ended June 30, 2025, includes a $452,000 insurance settlement recovery that was included in noninterest income on the face of the income statement and a $151,000 repair cost that was included in noninterest expense.
(3) The $217,000 operating expense related to questioned banker activity for the six months ended June 30, 2026, includes a $389,000 release of litigation reserve.
(4) Operating expenses related to strategic Optimize Origin initiatives are expected to be immaterial and accordingly, will no longer be separately tracked beginning with the quarter ended March 31, 2026.
Origin Bancorp, Inc.
Non-GAAP Financial Measures
(Unaudited) At and For the Three Months Ended June 30,
2026 March 31,
2026 December 31,
2025 September 30,
2025 June 30,
2025 (Dollars in thousands, except per share amounts)Calculation of PTPP earnings: Net income$33,846 $27,693 $29,516 $8,623 $14,647 Provision for credit losses 65 4,965 3,158 36,820 2,862 Income tax expense 9,270 7,584 7,933 2,361 4,012 PTPP earnings (non-GAAP)$43,181 $40,242 $40,607 $47,804 $21,521 Calculation of PTPP ROAA: PTPP earnings$43,181 $40,242 $40,607 $47,804 $21,521 Divided by number of days in the quarter 91 90 92 92 91 Multiplied by the number of days in the year 365 365 365 365 365 PTPP earnings, annualized$173,199 $163,204 $161,104 $189,657 $86,320 Divided by total average assets 10,039,707 10,126,491 9,829,752 9,727,414 9,715,923 ROAA (annualized) (GAAP) 1.35% 1.11% 1.19% 0.35% 0.60%PTPP ROAA (annualized) (non-GAAP) 1.73 1.61 1.64 1.95 0.89 Calculation of tangible book value per common share:Total common stockholders’ equity$1,281,057 $1,260,275 $1,246,685 $1,214,756 $1,205,769 Goodwill (128,679) (128,679) (128,679) (128,679) (128,679)Other intangible assets, net (30,393) (31,877) (33,362) (34,861) (36,444)Tangible common equity 1,121,985 1,099,719 1,084,644 1,051,216 1,040,646 Divided by common shares outstanding at the end of the period 30,850,397 30,879,462 30,952,428 30,967,768 31,224,718 Book value per common share (GAAP)$41.52 $40.81 $40.28 $39.23 $38.62 Tangible book value per common share (non-GAAP) 36.37 35.61 35.04 33.95 33.33 Calculation of ROATCE: Net income$33,846 $27,693 $29,516 $8,623 $14,647 Divided by number of days in the quarter 91 90 92 92 91 Multiplied by number of days in the year 365 365 365 365 365 Annualized net income$135,756 $112,311 $117,102 $34,211 $58,749 Total average common stockholders’ equity$1,275,384 $1,267,888 $1,232,878 $1,227,431 $1,190,331 Average goodwill (128,679) (128,679) (128,679) (128,679) (128,679)Average other intangible assets, net (31,142) (32,679) (34,293) (35,741) (37,459)Average tangible common equity 1,115,563 1,106,530 1,069,906 1,063,011 1,024,193 ROAE (annualized) (GAAP) 10.64% 8.86% 9.50% 2.79% 4.94%ROATCE (annualized) (non-GAAP) 12.17 10.15 10.95 3.22 5.74 Origin Bancorp, Inc.
Non-GAAP Financial Measures - Continued
(Unaudited) Six Months Ended June 30, 2026 2025 (Dollars in thousands, except per share amounts)Calculation of PTPP earnings: Net income$61,539 $37,058 Provision for credit losses 5,030 6,306 Income tax expense 16,854 10,150 PTPP earnings (non-GAAP)$83,423 $53,514 Calculation of PTPP ROAA: PTPP Earnings$83,423 $53,514 Divided by the year-to-date number of days 181 181 Multiplied by number of days in the year 365 365 Annualized PTPP Earnings$168,229 $107,915 Total average assets$10,082,859 $9,761,814 ROAA(annualized)(GAAP) 1.23% 0.77%PTPP ROAA(annualized)(non-GAAP) 1.67 1.11 Calculation of ROATCE: Net income$61,539 $37,058 Divided by the year-to-date number of days 181 181 Multiplied by number of days in the year 365 365 Annualized net income$124,098 $74,730 Total average common stockholders’ equity$1,271,657 $1,178,605 Average goodwill (128,679) (128,679)Average other intangible assets, net (31,906) (37,854)Average tangible common equity 1,111,072 1,012,072 ROAE(annualized)(GAAP) 9.76% 6.34%ROATCE(annualized)(non-GAAP) 11.17 7.38
July 22, 2026 16:15 ET | Source: Origin Bancorp, Inc.
RUSTON, La., July 22, 2026 (GLOBE NEWSWIRE) -- Origin Bancorp, Inc. (NYSE: OBK) ("Origin"), the holding company for Origin Bank, today announced that on July 22, 2026, its board of directors declared a quarterly cash dividend of $0.25 per share of its common stock. The cash dividend will be paid on August 31, 2026, to stockholders of record as of the close of business on August 14, 2026.
About Origin Bancorp, Inc.
Origin Bancorp, Inc. is a financial holding company headquartered in Ruston, Louisiana. Origin’s wholly owned bank subsidiary, Origin Bank, was founded in 1912 in Choudrant, Louisiana. Deeply rooted in Origin’s history is a culture committed to providing personalized relationship banking to businesses, municipalities, and personal clients to enrich the lives of the people in the communities it serves. Origin provides a broad range of financial services and currently operates more than 57 locations in Dallas/Fort Worth, East Texas, Houston, North Louisiana, Mississippi, Alabama and the Florida Panhandle. In addition, Origin provides a broad range of insurance agency products and services through its wholly owned insurance agency subsidiary, Forth Insurance, LLC. For more information, visit www.origin.bank and www.forthinsurance.com.
Forward-Looking Statements
When used in filings by Origin Bancorp, Inc. (the "Company") with the Securities and Exchange Commission (the "SEC"), in the Company's press releases or other public or stockholder communications, and in oral statements made with the approval of an authorized executive officer, the words or phrases "anticipates," "believes," "estimates," "expects," “foresees,” "intends," "plans," "projects," and similar expressions or future or conditional verbs such as "could," "may," “might,” "should," "will," and "would" or variations of such terms" are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks and uncertainties that could cause actual results to differ materially from historical earnings and those presently anticipated or projected. Factors that might cause such a difference include among other things: the expected payment date of its quarterly cash dividend; changes in economic conditions; other legislative changes generally; changes in policies by regulatory agencies; fluctuations in interest rates; the risks of lending and investing activities, including changes in the level and direction of loan delinquencies and write-offs and changes in estimates of the adequacy of the allowance for loan losses; the Company's ability to access cost-effective funding; fluctuations in real estate values and both residential and commercial real estate market conditions; demand for loans and deposits in the Company's market area; competition; and changes in management’s business strategies and other factors set forth in the Company's filings with the SEC.
The Company does not undertake and specifically declines any obligation - to update or revise any forward-looking statements to reflect events or circumstances that occur after the date of such statements or to reflect the occurrence of anticipated or unanticipated events.
Contact Information
Investor Relations
Chris Reigelman
318-497-3177 [email protected]
BETHESDA, Md., July 22, 2026 (GLOBE NEWSWIRE) -- Eagle Bancorp, Inc. ("Eagle" or the "Company") (NASDAQ: EGBN), the Bethesda-based holding company for EagleBank (the "Bank"), one of the largest community banks in the Washington D.C. area, reported its unaudited results for the second quarter ended June 30, 2026.
Eagle reported net income of $6.9 million or $0.23 per share for the second quarter 2026, compared to $14.7 million or $0.48 per share for the first quarter of 2026. This $7.8 million decrease in net income is primarily due to $8.1 million higher provision for credit losses, compared to the prior quarter. In the second quarter, net interest income decreased $1.3 million, noninterest income decreased $1.9 million, while noninterest expense decreased $4.7 million.
Pre-provision net revenue ("PPNR")1 improved in the second quarter to $29.1 million compared to $27.7 million for the prior quarter reflecting lower noninterest expense, partially offset by lower net interest income and noninterest income.
"Although I joined Eagle recently, it is clear that the organization has made significant progress in strengthening its balance sheet, reducing risk, and positioning the Company for the future. I am excited to work alongside our talented team to build on that momentum. My initial focus is centered on listening to our clients, employees, and shareholders to better understand how we can further strengthen our franchise. Our goal is to develop and execute a disciplined strategy that effectively manages risk, delivers consistent profitability, and creates long-term value for our shareholders," said Steve Curley, president and chief executive officer of the Company.
"We continued to make progress on our strategic priorities during the quarter with improving asset quality, expanding net interest margin and stronger pre-provision net revenue performance. While higher provision expense and commercial real estate payoffs impacted reported earnings, net interest margin expanded five basis points during the quarter as we continued reducing our reliance on higher-cost brokered funding," said Eric Newell, senior executive vice president and chief financial officer of the Company.
Additionally, the Company is announcing today a cash dividend in the amount of $0.01 per share. The cash dividend will be payable on August 17, 2026 to shareholders of record on August 6, 2026.
____________________
1 A reconciliation of non-GAAP financial measures and the nearest GAAP measures is provided in the GAAP
Reconciliation to Non-GAAP Financial Measures tables that accompany this document.
Second Quarter of 2026 Key Elements
The Company announces today the declaration of a common stock dividend of $0.01 per share.Total C&I loans (including owner-occupied) increased $83.2 million or 2.59%, and C&I deposits decreased $108.9 million, or 5.90% from the previous quarter reflecting timing dynamics rather than underlying relationship attrition. Year-over-year period end C&I deposit growth totaled $216.9 million or 14.28%.As of the current quarter-end, the Company's CRE concentration ratio was 267.6% compared to 295.1% the prior quarter. ADC concentration was 66.2% compared to 75.7% in the prior quarter.The ACL as a percentage of total loans was 1.83% at quarter-end; down from 2.12% at the prior quarter-end. Performing office coverage2 was 7.22% at quarter-end; as compared to 7.39% at the prior quarter-end, primarily due to a decrease in the qualitative reserve for CRE office loans (“office overlay”) as the CRE office portfolio decreased.Non-performing assets decreased by $17.7 million to $113.1 million as of June 30, 2026, representing 1.17% of total assets, compared to $130.8 million, representing 1.31% of total assets as of March 31, 2026. During the quarter, non-performing loan inflows totaled $36.0 million. Reductions of $53.7 million reflected underlying collateral liquidations and sales of loans.Including loans held for sale, substandard and special mention loans totaled $759.6 million at June 30, 2026, compared to $794.1 million in the prior quarter. Substandard and special mention loans held for sale totaled $25.6 million and $55.7 million at June 30, 2026 and March 31, 2026, respectively.Annualized quarterly net charge-offs for the second quarter of 2026 were 2.78% compared to 1.46% for the first quarter of 2026. Charge offs during the quarter were elevated primarily due to disposition activities related to classified assets.The net interest margin ("NIM") increased to 2.52% for the second quarter of 2026, compared to 2.47% for the prior quarter, primarily driven by improved funding mix as reduced brokered deposit usage lowered cost of funds. This improvement was partially offset by lower interest income from declines in average cash and loan balances.At quarter-end, the common equity ratio, tangible common equity ratio1, and common equity tier 1 capital (to risk-weighted assets) ratio were 11.91%, 11.91%, and 14.58%, respectively.Total estimated insured deposits decreased at quarter-end to $5.9 billion, representing 72.3% of deposits, compared to $6.4 billion, or 74.2% in the prior quarter. This decrease was primarily due to lower balances in money market accounts and time deposits, as well as reduced usage of brokered deposits.Total on-balance sheet liquidity and available capacity was $4.2 billion, compared to $2.3 billion in uninsured deposits, resulting in a coverage ratio of over 183%. ____________________
1 A reconciliation of non-GAAP financial measures and the nearest GAAP measures is provided in the GAAP
Reconciliation to Non-GAAP Financial Measures tables that accompany this document.
2 Calculated as the ACL attributable to loans collateralized by performing office properties as a percentage of total office loans.
Income Statement
Net interest income was $62.4 million for the second quarter of 2026, compared to $63.7 million for the prior quarter. Both interest income and interest expense declined during the quarter, reflecting the impact of declining average interest-earning balances and a reduction in higher cost brokered deposits.Provision for credit losses was $21.4 million for the second quarter of 2026, compared to $13.4 million for the prior quarter. The increase was primarily driven by execution of the Bank's problem asset resolution strategy, partially offset by a decline in the qualitative reserve. Net charge-offs were $47.9 million for the quarter compared to $26.0 million in the first quarter of 2026. The provision related to the reserve for unfunded commitments was $8 thousand, compared to a reversal of $1.8 million in the prior quarter.Noninterest income was $10.8 million for the second quarter of 2026, a decrease of $1.9 million, compared to $12.7 million for the prior quarter. In the current quarter, gain on the sale of loans totaled $2.3 million as compared to a gain on sale of loans in the prior quarter of $3.6 million.Noninterest expense was $44.0 million for the second quarter of 2026, compared to $48.7 million for the prior quarter. The decrease over the prior quarter was primarily due to a $2.1 million reduction in FDIC insurance expense driven by improved performance and risk metrics, and a decrease in expenses related to loan dispositions.Income tax expense was $0.7 million for the second quarter of 2026, compared to a $1.3 million expense for the prior quarter. The decrease in income tax expense was primarily due to lower pre-tax income during the second quarter of 2026. Loans and Funding
Total loans, including loans held for sale, were $6.7 billion at June 30, 2026, a decrease of 4.6% from the prior quarter-end. The decrease in total loans was primarily driven by declines in income-producing real estate loans, partially offset by an increase in commercial and industrial loans.Total deposits at quarter-end were $8.2 billion, down $0.4 billion, or 4.7%, from the prior quarter-end. Of the quarter-over-quarter decline, brokered deposits represents $301.5 million. The decrease was primarily driven by lower balances in savings and money market accounts and brokered time deposits. Deposits decreased $934.5 million compared to June 30, 2025. Asset Quality
Allowance for credit losses was 1.83% of total loans held for investment at June 30, 2026, compared to 2.12% at the prior quarter-end. Performing office coverage was 7.22% at quarter-end; as compared to 7.39% at the prior quarter-end, primarily due to a decrease in the qualitative reserve for office overlay as the CRE office portfolio decreased.Net charge-offs were $47.9 million for the quarter, compared to $26.0 million in the first quarter of 2026. This increase was primarily associated with disposition activities related to classified assets.Non-performing assets ("NPAs") were $113.1 million at June 30, 2026. NPAs as a percentage of assets were 1.17% at June 30, 2026, compared to 1.31% at the prior quarter-end. At June 30, 2026, OREO consisted of two properties with an aggregate carrying value of $2.0 million.Loans 30-89 days past due were $44.1 million at June 30, 2026, compared to $18.0 million at the prior quarter-end. As of the date of this press release, one loan with a balance of $35.4 million was subsequently paid off in full. Capital
Total shareholders' equity was $1.2 billion at June 30, 2026, up 0.5% from the prior quarter-end. The increase in shareholders' equity of $5.2 million was primarily due to quarterly income that increased capital.Book value per share and tangible book value per share3 were $37.73 and $37.73, an increase of 0.5% from the prior quarter-end. ____________________
3 A reconciliation of non-GAAP financial measures and the nearest GAAP measures is provided in the GAAP
Reconciliation to Non-GAAP Financial Measures tables that accompany this document.
Additional financial information: The financial information that follows provides more detail on the Company's financial performance for the three months ended June 30, 2026 as compared to the three months ended March 31, 2026 and June 30, 2025, as well as eight quarters of trend data. Persons wishing additional information should refer to the Company's Annual Report on Form 10-K for the year ended December 31, 2025, and other reports filed with the SEC.
About Eagle Bancorp: The Company is the holding company for EagleBank, which commenced operations in 1998. The Bank is headquartered in Bethesda, Maryland, and operates through twelve banking offices and four lending offices located in Suburban Maryland, Washington, D.C. and Northern Virginia. The Company focuses on building relationships with businesses, professionals and individuals in its marketplace, and is committed to a culture of respect, opportunity, belonging, and inclusion in both its workplace and the communities in which it operates.
Conference call: Eagle Bancorp will host a conference call to discuss its second quarter of 2026 financial results on Thursday, July 23, 2026 at 10:00 a.m. Eastern Time.
The listen-only webcast can be accessed at:
https://edge.media-server.com/mmc/p/jdnqw6c5/For analysts who wish to participate in the conference call, please register at the following URL:
https://register-conf.media-server.com/register/BIa8e0958131fb45c88951e0437669e334A replay of the conference call will be available on the Company's website through Thursday, August 6, 2026: https://www.eaglebankcorp.com/ Forward-looking statements: This press release contains forward-looking statements within the meaning of the Securities Exchange Act of 1934, as amended, including statements of goals, intentions, and expectations as to future trends, plans, events, financial condition, asset quality or results of Company operations and policies and regarding general economic conditions. In some cases, forward-looking statements can be identified by use of words such as "may," "will," "can," "anticipates," "believes," "expects," "plans," "strategy," "estimates," "potential," "continue," "should," "could," "strive," "feel" and similar words or phrases. These statements are based upon current and anticipated economic conditions, nationally and in the Company's market (including reductions in the size of the federal government workforce; changes in government spending; the economic effects of an extended government shutdown; the proposal, announcement or imposition of tariffs; volatility in interest rates and interest rate, monetary and fiscal policy; inflation levels; competitive factors; our ability to access cost-effective funding) and other conditions (such as the impact of bank failures, credit losses or adverse developments at other banks and related negative press about the banking industry in general on investor and depositor sentiment regarding the stability and liquidity of banks), which by their nature are not susceptible to accurate forecast and are subject to significant uncertainty. Because of these uncertainties and the assumptions on which this discussion and the forward-looking statements are based, actual future operations and results in the future may differ materially from those indicated herein. For details on factors that could affect these expectations, see the risk factors and other cautionary language included in the Company's Annual Report on Form 10-K for the year ended December 31, 2025 and in other periodic and current reports filed with the SEC, including the Company's Quarterly Reports on Form 10-Q. Readers are cautioned against placing undue reliance on any such forward-looking statements. The Company's past results are not necessarily indicative of future performance. All information is as of the date of this press release. Any forward-looking statements made by or on behalf of the Company speak only as to the date they are made. Except to the extent required by applicable law or regulation, the Company undertakes no obligation to revise or update publicly any forward-looking statement for any reason.
Eagle Bancorp, Inc.Consolidated Statements of Operations (Unaudited)(Dollars in thousands, except per share data) Three Months Ended June 30, March 31, June 30, 2026 2026 2025 Interest Income Interest and fees on loans$106,358 $109,566 $125,247 Interest and dividends on investment securities 9,243 9,646 11,436 Interest on balances with other banks and short-term investments 10,978 12,689 14,760 Total interest income 126,579 131,901 151,443 Interest Expense Interest on deposits 61,623 66,181 78,912 Interest on customer repurchase agreements — — 250 Interest on other short-term borrowings 582 — 2,489 Interest on long-term borrowings 2,024 2,026 2,016 Total interest expense 64,229 68,207 83,667 Net Interest Income 62,350 63,694 67,776 Provision for Credit Losses 21,448 13,382 138,159 Provision (Reversal) for Credit Losses for Unfunded Commitments 8 (1,779) 1,759 Net Interest Income (Loss) After Provision for Credit Losses 40,894 52,091 (72,142) Noninterest Income Service charges on deposits 1,733 1,732 1,771 Gain (loss) on sale of loans 2,291 3,550 — Net gain (loss) on sale of investment securities 266 3 (1,854)Increase in cash surrender value of bank-owned life insurance 5,672 5,679 5,161 Other income 797 1,744 1,336 Total noninterest income 10,759 12,708 6,414 Noninterest Expense Salaries and employee benefits 23,366 23,247 21,940 Premises and equipment expenses 2,445 2,533 3,019 Marketing and advertising 1,161 868 1,144 Data processing 4,257 4,204 4,293 Legal, accounting and professional fees 4,783 4,312 1,550 FDIC insurance 4,862 7,009 8,077 Other expenses 3,154 6,567 3,447 Total noninterest expense 44,028 48,740 43,470 Income (Loss) Before Income Tax Expense 7,625 16,059 (109,198)Income Tax Expense (Benefit) 707 1,341 (39,423)Net Income (Loss)$6,918 $14,718 $(69,775) Earnings (Loss) Per Common Share Basic$0.23 $0.48 $(2.30)Diluted$0.23 $0.48 $(2.30) Eagle Bancorp, Inc.Consolidated Balance Sheets (Unaudited)(Dollars in thousands, except per share data) June 30, March 31, June 30, 2026 2026 2025 Assets Cash and due from banks$13,394 $12,626 $18,096 Interest-bearing deposits with banks and other short-term investments 612,349 566,733 239,237 Investment securities available-for-sale at fair value (amortized cost of $984,607, $1,008,764, and $1,271,179 respectively, and allowance for credit losses of $—, $—, and $—, respectively) 904,183 930,314 1,170,489 Investment securities held-to-maturity at amortized cost, net of allowance for credit losses of $454, $907, and $1,229 respectively (fair value of $730,994, $757,238, and $799,136 respectively) 814,878 841,273 896,855 Federal Reserve and Federal Home Loan Bank stock 32,500 27,685 30,613 Loans held for sale, at lower of cost or fair value 49,663 55,702 37,576 Loans held for investment, at amortized cost 6,622,435 6,938,560 7,721,664 Less: allowance for credit losses (121,141) (147,163) (183,796)Loans held for investment, net of allowance 6,501,294 6,791,397 7,537,868 Premises and equipment, net 13,239 12,864 7,103 Operating lease right-of-use assets 27,964 27,569 31,202 Deferred income taxes 134,077 132,729 80,731 Bank-owned life insurance 345,469 339,844 325,174 Other real estate owned 1,966 2,059 2,459 Other assets 207,938 213,486 223,928 Total Assets$9,658,914 $9,954,281 $10,601,331 Liabilities and Shareholders' Equity Liabilities Deposits: Noninterest-bearing demand$1,567,336 $1,488,668 $1,532,132 Interest-bearing transaction 973,651 978,330 895,604 Savings and money market 3,061,987 3,286,125 3,267,630 Time deposits 2,582,123 2,838,376 3,424,241 Total deposits 8,185,097 8,591,499 9,119,607 Customer repurchase agreements — — 23,442 Other short-term borrowings 100,000 — 50,000 Long-term borrowings 76,593 76,511 76,264 Operating lease liabilities 35,081 34,532 37,297 Reserve for unfunded commitments 3,319 3,311 4,925 Other liabilities 108,318 103,151 104,729 Total Liabilities 8,508,408 8,809,004 9,416,264 Shareholders' Equity Common stock, par value $0.01 per share; shares authorized 100,000,000, shares issued and outstanding 30,490,409, 30,494,659, and 30,364,983 respectively 302 302 300 Additional paid-in capital 385,082 383,050 388,927 Retained earnings 858,601 851,998 904,205 Accumulated other comprehensive loss (93,479) (90,073) (108,365)Total Shareholders' Equity 1,150,506 1,145,277 1,185,067 Total Liabilities and Shareholders' Equity$9,658,914 $9,954,281 $10,601,331 Loan Mix and Asset Quality
(Dollars in thousands) June 30, March 31, June 30, 2026 2026 2025 Amount% Amount% Amount%Loan Balances - Period End: Commercial$1,540,76623% $1,432,93321% $1,207,51215%Income producing - commercial real estate 2,729,38341% 3,030,00444% 3,768,88448%Owner occupied - commercial real estate 1,660,74825% 1,686,21023% 1,365,90118%Real estate mortgage - residential 35,5361% 35,7431% 45,9211%Construction - commercial and residential 523,1218% 617,9929% 1,211,72816%Construction - C&I (owner occupied) 88,4571% 87,6661% 69,5541%Home equity 43,4791% 44,9481% 49,2241%Other consumer 945—% 3,064—% 2,776—%Total loans$6,622,435100% $6,938,560100% $7,721,664100% Three Months Ended or As Of June 30,March 31, June 30, 2026 2026 2025Asset Quality: Non-performing loans$111,124 $128,761 $226,420Other real estate owned 1,966 2,059 2,459Non-performing assets$113,090 $130,820 $228,879Net charge-offs$47,909 $25,960 $83,877Special mention$274,187 $290,827 $173,311Substandard$459,773 $447,604 $702,128 Eagle Bancorp, Inc.Consolidated Average Balances, Interest Yields And Rates vs. Prior Quarter (Unaudited)(Dollars in thousands) Three Months Ended June 30, 2026 March 31, 2026 Average Balance Interest Average
Yield/Rate Average Balance Interest Average
Yield/RateAssets Interest earning assets: Interest-bearing deposits with other banks and other short-term investments$1,226,640 $10,978 3.59% $1,420,918 $12,689 3.62%Loans held for sale(1) 40,356 910 9.04% 85,096 1,380 6.58%Loans(1) (2) 6,888,734 105,448 6.14% 7,112,483 108,185 6.17%Investment securities available-for-sale(2) 950,891 5,147 2.17% 988,390 5,187 2.13%Investment securities held-to-maturity(2) 830,921 4,096 1.98% 849,802 4,460 2.13%Total interest earning assets 9,937,542 126,579 5.11% 10,456,689 131,901 5.12% Noninterest earning assets 737,466 734,996 Less: allowance for credit losses (151,328) (161,755) Total noninterest earning assets 586,138 573,241 Total Assets$10,523,680 $11,029,930 Liabilities and Shareholders’ Equity Interest bearing liabilities: Interest-bearing transaction$1,447,015 $9,379 2.60% $1,462,553 $9,317 2.58%Savings and money market 3,194,094 24,139 3.03% 3,437,234 25,851 3.05%Time deposits 2,683,953 28,044 4.19% 2,934,494 30,957 4.28%Total interest bearing deposits 7,325,062 61,562 3.37% 7,834,281 66,125 3.42%Derivative collateral liability 14,834 60 1.62% 7,745 56 2.93%Other short-term borrowings 60,440 5833.87% — — —%Long-term borrowings 76,566 2,024 10.60% 76,483 2,026 10.73%Total interest bearing liabilities 7,476,902 64,229 3.45% 7,918,509 68,207 3.49%Noninterest bearing liabilities: Noninterest bearing demand 1,760,058 1,817,726 Other liabilities 133,356 146,110 Total noninterest bearing liabilities 1,893,414 1,963,836 Shareholders' equity 1,153,364 1,147,585 Total Liabilities and Shareholders’ Equity$10,523,680 $11,029,930 Net interest income $62,350 $63,694 Net interest spread 1.66% 1.63%Net interest margin 2.52% 2.47%Cost of funds 2.79% 2.84% (1)Loans placed on non-accrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled $3.89 million and $3.90 million for the three months ended June 30, 2026 and March 31, 2026, respectively.(2)Interest and fees on loans and investments exclude tax equivalent adjustments. Eagle Bancorp, Inc.Consolidated Average Balances, Interest Yields And Rates vs. Year Ago Quarter (Unaudited)(Dollars in thousands) Three Months Ended June 30, 2026 2025 Average Balance Interest Average
Yield/Rate Average Balance Interest Average
Yield/RateAssets Interest earning assets: Interest-bearing deposits with other banks and other short-term investments$1,226,640 $10,978 3.59% $1,377,966 $14,773 4.30%Loans held for sale(1) 40,356 910 9.04% 15,418 284 7.39%Loans(1) (2) 6,888,734 105,448 6.14% 7,942,333 124,939 6.31%Investment securities available-for-sale(2) 950,891 5,147 2.17% 1,233,206 6,491 2.11%Investment securities held-to-maturity(2) 830,921 4,096 1.98% 918,083 4,945 2.16%Total interest earning assets 9,937,542 126,579 5.11% 11,487,006 151,432 5.29% Noninterest earning assets 737,466 635,125 Less: allowance for credit losses (151,328) (133,036) Total noninterest earning assets 586,138 502,089 Total Assets$10,523,680 $11,989,095 Liabilities and Shareholders’ Equity Interest bearing liabilities: Interest-bearing transaction$1,447,015 $9,379 2.60% $1,489,056 $9,982 2.69%Savings and money market 3,194,094 24,139 3.03% 3,461,918 29,634 3.43%Time deposits 2,683,953 28,044 4.19% 3,367,907 39,296 4.68%Total interest bearing deposits 7,325,062 61,562 3.37% 8,318,881 78,912 3.80%Customer repurchase agreements — ——% 34,387 250 2.92%Derivative collateral liability 14,834 60 1.62% 12,710 118 3.72%Other short-term borrowings 60,440 583 3.87% 245,291 2,360 3.86%Long-term borrowings 76,566 2,024 10.60% 76,236 2,016 10.61%Total interest bearing liabilities 7,476,902 64,229 3.45% 8,687,505 83,656 3.86%Noninterest bearing liabilities: Noninterest bearing demand 1,760,058 1,907,214 Other liabilities 133,356 142,124 Total noninterest bearing liabilities 1,893,414 2,049,338 Shareholders' equity 1,153,364 1,252,252 Total Liabilities and Shareholders’ Equity$10,523,680 $11,989,095 Net interest income $62,350 $67,776 Net interest spread 1.66% 1.43%Net interest margin 2.52% 2.37%Cost of funds 2.79% 3.17% (1)Loans placed on non-accrual status are included in average balances. Net loan fees and late charges included in interest income on loans totaled $3.9 million and $3.6 million for the three months ended June 30, 2026 and 2025, respectively.(2)Interest and fees on loans and investments exclude tax equivalent adjustments. Eagle Bancorp, Inc.Statements of Operations and Highlights Quarterly Trends (Unaudited)(Dollars in thousands, except per share data) Three Months Ended June 30,
2026 March 31,
2026 December 31,
2025 September 30,
2025 June 30,
2025 March 31,
2025 December 31,
2024 September 30,
2024Income Statements: Total interest income$126,579 $131,901 $149,526 $150,103 $151,443 $153,878 $168,417 $173,813 Total interest expense 64,229 68,207 81,223 81,944 83,667 88,229 97,623 101,970 Net interest income 62,350 63,694 68,303 68,159 67,776 65,649 70,794 71,843 Provision for credit losses 21,448 13,382 15,468 113,215 138,159 26,255 12,132 10,094 Provision (reversal) for credit losses for unfunded commitments 8 (1,779) 203 (38) 1,759 (297) (1,598) (1,593)Net interest income after provision for credit losses 40,894 52,091 52,632 (45,018) (72,142) 39,691 60,260 63,342 Noninterest income before investment gain 10,493 12,705 12,183 4,477 8,268 8,203 4,063 6,948 Net gain (loss) on sale of investment securities 266 3 9 (1,982) (1,854) 4 4 3 Total noninterest income 10,759 12,708 12,192 2,495 6,414 8,207 4,067 6,951 Salaries and employee benefits 23,366 23,247 22,661 21,290 21,940 21,968 22,597 21,675 Premises and equipment expenses 2,445 2,533 2,861 2,944 3,019 3,203 2,635 2,794 Marketing and advertising 1,161 868 1,185 1,316 1,144 1,371 1,340 1,588 Legal Contingency (206) — 10,000 — — — — — Other expenses 17,262 22,092 33,130 16,347 17,367 18,909 17,960 17,557 Total noninterest expense 44,028 48,740 69,837 41,897 43,470 45,451 44,532 43,614 Income (loss) before income tax expense 7,625 16,059 (5,013) (84,420) (109,198) 2,447 19,795 26,679 Income tax expense 707 1,341 (2,574) (16,907) (39,423) 772 4,505 4,864 Net income (loss) 6,918 14,718 (2,439) (67,513) (69,775) 1,675 15,290 21,815 Per Share Data: Earnings (loss) per weighted average common share, basic$0.23 $0.48 $(0.08) $(2.22) $(2.30) $0.06 $0.51 $0.72 Earnings (loss) per weighted average common share, diluted$0.23 $0.48 $(0.08) $(2.22) $(2.30) $0.06 $0.50 $0.72 Weighted average common shares outstanding, basic 30,495,258 30,422,259 30,368,432 30,367,997 30,373,167 30,275,001 30,199,433 30,173,852 Weighted average common shares outstanding, diluted 30,570,105 30,540,379 30,584,374 30,367,997 30,510,847 30,404,262 30,321,644 30,241,699 Actual shares outstanding at period end 30,490,409 30,494,659 30,359,632 30,366,555 30,364,983 30,368,843 30,202,003 30,173,200 Book value per common share at period end$37.73 $37.56 $37.26 $37.00 $39.03 $40.99 $40.60 $40.61 Tangible book value per common share at period end(1)$37.73 $37.56 $37.26 $37.00 $39.03 $40.99 $40.59 $40.61 Dividend per common share$0.010 $0.010 $0.010 $0.010 $0.165 $0.165 $0.165 $0.165 Performance Ratios (annualized): Return on average assets 0.26% 0.54% (0.08) % (2.31) % (2.33) % 0.06% 0.48% 0.70%Return on average common equity 2.41% 5.20% (0.85) % (22.66) % (22.35) % 0.55% 4.94% 7.22%Return on average tangible common equity(1) 2.41% 5.20% (0.85) % (22.66) % (22.35) % 0.55% 4.94% 7.22%Net interest margin 2.52% 2.47% 2.38% 2.43% 2.37% 2.28% 2.29% 2.37%Efficiency ratio(2) 60.2% 63.8% 86.8% 59.3% 58.6% 61.5% 59.5% 55.4%Other Ratios: Allowance for credit losses to total loans(3) 1.83% 2.12% 2.19% 2.14% 2.38% 1.63% 1.44% 1.40%Allowance for credit losses to total non-performing loans 109.01% 114.29% 149.31% 131.67% 81.17% 64.59% 54.81% 83.25%Non-performing assets to total assets 1.17% 1.31% 1.04% 1.23% 2.16% 1.79% 1.90% 1.22%Net charge-offs (recoveries) (annualized) to average total loans(3) 2.78% 1.46% 0.67% 7.36% 4.22% 0.57% 0.48% 0.26%Tier 1 capital (to average assets) 11.22% 10.63% 9.72% 10.40% 10.63% 11.11% 10.74% 10.77%Total capital (to risk weighted assets) 15.84% 15.05% 14.33% 14.83% 15.27% 15.86% 15.86% 15.51%Common equity tier 1 capital (to risk weighted assets) 14.58% 13.80% 13.07% 13.58% 14.01% 14.61% 14.63% 14.30%Tangible common equity ratio(1) 11.91% 11.51% 10.78% 10.39% 11.18% 11.00% 11.02% 10.86%Average Balances (in thousands): Total assets$10,523,680 $11,029,930 $11,964,701 $11,597,399 $11,989,095 $12,118,190 $12,575,722 $12,360,899 Total earning assets 9,937,542 10,456,689 11,389,162 11,137,543 11,487,006 11,640,162 12,303,940 12,072,891 Total loans(3) 6,888,734 7,112,483 7,338,320 7,648,459 7,942,333 7,933,695 7,971,907 8,026,524 Total deposits 9,085,120 9,652,007 10,590,252 10,163,215 10,226,095 9,883,233 10,056,463 9,344,414 Total borrowings 137,006 76,483 83,056 131,225 355,914 794,940 1,118,276 1,654,736 Total shareholders' equity 1,153,364 1,147,585 1,140,402 1,182,148 1,252,252 1,242,805 1,230,573 1,201,477 (1)A reconciliation of non-GAAP financial measures to the nearest GAAP measure is provided in the tables that accompany this document.(2)Computed by dividing noninterest expense by the sum of net interest income and noninterest income.(3)Excludes loans held for sale. GAAP Reconciliation to Non-GAAP Financial Measures (unaudited)(dollars in thousands, except per share data) Three Months Ended June 30,March 31,June 30, 2026 2026 2025 Tangible common equity Common shareholders' equity$1,150,506 $1,145,277 $1,185,067 Less: Intangible assets — — (9)Tangible common equity$1,150,506 $1,145,277 $1,185,058 Tangible common equity ratio Total assets$9,658,914 $9,954,281 $10,601,331 Less: Intangible assets — — (9)Tangible assets$9,658,914 $9,954,281 $10,601,322 Tangible common equity ratio 11.91% 11.51% 11.18% Per share calculations Book value per common share$37.73 $37.56 $39.03 Less: Intangible book value per common share$— $— $— Tangible book value per common share$37.73 $37.56 $39.03 Shares outstanding at period end 30,490,409 30,494,659 30,364,983 Average tangible common equity Average common shareholders' equity$1,153,364 $1,147,585 $1,252,252 Less: Average intangible assets — — (11)Average tangible common equity$1,153,364 $1,147,585 $1,252,241 Return on average tangible common equity Net (loss) income$6,918 $14,718 $(69,775)Return on average tangible common equity 2.41% 5.20% (22.35) % Pre-provision net revenue Net interest income$62,350 $63,694 $67,776 Noninterest income 10,759 12,708 6,414 Less: Noninterest expense (44,028) (48,740) (43,470)Pre-provision net revenue$29,081 $27,662 $30,720 Tangible common equity, tangible common equity to tangible assets (the "tangible common equity ratio"), tangible book value per common share, average tangible common equity, and the annualized return on average tangible common equity are non-GAAP financial measures derived from GAAP based amounts. The Company calculates the tangible common equity ratio by excluding the balance of intangible assets from common shareholders' equity, or tangible common equity, and dividing by tangible assets. The Company calculates tangible book value per common share by dividing tangible common equity by common shares outstanding, as compared to book value per common share, which the Company calculates by dividing common shareholders' equity by common shares outstanding. The Company calculates the annualized return on average tangible common equity ratio by dividing net income available to common shareholders by average tangible common equity, which is calculated by excluding the average balance of intangible assets from the average common shareholders' equity. The Company considers this information important to shareholders as tangible equity is a measure that is consistent with the calculation of capital for bank regulatory purposes, which excludes intangible assets from the calculation of risk based ratios, and as such is useful for investors, regulators, management and others to evaluate capital adequacy and to compare against other financial institutions.
Pre-provision net revenue is a non-GAAP financial measure calculated by subtracting noninterest expenses from the sum of net interest income and noninterest income. The Company considers this information important to shareholders because it illustrates revenue excluding the impact of provisions and reversals to the allowance for credit losses on loans.
For the June 30, 2026 Earnings Presentation, click FINAL - 2Q2026 EGBN Earnings DECK.
EAGLE BANCORP, INC.
CONTACT:
Eric R. Newell
240.497.1796
, /PRNewswire/ -- NB Bancorp, Inc. (the "Company") (Nasdaq Capital Market: NBBK), the holding company of Needham Bank (the "Bank"), today announced its second quarter 2026 financial results.
Net income for the second quarter of 2026 amounted to $21.1 million, or $0.53 per diluted common share, compared to net income of $15.0 million, or $0.36 per diluted common share, for the prior quarter. Return on average assets and return on average equity for the second quarter of 2026 were 1.17% and 10.03%, respectively, increases from 0.87% and 7.05%, respectively, for the prior quarter. Operating net income(1) for the second quarter of 2026 increased 38.5% and amounted to $21.9 million, or $0.55 per diluted common share, compared to operating net income(1) of $15.8 million, or $0.38 per diluted common share, for the prior quarter. Operating return on average assets(1) and operating return on average equity(1) for the second quarter of 2026 were 1.21% and 10.39%, respectively, increases from 0.92% and 7.43%, respectively, for the prior quarter. Net interest margin expanded by 7 basis points to 4.00% from 3.93% in the prior quarter as total loans increased 3.4% while total deposits increased 3.7% during the quarter. Net interest margin, excluding purchase accounting adjustments(1), expanded by 5 basis points to 3.87% during the current quarter from 3.82% in the prior quarter. Efficiency ratio improved to 58.92% from 61.55% in the prior quarter, while operating efficiency ratio(1) improved to 57.66% from 60.06% in the prior quarter. Net charge-offs (annualized) as a percent of average loans declined to 0.07% from 0.91% in the prior quarter. Non-performing loans as a percent of total loans decreased to 0.43% at the end of the second quarter from 0.73% at the end of the prior quarter. "The second quarter of 2026 displayed Needham Bank's continued execution of our strategy for disciplined growth in market share as total loans increased 3.4% during the quarter, while total deposits increased 3.7% over the same period. Through the first half of 2026, total loans and total deposits have increased by 15.0% and 15.9% on an annualized basis, while operating EPS increased 24%, respectively. Our teams remained focused on executing our strategic priorities and investing in the infrastructure, technology, and operating capabilities needed to support continued profitable growth. This included targeted investments in artificial intelligence, improved internal systems and automation tools designed to enhance internal efficiency, scalability, and employee effectiveness. We are well positioned to continue to enhance the customer experience and grow market share, while improving long-term operating leverage. The dedication and collaboration of our employees continue to be defining strengths for Needham Bank. As we invest thoughtfully in technology, artificial intelligence, and operational capabilities, while maintaining strong credit performance and disciplined growth, we are building a more scalable and efficient organization that is well-positioned to deliver long-term value for our customers, communities, and shareholders," Campanelli concluded.
Declaration of Dividend
The Board of Directors declared a quarterly cash dividend of $0.07 per share, payable on August 19, 2026, to shareholders of record as of August 5, 2026.
SELECTED FINANCIAL HIGHLIGHTS FOR THE SECOND QUARTER OF 2026
Net income of $21.1 million, or $0.53 per diluted common share, compared to net income of $15.0 million, or $0.36 per diluted common share, for the prior quarter. Operating net income(1), excluding one-time charges, amounted to $21.9 million, or $0.55 per diluted common share, compared to operating net income(1) of $15.8 million, or $0.38 per diluted common share, for the prior quarter. Operating return on average assets increased to 1.21% from 0.92%, operating return on average equity increased to 10.39% from 7.43% and net interest margin expanded to 4.00% from 3.93%. Credit trends from the BankProv acquisition improved during the quarter, where net charge-offs to average loans decreased to 0.07% from 0.91% and non-performing assets to total assets decreased to 0.37% from 0.63% One-time pre-tax charges during the current quarter include:
Non-recurring fees for business line expansion of $649 thousand ($499 thousand net of tax); Final merger and acquisition costs of $296 thousand ($227 thousand net of tax) related to the Company's acquisition of Provident; and Tax expense and a modified endowment contract penalty of $27 thousand related to the surrender of Bank-owned life insurance ("BOLI") policies acquired from BankProv. One-time pre-tax charges during the prior quarter include:
Pre-tax trailing merger and acquisition costs of $534 thousand ($390 thousand net of tax) related to the Company's completed acquisition of Provident; Non-recurring fees for business line expansion of $500 thousand ($366 thousand net of tax); and Tax expense and a modified endowment contract penalty of $50 thousand related to the surrender of BOLI policies acquired from BankProv. Net interest margin expanded by 7 basis points to 4.00% during the current quarter from 3.93% in the prior quarter. Net interest margin, excluding purchase accounting adjustments(1), expanded by 5 basis points to 3.87% during the current quarter from 3.82% in the prior quarter. Gross loans increased $213.0 million, or 3.4%, to $6.42 billion, from $6.21 billion in the prior quarter. Total deposits increased $222.9 million, or 3.7%, to $6.32 billion, from $6.10 billion in the prior quarter. Core deposits, which the Company considers to be all non-brokered deposits, increased $73.1 million, or 1.3%, to $5.60 billion, from $5.53 billion in the prior quarter. Brokered deposits increased $149.8 million, or 26.3%, to $719.9 million, from $570.1 million in the prior quarter. Book value per share and tangible book value per share(1) were $19.22 and $18.51, respectively, in the current quarter, compared to $18.83 and $18.11, respectively, in the prior quarter. The increase in tangible book value per share(1) was a result of $21.1 million in net income for the quarter, partially offset by the repurchase of 918,727 shares during the current quarter at an all-in weighted average cost of $20.13 per share and $3.1 million in dividends paid during the quarter. BALANCE SHEET
Total assets amounted to $7.45 billion as of June 30, 2026, representing an increase of $220.2 million, or 3.0%, from $7.23 billion as of March 31, 2026.
Cash and cash equivalents increased $24.6 million, or 6.5%, to $400.2 million from $375.6 million in the prior quarter, as a result of net income earned during the quarter of $21.1 million, along with deposit growth of $222.9 million, partially offset by loan growth of $211.1 million and the repurchase of 918,727 shares during the current quarter at an all-in weighted average cost of $20.13 per share. Net loans increased $211.1 million, or 3.4%, to $6.34 billion, from $6.13 billion in the prior quarter as demand for new loan originations and advances continued. The current quarter change was primarily seen in commercial real estate loans, which increased $196.7 million, or 10.2%, residential real estate loans, which increased $45.0 million, or 3.4%, and multi-family residential loans, which increased $29.6 million, or 5.5%, partially offset by mortgage warehouse loans, which decreased $59.5 million, or 21.5% along with continued run-off of the acquired Enterprise Value portfolio, which decreased $29.5 million, or 18.5%, from the prior quarter. Deposits increased $222.9 million, or 3.7%, to $6.32 billion from $6.10 billion in the prior quarter. The change in deposits was the result of noninterest bearing demand deposits, which increased $80.8 million, or 9.3%, NOW accounts, which increased $61.8 million, or 8.9% and brokered deposits, which increased $149.8 million, or 26.3%, partially offset by money market accounts, which decreased $77.4 million, or 4.4%. Shareholders' equity decreased $776 thousand, or 0.1%, to $842.0 million, from $842.8 million in the prior quarter, primarily as a result of the repurchase of 918,727 shares of common stock at an all-in weighted average cost of $20.13 per share totaling $18.5 million and $3.1 million in dividends paid during the current quarter, partially offset by net income of $21.1 million. Shareholders' equity to total assets and tangible shareholders' equity(1) to tangible assets were 11.3% and 10.9%, respectively, at the end of the current quarter, compared to 11.7% and 11.3%, respectively, at the end of the prior quarter. NET INTEREST INCOME
Net interest income increased $4.3 million, or 6.6%, to $69.1 million for the current quarter, compared to $64.9 million for the prior quarter. Net interest margin expanded 7 basis points to 4.00% for the current quarter, from 3.93% in the prior quarter.
Interest income increased during the current quarter, primarily attributable to an increase in the average balance of and weighted average rate on loans as a result of the continued execution of our growth strategy, partially offset by a reduction in the average balance of and weighted average rate on short-term investments. Interest expense increased for the current quarter, primarily driven by increases in the average balances of certificates of deposit and individual retirement accounts and FHLB borrowings, partially offset by a decrease in the weighted average rate on certificates of deposit and individual retirement accounts. PROVISION FOR CREDIT LOSSES
Provision for credit losses decreased $3.1 million, or 49.5%, to a provision for credit losses of $3.2 million for the current quarter, compared to a provision for credit losses of $6.3 million for the prior quarter.
The provision for credit losses on loans decreased $3.4 million, or 53.1%, to $3.0 million for the current quarter, compared to $6.4 million for the prior quarter, primarily driven by an $822 thousand recovery from a commercial and industrial loan, improved qualitative factors on commercial real estate and multi-family loans and no downgrades in qualitative factors, which existed in the prior quarter. The provision for credit losses on unfunded commitments increased $253 thousand, or 468.5%, to $199 thousand for the current quarter, compared to a release of $54 thousand for the prior quarter, primarily driven by an increase in net unfunded commitments in the current quarter. NONINTEREST INCOME
Noninterest income increased $1.0 million, or 23.2%, to $5.6 million for the current quarter, compared to $4.5 million for the prior quarter.
Customer service fees increased $550 thousand, or 17.6%, to $3.7 million for the current quarter, compared to $3.1 million in the prior quarter due to increased loan fee income, cash management fees and customer transactional volume. Other income increased $315 thousand, or 150.0%, to $525 thousand for the current quarter, compared to $210 thousand in the prior quarter, primarily driven by $229 thousand of credit card branding and marketing income recognized during the quarter, along with higher preferred dividends from solar tax credit investments. Gain (loss) on sale of loans, net, increased $228 thousand to a $227 thousand gain in the current quarter, compared to a $1 thousand loss in the prior quarter, resulting from the improvement in the fair market value of consumer loans held for sale during the current quarter. NONINTEREST EXPENSE
Noninterest expense increased $1.3 million, or 3.1%, to $44.0 million for the current quarter, compared to $42.7 million for the prior quarter.
Marketing and charitable contribution expenses increased $497 thousand, or 48.1%, to $1.5 million for the current quarter, compared to $1.0 million for the prior quarter, primarily resulting from advertising expenses related to customer events and branch openings, as well as a higher volume of Bank contributions to charities during the current quarter. Data processing expenses increased $460 thousand, or 10.4%, to $4.9 million for the current quarter, compared to $4.4 million for the prior quarter, primarily driven by our continued investment in technology and systems in support of upcoming revenue initiatives, requiring the operation of systems in parallel for a period of time while new systems are implemented. FDIC and state insurance assessment expenses increased $432 thousand, or 37.5%, to $1.6 million for the current quarter, compared to $1.2 million for the prior quarter, primarily driven by increased insurance assessments related to the BankProv acquisition. INCOME TAXES
Income tax expense increased $1.0 million, or 18.7%, to $6.4 million for the current quarter, compared to $5.4 million for the prior quarter. The increase was primarily driven by the increase in net income during the current quarter. The effective tax rate and the operating effective tax rate(1) were 23.2% and 23.1%, respectively, for the current quarter, compared to 26.4% and 26.2%, respectively, for the prior quarter. The primary drivers of the decrease in the effective tax rate were a higher volume of earned income tax credits and tax-exempt interest income on loans due to the origination of a tax-exempt loan at the end of the prior quarter.
COMMERCIAL REAL ESTATE PORTFOLIO
Commercial real estate loans increased $226.2 million, or 9.2%, to $2.69 billion, during the current quarter.
Cannabis facility commercial real estate loans decreased $3.7 million, or 1.7%, to $210.1 million during the current quarter. The Company's cannabis facility commercial real estate portfolio is secured entirely by the underlying commercial real estate of the borrower operation, in addition to, in most cases, a lien on all business assets. The vast majority of the cannabis facility loan portfolio balances have a loan-to-value ratio of 65% or lower, with appraisal reports taking a blended approach (using both cannabis and non-cannabis use comparable real estate sales, which we believe are generally more conservative). The cannabis facility portfolio has geographic dispersion, with lower dollar exposure loans remaining local and larger dollar exposure loans generally tied to multi-state operators with a more national footprint. All cannabis facility loan relationships were current at the end of the current quarter. The Company's multi-family real estate loan portfolio increased $29.6 million, or 5.5%, during the current quarter to $567.7 million. The Company's multi-family real estate loan portfolio consists of properties primarily located in the Greater Boston area, all of which are adjustable-rate loans and performing at the end of the current quarter. The Company's $335.7 million office portfolio consists principally of suburban Class A and B office space used as medical and traditional offices. The portfolio does not consist of high-rise towers located in Boston and are performing at the end of the current quarter. ASSET QUALITY
The allowance for credit losses ("ACL") amounted to $82.1 million as of June 30, 2026, or 1.28% of total loans, compared to $80.2 million, or 1.29% of total loans as of March 31, 2026. The Company recorded a provision for credit losses of $3.2 million during the current quarter, which included a provision for credit losses on loans of $3.0 million and a provision of $199 thousand for unfunded commitments, compared to a provision for credit losses of $6.3 million during the prior quarter, which included a provision for credit losses on loans of $6.4 million and a release of provision of $54 thousand for unfunded commitments. The increase in the ACL for the current quarter was primarily driven by loan growth. Non-performing loans ("NPLs") decreased $17.9 million, or 39.3%, to $27.7 million as of June 30, 2026, from $45.6 million at the end of the prior quarter. The decrease was primarily due to the decrease in commercial and industrial loans on non-accrual of $18.4 million, resulting from improved performance or workouts. The ACL as a percent of NPLs is 297% as of June 30, 2026, an increase from 176% at the end of the prior quarter. During the current quarter, the Company recorded total net charge-offs of $1.1 million, or 0.07% of average total loans on an annualized basis, which related to non-purchase-credit-deteriorated ("PCD") loans, compared to net charge-offs of $13.6 million, or 0.91% of average total loans on an annualized basis, in the prior quarter. The $12.4 million decrease in net charge-offs during the current quarter was primarily a result of prior quarter charge-offs on previously fully reserved for PCD commercial and industrial loans. As part of its ongoing credit risk management framework and prudent oversight, the Company periodically reviews lending relationships across all portfolios to ensure alignment with its risk appetite, regulatory expectations, and evolving market conditions. The Company's loan portfolio consists primarily of commercial real estate and multi-family loans, one-to-four-family residential real estate loans, construction and land development loans, commercial and industrial loans, mortgage warehouse loans and consumer loans. These loans are primarily made to individuals and businesses located in our primary lending market area, which is the Greater Boston metropolitan area and surrounding communities in greater New England. (1)
Represents a non-GAAP measure. See Non-GAAP reconciliation of the corresponding GAAP measures on pages 13 and 14.
ABOUT NB BANCORP, INC.
NB Bancorp, Inc. (Nasdaq Capital Market: NBBK) is the registered bank holding company of Needham Bank. Needham Bank is headquartered in Needham, Massachusetts, which is approximately 17 miles southwest of Boston's financial district. Known as the "Builder's Bank," Needham Bank has been helping individuals, businesses and non-profits build for their futures since 1892. Needham Bank offers an array of tech-forward products and services that businesses and consumers use to manage their financial needs. Needham Bank also provides services to companies in the cannabis industry by providing loans and deposits, along with supporting payment platforms in this industry, such as Mosaic.
We have the financial expertise typically found at much larger institutions and the local knowledge and commitment you can only find at a community bank. For more information, please visit https://NeedhamBank.com. Needham Bank is a member of FDIC.
Non-GAAP Financial Measures
In addition to results presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"), this press release contains certain non-GAAP financial measures, including pre-provision net revenue, operating net income, operating pre-tax income, net interest margin, excluding purchase accounting adjustments, operating noninterest expense, operating noninterest income, operating effective tax rate, operating earnings per share, basic, operating earnings per share, diluted, operating return on average assets, operating return on average shareholders' equity, operating efficiency ratio, tangible shareholders' equity, tangible assets and tangible book value per share. The Company's management believes that the supplemental non-GAAP information is utilized by regulators and market analysts to evaluate a Company's financial condition and therefore, such information is useful to investors. These disclosures should not be viewed as a substitute for financial results determined in accordance with GAAP, nor are they necessarily comparable to non-GAAP performance measures that may be presented by other companies. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names.
Forward-Looking Statements
Statements in this press release that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
We may also make forward-looking statements in other documents we file with the Securities and Exchange Commission (the "SEC"), in our annual reports to our stockholders, in press releases and other written materials, and in oral statements made by our officers, directors or employees. You can identify forward-looking statements by the use of the words "believe," "expect," "anticipate," "intend," "estimate," "assume," "outlook," "will," "should," and other expressions that predict or indicate future events and trends and which do not relate to historical matters. Although the Company believes that these forward-looking statements are based on reasonable estimates and assumptions, they are not guarantees of future performance and are subject to known and unknown risks, uncertainties, and other factors. You should not place undue reliance on our forward-looking statements. You should exercise caution in interpreting and relying on forward-looking statements because they are subject to significant risks, uncertainties and other factors which are, in some cases, beyond the Company's control. The Company's actual results could differ materially from those projected in the forward-looking statements as a result of, among other factors, changes in general business and economic conditions on a national basis and in the local markets in which the Company operates, including changes which adversely affect borrowers' ability to service and repay loans; changes in customer behavior due to political, business and economic conditions, including inflation and concerns about liquidity; turbulence in the capital and debt markets; reductions in net interest income resulting from interest rate volatility as well as changes in the balances and mix of loans and deposits; changes in interest rates and real estate values; changes in loan collectability and increases in defaults and charge-off rates; decreases in the value of securities and other assets, adequacy of credit loss reserves, or deposit levels necessitating increased borrowing to fund loans and investments; risks related to the Company's acquisitions generally, including disruption to current plans and operations; difficulties in customer and employee retention; fees, expenses and charges related to these transactions being significantly higher than anticipated; unforeseen integration issues or impairment of other intangibles; and the Company's inability to achieve expected revenues, cost savings, synergies, and other benefits at levels or within the timeframes originally anticipated; changing government regulation; competitive pressures from other financial institutions; changes in legislation or regulation and accounting principles, policies and guidelines; cybersecurity incidents, fraud, natural disasters, and future pandemics; the risk that the Company may not be successful in the implementation of its business strategy; the risk that intangibles recorded in the Company's financial statements will become impaired; changes in assumptions used in making such forward-looking statements; and the other risks and uncertainties detailed in the Company's Form 10-K and updated by our Quarterly Report on Form 10-Q and other filings submitted to the SEC. These statements speak only as of the date of this release and the Company does not undertake any obligation to update or revise any of these forward-looking statements to reflect events or circumstances occurring after the date of this communication or to reflect the occurrence of unanticipated events.
NB BANCORP, INC.
SELECTED FINANCIAL HIGHLIGHTS
(Unaudited)
(Dollars in thousands, except per share data)
As of and for the three months ended
June 30, 2026
March 31, 2026
June 30, 2025
Earnings data
Net interest income
$
69,145
$
64,868
$
47,007
Noninterest income
5,559
4,513
4,278
Total revenue
74,704
69,381
51,285
Provision for credit losses
3,193
6,328
3,161
Noninterest expense
44,017
42,701
29,405
Pre-tax income
27,494
20,352
18,719
Net income
21,123
14,984
14,579
Operating net income (non-GAAP)
21,877
15,791
15,043
Operating noninterest expense (non-GAAP)
43,072
41,667
28,875
Per share data
Earnings per share, basic
$
0.53
$
0.37
$
0.39
Earnings per share, diluted
0.53
0.36
0.39
Operating earnings per share, basic (non-GAAP)
0.55
0.39
0.40
Operating earnings per share, diluted (non-GAAP)
0.55
0.38
0.40
Book value per share
19.22
18.83
18.09
Tangible book value per share (non-GAAP)
18.51
18.11
18.07
Profitability
Return on average assets
1.17 %
0.87 %
1.13 %
Operating return on average assets (non-GAAP)
1.21 %
0.92 %
1.16 %
Return on average shareholders' equity
10.03 %
7.05 %
7.84 %
Operating return on average shareholders' equity (non-GAAP)
10.39 %
7.43 %
8.09 %
Net interest margin
4.00 %
3.93 %
3.82 %
Net interest margin, excluding purchase accounting adjustments
(Dollars in thousands, except share and per share data)
As of
June 30, 2026 change from
June 30, 2026
March 31, 2026
June 30, 2025
March 31, 2026
June 30, 2025
Assets
Cash and due from banks
$
372,522
$
327,951
$
157,175
$
44,571
13.6 %
$
215,347
137.0 %
Federal funds sold
27,632
47,618
101,587
(19,986)
(42.0) %
(73,955)
(72.8) %
Total cash and cash equivalents
400,154
375,569
258,762
24,585
6.5 %
141,392
54.6 %
Available-for-sale securities, at fair value
272,640
277,241
235,408
(4,601)
(1.7) %
37,232
15.8 %
Loans held for sale, at fair value
59,927
63,971
-
(4,044)
(6.3) %
59,927
0.0 %
Loans receivable, net of deferred fees
6,422,894
6,209,910
4,540,969
212,984
3.4 %
1,881,925
41.4 %
Allowance for credit losses
(82,088)
(80,195)
(42,601)
(1,893)
2.4 %
(39,487)
92.7 %
Net loans
6,340,806
6,129,715
4,498,368
211,091
3.4 %
1,842,438
41.0 %
Accrued interest receivable
28,898
27,150
20,386
1,748
6.4 %
8,512
41.8 %
Banking premises and equipment, net
49,298
47,335
34,289
1,963
4.1 %
15,009
43.8 %
Non-public investments
42,029
40,738
35,767
1,291
3.2 %
6,262
17.5 %
Bank-owned life insurance ("BOLI")
97,370
110,586
55,711
(13,216)
(12.0) %
41,659
74.8 %
Prepaid expenses and other assets
69,228
67,749
57,277
1,479
2.2 %
11,951
20.9 %
Goodwill
18,512
18,512
-
-
0.0 %
18,512
0.0 %
Core deposit intangible, net
17,519
18,411
1,005
(892)
(4.8) %
16,514
1643.2 %
Deferred income tax asset, net
50,499
49,672
29,645
827
1.7 %
20,854
70.3 %
Total assets
$
7,446,880
$
7,226,649
$
5,226,618
$
220,231
3.0 %
$
2,220,262
42.5 %
Liabilities and shareholders' equity
Deposits
Core deposits
$
5,600,238
$
5,527,148
$
4,013,955
$
73,090
1.3 %
$
1,586,283
39.5 %
Brokered deposits
719,852
570,052
254,160
149,800
26.3 %
465,692
183.2 %
Total deposits
6,320,090
6,097,200
4,268,115
222,890
3.7 %
2,051,975
48.1 %
Mortgagors' escrow accounts
4,420
4,858
4,117
(438)
(9.0) %
303
7.4 %
Federal Home Loan Bank ("FHLB") borrowings
181,247
189,701
127,600
(8,454)
(4.5) %
53,647
42.0 %
Accrued expenses and other liabilities
77,549
70,983
68,235
6,566
9.3 %
9,314
13.6 %
Accrued retirement liabilities
21,572
21,129
21,429
443
2.1 %
143
0.7 %
Total liabilities
6,604,878
6,383,871
4,489,496
221,007
3.5 %
2,115,382
47.1 %
Shareholders' equity:
Preferred stock, $0.01 par value, 5,000,000 shares authorized; no shares
issued and outstanding
-
-
-
-
0.0 %
-
0.0 %
Common stock, $0.01 par value, 120,000,000 shares authorized; 43,818,490 issued and
outstanding at June 30, 2026, 44,765,178 issued and outstanding at March 31, 2026
and 40,748,380 issued and outstanding at June 30, 2025
438
448
407
(10)
(2.2) %
31
7.6 %
Additional paid-in capital
415,841
432,858
358,793
(17,017)
(3.9) %
57,048
15.9 %
Unallocated common shares held by the Employee Stock Ownership Plan ("ESOP")
(41,285)
(41,873)
(43,643)
588
(1.4) %
2,358
(5.4) %
Retained earnings
474,970
456,978
427,707
17,992
3.9 %
47,263
11.1 %
Accumulated other comprehensive loss
(7,962)
(5,633)
(6,142)
(2,329)
41.3 %
(1,820)
29.6 %
Total shareholders' equity
842,002
842,778
737,122
(776)
(0.1) %
104,880
14.2 %
Total liabilities and shareholders' equity
$
7,446,880
$
7,226,649
$
5,226,618
$
220,231
3.0 %
$
2,220,262
42.5 %
NB BANCORP, INC.
CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
(Dollars in thousands, except share and per share data)
Three Months Ended June 30, 2026
For the Three Months Ended
Change From Three Months Ended
June 30, 2026
March 31, 2026
June 30, 2025
March 31, 2026
June 30, 2025
INTEREST AND DIVIDEND INCOME
Interest and fees on loans
$
106,574
$
100,042
$
74,719
$
6,532
6.5 %
$
31,855
42.6 %
Interest on securities
2,758
2,708
2,307
50
1.8 %
451
19.5 %
Interest and dividends on cash equivalents and other
2,460
2,936
2,822
(476)
(16.2) %
(362)
(12.8) %
Total interest and dividend income
111,792
105,686
79,848
6,106
5.8 %
31,944
40.0 %
INTEREST EXPENSE
Interest on deposits
40,686
39,579
31,690
1,107
2.8 %
8,996
28.4 %
Interest on borrowings
1,961
1,239
1,151
722
58.3 %
810
70.4 %
Total interest expense
42,647
40,818
32,841
1,829
4.5 %
9,806
29.9 %
NET INTEREST INCOME
69,145
64,868
47,007
4,277
6.6 %
22,138
47.1 %
PROVISION FOR CREDIT LOSSES
Provision for credit losses - loans
2,994
6,382
4,244
(3,388)
(53.1) %
(1,250)
(29.5) %
Provision for (release of) credit losses - unfunded commitments
199
(54)
(1,083)
253
468.5 %
1,282
(118.4) %
Total provision for credit losses
3,193
6,328
3,161
(3,135)
(49.5) %
32
1.0 %
NET INTEREST INCOME AFTER
PROVISION FOR CREDIT LOSSES
65,952
58,540
43,846
7,412
12.7 %
22,106
50.4 %
NONINTEREST INCOME
Customer service fees
3,681
3,131
2,554
550
17.6 %
1,127
44.1 %
Increase in cash surrender value of BOLI
962
853
787
109
12.8 %
175
22.2 %
Mortgage banking income
92
119
120
(27)
(22.7) %
(28)
(23.3) %
Swap contract income
72
201
524
(129)
(64.2) %
(452)
(86.3) %
Gain (loss) on sale of loans, net
227
(1)
21
228
22800.0 %
206
981.0 %
Other income
525
210
272
315
150.0 %
253
93.0 %
Total noninterest income
5,559
4,513
4,278
1,046
23.2 %
1,281
29.9 %
NONINTEREST EXPENSE
Salaries and employee benefits
25,549
25,468
18,567
81
0.3 %
6,982
37.6 %
Director and professional service fees
3,816
4,049
2,943
(233)
(5.8) %
873
29.7 %
Occupancy and equipment expenses
2,468
2,491
1,465
(23)
(0.9) %
1,003
68.5 %
Data processing expenses
4,899
4,439
2,493
460
10.4 %
2,406
96.5 %
Marketing and charitable contribution expenses
1,530
1,033
954
497
48.1 %
576
60.4 %
FDIC and state insurance assessments
1,584
1,152
883
432
37.5 %
701
79.4 %
General and administrative expenses
4,171
4,069
2,100
102
2.5 %
2,071
98.6 %
Total noninterest expense
44,017
42,701
29,405
1,316
3.1 %
14,612
49.7 %
INCOME BEFORE TAXES
27,494
20,352
18,719
7,142
35.1 %
8,775
46.9 %
INCOME TAX EXPENSE
6,371
5,368
4,140
1,003
18.7 %
2,231
53.9 %
NET INCOME
$
21,123
$
14,984
$
14,579
$
6,139
41.0 %
$
6,544
44.9 %
Weighted average common shares outstanding, basic
39,693,140
40,969,748
37,191,460
(1,276,608)
(3.1) %
2,501,680
6.7 %
Weighted average common shares outstanding, diluted
40,000,305
41,421,002
37,550,409
(1,420,697)
(3.4) %
2,449,896
6.5 %
Earnings per share, basic
$
0.53
$
0.37
$
0.39
$
0.16
43.2 %
$
0.14
35.9 %
Earnings per share, diluted
$
0.53
$
0.36
$
0.39
$
0.17
47.2 %
$
0.14
35.9 %
NB BANCORP, INC.
AVERAGE BALANCES, INTEREST EARNED/PAID & AVERAGE YIELDS
(Unaudited)
(Dollars in thousands)
For the Three Months Ended
June 30, 2026
March 31, 2026
June 30, 2025
Average
Average
Average
Outstanding
Average
Outstanding
Average
Outstanding
Average
Balance
Interest
Yield/Rate (4)
Balance
Interest
Yield/Rate (4)
Balance
Interest
Yield/Rate (4)
Interest-earning assets:
Loans (5)
$
6,377,025
$
106,574
6.70
%
$
6,090,227
$
100,042
6.66
%
$
4,479,479
$
74,719
6.69
%
Securities
279,196
2,758
3.96
%
273,308
2,708
4.02
%
232,812
2,307
3.97
%
Other investments (5)
34,301
612
7.16
%
28,275
265
3.80
%
28,525
605
8.51
%
Short-term investments (5)
237,667
1,848
3.12
%
295,394
2,671
3.67
%
200,524
2,217
4.43
%
Total interest-earning assets
6,928,189
111,792
6.47
%
6,687,204
105,686
6.41
%
4,941,340
79,848
6.48
%
Non-interest-earning assets
394,611
375,966
277,915
Allowance for credit losses
(81,276)
(88,102)
(39,931)
Total assets
$
7,241,524
$
6,975,068
$
5,179,324
Interest-bearing liabilities:
Savings accounts
$
210,544
324
0.62
%
$
207,681
263
0.51
%
$
119,736
134
0.45
%
NOW accounts
701,167
2,265
1.30
%
639,347
2,006
1.27
%
469,472
1,259
1.08
%
Money market accounts
1,699,366
12,783
3.02
%
1,711,672
12,732
3.02
%
1,090,163
9,062
3.33
%
Certificates of deposit and individual retirement accounts
2,595,290
25,314
3.91
%
2,497,213
24,578
3.99
%
1,964,678
21,235
4.34
%
Total interest-bearing deposits
5,206,367
40,686
3.13
%
5,055,913
39,579
3.17
%
3,644,049
31,690
3.49
%
FHLB borrowings
209,002
1,961
3.76
%
135,441
1,239
3.71
%
103,406
1,151
4.46
%
Total interest-bearing liabilities
5,415,369
42,647
3.16
%
5,191,354
40,818
3.19
%
3,747,455
32,841
3.52
%
Non-interest-bearing deposits
883,487
824,839
593,136
Other non-interest-bearing liabilities
98,225
97,370
93,063
Total liabilities
6,397,081
6,113,563
4,433,654
Shareholders' equity
844,443
861,505
745,670
Total liabilities and shareholders' equity
$
7,241,524
$
6,975,068
$
5,179,324
Net interest income
$
69,145
$
64,868
$
47,007
Net interest rate spread (1)
3.31
%
3.22
%
2.96
%
Net interest-earning assets (2)
$
1,512,820
$
1,495,850
$
1,193,885
Net interest margin (3)
4.00
%
3.93
%
3.82
%
Average interest-earning assets to interest-bearing liabilities
127.94
%
128.81
%
131.86
%
(1)
Net interest rate spread represents the difference between the weighted average yield on interest-earning assets and the weighted average rate of interest-bearing liabilities.
(2)
Net interest-earning assets represent total interest-earning assets less total interest-bearing liabilities.
(3)
Net interest margin represents net interest income divided by average total interest-earning assets.
(4)
Annualized.
(5)
Loans include loans held for sale, at fair value. Other investments are comprised of Federal Reserve Bank stock, FHLB stock and swap collateral accounts. Short-term investments are comprised of cash and cash equivalents.
NB BANCORP, INC.
COMMERCIAL REAL ESTATE BY COLLATERAL TYPE
(Unaudited)
(Dollars in thousands)
June 30, 2026
Owner-Occupied
Non-Owner-Occupied
Balance
Percentage
Multi-Family
$
—
$
567,722
$
567,722
20 %
Industrial
185,270
163,112
348,382
13 %
Office
44,635
291,110
335,745
12 %
Hospitality
41,266
247,242
288,508
11 %
Mixed-Use
22,408
225,392
247,800
9 %
Retail
126,323
109,201
235,524
9 %
Cannabis Facility
201,153
8,913
210,066
8 %
Special Purpose
84,655
69,837
154,492
6 %
Recreational Vehicle Parks
13,255
65,162
78,417
3 %
Self Storage Facilities
—
71,147
71,147
3 %
Other
87,282
64,164
151,446
6 %
Total commercial real estate
$
806,247
$
1,883,002
$
2,689,249
100 %
Change From March 31, 2026
Change From June 30, 2025
Owner-Occupied
Non-Owner-Occupied
Balance
Percentage
Owner-Occupied
Non-Owner-Occupied
Balance
Percentage
Multi-Family
$
—
$
29,558
$
29,558
5 %
$
—
$
250,977
$
250,977
79 %
Industrial
55,111
6,772
61,883
22 %
98,479
50,105
148,584
74 %
Office
2,706
(2,552)
154
0 %
18,478
110,801
129,279
63 %
Hospitality
1,996
(11,711)
(9,715)
(3) %
41,266
75,083
116,349
68 %
Mixed-Use
(922)
24,693
23,771
11 %
14,765
65,014
79,779
47 %
Retail
73,112
(5,164)
67,948
41 %
86,769
22,358
109,127
86 %
Cannabis Facility
(3,613)
(85)
(3,698)
(2) %
(54,604)
(6,185)
(60,789)
(22) %
Special Purpose
(2,298)
8,159
5,861
4 %
6,535
12,860
19,395
14 %
Recreational Vehicle Parks
(125)
13,159
13,034
20 %
13,255
65,162
78,417
100 %
Self Storage Facilities
—
(16,443)
(16,443)
(19) %
—
71,147
71,147
100 %
Other
38,079
15,791
53,870
55 %
47,462
9,372
56,834
60 %
Total commercial real
estate
$
164,046
$
62,177
$
226,223
9 %
$
272,405
$
726,694
$
999,099
59 %
March 31, 2026
June 30, 2025
Owner-Occupied
Non-Owner-Occupied
Balance
Percentage
Owner-Occupied
Non-Owner-Occupied
Balance
Percentage
Multi-Family
$
—
$
538,164
$
538,164
21 %
$
—
$
316,745
$
316,745
19 %
Industrial
130,159
156,340
286,499
12 %
86,791
113,007
199,798
12 %
Office
41,929
293,662
335,591
13 %
26,157
180,309
206,466
12 %
Hospitality
39,270
258,953
298,223
12 %
—
172,159
172,159
10 %
Mixed-Use
23,330
200,699
224,029
9 %
7,643
160,378
168,021
10 %
Retail
53,211
114,365
167,576
7 %
39,554
86,843
126,397
7 %
Cannabis Facility
204,766
8,998
213,764
9 %
255,757
15,098
270,855
16 %
Special Purpose
86,953
61,678
148,631
6 %
78,120
56,977
135,097
8 %
Recreational Vehicle Parks
13,380
52,003
65,383
3 %
—
—
—
0 %
Self Storage Facilities
—
87,590
87,590
4 %
—
—
—
0 %
Other
49,203
48,373
97,576
4 %
39,820
54,792
94,612
6 %
Total commercial real
estate
$
642,201
$
1,820,825
$
2,463,026
100 %
$
533,842
$
1,156,308
$
1,690,150
100 %
NB BANCORP, INC.
NON-GAAP RECONCILIATION
(Unaudited)
(Dollars in thousands)
For the Three Months Ended
June 30, 2026
March 31, 2026
June 30, 2025
Net income (GAAP)
$
21,123
$
14,984
$
14,579
Add (Subtract):
Adjustments to net income:
Non-recurring fees for business line expansion
649
500
-
BOLI surrender tax and modified endowment contract penalty
27
50
64
Merger and acquisition expenses
296
534
530
Total adjustments to net income
$
972
$
1,084
$
594
Less net tax benefit associated with pre-tax non-GAAP adjustments to net income
218
277
130
Non-GAAP adjustments, net of tax
754
807
464
Operating net income (non-GAAP)
$
21,877
$
15,791
$
15,043
Weighted average common shares outstanding, basic
39,693,140
40,969,748
37,191,460
Weighted average common shares outstanding, diluted
40,000,305
41,421,002
37,550,409
Operating earnings per share, basic (non-GAAP)
$
0.55
$
0.39
$
0.40
Operating earnings per share, diluted (non-GAAP)
$
0.55
$
0.38
$
0.40
Pre-tax income (GAAP)
$
27,494
$
20,352
$
18,719
Add (Subtract):
Adjustments to pre-tax income:
Non-recurring fees for business line expansion
649
500
-
Merger and acquisition expenses
296
534
530
Total adjustments to pre-tax income
945
1,034
530
Operating pre-tax income (non-GAAP)
$
28,439
$
21,386
$
19,249
Net interest income (GAAP)
$
69,145
$
64,868
$
47,007
Subtract (Add):
Adjustments to net interest income:
Purchase accounting adjustments
1,972
1,623
-
Total impact of non-GAAP interest net income adjustments
$
1,972
$
1,623
$
-
Net interest income, excluding purchase accounting adjustments (non-GAAP)
$
67,173
$
63,245
$
47,007
Noninterest expense (GAAP)
$
44,017
$
42,701
$
29,405
Subtract (Add):
Adjustments to noninterest expense:
Non-recurring fees for business line expansion
649
500
-
Merger and acquisition expenses
296
534
530
Total impact of non-GAAP noninterest expense adjustments
$
945
$
1,034
$
530
Operating noninterest expense (non-GAAP)
$
43,072
$
41,667
$
28,875
Operating net income (non-GAAP)
$
21,877
$
15,791
$
15,043
Average assets
7,241,524
6,975,068
5,179,324
Operating return on average assets (non-GAAP)
1.21 %
0.92 %
1.16 %
Average shareholders' equity
$
844,443
$
861,505
$
745,670
Operating return on average shareholders' equity (non-GAAP)
10.39 %
7.43 %
8.09 %
Operating noninterest expense (non-GAAP)
$
43,072
$
41,667
$
28,875
Total pre-provision net revenue (net interest income plus total noninterest income)
74,704
69,381
51,285
Operating efficiency ratio (non-GAAP)
57.66 %
60.06 %
56.30 %
Income tax expense (GAAP)
$
6,371
$
5,368
$
4,140
Add (Subtract):
Adjustments to income tax expense:
Net tax benefit associated with pre-tax non-GAAP adjustments to net income
218
277
-
BOLI surrender tax and modified endowment contract penalty
(27)
(50)
(64)
Total impact of non-GAAP income tax expense adjustments
$
191
$
227
$
(64)
Operating income tax expense (non-GAAP)
$
6,562
$
5,595
$
4,076
Operating effective tax rate (non-GAAP)
23.1 %
26.2 %
21.2 %
As of
June 30, 2026
March 31, 2026
June 30, 2025
Total shareholders' equity (GAAP)
$
842,002
$
842,778
$
737,122
Subtract:
Intangible assets (core deposit intangible, net of tax and goodwill)
31,023
32,067
782
Total tangible shareholders' equity (non-GAAP)
810,979
810,711
736,340
Total assets (GAAP)
7,446,880
7,226,649
5,226,618
Subtract:
Intangible assets (core deposit intangible, net of tax and goodwill)
HOUSTON, July 22, 2026 (GLOBE NEWSWIRE) -- Crown Castle Inc. (NYSE: CCI) ("Crown Castle") today reported results for the second quarter ended June 30, 2026, and updated its full year 2026 Outlook, as reflected in the table below. (dollars in millions, except per share amounts) Current Full Year 2026 Outlook Midpoint(a) Full Year 2025 Actual % Change Previous Full Year 2026 Outlook(b) Current Compared to Previous Outlook Site rental revenues( c ) $ 3,855 $ 4,049 (5 )% $ 3,850 $ 5 Net income (loss) $ 870 $ 444 96 % $ 830 $ 40 Net income (loss) per share—diluted $ 2.02 $ 1.01 100 % $ 1.94 $ 0.08 Adjusted EBITDA( c )( d ) $ 2,690 $ 2,863 (6 )% $ 2,690 $ — AFFO( c )( d ) $ 1,975 $ 1,904 4 % $ 1,970 $ 5 AFFO per share( c )( d ) $ 4.59 $ 4.36 5 % $ 4.59 $ — (a) Reflects midpoint of full year 2026 Outlook as issued on July 22, 2026.
, /PRNewswire/ -- SEI Investments Company (NASDAQ: SEIC) today announced financial results for the second quarter 2026. Relative to the second quarter 2025, EPS declined by 11%, and revenue and operating income grew by 15% and 33%, respectively, with operating margin increasing to 31%. On an adjusted basis, EPS and operating income grew 38% and 36%, respectively, with the adjusted operating margin increasing to 32%.
Consolidated Overview
(In thousands, except earnings per share)
For the Three Months
Ended June 30,
For the Six Months
Ended June 30,
2026
2025
%
2026
2025
%
U.S. GAAP Basis
Revenues
$641,617
$559,601
15 %
$1,263,800
$1,110,945
14 %
Income from operations
197,016
148,635
33 %
386,502
305,732
26 %
Operating margin
31 %
27 %
15 %
31 %
28 %
11 %
Net income attributable
to SEI Investments
195,658
227,083
(14) %
370,145
378,600
(2) %
Diluted earnings per share
$1.59
$1.78
(11) %
$2.99
$2.95
1 %
Non-GAAP Basis(1)
Adjusted income from
operations
$206,951
$152,612
36 %
$405,634
$313,158
30 %
Adjusted diluted earnings
per share
$1.66
$1.20
38 %
$3.10
$2.40
29 %
Adjusted operating margin
32 %
27 %
19 %
32 %
28 %
14 %
(1) See Non-GAAP Information and Reconciliations on pg 11
"SEI's record-setting second-quarter results are evidence that the strategic and operational changes we've made over the last four years are translating into meaningful financial performance," said CEO Ryan Hicke.
"We've been deliberate in how we allocate capital, evolve our value proposition, and focus our resources on the areas where we believe we can create sustainable competitive advantage. Those efforts are driving stronger sales quality, expanding margins, and creating greater leverage across the enterprise, while allowing us to continue investing in the capabilities, talent, and innovation that will shape SEI's future."
Summary of Second-Quarter Results by Business Segment
(In thousands)
For the Three Months
Ended June 30,
For the Six Months
Ended June 30,
2026
2025
%
2026
2025
%
Investment Managers:
Revenues
$227,679
$195,067
17 %
$448,396
$387,115
16 %
Expenses
136,078
121,636
12 %
269,917
238,847
13 %
Operating Profit
91,601
73,431
25 %
178,479
148,268
20 %
Operating Margin
40 %
38 %
40 %
38 %
Private Banks:
Revenues
156,879
141,449
11 %
309,141
279,163
11 %
Expenses
125,220
118,724
5 %
245,251
233,473
5 %
Operating Profit
31,659
22,725
39 %
63,890
45,690
40 %
Operating Margin
20 %
16 %
21 %
16 %
Investment Advisors:
Revenues
177,897
137,193
30 %
347,592
273,769
27 %
Expenses
101,866
75,801
34 %
198,223
148,256
34 %
Non-controlling interests and
other, net (A)
1,361
—
NM*
2,698
—
NM
Operating Profit
74,670
61,392
22 %
146,671
125,513
17 %
Operating Margin
42 %
45 %
42 %
46 %
Institutional Investors:
Revenues
69,702
69,343
1 %
141,218
137,849
2 %
Expenses
36,826
35,857
3 %
73,963
71,727
3 %
Operating Profit
32,876
33,486
(2) %
67,255
66,122
2 %
Operating Margin
47 %
48 %
48 %
48 %
Investments in New Businesses:
Revenues
9,460
16,549
(43) %
17,453
33,049
(47) %
Expenses
10,039
18,430
(46) %
19,232
36,926
(48) %
Operating Loss
(579)
(1,881)
(69) %
(1,779)
(3,877)
(54) %
Totals:
Revenues
$641,617
$559,601
15 %
$1,263,800
$1,110,945
14 %
Expenses
410,029
370,448
11 %
806,586
729,229
11 %
Corporate Overhead Expenses
34,572
40,518
(15) %
70,712
75,984
(7) %
Income from operations (B)
$197,016
$148,635
33 %
$386,502
$305,732
26 %
Adjusted income from operations
$206,951
$152,612
36 %
$405,634
$313,158
30 %
(A) Primarily includes non-controlling interest and earnings from equity method investments.
(B) Excludes non-controlling interests and other, net
* Variances noted "NM" indicate the percent change is not meaningful.
Second-Quarter Business Highlights:
SEI delivered strong second-quarter results, with diluted EPS of $1.59 and adjusted diluted EPS of $1.66. On an adjusted basis, EPS increased 38% relative to the prior year, driven by strong revenue growth, margin expansion, and a 3% reduction in share count from SEI's share repurchase program. Second quarter net sales events totaled $43.5 million, bringing year-to-date sales events to $110.6 million. Recurring sales events totaled $32.6 million during the quarter. Private Banks generated $10.1 million of sales events, reflecting continued demand across SEI's capabilities. Private Banking sales activity was driven by new regional banking client wins, the conversion of clients from TRUST 3000® to the SEI Wealth PlatformSM, and continued momentum for professional services. Investment Managers led the quarter with $32.0 million of sales events. Approximately half came from new client wins, including continued contribution from the two large relationships announced last quarter. The remainder was driven primarily by expanded relationships with existing clients and professional services activity associated with implementing several significant wins announced over the last year. Approximately three-quarters of sales events came from alternative investments. Advisors and Institutional generated negative $2.8 million of net sales events. Sales activity in newer product categories, including ETFs and SMAs, continued during the quarter, though those products generally carry lower fee rates than traditional mutual funds. Consolidated revenues and operating income increased by 15% and 33%, respectively, from Q2 2025. On an adjusted basis, operating income increased by 36% with adjusted operating margins increasing to 32%, up 5 percentage points from Q2 2025. Revenue increased by $82.0 million, while expenses increased by $33.6 million, reflecting strong operating leverage despite continued investment across the business. Private Banking revenue increased 11% and operating profit increased 39% versus Q2 2025, as strong sales execution over the past year continued to translate into financial performance. Investment Managers revenue increased 17% and operating profit increased 25% versus Q2 2025 as sales momentum translated into financial performance. Operating margin increased to 40%. Investment Advisors revenue increased 30% and operating profit increased 22% versus the prior year, benefiting from higher market values and the contribution from Stratos. Excluding Stratos, Advisors margins increased by over three percentage points from Q2 2025. Institutional Investors revenue increased 1% versus Q2 2025, while operating profit declined 2%, reflecting continued investment in sales and leadership initiatives. Ending assets under administration increased 5% during the quarter, driven by the funding of alternative mandates and market appreciation for traditional mandates. Ending assets under management increased 9.5% to $606.7 billion, driven by strong market appreciation. LSV generated $2.0 billion of net inflows during the quarter, driven primarily by the funding of a large new mandate. Combined with market appreciation, total LSV assets increased by nearly $17 billion during the quarter. LSV investment performance remained strong. Performance fees totaled approximately $17 million during the quarter, of which approximately $6.5 million was attributable to SEI. During the quarter, SEI repurchased 1.3 million shares of common stock for $112.4 million at an average price of $86.92 per share. Earnings Conference Call
A conference call and presentation to review earnings is scheduled for 5 p.m. Eastern time on Wednesday, July 22, 2026. A live webcast of the call will be available on SEI's Investor Relations website at ir.seic.com/events-presentations/events, where a replay will also be posted following the call.
Participants may also access the call by telephone by dialing 877-407-8293 (in the U.S.) or +1 201-689-8349 (International). Please dial in at least 10 minutes prior to the start of the call.
About SEI®
SEI (NASDAQ:SEIC) is a leading global provider of financial technology, operations, and asset management services within the financial services industry. SEI tailors its solutions and services to help clients more effectively deploy their capital—whether that's money, time, or talent—so they can better serve their clients and achieve their growth objectives. As of June 30, 2026, SEI manages, advises, or administers approximately $2.1 trillion in assets. For more information, visit seic.com.
This release contains forward-looking statements within the meaning or the rules and regulations of the Securities and Exchange Commission. In some cases you can identify forward-looking statements by terminology, such as "may," '"will," "can," "expect," "believe," "remain," and "continue" or "appear." Our forward-looking statements include our current expectations as to:
the degree to which, if any, the strategic and operational changes that we have made will translate into financial performance; whether our capital allocation strategies and investments will create sustainable competitive advantage; the durability of the quality of our sales, margin expansion and enterprise leverage; the benefits of our investments; the level of demand for our capabilities; the effects of our operating leverage; our investment priorities; LSV performance; and when and if we will generate net annualized recurring revenues from sales events that occurred during the quarter, as well as the amount of any such revenue. You should not place undue reliance on our forward-looking statements, as they are based on the current beliefs and expectations of our management and subject to significant risks and uncertainties, many of which are beyond our control or are subject to change. Although we believe the assumptions upon which we base our forward-looking statements are reasonable, they could be inaccurate. We undertake no obligation to update our forward-looking statements. Some of the risks and important factors that could cause actual results to differ from those described in our forward-looking statements can be found in the "Risk Factors" section of our Annual Report on Form 10-K for the year ended December 31, 2025, filed with the Securities and Exchange Commission.
Investor contact:
Media contact:
Brad Burke
Alicia Rudd
SEI
SEI
+1 610-676-5350
+1 610-676-3887
[email protected]
[email protected]
SEI INVESTMENTS COMPANY
CONSOLIDATED STATEMENTS OF OPERATIONS(In thousands, except per share data) (Unaudited)
For the Three Months
Ended June 30,
For the Six Months
Ended June 30,
2026
2025
2026
2025
Asset management, admin. and distribution fees
$513,482
$437,543
$1,011,466
$869,686
Information processing and software servicing fees
128,135
122,058
252,334
241,259
Total revenues
641,617
559,601
1,263,800
1,110,945
Subadvisory, distribution and other asset mgmt. costs
59,980
49,709
116,726
97,241
Software royalties and other information processing costs
9,677
9,191
19,609
18,272
Compensation, benefits and other personnel
207,839
199,574
414,154
390,358
Stock-based compensation
16,313
13,891
30,809
28,029
Consulting, outsourcing and professional fees
56,269
56,942
110,672
112,943
Data processing and computer related
46,862
41,801
91,735
81,120
Facilities, supplies and other costs
21,453
21,744
41,775
40,499
Amortization
19,137
10,449
37,491
21,159
Depreciation
7,071
7,665
14,327
15,592
Total expenses
444,601
410,966
877,298
805,213
Income from operations
197,016
148,635
386,502
305,732
Net gain from investments
3,550
1,759
3,181
2,252
Interest and dividend income
7,012
9,283
14,174
19,504
Interest expense
(562)
(92)
(1,035)
(277)
Gain on sale of business
—
94,412
—
94,412
Other income
—
4,500
450
4,500
Equity in earnings of unconsolidated affiliates
38,694
33,640
71,170
62,387
Net gain from consolidated variable interest entities
7,475
—
9,554
—
Income before income taxes
253,185
292,137
483,996
488,510
Income taxes
53,645
65,054
107,669
109,910
Net income
$199,540
$227,083
$376,327
$378,600
Less: Net income attributable to non-controlling interests
3,882
—
6,182
—
Net income attributable to SEI Investments Company
$195,658
$227,083
$370,145
$378,600
Basic earnings per common share
$1.63
$1.82
$3.06
$3.02
Shares used to calculate basic earnings per share
120,339
124,470
120,999
125,516
Diluted earnings per common share
$1.59
$1.78
$2.99
$2.95
Shares used to calculate diluted earnings per share
Liabilities, Redeemable Non-controlling Interests and Equity
Current Liabilities:
Accounts payable
$10,547
$5,404
Accrued liabilities
225,607
359,823
Current portion of long-term debt
3,487
—
Current portion of long-term operating lease liabilities
10,169
8,677
Deferred revenue
15,718
13,307
Total Current Liabilities
265,528
387,211
Long-term Debt
29,483
—
Liabilities of Consolidated Variable Interest Entities
121,300
108,504
Other Long-term Liabilities
61,128
60,353
Total Liabilities
477,439
556,068
Redeemable Non-controlling Interests
311,027
243,959
Equity:
Shareholders' Equity:
Common stock, $0.01 par value, 750,000 shares authorized; 119,977 and 122,232 shares issued and outstanding
1,200
1,222
Capital in excess of par value
1,714,294
1,678,787
Retained earnings
813,820
792,280
Accumulated other comprehensive loss, net
(29,616)
(24,505)
Total SEI Shareholders' Equity
2,499,698
2,447,784
Non-controlling interests
36,174
12,033
Total Equity
$2,535,872
$2,459,817
Total Liabilities, Redeemable Non-controlling Interests and Equity
$3,324,338
$3,259,844
SEI INVESTMENTS COMPANY
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS
(In thousands) (Unaudited)
For the Six Months
Ended June 30,
2026
2025
Cash flows from operating activities:
Net income
$376,327
$378,600
Adjustments to reconcile net income to net cash provided by operating activities:
(28,960)
(135,595)
Net cash provided by operating activities
$347,367
$243,005
Net cash provided by investing activities
$16,863
$65,268
Net cash used in financing activities
($356,918)
($419,220)
Effect of exchange rate changes on cash, cash equivalents and restricted cash
(5,406)
17,103
Net change in cash and cash equivalents and cash and cash equivalents held at
consolidated variable interest entities
1,906
(93,844)
Cash, cash equivalents and cash and cash equivalents held at consolidated variable
interest entities, beginning of period
470,595
840,193
Cash, cash equivalents and cash and cash equivalents held at consolidated variable
interest entities, end of period
$472,501
$746,349
Reconciliation of Cash, cash equivalents and cash and cash equivalents held at
consolidated variable interest entities to the Consolidated Balance Sheets:
June 30,
2026
December 31,
2025
Cash and cash equivalents
$395,664
$399,804
Cash and cash equivalents held at consolidated variable interest entities
76,837
70,791
Total cash and cash equivalents and cash and cash equivalents held at consolidated
variable interest entities
$472,501
$470,595
ENDING ASSET BALANCES
(In millions) (Unaudited)
Jun. 30
Sep. 30
Dec. 31
Mar. 31
Jun. 30
Investment Managers:
2025
2025
2025
2026
2026
Collective trust fund programs (A)
$225,690
$237,964
$243,244
$243,900
$265,265
Liquidity funds
307
418
579
536
464
Total assets under management
$225,997
$238,382
$243,823
$244,436
$265,729
Client assets under administration
1,128,325
1,204,843
1,239,606
1,284,781
1,351,307
Total assets
$1,354,322
$1,443,225
$1,483,429
$1,529,217
$1,617,036
Private Banks:
Equity and fixed-income programs
$27,839
$28,408
$29,832
$29,753
$32,520
Collective trust fund programs
3
3
3
4
4
Liquidity funds
2,796
2,802
2,099
2,178
1,709
Total assets under management
$30,638
$31,213
$31,934
$31,935
$34,233
Client assets under administration
8,431
8,902
9,115
9,143
9,405
Total assets
$39,069
$40,115
$41,049
$41,078
$43,638
Investment Advisors:
Equity and fixed-income programs
$80,618
$85,245
$86,879
$86,612
$94,390
Liquidity funds
3,457
3,391
3,561
3,485
3,391
Total Platform assets under management
$84,075
$88,636
$90,440
$90,097
$97,781
Platform-only assets
29,848
32,152
33,582
34,070
38,308
Platform-only assets-deposit program
2,155
2,165
2,461
2,294
2,358
Total Platform assets
$116,078
$122,953
$126,483
$126,461
$138,447
Institutional Investors:
Equity and fixed-income programs
$80,112
$82,676
$84,254
$82,195
$86,690
Liquidity funds
1,768
1,580
1,604
1,503
1,559
Total assets under management
$81,880
$84,256
$85,858
$83,698
$88,249
Client assets under advisement
6,090
6,564
3,598
3,549
3,790
Total assets
$87,970
$90,820
$89,456
$87,247
$92,039
Investments in New Businesses: Equity and fixed-income programs
$2,867
$2,999
$3,044
$3,087
$3,351
Liquidity funds
244
244
316
252
236
Total assets under management
$3,111
$3,243
$3,360
$3,339
$3,587
Client assets under advisement
2,593
2,452
2,389
2,185
2,506
Total assets
$5,704
$5,695
$5,749
$5,524
$6,093
LSV Asset Management:
Equity and fixed-income programs (B)
$91,795
$95,801
$99,196
$100,567
$117,146
Stratos Wealth Holdings (E)
$—
$—
$38,637
$38,291
$41,889
Total:
Equity and fixed-income programs (C)
$283,231
$295,129
$303,205
$302,214
$334,097
Collective trust fund programs
225,693
237,967
243,247
243,904
265,269
Liquidity funds
8,572
8,435
8,159
7,954
7,359
Total assets under management
$517,496
$541,531
$554,611
$554,072
$606,725
Client assets under advisement
8,683
9,016
5,987
5,734
6,296
Client assets under administration (D)
1,136,756
1,213,745
1,248,721
1,293,924
1,360,712
Platform-only assets
32,003
34,317
36,043
36,364
40,666
Stratos Wealth Holdings
—
—
38,637
38,291
41,889
Total assets
$1,694,938
$1,798,609
$1,883,999
$1,928,385
$2,056,288
(A)
Collective trust fund program assets in the Investment Managers segment are included in assets under management since SEI is the trustee. Fees earned on this product are less than fees earned on customized asset management programs.
(B)
Equity and fixed-income programs include $1.5 billion of assets managed by LSV in which fees are based solely on performance and are not calculated as an asset-based fee (as of June 30, 2026).
(C)
Equity and fixed-income programs include $8.9 billion of assets in various asset allocation funds (as of June 30, 2026).
(D)
In addition to the assets presented, SEI also administers an additional $14.3 billion in Funds of Funds assets on which SEI does not earn an administration fee (as of June 30, 2026).
(E)
Beginning June 30, 2026, assets related to Stratos Wealth Holdings are no longer reported on a one month lag. Prior period asset balances have been revised to conform with the current period presentation.
AVERAGE ASSET BALANCES
(In millions) (Unaudited)
2nd Qtr.
3rd Qtr.
4th Qtr.
1st Qtr.
2nd Qtr.
2025
2025
2025
2026
2026
Investment Managers:
Collective trust fund programs (A)
$215,085
$231,088
$240,285
$248,851
$259,655
Liquidity funds
288
385
492
565
506
Total assets under management
$215,373
$231,473
$240,777
$249,416
$260,161
Client assets under administration
1,098,925
1,174,961
1,225,392
1,280,581
1,332,630
Total assets
$1,314,298
$1,406,434
$1,466,169
$1,529,997
$1,592,791
Private Banks:
Equity and fixed-income programs
$26,533
$28,051
$29,087
$30,696
$32,005
Collective trust fund programs
3
3
3
3
4
Liquidity funds
2,771
2,834
2,371
2,150
1,717
Total assets under management
$29,307
$30,888
$31,461
$32,849
$33,726
Client assets under administration
8,266
8,665
8,977
9,282
9,455
Total assets
$37,573
$39,553
$40,438
$42,131
$43,181
Investment Advisors:
Equity and fixed-income programs
$76,629
$82,735
$85,896
$88,403
$92,424
Liquidity funds
3,464
3,378
3,418
3,518
3,338
Total Platform assets under management
$80,093
$86,113
$89,314
$91,921
$95,762
Platform-only assets
27,288
30,874
33,022
34,485
36,768
Platform-only assets-deposit program
2,152
2,136
2,135
2,309
2,273
Total Platform assets
$109,533
$119,123
$124,471
$128,715
$134,803
Institutional Investors:
Equity and fixed-income programs
$77,843
$80,802
$83,739
$84,393
$85,302
Liquidity funds
1,853
1,810
1,947
1,941
1,702
Total assets under management
$79,696
$82,612
$85,686
$86,334
$87,004
Client assets under advisement
5,841
6,274
5,413
3,657
3,703
Total assets
$85,537
$88,886
$91,099
$89,991
$90,707
Investments in New Businesses:
Equity and fixed-income programs
$2,732
$2,934
$3,021
$3,106
$3,260
Liquidity funds
244
255
288
319
258
Total assets under management
$2,976
$3,189
$3,309
$3,425
$3,518
Client assets under administration (E)
14,917
—
—
—
—
Client assets under advisement
2,329
2,428
2,408
2,335
2,425
Total assets
$20,222
$5,617
$5,717
$5,760
$5,943
LSV Asset Management:
Equity and fixed-income programs (B)
$89,422
$92,969
$97,304
$104,619
$115,862
Stratos Wealth Holdings (F)
$—
$—
$38,507
$39,317
$40,559
Total:
Equity and fixed-income programs (C)
$273,159
$287,491
$299,047
$311,217
$328,853
Collective trust fund programs
215,088
231,091
240,288
248,854
259,659
Liquidity funds
8,620
8,662
8,516
8,493
7,521
Total assets under management
$496,867
$527,244
$547,851
$568,564
$596,033
Client assets under advisement
8,170
8,702
7,821
5,992
6,128
Client assets under administration (D)
1,122,108
1,183,626
1,234,369
1,289,863
1,342,085
Platform-only assets
29,440
33,010
35,157
36,794
39,041
Stratos Wealth Holdings
—
—
38,507
39,317
40,559
Total assets
$1,656,585
$1,752,582
$1,863,705
$1,940,530
$2,023,846
(A)
Collective trust fund program average assets in the Investment Managers segment are included in assets under management since SEI is the trustee. Fees earned on this product are less than fees earned on customized asset management programs.
(B)
Equity and fixed-income programs during second-quarter 2026 include $1.4 billion of average assets managed by LSV in which fees are based solely on performance and are not calculated as an asset-based fee.
(C)
Equity and fixed-income programs include $8.6 billion of average assets in various asset allocation funds during second-quarter 2026.
(D)
In addition to the assets presented, SEI also administers an additional $13.8 billion of average assets in Funds of Funds assets during second-quarter 2026 on which SEI does not earn an administration fee.
(E)
Client assets under administration related to the Family Office Services business divested on June 30, 2025.
(F)
Beginning in second-quarter 2026, average assets related to Stratos Wealth Holdings are no longer reported on a one month lag. Prior period average assets have been revised to conform with the current period presentation.
SALES EVENTS
(In thousands) (Unaudited)
Net Recurring Sales Events
2nd Qtr.
2025
3rd Qtr.
2025
4th Qtr.
2025
1st Qtr.
2026
2nd Qtr.
2026
Investment Processing-related Businesses:
Investment Managers
$21,928
$27,460
$19,150
$46,848
$27,856
Private Banks
254
(6,713)
5,670
1,571
4,207
Total Investment Processing-related Businesses
$22,182
$20,747
$24,820
$48,419
$32,063
Asset Management-related Businesses:
Private Banks-AMD
($174)
($1,674)
($1,567)
$1,983
$2,938
Investment Advisors
(1,654)
1,230
(728)
7,044
(1,685)
Institutional Investors
2,544
(594)
(5,025)
(2,935)
(1,102)
Total Asset Management-related Businesses
$716
($1,038)
($7,320)
$6,092
$151
Newer Initiatives:
Investments in New Businesses
$1,245
$1,208
$1,248
$2,631
$361
Total Net Recurring Sales Events
$24,143
$20,917
$18,748
$57,142
$32,575
Professional Services Sales Events
2nd Qtr.
3rd Qtr.
4th Qtr.
1st Qtr.
2nd Qtr.
2025
2025
2025
2026
2026
Investment Processing-related Businesses:
Investment Managers
$1,102
$2,465
$1,347
$3,672
$4,179
Private Banks
2,373
7,087
23,409
4,950
5,934
Total Investment Processing-related Businesses
$3,475
$9,552
$24,756
$8,622
$10,113
Newer Initiatives:
Investments in New Businesses
$1,552
$71
$95
$1,389
$768
Total Professional Services Sales Events
$5,027
$9,623
$24,851
$10,011
$10,881
Total Sales Events
2nd Qtr.
3rd Qtr.
4th Qtr.
1st Qtr.
2nd Qtr.
2025
2025
2025
2026
2026
Investment Processing-related Businesses:
Investment Managers
$23,030
$29,925
$20,497
$50,520
$32,035
Private Banks
2,627
374
29,079
6,521
10,141
Total Investment Processing-related Businesses
$25,657
$30,299
$49,576
$57,041
$42,176
Asset Management-related Businesses:
Private Banks-AMD
($174)
($1,674)
($1,567)
$1,983
$2,938
Investment Advisors
(1,654)
1,230
(728)
7,044
(1,685)
Institutional Investors
2,544
(594)
(5,025)
(2,935)
(1,102)
Total Asset Management-related Businesses
$716
($1,038)
($7,320)
$6,092
$151
Newer Initiatives:
Investments in New Businesses
$2,797
$1,279
$1,343
$4,020
$1,129
Total Sales Events
$29,170
$30,540
$43,599
$67,153
$43,456
Non-GAAP Information & Reconciliations
(In thousands, except per share data) (Unaudited)
We present certain non-GAAP financial measures to supplement the consolidated financial statements prepared in accordance with GAAP. Management believes these measures provide useful information to investors by enhancing the understanding of our core operating performance and facilitating comparisons across reporting periods. These non-GAAP measures are also used by our management to evaluate operating results, allocate resources, and assess performance against strategic objectives.
These non-GAAP financial measures should be viewed in addition to, and not as a substitute for, reported results prepared in accordance with GAAP.
The following schedules reconcile U.S. GAAP financial measures to non-GAAP financial measures for the three and six months ended June 30, 2026 and 2025:
For the Three Months
Ended June 30,
For the Six Months
Ended June 30,
2026
2025
2026
2025
Net income attributable to SEI Investments Company (U.S. GAAP basis)
$195,658
$227,083
$370,145
$378,600
Non-GAAP adjustments:
Acquisition-related:
Third party costs (A)
—
820
—
820
Intangible assets amortization & impairments (B)
7,057
3,157
13,691
6,606
Total acquisition-related
7,057
3,977
13,691
7,426
Gain on sale of asset/business (C)
—
(94,412)
—
(94,412)
Litigation settlements and insurance proceeds (D)
3,808
(4,500)
3,808
(4,500)
Income tax effect (E)
(2,338)
21,142
(3,891)
20,354
Adjusted net income attributable to SEI Investments Company (non-
GAAP basis)
$204,185
$153,290
$383,753
$307,468
Diluted EPS (U.S. GAAP basis)
$1.59
$1.78
$2.99
$2.95
Adjusted diluted EPS (non-GAAP basis)
$1.66
$1.20
$3.10
$2.40
Diluted weighted average shares outstanding
123,334
127,278
123,914
128,364
Income from operations (U.S. GAAP Basis)
$197,016
$148,635
$386,502
$305,732
Operating margin (U.S. GAAP Basis)
31 %
27 %
31 %
28 %
Non-GAAP adjustments:
Acquisition-related:
Third party costs (A)
—
820
—
820
Intangible assets amortization & impairments (B)
9,935
3,157
19,132
6,606
Total acquisition-related
9,935
3,977
19,132
7,426
Adjusted income from operations (non-GAAP Basis)
$206,951
$152,612
$405,634
$313,158
Adjusted operating margin (non-GAAP basis)
32 %
27 %
32 %
28 %
(A)
This non-GAAP adjustment removes incremental and directly attributable costs incurred to execute acquisitions, such as third-party advisory, legal, accounting, valuation, and due diligence. For 2025, this non-GAAP adjustment consisted of the legal costs, advisory fees, and due diligence fees in relation to the Stratos acquisition. Management believes adjusting for these charges helps the reader's ability to understand our core operating results and increases comparability quarter to quarter.
(B)
This non-GAAP adjustment removes the impact of amortization expense associated with acquired intangible assets (e.g., customer relationships, technology, trade names). This non-GAAP adjustment removes only amortization recorded in the current period related to acquired intangibles from prior acquisitions. The non-GAAP adjustments in 2026 include the amortization of the acquired intangibles from the Stratos acquisition, which closed in December 2025. Management included the Stratos related amortization expense net of the 42.5% NCI adjustment for the adjusted EPS calculation. However, this adjustment is not inclusive of the NCI portion for adjusted operating margin. The associated revenues are not adjusted. Management believes adjusting for these charges helps the reader's ability to understand our core operating results and increases comparability quarter to quarter.
(C)
This non-GAAP adjustment removes realized gains on the sale of assets owned or entities under our control, out of the normal course of business. In 2025, the adjustment consisted of the realized gain from the sale of Family Office Services (FOS). Management believes adjusting for these gains helps the reader's ability to understand our core operating results and increases comparability quarter to quarter.
(D)
This non-GAAP adjustment removes individually significant litigation settlements and insurance proceeds. In 2026, this non-GAAP adjustment was related to litigation settlements. In 2025, this non-GAAP adjustment consisted of a $4.5M settlement related to a vendor matter. Management included both of these transactions as non-GAAP adjustments since they were both out of the normal course of business. Management believes adjusting for these items helps the reader's ability to understand our core operating results and increases comparability quarter to quarter.
(E)
Income tax effects are presented as a separate reconciling item (not netted within each adjustment). For performance measures, the tax effect reflects current and deferred tax expense commensurate with the adjusted measure of profitability. The methodology used (e.g., statutory rate, effective rate, or discrete item approach) is consistently applied. All of the above items use a systematic approach.
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Luboš Bedrník
Fio banka, a.s.
Prohlášení
3 Regional Bank Stocks That Crushed Q3 EarningsWestern Alliance Bancorporation NYSE: WAL reported stronger second-quarter 2026 earnings, with management pointing to commercial loan growth, higher net interest income and stable credit trends while outlining a shift toward greater share repurchases and deposit cost optimization.
Chairman, President and Chief Executive Officer Ken Vecchione said the quarter reflected “broad-based C&I-driven loan growth, strong net interest income, PP&R expansion, stable net interest margin, and continued balance sheet strength.” He said the company has begun executing several initiatives discussed at its May Investor Day, including reducing higher-cost deposits and expanding its share repurchase program.
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Banking and trucking: Is the economy rolling toward troubles?Western Alliance is approaching the $100 billion asset threshold, with total assets remaining just below $99 billion at quarter-end. Vecchione said the bank is entering its next phase “from a position of strength,” citing growth, improving profitability and greater capital returns.
Loan Growth Led by Commercial and Industrial Lending Held-for-investment loans increased by $1.8 billion during the quarter, with more than 80% of the growth coming from commercial and industrial categories, according to Chief Financial Officer Vishal Idnani. Average HFI loan growth was $1.1 billion, contributing to average earning asset growth of $2.7 billion.
PacWest, First Horizon Shares Plummet On Continued Bank WorriesIdnani said commercial banking grew by $950 million, led by specialty commercial banking verticals and Hotel Franchise Finance within commercial real estate. C&I loans now account for nearly 49% of the HFI portfolio, while CRE excluding construction has declined to 19.5% of the portfolio.
Management said the company continues to see a strong loan origination pipeline, but it revised its full-year loan growth outlook to $5 billion from a higher prior expectation. Vecchione said the reduction reflects a capital allocation decision rather than a lack of demand, allowing the bank to direct more capital toward share repurchases while still producing growth expected to rank near the top of its peer group.
Net Interest Income Rises as Margin Holds Steady Net interest income rose to $797 million, up 4% from the prior quarter and 14% from a year earlier. Idnani attributed the increase primarily to earning asset growth, including loan growth and higher average securities balances.
The net interest margin was essentially stable, declining one basis point from the prior quarter to 3.53%. Idnani said lower funding costs helped offset the modest impact of remixing loans toward C&I from CRE and slightly lower average earning asset yields.
Western Alliance’s securities yield increased five basis points to 4.64%, while HFI loan yields declined three basis points to 5.82%. Interest-bearing deposit costs declined one basis point to 2.74%, and overall liability funding costs fell three basis points to 1.96%.
Management said deposit optimization efforts should continue to lower interest expense and deposit costs. Vecchione said the bank reduced higher-cost deposits by more than $1 billion late in the second quarter and another $1 billion in the first few weeks of the third quarter.
Deposit Optimization Drives Revised Growth Outlook Total deposits ended the quarter at $81.9 billion, up $10.8 billion from a year earlier but down $849 million from the prior quarter. Idnani said the linked-quarter decline reflected the intentional reduction of about $1.2 billion in higher-cost deposits.
Vecchione said Western Alliance expects to transition roughly $3 billion of higher-cost deposits off the balance sheet for the year. He said the bank is taking a “finesse” approach with clients, helping them transition certain balances while maintaining broader relationships that may include loans, operating accounts and treasury management services.
Management lowered its full-year deposit growth outlook to $6 billion, citing reduced funding needs and continued efforts to remix the deposit base. The company expects total deposits to grow by about $1 billion in the third quarter despite additional higher-cost deposit reductions, with fourth-quarter deposits expected to be roughly flat.
Executives highlighted lower-cost deposit channels such as HOA, Business Escrow Services, Corporate Trust, Juris Banking and digital assets as areas expected to grow faster than traditional deposit channels.
Fee Income Outlook Trimmed on Mortgage Headwinds Non-interest income was $199 million, essentially unchanged from the first quarter when excluding $50.5 million of securities gains recorded in that period. Year-over-year, non-interest income increased by about $51 million, or 34%, supported by commercial banking, treasury management and foreign exchange offerings.
Mortgage banking revenue improved from the prior quarter and from a year earlier, but management cited higher rates and tighter spreads as headwinds. Loan production and lock commitment volume were both up double-digit percentages from the prior quarter and year earlier, while the gain-on-sale margin compressed eight basis points from the first quarter to 29 basis points.
Idnani said servicing revenue rebounded to $31 million, mainly because of slower prepayment speeds in a higher-rate environment. He also said Western Alliance generated $6 million in gains from selling covered call options on mortgage bonds as a hedge against mortgage market volatility, with an additional $3 million of income realized in July.
The company reduced its full-year non-interest income growth outlook to 13% to 17%, down from 20% to 25%. Vecchione said mortgage banking revenue is expected to remain in line with second-quarter levels in the third and fourth quarters, citing geopolitical conditions and higher Treasury and mortgage rates.
Credit Trends and Capital Returns in Focus Western Alliance reported provision expense of $80 million, which Idnani said replenished net charge-offs and supported loan growth, primarily in C&I. Net charge-offs declined to 37 basis points. The company reaffirmed its core net charge-off guidance of 25 to 35 basis points for 2026.
Special mention loans declined by $87 million to $316 million, while classified accruing loans fell by $15 million to $440 million. Non-accrual loans increased by $70 million, but management said nearly all of the increase came from a previously disclosed loan that is current on contractual payments.
Vecchione said two of six non-accrual loans discussed at Investor Day have been resolved, with the remaining four expected to be addressed in the second half of 2026. Chief Credit Officer Lynne Herndon said management has “high confidence” in those asset resolutions.
The allowance for loan losses increased to $487 million, or 80 basis points of funded HFI loans, while the allowance for credit losses rose to 89 basis points. Idnani said the reserve ratio is expected to move higher incrementally as the loan portfolio continues to remix toward C&I.
Capital levels remained a central part of the company’s updated outlook. Western Alliance maintained its common equity tier 1 ratio at its targeted 11% level, and its tangible common equity to tangible assets ratio rose to 7%. Tangible book value per share increased $2.10 from the end of the first quarter to $63.24, up 13% year over year.
Vecchione said the company plans $150 million of share repurchases in the second half of 2026. He said Western Alliance’s shares trade at a “meaningful discount” to management’s view of intrinsic value and that buybacks represent an attractive use of capital. In response to analyst questions, he said the bank will continue evaluating the balance between loan growth, risk-adjusted returns, maintaining its 11% CET1 target and repurchasing stock.
Western Alliance now expects 2026 net interest income growth of 12% to 14%, compared with its prior forecast of 11% to 14%. The outlook includes an assumed 25-basis-point rate hike in September, which was not included in previous guidance. The company kept its deposit cost guidance at $650 million to $700 million and operating expense outlook at $1.6 billion to $1.65 billion. Management also said it expects a full-year effective tax rate of 19%.
About Western Alliance Bancorporation (NYSE:WAL)Western Alliance Bancorporation is a bank holding company headquartered in Phoenix, Arizona. Through its principal subsidiary, Western Alliance Bank, the company provides a range of banking services to commercial clients, entrepreneurs and real estate developers. As one of the largest regional banks in the western United States, it focuses on relationship-driven banking solutions tailored to niche industries and growing businesses.
The company's core offerings include deposit products, treasury management and a variety of lending services.
This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].
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Western Alliance Bancorporation (WAL) Q2 2026 Earnings Call July 22, 2026 12:00 PM EDT
Company Participants
Miles Pondelik - Director of Investor Relations & Corporate Development
Kenneth Vecchione - Chairman, President & CEO
Vishal Idnani - Chief Financial Officer
Dale Gibbons - Vice Chairman and Chief Banking Officer, Deposit Initiatives & Innovation
Lynnee Herndon - Chief Credit Officer
Timothy Bruckner - Chief Banking Officer For Regional Banking
Conference Call Participants
David Smith - Truist Securities, Inc., Research Division
Anthony Elian - JPMorgan Chase & Co, Research Division
Jared David Shaw - Barclays Bank PLC, Research Division
Ebrahim Poonawala - BofA Securities, Research Division
Sun Young Lee - TD Cowen, Research Division
Casey Haire
Bernard Von Gizycki - Deutsche Bank AG, Research Division
Gary Tenner - D.A. Davidson & Co., Research Division
Timur Braziler - UBS Investment Bank, Research Division
Christopher McGratty - Keefe, Bruyette, & Woods, Inc., Research Division
Presentation
Operator
Good day, everyone. Welcome to Western Alliance Bancorporation's Second Quarter 2026 Earnings Call. You may also view the presentation today via webcast through the company's website at www.westernalliancebancorporation.com. I would now like to turn the call over to Miles Pondelik, Director of Investor Relations and Corporate Development. Please go ahead, Miles.
Miles Pondelik
Director of Investor Relations & Corporate Development
Good day, everyone. Welcome to Western Alliance Bancorporation's Second Quarter 2026 Earnings Call. You may also view the presentation today via webcast through the company's website at www.westernalliancebancorporation.com.
Our speakers today are Ken Vecchione, Chairman, President and Chief Executive Officer; and Vishal Idnani, Chief Financial Officer. Before I hand the call over to Ken, please note that today's presentation contains forward-looking statements, which are subject to risks, uncertainties and assumptions. Except as required by law, the company does not undertake any obligation to update any forward-looking statements. For a more complete discussion of the risks and uncertainties that could cause actual results to differ materially from any forward-looking statements, please refer to the
, /PRNewswire/ -- Prosperity Bancshares, Inc.® (NYSE: PB) today announced that its Board of Directors declared a quarterly common stock dividend of $0.60 per share for the third quarter of 2026, payable October 1, 2026, to shareholders of record as of September 15, 2026.
Prosperity Bancshares, Inc.®
As of March 31, 2026, Prosperity Bancshares, Inc.® is a $43.619 billion Houston, Texas based regional financial holding company providing personal banking services and investments to consumers and businesses throughout Texas and Oklahoma.
Founded in 1983, Prosperity believes in a community banking philosophy, taking care of customers, businesses, and communities in the areas it serves by providing financial solutions to simplify everyday financial needs. In addition to offering traditional deposit and loan products, Prosperity offers digital banking solutions, credit and debit cards, mortgage services, retail brokerage services, trust and wealth management, and treasury management.
Prosperity currently operates 363 full-service banking locations: 62 in the Houston area, including The Woodlands; 36 in the South Texas area including Corpus Christi and Victoria; 61 in the Dallas/Fort Worth area; 21 in the East Texas area; 28 in the Central Texas area including Austin and San Antonio; 45 in the West Texas area including Lubbock, Midland-Odessa, Abilene; Amarillo and Wichita Falls; 15 in the Bryan/College Station area, 6 in the Central Oklahoma area; 8 in the Tulsa, Oklahoma area, 18 in the Central, South Texas and San Antonio areas doing business as American Bank and 11 in the San Antonio area doing business as Texas Partners Bank and 52 in the Houston (including Beaumont), East Texas and Dallas/Ft. Worth areas doing business as Stellar Bank.
Cautionary Notes on Forward-Looking Statements
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: This release contains forward-looking statements within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements are typically, but not exclusively, identified by the use in the statements of words or phrases such as "aim," "anticipate," "estimate," "expect," "goal," "guidance," "intend," "is anticipated," "is expected," "is intended," "objective," "plan," "projected," "projection," "will affect," "will be," "will continue," "will decrease," "will grow," "will impact," "will increase," "will incur," "will reduce," "will remain," "will result," "would be," variations of such words or phrases (including where the word "could," "may," or "would" is used rather than the word "will" in a phrase) and similar words and phrases indicating that the statement addresses some future result, occurrence, plan or objective. Forward-looking statements include all statements other than statements of historical fact, including forecasts or trends, and are based on current expectations, assumptions, estimates and projections about Prosperity Bancshares and its subsidiaries. These forward-looking statements may include information about Prosperity's possible or assumed future economic performance or future results of operations, including future revenues, income, expenses, provision for loan losses, provision for taxes, effective tax rate, earnings per share and cash flows and Prosperity's future capital expenditures and dividends, future financial condition and changes therein, including changes in Prosperity's loan portfolio and allowance for loan losses, future capital structure or changes therein, as well as the plans and objectives of management for Prosperity's future operations, future or proposed acquisitions, the future or expected effect of acquisitions on Prosperity's operations, results of operations, financial condition, and future economic performance, statements about the anticipated benefits of a proposed transaction, and statements about the assumptions underlying any such statement. These forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties, many of which are outside of Prosperity's control, which may cause actual results to differ materially from those expressed or implied by the forward-looking statements. These risks and uncertainties include but are not limited to whether Prosperity can: successfully identify acquisition targets and integrate the businesses of acquired companies and banks; continue to sustain its current internal growth rate or total growth rate; provide products and services that appeal to its customers; continue to have access to debt and equity capital markets; and achieve its sales objectives. Other risks include, but are not limited to: the possibility that credit quality could deteriorate; actions of competitors; changes in laws and regulations (including changes in governmental interpretations of regulations and changes in accounting standards); the possibility that the anticipated benefits of an acquisition transaction are not realized when expected or at all, including as a result of the impact of, or problems arising from, the integration of two companies or as a result of the strength of the economy and competitive factors generally; a deterioration or downgrade in the credit quality and credit agency ratings of the securities in Prosperity's securities portfolio; customer and consumer demand, including customer and consumer response to marketing; effectiveness of spending, investments or programs; fluctuations in the cost and availability of supply chain resources; economic conditions, including currency rate, interest rate and commodity price fluctuations; and weather. These and various other factors are discussed in Prosperity Bancshares' Annual Report on Form 10-K for the year ended December 31, 2025 and other reports and statements Prosperity Bancshares has filed with the Securities and Exchange Commission ("SEC"). Copies of the SEC filings for Prosperity Bancshares may be downloaded from the Internet at no charge from http://www.prosperitybankusa.com.
Resources Investor Relations Journalists Agencies Client Login Send a Release News Products Contact , /PRNewswire/ -- Hagerty, Inc. (NYSE: HGTY), a business that makes it easier and more enjoyable to be a driving enthusiast, today announced it will report its second quarter 2026 financial results before the market opens on Wednesday, August 5, 2026.
Hagerty will hold a conference call to discuss the financial results at 10:00 am Eastern Time on that day. A live webcast of the conference call will be available on Hagerty's investor relations website at investor.hagerty.com. To dial-in for the conference call, please register using the link found here to receive your unique dial-in and PIN.
A webcast replay of the call will be available at investor.hagerty.com following the call.
About Hagerty, Inc. (NYSE: HGTY)
Hagerty is a company built by drivers for drivers, protecting 2.9 million vehicles in the United States, Canada and the UK. We make it easier and more enjoyable for enthusiasts to drive and celebrate the machines they love through innovative insurance products, live and digital auctions, engaging media and events, and the Hagerty Drivers Club, the world's largest membership community of car lovers.
For more information, please visit www.hagerty.com or www.newsroom.hagerty.com.
, /PRNewswire/ -- Hagens Berman, a leading national shareholder rights law firm, is conducting an investigation into Peabody Energy Corporation (NYSE: BTU) regarding alleged violations of federal securities laws. This investigation follows the recent filing of a class action lawsuit, which alleges that Peabody misled investors concerning the operational status and production capabilities of its flagship underground longwall metallurgical coal mine, Centurion, in Queensland, Australia.
INVESTOR NOTICE: DEADLINE APPROACHING
Action: Submit your Peabody losses here Class Period: Oct. 14, 2024 – May 4, 2026 Lead Plaintiff Deadline: Aug. 24, 2026 Visit: www.hbsslaw.com/investor-fraud/btu Contact the Firm Now: [email protected] | 844-916-0895 Focus of Peabody Energy (BTU) Securities Class Action:
The pending securities class action alleges that Peabody and its management made materially false and misleading statements regarding the true state of the Centurion mine and its readiness to achieve full-scale production. The complaint contends that throughout the class period, the company repeatedly assured investors that development was on track—highlighting in February 2026 that the team was installing the "very last shield" and that mining of premier metallurgical coal had begun.
Plaintiffs allege these statements were false because the company was encountering mechanical, electrical, and operational issues that severely impaired the ramp-up, all of which management allegedly knew or recklessly disregarded while maintaining positive production and financial guidance.
The truth behind these alleged misrepresentations emerged in stages through surprise disclosures. On March 30, 2026, Peabody filed a current report with the SEC abruptly slashing its first-quarter Centurion production guidance from approximately 700,000 tons down to roughly 250,000 tons.
The news sent the price of Peabody shares down almost 10%.
Subsequently, on May 5, 2026, the company disclosed further setbacks, lowering its full-year sales outlook for Centurion to 2.5 million tons and citing commissioning and operational headwinds. This full year 28% reduction helped send the price of Peabody shares down nearly 6%.
"Our investigation is actively probing the full scope of these pending claims to determine exactly when Peabody's management knew that the production ramp-up at the Centurion mine was falling off track," said Reed Kathrein, the Hagens Berman partner leading the firm's investigation of the alleged claim in the pending suit.
Investor Rights
Investors who purchased or acquired Peabody Energy common stock during the Class Period are encouraged to contact our legal team:
Report your losses to HBSS: Click here Email: [email protected] Phone: 844-916-0895 If you'd like more information and answers to other frequently asked questions about the Peabody case and the firm's investigation, read more.
Whistleblowers: Persons with non-public information regarding Peabody Energy should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Attorney Advertising. Prior results do not guarantee a similar outcome in any future case.
, /PRNewswire/ -- Hagens Berman, a leading national shareholder rights law firm, is conducting an investigation into Peabody Energy Corporation (NYSE: BTU) regarding alleged violations of federal securities laws. This investigation follows the recent filing of a class action lawsuit, which alleges that Peabody misled investors concerning the operational status and production capabilities of its flagship underground longwall metallurgical coal mine, Centurion, in Queensland, Australia.
INVESTOR NOTICE: DEADLINE APPROACHING
Action: Submit your Peabody losses hereClass Period: Oct. 14, 2024 – May 4, 2026Lead Plaintiff Deadline: Aug. 24, 2026Visit: www.hbsslaw.com/investor-fraud/btuContact the Firm Now: [email protected] | 844-916-0895Focus of Peabody Energy (BTU) Securities Class Action:
The pending securities class action alleges that Peabody and its management made materially false and misleading statements regarding the true state of the Centurion mine and its readiness to achieve full-scale production. The complaint contends that throughout the class period, the company repeatedly assured investors that development was on track—highlighting in February 2026 that the team was installing the "very last shield" and that mining of premier metallurgical coal had begun.
Plaintiffs allege these statements were false because the company was encountering mechanical, electrical, and operational issues that severely impaired the ramp-up, all of which management allegedly knew or recklessly disregarded while maintaining positive production and financial guidance.
The truth behind these alleged misrepresentations emerged in stages through surprise disclosures. On March 30, 2026, Peabody filed a current report with the SEC abruptly slashing its first-quarter Centurion production guidance from approximately 700,000 tons down to roughly 250,000 tons.
The news sent the price of Peabody shares down almost 10%.
Subsequently, on May 5, 2026, the company disclosed further setbacks, lowering its full-year sales outlook for Centurion to 2.5 million tons and citing commissioning and operational headwinds. This full year 28% reduction helped send the price of Peabody shares down nearly 6%.
"Our investigation is actively probing the full scope of these pending claims to determine exactly when Peabody's management knew that the production ramp-up at the Centurion mine was falling off track," said Reed Kathrein, the Hagens Berman partner leading the firm's investigation of the alleged claim in the pending suit.
Investor Rights
Investors who purchased or acquired Peabody Energy common stock during the Class Period are encouraged to contact our legal team:
Report your losses to HBSS: Click hereEmail: [email protected]: 844-916-0895If you'd like more information and answers to other frequently asked questions about the Peabody case and the firm's investigation, read more.
Whistleblowers: Persons with non-public information regarding Peabody Energy should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation firm focusing on corporate accountability. The firm is home to a robust practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and other wrongdoings. Hagens Berman's team has secured more than $2.9 billion in this area of law. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Attorney Advertising. Prior results do not guarantee a similar outcome in any future case.
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Net Income Attributable to Common Stockholders of $1.40 Per Diluted Share for Second Quarter 2026 Compared to $1.20 Per Diluted Share for Second Quarter 2025 (Gains on Sales of Real Estate Investments were $5 Million, or $0.10 Per Diluted Share, in Second Quarter 2026; There Were No Sales in Second Quarter 2025) Funds from Operations ("FFO"), Excluding Gain on Involuntary Conversion and Business Interruption Claims, of $2.36 Per Diluted Share for Second Quarter 2026 Compared to $2.21 Per Diluted Share for Second Quarter 2025, an Increase of 6.8% Same Property Net Operating Income for the Same Property Pool, Excluding Income From Lease Terminations, Increased 6.2% on a Straight-Line Basis and 8.3% on a Cash Basis for Second Quarter 2026 Compared to the Same Period in 2025 Operating Portfolio was 96.8% Leased and 95.6% Occupied as of June 30, 2026; Average Month-End Occupancy of Operating Portfolio was 95.6% for Second Quarter 2026 as Compared to 95.9% for Second Quarter 2025 Rental Rates on New and Renewal Leases Increased an Average of 34.1% on a Straight-Line Basis Raised Approximately $160 Million Pursuant to the Company's Continuous Common Equity Offering Program at a Weighted Average Price of $203.15 Transferred Four Development Projects Containing 669,000 Square Feet which are 100% Leased to the Operating Portfolio Started Construction of Two Development Projects Located in Charlotte and Houston Totaling 347,000 Square Feet with Projected Total Costs of Approximately $39 Million Signed 16 Leases on Active Development and First Generation Development Properties From April 1, 2026 through July 21, 2026, Totaling Approximately 1,101,000 Square Feet Subsequent to Quarter-End, Acquired an Operating Property in Phoenix Containing 143,000 Square Feet for Approximately $28 Million and Under Contract to Acquire an Operating Property in Austin Containing Five Multi-Tenant Buildings Totaling 388,000 Square Feet for Approximately $83 Million , /PRNewswire/ -- EastGroup Properties, Inc. (NYSE: EGP) (the "Company", "we", "us" or "EastGroup") announced today the results of its operations for the three and six months ended June 30, 2026.
Commenting on EastGroup's performance, Marshall Loeb, CEO, stated, "The team and the portfolio have performed ahead of expectations this year. The leasing environment has 'normalized' compared to the protracted decision making we experienced much of last year. Looking beyond the current environment, I remain bullish on the continuing external trends benefitting our shallow bay, last mile, high-growth market portfolio."
Reid Dunbar, President, added, "Record leasing activity this quarter reflects the continued strength of demand across our markets and has enabled us to steadily increase our full-year development guidance, and we are now projecting $325 million of starts for 2026. As we have said before, our developments are pulled by market demand, and the leasing progress we are seeing today supports both near-term execution and long-term value creation."
EARNINGS PER SHARE
Three Months Ended June 30, 2026
On a diluted per share basis, earnings per common share ("EPS") were $1.40 for the three months ended June 30, 2026, compared to $1.20 for the same period of 2025. The increase in EPS was primarily due to the following:
The Company's property net operating income ("PNOI") was $142,916,000 ($2.66 per diluted share) for the three months ended June 30, 2026, as compared to $129,184,000 ($2.46 per diluted share) for the same period of 2025, which was an increase of $0.20 per diluted share. EastGroup recognized gains on sales of real estate investments of $5,189,000 ($0.10 per diluted share) during the three months ended June 30, 2026. There were no sales during the three months ended June 30, 2025. The increase in EPS was partially offset by the following:
Depreciation and amortization expense was $56,406,000 ($1.05 per diluted share) for the three months ended June 30, 2026, as compared to $53,012,000 ($1.01 per diluted share) for the same period of 2025, which was an increase of $0.04 per diluted share. General and administrative expense was $7,207,000 ($0.13 per diluted share) for the three months ended June 30, 2026, as compared to $5,290,000 ($0.10 per diluted share) for the same period of 2025, which was an increase of $0.03 per diluted share. Interest expense was $8,990,000 ($0.17 per diluted share) for the three months ended June 30, 2026, as compared to $7,690,000 ($0.15 per diluted share) for the same period of 2025, which was an increase of $0.02 per diluted share. Weighted average shares outstanding increased by 1,204,000 shares on a diluted basis for the three months ended June 30, 2026, as compared to the same period of 2025. Six Months Ended June 30, 2026
EPS for the six months ended June 30, 2026 were $3.17 per diluted share, as compared to $2.35 per diluted share for the same period of 2025. The increase in EPS was primarily due to the following:
PNOI was $282,936,000 ($5.27 per diluted share) for the six months ended June 30, 2026, as compared to $255,362,000 ($4.88 per diluted share) for the same period of 2025, which was an increase of $0.39 per diluted share. EastGroup recognized gains on sales of real estate investments of $30,074,000 ($0.56 per diluted share) during the six months ended June 30, 2026. There were no sales during the six months ended June 30, 2025. The increase in EPS was partially offset by the following:
Depreciation and amortization expense was $111,903,000 ($2.09 per diluted share) for the six months ended June 30, 2026, as compared to $105,532,000 ($2.02 per diluted share) for the same period of 2025, which was an increase of $0.07 per diluted share. Interest expense was $18,069,000 ($0.34 per diluted share) for the six months ended June 30, 2026, as compared to $15,715,000 ($0.30 per diluted share) for the same period of 2025, which was an increase of $0.04 per diluted share. General and administrative expense was $14,823,000 ($0.28 per diluted share) for the six months ended June 30, 2026, as compared to $13,244,000 ($0.25 per diluted share) for the same period of 2025, which was an increase of $0.03 per diluted share. Weighted average shares outstanding increased by 1,361,000 shares on a diluted basis for the six months ended June 30, 2026, as compared to the same period of 2025. FUNDS FROM OPERATIONS AND PROPERTY NET OPERATING INCOME
Three Months Ended June 30, 2026
For the three months ended June 30, 2026, funds from operations attributable to common stockholders ("FFO") and FFO, Excluding Gain on Involuntary Conversion and Business Interruption Claims, were $2.36 per diluted share compared to $2.21 per diluted share during the same period of 2025, an increase of 6.8%.
PNOI increased by $13,732,000, or 10.6%, during the three months ended June 30, 2026, compared to the same period of 2025. PNOI increased $7,644,000 due to same property operations (based on the same property pool), $3,561,000 due to newly developed and value-add properties, and $2,965,000 due to 2025 and 2026 acquisitions. PNOI decreased $671,000 due to operating properties sold in 2025 and 2026.
Same PNOI, Excluding Income from Lease Terminations, increased 6.2% on a straight-line basis for the three months ended June 30, 2026, compared to the same period of 2025; on a cash basis (excluding straight-line rent adjustments and amortization of above/below market rent intangibles), Same PNOI increased 8.3%.
On a straight-line basis, rental rates on new and renewal leases signed during the three months ended June 30, 2026 (representing 4.5% of the operating portfolio's square footage) increased an average of 34.1%.
Six Months Ended June 30, 2026
FFO for the six months ended June 30, 2026, were $4.70 per diluted share compared to $4.37 per diluted share during the same period of 2025, an increase of 7.6%.
FFO, Excluding Gain on Involuntary Conversion and Business Interruption Claims, were $4.66 per diluted share for the six months ended June 30, 2026, compared to $4.33 per diluted share for the same period of 2025, an increase of 7.6%.
PNOI increased by $27,574,000, or 10.8%, during the six months ended June 30, 2026, compared to the same period of 2025. PNOI increased $16,434,000 due to same property operations (based on the same property pool), $6,264,000 due to newly developed and value-add properties, and $5,623,000 due to 2025 and 2026 acquisitions. PNOI decreased $1,043,000 due to operating properties sold in 2025 and 2026.
Same PNOI, Excluding Income from Lease Terminations, increased 6.8% on a straight-line basis for the six months ended June 30, 2026, compared to the same period of 2025; on a cash basis (excluding straight-line rent adjustments and amortization of above/below market rent intangibles), Same PNOI increased 8.8%.
On a straight-line basis, rental rates on new and renewal leases signed during the six months ended June 30, 2026 (representing 7.8% of the operating portfolio's square footage) increased an average of 35.2%.
The same property pool for the three and six months ended June 30, 2026 includes properties which were included in the operating portfolio for the entire period from January 1, 2025 through June 30, 2026; this pool is comprised of properties containing 58,269,000 square feet.
FFO, FFO Excluding Gain on Involuntary Conversion and Business Interruption Claims, PNOI, and Same PNOI are non-GAAP financial measures, which are defined under Definitions later in this release. Reconciliations of Net Income to PNOI and Same PNOI, and Net Income Attributable to EastGroup Properties, Inc. Common Stockholders to FFO and FFO, Excluding Gain on Involuntary Conversion and Business Interruption Claims, are presented in the attached schedule "Reconciliations of GAAP to Non-GAAP Measures."
ACQUISITIONS AND DISPOSITIONS
Subsequent to June 30, 2026, EastGroup closed on the acquisition of Airgate in Phoenix for approximately $28,000,000. The industrial building contains 143,000 square feet, which is 100% leased to a single tenant. This acquisition expands the Company's portfolio in the Phoenix market to 3,661,000 square feet.
EastGroup is under contract to acquire a property in the Northeast submarket of Austin for approximately $83,000,000. The property includes five buildings containing 388,000 square feet, is currently 92% leased to nine tenants, and increases the Company's ownership in Austin to 2,273,000 square feet. The closing is expected to occur in the third quarter of 2026.
As previously announced, in April 2026, the Company closed on the disposition of Beach Commerce Center, a 46,000 square foot building in Jacksonville. The property was sold for $7,000,000 resulting in a gain of $5,189,000. Gains on sales of real estate investments are excluded from FFO.
Subsequent to quarter-end, the Company sold a 6.9 acre parcel of land in Miami for approximately $14,000,000. A gain of approximately $5,000,000 is expected to be recognized during the three months ended September 30, 2026; this gain will be excluded from FFO.
DEVELOPMENT AND VALUE-ADD PROPERTIES
During the second quarter of 2026, EastGroup began construction of two development projects containing 347,000 square feet located in Charlotte and Houston, with projected total costs of $39,200,000.
The development projects started during the six months ended June 30, 2026 are detailed in the table below:
Development Projects Started During the Six Months Ended
June 30, 2026
Location
Size
Anticipated
Conversion Date
Projected Total
Costs
(Square feet)
(In thousands)
Country Club 5 Expansion (1)
Tucson, AZ
100,000
04/2027
$
10,600
Crossroads 3
Tampa, FL
156,000
10/2027
26,900
Grand West Crossing 3 & 4
Houston, TX
128,000
02/2028
18,900
Skyway 3
Charlotte, NC
156,000
03/2028
20,400
World Houston 48
Houston, TX
191,000
03/2028
18,800
Schertz Summit Park 1 & 2
San Antonio, TX
202,000
07/2028
27,700
Total Development Projects Started
933,000
$
123,300
(1) 100% pre-leased expansion of an existing building that currently contains 305,000 square feet.
At June 30, 2026, EastGroup's development and value-add program consisted of 17 projects (3,175,000 square feet) in 12 markets. The projects, which were collectively 22% leased as of July 21, 2026, have a projected total cost of $486,800,000, of which $175,105,000 remained to be invested as of June 30, 2026.
During the second quarter of 2026, EastGroup transferred four projects to the operating portfolio (at the earlier of 90% occupancy or one year after completion). The projects, which are located in Houston, Austin and Los Angeles, contain 669,000 square feet and were collectively 100% leased as of July 21, 2026.
The development projects transferred to the operating portfolio during the six months ended June 30, 2026 are detailed in the table below:
Development and Value-Add Properties
Transferred to the Operating Portfolio During the
Six Months Ended June 30, 2026
Location
Size
Conversion Date
Cumulative Cost as
of 6/30/26
Percent Leased as
of 7/21/26
(Square feet)
(In thousands)
Denton 35 Exchange 1 & 2
Dallas, TX
244,000
02/20]26
$
33,194
100
%
Skyway 1 & 2
Charlotte, NC
318,000
03/2026
37,783
79
%
Grand West Crossing 2
Houston, TX
97,000
04/2026
11,183
100
%
Texas Avenue 1 & 2
Austin, TX
129,000
04/2026
21,770
100
%
World Houston 46
Houston, TX
181,000
04/2026
17,062
100
%
Dominguez (1)
Los Angeles, CA
262,000
06/2026
7,834
100
%
Total Projects Transferred
1,231,000
$
128,826
95
%
Projected Stabilized Yield (2)
9.4 %
(1) Represents a redevelopment project.
(2) Weighted average yield based on projected stabilized annual property net operating income on a straight-line basis at 100% occupancy divided by projected total costs. The projected stabilized yield excluding the redevelopment project is 7.6%.
DIVIDENDS
EastGroup declared a cash dividend of $1.55 per share of common stock in the second quarter of 2026, which was paid on July 15, 2026. This was the Company's 186th consecutive quarterly cash distribution to shareholders. The Company has increased or maintained its dividend for 33 consecutive years and has increased it 30 years over that period, including increases in each of the last 14 years. The annualized dividend rate of $6.20 per share represents a dividend yield of 2.8% based on the closing stock price of $221.34 on July 21, 2026.
FINANCIAL STRENGTH AND FLEXIBILITY
EastGroup continues to maintain a strong and flexible balance sheet. Debt-to-total market capitalization was 12.9% at June 30, 2026. The Company's interest and fixed charge coverage ratio was 15.1x and 14.9x for the three and six months ended June 30, 2026, respectively. The Company's ratio of debt to earnings before interest, taxes, depreciation and amortization for real estate ("EBITDAre") was 3.0x for both the three and six months ended June 30, 2026. EBITDAre and the Company's interest and fixed charge coverage ratio are non-GAAP financial measures defined under Definitions later in this release. Refer to the schedule "Reconciliations of GAAP to Non-GAAP Measures" attached for the calculation of the Company's interest and fixed charge coverage ratio, the debt to EBITDAre ratio, and the reconciliation of Net Income to EBITDAre.
During the three months ended June 30, 2026, the Company entered into forward equity sale agreements with respect to 788,321 shares of common stock with an initial weighted average forward price of $203.15 per share and approximate gross sales proceeds of $160,144,000 based on the initial forward price. The Company did not receive any proceeds from the sale of common shares by the forward purchasers at the time it entered into forward equity sale agreements. As of July 21, 2026, EastGroup had 1,040,457 shares of common stock available for settlement prior to the expiration of the applicable settlement periods ranging from March to June 2027, for approximate net proceeds of $207,051,000, based on a weighted average forward price of $199.00 per share.
OUTLOOK FOR 2026
We now estimate EPS for 2026 to be in the range of $5.83 to $5.97 and FFO per share attributable to common stockholders for 2026 to be in the range of $9.52 to $9.66. The table below reconciles projected net income attributable to common stockholders to projected FFO. The Company is providing a projection of estimated net income attributable to common stockholders in order to meet the disclosure requirements of the U.S. Securities and Exchange Commission.
EastGroup's projections are based on management's current beliefs and assumptions about our business, the industry and the markets in which we operate; there are known and unknown risks and uncertainties associated with these projections. We assume no obligation to update publicly any forward-looking statements, including our Outlook for 2026, whether as a result of new information, future events or otherwise. Please refer to the "Forward-Looking Statements" disclosures included in this earnings release and "Risk Factors" disclosed in our annual and quarterly reports filed with the Securities and Exchange Commission for more information.
The following table presents the guidance range for 2026:
Low Range
High Range
Q3 2026
Y/E 2026
Q3 2026
Y/E 2026
(In thousands, except per share data)
Net income attributable to common stockholders
$
70,130
313,100
74,432
320,622
Depreciation and amortization
57,586
228,280
57,586
228,280
Gain on sales of real estate investments and non-operating
real estate
—
(30,074)
—
(30,074)
Funds from operations attributable to common stockholders*
$
127,716
511,306
132,018
518,828
Weighted average shares outstanding — Diluted
53,786
53,726
53,786
53,726
Per share data (diluted):
Net income attributable to common stockholders
$
1.30
5.83
1.38
5.97
Funds from operations attributable to common stockholders
2.37
9.52
2.45
9.66
*This is a non-GAAP financial measure. Please refer to Definitions.
The following assumptions were used for the mid-point:
Metrics
Revised Guidance for
Year 2026
April Earnings Release
Guidance for Year
2026
Actual for Year 2025
FFO per share
$9.52 - $9.66
$9.46 - $9.66
$8.98
FFO per share increase over prior year
6.8 %
6.5 %
7.5 %
FFO per share, excluding gain on involuntary conversion and business
interruption claims
$9.48 - $9.62
$9.42 - $9.62
$8.95
FFO per share increase over prior year, excluding gain on involuntary
conversion and business interruption claims
6.7 %
6.4 %
7.7 %
Same PNOI growth: cash basis (1)
6.3% - 7.3% (2)
5.7% - 6.7% (2)
6.7 %
Average month-end occupancy — Operating portfolio
95.3% - 96.1%(3)
95.0% - 96.0%
95.9 %
Average month-end occupancy — Same property pool
96.3% - 97.1% (2)
95.9% - 96.9% (2)
96.5 %
Development starts:
Square feet
2.2 million
1.8 million
1.4 million
Projected total investment
$325 million
$265 million
$179 million
Operating property acquisitions
$215 million
$160 million
$143 million
Operating property dispositions
(Potential gains on dispositions are not included in the projections)
$75 million
$75 million
$4 million
Gross capital proceeds (4)
$300 million
$300 million
$517 million
General and administrative expense
$26.7 million
$26.3 million
$24.0 million
(1) Excludes straight-line rent adjustments, amortization of market rent intangibles for acquired leases, and income from lease terminations.
(2) Includes properties which have been in the operating portfolio since 1/1/25 and are projected to be in the operating portfolio through 12/31/26; includes 58,047,000 square feet.
(3) Represents estimated average month-end occupancy from January-December 2026. Average month-end occupancy for July-September 2026 is estimated to be between 95.2%-96.0%.
(4) Gross capital proceeds includes proceeds raised from external sources, such as new long-term debt or equity issuances; excludes borrowings on unsecured bank credit facilities.
DEFINITIONS
Net income is used by the Company's management as the primary measure of operating results in making decisions. Investor and industry analysts primarily utilize two supplemental operating performance measures in analyzing operating results, which include: (1) funds from operations attributable to common stockholders ("FFO"), including FFO as adjusted as described below, and (2) property net operating income ("PNOI"), as defined below.
FFO is computed in accordance with standards established by the National Association of Real Estate Investment Trusts, Inc. ("Nareit"). Nareit's guidance allows preparers an option as it pertains to whether gains or losses on sale, or impairment charges, on real estate assets incidental to a real estate investment trust's ("REIT's") business are excluded from the calculation of FFO. EastGroup has made the election to exclude activity related to such assets that are incidental to our business. FFO is calculated as net income (loss) attributable to common stockholders computed in accordance with U.S. generally accepted accounting principles ("GAAP"), excluding gains and losses from sales of real estate property (including other assets incidental to the Company's business) and impairment losses, adjusted for real estate related depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures.
FFO, Excluding Gain on Involuntary Conversion and Business Interruption Claims, is calculated as FFO (as defined above), adjusted to exclude gains on involuntary conversion and business interruption claims. The Company believes that this exclusion presents a more meaningful comparison of operating performance across periods.
PNOI is defined as Income from real estate operations less Expenses from real estate operations (including market-based internal management fee expense) plus the Company's share of income and property operating expenses from its less-than-wholly-owned real estate investments. EastGroup sometimes refers to PNOI from Same Properties as "Same PNOI" in this press release and the accompanying reconciliation; the Company also presents Same PNOI Excluding Income from Lease Terminations. The Company presents Same PNOI and Same PNOI, Excluding Income from Lease Terminations, as a property-level supplemental measure of performance used to evaluate the performance of the Company's investments in real estate assets and its operating results on a same property basis. The Company believes it is useful to evaluate Same PNOI, Excluding Income from Lease Terminations, on both a straight-line and cash basis. The straight-line basis is calculated by averaging the customers' rent payments over the lives of the leases; GAAP requires the recognition of rental income on a straight-line basis. The cash basis excludes adjustments for straight-line rent and amortization of market rent intangibles for acquired leases; cash basis is an indicator of the rents charged to customers by the Company during the periods presented and is useful in analyzing the embedded rent growth in the Company's portfolio. "Same Properties" is defined as operating properties owned during the entire current period and prior year reporting period. Operating properties are stabilized real estate properties (land including building and improvements) that make up the Company's operating portfolio. Properties developed or acquired are excluded from the same property pool until held in the operating portfolio for both the current and prior year reporting periods. Properties sold during the current or prior year reporting periods are also excluded. A key component of the change in PNOI is the rental rate change on new and renewal leases. The Company calculates rental rate changes on new and renewal leases on a cash basis and straight-line basis. The cash basis rental changes are calculated as the difference, weighted by square feet, of the annualized base rent due the first month of the new lease's term and the annualized base rent of the rent due the last month of the former lease's term, for leases signed during the reporting period. If free rent, discounts, or premiums are in the lease terms, then the first full rent value is used. The straight-line basis rental changes are calculated as the difference, weighted by square feet, of the average rent over the life of the new lease and the average rent over the life of the former lease, for leases signed during the reporting period. Rent amounts exclude amortization of market rent intangibles for acquired leases, hold over rent, and base stop amounts. These calculations exclude leases with terms of less than 12 months and leases for first generation space on properties acquired or developed by EastGroup.
FFO and PNOI are supplemental industry reporting measurements used to evaluate the performance of the Company's investments in real estate assets and its operating results. The Company believes that the exclusion of depreciation and amortization in the industry's calculations of PNOI and FFO provides supplemental indicators of the properties' performance since real estate values have historically risen or fallen with market conditions. PNOI and FFO as calculated by the Company may not be comparable to similarly titled but differently calculated measures for other REITs. Investors should be aware that items excluded from or added back to FFO are significant components in understanding and assessing the Company's financial performance.
Earnings Before Interest, Taxes, Depreciation and Amortization for Real Estate ("EBITDAre") is also used by the Company's management as a key performance measure. EBITDAre is computed in accordance with standards established by Nareit and defined as Net Income, adjusted for gains and losses from sales of real estate investments, non-operating real estate and other assets incidental to the Company's business, interest expense, income tax expense, depreciation and amortization. EBITDAre is a non-GAAP financial measure used by the Company's management to measure the Company's operating performance and its ability to meet interest payment obligations and pay quarterly stock dividends on an unleveraged basis.
Debt-to-EBITDAre ratio is a non-GAAP financial measure calculated by dividing the Company's debt by its EBITDAre, and is used by the Company's management in analyzing the financial condition and operating performance of the Company relative to its leverage.
The Company's interest and fixed charge coverage ratio is a non-GAAP financial measure calculated by dividing the Company's EBITDAre by its interest expense. The Company believes this ratio is useful to investors because it provides a basis for analysis of the Company's leverage, operating performance and its ability to service the interest payments due on its debt.
CONFERENCE CALL
EastGroup will host a conference call and webcast to discuss the results of its second quarter, review the Company's current operations, and present its earnings outlook for 2026 on Thursday, July 23, 2026, at 10:00 a.m. Eastern Time. A live broadcast of the conference call is available by dialing 1-800-836-8184 (conference ID EastGroup) or by webcast through a link on the Company's website at www.eastgroup.net. If you are unable to listen to the live conference call, a telephone and webcast replay will be available on Thursday, July 23, 2026. The telephone replay will be available through Thursday, July 30, 2026, and can be accessed by dialing 1-888-660-6345 (access code 27874#). The webcast replay can be accessed through a link on the Company's website at www.eastgroup.net.
SUPPLEMENTAL INFORMATION
Supplemental financial information is available under Quarterly Results in the Investor Relations section of the Company's website at www.eastgroup.net.
COMPANY INFORMATION
EastGroup Properties, Inc. (NYSE: EGP), a member of the S&P Mid-Cap 400 and Russell 2000 Indexes, is a self-administered equity real estate investment trust focused on the development, acquisition and operation of industrial properties in high-growth markets throughout the United States with an emphasis in the states of Texas, Florida, California, Arizona and North Carolina. The Company's goal is to maximize shareholder value by being a leading provider in its markets of functional, flexible and quality business distribution space for location sensitive customers (primarily in the 20,000 to 100,000 square foot range). The Company's strategy for growth is based on ownership of premier distribution facilities generally clustered near major transportation features in supply-constrained submarkets. The Company's portfolio, including development projects and value-add acquisitions in lease-up and under construction, currently includes approximately 65.8 million square feet. EastGroup Properties, Inc. press releases are available at www.eastgroup.net.
The Company announces information about the Company and its business to investors and the public using the Company's website (eastgroup.net), including the investor relations website (investor.eastgroup.net), filings with the Securities and Exchange Commission, press releases, public conference calls, and webcasts. The Company also uses social media to communicate with its investors and the public. While not all the information that the Company posts to the Company's website or on the Company's social media channels is of a material nature, some information could be deemed to be material. Therefore, the Company encourages investors, the media, and others interested in the Company to review the information that it posts on the social media channels, including Facebook (facebook.com/eastgroupproperties), LinkedIn (linkedin.com/company/eastgroup-properties-inc), and X (X.com/eastgroupprop). The list of social media channels that the Company uses may be updated on its investor relations website from time to time. The information contained on, or that may be accessed through, our website or any of our social media channels is not incorporated by reference into, and is not a part of, this document.
FORWARD-LOOKING STATEMENTS
The statements and certain other information contained in this press release, which can be identified by the use of forward-looking terminology such as "may," "will," "seek," "expects," "anticipates," "believes," "targets," "intends," "should," "estimates," "could," "continue," "assume," "projects," "goals," "plans" or variations of such words and similar expressions or the negative of such words, constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to the safe harbors created thereby. These forward-looking statements reflect the Company's current views about its plans, intentions, expectations, strategies and prospects, which are based on the information currently available to the Company and on assumptions it has made. For instance, the amount, timing and frequency of future dividends is subject to authorization by the Company's Board of Directors and will be based upon a variety of factors. Although the Company believes that its plans, intentions, expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, the Company can give no assurance that such plans, intentions, expectations or strategies will be attained or achieved. Furthermore, these forward-looking statements should be considered as subject to the many risks and uncertainties that exist in the Company's operations and business environment. Such risks and uncertainties could cause actual results to differ materially from those projected. These uncertainties include, but are not limited to:
international, national, regional and local economic conditions and conflicts; the competitive environment in which the Company operates; fluctuations of occupancy or rental rates; potential defaults (including bankruptcies or insolvency) on or non-renewal of leases by tenants, or our ability to lease space at current or anticipated rents, particularly in light of the ongoing uncertainty around interest rates, tariffs and general economic conditions; disruption in supply and delivery chains; increased construction and development costs, including as a result of tariffs or the recent inflationary environment; acquisition and development risks, including failure of such acquisitions and development projects to perform in accordance with our projections or to materialize at all; potential changes in the law or governmental regulations and interpretations of those laws and regulations, including changes in real estate laws, real estate investment trust ("REIT") or corporate income tax laws, potential changes in zoning laws, or increases in real property tax rates, and any related increased cost of compliance; our ability to maintain our qualification as a REIT; natural disasters such as fires, floods, tornadoes, hurricanes, earthquakes or other extreme weather events, which may or may not be directly caused by longer-term shifts in climate patterns, could destroy buildings and damage regional economies; the availability of financing and capital, increases in or long-term elevated interest rates, and our ability to raise equity capital on attractive terms; financing risks, including the risks that our cash flows from operations may be insufficient to meet required payments of principal and interest, and we may be unable to refinance our existing debt upon maturity or obtain new financing on attractive terms or at all; our ability to retain our credit agency ratings; our ability to comply with applicable financial covenants; credit risk in the event of non-performance by the counterparties to our interest rate swaps; how and when pending forward equity sales may settle; lack of or insufficient amounts of insurance; litigation, including costs associated with prosecuting or defending claims and any adverse outcomes; our ability to attract and retain key personnel or lack of adequate succession planning; risks related to the failure, inadequacy or interruption of our data security systems and processes, including security breaches through cyber attacks; pandemics, epidemics or other public health emergencies, such as the coronavirus pandemic; potentially catastrophic events, such as acts of war, civil unrest and terrorism, including escalation or expansion of the war in the Middle East; and environmental liabilities, including costs, fines or penalties that may be incurred due to necessary remediation of contamination of properties presently owned or previously owned by us. All forward-looking statements should be read in light of the risks identified in Part I, Item 1A. Risk Factors within the Company's most recent Annual Report on Form 10-K, as such factors may be updated from time to time in the Company's periodic filings and current reports filed with the SEC.
The Company assumes no obligation to update publicly any forward-looking statements, including its Outlook for 2026, whether as a result of new information, future events or otherwise.
CONTACT
[email protected]
EASTGROUP PROPERTIES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME
(IN THOUSANDS, EXCEPT PER SHARE DATA)
(UNAUDITED)
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
REVENUES
Income from real estate operations
$
193,292
177,256
383,526
349,900
Other revenue
39
30
61
1,835
193,331
177,286
383,587
351,735
EXPENSES
Expenses from real estate operations
50,684
48,363
101,207
95,123
Depreciation and amortization
56,406
53,012
111,903
105,532
General and administrative
7,207
5,290
14,823
13,244
Indirect leasing costs
231
171
456
434
114,528
106,836
228,389
214,333
OTHER INCOME (EXPENSE)
Interest expense
(8,990)
(7,690)
(18,069)
(15,715)
Gain on sales of real estate investments
5,189
—
30,074
—
Other income
521
553
2,944
1,063
NET INCOME
75,523
63,313
170,147
122,750
Net income attributable to noncontrolling interest in joint ventures
—
(14)
—
(28)
NET INCOME ATTRIBUTABLE TO EASTGROUP PROPERTIES, INC. COMMON STOCKHOLDERS
75,523
63,299
170,147
122,722
Other comprehensive income (loss) — Interest rate swaps
3,426
(4,136)
5,405
(11,063)
TOTAL COMPREHENSIVE INCOME
$
78,949
59,163
175,552
111,659
BASIC PER COMMON SHARE DATA FOR NET INCOME ATTRIBUTABLE TO EASTGROUP
PROPERTIES, INC. COMMON STOCKHOLDERS
Net income attributable to common stockholders
$
1.41
1.21
3.18
2.35
Weighted average shares outstanding — Basic
53,672
52,508
53,562
52,237
DILUTED PER COMMON SHARE DATA FOR NET INCOME ATTRIBUTABLE TO EASTGROUP
PROPERTIES, INC. COMMON STOCKHOLDERS
Net income attributable to common stockholders
$
1.40
1.20
3.17
2.35
Weighted average shares outstanding — Diluted
53,783
52,579
53,665
52,304
EASTGROUP PROPERTIES, INC. AND SUBSIDIARIES
RECONCILIATIONS OF GAAP TO NON-GAAP MEASURES
(IN THOUSANDS, EXCEPT PER SHARE DATA)
(UNAUDITED)
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
NET INCOME ATTRIBUTABLE TO EASTGROUP PROPERTIES, INC. COMMON
STOCKHOLDERS
$
75,523
63,299
170,147
122,722
Depreciation and amortization
56,406
53,012
111,903
105,532
Company's share of depreciation from unconsolidated investment
31
31
62
62
Depreciation and amortization attributable to noncontrolling interest
—
(1)
(1)
(2)
Gain on sales of real estate investments
(5,189)
—
(30,074)
—
FUNDS FROM OPERATIONS ("FFO") ATTRIBUTABLE TO COMMON STOCKHOLDERS*
126,771
116,341
252,037
228,314
Gain on involuntary conversion and business interruption claims
—
—
(1,950)
(1,763)
FFO ATTRIBUTABLE TO COMMON STOCKHOLDERS, EXCLUDING GAIN ON
INVOLUNTARY CONVERSION AND BUSINESS INTERRUPTION CLAIMS*
$
126,771
116,341
250,087
226,551
NET INCOME
$
75,523
63,313
170,147
122,750
Interest expense (1)
8,990
7,690
18,069
15,715
Depreciation and amortization
56,406
53,012
111,903
105,532
Company's share of depreciation from unconsolidated investment
31
31
62
62
EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION AND AMORTIZATION ("EBITDA")
140,950
124,046
300,181
244,059
Gain on sales of real estate investments
(5,189)
—
(30,074)
—
EBITDA FOR REAL ESTATE ("EBITDAre")*
$
135,761
124,046
270,107
244,059
Debt
$
1,609,488
1,454,379
1,609,488
1,454,379
Debt-to-EBITDAre ratio*
3.0
2.9
3.0
3.0
EBITDAre*
$
135,761
124,046
270,107
244,059
Interest expense (1)
8,990
7,690
18,069
15,715
Interest and fixed charge coverage ratio*
15.1
16.1
14.9
15.5
DILUTED PER COMMON SHARE DATA FOR EASTGROUP PROPERTIES, INC. COMMON
STOCKHOLDERS
Net income attributable to common stockholders
$
1.40
1.20
3.17
2.35
FFO attributable to common stockholders*
$
2.36
2.21
4.70
4.37
FFO attributable to common stockholders, excluding gain on involuntary conversion and business
interruption claims*
$
2.36
2.21
4.66
4.33
Weighted average shares outstanding for EPS and FFO purposes — Diluted
53,783
52,579
53,665
52,304
(1) Net of capitalized interest of $5,649 and $5,340 for the three months ended June 30, 2026 and 2025, respectively; and $11,572 and $10,500 for the six months ended June 30, 2026 and 2025, respectively.
*This is a non-GAAP financial measure. Please refer to Definitions.
EASTGROUP PROPERTIES, INC. AND SUBSIDIARIES
RECONCILIATIONS OF GAAP TO NON-GAAP MEASURES (Continued)
(IN THOUSANDS)
(UNAUDITED)
Three Months Ended
Six Months Ended
June 30,
June 30,
2026
2025
2026
2025
NET INCOME
$
75,523
63,313
170,147
122,750
Gain on sales of real estate investments
(5,189)
—
(30,074)
—
Gain on involuntary conversion and business interruption claims
—
—
(1,950)
(1,763)
Interest income
(244)
(277)
(439)
(509)
Other
(39)
(30)
(61)
(72)
Indirect leasing costs
231
171
456
434
Depreciation and amortization
56,406
53,012
111,903
105,532
Company's share of depreciation from unconsolidated investment
31
31
62
62
Interest expense (1)
8,990
7,690
18,069
15,715
General and administrative expense (2)
7,207
5,290
14,823
13,244
Noncontrolling interest in PNOI of consolidated joint ventures
—
(16)
—
(31)
PROPERTY NET OPERATING INCOME ("PNOI")*
142,916
129,184
282,936
255,362
PNOI from 2025 and 2026 acquisitions
(2,965)
—
(5,623)
—
PNOI from 2025 and 2026 development and value-add properties
(6,138)
(2,577)
(10,625)
(4,361)
PNOI from 2025 and 2026 operating property dispositions
(5)
(676)
(363)
(1,406)
Other PNOI
222
455
417
713
SAME PNOI (Straight-Line Basis)*
134,030
126,386
266,742
250,308
Lease termination fee income from same properties
(52)
(193)
(95)
(732)
SAME PNOI, EXCLUDING INCOME FROM LEASE TERMINATIONS (Straight-Line Basis)*
133,978
126,193
266,647
249,576
Straight-line rent adjustments for same properties
(1,274)
(3,391)
(2,813)
(6,386)
Acquired leases — Market rent adjustment amortization for same properties
(1,323)
(1,520)
(2,692)
(3,087)
SAME PNOI, EXCLUDING INCOME FROM LEASE TERMINATIONS (Cash Basis)*
$
131,381
121,282
261,142
240,103
(1) Net of capitalized interest of $5,649 and $5,340 for the three months ended June 30, 2026 and 2025, respectively; and $11,572 and $10,500 for the six months ended June 30, 2026 and 2025, respectively.
(2) Net of capitalized development costs of $1,785 and $1,717 for the three months ended June 30, 2026 and 2025, respectively; and $4,124 and $3,671 for the six months ended June 30, 2026 and 2025, respectively.
*This is a non-GAAP financial measure. Please refer to Definitions.
NOVI, Mich., July 22, 2026 (GLOBE NEWSWIRE) -- Gentherm (NASDAQ: THRM), a global market leader of innovative thermal management and pneumatic comfort technologies, today announced it has acquired Innovative Medical Equipment, LLC (IME), a Cleveland-area provider of the ThermaZone® thermal therapy device. The acquisition supports Gentherm's strategy to strengthen its Medical business through a strategic investment that expands its product portfolio.
IME adds an established technology platform and customer base that expands Gentherm’s addressable opportunities in healthcare while remaining aligned with the Company’s broader expertise. ThermaZone is a non-opioid thermal therapy solution designed to support pain management and recovery through controlled hot-and-cold therapy.
“We are intent on transforming Gentherm by building on our leadership in thermal management and expanding into markets where our capabilities and customer relationships can create long-term value,” said Bill Presley, President and CEO of Gentherm. “This transaction reflects Gentherm’s disciplined approach to capital deployment, prioritizing investments that align with its thermal and precision flow management capabilities and scalable global operating model.”
“Joining Gentherm creates an opportunity to build on the foundation we have established with ThermaZone and support the next stage of growth for the business,” said Brad Pulver, Founder and President of Innovative Medical Equipment. “Gentherm’s scale, technical capabilities and global operating experience make it a strong fit for IME as we look to broaden access to our technology.”
Gentherm expects the acquisition to support its long-term strategic initiatives by adding a new platform that advances the Company’s broader growth strategy and will deliver revenue synergies by leveraging its expanded customer relationships across additional channels.
About Gentherm
Gentherm (NASDAQ: THRM) is a global market leader of innovative thermal management and pneumatic comfort technologies. Automotive products include Climate Control Seats (CCS®), Climate Control Interiors (CCI™), Lumbar and Massage Comfort Solutions, and Valve Systems. Medical products include patient temperature management systems. The Company is also developing new technologies and products for existing and adjacent markets. Gentherm has more than 14,000 employees in facilities across 13 countries. In 2025, the Company recorded annual sales of approximately $1.5 billion and secured $2.2 billion in automotive new business awards. For more information, go to www.gentherm.com.
Logitech International SA (USA) (NASDAQ:LOGI) is expected to deliver fiscal first-quarter results near the upper end of its guidance range when it reports on July 28, according to Wedbush analysts.
The analysts maintained their ‘Outperform’ rating and $135 price target ahead of the release, implying upside from current levels of about $104.
They expect Logitech to post revenue of $1.21 billion for the quarter, up 5% from a year earlier and slightly above the consensus estimate of $1.20 billion.
They also expect non-GAAP operating income of $215 million, at the top end of the company's guidance range of $195 million to $215 million and above the consensus estimate of $209 million.
Wedbush projects earnings per share of $1.39, compared with the consensus forecast of $1.32. The firm expects gross margin to improve by about 160 basis points year over year to 43.7%, driven by pricing improvements, although partially offset by promotional activity.
The analysts expect Logitech to report growth despite ongoing pressure on the broader PC market, supported by strength across multiple product categories and geographic markets.
"We expect Logitech to report in line growth despite category headwinds as it diversifies its strengths across categories and geographies," Wedbush wrote.
By segment, the firm forecasts 3% year-over-year growth in Personal Workspace Solutions, including 5% growth in Keyboards & Combos and 4% growth in Pointing Devices, while Webcams and Tablets & Other Accessories are expected to remain broadly flat. Video Collaboration revenue is projected to rise 5% despite a difficult comparison from the prior year, while Gaming revenue is expected to increase 10%, supported by the launch of Logitech's G Pro X2 Superstrike gaming mouse and continued momentum from its China-focused strategy.
Wedbush also highlighted Logitech's ability to expand margins despite higher component and shipping costs, citing product innovation, cost reductions, targeted promotions, and supply chain improvements. The firm noted that the company's focus on expanding its business-to-business operations, gaining market share in China, reaccelerating its video conferencing business, and strengthening its position in personal workspace solutions has helped offset broader industry challenges.
The analysts also pointed to Logitech's balance sheet as a source of flexibility, noting the company holds approximately $12 per share in cash and carries no debt, providing capacity for acquisitions, share repurchases, and dividend growth.
Logitech will report its fiscal Q1 results after the market closes on July 28.
, /PRNewswire/ -- Rollins, Inc. (NYSE:ROL) ("Rollins" or the "Company"), a premier global consumer and commercial services company, reported unaudited financial results for the second quarter of 2026.
Key Highlights
Second quarter revenues were $1.1 billion, an increase of 7.9% over the second quarter of 2025 with organic revenues* increasing 5.7%. Quarterly operating income was $201 million, an increase of 1.5% over the second quarter of 2025. Quarterly operating margin was 18.7%, a decrease of 110 basis points compared to the second quarter of 2025. Adjusted operating income* was $210 million, an increase of 2.0% over the prior year. Adjusted operating margin* was 19.5%, a decrease of 110 basis points compared to the prior year. Quarterly net income was $144 million, an increase of 1.7% over the prior year. Adjusted net income* was $152 million, an increase of 3.4% over the prior year. Adjusted EBITDA* was $236 million, an increase of 2.2% over the prior year. Adjusted EBITDA margin* was 21.9%, a decrease of 120 basis points versus the second quarter of 2025. Quarterly EPS was $0.30 per diluted share, a 3.4% increase over the prior year EPS of $0.29. Adjusted EPS* was $0.32 per diluted share, an increase of 6.7% over the prior year. Operating cash flow was $173 million for the quarter, a decrease of 1.5% compared to the prior year. Free cash flow* was $166 million for the quarter, a decrease of 1.2% compared to the prior year. The Company invested $117 million in acquisitions, $6 million in capital expenditures, and paid dividends totaling $88 million. *Amounts are non-GAAP financial measures. See the schedules below for a discussion of non-GAAP financial metrics including a reconciliation to the most directly comparable GAAP measure.
Management Commentary
"Our second quarter results fell short of our expectations due to slower growth in parts of our residential pest control business, specifically brands more reliant on consumer-initiated demand through search, digital media and inbound calls, as lead volume declined in the quarter. Meanwhile, areas of the business that leverage relationship-based channels, such as home builders and door-to-door sales, delivered solid organic growth in the quarter, reinforcing the importance of our diversified, multi-brand approach. Although we remain cautious regarding near-term demand trends, lead volume improved toward the end of June and has maintained this momentum through the first few weeks of July," said Jerry Gahlhoff, Jr., President and Chief Executive Officer.
"Demand trends softened during the quarter, while our cost structure remained positioned for a stronger growth environment entering peak season. As a result, our margin performance was below our expectations. We have implemented organizational and operational changes to improve local execution, strengthen accountability, and better align resources with current demand conditions, while continuing to invest in areas that will drive long-term growth. Despite near-term challenges, our balance sheet remains strong, cash flow generation is healthy, and we have significant flexibility to reinvest in our business through our disciplined and balanced approach to capital allocation," said Will Harkins, Executive Vice President and Chief Financial Officer.
Three and Six Months Ended Financial Highlights
Three Months Ended June 30,
Six Months Ended June 30,
Variance
Variance
(unaudited, in thousands, except per
share data and margins)
2026
2025
$
%
2026
2025
$
%
GAAP Metrics
Revenues
$ 1,078,576
$ 999,527
$ 79,049
7.9 %
$ 1,985,000
$ 1,822,031
$ 162,969
8.9 %
Gross profit (1)
$ 569,946
$ 537,666
$ 32,280
6.0 %
$ 1,030,848
$ 960,036
$ 70,812
7.4 %
Gross profit margin (1)
52.8 %
53.8 %
(100) bps
51.9 %
52.7 %
(80) bps
Operating income
$ 201,359
$ 198,333
$ 3,026
1.5 %
$ 346,845
$ 340,981
$ 5,864
1.7 %
Operating margin
18.7 %
19.8 %
(110) bps
17.5 %
18.7 %
(120) bps
Net income
$ 143,910
$ 141,489
$ 2,421
1.7 %
$ 251,748
$ 246,737
$ 5,011
2.0 %
EPS
$ 0.30
$ 0.29
$ 0.01
3.4 %
$ 0.52
$ 0.51
$ 0.01
2.0 %
Net cash provided by operating
activities
$ 172,506
$ 175,122
$ (2,616)
(1.5) %
$ 290,873
$ 322,014
$ (31,141)
(9.7) %
Non-GAAP Metrics
Adjusted operating income (2)
$ 209,939
$ 205,900
$ 4,039
2.0 %
$ 362,732
$ 352,769
$ 9,963
2.8 %
Adjusted operating margin (2)
19.5 %
20.6 %
(110) bps
18.3 %
19.4 %
(110) bps
Adjusted net income (2)
$ 151,927
$ 146,902
$ 5,025
3.4 %
$ 265,156
$ 254,775
$ 10,381
4.1 %
Adjusted EPS (2)
$ 0.32
$ 0.30
$ 0.02
6.7 %
$ 0.55
$ 0.53
$ 0.02
3.8 %
Adjusted EBITDA (2)
$ 236,292
$ 231,152
$ 5,140
2.2 %
$ 415,761
$ 403,009
$ 12,752
3.2 %
Adjusted EBITDA margin (2)
21.9 %
23.1 %
(120) bps
20.9 %
22.1 %
(120) bps
Free cash flow (2)
$ 166,077
$ 168,046
$ (1,969)
(1.2) %
$ 277,305
$ 308,157
$ (30,852)
(10.0) %
(1) Exclusive of depreciation and amortization
(2) Amounts are non-GAAP financial measures. See the appendix to this release for a discussion of non-GAAP financial metrics including a reconciliation to the most directly comparable GAAP measure.
The following table presents financial information, including our significant expense categories, for the three and six months ended June 30, 2026 and 2025:
Three Months Ended June 30,
Six Months Ended June 30,
(unaudited, in thousands)
2026
2025
2026
2025
$
% of
Revenue
$
% of
Revenue
$
% of
Revenue
$
% of
Revenue
Revenue
$ 1,078,576
100.0 %
$ 999,527
100.0 %
$ 1,985,000
100.0 %
$ 1,822,031
100.0 %
Less:
Cost of services provided (exclusive of
Employee expenses
328,787
30.5 %
298,354
29.8 %
618,509
31.2 %
560,077
30.7 %
Materials and supplies
66,339
6.2 %
59,500
6.0 %
119,556
6.0 %
107,991
5.9 %
Insurance and claims
21,932
2.0 %
20,734
2.1 %
43,079
2.2 %
37,258
2.0 %
Fleet expenses
46,959
4.4 %
41,834
4.2 %
89,131
4.5 %
78,691
4.3 %
Other cost of services provided (1)
44,613
4.1 %
41,439
4.1 %
83,877
4.2 %
77,978
4.3 %
Total cost of services provided (exclusive of
depreciation and amortization below)
508,630
47.2 %
461,861
46.2 %
954,152
48.1 %
861,995
47.3 %
Sales, general and administrative:
Selling and marketing expenses
151,967
14.1 %
140,177
14.0 %
263,966
13.3 %
238,428
13.1 %
Administrative employee expenses
95,733
8.9 %
89,303
8.9 %
185,482
9.3 %
170,783
9.4 %
Insurance and claims
13,239
1.2 %
12,939
1.3 %
25,822
1.3 %
22,943
1.3 %
Fleet expenses
11,775
1.1 %
10,443
1.0 %
22,037
1.1 %
19,846
1.1 %
Other sales, general and administrative (2)
62,263
5.8 %
54,734
5.5 %
120,588
6.1 %
106,109
5.8 %
Total sales, general and administrative
334,977
31.1 %
307,596
30.8 %
617,895
31.1 %
558,109
30.6 %
Depreciation and amortization
33,610
3.1 %
31,737
3.2 %
66,108
3.3 %
60,946
3.3 %
Interest expense, net
9,391
0.9 %
7,380
0.7 %
18,242
0.9 %
13,176
0.7 %
Other (income) expense, net
2,214
0.2 %
(292)
— %
1,751
0.1 %
(984)
(0.1) %
Income tax expense
45,844
4.3 %
49,756
5.0 %
75,104
3.8 %
82,052
4.5 %
Net income
$ 143,910
13.3 %
$ 141,489
14.2 %
$ 251,748
12.7 %
$ 246,737
13.5 %
1) Other cost of services provided includes facilities costs, professional services, maintenance & repairs, software license costs, and other expenses directly related to providing services.
2) Other sales, general and administrative includes facilities costs, professional services, maintenance & repairs, software license costs, bad debt expense, and other administrative expenses.
About Rollins, Inc.:
Rollins, Inc. (ROL) is a premier global consumer and commercial services company. Through its family of leading brands, the Company and its franchises provide essential pest control services and protection against termite damage, rodents, and insects to more than 2.8 million customers in North America, South America, Europe, Asia, Africa, and Australia, with approximately 22,000 employees from more than 850 locations. Rollins is parent to numerous brands, including Aardwolf Pestkare, Clark Pest Control, Crane Pest Control, Critter Control, Fox Pest Control, HomeTeam Pest Defense, Industrial Fumigant Company, MissQuito, Northwest Exterminating, OPC Pest Services, Orkin, Orkin Australia, Orkin Canada, Orkin UK, Safeguard, Romex Pest Control, Saela Pest Control, Trutech, Waltham Services, and Western Pest Services. You can learn more about Rollins and its subsidiaries by visiting www.rollins.com.
Cautionary Statement Regarding Forward-Looking Statements
This press release as well as other written or oral statements by the Company may contain "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. We have based these forward-looking statements on our current opinions, expectations, intentions, beliefs, plans, objectives, assumptions and projections about future events and financial trends affecting the operating results and financial condition of our business. Although we believe that these forward-looking statements are reasonable, we cannot assure you that we will achieve or realize these plans, intentions, or expectations. Generally, statements that do not relate to historical facts, including statements concerning possible or assumed future actions, business strategies, events or results of operations, are forward-looking statements. The words "believe," "continue," "could," "estimate," "expect," "intend," "may," "might," "plan," "possible," "potential," "predict," "should," "will," "would," and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements in this press release include, but are not limited to, statements regarding: the Company's expectations with respect to financial and business performance; near-term demand trends; lead volumes and consumer-initiated demand through search, digital media, inbound calls, and other channels; the sustainability of any improvement in lead volumes or demand trends experienced toward the end of the second quarter of 2026 or during the first weeks of July 2026; the performance and growth of relationship-based channels, including home builder and door-to-door sales channels; the benefits of the Company's diversified, multi-brand approach; seasonal profitability, margin performance, margin trends, and the alignment of the Company's cost structure with demand conditions; the expected effects of organizational and operational changes, including efforts to improve local execution, strengthen accountability, and align resources with demand conditions; investments intended to support long-term growth; the strength of the Company's balance sheet; cash flow generation; financial flexibility; capital allocation, including reinvestment in the business, acquisitions, capital expenditures, dividends, and share repurchases; and the Company's ability to execute its strategy and continue to grow.
These forward-looking statements are based on information available as of the date of this press release, and current expectations, forecasts, and assumptions, and involve a number of judgments, risks and uncertainties. Important factors could cause actual results to differ materially from those indicated or implied by forward-looking statements including, but not limited to, those set forth in the sections entitled "Risk Factors" in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 and may also be described from time to time in our future reports filed with the SEC.
Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and we do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required by law.
Conference Call
Rollins will host a conference call on Thursday, July 23, 2026 at 8:30 a.m. Eastern Time to discuss the second quarter 2026 results. The conference call will also broadcast live over the internet via a link provided on the Rollins, Inc. website at www.rollins.com. Interested parties can also dial into the call at 1-877-869-3839 (domestic) or +1-201-689-8265 (internationally) with conference ID of 13761216. For interested individuals unable to join the call, a replay will be available on the website for 180 days.
ROLLINS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
(in thousands)
(unaudited)
June 30,
2026
December 31,
2025
ASSETS
Cash and cash equivalents
$ 109,085
$ 100,004
Trade receivables, net
238,989
202,518
Financed receivables, short-term, net
49,261
44,723
Materials and supplies
42,807
42,982
Other current assets
150,259
82,455
Total current assets
590,401
472,682
Equipment and property, net
126,689
126,187
Goodwill
1,449,382
1,374,664
Intangibles, net
601,532
582,384
Operating lease right-of-use assets
408,136
424,528
Financed receivables, long-term, net
118,181
110,057
Other assets
60,611
50,021
Total assets
$ 3,354,932
$ 3,140,523
LIABILITIES
Short-term debt
$ 215,918
$ 123,683
Accounts payable
79,759
44,361
Accrued insurance – current
48,706
44,123
Accrued compensation and related liabilities
132,197
128,259
Unearned revenues
196,468
187,670
Operating lease liabilities – current
138,677
137,410
Other current liabilities
126,376
120,019
Total current liabilities
938,101
785,525
Accrued insurance, less current portion
92,394
79,157
Operating lease liabilities, less current portion
273,601
290,765
Long-term debt
487,107
486,147
Other long-term accrued liabilities
134,132
124,608
Total liabilities
1,925,335
1,766,202
STOCKHOLDERS' EQUITY
Common stock
481,124
481,194
Retained earnings and other equity
948,473
893,127
Total stockholders' equity
1,429,597
1,374,321
Total liabilities and stockholders' equity
$ 3,354,932
$ 3,140,523
ROLLINS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(in thousands except per share data)
(unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
REVENUES
Customer services
$ 1,078,576
$ 999,527
$ 1,985,000
$ 1,822,031
COSTS AND EXPENSES
Cost of services provided (exclusive of
depreciation and amortization below)
508,630
461,861
954,152
861,995
Sales, general and administrative
334,977
307,596
617,895
558,109
Depreciation and amortization
33,610
31,737
66,108
60,946
Total operating expenses
877,217
801,194
1,638,155
1,481,050
OPERATING INCOME
201,359
198,333
346,845
340,981
Interest expense, net
9,391
7,380
18,242
13,176
Other (income) expense, net
2,214
(292)
1,751
(984)
CONSOLIDATED INCOME BEFORE INCOME
TAXES
189,754
191,245
326,852
328,789
PROVISION FOR INCOME TAXES
45,844
49,756
75,104
82,052
NET INCOME
$ 143,910
$ 141,489
$ 251,748
$ 246,737
NET INCOME PER SHARE - BASIC AND
DILUTED
$ 0.30
$ 0.29
$ 0.52
$ 0.51
Weighted average shares outstanding - basic
481,375
484,643
481,380
484,530
Weighted average shares outstanding - diluted
481,389
484,674
481,397
484,559
DIVIDENDS PAID PER SHARE
$ 0.1825
$ 0.1650
$ 0.3650
$ 0.3300
ROLLINS, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED CASH FLOW INFORMATION
(in thousands)
(unaudited)
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
OPERATING ACTIVITIES
Net income
$ 143,910
$ 141,489
$ 251,748
$ 246,737
Depreciation and amortization
33,610
31,737
66,108
60,946
Change in working capital and other operating
activities
(5,014)
1,896
(26,983)
14,331
Net cash provided by operating activities
172,506
175,122
290,873
322,014
INVESTING ACTIVITIES
Acquisitions, net of cash acquired
(116,767)
(226,387)
(135,255)
(253,578)
Capital expenditures
(6,429)
(7,076)
(13,568)
(13,857)
Other investing activities, net
1,554
2,939
2,614
4,344
Net cash used in investing activities
(121,642)
(230,524)
(146,209)
(263,091)
FINANCING ACTIVITIES
Net borrowings (repayments)
51,992
59,989
101,488
155,204
Payment of dividends
(88,092)
(79,463)
(175,941)
(159,373)
Cash paid for common stock purchased
(20,476)
(251)
(42,826)
(14,922)
Other financing activities, net
(1,954)
(4,233)
(17,443)
(9,479)
Net cash used in financing activities
(58,530)
(23,958)
(134,722)
(28,570)
Effect of exchange rate changes on cash and
cash equivalents
208
1,218
(861)
3,052
Net increase (decrease) in cash and cash
equivalents
$ (7,458)
$ (78,142)
$ 9,081
$ 33,405
APPENDIX
Reconciliation of GAAP and non-GAAP Financial Measures
A non-GAAP financial measure is a numerical measure of financial performance, financial position, or cash flows that either 1) excludes amounts, or is subject to adjustments that have the effect of excluding amounts, that are included in the most directly comparable measure calculated and presented in accordance with GAAP in the statement of operations, balance sheet or statement of cash flows, or 2) includes amounts, or is subject to adjustments that have the effect of including amounts, that are excluded from the most directly comparable measure so calculated and presented.
These measures should not be considered in isolation or as a substitute for revenues, net income, earnings per share or other performance measures prepared in accordance with GAAP. Management believes all of these non-GAAP financial measures are useful to provide investors with information about current trends in, and period-over-period comparisons of, the Company's results of operations. An analysis of any non-GAAP financial measure should be used in conjunction with results presented in accordance with GAAP.
The Company has used the following non-GAAP financial measures in this earnings release:
Organic revenues
Organic revenues are calculated as revenues less the revenues from acquisitions completed within the prior 12 months and excluding the revenues from divested businesses. Acquisition revenues are based on the trailing 12-month revenue of our acquired entities. Management uses organic revenues, and organic revenues by type to compare revenues over various periods excluding the impact of acquisitions and divestitures.
Adjusted operating income and adjusted operating margin
Adjusted operating income and adjusted operating margin are calculated by adding back to operating income those expenses associated with the amortization of intangible assets and adjustments to the fair value of contingent consideration resulting from the acquisitions of Fox Pest Control, Saela Pest Control and Romex Pest Control. Adjusted operating margin is calculated as adjusted operating income divided by revenues. Management uses adjusted operating income and adjusted operating margin as measures of operating performance because these measures allow the Company to compare performance consistently over various periods.
Adjusted net income and adjusted EPS
Adjusted net income and adjusted EPS are calculated by adding back to the GAAP measures amortization of intangible assets and adjustments to the fair value of contingent consideration resulting from the acquisitions of Fox Pest Control, Saela Pest Control and Romex Pest Control, excluding gains and losses on the sale of non-operational assets and gains on the sale of businesses, and by further subtracting the tax impact of those expenses, gains, or losses. Management uses adjusted net income and adjusted EPS as measures of operating performance because these measures allow the Company to compare performance consistently over various periods.
EBITDA is calculated by adding back to net income depreciation and amortization, interest expense, net, and provision for income taxes. EBITDA margin is calculated as EBITDA divided by revenues. Adjusted EBITDA and adjusted EBITDA margin are calculated by further adding back those expenses associated with the adjustments to the fair value of contingent consideration resulting from the acquisitions of Fox Pest Control, Saela Pest Control and Romex Pest Control, and excluding gains and losses on the sale of non-operational assets and gains on the sale of businesses. Management uses EBITDA, EBITDA margin, adjusted EBITDA and adjusted EBITDA margin as measures of operating performance because these measures allow the Company to compare performance consistently over various periods. Incremental EBITDA margin is calculated as the change in EBITDA divided by the change in revenue. Management uses incremental EBITDA margin as a measure of operating performance because this measure allows the Company to compare performance consistently over various periods. Adjusted incremental EBITDA margin is calculated as the change in adjusted EBITDA divided by the change in revenue. Management uses adjusted incremental EBITDA margin as a measure of operating performance because this measure allows the Company to compare performance consistently over various periods.
Free cash flow and free cash flow conversion
Free cash flow is calculated by subtracting capital expenditures from cash provided by operating activities. Management uses free cash flow to demonstrate the Company's ability to maintain its asset base and generate future cash flows from operations. Free cash flow conversion is calculated as free cash flow divided by net income.
Management uses free cash flow conversion to demonstrate how much net income is converted into cash. Management believes that free cash flow is an important financial measure for use in evaluating the Company's liquidity. Free cash flow should be considered in addition to, rather than as a substitute for, net cash provided by operating activities as a measure of our liquidity. Additionally, the Company's definition of free cash flow is limited, in that it does not represent residual cash flows available for discretionary expenditures, due to the fact that the measure does not deduct the payments required for debt service and other contractual obligations or payments made for business acquisitions. Therefore, management believes it is important to view free cash flow as a measure that provides supplemental information to our condensed consolidated statements of cash flows.
Adjusted sales, general and administrative ("SG&A")
Adjusted SG&A is calculated by removing the adjustments to the fair value of contingent consideration resulting from the acquisitions of Fox Pest Control, Saela Pest Control and Romex Pest Control. Management uses adjusted SG&A to compare SG&A expenses consistently over various periods.
Leverage ratio
Leverage ratio, a financial valuation measure, is calculated by dividing adjusted net debt by adjusted EBITDAR. Adjusted net debt is calculated by adding short-term debt and operating lease liabilities to total long-term debt less a cash adjustment of 90% of total consolidated cash. Adjusted EBITDAR is calculated by adding back to net income depreciation and amortization, interest expense, net, provision for income taxes, operating lease cost, and stock-based compensation expense. Management uses leverage ratio as an assessment of overall liquidity, financial flexibility, and leverage.
Set forth below is a reconciliation of the non-GAAP financial measures contained in this release to their most directly comparable GAAP measures.
(unaudited, in thousands, except per share data and margins)
Three Months Ended June 30,
Six Months Ended June 30,
Variance
Variance
2026
2025
$
%
2026
2025
$
%
Reconciliation of Revenues to Organic Revenues
Revenues
$ 1,078,576
$ 999,527
79,049
7.9
$ 1,985,000
$ 1,822,031
162,969
8.9
Revenues from acquisitions
(21,817)
—
(21,817)
2.2
(51,675)
—
(51,675)
2.8
Organic revenues
$ 1,056,759
$ 999,527
57,232
5.7
$ 1,933,325
$ 1,822,031
111,294
6.1
Reconciliation of Residential Revenues to Organic Residential Revenues
Residential revenues
$ 485,845
$ 455,665
30,180
6.6
$ 875,349
$ 811,978
63,371
7.8
Residential revenues from
acquisitions
(13,950)
—
(13,950)
3.0
(32,095)
—
(32,095)
3.9
Residential organic revenues
$ 471,895
$ 455,665
16,230
3.6
$ 843,254
$ 811,978
31,276
3.9
Reconciliation of Commercial Revenues to Organic Commercial Revenues
Commercial revenues
$ 347,913
$ 320,490
27,423
8.6
$ 659,639
$ 604,847
54,792
9.1
Commercial revenues from
acquisitions
(4,467)
—
(4,467)
1.4
(9,838)
—
(9,838)
1.7
Commercial organic revenues
$ 343,446
$ 320,490
22,956
7.2
$ 649,801
$ 604,847
44,954
7.4
Reconciliation of Termite and Ancillary Revenues to Organic Termite and Ancillary Revenues
Termite and ancillary revenues
$ 234,151
$ 211,855
22,296
10.5
$ 429,574
$ 383,985
45,589
11.9
Termite and ancillary revenues from
acquisitions
(3,400)
—
(3,400)
1.6
(9,742)
—
(9,742)
2.6
Termite and ancillary organic
revenues
$ 230,751
$ 211,855
18,896
8.9
$ 419,832
$ 383,985
35,847
9.3
Reconciliation of Franchise and Other Revenues to Organic Franchise and Other Revenues
Franchise and other revenues
$ 10,667
$ 11,517
(850)
(7.4)
$ 20,438
$ 21,221
(783)
(3.7)
Franchise and other revenues from
acquisitions
—
—
—
—
—
—
—
—
Franchise and other organic
revenues
$ 10,667
$ 11,517
(850)
(7.4)
$ 20,438
$ 21,221
(783)
(3.7)
Three Months Ended June 30,
Six Months Ended June 30,
Variance
Variance
2026
2025
$
%
2026
2025
$
%
Reconciliation of Operating Income and Operating Income Margin to Adjusted Operating Income and Adjusted Operating Margin
Operating income
$ 201,359
$ 198,333
$ 346,845
$ 340,981
Acquisition-related expenses (1)
8,580
7,567
15,887
11,788
Adjusted operating income
$ 209,939
$ 205,900
4,039
2.0
$ 362,732
$ 352,769
9,963
2.8
Revenues
$ 1,078,576
$ 999,527
$ 1,985,000
$ 1,822,031
Operating margin
18.7 %
19.8 %
17.5 %
18.7 %
Adjusted operating margin
19.5 %
20.6 %
18.3 %
19.4 %
Reconciliation of Net Income and EPS to Adjusted Net Income and Adjusted EPS
Net income
$ 143,910
$ 141,489
$ 251,748
$ 246,737
Acquisition-related expenses (1)
8,580
7,567
15,887
11,788
Loss (gain) on sale of assets, net (2)
2,196
(292)
2,135
(984)
Tax impact of adjustments (3)
(2,759)
(1,862)
(4,614)
(2,766)
Adjusted net income
$ 151,927
$ 146,902
5,025
3.4
$ 265,156
$ 254,775
10,381
4.1
EPS - basic and diluted
$ 0.30
$ 0.29
$ 0.52
$ 0.51
Acquisition-related expenses (1)
0.02
0.02
0.03
0.02
Loss (gain) on sale of assets, net (2)
—
—
—
—
Tax impact of adjustments (3)
(0.01)
—
(0.01)
(0.01)
Adjusted EPS - basic and diluted (4)
$ 0.32
$ 0.30
0.02
6.7
$ 0.55
$ 0.53
0.02
3.8
Weighted average shares outstanding
– basic
481,375
484,643
481,380
484,530
Weighted average shares outstanding
– diluted
481,389
484,674
481,397
484,559
Reconciliation of Net Income to EBITDA, Adjusted EBITDA, EBITDA Margin, Incremental EBITDA Margin, Adjusted EBITDA
Margin, and Adjusted Incremental EBITDA Margin
Net income
$ 143,910
$ 141,489
$ 251,748
$ 246,737
Depreciation and amortization
33,610
31,737
66,108
60,946
Interest expense, net
9,391
7,380
18,242
13,176
Provision for income taxes
45,844
49,756
75,104
82,052
EBITDA
$ 232,755
$ 230,362
2,393
1.0
$ 411,202
$ 402,911
8,291
2.1
Acquisition-related expenses (1)
1,341
1,082
2,424
1,082
Loss (gain) on sale of assets, net (2)
2,196
(292)
2,135
(984)
Adjusted EBITDA
$ 236,292
$ 231,152
5,140
2.2
$ 415,761
$ 403,009
12,752
3.2
Revenues
$ 1,078,576
$ 999,527
79,049
$ 1,985,000
$ 1,822,031
162,969
EBITDA margin
21.6 %
23.0 %
20.7 %
22.1 %
Incremental EBITDA margin
3.0 %
5.1 %
Adjusted EBITDA margin
21.9 %
23.1 %
20.9 %
22.1 %
Adjusted incremental EBITDA margin
6.5 %
7.8 %
Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow and Free Cash Flow Conversion
Net cash provided by operating activities
$ 172,506
$ 175,122
$ 290,873
$ 322,014
Capital expenditures
(6,429)
(7,076)
(13,568)
(13,857)
Free cash flow
$ 166,077
$ 168,046
(1,969)
(1.2)
$ 277,305
$ 308,157
(30,852)
(10.0)
Free cash flow conversion
115.4 %
118.8 %
110.2 %
124.9 %
Three Months Ended June 30,
Six Months Ended June 30,
2026
2025
2026
2025
Reconciliation of SG&A to Adjusted SG&A
SG&A
$ 334,977
$ 307,596
$ 617,895
$ 558,109
Acquisition-related expenses (1)
1,341
1,082
2,424
1,082
Adjusted SG&A
$ 333,636
$ 306,514
$ 615,471
$ 557,027
Revenues
$ 1,078,576
$ 999,527
$ 1,985,000
$ 1,822,031
Adjusted SG&A as a % of revenues
30.9 %
30.7 %
31.0 %
30.6 %
Period Ended
June 30, 2026
Period Ended
December 31, 2025
Reconciliation of Debt and Net Income to Leverage Ratio
Short-term debt (5)
$ 215,918
$ 123,683
Long-term debt (6)
500,000
500,000
Operating lease liabilities (7)
412,278
428,175
Cash adjustment (8)
(98,177)
(90,004)
Adjusted net debt
$ 1,030,019
$ 961,854
Net income
$ 531,716
$ 526,705
Depreciation and amortization
129,906
124,744
Interest expense, net
33,624
28,558
Provision for income taxes
167,273
174,221
Operating lease cost (9)
167,888
159,924
Stock-based compensation expense
41,393
39,707
Adjusted EBITDAR
$ 1,071,800
$ 1,053,859
Leverage ratio
1.0x
0.9x
(1) Consists of expenses resulting from the amortization of intangible assets and adjustments to the fair value of contingent consideration associated with the acquisitions of Fox Pest Control, Saela Pest Control and Romex Pest Control. While we exclude such expenses in this non-GAAP measure, the revenue from the acquired companies is reflected in this non-GAAP measure and the acquired assets contribute to revenue generation.
(2) Consists of the gain or loss on the sale of non-operational assets.
(3) The tax effect of the adjustments is calculated using the applicable statutory tax rates for the respective periods.
(4) In some cases, the sum of the individual EPS amounts may not equal total adjusted EPS calculations due to rounding.
(5) The Company's short-term borrowings are presented under the short-term debt caption of our condensed consolidated statement of financial position, net of unamortized discounts.
(6) As of June 30, 2026 and December 31, 2025, the Company had outstanding borrowings of $500 million from the issuance of our 2035 Senior Notes. These borrowings are presented under the long-term debt caption of our condensed consolidated statement of financial position, net of unamortized discount and unamortized debt issuance costs. As of June 30, 2026 and December 31, 2025, the Company had no outstanding borrowings under the Revolving Credit Facility.
(7) Operating lease liabilities are presented under the operating lease liabilities - current and operating lease liabilities, less current portion captions of our condensed consolidated statement of financial position.
(8) Represents 90% of cash and cash equivalents per our condensed consolidated statement of financial position as of both periods presented.
(9) Operating lease cost excludes short-term lease cost associated with leases that have a duration of 12 months or less.
For Further Information Contact
Lyndsey Burton (404) 888-2348
SAN JOSE, Calif.--(BUSINESS WIRE)--BILL (NYSE: BILL), the financial operations platform trusted by nearly half a million businesses to manage, move and maximize their money, announced today it will report financial results for its fiscal fourth quarter and fiscal year ended June 30, 2026 on Wednesday, August 19, 2026 after the close of market. Management will conduct a conference call to discuss these results at 1:30 p.m. PT.The news release with financial results and a live webcast of the call.
HOUSTON--(BUSINESS WIRE)--Kinder Morgan, Inc.’s (NYSE: KMI) board of directors today approved a cash dividend of $0.2975 per share for the second quarter ($1.19 annualized), payable on August 17, 2026, to stockholders of record as of the close of business on August 3, 2026. This dividend is a 2% increase over the second quarter of 2025.
KMI is reporting:
Second quarter net income attributable to KMI of $867 million, an all-time record high for the second quarter. This was up from $715 million in the second quarter of 2025. Adjusted Net Income Attributable to KMI, which excludes Certain Items, was $821 million, 33% higher than the second quarter of 2025. Adjusted EBITDA of $2,199 million was also a record for the second quarter and was up 12% versus the second quarter of 2025. Earnings per share (EPS) of $0.39, up 22% versus the second quarter of 2025, and Adjusted EPS of $0.37, up 32% versus the second quarter of 2025. “Our fee-based business model, strategically located network of assets, and portfolio of long-term contracts with financially strong customers continue to support stable and predictable cash flows,” Executive Chairman Richard D. Kinder said.
“At the same time, demand for natural gas infrastructure continues to grow. Increasing LNG exports, rising power demand, and industrial expansion make our existing highly utilized assets more valuable and create significant opportunities for investment across our footprint.
“The company’s stable cash flows provide the financial flexibility to fund virtually all of our project backlog internally, support a growing dividend and maintain a strong balance sheet,” Kinder said. “We expect those projects to generate attractive returns, driving future earnings and cash flow growth while helping meet the nation's growing energy infrastructure needs.”
“Strong financial contributions from our business segments resulted in a record second quarter. The company delivered second quarter 2026 net income attributable to KMI of $867 million, 21% higher than the second quarter of 2025, while Adjusted EPS and Adjusted EBITDA were 32% and 12% higher, respectively, than the second quarter of 2025,” Chief Executive Officer Kim Dang said.
Dang continued, “In the second quarter, we continued to internally fund high-quality capital projects while generating cash flow from operations of $2 billion and free cash flow (FCF), which is after capital expenditures, of $1 billion. Our balance sheet remains healthy, as we ended the quarter with a Net Debt-to-Adjusted EBITDA ratio of 3.6 times, at the low end of our targeted range.
“We also achieved very strong results from capital expansion project execution this quarter, placing approximately $660 million (KM-share) in expansion projects into service. These included Tennessee Gas Pipeline’s (TGP) Cumberland Project that will serve a new natural gas-fired power plant in Tennessee; Hiland Express, a conversion of our Double H Pipeline system from crude oil to natural gas liquids service; and the eagerly anticipated Gulf Coast Express pipeline expansion to increase natural gas flows from the Permian Basin to South Texas markets. These revenue-generating expansion projects now join our strong base business, adding to our unparalleled network of pipeline and storage assets.
“As a result of placing those large projects into service, our project backlog at the end of the second quarter of 2026 was $9.6 billion, down $500 million from the first quarter of 2026, although the board today provided contingent approval on almost $400 million in projects that are not yet in the backlog. Natural gas projects account for approximately 92% of our project backlog, and more than 60% of the backlog is associated with projects supporting power generation and local distribution company demand. Even beyond the backlog, we continue to see strong interest from our customers in developing additional natural gas infrastructure.
“In calculating backlog Project EBITDA multiples, we exclude both the capital and EBITDA from our CO2 enhanced oil recovery projects and our gathering and processing projects where first-full-year multiples are more favorable, but the earnings are more uneven than with our other business segments. We expect the remaining $8.5 billion of projects in the backlog, when realized, to generate an aggregate first-full-year Project EBITDA multiple of approximately 5.6 times.”
2026 Outlook
For 2026, KMI budgeted net income attributable to KMI of $3.1 billion, Adjusted EPS of $1.36, declared dividends of $1.19 per share, Adjusted EBITDA of $8.6 billion, and year-end Net Debt-to-Adjusted EBITDA of 3.8 times. Based on results through the second quarter, KMI currently expects to be more than 5% favorable to budget on an Adjusted EBITDA basis and more than 12% favorable to budget on Adjusted EPS for the year. We also expect to end the year with an improved Net Debt-to-Adjusted EBITDA of 3.6 times.
This press release includes Adjusted Net Income Attributable to KMI, Adjusted EPS, Adjusted Segment EBDA, Adjusted EBITDA, Net Debt, FCF, and Project EBITDA, all of which are non-GAAP financial measures. For descriptions of these non-GAAP financial measures and reconciliations to the most comparable measures prepared in accordance with generally accepted accounting principles, please see “Non-GAAP Financial Measures” and the tables accompanying our preliminary financial statements.
Overview of Business Segments
“The Natural Gas Pipelines business segment’s financial performance was up in the second quarter of 2026 relative to the second quarter of 2025, on higher contributions from our Texas Intrastate system and our gathering assets,” KMI President Dax Sanders said.
“Natural gas transport volumes were up 7% compared to the second quarter of 2025, primarily due to LNG deliveries on TGP, increased demand for services on our Texas Intrastate system, and increased exports to Mexico as well as higher power generation demand in Arizona on El Paso Natural Gas Pipeline.
“Natural gas gathering volumes were up 26% from the second quarter of 2025 across our assets, with our KinderHawk system experiencing the largest growth.
“Contributions from the Products Pipelines business segment were up compared to the second quarter of 2025 due primarily to higher commodity prices.
“Total refined products volumes were down 5% compared to the second quarter of 2025 due to temporary West Coast supply disruptions, as well as a higher commodity price environment over the quarter. Crude and condensate volumes were down 16% compared to the second quarter of 2025, largely due to the conversion of our Double H pipeline to natural gas liquids service,” Sanders said.
“Terminals business segment earnings were up compared to the second quarter of 2025. The increase was led by our liquids terminals business, which benefited from higher rates and ancillary fees at our Houston Ship Channel hub facilities as well as favorable commodity pricing. Earnings from our Jones Act tanker fleet, which remains fully contracted under term charter agreements, were also up versus the prior year period on higher average charter rates. Contributions from our bulk terminals business were down despite higher volumes owing to one-time events in the prior year period,” Sanders continued.
“CO2 business segment earnings, which include the Energy Transition Ventures group, were up compared to the second quarter of 2025 due primarily to higher commodity prices and volumes. Volumes at SACROC, our largest field, were up 15% compared to the prior year period,” Sanders said.
Other News
Natural Gas Pipelines
On June 26, 2026, the Federal Energy Regulatory Commission (FERC) issued a Final Environmental Impact Statement covering both Southern Natural Gas (SNG) and Elba Express (EEC) Companies’ South System Expansion 4 (SSE4) project and TGP’s Mississippi Crossing (MSX) project. FERC has previously indicated that it expects to issue orders granting certificates of public convenience and necessity for both projects by the end of July 2026. The approximately $3.5 billion SSE4 project (KM-share, including EEC, approximately $1.8 billion) is designed to increase SNG’s South Main Line capacity by roughly 1.3 billion cubic feet per day (Bcf/d). With the timely receipt of all permits and approvals, KMI expects to place the first phase of SSE4 in service in the fourth quarter of 2028 and the second phase in the fourth quarter of 2029. The approximately $1.7 billion MSX project is expected to be placed in service as early as the second quarter of 2028, subject to the timely receipt of all permits and approvals. On June 5, 2026, TGP filed an application with the FERC for its South Texas Enhancement Project. The approximately $90 million project is designed to provide incremental firm natural gas transportation to South Texas and Mexico markets and extend existing shippers’ transportation paths to access incremental natural gas supplies. The project includes approximately 1.7 miles of new pipeline, an overpressure protection facility, and a new compressor station. With the timely receipt of all required permits and approvals, TGP expects the project to be placed in service in the second quarter of 2028. Natural Gas Pipeline Company of America LLC (NGPL) is continuing to develop its Amarillo Expansion project to support growing demand in the Texas Panhandle, including additional data center development. The expansion is expected to provide incremental firm transportation capacity of up to approximately 550,000 Dth/d. All of the project’s capacity is fully subscribed under a long-term contract. NGPL is preparing to file an application with the FERC for the approximately $200 million project (KM-share approximately $75 million) in the third quarter of 2026. With the timely receipt of all required permits and approvals, NGPL expects the project to be placed in service in the third quarter of 2028. On May 26, 2026, TGP placed in service its approximately $235 million Cumberland project, an approximately 32-mile, 30-inch pipeline lateral originating from TGP’s existing 100 Line in Dickson County, Tennessee and terminating at Tennessee Valley Authority’s (TVA) new natural gas-fired power plant in Stewart County, Tennessee. The project provides approximately 245,000 Dth/d of additional natural gas transportation service to support TVA’s commissioning and operation of its new power plant. On April 29, 2026, KMI placed in service its approximately $165 million Hiland Express Pipeline project, converting the Double H Pipeline system from crude oil to natural gas liquids service and providing Williston Basin producers and midstream companies with pipeline capacity to key market hubs. On June 23, 2026, the approximately $450 million Gulf Coast Express expansion project (KM-share approximately $160 million) was placed in service. The expansion increases natural gas transportation capacity by approximately 570 million cubic feet per day from the Permian Basin to South Texas markets and brings total system capacity to approximately 2.59 Bcf/d. Products Pipelines
KMI and Phillips 66 continue to advance the Western Gateway Pipeline project and have started the process of pursuing the necessary permits. As previously noted, the project is subject to the execution of definitive transportation service agreements, joint venture agreements, and respective board approvals. The refined products pipeline system would connect Midwest and Gulf Coast refinery supplies to Phoenix, Arizona, and California markets with connectivity to Las Vegas, Nevada, via KMI’s CALNEV Pipeline. Terminals
KMI is expanding its industry-leading storage, connectivity, and logistics offering in its Houston Ship Channel refined products hub. The scope of work includes the construction of two dedicated refined products pipelines connecting KMI’s Pasadena Terminal with a nearby major refinery, as well as various intra-terminal piping and tank modifications, including enhanced in-tank blending capabilities for butane and other gasoline components. The approximately $139 million project is supported by a long-term storage and volume commitment with a major national oil company and is expected to be in service in the third quarter of 2027. KMI is expanding the connectivity and capabilities of its 1.5-million-barrel Kinder Morgan Export Terminal (KMET) on the Houston Ship Channel. The scope of work includes the reconfiguration of two existing bi-directional refined products pipelines between KMET and KMI’s Pasadena Terminal and various piping and tank modifications enhancing the in-tank blending capabilities at KMET. The approximately $30 million project is supported by a long-term storage commitment with a major international trading company and is expected to be in service in the first quarter of 2027. All expected in-service dates for projects described above assume timely receipt and continued effectiveness of all necessary permits and approvals.
Kinder Morgan, Inc. (NYSE: KMI) is one of the largest energy infrastructure companies in North America. Access to reliable, affordable energy is a critical component for improving lives around the world. We are committed to providing energy transportation and storage services in a safe, efficient, and environmentally responsible manner for the benefit of the people, communities, and businesses we serve. We own an interest in or operate approximately 78,000 miles of pipelines, 136 terminals, more than 700 Bcf of working natural gas storage capacity and have renewable natural gas generation capacity of approximately 6.9 Bcf per year of gross production. Our pipelines transport natural gas, refined petroleum products, crude oil, condensate, CO2, renewable fuels and other products, and our terminals store and handle various commodities, including gasoline, diesel fuel, jet fuel, chemicals, metals, petroleum coke, and ethanol and other renewable fuels and feedstocks. Learn more about our work advancing energy solutions on the lower carbon initiatives page at www.kindermorgan.com.
Please join Kinder Morgan, Inc. at 4:30 p.m. ET on Wednesday, July 22, at www.kindermorgan.com for a LIVE webcast conference call on the company’s second quarter earnings.
Non-GAAP Financial Measures
As described in further detail below, our management evaluates our performance primarily using Net income attributable to Kinder Morgan, Inc. and Segment earnings before DD&A expenses (EBDA), along with the non-GAAP financial measures of Adjusted Net Income Attributable to Common Stock, in the aggregate and per share, Adjusted Segment EBDA, Adjusted Net Income Attributable to Kinder Morgan, Inc., Adjusted earnings before interest, income taxes, DD&A expenses (EBITDA), and Net Debt.
Our non-GAAP financial measures described below should not be considered alternatives to GAAP net income attributable to Kinder Morgan, Inc. or other GAAP measures and have important limitations as analytical tools. Our computations of these non-GAAP financial measures may differ from similarly titled measures used by others. You should not consider these non-GAAP financial measures in isolation or as substitutes for an analysis of our results as reported under GAAP. Management compensates for the limitations of our consolidated non-GAAP financial measures by reviewing our comparable GAAP measures identified in the descriptions of consolidated non-GAAP measures below, understanding the differences between the measures and taking this information into account in its analysis and its decision-making processes.
Certain Items, as adjustments used to calculate our non-GAAP financial measures, are items that are required by GAAP to be reflected in net income attributable to Kinder Morgan, Inc., but typically (1) do not have a cash impact (for example, unsettled commodity hedges and asset impairments), (2) by their nature are separately identifiable from our normal business operations and in most cases are likely to occur only sporadically (for example, certain legal settlements, enactment of new tax legislation and casualty losses), or (3) align the timing of cash impacts from natural gas inventory hedges with the future associated physical withdrawals from inventory. (See the accompanying Tables 2, 3, 5, and 6.) We also include adjustments related to joint ventures (see “Amounts associated with Joint Ventures” below).
The following table summarizes our Certain Items for the three and six months ended June 30, 2026 and 2025.
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
(In millions)
Certain Items
Risk management activities (1)(2)
$
(83
)
$
(95
)
$
30
$
(11
)
Income tax Certain Items (3)
37
(2
)
11
(37
)
Other
—
1
—
1
Total Certain Items (4)(5)
$
(46
)
$
(96
)
$
41
$
(47
)
Notes
(1)
Includes changes in fair value of unsettled derivatives, of which gains or losses are reflected within non-GAAP financial measures when realized.
(2)
Includes natural gas inventory hedges, of which gains or losses are reflected within non-GAAP financial measures when the associated physical gas is withdrawn from inventory.
(3)
Represents the income tax provision on Certain Items plus discrete income tax items. Includes the impact of KMI’s income tax provision on Certain Items affecting earnings from equity investments and is separate from the related tax provision recognized at the investees by the joint ventures which are also taxable entities.
(4)
Amounts for the periods ended June 30, 2026 and 2025 include $(1) million and $(2) million for the three-month periods, respectively, and $(1) million for the six-month 2026 period reported within “Earnings from equity investments” on the accompanying Preliminary Consolidated Statement of Income of "Risk management activities."
(5)
Amounts for the three and six-month periods ended June 30, 2025 includes $(1) and $1 million, respectively, reported within "Interest, net" on the accompanying Preliminary Consolidated Statement of Income of “Risk management activities.”
Adjusted Net Income Attributable to Kinder Morgan, Inc. (KMI) is calculated by adjusting net income attributable to Kinder Morgan, Inc. for Certain Items. Adjusted Net Income Attributable to Kinder Morgan, Inc. is used by us, our investors, and other external users of our financial statements as a supplemental measure that provides decision-useful information regarding our period-over-period performance and ability to generate earnings that are core to our ongoing operations. We believe the GAAP measure most directly comparable to Adjusted Net Income Attributable to Kinder Morgan, Inc. is net income attributable to Kinder Morgan, Inc. (See the accompanying Tables 1 and 2.)
Adjusted Net Income Attributable to Common Stock is calculated by adjusting Net income attributable to Kinder Morgan, Inc., the most comparable GAAP measure, for Certain Items, and further for net income allocated to participating securities and adjusted net income in excess of distributions for participating securities. We believe Adjusted Net Income Attributable to Common Stock allows for calculation of adjusted earnings per share (Adjusted EPS) on the most comparable basis with earnings per share, the most comparable GAAP measure to Adjusted EPS. Adjusted EPS is calculated as Adjusted Net Income Attributable to Common Stock divided by our weighted average shares outstanding. Adjusted EPS applies the same two-class method used in arriving at basic earnings per share. Adjusted EPS is used by us, our investors, and other external users of our financial statements as a per-share supplemental measure that provides decision-useful information regarding our period-over-period performance and ability to generate earnings that are core to our ongoing operations. (See the accompanying Table 2.)
Adjusted Segment EBDA is calculated by adjusting segment earnings before DD&A, general and administrative expenses and corporate charges, interest expense, and income taxes (Segment EBDA) for Certain Items attributable to the segment. Adjusted Segment EBDA is used by management in its analysis of segment performance and management of our business. We believe Adjusted Segment EBDA is a useful performance metric because it provides management, investors, and other external users of our financial statements additional insight into performance trends across our business segments, our segments’ relative contributions to our consolidated performance, and the ability of our segments to generate earnings on an ongoing basis. Adjusted Segment EBDA is also used as a factor in determining compensation under our annual incentive compensation program for our business segment presidents and other business segment employees. We believe it is useful to investors because it is a measure that management uses to allocate resources to our segments and assess each segment’s performance. (See the accompanying Table 3.)
Adjusted EBITDA is calculated by adjusting net income attributable to Kinder Morgan, Inc. for Certain Items and further for DD&A, including the amortization of basis differences related to our joint ventures, income tax expense, and interest. We also include amounts from joint ventures for income taxes and DD&A (see “Amounts associated with Joint Ventures” below). Adjusted EBITDA (on a rolling 12-months basis) is used by management, investors, and other external users, in conjunction with our Net Debt (as described further below), to evaluate our leverage. Management and external users also use Adjusted EBITDA as an important metric to compare the valuations of companies across our industry. Our ratio of Net Debt-to-Adjusted EBITDA is used as a supplemental performance target for purposes of our annual incentive compensation program. We believe the GAAP measure most directly comparable to Adjusted EBITDA is net income attributable to Kinder Morgan, Inc. (See the accompanying Tables 2 and 5.)
Amounts associated with Joint Ventures - Certain Items and Adjusted EBITDA reflect amounts from unconsolidated joint ventures (JVs) and consolidated JVs utilizing the same recognition and measurement methods used to record “Earnings from equity investments” and “Noncontrolling interests (NCI),” respectively. The calculation of Adjusted EBITDA related to our unconsolidated and consolidated JVs includes the same adjustments (DD&A, including the amortization of basis differences related to joint ventures only, and income tax expense) with respect to the JVs as those included in the calculation of Adjusted EBITDA for our wholly-owned consolidated subsidiaries; further, we remove the portion of these adjustments attributable to non-controlling interests. (See Tables 2, 5 and 6.) Although these amounts related to our unconsolidated JVs are included in the calculation of Adjusted EBITDA, such inclusion should not be understood to imply that we have control over the operations and resulting revenues, expenses, or cash flows of such unconsolidated JVs.
Net Debt is calculated by subtracting from debt (1) cash and cash equivalents, (2) debt fair value adjustments, and (3) the foreign exchange impact on Euro-denominated bonds for which we have entered into currency swaps to convert that debt to U.S. dollars. Net Debt, on its own and in conjunction with our Adjusted EBITDA (on a rolling 12-months basis) as part of a ratio of Net Debt-to-Adjusted EBITDA, is a non-GAAP financial measure that is used by management, investors, and other external users of our financial information to evaluate our leverage. Our ratio of Net Debt-to-Adjusted EBITDA is also used as a supplemental performance target for purposes of our annual incentive compensation program. We believe the most comparable measure to Net Debt is total debt as reconciled in the notes to the accompanying Preliminary Consolidated Balance Sheets in Table 5.
Project EBITDA is calculated for an individual capital project as earnings before interest expense, taxes, DD&A, and general and administrative expenses attributable to such project, or for JV projects, consistent with the methods described above under “Amounts associated with Joint Ventures,” and in conjunction with capital expenditures for the project, is the basis for our Project EBITDA multiple. Management, investors, and others use Project EBITDA to evaluate our return on investment for capital projects before expenses that are generally not controllable by operating managers in our business segments. We believe the GAAP measure most directly comparable to Project EBITDA is the portion of net income attributable to a capital project. We do not provide the portion of budgeted net income attributable to individual capital projects (the GAAP financial measure most directly comparable to Project EBITDA) due to the impracticality of predicting, on a project-by-project basis through the second full year of operations, certain amounts required by GAAP, such as projected commodity prices, unrealized gains and losses on derivatives marked to market, and potential estimates for certain contingent liabilities associated with the project completion.
FCF is calculated by reducing cash flow from operations for capital expenditures (sustaining and expansion), and FCF after dividends is calculated by further reducing FCF for dividends paid during the period. FCF is used by management, investors, and other external users as an additional leverage metric, and FCF after dividends provides additional insight into cash flow generation. Therefore, we believe FCF is useful to our investors. We believe the GAAP measure most directly comparable to FCF is cash flow from operations. (See the accompanying Table 6.)
Important Information Relating to Forward-Looking Statements
This news release includes forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Generally, the words “expects,” “believes,” “anticipates,” “plans,” “will,” “shall,” “estimates,” “projects,” and similar expressions identify forward-looking statements, which are generally not historical in nature. Forward-looking statements in this news release include, among others, express or implied statements pertaining to: the long-term demand for KMI’s assets and services; KMI’s 2026 expectations; anticipated dividends; KMI’s capital projects, including the regulatory environment for projects and expected costs, completion timing, and benefits of those projects; and proposed joint ventures. Forward-looking statements are subject to risks and uncertainties and are based on the beliefs and assumptions of management, based on information currently available to them. Although KMI believes that these forward-looking statements are based on reasonable assumptions, it can give no assurance as to when or if any such forward-looking statements will materialize nor their ultimate impact on our operations or financial condition. Important factors that could cause actual results to differ materially from those expressed in or implied by these forward-looking statements include: the timing and extent of changes in the supply of and demand for the products we transport and handle; trends expected to drive new natural gas demand for electricity generation; commodity prices; counterparty financial risk; changes in tariffs and trade restrictions; repercussions of recent armed conflicts in the Middle East; including commodity price volatility and potential adverse effects on financial and economic conditions; our ability to obtain required permits and approvals for pending expansion projects when expected; KMI’s ability to negotiate terms of the proposed Western Gateway Pipeline joint venture with Phillips 66; and the other risks and uncertainties described in KMI’s reports filed with the Securities and Exchange Commission (SEC), including its Annual Report on Form 10-K for the year-ended December 31, 2025 (under the headings “Risk Factors” and “Information Regarding Forward-Looking Statements” and elsewhere), and its subsequent reports, which are available through the SEC’s EDGAR system at www.sec.gov and on our website at ir.kindermorgan.com. Forward-looking statements speak only as of the date they were made, and except to the extent required by law, KMI undertakes no obligation to update any forward-looking statement because of new information, future events, or other factors. Because of these risks and uncertainties, readers should not place undue reliance on these forward-looking statements.
Table 1
Kinder Morgan, Inc. and Subsidiaries
Preliminary Consolidated Statements of Income
(In millions, except per share amounts, unaudited)
Three Months Ended
June 30,
%
change
Six Months Ended
June 30,
%
change
2026
2025
2026
2025
Revenues
$
4,477
$
4,042
$
9,305
$
8,283
Operating costs, expenses, and other
Costs of sales (exclusive of items shown separately below)
1,405
1,211
3,154
2,687
Operations and maintenance
806
773
1,517
1,484
Depreciation, depletion, and amortization
620
616
1,253
1,226
General and administrative
192
188
376
375
Taxes, other than income taxes
120
111
234
223
Other income, net
(12
)
(9
)
(19
)
(9
)
Total operating costs, expenses, and other
3,131
2,890
6,515
5,986
Operating income
1,346
1,152
2,790
2,297
Other income (expense)
Earnings from equity investments
225
206
479
426
Interest, net
(425
)
(452
)
(855
)
(903
)
Other, net
20
13
40
28
Income before income taxes
1,166
919
2,454
1,848
Income tax expense
(272
)
(177
)
(559
)
(363
)
Net income
894
742
1,895
1,485
Net income attributable to NCI
(27
)
(27
)
(52
)
(53
)
Net income attributable to Kinder Morgan, Inc.
$
867
$
715
$
1,843
$
1,432
Class P Shares
Basic and diluted earnings per share
$
0.39
$
0.32
22
%
$
0.82
$
0.64
28
%
Basic and diluted weighted average shares outstanding
2,225
2,222
—
%
2,225
2,222
—
%
Declared dividends per share
$
0.2975
$
0.2925
2
%
$
0.595
$
0.585
2
%
Adjusted Net Income Attributable to Kinder Morgan, Inc. (1)
$
821
$
619
33
%
$
1,884
$
1,385
36
%
Adjusted EPS (1)
$
0.37
$
0.28
32
%
$
0.84
$
0.62
35
%
Table 2
Kinder Morgan, Inc. and Subsidiaries
Preliminary Net Income Attributable to Kinder Morgan, Inc. to Adjusted Net Income Attributable to Kinder Morgan, Inc., to Adjusted Net Income Attributable to Common Stock and to Adjusted EBITDA Reconciliations
(In millions, unaudited)
Three Months Ended
June 30,
%
change
Six Months Ended
June 30,
%
change
2026
2025
2026
2025
Net income attributable to Kinder Morgan, Inc.
$
867
$
715
21
%
$
1,843
$
1,432
29
%
Certain Items (1)
Risk management activities
(83
)
(95
)
30
(11
)
Income tax Certain Items
37
(2
)
11
(37
)
Other
—
1
—
1
Total Certain Items
(46
)
(96
)
52
%
41
(47
)
187
%
Adjusted Net Income Attributable to Kinder Morgan, Inc.
$
821
$
619
33
%
$
1,884
$
1,385
36
%
Net income attributable to Kinder Morgan, Inc.
$
867
$
715
21
%
$
1,843
$
1,432
29
%
Total Certain Items (2)
(46
)
(96
)
41
(47
)
Net income allocated to participating securities and other (3)
(4
)
(4
)
(10
)
(8
)
Adjusted Net Income Attributable to Common Stock
$
817
$
615
33
%
$
1,874
$
1,377
36
%
Net income attributable to Kinder Morgan, Inc.
$
867
$
715
21
%
$
1,843
$
1,432
29
%
Total Certain Items (2)
(46
)
(96
)
41
(47
)
DD&A
620
616
1,253
1,226
Income tax expense (4)
235
179
548
400
Interest, net (5)
425
453
855
902
Amounts associated with joint ventures
Unconsolidated JV DD&A (6)
92
100
183
200
Remove consolidated JV partners' DD&A
(15
)
(16
)
(31
)
(31
)
Unconsolidated JV income tax expense (7)
21
21
46
47
Adjusted EBITDA
$
2,199
$
1,972
12
%
$
4,738
$
4,129
15
%
Notes
(1)
See table included in “Non-GAAP Financial Measures—Certain Items.”
(2)
For a detailed listing, see the above reconciliation of Net Income Attributable to Kinder Morgan, Inc. to Adjusted Net Income Attributable to Kinder Morgan, Inc.
(3)
Other for each of the periods ended June 30, 2026 and 2025 includes Adjusted net income in excess of distributions for participating securities of less than $1 million.
(4)
To avoid duplication, adjustments for income tax expense for the periods ended June 30, 2026 and 2025 exclude $37 million and $(2) million for the three-month periods, respectively, and $11 million and $(37) million for the six-month periods, respectively, which amounts are already included within “Certain Items.” See table included in “Non-GAAP Financial Measures—Certain Items.”
(5)
To avoid duplication, adjustments for interest, net excludes $(1) million and $1 million for the three and six-month periods ended June 30, 2025, respectively, which amounts are already included within “Certain Items.” See table included in “Non-GAAP Financial Measures—Certain Items.”
(6)
Includes amortization of basis differences related to our JVs.
(7)
Includes the tax provision on Certain Items recognized by the investees that are taxable entities associated with our Citrus, NGPL, and Products (SE) Pipe Line equity investments. The impact of KMI’s income tax provision on Certain Items affecting earnings from equity investments is included within “Certain Items” above.
Table 3
Kinder Morgan, Inc. and Subsidiaries
Preliminary Reconciliation of Segment EBDA to Adjusted Segment EBDA
(In millions, unaudited)
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
Segment EBDA (1)
Natural Gas Pipelines Segment EBDA
$
1,520
$
1,436
$
3,231
$
2,889
Certain Items (2)
Risk management activities
(59
)
(89
)
27
(9
)
Natural Gas Pipelines Adjusted Segment EBDA
$
1,461
$
1,347
$
3,258
$
2,880
Products Pipelines Segment EBDA
$
343
$
289
$
663
$
562
Certain Items (2)
Risk management activities
(4
)
—
1
1
Products Pipelines Adjusted Segment EBDA
$
339
$
289
$
664
$
563
Terminals Segment EBDA
$
310
$
300
$
639
$
575
Certain Items (2)
Risk management activities
(1
)
—
—
—
Terminals Adjusted Segment EBDA
$
309
$
300
$
639
$
575
CO2 Segment EBDA
$
226
$
150
$
394
$
331
Certain Items (2)
Risk management activities
(19
)
(5
)
2
(4
)
CO2 Adjusted Segment EBDA
$
207
$
145
$
396
$
327
Table 4
Segment Volume and CO2 Segment Hedges Highlights
(Historical data is pro forma for acquired and divested assets, JV volumes at KMI share (1))
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
Natural Gas Pipelines
Natural gas transport volumes (BBtu/d)
47,886
44,818
48,830
45,509
Natural gas sales volumes (BBtu/d)
3,908
2,832
3,900
2,716
Gathering volumes (BBtu/d)
4,637
3,692
4,479
3,725
NGL transport (MBbl/d)
52
39
48
35
Products Pipelines (MBbl/d)
Gasoline (2)
970
1,016
941
975
Diesel fuel
357
369
349
353
Jet fuel
296
325
294
314
Total refined product volumes
1,623
1,710
1,584
1,642
Crude and condensate
421
503
420
490
Total delivery volumes (MBbl/d)
2,044
2,213
2,004
2,132
Terminals
Liquids leasable capacity (MMBbl)
78.6
78.7
78.6
78.7
Liquids utilization % (3)
93.0
%
94.4
%
93.2
%
94.3
%
Bulk transload tonnage (MMtons)
12.9
12.6
25.0
24.8
CO2 (MBbl/d)
SACROC oil production
21.11
18.42
20.68
18.84
Yates oil production
5.88
6.01
5.77
5.98
Other
1.05
1.09
1.05
1.09
Total oil production - net (MBbl/d) (4)
28.04
25.52
27.50
25.91
NGL sales volumes - net (MBbl/d) (4)
9.80
9.03
9.77
9.16
CO2 sales volumes - net (Bcf/d)
0.306
0.291
0.309
0.301
RNG sales volumes (BBtu/d)
13
12
13
10
Realized weighted average oil price ($ per Bbl)
$
73.78
$
67.60
$
69.71
$
67.99
Realized weighted average NGL price ($ per Bbl)
$
33.38
$
32.08
$
31.71
$
33.74
CO2 Segment Hedges
Remaining
2026
2027
2028
Crude Oil (5)
Price ($ per Bbl)
$
64.54
$
63.92
$
67.28
Volume (MBbl/d)
23.15
18.10
11.30
NGLs
Price ($ per Bbl)
$
42.42
$
52.33
Volume (MBbl/d)
4.18
0.99
Notes
(1)
Volumes for acquired assets are included for all periods. However, EBDA contributions from acquisitions are included only for periods subsequent to their acquisition. Volumes for assets divested, idled and/or held for sale are excluded for all periods presented.
(2)
Gasoline volumes include ethanol pipeline volumes.
(3)
The ratio of our tankage capacity in service to liquids leasable capacity.
(4)
Net of royalties and outside working interests.
(5)
Includes West Texas Intermediate hedges.
Table 5
Kinder Morgan, Inc. and Subsidiaries
Preliminary Consolidated Balance Sheets
(In millions, unaudited)
June 30,
December 31,
2026
2025
Assets
Cash and cash equivalents
$
89
$
63
Other current assets
2,499
2,691
Property, plant, and equipment, net
40,522
39,331
Investments
7,705
7,532
Goodwill
20,084
20,084
Deferred charges and other assets
3,163
3,047
Total assets
$
74,062
$
72,748
Liabilities and Stockholders' Equity
Short-term debt
$
2,443
$
1,226
Other current liabilities
3,204
3,096
Long-term debt
29,701
30,597
Debt fair value adjustments
104
180
Other
5,731
5,200
Total liabilities
41,183
40,299
Other stockholders' equity
31,681
31,117
Accumulated other comprehensive (loss) income
(50
)
45
Total KMI stockholders' equity
31,631
31,162
Noncontrolling interests
1,248
1,287
Total stockholders' equity
32,879
32,449
Total liabilities and stockholders' equity
$
74,062
$
72,748
Net Debt (1)
$
32,027
$
31,716
Adjusted EBITDA Twelve Months Ended (2)
Reconciliation of Net Income Attributable to Kinder Morgan, Inc. to Last Twelve Months Adjusted EBITDA
June 30,
December 31,
2026
2025
Net income attributable to Kinder Morgan, Inc.
$
3,467
$
3,056
Total Certain Items (3)
(69
)
(157
)
DD&A
2,480
2,453
Income tax expense (4)
982
834
Interest, net (4)
1,741
1,788
Amounts associated with joint ventures
Unconsolidated JV DD&A (5)
372
391
Less: Consolidated JV partners' DD&A
(62
)
(63
)
Unconsolidated JV income tax expense
89
89
Adjusted EBITDA
$
9,000
$
8,391
Net Debt-to-Adjusted EBITDA
3.6
3.8
Notes
(1)
Amounts calculated as total debt, less (i) cash and cash equivalents; (ii) debt fair value adjustments; and (ii) the foreign exchange impact on our Euro denominated debt of $28 million and $44 million as of June 30, 2026 and December 31, 2025, respectively, as we have entered into swaps to convert that debt to U.S.$.
(2)
Reflects the rolling 12-month amounts for each period above.
(3)
See table included in “Non-GAAP Financial Measures—Certain Items.”
(4)
Amounts are adjusted for Certain Items. See “Non-GAAP Financial Measures—Certain Items” for more information.
(5)
Includes amortization of basis differences related to our JVs.
Table 6
Kinder Morgan, Inc. and Subsidiaries
Preliminary Supplemental Information
(In millions, unaudited)
Three Months Ended
June 30,
Six Months Ended
June 30,
2026
2025
2026
2025
KMI FCF
Net income attributable to Kinder Morgan, Inc.
$
867
$
715
$
1,843
$
1,432
Net income attributable to noncontrolling interests
Vertiv Holdings (VRT -0.81%) stock more than doubled in the first half of 2026, surging 106.7% overall according to data provided by S&P Global Market Intelligence. It hit a 52-week high of $379.93 in mid-May.
When hyperscalers committed to spending over $650 billion combined going into 2026, they ran into a massive physical bottleneck. Artificial intelligence (AI) data centers stacked with high-density chips draw insane amounts of power and generate heat that would melt standard air-conditioning and power systems. Multi-billion-dollar AI infrastructures would crumble if you can't cool down those server racks 24X7.
That's where Vertiv stepped in and essentially cornered the market. Between explosive order flows, earnings growth, and acquisitions, the stock skyrocketed in the first six months of the year.
Image source: Getty Images.
A $15 billion backlog Because direct-to-chip liquid cooling has become an absolute necessity for data centers, Vertiv's order book is exploding. Its fourth-quarter organic orders jumped 252% year over year, and backlog more than doubled to a record $15 billion.
Its Q1 numbers again beat estimates, with net sales and operating profit surging 30% and 51%, respectively.
The company didn't disclose first-quarter orders, but expects strong order growth this year. Management immediately raised its full-year outlook, projecting 29% to 31% organic sales growth and 66% earnings-per-share growth at the midpoint.
Those numbers sent the stock into a tizzy, but Vertiv didn't just ride the numbers game.
Aggressive expansion to meet AI demand Vertiv has deepened its partnership with Nvidia this year.
Today's Change
(
-0.81
%) $
-2.48
Current Price
$
302.02
It adapted its existing OneCore modular infrastructure line into a version built for Nvidia's Vera Rubin DSX AI factory blueprint. Vertiv also added a digital twin of its SmartRun infrastructure system, allowing data center builders to simulate and test their power and cooling setup virtually before construction using Nvidia's software.
Vertiv is positioning itself as a core partner in Nvidia's AI build-out, and that's one of the reasons the stock has drawn investor attention in recent months.
Knowing that liquid-cooling components would be a bottleneck, Vertiv also went on a strategic buying spree, lapping up Strategic Thermal Labs, BMarko Structures, and ThermoKey, all in the first half of 2026.
In between, Vertiv announced a major expansion program, including two new manufacturing facilities in South Carolina that alone could boost regional capacity by nearly 7 times at full capacity. It also announced expansions in Pennsylvania and Mexico.
Should you buy Vertiv stock before July 29? Several analysts lifted their price targets as Vertiv stock outran their models. Loop Capital is among the most bullish, with a $500 per share price target. Analysts from the firm expect AI spending on power and cooling systems to surge through 2028, expanding Vertiv's AI data center revenue opportunity by almost 7x between 2023 and 2028.
Vertiv continues to expand. In July alone, it has opened a manufacturing facility in Malaysia to cater to AI infrastructure demand across Asia, including Southeast Asia, North Asia, Australia, and New Zealand. It has also announced plans to double chiller production near Italy by the end of this year.
Grand View Research's June report predicts that the global data center liquid cooling market will grow at an annualized rate of 20% from 2026 to 2033. Asia-Pacific will be the fastest-growing market, according to the report.
Vertiv is a hyper-growth AI infrastructure play, and remains a solid buy for 2026 and beyond. July 29 is the next big date to watch, when the company announces its second-quarter results before market open.
Hypertriglyceridemia is the presence of high levels of triglycerides (a type of fat) in the blood. The disease substantially raises the likelihood of fatal acute pancreatitis and frequent hospitalizations.
Trial Outcomes And Efficacy HighlightsBoth Phase 3 investigations successfully achieved their primary milestone by cutting triglyceride levels compared to a placebo.
Additionally, the studies satisfied all secondary objectives, demonstrating a statistically meaningful drop in acute pancreatitis occurrences.
Patients receiving a quarterly 25 mg subcutaneous dose of plozasiran experienced median triglyceride decreases of 79% in SHASTA-3 and 81% in SHASTA-4 after 12 months, whereas placebo groups saw reductions of around 27%.
A combined analysis indicated a statistically significant drop in single-event patient rates (p<0.0221) and overall event frequency (p<0.0077).
Across the broader patient group with triglyceride counts exceeding 500 mg/dL, cumulative pancreatitis events fell by 78%.
Notably, high-risk patients possessing triglyceride levels above 880 mg/dL alongside a history of acute pancreatitis achieved a 100% reduction in pancreatitis incidents compared to placebo.
Safety Metrics And Regulatory RoadmapPlozasiran exhibited a favorable safety profile, showing treatment-related adverse events in line with earlier trial observations.
Researchers recorded no novel safety concerns, standard laboratory variations, hypersensitivity cases, or thrombocytopenia risks. Liver enzyme changes remained clinically insignificant, and liver fat content evaluations matched placebo levels.
While complete evaluation of the trials continues ahead of future publications, plozasiran currently holds regulatory clearance under the brand name Redemplo across several regions, including the U.S., European Union, China, Australia, and Canada, for familial chylomicronemia syndrome.
The company plans to use data from SHASTA-3, SHASTA-4, and MUIR-3 to submit a supplemental new drug application to the U.S. FDA before the end of 2026, alongside seeking global authorizations.
ARWR Stock Price Activity: Arrowhead shares were up 22% at $90.96 at last check on Wednesday, according to Benzinga Pro data.
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Weatherford International plc (WFRD) Q2 2026 Earnings Call July 22, 2026 8:30 AM EDT
Company Participants
Luke Lemoine - Senior VP of Corporate Development & Investor Relations
Girish Saligram - President, CEO & Director
Anuj Dhruv - Executive VP & CFO
Conference Call Participants
John Anderson - Barclays Bank PLC, Research Division
Scott Gruber - Citigroup Inc., Research Division
James West - Melius Research LLC
Saurabh Pant - BofA Securities, Research Division
Derek Podhaizer - Piper Sandler & Co., Research Division
James Rollyson - Raymond James & Associates, Inc., Research Division
Doug Becker - Capital One Securities, Inc., Research Division
Phillip Jungwirth - BMO Capital Markets Equity Research
Keith MacKey - RBC Capital Markets, Research Division
Joshua Silverstein - UBS Investment Bank, Research Division
Ati Modak - Goldman Sachs Group, Inc., Research Division
Joshua Jayne - Daniel Energy Partners, LLC
Presentation
Operator
Ladies and gentlemen, thank you for standing by. Welcome to the Weatherford Second Quarter 2026 Results. [Operator Instructions]. As a reminder, today's event is being recorded.
I would now like to turn the conference over to Luke Lemoine, Senior Vice President of Corporate Development. Sir, you may begin.
Luke Lemoine
Senior VP of Corporate Development & Investor Relations
Welcome, everyone, to the Weatherford International Second Quarter 2026 Earnings Conference Call. I'm joined today by Girish Saligram, President and CEO; and Anuj Dhruv, Executive Vice President and CFO. We'll start today with our prepared remarks and then open up for questions. You may download a copy of the presentation slides corresponding today's call from our website, Investor Relations section. I want to remind everyone that some of today's comments include forward-looking statements.
These statements are subject to many risks and uncertainties that could cause our actual results to differ materially from any expectation expressed herein. Please refer to our latest Securities and Exchange Commission filings for risk factors and cautions regarding
Key Takeaways Toast launched an AI marketing agent to help restaurants create campaigns and attract more guests.Pilot users of Toast IQ Grow saw average sales rise 8% versus similar Toast restaurants.Toast's AI push lifted coding velocity 60% and resolved 40% of customer-support interactions. Toast, Inc. (TOST - Free Report) is making artificial intelligence (AI) a central part of its growth strategy. In May 2026, the company launched Toast IQ Grow, a marketing product built around its first AI agent. It creates campaigns using restaurant sales data across email, text messages and social channels, helping busy operators save time and attract guests.
Early results appear encouraging. Pilot customers using Toast IQ Grow recorded an average 8% increase in sales compared with similar Toast restaurants. Sahara Bistro Shawarma attributed nearly one-third of its March 2026 sales to Toast marketing tools. Its sales also rose more than 30% from the prior four weeks, suggesting that AI agents can produce measurable returns.
Toast also has a large base for expanding AI services. It ended the first quarter of 2026 with about 171,000 locations, up 22% year over year, after adding roughly 7,000 net locations. Toast IQ already had 40,000 weekly active locations, giving the platform more operating, payment and guest data to generate useful recommendations.
The AI push is also supporting Toast’s internal efficiency. Engineering coding velocity increased more than 60% year over year, helping the company launch its marketing agent three months earlier than planned. About 40% of customer-support interactions were resolved by AI, improving efficiency and enabling Toast to invest more in account management, product development and sales.
Investors need to watch whether AI usage is converting into stronger financial growth. First-quarter 2026 annualized recurring run-rate (ARR) rose 26% to $2.2 billion, while recurring gross profit grew 27%. Adjusted EBITDA reached $179 million, and operating income climbed to $110 million from $43 million.
How Are XYZ & LSPD Integrating AI?Block’s (XYZ - Free Report) Square has embedded AI into its merchant services through automated marketing, customer insights and operational recommendations. These tools help restaurants personalize promotions, simplify decisions and improve efficiency within the broader Square ecosystem. XYZ reported serving more than 4 million sellers across its global digital commerce platforms.
Lightspeed (LSPD - Free Report) applies AI to restaurant analytics, inventory planning and customer engagement. Its AI-driven features help operators interpret sales patterns, forecast demand and identify practical actions that may improve margins. LSPD ended the fourth quarter of fiscal 2026 with approximately 150,000 total customer locations using its commerce platform worldwide.
TOST’s Price Performance, Valuation & EstimatesShares of Toast have outperformed in the past three months compared with the broader industry.
Image Source: Zacks Investment Research
From a valuation standpoint, Toast’s shares have a Value Score of C. In terms of forward 12-month P/E, TOST stock is trading at 26.20X, which is at a discount to the Zacks Internet Software industry’s 27.43X.
Image Source: Zacks Investment Research
Toast’s estimate revisions reflect a positive trend. The Zacks Consensus Estimate for full-year 2026 earnings per share has been revised upward to $1.35 in the past two months. The consensus estimate for the metric indicates a year-over-year increase of 51.69%.
Image Source: Zacks Investment Research
Toast currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Teledyne Technologies Incorporated (TDY) Q2 2026 Earnings Call July 22, 2026 11:00 AM EDT
Company Participants
Jason VanWees - Vice Chairman
Robert Mehrabian - Executive Chairman
George Bobb - President, CEO & Director
Stephen Blackwood - CFO & Executive VP
Conference Call Participants
Zachary Walljasper - UBS Investment Bank, Research Division
Bradley Eyster - Citigroup Inc., Research Division
Adam Samuelson - Jefferies LLC, Research Division
James Ricchiuti - Needham & Company, LLC, Research Division
Edward Magi - BNP Paribas, Research Division
Joseph Giordano - TD Cowen, Research Division
Sebastian Rivera - Stifel, Nicolaus & Company, Incorporated, Research Division
Robert Jamieson - Vertical Research Partners, LLC
Presentation
Operator
Welcome to Teledyne's Second Quarter Earnings Call. Here is our first speaker, Mr. Jason VanWees.
Jason VanWees
Vice Chairman
Good morning. This is Jason VanWees, Vice Chairman. I'd like to welcome everyone to Teledyne's Second Quarter 2026 Earnings Release Conference Call. We released our earnings earlier this morning before the NYSE open. Joining me today are Teledyne's Executive Chairman, Robert Mehrabian; President and CEO, George Bobb; EVP and CFO, Steve Blackwood; Melanie Cibik, EVP, General Counsel, Chief Compliance Officer and Secretary.
After remarks by Robert, George and Steve, we will ask for your questions. But of course, before we get started, attorneys have reminded me to tell you that all forward-looking statements made this morning are subject to various assumptions, risks and caveats as noted in the earnings release and our periodic SEC filings. And of course, actual results may differ materially. In order to avoid potential selective disclosures, this call is simultaneously being webcast and a replay, both via webcast and dial-in will be available for approximately 1 month.
Here is Robert.
Robert Mehrabian
Executive Chairman
Thank you, Jason. This morning, we were pleased to announce the strongest quarterly orders, sales and operating profit in the company's history. Specifically, sales increased 9.8% and non-GAAP earnings increased 20.8%. Orders
Options traders are bracing for a sizable post-earnings move in QuantumScape (NASDAQ:QS) shares ahead of the company’s Q2 results.
The solid-state battery developer is set to report after Wednesday’s closing bell, with Benzinga Pro estimates calling for a loss of 18 cents per share.
Benzinga options data implies an approximately 11.38% one-standard-deviation move over the relevant expiration window based on current option prices.
QuantumScape and Honda’s Joint Research DealQuantumScape has entered a joint research agreement with Honda focused on solid-state battery technology. The multi-year plan targets battery solutions and manufacturing processes. Honda’s evaluation of QuantumScape’s technology found unique advantages, leading the partners to explore applications beyond automotive uses.
Honda Targets Motorcycles and Industrial EquipmentHonda sees potential to deploy solid-state batteries in motorcycles, scooters, and industrial equipment. The platform’s high energy density and fast charging could support products where reliability and efficiency matter. The deal also expands the scope of QuantumScape’s work beyond cars.
QS Stock Price Activity: QuantumScape shares were down 2.40% at $5.91 at the time of publication on Wednesday, according to Benzinga Pro data.
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