Summit Bank Group Reports Record Quarterly Earnings in 3rd Quarter of 2026
Summit Bank Group (OTCID: SBKO): Q3 2026 Net Income – $4.65 million or $0.58 per fully diluted share, an increase of
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Summit Bank Group (OTCID: SBKO):
- Q3 2026 Net Income – $4.65 million or $0.58 per fully diluted share, an increase of 16.5 percent over Q3 2025.
- Year to date 2026 earnings per fully diluted share of $1.68, an increase of 29.3 percent over the previous year.
- Cash and Securities total $199.6 million – 14.5 percent of assets, increased from 13.1 percent as of Q3 2025.
- Year over year Net Loan Growth – $52.9 million or 4.8 percent.
- Year over year Deposit Growth – $65.4 million or 5.7 percent.
- Year to date 2026 Net Interest Income increased $2.2 million or 7.7 percent over the previous year.
- Year to date Provision for Loan Losses decreased by $2.1 million or 38.1 percent compared to the previous year.
Summit Bank Group reported net income for the third quarter of $4.65 million or 58 cents per fully diluted share. Comparable earnings for third quarter of 2025 were $3.94 million or 50 cents per fully diluted share, representing an increase of 18.0 percent or 8 cents to earnings and earnings per fully diluted share, respectively. Improvements in net interest income (higher by $1.1 million or 7.6 percent over the previous year) and provision for loan losses (lower by $0.7 million or 40 percent) during the quarter continued trends from the previous quarter, extending the year to date improvement in net income to $3.15 million or 30.9 percent over the first nine months of 2025.
“We are pleased to report another positive quarter of financial results,” said Craig Wanichek, president and CEO. “Our business focused model has resulted in 11 consecutive quarters of trailing 12-month increases in earnings.”
The Bank continues to achieve balanced growth in its loan and deposit portfolios, with total net loans increasing by $52.9 million or 4.8 percent and total deposits increasing by $65.4 million or 5.7 percent over the most recent four quarters. The deposit growth consisted entirely of demand and money market account balances over the period (increasing by $87.4 million or 7.9 percent) as total certificates of deposit balances decreased by $21.9 million. “Solid loan growth from new and current clients combined with improvement in deposit mix and growth in demand deposits resulted in a record quarter,” said Wanichek.
“The Bank experienced nearly twice the non-scheduled loan pay-off activity so far this year as compared to 2025,” said Wanichek. “We are very comfortable with increased loan growth given our current very healthy capital and liquidity position. We are pleased with the solid loan production during the third quarter, particularly in an environment marked by loan payoff activity. Despite elevated payoffs, our bankers continue to generate strong new business opportunities, reflecting healthy demand and the strength of our client relationships. The Bank’s balance sheet remains highly liquid with cash and Available for Sale (AFS) short-term securities totaling $199.6 million, which represents 14.5 percent of total assets as of September 30th, 2026, increased from $169.5 million or 13.1 percent of assets as of September 30th 2025. Additionally, the Bank maintains secured borrowing commitments from the Federal Home Loan Bank and the Federal Reserve Bank with total available borrowing capacity as of September 30th, 2026, of $411 million, an increase of $72 million over the September 30th, 2025, total available. Combined, the Bank’s cash and available secured borrowing as of September 30th, 2026, total $560 million. This total is 40.7 percent of total assets and 144 percent of total estimated uninsured deposits as of September 30th, 2026.
Return on average equity for the third quarter, the 2026 year to date and the trailing four quarters was 13.6 percent, 13.5 percent, and 13.5 percent, respectively. Total shareholders’ equity ended the third quarter at $138.7 million, an increase of $18.6 million or 15.6 percent since September 30th, 2025. As the Company continues its 23rd year of operations, capital levels remain very strong, supporting its consistent asset growth with similarly strong retained earnings which have totaled $67.2 million over the last five years.
Total non-performing assets as of September 30th, 2026, total 0.43 percent of total assets. This total decreased slightly during the third quarter from 0.46 percent of total assets as of June 30th, 2026. Substantially all of the Bank’s total non-performing assets as of September 30th, 2026, carry US Small Business Administration guarantees which reduce the Bank’s exposure to losses on the assets. The total exposure to the Bank after such federal guarantees are applied is reduced to 0.12 percent of total assets.
Summit Bank Group Inc., through its wholly owned subsidiary Summit Bank, maintains offices in Eugene, Central Oregon, and Portland, specializing in providing high-level service to professionals and medium-sized businesses and their owners. The Bank was voted for the sixth year in a row as one of Oregon’s “Top 100 Companies to Work For,” according to Oregon Business Magazine. In 2023, 2025, and again this year, Summit Bank was honored as “Favorite Bank” in the Eugene Register-Guard’s annual Reader’s Choice Awards and “Best Bank” by Central Oregon’s Bend Bulletin. Summit Bank Group Inc. is quoted on the OTCID under the symbol SBKO. It was named in January as a Top 10 Place to Work for Working Parents, according to the Eugene Area Chamber of Commerce.
|
QUARTERLY FINANCIAL REPORT – September 30th 2026 |
|||||||||||||||||||||||
| (in thousands except per share data) | Unaudited | Unaudited | Unaudited | ||||||||||||||||||||
| As of | As of | As of | |||||||||||||||||||||
| Summary Statements of Condition | Sep. 30, 2026 | Jun. 30, 2026 | Sep. 30, 2025 | ||||||||||||||||||||
| Cash and short term investments |
$ |
170,045 |
|
$ |
123,465 |
|
$ |
127,828 |
|
||||||||||||||
| Securities |
|
29,510 |
|
|
30,006 |
|
|
41,720 |
|
||||||||||||||
| Loans: | |||||||||||||||||||||||
| Commercial |
|
333,386 |
|
|
329,612 |
|
|
365,085 |
|
||||||||||||||
| Commercial real estate |
|
756,795 |
|
|
773,620 |
|
|
408,884 |
|
||||||||||||||
| Other |
|
68,209 |
|
|
54,457 |
|
|
331,179 |
|
||||||||||||||
| Loan loss reserve and unearned income |
|
(13,189 |
) |
|
(13,088 |
) |
|
(12,876 |
) |
||||||||||||||
| Total net loans |
|
1,145,201 |
|
|
1,144,602 |
|
|
1,092,272 |
|
||||||||||||||
| Property and other assets |
|
31,945 |
|
|
31,665 |
|
|
29,560 |
|
||||||||||||||
| Repossessed property |
|
62 |
|
|
81 |
|
|
131 |
|
||||||||||||||
| Total assets |
$ |
1,376,763 |
|
$ |
1,329,818 |
|
$ |
1,291,511 |
|
||||||||||||||
| Deposits: | |||||||||||||||||||||||
| Noninterest-bearing demand |
$ |
216,060 |
|
$ |
204,669 |
|
$ |
193,303 |
|
||||||||||||||
| Interest-bearing demand |
|
976,577 |
|
|
940,898 |
|
|
911,958 |
|
||||||||||||||
| Certificates of deposit |
|
13,671 |
|
|
16,441 |
|
|
35,606 |
|
||||||||||||||
| Total deposits |
|
1,206,308 |
|
|
1,162,009 |
|
|
1,140,866 |
|
||||||||||||||
| Subordinated debt |
|
18,551 |
|
|
18,541 |
|
|
18,513 |
|
||||||||||||||
| Other liabilities |
|
13,205 |
|
|
15,464 |
|
|
12,111 |
|
||||||||||||||
| Shareholders’ equity |
|
138,699 |
|
|
133,804 |
|
|
120,020 |
|
||||||||||||||
| Total liabilities and shareholders’ equity |
$ |
1,376,763 |
|
$ |
1,329,818 |
|
$ |
1,291,511 |
|
||||||||||||||
| Book value per share |
$ |
17.58 |
|
$ |
16.96 |
|
$ |
15.39 |
|
||||||||||||||
| Unaudited | Unaudited | Unaudited | Unaudited | Unaudited | |||||||||||||||||||
| For the nine months ended | For the three months ended | For the nine months ended | For the three months ended | For the three months ended | |||||||||||||||||||
| Summary Statements of Income | Sep. 30, 2026 | Jun. 30, 2026 | Sep. 30, 2025 | Sep. 30, 2026 | Sep. 30, 2025 | ||||||||||||||||||
| Interest income |
$ |
61,832 |
|
$ |
20,668 |
|
$ |
60,778 |
|
$ |
21,290 |
|
$ |
20,764 |
|
||||||||
| Interest expense |
|
(16,525 |
) |
|
(5,623 |
) |
|
(18,699 |
) |
|
(5,600 |
) |
|
(6,181 |
) |
||||||||
| Net interest income |
|
45,307 |
|
|
15,045 |
|
|
42,079 |
|
|
15,690 |
|
|
14,583 |
|
||||||||
| Provision for loan losses |
|
(3,505 |
) |
|
(1,530 |
) |
|
(5,663 |
) |
|
(1,108 |
) |
|
(1,851 |
) |
||||||||
| Noninterest income |
|
2,200 |
|
|
810 |
|
|
1,277 |
|
|
611 |
|
|
645 |
|
||||||||
| Noninterest expense |
|
(25,774 |
) |
|
(8,676 |
) |
|
(23,783 |
) |
|
(8,843 |
) |
|
(7,998 |
) |
||||||||
| Net income before income taxes |
|
18,228 |
|
|
5,648 |
|
|
13,910 |
|
|
6,350 |
|
|
5,379 |
|
||||||||
| Provision for income taxes |
|
(4,889 |
) |
|
(1,518 |
) |
|
(3,721 |
) |
|
(1,698 |
) |
|
(1,439 |
) |
||||||||
| Net income |
$ |
13,339 |
|
$ |
4,130 |
|
$ |
10,190 |
|
$ |
4,652 |
|
$ |
3,941 |
|
||||||||
| Net income per share, basic |
$ |
1.70 |
|
$ |
0.52 |
|
$ |
1.31 |
|
$ |
0.59 |
|
$ |
0.51 |
|
||||||||
| Net income per share, fully diluted |
$ |
1.68 |
|
$ |
0.52 |
|
$ |
1.30 |
|
$ |
0.58 |
|
$ |
0.50 |
|
||||||||
| Unaudited | Unaudited | Unaudited | Unaudited | Unaudited | |||||||||||||||||||
| For the nine months ended | For the three months ended | For the nine months ended | For the three months ended | For the three months ended | |||||||||||||||||||
| Performance Ratios | Sep. 30, 2026 | Jun. 30, 2026 | Sep. 30, 2025 | Sep. 30, 2026 | Sep. 30, 2025 | ||||||||||||||||||
| Return on Average Assets |
|
1.34 |
% |
|
1.23 |
% |
|
1.09 |
% |
|
1.38 |
% |
|
1.16 |
% |
||||||||
| Return on Average Tangible Common Equity |
|
13.50 |
% |
|
12.55 |
% |
|
11.89 |
% |
|
13.66 |
% |
|
13.37 |
% |
||||||||
| Net Interest Margin |
|
4.87 |
% |
|
4.86 |
% |
|
4.68 |
% |
|
5.07 |
% |
|
4.78 |
% |
||||||||
| Yield on Earning Assets |
|
6.64 |
% |
|
6.67 |
% |
|
6.76 |
% |
|
6.88 |
% |
|
6.81 |
% |
||||||||
| Cost of Deposits |
|
1.84 |
% |
|
1.86 |
% |
|
2.20 |
% |
|
1.84 |
% |
|
2.15 |
% |
||||||||
| Efficiency Ratio |
|
53.6 |
% |
|
55.4 |
% |
|
54.2 |
% |
|
53.5 |
% |
|
51.9 |
% |
||||||||
| EPS Growth (YoY) |
|
29.3 |
% |
|
22.6 |
% |
|
22.1 |
% |
|
16.5 |
% |
|
23.3 |
% |
||||||||
| Asset Quality | |||||||||||||||||||||||
| Non-performing assets to Total Assets |
|
0.43 |
% |
|
0.46 |
% |
|
0.37 |
% |
|
0.43 |
% |
|
0.37 |
% |
||||||||
| Net Charge Offs to Average Loans |
|
0.35 |
% |
|
0.65 |
% |
|
0.49 |
% |
|
0.20 |
% |
|
0.41 |
% |
||||||||
| Reserve to Total Loans |
|
1.18 |
% |
|
1.18 |
% |
|
1.31 |
% |
|
1.17 |
% |
|
1.28 |
% |
||||||||
| Provision Expense to Total Loans |
|
0.41 |
% |
|
0.93 |
% |
|
0.69 |
% |
|
0.39 |
% |
|
0.67 |
% |
||||||||
| Capital | |||||||||||||||||||||||
| Tier 1 Capital to Risk Weighted Assets |
|
13.0 |
% |
|
12.6 |
% |
|
11.9 |
% |
|
13.0 |
% |
|
11.9 |
% |
||||||||
| Community Bank Leverage Ratio (CBLR) |
|
11.6 |
% |
|
11.3 |
% |
|
10.9 |
% |
|
11.6 |
% |
|
10.9 |
% |
||||||||
| Average Balances | |||||||||||||||||||||||
| Loans |
$ |
1,135,359 |
|
$ |
1,139,227 |
|
$ |
1,087,684 |
|
$ |
1,147,367 |
|
$ |
1,109,217 |
|
||||||||
| Assets |
$ |
1,328,354 |
|
$ |
1,339,877 |
|
$ |
1,251,040 |
|
$ |
1,349,361 |
|
$ |
1,269,152 |
|
||||||||
| Deposits |
$ |
1,165,215 |
|
$ |
1,177,237 |
|
$ |
1,106,205 |
|
$ |
1,181,511 |
|
$ |
1,120,333 |
|
||||||||
View source version on businesswire.com: https://www.businesswire.com/news/home/20261021545952/en/
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