Bank First Announces Net Income for the Third Quarter of 2026

Loans grew at a 6.6% annualized pace during the quarter, while borrowings declined from their post-acquisition January balance.

Rhea-AI Summary

Bank First (BFC) reported third-quarter 2026 net income of $23.8 million, higher than in the same quarter last year. Earnings per share rose to $2.15 from $1.83, while net income increased from $18.0 million. Nine-month net income reached $68.5 million, or $6.14 per share, versus $53.1 million, or $5.36 per share. Adjusted third-quarter net income, excluding acquisition expenses and certain asset-sale effects, was $26.1 million, or $2.35 per share.

The January 1 Centre acquisition added $1.48 billion in assets and affects year-over-year comparisons. Third-quarter net interest income reached $55.2 million, while noninterest expense rose to $34.7 million. Nonperforming assets increased to $29.6 million. Bank First plans to acquire Peoples on December 4, 2026. The quarterly dividend rose to $0.65 per share, payable January 6, 2027, to holders of record December 23, 2026.

26 points · 1 major

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0 major · 11 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Major pointCentre acquisition completed January 1, 2026, adding $1.48 billion in assets and increasing total assets by 33%.
• Moderate pointThird-quarter net income rose to $23.8 million, or $2.15 per share, from $18.0 million, or $1.83.
• Moderate pointQuarterly dividend increased to $0.65 per share, up 8.3% sequentially and 44.4% year over year.
• Moderate point. Forward-looking: it has not happened yet and may not happen.Peoples acquisition is planned for December 4, 2026.
• Moderate pointThird-quarter net interest income reached $55.2 million, up $0.2 million sequentially and $17.0 million year over year.
• Moderate pointThird-quarter noninterest income reached $10.1 million, versus $10.0 million sequentially and $6.0 million a year earlier.

20 minor points

• Minor pointNine-month net income increased to $68.5 million, or $6.14 per share, from $53.1 million, or $5.36.
• Minor pointAdjusted third-quarter net income rose to $26.1 million, or $2.35 per share, from $18.8 million, or $1.91.
• Minor pointAdjusted nine-month net income rose to $78.5 million, or $7.04 per share, from $53.8 million, or $5.42.
• Minor pointMargin excluding purchase accounting rose to 3.91% in Q3, from 3.86% in Q2 and 3.76% in Q1.
• Minor pointAsset yields excluding purchase accounting increased to 5.42% in Q3, from 5.39% in Q2 and 5.35% in Q1.
• Minor pointLiability crediting rates excluding purchase accounting fell to 2.26% in Q3, from 2.29% in Q2 and 2.38% in Q1.
• Minor pointCentre's new trust and wealth management business generated $1.6 million in each quarter of 2026.
• Minor pointThird-quarter service charges were $4.1 million, unchanged sequentially and above $2.1 million a year earlier.
• Minor pointNine-month mortgage-loan sale gains increased to $2.3 million, from $1.2 million a year earlier.
• Minor pointNine-month mortgage servicing rights valuation gains increased to $1.5 million, from $0.3 million a year earlier.
• Minor point. Forward-looking: it has not happened yet and may not happen.Operational cost savings began during Q3; Bank First anticipates full realization in future quarters.
• Minor pointTotal loans reached $4.60 billion, up $991.2 million since year-end and $966.2 million year over year.
• Minor pointThird-quarter loans grew at a 6.6% annualized pace.
• Minor pointTotal deposits reached $5.00 billion, up $1.31 billion since year-end and $1.46 billion year over year.
• Minor pointNoninterest-bearing demand deposits rose to 29.7% of deposits, from 27.1% at year-end 2025.
• Minor pointBorrowings declined to $79.8 million on September 30, from $206.9 million on January 1 after Centre's acquisition.
• Minor pointStockholders' equity increased to $826.4 million, up $182.6 million from year-end 2025.
• Minor pointBook value per share increased to $74.57, from $65.47 at year-end 2025.
• Minor pointTangible book value per share, a non-GAAP measure, increased to $48.83, from $46.01 at year-end 2025.
• Minor pointNine-month capital returns included $18.4 million in dividends and $23.9 million in share repurchases.

Negative

• Moderate pointNonperforming assets reached $29.6 million, up $1.8 million sequentially and $15.8 million year over year.
• Moderate pointThird-quarter noninterest expense rose to $34.7 million, from $34.4 million sequentially and $21.1 million a year earlier.
• Minor pointNonperforming assets represented 0.50% of assets, versus 0.47% sequentially and 0.31% a year earlier.
• Minor pointAcquisition expenses were $2.7 million in Q3, below $3.3 million sequentially but above $0.9 million a year earlier.
• Minor pointOngoing personnel costs increased sequentially, despite reported personnel expense falling because Q2 included $1.3 million in severance.

6 minor points

• Minor pointCentre's $31.9 million core deposit intangible, amortized over 10 years, increased nine-month amortization expense.
• Minor pointThird-quarter credit-loss provision rose to $0.8 million, versus none sequentially and $0.7 million a year earlier.
• Minor pointNet interest margin was 4.07%, down from 4.13% sequentially but above 3.88% a year earlier.
• Minor pointPurchase-accounting contribution to interest income fell to $2.2 million from $3.6 million sequentially; year-earlier contribution was $0.7 million.
• Minor pointAnsay investment income fell to $0.8 million, from $0.9 million sequentially and $1.3 million a year earlier.
• Minor pointAcquired-loan attrition created a headwind to overall loan growth during 2026.

News Explained

As of September 30, 2026, Bank First reported $23.9 million in year-to-date share repurchases; it said repurchases and $18.4 million in dividends offset part of $68.5 million in year-to-date earnings added to stockholders’ equity.

Key Figures

Net income: $23.8 million Earnings per common share: $2.15 Adjusted net income: $26.1 million +5 more

Net income

$23.8 million

3Q26; compared with $18.0 million in 3Q25

Earnings per common share

$2.15

3Q26; compared with $1.83 in 3Q25

Adjusted net income

$26.1 million

3Q26; non-GAAP, compared with $18.8 million in 3Q25

Adjusted earnings per common share

$2.35

3Q26; non-GAAP, compared with $1.91 in 3Q25

Net interest income

$55.2 million

3Q26; up $0.2 million from 2Q26 and $17.0 million from 3Q25

Net interest margin

4.07%

3Q26; compared with 4.13% in 2Q26 and 3.88% in 3Q25

Quarterly cash dividend

$0.65 per common share

Declared for payment on January 6, 2027

Dividend increase

8.3% and 44.4%

Compared with the prior quarter and prior-year third quarter, respectively

Historical Context

1 past event · Latest: Jul 24

1 event

1. Jul 24

   Q2 earnings

   24h Move

   +2.3%

   Reported Q2 net income of $24.7 million and adjusted net income of $27.3 million.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

non-gaap, net interest margin, purchase accounting, nonaccrual

4 terms

non-gaap financial

"Adjusted net income (non-GAAP) of $26.1 million"

Non-GAAP refers to financial measures that companies use to show their earnings or performance without including certain expenses or income that are often added back to give a different picture. It matters because it can make a company's results look better or more favorable, but it may also hide important costs, so investors need to look at both GAAP (official rules) and non-GAAP numbers to get a full understanding.

View in glossary

net interest margin financial

"Net interest margin ("NIM") was 4.07% for 26Q3"

Net interest margin measures how much a bank earns from lending and investing compared with what it pays for funding, expressed as a percentage of its interest-earning assets. Think of it like a grocery store’s markup: it shows the gap between buying cost and selling price per dollar of goods — here, the cost is interest paid and the sale is interest received. Investors watch it because a higher margin usually means a bank is more profitable and better at managing interest rate and credit conditions.

purchase accounting financial

"purchase accounting increased NII by $2.2 million"

Purchase accounting is the method used to record a company acquisition by treating the buyer as if it bought each asset and assumed each liability at their fair values on the purchase date. It matters to investors because this re‑valuation can create or change visible items like goodwill, cause future earnings to be lower or higher as costs are spread out, and alter balance sheet strength—much like re‑tagging items and debts after buying a house affects your net worth and monthly costs.

nonaccrual financial

"Loans currently in nonaccrual status remain concentrated"

A nonaccrual asset is a loan or investment that a lender stops counting as earning interest because the borrower is not making scheduled payments or the lender doubts future payments. Think of it like putting a subscription on hold when you stop receiving payments; it reduces reported income and signals a higher risk that the lender may not get repaid, which can affect a bank's profits and the value of its loan portfolio.

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• Net income of $23.8 million and $68.5 million for the three and nine months ended September 30, 2026, respectively
• Earnings per common share of $2.15 and $6.14 for the three and nine months ended September 30, 2026, respectively
• Adjusted net income (non-GAAP) of $26.1 million and $78.5 million and adjusted earnings per common share (non-GAAP) of $2.35 and $7.04 for the three and nine months ended September 30, 2026, respectively, after removing the impact of acquisition expenses and certain asset sales
• Quarterly cash dividend of $0.65 per share declared, an increase of 8.3% and 44.4% over the prior quarter and prior-year third quarter, respectively

MANITOWOC, Wis., Oct. 20, 2026 /PRNewswire/ -- Bank First Corporation (NASDAQ: BFC) ("Bank First" or the "Bank"), the holding company for Bank First, N.A., reported net income of $23.8 million, or $2.15 per share, for the third quarter of 2026 ("26Q3"), compared with net income of $18.0 million, or $1.83 per share, for the prior-year third quarter ("25Q3"). For the nine months ended September 30, 2026 ("26YTD"), Bank First earned $68.5 million, or $6.14 per share, compared to $53.1 million, or $5.36 per share for the same period in 2025 ("25YTD"). After removing the impact of expenses related to the acquisitions of Centre 1 Bancorp, Inc. ("Centre"), and PSB Holdings, Inc. ("Peoples"), as well as one-time net gains on the sale of certain assets, the Bank reported adjusted net income (non-GAAP) of $26.1 million, or $2.35 per share, and $78.5 million, or $7.04 per share, for 26Q3 and 26YTD, respectively. Adjusted net income (non-GAAP) was $18.8 million, or $1.91 per share, and $53.8 million, or $5.42 per share, for 25Q3 and 25YTD, respectively.

"During the most recent quarter, we made meaningful progress toward our planned December 4, 2026 acquisition of Peoples while adding experienced leaders to support our continued organic growth," stated Mike Molepske, Chairman and CEO of Bank First. "At a recent cultural orientation meeting, we were pleased to see the enthusiasm and engagement of Peoples employees who will be joining Bank First. Their warm welcome reflects the positive response we have also received from customers and shareholders of Peoples, who recognize the opportunities this merger will create through expanded retail products, enhanced trust and wealth management services, more sophisticated treasury management tools, and greater lending capacity."

Operating Results

The acquisition of Centre, an institution with $1.48 billion in assets at closing on January 1, 2026, increased total assets of Bank First by 33%. The added operating scale from this transaction significantly impacted Bank First's results for 26Q3 and 26YTD, as well as comparability to 25Q3 and 25YTD.

Net interest income ("NII") during 26Q3 was $55.2 million, up $0.2 million from the previous quarter ("26Q2") and up $17.0 million from 25Q3. The impact of net accretion and amortization of purchase accounting related to interest-bearing assets and liabilities from Centre and past acquisitions ("purchase accounting") increased NII by $2.2 million, or $0.16 per share after tax, during 26Q3, compared to $3.6 million, or $0.25 per share after tax, during 26Q2 and $0.7 million, or $0.06 per share after tax, during 25Q3.

Net interest margin ("NIM") was 4.07% for 26Q3, compared to 4.13% for 26Q2 and 3.88% for 25Q3. NII from purchase accounting increased NIM by 0.16%, 0.27% and 0.07% for each of these periods, respectively. After removing the impact of purchase accounting, each sequential quarter of 2026 has exhibited higher yields on interest-earning assets (5.35% for the first quarter of 2026 ("26Q1"), 5.39% for 26Q2, 5.42% for 26Q3), lower crediting rates on interest-bearing liabilities (2.38% for 26Q1, 2.29% for 26Q2, 2.26% for 26Q3), and higher overall NIM (3.76% for 26Q1, 3.86% for 26Q2, 3.91% for 26Q3).

Bank First recorded a provision for credit losses totaling $0.8 million in 26Q3, slightly higher than the $0.7 million provision recorded during the 25Q3. The Bank did not record a provision for credit losses during 26Q2. Accounting entries related to the Centre acquisition added $12.8 million to the allowance for credit losses on January 1, 2026. The lack of provision expense during the first half of 2026 was due to a slight contraction in the Bank's loan portfolio as loan production in legacy markets was offset by contraction in the Bank's new Stateline region (formerly Centre), as the Bank transitioned out of certain acquired loans that were not consistent with Bank First's lending philosophy. The provision recorded during 26Q3 was the result of growth in the Bank's loan portfolio, as detailed later in this release.

Noninterest income was $10.1 million for 26Q3, compared to $10.0 million for 26Q2 and $6.0 million for 25Q3. Trust and Wealth Management income, a new business line for Bank First resulting from the Centre acquisition, remained a consistently strong contributor to noninterest income, producing $1.6 million in noninterest income during each quarter of 2026. Prior to the acquisition of Centre, minimal wealth management income was produced through referral agreements with partner firms. Service charge income totaled $4.1 million for 26Q3, compared to $4.1 million and $2.1 million for 26Q2 and 25Q3, respectively. Consumer behavior in the new Stateline region has driven a significant increase in service charge income during 2026, producing $12.9 million in revenue for 26YTD compared to $6.2 million for 25YTD. Income provided by the Bank's investment in Ansay & Associates, LLC ("Ansay") totaled $0.8 million for 26Q3, compared to $0.9 million and $1.3 million for 26Q2 and 25Q3, respectively. Ansay is experiencing reduced profitability in 2026, the result of investments they are making in automation and operational efficiency to improve future profitability, coupled with insurance pricing in several sectors entering an industry-wide softening. Gains on sales of mortgage loans totaled $2.3 million for 26YTD compared to $1.2 million for 25YTD as the Bank has produced strong results in retail lending in a challenging higher-rate environment. The increasing interest rate environment over the last twelve months has led to a $1.5 million positive valuation adjustment to the Bank's mortgage servicing rights in 26YTD, compared to a $0.3 million positive valuation adjustment during 25YTD. Increasing prevailing mortgage rates cause the assumption for prepayments of mortgages to decline, increasing the underlying value of mortgage servicing rights assets.

Noninterest expense totaled $34.7 million in 26Q3, compared to $34.4 million during 26Q2 and $21.1 million during 25Q3. Expenses related to the Bank's acquisitions of Centre and Peoples totaled $2.7 million during 26Q3 compared to $3.3 million during 26Q2 and $0.9 million during 25Q3. These expenses were distributed in the areas of personnel expense (primarily 26Q2), outside service fees (all three quarters) and data processing expenses (primarily 26Q3). Conversion of Centre's core data processing system onto Bank First's platform occurred during the second quarter of 2026. Prior to this conversion, and continuing into 26Q3, some operational areas of the Bank had redundancies (personnel expense, occupancy expense, data processing) which are in addition to the previously listed expenses related directly to acquisitions. Full realization of expected cost savings from operational synergies began during 26Q3 and are anticipated to be fully realized during future quarters. While personnel expense declined from $16.8 million in 26Q2 to $15.8 million in 26Q3, severance costs during 26Q2 totaling $1.3 million from the Centre acquisition mask a quarter-over-quarter increase in ongoing personnel costs as the Bank added several senior individuals in preparation of both the Peoples acquisition and future organic and acquisitive growth. The acquisition of Centre created a core deposit intangible asset of $31.9 million. Amortization related to this intangible asset, which the Bank will amortize over the next 10 years, led to the elevated amortization expense during 26YTD.

"We believe investing in people is essential to Bank First's continued success. In anticipation of our Northcentral Region, which the acquisition of Peoples will create, we hired a new Regional President who brings extensive experience in the Wausau market. We also hired a Chief Retail Officer with substantial previous experience at two national banks. Together with several other key hires in recent quarters, these investments in our people deepen our expertise, strengthen our ability to serve customers, and build the leadership capacity to sustain our growth as we prepare to surpass $10 billion in assets," stated Molepske.

Balance Sheet

Total assets were $5.95 billion on September 30, 2026, an increase of $1.44 billion from December 31, 2025, and up $1.53 billion from September 30, 2025. The acquisition of Centre added approximately $1.48 billion in assets on January 1, 2026.

The carrying value of investments on September 30, 2026, totaled $588.3 million, up $320.1 million from December 31, 2025, and $314.3 million from September 30, 2025. The acquisition of Centre included $333.1 million in investments, causing the investment portfolio's composition of total assets to go from 6.0% at the end of 2025 to 9.9% at the end of the third quarter of 2026.

Total loans were $4.60 billion on September 30, 2026, up $991.2 million from December 31, 2025, and $966.2 million from September 30, 2025. Loans included in the acquisition of Centre totaled approximately $981.5 million. Some attrition in these acquired balances has created a headwind to overall loan growth for the organization during 2026. Total loans grew by a 6.6% annualized pace during 26Q3.

Total deposits, nearly all of which remain core deposits, were $5.00 billion on September 30, 2026, up $1.31 billion from December 31, 2025, and $1.46 billion from September 30, 2025. Deposits included in the acquisition of Centre totaled approximately $1.38 billion. Noninterest-bearing demand deposits comprised 29.7% of the Bank's total deposits on September 30, 2026, after finishing 2025 at 27.1%.

As of January 1, 2026, after the acquisition of Centre, the Bank had outstanding borrowings totaling $206.9 million. The Bank's strong liquidity position has allowed it to reduce this balance to $79.8 million on September 30, 2026. This reduction was accomplished through normal maturities on borrowings which were not renewed, as well as selective prepayments of borrowings that had negative carrying spreads to yields earned on the Bank's on-balance sheet liquidity.

Asset Quality

Nonperforming assets on September 30, 2026, totaled $29.6 million, up $1.8 million from the end of the previous quarter and up $15.8 million from September 30, 2025. Other real estate owned, fully comprised of former properties of Centre that will not be utilized by Bank First, totaled $2.4 million on September 30, 2026. Loans currently in nonaccrual status remain concentrated in a few customer relationships. The circumstances which led these loans to nonaccrual status are unique and not prevalent throughout the Bank's loan portfolio. Nonperforming assets to total assets remained manageable at 0.50% as of September 30, 2026, up slightly from 0.47% at the end of the prior quarter and 0.31% on September 30, 2025.

Capital Position

Stockholders' equity totaled $826.4 million on September 30, 2026, an increase of $182.6 million from the end of 2025. Earnings of $68.5 million for 26YTD was supplemented by a positive impact to capital of $168.5 million from the Centre acquisition. These increases were offset by dividends totaling $18.4 million and share repurchases totaling $23.9 million during 26YTD. The Bank's book value per common share totaled $74.57 on September 30, 2026, compared to $65.47 on December 31, 2025. Tangible book value per common share (non-GAAP) totaled $48.83 on September 30, 2026, compared to $46.01 on December 31, 2025.

Dividend Declaration

Bank First's Board of Directors approved a quarterly cash dividend of $0.65 per common share, payable on January 6, 2027, to shareholders of record as of December 23, 2026. This dividend represents an increase of $0.05 and $0.20 per share, or 8.3% and 44.4%, from the dividend declared during the prior quarter and prior-year third quarter, respectively.

Bank First Corporation provides financial services through its subsidiary, Bank First, N.A., which was incorporated in 1894. Bank First offers loan, deposit, treasury management, trust, and wealth management services at each of its 38 banking locations in Wisconsin and Illinois. The Bank has grown through both acquisitions and de novo branch expansion. Bank First employs approximately 509 full-time equivalent staff and has assets of approximately $6 billion. Insurance services are available through its bond with Ansay. Further information about Bank First Corporation is available by clicking the Shareholder Services tab at www.bankfirst.com.

For further information, contact:
Kevin M LeMahieu, Chief Financial Officer
Phone: (920) 652-3100 / klemahieu@bankfirst.com

View original content:https://www.prnewswire.com/news-releases/bank-first-announces-net-income-for-the-third-quarter-of-2026-302914456.html

SOURCE Bank First Corporation

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Bank First's third-quarter 2026 earnings?

Bank First earned $23.8 million, or $2.15 per share, compared with $18.0 million, or $1.83 per share, a year earlier. Adjusted net income, a non-GAAP measure excluding acquisition expenses and certain asset-sale effects, was $26.1 million, or $2.35 per share.

How much is Bank First's increased dividend and when is it paid?

The quarterly dividend is $0.65 per common share, payable January 6, 2027, to shareholders of record December 23, 2026. It increased by $0.05 per share, or 8.3%, from the prior quarter and by $0.20 per share, or 44.4%, from the prior-year third quarter.

How did Bank First reduce its borrowings in 2026?

Bank First reduced borrowings through maturities that were not renewed and selective prepayments. The prepaid borrowings cost more than the yields earned on the bank's on-balance-sheet liquidity. Outstanding borrowings declined from $206.9 million on January 1, after the Centre acquisition, to $79.8 million on September 30.

How much of Bank First's 2026 loan and deposit growth came with Centre?

The Centre acquisition included approximately $981.5 million in loans and approximately $1.38 billion in deposits. Bank First's total loans increased by $991.2 million from year-end 2025, while deposits increased by $1.31 billion. Attrition in acquired loans constrained overall loan growth during 2026.