First National Bank Alaska announces unaudited results for third quarter 2026
Quarterly loan balances declined despite year-over-year growth, while nonperforming loans fell and operating expenses increased.
Sentiment and the balance of points
Rhea-AI Sentiment reads the wording of the document, how positive or negative its language is on a 1 to 5 scale. The balance of points shown with the takes weighs what the document actually discloses, so the two can disagree, for example when a trial that missed its main goal is described in upbeat language.
Rhea-AI Summary
First National Bank Alaska (OTCQX:FBAK) reported unaudited third-quarter 2026 net income of $25.176 million, higher than a year earlier. Earnings per share rose to $7.95 from $6.75, while net income compared with $21.359 million. Year-to-date net interest margin widened to 4.05% from 3.76%, and return on equity increased to 15.49% from 14.13%.
At September 30, loans totaled $2.8 billion, up $180.0 million year over year but down $51.8 million during the quarter. Nonperforming loans fell to 0.24% of loans from 0.42% a year earlier. Quarterly noninterest expenses increased 7.2% to $28.721 million. Deposits and repurchase agreements reached $4.6 billion, up $29.9 million year over year. Shareholders’ equity increased year over year to $581.3 million, although unrealized securities losses widened. The 11.81% Tier 1 leverage ratio exceeded the 5.00% well-capitalized minimum.
How this balance works
Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.
It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.
Rhea-AI Sentiment measures something else, the tone of the wording.
Positive
- Moderate pointThird-quarter net income of $25.176 million exceeded $21.359 million; earnings per share rose to $7.95 from $6.75.
- Moderate pointYear-to-date net interest margin reached 4.05%, versus 3.76% a year earlier.
- Moderate pointQuarterly loan interest and fees increased 6.3% to $46.9 million from $44.1 million year over year.
- Moderate pointYear-to-date return on assets increased to 1.74% from 1.53% a year earlier.
- Moderate pointYear-to-date return on equity increased to 15.49% from 14.13% a year earlier.
- Moderate pointLoans increased $180.0 million year over year and $58.7 million year to date, reaching $2.8 billion.
- Moderate pointNonperforming loans fell to $6.783 million from $10.847 million a year earlier; loan share declined to 0.24% from 0.42%.
15 minor points
- Minor pointQuarterly investment interest and dividends reached $14.821 million, versus $12.229 million a year earlier.
- Minor pointQuarterly interest expense declined to $12.102 million from $12.155 million a year earlier.
- Minor pointYear-to-date earning-asset yield increased to 4.97% from 4.74% a year earlier.
- Minor pointYear-to-date interest expense relative to average earning assets fell to 0.92% from 0.98% a year earlier.
- Minor pointQuarterly noninterest operating income increased to $7.974 million from $7.596 million a year earlier.
- Minor pointQuarterly securities gains totaled $110,000, versus none a year earlier.
- Minor pointQuarterly income-tax provision declined to $7.089 million from $7.570 million a year earlier.
- Minor pointYear-to-date efficiency ratio improved to 48.60% from 49.52% a year earlier.
- Minor pointQuarterly credit-loss benefit totaled $96,000, versus a $436,000 provision a year earlier.
- Minor pointAssets increased $59.0 million year over year to $5.3 billion at September 30, 2026.
- Minor pointDeposits and repurchase agreements increased $29.9 million year over year to $4.6 billion.
- Minor pointShareholders’ equity reached $581.3 million, versus $567.7 million a year earlier and up $12.1 million year to date.
- Minor pointBook value per share increased to $183.57 from $179.27 a year earlier.
- Minor pointTier 1 leverage ratio of 11.81% exceeded the 5.00% well-capitalized minimum at September 30, 2026.
- Minor pointTier 1 capital increased to $622.915 million from $599.020 million a year earlier.
Negative
- Moderate pointQuarterly noninterest expenses increased 7.2% to $28.721 million, primarily from higher salaries and employee headcount.
- Moderate pointNet-of-tax unrealized securities losses widened to $41.583 million from $24.502 million at year-end 2025.
- Minor pointLoans declined $51.8 million during the third quarter, despite year-to-date and year-over-year growth.
- Minor pointQuarterly interest on cash and cash equivalents fell to $3.170 million from $4.381 million a year earlier.
Details
News Market Reaction – FBAK
On Nov 5, the first trading day after this news, FBAK closed 1.19% below the previous close.
Data tracked by StockTitan Argus for the Nov 5 session.
AI-generated analysis. How Rhea-AI works. Not financial advice.
ANCHORAGE, Alaska, Nov. 04, 2026 (GLOBE NEWSWIRE) -- First National Bank Alaska’s (OTCQX:FBAK) net income for the third quarter of 2026 was
“Our third quarter results reflect disciplined financial management and the trust Alaskans place in First National,” said First National Board Chair and CEO/President Betsy Lawer. “Higher net income, an improved net interest margin and strong asset quality demonstrate the strength of our approach to serving customers and building shareholder value. Our Board of Directors, management team and more than 600 employees all contribute to these results by combining sound decision-making with personal service and a shared commitment to Alaska’s future.”
Assets totaled
Loans totaled
Interest and fees on loans in the third quarter totaled
Deposits and repurchase agreements totaled
Net interest margin increased to
The efficiency ratio for Sept. 30, 2026, was
Noninterest operating income for the third quarter of 2026 was
Noninterest expenses for the third quarter of 2026 rose by
Shareholders’ equity was
Alaska’s community bank since 1922, First National Bank Alaska proudly meets the financial needs of Alaskans with ATMs and 28 locations in 19 communities throughout the state and by providing banking services to meet their needs across the nation and around the world.
For more than a century, the bank has been committed to supporting the communities it serves. In 2024, for the eighth consecutive reporting period, over a span of 24 years, First National received an Outstanding Community Reinvestment Act performance rating from the Office of the Comptroller of the Currency.
In 2026, Forbes named First National one of the World’s Top Performing Banks and, for the second year in a row, one of America’s Best Banks, ranking as the second-top bank in the nation. Newsweek recognized the bank as one of the nation’s Best Regional Banks and Credit Unions for the second year in a row. Alaska Business readers voted First National “Best of Alaska Business” in the Best Place to Work category for the 11th year in a row, Best Bank/Credit Union for the sixth consecutive year, Best Customer Service for the third year in a row, Best Corporate Citizen for the fifth time and Best Wealth Management Firm. The bank was voted first place in the “Best of Alaska” Anchorage Daily News awards, ranking in the top three in the Bank/Financial Institutions category for the eighth consecutive year. In 2025, American Banker recognized First National as a “Best Bank to Work For” for the eighth year in a row.
First National Bank Alaska is a Member FDIC, Equal Housing Lender, and is recognized as a Minority Depository Institution by the Office of the Comptroller of the Currency, as it is majority-owned by women.
| Financial Overview (Unaudited) | Quarter Ended ($ in thousands) | ||||||||||||||
| 9/30/2026 | 6/30/2026 | 3/31/2026 | 12/31/2025 | 9/30/2025 | |||||||||||
| Balance Sheet | |||||||||||||||
| Total Assets | $ | 5,302,968 | $ | 5,123,849 | $ | 5,083,974 | $ | 5,099,945 | $ | 5,243,993 | |||||
| Total Securities | $ | 2,029,279 | $ | 1,826,916 | $ | 1,861,127 | $ | 1,989,022 | $ | 2,002,118 | |||||
| Total Loans | $ | 2,770,683 | $ | 2,822,468 | $ | 2,810,797 | $ | 2,711,964 | $ | 2,590,699 | |||||
| Total Deposits | $ | 3,875,724 | $ | 3,685,246 | $ | 3,710,395 | $ | 3,734,714 | $ | 3,808,022 | |||||
| Repurchase Agreements | $ | 766,814 | $ | 784,819 | $ | 738,789 | $ | 739,103 | $ | 804,589 | |||||
| Total Deposits and Repurchase Agreements | $ | 4,642,538 | $ | 4,470,065 | $ | 4,449,184 | $ | 4,473,817 | $ | 4,612,611 | |||||
| Unrealized Loss on Marketable Securities, Net of Tax | $ | (41,583 | ) | $ | (25,191 | ) | $ | (25,812 | ) | $ | (24,502 | ) | $ | (31,296 | ) |
| Total Shareholders' Equity | $ | 581,332 | $ | 585,216 | $ | 576,437 | $ | 569,246 | $ | 567,724 | |||||
| Income Statement | |||||||||||||||
| Interest and Fees on Loans | $ | 46,917 | $ | 46,407 | $ | 45,111 | $ | 44,730 | $ | 44,116 | |||||
| Interest and Dividends on Investment Securities | $ | 14,821 | $ | 13,259 | $ | 12,882 | $ | 14,451 | $ | 12,229 | |||||
| Interest on Cash and Cash Equivalents | $ | 3,170 | $ | 2,059 | $ | 1,937 | $ | 3,828 | $ | 4,381 | |||||
| Total Interest and Loan Fee Income | $ | 64,908 | $ | 61,725 | $ | 59,930 | $ | 63,009 | $ | 60,726 | |||||
| Total Interest Expense | $ | 12,102 | $ | 11,469 | $ | 10,948 | $ | 11,853 | $ | 12,155 | |||||
| (Benefit) Provision for Credit Losses | $ | (96 | ) | $ | 1,203 | $ | (274 | ) | $ | 2,209 | $ | 436 | |||
| Total Noninterest Operating Income | $ | 7,974 | $ | 7,432 | $ | 6,981 | $ | 7,203 | $ | 7,596 | |||||
| Net Gain (Loss) on Investment Securities | $ | 110 | $ | - | $ | (48 | ) | $ | - | $ | - | ||||
| Total Noninterest Expense | $ | 28,721 | $ | 28,568 | $ | 27,883 | $ | 29,725 | $ | 26,802 | |||||
| Provision for Income Taxes | $ | 7,089 | $ | 7,092 | $ | 7,137 | $ | 6,362 | $ | 7,570 | |||||
| Net Income | $ | 25,176 | $ | 20,825 | $ | 21,169 | $ | 20,063 | $ | 21,359 | |||||
| Earnings per Common Share | $ | 7.95 | $ | 6.58 | $ | 6.68 | $ | 6.33 | $ | 6.75 | |||||
| Dividend per Common Share | $ | 4.00 | $ | 4.00 | $ | 4.00 | $ | 8.00 | $ | 4.00 | |||||
| Financial Measures | |||||||||||||||
| Return on Assets | 1.74 | % | 1.65 | % | 1.67 | % | 1.53 | % | 1.53 | % | |||||
| Return on Equity | 15.49 | % | 14.56 | % | 14.78 | % | 14.16 | % | 14.13 | % | |||||
| Net Interest Margin | 4.05 | % | 4.01 | % | 3.98 | % | 3.82 | % | 3.76 | % | |||||
| Interest Income to Average Earning Assets | 4.97 | % | 4.91 | % | 4.87 | % | 4.78 | % | 4.74 | % | |||||
| Interest Expense to Average Earning Assets | 0.92 | % | 0.90 | % | 0.89 | % | 0.96 | % | 0.98 | % | |||||
| Efficiency Ratio | 48.60 | % | 49.48 | % | 49.81 | % | 49.86 | % | 49.52 | % | |||||
| Capital | |||||||||||||||
| Shareholders' Equity/Total Assets | 10.96 | % | 11.42 | % | 11.34 | % | 11.16 | % | 10.83 | % | |||||
| Tier 1 Leverage Ratio | 11.81 | % | 11.95 | % | 11.90 | % | 11.27 | % | 11.70 | % | |||||
| Regulatory Well Capitalized Minimum Ratio - Tier 1 Leverage Ratio | 5.00 | % | 5.00 | % | 5.00 | % | 5.00 | % | 5.00 | % | |||||
| Tier 1 (Core) Capital | $ | 622,915 | $ | 610,407 | $ | 602,249 | $ | 593,748 | $ | 599,020 | |||||
| Credit Quality | |||||||||||||||
| Nonperforming Loans | $ | 6,783 | $ | 13,175 | $ | 12,209 | $ | 10,636 | $ | 10,847 | |||||
| Nonperforming Loans/Total Loans | 0.24 | % | 0.47 | % | 0.43 | % | 0.39 | % | 0.42 | % | |||||
| Nonperforming Loans/Tier 1 Capital | 1.09 | % | 2.16 | % | 2.03 | % | 1.79 | % | 1.81 | % | |||||
| Allowance for Credit Losses | $ | 20,925 | $ | 22,400 | $ | 21,400 | $ | 21,450 | $ | 20,100 | |||||
| Allowance for Credit Losses/Total Loans | 0.76 | % | 0.79 | % | 0.76 | % | 0.79 | % | 0.78 | % | |||||
| Net interest margin, yields, and efficiency ratios are tax effected. | |||||||||||||||
| Financial measures are year-to-date. | |||||||||||||||
| Per common share amounts are not in thousands. | |||||||||||||||
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