RICHMOND MUTUAL BANCORPORATION, INC. ANNOUNCES 2026 THIRD QUARTER FINANCIAL RESULTS
Nine-month net income fell to $6.8 million from $8.2 million despite the larger balance sheet following the Farmers merger.
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
Richmond Mutual Bancorporation (NASDAQ: RMBI) reported third-quarter 2026 net income of $1.7 million, down from both comparison quarters. Diluted earnings per share were $0.11, versus $0.22 in the second quarter and $0.36 a year earlier. The results include Farmers Bancorp following the July 1, 2026 merger; earlier periods exclude Farmers.
Net interest income reached $22.8 million, versus $11.3 million a year earlier, and annualized net interest margin rose to 3.68% from 3.07%. Credit-loss provisions and net charge-offs each totaled $6.1 million. Noninterest expense reached $20.0 million, including $3.0 million in nonrecurring merger costs, while noninterest income included a preliminary $1.6 million bargain purchase gain. Assets totaled $2.60 billion. Non-performing loans and leases reached $32.2 million, or 1.59% of total loans and leases, versus $21.8 million, or 1.78%, at June 30.
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 pointThe Farmers Bancorp merger closed July 1, 2026, adding $1.2 billion in acquired assets.
- Moderate pointNet interest income reached $22.8 million, versus $12.1 million last quarter and $11.3 million a year earlier.
- Moderate pointAnnualized net interest margin rose to 3.68%, versus 3.22% last quarter and 3.07% a year earlier.
- Moderate pointNoninterest income reached $4.6 million, versus $1.6 million last quarter and $1.3 million a year earlier.
- Moderate pointAssets reached $2.60 billion at September 30, versus $1.55 billion in June and $1.53 billion in December.
- Moderate pointNet loans and leases reached $2.00 billion, versus $1.21 billion in June and $1.18 billion in December.
- Moderate pointDeposits reached $2.09 billion, versus $1.15 billion in June and $1.11 billion in December.
- Moderate pointStockholders' equity reached $228.9 million, versus $148.3 million in June and $145.8 million in December.
10 minor points
- Minor pointPreliminary bargain purchase gain contributed $1.6 million to third-quarter noninterest income.
- Minor pointInterest-earning asset yield rose to 6.20% in third-quarter 2026 from 5.93% a year earlier.
- Minor pointLoan and lease yield rose to 6.79% in third-quarter 2026 from 6.63% a year earlier.
- Minor pointAverage interest-bearing liability rate fell to 3.17% in third-quarter 2026 from 3.35% a year earlier.
- Minor pointAverage interest-bearing deposit rate fell to 2.98% in third-quarter 2026 from 3.14% a year earlier.
- Minor pointIncome tax benefit was $482,000, versus $645,000 tax expense in third-quarter 2025.
- Minor pointOrganic loan growth contributed $23.6 million of the increase since December 31, 2025.
- Minor pointNoninterest-bearing deposits reached $351.4 million, or 16.9%, versus $100.1 million, or 8.7%, in June.
- Minor pointBank Tier 1 leverage ratio was 9.99% at September 30, above the 8.0% requirement.
- Minor point$91.9 million in acquired securities sales funded repayment of Federal Home Loan Bank advances assumed in the merger.
Negative
- Moderate pointThird-quarter net income fell to $1.7 million from $2.2 million last quarter and $3.6 million a year earlier.
- Moderate pointNine-month net income fell to $6.8 million from $8.2 million in the same 2025 period.
- Moderate pointCredit-loss provision rose to $6.1 million, versus $823,000 last quarter and $269,000 a year earlier. 2.4% of market cap
- Moderate pointNoninterest expense reached $20.0 million, versus $10.2 million last quarter and $8.1 million a year earlier.
- Moderate pointNonaccrual loans and leases rose to $30.6 million from $13.2 million at December 31, 2025.
- Moderate pointInterest expense increased $5.2 million year over year to $15.7 million in third-quarter 2026.
10 minor points
- Minor pointThird-quarter diluted EPS fell to $0.11 from $0.22 last quarter and $0.36 a year earlier.
- Minor pointNine-month diluted EPS fell to $0.56 from $0.82 in the same 2025 period.
- Minor pointNet charge-offs reached $6.1 million, versus $317,000 in third-quarter 2025.
- Minor pointNonrecurring merger expenses totaled $3.0 million, primarily software and core conversion expenses.
- Minor pointCore deposit intangible amortization added $1.8 million to third-quarter expense.
- Minor pointNon-performing loans and leases reached $32.2 million, or 1.59%, versus June's $21.8 million, or 1.78%.
- Minor pointInterest-bearing checking rate rose to 2.19% from 1.17% in third-quarter 2025, reflecting acquired public fund accounts.
- Minor pointAverage borrowings rose to $284.1 million from $265.8 million a year earlier, primarily from assumed subordinated debt.
- Minor pointAverage borrowing rate rose to 4.26% in third-quarter 2026 from 4.16% a year earlier.
- Minor pointBook value per share fell to $13.66, versus $14.11 in June and $13.88 in December.
News Explained
Effective
Key Figures
- Net income
- $1.7 million
- Q3 2026; versus $3.6 million in Q3 2025
- Diluted EPS
- $0.11
- Q3 2026; versus $0.36 in Q3 2025
- Provision for credit losses
- $6.1 million
- Q3 2026; versus $269,000 in Q3 2025
- Net charge-offs
- $6.1 million
- Q3 2026
- Merger-related expenses
- $3.0 million
- Nonrecurring expenses included in Q3 2026
- Bargain purchase gain
- $1.6 million
- Preliminary gain recognized on the Farmers Bancorp acquisition
- Net interest income
- $22.8 million
- Q3 2026; versus $11.3 million in Q3 2025
- Annualized net interest margin
- 3.68%
- Q3 2026; versus 3.07% in Q3 2025
Previous Earnings Reports
-
Reported lower Q2 net income amid merger costs and a higher credit-loss provision.
-
Reported higher Q3 2025 net income and expanded net interest margin.
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
net charge-offs financial
bargain purchase gain financial
community bank leverage ratio regulatory
tier 1 leverage ratio regulatory
AI-generated analysis. How Rhea-AI works. Not financial advice.
The decrease in net income from the second quarter of 2026 and the third quarter of 2025 was primarily due to higher provision for credit losses, as well as noninterest expense. The provision for credit losses totaled
Net income for the nine months ended September 30, 2026 was
On July 1, 2026, the Company completed its previously announced merger with Farmers Bancorp pursuant to the Agreement and Plan of Merger dated November 11, 2025. Immediately thereafter, The Farmers Bank merged with and into First Bank Richmond. The combined company continues to operate as Richmond Mutual Bancorporation, Inc., while the combined bank is operating under the name First Bank Midwest. The combined company continues to trade on the Nasdaq Capital Market under the ticker symbol "RMBI." The administrative headquarters of the holding company remains in
The financial results presented in this earnings release reflect the Company's operations following the completion of the merger on July 1, 2026. Accordingly, the Company's financial results for the quarter ended September 30, 2026, include the operating results of the combined company. Financial results for periods prior to July 1, 2026, reflect the operations of Richmond Mutual Bancorporation, Inc., on a standalone basis, and do not include the operations of Farmers Bancorp.
Message from the Chairman and CEO
Garry Kleer, Chairman and Chief Executive Officer, commented, "Our third quarter results reflected the impact of our merger with Farmers Bancorp, which significantly expanded our balance sheet and increased net interest income compared to both the prior quarter and the third quarter of last year. Earnings were impacted by a higher provision for credit losses and increased noninterest expense. As we move forward, our focus remains on successfully integrating the two organizations, realizing the strategic benefits of the combination and continuing to serve our customers and communities."
Third Quarter Performance Highlights
- Net interest income increased by
$10.8 million 89.2% , to$22.8 million $12.1 million $11.6 million 102.3% , from$11.3 million - Annualized net interest margin was
3.68% for the current quarter, compared to3.22% in the prior quarter and3.07% for the comparable quarter in 2025. - A provision for credit losses of
$6.1 million $823,000 $269,000 - Noninterest income increased
$3.0 million $4.6 million $1.6 million $3.3 million $1.3 million - Noninterest expense increased
$9.8 million $20.0 million $3.0 million $10.2 million $11.9 million $8.1 million - Assets totaled
$2.60 billion $1.55 billion $1.53 billion - Loans and leases, net of allowance for credit losses, totaled
$2.00 billion $1.21 billion $1.18 billion - Non-performing loans and leases totaled
$32.2 million 1.59% of total loans and leases, at September 30, 2026, compared to$21.8 million 1.78% , at June 30, 2026, and$17.4 million 1.46% , at December 31, 2025. - The allowance for credit losses totaled
$25.4 million 1.25% of total loans and leases outstanding, at September 30, 2026, compared to$17.0 million 1.39% , at June 30, 2026, and$16.5 million 1.38% , at December 31, 2025. - Deposits totaled
$2.09 billion $1.15 billion $1.11 billion $351.4 million 16.9% of total deposits, compared to$100.1 million 8.7% of total deposits at June 30, 2026, and$100.1 million 9.0% of total deposits at December 31, 2025. - Stockholders' equity totaled
$228.9 million $148.3 million $145.8 million 8.81% at September 30, 2026. - Book value per share was
$13.66 $14.11 at June 30, 2026 and$13.88 - The Bank's Tier 1 leverage ratio was
9.99% at September 30, 2026, well in excess of the8.0% CBLR requirement. - Effective September 30, 2026, the Bank elected to begin reporting its regulatory capital status through the Community Bank Leverage Ratio framework. Under the CBLR framework, qualifying institutions that maintain a leverage ratio of greater than
8.0% are deemed to satisfy applicable regulatory capital requirements and are no longer required to calculate risk-based capital ratios for regulatory reporting purposes.
Income Statement Summary
Net Interest Income. Net interest income before the provision for credit losses increased
Annualized net interest margin was
Interest Income. Interest income increased
Interest income on loans and leases increased
Interest income on investment securities, excluding FHLB stock, increased
Interest income on cash and cash equivalents increased
Interest Expense. Interest expense increased
Interest expense on deposits increased
Interest expense on borrowings increased
Provision for Credit Losses. A provision for credit losses of
Noninterest Income. Total noninterest income increased
Noninterest Expense. Total noninterest expense increased
Income Tax Expense. Income tax expense decreased
Balance Sheet Summary
General. Total assets increased
Investment Securities. Investment securities increased
Loans and Leases. Loans and leases increased
Non-performing loans and leases, consisting of nonaccrual loans and leases and accruing loans and leases 90 days or more past due, totaled
Allowance for Credit Losses. The allowance for credit losses on loans and leases increased
Management regularly evaluates credit exposure across its loan portfolio and within its geographic markets. As of September 30, 2026, the Company's credit risk assessment incorporated ongoing economic conditions, including inflationary pressures, capital market volatility, and geopolitical risks. Management continues to conduct portfolio stress testing and monitor credit metrics and believes the allowance for credit losses is appropriate based on the current composition of the loan and lease portfolio and the level of individually evaluated reserves.
Other Assets. Other assets increased
Included in other assets, other real estate owned totaled
Deposits. Total deposits increased
Borrowings. Total borrowings increased
Stockholders' Equity. Stockholders' equity totaled
About Richmond Mutual Bancorporation, Inc.
Richmond Mutual Bancorporation, Inc., headquartered in Richmond, Indiana, is the holding company for First Bank Midwest, a community-oriented financial institution offering traditional financial and trust services within its local communities through its branch locations in Cambridge City, Centerville, Fishers, Frankfort, Kirklin, Lebanon, Michigantown, Mulberry, Noblesville, Richmond, Rossville, Shelbyville, Sheridan, Tipton, and Westfield, Indiana, and its locations in Columbus, Sidney, Piqua, and Troy, Ohio.
FORWARD-LOOKING STATEMENTS:
This document and other filings by the Company with the Securities and Exchange Commission (the "SEC"), as well as press releases or other public or stockholder communications released by the Company, may contain forward-looking statements, including, but not limited to, (i) statements regarding the financial condition, results of operations, and business of the Company, (ii) statements about the Company's plans, objectives, expectations, and intentions and other statements that are not historical facts, and (iii) other statements identified by the words or phrases "may," "believe," "will likely result," "expect," "are expected to," "will continue," "is anticipated," "estimate," "project," "intends," or similar expressions that are intended to identify "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on current beliefs and expectations of the Company's management and are inherently subject to significant business, economic, and competitive uncertainties and contingencies, many of which are beyond the Company's control. In addition, these forward-looking statements are subject to assumptions with respect to future business strategies and decisions that are subject to change. When considering forward-looking statements, keep in mind these risks and uncertainties. Undue reliance should not be placed on any forward-looking statement, which speaks only as of the date made.
The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: adverse economic conditions in the Company's local market areas or other markets where the Company has lending relationships; employment levels, labor shortages, and the effects of persistent inflation, recessionary pressures, or slowing economic growth; changes in interest rate levels and volatility, and the timing and pace of such changes, including actions by the Federal Reserve, which could adversely affect the Company's revenues and expenses, the value of assets and obligations, and the availability and cost of capital and liquidity; the impact of inflation and monetary and fiscal policy responses thereto, and their impact on consumer and business behavior; the effects of a federal government shutdown, debt ceiling standoff, or other fiscal policy uncertainty; the impact of bank failures or adverse developments at other banks and related negative publicity about the banking industry in general on investor and depositor sentiment; 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 credit losses on loans and leases; the Company's ability to access cost-effective funding, including maintaining the confidence of depositors; fluctuations in real estate values and both residential and commercial real estate market conditions; competitive pressures among depository institutions, including repricing and competitors' pricing initiatives, and their impact on the Company's market position, loan, and deposit products; changes in management's business strategies, including expectations regarding key growth initiatives and strategic priorities; the ability to adapt to rapid technological changes, including advancements in artificial intelligence, digital banking platforms, and cybersecurity; legislation or regulatory changes, including but not limited to shifts in capital requirements, banking regulation, tax laws, or consumer protection laws; vulnerabilities in information technology systems or third-party service providers, including disruptions, breaches, or attacks; geopolitical developments and international conflicts, including but not limited to tensions or instability in Eastern Europe, South America, the Middle East, and Asia, or the imposition of new or increased tariffs and trade restrictions, which may disrupt financial markets, global supply chains, commodity prices, or economic activity in specific industry sectors; the effects of climate change, severe weather events, natural disasters, pandemics, epidemics and other public health crises, acts of war or terrorism, domestic political unrest, and other external events on the Company's business; and other factors described in the Company's latest Annual Report on Form 10-K and Quarterly Reports on Form 10-Q and other reports filed with or furnished to the Securities and Exchange Commission that are available on the Company's website at www.firstbankmidwest.com and on the SEC's website at www.sec.gov.
In addition, statements about the potential effects of the Company's merger with Farmers Bancorp, completed on July 1, 2026 on the Company's business, financial results, and condition may constitute forward-looking statements and are subject to the risk that the actual effects may differ, possibly materially, from what is reflected in the forward-looking statements due to factors and future developments which are uncertain, unpredictable and in many cases beyond the Company's control, including the following: the potential that anticipated cost savings, synergies, or revenue enhancements from the merger may not be realized or may take longer to achieve than expected; the ability to successfully integrate the operations, systems, personnel, and technologies of the combined company, including the planned systems conversion; disruption to customer, employee, or vendor relationships, including key community relationships; diversion of management's attention from ongoing operations and strategic initiatives as a result of integration activities; lower-than-expected revenues or profitability following the merger; higher-than-expected transaction or integration costs; changes to preliminary estimates of the fair value of acquired assets and assumed liabilities during the measurement period; and credit losses on acquired loans that exceed estimates; as well as other factors detailed in the Company's filings with the SEC.
The factors listed above could materially affect the Company's financial performance and could cause the Company's actual results for future periods to differ materially from any opinions or statements expressed with respect to future periods in any current statements. The Company does not undertake, and expressly disclaims any obligation, to publicly release the result of any revisions which may be made to any forward-looking statements to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events except as required by law.
|
Financial Highlights (unaudited) |
|||||||||
|
|
|||||||||
|
|
Three Months Ended |
|
Nine Months Ended |
||||||
|
SELECTED OPERATIONS DATA: |
September 30, |
|
June 30, |
|
September 30, |
|
September 30, |
|
September 30, |
|
(In thousands, except for per |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest income |
$ 38,553 |
|
$ 21,899 |
|
$ 21,813 |
|
$ 81,614 |
|
$ 64,028 |
|
Interest expense |
15,708 |
|
9,825 |
|
10,518 |
|
35,249 |
|
31,715 |
|
Net interest income |
22,845 |
|
12,074 |
|
11,295 |
|
46,365 |
|
32,313 |
|
|
|
|
|
|
|
|
|
|
|
|
Provision for credit losses |
6,123 |
|
823 |
|
269 |
|
7,639 |
|
1,744 |
|
Net interest income after |
16,722 |
|
11,251 |
|
11,026 |
|
38,726 |
|
30,569 |
|
Noninterest income |
4,555 |
|
1,580 |
|
1,298 |
|
7,433 |
|
3,540 |
|
Noninterest expense |
20,009 |
|
10,168 |
|
8,082 |
|
38,880 |
|
24,567 |
|
Income before income tax |
1,268 |
|
2,663 |
|
4,242 |
|
7,279 |
|
9,542 |
|
Income tax provision |
(482) |
|
436 |
|
645 |
|
517 |
|
1,375 |
|
|
|
|
|
|
|
|
|
|
|
|
Net income |
$ 1,750 |
|
$ 2,227 |
|
$ 3,597 |
|
$ 6,762 |
|
$ 8,167 |
|
|
|
|
|
|
|
|
|
|
|
|
Shares outstanding |
16,759 |
|
10,505 |
|
10,426 |
|
16,759 |
|
10,426 |
|
Average shares outstanding: |
|
|
|
|
|
|
|
|
|
|
Basic |
15,981 |
|
9,693 |
|
9,627 |
|
11,807 |
|
9,685 |
|
Diluted |
16,221 |
|
9,913 |
|
9,894 |
|
12,023 |
|
9,943 |
|
Earnings per share: |
|
|
|
|
|
|
|
|
|
|
Basic |
$ 0.11 |
|
$ 0.23 |
|
$ 0.37 |
|
$ 0.57 |
|
$ 0.84 |
|
Diluted |
$ 0.11 |
|
$ 0.22 |
|
$ 0.36 |
|
$ 0.56 |
|
$ 0.82 |
|
SELECTED FINANCIAL CONDITION DATA: |
September 30, |
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
(In thousands, except for per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total assets |
$ 2,599,113 |
|
$ 1,552,029 |
|
$ 1,519,216 |
|
$ 1,525,790 |
|
$ 1,525,565 |
|
Cash and cash equivalents |
109,906 |
|
34,721 |
|
34,798 |
|
33,130 |
|
34,265 |
|
Interest-bearing time deposits |
2,375 |
|
2,850 |
|
2,820 |
|
2,070 |
|
— |
|
Investment securities |
329,784 |
|
247,625 |
|
247,872 |
|
254,663 |
|
253,221 |
|
Loans and leases, net of allowance for credit losses |
2,003,988 |
|
1,207,852 |
|
1,174,122 |
|
1,176,813 |
|
1,178,232 |
|
Loans held for sale |
219 |
|
— |
|
835 |
|
828 |
|
1,441 |
|
Premises and equipment, net |
34,177 |
|
13,563 |
|
13,497 |
|
13,397 |
|
13,427 |
|
Federal Home Loan Bank stock |
21,050 |
|
13,907 |
|
13,907 |
|
13,907 |
|
13,907 |
|
Other assets |
97,614 |
|
31,511 |
|
31,365 |
|
30,982 |
|
31,072 |
|
Deposits |
2,085,385 |
|
1,146,643 |
|
1,106,365 |
|
1,114,893 |
|
1,118,258 |
|
Borrowings |
263,588 |
|
244,000 |
|
256,000 |
|
252,000 |
|
254,000 |
|
Total stockholders' equity |
228,904 |
|
148,273 |
|
144,910 |
|
145,781 |
|
140,035 |
|
|
|
|
|
|
|
|
|
|
|
|
Book value (GAAP) |
$ 228,904 |
|
$ 148,273 |
|
$ 144,910 |
|
$ 145,781 |
|
$ 140,035 |
|
Book value per share (GAAP) |
13.66 |
|
14.11 |
|
13.80 |
|
13.88 |
|
13.43 |
The following table summarizes information relating to the Company's loan and lease portfolio at the dates indicated:
|
(In thousands) |
September 30, |
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
|
|
|
|
|
|
|
|
|
|
|
Commercial mortgage |
$ 769,847 |
|
$ 419,123 |
|
$ 414,875 |
|
$ 414,316 |
|
$ 420,680 |
|
Commercial and industrial |
318,595 |
|
158,075 |
|
145,214 |
|
142,508 |
|
138,333 |
|
Construction and development |
186,808 |
|
86,201 |
|
74,315 |
|
71,705 |
|
67,446 |
|
Multi-family |
248,916 |
|
207,760 |
|
208,034 |
|
208,894 |
|
216,982 |
|
Residential mortgage |
269,360 |
|
170,149 |
|
166,260 |
|
171,063 |
|
166,594 |
|
Home equity |
61,582 |
|
22,398 |
|
21,398 |
|
20,147 |
|
18,816 |
|
Direct financing leases |
145,686 |
|
143,602 |
|
142,979 |
|
145,806 |
|
146,413 |
|
Consumer |
29,083 |
|
17,951 |
|
18,179 |
|
19,280 |
|
19,914 |
|
|
|
|
|
|
|
|
|
|
|
|
Total loans and leases |
$ 2,029,877 |
|
$ 1,225,259 |
|
$ 1,191,254 |
|
$ 1,193,719 |
|
$ 1,195,178 |
The following table summarizes information relating to the Company's deposits at the dates indicated:
|
(In thousands) |
September 30, |
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
|
|
|
|
|
|
|
|
|
|
|
Noninterest-bearing demand |
$ 351,413 |
|
$ 100,071 |
|
$ 99,400 |
|
$ 100,091 |
|
$ 110,815 |
|
Interest-bearing demand |
327,467 |
|
154,055 |
|
152,469 |
|
143,863 |
|
145,705 |
|
Savings and money market |
704,461 |
|
330,361 |
|
316,255 |
|
319,337 |
|
307,667 |
|
Non-brokered time deposits |
433,934 |
|
297,881 |
|
301,725 |
|
315,655 |
|
305,821 |
|
Brokered time deposits |
268,110 |
|
264,275 |
|
236,516 |
|
235,947 |
|
248,250 |
|
|
|
|
|
|
|
|
|
|
|
|
Total deposits |
$ 2,085,385 |
|
$ 1,146,643 |
|
$ 1,106,365 |
|
$ 1,114,893 |
|
$ 1,118,258 |
Average Balances, Interest and Average Yields/Cost. The following tables set forth for the periods indicated, information regarding average balances of assets and liabilities as well as the total dollar amounts of interest income from average interest-earning assets and interest expense on average interest-bearing liabilities, resultant yields, interest rate spread, net interest margin (otherwise known as net yield on interest-earning assets), and the ratio of average interest-earning assets to average interest-bearing liabilities. Average balances have been calculated using daily balances. Non-accruing loans have been included in the table as loans carrying a zero yield. Loan fees are included in interest income on loans and are not material.
|
|
Three Months Ended September 30, |
||||||||||
|
|
2026 |
|
2025 |
||||||||
|
|
Average |
|
Interest Paid |
|
Yield/ Rate |
|
Average |
|
Interest Paid |
|
Yield/ Rate |
|
|
(Dollars in thousands) |
||||||||||
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases receivable |
$ 2,018,440 |
|
$ 34,284 |
|
6.79 % |
|
$ 1,186,517 |
|
$ 19,676 |
|
6.63 % |
|
Securities |
360,360 |
|
2,926 |
|
3.25 % |
|
249,857 |
|
1,620 |
|
2.59 % |
|
FHLB stock |
21,050 |
|
517 |
|
9.82 % |
|
13,907 |
|
314 |
|
9.03 % |
|
Cash and cash equivalents and other |
86,470 |
|
826 |
|
3.82 % |
|
20,957 |
|
203 |
|
3.87 % |
|
Total interest-earning assets |
2,486,320 |
|
38,553 |
|
6.20 % |
|
1,471,238 |
|
21,813 |
|
5.93 % |
|
Non-earning assets |
105,315 |
|
|
|
|
|
39,591 |
|
|
|
|
|
Total assets |
2,591,635 |
|
|
|
|
|
1,510,829 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Savings and money market accounts |
687,406 |
|
4,025 |
|
2.34 % |
|
303,742 |
|
1,747 |
|
2.30 % |
|
Interest-bearing checking accounts |
318,266 |
|
1,744 |
|
2.19 % |
|
145,916 |
|
425 |
|
1.17 % |
|
Certificate accounts |
693,877 |
|
6,913 |
|
3.99 % |
|
539,389 |
|
5,585 |
|
4.14 % |
|
Borrowings |
284,115 |
|
3,027 |
|
4.26 % |
|
265,793 |
|
2,761 |
|
4.16 % |
|
Total interest-bearing liabilities |
1,983,664 |
|
15,709 |
|
3.17 % |
|
1,254,840 |
|
10,518 |
|
3.35 % |
|
Noninterest-bearing demand deposits |
350,285 |
|
|
|
|
|
108,360 |
|
|
|
|
|
Other liabilities |
14,045 |
|
|
|
|
|
14,099 |
|
|
|
|
|
Stockholders' equity |
243,641 |
|
|
|
|
|
133,530 |
|
|
|
|
|
Total liabilities and stockholders' equity |
2,591,635 |
|
|
|
|
|
1,510,829 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
|
$ 22,844 |
|
|
|
|
|
$ 11,295 |
|
|
|
Net earning assets |
$ 502,656 |
|
|
|
|
|
$ 216,398 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate spread(1) |
|
|
|
|
3.03 % |
|
|
|
|
|
2.58 % |
|
Net interest margin(2) |
|
|
|
|
3.68 % |
|
|
|
|
|
3.07 % |
|
Average interest-earning assets to average interest-bearing |
125.34 % |
|
|
|
|
|
117.25 % |
|
|
|
|
|
____________________ |
|
|
(1) |
Net interest rate spread represents the difference between the weighted average yield earned on interest-earning assets and the weighted average rate paid on interest bearing liabilities. |
|
(2) |
Net interest margin represents net interest income divided by average total interest-earning assets. |
|
|
Nine Months Ended September 30, |
||||||||||
|
|
2026 |
|
2025 |
||||||||
|
|
Average |
|
Interest Paid |
|
Yield/ Rate |
|
Average |
|
Interest Paid |
|
Yield/ Rate |
|
|
(Dollars in thousands) |
||||||||||
|
Interest-earning assets: |
|
|
|
|
|
|
|
|
|
|
|
|
Loans and leases receivable |
$ 1,469,909 |
|
$ 73,185 |
|
6.64 % |
|
$ 1,181,751 |
|
$ 57,633 |
|
6.50 % |
|
Securities |
289,584 |
|
6,087 |
|
2.80 % |
|
254,513 |
|
4,884 |
|
2.56 % |
|
FHLB stock |
16,314 |
|
1,110 |
|
9.07 % |
|
13,907 |
|
934 |
|
8.95 % |
|
Cash and cash equivalents and other |
44,280 |
|
1,232 |
|
3.71 % |
|
19,769 |
|
577 |
|
3.89 % |
|
Total interest-earning assets |
1,820,087 |
|
81,614 |
|
5.98 % |
|
1,469,940 |
|
64,028 |
|
5.81 % |
|
Non-earning assets |
61,260 |
|
|
|
|
|
40,032 |
|
|
|
|
|
Total assets |
1,881,347 |
|
|
|
|
|
1,509,972 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest-bearing liabilities: |
|
|
|
|
|
|
|
|
|
|
|
|
Savings and money market accounts |
450,368 |
|
7,530 |
|
2.23 % |
|
308,212 |
|
5,303 |
|
2.29 % |
|
Interest-bearing checking accounts |
204,294 |
|
2,541 |
|
1.66 % |
|
140,493 |
|
1,122 |
|
1.06 % |
|
Certificate accounts |
590,246 |
|
17,122 |
|
3.87 % |
|
542,573 |
|
16,989 |
|
4.17 % |
|
Borrowings |
259,443 |
|
8,056 |
|
4.14 % |
|
267,484 |
|
8,301 |
|
4.14 % |
|
Total interest-bearing liabilities |
1,504,351 |
|
35,249 |
|
3.12 % |
|
1,258,762 |
|
31,715 |
|
3.36 % |
|
Noninterest-bearing demand deposits |
182,942 |
|
|
|
|
|
105,016 |
|
|
|
|
|
Other liabilities |
14,287 |
|
|
|
|
|
13,674 |
|
|
|
|
|
Stockholders' equity |
179,767 |
|
|
|
|
|
132,520 |
|
|
|
|
|
Total liabilities and stockholders' equity |
1,881,347 |
|
|
|
|
|
1,509,972 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income |
|
|
$ 46,365 |
|
|
|
|
|
$ 32,313 |
|
|
|
Net earning assets |
$ 315,736 |
|
|
|
|
|
$ 211,178 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest rate spread(1) |
|
|
|
|
2.86 % |
|
|
|
|
|
2.45 % |
|
Net interest margin(2) |
|
|
|
|
3.40 % |
|
|
|
|
|
2.93 % |
|
Average interest-earning assets to average interest-bearing |
120.99 % |
|
|
|
|
|
116.78 % |
|
|
|
|
|
____________________ |
|
|
(1) |
Net interest rate spread represents the difference between the weighted average yield earned on interest-earning assets and the weighted average rate paid on interest bearing liabilities. |
|
(2) |
Net interest margin represents net interest income divided by average total interest-earning assets. |
|
|
At and for the Three Months Ended |
||||||||
|
Selected Financial Ratios and Other Data: |
September 30, |
|
June 30, |
|
March 31, |
|
December 31, |
|
September 30, |
|
Performance ratios: |
|
|
|
|
|
|
|
|
|
|
Return on average assets(1) |
0.27 % |
|
0.58 % |
|
0.74 % |
|
0.89 % |
|
0.95 % |
|
Return on average equity(1) |
2.87 % |
|
6.09 % |
|
7.51 % |
|
9.55 % |
|
10.78 % |
|
Yield on interest-earning assets |
6.20 % |
|
5.85 % |
|
5.74 % |
|
5.89 % |
|
5.93 % |
|
Rate paid on interest-bearing liabilities |
3.17 % |
|
3.08 % |
|
3.10 % |
|
3.28 % |
|
3.35 % |
|
Average interest rate spread |
3.03 % |
|
2.77 % |
|
2.64 % |
|
2.61 % |
|
2.58 % |
|
Net interest margin(1)(2) |
3.68 % |
|
3.22 % |
|
3.10 % |
|
3.11 % |
|
3.07 % |
|
Operating expense to average total assets(1) |
3.09 % |
|
2.64 % |
|
2.30 % |
|
2.24 % |
|
2.14 % |
|
Efficiency ratio(3) |
73.03 % |
|
74.47 % |
|
68.29 % |
|
65.39 % |
|
64.18 % |
|
Average interest-earning assets to average |
125.34 % |
|
117.19 % |
|
117.79 % |
|
117.86 % |
|
117.25 % |
|
Asset quality ratios: |
|
|
|
|
|
|
|
|
|
|
Non-performing assets to total assets(4) |
1.34 % |
|
1.41 % |
|
1.16 % |
|
1.14 % |
|
0.71 % |
|
Non-performing loans and leases to total gross |
1.59 % |
|
1.78 % |
|
1.48 % |
|
1.46 % |
|
0.90 % |
|
Allowance for credit losses to non-performing |
78.89 % |
|
77.91 % |
|
95.02 % |
|
94.64 % |
|
151.64 % |
|
Allowance for credit losses to total loans and |
1.25 % |
|
1.39 % |
|
1.41 % |
|
1.38 % |
|
1.37 % |
|
Net charge-offs to average outstanding loans |
1.21 % |
|
0.18 % |
|
0.12 % |
|
0.12 % |
|
0.11 % |
|
Capital ratios: |
|
|
|
|
|
|
|
|
|
|
Equity to total assets at end of period |
8.81 % |
|
9.55 % |
|
9.54 % |
|
9.55 % |
|
9.18 % |
|
Average equity to average assets |
9.40 % |
|
9.51 % |
|
9.81 % |
|
9.36 % |
|
8.84 % |
|
Tier 1 leverage ratio (CBLR)(6) |
9.99 % |
|
10.90 % |
|
11.10 % |
|
10.95 % |
|
10.85 % |
|
Other data: |
|
|
|
|
|
|
|
|
|
|
Number of full-service offices |
24 |
|
13 |
|
13 |
|
13 |
|
12 |
|
Full-time equivalent employees |
310 |
|
174 |
|
173 |
|
180 |
|
179 |
|
|
|
|
(1) |
Annualized |
|
(2) |
Net interest income divided by average interest-earning assets. |
|
(3) |
Total noninterest expenses as a percentage of net interest income and total noninterest income. |
|
(4) |
Non-performing assets consist of nonaccrual loans and leases, accruing loans and leases 90 days or more past due and foreclosed assets. |
|
(5) |
Non-performing loans and leases consist of nonaccrual loans and leases and accruing loans and leases 90 days or more past due. |
|
(6) |
Capital ratios are for First Bank Midwest. Effective September 30, 2026, the Bank elected the community bank leverage ratio framework and is therefore no longer required to report risk-based capital ratios, which are not presented for that date. |
View original content:https://www.prnewswire.com/news-releases/richmond-mutual-bancorporation-inc-announces-2026-third-quarter-financial-results-302925492.html
SOURCE Richmond Mutual Bancorporation, Inc.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What were Richmond Mutual Bancorporation's third-quarter 2026 earnings?
Richmond Mutual Bancorporation earned $1.7 million, or $0.11 per diluted share, in third-quarter 2026. Net income was $2.2 million in the preceding quarter and $3.6 million in third-quarter 2025. The current quarter includes Farmers Bancorp following the July 1 merger; the comparison quarters exclude Farmers.
What drove RMBI's third-quarter 2026 loan charge-offs?
The quarter's charge-offs included a $4.5 million partial charge-off on a commercial real estate loan and an $803,000 charge-off on a commercial and industrial loan. The real estate loan entered nonaccrual status in the second quarter, and the company took possession of the property late in the third quarter.
Did RMBI record a credit-loss provision when it acquired Farmers Bancorp loans?
No credit-loss provision was recorded at acquisition on the acquired loans. The initial allowance on those loans was established through a gross-up approach rather than an acquisition-date provision.
What regulatory capital reporting change did First Bank Midwest make in September 2026?
First Bank Midwest elected the Community Bank Leverage Ratio framework effective September 30, 2026. Qualifying institutions maintaining a leverage ratio greater than 8.0% are deemed to satisfy applicable regulatory capital requirements and no longer need to calculate risk-based capital ratios for regulatory reporting.