Safe Harbor Announces Preliminary Third Quarter 2026 Deposit Results
Client deposit growth accelerated for a second consecutive quarter, while preliminary balances do not establish quarterly revenue or net income.
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Rhea-AI Summary
Safe Harbor (SHFS) announced preliminary third-quarter deposit results, with trailing 14-day average client deposits reaching approximately $119.3 million at quarter end. At September 30, 2026, the balance was up 7.4% from approximately $111.1 million a year earlier and approximately 25% above the May 2025 low of approximately $95.3 million. It was the highest since April 2024.
Deposits increased approximately 9.6% sequentially, following approximately 4.1% growth in the second quarter. Safe Harbor estimates approximately $150,000 in incremental annualized investment income from the September 16 Federal Reserve rate increase, assuming September 30 deposit and loan balances and partner arrangements remain unchanged. The deposit information is unaudited, subject to closing and review, and may differ materially from final information. It does not establish quarterly revenue or net income; full results are planned for a later date.
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.
Hollow bars mark forward-looking points. How the balance works
Positive
- Moderate pointTrailing 14-day average deposits reached approximately $119.3 million, up 7.4% year-over-year at September 30, 2026.
- Moderate pointThird-quarter sequential deposit growth of approximately 9.6% more than doubled second-quarter growth of approximately 4.1%.
- Moderate point. Forward-looking: it has not happened yet and may not happen.Safe Harbor estimates approximately $150,000 incremental annualized investment income from the September 16, 2026 rate increase.
- Minor pointQuarter-end deposits were approximately 25% above the May 2025 low and the highest since April 2024.
Negative
- Minor point. Forward-looking: it has not happened yet and may not happen.Investment-income estimate assumes unchanged September 30 balances and partner arrangements; future interest-rate changes also affect results.
- Minor pointPreliminary deposit information is unaudited and unreviewed by the independent accountant; final information may differ materially.
- Minor pointDeposit growth does not necessarily translate into proportional revenue growth; Safe Harbor earns income on only a portion.
News Explained
The reported client deposits are held at partner financial institutions, are their liabilities and are not on Safe Harbor’s balance sheet; Safe Harbor earns investment income on a portion, and deposit changes do not necessarily translate proportionally into revenue.
Details
Market Reaction – SHFS
On Oct 6, the day this news came out, the latest delayed price for SHFS is 0.32% above the previous close. The latest delayed price is $0.88. Relative volume is very high at 3.9x the average.
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Key Figures
- Trailing 14-day average deposits
- $119.3 million
- As of September 30, 2026; preliminary
- Year-over-year deposit growth
- 7.4%
- As of September 30, 2026
- Sequential deposit growth
- 9.6%
- Third quarter 2026
- Above May 2025 deposit low
- Approximately 25%
- Trailing 14-day average deposits
- Estimated incremental annualized investment income
- Approximately $150,000
- Estimate based on September 30, 2026 balances and unchanged partner arrangements
- Federal funds target rate increase
- 25 basis points
- September 16, 2026; used in the investment-income estimate
Key Terms
federal funds target rate financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Trailing 14-day average deposits reach approximately
Recent Federal Reserve rate increase expected to add approximately
DENVER, Oct. 06, 2026 (GLOBE NEWSWIRE) -- SHF Holdings, Inc., d/b/a Safe Harbor (the “Company” or “Safe Harbor”) (NASDAQ: SHFS), a leading fintech platform serving the banking, lending and financial services needs of the regulated cannabis and hemp industries, today announced certain preliminary deposit information for the third quarter ended September 30, 2026, ahead of its third quarter 2026 earnings release.
Safe Harbor’s trailing 14-day average deposit balance was approximately
The trailing 14-day average client deposits increased approximately
Safe Harbor also expects revenue to benefit from the higher interest rate environment. Based on client deposit and loan balances as of September 30, 2026, and assuming those balances and the Company’s current arrangements with its partner financial institutions remain unchanged, the Company estimates that the Federal Reserve’s 25-basis-point increase in the federal funds target rate on September 16, 2026 will contribute approximately
“The continued growth in deposits reflects the strength of the strategy we have put in place,” said Terry Mendez, CEO of Safe Harbor. “As we broaden our platform across banking, lending, business solutions and institutional infrastructure, we are deepening client relationships and expanding the opportunity to capture more of their financial activity. We believe the continued momentum in deposits demonstrates the value of building a broader financial platform around the needs of the cannabis clients we service on behalf of financial institutions.”
Key Performance Indicator: Trailing 14-Day Average Client Deposits
The trailing 14-day average client deposit balance is the average of the aggregate end-of-day balances of deposit accounts of Safe Harbor’s clients held at its partner financial institutions for the 14 consecutive calendar days ending on the measurement date. Management uses this metric, rather than a single-day balance, because it smooths fluctuations caused by clients’ two-week payroll cycles and therefore better reflects underlying deposit levels. These deposits are held by and are liabilities of Safe Harbor’s partner financial institutions; they are not deposits of Safe Harbor and are not reflected on Safe Harbor’s consolidated balance sheet. Safe Harbor earns investment income on a portion of these balances under its arrangements with its partner financial institutions, and changes in deposit balances do not necessarily correspond to proportional changes in Safe Harbor’s revenue. The metric has been calculated on a consistent basis for all periods presented and may not be comparable to similarly titled measures used by other companies.
Preliminary Results
The preliminary deposit information in this press release is based on information available to management as of the date of this release, has not been audited or reviewed by Safe Harbor’s independent registered public accounting firm, and remains subject to completion of the Company’s normal quarter-end closing and review procedures. Final information may differ materially. This information is not a comprehensive statement of Safe Harbor’s financial results for the quarter, and investors should not draw conclusions regarding revenue, net income or other results from it. Safe Harbor plans to report full third quarter 2026 financial results at a later date to be announced.
About Safe Harbor:
Safe Harbor is a cannabis-exclusive financial platform delivering smarter banking, lending, payments and business services, and institutional solutions tailored to how the cannabis industry actually operates. As one of the original pioneers of compliant financial operations support and cannabis banking consulting in the U.S., Safe Harbor has assisted in the processing of more than
Cautionary Statement Regarding Forward-Looking Statements:
Certain information contained in this press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Statements other than statements of historical facts included herein may constitute forward-looking statements and are not guarantees of future performance or results and involve a number of risks and uncertainties. Forward-looking statements may include, but are not limited to, statements with respect to trends in the cannabis industry, including proposed changes in U.S. and state laws, rules, regulations and guidance relating to Safe Harbor's services; the anticipated impact of Federal Reserve interest rate actions on Safe Harbor's revenue and profit; the Company's expectations regarding continued deposit growth and the drivers of that growth; preliminary and unaudited financial information, which remains subject to completion of the Company's normal quarter-end and quarterly closing procedures and could differ from final results; Safe Harbor's growth prospects and Safe Harbor's market size; Safe Harbor's projected financial and operational performance, including relative to its competitors and historical performance; success or viability of new product and service offerings Safe Harbor may introduce in the future; the impact of volatility in the capital markets, which may adversely affect the price of Safe Harbor's securities; the outcome of any legal proceedings that have been or may be brought by or against Safe Harbor; and other statements regarding Safe Harbor's expectations, hopes, beliefs, intentions or strategies regarding the future. In addition, any statements that refer to projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions, are forward-looking statements. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "outlook," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "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 are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Actual results may differ materially from those in the forward-looking statements as a result of a number of factors, including those described from time to time in Safe Harbor's filings with the U.S. Securities and Exchange Commission. Safe Harbor undertakes no duty to update any forward-looking statement made herein. All forward-looking statements speak only as of the date of this press release.
Safe Harbor Investor Relations Contact:
ir@SHFinancial.org
Safe Harbor Media Relations Contact:
safeharbor@kcsa.com
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
How much did Safe Harbor's client deposits grow in the third quarter of 2026?
Safe Harbor's trailing 14-day average client deposits increased approximately 9.6% sequentially to approximately $119.3 million as of September 30, 2026. The preliminary balance was also up 7.4% from approximately $111.1 million as of September 30, 2025.
How much additional investment income does Safe Harbor expect from the September 2026 rate increase?
Safe Harbor estimates approximately $150,000 in incremental annualized investment income from the Federal Reserve's 25-basis-point increase on September 16, 2026. That estimate assumes September 30 client deposit and loan balances and current partner financial institution arrangements remain unchanged. Actual results depend on future balances, arrangements and interest-rate changes.
What does Safe Harbor's trailing 14-day average client deposit metric measure?
The metric averages aggregate end-of-day client deposit account balances at partner financial institutions over 14 consecutive calendar days ending on the measurement date. Management uses it to smooth fluctuations caused by clients' two-week payroll cycles. These deposits are liabilities of the partner institutions, not Safe Harbor deposits, and are not on Safe Harbor's consolidated balance sheet.