Earnings jump at Gouverneur Bancorp (OTCQB: GOVB) in Q2 2026
Rhea-AI Filing Summary
Gouverneur Bancorp, Inc. reported stronger results for the quarter and six months ended March 31, 2026. Quarterly net income rose to $217,000, or $0.21 per share, from $118,000, or $0.11, a year earlier. Six‑month net income increased to $504,000, or $0.49 per share, from $278,000, or $0.27.
Total assets were $198.3 million, deposits were $160.0 million, and shareholders’ equity was $32.7 million at March 31, 2026. Net interest margin improved to 4.22% for the quarter and 4.14% for the six months. Deposits grew while Federal Home Loan Bank advances declined significantly.
Positive
- Profitability strengthened materially: net income rose to $217,000 for the quarter and $504,000 for six months, with earnings per share nearly doubling versus the prior‑year periods, supported by higher loan interest income, stronger non‑interest income and improved net interest margin.
Negative
- None.
Insights
Gouverneur Bancorp delivered higher profitability with improved margins and balance sheet mix.
Gouverneur Bancorp increased quarterly net income to $217,000 and six‑month net income to $504,000, with earnings per share nearly doubling versus the prior‑year periods. Higher interest income on loans and a notable boost in non‑interest income supported these gains.
Net interest margin improved to 4.22% for the quarter and 4.14% for the six months, reflecting lower deposit interest costs relative to asset yields. Non‑interest income benefited from a $103,000 bank‑owned life insurance death benefit and a small securities gain, while non‑interest expenses were tightly controlled.
The balance sheet showed $198.3M in assets, deposit growth to $160.0M, and a sharp reduction in Federal Home Loan Bank advances from $7.0M to $1.0M. Return on average assets and equity improved for both the quarter and six‑month period ended March 31, 2026, indicating more efficient use of capital.
8-K Event Classification
2 items: 2.02, 9.01
2 items
Item 2.02
Results of Operations and Financial Condition
Financial
Disclosure of earnings results, typically an earnings press release or preliminary financials.
Item 9.01
Financial Statements and Exhibits
Exhibits
Financial statements, pro forma financial information, and exhibit attachments filed with this report.
Key Figures
Quarterly net income: $217,000
Six‑month net income: $504,000
Quarterly EPS: $0.21 per share
+5 more
8 metrics
Quarterly net income
$217,000
For the quarter ended March 31, 2026
Six‑month net income
$504,000
For the six months ended March 31, 2026
Quarterly EPS
$0.21 per share
Basic and diluted, quarter ended March 31, 2026
Total assets
$198.3 million
As of March 31, 2026
Total deposits
$160.0 million
As of March 31, 2026
Net interest margin (quarter)
4.22%
Quarter ended March 31, 2026
Return on average assets (quarter)
0.44%
Annualized, quarter ended March 31, 2026
Shareholders’ equity
$32.7 million
As of March 31, 2026
Key Terms
net interest margin, provision for credit loss, bank owned life insurance, accumulated other comprehensive loss, +2 more
6 terms
net interest margin financial
"Net interest margin, which represents net interest income as a percentage of average interest-earning assets, was 4.22% and 4.06%"
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.
provision for credit loss financial
"The Bank recorded a $5,000 provision for credit loss for the three months ended March 31, 2026"
An amount a lender records as an expense to cover loans and other receivables it expects will not be repaid; think of it as a rainy-day fund set aside when some customers might default. It matters to investors because bigger provisions reduce current profit and signal worsening borrower quality or tighter lending standards, while smaller provisions can boost reported earnings but may hide rising credit risk that could hurt future cash flows.
bank owned life insurance financial
"The increase is primarily due to a $103,000 gain recognized from a bank-owned life insurance death benefit"
Bank owned life insurance is a type of life insurance a bank buys on the lives of its employees so the bank, rather than the employee’s family, receives the payout when a covered person dies. It acts like a long-term asset that pays income and can help cover costs such as employee benefits or unexpected losses; investors watch it because the holding affects a bank’s reported earnings, cash flow stability, and capital position much like a conservative investment portfolio would.
accumulated other comprehensive loss financial
"The increase in shareholders’ equity was primarily a result of a $0.3 million increase to the market value of the securities portfolio included in accumulated other comprehensive loss"
Accumulated other comprehensive loss is the running negative total of certain gains and losses that companies record outside their regular profit-and-loss statement, such as changes in the value of some investments, pension adjustments, or currency translation effects. It matters to investors because it reduces shareholders’ equity and reveals economic swings that haven’t affected reported net income yet — like a side ledger showing pending ups and downs that could influence future cash flow or balance-sheet strength.
Federal Home Loan Bank advances financial
"the Company held $1.0 million in advances from the Federal Home Loan Bank of New York (the “FHLBNY”), compared to $7.0 million in FHLBNY advances"
Federal Home Loan Bank advances are loans that member banks and similar lenders borrow from a regional Federal Home Loan Bank, typically backed by the borrower’s assets and used for short- or long-term funding. For investors, these advances reveal how much a lender relies on wholesale borrowing to fund loans and operations—similar to watching a company tap a line of credit—and changes in advance levels or rates can signal shifts in liquidity, funding cost and balance-sheet risk.
return on average assets financial
"Annualized Return on Average Assets | 0.44 % | 0.24 %"
Return on average assets (ROAA) measures how efficiently a company turns its assets into profit by comparing profit after expenses to the average value of its assets over a period (usually the average of beginning and ending assets). It matters to investors because it shows how well management uses the company’s resources to generate returns—think of it as how much profit a baker earns from the oven space they actually used over time.
Earnings Snapshot
Net income (quarter): $217,000
Quarter and six months ended March 31, 2026
Net income (quarter)
$217,000
Net income (six months)
$504,000
Earnings per share (quarter)
$0.21
Earnings per share (six months)
$0.49
Net interest margin (quarter)
4.22%
Net interest margin (six months)
4.14%
AI-generated analysis. How Rhea-AI works. Not financial advice.
FAQ
How did Gouverneur Bancorp (GOVB) perform in Q2 fiscal 2026?
Gouverneur Bancorp’s Q2 fiscal 2026 net income was $217,000, up from $118,000 a year earlier. Earnings per share were $0.21, compared with $0.11. Higher loan interest income, stronger non‑interest income, and better cost control contributed to the improved quarterly performance.
What were Gouverneur Bancorp (GOVB) earnings for the six months ended March 31, 2026?
For the six months ended March 31, 2026, Gouverneur Bancorp reported net income of $504,000, versus $278,000 a year earlier. Earnings per share were $0.49, up from $0.27, reflecting higher net interest income, increased non‑interest income, and generally stable operating expenses.
How did Gouverneur Bancorp’s net interest margin change in fiscal 2026?
Net interest margin improved, reaching 4.22% for the quarter and 4.14% for the six months ended March 31, 2026. This compares with 4.06% and 4.02% in the prior‑year periods, helped by higher yields on loans and lower interest expense on deposits.
What is Gouverneur Bancorp’s asset and deposit base as of March 31, 2026?
As of March 31, 2026, Gouverneur Bancorp reported total assets of $198.3 million and total deposits of $160.0 million. Deposits increased from $154.8 million at September 30, 2025, mainly due to seasonal activity in commercial and municipal deposit relationships.
How did Gouverneur Bancorp’s funding mix change, especially FHLB advances?
Federal Home Loan Bank advances fell to $1.0 million at March 31, 2026, from $7.0 million at September 30, 2025. At the same time, deposits rose to $160.0 million, reducing reliance on wholesale funding while increasing core customer deposits on the balance sheet.
What were Gouverneur Bancorp’s return on assets and equity for Q2 2026?
For the quarter ended March 31, 2026, Gouverneur Bancorp’s annualized return on average assets was 0.44% and return on average equity was 2.68%. These figures improved from 0.24% and 1.52%, respectively, in the prior‑year quarter, reflecting stronger profitability.