Finward Bancorp Announces Third Quarter 2026 Results
Key Highlights
- ➤Q3 net income $1.4 million, or $0.31 per diluted share
- ➤Pending First Financial merger drove $2.3 million in one-time expenses
- ➤Tax-equivalent net interest margin rose to 3.51% from 3.37%
- ➤Deposits increased $25.9 million, or 1.5%, to $1.76 billion
- ➤Tangible book value per share fell to $31.07 from $35.75
Expert Statements
Benjamin Bochnowski, Chief Executive Officer of Finward Bancorp
“The third quarter was impacted by merger-related expenses related to our pending merger with First Financial, announced earlier in the quarter. The quarter included additional expenses in the areas of compensation and benefits, and third-party costs associated with the merger.”
Benjamin Bochnowski, Chief Executive Officer of Finward Bancorp
“Credit quality remained stable, as did our core banking business and customer base. The rapid increase in interest rates contributed positively to loan yields and margin, although it also resulted in higher unrealized losses in the bond portfolio. We continue to make progress toward closing our merger with First Financial, and we believe the combination of our companies will have benefits for our shareholders, customers, communities, and employees. Throughout this process, our commitment to our customers and communities grounds the team, and our team is working diligently to ensure a seamless transition that maximizes the promise of the merger.”
Finward Bancorp (Nasdaq: FNWD) (the “Bancorp”), the holding company for Peoples Bank (the “Bank”), today announced that net income available to common stockholders was $1.4 million, or $0.31 per diluted share, for the quarter ended September 30, 2026, as compared to $2.1 million, or $0.48 per diluted share, for the quarter ended June 30, 2026. Selected performance metrics are as follows for the periods presented:
Performance Ratios Quarter ended 9/30/20266/30/20263/31/202612/31/20259/30/2025 Return on equity3.10 %4.74 %5.00 %4.66 %8.96 % Return on assets0.27 %0.42 %0.44 %0.39 %0.68 % Net interest margin, tax-equivalent (non-GAAP)3.51 %3.37 %3.35 %3.32 %3.18 % Non-interest income/average assets0.52 %0.48 %0.48 %0.29 %0.57 % Non-interest expense/average assets3.35 %2.95 %2.93 %2.90 %2.74 % Efficiency ratio (non-GAAP)91.32 %84.52 %84.45 %89.50 %81.22 %
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