Westamerica Bancorporation Reports Third Quarter 2026 Financial Results
Key Highlights
- ➤Q3 net income $28.2 million; diluted EPS $1.22, versus $1.17 in Q2
- ➤Net interest margin 3.81%, up four basis points sequentially
- ➤No provision for credit losses recorded during the third quarter
- ➤Nonperforming assets $476 thousand at September 30, 2026
- ➤Average total loans $661.3 million, down 11.1% year over year
Expert Statements
David Payne, Chairman, President and CEO of Westamerica Bancorporation
“Westamerica’s third quarter 2026 results continued to benefit from the Company’s low-cost operating principles. The annualized cost of funding interest-earning loans, bonds and cash was 0.26 percent for the third quarter 2026. Excess cash from stable deposit balances was invested in higher interest earning investment securities resulting in an annualized net interest margin of 3.81 percent for the third quarter 2026, a 4 basis point increase when compared to the second quarter 2026. The Company recognized no provision for credit losses in the third quarter 2026. At September 30, 2026, nonperforming assets were $476 thousand and the allowance for credit losses on loans was $10.5 million. Westamerica operated efficiently, spending 41 percent of its revenue on operating costs in the third quarter 2026. Third quarter 2026 results generated an annualized 11.5 percent return on average common equity. Westamerica paid a $0.48 per common share dividend during the third quarter 2026, and retired 51 thousand common shares using its share repurchase plan. Westamerica’s capital ratios remain at historically high levels exceeding the highest regulatory guidelines”
SAN RAFAEL, Calif., Oct. 15, 2026 (GLOBE NEWSWIRE) -- Westamerica Bancorporation (Nasdaq: WABC), parent company of Westamerica Bank, generated net income for the third quarter 2026 of $28.2 million and diluted earnings per common share ("EPS") of $1.22. Third quarter 2026 results compare to second quarter 2026 net income of $27.4 million and EPS of $1.17.
"Westamerica’s third quarter 2026 results continued to benefit from the Company’s low-cost operating principles. The annualized cost of funding interest-earning loans, bonds and cash was 0.26 percent for the third quarter 2026. Excess cash from stable deposit balances was invested in higher interest earning investment securities resulting in an annualized net interest margin of 3.81 percent for the third quarter 2026, a 4 basis point increase when compared to the second quarter 2026. The Company recognized no provision for credit losses in the third quarter 2026. At September 30, 2026, nonperforming assets were $476 thousand and the allowance for credit losses on loans was $10.5 million. Westamerica operated efficiently, spending 41 percent of its revenue on operating costs in the third quarter 2026”, said Chairman, President and CEO David Payne. “Third quarter 2026 results generated an annualized 11.5 percent return on average common equity. Westamerica paid a $0.48 per common share dividend during the third quarter 2026, and retired 51 thousand common shares using its share repurchase plan. Westamerica’s capital ratios remain at historically high levels exceeding the highest regulatory guidelines,” concluded Payne.
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