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FB Financial Reports Strong Q3 2026 Profit Growth Driven by Loan and Deposit Expansion

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FBK$52.95 0.57%

FB Financial Corporation (NYSE:FBK), parent company of FirstBank, reported net income of $60.2 million, or $1.20 per diluted share, for the third quarter of 2026. This marks an increase from $1.13 per share in the previous quarter and $0.43 per share in the third quarter of 2025. On an adjusted basis, earnings came in at $1.21 per share. The bank recorded annualized loan growth of 9.68%, pushing loans held for investment to $13.18 billion, while total deposits expanded to $14.67 billion.

Despite solid growth in lending and deposits, operating margins faced slight compression. Net interest margin narrowed to 3.83% from 3.95% in the prior quarter, driven by higher deposit costs and a nonaccrual loan interest reversal. The bank's cost of interest-bearing deposits rose to 2.88% from 2.81%. Noninterest income also declined to $24.5 million, weighed down by lower mortgage banking revenue, which dropped to $9.4 million. Meanwhile, credit quality remained stable, with net charge-offs representing just 0.04% of average loans.

Looking ahead, investors will watch how the company balances ongoing deposit cost pressures with its strategic growth initiatives. Capital levels remain strong, supported by $125.0 million in newly issued subordinated debt and ongoing share buybacks, with 545,214 shares repurchased during the quarter. Management expects recent balance sheet investments to position the bank for expanded operating leverage and long-term earnings growth.

Key points

  • FB Financial Corporation (NYSE:FBK) posted Q3 2026 net income of $60.2 million, or $1.20 per diluted share, up from $0.43 per share a year earlier.
  • Total loans held for investment rose 9.68% on an annualized basis to $13.18 billion, while total deposits grew to $14.67 billion.
  • Net interest margin narrowed to 3.83% from 3.95% in the prior quarter due to rising deposit funding costs.
  • Noninterest income fell to $24.5 million, impacted by lower mortgage banking income of $9.4 million.
  • The bank repurchased 545,214 common shares for $29.3 million and issued $125.0 million in subordinated debt during the quarter.

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Questions and answers

What were FB Financial Corporation's Q3 2026 earnings per share?

FB Financial Corporation reported Q3 2026 net income of $60.2 million, or $1.20 per diluted share. On an adjusted basis, earnings per share reached $1.21.

What was FB Financial Corporation's net interest margin in Q3 2026?

Net interest margin was 3.83% for the third quarter of 2026, down from 3.95% in the previous quarter due to higher deposit funding costs and an interest reversal on a nonaccrual loan.

How much did FB Financial Corporation grow its loans and deposits in Q3 2026?

FB Financial Corporation grew loans held for investment by an annualized 9.68% to $13.18 billion and increased total deposits by an annualized 8.82% to $14.67 billion.