1st Source Corporation: 1st Source Corporation Reports Record Third Quarter Results, Cash Dividend Declared
1st Source Corporation (SRCE) reported record Q3 2026 net income of $49.54M, up 4.20% QoQ and 17.13% YoY. Diluted EPS was $2.03, up 4.10% QoQ and 18.71% YoY. The company declared a $0.45 per share dividend, up 12.50% YoY. Loans and leases grew 1.58% QoQ and 3.42% YoY, while net interest income increased 2.62% QoQ and 7.69% YoY. Net interest margin expanded to 4.28%.
How this was made
The 30-second read
Why it matters
Record earnings and dividend raise suggest improved profitability, likely supporting the stock in the short term.
Market read
Earnings beat and dividend increase provide a clear catalyst for SRCE traders.
What to watch
Higher provision for credit losses in future cycles and seasonal deposit outflows could pressure margins.
Background
1st Source Corp, a publicly traded community bank, released its Q3 2026 earnings and announced a higher dividend.
Ticker impact
1st Source Corp reported record Q3 net income of $49.54M (up 17% YoY) and raised its quarterly dividend to $0.45 per share.
upward pressure as investors price in stronger earnings and higher dividend.
Record profit growth, margin expansion, and a dividend increase signal improved profitability and cash flow, which typically boost investor sentiment.
Market effects
Regional banking sector may see modest upside from a strong earnings beat.
U.S. Midwest and Mid-Atlantic community banks could benefit.
Limited to U.S. community banking niche.
Counterpoint
The earnings beat may be temporary if loan growth slows or credit quality deteriorates.
Key entities
- personAndrea G. Short
President and CEO of 1st Source Corp, quoted on earnings.

