Cathay General Bancorp posts record net interest income but EPS miss in Q3 2026
+2 new sources since this summary was written
Cathay General Bancorp reported third‑quarter 2026 results with earnings of $1.43 per diluted share and revenue of $254.65 million, beating revenue forecasts but falling short of the $1.45 EPS estimate. Net income rose 3.2% quarter‑over‑quarter to $95.2 million, driven by a record $211.9 million of net interest income and a 4‑basis‑point expansion in net interest margin. The bank lifted its full‑year loan growth outlook to 5%‑6% and deposit growth to 4%‑5%, while noting higher credit costs and competitive deposit pressures. Shares dropped about 4% in after‑hours trading following the release.
Why it matters
The earnings miss may pressure the stock despite the strong top‑line beat, as investors weigh the modest EPS shortfall against the raised growth guidance. The higher loan and deposit outlook signals continued asset expansion, but elevated credit losses and deposit competition could affect future profitability.
Key facts
- 1Diluted earnings per share were $1.43 for Q3 2026, compared with the Wall Street estimate of $1.45. investing.com
- 2Revenue for the quarter was $254.65 million, exceeding the forecast of $227.39 million. investing.com
- 3Net income increased 3.2% from the prior quarter to $95.2 million. investing.com
- 4Record net interest income was $211.9 million, up 5.5% sequentially. investing.com
- 5Net interest margin rose to 3.52%, a 4‑basis‑point increase from Q2. investing.com
- 6Full‑year loan growth guidance was raised to 5%‑6% and deposit growth to 4%‑5%. investing.com
Summary written by AlphAI AI Desk from 4 of 4 sources. Not investment advice. Figures are as stated by the linked sources.