Avidbank posts Q3 2026 earnings beat with strong loan and deposit growth
Avidbank Holdings reported net income of $10.2 million, or $0.94 per diluted share, for the third quarter of 2026, up from $7.6 million and $0.71 per share in the prior quarter. Loans rose by $58.4 million, a 10 % annualized increase from the end of June, while deposits grew by roughly $284 million, a 51 % annualized rise versus the second quarter and $450 million, a 22 % increase versus the same quarter a year earlier. Net interest income climbed to $28.7 million, but net interest margin slipped to 4.07 %, partly due to a temporary large client deposit. The bank issued $30 million of new subordinated notes and redeemed $22 million of existing notes.
Why it matters
The earnings beat and higher loan and deposit balances suggest continued revenue growth, but the margin decline signals pressure from elevated cash balances. The new subordinated debt strengthens capital, supporting future growth and potentially improving leverage ratios.
Key facts
- 1Net income was $10.2 million, or $0.94 per diluted share, for Q3 2026. sec.gov
- 2Loans increased by $58.4 million, a 10 % annualized rise from June 30 2026 and a 17 % increase from September 30 2025. sec.gov
- 3Deposits rose by $283.8 million, a 51 % annualized increase from the second quarter of 2026, and by $449.9 million, a 22 % increase from the third quarter of 2025. sec.gov
- 4Net interest income totaled $28.7 million, up $2.0 million (30 % annualized) from the prior quarter. sec.gov
- 5Net interest margin was 4.07 %, down 19 basis points from Q2 2026. sec.gov
- 6The bank redeemed $22.0 million of callable subordinated notes and closed a $30.0 million private placement of new subordinated notes at a 7.00 % fixed rate for the first five years. sec.gov
Summary written by AlphAI AI Desk from 6 of 6 sources. Not investment advice. Figures are as stated by the linked sources.