NORTHRIM BANCORP INC has recently released its 10-Q report. Northrim BanCorp, Inc. is the bank holding company for Northrim Bank, which serves businesses and professional individuals with commercial banking products and services. The company operates through Community Banking, Home Mortgage Lending, and Specialty Finance, and also offers lending, deposit, cash management, mortgage, trust, wealth management, and online and mobile banking services.
In Item 2, management said the quarter was shaped by higher net interest income and a stronger mortgage banking contribution, partly offset by higher credit-loss provisioning and operating expenses. Net income rose to $15.3 million, or $0.68 per diluted share, in the second quarter of 2026 from $11.8 million, or $0.52 per diluted share, a year earlier. For the first six months of 2026, net income increased to $29.0 million, or $1.29 per diluted share, from $25.1 million, or $1.12 per diluted share.
Net interest margin was 4.96% in the second quarter, up 30 basis points from the same quarter last year. Portfolio loans reached $2.39 billion at June 30, 2026, up 4% from December 31, 2025, while total deposits increased 4% to $2.92 billion from $2.81 billion. Non-interest-bearing demand deposits rose 6% year over year to $826.3 million and accounted for 28% of total deposits.
The average cost of interest-bearing deposits fell to 1.71% at June 30, 2026 from 2.04% a year earlier. Management also pointed to the July 22, 2026 merger agreement with PBCO Financial Corporation, under which Northrim would acquire PBCO in an all-stock transaction. PBCO shareholders are set to receive 1.160 shares of Northrim common stock for each PBCO share, and the combined company is expected to have about $4.2 billion in assets and expand into Oregon. The market has reacted to these announcements by moving the company's shares 0.91% to a price of $26.57. For more information, read the company's full 10-Q submission here.
