Northrim Bancorp reported third-quarter 2026 net income of $14.4 million, or $0.63 per diluted share, down from $15.3 million, or $0.68 per share, in the second quarter and $27.1 million, or $1.20 per share, a year earlier.
Net interest income rose to $38.9 million from $37.1 million in the prior quarter and $35.3 million a year ago, up 5% sequentially and 10% year over year. Net interest margin on a tax-equivalent basis was 5.02%, compared with 5.01% in the second quarter and 4.88% in the third quarter of 2025.
Pre-provision pre-tax net revenue climbed to $26.5 million from $21.9 million in the second quarter, a 21% increase. The company’s efficiency ratio improved to 55.62% from 59.44% in the prior quarter and 57.85% a year ago.
Portfolio loans ended the quarter at $2.40 billion, up 1% from $2.39 billion in the second quarter and up 8% from $2.22 billion a year earlier. Core loans, excluding consumer mortgages, were $2.16 billion, up from $2.00 billion a year ago.
Total deposits increased to $3.05 billion from $2.92 billion in the second quarter and $2.91 billion a year earlier. Non-interest-bearing demand deposits were $833.7 million, up 1% from the prior quarter but down 4% from a year earlier, and represented 27% of total deposits.
The average cost of interest-bearing deposits fell to 1.69% from 1.71% in the second quarter and 2.00% in the third quarter of 2025.
Average purchased receivables and loan balances in the specialty finance segment rose to $164.3 million from $141.5 million in the second quarter and $127.8 million a year earlier.
Return on average assets was 1.65%, down from 1.84% in the second quarter and 3.32% a year earlier. Return on average equity was 15.96%, compared with 17.77% in the prior quarter and 35.66% in the third quarter of 2025.
At quarter end, total assets were $3.58 billion, up from $3.42 billion in the second quarter and $3.31 billion a year earlier. Total shareholders’ equity as a percentage of total assets was 9.95%, versus 10.18% in the prior quarter and 9.53% a year earlier.
Dividends per share increased to $0.17 from $0.16 in both the second quarter and the third quarter of 2025. Today the company's shares have moved 1.33% to a price of $24.43. Check out the company's full 8-K submission here.
