Farmers and Merchants Bank Q2 net income more than doubles; co sets $10 mln buyback

Farmers & Merchants Bank of Long Beach

14/07/2026 13:13

Overview
US regional bank's Q2 net income and EPS rose sharply from prior year
Net interest margin improved to 2.81% from 2.42% a year ago
Company approved new $10 mln stock repurchase plan through year-end

Outlook
Company continues to focus on credit quality and thoughtful loan growth in second half 2026
Farmers and Merchants Bank says steady Fed rates support net interest margin expansion
Company expects strong capital ratios to remain above regulatory requirements

Result Drivers
HIGHER INTEREST INCOME - Increase in interest and dividend income from loans and investment securities drove growth in net interest income
NON-INTEREST INCOME SURGE - Non-interest income rose sharply, mainly due to higher 'other income'
CREDIT LOSS RECAPTURE - Recapture of provision for credit losses contributed to higher net income

Company press release: ID:nBw9wtqpa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 EPS
 
$256.32
 
Q2 Net Income
 
$35.54 mln
 
Q2 Basic EPS
 
$259.04
 
Q2 Pretax Profit
 
$46.98 mln
 

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)