First Business Financial Q1 net income rises on loan and deposit growth

First Business Financial Services

23/04/2026 21:19

Overview

US commercial banking firm's Q1 net income and revenue rose yr/yr on loan and deposit growth

Tangible book value per share grew 13.6% yr/yr, reflecting strong earnings

Outlook

Company maintains full-year 2026 target of 10% loan growth and above-average shareholder returns

Company expects full-year 2026 net interest margin in the 3.60%-3.65% range

Company projects 2026 effective tax rate between 16% and 18%

Result Drivers

LOAN AND DEPOSIT GROWTH - Co said double-digit increases in loans and core deposits drove Q1 results, with C&I lending portfolios accounting for two-thirds of late-quarter loan growth

NON-INTEREST INCOME - Co said growth in non-interest income, including higher service charges on deposits and gains from SBA loan sales, reinforced revenue diversification

NON-PERFORMING LOANS - Co said progress in resolving non-performing CRE credits contributed to an 8% decline in non-accrual loans in Q1

Company press release: ID:nBw5vDYGva

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Operating Revenue
$44.29 mln
Q1 EPS
$1.44
Q1 Net Interest Income
$35.52 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy"

Wall Street's median 12-month price target for First Business Financial Services Inc is $68.00, about 18.7% above its April 22 closing price of $57.27

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

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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.)