FS Bancorp Q3 net income drops on acquisition costs

FS Bancorp

21/10/2026 21:37

Overview
US regional bank's Q3 net income and EPS fell sharply from prior quarter and year-ago period
Company completed Pacific West Bancorp acquisition, boosting loans and deposits
Company repurchased 44,664 shares for $1.9 mln during the quarter

Outlook
Company did not provide specific financial guidance or outlook for future periods

Result Drivers
PACIFIC WEST ACQUISITION - Co said Q3 loan and deposit growth was primarily due to the Pacific West Bancorp acquisition
LOAN GROWTH - Higher net interest income driven by increased interest income on loans, including those from Pacific West acquisition
RISING INTEREST RATES - Home Lending segment posted a net loss in Q3 due to higher interest rates

Company press release: ID:nGNX9ngrdG

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 EPS
 
$0.63
 
Q3 Net Income
 
$4.90 mln
 
Q3 Net Interest Income
 
$35.70 mln
 
Q3 Dividend
 
$0.29
 
Q3 Net Interest Margin
 
4.36%
 

Analyst Coverage
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "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 FS Bancorp, Inc is $45.00, about 0.3% above its October 20 closing price of $44.85
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago

Reuters Recommended Reads
Oct 20 - KeyCorp Q3 revenue rises 8% to record, profit up 24%
Oct 20 - East West Bancorp Q3 revenue beats estimates on loan and deposit growth
Oct 19 - Zions Bancorp Q3 EPS rises 20% on improved credit quality

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)