FB Financial delivers in-line earnings but misses on revenue
Investing.com -- On Tuesday, FB Financial Corporation (NYSE: FBK) reported third quarter adjusted earnings per share of $1.21, meeting analyst expectations, though revenue of $174.49 million fell short of the consensus estimate of $181.55 million.
The Nashville-based bank holding company’s shares rose 1.34% in pre-market trading following the announcement.
The company posted net income of $60.2 million, or $1.20 per diluted share, compared to $0.43 in the third quarter of 2025. Adjusted net income reached $60.9 million, or $1.21 per diluted share, up from $1.07 in the year-ago period. Revenue increased 0.4% YoY from $173.88 million in the third quarter of 2025.
The company reported loans held for investment of $13.18 billion at quarter-end, representing 7.17% growth YoY and a 9.68% annualized increase from the prior quarter. Deposits totaled $14.67 billion, up 6.18% YoY and 8.82% on an annualized basis from the second quarter.
Net interest margin compressed to 3.83% from 3.95% in both the prior quarter and the year-ago period, reflecting higher funding costs. The decline included a 3 basis point impact from a $1.0 million reversal of previously accrued interest on a nonaccrual loan.
"Our results reflect continued organic growth momentum and solid profitability metrics," said President and CEO Christopher T. Holmes. "Annualized loan growth (HFI) was 9.68% for the quarter, annualized client deposit growth was 11.0%, and annualized total deposit growth was 8.82% when we net out the decline in brokered deposits."
The company recorded provision expense of $1.4 million for the quarter, down from $10.1 million in the prior quarter and $34.4 million in the third quarter of 2025. Net charge-offs represented 0.04% of average loans on an annualized basis. Nonperforming loans as a percentage of total loans stood at 1.18%, compared to 1.17% in the prior quarter and 0.94% a year earlier.
The company repurchased 545,214 shares during the quarter and completed a $125.0 million subordinated debt issuance at a spread of 180 basis points over the five-year U.S. Treasury yield.