Private Bancorp of America (PBAM) Q3 2026 Financial Results Summary
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Private Bancorp of America, Inc. (PBAM) Q3 2026: Mixed Results with Declining Net Income — Cautiously Optimistic
In the third quarter of 2026, Private Bancorp of America, Inc. (PBAM) reported a net income of $11.4 million, a decrease of $1.7 million or -12.99% from the prior quarter's net income of $13.1 million. However, this figure represents an increase of $1.7 million or +17.53% compared to the $9.7 million net income reported in the same quarter last year.
Despite the quarter-over-quarter decline, the year-over-year growth in net income is a positive indicator for shareholders, suggesting that the company is on a growth trajectory compared to the previous year. However, the decline from the prior quarter raises concerns about the sustainability of this growth.
Key Financial Metrics:
- Net Income: $11.4 million (Q3 2026), down from $13.1 million (Q2 2026), up from $9.7 million (Q3 2025)
- Diluted Earnings Per Share (EPS): $1.97 (Q3 2026), down from $2.27 (Q2 2026), up from $1.65 (Q3 2025)
- Return on Average Assets: 1.65% (Q3 2026), down from 1.99% (Q2 2026), up from 1.51% (Q3 2025)
- Return on Average Tangible Common Equity: 15.62% (Q3 2026), down from 18.00% (Q2 2026), up from 15.28% (Q3 2025)
- Total Deposits: $2.41 billion (Q3 2026), up from $2.38 billion (Q2 2026), up from $2.27 billion (Q3 2025)
- Loans Held-for-Investment: $2.19 billion (Q3 2026), up from $2.13 billion (Q2 2026), up from $2.08 billion (Q3 2025)
- Net Interest Margin: 5.05% (Q3 2026), down from 5.18% (Q2 2026), up from 4.65% (Q3 2025)
Opinion on the Quarter
This quarter presents a mixed bag for shareholders. While the year-over-year growth in net income and EPS is commendable, the decline from the previous quarter raises questions about the company's short-term performance. The increase in total deposits and loans held-for-investment indicates that the bank is successfully attracting new business, which is a positive sign for future growth. However, the decrease in net interest margin and the increase in noninterest expenses, particularly related to the NASDAQ uplisting, suggest that the company is facing some operational challenges.
Dividend and Share Buyback
The company has authorized a stock repurchase program of up to $10.0 million, although no shares have been repurchased as of September 30, 2026. This program could provide support for the stock price and signal management's confidence in the company's future prospects.
Forward Catalyst
Investors should closely monitor the company's performance in the fourth quarter, particularly regarding the effectiveness of its strategies to manage costs and improve net interest margins. Additionally, the potential inclusion in the Russell 2000 Index could provide further momentum for the stock, as it would increase visibility and potentially attract more institutional investors. The management's focus on improving credit metrics and investing in technology and personnel will also be crucial for sustaining growth moving forward.
In summary, while the quarter shows some signs of weakness, the overall trajectory remains positive compared to last year. Shareholders should remain cautiously optimistic as the company navigates these challenges and capitalizes on growth opportunities.
Note: All amounts are in thousands.
| Sep 30, 2026 | Jun 30, 2026 | Sep 30, 2025 | Year to Date | Sep 30, 2026 | Sep 30, 2025 |
|---|---|---|---|---|---|
| 39,000 | 39,000 | 36,700 | 116,000 | 111,000 | |
| 2,920 | 2,384 | 2,051 | 7,965 | 5,356 | |
| 2,630 | 1,953 | 2,432 | 6,368 | 6,814 | |
| 44,600 | 43,375 | 41,200 | 130,000 | 123,000 | |
| 10,075 | 9,413 | 11,400 | 28,800 | 34,700 | |
| 423 | 417 | 482 | 1,284 | 1,618 | |
| 10,498 | 9,830 | 11,900 | 30,084 | 36,318 | |
| 34,102 | 33,545 | 29,300 | 100,000 | 87,100 | |
| 1,261 | (204) | 1,792 | 3,076 | 3,384 | |
| 32,841 | 33,749 | 27,508 | 97,208 | 83,616 | |
| 520 | 533 | 537 | 1,597 | 1,685 | |
| 337 | 4 | 1,008 | 1,248 | 2,000 | |
| 1,435 | 1,001 | 2,172 | 4,371 | 5,515 | |
| 18,370 | 16,863 | 15,900 | 50,900 | 45,600 | |
| 15,905 | 17,886 | 13,800 | 50,600 | 43,600 | |
| 4,513 | 4,769 | 4,106 | 14,100 | 12,900 | |
| 11,409 | 13,118 | 12,027 | 9,954 | 9,701 | |
| 11,326 | 13,018 | 11,942 | 9,874 | 9,623 | |
| 1.99 | 2.29 | 1.67 | 6.38 | 5.30 | |
| 1.97 | 2.27 | 1.65 | 6.31 | 5.22 | |
| 5,681.56 | 5,681.56 | 5,749.56 | 5,681.56 | 5,740.56 | |
| 5,744.50 | 5,741.50 | 5,773.50 | 5,701.50 | 5,835.50 |
Note: All amounts are in thousands.
| Sep 30, 2026 | Jun 30, 2026 | Sep 30, 2025 |
|---|---|---|
| 30,346 | 32,211 | 29,605 |
| 16,825 | 22,275 | 16,314 |
| 204,063 | 245,869 | 215,448 |
| 251,234 | 300,355 | 261,367 |
| 4,356 | 4,344 | 4,295 |
| 267,701 | 237,074 | 199,852 |
| - | - | 314 |
| 2,186,690 | 2,132,724 | 2,081,611 |
| (31,722) | (30,462) | (28,785) |
| 2,154,968 | 2,102,262 | 2,052,826 |
| 11,251 | 11,251 | 10,652 |
| 6,757 | 6,733 | 6,811 |
| 2,759 | 2,525 | 2,252 |
| 1,632 | 1,717 | 2,004 |
| 9,417 | 8,248 | 8,031 |
| 38,145 | 33,793 | 28,077 |
| 2,748,220 | 2,708,302 | 2,576,481 |
| 669,868 | 663,200 | 654,072 |
| 1,743,125 | 1,718,037 | 1,618,296 |
| 2,412,993 | 2,381,237 | 2,272,368 |
| 8,000 | 8,000 | 11,000 |
| 17,981 | 17,979 | 17,974 |
| 17,897 | 15,570 | 17,185 |
| 2,456,871 | 2,422,786 | 2,318,527 |
| 78,223 | 78,214 | 76,403 |
| 4,849 | 4,264 | 4,479 |
| 220,660 | 209,263 | 182,546 |
| (12,383) | (6,225) | (5,474) |
| 291,349 | 285,516 | 257,954 |
| 2,748,220 | 2,708,302 | 2,576,481 |
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