NBT Bancorp (NBTB) Q1 2026 earnings summary

Executive summary

• Net income for Q1 2026 was $51.1 million ($0.98 per diluted share), up 39% year-over-year, driven by disciplined balance sheet management, diversified revenue growth, and the successful integration of Evans Bancorp, which added $1.67 billion in loans and $1.86 billion in deposits.

• Net interest margin expanded to 3.72%, up 28 bps year-over-year and 7 bps sequentially, with deposit growth across all major segments.

• Tangible book value per share rose over 9% year-over-year to $27.05.

• Revenues increased 18.9% year-over-year, with expenses up 13.7%, generating positive operating leverage.

• Economic activity across the seven-state footprint remains robust, especially in advanced manufacturing, infrastructure, and housing development.

Financial highlights

• Net interest income was $134.3 million, up 25.3% year-over-year but down 0.8% sequentially; noninterest income was $49.7 million, 27% of total revenues, up 4.5% year-over-year.

• Total loans at period end were $11.55 billion, down $50.9 million sequentially, but up 15.7% year-over-year; deposits increased $243.8 million sequentially and 17.4% year-over-year to $13.74 billion.

• Total operating expenses were $112 million, up 0.5% sequentially, mainly due to higher compensation and the Evans acquisition.

• Return on average assets was 1.30% and return on tangible equity was 15.50%.

• Total risk-based capital ratio stood at 14.52%; CET1 capital ratio at 12.34%; leverage ratio at 9.70%.

Outlook and guidance

• Operating expense run rate expected to remain around $112 million in Q2, with annual growth projected at 3–4% for 2026.

• Net interest margin expected to remain stable with potential for slight improvement, depending on yield curve dynamics.

• Loan growth anticipated to return to low- to mid-single-digit percentages for the remainder of the year.

• Fee-based income expected to achieve mid-single-digit growth for the full year, with strongest performance in retirement plan services.

• Management remains focused on disciplined balance sheet management and continued investment in people, markets, and platform for long-term shareholder value.