OptimumBank (OPHC) Q3 2026 earnings summary

Executive summary

• Preliminary, unaudited 3Q26 net income was $7.172 million, up 7.8% QoQ and 65.9% YoY; basic and diluted EPS were both $0.30.

• Total assets reached $1.576 billion, up 45.5% YoY; gross loans rose $150.2 million QoQ to $1.367 billion and deposits grew $128.8 million to $1.343 billion.

• NIM expanded to 4.63%, while the efficiency ratio improved to 45.86% from 48.78% in Q2.

Financial highlights

• Net interest income was $16.781 million, up 14.2% QoQ and 51.9% YoY; NIM rose 6 bps QoQ and 26 bps YoY.

• Noninterest income was $2.836 million, up 14.1% QoQ and 43.1% YoY, including $0.9 million of late fees from a prior nonaccrual loan payoff.

• Adjusted pre-tax, pre-provision earnings were $10.621 million, up 20.7% QoQ and 65.3% YoY; the measure excludes income tax and credit loss expense.

• Noninterest expense was $9.0 million, up $0.6 million QoQ and $2.4 million YoY; credit loss expense was $1.1 million versus a $37,000 reversal in Q2.

• 9M net income was $18.5 million, up $6.7 million YoY, reflecting higher net interest and noninterest income, partly offset by increased expenses and taxes.

Outlook and guidance

• Priorities include maintaining NIM across rate environments, investing in the franchise, maintaining strong capital and continuing double-digit TBV growth.

• Growth initiatives include SBA and Treasury Management fee income, relationship banking, bridge and transitional CRE lending through OptimumFinance, and bridge-to-HUD and FHA/HUD origination.

• Management cited technology, talent and targeted growth initiatives, with efficiency and expense-control benefits expected over the next several quarters.