SHARPE
Reported results
- Net interest margin increased 7 basis points to 4.42% for Q3 2026, driven by higher earning asset yield of 5.15% and lower cost of funds of 73 basis points
- Provision for credit losses was a benefit of $0.1 million in Q3 2026 versus expense of $0.9 million in Q2 2026, with net loan charge-offs of 8 basis points (annualized)
- Noninterest income decreased $1.2 million, or 5.9%, to $19.4 million in Q3 2026, primarily due to lower mortgage banking revenues and deposit fees
- Return on Average Assets was 1.53% (annualized) and Return on Average Equity was 11.67% (annualized) for Q3 2026
- Tangible book value per diluted share (non-GAAP) increased $0.19 to $28.26 in Q3 2026
- Total risk-based capital ratio was 22.99% at September 30, 2026, and tangible common equity ratio (non-GAAP) was 11.25%
Guidance
- Expect annual effective tax rate to approximate 23-24% for 2026, absent discrete items or new tax credit investments
Notes
Tax-equivalent net interest income figures are used throughout the release. Tangible book value per diluted share and tangible common equity ratio are non-GAAP financial measures. The company noted an investment security loss (AFS and HTM) of 3.2% (after-tax) of book value for the quarter.
Price and volatility reaction
The stock moved +1.6% on the print. No front-expiry chain was on file, so there is no straddle expected move. 30-day ATM implied volatility moved +24.5 vol points across the event (constant-maturity series — not the front-week crush).
| Measure | Value | Basis |
|---|---|---|
| Close before release | 48.63 | 2026-10-19 |
| Close after release | 49.41 | 2026-10-20 |
| Realised move | +1.6% | close to close |
| 30d ATM IV change | +24.5 vol pts | constant-maturity series, not the front expiry |
Source
The figures above come from the earnings release the company filed with the SEC on 2026-10-20 (8-K, Item 2.02). Read the original filing on sec.gov.