Farmers & Merchants

Q3 FY2026 EarningsFY26 Q3 results beat consensus on both top and bottom lines: revenue $34.8M vs. $29.2M expected, and diluted EPS $0.84 vs. $0.80 expected. Net interest income was the primary driver, supported by a Net Interest Margin (NIM) of 3.57%, which exceeded the 3.50% consensus. While pre-tax income missed slightly due to elevated non-interest expenses, a lower effective tax rate of 18.83% (vs. 21.5% expected) bolstered the net income beat. Management's strategic focus on deposit growth led to the repayment of $59.5M in FHLB advances, further optimizing the cost of funds.