---
title: "Carter Bankshares reports Q2 2026 net income $28.9M; adjusted diluted EPS $0.53, tangible book $24.24"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/293616345.md"
description: "Carter Bankshares reported Q2 2026 net income of $28.9 million ($1.31 diluted EPS) and adjusted net income of $11.6 million ($0.53 adjusted diluted EPS). Results included a $35.9 million gain from selling Bearing Insurance Group membership, offset by a $12.5 million loss on securities repositioning. Tangible book value rose to $24.24 per share. The company completed the insurance sale, executed portfolio repositioning, and saw loan growth despite CRE payoffs, with nonperforming loans at 1.01% of the portfolio."
datetime: "2026-07-23T12:23:01.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/293616345.md)
  - [en](https://longbridge.com/en/news/293616345.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/293616345.md)
generator: "portal-rs"
---

# Carter Bankshares reports Q2 2026 net income $28.9M; adjusted diluted EPS $0.53, tangible book $24.24

Carter Bankshares reported second-quarter 2026 net income of $28.9 million, or $1.31 diluted EPS, and adjusted net income (non-GAAP) of $11.6 million, or $0.53 adjusted diluted EPS. The quarter included a $35.9 million pre-tax gain from the sale of its Bearing Insurance Group membership and a $12.5 million pre-tax loss related to a strategic repositioning of available-for-sale securities. Tangible book value per share rose to $24.24 at June 30, 2026.

**Financial Highlights**

-   Net income (Q2 2026): $28.9 million; diluted EPS: $1.31.
-   Adjusted net income (non-GAAP, Q2 2026): $11.6 million; adjusted diluted EPS (non-GAAP): $0.53.
-   Net interest income (Q2 2026): $39.95 million; net interest margin (GAAP) 3.38% (FTE 3.40%).
-   Noninterest income (Q2 2026): $28.73 million, which includes a $35.9 million net gain on the Insurance Transaction and a $12.53 million loss on sales of securities from the Portfolio Repositioning.
-   Tangible book value per share at June 30, 2026: $24.24; total shareholders' equity: $539.15 million.

**Business Highlights**

-   Completed sale of membership interest in Bearing Insurance Group effective May 1, 2026; recognized $35.9 million pre-tax gain and reduced ongoing insurance commission revenue.
-   Executed Portfolio Repositioning in Q2 2026: sold $139.4 million (book value) of available-for-sale securities (weighted avg yield 2.28%) and purchased ~$88.5 million of higher-yielding securities (weighted avg yield ~5.27%), rated AAA/AA.
-   Loan activity: total portfolio loans grew $6.1 million sequentially despite ~$132.6 million in commercial real estate loan payoffs during the quarter; excluding the Loan Sale Transaction, loans increased ~6.45% year-over-year.
-   Credit quality: nonperforming loans were $37.6 million at June 30, 2026 (1.01% of portfolio loans); the company continues to monitor and manage allowance for credit losses (1.48% of loans at quarter end).
-   Liquidity and funding: no FHLB borrowings outstanding at quarter end; increased cash and interest-bearing deposits with other financial institutions from proceeds of strategic transactions; maintained unsecured correspondent lines totaling $105.0 million and $500.6 million of unpledged AFS securities at fair value for liquidity.

Original SEC Filing: Carter Bankshares, Inc. \[ CARE \] - 8-K - Jul. 23, 2026

**Disclaimer**

This is an AI-powered summary. It may contain inaccuracies. Consider verifying important information with the source. Please note this summary is solely based on documents filed with the SEC.

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**