First Internet | 8-K: FY2026 Q2 Revenue: USD 41.12 M

Revenue: As of FY2026 Q2, the actual value is USD 41.12 M.

EPS: As of FY2026 Q2, the actual value is USD 0.27, beating the estimate of USD 0.1375.

EBIT: As of FY2026 Q2, the actual value is USD 1.587 M.

Net Income

Net income was $2.4 million, a significant increase from $0.2 million in the prior year period . First Internet Bancorp reported a net income of $2.4 million for Q2 2026, marking a significant increase over Q2 2025 .

Operational Costs

Noninterest expense for the quarter was $26.122 million, compared to $25.027 million in Q1 2026 and $21.800 million in Q2 2025 . The noninterest expense was $26.1 million . The noninterest expense to average assets was 1.85% .

Credit Quality

Provision for credit losses was $13.4 million, a decrease of $2.9 million or 18% from the first quarter of 2026 . Total nonaccrual loans declined for the second consecutive quarter, down 14% from the first quarter of 2026 . Delinquencies 30 days or more past due decreased to 0.78% of total performing loans, down from 1.06% in the first quarter of 2026 . Net charge-offs to average loans increased to 1.77% from 1.65% in the first quarter of 2026 . Nonperforming loans (NPLs) to total loans were 1.58%, compared to 1.63% in the first quarter of 2026 . Allowance for credit losses - loans (ACL) to total loans was 1.39%, compared to 1.50% in the first quarter of 2026 . ACL to NPLs stood at 88%, or 130% excluding fully-guaranteed balances . The Allowance for Credit Losses (ACL) was $53.1 million . Net Charge-offs (NCOs) were $16.9 million, resulting in NCOs to average loans of 1.77% . Nonperforming Assets (NPAs) to total assets were 1.16%, and NPAs (excluding Government Guaranteed) to total assets were 0.82% . Early-stage delinquencies declined 57% from Q1 2026 and 75% from Q4 2025 . Small business lending delinquencies decreased to $1.5 million from $13.3 million in Q1 2026 .

Balance Sheet

Total loan balances were $3.8 billion, an increase of $35.2 million or 1% from the first quarter of 2026 . Total deposits were $4.8 billion, a decrease of $150.3 million or 3% from the first quarter of 2026 . The cost of interest-bearing deposits declined by 54 basis points from the prior year period to 3.38% . Approximately $2.4 billion of fintech deposits were moved off-balance sheet into a deposit network . The loans to deposits ratio was 79% . Total assets were $5,556,375 thousand as of June 30, 2026 . Total liabilities were $5,192,828 thousand as of June 30, 2026 . As of June 30, 2026, First Internet Bancorp reported total assets of $5.6 billion, total loans of $3.8 billion, and total deposits of $4.8 billion . The total loan portfolio included $3,811 million held for investment and $45 million held for sale . The cost of interest-bearing deposits was 3.42% . Total fintech deposits reached $3.6 billion, a 199% increase over Q2 2025 . Digital deposits amounted to $2.5 billion .

Capital Ratios

Tangible common equity to tangible assets was 6.46%, and 6.98% when excluding Accumulated Other Comprehensive Income (AOCI) and adjusted for normalized cash balances . The CET1 ratio was 8.90%, and the total capital ratio was 12.22% . Tangible book value per share was $41.09, up from $40.87 in the first quarter of 2026 . Tangible equity was $359 million . The Tangible Common Equity (TCE) to Tangible Assets (TA) was 6.46%, with an adjusted TCE to TA of 6.98% (excluding AOCI and adjusting for normalized cash balances) . The Common Equity Tier 1 (CET1) ratio was 8.90%, and total capital was 12.22% . Tangible book value per share was $41.09, an increase from Q1 2026 .

Unique Metrics

Fee revenue from the Banking-as-a-Service (BaaS) platform increased by 172% compared to the prior year period . SBA GOS Revenue was $4.7 million, and SBA 7(a) Guaranteed Balances Sold totaled $56.3 million . Fintech payments volume for the trailing twelve months (TTM) was $314 billion, representing a 256% increase over the TTM ended June 30, 2025 .

Outlook / Guidance

First Internet Bancorp anticipates diluted earnings per share for the full year 2026 to be in the range of $2.35 to $2.45 . Loan growth is projected to be between 4% and 6%, with FTE net interest margin expected to reach 2.75% to 2.80% by the fourth quarter of 2026 . The company estimates FTE net interest income between $141 million and $142 million, noninterest income between $40.5 million and $41 million, and noninterest expense between $106 million and $107 million, alongside a provision for credit losses of $47 million to $48 million .