Arrow Financial

Q2 FY2026 EarningsFY26 Q2 results showed a mixed performance with a diluted GAAP EPS beat of $0.66 vs. $0.53 expected, despite a total revenue miss ($44.19M actual vs. $45.51M consensus). Net income was bolstered by a lower-than-expected effective tax rate of 21.1% and strong growth in fiduciary and insurance segments, although pre-tax income was pressured by $1.0M in acquisition costs and a $1.6M specific loan reserve. The strategic acquisition of Adirondack Bancorp, completed July 1, 2026, signals significant future expansion but likely caused the variance in operating profit forecasts.