Summit Bank Group Reports 2026 2nd Quarter Earnings

EUGENE, Ore.--(BUSINESS WIRE)--Summit Bank Group (OTCID: SBKO)

• Q2 2026 Net Income - $4.13 million or $0.52 per fully diluted share, an increase of 24.1 percent over Q2 2025.
• Year to date 2026 earnings per fully diluted share increased 37.4 percent over the previous year.
• Cash and Securities total $153.5 million – 11.5 percent of assets, increased from 10.5 percent as of Q2 2025.
• Year over year Net Loan Growth - $58.3 million or 5.4 percent.
• Year over year Deposit Growth - $60.1 million or 5.5 percent.
• Year to date 2026 Net Interest Income increased $2.1 million or 7.7 percent over the previous year.

Summit Bank Group reported net income for the second quarter of $4.13 million or 52 cents per fully diluted share. Comparable earnings for second quarter of 2025 were $3.33 million or 42 cents per fully diluted share, representing an increase of 24.1 percent or 10 cents to earnings and earnings per fully diluted share respectively. Net interest income was $1.0 million higher during Q2 2026 than Q2 2025, or 7.4 percent. Provision for loan losses improved by $0.3 million and $0.4 million higher noninterest income offset $621 thousand of growth-related increases to noninterest expense resulting in strong earnings for the quarter.

“Our year-over-year results reflect the loyalty of our clients and the disciplined execution of our long-term strategy. We remain focused on building meaningful relationships and that clients value a bank that is local, responsive and deeply committed to the communities we serve,” said Craig Wanichek, president and chief executive officer. “Trailing 4 quarter earnings per share has now increased for a tenth consecutive quarter.”

The Bank continues to achieve balanced growth in its loan and deposit portfolios, with total net loans increasing by $58.3 million or 5.4 percent and total deposits increasing by $60.1 million or 5.5 percent over the most recent four quarters. The deposit growth consisted entirely of demand and money market account balances over the period, increasing by $72.4 million or 6.8 percent, as total certificates of deposit balances decreased by $12.3 million.

“We are pleased to see deposit growth increasingly driven this year by core relationships, which is an encouraging indicator of the trust our clients place in Summit Bank by choosing us for the relationship, not just the rate,” said Wanichek. “In addition, $27.6 million in quarterly loan growth, or 2.5%, demonstrated positive momentum in loan origination efforts.”

The Bank’s balance sheet remains highly liquid with cash and Available for Sale (AFS) short-term securities totaling $153.5 million, which represents 11.5 percent of total assets as of June 30, 2026, increased from $131.6 million or 10.5 percent of assets as of June 30, 2025. Additionally, the Bank maintains secured borrowing commitments from the Federal Home Loan Bank and the Federal Reserve Bank with total available borrowing capacity as of June 30, 2026 of $378 million, an increase of $63 million over the June 30, 2025 total available. Combined, the Bank’s cash and available secured borrowing as of June 30, 2026 total $477 million. This total is 35.9 percent of total assets and 125 percent of total estimated uninsured deposits as of June 30, 2026. Return on average equity for the second quarter, the 2026 year to date and the trailing four quarters was 12.5 percent, 13.3 percent, and 13.4 percent respectively. Total shareholders’ equity ended the second quarter at $133.8 million, an increase of $18.0 million or 15.6 percent since June 30, 2025. As the Company continues its 23^rd year of operations, capital levels remain very strong, supporting its consistent asset growth with similarly strong retained earnings which have totaled $62.8 million over the last five years.

Total non-performing assets as of June 30, 2026 were 0.46 percent of total assets. This total decreased during the second quarter from 0.54 percent of total assets as of March 31, 2026. Substantially all of the Bank’s total non-performing assets as of June 30, 2026 carry US Small Business Administration guarantees which reduce the Bank’s exposure to losses on the assets. The total exposure to the Bank after such federal guarantees are applied is reduced to 0.13 percent of total assets.

Summit Bank Group Inc., through its wholly owned subsidiary Summit Bank, maintains offices in Eugene, Central Oregon, and Portland, specializing in providing high-level service to professionals and medium-sized businesses and their owners. The Bank was voted for the fifth year in a row as one of Oregon’s “Top 100 Companies to Work For,” according to Oregon Business Magazine. In 2023, 2025 and 2026, Summit Bank was honored as “Favorite Bank” in the Eugene Register-Guard’s annual Reader’s Choice Awards and “Best Bank” by Central Oregon’s Bend Bulletin. Summit Bank Group Inc. is quoted on the OTCID under the symbol SBKO. It was named in January as a Top 10 Place to Work for Working Parents, according to the Eugene Area Chamber of Commerce.

QUARTERLY FINANCIAL REPORT – June 30, 2026
(in thousands except per share data)	Unaudited			Unaudited			Unaudited
	As of			As of			As of
Summary Statements of Condition	Jun. 30, 2026			Mar. 31, 2026			Jun. 30, 2025
Cash and short term investments	$	123,465		$	177,682		$	90,253
Securities		30,006			26,671			41,313
Loans:
Commercial		329,612			335,212			358,627
Commercial real estate		761,593			745,581			406,305
Other		66,484			48,974			333,399
Loan loss reserve and unearned income		(13,088	)		(12,802	)		(12,044	)
Total net loans		1,144,601			1,116,966			1,086,288
Property and other assets		31,665			30,132			29,970
Repossessed property		81			84			276
Total assets	$	1,329,818		$	1,351,534		$	1,248,100
Deposits:
Noninterest-bearing demand	$	204,669		$	192,283		$	174,872
Interest-bearing demand		940,898			980,948			898,237
Certificates of deposit		16,441			16,522			28,768
Total deposits		1,162,009			1,189,754			1,101,876
Subordinated debt		18,541			18,532			18,503
Other liabilities		15,464			13,871			11,931
Shareholders' equity		133,804			129,377			115,789
Total liabilities and shareholders' equity	$	1,329,818		$	1,351,534		$	1,248,100
Book value per share	$	16.96		$	16.43		$	14.85
	Unaudited			Unaudited			Unaudited			Unaudited			Unaudited
	For the six months ended			For the three months ended			For the six months ended			For the three months ended			For the three months ended
Summary Statements of Income	Jun. 30, 2026			Mar. 31, 2026			Jun. 30, 2025			Jun. 30, 2026			Jun. 30, 2025
Interest income	$	40,542		$	19,874		$	40,014		$	20,668		$	20,131
Interest expense		(10,925	)		(5,302	)		(12,518	)		(5,623	)		(6,117	)
Net interest income		29,617			14,572			27,496			15,045			14,014
Provision for loan losses		(2,397	)		(866	)		(3,811	)		(1,530	)		(1,859	)
Noninterest income		1,589			779			632			810			450
Noninterest expense		(16,930	)		(8,252	)		(15,784	)		(8,677	)		(8,056	)
Net income before income taxes		11,879			6,232			8,533			5,648			4,549
Provision for income taxes		(3,191	)		(1,673	)		(2,282	)		(1,518	)		(1,223	)
Net income	$	8,688		$	4,559		$	6,252		$	4,130		$	3,327
Net income per share, basic	$	1.11		$	0.58		$	0.81		$	0.52		$	0.43
Net income per share, fully diluted	$	1.10		$	0.58		$	0.80		$	0.52		$	0.42
	Unaudited			Unaudited			Unaudited			Unaudited			Unaudited
	For the six months ended			For the three months ended			For the six months ended			For the three months ended			For the three months ended
Performance Ratios	Jun. 30, 2026			Mar. 31, 2026			Jun. 30, 2025			Jun. 30, 2026			Jun. 30, 2025
Return on Average Assets		1.32	%		1.39	%		1.01	%		1.23	%		1.08	%
Return on Average Tangible Common Equity		13.35	%		14.36	%		11.14	%		12.55	%		11.68	%
Net Interest Margin		4.77	%		4.68	%		4.63	%		4.86	%		4.74	%
Yield on Earning Assets		6.53	%		6.38	%		6.74	%		6.67	%		6.81	%
Cost of Deposits		1.83	%		1.81	%		2.21	%		1.85	%		2.18	%
Efficiency Ratio		54.0	%		53.3	%		55.4	%		53.9	%		54.9	%
EPS Growth (YoY)		37.4	%		54.2	%		21.4	%		22.6	%		22.3	%
Asset Quality
Non-performing assets to Total Assets		0.46	%		0.54	%		0.04	%		0.46	%		0.04	%
Net Charge Offs to Average Loans		0.42	%		0.38	%		0.54	%		0.46	%		0.36	%
Reserve to Total Loans		1.14	%		1.13	%		1.25	%		1.14	%		1.24	%
Provision Expense to Total Loans		0.42	%		0.31	%		0.71	%		0.54	%		0.68	%
Capital
Tier 1 Capital to Risk Weighted Assets		12.6	%		12.5	%		11.9	%		12.6	%		11.9	%
Community Bank Leverage Ratio (CBLR)		11.3	%		11.4	%		10.8	%		11.3	%		10.8	%
Average Balances
Loans	$	1,132,789		$	1,126,352		$	1,076,917		$	1,139,227		$	1,090,988
Assets	$	1,317,851		$	1,295,825		$	1,241,984		$	1,238,725		$	1,234,463
Deposits	$	1,157,067		$	1,136,896		$	1,099,142		$	1,177,237		$	1,090,424