SmartFinancial achieved record quarterly operating revenue of $57.5 million in the third quarter of 2026, driven by robust organic loan and deposit expansion. Net income rose to $18.6 million, supported by a significant tax benefit, despite a slight contraction in net interest margins due to higher funding costs.
Key Highlights
- Net organic loan and lease growth reached $174 million, representing a 15% annualized increase quarter-over-quarter.
- Tax equivalent net interest margin (NIM) compressed to 3.45% from 3.52% in the prior quarter as the cost of total deposits rose to 2.26%.
- A $2.6 million tax benefit was realized during the quarter following the strategic purchase of transferable energy tax credits.
- Asset quality remained disciplined with nonperforming loans at 0.28% of total loans and a reduced credit loss provision of $0.7 million.