First Interstate BancSystem Reports Q2 Earnings with Margin Expansion and Loan Declines
First Interstate BancSystem (NASDAQ:FIBK) reported second-quarter net income of $83.9 million, or $0.87 per diluted share for 2026, up from the first quarter's $60.2 million, or $0.61 per diluted share. The increase was partly driven by a $19.5 million gain from a branch transaction completed during the period. Net interest income rose to $202.2 million in Q2 due to net interest margin expansion and an additional accrual day, despite lower interest-earning assets caused by the branch sale. The fully taxable equivalent net interest margin increased to 3.48%, marking nine consecutive quarters of growth. CFO David Della Camera noted improvements in loan yields and declining funding costs. Loan balances fell $447 million due to accelerated payoffs, particularly affecting agricultural and residential loans as well as out-of-market portfolios. CEO James Reuter emphasized the company's focus on relationship-based banking over near-term balance-sheet growth.
Tickers: $FIBK
Topics: banking deposit costs loan balances net interest income