Peoples Bancorp Reports Q3 Earnings with Strong Performance and Guidance for Future Growth
Peoples Bancorp reported third-quarter earnings of $0.91 per share, up from the prior year's $0.83, driven by a net income increase to $32.6 million. Adjusted diluted EPS reached $1.04, surpassing estimates due to one-time expenses and gains in investment securities. Net interest income rose 1% quarter-over-quarter as loan yields increased, while the net interest margin expanded to 4.31%. The company also improved its efficiency ratio to 57.3%, reflecting better cost management amid revenue growth. Peoples Bancorp plans to integrate a $728 million acquisition of Capital Merger and expects new loans from the Citizens merger to add around $350 million in Q4, with deposits increasing by approximately $550 million. Management provided guidance for 2%–8% loan growth in 2026 and projected net interest margins between 4.2% and 4.3%. However, classified loans rose due to credit downgrades from the Citizens portfolio acquisition. The company also sold a portion of its investment securities at a $4.5 million loss to stay under the $10 billion asset threshold for regulatory purposes.
Topics: deposits financial performance loan growth net income