Banner Corporation reported net income of $47.7 million, or $1.36 per diluted share, for the third quarter of 2026. This figure compares to $48.9 million, or $1.43 per diluted share, in the preceding quarter, and $53.5 million, or $1.54 per diluted share, in the third quarter of 2025. The company reported net interest income of $161.9 million for the quarter, an increase from $153.7 million in the prior quarter and $150.0 million in the same period last year.
On September 1, 2026, Banner completed the acquisition of Pacific Financial Corporation, the holding company for Bank of the Pacific, in an all-stock transaction valued at $186.8 million. The merger added $1.29 billion in assets, including $756.9 million in net loans, and $1.14 billion in deposits to Banner’s consolidated balance sheet. The transaction was accounted for using the acquisition method of accounting, resulting in goodwill on the balance sheet.
For the nine months ended September 30, 2026, Banner reported net income of $151.3 million, or $4.39 per diluted share. This compares to net income of $144.1 million, or $4.15 per diluted share, for the same period in 2025. The company recorded a provision for credit losses of $2.8 million for the third quarter of 2026, compared to $3.8 million in the prior quarter and $2.7 million in the third quarter of 2025.
At the end of the third quarter, Banner had $18.08 billion in assets, $12.82 billion in net loans, and $15.39 billion in deposits. The company operates 153 full-service branch offices across eight of the top 20 largest Western United States Metropolitan Statistical Areas. Non-performing assets were $63.0 million, or 0.35% of total assets, and the allowance for credit losses on loans was $171.6 million, or 1.32% of total loans receivable.
Banner’s Board of Directors declared a regular quarterly cash dividend of $0.52 per share, payable on November 13, 2026, to stockholders of record as of the close of business on November 5, 2026. During the third quarter, the company repurchased 200,000 shares of common stock at an average price of $71.03 per share.
