City Holding Company (NASDAQ: CHCO) reported net income of $34.6 million for the third quarter ended September 30, 2026, which translates to diluted earnings of $2.43 per share. The company stated these results represent a record quarterly performance.
The bank holding company, which has $6.8 billion in assets, reported a return on assets of 2.03% and a return on tangible equity of 20.9% for the quarter.
Net interest income increased to $62.6 million, a rise of approximately $1.8 million, or 3.0%, from the previous quarter. This growth was attributed to higher loan balances and increased yields on loans and investments. The net interest margin improved to 4.04%.
Non-interest income rose to $21.4 million, driven by a 6.0% increase in service charges and a 10.5% increase in wealth and investment management fees. Non-interest expenses increased by $2.6 million to $40.9 million, largely due to higher salaries and benefits.
On the balance sheet, total loans increased by $48.4 million to $4.55 billion. Period-end deposit balances increased by $18.0 million. The company’s loan-to-deposit ratio was 84.9%.
City Holding Company’s Board of Directors approved a quarterly cash dividend of $1.00 per share, payable on October 30, 2026. This represents a 15% increase from the previous dividend rate of $0.87 per share.
Regarding capitalization, the company reported a tangible equity ratio of 9.4% at September 30, 2026. The company maintains significant liquidity, with a cash balance of $74 million and approximately $120 million in dividends available from its subsidiary, City National Bank.
