Metropolitan Bank Holding Corp. reported financial results for the third quarter of 2026, highlighting a significant increase in earnings and net interest margin expansion. The company reported net income of $32.4 million, or $2.58 per diluted common share, for the three months ended September 30, 2026. This compares to $19.2 million, or $1.54 per share, in the prior linked quarter and $7.1 million, or $0.67 per share, in the same period of the prior year.
The bank’s net interest income for the third quarter was $97.6 million, an increase of $7.2 million, or 7.9%, from the prior linked quarter. This growth was driven by an increase in the average balance of loans and securities, a decrease in the average balance of interest-bearing deposits, and a decrease in the total cost of funds. The net interest margin expanded to 4.36%, an increase of 28 basis points from the prior linked quarter and 48 basis points from the prior year period.
On the balance sheet, total loans increased to $7.5 billion at September 30, 2026, a rise of $205.0 million, or 2.8%, from June 30, 2026. Total deposits also grew to $8.3 billion, an increase of $589.1 million, or 7.6%, from the prior quarter. The company’s liquidity position remains robust, with cash on deposit with the Federal Reserve Bank of New York and available secured funding capacity totaling $4.2 billion, representing 185% of estimated uninsured deposits.
In a move to support shareholder returns, the board of directors declared a quarterly cash dividend of $0.40 per share on the company’s common stock on October 19, 2026. The company’s annualized return on average equity was 13.1%, and return on average tangible common equity was 13.2% for the quarter. The bank maintains a strong capital position, with total risk-based capital ratios of 13.9% for the company and 13.5% for the bank.
Asset quality metrics showed a non-performing loan ratio of 0.95% at September 30, 2026. The allowance for credit losses was $64.2 million at the end of the quarter. The company will host a conference call to discuss the results at 9:00 a.m. ET on Wednesday, October 21, 2026.
