National Bank Holdings Corporation (NBHC) reported a net loss of $8.8 million for the quarter ended September 30, 2026, or ($0.20) per diluted share. This compares to net income of $26.5 million, or $0.58 per diluted share, in the second quarter of 2026. The company attributed the loss primarily to a $40.6 million provision for credit losses, driven by write-downs on specifically identified commercial loans in the franchise and healthcare industries.
Adjusted for a $15.2 million pre-tax acquisition and restructuring expense, adjusted net income totaled $2.9 million, or $0.06 per diluted share. The company also recorded a $4.0 million impairment on a third-party FinTech partnership investment. Net interest income increased to $115.2 million, and the net interest margin expanded six basis points to 4.00%.
Loans increased $119.4 million, or 4.9% annualized, to $9.9 billion at September 30, 2026. Average total deposits increased $96.0 million to $10.3 billion. Non-performing loans totaled 0.44% of total loans, and the allowance for credit losses was 1.11% of loans.
Capital ratios remain strong, with a tier 1 leverage ratio of 10.00% and a common equity tier 1 capital ratio of 11.69%. NBHC executed $11.9 million of share buybacks during the quarter. Additionally, on October 24, 2026, NBH Bank entered into a definitive agreement to sell its Palm Beach, Florida banking center location, including loans and deposits, with an expected close in mid-2027.
