PackageTrendsPeer
Letter portraitLegal landscapeQuarterYTD

Preferred Bank

Casey, IL · Cert 34900 · Preferred Bcorp Inc.

State charter, non-member · FDIC · 2 branches

Q2 2026

$73.5MAssets
$47.2MLoans
$67.7MDeposits
$5.6MEquity
Loan mix
55%RE $25.4M38%C&I $17.6M7%Consumer $3.3MQ2 2025Q2 2026
Deposit mix
85%Interest-bearing $57.5M15%Noninterest $10.2MQ2 2025Q2 2026

NIM

5.02%Q2 ’244.88%Q2 ’255.00%Q2 ’26-8%+6%

Non-interest income vs. expense

3.14%Q2 ’243.15%Q2 ’253.05%Q2 ’26+3%-2%

Executive Summary

  • Earnings: ROA of 0.22%, up 15 bps year over year; NIM at 3.01%.
  • Asset quality: problem loans at 4.22% of loans (+189 bps YoY), with net recoveries of 0.02%.
  • Capital: tier 1 leverage ratio of 8.30%, down 32 bps from a year ago.
  • Funding: loans stand at 69.75% of deposits as of Q2 2026.

Financial Results

Return on Assets (quarter, annualized)

0.22%+15 bps YoY

Net Interest Margin (quarter, annualized)

3.01%+18 bps YoY

Efficiency Ratio (quarter, annualized)

93.19%-755 bps YoY

Tier 1 Leverage Ratio

8.30%-32 bps YoY

Discrete quarter, annualized.

MetricQ2 2025Q3 2025Q4 2025Q1 2026Q2 2026YoY ΔTrend
Earnings
Return on Assets0.08%-0.04%0.16%0.31%0.22%+15 bps
Return on Equity0.98%-0.52%2.15%4.13%2.93%+194 bps
Net Interest Margin2.83%3.08%2.91%3.00%3.01%+18 bps
Efficiency Ratio100.74%94.20%96.74%91.38%93.19%-755 bps
Non-Interest Burden2.85%2.89%2.80%2.71%2.79%-7 bps
Growth
Asset Growth (YoY)1.29%4.06%7.96%8.95%5.48%+420 bps
Loan Growth (YoY)-0.47%4.82%9.53%6.47%3.65%+412 bps
Deposit Growth (YoY)3.95%7.14%9.56%9.20%5.53%+158 bps
Asset Quality
Nonperforming Loans / Loans2.33%5.61%2.96%4.19%4.22%+189 bps
Net Charge-Offs / Loans0.04%0.08%-0.01%0.01%-0.02%-6 bps
Allowance / Loans0.58%0.59%0.59%0.60%0.60%+2 bps
Allowance Coverage of NPLs0.3x0.1x0.2x0.1x0.1x-0.1x
Capital
Tier 1 Leverage Ratio8.62%8.27%8.18%8.16%8.30%-32 bps
Total Risk-Based Capital12.57%12.11%12.17%11.36%12.36%-21 bps
Equity / Assets7.61%7.63%7.65%7.58%7.60%-1 bps
Liquidity & Funding
Loans / Deposits71.02%70.85%70.05%68.07%69.75%-127 bps
Liquid Assets / Assets8.97%10.34%9.62%9.09%10.06%+109 bps
CRE / Total Capitaln/a164.48%162.50%161.70%n/an/a