Farmers & Merchants Bank of Long Beach swings to Q3 loss after securities sale
FMBL•Farmers & Merchants Bank of Long Beach reported a third-quarter net loss driven by a non-recurring loss on the sale of legacy low-yield municipal bonds. It repurchased $12 million of common stock in the first nine months of 2026 and expects full-year net income.
1. Securities sale drives loss
The bank said its third-quarter net loss was driven by a non-recurring loss on the sale of legacy low-yield municipal bonds as part of a strategic balance-sheet repositioning. Its reported Q3 loss per share was $264.89.
2. Yields and outlook
Net interest income and net interest margin improved year over year as the bank replaced legacy assets with higher-yielding securities and loans. The company repurchased $12 million of common stock during the first nine months of 2026 and expects to report net income for the full year.
