GBank Financial Q1 Adjusted EPS $0.31 Despite $3.2M Fraud Loss, Loans Top $1B
GBank Financial posted Q1 net income of $1.3M, or $0.09 per share, including a $3.2M after-tax fraud loss, while adjusted net income was $4.7M, or $0.31 per share. On-balance sheet loans topped $1.0B after SBA and commercial originations of $208.1M, and loan-sale gains jumped to $3.8M on $79.0M sold.
1. First Quarter Financial Performance
GBank Financial reported net income of $1.3 million, or $0.09 per diluted share, for the quarter ended March 31, 2026, which included a $3.2 million after-tax loss from credit card fraud. Adjusted net income was $4.7 million, or $0.31 per adjusted diluted share, on net revenue of $19.6 million, down 5.2% sequentially.
2. Historic Loan Growth
U.S. Small Business Administration and commercial banking loan originations reached $208.1 million, up from $126.4 million in Q4 2025, propelling total on-balance sheet loans above the $1.0 billion milestone. Gain on loan sales increased to $3.8 million on $79.0 million of loans sold, with a 4.79% sale margin.
3. Credit Card Fraud Impact and Controls
The quarter’s results included a pre-tax credit card fraud loss of $4.2 million, attributed to bot-driven activity undetected by legacy systems. GBank deployed a new credit card application platform on November 17, 2025, and a monitoring platform in Q1 2026, aiming to prevent bot fraud and detect embedded fraudulent accounts.