Heritage Financial Q2 FY26 net income rises 43.6% to $17.5 million

Heritage Financial posted Q2 FY26 net income of $17.5 million, up 43.6% year over year, with diluted earnings per share rising to $0.42.

Net interest income climbed 36.1% to $74.8 million, and net interest margin widened by 0.48 percentage point to 3.99%.

Noninterest income jumped to $9.31 million from a smaller investment securities sale loss of $217,000 versus $6.9 million a year earlier.

Noninterest expense increased 56.6% to $64.32 million, including $7.49 million of merger-related costs tied to the Olympic acquisition.

Heritage completed the Olympic deal on Jan. 31, issuing 7,167,600 shares valued at about $185 million. Total deposits reached $7.04 billion at June 30.