Summit State Bank turns to Q2 FY26 net loss of $1.31 million; net interest margin widens 0.29 percentage point to 3.95%

Summit State Bank reported a net loss of $1.31 million, or $0.19 per diluted share, for Q2 2026, turning from profit a year earlier.

The bank said net interest margin widened to 3.95%, up 29 basis points from a year earlier, as interest expense fell 21.3% to $4.73 million.

Provision for credit losses on loans was $5.92 million, with net charge-offs of $8.66 million tied to a review of higher-risk credits.

Non-performing assets fell to $20.76 million from $35.17 million in the prior quarter, reflecting loan sales and a partial charge-off.

Tier 1 leverage ratio rose to 10.84%, while total liquidity was $456.57 million, or 47.6% of total assets.