Landmark Bancorp Reports 7.8% Increase in Net Earnings for Q1 2026

Landmark Bancorp, Inc. reported a net earnings increase of 7.8% for the first quarter of 2026, reaching $5.1 million compared to $4.7 million in the same period of 2025. This growth was primarily driven by a rise in net interest income, which increased by 14.5% to $15 million, attributed to higher interest income from loans and investment securities, alongside a decrease in interest expenses. The company’s interest income rose to $20.2 million, a 4.7% increase from the previous year, while interest expenses fell to $5.2 million, down 16% from $6.2 million in the first quarter of 2025.

In terms of operational metrics, Landmark Bancorp's total assets remained stable at approximately $1.6 billion, with a slight decrease from $1.606 billion at the end of 2025. The company experienced a notable decline in total deposits, which fell by 19.3% to $1.3 billion, primarily due to a reduction in brokered deposits and seasonal decreases in public fund accounts. Non-interest-bearing deposits increased slightly to $367.7 million, representing 27.8% of total deposits, while money market and checking accounts decreased to $589.4 million, accounting for 44.6% of the deposit portfolio.

The company’s loan portfolio also saw changes, with total gross loans decreasing to $1.1 billion from $1.1 billion at the end of 2025. The allowance for credit losses on loans increased to $12.6 million, or 1.15% of gross loans, reflecting the company's proactive approach to managing credit risk amid current economic conditions. Landmark Bancorp recorded net loan charge-offs of $349,000 during the quarter, a significant increase from $23,000 in the same period last year, indicating a need for continued vigilance in credit quality management.

Strategically, Landmark Bancorp continues to focus on growing its commercial, commercial real estate, and agriculture loan portfolios while maintaining high asset quality. The company has also emphasized its commitment to providing comprehensive banking services to its local communities. Looking ahead, Landmark Bancorp remains optimistic about its financial performance, supported by a strong capital base and a diversified loan portfolio, despite the challenges posed by economic uncertainties and inflationary pressures. The company declared a cash dividend of $0.21 per share, reflecting its ongoing commitment to returning value to shareholders.