Private Bancorp of America Reports 25.5% Net Income Growth to $13.1 Million in Q2 2026

Private Bancorp of America, Inc. reported a net income of $13.1 million for the second quarter of 2026, reflecting a 25.5% increase from $10.4 million in the same period of 2025. This growth was primarily driven by an increase in net interest income, which rose by $3.4 million to $33.5 million, alongside a favorable change in the provision for credit losses. The diluted earnings per share for the quarter were $2.27, up from $1.77 a year earlier. For the first half of 2026, net income reached $25.1 million, compared to $21.0 million in the prior year, with diluted earnings per share increasing to $4.34 from $3.57.

The company's total assets increased to $2.71 billion as of June 30, 2026, up from $2.54 billion at the end of 2025, marking a 6.8% growth. This increase was attributed to a $145.3 million rise in cash and cash equivalents and a $19.2 million increase in investment securities. Total loans held for investment remained stable at $2.13 billion, with a slight increase of $6.6 million from the previous period. The allowance for loan losses also saw a rise to $30.5 million, or 1.43% of loans held for investment, compared to $29.3 million, or 1.38%, at the end of 2025.

In terms of operational developments, the company has focused on enhancing its deposit base, which grew by $157.4 million to $2.38 billion, driven by an increase in non-brokered deposits. The loan-to-deposit ratio improved to 89.6% from 95.7% at the end of 2025, indicating a more favorable funding structure. The company also reported a decrease in nonperforming assets to $40.5 million, or 1.50% of total assets, down from $50.8 million, or 2.00%, at the end of the previous year.

Strategically, Private Bancorp has made significant moves, including a stock repurchase program authorized for up to $10 million, although no shares were repurchased under this plan as of June 30, 2026. The company also transitioned its common stock listing from the OTCQX marketplace to the Nasdaq Global Select Market, enhancing its visibility and accessibility to investors. Looking ahead, the company remains focused on maintaining its growth trajectory while managing credit risk and enhancing operational efficiency, with a commitment to leveraging its relationship-based banking model to attract and retain clients.