Riverview Bancorp Reports $1.7 Million Net Income for Q2 2026, Driven by Increased Interest Income

Riverview Bancorp, Inc. reported a net income of $1.7 million, or $0.08 per diluted share, for the three months ended June 30, 2026, marking an increase from $1.2 million, or $0.06 per diluted share, in the same period last year. This growth was primarily driven by a $1.6 million increase in net interest income, which rose to $11.4 million from $9.8 million year-over-year. The net interest margin improved to 3.34%, up from 2.78%, reflecting higher interest income from loans and a decrease in interest expense on borrowings. Total interest and dividend income increased to $16.4 million, compared to $15.4 million in the prior year, largely due to higher average loan balances and yields.

In terms of financial position, total assets increased by $7.1 million, or 0.5%, to $1.47 billion as of June 30, 2026, primarily due to a $21.1 million rise in available-for-sale investment securities. Loans receivable remained stable at approximately $1.08 billion, with notable increases in land loans and commercial business loans, offset by declines in real estate construction and consumer loans. Deposits also saw a slight increase, totaling $1.26 billion, with a shift towards interest checking accounts, reflecting broader industry trends.

Riverview Bancorp's strategic focus includes enhancing its digital banking capabilities and expanding its loan portfolio, particularly in commercial and construction loans, which represented 88.9% of total loans as of June 30, 2026. The company aims to deepen client relationships and grow its core deposit base while managing credit risk through disciplined underwriting practices. The bank's capital position remains strong, categorized as "well capitalized" under regulatory standards, with total capital ratios exceeding required minimums.

Operationally, Riverview Bancorp continues to invest in technology and personnel to support its growth initiatives. The company reported an increase in non-interest income to $3.6 million, driven by higher asset management fees and service charges. However, non-interest expenses also rose to $12.9 million, reflecting strategic investments in personnel and technology. The allowance for credit losses remained stable at $15.3 million, or 1.40% of total loans, indicating a strong credit quality profile despite a slight increase in nonperforming assets.

Looking ahead, Riverview Bancorp anticipates continued growth in its loan portfolio and non-interest income, supported by its strategic initiatives and focus on client experience. The company remains vigilant in monitoring economic conditions and credit quality, with a commitment to maintaining strong capital and liquidity positions to navigate potential challenges in the financial landscape.