Plumas Bancorp Q3 2026: EPS beats expectations as net income more than doubles
As seen on the 24/7 Wall St. homepage on October 21, 2026.
Provision for credit losses fell to $150,000 from $5.4 million a year ago, and net income more than doubled. Margin expansion is the reason to stay interested: a loan book that is roughly 79% variable rate keeps repricing higher.
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Plumas Bancorp delivered Q3 2026 earnings per share of $1.61, beating expectations, with revenue also ahead of estimates even as the top line came in lower than a year ago.
The year-over-year earnings surge came from the collapse in the provision for credit losses, which fell to just $150,000 from $5.37 million in Q3 2025. That prior-year figure had been inflated by Day 1 CECL provisions tied to the Cornerstone Community Bancorp acquisition, so the comparison flatters this quarter, while net income still rose 121% year over year.
Net interest margin expanded 22 basis points to 5.05%, with average loan yield climbing 21 basis points to 6.56%. Because roughly 79% of the loan portfolio carries variable rates, the bank continues to benefit as those loans reprice higher, a dynamic that has steadily widened the margin over several quarters.
A reduction in the income tax provision, stemming from the purchase of green energy tax credits, pulled the effective tax rate down to 18.9%, and management flagged professional fees and loan collection costs as nonrecurring. Investors will want to track whether the tax credit strategy repeats in coming quarters.
On the risk side, nonperforming loans rose to 1.41% of total loans from 1.00% a year ago, and unrealized losses on investment securities widened. The growing SBA loan portfolio provides some offset to the planned runoff of the lower-yielding indirect auto book. The variable-rate loan structure remains the clearest reason to stay engaged heading into Q4.
Mentioned: PLBC