Q1 net income +29.6% on margin expansion, but non-performing loans spike $15M on senior living default

Filed May 11, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 12, 2025 · ~2 min read

Key Changes

• high

  Non-performing loans surged $19.9M (321%) to $26.1M, driven by a new $14.3M senior living facility participation placed on non-accrual during the quarter due to payment disruption. NPL ratio rose to 1.34% from 0.33% year-over-year.

  MD&A: Asset Quality verify on EDGAR →
• high

  Classified assets deteriorated sharply: substandard assets up $21.1M (35%) to $80.9M and special mention assets up $19.0M (67%) to $47.2M, indicating broader credit-quality stress across the portfolio.

  MD&A: Asset Quality verify on EDGAR →
• high

  Net interest margin expanded 45 basis points to 4.40% as funding costs fell 43 bps to 1.62% and loan yields rose 13 bps to 6.18%, driving $4.3M higher net interest income and 29.6% earnings growth.

  MD&A: Net Interest Income verify on EDGAR →