WEST READING, Pa.--(BUSINESS WIRE)--Customers Bancorp, Inc. (NYSE:CUBI):
Third Quarter 2026 Highlights
- Q3 2026 net income available to common shareholders was $78.4 million, or $2.25 per diluted share; ROAA was 1.16% and ROCE was 14.0%.
- Total deposits increased $831 million, or 3.8% in Q3 2026 from Q2 2026, and $2.2 billion, or 10.6% from Q3 2025 to a period end record level of $22.6 billion.
- Total loans increased $496 million, or 2.8% in Q3 2026 from Q2 2026, and $2.2 billion, or 13.5% from Q3 2025 to a period end record level of $18.5 billion.
- Non-interest bearing deposits increased $295 million in Q3 2026 compared to Q2 2026 to a period end record level of $7.2 billion, or 31.9% of total deposits.
- Net interest income increased $15 million, or 7.6% in Q3 2026 compared to Q2 2026 to $208 million.
- Q3 2026 efficiency ratio was 47.2% compared to Q2 2026 efficiency ratio of 50.6%, a decline of approximately 340 basis points.
CEO Commentary
“I am pleased to share our third quarter 2026 results that show the company’s continued execution of its strategic priorities and underscore our success in growing franchise value.” said Customers Bancorp CEO Sam Sidhu.
“Artificial intelligence (“AI”) and automation continued to drive measurable transformative progress across the organization in the third quarter. On our company-wide priorities, we continued to scale our AI-powered loan process, adding additional functionality and increasing utilization. We also successfully completed a pilot of our new deposit onboarding process, opening commercial deposit accounts in minutes rather than days. The recently announced partnership with Palantir is expected to help drive this initiative toward a goal of a best-in-class customer experience and the ability to onboard new customers at scale without losing personal touch. From a team member led perspective, we’re seeing incredible engagement from across the company. Our team doubled the number of agents1 deployed in the quarter and cumulative estimated hours saved reached 76,0002, a nearly 65% increase. Through our efforts, we estimate we have unlocked over $15 million of annualized capacity3. Our goal of decoupling revenue growth from expense growth is well underway as our revenue per employee and pre-tax profit per employee are up 13% and 34%, respectively, annualized as of September 30, 2026.
Our cubiX payments platform also continued to scale, with cumulative network transaction volume surpassing $5.6 trillion inception to date. We saw continued diversification with mortgage finance and real estate verticals now representing more than 30% of our cubiX balances at September 30, 2026.
We continued to strategically and organically grow our loan and deposit portfolios with momentum throughout the organization. We hired 50 revenue producers year-to-date while our total headcount trended lower. Total loans and leases grew by 2.8% in Q3 2026 compared to Q2 2026, with contributions from multiple verticals allowing us to deliver above industry average growth rates without sacrificing on structure or credit quality.
Total deposits increased by 3.8% in Q3 2026 compared to Q2 2026, and we delivered about $295 million of non-interest bearing deposit growth in Q3 2026. Our new commercial banking teams hired since Q2 2023 added approximately $415 million in deposits with 28% of the growth from non-interest bearing deposits in the third quarter. The growth continued to be granular as we had an increase of approximately 618 commercial accounts on a net basis, or a 2% increase in a single quarter, and the 2025 teams alone added 317 accounts on a net basis in the quarter.
Asset quality remains strong with our NPA ratio at just 0.29% of total assets and reserve levels are robust at 322% of total non-performing loans at the end of Q3 2026. Our capital levels remained strong with a TCE / TA ratio* of 8.0% and Common Equity Tier 1 Ratio4 of 12.6% at September 30, 2026, while our balance sheet grew by 3.4% and we repurchased 492,178 shares of common stock in the quarter.
In the nine months ended September 30, 2026, we once again delivered exceptionally strong growth across key metrics of revenue, core earnings*, and book value per share of 19%, 21%*, and 10%, respectively, when compared to the same period in 2025” Sam Sidhu concluded.
* |
Non-GAAP measure. Customers’ reasons for the use of the non-GAAP measure and a detailed reconciliation between the non-GAAP measure and the comparable GAAP amount are included at the end of this document. |
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1 |
Includes custom GPTs and other similar AI agent products across major platforms used in the last 6 months. |
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2 |
Hours saved reflect self-reported estimates from survey of employees using AI tools. Survey data as of September 17, 2026. Self-reported estimates from periodic surveys of employees using AI tools, captured at time of submission and not subsequently re-measured or validated. Cumulative totals may include savings that have since changed. |
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3 |
Represents salary and benefits savings from positions not backfilled and open positions reduced YTD. |
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4 |
Regulatory capital ratios as of September 30, 2026 are estimates |
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Key Balance Sheet Trends
Loans and Leases Held for Investment
Loans and leases held for investment were a period end record $18.4 billion at September 30, 2026, up $445 million, or 2.5%, from June 30, 2026. C&I loans and leases increased by $592 million, or 6.8% quarter-over-quarter to $9.3 billion. Non-owner occupied commercial real estate loans increased by $179 million, or 9.5%, to $2.1 billion. Multifamily loans increased by $44 million, or 1.7%, to $2.7 billion. These increases were partially offset by decreases in mortgage finance loans of $259 million, or 15.0% to $1.5 billion, construction loans of $58 million, or 26.7% to $159 million and owner-occupied commercial real estate loans of $49 million, or 3.9% to $1.2 billion.
Within C&I, corporate banking loans and leases increased by $690 million, or 9.7% quarter-over-quarter to $7.8 billion. Geographic and other C&I loans decreased by $98 million, or 5.9% quarter-over-quarter to $1.6 billion.
Loans and leases held for investment of $18.4 billion at September 30, 2026 were up $2.1 billion, or 13.1%, year-over-year. C&I loans and leases increased by $1.2 billion, or 14.8%, year-over-year. Non-owner occupied commercial real estate loans increased by $484 million, or 30.6%. Multifamily loans increased by $312 million, or 13.2%. Owner-occupied commercial real estate loans increased by $162 million, or 15.3%. Consumer installment loans increased by $43 million, or 4.8%. Construction loans increased by $36 million, or 28.9%. Mortgage finance loans decreased by $106 million, or 6.7%.
Within C&I, corporate banking loans and leases increased by $1.2 billion, or 18.4% year-over-year. Geographic and other C&I loans decreased by $4 million, or 0.2%.
Investment Securities
At September 30, 2026, total investment securities were $4.2 billion, an increase of $915 million compared to June 30, 2026 and an increase of $1.4 billion compared to a year ago, driven primarily from purchases of agency MBS and CMO.
At September 30, 2026, the Available-For-Sale (“AFS”) debt securities portfolio had a spot yield of 5.08%, an effective duration of approximately 2.8 years, and approximately 42% are variable rate. Additionally, approximately 84% of the AFS securities portfolio was AAA rated at September 30, 2026.
At September 30, 2026, the Held-To-Maturity (“HTM”) debt securities portfolio represented only 2.2% of total assets, had a spot yield of 3.17% and an effective duration of approximately 4.5 years. Additionally, at September 30, 2026, approximately 75% of the HTM securities were AAA rated and $0.2 billion were credit enhanced asset backed securities with no current expectation of credit losses.
Deposits
Total deposits increased $831 million, or 3.8% to a period end record $22.6 billion at September 30, 2026 as compared to the prior quarter. The total average cost of deposits remained constant at 2.50% in Q3 2026 and Q2 2026. Total estimated uninsured deposits were $7.6 billion1, or 34% of total deposits at September 30, 2026 with immediately available liquidity covering approximately 151% of these deposits.
Total deposits increased $2.2 billion, or 10.6% to $22.6 billion at September 30, 2026 as compared to a year ago. The total average cost of deposits decreased by 27 basis points to 2.50% in Q3 2026 from 2.77% in Q3 2025.
1 |
Uninsured deposits (estimate) of $9.8 billion to be reported on the Bank’s call report, less deposits of $1.9 billion collateralized by standby letters of credit from the FHLB and from our affiliates of $293 million. |
Borrowings
Total borrowings increased $78 million, or 3.4% to $2.4 billion at September 30, 2026 as compared to the prior quarter. This increase primarily resulted from net draws of $80 million in FHLB advances. Total borrowings increased $931 million, or 63.0%, to $2.4 billion at September 30, 2026 as compared to a year ago primarily due to net draws of $950 million in FHLB advances.
Capital
Customers Bancorp’s common equity decreased $13 million to $2.2 billion, and tangible common equity* decreased $13 million to $2.2 billion, at September 30, 2026 compared to the prior quarter, respectively, primarily from an increase in AOCI of $60 million (net of taxes), mostly from increased unrealized losses on AFS debt securities and $38 million of common share repurchases, offset in part by earnings of $78 million. Customers Bancorp’s common equity increased $149 million to $2.2 billion, and tangible common equity* increased $149 million to $2.2 billion, at September 30, 2026 compared to a year ago, respectively, primarily from earnings of $294 million, offset in part by $88 million of common share repurchases and an increase in AOCI of $67 million (net of taxes), mostly from increased unrealized losses on AFS debt securities. Book value per common share increased to $65.77 from $65.31 and $59.83, and tangible book value per common share* increased to $65.66 from $65.20 and $59.72, at September 30, 2026 from June 30, 2026 and September 30, 2025, respectively.
Credit Quality
The provision for credit losses in Q3 2026 was $25 million, compared to $23 million in Q2 2026 and $27 million in Q3 2025.
Net charge-offs were $13 million in Q3 2026, compared to $15 million in Q2 2026 and Q3 2025.
The allowance for credit losses on loans and leases was $172 million at September 30, 2026, compared to $164 million at June 30, 2026 and $152 million at September 30, 2025.
Non-performing loans at September 30, 2026 decreased to 0.29% of total loans and leases, compared to 0.31% at June 30, 2026 and increased, compared to 0.17% at September 30, 2025. Nonperforming loans include the guaranteed portion of SBA loans. As of September 30, 2026, nonperforming loans totaled $53 million, of which approximately $12 million represents the government-guaranteed portion. Excluding the government-guaranteed portion, nonperforming loans totaled approximately $42 million, representing 0.23% of total loans and leases.
Key Profitability Trends
Net Interest Income
Net interest income totaled $208 million in Q3 2026, an increase of $15 million from Q2 2026. This increase was driven by an increase in interest income mainly from investment securities and corporate banking loans and leases.
“Net interest income increased $15 million quarter-over-quarter in the third quarter of 2026. Net interest margin expanded to 3.19% and was impacted by a higher level of cash balances resulting from a timing difference between when we brought in deposits and when we funded loan growth. Our estimated run rate for net interest margin in September was approximately 3.25% which gives us confidence for additional expansion in Q4 2026. This trajectory is driven by expected continued low-cost deposit gathering and margin accretive loan growth,” stated Customers Bancorp CFO Mark McCollom.
Net interest income totaled $208 million in Q3 2026, an increase of $6 million from Q3 2025. This increase was primarily due to higher interest income mainly from corporate banking loans and leases, multifamily loans, non-owner occupied commercial real estate loans and investment securities, partially offset by a decrease in interest earning deposits and lower discount accretion within geographic and other C&I loans.
Non-Interest Income
Reported non-interest income totaled $31 million for Q3 2026, a decrease of $3 million compared to $34 million for Q2 2026. The decrease was primarily due to a decrease of $2 million in loan fees mainly from lower gains on stock warrants.
Non-interest income totaled $31 million for Q3 2026, an increase of $1 million compared to Q3 2025. The increase was primarily due to increases in commercial lease income of $4 million, $1 million in other non-interest income primarily from higher income from derivatives and gain on sale of loans and leases, mostly SBA loans in Q3 2026, partially offset by a decrease of $5 million in loan fees primarily due to lower gains on stock warrants.
Non-Interest Expense
Non-interest expenses totaled $113 million in Q3 2026, a decrease of $1 million compared to Q2 2026. The decrease was primarily attributable to decreases of $2 million in professional fees and $3 million in other non-interest expenses mainly due to a benefit to provision for credit losses on unfunded lending commitments and decreases in non-capitalizable loan origination expenses and provision for operating losses partially offset by higher deposit costs. These decreases were partially offset by an increase of $2 million in technology, communication and bank operations mainly for software.
Non-interest expenses totaled $113 million in Q3 2026, an increase of $8 million compared to Q3 2025. The increase was primarily attributable to increases of $8 million in salaries and employee benefits and $4 million in commercial lease depreciation associated with the Bank’s continued growth, $5 million in technology, communication and bank operations mainly for software and processing fees, and $2 million in other non-interest expenses mainly due to higher deposit costs and business development expenses, partially offset by a benefit to provision for credit losses on unfunded lending commitments. These increases were partially offset by decreases of $5 million in professional fees and $4 million in FDIC assessments, non-income taxes and regulatory fees.
Taxes
Income tax expense was $22 million for Q3 2026, compared with $18 million in Q2 2026 and $25 million in Q3 2025. The increase from Q2 2026 reflects higher pretax income and smaller benefit from discrete items. The decrease from Q3 2025 is driven by favorable discrete items, primarily from excess tax benefits on vested stock awards, and the net discount realized on the purchase of energy tax credits. The effective tax rate was 22.1% for Q3 2026, compared with 20.0% for Q2 2026 and 24.5% for Q3 2025.
Outlook
“We continued to perform well in the third quarter of 2026 and remain focused on executing in those areas which differentiate us from our peers. We believe that truly exceptional service, sophisticated product offerings, recruitment of top talent, exceptional payment capabilities, and a single point of contact service model will deliver sustainable long-term growth.
Given our strong performance year-to-date, we are updating our full-year 2026 guidance across the following metrics:
- Loans: 12%+
- Deposits: 9%+
- Net Interest Income: $805 million - $810 million
- Non-interest Expense: $460 million - $465 million
- Tax Rate: 22% to 23%
We expect to continue to execute across the company’s four top priorities for 2026. First, on AI and automation, we expect to see meaningful progress on our “top down” priorities and further benefits from “bottoms up” use cases as they drive increased revenue and improved productivity. We expect this to show up in our financial results through continued increases in our revenue, assets, and pre-tax profit per employee. Second, we expect our payments capabilities to continue to expand, driven by the new industries and use cases we are serving and by strengthening relationships with existing clients through expanded product offerings. Third, we are confident in our ability to continue to deliver above industry average loan and deposit portfolio growth and build upon our successful team recruitment strategy. And fourth, we will seek to accomplish these initiatives while operating with a high standard of regulatory and risk management excellence and maintaining a strong capital base, liquidity, and credit quality.
We believe we are incredibly well positioned to continue to achieve these goals and deliver excellent client service and strong financial performance to close out 2026 and beyond,” concluded Sam Sidhu.
Webcast
Date: |
Friday, October 23, 2026 |
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Time: |
9:00 AM EDT |
The live audio webcast, presentation slides, and earnings press release will be made available at https://www.customersbank.com and at the Customers Bancorp 3rd Quarter Earnings Webcast.
You may submit questions in advance of the live webcast by emailing our Chief Marketing Officer, Laura Vele at lvele@customersbank.com.
The webcast will be archived for viewing on the Customers Bank Investor Relations page and available beginning approximately two hours after the conclusion of the live event.
Institutional Background
Customers Bancorp, Inc. (NYSE:CUBI) is one of the nation’s top-performing banking companies with over $27 billion in assets making it one of the 80 largest bank holding companies in the U.S. Customers Bank’s commercial and consumer clients benefit from a full suite of technology-enabled tailored product experiences delivered by best-in-class customer service distinguished by a Single Point of Contact approach. In addition to traditional lines such as C&I, commercial real estate, and residential and personal lending, Customers Bank also provides a number of national corporate banking services to clients in businesses including: fund finance, venture banking, healthcare, mortgage finance, and equipment finance. Major accolades include:
- Named a Top 10 Performing Bank by American Banker for five consecutive years (2021-2025), including the #1 spot in 2024 among midsize banks ($10B to $50B in assets)
- No. 45 out of the 100 largest publicly traded banks in 2026 Forbes Best Banks list
- Net Promoter Score of 81 compared to industry average of 41
A member of the Federal Reserve System with deposits insured by the Federal Deposit Insurance Corporation, Customers Bank is an equal opportunity lender. Learn more: www.customersbank.com.
“Safe Harbor” Statement
In addition to historical information, this press release may contain “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements with respect to Customers Bancorp, Inc.’s strategies, goals, beliefs, expectations, estimates, intentions, capital raising efforts, financial condition and results of operations, future performance and business. Statements preceded by, followed by, or that include the words “may,” “could,” “should,” “pro forma,” “looking forward,” “would,” “believe,” “expect,” “anticipate,” “estimate,” “intend,” “plan,” “project,” “confident,” or similar expressions generally indicate a forward-looking statement. These forward-looking statements involve risks and uncertainties that are subject to change based on various important factors (some of which, in whole or in part, are beyond Customers Bancorp, Inc.’s control). Numerous competitive, economic, regulatory, legal and technological events and factors, among others, could cause Customers Bancorp, Inc.’s financial performance to differ materially from the goals, plans, objectives, intentions and expectations expressed in such forward-looking statements, including: a continuation of the recent turmoil in the banking industry, responsive measures taken by us and regulatory authorities to mitigate and manage related risks, regulatory actions taken that address related issues and the costs and obligations associated therewith, such as the FDIC special assessments; the potential for negative consequences resulting from regulatory violations, investigations and examinations, including potential supervisory actions, the assessment of fines and penalties, the imposition of sanctions, the need to undertake remedial actions and possible damage to our reputation; technological changes, including acceptance and success of our proprietary B2B instant payments platform, cubiX, which is subject to variety of factors that are difficult to evaluate; effects of competition on deposit rates and growth, loan rates and growth and net interest margin; failure to identify and adequately and promptly address cybersecurity risks, including data breaches and cyberattacks, which may be exacerbated by our continued development and implementation of generative artificial intelligence, including risks arising from reliance on third-party AI tools, model limitations, data integrity issues or regulatory uncertainty, and the cost of defending against them and any reputational or other financial risks following such a cybersecurity incident; public health crises and pandemics and their effects on the economic and business environments in which we operate; geopolitical conditions, including acts or threats of terrorism, actions taken by the United States or other governments in response to acts or threats of terrorism and military conflicts, including the war between Russia and Ukraine and ongoing conflict in the Middle East, which could impact economic conditions in the United States; the impact that changes in the economy have on the performance of our loan and lease portfolio, the market value of our investment securities, the demand for our products and services and the availability of sources of funding; the effects of actions by the federal government, including the Board of Governors of the Federal Reserve System and other government agencies, that affect market interest rates and the money supply; actions that we and our customers take in response to these developments and the effects such actions have on our operations, products, services and customer relationships; higher inflation and its impacts; the effects of changes in U.S. trade policies, including the imposition of tariffs and retaliatory tariffs on its trading partners; and the effects of any changes in accounting standards or policies. Customers Bancorp, Inc. cautions that the foregoing factors are not exclusive, and neither such factors nor any such forward-looking statement takes into account the impact of any future events. All forward-looking statements and information set forth herein are based on management’s current beliefs and assumptions as of the date hereof and speak only as of the date they are made. For a more complete discussion of the assumptions, risks and uncertainties related to our business, you are encouraged to review Customers Bancorp, Inc.’s filings with the Securities and Exchange Commission, including its most recent annual report on Form 10-K for the year ended December 31, 2025, subsequently filed quarterly reports on Form 10-Q and current reports on Form 8-K, including any amendments thereto, that update or provide information in addition to the information included in the Form 10-K and Form 10-Q filings, if any. Customers Bancorp, Inc. does not undertake to update any forward-looking statement whether written or oral, that may be made from time to time by Customers Bancorp, Inc. or by or on behalf of Customers Bank, except as may be required under applicable law.
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
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FINANCIAL HIGHLIGHTS - UNAUDITED |
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(Dollars in thousands, except per share data) |
Q3 |
Q2 |
Q1 |
Q4 |
Q3 |
Nine Months Ended
|
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2026 |
2026 |
2026 |
2025 |
2025 |
2026 |
2025 |
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GAAP Profitability Metrics: |
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Net income available to common shareholders |
$ |
78,383 |
$ |
71,560 |
$ |
69,653 |
$ |
70,088 |
$ |
73,726 |
$ |
219,596 |
$ |
139,095 |
|||||||||||||
Per share amounts: |
|||||||||||||||||||||||||||
Earnings per share - diluted |
$ |
2.25 |
$ |
2.05 |
$ |
1.97 |
$ |
1.98 |
$ |
2.20 |
$ |
6.28 |
$ |
4.24 |
|||||||||||||
Book value per common share |
$ |
65.77 |
$ |
65.31 |
$ |
63.64 |
$ |
61.87 |
$ |
59.83 |
$ |
65.77 |
$ |
59.83 |
|||||||||||||
Return on average assets (“ROAA”) |
1.16 |
% |
1.13 |
% |
1.13 |
% |
1.20 |
% |
1.26 |
% |
1.14 |
% |
0.87 |
% |
|||||||||||||
Return on average common equity (“ROCE”) |
14.0 |
% |
13.2 |
% |
13.2 |
% |
13.3 |
% |
15.6 |
% |
13.5 |
% |
10.4 |
% |
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Net interest margin, tax equivalent |
3.19 |
% |
3.17 |
% |
3.22 |
% |
3.40 |
% |
3.46 |
% |
3.19 |
% |
3.30 |
% |
|||||||||||||
Efficiency ratio |
47.2 |
% |
50.6 |
% |
49.7 |
% |
49.5 |
% |
45.4 |
% |
49.1 |
% |
49.6 |
% |
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Non-GAAP Profitability Metrics (1): |
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Core earnings |
$ |
79,003 |
$ |
71,457 |
$ |
69,445 |
$ |
72,851 |
$ |
73,473 |
$ |
219,905 |
$ |
181,622 |
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Per share amounts: |
|||||||||||||||||||||||||||
Core earnings per share - diluted |
$ |
2.27 |
$ |
2.05 |
$ |
1.97 |
$ |
2.06 |
$ |
2.20 |
$ |
6.28 |
$ |
5.54 |
|||||||||||||
Tangible book value per common share |
$ |
65.66 |
$ |
65.20 |
$ |
63.54 |
$ |
61.77 |
$ |
59.72 |
$ |
65.66 |
$ |
59.72 |
|||||||||||||
Core ROAA |
1.17 |
% |
1.13 |
% |
1.13 |
% |
1.19 |
% |
1.25 |
% |
1.14 |
% |
1.11 |
% |
|||||||||||||
Core ROCE |
14.1 |
% |
13.2 |
% |
13.1 |
% |
13.8 |
% |
15.5 |
% |
13.5 |
% |
13.6 |
% |
|||||||||||||
Core efficiency ratio |
47.2 |
% |
50.6 |
% |
49.7 |
% |
49.5 |
% |
45.4 |
% |
49.1 |
% |
49.7 |
% |
|||||||||||||
Balance Sheet Trends: |
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Total assets |
$ |
27,411,648 |
$ |
26,520,789 |
$ |
25,880,767 |
$ |
24,895,868 |
$ |
24,260,163 |
$ |
27,411,648 |
$ |
24,260,163 |
|||||||||||||
Total cash and investment securities |
$ |
7,798,061 |
$ |
7,437,163 |
$ |
7,454,901 |
$ |
7,078,243 |
$ |
6,997,783 |
$ |
7,798,061 |
$ |
6,997,783 |
|||||||||||||
Total loans and leases |
$ |
18,511,337 |
$ |
18,015,300 |
$ |
17,391,546 |
$ |
16,782,516 |
$ |
16,303,147 |
$ |
18,511,337 |
$ |
16,303,147 |
|||||||||||||
Non-interest bearing demand deposits |
$ |
7,209,138 |
$ |
6,913,804 |
$ |
6,739,713 |
$ |
6,303,748 |
$ |
6,380,879 |
$ |
7,209,138 |
$ |
6,380,879 |
|||||||||||||
Total deposits |
$ |
22,563,833 |
$ |
21,732,897 |
$ |
21,592,645 |
$ |
20,778,704 |
$ |
20,405,023 |
$ |
22,563,833 |
$ |
20,405,023 |
|||||||||||||
Asset Quality: |
|||||||||||||||||||||||||||
Net charge-offs |
$ |
12,666 |
$ |
14,579 |
$ |
13,255 |
$ |
13,749 |
$ |
15,371 |
$ |
40,500 |
$ |
45,630 |
|||||||||||||
Annualized net charge-offs to average total loans and leases |
0.28 |
% |
0.34 |
% |
0.32 |
% |
0.33 |
% |
0.39 |
% |
0.31 |
% |
0.40 |
% |
|||||||||||||
Nonaccrual / non-performing loans (“NPLs”) |
$ |
53,439 |
$ |
56,022 |
$ |
47,818 |
$ |
43,688 |
$ |
28,421 |
$ |
53,439 |
$ |
28,421 |
|||||||||||||
NPLs to total loans and leases |
0.29 |
% |
0.31 |
% |
0.27 |
% |
0.26 |
% |
0.17 |
% |
0.29 |
% |
0.17 |
% |
|||||||||||||
Reserves to NPLs |
322.10 |
% |
292.93 |
% |
336.61 |
% |
356.29 |
% |
534.14 |
% |
322.10 |
% |
534.14 |
% |
|||||||||||||
Non-performing assets (“NPAs”) |
$ |
79,033 |
$ |
85,661 |
$ |
74,737 |
$ |
72,344 |
$ |
61,057 |
$ |
79,033 |
$ |
61,057 |
|||||||||||||
NPAs to total assets |
0.29 |
% |
0.32 |
% |
0.29 |
% |
0.29 |
% |
0.25 |
% |
0.29 |
% |
0.25 |
% |
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CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
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FINANCIAL HIGHLIGHTS - UNAUDITED (CONTINUED) |
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(Dollars in thousands, except per share data) |
Q3 |
Q2 |
Q1 |
Q4 |
Q3 |
Nine Months Ended
|
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2026 |
2026 |
2026 |
2025 |
2025 |
2026 |
2025 |
||||||||||||||
Capital Metrics: |
||||||||||||||||||||
Common equity to total assets |
8.0 |
% |
8.3 |
% |
8.3 |
% |
8.5 |
% |
8.4 |
% |
8.0 |
% |
8.4 |
% |
||||||
Tangible common equity to tangible assets (1) |
8.0 |
% |
8.3 |
% |
8.3 |
% |
8.5 |
% |
8.4 |
% |
8.0 |
% |
8.4 |
% |
||||||
Common equity Tier 1 capital ratio (2) |
12.6 |
% |
12.9 |
% |
12.9 |
% |
13.0 |
% |
13.0 |
% |
12.6 |
% |
13.0 |
% |
||||||
Total risk based capital ratio (2) |
14.5 |
% |
14.8 |
% |
14.9 |
% |
15.4 |
% |
15.3 |
% |
14.5 |
% |
15.3 |
% |
||||||
Customers Bank Capital Ratios (2): |
||||||||||||||||||||
Common equity Tier 1 capital to risk-weighted assets |
13.4 |
% |
13.6 |
% |
13.8 |
% |
13.3 |
% |
13.2 |
% |
13.4 |
% |
13.2 |
% |
||||||
Total capital to risk-weighted assets |
14.4 |
% |
14.5 |
% |
14.8 |
% |
14.6 |
% |
14.6 |
% |
14.4 |
% |
14.6 |
% |
||||||
Tier 1 capital to average assets (leverage ratio) |
9.1 |
% |
9.3 |
% |
9.4 |
% |
8.9 |
% |
8.8 |
% |
9.5 |
% |
8.8 |
% |
||||||
Share amounts: |
||||||||||||||||||||
Average shares outstanding - basic |
33,708,023 |
33,796,369 |
34,080,834 |
34,170,777 |
32,340,813 |
33,860,376 |
31,794,547 |
|||||||||||||
Average shares outstanding - diluted |
34,793,166 |
34,905,731 |
35,313,835 |
35,396,324 |
33,460,055 |
34,990,096 |
32,778,447 |
|||||||||||||
Shares outstanding |
33,340,010 |
33,772,598 |
33,692,632 |
34,191,223 |
34,163,506 |
33,340,010 |
34,163,506 |
|||||||||||||
(1) Customers’ reasons for the use of these non-GAAP measures and a detailed reconciliation between the non-GAAP measures and the comparable GAAP amounts are included at the end of this document. |
||||||||||||||||||||
(2) Regulatory capital ratios are estimated for Q3 2026 and actual for the remaining periods. |
||||||||||||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
|||||||||||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS - UNAUDITED |
|||||||||||||||||||||||
(Dollars in thousands, except per share data) |
Nine Months Ended |
||||||||||||||||||||||
Q3 |
Q2 |
Q1 |
Q4 |
Q3 |
September 30, |
||||||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
2026 |
2025 |
|||||||||||||||||
Interest income: |
|||||||||||||||||||||||
Loans and leases |
$ |
282,865 |
$ |
268,628 |
$ |
258,734 |
$ |
274,752 |
$ |
272,131 |
$ |
810,227 |
$ |
750,008 |
|||||||||
Investment securities |
45,663 |
34,727 |
32,141 |
31,979 |
36,091 |
112,531 |
107,811 |
||||||||||||||||
Interest earning deposits |
36,548 |
37,628 |
41,830 |
44,862 |
49,639 |
116,006 |
132,525 |
||||||||||||||||
Loans held for sale |
2,896 |
1,280 |
1,235 |
1,432 |
1,589 |
5,411 |
8,156 |
||||||||||||||||
Other |
2,785 |
2,394 |
2,372 |
2,173 |
2,029 |
7,551 |
5,889 |
||||||||||||||||
Total interest income |
370,757 |
344,657 |
336,312 |
355,198 |
361,479 |
1,051,726 |
1,004,389 |
||||||||||||||||
Interest expense: |
|||||||||||||||||||||||
Deposits |
139,439 |
130,296 |
126,126 |
131,797 |
141,983 |
395,861 |
407,336 |
||||||||||||||||
FHLB advances |
19,216 |
17,109 |
12,935 |
14,490 |
12,945 |
49,260 |
37,463 |
||||||||||||||||
Subordinated debt |
2,723 |
2,723 |
4,621 |
3,355 |
3,251 |
10,067 |
9,692 |
||||||||||||||||
Federal funds purchased |
16 |
99 |
13 |
— |
— |
128 |
— |
||||||||||||||||
Other borrowings |
1,285 |
1,064 |
1,266 |
1,128 |
1,388 |
3,615 |
3,837 |
||||||||||||||||
Total interest expense |
162,679 |
151,291 |
144,961 |
150,770 |
159,567 |
458,931 |
458,328 |
||||||||||||||||
Net interest income |
208,078 |
193,366 |
191,351 |
204,428 |
201,912 |
592,795 |
546,061 |
||||||||||||||||
Provision for credit losses |
25,434 |
23,067 |
23,372 |
22,337 |
26,543 |
71,873 |
75,621 |
||||||||||||||||
Net interest income after provision for credit losses |
182,644 |
170,299 |
167,979 |
182,091 |
175,369 |
520,922 |
470,440 |
||||||||||||||||
Non-interest income: |
|||||||||||||||||||||||
Commercial lease income |
15,955 |
15,392 |
15,418 |
14,186 |
11,536 |
46,765 |
33,260 |
||||||||||||||||
Loan fees |
6,249 |
8,673 |
10,506 |
7,420 |
11,443 |
25,428 |
27,784 |
||||||||||||||||
Bank-owned life insurance |
2,254 |
2,213 |
3,084 |
2,189 |
2,165 |
7,551 |
9,074 |
||||||||||||||||
Mortgage finance transactional fees |
1,308 |
1,332 |
1,306 |
1,339 |
1,298 |
3,946 |
3,406 |
||||||||||||||||
Net gain (loss) on sale of loans and leases |
964 |
1,061 |
1,044 |
(62 |
) |
— |
3,069 |
2 |
|||||||||||||||
Net gain (loss) on sale of investment securities |
(292 |
) |
154 |
355 |
(27 |
) |
186 |
217 |
(1,611 |
) |
|||||||||||||
Impairment loss on debt securities |
— |
— |
— |
— |
— |
— |
(51,319 |
) |
|||||||||||||||
Other |
4,928 |
5,218 |
2,603 |
7,471 |
3,563 |
12,749 |
14,711 |
||||||||||||||||
Total non-interest income |
31,366 |
34,043 |
34,316 |
32,516 |
30,191 |
99,725 |
35,307 |
||||||||||||||||
Non-interest expense: |
|||||||||||||||||||||||
Salaries and employee benefits |
56,269 |
56,037 |
51,294 |
51,744 |
48,723 |
163,600 |
137,245 |
||||||||||||||||
Technology, communication and bank operations |
15,107 |
12,891 |
11,643 |
11,388 |
10,415 |
39,641 |
32,109 |
||||||||||||||||
Commercial lease depreciation |
13,166 |
12,761 |
12,692 |
11,668 |
9,463 |
38,619 |
26,669 |
||||||||||||||||
Professional services |
7,766 |
10,024 |
11,695 |
12,390 |
12,281 |
29,485 |
37,988 |
||||||||||||||||
Loan servicing |
3,915 |
3,710 |
3,859 |
4,050 |
4,167 |
11,484 |
12,850 |
||||||||||||||||
Occupancy |
3,657 |
3,495 |
3,956 |
4,291 |
4,370 |
11,108 |
11,333 |
||||||||||||||||
FDIC assessments, non-income taxes and regulatory fees |
4,727 |
4,585 |
8,215 |
9,023 |
8,505 |
17,527 |
32,161 |
||||||||||||||||
Advertising and promotion |
476 |
481 |
554 |
812 |
636 |
1,511 |
1,625 |
||||||||||||||||
Other |
8,313 |
10,907 |
8,080 |
11,943 |
6,657 |
27,300 |
22,634 |
||||||||||||||||
Total non-interest expense |
113,396 |
114,891 |
111,988 |
117,309 |
105,217 |
340,275 |
314,614 |
||||||||||||||||
Income before income tax expense |
100,614 |
89,451 |
90,307 |
97,298 |
100,343 |
280,372 |
191,133 |
||||||||||||||||
Income tax expense |
22,231 |
17,891 |
20,654 |
22,806 |
24,598 |
60,776 |
41,537 |
||||||||||||||||
Net income |
78,383 |
71,560 |
69,653 |
74,492 |
75,745 |
219,596 |
149,596 |
||||||||||||||||
Preferred stock dividends |
— |
— |
— |
1,605 |
2,019 |
— |
8,593 |
||||||||||||||||
Loss on redemption of preferred stock |
— |
— |
— |
2,799 |
— |
— |
1,908 |
||||||||||||||||
Net income available to common shareholders |
$ |
78,383 |
$ |
71,560 |
$ |
69,653 |
$ |
70,088 |
$ |
73,726 |
$ |
219,596 |
$ |
139,095 |
|||||||||
Basic earnings per common share |
$ |
2.33 |
$ |
2.12 |
$ |
2.04 |
$ |
2.05 |
$ |
2.28 |
$ |
6.49 |
$ |
4.37 |
|||||||||
Diluted earnings per common share |
2.25 |
2.05 |
1.97 |
1.98 |
2.20 |
6.28 |
4.24 |
||||||||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
|||||||||||||||||||
CONSOLIDATED BALANCE SHEET - UNAUDITED |
|||||||||||||||||||
(Dollars in thousands) |
|||||||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
|||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
|||||||||||||||
ASSETS |
|||||||||||||||||||
Cash and due from banks |
$ |
95,500 |
$ |
85,546 |
$ |
89,153 |
$ |
62,051 |
$ |
57,951 |
|||||||||
Interest earning deposits |
3,529,465 |
4,093,306 |
4,709,051 |
4,349,412 |
4,127,688 |
||||||||||||||
Cash and cash equivalents |
3,624,965 |
4,178,852 |
4,798,204 |
4,411,463 |
4,185,639 |
||||||||||||||
Investment securities, at fair value |
3,571,796 |
2,626,717 |
1,993,152 |
1,937,646 |
2,010,820 |
||||||||||||||
Investment securities held to maturity |
601,300 |
631,594 |
663,545 |
729,134 |
801,324 |
||||||||||||||
Loans held for sale |
109,509 |
58,611 |
20,282 |
26,102 |
30,897 |
||||||||||||||
Loans and leases receivable |
16,922,448 |
16,217,068 |
15,519,493 |
15,041,340 |
14,673,636 |
||||||||||||||
Loans receivable, mortgage finance, at fair value |
1,400,573 |
1,654,795 |
1,758,685 |
1,612,997 |
1,486,978 |
||||||||||||||
Loans receivable, installment, at fair value |
78,807 |
84,826 |
93,086 |
102,077 |
111,636 |
||||||||||||||
Allowance for credit losses on loans and leases |
(172,125 |
) |
(164,106 |
) |
(160,962 |
) |
(155,656 |
) |
(151,809 |
) |
|||||||||
Total loans and leases receivable, net of allowance for credit losses on loans and leases |
18,229,703 |
17,792,583 |
17,210,302 |
16,600,758 |
16,120,441 |
||||||||||||||
FHLB, Federal Reserve Bank, and other restricted stock |
146,161 |
144,971 |
117,880 |
110,411 |
103,290 |
||||||||||||||
Accrued interest receivable |
113,421 |
103,125 |
105,002 |
103,626 |
106,379 |
||||||||||||||
Bank premises and equipment, net |
19,191 |
19,773 |
15,749 |
16,745 |
15,340 |
||||||||||||||
Bank-owned life insurance |
312,480 |
310,312 |
306,927 |
305,503 |
303,212 |
||||||||||||||
Other real estate owned |
12,568 |
12,568 |
12,506 |
12,432 |
12,432 |
||||||||||||||
Goodwill and other intangibles |
3,629 |
3,629 |
3,629 |
3,629 |
3,629 |
||||||||||||||
Other assets |
666,925 |
638,054 |
633,589 |
638,419 |
566,760 |
||||||||||||||
Total assets |
$ |
27,411,648 |
$ |
26,520,789 |
$ |
25,880,767 |
$ |
24,895,868 |
$ |
24,260,163 |
|||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY |
|||||||||||||||||||
Demand, non-interest bearing deposits |
$ |
7,209,138 |
$ |
6,913,804 |
$ |
6,739,713 |
$ |
6,303,748 |
$ |
6,380,879 |
|||||||||
Interest bearing deposits |
15,354,695 |
14,819,093 |
14,852,932 |
14,474,956 |
14,024,144 |
||||||||||||||
Total deposits |
22,563,833 |
21,732,897 |
21,592,645 |
20,778,704 |
20,405,023 |
||||||||||||||
Federal funds purchased |
— |
— |
70,000 |
— |
— |
||||||||||||||
FHLB advances |
2,137,182 |
2,059,163 |
1,561,655 |
1,325,068 |
1,195,437 |
||||||||||||||
Other borrowings |
99,313 |
99,278 |
99,243 |
99,208 |
99,173 |
||||||||||||||
Subordinated debt |
171,867 |
171,741 |
171,614 |
281,147 |
182,718 |
||||||||||||||
Accrued interest payable and other liabilities |
246,753 |
252,018 |
241,310 |
296,224 |
251,753 |
||||||||||||||
Total liabilities |
25,218,948 |
24,315,097 |
23,736,467 |
22,780,351 |
22,134,104 |
||||||||||||||
Preferred stock |
— |
— |
— |
— |
82,201 |
||||||||||||||
Common stock |
36,544 |
36,485 |
36,312 |
36,189 |
36,161 |
||||||||||||||
Additional paid in capital |
675,689 |
669,114 |
669,112 |
666,756 |
662,252 |
||||||||||||||
Retained earnings |
1,754,790 |
1,676,407 |
1,604,847 |
1,535,194 |
1,465,106 |
||||||||||||||
Accumulated other comprehensive income (loss), net |
(118,011 |
) |
(58,346 |
) |
(54,657 |
) |
(54,050 |
) |
(51,089 |
) |
|||||||||
Treasury stock, at cost |
(156,312 |
) |
(117,968 |
) |
(111,314 |
) |
(68,572 |
) |
(68,572 |
) |
|||||||||
Total shareholders’ equity |
2,192,700 |
2,205,692 |
2,144,300 |
2,115,517 |
2,126,059 |
||||||||||||||
Total liabilities and shareholders’ equity |
$ |
27,411,648 |
$ |
26,520,789 |
$ |
25,880,767 |
$ |
24,895,868 |
$ |
24,260,163 |
|||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
|||||||||||||||||||||||
AVERAGE BALANCE SHEET / NET INTEREST MARGIN - UNAUDITED |
|||||||||||||||||||||||
(Dollars in thousands) |
|||||||||||||||||||||||
Three Months Ended |
|||||||||||||||||||||||
September 30, 2026 |
June 30, 2026 |
September 30, 2025 |
|||||||||||||||||||||
Average
|
Interest
|
Average
|
Average
|
Interest
|
Average
|
Average
|
Interest
|
Average
|
|||||||||||||||
Assets |
|||||||||||||||||||||||
Interest earning deposits |
$ |
3,899,455 |
$ |
36,548 |
3.67% |
$ |
4,064,683 |
$ |
37,628 |
3.66% |
$ |
4,409,220 |
$ |
49,639 |
4.47% |
||||||||
Investment securities (1) |
3,925,752 |
45,663 |
4.65% |
2,982,966 |
34,727 |
4.66% |
2,931,351 |
36,091 |
4.88% |
||||||||||||||
Loans and leases: |
|||||||||||||||||||||||
Commercial and industrial loans and leases: (2) |
|||||||||||||||||||||||
Corporate banking loans and leases |
7,851,715 |
132,916 |
6.72% |
7,513,518 |
127,198 |
6.79% |
6,664,038 |
123,660 |
7.36% |
||||||||||||||
Geographic and other commercial and industrial loans |
2,202,293 |
35,560 |
6.41% |
2,240,142 |
34,626 |
6.20% |
2,145,416 |
48,467 |
8.96% |
||||||||||||||
Mortgage finance loans |
1,509,016 |
18,310 |
4.81% |
1,590,328 |
17,078 |
4.31% |
1,478,871 |
18,454 |
4.95% |
||||||||||||||
Multifamily loans |
2,668,582 |
32,060 |
4.77% |
2,492,956 |
29,118 |
4.68% |
2,306,373 |
25,931 |
4.46% |
||||||||||||||
Non-owner occupied commercial real estate loans |
2,103,198 |
32,440 |
6.12% |
2,003,968 |
29,842 |
5.97% |
1,635,937 |
24,148 |
5.86% |
||||||||||||||
Residential mortgages |
540,836 |
6,504 |
4.80% |
527,816 |
6,265 |
4.75% |
551,436 |
6,647 |
4.78% |
||||||||||||||
Installment loans |
1,032,560 |
27,971 |
10.75% |
947,935 |
25,781 |
10.91% |
938,890 |
26,413 |
11.16% |
||||||||||||||
Total loans and leases (3) |
17,908,200 |
285,761 |
6.33% |
17,316,663 |
269,908 |
6.25% |
15,720,961 |
273,720 |
6.91% |
||||||||||||||
Other interest-earning assets |
185,860 |
2,785 |
5.95% |
174,621 |
2,394 |
5.50% |
140,011 |
2,029 |
5.75% |
||||||||||||||
Total interest-earning assets |
25,919,267 |
370,757 |
5.67% |
24,538,933 |
344,657 |
5.62% |
23,201,543 |
361,479 |
6.19% |
||||||||||||||
Non-interest-earning assets |
840,905 |
828,466 |
729,180 |
||||||||||||||||||||
Total assets |
$ |
26,760,172 |
$ |
25,367,399 |
$ |
23,930,723 |
|||||||||||||||||
Liabilities |
|||||||||||||||||||||||
Interest checking accounts |
$ |
5,296,900 |
$ |
43,330 |
3.25% |
$ |
5,075,436 |
$ |
41,077 |
3.25% |
$ |
4,983,168 |
$ |
48,105 |
3.83% |
||||||||
Money market deposit accounts |
5,122,505 |
44,997 |
3.49% |
4,593,765 |
39,880 |
3.48% |
4,360,446 |
42,980 |
3.91% |
||||||||||||||
Other savings accounts |
1,501,599 |
12,755 |
3.37% |
1,655,029 |
13,943 |
3.38% |
1,485,652 |
14,724 |
3.93% |
||||||||||||||
Certificates of deposit |
3,684,179 |
38,357 |
4.13% |
3,438,721 |
35,396 |
4.13% |
3,108,831 |
36,174 |
4.62% |
||||||||||||||
Total interest-bearing deposits (4) |
15,605,183 |
139,439 |
3.55% |
14,762,951 |
130,296 |
3.54% |
13,938,097 |
141,983 |
4.04% |
||||||||||||||
Federal funds purchased |
1,576 |
16 |
4.00% |
10,659 |
99 |
3.75% |
— |
— |
—% |
||||||||||||||
Borrowings |
2,140,676 |
23,224 |
4.31% |
1,989,478 |
20,896 |
4.21% |
1,429,981 |
17,584 |
4.88% |
||||||||||||||
Total interest-bearing liabilities |
17,747,435 |
162,679 |
3.64% |
16,763,088 |
151,291 |
3.62% |
15,368,078 |
159,567 |
4.12% |
||||||||||||||
Non-interest-bearing deposits (4) |
6,529,941 |
6,183,251 |
6,362,360 |
||||||||||||||||||||
Total deposits and borrowings |
24,277,376 |
2.66% |
22,946,339 |
2.64% |
21,730,438 |
2.91% |
|||||||||||||||||
Other non-interest-bearing liabilities |
254,503 |
249,563 |
239,969 |
||||||||||||||||||||
Total liabilities |
24,531,879 |
23,195,902 |
21,970,407 |
||||||||||||||||||||
Shareholders’ equity |
2,228,293 |
2,171,497 |
1,960,316 |
||||||||||||||||||||
Total liabilities and shareholders’ equity |
$ |
26,760,172 |
$ |
25,367,399 |
$ |
23,930,723 |
|||||||||||||||||
Net interest income |
208,078 |
193,366 |
201,912 |
||||||||||||||||||||
Tax-equivalent adjustment |
672 |
790 |
360 |
||||||||||||||||||||
Net interest earnings |
$ |
208,750 |
$ |
194,156 |
$ |
202,272 |
|||||||||||||||||
Interest spread |
3.02% |
2.98% |
3.27% |
||||||||||||||||||||
Net interest margin |
3.18% |
3.15% |
3.46% |
||||||||||||||||||||
Net interest margin tax equivalent (5) |
3.19% |
3.17% |
3.46% |
||||||||||||||||||||
(1) |
For presentation in this table, average balances and the corresponding average yields for investment securities are based upon historical cost, adjusted for amortization of premiums and accretion of discounts. |
|
(2) |
Includes owner occupied commercial real estate loans. |
|
(3) |
Includes non-accrual loans, the effect of which is to reduce the yield earned on loans and leases, and deferred loan fees. |
|
(4) |
Total costs of deposits (including interest bearing and non-interest bearing) were 2.50%, 2.50% and 2.77% for the three months ended September 30, 2026, June 30, 2026 and September 30, 2025, respectively. |
|
(5) |
Tax-equivalent basis, using an estimated marginal tax rate of 21% for the three months ended September 30, 2026 and June 30, 2026 and 26% for the three months ended September 30, 2025, presented to approximate interest income as a taxable asset. |
| CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | |||||||||||||||
AVERAGE BALANCE SHEET / NET INTEREST MARGIN - UNAUDITED (CONTINUED) |
|||||||||||||||
(Dollars in thousands) |
|||||||||||||||
Nine Months Ended |
|||||||||||||||
September 30, 2026 |
September 30, 2025 |
||||||||||||||
Average
|
Interest
|
Average
|
Average
|
Interest
|
Average
|
||||||||||
Assets |
|||||||||||||||
Interest earning deposits |
$ |
4,150,858 |
$ |
116,006 |
3.69% |
$ |
3,946,022 |
$ |
132,525 |
4.49% |
|||||
Investment securities (1) |
3,219,193 |
112,531 |
4.66% |
2,973,600 |
107,811 |
4.85% |
|||||||||
Loans and leases: |
|||||||||||||||
Commercial and industrial loans and leases: (2) |
|||||||||||||||
Corporate banking loans and leases |
7,493,019 |
380,493 |
6.79% |
6,286,158 |
352,792 |
7.50% |
|||||||||
Geographic and other commercial and industrial loans |
2,217,325 |
106,870 |
6.44% |
2,082,261 |
116,935 |
7.51% |
|||||||||
Mortgage finance loans |
1,537,735 |
51,638 |
4.49% |
1,411,814 |
51,555 |
4.88% |
|||||||||
Multifamily loans |
2,552,765 |
89,427 |
4.68% |
2,299,335 |
74,876 |
4.35% |
|||||||||
Non-owner occupied commercial real estate loans |
2,005,840 |
89,993 |
6.00% |
1,589,446 |
68,715 |
5.78% |
|||||||||
Residential mortgages |
531,043 |
19,009 |
4.77% |
539,762 |
19,219 |
4.76% |
|||||||||
Installment loans |
964,415 |
78,208 |
10.84% |
919,021 |
74,072 |
10.78% |
|||||||||
Total loans and leases (3) |
17,302,142 |
815,638 |
6.30% |
15,127,797 |
758,164 |
6.70% |
|||||||||
Other interest-earning assets |
172,564 |
7,551 |
5.85% |
133,921 |
5,889 |
5.88% |
|||||||||
Total interest-earning assets |
24,844,757 |
1,051,726 |
5.65% |
22,181,340 |
1,004,389 |
6.05% |
|||||||||
Non-interest-earning assets |
844,846 |
694,136 |
|||||||||||||
Total assets |
$ |
25,689,603 |
$ |
22,875,476 |
|||||||||||
Liabilities |
|||||||||||||||
Interest checking accounts |
$ |
5,123,095 |
$ |
124,430 |
3.25% |
$ |
5,090,947 |
$ |
145,253 |
3.81% |
|||||
Money market deposit accounts |
4,696,501 |
121,517 |
3.46% |
4,128,528 |
121,144 |
3.92% |
|||||||||
Other savings accounts |
1,578,500 |
40,278 |
3.41% |
1,322,135 |
38,182 |
3.86% |
|||||||||
Certificates of deposit |
3,527,369 |
109,636 |
4.16% |
2,905,047 |
102,757 |
4.73% |
|||||||||
Total interest-bearing deposits (4) |
14,925,465 |
395,861 |
3.55% |
13,446,657 |
407,336 |
4.05% |
|||||||||
Federal funds purchased |
4,535 |
128 |
3.78% |
— |
— |
—% |
|||||||||
Borrowings |
1,949,119 |
62,942 |
4.31% |
1,398,401 |
50,992 |
4.88% |
|||||||||
Total interest-bearing liabilities |
16,879,119 |
458,931 |
3.63% |
14,845,058 |
458,328 |
4.13% |
|||||||||
Non-interest-bearing deposits (4) |
6,369,545 |
5,891,249 |
|||||||||||||
Total deposits and borrowings |
23,248,664 |
2.64% |
20,736,307 |
2.95% |
|||||||||||
Other non-interest-bearing liabilities |
258,502 |
235,938 |
|||||||||||||
Total liabilities |
23,507,166 |
20,972,245 |
|||||||||||||
Shareholders’ equity |
2,182,437 |
1,903,231 |
|||||||||||||
Total liabilities and shareholders’ equity |
$ |
25,689,603 |
$ |
22,875,476 |
|||||||||||
Net interest income |
592,795 |
546,061 |
|||||||||||||
Tax-equivalent adjustment |
1,719 |
1,089 |
|||||||||||||
Net interest earnings |
$ |
594,514 |
$ |
547,150 |
|||||||||||
Interest spread |
3.01% |
3.10% |
|||||||||||||
Net interest margin |
3.18% |
3.29% |
|||||||||||||
Net interest margin tax equivalent (5) |
3.19% |
3.30% |
|||||||||||||
(1) |
For presentation in this table, average balances and the corresponding average yields for investment securities are based upon historical cost, adjusted for amortization of premiums and accretion of discounts. |
|
(2) |
Includes owner occupied commercial real estate loans. |
|
(3) |
Includes non-accrual loans, the effect of which is to reduce the yield earned on loans and leases, and deferred loan fees. |
|
(4) |
Total costs of deposits (including interest bearing and non-interest bearing) were 2.49% and 2.82% for the nine months ended September 30, 2026 and 2025, respectively. |
|
(5) |
Tax-equivalent basis, using an estimated marginal tax rate of 21% for the nine months ended September 30, 2026 and 26% for the nine months ended September 30, 2025, presented to approximate interest income as a taxable asset. |
| CUSTOMERS BANCORP, INC. AND SUBSIDIARIES | ||||||||||||||
PERIOD END LOAN AND LEASE COMPOSITION - UNAUDITED |
||||||||||||||
(Dollars in thousands) |
||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
||||||||||
Loans and leases held for investment |
||||||||||||||
Commercial: |
||||||||||||||
Commercial and industrial: |
||||||||||||||
Corporate banking |
$ |
7,786,058 |
$ |
7,095,862 |
$ |
6,815,740 |
$ |
6,529,609 |
$ |
6,575,844 |
||||
Geographic and other |
1,560,267 |
1,658,693 |
1,586,215 |
1,594,182 |
1,563,949 |
|||||||||
Mortgage finance |
1,470,758 |
1,730,041 |
1,831,408 |
1,700,380 |
1,577,038 |
|||||||||
Multifamily |
2,668,192 |
2,623,964 |
2,510,697 |
2,490,336 |
2,356,590 |
|||||||||
Commercial real estate owner occupied |
1,221,205 |
1,270,575 |
1,279,501 |
1,135,119 |
1,058,741 |
|||||||||
Commercial real estate non-owner occupied |
2,066,642 |
1,888,040 |
1,742,989 |
1,738,821 |
1,582,332 |
|||||||||
Construction |
158,914 |
216,832 |
204,999 |
162,966 |
123,290 |
|||||||||
Total commercial loans and leases |
16,932,036 |
16,484,007 |
15,971,549 |
15,351,413 |
14,837,784 |
|||||||||
Consumer: |
||||||||||||||
Residential |
512,410 |
508,187 |
495,458 |
497,567 |
514,544 |
|||||||||
Manufactured housing |
23,451 |
24,763 |
26,065 |
27,452 |
28,749 |
|||||||||
Installment: |
||||||||||||||
Personal |
645,794 |
647,149 |
599,302 |
581,340 |
570,768 |
|||||||||
Other |
288,137 |
292,583 |
278,890 |
298,642 |
320,405 |
|||||||||
Total installment loans |
933,931 |
939,732 |
878,192 |
879,982 |
891,173 |
|||||||||
Total consumer loans |
1,469,792 |
1,472,682 |
1,399,715 |
1,405,001 |
1,434,466 |
|||||||||
Total loans and leases held for investment |
$ |
18,401,828 |
$ |
17,956,689 |
$ |
17,371,264 |
$ |
16,756,414 |
$ |
16,272,250 |
||||
Loans held for sale |
||||||||||||||
Commercial: |
||||||||||||||
Commercial real estate non-owner occupied |
$ |
— |
$ |
— |
$ |
— |
$ |
— |
$ |
4,700 |
||||
Total commercial loans and leases |
— |
— |
— |
— |
4,700 |
|||||||||
Consumer: |
||||||||||||||
Residential |
3,169 |
2,528 |
1,767 |
1,851 |
2,229 |
|||||||||
Installment: |
||||||||||||||
Personal |
104,626 |
53,101 |
17,056 |
23,357 |
23,728 |
|||||||||
Other |
1,714 |
2,982 |
1,459 |
894 |
240 |
|||||||||
Total installment loans |
106,340 |
56,083 |
18,515 |
24,251 |
23,968 |
|||||||||
Total consumer loans |
109,509 |
58,611 |
20,282 |
26,102 |
26,197 |
|||||||||
Total loans held for sale |
$ |
109,509 |
$ |
58,611 |
$ |
20,282 |
$ |
26,102 |
$ |
30,897 |
||||
Total loans and leases portfolio |
$ |
18,511,337 |
$ |
18,015,300 |
$ |
17,391,546 |
$ |
16,782,516 |
$ |
16,303,147 |
||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
||||||||||||||
PERIOD END DEPOSIT COMPOSITION - UNAUDITED |
||||||||||||||
(Dollars in thousands) |
||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
||||||||||
Demand, non-interest bearing |
$ |
7,209,138 |
$ |
6,913,804 |
$ |
6,739,713 |
$ |
6,303,748 |
$ |
6,380,879 |
||||
Demand, interest bearing |
5,104,467 |
5,107,649 |
5,085,040 |
5,049,151 |
5,050,437 |
|||||||||
Total demand deposits |
12,313,605 |
12,021,453 |
11,824,753 |
11,352,899 |
11,431,316 |
|||||||||
Savings |
1,446,920 |
1,555,932 |
1,742,652 |
1,731,010 |
1,554,533 |
|||||||||
Money market |
5,147,263 |
4,592,851 |
4,604,981 |
4,398,827 |
4,339,371 |
|||||||||
Time deposits |
3,656,045 |
3,562,661 |
3,420,259 |
3,295,968 |
3,079,803 |
|||||||||
Total deposits |
$ |
22,563,833 |
$ |
21,732,897 |
$ |
21,592,645 |
$ |
20,778,704 |
$ |
20,405,023 |
||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
||||||||||||||||||||||||||
ASSET QUALITY - UNAUDITED |
||||||||||||||||||||||||||
(Dollars in thousands) |
||||||||||||||||||||||||||
As of September 30, 2026 |
As of June 30, 2026 |
As of September 30, 2025 |
||||||||||||||||||||||||
Loan type |
Total loans |
Allowance
|
Total
|
Total loans |
Allowance
|
Total
|
Total loans |
Allowance
|
Total
|
|||||||||||||||||
Commercial: |
||||||||||||||||||||||||||
Commercial and industrial |
$ |
9,416,510 |
$ |
39,790 |
0.42 |
% |
$ |
8,829,801 |
$ |
40,158 |
0.45 |
% |
$ |
8,229,853 |
$ |
34,395 |
0.42 |
% |
||||||||
Multifamily |
2,668,192 |
48,328 |
1.81 |
% |
2,623,964 |
29,324 |
1.12 |
% |
2,356,590 |
19,973 |
0.85 |
% |
||||||||||||||
Commercial real estate owner occupied |
1,221,205 |
4,451 |
0.36 |
% |
1,270,575 |
10,226 |
0.80 |
% |
1,058,741 |
10,991 |
1.04 |
% |
||||||||||||||
Commercial real estate non-owner occupied |
2,066,642 |
10,157 |
0.49 |
% |
1,888,040 |
13,503 |
0.72 |
% |
1,582,332 |
19,784 |
1.25 |
% |
||||||||||||||
Construction |
158,914 |
1,633 |
1.03 |
% |
216,832 |
2,803 |
1.29 |
% |
123,290 |
1,978 |
1.60 |
% |
||||||||||||||
Total commercial loans and leases receivable |
15,531,463 |
104,359 |
0.67 |
% |
14,829,212 |
96,014 |
0.65 |
% |
13,350,806 |
87,121 |
0.65 |
% |
||||||||||||||
Consumer: |
||||||||||||||||||||||||||
Residential |
512,410 |
6,749 |
1.32 |
% |
508,187 |
6,251 |
1.23 |
% |
514,544 |
6,345 |
1.23 |
% |
||||||||||||||
Manufactured housing |
23,451 |
2,493 |
10.63 |
% |
24,763 |
3,244 |
13.10 |
% |
28,749 |
3,508 |
12.20 |
% |
||||||||||||||
Installment |
855,124 |
58,524 |
6.84 |
% |
854,906 |
58,597 |
6.85 |
% |
779,537 |
54,835 |
7.03 |
% |
||||||||||||||
Total consumer loans receivable |
1,390,985 |
67,766 |
4.87 |
% |
1,387,856 |
68,092 |
4.91 |
% |
1,322,830 |
64,688 |
4.89 |
% |
||||||||||||||
Loans and leases receivable held for investment |
16,922,448 |
172,125 |
1.02 |
% |
16,217,068 |
164,106 |
1.01 |
% |
14,673,636 |
151,809 |
1.03 |
% |
||||||||||||||
Loans receivable, mortgage finance, at fair value |
1,400,573 |
— |
— |
% |
1,654,795 |
— |
— |
% |
1,486,978 |
— |
— |
% |
||||||||||||||
Loans receivable, installment, at fair value |
78,807 |
— |
— |
% |
84,826 |
— |
— |
% |
111,636 |
— |
— |
% |
||||||||||||||
Loans held for sale |
109,509 |
— |
— |
% |
58,611 |
— |
— |
% |
30,897 |
— |
— |
% |
||||||||||||||
Total loans and leases portfolio |
$ |
18,511,337 |
$ |
172,125 |
0.93 |
% |
$ |
18,015,300 |
$ |
164,106 |
0.91 |
% |
$ |
16,303,147 |
$ |
151,809 |
0.93 |
% |
||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
||||||||||||||||||||||||||
ASSET QUALITY - UNAUDITED (CONTINUED) |
||||||||||||||||||||||||||
(Dollars in thousands) |
||||||||||||||||||||||||||
As of September 30, 2026 |
As of June 30, 2026 |
As of September 30, 2025 |
||||||||||||||||||||||||
Loan type |
Non accrual
|
Total NPLs
|
Total
|
Non accrual
|
Total NPLs
|
Total
|
Non accrual
|
Total NPLs
|
Total
|
|||||||||||||||||
Commercial: |
||||||||||||||||||||||||||
Commercial and industrial |
$ |
25,507 |
0.27 |
% |
156.00 |
% |
$ |
22,828 |
0.26 |
% |
175.92 |
% |
$ |
4,430 |
0.05 |
% |
776.41 |
% |
||||||||
Multifamily |
9,360 |
0.35 |
% |
516.32 |
% |
14,205 |
0.54 |
% |
206.43 |
% |
— |
— |
% |
— |
% |
|||||||||||
Commercial real estate owner occupied |
5,550 |
0.45 |
% |
80.20 |
% |
5,692 |
0.45 |
% |
179.66 |
% |
3,932 |
0.37 |
% |
279.53 |
% |
|||||||||||
Commercial real estate non-owner occupied |
135 |
0.01 |
% |
7523.70 |
% |
135 |
0.01 |
% |
10002.22 |
% |
— |
— |
% |
— |
% |
|||||||||||
Construction |
— |
— |
% |
— |
% |
— |
— |
% |
— |
% |
— |
— |
% |
— |
% |
|||||||||||
Total commercial loans and leases receivable |
40,552 |
0.26 |
% |
257.35 |
% |
42,860 |
0.29 |
% |
224.02 |
% |
8,362 |
0.06 |
% |
1041.87 |
% |
|||||||||||
Consumer: |
||||||||||||||||||||||||||
Residential |
6,178 |
1.21 |
% |
109.24 |
% |
6,740 |
1.33 |
% |
92.74 |
% |
7,631 |
1.48 |
% |
83.15 |
% |
|||||||||||
Manufactured housing |
1,015 |
4.33 |
% |
245.62 |
% |
1,047 |
4.23 |
% |
309.84 |
% |
1,315 |
4.57 |
% |
266.77 |
% |
|||||||||||
Installment |
4,218 |
0.49 |
% |
1387.48 |
% |
4,075 |
0.48 |
% |
1437.96 |
% |
4,225 |
0.54 |
% |
1297.87 |
% |
|||||||||||
Total consumer loans receivable |
11,411 |
0.82 |
% |
593.87 |
% |
11,862 |
0.85 |
% |
574.03 |
% |
13,171 |
1.00 |
% |
491.14 |
% |
|||||||||||
Loans and leases receivable |
51,963 |
0.31 |
% |
331.25 |
% |
54,722 |
0.34 |
% |
299.89 |
% |
21,533 |
0.15 |
% |
705.01 |
% |
|||||||||||
Loans receivable, mortgage finance, at fair value |
— |
— |
% |
— |
% |
— |
— |
% |
— |
% |
— |
— |
% |
— |
% |
|||||||||||
Loans receivable, installment, at fair value |
1,326 |
1.68 |
% |
— |
% |
1,231 |
1.45 |
% |
— |
% |
1,872 |
1.68 |
% |
— |
% |
|||||||||||
Loans held for sale |
150 |
0.14 |
% |
— |
% |
69 |
0.12 |
% |
— |
% |
5,016 |
16.23 |
% |
— |
% |
|||||||||||
Total loans and leases portfolio |
$ |
53,439 |
0.29 |
% |
322.10 |
% |
$ |
56,022 |
0.31 |
% |
292.93 |
% |
$ |
28,421 |
0.17 |
% |
534.14 |
% |
||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
||||||||||||||||||||||||||
NET CHARGE-OFFS/(RECOVERIES) - UNAUDITED |
||||||||||||||||||||||||||
(Dollars in thousands) |
||||||||||||||||||||||||||
Q3 |
Q2 |
Q1 |
Q4 |
Q3 |
Nine Months Ended
|
|||||||||||||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
2026 |
2025 |
||||||||||||||||||||
Loan type |
||||||||||||||||||||||||||
Commercial and industrial |
$ |
5,584 |
$ |
2,648 |
$ |
2,576 |
$ |
1,620 |
$ |
2,180 |
$ |
10,808 |
$ |
9,282 |
||||||||||||
Multifamily |
(251 |
) |
4,880 |
2,630 |
4,612 |
— |
7,259 |
3,834 |
||||||||||||||||||
Commercial real estate owner occupied |
(175 |
) |
(332 |
) |
(5 |
) |
(40 |
) |
335 |
(512 |
) |
762 |
||||||||||||||
Commercial real estate non-owner occupied |
— |
— |
— |
(225 |
) |
3,073 |
— |
3,073 |
||||||||||||||||||
Construction |
— |
— |
— |
— |
— |
— |
(6 |
) |
||||||||||||||||||
Residential |
— |
20 |
— |
16 |
25 |
20 |
21 |
|||||||||||||||||||
Installment |
7,508 |
7,363 |
8,054 |
7,766 |
9,758 |
22,925 |
28,664 |
|||||||||||||||||||
Total net charge-offs (recoveries) from loans held for investment |
$ |
12,666 |
$ |
14,579 |
$ |
13,255 |
$ |
13,749 |
$ |
15,371 |
$ |
40,500 |
$ |
45,630 |
||||||||||||
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
||||||||||||||
LOANS AND LEASES RISK RATINGS - UNAUDITED |
||||||||||||||
(Dollars in thousands) |
||||||||||||||
September 30, |
June 30, |
March 31, |
December 31, |
September 30, |
||||||||||
2026 |
2026 |
2026 |
2025 |
2025 |
||||||||||
Loans and leases (1) risk ratings: |
||||||||||||||
Commercial loans and leases |
||||||||||||||
Pass |
$ |
15,124,187 |
$ |
14,434,943 |
$ |
13,803,943 |
$ |
13,316,507 |
$ |
12,927,467 |
||||
Special Mention |
134,422 |
132,704 |
159,714 |
216,462 |
187,794 |
|||||||||
Substandard |
268,813 |
257,517 |
245,028 |
200,779 |
230,079 |
|||||||||
Total commercial loans and leases |
15,527,422 |
14,825,164 |
14,208,685 |
13,733,748 |
13,345,340 |
|||||||||
Consumer loans |
||||||||||||||
Performing |
1,379,482 |
1,375,438 |
1,294,311 |
1,287,408 |
1,308,987 |
|||||||||
Non-performing |
11,503 |
12,418 |
12,318 |
15,516 |
13,843 |
|||||||||
Total consumer loans |
1,390,985 |
1,387,856 |
1,306,629 |
1,302,924 |
1,322,830 |
|||||||||
Loans and leases receivable (1) |
$ |
16,918,407 |
$ |
16,213,020 |
$ |
15,515,314 |
$ |
15,036,672 |
$ |
14,668,170 |
||||
(1) |
Risk ratings are assigned to loans and leases held for investment, and excludes loans held for sale, loans receivable, mortgage finance, at fair value, loans receivable, installment, at fair value and eligible PPP loans that are fully guaranteed by the Small Business Administration. |
CUSTOMERS BANCORP, INC. AND SUBSIDIARIES |
RECONCILIATION OF GAAP TO NON-GAAP MEASURES - UNAUDITED |
We believe that the non-GAAP measurements disclosed within this document are useful for investors, regulators, management and others to evaluate our core results of operations and financial condition relative to other financial institutions. These non-GAAP financial measures are frequently used by securities analysts, investors, and other interested parties in the evaluation of companies in our industry. These non-GAAP financial measures exclude from corresponding GAAP measures the impact of certain elements that we do not believe are representative of our ongoing financial results, which we believe enhance an overall understanding of our performance and increases comparability of our period to period results. Investors should consider our performance and financial condition as reported under GAAP and all other relevant information when assessing our performance or financial condition. The non-GAAP measures presented are not necessarily comparable to non-GAAP measures that may be presented by other financial institutions. Although non-GAAP financial measures are frequently used in the evaluation of a company, they have limitations as analytical tools and should not be considered in isolation or as a substitute for analysis of our results of operations or financial condition as reported under GAAP. Starting in Q3 2025, certain adjustments to GAAP measures were no longer included as our intention going forward is to limit these adjustments to those items of greatest significance. |
The following tables present reconciliations of GAAP to non-GAAP measures disclosed within this document. |
||||||||||||||||||||||||||||||||||||||||||
|
Core Earnings - Customers Bancorp |
Nine Months Ended
|
|||||||||||||||||||||||||||||||||||||||||
Q3 2026 |
Q2 2026 |
Q1 2026 |
Q4 2025 |
Q3 2025 |
2026 |
2025 |
||||||||||||||||||||||||||||||||||||
(Dollars in thousands, except per share data) |
USD |
Per
|
USD |
Per
|
USD |
Per
|
USD |
Per
|
USD |
Per
|
USD |
Per
|
USD |
Per
|
||||||||||||||||||||||||||||
GAAP net income to common shareholders |
$ |
78,383 |
$ |
2.25 |
$ |
71,560 |
$ |
2.05 |
$ |
69,653 |
$ |
1.97 |
$ |
70,088 |
$ |
1.98 |
$ |
73,726 |
$ |
2.20 |
$ |
219,596 |
$ |
6.28 |
$ |
139,095 |
$ |
4.24 |
||||||||||||||
Reconciling items (after tax): |
||||||||||||||||||||||||||||||||||||||||||
Impairment loss on debt securities |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
39,875 |
1.22 |
||||||||||||||||||||||||||||
(Gains) losses on investment securities |
620 |
0.02 |
(103 |
) |
0.00 |
(208 |
) |
(0.01 |
) |
(36 |
) |
0.00 |
(253 |
) |
(0.01 |
) |
309 |
0.01 |
1,011 |
0.03 |
||||||||||||||||||||||
Derivative credit valuation adjustment |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
210 |
0.01 |
||||||||||||||||||||||||||||
Loss on redemption of preferred stock |
— |
— |
— |
— |
— |
— |
2,799 |
0.08 |
— |
— |
— |
— |
1,908 |
0.06 |
||||||||||||||||||||||||||||
Unrealized (gain) loss on loans held for sale |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
295 |
0.01 |
||||||||||||||||||||||||||||
Loan program termination fees |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
— |
(772 |
) |
(0.02 |
) |
||||||||||||||||||||||||||
Core earnings |
$ |
79,003 |
$ |
2.27 |
$ |
71,457 |
$ |
2.05 |
$ |
69,445 |
$ |
1.97 |
$ |
72,851 |
$ |
2.06 |
$ |
73,473 |
$ |
2.20 |
$ |
219,905 |
$ |
6.28 |
$ |
181,622 |
$ |
5.54 |
||||||||||||||
| Core Return on Average Assets - Customers Bancorp |
Nine Months Ended
|
||||||||||||||||||||||||||
(Dollars in thousands, except per share data) |
Q3 2026 |
Q2 2026 |
Q1 2026 |
Q4 2025 |
Q3 2025 |
2026 |
2025 |
||||||||||||||||||||
GAAP net income |
$ |
78,383 |
$ |
71,560 |
$ |
69,653 |
$ |
74,492 |
$ |
75,745 |
$ |
219,596 |
$ |
149,596 |
|||||||||||||
Impairment loss on debt securities |
— |
— |
— |
— |
— |
— |
39,875 |
||||||||||||||||||||
(Gains) losses on investment securities |
620 |
(103 |
) |
(208 |
) |
(36 |
) |
(253 |
) |
309 |
1,011 |
||||||||||||||||
Derivative credit valuation adjustment |
— |
— |
— |
— |
— |
— |
210 |
||||||||||||||||||||
Unrealized (gain) loss on loans held for sale |
— |
— |
— |
— |
— |
— |
295 |
||||||||||||||||||||
Loan program termination fees |
— |
— |
— |
— |
— |
— |
(772 |
) |
|||||||||||||||||||
Core earnings |
$ |
79,003 |
$ |
71,457 |
$ |
69,445 |
$ |
74,456 |
$ |
75,492 |
$ |
219,905 |
$ |
190,215 |
|||||||||||||
Average total assets |
$ |
26,760,172 |
$ |
25,367,399 |
$ |
24,920,977 |
$ |
24,721,373 |
$ |
23,930,723 |
$ |
25,689,603 |
$ |
22,875,476 |
|||||||||||||
Core return on average assets |
1.17 |
% |
1.13 |
% |
1.13 |
% |
1.19 |
% |
1.25 |
% |
1.14 |
% |
1.11 |
% |
|||||||||||||
| Core Return on Average Common Equity - Customers Bancorp |
Nine Months Ended
|
||||||||||||||||||||||||||
(Dollars in thousands, except per share data) |
Q3 2026 |
Q2 2026 |
Q1 2026 |
Q4 2025 |
Q3 2025 |
2026 |
2025 |
||||||||||||||||||||
GAAP net income to common shareholders |
$ |
78,383 |
$ |
71,560 |
$ |
69,653 |
$ |
70,088 |
$ |
73,726 |
$ |
219,596 |
$ |
139,095 |
|||||||||||||
Reconciling items (after tax): |
|||||||||||||||||||||||||||
Impairment loss on debt securities |
— |
— |
— |
— |
— |
— |
39,875 |
||||||||||||||||||||
(Gains) losses on investment securities |
620 |
(103 |
) |
(208 |
) |
(36 |
) |
(253 |
) |
309 |
1,011 |
||||||||||||||||
Derivative credit valuation adjustment |
— |
— |
— |
— |
— |
— |
210 |
||||||||||||||||||||
Loss on redemption of preferred stock |
— |
— |
— |
2,799 |
— |
— |
1,908 |
||||||||||||||||||||
Unrealized (gain) loss on loans held for sale |
— |
— |
— |
— |
— |
— |
295 |
||||||||||||||||||||
Loan program termination fees |
— |
— |
— |
— |
— |
— |
(772 |
) |
|||||||||||||||||||
Core earnings |
$ |
79,003 |
$ |
71,457 |
$ |
69,445 |
$ |
72,851 |
$ |
73,473 |
$ |
219,905 |
$ |
181,622 |
|||||||||||||
Average total common shareholders’ equity |
$ |
2,228,293 |
$ |
2,171,497 |
$ |
2,146,518 |
$ |
2,093,510 |
$ |
1,878,115 |
$ |
2,182,437 |
$ |
1,787,227 |
|||||||||||||
Core return on average common equity |
14.1 |
% |
13.2 |
% |
13.1 |
% |
13.8 |
% |
15.5 |
% |
13.5 |
% |
13.6 |
% |
|||||||||||||
| Core Efficiency Ratio - Customers Bancorp |
Nine Months Ended
|
||||||||||||||||||||||||||
(Dollars in thousands, except per share data) |
Q3 2026 |
Q2 2026 |
Q1 2026 |
Q4 2025 |
Q3 2025 |
2026 |
2025 |
||||||||||||||||||||
GAAP net interest income |
$ |
208,078 |
$ |
193,366 |
$ |
191,351 |
$ |
204,428 |
$ |
201,912 |
$ |
592,795 |
$ |
546,061 |
|||||||||||||
GAAP non-interest income (loss) |
$ |
31,366 |
$ |
34,043 |
$ |
34,316 |
$ |
32,516 |
$ |
30,191 |
$ |
99,725 |
$ |
35,307 |
|||||||||||||
(Gains) losses on investment securities |
796 |
(130 |
) |
(269 |
) |
(47 |
) |
(334 |
) |
397 |
1,303 |
||||||||||||||||
Derivative credit valuation adjustment |
— |
— |
— |
— |
— |
— |
270 |
||||||||||||||||||||
Unrealized (gain) loss on loans held for sale |
— |
— |
— |
— |
— |
— |
378 |
||||||||||||||||||||
Impairment loss on debt securities |
— |
— |
— |
— |
— |
— |
51,319 |
||||||||||||||||||||
Loan program termination fees |
— |
— |
— |
— |
— |
— |
(1,000 |
) |
|||||||||||||||||||
Core non-interest income |
32,162 |
33,913 |
34,047 |
32,469 |
29,857 |
100,122 |
87,577 |
||||||||||||||||||||
Core revenue |
$ |
240,240 |
$ |
227,279 |
$ |
225,398 |
$ |
236,897 |
$ |
231,769 |
$ |
692,917 |
$ |
633,638 |
|||||||||||||
GAAP non-interest expense |
$ |
113,396 |
$ |
114,891 |
$ |
111,988 |
$ |
117,309 |
$ |
105,217 |
$ |
340,275 |
$ |
314,614 |
|||||||||||||
Core non-interest expense |
$ |
113,396 |
$ |
114,891 |
$ |
111,988 |
$ |
117,309 |
$ |
105,217 |
$ |
340,275 |
$ |
314,614 |
|||||||||||||
Core efficiency ratio (1) |
47.2 |
% |
50.6 |
% |
49.7 |
% |
49.5 |
% |
45.4 |
% |
49.1 |
% |
49.7 |
% |
|||||||||||||
(1) |
Core efficiency ratio calculated as core non-interest expense divided by core revenue. |
| Tangible Common Equity to Tangible Assets - Customers Bancorp | |||||||||||||||||||
(Dollars in thousands, except per share data) |
Q3 2026 |
Q2 2026 |
Q1 2026 |
Q4 2025 |
Q3 2025 |
||||||||||||||
GAAP total shareholders’ equity |
$ |
2,192,700 |
$ |
2,205,692 |
$ |
2,144,300 |
$ |
2,115,517 |
$ |
2,126,059 |
|||||||||
Reconciling items: |
|||||||||||||||||||
Preferred stock |
— |
— |
— |
— |
(82,201 |
) |
|||||||||||||
Goodwill and other intangibles |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
|||||||||
Tangible common equity |
$ |
2,189,071 |
$ |
2,202,063 |
$ |
2,140,671 |
$ |
2,111,888 |
$ |
2,040,229 |
|||||||||
GAAP total assets |
$ |
27,411,648 |
$ |
26,520,789 |
$ |
25,880,767 |
$ |
24,895,868 |
$ |
24,260,163 |
|||||||||
Reconciling items: |
|||||||||||||||||||
Goodwill and other intangibles |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
|||||||||
Tangible assets |
$ |
27,408,019 |
$ |
26,517,160 |
$ |
25,877,138 |
$ |
24,892,239 |
$ |
24,256,534 |
|||||||||
Tangible common equity to tangible assets |
8.0 |
% |
8.3 |
% |
8.3 |
% |
8.5 |
% |
8.4 |
% |
|||||||||
| Tangible Book Value per Common Share - Customers Bancorp | |||||||||||||||||||
(Dollars in thousands, except share and per share data) |
Q3 2026 |
Q2 2026 |
Q1 2026 |
Q4 2025 |
Q3 2025 |
||||||||||||||
GAAP total shareholders’ equity |
$ |
2,192,700 |
$ |
2,205,692 |
$ |
2,144,300 |
$ |
2,115,517 |
$ |
2,126,059 |
|||||||||
Reconciling Items: |
|||||||||||||||||||
Preferred stock |
— |
— |
— |
— |
(82,201 |
) |
|||||||||||||
Goodwill and other intangibles |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
(3,629 |
) |
|||||||||
Tangible common equity |
$ |
2,189,071 |
$ |
2,202,063 |
$ |
2,140,671 |
$ |
2,111,888 |
$ |
2,040,229 |
|||||||||
Common shares outstanding |
33,340,010 |
33,772,598 |
33,692,632 |
34,191,223 |
34,163,506 |
||||||||||||||
Tangible book value per common share |
$ |
65.66 |
$ |
65.20 |
$ |
63.54 |
$ |
61.77 |
$ |
59.72 |
|||||||||