Customers Bancorp Lifts Quarterly Profit To $2.25 A Share And Narrows Its Interest Income Outlook
The Pennsylvania bank posted record deposits and loans and a sharply better efficiency ratio, then tightened its 2026 net interest income range.
Customers Bancorp, the holding company for Customers Bank, earned $78.4 million, or $2.25 per diluted share, available to common shareholders in the third quarter, up from $71.6 million, or $2.05, in the second quarter. The company said Thursday in an 8-K that it also narrowed its full-year net interest income forecast to $805 million to $810 million.
Records in deposits and loans
Total deposits rose $831 million, or 3.8%, from the second quarter to a period-end record of $22.6 billion, up 10.6% from a year earlier. Total loans climbed $496 million, or 2.8%, to a record $18.5 billion, up 13.5% from a year earlier.
Non-interest-bearing deposits reached a record $7.2 billion, or 31.9% of the total. Net interest income, the gap between what the bank earns on loans and securities and what it pays on deposits, rose 7.6% from the second quarter to $208 million.
The efficiency ratio, which measures expenses against revenue, improved to 47.2% from 50.6%, a decline of about 340 basis points, or 3.4 percentage points. Net interest margin was 3.19%, against 3.17% in the second quarter.
A tighter forecast for 2026
The new outlook calls for loan growth of 12% or more, deposit growth of 9% or more, and non-interest expense of $460 million to $465 million. It puts the tax rate at 22% to 23%.
The net interest income range of $805 million to $810 million replaces a prior $800 million to $830 million. The prior expense range was $440 million to $460 million, so the new one sits above it.
CFO Mark McCollom said the September run rate for margin was about 3.25%, which "gives us confidence for additional expansion in Q4 2026." He said the third-quarter margin was held back by extra cash, a timing gap between bringing in deposits and funding loans.
The bank and its stock
Customers Bancorp runs Customers Bank, which lends to private businesses, large corporate clients, nonprofits and consumers, and offers payments and treasury services to fintech companies. CEO Sam Sidhu said cumulative volume on its cubiX payments platform has passed $5.6 trillion since inception.
Sidhu also pointed to AI tools, saying revenue per employee is up 13% and pre-tax profit per employee up 34%, annualized as of September 30. The bank repurchased 492,178 shares in the quarter.
CUBI shares closed Thursday at $78.73, up 3.17%, before the results were filed. Management hosts a webcast Friday at 9:00 a.m. EDT.
The Friday webcast, with Sidhu and McCollom, is the first chance to hear how management gets from a 3.19% margin to the 3.25% September run rate.
Sources
- 8-K Filing — Customers Bancorp, Inc. (CUBI) — SEC EDGAR
- Exhibit q326pressrelease.htm — Customers Bancorp, Inc. 8-K exhibit — SEC EDGAR
- Exhibit q326investorpresentation.htm — Customers Bancorp, Inc. 8-K exhibit — SEC EDGAR
- Gear Up for Customers Bancorp (CUBI) Q3 Earnings: Wall Street Estimates for Key Metrics — Yahoo Finance
- Customers Bancorp, Inc. Hosts Third Quarter 2026 Earnings Webcast Friday, October 23, 2026 – Company Announcement - FT.com — Financial Times
