Peoples Financial earnings rose to $1.116 million in the third quarter of 2026 from $643,000 a year earlier, as net interest income increased. The company also raised its regular semiannual dividend to $0.19 from $0.18 per common share.

Key Takeaways

  • Third-quarter earnings per share rose to $0.24 from $0.14.
  • The higher dividend is payable on November 13 to shareholders of record on November 10, 2026.
  • Deposits increased during the first nine months of 2026, while shareholders’ equity declined.

Peoples Financial earnings and interest income

Peoples Financial, the parent of The Peoples Bank, trades on the OTCQX Best Market under the symbol PFBX. It announced its third-quarter results on October 28, 2026.

The company attributed the increase in quarterly net income primarily to net interest income, which rose to $5.136 million from $4.576 million in the third quarter of 2025. Interest income increased, primarily because of higher income on loans, while interest expense fell.

Peoples Financial said lower rates and balances on Federal Home Loan Bank borrowings and reduced interest expense on deposit accounts contributed to the decline in funding costs. It also recorded a $169,000 income tax benefit for the quarter, compared with a $143,000 tax expense a year earlier.

Nine-month profit and balance sheet

For the first nine months of 2026, net income rose to $3.459 million from $3.195 million in the same period of 2025. Earnings per share increased to $0.75 from $0.69. The company said a $398,000 discrete tax benefit related to the completion of prior-year tax returns was the primary reason for a decline in nine-month income tax expense.

Deposits stood at $646.151 million on September 30, up from $604.429 million at the end of 2025, mainly because of public fund deposits added during the third quarter.

Shareholders’ equity fell to $98.242 million from $100.667 million at the end of 2025. Peoples Financial attributed the decline to increased unrealized securities losses and dividend payments, partly offset by earnings. It said the losses were not related to credit deterioration and that it did not foresee selling affected securities in the near future.

Dividend payment

The declared $0.19 dividend represents a 5.6% increase from the previous regular semiannual payment. The company has set November 10, 2026, as the record date and November 13 as the payment date.

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