QCR earnings exceeded analyst expectations in the third quarter of 2026, with diluted earnings per share of $2.21 against an estimate of $2.09. Net income was $36.4 million, little changed from the preceding quarter and slightly below a year earlier, while net interest income and lending margins improved.
Key Takeaways
- Diluted EPS rose from $2.19 in the second quarter and $2.16 a year earlier.
- Tax-equivalent net interest margin widened three basis points to 3.58%.
- Management expects fourth-quarter loan growth of 10%–15% on an annualized basis.
Table of Contents
- QCR earnings rise per share despite mixed profit comparisons
- Wider lending margin supports interest income
- Loan growth outlook contrasts with lower deposits
- Conclusion
QCR earnings rise per share despite mixed profit comparisons
QCR Holdings’ October 20, 2026 earnings filing confirms that the company announced results for the quarter ended September 30. The Moline, Illinois-based multibank holding company serves commercial and consumer customers across the Midwest.
Third-quarter net income increased modestly from $36.3 million in the second quarter but declined from $36.7 million in the third quarter of 2025. Diluted EPS nevertheless increased against both periods, so the improvement in per-share earnings did not represent equivalent growth in total profit.
The $2.21 diluted EPS result exceeded the analyst estimate by $0.12.
| Item | Details |
|---|---|
| Total loans at September 30 | $7.2 billion |
| Third-quarter capital markets revenue | $16.9 million |
| Third-quarter return on average assets | 1.52% |
Wider lending margin supports interest income
Net interest income reached $68.7 million, compared with $67.9 million in the preceding quarter. QCR reported that increase as 5% on an annualized basis.
Net interest margin, measured on a tax-equivalent yield basis, rose to 3.58% from 3.55%. The wider margin accompanied higher interest income, while capital markets revenue provided another source of earnings and increased 10% from the second quarter.
Loan growth outlook contrasts with lower deposits
Loans grew at an 11% annualized rate when excluding the runoff of the m2 Equipment Finance portfolio. That exclusion matters: the growth measure does not describe the change in the entire loan book.
Total deposits stood at $7.2 billion on September 30, down from the previous quarter. The combination of expanding lending and declining deposits makes funding trends an important companion to the loan-growth figures.
Management’s outlook calls for annualized loan growth of 10%–15% in the fourth quarter of 2026. That range is guidance rather than a completed result.
Conclusion
The third-quarter results combined an EPS beat and a wider lending margin with nearly flat total profit. The next comparison is whether fourth-quarter lending meets management’s growth range and how deposits develop alongside that expansion.
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