Bismarck – October 30, 2026 -- BNCCORP, INC. (OTCQX: BNCC) reported third-quarter 2026 net income of $3.0 million, or $0.85 per diluted share, up 14.7% from $2.6 million, or $0.74 per share, a year earlier. Excluding ongoing merger charges tied to its pending acquisition by OppFi Inc., net income reached $3.3 million, or $0.94 per diluted share.
BNCCORP lifts return on assets to 1.12% and return on equity to 10.15%
Return on average assets rose to 1.12% from 1.05%, and return on average equity improved to 10.15% from 9.60%. Adjusted for merger charges, the figures were 1.24% and 11.23%. Tangible book value per common share increased to $31.68 from $30.26 at December 31, 2025 and $29.44 a year earlier. The tangible common equity ratio climbed to 10.30% from 9.68% at year-end.
Net interest income climbs 10.7% to $9.8 million on higher loan yields
Net interest income grew $945 thousand, and net interest margin widened to 3.83% from 3.73%. Yield on loans held for investment improved to 6.28% from 6.11%. Interest income rose 5.9% to $14.1 million, helped by a $4.1 million increase in average loan balances. Average yield on interest-earning assets slipped to 5.51% from 5.62%.
Interest expense fell $162 thousand to $4.3 million. The cost of core deposits dropped to 1.75% from 1.94%, and the cost of interest-bearing liabilities declined to 2.24% from 2.49%. Average deposits were $60.7 million higher year over year.
Loans held for investment grow $14.7 million in the quarter to $744.9 million
Loans held for investment rose 2.0% from $730.2 million at June 30, 2026, despite elevated payoffs and prepayments. Deposits increased $37.7 million during the quarter. The loans-to-deposits ratio rose to 78.4% from 76.0% at December 31, 2025.
The allowance for credit losses stood at 1.16% of loans held for investment, down from 1.18% at June 30, 2026 and 1.40% at year-end 2025.
Merger costs push non-interest expense up 11.2% as wealth revenue gains 21.2%
Non-interest expense increased $743 thousand, driven by a $495 thousand rise in professional services, including $461 thousand linked to the OppFi transaction announced April 29, 2026. Data processing fees rose $101 thousand on inflationary pressure on core banking services, card processing charges and higher IT subscriptions. Occupancy expense added $52 thousand.
Non-interest income reached $1.6 million versus $1.4 million. Wealth management revenue grew $113 thousand on new assets under administration and higher market values, while bank charges and service fees fell $16 thousand. Income tax expense was $902 thousand at a 23.0% effective rate, versus $809 thousand at 23.5%.
Nine-month net income reaches $7.1 million; adjusted figure hits $8.9 million
For the first nine months, net income rose to $7.1 million, or $2.00 per diluted share, from $6.6 million, or $1.86. Excluding merger expenses, it was $8.9 million, or $2.52 per share. Net interest income increased 13.2% to $28.5 million, with net interest margin at 3.75% versus 3.66%. Interest income rose 9.8% to $41.6 million on a $20.4 million increase in average loans held for investment.
Nine-month interest expense increased $391 thousand to $13.1 million. Non-interest expense rose $2.9 million, or 14.2%, led by a $2.7 million increase in professional services, primarily OppFi-related. CEO Daniel J. Collins said the combination is proceeding through shareholder and regulatory processes.