Burke & Herbert Financial Services (BHRB) Q1 2026 earnings summary

Executive summary

• Net income for Q1 2026 was $27.1 million, with adjusted operating net income at $28.2 million and diluted EPS of $1.79; adjusted diluted EPS was $1.87.

• The merger with LINKBANCORP/LINKBANK received all regulatory approvals and was completed on May 1, 2026, creating an $11B asset financial holding company with over 100 locations and 1,000+ employees across six states.

• Focused on relationship-driven community banking, top-quartile returns, and long-term value creation.

• Board declared a $0.55 per share regular cash dividend, payable June 1, 2026.

Financial highlights

• Net interest income for Q1 2026 was $71.8 million, with total revenue (non-GAAP) at $84.7 million.

• Total assets reached $7.93 billion, net loans were $5.4 billion, and total deposits were $6.33 billion as of March 31, 2026.

• Non-interest income rose to $12.9 million, driven by higher fiduciary and wealth management fees and securities gains.

• Non-interest expense increased to $51.4 million, mainly due to higher salaries, benefits, and merger-related costs.

• Tangible book value per share grew 23.2% from Q4 2024 to $51.83.

Outlook and guidance

• Management expects the LINKBANCORP merger to provide benefits for customers, employees, and shareholders, with a focus on prudent liquidity, capital management, and integration.

• Strategic focus on expanding markets, growing fee revenue, and maintaining a moderate risk profile through the economic cycle.

• No material changes in risk factors were reported for the quarter.