Private Bancorp of America (PBAM) Q3 2025 earnings summary

Executive summary

• Net income for Q3 2025 was $9.7 million, up 2.6% year-over-year but down from $10.4 million in the prior quarter, reflecting a $1.3 million reversal of interest income and a $1.0 million increase in reserves for nonaccrual loans.

• Diluted EPS was $1.65, compared to $1.77 in Q2 2025 and $1.63 in Q3 2024.

• Core deposits grew 5.8% sequentially and 17.0% year-over-year, while brokered deposits declined 65.7% year-over-year.

• Management remains focused on disciplined lending and balance sheet management amid slow loan growth and increased non-bank competition.

Financial highlights

• Net interest income for Q3 2025 was $29.3 million, down 2.6% sequentially but up 14.1% year-over-year.

• Net interest margin was 4.65%, down from 4.94% in Q2 2025 but up from 4.44% in Q3 2024.

• Noninterest income rose to $2.2 million, driven by higher SBA loan sales and gains.

• Noninterest expense increased to $15.9 million, mainly due to higher compensation and benefits from hiring.

• Efficiency ratio was 50.49%, up from 49.27% in Q2 2025.

• Total assets reached $2.58 billion, up $121.6 million from Q2 2025.

Outlook and guidance

• Management expects strong deposit pipelines and continued focus on fundamentals, with optimism for Q4 2025.

• Economic and geopolitical uncertainty is expected to temper business investment and loan demand.