City Holding Q3 earnings hit record $2.43 per share

• City Holding Company reported third-quarter 2026 net income of $34.6 million and record diluted earnings of $2.43 per share, compared with $33.3 million and $2.35 per share in the preceding quarter.
• Net interest income increased 3% sequentially to $62.6 million, while net interest margin expanded to 4.04% and total loans rose 1.1% to $4.55 billion.
• City Holding increased its quarterly cash dividend by 15% to $1.00 per share, payable October 30, 2026, while maintaining a Common Equity Tier 1 capital ratio of 15.5%.

City Holding Company (NASDAQ:CHCO) reported third-quarter 2026 net income of $34.6 million and record diluted earnings of $2.43 per share, compared with $33.3 million and $2.35 per share in the second quarter.

Net interest income increased $1.8 million, or 3%, sequentially to $62.6 million, while net interest margin expanded seven basis points to 4.04%, supported by higher loan yields and average loan balances.

The bank holding company reported a return on average assets of 2.03% and return on tangible equity of 20.9%, compared with 1.98% and 20.7%, respectively, in the preceding quarter.

Noninterest income rose approximately 4.4% year over year to $21.4 million, while noninterest expenses increased to $40.9 million from $38.3 million, primarily reflecting higher compensation, benefits and other operating costs.

City Holding increased its quarterly dividend by 15% to $1 per share, payable October 30, 2026, to shareholders of record on October 15, reflecting management's confidence in its capital and liquidity position.

Total loans increased $48.4 million, or 1.1%, sequentially to $4.55 billion, while nonperforming assets remained at 0.24% of total loans and other real estate owned despite increasing slightly to $10.9 million.

The company's balance sheet totaled approximately $6.8 billion, with tangible equity of $625 million, a Common Equity Tier 1 capital ratio of 15.5% and approximately $1.8 billion in additional borrowing capacity available to subsidiary City National Bank.