VersaBank (NASDAQ:VBNK) kicked off fiscal 2026 with record-breaking performance, as the digital B2B lender’s entry into the U.S. market began to yield significant dividends, driving a 31% surge in total revenue.
For the first quarter ended January 31, 2026, the London, Ontario-based bank reported revenue of $36.5 million, up from $27.8 million in the prior year.
The bottom line saw even sharper growth, with net income rising 36% to $11.1 million.
On an adjusted basis, which accounts for one-time costs associated with its recent U.S. bank acquisition and corporate realignment, net income jumped 49% to $12.2 million.
The primary catalyst for this growth is the rapid scaling of the U.S. Structured Receivable Program (SRP).
After launching the program in late 2024 to serve the multi-trillion-dollar U.S. point-of-sale financing market, VersaBank saw U.S. SRP credit assets climb to $472 million.
While the bank’s asset base expanded to a record $6.15 billion, its capital ratios saw a slight decline.
The Common Equity Tier 1 (CET1) ratio landed at 12.82%, compared to 14.61% a year ago, reflecting the deployment of capital into higher-yielding U.S. credit assets.
Looking forward, VersaBank reiterated its ambitious target to grow U.S. SRP fundings by at least $1 billion in fiscal 2026.
The bank also continues to move toward a September 2026 deadline to divest its cybersecurity subsidiary, DRT Cyber, as required by the U.S. Federal Reserve.
Management confirmed that the sale process is active, with approximately 10 interested parties currently engaged in discussions.