Independent Bank Corp. (NASDAQ:IBCP) reported fourth-quarter results that surpassed Wall Street projections, driven by a resilient net interest margin and a robust commercial loan pipeline.
The Grand Rapids-based bank capped off what leadership described as a "remarkable year" by authorizing a significant new capital return program for 2026.
For the quarter ended Dec. 31, 2025, the holding company for Independent Bank posted net income of $18.6 million, or $0.89 per diluted share.
This narrowly beat the $0.83 consensus estimate from analysts surveyed by Zacks Investment Research and marked a slight increase from the $0.87 per share earned in the same period a year ago.
Revenue net of interest expense reached $58.3 million, also exceeding Street forecasts.
A key highlight was the expansion of the net interest margin (NIM), which climbed 8 basis points sequentially to 3.62%.
This improvement was supported by $78 million in net loan growth during the quarter—a 7.4% annualized rate—primarily led by the bank's commercial lending division.
Total deposits (excluding brokered deposits) also grew at a 4.8% annualized pace.
"Our fourth-quarter performance marked the culmination of another remarkable year, with our organization excelling on all fundamentals," said William B. ("Brad") Kessel, President and CEO.