Bank First Posts 6.6% Annualized Loan Growth in Q3

The Tip Desk · November 8, 2026 · 3 min read

Net interest income was $55.2 million in the third quarter as loans grew at a 6.6% annualized pace and the dividend rose to $0.65 a share.

Bank First Corporation (BFC), the Manitowoc, Wisconsin holding company for Bank First, N.A., reported net income of $23.8 million, or $2.15 a share, for the third quarter of 2026, compared with $18.0 million, or $1.83 a share, a year earlier.

After removing acquisition expenses related to Centre 1 Bancorp and PSB Holdings and certain asset-sale gains, adjusted net income was $26.1 million, or $2.35 a share. The January 1 Centre deal, an institution with $1.48 billion in assets, had lifted total assets 33% and reshaped the run-rate for the rest of 2026.

Net interest income was $55.2 million, up $0.2 million from the second quarter after a $1.8 million sequential increase in that period. Net interest margin compressed 6 bps to 4.07% from 4.13% in the second quarter, reversing the 17 bps expansion from the first quarter. Purchase-accounting accretion and amortization added $2.2 million to NII, or $0.16 a share after tax, down from $3.6 million, or $0.25 a share, in the second quarter.

Excluding purchase accounting, the margin continued to expand, reaching 3.91% from 3.86% in the second quarter. Interest-earning-asset yields were 5.42% and crediting rates on interest-bearing liabilities were 2.26%. Average taxable loan yield was 5.91% versus 6.01% in the second quarter; the cost of interest-bearing liabilities was 2.26% versus 2.30%.

The credit story turned with the balance sheet. The bank recorded a $0.8 million provision for credit losses after none in the second quarter, citing loan-portfolio growth after a first-half contraction in the Stateline region as it transitioned out of acquired loans inconsistent with its lending philosophy. Net loan charge-offs to average loans were 0.02%.

Total loans were $4.60 billion at September 30, growing at a 6.6% annualized pace in the third quarter. Average loans were $4.56 billion. Deposits were $5.00 billion, nearly all core, with noninterest-bearing demand deposits at 29.7% of the total. Outstanding borrowings fell to $79.8 million from $104.8 million at June 30 through maturities not renewed and selective prepayments of negative-spread funding.

Noninterest income was $10.1 million, essentially unchanged from $10.0 million in the second quarter. Trust and Wealth Management, a line created by Centre, produced $1.6 million; service charges were $4.1 million. Income from Ansay & Associates was $0.8 million; the company said Ansay is experiencing reduced profitability in 2026 from automation investments and insurance pricing softening.

Noninterest expense was $34.7 million. Acquisition-related costs were $2.7 million, down from $3.3 million. Personnel expense declined to $15.8 million from $16.8 million, though the company said $1.3 million of second-quarter severance masked a sequential increase in ongoing personnel costs as it added senior leaders ahead of the Peoples close and organic growth. Realization of expected cost savings from operational synergies began in the third quarter, with full realization anticipated in future quarters.

Nonperforming assets were $29.6 million, up $1.8 million from the prior quarter, and NPA-to-assets rose to 0.50% from 0.47%. Other real estate owned was $2.4 million, all former Centre properties the bank will not use. Stockholders’ equity was $826.4 million; book value was $74.57 a share.

The board declared a quarterly cash dividend of $0.65 a share, an 8.3% increase from $0.60. Chairman and CEO Mike Molepske said the bank made progress toward the planned December 4, 2026 Peoples acquisition and hired a regional president and chief retail officer in preparation for a Northcentral region, as it prepares to surpass $10 billion in assets.