Central Bancompany Extends Margin Expansion to 4.48%

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

Net interest income reached $218.9 million as the net interest margin widened 8 bps for a second straight quarter.

Central Bancompany, Inc. (CBC), the Jefferson City, Missouri bank holding company for The Central Trust Bank, reported net interest income of $218.9 million in the third quarter of 2026, up 2.9% from $212.8 million in the second quarter.

The net interest margin expanded 8 bps to 4.48% (4.51% on a fully-tax-equivalent basis), matching the 8 bps gain recorded from the first quarter’s 4.32% to the second quarter’s 4.40%. The company said the latest lift came from higher loan and securities yields, continued loan growth, a favorable earning-asset mix, and lower balances of interest-earning cash.

Average total loans held for investment rose $0.1 billion, or 3.2% annualized, to $11.7 billion, a slower quarterly pace than the 3.9% annualized increase in the second quarter. Management said the bank continued to reduce certain consumer loan balances. Period-end loans exceeded the quarterly average by $54 million. Average earning assets grew 7.1% year-over-year to $19.4 billion.

Average total deposits were $15.4 billion, up 4.4% from the prior-year quarter, including 6% growth in noninterest-bearing deposits. The cost of deposits improved to 1.11%, down 8 bps from a year earlier and unchanged from the linked quarter.

Net income was $116.2 million, or $0.48 a share, compared with $113.8 million, or $0.47 a share, in the second quarter. Adjusted net income increased $2.8 million from the prior quarter. Return on average assets was 2.27%.

Total noninterest income was $66.8 million, up 17.0% from the third quarter of 2025. Adjusted noninterest income was $66.6 million, reflecting 4.0% year-over-year growth. Wealth management services revenue increased $3.4 million, or 16.7%, to $23.6 million, supported by 13.8% growth in assets under advice to $17.5 billion. Service charges and commissions and payment services revenue also contributed positively.

Mortgage banking revenues declined $1.5 million, or 14.3%, year-over-year to $8.8 million, which the company attributed to reduced origination volumes in the higher interest-rate environment. The fee income ratio was 23.4%.

Total noninterest expense was $131.0 million, up 3.2% from the third quarter of 2025. The efficiency ratio (FTE) improved to 45.4% from 46.1% in the second quarter and 47.7% a year earlier. Salaries and employee benefits totaled $80.0 million. Legal and professional fees declined $0.9 million, or 13.9%, from a year earlier.

The provision for credit losses was $4.0 million, up 14.2% from the prior quarter, driven primarily by loan growth. The allowance for credit losses ended at $150.9 million, or 1.29% of loans held for investment. Nonperforming assets were $66.0 million, or 33 bps of total assets, up only slightly from 30 bps a year earlier. Annualized net charge-offs were 12 bps of average loans.

The CET1 ratio was 29.1% at September 30, 2026, representing $2.0 billion of excess capital versus a 13.5% long-term target. The Bank’s CET1 ratio was 13.4%. Book value per share was $16.04 and tangible book value per share $14.58, of which $6.30 a share is core tangible book value and $8.28 a share excess capital. The company paid a $0.12 dividend a share.