CARE · Q3 NIM expands to 3.55%

Carter Bankshares filed an investor presentation for Q3 2026, showing net interest income up 22% YoY to $41.2M, adjusted EPS up 35% YoY to $0.35, and a sharp improvement in asset quality with NPLs falling from 6.74% to 0.74% of portfolio loans following the resolution of its largest nonperforming relationship. However, GAAP net income declined 73% QoQ to $7.8M due to the absence of prior-quarter gains, and total deposits continued to shrink.

• Net interest income Q3 2026: $41.2M, up 22.3% from $33.7M in Q3 2025
• Adjusted diluted EPS Q3 2026: $0.35, up 34.6% from $0.26 in Q3 2025
• GAAP net income Q3 2026: $7.8M, down 73.2% from $28.9M in Q2 2026 (which included a $35.9M insurance gain)
• NPLs to total portfolio loans: 0.74% at Sep 30 2026 vs 6.74% at Sep 30 2025