0001403475-26-000018
SEC filingBank of Marin Bancorp reported a net loss of $35.7 million for FY 2025, a significant deterioration from a net loss of $8.4 million in FY 2024. The primary driver was a substantial net loss of $88.2 million on the sale of investment securities, which contributed to total non-interest income of -$76.7 million. This was partially offset by net interest income of $106.0 million, up from $91.6 million in the prior year, driven by total interest income of $152.4 million. Total assets grew to $3.90 billion from $3.70 billion, while stockholders' equity decreased to $394.7 million from $435.4 million. The company's comprehensive loss was $24.0 million, and it paid $16.1 million in cash dividends on common stock. The filing includes a restatement of prior periods related to deposit classification errors.
Bank of Marin Bancorp reported a net loss of $35.7 million for the fiscal year ended December 31, 2025, a significant decline from a net loss of $8.4 million in FY 2024. The loss before provision for income taxes was $52.5 million, compared to $13.8 million in the prior year. Total comprehensive loss was $24.0 million, versus comprehensive income of $14.5 million in FY 2024. The company's performance was severely impacted by a $88.2 million net loss on the sale of investment securities. Basic and diluted earnings per share were -$2.24, compared to -$0.52 in the prior year. Total assets grew to $3.90 billion from $3.70 billion, while stockholders' equity decreased to $394.7 million from $435.4 million.
The company's total interest income was $152.4 million, up from $141.3 million in FY 2024. Interest and fees on loans contributed $104.4 million, interest on investment securities was $38.5 million, and interest on federal funds sold and due from banks was $9.5 million. Net interest income was $106.0 million, an increase from $91.6 million in the prior year. Total interest expense was $46.4 million, down from $49.7 million. Non-interest income was negative $76.7 million, driven primarily by the $88.2 million net loss on sale of investment securities. Other components of non-interest income included wealth management and trust services ($2.3 million), service charges on deposit accounts ($2.2 million), and earnings on bank-owned life insurance ($1.8 million).
The company's net interest margin, calculated as net interest income divided by average earning assets, is not explicitly provided in the data. The provision for credit losses on loans was $375 thousand, significantly lower than the $5.6 million provision in FY 2024. Non-interest expense totaled $81.3 million, up from $78.7 million in the prior year. The largest components were salaries and employee benefits ($47.5 million), occupancy and equipment ($8.5 million), data processing ($4.3 million), and professional services ($4.3 million). The benefit from provision for income taxes was $16.8 million, compared to a benefit of $5.4 million in FY 2024.
Net cash provided by operating activities was $39.1 million, compared to $28.4 million in FY 2024. Net cash used in investing activities was $172.0 million, primarily due to $1.07 billion in purchases of available-for-sale securities, partially offset by proceeds from sales and maturities. Net cash provided by financing activities was $220.9 million, driven by a $195.5 million net increase in deposits and $45.0 million in proceeds from issuance of subordinated notes. The balance sheet shows total assets of $3.90 billion, including loans net of allowance of $2.09 billion and investment securities of $1.33 billion. Total liabilities were $3.51 billion, with deposits of $3.42 billion. The allowance for credit losses on loans was $30.1 million.
The filing does not contain explicit forward-looking guidance or management projections for future periods. The company completed a balance sheet repositioning in Q4 2025, reclassifying its held-to-maturity portfolio to available-for-sale and selling securities with a book value of $593.2 million at a pre-tax loss of $69.5 million. Risk factors include concentration in commercial real estate loans (79% of total loans), competition in the banking industry, and regulatory requirements. The company notes a material weakness in internal control over financial reporting related to accounting for certain reciprocal network deposits. The Board authorized a new share repurchase program of up to $25.0 million effective through July 2027.