STLE · Steele Bancorp Inc.

Steele Bancorp's Q1 2026 results reflect strong post-merger performance following the acquisition of Northumberland Bancorp. Net income surged to $4.88 million from $1.81 million year-over-year, with EPS rising to $1.43 from $0.97, supported by robust net interest income growth to $12.21 million (up 157.5%). This was primarily driven by expanded loan and securities balances yielding 5.90% (up 66 bps), lower cost of funds at 2.21% (down 14 bps), and net interest margin expansion to 4.21%. Noninterest income doubled to $1.57 million, boosted by new trust fee income and higher ATM/debit card fees from increased volume. Noninterest expenses rose sharply to $7.99 million (up 158.2%), attributable to $2.63 million higher salaries/benefits and $666 thousand core deposit intangible amortization. A $134 thousand recovery of loan credit losses contrasted with a prior provision, aiding profitability. Balance sheet shows modest asset growth to $1.27 billion, with deposits up $4.43 million to $1.115 billion, while net loans dipped slightly. ROA and ROE improved to 1.56% and 16.31%, respectively. The merger integration appears on track, enhancing scale and revenue diversity, though expense control remains key amid elevated costs.