CBAN · Colony Bankcorp, Inc.

Colony Bankcorp's Q1 2026 results demonstrated continued momentum with net income rising to $8.2 million from $6.6 million year-over-year, driven by net interest income expansion to $29.4 million on a tax-equivalent basis, up from $21.1 million, reflecting higher yields on interest-earning assets ($45.0 million vs. prior year) partially offset by higher interest expense on liabilities. Net interest margin improved to 3.48% from 2.93% YoY, marking the sixth consecutive quarter of expansion, supported by the TC Bancshares acquisition in Q4 2025, higher asset yields, and lower deposit costs at 1.73%. Noninterest income grew 18.2% to $10.7 million, fueled by service charges, mortgage fees, interchange, insurance commissions, and wealth advisor income, though offset by lower SBA loan sale gains. Noninterest expense increased to $27.7 million from $20.2 million due to higher salaries, occupancy, IT, professional fees, advertising, and lingering acquisition costs. Asset quality strengthened with nonperforming assets dropping to $19.9 million from $24.7 million, net charge-offs at 0.29% of average loans, and credit loss reserve at 0.90% of loans. Balance sheet showed loan growth of $32.2 million to $2.41 billion amid a modest $19.1 million deposit decline to $3.05 billion, attributed to seasonal municipal outflows early in the quarter, with March inflows noted. CEO Heath Fountain highlighted strong performance, TC Federal integration success, noninterest income growth from insurance and advisory units, and NIM expansion as key to diversified revenue and operational scale. Capital remains robust with preliminary CET1 at 12.53%, supporting a $1.76 million share repurchase and $0.12 dividend. An earnings call is scheduled for April 23, 2026.