EGBN · Eagle Bancorp, Inc.

Eagle Bancorp returned to profitability in Q1 2026 with net income of $14.7 million ($0.48 per share), swinging from a $2.4 million loss in Q4 2025, primarily due to a $21.1 million drop in noninterest expense—$14.7 million less in loan disposition costs and absence of a $10 million legal provision—and a $2.1 million lower provision for credit losses. Net interest income declined $4.6 million to $63.7 million amid lower average earning assets and fewer days in the quarter, but NIM expanded 9 basis points to 2.47% from improved funding mix, with core deposit growth and $412.7 million less brokered deposits lowering costs. Noninterest income edged up $0.5 million to $12.7 million, boosted by $3.6 million gain on loan sales versus a prior $1.1 million loss. Asset quality showed mixed signals: CRE concentration improved to 295.1% (ADC 75.7%), ACL/Loans dipped to 2.12%, but NPAs rose to $130.8 million (1.31% of assets) on $61.6 million inflows partially offset by $39.8 million reductions; net charge-offs annualized to 1.46%. Balance sheet deleveraging continued with loans down 5% to $7.0 billion (C&I up $157.7 million or 5.2%) and deposits down 6% to $8.6 billion. Capital strengthened with CET1 at 13.80% and TCE ratio 11.51%; liquidity covered uninsured deposits 195%. Management highlighted progress on strategic priorities like C&I growth, CRE de-risking, and PPNR expansion to $27.7 million, declaring a $0.01/share dividend. 2026 outlook targets NIM 2.60-2.80%, with deposit/loan balances declining modestly, positioning for higher profitability amid repositioning.