AVBC · Avidia Bancorp, Inc.

Avidia Bancorp's first quarter 2026 results reflect improved profitability driven by higher net interest income and noninterest income, partially offset by increased expenses. Net interest income rose 1.6% to $24.0 million, as net interest margin expanded 7 basis points to 3.61%. The margin improvement was supported by a 3 basis point increase in loan yield to 5.37% and a 4 basis point decline in deposit costs to 1.31%. Noninterest income increased 15.3% to $4.3 million, led by higher payment processing and mortgage banking income. Noninterest expense grew 3.4% to $19.0 million, primarily due to seasonal payroll tax increases and higher professional fees for a process improvement program. Asset quality improved significantly, with nonperforming loans falling to 0.60% of total loans from 0.88% in the prior quarter, driven by a $6.5 million decrease in nonperforming construction loans. The allowance for credit losses increased to 1.00% of total loans from 0.96%, reflecting a $859 thousand provision. Net charge-offs were minimal at 0.02% annualized. The balance sheet contracted slightly, with total assets down 1.1% to $2.81 billion, as loan paydowns and a reduction in cash were partially offset by deposit growth and securities purchases. The company declared a quarterly dividend of $0.05 per share. CEO Robert Cozzone highlighted earnings per share growth of 10.3% and noted improvements in most performance measures despite seasonally slow loan growth.