MainStreet Bancshares(US:MNSB)2025-10-27 12:00Financial Performance - MainStreet Bancshares, Inc. reported a net income of $4.52 million and earnings per share of $0.52 for Q3 2025, exceeding expectations of $4.48 million and $0.51 respectively[1] - Net income available to common shareholders was $9,943 million, compared to $4,570 million, reflecting a year-over-year increase of 117.5%[10] - Earnings per common share increased to $1.29, up from $0.60, representing a growth of 115%[10] - Earnings per common share (basic and diluted) increased to $0.52 for the three months ended September 30, 2025, compared to a loss of $0.04 in the same period of 2024[20] Interest Income and Margin - The core net interest margin for Q3 2025 is 3.54%, indicating a well-structured balance sheet for current and anticipated rate changes[2] - Net interest income after provision for credit losses rose to $52,801 million, compared to $43,177 million, marking a significant increase of 22.5%[10] - Net interest income (GAAP) for Q3 2025 was $17,102 million, up from $15,343 million in Q3 2024, representing a 11.5% increase[23] - The net interest margin (FTE) (annualized) increased to 3.42% for the three months ended September 30, 2025, compared to 3.05% in the same period of 2024[20] Assets and Liabilities - Total assets as of September 30, 2025, amounted to $2,124.79 million, a slight increase from $2,114.78 million as of June 30, 2025[8] - Total liabilities for the nine months ended September 30, 2025, were $1,924,312 thousand, compared to $1,861,205 thousand for the same period in 2024[18] - Stockholders' equity as of September 30, 2025, was $215,039 thousand, down from $225,645 thousand as of September 30, 2024[16] Deposits and Loans - Total deposits reached $1,810.84 million as of September 30, 2025, compared to $1,798.55 million at the end of Q2 2025[8] - Loans, net of allowance for credit losses, stood at $1,788.24 million as of September 30, 2025, showing stability in asset quality[8] - Total gross loans reached $1,811,422 million, a 1.1% increase from $1,790,973 million in the previous quarter[12] - Commercial real estate loans grew to $981,091 million, representing 54.2% of total loans, up from 50.9% in the previous quarter[12] Non-Interest Income - Non-interest income totaled $3,126 million, up from $2,446 million, indicating a growth of 27.8%[10] Credit Quality - The allowance for credit losses decreased to $18,831 million from $19,057 million, indicating improved credit quality[12] - Non-performing loans decreased to $23,386,000 as of September 30, 2025, down from $28,264,000 in the same period of 2024[20] Stock and Equity - The company authorized a new stock repurchase program of up to $10.0 million, replacing the previous program announced on May 19, 2022[2] - Common shares closing stock price rose to $20.83 as of September 30, 2025, compared to $18.45 a year ago[20] - Tangible common stockholders' equity (non-GAAP) increased to $191,100 million as of September 30, 2025, compared to $179,907 million as of September 30, 2024, reflecting a 6.7% growth[23] Operational Efficiency - Efficiency ratio improved to 69.50% for the three months ended September 30, 2025, from 81.45% in the same period of 2024[20] - The number of full-time equivalent employees decreased to 174 as of September 30, 2025, down from 201 a year earlier[20] Funding Sources - Core customer funding sources decreased to $1,289,952 million, down 3.0% from $1,329,804 million, reflecting a shift in funding strategy[12]