City Holding Company reported record quarterly results for the third quarter of 2026, characterized by significant expansion in net interest margin and robust return on assets. The company achieved a return on assets of 2.03% and a return on tangible equity of 20.9%, while simultaneously increasing its quarterly dividend by 15% to $1.00 per share.
Key Highlights
- Net interest margin expanded to 4.04% from 3.97% in the previous quarter, driven by a 3 basis point increase in loan yields and higher average loan balances.
- Total loans increased by $48.4 million, or 1.1%, sequentially to $4.55 billion, led by a 4.4% growth in commercial and industrial loan balances.
- Asset quality remained strong and stable, with the ratio of nonperforming assets to total loans and OREO holding steady at 0.24%.
- Non-interest income rose to $21.4 million, a 4.4% year-over-year increase, supported by higher service charges and wealth management fees.