Executive Summary

GAAP EPS $1.83 and adjusted EPS $1.91 grew sequentially (Q2: $1.71; Q1: $1.82) and year-over-year (Q3’24: $1.65); adjusted EPS beat S&P Global consensus of $1.81, while GAAP EPS implied an in-line to modest beat given non-GAAP adjustments . EPS consensus: $1.81*; actual (S&P methodology): $1.91*.
Net interest margin expanded 16 bps QoQ to 3.88% on higher loan yields and lower deposit costs (avg loan rate +10 bps QoQ; avg rate on interest-bearing liabilities -7 bps), lifting net interest income to $38.3M (+4.2% QoQ) .
“Total net revenue” (net interest income after provision + noninterest income) rose to $43.56M, essentially in line with S&P Global “Revenue” actual of $43.56M vs $44.15M consensus (slight miss) . Revenue consensus: $44.15M*; actual: $43.56M*.
Loans grew 5.5% annualized QoQ to $3.63B; credit remained clean with negligible net losses and NPAs/Assets 0.31% .
Dividend maintained at $0.45; Centre 1 Bancorp/First National Bank & Trust acquisition remains on track for Jan 1, 2026 closing; regulatory approvals received Oct 16, 2025 .

What Went Well and What Went Wrong

What Went Well
- Margin expansion: NIM improved to 3.88% (Q2: 3.72%), driven by loan repricing and lower funding costs; NII increased to $38.3M (+$1.6M QoQ) .
- Noninterest income recovery: $6.0M (Q2: $4.9M), aided by higher mortgage gains ($0.5M) and a positive MSR valuation adjustment ($0.3M) .
- Management confidence: “We expect loan repricing to continue boosting our loan portfolio yields for some time to come.” – CEO Mike Molepske .
What Went Wrong
- Higher operating costs: Noninterest expense rose to $21.1M, with outside service fees up $0.7M QoQ (including $0.9M M&A-related) .
- Provision normalization: Provision for credit losses increased to $0.7M vs $0.2M in Q2 (Q3’24: $0.0M), reflecting loan growth rather than credit deterioration .
- Slight revenue shortfall vs S&P consensus: S&P “Revenue” actual $43.56M vs $44.15M consensus, despite solid NIM and fee trends*.

Financial Results

Metric	Q3 2024	Q1 2025	Q2 2025	Q3 2025
Net Interest Income ($M)	$35.88	$36.54	$36.70	$38.25
Provision for Credit Losses ($M)	$0.00	$0.40	$0.20	$0.65
Net Interest Income after Provision ($M)	$35.88	$36.14	$36.50	$37.60
Noninterest Income ($M)	$4.89	$6.59	$4.92	$5.95
Total Net Revenue ($M) (NII after provision + Noninterest income)	$40.78	$42.73	$41.42	$43.56
Noninterest Expense ($M)	$20.10	$20.60	$20.76	$21.09
Pre-tax Income ($M)	$20.68	$22.12	$20.67	$22.47
Net Income ($M)	$16.55	$18.24	$16.88	$17.99
Diluted EPS (GAAP) ($)	$1.65	$1.82	$1.71	$1.83
Adjusted EPS (non-GAAP) ($)	$1.65	$1.82	$1.69	$1.91
Net Interest Margin (%)	3.76%	3.65%	3.72%	3.88%
ROAA (%)	1.56%	1.64%	1.54%	1.64%

Notes: S&P Global “Revenue” actual for Q3 2025 equals $43.56M* and ties to NII after provision ($37.60M) + Noninterest income ($5.95M) from the company’s 8-K table .

Segment/Loan Mix (Period-End, $M)

Loan Category	Q1 2025	Q2 2025	Q3 2025
Commercial/Industrial	$507.85	$628.53	$654.45
CRE – Owner Occupied	$973.58	$841.75	$861.65
CRE – Non-Owner Occupied	$460.08	$518.64	$510.54
Multifamily	$355.00	$377.22	$372.03
Construction & Development	$278.48	$249.86	$262.44
Residential 1-4 Family	$903.28	$891.69	$897.52
Consumer & Other	$69.81	$72.69	$71.04
Total Loans	$3,548.07	$3,580.36	$3,629.66

Key Banking KPIs

KPI	Q1 2025	Q2 2025	Q3 2025
Total Assets ($M)	$4,505.07	$4,365.08	$4,420.41
Deposits – Interest-Bearing ($M)	$2,666.69	$2,605.40	$2,539.48
Deposits – Noninterest-Bearing ($M)	$1,007.53	$990.03	$999.29
NIB Deposits (% of Total)	27.4%	27.5%	28.2%
NPLs / Total Loans (%)	0.19%	0.38%	0.38%
NPAs / Total Assets (%)	0.17%	0.31%	0.31%
Allowance / Total Loans (%)	1.23%	1.24%	1.23%
Book Value / Share ($)	$65.02	$62.27	$63.87
Tangible Book Value / Share ($)	$45.46	$42.57	$44.30
Shares Outstanding (Period-End)	9,973,276	9,833,476	9,834,083

Guidance Changes

Metric	Period	Previous Guidance	Current Guidance	Change
Dividend per Share	Next payable	$0.45 (declared Q2; paid Oct 8, 2025)	$0.45 payable Jan 7, 2026 (record Dec 24, 2025)	Maintained
Net Interest Margin / Loan Yields (Qualitative)	Ongoing	“Normalization of the yield curve benefits NIM”	“Expect loan repricing to continue boosting loan yields”	Positive qualitative bias
M&A – Centre 1/First National Bank & Trust	Close date/system conversion	Agreement signed; closing expected Q1’26; system conversion Q2’26	Regulatory approvals received; closing Jan 1, 2026 reaffirmed; conversion Q2’26	Timeline reaffirmed; approvals secured

Note: No formal quantitative revenue/EPS/expense guidance provided; commentary remains qualitative .

Earnings Call Themes & Trends

Note: No Q3 2025 earnings call transcript was available on the company’s IR site as of Nov 20, 2025; commentary below reflects press releases .

Topic	Previous Mentions (Q1 2025 and Q2 2025)	Current Period (Q3 2025)	Trend
Net Interest Margin / Yield Curve	Q1: Cost of funds declined; NIM 3.65%; purchase accounting +10 bps . Q2: “Normalization of yield curve” benefits margin; NIM 3.72% .	NIM 3.88%; loan yields +10 bps QoQ; rate paid on interest-bearing liabilities -7 bps .	Improving
Loan Growth	Q1: Core loan growth resumed late 2024 into early 2025 . Q2: Loans +$63.2M YTD .	Loans $3.63B; +5.5% annualized QoQ .	Healthy
Deposit Pricing/Mix	Q1: Avg CD rates down 18 bps QoQ . Q2: Non-interest-bearing = 27.5% of total .	NIB deposits 28.2% of total; funding costs declined 7 bps QoQ .	Stable/mix supportive
Technology/Digital	Q2: Elevated data processing for digital banking upgrade .	No new update; costs normalized in Q3 vs Q2 peak .	Stabilizing
Branch/Footprint	Q2: Multiple branch remodels; new Sturgeon Bay branch .	Occupancy/equipment down $0.4M QoQ to $1.6M .	Post-investment normalization
M&A	Q2: Signed agreement to acquire Centre (First National) .	Regulatory approvals obtained; closing Jan 1, 2026 .	On track
Credit Quality	Q1: NPA 0.17% after one-off charge-off . Q2: NPAs 0.31%; negligible net losses .	NPAs 0.31%; negligible net losses .	Steady/benign

Management Commentary

“We are pleased to report that earnings per share through the first three quarters of 2025 increased by nearly 13%... This continued growth in earnings was driven by mid-single-digit loan expansion and an increase in loan yields due to repricing. We expect loan repricing to continue boosting our loan portfolio yields for some time to come.” – Mike Molepske, Chairman & CEO .
Margin drivers: “A combination of yields on newly originated loans... and strong yield improvements on maturing loans that renewed... resulted in a 10 bp increase in the average rate earned... In addition, repricing of maturing certificates... led to a 7 bp decline in the average rate paid on... interest-bearing liabilities.” .
Prior quarter context: “Normalization of the yield curve... benefits the entire banking industry. If this move... continues, Bank First should see an improving net interest margin...” – CEO (Q2 release) .

Q&A Highlights

No Q3 2025 earnings call transcript was available; management disclosures were delivered via the 8-K and press release .

Estimates Context

Metric	S&P Global Consensus	Actual (Company/S&P methodology)	Surprise
EPS (Primary)	$1.81*	$1.91* (non-GAAP adjusted EPS)	+$0.10 (+5.5%)*
Revenue (S&P definition)	$44.15M*	$43.56M* (equals NII after provision $37.60M + Noninterest income $5.95M)	-$0.59M (-1.3%)*

Notes: Asterisks indicate values retrieved from S&P Global. S&P “Revenue” aligns with net interest income after provision plus noninterest income per the company’s 8-K .

Key Takeaways for Investors

Margin momentum is the core narrative: NIM +16 bps QoQ to 3.88% with explicit drivers (loan repricing +10 bps; deposit costs -7 bps), supporting further EPS leverage if funding trends persist .
Clean credit and modest provisioning (growth-driven) reduce downside risk; NPAs/Assets at 0.31% with negligible net losses .
Fees stabilized: Mortgage-related income improved (gains + MSR valuation) and Ansay investment income ticked higher, diversifying revenue beyond NII .
Operating expense discipline is mostly intact; Q3 opex uptick linked to M&A-related outside services ($0.9M of $1.8M) and should abate post-close .
Capital return remains shareholder-friendly (regular $0.45 dividend) while capital was impacted by a prior special dividend and buybacks; TBV/share improved QoQ to $44.30 .
Centre 1/First National Bank & Trust deal is cleared to close Jan 1, 2026 and should expand scale, geographies, and capabilities; watch for 2026 pro forma updates and cost synergy cadence .
Near term, Street models may edge NIM/NII higher given management’s repricing commentary; revenue optics depend on S&P’s “post-provision revenue” methodology, but EPS trajectory remains favorable given spread dynamics .

Additional detail

Non-GAAP reconciliation highlights (Q3 2025):

Adjusted net income $18.78M vs GAAP $17.99M; add-backs include $0.862M acquisition-related expenses; adjusted EPS $1.91 vs GAAP $1.83 .
Book value/share $63.87; tangible book value/share $44.30 .

Balance sheet and funding:

Total assets $4.42B; loans $3.63B; deposits $3.54B; NIB deposits 28.2% of total; borrowings $221.9M .

Operating detail:

NII $38.3M (purchase accounting contribution ~$0.7M); noninterest income $6.0M (Ansay income $1.3M; mortgage gains $0.5M; MSR +$0.3M) .

Footnotes:

Values marked with an asterisk (*) are retrieved from S&P Global.

Bank First Corp (BFC)·Q3 2025 Earnings Summary