- Mechanics Bancorp reported **net income of $55.2 million** and **fully diluted EPS of $0.25** for Q3 2025, significantly impacted by a **$90.4 million bargain purchase gain** from the HomeStreet Bank merger, which closed on **September 2, 2025**.  **[1518715_0001518715-25-000177_mchb-investorpresentatio.htm:3]** **[1518715_0001518715-25-000177_mchb-investorpresentatio.htm:9]** 
- Q3 2025 results included **$63.9 million** in one-time merger-related expenses.   
- As of September 30, 2025, the company reported **total assets of $22.7 billion**, **total deposits of $19.5 billion**, a **CET1 ratio of 13.4%**, and a **loans-to-deposits ratio of 75%**.  **[1518715_0001518715-25-000177_mchb-investorpresentatio.htm:3]** **[1518715_0001518715-25-000177_mchb-investorpresentatio.htm:4]** **[1518715_0001518715-25-000177_mchb-investorpresentatio.htm:9]** 
- The company maintains its profitability estimates for **2026 net income at $302 million** and **2027 net income at $325 million**, anticipating **~$82 million in cost savings** fully phased-in by the end of Q2 2026.  **[1518715_0001518715-25-000177_mchb-investorpresentatio.htm:4]** 
- Mechanics Bancorp plans to initiate a regular, recurring dividend in Q1 2026, returning **~80% of earnings**.  **[1518715_0001518715-25-000177_mchb-investorpresentatio.htm:8]**

Mechanics Bancorp reports Q3 2025 results following HomeStreet Bank merger

- Mechanics Bancorp completed its merger with HomeStreet Bank on **September 2, 2025**, which materially impacted its Q3 2025 financial results.  **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:0]** **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:1]** 
- For the third quarter of 2025, the company reported **net income of $55.2 million** and **$0.25 per diluted share**, an increase from $42.5 million and $0.20 per diluted share in the prior quarter.  **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:0]** 
- Post-merger, **total assets increased by $6.1 billion to $22.7 billion**, **total deposits rose by $5.5 billion to $19.5 billion**, and **total loans grew by $5.3 billion**.  **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:0]** 
- The company recognized a preliminary **bargain purchase gain of $90.4 million** from the merger, while incurring **$63.9 million in non-recurring acquisition and integration costs**.  **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:0]** **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:2]** 
- **Book value per common share increased to $12.54** at September 30, 2025, from $11.96 at June 30, 2025, and preliminary regulatory capital ratios remained strong, including a **15.59% Total risk-based capital ratio**.  **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:0]** **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:3]** **[1518715_0001518715-25-000176_a3q2025earningsrelease.htm:4]**

Mechanics Bancorp (MCHB)