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RIVERVIEW BANCORP INC (RVSB)·Q1 2026 Earnings Summary

Executive Summary

  • Q1 FY2026 EPS was $0.06, up sequentially from $0.05 and flat year-over-year, with NIM expanding to 2.78% (+13 bps QoQ; +31 bps YoY) on higher loan yields and $248K Visa B income; total revenue (net interest income + non-interest income) was $13.27M, roughly flat vs S&P consensus $13.30M, while EPS beat consensus by $0.01 . EPS and revenue vs consensus: EPS beat ($0.06 vs $0.05*), revenue slight miss ($13.27M vs $13.30M*) . Values with asterisks retrieved from S&P Global.
  • Credit metrics remained pristine: NPAs at 0.01% of assets, NPLs at 0.01% of loans; allowance steady at $15.4M (1.44% of loans) with no provision and net recoveries of $52K .
  • Deposits declined $22.4M QoQ on seasonality and tax payments; FHLB advances rose $26.1M to $102.5M; available liquidity of ~$449M (FHLB + FRB) covered 160% of uninsured deposits (23.2%) .
  • Strategic/catalyst: added to Russell 2000 and Russell 3000 (June 30, 2025), maintained $0.02 quarterly dividend (July 22), and authorized a $2.0M repurchase program (April 24, 2025) .

What Went Well and What Went Wrong

  • What Went Well

    • NIM expansion to 2.78% QoQ/YoY on higher loan yields; CFO: “Our NIM improved quarter-over-quarter, reflecting higher asset yields outpacing the slight increase in our interest bearing liabilities” .
    • Trust AUM reached $900.1M with asset management fees of $1.6M; CFO: “We are proud of the operating contributions Riverview Trust Company contributes to the Company” .
    • Inclusion in Russell indices elevates investor visibility; CEO: “This recognition enhances our visibility within the institutional investment community” .

  • What Went Wrong

    • Deposits decreased $22.4M QoQ (to $1.21B) due to seasonality and tax payments, requiring higher FHLB borrowings (+$26.1M to $102.5M) .
    • Classified assets increased sharply to $10.8M (5.9% of total capital) driven by one lending relationship, though a remediation plan is in place .
    • Non-interest expense rose to $11.7M (vs $11.4M QoQ) on talent investments; efficiency ratio still elevated at 88.34% .

Financial Results

MetricQ3 FY2025 (Dec 31, 2024)Q4 FY2025 (Mar 31, 2025)Q1 FY2026 (Jun 30, 2025)
Net Interest Income ($USD Millions)$9.388 $9.193 $9.841
Non-Interest Income ($USD Millions)$3.341 $3.707 $3.426
Total Revenue ($USD Millions)$12.729 $12.900 $13.267
Diluted EPS ($USD)$0.06 $0.05 $0.06
Net Interest Margin (%)2.60% 2.65% 2.78%
Efficiency Ratio (%)87.63% 88.67% 88.34%

Segment and Mix

  • Deposit Mix ($USD Millions) | Category | Q3 FY2025 | Q4 FY2025 | Q1 FY2026 | |----------|-----------|-----------|-----------| | Interest Checking | $257.975 | $285.035 | $277.632 | | Regular Savings | $169.181 | $168.287 | $159.747 | | Money Market | $236.912 | $236.044 | $233.553 | | Non-Interest Checking | $312.839 | $315.503 | $306.768 | | Certificates of Deposit | $242.095 | $227.459 | $232.193 | | Total Deposits | $1,219.002 | $1,232.328 | $1,209.893 |

  • Loan Mix ($USD Millions) | Category | Q3 FY2025 | Q4 FY2025 | Q1 FY2026 | |----------|-----------|-----------|-----------| | Commercial & Construction Total | $931.842 | $950.363 | $945.841 | | Consumer Total | $113.267 | $112.097 | $122.239 | | Total Loans | $1,045.109 | $1,062.460 | $1,068.080 |

KPIs and Credit

KPIQ3 FY2025Q4 FY2025Q1 FY2026
ROAA (%)0.32% 0.31% 0.33%
ROAE (%)3.04% 2.91% 3.04%
Tangible Book Value/Share ($)$6.20 $6.33 $6.43
Trust AUM ($USD Millions)$872.6 $877.9 $900.1
NPAs/Assets (%)0.03% 0.01% 0.01%
NPLs/Loans (%)0.04% 0.01% 0.01%
Allowance for Credit Losses ($USD Millions)$15.352 $15.374 $15.426
Uninsured Deposit Ratio (%)23.8% 23.4% 23.2%
Available Liquidity Coverage of Uninsured Deposits (%)155% (FRB) / — 163.7% (FHLB+FRB) 160.2% (FHLB+FRB)

Guidance Changes

MetricPeriodPrevious GuidanceCurrent GuidanceChange
Quarterly Dividend/Share ($)Q1 FY2026$0.02 $0.02 (pay 7/22/25) Maintained
Stock Repurchase Authorization ($)OngoingCompleted $2.0M plan (Sep 2024) New $2.0M authorization (Apr 24, 2025); no purchases YTD Q1 Authorized
Quantitative Revenue/Margin GuidanceQ1 FY2026None providedNone providedN/A

Earnings Call Themes & Trends

Note: A Q1 FY2026 earnings call transcript was not available in the document catalog [ListDocuments returned 0]. Themes are inferred from company press releases.

TopicPrevious Mentions (Q-2: Q3 FY2025; Q-1: Q4 FY2025)Current Period (Q1 FY2026)Trend
Net Interest MarginNIM 2.60%; expected stabilization with Fed cuts NIM 2.78% on higher loan yields and Visa B income Improving
Deposit Costs/MixDeposit costs up YoY; Money market/CDs mix shift Deposit costs down to 1.72%; deposits down seasonally; CDs up Stabilizing costs; seasonal outflow
Loan Pipeline/ProductionPipeline $49.1M; originations $31.1M Pipeline $72.0M; originations $28.3M Strengthening pipeline
Office CRE ExposurePortfolio $113.4M; LTV ~53.8%; DSCR ~1.99x Portfolio $108.6M; LTV 52.77%; DSCR 1.73x; Portland core 1.90% of loans Slightly contracting balances
Credit QualityNPAs 0.03%; no provision; net charge-offs $114K NPAs 0.01%; no provision; net recoveries $52K Strong/stable
Capital & LiquidityLiquidity covers ~155% uninsured deposits Liquidity covers 160.2% uninsured deposits Strong coverage
Strategic InitiativesThree-year plan; digital/data focus Implementation underway; talent/technology investments Executing

Management Commentary

  • CEO Nicole Sherman: “Net interest margin expansion [was] driven by higher loan yields… Our loan pipeline remains strong, and we anticipate continued loan demand in the growing markets that we serve” .
  • CEO on strategic plan: “We began implementation of our three-year strategic plan… delivering sustainable growth, expanding our digital capabilities, and harnessing data to drive strategic business decisions” .
  • CFO David Lam: “Our NIM improved quarter-over-quarter, reflecting higher asset yields outpacing the slight increase in our interest bearing liabilities” .
  • Chief Lending Officer Mike Sventek: “We are actively broadening our commercial lending strategy to include a greater mix of variable-rate loan products” .

Q&A Highlights

  • A Q1 FY2026 earnings call transcript was not found; no Q&A highlights available in the document set [ListDocuments returned 0].

Estimates Context

MetricS&P Consensus*ActualSurprise
Primary EPS ($)$0.05*$0.06 +$0.01; bold beat
Total Revenue ($USD Millions)$13.30*$13.27 -$0.03; slight miss
  • EPS exceeded by $0.01; revenue was ~flat vs consensus. With NIM tailwinds and trust fee growth, estimates may drift upward for EPS if deposit costs continue to ease; however, deposit seasonality and higher FHLB borrowing temper top-line leverage .
  • Values with asterisks retrieved from S&P Global.

Key Takeaways for Investors

  • Margin trajectory constructive: NIM at 2.78% with improving loan yields and modestly lower deposit costs; watch sustainability absent one-time Visa B income .
  • Credit pristine and provisioning muted: NPAs/NPLs at 0.01%; allowance stable at $15.4M; net recoveries; classified asset uptick tied to one relationship with remediation plan .
  • Funding dynamics: seasonal deposit decline led to higher FHLB advances ($102.5M); liquidity robust with 160% coverage of uninsured deposits; monitor funding mix and deposit beta normalization .
  • Franchise visibility: Russell 2000 inclusion and continued $0.02 dividend support investor attention; repurchase authorization adds optionality though no activity yet under new program .
  • Trust fee engine: AUM rose to $900.1M, supporting non-interest income stability, partially offsetting volatility in other fee lines .
  • Office CRE exposure managed: balances edged lower; LTV and DSCR metrics remain conservative; Portland core exposure limited at 1.90% of loans .
  • Near-term trading: modest EPS beat and margin expansion are positives; watch deposit trends in Q2 and any updates on classified assets resolution as potential stock movers .