Business Wire·Jul 30, 2026, 4:05 PM ET

The Bancorp Reports 2Q 2026 EPS of $1.45, ROA of 2.51%, and ROE of 34.7% Driven by Strong Growth in Loans and Fintech Fees; Continued Improvement in Credit and Cost Efficiencies

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The Bancorp, Inc. reported second quarter 2026 net income of $60.7 million with diluted earnings per share of $1.45, representing a 14.2% increase from the prior year period.
Return on equity reached 34.7% compared to 28.4% in 2Q 2025, while return on assets was 2.51%.
Net interest income decreased to $90.5 million from $97.5 million in 2Q 2025, driven by a shift to fintech loans that primarily generate fee income.
Net interest margin declined to 3.85% from 4.44% in 2Q 2025 due to portfolio mix changes.
Ending loans net of deferred fees and costs totaled $7.07 billion, an 8.2% increase from 2Q 2025 but an 8.8% decrease from 1Q 2026.
Fintech loans ended at $901.5 million, or 12.5% of total loans, down 45.3% from 1Q 2026 primarily due to payment processing timing changes.
Average Fintech loans increased 159.0% to $1.39 billion compared to 2Q 2025.
Average deposits grew 4.4% to $8.41 billion from 2Q 2025, with the average cost of deposits falling to 1.63%.
Gross dollar volume (GDV) increased 22.5% to $53.45 billion compared to 2Q 2025.
Total non-interest income was $73.0 million, with fintech fees contributing $40.9 million.
Excluding credit enhancement income, non-interest income represented 34.3% of total revenue.
Total non-interest expense was $56.5 million, resulting in an efficiency ratio of 41.0%.
The company repurchased 870,129 shares for $50.0 million at an average cost of $57.46.
Management increased full-year 2026 EPS guidance to a range of $5.95-$6.05.
Capital ratios remain strong, with The Bancorp Bank exceeding "Well Capitalized" regulatory benchmarks.
Total net charge-offs for the quarter were $25.7 million, down from $37.8 million in 2Q 2025.
The allowance for credit losses stood at $63.5 million, with a fintech coverage ratio of 3.41%.