Net interest income growth of 6.8% in 2026Q1 remains constrained by a stubbornly low 0.7% net interest margin, reflecting ongoing difficulties in managing funding costs.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 |
|---|
| Net Interest Income | 1.45B | 1.43B | 914.27M | 873.8M | 912.96M | 795.69M | 751.76M | 752.78M | 1.05B | 950.27M | 870.38M | 745.65M | 677.09M | 646.21M | 597.59M | 499.16M | 389.49M | 203.6M |
| NII Growth % | 220.31% | 56.64% | 4.63% | -4.29% | 14.74% | 5.84% | -0.14% | -28.31% | 10.5% | 9.18% | 16.73% | 10.13% | 4.78% | 8.14% | 19.72% | 28.16% | 91.3% | - |
| Net Interest Margin % | 4.1% | 4.09% | 2.59% | 2.44% | 2.47% | 2.22% | 2.15% | 2.29% | 3.26% | 3.13% | 3.12% | 3.12% | 3.52% | 4.29% | 4.83% | 4.41% | 3.58% | 1.83% |
| Interest Income | 2.22B | 2.24B | 1.93B | 1.86B | 1.23B | 959.45M | 1.07B | 1.28B | 1.45B | 1.2B | 1.06B | 880.82M | 783.74M | 738.82M | 720.86M | 638.1M | 557.69M | 287.46M |
| Interest Expense | 767.86M | 805.21M | 1.01B | 983.78M | 317.49M | 163.76M | 315.85M | 529.09M | 399.05M | 254.19M | 188.83M | 135.16M | 106.65M | 92.61M | 123.27M | 138.94M | 168.2M | 83.86M |
| Loan Loss Provision | 286.49M | 277.02M | 55.07M | 87.61M | 75.15M | -67.12M | 178.43M | 8.9M | 25.93M | 68.75M | 50.91M | 44.31M | 41.51M | 31.96M | 18.9M | 13.83M | 51.41M | 22.62M |
| Non-Interest Income | -92.49M | -94.92M | 99.16M | 86.84M | 77.64M | 134.15M | 133.22M | 147.2M | 132.02M | 157.9M | 106.42M | 102.22M | 84.17M | 58.65M | 68.55M | 27.31M | 234.15M | 269.59M |
| Non-Interest Income % | -4.36% | -4.43% | 4.9% | 4.47% | 5.94% | 12.27% | 11.09% | 10.3% | 8.35% | 11.59% | 9.13% | 10.4% | 9.7% | 7.35% | 8.68% | 4.1% | 29.57% | 48.4% |
| Total Revenue | 2.12B | 2.14B | 2.02B | 1.94B | 1.31B | 1.09B | 1.2B | 1.43B | 1.58B | 1.36B | 1.17B | 983.04M | 867.91M | 797.47M | 789.4M | 665.4M | 791.84M | 557.05M |
| Revenue Growth % | 26.81% | 5.84% | 4.11% | 48.65% | 19.61% | -8.93% | -15.97% | -9.62% | 16.06% | 16.88% | 18.57% | 13.27% | 8.83% | 1.02% | 18.63% | -15.97% | 42.15% | - |
| Non-Interest Expense | 710M | 702.86M | 642M | 635.95M | 540.31M | 547.58M | 457.19M | 487.09M | 740.54M | 634.97M | 590.45M | 506.67M | 426.5M | 354.9M | 302.37M | 319.9M | 259.69M | 251.15M |
| Efficiency Ratio | 33.44% | 32.81% | 31.72% | 32.71% | 41.31% | 50.07% | 38.07% | 34.08% | 46.84% | 46.61% | 50.65% | 51.54% | 49.14% | 44.5% | 38.3% | 48.08% | 32.8% | 45.09% |
| Operating Income | 358.99M | 357.32M | 316.35M | 237.08M | 375.13M | 449.38M | 250.06M | 404M | 415.65M | 404.46M | 335.44M | 296.89M | 293.25M | 318M | 344.87M | 192.74M | 312.54M | 199.42M |
| Operating Margin % | 16.91% | 16.68% | 15.63% | 12.19% | 28.68% | 41.09% | 20.82% | 28.27% | 26.29% | 29.69% | 28.78% | 30.2% | 33.79% | 39.88% | 43.69% | 28.97% | 39.47% | 35.8% |
| Operating Income Growth % | - | 12.95% | 33.43% | -36.8% | -16.52% | 79.71% | -38.1% | -2.8% | 2.77% | 20.57% | 12.98% | 1.24% | -7.78% | -7.79% | 78.92% | -38.33% | 56.72% | - |
| Pretax Income | 358.99M | 357.32M | 316.35M | 237.08M | 375.13M | 449.38M | 249.36M | 404M | 415.65M | 404.46M | 335.44M | 296.89M | 293.25M | 318M | 344.87M | 192.74M | 312.54M | 199.42M |
| Pretax Margin % | 16.91% | 16.68% | 15.63% | 12.19% | 28.68% | 41.09% | 20.77% | 28.27% | 26.29% | 29.69% | 28.78% | 30.2% | 33.79% | 39.88% | 43.69% | 28.97% | 39.47% | 35.8% |
| Income Tax | 91.66M | 93.39M | 83.88M | 58.41M | 90.16M | 34.4M | 51.51M | 90.9M | 90.78M | -209.81M | 109.7M | 45.23M | 89.03M | 109.07M | 133.6M | 129.58M | 127.81M | 80.38M |
| Effective Tax Rate % | 25.53% | 26.14% | 26.52% | 24.64% | 24.03% | 7.66% | 20.66% | 22.5% | 21.84% | -51.87% | 32.7% | 15.24% | 30.36% | 34.3% | 38.74% | 67.23% | 40.89% | 40.3% |
| Net Income | 271.77M | 268.37M | 232.47M | 178.67M | 284.97M | 414.98M | 197.85M | 313.1M | 324.87M | 614.27M | 225.74M | 251.66M | 204.22M | 208.94M | 211.26M | 63.17M | 184.74M | 119.05M |
| Net Margin % | 12.8% | 12.53% | 11.48% | 9.19% | 21.79% | 37.95% | 16.48% | 21.91% | 20.55% | 45.09% | 19.37% | 25.6% | 23.53% | 26.2% | 26.76% | 9.49% | 23.33% | 21.37% |
| Net Income Growth % | 11.85% | 15.44% | 30.11% | -37.3% | -31.33% | 109.74% | -36.81% | -3.62% | -47.11% | 172.11% | -10.3% | 23.23% | -2.26% | -1.1% | 234.44% | -65.81% | 55.18% | - |
| Net Income (Continuing) | 267.33M | 263.93M | 232.47M | 178.67M | 284.97M | 414.98M | 197.85M | 313.1M | 324.87M | 614.27M | 225.74M | 251.66M | 204.22M | 208.94M | 211.26M | 63.17M | 184.74M | 119.05M |
| EPS (Diluted) | 3.53 | 3.54 | 3.08 | 2.38 | 3.54 | 4.52 | 2.06 | 3.13 | 2.99 | 5.58 | 2.09 | 2.35 | 1.95 | 2.01 | 2.05 | 0.62 | 1.91 | 1.29 |
| EPS Growth % | 10.56% | 14.94% | 29.41% | -32.77% | -21.68% | 119.42% | -34.19% | 4.68% | -46.42% | 166.99% | -11.06% | 20.51% | -2.99% | -1.95% | 230.65% | -67.54% | 48.06% | - |
| EPS (Basic) | - | 3.56 | 3.10 | 2.39 | 3.55 | 4.52 | 2.06 | 3.14 | 3.01 | 5.60 | 2.11 | 2.37 | 1.95 | 2.03 | 2.05 | 0.63 | 1.91 | 1.29 |
| Diluted Shares Outstanding | 76.96M | 76.96M | 73.98M | 73.52M | 78.81M | 90.4M | 91.73M | 95.66M | 104.08M | 105.86M | 103.66M | 102.97M | 100.6M | 99.75M | 93.83M | 95.61M | 96.97M | 92.67M |
CRE concentration and funding
According to recent financial disclosures, BankUnited's net interest income reached $249.0 million in 2026Q1, reflecting a 6.8% growth rate that appears increasingly challenged by the rising cost of deposits and the competitive pressures inherent in the firm's Florida and New York commercial banking footprint.
The trajectory of net interest income suggests that the bank is struggling to maintain expansion as deposit betas rise in a competitive rate environment. While growth remains positive, the reliance on commercial-centric funding may limit the bank's ability to capture spread expansion compared to more diversified retail-heavy peers.
As reported in quarterly filings, the net interest margin has remained stubbornly low at 0.7% for most of the last ten quarters, indicating that the bank's asset yields are failing to outpace the rising cost of funding its commercial loan portfolio in the current cycle.
The consistent 0.7% NIM suggests a structural inability to reprice assets effectively against the bank's funding base. Investors should monitor whether this compression is a temporary byproduct of the current yield curve or a permanent feature of the bank's commercial-heavy business model.
Based on the latest income statement data, the efficiency ratio fluctuated to 37.5% in 2026Q1, highlighting potential difficulties in managing non-interest expenses relative to total revenue as the bank attempts to scale its specialized commercial lending operations across its core geographic markets.
The variability in the efficiency ratio suggests that operating leverage is not currently working in the bank's favor. If the firm cannot stabilize these costs, it may face continued pressure on its bottom-line profitability during periods of slower revenue growth.
As indicated by the $24.6 million provision expense recorded in 2026Q1, BankUnited continues to navigate a challenging credit environment, with the firm's provisioning strategy appearing to prioritize capital preservation in response to the heightened risks associated with its significant commercial real estate loan concentration.
The provision expense levels suggest that management is proactively addressing potential credit deterioration within the portfolio. Given the bank's exposure to New York commercial real estate, investors should remain cautious regarding the adequacy of these reserves should market conditions in that sector soften further.
Quick answers to the most common questions about buying BKU stock.
BankUnited, Inc. (BKU) is profitable, generating $268.4M in net income for the fiscal year ending 2025 with a net profit margin of 12.5%.
BankUnited, Inc. (BKU) reported an operating income of $357.3M, resulting in an operating profit margin of 16.7%. This margin reflects the operational efficiency of the business before interest and taxes.
BankUnited, Inc. (BKU) generated $1.06B in gross profit for the year, representing a gross profit margin of 49.5%. This demonstrates the company's core pricing power and production efficiency.