Net interest income rose 3.1% YoY to $60.8M in Q2 2026, but the efficiency ratio deteriorated to 50.1% from 40.0% in Q1, indicating rising costs.
City Holding Company (CHCO) annual income statement — 30-year revenue, gross profit & net income history
| 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 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Net Interest Income | 242.04M | 236.4M | 220.24M | 219.24M | 180.03M | 155.57M | 154.64M | 161.36M | 138.21M | 126.13M | 118.94M | 115.24M | 117.61M | 125.24M | 97.76M | 92.13M | 94.29M | 95.43M | 101.75M | 97.04M | 102.4M | 97.08M | 87.01M | 85.5M | 86.67M | 91.06M | 89.16M | 98.42M | 103.3M | 97.2M | 91.4M |
| NII Growth % | 28.78% | 7.34% | 0.45% | 21.78% | 15.72% | 0.6% | -4.16% | 16.75% | 9.58% | 6.04% | 3.21% | -2.01% | -6.09% | 28.11% | 6.11% | -2.29% | -1.2% | -6.21% | 4.86% | -5.23% | 5.48% | 11.57% | 1.76% | -1.34% | -4.83% | 2.14% | -9.41% | -4.72% | 6.28% | 6.35% | 120.24% |
| Net Interest Margin % | 3.57% | 3.52% | 3.41% | 3.55% | 3.06% | 2.59% | 2.69% | 3.21% | 2.82% | 3.05% | 3% | 3.1% | 3.4% | 3.72% | 3.35% | 3.32% | 3.58% | 3.64% | 3.93% | 3.91% | 4.08% | 3.88% | 3.93% | 3.86% | 4.23% | 4.3% | 3.34% | 3.52% | 3.82% | 4.25% | 8.71% |
| Interest Income | 322.52M | 321.22M | 306.43M | 271.26M | 189.69M | 165.47M | 178.26M | 197.7M | 163.9M | 142.93M | 132.15M | 127.07M | 129.57M | 138.54M | 112.21M | 112.89M | 121.92M | 132.04M | 147.67M | 157.31M | 156.12M | 135.52M | 118.88M | 117.29M | 128.97M | 177.48M | 202.91M | 195.55M | 196.7M | 173.2M | 159.7M |
| Interest Expense | 80.48M | 84.81M | 86.19M | 52.02M | 9.65M | 9.89M | 23.61M | 36.34M | 25.69M | 16.8M | 13.21M | 11.83M | 11.96M | 13.3M | 14.45M | 20.76M | 27.63M | 36.6M | 45.92M | 60.28M | 53.72M | 38.44M | 31.87M | 31.79M | 42.3M | 86.42M | 113.76M | 97.13M | 93.4M | 76M | 68.3M |
| Loan Loss Provision | 100K | -2.5M | 1.82M | 3.24M | 474K | -3.17M | 10.72M | -1.25M | -2.31M | 3.01M | 4.39M | 6.99M | 4.05M | 6.85M | 6.38M | 4.6M | 7.09M | 6.99M | 10.42M | 5.35M | 3.8M | 1.4M | 0 | -6.2M | 1.8M | 32.18M | 25.48M | 19.29M | 8.5M | 4.1M | 5M |
| Non-Interest Income | 57.19M | 70.89M | 64.83M | 63.18M | 66.05M | 63.19M | 76.79M | 62.94M | 56.06M | 59.68M | 54.37M | 52M | 54.97M | 54.98M | 52.59M | 52.6M | 46.99M | 57.32M | 60.21M | 56.14M | 54.2M | 50.09M | 44.58M | 39.66M | 34.1M | 42.85M | 41.03M | 59.53M | 72.4M | 32.61M | 16.5M |
| Non-Interest Income % | 19.11% | 23.07% | 22.74% | 22.37% | 26.84% | 28.88% | 33.18% | 28.06% | 28.86% | 32.12% | 31.37% | 31.09% | 31.85% | 30.51% | 34.98% | 36.34% | 33.26% | 37.53% | 37.17% | 36.65% | 34.61% | 34.04% | 33.88% | 31.69% | 28.24% | 32% | 31.52% | 37.69% | 41.21% | 25.12% | 15.29% |
| Total Net Revenue | 299.23M | 307.3M | 285.06M | 282.42M | 246.08M | 218.76M | 231.43M | 224.3M | 194.27M | 185.81M | 173.31M | 167.25M | 172.58M | 180.22M | 150.36M | 144.73M | 141.27M | 152.75M | 161.96M | 153.18M | 156.6M | 147.17M | 131.59M | 125.17M | 120.77M | 133.92M | 130.19M | 157.96M | 175.7M | 129.81M | 107.9M |
| Revenue Growth % | 2.55% | 7.8% | 0.93% | 14.77% | 12.49% | -5.48% | 3.18% | 15.46% | 4.55% | 7.21% | 3.63% | -3.09% | -4.24% | 19.86% | 3.89% | 2.45% | -7.52% | -5.68% | 5.74% | -2.19% | 6.41% | 11.84% | 5.13% | 3.64% | -9.82% | 2.86% | -17.58% | -10.1% | 35.35% | 20.31% | 125.73% |
| Non-Interest Expense | 154.83M | 147.23M | 138.73M | 136.07M | 118.74M | 110.73M | 109.4M | 112.06M | 108.56M | 92.06M | 91.71M | 77.75M | 91.29M | 99.88M | 84.74M | 78.88M | 76.77M | 82.58M | 113.94M | 71.01M | 71.28M | 69.11M | 60.88M | 65.42M | 69.79M | 114.41M | 158.81M | 130.61M | 155.5M | 84.91M | 70.1M |
| Efficiency Ratio | 51.74% | 47.91% | 48.67% | 48.18% | 48.25% | 50.62% | 47.27% | 49.96% | 55.88% | 49.54% | 52.91% | 46.49% | 52.9% | 55.42% | 56.36% | 54.5% | 54.34% | 54.06% | 70.35% | 46.36% | 45.52% | 46.96% | 46.26% | 52.27% | 57.79% | 85.43% | 121.99% | 82.69% | 88.5% | 65.41% | 64.97% |
| Operating Income | 144.31M | 162.56M | 144.52M | 143.11M | 127.33M | 111.19M | 111.31M | 113.49M | 88.02M | 90.75M | 77.21M | 82.51M | 77.23M | 73.49M | 59.24M | 61.25M | 57.41M | 63.18M | 37.6M | 76.81M | 81.52M | 76.66M | 70.71M | 65.94M | 49.18M | -12.67M | -54.1M | 8.05M | 11.7M | 40.8M | 32.8M |
| Operating Margin % | 48.22% | 52.9% | 50.7% | 50.67% | 51.75% | 50.83% | 48.1% | 50.6% | 45.31% | 48.84% | 44.55% | 49.33% | 44.75% | 40.78% | 39.4% | 42.32% | 40.64% | 41.36% | 23.21% | 50.15% | 52.05% | 52.09% | 53.74% | 52.69% | 40.72% | -9.46% | -41.56% | 5.1% | 6.66% | 31.43% | 30.4% |
| Operating Income Growth % | - | 12.49% | 0.99% | 12.39% | 14.52% | -0.11% | -1.92% | 28.94% | -3.01% | 17.53% | -6.42% | 6.83% | 5.09% | 24.05% | -3.28% | 6.68% | -9.13% | 68.04% | -51.05% | -5.77% | 6.34% | 8.41% | 7.23% | 34.09% | 488.29% | 76.59% | -771.67% | -31.15% | -71.32% | 24.39% | 154.26% |
| Pretax Income | 163.97M | 161.47M | 144.52M | 143.11M | 127.33M | 111.19M | 111.31M | 113.49M | 88.02M | 90.75M | 77.21M | 82.51M | 77.23M | 73.49M | 59.24M | 61.25M | 57.41M | 63.18M | 37.6M | 76.81M | 81.52M | 76.66M | 70.71M | 65.94M | 49.18M | -12.67M | -54.1M | 8.05M | 11.7M | 40.8M | 32.8M |
| Pretax Margin % | 54.8% | 52.54% | 50.7% | 50.67% | 51.75% | 50.83% | 48.1% | 50.6% | 45.31% | 48.84% | 44.55% | 49.33% | 44.75% | 40.78% | 39.4% | 42.32% | 40.64% | 41.36% | 23.21% | 50.15% | 52.05% | 52.09% | 53.74% | 52.69% | 40.72% | -9.46% | -41.56% | 5.1% | 6.66% | 31.43% | 30.4% |
| Income Tax | 32.18M | 30.98M | 27.41M | 28.74M | 25.26M | 23.11M | 21.72M | 24.14M | 18.02M | 36.44M | 25.08M | 28.41M | 24.27M | 25.27M | 20.3M | 20.57M | 18.45M | 20.53M | 9.49M | 25.79M | 28.33M | 26.37M | 24.37M | 22.25M | 16.72M | -4.65M | -15.73M | 1.84M | 6.5M | 14.5M | 11.5M |
| Effective Tax Rate % | 19.63% | 19.19% | 18.97% | 20.08% | 19.84% | 20.79% | 19.51% | 21.27% | 20.47% | 40.15% | 32.49% | 34.44% | 31.43% | 34.39% | 34.26% | 33.59% | 32.14% | 32.5% | 25.23% | 33.57% | 34.75% | 34.4% | 34.46% | 33.74% | 34% | 36.72% | 29.07% | 22.87% | 55.56% | 35.54% | 35.06% |
| Net Income | 131.79M | 130.49M | 117.1M | 114.36M | 102.07M | 88.08M | 89.59M | 89.35M | 70M | 54.31M | 52.13M | 54.1M | 52.96M | 48.22M | 38.95M | 40.68M | 38.96M | 42.65M | 28.11M | 51.03M | 53.19M | 50.29M | 46.34M | 43.69M | 32.46M | -26M | -38.37M | 6.21M | 5.2M | 26.3M | 21.3M |
| Net Margin % | 44.04% | 42.46% | 41.08% | 40.49% | 41.48% | 40.26% | 38.71% | 39.84% | 36.03% | 29.23% | 30.08% | 32.35% | 30.69% | 26.75% | 25.9% | 28.11% | 27.58% | 27.92% | 17.36% | 33.31% | 33.96% | 34.17% | 35.22% | 34.91% | 26.88% | -19.42% | -29.47% | 3.93% | 2.96% | 20.26% | 19.74% |
| Net Income Growth % | 7.85% | 11.43% | 2.39% | 12.04% | 15.88% | -1.69% | 0.27% | 27.64% | 28.89% | 4.19% | -3.64% | 2.14% | 9.85% | 23.8% | -4.26% | 4.41% | -8.64% | 51.71% | -44.91% | -4.06% | 5.76% | 8.51% | 6.06% | 34.61% | 224.84% | 32.24% | -717.62% | 19.48% | -80.23% | 23.47% | 144.83% |
| Net Income (Continuing) | 131.79M | 130.49M | 117.1M | 114.36M | 102.07M | 88.08M | 89.59M | 89.35M | 70M | 54.31M | 52.13M | 54.1M | 52.96M | 48.22M | 38.95M | 40.68M | 38.96M | 42.65M | 28.11M | 51.03M | 53.19M | 50.29M | 46.34M | 43.69M | 32.46M | -8.02M | -38.37M | 6.21M | 5.2M | 26.3M | 21.3M |
| EPS (Diluted) | 9.37 | 8.94 | 7.89 | 7.61 | 6.80 | 5.66 | 5.55 | 5.42 | 4.53 | 3.48 | 3.45 | 3.53 | 3.38 | 3.06 | 2.61 | 2.67 | 2.47 | 2.68 | 1.74 | 3.01 | 2.99 | 2.84 | 2.75 | 2.58 | 1.90 | -1.54 | -2.27 | 0.37 | 0.31 | 1.60 | 1.34 |
| EPS Growth % | 9.99% | 13.31% | 3.68% | 11.91% | 20.14% | 1.98% | 2.4% | 19.65% | 30.17% | 0.87% | -2.27% | 4.44% | 10.46% | 17.24% | -2.25% | 8.1% | -7.84% | 54.02% | -42.19% | 0.67% | 5.28% | 3.27% | 6.59% | 35.79% | 223.38% | 32.16% | -713.51% | 19.35% | -80.63% | 19.4% | -13.55% |
| EPS (Basic) | - | 8.94 | 7.91 | 7.62 | 6.81 | 5.67 | 5.55 | 5.43 | 4.54 | 3.49 | 3.46 | 3.54 | 3.40 | 3.10 | 2.63 | 2.68 | 2.48 | 2.69 | 1.74 | 3.02 | 3.00 | 2.87 | 2.79 | 2.63 | 1.93 | -1.54 | -2.27 | 0.37 | 0.31 | 1.60 | 1.34 |
| Diluted Shares Outstanding | 14.06M | 14.37M | 14.7M | 14.89M | 14.87M | 15.41M | 15.99M | 16.33M | 15.44M | 15.44M | 14.91M | 15.17M | 15.49M | 15.73M | 14.8M | 15.13M | 15.65M | 15.93M | 16.17M | 16.93M | 17.76M | 17.69M | 16.88M | 16.95M | 17.07M | 16.89M | 16.88M | 16.84M | 16.89M | 6.09M | 6.19M |
Quick answers to the most common questions about buying CHCO stock.
For fiscal year 2025, City Holding Company (CHCO) reported total revenue of $307.3M. This represents a 184.8% increase compared to $107.9M in 1996.
City Holding Company (CHCO) is profitable, generating $130.5M in net income for the fiscal year ending 2025 with a net profit margin of 33.3%.
City Holding Company (CHCO) reported an operating income of $162.6M, resulting in an operating profit margin of 41.5%. This margin reflects the operational efficiency of the business before interest and taxes.
City Holding Company (CHCO) generated $309.8M in gross profit for the year, representing a gross profit margin of 79.0%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Regulatory pressure on fee income
Metrics are mathematically derived from official filings.
Steady NII Growth Amid Rate Plateau
Net interest income rose 3.1% YoY to $60.8M in Q2 2026, per company filings, reflecting modest loan growth and stable funding costs.
NII growth has been consistent, with quarterly figures climbing from $54.4M in Q1 2024 to $60.8M in Q2 2026, a cumulative increase of about 11.8%. This suggests the bank is successfully navigating the rate environment, likely benefiting from its low-cost deposit base. However, the pace has slowed from the 9.9% YoY growth seen in Q3 2025 to 3.1% in Q2 2026, indicating that the benefits of prior rate hikes are waning. Investors should monitor whether loan growth can sustain NII momentum as the yield curve remains flat.
NIM Stability Masks Underlying Pressure
Net interest margin held at 0.9% for the past eight quarters, as reported in financial statements, indicating stable asset yields and funding costs.
The NIM has been remarkably stable at 0.9% since Q1 2024, which is unusually low for a regional bank, suggesting a high proportion of non-interest-bearing assets or a conservative balance sheet. This stability may reflect the bank's ability to keep deposit costs low, but it also implies limited upside from rate movements. The gross margin of 79.01% and operating margin of 41.46% are strong, but the NIM's flatness warrants attention; if funding costs rise faster than asset yields, margins could compress.
Efficiency Ratio Deteriorates in Q2
Efficiency ratio jumped to 50.1% in Q2 2026 from 40.0% in Q1, based on reported figures, signaling a sharp increase in non-interest expenses.
The efficiency ratio had been improving, reaching a low of 35.7% in Q3 2025, but the Q2 2026 spike to 50.1% is a significant deviation. This suggests that non-interest expenses rose disproportionately relative to revenue, possibly due to one-time costs or investments. The operating income fell to $20.6M from $39.3M in Q1, despite similar revenue levels, indicating a cost control issue. If this is not a one-off, it could erode the bank's historically strong operating leverage.
Provision Releases Bolster Earnings
Provision for credit losses was negative in Q3 2025 and Q2 2025, as per SEC filings, indicating reserve releases that boosted net income.
The bank recorded negative provisions of $0.5M and $2.0M in Q3 2025 and Q2 2025, respectively, which contributed to higher net income in those quarters. This suggests improving credit quality or a conservative allowance built earlier. However, provisions turned positive in Q1 2026 ($0.6M) and were zero in Q2 2026, implying that the benefit from releases has faded. Investors should watch for any uptick in charge-offs, especially given the bank's exposure to the Appalachian economy.
Fee Income Growth Slows, Regulatory Risk Looms
Non-interest income grew 5.6% YoY to $19.6M in Q2 2026, per company reports, but fee income as a percentage of revenue dipped to 19.9%.
Fee income has been a stable contributor, with the fee ratio hovering around 17-20% of total revenue. However, the growth rate has decelerated from 20.7% YoY in Q4 2024 to 5.6% in Q2 2026, suggesting a maturing fee stream. The composition likely includes service charges and wealth management fees, but the former is under regulatory scrutiny. If overdraft fees are capped, this could significantly impact non-interest income, given the bank's retail-heavy deposit base.
Earnings Quality Questioned by Fee Reliance
Q2 2026 EPS of $2.35 matched consensus, but the efficiency ratio spike and flat NIM suggest earnings quality may be overstated, per financial data.
The in-line EPS print with no guidance revision offers little reassurance. The sharp rise in the efficiency ratio to 50.1% in Q2 2026, despite stable revenue, indicates that expenses are growing faster than income, which could be a red flag. Additionally, the bank's reliance on service charges on deposits, which are subject to regulatory action, poses a risk to future fee income. If these fees are curtailed, the bank's profitability could be strained, especially given its high fixed-cost branch network.