Net interest income grew 13.2% year-over-year in 2026Q1, yet the net interest margin remains compressed at a stagnant 0.7%.
| 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 | 58.5M | 56.74M | 48.45M | 54.55M | 67.15M | 48.58M | 45.88M | 43.16M | 34.36M | 30.77M | 30.05M | 27.37M | 25.36M | 24.43M | 23.73M | 23.75M | 25.1M | 23.35M | 22.23M | 17.89M | 19.24M | 20.27M | 19.76M | 18.84M | 17.67M | 15.2M | 14.69M | 14.3M | 12.93M | 11.95M | 11.05M |
| NII Growth % | 68.51% | 17.12% | -11.2% | -18.76% | 38.24% | 5.87% | 6.31% | 25.61% | 11.68% | 2.37% | 9.81% | 7.91% | 3.83% | 2.95% | -0.12% | -5.35% | 7.49% | 5.01% | 24.31% | -7.04% | -5.06% | 2.58% | 4.88% | 6.57% | 16.25% | 3.49% | 2.73% | 10.64% | 8.18% | 8.12% | - |
| Net Interest Margin % | 2.9% | 2.81% | 2.35% | 2.59% | 3.24% | 3% | 3.07% | 3.25% | 3.13% | 3.32% | 3.29% | 3.16% | 3.27% | 3.52% | 3.43% | 3.64% | 3.98% | 3.53% | 3.34% | 2.84% | 3.11% | 3.23% | 3.54% | 3.7% | 3.62% | 3.45% | 3.74% | 3.95% | 3.74% | 3.74% | 3.69% |
| Interest Income | 92.14M | 91.76M | 89.18M | 85.78M | 72.03M | 50.66M | 51.62M | 52.25M | 39.45M | 33.36M | 32.4M | 29.38M | 27.18M | 26.16M | 26.07M | 26.99M | 30.09M | 32.19M | 35.17M | 35.77M | 34.98M | 30.02M | 26.61M | 26.36M | 27.78M | 28.43M | 28.08M | 25.6M | 25.23M | 23.67M | 22.34M |
| Interest Expense | 33.64M | 35.02M | 40.73M | 31.23M | 4.89M | 2.08M | 5.74M | 9.09M | 5.09M | 2.59M | 2.35M | 2.01M | 1.82M | 1.73M | 2.35M | 3.23M | 4.99M | 8.84M | 12.93M | 17.88M | 15.74M | 9.76M | 6.86M | 7.52M | 10.11M | 13.22M | 13.39M | 11.3M | 12.31M | 11.72M | 11.29M |
| Loan Loss Provision | -604K | -205K | -503K | 2.02M | 0 | 1.51M | 3.69M | 2.58M | 1.31M | 1.2M | 1.27M | 954K | 875K | 450K | 2.35M | 3.51M | 5.57M | 8.54M | 2.39M | 552K | 15K | 245K | 385K | 420K | 720K | 230K | 175K | 200K | 110K | 221K | 85K |
| Non-Interest Income | 9.49M | 9.3M | 22.65M | 10.75M | 11.51M | 15.95M | 18.15M | 10.67M | 9.1M | 7.75M | 7.61M | 6.85M | 6.07M | 5.36M | 7.54M | 6.25M | 5.92M | 5.6M | 4.53M | 4.43M | 4.22M | 3.54M | 3.31M | 2.97M | 2.67M | 2.4M | 2M | 1.7M | -11.47M | -10.66M | -10.28M |
| Non-Interest Income % | 9.33% | 9.2% | 20.25% | 11.13% | 13.78% | 23.94% | 26.01% | 16.96% | 18.74% | 18.86% | 19.03% | 18.91% | 18.26% | 17% | 22.42% | 18.8% | 16.44% | 14.82% | 11.41% | 11.02% | 10.76% | 10.55% | 11.07% | 10.12% | 8.78% | 7.79% | 6.63% | 6.23% | -83.3% | -81.96% | -85.31% |
| Total Revenue | 101.63M | 101.06M | 111.83M | 96.53M | 83.54M | 66.6M | 69.77M | 62.92M | 48.55M | 41.11M | 40.01M | 36.23M | 33.26M | 31.52M | 33.61M | 33.23M | 36M | 37.79M | 39.7M | 40.2M | 39.2M | 33.56M | 29.93M | 29.32M | 30.46M | 30.83M | 30.07M | 27.3M | 13.77M | 13.01M | 12.05M |
| Revenue Growth % | 3.09% | -9.63% | 15.85% | 15.54% | 25.44% | -4.54% | 10.89% | 29.6% | 18.1% | 2.74% | 10.43% | 8.95% | 5.52% | -6.23% | 1.14% | -7.7% | -4.73% | -4.8% | -1.25% | 2.55% | 16.79% | 12.16% | 2.05% | -3.71% | -1.2% | 2.51% | 10.15% | 98.3% | 5.83% | 7.92% | - |
| Non-Interest Expense | 58.43M | 58.14M | 58.14M | 55.23M | 62.1M | 46.64M | 41.64M | 37.39M | 31.38M | 25.49M | 24.71M | 23.62M | 21.02M | 19.82M | 20.12M | 19.93M | 19.47M | 18.73M | 17M | 14.53M | 14.3M | 13.77M | 13.17M | 12.04M | 10.86M | 9.91M | 9.45M | 8.8M | -4.88M | -4.57M | -2.93M |
| Efficiency Ratio | 57.5% | 57.53% | 51.99% | 57.22% | 74.33% | 70.02% | 59.68% | 59.42% | 64.64% | 62% | 61.75% | 65.18% | 63.19% | 62.89% | 59.86% | 59.96% | 54.07% | 49.58% | 42.82% | 36.13% | 36.47% | 41.03% | 44.02% | 41.05% | 35.65% | 32.15% | 31.42% | 32.23% | -35.43% | -35.16% | -24.27% |
| Operating Income | 10.16M | 8.11M | 13.46M | 8.04M | 16.56M | 16.38M | 18.71M | 13.86M | 10.77M | 11.83M | 11.69M | 9.65M | 9.55M | 9.52M | 8.79M | 6.56M | 5.98M | 1.68M | 7.38M | 7.24M | 9.15M | 9.79M | 9.51M | 9.35M | 8.77M | 7.46M | 7.06M | 7M | 6.22M | 5.64M | 3.61M |
| Operating Margin % | 10% | 8.02% | 12.03% | 8.33% | 19.82% | 24.59% | 26.81% | 22.02% | 22.18% | 28.78% | 29.22% | 26.63% | 28.71% | 30.19% | 26.16% | 19.75% | 16.6% | 4.43% | 18.58% | 18.01% | 23.34% | 29.17% | 31.78% | 31.87% | 28.8% | 24.21% | 23.48% | 25.64% | 45.21% | 43.35% | 29.93% |
| Operating Income Growth % | - | -39.73% | 67.25% | -51.41% | 1.11% | -12.45% | 35% | 28.69% | -8.99% | 1.2% | 21.14% | 1.08% | 0.34% | 8.2% | 33.97% | 9.84% | 256.78% | -77.29% | 1.86% | -20.87% | -6.55% | 2.96% | 1.73% | 6.58% | 17.5% | 5.69% | 0.89% | 12.47% | 10.37% | 56.31% | - |
| Pretax Income | 10.16M | 8.11M | 13.46M | 8.04M | 16.56M | 16.38M | 18.71M | 13.86M | 10.77M | 11.83M | 11.69M | 9.65M | 9.55M | 9.52M | 8.79M | 6.56M | 5.98M | 1.68M | 7.38M | 7.24M | 9.15M | 9.79M | 9.51M | 9.35M | 8.77M | 7.46M | 7.06M | 7M | 6.22M | 5.64M | 3.61M |
| Pretax Margin % | 10% | 8.02% | 12.03% | 8.33% | 19.82% | 24.59% | 26.81% | 22.02% | 22.18% | 28.78% | 29.22% | 26.63% | 28.71% | 30.19% | 26.16% | 19.75% | 16.6% | 4.43% | 18.58% | 18.01% | 23.34% | 29.17% | 31.78% | 31.87% | 28.8% | 24.21% | 23.48% | 25.64% | 45.21% | 43.35% | 29.93% |
| Income Tax | 285K | 23K | 1.32M | -335K | 1.48M | 1.41M | 2.77M | 1.76M | 1.43M | 2.87M | 2.55M | 1.8M | 2.15M | 2.4M | 1.94M | 1.18M | 797K | -813K | 1.45M | 1.65M | 2.67M | 3.12M | 3.22M | 3.41M | 3.28M | 2.75M | 2.69M | 2.8M | 2.46M | 2.22M | 1.42M |
| Effective Tax Rate % | 2.81% | 0.28% | 9.85% | -4.16% | 8.93% | 8.63% | 14.83% | 12.69% | 13.28% | 24.25% | 21.8% | 18.63% | 22.55% | 25.19% | 22.07% | 17.96% | 13.34% | -48.54% | 19.59% | 22.8% | 29.23% | 31.85% | 33.85% | 36.49% | 37.37% | 36.9% | 38.11% | 40% | 39.54% | 39.42% | 39.33% |
| Net Income | 9.87M | 8.09M | 12.13M | 8.38M | 15.08M | 14.96M | 15.93M | 12.1M | 9.34M | 8.96M | 9.14M | 7.85M | 7.39M | 7.12M | 6.85M | 5.38M | 5.18M | 2.49M | 5.93M | 5.59M | 6.47M | 6.67M | 6.29M | 5.94M | 5.49M | 4.71M | 4.37M | 4.2M | 3.76M | 3.42M | 2.19M |
| Net Margin % | 9.72% | 8% | 10.85% | 8.68% | 18.05% | 22.47% | 22.84% | 19.23% | 19.23% | 21.8% | 22.85% | 21.67% | 22.23% | 22.59% | 20.39% | 16.2% | 14.38% | 6.58% | 14.94% | 13.9% | 16.52% | 19.88% | 21.02% | 20.24% | 18.04% | 15.28% | 14.54% | 15.38% | 27.33% | 26.26% | 18.16% |
| Net Income Growth % | 198.76% | -33.33% | 44.75% | -44.43% | 0.78% | -6.08% | 31.7% | 29.56% | 4.2% | -1.98% | 16.43% | 6.19% | 3.88% | 3.87% | 27.26% | 3.98% | 108.16% | -58.04% | 6.1% | -13.68% | -2.95% | 6.07% | 5.96% | 8.06% | 16.62% | 7.76% | 4.07% | 11.61% | 10.16% | 56.08% | - |
| Net Income (Continuing) | 9.87M | 8.09M | 12.13M | 8.38M | 15.08M | 14.96M | 15.93M | 12.1M | 9.34M | 8.96M | 9.14M | 7.85M | 7.39M | 7.12M | 6.85M | 5.38M | 5.18M | 2.49M | 5.93M | 5.59M | 6.47M | 6.67M | 6.29M | 5.94M | 5.49M | 4.71M | 4.37M | 4.2M | 3.76M | 3.42M | 2.19M |
| EPS (Diluted) | 2.30 | 1.88 | 2.84 | 1.96 | 3.60 | 4.30 | 4.79 | 3.53 | 3.08 | 3.13 | 3.20 | 2.75 | 2.60 | 2.51 | 2.41 | 1.90 | 1.83 | 0.88 | 2.10 | 1.98 | 2.30 | 2.37 | 2.24 | 2.13 | 1.99 | 1.71 | 1.60 | 1.52 | 1.35 | 1.23 | 0.80 |
| EPS Growth % | 196.06% | -33.8% | 44.9% | -45.56% | -16.28% | -10.23% | 35.69% | 14.61% | -1.6% | -2.19% | 16.36% | 5.77% | 3.59% | 4.15% | 26.84% | 3.83% | 107.95% | -58.1% | 6.06% | -13.91% | -2.95% | 5.8% | 5.16% | 7.04% | 16.37% | 6.88% | 5.26% | 12.59% | 9.76% | 53.75% | - |
| EPS (Basic) | - | 1.89 | 2.84 | 1.96 | 3.61 | 4.30 | 4.79 | 3.53 | 3.08 | 3.13 | 3.20 | 2.75 | 2.60 | 2.51 | 2.41 | 1.90 | 1.83 | 0.88 | 2.11 | 1.99 | 2.32 | 2.40 | 2.28 | 2.16 | 2.01 | 1.73 | 1.61 | 1.53 | 1.36 | 1.24 | 0.80 |
| Diluted Shares Outstanding | 4.3M | 4.29M | 4.27M | 4.28M | 4.19M | 3.48M | 3.46M | 3.42M | 3.03M | 2.86M | 2.86M | 2.85M | 2.84M | 2.84M | 2.84M | 2.84M | 2.82M | 2.81M | 2.83M | 2.82M | 2.82M | 2.82M | 2.81M | 2.79M | 2.76M | 2.75M | 2.73M | 2.76M | 2.79M | 2.79M | 2.75M |
Geographic concentration and NIM
According to the provided quarterly data, Finward Bancorp has successfully reversed a period of contraction, achieving a 13.2% year-over-year growth in net interest income by 2026Q1, signaling a potential stabilization in its core lending operations after the significant declines observed throughout the 2024 fiscal year.
The transition from negative growth rates in 2024 to double-digit expansion suggests that management may have successfully repriced the loan portfolio or optimized the funding mix. Investors should monitor whether this trajectory is sustainable or if it remains vulnerable to competitive deposit pricing pressures in the Northwest Indiana corridor.
As reported in financial statements, the bank's net interest margin has remained stagnant at 0.7% throughout early 2026, reflecting a persistent inability to expand spreads despite the recent growth in net interest income, which warrants further investigation into the bank's underlying asset-liability management strategy.
The lack of meaningful NIM expansion suggests that the cost of funds is likely rising in lockstep with asset yields, limiting the bank's ability to improve profitability through interest rate cycles. This narrow margin profile appears to leave little room for error in credit underwriting or operational efficiency.
Based on the reported figures, Finward Bancorp's efficiency ratio has hovered near 58.7% in 2026Q1, indicating that the bank's fixed-cost structure remains a significant drag on profitability, particularly when compared to the more streamlined performance seen in isolated periods like 2024Q1.
The high efficiency ratio implies that the bank's 30-location footprint may be underutilized relative to its current revenue generation capacity. Without a clear path to scaling non-interest income, the bank may struggle to achieve operating leverage in the current competitive environment.
Data from the income statement shows that provision for credit losses has fluctuated significantly, moving from a $454,000 expense in 2025Q1 to a $55,000 expense in 2026Q1, which suggests that management's assessment of loan portfolio risk remains highly sensitive to local economic conditions.
The erratic nature of these provisions makes it difficult to discern the true underlying credit quality of the commercial and construction loan portfolios. Investors should monitor whether these swings represent genuine changes in borrower health or merely adjustments in management's forward-looking loss estimates.
Quick answers to the most common questions about buying FNWD stock.
Finward Bancorp (FNWD) is profitable, generating $8.1M in net income for the fiscal year ending 2025 with a net profit margin of 8.0%.
Finward Bancorp (FNWD) reported an operating income of $8.1M, resulting in an operating profit margin of 8.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Finward Bancorp (FNWD) generated $66.2M in gross profit for the year, representing a gross profit margin of 65.6%. This demonstrates the company's core pricing power and production efficiency.