Capital formation is constrained by earnings volatility, evidenced by a negative $41.6 million net income in 2025Q3 and a consistent quarterly dividend payout of approximately $500,000 despite fluctuating profitability.
| 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 |
|---|
| Cash from Operations | 46.17M | 3.45M | 12.99M | 11.68M | 82.72M | 54.84M | 13.07M | -43.58M | 29.36M | 24.62M | 26.47M | 10.91M | 1.98M | 41.54M | -5.68M | -31.43M | 11.34M | 1.64M | 4.62M | 4.6M | -2.24M | 7.24M |
| Operating CF Growth % | 11053.19% | -73.45% | 11.23% | -85.88% | 50.84% | 319.65% | 129.99% | -248.44% | 19.22% | -6.97% | 142.67% | 450.91% | -95.23% | 830.95% | 81.92% | -377.08% | 591% | -64.49% | 0.58% | 305.07% | -130.93% | - |
| Net Income | -33.6M | -35.17M | 25.28M | 8.42M | 35.54M | 48.11M | 29.45M | 25.24M | 21.9M | 15.23M | 12.07M | 8.93M | 4.32M | 4.59M | 5.61M | 3.19M | 4.95M | -2.12M | 1.58M | 2.83M | 2.13M | 2.18M |
| Depreciation & Amortization | 7.83M | 6.19M | 8.46M | 5.75M | 8.73M | 8.78M | 7.83M | 6.93M | 5.67M | 5.3M | 3.8M | 1.94M | 1.9M | 2.26M | 2.86M | 251K | 361.2K | 605.66K | 711.89K | 195.55K | 220.23K | 421.75K |
| Deferred Taxes | 0 | -18.1M | -1.36M | -4.35M | 4.63M | 2.43M | -4.12M | -4.4M | 978K | -3.3M | 3.54M | 443K | -1.53M | 2.26M | -191K | -938K | 1.33M | -2.99M | 931.01K | -116.35K | -79K | 526.98K |
| Other Non-Cash Items | 60.61M | 44.81M | -25.17M | 9.95M | 25.07M | -13.1M | -22.35M | -33.52M | 12.12M | 8.99M | 13.13M | -397K | -6.06M | 34.76M | -14.99M | -35.8M | 1.95M | 11.9M | 4.53M | 1.75M | 2.4M | 1.85M |
| Working Capital Changes | 9.55M | 4.49M | 3.97M | -9.34M | 6.72M | 6.23M | 142K | -39.5M | -12.84M | -2.63M | -6.82M | -771K | 2.83M | -2.84M | 833K | 1.88M | 2.75M | -5.75M | -3.13M | -57.39K | -6.91M | 2.27M |
| Cash from Investing | 283.48M | 128.68M | -496.17M | -474.5M | -601.03M | 43.87M | -44.81M | -313.27M | -638.71M | -908.15M | -586.72M | -304.19M | -186.69M | -185.42M | -40.13M | -40.18M | -3.38M | 40.21M | -29.99M | 14.75M | -33.91M | -24.43M |
| Purchase of Investments | -215.89M | -355.56M | -261.5M | -188.81M | -57.73M | -282.23M | -146.09M | -211.21M | -91.55M | -94.01M | -366.36M | -100.33M | -112M | -134.47M | -59M | -77.88M | -41.79M | -18.16M | -104.4M | -43.98M | -51.99M | -47.89M |
| Sale/Maturity of Investments | 178M | 168.18M | 110.96M | 72.25M | 88.13M | 174.78M | 196.71M | 122.75M | 62.51M | 77.53M | 92.05M | 21.76M | 159.07M | 101.78M | 49.85M | 69.73M | 36.02M | 55.03M | 50.47M | 44.06M | 33.59M | 43.08M |
| Net Investment Activity | -37.89M | -187.37M | -150.55M | -116.56M | 30.4M | -107.44M | 50.62M | -88.46M | -29.04M | -16.48M | -274.31M | -78.58M | 47.07M | -32.7M | -9.15M | -8.14M | -5.76M | 36.87M | -53.94M | 76.69K | -18.4M | -4.8M |
| Acquisitions | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -13.57M | 0 | 0 |
| Other Investing | 380.74M | 317.28M | -343.03M | -352.57M | -613.92M | 181.21M | -69.87M | -220.71M | -607.45M | -890.15M | -309.24M | -223.07M | -232.85M | -145.54M | -30.67M | -31.8M | 3.16M | 3.41M | 24.42M | 29.43M | -15.26M | -19.35M |
| Cash from Financing | -122.3M | -141.76M | 543.69M | 612.17M | 331.9M | -75.56M | 124.19M | 495.5M | 750.09M | 892.06M | 574.55M | 290.15M | 159.31M | 165.06M | 43.55M | 73.96M | -5.56M | -37.61M | -14.02M | 8.43M | 51.3M | -14.97M |
| Dividends Paid | -2.09M | -2.09M | -2.08M | -2.16M | -2.32M | -2.42M | -2.35M | -2.42M | -2.23M | -1.68M | -1.2M | -1.09M | -1.08M | -450K | -479K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Share Repurchases | -521K | -521K | -283K | -9.34M | -27.78M | -4.44M | 0 | -9.78M | -216K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Stock Issued | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 54.33M | 51.64M | 46.22M | 0 | 0 | 29.1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Net Stock Activity | -521K | -521K | -283K | -9.34M | -27.78M | -4.44M | 0 | -9.78M | 54.12M | 51.64M | 46.22M | 0 | 0 | 29.1M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Debt Issuance (Net) | -3M | -1000K | -1000K | 0 | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | 1000K | -1000K | 0 | 1000K | -1000K | -1000K | 1000K | 0 | -1000K | 1000K |
| Other Financing | 35.81M | -93.66M | 866.05M | 623.66M | 262M | -92.37M | 116.77M | 482.28M | 586.2M | 621.9M | 506.77M | 197.48M | 85.39M | 142.4M | 44.03M | 63.96M | 11.08M | -27.61M | -22.32M | 8.43M | 58.72M | -37.48M |
| Net Change in Cash | 207.35M | -9.63M | 60.51M | 149.35M | -186.41M | 23.15M | 92.44M | 138.65M | 140.73M | 8.53M | 14.3M | -3.14M | -25.4M | 21.18M | -2.27M | 2.36M | 2.4M | 4.24M | -39.39M | 27.78M | 15.15M | -32.16M |
| Exchange Rate Effect | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Cash at Beginning | 456.78M | 466.41M | 405.9M | 256.55M | 442.96M | 419.81M | 327.36M | 188.71M | 47.98M | 39.45M | 25.15M | 28.29M | 53.69M | 32.51M | 34.78M | 32.42M | 30.02M | 25.78M | 65.17M | 37.4M | 22.25M | 54.41M |
| Cash at End | 601.8M | 456.78M | 466.41M | 405.9M | 256.55M | 442.96M | 419.81M | 327.36M | 188.71M | 47.98M | 39.45M | 25.15M | 28.29M | 53.69M | 32.51M | 34.78M | 32.42M | 30.02M | 25.78M | 65.17M | 37.4M | 22.25M |
| Interest Paid | 199.29M | 207.15M | 205.86M | 163.6M | 58.92M | 46.75M | 74.65M | 81.79M | 52.4M | 30.52M | 19.21M | 10.67M | 8.93M | 8.11M | 8.53M | 9.63M | 0 | 14.88M | 18.86M | 0 | 0 | 0 |
| Income Taxes Paid | -47K | 99K | 684K | 939K | 2M | 7.04M | 5.91M | 4.56M | 485K | 6.57M | 5.89M | 3.79M | 2.35M | 770K | 2.25M | 614K | 0 | 1.65M | 505K | 0 | 0 | 0 |
| Free Cash Flow | 45.13M | 2.22M | 10.4M | 6.31M | 65.21M | 24.95M | -12.49M | -47.68M | 27.14M | 23.11M | 23.3M | 8.37M | 1.06M | 34.35M | -5.99M | -31.66M | 10.56M | 1.57M | 4.14M | 3.41M | -2.49M | 6.97M |
| FCF Growth % | 9.57% | -78.64% | 64.74% | -90.32% | 161.37% | 299.73% | 73.8% | -275.71% | 17.44% | -0.82% | 178.51% | 685.45% | -96.9% | 673.31% | 81.07% | -399.76% | 573.05% | -62.11% | 21.35% | 237.18% | -135.7% | - |
High deposit funding costs
As reported in recent financial filings, INBK's net income has fluctuated significantly, reaching a low of negative $41.6 million in 2025Q3, which suggests that the bank's ability to generate organic capital is currently hampered by substantial provisioning requirements and inconsistent core earnings performance across its niche segments.
The erratic nature of net income, punctuated by the 2025Q3 loss, indicates that the bank's capital generation is highly sensitive to credit cycle shifts. Investors should monitor whether the recent return to profitability in 2026Q1 represents a sustainable trend or merely a temporary reprieve from elevated credit costs.
Based on the provided quarterly cash flow data, INBK has consistently utilized its investment securities portfolio as a liquidity lever, with purchase activity reaching $196.2 million in 2025Q4, suggesting a strategic effort to manage balance sheet duration amidst a volatile interest rate environment and shifting deposit funding requirements.
The bank's frequent rotation between purchasing and selling securities indicates an active approach to managing liquidity, likely necessitated by the lack of a stable, low-cost deposit base. This reliance on securities turnover may introduce additional earnings volatility as the bank is forced to realize gains or losses to balance its cash position.
According to the bank's reported figures, the provision for loan losses surged to $34.8 million in 2025Q3, a sharp increase from the $2.5 million recorded in 2024Q1, which implies that management is proactively addressing potential asset quality deterioration within its concentrated commercial and municipal lending portfolios.
The significant rise in provisioning suggests that the bank is bracing for potential credit migration, particularly within its specialized niches. This aggressive reserve building appears to be a primary driver of the recent earnings volatility and warrants close investigation into the underlying health of the commercial loan book.
As indicated by the historical cash flow statements, INBK has maintained a consistent dividend payout of approximately $500,000 per quarter, a policy that appears increasingly disconnected from the bank's recent earnings volatility and the significant capital requirements necessitated by its current risk profile and negative operating margins.
While the dividend remains small in absolute terms, the decision to continue payments during periods of net losses suggests a commitment to shareholder returns that may be difficult to sustain if profitability remains strained. Investors should monitor whether management prioritizes capital preservation over these distributions in future quarters.
Quick answers to the most common questions about buying INBK stock.
First Internet Bancorp (INBK) generated $3.4M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
First Internet Bancorp (INBK) generated $2.2M in free cash flow in 2025. Free cash flow is the cash left over after capital expenditures, which can be used to pay dividends, repurchase shares, or pay down debt.
First Internet Bancorp (INBK) spent $1.2M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.
In 2025, First Internet Bancorp (INBK) returned $2.1M to shareholders via cash dividends and spent $0.5M on share repurchases. This shows the company's commitment to returning capital to its equity investors.