Net interest income climbed to $144.2M in 2026Q3 while the efficiency ratio swung between 32.4% and 60.4% and fee share ranged from 10.5% to 35.9%, indicating earnings remain highly sensitive to episodic gain-on-sale income.
Merchants Bancorp (MBIN) annual income statement — 11-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 |
|---|
| Net Interest Income | 547.44M | 517.06M | 522.62M | 448.07M | 318.55M | 277.99M | 224.15M | 122.3M | 89.97M | 66.6M | 53.97M | 42.05M |
| NII Growth % | 26.51% | -1.06% | 16.64% | 40.66% | 14.59% | 24.02% | 83.28% | 35.93% | 35.1% | 23.39% | 28.33% | - |
| Net Interest Margin % | 2.62% | 2.66% | 2.78% | 2.64% | 2.53% | 2.46% | 2.32% | 1.92% | 2.32% | 1.96% | 1.99% | 1.85% |
| Interest Income | 1.18B | 1.2B | 1.3B | 1.08B | 480.83M | 311.89M | 282.79M | 212M | 140.56M | 94.39M | 72.94M | 56.34M |
| Interest Expense | 635.8M | 683.79M | 780.1M | 629.73M | 162.28M | 33.89M | 58.64M | 89.7M | 50.59M | 27.79M | 18.97M | 14.29M |
| Loan Loss Provision | 55.06M | 117.75M | 24.28M | 40.23M | 17.3M | 5.01M | 11.84M | 3.94M | 4.63M | 2.47M | 960K | 960K |
| Non-Interest Income | 174.57M | 164.39M | 144.34M | 111.26M | 121.23M | 149.68M | 118.39M | 42.55M | 44.96M | 43.58M | 24.25M | 24.27M |
| Non-Interest Income % | 24.18% | 24.12% | 21.64% | 19.89% | 27.57% | 35% | 34.56% | 25.81% | 33.32% | 39.56% | 31% | 36.6% |
| Total Net Revenue | 722.01M | 681.45M | 666.97M | 559.33M | 439.78M | 427.67M | 342.53M | 164.85M | 134.94M | 110.18M | 78.22M | 66.33M |
| Revenue Growth % | 5.25% | 2.17% | 19.24% | 27.18% | 2.83% | 24.85% | 107.78% | 22.17% | 22.47% | 40.85% | 17.94% | - |
| Non-Interest Expense | 321.24M | 299.89M | 220.04M | 171.19M | 131.35M | 117.73M | 87.34M | 58.78M | 46.28M | 30.55M | 22.47M | 18.19M |
| Efficiency Ratio | 44.49% | 44.01% | 32.99% | 30.61% | 29.87% | 27.53% | 25.5% | 35.66% | 34.3% | 27.72% | 28.72% | 27.42% |
| Operating Income | 345.71M | 263.8M | 422.64M | 347.91M | 291.14M | 304.93M | 243.36M | 102.13M | 84.03M | 77.16M | 54.8M | 47.18M |
| Operating Margin % | 47.88% | 38.71% | 63.37% | 62.2% | 66.2% | 71.3% | 71.05% | 61.95% | 62.27% | 70.03% | 70.05% | 71.13% |
| Operating Income Growth % | - | -37.58% | 21.48% | 19.5% | -4.52% | 25.3% | 138.27% | 21.55% | 8.9% | 40.82% | 16.14% | - |
| Pretax Income | 391.39M | 263.8M | 422.64M | 347.91M | 291.14M | 304.93M | 243.36M | 102.13M | 84.03M | 77.16M | 54.8M | 47.18M |
| Pretax Margin % | 54.21% | 38.71% | 63.37% | 62.2% | 66.2% | 71.3% | 71.05% | 61.95% | 62.27% | 70.03% | 70.05% | 71.13% |
| Income Tax | 72.33M | 45.03M | 102.26M | 68.67M | 71.42M | 77.83M | 62.82M | 24.8M | 21.15M | 22.48M | 21.67M | 18.8M |
| Effective Tax Rate % | 18.48% | 17.07% | 24.19% | 19.74% | 24.53% | 25.52% | 25.82% | 24.29% | 25.17% | 29.13% | 39.54% | 39.84% |
| Net Income | 319.06M | 218.77M | 320.39M | 279.23M | 219.72M | 227.1M | 180.53M | 77.33M | 62.87M | 54.68M | 33.13M | 28.38M |
| Net Margin % | 44.19% | 32.1% | 48.04% | 49.92% | 49.96% | 53.1% | 52.71% | 46.91% | 46.6% | 49.63% | 42.35% | 42.79% |
| Net Income Growth % | 29.39% | -31.72% | 14.74% | 27.09% | -3.25% | 25.8% | 133.46% | 22.99% | 14.98% | 65.07% | 16.71% | - |
| Net Income (Continuing) | 319.06M | 218.77M | 320.39M | 279.23M | 219.72M | 227.1M | 180.53M | 77.33M | 62.87M | 54.68M | 33.13M | 28.38M |
| EPS (Diluted) | 6.93 | 3.78 | 6.30 | 5.64 | 4.47 | 4.76 | 3.85 | 1.58 | 1.38 | 1.52 | 0.98 | 0.90 |
| EPS Growth % | 39.54% | -40% | 11.7% | 26.17% | -6.09% | 23.64% | 143.67% | 14.49% | -9.21% | 55.1% | 8.89% | - |
| EPS (Basic) | - | 3.78 | 6.32 | 5.66 | 4.49 | 4.78 | 3.85 | 1.58 | 1.39 | 1.52 | 0.98 | 0.90 |
| Diluted Shares Outstanding | 46.03M | 45.94M | 45.01M | 43.35M | 43.32M | 43.33M | 43.17M | 43.12M | 43.09M | 33.85M | 31.76M | 31.61M |
Quick answers to the most common questions about buying MBIN stock.
For fiscal year 2025, Merchants Bancorp (MBIN) reported total revenue of $681.4M. This represents a 927.4% increase compared to $66.3M in 2015.
Merchants Bancorp (MBIN) is profitable, generating $218.8M in net income for the fiscal year ending 2025 with a net profit margin of 32.1%.
Merchants Bancorp (MBIN) reported an operating income of $263.8M, resulting in an operating profit margin of 38.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Merchants Bancorp (MBIN) generated $563.7M in gross profit for the year, representing a gross profit margin of 82.7%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Elevated leverage and lumpy fee income
Metrics are mathematically derived from official filings.
Net Interest Income Rebuilding From Trough
Based on reported figures, MBIN's net interest income climbed to $144.2M in 2026Q3, up 12.6% sequentially, after several quarters of flat-to-negative growth that suggests warehouse volumes and repricing are beginning to contribute meaningfully to spread income.
The sequential rebound from $122.2M in 2025Q1 suggests the warehouse and bridge lending book is absorbing higher asset yields faster than deposit costs have risen, which may indicate a favorable deposit beta profile. Investors should monitor whether this trajectory holds if rate cuts compress asset yields before funding costs reprice downward. NII has not yet sustained a level above the 2024Q4 peak of $134.6M for multiple quarters, so the recovery appears early and warrants further confirmation.
Margin Stability Near Thin Spread Levels
Reported net interest margin of roughly 0.6% to 0.7% across the ten quarters indicates MBIN earns a thin spread on its interest-earning assets, which may reflect a low-yielding warehouse mix relative to higher-spread commercial lending peers.
A stable margin band across rate cycles suggests the bank has managed funding costs effectively, but the absolute level leaves limited cushion against credit or funding shocks. The margin figure likely reflects balance sheet composition rather than pricing power, so NII growth appears volume-driven rather than margin-driven. Further investigation into the spread on bridge loans versus warehouse lines would clarify where incremental earnings are sourced.
Efficiency Ratio Volatility Signals Cost Sensitivity
MBIN's efficiency ratio swung between 32.4% in 2024Q4 and 60.4% in 2026Q2, based on reported quarterly figures, indicating that operating expenses are highly sensitive to fee and gain-on-sale volatility rather than to a stable overhead base.
The wide range suggests a large variable cost component tied to origination and production compensation, which can flex favorably in strong quarters but deteriorates sharply when fee income softens. The latest 35.4% ratio in 2026Q3 is encouraging but likely reflects a strong fee quarter rather than a structural shift in cost discipline. Operating leverage therefore appears asymmetric, and sustained efficiency will depend on fee income durability.
Fee Income Concentrated in Lumpy Quarters
According to reported quarterly data, non-interest income reached $80.8M in 2026Q3 yet was absent in 2026Q2, with fee share swinging between 10.5% and 35.9% of revenue, indicating that gain-on-sale and servicing income is episodic rather than recurring.
The fee mix pattern suggests dependence on multi-family deal closures and LIHTC syndication timing, which can produce outsized quarterly results that may not persist. Because fee income is more sensitive to rate-driven mortgage volumes than net interest income, a rate environment that suppresses origination could sharply compress total revenue. Investors should treat the 2026Q3 fee spike as a potential peak until the recurring servicing component is isolated.
Provision Expense Tracking Credit Cycle Shifts
Provision expense moved from $53.0M in 2025Q2 down to $12.0M in 2026Q3, as reported, a pattern that may reflect improving credit conditions or reserve releases that warrant further verification.
The sharp decline in provisioning across 2025 and 2026 could indicate genuine credit normalization, but it may also reflect reserve releases that flatter near-term earnings. Given the bank's elevated 1.68 debt-to-equity ratio, any reversal in credit trends would have amplified balance sheet impact. Investors should monitor charge-off trends and reserve coverage to determine whether current provisioning levels are sustainable.
Earnings Quality Challenged by Lumpy Fees
Based on reported figures, the 2026Q3 EPS of $2.06 versus the 2026Q2 figure of $1.48 relies heavily on an $80.8M fee quarter following a zero-fee quarter, which may indicate non-recurring gains inflating headline earnings.
If the Q3 fee spike reflects episodic gain-on-sale or syndication timing, core NII-driven earnings may be materially lower than the headline EPS implies. Reduced provisioning of $12.0M also flatters the quarter, and a reversal toward the $53.0M level seen in 2025Q2 would compress net income sharply. Investors should separate recurring servicing income and net interest earnings from one-time items before extrapolating the recent beat.