Net interest income shows signs of stabilization at $30.7 million in 2026Q1, though net interest margins remain compressed near 1.0% due to persistent funding cost pressures.
| 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 | 159.55M | 117.03M | 98.61M | 95M | 90.11M | 77.04M | 64.44M | 57.59M | 53.75M | 45.86M | 38.26M | 33.99M | 30.11M | 27.43M | 27.43M | 28.97M | 30M | 27.83M | 27.29M | 24.43M | 23.75M | 22.23M | 19.16M | 17.87M | 15.72M | 12.19M | 11.7M | 11M | 10.3M | 8.7M | 6.1M |
| NII Growth % | 230.28% | 18.68% | 3.8% | 5.43% | 16.96% | 19.56% | 11.88% | 7.16% | 17.21% | 19.87% | 12.55% | 12.88% | 9.8% | -0.01% | -5.33% | -3.43% | 7.81% | 1.97% | 11.73% | 2.87% | 6.8% | 16.06% | 7.23% | 13.64% | 28.98% | 4.23% | 6.32% | 6.8% | 18.39% | 42.62% | - |
| Net Interest Margin % | 5.27% | 3.94% | 3.72% | 3.68% | 3.69% | 3.79% | 3.29% | 3.35% | 3.4% | 3.15% | 3.22% | 3.13% | 2.98% | 2.98% | 3.35% | 3.57% | 3.67% | 2.99% | 3.04% | 3.25% | 3.42% | 3.62% | 3.72% | 3.82% | 3.63% | 3.21% | 3.29% | 2.51% | 4.05% | 4.07% | 3.53% |
| Interest Income | 217.05M | 173.63M | 155.74M | 143.49M | 100.74M | 84.78M | 78.92M | 75.65M | 67.26M | 55.31M | 47.02M | 41.65M | 37.42M | 33.95M | 35.2M | 39.52M | 44.03M | 49.41M | 50.77M | 48.9M | 43.18M | 33.84M | 26.17M | 24.89M | 24.3M | 23.89M | 28.02M | 23.7M | 17.5M | 15M | 10.9M |
| Interest Expense | 57.49M | 56.59M | 57.13M | 48.5M | 10.63M | 7.74M | 14.48M | 18.05M | 13.52M | 9.45M | 8.77M | 7.66M | 7.31M | 6.53M | 7.77M | 10.55M | 14.04M | 21.58M | 23.47M | 24.47M | 19.43M | 11.6M | 7.01M | 7.03M | 8.57M | 11.7M | 16.32M | 12.7M | 7.2M | 6.3M | 4.8M |
| Loan Loss Provision | 19.18M | 3.94M | 3.95M | 3.17M | 4.27M | 181K | 7M | 2.1M | 2.05M | 1.65M | 1.22M | 500K | 2.55M | 2.35M | 4M | 6.8M | 7.25M | 8M | 4.5M | 1.55M | 1.55M | 1.85M | 1.18M | 1.6M | 2.35M | 1.4M | 716K | 1.7M | 800K | 500K | 400K |
| Non-Interest Income | -5.99M | 14.78M | 7.33M | 7.22M | 7.53M | 11M | 12.11M | 8.46M | 9.18M | 7.62M | 7.99M | 7.73M | 6.68M | 6.6M | 6.66M | 4.68M | 5.07M | 4.75M | 4.23M | 5.94M | 7.64M | 8.19M | 7.63M | 8.34M | 7.99M | 5.39M | 7.67M | 5.6M | 4.4M | 3M | 2.4M |
| Non-Interest Income % | -2.84% | 7.84% | 4.5% | 4.79% | 6.95% | 11.48% | 13.3% | 10.06% | 12.01% | 12.11% | 14.52% | 15.65% | 15.15% | 16.28% | 15.9% | 10.59% | 10.32% | 8.77% | 7.7% | 10.83% | 15.03% | 19.49% | 22.57% | 25.1% | 24.75% | 18.41% | 21.48% | 19.11% | 20.09% | 16.67% | 18.05% |
| Total Revenue | 211.06M | 188.41M | 163.07M | 150.72M | 108.27M | 95.78M | 91.02M | 84.11M | 76.45M | 62.93M | 55.01M | 49.38M | 44.1M | 40.56M | 41.86M | 44.2M | 49.1M | 54.16M | 55M | 54.84M | 50.81M | 42.03M | 33.8M | 33.24M | 32.29M | 29.28M | 35.68M | 29.3M | 21.9M | 18M | 13.3M |
| Revenue Growth % | 106.67% | 15.54% | 8.19% | 39.21% | 13.04% | 5.22% | 8.22% | 10.02% | 21.48% | 14.39% | 11.41% | 11.98% | 8.73% | -3.11% | -5.31% | -9.98% | -9.34% | -1.52% | 0.29% | 7.92% | 20.91% | 24.36% | 1.68% | 2.95% | 10.26% | -17.94% | 21.79% | 33.79% | 21.67% | 35.34% | - |
| Non-Interest Expense | 54.03M | 52.36M | 47.6M | 46.06M | 41.94M | 39.73M | 38.42M | 33.64M | 33.57M | 29.39M | 24.56M | 26.85M | 24.69M | 24M | 23.61M | 23.54M | 24.99M | 26.56M | 24.48M | 22.11M | 21.05M | 18.68M | 17.23M | 17.33M | 15.54M | 14.52M | 23.72M | 20.7M | 10.5M | 7.9M | 6.5M |
| Efficiency Ratio | 25.6% | 27.79% | 29.19% | 30.56% | 38.74% | 41.48% | 42.21% | 39.99% | 43.92% | 46.71% | 44.64% | 54.38% | 55.99% | 59.17% | 56.42% | 53.25% | 50.89% | 49.04% | 44.51% | 40.32% | 41.41% | 44.44% | 50.98% | 52.14% | 48.14% | 49.59% | 66.47% | 70.65% | 47.95% | 43.89% | 48.87% |
| Operating Income | 80.36M | 75.51M | 54.39M | 52.99M | 51.42M | 48.13M | 31.12M | 30.32M | 27.31M | 22.43M | 20.47M | 14.37M | 9.55M | 7.68M | 6.47M | 3.31M | 2.83M | -1.98M | 2.55M | 6.7M | 8.79M | 9.9M | 8.38M | 7.28M | 5.82M | 1.66M | -5.07M | -5.8M | 3.4M | 3.3M | 1.6M |
| Operating Margin % | 38.08% | 40.08% | 33.35% | 35.16% | 47.5% | 50.25% | 34.19% | 36.04% | 35.72% | 35.65% | 37.2% | 29.1% | 21.66% | 18.94% | 15.46% | 7.5% | 5.76% | -3.65% | 4.63% | 12.22% | 17.29% | 23.55% | 24.8% | 21.91% | 18.03% | 5.67% | -14.22% | -19.8% | 15.53% | 18.33% | 12.03% |
| Operating Income Growth % | - | 38.83% | 2.63% | 3.06% | 6.84% | 54.66% | 2.65% | 11.02% | 21.73% | 9.61% | 42.44% | 50.4% | 24.36% | 18.73% | 95.17% | 17.18% | 242.95% | -177.73% | -62.02% | -23.73% | -11.21% | 18.09% | 15.12% | 25.1% | 250.81% | 132.7% | 12.53% | -270.59% | 3.03% | 106.25% | - |
| Pretax Income | 78.58M | 75.51M | 54.39M | 52.99M | 51.42M | 48.13M | 31.12M | 30.32M | 27.31M | 22.43M | 20.47M | 14.37M | 9.55M | 7.68M | 6.47M | 3.31M | 2.83M | -1.98M | 2.55M | 6.7M | 8.79M | 9.9M | 8.38M | 7.28M | 5.82M | 1.66M | -5.07M | -5.8M | 3.4M | 3.3M | 1.6M |
| Pretax Margin % | 37.23% | 40.08% | 33.35% | 35.16% | 47.5% | 50.25% | 34.19% | 36.04% | 35.72% | 35.65% | 37.2% | 29.1% | 21.66% | 18.94% | 15.46% | 7.5% | 5.76% | -3.65% | 4.63% | 12.22% | 17.29% | 23.55% | 24.8% | 21.91% | 18.03% | 5.67% | -14.22% | -19.8% | 15.53% | 18.33% | 12.03% |
| Income Tax | 17.93M | 17.56M | 12.94M | 13.29M | 12.96M | 12.01M | 7.47M | 6.66M | 5.39M | 9.54M | 7.26M | 4.81M | 3.15M | 2.57M | 2.23M | 769K | 589K | -898K | 616K | 1.98M | 2.94M | 3.69M | 3.05M | 2.7M | 2.11M | -382K | 839K | -2.4M | 1.3M | 1.3M | 600K |
| Effective Tax Rate % | 22.82% | 23.26% | 23.79% | 25.07% | 25.21% | 24.96% | 24.02% | 21.98% | 19.73% | 42.53% | 35.46% | 33.48% | 32.92% | 33.42% | 34.4% | 23.2% | 20.82% | 45.38% | 24.19% | 29.51% | 33.49% | 37.26% | 36.41% | 37.06% | 36.27% | -23.03% | -16.54% | 41.38% | 38.24% | 39.39% | 37.5% |
| Net Income | 60.65M | 57.95M | 41.45M | 39.71M | 38.46M | 36.12M | 23.64M | 23.65M | 21.92M | 12.89M | 13.21M | 9.56M | 6.41M | 5.12M | 4.24M | 2.55M | 2.24M | -1.08M | 1.93M | 4.72M | 5.84M | 6.21M | 5.33M | 4.58M | 3.71M | 2.04M | -5.91M | -3.4M | 2.1M | 2M | 1M |
| Net Margin % | 28.73% | 30.76% | 25.42% | 26.35% | 35.52% | 37.71% | 25.98% | 28.12% | 28.67% | 20.49% | 24.01% | 19.35% | 14.53% | 12.61% | 10.14% | 5.76% | 4.56% | -2% | 3.51% | 8.62% | 11.5% | 14.78% | 15.77% | 13.79% | 11.49% | 6.97% | -16.57% | -11.6% | 9.59% | 11.11% | 7.52% |
| Net Income Growth % | 39.54% | 39.81% | 4.39% | 3.25% | 6.47% | 52.76% | -0.04% | 7.91% | 70.01% | -2.39% | 38.21% | 49.14% | 25.28% | 20.52% | 66.69% | 13.66% | 307.22% | -156.01% | -59.15% | -19.16% | -5.88% | 16.51% | 16.3% | 23.56% | 81.72% | 134.52% | -73.88% | -261.9% | 5% | 100% | - |
| Net Income (Continuing) | 60.64M | 57.95M | 41.45M | 39.71M | 38.46M | 36.12M | 23.64M | 23.65M | 21.92M | 12.89M | 13.21M | 9.56M | 6.41M | 5.12M | 4.24M | 2.55M | 2.24M | -1.08M | 1.93M | 4.72M | 5.84M | 6.21M | 5.33M | 4.58M | 3.71M | 2.04M | -5.91M | -3.4M | 2.1M | 2M | 1M |
| EPS (Diluted) | 5.95 | 5.67 | 4.06 | 3.84 | 3.59 | 3.43 | 2.19 | 2.14 | 2.01 | 1.20 | 1.38 | 1.02 | 0.74 | 0.48 | 0.31 | 0.12 | 0.09 | -0.33 | 0.23 | 0.57 | 0.67 | 0.68 | 0.62 | 0.58 | 0.43 | 0.31 | -1.16 | -0.62 | 0.43 | 0.21 | 0.32 |
| EPS Growth % | 39.44% | 39.66% | 5.73% | 6.96% | 4.66% | 56.62% | 2.34% | 6.47% | 67.5% | -13.04% | 35.29% | 37.84% | 54.17% | 54.84% | 158.33% | 32.01% | 127.55% | -243.48% | -59.65% | -14.93% | -1.47% | 9.68% | 6.9% | 34.88% | 38.71% | 126.72% | -87.1% | -244.19% | 104.76% | -34.38% | - |
| EPS (Basic) | - | 5.78 | 4.13 | 3.89 | 3.66 | 3.47 | 2.21 | 2.18 | 2.04 | 1.22 | 1.40 | 1.03 | 0.75 | 0.50 | 0.32 | 0.12 | 0.09 | -0.33 | 0.24 | 0.59 | 0.70 | 0.72 | 0.66 | 0.61 | 0.45 | 0.31 | -1.16 | -0.62 | 0.45 | 0.21 | 0.32 |
| Diluted Shares Outstanding | 10.2M | 10.22M | 10.2M | 10.34M | 10.71M | 10.55M | 10.81M | 11.03M | 10.92M | 10.75M | 9.57M | 9.38M | 8.74M | 8.59M | 8.57M | 8.51M | 8.19M | 7.83M | 7.99M | 8.28M | 8.8M | 9.04M | 8.59M | 7.94M | 8.57M | 6.65M | 5.46M | 6.6M | 4.95M | 4.61M | 3.3M |
CRE and SBA concentration
According to quarterly financial disclosures, Unity Bancorp experienced a significant NII surge to $68.9 million in 2025Q3, though this appears to be an outlier compared to the more normalized $30.7 million reported in 2026Q1, suggesting underlying volatility in the bank's interest-earning asset base.
The sharp fluctuation in NII suggests that the bank's interest income is highly sensitive to specific loan origination cycles rather than steady, organic balance sheet growth. Investors should monitor whether the recent moderation in NII growth reflects a cooling in loan demand or a strategic shift in asset allocation within the NJ/PA corridor.
As reported in recent financial statements, the net interest margin has remained constrained near 1.0% to 1.1% in recent quarters, excluding the 2025Q3 anomaly, which indicates that rising deposit costs are effectively neutralizing the yield benefits from the bank's specialized commercial loan portfolio.
The inability of the NIM to expand significantly despite a high-yield lending focus suggests that the bank is facing intense competition for deposits in its core markets. This margin profile warrants further investigation into the bank's deposit beta and its ability to pass through rate increases to its small business client base.
Based on the provided income statement data, Unity Bancorp has maintained an efficiency ratio generally ranging between 27% and 31%, demonstrating a consistent ability to manage non-interest expenses relative to total revenue despite the inherent volatility of its SBA-driven fee income model.
This level of efficiency appears robust for a branch-heavy regional institution, suggesting that the bank's 'lending factory' model successfully scales its back-office operations. However, the stability of this ratio depends heavily on the bank's ability to maintain revenue growth, as any contraction in fee income could quickly pressure the efficiency profile.
As indicated by the 2025Q3 provision expense of $16.3 million, the bank's credit cost profile is subject to significant periodic spikes, which contrasts sharply with the more modest $1.0 million provision recorded in 2026Q1, highlighting the potential for lumpy credit quality deterioration.
The substantial variance in provision expense suggests that the bank's CECL modeling may be reacting to specific, localized credit events within its CRE and small business portfolios. Analysts should scrutinize whether these provisions represent proactive risk management or a delayed response to underlying asset quality degradation in the NJ/PA region.
Based on reported figures, non-interest income remains highly variable, with a notable negative contribution in 2025Q3 followed by a recovery to $2.9 million in 2026Q1, underscoring the bank's heavy reliance on secondary market premiums for its SBA 7(a) loan originations.
This dependency on transactional fee income introduces a layer of earnings volatility that is not present in traditional spread-based banks. Investors should monitor the secondary market environment, as any sustained decline in premiums could materially impair the bank's non-interest income and overall profitability.
Quick answers to the most common questions about buying UNTY stock.
Unity Bancorp, Inc. (UNTY) is profitable, generating $58.0M in net income for the fiscal year ending 2025 with a net profit margin of 30.8%.
Unity Bancorp, Inc. (UNTY) reported an operating income of $75.5M, resulting in an operating profit margin of 40.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Unity Bancorp, Inc. (UNTY) generated $127.9M in gross profit for the year, representing a gross profit margin of 67.9%. This demonstrates the company's core pricing power and production efficiency.