The FDIC Quarterly Banking Profile covers key financial activity for the banking industry, community banks, and the Deposit Insurance Fund (DIF). For the 1Q 2026, Net Income rose, Net Interest Margin decreased, loan growth continued, domestic deposits increased for the seventh consecutive quarter, and asset quality metrics remained generally favorable. Additionally, provision expense rose from the previous quarter, unrealized losses on securities increased from 4Q 2025, and banking industry assets increased. The number of problem banks decreased in the quarter. The DIF reserve ratio increased to 1.43%. This episode examined the FDIC Quarterly Banking Profile report for the 1st quarter of 2026. A link to the report is included below.<br><br>Link: Quarterly Banking Profile - Q1 2026 | FDIC.gov

Review of FDIC Quarterly Banking Profile for 1Q 2026

The Banker Next Door

# Full Transcript

**Podcast:** The Banker Next Door

## Participants

- **Dr. Joseph Bergquist** (The Banker Next Door)

## Transcript

How's everyone doing today? Welcome back to another episode of The Banker Next Door. I'm your host, Dr. Joseph Bergquist. So today we're going to be covering the FDIC Quarterly Banking Profile Report, one of the favorite reports that I love to cover throughout the year. This is a quarterly report that is put out by the FDIC, and this is for the fourth quarter of 2026. And I'm basically going to bring this up right here for us to look at. Now, for anyone who has watched these episodes in the past, I usually try to break these down very quickly.

But how this report goes, it basically starts out with all banks. And then the second part of the report, it gets into community banks. And then in the last part of the report, it talks about the DIF, the Deposit Insurance Fund. So what we get out of this report is basically a very quick overview of how the banking industry is performing for the first quarter of 2026. And I love this report because it's kind of short and sweet and to the point.

It gives you all the highlights that you're looking for, and it's really good. So without further ado, let's get into this. Oh, and I will make a note. So after we're done looking at this, the other thing that the FDIC gives you, because we'll go back to the FDIC website, is they do give you a nice breakdown of about eight different charts that they put in with this. So like I said, we'll run through this for about six minutes. And then I want to take two minutes to just show everybody those charts real quick.

Because again, I always like the visual presentation, if you will. So okay. But let's get into this real quick. So what did we have here for the first quarter? So quarterly net income rose from the prior quarter and the year ago quarter. So that's good. Net interest margin, NIM, decreased from the prior quarter to 3.31%. So even though it decreased a little bit, 3.31%, not too shabby at all. Still doing pretty good.

Loan growth continued, rising 7.1% from the year ago quarter. That's good. Domestic deposits increased for the seventh consecutive quarter. Excellent. Asset quality metrics remained generally favorable. And the deposit insurance fund, the DIF, reserve ratio increased to 1.43%. So it seems like all good news for the most part. So then we get down in here.

So quarterly net income totaled $80.5 billion in the first quarter of 2026. That was up $2.8 billion or 3.6% from the prior quarter. The rise in quarterly earnings was driven by robust growth in non-interest income, up $5 billion or 5.8% at larger institutions, but was partially offset by higher non-interest expense,

up $2.5 billion or 1.6%, and lower net interest income, which was down $1.6 billion or 0.8%. The return on assets, ROA ratio was 1.26% in the first quarter of 2026. And that was up from 1.23% in the fourth quarter of 2025 and up from 1.16% in the...

Review of FDIC Quarterly Banking Profile for 1Q 2026

Transcript

Built for investment professionals

Every day you wait, your competitors are finding
edge in conversations you're not hearing.

Review of FDIC Quarterly Banking Profile for 1Q 2026

Transcript

Built for investment professionals

Every day you wait, your competitors are findingedge in conversations you're not hearing.

Every day you wait, your competitors are finding
edge in conversations you're not hearing.