Cathay posts $95.2 million profit, record interest income in third quarter
Key Facts
Cathay General Bancorp reported net income of $95.2 million in the third quarter of 2026, according to its earnings release issued on October 21, with earnings per share improving from the previous quarter and the year-earlier period. Diluted earnings per share reached $1.43 during the period, extending gains from both comparison periods cited in the company's announcement. Earnings per share were $1.37 in the second quarter of 2026, the quarter immediately preceding the latest results. In the third quarter of 2025, diluted earnings per share were $1.13, according to the annual comparison provided by Cathay. The results were released as previously scheduled by the company, after markets closed on October 21, 2026.
In its interest operations, Cathay posted record net interest income of $211.9 million in the third quarter, before the provision for credit losses, according to the earnings release. The company attributed the increase to higher interest income on loans, alongside higher interest income on its deposits with banks. Loans and deposits with banks thus constituted the two sources of support the company identified in explaining net interest income performance during the period. Meanwhile, interest expense on deposits rose, partially offsetting the increase in income, according to Cathay. Net interest margin widened to 3.52% in the third quarter of 2026. That compares with a margin of 3.48% in the second quarter of the same year, with the widening margin coinciding with record net interest income.
In its lending portfolio, loans, excluding those held for sale, rose to $21.20 billion at the end of September 2026, according to the company. Commercial loans led the portfolio's growth during the period, while total deposits rose to $21.83 billion to support lending growth. Alongside this expansion, the provision for credit losses reached $28.6 million in the third quarter. Cathay had recorded a provision of $11.2 million in the second quarter of 2026, according to that period's earnings release. The company attributed the higher provision in the latest results primarily to loan growth and updated loss assumptions, combining portfolio expansion with revisions to estimates of associated losses. It said in its statement that the update included "updated loss assumptions that take into account recent loan charge-off experience." Cathay thus linked the revision of its assumptions to recent charge-off experience, alongside the impact of loan growth on the provision recorded during the quarter.
As background to Schneider National's upcoming results, its second-quarter 2026 results showed adjusted diluted earnings per share of $0.29, according to the company's announcement filed with the U.S. Securities and Exchange Commission. Adjusted earnings per share in the second quarter of 2025 were about $0.21, according to the annual comparison in the announcement. Schneider recorded operating income of $71.4 million in the second quarter of 2026. That compares with operating income of $55.0 million in the corresponding period of 2025, showing year-over-year increases in operating income and adjusted earnings per share for that period. In the same second-quarter announcement, the company set its full-year 2026 adjusted diluted earnings per share guidance at $0.90–1.10.
Schneider Chief Executive Jim Filter had addressed the pricing outlook in the second-quarter earnings release, linking his expectations to recent freight award wins. Filter said: "We expect recent freight award wins to build pricing momentum." On the earnings discussion schedule, Cathay set its call for 6:00 p.m. U.S. Eastern time on the day of its results announcement. Schneider National scheduled its third-quarter earnings release for October 29, 2026, according to its investor relations website. Schneider's release follows Cathay's announcement, while the full-year earnings guidance range in its second-quarter announcement remains the backdrop to its upcoming results.