EL7.AI
StocksMedium•23 October 2026•
3 min read

MetroCity Bankshares lifts net income to $24.3 million in third quarter

Key Facts

1Net income was $24.3 million and diluted earnings per share were $0.84 in the third quarter of 2026.
2The company reported net income of $68.7 million and diluted earnings per share of $2.37 for the nine months ended September 30, 2026.
3Net income rose $2.2 million, or 9.8%, quarter over quarter, as income tax expense fell $4.8 million and the company recorded a $4.0 million tax credit benefit.
4Net interest margin was 4.07%, compared with 3.68% a year earlier, an increase of 39 basis points.

MetroCity Bankshares reported net income of $24.3 million, or $0.84 per diluted share, in the third quarter of 2026, compared with $17.3 million and $0.67 per share in the same period of 2025. The company said in its filing via PR Newswire that earnings rose year over year, while its breakdown of quarterly changes points to a significant role for tax factors in the increase in income. Net income was $22.1 million in the second quarter of 2026, making the quarter-over-quarter comparison different from the annual comparison. For the nine months ended September 30, 2026, the company also reported net income of $68.7 million and diluted earnings per share of $2.37. In the corresponding period of 2025, the figures were $50.4 million and $1.96 per share.

On a quarterly basis, net income increased $2.2 million, or 9.8%, compared with the second quarter. The company attributed the increase mainly to a $4.8 million reduction in income tax expense, including a $4.0 million tax credit benefit in the third quarter. The effective tax rate fell to 13.1% from 27.6% in the third quarter of 2025, and was also below the 27.7% recorded in the second quarter of 2026. The company said the use of tax credits during the period was the main driver of the lower rate. A significant part of the quarterly improvement in net income was therefore tied to a change in the tax burden, rather than simply a comparison of revenue or operating activity.

Among its banking activity indicators, net interest margin rose to 4.07% in the third quarter of 2026 from 3.68% a year earlier, an increase of 39 basis points. The company said the improvement was driven mainly by a 28-basis-point rise in the yield on average interest-earning assets, alongside a 6-basis-point decline in the cost of average interest-bearing liabilities. This reflects a year-over-year improvement in the spread between yields on interest-earning assets and the cost of the liabilities used to fund them. The metric provides an operating backdrop to annual earnings growth, alongside the tax impact evident in the quarterly comparison. The filing cited here did not include the margin for the second quarter or a quarter-over-quarter comparison.

The company's shares, which trade under the ticker MCBS, closed at $35.43 on October 22, 2026, according to EL7 data. This price places the stock's movement in the period near the third-quarter results announcement, but does not by itself determine the market's response to the figures. The financial filing allows a direct comparison of earnings between the third quarters of 2025 and 2026, as well as between the second and third quarters of 2026. The clearest figures in the results remain the annual rise in income to $24.3 million and the 9.8% quarterly increase, which coincided with a tax benefit. The facts provided do not include a subsequent date or new company forecasts.