Independent Bank Corporation

Independent Bank Corporation reported second quarter 2026 net income of $18.8 million, up from $16.9 million in the prior-year period. The net interest margin rose 6 basis points from the first quarter to 3.71%, supported by a remixing of earning assets into higher-yielding commercial loans. Commercial loan growth reached $92.6 million, or 16% annualized, contributing to total loan growth of $106 million, or 9.8% annualized. Total deposits increased by $100 million from the start of the year to $4.9 billion, while the tangible common equity ratio improved to 8.9%. Noninterest income totaled $15.3 million, exceeding the management forecast range of $11.3 million to $12.3 million, and included a $1.6 million gain from the exchange of Visa B2 shares to Visa Class C shares. Noninterest expense was $37.8 million, above the forecasted range of $36 million to $37 million, due to $4.4 million in merger-related costs and $400,000 in litigation expenses. The company completed its acquisition of HCB Financial Corp. on July 1, 2026, with full integration and a 40% cost savings realization expected by early 2027.

Independent Bank reported second-quarter earnings of 90 cents per share, topping the Zacks Consensus Estimate of 85 cents and up from 81 cents a year ago. The bank holding company posted revenues of $63.24 million, surpassing the consensus estimate by 5.63% and exceeding the prior-year quarter's $55.94 million. The earnings surprise was 5.88%, marking the fourth consecutive quarter that Independent Bank has beaten consensus EPS estimates. Shares have gained about 10.7% year to date, outpacing the S&P 500's 9.6% advance. The current consensus EPS estimate stands at 94 cents for the coming quarter and $3.55 for the fiscal year.

Independent Bank Corporation announced that its Board of Directors declared a quarterly cash dividend on its common stock of $0.28 per share. The dividend is payable on August 14, 2026, to shareholders of record on August 4, 2026. Independent Bank Corporation is a Michigan-based bank holding company with total assets of approximately $5.6 billion, operating through its subsidiaries Independent Bank and Highpoint Community Bank.

Independent Bank reported a sharp year-over-year reduction in net charge offs and the completion of two share buyback programs. Net charge offs for the second quarter of 2026 fell to $911,000 from $6,519,000 a year earlier, signaling improved credit quality. The company retired a total of 2,679,174 shares across the two buybacks, returning approximately $200 million to shareholders. These actions point to cleaner credit trends and management's willingness to return excess capital, which may support earnings per share and future dividends.

Independent Bank reported second-quarter net income of $81.8 million, or $1.70 per diluted share, driven by stronger deposit growth, C&I lending, margin expansion and share repurchases. The bank posted more than $300 million of non-time deposit growth, representing 7% annualized growth, while holding its cost of deposits stable at 1.36%. C&I loans rose 10% annualized excluding an exited floor-plan business, but CRE and construction loans fell by $176 million due to elevated payoffs. Management said a larger commercial pipeline of $510 million could help return the bank to positive commercial loan growth. The bank repurchased $75 million of stock and reaffirmed fourth-quarter targets for a 1.4% return on average assets and a 15% return on tangible capital, while keeping its margin outlook at 3.90% to 3.95%, likely near the low end.

Independent Bank Corporation has completed its acquisition of HCB Financial Corp., the parent company of Highpoint Community Bank. The deal merges Highpoint Community Bank into Independent Bank Corporation, adding approximately $597 million in assets to Independent's roughly $5.6 billion total. The merger bridges a geographic gap between Independent's Grand Rapids and Lansing hubs and supports planned growth into Southwest Michigan. Highpoint customers will see no immediate changes to their banking services, with full system integration expected by November 9, 2026. Mark Kolanowski will join Independent Bank as Executive Vice President and Senior Advisor, and Chelsey Foster will serve as Regional President for Commercial Lending.

Independent Bank Corp. currently pays a quarterly dividend of $0.64 per share, yielding 3.16%, which exceeds the Banks - Northeast industry average of 2.23% and the S&P 500's 1.43%. The company's annualized dividend of $2.56 represents an 8.5% increase from last year, and it has raised its dividend five times over the past five years for an average annual increase of 5.67%. With a payout ratio of 41% and a Zacks Consensus Estimate for fiscal 2026 earnings of $7.33 per share, implying year-over-year earnings growth of 29.96%, the stock carries a Zacks Rank of 3, or Hold.

Independent Bank reported first-quarter revenues of $252.7 million, a 41.9% increase year on year, matching analyst expectations. The result was part of a slower quarter for the regional banking sector, where the 91 tracked stocks saw revenues in line with consensus estimates. Independent Bank narrowly beat earnings per share forecasts but slightly missed tangible book value per share estimates. Among peers, UMB Financial posted the strongest performance with revenues of $744.8 million, up 29.3% and beating estimates by 5.4%, while BankUnited was the weakest, with revenues of $273.8 million falling 5.1% short of expectations. Citizens Financial Group and Valley National Bank also reported mixed results, with Citizens' $2.17 billion in revenue up 12% and Valley's $541.6 million up 12.9%.

Independent Bank Corp., parent of Rockland Trust Company, announced a quarterly dividend of $0.64 per share. The dividend will be payable on July 9, 2026, to stockholders of record as of the close of business on June 29, 2026.

Independent Bank Corporation announced that shareholders of HCB Financial Corp. have approved the proposed acquisition of HCB and its subsidiary Highpoint Community Bank. The transaction, which was previously announced on March 18, 2026, has also received regulatory approvals from the Federal Reserve Bank of Chicago and the Michigan Department of Insurance and Financial Services. The merger is expected to become effective on July 1, 2026. Independent Bank Corporation, with total assets of approximately $5.5 billion, is acquiring HCB, which has total assets of approximately $590 million.