Merchants Bancorp

Q2 FY2026 EarningsQ2 FY26 results significantly beat consensus across all key profitability metrics, with diluted EPS of $1.48 exceeding the $1.21 estimate by 22.31%. Total revenue reached $182.2M, beating expectations by 1.67%, driven by strong growth in core deposits and record total assets of $21.2B. The earnings surprise was primarily fueled by a massive 83% YoY reduction in the provision for credit losses to $9.2M, reflecting a substantial improvement in asset quality as criticized loans fell by 12% QoQ.