Key Highlights

  • FirstSun Capital Bancorp (NASDAQ:FSUN) reported third-quarter 2026 net income of USD 38.4 million, or USD 0.82 per diluted share, on October 26, 2026, against a net loss of USD 22.9 million, or USD 0.49, in the second quarter.
  • Adjusted EPS was USD 1.03 against USD 0.83 a year earlier and above consensus of USD 0.97, with adjusted net income of USD 48.2 million.
  • The provision fell to USD 4.4 million from USD 40.4 million, and net charge-offs fell to 0.11% annualized from 1.45% in the second quarter, so credit costs normalized.
  • The bank repurchased 1,245,224 shares for USD 49.7 million in the quarter, and the net interest margin recovered 24 basis points from the second quarter to 3.82%.

From Loss to Profit

FirstSun, a Colorado-based bank holding company, lost USD 22.9 million in the second quarter after a USD 40.4 million provision and USD 42.4 million of net charge-offs. In the third quarter it earned USD 38.4 million. The comparison with a year earlier is flat on GAAP EPS at USD 0.82, but adjusted EPS rose to USD 1.03 from USD 0.83, and adjusted net income was USD 48.2 million against USD 23.4 million. The difference between GAAP and adjusted figures reflects acquisition-related items from the First Foundation deal. The efficiency ratio improved to 70.43% from 93.25%, or 63.06% on an adjusted basis. Noninterest income was USD 39.4 million, about 21.9% of revenue.

Margin, Credit and Capital

Net interest margin was 3.82%, up 24 basis points from 3.58% in the second quarter but down from 4.07% a year earlier. Net interest income was USD 140.3 million, down USD 2.9 million from the second quarter. Loans were USD 11.5 billion, down at a 3.8% annualized pace, and deposits fell USD 0.4 billion to USD 13.0 billion. The allowance was 1.52% of loans, and nonperforming assets rose to 1.46% of assets from 1.32%. Capital ratios were solid, with common equity tier 1 at 11.99% and book value per share of USD 39.75. The buyback averaged about USD 39.9 per share, simple arithmetic on two company figures.

Risks and What to Watch

CEO Neal Arnold cited the improved margin from balance sheet actions, a diversified revenue profile, operating synergies from First Foundation, and the completion of the core system conversion in late September. The risks are real: loans and deposits are shrinking, nonperforming assets rose, and the margin is still below last year's level. The buyback of USD 49.7 million at about USD 39.9 per share was priced just above book value of USD 39.75, so it was roughly neutral to book value. Investors in FirstSun Capital Bancorp (NASDAQ:FSUN) should also watch whether credit costs stay near USD 4.4 million, whether loans return to growth, and the earnings call on October 27, 2026.

Where Things Stand

The answer is that FirstSun swung back to profit because credit costs fell from USD 40.4 million to USD 4.4 million, the margin recovered 24 basis points and expenses came down after the First Foundation integration. Adjusted EPS of USD 1.03 beat consensus of USD 0.97. Loans and deposits are still shrinking, and nonperforming assets rose. FirstSun Capital Bancorp (NASDAQ:FSUN) is a recovery story with unfinished credit work. The next catalyst is the earnings call on October 27, 2026. This is not investment advice.