GBank's Q3 net income hit by severance costs

Overview

• GBank's Q3 net income was $4.3 mln, compared to $5 mln last year, impacted by $2 mln in unusual expenses

• The lender's adjusted EPS for Q3 was $0.44, excluding unusual expenses

• SBA lending and commercial banking originations hit a record $242.1 mln in Q3

Outlook

• Company anticipates deposit growth from BoltBetz casino clients to begin in Q2 2026

• GBank continues to "closely monitor credit quality" amid tariff-related uncertainty; flags that "additional provisions for credit losses may be necessary in future periods"

Result Drivers

• CREDIT CARD VOLUME - Credit card transaction volume rose nearly 60% sequentially to $131.3 million

• SBA LENDING - Record SBA lending and commercial banking loan originations of $242.1 million, marking the second consecutive record-breaking quarter

• UNUSUAL EXPENSES - Net income impacted by $2.0 mln in unusual expenses related to executive severance and credit card marketing discontinuation

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the bank's peer group is "buy"

• Wall Street's median 12-month price target for GBank Financial Holdings is $52.50

• The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 17 three months ago

Press Release:

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