Westamerica Reports Q1 Net Interest Income of $52.7M
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 6 days ago
0mins
Should l Buy WABC?
Net interest income on a fully-taxable equivalent basis was $52.7M for the first quarter 2026, compared to $53.5M for the fourth quarter 2025. The annualized yield earned on loans, bonds and cash for the first quarter 2026 was 3.98% compared to 4.00% for the fourth quarter 2025. The annualized cost of funding the loan and bond portfolios was 0.24% for the first quarter 2026 unchanged from the fourth quarter 2025. "Westamerica's first quarter 2026 results benefited from the Company's valuable low-cost deposit base, of which 46% was represented by non-interest bearing checking accounts during the quarter; the annualized cost of funding our loan and bond portfolios was 0.24% in the quarter. Operating expenses remained well controlled at 42% of total revenues and credit quality remained stable with nonperforming assets of $1.4M at March 31, 2026," said Chairman, President and CEO David Payne.
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Analyst Views on WABC
Wall Street analysts forecast WABC stock price to fall
2 Analyst Rating
0 Buy
2 Hold
0 Sell
Hold
Current: 53.460
Low
53.00
Averages
53.00
High
53.00
Current: 53.460
Low
53.00
Averages
53.00
High
53.00
About WABC
Westamerica Bancorporation is a bank holding company. The Company provides a full range of banking services to individual and commercial customers in Northern and Central California through its subsidiary bank, Westamerica Bank (the Bank). The Bank is a California-chartered commercial bank. The principal communities served are located in Northern and Central California, from Mendocino, Lake and Nevada Counties in the north to Kern County in the south. In addition, the Bank owns 100% of the capital stock of Community Banker Services Corporation (CBSC), a company engaged in providing the Company and its subsidiaries with data processing services and other support functions. It provides a range of loans, including commercial loans, commercial real estate loans, real estate construction loans and residential real estate loans. The Company owns 26 banking office locations and one centralized administrative service center facility and leases 55 facilities.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Westamerica Reports Q1 2026 Financial Results
- Earnings Performance: Westamerica reported a GAAP EPS of $1.13 for Q1 2026, indicating stable profitability despite market fluctuations, which is crucial for investor confidence.
- Revenue Insights: The company generated $62.2 million in revenue for the first quarter, demonstrating resilience in its business operations and sustained market demand amidst economic challenges.
- Tax Expense Changes: The income tax provision for Q1 2026 was $9.3 million, down from $10.3 million in Q4 2025, reflecting effective tax management strategies that could enhance net income.
- Tax Adjustment Impact: The Q4 2025 tax provision included a $628,000 adjustment to reconcile the 2024 tax provision with filed returns, highlighting the complexities of tax compliance and its implications for financial reporting.
See More
Westamerica Bancorporation Reports $27.4 Million Net Income for Q1 2026
- Net Income Performance: Westamerica Bancorporation reported a net income of $27.4 million for Q1 2026, with diluted earnings per share (EPS) of $1.13, slightly down from $27.8 million and $1.12 in Q4 2025, indicating stability in cost control and profitability.
- Credit Loss Provision Reversal: The reversal of provision for credit losses amounted to $300,000 in Q1, boosting EPS by $0.01, which reflects positive progress in credit quality management, although the total allowance for credit losses remains at $11.2 million.
- Decline in Noninterest Income: Noninterest income for Q1 totaled $9.6 million, down 6.9% from $10.0 million in Q4 2025, primarily impacted by a decrease in debit card fees and unrealized securities losses, highlighting challenges in the market environment.
- Shareholder Returns: The company paid a dividend of $0.46 per share in Q1 and repurchased 997,000 shares through its buyback program, demonstrating a commitment to shareholder returns while enhancing EPS performance.
See More
Westamerica Bancorporation Appoints New Board Member
- New Board Member: Westamerica Bancorporation has appointed Carter Welch to its Board of Directors, bringing nearly 40 years of leadership experience across financial services, consumer products, and technology, which is expected to provide unique strategic insights for board growth.
- Rich Professional Background: As a Business Advisor at The Fig Tree Group and The Shirlaws Group, Welch's expertise in strategy, growth, and risk management will enhance the board's capacity for risk-informed decision-making, thereby driving long-term growth for the company.
- Committee Roles: In addition to serving as a director of Westamerica Bank, Welch will also participate in the Audit and Loan & Investment committees, further enhancing the effectiveness of the company's governance structure.
- Education and Community Involvement: Welch holds a BA in History & Liberal Arts from Bowdoin College and has actively participated in leadership roles within church and youth organizations, demonstrating his commitment to community engagement and responsibility.
See More
Westamerica (WABC) Declares $0.46 Quarterly Dividend with 3.56% Yield
- Dividend Declaration: Westamerica has declared a quarterly dividend of $0.46 per share, consistent with previous distributions, reflecting the company's stable cash flow and profitability, which enhances investor confidence.
- Yield Performance: The forward yield of 3.56% offers relative attractiveness in the current market environment, potentially appealing to income-seeking investors looking for reliable returns.
- Payment Schedule: The dividend is payable on February 13, with a record date of February 2 and an ex-dividend date also set for February 2, ensuring shareholders receive their earnings promptly and reinforcing shareholder relations.
- Historical Data Support: Westamerica's history of dividend growth and stable financial performance underpins this dividend declaration, indicating the company's ability to maintain consistent returns even amid economic fluctuations.
See More
Westamerica Bancorporation Reports Q4 2025 Net Income of $27.8 Million and EPS of $1.12
- Net Income Performance: Westamerica Bank reported a net income of $27.8 million for Q4 2025, slightly down from $28.3 million in Q3, indicating increased market competition pressures.
- Stable EPS: Despite tax adjustments impacting results, the fourth quarter EPS remained steady at $1.12, consistent with Q3, reflecting the company's stable profitability.
- Low-Cost Deposit Advantage: With 46% of its low-cost deposit base in non-interest-bearing checking accounts, the company achieved a funding cost of 0.24% for its loan and bond portfolios, laying a solid foundation for future profit growth.
- Shareholder Return Strategy: Westamerica paid a dividend of $0.46 per share in Q4 and repurchased 485,000 shares, demonstrating a continued commitment to shareholder returns.
See More
Westamerica Bancorporation Approves 2 Million Share Buyback Plan
- Buyback Plan Approval: Westamerica Bancorporation's Board of Directors has approved a buyback plan to repurchase up to 2 million shares of the company's common stock by December 31, 2026, representing approximately 8.0% of the outstanding shares as of September 30, 2025, reflecting the company's confidence in its financial strength.
- Financial Strength Demonstrated: Chairman and CEO David Payne stated that this buyback plan recognizes Westamerica's financial robustness, conservative risk profile, and reliable earnings stream, aiming to enhance shareholder value and boost market confidence.
- Market Flexibility: The buyback plan allows for repurchases in the open market or through privately negotiated transactions, providing operational flexibility that enables the company to execute timely stock buybacks based on market conditions, thereby optimizing its capital structure.
- Future Outlook: By implementing this strategy, Westamerica not only strengthens investor confidence but also potentially attracts more investors, further driving the company's business expansion and competitive position in California's banking sector.
See More
Westamerica Reports Q1 2026 Financial Results
- Earnings Performance: Westamerica reported a GAAP EPS of $1.13 for Q1 2026, indicating stable profitability despite market fluctuations, which is crucial for investor confidence.
- Revenue Insights: The company generated $62.2 million in revenue for the first quarter, demonstrating resilience in its business operations and sustained market demand amidst economic challenges.
- Tax Expense Changes: The income tax provision for Q1 2026 was $9.3 million, down from $10.3 million in Q4 2025, reflecting effective tax management strategies that could enhance net income.
- Tax Adjustment Impact: The Q4 2025 tax provision included a $628,000 adjustment to reconcile the 2024 tax provision with filed returns, highlighting the complexities of tax compliance and its implications for financial reporting.
See More
Westamerica Bancorporation Reports $27.4 Million Net Income for Q1 2026
- Net Income Performance: Westamerica Bancorporation reported a net income of $27.4 million for Q1 2026, with diluted earnings per share (EPS) of $1.13, slightly down from $27.8 million and $1.12 in Q4 2025, indicating stability in cost control and profitability.
- Credit Loss Provision Reversal: The reversal of provision for credit losses amounted to $300,000 in Q1, boosting EPS by $0.01, which reflects positive progress in credit quality management, although the total allowance for credit losses remains at $11.2 million.
- Decline in Noninterest Income: Noninterest income for Q1 totaled $9.6 million, down 6.9% from $10.0 million in Q4 2025, primarily impacted by a decrease in debit card fees and unrealized securities losses, highlighting challenges in the market environment.
- Shareholder Returns: The company paid a dividend of $0.46 per share in Q1 and repurchased 997,000 shares through its buyback program, demonstrating a commitment to shareholder returns while enhancing EPS performance.
See More
Westamerica Bancorporation Appoints New Board Member
- New Board Member: Westamerica Bancorporation has appointed Carter Welch to its Board of Directors, bringing nearly 40 years of leadership experience across financial services, consumer products, and technology, which is expected to provide unique strategic insights for board growth.
- Rich Professional Background: As a Business Advisor at The Fig Tree Group and The Shirlaws Group, Welch's expertise in strategy, growth, and risk management will enhance the board's capacity for risk-informed decision-making, thereby driving long-term growth for the company.
- Committee Roles: In addition to serving as a director of Westamerica Bank, Welch will also participate in the Audit and Loan & Investment committees, further enhancing the effectiveness of the company's governance structure.
- Education and Community Involvement: Welch holds a BA in History & Liberal Arts from Bowdoin College and has actively participated in leadership roles within church and youth organizations, demonstrating his commitment to community engagement and responsibility.
See More
Westamerica (WABC) Declares $0.46 Quarterly Dividend with 3.56% Yield
- Dividend Declaration: Westamerica has declared a quarterly dividend of $0.46 per share, consistent with previous distributions, reflecting the company's stable cash flow and profitability, which enhances investor confidence.
- Yield Performance: The forward yield of 3.56% offers relative attractiveness in the current market environment, potentially appealing to income-seeking investors looking for reliable returns.
- Payment Schedule: The dividend is payable on February 13, with a record date of February 2 and an ex-dividend date also set for February 2, ensuring shareholders receive their earnings promptly and reinforcing shareholder relations.
- Historical Data Support: Westamerica's history of dividend growth and stable financial performance underpins this dividend declaration, indicating the company's ability to maintain consistent returns even amid economic fluctuations.
See More
Westamerica Bancorporation Reports Q4 2025 Net Income of $27.8 Million and EPS of $1.12
- Net Income Performance: Westamerica Bank reported a net income of $27.8 million for Q4 2025, slightly down from $28.3 million in Q3, indicating increased market competition pressures.
- Stable EPS: Despite tax adjustments impacting results, the fourth quarter EPS remained steady at $1.12, consistent with Q3, reflecting the company's stable profitability.
- Low-Cost Deposit Advantage: With 46% of its low-cost deposit base in non-interest-bearing checking accounts, the company achieved a funding cost of 0.24% for its loan and bond portfolios, laying a solid foundation for future profit growth.
- Shareholder Return Strategy: Westamerica paid a dividend of $0.46 per share in Q4 and repurchased 485,000 shares, demonstrating a continued commitment to shareholder returns.
See More
Westamerica Bancorporation Approves 2 Million Share Buyback Plan
- Buyback Plan Approval: Westamerica Bancorporation's Board of Directors has approved a buyback plan to repurchase up to 2 million shares of the company's common stock by December 31, 2026, representing approximately 8.0% of the outstanding shares as of September 30, 2025, reflecting the company's confidence in its financial strength.
- Financial Strength Demonstrated: Chairman and CEO David Payne stated that this buyback plan recognizes Westamerica's financial robustness, conservative risk profile, and reliable earnings stream, aiming to enhance shareholder value and boost market confidence.
- Market Flexibility: The buyback plan allows for repurchases in the open market or through privately negotiated transactions, providing operational flexibility that enables the company to execute timely stock buybacks based on market conditions, thereby optimizing its capital structure.
- Future Outlook: By implementing this strategy, Westamerica not only strengthens investor confidence but also potentially attracts more investors, further driving the company's business expansion and competitive position in California's banking sector.
See More
