Regional banking company FB Financial (NYSE: FBK) fell short of the market’s revenue expectations in Q1 CY2026, but sales rose 30.5% year on year to $172.3 million. Its non-GAAP profit of $1.12 per share was 1.3% above analysts’ consensus estimates.
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FB Financial (FBK) Q1 CY2026 Highlights:
- Net Interest Income: $146 million vs analyst estimates of $148.5 million (18.8% year-on-year decline, 1.7% miss)
- Net Interest Margin: 3.9% vs analyst estimates of 3.9% (in line)
- Revenue: $172.3 million vs analyst estimates of $175.7 million (30.5% year-on-year growth, 1.9% miss)
- Efficiency Ratio: 55.2% vs analyst estimates of 55.2% (in line)
- Adjusted EPS: $1.12 vs analyst estimates of $1.11 (1.3% beat)
- Tangible Book Value per Share: $31 vs analyst estimates of $31.09 (6.5% year-on-year growth, in line)
- Market Capitalization: $2.85 billion
President and Chief Executive Officer, Christopher T. Holmes stated, “We began the year with a recognition that speaks directly to who we are, being named the top bank for customer satisfaction and trust in the South Central Region by J.D. Power. That honor reinforces our customer-focused model and validates a cornerstone of how we measure success. We also delivered solid financial results in the quarter, with strong returns and loan and deposit growth that gained momentum in the back half of the period. When you have the highest level of endorsement from your customers about their satisfaction and you combine that with top-tier financial performance and one of the best geographies in the country, we believe we have a very compelling formula for creating value for our shareholders today and over the long term.”
Company Overview
Founded in 1906 and operating through more than a century of economic cycles, FB Financial (NYSE: FBK) operates FirstBank, providing commercial and consumer banking services across Tennessee, Kentucky, Alabama, and North Georgia.
Sales Growth
Two primary revenue streams drive bank earnings. While net interest income, which is earned by charging higher rates on loans than paid on deposits, forms the foundation, fee-based services across banking, credit, wealth management, and trading operations provide additional income. Regrettably, FB Financial’s revenue grew at a weak 1.4% compounded annual growth rate over the last five years. This fell short of our benchmarks and is a rough starting point for our analysis.
Long-term growth is the most important, but within financials, a half-decade historical view may miss recent interest rate changes and market returns. FB Financial’s annualized revenue growth of 15.9% over the last two years is above its five-year trend, suggesting its demand recently accelerated. 
Note: Quarters not shown were determined to be outliers, impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business.
This quarter, FB Financial pulled off a wonderful 30.5% year-on-year revenue growth rate, but its $172.3 million of revenue fell short of Wall Street’s rosy estimates.
Net interest income made up 81% of the company’s total revenue during the last five years, meaning FB Financial barely relies on non-interest income to drive its overall growth.
While banks generate revenue from multiple sources, investors view net interest income as the cornerstone - its predictable, recurring characteristics stand in sharp contrast to the volatility of non-interest income.
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Tangible Book Value Per Share (TBVPS)
Banks operate as balance sheet businesses, with profits generated through borrowing and lending activities. Valuations reflect this reality, emphasizing balance sheet strength and long-term book value compounding ability.
Because of this, tangible book value per share (TBVPS) emerges as the critical performance benchmark. By excluding intangible assets with uncertain liquidation values, this metric captures real, liquid net worth per share. Other (and more commonly known) per-share metrics like EPS can sometimes be murky due to M&A or accounting rules allowing for loan losses to be spread out.
FB Financial’s TBVPS grew at a solid 6.6% annual clip over the last five years. TBVPS growth has also accelerated recently, growing by 8.8% annually over the last two years from $26.21 to $31 per share.
Over the next 12 months, Consensus estimates call for FB Financial’s TBVPS to grow by 13% to $35.04, decent growth rate.
Key Takeaways from FB Financial’s Q1 Results
We struggled to find many positives in these results. Its revenue missed and its net interest income fell short of Wall Street’s estimates. Overall, this was a weaker quarter. The stock traded down 3.5% to $53.98 immediately following the results.
The latest quarter from FB Financial’s wasn’t that good. One earnings report doesn’t define a company’s quality, though, so let’s explore whether the stock is a buy at the current price. The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here (it’s free).
