Chain Bridge Net Interest Income Reaches $19.9 Million

The Tip Desk · November 9, 2026 · 3 min read

Net interest income rose $2.8 million sequentially as deposit-driven cash lifted interest-bearing deposits in other banks, while One-Way Sell balances fell $169.5 million.

Chain Bridge Bancorp, Inc. (CBNA), the holding company for Chain Bridge Bank, N.A., reported net income of $10.9 million for the third quarter of 2026, up from $9.5 million in the second quarter, as net interest income rose $2.8 million to $19.9 million.

Earnings were $1.66 a share, compared with $1.45 in the prior quarter. Return on average equity was 22.84% on an annualized basis.

The company said the sequential increase in net interest income was driven by deposit-driven cash inflows that lifted the average balance of interest-bearing deposits in other banks by $262.7 million and generated $2.6 million of additional interest income. Net interest margin expanded 8 basis points sequentially to 3.53% from 3.45%.

Year-over-year, net interest income rose $7.6 million. Interest-bearing deposits in other banks were $532.0 million higher on average and generated $4.4 million of additional interest income, although lower short-term rates tempered that gain. A $255.9 million higher average taxable securities portfolio, together with higher yields, added $2.7 million of interest income. A decline in the cost and size of interest-bearing liabilities reduced interest expense by $458 thousand. Net interest margin was 3.53% versus 3.35% a year earlier.

Consolidated total deposits increased $63.5 million from June 30, 2026, to $2.1 billion. IntraFi Cash Service One-Way Sell deposits moved off the balance sheet fell $169.5 million to $498.5 million, primarily reflecting reductions in political organization deposit balances. The company said political organization depositors exhibited heightened activity in the quarter, consistent with seasonality ahead of a federal election.

Year-over-year, total deposits rose $700.4 million and One-Way Sell deposits rose $352.0 million, driven by political organization balances and other categories such as 501(c)(4) social welfare organization deposits.

Deposit placement services income was $2.0 million, down from $2.1 million in the second quarter. The company said the decline was less pronounced than the drop in period-end One-Way Sell balances because average balances during the third quarter remained generally consistent with the prior quarter. Year-over-year, that line rose from $174 thousand.

Noninterest income was $2.9 million. Total noninterest expense rose $471 thousand sequentially to $8.5 million, which the company attributed to a larger workforce and higher professional services costs. The efficiency ratio improved to 37.40% from 40.25%.

Gross loans rose $30.1 million sequentially to $304.4 million, lifting the loan-to-deposit ratio to 14.74% from 13.70%. The provision for loan credit losses increased $525 thousand, which the company said reflected loan growth. Non-performing assets to total assets remained at 0.00%. One residential mortgage was placed on nonaccrual and sold on September 30; the $36 thousand difference between amortized cost and fair value was charged to the allowance.

Trust & Wealth assets under administration fell $40.2 million sequentially to $732.6 million, with assets under custody down $44.1 million on net outflows including political organization clients. Assets under management rose $3.9 million to $261.2 million. Trust and wealth management income was $491 thousand.

Tier 1 leverage declined to 8.83% from 9.39% due to deposit-driven asset growth, partially offset by an increase in retained earnings. Total risk-based capital declined to 48.36% from 50.45% as growth in risk-weighted assets outpaced capital growth through retained earnings. Tangible common equity to tangible assets rose to 8.47% from 8.38%. Book value per share was $29.24.

The company said political organization deposits are currently experiencing outflows, which it expects to continue during the fourth quarter of 2026, with the possibility of outflows extending into early 2027, as the 2026 election cycle concludes. It said the outflows to date have been consistent with seasonal patterns observed in prior federal election cycles.