Quaint Oak Bancorp Q2 Earnings Surge 77% but Non-Performing Assets Climb
QNTO sits 61% above its 52-week low of $8.84.
Summary
Quaint Oak Bancorp's Q2 2026 net income jumped 77% to $481,000, but non-performing assets climbed to $10.3 million, raising credit quality concerns.
Key Events · Earnings and Guidance · QNTO
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Q2 Net Income Up 77%
Net income of $481,000 ($0.18/share) vs $272,000 ($0.10/share) in Q2 2025, driven by a $760K drop in interest expense and $361K higher non-interest income.
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Non-Performing Assets Rise
Non-performing assets increased to $10.3M (1.64% of total assets) from $7.7M at year-end 2025, with non-accrual loans up to $8.4M across commercial real estate and business loans.
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Net Interest Margin Expands
Net interest margin improved to 2.93% from 2.85% a year ago, reflecting lower cost of funds and elimination of FHLB borrowings.
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Six-Month Earnings Triple
Year-to-date net income of $647,000 ($0.24/share) vs $189,000 ($0.07/share) in H1 2025, aided by a $282K lower provision for credit losses.
Analysis · QNTO · Finance
Quaint Oak Bancorp delivered a sharp earnings recovery in Q2 2026, with net income jumping 77% year-over-year to $481,000, fueled by lower funding costs and higher non-interest income. Credit quality, however, deteriorated meaningfully — non-performing assets rose to $10.3 million, or 1.64% of total assets, from $7.7 million at year-end. The increase in problem loans, though described as well-collateralized or reserved, introduces risk to an otherwise improving profitability story. While the net interest margin expanded to 2.93%, reflecting disciplined balance sheet management, the jump in non-accrual commercial real estate and business loans warrants close attention.
At the time of this filing, QNTO was trading at $14.25 on OTC in the Finance sector, with a market capitalization of approximately $37.7M. The 52-week trading range was $8.84 to $17.59. This filing was assessed with neutral market sentiment and an importance score of 7 out of 10.