Community Bancorp. reported consolidated net income of $5.1 million, or $0.91 per share, for the third quarter ended September 30, 2026. The result compared with $4.7 million, or $0.84 per common share, for the same quarter in 2025.
For the nine months ended September 30, 2026, the Derby, Vermont-based parent of Community National Bank reported earnings of $14.1 million, or $2.53 per share, compared with $12.3 million, or $2.18 per common share, in the corresponding period of 2025.
#Net interest income rises as loan balances grow
Third-quarter net interest income reached $11.7 million, up from $10.5 million in the same period of 2025. Community Bancorp. attributed the improvement to higher interest and fees on loans, supported by loan growth and higher yields. The increase was partly offset by a rise in interest paid on deposits.
For the first nine months of 2026, net interest income was $33.9 million, compared with $29.8 million in the same period of 2025. The provision for credit losses was $473 thousand during the third quarter, versus $258 thousand a year earlier. The nine-month provision was $1.6 million, compared with $991 thousand in 2025. The company said the $595 thousand year-over-year increase was primarily linked to loan growth.
#Assets, loans and deposits
Total assets stood at $1.23 billion on September 30, 2026. That was $56 million below the year-end 2025 level, but $5.4 million, or 0.44%, above the position recorded on September 30, 2025.
The gross loan portfolio increased by $60.3 million, or 6.26%, compared with the 2025 period. The company said loan growth was funded through cash, securities maturities and higher core deposits.
Deposits were $35.5 million, or 3.52%, higher than on September 30, 2025. However, they declined by $26.9 million, or 2.51%, from year-end 2025, mainly because of cyclical movements in municipal and business deposit balances.
#Securities portfolio and equity position
Community Bancorp.'s securities portfolio totalled $113 million on September 30, 2026, down 21.74% from $144.6 million on December 31, 2025. The portfolio is classified as available-for-sale and reported at fair market value.
The company reported a $13.4 million reduction to equity from unrealised losses in the securities portfolio as of September 30, 2026. This represented an additional reduction of $2.9 million compared with September 30, 2025, and $3.9 million compared with December 31, 2025. Community Bancorp. said the unrealised loss position was temporary and did not affect its regulatory capital ratios.
Equity capital was $120.8 million, while book value per share was $21.53 at September 30, 2026. The comparable figures were $113.7 million and $20.36 at December 31, 2025, and $111.9 million and $19.64 at September 30, 2025.
In the fourth quarter of 2025, the company completed the optional redemption of all fifteen outstanding shares of its Series A Fixed-to-Floating Rate Non-Cumulative Perpetual Preferred Stock. The preferred stock value of $1,500,000 had been included in equity capital as of September 30, 2025.
#Non-interest income and expenses
Third-quarter non-interest income was $1.9 million, down $188 thousand, or 8.98%, from $2.1 million in the same quarter of 2025. For the nine-month period, non-interest income increased to $6 million from $5.7 million.
Non-interest expenses rose $337 thousand, or 5.12%, in the quarterly comparison and increased $1.4 million, or 7.03%, over the nine-month period.
#Capital ratios and dividend
Selected third-quarter measures included a 16.46% return on average shareholders' equity, a 51.1% efficiency ratio, and a 2.27% non-interest expense to average assets ratio. Fully diluted tangible book value per common share was $19.47.
Current period capital ratios are preliminary subject to finalization of the Bank's September 30, 2026 FDIC Call Report.
Community Bancorp. declared a quarterly cash dividend of $0.26 per share, payable November 1, 2026, to shareholders of record as of October 15, 2026. The company said the dividend had been previously announced.
#Company background and stated risks
Community Bancorp. is the parent holding company of Community National Bank, which is headquartered in Derby, Vermont. The bank has retail banking offices in Vermont and loan offices in Burlington, Vermont and Lebanon, New Hampshire.
The company cautioned that actual conditions, results and events may differ materially from its forward-looking statements. Risks identified by Community Bancorp. include changes in economic, fiscal, monetary, tariff or trade conditions; deterioration in loan portfolio credit quality; changes to laws or government rules; interest-rate movements that reduce margins or funding sources; and increased competition, including from nonbank financial service providers, consolidation, technology and changes in delivery systems.
#Key Takeaways
- Third-quarter 2026 earnings were $5.1 million, or $0.91 per share, compared with $4.7 million, or $0.84 per common share, in the third quarter of 2025.
- Nine-month earnings reached $14.1 million, or $2.53 per share, compared with $12.3 million, or $2.18 per common share, a year earlier.
- The gross loan portfolio grew by $60.3 million, or 6.26%, compared with the 2025 period, while deposits fell $26.9 million, or 2.51%, from year-end 2025.
- The securities portfolio was $113 million, and unrealised losses produced a $13.4 million reduction to equity as of September 30, 2026.
- The company declared a quarterly cash dividend of $0.26 per share, payable November 1, 2026, to shareholders of record as of October 15, 2026.
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