Merchants Bancorp Q2 net income falls 50% to $38.0 million on higher loan loss provision
Merchants Bancorp reported second-quarter 2025 net income of $38.0 million, down 50% from a year earlier, as its provision for credit losses rose $43.1 million, tied to estimated declines in multi-family property values and an ongoing investigation of mortgage fraud. Diluted earnings per share fell to $0.60 from $1.49, but tangible book value per share rose 13% year over year to a record $35.42.
Key points
- Net income was $38.0 million, down from $76.4 million in Q2 2024 and $58.2 million in Q1 2025.
- Diluted earnings per share were $0.60, compared with $1.49 in Q2 2024 and $0.93 in Q1 2025.
- Provision for credit losses increased $43.1 million year over year, primarily tied to multi-family property value declines and mortgage fraud investigations.
- Tangible book value per share reached $35.42, up 13% from $31.27 a year earlier.
The filing
Written by AI on Nov 8, 2026, 6:56 AM ET, from this filing only. Written later: this filing was briefed after the fact, when past filings were added to the site, so the brief may be read with hindsight; the filing itself is the record of what was known on July 28, 2025.
Briefs are written by AI from the filing text and can contain mistakes — open the filing before acting on anything. Impact (1-5) and tone are the AI's reading of the filing for shareholders, not a price forecast. Not investment advice.