The Company continued to be “well capitalized” under regulatory definitions, exceeding the 10% total risk-based capital ratio threshold as of Sept. 30, 2026. Photo designed by Magnific

DIXON, CA (MPG) - First Northern Community Bancorp (the “Company”, NASDAQ: FNRN), holding company for First Northern Bank (“First Northern” or the “Bank”), Oct. 29 reported net income of $16.8 million, or $1.02 per diluted share, for the nine months ended Sept. 30, 2026 up 11.1% compared to net income of $15.2 million, or $0.91 per diluted share, for the nine months ended Sept. 30, 2025.

Net income for the quarter ended Sept. 30, 2026, was $6.2 million, or $0.38 per diluted share, up 3.1% compared to net income of $6.0 million, or $0.36 per diluted share, for the quarter ended Sept. 30, 2025.

Total assets as of Sept. 30, 2026, were $1.99 billion, an increase of $82.5 million, or 4.3%, compared to Sept. 30, 2025. Total net loans, including loans held-for-sale, as of Sept. 30, 2026, were $1.13 billion, an increase of $78.0 million, or 7.4%, compared to Sept. 30, 2025. The increase in net loans was primarily driven by growth in commercial loans, which was partially offset by net reductions in commercial real estate, agriculture, residential mortgage and consumer loans. Total deposits as of Sept. 30, 2026, were $1.76 billion, an increase of $74.1 million, or 4.4%, compared to Sept. 30, 2025.

The Company continued to be “well capitalized” under regulatory definitions, exceeding the 10% total risk-based capital ratio threshold as of Sept. 30, 2026.

President and Chief Executive Officer Jeremiah Smith commented, “First Northern continued strong momentum during the third quarter, highlighted by accelerating loan growth and solid deposit generation. Total loans increased $41.1 million during the quarter, representing an annualized growth rate of 14.7% for the three months ended Sept. 30, compared to a 10.5% annualized growth rate for the nine months ended Sept. 30, 2026. Total deposits increased $68.6 million during the quarter, representing an annualized growth rate of 16.1% for the three months ended Sept. 30, 2026, compared to a 6.5% annualized growth rate for the nine months ended Sept. 30, 2026.”

“We also made meaningful progress in improving our credit quality with the successful resolution of a longstanding nonaccrual lending relationship. This resolution reduced nonaccrual loans by $1.2 million, or 25.6%, during the quarter and contributed to an increase of $1.8 million in nonaccrual interest income recognized when compared to the same quarter last year. This increase in nonaccrual interest income recognized was the primary driver of the $2.5 million increase in net interest income when compared to the same quarter one year prior.”  

“Beyond our financial results, we continued to execute on strategic initiatives designed to enhance long-term shareholder value. On Oct. 13, we successfully completed a major system upgrade, replacing our core banking platform and establishing a modern technology foundation to support future growth, improve operational efficiency and reduce ongoing data processing costs. As anticipated, project-related investments contributed to a modest increase in non-interest expenses during the third quarter, with additional costs expected in the fourth quarter as we complete the upgrade.”

“Together with our Nasdaq listing and inclusion in the Russell 3000 Index, these milestones represent significant progress in our longterm strategy. We remain focused on building a resilient, efficient and competitive bank while delivering lasting value to our customers, communities, employees and shareholders.”