ECB Bancorp, Inc. reported net income of $3.4 million for the third quarter ended September 30, 2026, marking a modest increase from $3.3 million in the prior quarter. The Everett, Massachusetts-based holding company for Everett Co-operative Bank posted diluted earnings per share of $0.40, up from $0.39 in the second quarter of 2026 and $0.29 in the third quarter of 2025. President and Chief Executive Officer Richard J. O’Neil, Jr., attributed the results to solid momentum in balance sheet growth and continued earnings improvement.
Total assets reached $1.69 billion at the end of the third quarter, an increase of $21.6 million, or 1.3%, compared to the June 30, 2026 balance. Loan growth drove this expansion, with total gross loans rising $55.5 million, or 3.9%, to $1.46 billion. The growth was broad-based across categories, led by increases in commercial real estate loans by $14.6 million, multi-family real estate loans by $14.2 million, and construction loans by $13.8 million.
Deposits totaled $1.21 billion, up $18.3 million from the prior quarter. While total deposits grew 1.5%, the composition shifted significantly; deposits excluding brokered deposits increased by $63.2 million, while brokered deposits decreased by $45.0 million. Money market deposit accounts saw the largest single increase, rising $47.2 million to $273.5 million.
Net interest and dividend income before provision for credit losses climbed 7.5% to $10.8 million, driven by higher average loan balances and yields on interest-earning assets. This performance pushed the net interest margin up 11 basis points to 2.56% for the quarter. The company’s efficiency ratio stood at 56.56%, reflecting disciplined expense management amid investment in franchise growth.
Credit quality remained stable, with total non-performing assets representing 0.08% of total assets, a slight improvement from 0.09% in the prior quarter. Book value per common share increased by $0.60 to $21.16, supported by quarterly earnings and a $1.2 million rise in accumulated other comprehensive income.
The balance sheet changes also reflected a decrease in cash and cash equivalents by $27.9 million to $96.1 million, primarily due to loan growth outpacing deposit growth during the period. Investments in securities available for sale increased by 21.5% to $48.7 million due to new purchases, while held-to-maturity securities decreased by 14.0% to $43.4 million following maturities and principal paydowns.
In a separate development mentioned in executive commentary, the bank announced plans to open its fourth full-service location in Medford, expanding its presence in core markets.