Washington Trust stock: Q3 profit rises 21% as margin expands
Published on 10/31/2026 at 00:10 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSEarnings growth and balance-sheet signals
- Diluted earnings per share increased to 1.01 US dollars in the third quarter.
- Asset quality improved after the resolution of a commercial real estate office loan.
- Management will discuss the results and outlook at its October 20 conference call.
Washington Trust Bancorp reported stronger third-quarter results on October 19, with net income rising 21.3 percent from the preceding quarter to 19.4 million US dollars. The figures were published in the company's third-quarter results release.
Margin expansion supports earnings
Diluted earnings per share reached 1.01 US dollars, up 0.18 US dollars from the second quarter. Net interest income increased 7 percent sequentially and 15 percent from a year earlier to 44.7 million US dollars, while the net interest margin widened by 11 basis points to 2.84 percent.
Noninterest income rose 9 percent from the second quarter, while noninterest expense increased 0.5 percent. The company said wealth management revenue grew from a year earlier, although mortgage banking revenue declined from the prior-year quarter.
Credit quality and funding improve
Washington Trust said asset quality improved after a 22.3 million US dollar commercial real estate office loan was restructured. Nonaccrual loans fell to 24.5 million US dollars from 39.8 million US dollars at June 30, although third-quarter net charge-offs increased to 3.9 million US dollars.
Total loans rose 1.2 percent from June 30 to 5.2 billion US dollars. Deposits increased 1.4 percent to 5.4 billion US dollars, while Federal Home Loan Bank advances declined 17.5 percent to 376 million US dollars.
Washington Trust's banking footprint
Washington Trust Bancorp is the parent of The Washington Trust Company, a community bank founded in 1800 and headquartered in Westerly, Rhode Island. It provides commercial banking, mortgage banking, personal banking, and wealth management and trust services through offices in Rhode Island, Connecticut, and Massachusetts. The company describes itself as the largest state-chartered bank headquartered in Rhode Island and a financial services provider in the Northeast. Its regional focus distinguishes it from larger nationwide banks while placing it alongside other community and regional banking providers.
Washington Trust Bancorp at a glance
- Company: Washington Trust Bancorp, Inc.
- ISIN: US9406101082
- Ticker: WASH
- Exchange: Nasdaq
- Reporting period: Third quarter 2026, ended September 30, 2026
- Net income: 19.4 million US dollars
- Diluted earnings per share: 1.01 US dollars
- Net interest margin: 2.84 percent
US banking shares remain part of the wider market context tracked through the S&P 500.
More news and analyses on Washington Trust Bancorp stock will focus on margin trends, deposit growth, and credit costs as the bank moves into the fourth quarter.
