FRST Q3 FY26 earnings call: key takeaways

• EPS of $0.35 missed the $0.45 consensus (8:29)
• The company reported strong net interest margin expansion and stable credit costs, with confidence in future profitability. (1:29)

Results vs expectations

EPS basis: Adjusted EPS, provider (EODHD); matches the company press release

The stock moved -4.1% over the report window (S&P 500 ETF -0.5%). Earnings history

What changed since last quarter

• The company raised its loan growth outlook to 8% for the year, up from previous guidance. (20:38)
• The CFO mentioned a $3 million annualized savings from vendor consolidation starting in 2027. (12:00)
• The CEO expressed confidence in continued margin expansion, though not as dramatic as the current quarter. (14:19)

What analysts pressed on

• Whether the mortgage division's performance will continue to impact compensation and costs. (15:59)
• How the company plans to manage deposit growth in a rising rate environment. (24:09)
• Concerns about the impact of potential rate decreases on mortgage volume and profitability. (24:19)

In their words

• We continue to benefit from a very valuable deposit portfolio with long-term loyal customers Dennis Semberg (1:29)
• We're taking steps to align costs with current volumes while reserving our ability to benefit when the market recovers (12:00)
• We have a pipeline of large deposit opportunities that should move our year-end balances materially at very attractive rates (5:16)
• I think we'd be higher than that. And the mortgage, uh, investment sort of requires it (17:43)