Alerus Financial Corporation (ALRS)
NASDAQ:ALRS
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Earnings Data
Report Date
Jul 29, 2026After Close (Confirmed)
Period Ending
2026 (Q2)Consensus EPS Forecast
0.7Last Year’s EPS
0.72Same Quarter Last Year
Based on 2 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The call portrayed a predominantly positive trajectory: strong profitability, margin expansion, improving credit metrics, a strengthened funding profile, and disciplined capital returns. Management acknowledged a few near-term headwinds—most notably a single large charge-off, one remaining sizable nonaccrual still in resolution, softer linked-quarter fee/AUM trends, and potential margin sensitivity as purchase accounting accretion rolls off and deposit competition intensifies. However, the magnitude and number of positive developments (earnings, capital, fee diversification, liquidity, cost control and clear forward guidance) outweigh the discrete challenges, which management described as largely episodic or manageable.Company Guidance
Strong Quarterly Earnings and Profitability
Reported net income of $23.0 million and adjusted diluted EPS of $0.89. Return on average assets was 1.79% and adjusted return on average tangible common equity was ~21.96% (~22%), demonstrating strong profitability and earnings power.
Margin Expansion and Net Interest Income
Reported net interest margin expanded 8 basis points to 3.77% (post-IPO high). Core margin (ex-accretion) was 3.52%, a 35 basis point improvement from 4Q25. Reported net interest income remained stable at $44.9 million. Purchase accounting accretion contributed ~25 basis points this quarter.
Improved Balance Sheet Composition and Funding
Deposits increased 3.7% on a period-end basis; noninterest-bearing deposits rose 6.2% linked quarter and now represent ~19.7% of total deposits. Loan-to-deposit ratio improved to 92.8% (under 93%), and liquidity remained robust at approximately $2.7 billion.
Diversified, Fee-Driven Revenue Mix
Noninterest income remained just over 40% of total revenue, supporting stability across cycles. Adjusted fee income (ex one-time items) was only modestly down and fee mix includes strong retirement, benefits and wealth revenue streams.
Asset Management and Retirement Highlights
Retirement and benefit services revenue increased to $17.4 million, up 0.8% linked quarter. HSA deposits grew 7.1% to approximately $218 million and carry an attractive average cost (~10 basis points), providing low-cost, sticky funding.
Mortgage Fee Performance
Mortgage fee income increased over 130% year-over-year, driven by higher originations economics, improved gain-on-sale margins and a higher valuation on mortgage servicing rights (MSR).
Expense Discipline and Operating Leverage
Reported noninterest expense declined 2.9% linked quarter, driven by lower incentive compensation, while the company continued to invest selectively in technology and growth—supporting positive operating leverage as revenue growth outpaced expense growth.
Credit Improvement and Reserve Management
Nonperforming assets declined by $15.4 million linked quarter and criticized loans were down 43% year-over-year. The company recorded a $4.9 million reserve release while maintaining an allowance for credit losses of 1.25% of total loans, signaling improving portfolio credit quality.
Capital Strength and Shareholder Returns
Tangible book value per share increased 3.4% linked quarter to $18.15 and tangible common equity to tangible assets improved to 8.85%. The company repurchased $6.0 million of common stock at an average price of $23.90 and continued paying dividends, reflecting disciplined capital allocation.
Upgraded 2026 Guidance
Management provided 2026 guidance: loans mid-single-digit growth, deposits low-single-digit growth, net interest margin ~3.55%–3.65% (reported), adjusted noninterest income growth mid-single-digits, noninterest expense growth low-single-digits, and full-year ROA expected to exceed 1.25%.
ALRS Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
ALRS Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Apr 29, 2026 | $25.75 | $26.94 | +4.62% |
Jan 28, 2026 | $23.59 | $24.15 | +2.35% |
Oct 30, 2025 | $20.82 | $20.74 | -0.42% |
Jul 28, 2025 | $21.13 | $22.44 | +6.21% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Alerus Financial Corporation (ALRS) report earnings?
Alerus Financial Corporation (ALRS) is schdueled to report earning on Jul 29, 2026, After Close (Confirmed).
What is Alerus Financial Corporation (ALRS) earnings time?
Alerus Financial Corporation (ALRS) earnings time is at Jul 29, 2026, After Close (Confirmed).
Where can I see when companies are reporting earnings?
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What companies are reporting earnings today?
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What is ALRS EPS forecast?
ALRS EPS forecast for the fiscal quarter 2026 (Q2) is 0.7.